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MONTHLY REVIEW
OF
B U S IN E S S C O N D IT IO N S
JOHN PERRIN, Chairman of the Board and Federal Reserve Agent
Federal Reserve Bank of San Francisco
No. 1
San Francisco, California, January 16, 1923
Vol. VII
Summary o f National Conditions
cember, accompanied by wage increases in cer
Production and prices remained relatively tain industries. Some shortage of labor in the
constant in December while trade and credit eastern districts was still reported, but in the
showed the usual increases in the holiday Pacific states the customary winter surplus of
unskilled labor was indicated.
season, follow ed by declines in January.
W holesale prices. The general level of whole
Production. The index of production in basic
sale
prices remained unchanged in December.
industries, after rising rapidly since last A u
A
m
ong
various groups of commodities the
gust, showed a slight recession in December,
price
tendencies
of recent months were con
though production was maintained at a level
tinued.
Prices
of
farm products, cloth, chemi
near the peak of 1920. The output of pig iron
cals,
and
house
furnishings
registered further
and coal continued to increase, but the produc
increases,
while
fuel
and
metals
prices con
tion of certain other commodities, particularly
tinued
to
decline.
of cotton textiles and flour, showed declines.
During January a number of basic com m odi
In southern districts the building industry
ties
advanced in price and cotton, rubber, and
continued active and in all parts of the country
lead
rose to the highest points since 1920.
much new construction was projected. Rail
Volum
e of trade. W holesale trade in most re
road traffic continued heavier than a year ago.
The seasonal decline in car loadings and the porting lines showed a seasonal decline during
but was considerably larger than a
reduction in bad order cars partially relieved •
freight congestion. Employment in industrial -t&Sf ago: i&Sm^ implement dealers, however,
»
•# *•»«* ***«»'%
establishments made a further advanc& i$*#£ )d -1 reported larger ^ales/Jthan in November, and
P€RCEM
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OCPOSITS^,
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01—*—IL_JL_
1919 1920 1921 1922 1923
1919 t920 <921
Index of Production in Basic
Industries
Combination of 22 individual series
corrected for seasonal variation
(1919 average = 100 per cent)
Prices
Index numbers of wholesale prices,
United States Bureau of Labor statistics
(1913 average— 100 per cent)
Bank Credit
All Federal Reserve Banks
Bank Credit
800 member banks in leadimg cities
A substantial, black, cloth-covered, three-ring binder, large enough to contain one year’s (12) issues of this
review, will be mailed prepaid to any address on our mailing list upon receipt of one dollar to cover actual costs.
2
M O N T H L Y R E V IE W OF B U S IN E S S C O N D IT IO N S
more than doubled their December, 1921, busi grown was 10 per cent greater in 1922 than in
ness. Retail sales of reporting stores during the previous year. Prices for livestock and live
Decem ber reached the largest volume in the stock products have returned moderate profits
to producers during the major portion of the
last four years.
Bank credit. Dividend and interest payments year and the livestock industry is now in appre
and the disbursement of government funds in ciably better condition than it was a year ago.
connection with the redemption of V ictory The recovery is reflected in the present active
Notes and W ar Savings Certificates, together demand for breeding animals to be used in
with the usual decline in the demand for cur rebuilding flocks and herds. H eavy rains and
rency after the holiday season, were attended snows during recent weeks have benefited fall
by a large increase in the volume of new secur sown crops, stimulated the growth of feed for
ity issues and by somewhat easier money con livestock, and practically assured an adequate
ditions. Open market commercial paper rates supply of water for irrigation purposes later in
in financial centers, which were A y2 to 4% per the year.
cent in December, declined to 4*4 to 4 y2 per
Industrial activity, which has been steadily
cent in January.
increasing during the past year, continued
Member banks in leading cities reported an through December with less than seasonal dim
increase in demand deposits, an important fac inution. The volume of trade in the lumber
tor in which was the usual seasonal flow of industry was approximately 50 per cent greater
funds from country districts to financial cen in December, 1922, than in December, 1921.
ters. W hile the volume of loans on stocks and The mines of the district have, temporarily at
bonds decreased in the first two weeks of Jan least, stabilized production, at levels much
uary, there was a somewhat larger increase in above those prevailing a year ago. The total
the investments owned by the banks.
value of the district’s production of five prin
A t the Federal Reserve banks the principal cipal metals (gold, silver, copper, lead, and
change between Decem ber 20th and January zinc) was $163,340,471 in 1922 compared with
24th was a reduction of $230,000,000 in Federal $101,638,967 in 1921. Production of petroleum
Reserve note circulation caused by the seasonal in California continues to exceed consumption
decline in currency requirements. Reserves in and stored stocks were increased by 1,430,204
creased $65,000,000 while earning assets de barrels during December, reaching the record
clined $171,000,000. These changes are similar figure of 61,184,928 barrels on January 1, 1923.
to developments during the sam£.«pe n p V
Bjiilding permits issued during December,
ago, although the decline m *e^£iige£set$*wag ,
1 were greater both in number and in value
less than last year.
tfiaitjin Djecember, 1921, but the percentages of
ijicreas^ vwjjre not so great as in previous
Summary o f Distridt.Gpnditiorfs *.• / •.
: months *<H«*1§22. The 1922 pack of canned
•••
, »
Final estimate§*$£*£he United States Depart fruits and\v£gfetables has proved to be the
ment of Agriculture sho#w Jtfr^ihe; -pjiyqicfd taj*gqs£*£ver produced in the district, exceeding
volume of a g r i c u l t u r a l p t o t j i i c t i o r i jn
1921
pack by almost 75 per cent.
trict in 1922 was approximately the same as in Seasonal decreases in employment have been
1921, but that the aggregate value of the crops smaller this winter than in the past tw o years.
N o t e : A national summary of business and credit conditions similar to that presented above will be in
cluded in the Review regularly hereafter. This summary, which is to be prepared each month by the statis
tical services of the Federal Reserve Board and the Federal Reserve banks, will deal with the latest available
facts regarding production, prices, trade, and bank credit. The figures for banking will be those of the cur
rent month, but the other figures will necessarily relate to the preceding month.
The index of production includes the follow ing 22 series: Pig Iron, Steel Ingots, Cotton (consumption),
W o o l (consum ption), W h eat Flour, Sugar Meltings, H og s Slaughtered, Cattle Slaughtered, Calves Slaugh
tered, Sheep Slaughtered, Lumber, Bituminous Coal, Anthracite Coal, Copper, Zinc, Leather, Newsprint
Paper, Cement, Petroleum, Cigars, Cigarettes, Manufactured Tobacco.
In combining these series in a single index, the different items have been weighted in accordance with
their relative importance. Allowance has been made for seasonal variations, so that the index does not reflect
changes due to seasonal causes. The combined production index compares current output with the produc
tion in 1919. The wholesale price index is prepared by the Bureau of Labor Statistics, and uses average
prices in 1913 as a base.
3
FEDERAL RESERVE A G E N T A T S A N FRANC ISCO
Reporting department stores of the district
transacted the largest volume of business in
their history during the past Christmas season.
Sales were 11.9 per cent greater in value than
in December, 1921, and 8.1 per cent greater
than the previous record month of December,
1920. Sales in all of the 10 reporting lines of
wholesale trade increased in December, 1922,
compared with December, 1921, the increases
varying from 3.5 per cent to 31.4 per cent and
being over 15 per cent in 7 of the 10 lines.
Debits to individuals’ accounts in banks of the
district outside of San Francisco were 11.6 per
cent larger in December, 1922, than in Decem
ber, 1921. Including the figures for San Fran
cisco the increase was 5.5 per cent. A marked
improvement in the record of business failures
was noted during the month. They were less
both in number and in amount of liabilities
than in December, 1921.
The banking situation changed little during
December. Loans of 66 reporting member
banks were less by $8,432,000 on January 10th
than on December 6th. Total deposits of the
same banks increased from $1,222,483,000, to
the record figure of $1,261,296,000 during the
five-week period. They reduced their borrow
ings from the Federal Reserve Bank by ap
proximately 50 per cent, from $28,000,000 on
December 6th to $14,000,000 on January 10th.
Country bank borrowings were unchanged.
The demands of member banks for additional
currency to meet holiday and year-end require
ments caused the amount of Federal Reserve
notes of this bank in circulation to rise from
$235,842,000 on December 13th to a peak of
$244,596,000 on December 27th. W ith the sub
sidence of business activity after the holidays,
this total steadily declined to $226,388,000 on
January 10th.
Prices in general were relatively stable dur
ing December. The wholesale price index num
ber of the United States Department of Labor
was unchanged at 156 (1913 prices=100). A d
vances and declines in the prices of the princi
pal products of this district were almost equally
divided and none was of significant proportions.
Crop Conditions
Acreage sown to winter wheat in this dis
trict during the 1922-1923 planting season was
3.1 per cent less than the area sown one year
ago. The condition of the plant on December
1, 1922, in all states except California, was be
low the 10-year average for that date. W eather
conditions during December were favorable for
grow ing grain, rains and light snows in many
sections improving the appearance of the crop.
The acreage and condition of winter wheat by
states of this district are shown in the follow
ing table:
Area Sown (A cres)
Autumn, Autumn,
1922
1921
(P relim inary) * (R evised ) *
46
813
409
3
879
143
1,456
54
774
465
3
879
162
1,533
Tw elfth D istrict___ . 3,749
Total United S ta te s.46,069
3,870
47,611
California ..................
Idaho ...........................
U t a h .............................
W ashington .............
Condition D ec. 1st
10 year
1922
average
95
92
91
90
92
90
90
96
81
90
91
70
77
88
79.5
87.9
“
*000 Omitted.
Marketing of the 1922 wheat crop was less
rapid during December than in the previous
month. Little additional grain moved out of
farmers’ hands, and in the Pacific Northwest,
where the bulk of the district’s wheat crop is
(A) Crop Estimates—Twelfth Federal Reserve District*—
r
Crop
Unit
1922
W h e a t ..................
99,277
Oats .....................
30,126
B a r le y ..................
45,358
C o r n .....................
13,148
R y e ........................
898
H a y .......................
15,456
Cotton ................. ------(bales) ...........
127
Beans ...................
5,166
8,262
R i c e ...................... ____(bushels) . . .
46,307
P o ta to e s ..............
Sugar B eets........
1,578
H o p s ....................
25,910
Apples .................
32,241
Peaches .............
20,188
P e a r s ....................
8,365
O r a n g e s .............
. . . . 10,500
* (0 0 0 ) Omitted.
— Production—
1921
1920
126,548
34,343
39,295
11,806
1,204
16,115
79
3,902
7,290
37,637
2,496
29,340
38/646
i 4
6,271
13,000
105,307
35,482
38,703
11,774
855
14,814
178
3,332
8,262
35,629
2,867
33,330
22,131
15,188
6,568
21,600.
,
A
(---------
Farm Value on Decemlber 1st--------- \
1922
1921
1920
$101,754
16,695
29,265
12,725
721
202,011
17,350
19,264
9,086
21,901
9,760
2,200
31,084
31,536
10,557
42,075
$106,412
13,682
21,729
9,256
817
149,214
9,018
11,005
8,384
38,229
16,287
7,080
49,008
18,679
9,884
36,400
$145,329
25,217
38,268
14,620
1,141
244,006
26,746
10,956
9,997
36,429
36,340
11,666
26,489
29,912
14,229
47,088
4
M O N T H L Y R E V IE W OF B U S IN E S S C O N D IT IO N S
grown, grow ers’ holdings are still estimated at
10 to 15 per cent of the total crop of 76,000,000
bushels. Both export and domestic markets
were relatively inactive. Exports of wheat from
Portland and the Puget Sound ports for the
season to date have been approximately onehalf of the movement during the corresponding
period last season.
W H E A T EXPORTS
July 1st to December 31st (inclusive)
1922
1921
1920
(bushels)
(bushels)
(bushels)
P o r t la n d ..............11,624,619
Puget S o u n d .... 2,653,445
23,680,712
4,788,761
11,484,638
3,878,821
T otal ................14,278,064
28,469,473
15,363,459
The rice harvest in California was practically
completed during December, and small lots,
yet uncut, will be removed from the fields only
if weather and market conditions are favorable.
O f the total crop of 8,260,000 bushels (3,717,000 bags of 100 pounds each), approximately
1,777,778 bushels, or 800,000 bags, were dam
aged by rain. T he market value of this rice
will depend to a considerable extent upon the
care used in handling the grain in warehouses
and mills. In addition to the 1922 crop of rice,
commercial factors estimate that there are 222,225 bushels, or 100,000 bags, of 1921 crop rice
yet to be disposed of by California growers.
A t present the market is reported weak on
account of cessation of hitherto substantial
Japanese buying. Pacific Coast markets and the
Hawaiian Islands are buying normal quantities
of California grow n rice. On December 29,
1922, the Rice Growers Association of Cali
fornia sold number one paddy rice of the 1922
crop for $2.40 per 100 pounds. In 1921, at this,
time, the same grade of rice sold for $2.60 per
100 pounds.
Rising prices for cotton stimulated the har
vesting of that crop during December, so that
nearly all of the merchantable cotton grown
in the district has now been picked and ginned.
Ginning returns up to January 1, 1923, indicate
that the crop will probably fall short of the
76,000 bales previously estimated.
C O T T O N G I N N I N G T O J A N U A R Y 1st
1923
1922
(bales)
Arizona ........................... 36,692
California ...................... 23,611
Total
........................... 60,303
1921
(bales)
(bales)
35,441
23,229
77,562
47,119
58,670
124,681
The short staple cotton crop of California is
reported to have been sold as fast as it was
baled. Growers received from 27 to 29 cents
per pound for this cotton during December, an
advance of 2 cents per pound over the previous
month and of 6 cents per pound over the same
month a year ago. Approxim ately one-half of
the 30,000-bale crop of Pima long staple cotton
grown in Arizona was reported sold by Janu
ary 1, 1923. Prices to growers during D ecem
ber, 1922, were based on a price of 32 cents per
pound for number two Pima cotton, the same
price which prevailed during December, 1921.
The preliminary sugar beet report of the
United States Department of Agriculture for
1922 gives the follow ing information concern
ing the crop in this district :
Production
in Short
Acreage*
Tons*
California . . . . 5 9
Idaho ........
25
Utah
.. 74
441
277
860
Average
Sugar
Content
Average
Farm Price
of Beets
per ton
18.60%
16.66%
16.23%
$8.77
5.50
5.08
*000 Omitted.
Acreage and yield in 1922 were slightly more
than half as large as in 1921. Average farm
prices given in the above table are largely
guaranteed or minimum prices. A s final prices
paid to producers are partly determined by the
selling price of refined sugar during the year,
these farm prices may be raised as the season
progresses.
An unusually large proportion of the apple
crop of the district remains in storage at ship
ping centers as a result of inactive buying in
Eastern markets, which continue to be well
supplied with low-priced, locally grown fruit.
Storage holdings in this district are estimated
as follow s:
1922
1921
(c a r.)
(c ars)
Total commercial crop ................................ 44,800
Shipments July 1st to Dec. 31 st.............. 27,933
Remaining in storage in the d istric t.. . 16,867
51,123
42,615
8,508
In many cases mid-season varieties of apples
held in common storage have been forced into
sale to avoid deterioration. Later varieties held
in common storage, and all varieties in cold
storage, are reported to be in good condition.
Prices to growers for apples are now approxi
mately 15 per cent below prices of a year ago.
Revised estimates of the 1922-1923 Navel
orange crop in California as of January 1, 1923,
indicate a yield of 8,400,000 boxes, or 21,000
carloads, compared with an earlier estimate of
7,500,000 boxes, or 18,750 carloads. W arm rains
and high temperatures during December re
sulted in a rapid increase in the size of the in
dividual fruits. The preliminary estimate of
the 1922-1923 yield of lemons in California has
been reduced from 4,400,000 boxes to 4,200,000
boxes, or 10,500 carloads. Citrus fruit ship
ments for the season up to December 31st of
the past two years were as fo llo w s:
N ov. 1st to D ec. 31st
1922
1921
(cars)
Oranges .................................................... 5,629
Lem ons .....................................................
762
(cars)
5,406
912
FEDERAL RESERVE A G E N T A T S A N FRA N C ISCO
Smaller shipments of lemons this year than
last year have been due to the rapid decline in
the price of lemons during December follow
ing the receipt of a large quantity of foreign
lemons in the New Y ork market. Preliminary
average returns for lemons to grower members
of the California Fruit Growers Exchange were
$4.66 per box during December, 1922, compared
with $6.78 during November, 1922, and $2.12
per box during December, 1921.
Livestock
The livestock industry of the district was
benefited during December by favorable
weather and grass conditions on the ranges,
and by increases in local market prices of all
meat animals.
The principal feature of the month at the
livestock markets of the district was the large
increase in receipts of hogs, 30 per cent more
THOUSANDS
400
A
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3ti0
; : sH EEF i
;
:
3CW
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280
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240
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160 s /
120
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THOUSANID S
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80
40
CA1 TLE AND C U V ES
0
JUv
320
280
240
200
5
classes of animals has not always been equal
to the demand. A ccording to estimates of the
United States Department of Agriculture, the
seasonal movement of cattle and sheep to the
ranges and pastures of the district was much
heavier during the autumn of 1922 than during
the autumn of 1921, the number of animals now
on feed in the district being considerably larger
than last year. For the United States as a
whole it is estimated that there are now 27 per
cent more cattle on feed and 20 per cent more
sheep than on December 1, 1921.
Dairy and Poultry Products
In anticipation of the seasonal increase in
butter production during the spring, dealers
are rapidly reducing their cold storage hold
ings. W ithdrawals during December at the
four principal markets of this district amounted
to 741,399 pounds, and holdings on January 1,
1923, had been reduced to 437,061 pounds, a
figure considerably smaller than reported stor
age stocks on January 1, 1922, which were high
as a result of the importation of a considerable
quantity of low priced butter from Australia
during the latter part of 1921. During the early
part of the past month, a few cars of butter
were shipped to Eastern markets but when
prices advanced on the local markets as a re
sult of the active holiday demand, this move-
160
120
80
40
lâ>21
1 92 2
o
Receipts of Livestock at Eight of the Principal Markets of the District
1921-1922. (Los Angeles, Ogden, Portland, Salt Lake City, San
Francisco, Seattle, Spokane and Tacoma included)
having been shipped than during November,
1922, and 44 per cent more than during D e
cember, 1921. As in November, 1922, a con
siderable proportion of hog shipments origi
nated within the district. The movement of
cattle and sheep to market declined seasonally
during December, 1922. Sheep receipts were
also less during December, 1922. than during
December, 1921. Figures showing the receipts
of livestock at eight of the principal markets of
the district during December, 1922, and D e
cember, 1921, follow :
Cattle
December, 19 22 .. 74,217
December, 1921.. 62,243
Calves
H ogs
Sheep
17,734
12,800
217,124
150,724
199,526
221,142
The market for stocker and feeder animals
has been active during the past few weeks and
in the Pacific Northwest the supply of these
Seasonal Movement of Holdings of Cold Storage Butter at Four
Principal Markets of the District, 1921-1922
ment ceased. In the San Francisco market the
price of 93 score creamery butter advanced
from 49}4 cents per pound on December 12th
to 53y2 cents per pound on December 30th, and
declined to 50y2 cents per pound on January
3rd, compared with 36y2 cents per pound a year
ago.
Holdings of cold storage eggs in five markets
of this district were reduced more than 90 per
cent during December and on January 1, 1923,
were approximately one-fourth as large as on
January 1, 1922. During the period of heavy
withdrawals between December 12th and D e
cember 27th, the price of extra grade eggs on
the San Francisco market declined from 5 3 ^
6
M O N T H L Y R E V IE W OF B U SIN E S S C O N D IT IO N S
cents per dozen to
cents per dozen. The
price on January 16th was 3 5 ^ cents per dozen.
A summary of the cold storage holdings of
butter and eggs in the chief markets of the
Tw elfth Federal Reserve District is presented
in the follow ing ta b le:
Jan. 1,
1923
D ec. I,
1922
N o v . 1,
1922
M illin g
Flour mills of the district were less active
during Decem ber than during the previous
month but production was considerably greater
than in the same month a year ago. The figures
fo llo w :
California . . 1 0
3
Idaho .........
Oregon ___ 17
W ashington 16
t— ... . '
D ec., 1922
(barrels)
10
3
15
16
District . . . 46
44
------ Output—
N o v ., 1922
(barrels)
Production of canned fruits and vegetables
during 1922 by canners in four of the principal
producing states of the district was larger than
in the previous record year, 1919, and practi
cally double that of 1921.
Jan. 1,
1922
Butter ( p o u n d s ) ...437,061 1,178,460 2,139,676 786,682
6,200
73,183
282,576 24,908
E ggs (c a se s)...........
N o . of M ills
Reporting
D ec. N ov.
1922
1922
Canned Fruits and Vegetables
--------------- N
D ec., 1921*
(barrels)
286,977
9,019
155,162
360,984
368,512
13,091
180,761
384,034
215,314
15,726
157,963
386,136
812,142
946,398
775,139
t -------------- Fruits-------------- t-------------- Vegetables-------1922
1921
1922
1921
(cases)
(cases)
(cases)
(cases)
California* . 15,477,865 8,511,851
Id ah of ........
80,111
66,328
O regonf . . .
1,793,854 1,304,457
W a sh in g ton f 1,549,087 1,307,548
T otal . . . .
18,900,917 11,190,184
6,913,371 2,615,947
49,276
8,500
182,787
53,745
364,395
103,655
7,509,829 2,781,847
*Estimated by Canners League o f California.
•{•Estimated by Am erican Can Company.
In 1919 the total pack in these states was 23,498,014 cases, including 16,208,793 cases of
canned fruits and 7,289,221 cases of canned
vegetables.
CASES CIN MILLIONS)
CASES (IN MILLIONS)
*61 M ills reporting.
Millers ground more wheat than they pur
chased during December and produced more
flour than they sold. A s a result stocks of
wheat at 16 reporting mills were smaller and
stocks o f flour were larger on January 1, 1923,
than on December 1, 1922. Present stocks of
wheat at these mills, 4,337,362 bushels, are
nearly double the amount held on January 1,
1922.
M IL L IO N
B U SH ELS
o
A
7
X
o•
c
M IL L IO N
B U SH E L S
K
/
v
j
A/HÉ
V
»
o
THO O SA N O
1
I
/
s TOCK S OF
^ —
\AT/
/
/
— v
yn
500
^
\
300
tv
V
c.
p
1
900
....... I.
O U T !P U T * . . Ô P
I
/
700
y
f
/
o
T H O U S A N D f3 A R R E L S
BA R R E IL S
900
j
a
«
r
p -
*o\’
(V U
FLÖ I
STO CKS
FLO UR.
N
\
r'
,
r.
100
500
300
100
o
CVJ
19
1921
1922
Monthly Flour Output, and Stocks of Wheat and Flour at End of Month,
of 16 Reporting Milling Companies
There has been an active domestic demand
for flour during the past month but foreign
buying has been light according to the reports
of millers. Flour prices advanced during De
cember and on January 1, 1923, they were ap
proximately 8 per cent higher than one year
ago.
Pack of Canned Fruits and Vegetables in California, 1914-1922
Canners generally entered the 1922 packing
season with small holdover stocks. The market
was steady and fairly active but buyers pro
ceeded cautiously and future sales were re
ported to be small in volume. A s the season
progressed and general business and industrial
conditions improved, demand became more ac
tive and canners repeatedly increased the
amount of their projected packs. Foreign de
mand was also greater than had been expected
and it is estimated that between 2,600,000 and
3,100,000 cases of canned fruits were shipped
from the Pacific Coast to the United Kingdom
alone.
As the possibility of profitably disposing of
a large pack became apparent, the demand for
green fruit increased rapidly and prices rose
accordingly. The follow ing table shows aver
7
FEDERAL RESERVE A G E N T A T S A N FRA NC ISCO
age prices paid growers in central California
for some of the principal fruits during the past
tw o seasons:
1922
1921
(per ton)
(per ton)
Apricots ............................................... $ 95.00
200.00
Royal Anne Cherries......................
Clingstone Peaches..........................
55.00
P e a r s ......................................................
70.00
$ 60.00
110.00
40.00
60.00
Opening prices on 1922 canned fruits, which
were slightly above 1921 opening prices, have
been well maintained on the lower grades of
fruits, which were in heavy supply and have
recently been advanced on the better grades,
of which the pack was relatively small.
cated by the National Industrial Conference
Board’s index of the cost of living, advanced
three-tenths of 1 per cent, standing at 158.9 in
December compared with 158.4 in November.
The wholesale price level is now 11 per cent
higher than one year ago while the cost of liv
ing is 2.3 per cent lower.
INDEX NUMBERS
oe-i?
A
235
215
195
175
The general level of prices changed little
during December, 1922. Index numbers of
wholesale prices constructed by the Federal
Reserve Bank of New Y ork and the United
States Department of Labor were the same as
in November, 1922. Prices at retail, as indi
155
V
235
ÎLES *l e \ PRI CES
»
215
\\
0* *
195
\
v \
S \
O 1
Prices
INDEX NUMBERS
-»re
175
OF LIVI N6
%
135
19 2 0
155
135
19 2 2
19 2 1
Wholesale Prices and the Cost of Living, 1920*1922
United States Bureau of Labor Index of Wholesale Prices (1913— 100)
National Industrial Conference Board Index of the Cost of Living (July 1914=100).
(B ) Commodity Prices—
Commodity
Twenty Basic Commodities (F. R. B. of N. Y .) 1913=100.
Wholesale Prices (U. S. Bureau of Labor*) 1913=100___
Cost of Living (National Industrial Conference Board)
July, 1914=100 .........................................................................
Cattle (Native B e e f).. .Weekly average price at Chicago..
Sheep .............................W eekly average price at C hicago..
Lambs ........................... W eekly average price at C hicago..
H o g s ...............................W eekly average price at C hicago..
W h e a t ................. Chicago contract prices for May W heat.
B a r le y ................. Shipping Barley f. o. b. San F ra n cisco...
R i c e ..................... California Fancy Japan at San Francisco
Cotton ................ Middling Uplands— W eekly range of spot
quotations at New Orleans.....................
W o o l ................... Average of 98 quotations at Boston.........
Flour .....................First Grade Family Patent f. o. b. Pacific
Coast mills..................................................
Sugar .................. Beet granulated f. o. b. San F ran cisco...
A p p le s ................. Extra Fancy Winesaps, f. o. b. Pacific
N o rth w e st..................................................
Oranges ..............Navels, market pack, Los A ngeles............
Lemons ...............Special Brands Fancy at Los A n g e le s...
Dried A p p le s... .Choice in 50-lb. boxes, f. o. b. California.
Dried A pricots...C hoice in 25-lb. boxes, f. o. b. California.
Prunes .................Size 40/50 in 25-lb. boxes, f. o. b. Calif...
Raisins ................Loose Muscatel in 25-lb. boxes, f. o. b.
California ...................................................
Canned Apricots.Choice 2 ^ s f. o. b. California...................
Canned Peaches..Cling Choice, 2^4s, f. o. b. California___
Canned P ea rs... .Bartlett, Standard 2 ^ s, f. o. b. California
Raw M ilk.............Pacific Coast— December average............
Butter ..................93 score at San Francisco...........................
E g g s .................... Extras— San Francisco................................
Copper ............... Electrolytic; New Y ork S pot....................
Lead .................... New Y ork S p ot.............................................
Silver .................. New York Foreign.......................................
Zinc ..................... East St. Louis S p ot.......................................
P etroleu m ...........California 35° and above..............................
Douglas F ir.........2x4, 16-ft. No. S1S1E, f. o. b. Seattle........
Douglas F ir.........12x12 Timbers, f. o. b. Seattle....................
*Revised figures,
f December W heat.
Unit
Jan.5.1923
148.7
156
100
100
100
100
lbs.
lbs.
lbs.
lbs.
bu.
cental
cental
lb.
lb.
bbl.
100 lbs.
box
box
box
lb.
lb.
lb.
lb.
doz.
doz.
doz.
100 lbs.
lb.
doz.
lb.
lb.
oz.
lb.
bbl.
M ft.
M ft.
One Month Ago One Year Ago
149.6
156
128.7
140
158.9
$8.90
7.75
13.90
8.50
1 .1 7 ^ -1 .1 9 ^
1.60-1.70
4.40
158.4
$9.65
7.00
14.35
8.15
1.18j4-1.20t
1.50-1.55
4.75
162.7
$7.00
5.10
11.50
7.30
1.09—1.11^4
1.35-1.45
5.25
26.50-26.75tf
79.504
25.25-25.624
78.434
17.25-17.75tf
47.38tf
7.59
7.45
7.18
5.00
7.73
7.10
1.65-1.75
3.00-3.25
7.00
.0 8 ^
.23-.24
. 1 1 ^4 - 1 2
.11
3.25
2.60
2.90
2.72
.4 9 ^
.47
.1434
7.404
1.65-1.75
4.50-4.75
8.00-9.00
•09J4
.23-.24
.1254
.11
7.05-7.104
1.95
20.50
3.25
2.60
2.85
2.61
.45^2
.59
.1 3 «
7.3754
.643A
6.50-6.754
1.95
20.50
20.00
20.00
.645/ s
2.00-2.15
2.50-4.50
3.50
.1 3 3 / 4 -^ 4
.2 2 / 2 - 2 3
.1 1 ¿4- . 12
.1 5 «
3.25
2.60
2.90
2.57
.37
.45
.1 37/s
4.704
.65
4.90-4.95tf
2.45
11.00
16.00
8
M O N T H L Y R E V IE W OF B U S IN E SS C O N D IT IO N S
Prices of the principal products of this dis
trict displayed no definite general trend during
the month. Prices for sheep and hogs advanced
slightly in the Chicago market but the advance
was accompanied by a decline in prices for
beef cattle and lambs. W heat prices at Chicago
tended lower than in the previous month but
the average price of first grade family flour in
this district advanced 14 cents per barrel. Bar
ley prices gained from 10 to 15 cents per cental.
The rice market was weak and California rice
was quoted at prices 35 cents per cental below
those prevailing one month ago. The prices of
deciduous fruits, fresh, canned, and dried, were
generally unchanged or fluctuated within nar
row limits. Prices for oranges and lemons de
clined heavily.
A m on g non-agricultural products the con
tinued advance of copper prices was noteworthy.
On December 18th copper was quoted at 14^
cents per pound and on January 5th at 14^4
cents per pound, the price prevailing on Jan
uary 16th. The price of zinc continued upward
during December and is now approximately 43
per cent higher than in January, 1922. Lead
prices also advanced substantially during the
month. They are now approximately 58 per
cent above the levels o f one year ago;
soft w ood lumber associations in the United
States, four of which are in this district, dur
ing the years 1922 and 1921 follow (000,000
omitted) :
Seven Principal
Four Associations
in Twelfth District
(Board feet)
1922
1921
Cut ................. 6,180
Orders .......... 6,819
Shipments . . 6,063
D ec., 1922
(Board feet)
Production ........... . 388,354
Shipments ............
465,488
Orders ....................
460,314
Unfilled O rd ers...
500,511*
N ov., 1922
(Board feet)
D ec., 1921
(Board feet)
556,707
430,555
482,248
479,880
297,139
306,836
335,500
329,751
*Figures for one association based on five weeks.
Production of lumber in this district during
the year 1922 was approximately 49 per cent
greater than during 1921. Shipments increased
50 per cent during the year period and the
amount of orders received was greater by 57
per cent. Compared with the previous record
year, 1920, production in 1922 increased 5 per
cent, shipments 23 per cent, and orders re
ceived 51 per cent. Figures showing the cut,
orders, and shipments of the seven principal
8,156
8,228
8,461
10,977
10,447
11,333
600
600
V
/*
f
500
f
400
/
200
_
/a
.4 y
t¡ tyi
S Im
ORDERS
MÏH
500
ÜJ
•
i '/
V
v i ^ if
\
Jy
-
01 ñ¡ r F Ô N -
300
400
300
T¿
200
PRODUCTION _
SHIPMENTS « . . . O RDERS
. . . .
1921
Conform ing to the usual seasonal trend the
lumber industry was slightly less active during
December, 1922, than during the previous
month, but production, shipments and orders
received were all greatly in excess of the fig
ures for December, 1921. Production, although
30 per cent greater than in December, 1921,
was well below the capacity of reporting mills,
as many plants were com pletely or partially
shut down for winter repairs. Figures showing
the activity of reporting mills in the four lum
ber associations in this district follow (000
om itte d ):
4,142
4,335
4,055
Dom estic and foreign lumber markets were
unusually active during December. The rail
roads were particularly heavy purchasers in
the domestic market. A large amount of cargo
business was transacted, water shipments of
lumber from the Pacific Northwest to the A t
lantic Coast and to California being nearly
double those of a year ago. In the foreign
market, dealers in Australia, China, Japan, and
100
Lumber
Associations
in the United States
(Board feet)
1922
1921
100
l<9 Í -*r
Lumber Production, Orders Received, and Shipments in Twelfth
Federal Reserve District as Reported by Four Lumber
Associations. 1921-1922
the W est Coast of South America were the
principal buyers. A factor which has contrib
uted materially to recent activity in the lumber
market has been the practical disappearance of
freight car shortages.
Reports indicate that log production was
smaller in December, 1922, than in November,
1922, but greater than in December, 1921.
Severe weather conditions and the customary
winter shut-down for repairs have curtailed or
prevented logging activity in many sections.
Mining
The total value of mine production of gold,
silver, copper, lead, and zinc in the Twelfth
Federal Reserve District was $161,340,471 in
1922 compared with $101,638,967 in 1921, ac
cording to figures compiled by the United
States Geological Survey. Figures of produc
tion by states for gold, silver, lead, and copper
are presented in table “ C.”
Reports received from the mineral producing
sections of the district state that general min
ing conditions remained unchanged during D e
cember, 1922, compared with November, 1922.
Compared with December, 1921, there was a
9
FEDERAL RESERVE A G E N T A T S A N FRA NC ISCO
marked increase in mining activity and devel
opment work.
National production of copper, silver, and
zinc, three of the most important metals pro
duced in this district, continues well above pro
duction a year ago. The figures are shown in
the follow ing table which compares the output
during November, 1922, with October, 1922,
and November, 1921.
Copper (lbs.)
Nov- 1922
° ct-'1922
Nov*’ 1921
(mine production) 102,593,152 103,881,223 22,347,984
Silver (oz.)
(commercial bars)
4,869,905
5,160,732 3,789,828
Zinc (tons)
(slab) .....................
38,746
39,940
21,135
56,482 barrels per day over the previous month
and of 175,559 barrels per day over the same
month a year ago.
On January 6, 1923, reductions in buying
prices of certain grades of crude oil were an
nounced, ranging from one cent per barrel on
oil of 20.9 degrees gravity to 50 cents per barrel
MILLIONS
50
/sv
MILLIONS
90
80
70
r
. 00
•*50
.....n ...”
90 r
80
70
60
:D
5STOfc
CKSor G&SOUNE
(GAI
---- ^
TOREOSTOCKSOP
Í ETROl EUM ( £BLSJ
X
Figures for lead are not available.
Reports received from 8 of the 13 principal
copper mines which are operating in this dis
trict show that they produced 30,305,000 pounds
of copper in November, 1922, compared with
28,643,000 pounds in October, 1922. In N ovem
ber, 1921, the production of three mines then
producing metal was 7,251,000 pounds.
Petroleum
Stored stocks of petroleum in California
reached the record level of 61,184,928 barrels
on January 1, 1923. One year ago they stood
at 35,021,912 barrels. This increase of approxi
mately 75 per cent has occurred in spite of a
steady increase in consumption and is chiefly
due to the flush production of new oil fields
developed during the year. There were 835 new
wells completed during 1922 and 121 wells
abandoned, a net increase of 714 wells.
During the entire year 1922, California wells
produced 140,849,596 barrels of petroleum, an
increase of 25,999,672 barrels or 22 per cent
over the previous record figures of 1921. In
December, 1922, for the seventh consecutive
month, production was greater than in the pre
ceding month, amounting to 497,639 barrels per
day compared with the November daily aver
age of 467,851 barrels. Consumption (ship
ments) of petroleum averaged 451,503 barrels
per day during December, 1922, an increase of
PETROLEUIA PRODJCTION(B3LS.
V */
\
V»
—
“N Y
\
PET
y
SHIPK1ENTS(ßßus.)
11213 4 |S16 71819 loiII 112»1213 4|5]6 7|8|9 (OlIII 12
1922
1921
C A L IF O R N IA
Production, Shipments and Stored Stocks of Petroleum, and Refinery
________
Stored Stocks of Gasolene, 1921-1922
* Figures for subsequent months furnished by American Petroleum Institate. Figures
for previous months partly estimated.
on oil of 35 degrees gravity and above. There
was no reduction in the buying prices of the
heavier crude oil of 14 to 19.9 degrees gravity.
On January 4th the service station price of
gasolene in California was reduced tw o cents
to 20 cents per gallon.
Electric Energy
Sales of electric power for industrial pur
poses during November, 1922, were 21.1 per
cent larger than during November, 1921, ac
cording to reports from 20 electric power com
panies in the Twelfth Federal Reserve District.
Greater activity in manufacturing, mining, lum
bering, and oil refining in 1922 as compared
with 1921 is chiefly responsible for this increase
in use of electric power. Sales of power for in
dustrial purposes by certain industries and by
(C) Output o f Metal in Twelfth Federal Reserve District—
COPPER*
(pounds)
1922
1921
LEAD *
(pounds)
1922
1921
1922
1921
89,Í87
143
141,765
761,660
26,402
160,276
375
85,626
6,216
4,760
3,181
5,998
8,198
47
16,800
192
2,469
3,629
6,080
7,083
43
12,251
142
302,652
1,184,813
1,182,320
39,176
31,697
185,034
11,681
1,688
10,961
274
30,891
251
14,080
6,260
195,300
9,107
6,541
1,124
198,469
7,188
134,000
1,500
D is t r i c t ........................... , 561,422
240,780
360,247
* (000) Omitted.
S IL V E R *
(ounce«)
1922
1921
175,036
718,100
23,705
152,249
426
106,507
8,790
418,000
22,660
3,946
19,892
1,089
95,500
335
Arizona ..............................
California ...............
Idaho ...................................
Nevada ...............................
O r e g o n ...............................
Utah .....................................
W ashington .....................
GOLD
(ounces)
10
M O N T H L Y R E V IE W OF B U S IN E SS C O N D IT IO N S
sections of this district are compared in the
follow ing percentage table:
Percentage Increase or Decrease, November, 1922,
compared with November, 1921
Total
AgriculM anuIndustrial
ture
Mining
facturing
Sales
California ............... — 15.2
Pacific N orthw est. + 9 9 .5
Intermountain . . . . + 3 9 .3
Twelfth D istrict... — 13.8
+ 2.5
+ 1 3 .0
+ 6 2 .1
+ 1 0 .9
+ 2 9 .9
+ 3 2 .0
+ H -0
+ 3 0 .0
+ 1 4 .2
+ 2 3 .3
+ 5 8 .0
+ 2 1 .1
Retail prices have changed but little during
the past year. An increase of 11.9 per cent in
the value of sales during December, 1922, com
pared with December, 1921, is therefore indica
tive of a corresponding increase in the physical
volume of goods sold.
Compared with October, 1922, sales in N o
vember declined 4.7 per cent, a seasonal move
ment due to decreasing needs of agricultural
consumers and to the winter curtailment of
other industries in certain sections of the dis
trict. Figures showing the number of indus
trial consumers and industrial sales of report
ing companies during November, 1922, and N o
vember, 1921, fo llo w :
Number of
Industrial Consumers
N o v .,
N ov.,
1922
1921
California ..................... 55,702
Pacific N o r t h w e s t .... 11,158
Intermountain States. 10,648
Tw elfth D is t r i c t ...
77,508
45,182
10,208
Industrial Sales K .W . H .
N ov.,
N ov..
1921
1922
192,171,684
74,919,485
168,181,427
60,761,695
9,745
43,514,132
27,535,773
65,135
310,605,301
256,478,895
Retail Trade
The value of sales at reporting department
stores during December was greater than in
any previous month of which this bank has
record. Every store and every city participated
in the increase in sales incident to the holiday
season. The total value of all reported sales
was $21,881,967, an increase of 11.9 per cent
over December, 1921, of 8.1 per cent over D e
cember, 1920, and of 12.0 per cent over D ecem
ber, 1919. Merchants state that practically all
departments of their stores contributed to the
increase in sales during the 1922 Christmas
season and that the demand for lower prices
was not so insistent as in the two previous
years. Statistics in regard to sales, stocks, and
outstanding orders as furnished by 32 s1
this district fo llo w :
* ( — ) Denotes decrease.
bo
oo
N et sales (percentage increase or decrease)
December, 1922, compared with December,
192 1
.............................. , 11.9
December, 1922, compared with November,
54.3
1922
Period July 1 to Decem ber 31, 1922, com
pared with same period in 1921....................
Stocks Decem ber, 1922 (percentage increase
or decrease):
Compared with December, 1921......................
3.7
Compared with Novem ber, 1922....................... ,— 1 1 .2 *
Percentage of average stocks on hand at
close of each month since July, 1922, to
average m onthly sales during same period 379.1
Percentage outstanding orders at close of
December, 1922, to total purchases dur
ing year 1921.............................................................
8.6
N et Sales of 32 Department Stores in Twelfth Federal Reserve District
(in Millions of Dollars)
Wholesale Trade
In December for the second consecutive
month the value of sales in all reporting lines
of wholesale trade was greater than in the cor
responding month a year ago. In one line the
increase was over 30 per cent, in four lines over
20 per cent, and in seven lines over 15 per cent.
The average net increase or decrease (— ) in
the value of sales of 191 reporting firms in 10
lines of wholesale business was as fo llo w s:
Number of
Firms
Agricultural Im p lem en ts.. 24
20
Autom obile Supplies........
15
Autom obile T ir e s..............
9
14
D ry G o o d s...........................
15
Furniture .............................
31
Groceries .............................
21
Hardware ............................
14
28
Stationery ...........................
D ec., 1922
compared
with
D ec., 1921
Year 1922
compared
with
Year 1921
27.5
18.6
11.4
3.5
18.3
31.4
15.9
22.3
22.7
8.0
8.8
1.3
— 5.7
5.0
8.7
10.8
4.8
11.6
— 1.7
3.4
The general level of wholesale prices as in
dicated by the index numbers of the United
States Department of Labor was 11.4 per cent
higher in December, 1922, than in December,
1921.
11
FEDERAL RESERVE A G E N T A T S A N FRANCISCO
Collections during the past three months
have been reported as follow s :
Number of Firms Reporting Collections as
Excellent
Good
Fair
Poor
68
October ............................... 5
Novem ber ........................... 5
December ............................ 2
70
73
67
53
57
12
8
13
DECEMBER PRICES1921=100%DECEMBER1921SALES
U.S.BUREAUOFLABOR INDEX
NO.WHOLESALE PRICES
AGRICULTURALIM
PLEM
ENTS|
reau of Labor Statistics of that state showed
that there had been an increase of 18.0 per cent
in the number of employees on December 1,
1922, compared with December 1, 1921. The
total figures for all reporting concerns fo llo w :
Percentage
Increase
D ec. 1, 1922
over
D ec. 1, 1921
Num ber of Persons Employed
D ec. 1,
Oct. 1,
Dec. 1,
1922
1922
1921
Number
of Firms
521....................
107,724
116,094
18.0
91,269
B u ild in g Activity
r
Although building activity during Decem
ber, 1922, receded from the record levels of the
previous eight months, construction continued
greater in value and volume than in the same
month a year ago. Building departments of 20
cities report that 7,767 building permits were
issued during December, 1922, with an esti
mated value of $22,034,644, compared with
7,672 permits issued during December, 1921,
with an estimated value of $21,004,120. These
AUTOMOBILE SUPPLIES
AUTOMOBILETIRES
DRUGS
DRY GOODS
FURNITURE
GROCERIES
HARDWARE
SHOES
STATIONERY
30
0
20
40
60
80 100 120 140 160
26
Dollar Value of Sales of Representative Wholesale Houses and General
Wholesale Prices in December, 1922, Compared with December, 1921
30
A
f \
26
\
\
22
22
18
18
Em ploym ent
Em ploym ent in practically every major in
dustry of the district has increased during the
past year. In some sections and in some trades,
such as mining and building construction, a
shortage o f skilled labor has been reported dur
ing the last few months and this condition con
tinued in the mining camps during December.
Cessation of practically all farm work, de
creased activity in the lumber industry, and the
winter suspension of work on highways and
other public enterprises during December,
caused the customary seasonal decrease in em
ployment among unskilled laborers. The trend
of employment in manufacturing industries is
indicated in the follow ing table showing the
total number of workers on the payrolls of 40
manufacturing firms usually em ploying 501
men or more.
Number of
Firms
Los A n g e le s .. . .
Portland ..............
San Francisco. , .
Seattle ..................
Total ................. . . .
16
<—Number of Men on Payroll*—>
Dec. 31,
Nov. 30,
Dec. 31,
1922
1922
1921
8
10
6
29,253
7,486
6,904
2,396
29,161
7,494
7,050
2,331
23,087
7,236
6,258
1,996
40
46,039
45,731
38,577
*These figures do not represent the total number of men engaged
in manufacturing activities in these cities, but only the pay
roll figures of a selected number o f firms.
An employment survey of 30 manufacturing
industries in California conducted by the Bu
AMOUNT Of PE13MITSIN
MILLIO»S OF O.OLLARS
14
r
10 f r
\ ^ /
£
o 'NUMI1EROFPIRMIT5IKTHOUSANOS
o
£
1921
14
jT mm' ‘
\
10
c
O
?
t»
1922
Building Permits Issued in 20 Principal Cities, Twelfth Federal
Reserve District, 1921-1922
(D) Building Permits—
December, 1922
Value
N o.
B e r k e le y .........
Fresno ...........
L on g B ea c h ..
L o s A n g ele s. .
Oakland .........
Pasadena . . . .
Phoenix .........
P o r tla n d .........
Sacramento . .
Salt Lake City
San D ie g o -----San Francisco.
San Jose..........
S e a t t le .............
Spokane .........
Stockton ........
Tacom a ..........
1 12
$
December, 1921
N o.
Value
32
187
318
3,613
602
25
298
52
593
16
159
69
374
528
74
456
52
60
147
278,135
9,460
1,261,176
851,360
8,955,597
2,070,582
120,950
766,086
69,475
808,725
54,400
750,259
766,950
559,603
2,439,658
170,750
1,792,685
69,270
125,270
114,253
130
43
203
270
3,364
500
68
201
294,955
20,389
500,539
1,392,700
9,168,851
2,149,756
93,800
396,278
77,930
854,055
36,730
420,266
404,595
1,775,711
2,007,705
121,370
494,835
88,225
163,133
542,297
7,767
$22,034,644
7,672
$21,004,120
20
209
52
731
15
224
117
265
568
59
518
115
$
12
M O N T H L Y R E V IE W OF B U S IN E S S C O N D IT IO N S
figures represent an increase of 1.2 per cent in
number and 4.9 per cent in value of construc
tion involved in December, 1922, compared
with December, 1921.
Reports from the same 20 cities for the whole
year 1922 reveal the record magnitude of recent
building operations. From January to Decem
ber, 1922, inclusive, 122,295 permits valued at
$310,644,294 were issued. During 1921, the pre
vious record year, 106,177 permits were issued,
representing construction valued at $208,968,615. The increase in 1922 compared with 1921
was 15.1 per cent by number and 48.6 per cent
by value. Inasmuch as the wholesale price
level of building materials advanced through
out the year and was 17.0 per cent higher in
December, 1922, than in December, 1921, an
increase of 48.6 per cent in the value of permits
issued is less indicative of the expansion in
physical volume of construction than is the
increase of 15.1 per cent in number of permits
issued.
ures in this district during December, 1922, and
November, 1922, follow :
December, 1922
Tw elfth Federal
^°*
Reserve District. 186
November, 1922
Liabilities
No.
Liabilities
$3,623,837
228
$2,335,805
B a n k Debits
The volume of business transacted in this
district during December, 1922, as measured
by charges to bank accounts in 21 principal
clearing house centers, was four-tenths of one
per cent greater than in November, 1922, and,
as reported from 20 cities, was 5.5 per cent
greater than in December, 1921. Contrary to
the normal seasonal trend, bank debits in San
Business Failures
The number of business firms failing during
December was smaller than in November, 1922,
or December, 1921, and, while the liabilities in
volved were greater than in November, they
were 28.8 per cent less than in December, 1921.
During the year 1922 business failures in the
Tw elfth Federal Reserve District were larger
both in number and amount of liabilities than
in any previous year for which records have
Debits to Individual Accounts in 20 Principal Cities, Twelfth Federal
Reserve District. 1921-1922
(E) Bank Debits*—
Berkeley ............
been kept. There were 2,209 failures reported
with liabilities of $34,936,823. In 1921 there
were 1,851 failures with liabilities of $34,280,351, the increase in 1922 compared with 1921
being 19.3 per cent by number and 1.9 per cent
by amount of liabilities involved. The average
liabilities of business failures during 1922 were
$18,874 compared with $18,411 during 1921 and
$23,932 during 1920. Changes in the general
price level during the three-year period have
corresponded roughly with these changes in
liabilities of business failures and have prob
ably been largely responsible for them.
R. G. Dun & Com pany’s comparative figures
of the number and liabilities of business fail
L o n g Beach. . . .
L o s A n g e le s. . . .
Oakland .............
Ogden .................
Pasadena ...........
Phoenixf ...........
Portland ............
Reno ....................
Sacramento
Salt Lake C ity ..
San D ie g o ..........
San Francisco.. . .
San J o se .............
Seattle .................
Spokane .............
Stockton ............
Tacom a ..............
Yakim a ...............
Total ................
Four weeks
ending
Dec. 27,1922
Four weeks
ending
Nov. 29,1922
Four weeks
ending
Dec. 28,1921
$
$
$
15,368
14,592
62,262
45,085
544,800
105,240
32,365
27,319
18,393
125,670
9,911
72,386
69,967
40,115
655,298
20,852
143,712
44,241
21,979
36,209
9,327
$2,115,091
15,625
12,547
68,821
39,180
512,685
92,905
31,519
25,053
19,285
131,536
10,667
52,420
65,315
37,171
692,863
25,113
159,123
41,305
25,139
36,340
14,200
11,278
51,954
25,057
461,350
82,540
14,958
18,945
12 1,2 21
11,10 0
9,409
73,347
77,941
34,506
734,389
21,356
126,314
40,864
21,276
33,319
11,660
$2,105,712
$1,985,884
* (0 0 0 ) Omitted.
t December, 1921, figures for Phoenix not available.
FEDERAL RESERVE A G E N T A T S A N FRA NC ISCO
Francisco, Seattle, and Portland, the leading
financial centers of California, W ashington,
and Oregon, respectively, declined 5.9 per cent
during December, 1922, compared with N o
vember, 1922. W ere it not for the decline in
figures for these cities, the increase in bank
debits would be 6.0 per cent for the district as
a whole, compared with one month ago. In
December, 1922, for the third consecutive
month, bank debits in San Francisco were less
than in the corresponding month a year ago.
Om itting the figures for San Francisco, bank
debits for the district as a whole during D e
cember, 1922, would be 11.6 per cent greater
than during December, 1921.
In interpreting the figures presented in table
“ E ” allowance must be made for advances in
the price level during the past year, which
would result in an increase in the number of
dollars necessary to transact a given volume of
business. The general level of wholesale prices,
as indicated by the United States Department
of L abor’s index number, was 11.4 per cent
higher in December, 1922, than in December,
1921. Retail dealers state that prices to cus
tomers have changed little during the same
period. A n increase of 11.6 per cent in debits
to individual accounts in the district outside of
San Francisco would therefore indicate that
the physical volume of business transacted in
this territory was greater in December, 1922,
than in December, 1921.
Savings Accounts
The total amount in all savings accounts in
75 banks in seven cities increased 4.4 per cent
between November 30th and December 30th,
or from $796,128,000 to $831,018,000. Increases
Savings Accounts in Banks in Seven Principal Cities of the
Twelfth Federal Reserve District, 1919-1922
were reported by all cities, but about half the
total increase occurred in Los Angeles, and in
creases in San Francisco and Oakland were
unusually large.
13
Savings accounts in the seven cities are now
13.3 per cent greater than one year ago. Sub
stantial gains are shown for all cities, that for
Los Angeles being especially large. Gains in
Seattle, Spokane, and Portland during recent
months have been noteworthy.
The accompanying chart shows the changes
in savings accounts in each of the seven cities
since January, 1919.
Government Financing
On January 9th the Treasury Department
opened subscription books for an issue of
Treasury Notes designated as Series A-1927,
dated January 15, 1923, and payable December
15, 1927. The notes bear interest at the rate of
4 y2 per cent per annum, payable semi-annually
on June 15th and December 15th of each year.
They are not subject to call for redemption be
fore maturity. The offering was for $300,000,
000 or thereabouts, sales to be effected for cash
and in exchange for unregistered W ar Savings
Certificates, Series of 1918, and
per cent
V ictory Notes whether or not the latter had
been called for redemption.
Subscription books were closed January 13,
1923. All subscriptions were allotted in full up
to amounts not exceeding $100,000 for any one
subscriber. Subscriptions of single subscribers
amounting to more than $100,000 were allotted
on a graduated percentage basis. A ll subscrip
tions for which either 4% per cent V ictory
Notes or unregistered W ar Savings Certifi
cates of the Series of 1918 were tendered in
payment, however, were allotted in full. In this
district total subscriptions amounted to $42,254,400 of which $20,957,300 were allotted. In
the United States as a whole total subscrip
tions amounted to $581,550,800 of which $366,982,100 were allotted.
N ote: The Treasury Department has invited
the attention of V ictory Loan subscribers to
the fact that considerable amounts of V ictory
Notes, already called for redemption, have not
yet been redeemed.
V ictory Notes of the 3^4 per cent series were
all called for redemption on June 15, 1922, and
interest ceased to accrue on that date. A ccord
ing to the most recent figures available about
$3,500,000 of these notes are still outstanding.
V ictory Notes of the
per cent series,
bearing the distinguishing letters A, B, C, D,
E, or F, prefixed to their serial numbers, were
called for redemption on December 15, 1922,
and interest ceased to accrue on that date.
There are about $225,000,000 of these notes
still outstanding.
Holders of these notes should present them
for immediate redemption in order to avoid
further loss of interest.
14
M O N T H L Y R E V IE W OF B U SIN E S S C O N D IT IO N S
Banking and Credit Situation
Total loans and discounts of 66 reporting
member banks in the principal cities of this
district advanced from $910,859,000 on Decem
ber 6th to $917,658,000 on December 20th, the
highest point yet reached in the upward move
ment, which began nearly a year ago, and then
declined to $899,765,000 on January 3, 1923.
During the follow ing week they again ad
vanced and were reported at $902,427,000 on
January 10th. Investments of the same banks
tended upward throughout the past month and,
at $347,582,000 on January 10th, were $4,782,000 above the figure reported on December 6th.
Borrowings of these banks from the Federal
time since April, 1918. Federal Reserve note
circulation in this district reached its peak for
the holiday season at $244,596,000 on December
27th, and has since declined to $226,388,000,
where it stood on January 10th, compared with
$235,842,000 on December 13, 1922. Earning
assets of the Federal Reserve Bank of San
Francisco, at $119,726,000 on January 10th,
were only slightly below the figure reported in
the statement of December 13th.
M IL L IO N S
M IL L IO N S
1
1
A, .A r \
1
280
i
>
240
V
200
£ as
A
7?
r
7
280
A
A
n
à
>
su S S Ü S I S S 9 5 f t t i @ S m S H S ! l ? I U
“V 1
r'
*
*1
V1«,
*•*
rv -1
160 v
>
\
IDU
\i \
M1
120
OA
vU
\
80
200
roT B LL«
315COUft TCI
V*
120
240
\
40
0
•**'
1
X
J.S, 60
IMI
se<iURITIE! ¡HI
« d
&
1921
•\
1!
/
N . r ’QE.
3iujSB nu htJA
r-w
IMf i t
iBtieT
1922
40
\
1
0
Total Reserves. Federal Reserve Note Circulation, Bills Discounted,
U . S. Government Securities H eld, and Bills Bought in the Open
Market, Federal Reserve Bank of San Francisco
Reserve Bank declined throughout December,
increased moderately at the close of the year,
and then declined rapidly until they stood at
$14,480,000 on January 10th, the lowest point
reached since O ctober 25, 1922. Total deposits
of reporting banks reached the record figure of
$1,261,296,000 on January 10th, an increase of
$38,813,000 since December 6th and of $20,000,000 since the previous peak on November 15,
192Z
Country bank borrowings, estimated by sub
tracting city bank borrowings from the total
discounts of the Federal Reserve Bank,
changed little during the month. A t $18,000,000 on January 10, 1923, they were approxi
mately the same as on December 13, 1922.
As a result of changes in member bank bor
rowings, noted above, total discounts of the
Federal Reserve Bank of San Francisco de
clined from $43,403,000 on December 13, 1922,
to $32,874,000 on January 10, 1923, a decrease
of $10,529,000, or 24 per cent. Total discounts
on the latter date were smaller than at any
Interest rates in New Y ork City declined
slightly at the close of the year. The New
Y ork open market rate on prime commercial
paper, which had stood at 4^4 per cent since
November 11th, declined to Ay2 per cent during
the week ending December 30th, and now (Jan
uary 13th) stands at that point. In this dis
trict there has been no change in the general
level of interest rates.
The market for bankers acceptances in the
district has been moderately active during the
past month, a marked increase in buying being
noted after the first of the present year. The
rate on prime bills remains at 4 per cent, at
which figure it has stood since October 25,
1922. Reports received by this bank from 35
of the principal accepting banks in the district
show the follow ing increases or decreases in the
amount of bills purchased and bills accepted
in December, 1922, compared with November,
1922, and December, 1921.
December, 1922
compared with
December, 1921
Am ount of bills accepted . . .
Am ount of bills bought ........
Am ount of bills held at close
of month ................................
December, 1922
compared with
November, 1922
-f-83.2
— 22.9
+ 2 2 .9
+ 1 3 .8
— 31.7
— 5.6
The principal commodities upon which these
acceptances were based were wheat, canned
fruit, and cotton.
FEDERAL RESERVE A G E N T A T S A N FRANCISCO
15
PRINCIPAL RESOURCE AN D L IA B IL IT Y ITEM S OF R EP O R TIN G M EM B ER B A N K S IN RESERVE
CITIES IN T W E L F T H FED ERAL RESERVE D ISTR IC T
J a n . 1 0 ,1 9 2 3
N u m b er o f R e p o r t in g B a n k s ..........................................................................
66 *
Loans and Discounts (including rediscounts)........................................ $ 902,427,000
Investments
D e c . 6, 1922
66 *
$ 910,859,000
...........................................................................................................
347,582,000
342,800,000
Cash in Vault and with Federal Reserve B an k......................................
119,315,000
110,574,000
Total D eposits.........................................................................................................
1,261,296,000
1,222,483,000
Bills Payable and Rediscounts with Federal Reserve B ank...........
14,480,000
28,327,000
J a n . 4 ,1 9 2 2
68 *
$ 878,885,000
314,766,000
105,744,000
1,172,000,000
32,637,000
^M ergers have reduced the number o f reporting banks but comparisons of resource and liability items have not been affected.
C O M P A R A TIV E STA TE M E N T OF CONDITION OF FE D E R A L R ESER VE B A N K OF S A N FRANCISCO
A T CLOSE OF BUSINESS, J A N U A R Y 10 , 1923
RESOURCES
J a n . 1 0 .1 9 2 3
T otal R eserves.........................................................................................................$259,788,000
D e c . 1 3 ,1 9 2 2
J a n . 1 1 .1 9 2 2
$267,108,000
$285,422,000
Bills D iscounted.....................................................................................................
32,874,000
43,403,000
65,348,000
Bills Bought in Open M arket..........................................................................
37,086,000
41,363,000
12,447,000
United States Government Securities..........................................................
49,766,000
36,098,000
12,515,000
$120,864,000
$ 90,310,000
54,361,000
49,337,000
$442,333,000
$425,069,000
$ 22,769,000
$ 22,579,000
Total Earning A sse ts..........................................................................................$119,726,000
A ll Other R esources*.........................................................................................
56,666,000
T otal Resources................................................................................................ $436,180,000
L IA B IL IT IE S
Capital and Surplus..............................................................................................$ 23,008,000
Total D eposits.........................................................................................................
146,143,000
141,751,000
129,943,000
Federal Reserve Notes in Actual Circulation........................................ 226,388,000
235,842,000
230,970,000
41,971,000
41,577,000
$442,333,000
$425,069,000
A ll Other Liabilitiesf.........................................................................................
40,641,000
T otal Liabilities................................................................................................. $436,180,000
♦Includes “ Uncollected Item s” ..................
45.440.000
47.649.000
41.949.000
•(•Includes “ Deferred Availability Item s”
39.658.000
39.082.000
35.585.000
P R O D U C T IO N AND T R A D E IN T H E T W E L F T H F E D E R A L R E S E R V E D IS T R IC T
A statistical summary o f production, business activity, employment, and finance in
the Tw elfth Federal Reserve District during the years 1921 and 1922 is presented in the
follow ing table. Substantial increases in the value or volume of practically every item
of production and distribution, in 1922 compared with 1921, indicate the extent of the
business and industrial recovery which took place during the past year.
P R O D U C T IO N
Agriculture
Grains (wheat, barley, oats)— Farm V alue.................................
Hay— Farm Value..............................................................................
Fruits (apples, peaches, pears, oranges)— Farm V alue............
Receipts o f Livestock at 8 Markets— Number
C a ttle ...............................................................................................
S h e e p ..............................................................................................
H o g s ................................................................................................
Flour Milling— (Output o f 16 mills in barrels).................................
Lumber— (Output o f four associations in board fe e t )...................
Petroleum— (California production in barrels).................................
(California stocks in barrels at end of D ecem ber)..
Metals— (Value o f gold, silver, copper, lead, and zinc produced) .
1922
1921
$147,714,000
$202,011,000
$115,252,000
$141,823,000
$149,214,000
$113,971,000
850,292
3,005,141
1,632,599
5,944,977
6,180,000,000
140,117,546
61,184,928
$163,340,471
759,672
2,976,107
1,236,169
5,652,952
4,142,000,000
114,849,075
35,021,912
$101,638,967
Department Store Sales; value, 32 stores..........................................
$161,952,606
W holesale Trade; total value of sales of 143 firms in 10 lines........
$248,618,097
Bank Debits in 20 cities......................................................................... $25,031,609,000
Building Permits— Number issued in 20 cities.................................
122,295
Value in 20 cities..................................................
$310,644,294
Business Failures— Number in Twelfth D istrict...............................
2,209
Amount of liabilities...........................................
$34,936,823
Prices— United States Bureau of Labor average of 404 com
modities for December (1913=100)..............................................
156
$156,643,695
$236,787,664
$24,262,840,000
106,177
$208,968,615
1,851
$34,280,351
BUSINESS A C T IV IT Y
140
EM PLOYM ENT
Actual Number of Workers on Payrolls of 40 Firms during
D e ce m b e r.............................................................................................
Sayings Deposits in Seven Largest Cities, December 30th............
46,039
$831,018,000
38,577
$733,220,000
4%
5%
FIN A N C E
Rediscount Rate of Federal Reserve Bank, December 30th..........
Rates Charged Commercial Borrowers by San Francisco banks,
December 30th.....................................................................................
Borrowings of Member Banks from Federal Reserve Bank at
close o f year.........................................................................................
Deposits o f 66 Reporting Member Banks at close of year..............
Loans and Discounts of 66 Reporting Member Banks at close of
y e a r .......................................................................................................
5-5
6-6y2%
$37,304,000
$1,254,765,000
$67,093,000
$1,178,938,000
$908,690,000
$929,734,000
Those desiring this review sent them regularly will receive it without charge upon application.
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