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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
JOHN PERRIN, Chairman of the Board and Federal Reserve Agent
Federal Reserve Bank of San Francisco
Vol. VIII
San Francisco, California, January 21,1924
Summary o f National Conditions
No. 1
B oards index of factory employment decreased
1 per cent during December, and was 4 per
cent lower than in the spring of 1923. The
largest decreases were at plants manufacturing
food products and railroad equipment. Build
ing contract awards in December were smaller
than in November, but almost 25 per cent larger
than a year ago.
Production of basic commodities showed a
further decline in December, and wholesale
prices receded slightly. Christmas trade was
somewhat larger than a year ago. Changes in
the banking situation in January reflected,
chiefly, an unusually large return flow of cur
rency after the holiday season.
Production. The index of production in basic
Trade. Railroad shipments continued to de
industries declined 4 per cent in December to crease during December and were slightly less
the low point of the year. The decrease for the than in December, 1922. Loadings of coal and
month reflected, principally, a large reduction grain were smaller than a year ago, while load
in consumption of cotton, but also reduced ings of miscellaneous merchandise and live
operations in the woolen, petroleum, sugar, and stock were larger. The volume of wholesale
lumber industries. Production of pig iron an^, .ta^de .showed more than the usual seasonal deanthracite coal increased. The Federal ReVervs* „ £r^afcfe^
was at about the same level as a
PER C E N T
150
•1
•
•• «•••
• *
••o
PER C E N T ** / V
•
•» • •
•
•
’ 3Q0C►
• • 1 • •
•
»
« • •• < •
• «
•
•••*« I* * » * • •■S •• a•
100
••
••
*
•
• •««••
» <
• 41•• ••200
50
100
1919 1920
1921 1922 1923 1924
Production in Basic Industries
Index of 22 basic commodities corrected for seasonal variation (1919— 100).
Latest figure, December 111.
*
*
-t r
^
Jk
*
1919
r »
» *
»**
» •
• V
•
• *\ *
• •\ «
1920
.
•
•* • ••
•
•
1921 1922 1923 1924
Wholesale Prices
Indexof U. S. Bureau of Labor Statistics, (1913— 100, base adopted by Bureau.)
Latest figure, December 151.
Those desiring this review sent them regularly will receive it without charge upon application.
2
M O N T H L Y REVIEW
of
b u s in e s s
January, 1924
c o n d itio n s
year ago. Sales of meat, hardware, and drugs
were larger than in December, 1922, while sales
o f dry goods and shoes were smaller. Retail
trade, though larger in December, 1923, than in
any other month on record, did not show as
large an increase over November as is usual at
the Christmas season.
1923. A t the middle of January the volume of
Reserve bank credit outstanding was below
$1,000,000,000 for the first time since early in
1918.
Loans made largely for commercial purposes
by member banks in principal cities declined
between December 12th and January 16th to a
BILLIONS OF DOLLARS
MILU0NS OF DOLLARS
4000
16
Ja V * 11
3000
/
2000 A
D isc oui
V
Total
Earnirx Assets
1000
X
eppanca
I.SSec.
1919 1920
1921 1922 1923 1924
Member Bank Credit
Weekly figures for member banks in 101 leading cities. Latest figure, January 9.
1919 1920
c
l>
1921 1922 1923 1924
Reserve Bank Credit
Weekly figures for 12 Federal Reserve Banks. Latest figure, January 16.
Prices. W holesale prices, according to the point $264,000,000 lower than at the peak in
index of the Bureau of Labor Statistics, de October, and to about the level of July, 1923.
creased less than 1 per cent during December. This decrease in loans, which was general
The chief reductions occurred in prices of fuel throughout the country, was accompanied by
and building materials, while prices of clothing •a• movement of funds to the financial centers
and metals increased, and prices o£ i£rq£ £tfodl \*&nd an increase in loans on securities, princiucts remained unchanged. During
•* •p^ll^iiftlNew York.
weeks of January, p r ic e sv & co /n , wheat, pig
Easier¿nbney conditions in January were re
iron, petroleum, and lui^W^ad^ai^cecl, jvhil£##je c t e d in‘a#fai£her slight decline in the rate on
quotations on cotton,Vsjigar, and»/c5fBP.^T.
•¿rinje comm^ixfiatf. paper to 4^4 per cent (com
pared with 4^,3f6*5#per cent in December) and
clined.
*****
iuQreaaed activily in the investment markets.
Bank credit. The*vijum e o f ccedit.exi:sii.ded .in
• « •• •
by the Federal Reserve bank£.slflcO&£e#drthfe if¿tlal •*••• «• •• **•*• ••
sharp increase during the latter part of Decem Summary o f District Conditions
ber in response to holiday requirements for
Less than the normal seasonal decline of
credit and currency and financial settlements activity in the principal industries of this dis
falling due on the first of January. W ith the trict occurred during December, while trade,
passing of the seasonal demands there was an although characterized by caution, was main
unusually rapid return flow of currency to the tained at the high levels of recent months.
Reserve banks, reflected both in an increase of Debits to individual accounts at banks in 20
reserves and a decline of Federal Reserve note clearing house centers, figures which afford an
circulation. Member banks used the currency approximate index of the total volume of busi
returned from circulation to reduce their bor ness carried on in the district, were smaller,
rowing, with the consequence that the earning when corrected for seasonal variation, than in
assets o f the Federal Reserve banks declined previous months of 1923 (except September),
by $360,000,000 during the four weeks follow but were larger by more than 7 per cent than
ing Christmas, or approximately $150,000,000 in December, 1922. An index of debits to indi
more than during the corresponding period of vidual accounts prepared by this bank shows
FEDERAL RESERVE AG EN T AT SAN FRANCISCO
January, 1924
the follow ing figures for December of the past
five years (1919 monthly average=100) :
1923
1922
1921
1920
1919
120.4
112.1
103.2
113.4
108.5
3
considerably smaller than that produced in
1922. Average daily production of petroleum
in California declined rapidly during the last
three months of 1923, but total output for the
year was approximately twice as great as in the
previous record year 1922. In December, 1923,
for the first time since late in 1921, production
of petroleum in California was less than con
sumption, as indicated by producers’ shipments,
and stored stocks declined by a fraction of 1
per cent. In mid-January prices of crude oil
and gasolene, which had been at low levels
since September, 1923, were advanced. Figures
of building permits issued in 20 cities during
December indicate no abatement in building
activity during com ing months. Both the num
ber and value of permits issued in this district
during the year 1923 were of record propor
tions. The figures fo llo w :
These figures are not corrected for price
changes during the period, but comparative
stability of the general price level during the
past year makes such correction unnecessary
when comparing December, 1923, with Decem
ber, 1922, and correction for price changes since
1920 would increase the index number for 1923.
Detailed figures of activity in industry and
trade, now available for the full year 1923, con
firm previous estimates of record production
and distribution of the chief products of the dis
trict. O f particular significance are the figures
compiled by the United States Department of
Agriculture showing gains of 20 and 23 per
Percentage
cent, respectively, in the total dollar value of
1923
1922
Increase
grains and of field crops produced in this dis Number of Permits
144,673
122,295
36
trict during 1923 as compared with 1922, gains Value of P e r m its..$419,726,221 $310,644,294
35
which were offset to some extent by a decline
Bank credit has continued relatively abun
of 10 per cent in the dollar value of fruit crops.
dant, and since the turn of the year an easier
Products of the farm, however, have advanced
tendency in interest rates has been noted. Dur
in price during the year by 1.4 per cent, while
ing the past six weeks changes in conditions of
prices of other commodities have declined 3.2
member banks and the Reserve Bank in this
per cent, thus improving the position of the
district have been largely in response to year
agriculturist even without the increase in total
end demands for credit and currency. Loans
value of his crop which the grain and field crop
and discounts of reporting member banks and
farmer has experienced. Disquieting reports
their borrowings from the Reserve Bank were
are being received from agriculturists and live
slightly higher on January 9, 1924, than on
stock men in all parts of California, where the
January 10, 1923, reflecting the increased de
seasonal rainfall to date has been approximately
mand for funds incident to rising activity in
one-third of normal, although damage now in
industry during the past year. The deposits of
prospect from drought would be materially
these banks reached the highest point on rec
diminished by abnormally heavy rains in Feb
ord, $1,344,183,000 on January 9, 1924, and the
ruary.
ratio of their total deposits to total loans stood
Output of lumber during the year, as re
at 133.6 on that date compared with 139.8 a
ported by 200 mills of the district, was approxi year ago.
mately 25 per cent larger than in 1922. Ship
ments of lumber and the volume of orders re Agriculture
ceived increased as did production, and no ab
The volume of agricultural production in this
normal growth of stocks has been reported.
The value of gold and silver produced in the district increased substantially during 1923, ac
mines of the district was 11.6 per cent greater companied by an advance in farm value of all
in 1923 than in 1922, and physical volume of products excepting fruits. That the increase
output of the principal industrial metals (cop in value of farm crops has resulted in an in
per, lead, and zinc) increased by even greater crease in actual purchasing power of farming
percentages. The canned fruit pack in three communities appears probable from the fact
principal producing states was 1.4 per cent that prices of farm products, as a group, have
above the average of the past four years. A risen approximately 1.4 per cent during the
reduction of 20 per cent from the record pack past year, while the general level of prices has
of 1922 was the immediate result of a difficult -».de c lined 3.2 per cent. W eighted indexes of
marketing situation at the b e g in n im ^ S T g i^ ^ j^ ^ c t io n and farm value of grains, field crops
packing year, a situation which improved as it o**id fruits in the Twelfth District and in the
became certain that the year’s p a c ^ ^ y ^ ^ j b e ^ j ^
and of the purchasing power of
OF PHILADELPHIA
J
4
M O N T H L Y REVIEW
OF BUSINESS
farm products in the United States during the
years 1919 to 1923, inclusive, are given in Table
“ A .” The actual value of crops included in the
indexes for the Tw elfth District is given in
Table “ B.”
Combined production of the principal grain
crops o f the district during 1923 increased 27.9
per cent over 1922, according to the grain index
prepared by this bank, which reveals a general
upward trend o f production during the past
five years. Segregated figures for wheat, bar
ley, and oats indicate that the increase in grain
production during 1923 was due chiefly to a
record wheat crop, the greater part of which
was produced in the Pacific Northwest. The
combined total farm value of the three grains
increased 20.1 per cent during 1923 compared
with 1922. Combined production and combined
farm value of wheat, barley, and oats in the
United States were slightly smaller during 1923
than during 1922.
Production of the district’s chief field crops
during 1923 was larger than in 1922. Relatively
large increases in yields of beans, cotton, and
sugar beets during 1923 were offset by declines
in production of potatoes and rice. The com
bined total farm value of five selected field
crops of this district was 22.7 per cent greater
in 1923 than in 1922. During 1923, total United
States production of crops included in the index
increased but little over 1922.
The production index for fruits shows an in
creasing yearly volume and a steady decrease
in farm values during the past five years, both
in the Twelfth District and in the United
States. Production in the district during 1923
was 3.3 per cent greater than in 1922. The dis
trict index of farm value of fruits dropped from
CONDITIONS
January, 1924
86.1 for 1922 to 76.8 for 1923, a decline of 10.8
per cent. There was a decline of 1.4 per cent
in the index for the United States during the
same period. The farm value indexes for the
district and for the United States during 1923
were 41.4 per cent and 26.7 per cent, respec
tively, lower than their high points in 1919.
Acreage sown to winter wheat in this district
during the autumn of 1923 was 0.8 per cent less
than was sown during the autumn of 1922. The
condition of the crop on December 1, 1923, was
better than the 10-year average on that date in
all states except California. Up to the present
time (January 16th) weather and soil condi
tions in the Pacific Northwest, where the bulk
of winter wheat produced in this district is
grown, have been favorable for grow ing grains.
Grain crops sown during the present season in
California have suffered because of insufficient
rainfall. The acreage and condition of winter
wheat by states in this district and for the
United States are given in the follow ing ta b le:
Per Cent
Decrease
1923
Area Sown (Acres)
com*
Condition
Autumn Autumn pared
Dec. 1st
1923
1922
with
10-Year
(Preliminary)* (Revised)* 1922
1923 Average
A r i z o n a ..............
California .........
32
691
368
3
896
U t a h ....................
152
W ashington . . . . 1,559
Twelfth District . 3,701
United States . . . 40,191
46
813
409
3
896
152
1,417
3,736
45,950
30
15
10
0
0
0
io t
0.8
12.6
95
82
94
98
97
93
94
t#
94
92
89
89
92
88
85
88.0
86.5
*000 omitted,
tlncrease.
(A) Weighted Indexes o f Production^ Farm Value and Purchasing Power o f Farm Products—
,----- 1919----- \
12th United
Dist. States
Production— Physical Volum e
Grain ................W h eat, barley and o a ts*------ 100.5 101.3
Field C rop s...P o tatoes, beans, sugar beets,
cotton and r ic e f......................... 97.6 99.9
Fruits ...............Apples, oranges, raisins,
peaches, prunes and p e a r s f.. 105.4 96.5
Farm Valued
Grains ..............W heat, barley and o a ts*------ 144.3 141.4
Field C rop s...P o tatoes, beans, sugar beets,
cotton and r ic e f......................... 129.4 149.9
Fruits ...............Apples, oranges, raisins,
peaches, prunes and p e a r s f.. 131.1 123.5
111
Purchasing Power of Farm Products§.........
*Five-year
fFive-year
$Based on
§Computed
,----- 1920----- \
12th United
Dist. States
/----- 1921------X
12th United
Dist. States
100.8 101.5
111.4
105.9 118.2
,------1922----- x
12th United
Dist. States
/----- 1923----- X
12th United
Dist. States
88.9
97.5
96.6
123.8
93.7
90.4
79.2
94.9
96.5
96.8
97.0
84.0 100.6
91.8
79.6
99.0
92.6
67.2
52.5
69.3
66.3
83.9
103.6
83.3
71.8
60.5
68.2
81.6
83.7 107.5
105.3 107.2
86
100.8
87.0
67
86.1
91.8
69
76.8
103.8 111.3
115.0 112.0
62.9
90.5
72
average 1 9 1 8 -1 9 2 2 = 1 0 0 .
average 1919-1923 = 100.
prices as of December 1st except where other dates conform more closely to the period o f heaviest marketing by producers.
by U nited States Department of Agriculture.
S O U R C E : U nited States Department of Agriculture.
N O T E : These index numbers are based upon the relation o f the total annual production and farm value figures for each group to the
five-year average, 1918-1922 (1919-1923 for fruits). The proportion o f the total farm value of each commodity within a group, for
the indicated five-year period, to the total farm value of all commodities in that group for the same period, is used as a basis for
weighting the different commodities.
January, 1924
FEDERAL RESERVE AG EN T AT SAN FRANCISCO
Livestock
Ample seasonal rainfall and a plentiful sup
ply of feed on winter ranges in the Intermoun
tain States and the Pacific Northwest were
factors favoring the livestock industry of the
district during the past month, as was the oc
currence of scattered rains over parts of Cali
fornia. Severe cold weather in some sections
during the first weeks of January, 1924, and a
serious shortage of grass feeds on those Cali
fornia ranges now or previously suffering from
drought were unfavorable factors.
Receipts of all classes of livestock, except
hogs, normally decreased in December, due to
heavy shipments and consumption of poultry
during the year end holiday season and other
purely seasonal causes. Livestock receipts at
eight principal markets of the district during
December, 1923, were, however, uniformly
larger than during December, 1922. Receipts
THO USANDS
Receipts of Livestock at Eight of the Principal Markets of the District
1922-1923. (Los Angeles, Ogden, Portland, Salt Lake City, San
Francisco, Seattle, Spokane, and Tacoma included)
Farm Value December 1st
1923
1922t
1921t
*000 omitted.
fRevised figures.
$100,489
27,707
16,643
21,341
21,394
10,762
16,886
8,470
32,405
24,200
24,885
21,310
15,400
11,979
during December and November of the past
two years are given in the follow ing table:
Cattle
December,
Novem ber,
December,
November,
1 9 2 3 ....
1 9 2 3 ....
1 9 2 2 ....
1 9 2 2 ....
93,513
101,593
74,217
102,964
Calves
22,353
23,393
17,734
18,921
Hogs
Sheep
251,443
218,471
217,124
167,073
204,871
213,732
199,526
228,091
Prices for cattle, hogs, and lambs in the chief
markets of the district generally tended toward
higher levels during December, although a
slight downward trend was noted for cattle and
lambs in Southern California markets.
Dairy and Poultry Products
Abnormal declines in production of butter in
many sections of California, where lack of rain
fall has caused deterioration of pastures, have
accentuated the downward trend of output reg
ularly evidenced during the winter months.
Heavy withdrawals of butter from cold storage
have been necessary, but stocks have continued*
larger than a year ago. Holdings of storage
butter in four principal markets of the district,
at 1,203,128 pounds on January 1, 1924, were
175.2 per cent greater than on January 1, 1923,
when there were but 437,061 pounds of butter
in storage at those markets. Reported cold
storage holdings of butter in the United States
were 30,282,000 pounds on January 1, 1924,
compared with a five-year average of 46,312,000
pounds.
During December, 1923, holdings of cold
storage eggs at six principal markets of the
district declined from 192,685 cases to 76,304
cases, the figure reported on January 1, 1924,
which was 306.3 per cent greater than total
holdings of 24,908 cases on January 1, 1923.
A summary of cold storage holdings of but
ter and eggs in the chief markets of the Twelfth
District is given in the follow ing table:
Jan. 1, 1924 D ec. 1,1923 D ec. 1,1922 Jan. 1,1923
Butter (pounds) 1,203,128 2,212,735 1,117,208 437,061
E ggs (cases) ...
76,304
192,685
75,657 24,908
( B ) Crop Values— Twelfth District* —
W h e a t .............................. $125,701
B a r le y ..............................
31,809
Oats ..................................
19,803
P o ta to e s ..........................
27,702
Beans ...............................
22,492
Sugar B e e t s ..................
18,400
C o t t o n ..............................
21,950
Rice ...................................
6,126
A p p le s ..............................
33,891
Oranges ..........................
41,567
Raisins ............................
18,960
P e a c h e s ...........................
13,310
P r u n e s .............................
8,000
11,134
P e a r s ................................
5
$106,412
21,729
13,682
38,229
11,005
16,430
9,018
8,384
48,332
46,574
27,550
26,564
11,700
9,829
Prices
Stability characterized the general price level
during December, although readjustments
within groups and between different groups of
commodities continued. Seasonal adjustment
of prices within the livestock group advanced
Chicago quotations for sheep, lambs, and hogs,
while cattle prices declined. The latter decline
was smaller than that noted in December, 1922,
however, and present prices for cattle are
higher than a year ago. Sheep, lambs, and hogs,
on the contrary, are now selling at lower levels
than at the close of 1922. The trend of grain
prices was downward during December, 1923.
Quotations for contract wheat at Chicago and
cash prices for shipping barley at San Francisco
M O N T H L Y REVIEW
OF BUSINESS CONDITIONS
were lower at the beginning of January, 1924,
than at the beginning of December, 1923, or
January, 1923. Relative stability, with a slight
upward tendency, marked the course of daily
quotations for raw cotton and w ool during the
last month of 1923. On January 4, 1924, the
quotation for spot middling uplands cotton at
New Orleans was 32.7 per cent higher than one
year ago. The average of 98 wool quotations
at Boston on the same date was fractionally
higher than on January 5, 1923. Refined beet
sugar quotations at San Francisco declined
steadily from $9.15 per 100 pounds on Decem
ber 1, 1923, to $8.25 per 100 pounds on January
9, 1924, but advanced to $8.50 per 100 pounds
on January 16th. The later quotation is 19.7
per cent higher than one year ago. Prices for
fresh, canned, and dried fruits changed little
during December. During the first two weeks
o f January prices for prunes and raisins were
revised downward by the grow ers’ associations
which control the majority of these crops, but
prices for the larger sizes of prunes were ad
vanced later.
January, 1924
In non-ferrous metal markets, lead prices ad
vanced approximately 10 per cent during the
month to a point 9.4 per cent higher than one
year ago, copper declined slightly, and quota
tions for zinc and silver increased fractionally.
INDEX NUMBERS
1920
_____
1921
1922
1923
Wholesale Prices and the Cost of Living, 1920-1923
United States Bureau of Labor Index of Wholesale Prices (1913=100)
National Industrial Conference Board Index of the Cost of Living (July 1914=100)
(C ) Commodity Prices—
Commodity
lb.
lb.
bbl.
lb.
One Month Ago One Year Ago
146.1
151.0
146.8
152.0
148.7
156.0
165.0
165.3
158.9
73.0
$ 9.50
7.50
13.20
7.15
1
100 lbs.
100 lbs.
100 lbs.
100 lbs.
bu.
cental
cental
Jan. 4. 1924
»
00
©
Unit
p
Tw enty Basic Commodities (F. R. B. of N. Y .) 1 9 1 3 = 1 0 0 ..
W holesale Prices (U. S. Bureau of Labor) 1 9 1 3 = 1 0 0...........
Cost of Living (N ational Industrial Conference Board)
July, 1 9 1 4 = 1 0 0 .......................................................................................
Purchasing Power of Farm Products (U . S. Department of
Agriculture) 1913=100 .....................................................................
Cattle (Native Beef) . . .W e e k ly Average Price at C h ica g o ..
Sheep ..................................W e ek ly Average Price at C h ica g o ..
Lambs ............................... W e ek ly Average Price at C h ica g o ..
H o g s ...................................W e ek ly Average Price at C h ica g o ..
W h eat ................... Chicago contract price for M ay W h e a t ..
B a r l e y .................... Shipping Barley f. o. b. San F ra n c isc o ...
Rice .........................California Fancy Japan at San Francisco.
Cotton ................... Middling Uplands— W eek ly range of spot
quotations at N ew O rleans........................
W o o l ...................... Average of 98 quotations at B osto n ............
Flour ..................... First Grade Family Patent f. o. b. Cali
fornia M ills .......................................................
Sugar ..................... Beet Granulated f. o. b. San F ran cisco.. .
Apples ................... Extra Fancy W inesaps f. o. b. Pacific
Northw est .........................................................
Oranges ................Navels, Fancy— W holesale at San FranI cisco ................................................... . ...............
Lem ons .................Choice— W holesale at San Francisco-----Dried A p p le s .. . .Choice in 50-lb. boxes f. o. b. C aliforn ia..
Dried A p ricots...C h oice in 25-lb. boxes f. o. b. C aliforn ia..
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.C hoice 25^s f. o. b. C alifo rn ia.......................
Canned Peaches..Cling Choice, 2 ^ s f. o. b. C a lifo r n ia .....
Canned Pears. ...B artlett, Standard 2 ^ s f. o. b. California.
Raw M ilk ...............Pacific Coast— December average................
Butter .................... 93 Score at San Francisco................................
E ggs .......................Extra— San Francisco.......................................
Copper .................. Electrolytic; New Y o rk S p o t..........................
L e a d ........................N ew Y o rk S p o t....................................................
Silver ..................... N ew Y o rk Foreign.............................................
Z i n c .........................East St. Louis S p ot..............................................
Petroleum ........... California 35° and above...................................
Douglas F ir ......... 2x4, 16 ft. N o. S1S1E f. o. b. Seattle..........
Douglas F ir ......... 12x12 Tim bers f. o. b. Seattle..........................
1.55-1.65
5.15
73.0
68.0
$ 9.65
$ 8.90
7.00
7.75
12.75
13.90
7.00
8.50
1.09^-1.11^4 1 .1 7 ^ -1 .1 8 ^
1.55-1.70
1.60-1.70
5.20
4.40
35.00-36.00tf 34.50-36.000 26.50-26.750
79.500
79.614
78.284
7.14
8.704
7.14
9.150
box
1.25-1.40
box
box
lb.
lb.
lb.
3.00-5.50
1.50-2.00
.12
.10J4-.11
.1 0 J i-.ll
3.50-4.50
3.00-3.75
. 10-.1054
.10-.10J4
.1 0 J i-.ll
.08*4
2.60
2.25
2.40
2.90
.48
.42
.08^4
2.60
2.25
2.40
2.89
.4 9 ^
.50
.13
7.304
.64 X
6.25-6.300
.76
18.50
25.00
lb.
doz.
doz.
doz.
100 lbs.
lb.
doz.
lb.
lb.
oz.
lb.
bbl.
M ft.
M ft.
.1 2 «
8.10 4
.6 4 ^
6.27-6.304
.76
18.50
25.00
1.15-1.40
7.88
7.100
1.65-1.75
3.50-4.75
5.00-6.00
.08^4
.23-.24
.11 54-12
.10
3.25
2.60
2.90
2.72
-4954
.47
.1454
7.400
.645^
7.05-7.100
1.95
20.50
20.00
7
FEDERAL RESERVE AGENT AT SAN FRANCISCO
January, 1924
The latter three metals are now selling at lower
prices than at the beginning of 1923. Prices
paid producers for crude petroleum were un
changed during December, remaining approxi
mately 60 per cent lower than a year ago. Lum
ber prices were comparatively steady, some
grades and kinds selling for less and some for
more than in November, 1923, or December,
1922, but the general level remaining approxi
mately the same.
Canned and Dried Fruits
Total output of canned fruits in three prin
cipal producing states of this district during
1923 was 19.7 per cent less than the record pro
duction of 1922, but 1.5 per cent above the aver
age of the past four years. Production in Cali
fornia, where approximately 75 per cent of the
total pack of the district is canned, was 26.6
per cent less than in 1922. The pack in Oregon
and W ashington was 12.0 per cent greater than
the combined output of these states during
1922, a relatively large increase in W ashington
more than offsetting a slight decrease in Ore
gon. Figures follow :
1923
1922
(cases)
(cases)
California ..1 1 ,3 5 1 ,5 3 6 15,477,865
Oregon ......... 1,694,805 1,793,854
W ashington . 2,050,560 1,549,087
District ...1 5 ,0 9 6 ,9 0 1 18,820,806
1921
1920
1919
(cases)
(cases)
(cases)
8,511,851 11,382,863 13,696,403
1,304,457 1,019,391 1,233,735
1,307,548 1,003,936 1,211,177
11 ,1 2 3 ,8 5 6
13,406,190 16,141,315
CASES (IN MILLIONS)
22
The 1923 season in the fruit canning indus
try has been marked by conservatism both in
production and in distribution of product.
Packers of the district generally held large
stocks, principally of lower grade fruits, at the
beginning of 1923, and the presence of these
stocks exerted a depressing influence on both
domestic and foreign markets. W holesale
dealers and jobbers in the country were content
to satisfy their current needs without placing
orders for future delivery in most cases, and
foreign distributors purchased approximately
25 per cent less canned fruit during 1923 than
during 1922. The combination of a heavy carry
over and a small volume of future sales at the
beginning of the canning season was reflected
in the announced intention of the majority of
packers to can little fruit in excess of that
needed to fill orders actually received or surely
in prospect. Demand became more active as
the season progressed, but packers, except in
the Pacific Northwest, found it impossible or
undesirable to expand their output. Commer
cial factors report that, on January 1, 1924, the
carryover of canned fruit in California was ap
proximately the same, in proportion to the
quantity packed, as on January 1, 1923, al
though considerably smaller in number of
cases. Carryover stocks in Oregon and W ash
ington are reported to be smaller than a year
ago.
Prices paid producers for canning fruit dur
ing the 1923 season ranged from 3.0 per cent to
more than 60.0 per cent below those paid dur
ing 1922. Representative returns to growers in
Central California for some of the principal
varieties of canning fruits during the past tw o
seasons are given in the follow ing table :
1923
1922
(per ton)
(per ton)
Percentage
Decrease
1923 compared
with 1922
$ 90
196
55
45
70
61.1
8.8
45.4
44.4
50.0
Apricots ............................ $ 35
Cherries, Royal A n n e . .
180
Peaches, Clingstone . . .
30
Peaches, Freestone
25
35
1914 1915 1916 1917 1918 1919 1920 1921 1922 1923
Pack of Canned Fruits and Vegetables in California, 1914-1923
California, Oregon, and W ashington com
bined produced 8,347,886 cases of all varieties
of canned vegetables during 1923, the largest
pack on record. Production of canned vege
tables in these three states totaled 7,509,829
cases in 1922, the previous record year, and
7,266,550 cases during 1919, an active year in
the industry.
Packers' 1923 opening prices for the princi
pal varieties of canned fruits were from 2.0 per
cent to 20.0 per cent lower than 1922 open
ing prices. As the market for canned fruits
strengthened during the latter part of the year,
prices on items which were in relatively small
supply were advanced. The figures fo llo w :
Opening Prices
1923
1922
No. 21 cans, choice grade
(per doz.)
Apricots, S l ic e d ................... $2.15
Cherries, Royal A n n e .........
3.25
Peaches, Y ellow C lin g .. . .
2.10
Pears, Bartlett .....................
2.65
(per doz.)
Spot Price
Jan. 1,1924
(per doz.)
$2.70
3.90
2.60
$2.60
3.25
3.25
2.75
2.25
8
M O N T H L Y REVIEW
OF BUSINESS
Production of the principal dried fruits in
California during 1923 did not reach expected
figures (except in the case of apricots), largely
because of crop losses resulting from unfavor
able climatic conditions. Distributors have
been chiefly concerned with the marketing of
the apricot, prune, and raisin output, the large
crop of apricots and the presence of heavy
carryover stocks of 1922 crop prunes and raisins
making it difficult to dispose of these products,
even at reduced prices. Pertinent data relating
to dried fruits in California are given in the
follow ing ta ble:
Prices
Production*
(cents per pound)
Choice Grade in 251b. Boxes
Spot
Opening
Jan. 14,
1922
1924
1923
Apricots, N o r t h e r n ............
1923
(tons)
17,500
1922
(tons)
10,250
Figs, Black M issio n ............
9,000
11,000
7
24^
1454
Peaches, Unpeeled Yellow . 23,400
28,000
7V*
n ti
Prunes— 4 0 /5 0 ...................... 80,000
Raisins, T h o m p s o n s........... 237,000
110,000
235,000
10J4
10
sy
8
^Production figures cover all grades and varieties o f specified dried
fruits.
Milling
D ec., 1923
N ov., 1923
D ec.,1922
O u t p u t .................... (bbls.)
736,300
777,795
564,743
Stocks of Flour* . (bbls.)
569,430
560,189
521,501
Stocks of W h e a t * .. (bu.) 3,901,986 4,150,492 4,337,362
* A s of the first day of the following month.
Figures obtained from 42 mills through sec
tional millers’ associations show the same gen
eral trend as those collected by this bank. They
fo llo w :
N o . of M ills
Reporting
D ec., N o v .,
1923
1923
California . . . 10
Idaho ............. 2
O r e g o n ......... 14
W ashington . 16
District . . .
Seasonal declines in flour milling activity
were smaller than usual during December,
1923, according to reports received from 16
large milling companies, being but 5.3 per cent
smaller than during November, 1923, whereas
January, 1924
of flour held by them. Flour stocks on January
1, 1924, were 9.1 per cent greater than one year
ago.
Figures of output and stocks for 16 milling
companies for which a continuous record is
kept are given in the follow ing table:
ny2
m
11¿4-12 10y2
10
CONDITIONS
42
D ec., 1923
(barrels)
-O u tp u t —
N ov., 1923
(barrels)
D ec., 1922*
(barrel«)
10
2
16
16
350,382
9,929
266,530
468,133
387,235
8,654
254,217
523,736
286,977
9,019
155,162
360,984
44
1,094,974
1,173,842
812,142
*46 mills reporting.
Lumber
The year 1923 was one of record activity in
the lumber industry of the district. Production
proceeded at a high rate throughout the year,
demand was substantial and steady, prices were
relatively stable, and transportation facilities
generally adequate. A statistical summary of
the operations of approximately 200 mills re
porting to four lumber associations of the dis
trict during 1923, 1922, and 1921 is presented
in the follow ing table (000 omitted) :
t-----------------52 W eeks Ending----------------D ec. 29.1923
D ec. 30.1922
D ec. 31.1921
(board feet)
(board feet)
(board feet)
THOUSAND BARRELS
9 oor
700
500
300
t
STCCKS OF FLOUR/
-V#
%
j
OUT PUT 0
'
i i Ni
i J i i ili
1922
\
j"/"
/
t
y
'jr
-—
- —------i i rT i/T iT T iL . i i 77 i i 71
1923
Monthly Flour Output, and Stocks of Wheat and Flour at End of Month
of 16 Reporting Milling Companies
production decreased 14.5 per cent during D e
cember, 1922, as compared with November,
1922. Their total output during December
(736,300 barrels) was 30.3 per cent greater than
during December, 1922. Sales of the 16 com
panies during December, 1923, were slightly
less than production, as indicated by an in
crease of 1.6 per cent during the month in stocks
Production ................. 8,403,620
Shipments .................. 7,803,345
Orders .......................... 7,403,666
6,580,965
6,063,165
6,819,623
4,192,500
4,114,445
4,383,680
t
%V*
FLOUR
100
í
/
Exceptionally active winter demand for lum
ber continued during December, the bulk of the
business originating in the domestic market,
principally on the Atlantic Coast. The foreign
market was relatively quiet, little new business
being placed in Japan where a large part of the
foreign sales of recent months has been made.
The majority of the mills in the Pacific
Northwest closed for repairs or to await im
proved weather conditions during the latter
part of December, and reported production dur
ing that month was less by 26 per cent than in
the previous month. Reports indicate that mills
will not be idle for more than the customary
two to four weeks, a resumption of operations
being scheduled for the last two weeks of Janu
ary. Figures showing activity of nearly 200
mills during
omitted) :
9
FEDERAL RESERVE AG EN T AT SAN FRANCISCO
January, 1924
December,
1923,
D ec.. 1923
(board feet)
Production .................... 491,780
S h ip m e n ts...................... 467,230
O r d e r s ............................. 512,238
Unfilled O rd ers............ 530,144
follow
N ov.. 1923
(board feet)
666,754
574,877
572,967
481,551
(000
D ec.. 1922
(board feet)
388,354
465,488
460,315
500,511*
*Figures for one association based on five weeks.
MILLIONS OF BOARD FEET
New Y ork market having fluctuated between
12.625 cents and 13.00 cents per pound. These
prices were approximately the same as those
prevailing in November, but were more than a
cent a pound below prices paid a year ago.
Lead prices advanced during the month, reaching 7.85 cents per pound at New Y ork on Janu
ary 9, 1924, and on that date were 0.45 cents
higher than one month ago and 0.35 cents
higher than one year ago. Zinc prices continued
to fluctuate in response to frequent changes in
the prevailing relation between supply and de
mand. Average prices paid for the principal
non-ferrous metals during December, 1923, N o
vember, 1923, and December, 1922, follow :
_
Lumber Production, Orders Received, and Shipments in Twelfth
Federal Reserve District as Reported by Four Lumber
Associations, 1922-1923
/1t_ N
D ec., 1923
Copper (lb.)
(cents)
New Y o rk Electrolytic.. 12.82
Lead (lb.)
N ew Y o r k ............................
7.37
Silver (oz.)
New Y o r k ............................ 64.71
Zinc (lb.)
St. L o u is...............................
6.26
Quicksilver (dollars per
flask) San Francisco------ 59.75
N o v .,1923
(cents)
Dec., 1922
(cents)
12.73
14.07
6.85
7.16
63.82
63.91
6.35
7.00
61.09
70.75
Mining
The value of gold and silver produced in the
states of this district during 1923 has been esti
mated by the Director of the United States
Mint at $69,334,598, an increase of 11.6 per cent
over the $62,121,862 of gold and silver produced
in the same states during 1922. National pro
duction of gold and silver during 1923 was val
ued at $110,919,884 compared with $104,606,859
in 1922. Segregated figures fo llo w :
-1 9 2 3 Gold
Silver
Tw elfth District $28,428,400 $40,906,698
U nited S t a t e s ... 51,378,700
59,541,184
-1 9 2 2 Gold
Silver
$24,738,300 $37,383,562
49,096,000 55,510,859
There was little change in production of the
principal industrial metals of the district during
December as compared with preceding months
of 1923 according to preliminary returns re
ceived by this bank. The figures of national
production o f copper, silver, zinc, and quick
silver during November, 1923 (December fig
ures are not available), October, 1923, and N o
vember, 1922, are presented in the following
table :
Copper (lbs.) mine
N ov.. 1923
Oct., 1923
N ov.. 1922
production ........ 127,410,543 132,934,701 102,593,152
Silver (oz.) (com
mercial b a r s ). . .
4,894,135
5,428,071
4,869,905
Zinc (tons)
(slab) ...................
44,280
42,098
38,746
Quicksilver (flasks—
75 lbs., estimated)
800
800
550
Figures for lead are not available.
The market for copper was dull during D e
cember, prices for electrolytic copper on the
Petroleum
Production of petroleum in California during
1923 was almost twice as great as in the previ
ous record year 1922, and the proportion of total
United States output produced in that state in
creased from 25.3 to 35 per cent. The figures
for recent years fo llo w :
California
Production
(barrels)
192 0
192 1
192 2
1923*....................
105,668,000
114,709,000
139,671,000
262,000,000
United States
Production
(barrels)
443,402,000
469,639,000
551,197,000
745,000,000
Per Cent
California
to
United States
23.8
24.4
25.3
35.0
"Estim ated.
The peak of production in California was
reached during September, 1923, when output
of the newer flush fields in Southern California
was at its height, and during the last three
months of the year the flow of oil declined
steadily.
Average Daily Production of Petroleum in California
(in barrels)
N ov., 1923
O ct.. 1923
Sept., 1923
D ec.. 1922
D ec., 1923
706,427
746,595
792,787
858,750
497,639
During December, 1923, for the first time in
tw o years, consumption of California petro
leum, as indicated by producers’ shipments, was
greater than production, and stored stocks de
clined slightly. A t 91,925,153 barrels, stocks
held in that state on January 1, 1924, were 0.2
per cent less than the 92,081,143 barrels (re
vised figure) held on December 1,1923, but 50.2
10
January, 1924
M O N T H L Y REVIEW OF BUSINESS CONDITIONS
per cent greater than the 61,184,928 barrels held
on January 1, 1923.
Refinery output of gasolene declined 2.2 per
cent during December, 1923, as compared with
November, 1923, but was 60.8 per cent greater
than in December, 1922. Consumption during
December declined more than did production,
however, and stored stocks of gasolene on Jan
uary 1, 1924, had risen to 191,780,375 gallons,
an increase of 9.9 per cent over the 174,452,019
gallons held on December 1, 1923, and of 93.0
per cent over the 99,366,400 gallons held on
January 1, 1923.
M IL L IO N S
all industries for which segregated figures are
available showing increases. N ot all of this in
crease, however, represents an increase in total
business of the district. A part of it (statistics
are too recent to permit an estimate of how
large a part) represents the normal annual
growth of the power companies at the expense
of distributors of coal, oil, and other forms of
fuel for power. As compared with October,
1923, sales during November, 1923, decreased 6.4
per cent, due principally to a further seasonal
decline amounting to 41 per cent in the use of
electric power for agricultural purposes. Sales
to manufacturing establishments declined 4.3
per cent as compared with the preceding month.
Percentage comparisons of sales by certain in
dustries and by sections of the district are pre
sented in the follow ing table:
Percentage Increase or Decrease (— ) November, 1923, compared
with November, 1922
Total
Agricul
M anu Industrial
ture
Mining facturing
Sales
17.9
C a lifo rn ia ......................
Pacific N orth w est___ — 8.2
Intermountain States. — 57.0
Tw elfth D istrict..........
14.7
7.2
— 2.0
65.3
14.0
15.9
32.5
14.3
19.5
20.0
13.4
29.9
19.7
MILLIONS OF KILOWATT HOURS
Production, Shipments, and Stored Stocks of Petroleum, and Refinery
Stored Stocks of Gasolene, 1922-1923
On January 21, 1924, prices of crude oil in
California were advanced 25 cents per barrel,
and refined products (including gasolene) were
advanced 2 cents per gallon. Prices paid pro
ducers of crude oil now range from 85 cents per
barrel of oil of 14 to 19.9 degrees gravity to
$1.01 per barrel o f oil of 35 or more degrees
gravity. The service station price of gasolene
in the San Francisco Bay region is now 16
cents per gallon (not including state tax of 2
cents per gallon). H igh and low points of retail
gasolene prices (in cents per gallon) at San
Francisco during recent years are shown in the
follow ing ta b le:
M ay,
July,
1914................ 1 4 ^ August,
1920.............. 27
September, 1923.............. 14
1915................ 11
January, 1924...................... 16
Electric Energy
Sales of electric energy for industrial pur
poses reported by 20 principal power companies
in this district were 19.7 per cent greater during
November, 1923, than during November, 1922,
Total Industrial Sales (R. W . H .) of 20 Power Companies in Twelfth
Federal Reserve District, 1922-1923
Figures showing the number of industrial
consumers and industrial sales of reporting
companies during November, 1923, and 1922
fo llo w :
Number of
Industrial Consumers
N ov.,
N ov.,
1923
1922
C a lif o r n ia .................... 74,659 55,702
Pacific Northwest . . . 12,576 11,158
Intermountain States 5,062* 10,650*
Tw elfth District . . . .
92,297
77,510
Industrial Sales K .W .H .
N ov.,
N o v ..
1923
1922
230,782,427
192,271,684
87,948,424
55,225,609
373,956,460
77,515,688
42,498,896
312,286,268
*Due to a change in the statistical method of one reporting com
pany these figures are not comparable.
Employment
Steady employment of practically all kinds of
workers, a lower rate of labor turnover, and im
proved industrial relations characterized the
employment situation in this district during
the past year. Employment in most of the
major industries of the district increased as
compared with 1922, and during the period of
greatest industrial activity in the spring and
early summer there was some shortage of
workers, particularly in mining districts and in
the building trades. Curtailment of activity in
some lines during the summer months and an
influx of workers from other parts of the coun
try relieved this shortage, but during the
autumn the number of farm laborers in several
sections was inadequate. T he month of D e
cember witnessed a normal seasonal decline in
volume of employment as activity in farming
areas and in outdoor construction work of all
kinds abated. Seasonal closing of many of the
lumber mills and camps in the Pacific North
west also resulted in temporary unemployment
of a large group of workers. The number of
men employed in lumber operations in this
section was estimated at 74,600 on January 1,
1924, compared with 90,000 on December 1,
1923.
W ages during the year have been relatively
stable, although a slight upward trend in the
building trades and in agriculture was noted.
The follow ing table shows average wages paid
farm laborers in the United States during the
year 1913 and the five years since the close of
the war.
AVERAGE WAGES OF MALE FARM LABOR*
Per Month
With Board
1913.................................
191 9
192 0
192 1
192 2
192 3
11
FEDERAL RESERVE AG EN T A T SAN FRANCISCO
January, 1924
Per Day at Harvest
With Board Without Board
$21.38
39.82
46.89
30.14
29.17
33.18
$1.57
3.15
3.60
2.24
2.20
2.45
$1.94
3.83
4.36
2.79
2.72
3.03
months of 1923 and 1922 are presented in the
follow ing table:
Total
N ew Passenger
Cars Registered
Jan. 1 to Dec. 1
1923
1922
Total
New Commercial
Cars Registered
Jan. 1 to Dec. 1
1923
1922
A r i z o n a .................
9,515
4,563834
California ............ 208,646 135,319
Idaho .....................
8,586
4,200
O r e g o n ..................
32,239
14,538
U t a h ........................
10,530
*
W ashington ........ 42,976
16,680
Total . . . . ■ ......... 258,986
158,620
259
22,199
647
1,602
975
271
25,282
17,051
396
1,451
*
*
19,157
*N ot available.
Total registrations of old and new automo
biles in six states of the district (the figures for
Nevada are not available) during 1923 have
been estimated at 1,707,172, an increase of 27.6
per cent over the 1,337,421 cars registered in
1922. Total registrations of automobiles in the
United States during 1923 have been estimated
at 14,500,000, an increase of 18 per cent over
the 12,239,114 cars registered in the preceding
year.
Seasonal declines in the production of auto
mobiles occurred during December, 1923, ac
cording to preliminary figures compiled by the
Federal Reserve Bank of Chicago, but output
continued considerably greater than a year ago.
Estimates of the National Automobile Cham
ber of Commerce place total production of auto
mobiles for 1923 at 4,014,000 vehicles (3,644,000
passenger cars and 370,000 trucks), an increase
of 50 per cent over the 2,659,064 cars produced
in 1922, the previous record year. Figures
showing the national production of automobiles
during December, 1923, November, 1923, and
December, 1922, as compiled by the Federal
Reserve Bank of Chicago, are presented in the
f o llo w in g t a b l e :
Dec„ 1923* Nov.. 1923* Dec., 1922
Passenger C ars................... 228,765
Trucks .................................... 24,171
236,351
23,599
207,483
19,640
Total ................................... 252,936
259,950
227,123
*U nited States Department o f Agriculture.
*Preliminary figures.
Automobile Registrations
Retail Trade
There was an increase of 29.5 per cent in the
number of new passenger cars registered in re
porting states of the district during November,
1923, compared with November, 1922, and
registrations of new commercial vehicles in
creased by 15.7 per cent. During the first 11
months of 1923 as compared with the same
period of 1922 increased registrations amount
ing to 63.3 per cent for passenger cars and 31.9
per cent for trucks were noted. Figures show
ing registrations o f new automobiles in the
states of this district (except for Nevada, for
which figures are not available) for the first 11
Christmas trade at retail, as shown by the
value of sales of 34 department stores in seven
cities of the district during December, 1923,
was 14.4 per cent greater than in 1922. All sec
tions of the district participated in the increase.
Stocks of goods on retailers’ shelves were
greatly reduced by holiday sales, and were 16*1
per cent less in value on January 1, 1924, than
on December 1, 1923. They were 9.9 per cent
greater in value on January 1, 1924, than on
January 1, 1923. The average annual rate of
turnover of department store stocks for the last
six months of 1923 was 2.57, compared with a
12
M O N T H L Y REVIEW OF BUSINESS
rate of turnover of 2.64 for the same period in
1922.
A detailed statement of the percentage
changes in the value of sales and stocks of re
porting department stores in this district fol
lows .
Percentage increase Percentage increase
or decrease (—) in
value of
sales Dec.. 1923,
compared with
N o. of
D ec.,
N ov.,
Stores
1922
1923
L os A n g e le s......... ..6
Oakland ..................4
Salt Lake C i t y ... 4
San F ran ciscof.. . 9
Seattle ................... ..5
Spokane ..................5
District* . . . . . . 3 4
30.0
8.6
1.8
6.1
5.5
0.6
14.4
or decrease (— ) in
value of
stocks D ec., 1923,
compared with
D ec.,
N o v .,
1922
1923
60.1
87.3
65.5
62.3
61.6
41.8
22.3
3.1
*9.7
7.2
3.8
3.0
61.7
9.9
— 12.6
— 17.6
— 16.0
— 16.2
— 21.1
— 14.3
— 16.1
*Figures for one store included in district figures, but not included
in figures for cities shown above.
■{•Preliminary.
CONDITIONS
January, 1924
sales of these 11 lines were less than in N o
vember, a decline which is doubtless largely
seasonal in character.
Percentage increases or decreases (— ) in the
value of December sales of all reporting firms
in each line of business are presented in the
following
table:
xlw elve ^
.
°
Months
Ending Dec. 31,
D ec., 1923,
1923, corncompared with pared with
D ec.,
N o v ., same period
1922
1923
in 1922
Number
of Firms
Agricultural Implements 23
Automobile Supplies___ 18
Autom obile T ir e s............ 18
D r u g s ....................................
9
D ry G oo d s........................... 13
Electrical E q u ip m en t...
6
Furniture ............................ 16
Groceries ............................ 26
Hardware ............................. 21
Shoes ...................................... 14
S ta tio n e ry ........................... 29
— 5.2
11.9
— 10.4
8.9
4.3
12.5
20.4
— 2.1
6.6
— 21.5
— 3.7
— 4.8
— 8.8
— 0.1
— 17.9
— 21.7
16.5
5.5
— 27.9
— 6.1
— 19.9
— 1.6
11.1
21.8
7.5
15.2
13.7
28.1
22.6
9.6
16.5
6.6
11.0
DECEMBER PRICES I922=I0036=DECEMBER 1922SALES
U.&BUREAU Op LABOR INDEX
NO. WHOLESALE PRICES
[D EC EM BER | l92 3 ^g ||
[E e c e m b e r I i S S u a l
AGRICULTURAL IMPLEMENTS
■
I H
M
H
AUTOMOBILE SUPPLIES
AUTOMOBILE TIRES
DRUGS
D R Y GOODS
FURNITURE
a
H
H
GROCERIES
HARDWARE
wmMÊwmwmi
SHOES
B
H
H
a
|
STATIO N ERY
1
20
Net Sales of 31 Department Stores in Twelfth Federal Reserve District
1 , 1
40
60
1
60
too
120
140
160
( i n M illio n s of D ollars)
Dollar Value of Sales of Representative Wholesale Firms and General
Wholesale Prices in December, 1923, compared with December, 1922
Wholesale Trade
Considerable irregularity is revealed in the
December reports of 11 wholesale lines. As
compared with sales of December, 1922, the
results of December, 1923, showed a decrease
in five lines, and an increase in six, as fo llo w s:
Shoes ......................
Automobile Tires
Agricultural
Implements
S ta tio n e r y ............
G r o c e r ie s ...............
— 2 1 .5 %
— 10.4
— 5.2
— 3.7
— 2.1
F u r n itu r e ....................... ..+ 2 0 . 4 %
Electrical Equipm ent. + 1 2 .5
Automobile Supplies.. + 1 1 .9
Drugs .............................. ..+ 8.9
Hardware ........................+ 6.6
D ry G oods........................+ 4 . 3
W holesale prices as a whole in December,
1923 (United States Bureau of Labor in d ex =
151) were approximately the same as in De
cember, 1922 (United State Bureau of Labor
in dex= 156), so that the disparities apparent in
the above comparisons are chiefly due to differ
ences of conditions in the particular lines of
trade. E xcepting in electrical equipment and
furniture, where increases of 16.5 per cent and
5.5 per cent, respectively, occurred, December
Collections during the past three months
have been reported as fo llo w s :
Number of Firms Reporting Collections as
Excellent
Good
Fair
Poor
October,
1923.................. 9
November, 1923.................. 6
December, 1923.................. 8
57
55
39
77
50
65
4
6
7
Building Activity
The year 1923 established a record for build
ing activity in the Twelfth Federal Reserve
District. There were 144,673 permits authoriz
ing construction valued at $419,726,221 issued
in 20 cities of the district during the year. In
1922, the previous record year, the number of
permits issued was 122,295 and their value
$310,644,294.
Continuance of active building is forecast by
the record of building permits issued in these
cities during the past few months. The usual
winter decline in these figures has been of small
January, 1924
13
FEDERAL RESERVE AG EN T A T SAN FRANCISCO
proportions, and in December there was an
actual gain in the value o f permits issued as
compared with the previous month, although
their number showed a normal seasonal de
crease.
Percentage Increase or Decrease (— ) in the Number and Value of
Building Permits issued in 20 Cities
D ec. 1923, compared with
D ec., 1922
N ov., 1923
Number of Permits Issu ed..............
Value of Permits Issued....................
30.1
66.3
— 18.3
20.6
The United States Department of Labor in
dex number of building materials prices stood
at 178 in December (1913 prices=100). This is
1.7 per cent lower than a month ago, 3.8 per
cent lower than a year ago, and 12.7 per cent
below the peak of April, 1923.
Business Failures
The total number of business failures in this
district during 1923 was 7.2 per cent less than
the number of failures during 1922, and liabili
ties involved were less by 19.5 per cent. A ver
age liabilities amounted to $13,718 compared
with $18,874 in 1922, and $18,441 in 1921. The
follow ing table, based on R. G. Dun & Com
pany’s figures for this district, shows the total
number and liabilities of business failures for
the years 1920-1923, inclusive, together with
average liabilities of failing concerns during
those years:
Number of
Failures
Liabilities
Average
Liability
2,050
2,209
1,851
1,187
$28,123,072
34,936,823
34,280,351
28,407,979
$13,718
18,874
18,411
23,932
1923............. .............
1922............. .............
1921............. .............
1920.............. ..............
LIABILITIES INMILLIONS
10
A
t’
\!
NO. O F
'w
rA IL U R E 1s
A
t•
!
/»
'" '
NO. OF FAILURES
250
V
r**
w
«
v'
\ f\
i. ..i.
200
150
A
IOO
IL IT IE S
V
1
X
A
\* ' \/t\'
T V
...1.
l .1
L , L 1__ 1
1
l, j
/
•/
i...l _ i
1922
L.. t .1
k
!
50
1
!
1923
Business Failures, Twelfth Federal Reserve District, 1922-1923
Building Permits Issued in 20 Principal Cities, Twelfth Federal
Reserve District, 1922-1923
(D ) B uilding Perm its—
December, 1923
N o.
Value
B e r k e le y .........
B o i s e ................
Fresno ............
L o n g B e a c h ...
Los Angeles..
Oakland .........
O g d e n .............
Pasadena ........
Phoenix .........
Portland......
R e n o .................
Sacramento . .
Salt Lake City
San D ie g o .. . .
San Francisco
San Jose..........
Seattle .........
Spokane ......
Stockton ........
Tacom a ..........
189
30
126
342
4,721
874
18
332
59
886
6
205
59
410
746
83
617
81
116
212
D istrict . . . . 1 0 , 1 1 2
$
December, 1922
N o.
Value
601,600
37,215
142,940
1,255,104
20,758,194
2,583,312
263,500
551,314
149,515
1,452,860
15,050
607,633
293,300
1,047,301
4,952,444
114,030
1,060,930
76,622
351,725
341,796
112
32
187
318
3,613
602
25
298
52
593
16
159
69
374
528
74
456
52
60
147
$
$36,656,385
7,767
$22,034,644
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
There were declines both in number and lia
bilities of business failures in this district dur
ing December, 1923, as compared with N ovem
ber, 1923, amounting to 13.7 and 17.5 per cent,
respectively. Compared with December, 1922,
the number of business failures during Decem
ber, 1923, declined 9.1 per cent, and liabilities
involved declined 39.1 per cent. The average
liabilities of business failures in this district
during December, 1923, amounted to $13,053,
compared with $13,647 in November, 1923, and
$19,484 in December, 1922.
R. G. Dun & Company’s preliminary figures
of the number and liabilities of business failures
in the states of the district during December,
1923, and November, 1923, follow :
December, 1923
N o.
Liabilities
.
4
81
2
107
8
1
O r e g o n ............. , .
Utah ................... , .
W ashington . . .
10
1
30
9
34
26,877
743,851
157,265
6,618
347,003
298,458
625,896
33
8
37
167,836
1,385,578
64,063
24,099
214,533
266,666
551,979
.
D is t r i c t .........
169
$2,205,968
196
$2,674,754
C a lifo rn ia .........
$
November, 1923
N o.
Liabilities
$
14
M O N T H L Y REVIEW
OF BUSINESS CONDITIONS
Savings Accounts
Savings deposits in 74 banks in seven princi
pal cities of the district increased from $957,980,000 on November 30, 1923, to $980,205,000
on December 31, 1923, a gain of 2.3 per cent.
All cities participated in the increase except
Salt Lake City which showed a decline of 0.5
per cent. Compared with December, 1922, the
MILLIONS OF DOLLARS
1000
variations, shows that the December total was
smaller than in any other month of 1923 except
September. The figures fo llo w :
(1919 AVERAGE = 100)
July ...............
125.6
128.2
134.9
131.3
131.4
140.9
April
M ay .
June .
, 126.2
123.9
117.2
125.5
127.9
, 120.4
S e p te m b e r .......
O cto b er............
N ovem ber . . . .
December . . . . ,
The movement of these figures gives a fairly
accurate picture of the course of business in the
district during the past year. A ctivity in indus
try and trade noted during the closing months
TOTAL
500
400
300
January, 1924
S A M F R A N C IÎ
MILLIONS OF OOLLARS
2800
)S ANGELE
200
2600
100
2400
50
40
30
\ 1923
1
/
/
/
/
/\
/
.... 1 —.*—
*' ""Vv / ...
✓✓
2200
SPO K A N E
\\ 11
\\ it
1800 ......1\i /
10
1922
V
1923
Savings Accounts in Banks in Seven Principal Cities of the
Twelfth Federal Reserve District, 1922-1923
district figures for December, 1923, show an in
crease of 13.7 per cent. Detailed changes in the
amount of savings deposits since one month
ago and one year ago as reported by 74 banks
in seven cities fo llo w :
Per CeBt Increase
Number of
Reporting
Banks
, 13
L os A n g ele s...........
, 7
Oakland* ................
..
9
P o rtla n d ..................
8
Salt Lake C ity -----San Francisco........ ........... 15t
16
Seattle .....................
6
Spokane ..................
T o t a l ....................
74f
or Decrease (—)
Dec., 1923, compared
with
Nov., 1923
Dec.. 1922
——______
Debits to Individual Accounts in 20 Principal Cities, Twelfth Federal
Reserve District, 1922-1923
(E) Bank Debits*—
1.6
2.3
1.9
— .5
2.9
2.7
2.5
Lon g B each............................
L o s A n g ele s ...........................
Oakland ..................................
O g d e n ......................................
Pasadena ...............................
Phoenix ..................................
P o r tla n d ..................................
13.7
2.3
S a c ra m e n to ...........................
Salt Lake C ity .......................
San D ie g o ...............................
San Francisco........................
San Jose...................................
Bank Debits
Debits to individual accounts at banks in 20
clearing house centers increased by less than
the normal seasonal amount during December,
and this bank’s index, which allows for seasonal
Four weeks
ending
Jan. 2, 1924
Berkeley ................................ . ,
17.8
11.6
13.9
11.3
10.4
19.0
13.9
*Includes one bank in Berkeley which was form erly a branch o f an
Oakland bank.
fT h e consolidation o f two reporting banks has reduced their num
ber by one, but has not affected the value o f reported figures
for comparative purposes.
1
I
1
1
\ Y « V 1922^-.
1 \■X«'
2000 \\
t
20
Spokane ..................................
Stockton ................................
, ,,
. ..
.. ,
. ,,
$
14,275
11,917
41,017
52,075
690,312
115,774
26,733
30,000
21,455
149,106
10,342
50,314
71,524
43,860
718,145
20,073
160,423
45,845
24,073
35,489
9,683
, ,,$2,342,435
*000 omitted.
Four weeks
ending
Jan. 3, 1923
$
14,333
14,739
57,102
44,352
564,251
103,854
31,545
26,810
18,303
128,633
10,522
73,459
69,579
43,159
681,698
21,079
149,254
44,385
21,121
35,807
9,210
$2,163,195
FEDERAL RESERVE AG EN T A T SAN FRANCISCO
January, 1924
o f 1922 continued at an accelerated pace during
the spring of 1923, reaching a peak in the early
summer of that year. Then followed a sharp
decline, bred partly of fear o f the consequences
o f the previous rapid rise, which culminated in
the early autumn. Since that time some revival
o f activity has occurred, but, as is illustrated
by the figures for December, the movement is
a cautious one.
Total debits to individual accounts during
1923 amounted to $29,453,000,000 compared
with $25,122,000,000 during 1922, an increase
o f $4,331,000,000 or 17.2 per cen t
Banking and Credit Situation
Year end financial adjustments have ob
scured credit trends during recent weeks, but
figures now available for the first half of Janu
ary indicate that bank credit in this district is
now somewhat more abundant than it was be
fore the turn of the year, accompanying the
M I L L I O N S OF DO LLARS
320
15
banks increased their borrowings at the R e
serve bank from $51,563,000 on December 12,
1923, to $64,955,000 on December 26, 1923, and
then reduced them to $45,296,000 by January
16, 1924. The temporary demand for additional
hand to hand currency normally experienced
during the Christmas holiday period was met
by an increase in Federal Reserve note circula
tion from $214,853,000 on November 28, 1923,
to $232,397,000 on December 26, 1923. Since
the latter date, the need for additional currency
having passed, circulation has fallen, and on
January 16, 1924, the amount of notes out
standing was $212,616,000.
The downward trend of interest rates from
the autumn peak continued during December
and early January. W eekly average interest
rates on various classes of paper in the New
Y ork market are shown in the following table.
(Figures are for week ending on date shown.)
Jan. 12,
1924
Tim e M o n e y .................4$4~5
Commercial Paper
(4 -6 m on th s)........... 4^4
B a n k e d Acceptances 4*4
Dec. 8,
1923
Autumn
Peak
Jan. 13,
1923
5-554
5^
4.63
280
1922
1923
Total Reserves, Federal Reserve Note Circulation, Bills Discounted,
and Investments, Federal Reserve Bank of San Francisco
pronounced ease reflected in the New Y ork
money market since January 1st.
Principal items in statements of reporting
member banks in large cities of the district in
creased, in most cases, during the first three
weeks of December, and then declined to pre
vious levels in the follow ing three weeks. Total
deposits, however, moved steadily upward
throughout the entire period, and at $1,344,183,000 on January 9, 1924, were at the highest
point ever reported. The ratio of total deposits
to total loans at these banks stood at 133.6 on
January 9, 1924, compared with 128.2 on D e
cember 5,1923, and 139.8 on January 10, 1923.
A similar seasonal movement to that experi
enced by member bank figures characterized
the fluctuations of items shown in the state
ments of the Federal Reserve Bank. Member
100
50
B IL L S P VYABLE A ND R ED i: C O U N T S
W ITH F E D E R A L F E S E R V E B A N K
i
i
i __!..
1922
.
i l
V
V
..1 .J—
— l— 1—
i
1923
l
i
__ 1— 1
Total Deposits, Loans and Discounts, Investments, and Bills Payable
and Rediscounts of Reporting Member Banks
Reports received by this bank from 35 of the
principal accepting banks of this district show
the follow ing changes in the amount of bills
purchased and accepted during December, 1923,
compared with November, 1923, and December,
1922:
December. 1923, compared with
N ov., 1923
D ec.. 1922
Am ount of bills accepted ___
+ 1 7 .7 %
Am ount of bills bought ..........
— 22.3%
Am ount of bills held at close of
m o n t h .........................................
— 18.9%
— 0.9%
— 33.5%
— 73.9%
16
M O N T H L Y REVIEW
OF BUSINESS CONDITIONS
The principal commodities upon which these
acceptances were based were canned and dried
fruits, raisins, lumber, coffee, merchandise, and
sugar.
The amount of long term credit extended to
agriculture by special agencies created for that
purpose has increased in all states of the dis
trict during the past year, outstanding loans of
Federal Land Banks and Joint Stock Land
Banks being, respectively, 11.5 and 133.0 per
cent larger on December 31, 1923, than on De
cember 31, 1922. The figures by states of the
district fo llo w :
LOANS OUTSTANDING AT CLOSE OF YEAR
Federal Land Banks
Joint Stock Land Banks
1923
1922
. .$ 4,342,800 $ 2,917,000
..
12,284,100
15,558,400
. 22,909,895
18,845,645
666,200
528,100
..
19,639,080
17,715,105
..
13,845,200
11,911,200
..
27,734,345 23,366,445
1923
1922
$ 1,320,000 $
232,300
12,213,350
6,281,100
1,645,300
55,600
292,700
7,474,700
3,609,700
120,700
645,300
1,747,700
576,250
District . . . .$101,421,620 $90,841,895
$25,339,050 $10,875,650
A r i z o n a -----California . .
Idaho ............
Nevada . . . .
O regon -----U tah ..............
W ashington
January, 1924
Federal Intermediate Credit Banks which be
gan operations in the summer of 1923, and
which loan money for agricultural purposes for
periods (six months to three years) intermedi
ate between short time and long time credit,
had outstanding loans amounting to $7,236,933
on December 31, 1923. As the Federal Inter
mediate Credit Banks have entered the field
of agricultural finance the W ar Finance Cor
poration has prepared to withdraw. The an
nual report of the latter body for the year
ending November 30, 1923, gives the follow
ing figures for the Twelfth Federal Reserve
D istrict:
Advances Through
and Loans
Outstanding with
Approved
Advanced
Repaid
Outstanding
Nov. 30,
1923
B a n k s ..........................$16,516,814 $14,371,597 $13,662,674 $ 708,922
Livestock Loan
C o m p a n ie s........... 21,210,718
18,881,338
12,623,044 6,258,293
Cooperative Market
Associations . . . . 19,240,189
3,707,185
3,707,185
Totals
................... $56,967,721 $36,960,120 $29,992,903 $6,967,215
PRINCIPAL RESOURCE AND LIA BILITY ITEMS OF REPORTING MEMBER BANKS IN RESERVE
CITIES IN TW ELFTH FEDERAL RESERVE DISTRICT
January 9, 1924
December 5, 1923
Jan«ary 10, 1923
N u m b er o f R e p o r t in g B a n k s .........................................................................
68*
Loans and Discounts (including rediscounts)........................................$1,005,658,000
Investments ............................................................................................................
344,192,000
Cash in Vault and with Federal Reserve B ank......................................
127,085,000
Total Deposits ....................................................................................................... 1,344,183,000
Bills Payable and Rediscounts with Federal Reserve Bank...........
32,746,000
65*
$1,001,779,000
343,740,000
119,313,000
1,284,881,000
33,996,000
66*
$ 902,427,000
347,582,000
119,315,000
1,261,296,000
14,480,000
*D u e to changes in the composition o f the list o f reporting banks, current figures are not exactly comparable with those o f a month ago
or a year ago.
COMPARATIVE STATEMENT OF CONDITION OF FEDERAL RESERVE BANK OF SAN FRANCISCO
AT CLOSE OF BUSINESS, JANUARY 16, 1924
RESOURCES
December 12, 1923
January 17, 1923
T otal Reserves ...................................................................................................... $290,732,000
Bills Discounted ..................................................................................................
45,296,000
Bills Bought in Open M arket.........................................................................
34,134,000
United States Government Securities..........................................................
12,542,000
January 16, 1924
$299,183,000
51,563,000
33,506,000
9,185,000
$263,836,000
33,289,000
35,290,000
40,767,000
Total Earning A s s e ts .......................................................................................... $ 91,972,000
A ll Other Resources*.........................................................................................
57,366,000
$ 94,254,000
62,134,000
$109,346,000
54,438,000
Total Resources................................................................................................$440,070,000
$455,571,000
$427,620,000
Federal Reserve Notes in Actual Circulation.......................................... $212,616,000
Total D e p o s it s ....................................................................................................... 161,410,000
Capital and Surplus.............................................................................................
23,182,000
A ll Other Liabilitiesf..........................................................................................
42,862,000
$224,905,000
159,917,000
23,127,000
47,622,000
$219,075,000
146,682,000
23,008,000
38,855,000
Total Liabilities................................................................................................ $440,070,000
$455,571,000
$427,620,000
L IA B IL IT IE S
♦Includes “ Uncollected Item s” .......................................................................
•(•Includes “ Deferred Availability Item s” .................................................
44,938,000
41,267,000
47,994,000
45,268,000
42,847,000
37,907,000
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