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287
X-4478
FZDERAL
RESERVJ;
:BOARD
J<~or Release in Morning Papers,
Monclay, Dece!nl~r 28, 1925.
T:1e following is a su.t..:nary of general
bu!: iness and financial conditions thro,Jghout tr~ several Federal Reserve Districts.
based upon statistics for the months of
Nove~ber·n~d December, as contained in the
forthcoming issue of the Federal Reserve
:Bulletin.
Production of basic
co~~oditics
in November continued in about the
same volume as the month before* and the general level of prices rerr..ained
unchanged.
Activity of wholesale and retail trade was below the record
level of October, but larger than in November of last year.
}.='reduction.
Output of l:o.sic industries included in tl:e Federal Reserve :Board 1 s index of production was at aeout the sarre rate in No7ember as in October, but
owing to a
cent.
sm~llGr
number of
worki~g
days tlm index declined by about 1 per
Increases occurred in average daily p':'oduction of pig iron, steel
ingots, copper, and bitmrinous coal, a...'ld in t;he consumption of cotton, while
the :production of flour, sugar, and meat products declined.
Automobile
production in Uovcmber was seasonally less than in Octeber, but continued
large for this time of the year.
Employment and payrolls in manufacturing
industries showed s:na.ll increases in November as compared with October.
Employment ond worknon 1 s earnings increased in the rr..achinory indus tries,
while in food products and tobacco and in the clothing industry there were
...
seasonal declines.
B1.lilding contracts awarded were smaller in November
than in October, but were large when compared with the volu1ne for November
of previous years.
288
-2-
...
Final estimateG by the Deparktent of Agriculture in 1925 indicate ttJ.8.t
the acree.ge of all crops harvested y;as slightly larger tban in 1924, but tlJat
the aggregate production of crops was in about the same volu.r:1e.
Yields of
cotton, corn and tobacco wore considerably larger tha~ last year, while the
J?roduction of wheat, oats, potatoes, and hay was smaller.
Trade.
Sales in leading lines of wholesale trr.:.de shov:ed the usual decline in
Novenber from tho seasonally high levels in October, but continued larger
thou in the corresponding r:tonth of uny of tho past five years,
Total volu.'!le
of trade at department stores and ma.i 1 crdor houses was sr.Ja.ller than in
October, ov1ing largely to the sr.1aller nm:1ber of business days in November.
Co0f>ared with earlier years, however, departnent store sales were the
largest on record for lTovenbcr and sales at nail order housos wore tho
•
largest for tl1at month in the past six years.
Merchandise stocks at de-
partment stores showed considerably more than the usual increase in November and were 4 per cent larger than in November of last year.
Distri-
bution of comrnodi ties by railroads during November reached new high levels
for the month.
Movements of merchandise and miscellaneous commodities,
coal, and coke were larger, while those of livestock, grain, and forest
products were somewhat smaller thru1 in November of the two preceding years.
Prices.
Wholesale prices, according to the index of tho Bureau of Labor
Statistics, remained the some in November as in October.
Prices of live-
stock, meats, and. cotton goods declined, but thorJe decreases were offaet
in the general averages by advances in the price of grains, fuel, lumber,
. ...
X-4478
-3-
a.nJ. r<lllber.
In the first th:ree weeks of
Dece:n-~~er
289
prices of wheat, flour,
and hardwood lunber '<7ure slit"c1tly hi 1_:sl1.er t:1n.n :Ln Hovernber, while quotations
on cattlo, cotton, coke, canpGr,
1.r~d
hides i7ero lorrer.
liank Credit.
-1
At mer:1ber banks in leading cities the volume of credit outstanding G>n
De0efuber 9 was near tho high level roached early in 1Tovornbcr.
Loans for
cornr.:ercial ar.rl Ggricultu:;:al pu::po::;es declined so::1errhat during the period,
and
t~ero
was also a decrease in t~~ banks 1 security holdings; continued
growth of loons on securities, however, was sufficient to offset those reductions and trJ.O total of
lo~:ms
and. invos trJon ts rcmt;.,ined practically un-
changed •
.At tho reserve bunks the seasonal dor.:JD.nd for ccin·ency and credit re-
.
sulted in a.n increase of total bills and soc\lr:i. tiE.:s in De comber to the
highest level in nearly :i'our yenrs.
This increase in reserve bank credit
in usa has been in tho fori:'\ of eli sconnts for :::lEJi.lbor banks, as the volume
of purchased bills held chru:tell but H ttlo between tho niddle of Noveo.ber
and the ;:1idJ.lo of Docer:.oor, and holdings of United States securities also
rern.a.inod conctant, except for a tcnporary increase connected with' Treasury
financing on December 15.
Mone~r in circulation increased by
$?1, 00'), 000
between Uover.J.ber 1 and Decm~ber 1 and the con tiuu.ed dernLmd for currency in
December was reflected. at the reserve banks both in increased Federal re-
...
serve note circulation and in a decline in cash reserves.
Duri::.g tho latter P'Jit of November and the early part of December openmnrket rntes on corn.rr1.ercial pepor and acceptances remained substantially
•
unchanged.
Later in Docm:1ber increased dcmend for credit and currency,
lar{;el;;,r seasonal in character, was reflected in firmer money conditions.
@FedFRASER