The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
Released to Press Sept. 30, 1922.
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MONTHLY REVIEW OF BUSINESS AND
INDUSTRIAL CONDITIONS
IN THE
ELEVENTH FEDERAL RESERVE DISTRICT
FEDERAL RESERVE BANK OF DALLAS
w.
F. RAMSEY. Chairman and Federal ReseNe Agent
CHAS. C. HAll. Assistant Federal ReserVe Agent
(Compiled September
IS. 1922)
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Volume 7
Dallas, Texas, October
I, 1922
No.8
GENERAL SUMMARY
Sustained progress in the industrial improvement
of the Southwest marked the trend of developments
in the closing month of summer. Trade reports, on
the eve of the annual movement of the cotton crop,
continue to evince the optimistic tone which has
characterized them for several months past, and,
what is more to the point, are now accompanied and
supported by sales statistics which afford ample
proof of the fact that a fairly prosperous season is
already here. The situation, to be sure, is not entirely without its untoward aspects. But the general direction of events and developments since our
last report was issued has been distinctly along the
line of continued improvement, and is therefore encouraging. It is true that the trend of the cotton
market during the past thirty days has not been altogether as satisfactory as was expected and hoped
for. In fact, the critical period of this year's cotton
crop was featured by a government condition report,
as of August 25th, which, though showing a heavy
deterioration since the preceding report, was construed as favorable to the bears, and was followed by
a sharp break in the cotton market. This was
largely attributable to the fact that the damage inflicted during the month of August by drouth and
insects had been thoroughly discounted, and, in fact,
rather overestimated by the trade. Contrasted with
the situation that existed in the cotton market a year
ago, when the Government's August 25th report, indicating an unexpectedly short crop, caused a buyers' stampede and ran the price up to an excessive
figure, which was followed later by an even greater
fluctuation downward, the present position of the
cotton producers is one of greater security and confidence, so far as the future course of the market is
concerned, than was in evidence at this period last
year.
In the first place, there is no burdensome carryover, nor any evidence of an over-supply of cotton,
either in storage or in prospect. In the next place,
the quality of the cotton grown this year-notwithstanding the fact that the staple is shorter than usual
-is much superior to the average grade of last year's
cotton, due to the absence of damaging rains and to
the rapid opening of the bolls under the intense and
bleaching heat of the past month. Finally, there is
abundant testimony from all sections of the cotton
belt that this year's crop cost even less to produce
than last year's, which was quite an inexpensive crop
itself.
To these favorable aspects of the outlook for the
immediate future (which have all along been the
underlying factors of the steady expansion of wholesale trade) has now been added the reassuring appearance of a more normal turnover in retail channels, as will be noted from the increases (reported
elsewhere in these pages) in retail as well as wholesale distribution for the month of August. Retail
merchants report that their early fall business, as
measured by sales during the first two weeks in
September, has more than come up to expectations,
and the month's totals are expected to show a volume of distribution equal to, if not in excess of, the
normal record for the first month of the autumn
season. The exceptional activity in trade at this
time is largely accounted for by the unusually early
marketing of the cotton crop this year. The amount
of cotton ginned in Texas prior to September first
was well above the average of previous years. The
large volume of early ginnings is one of the peculiar
effects of the drouth, and, if former crops are to be
used as a guide, it presages a greatly reduced production.
In addition to stimulating trade, the early returns
This publication was digitized and made available by the Federal Reserve Bank of Dallas' Historical Library (FedHistory@dal.frb.org)
2
MONTHLY REVIEW OF BUSINESS AND INDUSTRIAL CONDITIONS
from the cotton crop are being reflected in the rise
of bank deposits and the shrinkage of loans. Deposits held by banks in the city of Dallas under date
of September 15th reflected a gain of 35 per cent
over the corresponding period a year ago, and gains
are being reported by banks elsewhere in the district.
CROP CONDITIONS
Prolonged drouth, together with exceedingly high
temperatures prevailing in practically every section
of the district, has been responsible for more than
the usual amount of midsummer deterioration in this
district's cotton crop during the past thirty days.
One explanation of the heavy deterioration is the
superabundance of rains in the spring months which
delayed planting and prevented the formation of a
good tap root before the drouth set in and rendered
the plant susceptible to adverse conditions. Considerable shedding has been noticeable in all sections
of Texas. The boll weevils, which were present in
large numbers in many sections of the state a month
ago, and which constituted a serious potential danger, were held in check by the dry weather and high
temperatures and the loss from this source during
the past mGnth has been comparatively light. On
the other hand, the leaf worms made their appearance in some sections and have been unusually active, with the result that they have caused a good
deal of damage, especially to the young cotton. The
worms, together with the drouth, have rendered a
"top crop" improbable.
The Government's August 25th report placed the
condition of the Texas cotton crop at 59 per cent of
normal and estimated this state's production at
3,644,000 bales. However, many authorities consider
the estimate high in view of the fact that further
deterioration has taken place since the issuance of
this report and much of the cotton has opened prematurely, which condition usually results in a lighter
yield per acre. In the West and Northwest, while
there has been no damage from insects, much deterioration has occurred, as the dry weather has been
accompanied by hot winds which have had a tendency to burn up the plant. Whereas two months
,ago reports from that section of the state indicated
that there were prospects for a cotton crop equalling
that of 1919, the outlook at the present time is for
the lightest yield in several years. Northeast Texas,
on the other hand, is the only section of the state
which has not been seriously affected by the drouth.
However, the losses from insect damage there have
partly offset the beneficial effects of the seasonable
showers. While all other sections of the state have
been affected by both the drouth and insects, the
greatest losses have occurred in South and Central
Texas. In the southern esction at the time when the
old cotton was maturing the excessive rains were
conducive to the activity of the boll weevil, and the
replanted cotton in the overflow territory later suffered from the drouth.
Picking and ginning is now in full swing throughout the state and excellent progress has been made.
Weather conditions have been ideal for carrying on
this work. Reports indicate that the cotton is practically all opening at the same time and in some sections of the state there appears to be a shortage of
help to gather the crop. A marked feature of the
present crop is the exceptionally high grade of the
fleece ginned thus far, an unusually high percentage
grading above middling. Premature opening of bolls
has reduced weather damage to a minimum; though
it has, on the other hand, injured the quality of the
cotton somewhat by shortening the staple. In view
of the rapid opening of the cotton it is generally
thought that heavy rains at the present time would
be more of a detriment than a benefit to the crop.
The Ginners' Report issued by the Bureau of the
Census disclosed the fact that prior to September
1st there had been 560,000 bales ginned in Texas as
compared to 415,000 bales during the corresponding
period of 1921. This seems to be exceptionally
heavy as ginnings last year were heavier than usual
during that period.
The weather has been ideal for the harvesting of
matured crops. The early corn matured well and is
averaging a good yield. Late corn was affected by
the drouth and the yield was materially reduced.
Corn gathering has made good progress and while
this year's production is less than last year's it seems
to be sufficient to supply the farmers' needs for an·
other year. Grain sorghums in the west and northwest have suffered greatly on account of the drouth.
The preparation of the lands for fall seeding has
made slow progress on account of the hardness of the
soil but this condition was relieved in some sections
by rains which occurred during the second week of
September.
Texas Cott on
Crop Survey.
There is presented below the results
of a survey of the cotton crop
throughout the state. On September 1st a questionnaire was mailed to at least two
banks in each county listed below and in most cases
replies were received from two or more banks.
e
MONTHLY REVIEW OF BUSINESS AND INDUSTRIAL CONDITIONS
SURVEY OF THE TEXAS COTTON AS OF SEPT. 1, 1922.
Estimated
Production
1922
e
Actual
County
Damage by Insects:
Production
Scope and Extent
1921
Bales
And rean
10% by wonne nnd weevils
16.000 Bales
8.626
Angallna
200/0 by WOrmll a 'nll weevila
4.500 Bales
1.287
Arahar
None
860 Bal
1.228
A tascoalt
82 % by wO!evll.
6,000 n.lctl
12.006
Austin
26 % by WOTIM. Fow w"evil.
50 ,*, nnrmll\ crop
6.702
Baatrap
100/'.. by weevila
60% normnl crop
14,240
Baylor
None
.000 bal""
5.673
B e
60 % by weevils
26% normal crop
11.198
Bell
Weevil. and wonna
1 bale to 7 ...rea
28.601
Bexar
30 % by w v&
15.877
Blanco
10% by weev\lo
8. 00 bales
2.225
BOtIQUl!
None
8.000 bales
6.984
Bowie
80% by """,vila
17.7110 bill""
10.859
BrU<Je
Much damBP from wonne
13.000 bal ...
7.292
BruOrla
60 % by wcavlla and WWmll
92&
Brooktl
17% by w,,",vila and wonna
500/0 normsl crop
Brown
Non
13.600 bllies
6.027
Burleson
200/. by woTlXlll
20.000 bales
7.688
Burnel
None
'1.280 bales
7,611
Cnldwall
7% by weevila !lnd worms
26.000 bales
29,952
Calhoun
Much damage from cotton flea 4.000 bal ....
889
Callahan
12% by weevih
9.51)0 bales
6.968
Cameron
40 % by weevllll
38,500 bal
0.473
amp
40 % by worms and w vila
60 & normal orop
8.007
25% by weevlla and wonna
Oaaa
57 ~ noMlUll crop
9.88
Childreaa
None
7.000 bales
20.790
Clay
10% by weevUa
10.000 bllies
10.166
None
Ook
6.000 b Ies
4.091
Ooleman
None
29.000 bal""
21.281
Coli in
22"-'! by weevl.1a
65.000 bales
45.564
CoUilll!Jlworth None
11.000 bales
10.737
Colorado
26% by
vUs and W0rtn8
46 I~ normal crop
8.067
Comal
Much damage by weevils
and worms
6.288
4.000 bales
Comanche
None
2.9~9
7.500 bales
Concho
None
5.500 bales
4.84 G
Cooke
22% by boll weevil
10.000 bales
4.51.2
Coryell
None
16.687 bales
15.11 6
Cottle
None
7.500 bales
16.17 7
Crosby
None
18.500 bales
10.71 7
Dallas
25% by weevils and worms
1/4 ta 1/8 bale to acre 29.61 2
Dawson
None
10.71]
10.000 bales
Delta
25% by weevils and worms
22.000 bales
17.31 8
Denton
None
19.000 bal....
10.52 1
Dewitt
Some damage by army worm30.000 bales
14.61 8
Dickens
None
11,000 bales
14.8e a
Donley
None
6.104
8,000 bales
Duval
Slight damage by weevil.
4.078
2.500 bales
None
Eastland
6.500 bales
1.837
Ellis
46% by weevils and worms
76.000 bales
78.457
Erath
Slight damage from worms
4.000
9.000 bales
and weevil.
Falls
Slilrht damage from worm.
27.895
28.000 bales
and weevil.
Fannin
45% by weevil.
28.147
42.600 bales
Fayette
Some damage by weevils
1 bale to 5 acres
11.926
PI her
Non
2 ,.266
14.123 bal
None
FloYd
1,694
4,600 bnles
None
Foard
7,722
4,000 bales
Franklin
10% damage by leaf worm
6.000 bales
MOO
Freestone
200/0 by weevila and wormll
18,287
600/0 normal ero))
J"rio
60 % by weev\lo
5.804
6,500 bales
G..r~a
None
8.846
6,500 bales
Gillespie
20% by weevlla and WOl"lDJl
6.02 1
0.000 bal ...
Goliad
20~ by weevlla and WOrtIU
6,605
60 % normal crop
GonuJes
16 '/~ damage by weevils
13.268
25.000 bales
GraYlon
Som damage by w(!evU.
16,236
32,000 bal ...
!lnd worms
Gregg
22% by wOTlXlll
3.991
22.000 bales
Grim
50/0 by WOJ''''''
8.8S4
12.000 bales
Gaudnlupe
35% by weevlla and worms
88,049
26.440 bat
Rale
None
8.760 bales
Rail
Nona
84.176
16,000 bate.
Hamilton
8% by weevD
8.184
11.000 bal
Hardeman
None
15.299
0.700 bales
Harris
80% by weevUs and worms
1.298
2.000 bat
Barrl""n
20% by weevil.. and Worms
18,000 bIlles
il.598
Rasl«<1J
None
25.500 bales
28.475
lial'.
40 ~ by weevlll and warms
12.000 balea
16,402
Renderlon
15
by worms
~8.000 bales
8.378
Hidalgo
88 (" by weevils
15.000 ba it'S
H.IS2
RIll
6% by WOJ:Dl8
66.170
07,000 bal...
HoWl tall
16% by worms
26.000 bales
12.807
Hunt
40 % by anna and weevils
50.000 bal
34.667
Jack
VOl'Y little
485
2.000 hal
Jasper
2ii~ by weevils and WOnnA
50 bales
}48
Jim Wells
25 "., by weevils
1/8 bale to aCU'e
5.1125
Johnson
None
80,000 bales
22.087
Jones
None
1 bale to 7 or 8 .ores 89.9.)8
Kamell
80<;" by w vila
40 % normal crop
23.6114
Kaufman
50% bi! weevils and worlllll
46.000 bales
"7 .8li2
KendAll
26 0/0 by wcevlla
126
100 bales
K leburg
16% by weevlla
6.0~ 2
2.750 hal
Knux
None
18.750 bIlIes
26.640
Lamar
500/0 by weevils and worma
60,QOO bales
29.033
Lam))83tu1
!i%-by weevlla and worms
8.760 bales
4.0114
Lavaca
Very IIttl
16.000 ba1e&
6.266
liibertY
16% by Weevils Bnd worDU!
600 bill""
8liO
L llJlelltoD
NonE>
()80/0 normAl orop
84.684
LLve Ollk
25% by weevlla
8.250 bal
3.200
Llan o
None
8,000 b.l s
1.8'/9
County
Lubboek
Lynn
Madlson
Marl.OIl
Damage by Insects:
Scope and Extent
~~oneoby worlDll
!'II
200/. by worm.
;i!2% by weevila
'Mu.In
None
Matagorda
22 % by w vU. and worms
McCulloch
Non
McLennan
12% by w vila and wonna
Medina
50 % by W1!evi1. a.nd wo.rma
Menard
10% by weevils
Mills
None
Mitchell
None
Mont.aeue
20% by wecvUa
Mon~omery
None
Morris
22 % by w vila and wonne
MoUI!)'
None
,Nllcodoch""
26% by w vi.. Ild wanna
Nav&l"-l"o
16% by w vila and wOnnA
Newton
10% by weevU.
Nolan
None
NUe<!es
70% by cut worm
Palo Pinto
10% by in .... ta
Panola
30'70 by weevil. and Wl)fma
Parker
None
Polk
26% by weevila and worma
Rains
46% by _vila and worma
Red River
40 % by weevlla
~lugio
None
Robertaon
10% by ......-evil. &lid worms
Rockdal
26<;0 by weevil. and worDlJl
Runnell
None
RWlk
80 % by weevlla and worms
San Augultln.15% by worma
San Jacinto 1Ci% by WOTlXlll
San Palrlelo 60% by woevUs
San Saba
Sllght damage
Scurry
None
ShaehICord NOl1ll
Shelby
25 % by w vila and worm.
Smith
SUght damage
SometllelJ
SI:lght damage
StelIh"".
35% by weevils
Tatmn~
10% by weevlLt
Taylor
None
Tibu
20% by weevil. and worms
Throcl<moTton None
Tom Green
Non
Travis
15% by w vila and worms
Trinity
25% by worms
Tyler
20% by WOl"lDJl and weevlla
Upshur
26% by worms
Van Zandt
10% by worms
Victoria
20% by weevils and worms
Walker
25% by weevils and worms
Washington 26% by worms
Webb
Small damage by weevil.
Wharton
50% by weevils and worms
Wheeler
None
Wichita
---None
Wilbarger
Willacy
None
Wllliamaon
10% by worms
Wilson
35% by weevils
Slight damage
Wise
25% by weevil. and wonna
Wood
Yoakum
None
Young
None
Estimated
Production
1922
9,000 bal .....
8.000 baletl
600/. at narmal
4,600 ba les
8.500 bal."
6.000 bAl .....
12.7fiO bales
52.1.00 bales
1/3 normal crop
900 bales
8.600 bales
16.600 balea
1/4 nonna) erop
3
Actual
Production
1921
Bnles
0.000 bales
4.260 bales
H.600 bales
66.000 bales
850 bales
20,000 balCil
26.000 ball!ll
8,500 bales
15,000 bale.
6,600 bo les
7.000 balee
8.000 balo.!!
36,000 bales
10.000 bales
60 % nonnal crop
15,000 bales
36,000 bales
21,000 bales
6.000 blLles
4,000 bales
18.000 bales
8,500 bal9
lli.OOO bales
1.200 bal.
15,000 bales
26.000 bales
1,000 bal9
1 bale to 10 !leres
2,500 bale.a
28,000 bales
9,000 bales
2.500 bal.
.,600 balllS
88,'160 bale.
2.500 bales
2,600 bals
18.000 bales
27.500 bales
15.500 bales
7.500 bales
26,600 bal ....
1.100 bales
20.000 bales
3.000 bales
50% normal crop
15.250 bales
1/8 bale to acre
110.000 bales
400/0 normal crop
7.000 bales
85% normal crop
500 bales
9.500 bales
140686
11.aa1
4,268
2.481
1.586
1.106
11.903
57.027
3.2:18
439
2,9.8
28,028
2.907
1.1!68
8.248
'1.288
7,204
60,898
18.286
64.781
5114
7,219
1.364
2,110
S,956
16.H5
6.426
12.264
18.826
24 . «~
18.162
2.695
1.696
20,101
6.85<1
18,924
10.(88
12.551
10.1186
22,038
8.86(
2,194
80.149
l,8S4
435
8.084
19.429
4.011
4,248
12.7111
8.740
6,108
2.767
20.441
66.208
17.407
1,681
7.626
4.599
Cotton exports through the port of
Galveston for August amounted to
73,287 bales as compared to 190,847 for the corresponding month of 1921. It is to
be remembered that at this time a year ago a good
foreign demand had begun to materialize, while at
the present time the foreign demand is weak. Furthermore, heavy stocks were on hand a year ago and
the hold-over cotton from the previous year's crop
was moving to market freely, but this year stocks
are low and the foreign demand quiescent.
Galveston stocks on August 31st amounted to 98,255 bales as compared to 262,073 on August 31st,
1921.
Cotton
Movements.
L
4
MONTHLY REVIEW OF BUSINESS AND INDUSTRIAL CONDITIONS
l
MOVEME~~~~~ggGHA:H:,:O::~:' ~=_i
I
!
The movement of this year's wheate
crop reached greater proportions
COTTON
during August, during which month
lA9~'1
This
Last
lAg\lg.Z2
if
6,961 cars were received at the district's five prin&UOll
SeBson
cipal grain centers. However, receipts during AuGross Receipts ...... 106,807 210,233 106,807 210,233
g Exports .................. 73,287 190,847 73,287 190 847 ~ gust this year were only half of those during August
i Stocks, Aug. 31st....
___ ..
........
98,255 262,073 ~
~1II.ltIlIllIIIlIllII I UIUlllllllllllllllll l llllltllllllnllllmlllllnllllltl l llllll ll lllllt) 1I IIIil l lllllll l lllnl l tIlUIIUIIIIIUIIIIID'I UnllllullIllueu':
last year, when 12,653 cars were received at these
centers. The smaller receipts are due to light production this year. The August exports of wheat
GALVESTON STOCK
through the port of Galveston, which amounted to
~ For Great Britain ................................
9,037
8,296 § 4,061,000 bushels, showed a large increase over the
~ For France ............................................
2,500
4,817 § previous month, July exports being 1,399,417
~ For other foreign ports........................
9,201
35,119 ~
~ For coastwise ports ............................
2,500
800 ~ bushels. However, the export movement since July
~
In compresses ........................................
75,017 213,041 ~ 1st this year is only about one-fifth of the movement
Total ..._........._.. _............. _........ _...
98,255 262,073 ; during the same period of 1921, the difference being
due partly to the smaller yield in 1922 and partly to
~ullmllnnllun l mlll fl llmlf1ll11l1l l llllll lllmlfflllfmllllliHllull l llru"nlUlIl'nlll ' 1fIIllIl I IllIIIIlllln " "IIIUIlIlIlI1I11I11III11I1I1 I I1I1~
the reduction in freight rates made last fall, which
~ SEASON'S RECEIPTS, EXPORTS, AND STOCKS AT ~ caused the resumption of a normal movement by rail
ALL UNITED STATES PORTS
§
to the Atlantic ports.
;,n IlIlHllu" "nUUmnUtHIIUUIIIU II IIIIIIUIIU11I11IIIU lllllllnIllHIIIIIUnlIllIIiUlIIII IIIIIIII1I1111111111111 1\IIIIIIIIIIIII1 I'"III,UIIIIIIIIII \"
!
Grain
Movements
i
r!U I UUUllllUll l l l nnl,mU"IUlU I 'IIIUI I IllIIlIIllIIiII I IlUIIIIIIUIIIIIIIIIUllllllllllltiUllIlIlIllIIlIIlllIUIIII~IIIIffI' lII lmnUIUlUUl UIl'Ul~
STA~;;;~T A,"~.}!.
I
!llllllllllllllhlllllllll lllll llllllUIUUU ll lllltllUIIII11 II1UII IIIIIUllllttlllllllltlllllll1I IIIIIII IIIIIII IIIIIII II IUlIII IIIIUlI IIUIIWIIIIIIlIltl illtitt
Receipts since Aug. 1................
Exports: Great Britain ..........
France ......................
................
JContinent
apan-China ............
Mexico ......................
Total foreign ports
Stocks at all U. S. ports,
=
Aug. 31st. ..............................
Thi.
Season
Last
Season
194,970
424,173
46,804
58,851
29,838
42,062
84,834
163,735
32,842
143,700
1,000 ...............__ ...
195,318
408,348
384,562
1,302,179
~
§
§
I'tllIIlIIUlIlIl lIllIIlIUlUJIIIUlIIlI1l1l11WmUlUlillnUlllIllI l)IIUllllllllUlllUl lllIIU Il llIIU ltnUl1 n UmmmUflUiUlUlllllln n m n uuu1!
~
~
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~= = ~
"mU ll lUnllUIlUIIIIUUIIIllII IIUIIUUlllIllllllluuuunmllllllflllUftlllltl ltlllllll l1UlIfllllll1l1111 11 11 111111 1111t1UUltlllllllllll111111111 111 •
~
?:t~~:~::~~~~[:~: :~R::;~ RE~~2~ 9~80: (7.:~2~7 1
Oats ............. - ........................ _...... _.......
)
5
..
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iulllllUlll wlllln il ullllluIIIIU nl llllltlirnnUllnll l lllllUnmll111111UlflUIt'IIIUI I, ,,IUU I1 ,,nlll l niu n UIlU ltllUl III ItU n1ll ll11 n rulUl f,
LIVESTOCK
Range
Conditions.
While scattered showers have fallen
in most sections of the district,
range conditions as a whole have
shown very little improvement during the past month
except in isolated sections where the rainfall was sufficient to revive the grass and replenish the stock
water. Light to heavy rains which have fallen in
Arizona and Western New Mexico have replenished
stock water and have been beneficial to the ranges,
and indications are that the winter feed crops will
be good. Livestock generally appear to be in fair
to excellent condition in that section. Further deterioration has taken place in Eastern and Southern
New Mexico, where the precipitation has been very
light. As a result there has been no relief from the
scarcity of water and there is very little prospect for
winter grazing. Livestock in this territory are reported to be in poor to fair condition and are suffering from insufficient feed and water.
Notwithstanding the fact that showers fell over
several sections of the Texas range territory, the
ranges as a rule continue dry, but the grass is fairly
good except in the upper Panhandle and Trans-Pecos
sections of Texas as well as most of Central and
Eastern New Mexico. During the spring months
the grass developed a rank growth as a result of the
heavy rains but during the dry weather of the past
three months there has been a tendency for it to
break and blow away. This, however, has been
stopped to some extent by the recent showers which
have dampened the straw. Although the shortage
of stock water which developed during August has
not been relieved, the scattered showers have prevented conditions from becoming worse. With the
exception of cattle in the South Plains region, livestock are in fair to good condition.
Prices on all classes of livestock
worked to lower levels during August, and still lower prices were
being quoted on most classes at the end of the second
week in September. While the August receipts of cattle and calves were substantially above those of July,
they were below the August average. The demand
for cattle appeared to be slightly better than durin g. July but buyers were never anxious for them. •
Stocker steers evidenced practically no demand and
only the very best sold without peddling, with the
lower grades selling at very unsatisfactory prices.
Movements
and Prices.
MONTHLY REVIEW OF BUSINESS AND INDUSTRIAL CONDITIONS
e
The market for calves, on the other hand, stimulated
by the demand of the outside buyers in competition
with the packers, reacted well to the light receipts
and prices moved upward during the first three
weeks of August, but later trended downward. Receipts of hogs, which were light and lacking in quality, met with a relatively broad demand and were
not in sufficient volume to meet actual trade requirements. The scarcity of the supply at Fort
Worth and the keen competition between the local
and outside buyers were the main factors in forcing
the level of prices at Fort Worth above the level prevailing at competitive centers. The lower quotations
at the close of the month were due, in the main, to
the fact that a real good run was not available.
Sheep and lamb prices showed practically no change
during the month. Receipts were relatively small
and consisted principally of stockers and feeders.
5
itlHlIIIIIUllll111111111J1llll1UIIIIII1liUlIIIUIII1111111JUIIIIIlUllilUlilllllllllUJIlIIIIIlIlilUIJJlIIIIlUlIIlIlJUlIIlIllll1ll1lHlIIllrmllllllllllll;
~
II
I
i
iii
i
FORT WORTH LIVESTOCK RECEIPTS.
~
Aug.
July
1922
1922
Cattle .......... 70,825 59,664
Calves ........ 37,214 23,990
Hogs .......... 22,453 22,662
Sheep .......... 23,516 20,787
Loss or
Gain
G 11,161
G 13,224
L
209
G 2,729
Aug.
1921
77,230
57,646
33,797
36,463
!
Loss or
Gain
L 6,405
L 20,432
L 11,344
L 12,947
i
~
~
§
-
I
~
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eUlIlUllUlIlIUlIlIIlI1l1l11lll1l1l11llll11ll11l11UllUllilllllluunUUlllUllfIlIUllllnUIIIunIIIIIlUlIIIIIUlmUUItUliIlIIIllUnmnI1III1UIIUI:'
:
=~
!
i
~
1._
~
COMPARATIVE TOP LIVESTOCK PRICES
Beef steers ............................
Stocker steers ...................... _
Butcher cows ........................
Stocker cows .........................•
1A$9
~g82.00
5.50
5.00
3.50
I
J$9u~8Y2.50
1A$9 U2g7i.OO __
6.25
5.75
4.00
5.50 ~
5.00 ;;
3.50 ~
1
~~~:s
. . :::::::::::::::::::::::::~::::::~:
Sheep ......................................
1
7 0·.·~0 g
197:.~2g5
1741.:~8055
Lambs .................................. -
10.60
10.50
8.00
Ii
_
~IIIIIUUUllllWUWIIllUUIllUllUJUIJIIIIIHUI4WllWIUUIllIlUIJlW1tWUUIllIlIIIllIlt1UlUnHII1IIIIImUlIJm"UIllUlUIIIIIIIIUlIIUU~
WHOLESALE TRADE
A broad seasonal demand characterized the wholesale trade situation during August. This demand
A which began to materialize early in the month
. . continued on a steady basis and the August volume
of sales in every line of trade reflected an increase
over sales of the previous month and the same month
a year ago. Reports from the various centers seem
to indicate that the September distribution will surpass that of August. A more confident feeling pervades the business community as there is a general
belief in trade circles that a real need for merchandise exists among retailers and consumers alike.
However, retailers continue to operate on a very
conservative basis, placing initial orders for fall
goods in a cautious manner and waiting until the actual trade materializes before ordering a full stock.
The retailer realizes that while the farmers' returns
from this year's crop will undoubtedly be larger than
last year and rural trade will continue to show improvement, there is still some question as to the degree of improvement which can be expected to take
place.
Prices in most lines remained firm and items in
some lines have reflected an upward trend.
A
While August collections showed no general im. . provement the early movement of the cotton has
enabled the farmer to settle a portion of his accounts,
which, in turn, has increased the wholesalers' collections during September.
Dry
Goods.
The opening of the fall buying season in practically all centers during
the first week in August met with
unusual success. The August sales of eleven firms
reflected a gain of 48 per cent over last month and
19.4 per cent over the same month a year ago. The
buying demand although conservative is on a very
healthy basis. The retailers, although optimistic
concerning sales during the next few months, do not
feel justified by the present condition of the trade
to make large future commitments, consequently forward orders have been placed on a very limited scale;
but buyers are returning to the market frequently to
replace their stocks. These replacement orders have
had a tendency to keep wholesale distribution on a
steady basis. Price advances have not resulted in
increased commitments but on the other hand they
have been strenuously resisted. However, prices in
the primary markets are gradually working upward.
Farm
Inplements.
The wholesale farm implement trade
evidenced a substantial improvement during August. Sales of reporting firms for that month disclosed an increase
of 60.2 per cent over July sales and 35.5 per cent
over August, 1921, sales. The distribution of farm
implements during the past two years has been exceedingly light, with the result that the farmers'
present actual requirements are larger than usual.
With a fair cotton crop now in process of being
picked and with the prospects for a good price it is
expected that the farmer will to a certain extent be
MONTHLY REVIEW OF BUSINESS AND INDUSTRIAL CONDITIONS
6
in a position to supply himself with much of the
needed new machinery for use in preparing the soil,
the planting, cultivation, and harvesting of the new
crop. Thus the outlook is much brighter than last
year, even though distribution will not be as large
as was expected earlier in the summer.
drugs evidenced more activity during August than
for some time past. While prices as a rule have
shown no material changes, heavy chemicals have
shown an upward tendency owing to a scarcity of
many products. Although August collections were
short, September collections have shown a considerable improvement.
A substantial improvement was evidenced in the demand for wholesale
groceries during August when the sales of reporting
firms reflected an increase of 9 per cent over the previous month and a gain of 3 per cent over August,
1921, sales. The renewed demand is attributable to
the fact that fresh vegetables are now becoming
more difficult to obtain with the result that consumers are again turning to the goods sold by the
wholesale dealer. Furthermore, the early maturity
of the cotton crop has brought about a heavier demand from the field laborers. Prices have shown
no material changes during the month. Flour, sugar,
and coffee have receded somewhat while other items
have shown an upward tendency.
Greater activity was evidenced in
the wholesale hardware business
during August according to reports received from
ten firms located in the various centers of the district. Sales of these firms reflected an increase of
5.5 per cent as compared with the corresponding
month a year ago and a gain of 16.7 per cent over
July sales. The increased demand appears to be well
distributed among all lines of hardware, which
augurs well for a healthy fall business. The market
appears to be strong with advances recorded on many
items. In fact many items of builders' hardware are
becoming difficult to obtain owing to a shortage of
stock at the factory.
Drugs.
Furniture.
e
Groceries.
August sales of wholesale drug
firms, which have shown a gradual
improvement from month to month during the present year, reflect a gain over the corresponding month
of the previous year. The increase amounted to 1.4
per cent, while there was a gain of 16.4 per cent over
the previous month. Buying for future delivery,
which has been within narrow limits for some time,
was on a larger scale during August and included a
wider range of buyers. In fact the demand for
Hardware.
After suffering a considerable
slump in business during July, the
wholesale furniture trade showed a substantial increase in sales during August. Sales of reporting
firms reflected a gain of 47.9 per cent over July, and
an increase of 63.7 per cent over sales of August,
1921. While many retail buyers were out of the
market in July, the August demand was good in
most lines. Indications are that the demand for the
better class of furniture is gradually broadening.
~UllllnlmlflllUllllmmllllUlUllllllllnllll1llmUmmUlllllllnlUllllllflllllllllflllJnnUililllllllimumflnHlIIlIlIUlInnrml1UnlllllllllllnlnltlUlfllllllUlIlIUllIlIIJIUUlIlll1II1U1I1IIInutnnllllllllllllUiunUllUIIIIIIUllUilnUUIIIIIUII,tIIUIIII IIU lllllnlUi I IUllnllUIIUIiUlnuu:s
;:
~
~
sE
§_
_
5
~
-Net SalesAug.. 1922
compared with
;;~
Aug.
1921
5
e Groceries ....................................................................................................
; ~~~d~~~~s . : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : :
~
~
i
~
CONDITION OF WHOLESALE TRADE DURING AUGUST, 1922.
Percentag-e of Increase or Decrease in
Farm Implements ....................................................................................
Furniture ..................................................................................................
Drugs ..........................................................................................................
.Tuly
1022
-Net SalesJuly 1 to date
compared with
same period
1921
+ 3.0
+ 9.0
+.9
+36.5
+63.7
+ 1.4
+60.2
+47.9
+ 16.4
+21.3
+31.0
-.2
t1~:: tf~:~
t1t~
;"
§_
-StockBAug.. 1922
compared with
Ana.
1921
-
6.6
_
;;
§]
;;~
;;
July
1922
+ 2.6 1i
+ ~:b + ~:~
i
=
§
-12.4
+
.6 ;
~ltnllUUlUlluuullulnllUUIllUltllllUiIlIIIUllnlllll1l11lJlllIlIUlIIIIIUlllllllJnnlllJUIl1UIlIUllilUllnIlUIIIlIIlIlIUIiUIUIUIIIUUUIt ' UIIIIIIIIIIUIIIIIIlIIIIIIIUltlUUIIUlillUlltlitlIUIIUIIIIUllIIlIlflUIIUtllllllllrtlft1J1II11UIIIlIIfIIlllluU llllnlUllnllllun lIIllltUIlIUIII"lUllnnn.~
RETAIL TRADE
Continued quiet characterized retail distribution
during the month of August owing to the fact that it
was a vacation month and but few large purchases
were made. However, there was an increase of 3.5
per cent over July sales. Although sales were 4.2
per cent less than August, 1921, sales, there was a
closer approximation of sales of the previous year
than has been in evidence this year. Furthermore,
with the closing of the summer season and the advent of the cooler weather early in September, fall
business is showing broad expansion.
e
7
MONTHLY REVIEW OF BUSINESS AND INDUSTRIAL CONDITIONS
During the summer months department stores reduced their stocks to make room for fall goods and
during August a portion of these replacements were
made with the result that stocks on hand at the close
of August were 11.5 per cent more than stocks on
hand at the close of July. However, stocks on hand
at the close of August this year are 11 per cent less
than at the end of August, 1921.
The ratio of stocks to sales from July 1st to August 31st was 579.8 per cent as compared to 594.8
per cent during the corresponding period of 1921.
The better turnover obtained this year was due to
the fact that smaller stocks are being carried this
year, and the smaller volume of sales was more than
offset by the reduction in stocks.
The ratio of outstanding orders to last year's purchases disclosed a further increase, being 11.9 per
cent at the close of August as compared to 10.7 per
cent at the close of July. Retailers seem to be placing more orders for future delivery this year than
was the case a year ago.
Collections revealed a further slowing down during the month. The ratio of August collections to
accounts receivable on August 1st was 30.8 per cent
as compared to 34.1 per cent for the previous month.
i nlllU IiUl II UIUUlllllUlHlIlIlUIIUIUlUmUIUJltUlIUllIIllUJlIIll llIUl llIlIUIIJJlIIlIJ llI1IItUlIlIl ll lIIl llIIUlIJl tl llllllllllUllllIlIlJlIlIlIlIIlIIlIUlUlI1l11l1Jlll l11 llll l1llllUIlUUIIIIHl lIlIIllllII llllllflUillll1l11l11l1ilUlllIUlltUlUlIIUllllIlIlUl ll UUlrnUUIIUlU II UU llflnUUIIIIII II IIIU Un'i
¥
•
I
BUSINESS OF DEPARTMENT STORES
I
Total Sales~
Aug., 1922 compared with Aug., 1921................................
a
Aug., 1922 compared with July, 1922................................
;; July 1st to date compared with same period last year........
;; Credit Sales~
Aug., 1922 compared with Aug., 1921................................
Aug., 1922 compared with July, 1922................................
§
July 1st to date compared with same period last year....
i StocksI
Aug., 1922 compared with Aug., 1921..............................
Aug., 1922 compared with July, 1922..................................
Ratio of stocks to sales..................................................................
Ratio of outstanding orders to last year's purchases............
Ratio of August collections to Accounts Receivable, due and
outstanding Aug. 1, 1922........................................................
=.=
_
I
Dallas
Fort Worth
+
+
2.5
10.1
6.6
6.1
8.9
7.8
+
+
+
6.6
17.5
4.2
1.8
11.7
3.5
+
+
+
+
1
10.7
9.8
673.4
14.0
-
10.4
10.0
589.1
10.8
+
25.8
All Olhur
HOUlton
+.9
3.4
1.2
+
13.8
4.2
13.9
+
13.1
10.9
11.6
20.6
21.8
+ 14.5
-
-
-
.\.9
12.5
638.3
10.0
+
34.7
Total District
i
4.2
3.6 ~
8.2 ;;
+
i
16.7
13.9
647.2
8.9
2.6 ~~
12.8 1I
+.7 J
;
11.0 i
+ 11.5 ~
679.8
11.9 5
39.1
30.8
+
34.1
=
~
+
+
i
!!
i
um.lh .nUJlnllmUIII1I11I1 Iff1I1W""III IUUlltllnnnIIllIIMIlUlIIIUUUUlllll llllllllluaUIlIIlIlJlIIUllllllrnlUmUlIIlIlIl llIIJllIlIlIllIIllIUllllllllllllUUllIIlUIUlllUllIl1WlIlIl1I1II1""1II1I1I1II1 1II1II1I1II1I1II1II1II1IIUIIIIIIIIIUIIIII~IIII1IJUUIlIllIIlIlUlllrU' "U'lIIlImIlIlUIIII'Iui
FINANCIAL
The August volume of business at the principal
cities of the district, measured by debits to individual accounts, continued its downward trend during
August, marking a decline both as compared with
the preceding month and the same month last year.
The weekly average of debits to individual accounts
amounted to $118,473,000 during August, as com-
pared to $121,602,000 during July and $123,201,000
during August, 1921, reflecting a decrease of 2.6
per cent from July debits and 3.8 per cent from
debits for August, 1921. With the exception of
those at Dallas, August debits at the larger cities
were less than those during August a year ago,
while the smaller centers reflected an increase.
r' IIIIUIIII UI IIWltruIIllUIlItUWUU UflllLUIIUU IIIIIIII I UUIIIIIII U IIIIIIIIIIIUIIIUllllln1lIIIUIUUUIIIIUllUIlIUJUllllllUlllllllllUlIIIUhUUUllllllll11nll 'lll llmnUlIllIIIllIllIltHIIIIUIIIIII II 1IlIIIIIIlllIIUUIIUUlllllllllull llnIllIIlW lUlrmlll "I IIIIII ~II I1Il UU It IUllllllulII lII "Ul n""i
~
§~
I~
A VERAOE WEEKLY DURING
I
August
s
$
Albuquerque ..............................................................................................
~
Austin ................................................. _.............................................. .......
i Beaumont ........................... - .............. _.....................................................
§ Dallas ................................................... _.....................................................
Ii EI Paso ......................................................................................................
! Fort Worth ................................................................................................
~ Galveston ..................................................................................................
- Houston ......................................................................................................
~ San Antonio ..............................................................................................
"il Shreveport ................................................................................................
., Texarkana, Texas ....................................................................................
Tucson ........................................................................................................
;
Waco ..........................................................................................................
i
!
I
CHARGES TO DEPOSITORS' ACCOUNTS
Totals, Eleventh District................................................................
1922
July
1922
1,796,000
2,531,000
2,996,000
28,326,000
6,808,000
19,351,000
15,242,000
23,065,000
6,415,000
6,032,000
1,473,000
1,347,000
3,091,000
$ 2,181,000
$118,473,000
$121,602,000
2,766,000
3,136,000
29,954,000
7,227,000
20,658,000
14,233,000
22,099,000
5,980,000
7,030,000
1,571,000
1,692,000
3,075,000
August
$
192 1
I
1,431,000 i
2,287,000 !
3,192,000 i
27,388,000 l
6,420,000 i
20,815,000 ~
20,319,000
24,087,0006,515,000 1_
5,187,000 =
1,281,000 i
1,338,000 ~
2,830,000
i
I
$123,201,000
!
l Uw ulllllllll nllw'lIIul nu lwllllU lII.nl lfII l1 ... IIIII IIII YlfUUUIIIUUI1UIIUnlllllll u" -, IUII IIIIIIIIIUIIIIIUll llllulltl UUtm IIll 1li1l1UIIUUmHlll lllllllllunmUlHlllllllUlllnnIIIfllUIII IIIIIIIUl umIUUlIIIIUlilnnlllrftUnU IUutllll fi1llH ' IIIU ll llubmlllll lllUlimUIllU1mJ
8
MONTHLY REVIEW OF BUSINESS AND INDUSTRIAL CONDITIONS
Acceptance
Market.
Acceptances executed by accepting
banks of this district which were
outstanding on August 31st amounted to $476,241.06 as compared to $879,783.08 which
were outstanding on July 31st. The amount based
on domestic shipments and storage of goods reflected
a sharp decrease during the month, being $96,088.96 on August 31st as compared to $700,638.27 on
July 31st. The volume executed against import and
export transactions increased from $179,144.81 on
July 31st to $380,152.16 on August 31st. The Federal Reserve Bank of Dallas on August 31st had decreased their holdings of this type of paper to $1,328,131.16.
Reserve city bank deposits at the
close of August showed a gain of
$700,000 over the close of July,
while their indebtedness to the Federal Reserve Bank increased $481,000. Loans remained about the same. However, between August
23rd and September 20th their loans increased from
$191,820,000 to $205,447,000, a gain of $13.627,000,
and their deposits rose from $207,525,000 to $221,778.000, or an increase during the past thirty days
of $14,253,000. The ratio of loans to deposits was
93 per cent on September 20th, as against 92 per
cent on August 23rd, and 108 per cent on August
31, 1921.
Condition of
Reserve City
Banks.
~lItl I III I I IIII I IIIIJUII IIUIUl ••"UU.IWW:III"' tIIlllllllllllllll lll llll lllllmhlll1 l1l1l11 II1lJ1fflllllllllllll lllllllllllllllll ll ll llll ll lllll llllllUIIIIIIIDJlUll ll lflllll ll llllllflll1tlltIIIlIllIIlIIlllII ......... II IIII IIlIIUll ll lllllltUUlIIIIIIIJUllllDW IUlJlll l utUUItU lllfllll lll ll m 1I1111l1lU lllt lflttllll~
5
§
~
i
~
CONDITION STATISTICS OF MEMBER BANKS IN SELECTED CITIES
~
§
Aug. 30, 1922
1. Number of reporting banks....................................................................
2. U. S. securities owned ........................................................................... _...
~
3. All other stocks. bonds, and securities owned......................................
~
4. Loans secured by U. S. Government obligations................................
~
5. Loans secured by stocks and bonds other than U. S. Government
=
obligations ..............................................................................................
6. All other loans........................................................................... _...............
= 7. Net demand deposits..................................................................................
~
8. Time deposits ............................................................................................
~
9. Reserve with Federal Reserve Bank......................................................
10. Bills Payable with Federal Reserve Bank.......................................... ..
!=
_
11. Percentage of loans (*) to net demand deposits............................ ...
*Loans include only items 4 and 6.
i
i
51
$ 48,850,000
7,899,000
4,263,000
42,788,000
187,796,000
206,793,000
64,013,000
22,480,000
4,222,000
93 %
Aug. 2, 1922
52
$ 49,991,000
7,251,000
4,449,000
42,728,000
187,570,000
206,093,000
65,747,000
22,760,000
3,741,000
93%
Aug. 31, 1921
52
§
~
$ 38,600,000
;
9.368,000
7,089,000
i!
~
~
38.151,000
=
188,490,000
181,128,000
=
60.779,000
i
18.572,000
22,070,000
~
108% ~
I
i
s
~lIIlll llIIull nnlllfllllumlu lillUlllIlIUl1lmll lltillUIIIllUIlIlIlIlfIllUIUIlUIIllIllI11IIlIlImmmmtlllll lUlIllIlIIlIlIIlllIlIlUnm llU,I II IIIUIiUlUIllUUllni lllllll lllllUlIIIIIIIJ tlUUlllJlllUtlUIJIlIIIUdlllUlw..uUlllumUIIlIllUIHUIUlll llluumiuunUtlallllUUInllUltlIUUlllS
Operations of
the Federal
Reserve Bank.
Loans to member banks reflected a
further seasonal expansion during
August, due to the demand for
funds to complete the cultivation of
the crops and for crop moving purposes. These
loans amounted to $37.537,453.48 on August 31st as
against $33,790,121.52 on July 31st, representing a
gain of $3,747,331.96 during the month. Since the
first of the month, however, due partly to the premature fruition of the cotton crop and the rapidity
with which it is being gathered, many farmers have
been able to anticipate their notes, which in turn
has brought about a liquidation at the Federal Reserve Bank by member banks. This liquidation has
more than offset the demand for funds to move the
crops with the result that our member banks had
reduced their loans at thli Federal Reserve Bank to
$33,415.672.33 on September 15th, or $4,121,781.15
since the first of the month. The ratio of total reserves against combined deposits and note liabilities
declined from 56.1 per cent on July 31st to 55.8 per
cent on August 31st, but had risen to 62.8 per cent
on September 15th. This was due to the fact that
the increase in our Federal Reserve note circulation
was more than offset by the gain in our cash reserves.
This bank's holdings of bankers' acceptances purchased in the open market declined from $2,832,312.06 on July 31st to $1,328,131.16 on August 31st.
The total bills held by this bank on July 31st amounted to $36.622,433.58 as against $38,865,584.64 on
August 31st, distributed as follows:
Member banks' collateral notes secured by United States Government obligations .. _........................................... $ 1,567,623.50
Rediscounts and all other loans to
member banks ............ ___ ..................... 35,969,829.98
Open market purchases (Bankers' acceptances) ........................ _................. 1.328,131.16
Total bills held ........... _.......... _......... $38.865,584.64
In response to an increased demand for currency
following the expansion of loans to member banks,
Federal Reserve notes in actual circulation increased
from $26,798.180 on July 31st to $31,030,805 on August 31st, reflecting a net increase of $4,232,625
during the month. Member banks' reserve deposits
showed a gain of $1,584,503.62 during the month,
being $45,680,410.89 on August 31st as compared to
$44.095.907.27 on July 31st.
MONTHLY REVIEW OF BUSINES S AND INDUSTRIAL CONDITIONS
9
"high", "low," and "customary" rates for the thirtyday period ending September 15th are presented for
the cities listed below.
Discount
There were but few changes in discount rates charged by commercial
banks during the past month, but
the tendency has been for rates to stiffen. The
Rates.
~u l4ll l1nUllllllllllUllmLlllnllllllllllllll"11II1111I1II1 1 111II1II 1 1II1111IjllUlllIIlIIl1l1nl1 ll11llllll1l1lf1l1mmnIlIl I IlIlIllIIllIIlTIUmllllllllllunnrullll1l l llllllllll111 U 1ll11l 1l1i tlUilU1U1II1 1I 1II 11 1IIIIIIIIII II IInllIIlUlllltIlIllI I IUII1I1J11!IHIUIII IUIIIIJIIIII!I II IIIII " fllIIIUUII IIII IIU IUl ' III~
~
~
AUGUST DISCOUNT RATES.
::
i
H
~ Prime commercial
Dallas
L
C
H
El Paso
L
C
Ft. Worth
H
L
C
H
i
H ouston
L
C
San Antonio
H
L
C
H
Waco
L
C
I
i
paper:
=
Customers' 30 to
-=
90 days .. _.. ___ __ ....
8
6
8
10
5
7
7
8
6
7 i!~
5
8
6
5
6
6
5
7
;E
~
Customers' 4 to 6
i
months --.-..........
6
8
10
6
7
7
7
8
6
8
5
6
6
8
6
7
8
5
-~
Open market 30
!1=
to 90 days _______ .__ 6
4; 4~
5~
..
6
4§ 5
4
.. .... .... -. 8 4~ 7
6
Open market" to
6 months _____ . ______ 6
8
7
7
.... ...• .... .... ....
....
8 ....
....
10
6
6
8
Interbank loans ________ 6~
7
6
6
8
61
5
6
7
8
6
9
8
6
4~
6
6
6
Collateral loans, demand ____ ._ _____________
7
7
6
8
8
8
7
8
8 10
10
8
6
6
6
7
5
8
~ Collateral loans, 3
7
months ..................
n 8
8
8
8
7
8
6
10
8
8
6
5
8
6~
5
8
Collateral loans, 3
to 6 months __________ 8
=
7
8
8
6
n 8
8
8
6
61 10
8
5
7
8
8
5
i Cattle loans ______ ________
6
8
8
6
8
n 8 8 8
7
5
7
8
8
10
8
8
5
~ Loans secured by
~ warehouse
re~ ceipts, Bs-L, etc.
7
6
7~
8
6
8
6
7
7
5
8
10
8
8
8
7
7
8
Loans secured by
Government securities ________ ._____________ . 8
7
6
7
8
5
8
6
6
10
8 10
8
6
6~
8
6
8 5
~=
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Savings
Deposits.
per cent over savings deposits on July 31st, and an
increase of 12.9 per cent over August 31, 1921.
Reports from 112 banks of this district which operate a savings department reflect an increase of 2
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SAVINGS DEPOSITS
;;
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~
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Albuquer·q ue .............................................................................
~ Beaumont ....................................................... _............................
~ Dallas .........................................................................................
§ El Paso ___ ________ _____ __ ____.__ ______ ______ __ __ __________ ___ __.__________________ _._.______
~
Fort Worth ___ ___ _________._______ ____________ __________________ _----------------------E Galveston ___ ____ ____ __ _____ __ _______ ___________ _____ __ __ __ ___ _____ ________ __ ____ ______ ____
Houston ................................................................................ .......
~ San
Antonio____________
---------- ____________________________
------------------------------------------------------------------Shreveport
____ . ___________________________ .______
Waco ______ .___ ._______________ . __________________ ________ ______________________ __ ____ ._______
! Wichita Falls ...........................................................................
~ All others .................... . ............................................ _.__ ._ ...........__ .
3
~
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§
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Total , Dl'strl'ct --._-_.-_._-------------------._----------------------- --.-------
1I1II1'lIIml l UUll llllllflllllllllllmllll1mlllnlllllUlIIllIIlIlI IIIIIIIIIIIIII I IlIIttilllllllllUlltlnlllllllllllllllllllUlllllllllllllln l llll l lllllllllllllllll ll llll llltllllltllllllllllll l lllllltimmllllllllUlllllltUlllll l lllllnUllIIlIlIUlUlltllIJlllIlIlIllIUllllltnmil l Ullll lnUIl1 1 IIII Ul l litU II ,,'n,j l nll~
FAILURES
While commercial insolvencies in the United
States during August remained at practically the
same level as the past few months both as to the
number of defaults and the liabilities involved, the
number of failures in the Eleventh District reflected
a substantial increase over July and the liabilities involved were the largest for any month of the current
year with the exception of February. There were 85
failures during August with liabilities aggregating
$5,198,294 as compared to 64 :failures in July with liabilities amounting to $1,230,581. The large liability
total for August is accounted for by the failure of
one large firm having liabilities amounting to more
than $4,000,000.
10
MONTHLY REVIEW OF BUSINESS AND INDUSTRIAL CONDITIONS
~"'"'''''''"''''''''"'''m''I'''''"''"'''''''''''''''''''''''''''rn'''''''''''''lIInllll''''"'''"10""""'""''''"''''''1[11"111''''""""""""","""",,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,",,,,,,,,",,,,,"" "'1I111"'''I'''''''"''"'''''''fI'''''''""II''''mrnlll'rnllll''''''m'''I1I1''lIJl1mlll"'''nf~
~
COMMERCIAL FAILURES
~
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§
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PETROLEUM
Despite the curtailment in drilling operations, the
crude petroleum output of the Eleventh Federal Reserve District during August showed an increase as
compared with the previous month. The August recovery of oil amounted to 13,299,365 barrels as compared to 12,910,271 barrels during July. This increase represents a gain in the daily average yield
of 12,551 barrels. It is to be noted that every major
field of the district shared in this gain. Texas fields
produced 10,247,280 barrels during August as compared to 9,964,697 barrels in July, while Louisiana
fields yielded 3,052,685 barrels in August as against
3,005,574 during July. The Mexia district again reflected an upward trend in production, the daily average flow for August being 81,121 barrels as compared to 71,443 barrels during July. The Electra
field set a new monthly production record, being the
largest monthly output since the early days of the
field. The daily average production during August
for this field was 22,518 barrels as compared to 19,415 barrels during July. It is to be noted that the
daily average production of the Electra field has
practically doubled since the first of this year.
While numerous wells were completed during August in the northeastern extension of the Pioneer
field, production for the month continued its downward trend. A sharp decline was also noted in the
Stephens County territory, the daily average for
August being 38,848 barrels as compared to a daily
average of 41,684 barrels during July.
The Haynesville (La.) field reflected a slight gain
in production for August, the daily average flow for
that month being 54,872 barrels as compared to 54,377 barrels in July. The Midcontinent field again
showed an increase, the increased output in Texas,
Louisiana, and Kansas having offset the declines in
Oklahoma and Arkansas.
I
L
Drilling
Results.
Following the general cut in crude
oil prices, a move to curtail drilling
operations has been gradually
spreading over the entire district. While drilling
activity reached the high point of the year during
July when 597 new wells were completed, of which
number there were 438 producers yielding an initial
flow of 119,126 barrels, August witnessed a sharp
falling off, there being 473 completions, including
342 producers yielding an initial output of 101,927
barrels. Operations in the Mexia field during August were on a more limited scale than during the
previous month, there being only 52 completions as
compared to 93 during July. The August completions included 38 producers yielding an initial flow of
19,850 barrels, which compared with 55 producers
during July with a flush production of 36,875 barrels. While drilling activities in the North Texas
district slowed down during August. the curtailment
became more widespread during the early part of
September as a shortage of water has served to retard development. The Electra field, which scored
75 completions during August of which 54 were producers having a combined initial output of 8,156 barrels, has sustained a serious setback during the early
days of September, when the water shortage became
serious. Not only has this water shortage in the
Electra field had the effect of curtailing drilling operations, but it is becoming difficult to obtain sufficient water for pumping purposes. Decreased activity has also been noted in the Ranger and Eastland territory. While the break in the crude oil market had its effect upon drilling activity in Texas
Coastal fields, which resulted in fewer completions
in August than in July, the August completions
showed a better initial production than the July
completions. There were 60 completions during August, of which 46 were producers yielding an initial
e
MONTHLY REVIEW OF BUSINESS AND INDUSTRIAL CONDITIONS
flow of 35,190 barrels as against 76 completions during July which included 55 producers with an initial
yield of 25,038 barrels. This increase in new production more than offset the natural decline of the old
wells and brought the daily average production of
the field to 105,024 barrels, or to approximately the
amount produced before the reduced prices in the
Midcontinent field became effective. The Haynesville (La.) field had only 60 completions during August as against 108 completions during July. The
August completions included 56 producers but had
an initial flow of only 6,480 barrels. This compares
with 103 successful completions during July with a
flush production of 14,975 barrels.
The center of interest during the
month in the way of new developments was the bringing in of a well
near Kosse in Limestone County. The bringing in
of this well with an initial production estimated to
be between 10,000 and 15,000 barrels has created a
widespread interest and it is now the general belief
that it is the opening of another valuable field to be
developed. The oil is of a very high grade.
Another test which was brought in during the
month was in Navarro County to the southeast of
Richland, Texas. The well, which was brought in
New
Fields.
I
If
11
with a good initial flow of oil which tests above 40
gravity, has had the effect of causing the further
developments in this field to be watched with unusual interest.
Crude
Oil Prices.
While no actual changes have taken
place in the posted prices of crude
oil in the major fields of this district, the future trend of the crude oil market is still
uncertain. A rather unusual situation exists this
year as compared with previous years. In normal
times the crude oil storage is generally reduced below the average during the summer months and is replaced during the winter months. However, this
year the stocks instead of decreasing during the summer have gradually increased with the result that
refineries and producers a:re going into the winter
months with a large storage. Most fields of this district, however, have reflected a firmer tone during
the month. In Louisiana fields refineries are now
taking- a lower gravity oil at the posted price, which
in reality reflects a slight increase. It is now the
general belief that the price on Texas Coastal oils
will not be reduced. In the North Texas district
spot crude continues to bring a premium of 30 to 40
cents above the posted price.
I
~IIUUIIIIIIIUlnUU ll l l lllllllllllllrumtllluIIIIIIIII I UIiUltllUIIIIIIIIUIIIWIIIIIOUIllIlIIUIIIUIIIIU U IUtWllIIIUJIIUIIHUlIlIlllIllUlflll lt,Ul1l ll llfll!lUUIIIUIilUtUlUtiUIIUIIIIIIJlJIIIIIIlUIIUIIIIIIII,IIIIJIIIIUDUnIW.IIIllululll ll un ll uuII III UlUllnllU'j ll 1llIIIIIIIIIIIUIIIIIIlIU II IIn,,!:
OIL PRODUCTION
iI
!~
i
iT
,fiUHIIIUI'"UUI IIIIIIIII\IUtrmUlllllllllllllll llrllllllllIl1IUIIIIUIIiUlUlli1lllUIIIIIWIIIIIJlIJIIIIIIIIIIUltlt1111111111nlllllnllll111U1IUIIIIIIIUlllllllllllllUJlfllliliUlIlIIIlIllIIUIIIIUlllllllllllllltlllllfllllllllllllUHlmUIIIIIIIIIIIIUllunt,flIIUIllll1lUll1l1"tIIUIllIJlIllIIIlIUUIIIUlUIIIIIIIl~
I
I
~I UUllumllmU'NmmIIIIUUlnUI1l ... nlll11'lrItIllIlU lllmlnIllIllJII lln-III"lUnUl'U IIUflflfllllllllllUI.llllllmllllllll1lUllltUllllllllllllllltlllllltlllllllllllllllllmUilUllUmIlIIlQnllllll~.uuuumUiUrtn1fl1H.mUUlmI1lIUUIIUlUllmUll1llt1jlllllllllll111Il1111111111U1UIIIIUW,:
I
AUGUST DRILLING RESULTS
Field
Completions
E North Texas ........................................................................................................
Producers
i
Pr~~~~()n
Failures
92
118
37
38
16 712 ~
43:171 ~
35,1 9 ='
2 69
~
Central-West Texas ____________________________________________________________________________________________
129
156
:__- - =~
Texas Wildcats
Coastal ------------------------------------.-______
.________________________________________________________.
______________ . __ . ______ .. ____________ ... __________________________________________________________
60
35
46
10
14
25
Totals, Texas .... ______ ... _.. ____________ .. ______ .... __ ..... ____ .. __ .... ____ ...... __ .. __ .___ .... __ .... __ . ____ ....
380
266
114
North Louisiana .-----------.------.--.--.- ..-----.----...---------.........
E August totals, DistricL __ .. ______ ._____ . ________________ .. ______ ... ______ . _______ ... _. ______ ... ____ ._.
= July totals, District.... ________________ ... __ ... .... _....... _. ________ .. _..... _.......... _...........
93
473
597
76
342
438
1~:
94342
10:',95: 75
159
119,126
I
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UIllUU. . .
III,.lIlIIlIIlIlJ~~nlll..nllllluIlIU""HllllIlIlIIllI'tllf1I1UUlUmllillulIIIU
°
IllIUUUlUIIllIUUIII ,lIIlIIlUlIIUWUIU 111I111I11l1,tltllnllnumVlUllmlhuumumUHuuullllmnml.1
_§_----:--==='
1_-=
§
§
it.
12
MONTHLY REVIEW OF BUSINESS AND INDUSTRIAL CONDITIONS
~IIIUIIIIIUIUUlUUtllUlnUlllllUnlllllllllflllllnJlnllt"tIIUIiIIUIIUII"lttllU"tJlllllllllt UUJlUllUIIUJUllitltUllnnmlllm,lItnUllllmmUfillmmnnfl",lIm"tuttlUIfttUWUlUUmnItUlfl1UUU."1IttI1W
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Texas
;;
1922
Corsicana light .................................................... $1.00
~_:_ Corsicana heavy ................................................ .65
Texas Coastal fields ............................................ 1.25
§ Mexia .................................................................... 1.25
~ Xf{~iili~:OT~~~:i~reld~~..~~~~~~.:::::::::::::::::::::::: ~:~~
OIL PRICES
1921
Louisiana
$ .85
.50
.80
WtttUtltllmUUI,mIJIltIllIllIIllUlJIJUUUlIIU'tWII IIWWlUllltlu",r.
AU~'9~~'
Caddo (38 gravity and above) .......................... $1.25
Bull Bayou (38 gravity and above) ................ 1.15
Homer (35 gravity and above) ........................ 1.25
g:yS:tS:~:u~!3.~~.~~.~~.~.~~~..~~~~~~.::::::::::::::::
1.00
gg
Af121
30
!;~
_
I
;;
$1.25
.90 ~
1.00 §
d~;
I
~IItUItIlIIllIlIlIlIllIl.,IIIIIiIllIlIlIlIJlIlIl1JllllllltlIIUlUIlIlUIllIlIWlIII"llI1l11nJlllUmm"Umm lillUnmlUlllmWJnIIUIiIlUlllllllllmll1lll11fnrfllllnnIlUllllllt"mUIllIllIIIIlIlIUUIUUlIJlllIllIIlIUlllIIUmmnlllluunUlllllUllNllIlIIllJlmllfllll1ll11l1ll1U1UIllIlIlIHUU11111I1It.:;
(Oil statistics compiled by The Oil Weekly. Houston. Texas.)
J
LUMBER
After showing a slump in production in July the
Eleventh District's pine mills reflected a sharp increase in production during August. The production rate for that month was 8 per cent above normal production as compared to 4 per cent below normal during the previous month. While the July
shipments were about equal to production during
that month, the August production was 5 per cent
above shipments. However, it is noted that there
was no actual decrease in the shipments due to the
large increase in production. Orders, also, showed
a sharp increase during August, being 8 per cent
above normal production as compared to 14 per cent
below normal production during July. In fact the
orders received during August were practically the
same as the actual production, orders amounting to
106,012,804 feet, and production amounting to 106,071,613 feet. Unfilled orders on the books of forty
mills on August 31st amounted to 81,283,984 feet as
compared to 89,816,132 feet on the books of 46 mills
on July 31st. Stocks at these mills showed a slight
increase during the month, being 17 per cent below
normal stocks as compared to 18 per cent on July
31st.
The lumber market continued comparatively
steady but a stiffening has been noted on special
items where the stocks were running low. While the
car shortage has affected shipments to some extent,
the situation is now reported to be somewhat improved.
!'ItIIIUtltllMftflJUllmalnlnmtlrllhUIIIIIIIUUU"'lUuumn,.ummUtUlUtlrllIlUllttttuUlmUIltllllllutlllUlltlllltlllllllOJIUllllnu!
AUGUST
PINE
Number of
reporting
millsMILL
........... . STATIS::CS
Production ........................................ 106.071,613 feet
Shipments ........................................ 100,723,468 feet
Orders ................................................ 106,012,804 feet
Unfilled oooers August 31st ........ 81,283.984 feet
Normal production ........................ 98.560.524 feet
Stocks. August 31st........................ 239.015,005 feet
Normal stocks ................................. .286.745,313 feet
Production above shipments.......... 5,348,145 feet= 5%
Actual production above normaL.. 7.511.089 feet= 8%
Orders above normal production.... 7.452.280 feet= 8%
~ Stocks below normal ...................... 47.730,308 feet=17%
1_-------==
_~=- i
~
iru,UU,U,tl,UMMMI...l..... " ••' ..UUlUAIIII-.,II"".....-........""uU"t'WU.. "'"Ult",UUtll""tt"UUU"LftI"UlJt"UJ'U'I'li
BUILDING
Building operations in the principal cities of the
district, which reached the peak of the year during
July, reflected a sharp decrease in August. The valuation of permits issued declined from $6,426,871 in
July to $5,154,554 in August, or 19.8 per cent. As
compared with August a year ago there was a decline of 20.9 per cent, but it is to be remembered
August, 1921, was the peak month of that year.
!l"nnnUIIIIUlllllmUlllllllilliUmllllllllllllllllUnlUUIIIIJUDlllllllllllllllUlllUlllllllllltIIllIlI1I11111U111111111nItUjJIlIlIUIIJJlJtlIUHWJUUIllIltUIIiJIllllUlWlllUdWltllllIIlIltIIlIlUIlIINIUlIlIlIUIIIIU1UlllnWIUWUlIIIIIIUUlIiUIUIUUI1I1I1WIIIUIIIIllUI'lIInUI IIIIIIIIIIIIIIIIIU .....:
I
I
BUILDING PERMITS
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