The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
Volume
Number
161
New York," N.
4384
"It
fighting in Europe is over for this war.
The ex¬
operations which have been necessary to guard
tensive naval
against the German submarines are no longer necessary.
The Japanese appear never to have been able to make their
submarines particularly effective, and their navy, including
battleships, carriers and other surface craft as well as sub¬
marines, appears now to have been reduced to a point where
it is hardly a major factor, save possibly in close defense of
and
By EDWIN
Emeritus Professor of
into
pretend that the developments of
a
trol Provisions and Offers His Own
that the prop¬
The various countries
Woods propo¬
carried on on
such a tremendous scale as to de¬
stroy the whole legislative process
and
In fact, it is
of
apparently quite frank and rather detailed state¬
Army about its needs, its problems, the maxi¬
mum number of troops., it can. effectively deploy in the far
reaches of the Pacific and in Asia, and its planned procedures
of a new and much more desirable atti¬
public. In the same way and for the same
an omen
(Continued on page 2092)
the
Congress.
the
her
of
their
dev
magazine articles by
have
which
officers
been
terest
thoughtful men will
Few
serious
This
•
this is true
whatso¬
use
except
ever
medium
a
as
of *
exchange.
is
Money
good
only for
it
what
can
buy
in food,
clothing,
shelter,
edu¬
cation
and
Bankers, brokers and others who
sell
securities
are
blind
also.
They
ple
in
for
ers
W. Babson
talk
some
"made money."
Just
ones
to
talking
left
stuffs.
mislead
money,
people
Why
us."
to
them,
Well,
and
we
GENERAL CONTENTS
•
:
Page
Editorial
Financial
2089
Situation
Ahead
of
Moody's Bond Prices
Items
We
and Yields....2100
Common Stock
Yields.....2100
About Banks and
Trust Cos..2104
Trading on New
NYSE Odd-Lot
York Exchanges.. .2101
Trading.......
State
of
2101
Trade
....
an
excuse
going to the Army. Of course the
Army is getting foodstuffs, but
are
these
soldiers
getting any
more
than if they were home?
How about
women's stockings?
good
the
war
the price was
by
f
v
you
for $1
"fixed."
stockings
Review...
2090
Domestic Index.2102
could
get
at which
Now you
.(Continued on page 2099)
We
we
have
devotion to the re¬
sponsibilities which lie ahead of
us.
If I could give you a single
watchword for the coming months,
that word is—work, work,b work.
in¬
that
to
We must work to
the
United
Na-
Our
The
Carloadings
..
2101
Weekly Steel Review...........
2100
Moody's Daily Commodity Index... .2100
Weekly Crude Oil Production
2102
Weekly Coal and Coke
Non-Ferrous
Output
over
President Truman
tory we join
in
offering our
Metals Market..
2102
Weekly Electric Output
a
Not available this
week.
a
1
'«■
subdued by a supreme
ness
conscious¬
of the terrible price we have
paid to rid the world of Hitler and
Let us not forget,
his evil band.
my
and
fellow Americans, the sorrow
the
is free,
but the East is
The
still
the treacherous ty¬
ranny of the Japanese. When the
last Japanese division has surren¬
dered unconditionally, then only
will our fighting job be done.
in bondage to
all Europe.
For this vic¬
finish the war.
victory is but half wan.
West
of free¬
fly
the debt which
to our dead
children only by work
repay
to our God,
—by ceaseless
surren¬
dered
can
owe
and to our
Ei¬
forces
the
liberty.
our
thanks to the
2103
Weekly Engineering Construction.. .2101 Providence, which has guided and
Paperboard Industry Statistics
2103 sustained ' us through the dark
Weekly Lumber Movement.........2103 days of adversity.
Our rejoicing
is sobered and
Fertilizer Association Price Index...2100
Weekly
give as
that these things are
forms me
dom
2098
neighbors —neighbors whose
priceless possession has been
rendered as a sacrifice to redeem
most
of Germ any
flags
Reacquired Stock Hold¬
ings
proclaimed
reported in an Associated
our
this
Gen.
tions.
Changes in
V-E
a
a
had lived to
senhower
K
Can't Get Goods
.
Truman's radio address in which he
glorious hour.
I
only
wish
that Franklin
D.
Roosevelt
day.
the
..2090
News
General
any!
is
but
witness
Regular Features
Washington
they
of butter, sugar,
goods and other food¬
But with what results?
These Washington boys
Before
money,. money.
This
Commodity Prices,
not the only
the
it
We can't get
10% wage
the
are
V
Moody's
v
(Continued on page 2094)
"complete and final" victory in Europe, as
Press dispatch from Washington, May 8:
solemn
From
1945.
Day Proclamation
Text of President
neglect at their
3^/'-
people ignore or
peril.
and
Professor
the House
before
Text oi President Truman's
both the
gards practically all current issues
is a matter which the American
the price
canned
get
leaders
of
take this money
goods.
to
fixed
Most People Are Blind
Labor
it
leave
have
about working con¬
end, although the
10% more money,
they really get 15% less in food,
clothing and shelter.
;
cost
the stores and get more
to
things.
Labor lead¬
can
you
money
these
they
in
workers
the
prices right where they
that when you get more
so
are
lead their union
members to
adopt some policy
which
increases
prices
15%.
Hence,
have
We'll fix
90% of this talk is
about wages.
They almost never
discuss
what
wages
will
buy.
increase,
you
boys" in Washington who are also
blind and say:
"Leave it to us.
peo¬
states
KemBanking
Currency Committee, May 2,
of
'^Statement
proportion of the member
were
aggressively
con-
A large
high-
highly skilled and
powered effort to coerce
living went up more.
But then come along the "smart
tant
Yet, while they get a
and
money"
"made
you
merer
state of affairs.
But are you any
During the time
No!
better off?
but
ditions,
increased
dend ' is
capital loans and Latin America
with developmental capital loans.
you.
buy goes up
impor¬
five
So you let them
The stock you
in price or the divi¬
for you."
invest
t o
interest
and
money
hap p i n e s s .
Yet it is very
difficult
"Give me your money
I will make more
say
invest
to
opinion among intelligent people
and
unofficial—as to
—official
public mind and Congress as re¬
of
money,
which has no
paper
Roger
itself is no good.
simple fact is that money of
and
of free exchange
markets.
Russia was primarily
concerned
with " reconstruction
doubt
without realizing
differences of
that there are wide
E. W. Kemmcrer
points to a very
that Senator Taft
What Is Money?
Certainly,
different
the Conference,
creation
the
against."—
the
on
has appeared in the
member nations since
subject that
in
was
the; literature
read
can
♦
in¬
bilization
departments.
Every argu¬
favor is stated and no
arguments are stated
Sen. Robert A. Taft.
Twain would say that money
is something like the weather—everyone talks about it; but no one
does anything about it.
Everyone wants money; only to exchange
it for something else.
Hence, few do anything to protect it.
Our
principal
in
ment
PARK, MASS.—Mark
Plan, therefore, is a very
complicated documexit and no one
The
a
•
presented for distribution, a re¬
internatio n a 1
print from the Federal Reserve
monetary sta¬
Bulletin for distribution, printed
these
Something Else
po¬
as
nation.
copies of radio broadcasts and in¬
numerable speeches by officers of
Money
compromises could not be
reached, of weasel-worded phrases
and of numerous escape clauses.
cut
heavily debtor'
pamphlets i^su^d "by" the'
partments,
new
sition
large collection
a
matters for which clear-
on
ences
of
difficulties
glossed-over differ¬
promises, of
the
serious J
very
...
"I have here
an
and
meeting
As a result of
even
the final
agreement became
embodiment of numerous com¬
ad referendum
after
war
our¬
in our
differences
these
her export
trade
consideration, and
independence of
intelligent
threaten
up
we
interest
little
capacity to borrow.
in
Dumbarton building,
Bretton
Oaks
sals.
States while
took
selves
could bor¬
form or another from
one
United
the
was
particu 1 a r 1 y
interested
so-called
the
toward
in
row
for
Britain,
example,
Robert A. Taft
Congress in
their attitude
cerned with what they
Great
ence.
of
members
represented at Bretton Woods had widely
toward proposals under discussion
at the Confer¬
is
to
influence
ment of the
The
Universal Adherence
on
different motives in their attitudes
De¬
partments
designed
Encouraging Candor
BABSON
Plan Based
Gold Standard.
to
and
State
Treasury
I
Roger W. Babson Prefers
Holds
aganda of the
The
tude toward the
,
can
be little doubt
concerning problems which will inevitably remain until the
situation is much more settled in Europe, and Japan much
nearly brought to her knees.
University
Prevent
Currency Wars, So That Trend of the Bretton Woods Monetary Plan
Would Be Away From, Rather Than Towards, Currency Stability and
Free Exchange.
Quotes Conflicting Interpretations of Exchange Con¬
constitutional
public
realistic and wholesome approach to the
WALTER KEMMERER*
International Finance, Princeton
Money Standards, Which Are Not Expected to Be Permanent.
Provision Permitting Universal Monetary Debasement Will Not
public
pressure group
processes.
"There
Copy
a
Expert Criticises Provisions of the International Fund, Contending They
Permit Wide Latitude of Currency Valuation.
Says Fund Creates Paper
Govern¬
vast
authorities are apparently no longer much disposed to
any such pretense.
Washington's attitude toward "V-E
Day" and any celebration of it, out of step as it was with the
attitudes of Russian and British authorities, was perhaps a
sort of remnant of the earlier philosophy of dealing with the
American people.
In any event, steps taken recently sug¬
hope,
legis¬
on
turn
not
ment
the
we
cases
matters
the
past few years, and particularly the events of the past
six months, have not drastically altered the situation by
which we are faced.
We are encouraged to observe that
is,
their
were
Congress
to
the
more
departments
to destroy our
It would be foolish to
gest a more
high time that the
presenting
lative
Price 60 Cents
Implications of the International
Monetary Fund
Gov¬
told
they must confine themselves to
home shores.
>
is
ernment
2 Sections-Section 2
Y., Thursday, May 10, 1945
Destructive Coercion
The Financial Situation
The
In
ESTABLISHED OVER 100 YEARS
Edition
Final
heartbreak
which
today
abide in the homes of so many of
We
must
wounds
build
of
work
a
abiding
an
to
bind up the
suffering
world—to
peace,
peace
ai
justice and in laiw. We
build such a peace only by
rooted in
can
hard, toilsome, painstaking work
—by understanding and working
with
our
have in
The
Allies
in
peace
as
we
war.
job ahead is no less impor¬
tant, no less urgent, no less
diffi-
.(Continued on page 2093)
2090
THE COMMERCIAL & FINANCIAL
CHRONICLE
Porfal-fo-Porla! Wages
From Washington
Ahead of the News For Goal Miners Upheld
CARLISLE BARGERON
By
Now
that
the
war
miners
sort of estimate as to
reappraising of the job, a lot of stock taking on the home
that seems unquestionable is that if the outcome
depends upon our landing a conquering force in Japan proper, we
for
in
are
Avar
without
end.
There
has
been
lot
a
and
fer
any
that
loose
wild
did
not
talk
relief to them, just as it
to the Germans.
Japan
this is exactly
is expected to
what
that
will
be
necessary.
For
what
know.
has
sooner
just
been
lot of prop¬
a
of
most
the
lifted
hold
Carlisle
Pacific,
the
with
possibly
on
case
admittedly
30
a
day
route. If this
en
have really
we
job for
a
country which has
a
It
wonders.
done
that
get
is
miles
to
So
the
far
the
of
be
to
that
is
colonial
a
taken
without
in
too
home.
is
concerned,
as
at
again to have high
our air forces.
There
once
tween
in, not because of
come
to
of
help her allies,
or
arrangement be¬
Roosevelt and Stalin
at
any
Yalta, but simply because it is
good way to grab Manchuria.
a
a
time when it was thought j
;
In the meantime, the parents of
they could knock Germany out of Lhe ground combat troops in the
the war. They themselves claimed
■European theatre needn't worry
they could do it. When they didn't much over the
prospects of th^se
air
and
forces
bate
armed
in
the
on
the
in
to
invade, the
boys
being sent
supporting
cific
day after tomorrow or the
day.
The emphasis will be
their
and
enthusiasts
of
had
we
the
continual
relative
various
de¬
importance
branches
of
the
forces, felt sunburned, and
recent months little
nothing
or
heard of aircraft being a fully
contained and sufficient army in
was
itself.
At
of
nents
and
the
air
the
outset,
power
propo¬
were
loud
so
demanding that the old line
generals and admirals were fear¬
ful lest every other branch would
be
almost
there
scrapped.
was
As
neglect
a
branches which had
died
in
the
European
cadets,
last
for
of
thing,
was,
other
be
to
Young
one
it
quarter
war.
reme¬
of
the
aviation
were
un¬
ceremoniously shoved into the in¬
fantry.
But
with
Europe
the
atmosphere
in
slowly beginning to
clear, militarily speaking, it is
appearing that airpower did, in¬
deed, do a tremendous job.
Our
air
now
power
Von
what
was
Run-
stedt, after his capture, attributed
Germany's defeat to. It is begin¬
ning to appear that air power had
fairly demoralized Germany even
before
troops landed
our
mandy,
fective
continued
and
as
a
in Nor¬
to
be
ef¬
demoralizing force.
did
power
to
Germany,
coming to the fore, there
confirmed
tation
of
reports
the
already wrought
the
devas¬
other Japanese cities by
B-29's. , In
five raids early
was
more
laid
in
being, the Japs
ing
our
50%
than
of
For
waste.
seem
in
time
bombers
occupied over
Okinawa, but this situation is ex¬
particularly
on
out
any
rurrender terms.
,
pretty
high
the
war,
unconditional
Although there
..
definite
business
of
.Japs
anything
aren't
well
as
that the. latter
now
were
more
less
or
of
nation
a
living dead.
ington,
that
now
are to
we
do have to pursue
we
direct
overall attention to Japan: If
our
the
bitter
end,
we
the
to
war
in
are
for
and
given
was
in, two
mines
ginia.
The
decision
in
Vir¬
Court
time
that
such
worked
is required under the Federal
Wage-Hour Law. ; :
pay
bituminous
operating
industry has
a
portal-to-
on
portal pay basis under a 1943 war¬
time agreement.
Circuit Court that there
eral
substantial
no
difference
factual
between
legal
or
the
was
in¬
case
volving the bituminous coal min¬
and
that
involving
the
iron
miners.
"Factually,"' sgid Justice Mur¬
phy, "underground travel between
portals and working faces" of
Jewell's two mines "bears all the
indicia of work."
for better
the
"In
this
achieved
obvious," he said, "that
the underground travel is both
controlled and required by peti¬
tioner
(Jewell).
Both
the
trip transportation and
foot
man-
travel
by
solely on4 petitioner's
property and occur only as and
when required by petitioner.
...
.
occur
To
conclude
that
is
travel
raneous
such
subter¬
work
not
is
to
ignore reality completely."
Justice
that
Jackson's
the
dates
decision
dissent
either
said
invali¬
ignores terms of agree¬
b a r g a i n e d collectively
or
ments
between
the
parties -"based
on
feeling that with the
the
many
thirds
job
dones-
seemed
to
that
this is
offi¬
general
least
two
nothing
has
at
was
more
ians than the
more
end in Ger¬
And
annoy
*
dustry."
the
the civil¬
case.
It will
now become
apparent that .it isn't.
The problem of logistics is multi-
olied many fold.
But
we
lay¬
are
ing great store by what air power
do.
So far, there is
plenty
of
evidence that it has been the
greatest surprise of the Japs' lives.
the consequence
bargaining,
our
eyes
of this
the
only
to
decision,
left
means
by which there could be
settlement
"We
a
reliable
of
At
of SEC
a
ceremony held in the ball¬
of the former Penn
Athletic
Club,
now
occupied
by the SEC,
Caffrey, administrator of
the New York
regional office of
the Securities and
Exchange Com¬
Justice
Jackson
as¬
!
just held
ier
as.
1938,
member
a
of
the
New
York
sworn
the
fiv^-^an
Philadelphia, May 2.
late
in
was
advices
"Times"
It
from
was
the
President Roosevelt who
nominated
Mr.
Caffrey for the
post formerly occupied
by Robert
H. O'Brien, who
resigned to be-
that. Paramount
reflected
The
tone.
appeared.
in
eas¬
witnessed
volume
day
a
of
turn¬
the heaviest
was
three
about
weeks
and
ap¬
proximated
close
to
2,000,000
shares. The. occasion caused much
concerned
the
about
were
the
course
market would take in view of the
widespread participation this year
by the public, many of whom
in
comparatively
buyers
new
the market.
On the industrial front the wel¬
event of V-E
come
Day provoked
iresh thought regarding the prob¬
lems of cutbacks and reconversion
that
have
suddenly
taken
on
greater significance than ever be¬
Much remains to be done
fore.
by the Government before a large
proportion of projected V-E Day
cutbacks,
of which
some
ready approved
nally
al¬
are
by -the WPB, fi¬
the
reach
af¬
contractors
fected.
It
that
the
vari¬
agencies
have
general policies formulated
with
the WPB
scheduled
to issue
its initial important pronounce¬
ment of relaxed controls on "V-E
Day plus two."
in
The feeling exists
quarters
some
that the
Board
will adhere to its original nlan to
revoke an additional lot of limi¬
and
conservation
orders,'
consideration to small
gom e
and
"open
end"
the Controlled Materials Plan by
dividual
turers
is
civilian manufac¬
many
scramble
to
for
steel,
deprived of
power
to settle such questions. aluminum and copper not specifi¬
Now we hold collective bargain¬ cally allocated to war and essen¬
tial products.
ing incompetent to do so.
*
Opposition to the plan has de¬
"It is hard to
see how the longinterests of labor itself are
veloped
on
advanced, by a holding that there
which
voiced
is
through
range
mode
no
by which it
may
bind
the part of the C. I. O.
its
it
sentiments
President,
itself to any specified future con¬
Murray,V: who
duct,
Phillip
follows:
however... fairly bargained.
genuinely collective bargained
A
agreement
to
as
and
by
this
hours
wages,
working conditions
is not
or
invali¬
(wage-hour)
freedom
of
ability is
more
reliance
them, and the courts in de¬
ciding such cases should honor
upon
them."
•
places and
lish the ends
plex
we
know that
application
fabric
of
this
potent to accomp¬
seek than
we
of
laws
and
a
com¬
regula¬
tions.
Black Leaves P. O. Dept.
Ramsey SI Black has resigned as.
Third
as
proud of the great ingenuity of a
great many big and little people
in many
a
part
"The C. I. O. recognizes and is
Act
*
in
stated
bqth employer and employee
should be able to make
Assistant
Postmaster-Gen¬
"However,
we
economic
our
be
controls;
to
operate
the
recognize that in
system
under
State; Treasurer of Pennsyl¬
vania,
according
to
Associated
operated in
will
Government
where
Press-advices
there
it is better for them
through
duties
eral
to
take
his
over
new
as
from
Washington,
May 1. His resignation, effective
May
6, • has
been
accepted
by
President Truman who has made
no
announcement
successor
partment.
in
the
as
Post
-
to
Blacks'
Office
De¬
r
ihe
ruled
miners
that
are
portal-to-portal
en¬
under¬
full
light of publicity,
they will be responsive to
the public will, rather than to be
small
group
ciers."
In
tant
pay
ers
a
Industry
Latest
—
devel¬
characteristics of
volume
the
for
heavy steel
war
materials
would, undergo substantial
change
in the near
future, since the steel
industry as a whole at that time
had accepted V-E
Day as a fore¬
gone conclusion, states "The Iron
.Age" in its current review of the
steel
trade.
The drop in order volume is
ex¬
pected to be only temporary dur¬
ing the period in which cutbacks
are implemented.
However, the
whole pattern of finished
steel
production and shipments will be
somewhat
when
different than
heavy
it
was
production held
war
According
sway.
to
the
maga¬
zine, it is in that segment of
supplies
and
over
needed
for
steel
above
those
the
Japanese war,
where the greatest
change in pro¬
duction patterns will materialize.
Actual reconversion of the steel
industry will not be difficult, but
the major stumbling
block, a tem¬
porary one, will center on the un¬
balance of steel product schedules
caused by order
suspensions and
cancellations.
A
tion will
at first in
occur
reducing
within
gradual
reduc¬
sharply
military
the
needs,
but
three months a
next
secondary wave of military cut¬
backs
is
looked
for
in
many
authoritative quarters.
At
mid-week
military
steel
needs gave the
appearance that in
the first three months after V-E
Day
they
about
would
suffer
2,800,000
cut
a
Of
tons.
of
this
amount
understood
is
governmental
ous
allowing
workman
Murphy,
Court
coal
opments in the steel picture early
last week gave evidence that the
upon
slightly
a
day
' The
for the
over
(in a re¬
cently decided case) that the in¬
James J.
mission since
slight effect
manufacturers
have
dated
Caffrey Member
had
mar¬
of unconditional
news
their
*
shut
cannot
wliich is to impair for all organ¬
ized labor the credit of collective
military's insistence
not
•
the close
serted.'
Nothing has
high military
apparent
than
more
prices. After a series of irregular
price movements the market at
comparison.
the
both have
years,
suffered
and
to the
give
than
five
surrender
a
half century of custom in the in¬
to
order
which has lasted
war,
The reaction of the stock
ket
pensation,"
cials
are
hands.
than
more
tation
the
Ger¬
the
delivered into
worse
or
Victors'
marginal questions
concerning hours of work or com¬
annoyed
signature,
people and armed forces
man
were
is
titled
Steel
this
uneasiness for brokers who
the
Supreme
portal-to-portal basis.
"With
travel
which
for
Justice
by
bituminous
words:
world."
protested a
Fourth Federal
S.
five to four decision de¬
a
completed the act with these oriel
the
time
been
and
perhaps any other people in the
Circuit
The
Union
concern
by
is
southwest
signed for
ground wages. Under a 1943 war¬
time agreement
the bituminous
industry has been operating on a
job against which the undertak¬
ing in Europe will seem mild in
a
xi^ome assistant to the president of
Pictures, the report
of * the stated.
place
was
respectively.
Following the signing of full
surrender
by General Jodl, he
1944;
appeal by the Jewell Ridge
Corp., employer of 900 men
"We
On one thing there seems to be
general agreement around Wash¬
..
evidence
interests
it
bad
a
really weren't taking it, that they
to
khocked
for
commission, according to
soon.
Scarcely any one in authority
H Washington expects
Japan to
'old
up
because
Germany has
Neen
in
The
take
irig revealed •
room
Tokyo
the
to
is
the Germans did, and it is be-
as
our
to be keep¬
pected to be remedied
Japan
enough time.
fitted
technical units.
combined air and naval
our
forces
Tokyo
on
air forces and
on
With
now
are
and
March,
next
the Pa¬
to
over
can
Aside from this, aside from the
picture of the deadly job which
air
an
Coal
"It
was
it
on
ers
not
working
Soviet
France,
those securities that the best gains
on the' subject but- it
amazing if Soviet Russia
desire
actual
back again.
The present decision
ore
military is
our
the
to
will
does
27,
portal-to-portal wages—
is, pay for the time spent
traveling from the mine opening
formation
because
March
the
for
ument
for
ore" miners' must
paid
their signatures to the doc¬
fixed
w
that
and
any
do
be
on
iron
U.
ity agreed with the Fourth Fed¬
We certainly have no in¬
be
Court
.
livered
and
con¬
U
,
surrender
last, in
or
more
bother
a
Frankfurter
J
that
of
General Ivan Susloparoff
General Francois Sevez af¬
major, shifting of emphasis to
peace-time issues, and it was in
something
country's stride
a
The
document
hower.
the
Justice
dissent in which
a
curred.
ruled
The
Justice Murphy said the major¬
war,
great
fur-*
delivered
decision.
Stnd
Soviet Union.
treat
will
she
in the Pacific
war
less
Britain
as
belief
Roberts
and
pines, to get to Japan.
The fact is that
propagandists will
working on this possible
our
wrote
six
1,500 miles still
in the case of the Philip¬
in
be
in the
that
to
to go, as
hopes
will
state of mind.
then with at least
coming
rather gen¬
which
the
Germany by Col. General Gustav Jodl, the new Chief of Staff of
the German Army, and for the Supreme Allied Command
by Lmut.
General
Walter
Bedell
Smith,^—1———
Chief of Staff for General Eisen¬
5-to-4
away,
army
same
thousand
seven
country.
hope that we will
shrug our shoulders
and say "Oh nuts, who cares about
Japan." It is to be assumed, how¬
taken
mighty different from sustaining
an arm in
Europe at the size we
did, 3,000 miles away and with
Britain as a storehouse, than sus¬
taining
will
course,
believed here,
on
ever,
furlough at home
is
Bargeron
the
to
this
of
eventually
ily and trans¬
ferred
hit
of
know,
erally
in Eu¬
being
up bod¬
army
rope
later
or
sense
accomplishment
Their disposition, it is
about
aganda
in the hope
on
that the
political make-up of the country
being what it is, most of our real
hate
was
directed
at
Germany.
They
There
also
fight
weariness and
war
satisfactory
reason
do not
we
a
and
says
Chief Justice Stone and Justices
surrender doesn't of¬
conditional
of
C,),
Murphy
Jackson
the destruction
that has been wrought, in Ger¬
many,^are bordering on panic, un¬
viewing
portal-to-
wages,
*
Justice
Court's
island,
seemingly
(D.
ther adds:
"
-a
to
underground
Associated Press dispatch from
Washington
One thing
long awaited V-E Day arrived on Monday, May 7, at 2:41
A.M., Frencn time, and on Sunday at 8:41 P.M. Eastern Wartime,
when Germany surrendered unconditionally to the Western Allies
Supreme
entitled
are
portal
an
lot of
a
front.
S.
The State of Trade
The
Court on
May 7 ruled that bituminous coal
in
Europe has come to an end you can get
the length of the war with Japan.
In the next few months ii will come more into focus, there will be
most any
U.
The
,
Thursday, May 10, 1945
r
,
week
news i
secluded
of
places by
powerful
a
finan¬
•
being alloy steel.
plated reduction
question of the soft coal min¬
On Tuesday,
This
contem¬
is
substantial,
military on a quarterly
basis
has
recently been taking
close to 8,000,000 tons of
steel,
"The Iron Age" discloses.
Any hopes for immediate largesince the
scale
production
turers, of
made
by
ordinary
from
manufac¬
civilian
items
steel
may be disap¬
pointed, since it is almost a cer¬
tainty that more than half of the
steel
to
be
released
by
cutbacks will go to the
farm
implement
military
railroads,
industry
other
essential
turers.
ing
civilian
and
manufac¬
These consumers, accord¬
to
about
estimates, will be given
1,500,000 tons of the steel
to
released
be
months'
The
during
balance,
the
after
period
V-E
Day.
more
than
totaling
three
1,200.000 tons, may be available
for other than essential
needs, but
this tonnage does not lend
sup¬
port
to
hopes of large-scale
activity
in
the
near
any
civilian
future, the magazine points out.
A meeting scheduled for Cin¬
cinnati
time
the
past
ordnance
week,
at
cutbacks
which
were
to
be
discussed, probably portended
their gradual reduction.
Observ¬
looked
ers
sult
in
shell
a
to
this
meeting to
slashing
program.
of
own
posals
and
are
are
on
ders
for
heavy
only Army
to be holding
against all cutback
pro¬
big bombs and rockets,
programs
The
re¬
the
The
items which appear
their
for
these
products
the increase.
automobile
reported,
fraught with impor¬
the
portal-to-portal
projected itself!
more than
2,300,000 tons
involves carbon steel, the balance
on
industry,
it
is
has
an
already placed or¬
if-as-and-when basis
approximately 300,000 tons of
sheets, and there is little indica(Continued on page 2099)
Volume
THE COMMERCIAL & FINANCIAL
Number 4384
161
another
the Bank asked "why not
conference?"
Explains Bankers' Opposition"]
cisco;
bankers
Woods 't
stabilizing
Bretton
the
to
With
Committee
before
the like
for
As
State,
of
had
Japan
been
change in ultimate tax liabilities
but would improve the cash po¬
de¬
work
a
on
tax
tion
as. soon
program
W. L„ Clayton, recently told the as the tariff measure had been'
questions;
Congress in testifying on the re¬ gotten out of the way, possibly
to collect information which is a
constantly
preaching in
public
ciprocal trade agreements pro¬ within five weeks.
necessary
basis for sound deci¬
addresses, through the press, and
A
gram, the Bretton Woods mone¬
partial text of the special
over
the radio that the Bretton sions; and to make arrangements
tary- agreements and other plans memorandum prepared by tax ex¬
for stabilization credits in cases
Woods
plan is indispensable to
"won't make sense" without ac¬ perts and submitted to the joint
where they are justified.
post-war currency stability and
tion in the tariff field. Trade pol¬ House-Senate Committee on Post¬
That the Association is still in
abandonment
of
discriminatory
icies and monetary policies should war Tax Problems, as given in
favor of these objectives is shown
advices to the "Wall Street Jour¬
exchange practices, it is small
logically be considered together.
in its report on the Bretton Woods
nal" from Washington, May 2, ap¬
wonder, states the "Letter," that
While we want to do all pos¬
proposals issued on Feb. 1 last,
people ask, "Why are the bankers
(Conjectures as to
sible to capitalize and build on the pears below.
and in statemehts by Association
opposed?"
'
proposals contained in the memo¬
orogress of
international mone¬
The answer
randum were given in tne May 3
is, continues the representatives in hearings on the
Bretton
Woods
Agreement
Act tary cooperation already begun, a issue of the "Chronicle" on page
comment, that the bankers are
before
the House
Banking and program as important and com¬
not opposed, in the sense of be¬
1974.)
plicated as this calls for much
Currency Committee in March.
It is suggested that all present
ing against what Bretton Woods
more than mere formal inspection
Secondly, the Association fa¬
tax rate's should" be retained andstood for.
They are just as much
and aproval by the Congress.
We
vors an important part of the par¬
that no major changes in taxation
in favor of currency stability and
need to give it the same careful
should be made until after the de¬
machinery
proposed' at
elimination of discriminatory ex¬ ticular
But
sound
the American
mends
their zeal to "sell"
Woods
Bretton
the
people,
talked
have
guarantee
a
certainly
and
could;
plan
needs but a casual glance
maintaining
controls to
is
see
,
it
that
section
objectives.
tional
in an
of quotas
pool,
money
international
an
automatic,
change
difficulties
rective
internal
There
"reactionary."
is,
sary
example,/ the
for
people by attacking
the "inter¬
deserves
for
selfish
reasons,
they are being accused by another
group of seeking to drag an unwilling world back prematurely
to the gold standard and rigid ex¬
changes.
Obviously, one of these
exchanges
.
.
accusations
it
must
be
and
wrong;
so happens that both are.
Analyzing the nature of the real
issues
the
posed
by
Bretton
Woods;
"Monthly Letter" calls atten¬
changes that might bring
about a more general agreement
tion to
with the views announced
-
by the
American Bankers Association.
T
is—as
stated above—already agreement
upon objectives. The Association
In
the
"wants
'and
first
place, there
free and stable
an
but
stated,
unstable
perpetuate
exchanges,
international monetary or¬
by
Treasury
the
an¬
Ex¬
that prior to
member firm
may carry cn margin Government
securities offered during the Sev¬
War
enth
possibilities
has
(1)
ton
loan
to pay off the debit
against the Seventh
Lean securities within
agrees
balance
War
a
period
of six months or
less, and
does not contemplate sell¬
ing the securities prior to
making such payment.
of this ruling applies
speculative purchases of
The spirit
of the willingness
countries
to
accept
thing to be said
represents
merely
a
proposals which the Bret¬
Woods delegations agreed" to
submit to their respective govern¬
ments for consideration. The.dele-
did not even recommend
adoption of the proposals;
and, in addition to this general
reservation, there were specific
reservations'on a number of points
gations
the
by several delegations.
The gov¬
themselves remain en¬
ernments
tirely uncommited.
*The
debit balance against
bonds previously
for
and
he
no
war
subscribed
of
of
set
Drive unless the
Loan
customer
agreements, v the
plan has not been agreed upon by
44
nations,. as so often loosely
critics for
issued
the
of
the New York Stock
sta¬
is a
reminder that the Bretton Woods
Curiously enough, at the same
that bankers are being at¬
to
currency
comment.
first
The
time
wanting
the
the
other
of
bankers of Wall Street."
with the spirit
nouncing the Seventh War Loan
cor¬
changes in the Articles of Agree¬
ment is of course pertinent;- and
the bankers, especially
tacked by one group of
statement
the
Secretary
neces¬
The question
popular prejudice and the fact
that it is always possible to im¬
some
of those
measures
Bank states:
to
national
cf
(2)
Discussing
profits out of unstable
exchanges.
This follows an old
familiar formula, based on appeal
press
conformance
In
ex¬
insure real
to
amending
make
to
experiencing
bility.
charge that bankers are opposing
Bretton -Woods because they want
!
Willi 7fb War Loan
overborrowing, and postponement
countries
second
point
that
needs
„
porations. A large number of the
smaller ■ corporations
would be
freed from liability under the tax
and the burden for the remainder
would be reduced, with no con¬
siderable loss of revenue.
The other* suggestions relating
to
■
The
be
.
the
first
Keynes
and
White cur¬
rency stabilization proposals were
'under discussion,
it said in
a
re¬
port by its Economic Policy Com¬
mission:
Some
.
is
-
international
desirable:
to
help
.
institution
nations
in
suggestions relate: to reduc¬
repeal at designated ap¬
propriate times ;of
the excess
profits tax, and the capital stock
and declared value excess profits
taxes. Additional revisions of the
to
also
partners
members,
member
and
!
firms.
Inquiries regarding this circular
should be directed to the Depart¬
ment of Member Firms, Hanover
2-4200, Extension
Hard Goal Mines Seized
The
seized
Government
the
the Pacific War.
be
This period can
expected to be one of reason¬
full
ably
employment,
since the
demand for goods and
services is expected to offset the
anticipated cutback in war pro¬
duction.
Such unemployment as
does exist will largely be caused
'pent-up
by unavoidable delays in the re¬
conversion of plants to peacetime
It is likely to be lim¬
ited to a few areas in which large
cutbacks in war production are
made.
General
tax
reductions
production.
.could do little to
lated
help these iso¬
areas.
Inflation will continue to
3.
be
danger during the period of the
Pacific War.
Tax reductions at
a
this
time
factor
in
basis of
this argument,
the
May 3
anthracite
on
nation's
in¬
runaway
a
would increase
demand for
civilian goods and
services already in excess of lim¬
production. Furthermore, tax
reductions
might weaken other
anti-inflationary controls.
<
4.
While the armed forces are
still
called
upon
to
sonal and economic
endure per¬
hardships, tax
reduction would impair
morale.
in a contract
dispute, 'according to an Asso¬
ciated Press dispatch which added:
positive suggestions for tax
revision to. take effect for the in¬
orders from Presi¬
dent Truman, Secretary of the In¬
terior Ickes proclaimed
that he
had
taken formal possession of
the mines and breakers owned by
363
companies,
all
located
in
Pennsylvania. (A breaker is an
establishment where coal is broken
rope are as
mines, strikebound
Acting
on
-
The
terim period after victory
1.
table
up.)
period.
suggestions in this memo¬
randum are based on our present
that
The
appraisal of the future economic
Subsequent
develop¬
might make it necessary to
situation,
ments
suggest additional changes for the
period.
It will be observed that the sug¬
interim
gestions in this memorandum
intended to take effect during
interim period following the
of hostilities with Germany
are
the
end
and
prior to the end of the war with
Japan. It is not intended thereby
to suggest that other legislation
may
not be
desirable during this
period to take effect after
with Japan.
the end
of the war
might be an important
starting
flation, since they
ited
272.
in Eu¬
follows:
•
|
Speed up- refunds attribu¬
to carrybacks of net operat¬
_
ing losses arid of unused excess
profits credits.
2.
Speed up refunds resulting
from the recomputation of deduc¬
tions for amortization of emer¬
-
"A breakdown in wage
.
the
for
structure
rated depreciation, special treat¬
will not. ment of corporate dividends and
revision of the corporate tax rate.
be lessened. With the war contin¬
uing on one front, it has been es-' Consideration is also being given
timated that the Federal Govern¬ to revisions in the individual in¬
come
tax, excise taxes, and the
ment would spend for war alone
In view of
at the annual rate of about $71. estate and gift taxes.
the necessity of maintaining high
billion..
taxes during the interim period,
2. It appears unlikely that there
tax changes in these fields were
will be.any serious general un¬
appropriate for
employment during the period of not considered
Legislation Proposed to
Recognize War Newsmen
been proposed in
authorize a "dis¬
tinguished service news medal"
for
American
newspaper
men,
radio
men
and news photogra¬
phers, as a result of a War De¬
partment statement that the Medal
of Honor can go only to military
personnel and cannot be post¬
humously awarded to Ernie Pyle,
according to a United Press re¬
port from Washington, May 3.
The same source stated th^t an¬
other bill was introduced to pro¬
vide hospitalization and treatment
for accredited war correspondents
injured
or
taken ill in' per¬
A
has
bill
Congress
to
formance
of duties overseals
would
make
gible for the same
that
as
and
correspondents eli¬
Army, Navy or
given
treatment in
veterans' hospitals
.members ot the
Armed Forces.
Argentine Envoy Washington
;
New
At
.
.
On
tax
post-war are being studied, in¬
cluding such matters as accele¬
,
.
Argentine Ambassador
United States, Dr. .Oscar
The hew
„
achieve these
conditions.
Its record in this re¬
spect is clear and consistent. More
than a year and a half ago, when
ganization to help
have
tion and
corporate
,
that
taxation
corporate
previously been made were sug¬
gested only for the period after
the end of all major hostilities.
gency facilities.
;
3. Make the post-war credit of
negotia¬
comments abroad that other coun¬
10% of the excess profits tax curtions threatened a fuel crises that
tries are going to take a good long
would impair public health and -rently available for tax liabilities
look, including all the fine print,
of 1944 and subsequent years.
.*•
impede the orogress of the war
before signing on the dotted line.
4. Advance to Jan. 1, 1946, the
next winter," said a statement .is-:
While the Bank has found general
sued by the Solid Fuels Adminis¬ maturity date of outstanding post¬
acceptance abroad, the Fund has
war refund bonds.
'■
i
tration, headed by Mr. Ickes.
'
met with a good deal of criticism
5. Increase the specific exemp¬
He ordered the U. S. flag raised
and demand for clarification.'
tion under the excess profits tax
above these mines.
'
*
The British Chancellor of the
from $10,000 to $25,000, effective
The operating heads of the coal
for 1946.
:
Exchequer' has characterized it as
companies
were
designated as
"a difficult document, inevitably
No
further changes are sug¬
Federal operating managers.
Jong and technical." "There are,"
gested for the interim period.
Wage negotiations between the
he said, "some obscurities of lan¬
Speeding up the refunds, mak¬
operators and
the United Mine
guage in it which have led to mis¬
ing the post-war excess profits
understanding and must be clari¬ Workers- remained deadlocked in
credits currently
available, and
New York as the President issued
fied." '
'
advancing the maturity date of
his proclamation.
bringing out is the evidence from
ex¬
profits tax upon smaller cor¬
cess
following
the
on
Federal expenditures can
specific
emption to $25,000 would reduce
the repressive effects of the ex¬
thus the need for revenue
leading
isolationism,
and being a
interna¬
managed by
board,
would
supported
1.
NYSE Gooperales
granting too easy and
to bad loans,
make credit
ticular has been to invite charges
motives,
can
change has ruled
July 15, 1945, no
in
ulterior
people
The increase in the
expected to remain at a high level
even after victory in Europe, and
Drive,
the official program in every par¬
of
be—that
concerned only with shortcredits required to iron out
system
of
is-
grounds:
Studies in Post-
part 8 of
Taxation.
War
position, as- indicated in part
Studies in Post-War Taxation,
give their continuing support.
irregularities in ex¬
change fluctuations. It fears that
the Fund, as proposed, is too elab¬
orate and complicated, and by its
sympathy with
Not to go along with
lack
What the ABA wants
temporary
public opinion takes criticism
having to do wholly with matters
of method and technique as evi¬
of
and to which
ticable,
term
of
dence
points of disagree¬
the ABA and the
is more assurance that
Fund will be operated as a
is,
exchange
large
between
stabilization fund should
:
a
the main
the
through
Yet such has been the force of
propaganda
to
come
we
Treasury.
that Bretton Woods
exception.
no
embodyi¬
7 of
public opinion in this and other
as
both fair and prac¬
countries
orimarily
complicated pro¬
changing
exchange
for
and
rates
'
C C
to
Interna¬
ng
the extended and
visions
few
the
ment
currency
No
as
tional Monetary Fund as
of post-war
stability and freedom
from exchange controls. Actually,
of course, it does no such thing.
tically
-
recom¬
with
adoption
its
Thus
particular plan offered prac¬
their
desirable, and
and
changes.
en¬
though
as
Development
and
struction
Too often in
plan.
practicable
thusiasts
International
of objectives
There must be a
This
period.
in
ed
both Germany and Japan.
feat of
ing to give it, to the end that we
reach an agreement that appeals
It endorses the
Bank
for. Recon¬
these objectives.
in favor
being
is not enough.
accomplishing
for
Woods
Bretton
change practices as the Treasury
or the delegates to the conference.
study that other countries are go¬
A detailed descrip¬
of these proposals is present¬
terim
discussion of monetary
Woods
Bretton
other
the in¬
sition of business during
feated, but added ^hat the Ways
and Means Committee would start
stabilization.
monetary
Assistant. Secretary
until
duced
completely defeat any pro¬
gram
ranking Democrat
a
post-war refund bonds involve ho
opinion, that
wartime incomes
taxes would probably not be re¬
bounties,
could
(Dem.-Va.),
on,.the
because trade
export
that Rep-. A. Willis Robertson
Committee, expressed the<3>-
ever,
consider
bilateral, agreements and
currencies; .to
meeting place for the
consideration
that
gram would probably be gotten Under way as soon as work on the
will be useful
tariff, bill has been disposed of, according to International News
other's: point o£ Service report from Washington, '-May 7.- These advices -said, how¬
long : to
tariffs,
quotas,
stated
and
trade arrangements,
their
provide a
officials
and
advocates
Treasury
In the
more.
(Dem.-N, C.) of the House Ways, and Means
of a V-E Day tax relief pro¬
Chairman Doughton
One such conference is es-r
sential
City Bank
attitude of
issue of the Monthly Letter of the National
of New York devotes several pages to a discussion of the
The May
Fran¬
San
Scheduled
Tariff Bill By House group
other conferences
learning each
view.
Conform to Bankers'
Sees Possibility of Changing Document to
Views and Hints at Another Conference.
ary."
Agreements.
in
held
be
must
of the Plans, but Questions Practicability. Protests Charges of
"Ulterior Motives" of Bankers, Such as "Isolationism" and "Reaction¬
poses
area,
After
proposals-)-'
and
maybe
and
economic
Aims and Pur¬
Bank Says There Are No Objections to
National City
Oaks
Tax Relief Program
on
conferences
are having two
to deal with security
Dumbarton
Work
.'-v
yWe
|
To Bretton Woods
-
2091
CHRONICLE
to
the
Under-Secretary of
Affairs since Sept. 11,
1943, left for Washington by air,
according to advices from Buenos
Aires to the New York "I^mes,"
Ibarra Garcia.
Foreign
28.: Only 46 years o}d, he
Argentina's youngest Ambassa¬
dor, and is said to have already
had a brilliant diplomatic career.
April
is
THE COMMERCIAL & FINANCIAL CHRONICLE
2092
Ins. Cos. Get Belter
The Financial Situation
Return
(Continued from first page)
the announcement
That
by the War Production Board of
plans for reconversion, and preparations for still more r^pid
conversion when, as we hope, in the not too distant future,
brought
to her
Japan is
knees.
The merit of these when the American people
reason
of
thai
War
the
Board
talk and Alice
Wonderland imagery.
baby
Fair
Production
It
further
await
must
of
study and trial by experience.
The point here is that such notion
should
plans have been drawn and
been
public in
a
of candor
air
laid
in
mode
-"'v.'..-.-•'
The remainder of the
way
through this long hard
war
will
less
be
rendered
difficult
if
mentals
much
certain
funda¬
which
the
the
must
or
first
of
American
never
forget
no
are
One- of
for
when
easy
Of
operations
remain,
more
no
to understand why many
the
authorities
have
be
misgivings about postW-E Day. What proved to be
end of the
whatever
to
sup¬
that their morale would
injured by knowledge that
their
families
their
and
friends at home
premature expectation of the
are
long¬
no
er under the
necessity oi enEurope last f unaer ine necessity of enearly winter was ?,unn§ ll!e deprivations (even
war
autumn and
responsible for
in
thou?h slight they
a
have
very consid-, hAnvi \ AC<eAihiTi
may /-It inf
**
4•
erable drift of workers from been) essential to the conduct
of a world-wide total war.
«
■
•»
...a...
.
a
_
_
n
authorities
responsible
the conduct of the
this
war
Certainly
could
I
r\
of
about what V-E Day
uneasy
matter
a
for
who
problem
must
now
very real
meet
more
as
pos¬
$608,790,000 of farm
loans.
Throughout
this
war
we
out of the fact
vague
ing
with
less
obvious lack of
any effort
on the
part of government to
"make a case." It is
only hu¬
an
of
and ill-defined feel¬
discomfort growing
soldiers at the
than
front,
civilians
to
we
lot
of
or
much
far
was
than that
severe
other
our
our
that of
nearer
battle' fronts
women
of
post-war
se¬
curity of employment is bet¬
ter.- It
may
or
may
not be
fully effective merely to call
attention
to
However
post-war
may
work
these
the
fact
themselves
war
overcome,
lieve that
a
out,
establishments
must continue until
fully
that,
matters
Japan is
but
we
be¬
good start is made
any
one
to be
while thousands
battle.
reason
But
in
doubtful if
are
there
all
dying in
should
things.
be
It
an
become
icism
the
part
of
American public.
•
Let
us
go on from V-E
aspects
including
about by
brought
destruction
of
larger
40%
a
investment
would
to
would indicate
own,
potential
for
power
mortgage
compa¬
Whether the life companies ac¬
tually increase their mortgage in¬
vestments
by
anything like this
be predicted, he
said, but the assumption is indic¬
amount
cannot
ative of the vast amount of funds
which can be placed in mortgages.
The insurance companies are cer¬
tain to play an important role in
post-war mortgage financing,
which
ter
that construction af¬
means
the
will
war
financed
by
be
private
Below is
given the summary of
factor
in
domi¬
and
15
assets invested
immediate
and
long-
country to country.
Seven
in
countries
will
increase
These
slave
as
the
for .Sponsoring
Seminar
on r. farm
reasons
Purdue
mortgage
was
a
lending,
desire to
Mahan
said,
explore the
of
life
insurance
its
seriousness.
people have
no
source
of
food of their own, and will
place
a critical burden
upon an already
severely limited food supply.
Except in the rural, food-rais¬
ing areas, a dangerously low level
of nutrition 'generally
exists; coal
production meets not
mum
requirements;
suffered
mini¬
even
ports
great damage
have
by bomb¬
stroyed; and what remains of the
of
means
portation
have
internal
trans¬
been
largely de¬
voted to Allied
military use. The
resultant lack of adequate trans¬
Physical
turing
tion
eliminate
work
to
bothersome
will
of
sorting, and
large extent the
a
problem
of
missorts
be
recommended to the na¬
tion's banks this month
jointly by
the Federal Reserve Banks and
the
Bank
Management Commis¬
sion of the American Bankers As¬
sociation, according to William A.
been approved both
by the Amer¬
ican Bankers Association
and the
Federal Reserve Banks.
Robertson
to
paralyzed by
damage, lack of
and °
Announcement has
been
made
appointment of Walter
S.
2.
The
needs
on
the
calmly, sensibly and without
Mr.
ma¬
plant
in
charge of
eco¬
affairs, it waS' reported in
Washington "Post," April 27.
Robertson, it is said, is a
graduate of Davidson College and
the College of William and
Mary.
be
in
ternal
of
northwest
Eu¬
and
international political
considerations.
The future per¬
manent
peace
largely
upon
of
economy
cluding
living
of Europe depends
restoration of the
these
countries,
reasonable
a
in¬
again
the
standard
of
its
resumes
international
place
chaotic
exchange
democratic
A
3.
and
friendly
be reared.
can
realistic
situation
share
appraisal
of
the
the
of
most
on
States
United
responsibility
To
be
of
a
sub¬
the
as
to
acceptance of this
far as possible.
effective, the accept¬
responsibility as a
this
policy
should
be
assure
that
the
will be met
supplies
minimum
liberated
as
essential domestic economy
permit.
our
5.
of •#
the
Europe in
order to ascertain what food
sur¬
pluses may be available there for
the
deficit
of western
areas
Eu¬
Coal
8.
Coal
Once this
Important Key
an
is
of the
one
most
im-
4
portant
keys to economic recov¬
ery in northwest Europe.
Meet¬
ing even minimum coal require¬
ments
for
a
year
V-E Day will be
or
after
more
impossible.
Any
material
alleviation of this situa¬
tion would require maximum coal
production
in
Germany.
however,
entails
political
This,
decisions,
would
of
serious
^
because
it
immediate shipment
mean
coal
certain
mining supplies to Ger¬
rehabilitation
of
battle-
damaged or demolished German
mines;
restoration <of
German
-
transport
facilities
for
miners
and
mining purposes; supply of
adequate food, clothing and foot¬
wear for German
miners; provi¬
sion of electric power to
produce
coal
even
tion
of
if
it entails rehabilita¬
some
part of local utili¬
ties, and the
labor
man
of
use
forced
where
•
Ger¬
necessary.
These political questions' ard not
within
the'province of the mis¬
to
answer.
tations
the
on
coal
man
for
The United
ine
Failure
to
take
steps
outlined,
however,
place insurmontable limi-
the
>
extraction of Ger¬
liberated countries.
States should
extent,
to
exam¬
which
it
can
supply coal to Europe, especially
during any period of easier ship¬
ping which may develop after
V-E
Day; for the lack of coal is
political and economic
of gravest
concern.
9.
-
There
be little economic
can
rehabilitation
until
transportation
the
internal
situation
is
im¬
should
area
given prompt and high priori¬
rolling stock, locomotives,
ties for
maintenance and repair shop
sup¬
plies, and raw materials for local
production of railroad equipment.
A survey to determine the
avail¬
ability of Army trucks after V-E
Day, for transfer to these coun¬
tries, should be made; also the
trucks here and abroad should be
policy
fully as the
successful prosecution of military
operations and the maintenance
will
by
possibility of reconditioning used
as
necessary
of
We
areas.
liberated
to
of
United
enunciated by the President him¬
self. The policy should be framed
so
appro¬
civilian
States.
dictate
stable,
v
supplies will rest
4.
total
situation
in eastern
be
govern¬
responsibility for providing
should
R.
proved. The liberated
indicate that
would
stantial
the
of
Furthermore,
hungry Europe is
and
not fertile ground in which
ments
liberated
S.
S.
of
supplies
our
Certain
in
goods and services.
a
the
examine
U.
and
employment.
United
States economy, too, will be
deep¬
ly affected unless northwest Eu¬
rope
made.
countries
would
liberated areas are grave,
not only from a humantarian as¬
pect but because they involve in¬
areas
China
raw
Economy
to meet the
requirements
of
all
nomic
of
many
steps should be taken
maximum production
assure
sion
Robertson, former Richmond, Va.,
banker, at Min¬
stock broker and
to
destruc¬
inadequate
Stresses Effect
Government
China
should
priate
the
ance
the
Manufac¬
war.
is
or
greater
maintenance.
,
of
last
is
rope's
system of routing sym¬
bols designed to cut the time re¬
quired for the collection of checks,
the
destruction
the
terials
com¬
new
reduce
in
supply of
re-examination
a
many;
pos¬
holdings.
needs,
labor,
than
One of the
means
transportation.
The available
requirements against
displaced per¬
brought into Germany from
sons,
port carries serious consequences.
these loans.
cer¬
rope.
2.06% of their admitted assets in¬
12
are
million
city mortgages.
companies owning farm
mortgages
had
an
average
of
The
7.
those
range economic stiuations of these
liberated countries are extremely
serious.
The needs vary from
usuable
companies studied had
average of
13.11% of their
an
The
1.
REPORT
Railroads, canals and highways
have been wholly or partially der
a
ur¬
north¬
food, coal, coal-min¬
ing equipment and the
should
OF
institutions
prosperity.
The
SUMMARY
ing und demolition.
employment
European countries
food
adequately
which will be able to be
nant
all
kinds of food is insufficient
for*,
minimum requirements. To meet
the United States share of these
allocated, and
foremost, the magni¬
tude of the job of feeding the
hungry millions.
course,
overrun
$9 billion.
over
to
common
internal
buying
insurance
life
nies alone of
a
con-*
The most immediate and
gent needs
tain types of
release:
year,
sure that the
policy is in fact
tinuously carried out.
the
mortgage investments if they are
available.
Based upon the $41,000,000,000 of admitted assets of
these companies at the end of last
amount
support
by the lib¬
countries, in order to in¬
the
trans¬
and
presented
west
the highlights of the report which
the Associated Press states Presi¬
dent Truman has authorized for
Day
nonsense.
inter¬
advocate
claims
6.
covers many
situation
to
erated
considerations
ister
the
be¬
that probably as much as 40% of
admitted assets of such companies
could be profitably
employed in
is
enforced ascet¬
the
of
gages in the post-war period than
ever before and said he
believes
anything is to be
gained by
on
"frivolous"
the
how labor is to be
President, life
are likely to
buyers of mort¬
insurance companies
Europe. It is one thing to be McDonnell, Chairman of the Com¬
making their a
cry-baby over essential dep¬ mission, who is also Vice-Presi¬
living in plants and offices
rivations and quite another dent of the Mercantile-Commerce
which will no
longer function
Bank & Trust
Co., St.
to insist that
when peace
only those things The routing symbol was Louis, Mo.
returns, or will
developed
be given
function on a
up which are incon¬ over a period of years
by the
vastly reduced
sistent with full
Committee on Collection of the
support of
scale, to feel an urge to find
Federal
Reserve System and a
employment elsewhere where troops in the field. To some it committee
representing the Bank
may appear inappropriate for
the butlook for
Management Commission. It has
who' have been
and
tained
hu¬
facilities, the serious
shortage of coal, the question of
Louis, Association
A
have been much too
prone to
Euro¬
portation
According to L. E. Mahan, St.
New Check Routing Symbol
Onward from V-E Day
internal
The report
of
wholesale
owned
northwest
political
problems
gage
of the facts of the
and
15
$3,-
panies increasing their farm mort¬
desirable
as
American people will
respond
to full and frank
statements
men
as com¬
sible.
likely is it that the
for
they
the
national
879,978,000 of city loans and 12 of
support vested in
the post¬ principal
ituation to which
this
involved.
them
full
make
to
a
man
The
owned
sibilities
not like¬
case
surveyed
in
of
cause
com¬
that about
general
this
ly to be solved by merely try¬
ing to flim-flam the public.
Far
with
given, Judged
urges the importance
ed,
a
high
level
interdepart¬
alleviating the dire need of the mental committee should be main¬
people
proportions
fortable and profitable and in
realize that this
problem is
these
than to do what¬
men
presently will return
encour¬
agement that apparently of¬
ficials
s
for
feasible, and not in¬
them,
war
do in this connection.
It is
devised
consistent
forward should be
may
is
ever
better treatment
no
be
fighting
for
from
yet be
says
relative
same
probably will be shown.
plants absolutely essential to
an
effective continuance of
the jvar. It is not
strange that
cannot
now
pose
cer¬
tain
1944
piled but the study
total
reason
authorized summary of his
report, which the Asso¬
has
pean area not only; from a
manitarian
standpoint but
statis¬
they
or
and
tics for
Comparable
enjoyment of
the
means
merely putting a stop to
the wasting of essential as¬
that a large,
though a reduced
number of. workers must re¬ sets,-—can not in any way in¬
main in war
plants for a con¬ jure the men fighting a fanat¬
siderable further period. It is ical enemy in Asia. There is
war
bonds.
after
whether
In the
Press
Rosenman
insurance
$16,400,000,000, which,
deducting the $6,683,000,000
—•
abroad.
ciated
of
life
of the comforts of life
that
neglect is that major
exigencies of war
require abstention, a
normal life
more
public
that
the
do not
these
moment
a
if
areas
Europe, has submitted his report to President Truman,
according to Associated Press advices*from Washington, April
30,^
in which he has stressed as
exceedingly grave the situation he found
companies
had a return of 4.4% from mort¬
gages that year as against 2.9%
normal
more
The fact is, of course,
fully understood
constantly borne in mind.
and
a
living where condi¬
longer require ab¬
stention therefrom, or take
steps toward a quicker and
more
satisfactory return to
peacetime
pursuits when
Japan joins Italy and Ger¬
many in utter defeat.
suggest that the
public is composed
of half-wits.
lands
distant
to
of
tions
evidence
would
American
in
the matter of civilian supplies for the liberated
on
America. It shows that the fifteen
companies
return
report
largest
not be fair to the mil¬
on
to
of northwest
dicated by a survey issued May 7
by the research department of the
Mortgage Bankers Association of
the
keep right
Europe
Judge Samuel I. Rosenman, sent by the late President Roosevelt
1943 than from their bonds is in¬
from
help all around,
dropped the false
that, somehow,
we
fighting
we
and without the
on
we
lions who must
the
spirit, apparently,
—
sometimes
that
before
Dealing
would
too, if
have
in
insurance
51.7%
a
Supplies
Needed for Liberated Northwest
companies
greater return
their mortgage investments in
realized
dealt with in candor free
are
plans as such is beside the
point. That in the case of the
Army is a technical matter
largely for Army decision;
life
Rosenman Reports on Civilian
Mortgages
on
Thursday, May 10, 1945
policy is enunciat¬
explored.
10.
are
•
Port
now
should
capacity and clearances
sufficient
not
strictions
be
upon
so
that
regarded
they
as
procurement
the national governments
the allocation of
or
re¬
by
upon
ships to them.
limiting factor in the imme¬
The
diate
future
is the
shortage of
supplies. Should shipping
develop
to
a
choke-point, the shipping
position should be re-examined at
the
highest level to insure maxi¬
mum
allocation
to
the
liberated
areas, consistent, of course, with
the successful
prosecution of the
war
and
the
needs
of
our
other
Volume
should be
temporary
ease
ton bill to extend
electricity from Germany.
12. Petroleum is
essential
for
particu¬
rehabilitation,
general coordinating re¬
sponsibility for the members and
do the day-to-day work of the
committee.
r
V
ceeding
cising
imports, but the responsibility will
ultimately revert to the govern¬
for
Planning
transition should be un¬
the
dertaken
areas.
Highest level decisions must
immediately regarding
13.
should
the
of
use
productive
German
capacity, and the extent, if at all,
to
which it should
be restored
and
operated
the
for
of
countries
liberated
benefit of
northwest
.■■■■7
■'r
Interim reparations machin¬
Europe.
14.
:
,
in
armies,
does
not
need.
Europe
sities and
ure
ciated
will
increase.
by
ers,
the
tegrated with the work of the
Reparations Commission.
15. Reparation of displaced per¬
sons
should
be
undertaken as
from
Asso¬
Washington,
and manufactur¬
other hand,
through
trade
legislation to extend
act, and proposed in¬
that
itself reassume the function of writing tariff
rates
instead
of delegating the
authority to the Executive, de¬
Helpful Roles
The Allied armies,
Congress
help, have
Economic
Committee, European Central In¬
from Germany a
won
Unconditional
not
the
present
program
millions of freehave violated
churches, destroyed
their
homes, corrupted their children,
advices
Press
men.
They
their
their
murdered
loved
from
As part of the
verely
terms, Germany should be
compelled to furnish the person¬
nel to remove these mines.
peace
Since
existence
of
ernments
the
Gov¬
the
liberated
coun¬
of
agriculture
rift
a
in
stored
freedom to
merchandise
these suffering
heavier
peoples, whose spirit and will the
oppressors could never enslave.
Much remains to be done. The
organized
with
intimated
was
the announcement that the Amer¬
shortage
liberated coun¬
tries, our embassies should have
the
necessary
personnel,
ade¬
the
with
lations
quately experienced and trained
In
this period of emergency, it
will
be
necessary
to "supplement
the trained manpower
of the for¬
eign service.
story of the American war effort
and of Ahierican sacrifices to im¬
prove
the lot of our Allies.
of
Responsibilities
Maverick Again
been
Maverick
State
Department and the FEA. In all
cases, the senior economic officer
in each embassy should be the
joint designee of these agencies,
Corporation,
as
field
the
in
Paris
falls upon the
and
for
term
ciated
as
Plants
to
Asso¬
Press advices from
Wash¬
May
ington,
according
3.
Legislation ex¬
SWPC was
At
present, it is under the
of
an
Assistant
State, with compar¬
able membership of FEA, Treas¬
Secretary of
14% of
showed
an
increase
Truman
also sent to
as
directors
of
the
following
corporation,
Pat¬
McDonough, of California;
James T. Howington, of Kentucky;
Lawrence F. Arnold, of Illinois,
and C. Edward Rowe, of Massa¬
chusetts.
McDonough and How¬
rick W.
ington
.
rectors.
are
now
serving
as
di¬
13.6%
of
but was 1.4% be¬
low Ma "ch of last year.
above February
steel prod¬
hauled about 4% of the total
Carriers of iron and
ucts
President
of
accounting
tonnage.
Their
was
8.9%
above
present liberated areas
committee should be designated
as
the advocate of the claimant
countries referred to in Section
chairmanship
petroleum
for about
the total tonnage reported,
Transportation
products,
recently enacted.
the Associated Press reports:
V.
month
the
traffic
February
20.9% above March of
About 4%
commodities,
bacco, milk,
and
tonnd^e
miscellane¬
including
to¬
textile products, coke,
bricks, building materials, cement
and household goods.
Tonnage in
this
class
February
increased 21.1%
and was 5.5%
March of 1944.
above
above
belt,
the
in
cars
used
ings
were
load¬
merchandise
for
made available for such
as
the
movement of
purposes
grain, the ODT pointed out.
,
,
r)
While the total amount of mer¬
chandise
decreased, the average
weight carried per car in Feb¬
ruary, 1945, was 19,482 pounds as
compared with 17,716 in February,
1944.*; The February, 1945, aver¬
was the highest attained in
month since April, 1943; and
showed considerable improvement
over the preceding months—18,503
pounds per car in January, 1945,
and 17,914 in December. 1944.
age
,
any
heavier
The
said
ance
ODT,
loading
car,
per
reported in accord¬
was
with ODT General Order No.
utiliza¬
1 and indicates the better
tion of box
cars
in line with ODT
loading requirements.
Neutrals Hear of
Hitler's Death
In
making
a
call
at
Eire,
in
legation
German
the
.
personal
Prime Minister Eamon de Valera
his
expressed
Dr.
minister
death
Hitler's
to
big
gave
German
Eduard
Hempel.
was
widely dis¬
cussed in that country,
papers
for
condolences
death
Hitcr's
Adolf
and riews-
spreads
to the
incident.
Warning to
the
Japanese
Mr. Truman also
lowing warning to
Germany
Nazi
People
issued the fol¬
Japan.
the
de¬
been
has
feated.
Japanese
attacks.
naval
So long as their
armed forces con¬
the striking power
leaders and the
the war
tinue
and
intensity
of
our
will
blows
steadily increase arid will bring
utter
destruction to Japan's in¬
dustrial
war
production,
to
the
war
will
undergo—all
Our blows will not cease
the govern¬
days of mourn¬
ing for Adolf Hitler at which'time
were to be flown at; half
flags
|
Fascists or
"Falangists"
mourned
Hitler's
death by forming a long line: out¬
side
the
German
Embassy
in
Madrid, and left calling carols or
signed the guest book as an evi¬
dence of their condolence.
New
April ABA Members
in
and
continued
vain.
until the
banks
bers
of
the
during April wheif 40
were
as
a
membership in .the
Association
Bankers
American
Ja¬
Spanish
Uniformed
the
lasts
in
in Portugal
Increase
greater will be the suffering
hardships which the people of
pan
its
that
shipping and to everything
supports its military activity.
longer
While
ment ordered two
mast.
•
people have felt
weight of our land, air and
The
1944.-
of the total
reported consisted of
ous
volume
grain
the
with 8,266,296,216
February, 1944; and
421,219 merchandise cars loaded
as compared with 441,665 in Feb-^
ruary,
1944.
The 20,446 fewer
HARRY S. TRUMAN.
The
tending the life of the
the Senate names of the
21. The
in
The volume in this cate¬
increased 14.5% above Feb¬
ruary and was 6.2% above March
of Texas has
President
Chairman of Smaller War
Brussels, where
has
transpoited
hauled by carriers of general
cf 1944.
proved to be a sound ar¬
rangement.
it
nage
gory
Named
by
another
nominated
Truman
in
representing 100,
Approximately 78%° of all ton¬
was
To Head SWPC
responsibility in
dealing with economic problems
The largest
20.
as
205.16 in March.
freight.
Maury
Break-Up
1938-1940
was
in
pounds
•
of
any
compared
as
•
shortages.
We should
improve
the transimission abroad of the
was
merchandise moved in that month
In March Increased
To i discharge
successfully
responsibility in economic re¬
car
Figures for February show for
Class I steam railroads, a total
weight of 8,206,273,821 pounds of
Truckloading Volume
19.
per
ODT said.
peoples
to
defend
themselves
against all enemies will be proved
in
the
Pacific as
it has been
tries relating to financial assist¬ ican Farm Bureau Federation had proved in Europe.
the re¬
For the triumph of spirit and of
ance
for
rehabitation
and re¬ come to the support of the trade
sponsibility placed on it for pro¬
construction
should
be
under¬ extension
measure,
telling
the arms which we have won, and for
viding sufficient civilian supplies
taken
several
months
hence. House Committee that legislation its promise to peoples everywhere
in northwest European liberated
These countries are not yet ready
extending the act for three years, who join us in the love of free¬
countries to prevent disease and
for
such
discussions.
In
the with more duty-reducing power, dom, it is fitting that we, as a
unrest.
It has done this job well,
meantime, data are being as¬ is needed to maintain a prosper¬ nation, give thanks to Almighty
despite the limitations of ship¬
ous post-war agriculture.
sembled on the extent of destruc
God, who has strengthened us and
ping, harbors, supply and inland
(Testimony at earlier hearings given us the victory.
tion, cost of reconstruction and
transportation.
-.Military
com¬
available
Now, therefore, I, Harry S. Tru¬
foreign
assets.
Sub¬ of the House Committee were re¬
manders in the field are keenly
stantial benefit will come from ferred to in our issue of May 3, man,
President of the United
aware of the necessity of main¬
States -of America, do hereby ap¬
the
passage
of Bretton Woods page 1976.)
taining at least a minimum econ¬
point Sunday, May 13, 1945, to be
legislation, repeal of the Johnson
omy in the path of their commu¬
a day of prayer.
act and
the amendments relat
nications.
These countries will
I call upon the people of the
ing to the Export-Import Bank.
also serve as re-deployment bases
United
States,
whatever
their
Facilities for credits to the lib¬
after V-E Day.
The immediate
faith, to unite in offering joyful
erated. countries should be esr
requirements of these areas, how¬
thanks to God for the victory we
tablished at the earliest possible
ever, go beyond the bare necessi¬
have won and to pray that He
The volume of freight trans¬
date.
ties called for by the military in
26. Since allocation of civilian ported by motor carriers in March will support us to the end of our
the performance of its responsi¬
supplies to
liberated countries, increased 14.4% above February present struggle and guide us into
bility for civilian supplies. ; This
in all probability, will cut into the
and was 5.5% above March, 1944, the way of peace.
responsibility should be terminat¬
I also call upon my countrymen
ration of the American consumer,
according to American Trucking
ed as soon as practicable.
a
widespread official and public Association, Inc., which further to dedicate this day of prayer to
18. It
is a
new
concept that
the memory of those who have
campaign should be undertaken announced as follows:
responsibility for the care of ci¬
to inform the American people of
Comparable reports received by given their lives to make possible
vilian populations and temporary
the gravity of the needs of cm- ATA from 247 carriers in 42 States our victory.
Government administration is a
Allies in liberated Europe.
showed these carriers transported
In witness whereof, I have here¬
necessary part of our Army's mil¬
Conversely, there is no ade¬ an aggregate of 2,141,412 tons in unto set my hand and caused the
itary mission.
Modern total war
quate understanding by the ordi¬ March, as against 1,871,948 tons in seal of the United States of Amer¬
has brought the military into di¬
ica to be affixed.
February and 2,030,531 in March
nary civilians in these liberatec
rect contact with the political and
areas of what the Americans and
of 1944.
//.-'i
/
Done at the city of Washington
economic lives /of the countries
The ATA
index figure, com¬ this
British have done for the civil¬
eighth day of May, in the
through which it passes and has
ian population of these countries
puted on the basis of the average year of our Lord 1945, and of the
demonstrated
the
soundness of
Nor do they realize that in the
monthly tonnage of the reporting independence of the United States
this concept.
United States, too, there are grave carriers for the three-year period
of America the 169th.
loading of railroad
freight
February than in
in
preceding month for nearly two
years,
the
Office
of
Defense
Transportation
announces.
The
increased loading made more box
cars
available for use in hauling
grain or other bulk commodities
and helped to ease the box-car
17. The military has met
our
or
Japanese
April, f 843
The average
Transport
directly concerned.
25. Discussions with
the
of
r
ones.
Organization, Washington, May 4.
victory won in the West must now
The
National
Association
of be won in the East.
European Coal Organization and
The whole
U nited
Maritime
Authority,
if State Agricultural Commissioners, world must be cleansed of the evil
speedily as possible.
created and thereafter supported, charged that the reciprocal trade from which half the world has
can
perform helpful roles.
The programs has been injurious to been freed.
Asks Mine Removal by Reich.
United, the peaceState Department, fully aware of agriculture, and said they wanted
loving nations have demonstrated
16. As the land of France and
their possible contribution, is fol
trade dealings with other nations
in the West that their arms are
Belgium, and the adjacent seas
lowing their development closely to assure parity prices for Amer¬ stronger by far than the might of
are filled with German mines, a
with the purpose of expediting ican farmers, the Associated Press dictators or the tyranny of mili¬
complete restoration of agricul¬
their establishment on a basis ac¬ reported from Washington, May 1. tary cliques that once called us
ture, shipping and fishing is se¬
ceptable to the countries most In a further report, May 4, the soft and weak. The power of our
restricted.
land
does
extermination
Cars Loaded Heavies!
Our armies of liberation have re¬
as
re¬
bodies
born
tice sheep industry," according to
Associated
people.
and longer have imprisoned
and broken the lives
surrender
the
mean
enslavement
of millions upon
"a continuous threat to the domes-
European
through sac¬
from the evil forces which for five
and
brink of disaster.
provision for the
means
families, their farms, their jobs.
It
means
not
prolonging the
present agony and suffering of
the Japanese in the vain hope of
victory.
final and unconditional surrender.
the
the military leaders
brought Japan to the
turn of soldiers and sailors to the
rifice and devotion and with God's
years
war.
of
have
It
the
read
The Western world has been freed
the
scribing
24. The
the
states
growers
on
stead
consideration for supplies,
transport and ocean shipping.
in
Clubs,
the end of the
the termination of the
who
A Proclamation
of
means
means
influence
following:
for defeat of
priate
Organizations
then
Japanese
It
present
President
The
their national organizations, asked
therefore, that it be given appro¬
which
SHEAF
It should be in¬
Federation
General
Press
Wool
needs
essential,
is
It
proposed
April 30.
UNRRA's
decisions.
the
is
Women's
com¬
with
own
the
"essential tool for post¬
an
commerce," according to the
Commerce," May 7.
Another proponent of the meas¬
activities
are
described
Co.,
as
"Journal of
military neces¬
the liberated countries'
compatible
^
should be established at once
to handle the growing problem of
removal for needed use in lib¬
erated
countries
the ' movable
Allied
northwest
International Economic
on
the
to
mean
It
every
upon
stick to his post
war
paratively unimportant.
In the
problem
of
displaced
persons,
however, UNRRA should be en¬
couraged to greater participation
ery
goods uncovered in Germany
bill
designed to
complexities which
supply
call
his efforts.
tric
changes
UNRRA's
23.
I
of the International General Elec¬
exist.
now
made
be
forces
people?
pily is done.
American to
until the last bat¬
tle is won. Until that day, let no
man abandon
his post or slacken
mittee
designate someone to ex¬
and to rec¬
the
cult than the task which now hap-
Policy, Clark H. Minor, President
President
amine this machinery
ommend
(Continued from first page)
.
Executive Committee of the Com¬
to liber¬
simplified
should
areas
streamlined.
eliminate
now.
be
The
supplies
allocating
ated
7
with a clash of opinion
continuing to be expressed by va¬
rious groups and individuals.
Speaking as Chairman of the
Washington machinery
The
22.
and
these
Day Proclamation
strengthen
the Reciprocal Trade Act are pro¬
larly for its use in transportation.
SHEAF now handles petroleum
of
and
quately staffed, capable of exer¬
for
ments
Hearings Text of President Truman's V-E
and, Means;
ade¬
in liberated areas, thus
saving
coal and transportation,
we should seek increased exports
economic
2093
Committee hearings on the Dough-
power
of
Ways
out¬
electric standingly able Secretariat
supplement the
To
House
The
an
have
should
tained.It
shortly after V-E Day.
11.
House Tariff
present allocations
of
taken
any
ury, War and Navy Departments.
and It is essential that the level of
of shipping original membership be main¬
Full advantage
Allies.
FINANCIAL CHRONICLE
THE COMMERCIAL &
Number 4384
161
received
result
as new mem¬
of the activities
Association's
Organization
according to
L.
Dominick, Chairman of the "comr
forces
mittee, who is also Vice-Presi¬
conditional surrender.
"Just
what
does the uncondi¬ dent, Traders Gate City National
tional
surrender of
the armed Bank, Kansas City, Mo.
military
and
naval
lay down.their arms in un¬
Japanese
Committee,
2094
THE COMMERCIAL &
FINANCIAL CHRONICLE
Thursday, May 10, 1945
♦
1
nations
among
Implications of the International
Monetary Fundf||f;;-;:i|S
to
easy
difficult to stop.
start
and
ganization,
One nation, for
competitive ad¬
the
meaning
of
the
of
many
Plan's important provisions.
;
What 1
shall
nave
to
say
this
direct
the
statement
will
Plan
in
concerning
limited
be
the
to
stabilization
provisions
of
the
Monetary
Fund
which
in
my
judgment are by far the most im¬
portant features
of
the
entire
Bretton Woods Plan.
Important
because they involve the deter¬
mination
the
the
for
indefinite
an
of the
countries
future
units of most of
monetary
world.
necessary to correct a
fundamental
disequilibrium" —
change is
that
whatever
mean—and,
may
further, that the Fund cannot; ob¬
ject to a proposed change on the
grounds that it disapproves of
•'the domestic social or political
policies" for the carrying but of
which
member
the
is
proposing
the
change.1
1
These provisions
would seem to
the door wide to any mem¬
state, whenever it should so
open
ber
For
desire, to debase
its monetary
unit, i.e., to reduce its gold par.
The variations readily permitted
future
value
of
the
dollar
in
terms of which will be payable at, are large.
The conditions, "neces¬
par
all our bonds, government sary to correct a fundamental dis¬
and corporate, all mortgages, all
equilibrium," can mean all things
Can anyo ne conceive
life insurance and all bank de¬ to all men.
the United
example, seeks a
vantage In its export trade by
debasing
its
currency
and, at
once,
competing nations
strike
this
States
the
means
posits.
It is, moreover, the dol-, of a situation in which a nation
lar in which all wages are paid. desiring to change the par value
It is difficult to imagine anything of its monetary unit would not
of greater economic importance be doing so, or, at least, claiming
this
than
to
the people of the
world.
Your decision
concerning it is a task of momen¬
to be
doing so, to "correct a fun¬
disequilibrium" and also
doing so, or claiming to be
tous responsibility. \
doing so, largely by reason of its
"domestic social or political poli¬
V
National Monetary Units
cies"?
It is precisely by reason
The Monetary Plan provides for of expensive domestic social and
a
collection of national managed political policies that nations usu¬
paper-money
standards.
While ally spend beyond their means,
each country would have its own incur .heavy budget deficits, bor¬
monetary unit, as at present, e.g., row excessively, inflate their cur¬
the
United
States
the
dollar, rencies and then finally recognize
England the pound, France the the inflation as a fait accompli by
franc, and so forth, these units formally debasing their monetary
would be tied together by mutual unit.
This
is
the
way
de¬
post-war
damental
be
to
'
agreement and
would
be subject
to controls administered
ternational
board
by
of
an
in¬
governors
appointed by the governments of
the respective member countries.
At
the
time, which for
be soon after
proper
members may
some
is
war
and
over
for
others
long delayed, the Fund is to
re¬
has
basement
usually
happened
Of
Lord Keynes said in
his
speech in the House of Lords of
"Wealth
in 1776,
"When national debts have
been accumulated to
once
certain de¬
a
there is
scarce, I believe, a
instance of their having
fairly and completely paid.
gree,
single
The liberation of the public rev¬
to it the par value it desires
for its currency, namely, the value
in terms of gold, based on the rate
exchange prevailing at
nated
date.
the
come
time
real
time
change
insists
on
The
desig¬
value for the
par
the
a
speci¬
desires
member
unless the
or
a
This value is to be¬
being, unless within
fied
gold
*
,
values
par
"The
<
raising of the denomina¬
tion of the coin has been the most
usual
expedient by which
a
real
mem-fPublic bankruptcy has been dis-
of
once
if it has been brought about
at all, has always been brought
about
by a bankruptcy; some¬
times
by an avowed one, but
always by a real one, though fre¬
quently by a pretended payment.
enue;
a
itself
Fund
one.
ber currencies when
adopted
not
expected to be permanent.
In fact, in
sharp contrast to the
gold standard, frequent changes
guised under the appearance of
a
pretented payment.
"The honour of
plated
a state is surely
poorly provided for, when in
order to cover the disgrace of a
real bankruptcy, it has recourse
of
to
value
par
be contem¬
to
seem
as an important instrument
monetary policy. Such changes
divided into two classes.
are
Changes in the
monetary
Bretton
Woods
and every step
"to correct
and in
of "domestic social
ance
vened
fundamental
disequilibrium"
majority.
If they do not meet
their obligations to the Fund, who
In any case,
would the penalty
effective
be, since the member
would, long before, have probably
borrowed heavily from the Fund,
it
if
should
be
expelled
(1)
value of the
par
juggling trick of this kind,
so easily seen through, and at the
same
time
so
extremely per¬
a
nicious.
all
cient
members.
Let
consider
us
these separately.
Individual
Changes
in
Monetary
Pars
"Almost all states, however, an¬
well
as
modern, when
reduced to
this necessity, have,
upon some occasions, played this
very juggling trick."
Would
A
member
change
is
permitted
to
the
gold par of its cur¬
only ; "after
consultation
rency
with the Fund"
correct
and
in
order "to
fundamental
a
librium."
The
disequi¬
Plan
provides,
however, that, "if the proposed
change, together with all prev¬
ious .changes, whether increases
or
decreases, does not exceed 10%
of
the
Fund
initial
shall
value
par
raise
no
of
the
objection."
Initially, the optional range is ob¬
viously 20%, since the change
may be made to the extent of 10%
from par in either direction.
is only the
this
provided that if
But
beginning.
It is
the change goes
beyond 10% butjiot beyond 20%,
the
Fund
tude
must
within
goes, beyond
either,
72
hours,
or
the
its
to
or
atti¬
and if it
Fund may
object,
time
more
concur
declare
20%
concur
allowed
either
may
object, but
but
make
is
its'
decision.
The
great
provisions
is
quirement
agree to
out
that
any
it
insured
that
the
of
these
by the
Fund
re¬
must
proposed change with¬
a
stated
is
social
limits
"satisfied
provided
that
"..if;
the
as
the
not
term
political
or
"domestic
policies" in¬
social insur¬
clude such
things as
ance,
minimum wages, governmentally guaranteed employment,
many
public
works,
socialized
medicine,, public education and
of
scores
other
also
measures,
political
social
reform
great variety of
such as build¬
a
measures
ing up war munitions, accumulat¬
ing stock piles, protective tariffs
and government subsidies
Since for
a
galore?1
number of years at
least, most of the member nations
will
be
borrowing
buying members if
and
be
since
the
the
only
members—
prefer—
you
United
States
important
member—selling
will
lending
member
if
you
prefer—the pressure on the Fund
is likely to be strong for
resolving
doubts on such questions in favor
of debtor nations.
In this connec¬
tion
it
over
is
interesting to note that
two-fifths
represened
liberality
would not be easy.
of the Fund Plan
admitted
be
to
were
in
of
at
default
broke out in 1939
made
to
them
the
44
Bretton
when
on
by
States
Woods
the
war
is why
ently
is
a
situation
currency
A
nation
gold
They lay down by in¬
ternational agreement the esse ice
of the new doctrine, far removed
from the old orthodoxy."
standard.
generally
weak.
are
more
by the Plan.
slides into the
usually
Bretton
currency
debasement;
less unconsciously to the
or
Realistically
fore, and for
a political toboggan,
usually receives its initial
push, as well as other pushes on
the way down, by unsound, do¬
it
mestic
social
and
given,
away
political
poli¬
cies, involving the exploitation of
its
currency
system
for
fiscal
the gold par values of the mone¬
tary units of. individual members,
there is a provision to enable all
members acting together to make
uniform changes at one and the
time.
same
Specifically, the pro¬
vision is that the Fund may make;
uniform proportionate changes in
the par values of the currencies
of all the members provided that
the par value of the currencies of
all the members provided that the
par
value
of
would
wars
cur¬
shall not be changed if the
rency
member objects within 72 hours
of the Fund's action.
This action
requires
total
only
voting
majority of the
a
if there is
power
an
the
of
A
and
the
of
more
capital.
dom
or
Only three mem¬
bers have that much, namely, the
United States, the United King¬
Russia,
they have
of the
warfare
of
(March 25). It
advanced as
an
of
Woods.
Bretton
spoke of
tition
all
"every device
use
exports
imports
The
author
nations would
increasing
getting what
.
tion
.
effect
upon
war."
said
In
such
\
nation
\
back
and
of
state
its
a
of
it
which
country
to
basement competition ? ;v
Since nearly all the members
will be debtor nations and since
lieve
that
the
permanent,
countries
the
Such
uniform
a
basement
large
would
scale
creditors
currency
facilitate
exploitation
their
debtors.
operate
among
the
very
member
de¬
on
the
by
would
a
of
It
unevenly
states, be¬
when gold pars are reduced
different types of prices
cause
respond
very
some
and
lag.
unevenly to the reduction,
types responding quickly
with high
degrees of
The responses would be very
some
different;
tries that
than
in
for
were
those
labor
these
would
between
was
example, in coun¬
highly agricultural
that
very
there
highly
scale
where
organized
was
re¬
different
countries
highly
where
were
Wage
be
same
little
and
or¬
resolved
highly
effective
return
day.
time,
countries
gold
realistic
return
some
the
it
will
will
not
be¬
•
So
monetary
soon
interna-
advocates
of
international
gold
In the task of rehabili¬
tating
that
making it a
standard
standard
and
continually
of.
better
should
generously
cooperate with other nations.
As
the
we
world's
only
important
post¬
creditor nation, however, and
nation
to
whom
monetary;
war
refuse
most,
means
to
should
we
be.
jockeyed
into
a
grandiose global scheme for a
conglomeration of politically man-,
aged paper-money standards — a
scheme in which debtor nations
would call the
tune and
Uncle.
would
ultimately
the
pay
fiddler.
Exchange
Let
Control
from the sub¬
ject of changes in the sizes of the
monetary units themselves, i.e.,
their gold pars, to a brief con¬
us
now
sideration
of
pass
the
the
level
prevailing
This is
of
closely
related
at
the
a
gold parities
particular time.
important subject from
an
is
nowhere
Concerning
illustrated
field of foreign ex-'
Nothing would at first
affect private life less,
to
state
a
better
the
in
control
of the
deal¬
in
foreign exchange, and
people will regard its intro¬
with
complete
suppression of all
neighboring
exactly
indiffer-
we
means
of escape
merely for the rich but for;
everybody.
Once the individual
is no
longer free to travel, no
shall have
longer free to buy foreign books
journals, once all the means of
foreign contact can be restricted
or
to those of whom official
approves
or
for
whom
opinion
it
is
re-
as necessary, the effective
control of opinion is much
greater
than that ever exercised
by any
of the absolutist
governments of
the
seventeenth
and
opposing Bret¬
advocating a re¬
One of the declared
purposes of
Plan is the very worthv
one
only hope of international
monetary stability on a wide scale
of
a
is in
ment
return to the international
gold standard.
If,
on
that
tion
propo¬
result
of
aged
are
the
some
experiences
countries
inconvertible
with
multilateral
of
man-
paner-money
system
in
the
of
.
pay¬
elimina¬
foreign exchange restric¬
hamper the growth of
world trade."
It
will
of. United
standards" during the years imme-
and
...
tions which
doubting
nations at the present
time, their
doubts will rapidly evaporate as
a
1
the
assisting in "the establishment
war-ridden
q
eighteenth
centuries."
am
gold.
there
V
garded
of
sition,
>
—not
The
a
;
a
possible to the
as
It is, in fact, the complete
delivery of the individual to the
tyranny of the state, the final
of
and
isV
world to¬
erty.
be
Woods
Monetary
Plan
give us, and from which
adoption of a sound interna¬
tional
gold standard alone can
Woods
for the
the path
to totalitarianism and
the suppression of individual lib¬
its
the
turn to
This
Yet the experience of most
continental countries has
would
ton
should
."
.
.
the
are
as
duction
hostility between
and progressively hos¬
that I
standard
,
an
ence.
Bretton
us,
coun-
only prospect at this,
then, for a truly inter¬
tionalists
most
what, realisti¬
cally speaking, the adoption of tne
save
5
The
as
only
ings
undertake
picture
the
lapsed from
thereto.
changes.
Gentlemen, it is largely because
picture is
true
Confer-
national standard is gold, and the
than
tile action against countries."
a
that
have
doctrine
sound
nations
The
unanimously: "It is
desirable
tries which
1920, at
number—
taught
thoughtful people to regard this
step as the decisive advance on
because
steps.
in
con¬
I believe that this
sorry
easy.
world—39
represented.
ence
fers
progressive
dangerously
the
were
,
over
advantage will be
will
sion
inflation
of
be
own
in
nation
But
permanent.
then
other
country
temporary ad¬
some
Each
public opinion is usually strongly
resistant to deflation, this provi¬
changes in gold
pars, realistically speaking, is one
to make by
political action world¬
wide
debasement and
resulting
The
by
will
true, as it^vas
international Financial,
"The extent of the control
the
export
can
exists
some
attain
vantage.
;
as
all life that economic control
economic
in
This
a
situa¬
"face
currency
other,
or
misery
its dollar in the face of such de¬
for uniform
world.
Conference of Brussels in
which all the important
than
tain
value
the
seem
way
statutory gold
in
disintegration of the whole world
a
commodity in
have so much
de¬
[of
a
will
confi¬
as
again recognized
system
into
t
distracted.
a
points of view.
it, Hayek says:2
recovery
would
we
no
cal
ma¬
.
that] would have
the
he
and
both the economic and the
politi¬
other
which
they will do that are
nipulation of currencies
character
schemes
gold—the
most,
highly exchangeable and the most ;
widely prized single commodity
at
for
and
they
can
from
The devices by
people.
be
man- "
subject*of exchange stabilization-
international^ compe¬
an
in which
their
there
was
argument in favor
nipulates
a
votes.
they
is
confidence
by Assis¬
Secretary of State, Dean
Acheson, has recently been pub¬
lished in the Department of State
Bulletin
politically
such
which
Sam
evils
holds
together
majority
In
there
tant
fight for itself, it is
likely to be submerged.
How
long could the United States re¬
the
purpose
debasement
and
international
wars,
if one.
and does not
it
warfare, with each nation trying
to climb to some sort of
security
over
the back of its
neighbors,
each one believing that if it ma¬
than
more
total
In
words,
contemplated
as
economic
which
10%
other
good picture of the
such
from
has
paper-
monetary
by
its leading American proponents.
vastating
total
and
In
Fund
affirmative vote of every member
manufacturing.
that
member's
any
controls,
standards
opposite to the primary
provisions of
authorizing changes in
Plan
of
thing in which they have
dence.
world
stability
exchange
would be in the direction exactly
In addition to the
arrive,
will
resulting inflationary evils,
will long to get back to a
solid monetary standard, to some¬
the
nationalism.
everywhere
paper-money
ment,
'
any
large
of the
exchange and international¬
ism, and toward currency debase¬
Uniform Changes in Monetary
the
speaking,
there¬
the reasons just
free
\
Pars
aged
on
soon
after the last war, when :
public
standard.
the trend of the Bretton
Monetary Plan would be
from
currency
stability,
oods
vv
it did
the
time-tested
Monetary
Nationalism
public, down
and
Woods and
of
sponses
debasement
That
that these proposals
say
contemplated
valley
also
Here
make
I
the exact opposite of the
are
Concerning this statement of
Lord Keynes, the "London Econo¬
quent later formal debasements of
mist" in its issue of April 29, 1944,
monetary units throughout the
said:. "Indeed by implication, the
world for countless generations, a
new
proposal seems to suggest
plan like this for stabilizing the
that changes of exchange
rates
world's
currencies
must
seem
instead of being, as originally the
very
unrealistic.
Things
just
one prohibited method of adjust¬
don't happen in the way appar¬
ment, shall be the normal means."
the
States.
by tne
which will have this effect.
the
To any one who is at ail famil¬
iar with the causes and processes
of currency inflation and conse¬
dollar loans
United
criticism
Indeed, it is made the duty
of the Fund to approve changes
The sanctions
very
.
Fund.
collection of its debt to the Fund
The time will
and
immune from
be
of expulsion
and
.
.
is to kick them out?
how
con¬
so-called
the
"We
are
determined
that, in
future,
the
external
value
of
sterling shall conform to its in¬
ternal value as set by our domes¬
tic policies, and not the other way
around.
[And these do¬
mestic policies themselves]
shall
politi¬
or
Conference
discuss
to
Experts' Plan:
further¬
cal policies."
What is to stop it?
The debtor nations are in a large
very
monetary unit of individual mem¬
bers, and (2) uniform
changes by
.
sick and tired
on
said:
cate
of
as
1944, shortly before the
a
on
a
units
debasement war is
is alleged to be
and be¬
war
plan would be possible
de¬
easy
scale,
money
been
are
provisions for the
May 23,
taken
diately following the
fore effective stabilization
back and debase their currencies.
purposes.
throughout the ages.
Adam Smith,
in his
of Nations," published
quest each member to communi¬
of
skilled
basement of the world's monetary
.
the
between
and
labor and unskilled labor.
A.
(Continued from first page)
of
!
'
j ment,3
be
States
to
helpful, says the
Treasury Depart-
thirik
of
the
Fund's
*
All
footnotes at end of article.
■
<
i
Volume
operations
THE COMMERCIAL &
Number 4384
161
two
in
"First,
steps.
'
freedom in exchange transaction's, j
the elimination of discrim¬
IV. If
and
inatory currency practices." The
second is that it will be a finan¬
cial
j
that
The sec¬
for attain¬
Pursuant to this de¬
clared purpose, the Plan (IV, 4a)
provides tnat each member shall
undertake "to collaborate with the
ing tne first.
Fund to promote exchange
stabil¬
alterations.
shall not differ •• from
judgment,
Here are some of
summarized.
escapes.
provides
minor
,
.
provisions of the Plan, it
was
generally recognized, were
directed particularly at the United
States, the only country that fdr
many years following the war is
likely to be an important creditor
country.
It is, therefore, the one
country whose currency for some
time to come would be likely to
These
become
scarce.
On the post-war
On this same sub j ect
Brown, an official
Edward B.
American dele¬
Bretton Woods, in the
article previously mentioned (p.
206), says: "It must be admitted
that the teeth given the Fund to
enforce the withdrawal of restric¬
tions on current payments now in
gate
at
although putting a
possible varia¬
tions
in
spot
exchange rates,
places no statutory limits what¬
soever on the rates for tithe ex¬
change.
That matter is left to
the
administrative discretion of
the Fund.
By shifting
its ex¬
change business increasingly from
a spot basis to a time basis, there¬
fore, a member could largely es¬
cape the
statutory limitation of
2% (IV, 3, ii).
III. Although the Fund is pri¬
marily concerned with exchange
transactions for current business
II.
The Plan,
limit of 2% on the
.
(with the exception of its dealings
with Russia), and although the
use
of its resources is not per¬
mitted "to meet a large or sustained flow of capital," these re¬
sources may be used for capital
•
transactions of
reasonable amounts
required for the expansion of ex¬
ports in the ordinary course of
•
Other business
and, within limits which are only
mildly restrictive, "members may
trade, banking or
•
inexperience
U. S. bankers in foreign lend¬
ous
of
such
factors
as
ing, political instability in many
countries and the generally pre¬
and
one
may
be
converted into
usually without difficulty, since the Fund will finance
?
passive
balances
of payments
rather than specific transactions.
On this subject the New York
i State Bankers Association Report
on
Bretton Woods Proposals says
the
other,
I (p.
?
•
-
•
48):
"To
exercise
adequate
capital
transfers
would necessitate supervision over
all international transactions, incontrol
effect
same
is the fre¬
quently quoted statement made by
Lord
Keynes in his House of
speech of May 23, 1944:
Lords
I
would draw
your
the
...
pound
considers
it
]:]]]]'
purchasing arrangements to
Argentina and other South Amer¬
ican countries was contemplated.
bulk
Just
"The Chancellor
said that
even
similar to
that in
said
He
1933.
that the Government would
com¬
itself only to consult the inernational monetary fund before
mit
changing the value of the pound
sterling, reserving its right to
persist with its intention should
the
Fund
Sir
John
refuse
Both
consent.
and
Anderson
Lord
Keynes have expressed the view
that the proposed fund Act does
not rule out bilateral trade pacts."8
(New
York
"Times," Jan.
19,
1945).
"Lord Keynes himself has
admitted that there is nothing to
nations, if so inclined,pursuing
policies
so
de¬
prevent
structive of
make
multilateral
of
trade
as
Woods rather a
Bretton
time."
York
(New
Lord¬
quoted as calling in a speech in
Brimingham for the abandonment
or
at
the
least
drastic
reduction
war.
This is
countries.
one
of the ma¬
jor improvements in the new
plan.
The Americans, who are
the most likely to be affected by
this, have, of their own free will
and
honest
(sic!
a
purpose,
far-reaching
offered
us
formula of
protection against a recurrence of
the main cause of deflation dur¬
ing the inter-war years, namely,
draining of reserves out of
the rest of the world to pay a
the
which
country
was
obstinately
borrowing
and exporting on
scale immensely greater. than
was
a
it
Un¬
lending and importing.
plan a coun¬
der clause VI of the
pay
for them .,(bold face sup¬
plied).
Those are very severe
penalties
for
place on the United states
the crimes of not curtailing
to
its
exports, not increasing its imports
or
for
refusing to
lend more
dollars
to
foreign
terms that are
countries
board
will
as
on
of
by
the
governors—a
which the United States
have
vote in
determined
board
Fund's
countries,von
satisfactory to those
at
three.
most,
roughly,
one
Conclusion
Woods
Bretton
the
not
is
inter-*
credit
will ask: What is
solution, of our post-war
monetary
and
national
problems, you
That is
the answer?
an enormous
sterling area countries were said
question. From what I have said
to
amount to about
£216 mil-,
you
doubtless see
the general
lions.
Today the figure is around character of the solution I would
£3,000 million.
On this subject
says:1* "The size:
of the abnormal sterling balances
favor.
United
in a class by
is clearly
herself when it comes to the sub¬
ject
exchange
of
Her
controls.
be
may*
I—Money
but
Russia
Russia
it
ePR.ormzed m the following propositions.
point for the
is a bull
point for the maintenance of the.
sterling area."
hardly a bull
Kingdom;
is
briefly,
Very
writer
recent
a
foreign trade will be handled bythe Government, much of it will
be done in terms of foreign cur*
I. The first requirement
post-war monetary
can] be
wisely
nationally
and
of any
standard that
inter¬
adopted
maintained
for
any
considerable
time is that
it
shall
have]] the
confidence
of
the ; people.
To
this
end
it
•
should
be
simple
and
be
a
development out of a long, com¬
mon
experience.
This require¬
rencies and
will be essentially- ment alone should put the Bretton
barter.
The State will exercise Woods Stabilization Plan out o£
complete exchange control.
Un¬ the running. That Plan is so com¬
Agreement plicated that even very few econ¬
given a practically free¬ omists pretend to understand it,
those few there is
hand as regards rates of exchange; and among
disagreement.
There is
exchange regulations and the use much
wisdom
in
the
old companion
of
money
borrowed from
the
she
Great
Amery,
taining equilibrium in the balance
of
international
payments
is
the creditor
of
15
If
der the Bretton Woods
S.
of the most favored nation clause
placed on
the outbreak
the London funds, of
prior to
war
Britain's
Secretary of State for India.
He
L.
ships' special attention. A proper
share of responsibility for main¬
squarely
the
"Tribune," March 3, 1945).
is
"There is another advantage to
which
Whitehall
the
the policy pursued here would be
waste
the
over
registration of all
gold and foreign exchange hold¬
ings of members and their na¬
tionals.
Instead of resulting
eluding
.
necessary.
to
To
of
value
whenever
ciently offset by [American] for¬
-
•
the
from
controls as are nec¬
try engages itself, in effect, to
essary to
regulate international prevent such a situation from
capital movements . . " (VI, 3). arising
again,
by
promising,
But capital payments, and curr
should it fail, to release other
rent payments are frequently ex¬
countries from any obligation to
ceedingly- difficult to - distinguish, take its exports, or, if taken, to
-
adjust
vailing condition of international
economic warfare, the scarcity of
the U. S. dollar was not suffi¬
exercise such
;
that the British Government will
eign lending."
weak."
effect are
trend, it was indicated at the
purchases of their Mexico City meeting, has the apentire
exportable
surpluses
of proval of State Department offimeats and dairy products.
Thsse cials. ]
arrangements, he said, were from |
This sketchy story of recent
two to four years.13
There pro4 trends in discriminatory exchange
investment institution at all.
It
visions regarding guaranteed and
trade controls in different
will
be
concerned
exclusively
prices and payment irrespective parts of the world and of the conwith fluctuations in the exchange
of deliveries, he said resembled flicting
interpretations made by
market"
(Minneapolis
address,' "less normal
peacetime commer- different authorities in the United
March 12, 1945).
(3) "It has been cial
arrangements,
than
those States and abroad of the proviproved, as far as I am concerned, which were
typical of the pro- sions of the Bretton Woods Plan
that people in the international
curement contracts and economic as
regards
such
discriminatory
banking business cannot run suc¬
support arrangements resorted to \ policies, offers little support to
cessfully foreign exchange mar¬
by
various
of
the
belligerent those who expect Bretton Woods
kets.
It is up to the Governments
countries under the exceptional , in the near-future to accomplish
to do it.
We propose to. do this if
conditions of the early war pe-.
j-much in the direction of its
and when the legislative bodies
riod."
Somewhat
similar
ar- fourth
declared
purpose.
This
approve Bretton Woods." (Com¬
rangements, he
reported, were 1 you will recall is: "To assist in the
ment
quoted
in
New
York
made with Canada in May for the | establishment
of a multilateral
"Times," Feb. 10, 1945).
purchase during the next two system of payments in respect of
years by the British of specified | current
transactions b e t w e e n
Great Britain
quantities of meat and cheese— members and in the elimination
Sir John
Anderson and Lord
of foreign exchange restrictions}
quantities greatly exceeding the
Keynes.
"Both Sir John Ander¬
hamper
the
growth
of
pre-war shipments.
The British which
son, Chancellor of the Exchequer,
Ministry of Food, he tells us, had world trade."
and Lord Keynes have declared
indicated that the
extension of
bulk
the
for
,
transitional
In explanation of this striking
period restrictions may be re¬
provision, which has encountered
tained five years4 if needed and
much
criticism
in
the United
presumably much longer.
States, we may cite two eminent
Concerning this provision one
official delegates from the British
critic of the Fund says:5
Empire to Bretton Woods.
The
"The pattern of post-war trade
first is J. E. Hollo way from the
and exchange is likely to be set
Union of South Africa.7
He says:
during the so-called transition pe¬
"It is well known that during
riod, and the Fund agreement by
the inter-war period
the U. S.
conceding the right of each coun¬
dollar was a continuing
scarce
try to maiiitain its exchange con¬
currency.
The balance of pay¬
trols so long as it considers them
ments of the U. S. A. remained
necessary, reduces to nothing but
favourable for a lengthy period.
a
pious hope any prospect of a
Exports remained at a high level
return to free exchange and mul¬
while imports were discouraged
tilateral or free trade."
by a high tariff.
Owing to vari¬
I.
sterling which
only within
pounds
spent freely
,
that with certain
qualifications, "the menioer shall have complete jurisdic¬
tion in determining the nature of
such limitations
(VII, 3b).
Plan
however, let us turn to the spe¬
cific exceptions and to other pos¬
them briefly
scene [and one must expect
exchange control to be] a permanent feature of Latin American
.
porarily to impose limitations on
the freedom of exchange opera¬
tions in the scarce currency." The
dominant American policy.
sible
ican
pay-
discrimination
in
foreign exchange practices
;
(Radio address, Detroit, Feb, 26,
1945).
(2) "The Fund is not an
operates "as an auaiorization to any member, after
consultation with the Fund, tem¬
and mini¬
passing
-be
can
will' prevent
effect
this
parity by more than 1%.
This is all to the good.
It looks
like freedom of exchange on a
multilateral
basis—the elimina¬
tion of discriminatory exchange
controlsAnd this has long been
Before
of
trade."17 To the same effect was
the recent statement of Raymond
the "sterling area."
L.
Hoadley,
writing
on
Latin
Henry Chalmers, Consultant on America for the New York "HerCommercial
Policy,
Bureau
of aid Tribune" (March 18, 1945):
Foreign and Domestic Commerce]
"Import
controls are rapidly
of the United States, recently said13 being established by many Latin
that during the latter half of 1944, American nations to prevent the
ments
tary fund sets up standards which
formally declared by the Fund to
be "a scarce currency" (VIII).
A
formal declaration of the Fund to
To this end
members the maximum
be
creditor nation's currency may
provided (IV, 3) that in the
case
of spot exchange transac¬
tions between the currencies of
the
say,
in
in favor
exceeding
is
being
covered
by foreign Here are a few of many possible
loans,
and
if certain
possible examples.
the
Government of
the
United draining off of their large exUnited States
measures specified in the Plan for
Kingdom had announced the con- change balances through the purHenry Morgenthau, Secretary
meeting such- a situation have not
elusion
of
long-term
contracts chase • of
non-essential
goodst
successfully
met
it,
then
that of the Treasury: (1) "The mone¬ with New Zealand and Australia This
it is
rates
be¬
scarce,
imports, and the difference
its
ity, to maintain orderly exchange
arrangements with other mem¬
bers and to avoid competitive ex¬
mum
-
because its exports are
ond is largely a means
change
surprising that, with so
exceptions and escapes, the
authorities of various prospective
member states are by their words
and
their
actions
interpreting
these provisions with reference co
exchange control very differently.
many
discriminate
to
not
concerned here.
are
;
,
currency
nation's
a
increasingly
comes
institution.
It is with the first purpose
we
supervision."6
in
agree
connection with their export trade
it
Is
2095
ties to these agreements
of
Control Provisions
Exchange
effective enforce.,
ment of these provisions would
require permanent machinery for
exchange
Interpretation
Conflicting
exchange
of
elimination
the
in
controls," the
international
organization through which all
member countries: will cooperate
to bring about stable currencies,
the Fund will be an
FINANCIAL CHRONICLE
in
international
trade
added:
He
"We
after
must
the
give
effective
priority to
purchases
from the sterling area8* as well as
to our exports to that area." (New
York "Times'," Feb. 22, 1945).
A few significant examples of
how this British policy is now
being carried out in practice may
be cited.
According to Sumner
Welles8 it
was on
insistence
that
underlined
Mr. Churchill's
the
were
words
inserted
,
in
here
Ar¬
is
.
greatest truths
Speaking
of
the] simplest,"
and
"The
unique position in the Fund, Ed-, are
ward
E.
Brown,
one
of our people distrust what they do not
Russia's, proverbs:
Fund.
American official experts at
ton
Bret¬
"The
understand."
II. No sound currency can
Woods, has said: "To give her
long
anywhere unless it rests
firmly upon the foundations of a
balanced
budget and otherwise
buy foreign capital goods and not
The financial
for strictly stabilization purposes.- sane fiscal policies.
structure must be built up from
is not too high a price to pay for
credit of $1,200,000,000, with the
realization that it will be used to
a
Concerning.
cooperation."15
her
Russia's position in
the Fund, one
capable analyst says:16
"Russia did not trouble to
hide
the fact that her interest in the.
exist
the
bottom,
not
down
the
from
top.
The Report of the Genoa
Inernational Economic Conference
a
quarter of a century ago, well
"So long as there is a de¬
said:
ficiency in the annual budget of
she could;
the State which is met by the
Her state socialist
creation of fiduciary money or
economy and complete state con-;
bank credits, no current reform
tions, to further the enjoyment by
trol of foreign trade and exchange,,
is possible.
.
.
.
The balancing
all States, great or small, Victor
renders her indifferent to the sta¬
of the budget will go far to rem¬
or vanquished of access on equal
bility of world exchanges or to
edy an adverse balance of ex¬
terms to the trade and to the raw the revival of multilateral world
ternal
payment,
by
reducing
materials of the world which are trade.
She cannot free her
internal consumption.
But it is
needed for their economic pros¬ exchange without destroying her
recognized that in the case of
economic system."
perity."
some
countries the adverse bal¬
Since Jan. 1, 1940, Great Britain
ance
is
such as to render the
Latin America
had made bilateral trade and ex¬
attainment of equilibrium in • the
Apropos
of the attitude
of
change agreements with 20 coun¬
budget
difficult
without
the
Latin America toward free ex¬
tries outside of the British Em¬
assistance in addition of an ex¬
pire, a few of which have been change, the following recent de¬ ternal loan."
rendered ineffective by w#r, but velopments are straws that show
III. The subject is an interna¬
the direction of the wind.
most of which are still in opera*
ticle IV of the Atlantic Charter:
Fund consisted in what
"They will endeavor with due
respect for their existing obliga¬
get out of it.
.
tion.18
In
addition
to
these
foreign coun¬
tries; England still retains her
earlier
preferential
agreements
with countries within the British
agreements
with
Empire.11
The
these
total
area
British
by all
discriminatory
covered
agreements is estimated to cover
today about 40% of the earth's
land surface and is rapidly grow¬
ing.
Broadly speaking, the par¬
.
.
it was announced
"Times," Feb. 15,
1945)
that Peru
had recently
taken action requiring import li¬
censes on all
shipments arriving
after March 1.
Concerning this
In
February
(New
York
action
H.
of
the
Wallich, a member
Research Department of
tional
one
a high degree of
cooperatioq which,
should begin at once and Continue
indefinitely.
It should
include
international
nations
small
Bank of New
York, said: "The last more or less
free exchange system was thereby
eliminated from the South Amer-
as
well
IV.
My
stated
All
as
large
'
ones.
C.
the Federal Reserve
and its satisfactory so¬
demands
lution
in
next point Was-Well
1931 Report of the
the
footnotes
at end
of1 article.
(Continued on page 2096)
2096
THE COMMERCIAL & FINANCIAL CHRONICLE
Nations,
Implications of Internationa! Monetary Fand
(Continued from
MacMillan Committee of 14 emi¬
they
nent
met
Britisn
economists
and
than
that
the
world
should achieve
as
years
most
whole
a
tific monetary system.
But there
be little or no hope of prog¬
at
which
During
the
early date for the
monetary system of the world as
an
shall have to
we
those
as
the
done
be
quired.
their
"natural
levels."
XV.
these levels appear to be reached
can
be a try-out de facto
there
stabilization,
such
and
stabilization
a
and
if
be
to
seems
Bank
firmly effective, it should be made
de jure, and supported by gold
convertibility.
"!
VII.
be
The
with
be
countries, but without any
pulsion from them whatever.
com¬
equity
determination
of
the
capital
the
in
tember
nation's monetary unit is affected
with such a great public interest
pate.
'■
the
inerference
dertaken
If
from
it
is
outside
not
tral
compulsory
is
likely
to
un¬
to
some
It
While
there
should
of
management
the
be
gold
standard, both international and
national, this management should
be kept as small as possible and
should be superimposed upon a
system
that
is
automatic in
IX.
fundamentally
its operation.
There should be
in
high de¬
of freedom in the
tional
movement
of
interna¬
gree
The
function
it has
but
gold
high
tariff
stacles
to
to
smooth
the
member
became
ter the
Its
field
the reserves of the
tral
ob¬
are
ing
place
formal
tral
controls
rapidly
should
as
pos¬
sible.
serve as a meet¬
for
conferences, both
informal, and (5) to
and
Existing discriminatory exchange
as
with
governments
banks
the
participating
through
and
their
otherwise
in
re¬
proving
their
respective
gold
''With
To
central bank
possessing the ex¬
clusive right to note issue.
reorganized or absorbed in
international bank.
au¬
a
States Govern¬
ment should
promptly declare its
intention to rehabilitate its own
gold standard after the war, and
should, in due time, call an inter¬
conference
of
1.
Referring
-wini
and
Haberler
the
"because
they
adjuncts
of
November,
desiring to re¬
gold basis, with the ob¬
ject of formulating plans for the
restoration
of
the
international
gold standard and for interna¬
cooperation
standard
a
to
make
that
better standard.
XII. Among the central
there should be maintained
ReviP'v
3.
Questions
Bank,
p.
After
this
vided
"■"av.
close
to
favorable
ticular
for
ward
of
of
bank
and
the
we
are
to have
a
Bretton
Woods
good
one,
world
rot need
such
declared
purposes,
a
Plan
but
is
we
world, bank,
in
so
far
note
Answers
five
year
4.
p.
situation
the
effective
and
it
as
British
member
the
the
this
the
Fund
it
is
"The
pro¬
Fund
necessary
in
represen¬
conditions are
withdrawal
restriction,
of
that
for
or
provisions
Agreement.
of
any
The
of
any
the
restrictions,
par¬
general
9.
10.
for
authorities."
Decision,
These
include
(March,
1945)
and
12.
Foreign
13.
Commerce
Weekly,
a
do
lis
as
bers
5.
by
other
member
articles
shall
required to give the
the
writers
6.
benefit
Mount
On
of
American
announcing
the
this
subject
of
be
next
few
been
British
of
24,
the
tained
Nevertheless,
discussion
there
has been on
recently
the grounds of the undesirable
of
commercial
would
program
perpetuate,
policy
such
well
as
as
war
14.
p.
The
Banker
(London,
134.)
March
p.
27.
of
Adminis¬
orders
es¬
sur¬
Division
by the Pro¬
of the Treas¬
Department will apply to the
and
easing
of
some
15. The Journal" of Business of
versity of Chicago, October 1944,
the Uni¬
202.
p.
16. The
American International Under¬
Corporation,
Mount
Washington
Labored,
17.
p.
reflected
were
in
15,
1945,
and
pp.
Financial
Chronicle,
1170-1171.
acute
labor shortages. The addi¬
to Group I. from
tion
Group
was
ciated
Press
mittee
next
fiscal
Representative
Mich.), after
Dingell
call at the
a
(D.,
White
House, told the House that Presi¬
dent
Truman
served
notice
"has
entire
world,
and upon the
that he
compromisingly
ment of the
definitely
Russia, Mr.
upon
stands
for
the
un¬
fulfill¬
understanding entered
agreement,"
according to Associated Press
vices
from
Washington,
ad¬
May
3.
These advices continued that Mr.
Dingell described the Russian at¬
in
the
deadlock
at
San
Francisco in the seating of a dele¬
gate from the Polish Lublin Gov¬
"untenable
as
"in
the
and
House,
the
ported
from
year,
tax-free
a
Associated
Press
re¬
im¬
that
Congressmen's
have14 been
subjected
incomes
to
heavy
strain to meet expenses incidental
to the
lished
at
will have vanished.
Replacing
will be two simple
priority
although the
legislation
pro¬
contained
no
are
provision
for
expected to
Senators,
make
their
own
Allies
that
a
dif¬
will
generally
Warsaw."
same
provisions
when
the
day
Senator Ferguson
Associated
Press
in
the
Senate
(R., Mich.), the
went
on
to say,
urged that Russia permit the free
and
unimpeded
circulation
of
"CC" for
important civilian goods.
The plan was drafted
by WPB's
committee
on
period
one,
re¬
cently created to chart the relaxa¬
tion
of controls in
"period one,"
interim between Germany's
the
collapse and the fall of Japan.
The
report
almost
men
"leaked
had
"to
by
J.
A.
Chairman, that such
been
news¬
simultaneously with
announcement
WPB
Krug,
report
a
prepared, approved in
a score of Government
general by
would be adopted
public after getting Mr.
final
approval.
A
new
Krug's
made,
WPB
mendations
are
bill
some
officials
said, but the bulk of the
recom¬
unchanged
the tentative draft.
from
1
Treasury
Offering
Secretary of the Treasury
on
May 7 that the
tenders of
about
be
of
terest
on
Europe
and
conditions
in
report
the
in¬
of
promoting fullest un¬
derstanding between Americans
and
$1,300,000,000
there¬
or
91-day Treasury bills to
May 10 ancl to mature
Aug. 9, 1945, which
offered
were
follows:
Total applied for,
Total
accepted.
$2,012,770,000.
$1,307,303,000
(includes $54,332,0.00 entered on a
fixed price basis at 99.905 and ac¬
cepted in full).
Average price 99.905, equivalent
rate
of
discount
0.375%
approximately
per annum.
Range of accepted
competitive
bids:
High, 99.910, equivalent rate of
discount
approximately
0.364%
per annum.
Low, 99.905, equivalent rate of
approximately
0.376%
discount
per annum.
(61% of the amount bid for at
the low price was
accepted.)
There
was a
maturity of a simi¬
on May 10 in
the
lar issue of bills
amount
of
$1,309,856,000.
press
Eastern
frankly
of
dated
on
May 4, were opened at the
Federal Reserve Banks on
May 7.
The details of this issue are as
representatives
throughout Russian occupied areas
Russians.
Mail
to
Netherlands
Postmaster Albert Goldman
nounced
tion
had
on
one
received
from
The electric 0'itnut figures for
+be week ended May 5, 1945. have
delated
oi
servance of V-E
May 8.
..
account
Day,
in
illustrated
for
on
of
ob¬
Tuesday,
may
not
weight)
post
cards
on<
exce<
and
no
address*
delivery in the portion
Netherlands
t
Department, Washin
(which
ounce
a
May 2 that inform
been
Post Office
letters
Electric Output
Figures Delayed
been
reaches them.
it
ratings
for military orders and
ton, D. C., that, effective at
reported by the Associ¬
ated Press that
posed
The
conduct of their offices.
was
the
government, compris¬
elements, shall be estab¬
all
ing
American
Washington, May 3,
stating that the committee report
said
future all
near
between
be dispelled and
$2,500 annual incidental expense
allowance for each member of the
A
—"MM"
The
that
appropriation bill to
legislative operations for
six
announced
democratic
has
to
continues.
ftesulf sf
ferences
It
report
Bill
ernment
Appropriations Com¬
recommended, in a
four
Day, the Asso¬
II.
Allowance for
The House
from
tentative blueprint has been
pre¬
pared to meet that schedule.
When the
shift
is
completed,
the present
complex system of
priorities arid materials control
Mansfield, Ohio.
possible", and expressed the hope
Members of House
even
draft has been prepared and
Proposed Tax-Free
the
in
changes
effective ^today, in which
these was a shift of only one area
into Group I. the designation for
titude
32,
Commercial
March
■
or
agencies, and
localities
into under the Yalta
1945.
'fv >*■'*::<£'.
;;
mem¬
League
complished
months after V-E
goods sold
Stalin, Mr. Molotov
a
over
Under¬
City,
all
present
and made
in
the
unnecessary
replacement
of
governrtiental operations for competitive
importa¬
tions by private
trading firms." Ibid, p. 12.
International
also
Price
has
the
as
similar
York
of
announced
at
WPB
estimates
the
shift
of
the economy from a two-front to
a one-front war
basis can be ac¬
arrangements
publications and commercial circles
danger of bulk buying being re¬
the
,
years.'
considerable
they
reasonable
to
continue
number of carriers.
was
making them
'as
policy for safeguarding food
the United Kingdom for the
its
for
doubt.
see
Office
develop¬
the Herald
Associated
Washington,
higher levels for the time being,
due in large measure to a
growing
reconversion
ments, according
Tribune, were:
The
to
Government
part
supplies
Issued
Corporation, New
Other
from
states, adding, however,
that Navy production is
expected
Australia
Labored.
any
Washington
being offered for disposal
surplus property.
as.
year, : an
1,
and
New
Zealand in September, the Minister of Food declared that
of
the
before
May
the
report
tion,
'j
Feb.
has
readjustment
the War Man-Power Commission's
revised labor market classifica¬
Decision,
12.
"In
with
demilitarized
or
of
war-production schedules in scat¬
Brazil,
'3
p.
be disarmed
Cutbacks
Holland.
176.
1945,
combat
items when sold by the De¬
partment of Commerce.
Ibid.,
Argentina,
ill. See Sumner Welles, Time for
p.
other
and
gases,
no
longer needed by the
Department should in many
cases
ury
Bolivia,
Chile,
Greece,
Paraguay,
Peru,
Portugal, Spain, Sweden, Turkey, Uruguay,
Belgium (Oct. 1944), Egypt (Jan. 19451,
i
special
a
ammunition,
same
176.
p.
(with¬
needs,
war
production
tered
monetary
Time
inconsistent
pur¬
the Fund", the Fund
may declare
the member
ineligible to use the Fund's
resources.
In its relations with the mem¬
bers the Fund is
poses
ment
War
$50,722,147
on
period
tanks
cen¬
developed
there 'was
62-63.
pp.
exception.
curement
says:
continuous
virtually
vehicles and secret military equip¬
plus
existed
author
same
system,
finance
92.
a
suitable
time
to
reply to such
representation.
If
the
Fund
finds
that
the membpr persists in
maintaining restric¬
tions which are inconsistent with
the
for making reconstruction
developmental capital loans,
reasonably
178,
Serfdom,
given
II—The World Bank
XIII. If
with
as
circumstances, make
abandonment
orderly functioning
the itnernational
exchanges.
policies
4.
anv
though largely informal and non¬
statutory cooperation directed to¬
the
pro¬
savs
financial
(XIV, 4, and XV, 2a)
if it deems such action
tation
a
Plan,
Woods
and
4.
Gottfried
University,
political policies."
Economic
Statistics,
p.
to
and
exceptional
banks
a
the
the
war,
staff
tablishing ceiling prices for
Currency
uawn
and
of
1944,
Road
new
always be construed
can
The
a
"domestic
policies,"
covers
social
2.
Clause
Bretton
also
all other countries
the
Harvard
the
term
turn to
a
to
political
of
of
ponent
The
tional
the
that Fox's
transferred
that
little scope for any element of 'automatism'
that
did
not
suit
the
purpose
of
the
,
thority in each country should be
monetary
of
to
International
been
tration
47.
tral management which had been
in
the British
credit,
establishing, maintaining and im¬
these ends the Bank for In¬
ternational Settlements should be
national
Nations,
Speaking
writers
principal monetary
XI. The United
more
of
p.
cen¬
standard systems.
X. The
a
coherent organization and
precise and formal status."
more
a
priricip.es
cooperate
removed
cen¬
banks; (3) to collect, organize
otherwise help interpret for
orderly func¬
tioning of any monetary standard.
be
it
prior
should
member
not
were
capacity un¬
Department,
Commerce
order
member
Experience,
its
banks; (2) to hold part of
which
practically co-extensive with the
Commonwealth of
Nations, again
League
en¬
be (1) to serve as an international
clearing house for the member
but
that
the
guns,
there
formation; (4) to
and
and
functions
addition
in
Wallace said
contries gave up their
the pound, and the
sterling area
into
gave
of fiscal operations.
principal
In
,
its members international
credit,
monetary and other financial in¬
international trade and
restrictions
to
,
from
1.
erty Board announced in
sterling
exception of Canada.
War-time
exchange control transformed the sterling
should
loans
the
the
cen¬
otherwise
nor
joined
stated
Meanwhile, the Herald Tribune
report goes on to say, the inde¬
pendent three-man Surplus Prop¬
of
countries,
including Japan
Argentine, which for many years
official
exchange rates fixed
with
France
long-time
banks
Commonwealth
also
Latvia).
sterling,
remain
without
first
the
their
British
contribute
bank
in
comprised
May
der
than
can
standard
barriers
make
not
The
rather
regular method of satisfying
the
country's
import
requirements
in
primary products.
The concern expressed
times in the past,
many
banks.
sterling
Bureau
and
Sep¬
several
the
Press
will
(except Canada and New¬
few non-British countries,
Portugal,
and
link
central bank of
a
in
-nd
high tariff barriers,
over
central
be
of
British
A
non-British
gold-standard
should
depreciated
and
goods
services.
the
rela¬
generally
regarded as members of the sterling bloc.
"In the autumn of 1939, most of the
interna¬
an
which
all
they
should
central
a
of
...
as
were
the necessary capital.
be
effective.
VIII.
banks
which
for
with
be
main¬
fixed
a
end
had
group
the
and
countries should be affiliated and
interference.
bank
This
kept
gold
side
standard will call
in
by
could
immediately.
Others joined it later:
(Including
the
Scandinavian
countries,
re¬
tional
it
European)
been
sur¬
The report
continues that A. U. Fox, director
of the Office of Surplus Property
under the Treasury
Department,
group
on
so highly prized as a pre¬
rogative of sovereignty that it is
impracticable to subject it to out¬
to
countries
the basis of Pacific
on
consumer
Washington,
.
terms
Nations.
partici-
international
but
characteristics
these
out
country, advices from the Herald
a group of countries decided
outset to keep their
exchanges
in
foundland),
.
XVIII. An
main
production schedule, re¬
new
Tribune
1931,
the
such
in
of
thirties
formally defined;
pound
instance
should
would
376.
p.
Interna¬
early
A
vised
committee, whose approval is re¬
goods to continue quired, which may cut the month¬
doing business with the same per¬ ly otitput of military planes from
sonnel and offices throughout the the current 7,000 to
5,000 by the
plus
area
of exchange
Sterling Area.
Its
belonging
,
the
gold.
of
nationals
.
stable
with
enterprises
in
the
Board's
those interested in the sale of
a
American
1.944,
of
the
currencies
London.
from
in
form
the
two
First,
"When
or par¬
abroad
spective countries
a
and is
increasingly
which
The
size
grant,
the
countries
area
investments
ican
were
in
ad hoc basis.
other
of
to
wide
not
such
tionship with the pound sterling.
Second¬
ly, they tended to keep their exchange re¬
serves
largely if not wholly in the form of
sterling balances and other liquid assets
XVII. It is desirable that Amer¬
monetary unit should
in
each
country
conference
a
authorized
be
cases
a
as
were
their
in
would
submitted by the Army Air
Forces to
the
War
Production
ganization of the system, advising
of
would
It
Williams,
standard
there
Import
ticipate in, stabilization loans,
an
established
after
should
meritorious
gold
tained
it
Economy Submitted
bility for the Office of Surplus
Property by the Commerce De¬
partment was acknowledged by
Secretary Henry A. Wallace who
said that he planned no important
changes in regional arid field or¬
a
international
achieved
we
the breakdown
identified.
and
and
have
problem
far
of
name
H.
which
Iran
Export
that
the
John
boundaries
Finland.
The
in
"there emerged
stability known
The United States
XVI.
if
After
tional
countries.
when
the
of
giving up the search.
ironical
8a.
through
otherwise, should be
generous
in giving urgent but
temporary relief to war-ravaged
When
and
Two to One-Front War
Surplus Goods
Official assumption of responsi¬
an
themselves
protect
Economic Supplement, March
to get a reasonable amount
capital
funds
from
private
In this group are such
countries as the United Kingdom,
UNRA
Of
they
themselves
through
abroad
solution
Carried
to
amount
result."
of
Holland and
what
isolate
to
monetary stabilization
sources.
and price controls are gradually
removed, and trade becomes in¬
creasingly free, exchange rates
and prices will slowly approach
whether
to
pressures
originating
stability.
be
able
fairly soon and in
long delay will be re¬
As war time exchange
a
Wallace Takes Control Plans for Skiff From
of
some
for one
international
.
some
able
reading
arising at home. Grant¬
ing, as I have sought to indicate, that
there are at times strong grounds for such
a course,
this surely cannot be called an
cipal risk, we should control the
except as a result of a terms of the investments, adapting
them on an ad hoc basis in ac¬
process of evolution starting from
the historic gold standard."cordance with credit worthiness.
1
V. All
three of
the
XIV. A considerable number of
principal
types of the gold standard, i.e., countries will come out of the war
gold coin, gold bullion and gold- in' a fairly strong financial posi¬
exchange
standard
should
be tion and with substantial gold and
Those countries
used; every country selecting the dollar reserves.
type it considers best suited to can depend for their new capital
itself.
on private loans.
There are other
VI. The length of time that will countries that will be hard hit by
necessarily elapse before stabili¬ the war but whose credit worthi¬
zation
on
a
gold basis will be ness is so high on the basis of
possible will vary greatly among their past records and their pros¬
different countries.
In a few it pects that they likewise will be
can
be
depression,
one
free hand
are
whole
a
as
international
from
in
comment
is
to
Experi¬
V;
wondered
Eritish
entire
10
the prin¬
assume
have
Currency
.....
213.
p.
from
re¬
we
cit.,
want
United States
world's only important
creditor
nation will have to provide most
of the funds in any case.
Since
can
ress
with
so
concerned.
years
sound and scien¬
a
or
the
next
"I
the
are legitimate, can better be
by simpler means.
172-176.
Op.
8.
Under any plan it is
habilitation needs of the
financiers, including John May
nard Keynes.
It said: "There is,
perhaps, no more important object
in
the field of human technique
7.
2095)
page
International
pp.
ence,
Thursday, May 10, 1945
of t!
to which limited
m:
service has been
accepted
registry
tion
to
for
fee
the
is
resumed,unay 1
registration.
T
20
cents,
in
regular postage.
adc
Volume
Number
161
THE COMMERCIAL & FINANCIAL CHRONICLE
4384
U. S. and Britain km for "Planned Economy and F. Carroll io Head
Full Employment" Boston First Hall Says Red 0?oss h tape
"Employment for all those willing and able to work is the goal
set for the post-war period by
Basil
O'Connor,
2097"
Average of $6,783,060 Received Daily
By Life Insurance Holders in 1844
Chairman
American families received
of
various groups in this country and in
Great Britain," says The First National Bank of Boston in its current
announced
New England Letter.
Mr. Frederick A. Carroll of Bos¬
reported
ton,
an
average of
$6,798,000 daily from
1944, making an aggregate of
the Institute of Life Insurance
of
"Discussion of the subject centers
around the idea that every person who wants to work has a right ftp
a
job, and that the Governments
should assume responsibility for
the fulfillment of this objective.
Continuing
the
Bank
says,
Wall St. Brokers in
Various Federal officials have set
at
60,000,000 the number of jobs
to. be provided in the first year
of the post-war period. To imple¬
ment this
goal, a bill has been in¬
troduced in Congress known
as
the Full Employment Act of 1945.
This bill establishes
policy
the
as
national
a
of
program
assuring
full
employment in a free com¬
petitive society through the united
efforts
of
industry,
agriculture,
and State,
local, and Federal gov¬
ernments.
In order to carry out
this policy the President shall draw
each
up
annual produc¬
and employment budget in¬
tion
an
year
specific estimates of the
of
persons
to be em¬
cluding
number
the necessary expendi¬
tures to provide full employment,
and the aggregate volume of ex¬
ployed,
penditures by all private sources
and by Federal, State and local
governments.
If the estimated
total expenditures will not be suf¬
ficient to provide jobs for all, then
the gap is 'to be regarded as a
prospective deficiency in the Na¬
tional Budget.'
To make up any
deficiency, the President is to rec¬
ommend legislation that will stim¬
ulate and encourage private enter¬
prise to spend more money or he
recommend
may
Federal
direct
expenditures for public works. At
any rate, it will be the respon¬
sibility of Government to see that
the
is filled.
gap
Construction
In First
Expenditures
Quarter
Construction
expenditures
in
continental
United
first
three
mpnths
were
lower than Erst quarter ex¬
penditures in
of
outbreak
States
this
in
the
year
since the
year
any
war
of
for
Europe, Sec¬
retary of Labor Frances
reported
May 5.
on
struction
Perkins
"New con¬
expenditures of $1.06
through March
only slightly less than
billion for January
1945
were
those for the first three months of
1944," she said, "but were 56%
less than the $2.4 billion spent in
the first quarter of 1943.
Sevealh War Lean
K. Kenneth
of
man
Dealer
the
Street
Broker-
War
Seventh
a
Loan
billicn dollars, an¬
nounced recently following an or¬
of
quota
one
ganization meeting, that the Syn¬
dicate's sales will be reported on
and
May
18,
June
1,
19
that
the
sales
of
the
30
10
and
leading
broker-dealers will be
box-score
ri
highlighted
with dollar
form,
related
totals
Super-Fort-esses
financed,
in
keeping with the Syndicate's slo¬
gan
of
SPEED
THE
WALL
STREET ARMADA TO TOKYO—
1600
The New York Stock
Exchange,
Mr.
Stephenson
reported,
will
place
two
Seventh War Loan
overhead street banners, each 30
feet across by 20 feet deep, one
from the Exchange's building on
Street to the
Bankers
Trust
Co. and the other from its Broad
Street
building to that of J. P.
Morgan & Co., Inc.
The Chase
National Bank will install an au¬
thoritative
eral
Hall
of
reproduction
in
of
form
the
Fed¬
bond
a
booth in front of the Sub-Treas¬
The Bank of
is building a
the
32foot high dimensional reproduc¬
tion of the Iwo Jima flag raising
scene
fcr
display in its main
lobby; and a scale size model of
building.
ury
Manhattan
iank
a
Co.
for
as
use
a
bond
sales
Wall
and
Trust
be
Co., among outdoor
under construction
now
according
community,
Stephenson.
.
As
exhibits
by
to
the
Mr.:
of
sources
Stephen¬
pointed out the sales experi¬
ences
this week of the Irving
son
Co., which together with
Bendix, Luitweller & Co., and
Haisey, Stuart & Co., undertook
a
continuing and productive War
Bond
on
of stevedores oper¬
canvass
ating
spending this week in
Washington conferring with Red
In
assuming this post, Mr. Car¬
will
Gibson,
Mr.
succeed
well
Red
Cross
Harvey D.
known
banker, who took
New
York
American
over
operations
in
August, 1942. The re¬
tiring Commissioner is President
leave
on
of
the
Manufacturer's
Trust Company of New York and
has gained an international repu¬
tation
for
his
outstanding Red
Cross service abroad.
"Mr.
his
Gibson
has
remained
at
post at considerable sacrifice
during recent months," Mr. O'Con¬
said.
nor
"His record
Allied
is
well
nations
of
accom¬
known
well
as
all
to
armed forces of the United States.
"In the appointment of Mr. Car¬
spent for public construction
16% less than the public con¬
in
and
keeping with Red Cross
For many years Mr. Carroll has
been
identified
prominently in
banking and legal circles.
of
President
a
the
Trust
He is
Division,
member of the Executive Coun¬
of
the
Association.
Red
American
Since
Cross
Bankers
1924 the
executive
has
new
served
Vice-President and counsel of
the
National
Boston,
Shawmut
In
his
Carroll
has
of
Bank
assignment
been granted a
new
partici¬
pation and media support all
pre¬
struction
vious
same
the 1945 Red Cross War Fund ap¬
Agricollure Dept.
A
$600,000,000
appropriation
bill for the Agriculture Depart¬
finally acted
by Con¬
upon
of
the
on
conference
a
measure,
$18,291,827
Senate
onto
report
after tacking
the House bill
facilities such as
unity
areas
$43
arek
practically
double, the
million spent for such facil¬
ities
during
the
first
quarter
of
1944.
ing
further oversubscription and
a
residential
(nonfarm)
the pub¬
$224,013,000 has
Mr. Chester.
construction, on the other hand,
dropped to $125 million from the
from
level of $178 million in 1944. This
been
subscribed
against an
of
$200,000,000,"
said
reported
objective
"Private
over
lic's response.
date
winning House approval. The
biggest addition
was
$10,000,000
purchase of soil conservation
the
first
Also added
six
months
1946.
of
$3,000,000 for
v/as
con¬
"Preliminary reports
The
198,950 for the extension service;
$7,547,500 for experiment stations
decline is attributable to the strin¬
gent wartime controls on non-es¬
sential
building and to the scar¬
city of lumber. Expenditures for
farm and for public utility con¬
struction remained virtually un¬
changed from
a year ago.
decline in public
expenditures was a $65 million
drop in the construction of mili¬
tary and naval facilities. Highway
construction
amounting
to
$40
of 1945
was
the
first
Miscellaneous
tion
months
three
30% less than that for
the corresponding
period in 1944.
Federal
expenditures
construc¬
decreased
$7
million, while State and local ac¬
tivity remained at the
as
"In
carrying
same
in the first quarter of
level
1944."
the
the
to
message
in
tors
This
the
3.756
20%
a
over
and
any
Red Cross
4,000,000
campaign solici¬
outpouring
leadership
con¬
people,
persons served as
sents
"The sharpest
million in
than
more
local
of
voluntary
in
repre¬
workers
previous Red Cross
ap¬
peal.
in
interpreting the
program and needs to
the American people," Mr. Ches¬
Cross
ter
added, "the press, radio, out¬
advertising, motion picture
and
other
recognized
media, implemented the 1945 cam¬
door
industry
paign
which
with
was
an
overall
coverage
from 20 to 30% greater
than
m
Cross
history."
anv
fund
drive
in
Red
Vigil
on
Own Administration
Senator
Brewster
of
of
employment
time
it
April
United
have
men
paid during the
period, civilian death claims have
not increased in the
tion
taken
work
living pol¬
of calls for
surrender
values,
business."
was
7%
and
year
Payments
dowment
for
$354,644,000,
the
first
11%
up
management
en¬
time
at
1943
over
1944 totaled
I
less
^
att
21%
than
half
under
the
1941
"Union, Local
the
1943
jurisdictional dispute
and
total,
re¬
The
sequent
conditions
and
con¬
and
reduced
to
emergency
175,536
404,002
$2,481,257
$2,365,249
Values
Plan Trade Mission to
reported
Adminis-!
the New
"Herald-Tribune," May 1, to
be organizing a mission of non
military government officials and
by
to go to
the Philip¬
pines to study conditions pertain¬
ing to trade resumption in that
that
men
The
the
report
states
further
mission, to be
FEA official, is
expected to be similar in purpose
headed
proposed
by
United
Africa
that went to
the
and
Middle
investigate
con
there with relation to
re¬
sumption of private trade between
U.
S.
and
the
countries
studied; this mission returned with
first-hand reports on existing con¬
W.
States,
as
of
of Beverley
Pauley,
the
of 1944, and 0.65%
over
February, 1945, according to a re¬
port issued by the Bureau of
TransporLEcoliomics and "statis'
tics
of
the
Interstate
Commerce
Commission.
A
gain
over
March,
1944,
is
shown in the number of employes
for
reporting group with
exception of transportation
every
the
(train and engine service), which
shows a decrease of 0.13%.
The
percentages of increase are:
Executives,
officials
and
staff
assistants, 2.30; professional, clerical, and general, 1.78; maintenance of way and structures, 4.52;
maintenance
of
equipment and
stores, 0.31; transportation (other
than
train, engine, and yard),
and transportation
(yardmasters, switchtenders, and host¬
2.48,
lers), 1.39.
Pauley and Lubin Named
Edwin
due
of
an
East last year to
the
the
{month
York
business
were
68 to comply
March, 1945, totaled
1,422,041, an increase of 1.59%
compared with the corresponding
j
The Foreign Economic
is
strikes
of Lodge
Employees of Class I railroads
of
middle
Total
area.
failure
88,759
289,073
431,114
President, in ordering seiz¬
the plant, said the strike
threatened
Railway Workers Up
To 1,422,041 in iarsfs
166,803
85,934
229,311
a
with two WLB orders.
Benefits
__
of
ure
in
engine
over
rigging. A strike ensued.
room
flecting the improvement in family financial
6 of the International
"J past Brotherhood of Boilermakers,
nt JT
in
in
$229,311,000
were
in
$431,114,000.
,t22Mlu«i
m*.
values,
the
"the
ification here of that point.
Local 68 had been involved with
American
Federation
of
Labor
1941.
over
policyholders
Pniie
year,
12%
to
the unions,
the United Engineering
Company,
but there was no immediate clar¬
Annuity pay¬
$175,536,000, up 5%
and
Dividends
it
right of access" to the facilities of
and 36% over 1941.
ments totaled
and
The lodge also was denied
1943
over
to
Associated Press stated.
third
a
those accruing
were
under the San Francisco
ship res
pair agreement between the yard
above
matured
needed ships.
rights specifically denied
Lodge 63, according to the WLB
order,
total
10%
of
policies topped
billion
a
year's
on war
to
greater than that for the
previous
1941.
Last
was
The
$1,047,228,000 in 1944,
high jpoint in the history of
new
from
report
over
by the Navy after* a
jurisdictional dispute, involving
191 machinists, had tied
up repair
"Direct payments to
the
Press
Washington, May 3. The plant
icyholders, exclusive
cash
Associated
propor¬
ownership."
The Institute also states:
policy
seized by the Navyhas been signed byTruman, according to
was
25,"
President
an
same
life insurance
as
ditions and future prospects.
Truman Welcomes
NAM Would Eliminate
System of Cartels
Association
of
a
Hills, Calif., former treasurer of
In¬
the Democratic National Commit¬
Manufacturers urges that
vestigating Committee, reported
calling at the White House
tee, has been appointed by Presi¬
dent Truman as American mem¬
nomic
and
after
United
that President Truman had
ber
Nations, scheduled to be
at the San Francisco con¬
member
ed
"Moreover,
Red
$14,986,472 for the War Food
Administration.
chapters.
manpower
increase
and
Association
(not to any individual
members of it) "under the terms
benefits
ditions
also provides $14,-
measure
International
Machinists
death
French
war-booming lum¬
tributed.
chapters indicate that
30,000,000 individuals
the
on
Ltd.,
to the U. S. mission
industry.
Board
the
done
risen
struction of forest roads and trails
ber
Labor
each year of the war, ac¬
counting for about 5% of the total
service
on
needed for the
expressing gratitude
"To
and.
War
withdrawing "all rights and
existing at the
Engineering Company,
San Francisco, CaL, at the
death claims
tration
followed
National
privileges enjoyed by" Local 68 of
Philippine Islands
action
Ship Strike
A
1948 fiscal year has
ment for the
■
order
front
Policy Dividencis____
in
stores,, hospitals and educational
institutions
in
war-congested
job
■
>
V
"
of
measure
health
Disability
April 27 in
announc¬
■
year
during the war,"
Holgar J. Johnson, president of
the Institute, said.
"While war
Surrender
materials to be furnished farmers
statement
some
Annuities
for
in
la$t
-
is
home
In
insurance in
same
1944
1943
(Thousands of Dollars)
SI,204,718
$1,098,486
Matured Endowments
354,644
318,126
chairman of the campaign, said on
a
about the
:
—-—-—-
President Supports
Union Penally
-I"."*;;:
peal, Mr. Colby Chester, national
com m
"This
Death
"Expenditures of $84 million for
shattered
were
over
demand
for
financial aid."
leave of absence from his banking
! ; Payments for the years 1944 and
duties.
'
1943 were as follows:
V V
Mr.
expenditures
for
the
period in 1944 and 75% less
than for the first quarter of 1943.
records
over
benefits to
was
outstanding
the
cil and the Administrative Com¬
mittee
1944<S>—
10%
19%
in 1941.
as
of
traditions."
The
voluntary
death
a
adoption
of
of
force
Cross
is fortunate in finding a
worthy and able successor
for this important overseas as¬
signment. I am confident he will
carry out the program admirably
in
up
pre-war
1941 figure.
Since
1941, however, total life insurance
owned by American families has
increased 19%, so that the ratio
amounted to
very
paid
and
year
the
roll, however, the American Red
evioss
terms
previous
which stated further:
b
In
the
benefits
$1,204,718,000,
House,
according to an Associated Press
report from Washington, April 30,
1944, the $479 mil¬
lion
on
"Death
were
the
to
as
year,
Feb. 28.
This it stated compares with a daily
average
$6,480,000 and an annual total of $2,365,249,000 in 1943.
The In¬
stitute added:
Great
gress and sent to the White
was
$2,481,257,000 in benefits for the
Britain in
been
the New York docks.
i t u r e s "of $5811 million
gain of approximately
over
the first quarters of
1943 and
Mr. Car¬
is
roll
their life insurance companies during
Preparatory to
overseas,
Trust
exp en d
showed a
15%
Europe.
untapped
Mr.
indication
an
Bond
War
of
organization's Com¬
Great Britain and
departure
roll
as
placed at Nassau
Street by the Bankers
will
booth,
"Although- private construction
both
his
appointment
for
plishment
B-29's.
Wall
Western
of
number
the
to
the
as
missioner
Stephenson, Chair¬
War
the
Cross, recently
Cross officials.
Syndicate, which has un¬
dertaken
the American Red
the
same
he
as
of
the
Senate
committee
vigil
kept
(E.,
to
Me.),
War
invit¬
keep
the
on
his
on
the late President
administration
Roosevelt's, Associated Press ad¬
vices from Washington state on
April 27.
Brewster said he told the Presi¬
dent that if the latter followed all
the
advice he
gave
chairman of the
would be
no
when he
was
committee, there
doubt »of the
of his Administration.
success
of
the
Allied.
Reparations
Commission, which is expected to
May
National
The
set
up
ference,
Social
give
Council
early
to
10, according to Associated Press
advices'from Washington, April
the monopolistic system
28.
The
report
also
stated
that
Isador Lubin had been named
associate
on
an
the commission, with
the rank of minister,
while Pauley
will have the rank of ambassador.
Russia and Great Britain will also
be
represented
on
the commission.
of
the
consideration
meet at Moscow shortly after
the
the Eco¬
importance ot eliminating
national
Journal
cartel
of
of inter¬
the
Washing¬
agreements,
Commerce,
ton, states on Aoril 28. The report
to say I hat the NAM pro¬
that the United States Gov¬
ernment take the lead in prevent¬
goes on
poses
ing the formation of new agree¬
ments
and
seeking to abrogate
those now existing.
Guaranty Trust Doubts Peacetime
Level oi Wartime Employment
Changes In Moldings of Reacquired Slack
Foreign Trade Sroap
Favors Doughton Bill
Endorsement
Bill by
the
of
Of N. Y. Stock § Gisrfj Listed Firms
Doughton
Controls and Restrictions.
"The
not
Doughton Bill provides
only for renewal of the Recip¬
Spectacular military gains in Europe and the Far East have in¬ rocal Trade
Agreements Act, but
creased the urgency of the numerous problems related to the outlook
also for essential additional ne¬
for the post-war period, it is only1*
"
labor force gotiating power in making tariff
natural
that
most
thinking on riod. The wartime
adjustments to accord with our
this subject
should be strongly contains a large number of per¬ national
needs," Mr. Thomas
affected
by
the sweeping
but sons who will voluntarily with¬ stated.
draw when emergency needs have
partly temporary economic changes
"This endorsement by the Coun¬
been met. The unprecedented lev¬
brought about by the war, states
cil reflects the attitude toward the
the Guaranty Trust Company of els of production and income in
Doughton Bill of the many ele¬
New York in the current issue of the last two years have been at¬
Survey," its
monthly review of business and
Guaranty
"The
financial conditions
published
abroad,
and
April 24
try
in this coun¬
on
changes
States," "The Sur¬
"Foremost among these
the United
vey" continues "are the sharp in¬
crease
in
industrial production,
rapid expansion of the labor
the
force, and the staggering growth
of the national debt.
It is not sur¬
prising, therefore, to find discus¬
sions of post-war prospects cen¬
tering around the question wheth¬
er
the national income can
be
maintained at
level high enough
a
first, to provide jobs for all those
who are able and wish to work,
and second to meet the annual
than
ten
a public debt
times as l^r^e
after
the
first World
charges
more
that
on
large
amount of overtime work, a stim¬
ulus that cannot be expected to
tained with the aid of a very
long under
peacetime
conditions, The spur of patriotic
continue
productivity to some
extent. War production is carried
on with only secondary attention
to cost; and the current totals of
embody
price advances for many items,
income
corporate
such
may
the Government,
exceed the reported
by
wholesale
prices and
living, and overstate
extent.
that
to
come
sulted
have
re¬
in depreciation
that
imperfectly reflected in
figures, resulting in fur¬
hence
and
be
may
ther overstatement of national in¬
Assumed
of
Permanence
"There
is
Errors to Be Avoided
in
project war¬
time conditions into the peacetime
future,"
a
officials
national
lion
to
"The Survey." "Gov¬
says
ernment
declared
have
objective of
sixjty mil¬
after the war.
equal to the estimated
employed in January
This
jobs
is
"A
some
national
of
employment in the post¬
period is an objective earn-
war
aver¬
agencies,
vate,
are
including the
when the number
(also
forces)
employed
nearly twenty mil¬
lion larger than in 1938, the last
full
was
year.
pre-war
"A
similar
tendency is evident
in forecasts of national income
or
national
of
the
product.
latter
run
Projections
high
as
billion, which compares with an
officially estimated total of slight¬
ly less than $200 billion in 1944.
The
Department of Commerce,
pointing out that 'the national out¬
put has reached
people
level which few
believed
ago',
years
a
possible
concludes
three
that
'there
remains the job of
distributing an
output of civilian goods equal to
present wartime production.'"
toward
Questionable Assumptions
assumptions
concerning
post-war possibilities seem only
partly justified, according to "The
ment
goal of sixty million
other number
tain
Government
is not
the road to peacetime prosperity;
for
it
tend
would
rather
than
listment
necessary,
demonstrated
Ipefore. It is equally true that the
has
been
augmented
emergency
to
prevent,
promote,
business
of
and the very
the
confidence
estab-
broad readjustments
that must be made in the transi¬
tion
from
lated
war
artificially
an
economy
peace
eign countries that our coopera¬
tion can be depended upon after
the war as well as during the
recruits
and
15
schedules.
on
tions
to
naturally
a
The
productivity of our in¬
can
be utilized
only to the extent that income is
dustrial
system
distributed
so
between
the
as
to
producers
and
markets,
receive
and
to maintain balance
demand
various
who
the
supply
and
income
or
en¬
invest it in¬
hoarding it. If these
ditions
can
be
in
those
are
stead of
maintained
in
used
inven¬
fullv utilized for civilian
production. It is unquestionably
are
as
a
established
approximately
after the war
matter
of course,
continuous
and
process
their
con¬
and
subject to
as
and
ment,
grams.
not
conditions
free
by
are
business
manage¬
Government
pro¬
The readjustments needed
in
restore
and
maintain
equilib¬
rium take the form of fluctuations
prices, wages, interest rates,
output, employment, credit, and
without
the
burden
of
taxation.
full
recognition of these
factors, it remains very doubtful
wartime
totals
ployment and income
maintained
in
the
can
of
be fully
post-war
em¬
pe-
mobilization
for
perhaps in reconversion
to peacetime operation the fluc¬
tuations may tend to become ex¬
cessively violent unless temporary
restraints are imposed.
In such
public policy
should
sight of the fact that
instances,
never
the
lose
General
Rubber
&
Motors
Gimbel
5.680
103.514
11
—
—
!;.
303,916
common
preferred-
other
values
and
activities
that enter into business operations.
When management and markets
restrictions
constitute
inter¬
15,-976
common—_—
101,659
33,387
(3>
98,609
Johnson, common
_
_
2nd
preferred
National Cylinder Gas Company, common
—
Newport News Shipbuilding <fe Dry Dock Co., $5 preferred
Plymouth Oil Company, common-..—.—
Radio-Keith-Orpheum Corporation, 6'/<
preferred———
33.225
Minerals
International
Johnson
Chemical
&
&
Corp.,
_
—
2,119
W,
Iron
Sheaffer
A.
Twentieth
Steel
and
Co.,
Pen
and
38,300
2,999
3,699
3,220
Laboratories,
Wilson
Co.,
York
—„
4.650
$1.50
Corp.,
Inc.,
common-
capital
6,230
67,550
.
74,450
27.309
———
—
(5)
300
26.397
2,535
.
.
54,618
210
3,427
2,910
_
preferred—:
Corporation,
12
6,234
preferred
preferred
l'/r,
10
.
—„
Manufacturers,
Universal
&
common
common
Film
Century-Fox
Merchants
United
Corporation,
(4)
3,719
37,800
—
Rustless
1,456
1,402
.
NOTES
ill
Stock
Acquired
shares
5,000
and
issued
.•
shares
2,000
under
Officers
&
Employee®
Option Plan.
(2)
Acquired
retired
100
(3)
Reclassified
<4i
Decrease
(5)
Increases
from
300.
$6
>
preferred to $4.50
cum.
preferred March 21.
i
1945.
represents shares delivered under Employee Extra Compensation Plan.
due
to
split-up.
The New York Curb Exchange made available on April 21 the
following list of issuers of fully listed securities which have reported
changes in their holdings of reacquired stock:
V
.
•
,*
Shares
Previously
V
..,
Air
Inc.,
Investors,
American
&
Carman
Co.,
Inc.,
Central
class
Report
\
convertible
preference
45
Cities Pw. <fe Lt. Corp., conv. A opt.
General Corp., common
American
Per Latest
Reported
Company and Class of Stock—
10O
427,081
605
655
ser
___
A.-ii_:.—_____
Petroleum
Corp.,
80
50
420,847
div.
common—
606
—
609
18.805*
37,612f
Derby
70.871
70,830
Stores, Inc., common
Oil Company, common
Detroit Gasket & Mfg. Co., 6%
Corp.,
Equity
General
preferredpreferred
convertible
$3
Elec.
Water, .Gas &
International
Utilities
Knott
Co.,
subject
these
to
close
regulation,
fluctuations are restrained
_
11,291
None
73,445
73,820
________
:
—
preferred—,
$3
420
common
Corp.,
Corp.,
Mojud
Nehi
& Scott Corp., eVa.Vc
Co., Inc., common.
Hosiery
Corp.,
Bros.
Stores,
Trunz,
Inc.,
'•■"Old."
None
Inc.,
5%
2nd
preferred—:
$5.50
div.
20
19,825
19.835
12,650
_____!
stock—-
pr.
470
None
_
Corp.,
46
465
u—
—
common
Utility Equities
1,430
preferred.
44
common——
Stcrchi
248
880
23.193
A
11,035
preferred
first
Corp.,
582
:
223
11,379
Merritt-Chapman
Ogden
<
common___
12,700
t"New."
Panama Arrears Ctf.
Airport Bill Action
Be/errs*!
for
Exchange Time Extended
SRidy
Consideration of
bill
a
Holders of Republic of Panama
Arrears
to
pro¬
vide $500,000,000 in postwar Fed¬
Certificates
suant to the service
issued
pur¬
readjustment
plan dated Nov. 23, 1933, are being
eral aid airport construction in¬
notified that the time within which
volving the use of only one United
these
certificates
may
ba
ex¬
States airline for international air
changed for Republic cf Panama
transport has been postponed to
3% External Sinking Fund bonds,,
give senators more time for study
due May 1, 1987, under an offer
of the measure, with the consent
published as of May 1, 1941, has
of its sponsor, Senator McCarran
been extended from May 1, 1945
(D.-Nev.), according to an Asso¬
to May 1, 1946.
ciated Press report from Washing¬
Holders
of
Scrip Certificates
ton, May 3.
;
lor Republic of Panama 3% Ex¬
During the week opposition to
ternal
Sinking Fund bonds are
the bill had been expressed by the
being notified that the period for
U.
S.
Chamber
of
Commerce,
exchange of these certificates in
through
its
transportation
and
communication department man¬ multiples of $50 principal amount
for bonds bearing Nov. 1, 3841 and
ager, Alvin B. Barber, the Asso¬
subsequent coupons has also been
ciated Press reported, and by the
extended
from
May 1, 1945 to
CIO, through Richard Fra ikenMay 1, 1946.
s t e e n,
Vic e-President of the
Copies of the offer and the re¬
United Auto Workers, according
.
to the Journal of Commerce from
quired form of letter of transmit¬
Readjustments may be
Washington, May 2. Mr. Franken-
tal may
processes.
cushioned, but they cannot be per¬
manently prevented.
"In
the
transition
temporary but very
riod,
a
coming
pe¬
im¬
portant aid will be present in the
large volume of deferred demand
that
has
as
accumulated
a
result
during
of high
the
incomes,
should
facilitate
and
ac¬
celerate reconversion, and reduce
a
minimum
the
period during
that
declared
steen
competition
controlled
be
would
of greater
benefit to U. S. aircraft manufac¬
than would the proposed
plan.
The Associated
turing
monopoly
Press
.
said
that
stated: "We
monopoly
see
Mr.
no
had
Barber
necessity for
a
of
the
upon
Sen.
consideration
is anticipated
McCarran's return from the West
in
about
remains
major read¬
justments
are
being made
the
transition may be completed with
less disturbance than is generally
expected. In that event an early
opportunity will be provided for
cessary.
effective
If
the
while
demand
the
City
Hitler's Reported Death
;
Brings Condolences
v
The
three weeks.
on
President
the
nounced
Truman
has
an¬
reapnointment
of
David Lilienthal as director of the
Valley
Tennessee
nine
Authority
years,
Press
for
the part of Spanish
from
Associated
and restrictions
Washington. May 2. which stated
that
Mr.' Lilienthal's
PODo'ntme^t had been opposed
McKellar
Falangists
came
a
Prime
day from Dublin
same
United
Press
report
Minister Eamon
that
de Valera
called
personally at the German
legation to express condolences.
In
Portugal two
mourning
were
days
of official
reported ordered.
according to
advices
the relinauishment of the controls
Senators
Adolf
calling at the German Embassy
at Madrid, according to Associated
2, and the
further
of
Press advices from that city. May
Lilientba.1 Renamed to TVA
another
death
reported
Hitler brought official condolences
Further
measure
he obtained from The Na¬
Bank of New York,
20
Exchange Place, New York
City.
tional
international trans¬
on
port."
which special controls will be ne¬
which, as long as
they exist, will constitute a weak¬
and the necessary readjustments ness in the foundation for post¬
impeded. In cases of very sweeping war prosperity."
are
•
(?)
303.124
common
(I)
S
200
v
95,214
The,
cumulative
$4.50
5,650
—
preferred—
preferred
Company,
Corporation,
Brothers,
80,501
180,294
ference with natural and necessary
limited sup¬
plies of goods for civilians. This
Practical Requirements
large national income will
re¬
in
and
war
necessary
quired if the debt is to be serviced
whether
Tire
.
changes,
war
full
of readjustment.
"These
to
be
manufacture, while
controlled prices and
true that the public debt will have
increased to a level at which a
"With
Firestone
5'i
Corporation,
Davega Stores
——....
7%
The,
Company,
Sugar
118
80.490
177,294
—_:—
condi¬
war
tion.
to
wartime
as
will
continue to be
guided in filling their orders by
preference ratings, controlled ma¬
terials plan allotments and by di¬
rectives.
In addition, manpower
ceilings in tight labor areas and
remaining scarcities of many ma¬
terials will serve to limit produc¬
kets
is
crushing
Corporation, common
Company (The;, common
Cuban-American
1,601
21,400
73
permit.
industry
WPB officials
mand
a
Atlas
Bordon
icy of eliminating restrictive con¬
trols
demand
the
last
since
The revocations are in
line with WPB'S announced pol¬
brought
about by the action of free mar¬
when
brings to
and
Thursday.
the
tions
rescinded
schedules
apparently
true that technological develop¬
ment has been greatly stimulated
by war needs, giving promise of
further increasesiri efficiency and
new
channels of consumer
de¬
It
This
45 the total number of orders
after
war.
on
April 30 announced revocation of
six more of its less important lim¬
itation
and
conservation orders
employment
not
only is attainable but should exist
that
means
the
Orders
Production Board
War
The
some,
though
by
no
all, of these will wish to
remain
in
gainful employment
and
Report
1.400
20,500
preferred-—
^
preferred
Company, 5'i.
preterred__—_
Company TU
Investment
Associates
Crown
stimu¬
economy.
couraged to spend
force
or any
by
if
it
by millions of
Reported
6%
Company,
Bill
of. jobs, and main¬ producers
level
that
'investment'
consumers
labor
the Doughton
of
notice upon these *forr
serve
pointed out, how¬
planning is that the creation of
ever, that the revocations do not
jobs by Government spending is a necessarily mean immediate civil¬
temporary palliative, not a step ian
production of the products af¬
toward the solution of the basic
fected, as in many cases other
problem.
orders and regulations limit the
"To decree a national employ¬ amount of materials that may be
Survey." "It is quite true," the
article states,
"that the war is
demonstrating the vast productive
capacity of the United States as
been
Ice
Locomotive
American
Shares
"Passage
will
such
enormous
Such
never
solution.
a
caution to be observed in
balanced
has
Per Latest
Company an(cl Class of StockAmerican
■
Shares
Shares
Previously
.
$239
as
A
governmental and pri¬
studying plans and meas¬
directed
ures
1944
for
age
attainment
The
income.
full
our
million below the estimated
armed
*•/
.-.7-JV-V1-• V V'' ':'.* /;• 7:;
'• '7
'
time.
WPB Revokes Six
problem appears to under¬
present plans for stim¬
ulating post-war employment and
lie
number
the eleven million in
forces, and is only three
including
reported by the Department of Stock List:
heretofore
as
r'■'
high level of employment in this
misconception of the nature
of the
of"thisTeaT, estly ?-esirad by a11. ele?e"tJL°£
national economy; and various
the armed
a
held
;y.v.
Dejay
strong tendency
a
discussions
these
the
war."
come.
Wartime Levels
.
•
of vital aid to the maintenance of
neglect of maintenance
in
with
concerned
are
healthy development of our for¬
eign trade. These include numerours
manufacturers, agricultural
interests, surface and air trans¬
portation companies, banks and
insurance companies.
♦
"A revitalized Reciprocal Trade
Agreements program will prove
purchased country and to the encouragement
of economic well-being and peace
that greatly
increases in beyond our borders. Many coun¬
tries of the world are looking to
the cost of
the United States for economic
national in¬
and political leadership
at this
Manpower
shortages
material
and
which
business,
following companies have reported changes in the amount of stock
supplies
war
as
current
War.""
in¬
undoubtedly
has
endeavor
creased labor
American
of
ments
16 that the
The New York Stock Exchange announced on April
the National Foreign Trade
Says Government Spending Would Be Merely a Palliative, and Is Not Council, following formal action
a
Road to Peacetime Prosperity, but Sees Aid in Reconversion From by the board of directors, was an¬
nounced on May 4 by Eugene P.
Accumulated Deferred Demand for Goods and Relinquishment of
Thomas, President of the Council.
in
Thursday, May 10, 1945
THE COMMERCIAL & FINANCIAL CHRONICLE
2098
and
Tennessee
ported
Democrats,
but
sun-
by other Southern Demo¬
re-
by
Stewart,
crats
including Alabama Senators
Hill and Bankhead.
Volume
Number
161
THE COMMERCIAL & FINANCIAL CHRONICLE
4384
176.81
The Stale of Tirade
''J's
tion
in
such
'
the
tonnage
how
to
as
be
can
soon
produced.
the
trade
war
reports
purposes,
paper,
are
heavy
so
as
In
first
the
1945
the
in any quantity in the near future.
March
est
with
cleared
carriers
I
averaged
bill
-tax
$153,839,948, or a de¬
$4,942,766, or 3.1% un¬
March,
1944.
Twenty-six
months of 1945, of which
the
13
in
by
the
Southern
in¬
the
about
May
would
15.
it
creases,
in
hot
on
No increase
and
looked
for,
and
strip
would
the
tinplate
there
and
non-integrated
comprising
panies
40
some
was
steel
small
pressure
on
steel
com¬
mfembers for the purpose of
ing OPA price action.
The
Institute announced
forc¬
4,415,889,000 kwh.
April 28, 1945,
4,411,325,000 kwh. in the
from
above
that
for
the
sponding weekly period
Steel
and
rioted
system output of
167,100,000 kwh. in the week end¬
ed
April 28, 1945, comparing with
197,800,000 kwh. for the corre¬
de¬
a
15.5%.
of
Local distribution of electricity
last Tuesday
operating rate of steel
companies (including 94% of the
industry) will be 95.1% of capac¬
amounted-
ity for the week beginning May 7,
last year, a decrease of 17.4%.
that
the
with 95.8% one week
ago.
This week's operating rate
representes a decrease of .7 of a
to
Coal, Coke and Crude Oil Pro¬
duction—For
coke
weekly
production
markets
the rather gloomy outlook for this
crop were
ences
in the rise.
Boston wool market last week
mills showed
sociation
foreign
Feb.
freight for
the week ended April 28, 1945,
totaled 399,221 cars, the Associa¬
tion
of
American
of
This
nounced.
35,158
revenue
cars,
Railroads
was
increase of
an
4.1%
or
an¬
the
above
preceding week this year and an
increase of 48,780 cars, or 5.7%
the corresponding week
above
of
Compared with a similar
period of 1943, an increase of
110,432 cars, or 14.0%, is shown.
1944.
'
Railroad Earnings—Class I rail¬
week
while
Unfilled
111%
of
of
and
In
the
first
and
months
three
estimated
interest
of
Railroads.
American
1945
Association
the
of
net
declined
$148,220,978
rentals,
$139,500,000
from
of
income, after
to
in
the corresponding period of 1944.
Net railway operating income, be¬
fore
interest
same
and
for
the
placed at $99,compared
with
$93,-
period
884.567,
853,327
rentals
in
was
1944.% In
March,
the
first three months of 1945 the car¬
riers had
operating
and
rentals of $246,063,085, compared
with
$2-6.065,755 in
the same
net railway
a
income,
interest
before
period of 1944. In the 12 months
31, 1945, the rate of
ended March
return
investment
property
on
averaged 3.94%, compared with a
rate of return of 4.63% for the
like period
%
<
on
Operating
month
of
327,614,
029,215
March 31, 1944.
revenue
March
compared
in
March,
with
1944,
■
the
for
totaled
,
the
1.5 %
were
week
board,
period
for
for
for
paper-
the
same
reported at 99% of
an
increase of one
the previous week and
was
capacity,
point
As
production
or
over
the
corresponding
week
year ago.
a
-
,
silver
York
silver
eign
and
unchanged
was
New
at
Official
25tygd.
for
continued
at
for¬
44%c.
70%c. for domestic silver.
Wholesale
The
Food
wholesale
but
a
Price
Index—
food
rise of 1.7% above the
corresponding
$813,-
when
$797,while
this
week
and
sheep,
it stood
date a
$4.03.
year
at
occurred
whiie
ago,
Advances
in
potatoes
'rye,
and
oats,
operating expenses totaled $544,809,878,
compared
with
$527,-
steers showed declines.
433,356
total of the price per pound of
1944.
in
Total
the
same
month
of
operating revenues in
the first three months of 1945 in¬
creased
to
$2,277,470,711
$2,273,006,410 in the
of
1944.
or
same
from
period
by 0.2%, while oper¬
ating expenses in the same period
of 1945
rose
to $1,574,685,640 from
$1,523,540,259 in
the correspond-
The
index
The
daily
the
represents
sum
31
Commodity
wholesale
Index—
commodity
higher this week, reaching a
war-time
peak
of
176.99
The
somewhat follow¬
Retail
rise
Wholesale
and
since
Trade—
Bad weather last week induced
generally
lower
for
volume
level
a
of. retail
the
country at large
compared with a week earlier.
as
The
quantity of some spring mer¬
chandise,
particularly
wearing
apparel,
piece goods, and housebelow last year,
this
fact,
was
notwithstanding
practically
all
lines
had
volume above that for the
sponding
period
of
a
sales
corre¬
ago.
year
Indications point to shoppers pur¬
chasing
with
conservatively ;and
discrimination than
more
more...
index
Interest
and
women's sportswear
in
dressy clothing .was
dampened slightly by the cool
weather.
A steady, if late, de¬
summer
for
mand
spring suits
Cotton
continued.
soortswear
Retailers
gowns
were
new
closed
last
at
and coats
dresses
specializing
in
evening
graduation
dresses
reported experiencing one
weeks
best
in
several
years.
unrationed
shoes
sold
but deliveries to stores have
Volume
slow.
very
women's
accessories,
and costume
clothing
and
of
cause
the
to obtain
ficient
a
over
Sales of
furnishing
about even
reported
were
slightly below
year
inability
ago,
be¬
of dealers
seasonal apparel
in suf¬
quantities.
moved
rap¬
idly, but the difficulty in obtain¬
ing replacements
curtailed
of merchandise
volume.
cleaning items
exceptionally high.
and
allied
volume
items
about
5%
year
ago.
erings
Food
the
Fresh
to
of
10%
Consumer
and
summer
continued
sold
lines
with
awnings
9%
the
country
13%
to
above
ago.
j
were:
A mild increase in buyers' at¬
tendance
slightly
expanded
volume of transactions
in
the
whole¬
sale markets last week but failed
to
the
overcome
tiousness.
about 5%
tailers
all
fill
to
with
with
portion
of
in
diffi¬
more
succeeding
lines
some
week,
at
are
a
Department
store
country-wide basis,
Federal
dex,
year
a
Reserve
for
ago
with
on
Board's
in¬
the
v/eek
a
ended
28, 1945.
This compared
gain of 18 % in the pre¬
ceding week.
ended
For the four weeks
April
28,
1945, sales in¬
creased by 3%, and for the year
to date by 14%.
*
a
interest in
flood cov¬
large.
previous
meats
week's
and
some
volume.
canned
only
a
brand,
new
It
is
enough
easy
price of
"fixed."
ings, cotton dresses
the
making
that
grade
another grade,
the
price
been
handbags;
or
the smart boys
manufacturers stop
as soon as
this
do
"fix" the
to
grade of-stock¬
some one
but just
of
you
the
which hasn't yet been
price of
says:
any
She offers
of
and
which
"fixed."
get
shape,
or
has
"All
out
color,
or
not
yet
right,"
you
"then fix the price of every
grade, shape and color."
Well,
reader, if you did this then
say,
dear
the
manufacturers
would
stop
Under similar
making them all.
conditions
raising
more
farmers
food.
If
they
wages
get
way
goods,
more
would
they
stop
must
pay
in
some
for
their
must
money
else quit.
or
Cost of Living
However,
article
is
the
Washington
of
this
criticize
my
They
are
purpose;
not
to
friends.
doing the best they can.1* Only
they should honestly tell you that
while they can fix prices, they
cannot fix both the cost of
the
and
long
standard
people
as
money,
these
of
one
living
living. f So
of
think
only
ol
down
goes
just as sure as the other goes up.
Jesus knew this when He told the
worked
world
The
long drown out session of
to
the
disadvantage
retail trade the past week.
of
Sales
volume totals for department and
retail stores, however, continued
well
above
one
wholesale
year
ago
as
line
grocery
surplus
stocks
in
V-E Day was
shortages
the
meat
week
dug into
belief
imminent.
of
saies
over a
merchants
more
In the
ago.
showed improvement
that
The garment industries are con¬
tinuing to wage their campaign
against
M-388
and
MAP,
but
plan
should
limited
a
that
ago
is
The
worship
to
way
get
the
There
and
only
is
is
in
one
clothing
by raising
back
your
of your
more
we
less
food,
That
vegetables
making
answer?"
is that
money
more
shelter.
and
the
answer
harder.
work
yard,
some¬
years
what
ask.
more
what.
manufacturers
"Well,
you
poultry,
and
2,000
"love of money is the root of all
evil."
Due to
retail food volume declined
own
clothes and building more houses.
Our standard of living will never
permanently be raised by getting
more
money!
It will be raised
only
by
thinking
harder
and.
working harder.
I also .get this
from
the
Bible:
Jesus
number of showings of fall lines
answer
of
coats,
in
the
said:"Give good measure."
Paul
said: "Unless a man work he shall
suits
and
month.
dresses
The
later
general
out¬
look,
however,
continues
con¬
fused, with no easing of the tight
textile situation during the week.
It appeared likely that dry
jobbers
would
obtain
the-counter sales
as
goods
larger
quantities of yard goods for
made
was
by
converters,
of gray
than
goods is
at
since
the
now
war
began.
Bank's
index,
department
store sales in New
York City for
weekly period to April 28,
1945, increased by 14 % above the
same
period of last year.
This
the
with
a
and
•
gain of 19%
in
the
preceding week. For the four
weeks ended April 28, 1945, sales
rose
by 9%, and for the year to
date by 15%.
v
Appoints Executives
Jones
Dow,
lishers
nal,
&
of The
Co.,
Wall
to
Inc., pub¬
Street
the
announced
executives
of
According to the Federal Re¬
serve
higher standard of liv-v
better
working ; con¬
ditions, but it is very foolish to
have money which gives neither.
ing
scarcity
acute
more
time
any
It is okay for everyone
a
of
however,
to the effect that the
not eat."
to have
over-
result
a
their reclassification to group two
under
MPR-127.
The assertion
Jour¬
appointment
several
created management
newly
posts, as fol¬
lows:
1
H.
William
The
Wall
Grimes, editor of
Journal, is also
Street
made editorial director of all pub¬
lishing
activities
affiliated
and
Robert
M.
of
/
is
Feemster
General
Assistant
Dow-Jones
companies.
<:
made
Manager
in
charge of sales of all publications
services of these companies.
and
He has been director of advertis¬
New Cuts in Food Rations
The Office
of War Information
announced
on
duction
consumers'
sugar
world
ated
in
May 1
a
sharp
rations
re¬
of
necessitated
by
reduced
supplies and tremendously
requirements for liber¬
Europe
civilian
as
well
as
consumption
a
rate of
exceeding
allocations.
The
Foreign
production, according to the Asso¬
ciated
Press
from
Washington,
May 1, and intimated that ration¬
ing adjustments in certain foods
will
products sales held up to
stockings."
rainy weather here in New York
10% slump this year in U. S. food
above
those
a
very
seasonal
(Continued from first page)
to the store to get these same
stockings
and
the
clerk
"Sorry, but we haven't got
taken from
10% ahead of that of
were
April
sales
as
Inter-Agency Committee on
Shipments, headed by
Foreign Economic Administrator
Leo T. Crowley, predicted a 5 to
and
go
low point.
very
the
reported
goods
small
de¬
Inventory replace¬
each
and stocks
in¬
constant
have
a
Re¬
for
Merchandise
in
becoming
are
cau¬
ago.
call
distributors
only
requests.
ments
cult
year
to
was
but
they
which
the
a
of
estimated
was
allotments.
kinds
mand,
that
above
continued
creased
of
attitude
Volume
Hard¬
Paints
in good de¬
shops sales con¬
were
Garden
tinued
;
for
Regional percentage
New England, 3
to 12; East, 11 to 15; Middle
West,
3 to 7; Northwest, 4 to
8; South,
15
to
20; Southwest, 12 to 16;
Pacific Coast, 9 to 14.
year
increases
increased
Kousefurnishings
ware
a
curtailed
jewelry for Mother's
last year and last week.
stores
in
cosmetics
Day gifts increased slightly
or
estimated
was
compared
Women's
well
volume
and
scarce
v
and
popular.
very
and
the
of
were
well,
price index, compiled by Dun &
Bradstreet, Inc., moved slightly
Thursday.
Aires
1.
mand.
foods in general use.
Wholesale
Pur¬
Buenos
uninterrupted
men's
price index,
compiled by Bun & Bradslreet,
Inc., registered $4.10 as of May 1,
unchanged from the previous fig¬
ure,
In
receded
an
been
Silver—The London market for
The
orices
pro¬
ended
the comparable week a year ago,
the
American
Paper and Pulp
Association's
index
of mill
ac¬
disclosed.
offerings.
slow
heretofore.
April 28 was 87% of capacity, as
against 90.7% of capacity for the
preceding week and 89.8% for
tivity
of
but
shipments- 2.5%
de¬
continued
rate.
furnishings,
Production—Paper
for
active
ex¬
was
in
were
chasing in Australia continued at
and
thr.i production.
Paper
lack
to
mills
mills
orders
wools
sales
8.6%
reporting
greater,
greater,
duction
nomics
•
Compared to the average corre¬
sponding week of 1935-39, pro¬
to
the carriers
with the Bureau of Railway Eco¬
to
orders ran 14.4% above output.
less
by
■
reporting identical
production by
compared
with
$53,800,000,
652,620 in March, 1944, according
filed
production.
amounted
ceeded
15.2%
reports
these mills
of stocks.
net
$62,-
files
1945,
For the year-to-date shipments
had
income,
for
than
less
order
duction
estimated
lumber
April 28,
orders
78%
were
March, 1945,
an
ended
new
roads of the U. S. in
after interest and rentals, of
Na¬
shipments of 476 reporting mills
were
1.8% below production for
the
due
but
,
were
caused
cases
H
as
considerable hesita¬
tion in stocking wool for third
quarter requirements due to talk
ing
loadings
the main influ¬
Spotty conditions dominated the
an
that
those
over
of possible contract cancellations.
subsequent
Shipments—-The
reports
sharply
rose
year's
tional Lumber Manufacturers As¬
Railroad Freight Loading—Car-
reached the
Sales in spot
Spot
of this section.
Lumber
prices
new
while
a
week earlier.
Mill pricefixing against textile awards and
mand
many
volume.
ad¬
of
ago.
-
prices
years,
highest since 1925.
pages
see
17
for
spot
average
1,754,700 net tons, last
week and. 1,780,500 tons one year
1945,
futures
and
crude oil produc¬
tion figures for the week ended
28,
the
began in the last week of
and
coal
statistics
average
April
receipts.
upward trend
this week to further
daily
to
a
current market
high levels
point from last week's rate, and
is equivalent to 1,741,900 net tons
of steel ingots and castings, com¬
pared
as
at
cotton
163,300,000
kwh.,
compared with 197,600,000 kwh.
for
the corresponding week
of
compared
quiet
continued
vanced
'
reports
crease
United
Northwest.
was
stocks
seeding
the
March,
Consolidated Edison Co. of New
York
lard
Continuing
year
_
in
Canadian
in
in
which
corre¬
one
ago.
slowed
of
level.
Hog prices remained
ceilings, with no improvement
at
preceding week.
Output for the
week ended April 28, 1945, was
1.8%
and
wet
growth
low
in the week ended
sponding week of 1944, or
•
Iron
American
approximately
group
this week to
Congressional
continued
exert
are
steel prices
Meanwhile
structural
adjusted.
be
sheets
increased to
and
wheat
available
States
and
retarded
grains
spring
output of electricity
to whether hot rolled
as
of
Trading
steel.
rolled
pipe and
strip,
question
cold
on
small
has
Electric Institute reports that the
sheets,
a
.
Cold
years.
steel
the
rolled
semi-finished
and
17
weather
in
Electric Production—The Edison
plates, wire rods, steel bars, nails,
fencing
in
week,
last
allowed
be
soon
industry
Moderate
appeared
District, two
Region, and 11
under
heavy im¬
oats.
Large
of -Canadian
ports
Western District.
is expected
announcement
advanced
speculative interest in rye sent
futures prices to the highest level
were
Eastern
"higher ups" in the Government.
An
Oats
broad demand despite
the first three
in
rentals
'*
corn,
Class I roads" failed to earn inter¬
and
firm tone,
a
higher despite a sharp
in
offerings
of
cash
increase
of
lin
Retail
receipts expanded consid¬
erably, with good demand holding
prices at ceilings.
Corn futures
same
goods, however,
year ago.
wheat
compared
their
and
the corresponding
on
although prices fluctuated irregu¬
larly
during
the
week.
Cash
of
paid
the
a
week previous,
a
Grains maintained
For the month of
alone
crease
ible increases.
be
date
amounted to
proaching the point of actual an¬
nouncement by OPA of permiss¬
must
Class
period of 1944.
der
ever,
,
171.77
increase
months
in taxes,
$436,580,160 in
with
Its decision, how¬
three
$414,993,245
to pose a serious problem, if auto¬
mobile sheets are to be produced
■It With respect to steel prices, the
situation last week was slowly ap¬
,
t
or an
of 3.4%
Sheet backlogs and current sheet
demand for
.
ing period of 1944,
176.67
with
(Continued from page 2090)
.
trade
May 1, which compared
on
with
2099
be
likely.
The Committee
said, however, that "our food sup¬
of
ing
Wall
The
Street
Journal
(New York and Pacific Coast Edi¬
f
and Barron's.
tions)
J. J. Ackell,
previously Produc¬
tion Manager of The Wall Street
Journal, becomes Assistant Gen¬
eral
Manager in charge of all
operations.
These
appointees with J. C.
Hoskins, Secretary and Treasurer
of
Dow, Jones & Co., Inc., are
named
members
of
a
newly
formed central executive commit¬
tee.
Other
are
appointments announced
Leslie
to the
tion
Wall
Davis, special assistant
publisher, previous Circula¬
Promotion
Street
F. Mowle,
Manager
of
The
Journal, and Thomas
CPA, Comptroller, for¬
of Lybrand, Ross Eros. &
ply is adequate to keep America
merly
healthy and vigorous."
Montgomery.
THE COMMERCIAL & FINANCIAL CHRONICLE
2100
Thursday, May 10, 1945
Moody's Common Stock Yields
National Fertilizer Assoc. Fractional Advance
For
yields in prior years see the following back issues of the
"Chronicle": 1941 yields (also annually from 1929), Jan. 11, 1942,
Price Index to New High Peak
Takes Commodity
page 2218; 1942 levels, Jan. 14, 1943, page 202; 1943 yields, March 16,
1944, page 1130; 1944 yields, Feb. 1, 1945, page 558.
weekly wholesale commodity prices index, compiled by The
National Fertilizer Association and made public on May 7, advanced
The
MOODY'S
ending May 5, 1945, to the highest
from 140.3 in the preceding week.
The index had held at the average of 140.3 for three consecutive
weeks.
A month ago the index stood at 140.2, and a year ago at
137.1,' based on the 1935-1939 average as 100. The Association's re¬
WEIGHTED
AVERAGE
YIELD
OF
STOCKS
COMMON
200
Average
fractionally to 140.4 in the week
Industrials
Railroads
Utilities
Banks
(125)
point this index has ever reached,
(25)
(25)
(15)
(10)
(200)
6.3
5.2
3.3
3.6
4.6
4.4
1945
February, 1945
March, 1945
January,
port added:
advanced fractionally to a new all-time
peak with the cotton subgroup showing a small rise; the grains sub¬
group advancing with higher quotations for corn and wheat more
than offsetting lower quotations for rye; and the livestock subgroup
remaining steady with declining prices in calves and lambs just off¬
setting the higher prices for live poultry.
The foods index also ad¬
5.9
5.0
3.3
3.4
4.3
4.4
6.2
5.1
3.6
3.5
4.6
4.1
5.5
4.8
3.4
3.4
4.3
4.2
.
1945—
April,
Yield
Insurance
necessity
ported
i
compared with 95.8%
j
1,754,700 tons one week
1,728,100 tons one month ago,
and 1,780,500 tons one year ago.
"Steel" of Cleveland, in its sum¬
mary of the iron and steel mar¬
kets, on May 7 stated in part as
follows: "Although steel buying
Ago
Ago
May 6,
1944
Apr. 7,
and
Fats
Textiles
212.8
207.4
198.9
163.1
162.8
164.9
160.8
161.1
145.8
130.4
130.4
130.1
appears to be a
drop fiti the rate and some mills
recently booking double produc¬
tion capacity now are receiving
133.7
133.7
132.2
not
156.8
156.1
152.0
104.7
104.7
104.7
104.4
154.4
_______—«
—
155.8
156.9
—
——
Metals—
159.6
166.4
160.8
—
Commodities..
146.1
163.1
167.0
133.7
Livestock
Fuels-——.
Miscellaneous
145.3
167.2
—.
145.3
163.1
163.6
„—-1
138.8
130.4
Cotton
Grains__„_w_—_
141.8
213.5
Products
Farm
141.6
163.1
——-
1945
145.3
Oils
Cottonseed Oil-
1945
141.8
Food
1
;
Week
Apr. 28,
1945
Total Index
25.3
Year
Month
Latest Preceding
Week
May 5.
Group
Bears to the
than
more
70%.
"Cancellations show
in
no
increase
154.2
152.4
and
125.4
125.4
127.7
less than March, one factor
118.3
117.7
Fertilizers—
119.9
119.9
119.9
119.7
104.8
104.8
104.8
104.3
flndexes
1926-1928 base
on
were:
May 5,
April 28,
109.4;
1945,
1945, 109.3,
and
106.8.
1944,
May 6,
137.1
140.2
140.3
140.4
t-
"Steel
Moody's Bond Prices And Bond Yield Averages
bond prices
given in the following table. •
.'W-::
U.S.
Corporate by Groups*
Baa
A
Aa
112.19
112.19
119.20
119.20
119.20
119.20
107.09
112.19
107.09
112.19
112.19
112.00
112.00
115.24
120.84
118.40
115.43
107.09
115.24
120.84
118.40
115.24
107.09
115.04
? 20.63
118.40
115.24
106.92
122.38
115.24
120.84
118.40
115.24
107.09
1-1
122.36
i
expected to be revoked within
115.24
115.43
122.38
;■ 4-—_—
v
20—_____
115.24
120.84
118.40
115.24
107.09
122.38
115.24
120.84
118.40
115.04
1 07.09
112.19
114.27
122.44
Apr. 27u,
115.04
120.84
118.40
115.04
106.56
111.81
114.27
114.46
114.46
122.59
115.04
120.84
118.60
115.04
106.56
111.81
122.21
115.04
120.84
118.40
115.04
106.39
111.44
J.22.01
114.85
121.04
118.40
114.85
106.04
111.25
115.04
121.04
118.60
114.85
106.21
111.44
115.04
120.84
118.80
114.66
106.39-
111.07
114.85
120.63
118.60
114.66
106.21
110.88
114.27
114.27
114.46
114.46
114.46
13—_
6-
_
120.43
118.60
1 06.21
110.70
114.27
23w«-
121.92
114.66
120.02
118.60
114.46
106.04
110.52
16
121.97
114.46
120.02
118.60-
114.27
105.69*
110.15
114.08
114.08
114.27
119.82
118.40" 114.08
105.69
109.97
121.33
114.08
119.82
118.00
113.89
105.34
109.60
114.08
114.08
122.25
114.66
122.05
9——,
'
b2_i
A step in this direction
is restoration of the spot authori¬
duction.
zation plan on a
nationwide basis.
While manufacturers permitted to
operate under this plan will not
113.31
104.48
108.52
113.70
118.20
111.62
101.64
105.52
113.70
116.61
112.93
115.82
•■.■t
a\"
•
119.06
109.97
97.31
110.52
■
101.64
Bonds
AVERAGES
rate*
Corporate by Ratings*
Aaa
Aa
A
:
Baa
vide
current
P. U.
2.61
2.73
2.89
3.33
3.05
2.94
2.68
2.89
2,61
2.74
2.88
3.33
3.05
2.94
2.68
2.73
2.88
3.33
3.05
2.94
2.68
2.73
2.89
3.33
3.06
2.94
2.68
•a■3_—
1.63
2.90
2.62
2.73
2.89
3.34
3.06
2.94
2.68
,/
2.'—
1.63
2.89
2.61
2.73
2.89
3.33
3.05
2.94
2.68
~l
1
1.63
2.89
2.61
2.73
2.89
3.33
3.05
2.94
,2.68
...
*'
Robert F.
2.94
2.69
3.07
2.94
2.69
the
2.93
2.69
1.63
2.89
2.61
2.73
2.90
3.33
3.05
'20
1.63
2.90
2.61
2.73
2.90
3.36
1.62
2.90
2.61
2.72
2.90
3.36
3.07
1.64
2.90
2.61
2.73
2.90
3.37
3.09
2.93
2.69
Mar. 31——
1.66
2.91
2.60
2.73
2.91
3.39
3.10
2.94
2.69
23—
1.65
2.90
2.60
2.72
2.91
3.38
3.09
2.94
2.68
13—
_
16
1.65
2.90
2.61
2.71
2.92
3.37
3.11
2.93
1.66
2.91
2.62
2.72
2.92
3.38
3.12
2.93
1.69
2.92
2.63
2.72
2.93
3.38
3.13
2.94
2.67
23
1.69
2.92
2.65
2.72
2.93
3.39
3.14
2.95
2.68
16
on
control
of
pointed
Loree, Chairman of the
Committee, presented
report.
cause
of the failure of the Cham¬
1.69
2.93
2.65
2.72
2.94
3.41
3.16
2.95
1.72
2.94
2.66
2.73
2.95
3.41
3.17
2.95
2.69
ber
2
1.73
2.95
2.66
2.75
2.96
3.43
3.19
2.95
2.71
pending legislation.
Jan.j' 26
1.77
2.96
2.68
2.75
2.97
3.44
3.21
2.96
2.72
2.68
1.80
2.98
2.71
2.76
2.99
3.48
1.62
2.89
2.60
2.71
2.88
3.33
1.85
3.07
2.73
2.81
3.08
3.65
3.42
2.97
3.17
2.75
2.88
3.14
3.92
3.65
3.01
"I hate to
2.86
3.25
" 2.97
2.74
3.05
2.93
2.67
syfooting
'
1945
Mr.
1 Year Ago
1944_
♦These
prices are computed from average yields
coupon,
or
Illustrate
the
in
the basis of
more
of yield averages,
the latter being the true picture of the bond market.
the issue of Jan.
14, 1943, page 202.
these indexes
was
published
position
en
May 3rd
subject,"
great
said
after *he
had
of
the total
number
of
items in the tariff schedules.
-
"Are
-
we
ready
world that we are
part
new?
way
This
to
ask
be good
Mr. Burgess
enough in the
if his address to
course
answer
the
question:
"What is tKe good of interna¬
tional monetary machinery unless
following
merchandise
between
moves
na¬
tions?"
no
shipped to Europe
feeding until prior re¬
quirements had been met, includ¬
ing first, food for our
then
own
Army,
reasonable diet for civilians
a
of the United
ation
States, and continu¬
food
ship¬
lend-lease
of
ments.
The
has
Department of Agriculture
Continental
that
estimated
will need 12,000,000 tons
of imported food in the year be¬
Europe
ginning August, 1945, if starvation
is to be averted in enemy as well
as
liberated territory, according
to
the
Associated
from
Press
Washington, May 6, which
the following details;
total
This
of
could
consist
gave
largely
wheat, the department said, but
should
also
substantial
include
quantities of fats, meats, eggs,
dairy products and sugar.
Except
for wheat, world supplies of these
commodities
short
far
are
of
de¬
mands.
In
report prepared by its Of¬
Foreign Agricultural Rela¬
tions, the department said Euro¬
pean production during the cur¬
rent season is expected to drop
from 5 to 10% below last year's
level, which would be the lowest
a
fice of
since the outbreak of the
ABA Booklet
In
a
war.
on
Term Loan
to create
move
a
vigorous,
nation-wide interest in term loans
and
to
those
assist
banks
which
contemplate
launching a term
lending program, a new informa¬
tive booklet titled "Term Lending
by Commercial
mailed
to
tion, it
every
Banks" has been
bank in the na¬
announced today by
was
Post-War
the
Small
Business
Credit Commission of the Ameri¬
can
Association.
Bankers
Published by the Association of
Reserve City Bankers and distrib¬
practices which have evolved
a twelve-year span of bank¬
ing experience with term loans
and anticipates that this type of
lending will play a profound part
in
the
banking spheres of the
post-war period,
v
his
(During
dolph
Moody's Baity
Commodity Index
Tuesday,
Burgess,
address
W.
Ran¬
Thursday,
President of
the
Association,
referred to Mr. Schieffelin's ques¬
in
is
•
to
show
the
prepared to go
trying
the
something
first
test.
I
256.7
1945
May
256.9
256.9
2_
3_______
May
4
Saturday, May 5
Monday, May 7
Friday,
Two
May
weeks
ago,
1944
High,
Low,
256.9
256.8
April 24
255.4
______
1944
249.6
31__—__________
Dec.
254.4
1
May
Jan.
256.7
7
8,
Nov.
High,
256.8
._
April
May
Low,
—_
8__.
ago,
ago,
Year
1943
256.8
May
Tuesday
Bankers
American
1,
May
Wednesday,
Month
245.7
2
256.9
24
252.1
that the ability of nations to repay
loans
depended upon the flow of
trade.)
•
.
freight.
such
Two other
and
Commission
use
dermine
criticized
laws by
of the anti-trust
regulation
railroad
of
freight rates by the commission.
One
report endorsed
the Bulwinkle bill (H. R. 2536) which
would exempt lCC-approved rate
agreements
and
the
railroads
making them from application of
the anti-trust laws.. The other re¬
port opposed the Johnson
R.
2041)
of
bill (H.
In
declaring
that the ICC
generally regarded
was
being free
from political influence and op¬
erating with due regard to justice
and
economic welfare
the
nation,
as
the chamber
"It would be
ity to create
an
a
of
report
the
said:
economic calam¬
situation where the
highly technical question of rates
would be a political football."
The chamber also reaffirmed its
approval
of
legislation
repealing
that part of the Transportation act
which requires land grant rail¬
which would amend the
roads
establishing a uniform
class rates for railroad
the transportation of military and
ICC act by
scale
legislation.
reports unanimously
adopted defended the rate-making
powers
of the Interstate Com¬
the
The Southern Governors
Conference has been interested in
•
the Department of Justice to un¬
the Chamber pus¬
this
on
the
on
Doughton bill could apply to only
average
of actual price quotations.
They merely serve to
comprehensive way the relative levels and the relative movement
see
Shieffelin
one-sixth
"typical" bond
movement
fThe latest complete list of bonds used in computing
In
one
maturing in 25 years) and do not purport to show either the
average
a
on
a
pointed out that the 50% further
tariff
reduction
sought
in
the
Ago
1943-
take
to
like
should
merce
2.82
1.93
1945
be
relief
tion and said it must be admitted
9—
*
food would
for
from
Meeting
if he will
the renewal
of the Reciprocal Trade Agree¬
ments act and the Doughton bill
evoked sharp criticism from Wil¬
liam J. Shieffelin, Jr., member of
the Committee on Taxation, be¬
2.68
2
held
A factual report on
2.68
9
financial
report
Executive
Apr;' 27L___
was
out that
there are at least forty-two such
corporations, that they are tax
free and without adequate audit
or control,
and that their opera¬
tions cover a wide range of busi¬
ness
activity involving the ex¬
penditure of billions of dollars.
Indus.
2.89
i»_
Washington, May 3.
that no commit¬
stated
uted by the 4BA Commission; the
booklet sets forth the principles
1942."
Chamber of Commerce of the
May 3 at 65 Liberty Street, New York
corporations.
Corporate by Groups*
R. R.
2.61
(3^4%
"April movement of Lake Su¬
perior iron ore set the second
highest mark for that month, with
7,782,074 gross tons, 1,993,995 tons
greater than in April, 1944, and
exceeded only by the record of
7,857,106 tons shipped in April,
177th Annual
The
-2.61
level
re¬
The 177th Annual Meeting of the
Individual Closing Prices)
1.63
_
from
and
such
1.63
8.
WPB
1,
N. Y. Chamber of Commerce Holds
Avge.
Corps-
115.43
BOND YIELD
on
\
•. -
118.00
MOODY'S
Govt.
8,
production April
ports.
At the meeting the chamber unanimously adopted a report urg¬
ing enactment of the Byrd bill (s.469) to bring Government-owned
corporations and their transactions and operations under the annual
scrutiny of Congress and to pro-<5^—
:
—•
117.80
U. S.
2 Ycjirs
in
of
source
City.
2.89
May
the
shortage.
Of 214
available blast furnaces 207 were
cause
State of New York
2.89
May
scrap
118.60
1.63
Low
use
of
supply
has caused
of pig iron, a main
steelmaking
119.61
1.63
High
of
Limited
113.89
4_<___
*
fall.
114.46
5
'
soon,
109.24
7i_'2_
Feb.
in
last
blown
since
112.19
8
1
O., district will be
after being idle
Youngstown,
main
the
One stack in the
available.
are
105.17
i'
■
reports, and plans are in making
for relighting idle blast furnaces
when coke supply and manpower
107.09
116.80
Daily
*'
tions.
113.70
118.80
Averages
•'
future posi¬
on
115.43
118.40
8,,. 1943.
6
principally
118.00
113.50
1945—
..
fallen
118.80
(Based
,
materials
lations have been made they have
119.41
111.81
2 Years Ago
May;
degree and deliveries still
well extended.
Where cancel¬
same
121.04
120.55
—
1944.
t
adjust¬
113.89
119.52
1945,—,
May
and
115.24
1 Year Ago
.
cancellations
been
have
120.88
1945—
May
There
bars.
122.59
26—
High
Low
steel and
and
allowing
moderate increase in civilian pro¬
119.20
118.80
122.19
16---A—, t: 122.47
Jan.
other
a
affecting
time,
119.41
119.41
121.58
23,^-—
Feb.
short
119.20
119.41
119.41
119.41
119.61
Mar. 3i„_—
v,
noticeably relaxed and more than
those recently in effect are
119.41
119.41
119.41
119.41
119.41
119.41
119.41
118.40
118.20
122.38
i
•.
-
being
are
114.27
114.27
114.27
114.27
114.27
114.27
114.27
120.84
120.84
and
sheets
in
increased
orders
half
115.24
21311111
L
"Limitations
Indus.
115.24
122.38
•
Washington
is
its
transition
planning, a substantial drop is ex¬
pected before civilian production
on
P. U.
122.38
•7
ex¬
R. R.
122.38
0—_
May
Aaa
rate*
fast
are
is well under way.
Corporate by Ratings*
Corpo¬
Bonds
cautious
are
While
working
f
Avge.
Govt.
,<W;
Dally
consumers
further cancellations
pected,
are
Yields)
(Based on Average
1945—
averages
MOODY'S BOND PRICESt
;"
Averages
bond yield
and
past, a situation not existing
in other leading products, notably
"Pig iron supply is lowest in 18
months, War Production Board
cases
needs.
computed
believe most of their cutbacks
level,
another
being
that
claimant agencies may be holding
positions on mill books for later
and
Moody's
60 to
arc
r.'J it.
:'
importantly,
most
April brought
prob¬
ably being that cut-backs have
not yet reached the subcontract¬
some
ing
J- All groups combined
.
plates
producers now able to quote
90 days delivery.
Platemak-
ments in both these but not to the
;
Farm Machinery
100.0
with
ship^pjfnts, there
118.3
——
Drugs—
"Cutbacks to this time have af¬
fected
are
154.4
and
Materials——.————
steel.
excess
ers
125.4
Chemicals
primp materials they will be al¬
lowed greater access to idle and
continues to exceed production and
118.3
Building Materials—
Fertilizer
be
ments had been made and that
week ago, 94.3% one month ago and 99.4%
pared to
1935-1039=100*
:
Each.Group
one
ago.
year
ago,
Compiled by The National Fertilizer Association
:
May 7 announced that
on
The operating rate for the week beginning May 7
is equivalent to 1,741,900 tons of f
steel
ingots and castings, com¬ be given allocations at present on
one
INDEX
WHOLESALE COMMODITY PRICE
WEEKLY
The American Iron and Steel Institute
5 advances and 4 declines;
5 advances and 4 declines,
week there were
in the second preceding
0J%—Purchases
Output and Shipments
telegraphic reports which it had received indicated that the operating
rate of steel companies having 94% of the st'feel capacity of the
industry will be 95.1% of capacity for the week beginning May 7,
the index advanced and 3 de¬
clined; in the preceding week there were
•
Decline But Exceed
and dressed
All other groups
small advance.
During the week 6 price series in
V'
Sieei Production Declines
unchanged.
of the index remained
Economic Administrator,/ declared
that " the United States must of
Crowley
of higher prices for potatoes
The textiles index showed a
fowl.
Stating that nearly 250,000,000
people in Europe will have to re¬
ceive supplemental food "just to
exist," Leo T. Crowley, Foreign
supply," the Associated Press re¬
The farm products group
vanced fractionally because
Europe Wit! Have Heavy
Food Requirements
naval
to
give
reduced
rates
property and personnel.
for
Volume
Number
161
THE COMMERCIAL & FINANCIAL CHRONICLE
4384
earthwork and drainage, $877,000; streets abd
Weekly Coal and Coke Production Statistics
The
(Unclassified
production of soft coal in the week ended April 28,
1945, is estimated by the Bureau of Mines at 11,980,000 net tons, an
increase of 730,000 tons, or 6.5%, over the preceding week, according
to the United States Department of the Interior.
Output in the cor¬
responding week of 1944 was 12,337,000 tons.
The total production
of soft coal from Jan. 1 to April 28, 1945, is estimated at 194,321,000
net tons, a decrease of 8.0% when compared with the 211,309,000 ions
28, 1945,
estimated by the Bureau of Mines, was 1,363,000 tons, an
preceding week. When com¬
as
pared with the output in the corresponding week of 1944 there was
increase of 19,000 tons, or
an
1.4%. The calendar year to date shows
12.6% when campared with the same period in 1944.
decrease of
a
The Bureau also reported that the estimated production of
hive coke in the United States for the week ended April 28,
bee¬
1945
purposes
for the week totals $11,-
147,000.
It is made up of $9,912,000 in State and municipal bond
sales, and $1,235,000 in corporate security issues.
The week's new
construction
financing
brings
eighteen-week period,
a
year ago.
1945
total 29%
a
;;!/l? vr
"
to
volume
$289,840,000
below the
the
for
$405,598,000 reported
'• ■'v.'.1,
'V
'/
Identified
posed
for
and
construction
Jan.
valued
1,
at
1943
to
engineering construction
the
post-war
total
years
projects pro¬
$20,418,890,000
"Engineering News-Record" in the period
through April
$8,497,406,000, 4iy2%
completed, and
or
in
Fiduciaries^ Safe
Savings,
Comptrollers
Auditors, of St. Louis and St.
Louis County, held a joint confer¬
Deposit,
and
of
St.
ciations
at
ence
The
recorded
according to reports
from
Bank Ass'ns Meet
The Corporate
26,
the
of
On post-war
1945.
total,
plans
are
Asso¬
Coronado
the
Hotel.
projects
under way
to
was
of
purpose
provide
'
this, meeting
opportunity
an
discuss
operational procedure
tinent
to
banking
various
and
service to
These
$1,164,546,000 worth of projects all financing
on
Louis Bankers'
Wednesday, April 25, 1945.
Post-War Construction Planning Volume $20.4 Billion
produced during the period from Jan. 1 to April 29, 1944.
Production of Pennsylvania anthracite for the week ended April
increase of 22,000 tons (1.6%) over the
'roads, $5,965,000, and
construction, $4,865,000.
New capital for construction
total
21 Of
to
to
per¬
problems
of
better
promote
customers.
;
discussions
led
were
by
Joseph W. White, Vice-Ifresident,
arrangements have been completed.
when compared with the output for
the week ended April 21, 1945; but was 9,000 tons less than for the
Mercantile-Commerce
corresponding week of 1944.
rangement of varied subjects. The
showed
increase of 24,800 tons
an
ESTIMATED
PRODUCTION
STATES
UNITED
LIGNITE
IN
1945
•Revised.
'
s 1944
Net
5Apr. 21,
tApr. 28,
a
Tons)
of
round-lot
Apr. 29,
Apr. 28,
figures.
May. 1,
Apr. 29,
Short
1944
1945
1944
1937
♦Total incl. coll. fuel
1,363,000
1,341,000
1.344,000
18,961,000
21,685,000
1,308,000
1,287,000
1,290,000
18,202,000
20,818,000
18,582,000
131,200
106,400
140,200
1945
1945
Penn. anthracite—
shown
are
'
J
•Includes
washery
tExcludes
operations.
dredge
and
coal,
shipped
coal
1,241,000
2,606,400
truck
by
tSubject to revision.
colliery fuel.
ESTIMATED WEEKLY
and
1,870,200
from
of
the total
(The current weekly estimates are based on railroad carloadlngs and river ship¬
and are subject to revision on receipt of monthly tonnage reports from district
or of final annual returns from the operators.)
State sources
Week Ended
Apr. 21/
Apr. 22,
Apr. 14,
,
1945
State-
7,000
6,000
6,000
—
62,000
63,000
150,000
126,000
ended
1,000
Illinois
1,448,000
1,297,000
Iowa—
336,000
532,000
39,000
34,000
45,000
————»—,.——
—
118,000
143,000
968,000
760,000
953,000
Kentucky—Western
Maryland
363,000
372,000
70,000
—
New Mexicol_i
.
28,000
North & South Dakota (lignite).—
A
'
90,000
60,000
39,000
4
1 -3o,ooo
37,000
Sales
585,000
2,260,000
114,000
55,000
'666,000
1,000
—
2,000
134.000
Texas (bituminous & lignite)
Utah
:
*
335,000
Odd-Lot
of
Accounts
1,137,000
14,
tlncludes operations
.
/<,.
•
.•
,
,
11,250,000
10,270,000
•
and
Oregon.
*Less than
1,000 tons.
,
States
the
totals
$40,576,000 for the' week.
construction
the
outside
volume
by military engineers
in
continental
country,; and
shipbuilding, is 26% higher than in the
preceding week and 10% above the previous four-week moving aver¬
age, but 3% below the total reported to "Engineering News-Record"
for the corresponding 1944 week.
This report issued on May 3, went
for
225,260
—
-
t
,
.
all
provided
2%
ago
American
3.83
221,100
198,986
purchases—
week's
construction brings* 1945
to
3.35
191,239
...
Securities
Commission
Total
made
/
A.
3
a
summary
transactions
15,56
902,629
Round-Lot
Stock
Sales
'
,
the
on
for
New
Account
of
York
and Stock
(Shares)
1,449,490
V/
1,471,235
Transaction
1. Transactions of
for
Account
of
Members:
specialists in stocks in which
they are regis terea—
Total purchases
'
Short sales
10,705
Other
2.
LOT
Stock
134,405
transactions
initiated
the
on
AND
''
'
'
•'
Number
'
40,550
Total sales
Private Construction
Public Construction
State
4,675,000
23,669,000
and Municipal
Federal
In
week
the
are
classified
4,568,000
22,524,000/
27,538,000
8,185,000
19,353,000
in waterworks, bridges,
roads. Increases
reported over the corresponding 1944 week are in waterworks,
sewerage, bridges, commercial and public buildings, earthwork and
drainage, and streets and roads.
Subtotals for the week in each
class of construction are:
waterworks, $838,000; sewerage, $317,000;
buildings, $8,069,000; commercial build¬
housing, $3,177,000; public buildings, $16,104,000;
bridges, $364,000; industrial
ing and private mass
73,510
purchases
,
of
Total
F6r Week
* 34,030
orders
shares
1,021,243
value
Customers'
♦Customers'
4.14
$42,480,515
<»/,
Customers'
short sales
j;,
other sales——
total
•.»
sales.
■j
Customers'
255,465
sales.
other
sales.
total
sales
Customers'
15.53
Dollar
value
56,182
56,182
Total sales
41,211
•The term
and
tin
their
"members"
Includes
partners,
Including
calculating
these
all
the
total
of
on
tRound-Iot
are
short
Included
ISales marked
sales
with
percentages
which
"other
"short
are
exempt"
Total
exempted from restriction by the
are
their
members' purchases and sales Is
the Exchange for the reason that
sales."
with
"other sales."
11,32 Of
889,398
900,718
$34,638,072
sales
♦Sales
210,290
sales
210,520
marked
ported with
230
.
Round-Lot Purchases by Dealers:
Number of shares
"short
exempt"
314,030
are
re¬
"other sales."
tSales to offset customers' odd-lot orders
Commission's
and sales to
is
Included
.»
tOther sales
regular and associate Exchange members,
special partners.
;ompared with twice the total round-lot volume
;he Exchange volume includes only sales.
33,143
Number of Shares:
Short
Total purchases
,
Round-Lot Sales by Dealers—
0
{Customers' other sales
short
•Customers'
18,455
237,010
Total sales
347
32,796
Number of Shares:
201,420
Customers' short sales
rules
1945
/
Number of Orders:
Odd-Lot Transactions for Account of Specialists—
(lrms
April 21,
Odd-Lot Purchases by Dealers—
72,760
Short sales
industrial, commercial and public
ODDY.
N.
(Customers' sales)
tOther sales
3.
2.85
750
.
Total sales
construction groups, gains over the preceding
buildings, earthwork and drainage, and streets and
47,550
48,270
tOther sales
Total
$40,576,000
13,038,000
v
THE
Total—
4.
May 3,1945
$32,332,000
5,240,000
27,092,000
;
purchases
Short sales....
-
Apr. 26,1945
of
Number
7,000
Other transactions Initiated off the floor—
Total
Ended
(Customers' purchases)
Dollar
3.
ON
DEALERS
Odd-lot Sales by Dealers
Short sales—
itt'Z'
v
THE
FOR
EXCHANGE
STOCK
36,425
tOther sales
"•
OF ODD-LOT
SPECIALISTS
Week
8.54
floor-
Total purchases
the
on
Exchange^. con¬
TRANSACTIONS
ACCOUNT
123,700
Total sales
*
$41,856,000
13,512,000
28,344,000
account
special¬
handled odd lots,
York
STOCK
116,725
tOther sales
$561,-
May 4,1944
Construction..
odd-lot
for
tinuing a series of current figures
being published by the Commis¬
sion.
The figures are based upon
reports filed with the Commis¬
sion by the odd-lot dealers and
specialists.
ru '
t%
21,745
Total sales
who
New
Total for week
—:
—
tOther sales
Round-Lot
Exchange
ists
WEEK ENDED APRIL 14, 1945
?
Short sales—
,
Curb
Members*
Total Round-Lot Sales:
engineering construction volumes for the 1944 week, last
week, and the current week are:
S.
Exchange
public
on
ended April 21 of
126,860
775,769
Transactions
Civil
Total U.
and
of all odd-lot dealers and
$637,018,000 reported for the opening eighteen weeks of 1944. Private
construction, $170,681,000, is 22% higher than last year, but public
construction, $390,481,000, is down 22% due to the 27% drop in
<
even
for the week
complete figures
showing the daily volume of stock
May
910,346
162,000 for the eighteen-week period, a decrease of 12% from the
Federal volume.
falter1,
Trading
165,739
—
Total sales
by 149% but
volume
But
There is
support of the
our
NYSE Odd-Lot
25,500
—
Total purchases
work. The public volume, however, is 3% lower than in the 1944 week
despite the 75% climb in State and municipal volume. Federal work
is 14 and 18% lower, respectively, than last week and last year.
current
American labor
Total—
compared with a year ago.
Public construction gains
last week as a result of the 79% gain in State and municipal
The
the
managements
day, in
a
The
3%
over
with
,
For this the full
war.
.
down
the-.? World
over
who will be doing thejdirty,
bloody work that is the price of
peace."
\
200,900
.
continuous
Mr. JCrug
>
been
•
Private construction for the week tops a week
is
in
occur.
men
20.200
Total sales
3.
to say:
on
letup
We at home must not
3.38
490,290
—
not
further said:
■:
United
This volume, not including
abroad, American contracts
that
a
409,130
t—•
tOther sales.
"M't
Construction Volume $40,578,000 for Week
construction
a
Board, requested orUApril
all war plants maintain
full work schedule for; the; day,
that
long, hard job ahead in the Pa¬
cific, in China, in: Japan 'itself.
81,160
Short sales
engineering
Louis,
Whenever V-E Day comes, J. A.
Krug, Chairman of the War Pro¬
the fighting is not over.
486,100
tOther sales—
Civil
of St.
Krug Asks Fall Work
Day When V-E Gomes
and
.
Total sales....——
.
;
and
Bank
con¬
Tomp¬
Auditor,
Other transactions initiated off the floor-
12,210,000
,
C.
Toastmaster.
as
.
j.
tOther sales—
Total
the N. & W.| C. & O.; Virginian; K. & fit.; 'B. C. &
and on the B. & O. in Kanawha, Mason, and Clay counties.
?Rest of State, including
the Panhandle District and Grant, Mineral, and Tucker counties.
§ Includes Arizona
Comptroller
First National
acted
credit must go to
Short sales—
#
on
Bank
St.' Louis,
William
and
history of
Odd-Lot
Short sales
Total bituminous & lignite..
Research
greatest supply of weapons in the
■
'
/■/
Managing
Company,
"Our forces
//•*•'•
Total purchases
185,000
1.000
<y
2. Other transactions initiated on the floor-
■■
and
Hizone
production will
1945
Total for week
Total sales
1,005,000
179,000
Trust
kins,
so
(Shares)
Members,
of
/
,
—
tOther sales
28,000
*1,088,000
...
the
Short sales
2,228,000
177,000
—
Exchange and Round-Lot Stock
Members*
5,824,290
Account
for
are;registered—
Total purchases
374,000
26,000
2,116,000
§Other Western States
of
'
'2,000
the
General Chairman of the
ference,
181,870
>; :they
140,000
26,000
Wyoming
15.53% of the total
During the April 7
1. Transactions of specialists In stocks In which
150,000
'
2,045,000
—
Stock
York
Account
3,039,000
1
134,000
353,000
;
;
for
Dealers.: and Specialists:
•/
of
Mercantile-Commerce
and
5,642,420
for
Except
28,000
2,667,000
ler,
have
666,000
Pennsylvania (bituminous)
Tennessee^
the New
on
;
Transactions
Round-Lot
:
33,000
Oh in,'U.:
tWest Virginia—Southern
J West Virginia—Northern
Stock
Total sales3.
Chemists
Laboratories, Wilmette, 111. Wins¬
ton G. Ettling, Assistant Comptrol¬
29
tOther sales
.
lignite)
of
Director
duction
Short sales
2,000
:
3,000
or
1,471,235 shares.
Total Round-Lot Sales:
39,000
5,000
37,000,
Michigan———:
Virginia
Washington
exchange of
WEEK ENDED APRIL
372,000
38,000
—.
tute
This
Exchange, member trading during the week
Transactions
153,000
Kentucky-r-Eastern..——
Kansas and Missouri
Montana (bitum. &
that
on
Total Round-Lot
1,528,000
460,000
—.
Indiana————--—.-——^—-—---:
of members
week trading for the account of Curb members of 318,535 shares was
1,000
—
account
Exchange of 5,824,290 shares.
April 14 amounted to 456,885 shares,
volume
163,000
1,000
Colorado.———
the
on
an address entitled, "Things to
Come," by Hilton Ira Jones, Ph.D.,
research chemist, Chairman of the
Chicago Chapter American insti¬
was
Exchange for the
ar¬
featured
was
with member trading during the week ended April 7 of
86,000
Georgia and North Carolina——
other sales in these
i,
358,000
136,000
—
Alaska
Arkansas and Oklahoma—.
all
14.10% of the total trading of 1,129,115.
1944
1945
186.000
transactions
On the New York Curb
STATES, IN NET TONS
Alabama
of
1,202,050 shares, or 15.91 % of the total trading of 3,776,330 shares.
ments
and
account
transactions) totaled 1,812,975 shares, which amount was 15.56 %
compares
PRODUCTION OP BITUMINOUS COAL AND LIGNITE,
BY
Stock
authorized
§Revised.
the
(except odd-lot dealers) during the week ended April 14 (in roundlot
total
States
the
on
for
separately from
■
Trading
Beehive coke—
United
transactions
figures being published weekly by the Commis¬
sales
19,560,000
^Commercial produc..
stock
exchanges in the week ended April 14, continuing
series of current
sion.
Calendar Year to Date
Week Ended
^
volume
the
on
Exchange and the New York Curb Exchange and
members'of these
ESTIMATED PRODUCTION OP PENNSYLVANIA ANTHRACITE AND COKE
(In
the
Stock
dinner session
and
panel
a
by
Commission made public on May
figures showing the volume of total round-lot stock sales
New York
12,337,000 194,321,000 211,309,000
2,056,000
1,928,000
2,066,000
11,250,000
1,875,000
1,997.000
1944
1945
/
2
Apr. 29,
tApr. 28,
Apr. 29,
V
Bank
Company, with
after
New York Exchanges
on
The Securities and Exchange
current'adjustment.
to
fSubject
1945
11.980,000
Trading
AND
COAL
Jan. 1 to Date
''Apr. 21,
Apr. 28,
Bituminous coal & lignite—
Total
BITUMINOUS
OP
TONS
Week Ended
•
including mine fueL.,
Daily average
NET
Trust
less
"other
than
liquidate
a
sales."
round
a
long position which
lot
are
reported with
Wholesale Prices Up 0.1 %
Daily Average Crude Oil Production for Week
Ended
the daily aver¬
crude oil production for the week ended April 28, 1945
was 4,804,815
barrels, an increase of 6,900 barrels per day over the
preceding week and a gain of 373,515 barrels per day over the cor¬
responding week of last year.
The current figure, however, was 22,985 barrels below the daily average figure recommended by
the
Petroleum Admiinstration for War for the month of April, 1945.
gross
Daily output for the four weeks ended April 28, 1945, averaged 4,799,410 barrels.
Further details as reported by the Institute follow:
indicate that the in¬
Reports received from refining companies
dustry
whole
as a
and produced 14,633,000
oil during the
fuel, and 9,379,000 barrels of residual fuel
distillate
barrels of
gasoline; 1,526,000 barrels of kerosine; 4,636,000
barrels of
1945; and had in storage at the end of that week
week ended April 28,
50,966,000
43,102,000 barrels of
gasoline;
grade
civilian
of
barrels
military and other gasoline; 7,772,000 barrels of kerosine; 28,273,000
and 39,813,000 barrels of residual fuel oil.
of distillate fuel,
barrels
AVERAGE
DAILY
CRUDE
Week ++
Allow¬
•P. A. W.
4 Weeks
Change
v
Y',r-
Vj'.'•
'
:
ables
Ended
from
Ended
Ended
dations
Begin,
April 1
Apr. 28,
Previous
Apr. 28,
Apr. 29,
T;,; Y
"
April
?
367,500
—.—-
Kansas
+
269,400
+264,600
„J.
Nebraska
Panhandle
North
367,500
274,000
Oklahoma
Central
273.650
950
1,100
A-—-
378.100
Y
-
352,150
—
Total Texas
Louisiana
71,300
—
143,850
Coastal
Louisiana
"Farm Products and Foods—OPA action in increasing ceiling
prices for white potatoes at certain country shipping points together
apples
largely accounted for an increase of 0.8% in primary market orices
for farm products during the week.
Increases of between 13% and
26% were reported in prices for white potatoes in eastern markets
while apples ranged from 11% higher at New York to nearly 23%
higher at Portland (Oreg.).
Livestock and poultry rose 0.1% because
of higher prices for ewes.
In the grain markets an increase for rye
Total
Louisiana
Arkansas
360,000
80,000
»
Mississippi
400,800
80,317
366,300
prices in primary markets also rose 0.8% during
result of the increase in the fresh fruit and vegetable
a
"Industrial Commodities—Prices for most industrial commodities
were
and
518,800
1,910,350
71,100
295,000
282,500
250
366,100
357,850
steady during the last week of April.
Alabama
v'
300
• ••
.
i?
100
—-
80,200
500
,
Florida
79,550
52,100
79,800
42,900
200
350
6,800
198,200
206,250
250
11,700
13,750
100
63,150
74,000
+
50
,
15
Illinois
205,000
products,
Indiana
„
11,650
—
+
Eastern—
3'
{Not incl. Ill,, Ind.,
Ky.)
64,050
68,200
metal
products, building materials, chemicals and allied
housefurnishing goods and miscellaneous commodities
remained unchanged from the level for the previous week,"
The
Labor
report:
—
Kentucky
Michigan
32,000
27,600
+
1,850
23,200
48,000
+
4.700
47,950
52,100
100,000
106,900
+
850
106,250
23,000
20,500
+
'700
19,950
10,250
+
1,200
9,600
+
50
104,750
112,100
10,500
*,
Mexico
105,000
105,000
Total
East
of
Calif
3,909,000
3,885,415
+
919,400
+
1918,800
918,800
3,885,650
♦P.A.W.
production
crude
derivatives to
gas
4,827,800
recommendations
of
oil
be
and revision
as
The
following tables show (1) indexes for the principal groups
of commodities for the past three weeks, for March 31, 1945 and
April 29, 1944, and (2) the percentage changes in subgroup indexes
from April 21, 1945 to April 28, 1945.
WHOLESALE
PRICES
FOR
v..-.'."
WEEK
ENDED
APRIL
1945
28,
allowables,
■'
■■■/'
Percentage change to
April 28, 1945 from-
4-28
4-21
4-14
3-31
4-29
4-21
3-31
4-29
1945
Commodity Groups—
1945
1945
1945
1944
1945
1945
Includes
several
is
the net
shutdowns
fields
shutdowns
basic
and
which
allowable
as
exemptions
were
of
for
exempted
4,431,300
for week ended 7:00 a.m. April 26,
April
the
calculated
1
entire
on
30-day
a
With
month.
•
1945.
basis
and
the
exception of
fields for which
entirely and of certain other
14 days, the entire state was ordered shut down
ordered for from 2 to
were
4,799,410
as
produced.
are
for 6
days, no definite dates during the month being specified; operators only being
required to shut down as best suits their operating schedules or labor needed to
operate leases, a total equivalent to 6 days shutdown time during the calendar month.
SRecommendation of Conservation
Committee
ports.
the end of February totaled 39,043
against 32,216 tons a year
Battery plates accounted for
27,506 tons oi the total on hand.
tons,
ago.
Zinc
At
of
California
Oil
105.6
105.5
105.1
hearing on the bill ex¬
tending
the
Reciprocal
Trade
Agreements Act
on
April
27,
Ernest V. Gent, secretary of the
American Zinc Institute, declared
that the industry has already suf¬
fered
tariff reductions and
severe
is alarmed at further threats to Its
future existence,.
Should the bill
as it stands become law, the State
Department
would
possess
the
power to reduce the import tariff
slab zinc to 0.4375c. per pound.
on
The zinc industry, in
opposing the
recommends that, be¬
the uncertainty of the
measure,
of
cause
any extension of the Act
should be limited to one year and
no
additional powers
to reduce
103.7
+ 0.1
+ 0.6
+
Whether
+
127.3
123.1
+ 0.8
+ 2.5
105.5
104.8
104.7
+ 0.8
+ 1.6
+
1.7
118.3
118.3
118.3
117.6
0
0
+
0.6
0
—0.1
+
99.1
Fuel and lighting materials
99.1
99.1
99.2
97.3
that
and
area
0.2
0.5
117.0
117.0
117.0
116.9
114.7
0
94.9
94.9
94.9
94.9
95.5
106.2
106.2
106.2
106.0
+
0
106.2
0
94.6
94.6
117.7
117.3
94.4
93.3
116.2
.
113.2
-
0
+
0.2
1.4
0.4
+
+ 1.7
4.4
—0.1
1.4
94.8
94.8
94.8
94.9
93.5
0
101.9
101.9
102.0
101.9
101.0
0
0
100.3
100.3
100.4.
100.3
99.5
0
0
99.5
99.5
98.5
0
+ 0.1
Semimanufactured articles
0.9
The
1.0
for
"Grade
A"
or
were
nominally
follows:
'
99.4
world's
smelter.
market
quotations
0.8
as
9.9.5
follows
Straits quality tin was unchanged
last week at 52c. per pound. For¬
ward
+
+
...
than farm
-•
elsewhere
It
reconstructed;
the Texas
0
0
94.6
be
2.0
0
0
All commodities other
in
ers
can
0.2
83.7
103.8
—
pected to resume before the smelt¬
0.6
83.9
104.3
113.2
diffi¬
are
0
84.0
104.3
—
that
0
83.9
104.3
products—
factors
cult to determine at this time, the
trade believes.
Production of tin
0.1
1:8
83.9
104.3
Manufactured products-—:
All commodities other than farm
various
on
supply of tin. After the smelting
Industry has been rebuilt, either
competitive conditions or inter¬
governmental arrangements will
play a part in fixing the need for
Metals and metal products
_
at
treatment to augment the
128.9
105.7
Miscellaneous commodities
smelter
6.0
129.5
106.5
Housefurnishing goods
tin
Texas City will continue to oper¬
ate after V-J Day arrives depends*
concentrate, when avail¬
able, will move to Texas City for
150.5
Chemicals and allied products„w
the
■
AA
■
1.9
113.3
Raw materials
^
Tin
that such
Hides And leather products
—
Textile products^.__-.__u-.—.
products and foods—
Producers.
the
1944
105.7
827,500
shown above, represent the
amounts of condensate and natural
only, and do not include
last year,
concentrate in the Far East is ex¬
(1926=100)
Building materials
state
tOklahoma, Kansas, Nebraska figures
tThis
;'+; 6,900
4,804,815
and
21,354 tons in February
the Bureau of Mines re¬
Stocks in dealers' hands at
and
ary,
as
Foods-ij-j—~
Total United States
Receipts of lead and tin scrap
lead scrap) by dealers
to 22,406 tons in Feb¬
ruary, against 23,339 tons in Janu¬
partment.
changing prices.
The indexes
preliminary and subject to such adjustment
required by later and more complete reports.
must be considered
3,603,800
913,750
3,700
3,200
Sta¬
tistics will attempt promptly to report
All commodities
California
Metal
tariff rates should be delegated to
the President and the State De¬
8,300
104,800
New
; +
of
Bureau
tistics reports.
times,
Department included the following notation in its
-r"■
;
96,650
21,400
Colorado
against 45,251 tons in February
and 48,169 tons in January, the
American
Note—During the period of rapid changes caused by price con¬
trols, materials allocation, and rationing, the Bureau of Labor Sta¬
19,900
47,000
Wyoming
Montana
of lead in ore and
scrap
by United States smelters
amounted to 46,690 tons in March,
Receipts
50
200,050
12,500
.
The indexes for the hides
products, textile products, fuel and lighting materials,
leather
metals and
75,350
52,400
53,000
offset
April, 1944.
127,250
2,168,800
+
.
than
the week
markets.
Lower prices were reported for rye flour, for onions and for'white,
potatoes in the Portland (Oreg.) market.
During the four weeks of
April prices for foods advanced 1.6% to about the level at which
they stood this time last year.
as
'
dustry.
(chiefly
with higher quotations for cotton and a seasonal advance for
more
Battery
amounted
The report continued:
293,050
250
295,000
—
remained
commodities
the commodities included >.n
nearly 2% higher than at this
the index have risen 0.6% and were
362,300
7,000
+.
industrial
an¬
May J
Commodity prices issued
on
for
time last year.
groups
North
Aprils the, U. S. Labor Department
report
"Prices
374,000
—V
2,163,550
%2,170,278
2,170,000
—
said:
the past four weeks average prices for
143,800
565,250
Texas
its weekly
further
The advance in agricultural commodity prices brought ihe
all-commodity index to a new high, 105.7% in the 1926 average.
In
352,150
565,250
-
'f
bruits
steady.
378,100
7,000
138,550
Texas
Texas
91,100
90,000'
150,000
489,500
—.
489,500
Texas
Coastal
265,350
150,000
.vJ; >;+
East
Southwest
8,550
90,000
Texas
Texas
-East
333,850
t900
1,000
Texas
West
365,950
—
in
nounced,
which
brisk..
was
observers
believe,
are
counting on an early resumption
of activity in the automobile in¬
"Food
+16,200
363,550
index for the last week of
Call for anti-
previous.
lead
makers,
vegetables—particularly apples and potatoes—resulted in a fur¬
ther advance of 0.1% in the Bureau of Labor Statistics all-commodity
of
1944
1945
Week
1945
increases in primary market prices for fresh
week
monial
by slightly lower quotations for corn and
wheat.
Hay also declined.
Average prices for farm products were
2.5% higher than at the end of March and 6% higher than at the end
Week
Recommen¬
the
for Week Ended
and
was
Actual Production
•State
YY''".:,YYY Y/Y/,,■
(FIGURES IN BARRELS)
PRODUCTION
OIL
Substantial
approxi¬
to stills on a Bureau of Mines basis
ran
mately 4,780,000 barrels of crude oil daily
Thursday, May 10, 1945
April
April 28,1945 Increased 6,960 Barrels
The American Petroleum Institute estimates that
age
& FINANCIAL CHRONICLE
THE COMMERCIAL
2102
May
June
'"July
April 26
CRUDE
RUNS
AND
;
: "
:>
•
TO
STILLS;
UNFINISHED
PRODUCTION
GASOLINE,
GAS
RESIDUAL FUEL OIL,
{Figures in
OF
thousands
Figures
estimate
OIL
WEEK
of
in
GASOLINE;
AND
of
DISTILLATE
ENDED APRIL 28,
barrels
this
STOCKS
of
42
section
of
FUEL
CHANGES
AND
and
Mines
21,
1945
TO
APRIL
28,
1945
Increases
Fruits and
each)
totals
plus
therefore
are
52.000
52.000
52.000
52.000
52.000
5*> WO
May 1
FROM
52.000
April 30
IN SUBGROUP INDEXES
52.000
52.000
52.000
52.000
52.000
52.000
52.000
April 28
APRIL
1945
reported
amounts
Bureau
PERCENTAGE
FINISHED
vegetables-—
Livestock
include
unreported
.
gallons
OF
52.000
April 27
-
and
Other farm products--
4.6
poultry
__
1.5
May 2_„_
0.1
on
'■
a
Decrease
Grains-;
:
•*.:•
at 51.125c.
.
99%
or
52.000
52.000
tin, continued
pound.
per
0.4
—
—
52.000
Chinese,
an
basis-—
-
SGasoline
% Daily Crude Runs
Refining
Pro¬
to Stills
duction
of
at Ref.
Gas Oil
of Resi¬
Mili¬
Inc. Nat.
& Dist.
dual
tary and
vilian
Fuel Oil
Fuel oil
Other
Grade
5,961
6,588
7,463
Capac- Daily
ity ReDistrict—
East
Ayer- % Op-
porting
.
Coast
age
erated
743
99.5
Quicksilver
tStocks
Blended
93.9 1
tStocks tGasollne Stocks
5,796
2,075
Ci¬
Trading
Ron-Ferrous Metals
On
Appalachian—
District. No.
1-
76.8
108
74.0
81.2
64
128.0
767
89.5
2,856
389
82.9
243
73.6
"
162
indy "ill., Ky.__—;—87.2
Ukla., Kans., Mo,_^—
78.3
InlandJTexas
59.8
•
District No. 2
289
'172
1,147
160
588
854
i;759
6.7G5
16,321
1,430
1,803
1,163
1,924
7,616
1,007
330
777
1,227
1,675
415
:
Gulf Coast-—,-
89.3
1.158
93.6
5,955
5,817
9,692
5,346
oufsiana Gulf Coast-
96.8
221
85.0
619
1,496
1,382
2,340
2,339
55.9
83
65.9
258
688
232
950
1,967
20
55
Texas
i
No.
La.
& Arkansas
!
3,519
.
Rocky Mountain—
District No. 3--—-
17.1
12
92.3
District No. 4
72.1
101
63.5
891
89.6i
36
11
36
296
295
603
2,086
7,580
21,751
►
444
1,944
11,417
4,264
"
California
85.5
;
stated:
basis April 23,
•
1945
85.6
4,780
88.0
28,273
39,813
*43,102
50,966
85.5
4,676
86.1;
.'Includes
f
HI
remains
1944
m
the
and
name
military
of
the
Note—Stocks
of
Buying
and zinc remained
Fabricators
in¬
were
engaged in adjusting operations to
war demands.
Lead buy¬
ing continued in good volume.
36,758
51,547
which
about
from
quarter
imately
copper
a
will fall
shift to
After V-E Day
war.
duction
first
with
15%
actual
use
would
be
a
one-
the re¬
in
approx¬
of
copper
quarterly, the Copper Division re¬
74,000
tons
unfinished;
title
to
4,364,000
1944.
barrels
and
8 483 000
'
*
barrpR
°<*rreis,
at April 28,
1945,
amounted to 7,772 000 barrels
week earlier and 6,683,000 barrels a year before
'
as
ports.
/
' '
was unchanged. Anti-'
Domestic production of copper
and cadmium remain tight." continues to
suffer
because
of
The publication further went on
manpower L shortages,
but
in¬
to say in part:
';:Ai creased imports are adding to the
.
total
meet
Sales
for
7,601
tons,
reduced
war
demands.
delivery.
some
sellers
that
not
much
available.
Spanish quicksilver held
advanced
basis
at
of
the
$155
flask, duty paid, New York,
May shipment from abroad.
per
.
Consolidated
Co.
of
Mining & Smelting
Canada
produced ; 8.052
quicksilver
in
1944,
against 22,133 flasks in 1943, the
flasks
of
annual
report
to
stockholders
states.-
Producers
Coast
to
report
the
Pacific
market
$153
per
unchanged at $151
flask, Coast basis.
*
Silver
problem, judging by the continued
fairly active demand for the metal.
the
reporting
was
Lead
Consumers of lead
Buying of copper last week
again was on the quiet side, with
consumers engaged in the process
of adjusting their inventories. to
' WPB officials estimated that the
nearby
ended
supply.
Copper
ly
and
week
inclined to ask $157 for
spot
metal
mony
and
spot
the
were
the
Quicksilver
finished
kerosine
flask,
front
copper
50,631
barrels,
week ended April 29,
7,688,000 barrels a
York continued at $156 to $159
per
portant civilian products.
30,146
grades,
respectively
rxpectively, in
against
the
recently
51,617
the
1,555,000
that
military needs for
43,487
•
and
estimated
govern the flow of critical mate¬
rials for military orders and im¬
40,492
producing company; solvents, naphthas, blending
currently
ndeterminate as to ultimate use, and
11,486,000 barrels unfinished
this week, compared with 11,640,000 barrels
a
year
ago.
These figures do
r
t
include any gasoline on which title has
already passed, or which the military
f rces
may
actually have in custody in their own or leased
storage.
tStocks at
r
ineries, at bulk terminals in transit and in pipe lines.
iiNol including
1,526 000
rrels of kerosine, 4,636,000 barrels of
gas oil and distillate fuel oil and
9 379 000
I -rrels of
residual
fuel oil produced during
the week ended April 28
1945* which
mpafes with 1,494,000 barrels, 4,576,000 barrels and 9,303,000 barrels
week
week
metal,
28,219
sohne
previous
last
easily maintained at the previous
week's levels. Quotations in New
shift has been completed, it was stated, the present complex system
of priorities and materials control will have vanished. In its place,
two simple priority ratings wilH>
14,677
rocks
the
Markets," In its issue of May 3,
Board
any
shift of the economy from a two-front to a one-front war basis can
be .accomplished in four to six months after V-E Day, When the
13,016
4,329
aviation
Mineral
Production
reduced
C. 8. Bur. of Mines
basis April 29,
Metal and
War
active last week.
14,633
Total U. S. B. of M.
basis April 21, 1945
"The
in
quicksilver
again
quiet, but in the absence of
selling pressure prices were
was
As
of
Total U. S. B. of M.
m
"E. & M. J.
1,122
106
3,798
-i
Drop
Copper asid Zinc Quiet
War Demands — Lead Fairly Active
—
concerned
the
over
week
against
are
the
not great¬
inventory
amounted
4,026
to
tons in
The
quiet
London
and
silver
market
unchanged
at
was
25V2d.
The New York Official for
foreign
silver
continued at
44%c.,
domestic metal at
70%c.
-
with
Volume
Number
161
THE COMMERCIAL &
4384
^Bsver^s Freight Oar Loadings During Week
FINANCIAL CHRONICLE
Total Loads
*1Railroads
Total Revenue
Southern District—
April 28,9945, Increased 35,168 Gars
■
1944'
400
309
708
792
741
Atlanta, Birmingham & Coast.
748
803
35,158
10.876
14,135
4,202
4,668
380
408
1,530
1,863
1,597
1,515
2,936
3,177
234
366
243
254
State
annual
Columbus & Greenville—
Durham & Southern
*
>
.
^977 cars, an increase of 315 cars above the preceding week and an
increase of 6,770 cars above
the corresponding week in 1944.
4,578
Co.,
was
reelected President of
the Chamber of Commerce of the
144
99
666
794
3,352
2,869
1,393
1,800
43
42
143
130
2,399
2,792
48
Georgia
Georgia & Florida
.
1,190
■
I_
;
1,286
1,078
351
433
346
700
4,086
3,619
4,006
30,387
25,999
20,767
20,285
27,492
"■V 25,365
21,076
11,835
11,692
219
189
219
1,019
1,070
425
218
215
526
675
3,621
3,238
3,105
4,777
4,478
Macon, Dublin & Savannah
J.
Mississippi Central
Nashville, Chattanooga & St.
Li-
'•
preceding week, and an increase of 1,967 cars above the
corresponding week in 1944.
above
the
&
and
Grain
grain
products
loading
52,725,
totaled
an
cars,
in¬
1,416 cars above, the preceding week and an increase of
14,852 cars above the corresponding week in 1944.
In the Western
Districts alone, grain and grain products loading for the week of
crease
1,094
1,198
1,724
1,574
422
413
370
1,148
1,137
556
468
425
11,801
11,876
Seaboard Air Line
11,607
10,534
11,096
9,203
9,111
Southern
25,590
22,936
21,580
27,128
23,650
788
827
493
779
919
Winston-Salem Southbound
156
146
97
1,586
1,041
131,670
125,810
116,585
125,954
122,718
week in 1944.
Chicago Great Western
16,563 cars, an increase of 1,162
preceding week and an increase of 1,059 cars above
Livestock loading amounted to
above the
In the Western Districts alone load¬
ing of live stock for the week of April 28 totaled 12,823 cars, an in¬
crease of
1,161 cars above the preceding week, and an increase of
the
m
corresponding week in 1944.
•
mittee.
Robert F. Loree, the re¬
tiring
Chairman,
was
elected
member-at-large of the commit¬
week in 1944.
r
"
20.415
14,722
13,463
2,675
Chicago, Milw., St. P. & Pac.
Chicago, St. Paul, Minn. & Omaha_.
18,315
2,493
2,646
3,558
3,102
20,922
20,808
20,066
11,221
10,945
3,970
Duluth, Missabe & Iron Rapge—
Duluth, South Shore & Atlantic
3,183
3,162
3,938
4,091
15,791
207
283
22,221
26,289
983
979
547
500
8,936
8,218
10,679
'11,354
415
372
447
76
105
19,739
20,071
15,468
•/7,516
416
Great Northern
520
9,389
Elgin, Joliet & Eastern
Ft. Dodge, Des Moines & South—.
535
517
1,063
& Western—.
I.'V;-
6,153
804
2,784
Corn
Co.,
Sherer, Chairman of
Exchange
succeeded
Chairman
of
Bank
Trust
Blaine
as
Mr.
the
Committee
2,099
1,928
1,947
2,929
2,484
Minn., St. Paul & S. S. M
Northern Pacific.
7,002
6,125
5,957
3,142
Pike,
Vice-President
of
Co., Inc., was
Pike
of
the
Committee
6,166
5,457
10.415
Coke loading amounted to 15,139 cars, an increase of 681 cars,
above the preceding week, and an, increase of 385 cars above the
corresponding week in 1944.
10,214
9,969
289
136
142
707
740
2,466
2,687
2,237
3,724
3,276
130.635
120,398
108,950
70,266
66,924
25,411
20,181
23,048
16,321
12,762
4,116
Spokane, Portland & Seattle
2,810
2,828
4,387
3,501
,
,-
•
Other
new
chairmen of
committees elected
Central Western District—
Atch., Top. & Santa Fe System
Alton—
Herbert
B.
Sexton, Insurance;
Lincoln, Taxation; Ed¬
Beck, Commercial Edu¬
cation; Caswell M. Smith, Public
Service in the Metropolitan Dis¬
trict;
M. Lee Marshall,
Public
Edmond E.
ward
L.
Health and Welfare; Lawrence B.
Elliman, Law Reform.
4
Weeks of
February
5
Weeks
of
March—
Week
of
April
Week
of
April
v
-
——
7——
14_,_
'week
of
April
Week
of
r
April 28
Total
21
:
-
.
764,763
846,391
864.063
899,221
<
.....
.
787,985
798,683
838.737
850,441
437
494
64
88
18,152
18,624
12,492
12,790
3,165
3,506
2,359
1,097
802
12,971
10,500
12,900
15,419
13,368
3,068
,; 2,757
2,562
4,882
6,482
647
714
772
2,200
2,151
3,324
3,078
2,942
7,778
5,236
513
677
629
28
1,022
2,184
858
629
1,636
2,071
1,604
2,261
1,756
1,239
986
983
587
484
1,414
1,873
2,030
95
114
dum vote of its
761
810
975
706
691
resolution in the form of
2
14
0
30,404
29,605
15,251
Bingham & Garfield
Chicago & Eastern Illinois
2,910,638
3,055,725
3,845,547
789,019
780,908
794.163
788,789
12,964,789
13,504,699
13,444,306
„,
1943
3.153,700
3,154,116
3,916,037
-
361
20,532
Chicago, Rock Island & Pacific
" ,1944
1945
3,001,544
3,049,697
4,018,627
January
Colorado & Southern
Denver & Rio Grande Western
Denver & Salt Lake—
Fort Worth & Denver
City_
Illinois Terminal—
;
Missouri-Illinois—
Nevada Northern
—
North Western Pacific
—
Peoria & Pekin Union
The following table is a summary
REVENUE FREIGHT LOADED AND RECEIVED FROM
Total Loads
Connections
1944
1943
1945
1944
278
238
262
1,639
1,422
1,988
2,109
1,129
464
263
7,258
7,299
6,229
15,226
15,163
1,136
1,346
1,422
2,288
2,306
23
—
Chicago, Indianapolis & Louisville
Central Indiana
41
27
36
31
,
—
,
Western Pacific-..-Total
■
■■■'
1,954
15,970
534
I V 580
7
1,965
1,808
5,167
■■■
116,635
133,088
-
4
.
4,102
119,163
111,579
97,747
2,194
number
the
464
440
The resolution, according to the
2,639
2,691
4,934
Associated Press, said that exten¬
Kansas. Oklahoma & Gulf
2,802
13,980
11.865
17,687
18,020
3,914
3,754
8,972
8.401
194
185
2,894
3.117
Lehigh & New England
Lehigh Valley
2,282
2,143
1,624
9,756
6.843
12.646
16,410
2,453
2,228
2,187
3,797
450
983
3.080
2,752
alty payments by industry might
3,204
3,795
3,437
3,210
2,826
Litchfield & Madison
280
309
289
4,632
934
be disastrous to the national econ¬
Midland Valley
Missouri & Arkansas————.
620
713
834
777
484
omy
77
200
167
306
330
fect
Louisiana & Arkansas
—l
6,822
6,078
4,483
4,786
17,218
14,463
17,701
23,146
20,916
49
106
70
509
321
Missouri-Kansas-Texas Lines-
5,876
3,566
302
Missouri Pacific
7,581
10,810
10,514
3,538
3,092
3,563
6,829
7,261
12,271
13,008
12,626
5,671
5,447
5,697
5,983
4,142
9,308
8,223
9,467
St. Louis Southwestern
Texas & New Orleans—
Texas & Pacific—
Wichita Falls & Southern
335
5,944.
Hv.
;
7,915
89
112
100
30
26
i
71
12
23
'-■// 24
3,386
6,507
principle of roy¬
427
6,132
1,650
8,512
Maine Central
of the
use
207
6,183
City Southern
St. Louis-San Francisco
1,288
3,438
sive
256
5.103
Kansas
■'■■'/I;: 114
1,412
291
..
26
Weatherford M. W. & N. W
75.237
Total
73.431
72,304
73,937
77,796
in
which
levied,
in
Baltimore
&
Ohio
RR.
a
'taxes'
the
in ef¬
"scheme
represent
taxation,
would
government, but by private indi¬
viduals."
•
•
Royalties
lected
are
now
James
by
being
recordings made by its
on
In
coal
his
recent
negotiations,
John E. Lewis
2,708
903
25
17
53,941
56,800
56,276
asked, but did not receive,
11,090
10.354
9,804
18,947
20,477
nage
1,056
1,238
895
3.877
3,336
6,969
H. & Hartford
& Western.—
—
6,765
6,220
15,894
16,136
478
536
2,495
2,055
9,361
7,619
New York, Ontario
New York.
Chicago & St. Louis
518-.:
Susquehanna & Western
Pittsburgh & Lake Erie
8,424
Pere Marquette
N. Y.,
8.464
6,721
9.549
5,285
5,033
4,806
8,151
Pittsburg & Shawmut
816
760
848
22
20
Pittsburg, Shawmut & North
286
326
283
246
250
1,155
1,280
1,019
3,112
2,965
395
444
357
1,212
Pittsburgh & West Virginia
—
Rutland
Wabash
6,858
5,028
5,611
13,302
Wheeling & Lake Erie
6,238
6,240
4,515
5,097
4,175
167,872
166,664
151,275
238,721
250,349
revised.
We
give herewith latest figures received by
from the National
us
Paperboard Association, Chicago. 111., in relation to activity in the
paperboard industry.
The
12,279
members
of
this
Association
83%
represent
of the
royalty
on
a
ton¬
coal mined by his
United Mine Workers.
Weekly Statistics of Paperboard Industry
1,079
„
figures
mem¬
bituminous
51,596
year's
col¬
Petrillo's
C.
American Federation of Musicians
2,775
Note—Previous
be
collected and used, not by
bers.
'Included
would
and
private
51,559
Montour
for
4,429
.119
292
1,828
369
167
N. Y., N.
2,667
as
1,122
Quanah Acme & Pacific
303
I-
Washington, April 28, which
7,127
2,157
12,512
4,412
New York Central Lines
Was
by the Associated Press
307
10,890
12,881
Monongahela
repre¬
it
employees,
2,558
2,299
■
of
to
7,249
11,580
1,886
sentatives
industry
by
royalty
prohibit
to
payments
377
13,571
1,826
—
on a
declar¬
7,327
1,047
428
—...—..
a
2,816
6,815
Lehigh & Hudson River
membership
adoption, 101 against.
Burlington-Rock Island
5,188
245
Grand Trunk Western——
of
referen¬
a
policy to indorse pending
legislation
from
Chamber
conducted
Gulf Coast Lines..
5.015
Detroit & Toledo Shore Line—..—
Brie
■.
ation of
reported
1,042
1,686
—
•
-
8,271
Detroit & Mackinac
Detroit. Toledo & Ironton
2,112
19,089
Utah
5,059
1,165
i
315
13,462
2,076
r—
7,968
Central Vermont
Delaware & Hudson
.Delaware. Lackawanna & Western
324
13,996
558
System
Commerce
13,855
333
16,655
Toledo, Peoria & Western
Union Pacific
Royalties
States
International-Great Northern-
Received from
1945
Bangor & Aroostook
Boston & Maine——
o
Southwestern District—
Total Revenue
Eastern District—
VvV
United
The
1,619
gave
Freight Lpadcd
Railroads
32,733
.
Bar Union
18
:
CONNECTIONS
WEEK ENDED APRIL 28
(NUMBER OF CARS)
:."V
5
Bouthern Pacific (Pacific).
of the freight carloadings for
the separate railroads and systems for the week,ended April 28, 1945.
During the period 81 roads showed increases when compared with
the corresponding week a year ago.
.
standing
were:
Chicago, Burlington & Quincy
Chicago & Illinois Midland
correspond¬
All districts reported increases compared with the
ing weeks in 1944 and 1943.
of
on
Foreign Commerce.
'
preceding week and an increase of 5,446 cars above the
corresponding week in 1944.
Weeks
H. H.
elected
&
Chairman
4,112
above the
4
on
Finance and Currency. H. Harvey
55
71
744
2,099
Minneapolis & St. Louis
Spokane International
amounted to 72,921 cars, an increase of 11,774 cars
Ore loading
the
20,782
Lake Superior & Ishpeming
below the
the corresponding
elected
was
''
products loading totaled 40,986 cars, a decrease of 1,558
preceding week and a decrease of 1,900 cars below
Forest
Sons,
Chairman of the Executive Com¬
Northwestern District-
Green Bay
1,203 cars above the corresponding week in 1944.
cars
Grimm, President of Wil¬
liam A. White &
Dunham B.
Chicago & North Western
■
serve
vice-presidents
new
tee.
April 28 totaled 35,531 cars, an increase of 1,701 cars above the pre¬
ceding week and an increase of 13,011 cars above the corresponding
cars
3.
years.
Peter
of
Total-
177th
May
on
elected Vice-
were
the
year,
four
1,064
Piedmont Northern
System
the
at
held
D.
Davis, Inc.,
one
Richmond, Fred. & Potomac
,
York
Presidents. Mr. Lincoln will
Tennessee Central
loading amounted to 175,626 cars, an increase of 10,492 cars
Coal
New
meeting
Rockefeller, Jr., James
G. Blaine, President of the Marine
Midland Trust Co. and George W.
Bacon, Chairman cf Ford, Bacon
4,079
29,848
-
•
of
Jclin
623
4,862
Norfolk Southern
•
10,887
108
Illinois Central System
Louisville & Nashville
,■
~
2,551
Florida East Coast
Gulf, Mobile & Ohio
Loading of merchandise less than carload lot freight totaled 113,-
Le'roy A. Lincoln, President of
the Ma',rcpolitan Life Insurance
1,547
3,275
«
466
Clinchfield
corresponding week in 1944.
cars above the
W
468
2,218
13,524
12,518
3,608
above the
cars
344
•
228
;
Charleston & Western Carolina
Gainesville Midland
freight loading totaled 411,284 cars, an increase
preceding week, and an increase of 20,201
Miscellaneous
of
281;
-
1,727
Atlantic Coast Line
Central of Georgia
■
4.1% above the preceding week.
cars, or
1945
1,545
10,585
•
Loading of revenue freight for the week of April 28 increased
1943
1944
2,503
1,117
Alabama, Tennessee & Northern—
revenue
Connections
1945
Atl. & W. P.—W. R. R. of Ala
freight for the week ended April 28, 1945
totaled 899,221 cars, the Association of American Railroads announced
on M?ty
3.
This was an increase above the corresponding week of
1944 of 48,780 cars, or 5.7%, and an increase above the same week
in 1943 of 110,432 cars or 14.0%,
;Y
Loading of
Lfosoln Again Pres. cf
Received from
Freight Loaded
,
Ended
2103
total
Lumber Movement—Week
Ended
April 28, 1945
According to the National Lum¬
ber
Manufacturers
Association,
'
Total
industry, and its program includes a statement each week from each
lumber shipments
member of the orders and
porting
the activity of the
cates
749
679
827
1,336
1,154
45,279
37,682
30.655
29,334
—
6,865
the
time
operated.
These
Trade
low
to
6.098
2.932
2,029
orders
1.741
7
'6
6,777
7,310
6,672
22,830
20,753
Cornwall-
533
15
654
73
74
Cumberland & Pennsylvania
170 v.
5
10
Buffalo Creek & Gauley
;
Central R. R. of New Jersey
Ligonier Valley
Long Island—.
Penn-Reading Seashore Lines
Pennsylvania System
940
h
-
222
98
146
1.548
1,249
206 ;
127
1,194.
j
S
*>
;
46
39
4,463
3,516
1.973
1.622
1,719
2,658
2,645
92.249
88.789
77,576
69,083
69,447
Reading Co
16.283
14.628
31,979
28,623
Union (Pittsburgh)
22.291
20.665
22,149
7,767
Maryland
4.325
4,314
3,810
15,298
2C3 788
Total—
14,767
192.757
171.585
188.229
7,308
„
12,913
178,262
r-
Orders
February
3
February 17
3-
30.019
forfolk & Western
22.161
13.556
8.993
2,670
565,064
92
91
560,960
553,609
93 V
92
93
152,755
529,238
97
150;486
558,285
96
131,989
:
181,377
——
>
Tons
Percent of Activity
Current Cumulative
92
93
-
I
March 17—
March 24—
March 31
7
:
580,804
94
April 28—;
—
Notes—Unfilled
not
56.931
55.873
47.800
27.694
22,990
of
In the
these
same
mills
week new
were
78%
557.986
95
93
158,551
537,005
99
94
162,386
549,631
100
94
203,891
159,733
125,708
142,387
146,832
158,938
162,040
158,854
604,720
604.214
564,631
546,311
92
94
97
94
98
95
99
95
•
orders of the prior week, plus orders
necessarily equal
reports,
the
unfilled orders
at
the
close.
received,
less
Compensation
ments
orders made for or filled from stock, and other items made
production, do
for delinquent
of
unfilled
orders.
necessary
files
reporting softwood mills, unfilled
equivalent to 38 days'
at the current rate^
and gross stocks are equivalent to
32 days' production.
orders
are
production
For the year-to-date,
93
153.625
'
Total
be¬
93
152,611
137,911
—
—
177,711
129.948
178,483
March 10
1,571
148,139
151.307
149,816
Remaining
7.863
4,093
4.663
Urgtnlan
16,031
18.258
21,706
4.751
25,449
29.504
Tons
145,541
February 24
April
Unfilled Orders
Production
204,550
149,590
—;
February lo
March
der
Tons
1945—Week Ended
April 21
Chesapeake & Ohio
1.8%
production. Unfilled or¬
of the reporting mills
amounted to 111% of stocks.
For
PRODUCTION, MILL ACTIVITY
Received
Period
April 14„
District—
were
less than
STATISTICAL REPORTS—ORDERS,
1,658
330
of 476 mills re¬
National Lumber
Barometer
28, 1945.
2,435
V
»
the
production for the week April
industry.
'
u
Pocahontas
on
figure which indi¬
"
48.271
Bessemer & Lake Erie—
Western
mill based
a
figures are advanced to equal 100%. so that they represent the total
Allegheny District—
Akron, Canton & Youngstown—
Baltimore & Ohio—
Cambria & Indiana
production, and also
adjust¬
shipments
of
reporting identical mills ex¬
production by 8.6%; orders
by 14.4%.
ceeded
Compared to the average
cor¬
responding
week
of
1935-1939,
production of reporting mills was
15.2%
2.5%
greater;
shipments
were
greater.
Orders were 1.5%
less than production.
announced
Board of the bank, was
Companies
Items About Banks, Trust
Blaine, President,of
C.
James
The Marine Midland Trust CO. of
by S. Oliver Goodman
of the
Washington, D. C., "Post," who
ganizers of the Home Bank and
Co.
Previously
he
had
for the South Norwalk
A
New
same
David
Savings Bank, Northwestern Na¬
tional Bank, in Minneapolis, and
the Bronx National Bank of New
tivities
a
directors.
V.
Baird
Mr.
Vice-President
is
Marsh & McLennan, Inc., 70
He is
Street.
a
of
Pine
director of United
York,
where he was Assistant
Manager,
He was a member of
the Stanford Clearing House.
Whelan Stores Corp. and
An over-all bid for the assets of
other companies.
Long active in
charitable organizations, he is also' the 13 closed banks in Connecti¬
on
the board of the Long Island cut, amounting to $484,561.30 and
College of Medicine and the Henry accompanied by a check for $50,000, has been submitted to the
Street Settlement.
Connecticut State Bank Commis¬
is well
his ac¬
Miller
Mr.
bank,
the capital for
in
known
District of Co¬
lumbia Bankers Association. He is
with
the
slated to become President of the
Association
1947, being second
in
Vice-President
now.
Cigar
At
the
Board of
meeting of the
Directors of The National
regular
Mercantile
Agencies of Louisville, Ky., said
sioner
the United
by
City Bank of New York held on
Tuesday,
May
8,
Nicholas
W.
Vancil was appointed an Assistant
the Hartford "Courant" on May
Vice-President.
sets
Charles
J.
Scott
the
McCabe
B.
elected directors of
were
Industrial Bank,
Plan
Morris
and Frank
New York, on
May 3.
is publisher of the
New York "Daily Mirror," while
Mr. Scott is President of the Mor¬
ris Plan Insurance Society.
Mr. McCabe
Beaty, former Viceof the Chase National
H.
Claude
President
Bank of New
129.
Mr.
1942,
York, died on April
retired
who
Beaty,
in
59 years old when he
from
his
position
was
Aside
died.
National,
Chase
the
with
Mr.
Comptroller
Beaty also served as
Currency, National Bank
Examiner in the New York, Chi¬
of
4,
of the as¬
banks in
receivership was disclosed in lists
of bids filed for the purchase of
the
assets
of
the
Commercial
Trust
Co.
of New Britain,
the
Windsor
Locks Trust and
Safe
The
and Pittsburgh districts, and
was
Vice-President of the Na¬
tional Park Bank when it merged
perior Court.
It is expected that the Bank
Commissioner will make recom¬
mendations concerning acceptance
rejection of the bids to Judge
J. Daly, who for some
time has been assigned to handle
or
Edward
to the closed
Commissioner
all
the closed
relating
matters
Bank
The
banks.
receiver
for
Harry C. Husk, Cashier of the
First
National
Bank, Montclair,
N.
J., died
on
He was 50
May 2.
"News"
Newark
had
Husk
Mr.
Manhattan
Pencil
Secretary and
of the Eberhard Faber
Co., was appointed a mem¬
Com¬
ber of the bank's Brooklyn
mittee.
Huber
Mr.
is
a
director of the
Brooklyn Chamber of Commerce,
member of their Manufacturers
a
Committee, President of the New
York Association Foremen's Club.
Cashier
In
annual
the
mail
poll of the
Associa¬
tion, Bernard E. Finucane, Presi¬
dent of the Security Trust Co.,
Rochester, N. Y., is expected to be
elected President.
Mr. Finucane
Vice-President, and it has
been * customary
for
the VicePresident to succeed to the Presi¬
is
The results of the poll will
be realesed May 14.
John E. Schubert on May
Rochester
4 as¬
the
Chapter of the Amer¬
the
sumed
Presidency
of
ican Institute of Banking.
The
Rochester
"Times
Union"
^v
said:
Installed
as
Vice-President was
C„ Arthur Grainger
of the Monroe
County Savings Bank, Rochester,
N. Y., as Second Vice-President;
G. Theodore Gunkler of the Lin¬
coln Alliance in the same city, as
Treasurer,
and John G. White of
agency
opened
in Philadelphia, Pa., on May 1.
The Philadelphia "Evening Bul¬
letin," from which this informa¬
exclusively
veterans
Organized
banks
by
the Revere branch and
give Shawmut 23 offices, will be
managed by Charles R. Crowell,
with Robert G. Fraser as Assistant
Manager. Both have been active
in the management of the Revere
bank
for years.
the new agency
will operate with a fund of $10,000,000 underwritten by the par¬
ticipating banks. It will act as a
clearing house for all such trans¬
of
Bill
Rights,
Flagg
Bearse, VicePresident, Treasurer and director
of the Home Bank & Trust Co.,
Darien, Conn., died on May 4, at
63 years of age.
The New York "Herald Trib¬
une" said:
Mr. Bearse was one of the or¬
Angeles "Times," from
which this information is learned,
The board also announced that
T.
Robert
Bolman, prominent in
Angeles banking circles, was
Los
added
the
to
bank's
Manager of the agency is Wil¬
liam
F. Kelly,
Assistant VicePresident
of
the
Pennsylvania
Company for Insurances on
Lives
and for
price executive with
OPA in Washington. An experi¬
enced personnel has been assem¬
bled and will function daily from
Granting Annuities,
and
three years a
9:30
to 5:30 p.m.
a.m.
no
Mr. Bolman has been
Union
the
in
officer
an
scheduled, the visitors were
by Anthony G. Felix,
Agency President, who is senior
Vice-President of the Pennsylva¬
Bank.
Central-Penn National
from
member of several im¬
Cali¬
of the
Committee.
War Bond
the
At
and
Association
Bankers
time
same
announced
of
the
directors
the
in
stock, retirement of the
remaining
preferred and- addi¬
tions to the surplus account.
age.
the
time President of the
Wilmington
Chamber of Commerce.
P.
A.
America,
San
Francisco,
his
intention
$500,000 toward
Calif.,
to
con¬
founda¬
a
tion for specialized bank training.
Mr. Giannini built up the Bank
of America to be
try's
largest
one
of the
institutions,
coun¬
second
only to the Chase National of New
York.
President
of
The
Union
Co., Washington, D. C., suc¬
ceeding Ord Preston, who in re¬
Trust
tiring
executive
contracts.
and
it
branch
Later, it
for
pay
the $3.1
tion
was
carry
have
to
appropria¬
been
to
used
the $4,265 billion
out
contract authorizations. There¬
fore
the
added
two
figures cannot be
a
$7,365 billion
make
to
to
House
White
The
said
in¬
its
the
from
came
A. P.
Giannini, Chairman of the
Board of the Transamerica
Fenton
the
corporation.
charge
of
of
the
He
banking
corporation
in
interests
the Far
Western States.
proposed 1946 budget of $15,598,000
for
few
a
some
labor
areas
United
Europe
contemplated.
In
the
service,
Krug, Chairman of the War Pro¬
Board,
be
announced
no
use
that
of this
further
order
restric¬
of electric
power
for
advertising, promotional, dec¬
orative, ornamental or sign light¬
ing.
"The
end
will
rope
of
not
hostilities
solve
the
in
shortage,"
Mr.
"and
it
necessary
be
may
brownout
Eu¬
national
coal
the
said,
Krug
to
order
re¬
some
during the fall of this
year
if at that time stocks of coal have
not
been
replenished to
a
satis¬
-
by
passed
was
the
all-out conservation
homes, offices and stores
will continue to be necessary."
During the brownout
period,
been
in
effect
since
becomes Chairman of
the
1, this year, 500,000 tons of
coal had been saved, according to
Edward Falck, Director of the Of¬
fice of War Utilities. Certain
had
been
order.
The
is recommended.
apprentice¬
ship training service estimate of
$683,000 provides for the contin¬
uation
of the regular
program
apprentice¬
originally sub¬
as
mitted in the 1946 budget.
For
the
training-within-indus-
$1,200,000 -is
service
mended,
reduction
a
Associated
Press
recom¬
$578,000
of
of
$9,349,900. This smaller amount
will
provide
The bill
and
if
workers,
the Senate.
goes to
now
importation
for
of
arises,
emergency
an
for
funds
returning to their
homes the 20,000 foreign workers
Cuts in Other Agencies
The
President's
here under present programs.
recommenda¬
tions for 1946 budget changes, as
reported by the Associated Press
from
Washington, May 2,
were:
of Scientific Research
Development — On Monday
Office
and
President
the
transmitted
rec¬
a
ommendation to the Congress that
the
Scientific Research and Develop¬
is
War
of
exempted
from
areas
the
War
recommended.
de¬
velopments in the European thea¬
ter
in
expected to make possible
are
the
end
that
of
psychological warfare
area
lied
and
curtailment of
a
in
countries,
in
crease
The
well
tivities
in
of
Al¬
de¬
a
branch.
$42,000,000
Far
the
broad¬
as
domestic
of
intensification
allow
and
neutral and
as
the
balance
will
OWI
Eastern
control
rials
will
rope,
a
orders
follow
over
victory
num¬
in
the proposed 1946 budget of
042.000 is recommended.
of
Eu¬
$48,-
Censorship—Discon¬
tinuance
of censorship
in some
following victory in Europe
areas
makes
posed
$90,700,000
$77,500,000, a decrease of $13,200,000.
This reduction is due to
to
the favorable progress of
its
terminate
contracts
search, whenever it
project
a
the
war
contemplates that OSRD will
and
cannot
for
re¬
that
appears
be
completed
early enough to contribute to the
prosecution of the
war.
Chase Bank Acquitted
/
mate¬
reduction of $8,894,000 in
Office
ment be reduced from
ac¬
War Production Board—Antici¬
erous
proposed estimate for the fis¬
year
1946 of the Office of
cal
zone.
pating that the removal of
possible the recommended
reduction of
of fuel in
had
apprenticeship training
defense, a re¬
to $138,000
national
from $552,000
duction
of
House,
000
J. A.
was over.
with the revocation
the
the
Employment Serv¬
proposed 1946 budget of $54,100,-
Order
will
and greater use of
States
"authorizations"
cast materials
on
in
For migration of workers $1,$4,265,000,000 saving by cancella¬ -300,000 is recommended, as com¬
tion of the Maritime Commission pared to the proposed 1946 budget
information activities
tion
of
devices
control
from
the
proposed estimate
$1,778,000 in the 1946 budget.
the
there
Abandonment
is involved but part of it is
only bookkeeping.
Legislation to accomplish the
President of the United States that
in
administration is
general
recommended.
Information—A
reduction of $12,100,000 from the
U-9,
the socalled brownout order, was re¬
voked immediately
after formal
announcement on May 8 by the
war
children,
lion
Office
Brownout Is Ended
Utilities
people and
try
of
have
will
the
older
temporarily employed in war in¬
dustry, who are expected to cease
work as conditions change.
War Manpower Commission—A
reduction of $1,598,000" from the
Budget
Corp.,
Vice-President
as
to
mothers with dependent
Bureau which approved the cuts.
A budget change of over $7 bil¬
announced the appointment of Al¬
fred
$15,000,000
Security Agency's
This is largely to pro¬
for aid
vide
ship
formation
pro¬
recom¬
dependent children and aid to
the blind.
Commission
billion
President
increase of
an
Federal
the
to
ice is
.
Maritime
the
help
in
4,
appropriation to
work.
In
the
Feb.
as
the
into
enter
the
May
contract authorization
a
passes an
Giannini, retiring Chair¬
of the Board of The Bank of
man
which
The election of S. William Mil¬
ler
to
House,
reported
saving.
May 7 at factory level.
"Continued
Mr. Bush was
Delaware War
Committee and at one
of
passes
case,
increase
an
mington, Del., died on
years
Washington
empowers
a
Press
the following explanation of
difference:
When
Congress
tion of Southern California and is
committees
$7,000,000,000
White
the
by
Associated
gave
Trust
was
actual
the
approximate
estimated
the
it
saving
be $2,735,000,000 less than
would
the
came
the shipbuilding cut¬
that
found
The
grams.
mended
will be
of the
States for old age assistance, and
recommendation,
the
time
Chairman
back
liquidation
facilities.
and
However, when Congress
to act upon
for
proposed 1946 budget of $416,000,000 for providing grants to
vessels
of
storation of shipbuilding
He is a past president of
the Independent Bankers Associa¬
issue
Henry T. Bush, President of The
Farmers Bank of Delaware, Wil¬
the
re¬
possible future ship construction,
reconversion
Co.
&
and
for
construction program
approximately
$600,000,000
ship
the past nine
Bank
years.
duction
-ceremonies
formal
greeted
65
staff
post of Executive Vice-President,
effective May 16.
the
purposes
'
further said:
in this area.
actions
Finance
George
The Los
commercial
36
to veterans
under the G. I.
make loans
to
World War II
of
Vice-President John
Bank, Revere, Mass., on May 1,
and opened a branch office of the McDowell, Vice-President of the
Philadelphia National Bank, and
Boston bank in the quarters.
Thomas G.
The Boston "Herald" reported: Secretary-Treasurer
Vice-President of the
The new office, which will be Vonklin,
as
post of Chairman of the
board of directors, and Ernest F.
Press.
the
Associated
the
reported from Washington May 4.
nia Company;
known
created
learned, said:
is
tion
was
with
used
tribute
first
to
This activity is
unnecessary
The balance of $1,134,900
announced
in the nation
which will give business loans to
were
Boston, Mass., assumed the deposit
liabilities of the First National
at
$3,110,000.
While
Bank of
unchanged
remains
Capital
$5,500,000.
surplus to
its
creased
Security Trust.
The National Shawmut
Phila¬
is recommended.
would include $2,242,500,000 for completing the present
common
•.
train¬
and
ing program for defense workers
considered
current appropriation
contract authorization,
ac¬
In
Commission for ship construction
delphia, Pa., in transferring $500,000 from undivided profits has in¬
now
dency.
ago.
The First National Bank,
The
New York State Bankers
years
seven
education
the
of
—
Education, elimina¬
Bank, Pasadena, Calif., since 1934,
on May 3 was elected to the newly
First
vice-president of the association's
and
President,
tion
of
Funds remaining available to
President
Nolting,
Pasadena
the
Treasurer
Goodhue,
$7,000,-
than
more
Office
the
in
cording
the
portant
Bank
National
First
by
urge
National
T.
William
of
fornia
with
been
building
000,000
and
an¬
in
Congress
to
cut
funds
available
to
the
Maritime Commission
for ship¬
to
was
move
of operations.
Security Agency
Federal
impor¬
most
President's
The
approaching end of the war in
Europe.
The proposed reduction
is
$43,710,400
from
$44,845,300.
currently
old.
years
The
F. Abbot
announced
institution.
the
of
E.
Vice-
George
Executive
became
of Los Angeles for
that Fred G. Huber.
New
action
same
Powell
of
banks.
since going
to
Montclair in
1913.
He was
made Assistant Cashier in
1922
York,
Company,
the
In
the
and
Co.
nouncing this, said:
the Bank of the
with
mestic field
30.
June
and
tant
president has been con¬
the bank since 1912.
new
nected
$7,445,369,000 be withdrawn from war program funds already appro¬
priated or projected, the Associated Press advised from Washing¬
May 2. The President himself, the reports stated, abolished the
Office of Civilian Defense and^withdrew
its
proposed $369,000 000 from the proposed budget of
budget for the coming year.
The $4,345,000 is recommended, due to
adjustments possible in the do¬
OCD is to be liquidated between
ton
Board.
the
Approves Shipbuilding Out
penditures as rapidly as the progress of the war permits, President
Truman
sent
recommendations to
Congress that approximately
now
of
Economy Moves—
Evidencing his intention of sharply curtailing Government ex¬
City, Mo.,
Dominick, who
R.
Chairman
became
The
J.
Unionville Nolting, Executive Vice-President,
and Trust Co. in the Su¬ was elevated to the presidency.
Bank
with the Chase in 1929.
At
succeeding
remaining
the
the
cago
recently
Gate City Bank, Kansas
bid for purchase
of
Deposit
is
Dominick
L.
Robert
became President of the Traders-
President
which continued:
House
of 42 years with the
veteran
worked
York, announced May 9 that
G. Baird had been elected
member of the bank's board of
Truman Starts Government
continued:
Trust
Thursday, May 10, 1945
& FINANCIAL CHRONICLE
THE COMMERCIAL
2104
$4,800,000 in the
pro¬
1946 budget of $19,150,000.
Office
After
a
trial which lasted three
weeks, the
of
New
Chase National Bank
York
on
May 5
was
ac¬
quitted of charges of violating the
Presidential
order of May,
freezing foreign funds.
The bank
two
had
been
1940,
accused
on
indictments, returned Jan. 13,
1944, by a Federal Grand Jury,
in connection with the transfer of
funds
of Leonard J. A.
ternational
diamond
Smit, in¬
dealer
and
from
the
of Defense Transporta¬
tion—Recommended is a reduc¬
New York Chase Bank to its Pan¬
tion
ama
of
$3,300,000 from
the
pro¬
posed
1946 budget of $11,000,000,
made
possible
by an anticipated
improvement by next Dec. 31 in
the transportation situation.
Petroleum
Administration
for
War—A minor reduction of $345,-
Netherlands
refugee,
branch.
United States Attorney John F.
X.
McGohey prosecuted the case
was held before Judge Si¬
and it
mon
H. Rifkind
trict Court
in the U. S. Dis¬
for the Southern Dis¬
trict of New York, t •}
-
-
•
@FedFRASER