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1
ESTABLISHED 1839
Ftnaf Edition
In 2 Sections-Section 2
Regr. U. S. Pat. Office
Volume 165
:
U. S. Senator from New York
EDITORIAL
By DEXTER M. KEEZER*
for an about face in Government spending,
if fiscal collapse is to be avoided, Senator Ives insists appropria¬
tions can be CHt without affecting efficiency. Urges program for
retirement of national debt and end of deficit spending. Calls for
Asserting time has
come
Director, Dept. of Economics,
Nowadays
the
years
great
Recognizing this dissatisfaction
thorough justification for
it, Republican candidates running
last November pledged
inter¬
e c
ti
to be evidence that some
last
the
of
1
changes which were
In fact, there appears
Repub¬
demanded.
the results
on
e
about the
needed and
themselves to help bring
placed
been
lican candidates, perhaps
I
o n,
preciating
would assume
the
that
one
mandate
a
b'o
all
v e
others
to
given
the Repub¬
licans was to
the
the
-
By J. L.
ap¬
with
address4 by
Ives
Senator
Convention of
the New Jersey Bankers Associa¬
tion, Atlantic City, N. J., May 16,
1947.
Today
ROBERTSON*
Deputy Comptroller of the Currency.
economy
and
Notes greater de¬
it be kept strong.
urges
pendence of banks on investments than on commercial loans and
tendency to substitute short for long-tem credits. Urges banks
exercise caution in entering new fields and hold in mind their
responsibilities
The
as
custodians.
The
fact it is gloomy.
that
say
diction is
short-
a
It
picture today is not
is
Recently quite
a
few soft spots
have showed up in
our
—or,
ping end of the taxi business. In
this connection, I commend to you
the trend in taxi tips as a particu¬
this
ahead
in
business.
sume—a
confident that he
am
you
what
on
winds
are
engaged
if
Also
can
blowing as well as
professionally in
world
the
on
fire.
war
The
been
has
the
won—but
for
peace
which
we
and
to
subjugate peoples to the
will of others.
Those of us living
frightening.
Oklahoma
Nebraska,
have difficulty realizing the exist¬
ence
of
war-ravaged,
faminestruck, economically-impoverish¬
ed, dictator-dominated countries
in every part of the globe.
None
As if the rav¬
of
fought is far
from achieved.
The
coming
reports
-
to
us
from many
countries
are
comfortably
here in
and
my
home State,
these
facilitates
factors
the
of ; war were not enough, making of a lasting peace.
In this world picture, gloomy
many countries have suffered se¬
as it is, there is one ray of sun¬
vere droughts, others have been
bright
spot
toward
tendered helpless by floods. Mil¬ shine, one
lions of- people are today living on which millions of human beings
are
looking
with
their
last
ves¬
bare existence rations and many
tiges of hope.
That spot is the
people; both grown-ups and chilUnited
States.
Our
Nation
i
dren, ate actually starving. It has
stands out as a pillar of strength,
recently been reliably estimated
as
the bulwark of freedom and
that barely half of the people of
It is looked to for aid
the world get enough food for peace.
and assistance, and above all for
health and growth and full physi¬
ages
<
cal vigor.
countries which served as
the battleground during the war
Few
bv Mr. Robertson
Oklahoma Bankers As¬
sociation C
ventioiiv Tulsa, Okla.,
May 8, 194"
i" 'Zm
aVK;
before the
leadership.
Why?
Not only be¬
cause
of our potential military
power—mighty as it is; not only
because of our atomic bomb; but
primarily because of our eco¬
nomic strength.
economy—built
(Continued
Without
as
a
strong
it js upon the
on page
8)
to be to the effect that
prices
are
too high, that
living is too great, that manufacturers (and any
other element in the economy which has anything to do
with
and
setting prices) must reduce their charges promptly
4)
(Continued on page
some
From
eco¬
Washington
,
Now the soft
spots have spread
(Continued on page 5)
Ahead
*An address
May 12, 1947.
of
seems
the cost of
advise
evidence
can
they make sense?
Are they even consistent,
The central theme of much of all
with the other?
one
the economic
way
their
feet, either economically,
socially, or politically.
There is
on every hand of suspi¬
cion and unrest, of ruthless ag¬
gression and oppression, of con¬
flicts of ideologies which result
in fanatical efforts to grab power
But do
the
you
we
look, we
see a part
back on
apparently designed to catch the popular fancy
—
rection
get
disregarded, the Administration
disconcerting and disheartening
in the words of the practical politician, to be wise
socially, I as¬
racetrack bookmaker, I
happen to know
by Dr. Keezer be¬
fore the Triple Mill Supply Con¬
vention in Atlantic City, N. J.,
to
a
political strategy.
larly sensitive indicator of what's
have
able
all of them,
economyk
They started in fields of relative¬
ly minor importance like the jew¬
elry and fur trades, the night club
business and the taxicab transport
business—particularly on the tip¬
di-
been
reveal
and its followers
stabilizing
example of a government which has sought and obtained
but
some sort
of mandate to watch over the economy of the
foresees possi¬
Dexter M. Keezer
nation and to report periodically upon it.
The plain truth
bility of two
seems to be that the hodge-podge of proposals which have
million temporarily out of work.
come out the White House and offices surrounding it are,
exaggeration to
no
in^
little hazardous.
a
such "outsiders"
But
whatever
may
*An
be
can
following they can obtain
patent nonsense, but what
consequently what harm they may inflict upon the
American people are different matters about which pre¬
nomic forecasting.
world is in a critical condition,
pleasant or pretty; in
1
are
and
expenditures
influence,
Asserting U. S. is only ray of sunshine in gloomy world picture,
Federal bank supervisor places our banking system at very heart
our
are
of Federal
rate
run
The Task of the Banker
of
our
Holds
continued high
assuming responsibility for policy
(Continued on page 9)
*An
which
not
difficulties
before the Annual
correct the abuses,
condition of our economy,
.
situations
in
strong.
which they would be faced upon
Irving M. Ives
inequities and the unbalanced
*
spots
for office
have
to
during the
and the
pretations
seem
increasing
following the advent of the
so-called New Deal.
problems con¬
fronting us.
Although
many
of wide¬
is too slow in meeting
been
have
to
solutions
It is not an encouraging picture that the economic plan¬
economy," but ners and managers, or would-be planners and managers, are
holds country is not in for general
presenting today.
Indeed, their antics would be highly
economic set-back or a deep de¬
amusing were the situation by which we are confronted less
pression. Sees durable producers serious and the possibility of grave damage not so pain¬
going
fully apparent. Of course, we must expect the Wallaces and
full
steam
the Bowles as more or less radioactive particles emanating
ahead, and says
from the old New Deal nucleus.
It would be difficult to
banking and
say whether they are or are not to be taken seriously in
agricultural
any practical sense.
Their notions and their suggestions
soft
throughout the country there is evidence
spread complaint that the present Congress<e>and
finding
Confusion Badly Confounded
McGraw-Hill Publishing Co.
Dr. Keezer calls attention to "a few
integrated and coordinated tax program by Federal and State
Governments and readjustment of Federal subsidies to States.
:
Copy
We
See It
As
Outlook
By HON. IRVING M. IVES*
,
a
The Business
Needed: A New Fiscal Policy
s, /
Price 30 Cents
York, N. Y., Thursday, May 22, 1947
New
Number 4596
of the News
By CARLISLE BARGERON
The
smear
bund which has
sought to strike down every good man
political Washington for the past 14 years is about to start against
Representative John Taber, Chairman of the House Appropriations
Committee.
Indeed, its fangs have been striking out for'several
in
GENERAL CONTENTS
Editorial
Page
As
See It...
We
..
.Cover
weeks, and before this appears the
full
Regular Features
Prom
Washington Ahead of the
.Cover
Moody's Bond Prices and Yields....
Trading on New York Exchanges...
NYSE Odd-Lot Trading.............
11
14
14
Items About-Banks and Trust
16
State of Trade
General
Cos..
:
Review
3
Commodity Prices, Domestic Index.
12
Weekly Carloadings.-.
Weekly Engineering Construction...
Paperboard Industry Statistics.... .
Weekly Lumber Movement,.........
15
12
15
15
Fertilizer Association Price Index...
12
Weekly Coal and Coke Output......
Weekly Steel Review..
Moody's Daily Commodity Index....
Weekly Crude Oil Production
13
5
11
13
.
Non-Ferrous
Metals Market
Weekly Electric Output
Mortgage Financing Down to Feb...
Bank Debits for April
'
Cotton Ginnings in 1946...
United States Savings Bonds Issued
and Redeemed Through April 30,
These items
May
indicated.
against
John
W. Sny der,
against
Jesse
made
against
men
during
as
war
Hie charge will
the
down
to
of the
the
Carlisle Bargeron
Taber's
sin
New
it
Dealers have
bucket
cannot
prbfessed
profound affection.
be a drop in the
against the barrage he is
against.
Every
time
up
quacks that ever
people.
foisted themselves upon a
He is
envelopes
whom
"common man," for
to have such a
And
the
greatest set of
press
It is not being
out of the wage
taken
not
11
13
12
10
government
by the taxpayers.
come
and
undoubtedly be
agents.
But such assistance as he
is getting is not being paid for
against
every man of
position
who
here
of
hordes
sen,
has
be pur¬
against him that he has pub¬
licity
assistance,
he who has
always been so critical of the
Knud-
knuckled
is
a
bill
comes
heinous one. flecting
seeking to cut down on
government spending.
an* appropriation
before the House re¬
cuts
his
committee
has
the effected, New Dealer after New
He is not
will get up and read a
speech protesting against a partic¬
Dealer
it, he is doing
ular reduction,
and. the speech
it.
He
makes
no
pretense of
will have been written for him
cleaning up all the waste. Really,
by a Bureaucrat downtown* Only
*57 he is only scratching the surface.
10
*57
*57
appeared in our issue of
19, on pages
sued
such
What is be¬
next year.
campaign that
was
waged
Jones,
Bureaucrats.
ing started this year, will
of
14
*11
1947
Subscriptions ,to Treasury Certif¬
icate Offering of March 19
NYSE Share Values at April 30
NYSE Bond Values at April 30
Bankers Dollar Acceptances Out¬
standing at March 31
*
kind
the
to
the
is
same
News
poison spreading may be on in
force.
It
only seeking to do
But
what he has
started is con¬
tagious and therefore dangerous—
last week, in the case of the Conw!
(Continued
on page
6)
^
2
by Justice Jackson and Justice
Frankfurter, with Chiefs Justice
Vinson concurring in Mr, Frank¬
Hatcl, Horse Sense !
t goverhmehtally inspired sales resist¬
is that the customer has decided to
wait a while before buying, and the volume of trade
that should be done at legitimate prices is not being
how
Producers do not know yet *
far they
afford to cut
can
,
prices because of the uncertainty
of basic material quotations, and
consumers do not know at what
v
,
prices they can buy satisfactorily.
"As an instance in point, a lead-
wanted 2,000
ances.
Joseph
*
"
to
Its
for
*
'the
we
country
may
such
attack^
Business Failures in
April
to
ing $3,785,000 in April
and equipment, plus
agb,
a year
:ash for
Only the Retail group had les:
failures
April than in March
When the amount of liabilities is
amounted
considered
pared
all
with the
exception of the wholesale ahc
construction groups had more lia¬
bilities involved in April than ir
groups
108
from
117
plant guards of the Jones & Laughlin Steel Corp.'s Otis Works in
Cleveland, and E. C. Atkins & Co., tools and armor plate makers
of Indianapolis, the Supreme Court on May 19 ruled that such guards
deputized by local police are "employees" under the National Labor
Belations Act. As such, the ruling stated, according to Associated
jPress
Washington advices, they
newspaper
men—Conway Craig,
may join unions which also repre¬
publisher of the "Corpus Christi
sent production employees.
Justice
Murphy wrote the Caller-Times"; Bob McCracken,
Court's 5 to 4 opinion in the Jones managing editor, and Tom MulAccused of con¬
<& Laughlin case, with Chief Jus¬ vany, reporter.
tempt charges following their
tice Vinson ^tnd Justices Frank¬
written comments concerning a
furter, Jackson and Burton dis¬
trial
before a county judge in
senting.
The 6 to 3 opinion in the Atkins Texas, each had been given a jail
case was also written by
Justice sentence, but had been placed in
senting.
5
of
decisions
Both
over-
turned lower court rulings.
The
contended
had
companies
that
guards
were
"employers"
under the Wagner Act's definition
of that term as "any person acting
in the interest of an employer,
directly
The
Court's
majority
be
employees en^titled to the Benefits of the Wag¬
ner
regarded
as
Act would not make them less
loyal to their employers in carry¬
ing out assigned tasks.
The tri¬
bunal pointed out:
"In guarding the plant and per¬
sonnel
against physical danger,
the guards represent the manage¬
ment's legitimate interests in plant
protection, but-that function is not
necessarily inconsistent with or¬
ganizing and bargaining with the
employer
on
matters
affecting
their own wages, hours and work¬
ing conditions.
"They do not lose the right to
serve themselves in these respects
merely because in other respects
they represent a separate and in¬
dependent
interest of manage¬
ment.
"As in
see
no
the-case of foremen, we
basis in
the act
whatever
for denying
plant guards the bene¬
fit of the statute when they take
collective
action
to
protect their
collective interests."
Another
the Court
sented
a
ruling handed down by
on
the
same
day repre¬
The
case
involved
three
with 24 with liabilities ol
$1,647,000 in March. Retail fail¬
ures in April decreased to 84 from
88 in March, but liabilities were
pared
Construction failures
prejudice and influence the
ruling" in an eviction
to
court in its
which he tried.
Justice
Douglas, who wrote the
Court's majority opin¬
ion, said that "the law of con¬
tempt is not made for the protec¬
tion of judges who may be sensi¬
tive to the winds of public opin¬
ion.
Judges are supposed to be
men of fortitude, able to thrive in
Supreme
a
hardy climate."
justice
the
news
in
effect
of
accounts
the
only
substantial question raised
case pertained to the edi¬
in
declared
the
the
torial.
in
He
the
He cited various language
editorial
and
commented
that:
"This
in
ures
involved
constitute
imminent, not mere¬
ly a likely threat, to the adminis¬
tration of justice.
The danger
must not be: remote or even prob¬
able; it must immediately im-
and
of
and subsistence
pay
■
Ac¬
reduction
a
Most
mended the restoration
this
of enlisted
nel
this
is
of naval
recom¬
of
a
1934
or
by
an
quarter
and
in
officer*
and
Docks:
ashore."
messes
$3,513,000,amendment submitted
civilian person¬
servants
in
"household
as
officers'
increased to
was
Bureau
of
Yards
reduction of $13,-
a
«
Bureau
000,000,
of
■■
Aeronautics:
$474,-
cut of $55,500,000.
a
The
Committee approved an additional
$170,000,000 in contract authority.
Marine
Corps:
$300,558,000,
a
$40,902,000.
as
in March in¬
with 21
the
country
is
Federal
Reserve
districts
When
into
is
that
found
York
the
divided
City
ated
it
the
had
had
districts
April
Mich.,
When the
March.
than in
is
that
seen
the
only
and
.
Kansas
districts
Reserve
had
■
in
he believed it in "the
anniversary
establishment
was
on
of
the
Side
cents
65
to
Bank;
Prudential
Savings
Bank
Saugerties
Savings
Bank.
-
ticipating banks and 3,270 partici¬
passage
of 11 and 570 over the number of
act,
ago.,
c :
;
'■
f
V (
to
in excess of
$4,800,000.
:
1
1.1-
.!
•
i
-
A
f
:
f r,
I
a
,
minimum wage
trust
I
of
with the
that
portal-to-portal
the
relieving
the
business com¬
-
•'
i.
!
i'
>"
i
-
" ■
standards.
r.
5
•
J
A,
'
'
of
turn
heavy .burden
a
minimum
re-examination of
<
wage
■
.
t:
:
The
and 3.49%, respectively.
percentages of decreases are:
Professional, clerical, and gen¬
■ 1.29;
maintenance of way
structures, 1.49; maintenance
of
equipment and stores, 0.58;
eral,
and
transportation
(other
than
train,
and yard), 1.79; and trans¬
portation
(yardmasters,
switchtenders, and hostlers), 1.37.
! ,
W. D. Ireland Elected
Head of Mass. Banker:
William" D.
Ireland,; Presiden
Companj
of the Worcester Trust
Worcester,
President
Bankers
Mass.
of
the
was
electee
Jvtassachusett
Association
at
the
fina
session of its annual
The assets of doubt, the Congress will now
the system are now
j
adjournment last
its
President
of
munity
employees participat¬
year
in¬
1
increase
pating employees^ respective gains
one
of 0.53%
two-day con
said, "the vention at
Swampscott on Ma
reached a large 16, according to the Boston J'Her
and Congress had
The measure of agreement as to legis¬ aid," whose advices ,of May 1
standards.
ing
the
,
the
lation to
and
from 40
hour, calling
an
to
"Prior
year,"
the
system now has seventy-two par¬
banks
the
present mimimum hourly pay
institutions— adequate.
Savings
Truman
increase
statutory minimum wage
System
the East New York Savings Bank,
North
to
Congress
asked
May 1st by the addition of four
participating
that there were
and asked
he, added
of executives,
and staff assistants, and
transportation (train and engine
service), which shows increases
How¬ engine,
dollars.
At the same time Mr.
/
celebrated most appropriately
more
the exception
legislators to remedy them.
the
the
of
increase
a
defects in the measure
Savings
Retirement
potential liabil¬
ity for billions of
ever,
sixth
economic
of
be relieved of the
.
Savings Banks Retirement
Gets Four New Members
The
be¬
inter¬
stability" thai
both business and the government
est
lia¬
more
bilities involved in April than
bill
portal
the
signing
was
Francisco
San
to Congress
emphasized that he
message
a
the President
cause
Dallas
City,
an
March, 1947, ac¬
report just issued by
Bureau
of
Transport Eco¬
over
cording to
with
i
in
But
Boston
Minneapolis,
Cleveland,
was
request,
amount of liabilities is considered
it
last year, and
1.40%
of
at ,Mt.
Clemens,
officials,
'dismissed at union's
workers
tery
in
failures
fewer
month
the
the Cleveland and
districts
The
filed in courts all over the coun¬
number while the remaining
same
advices reported.
Press
try claiming portal-to-portal back
nomics and Statistics of the In¬
oay
under the wage-hour law,
terstate Commerce Commission.
wipes out suits which at one time
A decline under April, 1946, is
totaled more than $6,000,000,000.
shown
in
the
number
of
em¬
Many of these were withdrawn
ployees for every reporting grciup
after the case involving CIO pot¬
Reserve
districts had more failures in April
Reserve
Increased to 1,344,853
in
Truman,
hill, which was the result of suits
New
Boston,
Kansas
and
Employees
Employees of Class I railroads
spite of
opposition from organized labor of the United States, as of the
of
April, • 1947, totaled
and the Labor Department, on middle
decrease
of
0.19%
May 14 signed legislation pro¬ 1,344,853, a
hibiting portal pay suits, Associ¬ compared with the corresponding
President
an
Dissenting opinions in the
Court's 6-3 decision were written
$1,484,000,000,
$136,336,600.
No. of RR.
volving $758,000 liabilities.
was
the power to punish for contempt.
fire which it kindles must
:
Supplies
personnel. The Committee
com¬
Signs
Portal Pay Bill
and
liabilities,
$1,015,000
compared
temperate
The
of
Truman
to
23
numbered
April
Banks
strong language, in¬
language, and we as¬
sume^ an unfair criticism.
But a
judge may not hold in contempt
one who ventures to publish any¬
thing that tends to make him un¬
popular or to belittle him. . . .
The vehemence of the language
used is not along the measure of
counts:
or
$180,000,-
cut of $28,000,000.
reduction of
trial
accurate.
J
Ordnance:
Committee's action toward major
said
were
f
$300,000,000,
$74,750,000
in
rose
fell
involved
liabilities
but
'In¬ March.
Douglas
of
$129,450,000,
050,000.
$247,000 in April from $341,000 in
March. Commercial Service fail¬
than in March,
.
•
Ships:
However, his budget for
Navy spending for 1948 calls for
$4,423,000,000, the Navy having
available
some
unexpended but
obligated money to be paid out
during the new year in addition
to its new appropriations.
The
following is a summary of the
13 in March,
16 in April from
to
Dallas
.
of
to $1,503,000 from $1,169,000 in
up
March.
and editorial were "calculated
.
a
Bureau
original request
Navy appropriations was
approximately $3,504 poo noo.
"*00
April numbered 37 with
liabilities of $1,493,000 as com¬
serted that the newsmen's stories
defense of the constitu¬
tional guarantee of freedom of the
press.
decision.
opinion
argued that to permit plant guards
to
pending the Supreme Court's
The presiding judge of
the Texas Court, according to As¬
sociated .Press advices,, had as¬
iff
case
indirectly,"
or
the sher¬
C00,
later.
in
of
Bureau of
Truman's
which
ir.
Training:
reduction
reduction
a
use
$11,822,000 in April, from $11,336,000 in March. Wholesale fail¬
ures
$4,332,781,951
Candidate
a
new
'or
to
$3,135 481,100.
it
said
maintenance.
of
to
e r
the side of lib¬
personnel."
Bureau
$90,000,000 ir
with
on
t h
ban, since discarded, against the
Mr.
:or
Manufacturing failures in Apri"
increased
reserve
appropriation:
new
o
appropria¬
Naval Reserve: The full $100,000,000 requested, with emphasis
on the
importance of maintaining
"a strong, enthusiastic group of
/ear.
March.
disputes regarding the status
total
The
in
for
Committee,
"err
Officer
planes.
new
The
.,
this
for
spend
funds
previous
$12,000,000,
$3,000,000.
Navy next
liabilities as
compared with 254 in March, in¬
volving $15,251,000 and 81 involv¬
involved .$16,080,000
to |whicji
erality in research items."
for the Marine
approximately 30,000 and 6,300,
respectively, plus 3,200 Naval and
525 Marine Corps officers.
The Committee approved in full
the $34,400,000 asked for research
and the $170,000,000 in contract
authority to buy new airplane;
to
and
wants to
a planned aver¬
strength of 425,000
liabilities involved than in March
addition
from
tions.
a
higher in number and amount di
March and liabilities involved rose
Murphy, the Chief Justice and Mr.
Jackson and Mr. Frankfurter dis¬
work
from the
enlisted
in
3272,COO,000
'pureaus
year and 90,000
Corps, the cuts, if
carried into effect, would amount
and in April a year ago. Business
failures in April according to Dun
& Bradstreet, Inc. totaled 277 ans
had more of this brand of hard, horse
those who govern us or shape our
the technical custody of
7%
for the
Business failures in April were
Supreme Court Actions
'
of
age
to
■
efficiency of
reducing "essential
or
On the basis of
country
50,000, could only supply 900.
decision involving labor
-equested,
;he Navy will have approximately
sac¬
the
budget esti¬
mates of $1,344,171,000 for pay
and subsistence of naval personnel
and a slightly higher cut in the
$209,000,000 the Marine Corps re¬
quested for the same purpose,
jobber source, having
thinking.
a
fleet,"
cut
courts during pending cases.!'
upon
of
any
The Committee,recommended
that
of,
approval
amoun'
adequate "without
naval-activities.".
feared
he
the
of
press
not
if
in the years just
past and they realize they will now have to become
competitive if they are to stay in business. This, I
believe, will take care of the price situation, as it
always has. But because of the present confusion
a
longer time may be required for establishment of
a sound competitive basis."—Joseph P.
Kennedy.
among
the
will
men
rightfully take the decision of this
court to mean indifference toward,
were
only
rificing
v
said
Jackson
"Many businessmen made money
If
in
permit."
public cnly bought 200 of the appliances,
priced most attractively.
In other
words, there was consumer sales resistance to a leg¬
itimately priced article in the belief that prices >:
would go lower.
sense
judicial-hearing as d:sonate and impartial as the
weakness .inherent
Yet the
which
it considered the
would be
get a
pass
of the appli¬
orders from all over the
Kennedy
P.
including ^he right of a'free press
may depend on the ability
■itself
ing Midwest store had marked
difficulty in obtaining a certain
home appliance it wished to sell
in one of its annual events.
The
store
Group Guts Navy Budget
for $3,513,000,000 in new appropri¬
Sharply criticiz¬ ations for the Navy Department suffered a serious cut at the hands
ing the majority's reasoning, Mr. of the House Appropriations Committee on May 16 when, in a report
Jackson in h'.s dissent asserted,
prepared by its Naval Appropriations Subcommittee, it recommended
according to the same advices that' that $377,519,2C0 be eliminated from the Navy's 1948 budget esti¬
"the right of the people to have a mates, an Associated Press
Washington dispatch stated.
Calling on
free press Is a vital one, but so is. the:
Navy to reduce 'personnel,-^
the right to have a calm and fair Doth mi
:omponents of the Navy, accord¬
ltary end civilian, and tc
trial free from outside pressures close some of its shore establish¬
ing to the same advices:
j
and influences. Every other right, ments, the Committee stated that
Research:
The full $34,000,000
means
done.
House
President Truman's request
furter's dissent.
"All this
ance]
In
Thursday, May 22, 1947
THE COMMERCIAL & FINANCIAL CHRONICLE
(2778)
.
-
•
'
y!
added:
Other
Leon
M.
officers
of the New
pan.v,
of
I
wer
Englapd Trust Com
Boston,
Vice-Presi
dent, and Arthur W. Deibert
the National Shawmut
"
Boston, Treasurer.
.
elected
Little, Vice-Presiden
Bank,
c
c
Volums
Number
165
THE COMMERCIAL
4596
Steel Output Again Increased—Ho Definite
Trend Seen in Construction Cancellations
shipments
not
dark
as
on
as
construction cancellations and postponements are
they look," according to "The Iron Age," national
metalworking weekly, which, in its issue of today (May 22), ::urther
states
follows:
as
*
•
»
,
,
"A quick survey of leading engineers and fabricators shows that
postponements are running into large figures but actual cancellations
are
not
serious.
Where figures
———
~
~~"
were given it was said that post¬
that
the
rate
next
week
may
j
ponements
s
.
postponed
reflects
cases
of
some
watch¬
a
tant, and probably more optimistic,
was delayed action due to inabil¬
ity to obtain specific delivery
•date s,
Outright
cancellations
among those interviewed were too
small to indicate
definite trend
a
in this direction,
One large com¬
pany was of the opinion that if
uncertainties over delivery dates
the
probability
further
wage increases were
eliminated,
current prices would be no factor
in holding up large construction
projects.
"As far
<•
as
steel
mills
were con¬
heavy, deliveries far behind and
there was every indication that
because of the freight car building
these products would be
program
steel industry this week over
sale
of
obsolete
inventories
large
rate of 18 million tons
annually.
"Talk of early change in steel
prices has disappeared. With costs
such
steel shortage. Some
that the unloading of
inventory at high
is
say
sources
of the
some
a
say
surplus
prices
continues
and
fosters
the
gray markets which the steel in¬
dustry and the vast majority of
steel users had hoped would be
eliminated by this time,"
The
Iron
American
Institute
this
Steel
and
week
announced
that
telegraphic reports which it
had
received
indicated
that
the
operating rate of steel companies
having 94% of the steel capacity
the
of
industry will be Cu.1% of
capacity for the week beginning
May 19, the fourth highest rate
this
year,
and
compares
with
94.2% one week ago, 95.0% one
month
49.2%
and
ago
one
year
in tight supply for some months
This
to
of 1.9
points
2.0% from the pre¬
operating rate
for the week beginning May 19 is
equivalent
to 1,681,700 tons of
steel
ingots and castings, com¬
Leading
come.
steel
steel officials
departments
construction
that many contractors would
place substantial orders for struc¬
say
tural products as soon
firm de¬
as
livery dates could be assured. This
indicates that the substantial back¬
logs
mill books is
on
no
true
in¬
activity to take place in the
future.
["Some
•
large
fabricators' state
going ahead unhindered by post¬
ponement or cancellations. Some
:state and
municipal jobs
being
are
postponed mainly because of the
cost of completion com¬
higher
pared with the original estimates.
More significant are the actions of
practically all large steel com¬
panies contemplating building and
machinery additions. Recognizing
that the price level, just as the
wage level, is on a higher eco¬
nomic plane, these companies have
•decided to go ahead with construc¬
tion in order,to remain in;
a
good
•competitive position.
It
seems
likely that this procedure is being
adopted by other industries.
"While it is too
mine
the
LJohn
L.
actual
Lewis
early to deter¬
demand
will
which
make
upon
the northern
coal operators, reuresenting more than 75% of the
nation's output, feeling throughout
the industry is more optimistic
this week than at any time in
years.
Both the union and the
•operators want to see the coal in¬
dustry back in private hands as
quickly as possible.
Measuring
the temper
of both sides there is
good possibility that the United
;a
Mine
Workers will
reach
a
satis¬
factory wage agreement with the
northern operators before July 1,
thus
preventing a serious coal
which
tieup
would
have
disas-
trojus :effpcts upon steel and other
findustries.
The
pared to 1.648.400 tons
week
one
ago, 1,662,400 tons one month ago,
and 867,100 tons one year ago.
Steel" of
Cleveland, in its
of latest
mary
in the
that private construction jobs are
increase
an
or
ceding week.
dication of the limit of construc¬
tion
represents
sum¬
developments
news
metalworking industry,
May 19 stated in part
on
follows:
as
"Consumer pressure for finished
steel products continues
unabated,
being especially urgent "in sheets
and
strip,
plates
and
merchant
pipe.
Lack of steel h'asu'fdreed
plates, chiefly automotive, to
close temporarily and many other
some
metalworking
to
build
shops
inventories
-unable
are
sufficient
from the
mills, March tonnage be¬
ing the largest since May, 1945."
little
a
tonnage than they now are
receiving
over
the
next
few
months, assuming no important
more
break in steel
production, but,
as
general thing, overall supply is
expected to remain tight over the
remainder of this year,
particular¬
ly in sheets and strip.
.
of
bars,
shapes
nails is
and
likely as current record-breaking
peacetime output gradually; fills
inventory pipelines. In fact, some
easing in carbon bars and shapes,
except the smaller sizes, already is
in evidence.
Ahoy products, in¬
are
stainless,
plentiful,
cluding
and
mixed
wire.
in
steel
inventories, and
buyers are exerting
caution in building stocks.
the
more
,
noted
are
This trend is due partly to
unbalanced
to
trends
fact
"There
is
little
in the
way
of
order
cancellations, but increasing
is noted with ship¬
covering more extended
dustry "this week is on produc¬
periods.
No
tion. Sorhh areas are even exceedbacking up in steel
ihg wartime output, although the- supply is yet seen as result of cus¬
•
tomer resistance to prices in hard
nfation^l, rate is still about one
.
.
"
ments
•
•
•
■
'
i
•
poiht;: below previous
postwar
peaks, j Nevertheless, the next few
consumer
weeks' Will
In
probably
average
as
high an operating rate as has been
since wartime days.
-seen
"Ringleader in the steel indus¬
try's race for new production lev¬
.
els is the
Pittsburgh district where
operating rate this week will
average 105% of rated capacity.
the
'
It
is
steel
400,000
100%
rate
Detroit,
Coast
will
steel
tons, of
Oher
week.
at
this major
turn out about
that
estimated
center
ingots this
districts topping the
are:
Biiffalo at 102%;
the
West
102.5%;
and
110.5%.
Indications are
goods lines.
"Significantly,
demand
noted, April
foundries
for
bottom of the current
scrap price
movement has been about
reached,
especially in view of continued
high steelmaking operations."
Thompson Nominated
trend
castings
production
of
some
actually exceeding
bookings. Also
some
is
foundries
re¬
cancellations, includ¬
pipe, indicating supplies
of this product, for which
high pig
iron preference has been
given,
are
begininng to catch up with
housing needs.
"No early letup in
pressure for
ing
soil
'heet
and
strip
is
anticipated.
have been un¬
able to obtain these products in
sufficient supply to attain produc¬
tion goals, though sheet and strip
Buyers generally
,
-»r
The stock market's
reception
the rather
cheering news was un¬
responsive and prices declined to
their lowest levels since
1945.
House
Appropriations Committee*'
Friday last, recommended a
on
January,
cut of
two separate
assaults,
which occurred on Tues¬
and
the
other
on
the
Navy's
1948
mates.
Should
the
tion
the
In
of
in
$377,519,200,
budget esU—,
John C. Thompson, Newark, N.
J., President of the New Jersey
found
tack
Realty Co., was nominated on
May 13 to be the next President
to three points lower With
losses
greater among the more selected
of
issues.
tain fund transfers to
000.
While the general employment
situation remains high same sea¬
sonal layoffs
have taken place
planned
the
day
Mort¬
gage Bankers
Association of
America to
Guy
Hollyof Balti¬
O.
day
ing to
an
n o u n c
by
ports,
accord¬
more,
R.
at¬
from
precipitate rise in
a
has
out of work
De-
000
and
ming, Jr., OsKan.,-
trend
Chairman
mains
wego,
taken
f
one
unem¬
place.
It
committee.
steps
this
C.
Thompson
continue
taken
past
week
Executive
will
go
Vice-President of the Title Guar¬
a
anty Co. of Denver
Since the in¬
re¬
in
Washington
to
in
aid
the
helping
the
economy
to
ward
off
week
the
drastic recession.
On
nominated
was
for Vice-President.
upward
the future to
It is also problematical at
time to foresee how far the
reveal.
Jchn
between '400,
Whether this
Mortday
Federal
of
last
-
Government
concerned
of
contract
It
authorizations
was
fense
Over-all
organ¬
convention
country, in
an
unprecedented de¬
by
strikes
in the steel
industry
building trades in past weeks,
terminated during the week..
Output in some industries, how¬
ever, continued to be curtailed by
the lack of skilled labor.
Spurred
by
121%
in
the
from
sections of the
country in¬
dicate that resistance to the
higtk
prices of new homes is
plating
chines
and
held
a
of
Seattle.
Mr.'
Thompson began his busi¬
career
\vith Prudential In¬
ness
surance
Company,; Newark, and
later
with
General
Motors
was
and
the
United
Department.
States
In
Treasury
he
1924
became
comptroller of the Fidelity Union
Title and
Mortgage Guaranty Co.
more than $160,000,-
which made
the
commercial
half
two
ten
years
ago
its
was
and
kind
in
reorganized
two
separate
companies, New Jersey Realty Co.
and New Jersey
Realty Title In¬
Co.
surance
were
formed with Mr.
was
a
'former
president
Jersey Title Association
of
and
He
the first President of the New Jer¬
sey Mortgage Bankers Association,
which he was instrumental in or¬
ganizing.
He has served
MBA
ance,
ic
on
long list of
a
committees
including fin¬
membership, executive, clin¬
and
conference
and
was
As¬
the
of
at
sen¬
New
York University in 1946 and 1947.
Mr. Nielsen has likewise served
on
many
and
was
Association committees
first elected to office in
the organization in 1942 when he
became a regional Vice-President.
is the oldest title
company in Colorado.
He is also
company
active
in
the
affairs
tional Committee
on
of
the
Na¬
Housing, Inc.
For
Imported Farm Labor
propriation for the Federal farm
labor program., Washington Asso¬
ciated Press advices of May 16
stated.
Under
Government
this
has
program
"been
the
financing
importing foreign
laborers,'chiefly from Mexico and
Jamaica, for seasonal farm work.
the
cost
of
refrigerators, washing
at
demand
ma¬
similar
appliances
high level.
The
very
for
these
items
was
embraced
are
expected to obtain well along:
towards the last quarter of the
year,
-
,
months, notwithstanding the
rate of exchange
Nov. 1, 1941, and twice
The other
$50 millions
set
earliest
import
greatest
contribution
the
to
position
of
Mexico."
duty,
it
where
more
a
bill
by a vote
margin sufficient
Presidential veto.
a
was
to
sent
the
of
to
The
House
a
compromise
with
the
restrictive House bill will be
sought.
of
cars
and trucks in the?
United States and Canada during*
the
week
was
and
long
a
on
the
the
nation,
period of great
part of industry
end
an
came
to
billions of dollars' worth of port¬
al-to-portal
pay
President Truman
the
of
claims
when
in the interest
economic
stability of our
nation and the necessity to clar¬
the question by law, signed
Wednesday H. R. 2157, the
Act
Portal-to-Portal
of
1947.
In his message to
Congress the
urged that the
minimum wage provided by the
Fair Labor Standards Act be in¬
creased from the present 40 cents
President
an
hour
again
to
65
cents
and
also
re¬
quested that minimum wage ben¬
efits
be
sons
not
In
an
placed
at 82,881
revised figure of
94,756 in the week preceding.
A.
in
the
a
the total
like
week
extended
to
many
per¬
protected by the law.
attempt to scale down
governmehtal
expenditures
the
48,565 and
1941, it was
was
of
127,255.
The
breakdown
of
the
current
week's
output is 56,586 cars and
20,890 trucks in this country and.
3,260 and 2,145,
respectively, i
Canada.
After
concern
thai
tion
year ago
labor
68-to-24,
reported
According to Ward's Automo¬
Reports, estimated produc¬
nibus
same
is
tive
compared with
the
gov¬
sheet steel.
day the United
States Senate passed the Taft om¬
On
copper is
for
masy*
than
there appears to be sufficient
cop¬
per to match the critically shor t
.
economy of Mexico and to the im¬
provement of the balance-of-pay-
payments
acute
assumes
projects making "the
and
shortage of
ernment's action in removing the?
a loan
by the ExportImport Bank for the development
of
While the
ex¬
the form of
on
President Truman has request¬
ed Congress for a $10,000,000 ap¬
which
tended for two-year
periods,
ify
President Asks Funds
in
of
fractional
electric motors, for
dollar-peso
up on
measure
executives
use
appliance field
manufacture,
more
included two conferences for
mortgage
the
volved the extension and enlarge¬
ment of a program to stabilize the
override
ior
projects
In the electrical
of
Mexico
sociation Vice-President this year.
active in the educa¬
tion work of the Association which
He has been
field
agreements calling for $100
milions in aid. One agreement in¬
New
was
construction
or
increasmg:
considerably.
strong and backlogs of orders re¬
Pan-American mained large.
A sharp decline
relations • and iri furtherance
of
in automotive
our
good
neighbor policy, ad¬ production topk place last week
vances were arranged on Wednes¬ caused
by widespread industryday by the United States on be¬ shortages of sheet steel, which,
In
largest' company
Jersey.
It
of
of non-residential
most
that may go forward.
000 of mortgage loans and was the
New
appreciable increase in
an
amount
year ago.
Con¬
continue to hold
costs
horsepower
Walter Williams
rose?
16%*
was
one
high levels, but reports
larger homes than present restric¬
tions* permit. Mr, Creedon pre¬
viously was reported as contem¬
an¬
National
week and
above that of
A. Zinn, Indianapolis,-G.< Calvert
Bowie, Washington, D. C.y and
the
favorable*
more
weather, private construction
Housing
Expediter,
Frank
R.
Creedon, relaxed restrictions per¬
mitting
the
erection
of
much
facilities,
production
and
ing committee presenting the. re¬
port to members today include
Edward F. Lambrecht, Detroit, A
housing
through
its
were
mand
for
ibegins
industrial
October 2, 3 and 4 in Cleveland.
Other members of the nominat¬
nounced
Ap¬
deal-<-
past week continued to hoM
close to the high levels of
previ¬
ous weeks.
With respect to labor*
it is
encouraging to note that most
of the work
stoppages occasioned
at
at the
subcommittee
the
struction
be
annual
a
ing with the Navy,
hearings next month.
the face of
will
34th
present
propriations
tial construction in New York and
other sections of the
which
the
Navy"
strong de¬
reinstatement of some?
for
tion has been tantamount to elec¬
tion
cer¬
of the items when the Senate
ception of the association, nomina¬
ization's
and
$3,469,76.1,—
reported
to
over
sharp contraction in residen¬
recommenda-'
Committee, be
adopt—
ed, it would result in a reduction,
in
Navy
appropriations, ' new-
is
largely for
group's
nomina ting
Nielsen,
ranges
500,000.
will
the
Aksel
closed
to
further reported that the number
ement
o
they
ployment
an-,
O.
and
vulnerable
This would not be too
disturbing
if it were not for the
fact that in
New York City,
according to re¬
succeed
T.
Friday,
prices
about 10 %w
or
As Pres. of MBA
new
order
port
?-n tlle domestic political front the past week happenings in.
Washington tended to favor business
generally, but the reaction of
businessmen to them was not indicative
of a spirit of unrestrained,
enthusiasm, This state of mind can be accounted for in
some degree
to the financial
aspects of the situation which
point toward a lower
level of business
activity.
one
His
~
easier
an
iron
is
wages
Thompson President of both.
"Some important easing in sup¬
ply
steel
substantial
price
near future.
Scrap appears
settling around $30, Pittsburgh,
for heavy melting steel. The
trade,
generally, leans to'the view the
a
;,}FfM#jbr pmphasis in the steel in¬ rescheduling
1
higher
any
cut in
to
support capacity operations. Tight
supply persists in face of recordbreaking
peacetime
shipments
"Buyers stand to obtain
substantial reduction
no
anticipated,
precluding
by
vocal oyer what
(2779)
the
at
are
the
ago.
in
j
because
users
latter have been
they
of
cerned, orders on the books for
structural shapes and plates were
all-time peacetime peaks.
were sour notes in the
"There
the
ful waiting attitude on the ques¬
tion of prices. Equally as impor¬
and
break
'into the millions'.
run
"A breakdown of
currently
..
rising
"Reports
& FINANCIAL CHRONICLE
Total
retail
volume
rose
x
mod¬
erately in the week with special¬
ty shops crowded and Summer
apparel and sporting goods more
eagerly
sought
than
in
previous,
weeks.
Wholesale
improvement
volume
also
showed
remaining
moder¬
ately above that of the corre¬
sponding week a year ago. Moxt
buyers
displayed
considerablecautiousness
in
regard
to
priee-
and
quality. The supply of many
previously scarce items contmueiL
to increase and shipments
gener¬
ally continued to improve jn both,
size and regularity.
Steel
steel
Industry—Unbalance
inventories
major
reason
has
been
la
the
for temporary shut-
(Continued
on
page
7)
<'
'.
'
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COMMERCIAL & FINANCIAL CHRONICLE
•'*
.'•
termed
*»ci 'o*
•
As We See It
•'
•
tStot"
v
'
•
A
market.
the
particularly disapproving eye
^Oeveled upon profits —
which have been good in re¬
which, it is
cent months and
economic
physicians, will continue to
$$Rhigh in the absence of
"greatly reduced prices.
ttssumed'
purchasing-power ex¬
ists In the hands of the
pub¬
by these
without all sorts of vexatious
in-":7,
the swollen
'
\.r >f
»*r7*i
*-
"^
'
Thursday, May 22, 1947
;
-
HOLC to Be Liquidated Without Government Loss
'"
Final
lic in amounts undreamed of
.W"
,
in years gone by.
It is not
thing," for no* good reason, particularly active as yet-without ^regard to the effect
and for that there are good
upon the economy as a whole reasons—but
it
is
active
may be. There has been very
enough to have enabled prices
considerable improvement in
to rise to present levels. This
this respect. since the days
super-abundance of money
when strikes, wild-cat as well
has as yet eaten its way only
as others, virtually blanketed
partially into the economic
the land a year ago, but there
structure. ' Either the "process
is still enough of all this to
of inflation will continue with
make it exceedingly difficult
or without interruptions until
to operate a modern business
eventually prices have taken
order
in
off
duction
i''
■
(Continued from first page) -
that
power
may
be
^equate to take current pro¬
^-hbstantially
'
■*'
M
•■
,r
snvAuV
idt
'loof/i/iVI
ai5tW02Ki UADf&Wn >1 <lMDKSBMO:yKHT
'
,
figures
thq operations of all loans made.,, About 7/10 of
on
Owners' Loan Corpora-
of Home
tijOn; to last January 1 reduce the
tbrporation/s losses pn its proper¬
and'
ties
give
further;
assurance
that final liquidation of HOLC
will be accomplished, ^without loss
io; the Government, it was an¬
nounced
Home
Loan
Adminis¬
Bank
tration.
"
paid from borrowers'
were
the balance through
in connection with
the sale of property.
'
Other developments in HQLC
operations during the year in¬
own
funds,
refipanc/ng
cluded
on; May ,18 by John H.
Fahey, Commissioner of the Fed¬
eral
them
reduction in debtors' ac¬
a
counts
or
$217,070,000
by
to
bal¬
a
of
$636,463,000 and the :re¬
tirement of $259,596,775 in Corpo¬
ance
ration
"HOLC losses should be entirely
blirninated before this, venture in
pending by
a Government to its
cihzens is completed by collection
of the last installments
on
maining loans," he said.
the
bonds, leaving $626,975,825
outstanding.
The number of remaihing borrowers, including also
purchasers
of
HOLC-aequired
houses,
the
re¬
"Instead
388,000 at the end of
was
nearly 98%
maintaining their pajmients
Of these,
year.
were
or
were
less
than
supply of money
suffering expected huge losses
costly interruptions or into account, or we shall as on its loans to save owners and to three months behind. More than
bail out! financial institutions in
81,000, or nearly 21%, had loan
J;" This sort of exhortation expedients.
rapidly as may be possible re¬ the depression years, at ' final balances of
$500 or le?s.
Over
r'therapy is, of course, not very
duce the supply of money.
22%
liquidation
HOLC
will
be
able
to
more, or 87,000, had balances
Aversion to Work
-likely to be effective.
It is
This latter highly desirable return its original capital -to the ranging from $500 to $1,000. Ap¬
The other factor is the cir¬
consummation is not likely to U< S. Treasury intact, plus some proximately 70% of the borrow¬
"probably as well that it canearnings."*
;
cumstance that as judged by
ers, numbering 269,000, owed the
be achieved without large and
"pot be made effective. The
About ten years ,since it com¬
Corportaion $2,000 or less.
vassumption implicit in such performance even after years continued reduction in the pleted refinancing a million pastPrior to the war HOLC had
recommendations—that were of New Dealism, the wage Federal
due
mortgages and embarked on sold most of the 198,000 houses it
debt, a reduction
earner of today by and large
the more formidable task of col¬ acquired—in the largest and most
achieved by curtailed expen¬
fall elements in business comwidespread real estate sales un¬
Imumty, beginning tomorrow simply will not give a full ditures not by heavy taxation lection, the Home Owners' Loan
Corporation reported that it had dertaking in the Nation's history.
morning, to reduce their prof- hour's production for an alone. Yet where in the Ad¬ liquidated its $3,492,000,000 in¬ Only 54 properties were owned by
its to something approaching hour's vastly increased pay. ministration is there a friend vestment down to $637,000,000, or HOLC at the end of last year.
Exhortation Therapy
£01
of
schedule
on
and
v
.
*
1
the economy would be There has been in the past
jgrqatly benefited—is open to much talk of vastly increased
-the -gravest of suspicion. The hourly production as a result
"Old-notion of lack of purchas¬ of shortened work weeks or
Such has not
ing power is of course sheer work days.
ifiqpsense;. The idea that prof- been the way things have
-iWiaro subtracted from the worked out. We today have
* funds
entering the market for much shorter work weeks—
but less willingness on the
~gobds and services is equally
silly. The belief that buyers part of the wage earners to
sw,quld crowd the markets as apply themselves to their
In many instances it
soon
as
prices are reduced tasks.
^
^sufficiently to cut profits to has become almost a Sin to
;jthe" bone is pure assumption, apply oneself sedulously— a
fjhe possibility that industry sin that may be punished by
and
trade
presently
might
find themselves in
,
if
pdsition
■
Bqilt
make
difficult
a
no ' > reserves
loss of
is in addition to the vast in¬
in what
crease
are
All this
employment.
is known
as
"feather-bedding" throughout
up now while conditions
such
action
possible
most industries.
v
•
No economy can indefinite¬
not to have occurred
Washington wiseacres. ly tolerate this sort of thing
Competition, not some poli- and thrive. Indeed, it cannot
tolerate an indefinite growth
fti&ahvfesl«)uid^:fe#the I
of profits and prices.
Any of it and live. This type of
other way points to trouble abuse is in part at least a
appears
to the
,
if not disaster.
product of the monopoly po¬
But are the planners con¬ sition encouraged and pro¬
sistent in their advocacy of moted by the labor legislation
such ideas? Certainly not if of the New Deal years and
actions and recommended pro- the labor legislation which
K-'ri-'
'
•
;
:
r.
grams
of action are taken into
as, of course, they
must be. Certainly not if stu¬
the
account,
has
died avoidance of mention of
from attack.
certain obvious obstacles is to
situation
be included in the evidence,
?
obviously, that, too, must
as;
so
present Administration
repeatedly defended, and,
far
await
into
as
a
could,
it
The
shielded
cure
of this
the
labor
market —but
sult of several factors, some
disposition to do anything of
of them
the sort—and
likely to come under
control only as r time passes
hardly consistent with ■ cur¬
and things generally get more rent
preachments about
settled: to ; peacetime opera- prices.
; '
f **
V
*
f
tf
But there
5-
,
:•
are
.
,
rh
-.
'
»
t.
two
/,,;
> { *
•
1
-
funda-
ed—that
what
is
find
we
the planners today.
among
by about 82%. v ..
The
figures at
1946,
disclose
bxCess
to
special
a
on
May 19.
pointed out that the
had provided "some
insurance
protection against
Government
three" of what he described as the
"four basic risks to the
working
people
security of
fami¬
their
and
The President said that al¬
lies.1'1
though
some
forded against
protection was af¬
unemployment, old
age and death, the
sickness—was
still
fourth risk—
element in
missing
social insurance
"the
our
major
national
program."
that
an
insurance
plan was the democratic way of
dealing with the menace bf, seri¬
ous illness which requires expen¬
Declaring
sive
and
services, Mr. Tru¬
continued: "It is
the only plan broad enough to
meet the needs of all our people.
"Under the
program which
I
have proposed, patients can and
will be free to participate or to
reject participation."
care
man's
message
Besides
a
health insurance pro¬
the President's message re¬
quested, according to the same
gram
advices:
health
public
substantial
30, 1944.
$106,879,These fig¬
take
considera¬
not
in
into
Loan
Corporation
Corporation.'
a-
averting
have
'
succeeded
i
n
their properties
years;
Mr. Fahey re¬
ported.4 "In 1946, almost 96,000
HOLC loans were repaid in full
ahead of maturity dates, bringing
the number of mortgages entirelv
paid off to 616,413 or about 61%
of
loss
74%
on
those houses and over
their
of
book
includ¬
value
ing the capitalized charges listed
above.
Excluding New Jersey,
New York and the New England
States—where recovery
frorp'.tb©
depression had been much slower
than the national average—HOLC
had sold nearly 93%
sitions
up
prices
equal
to the
of its acqui¬
end of
1941, at
100%
almost
to
the original loans and
of
79%' df the
capitalized values.
4
'
most of them may hope thai they
will achieve economic recoveryThe peace of the world can be
President
Reports to
Congress on UNRRA
realized
free
In, his 10th quarterly report to
Congress, May 15, on the United
only
from
when
the
fear
of
people are
hunger."
,,
Nations Relief and Rehabilitation
Administration,
Oct.
quarter
1
covering
(the
through Dec. 31.
1946, President Truman renewed
request for authorization of
United States participation in the
International Refugee Organiza¬
his
the
of
tion
Nations,
United
ac¬
cording
to
Associated
Press
Washington advices. The Presi¬
dent also asked appropriation of
$75,000,000
to
implement
this
country's share in the task of
caring for persons • driven from
their homes by the war. The As¬
sociated
Press
advices
from
on
Mr,
Truman
concluded
his
re¬
port:
"The! goal is close.
The
States
canhelp ; many
countries reach that goal in a few
United
months
more
plies
through
the
have
no
the
joint
relief assistance
on
I
which
doubt
will
what
UNRR
has
provide.
that the Ameri¬
people desire that
can
sup¬
resolution
we
well
so
finish
begun."
No Recession Seen
In Jobless Census
According to Census Bureau
es¬
timates, recent unemployment fig¬
ures
do
not
indicate
business
a
Mag 15 also had recession, Associated
the following to say:
gram.
resulting
valiles
war, Mr. Fahey shid.
Pearl
Harbor,
approxi¬
nal loans
the
over
estate
mately 80% of the Corporation's
properties had been sold. .; The
prices averaged 94% of the origi¬
Some four out df five of HOLC's
borrowers
opinion,
some
the
Before"
its investment'in the capital of
surance
real
from
re¬
the Federal Savings and Loan In¬
Associated Press advices reported,
in which he
the
to
HOLC 's profit-and-loss picture
was little affected by the inflation
tion cumulative' dividends due the
on
President Truman sent
to Congress
June
do
ures
31,
losses in
earnings amounted
Home-Owners'
Insurance Plan
message
that
net
duction as-eompared to
000 at
Truman Seeks Health
of
$58,319,000—a
-
Contrary
December
ington advices
Press Wash¬
stated on May 9.
f
that is
a
long, hard cure.
reason for high
prices of industrial Meanwhile an influential
products is the high cost of leadership in Washington
their production. The primary could without doubt do a good
factor in this high cost is the deal to enlighten and reshape
low output per dollar paid out the "ideology" of the union
in; wages.- This low, produc¬ membership of the country,
t But
there is no apparent
tivity, as it is called,, is a re¬
atjions again.
program?
badly confound¬
(1) Adequate
-current
"T"
a
Confusion
must,
of
course,
services, including an expanded
return of competition maternal and child health pro¬ Washington
JBef The basic
"
of such
(2)
Funds
research
for
and
•
"The
total
to
our
"The
have
'
National welfare," he said.
heart of that program is
this failure is Britain Draws
on
31
!
were
870
tons
valued
at $2,311,225,-
totals," it added,
"shipments from ; the
United
States were approximately 14,890,685 tons valued at approxi¬
mately $1,664,082,000,
or,
re¬
spectively, 75% and 72% of the
US Loan
,
Great Britain, in recently cash¬
total/
,
these
"Of
Giving
a figure for April of 2,420,jobless, a slight rise from the
figures of 2,330,000, the
000
March
Bureau
of
shows
2,700,000
in
the
postwar peak
March/ 1946,' fol¬
lowed by a movement downward.
The
and
90,000 rise betweeq, March
April was contrary, fq the
normal
000, the report said.
;
ing another $200,000,000 of the
$3,750,000,000 United States credit
has brought total withdrawals in
ten months to $1,750,000,000, ac¬
\
Ignoring a Basic Cause
cording to a Treasury disclosure
Again—and we may as well on May" 14, Associated Press
face
the fact—the
current Washington advices stated. This
is half the total sum which origi¬
by last Dec.
approximately 19,885,-
UNRRA shipments
program
proposed is crucial
National health insurance."
>
valued at $182,Cumulative world
732,000.
health
showed
tons,
813,192
.
which I
report
shipments of supplies from the
United States amounting to 1,-
(3) More hospitals and doctors,
especially in sparsely settled
areas.
UNRRA
The
medical education.
was a
trend, as there uusually
slight decline in upjernpiqy-
ment at that time.
Bureau
has
no
1. A
is
official
said
But
the
a^enspa.
increase
significance because:
considered
^
"visuallyuho
change," since the figures
,
-
change of less thanrlOOvOOO
are-es¬
;
value of timates based - on cross4tctibn
; supplies
remaining • to be samplings.
■,
\
shipped oh Jan. 1, 1947, was a
2. When the April estimate was
world total of $660,000,000."
"
;
"The
approximate
.
jneptal factors which keep the
made (in the second week of the
labor cost of current produc¬
Referring in his report to the
month), about 100,000 scft coal
tion far,,. far above what it price situation has its roots in
nally British and American offi¬ joint resolution before Congress miners were idle due to
a1J,safety
to'
provide $350,000,000 for/relief
monetary , state of affairs cials had estimated would last
dught to be and could '; be
to
war
Britain approximately three years. assistance '
devastated shutdown." These were listed as
jy|t}ioutfthe^lightest hardship which goes back to, the pre- Receiit revisions in the figures cotihtries, tHe President (Jeclar^d unemployed.; koi
on a
war New Deal extravagance
.
t
single individual in the
land. One of these is the ten¬
dency
many
and
of
particularly to the years
finance.
As
a
however, were stated to calculate
that
Britain
would
withdraw
that
America
.
result of $1,900,000,000 in the first year of
of wage earners in
lines to "start some- these developments, what is
war
the loan.
*
:
,
;
necessary
this year
has
the
resources
One
census
official,said
"to carry them through phatically, "there is
into a new year in which
of any
no
em¬
indication
recession in these figures.'?
A' Volume
Number
165
4596
THE COMMERCIAL 8c FINANCIAL CHRONICLE
7/
,.<
,
rv
T»
''
Rate
of Federal Expenditures
*" ""
T
*
forces
into
(Continued from first page)
to
,
.
important lines of activDepartments store trade, the
ultimate objective of a very large
more
People who
are
,
>
radio
business
is. going,
he
day, "It isn't going. It has went!"
however,
Some lines of woolen manufacture
have run into heavy going. Shoe
cycle will be resisted by elements
of economic strength which have
perhaps
field.
should
engaging
ques¬
(1) Are
in for
we now
a general
(emphasis on
economic set-back?
general).
(2) Will it
depression?
That
prices started to hit the
in 1929 they quickly un¬
strong
also
the
deposit
into
on
deep
troubles
more
of
mentioned.
In
would
be
not
these
the
sort
troubles result in
sort of farm price collapse
followed
the
first
World
million
around
the
But at the
sectors
of
the
*
of
mentioned—and
the
time those
same
I
economy
some
about
have
more—are
almost
do
cheer
been
more
price
cially
tremendous boom in the
production
and
sale
of
non¬
time
the
goods
production
has ibeen
labor
of
of
Hence,
up'
by
troubles/ and
conversion?" problems.
as we meet
non-durable
more
nearly
indeed
than
its
run
it
overrun
the
boom
has
in
in
some
along
carry
while
that
tinues
to
in
to
Con¬
con¬
off.
be
view
have
supported
by
is
at
in
it
the
-
"
5
1
economic
any talk about
future it must be
a
dizzy, and
they will
ing
a
general
in the
•
-
■
r
see
near
no
basis
for
economic
T+
{«
*
At.-A.
•
.1
In
to
In
Jl'i'io
I„
v
ijjriUf-
a
ji7*7
I
v.;' >'
i
-
-
Tc
1941, in¬
is, taken of ele¬
such
I
as
not
—
have
cited
—
mentioned
even
submit that it is
I
rational
a
case
edge of deep
on
are
fact,
we
/a
part
are
of
end
the edge,
of the way
Historically
set-back.
the
of
that
it
strange
special privilege. The art
of selling is now
its
own.
coming back into
it
As
handling
does
so
the
wi^e
inventory and
credit problems will play a much
larger role in determining your
of
individual
your
than it has for
success
years. But unless we develop
pathological impulse to commit
economic
suicide,
the
set-back
should be in limited
scope
and
some
a
degree.
So
industrial
the
its
of
for
of
certain
a
the
it
is
economic
to talk
nomic
program
Quite
also
feeble
it
sure
on
is
the
as
a
safe
politi¬
So
it's
.
President
jviU
.
be
able
d
■
f'
to
-
averaged
39,700,000 yards
high monthly rate.
new
•
.
.
7
J
•
J
'
\ v/. n J VM.
<
•
S v
I
L V
X.
\
4
w
'
*
■"
•
H *4^
! N *4 ^ I
*ii'
Ci
Tllii
No
been
taken,
the
and
is expected
await
to
new
rope,
there
now
remain
after
V-E
Day—a
core"
of
approximately
of these, he
Most
000.
a
as
western
over
years
Eur— two
"hard
1,000,added,
refuse to return to their home¬
cloth
held
to
the
level,
the
hands
of
end
of
March
but
of
end
below
March
amounted
Total
pounds.
4.. t
lands
of
to
In
that
can
1946.
Shipments
of
domestic
31,500,000
for
a
He said that
in the first
similar
period, ac¬
cording to the "Organon." A tota
of
178,600,000 p o u n d s
were
shipped, an increase of 8%■% over
the
year.
corresponding
Shipments of
yarn
tire
manufacturers
in
quarter
period
aggregated
to
last
non-
the
first
122,800,000
on July 1, there
approximately 4,000 dis¬
placed persons in Austria'\ and
Germany ready to depart, for
resettlement, with visas to "ofte
South American country or an¬
-
other."
7.
In
he
one
*
to .another
duery,
expressed doubt that "any
had been repatriated against
Russia
despite
pressure
countries to
of nationals.-, -
turn
from
Soviet's neigh¬
the
and
boring
force^re¬
-v
.
t
pounds, an increase of 10V2%
Shipments to tire manufacturers
totaled 55,800,000 pounds, ap in¬
crease of 4 */z/
/'• M /'
-j
"
';
Exports 6f yarn by rayon pro¬
ducers during the first quarter of
the year totaled 3,500,000 pounds
an increase of 6%.
Of this total,
24%
tire-type yarns
textile-type
represented
and
the
balance
yarns.
Exports of
and other syn¬
during 1946 ex¬
ceeded those of previous years b,y
thetic
a
rayon
textiles
wide
margin, the "Organon"
veals.
Dollar
ports
these
value of
98&%
$141,327,000,
was
than the 1945 level and
more
re¬
ex¬
1939 value.
over
On_a
terials,
semi-manufactured
fabricated
above
goods
75,000,000
the
1945
and
amounted
pounds,
volume
and
to
34%
5V2
times the 19139 exports. Last year's
doubling of the-1945 dollar value
A
n
Elects Officers
At the concluding
session of "its
51st annual convention held at the
Marlborough-Blenheim Hotel/At¬
lantic
City,
the
Maryland Bank¬
ers' Association elected officers; to
during the 1947-48 term;
serve
Howard Duckett,
President—T.
President, Prince Georges Bahk'&
Trust Co., Hyattsville; Vice-Presi¬
dent—Norman B.
Boyl;
urer,
Westminster Savings Bank;
M. Cole, cashier,
Treasurer—W.
Citizens National Bank of Laurel;
Secretary
F.
Matthias
—
Reese,
Secretary-M a n a g e r, Baltimore
House; Assistant Secre¬
Clearing
tary—William B. Elliott/Assistant
C 1 e a r'fch g
Baltimore
Manager,
House.
7'
officers
ABA
also elected at. fhe
were
meeting:
0:7
,
Maryland
following
.The
'
/
^
of exports on an increase of
one-third
Member Nominating Committee
only
volume1 is —Robertson Griswold, Vice-Bresi-
in
physical
noteworthy,/the, "Organon" states.
Truman to Speak
A
on
White
announcement
disclosed that Presi7
Truman plans to address the
May
dent
Hdusd
July 4
13
Thomas Jefferson Memorial Foun^
dation
the
at
Charlottesville, Va., on
4th of July,
Associated Press
^he
Washington advices stated,
announcement said that the Pres¬
ident;
who
will
automobile from
probably
go
by
Washington for
Trust Co.,. Balti¬
^Alternates Member Nomi¬
dent-, Maryland
Committee—,H arp er^R.
Cashier,
First National
Bank!
bert P.
Burdett#, President, Fij-gt
National Bank of Mt. Airy;
President
Savings Bank
O.
—Leonard
ceremonies, had accepted ah
' to
'visit-
Mohticello;
Jefferson's Charlottesville home. 1
Engel,
Division—S. Walter
ident,
Bank
son
T'r
:H.
u s
of
Trust
Bogley, Pres¬
Bethesda/ Vice'Division—Addi¬
Reese, President, County
t" Co.
bridge. '
■
of
Maryland,
w''
7.'4-
/.YT'rrl
Cam¬
*k'*&
7
7.
Vipe-
Division
Treasurer,
Provident
Savings Bank,;..Balti¬
more;: Vice-President State Bank
President
the
invitation
Vice-Presi¬
Diyision-^Hu-
of''Baltimore;
dent National Bank
!\
J;/
>1 S({!
.
answer;
his will"
more;
**
to questions/ he
proposed Ameri¬
the
that
share for support of the or¬
will be
filament
rayon
users
political ^re¬
ganization - for the 12 months
beginning July 1 would be $73,500,000, or a little more than
40% of the total.
•;
*»•"'•
by producers at the end of April
amounted to 10,300,000 pounds.
quarter of 1947 broke all previous
of
-
response
said
stocks held
rayon
fear
for
prisals.
March
37,400,000
linear
increase over the
small
a
at
in
the
at
nating
Clark,
bility I- have learned .that it -is
particularly rash to risk predic¬
tions. Hence, J make nope*f
•;
•;
new
that recommendation
they swept
we
weather, but no hurricanes are in
sight. If we use our heads we can
steer into a long stretch Off ine
weather. I fervently hope we shall
use Our heads.-But on that possi^
ii
vti.- ?*51
which
meantime, we are mov¬
ing into some disturbed economic
say,
i
in
of
British and American armies
29
for
form
needed.1'
absorption before again urg¬
ing legislation upon Congress.
Mr. Hildring said that of the
7,000,000 refugees found by the
any
March
the
is
figure from the State
Department of proposed refu¬
production for
ended
say:
Union
gee
by 9%.
of
in
on
yet
the
history, exceeding
weeks
on to
the
displaced persons, and
that
"Congressional
President
an
In the
that, the
;
But in the kind of
living, talk about business-ja
decade hence is a little like dis¬
cussing immortality. That is a
branch of theology with which I
claim no professional familiarity.
be -wrong is purely
-
me.
are
that- the
on
on
international world
not
."Right,again!.", The- fact
J I '"I
.
chance that you would, ever check
are
odds
since
being relatively
there, is
very / little
up
-
sorts.
speculation
A
business set-back.
whole
Such
contrary
Grade
a
health.
has the virtue of
on
shall have
fifties—particularly
don't follow my particular
prescriptions for perpetual eco^
prices, I do, not want to im¬
that
as
has
first quarter of 1946 by 10%
and the last quarter of the
year
four
of
added
action
the
the
State
legislation
500,000,000
industry
nine times the
far
if you
going
be lowered
rapidly. We are
going to have, indeed are now
having a business set-back of
i
quarter
records
are
sort
to
1
stabilizing
quite
penod when giving a person/the
opportunity to buy something was
often treated as the granting of! a
price structure.
our
''('Aji.tir-
»,
;:jV.
consider¬
the
into
elements of firm¬
new
incidental/politically:
,:0
.
for
yards,
on
we
marks
meantime,
both
guarantees
(in the
sion, T-t is true that
any consider-Treasons may
able economic reverses of the sort
-
high
amounted
'
"
depression. We
in
the
indicating
Prices
.
approximately
nearly
we
By following the same course
they will see even less basis for
fear that we have
started .to ,slide
vintb a deep (1930 moclel) depres-
of
his
assistance
yards for the three-month period
This
output constituted a new
payments is
account
have
I
that
his side. Now he say's that
if prices are not lowered
ra'pidly
set-back
the
he
nylon and silk averaged 38,400,000
linear yards weekly to make a to¬
tal
advices went
same
mitting
production of
goods from rayon,
woven
is consid¬
States has done its part" in ad¬
quarter
in the middle
ord
future.
that
impossible to make
are
I
politics.
President Truman argued that if
price
controls'*were
not
held
prices would/go up fast and far.
Quite a lot did, so he has a rec¬
fear¬
broad
committee
message on Jan. 6 Mr. Truman
said he did "not feel the United
17,900,000 pounds of which 13,300,000 pounds were viscose and
4,600,000 pounds acetate.
First
The
In
42,000,000 pounds and ace¬
tate 16,700,000) were 4% over the
corresponding month in 1946. Sta¬
ple shipments
in April
totaled
Grey
of
such
The
cupra
yarn to
of
stated.
ering a Senate-passed measure
for participation' by this country
in the International Refugee Or¬
ganization of the United Nations.
Filament yarn shipments aggre¬
gating 58,700,000 pounds (viscose+
prices) add
cally.
.der .fhe bed, if they dared to look,
same
nouncement added.
case
of farm prices)
and wage
contracts (in the case of industrial
am
Othe^ might do. But if they look at
(•-the.:feasic economic! facts, rather
•e. than what, they fear might be un-
increase of 8% over
period in .1946, the an¬
an
weavers
into
the
of
301,500,000
physical volume basis,
it is
pointed out, the estimated pound¬
age equivalent of rayon raw ma¬
ply
what
guess
pounds,
to
over
Income
run
months
impression
all of them
lot of unions into
a
we
four
amounted
Rayon yarn' inventories of all
types held by weavers at the end
and
going
much below
very
if
pockets
situation
are
in the average of
down
"things1' can happen. Also a good
many''people are afflicted by. the
feeo'hdmic jitters contracted dup/bLtig the ;30's/ That also makes it
to
States
ments of strength in the present
high
a
limitations
'
usual
they
first
year
longer future is
concerned,
I
personally
have
greater misgivings. Without) too
much trouble, I can conjure'.up ,8
grave economic depression along
.
con-
intoxicated atmosphere,
which entirely unpredictable
harder -thaii
If
reduced
to talk
ness
'sid^fably
''.in
1941:
government
'recognized that we are still opehatijig largely in, a,boom atmospnCre.' That is
prices
in January,
was
prices.
Of " course, in
'the
.
United
the
When
/\!
•
,
.
temporary un¬
employment toward the end of
the year it won't mean the abrupt
chopping off of consumer income
as it has at times in the past. Sub¬
stantial
unemployment
benefit
payments will be made. It is my
valuation*
into price reductions it would re¬
sult in a decrease of only about
Boom
a
promised
or
be
soon to
refugees into "the United States,
on," statistical, publication of the John
H. Hilldring, Assistant Sec¬
Bureau, Inc., a
retary of State on May 15 told the
report, on which was issued on
House Foreign Affairs Commit¬
May 9,-by the Bureau. Deliveries
tee,
Associated * Press
advices
in the
Weekly rate
pro¬
consistently underestimated.
rate lately. But if all
industrial profits were converted
Atmosphere
;
be
10%
Operating
loans made
in
force
opening their contracts and ac¬
cepting lower wages. It is true
that in a good many cases indus¬
trial profits have been running
books.
Still
it
sary
been
important,
$10 billion—the
next few years.
able
that level quickly it will be neces¬
generally
we
More
to
This
the
course
following.
order
time
with
cockeyed
seems
some
slack
consistent
for
;
President Truman i$
asked to approye a proposed
fig¬
ure for the admission of
European
Textile Economics
im¬
lines of business it will
over
Even
average
limb finan¬
a
industrial
as
January,
cases)
non-durables
on
month last year, according to the
May issue of the "Rayon Organ¬
February
dustrial prices as a whole are only
about 55%
above their level in
sequently, there is reason to ex¬
pect that the boom in durables
will
any
an
'7
•
Consumer
doubled^
far
thdn
(and
durables.
But for
have
can
Employment Prospects and
of-farm
prices v/hich is about !150% higher
far
course
the
War.
In contrast to the average
here, the boom
goods
any
poised abroad for expendi¬
tures
which
concerned, they are not nearly as
high as the political campaign to
talk down prices would suggest.
the
durable
tangled
the
on
of the total farm
So
and- material
technical 7
in
much
30%
upsetting the; farmers,
a
For
over
many
—are
Hence, the country can enjoy the
badly needed benefit of lower
food prices without even seriously
cockeyea. Tne
has
been
badly
goods.
loss.
stabilizing influence on
expenditures
which
ceeds of
as
10%
so. So has
the wage structure. We have been
durable
it
Well
During this war
period it has actually decreased.
Now mortgage debt is only about
you.
distorted, and remains
liaving
period.
in¬
the
government
trouble
period
rates.'
April shipments of rayon yarn
staple
totaled X 76,600,000
pounds, an increase of 7% over
shipments in the corresponding
and'
goods field.
they were after the last
war. During the first World War
period the farm mortgage debt
less
or
structure
to
the farmers out
for ; many
so
should
the
the
the
of
as
months to catch up
with
the
backlog
of
demand
created by the war. Happily for
you, this is particularly true of
your
customers in the durable
guaranteed prices. And
they go down, they won't find
continue
to
get
that
than
much
terrible
take
ernment
Ev$r siqce V-J Day almost
everything about our economy has
.
25
as
That
more
down
go
rather
could
In many
before hitting the supports of gov¬
working off some real aches and
pains, I think that other parts—
primarily those engaged in pro¬
ducing durable goods — will be
going full steam ahead; and will
months.
incomes
short
collapse, in which industrial
prices shared fully, ushered in 20
years of farm depression. But now
farm prices cannot fall more than
the tem¬
end
even
That
unemployment of several
porary
year.
have
I
aggregate, I
surprised to see
short
a
means
considerable
tax
Recently
the
over
not be exerted by a less
harshly ascending scale of income
farm
prices
have
started to decline, and there are
So far as I can tell the right indications that
they will keep on
answer to both of these
questions going quite a distance. This de¬
is "No."
I
think there will be velopment raises specters of the
a
Federal
decidedly
would
tem.
move
expen¬
April-Rayon Shipments Plan* for Admitting
the
takes
portant
system
banking sys¬
the
a
large
a
consumer
insurance
buttresses
the
♦
But it also
up.
dividual
"
4,000 banks failed in 1933.
Now
the banking system is fabulously
liquid. Not a single bank has
failed in the last two years. A
tions:
of
have
deplore
government
great weakness in the
banking system which was tied up
by a lot of loans that could not be
liquidated.
As a result an even
Consequently, it brings into sharp
such
,
may
individual
covered
pattern which, on some previous
occasions, has wound
up
in a
general
and
deep
depression.
can
-
into
a
very
go
When
skids
ex¬
the steep ascent of Federal income
tax rates as individual incomes
they
as
that
those
as
You
Price Outlook
spreading from small be¬
ginnings to fields of major im¬
portance this slowing up of eco¬
nomic activity has been following
two
much
as
be.
Questions
In
relief
run.-
of them which
some
stressed
another
relatively fixed
stabilizing influence
the 20-minute limit. But here are
not
J
econo
depression,
remains
-
government
.
are
"
large volume. I certainly do,
ditures
never
indications of
deep
,
volume of
like degree in a
building is blurred, partly by
strange weather, but there seems
to have been considerable slowing
up
in that crucially important
Two
fact
his. job. This time,
this potentially vicious
been present in
similar period.
Merely
a
catalog
of
these
strengths would carry me beyond
manufacturing is still another line
where activity has slowed greatly
in recent months. The situation in
*
general proposition. But the
a
as
lost
has
a
very
survivor commits suicide because
large
a.
manufacturer remarked, the other
jS "
guarding against dropping
penditures/I am sure that most
of you deplore the fact that Fed¬
eral
expenditures
continue
in
laid
off buy, less;, in their turn, the
and diverse volume of business people who supply them then buy
activity, is one; Radio manufac¬ less, and so on until, perhaps the
ture is another. Asked where the logical' outcome is that the last
themselves.
~
is the present rate of Federal
underway tend to feed upon
now
ity.
J?
Returning- to /the
7H7
lo
'
Y7'~ibk
5
THE
(2782)
.
From
Department appropriation,
the
Republicans
had
advance
copies of a speech that was to be
made by a New Dear member and
-the knowledge that it was Written
xnerce
>
;
the sponsors of this state¬
The New Deal gave them
about
ment.
place in the sun, gave them the
opportunity to
expand their
breasts and
make their fellow
a
jump. One of them had en¬
joyed success in business, another
had enjoyed a relative success,
ply sat quiet and listened to him. but' to the third, the'New Deal
They would not have received this meant not only power but the
kindly treatment had the tables first taste of a better life.
Yet in their gen¬
they did not em*
Larrass the member,
they/sim¬
hy a Commy,
tlemanly way,
men
They
been reversed.
These
out the term
their oppoFor the life of me, I have
been able to See the slight¬
fascist
ments.
:
mever
to
apply
difference
est
a
throwing
of
^way
have
bunders
smear
Hitler,
to
and
between them
Hitler
that
except
per¬
secuted racial minorities and
make
they
profession of being their
a
Like,
friends.
Hitler, like the
Klan, they traffic in
minds; they ring the same
tunes on the mob, they play to
the same baser elements, envies
sand prejudices., One of their sales
■points is that they -are against
lynching.
They
have
lynchbd
more
reputations than all the
Klux
lu
-weak
anofos of illiterate whites since the
■Civil War.
w
is high time
treated with the
It
that they were
contempt which
they deserve.
They are the same
jpeople who, when not seeking to
^destroy
reputations,
are
trying
their level best to talk the country
unto another depression.
•
ployed Bu reaucrats—proclaimed
solemnly that another depression
inevitable
unless
their ( im¬
possible recommendations
were
adopted.
It is a/commentary on
what Washington journalism has
to
come
be
that
their
statement
xeceived wide and prominent cir¬
culation. It was issued with greht
and at considerable ex¬
More than 100 correspond¬
ceremony
pense.
ents
invited to
were
Tbe
good
Trust
old
so-called
did
never
luncheon.
a
Power
things in £f
bi^-
gfer way than this.
There
is
pathetic
Medina US Judge for NY
Harold R. Medina of New York
was
on
named
by President Truman
15 to be United States
May
District',Judge for the Southern
District of New
York, according to
special dispatch from Washing¬
&
ton
to
The
appointment
till
the
the
death
-
New
vacancy
of
York
'Times,"
required to
created by the
was
Judge Samuel Mandel-
dbaum last November.
The Presi¬
dent's nomination was stated to
Rave ignored the wishes of Demo¬
cratic party leaders in New York
who were in favor of Representa¬
tive Benjamin J. Rabin of, the
Bronx.
However, Mr. Rabin's eli¬
gibility was challenged on the;
that
ground
House
as
a
member
the
of
""Times"
Mr.
'
dispatch -added:
Medina, who is 59
years
old, was on the
faculty of
Columbia University Law School
for many years. He. is a senior
.
,
.
mended* President
Truman
his choice of Mr. Medina.
for
Fol-
lowing are excerpts from this
statement, according to the same
advices;
"Vice-President
Chairman:
of
and
the
former
Executive
Committee of the Association;of
the Bar of the City of New York,
author,
i
:
scholar,
law teacher,
appelate lawyer, Mr,
Medina fully measures up to
the exacting requirements of
trial
.
an
Everywhere one goes he
effect.
uncertain state.
I find a disposition on the ".part
of the people, too, to make all
they can, by any manner of means
they can, because something awful
finds people in an
is
going to happen soon.
It
men
They
that
not
matters
the
three
better informed than
else who has the time to
and study.
Only one of them
are no
read
.
Armed
Senate
The
Services
,
,
sales or
No
with the President
purchases
March,
$8,137,000 sold
700,000 sold
'
sales or purchases
and
the office.
"For
a
number
has been, lecturer
,
:
practice
at
the
of years he
on
tion's
April
June
385,OO0 purchased
69,800,COO sold
v
July
.
3,300,000 purchased
-—
May
157,800,000
41,211,700
74,053,450
122,954,250
________
August
______
September
October
———
_____
November,'
sold
sold
sold
sold
centrated
57,572,000 sold
20,300,000 sold
—
.
_'
January
March
-
121,000 purchased
or purchases
_—
No sales
______
sold''
4,700,000
_________
April
.
61,285,000 sold
-
,
.
N
a
t i
a
o n a
C.
was
W.
.
1
Security Council. He suggested
that membership of the council
should be made up • of cabinet
members, congressional leaders,
and heads of business, labor ancl
'.'■President
veterans organizations,
1047— '
;
under
convention
Bailey, President of the Ameri¬
can Bankers
Association, who
urged farmers, to increase the
productivity of land by conserv¬
ing the soil, instead of "pledg¬
ing
.
lands now paid for-to
buy other lands near by."
Farm
lands uow index at
140% of the -1912-14 "normal'*
price, compared to a' 1920 index
of 151%, he said.
Stating that "emphasis has been
wrongly
placed,"
the
wartime
Navy chief said that "all diplo¬
matic,
civilian,
industrial
and
manpower efforts" should be con¬
No
—.—_____
of
Bank
Kan,, for the last
11 years, started there in 1903.
Guest speaker at the Associa¬
Chairman.
January
February
National
Kansas City,
its ex-offieio
as
Stilwell, President of the
Mr.
Commercial
,
1946—
Associa¬
of
Stilvcell
W.
E.
City, Kan,, President on.
May 16, the Associated Press re¬
ported from Wichita, to the Kan¬
sas City
"Star," from which this,
information was learned,
—._
December
elected
Kansas
t
Truman
May
on
14
named Andrew N.
Admiral King, who is on duty
Oyerby(< for¬
in the office Of the Secretary of merly an Assistant'"Vice-President
of
the
Federal
Reserve
Bank of
the
claims to foe an economist and his
Nayy, was said to have' em¬
phasized that lie was expressing New.'York,; to He .'United States
"my own personal views and not- executive .director ''of "the Interna¬
Mr,' Truman and his economic
necessarily those of the Navy tional '' Monetary.'' Fund,'' to • serve ■
for a two-year term and until a
advisers do not look for a depres¬
Department," ■
Forums- andhseminars at .which.,
successor, is appointed. The nomsion.,
Their fiscal plans certainly
85SSSKC*
bank people discuss developments
inaiiou
was ' confirmed ' by'
the
do mot contemplate any such thing.
and trends Mn- banking.., business,
Tramam Sees World Peace Senate' on 'May 21. .'Mr. Overby
Yet, ■ for political purposes, the' and national affairs are an im¬
President, Truman, who was 63 succeeds'Harry D. White, who re¬
President lends his voice to the
portant part of the educational
years old on May 8, spent the clay cently' tendered his resignation..
calamity
howlers by, crabbing
program carried on by 93 of the iri much
Mr. Overby, a New Yorker, has
his usual way at his desk,
about prices.
220 chapters of the American In¬
and held a brief news conference recently been serving as special
Some mighty artful and vicious stitute
pf Banking, according to a, during which he told,
to
Secretary of the
newspaper aceistant
propaganda is slowly working in report by John H. Duerk, Chair¬
and radio correspondents that he 1reasury John W.
Snyder, and
this country, it may or may not man of the National For urn and
believed
lasting
world
peace has served as an alternate to the
be a coincidence that a depression
Seminar Committee, which was
would be attained eventually. The Secretary on the National Advis¬
is just what Stalin would like to made
on
May 16 ■ to George J. President was described
by his ory Council o n International
have.
It is about time that there
Greenwood, Jr., national Presi¬ White House aides to be in the Problems.
fellow economists
inclined to
are
question this'-claim.;
—*—
1
■■■
,-'1"
"l>"
■
,
.
•
be some loud and forceful counter-
dent
propaganda, and
calamity howlers
is from the Howard Savings Insti¬
it
that
seems
at
least they
could
by decent people,
to as authorities.
,
not looked up
the
insofar as the
are concerned,
Bar;
for many years his
for candidates for ad¬
courses
mission
to
garded
as
the
bar
Were
re¬
essential preparation
for the bar examinations.
best
this
Mr, Duerk's report shows that
during the 1946-47 Institute year
,
time when he is at the peak of
98
Mr.
Medina
will
strengthen the court and render
valuable assistance to the over¬
worked
and
able
judges
birthday press conference of two
when he announced the
of Germany, and then
briefly reviewed sue c e e d i n g
totaling mole
40,000.
There
Were
167
meetings, with an attend¬
ance of 19,060; 148 seminar meet¬
ings attended by 13,349; arid 132.
women's
meetings attended by
12,066.
He pointed out that al¬
though the nation had surmounted
events.
difficulties,
many
lems
The
Award
for
New York
2_s3uciacicn
'Enterprises/
American
10.
Purpose
of the organization,
it is
reported, is to serve the in¬
terests of American business seek¬
but he. did ing to operate in Britain, and of
his optim¬ British companies desiring to op¬
they ,,would be met. He erate in this country.
.
Nations
would
carry
out
White
House press phoio-
called by the President
grahers,
Located
at
271
Madison Aven¬
ue, New York, the group
sociated with it RobeiT R.
has
as¬
vYoung,
Chesa¬
peake & Ohio Lices, and William
of
Chaiiman
indus¬
the. "One More Club" from their
R.
been
habit of asking for one additional
Cleveland
has
statesmanship
-
Britain, is reported to have com¬
menced operations, advices to the
New York "Times" stated on May
expressed the conviction that the
Thomas A Edison Centen¬
trial
further, prob¬
its charter.
Memorial
British
Inc., recently been organized to
develop trade relations between
the
United
States
and Great
still lay ahead,
ism that
:
ECThe
Group Is Formed
not hesitate to express
United
nial
his
to
surrender
forurn
now
'
referred
Truman
years ago,
,
serving there."
"Happy Birthday,
American-British Trade
,
Mr,
his intellectual and professional
p o w e r s,,
a
President.'1'
Mr.
than
,
Press
Was
wish him
to
chapters Which actively*
participate iri the foriim and semi¬
nar
program held a total of 447
meetings.
Attendance at these,
meetings was 44,475, which was in
addition to the enrollment in reg¬
■
Associated
■
advices; stated, and
apparent to the corre¬
spondents Who filed into his, office
tution, Newark, New Jersey.
the
health,
of
Washington
ular Institute classes
"Only recently Senior District
Judge John C. Knox empha¬
sized the .need
for additional
highly qualified judges.
\
"Appointed on. the, merits at a
.
Mr. Duerk
of tire Institute.
Board,
the
Daley, President, Otis & Cd.^
litianciers.'
It
was
also-
when
taking pictures, pre¬
a birthday cake.
■
:
In the evening
the President
ufacturers Association in a re¬
and ,v'Mrs. ■. Truman, ■ with ■, their
port issued May 16;
4
The award was made by tlie daughter Margaret, were guests of
New York City Chapter, Ameri¬
honor at a. birthday dinner party
Association in cooperation with
can
Savings and Loan Institute,
Charles. A, Edison, son of the given by the Attorney General
announced the
announced that J, Ormond Law-
sented him with
scii-Johnston, who Las been as¬
sociated ..with various British; eri-
Presidency 'qi 'Albert' T. MauriCe
Information Office
pose
awarded to Henry Ford II, it was
disclosed by the New Jersey Man¬
Sayings. iKsfiliS©
lissls Sffgers
,
re-election
o.t the Bronx federal
to
its
Savings and
Other officials scheduled to take
Charles
F.
ciation
of
Kenpy,
Jr., of First
Federal.Sayings.and Loan Asso¬
Hempstead;
Second
Vice-President, George C. Riebe
of New Rochelle Federal Saving?
and. Loan Association; Treasurer.
John
L." Nozeli,
Knickerbocker
Federal
Savings and Loan- Asso¬
Governor, John J. McElroy, North
New York Savings and Loan As¬
Governor,
In
a
letter to
Mr, Ford,
•Jersey .Manufacturers Association,
.sai-d:
,
•...
"Those entrusted with this hon¬
feel
or
that
■the best qualified
Centennial
Ford, are
Mr.
you,
/or the 'Edison
Award'
.,
;
"Your
take
and
pleasure in Conferring
you because:
/
it
upon
V
,
leadership of the .great
industrial empire which bears the
name
"Your
true
curtail
made
Young, Flushing Federal Savings
more
shown
nor,
Louis
Kallman,
West
Side
Federal Savings and Loan Asso¬
M ciation.
teryiises. had been named Chair¬
has
the
done
ship
one."
which
a
will
In
Addition
funds,
to
the
veterans
the
$2,83.5,161,509 meas¬
ure
provided $135,000,009 for
Social Security
grants to the
states, $300,000,000 for relief
by
occupied coun¬
tries, $6,000,000 for the school
lunch program and nearly $590,-
bargaining'
benefit
has
every¬
resulution
passed
unani¬
.
the
sound relation¬
A
,
both management and la¬
bor the road to
House to Have
Appropriations Bill, passed mously in the House on May 2ywhich does net require. Senate
cn May 1; and receiving the Pres ¬
ident's
signature the following action, provides for the setting,
c'ay, carried $1,8.00,009,000 for the up of a "coordinator of iniormaVeterans
Administration,
and tion" to assemble, analyze >ahd di¬
will
result
in, resumption
of gest legislative data for the bene-'
monthly, unemployment and edu¬ fit of members, Washington ad¬
cational ' ppyments
to' 2,780,000 vices to the .New York bTimes-^',
To. be appointed,thJew
war
veterans.
Associated Press stated.
Washington advices stated,. and House speaker, the coordihafdri
will receive a salary of $12>O0O. &W
went on to say:
:
year, with additional. ^unc|ss. fqp {
inflation
than an idle phrase and
of the Board.
An
relations in industry
'collective
Clark..'
man
Vet. Apfiropriaihn Signed
leadership in developing
human
and Loan
Ford
of
.
.
to
C.
Henry
W, Johnson, President of the New
George has
Association, and Gover¬
arid' Mrs.;Torn
late inventor and industrialist.
proud
ciation; Secretary, Mildfed Mohienbrok, First Federal Savings arid •much
Loan Association of Hempstead;' spiral.
sociation;
.
.
Arriiy
in
000,000 for Army pay
raises.
"
\
tion
Bankers
Kansas
The
.
Committee on May 6 heard Fleet
Admiral Ernest J. King express
guaranteed securities of the Gov¬
ernment for Treasury investment opinions contrary to those of Sec¬
and other accounts,resulted, in net retary of Navy Forrestal and other
sales
of
$61,285,000,
Secretary raiikihg naval officers on the
Snyder announced on May 15,
proposed unification of the Armed
The following tabulation shows Forces, according to Associated
the
Treasury's, transactions
in Press Washington advices. Under
Government securities for the last pending legislation land, sea and
two, years;
air forces
would be given co¬
;
*1945-- ' "
-"7-. t -•
equal status under a single Sec¬
May
34,400,000 sold
retary of, .National Defense. Ad¬
June
:
*' 56,414,050 sold
miral King advocated rather that
July
v
17,000,000 sold
the powers of the proposed-overr¬
August
150,0C0 sold
September
12,526,000 sold
an Defense Secretary be vested
October
300,000 purchased
in a National Security Council,
November
No sales or purchases
have no unusual information. ;February ■'
anyone,
fergeref teffey, lansas -Bankers Assn.
:
,
market transactions in direct ahd
December
ofiice,on. July 1 for the year 18471948
are:
First
Vice-President
Webster, Chairman of its Coiri1. mitlee on the, Judiciary, com¬
■«"
had
dent of the
Lawyers Club.) ■
joint statement by Harrison
Tweed, President e-f the Bar
Association,
andBethuel.
M.
.
statement
their
But
Loan Association.
A
,
of company.
presence
member, of the. law. firm of Me¬
dina & Shcrpick, and is Presi¬
,
;
pared to do or say anything that
will bring them attention like the
small boy trying to cut up in the
JlgHi!
During the month of April, 1947,
,
he
had voted to increase
the salaries of Federal judges, The
.
Their names do not
be .ostracized
something
lone¬
tremendously
are
now.
daily grace the headlines. « So
Lhey have turned into full fledged
exhibitionists,
apparently" pre¬
in Ms. In
;
Only a few days ago, three of
them—in fact, they are unem¬
was
some
fldmiral King Opposes Istlbsfl Fresident of
Market Transaotipsis
Washington Ahead of the News
(Continued from first page)
Thursday, May 22, 1947
COMMERCIAL & FINANCIAL CHRONICLE
The appropriations are
various
.
:
(:,■
\s.;,,
The resolution directs fhq cpordinator to prepare data-qn biRs
June 30;
l,
"without
partisan bias int< selec¬
or
presentation." This was
interpreted in some quarters, the
tion
same
advices
continued,
as
am
oblique expression of dissatisfac¬
tion with the Library pf, Con-.
to run gres3' legislative, reference serv¬
agencies until the erid
of the fiscal year
several assistants/.
ice.
Members
relied for data
,i
.
•
customarily, have
pp the service
f{*9{
.d'P
■
.
Volume 165
Number
THE COMMERCIAL & FINANCIAL CHRONICLE
4556
in the
The State of
Ten Canadian failures
(Continued from page 3)
downs
in
the
automotive
indus¬
week
of
of
6.5%.
Local distribu¬
increase
national
kwh. compared with
170,600,000 kwh. for the corre¬
sponding week of last year, an
metalworking
the
situation
shutdowns
more
automobile
as
banks
support
clarified
be expecteu
can
which
will
is
makers
accumulate
weekly.
'
attempt to
of
recent
high operating rate at most auto¬
mobile plants.
The
steel
district
strike in the
two
temporary
weeks
Chicago
and
ago
slowdown
increase of 7.7%.
at
a
mid-
a
loadings of revenue
Higher—Car
ended May
10, 1947, totaled 884,242 cars, the
freight for the week
Rail¬
an in¬
American
of
Association
This
roads announced.
was
0.2% above
steel plant are only con¬
the preceding week, and 199,300
tributory factors to the crisis in cars, or 29.1% above the cor¬
steel distribution which has been
responding week for 1946. Com¬
brought about by the acquisition
pared with the similar period of
of too much of one item and too
1945, an increase of 45,478 cars,
of 1,558 cars, or
crease
western
little of
another, states the maga¬
Unqualified statements on
zine.
shortages tend to reflect on
ability of the steel industry
produce
and
ship sufficient
to
steel
to
The
meet
current
demand.
industry-has been establish¬
ing
records when
new
tions
have
with
not
by
been
its
interferred
material
shortages,
strikes and late deliveries
rolling
equipment,
Age" points out.
The
overall
products is
opera¬
on
new
"The
Iron
for
steel
great and the pres¬
sure for delivery so insistent that
periodically
some
temporary
so
shutdowns
in
bound to
are
fabricating
occur
plants
until distribu¬
tion patterns have been corrected.
In recent weeks, except for the
strike
in the Chicago district, the
above trade authority adds, the
trend
in
steel
upward
and
output
has
been
attempt has
been made to maintain operating
levels
97 %
of
rated
months
several
labor is
tive
than at
Despite
both
pro¬
now
any
construc¬
more
time in
years.
the
encouraging signs
of. better employee productivity
steel industry officials are util¬
izing every method at hand to re¬
duce
unit
costs in
steelmaking.
bill, higher prices for
mechanical
and
rolling
mill
equipment and the higher level of
The
wage
prices
of
iorced
all
on
materials
raw
steel
firms
campaign
a
output
crease
to
and
to
cut
yet
have
embark
costs, in¬
maintain
the current wage structure.
This
problem at times has produced
reaction
cludes
from
the
customers,
magazine,
a
con¬
especially
when it resulted in concentrating
production
on
high
return
steel
items.
The
American
Iron
Institute announced
this
week
on
and
Steel
Monday of
the
operating rate
companies having 94%
steel
of
of
the steel
capacity of the industry
will be 96.1% of capacity for the
week beginning May 19,
1947, as
with 94.2% one week
95.0% one month ago and
49;.2% one year ago.
This repre¬
compared
ago,
v
sents
an
increase of 1.9 points
or
week's
operating; rate
•equivalent
is
to
1,681,700 tons of
ingots and castings com¬
pared
with
1,648,700
tons
one
week >ago,N-1,662,400
tons
one
,
.
month
ago
year ago.
<
and 867,100 tons *
,
one
Up
Electric- Institute
—
The
reports
the output of electricity in¬
4,653,137,000 kwh. in the
creased
week
ended
May 10,
1947, from
4,040,371,000 kwh. in the preced¬
ing week.
Output Tot the week
ended May 10,' 1947, was
19.0%
above
that for the corresponding
weekly period
one year ago.'
Consolidated Edison Co. of New
York reports system output - of
193,700,000
ended
with
Remain
Business Failures
same
High
—Although falling below the high
registered in the previous week,
in
the week
numbered
fail¬
industrial
and
commercial
ending May
15
exceeded
only once since early 1943. Dun &
Bradstreet, Inc., reports that while
there
88,
total
a
10
were
failing
they
fewer
than
the
a
week
ago,
times
five
over
were
of
98
as
in the corresponding
as
when
1946
only
16
oc¬
for
account
of
most
last
week,
in
1946's
none
1946
Level
for
—
April
turned
contrary
to
cline
corresponding
from
the
like
1946
the
fail¬
$6.00.
While
the
drop
mar¬
from
rise
a
of
$4.21 recorded
ing date
42.5%
and
price
general
total
sum
pound
per
The
prunes.
the
of
31
Wholesale
Index
Off
foods
The
-—
losses
under
$5,000
were
down
previous week to
just ended. This
size group also showed a sharp
uptrend from the 1946 level, how¬
ever,
since there were only 3
small failures in the comparable
from
15
17
in
in
the
week
a
the
week
this week in
spite of the slight de¬
and industry
cline in other trade
Together, these two lines
groups.
claimed
three-fourths
about
weeks
failures.
total
of
Manu¬
facturers
failing
numbered
37
against 35 last week and 8 a year
ago. The increase was somewhat
sharper in retail trade where 32
enterprises failed this week as
compared with 26 in the previous
week and only 2 in the same week
1946.
Failures
trade,
after
registered a
the
in
wholesale
upturn
declined
to 8 in the week just
ended. In this trade group,, how¬
ever, as in all other industries and
trades,
concerns;
failing
were
from
ward
13.
week
sharp.
ago,
19
numerous
the
to
than in the
com¬
index
stand
turned
at
252.86
May
on
6,
and
with
194.23
corresponding date
markets
on
on
the
year ago.
a
irregular
were
with prices dominated by contin¬
ued tightness in old crop wheat
an«f
the
prospect
creased
year's
harvest.
in
lower
of greatly in¬
following this
supplies
the
Prices
latter
part of. the
week after publication of the offi¬
cial government forecast of
a new
all-time high Winter wheat yield
of
1,025,000,000 bushels this year.
Strength in corn reflected good
demand for the cash grain,
light
country offerings and reports of
frequent
rains
retarding
soil
preparation and planting over the
main
belt.
corn
Flour
trade
was
slow and
prices weak, with bakers
restricting purchases to nearby
needs.,
clined to
shortenings de¬
new seasonal low levels
last vWeek.
Demand
for
kwh.' Jln
the
May
week
II, 1947, compared
181,900,000 kwh. for the cor-
in
centers
showed
a
States
where
con¬
failing numbered 21. In. the
New England and the East North
cerns
Central
States} failures exceeded
10, but did not rise as high as 15.
contracts.
' easiness
in
coffee
fu¬
tures, reflecting limited demand
in the spot market. Cocoa de¬
veloped further strength, aided
by good trade and replacement
.
y
ures
last
than 4
year.
concerns
In
with
fact,
no
no
fail¬
more
failed in any area
flected tightness
in the spot situa¬
tion. Other favorable factors
mill
were
price-fixing and trade price-
a
re¬
Department store '
from
7
to
reports
women's
indicated that
con¬
response
only
was
mod¬
supply of men's shirts,
and
other
furnishings
to increase
tered
price
items
reported.
with
reductions
The
lightweight
slacks
and
ago.
Considerable activity characterized
wholesale
was
scat¬
demand
Summer
for
suits
very high
with
dollar
a
•
markets
fall
showings.
In
cotton
goods
markets
business continued slow, although,
colored yarn fabrics were quickly
snapped up when offered. Price
differentials
between
forward
selling and spot offerings showed
some narowing.
In
durable
goods lines, manu¬
began liquidating ex¬
materials inventories
raw
in steel
sheets, bronze ingots, lin¬
seed oil and other lines. Prompt
purchases of these supplies by
other active buyers gave evidence
of a continued strong and active
demand
for
As Tor
production purposes.
wholesale
food
prices,
the trend continued downward.
According
to
Board's
serve
the
Federal
index,
Re¬
department
store sales in New York City for
the weekly period to May 10,
1947,
increased 8% above the same pe-*
riod last year. This compared with,
increase of 5%
ing
week.
For
in the preced¬
the
four
weeks
ended
May 10, 1947, sales rose 5%
and fqr the year to date increased
io;%.
George King Heads
i
New York Fund Com.
intensive campaign,
An
by
George
King,
headed
Vice-President
of the Chemical Bank & Trust Co.
of-New
heavy.
level the past week
volume
garment
advance contingents of buyers
as
these
on
Retail food volume continued at
well
above
licit
York, is under way to so¬
phases of Manhattan's
textile
industry
in
the
all
huge
Greater
New
Annual
Campaign,
on
May 7.
York
Fund's
10th
it was
an¬
nounced
The Fund is
year ago.
Fresh fruits and vege¬
New York's major appeal to the*
tables
were
in
heavy demand,
business community on the part
while the supply of canned goods
of the 423 hospital;-, health and
was
abundant and that of meat,
welfare agencies participating in.
fish and poultry ample.
The de¬
this year's campaign.
mand for bread, cake and other
Mr. King is directing the can¬
baked goods was strong.
Consid¬
erable resistance to high prices of vass among all firms dealing in
that of the corresponding week a
,
above that of the like week
year
an
of
but
,
all
food products was
cotton
reported.
Demand for durable goods gen¬
erally remained heavy last week.
Consumer interest in refrigera¬
tors, stoves and table electrical
appliances continued at a high
goods,
silks,
rayons
and
woolens, worsteds and lin¬
Brokerage houses, mills, fin¬
ishing plants, jobbers, converters,
dyers and many other concerns,
yarns,
ens.
dealing
in textiles will be can¬
by Mr. King's solicitation
organization in the campaign, s
level. The supply of building ma¬
terials increased moderately,
vassed
while
Associated with Mr. King in his
solicitation of the Manhattan tex¬
bile
that
of
hardware,
accessories
more
automo¬
and
paint was
easily available than in re¬
cent
weeks.
The
demand
furniture, particularly
and house ' furnishings
strong. •.
volume
for
case
for
goods
continued
*
the
country
for the week ended last Wednes¬
day
estimated to be from 8
was
12%
above
that
of
the
corre¬
tile
industry
leaders
by the following
year ago
and
England
Coast
per¬
6 to
8
10,
12,
to
Middle West and Northwest
9 to
13, South and Southwest 7 to 11.
There
was
a
slight
rise
in
wholesale volume in the week as
total
continued
volume
to
com¬
favorably with that of the
corresponding week a year ago.
A noticeable increase in the num¬
pare
registered in whole¬
ber of buyers
sale centers throughout the coun¬
try
was
ume
buyers
Fall
reported. New order vol¬
rose
moderately
placed
initial
merchandise.
Department
as
many
orders
for
•
store
sales
on
a
country-wide basis, as taken from
Board's
the
Federal
dex
for the week ended May
Reserve
in¬
16;
in
prominent
Ralph But-
are many
the
field.
land, of J. P. Steven & Co., Inc.;
Gordon I. Logan, President, Logantex, Inc.; David Seidman of
Heineman
&
Seidman; Weseley
Chase, Mt. Hope Finishing Co.;
Karl Herrmann,
Vice-President,
Herrmann Handkerchief Co.,' Inc.;
and
Frank
Liebrecht,« John * C.
Sleator Co., are among the chair¬
of
men
a
Pacific
was- some
improve¬
continued
East
old
For the East North Central Re¬ buying.
\
.•/
gion, this represented, a fairly;
Movements in cotton markets
sharp decline from the previous were irregular with prices show¬
week's high number/";
Only one ing the greatest strength at mid¬
region did not have anyfailures week. Nearby future
contracts
occurring this week as compared were relatively strong and re¬
with three districts
sales
apparel
ments
the
Pacific
in¬
activity. Interest
in the week
New
on
was
the
apparel
noticeable
centages:
1946
the
retail
steady increase despite good ship¬
sharpest rise ffrom} Hog V quotations were generally
during
the
week
with
level, 30 against pnly-1. steady
a} year: ago; The second-dargest steers and lambs finishing slightly
number of failures were reported higher than a we^k ago. There
showed
in
Summer
for
sponding week a year ago. Re¬
gional estimates exceeded those of
slow, while stocks at lead¬
reported
country
to
mained
Western
of the
responsible
re¬
ing
about one-third of the failures in
the week just ended. This region
sections
do¬
30 concerns
10%
Mild weather in
both
and
failing accounted for
the
account
mestic
export
of
year ago.
Retail
.
as
moderately
corresponding
underwear
\
Lard and other
to
weeks. The
worked
parable week of 1946. '
J ; T :;
The Middle Atlantic States with
,
a
men's
down¬
This compared with. 253.39
May
year ago.
retail¬
ing failures continued to increase
of
uptrend
lift
week
Hosiery and shoes were requested
more
frequently than in recent
last week. After a mild
in the first half of the
period,
last
dresses, blouses, and
portswear attracted much interest.
range
Wheat
Both manufacturing and
the
row
moderate
a
volume
that
sumer
daily
compiled by Dun & Bradstreet,
Inc., continued to move in a nar¬
than
Trade
Increases—Brisk
erate. Cotton
Commodity
one.
with
gave
retail
most
in
a
more
Wholesale
Clearance
the
curring
failures
and
Moderate
Spring
index
of
numbered the 13 large failures oc¬
by
weeks
•■■■.•
continued
Price
few
a
reported holding
Additional
closings
of
displayed
use.
Daily
of
were
part
in
for
five
Small
those
week.
crease
and
listed
better
estimated
was
cessive
in
the
hogs
were
retail
marked
reported
response.
of
most
barley, lard, butter, beans, raisins,
represents
on
ment.
steers,
eggs,
Declines
sumer
volume
facturers
week
flour, wheat, corn, rye, oats, hams,
bellies,
cheese,
cottonseed
oil,
lambs.
p.m.
mills, resulting from lack
orders, were reported during
above
a year ago.
cocoa,
retailers
sults
in
securing
merchandise
price lines in keeping with con¬
dollar volume climbed
the correspond¬
on
activity
trade here in New York last week
and
woolen
Advances for the week included
concerns failing
fell off from the
last week, but out¬
year ago
under
Retail
the
over
1947,
10,
to date by 11%.
Fair
primary
Show
$6.77 amounts to
the current figure repre¬
11.4%,
May
the
For
week.
ended
last
the
March 4 peak of
sents
increase of 12%
preceding
weeks
flocked in, for
auctions
price
13 remained unprevious level of
tne
^c
Business in domestic wool con¬
tinued quiet in the Boston wool
market. Prices in foreign wool
r>rPrjctre«t wholesale food
at
the
year
rate
gray cotton goods markets
week at bids ranging about
total
v.^dixgea
subsidy
ago.
weeks, and the Dun
May
export
reduced from 2c to
pound, effective at 3
buying
index for
in
coarse
2c
as the number of
in individual commodi¬
many
somewhere
and 21,500,000
that date. Print cloths featured the
de¬
wholesale commodity price index,
to
be
nine
in
plantings
cotton
ties exceeded declines for the first
in this size group
recorded
year's
■
per
ing last week
o.
pointing to a
being planted than
acreage
would
kets showed evidences of stiffen¬
advances
indications
the
Index
Levels Off—Wholesale food
an
This
year.
sales increased by 8% and for the
strong.
Price
compared with
the
above
last
000 bales of old crop cotton for use
The Department of Agricul¬
ture announced last
Thursday that
month.
Food
13%
of
acres.
659,071, down 63.1% from the pre¬
ceding month, and 39.6% below
Wholesale
was
four
between 21,000,000
the previous year.
Plans filed in New York
City in
April were estimated to cost $22,-
the
relief
overseas
the report that the Army would
purchase between 75,000 and 100,-
this
172,582, according to Dun & Bradstreet, Inc. This was a drop of
2.9% from the March figure of
$235,063,263. It was 5.1% less than
the
$240,548,790 for April last
year,
and it marked the sixth
a
for
A further influence
had been estimated earlier in the
year.
Private
estimates
placed
seasonal expansion for the period.
Total permit valuations for
April
in 215 cities amounted to
$228,-
to show
period
larger
usual
consecutive month
increased
same
with
down¬
the
1947,
government
in Japan and Germany. Crop con¬
ditions were reported mostly good
Following the
upward spurt that took place in
March, the volume of building
ward,
fixing against recent sales to the
purposes.
Totalling 73,
ures.
81
re¬
Building Permits in April Un¬
der
currants
Large failures involving liabili¬
ties of #5,000 or more continued
to
as
were
were
comparable week.
concerns
curred.
the
}
Electric Production
Edison
that
for the
output
week, was 101% compared with
102% in the preceding week.
ures
year
.
steel
...
represent
exclusive
more
2.0% from the preceding week.
The
figures
tion
week
ductivity and morale have been
on
the upgrade.
A fresh spurt
has resulted from the wage in¬
creases
and better working con¬
ditions in the steel industry. In¬
dustrial relation officials say that
the feeling between management
and
Paper
above
paper produc¬
of newsprint.
cording to the American
& Pulp
Association. The
numerous
capacity for the industry.
For
May 10, was 107.0% of mill
capacity, against 107.5% (revised
figure) in the preceding week and
.102.8% in the like 1946 week, ac¬
ended
every
around
at
the
a
month of
Lower—Paper production in
United States for the week
tion
Paperboard
demand
*
Paper and Paperboard Produc¬
steel
the
5.4%, is shown.
or
same
there
permits
Loadings
Freight
Railroad
while
to
183,700,000
supplies
the
amounted
electricity
of
tion
the
ported,
1946, or an
responding
try during tne past weeks,' ac¬
cording
to
"The
Iron
Age,"
Before
corresponding week
ago.
King's
committees
The Fund seeks
New York
bor
within
soliciting organization.
Mr.
}
$6,000,000 from
business concerns, la¬
unions and
employee, groups
as
the business community's share
of
the
$32,300,000 that is needed
iri contributions by the 423 health
and welfare agencies sharing in
the Fund.
These agencies an¬
nually
serve
2,700,000
persons
throughout the city without re¬
gard to race or creed.
,
The 10th Annual Campaign be¬
April 29th and will continue
through May which has been des¬
gan
ignated ^s "Greater New York
Fund Month." Frederick M. War-*
partner of Kuhn, Loeb &
Co., is the Chairman of the 1947
burg,
campaign.
,
'<■
'it..
i
A
Thursday, May 22, 1947
FINANCIAL CHRONICLE
&
THE COMMERCIAL
$
mmm
wondered what had
The Task of the Banker
and
(Continued from first page)
,
virile
solid
foundation
of
tem
of
enterprise,
free
a
visiting the vault of the
our
changer
strength in world councils would
dwindle with catastrophic conse¬
one's
of coin,
to his creditor
task which confronts bankers
and
bank
supervisors
today—
which is what I
want to talk
of Our Economy
be
can
heart of
tem.
enterprise
the
people's work—and thus keeps the
from the people's reservoir to
wheels of
economic machine
our
going round. The banking system
the greatest single stabilizing
factor in
our
whole economy.
When operated properly, it can
keep the machine functioning in
a wholesome and productive man¬
banking
once
heel"—the
strength and
of our
economic
oyr
most susceptible part
Money-changers
and
remained
after
in
their
month,
fellow
vaults
and
a
few
his
of
reserves."
"excess
end of 90 days
funds
once
At
he had his clients'
intact
more
and
reasonable interest payment
own
the
fore
pocket. It
were
a
in his
not long be¬
was
importers
merchants
the
and
wholesale
utilizing
this
must valuable source of working capital
be kept strong and sound, it must while
waiting for retailers
to
be made to function smoothly and
liquidate their stocks and dis¬
adequately.
It is your job and charge the accounts payable. As
mine, as bankers and bank super¬ early as that a new business need
had arisen and bankers had justi¬
visors, to keep it strong.
I have no doubts concerning the fied their existence by satisfying
future of banking, or of the lead¬ it.
By
the time
Columbus
was
ership which the bankers will ex¬
ercise in strengthening the econ¬ born, international trade of a sort
was
well
established
in
Europe.
omy of the Nation, to uphold the
hand of our leaders in their ef¬ Organizations such as the Hanforts
to' bring
forth a lasting seatic League had establishments
peace, and
in shaping the des¬ in the great trading cities from
tiny of the World.
I know, as do Russia to England. There were
you,: that through
the centuries also pirates, however, and English
the path of the banker has not merchants buying goods in Lu^
reached
beck and Swedish merchants buy¬
position
ing
in
Antwerp
cumbersome
it
found
both
and
dangerous
to
gold .with them. Merchant-
carry
equal to meeting the needs of bankers with established relation¬
day and the problems they ships in other countries saw their
face, as they have done through opportunity, and rudimentary cor¬
centuries since banks as we know respondent relationships soon de¬
are
the
them
western civi¬
developed in
Banking History
f
Even a superficial stujfy of ,the
history
-
of
,
banking
brings home
the fact that throughout the enor¬
mous economic changes since the
'
dawn
have
of
the
renaissance, banks
or
other adapted
their activities and
that an expanding
somehow
,
themselves,
services, so
economic
horizon
would
be
not
placed beyond reach for lack of
adequate financial tools. The con¬
tinued
i
existence
and
of
growth
hanks, despite revolutionary so¬
cial, political, and economic de¬
velopments,
absolute
tions
to my mind the
for
such institu¬
prove
need
in
complex
any
business
wprld, and I do not anticipate that
the changes and problems of this
generation will be sufficient to
the essential framework
banking structure.
For a couple of centuries after
the Norman Conquest, the money¬
changer was
the
characteristic
ftariker-m-embryo. He came into
being because coinage of money
destroy
of
our
r
and, erratic
that specialists were needed to
<
xchange foreign coins for domes¬
w#s
so
multifarious
But
coins for new.
tic and old
as a
veloped foreign and domestic bills
exchange
not
dissimilar to
those of our own day. A pessimis¬
tic banker of that period might
have seen, his doom in the in¬
of
lisation.
merchant class developed and
accumulated
substantial
sums
of
not immediately needed,
safe places of storage were called
currency
for. We cannot know whether the
customer went to the bank
"new business"
"contacted
man
the
the
or
of the bank
prospect,"
but
in
event the solid vaults of the
money-changers became the de¬
creased fluidity and movement of
but more alert and ag¬
competitors
not
only
the
change
but
con¬
currency,
gressive
survived
it
verted
into
a
of
source
sub¬
stantial profit.
It
would
bankers
mistakes
made
of
false to deny that
Shakespeare's
time
be
of
tinent
as
serious
day. Both
own
our
as
the
on
any
con¬
in
and
England bankers
were
dazzled by kings bent on
conquest or luxury, and were
guilty of "large lines" and "un¬
concentrations
due
credit"
of
their royal patrons. Span¬
ish, German, and French sover¬
eigns repudiated their obligations
among
in
the
16th
century, and Charles
II of England profited by their
example in 1672. These experi¬
ences were a frightful blow to the
prestige and solvency of the banks
of that day, but out
of it all
bankers took to heart the Biblical
admonition: "Put not thy trust in
princes," and truly modern bank¬
ing, independent of monarchs and
primarily serving
productive
needs, took its origin from those
catastrophes. Where would com¬
merce
be today if the
English
goldsmiths had said: "If we can't
lend to the King with safety, we
can't lend to any one. Let's close
ihe doors and go home"?
of
Industrial
Revolution
any
positories of the current funds of
thb
mercantile
,
community*
and
banks
.
The industrial revolution of the
18th and 19th centuries
new
presented
banking problems which
in
began to collect the first
rudimentary service charges.
As local trade increased, trans¬
respects dwarf those of our
century. It required both intelli¬
gence and courage for banks to
fers of funds between merchants
make, the first loans, for supply¬
ing manufacturers' inventory, and
and others became more common,
many
.
i.u
-jf'
4u,:
him and insisted that he look over
the rest of the bank.
importance in
When I
fundamental
him, he had finished
inspection and was
saw
tour
his
principle is
of
sorely perplexed. He could barely
of
contain himself when he told me
history? I suggest it is simply
Banking.institutions
will
that
es¬
are
world, and bankers
by trial
and
error,
find,
of
coping
with
ture,
if
realize
we
the
that
task
had
been.
approxi¬
"we thought we
"Why*v he said,
degree of intelligent and coopera¬
tive effort and imagination that
characterized bankers of
were
mately the same dollar amount as
When he left, but over 30%
of
them were secured by real estate,
fu¬
is ours, and devote to it the same
has
it
The bank's loans were in
be confident of the
can
deposits
what
of
half
than
changed
conditions.
We
bank's
the
times higher than-in 1920,
with a capital deposit ratio of less
four
our
loans
in
tuted
only
8%
there
and
We must realize, however, that
cannot afford to succumb to
in
water
we
when
1920
real-estate
with
overloaded
were
the
past.
of
they consti¬
to
seems
portfolio;
our
be
much
as
appraisals
the
now
as
after the first war." He
the inertia and lethargy which so
often follow a terrific struggle.
there
We
real
hazard, especially when he found
cannot
afford
the
granted
the
of
that
comparatively loss-free banking
the past few years. We must
closely analyze our banks and
their
We
lay
lems out
ruthless
zation
that
critical
analysis
and
cor¬
rective
is the
only way
assure
the main¬
measures
in which
tenance
we
of
can
vital
to
welfare of
our
are
banking sys¬
have noted, is
of life, the
country, and of the
that
the
know
obvious
the
friend
old
the
of
mine.
early twenties he
Back
.
se¬
1920
than
it
now
third!
a
two-
over
revenue
In
his
was
much
was
day the
was
still handling
-,
way
What bothered him most of all
though was the fact that the bank
was
actually lending money to
both large and small businesses
on a long-term, 1 to 10 year, basis
-r-sometimes with a huge balloon
in
Presi¬
was
held
portfolio
that. same
despite its tremendous size.
impartially view and appraise the
problems by focusing present-day
banking against the background
of the past. I can exemplify that
most easily by telling you about
an
In
of the bank's
to him his bank
I find it easier to
see.
of
he
securities portfolio was inconse¬
quential and could be — and was
—handled by one who knew very
little about securities analysis or
the need for considering maturity
and liquidity aspects. It seemed
inconspicuous ones, those which
lurk in the background and may
rise to plague us later, are more
difficult to
bank
look
when
1920 securities hold¬
from loans and
The
ones.
the
his face
the
that
source.
thirds
We
problems?
forget
on
10. times its
way
our
not
dent of
lems
one of the 30,000 banks in
payment at the end, which meant
country. About 25 years ago,
to. him that either his bank or
just after a rigorous examination'
sortie other one would; haver,to
of his bank, he took refuge iri
refinance the' credit at some fu¬
had
as
Van'Winkle'
Rip
done many
He
up for a very short while
in the 30's—just long enough to
hear the bankers being damned—
and went right back into hiber¬
before.
years
that
mitted
He
finally woke
the
up
other
of less than
one
it
in
found
am
now
carries
not
were
quite
sure—and
that losses
sary
good and which
the changes were
changes were
were bad.
But
noticeable and
reason
I repeat to
what he told me. You can
imagine his surprise when he saw
that the bank building had
re¬
ceived a face-lifting, inside
and
out. It now looked quite "homey,"
as
though it were 'not necessary
to don a stiff collar and a top hat
you
•
before
Inside,
find
a
cages
ready
bank.
baby
pen
"drive-in" window
a
customers
didn't
a
have
There
so
that
to
get out
to make deposits, and
of their cars
tellers
saw
where banking .mothers
leave their children.
could
was
entering on bended knee.
he was dumbfounded to
bevy of pretty girls in the
as
well as in the lobby
to escort him about the
He blinked when he
seemed
who
glad
to
see
though they didn't know
he was their long-lost President.
When he found that the employees
even
were
being paid more than bare
subsistence wages and
were
that retire¬
He
gave
up
ance
•;
v.r"
••
competition in
the field of
banking.
Caution
Entering
At
in
the
>'
'
however, I,
time,
same
•
Fields
New
that before you enter a new
field—such as those I have men¬
urge
tioned—you carefully analyze the
business, know the pitfallis, make
sure
your staff is competent to
handle the business. New fields
fields for
specialists and you
specialize.
Be
conversant
with every known protective de¬
vice.
Employ
safe
and
sound
banking standards, practices and
are
must
policies. And resurrect that most
important of all tools of the pro¬
fession, credit judgment — and
exercise it constantly.
>
•
: v
We must never forget that we
are the custodians of the people's
not just depositories, per¬
to make
money;
mitted to use their money
a
profit for ourselves; but trusted
who are assumed to
custodians
and to apply a profound
responsibilty and trust¬
possess
of
sense
worthiness.
In
..
conclusion, let
me
.
say' that
although the world outlook today
is
gloomy,
this
is
not the
first
clouds
on
the horizon and successfully
steered away from them. A world
time
we
have
seen
storm
the peace for which we
and for which so many
given, is not beyond
achievement — just beyond our
immediate grasp. We - can j onlyreach it and hold to it, if each of
at peace,
fought
lives
were
realizes the importancet of his
task and is willing. :to< work
toward a common goal.
Those
of us in the5 field of
us
to
are fortunate in* having
opportunity to play <ai*major
part in maintaining a sound, econ¬
omy
to strengthen -the i hand * of
the
only Nation in f then world
which can bring peace.and* har-
banking
an
longer returned a maxi¬
yield of 6%, but instead less
out of chaos. Fortunately,
this "part" is in :-large
measure
simply looking ♦: to the
soundness of the condition and:
mony
1%; that the interest rate
on savings deposits had dropped a
long way from the old 4%; and
that instead of paying interest on
than
again,
of
policies
levied
deposits.
he left me with
our
own
institutions,
weak points,
facing our problems boldly, and
correcting them now—not later..
Let us recognize the full.impor¬
tance of; our task, for the con¬
tinuation of oiir free enterprise
demand deposits the bank
ferretting
service charges on those
back
t
.
government-guarantee
a
own
to
sleep, and I assume that is
ment, hospitalization and bonus
where he is today.
'
plans had been installed to afford
What is the point of all this?
the employees a degree of eco¬
nomic security, he threw up his To point to your problems?. No.
hands
with
consternation
and My friend could not possibly have
t
advocate of
and
tion of government
no
firm intention of going
an
in a manner which
will lead to the eventual elimina-1
sleep in the early 20's, call money
dropped from 30% to 1%;
indebted¬
Needless to say,
of
crutch,
that U. S. certificates of
the
I stand as
type of banking, which will
the
legitimate
banking
needs
of the
people, including
both large and small businesses,
to be met adequately,: without the
insidious and weakening assist-1
had
mum
continuously opening
credit, term
others.
Quite* the
and
permit
readjust himself and his bewilder¬
ment
was
complete
when
he
learned that
since he
went to
ness
for
fields
new
ous
'
attempt
unwise
alert, foresighted and courage¬
an
furnishing ad¬
fires of in¬
his
it
the
enter
as consumer
reverse.
speculative
••
eco¬
responsibilities;
think
I
to
are
such
lending,
ditional fuel for the
flation.
that
up,
completely oblivious of
the fact that it was
tremendous
I
bank
a
hard to achieve
or
which
business
it
social
••
dicate
.
purposes,
it
decry the tendency of
banks to drift into new fields, I
hope nothing which I say will in¬
been
had
per¬
lest
— although neces¬
is not the sole considera¬
—
While
field during those years.
he said — and I
could hardly believe him — that
the
bank's policy now was to
make every loan it felt would be
repaid — even though the pro¬
ceeds were to be used for non¬
productive
and
tion.
addition,
In
I— which of the
that is the sole
field
be
—
and that profit
in any
neither
with
nomic
especially when he learned
years,
changes he
astounding. He
quasi-public
a
might be very dif¬
bank had
loan
not
can
dormant
dry rot.
their communities, their Na¬
tion, and the world; by men who
realize that they are engaged in
amazingly low during the past 10
the country. The
serve
was
15,000 which
personal
was
lie
to
to
sertion that the loss-ratios in the
day to discover that his bank
have
we
It must be
manned by people who realize the
importance of banking and credit
business on a large scale.
He
wasn't comforted much by the as¬
nation.
and
to
succumb
into the personal loan
gone
must remember
we
very
mentality
ferent. Furthermore, the
even
outline the problems
banks. The point is simply
different banking system
today than we had a very few
years ago. It is an entirely differ¬
ent critter, and must be treated as
such. Bankers, and I might add
bank
supervisors, must look at
today's banking problems through
1947 eyes and not through those
of the banker or bank supervisor
of the 20's, or even the 30's. Bank¬
ing is a growing, living instru¬
a
ture time when the circumstances
and conditions
woke
device
in your
the
sleep,?much
of his bank in such
which
ings, and that the major portion
earnings was derived from
Banking Problems
all
me
less
What
prop¬
of the
world.
<
on
the coast,
as
(mostly governments and
municipals) in an amount more
than three times its loans,
and
we
as
our
were
away
curities
sound
a
tem—which,
so
told
scrutiny, with the reali¬
the adherence to forehanded
shall
I
amazement,
prob¬
the table, exposed to
on
very
both east and west.
common
our
far
as
a
of them
some
erties
functions.
environment and
must
constituted
loans
for
take
to
continuance
was
convinced that the real estate
was
of
,
•J4.tim.iu?. j1
banks
by
fur¬
to be derived from these incidents
him
Effect
and
for
economy.
What
some
made
conservative short-term loans out
without much effort, industry and
initiative.
I know that bankers
our
means
nomic anatomy. Therefore it
been easy,r that he has not
his
present
important
conditions,
new
called
ther expanded their
transfers.
month
eco¬
methods
new
this:
of
source
the
this
retiring to obscurity when one of
the old-time officers recognized
alert and active minds worked out
sential to
venturesome
"Samson's hair" and our
our
"Achilles'
cycle," which came in
specialization. But
its long march toward virtual
replacement of actual currency
them
at
is
system
and
goldsmiths learned that a large
part of the funds deposited with
ner,
and in addition, lower the
peaks and raise the valleys of
business cycles.
It can be said
the
moment
born
"business
the real prob¬
a hasty
on
review. And I certainly cannot by
was
with industrial
put his finger
it off, he learned that an
attempt
being made to unionize the
employees. Certainly, he thought,
a
bank couldn't operate in this
fashion and he was on the point of
wrecking their financial
during the bad years of
that new phenomenon called the
vessels
clearance by this easy means be¬
entiated.
is
that
that
at
were
Today
to avoid
of
cost
By the 14th century, import and
export trade had achieved a defi¬
nite
status, and wholesale and
retail trade began to be differ¬
credit
that
funnels
It
-r-credit.
and
transfers
the
gan
is the banking sys¬
It furnishes and controls the
economy
life blood of productive
reducing
operations,
book
doubt in any¬
no
one's mind that the very
oyr
to customers while at the
time
same
additional
render
opportunity to
service
Heart
which
sum
vaults. An alert executive saw an
about.
There
a
promptly redeposited in the
was
file
money¬
goldsmith, obtaining
and turning
or
bag
over
And that points up to
quences.
of
waste
the
sys¬
complained about
time involved in
someone
the
come over
profession. Why, the bank didn't
even
open on Saturdays. To top
out
our
the,-^establishment of
stpibility^ayf be dependent
system and
world
j[
on
it,,
j
c-.ah- -~-"L\
-
'
•
*
iVolume
* 165 * ^ Number
iy.
u
-
4596
THE COMMERCIAL St
\
FINANCIAL CHRONICLE
Km
giving
to
(Continued from first page)
experience
in
several
tax reduction
program we do
undertak¬
*
making in the legislative branch
ings of this kind in
of
New York and, in spite of
national
our
government,
the
State
of
not
continue to
operate in the "red.'
if perchance our pre¬
all the
(2785) ; i
thia; recital of conditions
provide
alibi.
an
that
public
real
difficulties
states some form of
Federal #§?
sistance will be
continually nedf*
I feel merely
appreciation
of
the
confronting
the
ed if
is essential if the Con¬
gress is to effectively and prop¬
erly provide the needed rem¬
their
Moreover,
times, dictions of revenues and expend¬
At any rate, the Republicans have succeeded in
reducing ex¬ itures prove faulty, as they
edies which must have
may
popular
came
into power as a result of penditures
without causing
the be, and we shall have adopted a backing if
they are to prove suc¬
the Nov. 5 decision by the
people hardship predicted by those who tax reduction
cessful.
protests
pledge too much.
and
are
faced with the' task
now
of fulfilling
promises and carry¬
ing out the Wishes of the people
undertaking is not simple.
political
centrate
has
been
can
With
a
and
for
sure
the
which
people
which,
in
large numbers
have
theory
established
to
desired
at
least,
perform
a
of
of
unnecessary
ficulties
with
which
they
last,
to
provide greater assistance
more
the form of financial aid. !
Now I do not question the merit
in some of these new
also
for
ent
proposals
financing.
For
example, I appreciate thoroughly
the
predicament
now
facing
education
States.
I
in
the
understand
ate need for
the
United
higher standard of
a
of the
kind will
accept
Apparently
federal
have
we
long by borrowing and
their
become
of
to
of
agree
the
to
So, with! the convening of the
fiOth i Congress,
the
Republican
majority in the Congress have
the
now
trend
and
more
American
more
expanded,
to accept the
come
cake
our
that
and
"we
reasons
eat
it
of
the
the
and
nation
the
is
con¬
sacrifices
the
themselves must make
to have the services
bearing
which
is
the
tax
and
areas
in
that
New
dition where both
your state gov¬
ernment
and your
municipalities
be meeting difficulty in the
financing of their
tion.
Like
costs of opera¬
New
is
becoming
you,
states,
so
many of them may demand. Not
long ago, speaking in the City of
may
New York
a
the subject of edu¬
is
the plan of taxation in
try
our
most
with
as
your
coun¬
critical,
other
many
of
sources
revenue
be drying up and your ca¬
pacity to tax may be approaching
limit.
In
education
in
this
country,
if
circumstances
when
purpose
we
to have the standard of edu-> payment
cation which is desired.
At the
are
people
time I insisted
same
than
is
the
Coordination
that, in mak¬
medium
Federal
of
to
do
without
has.
in
the
fjk
this
re*
Taxes
exclusive
to
receive
stantially greater share of
aid provided by the Federal
ernment than
any
its
Goy?
lot j#
contributes
more
has been
the past.
New
and
■
York
of the Federal revenue#
receives
mately
pr
sub?
a
8%
in
of
return
the
tributed
in
stantial
revenues
aid.
approxi¬
amounts
Unless
the
from
its
dis¬
Fed¬
eral Government ceases to
impose
taxes
of
the kind
from which
New York is now
receiving sub¬
imposts,
much
own.
New
York will require
than the 8% of the
more
distributions which it is
ting back.
I
now
get¬
similar sit¬
the State
assume a
uation
pertains in
New Jersey for, like N'ew,
York-,
New
Jersey is a contributing
It
is
not
that
we
are
uii?
willing to help others, but rather
we ourselves need more
help.
that
pointed
policy will be effective in helper
ing to bring our national econ¬
omy into
proper balance.
Time
and
■
been? instituted
granted
types of taxation
have
In these remarks I have
for
ing this very proper effort to lift
the quality of education in
Unfortunately, no integrated
Amerr
ica,Ave should perhaps be, obliged; coordinated tax .policy or
toward
rather
than
with
out the main obstacles which
now
confront the Congress in
qur ef?
forts to determine upon a fiscal
'
State
be
to certain
will
state.
of this
available.
not
are
suffix
of
needs
your
than 20%
strongly
Jersey, just as is true with New
York, is now reaching that con¬
state
able
on
not
am
New Jersey
intelligently to com?
York, must
it
the
Uhited States.
suspect
acquainted
condition
be
use
economic
overall
structure of the various
layers
of
government
,j;t
larger
although for- New York is to maintain and imV
perfectly ob¬ prove the services now
offered
in
interna¬ by its
government, either New
national
our
rests
I
ciently
ment
Underneath all these con¬
siderations and' as the framework
on
a
which
spect, but I do know that in New
York State the sources of
taxation
are
fast drying
up and that, if
being.
security
given
monies
nancial
to
a distinct
future fiscal well-
on our
be
the
the present time.
tional affairs will have
)Vith
if
are
on
are
position
of
distributed than is the
practice at
immediate
York, your own
perhaps
nearing
that
difficulties status where a need for change in
financial
which
which
our
must
share
confined my remarks to
questions
domestic policy,
may
matter
of
cation, I took the opportunity of nature the people's demand for
pointing out that more money services and their willingness to
probably will be required for pay for these services is to no
so
still
—
or
principle
have
people
providing. 'In
is
must
us
a
they
level
anything' less
government is
fact,
must prepare to pay for them
fronted
have'
a
pres¬
programs
we
with
our national in¬
cannot afford, that it is al¬
impossible now'for a vast
portion
Reducing Government Costs
to
our
to be maintained
ciate
"
we
be
may
is
Of
spe¬
fact, I firmly
believe that most people can be
brought to understand and appre¬
living which
come
most
favored last fall.
accustomed
so
If
welfare
however, the contributing
states, like New Jersey and New
as I have in¬
much
contro¬
matters
over
costing vious,
are
As
the
lived
the
desirable.
seem
health and
cannot
expend¬
■
as
there
fortunate neighbors.
employment of Federal
the
York,
people to finance their govern¬
ment and still remain free. I
have
special
or
moment,
enjoy standard#
comparable to those of
more
In
concern, particularly as they per¬
tain to the cost of
government
and the
capacity of the American
at
now
too."
ultimately entail
vastly increased
itures.
upon assuming
responsibility for carrying out
pledges. It is possible, how¬
ever, that some Republicans did
not anticipate the size of the vic¬
tory with which they were to be
that
have
education,
fundamental
because of their fi¬
limitations.- I
on
desper¬ All of
public education in this country.
complete inability of
many of the states to cope with
inevitably be faced
to
are
by: going without something else.
country.
But in all fairness, I
must point out that
any program
dif¬
understand
they
may
government
public
versy
must
necessary, we must prepare to go
without other things that
that a sizable program of
federal aid for education is
truly
vital to the future welfare of the
would
if
people
services from government
cial aid from government
housing
idea
ser¬
vices, they knew full well the
to
come
new
activities.
or
American
veterans' affairs money,
these services and aid
else, we are met must be financed on a "pay-asconstantly increasing pres¬ you-go"- basis. If we are to spend
nancial
neces¬
removed, or at least
the impact of any un¬
Pay As-You-Go Basis
The
the
dicated,
we
or
this problem
and
were
sary service for the people. When
Bepublican candidates were jus¬
tifiably pledging : the utmost in
economy in government and the
curtailment
A
"..'i
disturb¬
I realize the
governmental activities have been
debt
expected deficit.
we
we are now
new
outstanding
govern¬
more
health
At
to
are
are
aid,
by
may be able to
have
reduced,
in
groups.
every one of them is per¬
created
for
be
we
something
with
pressure
forming a function with a disvtinatly political appeal.
Whether or not we subscribe
to the principles and
policies of
the New Deal, we must
accept the
tact that through the instrumen¬
tality of the New Deal many new
of the
education
or
or
appeal to every type
;aid kind of segment in our sotcinty* Many of these agencies and
isanxices are the result of effective
by
of
cost
operation.
expenditures
or
(operation
the
Whether it
jSkind and description calculated to
scare
reduce
our
shall
sim¬
a
Washington,
ing things with which
of
governmental
services
of
every
mass
agencies
retire
present
firmness and deter¬
confronted is the clamor for
Washington, have left the country
however much
that in the
in
To me, one
con¬
and more power in
more
thereby affected.
policy
ment
pur¬
to
sure
then
program,
been
instance, by
Four¬
party, the chief
of which
pose
am
ilar
teen years of complete control
by
a
!
those
at
mination in the exercise of
expressed in that election. This
as
have
may
So
arising
they
which
country
or
p^pgram
has not permitted of more than a
,
perfunctory, analysis of the
ditions
inherent
in >this
con¬
problem,
toward less and less.
I have also pointed out the
uries which we have come to re¬ country.
The
Federal
rela¬
Govern¬
gard as a matter of course in ment has been allowed to tax tionship between the states and
come face to face with the
dilem¬
Must Liquidate Debt >
the
national government where
where and when it will. The same
our
every-day
living.
I
was
ma of reducing governmental cost
If we are to weather the
fiscal policy is concerned and/X
rough amazed at the favorable response broad taxing powers
also
rest
and at the same time
placating financial seas on which we
have
indicated
the
course
of
long my suggestions received. Appar¬ with the several states and, to the
the many who have become accus¬
since
embarked, we must take a ently the audience in New York extent that the localities are au¬ action which seems to me im?
tomed
to
special favors which number of
fundamental steps. In before whom I spoke and
perative
if
the
states
are
to
re*
thorized
to
do
so
by the states,
whom,
they have come to expect as a re¬ the
first place, the growing no¬
by the way, was not made up of several more layers of taxes may tain their basic sovereignty and
sult of New Deal prodigality. Yes,
tion that it is going to be
a
impos¬
ke>
l
group' of educators, was in? full
imposed,.^. This condition has independence.
f J repeat-r-a very large percentage,
sible, to
liquidate our Federal accord With my suggestion, y; T;
pecasiopfd^not alone duplication,
of the American
people have been debt must cease.
The American
but even triplication and some¬
It
seems
to me that what is
taught to depend too much on govpeople must be brought to realize
times more in the type of levies aware that the conditions I have
heeded most of all
crnment and to regard
right now, if
govern¬
that, if we are to escape not alone an
which have been made.
In the cited are thoroughly recognized,
ment as just another Santa Claus.
intelligent approach in our
economic disaster but the social
choice of governmental services matter of income tax, this situa¬ both in the Senate and in
thp
you and I know we haven't yet
disaster which will accompany
tion has reached a point which House of Representatives.
it, is to be
More?
made the down payment.
made, is a comprehensive
we must
prepare and adopt a def¬
The time has now come when
campaign of education—by radio approaches confiscation in certain over, there is a growing feeling
inite program for the retirement
instances. Without rhyme or rea¬ in the Congress that these condi¬
and press a,nd platform.
there must be an about-face in
I am
of our national debt.
son
oar
plan
or
convinced that the American
program,
our tions demand immediate attention
public, spending and in unneces¬
peo¬
I make this statement with the
ple will determine wisely what hodge-podge system of taxation and that an early effort must bp
sary public services, if we are to
full realization that I am
in the United States has been al¬ made to correct them.
speak¬ tpey want
in line
with
their
escape fiscal collapse. This means
ing to bankers and that you un¬
lowed to flourish.
a substantial curtailment in
needSj if these matters are pre¬
Indeed, there is evident among
every doubtedly have a far
greater com¬ sented to them in
At last the time is here when all the members of the
essential service of
proper form.
Congress
government prehension of
this problem than
the conflicts and inconsistencies a
At the present time the
and the elimination of all
complete appreciation of thp
people
services I do.
I make it also with the
seem
to be thoroughly confused occasioned
that are nonessential.
by
this
But what
haphazard mighty responsibility now resting
thought that some of you may in their
consideration of all mat¬ process must be corrected; other¬ upon us. We are not avoiding this
services are essential and what
have
;
of -the
some
lux¬
ever
in
this
;
»
-
<
.
.
„
are
despaired
nonessential?
Judging from the protests which
Lave been pouring into the Con¬
*
gress
from
all
sections
of
the
country in {connection with every
" which
has
been
proposed,
cut
.
there exists*
no
such
nonessential? service.
thing
as
As
have
I
a
statedbso?many people have come
to ? rely on i the
particular advan¬
tages »■ they \ are receiving through
the generosity: of the Federal Gov¬
ernment that many
thousands of
protests are-pouring into the Con¬
gress! whenever any one of these
advantages is threatened with cur¬
tailment;; As is always true in time
<ofs government
economy, every¬
one
advocates economy for
every¬
that his own
one.else-and insists
pet interest must be preserved in¬
tact.
Whether
subsidies
it
or
be
grants-in-aid
or
appropriations for di¬
rect, governmental
arises that
"We
we
service, the cry
must not cut unless
would
bring impoverishment
and disaster to those hreas
or seg¬
ments of the
ecoriomy%hich Would
fce affected by the
cuts. I have had
of
the
nation's
capacity to avoid the
disaster
which threatens. I make
it, how¬
ever, with the firm belief that all
of you will do
everything Within
your power to help prevent eco¬
nomic collapse.
The
second- basic
condition
which must be accepted in Amer¬
ica without further
delay is that
as
a
nation
we
our
Every governmental
serv¬
be cut to the bone.
Deficit spend¬
ing must be brought to
end.
No
tolerated
a
fiscal
policy
which
an abrupt
should be
does
not insure
Federal budget balanced in fact.
This is another reason
why it
has seemed to
institute
gram
we
a
that
me
debt
at
least
should
retirement
immediately.
shall
we
pro¬
By
be
so doing
providing a
cushion with which to offset any
reduction in revenues which
may
not be, anticipated.
| ; While I J- strongly
.;;
K
advocate tax
reduction, I feel that it is most
important 'that as! a result of any
•
government is con¬
Such confusion provides
splendid opportunity for the ef¬
fective
operation - of
pressure
a
Furthermore,
groups.
fusion has been
Congress
in
our
such
con¬
wise
efforts
.
to
,
bring
may
states
our
Overnight
New
,
Correction
Deal
of
,
Abuses
Fourteen years of governmental
and
mushrooming
extravagance
cannot
be
Fourteen
panding
corrected
years
overnight.
of constantly ex¬
big government cannot
satisfactorily by hasty
be
offset
or
ill-considered
Congress.
which
action
Fourteen
our
whole
by
the
in
has
phil¬
years,
economy
been
changed and the very
osophy
of
government
in
the
United States has been complete¬
ly
altered
lions
of
in
our
the
minds
people,
counter-balanced by a
of effort — no matter
how
intense—during
session of any Congress.
cere
•
I
or
of
a
not
sin¬
single
Please don't misunderstand
am
mil¬
cannot be
few months
lo¬
financial
sential, if in
support.
soon
This
deplor¬
able trend must be stopped.
.
As
most
of
understand,
undoubtedly
adjustment- in
you
any
structure .must begin at
top. Obviously the
proach to this end is a
best ap¬
me.
or
we
In
accepting it,
exercising thp
are
and caution which
are
our
are so
es¬
ultimate action
to be able to effect the
en?
actment of
legislation which wiR
do the job which must be done.
With this attitude, with a spirit of
cooperation, having faith in the
coopera¬
ideals of America and in the des¬
tive effort between the states and
tiny of America, we can and must
the
succeed.
Federal
der
Government.
avoid
to
dependence
ultimate
on
should
be
eral
In
this
sufficient
to
states
the
way
of
District
of
of
sources
carry
on
their
independence of
ton may be protected/
this
taxation
general
should
even
sidies.
the matter
r—
-)•••■
of
was
Associated
vices
cost
to
in
Press
stated.
to
would
compre¬
Secre¬
the
be
There would
government
a
built
Pennsylvania
May 14,
Washington ad*
fountain,
at
and
the
;
be
for
no
thp
which;
corner
of
Constitution
! Avenues by the Andrew W.
Mel*
1
poorer
the
erection
former
passed by the House
monument,
in
sub¬
authorizing
of Columbia the
memorial
Mellon
Washing¬
Federal
Mellon
and sent to the Sen? te on
functions
Presumably for the
And.
tary of the Treasury Andrew W.
can
revision
go" a
a
revenue
peculiar to themselves; thus their
autonomy may be preserved and
With
—e
to
Legislation
other
areas
by the Fed¬
and
retained
assured
r:5\"...
—
Memorial
of taxation
to the states
Government for its exclusive
use.
be
be
'
—;
areas
granted
exclusively
or¬
the Federal Gov¬
ernment, certain
should
In
complete
hensive survey of Federal aid and
painting this picture
responsibility.
however, we
care
the
No
and
have to look
to
the Federal Government for their
total tax
/ 1
of
most
calities
obstacle to the
an
order out of chaos.
in¬
ice which is not vital to the func¬
tion of the economy itself must
where
cerned.
must cut our liv¬
ing pattern to conform to
come.
ters
Ion
Memorial Committee.
um^wuMViaainiuMiAKHasMBtttWWB-
,
10
Bonds Issued and
Redeemed Through April 30, 1947
United States Savings
and will not
(Dollar amounts in millions—rounded
Series
necessarily add to totals)
Percent
•Amount
•Amount
tAmount
Redeemed of
Issued
Redeemed
Outstdg.
Axnt. Issued
A-1935
(matured)
Series
B-1936
(matured)
Series
C-1937
95.69
462
427
35
92.42
584
303
$281
51.88
655
149
506
22.75
_
_
__
_
D-1940
Series
$11
1,012
204
808
20.16
1,197
218
980
18.21
519
83
436
15.99
$4,684
$1,628
$3,055
_
_
Series D-1939
$244
$255
_
_
C-1938
Series
Series D-1941
Total Series A-D
_
_
E-1941
Series
_
„
Series
E-1942.
Series
E-1943
Series
E-1944
—
_
__
,
Series E-1945_
—
1,455
307
6,600
2,171
E-1947
Series
Total
months)
(4
E
Series
4,217
4,986
9,878
3,616
4,333
894
6,602
7,644
6,262
3,439
§1,364
35
§1,329
2.57
$30,852
34.47
$16,227
$47,079
—
A-E_
Series
Series
and G-1941
F
G-1942
Series F and G-1943
Series F and G-1944
Series
and
F
G-1945
Series F and G-1946
Series F and G-1947
Series
F and
Series
Total
and
_
_
_
_
—
,
G__
—
348
188
2,953
5.99
55
2,937
1.84
3,355
438
3,685
.
13.33
13.06
9.44
1,108
$19,590
$70,753
8.59
$17,359
$1,632
$18,990
_
W—>
34.69
-
11.71
424
1,109
(Months) —
20.63
1,349
2,756
2,917
3,337
179
1,528
3,180
3,141
2,992
—
Series
All
flTotal
F
_
$33,804
$17,958
$51,762
__
Series F and G:
39.48
36.61
—103
103
A-E
Total
38.98
32.89
10,819
Unclassified redemptions:
Series
1,147
4,429
21.10
12,630
E-1946
Series
subcommittee
expense
ment
of Justice.
in
went
recent
Mr. Hoover
inform the subcom¬
"intensified,"
on
to
27.69
$51,163
13
increased
months of 1946—as many
in the entire preceding year.
had be¬
years
were
crimes
call
(1)
Savings Banks at the close
three-day conference at the
Hotel Statler. The Boston "Her¬
tual
The FBI started this year,
with 63,368 cases awaiting inves¬
tigation. The bureau is "48% de¬
(3)
of
FBI
fingerprinting
activ¬ linquent
on
Guest of Truman
country's first
the capital
United States when he ar¬
Mexico became his
Chief Executive to visit
of the
recently the sub¬
allotment figures with respect to the offering on
%% Treasury Certificates of Indebtedness of Series
Snyder announced
rived
in Washington on
April 29,
personal
on
advices
1 to the
New York "Times," which added:
"Aviation officials told reporters
cated
in Associated Press
from
Washington,
Truman's
President
party.
•
$2,668,537,000
The
new
certificates, dated April
$1,320,900,000
1, 1947, bear interest
from that
principal at maturity on
April 1, 1948. They are issued in bearer form only, in denominations
of $1,000, $5,000, $10,000, $100,000 and $1,000,000.
The subscription
books were closed for the receipt of all subscriptions at the close of
date at
%% per annum,
payable with the
Warren D. Eddy,
cer
international
The
said,
Americas
business March 21.
Of NAM Group
Palmer
Bevis
has
been
ap¬
pointed Director of the Commun¬
ity" Group Relations Department
of
the National
Association of
Manufacturers, it was announced
on
May l by Holcombe Parkes,
NAM Vice-President in charge of
are
and
Robert
dent
which he helped found in Truman on May 13 to serve, As¬
Press
Washington
ad¬
he organized the national sociated
The appointments
observance of "I Am An American vices stated.
become
effective
at
the
Day," and the "150th Anniversary will
of the Bill of Rights."
In 1943, he close of the national Red Cross
ice,
1939,
was
engaged by a group of indus¬
convention in Cleveland,
Morgan,
L.
of the
Vice-Presi¬
Boston Five Cents
Savings Bank.
March Truckloadings
7% Above February
The
volume
of
freight
of last year,
American Trucking
Associations, Inc., which further
17.1%
March
over
according
to
announced
as
follows:
Comparable reports received by
ATA from 261 carriers in 43 states
showed these carriers transported
aggregate of 2,258,911 tons in
March, as against 2,110,654 tons in
February and
1,928,367 tons in
an
March, 1946.
The
ATA
index
figure,
on
carriers for the three-year
Resigns:
of; 1938-1940 as
Lovett Named
was
peace/of the ipjppstppne action..
''%*.
President Truman, in his' letter
said.'
com¬
the basis of the average
monthly tonnage of the reporting
released." puted
he
Acheson
J
trans¬
ported by motor carriers in March
increased 7% over February and
,
Americas," President Aleman
Newark, N. J. and
Institution,
for
launched, imperils the
of
the
for Sav¬
ings; William L. Maude, Presi¬
dent
of the
Howard Savings
,
public relations. In his new. post,
Mr. Bevis will be responsible for
ence, etc.
the continuation and expansion of
NAM's public relations program
at, the local and regional level, Krug and Harriman are
ML Parkes said. After his gradu¬
Red Cross Directors
ation from Yale in 1919, Mr. Bevis
Under recent legislation to en¬
served for ten years as the Execu¬
tive Secretary and Treasurer of large the number of governors of
Yale-in-China, resigning that of¬ the American Red Cross from six
to
eight, Secretary of the 'In¬
fice to become public relations di¬
rector
for
the
Boy's Clubs of terior J. A. Krug and Secretary
Atnerica. As executive director of of Commerce W. Averell Harri¬
the Citizenship Educational Serv¬ man were named by President
Kenney,
R.
Treasurer
Providence Institution
the United Na¬
Announcement was made on
trialists to organize the Navy In¬ tions," adding: "Our common love
May 12 of the resignation of Dean
dustrial Association, whose pur¬ of freedom offers the best founda¬ Acheson
as
Under-Secretary of
tion for the political solidarity in
pose is to keep the United States
State 7 and
the appointment by
Navy informed about technologi¬ which we live. Without the sup¬ President Truman of Robert A.
cal advances of industry in mat¬ port
provided by that common Lovett to succeed him on June 30,
ters pertaining to national secur¬ consciousness, we might be only a
Associated Press Washington ad¬
ity in times of peace as well as multiplicity of countries, bound vices, stated.
Mr.. Acheson, who
war. He also was a former spe¬
together by geography, but dis¬ has been in the State Department
cial consultant to the Office of persed by holding policies at va¬ as Under-Secretary and Assistant
Civilian Defense.
Secretary for more than six years;
riance with one another.
C
Mr. Bevis is President of the
"We know that, sooner or later, had intimated to the President his
Child Welfare Guild, a member
desire to retire, 'on two previous
of the American Institute of Sci¬ any aggress i o n, wherever occasions, but had been persuaded
world,
Bevis Named Director
situation,
necessary the
for the peace of the
how
"shows
mortgage offi- '
Savings Bank,
Pardon
Portland;
Ambassador George Messersmith.
anywhere "imperils the peace of
Mr. Landis is expected to return
Americas," according to Asso¬
here next week when the full text
ciated Press Washington advices
agreement will be
of the Maine
Assistant
the
of the
event. Par¬
Connecticut; '
of
Bank
Savings
-
of April 30.
the concluding
included Gordon F.
Christie, Assistant Vice-Presi¬
dent of the Bridgeport Peoples
__
„
.
ticipants
,
Total
.
panel discussion on
was
—
„
,
"Meet- '
ing the Challenge of Current
Mortgage
Lending Problems'*
this eliminated the last major ob¬
stacle
confronting
the
United
plane, The Sacred Cow. President
States in setting up facilities for
Truman and members of his Cab¬
United States commercial airlines
inet were at National Airport to
to circle the globe.
It is the 30th
meet President Aleman and his
in
series G savings bonds.
A
May
agreement the United States has
negotiated with foreign countries.
scription and
A 21-gun salute signalled the
"The State Department said the
March 19 of
arrival of Mexico's President.
A
plan, negotiated in Buenos Aires,
D-1948, dated April 1, 1947. The offering was made on an exchange huge throng of spectators were was based on the principles of free
basis, par for par, to holders of Treasury Certificates of Indebtedness gathered at the airport and along competition agreed upon between
the route to the White House to
the United States and Great Brit¬
of Series D-1947, in the amount of $2,819,694,000, which matured on
welcome Mr. Aleman.
After an
ain at the Bermuda Conference
April 1, 1947. The offering announcement said:
exchange of greetings the
two
early in 1946.
"Since it is planned to retire about $1,500,000,000 of the maturing Presidents drove in an automobile
"Argentina was represented as
certificates on cash redemption, subscriptions will be received sub¬ between lines of troops past the
reversing her aviation policy in
ject to allotment to all holders on an equal percentage basis, except enthusiastic crowds to the White
agreeing
on
free
competition,
that subscriptions in amounts up to and including $25,000 will be House, where President Aleman
having previously insisted on the
allotted in full. Cash subscriptions will not be received." ,
spent the first night in Washing¬
principle of division of air traffic
Subscriptions for amounts up to and including $25,000 were ton. The following day he moved
as
contained in the Argentineacross
the
street to
Blair-Lee
allotted in full and amounted to $55,426,000/
British agreement signed last May.
House,
official
State
Department
Subscriptions and allotments were divided among the several
"Two
previous United Statesquarters for the entertaining of
Federal Reserve Districts and the Treasury as follows:
Argentine efforts to negotiate have
Total SubscripTotal Subscrip- distinguished foreign visitors.
failed because of Argentina's ad¬
The day following his arrival in herence to a division of traffic
Pederal Reserve District—
tions Received
tions Allotted
BostQn
!
*
$41,239,000
$20,710,000
Washington,
President
Aleman policy.
~rr-New York
1,688,398,000
814,014,000
spent in touring the capital and
Philadelphia
46,847,000
23,492,000
"The
State
department said
attending a special meeting of the
Cleveland
61,850,000
33,074,000
routes to be floWn by airlines of
Richmond
32,260,000
17,250,000
Governing
Board of the Panthe two nations Would be worked
Atlanta
75,057,000
38,572,000
American Union, where he was
Chicago
239,043,000
121,983,000
out later.
Chafcman James M.
welcomed
by
Board
Chairman
St. Louis
93,175,000
49,033,000
Landis of "the Civil Aeronautics
Minneapolis
54,714,000
32,389,000
Antonio Rocha,
Colombian Am¬
Board,
representing
President
Kansas City
102,662,000
55,335,000
bassador to the United States. In
Dallas
86,833,000
43,495,000
Truman, negotiated the plan in
addressing
the Board, Mexico's
San Francisco
—l.
144,904,000
70,778,000
Buenos Aires in collaboration with
President declared that aggression
Treasury
1,555,000
775,000
__
a
Mexico's President
Subscriptions to Treasury Certificates
—
,
resolution adopted by
Association of Mu¬
a
National
the
ald"
from which we quote the
its investigations," foregoing, also said:
but "top priority" cases are in¬
The resolution set forth that
ities are so far behind—2,891,831
there "is strong public demand
prints — that identifying appli¬ vestigated at once.
(4) Crime among service vet¬
for both Federal tax reduction
cants for jobs for
private and
and debt reduction, which de¬
commercial
organizations
has erans is not as serious a prob¬
lem as many people think.
mand can be substantially satis¬
been stopped and' the checking of
(5) FBI field offices in Hawaii,
fied
only if government expen¬
prints of unknown dead persons
Alaska and Puerto Rico may have
ditures are sharply reduced.
may
have
to be discontinued.
to be closed for lack of funds and
In another resolution, repre¬
Many people with "criminal rec¬
this may mean "the security of
ords and of questionable loyalty"
sentatives of 531 mutual savings
the country will be seriously im¬
now may get jobs in strategic in¬
banks throughout the country
paired."
dustries and "might do harm."
urged that in future govern¬
ment financing, or in refunding
of the existing national debt,
U. S.-Argentine Air Pact
consideration be given to the
The State Department at Wash¬
issuance of long-term restricted
ington announced on May 1 the
market bonds and to
an
in¬
signing of an ayiation agreement
crease in the subscription limit
with Argentina.
This
was indi¬
President
Miguel
Aleman
of
accrued discount.
Secretary of the Treasury
this
them having been em-
upon
bodied in
as
to re¬
possible"
be
will
ductions
1946 over 1945. There
kidnappings 'in the last
six
Declaring that Communist pen¬
etration
Major
in
,
expenditures drastically so
substantial debt and tax re¬
duce
7.6%
President
urged
their efforts
"redouble
to
that
(2)
on
May 7,
on
Truman and Congress were
conductiing^-
legislation to provide
funds for the Depart¬
hearings
At Boston
taken:
following was also
Expenditures
To Cut
Appropriations
from which the
tCurrent redemption values, tlncludes matured bonds
Which have not been presented for payment.
^Includes $31 million reported on public
debt statement
as "unclassified sales."
fflncludes Series A and B (matured), and
therefore
does
not agree with totals under interest-bearing debt on Public Deoi
Statement.
**Less than $500,000.
•Includes
House
Director of the Federal Bureau
come
34.76
President and Congress
sub-committee heard J. Edgar Hoover,
of Investigation, state that Commun¬
ists had penetrated every field of activity in this country, including
movie, radio and newspaper fields as well as labor organizations,
according to Associated Press advices from Washington on May 5,
A
1947
Thursday, May 22,
Communist Activities
mittee that:
E:
Series
FBI Chief Reports
The
A-D:
Series
'.; .<
FINANCIAL CHRONICLE
THE COMMERCIAL &
(2786)
t
period
representing 100,
206.
Approximately 85% of all ton¬
nage
transported in the month
was hauled by carriers of general
freight. The volume in this cate¬
gory increased 7.3% over Febru¬
ary and 16.5% over March, 1946.
Transportation ; o f
petroleum
products, accounting for about 7 %•
total tonnage
reported,
increase of 3.8% over"
February and 5.2% over March*
of
the
showed
an
1946.
V..v\> 7
Vt Carriers of iron and steel hauled!
;
about
Their
of the. total tonnage.
traffic volume was / 5,9%
3%
•
over
Februaryand 66% E over
bond accepting Mr. Acheson's resigna¬
tion, paid high tribute to the Mat¬ March, 1946.
of progress, is the essence of our
ter's "high sense of public duty "
/ About 5% of the total tonnage
heritage, and is the truest promise
Mr. Lovett, a New York banker
consisted of miscellaneous com¬
of unity for the States of the New who was Assistant Secretary of
modities, including household
War
for
Air
during
the
war,
will
World."
goods, textiles, groceries, chemi¬
That night
President Aleman work with 7 Mr. Acheson in the
cals, packing house products, to¬
State Department in advance of
was host to President Truman at
bacco, wood, heavy machinery,
July
1
when
he
will
take
over
his
the Mexican Embassy at a dinner
cotton, paper, motor vehicles and
new
post in order to acquaint
which was followed by a reception
motor vehicle parts.
Tonnage in.
himself with many of the prob¬
for Washington's Diplomatic Corps.
this
class increased 8.6%
over
lems with which he is to deal; His
President Aleman was later (on
February and 29.2% over March,
nomination is to be sent to the
May 4) accorded honors in New
1946.
•-•••••;
"That fidelity to peace/ as a
June 12. York City.
.
"
Senate in a few
days.
.
t
Volume 165
Number 4556
THE COMMERCIAL & FINANCIAL CHRONICLE
(2787)
11
Moody's Bond Prices and Bond
103
Moody's
;
computed
bond
prices
Yield Averages Electric OnSpssI for Week Ended
Hay 17, 1847 Congress Approves
bond yield averages are
17.2% Ahead of That far Sanis Week last Year Porlal
Pay Baft
and
giv6n in the following table:
MOODY'S
EOND
(Based
Average Yields)
1947
u. s.
Avge.
Daily
Averages
May 20
Govt.
Corpo-
14
Bonds
^
19—U.
17~,
on
The Edison Electric
Institute, in its current weekly report, esti¬
mates that the amount of electrical
energy distributed by the electric
light and power industry for the week ended
May 17, 1947 was
PRICES
Corporate by Earnings*
rate*
Aaa
Aa
Baa
R. R.
P. U.
Indus
121.64
117.20
122.50
120.43
110.41
109.79
111.81
118.60
121.04
121.64
117.00
122,29
120.43
113.41
109.79
111.81
118.60
120.84
117.20
a
122.50
120.43
16
110.41
109.97
112.00
118.60
121.04
121.64
117.20
122.50
120.43
15-
113.41
109.97
112.00
118.80
121.04
121.64
117.20
122.50
120.43
116.61
110.15
112.19
118.80
121.04
121.64
117.20
122.50
120.43
11G.61
110.15
112.19
118.80
121.04
121.64
117.40
122.50
120.43
116.80
110.15
112.37
118.80
121.04
14
12
121.67
9—
11403
117.40
122.50
120.43
110.80
110.34
118.80
112.37
121.04
a
117.40
122.50
120.43
113.80
110.34
112.37
118.80
121.04
121.64
117.40
122.50
120.43
116.80
110.34
112.37
118.80
121.25
8
121.61
117.40
122.50
120.43
7
116.80
110.34
112.56
118.80
121.04
121.61
117.40
122.50
120.43
118.80
6
110.34
112.56
118.80
121.04
121.61
117.40
122.50
120.43
117.00
110.52
112.56
118.80
121.25
121.61
117.40
122.50
120.43
117.00
110.34
112.56
118.80
121.04
5
3
a
117.40
122.50
120.43
117.00
2
110.34
121.64
117.40
122.50
120.43
117.00
1
110.34
112.56
118.80
121.04
121.61
117.40
122.50
120.43
117.00
Apr. 25
110.34
112.56
118.80
121.04
121.74
117.40
122.50
120.63
117.00
110.34
112.56
18
118.80
121.80
199
28-111™
7
Xow
116.80
110.80
110.34
112.37
113.80
121.25
120.43
116.80
110.15
112.56
118.60
121.04
117.40
122.50
120.43
117,20
110.34
112.75
118.60
121.04
120.22
117.00
117.20
122.29
110.15
112.56
118.40
121.04
122.27
117.20
122.09
120.02
117.00
110.34
112.75
118.20
120.84
122.17
117.20
122.09
120.02
117.00
110.52
112.75
118.40
122,09
120.02
117.00
110.52
112.75
118.40
120.84
117.40
122.09
120.22
111.20
110.70
112.93
118.40
121.04
122.09
7
117.20
110.88
122.20
113.12
118.40
117.60
122.09
120.22
31j
117.20
111.07
113.31
122.03
118.60
120.84
117.40
121.88
120.22
117,40
110.88
113.31
118.80
120.63
122.20
120.02
122.24
117.40
121.88
120.22
117.40
110.70
113.12
118.60
120.84
Mar. 22—
122,17
117.20
121.67
119.82
117.20
110.52
118.40
120.43
29
122.14
113.12
Mar.
3
116.80
121.25
119.61
116.80
120.02
Apr.
5
1547
118.00
113.31
118.80
„
122.39
117.60
122.50
121.61
116.80
121.04
119.61
116.41
109.79
111.81
117.80
120.02
121.05
118.60
122.71
121.48
110.40
112.56
116.22
119.00
121.04
122.31
115.43
120.63
118.80
115.43
107.27
112.19
114.66
119.41
129.63
117.40
111,07
121.25
19461945-
(Based
U.S.
on
Corpo-
Bonds
—
BOND
Individual
rate*
Aaa
Closing
Aa
A
R. R.
P. U.
1.57
2.79
2.53
2.03
2.83
3,13
3.07
2.72
2.62
2.89
2.54
2.G3
2.83
3.13
3.07
2.72
2.79
'2.61
2.53
2.C3
2.83
3.17
3.00
1.57
2.72
2.79
2.60
2.53
2.63
2.83
3.17
3.06
2.71
2.G0
2.79
2.53
2.C3
£.32
3.16
3.0S
1.57
2.71
2.79
2.60
2,53
2.63
2.82
3.16
13_
3.05
2.71
1.57
2.60
2.78
2.53
2.63
2.81
3.16
3.04
2.71
2.60
2.78
2.53
2.G3
2.81
3.15
3.04
2.71
2,78
2.60
a
2.53
2.63
2.81
3.15
3.04
2.71
1.57
2.60
2.78
2.53
2.63
2.81
3.15
3.04
2.71
2.59
8_—
1.57
2.78
2.53
2.63
2.81
3.15
3.03
7
2.71
1.57
2.78
2.53
2.63
2.81
3.15
3.03
2.71
1.57
2.78
.
2.53
2.63
2.80
3.14
3.03
2.60
2.60
-
2.71
2.59
5
1.57
2.78
2.53
2.63
2.00
3.15
3.03
2.7l
3
2.'60
a
2.78
2.53
2.63
2.80
3.15
3.03
2.71
2
2.60
1.57
2.78
2.53
2.63
2.80
3.15
1
25—
3.03
2.71
2.60
1.57
2.78
2.53
2.63
2.80
3.15
3.03
2.71
2.60
.1.56
2.78
2.53
2.62
2.80
3.15
3.03
2.71
2.59
1.53
2.78
2.53
2.63
2.81
3.16
3.04
2.71
2.60
.
1.54
2.7R
2.53
2.63
2.81
3-15
3.04
2.71
1.53
2.78
2.53
2.63
2.81
3.16
3.03
2.72
2.60
1.53
2.78
2.53
2.63
2.79
3.15
3.02
2.72
2.60
1.53
2.78
2.54
2.64
2.80
3.15
3.02
1.53
2.79
2.54
2.64
2.80
3.16
3.03
1.56
2.79
2.55
2.65
2.80
3.15
3.02
21
—
7
1.57
28
2.79
1.56
2.55
2.65
2.80
3.14
'
2.73
2.60
2.73
2.60
2.74
2.61
3.02
2.73
:
2.77
2.55
2.64
2.79
3.11
2.99
2.72
2.61
2.99
2.71
2.62
Dnlted
2.71.
2.62
Alabama
2.72
2.61
2.56
2.64
2.78
2.63
2.78
3.12
3.12
2.99
2.78
2.56
2.64
2.78
3.13
3.00
2.79
2.57
2.66
2.79
3.14
3.00
2.73
2.62
Arkansas
2.81
2.59
2.G7
2.81
3.16
3.02
2.75
2.65
California
2.G0
2.67
2.83
3.18
3.07
2.76
2.65
.1.63
2.77
j 2,53
2.62
2.78 *
3.11
2 99
2.71
2.59
1.47
2.72
2.52
2.58
2.73
3.03
2.84
2.70
2.60
,
2.G2
2.71
3.32
3.05
2.92
2.68
i
.
the latter being the true picture of the bond market.
used in compiling the
averages was given in the
President" under the
ization
Last
replying
to
Kenneth
S.
Wherry (R., Neb.), dated May 2,
questioned the President's
authority tolimpose expenditure
ceilings on tile: Reclamation Bu¬
reau, -on
May .16 informed the
Senator, according to Associated
Press Washington advices, that he
necessary
.
Wherry, who is Chair¬
Senate
subcommittee
Interior Department
appropri¬
ations,chad also .stated in his let¬
on
ter
tjhaf,, before his committee
could act on "requests for reclama¬
tion funds it would have to know
whether, the. President proposed
curbing the use of such moneys
next year.
The President, in his
reply, said that his ceiling action
of last August was "within the
well-recognized authority of the
•
X
h
1946
5,
:
war
and
reconversion
fall
Mr.
Truman
$130,000,000 ceiling
mobil¬
act.
imposed
construc¬
on
tion, activities of the Reclamation
Bureau for 1947.
Any increase in
the
1947
President
ceiling at this time, the
wrote
the
Senator,
would not result in heavier
spend¬
ing this fiscal year, because of the
time
involved in getting „heavy
construction
started.
4,302.381
4,377^221
1,425,151
3,941,865
4,329,605
1,381,452
3,741,256
4,203,502
1,435,471
1,639,925
THE
,
t
Tuesday, May l3-.
402 4
weeks ago,
400 6
1946
High
Lew
1947
High
Low
39J7
398.6
May 6
April
397.2
21_
411.1
—J
Dec.
Jan.
;
24
„
2
279.3
380.6
264.7
March
Jan.
402*4
490.4
Monday, May 19_
Tuesday, May 20
ago
Senate
and
Committees, is¬
statement saying that if the
The Asso¬
we
quote,
They added that the President also would have to "assume
,
full
blame
state
of
for
labor
inevitable
an
unrest
resulting,
doubt, in another round of
crippling work stoppages."
no
26
431.8
20-i.~371.5
The legislation bars both exist¬
ing and future portal claims un¬
less they are covered by contracts
or
are
tom
or
recognized as valid by cus¬
practice, the same advices
reported.
As noted in the Asso¬
ciated Press accounts:
Employers are exempted from
liability on part claims if any
Government
agency
approved
the actual wages paid.
■
Existing or past claims could
compromised if there are
disputes over the amount due.
be
North
are
_
1944
132,357
1,342,906
157,694
116,836
136,341
1,285,730
1,045,370
319,599
457,986
353,440
1,402,261
326,319
-
6,112
10,107
3,632
6,054
10,183
664,557
799,367
558,576
813,954
3,086
1,532
670,629
1,286
10,834
6,842
6,198
10,405
1,353
6,799
'
<8,039
388,376
1,557,021
1,933,857
bill,
303,299
176,822
404,444
tion
104,766
133,110
107,162
711,481
609,451
443,377
259,166
99,103
430,674
281.887
846,713
696,739
664,775
520,451
1,681,109
467,703
027,6? 0
06:', 72 2
563,872
1,803,454
2,650,134
14,577
14,273
25,650
444,039
.431,327
256,939
279,694
089.754
655,202
.
449,658
1,750,537
530,251
■
2,559,831
'
14,074
25,248
■
622,340
716,162
Banking Committee, which is conducting hearings on
|to provide for reincorporation of the
Export-Import Bank
—a step necessary under
existing legislation to continue the bank's
operations beyond June 30 of next year—was told
by William McC.
Martin, chairman of the bank's board of directors, that the bank is
increase in its lending authority.
Mr. Martin
ex¬
plained to the committee, accord-<e>
ing to Associated Press advices of
May 8, that the bank's uncom¬
funds
to
for
loans
$800,000,000,*
is
to
of
have
which
earmarked
operate
paying
ing its
out
all
of
for
a
been
substantial
a
cover¬
losses and
reserve
of
ac¬
$52,342,-
000, Mr. Martin reported that in
the thirteen years of its
existence,
the bank has:
1.
Been
loans
authorized
2.
Outstanding
$1,500,000,000.
3.
to
make
totalling $3,500,000,000.
Loans
thorized,
which
but
$1,200,000,000.
not
loans
now
have
been
yet
made,
au¬
of
financing
world recon¬
struction only until such time as
the International Bank for Recon¬
struction and Development should
for business."
open
that field
than
for
anticipated
unwillingness Of
to
go
into
longer period
because of the
a
private;
war-devastated
Secretary askcrted that it was
"unlikely that the Lscal and
designed to aid in mapping out
for
International
business,
he
Bank
said, the
a
took
He
setup.
the
occasion
to
noint out the present
"unique op¬
portunity to - modernize the Fed¬
eral tax' system."
Of
Mr.
individual
Snyder
income
tax.
rate,
reported to have
was
stated:
'
"The rates must be re-examined
to
determine-their
their
the
the committee's
series of hearings
a
general revision of the entire tax
lay"
When
en¬
Mr. Snyder was
first witness in
centives
getting the International
Bank into operation.
eco¬
actment of all the ultimately de¬
sirable revisions at the same time."
tries and because of the "long de¬
in
very
situation will warrant
nomic
capital
coun¬
did he intimate what ac¬
the President might take if
nor
and without recommending which
taxes should be cut, the Treasury
He said the bank has continued
in
opens
of
in
role
Means Commit¬
May 19, made no reference
House-passed tax reduction
this
legislation
finally
reaches
him, but indicated that the Treas¬
ury
Department
considers that
"a
period of tax reduction is
approaching,"
Associated
Press
Washington advices stated. With¬
out stating his opinion of when
this time might be specifically,
Mr. Martin declared that it "was
clearly intended that the ExportImport Bank should play a major
administrative
earnings,
small
own
cumulating
at
on
to the
247,740
1,045,485
The House
mitted
tee
400,731
100,167
an
Secretary of the Treasury John
Snyder, appearing before the
W.
House Ways and
594,119
measure
asking for
Hearings on
Revising Tax System
1,864,749
131,682
va two-year limi¬
Committee
1,517,873
182,342,
509,943
'
BcincorpsraHen of Export-lisped Bank Urged'
not
The bill puts
377,703
317,457
1,635,178
14,427
-
1944
116; 155
..
—
1945
347,708
'
———-
(Gross weight)
1,006,737
—
Virginia
Equivalent 500-Pound Bales
1946
.
454,097
7,616
246,722
1,034,652
_
be
the various States.
155,126
1,257,421
553,322
not
tation upon filing future claims.
Past claims would be controlled
1944
1,003,947
Carolina.
Tennessee
1946, 1945 AND
included)
not
could
by the statutes of limitation of
OF
930,459
Carolina.
South
as
claims
compromised.
are
822,550
———
Oklahoma.
a
Future
and
955,770
3,761
.
expenses
Z
States
905,472
Mexico__4_..
profit,
399.2
by
season,
803,545
1,610
_
Missouri
New
the
12,230,053
Stating that the bank has
—
Crop of 1040
9,014,374
Illinois
Louisiana
able
Wednesday, May 14
Thursday, May 15
Friday, May 16
Saturday, May 17
ago,
the
Judiciary
a
ciated Press from which
given
half bales, and in equivalent
CROPS
China,
OoscdiSy Index
Month
1,588,434
1,698,942
1,704,426
1,705,400
1,615,085
.
Senator
and Repre¬
(Rep., Mich.),
continuing high prices.
1,699,822
1,429,032
stand-
a
also said:
1,696,543
1,709,331
8,639,595
'
shrunk
issdfsiiSy
Two
Wis.)
of
and the
on
27.
President vetoes the bill he "must
assume
full
responsibility"
for
1,633,291
11,839,366
~
$500,000,000
Year
1,683,262
1,679,539
8,813,453
_—
__
Georgia
Texas
Sept.
or
desirablejthrestrict reclamation
spending in thehyear commencing
July i,as was done in the present
fiscal vpar. u.
the
a
1,514,553
1,480,208
1,465,076
1,480,738
1,469,810
1,454,505
1,436,928
1,435,731
1321.
Truman Says Will Not
of
4,332,400
1945
'
Mississippi
2.88
list
Cut Reclamation Funds
Senator
__
Kentucky
♦These prices are computed from average yields on the basis
of one "typical" bona
<3%% coupon, maturing in 25 years) and do not
purport to show either the average
level or the
average movement
of actual price quotations.
They merely serve tc
Illustrate in a more comprehensive way the relative
levels and the relative movement
it
+ 15.1
.
closed.
believe
Arizona
Florida
2.81
.
not
4,321,734
1,706,719
8,517,291
-
1.56
which
+ 17.7
+ 19.5
Running Bales
(Counting round as half bales)
States__
1.57
Senator
4,397,529
4,401,716
4,329,478
FROM
1946
1.57
Truman,
+ 18.5
(Linters
3
1.57
GINNED
State-
10
President
+ 18.5
3,992,283
Quantities
COTTON
1.56
Tetter from
3,987,377
4,017,310
running bales, counting round
500-pound bales.
7
on page
1,538,452
1,537,747
shown
2.61
ydssue of the "Chronicle"
4,473,962
4,472,110
4,446,136
in both
2.61
averages,
+ 21.8
+ 19.9
Final figures of cotton
ginned by states for the last three crops
in the following tabular statement.
-
2.6C
NOTE—The
.
_
2.61
2 Years Ago
man
-
are
2.73
2.56
1.702.57C
1,687,221
3,922,796
4,000,119
3,952,539
ginnings to specified dates throughout
counties, for the crop of 1946.
2.73
2.78
sued
ginnings for the crops of 1946, 194.5, and 1944, and
production for the
crops of 1946 and 1945 by states and
counties. It will show also the
2.73
2.77
House
Chairmen
The Bureau of the Census Will issue
soon the annual bulletin on
Cotton Production for the
crop of 1946, This bulletin will show the
3.02
1.57
1,718,304
8,257 active gins located in 819 counties in 18 states. The final
figures
8,517,291 running bales, counting round as half bales, are
3,802
running bales greater than the preliminary
figures issued March 20.
The ginnings for the 1948
crop are equivalent to 8,639,585 bales of
5G0 pounds each.
3.00
1.55
1,726,161
1,699.25C
1929
1,512,158
1,519,679
+ 21.1
vote,
to
con¬
compromise
of
3.01
—
1,578,817
1,545,459
4,505,209
173
(Rep.,
4,538,552
4,472,298
of
sentative Michener
1932
+ 20.5
by voice
vote
the
approved
committee's
Wiley
Kilowatt-Hours)
+ 21.0
Senate
House gave approval
ing
1945
Cotton ginnings for the
crop of 1946 totaled 8,517,291 running
bales, according, to a final report on cotton ginnings issued on
April 25
by J. C. Capt, Director, Bureau of the Census. The statistics on cotton
ginnings were compiled from the individual returns collected from
3.14
of yield
+ 19.9
Cotton Ginned Frbaa lie
3.12
24—
of
Over 1946
3,982,775
3,983,493
3,948,620
4,778,179
4,777,740
41797,099
_
3.13
2.83
(Thousands
The
% C'nange
1946
+ 17.2
2.80
1.64
IKS
+ 19.0
2.79
1945-
RECENT
3,910,760
2.79
Market
16.9
3,939,281
2.65
19,
21.7
-
2.65
a
20.2
17.4
4,615,983
24
2.64
.
18.7
15.7
4,653.137
10
17
May
2.55
1946-
18.3
19.0
4,397,330
2.55
20,
measure
4,411,325
4,415,809
2.55
1 Year Ago
22.2
+ 17.4
2.79
-
25.2
+ 15.7
2.78
1947.
18.0
+ 1G.9
2.78
104V
ference
4,011,670
1.57
High
18.4
20.1
3,987,145
3.976,750
1.56
17
19.2
4,640,371
21
31
18.1
19.0
26
14
.
18.1
19.4
18.3
Apr.
May
2.59
3
28
25
19.1
17.5
4,660,320
4.6G7.997
May
Indus
1.57
1.57
17.3
13.6
19
Corporate by Groups'
Baa
14—
t
24.2
Apr.
_
walking to
machines and preparing to
begin
23,7
19.1
filing
operation^.
14.9
17.2
the outcome of the
Prices)
a
1.5 7
10.2
was
a Washington
dispatch.
The
Press
of billions of dollars in claims for
back pay for certain
non-produc¬
tive activities, such as
19
10.3
10.8
4,619,700
3—
Apr.
9.5
8.3
AVERAGES
Corporate by Earnings*
.
Apr. 26
10.2
12
May
YIELD
May 3
10.7
Apr.
.-
tion," according to
Associated
bill
YEAR
9.2
4,728,885
4,693,055
■
LAST
8.5
4,786,552
4,763,843
4,759,066
;
Avge.
Govt.
6—
does
15
May 31
MOODY'S
'
WEEK
3,987,673
4,014,652
Ago
9—
a
Mar.
M
._
10
12—
■
8__
17_1
15—
May
-
1_„—
Mar,
120.63
16
May
22
Mar.
118.80
17
Eaw
Feb.
120.84
May 10
4,777,207
4,801,179
.-
...
113.31
19-
Jan.
8
15
110.88
May 26
Feb.
Feb.
Feb.
17
1947
;
117.40
Averages
i
120.84
1
120.43
112.75
FOR
Week Ended—1
121.88
1947
Mar.
Coast
117.60
110.15
SAME
5.9
18.9
States—
Total United States
Feb.
veto would increase
"the threat of uncontrolled infla¬
23.6
Central
122.39
Daily
Apr.
,
Industrial
DATA
122,24
117.20
19,
-
.
Atlantic
Pacific
121.04
118.80
May
Rocky Mountain
122.50
117.40
£0,
•
West
122.50
OVER
by Congress on May 1,
Republican warning that a
a
Presidential
week last year.
same
INCREASE
England
Southern
passed
with
-Week Ended-
Division—
Middle
117.40
2 Years Auo
*
112.37
the
Major Geographical
New
121.25
122.14
1 Year
May
110.15
over
PERCENTAGE
Central
117.40
120.43
respectively,
121.04
122.20
1947
May
120.43
118.80
14
24_
High
122.50
112.56
21
28—
Jan.
17
122.27
21
Feb.
117.40
122.02
Q
XJar.
4,615,983,000 kwh., an increase of 17.2% over the
corresponding week of
last year when electric
output amounted to 3,939,281,000 kwh.
The
current figure also
compares with 4,653,137,000 kwh.
produced in the
week ended May
10,1947, which was 19.0% in excess of the 3,910,760,000 kwh. produced in the week
ended May 11, 1946.
The largest in¬
creases were reported
by the Southern States, Rocky Mountain and
Pacific Coast groups which
showed gains of
23.6%, 19.2% and 19.1%,
Corporate by Groups"
A
4 *■
Compromise legislation designed
nearly ail pending portal-to-portal pay suits was finally
to outlaw
and
of
to
work
effects
on
purchasing
the
.
ordinated
.
.
on
in¬
invest and
living
power.
rates
with
effects
and
standards
Revision
should
be
co¬
other changes in
Export-Import Bank will concen¬
trate on the purposes for which it
originally intended—stimula¬
tion
of
this
country's
foreign
exemptions and the treatment of
trade.
in
Was
the
income
tax
such
as
personal
family incomes and with changes
other
taxes."
rJ
THE
12 -
(2788)
President Asks
totals $1,196,872,000 ,whi(?h„ ,is 3% below*, that,for,
construction^ i$774^428,O00,";'isiil5% i greater: thanl tho
cumulativet total for the • corresponding period,, of ,1946, whereas
State arid municipal construction, $582,723,000 to date, is *34% above
struction. im.1947
ed in Week Ended
J046J
Department Reports
'
"Farm
,
'
|
.
„
.
generally
Municipal-—
and
State
79,678,000
The
53,436,000
58,144,000
to have warni
i
construction groups,
In the classified
17,157,000
eral
build¬
highways, industrial
gained this
ings,. commercial buildings, and unclassified construction
week over last week. Four of the nine classes recorded
week over the 1946 week as follows: sewerage, bridges,
Bureau of
Investigation $8,^
740,000 for; investigations through
June
30, 1948.
The President's
order
applies to the executive
gains this branch of the government, not to.
industrial the legislative branch or the
Crop damage caused a sharp rise in the price of
1
courts.
onions.
Eggs again declined seasonally.
Lower prices also were buildings, and unclassified construction.
New Capital
Representative
Rankin
(Bi.reported for peanuts,, hay and flaxseed.
Quotations for raw cotton
and Australian wool were higher.
As a group farm products were
Miss.), a member of the House
New capital for construction purposes this week totals $27,939,Committee on Un-American Ac¬
2.1% lower than in mid-April and 29.8% above a year ago.
000 and is made up of $27,489,000 in State and municipal bond
"Food prices generally decline during the week.
Dairy products sales and $450,000 in corporate securities. New capital for construc¬ tivities, said the President "Is to
be congratulated in thus taking
were down 0.5%, with lower prices for cheese, and fresh, evaporaed
tion purposes for the 20-week period of 1947 totals $618,481,000, 18%
the
lead
to
drive Communists
and powdered milk, reflecting seasonally increased production of
greater than the $525,474,000 reported for the corresponding period from the executive branch of the
fluid milk.
Cereal products also were lower, largely because of of 1946.
government."
temporarily lower demand.
Meats were fractionally lower on the
Representative
Bloom
(D.average.
Lack of demand at prevailing high prices caused decreases
for a number of other foods, including cocoa beans, coffee, black pep¬
N. Y.), ranking Democrat on the
House Foreign Affairs Committee*
per, vegetable oils, tallow and lard.
Food prices averaged 1.2% below
said there was no question the
mid-April 1947 and 45.3% above mid-May 1946.
money would be forthcoming. Af¬
"Other Commodities—Average prices of all commodities other
ter passing the Greece-Turkey aid
than farm products and foods declined for the third consecutive
Te weekly wholesale commodity price index compiled by The
bill to help those nations combat
week, largely because of lower prices for crude rubber, fats and oil National Fertilizer Association and made public on May 12 declined
Communism, Bloom
said, "we
and soaps.
As a group, chemicals and allied products were down to 196 6 for the week ended May 17, 1947 from the revised figure
wouldn't be consistent if we didn't
more than 1%.
There were declines of 10% or more for ether, copra,
of 196.8 in the preceding week.
A month ago the index stood at give it to him."
inedible tallow, fatty acids and ground bones.
Silver nitrate prices 198.0 and a year ago at 146.9, all based on the 1935-1939 average
The loyalty check will be started
also were lower due to reduced costs.
Prices of quebracho extract as 100. The Association's report went on to say:
by comparing the names and fin~
advanced sharply reflecting scarcity.
Lower raw material costs were
During the week five of the composite groups in the index de¬ gerprints of employees with those
responsible for general declines of 2 to 7% for soaps.
Anthracite
prices again declined fractionally as seasonal discounts were reported clined while two advanced; the other four remained at the level in FBI files.
"If derogatory information re¬
by a few additional mines.
Price increases occurred for sulphate of the preceding week. Prices for grains and eggs advanced, but
woodpulp, in short supply, and for boxboard. Cattle feed quotations these rises were more than offset by lowered prices for cotton and lating to loyalty is discovered,"
were up fractionally.
Mr. Truman explained in his ap*»
Substantial declines occurred in prices of a
most livestock, with the result that the farm products index declined.
few paint materials, reflecting general lack of buying. Cement prices
propriation request, "the FBI will
were up slightly,
As a group hides and leather products were un¬ Lower prices for butter, flour, and cocoanut oil, as well as for some make a full field investigation
changed.
Quotations for hides increased but leather prices were fruits, caused the foods index to decline, although higher prices were and report all derogatory / infor-*
mation to the employing agency."'
lower with reduced buying due to the decline in production of shoes
supplies.
large
j
Association Wholesale
National Fertilizer
Downward
Commodity Price index Turns
if,
appropriation, which is i said
support in Congress,
35,173,000 would give, the Civil Service Com¬
mission $16,160,000 and the Fed¬
22,971,000
36,279,000-
6,425,000
-
the paction, - Associated +
Prpss, Washington advices stated.
41,724,000
Federal
$24,900,000. to
initiate,
92,226,000
1
Public Construction
16,1946
j 39,087,000
| 32,662,000
$131,313,000
disloyal
weeding . put
t
asked Congress for,
$137,822,000
Construction
Private
V
March* 22 dit'
government employees,; on, May* 10 r
.
May 8,1947 May
at
rected
current week, last
$95,160,000
S. Construction.--^
Total U.
Quotations for most
nearly
quotations also
:'J1
,following his
President ,Truman,
executive .order- of
,
,
,
volume for the
Civil engineering construction
May 15,1947
Foods—Reversing last week's decline, aver¬
Products and
'
Loyalty Drive Fund£,
19% below the
$191,705,000, dropped
construction,
week, and the 1946 week totals:
market prices of farm products rose 1.0%.
grains advanced as shipments were reduced.
Oats were up
7% because of poor crop expectations.
Livestock
increased with light shipments.
Hogs were up 5% and calves 7%.
Prices of citrus fruits and white potatoes were lower
because of resistance to previous high prices in the face of current
age
Federal
20-week total of 1946.
prices
to the
Bureau of Labor Statistics, U. S. Department of Labor, which on
May 15 announced that at 146.7% of the 1926 average, the Bureau's
index: of commodity prices in primary markets was 0.9% below a
month ago and 33.2 % above the corresponding week last year.
In its
advices for the week ended May 10, the Bureau also reported:
1
^
.
Public
it
1946.
average primary market
ended May 10, according
Following five Weeks of decline,
during the week
remained unchanged
1947!
Thursday, May 22,
v
CHRONICLE
COMMERCIAL & FINANCIAL
..
-
.
.
.
.
.......
Percent changes
5-10
1947
Commodity Groups—
146.7
-AL cuiuiiiyaities
176.3
products-:—-j.
•Farm
Foods..
....
Metals
and metal
products
1947
1947
146.7
146.8
174.6
180.1
135.8
163.0
110.9
173.8
138.0.
137.8
139.6
106.7
0
104.0
103.9
104.0
87.0
0
140.7
140.7
140.8
140.3
109.3
0
178.5
126.8
171.9
1166.7
178.0
177.9
127.2
128.6
130.5
134.5
96.2
Housefurnishings goods.
128.6
128.6
128.6
126.7
108.9
Miscellaneous commodities—
114.9
115.4
115.2
114.3
96.2
160.1
159.4
161.3
163.4
123.2
products
allied
and
Special Groups—
Raw
materials
Semi-manufactured articles-.
142.0
142.2
144.7
146.2
101.6
Manufactured products
141.9
142.2
141.1
142.0
105.6
All commodities other
Farm
-
s-
0
138.0
£
-
1.0
+
-1.0
104.0
178.6
1
materials
Building
Chemicals
0
110.1
148.1
177.6
160.3
1947
1947
1946
120.3
products
Textile
Fuel and lighting materia^i^,
1947
(162.7
161.1
166.7
products^—.
and leather
Elides
_
4-12
to
May 10, 1947 frorr>
5-11
4-12
5-3
5-11
4-26
+
•
-
-
-
0.1
-
1.1
-
0
-
0.4
+
—
—
-
quotations for burlap and
Lowered
(1926=100)
5-3
veal and lamb, peanut oil, and cottonseed oil.
hemp were responsible for the
fall in the textiles index.
The drop in the building materials index
was due
to lower prices for southern pine and linseed oil.
The
chemicals and drugs index fell because of price decreases for cam¬
quoted for ham, cocoa,
GROUPS
WHOLESALE PRICES BY COMMODITY
FOR WEEK ENDED MAY. 10, 1947 <
CHANGES IN
'
*
1946
0.9
+ 33.2
2.1
+
29.8
1.2
+
45.3
4.1
+
38.6
1.1
+
29.3
prices for hides,
0
+
19.3
finished steel and
0.3
+
28.',
0.4
+ 40.8
5.4
+
32.2
1.5
+
18.1
0.5
+
19.4
0.4
—
2.0
+30.0
0.1
—
2.9
+39.8
0.2
—
0.1
+34.4
leather, bran, \and middlings^. Lower-prices for
steel scrap were not enough to offset the higher
price of copper, and the
During the week 24
metals index rose.
price series in the index declined
140.2
140.6
140.1
141.2
104.4-^0.3
131,8
132.0
132.1
103.7
—
Week
~T!
AirVoirmio^Uies other:
Each Group
than
ih.7
fGod£L_l_1__
Farih (products arid
y
(
• '<■
h
MAY
3,
0.3
0.1
+27.0
•
PROM
SUBGROUP INDEXES
10, 1947
IN
Hides
and
and
Paper
Poultry
Cottonseed
2.5
Other Leather
2.3
Shoes
Cattle Peed
0.8
Skins
and Pulp
Cement
_
.
Other Building
0.4
0.3
0.2
Products:
__2»——
0.4
Lumber
Materials
Crude
Rubfcer
Oils'and
Fats—:
Other
Foods
Fruits
and.Vegetable:
Leather
;.
.
Fertilizer Material"—
Other
•Based
the
on
changes
m
1
u-,e
Dairy
Anthracite
&
Products—.
—
___.
Paint
Materials
Meats
weexly index of prices of about 900 commodities
general level cf primary market prices. This index
distinguished from the daily index of
are
those charged by
manufacturers or
be
0.5
0.3
0.2
0.1
which
should
The weekly index is calculated from one-day-a-week
designed as an indicator of week-to-week changes and should not
directly with the" monthly index.
8.2
Textiles
7.1
Metals
6.1
Building
1.3
Chemicals
7
.■•£•+.',
J..i, £,
■
■-
'
portedly f Engineering News-Record.", This volume is 38% above
the previous week, 5% below the corresponding week of last year,
and 33% above the previous four-week moving average.
The re¬
Fertilizers
.3
Farm
and Drugs
added:
:
...
;
this week, $92,226,000, is-121% greater than
last week, and 16% above the week, last year. Public construction,
$39,087,000, is 27% below last week, and 33% less than the week
last year.
State and municipal construction, $32,662,000, 10% below
last week, is 7% below the 1946 week. Federal construction, $6,425,+
000, is. 63% below; last week; and ,'72% below the week last year... Total engineering-construction for the 20-week
cords; accumulative total of $1,971,300,000, which
:
:
-v
,7*'j
176.4
342.1
314.9
330.4
258.0
253.4
250.2
257.9
192.2
232.5
231.1
162.7
up
230.4
170.4
1170.4
169.8
130.8
full
160.5
157.9
158.3
138.4
215.8
216.4
216.5
166.1
149.3
147.9
148.4
117.9
198.3
203.3
203.4
167.8
157.4
157.5
158.2
127.5
127.5
127.5
127.5
116.6
134.5
134.5
134.5
119.8
125.5
125.5
126.3
105.8
n
Materials
:—;
'.J,
-
Machinery
All groups
100.0
"Index
on
May 18, 1946,
t Revised.
1926-28
were:
1947, 153.2; May 10,
17,
May
of 1046.; On a
period of 1947 re¬
is 4% above the
cumulative basis, private con-
198.0
J
1947, 1153.3;
1196.8
196.6
combined
base
ducing negotiations now in prog¬
at Geneva,
ress
report to the House on the
committee's
trade
study
which commenced after Represen¬
tatives
Gearhart
(R.-Cal.)
and
Jenkins (R.-Ohio) had introduced
resolutions to limit further nego¬
a
tiations.
May 13 its usual
monthly summary
\
' '
give below:
SUMMARY
FEDERAL RESERVE
BY
DISTRICTS
dollars)
(In millions of
April,
4 Months Ended
.April,
April
1946
1947,
<
April,
Federal
Reserve
1947
District—
3,777
4,099
New York
40,090"
3,971
11,520
5,146
3,058
17,255
.•3,440
3,000
12,991
2,765
11,621
10,297
40,352
2,378
8,237
6,841
4,495
3,324
.
•
;
r ;
•Included In the national„ series.
8,968
8,792
34,640
1,537-
9,724
7,852
2,983
2,547
7,380
8,448
7,800
8,706
25,716
37,208
31,391
46,9107
9,465.
262,660;:
.87,532,,.
87,766.
1
'
8,201. v:
42,122:'
,
.
covering. 141.centers,..ayallabte
auit-'
1
.r .5
,vi\L
American
in-j
protection^ jpro+
ponents argued that t{\e ;',tradef
treaties promote
commerce,.;' Ihrj;
crease employment -ih the United'
States and contribute 'td - Wdrld
P£f^e-Jnt
economic stability apd
...
....
■U »u7)
Griffis A,
;
The nomination i
23,025
fis-
H.j) »£.;:•♦;
rOVCQiuiJ'.+ t,
'St'dhtbn'Grif
94,683'7
249,073
103,376
140,077: *, 121,782
-27,900;+:
23,915>
.begliih|flg lb,,
Ambassador.,to
as
R^latihri?
Senate
Foreign
mittee
approval
voice vote,
on
May
113-
b>|j
according to Washing¬
advices from
ton
the Associatec j
59rye^r .pld. ipve?tmen|;
was named, by Pfesidehijj
The
banker
1
■
to;
succeec:|
Arthur.-®lis'slLaho,: who resif - ^
'
i»br13
;
i t
,tm
t-ii:- \
many
being jeopardized by
are
lowering of tariff
i ('
i
t»•/ 3
that
dustries
Press.
»New York-City—-— 1.
• 140 other centersL—;—'"•
193, other centers—_
—; '
no-
the resokH
Critics of the program conn
on
14,290
2,597.
•
Total, 334 centers———————
•
11,011
<
10,031
3,293
1,893
City
•
5,595
.
—
Francisco—..-—:—
„
10,686
111,094
6,064
__
Dallas
San
11,695
3,934
34,531
—
.
...
Kansas
investigation,
taken
1946
103,525'
Richmond
Minneapolis
the
was
•
Boston
Philadelphia
the
of
tended
issued
of "bank debits" which we
Federal Reserve. System
Governors of the
negotiai
pending an invesrj
operation of the!
Although the committee!
tions be held up
tions.
April
had pro
The two Congressmen
posed that further trade
action
.
•n
may
program.
conducted
Bank Debits for Month of
Switzerland, and
suggest: revisions., A
subcommittee is expected to draw
later
tigation
■
;,v. '„<:• (!
r
and
114.4.
Private construction
total! for a like; period
245.1
—
port issued mn May 15..
r
163.1
246.5
_
engineering;; construction volume in continental United
totals $131,313,000 for the iweek ehding May 15, 1947, as re¬
;ICivil
States
147.4
433.1
146.9
on
•
144.6
298.6
Commodities——
Materials
Fertilizer
3
The Board of
Construction Totals
$131,313,080
for Week
'I-.'
7
220.6
—
.3
prices. It is
be compared
Oivil iraf taring
214.6
302.0
:—
Miscellaneous
10.8
1946
227.8
17.3
0.5
0.5
0.5
28 commodities.
For the most part, prices
producers or are those prevailing on com¬
exchanges.
modity
'
.
Pharmaceutical Materials
Other Farm
Paint
!
Products
Drug &
0.9
0.7
;
BLS
Cereal Products
1.5
1.5
miscellaneous
measures
6.4
5.1
2.5
Ago
May 18,
1947
245.4
Livestock
Decreases
Ago
Apr. 19,
1947
213.8
Grains
0.1
Week,
225.0
Cotton
-0.1
■
Oil-
Year
May 10,
^
Products
Farm
23.0
.0.1
Bituminous Coal—
0.7
—_
Oils
and
Fats
_
307.7
Foods
25.3
1947 TO MAY
;
Livestock
17,
1947
Increases
Grains
May
Group
Bears to the
Total Index
.*
CHANGES
PERCENTAGE
—
(R:*Minn.) was- reported tohave
stated, however,, that theL
committee would watch with in¬
terest
the
18-national tariff-rer
son
Preceding Month.,
Latest
-I
Knot-
stated on May 13. Chairman
National Fertilizer Association
1935-1939=100*+"•
0.7+34.3
+ 5
-
Republican leaders in the House
indicated, after more than a
month of public hearings by the
Ways and Means Committee, that
no
immediate
attempt will b^made to change the Government's
reciprocal trade program, Asso¬
ciated Press Washington advices
Compiled by The
1
products—
in
COMMODITY PRICE INDEX
WHOLESALE
WEEKLY
tnan
u
i.; ,'iBd o ''•)
'-a
:
-
hh''
ilfl
,
3-'v -VQll
j
j
have
and 22
week 24 declined and 26 advanced;
preceding week 30 declined and 15 advanced.
advanced; in the preceding
the second
Trade Program to
lower,
higher Stand for President
miscellaneous
the
but
Prices for rubber and linseed meal were
commodities index rose because of
oil.
phor and castor
the
have
will
employee
The
right of appeal to a review board
which will be set up in the Civil
Service Commission.
J
;
I {t i
n
v 4<
.rdnrjimT
ttJDJMQmiD JAXDWAnm tt JAID5SHMM03 5THT
a i
* *
&
is-
-
[THE COMMERCIAL & FINANCIAL CHRONICLE
i^umber '4596
Volume1165"
Daily Average Crude Gil Production for Week
Ended May 10,1947 increased 53,700 Barrels
'
£>#V..»
1 The, American Petroleum Institute estimates that the daily averi age gross crude oil production for the week ended May 10, 1947, was
•n-.
Weekly Goal and Coke Production Statistics
The
total
production
of
soft
.an
;
>T-
coal
in the week ended
May 30,
1947, as, estimated by the United States Bureau of
Mines, was 13,050,000 net tons, an increase of 480,000
tons, or 3.8% over the pre¬
ceding week.
Output in the corresponding week of 1946 amounted
to only 463,000
tons, owing to the strike in the bituminous
coal
all-time high record, representing an increase of
mines.
In the current calendar
year to May 10, soft coal produc¬
5.3,700 barrels per day over the preceding week and a gain of 255,900
tion totaled 225,757,000 net
tons,
an
increase
of
barrels per day over the corresponding week of 1946.
36.2%.over
the
The current
165,ciigure was also 133,600 barrels in excess of the daily average figure 789,000 tons produced in the corresponding period of last year.
Output of Pennsylvania anthracite for the week ended
«of 4,871,000 barrels estimated by the United States Bureau of Mines
May 10,
1947, as estimated by the Bureau .of
as the requirement for the month of May, 1947.
Mines, was 1,057,000 tons, a
Daily output for the
decrease of 37,000 tons, or
3.4%, from the preceding week. When
; four weeks ended May 10,
1947 averaged 4,949,450 barrels;
compared with the production in the
New evidence also appeared to support estimates that consumpcorresponding week of 1946
tion of oil products, already at record level?, for either war.or Peace¬ .there was a decrease of 386,000 tons, or 26.7%,
The calendar year
<£,004,600 barrels,
•
t*»
time periods, is continuing to increase.
Reports
received
from
industry
as a whole ran to stills on a
mately 4,840,000 barrels of crude oil daily
<•
follows:-
and produced
week ended
May. 10, 1947; and had in storage at the end df that week
100,934,000 barrels of finished and unfinished gasoline; 10,152,000
barrels of kerosine; 33,363,000 barrels of distillate fuel, and 42,875,000
;
AVERAGE
CRUDE
•B,of M.
York-Penna
-Actual Production-
A'.low-
Week
ESTIMATED
Week,
49,200
46,800
8,000
7,900
*
FHJtMtg. Insurance
Btigh in April
at
Kew
Appl cations for FHA moitgage
insurance reached a record
vol¬
ume of *52,950
dwelling units dur¬
ing April, exceeding any previous
month's recofd, Commissioner
Raymond M. Foley of the Federal
Housing
Administration
an¬
nounced oh May 18.
Of
tli'S grand
total, newrhome
application;?''involved
Ohio—Other
8,000
Kentucky
:
18,100
18,550
186,750
210,850
29,000
25,900
950
25,250
31,500
47,000
41,150
1,450
40,800
47,600
700
Kansas
t600
275,000
280,000
380,000
''Texas—...
2,800
.
100
2,750
JSfebraska
(Oklahoma
2,500
18,100
.183,450
378,125
t278,650
1.100
1385,700
100
'
600
800
279,500
245,300
38?,700
373,250
,■
39,186
District' I
;
j.
21,000
—
159,150
800
158,400
District
485,150
243,400
3,250
482,050
1,050
242,400
III;
District
V——
38,350
200
38,150
East Texas-Li--.
338,000
2,150
335,950
Other
112,500
750
111,800
T.:
"
DIst.
VL^.
-District VII-B
:r
38,200
36,800
District Vll-C__
v; ■ District VIII_„_^
District
DC
District X
.-If
Worth
Alabama
411,000
L_Ll_
'
137,800
+
1.150
136,750
86,250
+
455,000
79,000
97,100
87,050
314,300
291,450
378,500
; Total United States-
is
the
net
shutdowns
fields
114,450
113,000
22,650
19,400
40,300
2,650
38,600
28,950
911,800
1,600
910,250
865,800
basic
and
allowable
are
of
as
exemptions
which
were
+53,700
4,949,450
4,748,700
3,400
62,650
61,700
RUNS
AND
of
TO
for
for
May
the
week
ended
calculated
1
entire
7:00
a.m.
May
31-day
a
on
month.
With
Conservation
STILLS;
UNFINISHED
FUEL
.
the
AND
Committee of California
include Virginia, 200 barrels.
to
PRODUCTION
GASOLINE,
RESIDUAL
OF
GASOLINE;
KEROSINE,
FUEL
OIL,
GAS
WEEK
OIL
Oil
,
ft
Figures
.,
in
estimate
*
1-5TL- '
■
f
!
District^'
STOCKS
AND
ENDED
Refin'g
, Capac.
Crude Runs
99.4
843
459,000
and South Dakota
(lignite)
(bituminous)
of
OF
FINISHED
DISTILLATE
MAY
10,
(bituminous and lignite)
;
Virginia
Washington
(West Virginia—Southern
tWest Virginia—Northern
Wyoming
1,000
29,000
36,000
46,000
807,000
40,000
21,000
143,000
38,000
3,053,000
141,000
1,000
4,000
7,000
1,000
151,000
152,000
3,000
420,000
35,000
417,000
5,000
19,000
11,000
2,000
2,550,000
2,603,000
34,000
1,107,000
994,000
125,000
123,000
'
-
"
11,570,000
*
12,860,000
545,000
reported
and
are
totals
plus
therefore
an
on
a
Mines basis
and
Unfin.
Home Loan Bank Administration on
April 10, which added that "the
reduction in volume from $847 million in
January to $770 million in
9%, the largest proportionate
drop in the amount of recordings of $20,000 or less for
any com¬
parable month since 1939—when this mortgage
study was initiated."
represented
tStks. of tStks.
tStocks
Gas, Oil
of
of
& Dist.
Resid.
Inc. Nat.
Gasoline
Kero¬
Fuel
Fuel
Blended
Stocks
sine
Oil
Oil
1,918
22,468
4,755
9,566
6,259
73.7
"289
2,554
204
388
243
107,8
226
1,092
42
93
104
the
98
69
795
84.8
412
89.2
ilnlarid Texas"f 64.2
184
60.9
_
1,098
83.2
LouisiandlChilfi'Cqa^ttTk. ;96.4360
100.8
91.5
Coast___H"
KNp.-jj*% fatopyf-roi--?4-4
50
43.9
2,618
1,443
20,976
1,267
9,629
416
3,309
4,115
13,893
224
920
4,936
139
1,712
•
i-i
744
""
,
•
11
84.6
71,3
113,
64.9
2,743
2,118
1,149
982
312
591
1,431
5,757
4,846
571
1,754
975
398
491
,+
106
88.0
807
85.5
;
40
79
15
36
396
2,947
16,533
67
487
762
10,587
46
"
1
2,309
■
627
25,978
as
1946,
volume'
year
dollar
a
87.1
4,840
85.8
14,351
<'100,934
10,152
33,363
42,875
85.8
4,816
86.6
basis May 3, 1947—
14,383
103,505
9,560
31,899
42,944
S, B.
pf M. basis
■
!"ahiy n1/1946--Lci.1' :u
itIncludes unfinished
,
4,664;;(;
; nl3,788
,
198,196.,
11,042
32,485
40,039
gasoline - stocks of 8,861,000 barrels,
tlncludes unfinished
asoline stocks of 8,131,000
barrels. tStocks at refineries, at bulk terminals,' in
sit' ahd in pipe lines. ) Jfii addition,* there rWere- prodqced.a.^LOOO
ibarrelSj of
erosine
5 514,000 barrels of gas oil. and distillate fuel 6il and 8,224,000 barrels of
idual'fuel oil in the week ended May 10, 1947, as compared with 1,904,000 barrels,
294 000 barrels and 7,836,000 barrels, respectively, in the. preceding week and 1,917,000
arrels
5 346,000 barrels and 8,861,000 barrels,
respectively, in the week ended
ay 11, 1946.'
'
recordings were still
However, the margin
Amounts in Millions
of
1947
mortgagee
fst 2
mos.
—
Percent of total
from
1947
Amt. Feb. '46
Amt.
% Chg. Feb.
from '46
1st 2
mos.
1947
1947
1946
+
8
$481
+
10
30.5
29.8
35.0
47
+
79
99
+
86
6.0
6.1
4.2
cos
2ll
+
50
442
_j_
58
27.4
27,3
22R
Mut. svgs. bks
Individuals
35
+
41
80
-f
62
4.6
4.9
3.S
Ins.
L.
assns
cos
Total
144
4-
2
304
+
4
18.7
18.8r
23.3
98
+
43
211
+
51
12.8
13.1
11.2
+
24,
$1,617
+
29
100.0
100.0
100.0
$770
"Considerable
have
shifts
been
financing activity.
rioted
_
in
activity among the various classes of
during the past year of record-breaking
Due to their
commercial banks in
relatively large increases in volume,
February 1947 recorded 27% of the total
amount
for all lenders, as compared with less than
23% a year earlier., I4ken
wise; insurance Companies this February recorded 6% of the total,
and only 4% in the same month of 1946.
Savings and loan associa¬
tions
meanwhile
from 35%.
first four1 months
applications op multirental
housing
projects
36 298 new
dwelling units
the
close
to'a
116,095.
third
the
of
units
new
total
of
all
of
types to
be financed through these
appli¬
cations under the FHA program.1
This indicates the continued in¬
of builders and investors
terest
President 'Truman's
the
efforts
to
largest
possible vol¬
of rental housing during 1947,
Mr; Foley said, in order to help
ease, the .housing shortage which
is felt most
acutely by World
War
II
veterans
lies.
-
their
and
fami¬
■
reduced
Directors Reelected
•
Nine directors of thb' Commerce
and
Industry Association of New
York,
Inc.,
were
unanimously
elected to succeed
themselves for
three-year terms at
membership meeting
in
the
rooms
are:
a
general
on
May 13
assembly
The nine
Association's
at 233
Broadway.
,
,
.
Lucius Boomer, Chairman of the
board. Hotel Waldorf-Astoria Cor¬
poration; W. Gibson Carey, Jr.,
President, The
Yale
&
Townc
Manufacturing
Co.;
Herbert
L.
Carpenter, President, Carpenter
Container Corp.; Robert W. Dowling, President, City Investing Co.;
S.
Holden, President, F.
Corp.; Clarence L. Law,
Vice-President, Consolidated Edi¬
Co. of New York, Inc.; David
Tilly, President. New York
Dock Co.; Juan T. Trippe, Presi¬
dent, Pan American World Air¬
son
L.
System; John K. Whitaker,
President, Neuss, Hesslein & Co.,
ways
Colonel Allan M.
tion
president,
Pope, Associa¬
was
chairman
of
the meeting.
Schoeneman Named
President
Truman
on
May
15
nominated George J. Achbeneman
to succeed Joseph D. Nunan, Jr.,
as
Commissioner of Internal Rev¬
an Associated Press Wash¬
ington dispatch stated.
Mr. Nu¬
bian's resignation becomes effec¬
enue,
$235
&
lenders
v;
previous.
February
% Chg.
Type
Total U. S.—B. of M.
Total U. S.—B. of M.
mortgage
rapidly in the autumn and winter months.
By February
1947, the total amount of recordings was only 24% higher than ir
February 1946. This tendency for financing volume to level off from
the sharp upswing noted after the end of the
war, is indicative of the
recent "Stop-Look-Listen" attitude of
potential home-owners and
speculators, regarding purchases of real estate at today's high
prices.1'
S.
be
and
Inc.
p
September
Others
10
basis May 10, 1947-
of
contracted
Bks. & tr.
JiU.;' 25.3
Mt
uj
decline
a
Wo
87.5
covered
Thomas
Mortgage financing activity slackened off during February, as is
case during this short winter
month, said the Federal
double
603
W. Dodge
normally the
late
family
b,UOO
Mortgage Financing Drops in February
"As
During
20,000
a
1,000
lignite
22,000
tlncludes operations on the N. &
W.; C. & O.; Virginian; K. & M.; B. C. & G.; and
an the B. & O. in
Kanawha, Mason and Clay Counties.
tRest of State, including the
Panhandle District and Grant, Mineral and Tucker
Counties
§ Includes Arizona and
Oregon.
*Less than 1,000 tons.
•
Section
of th's year,
30,000
2,000
45,000
(Other Western States
and
2,000
57,000
899,000
The advices continued:
1947
urrier
12,000
*
v
4
3,033,000
Tennessee
Total bituminous
41,000
1,000
60,006
28,00b
—
and
103.2
restrict No. ,2T—T—. 100.0
jCaUfqrnia
yrM
at Ref.
erated
Ind. 111. Ky.—f 82.ft
Okla. KknS. MV.-Sl78.3
PU'U'
include
amounts
Product'n
to Stills
Daily % Op-
Report'g Av.
Appalachian^-— o;
District'No.
tocky, M't.r—; ,
iNew Mwcico.
section
unreported
Bureau
Rast?"Coasli__ii-li—;'
;cr.
38,000
'
February
§ Gasoline ^Finished
,
!
,
8,000
46,000
44,000
1
Mew Mexico—i
Utah
38,000
105,000
1,305,000
1947.
1,
basis
'
u\% Daily
,r
Texas QUlf
this
of
•
•
JJWtih,,'.
|
14,000
390,000
.
Pennsylvania
to four .families, 21,221 to
lemainder Under Section 203.
"
MOhtaha" (bituminous 'and lignite)
exception
Producers.
(Figures in thousands of barrels of 42 gallons each)
;
526,000
107,000
Michigan
Texas
*
148,000
'
1,140,000
Maryland
exempted
llWeek of May 3 revised
CRUDE
;
Missouri
Kentucky—Eastern
are
SRecommendation
1
and
3,000
1,362,000
36,000
Kansas
450
of
entirely and for certain other fields for which
shutdowns were ordered for from 4 to 13 days, the entire State was ordered shut down
for 4 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 4 days shutdown time during the calendar month.
.
;
,
produced.
JThis
several
,;
9,000
95,300
250
1946
1,000
1,244,000
470,000 •'
applications
by • FHA
14,313 units were to
ume
1,000
450
1,050
1947
,
new-home
financed under Section
cf the National
Housing Act.
The ethers were to bo houses for
provide
May 4,
5,000
103,500
23,300
;
1947
fairly shoit
a
multi-family rental housing
in
Ended
Apr. 26,
98,000
upon
includes
k>
operators.)
95,000
1,950
tOklahoma, Kansas, Nebraska figures
.
the
32,000
105,350
requirements may be supplied either from stocks or from new production, con¬
templated withdrawals from crude oil inventories must be deducted, as pointed out by
the Bureau, from its estimated requirements to determine the amount of new crude
•
returns from
19,000
Oklahoma
113,050
LIGNITE,
14,000
Ohio
24,000
AND
carloadings and river shiptonnage reports from district
Arkansas
1,050
-As
be
receipt of monthly
on
annual
COAL
TONS
Colorado
78,100
Bureau of Mines calculations of the requirements of domestic crude oil
certain premises outlined in its detailed forecasts.
They include the
condensate that is moved in crude pipelines.
The A. P. I. figures are crude oil only.
to
final
of
several
r.ex:
COS
railroad
6,000
60,750
—
or
NET
on
423,000
650
61,100
subject to revision
are
sources
IN
based
are
6,00
87,250
(included above)J__
STATES,
estimates
406,000
74,200
115,004,600
weekly
—
550
4,871,000
Grade
and
State
500
§846,500
PRODUCTION OF BITUMINOUS
BY
2,750
39,000
total
current
1,150
108,000
21,580,000
20,501,000
136,800
128,600
7,500
2,207,600
1,222,200
1,400,63C
washery and dredge coal and coal shipped by truck from authorized
iperations.
tExcIudes colliery fuel.
JSubject to revision,
§Revised.
SEstimated from
weekly carloadings reported by. 10 railroads,
(The
the
protects
the
.♦Includes
ESTIMATED WEEKLY
the
financed
Beehive Coke—
74,950
875,000
r
^•♦Penhsylvania
411,400
450
Colorado
^xhese
21,852,000
States
Of
1937
22,727,000
19,419,000
IJUnited
ii
applications within
ope
May 15,
1946
20,197,000
89,750
112,000
1947
1,443,000
Iowa
2,114,800
COKE
■
1,387,000
Kentucky—Western
2,150
1946
May 11,'
1,094,000
Indiana
350
79,960
1947
May 10,
1,052,000
■
1,800
+
1947
May 11,
1,057,000
produc.
State—
2,185,650
AND
Calendar Year to Date
§May 3,
Alabama
97,850
413,850
ANTHRACITE
1,016,000
2,100
102,000
'
—
Montana
t>a8ed
Penn. Anthracite—
llaska
85,300
43,350
PENNSYLVANIA
Tons')
—-Week
316,000
Mexico—Other—j
California
+
1,000
OF
construction
received "(Turing^ April
1946
♦Total incl. coll. fuel
86,000
___
Wyoming
"itj-
500,150
2,095,p00
new
Foley' said.
weeks, he cxpla ned, as actual
construction usually fellows the
held otfices,
be in
May 11,
1947
tCemmercial
Morth
New Mexico—So. East)
New
31,550
2,226,850
Louisiana-
Aransas 2.
^Mississippi-
,36,450
1946
May 3,
U
Total Louisiana^
'
350
*May 10,
463,000 225,757,000 105,789,000
77,000
2,050,000
1,432,000
Week Ended
IMay 10,
ind
37,400,
+
Louisiana.
Coastal
850,
530,150
—
Texas:™-^ '2,120,000 12,241,957
Total
:
20,850
'
District IV
■.
250
+
District II
1*47
12,570,000
Mr.
Th's ishi new
postwar record and
indicates continued active
housing
AND' LIGNITE.
(In Net
nents
'
&
May 11,
1947
ur.Ls,
cried.
Jan. 1 to date
May 3,
13,050,000
2,175,000
ESTIMATED^ PRODUCTION
5,300
18,000
i,
^
,"
210.000
'JL
*Michigan,
7,700
than
more
<'Subjcct' to current adjustment^
250
,
6,450
150
2,600
j
Indiana
Illinois ™L_:
650
including mine fuel—
average
•
200
6,200
Tctal,
Daily
48,700
7,800
corre¬
dwelling
_
Week Ended-
May 10,
1946
550
-
»
"300
+
200
•
UNITED STATER PRODUCTION OF BITUMINOUS COAL
May 11,
48,200
3,050
—
<
1947
550
West yirginia.♦Virginia
^
*»Ohio-R3outheas't-Li
4
May 10,,
129,300 tons
.was
(In Net Tons))
Ended:
-En<led
Previous
1947
Florida
♦
from
May 10,
with the
^
Week
4 Weeks
Change \
Ended
BARRELS)
IN
(FIGURES
State
Begin.
May I
May
#*New
PRODUCTION
ab'.es
Calculated
Requirements
1947; and
corresponding week of 1946.
for the
Bituminous coal & lignite—
OIL
when compared
also reported that the
estimated production of bee¬
hive coke in the- United States for the
week ended May
10, 1947
showed an increase of 8,200 tons when
compared with the output
for the week ended May 3,
barrels of residual fuel oil.
DAILY
11.1%
The Bureau
14,351,000
^barrels of gasoline; 1,921,000 barrels of kerosine; 5,514,000 barrels of
•distillate fuel, and 8,224,000 barrels of residual fuel oil during the
•
of
sponding period of 1946.
.
companies indicate that the
Bureau of Mines basis approxi¬
refining
decrease
a
-
•
The Institute in its statement, fifrther reports as
».
date shows
,
13
.
to
f*
-
-
"
(2789)'
•
.
.VI
■rvramawi.' *vw*vur.*■
their
relative
participation
.
to
31%
tive June 30.
j
He wrote the Presi¬
dent that he acted with "deep re¬
gret" but felt, he could nd longer
neglect his personal affairs.
The
President
in accepting the resig¬
complimented Mr, Nunan
for his work while in office, in¬
nation
cluding his successful effort to put
"into effect .the income tax law of
1944, providing'for the simplifica¬
tion of forms."
'-
1
•••'!-•
!Mib Schoeneman, 58; long
nected
nal
cial
con¬
With thro; Bureau of Inter¬
Revenue, is at present
executive
dent Truman,.
assistant
to
a
Spe¬
Presi¬
(2790)
tinued
the
custom
premium is a subsidy paid to get
zinc
mined
which
otherwise
smelters who sold copper
at 24c in
would
preceding week, the leading
producer in Chile was a seller of
foreign copper to the domestic
trade beginning with May 8. Ken-
prices
the
showing the volume of total round-lot stock sales on
New York Stock Exchange and the New York Curb Exchange and
the volume of round-lot stock transactions for the account of
members of these exchanges in the week ended April 26,
a series of current figures being published weekly by the Commisr14 figures
all
continuing
these
separately from other sales in
sales are shown
Short
sion.
the account of members
Stock Exchange for
the
on
April 26 (in round18.43%
This
compares with member trading during the week ended April 19 of
2 565,700 shares, or 17.01% of the total trading of 7,542,070 shares,
(except odd-lot dealers) during the week ended
lot transactions) totaled 1,721,742 shares, which amount was
of the total transactions on the Exchange of 4,673,730 shares.
trading during the
week ended April 26 amounted to 296,245 shares, or 15.27% of the
total volume on that Exchange of 969,950 shares.
During the week
ended April 19 trading for the account of Curb members of 464,415
shares was 13.88% of the total trading of 1,673,550 shares.
Total Round-Lot Stock Saies on the New York Stock Exchange and Round-Lot Stock
Transactions for Account of Members* (Shares)
Curb Exchange, member
the New York
On
APRIL
ENDED
WEEK
Specialists:
of specialists in
1
long
tons
Short
sales
126,420
tOther
sales
432,140
Total
sales
Total
purchases
Short
sales
{Other
sales
138,550
_
25,590
sales—,
tOther
metals from
by
secondary
scrap
4. Total—
}
Total
purchases—
Short sales
|
t
Round-Lot Stock
WEEK
B.
915,852
and Stock
APRIL
ENDED
\%
Total for Week
21,500
*
they are registered—
Total purchases
Short
sales
tOther
sales
7,200
I
2. Other
transactions initiated on the floor—
Total
3. Other
2,500
sales
tOther
sales
purchases—
1.98
the floor—
sales
1 Other
sales
6,500
31,285
sales_
37,785
.
,.
4.13
4. Total-
Total
j
16,200
sales
j
140,210
Customers'
short
sales
§ Customers'
other
sales
,
0
.
purchases
47,702
Total
sales_.
46,357
lower
the
that
Price
Premium
DAILY
the
Exchange
volume includes only sales.
short sales which are
with "other sales."
{Round-lot
rules
are
Includes all regular and
exempted from restriction by the
Commission's
continues
to
PRICES
OF
is
con¬
METALS
("E.
&
M.
Zinc
Lead
Straits Tin,
marked
"short exempt"
are
included with "other sales."
shipping
construction
Remains
Upset—Lead in Demand—Silver Up
"E. & M. J. Metal and
stated:
Mineral Markets," in its issue
"The confusion over the
of May 15,
price situation in copper
continued
week, though on average prices moved a little higher, indicating
that consumers purchased more 24c metal than in the preceding
week.
There was no telling when the market would get around to a
last
one-price
basis
on
sales
domestic
to
producers have been doing
nothing, pending clarification of
the price issue that remains rather
unpopular with consumers. The
export quotation for copper was
virtually
unchanged
all week.
Lead was in strong demand. Zinc
was
moderately active. Silver ad¬
vanced to 72%c on May
publication
say in part
8."
further went
as follows:
The
on
to
wide
prices at
is being sold in the
spread
in
copper
Digitized forwhich
FRASER
Small copper
particularly
hard on consumers who have been
acquiring the metal on the 24c,
Valley basis. "E. & M. J. M. &
the
is
price of copper
domestic market for
week that ended May 14 was
M. M.'s"
sold
market
in
average
.
the
22.513c,
compares
f.o.b.
refinery, which
with 21.715c in the pre¬
period. On May
sold at the top level
ceding seven-day
9 the tonnage
Copper
The
consumers.
domestic
was
the quo¬
23.300c f.o.b.
fairly heavy, lifting
tation for the day to
estimated 2,200,-
would produce an
annually.
000 horsepower
NYSE Odd-Lot Trading
14,
a summary
of complete figures
showing the daily volume of
Exchange for the
New York Stock
a
series of current figures be¬
Commission.
ing published by the
New York
St. Louis
St. Louis
80.000
15.000
14.800
10.500
The
May
9
23.300
23.675
80.000
15.000
14.800
10.500
ports filed with the
May 10
21.225
23.675
80.000
15.000
14.800
10-500
May 12
22.475
23.675
80.000
15.000
14.800
10.500
15.000
14.800
10.500
*22.900
23.675
80.000
May 14
22.450
23.675
80.000
15.000
14.800
10.500
80,000
15.000
14.800
10,500
figures
22.513
23.675
f.o.b. refinery, 22.311c.; export copper f.o.b. refinery,
80.000c.; New York lead, 15.000c.;, St. Louis lead,
St. Louis zinc, 10.500c.; and silver, 72.950c.
The above
23.679c.;
14.800c.;
quotations are "E. & M. J. M. & M. M.'s" appraisal of the major United
based on sales reported by producers and agencies. They are reduced
York or St. Louis, as noted. A1J prices are In cents per pound.
the basis of cash, New
Copper, lead and zinc quotations are based on sales
deliveries; tin quotations are for prompt delivery only.
STOCK
at
Quotations for copper are for the ordinary forms of wlrebars and ingot bars.
standard ingots an extra 0.075c per pound Is charged; for slabs 0.175c up, and
cakes 0.225c up, depending on weight and dimension; for billets an extra 0.95c
depending
ODD-
THE
Prime Western brands. Contract prices for
High-grade zinc delivered In the East and Middle West In nearly all Instances com¬
mand a premium of 1c per pound pver the current market for Prime Western but
not less than 1c over the "E. & M. J." average for Prime Western for the previous
month; the premium on Special High Grade in most instances is VAc.
Quotations for lead reflect prices obtained for common lead
in the Chicago district is 10 points under New York;
sales
points to the New York basis.
.
u.
N. Y.
THE
EXCHANGE
Week Ended May 3,
h »:'
■
1947
,*
'Ibtal
(Customers'purchases)
Number of orders
Number
For Week
'
shares
of
.
«,
,
,
20.629
579,793
$23-,{n<$,21l
Dollar value
>c
Odd-Lot Purchases by Dealerls—
(Customers'sales)
p
.
:*;;
-
•*
n
urnd
1 k
Number of Orders:
Customers'
short
"Customers'
other
sales_Ji' •'' ' •! 575
sale.3___I 'rn:]^,494
Customers'
total
salesJ_'i! 1 ■'*19,070
'
'
"
•"
>•"'1
Number of Shares:
other
sakfei_'-ii
salesLjri'
total
salesJL--,
Customers'
*Cusomers'
short
Customers'
Dollar value____
u '22,163
Hr507,563
•''
^29,726
$20,150,373
Round-Lot Sales by Dealers—
Number of Shares:
Short sa'es-__
tOther
sales
Total
sales__
0
160,850
Cathodes in standard sizes are sold at a
on
Quotations for zir.c are for ordinary
five
ON
Odd-Lot Sales by Dealers—'
trade, domestic copper prices are quoted on a delivered
consumers' plants.
As delivery charges vary with the
dimensions and quality.
discount of 0.125c per pound.
on
FOR
TRANSACTIONS
AND SPECIALISTS
for both prompt and future
basis: that Is.
destination, the
figures shown above are net prices at refineries on the
Atlantic seaboard. Delivered
prices in New England average 0.275c per pound above the refinery basis.
"E. & M. J. M. & M. M.'s" export quotation for copper reflects prices obtaining In
the open market and is based on sales in the foreign market reduced to the f.o.b.
refinery equivalent, Atlantic seaboard.
On f.a.s. transactions, 0.075c is deducted for
lighterage, etc., to arrive at the f.o.b. refinery quotation.
the
delivered
for
and spe¬
cialists.
States markets,
up,
re¬
upon
Commission
the odd-lot dealers
by
STOCK
Straits tin,
For
based
are
LOT ACCOUNT OF ODD-LOT DEALERS
copper
In
continu¬
3,
May
ended
New York
to
and special¬
odd lots on the
ists who handled
week
stock
account
odd-lot
for
23.675
May 13
Exchange
and
Securities
The
Commission made public on May
Domestic
Average prices for calendar week ended May 10 are:
Market
of
International Rapids
section of the St. Lawrence, which
in the
units
22.725
Average
Non-Ferrous MelaSs—Boisiestio Hopper
would authorize
power-generating
also
It
cities.
access
8
included
§Sales
.
River, giving
to inland
of the St. Lawrence
ocean
May
Exp. Refy.
.<..•>
proposed legislation
would authorize construction of a
27-foot chanpel between the head
of the Great Lakes and the mouth
"The newly
ing
QUOTATIONS)
J."
the national Treasury.
of all odd-lot dealers
York
New
which, he said, would require pay¬
ment of much of the cost out of
transactions
Official quota¬
tion advanced to 72 %c early in
the week on improved buying and
The
whether
on
Plan
—Electrolytic Copper—
associate Exchange members, their
firms and their partners, including special partners.
fin calculating these percentages the total of members' purchases and sales is
compared with twice the total round-lot volume on the Exchange for the reason that
"members"
all
Silver
told stock¬
trend in zinc
Dom. Refy.
•The term
producer
Co.,
prices would depend
47,702
Total
ports'; or
flask,
per
new
bound to further
in this country.
available
domestic
sellers have not reduced
their
quotations to this level. In fact,
the representative of the largest
$85
at
Crane, Chairman of
Joseph Lead
the
the
v
holders
15.27
99%
quote $87, New York.
Clinton H.
Specialists—
transactions for Account of
agreement with Canada for
construction of the combined hy¬
dro-electric and navigation proj¬
ect on a self-liquidating basis to
succeed
the present agreement,
Though spot metal was
ports,
St.
156,410
sales
Total
O. Odd-Lot
sale3_j_
are
output
reduce
than a
week ago. Special High Grade for
export is quotable at 11c, Gulf domestic
139,835
purchases
Short
tOther
Gulf
prices
ing
Competition in the foreigri sec¬
of the market is increasing.
Prime Western was available for
pro¬
the project self-
Vandenberg proposed
"Senator
a
situation is generally re¬
garded as comfortable and buying
is being restricted to cover nearby
requirements. Producers on the
Pacific Coast claim that prevail¬
Louis.
Congresses, make
former
liquidating by the impostiion of
tolls.
In spite of heavy support
for the project, no action on it is
expected before next year.
80.000
80.000
80.000
outlets,
important
some
The
bills, which are other¬
as those introduced
new
vision for making
supply
quotations were
throughout the week
export at IOV2C,
one-eighth
cent
42,305
_.
Short
Total
4
in
Quicksilver
tion
21,640
—
transactions initiated off
Total
19,140
______
"The
Though consumption of quick¬
silver is said to have increased
in
a
wise the same
minimum) 78.90c per pound.
unchanged basis of HPAc,
the
on
measure.
also said:
80.000
80.000
80.000
(guaranteed
tin
Chinese
some
Prime Western, East St.
16,825
L
Total purchases
Short sales
!
*
12
May 14_u._rT__
Domestic
maintained
9.16
96,985
_
similar
''Times" dispatch
duced
July
June
In the House, Repre¬
A.
Dondero
George
(R.-Mich.), Chairman of the Pub¬
lic Works Committee, has intro¬
were
80.000
80.000
.
80.000
80.000
80.000
80.000 ' 80.000
80.000
80.000
May 13
•
ated.
89,785
sales
Total
May
last
producers
reporting a good volume of busi¬
ness in the two popular grades—
Prime Western and Special High
Grade—whqreas others declared
that buying interest had moder¬
80,705
___,
develop¬
80.000
30.000
80.000
May 10
Demand for zinc during the
•<
—969,950
Round-Lot Transactions for Account of Members:
1. Transactions of specialists in stocks in which
sales
9_
Zinc
week was spotty,
948,450
,—
_
8
May
14140, Gulf ports.-;
at
\
1947
26,
held
May
political
both
from
measures
sentative
quotations for Straits
May
continued
at 15c, New York, and 14.80c, St.
Louis.
Foreign lead
for export
18.43
York Curb Exchange
Account of Members* (Shares)
,
sales
Total
•
Sales:
Round-Lot
Short sales
tOther
—
price
no
quality tin for shipment
nominally as follows:
quotations
Domestic
were
The
week.
the Bu¬
tons in January,
of Mines reports.
reau
Sales on the New
Transactions for
A. Total
738,942
sales
Total
Total
—r_—
There
ments in the domestic market last
February
47,739 tons, against
to
51,334
176,910
sales.
tOther
-
805.890
_—
amounted
to
2,877 tons in March.
during
smelters
3.39
186,822
amounted
last
Production of white
leadbase
161,232
.,
sales
Total
during the
19,783 tons.
lead
of
smelter
in
April
2,816 tons, against
City
Texas
time to come.
week involved
129,910
sales
some
Sales
3.31
170,470
floor—
purchases
Short
for
145,570
Other»transactions initiated off the
Total
24,900
—,
sales„__
Total
in¬ restricted because of demands for
to a higher price. Production in the
first quarter is believed to have
accept the metal. Unless general
business activity tapers off this been well in excess of tonnages
exported.
summer, producers look for the
Production of pig tin at the
supply situation to remain tight
11.73
on
Lawrence seaway
velopment.
deferred, but in such rare
stances
others
stand
ready
floor—
"Times"
York
authorize construction
and
project, with support of
St.
Fifteen senators, headed
by Arthur H. Vandenberg (R.¬
Mich.), are the sponsors of one
bill to allow the $500,000,000 de¬
Bolivia early this year was
from
Washington dispatch
a
parties.
concentrates
tin
of
movement
shipment
a
exported in Febru¬
tons in January, and
3,134 tons in March last year. The
1,340
in
it was
Congress,
9, to
the
the
of
New
power
be
558,560
transactions initiated on the
2. Other
that
ask
will
sumer
the
to
of
with 1,746 tons
ary,
Houses
initiated
been
has
move
reported in
concentrates containing 2,651
metric tons of tin. This compares
Lead
537,430
,
A
both
During March, Bolivia exported
experienced a sus¬
tained demand for lead through¬
out the week. Occasionally a con¬
.
St. Lawrence Project
Tin
81,700
against
New Backing for
May
pound.
per
Producers
stocks in which
purchases
Total
making
1 amounted to
tons,
,
speculation in the metal.
hinder
powder was
raised 10c,
the new quotation $2.90
metal
1.
January
costs
an
in
$2.25 in lots of 10,000 pounds of
contained tungsten. Tungsten
Feb. 1 and 92,300 tons on
on
questing
13 by Electro Metallurgical
Sales Corporation 17c per pound,
establishing the contract price at
10%.
March
on
95,600
a
Finance
Senate
May
of
supply
registered—
they are
in
copper
in
virgin copper in the
hands of the British Ministry of
Stocks
Transactions for Account of Members
Except for the-Odd-Lot Accounts of Odd-Lot
Dealers and
States
in Montana
and
B. Round-Lot
1. Transactions
of
production
United
h&s filed
and an upward
prices for ferrotungsten and tungsten metal powder.
Ferrotungsten was advanced on
March was
74,340 tons, which contrasts with
68,327 tons in February and 70,415 tons in January, the Bureau
of
Mines
reports.
Output
in
Arizona was up 9%, in Utah 11%
4,673,730
sales
Total
the
increased
of
basis
the
on
list
-
Mining Congress
memorandum with the
The American
Committee re¬
amendment to sections 1805 and 1821 of the Internal
Tungsten
Revenue Code to abolish the 50%
of offerings of tungsten tax on transfers of silver bullion,.
stepped-up world demand This tax was imposed under the
mineral have resulted in Silver Purchase Act of 1934 to
revision
4,340,830
II
sales
{Other
Mine
the
332,900
——-■—
—,
products
and
for
21V2C copper.
\%
Total for Week
sales
their
to
ore
that level through-;
at
period.
out the
not be produced. Present
of lead, zinc, and copper
high, he believes.
Lack
business at 21V2C,
1947
26,
Round-Lot Sales:
Short
3.
Valley.
continued
too
are
domestic
necott continued to book
Fabricators
Trading
A. Total
to
the
figures
.
addition
In
Commission made public on May
Exchange
The Securities and
,
New York Exchanges
on
Valley.
continued
1947, This
31,
June
after
23.575c
to
equivalent
refinery,
Trading
Thursday, May 22, 1947
FINANCIAL CHRONICLE
THE COMMERCIAL &
14
,
Ui
u
i...
only.' The differential
for New England add
,. i l_ u>
r )•;:>.
160,850
Round-Lot Purchases by Dealers—
Number
•Sales
of
shares.
marked
1
230,920
"short-exempt"
are
re»
ported 'with -"other sales."
tSales
ders
offset
customers'
odd-lot
or»
and sales to liquidate a long position
Is less than a round lot are reported
"other sales."
which
with
to
Volume
165
Number
THE COMMERCIAL & FINANCIAL
CHRONICLE
4596
v
•
Southern
Ended
May 90, 1947 Increased S ,553 Cars
&
W.
P.—W.
&
Northern
RR.
of
Charleston & Western Carolina
Clinchfleld
above the corresponding week in
1946, and an increase of 45,478 cars
or 5 4% above the same week in 1945.
Columbus & Greenville
Durham & Southern
Loading of
freight for the week of May 10 increased
1,558 cars or 0.2% above the preceding week.
Miscellaneous freight loading totaled
382,609 cars, a decrease of
10,023 cars below the preceding week, and a decrease of 6,736 cars
below the corresponding week in 1946.
revenue
Loading of merchandise less than carload freight totaled 122,626
cars,
decrease of 1,523
a
of 4,056
; crease
below the preceding week, and a de-r
cars
below the corresponding week in 1946.
cars
'
*
Grain and grain products
1,928
alone,
decrease
a
week
27,516
but
cars,
a
decrease
increase
an
1946.
of
of
344
2,090
cars
the preceding
corresponding week
the
loading amounted to
14,251
decrease
of
1,228
cars below the
preceding week and a decrease of 1,773 cars below the
corresponding week in 1946. In th Western Districts alone loading of
livestock for the week of May 10 totaled
10,992 cars a decrease of
1,029 cars below the preceding week, and a decrease of
1,251 cars
below the corresponding week in 1946.
cars
above the
preceding week and
the corresponding week in 1946.
Ore
and
cars,
increase of 1,455
an
increase
an
of
2,819
above
cars
Coke
cars
increase
an
an
of
4,430
cars, a decrease of 25
increase
of
9,532
week in
compared
Weeks
of
Weeks
of
Weeks
of
January
February—
of
Weeks
Week
corr¬
corresponding
with
the
same
1945, except the Northwestern and Southwestern.
1947
of
below
the
;
increases
Week
410
368
System
Central
•
182
867
954
882
2,022
2,016
15,776
12,816
8,458
8,701
4,665
3,710
4,371
4,475
501
514
645'
503
1,604
1,395
1,687
3,469
2,226
333
210
226
306
132
112
557
310
2,625
1,963
1,560
1,411
113
96
62
115
92
1,180
1,195
1,109
1,932
4o9
2,049
481
316
848
785
4,685
5,003
3,658
21,288
5,189
28,154
4,153
26,255
30,899
15,284
12,724
15,599
27,115
10,215
264
9,760
271
205
1,147
258
1,267
322
427
3,554
3,424
3,435
1,180
.
431
357
4,230
3,851
1,190
984
1,520
397
1,364
484
443
1,745
483
1,139
486
535
8,653
12,703
11.112
13,543
11,210
9,102
28,427
8,276
25,903
25,182
24,888
772
21,728
521
618
759
619
148
154
147
747
835
137,829
116,104
127,436
103,404
100,638
Northwestern District
Chicago & North Western.
Chicago Great Western
Chicago, Mllw., St. P. & Pac.
April
May
3
May
10__„
1946
3,168,397
March
of
—.
table
is
a
Minn., St.
Paul & S. S. M.
Northern
Pacific
Spokane
Portland
&
Seattle
Total
1945
Atch.
2,610
3,456
20,041
10.S24
8,913
3,636
3,410
4,154
22,423
3,968
13,172
25,778
433
240
610
551
851
615
571
8,522
11,601
6,456
6,681
622
493
377
205
102
20,675
13,767
23,168
6,570
458
5,154
519
463
915
779
1,859
265
2,354
83
57
2,233
1,543
1,945
2,853
2,143
6,632
5,177
6,618
3,683
3,597
10,327
9,695
11,202
4,741
143
4,727
123
192
'507
499
2,789
2,371
2,075
2,838
2,240
126,154
97,272
128,168
68,050
54,434
23,954
23,575
26,208
10,761
9,583
2,963
2,521
3,542
3.3S0
2,912
410
0
397
103
8
20,336
16,693
18,314
10,861
District—
Top. & Santa Fe System
Chicago, Burlington & Quincy
Chicago & Illinois Midland—
Chicago, Rock Island & Pacific
Chicago
Eastern Illinois
&
&
Rio
Denver
&
Salt
Fort
Worth
Illinois
Grande
2,659
1,940
2,754
3,751
2,922
551
483
620
1,484
3,685
5,181
1,834
1,064
1,015
1,355
1,488
2,173
1,851
2,137
2,006
1,250
1,358
1,255
1,126
552
514
1,580
1,460
1,426
136
31
1,068
714
839
594
537
19
2
5
0
0
31,981
32,296
32,198
10,011
9,767
159
0
391
273
0
15,048
12,799
15,255
14,711
13,267
639
0
494
10
5
2,475
2,181
2,121
3,618
3,013
82,479
72,562
0
Nevada
4,022,088
North
3,377,335
882.084
Peoria
671.311
866.034
Southern
884,242
684,942
838,764
Toledo, Peoria & Western
Northern
Western
Pacific.
Pekln
&
—
Union
Pacific
Union Pacific
(Pacific)
System
Utah
Western
Pacific
for
Total
—
Southwestern
'
April
The New York Stock
Exchange
May 13 that as of the
business cn April 30,
reported
close
on
of
member
Stock
firms
the
of
New
accounts reported
Total
of
follows:
as
customers'
net
debit
on
April
balances of $552,533,818
30, against $576,096,707
31.
York
Exchange carrying margin
March
on
These figures include all
se¬
curities, commodity and other
ac¬
counts.
Do not include debit bal¬
in
ances
accounts held for
firms which
tional
are
other
members of
securities
na¬
exchanges,
or
reporting firms,
own" accounts of
accounts of general partners of
or
128,621
—
c
113,267
127,275
;
Credit extended to customers
Cash
the
on
hand and in
United
States
banks
in
amounted
$416,700,862 at the
end
of
to
April,
against $410,873,423 in March.
Total
of
oalances
customers'
free
credit
$664,915,016 on April
30, compared with $677,170,349 on
was
March 31.
These figures
free
balances
credit
in
include
regulated
commodity accounts.
Do not in¬
clude free credit balances held for
other firms which are members of
national securities
exchanges, or
free credit balances held for the
accounts of
reporting firms
or
of
general partners of those firms.
Result of
Treasury
Dffering
Bill
3,654
<■
'
cn
U. S. Government
obligations was
$61,922,510 on April 30, compared
;o $-34,684,677 a month
before.
1,784
.
1,208
Missouri-Illinois
carloadings
823
11,379
3,824
3.052,487
freight
752
12,930
City
3,003,655
of
2,150
12,598
Lake.
& Denver
Terminal
2.866,876
15,160,363
184
12,415
Western
3,982,240
2,604,049
13,693,281
NYSE in
9,625
3,444
12,772
Colorado & Southern
Denver
2,787
2,367
20,658
Bingham & Garfield
the separate railroads and
systems for the week ended May 10, 1947
During this period 71 roads reported gains over the week
ended
'
Western
12,201
2,333
International
2,883,863
summary
May 11, 1946.
Ishpeming
4,170,420
3,232,947
15,517,888
following
&
14,572
3,623
8,868
Northern
Superior
18,562
22,604
Dodge, Des Moines & South
Lake
16,249
'
Green Bay & Western
3.179,198
1.
Total
The
19,940*
Chicago, St. Paul, Minn. & Omaha
Duluth, Missabe & Iron Range
Duluth, South Shore & Atlantic
Elgin, Joliet & Eastern
Ft.
on
those firms.'
Total
Great
Debit Balances
1946
4,287
Winston-Salem Southbound.
cars
cars
above
cars
All districts reported increases
compared with the
week in 1946 and alL reported
Four
Northern
Central
esponding week in 1946.
Four
433
increase of 44,140 cars above the
an
loading amounted to 14,625
preceding week but
Four
Southern
Spokane,
>
loading amounted to 70,314
above the preceding week
a
15
-
15,146
Richmond, Fred. & Potomac—
correspoding week in 1946.
Five
System
Macon, Dublin & Savannah—.
Mississippi Central
Nashville, Chattanooga & St. L
Tennessee
433
103 S
Georgia
Southern
1947
2,147
Midland
Central
1945
302
*
Minneapolis & St. Louis.
Forest products loading totaled
48,722
the
Coast
Gulf Mobile & Ohio
Illinois
Received from
1946
2,318
Georgia & Florida
below
cars
above
•
.....
Livestock
cars
East
*
—Connections—
19*7
cars
totaled
an
cars,
Line
Georgia
Gainesville
below the preceding week but an increase of 875 cars
the corresponding week in 1946.
In the Western Districts
grain and grain products loading for the week of May 10
above
•
loading totaled 42,023
Florida
Piedmont
loading amounted to 189,072 cars, an increase of 10,400 cars
above the preceding week, and an increase of
154,499 cars above the
corresponding week in 1946, which included coal mine strike,
of
of
Norfolk
Coal
i
Atlantic 'Coast
Central
-
Ala
Loading or revenue freight ifor the week ended May 10, 1947
884,242 cars, the Association of American Railroads an¬
nounced on May 15.
This was-an increase of 199,300 cars or 29.1%
totaled*
1
Total Revenues
Freight Loaded
District-
Alabama,- Tennessee
Atl.
(2791)
Total Loads
Railroada
The
Secretary of the Treasury
announced
on
May 19 that the
tenders for $1,200,000,000 or there¬
about of 91-day Treasury bills to
be dated
May 22 and to mature
Aug. 21, which were offered on
May 16
opened at the Fed¬
were
Reserve
eral
banks
on
May 19.
Total applied for, $1,748,342,000.
Total
accepted,
$1,203,476,000,
(includes $18,997,000 entered on a
fixed price base at 99.905 and ac¬
District—
'•
,
*
,
.
REVENUE FRFIGHT
*
LOADED
AND
(NUMBER OF CARS)
Burlington-Rock
•
RECEIVED FROM
WEEK ENDED
Gull
CONNECTIONS
MAY
10
tK.
Total Loads
Railroada
Eastern
Arborl_*__
Ann
Bangor
&
Boston
Total Revenues
&
1947
:
306
Aroostook—*.
Maine
Chicago, Indianapolis & LouisvilleCentral
Indiana
Central
Vermont
Delaware & Hudson
Delaware, Lackawanna
&
Western.
Detroit & Mackinac
Detroit, Toledo & Ironton
Detroit
Grand
&
Toledo
Shore
Line
Lehigh
&
&
Western
Hudson
New
Lehigh
Valley
Maine
Central
River
Montour
New
New
York
& Hartford
Ontario
&
Rutland
Wabash
Wheeling & Lake Erie
Total
,
,
&
Indiana
Central RR. of New Jersey
Cornwall
Cumberland
&
Pennsylvania
Ligonler Valley——
Long Island
Penn-Readlng Seashore Lines
Pennsylvania System
Reading
Co
Union
(Pittsburgh)
Western Maryland—..
Total
Pocahontas
Chesapeake &
Norfolk & Western
J
4,139
4,444
17,043
14,765
16,784
16,079
15,457
12,280
2,354
1,769
St.
13
34
20
St.
1,165
2,403
2,251
Texas
Si
New
&
Pacific
1,101
3,136 *
7,183
8,407
346
Pacific
Acme
Lines
*
&
Pacific
Louis-San Francisco
•
Louis-Southwestern
Orleans
10,516
9,357
Texas
5,751
10,128
8,628
353
220
273
230
Wichita Falls & Southern
Weathertord M. W. & N. W
2,684
2,121
1,550
852
423
1,609
400
406
3,147
1,831
13,732
10,912
15,061
12,571
4,836
3,997
5,882
*160
8,141
2,182
2,326
1,169
875
..
-•
'
•
'
218
•
5,169
8,995
7,269
2,646
2,338
3,429
3,238
176
5,930
328
223
2,691
•1.13
2,320
23
17
53,678
44.855
48,352
51,947
9,919
35,980
11,244
10,054
991
14,690
14,791
1,031
760
2,645
2,441
6,264
7,417
414
366
14,657
1,243
10,646
435
6,444
5,588
7,678
9,954
3,790
Total
•Included
tlncludes
Ada-Atoka
6,726
6,358
4,903
1,347
7,244
5,602
159
674
33
31
Ry.
in
Denver
&
Rio
Grande
Kansas, Oklahoma
SStrike.
&
202
289
0
119
1,163
2,290
2,066
478
349
6,203
1,182
1,271
6,234
6,452
11,525
9,911
industry, and its
member of the orders and
5,827
4,161
3,315
146,330
206,133
162,706
631
43.978
44,265
23,602
6,175
27,471
2,251
21,002
5,685
2,729
1,370
927
2
976
18
755
6,500
6,778
5,392
474
326
562
332
19
152
1,198
The
cates
members
1,804
88,544
per annum.
65,812
63,203
79,486
63,994
60,287
Western
Midland
»*Previous
week's
and Oklahoma City-
figure.
the
of
this
Association
production, and also
activity of the mill base4
are
represent
83%
of
total
the
on
a
figure which indi¬
time
operated.
,
These
advanced to equal 100%, so that
they represent the total
1
'
:
REPORT—ORDERS, PRODUCTION, MILL
Orders
Period
Received
ACTIVITY
Unfilled Orders
Production
Percent of Activity
Remaining
Association,
shipments of 408 mills re¬
porting to the National Lumber
Trad£
Barometer were 4.2% be¬
low production for the week end¬
ing May
week
99
100
of
147,458
177,282
565,571
103
100
9.8%
192,670
181,709
574,356
102
101
were
23,669
17,324
7,292
3,573
10,938
7,339
149,590
115,422
Mar.
Mar.
1
Tons
Tons
Current
8
237,292
179,025
614,471
102
101
163,207
179,819
595,648
104
101
103
101
Mar. 22
155.794
176,918
574,090
Mar. 29
160,450
180,729
549,774
102
Apr.
5
228,306
181,064
102
Apr.
12
597,373
102
139,487
165,902
569,809
96
101
Apr.
19
102
101
170,806
177,478
A nr.
26
153.415
180,227
560.739 •
534.297
100
15,440
9,558
May
3
232,682
181,063
582.603
20,257
102
7,023
5,279
May
4,522
2,396
1,360
NOTES—Unfilled
do
16,197
9
159,888
orders
for
the
179,059
prior week,
560,526
101
same
mills
75%
of stocks.
99
Mar. 15
29,091
24,859
Cumulative
the
these
reporting softwood mills, un¬
filled orders are equivalent to 26
days' production at the current
rate, and gross stocks are equiva¬
lent to 32 days' production.
102
Feb. 22—
Tons
In
of
For
589,544
-
1947.
orders
mills amounted to
178,458
1947—Week Ended
10,
new
7.9% below production.. Un¬
filled order files of the reporting
were
169.624
10,295
53,870
the
Manufacturers
lumber
Feb. 15
18,979
^
According to the National Lum¬
ber
102
5,415
accepted.)
a
Weekly Lumber Shipments
4.2% Below Production
104
17,417
3,614
Valley Ry.
was
amount bid for at
was
maturity of sim¬
ilar issue of bills on
May 22 in
the amount of $1,312,015,000.
579,562
44,036
of the
There
RR.
599,009
58,606
176,079.
(68%
the low price
179,347
81,649
15,540
24
181,017
18,612
67,817
56
15
202,189
14,141
804
6,413
54
24
204.033
1,968
6,588
7,739
127
31
1
1,857
5,318
5,585
167
45
8
1,901
25,346
5,494
165
Feb.
4,694
8,148
5,203
Low, 99.905, equivalent rate of
discount
approximately
0.376%
Feb.
4,322
2,426
5,345
8
1,767
129,357
5,392
6,437
22
1,595
188,618
4,906
13,573
18
4,597
3,838
12,449
13
13
annum-
2,844
68
87
1,873
63,153
High, 99.906, equivalent rate of
approximately
0.372%
per
10,397
program includes a statement each week from each
STATISTICAL
6
0
competitive
accepted
discount
15,265
.
1,372
Range of
bids:
9,836
932
.
Average price, 99.095-f; equiva¬
rate
of
discount
approxi¬
mately 0.376% per annum.
lent
2,556
industry.
654
55
198
6,993
Paperboard Association, Chicago, 111., in relation to
activity in the
paperboard industry.
237
3,415
296
8,095
Weekly Statistics of Paperboard Industry
If
150,199
77
9,501
We give herewith latest
figures received by us from the National
397
6,743
215
7,947
Gulf Ry.,
UAbandoned.
957
.
169
9,747
cepted in full).
NOTE—Previous year's figures revised.
1,444
or*
Total
7,278
12,519
37,153
Virginian
4,954
6,996
District—
Ohio
308
5,809
1,030
'
Bessemer & Lake Erie
Cambria
§
48
169,321
—
180
1,172
figures
Canton & Youngstown
Baltimore & Ohio.
1,086
190
:—
Missouri-Kansas-Texas
Allegheny District—
Akron,
2,655
1,537
§
8,006
6,937
—
2,307
278
10
9,480
:
3,593
4,003
206
1,507
8,623
York, Chicago & St. Louis
N. Y., Susquehanna & Western
Pittsburgh & Lake Erie
Pere
Marquette
Pittsburg & Shawmut
Pittsburg, Shawmut & Northern—
Pittsburgh & West Virginia
6,046
2,584
Madison
6,975
2,532
i
3,039
505
Arkansas
&
423
8,438
:
Western——
2,904
&
Litchfield
360
4,802
1,524
3,213
2,521
Louisiana
Quanah
408
2,434
4,337
1,643
Missouri & Arkansas
Missouri
634
2,503
4,017
1,245
1,179
998
C.-A.-A._
305
8,290
3,471
1,012
1,748
5,340
V.-O.
297
6,616
2,445
1,156
1,614
643
—
310
5,668
2,175
Southern
1,257
2,735
,—.
York Central Lines
1946
1,418
*_
Y., N. H.
New
1947
G.-M.
City
1,788
193
Monongahela
—Connections—
1945
&
279
4,350
England:
Island
Lines
397
12,865
Trunk
Lehigh
N.
1946
O.
Kansas
Received from
Freight Loaded
District—
Coast
International-Great Northern
100
101
101
For the year-to-date, shipments
reporting identical mills were
above
production; orders
12.4%
week
in
1946,
101
plus orders received, less production
not necessarily equal the unfilled orders at the
close.
Compensation for delinquent
reports, orders made for or filled from stock, and other Items
made necessary adjust¬
ments of unfilled orders.
above production.
Compared to the average corre¬
sponding week of 1935-39, produc¬
tion of reporting mills was 21.0%
above;
shipments
were
17.7%
above; orders were 12.9% above.
Compared to the corresponding
porting
mills
shipments
new
production of
was
were
orders
7.7%
1.0%
were
/re¬
above; JL.
above; and
1.2%
above.
THE
16
(2792)
COMMERCIAL & FINANCIAL
bank for 17
nouncement said.
the
Items About Banks,
Depositors
in
years,
The
CHRONICLE
,
Thursday, May 22, 1947
includ¬ ville, 111., in 1917. A year after
joining Louisville Trust, he was
named Auditor in 1933, a position^
Federal
Reserve
District,
the he held until his new promotion.
Franklin
Mr. Goodfriend became Assist¬
"Journal" also pointed out.
the an¬
were
guests at the dinner,
ing Michael T. Hurley, Chief Na¬
tional i Bank Examiner of First
<
Square National Bank, largest In
Nassau County, Long Island, are
ant
Auditor
the
of
bank" several
•
i
Both ihen are past Presidents
their ported on May 13: Robert Leeson, of the Louisville
Chapter of the
President of the Universal Wind¬
community and the county, in the
National
Association
of
Bank
bank's annual report for 1946 is¬ ing Co., was elected a director of
Auditors and Comptrollers.
the
Providence National
Bank,
nated Senior Loaning Officer of sued on May 19.
Manufacturers Trust Company,
In a 39-page 8x10 booklet, the Providence, R. I., at a meeting of
the bank.
Donald H. McLaughlin, Presi¬
New York, announced on May 13,
the board on May 12.
He will fill
Mr. Harry C. Kilpatrick, Vicebank records a "healthy increase
dent of the
Homestake Mining
that Mr. Henry C. Von Elm, Vicea vacancy occasioned by the death
President, was elected a General in business" and lists end of year
has been
elected a
Chairman of the Board since 1931,
of Charles W. Eastwood, Rupert Company,
Administrative Officer and Assist¬ deposits
at $20,225,738; capital,
member of the board of directors
lias been named Chairman Of the
C.
Thompson,
President,
an¬
ant to the President.
surplus undivided profits at $1,of the American Trust Company,
Board.
Mr. Harvey D. Gibson,
nounced.
285,464 and a net operating profit
San
Francisco,
Calif.
Advices
who has held the titles of both
Charles G. Keller, senior mem¬ at $291,186, an increase of more
from the San Francisco "Chron¬
president and chairman of the
The board of directors of the
than $100,000 over 1945.
ber of Charles G. Keller & Com¬
icle,"- of May 9, said "Mr. Mc¬
t>oard, will remain as President.
Commercial Trust
Company of
The report sets forth in pictures
pany,
a
former Governor and
Mr. Von Elm began his banking
Laughlin also is Vice-President
presently a director of the Real and text a dozen examples of New Jersey, Jersey City, N. J., and Director of Cerro de Pasco
career in 1903 with the Manufac¬
"dollars at work," describing how has appointed Richard C. Field as
Estate Board of New York, and
Copper Corporation, and a Direc¬
turers National Bank which was
The Newark
former
President
of the 23rd the bank's depositors helped their a Vice-President.
tor of San Luis Mining Company
taken over in 1914 by what is
Street Association, has been elect¬ neighbors and aided little and big "News" of May 16, in reporting
and the Empire Trust Company,,
now
Manufacturers Trust Com¬
his appointment also said, that Mr.
ed a
Trustee of the Broadway business to grow.
New York."
pany.
In this period of almost 45
"We want this report to take Field,
whose father William J.
Savings Bank, it was - announced
j» years with the bank Mr. Von Elm
Field is President of the bank, is
some of the austerity out of bank¬
on May 19.
The Bank of America National
has served successively as Assist¬
ing," states Arthur T. Roth, Presi¬ a graduate of Cornell University. Trust and
Savings Association,
ant
Secretary,
Vice-President,
The Bankers Trust Company of
dent, in his foreword.
"If
we can
San Francisco, Calif, recently an¬
Chairman of the Executive Com¬
make it present to its readers a
New York announced on May 18
According to the Philadelphia nounced the opening of an office
mittee, President and Vice Chair
the award of a contract to Turned
picture of the simplicity of our "Evening
Bulletin" of May 6 in Manila, the Philippine Repub¬
man of the Board.
He has been
Construction
Company for thfe operations and functions, we shall Robert V. Wehrheim has joined
lic's capital.
a director of the bank since 1925.
The bank said that
have
building of its Park Avenue of^
performed a very useful the Philadelphia National Bank
the new office will offer com¬
Mr. Von Elm is also President and
service to our community. And in as Manager of the municipal bond
fices on the ground floor of the
Director
of Manufacturers
Safe
plete international banking facili¬
so doing we benefit the bank."
Tishman Building, 57th Street and
department. The "Bulletin" states ties to exporters, importers and
Deposit Company and serves as a
The report also includes a rec¬
Park Avenue, which is nearing
that he was previously Manager bankers, and is located at 13$
Director of a number of compa¬
completion.
Shreve, Lamb and ord of growth which shows de¬ of the municipal bond department Juan Luna in Manila.
'
f"
nies;. among them, National Dairy Harmon are the architects.
The posits of $490,264 in 1933 as com¬ of Lazard Freres & Co., New York.
Products Corporation, McKesson
contract is on a cost-plus-fixed- pared to over $20,000,000 at the
Promotion of Walter E. Mitchell
Robbins, Inc., General Cigar
Cx-7)
fee basis.
present. Business loans, consumer
Sylvester.D. Townsend, Chair¬ to Assistant Vice-President and
Company, The George A. Fuller
The banking quarters will oc¬
credit, "bookkeepers and tellers
man
of
the
board
of
Wilmington
Manager of the Alaska Depart¬
Company, National Liberty Fire
and
savings accounts, mortgage
cupy the southeast corner of Park
Trust Company, Wilmington, Del., ment of the National Bank ot
Insurance
Company,
Baltimore
Avenue and 57th Street.
Work origination and mortgage servic¬
died on May 13.
He was 76 years Commerce of Seattle, Wash., was;
American Fire Insurance
Com¬
will start in June and.is expected ing business and safe deposit box
of age.
Associated Press advices announced on May 16 by Andrew
pany and The Sperry & Hutchin¬
to be completed by October. Last
rentals have recorded marked in¬
from Wilmington said:
son Company.
Price, President.
Mr. Mitchell
creases
in the last three years,
year the Turner Company built
"Mr. Townsend had been with
succeeds Foster L. McGovern, who*
Mr. Gibson has been a member
the Rockefeller Center offices for while personnel has jumped from
the Wilmington Trust Company died suddenly on April 23.
of the banking fraternity in New
the Bankers Trust Company.
35 in 1940 to 142 at the end of
since its organization in 1903 ex¬
York City since 1912 when he
George C. Marshall, Manager
1946.
was made assistant to the Presi¬
cept for a four-year period, 1919- of the bank's branch at Ilwaco,.
The bank's 1945 annual report
George A. Easley was elected to
dent of the Liberty National Bank
23, when he entered the broker¬ was elected to Mr. Mitchell's for¬
the Board of Directors of the Em¬ was awarded a citation of excel¬
with which institution he rose to
age
business.
He was elected mer post as Manager of the Queen
pire Trust Company of New York, lence of the "Financial World"
President of the trust company in Anne Branch of the bank.
the position of President in 1916.
it was announced on May 13, by —"for the best 1945 annual report
1933
and
Chairman
of the board
"When that bank was merged with
Henry C. Brunie, bank President. in the banking industry."
The New York Agency of Thein 1942."
the New York Trust Company in
Mr. Easley is a director of the
Canadian Bank of Commerce on
1921 Mr. Gibson became Presi¬
First National Iron Bank of MorThe election of Myron J. Hayes,
dent and later Chairman of the
Edward
Frank Romer, Vice- May 13 celebrated its 75th anni¬
ristown, N. J., and other organiza¬ as a member of the board of di¬
Executive Committee of the lat¬
President of the Fifth Third Union versary,
tions.
rectors of the Central Trust Com¬
ter institution, which position he
Trust Co., Cincinnati, Ohio, since
pany, Rochester, N. Y., was an¬
field until 1931 when he came to
Proposals have been announced:
The Corn Exchange Bank Trust nounced
on
May
13
by the 1920, died on May 15 at the age
the Manufacturers Trust Company
for altering the constitution of the
"Times Union."
Mr. of 68.
Company of New York announced Rochester
as President. Mr. Gibson likewise
"The first bank examiner to be Belfast Banking Company, Bel¬
the
appointment of Edward R. Hayes has been Vice-President of
serves as a Director of many large
Welles as an Assistant Vice-Presi¬ the
Eastman
Kodak
Company appointed in Ohio, Mr. Romer had fast, Ireland, whose capital was;
corporations,
prominent among
acquired by the Midland Bank,
dent.
He was formerly Manager since 1943, and has been con¬ been identified with Ohio bank¬
which are American Home Prod¬
London, 30 years ago, with a view
of the
bank's Sheridan Square nected with that company in vari¬ ing circles since 1902 when he
ucts Corporation, The Chesapeake
to
bringing it into conformity
branch.
ous capacities since
1912, advices became Assistant Cashier of the
& Ohio Railway Company, Home
with present-day practice.
from
the
"Times
Union" also First National Bank, Celina, Ohio,
Insurance
Hitherto
the
bank has been
Company, Paramount
a position he held until 1909," said
John
W.
Ross,
retired Vice- pointed out.
controlled by a Board of Super¬
Pictures, Inc., United States Lines
the Cincinnati "Enquirer" of May
President of the Corn Exchange
intendence and a small Board or
Company, Western Electric Com¬
Bank & Trust Company died oh
The
election
of
Charles H 16, which also reported:
By resolu¬
pany and many others.
"From 1909 until 1912 he was Executive Directors.
May 14. He had been with the Rhodes, Jr., as an Assistant ViceIn 1910 tions to be submitted at a meet-*
bank 44 years, before his retire¬ President
of the Marine Trust bank examiner for Ohio.
John G. Laylin was elected a ment last January.
he was appointed Deputy Super¬ ing of shareholders to be held in
Company of Buffalo, N. Y., was
the near future this form of con¬
Director of the J. Henry Schroder
made known in the Buffalo "Eve¬ intendent of Banks of Ohio in
stitution will cease. A new board,
Banking
Corporation
and
the
charge
of
liquidation
of
the
Met¬
News" of May 6, which
John Trickett, who headed the ning
of directors
will be appointed,,
; Schroder Trust Company on May
ropolitan
Bank
&
Trust
Co.
In
stated:
New York Agency of the Char¬
as
its Chairman Field13.
Mr. Laylin is a partner in the
1930 he was appointed to liquidate having
"He
will
continue
also
as
Assist¬
tered Bank of India, Australia and
Marshal Lord Alanbrooke, whothe Cosmopolitan Bank & Trust
Washington, D. C. law firm of
China, died on May 7, at the age ant Secretary. Mr. Rhodes joined
was
elected some months ago toCo.
Covington, Burling, Rublee, Ache- of 53.
Mr. Trickett came to the the Buffalo Trust Company, later
"Mr. Romer joined the Cosmo¬ the Board of the Midland Bank*
son & Shorb.
From 1933 to 1935
New York office in 1919, and be¬ merged with the Marine, in 1921,
Other members will be Sir Basil
he was assistant general counsel
soon
after his graduation from politan Bank & Trust Co. as Cash¬
came its head in 1945.
McFarland and Mr. W. A. Edmen—
to the Secretary of the Treasury.
Princeton University. He has been ier in 1912. When he was 34 years
On the outbreak of war in Europe
He son, two prominent citizens of
in the loan and credit department old he became its President.
John
F.
McKenna,
formerly
he advised Washington Embassies
remained with the bank until 1920 Northern Ireland, while the Mid¬
President of J. F. McKenna, Inc., many years, and two years ago
land Bank
will, in addition toof several occupied countries on
became
head
of
the veterans' when he joined the Fifth Third
lumber dealers, has been elected
Field-Marshal Lord Alanbrooke,
protection of property against loss
business loan department.
Since Union Trust Co. He served also
to the Board of Trustees of tHb
be represented by its Chairman
to
the enemy through coercive
as special deputy in liquidation of
Bay
Ridge
Savings
Bank
of January he has been in charge of the Washington Bank & Trust Co." and Vice-Chairman, the Marquess;
transfers.
the secretary's department.
He is
of Linlithgow and Sir Clarence
At present Mr. Laylin is advis¬ Brooklyn, it was announced on
Secretary and Treasurer of Group
Sadd. The three present Directors;
ing various countries with cases May 16.
A
national bank charter has
1,
New
York
State
Bankers
As¬
Mr. McKenna is a resident of
of the Belfast Banking Company,.
before the Security Council of the
sociation."
been issued by the Comptroller of
Bay Ridge and has been prom¬
Mr. R. de B. Chamberlain,MrUnited Nations.
the Currency to the newly formed
inent in business and civic affairs
John McL. Darragh and Mr. R. G«
Glencoe National Bank, Glencoe,
Robert
Olcott,
Chairman
of
the
for years.
"■
Taylor, will be members of the
Manufacturers Trust Company
The bank opened on May 17.
board of directors of the Mechan¬ 111.
Board as Managing Directors,, < '
announced on May 20 that Mr.
ics and Farmers' Bank of Albany, Herbert C. Paschen and Ray CarBernard F. Hogan, President,
Horace C. Flanigan, Vice-Presi¬
N. Y., died on May 10, at the age lock hold the positions as Presi¬
that The Greater New
k<
dent of the bank, has been elected reports
and Cashier, respectively. Sutton Heads Nj J. Bankers
of 83.
Mr. Olcott, advices from dent
York
Savings
Bank,
Brooklyn,
is
Vice-Chairman of the Board of
the Albany "Times Union," point¬ The new bank; will have a total
At the close of the 43rd ahnuat
celebrating its 50th anniversary ed
Directors.
out,
was
third
generation capital stock of $100,000; surplus convention of the New -JerseyMr. Flanigan joined the Manu¬ this month.
President of the bank.
He joined of $20,000 and undivided profits Bankers Association, held in At¬
During
its
50
years,
the
bank
facturers Trust Company in 1931
the bank in 1883, rose to Cashier of $30,000.
lantic City, on May 17, Frank W,
has
paid
a
total
of
over
$31,000,000
as a Director and Vice-President.
in 1910, and in 1920 succeeded his
Sutton, Jr., was elected its Presi-'
Today
He is a graduate of Cornell Uni- in dividends to depositors.
uncle Dudley Olcott to the presi¬
Promotion of Joseph Allio to
dent for the coming i year.'n Mr}.
it has more than 130,000 accounts
yersity and is a member of the
dency.
He was President for 26 Treasurer and of Louis T. GoodUniversity's
Board of Trustees and resources in excess of $113,- years; last year being elected to friend to Auditor of Louisville Sutton, who is President Of theFirst
National
Bank' of Tom$'>
and also serves on the Finance 000,000, the bank's announcement the
Trust Company, Louisville, Ky.,
position of Board Chairman.
River, N. J., began his banking:
Committee. He is a Trustee of the said.
was announced on May 15, by Earl
career
with that institution in;
Dollar Savings Bank of New York.
The one hundredth anniversary R. Muir, President of the institu¬ 1904.
Mr. Charles C. Clough, formerly
The promotion of William W.
tion.
Both appointments became
of the organization of the Machin¬
Succeeding Mr. Sutton to theVice-President and
Comptroller Skoinick to Assistant Cashier in
effective on that date.
ists' National Bank in Taunton,
Vice-Presidency of the associa¬
was elected
a General Adminis¬
charge
of life insurance, new
Advices
from
the Louisville
Mass., was recognized by the di¬
tion, Frank, F. Allen, President of
trative Officer with the title of business and public relations of
"Courier Journal," by Donald Mc4"
rectors of the bank at an informal
the Seacoast^Trust Co. of Asbury
Administrative Vice-President.
the Prudential Savings Bank of
Wain,
also
reported
that
Mr.
Allio
dinner on May 14, the Providence
Park, was formerly Treasurer of
Mr. L. P. Christenson, Vice- Brooklyn, N. J., was announced
started
his
banking
career
with
"Journal" reported. Many promi¬
that groupU, ^
: ^
"
hv F.
V. Goess, President.
Mr.
Bradford National Bank, Green¬
President, was elected a General
nent
bankers and businessmen
(
Administrative Officer and desig¬ Skoinick has been connected with
Trust
Companies
given a graphic picture of
"dollars at work" building
their
The
Providence
"Journal" re¬
years ago.
,
v.
^
@FedFRASER