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MONTHLY REVIEW
CREDIT, BUSINESS AND AGRICULTURAL CONDITIONS

FEDERAL RESERVE BANK OF RICHMOND
RICHMOND, VIRGINIA___________________________________________________ DECEMBER 31, 1935
cities in the Fifth district during four
TATISTICS for 1935 are not yet
complete, but on the whole the
weeks ended December 11 showed a
year now closing continued the upward
seasonal increase over debits in the
trend in commerce, industry and agri­
preceding four weeks, although a ma­
culture which was noted in 1934.
jority of the cities failed to make the
Banks continued to hold the confidence
gain, and exceeded by nearly 15 per
of the public which was gained in the
cent debits in the corresponding four
second half of 1933, and deposit in­
weeks last year. Employment condi­
surance was made permanent by the
tions changed little last month, gains
Banking Act of 1935. Unemployment
and losses in work about offsetting
continued to be a serious problem
each other, but so far this winter
throughout the year, but definite pro­
weather has interfered relatively little
gress was made toward restoring work­
with outside work. Coal production in
ers to jobs. Retail trade in department
November, figured on a daily basis,
stores exceeded the volume of trade
fell below October production but ma­
done in the preceding year, and whole­
terially exceeded that of November
last year. ^Textile mills continued op­
sale trade in groceries, hardware and
drugs also exceeded 1934 trade, but wholesale dry erations on a more extensive scale than in the winter
goods and shoe sales declined about 10 per cent this of 1934, and cotton consumption on a daily basis ex­
year. Commercial failures in the Fifth district were ceeded that of October and also was above November
fewer in number in nine of the elapsed eleven months 1934 consumption. Auction tobacco markets in North
of 1935 than in the corresponding months of 1934. Carolina and Virginia sold approximately twice as much
Automobile sales and registrations continued upward tobacco as they sold in November last year, but prices
in 1935, and because of increased yields farmers in were nearly 30 per cent lower in the 1935 month.
the district received more money for their crops than Taxes on tobacco manufacturing in November ex­
in the preceding year, though prices for cotton and ceeded November 1934 taxes, due entirely to an in­
tobacco were lower this year.
crease in cigarette production. Construction provided
Most of the developments in Fifth district business for by building permits issued in November exceeded
between the first of November and the middle of De­ that of November 1934 by approximately 75 per cent.
cember were seasonal, and marked activity noted in Retail trade in November exceeded the volume of trade
October continued during the later period. In bank­ in November 1934 by more than 12 per cent, but whole­
ing, rediscounts at the Federal Reserve Bank of Rich­ sale trade, while exceeding 1934 sales in three of five
mond showed a slight rise, and an increase also occurred i reporting lines, did not compare so favorably with
j
in industrial loans and commitments made under au­ November 1934 trade. Favorable weather enabled
thority of Section 13-B of the Federal Reserve Act. farmers to finish harvesting and to market or house
Federal reserve notes in circulation increased during their products in excellent condition.
the month, but rather less than in most years at this
season. Reporting member banks increased loans mod­ Reserve Bank Statement
erately between the middle of November and the middle
All important changes in the items on the statement
of December, decreased investments in securities, and
built up reserves at the reserve bank still further above of the Federal Reserve Bank of Richmond during the
requirements, while their deposits and cash in vault in­ past month were upward. Rediscounts for member
creased. Debits to individual accounts in twenty-three banks rose by $25,000 between November 15 and De-




MONTHLY REVIEW

2

ITEMS

000 omitted
Dec. 15 “ Nov. 15 Dec. i5
1935 __1934__
1935 J

72 | $
Rediscounts held ---------------- : $
47 $ 148
173 j
173
209
Open market paper--------------4,443
4,410
1,369
Industrial advances------------4
10 i
0
Foreign loans on gold----------i
Government securities ----------- 116,716 j 116,716 103,563
Total earning assets------------ 121,414 121,350 1057289
Circulation of Fed. Res. notes- j 186,082 185,756 173,972
Members’ reserve deposits------• 173,241 168,632 116,674
Cash reserves -------------------- 252,878 248,199 209,305
67.26
68.10
68.91
Reserve ratio --------------------

cember 15, and industrial loans direct to industry or
commerce increased by $33,000. Participation in Sys­
tem foreign loans on gold also increased by $6,000
during the month. There were no changes in the port­
folio of open market paper or in ownership of Govern­
ment securities. Total earning assets rose by $64,000
between the middle of November and the middle of
December. Federal reserve notes in actual circulation
rose by $326,000 between November 15 and December
15, a seasonal rise due to increased use of currency for
holiday buying. Member bank reserve deposits rose
by $4,609,000 in the month, adding further to excess
reserves. The several changes mentioned in the state­
ment, with others of less importance, brought a rise
of $4,679,000 in the Bank’s cash reserves between
November 15 and December 15, and raised the ratio
of cash reserves to note and deposit liabilities combined
by 81/100ths of a point
In comparison with condition figures on December
15 last year, the figures in the statement for December
15 this year show increases in all but two items. Re­
discounts for member banks declined by $76,000 during
the year, and open market paper decreased by $36,000.
These decreases in assets were more than offset by a
rise of $3,074,000 in loans direct to industry, foreign
loans on gold totaling $10,000 on the 1935 date, and
an increase of $13,153,000 in holdings of Government
securities. Total earning assets showed a net increase
of $16,125,000 during the year. Federal reserve notes
in actual circulation rose by $12,110,000 during the
period under review, due chiefly to increased business
activity this fall. Member bank reserve deposits, which
were materially above legal requirements last year, in­
creased further by $56,567,000 on the 1935 date. The
changes during the year in the statement resulted in
an increase of $43,573,000 in cash reserves of the Fed­
eral Reserve Bank of Richmond, and a rise of 1.65
points in the ratio of cash reserves to note and deposit
liabilities combined.

Statement of 41 Member Banks
Forty-one member banks in twelve leading cities of
the Fifth Federal reserve district make weekly reports
of condition to the Federal Reserve Bank of Richmond,
and the accompanying table shows principal items for
three dates, December 11 and November 13, 1935, and
December 12, 1934. It should be understood that the
figures are not necessarily the highest or lowest which
occurred during the periods under review, but reflect
the condition of the banks on the report dates only.




!
000 omitted
ITEMS
' Dec 11 ' Nov. 13 ’ Dec. 12
________________________ . 1935
.1935
1934
Loans on stocks and bonds (in- i
j
eluding Governments) _____ i$ 71,008 ;$ 68,041 ■$ 77,558
All other loans____________ j 128,487 126,216 i 132,207
Total loans and discounts__ ! 199,495 j 194,257 i 209,765
Investments in stocks and bonds i 363,270 > 378,865 j 352,681
Reserve bal. with F. R. Bank.... j 122,024 : 112,524 j 75,720
Cash in vaults_____________ ! 18,425 ! 17,364 ; 17,907
Demand deposits ......................j 401,483 • 396,778 ! 351,038
Time deposits -------------------j 190,123 | 191,037 j 185,952
Borrowed from F. R. Bank.— ______CM______Oj______ 0_

Between November 13 and December 11, both this
year, total loans and discounts rose by $5,238,000, of
which $2,967,000 was in loans on securities and $2,271,000 was in all other loans, the latter being chiefly
commercial loans at this season. On the other hand,
the reporting banks decreased their investments in
securities by $15,595,000 during the month, but added
$9,500,000 to their aggregate reserve at the reserve
bank. Cash in vault rose by $1,061,000 between No­
vember 13 and December 11, a seasonal rise due to
increased use of cash in holiday trade. Demand de­
posits in the reporting banks rose $4,705,000 during
the past month, but time deposits declined by $914,000,
the latter a normal development in December.
In comparison with condition figures for December
12, 1934, those for December 11, 1935, show a decline
in total loans amounting to $10,270,000. Loans on
stocks and bonds dropped $6,550,000 during the year,
and all other loans decreased by $3,720,000. The re­
porting banks increased their investments by $10,589,000 during the year, and added $46,304,000 to their
reserve balance at the Federal reserve bank. Cash
in vault on the 1935 date showed an increase of $518,000 over the 1934 figure. Deposits rose by $54,616,000
between the middle of December last year and this,
demand deposits accounting for $50,445,000 of the
increase and time deposits for $4,171,000. None of
the forty-one banks was borrowing at the reserve bank
on either the 1934 or 1935 date.

Time and Savings Deposits
Time deposits in forty-one reporting memer banks
and aggregate, deposits in eleven mutual savings banks
in Baltimore totaled $393,958,574 at the end of No­
vember 1935, a lower figure than $395,163,714 reported
at the end of October this year but above $381,740,896
on November 30, 1934. Both member and savings
banks reported drops in time and savings deposits
during the past month, but both classes of banks
showed higher deposits than a year earlier.

Debits to Individual Accounts
Debits to individual, firm and corporation accounts
figures in the table reported for three equal periods of
four weeks each by clearing house banks in twentythree leading Fifth district cities show a smaller than
usual seasonal increase during the period ended De­
cember 11 in comparison with the figures for four

MONTHLY REVIEW
CITIES

000 omitted
Total debits, four weeks ended
Dec. 11,
Nov. 13, I Dec. 12,
1935
!
1934
1935

Asheville, IN. C.—
Baltimore, Md.......
Charleston, S. C.—
Charleston, W. Va..... i
Charlotte, N. ,C----Columbia, S. C.------Cumberland, M d.___
Danville, Va..............
Durham, ,N. C._____
Greensboro, N. C.__
Greenville, S. C.____
Hagerstown, Md.......
Huntington, W. Va...
Lynchburg, Va......... ..
Newport News, Va.....
Norfolk, V a.______
Portsmouth, Va. ___
Raleigh, N. C______
Richmond, Va. w
____
Roanoke, Va..............
Spartanburg, S. C.__
Washington, D. C.__
Wilmington, N. C.__
Winston-Salem, N. C.

9.349
278,253
13,480
44,871
32,902
20,966
6.828
12.489
30,116
14,143
15.638
6,785
14,367
13.934
8,964
46,304
4.181
21,985
142.433
20,963
7.493*
204.693
18.525
37,074

9,470 |
267,722 !
14,240 i
40,439
53,852
24.300
7,119 |
14,906 !
39.822
12,510
16,431
6,657 !
11,702 i
13,116 I
6,599 |
40.477
3,288 i
23.503
153.866
19,157
8,033*
192,557 !
9,773 !
37,539 |

8.762
242.646
12.079
40.404
45,979
17.079
6,298
11,482
28,361
11,725
14,648
5,915
12,008
13,212
8,079
43.593
3,636
21,803
126.434
19,238
165,442

8,102

31,274

Fifth District Totals $1,029,243 $1,019,045 j $ 898,199
*Spartanburg, S. C., not included in Totals.

weeks ended November 13. Aggregate debits in the
reporting cities totaled $1,029,243,000 during the four
weeks ended December 11, an increase of $10,198,000,
or 1.0 per cent, above the total of $1,019,045,000 re­
ported for the preceding period this year. Among the
twenty-three reporting cities, only eleven reported
higher figures for the later period, while twelve re­
t r i e d lower figures.
In comparison with debits reported for four weeks
ended December 12, 1934, those reported for the cor­
responding period this year show an increase of $131,044,000, or 14.6 per cent, all of the twenty-three cities
showing higher figures for the 1935 period.

Commercial Failures
Figures on business failures in November in the
United States numbered 927, with liabilities totaling
$20,023,172, compared with 923 failures and liabilities
totaling $18,349,791 in November 1934, according to
Dun & Bradstreet Monthly Review for December. The
number of insolvencies in November 1935 was larger
in five of the twelve reserve districts, the New York
district making the worst showing with 358 of the 927
insolvencies for the Nation. In aggregate liabilities
involved in November 1935 bankruptcies, four of the
twelve reserve districts showed higher figures than last
year,'the New York district again making the worst
showing with $11,860,646 liabilities out of the National
total of $20,023,172. In the Fifth Federal reserve
district, the November record was much better than
the National record. Failures in the district in Novem­
ber 1935 numbering 34 were fewer than 39 failures
in November 1934, and liabilities totaling $546,640 last
month compared with $550,602 in November last year,




3

decreases in the district in both number of failures and
aggregate liabilities in contrast with increases reported
for the United States. Both the number of failures
and aggregate liabilities involved were the lowest in
the Fifth district for any November since 1919.

Employment
Changes in employment in the Fifth reserve district
during the past month probably offset each other, leav­
ing little net increase or decrease in the number of
workers. Nearly all industrial plants expanded opera­
tions, and retail establishments took on additional work­
ers for the holidays, but sales on tobacco markets
dropped and decreased the need for handlers, and win­
ter weather interfered with all types of outside work.
Construction work for which permits were issued in
November continued above work provided for a year
earlier, and coal production was also above production
last year, but was less than that of October this year.
Winter weather is unfavorable for highway construc­
tion, especially on paving jobs, and fewer workers are
used at this season than in spring and summer months.

Coal Production
Bituminous coal mined in the United States in No­
vember this year totaled 33,010,000 net tons, a decrease
under 37,664,000 tons mined in October, but more
than 30,856,000 tons dug in November 1934. On a
daily basis, output in November 1935 totaling 1,347,000
net tons compared with 1,395,000 tons per day mined
in October this year and 1,249,000 tons per day mined
in November last year. Total output of bituminous
coal in the United States during the present calendar
year to December 7 amounted to 341,215,000 net tons,
compared with 332,675,000 tons mined to the same
date last year. Shipments of coal through Hampton
Roads in November totaled approximately 1,534,000
tons, and total shipments from January 1 through No­
vember 30 totaled 16,500,000 tons.
The December 7 report of the Bureau of Mines,
Department of the Interior, gave bituminous coal pro­
duction by states for the month of October 1935. West
Virginia led all states with 10,868,000 net tons, Penn­
sylvania ranking second with 8,367,000 tons and
Illinois third with 4,792,000 tons. West Virginia’s
production in October was 23 per cent above produc­
tion in October 1934, while the National increase
during the same period averaged only 15 per cent. In
October 1935 the Fifth district coal states of West
Virginia, Virginia and Maryland produced 32.2 per
cent of all bituminous coal dug in the Nation, com­
pared with 29.9 per cent mined in the same three states
in October 1934.

Textiles
On a daily basis cotton textile mills in the Fifth
reserve district operated in November at slightly above
the level of October, although total cotton consumption
during the month was less than consumption in the
longer month of October. Last month North Carolina

4

MONTHLY REVIEW

mills used 131,682 bales of cotton. South Carolina mills
used 101,382 bales, and Virginia mills used 11,365
bales, a district total of 244,429 bales, compared with
263,360 bales used in the district in October 1935 and
225,700 bales consumed in November 1934. The district decrease of 7.2 per cent in cotton used in November in comparison with October was less than the
National decrease of 8.0 per cent, and the increase last
month in the district over consumption in November
1934 amounting to 8.3 per cent was greater than the
National increase of 6.5 per cent. Consumption of cot­
ton in the Richmond reserve district in November this
year totaled 48.13 per cent of National consumption,
compared with 47.69 per cent in October 1935 and
47.33 per cent in November 1934.
On November 20, the Department of Commerce is­
sued a report on spindles in place, spindles active in
October, total spindle hours of operation in October,
and average hours of operation per spindle in place in
October. On October 31, 1935, there were 29,656,536
spindles in place in the United States, North Carolina
leading with 6,133,028, or 20.68 per cent of the total,
South Carolina ranking second with 5,832,108 spindles,
or 19.67 per cent, and Massachusetts third with 5,137,608 spindles, or 17.32 per cent. The percentages
for the Carolinas were higher than a year earlier, while
the Massachusetts percentage declined during the year.
The Fifth district as a whole had 42.54 per cent of
total spindles in place in the United States at the end
of October. In actual spindle hours of operation, South
Carolina led all states for October with 1,919,783,262
hours, or 25.79 per cent of the National total of 7,445,185,686 hours, and North Carolina ranked second
with 1,750,997,123 hours, or 23.52 per cent. Georgia
ranked third in actual spindle hours of operations,
with 13.54 per cent of total hours, although that State
had only 11.4 per cent of all spindles in place. Massa­
chusetts, with 17.32 per cent of spindles in place,
showed only 10.78 per cent of total hours of opera­
tion in October. The Fifth district, with 42.54 per
cent of total spindles in the United States in October,
showed 51.53 per cent of total hours of operation. In
actual hours of operation per spindle in place, South
Carolina with an average of 329 hours per spindle was
in the lead, while North Carolina ranged fifth with
286 hours and Virginia ranked sixth with 255 hours.
The average hours of operation for the United States
was 251 per spindle in place.

i
;
i
j

Cotton Statistics
Spot cotton prices gradually declined after Novem­
ber 15, the average price for middling grade , cotton
on ten Southern markets falling from 12.15 cents per
pound on that date to 11.73 cents per pound on De­
cember 13, the latest date for which official quotations
are available. The average price on the same markets,
was 12.61 cents per pound on December 14 last year.
Final production figures on this year’s cotton crop,
released by the Department of Agriculture on Decem­
ber 9, totaled 10,734,000 equivalent 500-pound bales, a ,
decrease of 407,000 bales under the estimate made on
November 1, but 1,098,000 bales above 1934 produc­




tion. Although weather in November was favorable
for cotton picking in most of the belt, in Texas and
Oklahoma conditions were unfavorable and prospective
yield in those States was materially reduced. Con­
ditions were about average except in Texas and Okla­
homa during the entire growing season, final estimates
of production showing relatively little change from
earlier figures except in the two States mentioned.
Decreased prospects for the 1935 cotton yield were
progressive, forecasts of probable production, which
started at 11,798,000 bales on August 1, decreasing by
309.000 bales during August, by 25,000 bales during
September, by 323,000 bales during October, and by
407.000 bales during November, a total decline of 1,064.000 bales, or 9 per cent, between August 1 and
December 1. Total production for the Fifth reserve
district was lowered in the December estimate, South
Carolina’s crop of 745,000 bales comparing with 750,000 bales forecast on November 1 and 681,000 bales
ginned in 1934, North Carolina’s crop of 585,000 bales
comparing with 600,000 bales on November 1 and 629,000 bales last year, and Virginiai’s crop of 30,000 bales
comparing with 32,000 bales on November 1 and 35,000
bales in 1934. The 1935 yield of 1,360,000 bales in
the district exceeds last year’s yield of 1,345,000 bales,
South Carolina’s gain of 64,(X ) bales this year off­
X
setting the losses in North Carolina and Virginia.
Ginning figures to December 1, released by the
Census Bureau on December 9, showed 9,362,343 bales
ginned from this year’s crop, compared with 9,019,834
bales of last year’s crop ginned before December.
Cotton consumption in American mills in November
totaled 507,836 bales, according to the report of the
Census Bureau released on December 14. This figure
shows a decrease from 552,187 bales consumed during
the longer month of October this year, but is more
than 480,081 bales consumed in November 1934. Total
consumption during the four months of the present
cotton year amounted to 1,917,559 bales, compared with
1,716,750 bales consumed during the four months ended
November 30, 1934. Cotton on hand at manufacturing
establishments on November 30 this year totaled 1,346,127 bales, compared with 1,074,405 bales held on
October 31 this year and 1,294,456 bales held on No­
vember 30 last year. Bales in public warehouses and
compresses numbered 8,629,812 at the end of Novem­
ber, 8,481,901 at the.end of October, and 9,803,690 on
November 30, 1934. , Exports of cotton totaled !,134,874 bales in November, compared with 711,664
bales sent abroad in October this year and 572,359
bales in November 1934. Total exports during the
four months of the present cotton year—August 1November 30, inclusive—totaled 2,574,786 bales, a ma­
terially higher figure than 1,894,142 bales shipped, over­
seas during the corresponding four months last year.
Spindles active at some time during November num­
bered 23,193,734, compared with 23,192,602 in Octo­
ber this year and 25,072,392 in November 1934.
Cotton growing states consumed 426,794 baled in
November, compared with 384,937 bales used in No­
vember last year. Last month’s consumption in the
cotton growing states amounted to 84.04 per cent of

MONTHLY REVIEW
National consumption, compared with 80.18 per cent
of National consumption used in the cotton growing
states in November last year. Of the 426,794 bales
of cotton consumed in the cotton growing states in
November, the Fifth district mills used 244,429 bales,
or 57.27 per cent, a lower figure than 58.57 per cent
of Southern consumption attained by Fifth district
mills in November last year.

Tobacco Marketing

5

in price for fire-cured tobacco with $13.53 per hundred
pounds.
South Carolina markets finished season sales in Oc­
tober and therefore reported no sales for November.

Tobacco Manufacturing
On December 20, the Commissioner of Internal Rev­
enue issued a report on taxes collected in November
1935 on manufactured tobacco products. November
production of cigarettes in the United States numbered
10,801,258,890, compared with 9,727,429,600 cigarettes
manufactured in November 1934. Smoking and chew­
ing tobacco production decreased from 24,643,494
pounds in November 1934 to 23,890,388 pounds in
November this year. Cigars manufactured declined
from 466,163,546 in November last year to 457,299,010
in November 1935. Snuff production fell from 3,125,358 pounds to 2,796,877 pounds during the year.
In the month of November 1935, taxes on cigarettes
totaled $32,406,121, compared with $29,184,986 col­
lected in the corresponding month last year. Taxes on
smoking and chewing tobacco decreased during the
same period from $4,435,895 to $4,300,358, and cigar
taxes fell from $1,274,617 to $1,221,113. Combined
taxes to the Treasury on all forms of tobacco manu­
facture totaled $38,431,030 in November 1935 and
$35,458,063 in November 1934, an increase this year
of 8 per cent, due entirely to the gain in cigarette taxes.

North Carolina auction tobacco markets sold 106,674,128 pounds of tobacco for growers during No­
vember, at an average of $20.62 per hundred pounds,
compared with 50,015,601 pounds sold for an average
of $28.12 per hundred in November last year. Total
sales to December 1 this year amounted to 492,893,462
pounds, and the average price was $20.92 per hundred
pounds, compared with 375,659,580 pounds sold prior
to December 1 last year, at an average price of $29.04
per hundred. Sales to December tins year were estimatd at 88 per cent of expected sales from the 1935
crop, whereas last year’s sales to the same date repre­
sented 90 per cent of total season sales. Among the
individual markets in North Carolina, Winston-Salem
led in November sales with 14,517,745 pounds, Wilson
ranking second with 13,590,374 pounds and Rocky
Mount third with 12,072,462 pounds. Oxford led in
average price paid in November with $22.95 per hun­
dred pounds, Roxboro ranking second with an average
of $22.69 per hundred.
Agricultural Notes
Virginia leaf tobacco markets sold 37,214,149 pounds
of producers’ tobacco during November 1935, for an
Crops in the Fifth Federal reserve district have been
average of $21.43 per hundred, according to warehouse harvested, but final statistics on production in 1935 are
reports to the Commissioner of Agriculture. In No­ not yet available. In the next issue of this Review a
vember 1934 sales amounted to 24,455,374 pounds, and table will be printed, containing production figures for
the average price was $27.19. Total sales for the the leading crops of the district for 1935 in comparison
season to December 1 were 75,771,209 pounds, and with figures for some earlier years.
the average season price was $21.97 per hundred, com­
On the whole, 1935 turned out to be a favorable
pared with 61,975,486 pounds sold for an average of year for agriculture in the Fifth district states. There
$30.26 during the corresponding period last year. Flue- were no long droughts in the district in the summer,
cured sales in November totaled 34,677,972 pounds at and no long periods of excessive moisture. Floods did
an average price of $22.18 per hundred, and total flue- considerable damage in mid-summer in the upper half
cured sales for the season amounted to 73,235,032 of the district, but later conditions were so favorable
pounds. Warehousemen estimated that tobacco sold in j that the damage from high water was approximately
November graded 31 per cent good, 40 per cent me­ offset. Per acre yields were above the five-year aver­
dium, and 29 per cent common, whereas in November age, and fall weather was nearly ideal for harvesting
last year sales graded 30 per cent good, 43 per cent and housing the matured crops. Prices for leading
medium, and 27 per cent common. The fire-cured money crops compared unfavorably with 1934 prices,
markets opened early in November and sold 2,536,177 but production figures in most cases were sufficiently
pounds for an average price of $11.09 per hundred, large to offset lower prices.
compared with 1,627,083 pounds of fire-cured tobacco
sold for $14.08 per hundred pounds in November 1934. Construction
As burley and sun-cured markets did not open until
the first week in December, there were no sales of these
Building inspectors in thirty-one Fifth district cities
types in November. Among the individual Virginia issued 2,142 permits in November this year, compared
markets, Danville led in sales in November with 16,- with 1,925 permits issued in November last year. Es­
567,761 pounds, South Boston ranking second with timated valuation figures last month totaled $5,267,569,
7,305,030 pounds, while Petersburg led in price paid an increase of 74.7 per cent above the total of $3,with an average of $23.46 per hundred pounds. Ail 014,411 reported for November 1934 and 237 per cent
of the markets mentioned sold flue-cured tobacco. above $1,564,651 reported in November 1933. TwenLynchburg led the dark or fire-cured markets with ty-one of the thirty-one cities reported higher valuation
sales totaling 988,428 pounds, but Drakes Branch led figures for the 1935 month, including five of the six




MONTHLY REVIEW

6

Building Permits Issued in November
1935 and 1934
Total Valuation
Permits Issued;
; 1935
1934 i 1935
1934
i
516 ! $1,148,760 $ 520,800
Baltimore, Md........... 614
12,146
8 !
19,985
11
Cumberland, Md.........
9,145
12 !
6,585
7
Frederick, Md............
9,985
10 i
76.257
28
Hagerstown, Md......
12
11,725
12
20,425
Salisbury, Md.............;
17.488
24 !
16,982
11
Danville, Va.............-!
22,474
28 ; 114,610
Lynchburg, Va......... ~i 28
23,452
69 I
93,340
Norfolk, V a.----------- 105
2,697
3
7 !
7,550
Petersburg, Va......... -\
21 ’
15,575
14
5,220
Portsmouth, Va.........
65,735
115 j 122,913
Richmond, Va............ \ 107
38,968
22.375
31 !
Roanoke, Va.............. ; 40
1,600
2
3,300
Bluefield, W. Va----- 1
;
4i
54 715
80
89,240
Charleston, W. Va.—; 84
12,787
62,144
31
Clarksburg, W. Va.....j
%
26,549
12
22.580
Huntington, W. Va...;
H
6,886
27 !
7.873
24
32,876
169,434
95
Charlotte, N. C.----- J
52 i
64,675
32 !
71,185
Durham, N. C.------- ! 42
12,649
62,776
Greensboro, N. C.— j 39
£ I
46,759
34
18,973
High Pointt, N. C.— i 35
5,370
20
90,570
H
33,162
2
4,700
Rocky Mount, N. C— j
! !
3 .
2,000
5,103
6
Salisbury, N. C------ \
80
33,430
60,290
Winston-Salem, N. C.; 65
56
40.824
37,068
Charleston, S. C.-----j 46
34
196,863
122.035
Columbia, S. C._____! 48
27
34,935
33
26,314
Greenville, S. C._ ..J
_
19
16
22,940
20,770
Rock Hill, S. C
.J
34
76,049
8,229
Spartanburg, S. C----! 30
477 2,645,570 1,643,565
Washington, D. C.— ! 532
1,925 $5,267,569 $3,014,411
Totals ---------------! 2.142
CITIES

largest cities in the district. Some of the smaller cities
reported relatively high figures last month, due in sev­
eral instances to single large projects financed in whole
or in part by public funds.
Contracts actually awarded in November for con­
struction work in the Fifth district, including both
rural and urban projects, totaled $16,417,226, com­
pared with $8,599,431 awarded in November 1934 and
$14,565,990 awarded in November 1933, according to
figures collected by the F. W. Dodge Corporation. Of




} the awards in November this year, $4,427,501, or 27
j per cent, was for residential work, compared with $1,j 930,011, or 22.4 per cent, for this type of work in
| November 1934.
|

; Retail Trade, 31 Department Stores

Richmond Baltimore Washington Other Cities District

i November 1935 sales, compared with sales in November 1934:
; + 5.8
+ 6.7
+19.7
+ 8.0
+12.1
i Total sales Jan.-Nov. 1935, compared with Jan.-Nov. 1934:
j + 42
+ 1.5
+15 8
+ 4.5
+ 8.0
: Nov, 30. 1935, stocks, compared with stocks on Nov. 30, 1934:
+ 3.0
— 2
+ 6 .7
+ 1.5
+ 3.1
Nov. 30, 1935, stocks, compared with stocks on Oct. 31, 1935:
+ 9.7
+ .5
+ 1.1
+ 3.5
+ 2.0
Number of times stock was turned in November 1935:
.328
.337
.387
.296
.352
' Number of times stock was turned since January 1, 1935:
3.517
3.369
4.064
3.137
3.64
! Percentage of Nov. 1, 1935, receivables collected in November:
35.1
29.7
28.5
32.4
29.9 v
Note: Sales and stock changes are percentages.
i
i

| W holesale Trade, 58 Firms
|

21

7

Groceries Dry Goods

6

Shoes

13

Hardware

11

Drugs

November 1935 sales, compared with sales in November 1934:
i + 6.5
— 4.2
—102
+ .1
+ .5
; November 1935 sales, compared with sales in October 1935:
; — 8.8
—18.3
—34.0
— 8.1
+ .9
! Jan.-Nov. 1935 sales, compared with sales in Jan.-Nov. 1934:
; + 6.4
—10.6
—10.4
+ 7.8
+ 1.0
i Nov. 30, 1935, stocks, compared with Nov. 30, 1934, stocks:
I — 22(8*) -11.3(3*) + 3.0(4*) + 8.5(7*)
: Nov. 30, 1935, stocks, compared with Oct. 31, 1935, stocks:
; -5 .5 (8 * ) — 9.1(3*) + .5(4*) — 2.0(7*)
Percentage of collections in November to receivables Nov. 1:
86.6(12*) 41.7(4*)
67.1(5*)
482(11*) 60.4(7*)
♦Number of reporting firms. All figures in the table are
percentages.

(Compiled December 20, 1935)

MONTHLY REVIEW

7

BUSINESS CONDITIONS IN THE UNITED STATES
(Craqpfled fcy die Board o f Goveraon o f the Federal Reserve System)

Industrial production and employment, which
usually decline at this season, showed little change
from October to November. Distribution of com­
modities to consumers increased more than season­
ally.

the exceptionally small output of 9,636,000 bales in
1934. Cash farm income from marketings of crops
and livestock and from Government rental and
benefit payments is estimated at about $6,800,000,000 for the calendar year 1935, as compared
with $6,387,000,000 last year.

Production and Employment
The Board’s seasonally adjusted index of indus­
trial production advanced from 95 percent of the
1923-1925 average in October to 97 percent in No­
vember. Output of industries producing durable
goods continued to increase substantially in No­
vember, while activity in most other industries de­
clined somewhat. Output of steel increased further
during November to a higher rate than in any pre­
vious month this year and this high level was main­
tained during the first three weeks of December.
Automobile production in November continued the
sharp increase which began after the change to new
models in September. Activity at silk mills and at
woolen mills declined.
Factory employment and payrolls, which usually
decline from the middle of October to the middle of
November, showed little change for that period this
year. Increases in employment were reported for
the automobile, iron and steel, machinery, railroad
car, and cotton textile industries and at railroad
repair shops. There were larger than seasonal de­
clines at sawmills, shoe factories, silk and rayon
mills, and establishments producing wearing ap­
parel.
Value of construction contracts awarded, as re­
ported by the F. W. Dodge Corporation, continued
to increase in November and the first half of De­
cember. There was a decline, largely seasonal, in
residential building, while other types of construc­
tion showed an increase.

Agriculture
Crop production in 1935, according to final esti­
mates by the Department of Agriculture, showed
an increase of about 20 percent in volume over the
drought year of 1934, and the farm value of 64 crops
amounted to $5,120,000,000 compared with $4,780,000,000 last season. The cotton crop, which has
been reduced in recent months by bad weather, is
now estimated at 10,734,000 bales compared with




Distribution
Freight-car loadings decreased by less than the
usual seasonal amount during November, reflecting
principally a smaller decline in shipments of miscel­
laneous freight than is customary at this time of
year. Value of department store sales, on a daily
average basis, increased from October to November.

Commodity Prices
The general level of wholesale commodity prices,
j after a decline during October, increased during

i November and showed little change during the first
I two weeks of December.
I

1Bank Credit
|

; Excess reserves of member banks, which had
| increased to a new high level of $3,310,000,000 on
! December 11, largely as the result of continued
I gold imports, declined considerably during the week
I ending December 18, as a consequence of seasonal
demands for currency and a large increase in
Treasury balances with the Federal Reserve banks,
in connection with mid-December fiscal operations.
| Changes in condition of reporting banks in 101
• leading cities during the four weeks ending De! cember 18 reflected principally the influence of new
j Government financing. These banks showed in' creases of $310,000,000 in holdings of United States
j Government securities, of $110,000,000 in loans to
| brokers and dealers in securities, and of $200,000,000
t in United States Government deposits. Adjusted
demand deposits showed a further growth of $270,000,000 in the three weeks ending December 11 and
declined by $250,000,000 in the following week, as a
result of withdrawals for holiday currency demands,
income tax payments, and the purchase of new
Government securities.


Federal Reserve Bank of St. Louis, One Federal Reserve Bank Plaza, St. Louis, MO 63102