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MONTHLY REVIEW
B U S IN E S S

FED ERA L

RESERVE

C O N D IT IO N S

IN

T H E

S IX T H

F E D E R A L

Trade Distribution of merchandise in the Sixth District at
both retail and wholesale declined in July. Stocks
at department stores were slightly lower, but wholesale in­
ventories increased. Business failures increased over June
but were less than in July last year.
►Department store sales in July, on a daily average basis,
were 18.0 per cent lower than in June, a decline somewhat
smaller than usually occurs at that time of year, and after
seasonal adjustment the index rose from 119.4 per cent of
the 1923-1925 average for June to 125.9 for July. This is
11.0 per cent above the index for July last year and the
highest for that month in the series. July sales by wholesale
firms in this District reporting to the United States Depart­
ment of Commerce were off 2.1 per cent from June, but were
8.3 per cent greater than a year ago. For the seven months
of 1939 department store sales have been 8.3 per cent, and
wholesale trade 7.3 per cent, larger than in that part of 1938.
C O N D IT IO N O F 2 2 M EM BER BANKS IN SELE C TED C IT IE S
( I n T h o u s a n d s of D o lla r s )
A u g . 16,
C h a n g e F ro m :
1939
J u ly 1 2 ,1 9 3 9
A u g . 1 7 ,1 9 3 8
L o a n s a n d I n v e s tm e n ts — T o t a l................ . . . $ 5 7 8 ,5 6 6
— 1 6 ,8 7 0
+ 2 7 ,1 1 6
L o a n s — T o t a l........................................................... . . . 2 8 2 ,0 0 1
—
271
— 2 5 ,4 5 8
C o m m e r c ia l, i n d u s tr i a l a n d
a g r i c u l t u r a l l o a n s ...................................... . . . 1 5 2 ,5 7 7
— 2 4 ,6 6 5
— 1 ,2 3 0
O p e n m a r k e t p a p e r ......................................
3 ,0 4 0
+
87
+
112
L o a n s to b r o k e r s a n d d e a l e r s
in s e c u r i t i e s ..................................................., . . .
5 ,6 0 7
+
157
— 1 ,6 7 6
O th e r lo a n s fo r p u r c h a s i n g
o r c a r r y i n g s e c u r i t i e s ............................. . . .
— 3 ,4 7 2
1 1 ,2 0 9
—
681
+ 3 ,3 8 7
R e a l e s t a t e l o a n s ........................................... . . . 3 0 .8 6 9
+
142
L o a n s to b a n k s ................................................
1 ,3 7 7
+
245
— 2 ,3 1 0
+ 3 ,0 8 5
O th e r l o a n s ........................................................
. 7 7 ,3 2 2
4- 1 ,0 9 0
+ 2 7 ,3 8 5
In v e s tm e n ts — T o t a l ........................................... . . . 2 9 6 ,5 6 5
+ 8 ,5 8 8
—
701
U . S . d ir e c t o b l i g a t i o n s ............................
1 4 1 ,6 5 4
+ 1 ,2 6 8
+ 6 ,7 3 4
+ 2 1 ,9 1 2
6 4 ,7 8 6
O b lig a tio n s g u a r a n t e e d b y U . S . . .
+ 6 ,1 8 6
9 0 ,1 3 5
+
596
O th e r s e c u r i t i e s ..............................................
+ 3 3 ,5 8 8
+ 2 4 ,7 8 2
1 3 6 ,5 6 8
R e s e r v e w ith F . R. B a n k ...............................
+
340
— 1 ,7 2 2
C a s h in v a u l t ............... ....................................
1 1 ,4 1 0
+ 6 6 ,0 7 0
1 9 8 ,9 8 7
+ 1 9 ,9 3 3
B a l a n c e s w ith d o m e s tic b a n k s ...............
+ 4 9 ,7 0 6
+ 1 1 ,6 9 6
3 8 5 ,1 3 2
D e m a n d d e p o s i t s - a d j u s t e d ....................
+
999
+ 1 ,8 9 5
. 1 8 6 ,9 1 7
T im e d e p o s i t s ........................................................
— 1 ,5 5 7
+ 1 5 ,5 4 3
3 8 ,4 8 8
U . S . G o v e r n m e n t d e p o s i t s .......................
+ 6 0 ,9 9 4
+ 1 0 ,7 5 7
2 5 6 ,7 2 5
D e p o s its o f d o m e s tic b a n k s .......................
B o r r o w in g s .............................................................




D IS T R IC T

A u g u st 3 1, 1 9 3 9

BAN K O F A TLA N TA

D is tr ic t
In July merchandise distribution through
S n m m n r 'V department stores in the Sixth District de^ clined less than usual, wholesale trade was
only slightly lower , and there were notable gains in build­
ing permits, in contracts awarded for residential construc­
tion and in the rate of pig iron and coal production. Textile
operations declined and there was a decrease in the total
value of contract awards because of a decline in “All Other99
contracts.
In July the changes in this District in department store
sales, residential contracts and in output of pig iron were
more favorable than those for the country, while the changes
in total contract awards, textile operations and coal produc­
tion were less favorable. Comparing July this year with
July 1938 the District gain in total contract awards was
slightly less than for the country, but in other available
statistical series the District gains were appreciably larger
than those for the country as a whole.

R E S E R V E

►Inventories at department stores declined less than usual
in July and were 4.7 per cent larger than for July 1938,
while wholesale stocks increased 4.7 per cent over June and
were 2.5 per cent larger than a year ago.
►The collection ratio, for both department stores and whole­
sale firms, declined slightly in July.

Banking

In early August the Commodity Credit Corpo­
ration took over from the commercial banks a
considerable volume of loans on cotton, and loans at weekly
reporting member banks declined, investments increased
somewhat, interbank deposits increased after declining in
July, and demand deposits-adjusted rose to a new peak at
the middle of the month. Total loans and investments at
these banks on August 16 were lower than on any other
Wednesday since October 5 last year.
►Since December total loans have declined about 36 mil­
lions of dollars, while investments were at about the same
level as in late December. Most of the decline in loans has
been in those for commercial, industrial and agricultural
purposes and in “All Other” loans. Investments declined
early in July but have since increased because of larger
holdings of securities guaranteed by the United States. At
the middle of August total investments were about 27.4 mil­
lions greater than they were a year ago, and of this increase
21.9 millions is in guaranteed securities and 6.2 millions is
in other securities, while holdings of United States direct
obligations were slightly smaller.
►Following the transfer of cotton loans to the Commodity
Credit Corporation, demand deposits-adjusted increased to
a new high level on August 16, when they were 49.6 mil­
lions greater than a year ago, and reserve deposits at the
Federal Reserve Bank to the credit of these weekly reporting
member banks increased about 20 millions of dollars and
on August 16 were 33.6 millions greater than at the same
time last year. Deposits held for other banks were at the
middle of August about 61 millions greater than a year ago,
and balances maintained with other banks were 66 millions
greater.
►At the Federal Reserve Bank of Atlanta total cash reserves
and reserve deposits of all member banks in the District
reached record high levels on August 9 and declined someC O N D IT IO N O F FED ERA L R ESERV E BANK O F ATLANTA
( I n T h o u s a n d s o! D o lla r s )
C h a n g e F ro m :
A u g . 16,
A u g . 1 7 ,1 9 3 8
1 939
J u ly 1 2 ,1 9 3 9
—
489
, . .$
154
+
33
B ills d i s c o u n t e d ...........................................
19
B ills b o u g h t ...................................................
+ "640
—
14
755
I n d u s tr ia l a d v a n c e s .................................
— 8 ,0 4 8
— 3 ,7 6 2
1 0 3 ,1 4 8
U n ite d S ta t e s s e c u r i t i e s .......................
— 7 ,8 9 7
1 0 4 ,0 7 7
— 3 ,7 4 2
T o ta l b ills a n d s e c u r i t i e s ...............
+ 7 2 ,3 6 1
+
1
7
,5
5
1
3
2
2
,6
4
2
T o ta l c a s h r e s e r v e s .................................
+ 1 1 ,2 2 9
+
739
1 5 3 ,3 5 9
F . R. N o te c i r c u la t io n ............................
+ 4 0 ,5 7 2
+
2
3
,7
0
1
2
0
8
,8
2
8
M em ber b a n k re se rv e a c c o u n ts ..
+ 5 ,4 2 4
— 1 0 ,2 9 7
4 1 ,4 6 3
U . S . T r e a s u r e r g e n e r a l a c c o u n t.
+ 5 2 ,9 4 8
+
1
2
,9
1
5
. . 2 6 6 ,5 0 1
T o ta l d e p o s i t s .........................................
C o m m itm e n ts to m a k e in d u s tr i a l
—
41
—
1
139
a d v a n c e s .....................................................

B u s i n e s s C o n d it i o n s

2

in t h e

D EB ITS T O IN D IV ID U A L A C C O U N T S
( I n T h o u s a n d s o i D o lla r s )
J u ly
lu n e
J u ly
ALABAMA—
1939
1939
19 38
B ir m in g h a m .................. $ 8 4 ,4 5 9 $
8 0 ,7 9 8 $
7 3 ,7 4 5
2 ,3 7 6
2 ,6 8 5
2 ,5 1 7
D o t h a n . . ..........................
M o b ile ...............................
3 4 ,8 7 0
3 4 ,2 2 0
3 4 ,3 4 6
M o n tg o m e r y .......... ..
2 1 ,7 0 1
2 0 ,9 8 3
1 7 ,9 7 1
FLO R ID A —
J a c k s o n v il le ..................
M ia m i.................................
P e n s a c o l a .......................
T a m p a ...............................

7 1 ,1 5 6
4 2 ,8 0 8
8 ,1 5 6
2 6 ,7 1 8

7 4 ,2 9 8
4 0 ,6 9 8
8 ,7 5 8
2 6 ,7 6 2

6 1 ,6 8 2
3 2 ,6 5 3
7 ,9 8 1
2 3 ,8 1 8

G E O R G IA —
A l b a n y ...............................
A t l a n t a ...............................
A u g u s t a . . .......................
B r u n s w ic k .......................
C o lu m b u s .......................
E l b e r to n ............................
M a c o n ...............................
N e w n a n ............................
S a v a n n a h .......................
V a l d o s t a ..........................

3 ,8 4 8
1 9 2 ,9 7 4
1 6 ,7 7 9
2 ,4 2 9
1 3 ,4 0 0
940
1 4 ,5 9 7
1 ,8 8 4
2 5 ,7 0 5
4 ,7 3 7

4 ,2 5 1
2 0 2 ,0 5 6
1 7 ,9 4 2
2 ,4 2 2
1 3 ,8 7 9
1 ,0 0 4
1 4 ,7 1 4
1 ,6 4 6
2 7 ,3 3 5
3 ,4 3 2

LO U ISIA N A —
N e w O r l e a n s ................

2 0 2 ,3 3 2

M IS S IS S IP P I—
H a t t i e s b u r g ..................
J a c k s o n ............................
M e r id i a n ....................... ..
V ic k s b u r g .......................
TEN N ESSEE—
C h a t t a n o o g a ...............
K n o x v ille ..........................
N a s h v ill e ..........................
SIXTH D ISTR IC T
2 6 C i t i e s ............................

Per C ent C hange
J u ly 1 9 3 9 F ro m :
J u n e 1 9 3 9 J u ly l9 3 8
+ 4.5
+ 1 4 .5
— 5 .6
- 1 1 .5
+ 1 .5
+ 1 .9
+20.8
+ 3 .4
— 4 .2
+ 5 .2
— 6 .9

+ 1 5 .4
+ 3 1 .1

3 ,4 6 3
1 7 4 ,5 3 8
1 3 ,9 8 0
2 ,3 2 5
1 2 ,2 8 2
880
1 2 ,8 8 4
1 ,7 1 7
2 6 ,0 2 4
3 ,8 1 3

—
—
—
+
—
—

+ 11.1
+ 10.6
+20.0

2 1 9 ,8 7 2

2 1 8 ,6 5 0

— 8 .0

+

4 ,3 8 9
2 6 ,4 8 0
1 0 ,6 6 5
6 ,5 4 2

4 ,4 1 7
2 2 ,5 4 7
1 0 ,4 5 9
5 ,9 9 6

4 ,1 4 0
2 7 ,2 3 6
8 ,7 2 4
6 ,1 8 9

— 0.6
+ 1 7 .4
2.0

+ 6.0
+ 2.8
+22.2

4 2 ,8 5 5
2 8 ,3 6 3
8 1 ,8 4 2

4 4 ,9 9 1
2 8 ,1 9 2
8 0 ,4 2 1

3 8 ,5 9 4
2 7 ,3 6 4
7 4 ,6 8 9

4 .8

9 7 3 ,0 0 5

9 9 4 ,7 7 8

9 1 2 ,2 0 5

• 2.2

U NITED STA TES—
141 C i t i e s ..........................$ 3 0 ,4 7 6 ,7 3 7

$ 3 3 ,9 8 7 ,9 2 0

$ 3 0 ,5 0 5 ,0 6 0

— 0.2
9 .5
4 .5
6 .5
0 .3
3 .5
6 .4

— 0.8
+ 1 4 .5
— 6.0
+ 3 8 .0

9 .1

0.6
1.8

+

3 .4

+ 2.2
+ 12.2

+ 4 .5
+ 9 .1

+ 6.8
+ 1 3 .3
+ 9 .7

+ 1-2
+ 2 4 .2
7 .5

+ 5 .7

+ 11.0

+ 3 .7
+ 9 .6
+

6 .7

+ 2 0 .8

what the following week. Discounts for member banks have
shown a further gain although the volume continues small,
while industrial advances have declined somewhat. Holdings
of United States securities have declined about 12.8 millions
since June.
►Excess reserves of all member banks in the District, esti­
mated on the basis of latest available data, amounted on
August 16 to about 70 millions of dollars, or 45.7 per cent
of legal requirements. In the latter half of July excess re­
serves in the District averaged about 47 millions.
►Check transactions at 26 cities in the District declined 2.2
per cent in July, while at 141 reporting centers throughout
the country they dropped 10.3 per cent.

Agriculture In the first half of 1939 total farm income
in the six states of this District was 1.2 per
cent larger than in that part of last year. The gain was due
to a large increase in Government benefit payments. Receipts
from crops were 27.3 per cent less, while income from live­
stock and livestock products rose 3.7 per cent.
►The first estimate of the season by the United States De­
partment of Agriculture indicates a cotton crop in the six
states of this District of 4,707,000 bales, smaller by 2.5 per
cent than that of last year, and 38.3 per cent smaller than
the 1937 crop. Comparisons for these states follow:
C o tto n P r o d u c tio n
E s tim a te
P ro d u c tio n
P r o d u c tio n
000 B a le s ____________________________ A u g . 1, 1939______________ 1938______________ 1937
A l a b a m a ........................................... ................................
946
1,081
1,631
F l o r i d a ..................................................................................
17
26
40
G e o r g i a ............... ............................................................... 1,000
852
1,500
L o u i s i a n a ..........................................................................
702
676
1,104
M is s is s ip p i........................................................................
1/612
1,704
2,692
T e n n e s s e e ..........................................................
430_______________ 490_______________ 661
S ix S t a t e s ..................................................................... 4,707
4,829
7,628
U n ite d S t a t e s ........................................................... 11,412
11,943
18,946




S ix t h F

ed era l

R

eserve

D is t r ic t

►Between July 1 and August 1 there were increases in the
official estimates of wheat, rice and potatoes in this District,
but declines were indicated in com, hay, tobacco, sweet po­
tatoes and peaches. Growing conditions in Florida during
July were favorable for development of citrus fruits from
the 1939 bloom. Prospects for oranges are relatively better
than for grapefruit. 1939 production of pecans is indicated
at 13.5 per cent larger than in 1938* but a decrease of 13.0
per cent is shown for peanuts. The Georgia peach crop was
about 21.0 per cent smaller than last year, but the estimate
for peaches in Tennessee is nearly three times that of 1938.
In the year ending July 31 farmers apparently used about
35.0 per cent less fertilizer than they did in the previous year.
Industry For the fifth consecutive month the value of
building permits issued at twenty reporting cities
increased in July over the preceding month and was sub­
stantially larger than a year earlier. An increase in resi­
dential contracts was, however, more than offset by a decline
in other awards. The rate of textile activity declined, but
output of coal and pig iron increased further in July.
►Residential contracts increased 6.6 per cent in July and
were 68.0 per cent greater than a year ago, while other
awards declined 19.2 per cent from June and were about the
same as in July last year. For the seven months period total
awards were up 51.9 per cent from that period last year,
residential awards were 63.3 per cent larger, and other
awards increased 44.8 per cent. Value of building permits
increased further in July by 9.4 per cent, were two and onequarter times the July 1938 total and the largest for any
month since December 1928. The seven month total of
$49,735,307 was the largest for that period since 1929.
►In the year that ended July 31 cotton mills in Georgia,
Alabama and Tennessee consumed 2,251,373 bales of cot­
ton, a gain of 23.4 per cent over the preceding cotton year.
Only in the cotton year of 1936-1937 was total consumption
in these states greater.
►Steel mill activity in the Birmingham area declined from
82.0 per cent of capacity in the last week of July and the first
week of August to 75.0 per cent in the following two weeks.
For the first three weeks of August, however, the average of
77.3 per cent was about 6.0 per cent higher than the average
for July and compares with a national average of about 61.2
per cent. Alabama production of pig iron increased further
in July by about 12.0 per cent, was larger by 138.2 per cent
than in July last year, and for the seven months of 1939 has
been 59.6 per cent greater than in that part of 1938. In the
United States July production increased 7.6 per cent over
June, was 96.1 per cent greater than in July last year, and
for the seven months the gain over that part of last year was
64.0 per cent. Coal production in Alabama and Tennessee
increased further in July and was about half again as large
as in July last year.
►The rate of electric power production increased 6.2 per
cent in this District to a new high level in June, compared
with a gain of 5.2 per cent for tfie country. In the District
June production was 19.9 per cent greater than a year ago
while the country’s gain was 14.0 per cent.

B u s i n e s s C o n d it i o n s

in t h e

SIX T H D IS T R IC T B U SIN E SS S T A T IS T IC S
SALES

J u ly 19 39
C o m p a r e d w ith
R E T A IL T R A D E
Ju n e 1939
J u ly 1938
A t l a n t a ....................................— 2 1 .5
+ 7 .3
4 - 1 1 .7
B ir m in g h a m ....................... — 1 8 .2
M o n tg o m e r y .................... — 1 9 .6
+ 1 1 .7
N a s h v ill e .............................. — 2 3 .2
+ 10.1
N e w O r l e a n s ..................... — 1 9 .9
+ 8 .3
O t h e r s .................................... — 1 8 .7
+ 1 2 .2
D IST R IC T (4 6 F i r m s ) . — 2 0 .7
+ 9 .5
W H O L E S A L E TR A D E
G r o c e r i e s ............................ — 3 .8
D ry G o o d s .......................... — 6 . 9
H a r d w a r e ............................ + 2 .9
E le c tric a l G o o d s .............— 4 .5
D r u g s .......................................— 1 .4
S h o e s . . .................................. + 4 0 . 2
T O T A L ............................... — 2 .1

STOCKS CO LLEC­
T IO N
J a n .-J u ly
RA TIO
In c l.
J u ly 1939
C o m p a red C o m p a re d
J u ly
w ith
w ith
1939
Y ear A go
J u ly 1 938
2 5 .4
+ 1 5 .3
+ 11.1
3 0 .4
+ 4 .0
+ 1 0 .3
— 2 1 .5
+ 11.1
2 6 .6
— 1.3
+ 8.2
3 0 .5
+ 5 .2
+ 4 .8
3 1 .0
+ 3 .9
+ 7 .6
2 8 .6
+ 4 .7
+ 8 .3

— 2.2

— 1 .5
— 2. 1
+ 2 0 .6
+ 2 6 .2
+ 1 1 .9
+ 1 8 .6
+8.3

— 4 .3
+ 4 .5
+ 4 .5
+ 9 .5
— 1 2 .4

+ 7 .2
+ 17 .6
+ 1 8 .9
+ 1 3 .5
— 4 .2
+ 7 .3

+ 2 .5

7 4 .5
3 3 .2
4 7 .7
6 0 .8

66.8
2 6 .5
5 5 .1

(000 O M ITTED )
C O M M ER C IA L FA IL U R E S —
D IS T R IC T .........................................
N u m b e r ..............................................

Ju ly
1939
48
608

liabilities.............................$

C O N TR A C TS AW A R D ED —
D IS T R IC T .........................................$ 2 4 ,3 6 1
11 ,4 5 1
R e s i d e n t i a l ......................................
A ll O t h e r s .........................................
1 2 ,9 1 0
A l a b a m a ...........................................
3 ,0 7 0
F l o r i d a .................................................
9 ,2 9 5
G e o r g i a ..............................................
5 ,8 4 0
L o u i s i a n a ...........................................
2 ,4 1 8
M is s is s ip p i.
2 ,0 9 2
T e n n e s s e e ..........................
6 ,7 8 0
B U ILD IN G P ER M ITS—
2 0 C IT IE S ............................
A t l a n t a .................................
B ir m in g h a m .......................
J a c k s o n v il le .......................
N a s h v ill e ............................
N e w O r l e a n s .....................
15 O th e r C i t i e s ................

1 0 ,6 7 6
955
725
603
244
989
7 ,1 6 0

Ju n e
1939
38
482

'ife

68
1,120

J a n .-J u ly , In c l.
19 38
1 9 39
394
405
4 ,9 2 1 $ 4 ,2 4 5

$ 2 6 ,7 2 8
1 0 ,7 4 6
1 5 ,9 8 2
4 ,2 9 5
7 ,7 8 1
6 ,6 0 8
4 ,9 2 8
2 ,1 6 2
5 ,7 4 5

1 9 ,7 7 0
6 ,8 1 6
1 2 ,9 5 4
2 ,3 0 9
7 ,3 8 1
4 ,3 6 4
3 ,6 3 0
1 ,4 2 9
3 ,8 4 3

$ 1 7 0 ,5 2 9
7 0 ,9 3 4
9 9 ,5 9 5
2 4 ,1 3 7
5 1 ,7 2 4
3 7 ,3 8 3
3 7 ,8 9 6
2 1 ,2 8 8
3 1 ,0 9 6

$ 1 1 2 ,2 4 8
4 3 ,4 5 1
6 8 ,7 9 7
1 3 ,6 8 1
3 5 ,8 2 0
2 2 ,6 0 4
2 3 ,7 7 5
1 1 ,9 3 9
2 5 ,4 4 0

9 ,7 6 2
592
286
773
564
627
6 ,9 2 0

4 ,7 2 7
231
155
493
123
247
3 ,4 7 8

$ 4 9 ,7 3 5
3 ,4 7 5
2 ,4 8 2
4 ,4 7 7
2 ,6 8 5
3 ,9 1 8
3 2 ,6 9 9

3 2 ,3 4 2
2 ,0 8 5
1 ,6 3 2
6 ,2 0 9
878
2 ,8 1 5
1 8 ,7 2 4

P IG IR O N P R O D U C T IO N —Tons
A l a b a m a ............................................

211

1 8 3r

89

1 ,4 4 8

908

C O A L P R O D U C T IO N — Tons
A l a b a m a ............................................
T e n n e s s e e .........................................

972
418

960r
377

654
302

5 ,8 9 7
2 ,5 8 3

5 ,7 8 2
2 ,2 6 9

S ix t h F

ed eral

R

eserve

D is t r ic t

IN D EX ES
(1923*1925— 100 except a s\ noted)
R E T A IL S A L E S *— U n a d ju s te d
ily 1 939 J u n e 1939
D ISTR IC T (27 F i r m s ) ............................................................. 88.1
1 0 7 .5
88.1
A t l a n t a ..............................................................................................15
152.4
2.4
1 8 3 .2
B ir m in g h a m ....................................................................................8
. 877.2.2
103.1
N a s h v ill e ......................................................................................... 77.3
7 7 .3
9 6 .8
N e w O r l e a n s ................................................................................ 77.1
7 7 .1
9 2 .6
R E T A IL S A L E S 41— A d ju s te d
D IST R IC T (27 F i r m s ) ............................................................. 1 12 25 5.9
.9
A t l a n t a ..............................................................................................22 0 8 .8
B ir m in g h a m ....................................................................................1
.11199.5
.5
N a s h v ill e ......................................................................................... 112..0
112.0
N e w O r l e a n s ...............................................................................111.7
1 1 1 .7

J u ly
1 939

D IST R IC T (24 F i r m s ) ............................................................. 6 4 .4
A t l a n t a ..............................................................................................11 1 9 .2
B ir m in g h a m ....................................................................................6
, 6 4 .7
N a s h v ill e ........................................................................................ 43
,
4 3 .6
N e w O r l e a n s .................................................................................
. 55
5 5 .6
R E T A IL S T O C K S —Adjusted
D ISTR IC T (2 4 F i r m s ) .............
A t l a n t a ..............................................
B ir m in g h a m .................................
N a s h v ill e .........................................
N e w O r l e a n s ...............................
W H O LE S A L E S A LE S — T o ta l.
H a rd w a re .
D r u g s ..........

B a le s

13 6

12

723
1 ,3 5 5
173
2 ,2 5 1

588
1 ,0 8 3
153
1 ,8 2 4

55

49

1 ,5 5 8

2 ,3 1 5

F E R T IL IZ E R T A G S A L E S — Tons
36
35
TO TA L SIX STATES
* G e o r g i a , A la b a m a , L o u is ia n a a n d M is siss ip p i.

27

1 ,5 4 5

2 ,3 8 9

A l a b a m a ...........................................
G e o r g i a ..............................................
T e n n e s s e e .........................................
TO TA L TH REE S T A T E S .. .

25

101

CO TTO N SEED CRU SH ED —
T o n s * ...................................................

June
1 939
3 8 ,9 3 0
4 ,9 9 0
8 ,0 6 8
5 ,8 9 7
5 ,3 7 3
4 ,8 4 7
9 ,7 5 5

A la b a m a .. .
F l o r i d a ..........
G e o r g i a ___
L o u isia n a ..
M is s is s ip p i.
T e n n e s s e e ..
E L E C T R IC P O W E R
PR O D U C TIO N — kw hours
A l a b a m a ............................................
F l o r i d a .................................................
G e o r g i a ..............................................
L o u i s i a n a ...........................................
M is s is s ip p i......................................
T e n n e s s e e .........................................
TO TA L S IX S T A T E S .............
B y W a te r P o w e r .....................
B y F u e l s .........................................

13
167

62
116
15
193

53

3 4 7 ,7 7 0
8 6 ,5 8 5
1 3 9 ,7 4 3
1 5 7 ,4 2 3
5 ,0 2 4
1 3 6 ,4 6 2
8 7 3 ,0 0 7
5 5 5 ,1 0 6
3 1 7 ,9 0 1

(000 Omitted)
J a n .- J u n e , In c l.
June
M ay
19 39
19 39
1938
1938
$ 5 1 ,5 6 7 $ 3 7 ,4 3 0 $ 2 8 5 ,4 4 1 $ 2 8 2 ,1 0 3
3 5 ,8 3 4
5 ,2 4 1
3 5 ,8 7 2
9 ,5 6 0
6 8 ,9 4 7
1 1 ,8 0 7
5 ,4 3 7
7 2 ,3 0 2
3 4 ,5 7 6
3 6 ,3 4 7
8 ,6 0 7
6 ,3 8 4
3 5 ,8 7 9
3 5 ,3 7 5
8 ,6 8 9
4 ,0 0 2
4 7 ,4 6 9
5 ,1 1 1
6 ,4 6 6
4 8 ,0 5 2
7 ,6 7 7
5 6 ,9 8 9
5 9 ,9 0 2
1 0 ,0 1 6

3 0 1 ,7 5 9
8 7 ,1 8 1
1 5 1 ,7 6 7
1 5 5 ,6 3 5
4 ,6 9 6
1 4 8 ,2 7 7
8 4 9 ,3 1 5
5 2 5 ,6 2 8
3 2 3 ,6 8 7

‘ Includes Government payments, r — revised.




44
80

2 5 0 ,4 2 5 1 ,7 6 0 ,3 8 1 1 ,4 4 9 ,2 7 1
5 0 6 ,3 4 6
5 5 2 ,3 2 4
7 3 ,4 8 3
7 0 4 ,1 7 5
8 4 3 ,2 6 9
1 1 8 ,5 9 0
7 4 5 ,9 2 6
8 5 4 ,3 5 5
1 4 8 ,3 0 1
3 5 ,6 2 4
5 ,0 0 5
2 8 ,5 2 0
7 0 0 ,1 2 1
9 5 3 ,4 2 1
1 3 2 ,0 3 5
4
,1
4
1 ,4 6 3
7 2 7 ,8 3 9 4 ,9 9 2 ,2 7 0
4 4 6 ,4 5 3 3 ,1 0 7 ,8 2 0 2 ,3 2 1 ,5 3 7
2 8 1 ,3 8 6 1 ,8 8 4 ,4 5 0 1 ,8 1 9 ,9 2 6

. . 7 0 .0
, 1 3 1 .0

68.1
5 8 .5

..

6 2 .8

.

9 2 .5

. . 6 9 .4
. 8 1 .6
.
G e o r g i a .......................
L o u i s i a n a ..................
M is s is s ip p i................
T e n n e s s e e ................
B U ILD IN G PERM ITS— 2 0 C itie s .
A t l a n t a ......................................................
B ir m in g h a m .........................................
J a c k s o n v il le ...........................................
N a s h v ill e .................................................
N e w O r l e a n s .........................................
15 O th e r C it ie s ....................................

A u g .- ■July, In c l.
1 9 3 7 -3 8
1 9 38 -3 9

June
19 39

1 1 9 .4

J u ly 1938
7 9 .4
1 3 9 .4
7 8 .1
6 0 .2
7 1 .2

1 1 0 .9
1 0 5 .2
1 0 4 .0

1 1 3 .4
1 9 1 .0
1 0 7 .0
8 7 .2
1 0 3 .2

6 5 .1
1 1 3 .3
6 4 .9
4 9 .4
5 4 .7

6 0 .8
9 9 .9
6 0 .9
4 4 .2
5 2 .8

6 8 .5
1 1 8 .0
6 5 .6
5 0 .9
5 8 .2

1 0 9 .8
6 4 .1
4 7 .5
5 5 .6

6 4 .1
5 0 .4
4 6 .4
8 9 .9
9 2 .0

6 3 .1
4 8 .4
4 5 .4
7 0 .7
8 4 .4

7 6 .2
7 8 .6
7 5 .9
9 3 .9
5 3 .6
9 9 .1
7 8 .4

5 6 .3
4 8 .6
6 1 .5
5 0 .5
5 0 .9
6 5 .5
5 7 .7
7 4 .1
6 9 .3

210.6

R E T A IL S T O C K S * — U n a d ju s te d

P IG IRO N P R O D U C TIO N — ALABAM A*
C O T T O N C O N SU M PTIO N —

3

6 7 .1

. . 3 8 .5

1 0 3 .6

..

9 4 .9

.

7 6 .9

.

8 9 .3

. .1 4 1 .2
T en n essee.

112.1

. 1 3 3 .4
.. 1 3 8 .9

86.8
3 8 .3
1 9 .3
9 3 .9
8 8 .9
4 8 .7
1 2 6 .3
7 9 . 8r

66.1

4 2 .0
1 4 .9
1 0 .5
5 9 .9
19 .4
19.1
6 3 .5
3 7 .5

1 5 6 .4
1 7 7 .2
1 4 7 .8
1 5 1 .0

1 1 4 .7
1 3 2 .0
1 0 6 .5
1 1 9 .7

EM PLO YM EN T (A v . fo r 1 9 3 2 = 1 0 0 )
A l a b a m a .......................................................................
.. 1 2 8 .3
F l o r i d a ............................................................................ ..
.. 9........
6 .8
G e o r g i a ............................................................................................ 1 3 7 .4
L o u i s i a n a .........................................................................................1
, .1 2 5 .0
M is s is s ip p i....................................................................
,, .1 0 3 .9
T e n n e s s e e ....................................................................
1 2 9 .8
S IX S T A T E S ...............................................................................126.
1 2 6 .8

1 2 5 .8
1 0 1 .7
1 3 7 .5
1 2 6 .4

1 1 4.1
8 8 .5
1 2 7 .9
1 1 6 .0

1 2 9 .0
1 2 6 .8

1 1 4 .6
1 1 5 .5

P A Y R O L LS (A v . fo r 1 9 3 2 = 1 0 0 )
A l a b a m a ......................................................................................... 1 9 2 .5
8 3 .0
G e o r g i a ........................................................................................... 1 7 6.1
L o u i s i a n a .........................................................................................
M is s is s ip p i......................................................................................
T e n n e s s e e ...................................................................................... 1 6 2 .2
SIX S T A T E S ............................................................................ 1 6 2 .0

186.9
8 4 .8
1 7 7 .2
1 4 6 .6
1 2 4 .2
1 6 3 .0
1 6 3 .6

1 5 9 .3
7 3 .1
1 5 8 .3
1 4 7 .3
1 2 5 .9
1 3 9 .5
1 4 5 .8

E L E C T R IC P O W E R P R O D U C TIO N *
J u n e 1 9 39
A l a b a m a .........................................................................................
. . 4 4 9 .8
. . 4 3 9 .9
, 2 4 0 .4
. . 8 2 .8
T e n n e s s e e ......................................................................................
. . . 2 2 4 .8
.8
.. 3 5 2 .2
, . . 4 2 6 .1
, ,2 7 0 .3

100.2

M a y 1 9 39
3 7 7 .7
4 2 8 .7
2 5 2 .6
5 8 4 .4
7 2 .2
2 3 6 .3
3 3 1 .6
3 9 0 .4
2 6 6 .4

101.0

3 2 3 .9
3 7 3 .3
2 0 4 .0
5 7 5 .4

799

2 1 7 .4
2 9 3 .6
3 4 2 .7
2 3 9 .3

^Indexes of retail sales, electric power and pig iron production, and of
cotton consumption are on a daily average basis, r = revised.

4

B u s i n e s s C o n d it i o n s

in t h e

S ix t h F

ed era l

NATIONAL SUMMARY OF BUSINESS CONDITIONS

R

eserve

D is t r ic t '

INDUSTRIAL PRODUCTION

P repared b y the B oard of G o vern ors of the Fe d e ra l R eserve System

TN JULY industrial activity, seasonally adjusted, rose sharply and was close to the
level reached last December. Prices of some industrial materials increased in recent
weeks while those for agricultural products continued to decline.
P r o d u c tio n

The Board’s index of industrial production, according to preliminary returns, ad­
vanced to 102.0 per cent of the 1923-1925 average in July as compared with 98.0 in June
and 92.0 in April and May. The advance in July reflected chiefly a considerable further
increase in output of iron and steel, which usually declines at this season. Steel ingot
production rose from an average rate of 52.0 per cent of capacity in June to 57.0 per
cent in July and in the first three weeks of August was maintained around 60.0 per cent
which for the month would represent about the usual seasonal increase. Lumber pro­
duction showed little change in July, although a decline is usual.
In the automobile industry output showed a sharp seasonal curtailment during July
and the first half of August, reflecting preparations for the shift to new model produc­
tion which will be made about a month earlier this year than in other recent years.
Retail sales of new cars continued in excess of production and dealers’ stocks were
greatly reduced. Plate glass production declined sharply in July, following a substantial
increase in June.
Changes in output of nondurable manufactures in July were largely of a seasonal
nature. At cotton textile mills and meat-packing establishments activity showed some­
what less than the usual declines and at sugar refineries output increased from the low
level reached in June. Flour production continued in substantial volume.
Mineral production expanded further in July as output of bituminous coal continued
to increase and petroleum production, which had been reduced in June, rose sharply.
On August 14 the Texas Railroad Commission ordered a shutdown of most Texas oil
wells for 15 days, beginning August 15, and subsequently similar shutdowns were or­
dered in several other important oil producing States.
Value of construction contracts, as reported by the F. W. Dodge Corporation, in­
creased somewhat in July, owing principally to a small rise in contracts for public
projects. Awards for residential work, both public and private, were practically un­
changed from the June total.
E m p lo y m e n t

Factory employment, which usually declines in July, was maintained this year at
about the June level and payrolls showed a less than seasonal decrease, according to
reports from a number of leading industrial States.

In dex of p h y sic a l volum e of production, adju sted for
se aso n a l variation , 1923-1925 a v e ra g e = 100. B y months,
Ja n u a ry, 1934, to Ju ly, 1939.

In dex of total loadin gs of revenu e freight, adju sted for
se a so n a l variation , 1923*1925 a v e ra g e = 100. B y months,
Ja n u a ry, 1934, to lu ly , 1939.

WHOLESALE PRICES

D is tr ib u tio n

Sales at department and variety stores in July showed about the customary seasonal
decline. In the first half of August department store sales increased.
Freight-car loadings increased further from June to July. Loadings of coal con­
tinued to expand and shipments of miscellaneous freight, which usually decline at this
season, showed little change.
C o m m o d ity P r ic e s

Prices of most farm products and foods declined from the beginning of July to the
middle of August. Some industrial materials, principally steel scrap, nonferrous metals,
and textile fabrics, showed advances in this period, while crude petroleum prices
were reduced.
A g r ic u ltu r e

On August 1 prospects for major crops were about the same as a month earlier,
according to the Department of Agriculture. The first official estimate on cotton in­
dicated a crop of 11,400,000 bales, somewhat smaller than last year’s crop and 2,400,000
bales less than the 1928-1937 average. World carryover of American cotton, however,
was estimated to have been somewhat larger on August 1 than the record volume of
a year ago.

In dexes com piled b y U . S . B u reau of Labo r Statistics,
1926 = 100. B y w e e k s, 1934, to w e e k ending A ugust 12,
1939.
MEMBER BANK RESERVES

B a n k C r e d it

Total loans and investments of member banks in 101 leading cities increased sub­
stantially during the four weeks ending August 9, reflecting chiefly increases in hold­
ings of United States Government obligations and the purchase by New York banks
of a large share of a new issue of New York State short-term notes. Commercial loans
continued to increase at New York banks but declined at banks in 100 other leading
cities as corn and cotton loans that were approaching maturity were taken over by the
Commodity Credit Corporation in accordance with a standing agreement. Deposits at
reporting banks remained at high levels.
Excess reserves of member banks increased further to new high levels in the latter
part of July and the first half of August, owing principally to gold imports and net
Treasury disbursements, partly offset by a reduction in Federal Reserve bank holdings
of Treasury bills.
M o n e y R a te s

The average rate on new issues of 90-day Treasury bills has increased slightly in
recent weeks and on August 10 was 0.032 per cent. Prices of Treasury bonds showed
little
from the middle of July to the middle of August.
Digitized
for change
FRASER


W e d n e sd a y fifrures of total m em ber ban k reserve b a l­
a n ce s at F e d e ra l R e se rv e B a n k s, w ith estim ates of re ­
qu ired and e xcess re se rv e s, Ja n u a ry 3, 1934, to A ugust
16, 1939.