The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
M O N T H L Y REVIEW B U S IN E S S F E D E R A L R E S E R V E C O N B A N K O F D I T I O N S I N T H E S I X T H A T L A N T A Trade The volume of trade in the Sixth District, at both retail and wholesale, declined from October to No vember. Total sales by 49 reporting retail firms declined 9.1 per cent over the month, and were 2.9 per cent larger than in November 1936. Because of the different number of business days, however, daily average sales declined by more than the seasonal amount. The seasonally adjusted in dex of daily average sales by 28 firms which have reported over a long period of years, after reaching in August the highest level in the series, at 131.8 per cent of the 19231925 average, declined to 127.8 per cent in September, 109.6 per cent in October, and 105.4 per cent in November, which is at about the level of November last year. Total sales by the 49 reporting firms in the eleven months of 1937, how ever, were 7.8 per cent larger than in that part of 1936. In ventories at the close of November increased over those a month earlier by slightly more than the seasonal amount, and were 13.5 per cent larger than a year ago. The collec tion ratio was about the same as for October, but below that for November 1936. November sales by 70 reporting wholesale firms declined 14.6 per cent from October and were 4.7 per cent less than in November a year ago, but for the eleven months were 13.6 per cent larger than in that part of last year. November sales of drugs and groceries were larger than a year ago, but decreases were reported in other lines. Sales of dry goods in the eleven months period have been 2.7 per cent less than in that part of 1936. Increases ranging from 1.7 per cent in furniture to 19.2 per cent for hardware are shown for other reporting lines. C O N D IT IO N O F 22 M EM BER BAN KS IN S E L E C T E D C IT IE S (In Thousands of D o llars) Decem ber 15 C h a n g e From 1937 Nov. 17, 1937 D ec. 16, 1936 ^Co m p a ra b le fig u re s n o t a v a ila b le . E R A L R E S E R V E D I S T R I C T D E C E M B E R There were declines in November in retail and wholesale trade, in building and construction, and in other lines of in dustrial activity in the Sixth District. At weekly reporting member banks loans have continued to increase, and recently holdings of investment securities have also increased. $565,264 Lo an s— T o ta l..................................................... 295,568 C om m ercial, in du strial and a g ricu ltu ra l loan s : O n S e c u ritie s................................................ . 12,000 O therw ise secu red a n d u n se cu re d ____ 148,300 O pen m arket p a p e r................................... 3,889 Lo an s to brokers a n d d ealers in se cu ritie s.............................................. 6,201 O ther loan s for pu rch asin g 15,277 27,132 2,405 O ther Lo an s : O n S e c u ritie s................................................ 26,073 O therw ise secu red a n d u n se cu re d ____ 54,291 Investm ents— T o ta l......................................... 269,696 159,634 , 33,754 76,308 . 104,643 . 10,691 95,593 . 328,498 . 183,580 U. S. Governm ent d ep osits.................. . 16,864 Deposits of domestic D a n ks................. 185,702 Borrow ings : From F . R. B a n k .......... 1,822 From o thers................... 311 F E D + 10,977 + 7.086 — 36,211 +29,940 — 303 + 5,627 — 303 * * — 1,774 — 537 — + + + 6 270 58 * + 1,582 + 1,665 + + + + + — + — — + — + — — 992 1,276 3,891 5,783 1 1,893 2,017 687 4,156 5,227 2,035 6,544 3,133 275 * * — 66,151 — 53,471 — 4,088 — 8,592 + 17,708 — 19 — 44,016 — 10,723 + 5,678 — 22,607 -4 0 ,2 1 1 — 1,822 + 311 304 31, 1937 Business failures increased in number and in liabilities, compared with October, and with November last year. Banking Total loans and investments at weekly reporting member banks in leading cities of the Sixth Dis trict increased nearly 11 millions of dollars between No vember 17 and December 15, but were 36.2 millions less than on the corresponding Wednesday a year earlier. Total loans by these banks have increased on each Wednesday since August 18, and on December 15 were 29.9 millions greater than a year ago, and the largest in more than four and one-half years. Commercial, industrial and agricultural loans increased 5.3 millions since November 17, and on De cember 15 were 28.8 millions greater than on August 18; “Other” loans have increased in this four months period about 9.7 millions. There have been declines recently in loans to brokers and dealers in securities, and in holdings of open market paper. Loans to banks have been consider ably smaller in the last two months than they were between early May and the middle of October. Holdings of invest ment securities, after reaching a peak at 338 millions at the middle of September 1936, declined to 261 millions on De cember 1, 1937. In the following two weeks, however, total investment holdings increased to 269.7 millions, most of the increase being in direct obligations of the United States. Total investment holdings on December 15 were, however, 6 6 .2 millions less than a year earlier, and holdings of United States direct obligations were 53.5 millions smaller. Demand deposits-adjusted reached on December 8 the lowest point in a little over a year, but increased in the week following. Time deposits have recently been somewhat less than in September and early October, and on Decem ber 15 were about 5.7 millions greater than a year ago. De posits of other banks, which declined substantially between February and late July, increased in September and early October but have since declined. At the Federal Reserve Bank of Atlanta discounts for member banks increased from $4,114,000 on November 17 to $4,821,000 three weeks later, but declined by December 15 to $2,919,000. In the past four weeks industrial advances declined slightly; holdings of United States Government se curities increased, however, and on December 15 were 13 millions greater than a year earlier. Member bank reserve deposits have recently increased and at the middle of De cember were the largest in more than two months. Estimates based on latest available figures indicate that total member bank reserve deposits at the Federal Reserve Bank of At lanta on December 15, which amounted to $172,436,000, F E D E R A L R E S E R V E BAN K O F ATLAN TA (In Th ousand s of D o llars) D ecem ber 15 C h a n g e From 1937 Nov. 17, 1937 D ec. 16, 1936 B ills D iscou n ted ....................................... $ 2,919 B ills Bouaht in O pen M arket.............. 99 In dustrial A d v a n c e s............................... 127 United States S e c u ritie s......................... 112,238 Total B ills a n d S e cu ritie s.................. , 115,383 Total R e se rv e s........................................... 246,718 Member Bank Reserve A cco u n t.......... . 172,436 U. S. Treasu rer G e n e ra l Account. . . , 12,812 F . R. Note C ircu la tio n ............................. . . . . 163,233 __ 1,195 __ + 7 307 895 + 5,796 + 2,754 + 8,315 1,412 + 2,588 — 9 — 358 + 13,050 + 15,271 — 11,650 +25,054 + 7,468 — 26,198 B u s in e s s 2 C o n d it io n s in t h e S ix t h D E B IT S TO IN D IV ID U A L A C C O U N T S (In Th ou sand s o! D o llars) November 1937 ALABAM A B irm ing ham ..................................... $ D o than ................................................ M ob ile................................................ M ontgom ery................................... F L O R ID A Ja ck so n ville..................................... M iam i.................................................. P e n sa co la ......................................... T a m p a ................................................ G E O R G IA A lb a n y ................................................ A tla n ta ................................................ A u g u sta ............................................. B ru n sw ic k ......................................... C o lu m b u s.......................................... Elb erto n ............................................ M aco n ................................................ N e w n a n .............................................. S a v a n n a h .......................................... V a ld o s ta ............................................ LO U IS IA N A New O r le a n s ................................... M ISSIS SIP P I H attiesb u rg ..................................... Ja ck so n .............................................. M e rid ia n ........................................... V ic k s b u rg ......................................... TEN N ESSEE C h a tta n o o g a .................................... K n o x v ille ............................................ N a sh v ille ........................................... O ctober 1937 November 1936 83,586 3,205 37,341 24,239 $ 93,967 3,718 42,610 24,771 $ 75,116 3,743 31,920 23,673 68,298 32,865 8,221 26,925 69,782 30,644 8,975 26,038 59,137 34,844 8,750 25,604 5,641 172,393 16,468 2,700 13,299 1,297 15,191 1,938 30,698 3,609 5,649 184,165 19,054 2,625 15,484 1,490 17,402 2,355 32,898 3,994 5,571 168,951 19,246 2,159 13,352 1,317 17,489 2,333 29,448 4,369 209,741 259,965 210,784 4,496 33,671 9,757 9,959 4,916 36,041 11,682 10,874 4,049 34,204 9,423 9,942 41,444 26,077 75,192 43,836 29,508 88,369 38,153 23,820 74,719 T O T A L 26 C I T I E S .....................$958,251____________ $1,070,812_____________ $932,116 were about 24.3 millions, or 16.4 per cent, greater than legal requirements. Daily average figures for the last half of No vember indicate an excess of about 20.4 millions, or 13.8 per cent, over legally required reserves. A griculture The last cotton estimate by the United States Department of Agriculture for the 1937 sea son, based on conditions on December 1, indicates a record crop of 18,746,000 bales in the United States, an increase of more than 51 per cent over the 1936 crop. Yield per acre is also reported to be the largest on record. Estimates for the six states of this District show an increase of 2,118,000 bales, or 39.5 per cent, over production last year. Produc tion in these six states is estimated to amount to about 40 per cent of the total for the United States, compared with about 43 per cent in 1936. The reduction in this proportion may be attributed to the large increases in production in C O T T O N P R O D U C T IO N — B a le s 1937 Estim ates Percent 1936 Percent D ec. 1 Nov. 1 C h a n g e Production C h a n g e A la b a m a ................................. 1,610,000 F lo r id a ................................... 40,000 G e o rg ia ...................................1,490,000 L o u i s i a n a . . . . . .....................1,080,000 M ississip p i.............................2,625,000 T e n n e sse e .............................. 640,000 Six S ta te s ...- .....................7,485,000 1,520,000 41,000 1,470,000 1,080,000 2,575,000 630,000 7,316,000 + 5.9 — 2.4 + 1.4 ... + 1.9 + 1.6 + 2.3 1,145,000 31,000 1,086,000 761,000 1,911,000 433,000 5,367,000 +40.6 + 29.0 +37.2 +41.9 +37.4 +47.8 +39.5 Texas, Arkansas and Oklahoma. December estimates for the six states of this District are compared in the table. Spot cotton prices at the ten designated markets averaged 7.84 cents in November, compared with 8.14 cents in Oc tober and with 12.06 cents in November 1936. Prices dur ing the first half of December have strengthened, and on De cember 17 the ten-market average was 8.22 cents. Reports by the Department of Agriculture indicate that foreign as well as domestic production this year is at record levels. Growers are pledging their cotton for Government loans in large volume. October receipts from the sale of principal farm products, with Government payments added, in the six states of this F ed er a l R eser v e D is t r ic t District, increased seasonally over September, reflecting the movement of crops, but were slightly less than in October 1936. For the ten months, January through October, total receipts were 18.7 per cent larger than in that part of 1936. Figures by states are shown in a table on page 3 of this Review. Sales of fertilizer tax tags increased substantially from October to November, particularly in Florida, and total sales in the six states were 23 per cent larger than in No vember last year. The unusually low temperatures early in December are re ported to have resulted in considerable damage to truck crops in Florida. In d u stry Contrary to seasonal tendency, both number of workers and the amount of a week’s payroll at 5,500 firms in the six states of this District reporting to the United States Bureau of Labor Statistics declined slightly from September to October. The October indexes were, how ever, higher than a year ago, except for Mississippi. An in crease from September to October of 6.9 per cent in Florida, because of increased employment in wholesale and retail trade and in cigar manufacturing, largely offset decreases in the other five states. A further decline in building activity is indicated in building permits issued at reporting cities and in contracts awarded in the District as a whole. The value of building permits issued in November declined 36.7 per cent compared with October and was less than for November of the past two years. Of the twenty reporting cities, only four reported increases over November last year, and seven reported in creases over October this year. For the eleven months of 1937, the total was 2.1 per cent less than for that part of 1936, but was larger than for that period in other years since 1929. Total value of contract awards in the District de clined 9.9 per cent in November and were 53.4 per cent less than in November 1936 and the smallest since March of that year. Increases in the value of contract awards in Alabama, Georgia and Mississippi from October to November were outweighed by decreases in Florida, Louisiana and Tennes see. Only in Louisiana and Mississippi were contracts greater than in November last year. For the eleven months period, increases are shown for Florida and Louisiana, but decreases are indicated for the other four states, compared with that part of 1936. Press reports indicate that produc tion of lumber is being held down to approximate the cur rent demand, and orders, shipments and production at Southern Pine mills are well below the level of correspond ing periods a year ago. Daily average consumption of cotton by mills in this Dis trict declined 6.7 per cent from October to November, and was 28.3 per cent less than a year ago. Total consumption in the four months of the current cotton season has been 16 per cent smaller than in that period a year earlier. Opera tions at cotton seed oil mills declined further in November, but continued greater than a year ago. Coal production in Alabama and Tennessee declined 6.5 per cent in November, but was about 2 per cent larger than in November 1936, and for the eleven months period shows an increase of 7.7 per cent over that part of last year. After increasing in October, daily average production of pig iron in Alabama declined 18.9 per cent in November and was slightly less than a year earlier. For the eleven months, however, total production has been 35.2 per cent greater than in that period last year. B u s in e s s C o n d it io n s in SIX T H D IS T R IC T B U SIN E SS S T A T IS T IC S ST O C K S S A L E S Jan.-Nov. Nov. 1937 Incl. Com pared Com pared Nov. 1937 Com pared W ith W ith W ith : Y e ar Ago Nov. 1936 _____________________________Oct. 1937 Nov. 1936 R E T A IL TR A D E A tla n ta ........................... — 11.6 Birm ingham .................. — 18.9 C h a tta n o o g a ............... — 14.6 M ontgom ery................. — 16.3 N a s h v i lle .................... — 14.9 New O rle a n s ................ —-4.5 O t h e r C it ie s .................. — 2.4 D IS T R IC T (49 F irm s). — 9.1 + 3.4 — 0.7 + 1.0 — 11.7 — 2.1 +8.7 + 2.4 + 2.9 — 0.5 + 7.0 W H O LESA LE TRAD E G ro c e rie s.......................— 12.1 Dry G o o d s.....................— 29.5 H a rd w a re .......... ...........— 15.0 Fu rn itu re ....................... — 25.4 D ru g s............................. +13.4 T O T A L (70 F irm s ). . . . — 14.6 + 2.4 — 24.2 + 4.5 — 34.6 +15.0 — 4.7 — + + + + + 8.8 + 11.1 + 10.8 t h e C o lle c tion Ratio Nov. 1937 27.4 33.6 32.5 + 11.8 + 6.8 + 19.2 28.4 33.6 31.7 30.8 + 7.6 + 9.6 + 2.8 + 11.0 + 13.5 + 6.8 69.2 34.8 42.3 42.5 62.3 46.5 + 2.5 2.7 19.2 1.7 14.0 13.6 + 0.6 + 34.5 + 16.8 + 13.1 C O M M ER C IA L FA IL U R E S — D IS T R IC T Number (A c tu a l) ........... 49 L ia b ilitie s ................................... $520 $ C O N T R A C T S A W A R D ED — D IS T R IC T ................................... $13,358 R e sid e n tial ................... 4,111 A ll O th e rs .................... 9,247 A la b a m a ..................... 1,227 4,655 F lo r id a ....................... G e o rg ia ...................... 3,081 3,186 L o u is ia n a ..................... M ississip p i ................... 2,618 T e n n e sse e .................... 2,224 B U ILD IN G PERM ITS— 20 C I T I E S ................................. $ A tla n ta ........................ Birm ingham ................. Ja ck so n ville ................. N a sh v ille ..................... New O r le a n s ................ 15 O ther C it ie s ............... Nov. 1937 R E T A IL S A L E S * U nadjusted D IS T R IC T (28 firm s)......................................... 35 263 $ R E T A IL S A LE S * Adjusted D IS T R IC T (28 firm s)....................................... Birm ingham ........................................................ C h a tta n o o g a ...................................................... N ew O r le a n s ...................................................... R E T A IL S T O C K S U nadjusted D IS T R IC T (24 firm s)....................................... 24 350 376 $ 3,313 $ 14,820 $ 28,639 $215,121 4,754 4,582 69,971 10,066 24,057 145,150 1,142 9,676 25,368 4,849 5,661 80,791 2,466 4,130 28,741 4,657 1,177 58,979 1,739 2,419 26,175 2,619 7,600 33,781 $ 270 3,938 $227,489 64,271 163,218 46,553 66,340 35,141 31,748 34,577 64,148 $ 60,761 4,252 2,063 4,890 7,506 4,171 37,880 105.4 192.7 103.8 81.8 81.7 90.6 109.6 186.7 117.2 82.4 89.9 94.3 86.5 143.6 85.1 139.7 83.7 67.8 73.3 72.3 135.9 102.2 105.2 108.5 ,, ., 98.4 92.2 118.8 M ississip p i.......................................................... , , T en n essee............................................................ 38.1 29.3 43.9 26.8 32.1 46.2 50.7 135.8 40.1 42.2 33.9 47.8 25.0 33.4 37.0 74.1 90.2 47.2 28.9 18.5 11.2 61.6 38.9 9.5 35.2 45.7 19.6 13.4 54.9 34.2 35.4 64.2 61.6 13.5 19.8 60.0 81.7 100.7 84.2 132.0 139.5 129.2 128.0 141.5 161.1 133.3 138.1 184.0 217.1 172.0 163.5 Oct. 1937 Sept. 1937 Oct. 1936 .. 150.5 .. 131.1 151.9 99.3 150.6 131.5 122.7 141.2 140.0 145.9 99.5 143.1 118.0 123.9 135.3 136.0 .. ... ... 234.1 88.1 193.5 161.2 160.7 181.9 185.1 236.9 85.2 195.5 160.6 163.5 183.9 186.2 208.2 80.9 178.1 138.4 165.2 169.5 165.4 276.6 372.0 250.4 564.7 122.0 213.9 288.7 316.9 370.3 244.3 622.9 135.9 207.2 304.5 266.0 347.2 290.2 316.6 252.5 560.9 123.9 194.4 283.9 341.9 219.7 CO N TR A C TS A W A R D ED — D IST R IC T R esid en tial.......................................................... B U ILD IN G PERM ITS— 20 C it ie s ..................... .. 1,050 478 11,454 4,815 10,563 4,545 Birm ingham ........................................................ .. Jackso nville........................................................ .. .. New O rle a n s ...................................................... 15 Other C it ie s .................................................. .. Aug. 1 to Nov. 30 Incl. 1937 1936 46 98 69 125 15 209 227 433 58 718 270 485 61 816 P IG IRO N PR O D U C TIO N — ALABAM A* C O TT O N CO N SU M PTIO N — 3 STA TES* 156 12 56 105 14 175 CO TTO N S EED CRU SH ED — T o n s * ........................................... 300 327 239 1,039 847 F E R T IL IZ E R T A G S A L E S — Tons 97 Total 6 S ta te s........................... 68 *G e o rg ia , A la b a m a , Lo u isia n a and M ississippi. 79 242 246 75.9 56.1 67.3 66.9 78.7 54.2 80.6 .. 1,160 487 Nov. 1936 75.6 111.1 89.4 60.2 W H O L E S A L E S A L E S (70 firm s)..................... 1,070 470 Oct. 1937 86.8 76.4 53.0 61.1 83.6 68.8 134.8 N ew O r le a n s ...................................................... 1,742 Nov. 1937 105.2 192.1 108.4 82.8 86.9 68.1 2,355 C O T T O N C O N SU M PTIO N — B a le s A la b a m a ................................... G e o rg ia ..................................... T e n n e sse e ................................. Total 3 S ta te s....................... ., .. 86.6 98.3 67.8 51.0 60.1 61.4 88.1 105.7 100.3 81.6 32.7 114.2 211.6 39.0 62.0 18.7 125.4 137.1 42.6 30.1 12.8 EM PLO YM EN T— (A v. for 1932«100) M ississip p i.......................................................... 119.9 205.6 121.4 91.9 99.1 103.3 222.2 76.7 124.1 76.1 60.5 64.9 65.7 193 220,979 75,626 150,425 150,366 7,900 134,221 739,517 383,678 355,839 130.4 206.2 116.2 90.8 93.1 107.8 77.9 127.1 77.0 Birm ingham ........................................................ C h a tta n o o g a ...................................................... 238 FA RM IN C O M E — S ix States .$119,410 29,048 A la b a m a ................................... 7,618 F lo r id a ..................................... 19,722 G e o rg ia ................................... 15,844 L o u is ia n a ................................. M ississip p i............................... . 32,260 14,918 T e n n e sse e ............................... Nov. 1936 N ew O rle a n s ...................................................... 187 Oct. 1937 Oct. 1937 120.1 Birm ingham ........................................................ C hattano og a...................................................... N ash v ille .............................................................. New O rle a n s ...................................................... R E T A IL S T O C K S Adjusted D IS T R IC T (24 firm s)....................................... (000 Omitted) E L E C T R IC P O W ER P R O D U C TIO N — kw H ours A la b a m a ................................... F lo rid a ..................................... G e o rg ia ................................... L o u isia n a ................................. M ississip p i............................... T en n essee............................... Total 6 S ta te s..................... By W ater P o w er................... By F u e ls ................................... . 3 D is t r ic t 72.4 Jan.-Nov. Incl. 1937 1936 3,257 $ 5,143 $ 4,790 $ 59,485 286 304 465 4,406 166 198 190 3,272 507 452 507 5,037 247 217 86 4,374 122 456 254 4,217 1,929 3,516 3,28738,176 P IG IRO N P R O D U C T IO N — Tons A la b a m a ................................... C O A L P R O D U C T IO N — Tons A la b a m a ................................... T e n n e sse e ................................. Nov. 1936 R eser v e Birm ingham ........................................................ C h a tta n o o g a ...................................................... (000 Omitted) Oct. 1937 Nov. 1937 F ed er a l SIX TH D IST R IC T BU SIN ESS IN D EX ES (1923-1925=100 except a s noted) + 25.9 + 9.9 + 7.8 S ix t h (000 Omitted) Sept. Oct. Jan.-O ct. Incl. 1937 1936 1937 1936 $ 86,115 14,980 3,184 18,119 13,865 26,072 9,895 $122,499 21,105 6,418 19,270 18,645 41,814 15,247 $629,829 102,695 105,971 114,822 80,051 124,679 101,611 $530,497 80,215 80,906 111,692 66,747 109,923 81,014 244,992 72,857 142,064 160,529 8,529 125,827 754,798 346,529 408,269 231,833 64,377 151,708 149,343 8,014 121,998 727,273 460,333 266,940 2,323,666 754,667 1,434,190 1,404,894 63,109 1,174,809 7,155,335 3,893,664 3,261,671 2,106,825 666,850 1,305,201 1,339,446 57,035 1,237,275 6,712,632 3,991,386 2,721,246 Six S ta te s........................................................ P A Y R O L LS— (Av. for 1932*100) M ississip p i.......................................................... . , .. Six S ta te s........................................................ .. E L E C T R IC P O W ER PR O D U C TIO N * .. M ississip p i.......................................................... .. T en n essee............................................................ . Six S ta te s........................................................ .. By W ater P o w e r........................................... By F u e ls .......................................................... cotton c o n su m p tio n a r e on a d a ily a v e r a g e b a s is . B u s in e s s 4 C o n d it io n s in t h e S ix t h INDUSTRIAL PRODUCTION F ed er a l R eser v e D is t r ic t N a t i o n a l S u m m a r y o f B u s in e s s C o n d itio n s P r e p a r e d b y the B o a r d o f G o v e r n o r s o f the F e d e r a l R e se rv e S y st e m N O V E M B E R , v o lu m e o f in d u s t r ia l p r o d u c t io n c o n t in u e d to d e c lin e s h a r p ly , a n d e m p lo y m e n t a n d p a y r o lls a ls o d e c r e a s e d . D u r i n g t h e f ir s t h a l f o f N o v e m b e r c o m m o d it y p r ic e s d e c lin e d f u r t h e r b u t f o r t h e p a s t m o n t h t h e y h a v e b e e n I N ste a d y . P r o d u c t io n In d e x o f p h y s ic a l v o lu m e o f p ro d u c tio n , a d ju ste d f o r sea s o n a l v a ria t io n , 1923-1925 a v e r a g e = 100. B y m on th s, J a n u a r y , 1929, to N o v e m b e r, 1937. FACTORY EMPLOYMENT AND PAYROLLS c o n t in u e d T o ta C orp o ra A w ard s t io n in In d e x e s o f n u m b e r em p lo ye d a n d p a y r o lls, w ith o u t a d ju s tm e n t f o r se a so n a l v a r ia tio n , 1923-1925 a v e ra g e = 100. B y m o n th s, J a n u a r y , 1929, to N o v e m b e r, 1937. In d e x e s co m pile d b y U . S . B u r e a u o f L a b o r S t a t ist ic s. a n d E m p l o y m e n t V o lu m e o f in d u s t r ia l o u tp u t , a s m e a s u r e d b y th e B o a r d ’s s e a s o n a lly a d j u s t e d in d e x , d e c lin e d f r o m 1 0 3 p e r c e n t o f th e 1 9 2 3 -1 9 2 5 a v e r a g e in O c t o b e r to 9 0 p e r c e n t in N o v e m b e r , r e fle c t in g c h ie fly a s h a r p r e d u c t io n in th e m a n u fa c t u r e o f d u r a b le g o o d s . T h e r e w a s a f u r t h e r c u r t a ilm e n t o f a c t iv it y a t s t e e l m ills a n d o u t p u t f o r t h e m o n t h w a s a t a r a t e o f 3 8 p e r c e n t o f c a p a c it y , a d e c lin e o f o n e - t h ir d f r o m O c t o b e r . I n t h e f ir s t t h r e e w e e k s o f D e c e m b e r s t e e l p r o d u c t io n w a s a t a b o u t 2 8 p e r c e n t o f c a p a c it y . O u t p u t o f lu m b e r a n d p la t e g la s s a ls o d e c lin e d s u b s t a n t ia lly in N o v e m b e r , a n d a u t o m o b ile p r o d u c t io n s h o w e d c o n s id e r a b ly le s s t h a n th e u s u a l s e a s o n a l in c re a s e . P r o d u c t io n o f n o n d u r a b le g o o d s , w h ic h h a d d e c re a s e d b y a s u b s t a n t ia l a m o u n t e a r lie r t h is y e a r , d e c lin e d f u r t h e r in N o v e m b e r , r e fle c t in g a c o n t in u e d r e d u c t io n in o u tp u t o f t e x t ile s a n d s h o e s , p a r t ly o ffs e t in th e t o t a l b y a n in c r e a s e in a c t iv it y a t s u g a r r e fin e r ie s . O u t p u t o f m in e r a ls , a s w e ll a s m a n u f a c t u r e s , d e c lin e d in N o v e m b e r . T h e r e w e re m a r k e d d e c re a s e s in o u tp u t o f b it u m in o u s c o a l a n d in ir o n o r e s h ip m e n t s , w h ile c r u d e p e t r o le u m p r o d u c t io n in la r g e v o lu m e . l v a lu e o f c o n s t r u c t io n c o n t r a c t s a w a r d e d , a s r e p o r t e d b y t h e F . W . D o d g e t io n , s h o w e d l it t l e c h a n g e in N o v e m b e r a n d t h e f ir s t h a l f o f D e c e m b e r . f o r p r iv a t e ly - f in a n c e d p r o j e c t s d e c lin e d , r e f le c t in g c h ie f ly a f u r t h e r r e d u c r e s id e n t ia l b u ild in g , w h ile c o n t r a c t s f o r p u b lic ly - f in a n c e d w o r k in c r e a s e d . E m p lo y m e n t a n d p a y r o lls a t f a c t o r ie s s h o w e d a n u n u s u a lly s h a r p d e c lin e b e tw e e n t h e m id d le o f O c t o b e r a n d th e m id d le o f N o v e m b e r , a n d th e r e w e re d e c re a s e s a ls o in t h e n u m b e r e m p lo y e d in t r a d e a n d o t h e r n o n m a n u f a c t u r in g lin e s . T h e B o a r d ’s s e a s o n a lly a d j u s t e d in d e x o f f a c t o r y e m p lo y m e n t w a s a t 9 4 p e r c e n t o f th e 1 9 2 3 -1 9 2 5 a v e ra g e in N o v e m b e r a s c o m p a r e d w it h a le v e l o f 1 0 2 la s t s u m m e r a n d 9 6 in N o v e m b e r la s t y e a r . I n t h e s t e e l, m a c h in e r y , lu m b e r , a n d t e x t ile in d u s t r ie s t h e n u m b e r e m p lo y e d d e c r e a s e d b y s u b s t a n t ia lly m o r e t h a n t h e u s u a l s e a s o n a l a m o u n t , a n d t h e r e w a s s o m e d e c lin e a t a u t o m o b ile f a c t o r ie s , a lt h o u g h a n in c r e a s e is u s u a l a t t h is s e a s o n . T h e r e w e r e d e c lin e s a ls o in t h e s e a s o n a lly a d j u s t e d in d e x e s f o r m o s t o t h e r lin e s , e x c e p t f o o d s a n d t o b a c c o w h ic h s h o w e d lit t le c h a n g e . WHOLESALE PRICES A g r ic u l t u r e D e p a r t m e n t o f A g r i c u lt u r e e s t im a t e s in d ic a t e t h a t m o s t c r o p s w i l l b e a b o u t t h e s a m e s iz e a s f o r e c a s t e a r lie r b u t t h a t c a s h f a r m in c o m e w ill b e lo w e r t h a n h a d b e e n a n t ic ip a t e d , la r g e ly b e c a u s e o f p r ic e d e c lin e s f o r c r o p s a n d liv e s t o c k . Cash i n c o m e i n 1 9 3 7 is e x p e c t e d t o b e $ 8 ,5 0 0 ,0 0 0 ,0 0 0 , a s c o m p a r e d w it h $ 7 ,9 1 8 ,0 0 0 ,0 0 0 in 1 9 3 6 . T h e in c r e a s e o v e r a y e a r a g o is d u e p r im a r ily to in c r e a s e d in c o m e f r o m m a r k e t in g s o f w h e a t, to b a c c o , a n d f r u its a n d to la r g e r G o v e r n m e n t p a y m e n ts . D is t r ib u t io n In d e x co m pile d b y the U n it e d S ta te s B u r e a u o f L a b o r S t a t ist ic s, 1926 = 100. B y m o n th s, 1929 to 1931; b y w eeks, 1932 to date. L a t e s t fig u r e i s f o r w eek e n d in g D ecem ber 18, 1937. MEMBER BANK CREDIT D is t r ib u t io d e c lin e d s lig h sto re s, a n d m s h o w e d lit t le in d ic a t e s t h a t a m o u n t. n o f c o m m o d it ie s to c o n s u m e r s , w h ic h e a r lie r h a d b e e n m a in t a in e d , t ly in N o v e m b e r . T h e r e w a s a s lig h t d e c lin e in s a le s a t d e p a r t m e n t a il o r d e r s a le s d e c r e a s e d c o n s id e r a b ly , w h ile s a le s a t v a r ie t y s t o r e s c h a n g e . P r e l i m i n a r y i n f o r m a t io n f o r t h e f ir s t h a l f o f D e c e m b e r d e p a r t m e n t s t o r e s a le s in c r e a s e d b y a p p r o x im a t e ly th e u s u a l s e a s o n a l C o m m o d it y B a n k E x c e s s re se rv e s o f m e m b e r b th r e e w e e k s o f D e c e m b e r r e m a in in d e m a n d f o r c u r r e n c y d u r in g D la r g e ly th e e ffe c ts o f th e re c e n t W e d n e s d a y fig u re s f o r r e p o r tin g m e m b e r b a n k s in 101 le a d in g cities, Sep te m b e r 5, 1934, to D e ce m b e r 15, 1937. P r ic e s T h e g e n e r a l le v e l o f w h o le s a le c o m m o d it y p r ic e s , w h ic h h a d d e c lin e d f r o m th e la t t e r p a r t o f S e p t e m b e r to th e t h ir d w e e k o f N o v e m b e r , h a s s h o w n lit t le c h a n g e s in c e t h a t t im e . P r ic e s o f n o n fe r r o u s m e t a ls , le a t h e r , w o o l, t e x t ile y a r n s , a n d f in is h e d c o t t o n g o o d s h a v e d e c lin e d s o m e w h a t f u r t h e r in t h is p e r io d , w h ile s t e e l s c r a p , h id e s , r u b b e r , c o t t o n , p r in t c lo t h s , a n d b it u m in o u s c o a l h a v e r e c e n t ly s h o w n som e advan ce. C r e d it a n ks show ed a sm ed som ew hat over ecem ber has been s h a r p d e c lin e in b a ll d e c lin e b u t f o r t h e f ir s t $ 1 ,0 0 0 ,0 0 0 ,0 0 0 . T h e i n c r e a s e s m a lle r t h a n u s u a l, r e fle c t in g u s in e s s a c t iv it y a n d p a y r o lls . T o t a l lo a n s a n d in v e s t m e n t s o f r e p o r t in g m e m b e r b a n k s in 1 0 1 le a d in g c it ie s in c r e a s e d s o m e w h a t d u r in g th e f o u r w e e k s e n d in g D e c e m b e r 1 5 , r e fle c t in g a g r o w th o f $ 1 9 0 ,0 0 0 ,0 0 0 in h o ld in g s o f U n it e d S t a t e s G o v e r n m e n t o b lig a t io n s , m o s t ly in N e w Y o r k C it y . A f a c t o r in th is in c r e a s e w a s th e p u r c h a s e b y b a n k s o f th e D e c e m b e r 1 5 is s u e s o f G o v e r n m e n t s e c u r it ie s . C o m m e r c ia l lo a n s , w h ic h h a d b e g u n to d e c lin e in O c t o b e r s h o w e d a f u r t h e r r e d u c t io n .
@FedFRASER