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The Monthly BUSINESS REVIEW Covering business and Industrial conditions in the Rurih Federal Reserve District FEDERAL RESERVE BANK of CLEVELAND (COMPILED DECEMBER 20, 1920) VOL. 2 CLEVELAND, OHIO. JANUARY 1, 1921 HE year 1920 has been one of surprising developments to many, and yet there is nothing in the record but what students of business conditions had expected. Events have follow ed one another in logical sequence; step by step a substan tial liquidation has taken place, and, because busi ness had foreseen the approaching storm and wisely furled its sails, the damage done, as compared with the good accomplished, has been surprisingly small. After all, the record of the year is merely one of history “ repeating itself.” Nothing has happened but what has heretofore occurred under similar con ditions, and what further developments take place may be expected to occur strictly according to rule, in the main. One important point that many apparently over look is that the present readjustment movement is not confined to our own borders— it is world-wide. What is taking place here is being gone through else where, although in some cases, due to lack o f prepa ration, the process has bi*en more painful, has worked greater hardships, and must necessarily mean a longer period o f convalescence. Japan, for instance, is in the throes of a severe depression; moratoria have been declared in Cuba and in some countries in South America; European nations are unable to arrange for even the payment of interest on national indebtedness. Commercial mortality is everywhere large, yet in the United States failures during 1920 have been less than the average for several years preceding the great war. Our resources are greater than they have ever been before; we have ample capital for all legitimate enterprises; energy, skill, and brains in abundance. The markets o f the world are open to us as never before; we are capable of commercial expansion to a degree not now dreamed o f ; the needs o f a rapidly increasing population must be supplied; our possi bilities, in fact, have never seemed greater. Back of all this we have a Gibralter in our tried and tested banking system, the policies o f which, while often unjustly condemned, are now bearing their fruit in a relative freedom from financial troubles when com pared with those of other nations. The application to our business situation of the ancient Chinese proverb that “ things are never as T No. 12 good nor as bad as the}1- seem” seems most appro priate at this time. Most of the things we expect never happen. W hile at no time is business entirely free from difficulties in greater or less degree, yet there is never a situation so gloomy that hopeful signs may not be discerned. Only last spring there was considerable apprehen sion of a shortage of food crops, but it did not materialize. On the contrary, we have produced one of the greatest agricultural yields in our history. During the summer and early fall months the voice of the calamity howler was heard predicting all sorts o f business disaster, but these prophecies have not been borne out by the facts. It was urged that the Federal Reserve B oard ’s policy o f undertaking to prevent further undue inflation of the currency and of credit would ruin our foreign trade, but figures just published show that for the month of October the money value of our exports reached the surpris ing total of $751,000,000—the largest amount since last March, and the third largest in the history of the nation. Exports, in terms of money value, for the first ten months of 1920, total $6,832,000,000 as against $6,499,000,000 in the corresponding period of 1919. W hen the economic history o f 1920 is written, no small credit will be given to the policies o f the Federal Reserve Board, which have been unswerv ingly adhered to in spite of criticism and vitupera tion from many powerful sources. W ithout fear or favor, the Board has consistently done that which, in its judgment, would result in the greatest good for the greatest number. The good effects that may be traced directly or indirectly to these policies may not now be apparent to many, but with time will come a realization that they have been founded on sound principles and that our future prosperity is assured by them. W e are still sailing the Sea of Readjustment. Some squalls have blown up, but the business ship has successfully weathered the storm thus far. The fact remains, however, that we are still on the sea and cannot leave the ship until we reach port. W e believe that land is in sight, and that within a reason able time we shall safely reach refuge in the harbor o f Stabilized Business. THE 2 MONTHLY BUSINESS REVIEW M oney Conditions Im prove; A cceptance M arket Som ewhat Quieter Money conditions appear to be more encouraging. Loans at some of the principal centers are being steadily reduced, but some banks report a very active demand from country correspondents. The demand for new loans is neither so keen nor so large as it has been in past months. The volume of rediscounts for other Federal Reserve banks shows a shrinkage of about $30,000,000 in the past thirty days. Loans to and rediscounts for member banks show no material change. In the early part o f the month the demand for bank and bankers’ acceptances was very active, and all the prime paper offered was absorbed very readi ly. When the demand showed no signs o f easing up, and the dealers’ portfolios became depleted, the offering rates o f discount were lowered ^ t h o f 1 per cent. As previously experienced a few months ago, orders immediately fell off, and the market became quiet, which resulted in the rates being raised again to their former basis. Banking institutions, which are still the determin ing factors in the rates, seem very insistent on at least a 6 per cent basis for prime 30 day bills, and in the present money market will divert their funds to other fields, unless this rate is given. The number of corporations and individuals purchasing accept ances is constantly growing, and has been the stabil izing factor in the market, as local demands on the banks have withdrawn their funds from the accept ance field. After the rates were lowered and again raised the former activity in demand did not return, and up until the 15th of this month the market remained quiet, caused by the announcement of the Treasury of another issue of certificates of indebtedness. How~ ever, since the 15th, the tendency of the market has improved, and another good month is expected. Dur ing this month the banks will receive state tax funds. The supply of bills has not improved over the pre vious month and the variety of prime bills is still quite limited, due to the general inactivity of busi ness. Price Reductions and Curtailm ent o f Output Characterize Iron and S teel Trade; Independent Mills Reduce Prices to Steel Corporation Levels A continuing fall in prices, curtailment of produc tion and the appearance of wage reductions have symbolized the advancement of the liquidation pro cess in the iron and steel industry during the past month. As a result the industry is closing the year in a condition that contrasts sharply with that pre vailing in December, 1919. At that time production and prices were rising and the producers were experiencing a constantly growing demand that resulted during the ensuing six months in a tremen dous accumulation of unfilled orders and in a large advance in the market. A number o f independent steel works now are down completely and this also applies to many merchant blast furnaces with which stocks o f pig iron have been accumulating. Many independent steel plants are continuing active at not over 50 to 60 per cent. The steel corporation plants, because o f their advantageous possession of a large order book at minimum prices which were entered in past months, have been able to show a much better record o f output than their competitors. The Car negie Steel Company has been operating at 90 per cent of capacity. New business, with the exception o f tubular goods, is in greatly reduced volume and all indications point to a much more protracted holi day cessation o f the works than usually is the case. The recent contraction of production is clearly set forth in the pig iron statistics for November com piled by The Iron Trade Review. At the end of November 256 furnaces were blowing, a loss of 34 stacks in the month and a loss of 62 stacks since September. This is the smallest number active since November, 1919. Many stacks since have joined the idle list. Total production in November was 2,925,576 tons, a loss o f 385,765 tons from October. Total coke pig iron production of the country in 1920 it is indi cated will be about 36,000,000 tons, compared with 30,549,930 tons in 1919, and 38,605,767 tons in 1918. Steel ingot production for the country in Novem- ber was rated at 38,190,000 tons per annum com pared with 41,970,000 tons in October and 43,410,000 tons in September. Steel ingot production for the year promises to be approximately 40,000,000 gross tons. The season’s iron ore movement from the Lake Superior ranges has been ended with a total approxi mating 60,100,000 tons. This compared with 48,812522 tons in 1919, and 62,836,172 tons in 1918. ’ On the price side the outstanding development of the month has been the disappearance of the wide spread which for almost a year past has separated the schedules of the independent steel producers from those of the steel corporation. The latter, with the exception of one line, has maintained the minimum price schedule recommended by the industrial board March 21, 1919. The leveling off of the market was precipitated by an announcement late in November by a leading Pittsburgh independent interest that it had reduced its prices on various lines to the basis quoted by the largest producer. This immediately set in motion a wide price readjustment movement and reductions of $5.00 to $15.00 a ton were an nounced in virtually all finished materials. This settling process has continued throughout the past several weeks and the market now has become more stabilized at the minimum level. The declining movement in pig iron inaugurated in October has been continuing. Further reductions during the past month have amounted to $5.00 or more. A t the pres ent time the market in the Mahoning and Shenaneo valleys and in the Cleveland district is from $10.00 to $15.00 below the peak position in October. The relative position of the present market is shown by the composite market average of fifteen leading iron and steel products compiled by The Iron Trade Review. This stood at $53.57 December 15 compared with $54.24 December 8, $63.75 in Novem’ ber, 1920, $68.86 in September, 1920, $55.20 in Decem ber, 1919, and $23.37 in December, 1913. THE MONTHLY BUSINESS REVIEW 8 Transportation Conditions Continue to Im prove; Forces Normal; Car Supply Adequate There is every reason to believe that the railroads are steadily increasing in efficiency, and in this they have been aided by the mild weather experienced so far this winter. W hile the volume of traffic moved shows a decrease from that of a few months past, it is still somewhat in excess of the slowest period o f 1919. For the most part, railroad forces are normal; some reductions have been made at some points, but the supply is generally adequate and somewhat more efficient. Car supply appears to be equal to the demand. M anufacturing Slowing Down in Practically all Lines; Im provem ent Shown in Inquiries for Future Shipm ents There is very little encouragement in the letters we have received from manufacturing correspond ents this month. The feeling seems to prevail that while the potential buying power is great, a marked uncertainty with respect to the future course of prices is resulting in very few actual orders being placed. There is, however, considerable investigation and some inquiries for Spring deliveries are being made, which offer some little encouragement. In other lines absolutely bed-rock prices have occasioned no demand whatever. It seems as though consumers are not so largely interested in prices as the public has been led to believe. In the motor car industry very little change is noted and most producers are operating on a very much reduced schedule. In one or two sections of the country there has been a decided improvement in retail buying, but elsewhere the situation remains unchanged. One of the largest motor truck producers in the District estimates that the volume of output in that line does not exceed 15 per cent of capacity. In the automobile body line are reflected conditions in other branches o f the motor industry. Consumers are quite uniformly waiting, rather than placing definite orders. The output of castings in the District has been very materially reduced, in some cases as much as 50 per cent. Business in the hardware manufacturing line is practically at a standstill. The greater part of manu factured goods is being put into stock until such time as demand increases. The implement business is said to be practically normal, though South American shipments have been largely completed and operations are being carried on in anticipation of Spring business. There are plenty of orders on hand, but some manufacturers fear that shipments may be held up. Tool manufacturers report a smaller volume of business than at any time since 1914. It is stated that from present indications this is likely to continue throughout December. Manufacturers of molding machines for foundry use state that business is practically dead. One manu facturer reports that gross business booked for Nov ember was only about 15 per cent of average book ings for the first ten months o f the year and they were obliged to accept cancellation of about twothirds of that amount. Inquiries are active. Conditions in the rubber tire industry have shown no material change. It was one of the first to be hit in the present recession. Most manufacturers have reduced their working forces to the limit and are running on an average at a low production basis. In the last few years rubber manufacturers have run at capacity during the winter months and have shipped their goods out to dealers on Spring datings. In other words the Spring dating plan has enabled manufacturers to balance their production. This year dealers are not accepting' this plan for two reasons; first, they are somewhat heavily stocked at the present time, and the other is lack of confidence in the trend o f prices. The pottery industry continues to run at top speed, though cancellations are becoming more numerous. Most plants, however, are booked so far in advance that these cancellations do not affect on the general situation. In the glass industry conditions are said to have reached their worst stage. Orders continue to fall off in the box-board manu facturing line and collections are reported slower than ever. Quite a number of mills prefer to elose down rather than to operate at a loss, and those that are in operation are soliciting business at the present prices simply to reduce the surplus amount o f raw stock and convert it into cash. An active inquiry for goods is noted in the paint line, and some further price reductions have been made. Paint manufacturers in common with others have suffered some losses by reason of large stocks of raw materials, some of which have declined quite sharply in value during the past few months. R edaction in W inter W heat A creage; Corn is H urt by Warm W eather; Pork Prices Decline According to figures, compiled by the Ohio Depart ment of Agriculture, there has been a decrease of about 223,000 acres (9 per cent) in the acreage seeded to winter wheat during the past fall season. The crop went into the ground late, partly in order to escape the Hessian fly and partly on account of delay in getting the corn crop out of the way. Reports indicate that the plants are small and weak, although some improvement has been shown during the month of December. 4 THE MONTHLY BUSINESS Fall plowing was but 52 per cent completed on December first, by reason largely of the delay in harvesting the corn crop, and the scarcity of help at reasonable wages. It is estimated that less than one-half of the corn crop had been husked on December 1, and the warm, moist weather during the early part of the month has injured the quality to some extent. REVIEW The opening price of tobacco in some of the markets of the Fourth District has proved to be quite a disappointment to the grower, and not a great deal of the crop is being sold. The price of pork continues to decline, and farmers holding large quantities of corn are holding off the sale of their pigs. Wage Reductions Feature o f Textile Trade; Liquidation Continues in G arm ent Industry; Retail Trade Slightly O ff Readjustment continues in the textile trade. Manu facturers have announced a 22*^ per cent reduction in wages to go into effect on December 20, and cover ing many important textile interests, both cotton and worsted, all over the United States. There has been no noticeable change in conditions during the past m onth; in fact, if anything, they are not quite so good. The trade is suffering from lack o f demand, and a further lowering of prices does not seem to stimulate any considerable amount of purchasing. In the garment making industry, liquidation con tinues unabated. The unseasonable weather has added another element of disturbance to the already seriously unsettled condition, and has perhaps con tributed more than is generally realized to the diffi- culties already confronting this industry. This is shown by the immediate response which the buying public gives to a fall in temperature. The continued cut-price sales by retailers have stimulated considerable buying, and should this con tinue for a much longer period surplus stocks should be fairly well absorbed. Throughout the District, the volume of holiday trade does not measure up to that of last year, although Cleveland, Cincinnati and Columbus do not appear to be so hard hit as those cities which are dependent more upon single industries. One large department store in the District reports that when ever it is able to buy upon a basis that will permit sales at or near pre-war prices, the result is “ immediate and satisfactory.” Building Industry Continues Stagnant; Material Prices Show Slight Declines The building industry is at low ebb, by reason of the usual seasonal slackening of operations, aggra vated by a hesitating attitude o f the public, attri buted to high prices and other deterrent causes. Builders are hopefully anticipating that early in the new year many projects now being held back will come to the front, giving a more encouraging aspect to the situation. A slight recession in the prices of materials and a better attitude o f labor in the skilled lines are hopeful signs. Declines in cement prices have been announced by nearly all principal manufacturers and plenty of thin product is available at the lowered prices. Special Report on Paint Industry W hen the Allies were confronted with the tre mendous problem of how to get war supplies to Europe in the teeth of the German submarine warfare, part o f the difficulties was solved by comouflaging the transports and war vessels in such a manner as to make it difficult for the eye of the roving submarine to distinguish them. By clever colorations, the roofs of buildings were concealed from the view o f hostile aviators and the lives of thousands of wounded troops, confined in hospitals, were saved. The clumsy army tanks as they crawled over ‘ ‘ No-Man ’s-Land, ’ ’ nosing their way in and out of the shell-holes, depended on their weird streaks of coloring to protect them from the sharp eyes of the German gunners. Heavy artillery and light field pieces were camouflaged to blend with the landscape and were hauled to the front by tractors and trucks painted in the same manner. All through the great war, paint played an important role. It also holds a prominent place in the march of industry. When our giant bridges and buildings show signs of rust or decay, they are given a fresh coat of paint and rend ered practically immune to weather conditions. Modern machinery, exposed to the wear and tear of every day use, must be painted frequently. Our homes are decorated with paint and varnish. In fact the use of paints and varnishes for commercial and decorative purposes has developed to such an extent that an unpainted building or a piece of rusted machinery is a sign that its owner has failed to keep in step with the times. The manufacture of mixed paints is essentially American. Some enterprising New Englanders hap pened to notice that when a linseed oil paint was mixed with a solution of silicate o f soda, a mixture was formed which showed little tendency to settle or harden in the package. Several persons lay r.ltniw to this discovery and from it has evolved our great mixed paint industry. The first mixed paint was marketed in small packages for home consumption and appeared about 1865. From that time this indus try has steadily grown until now our great paint factories have branches in many of the countries of the world. The paint industry is such a large one and branches out into so many different lines that to describe them all would require volumes. Few of us realize what an important place it holds. W e step into an office, THE MONTHLY BUSINESS where the woodwork is decorated with various shades of paint. The office furniture is varnished and stained, the wall paper requires a special brand of coloring to give it the proper tints. The rugs on the floor are dyed in rich colors, while with the literature on the desks and the pictures on the walls, coloring plays an important part. Even the little postage stamp requires its own special color. While the various colors, which we are so accustomed to seeing every day, are not in direct line with the paint indus try, they are manufactured by some of the largest paint concerns in the world. The modern methods of making mixed paints are divided into two classes, which depend on the speci fic gravity and fineness of the raw material. One of the methods employed is to mix the raw material with sufficient linseed oil to form a very heavy paste and add the proper tinting material during the mix ing process. After the paste is thoroughly mixed, it is fed through spouts to mills on the floor below, where the mixture is ground. The grinding process is a very interesting one, and upon it depends to a great extent the quality of the paint produced. The paste is ground between two flat stones, one of which is stationary. These stones are of a very hard and fine texture and are mined for the most part in West Virginia. When they are received at the factory they much resemble a grind stone. The preparation of these stones for grinding requires special skill. Small grooves are chipped in the rock, quite shallow near the edge and gradually deepening as they near the center, and upon the angle and depth of these grooves depend the success of the grinding operation. There does not seem to be any hard-and-fast rule to follow in the method of chipping out these grooves, but this knowledge is handed down from one generation to another. Men have been known to spend most of their lives at this kind of work and then teach the trade to their sons. Not so many years ago paint mills were made of iron or steel instead of stone, but in modern practice mills of this type have been abandoned. They would do fairly good work when sharp, but the paint materials to be ground were so much harder than the iron or steel that the mills would soon become dulled. Another objection to this method was that small particles of the metal would be ground off and this would more or less affect the delicate coloring. Another method for making mixed paints is to add the ingredients for proper tinting after the mixture has been ground. After passing through the various machines for mixing and grinding, the fluid is discharged into large tanks where it is kept in continual circulation by means of slowly revolving paddles, which prevent any of the heavier ingredients from settling to the bottom. From these tanks it is strained and filled into tin cans, barrels and steel drums. A large amount of paint is shipped to the consumer in drums. These will stand quite a number of trips before they are unfit for use, they can be filled quickly, and are more satisfactory than wooden barrels. After the drums are returned to the factory, they are thor oughly cleaned and inspected for any defects. When the paint is put into tin cans, automatic machines REVIEW 5 are used, which deposit a fixed amount into the cans as they pass iUider the spout in an endless row. The loose lids are then pressed in by machinery, after which the cans are labeled and crated for shipment. One of the surprising features in paint manufac ture is the small amount of finished product held in storage by the large manufacturers. The manufac turer handles much of his product through branch warehousemen, who keep in close touch with the retailer and consumer. By this method they are able to place their orders in advance, the manufacturer can work on them during that season of the year which would ordinarily be slow, and in this way con gestion and overstocked warehouses are avoided. Among the most important ingredients that are used in the manufacture of paints are pigments, various forms of zincs and leads and vegetable oils. Pigments from which the various colors are made are found in natural mineral form or they may be manu factured from ores in which process zinc oxide is used to a great extent. Pigments are also manu factured from chemicals. The most important vege table oils are linseed and Chinawood which is also known as tung oil. Linseed oil is the most valuable in paint manufacture, and so far no satisfactory substitute has been discovered. Chinawood oil, which is very valuable on account of its drying qualities, is pressed from the nuts of a certain tree which, as its name implies, grows in China. For a long time the methods of securing this oil were very crude, but as it increased in value, owing to the immense amounts used in paint manufacture, these methods have been improved. During the past few years the use of varnishes and stains has increased at a surprising rate of speed. In some of our large factories, the making of varnish bids fair to rival the paint end of the industry. Its use has become popular, because it gives a hard, smooth finish to the paint and also prevents the entrance of any moisture. Varnish is manufactured from a fossil gum which is obtained from the Malay Peninsula and from islands in the south seas. This gum is formed from parts of trees which have fallen and become buried by the accumulation of dying vegetation. A kind of petrification takes place and the gum becomes quite hard. Small insects and various forms of animal life have been found imbed ded in the gum, and after hundreds of years are in a perfect state of preservation. The gum is mined by the natives and the work is all done by hand. In the manufacturing process the gum is first heated in brass kettles over coke fires. This work requires skilled labor and great care must be taken to have the melted gum at the proper temperature when the oils are added. It must be sufficiently warm to keep the gum in a complete state of liquidation, and not hot enough to burn the oils when they are added to the mixture. After the gum is melted it is filtered through several plies of canvas cloth to remove all foreign substances and then pumped to storage tanks. Another method of filtration is used, which much resembles our modern cream separators, but this method is much slower and more costly than the former. Shellac, a form of varnish which is in general use, THE 6 MONTHLY BUSINESS is popular because o f the fine hard coating susceptible of a high polish which it gives 'when dry. It is manufactured from a gum-like substance which oozes from trees that are found in northern India, China and Japan. This is caused by the sting o f an insect. The collection o f this gum has been commer cialized to such an extent that the insects are moved from one section of the country to another. Small branches, where these little insects are quite numer ous, are cut from the trees and attached to trees where the insects have not yet begun their work, and in this way they are scattered over a wide territory. The manufacture of insecticides, while not in direct line with the paint industry, is carried on by many of our leading paint manufacturers. Paris green is one of the most common. A t one time it was used as a pigment or coloring for wall paper, but on account of its poisonous nature, this practice has been largely discontinued. The manufacture o f paris green is dangerous. The men work with gauze bandages over their faces, and they are examined frequently by a doctor for any ill effects of the poison. The farmer is coming to depend more and more on the use of insecticides to protect his crops against the ravages of disease and harmful insects. They have been known to order car loads o f insecticides to be shipped almost across the United States by express rather than wait for shipment by freight. On account of REVIEW these rush orders, the manufacturer must keep a large supply of stock on hand. This industry has been making rapid strides during the past few years and has almost unlimited possibilities for the future. This paint industry might be called a barometer of business conditions. When the mills and factories throughout the country are running full capacity their business reacts on the paint industry. A large percentage of manufactured products requires a coating of paint and varnish to add the finishing touches; thus when the march of industry is in full swing, paint manufacturers must speed up to keep in step. On the other hand it is said that when labor conditions are poor the working man will improve his time by going to the store, buying a can of paint or varnish and shine up that building he has neglect ed for so long, or perhaps give the old rocking chair a new coat of varnish. And after all it is the small consumer on which the paint manufacturers depend rather than the great industries. Cleveland is said by some to be the greatest center of the paint industry in the world, while others say that Chicago has this honor. This industry has made rapid advancement and the prospects for the future are even brighter. W hile the paint industry has slowed up a little at present, the manufacturers look for a speedy return to normal conditions and predict the coming year will be a banner one. M ovem ent o f Liveatock at Principal Centers in Fourth District For M onth o f November, 1920 Hogs Cattle 1920 1919 1920 Sheep 1919 1920 1919 Calves 1920 1919 Can Unloaded 1920 1018 Cincinnati............ ........ 30,083 Pittsburgh........... ........ 47,555 28,474 154,443 152,275 14,600 10,244 7,991 7,488 2,489 2,565 41,597 260,193 203,453 73,932 64,411 27,777 18,943 5,311 4,408 Cleveland............ ..........10,849 Toledo.................. .......... 1,480 10,804 77,445 101,213 38,508 49,255 9,634 9,056 1,629 1,952 1,021 15,266 19,171 3,364 2,889 1,292 611 2,605 2,143 12,378 11,024 716 407 648 464 604 497 1,564 1,859 520 382 910 749 268 Fostoria D ayton................ .......... Wheeling............. .......... 6.000 500 Springfield........... 1,000 250 10 Purchases for Local Slaughter Cincinnati........... .......... 20,044 Pittsburgh......... .......... 6,276 Cleveland.......... .......... Toledo................ .......... ’R'nat.nria 9,695 746 16,764 70,867 75,339 7,925 7,311 5,112 4,629 3,149 44,388 8,209 12,220 4,983 6,826 2,477 9,271 51,163 89,075 21,076 24,164 9,355 9,001 7,359 . W hpplincr ........................................................................................... Springfield......... 500 720 THE MONTHLY BUSINESS REVIEW 7 D epartm ent Store Sales Pgh. Other Cities Cleve. District Percentage increase of net sales during November, 1920, over net sales during same month last year................................................. 31.9 21.4 16.9 26.0 Percentage increase of net sales from July 1, 1920, to Novem ber 30, 1920, over net sales during same period last year................. 27.5 22.9 20.0 24.9 Percentage increase of stocks at close of November, 1920, over stocks at close of same month last year............................................... 23.5 21.9 20.6 22.6 Percentage increase of stocks at close of November, 1920, over stocks at close of October, 1920............................................................. — 4.4 — 9.1 — 6 .9 — 6.4 Percentage of average stocks at close of each month this season (commencing with July 1, 1920) to average monthly net sales during the same period................................................................... 403.9 478.0 577.7 452.9 Percentage of outstanding orders (cost) at close of November, 1920, to total purchase (cost) during the calendar year 1919.......... 6.4 5.5 5 .0 5.9 Wholesale Trade Dry Goods. .. Increase (or de crease) in Sales during June, 1920, over same month last year. Percent Increase (or de crease) in Sales during July, 1920, over same month last year. Percent Increase (or de crease) in Sales during Aug., 1920, over same month last year. Percent 11.5 16.0 10.0 Increase (or de Increase (or de crease) in Sales crease) in Sales during Sept., 1920, during Oct., 1920, over same month over same month last year. last year. Percent Percent Increase (or de crease) in Sales during Nov., 1920, over same month last year. Percent — 27.5 — 4 .2 Groceries....... 47.8 20.6 1.0 23.8 — 10.8 — 3 .8 Hardware 37.2 24.7 21.5 12.4 2.0 16.7 Drugs............. 53.4 29.6 11.1 31.1 45.8 Building Operations for M on th o f Novem ber Permits Issued New Construction Alterations 1920 1919 1920 1919 Akron 150 392 24 60 Cincinnati Valuations New Construction Alterations 1920 1919 1920 1919 258,886 3,042,030 9,775 35,425 Inc. or Dec. of Percent of Total Valuation Inc. or Dec — 2,806,794 — 91.2 — — 43.4 146 212 389 449 489,175 1,048,635 244,385 248,560 Cleveland 156 269 681 563 1,900,600 3,039,800 501,500 455,200 — 1,092,900 — 31.3 Columbus 130 181 72 73 250,780 400,675 52,665 128,780 — — 42.7 Dayton 85 102 26 29 372,994 354,518 17,377 9,351 26,502 7 .3 Erie 55 66 22 21 188,100 175,900 46,125 29,568 28,757 13.9 8 20 36 46 70,000 102,000 8,210 42,870 — 66,660 — 46.0 141 283 53 50 709,339 1,713,691 159,830 96,180 — 940,702 — 51.9 Lexington Pittsburgh 563,635 226,010 30 15 8 10 52,785 112,710 2,855 7,450 — 64,520 — 53.7 116 139 113 84 236,880 645,410 89,725 103,250 — 422,055 — 56.4 Wheeling 20 22 8 12 40,800 15,260 2,050 1,880 25,710 150.0 Youngstown 75 89 18 18 182,190 228,765 14,000 11,650 — 44,225 — 18.4 Total 1,112 1,790 1,450 1,415 — 6,148,532 — 51.0 Springfield Toledo 4,752,529 10,879,394 1,148,497 11,701,164 THE 8 MONTHLY BUSINESS REVIEW Clearings November 16 to December 15 1919 1920 Increase or Decrease Percent of Inc. or Dec. .................. .................. ................ ................ ................ .................. .............. .................. .................. ................ .................. 37,667,000 278,501,069 528,658,091 60,619,100 17,579,233 11,284,886 6,857,828 5,730,304 797,726,949 5,972,654 64,377,952 24,242,953 18,523,870 43,565,000 271,406,958 489,508,816 58,216,900 19,901,312 9,607,060 5,106,440 10,447,000 640,248,499 6,939,531 72,928,000 26,927,086 16,754,936 — 5,898,000 7,094,111 39,149,275 2,402,200 — 2,322,079 1,677,826 1,751,388 — 4,716,696 157,478,450 — 966,877 — 8,550,048 — 2,684,133 1,768,934 — 13.5 2 .6 7 .9 4 .1 — 11.7 17.5 34.3 — 45.1 24 .6 — 13.9 — 11.7 — 9 .9 10.6 T ota l................................ .................. 1,857,741,889 1,671,557,538 186,184,351 11.1 Akron................................... Cincinnati............................ Cleveland............................ Columbus............................ D ayton ................................ Erie...................................... Greensburg.......................... Lexington............................ Pittsburgh........................... Springfield........................... Toledo.................................. Wheeling.............................. Youngstown........................ Total D ebits by Banks to Individual Accounts Week Ending Dec. 15, 1920 Week Ending Dec. 17, 1919 Akron. Cincinnati... Cleveland. . Columbus.. . D ayton ........ E rie.............. Greensburg.. Lexington. . . Oil C ity........ Pittsburgh. . Springfield. . Toledo.......... W heeling... . Youngstown. 17,648,000 71,323,000 174,879,000 34,323,000 7,572,000 8,138,000 6,128,000 4,575,000 4,891,000 234,825,000 3,909,000 28,532,000 11,710,000 15,773,000 27,320,000 83,193,000 203,261,000 32,736,000 12,756,000 8,187,000 5,693,000 11,876,000 3,992,000 189,718,000 3,947,000 34,795,000 8,848,000 13,671,000 — 9,672,000 — 11,870,000 — 28,382,000 1,587,000 — 5,184,000 — 49,000 235,000 — 7,301,000 899,000 45,107,000 — 38,000 — 6,263,000 2,862,000 2,102,000 Percent of Inc. or Dec. — 35.4 — 14.3 — 13.9 4 .8 — 40.7 — .6 3 .9 — 61.5 22.5 23 .8 — .9 — 17.9 32.3 15.4 T ota l........ 624,226,000 640,193,000 — 15,967,000 — 2 .5 Increase or Decrease Comparative S tatem en t o f 92 Selected M em ber Banks in Fourth District (In Thousands of Dollars) Dec. 10, 1920 U. S. Bonds to secure circulation................................................ Other U. S. Bonds including Liberty Bonds U. S. Victory N otes....................................................................... U. S. Certificates of Indebtedness............................................... Total U. S. Securities owned..........................; ....................... Loans secured by U. S. Government war obligations. . . . . . . . Loans secured by stocks and bonds other than U. S. securities All other loans and investments.................................................. Reserve balance with Federal Reserve bank............................. Cash in V ault....................... .......................................................... Net demand deposits on which reserve is computed............... Time deposits on which reserve is com puted............................ Government deposits..................................................................... 42,464 62,152 *0,165 13,256 138,037 59,081 332,317 927,570 100,159 33,810 927,626 387,469 2,4 <9 Total resources at date of this report..................................... 1,902,090 Nov. 12, 1920 42,428 60,967 19,217 12,111 134,723 60,216 329,013 937,825 101,398 35,859 947,750 385,045 9,474 1,919,584 Inc. 36 1,185 948 1,145 3,314 Dec. 1,135 3,304 10,255 1,239 2,049 20,124 2,424 6,995 17,494
@FedFRASER