The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
•
THE MO NT HLY REVIEW
Of Agricultural, Industrial, Trade and Financial
Conditions in the Tenth Federal Reserve District
FEDERAL
RESERVE
BANK
OF
KANSAS
CI TY
M . L. McCLURE, Chairman and Federal Reserve Agent
A. M. McADAMS, Assistant Federal Reserve Agent and Secretary
Vol.
12
KANSAS
CITY, Mo., AucusT
O DITIONS for farm production in the Tenth Federal
Reserve District improved materially in recent weeks
under seasonable summer temperatures, sunshine for the
harvesting of small grains and rains for the growing crops. MidJuly reports indicated the Government's forecasts as of the
condition on the first day of the month had been fully sustained
and prospects were for large and well-balanced farm production
for the District as a whole.
With the major part of the winter wheat area already
harvested, the July estimate for the District was for a crop of
around 256 million bushels, about 26½ million bushels less than
the bumper crop of 1926 and 104_½' million bushels greater than
the crop harvested in 1925.
The July corn prospect was for around 388 million bushels, or
79½ million bushels more corn than was produced in the
District in 1926. There were promises of larger crops of spring
wheat, oats, barley, rye, potatoes and hay than were harvested
in 1926. With the cotton area greatly reduced a smaller crop
was indicated. Crops of fruit generally were smaller than those
of the preceding year.
Ranges and pastures throughout the District showed the best
summer condition for several years, and the position of the
livestock industry improved. Cattle advanced in price to new
high levels for recent years. Sheep prices were a little lower
than a year ago, but on sound basis. Fat hogs, after touching
the low point of the year, rose steadily and at the middle of
July were firm at around J10 per hundred weight, but still below
last year's J uly level.
C
HEAVY and sustained volume of business in the Tenth
Federal Reserve District during June and the first six
months of the current year was reflected by reports
to the Monthly Review from the various branches of industry
and lines of trade. Measured by payments by check at banks in
twenty-nine cities, the June volume stood I. 1 per cent below
that for the corresponding month last year, while the aggregate
for the half-year was greater by 3.3 per cent than that.for the like
period in 1926, which was considered the peak year for business
in this District. Irregularities in · industrial and trade activity,
pointed out in previous issues of this publication, still were
present at the opening of the second half of the year, and
conditions in some sections were less favorable than in others.
Distribution of merchandise by wholesalers to retailers, and
by retailers t o consumers, as indicated by their reports of sales
in doll ars, was smaller in June but larger in the half-year than in
the corresponding month and six months of 1926. The implement
trade increased and the retail lumber trade decreased.
A
1, 1927
No. 8
BUSINESS IN THE TENTH FEDERAL RESERVE DISTRICT
Percentages of Increase or Decrease.
June, I927 June, 1927 6 Mos. 1927
Compared to Compared to Compared to
May, I927 June, I926 6 Mos, I926
2.8
- I.I
3.3
Bank debits, 29 cities..............................
Reserve bank clearings, Amt.................
4. I
I .7
3. 2
Itemshandled.. ....................................
3.4
-3.0
-I.3
Bus~ne~~ ~ailures, number......................
19.4
48.2
15 .2.
L1abtl1t1es.............. _ _ _ _
-17.2.
99 . 7
48.4
TradeDepartment store sale.,___ _ __
I. I
- 2. .0
- 3.5
Wholesalers sales, 6 lines....................
- 0.3
0.4
0.9
Lumber sales, retail.. ...... _ _ __
-6.2.
-2.2..5
-l9.9
Market receipts8.2.
-34.2.
Wheat........................- - - 37.4
Corn ......................................................
50.2.
- 9.8
69.4
-2I . I
-46.6
Oats·--·······- - - -···················· - 2.9
Cattle ................ _ __ __
r.8
-10.3
-I9.9
Calves ....................................................
0.7
- 4.2
3-5
Hogs ...................................................... - 3.6
5.0
6.3
-2..7
- 6.2.
Sheep..·-················································· - 5-5
- 0.1
-12 .7
Horses and mules ......- - - 25.7
ProductionI2..2
2.2.7
Flour ························ - - - - - - r.5
38.8
35 .5
Crude oiL_························- - - - - 2..5
Soft coal _ _ __
I.O
9.0
- 8.9
-12.3
4.0
Cement.................................................. - 1.6
6.8
Face brick. ___ .......................................
10.6
8.3
-20.5
Zinc ore shipments .............................. -IO.I
-44 .3
-13.8
-47 . 6
Lead ore shipments·--························· -4 1 . 5
Meat packing-10.6
- 1.4
Cattle .................................................... -IO.I
- 6.3
- 0.7
6.9
Calves----································
10.0
Hogs .............. _ _ _ __
6 .o
- 3 .3
- 6.1
5 .3
Sheep..·-················································· - 6 .4
Construction2.1 .0
- 1.6
-18.3
Building contracts, value, district ....
- 2..2
20.5
4.2
Building permits, 19 cities·-···············
-10.5
Value of permits ................................. .
7.0
9 -4
Receipts of wheat at Tenth District markets made a new high
record for the half-year period. Though the June market supply
of meat animals, except hogs, was smaller than for the same
month last year, market runs of cattle and hogs during the
half-year were larger than for the like period in 1926.
Production of crude petroleum again led all other industries in
the District in percentage of increase. An output of 952,100
barrels per day during the thirty days of June, and 162,639,000
barrels gross production for the half-year, were peak records for
a month and six months. The output of soft coal was larger in
June than in May but smaller than a year ago, while the tonnage
mined in the first six months of the year was larger than that
for the first six months of 1926. The zinc and lead industry,
This Copy Released For P \lPli~~tion In Morning Newspaper July 29.
THE MONTHLY REVIEW
BANK DEBITS IN TENTH DISTRICT CITIES
FouR WEEKS ENDING
TwENTY-Srx
Per Cent
June 29,
June 30,
June 29,
Albuquerque, New Mexico..................
Atchison, Kansas ..................................
Bartlesvi1ie, Oklahoma ........................
Casper, Wyoming ................................
Cheyenne, Wyoming............................
Colorado Springs, Colorado ................
Denver, Colorado.-··-···························
Enid, Oklahoma._.................................
Fremont, Nebraska..............................
Grand Junction, Colorado ..................
Guthrie, Oklahoma ..............................
Hut::hinson, Kansas·----·····················
Independence, Kansas·---···················
Joplin, Missouri ....................................
Kansas City, Kansas.-.........................
Kansas City, Missouri·--·····················
Lawrence, Kansas ............................... .
Lincoln, Nebraska ............................... .
Muskogee, Oklahoma ......................... .
Oklahoma City, Oklahoma ..................
Okmulgee, Oklahoma ......................... .
Omaha, Nebraska .. ............................. .
Parsons, Kansas·-·································
Pittsburg, Kansas_ ..............................
Pueblo, Colorado. __ ·····························
St. Joseph, Missouri .. ..........................
Topeka, Kansas ................................... .
Tulsa, Oklahoma ................................. .
Wichita, Kansas ..................................
1927
'f,
10,583,000
5,862,000
26,855,000
9,079,000
5,666,000
13,506,000
157,165,000
14,823,000
3,740,000
2,970,000
3,184,000
13,55'.2,ooo
9,343 ,ooo
13 ,687,000
18,359,000
343,982,000
4,784,000
29,737,000
10,381,000
100,145,000
8,659,000
181,986,000
3,526,000
5,434,ooo
18,829,000
52,341,000
16,61 6,000
II7,568,ooo
46,750,000
1926
'i,
9,872,000
6,169,000
19,077,000
10,561,000
5,43 2,000
14,518,000
159,686,000
17,544,000
3,733,000
3,111,000
3,164,000
15,629,000
II,255,000
15,834,000
19,715,oco
336,680,000
5,048,000
31,068,000
9,994,ooo
89,391,000
11,830,000
189,567,000
3,393,ooo
6,302,000
18,109,000
59, 147,000
16,734,000
II9,163,ooo
51,134,000
Change
7 .2
Total 29 Cities..............................
$1,249,n2,ooo
$1,262,860,000
-
depressed by low prices and a slow demand, reported ore shipments in June were the smallest of the year, while shipments
for the six months were the smallest in tonnage and value for
a similar period since the early half of 1924.
Production of flour at Southwestern mills established a new
high record, with the output for the half-year, in barrels, showing
an increase of 22.7 per cent over that for the first half of 1926.
The output for the wheat year ending June 30 was 28.6 per cent
greater than that for the preceding wheat year ending June 30,
1926. Slaughtering operations at meat packing plants were
smaller during the half-year period for all classes of livestock
except hogs, which showed an increase of IO per cent over the
half-year period in 1926.
The production of lumber since January 1 showed a decline,
while the manufacture of cement and face brick increased, as
compared with the corresponding period last year.
Building contracts awarded in the District as a whole were in
value 21.0 per cent greater for the first half of the present year
than for the same period last year. In actual construction in the
leading cities, however, permits issued during this period were
fewer by 2. 2 per cent, and their values smaller by 10.5 per cent,
than for the like period last year.
Financial
Further easement in the money and credit situation was
reflected by the mid-year condition statements of banks in this
District. The inflow of new crop money, starting in June with
early marketings of wheat, brought improvement to the agricultural sections and strengthened the position of country
banks through increased deposits and the payment of loans.
Instances were reported where loans were paid off before maturity
and interest rebated. Deposits in banks increased seasonally
during June and July but were not quite up to the totals at this
time last year. Savings deposits increased and there were more
savings depositors than a year ago. .
-
5.0
40 . 8
-14 .0
4-3
- 7 .0
- 1.6
- 15.5
0 .2
- 4-5
o .6
- 13.3
-17 .0
-13 . 6
- 6.9
2.2
-
5.2
4 -3
3 -9
12 .0
-26 .9
- 4 .0
3 -9
-13.8
4 .0
- 11. 5
- 0 .7
- 1.3
- 8 .6
I.I
WEEKS
ENDING
I I 0,967 ,ooo
816,016,000
306,329,000
June 30,
1926
$ 60,939,000
38,736,000
109,7 22,000
58,647,000
36,203,000
82,935,000
1,026,221,000
87,6c1,ooo
22,749,000
19,405,000
21,288,000
73 ,635,ooo
63 ,283,000
II2,903,ooo
11 9,43 2,000
2,15 9,635,000
30,885 ,000
201,84-1 ,000
7 1,5 57,000
559, 2 9°,000
73,955 ,ooo
1,1 92,7 17,000
19,830,000
38,479,ooo
105,687,000
371 ,004,000
105,II 7,ooo
73 1,499,000
275 ,III,ooo
$8 ,l 26,450,000
'!,7,870,306,000
1927
'$ 68,862,000
37,099,000
160,21 9,000
54,790,000
34,93 1,000
86,251,000
1,05 7,625,000
88,228,000
23,988,000
19,329,000
22,221,000
93,850,000
68, 167,000
103,11 0,000
123,718,000
2,190,472,000
33 ,16 r,ooo
196,03 2,000
72,262,000
622,064,000
58,963 ,000
l ,I 62,8-1-3,000
18,826,000
38,673,000
11 7,697,000
339,757, 000
Per Cent
Cha nge
13 .0
- 4 .2
46. 0
- 6 .6
-
•
3-5
4.0
J .l
0 .7
5-4
- 0 .4
4-4
27-5
7-7
- 8. 7
3. 6
1. 4
7-4
I .O
II . 2
-20.3
- 2.5
- 5.1
0. 5
ll.4
- 8.4
5.6
11. 6
11. 3
3-3
MEMBER BANK OPERATIONS: Bank credit at member
banks in this District, as indicated by the volume of loans,
discounts and investments of sixty-five reporting member banks.
in leading cities, rose steadily during the year and on June 15 ·
reached the highest total since October 13, 1926. Subsequent
weekly reports showed small declines and the total on July 1 3
stood 4.6 per cent above that for the first reporting date in
January, but was 1.4 per cent below that reported July 14, 1926.
The decrease in the total of member bank credit for the year
was in loans, as investments on July 13 were close to the highest
level of record and 5 per cent above the total on July 14, 1926.
Loans secured by stocks and bonds were larger while all other
loans, principally commercial, were smaller than on the corresponding date last year. Investments in Government securities
were the lowest since January 5, but those secured by other
stocks, bonds and securities were the highest of record. Total
deposits of the reporting member banks on July 13 were the
largest since March I 6, but were 1. 5 per cent smaller than a year
earlier. The decrease was in demand deposits, as time deposits
increased to the high point of record. Principal resource and
liability items of reporting member banks as of three dates are
here shown:
July 14,
July 13,
June 15,
1926
1927
1927
$427,254,000 'f,4 29,773,ooo '$446,931,000
4,308,000
4,348,000
3,8o7,ooo
135,842,000
129,665,000
111,391,000
295,760,000 33 1,733,000
287,104,000
205,921,000
205,189,000
195,033,000
103,852,000
97,168,000
104,318,000
108,021,000
102,069,000
90,715,000
Total Loans and Discounts ..............
Secured by U. S. Obligations........
Secured by other Bonds and Stocks
All others--······· · · - - - - - Total Investments .... - - - United States Securities................
Other Bonds,Stocks and Securities
Total Loans, Discounts and Investmen ts ........................................... . 632,443,000
Total Deposits ................................... . 656,327,000
Demand Deposits·-························· 501,044,000
Time Deposit,.__ _ __
I 53,779,000
Government Deposits ....................
1,504,000
Reserve balance with F. R. Bank ....
55,726,000
635,694,ooo
649, 134,ooo
494,854,ooo
151,574,000
2,706,000
53,884,000
641,964,000
665,815,000
515,II2,
145,839,
4,864,000
54,048,000
3
THE MONTHLY REVIEW
RESERVE BANK OPERATIONS: Weekly condition
statements of the Federal Reserve Bank of Kans_as City and
branches showed only small changes in discount operations
between June 15 and July 13. The statement as of the date last
mentioned showed the totals of bills discounted for member
banks, bills purchased in the open market, and also United
States securities held were smaller than on July 14, 1926. Federal
Reserve note circulation was larger than a year earlier. Total
deposits were larger. Principal items appearing in the statements as of the dates mentioned follow:
Gold Reserves......................................
Reserves other than Gold..................
Total Reserves....................................
Bills Discounted..................................
Bills Purchased....................................
United States Securities....................
Foreign Loans on Gold.... ..................
Total Bills and Securities.. ................
Total Resources..................................
F. R. rotes in Circulation................
Total Deposits .. ··-······························
July 13,
June 15,
July 14,
1926
1927
1927
'f, 91 ,o 53,859 $ 85,737,858 1, 87,230,636
5,783,376
4,654,686
5,856,176
96,837,235
91,885,322
9 1,594, 034
13,696,921
16,046,764
15,599,081
9,934,907
11,014,781
9, 175,377
31,581 ,ooo
33,853,ooo
35, 11 7,900
................... .
128,400
55,212,828
58,627,458
62,304,245
206,544,652
2II ,284,344
204,257,429
63,953,525
63,320,650
63,484,975
88,367,692
89,970,977
89,752,334
PAYMENTS BY CHECK: Clearing House Associations in
twenty-nine cities of the Tenth District reported amounts
debited to individual accounts by banks ran at a weekly average
of $312,555,769 during the first twenty-six weeks of 1927, and
the total for this period was $8,126,450,000. For the corresponding twenty-six weeks of 1926 the average per week was
$302,704,077, and the total for that period was $7,870,306,000.
The increase over the first half of 1926 was $256,144,000 or 3.3
per cent, and over the first half of 1925 it was $553,306,000 or
7.3 per cent. The reports showed a larger volume of debits in
nineteen cities and a smaller volume in ten cities than in the
first six months of 1926. Amounts debited in the twenty-nine
cities during the four weeks ending June 29 increased 2.8 per
cent over the preceding four weeks ended June 1, but there
was a decrease of 1. 1 per cent as compared with the total for
the four weeks ended June 30, 1926.
RESERVE BANK CLEARINGS: During the first six
months of the current year check collections through the Federal
Reserve Bank of Kansas City and its branches at Omaha, Denver
and Oklahoma City showed increases of 3.2 per cent over the
total for the corresponding first six months of 1926, although
the number of items handled during the six-months period
was 1.3 per cent less than during the like period in the preceding
year. Amounts collected during the month of June were larger
by 4.1 per cent than in May, but smaller hy 1.7 per cent than in
June 1926. The totals for June and the first six months of 1927
and 1926 follow:
AMOUNT
ITEMS
1927
1926
1927
1926
May.............................. 5,696,261
5,647,274 $ 916,730,000 '$ 878,270,000
June.............................. 5,888,266
6,067,283
954,648,000
971,u5,ooo
Six Months ....________ 34,287,484 34,747,679 $5,688,096,000 $5,}12,424,000
During the month of June 972 member banks and 2,461 nonmember banks on the par list, a total of 3,433 banks, shared in
this service.
SAVINGS IN BANKS: Between June 1 and July I savings
deposits in 57 reporting banks in cities of the Tenth District
increased 0.7 per cent, and the total as of the latter date was 2.5
per cent larger than that reported for July 1, 1926. The number
of savings accounts in 49 reporting banks increased 0.7 per cent
during the month and the total for July 1 was 4.2 per cent larger
than on July 1, 1926. Savings deposits and accounts are here
shown:
Denver, Colorado..................
Kansas City, Kansas ............
Kansas City, Missouri ..........
Lincoln, ebraska ................
Oklahoma Ci ty, Oklahoma..
Omaha, Nebraska..·-·············
St. Joseph, Missouri ..............
Tulsa, Oklahoma ..................
Wichita, Kansas ....................
Other Ci ties._ .........................
4
Deposits
July 1,
1927
'$ 45,860,667
r,933,7.~5
15,512,!)48
3,43 2,775
7,987,084
8,082,451
7,335,7 27
15,891,290
5,95o,o94
1,099,765
June 1,
July 1,
1926
1927
'$ 45,85o,544 '/, 46,453,618
1,882,681
1,922,916
15,339,53 1
14,433,01 4
3,490,101
3,416,144
7,748, 165
8,697,15+
7,983,853 .
7,585,832
7,292,180
7,37o,479
13,962,658
15,690,053
6,055,408
5,347,39°
1,088,564
1,065,376
57
$113,086,546
$I 12,347,123
Banks
6
3
7
4
6
TotaL·-···························
5
5
6
II
Banks
6
Denver, Colorado..................
2
Kansas City, Kansas ............
6
Kansas City, Missouri ..........
Lincoln, Nebraska ................ 3
6
Oklahoma City, Oklahoma ..
Omaha, ebraska ..·-············· 5
St. J oseph·, Missouri ..............
5
Tu lsa, Oklahoma ..................
5
Wi chita, Kansas ....................
7
Other Cities ............................
4
Total.. ............................. 49
Accounts
July 1,
1927
1,
102,358
6,327
77,39 2
14,851
27,850
37,o38
17,5u
25,796
17,089
4,262
'I,
i
33o,474 $
'1,110,328,538
June 1,
1927
102,447 'I,
6,669
77,186
14,920
25,343
37,o37
17,475
25,698
17, 170
4, 299
July 1,
328,244
316,967
1926
100,473
6,667
75,57°
14,880
2 3, 294
37,38o
16,091
22,611
I
5,768
4, 233
Failures
Returns for the month of June and the first half of the current
year reflected increases in the number of commercial failures in
the Tenth District over the corresponding month and six months
of last year. The amount of liabilities involved in June failures
was smaller than for the preceding month, but was larger for
the six months than for the like period last year. Business
failures in the United States showed increases for the month and
six-months period, both in number and amount of liabilities, over
the corresponding ~onth and six months of 1926. The number
of failures and amount of liabilities are shown in the following
summary compiled by R. G. Dun & Company.
LIABILITIES
NUMBER
Federal Reserve District
First, Boston .............................
Second, New York ....................
Third, Philadelphia ..................
Fourth, Cleveland ....................
Fifth, Richmond....................... .
Sixth, Atlanta ............................
Seventh, Chicago ......................
Eighth, St. Louis ......................
Ninth, Minneapolis ..................
TENTH, KANSAS CITY..... .
Eleventh, Dallas........................
Twelfth, San Francisco ........... .
1927
171
260
41
164
142
174
253
98
1926
222
286
87
144
96
72
268
114
69
83
39
261
123
59
234
Total United States, June........ 1,833
Total United States, 6 months 12,296
Total Tenth District,6months
735
81
1927
1926
'f, 2,476,055 '$ 3,438,lJJ
4,733,218
6,260,II9
5,610,200
2,303,980
3,57 2 ,9°3
3,o78,r35
2,255,430
1,719,126
2,347, 238
839,3 27
4,000,364
6,255,014
1,897,022
882,180
1,397,II2
505,003
1,767,937
885, 249
1,555,26o
1,034,020
2,852,426
2,207,259
'f, 34,465, 165
28 I ,522,5 I 8
10,894,386
'/, 29,4°7,5 23
209,898,501
7,336,740
THE MONTHLY REVIEW
4
RETAIL TRADE AT 37 DEPARTMENT STORES IN THE TENTH FEDERAL RESERVE DISTRICT
SALE s
ST o c Ks (Retail)
OuTSTANDINO ORDERS
AccouNTS RECEIVABLE
Co LL E c TI o N s
June, HJ27 6 Mos., 1927 June 30, 1927, compared to June 30, 1927, compared to June 30, 1927,compared to June, 1927, compared to
Stores compared to compared to
May 31,
June 30,
May 31,
June 30,
May 31,
June 30,
May, 1927 June 1926
1927
1926
1927
1926
1927
1926
Reporting June, 1926 6 Mos., 1926
Kansas City .....
- 6.8
- 4.2
-10 . 7
- 5.3
40 .3
1 .4
- 7.6
- 6.2
3
- 9.4
3.3
Denver .. ............
5
- 4.5
o.6
- 5.2
- 4.9
24.2
19.4
1.3
- 0.5
- 4.5
\ 'ichita............. .
2 1.9
5.7
9.8
-II.I
2.7
5.9
3
3.3
Oklahoma Ci ty
1 5 -7
3
IO . I
II.7
- 4.I
2.9
7.6
-23.4
- 0.8
23.6
- 2.0
1
2
1
Omaha.---·········
3
-7
- 2.
- 3.7
3Lincoln ............. .
- 6.6
- 3.8
- 1.3
3
- 6.8
- 4.7
3.7
Tu lsa................. .
3
7 .5
l2 . 9
8 .7
II.6
4.8
Ot her Cities ..... . 14
2.2
- 1.8
- 4 .9
- 7 .3
- 4.5
- 4.4
Total.................. 37
- 2 .0
1. 1
- 6. 4
- 2.4
27.6
6 .6
- I.4
2.5
0 .3
0.3
N oTE : P ercentage of collec tions in June on outstanding accounts May 31, all stores reporting, 40.4%. Collections same month last year 42.0%,
Trade
The dollar volume of retail trade in this District, as reported
by department stores in cities, was smaller in June than in either
the preceding month or the corresponding month last year. Of
thirty-seven stores reporting, sales at twenty-one were larger
and at sixteen smaller than in June, 1926. Retail sales for the
first half-year, as shown in the department store summary,
exceeded those for the like period last year by 1. 1 per cent.
Sales at retail at single line stores varied somewhat from those
at department stores. Stores handling men's and women's
apparel reported a decrease for June of IO. 2 per cent from
sales in May, but an increase of 0.4 per cent over . sales in
June, 1926. Retailers of shoes reported their June sales were
0.5 per cent less than a year ago. Retail furniture stores reported
their June sales was 27 per cent below those for May and 20per
cent below those for June, 1926.
unfavorable weather. Demand ofretail merchants for seasonable
summer goods was delayed until the latter part of the month, and
at that time trade in these lines became quite active with both
wholesalers and retailers. While buying of fall goods was not
up to the best former records, merchants were reported as
placing fall orders with more confidence than for the past
three years. Cotton goods were purchased in fair quantities
for current use and no price concessions were made by manufacturers or wholesalers. A substantial business was done in
overalls and work shirts for the harvest season.
Further expansion of the wholesale grocery trade was
reported. The hardware trade in June was the heaviest of the
year, but not up to that of a year ago. Wholesale trade in
furniture exhibited a little more than the usual mid-summer
decline. Sales of drugs by wholesalers showed substantial
gains over the earlier months and were larger than at this
time last year.
Stocks at department stores, at stores handling men's and
women's apparel, and shoes, were reduced about 6 per cent
between May 31 and June 30. On the latter date stocks at
department stores were smaller by 2.4 per cent than a year
earlier, while stocks at apparel stores were 11.6 per cent larger, of
shoes 4.8 per cent smaller, and of retail furniture stores 4.3
per cent smaller.
Deliveries of harvest machinery and farm implements during
June were reported by distributors in this territory as very
satisfactory, and on the average about 20 per cent greater than
in June, 1926. Cash received on sales was considerably more
than last year, one large distributing firm reporting an increase
of about 25 per cent.
WHOLESALE: The June volume of business reported by
wholesale firms in six leading lines was 0.4 per cent larger than
in May, but 0.3 per cent smaller than in June, 19~6. The
wholesale trade summary shows sales of dry goods, furniture and
millinery were smaller than in the preceding month or the corresponding month last year. Sales of groceri'es showed increases
for the month over both periods with which comparison is
made. Total sales of hardware and drugs in June showed
increases over the preceding month but were smaller than
a year earlier.
COLLECTIONS: The department store figure on collections
during June was 40.4 per cent of their outstanding accounts
on May 31. This compared with 42 per cent for May and 41.2
per cent for June, 1926. The composite collections figure for
apparel stores was 51.6 per cent for June compared to 52.6 p er
cent for June 1926, and this percentage applied to collections
reported by retailers of shoes. Retail furniture stores, many of
them carrying installment accounts, reported June collection
as 17.4 per cent of outstandings against 19.6 per cent in June,
1926. Wholesale reports indicated collections generally satisfactory, as retailers were buying in small lots and were able to
meet their bills promptly. Implement dealers reported fair
collections.
Wholesalers of dry goods attributed the decline in this year's
June sales, as compared with those for June, 1926, to distinctively
Reporting
Stores
6
Dry Goods ......................
Grocerie
3
Hardware
8
Furniture ......
4
6
Drugs .... - ........................
4
Millinery·-- ·················-··
WHOLESALE TRADE IN THE TENTH FEDERAL RESERVE DISTRICT
SAL p; s
OuTSTANDINGS (Mo. end)
COLLECTIONS
June, 1927, Compared With June 30, 1927, Compared With June, 1927, Compared With
June, 1926
May, 1927
May 31, 1927 June 30, 1926
June, 1926
May, 1927
- 7.0
- 2 .7
- 3.6
- 7.0
- 5.2
- 1.7
12 .0
-0.4
3 .1
8.9
0.4
24.8
6.8
3 .6
5.8
0 .7
0.3
- 1.7
- 8.1
- 2.3
- 3 .0
- 4.4
1.3
- 9.4
6.o
I.8
1.6
- 0.9
2.5
- 3.7
-10.0
-24.I
-40 .0
-44.8
-37. 2
- 23 .3
STOCKS (Mo. end)
June 30, 1927, Compared With
May 31, 1927 June 30, 1926
- 8.8
- 2.7
-18 .6
3.6
4 .3
3 .9
2 .7
- 8.9
1.5
- 0.7
•
•
THE MONTHLY REVIEW
The Crops
The composite condition of farm crops in the .states comprising the Tenth District rose from 90.9 per cent on June I
to 93.5 per cent on July I, according to a late report of the
United States Department of Agriculture through its Bureau
of Agricultural Economics. This means that on July 1 crops in
this area still were 6.5 per cent below their ten-year average
condition as of that date. For the entire United States the
composite figure stood at 3. 5 per cent below the ten-year average.
The reports in detail presented in the summary show the
composite figures on the condition of crops and indicate the
changes in one month and one year:
CONDITION
Colorado..............................................
Kansas.... ............................................
Missouri..............................................
ebraska .. .·-······································
ew Mexico·-·-·····························
Oklahom..__ _ _ ························
Wyoming.·---····································
Seven States.. ·-·····················-····:...... .
United S t a t e ~ - - - -
Per Cent of 10-Year Average
July 1, 1927 June 1, 1927 July 1, 1926
93.8
84. 9
103 .3
96.6
86. I
91. 8
85.8
99 . 8
93 . 8
103.3
109. 5
86. I
84. 2
66. 2
I I I .o
89.4
99.8
76. 7
96. o
107. 6
97. 2
95 .4
93.6
While returns from the summer's harvest, now coming in, tell
with a fair degree of accuracy the size of this year's crops of
small grains, early fruits and vegetables, it is too early to
forecast accurately the production of late planted crops. However, the improved condition during June, as here indicated, and
further improvement in July, suggest much larger yields of most
crops than were forecast earlier in the year
Winter wheat made strong recovery from the low condition
reported on June I, and with the harvest well under way, the
July I forecast was for a yield of 256,030,000 bushels for this
District, a gain of 26,697,000 bushels over the June I estimate,
27,439,000 bushels less than the harvested crop of 1926, but
104,542,000 bushels more than the harvested crop of 1925. There
were notable gains during June in the winter wheat prospect
in Kansas and Nebraska, the figures for Nebraska indicating
8,122,000 bushels or 12.3 per cent more winter wheat than the
previous highest annual crop. Colorado, with an increase
of 4,464,000 bushels in the estimate, has a "bumper" crop for
that state. Winter wheat also improved in Wyoming and ew
Mexico. Oklahoma and Missouri reports reflected smaller
yields than were promised by earlier forecasts, due to the failure
of winter wheat to recover from injury caused by excessive
rains in May and early June.
This year's spring wheat area in this District is slightly larger
than that of a year ago and there was a promise of u,236,000
bushels as compared with 10,050,000 bushels in 1926.
5
The corn acreage for the District is about IO pe,r cent less
than the acreage harvested last year, but the July prospect was
for a crop of 387,941,000 bushels, or 79,649,000 bushels more
than the crop harvested in 1926. Mid-July reports indicated
corn was making fine progress over the major portion of the
District, although the lateness in planting and unfavorable
weather and soil conditions in the spring resulted in low yields
and in low condition in parts of Kansas and in the states of
Missouri and Oklahoma.
The estimates as of July I condition, presented in the production table, also forecast larger yields of oats, barley, rye and
potatoes than were indicated by the final estimates on 1926
production. On the other hand yields of sweet potatoes, sugar
beets, grain sorghums and broom corn were reported as smaller
than those of last year.
Tame hay, according to reports, furnished one of the outstanding features of the crop outlook. The .a rea in this District
has been increased more than one-third million acres and yields
are reported as running ahead of those for last year.
Indications point to a short crop of fruit in most of the large
fruit producing sections. The apple crop in the District was
estimated at 6,047,000 bushels as compared with 8,563,000
bushels last year. Peaches were estimated at 1,719,000 bushels
against 1,665,000 bushels, and pears at 897,000 bushels against
986,000 bushels.
COTTON: The area of cotton under cultivation in the
United States on July 1 was estimated by the Crop Reporting
Board of the Department of Agriculture as 42,683,000 acres, a
reduction of 6,047,000 acres or 12.2 per cent from the area
under cultivation on June 25, 1926. The returns show reductions
in all producing states as compared with last year's high record
cotton acreage. The heaviest losses in acreages were in the
states lying west of the Mississippi River but on the whole
these states had 62.9 per cent of all cotton acreage in the United
States under cultivation on July I. The following shows this
year's acreage under cultivation as compared with a year ago
and the decreases for the several states:
July 1, 1927 June 25 1 1926
Acres
Texas ..... ...................... .. ........................
Oklahoma .... ...... ...................................
Arkansas ................................ .............. .
Louisiana ................ ...............................
Missouri .............. ................................. .
New Mexico ..........................................
Arizona....................................................
California............................................... .
17,035,000
4,168,000
3,287,000
1,656,000
307,000
106,000
140,000
Acres
19,140,000
5,083,000
3,867,000
2,019,000
472,000
125,000
168,000
Decrease
Acrea
2,105,000
915,000
580,000
363 000
128,000
167,000
165,000
19,000
28,000
39,ooo
Eight Southwestern States.................. 26,827,000
Eight Southeastern States·-················· I 5,856,000
Total United States.............................. 42,683,000
31,041,000
17,689,000
48,730,000
4,214,000
1,833,000
6,047,cxx,
ESTIMATED PRODUCTION OF FARM CROPS IN SEVEN STATES OF THE TENTH FEDERAL RESERVE DISTRICT
Forecast of the United States Department of Agriculture as of July 1, Condition and Compared with the Final Estimates for 1926
(In thousands of units-ooo Omitted.)
Potatoes
Winter Wheat
Corn
Barley
Rye
Tame Hay
Oats
1926
1926
1926
1926
1926
1926
1926
1927
1927
1927
1927
1927
1927
1927
Colorado__
1,024 14,280 n,760
4,680
2 ,905
18,632
12,540
6,672
19,665
14,484
10,472
5,276
2,389
957
4,162
2,707
Kansas ........ _ 123,339
35,122
480
3,032
6,895
150,057
92,382
674
35,364
3,697
3,9 13
57, 299
216
18,010
21,282
6,480
Missouri........
204
360
310
5,187
41,540
130,458
174,189
36,941
3,56g
4,657
6,622
2,6o6
Nebraska ......
198,221
4,650
7,207
52,516
4,271
3,283
37,,65
4,699
139,407
74,565
5,3 29
74,74°
208
6
18
133
180
166
New Mexico_
1,512
2,883
4,420
150
4,876
398
435
595
Oklahoma __
2
2
2,640
2,910
2,838
61,178
'J,{,7
887
851
38,304
558
3,389
4,75
47,765
73,745
33,75°
Wyoming __..
1
2,002
1
1
1,722
1,308
1,326
1,456
1,015
4,690
700
,353
4,353
7 4
756
3,57
3,94°
Seven States.
10th District.
United States
270,669
256,030
579,4l6
180,483
178,364
45o,9o5
493,9 12
308,292
142,748
283,469
387,941
149,577
626,929 2,274,424 2,645,031 1,349,026 1,z53,739
302,365
30,803
30,379
242,730
20,932
20,687
191,182
7,614
7, 295
61,820
5,710 35,881 31,94 2 17,607
5,43° 31,423 26,452 13,566
40,024 392,943 356,360 101,035
15,076
11,894
86,378
6
THE MONTHLY REVIEW
Kansas City.-.................................
Omaha ........................................... .
St. Joseph·--···································
Denver........................................... .
Oklahoma City ............................. .
Wichita. __ ·······································
MOVEME TS OF LIVE STOCK FOR JUNE AND SIX MONTHS
STOCKERS-FEEDERS
RECEIPTS
Cattle
Calves
Calves
Hogs
Sheep
Hogs
Sheep
Cattle
122,220
25,569
25,7 29
131,671
14,038
226,475
2,897
7, 145
1,250 36,108
120,725
175,206
6,077
5,804
286,352
157,957
41,016
2,296
292
7,684
n,297
89,092
4,817
23,746
1,056
1,501
20,154
38,312
83,770
4, 135
3°,33 2
23,494
2,061
6,825
24,936
12,030
2,698
15,136
53,76 1
June, I 927 .... ················-················ 349,817
May, 1927 .. .. ··················-·······-····· 436,897
June, 1926...................................... 390,035
Six Months, 1927 .......................... 2,307,825
Six Months, 1926 .......................... 2,266,694
52,7 15
496,936
56,777
787,793
817,528
525,69 1 77,01 7
510,630
741,065
52,34 1
52,769
307,121 4,562,111 3,156,978 441,535
320,537 4,343,743 3,364,616 4 16,937
5°,95 1
Flour Production
During the month of June mills in the Tenth District produced
2,039,797 barrels of flour. This was the largest June production
of record, exceeding that for June 1926 by 12.2 per cent. During
the first six months of 1927 flour production reached a total
of 12,332,094 barrels, which was 22.7 per cent larger than the
total production for the corresponding six months of 1926.
Statistics on production for the wheat year ended June 30
showed an aggregate output of 27,294,06o barrels of flour. This
was the peak total for any wheat year of record and indicated
an increase of 6,076,972 barrels or 28.6 per cent over the t otal for
the preceding wheat year ending June 30, 1926. Production
figures follow:
Atchison·-··-···············
Kansas City .... ..........
Omaha ........................
Salina·-·······················
St. Joseph ..................
Wichita ......................
Outside........................
June,
1927
Barrels
107,261
593, 233
102,489
n7,015
175,5 1 3
178,532
765,754
TotaL_··-··········· 2,039,797
May,
1927
Barrels
II2,265
586,128
97,538
120,715
l43,985
172,181
837, 239
6 Months, 6 Months,
June,
1926
1926
1927
Barrels
Barrels
Barrels
108,529
664,333
59 1,939
2,477,355
37 1,578 3,529, 146
427,769
554,5 26
83,39 1
108,913
608,998
627,299
160,896
888,328
834,129
149,97 1
1,026,757
775,339
834,523
5,060,006
4,314,980
2,070,05 1 1,817,801
12,332,094
10,048,810
Grain Movement
Movements of the 1927 crop of winter wheat to primary
markets in the Tenth District were markedly smaller in June
than in the corresponding month last year, due to reduced
yields in early harvested areas of the Southwest, and to some
extent to this year's harvest coming a few days later than
usual. By the end of the month, with the harvest general over
the entire territory, marketings of wheat were assuming large
proportions, but not such as to cause the great strain on the
handling capacity which featured the situation at that time last
year. Market receipts of corn during June showed a substantial
increase over the preceding month and a year ago, while receipts
of oats were smaller than in May and also smaller than in June
of last year. Receipts of six classes of grain for June and the
first six months of 1927 are here shown with figures for the
corresponding month and six months in 1926 for comparison:
Wheat
Bushels
Hutchinson
1,802,250
Kansas City. 3,600,800
Omaha..........
949,200
St. Joseph ....
390,200
Wichita ........
June, 1927._
May, 1927._.
June, 1926_.
6 mos., 1927.
6 mos., 1926.
2 ,335,500
Corn
Bushels
Oats
Bushels
25,000
2,668,500
3,312,400
1,029,000
45,6oo
176,000
372,000
II8,ooo
13,500
Barley
Rye
Bushels Bushels
7,5 00
27,200
25,500
3,200
39,200
7,080,500
64,700
679,5oo
52,200
8,391,400 4,180,450
699,5oo
13,806,100 4,712,600 1,273,700 72,300
51,966,250 26,151,800 5,140,000 501,400
37,809,150 z8,999,5oo 6,518,500 501,000
9,0 77,95°
Kafir
Bushels
71,500
240,900
19,200
331,600
37,900
337,900
33,450
8,250
769,9oo
232,450 3,1n,900
252,650 2,760,300
4,690
6,659
3,838
29,5 14
21 ,549
85,189
II,747
I4,'.2Jl
73,534
22,539
9 2,333
99,o67 5o6,547
88,140 365,556
Cattle
73,754
90,609
32,010
10,265
16,873
5,838
229,349
255,083
256,694
1,372,088
1,39 1,489
FoR SLAUGHTER
Calves
Hogs
182,238
22,655
5,596 [223,26o
7,086
llJI,053
2,614
~28,871
6,038
22,191
2,197
52 ,393
46,186
640,oo6
661,961
43,209
46,526
603,636
258,141 3,559,717
275,443 3,234,748
Sheep
108,361
128,096
77, 169
(13,794
1,537
6,455
335,4 12
358,488
318,581
1,995,8 13
2,124,610
During the 1926-1927 wheat year, which closed on June 30, a
total of 197,544,850 bushels of wheat were received at the six
markets. This compares with 105,923,800 bushels received
during the preceding wheat year ending June 30, 1926. These
totals indicate a gain for the wheat year just closed of 91,6'.21,050
bushels or 86. 5 per cent.
Live Stock
The month of June brought a slowing down in the movement
of livestock: to markets in this District. Receipts of cattle and
sheep were in smaller numbers than in the preceding month
and the corresponding month last year. Receipts of calves
increased over both months with which comparison is made.
Market runs of hogs in June were lighter than in May but
continued heavier than a year ago.
The record of six markets for the half-year showed receipts
of cattle increased 41,151 head or 1.8 per cent over the first
half of 1926. Receipts of calves decreased 13,416 head, and
receipts of sheep decreased 207,638 head; while receipts of hogs,
including shipments direct to packers, . were 218,368 head
greater than in the first six months of last year.
Records of four markets covering the first half of 1927 showed
countryward shipments of all classes of stock and feeding
livestock were larger than for the same p_eriod in 1926. Increases
were: Cattle 5.9 per cent, calves 37 per cent, hogs 12.4 per cent,
and sheep 38.6 per cent.
Reports from over the district indicated that ranges and
pastures were in excellent condition except in a small area
of the Southwest where more moisture was needed. They also
indicated a high condition for all classes of livestock.
Arriv als of horses and mules at the six markets totaled 4,214
for the month of June as compared with 5,675 in May and 4,829
in June, 1926. The total for the first half of 1927 was 55,579,
against 55,659 for the like period in 1926.
IEAT PACKI G: Slaughtering operations at meat packing
plants in this District declined during June from the rate of
activity in May and in June of last year, mainly the result of
smaller supplies of livestock at the markets. The record for
the month, when compared with that for June a year ago
showed decreases in the number of cattle and calves and
increases in the number of hogs and sheep purchased for
slaughter.
Based on packers' purchases at the six leading markets, and
including hogs shipped direct to packer yards, the meat packing
record for the first six months of 1927 showed a decrease of 1.4
per cent in cattle, a decrease of 6.3 per cent in calves, an increase of 6.1 per cent in sheep and an increase of IO per cent in
hogs, as compared with purchases of animals for slaughter in the
first half of 1926.
I
THE MONTHLY REVIEW
lvlineral Production
PETROLEUM : The flow of crude oil from wells in the
Tenth District, mounting higher and higher each month of the
current year, rose to an average of 952,100 barrels per day for
the thirty days of June. This figure, the highest average for
any month of record, stood 7,400 barrels per day above the
average for the thirty-one days of of May, and 266,314 barrels
per day above the average for June, 1926, a thirty-day month.
The production during June, which was in excess of consumptive requirements, brought the gross output for the first half
of 1927 to 162,639,000 barrels. This was 42,590,000 barrels
greater than the gross output for the first half of 1926, and the
largest total for any six months of record.
Oklahoma, whose output increased from month to month
during the current year, contributed the entire June increase, as
the daily averages for Kansas, \Vyoming, Colorado and ew
Mexico were smaller than in the preceding month and in the
corresponding month last year. Figures showing the daily
average and gross production for June and the half year, by
states, follow:
AVERAGE PRODUCTION
*June, 1927 May, 1927
Barrels
Barrels
756,800
Oklahoma ____ ........................................ 768,600
112,'.200
Kansa~ ............................................... .
114,900
62,000
60,900
Wyoming..·-···········································
Colorado ............................................... .
7,800
7,300
New Mexico .................: ....................... .
3,100
3,200
DAILY
Total............................................. .
Oklahoma ........
Kansas..............
\¥yoming·-·······
Colordao.. ........
Tew l.\-1exico....
952,100
June, 1926
Barrels
482,753
120,733
69,667
8,400
4, 2 33
944,700
GROSS PRODUCTION
*6 Months
*June,
May,
June,
1927
1927
1926
1927
Barrels
Barrels
Barrels
Barrels
23,058,000 23,462,000 14,483,000 I 28,639,000
3,366,000 3,563,000 3,622,000 20,958,000
1,827,000 1,923,000 2,090,000 10,837 000
219,000
243,000
252,000
1,458,000
93,000
100,000
127,000
747,000
6 Months,
1926
Barrels
84,986,oco
19,907,000
13,212,000
1,210,000
734,ooo
Total.. ...... 28,563,000 29,291,000 20,574,000 16'.2,639,000
*Jun e estimated, American Petroleum Institute.
120,049,000
Reports covering field operations during June showed some
reduction in the number of wells completed and in the number
of barrels daily new production from completed wells, while
at the end of the month fewer" rigs were on the ground and
fewer wells drilling than for several months. The record of
field operation follows:
Wells Barrels Daily
New
Compl'd
Production
Oklahoma ..............................
201,450
362
II2
5,689
Kansas -·······························
6,647
32
Wyoming.---·························
Colorado ...................... _........
12
410
120
New Mexico ..........................
4
June,1927 .....................................
522
May, 1927..............................
53 2
June, 1926..............................
747
Six Months, 1927·--············· 3,422
Six Months, 1926.---··········· 4,II9
214,316
254,104
91,495
1,147,572
55 2 ,751
Dry
Wells
Gas
Wells
108
33
56
9
2
8
0
3
0
177
188
212
1,136
1,275
43
I
56
50
RigsWells
Drilling
1,259
260
267
102
137
2,025
2,186
2,568
294
334
BITUMI OUS
COAL: Reports of the United States
Bureau of Mines covering soft coal mining operations in the
various fields in the Tenth District indicated production during
7
the first six months of 1927 amounted to 13,396,000 tons as
compared with 13,268,000 ton s mined during the first half of
1926. \Vhile the Bureau's reports showed tonnages mined
since April I were considerably below those for the corresponding months last year, the heavier operations during the
first quarter of this year accounted for the increase. June
reports indicated a higher rate of activity than in May, with
an increase of 9 per cent in the tonnage mined, but a decrease
of 8.9 per cent as compared with June, 1926. Production figures
for the six coal states in this district follow:
May,
1927
Tons
581,000
72,000
*June,
1927
Tons
642,000
81,000
86,ooo
210,000
206,000
380,000
235,000
184,000
32 · ,000
*6 Months, 6 Months
June,
1926
1926
1927
Tons
Tons
Tons
592,000 4,961,000 4,638,000
272,000
1,566,000 1,970,000
1,183,000
159,000 1,060,000
215,000
1,448,000 1,369,000
146,000 1,215,000
1,047,000
378,000 3,146,000 3,o61,ooo
Total.. ................ 1,605,000
1,472,oco
1,762,000 13,396,oco 13,268,000
Colorado .... ................
Kansas........... ,............
Missouri .....................
New Mexico ..............
Oklahoma .............. ...
Wyoming.-.................
75, 000
*June estimated, United States Bureau of Mines.
Production of bituminous coal in the United States for the
calendar year to July 2 totaled 278,601,000 tons, compared
with 270,047,000 tons for the corresponding period in 1926.
ZINC AND LEAD: Shipments of zinc and lead ores from
the mines in the Missouri, Kansas and Oklahoma district
during the first half of 1927 were smaller in tonnage and value
than for the first half of 1926 and 1925, and at approximately
the low level of the first half of 1924. Reports for the month
of June showed a smaller output of both lead and zinc ores than
had been recorded for a month in recent years. The summary
which follows shows tonnages of ores shipped and their sales
value for each of the three states:
Z1 NC ORE
Tons
Value
20,196 .,, 816,141
12,037
485,590
1,776
7 1,953
LEAD ORE
Tons
Value
2,568 .,, 200,304
129,012
1,654
147
11,466
Four weeks ending July 2, 1927._. 34,009 '/, 1,373,684
Four weeks ending June 4, 19'}-7,.. 37,8 24 1,449,697
Four weeks ending July 3, 1926. __
61,073
2,878,968
27 weeks ending July 2, 1927 ....... . 342,261 'f,14,625,340
27 weeks ending July 3,1926 ........ 430,269 21,207,736
4,369 1, 34o,782.
615,783
7,47 2
805,940
8,334
54,812 'f,5,022,926
53,6 1 9 6,734,57o
Oklahoma ..................................... .
Kansas ........................................... .
Missouri ......................................... .
Lumber and Materials
A survey of the lumber situation at the middle of July indicated
hardwooci' prices were stationary, although manufacturers reported orders were more available than in the earlier weeks of
the season. The starting up of hardwood mills in the overflow
district was delayed much longer than anticipated, recent
estimates indicating the total enforced curtailment of hardwood
production would average about seventy-five days with daily
production of 8,000,000 feet. Retail buying of softwood lumber
continued light and dealers' stocks were further reduced.
Curtailment of production continued in the ·w est and there was
less activity in the South. Prices of Southern Pine at the
middle of July were weaker but Fir prices were holding their own.
The National Lumber Manufacturers' Association, on reports
received from the various associations, reported a seasonal
8
THE MONTHLY REVIEW
decline in softwood movements during June. The cut of
softwoods for the four weeks ending July 2 was o.6 per cent less
than in the preceding four weeks ending June 4. In the same
time shipments declined 5.9 per cent and orders declined 8.6
per cent. The Association reports for the current year to
July 2 are here compared with those for the like period in 1926:
Cut
Feet
Softwoods26 Weeks,
26 Weeks,
Hardwoods26 Weeks,
26 Weeks,
Shipments
Feet
Orders
Feet
1927 ...................... 5,433,6i4,o6o 5,738,961,920 5,780,549,369
1926 ...................... 7,011,652,536 7,176,198,799 7,125,526,651
1927 ......................
1926 ......................
720,272,000
746,402,208
796,649,000
701,704,884
The number of barrels of Portland cement produced and
shipped in the Tenth District during June and the six months
period follows:
Production·-·····'. .......... .
Shipments ....................
SI x 1 M'o N"T H s
1 9 26
5,480,000
5,617,000
5,457,000
5,878,000
1921
Building
800,422,000
June, 1927, Compared to
May, 1927
June, 1926
- 6.2
-22.5
-21.l
- 14 . 4
- 1.3
- 5. 5
-17.6
- 1.7
- 21.0
1.7
JUNE
1927
1926
l ,262,000
l ,440,000
1,209,000
1,394,000
Face brick production at 64 plants in thirteen states during
June exceeded that for May by 10.6 per cent and that for
June, 1926, by 8.3 per cent. Shipments also were larger than in
the preceding month and a year ago by 6.7 per cent and 2.5
per cent respectively. Figures for the first half year showed
increases over last year of 6.8 per cent on production and 0.02
per cent on shipments.
7 24, 254,545
Sales of lumber at retail yards in the Tenth District, reported
to the Monthly Review, were 6.2 per cent smaller in June than in
May and 22.5 per cent smaller than in June a year ago. The
consolidated monthly figures for all reporting yards showed
sales for the six months of 1927 were 19.9 per cent below sales
for the like period in 1926. Percentages of increase or decrease
for June over May, 1927, and June, 1926, on the various items
follow:
Sales of lumber, board feet ................................... .
Sales of all materials, dollars.--·····························
Stocks of lumber, end of month ............................
Outstandings, end of month ................................. .
Collections during month ..·-···································
of 1927 showed increases of 4 and 5 per cent respectively over
the corresponding period in 1926.
h· ·
The division of mineral statistics, United States Bureau of
Mines, reported shipments of Portland cement in the United
States during June amounted to 19,716,000 barrels, the greatest
for any month in history, and production of 17,078,000 barrels
during the month was slightly under the second only to that of
July, 1926. Production and shipments during the first half
The value of building contracts awarded in the Tenth District
was 21.0 per cent greater during the first half of 1927 than in the
first half of 1926 and the high record for a six-month period,
according to statistics reported by the F. W . Dodge Corporation.
On the other hand, the value of building permits issued in cities
of the District, as reported to the Monthly Review, showed a
decline of 10.5 per cent for the first half of 1927 as compared
with the record for the like period in 1926. A summary of building returns for June and the first half of 1927, compared with
those for the like period in 1926, follows:
MONTH OF JUN!'!
Six MoNTHS
1927
f1926
1927
1926
Contract values, District '/,17,598,000 '/,17,893,000 '/,105,745,000 '/,87,385,000
Permit values, 17 cities..
9,335,268
8,535,308
43,094,020 48, 133,399
Permits number, 17:cities
3,177
2,638
15,202
15,537
While there was a seasonal decline during June in the value
of contracts awarded in the District, the number of building
permits issued in the reporting cities was the largest for any
month since March 1926 and their value the largest for any
month since August of last year. A notable feature in the
June reports from cities was the showing made by Tulsa where
permits for a large office building and for new school buildings
increased the value of construction to the highest figure of
record for that city. However, the appended table shows that
of the seventeen cities reporting their statistics to the Monthly
Review only five reported the value of this year's permits exceeded last year's value for the same period.
•
I
BUILDING FOR JUNE AND THE HALF YEAR IN TENTH DISTRICT CITIES
Albrequerque, N. M .................
Casper, Wyoming
Cheyenne, Wyoming.·-···-···········
Colorado Springs, Colorado_ ......
Denver, Colorado._.......................
Hutchinson, Kansas.--·················
Joplin, Missouri.. ..........................
Kansas City, Kansas·-·················
Kansas City, MissourL_ .............
Lincoln, Nebraska ........................
Muskogee, Oklahoma ..................
Oklahoma City, Oklahoma·-·······
Okmulgee, Okla .......... .............
Omaha, Nebrask
Pueblo, Colorado ..........................
St. Joseph, MissourL..- ...............
Topeka, Kansas ............................
Tulsa, Oklahoma ..........................
Wichita, Kansas............................
Total..._ ........................,..........
MONTH
Permits
1926
1927
6o
74
20
15
26
37
63
79
948
54°
46
29
34
55
237
124
600
463
IOI
96
20
16
144
199
II
8
134
115
156
109
92
63
124
129
206
257
195
190
3, 177
2,638
OF JUN l'!
Value
1926
1927
1, 137,200
'/, 78,200
28,800
4,900
57,020
41,025
26,190
40,090
1,043,250
1,037,600
28,630
75,69o
105,954
101,225
24°,795
322,990
1,629,550
2,259,510
347,538
349,965
27,860
119,380
l,I49,899
I,488,595
121,280
333,200
880,871
49 2, 003
193,544
106,336
38,020
102,785
134,9 17
328,855
3,028,161
633,510
401,604
333,634
Per
Cent
Change
-44.3
82.0
-63.0
-59.o
378.0
20 .4
'f,8,535,3o8
9.4
$9,335,268
75-4
-83.0
39.o
-34.7
o.6
164.4
- 4.5
34. I
- 27.9
0.7
-76.7
-22.8
MONTHS
Value
1926
1927
'/, 625,000
1, 770,100
166,II4
68,079
332,195
457, 11 4
296,991
467,490
8,159,800
6,887,750
414,418
328,536
821,306
693,585
1,49 1,943
1,020,378
8,912,400
12,913,285
2,018,535
2,953,898
181,047
275,025
6,275,864
4,759,63°
Six
Permits
1926
1927
277
399
68
II2
145
165
4 19
47 1
3,408
3,809
226
227
184
291
638
1,097
2,637
2,715
669
489
131
130
l,II2
988
-63.6
512
95 1
743
3 23
553
__ ,. __ ............... ..
1,579
1,129
402
716
1,231
1,134
2,324,268
900,273
329,619
1,213,912
7,109•621
3,3°5,948
15,202
15,537
'/,43,094,020
659
----------------
Per
Cent
Change
23.2
-59.o
37.6
-36.7
-15.6
-20.7
-15.6
-31.6
-31.0
-3 1 .7
-34. 2
31.8
5,7o8,753
-59.3
7°9,4 23
53 1,397
2,194,720
3,406,031
2,202,971
26.9
-37.9
-44.7
108 .7
'/,48, 133,399
-10.5
50. I
•
SUPPLEMENT TO THE MONTHLY REVIEW
August 1, 1927
Business Conditions in the United States
The output of industry declined substantially in June to a
level close to that of a year ago, reflecting reduced activity
both in mines and in factories. The value of building contracts
awarded was the largest for any month on record. The general
level of prices remained practically unchanged.
Production
Production of iron and steel and automobiles declined considerably in June and curtailment in these industries continued
during the early part of July. There were also decreases in June
in silk deliveries, sugar refining and production of lumber, copper
and anthracite coal. Cotton and woolen mills continued active
for this season of the year and consumption of raw cotton was
larger than in any previous June on record. Meat packing, shoe
production and the manufacture of building material showed
increases. Production of manufactures, as a group, was slightly
larger in June than in the same month of 1926, but output
of minerals, owing largely to decreased production of coal, was
in smaller volume than a year ago.
The value of building contracts awarded in June was larger
than in any previous month on record, owing chiefly to the
steady increase within recent months of contracts for public
works and public utilities. Awards were particularly large, as
compared with previous months of this year and with June of
last year. In the New York and Chicago Federal Reserve
districts, contracts were awarded during the first half of July in
practically the same volume as in the corresponding period
of last year. ,
On the basis of conditions on July I forecasts of the Department of Agriculture indicate increases as compared with the 1926
harvested production in the output of wheat, oats, barley, rye,
hay and potatoes, and decreases in corn, tobacco, and the
principal fruit crops. Cotton, for which no production estimate
was given, shows a decrease of 12 per cent in acreage planted,
while the total area planted to all crops shows a reduction of 2
per cent. A reduction of 371,000,000 bushels in the estimated
production of corn, compared with 1926, indicates the smallest
crop since 1901.
Trade
Wholesale trade in most lines increased slightly between
May and June, while retail trade showed less than the customary
seasonal decline. Sales of departmen t stores were in about the
same volume as a year ago while those of mail order houses
and chain stores were larger. Sales of meat, drygoods and
hardware at wholesale were smaller than in June of last year,
while sales of groceries, shoes and drugs were about the same in
volume. Inventories of department stores declined further
to a level about 3 per cent below that of June, 1926. Stocks
carried by wholesale firms showed no change for the month
and were smaller than a year ago.
Daily average freight car loadings failed to show the customary
seasonal increase between May and June and were in smaller
volume from early in May to the middle of July than during
the corresponding period of last year. Shipments of almost
all groups of commodities have been smaller than a year ago.
The largest decline occurred in the shipments of coal and coke.
PEIIC!Hf
PERCENT
150
200
PERCENT
200
100 t - - - - - + - - - - t - - ----t-----r----1100
5(11------+----+-----+----+-----t
so 1 - - - - - + - - -- + - - - - + - - ---!-------i so
or
PRODUCTION
MANUFACTURES AHO MINERALS
WHOLESALE PRICES
·o......--~----'----...._-:-:-.......--:--O
1923
192'+
1925
1926
1927·
Index numbers on Production of Manufacturers and Minerals1
adjusted for seasonal vari·a tions, (1923-25 average, 100). Latest
figures for June: Manufactures 108, Minerals 103.
O'----'----_.___ __.__ _ __.__ ___, O
1923
1924
1925
1326
1927
Index of United States Bureau of Labor Statistics, (1913-100).
Latest figures Jun e. All commodities 143.7.
Prices
Bank Credit
than 200 million dollars lower than a month before. The
decline was principally in the banks investment holdings and in
loans secured by stocks and bonds. Loans for commercial,
agricultural and industrial purposes decreased by about 45
million dollars. Demand for reserve bank credit in connection
with settlements at the end of the fiscal year and increased
currency requirements over the holiday period carried total
discounts for member banks on July 6 to the highest level
since the first of the year. Thereafter, largely in consequence
of the return flow of currency from circulation, there was a
decreased demand for member bank accommodation· and on
July 20 total discounts were in somewhat smaller volume than
four weeks earlier. Holdings of United States securities showed
a slight increase during July.
The demand for member banks credit decreased from the
latter part of June to the middle of July and on July 20 the loans
and investments of member banks in leading cities were more
Conditions in the money market after seasonal firmness at
the end of June were easier in July.
The general level of wholesale commodities prices, according
to t'he Bureau. of Labor statistics 'index, continued practically
the same in June as in the two preceding months. The prices
of agricultural commodities as a group declined slightly while
the average for the non-agricultural group remained practically
unchanged. There were declines between May and June in the
prices of silk, iron and steel, nonferrous metals, building materials
and rubber, and advances in grains, cotton, hides, and skins, and
anthracite coal. During the first three weeks of July prices of
wheat, bituminous coal, iron and steel, and rubber declined
while those of livestock, cotton, wool, copper, and hides
advanced.
. . 10
10
200
200
e!U!ON!, or DOLLARS:
!)ILUONS or DOlLAP.S .
PERCENT
PER CENT
50 - - - - - - - - - - f . . -- ---1-- --+- - --1 50
BUILDING CONTRACTS AWARDED
-
1923
W,/h Seusonu/ Acliuslment
Wti'hout Acl/vstment
1924
1925
MEMBER BANK CREDIT
1926
1927
Federal Reserve Board's indexes of value of Building Contracts
awarded as reported by the F. W. Dodge Corporation, (1923-25
average mo). Latest figures June. Adjusted index 144, unadjusted I 54.
,
I.
0
1923
192(,.
1925
. 1926 .
1927 -
0
Monthly average of weekly figures for Banks in IOI leading
Cities. Latest figures are averages for the first three weekly
report dates in July . .
@FedFRASER