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• THE MONTHLY 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 P. W. MoRGA:s-, Director of Research Vol. I 5 KANSAS CITY, Mo., AuousT T H E general level of Tenth District business activity during June, as in the preceding months of 1930, was somewhat under that for the same month and first six months of 1929. Preliminary reports covering the first three weeks of July-a period of exceptionally high temperatures, hot winds andfscant}:rainfall-reflected more than the customary slowing down of trade and industry for the mid-summer month. Statistics for June show payments by check at banks in twentynine cities, and check collections through the Federal Reserve Bank of Kansas City and branches, to have been larger than in the preceding month but smaller th an a year ago. Loans and investments of reporting member banks were slightly higher at the middle of July than at the middle of June, but lower than a year ago, while demand deposits increased in recent weeks and time deposits rose to the highest peak of record. Savings deposits in a selected list of banks, showed an increase over the preceding month but a small decrease as compared with a year ago. Retail trade, as evidenced by June reports of department stores, apparel, shoe and furniture stores, showed markecl declines from April and May, sales for the month averaging 4 percent below the same month last year. Distribution of merchandise by reporting wholesale firms was 2.6 percent smaller in June than in May and 12.8 percent smaller than a year ago. The official forecasts of farm crops, based on July I condition, while promising neither bumper yields or failures, indicated good volume and well balanced production in this District. Estimates were for larger yields of winter wheat, corn, oats, rye, potatoes, sugar beets, broom corn and tobacco, and for smaller yields of spring wheat, barley and hay than in 1929. However, reports late in July indicated hot and dry weather during the month was causing severe damage to corn and other growing crops. Marketings of grain were heavy for the month and heavier than in June of last year for all classes with the exception of a small decrease in corn receipts. Livestock marketings declined during June, but save for a decrease in hogs, meat animals marketed were in larger numbers than in June a year ago. Prices of grain and livestock at Tenth District markets during June were at the lowes(levels of recent years. Productive operations in leading industries continued during June at a slightly lower average rate than in the preceding month, and with the exception of cement, the output was smaller than a year ago. The petroleum industry, through concerted efforts I, 1930 No. 8 BUSINESS IN THE TENTH DISTRICT FOR JUNE AND SIX MONTHS June 1930 % change from Banking May 1930 Bank debits, 29 cities.................................. 10.3 Federal Reserve Bank clearings................ 7.4 Loans, 56 member banks............................ 1.2 Investments, 56 member bank~--1.1 Demand deposits, 56 member banks........ 2.1 Time deposits, 56 member banks.............. 4.3 Savings deposits, 48 selected banks.......... 0.5 Savings accounts, 46 selected banks·--····· 0.9 Trade Wholesale trade, 5 lines combined............ - 2.6 Retail trade, 37 department stores·-········· -16.1 Lumber sales, 177 retail yards.................. -19.9 Construction Contracts awarded, value.......................... 270.0 Building permits in 19 cities, value.......... -24.8 Grain receipts, 5 markets Wheat ..................... _ _ _ __ Corn· - - · · · - - - - - - - - - - Oats .......... _ _ _ ________ -20.0 Even Rye ........ - - - - · - - - -25.2 Barley...... - - - - - - - - - - Livestock receipts, 6 markets Cattle .....· - · · - - - - - ······················ - 6.o Calves .....· - - - - - - - - - - - - 8.o Hogs ........................ _ _ _ __ - 4.5 Sheep.................................. _ _ _ __ - I,9.3 Horses and Mules ............ _ _ _ __ - 21.2 Meat packing, 6 cities Cattle........................... _ _ _ _ __ 6.1 Calves .................... _ _ _ _ _ __ - 8.3 Hogs .............. _ _ _ _ _ _ _ __ - 3.8 Sheep............... _ _ _ _ _ _ _ __ -18.0 Production Flour...........................· - - - - - - · · - 8.3 Petroleum.............. - 3.7 Coal......... -11.7 Cement.................... - 3.7 Zinc ore (shipped) 6. 5 Ler d ore (shipped)........ 40.9 Six Mos. 1930 % change from June 1929 Six Mos. 1929 - 6.2 - 5.5 -10.8 - 7.0 - 5.5 - 4.0 - 4.1 1.3 =- 3.2 - 0.5 8.1 15.0 - 0.1 3.6 4.1 2.1 -12.8 - 4.0 -29.7 - 7.6 3.6 224.2 -18.8 3.9 - 3.6 71.1 95.o 74.8 -14.8 2.9 51.1 -45-5 4 2 •7 3.1 1.7 -II.-5 13.1 -23.6 II.3 4.8 -11.2 8.o - I.I -2.9 - 1 5.7 16.2 -o.8 -4.2 -o.6 -4.5 1 3.4 -17.2 - 14.7 2 3·5 1 5.7 -24.2 -15.2 -53. 2 - on the part of leading producers, was holding production of crude oil below that of a year ago, and there was some curtailment in refinery operations. A sharp gain in lettings of contracts for building and engineering projects featured the June reports, with the aggregate of awards for the first half of the year showing a gain of 45 percent over the like period in the preceding year. The increase in nonresidential construction was due in part to pipe line contracts. There was a very marked decline in awards for residential construction . . This Copy Released For Publication In Afternoon Newspaper July 28 THE 2 MoNTHL Y Banking and Credit Loans and investments of fifty-six reporting member banks in leading cities of the Tenth District amounted to $66o,8rn,ooo at the close of business on July 16. This figure was $7,457,000 higher than that for June 18, but $15,565,000 lower than on December 31, and $34,790,000 lower than on July 17 last year when the volume of credit outstanding at reporting member banks was at the highest level of record. Loans of the reporting member banks secured by stocks and bonds, totaling $140,132,000 on July 16, indicated increases of $4,418,000 over the four weeks, $15,045,000 over the six and one-half months ago, and $17,287,000 over a year ago. All other loans, which includes those for commercial and agricultural uses, amounting to $300,225,000 on July 16, showed a small increase of $619,000 over the four weeks but were $33,495,000 below December 31 and $42 ,716,000 below July 17, 1929. Investments of the reporting banks in stocks, bonds and other securities aggregated $220,453,000 on July 16 and indicated increases of $2,420,000 in four weeks and of $2,885,000 in six and one-half months, but a decrease of $9,361,000 compared with a year ago. Net demand deposits increased by $10,227,000 in four weeks to a total of $499,114,000 on July 16, which was the highest amount reported since November 13 last, but 16,493,000 below the total on July 17, 1929. Time deposits of $192,835,000 on July 16 showed substantial increases in recent weeks and were the highest of record. The principal resource and liability i terns of the fifty-six reporting member banks are here shown for July 16, with figures for four weeks ago, six and one-half months ago and one year ago for comparison: (Figures in thousands of dollars-ooo omitted) July 16 June 18 Dec. 31 July 17 1930 1930 1929 1929 Loans and investments- total..._........... $660,810 $653,353 $676,375 $695,600 Loans and discounts-total... ................. 440,357 435,320 458,807 465,786 Secured by stocks & bonds ................ 140,132 135,714 125,087 122,845 All other loans & discounts ................ 300,225 299,606 333,720 342,941 Investments-total.. ................................ 220,453 218,033 217,568 229,814 U. S. Securities.................................... 93,161 92,335 93,355 107,877 Other bonds, stocks and securities .... 127,292 125,698 124,213 121,937 Reserve with F. R. Bank........................ 57,701 60,380 52,267 59,749 Net demand deposits .............................. 499,II4 488,887 501,817 515,607 Time deposits·--······································· 192,835 184,820 167,734 178,433 Government deposits.............................. 1,694 2,678 794 3,051 RESERVE BA K CREDIT: The volume of credit outstanding at the Federal R eserve Bank of Kansas City and branches was $44,723,000 on July 16, according to the weekly condition statement issued at the close of business on that date. This total indicates increases of $8,165,000 over the amount reported four weeks ago, $3,816,000 over six months ago, and $9,346,000 over a year ago. Holdings of bills rediscounted for member banks fluctuated narrowly during the past eight weeks and the total of $rn,o8 5,000 on July 16 was the lowest for any weekly reporting date since September 14, 1927. Bills bought in the open market also showed but slight change in recent weeks, with the total of $5,901,000 on July 16 showing a decrease as compared with six months ago, but an increase as compared with a year ~go. Holdings of United States government securities, amounting to $28,736,000 on July 16, were $10,000,000 higher than on June 18 and $25,673,000 higher than on December 31. On the corresponding date last year no government securities were held by this Bank. Changes in the amount of credit outstanding and in related items are indicated by a comparison of the figures reported by REvrnw the Federal Reserve Bank of Kansas City for July 16 with those reported four weeks ago, six months ago and a year ago: (Figures in thousands of dollars-coo omitted) July 16 June 18 Dec. 31 1930 1930 1929 Gold reserves .................................... $n2,749 $123,234 $131,718 Reserves other than gold................ 5,991 8,008 6,172 Total reserves.--······························· n8,741 131,243 137,891 Bills discounted................................ 10,085 13,488 29,649 Bills purchased·--····························· 5,901 4,333 8,195 U S. Securi ties................................ 28,736 18,736 3,063 Total bills & securities.................... 44,723 · 36,558 40,907 Total resources·--·······················:..... 210,924 212,630 226,461 F. R. Notes in circulation.............. 69,578 70,363 89,434 Total deposits.................................. 91,295 93,021 88,288 July 17 1929 $133,73 1 3,843 137,574 32,167 1,709 35,377 227,610 75,548 95,93 2 R eserve B ank Clearings Check collections through the Federal Reserve Bank of Kansas City and branches during the four weeks ending July 2, in the amount handled, were 7.4 percent larger than in the preceding four weeks, but 10.8 percent sm aller than in the corresponding four weeks last year. Check collections during the twenty-six weeks of the current year ending July 2 were 7.0 percent smaller than for the like period in 1929. The figures follow: Items Four weeks ending July 2, 1930.... ........................ 5,496,157 Four weeks ending J une 4, 1930............................ 5,253,735 Four weeks ending July 3, 1929............................ 5,592,835 Twenty-six weeks ending July 2, 1930·--············· 35,399,595 Twenty-six weeks ending July 3, 1929·--············· 35,334,707 Amount $ 823,029,869 766,512,229 922,485,559 5,334,119,222 5,734,75 1,735 Pay1nents By Check Debits by banks to accounts of individuals, firms and corporations in twenty-nine cities of the Tenth District aggregated $1,414,106,000 for a period of four weeks ending July 2, 1930. This figure indicated an increase of $132,233,000 over the total for the preceding four weeks, but a decrease of $92,895,000 from the total for the corresponding four weeks last year. Debits for the first twenty-six weeks of the current year ending July 2 aggregated $8,890,93r,ooo, a decrease of $514,463,000 or 5.5 percent from the $9,405,394,000 for the like period in 1929. BANK DEBITS IN TWENTY-NINE CITIES (In thousands of dollars-ooo omitted) FouR WEEKS ENDING TwENTY-S1x WKs. ENn. July 2, 1930 July 3, 1929 July 2, 1930 July 3, 1929 Albuquerque, N M·--····· $ 11,895 $ 12,229 $ 76,357 $ 79,175 Atchison, Kans ................ 5,698 6,831 37,286 39,473 Bartlesville, Okla·--········· 28,024 21,819 146,979 124_,38 8 Casper, Wyo____ 7,575 8,146 42,905 47,076 Cheyenne, Wyo................ 5,884 6,656 38,730 40,954 Colorado Springs, Colo._. 16,686 15,993 93,271 98,441 Denver, Colo.................... 159,776 185,976 1,053,166 1,212,976 Eni.d, Okla........................ 21,481 17,824 92,116 93,468 Fremont, Nebr·-··············· 3,822 4,378 25,570 28,094 Grand Junction, Colo...... 2,816 3.251 18,699 20,873 Guthrie, Okla.................... 3,013 3,503 20,348 21,587 Hutchinson, Kans............ 21,196 20,448 109,588 112,036 Independence, Kans........ 11,526 13,381 70,887 79,548 Joplin, Mo........................ 10,594 14,128 69,287 97,321 Kansas City, Kans.......... 18,376 19,089 120,407 122,699 Kansas City, Mo.............. 398,089 430,881 2,498,323 2,654,190 Lawrence, Kans................ 4,832 5,242 30,232 31,798 Lincoln, Nebr·-················· 34,682 31,186 210,717 218,773 Muskogee, Okla................ 10,084 11,677 65,453 t 72,655 Oklahoma City, Okla...... 123,047.j 125,002 ~~ rn5,553 756,129 Okmulgee, Okla................ 5,870 6,782 ft·38,542 50,847 Omaha, Nebr..................... 199,941 212,328 1,303,728 1,343,772 Pittsburg, Kans................ 4,917 5,744 32,790 37,513 Pueblo, Colo·-··················· 16,741 21,727 rII6,459 127,137 Salina, Kans...................... II,734 ["13,468 f 70,365 78,111 St.Joseph,Mo.................. 42,125 ~ 52,02771 298,020 347,790 Topeka, Kans·--··············· 18,147 20,434.., •126,851 120,937 Tulsa, Okla._..................... 157,056 '156,576; "921,074 944,814 Wichita,''Kans.................. 58,479 60,275 387,228 402,819 Total 29 cities .................. $1,414,106 $1,507,001 $8,890,931 $9,405,394 THE MONTHLY REVIEW 3 RETAIL TRADE AT 37 DEPARTMENT STORES IN THE TENTH FEDERAL RESERVE DISTRICT SALES STOCKS (RETAIL) STOCK TURNOVER ACCOUNTS RECEIVABLE COLLECTIONS Stores June 1930 6 Mos. 1930 June 30, 1930 June 6 Months June 30, 1930 June 1930 Report- compared to compared to compared to compared to compared to ing June 1929 6 Mos. 1929 May 31, 1930 June 30, 1929 1930 1929 1930 1929 May 31, 1930 June 30, 1929 May 1930 June 1929 Kansas City............... . 4 - 8.7 - 7.2 - 7.7 - 66 .20 .21 1.29 1.34 - 3.1 4.8 5.5 o.8 Denver....................... . 5 - 6.1 - 4.8 - 4-5 -11.3 .22 .20 1.20 1.16 - 0.2 - 2.8 - 1.4 - 2.0 Oklahoma City ......... . 3 8.7 1.6 - 6.o - 0.4 .26 .23 1.65 1.63 - 2.1 9.2 -12.3 - 2.3 Omaha ....................... . 3 - 1.8 2.3 - I.2 9.1 - 5.8 4.0 Lincoln ........................ 2 - 9.4 - 5-5 - 3.7 -18.4 .21 .18 1.33 1.18 - 6.9 - 5.7 - 2.0 - 1.5 Topeka ........................ J - 2.9 - J.4 - 5•3 - 5•3 ,20 .20 I.OJ 1.01 - 3.7 5•5 -II.2 - 4.5 Il.O - 1.7 -10.0 I.6 .2J .21 I.8J l.84 - 5.2 18.4 -12.5 8.2 Tul«a·-························· 4 3 -II.8 - 9.9 - 8.4 2.0 .18 .20 1.7 2.5 - 2.6 - 1.0 Wichita·-····················· Other Cities ................ 10 - 6.8 - 2.5 - 4.8 - 5.2 .15 .15 I.00 .94 - 2.5 - 0.4 -II 7 - 1.2 Total............................ 37 . - _4.0 7 - 3.6 - 5.8 - 7.1 .21 .20 1.33 1.29 - 2.0 NOTE: Percentage of collect1ons m June on accounts May 31, all stores reporting 38.9. Collections same month last year 40.1. 3.1 - 4.6 - 0.1 Savings in Banks Retail Trade Forty-eight commercial banks and savings institutions in cities of the Tenth District reported their savings deposits increased by $585>895 between June I and July 1, despite the usual heavy withdrawals incident to the vacation season. Savings deposits in the banks reporting amounted to $117>400,965 on July 1. This was the highest monthly total reported by the identical banks during the present year> $4>061,888 above the total on January 1, and only $148,309, or one-tenth of I percent, below the total on July 1> 1929. Returns from forty-six of the reporting banks reflected a steady increase during the year in the number of savings accounts, the tot'.al of 401,189 accounts on July I showing an increase of 8,267 over six months ago and an in crease of I 5,967, or 4. I percent, over one year ago. A summary of the savings deposits and accounts follows: Final reports of retail stores in cities throughout this District for the month of June reflected a seasonal slowing down of business, with the dollar volume of sales for the month and first half of the year somewhat below that for June and the first half of the preceding year. June sales of thirty-seven department stores in cities were 16.1 percent smaller than in May and 4 percent smaller than in June last year. Total sales during the current year from January 1 to June 30, inclusive, were 3.6 percent smaller than in the like period in 1929. Leading apparel and shoe stores and retail furniture houses also reported decreases in the volume of their sales for the month and half year as compared with last year. Stocks of merchandise on hand at department stores at the close of June were somewhat lower than either a month earlier or a year ago. Collections of department stores during June were 38.9 percent of amounts outstanding on the last day of the previous month, compared with 40.8 percent for May, and 40.1 percent for June 1929. Savings Accounts Savings Deposits 46 Banks 48 Banks 401,189 July 1, 1930..................................................... . $117,400,965 June 1, 1930...................................................... II6,815,070 397,419 11 3,339,0 77 January 1, 1930............................................... . 392,922 July 1, 1929..................................................... . 385,222 l 17,549, 274 Failures Dun's report for the month of June showed 130 business failures in the Tenth District, 23 more than in May and I 5 more than in June last year. Laibilities involved in June failures amounted to $1,573,613, a decrease of $689,670 from May, but an increase of $694,166 over June of last year. During the first six months of the current year there were 757 failures in this District with liabilities amounting to $13,247,029. These totals compare with 754 failures and $8,169,495 of liabilities for the first six months of last year. Wholesale Trade The June sales of wholesale firms in five leading lines reported to this Bank showed a decrease of 2.6 percent compared with May and a decrease of 12.8 percent compared with a year ago, while total sales for the first half of the current year for all stores reporting were 7.6 percent below the total reported for the like period in the preceding year. The reports by separate lines showed June sales of drygoods, hardware, furniture and drugs were smaller than reported for either the preceding month or in in June a year ago, while sales of groceries were larger than in June last year. Stocks of merchandise on June 30 averaged smaller than on May 31, or on June 30 last year. Life Insurance Building Sales of new paid-for ordinary life insurance in the seven states whose areas or parts form the Tenth District amounted to $362,525,000 for the first six months of 1930, compared with '$359,767,000 for the like period in 1929, an increase of '/,2,758,000 for the first ha.If of this year. June sales were $58,939,000, compared with $64,203,000 in May and $61,276,000 in June last year. Building contracts awarded in the Tenth District during June amounted to $63,727,271 compared with $17,216,399 in May and $19,654,429 in June last year, according to statistics compiled by the F. W. Dodge Corporation of contracts awarded in th. rtyseven states and subdivided by districts by the Division of Research and Statistics of the F edera Reserve Board. The June awards carried this D istrict's total for the first six WHOLESALE TRADE IN THE TENTH FEDERAL RESERVE DISTRICT COLLECTIONS 0UTSTANDINGS SALES June 1930 compared with June 30, 1930 compared with Reporting June 1930 compared with May 1930 June 1929 Stores May 31, 1930 June 30, 1929 May 1930 June 1929 -10.3 -11.4 - 2.2 - 2.2 -20.3 Dry Goods .............................. - 7.3 7 10,0 I.2 3.0 - o.6 Groceries .....................•.......... - 0.4 - 3-7 5 - 8.o o.8 -20.1 o.6 - 8.5 Hardware - 2.5 9 -20.8 - 8.o - 4.8 - 6.9 Furniture..'...... -23.9 - 1 5.9 5 -6 c -I.'7 - 8.7 - 1.0 6 - 9.0 Drugs ...................................... - 7.3 STOCKS June 30, 1930 compared with May 31, 1930 June 30, 1929 -21.5 - 7.6 - 8.o 2.4 - 6.1 - 8.6 - 9.0 - 3.6 -14.3 - 6.8 THE MONTHLY REVIEW 4 BUILDING PERMITS IN TENTH DISTRICT CITIES Six MoNTHS MONTH OF JUNE Value Permits Permits Value 19,Jt> 1929 1929 1930 1929 1930 1930 1929 Albuquerque, N. M ............................ t, 111,586 1i 1,151,625 420 522 '$ 922,886 84 76 1 86,976 62,217 Casper, Wyo .... 8 8 3,050 30 46 3,5 2 5 55.675 294,990 173 166 41,180 122,907 32 357,551 45 Cheyenne, Wyo·-······························································· Colorado Springs, Colo ........ [654,n8 88,854 298 65 545,336 50 3 29,9 23 349 4,002,800 Denver Colo .......... 805,800 1,070,800 11,892,350 2,705 3,144 567 513 Hutchinson, Kans 22 2801 1,244,819 17,6oo 219 710,990 154,730 50 159 622,572 Joplin, Mo 103,000 142 24 48,675 335,469 47 Kansas City, Kans ........ 66 126,700 896,185 75,78o 775, 230 78 4 24 373 Kansas City, Mo .......... 218 1,109 1,254 8,202,075 6,094,500 829,450 196 759,350 1,0 52,475 Lincoln, Nebr........ 1,408,442 506 195,215 237,385 333 94 79 I 16,020 2 52/ 2 79 Muskogee, Okla.......... 16 16,950 54,870 96 14 85 11,312,020 Oklahoma City, Okl 1,57 2,49 1 1,838,665 1,823 1,856 10,484,780 290 32 5 2,453,75 2 So 135 488,865 834,600 3,586,844 424 567 Omaha, Nebr·-································· Pueblo, Colo............ 105,690 650 882,330 130 107 42,95 1 329,589 577 Salina, Kans .......... 28 130 63,896 58,685 144 845,764 23 333,747 147 Shawnee, Okla._...:....... 21,652 134,618 302 204,767 24 52 723,954 122,800 2 53 St. Joseph, Mo .......... 251 27,870 615,193 671,647 46 48 1o6,795 1,885,686 Topeka, Kans ...... 68 85,710 834,290 477 74 357 1,333, 19° Tulsa, Okla........ 1,830 1,015,550 4,337,83o 7,284,478 339 1,337 Wichita, Kans. 253 3,602,304 864,847 982 148 5,372,565 700,3 25 Total 20 Cities .......... ··-·-·····---------------······--·---·· 1,981 2,541 fi6,591,028 months of 1930 to $170,664,789, which is $53,294,461 above the total awards of $117,370,328 reported for the first six months of 1929. - The returns for the first half of the year show material gains o'ver the previous year in the value of contract awards for commercial and public buildings and for utilities, while contracts awarded for residential construction, amounting to $24,238,426 for this year's six months period, showed a loss of $15,021,547 as compared with awards of $39,259,973 for the like period in 1929. Building permits issued in nineteen cities of this District in June and the first six months of 1930 showed marked declines in number and value from those reported for the corresponding month last year. The record for the first half of the current year shows the value of permits issued in the cities reporting to have been $43,330,942, which compares with $54,081,202 as the value of permits issued during the like period last year, the decrease amounting to $10,750,260 or 19.9 percent. The number and value of permits issued in June and six months of the current year, with last year's figures for comparison, is shown for all reporting cities in the accompanying table: Lumber June witnessed a further decline in sales of lum her and other materials at retail yards in the Tenth District, according to reports received by this Bank. Lumber sales at 177 retail yards totaled 3,803,000 feet for June as compared with 4,749,000 feet for May and 5,422,000 feet for June last year. Sales at the identical retail yards for the first six months of the year totaled 26,508,000 feet against 33,692,000 feet for the first six months of 1929. Lumber stocks at these yards at the close of June were 43,210,000 feet against 44,241,000 feet one month earlier and 57,688,000 feet a year ago. The volume of business at the reporting yards for the month of June is here compared with that for the preceding month and corresponding month last year in percentages of decrease: Sales of lumber, board feet........ .................................... Sales of all materials, dollar________ Stocks of lumber, board feet .. _ _ _ _ _ _ _ _ Outstandings, end of month .......... _ _ _ _ _ _ Collections during month.---············------ June 1930 Compared to May 1930 June 1929 -19.9 -29.7 -25.0 -26.0 - 2.3 -25.1 - 4.0 -11.7 - 1.8 -17.0 A survey of lumber production and distribution in the United States during the first twenty-six weeks of 1930, based upon re- $8,112,478 10,696 14,244 $43,330,942 $54,081,202 ports of eight softwoods and two hardwoods associations to the National Lumber Manufactur~rs Association, shows actual production of 8,152,195,000 feet, a decrease of 12 percent from the 9,302,096,000 feet produced in the corresponding period last year. Shipments of 7,653,248,000 feet during the twentysix weeks showed a decrease of 19 percent from the 9,486,965,000 feet for the like period last year. Orders received totaled 7,428,877,000 feet were 22 percent below the 9,515,817,00:) feet reported for the like period in 1929. Cement Portland cement mills in the Tenth District produced 7,478,000 barrels and shipped 7,083,000 barrels of cement during the first six months of 1930, these figures indicating increases of 23.5 percent in production and 19.4 percent in shipments over the like period in 1929. June production of 1,622,000 barrels showed a decline of 3.7 percent from May, but an increase of 14.7 percent over June of last year. Shipments of 1,700,000 barrels during June were the heaviest for any month of the current year and were 16 percent higher than in June last year. Stocks of finished cement at mills at the close of June amounted to 2,291,000 barrels as compared with 1,99f ,ooo barrels at the close of June 1929, an increase of 293,000 barrels or 14.7 percent. The number of barrels produced and shipped during June and the first six months of 1930 and 1929 are shown in the following: Month of June 1930 1929 Production, barrels ...................... 1,622,000 1,414,000 Shipments, barrels.-..................... 1,700,000 1,462,000 Six Months 1930 1929 7,478,000 6,051,000 7,083,000 5,930,000 Bituminous Coal The output of soft coal at the mines in the six producing states of the Tenth District totaled 1,288,000 tons for the month of June and 11,437,000 tons for the first six months of 1930. This was the smallest production for a single month anc:l for the first half year since 1922, the year of the great coal strike. Tonnages produced in the six states during the month and six months: June 1930 May 1930 June 1929 6 Mos. '30 6 Mos. '29 Tons Tons Tons Tons Tons Colorado ................... . 371,000 49"·,000 436,000 3,860,000 4,650,000 Kans a._ _ _ __ 112,000 126,000 148,000 1,090,000 1,414,000 Missouri .................... 224,000 225,000 218,000 1,710,000 1,847,000 New Mexico.............. 134,000 146,000 185,000 939,000 1,303,000 Oklahoma.................. uo,ooo 110,000 150,000 1,188,000 1,549,000 Wyoming_··············- 327,000 362,000 350,000 2,650,000 3,048,000 Total.... ____ . 1,288,000 1,459,000 1,487,000 11,437,000 13,811,000 5 THE MONTHLY REVTEW ======================================= Total United States production of soft coal during the present calendar year to July 5, approximately 157 working days, amounted to 235,585,000 net tons, according to estimates reported by the United States Bureau of Mines, Department of Commerce. This total compares with 262,198,000 tons for the corresponding period in 1929 and was smaller than production for the like period in the years 1928, 1927 and 1926. Petroleum The output of crude petroleum in the Tenth District decreased during June but the daily average of 873,800 barrels for the thirtyday month was, with the exception of May, the highest reported for any month of the present year, and only 5,700 barrels below the daily average for June last year. The returns for the month show small increases in the daily output in Kansas, New Mexico and Colorado and decreases in Oklahoma and Wyoming, as compared with the May output. In comparison with the output for June last year there were decreases in Oklahoma, Wyoming and Colorado and increases in Kansas and New Mexico. Gross production of crude petroleum in five states is here shown for June and the first six months of 1930 and 1929: GROSS PRODUCTION *June 1930 May 1930 June 1929 *6 Mos. 1930 6 Mos. 1929 Barrels Barrels Barrels Barrels Barrels Oklahoma .................. 19,945,000 20,959,000 20,688,000 u7,164,ooo 127,104,000 Kansas·-··········--········· 4,003,000 3,969,000 3,791,000 21,185,000 19,814,000 Wyoming.................. 1,464,000 1,572,000 1,603,000 8,974,000 9,225,000 Colorado.................... 137,000 137,000 215,000 831,000 1,227,000 New Mexico.............. 666,ooo 588,000 86,ooo 2,569,000 494,000 Total.. ........................26,215,ooo 27,225,000 26,383,000 150,723,000 157,864,000 *June 1930, estimated, American Petrole~m Institute. larger than in May they were smaller than in June of last year, and shipments of both zinc and lead ores during the six months period were materially smaller in tonrt age and value than for the corresponding six months in 1929. The average price per ton paid producers for zinc ore during the first twenty-six weeks of 1930 was $34.31, against $42.23 per ton for the like period in 1929. During the week ending June 28 zinc ore was down to $29, compared with $44 for the corresponding week in 1929. The average price per ton paid for lead concentrates for the first t wenty-six weeks was $67.50 as compared with $92.3 8 as the average for the like period in 1929. For the week ending June 28 producers were paid an average of $60.00 per ton for lead concentrates, while for the same week last year the price was $90. TRISTATE ORE SHIPMENTS AND THEIR VALUES ZINC ORE Six Months Month of June Tons Value Tons Value Oklahoma ...................................... 28,602 f, 873,162 l 50,401 f, 5,168,963 89,004 3,109,224 Kansas..·--····································· 11,350 345,856 6,229 212,967 Missouri........................................ 1,867 57,645 Total this year.............................. 41,819 f,1,276,663 Total last year.............................. 49,588 2,181,872 LEAD ORE Month of June Tons Value Oklahoma...................................... 3,941 1, 253,427 Kansas·--··········································· 1,912 l 23,288 Missouri ....................................... 122 7,873 1, 8,491,154 13,708,691 Six Months Tons Value 17,102 '/, 1,156,936 8,699 606,226 818 55,027 '/, 1,818,189 5, 2 94,II9 Total this year.............................. 5,975 Total last year.............................. 7,045 The summary of field development shows 524 new wells were Grain Marketing completed in June, the largest number of completions since N ew wheat fro m the Southwestern "Belt'' started market April 1929. Daily average new production from June completions, totaling 4 5l ,523 barrels, was the third largest monthly . ward in the latter part of June, increased day by day, and at the total of record, having been exceeded only in January and April middle of July very closely approximated last year's peak receipts of the present year. New work under way at the opening of which were the largest of record for the five leading grain marJuly showed l ,67 4 wells drilling or ready to start, the largest kets in this District. The quality of the new crop was reported as excellent with high protein content, low moisture, and the number reported at the opening of any month since last February and the largest July l total since 1927: The field summary follows: bulk of the m arketings gradi ng No.· 2 or better. Wheat prices declined and in the firs t week of July were the lowest in recent Wells Barrels Daly Dry Gas Rigs-Wells years. Completed New Production Wells Wells Drilling June receipts of wheat at the five principal markets in this Oklahoma........................ 387 10 5 414,510 34 955 25,59 2 37 16 367 District totaled 13,rn8,300 bushels, which was 492,290 bushels Kansas.--························· 105 Wyoming.. ...................... 22 1 43 2,436 above the receipts for the corresponding month last year, the Colorado.......................... 5 250 2 0 98 increase resulting from heavy early marketings of the new crop. 0 [111 New Mexico.................... 5 8,735 Hutchinson and Wichi ta reported receipts for the month were June 1930........................ 524 451,523 145 52 1,674 larger than a year ago. May 1930........................ 439 356,705 138 34 1,444 The June receipts carried the accumulated total receipts for June 1929.... - - - 345 82,873 122 22 1,606 the wheat year beginning July r, 1929 and ending June 30, 1930 6 Mos. 1930.................... 2,544 2,639,658 798 251 to 223,581,280 bushels, which compares with 235,776,960 bushels 6 Mos. 1929.................... 2,365 586,081 891 193 Some curtailment in operations at several refineries in Okla- for the preceding wheat year. Receipts of wheat at the five homa and Kansas, in efforts to adjust production to consump- markets for June and the crop year, with comparisons, are here tive demands, was indicated by the following reports which show shown: WHEAT YEAR JUNE the number of refineries in operation and the number of barrels 1928-29 1929-30 1929 1930 daily runs of crude oil to stills: Bushels Bushels Bushels Bushels July 1, 1930 Refineries operating, number. __ . Daily runs to stills, barrels.... .... June 1, 193~ 56 56 300,600 317,750 July 1, 1929 58 309,200 Zinc and Lead During June and the first six months of 1930 operations in the zinc and lead fields of Missouri, Kansas and Oklahoma, the Tri-state District, were less active than in any recent year. While records show June shipments of zinc and lead ores were Hutchinson ............................ 4,6 23,75° Kansas City .......................... 4,368,650 694,400 Omaha·--······························· 264,000 St. Joseph .............................. Wichita .................................. 3, 157,500 2,979,45° 5,136,560 1,504,000 351,4oo 2,644,6oo 45,912,050 42,989,400 92,7 23,53° 106,673,710 39,272,000 42,848,000 15,370,500 u,664,800 30,303,200 31,601,050 Five markets ........................ 13,108,300 12,616,010 223,581,280 235,776,96o The receipts of corn, oats, barley, rye and kafir at the five markets during June and the first six months of 1930, and also 6 THE MONTHLY REVIEW for the month and half-year period m 1929, are shown m the following: and yields from combines and early threshings generally exceeded expectations, and accounted for material gains over the June Corn Oats Rye Barley Kafir estimate in Kansas, Nebraska, Oklahoma and Colorado. Bushels Bushels Bushels Bushels Bushels SPRI G WHEAT production, with a small decrease in the 181,250 81,900 13,750J Hutchinson·-··················· acreage, was forecast on its July I condition at 10,692,000 bushels, Kansas City.................... 2,542,500 388,000 10,500 107,200J 1791300 Omaha._ ........................... 1,694,000 86,400 a decrease of 1,495,000 .bushels from the crop harvested in 1929. 778,000 16,800 St. Joseph ........................ 176,000 607,500 19,250 3,000 ALL WHEAT production (winter and spring wheat) accordWichita ............................ 141,700 3,000 24,700 7,800 ing to the official figures, was estimated at 276,932,000 bushels for this District, an increase of 9,439,000 bushels over 1929. June 1930........................ 5,166,950 1,345,000 27,300 272,000 251,300 OATS: The acreage sown to oats last spring was about 9 per200,700 313,100 May 1930.... - - - - 4,090,950 1,682,000 27,300 June 1929........................ 5,360,950 786,000 14,000 143,750 912,500 cent larger than that sown in the spring of 1929. Oats were 6 Mos. 1930.................... 42,641,300 9,063,000 168,900 1,416,500 2,945,100 planted early and most of the crop matured before the high tem6 Mos. 1929.................... 41,430,250 6,000,000 310,100 992,350 5,886,000 peratures in July. Estimated yield for the District, based on Flour Production the July 1 condition, was for 164,817,000 bushels, or 12,370,000 The production of flour at mills throughout the Tenth Dis- bushels above the l 52,447,000 bushels harvested in 1929. trict continued in heavy volume during the monthofJuneand BARLEY: The barley crop in this District was estimated the output of 2,055,064 barrels was, with the exception of a slight- as of its July 1 condition at 49,553,000 bushels, compared with ly higher output in June 1929, the largest for any June of record. last year's production of 49,973,000 bushels. Colo~ado and The June output carried total production for the 1929-1930 Kansas reduced their barley acreages and reported smaller prowheat year to 26,141,592 barrels which was 1,149,849 barrels or duction than last year. Nebraska increased its barley acreage 4.2 percent below the 27,291,441 barrels produced in the 1928- by nearly IO percent and production in that state was estimated 1929 wheat year. at 14 percent above last year's crop. The production figures for the principal milling centers in RYE: Rye showed a marked increase in areas in ebraska and this District are herewith presented for the month of June and Kansas and the forecast for the two states was 5,636,000 bushels, the 1929-1930 wheat year, with comparisons, as compiled as compared with 3,932,000 bushels as last year's production. from the weekly reports of the orthwestern Miller: Corn: The first official estimate of this year's corn crop in Month of June Wheat Year the Tenth District was for 494,304,000 bushels, an increase of 1930 1929 1929-30 1928-29 48,889,000 bushels over the 1929 crop, with Nebraska, Missouri, Barrels Barrels Barrels Barrels Atchison ........................ 124,068 122,369 1,511,319 1,501,566 Kansas, Oklahoma and Wyoming promising larger crops than Kansas City ............ - ..623,007 682,863 7,849,416 7,854,993 in 1929. The condition of corn on July 1 averaged 79 percent Omaha....._ _ _ __ 103,o61 85,4II 1,228,364 1,194,039 of normal, or 4 points higher than on July 1, 1929. The area 153,100 130,742 1,931,015 1,984,912 Salina.·-························ planted in this District as a whole showed a small increase over St. Joseph ...................... 91,439 IIo,862 1,451,320 1,582,653 156,533 173,o66 1,871,234 1,947,428 that planted last year. Wichita ... ---·--····· Outside ......................... . 803,856 766,076 10,298,924 11,225,850 According to reports from the leading producing states in this District, corn made excellent progress during June, due to TotaL............................ 2,055,064 2,071,389 26,141,592 27,291,441 beneficial rains and favorable conditions for cultivation and Reports from millers over this District at the opening of growth. However, late J yly reports indicated this good progress June indicated that while bookings of orders for flour had been was checked and the corn suffered injury over a wide area from increasing in recent weeks, the volume was not as heavy as at excessive heat, hot winds and lack of rain. the beginning of the wheat harvest last year. POTATOES: The area planted to white potatoes in this Farm Crops in the Tenth District District was approximately the same as in 192.9, with this year's WINTER WHEAT: The preliminary forecast on winter production estimated at 34,130,000 bushels, or 2,197,000 bushels wheat production in the Tenth District was for 266,240,000 above last year's production. The July 1 forecast for Colorado, bushels, a gain of 15,828,000 bushels over the June estimate, the leading producing state, was for a smaller potato crop than 10,934,000 bushels more than was produced in 1929, and that grown in 192.9. On the other hand, larger yields than last 7,900,000 bushels above the average for the five years, 1924 to year were reported for Nebraska, Kasnas, Missouri and Okla1928 inclusive. The reports from over the winter wheat belt homa, with the Wyoming crop about the same, and New Mexico indicated the harvest was normally well advanced by July 1 showing a small decrease. ESTIMATED PRODUCTION OF LEADING FARM CROPS IN SEVEN STATES AND THE TENTH FEDERAL RESERVE DISTRICT From Reports of the U. S. Department of Agriculture and State Boards of Agriculture. (Figures are in thousands of units, coo omitted) Barley Potatoes Tame Hay Winter Wheat Spring Wheat Corn Oats Bushels Bushels Tons Bushels Bushds Bushels Bushels July Est. Yield July Est. Yield July Est. Yield July Est. Yield July Est. Yield July Est. Yield July Est. Yield 1930 1929 1930 1929 1930 1929 1930 1929 1930 1929 1930 1929 1930 1929 2,677 Colorado.-..................................... 14,338 n,994 5,023 6,018 17,758 23,222 5,562 6,572 12,159 13,671 u,180 12,320 2,484 2,891 Kansas .......................................... 146,688 137,712 552 348 130,n4 1o6,802 39,933 28,249 II,178 12,464 5,640 4,375 3,089 480 238 7,830 5,508 J,686 . 5,2II Missouri .. ----················· 19,035 17,200 150 100 177,660 126,524 44,525 33,770 9,200 8,924 4, 1 89 Nebraska.·-··-----········ 65,675 53,664 2,820 2,891 240,uo 237,744 82,225 86,304 21,540 18,892 3,57 2 228 325 159 186 439 447 New Mexico·-····························· 1,328 4,738 630 1,008 3,504 4,180 940 1,161 1,425 4,662 3,294 Oklahoma._................................... 33,696 44,478 67,040 48,320 23,940 20,592 1,254 93 2 875 1,196 Wyoming............. _ _ _ _ _ 1,350 1,o66 1,904 2,265 3,363 2,832 4,800 4/2.05 3,348 3,348 2,200 2,090 1,128 Seven States ................................ 282,uo 270,852 n,079 12,630 639,549 549,624 201,925 180,853 50,187 50,363 40,871 36,697 15,947 16,869 TENTH DISTRICT____ 266,240 255,306 10,692 12,187 494,304 445,415 164,817 152,447 49,553 49,973 34,130 31,933 12,342 12,348 United States.---·· · - - - -557,719 577,784 249,546 228,006 2,802,442 2,614,307 1,329,407 1,233,574 331,925 303,552 398,419 359,796 85,431 to1,715 7 THE MoNTHLY REvrnw ================================= BROOM CORN: A broom corn crop of 59,800 tons, or 19,400 tons more than last year, is indicated by the July reports from Colorado, K ansas, Missouri, Nebraska, New Mexico and Oklahoma. T his estima ted production represents more than 85 percent of the United St ates crop, estimated at 69,900 tons. SUGAR BEETS : Colorado reported a sugar beet area of 240,000 acres and a July 1 condition of 84 percent. The forecast was for I 2.2 tons of beets per acre, or total production of 2,928,000 tons, which is 766,000 tons above production in 1929. Nebraska's sugar beet area was reported at 82,000 acres and a probable prociuction of 984,coo tons of beets, against 92,000 acres and I ,054,000 tons produced last year. Wyoming promised a yield of 441,000 tons against last year's production of 487,000 tons. HAY: T ame hay acreage for the District shows but very slight change from that of last year. The July 1 estimate was for total production of 12,342,000 tons, which was 6,000 tons below the fi nal figures on tame h ay production for 1929. According to the returns from four of the seven states the crop of wild hay shows a small increase over that for 1929. COTTO : The area of cotton in cultivation in the United States on July 1 was estimated at 45,815,000 acres, or 97.3 percent of last year, by the crop reporting board of the United States Department of Agriculture in its report issued July 8. The acreage of cotton in cultivation in Oklahoma, the leading producing state in this District, was estimated at 4,076,000 acres or 354,000 acres less th an last year. Missouri reported an increase of 35,000 acres and New Mexico an increase of 1,000 acres over last year. The acreage in cultivation on July 1 in the eight producing states lying west of the Mississippi River is here shown with last year's figures for comparison.: ' Tex as...... ................. ........................... ..................... ....... Oklahoma.....................................·-······························ Arkansas........................................................................ Lot,isiana...................................................................... Missouri........................................................................ Arizona.......................................................................... New Mexico.................................................................. California...................................................................... July 1, 1930 July 1, 19z9 17,500,000 18,z29,ooo 4,076,000 4,012,000 z,071,000 383,000 212,000 133,000 z73,ooo" Total eight states.......................................................... z8,66o,ooo Total United States.................................................... 45,815,000 4,430,000 3,933,000 2,135,000 348,000 z27,ooo 132,000 f319,000 z9,753,ooo 47,067,000 Livestock During the first six months of the present year 2,125,720 cattle were received at the six principal livestock markets in the Tenth Dis rict. This total reflected an increase of 127,729, or 6.4 percent, over the number of cattle received at these markets during the first six months of 1929. With that exception this year's six months marketings of cattle were the smallest for any period on records covering the past twelve years. Receipts of calves, totaling 301 ,557 for the first half of the year, showed an increase of 13,521, or 4.7 percent, over the like period in the preceding year. Receipts of 4,374,078 sheep during the first six months showed an increase of 36! ,8 54 over the like period in r 929, and the largest number received for any first half year of record. Receipts of hogs, totaling 5,478,700 for the first six months of this year, were 578,816 or 9.6 percent, less than the number received in the like period of the previous year and the smallest first half year receipts since 1927. Receipts of horses and mules totaled 77 ,540 head for the first six months of the current year, 5,531 head, or 7.7 percent, more than the 72,009 head received in the first half of 1929. Receipts of horses and mules declined sharply during the busy harvest season, with a June total of 3,806 received at the six markets indicating decreases of 1,023 from May and 1,174 from June last year. PRICES: Market prices paid for meat anim als during the first six months of 1930 showed material declines as to cattle and sheep and slight declines as to hogs. At the close of June cattle were from '/,1.50 to '/,4.25 lower than on January 1, according to kinds, while sheep and lambs were from $3 to $4 lower, though the net loss on hogs was only 40 cents per hundred pounds lower. CO DITIO S: Decline in the condition of ranges in parts of this District during June was indicated by the July report of the Division of Livestock and Crop Estimates. According to the Colorado report the condition of Colorado ranges on July 1 was 86 percent of normal, 8 points lower than one month earlier, but 3 points higher than on July 1 last year. The decline in June was ascribed to a light June rainfall and temperatures below normal, which retarded growth and caused grass in some sections to turn brown. Declines in range conditions were also reported for Wyoming and ew Mexico. The reports for Kansas, ebraska and Oklahoma indicated conditions of ranges and pastures were somewhat spotted, varying from poor to excellent, while Missouri reported pastures were very poor. otwithstanding the poorer range and pasture conditions, the July reports indicated cattle and sheep generally were in good condition. In a few states including North Dakota, Oklahoma and Texas cattle show some improvement, the report said. In the states west of the continental divide cattle are in much better shape than a year ago. Condition of cattle and calves s 90, compared with 90 last month, 90 a year ago, and a 5-year average of 91. Some improvement in sheep was noted in orth Dakota and Texas. In the states west of the Continental divide sheep are in much better condition than a year ago. In states east of the divide they cannot maintain their present conditions unless the JUNE MOVEMENT OF LIVESTOCK IN THE TENTH DISTRICT RECEIPTS Cattle 112,944 II8,324 31,989 18,690 16,333 13,876 STOCKERS AND FEEDERS Calves Hogs Sheep 19,47z • 301,90z 154,854 310,663 159,867 4,799 6,327 130,074 109,799 3,128 t34,168 ~ t61,086 7 6,313 [z1,960 ~.-~ 7,33z 3,810 _ 53,883 r,· _10,395 __ f"·_ _ Cat.tie z2,748 7,6z4 4,3'20 June 1930.............................. 31z,156 43,849 85z,650 5o3,333 May 1930......... .................... 332,247 47,638 6z3,846 893,206 June 1929.............................. 302,786 43,IIZ 963,364 444,987 6 Months 1930.................... 2,125,720 3° 1,557 5,478,700 4,374,o78 6 Months 19z9.................... 1,997,991 '288,036 6,057,516 4,01'2,'2'24 *Includes)23,107 hogs direct to packers' yards. 40,z21 66,885 Kansas City.......................... Omaha .................................. St. Joseph ... -........................ . Denver................................. . Oklahoma City ................... . Wichita·-······························· 5,529 55,047 448,404 396,756 Calves 3,151 1,134 110'22 1,142 6,449 8,156 __ 8,849 55,655 45,956 PURCHASED FOR SLAUGHTER Hogs 4,824 982 Sheep 14,396 58z 7,543 5,601 z,164 8,55z 13,141 16,458 ~ ~- 80,z26 u6,941 z5,z86 52,8z6 55,164 54,871 386,626 533,75 1 Cattle 63,6o9 77,8oz z4,298 9,839 II,102 5,784 Calves Hogs 14,656 • 248,950 19 2,434 3z,156 35,065 181,421 3,665 5,zoz 1,861 5,z54 1,518 172,830 30,690 1,103,067 '200,713 1,u5,08z '206,785 z33,705 100,188 z6,z18 17,262 51,093 677,416 704,466 76z,808 Sheep 124,607 127,669 99,970 10,194 6,370 10,zo7 379,o17 462,146 350,787 3,963,z4o 2,804,098 4,699,677 z,413,762 8 THE MONTHLY REVIEW drought conditions prevalent there are relieved soon. Condi-tion of sheep and lambs is 92, compared with 92 last month, 90 a year ago and a 5-year average of 94.2. JUNE PIG SURVEY: A decrease of about 6 percent in the spring pig crop of 1930 from that of 1929 for the United States as a whole is shown by the June pig survey of the Department of Agriculture covering about 72,000 farms. The decrease shown in the eleven Corn Belt States was about 3 percent; all other areas also showed decreases, these being 21 percent in the Torth Atlantic, 2 percent in the South Atlantic, 28 percent in the South Central, and 17 percent in the F ar Western. Weather during during and after farrowin g time was generally favorable this spring which resulted in an increase in the number of pigs saved per litter in most areas. This increase was especially large in the Corn Belt area west of the Mississippi River where the average size of litters saved increased from 5.53 to 5.84. For the whole Corn Belt and for the Uni ted States the number of pigs saved per litter this spring was the largest shown for the spring crop inthe eight years for which similar surveys have been made. The reports of the number of sows bred or to be bred for farrowing in the fall of 1930 point to but little change in the number that will farrow this fall from the number that farrowed in the fall of 1929. . Meat Packing The June slaughter of cattle at meat packing plants located in the six principal livestock centers of the Tenth District, totaling 192;434 head, was larger than in either the preceding month or the corresponding month last year, and the largest June slaughter since 1927. The six month's total of 1,103,067 head of cattle killed and dressed was 12,015 less than for the first six months of 1929 and the smallest six months total in twelve years. The number of calves killed and dressed during June showed a small gain over the previous June, while the half year total showed a small loss as compared with the first half year of 1929. · Fewer sheep were killed and dressed in June than in any month of the present year. However, the June total of 397,017, and the six month's total of 2,804,098, were the largest for June and the first six months on twelve years' records. The slaughter of 677,416 hogs during June, which included purchases at public stock yards and direct shipments to packers, was materially smaller than either the preceding month or the corresponding month last year. The accumulated total of 3,963,240 hogs slaughtered during the first six months of the year showed a decrease of 736,437 as compared with the total for the first six months of I 929. · Business Conditions in the United States By the Federal Reserve Board Industri al production decreased in June by more than the June and early July continued to be substantially below the usual seasonal amount and factory employment and payrolls corresponding periods of 1928 and 1929. Preliminary reports declined to new low levels. The volume of building contracts indicate that the decline in department store sales from a year awarded was large. Prices declined sharply and money rates ago was oflarger proportions in June than in any previous month this year. Wholesale commodity prices declined more rapidly continued downw~rd. INDUSTRIAL PRODUCTION A D EMPLOYME T: In in June than in any other recent month and the index of the June industrial production showed a furth er su bstantial decrease Bureau of Labor statistics at 86.8 percent of the 1926 average was and the Board's index, which is adjusted for ordinary seasonal · about 10 percent belowthelevelofayearago Pricesofmanyimporvariations, declined to the lowest· level since last December. tant agricultural commodities and their manufactures declined Output of steel ingots declined in June and early July more than further, and those of certain leading imported raw products, is usual at this season, while automobile production was sharply silk, rubber and coffee, reached new low levels. There were curtailed to a level considerably below that of the same period also further declines in iron, steel and copper. Prices of raw of the past two years. Cotton consumption, already at a low wool, hides and raw sugar increased slightly during June. Early level, declined further in June. Ou:tput of bituminous coal and in July prices of meats were stronger, but there were further copper continued in small volume. Wool consumption and declines in many other commodities. shoe production increased slightly and cement output, as in the BANK CREDIT: Loans of reporting Member Banks in preceding month, was at a high level. F actory employment and leading cities declined somewhat between the middle of June and payrolls decreased further in June. The number employed at the middle of July and on July 16 were '$60,000,000 smaller than steel plants and in the automobile, agricultural implement, five weeks earlier. Loans on securities decreased by $140,000,000 and cotton goods industries, declined more than is usual at this while "all other'' loans increased by $80,000,000. The banks' season, and employment in the woolen goods and lumber indus- investments increased further by about $280,000,000 during this tries continued at unusually low levels. The value of building period and were in larger volume than at any other time in the contracts awarded in June, $600,000,000 according to the F. W. past two years. Member Bank balances at the Reserve Banks Dodge Corporation, wa~ about 30 percent more than in May increased and in the week ending July 19 averaged $60,000,000 and the largest since last July. The increase reflected chiefly more than five weeks earlier, and at the same time their borrowunusually large awards for natural gas pipe lines arid power ings from the Reserve Banks declined by nearly $20,000,000, plants. The volume of contracts for residential building was reflecting an increase in the Reserve Banks· holdings of acceptsomewhat smaller than in M ay. In early July the total volume ances and Government securities, a further slight growth in of contracts was small. gold stock and a continued decline in the volume of money Department of Agriculture estimates, based on July I condi- in circulation. tions, indicated a decrease from last year of about 20 million Money rates in the open market continued to ease and in the bushels in the winter wheat crop and a corresponding increase middle of July rates on 90-day bankers acceptances at I ½ perin spring wheat. The corn crop is expected to be about 2,800,000- cent were at new low level, while rates on commercial paper at 000 bushels, 7 percent larger than last year and 6 percent above 3-3¼ percent were at the low point of 1924. During July the the five year average. Area planted to cotton is estimated at Reserve Bank discount rate was reduced at Boston from 3_½ to 3 percent and at Philadelphia, Atlanta and Richmond from 45,815,000 acres, 2.7 percent less than last year. DISTRIBUTION: The volume of freight car loadings in 4 to 3½ percent.
@FedFRASER