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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. McCt.UllE, Chairman and Federal Reserve Agent A. M. McADAMS 3 Assistant Federal Reserve Agent and Secretary Vol. 15 KANSAS CITY, Mo., DECEMBER r, 1930 a No. 12 TH DISTRICT SUMMARY OF BUSI NDITIO S for liivestock and late crops in this District or Decrease (-), for October over the preceding month mproved between October 1 and November 1 due to the Percentages of Increase, and the corresponding month last year. mild, fair weather and well distributed rains. Cattle October 1930 compared with and sheep, in the range areas, were reported in good Resh and the Banking September 1930 October 1929 Bank debits, 29 cities ................... _ _ _ _ _ _ 1.8 -19.2 ranges in good condition with sufficient feed for winter needs Federal Reserve Bank clearings................................ 2.5 -25.3 in most localities. Loans, 56 member banks.......................... - 0.1 -12 .7 ovemher 1 crop reports for the district, while disclosing Investments, 56 member banks................................ 2.0 9.4 some effects of the drought, indicated slightly larger .crops of Demand deposits, 56 member banks........................ - 2.8 - 1.5 Time deposit , 56 member banks.............................. 2.0 9.1 corn, cotton, sugar beets and white potatoes than was indicated Savings deposits, 49 selected banks.......................... - o.6 4.7 one month earlier. Cotton picking and sugar beet harvest made Savings accounts, 47 selected banks·--··· 0.1 4.3 rapid progress during October and .at th.e end of the month was Life insurance written·--······················ 12.6 12.5 largely completed. Cotton gins and sugar refineries operated at Distribution -10.3 Wholesalers' sales, 5 lines combin~----capacity during the month. Retailers' sales, 38 department stores ...................... - 4.1 Trade in the Tenth District, as measured by dollar sales of . Lumber sales, 174 retail yards ................................. . 12.4 -32.6 thirty-eight department stores and the combined sales of repre- Construction Building contracts awarded, value_ _ __ sentative wholesale firms, for the twenty-seven trading days 3.7 Building permits in 1 8 cities, value .. - ..................... . 16.3 of October averaged less than one percent under that for the receipts, 5 markets twenty-five trading days of September. Department store trade Grain Wheat ............................................ _ _ _ __ -33.5 in October was 4.1 percent less and wholesale trade, five lines 3.2 Corn ................. - - - - - - - - - - - - - -11.3 combined, approximately IO percent less than in October 1929. Oats ............... _ _ _ _ -----·················· - 9.2 4.3 -56.9 Rye...................... - - - - - - - Stocks of merchandise at both wholesale and retail were larger Barley...................................... - - - - - - 5.6 on October 31 than on SeptemberJo, but smaller than a year ago. Kafir........ _ _ __ -80.2 Collections improved during October but were less than in Livestock receipts. 6 markets October 1929. Cattle.................................................... _ _ __ 7.7 There was a resumption of building activity during the month, Calves......·----······················----Hogs .......... _ _ _ _ _ _ _ _ _ _ _ _ __ -12.0 the number of permits issued in eighteen cities being the largest Sheep..................... - - - - - · - - - - - for any month since April and their estimated value the largest Horses and mules ......· · · · - - - - -··················· for any month since May. Building contracts awarded in the Production Flour .............. - - - - - - - - - - - District were 62.9 percent larger than the September awards Coal... .. _ _ _ _ _ _ _ _ _ _ _ _ __ -20.4 and 3.7 percent larger than awards in October 1929. However, Petroleum _ _ _ _ _ _ _ _ _ _ _ _ __ -11.7 awards for residential construction were the smallest -34.o Cement.......... - - - - · - - - - - - - Zinc ore (shipped) Tristate Distric _ _ _ _ _ for any October on five years' records. 0.2 -28.3 Lead ore (shipped) Tristate District...... _ __ -63.0 7.3 Arrivals of all classes of grain in October, at the primary markets in the District, were smaller than in September, and the Meat Packing, 6 cities Cattle .......................... - - - - - - - - 9.3 - 7.2 month's receipts of wheat, rye and._kafi.r were the smallest_for Calves .... _ _ _ _ _ _ _ _ _ _ _ _ _ _ - 1.6 10.7 any October since 1925. Hogs ...................................... - - - - - 3.6 -15.6 Sheep...................... ..................................... -14.7 17.4 Market receipts of all classes of meat animals, except calves, were smaller than in October 1929. Compared to September, September total. Flour mills operated at a lower rate of capathere was an increase in the receipts of cattle, calve~ and hogs, city and produced less flour than in any October since l~J25• and a decrease in the receipts of sheep. Coal mining increased seasonally over September and cement There was a decrease in meat packing operations during the production displayed more than the usual seasonal decrease month, the slaughter of all classes of meat animals) except hogs, from the preceding month. There was a further reduction durbeing smaller than in September.. The October slaughter of ing the month in the daily average production of crude oil, the cattle was the smallest and of sheep the largest for any October October daily average....being the smallest for any month since on twelve years' records. November 1926. Production of flour, coal, cement, petroleum, .inc ore and lead There were further price declines during the month in wheat, ore was Jess in October this year than in October 1929, but corn, oats, flour, crude oil, zinc ore, and lead ore. Cattle and with the exception of cement, the October total exceeded the sheep prices were generally higher at the close of October than This Copy Released For Publication In Afternoon!. ·ewspapers _·ovember 28 2 THE MONTHLY one month earlier, but substantially under those of a year ago, for all classes. Hog prices declined seasonally during the first two weeks of November Financial There was no marked deviation during the past month from the easy money conditions which have prevailed for several months. There was a slight seasonal increase in the demand for credit to finance livestock feeding operations, but the midNovember total of bills discounted by this bank was the smallest for that date since 1924. Savings banks reported a slight decrease in deposits between October I and November I but were larger than a year ago. R EVTEW Nov. 12, 1930 Oct. 15, 1930 Nov. 13, 1929 Gold reserves .......................................... $ 99,397,902 $108,346,136 $ 95,100,297 Reserves other than gold...................... 7,027,297 6,205,046 4,229,977 Total reserves.___ ................. - - - - ro6,425,199 114,551,182 99,330,274 • Bills discounted .... - - - - - - 14,158,691 10,130,067 57,487,182 Bills purchased ...'................................... 9,328,999 8,584,313 19,673,858 U. S. securities........................................ 28,736,000 28,736,000 3,063,000 Total bills and securities...................... 52;223,690 47,450,380 80,224,040 Total resource.,_______ 202,189,752 207,346,270 242,164,927 F. R. Notes in circulation.................... 66,120,080 67,377.080 85,599,400 Total deposits........................................ 86,111,315 92,044,590 93,098,425 Bank Debits MEMBER BANK OPERATIONS: Investments of fifty-six . The volume of debits, as shown by reports from twenty-nine member banks in selected cities of the District, which report cities of the Tenth District during the five weeks ended Novemweekly to the Federal Reserve Bank of Kansas City, increased ber 5, was 1.8 percent larger than for the preceding five weeks 2.0 percent between October 15 and November 12, and the total of $250,399,000, on the latter date was the highest ever recorded. ended October 1, but 19.2 percent less than that shown for the The increase was evenly divided between investments in United corresponding five week period in 1929. The decrease was genStates securities and in other bonds, stock::, and securities. eral throughout the District, each of the twenty-nine reporting Total loans and discounts of the reporting banks dee.lined cities showing a smaller total than for the corresponding period f,487,000 or 0.1 percent in the four weeks to $413,753,000, the of the preceding year. lowest mid-November total on ten years' records, and were Debits, or payments by check, during the first forty-four f,60,107,000 or 12.7 percent less than on November 13, 1929. D1...ring the four week period, loans secured by stocks and bonds weeks of 1930 totaled $14,922,726,000 and were f,1,752,699,000 declined $4,956,000 while" all other'' loans increased $4,469,000. or IO. 5 percent less than the total reported for the same cities Both cla~ses o( loans shared about evenly in the decline from the total of a year ago. Time deposits increased 2.c percent in four for the corresponding period in 1929. weeks and were 9.1 percent larger than one year ago. Demand deposits showed little change from four weeks ago or one year ago. Principal resource and liability items of the fifty-six reporting banks, compiled from weekly statements as of three dates, follow: Nov. 12, 1930 Oct. 15, 1930 Nov. 13, 1929 Loans and investments- totaL __ ······· i664,152,000 $659,834,000 $702,837,000 Loans and discounts-total.................. 413,753,000 414,240,000 473,860,000 Secured by stocks and bonds·--··-··· l 12,096,000 I 17,052,000 124,531 ,ooo All other loans and discounts.......... 301,657,000 297,188,000 349,329,000 Investments-total................................ 250,399,000 245,594,000 228,977,000 i U. S securities.................................... 106,928,000 ro4,885,ooo 103,493,000 Other bonds, stocks and securities.. 143,471,000 140,709,000 125,484,000 Reserve with F. R. Bank...................... 54,535,000 58,520,000 58,264,000 Net demand deposits............................ 495,235,000 509,694,000 502,700,000 Time deposits.-............... _ _ _ _ _ 198,576,000 194,644,000 182,092,000 Government deposits............................ 716,000 2,135,000 1,ro8,ooo RESERVE BANK OPERATIONS: There was a seasonal increase in credit demands at this bank and branches in the four weeks between October I 5 and November 12. Bills rediscoun ted for member banks totaled f,14,158,691 on November 12, the smallest mid-November total since 1924, $4,028,624 or 39.8 percent more than on October I 5 but $43,328,491 or 75.4 percent less than on the corresponding date last year. Bills purchased in the open market exhibited a similar trend, showing an increase of 8.7 percent during the four-week period and a decrease -of 52.6 percent for the year. This bank's holdings of United States securities has remained unchanged for twenty-one consecutive weeks at $28,736,000 compared to $3,063,000 held on November 13, 1929. Federal Reserve note circulation declined 1.7 percent in four weeks and 22.8 percent in fifty-two weeks. ~ Gold holdings on November 12 were somewhat larger than one year ago, and the reserve ratio stood at 69.9 percent as against 55.5 percent on November 13, 1929. The principal resource and liability items of this bank are here shown for comparison. F1vE WEEKS ENDING Percent November 5, 1930 November 6, 1929 Change Albuquerque, N. M.--..................... $ 14,954,000 ~ 20,361,000 -26.6 Atchison, Kans................................ 6,758,000 8,049,000 -16.0 • Bartlesville, Okla.-.. ··· · · · - - - 30,936,000 31,793,000 - 2.7 Casper, Wyo.__ ................................. 9,292,000 II,075,000 -16.1 Cheyenne, Wyo .. _ _ _ _ _ _ 8,255,000 9,978,000 -17.3 Colorado Springs, Colo____ 19,634,000 22,485,000 -12.7 Denver, Colo.................................... io8,178,ooo 271,445,000 -23.3 Enid, Okla........................................ 15,970,000 18,368 1000 -13._1 Fremont, Nebr.-............. _ _ _ 3,950,000 4,920,000 -19.7 Grand Junction, Colo ..._ _ _ _ 4,125,000 6,342,000 -35.0 Guthrie, Okl"--------3,303,000 4,776,000 -30.8 Hutchinson, Kans............................ 16,827,000 26,746,000 -37.3 Independence, Kans.. ...................... 11,867,000 16,239,000 -26.9 Joplin, Mo........................................ 13,370,000 17,491,000 -23.6 Kansas City, Kans.......................... 23,047,000 23,822,000 - 3.2 Kansas City, Mo______ 488,286,000 601,262,000 -18.8 Lawrence, Kans................................ 5,444,000 6,417,000 -15.2 Lincoln, Nebr. _ _ _ _ _ _ _ 41,142,000 43,245,000· - 4·9 Muskogee, Okla................................ 12,603,000 18,015,000 -30.0 Oklahoma City, Okla...................... 143,9n,ooo 169,236,000 -15.0 Okmulgee, Okla......... - - - 51963,0~1 10,022,000 -40.5 Omaha, Nebr.................................... 234,617,000 285,549,000 -17.8 Pittsburg, Kans................................ 5,649,000 , 7,455,000 -24.2 Pueblo, Colo._................................... 20,907,000 26,689,000 -21.7 Salina, Kans................ - - - 13,358,000 16,234,000 -17.7 St. Joseph, Mo___ _ _ _ 49,347,000 67,736,000 -z7.1 Topeka, Kans. ___ ............................. 26,037,000 27,078,000 - 3.8 Tulsa, Okla........................................ 167,528 1000 208,055,000 -19.5 Wichita, Kans.................................. 64,754,000 85,610,000 -24.4 29 Cities, 5 weeks .......................... $ 1,670,012,000 29 Cities, 44 weeks.......................... 14,922,726,000 $ 2,o66,493,ooo -19.21 16,675,425,000 :_-10.5 Reserve Bank Clearings During the· five week period ended November 5 the Federal Reserve Bank of Kansas City and branches at Omaha, Denver and Oklahoma City handled 6,778,816 check collection items • for a total of $999,161,6o4, representing an increase of 5.7 percent in i terns and 2.. 5 percent in amount over the preceding five 3 THE MONTHLY REVTEW weeks ended October I. Compared to the corresponding five week period last year, there was a decrease of 8.7 percent in number of items and 25.3 percent in amount. During the first forty-four weeks this year, there was a decline of 2.5 percent in the number of items handled, and of 12.9· percent in their aggregate value. The number and dollar value of times handled during the periods referred to, are as follows: ITEMS Five weeks ending Five weeks ending Five weeks ending Forty-four weeks Forty-four weeks November 5, 1930.................... October 1, 1930.. _.................... November 6, 1929.................... ending November 5, 1930·-····· ending November 6, 1929·-····· AMOUNT 6,778,816 '/, 999,161,604 6,411,006 974,849,678 1,33 2,759,93 2 7,422,805 59,074,613 8,906,829,539 60,603,710 10,224,564,696 Savings In Banks Forty-nine commercial banks and savings institutions in the Tenth District reported a decrease of o.6 percent in their savings deposits between October 1 and November 1, but the total on November 1 was 4.7 percent above that of November 1, 1929. The number of savings accounts in forty-seven banks on November I was 0.1 percent larger than one month earlier and 4.3 percent larger than a year ago. A summary of the savings accounts and deposits, follows: Savings Accounts Savings Deposits 47 Banks 49 Banks $127,412,237 November 1, 1930..... - - - - - - - 4 22 ,574 . October 1, 1930................... - - - 128,171,448 421,951 November 1, 19:19..................... _ _ _ __ 405,122 121,674,212 Failures The October report of R. G. Dun and Company showed the smallest amount of liabilities involved in business failures in the Tenth Federal Reserve District for any month since February, and $496,884 or 26.2 percent less than the amount involved in October 1929 insolvencies. There were ten less failures in the District in October than in September, but 16 more than in October 1929. Failures in this District during the ten months of this year were 1,248 as compared with 1,205 in the same period last year, while liabilities during this year's ten months amounted to $21,488,298 against $18,159,002 for the same period last year. Failures in the United States were larger in both number and amount of liabilities involved in October and the first ten months of this year than in September or in the corresponding month and ten months of 1929. Failures in the Tenth District and the United States compiled by R. G. Dun and Company, are here shown: TENTH D1STlllCT Number Sctober 1930_······-···-················ 129 Oeptember 1930______ 139 October 1929................................ 113 Ten Months 1930........................ 1,238 Ten Months 1929........................ 1,205 Liabilities $ 1,399,900 2,003,869 1,896,784 21,488,298 18,159,002 UNITED STATES Number Liabilities 2,124 $ 56,296,577 1,963 46,947,021 1,822 31,313,581 21,799 529,339,711 19,076 363,739,2 1 9 Life Insurance Sales of new paid-for ordinary life insurance in the seven states, whose areas or parts form the Tenth District, amounted to $51,500,000 for the month of October, $5,761,000 or 12.6 percent above the September total ,but $7,346,000 or 12. 5 percent below the October 1929 total. Crops Favorable weather for corn husking, cotton picking, sugar beet harvesting, fall plowing, and winter wheat growth prevailed throughout the District in October. The government's November 1 estimates of 1930 production in this District of corn, cotton, sugar beets, and white potatoes were higher, and of broom corn lower, than one month earlier. CORN: The November 1 estimates, made by the Department of Agriculture and the State Boards of Agriculture, reflected a slight increase between October 1 and November 1 in the 1930 corn production in the Tenth District and placed this year's crop at 402,125,000 bushels against 445,415,000 bushels produced in I 929. There was an increase for the month in the estimated production for the states of Colorado and Nebraska, and a decrease for Missouri, the prospects in the other four states remaining unchanged from the October I estimate. The November 1 estimate on production, with the estimate of a month earlier and the final for 1929, follows in thousands: Nov. 1, 1930 Oct 1, 1930 Nov. 1, 1929 Bushels Bushels Bushels Colorado ......................... 23,222 34,833 34, 15° 106,802 76,164 76,164 Kansas.--··· Missouri ........ 76,986 126,524 79,947 230,875 235,49 2 237,744 Nebraska·---··········· New Mexico.............................................. 4,180 3,504 3,5°4 Oklahoma............................. 48,320 35, 196 35, 196 Wyoming...................... 2,832 4,071 4,071 Seven states .... Ten th District.... United States 466,246 402,125 2,094,481 463,907 397,447 2,046,716 549,624 445,4 15 2,614,307 The corn situation in four principal corn states of the District is summarized in the state reports as follows: COLORADO: ''The corn crop is forecast at 34,833,000 bushels, or 25.5 bushels per acre on I ,366,000 acres. This production has been exceeded only once 1923, when 37,625,000 bushels were produced. October weather was very favorable for drying out corn and the crop matured well in all sections of the state. It is estimated 90 percent of the crop is of merchantable quality This quality has never been exceeded in Colorado and only equalled three other years, 1914, 1918 and 1920." KANSAS: ''The average yield of corn per acre this year is 12.0 bushels compared with 17.5 bushels last year and the 1919-28 ten year average of 21.1 bushels. Weather during October and the late frost date made possible the development of maximum feed possibilities in both corn and grain sorghums. The distribution of corn by counties is little changed from last month. In a few counties husking returns are slightly higher than expected, others being lower. Nearly 65 percent of the crop was produced in the two northern tiers of counties. The corn crop this year was poorly distributed in relation to livestock numbers. Only 65 percent of this year's corn crop will be of merchantable quality This is slightly higher than the 1926 percentage of 63, but much below the av :rage. A smaller than usual percentage of the crop this year will reach market channels. The carryover of old corn from the 1929 crop on Kansas farms was 3 o percent or 3,204,000 bushels. This compares with a carryover last year of 5.0 percent from the 1928 crop or 8,956,000 bushels, and is less than the average carryover.'' MISSOURI: ''The 1930 Missouri corn crop is nearly 50,000,000 bushels less than last year, now estimated at 76,986,000 bushels, compared to 126,524,000 bushels in 1929, only 55 percent being of merchantab!e quality. Yields are very low in all south central and southeastern counties, while some good corn was raised in the northwestern counties. Corn gathering began early, and great variation is shown in acre yields.'' NEBRASKA: ''The 1930 corn crop after withstanding drouth, hot winds and extreme temperatures during a large part of the growing season is now going on record with an average yield of 25.5 bushels against 26 bushels last year and the five-year average of 24.8 5 bushels. Compared to normal, the highest yields this year were made in the western counties of the state. The injury from drouth and high temperatures was greatest in the eastern part of southern and northern Nebraska. Approxlmately 91 percent of th~ 1930 corn crop is of merchantable quality and 4.5 percent of the 1929 corn crop remained on farms on November 1, 1930" THE MONTHLY 4 REVTEw :================:======================== The national carryover--'of corn, to November 1 is estimated by the Department of Agriculture at 72.,349,000 bushels or 2..77 percent of the 192.9 crop. This is 5.5 percent less than the total held on November r, 192.9 and 2.9 percent less than the average of November I stocks for the five preceding.._years. SUGAR BEETS: Estimated-yields of sugar beets in the three principal beet growing states of the District, indicate this year's production would be the largest of record for those states and exceeding last year's production by 784,000 tons and equal to 58 percent of the nation's crop. Refiineries began "slicing" beets the first of November and the sugar_making _season will continue until about January I. November 1,)929J Yield- in 1929 Tons Tons 3,256,000 2,612,000 Colorado .. - - - - - - · - - - 1,091,000 Nebraska...................... - - - - - Wyoming.......... - - - - - - - - 590,000 Total, 3 states ........... _ _ _ __ 4,937,000 4, 153,000 J COTTON: The November report estimated cotton production in this District at 944,000 bales, 2.6,000 bales above the October 1 estimate, but 2.2.5,000 bales less than the 192.9 production. With favorable weather during October, it was estimated that So percent of the cotton in this District was gathered by November 1 with gins operating at capacity during the month. Total acres for harvest and estimated production in three states, parts of whose areas are included in this District, follow: Oklahoma.................................... Missouri ........ _ _ _ _ _ _ New Mexico ...... _ _ _ Acres for Harvest 1930 1929 3,954,000 4,427,000 373,000 330,000 130,000 130,000 Production (Bales) 1930 1929 950,000 1,143,000 155,000 220,000 100,000 90,000 Three states................................ 4,457,000 4,887,000 1,205,000 1,453,000 Unite , States.·----········· 44,791,000 46,594,000 · 14,438,000 14,828,000 The Bureau of Agricultural Economics, United States Department of Agriculture, estimated the nation's cotton crop, on the basis of ovember I indications, at 14,438,000 bales, 390,000 bales less than was produced in the United States in 192.9 and 48,000 bales less than was indicated October I. Ginnings of the 1930 crop to ovember 1, for the country as a whole, was placed at 10,863,6o1 running bales by the Bureau of Census, compared with 10,891,940 bales for 192.9 and 10,162.,482. bales for 192.8. Grain Marketing Arrivals of all classes of grain at five Tenth District markets were smaller in October than in September. October arrivals of wheat, rye and Kafir were the smallest for any October since 192.5 and of corn the largest for any October since 192.6, though only slightly above the totals for October 192.9 and 192.8. October receipts of six classes of grain at the five markets, with totals for September 1930, October 1929 and for ten months of both years, are here shown: Hutchinson...... Kansas City.... Omaha. __ ········· St. Joseph ........ Wichita............ Wheat Corn Oats Rye Barley Bushels Bushels Bushels Bushels Bushels 1,888,650 2,500 31,250 4,265,640 1,237,500 332,000 39,000 396,800 606,000 1,585,600 r,374,800 79,800 156)800 826,500 294,000 3,000 493,500 36,75,0 1,032,000 24,700 81,900 19,500 October 1930.. 9,598,390 Sept. 193cL..... 17,650,990 Oct. 1929·-·-·· 14,438,850 IO Mos. 1930._.189,883,210 10 Mos. 1929._.212,351,060 Kafir Bushels :22,100 34,100 --------- 3,133,000. 1,251,500. 121,800 703,500 56,:200 3,530,950 1,377,000 4o&,100 1,3..13,:200 59,900 3,036,150 1,200,000 282,800. 665,95.0 :284,:200 57,136,300 14,037,000. 1,12a,800 4,765,200 3,1!h,800 54,500,750 12,481,000 1,743,000 4,694,650 6,776,800 Market receipts of this year':; wheat crop from July 1 to October 31 totaled 140,489,990 bushels, 13,879,450 bushels, or 9.0 percent less than was received during the corresponding four months last year. As usual each succeeding month of the new wheat year has shown a reduction in market receipts of wheat from the preceding month's total. Receipts of wheat at the five markets in the Tenth District are here shown by months: Wheat Year 1930-3 1 Bushels July.............. _ _ __ 77,124,~90 August.-...... _ _ __ 36,u5,620 September...................................... 17,650,990 October........................ _ __ 9,598,39° Whe~t Year 1929-30 Bushels 84,500,770 39,482,710 15,947,uo 14,438,850 Four Months...... _ _ __ I 54,369,440 Wheat Year 1928-29 Bushels 72,89,5,390 43,462i>70 19,360,220 17,121,420 l 52,839,700 Prices of wheat,, corn and oats declined during October and in the second week of November wheat prices were. the lowest in twenty-eight years. According to the Missouri State. Department of Agriculture, farmers. of that state are feeding 3,6 percent of their 1930 wheat crop 011 about 7 million bushels, the heaviest feeding of wheat ever known m chat state. Flour Production Operating at 71.8 percent of capacity durinis the twenty-seven milling days of October, fl.our mills in this District reporting weekly to the Northwestern Miller, produced 2,361,093 barrels of fl.our, 2.1,02.6, or 0.9 percent more than they produced during the twenty-five milling days of September when they operated at 74 percent of capa-city. The month's production, thmigh the largest for any month since last October, was tbe smallest for any October since 192.5. In October 192.9 these mills reported a production of 2.,52.3,0--37 barrels 0£ flour and a capacity operation of 76..6 percent. The accumulated total of fl.our produetion for the first four months of the current wheat year was 9,2.91,669 barrels, 185,704 barrds or 2..0 percent less than was produced in the like period in tlie preceding wheat year. Production in the calendar year to November J was 4-.1 percent less than during the first ten months of 192.9 Atchison ........ Kansas City Omah Salina. __ .. St. Josep Wichit Oct. 1930 Barrels ............................................. 143,200 7 13,, 154 n9,35:2 Sept. 1930 Barrels 15-i,058! 701,345 III,704 Oct. I9lg Barrels 135,2..10 703,7,17 rn,558 190,118 184,988 1911428 37,584 157,143 35,117 160,179 zoz,539 Outside.............. 1,000,542 995,676 1,021,849 TotaL_ 2,361,09-3 2,34o,o67 2,523,037 156,736 Demand for flour during October was spotty and up and down with wheat price fluctuations. There was good family flour demand, but bakers and johbers were only buying for immediate needs and foreign demand continued poor. A sharp, break in prices on N ovem her 10 carried values to the lowest levels since 1902- and shut off inquiry temporarily as e~ry purchase made had shown a los., to the: buyer as the steady decline- in prices continued. THE MONTHLY REVTEW Meat Packing Measured by packers' purchases of meat animals at the six public yards reporting, including direct shipments of hogs to their own yards, there was a decrease from September in the slaughter of cattle, calves and sheep and a slight increase in the slaughter of hogs. In comparison with October a year ago there were increases of 10.7 percent and 17.4 percent, respectively, in this year's October slaughter of calves and sheep. Slaughter of cattle declined 7.2 percent and of hogs 15.6 percent. The October slaughter of cattle was the smallest and of sheep the largest for for any October on twelve years' records. The ten months' total shows fewer cattle and hogs and more calves and sheep killed than in the corresponding ten months of the preceding year. Stocks of pork and lard at Kansas City on October 31 amounted to 19,070,000 pounds compared to 25,071,000 pounds on September 30 this year, 30,081,000 pounds on October 31, _1929> and 34,119,000 pounds on October 31, .. 1928. Livestock Favorable weather prevailed over the range areas of this Dis: trict in October with temperatures and precipitation above normal. According to November 1 reports of the Division of Crop and Livestock Estimates, United States Department of Agriculture.,, sheep and lambs came off the range in good flesh. There was little demand for breeding ewes or ewe lambs and the tendency was to hold them back due to low prices and favorable weather and range conditions. Demand for feeder lambs was on the increase, according to the reports, but the movement to northern Colorado and the Arkansas Valley to the end of October was only about 20 to 25 percent of last year's movement to November I. The general situation with respect to range cattle was summed up by the state reports of Colorado and Wyoming as follows: COLORADO: • 'Cattle are in good condition. Shipments to market have been light. Low prices have encouraged holding until later. There has been a decrease in the number of cattle marketed, and an increase in number of calves over a year ago. Tendency is to hold back cattle where feed and finances permit. There is little restocking and very little forced liquidation." WYOMING: • 'Cattle are reported in fair condition. Shipments have been delayed due to the improvement in range conditions and low cattle prices, There is ,. general tendency to hold cattle where feed supplies will permit. Shipments ha,vc. been light with a marked tendency to ship older and heavier animals except in the. northeast where shipments were early and heavier as the result of drouth. The condition of cattle on November 1 is reported at 90 percent of normal a, compared to 91 percent last month and 95 pctcen.t the five:-ye.ar ave.rage.'' Cattle Kansas City.......................... Omaha.. St. Joseph........ Denver Oklahoma City._. Wichita.................................. 232,543 168,844 49,534 91,504 26,491 27,648 October 1930·-······-······-······ 596,564 September 1930.....·-············ 554,152 October 1929·-··········•··········· 664,510 10 Months 1930.................... 3,936,314 10 Months 1929.................... 3,961,258 •Includes 68,769 hogs shipped direct 5 MARKET M0VEME TS: October receipts of cattle, calves and hogs at the six principal Tenth District markets were larger and af sheep smaller than in September. Compared to October 1929, receipts of all classes of livestock, except calves, declined. Receipts of 596,564 head of cattle were the largest for any month since last October, but the smallest total for that month since 1920. Receipts of calves were unusually heavy, the month's total of 149,670 head being the largest for any month since October 1924 when 155,397 head were received at the six markets. For the ten months of the current year, arrivals of cattle were o.6 percent smaller and of calves r1.3 percent larger than during the corresponding ten months last year. The marketward movement of hogs was the largest since July, but the smallest October total since r927. Receipts of 617,147 head at the six markets, including direct shipments to packers yards, were 33,734 more than in September, but 83,.941 head or 12.0 percent less than in October 1929. The ten month total of 8,013,294 head was 1,081,455 head or 11.9 percent smaller than for the like period in 1929. Hogs, at all markets,. were lighter than is usual at this season and Omaha reported the ligh.test average weight for October since 1925. For the first time of record, the month's total of hogs_ received by truck at the Kansas City market, exceeded the total of receipts by rail. For the first time since 1926 October receipts of sheep, at the six markets, did not exceed the September total. The October total of 1,151,736 head was 152,365 head or 11.7 percent less than the September total and 23.3 percent less than th.e total received in October last year, and the smallest total for any October since 1926. The 8,080,889 sheep received during the first ten months this year compares with 7,816,036 head received in the like period last year. : Marketings of horses and mules declined during October and the total of 4,699 head for the month is the smallest October total on records dating from January 1919. This total compares with 5,469 head received at the six markets in September this year and 13,102 head received in October last year. The ten months' receipts were 92,747 head, a decrease of 18,147 head or 16.3 percent from the total for the same period last year. STOCKER A D FEEDER MOVEMENTS: Reports from the public stock yards in Kansas City, Omaha, St. Joseph and Denver, combined, show Octoher shipments to the country o cattle, calves and sheep were larger and of hogs smaller than in September. Compared to October 1929 shipments af cattle declined 14.1 percent and of sheep 440 percent, but shipments of calves increased 35.6 percent and of hogs 9.8 percent. Cumulative figures for the first ten rno.nths shaw 6.4 percent fewer cattle, 29 percent fewer hogs, .30.2 percent fe.wer sheep, and 3-0.1 percent more calves were shipped to the country fr.am these markets this year than during the corresponding ten months. m 1929. OCTOBER MOVEME T OF I.IVESTOCK IN THE TENTH DISTRICT RECEIPTS STOCKE.AS AND FEEDEJI.S Pincmsro Fo-. SiaUGH'JltllCalves Hogs Sheep Cattle Cattle Calves Calves Hogs Sheep Hogs Sheep th,040 • 242,541 a6,66J 24,302 • I 53,663 240,478 r30,196 20_,u9 4,800 146,321 55,102. 106,03a 162,073 ~,008 10,296 1 5~3 24,502 &9,867 14,,211 18-6,145 365, 153 854 17,36o 6,6o2 1,442 16,275 34,101 27,156 79,862 113,429 113,937 7,567 77,392 1,680 281,872 418,235 68,590 10,137 11,752 22,598 /31,530 56,694 14,957 937 17,206 ,22,96.8 16,877 15,920 11,071 3,814 4,373 10,068 2,128 42,061 14,690 8,778 44,o98 3,928 617,147 149,670 125,724 583,413 701,088 128,629 707,267 8~0J3,294 635,348 9,094,749 to packers' yards. 1,151,736 1,304,101 1,502,461 8,0.80,889 7,816,036 306,or3. 183,8,56 356,.L34 51,169 30,891 37,726 z,o37,93o 148,904 108,667 114,487 8,033 8,696 7,319 uo,317 155,455 !57,2'2.0 492,468 995,2oz 1,685,185 2,4r4,183 214,2&1 57,044 247,412 57,979~31,018 51,516 I,962.,967 404,570 2,001,123 399,641 421,099 ! 445,u:2 4,06,009 $U,989 498..701 5,71&,056 .,!Ss.6,.., 6,9 1 3,855 3',9ro,Jl70 m.= 6 THE MONTHLY REVIEW RETAIL TRADE AT 38 DEPARTMENT STORES)N_THE TENTH FEDERAL RESERVE DISTRICT SALES STOCKS (RETAIL) STOCK TURNOVER Stores October 1930 10 Months 1930 October 31, 1930 October Report- compared to compared to compared to ing October 1929 10 Months 1929 Sept. 30, 1930 Oct. 31, 1929 1930 1929 Kansas City.............. 4 - 5.5 - 8.1 4.5 - 9.3 .23 .22 Denver........................ 5 - 5.2 - 3.9 6.8 - 9.1 .24 .23 Oklahoma City.......... 3 2.6 2.6 6:1 1.1 .30 .29 Omaha........................ 3 - 9.4 - 1.4 Lincol 2 3.8 - 3.7 4.2 -17.1 .30 .23 Topeka·-····················· 3 34.5 - I.I 6.8 - 4.6 .34 .24 Tulsa.......................... 4 - 2.1 - 1.9 6.9 0.2 .31 .32 Wichita...................... 4 -19.3 -12.8 0.1 -15.4 .20 .22 Other Cities.............. 10 - 4.8 - 4.6 2.1 - 6.o .20 .18 AccoU N TS RECEIVABLE . co Months 1930 2.10 2.13 2.72 1929 2.16 2.01 2.32 3.22 1.99 1.70 3.04 1.65 1.57 I.75 2.65 COLLECTIONS October 31, 1930 October 1930 compared to compared to Sept. 30, 1930 Oct. 31, 1929 Sept. 1930 Oct. 1929 7.8 - 0.4 u.6 - I.I 1.8 - 0.4 20.0 - 0.3 4.9 6.8 35.6 - 4.9 6.3 5.5 14.6 7.4 6.2 3.4 49.7 3.2 29.8 18.7 28.3 - 7.5 10.4 0.3 35.1 6.4 Even -13.4 23.2 - 9.1 5.8 - 0.2 30.7 - 1.8 Total.......................... 38 - 4.1 4.2 6.o - 7.3 .25 .24 2.25 2.16 5.5 1.3 NOTE: Percentage of collections in October on accounts September 30, all stores reporting 40.5. Collections same month last year 41-4- 24.0 PRICES: Livestock prices were generally higher at the close of October than on the last day of September but were substantially under prices a year ago, for all classes. Cattle closed the month 25 cents to '$1 higher than at the close of September, feeder steers showing the greater strength_. Fat lambs were 25 cents to 50 cents higher and feeder lambs 75 cents to 1,1 higher. Fat hogs closed the month at '$9, unchanged from a month ago, but suffered seasonal price declines during the first two weeks of N ovem her. on accounts outstanding September 30, was 40. 5 percent as compared with 36.7 percent for September and 41.4 percent for October, last year. E ach of the five reporting wholesale trade lines reported increases in collections over the totals for September, but hardware was the only line to report larger collections in October this year than in October 1929. Trade RETAIL LUMBER: The October sales of lumber at 174 reporting retail yards in the Tenth District were substantially larger than during the shorter month of September but considerably smaller than in October 1929. The month's sales at these yards totaled 5,114,000 board feet, compared with 4,550,000 board feet for September and 7,585,000 board feet for October 1929. Stocks, at the close of October, were 3.6 percent smaller than on September 30 and 12.2 percent smaller than on the corresponding date last year. Collections increased 18.9 percent during the month but were 26 percent less than a year ago. The volume of October business at these yards is here compared with that for September of this year and for October 1929, in percentages of increase or decrease: RETAIL: The dollar volume of goods sold at retail at thirtyeight reporting department stores in Tenth District cities in October was 7.2 percent larger than the September volume, but 4.1 percent smaller than the volume for October 1929. Fifteen of the thirty-eight stores reported increases in their October sales over October 1929, the other twenty-three stores reporting decreases. The accumulated sales of the reporting department stores for the year to November I were 4.2 percent smaller than for the like period in the preceding year. Stocks of merchandise at department stores on October 31 were 6.o percent larger than on September 30, but 7.3 percent smaller than on October 31, 1929. WHOLESALE: The volume of wholesale trade in this District, indicated by the aggregate dollar value of sales reported by firms engaged in five lines of merchandising, was approximately 4 percent larger than in September, but approximately IO percent smaller than in October last year. By separate lines, the reports showed October sales of groceries, hardware and drugs were larger and sales of drygoods and furniture smaller than in September. Compared to October, last year, there was a decrease in sales for all lines, except groceries. Each of the five wholesale lines reported the dollar value ot their stocks on October 31, this year, was less than on the same date last year, and groceries was the only one of the five lines to report an increase in its stocks overt hose of September 30. COLLECTIONS: The composite figure on percentage of collections at thirty-eight department stores during October Lumber October 1930 Compared to September 1930 October 1929 Sales of lumber, board feeL ...................... 12.4 -32.6 Sales of all materials, doll.rr 9.3 -'1-5-5 Stocks of lumber, board feet ...................... - 3.6 -12.2 Outstandings, end of month...................... - I.8 -23.0 Collections during month·-····· 18.9 -26.0 Comparative figures of identical mills, reported to the National Lumber Manufacturers Association, indicate lumber production in the United States for the forty-four weeks ending November 1 was only 79 percent of the production in the like period in 1929. Shipments during the forty-four weeks period were 78 percent and unfilled orders 75 percent of the totals for the corresponding period last year. For the week ending November I production was 61 percent, shipments 78 percent, and unfilled orders 67 percent of the total reported for the like week last year. WHOLESALE TRADE IN THE TENTH FEDERAL RESERVE DISTRICT SALES ~ OuTSTANDINGS COLLECTIONS STOCKS -- Reporting Oct. 1930 compared with Oct. 31, 1930 compared with Oct. 1930 compared with Oct. 31, 1930 compared with Sept. 30, 1930 Oc!:,.l!..J,929 Stores Sept. 1930 0~ Sept. 30, 1930 Oct. 31, 1929 Sept. 1930 Oct. 1929 -10.6 -19.2 6 - 5.5 -15.9 o.6 -JU 21.8 -Z4.8 Dry Goods ... ·-···········-················· Groceries __________ IO.~ 0.3 6 6.1 5.7 6.z 0.5 9.1 5.0 -0.2 9 19.4 - 7.1 3.4 - 0.1 26.2 -13.z Hardware.---··--~--Furnitur...__ _ _ _ _ __ - 3.5 6 - 5.7 -39.8 - 5·7 - 22 •4 II.3 - 27.7 Drugs _ _ _ _ _ _ _ _ __ - 2.1 5 0.1 -12.2 0.5 -19.0 2.4 -12.6 THE MONTHLY REVIEW Building • • I : The mild weather during October brought a resumption of building activity in the Tenth District and for the first time since February the value of building permits issued during the month, in eighteen cities reporting to this bank, exceeded the value for the same cities reporting for the corresponding month in 1929. During October these eighteen cities issued 2,005 permits, representing a construction value of $7,603,417, which total compares with 1,951 permits for $4,339,484 issued in September and 2,294 permits for $6,537,254 issued in October 1929. The October total of permits was the largest for any month since April, but the smallest for any October since 1920. The value of October permits was the largest for any month since May but, except for October 1929, the smallest October value since October 1926. BUILDING IN TE TH DISTRICT CITIES Permits Estimated 1930 1929 1930 Albuquerque, N. M·--················· [71 80,830 '/, $ 77 8 1,700 Casper, Wyo·--····························· 5 Cheyenne, Wyo ............................ 21 22,172 23 Colorado Springs, Colo._............. 63,623 58 69 Denver, Colo ................................ 631 617,950 725 Hutchinson, Kans ........................ 244,0 35 46 44 Joplin, Mo.................................... 27,55° 17 36 Kansas City, Kans ...................... 68 67 104,965 Kansas City, Mo.......................... 161 201 2,353,05° Lincoln, Nebr__ ............................. 91,167 56 73 Oklahoma City, Okla .................. 264 2,171,245 359 Omaha, Nebr ................................ II3 291,360 89 139 21,968 96 Pueblo, Colo·-··························-···· Salina, Kans .................................. 21 22 68,250 Shawnee, Okla.............................. 22 48 26,550 50 56 46,679 St. Joseph, Mo·-··························· Topeka, Kans .............................. 64 89 46,765 143 Wichita, Kans .............................. 1,3 23,558 267 Total 18 cities, October .............. 2,005 Total 18 cities, 10 Months.......... 17,895 Cost 1929 134,630 5,75° 12 4,535 38,290 1,006,050 68,750 73,030 55, 203 1,467,650 35 ,573 ,5 1 9,55° 7° 2 ,555 1 1 97,261 29,137 l 123,990 41,630 188,525 5°9,145 .J 2,294 19,0 57 $ 7,6o3,417 '$ 6,537,254 $62,024,588 '$68,672,705 The October report of the F. W. Dodge Corporation showed building contracts awarded in this District for the month totaled $17,cxn,794, an increase of $6,560,985 or 62.9 percent over the September awards and $606,141 or 3.7 percent over the awards for October 1929. The October total carried awards in this District for the first ten months of the year to $248,714,748 compared with 204,110,807 in the like period last year. Awards for residential construction totaled 3,276,915 for the month, the smallest October total for that class of construction on five years' records. · Cement There was more than the usual decrease in the October production and shipment of Portland cement at mills in this District from the totals for September. Compared to October 1929 production declined 34 percent and shipments 36.7 percent. Production during October was the smallest for any month since February and shipments the smallest for any month since March. Stocks of cement at mills at the close of October were the smallest since December 1929 and were 3.9 percent smaller than on September 30 but 92.8 percent larger than at the close of October last year. Statistics showing production, shipments and stocks of Portland cement in this District, as compiled from the reports of the Bureau of Mines, United States Department of Commerce, are here shown: Oct. 1930 Barrels Produced._· · · · - - - - - · 1,091,000 Shipped...................................................... 1,174,000 Stocks, end of month.............................. 2,067,000 Sept. 1930 Barrels 1 ,493,COO 1,485,000 2,151,000 Oct. 1929 Barrels 1,654,coo 1,854,000 1,072,000 7 Bituminous Coal Mining activity at the soft coal mines in this District was at a higher rate during October than for any preceding month since February, but the output of 2,572,000 tons, although showing an increase of 567,000 tons over the September output, was the smallest production recorded for any October in the past ten years. Each of the six coal producing states in the District reported an increase in production over September and a decrease from October 1929. Production in this District for the year to November 1 totaled 19,054,000 tons, a decrease of 4,72-1-,000 tons or 19.9 percent from the production of the first ten months last year. The October tonnage with comparisons is here shown by states: *Oct. 1930 Tons Colorado .................................. _ __ 872,000 Kansas ..................................................... . 264,000 Missouri ................................................... . 321,000 New Mexico ............................................. . 190,000 Oklahoma .......... _ _ __ 316,000 Wyoming................................................. . 6o9,ooo Total.......................................................... *Estimated 2,572,000 Sept. 1930 Tons 671,000 230,000 264,000 II4,ooo 208,000 518,000 Oct. 1929 Tons 992,000 313,000 385,000 256,000 2,005,000 3,106,000 395,000 765,000 Petroleum A compilation of the weekly reports of the American Petroleum Institute indicates a further reduction in the daily average production of crude oil in this District, reflecting results of efforts to stabilize output. The daily average for October was 752,700 barrels, the smallest daily average for any month since November 1926, and 8,300 barrels less than the September average and 99,600 barrels less than the daily average for October 1929. Compared to October 1929, there was a decrease in production in every state in the Tenth District except New Mexico, which is rapidly increasing in importance as an oil producing state. Gross production for the thirty-one days of October exceeded that for the thirty days of September by 484,000 barrels, but was 3,087,000 barrels smaller than in October 1929. The reports by states: GROSS PRODUCTION *Oct. 1930 Sept. 1930 Barrels Barrels Oklahoma........................................... . 16,806,000 16,474,000 3,56o,ooo 3,484,000 Kansas·--············································· Wyoming ........................................... . 1,522,000 1,513,000 128,oco Colorado .............................................. 131,000 ew Mexico........................................ 1,316,000 1,252,000 Oct. 1929 Barrels 20,669,000 3,677,000 1,667,000 168,000 241,000 Total.................................................... 23,335,000 *Estimated, American Petroleum Institute The returns for the first ten months of 1930 show production of crude oil in this District to have been 244,046,000 barrels, the smallest first ten months' total in any year since 1926. This total compares with 269,6u,ooo barrels produced during the first ten months of 1929. There were numerous crude oil and refinery products price cuts during the month and the month closed with 40 gravity oil quoted at $1.07 a barrel. The October summary of field operations in the five states shows that, though four more wells were completed than in September, the volume of daily new production declined 259,009 barrels to the lowest point since July. However, the month's total of 667,600 barrels new production, was the third largest monthly total of record, and 452,516 barrels larger than the total for last October. The reports on development work showed 8 THE MONTHLY REVIEW fewer rigs up and wells drilling on November I than reported for any month in the past twelve years. The summary: Barrels Daily Dry Wells Completed New Production Wells 2 95 OklahomL ... 408,412 83 Ill Kanaas.... .......... ·-·-······17,150 45 19 4.4 15 3 Wyorning.... ·- ···-··-········ Colorado.......................... a 30 5 New Mexico.................... 237,593 4 39 October 1930_·········-··-· September 1930.............. October 1929.................. Ten months 1930·--·····. Ten months 1929 .......... 469 46-5 519 4,308 4,220 667,6oo 926,609 215,084 5,720,203 1,136,904 1 37 132 173 1,324 1 ,579 Gas Rigs-Wells Wells Drilling 662 45 216 29 136 3 2 93 III 80 78 46 5°7 1,218 1,340 1,575 355 The Oklahoma and Kansas reports of refinery activity, combined, show smaller daily runs of crude oil to stills on ovember I than on October I of this year or on ovember I of last year. OV. I Rcnncrics in operation, number.... -............ Daily runs crude oil to stills, barrels.......... 1930 61 275,300 Oct. 1 1930 59 286,050 OV I 1929 58 297,283 Zinc and Lead Production of both zinc and lead ore in the Tristate District during the four weeks ending November I increased slightly over the preceding four weeks, but there was a decline in value, due to price recessions during the month, for both kinds of ore. Compared to the corresponding four weeks in I 929 there was a decrease of 28.3 percent in tonnage and of 43.2 percent in the value of zinc ore shipped, while lead ore declined 63.0 percent in tonnage and 74.9 percent in value. Shipments of zinc and lead • ore in tonnage and value are here shown: During the four weeks ending November 1 zinc ore prices declined to 1,26 per ton, $3 per ton under the year's previous low Lead ore prices slumped $5 a ton and closed the month at $57.50 per ton, the lowest it had been since 1921. It was during the latter part of ovember 1929 that zinc and lead prices began dropping, zinc having held steady at $44 a ton for thirty-nine consecutive weeks and lead at $87.50 a ton for eight weeks. Zrnc Tons Oklahoma............................................ 2 I ,099 'f, Kansas·--············································· 11,861 Missouri.............................................. 312 4 Weeks 4 Weeks 4 Weeks 44 Weeks 44 Weeks ending ov. 1, 1930........ 33,272 ending Oct. 4, 1930.......... 33,206 ending Nov. 2, 1929........ 46,429 ending ov 1, 1930........382,91 2 ending Nov. 2, 1929 ........ 540,431 '/, ORE Value LEAD ORE Tons 2,187 I ,024 25 $ 129,827 6o,9 50 934,898 3,236 1,020,575 3,015 2,042,876 8,743 12,611,343 39,778 23,199,447 88,012 195,975 765,002 2,638,308 593,906 331,989 9,003 Value 1,437 192,214 7,995,02 8 Business Conditions in the United States By the Federal Reserve Board Volume of industrial production and factory employment declined in October, and there was a · further downward movement of commodity prices. Volume of sales by department stores increased by more than the usual seasonal amount. There was a considerable inflow of goW from South America and the Orient, and a further slight easing of money rates. ·. I d •a1 d PRODUCTION and EMPLOYME T n u st n pro uction, including both factories and mines, decreased by about 3 percent in October, according to the Federal Reserve Board's index, which makes allowance for usual seasonal changes. This decline reflected chiefly a further decrease in output of steel ingots, contrary to the usual seasonal movement, and a larger than seasonal decline in the output of automobiles. Output in the shoe industry was also curtailed. Consumption of cotton by domestic mills showed a further increase of slightly more than the usual seasonal amount, and stocks of cotton cloth were further reduced. Increased activity was also reported for the silk industry. Output of coal was in substantially larger volume than in September, while production of copper and petroleum declined. Number of workers employed showed a decrease for the month in foundries and in the automobile, machine tool, woolen, and shoe industries, while increases were reported in the number of persons employed in the production of silk goods, hosiery and radios. Employment at coal mines increased considerably, partly in response to seasonal influences. Value of contracts for residential building, as reported by the F. W. Dodge Corporation, which had shown a growth in Septemher, increased further in October, but by an amount smaller than is usual for that month. Contracts for public works and utilities also increased somewhat, reflecting a larger volume of awards for pipe lines. Owing to a substantial decrease in contracts for induStrial building, however, there was little change in the total value of building contracts awarded. DISTRIBUTION: Volume of distribution of commodities by rail showed a decline from September to October. Retail trade, however, as indicated by sales of department stores, increased by • considerably more than the seasonal amount, according to preliminary reports to the Federal Reserve system. WHOLESALE PRICES: The general level of wholesale prices, as measured by the Bureau of Labor Statistics index, dedined in October and the decline continued in the first half of ovember. Further decreases in the prices of many agricultural products, including grains, livestock and meats, were accompanied by reductions in the prices of hides, tin, petroleum and gasoline, while sugar and copper advanced. The price of cotton rose considerably at the end of October from the low level prevailing early in the month. BA K CREDITS: Total volume of credit at reporting member banks in leading cities showed relatively little change for the four-week period ending November 12. Loans on securities dedined forther by $350,000,000 reflecting reductions in loans to brokers and dealers in securities, while all other loans increased by $150,000,000 partly on account of purchases of acceptances by the member banks. The banks also increased their holdings of investments. The volume of reserve bank credit in use showed little change between the middle of October and the middle of November. There was a further addition of $30,000,000 to the stock of monetary gold and a decline of $20,000,000 in money in circulation, while member bank reserve balances increased. No material change in the composition of the reserve bank portfolio was shown for the month. Money rates in the open market have eased slightly since the middle of October. The rates on prime commercial paper dedined from 3 percent to a range from 2¾' to 3 percent and there was a reduction in the rate on bankers' acceptances of the longer maturities. Long-time money rates, as · measured by yields of United States Government securities, d~clined slightly.
@FedFRASER