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THE MONTHLY REVIEW Of Agricultural, Industrial, Trade, and Financial Conditions in the Tenth Federal Reserve District FEDERAL Vol. 22 RESERVE BANK OF KANS A S CITY, MISSOURI, JANUARY I, B USINESS activity in the Tenth Federal Reserve District, following a rather marked expansion in October, was sustained in ovember at a level above that of a year ago although the rate of improvement was somewhat less than in the two preceding months. Retail distribution, as reflected by department store sales, and wholesale distribution increased moderately compared to November of last year and there was a sizable increase in retail sales of lumber. The value of construction contracts awarded during the month, while showing less than the usual seasonal decrease from October, was smaller than in November, 1935, owing to the reduced volume of non-residential construction. Commodity prices, including grains, live stock, flour, zinc, and lead have recently advanced and an increase in the price of crude oil was announced for early next year. The production of flour, crude petroleum, and bituminous coal, while seasonally smaller than in October, continued at a high rate in November and in the meat packing industry output was at a high level and substantially larger than a year ago. Shipments of zinc and lead increased during November but shipments of lead fell below deliveries in the corresponding period of last ..year. Marketings of corn and hogs increased seasonally during November while marketings of most other grains and live stock declined. Receipts of corn were heavy for the month but arrivals of grain were generally light and only wheat was received in larger volume than a year ago. Receipts of live stock were about normal for the month and were heavier than in November, 1935, although the countryward movement of stockers and feeders continued in small volume. Wheat prices were at the highest November level in six years and live stock prices, with the exception of 1935, were the highest for the month in the same period or longer. The mild, open weather of November was favorable for live stock and for the completion of harvesting operations and other fall farm work but afforded little moisture for the unusually large acreage sown to winter grains this fall. The moisture deficiency has been partially relieved by early December rains and snows but additional moisture was needed generally throughout the District unless abandonment will again be heavy next year. The total value of crop production in the District this year was about 7 per cent larger than in 1935, a decline in output being more than offset by the higher prices received for this season's crops. Member Bank Operations Loans and discounts of fifty-one reporting member banks in the Tenth District, which have shown a slight decline from the high point of the year at the middle of September, recovered part of this decline during the four weeks ended December 2, reflecting an increase in the volume of so-called "other" loans, KANSAS CITY No. 1937 I BUSI ESS IN THE TENTH FEDERAL RESERVE DISTRICT In Percentages of Increase or Decrease Nov. 1936 II Months 1936 compared to compared to Banking Oct. 1936 Nov. 1935 II Months 1935 Payments by check, 29 cities____ + 3.4 +15.1 +13.1 Federal Reserve Bank check collections - 6.1 + 8.5 +10.7 Business failures, number.... +10.3 +52.4 - 0.5 Business failures, liabilities...................... -22.3 +37.7 +15.7 Loans, 51 member banks·-- -··················· + 0.7 + 8.8 Investments, 51 member banks.............. Even +10.6 Adjusted dem. deps., 51 member banks + 0.2 + 8.8 - 0,2 Time deposits, 51 member banks·--······· - 0.7 Savings deposits, 45 selected banks·--··· + 0.3 + 3.9 + 2.0 Savings accounts, 45 selected banks...... - 1.1 Distribution + 8.9 Wholesalers' sales, 5 lines combined .. - .. -12.7 + 4.0 + 8.3 Retailers' sales, 32 department stores._. -10.7 + 5.7 Lumber sales, 158 retail yards ......- ........ -14.1 +31.3 +34• 2 Construction Building contracts awarded, value. ____ . -22.4 +43· 1 +68.8 Residential contracts awarded, value... . +78.1 Building permits in 18 cities, value........ +64-4 +71.9 Production +18.8 + 5.2 Flour·- - - - - - - - · - - - - - - 8.1 Crude petroleum._ _ _ _ _ _ __ +10.5 - 5.7 + 13-7 +14.1 Bituminous coa'-··-····- - - - - - - 4.7 + 5.5 +15.4 Zinc ore (shipped) Tri-State district ..... . + 9.3 +5-4 - 6.6 +22.5 Lead ore (shipped) Tri-State district.... +7 1 •3 Grain receipts, 5 markets +17.3 + 25-4 WheaL-·····- - - - - - - - - - -22.3 -22.8 +45•9 Corn ........ - - - - - - - · ················· +96.9 - 9.9 -43.9 Oats·----·······························---- - 8.1 Rye _ _ _ _ _ _ _ _ _ _ __ -12.4 + 14·9 - 4.7 Barley_ _ _ _ _ _ _ _ _ __ - 3.2 -61.3 + 2.2 Live stock receipts, 6 markets Catt!e.. ·- - - - - - · · · ······················· Calves·-·············----Hogs .............. ....................- - - - Sheep.·-····----··························· Horses and mules.................. _ _ __ Stocker and feeder shipments, 4 markets Cattle................................ _ _ __ Calve•"----------Hogs.. _ _ _ __ Sheep ............................... ·- ························ Meat packing, 6 markets Cattle............. _ _ _ __ Calves·-············· _ _ _ _ __ Hogs .......................................................... Sheep........ _ _ __ - 4.4 -10.6 +3J.2 -45.3 -13.0 + 4.6 +3o.9 +129.5 +29.1 8.7 + 2.4 +s-i +4 2-5 - 1.7 -17.2 - 4.6 - 7.3 -48.1 -52.6 -11.9 +21.6 + 9.2 +9-4 -18.3 -13.9 +31.9 - 7.8 - 6.8 -11.6 +40.1 -20.9 +17.0 +32.6 +166.7 + 24•5 +17.8 +10.9 +46.4 - 2.9 + which include loans to customers for agricultural, commercial, and industrial purposes. Growth in the volume of these loans during the past year represented about four-fifths of an increase of 8.8 per cent in total loans and discounts as compared to December 4, 1935. Total investments showed little change from November 4 to December 2, a decrease in holdings of United States Government direct obligations being offset by an increase in holdings of guaranteed Government obligations and of other securities, and on the latter date investments were This Copy Released For Publication In Morning Newspapers, January _1. 2 THE MONTHLY REVIEW 10.6 per cent greater than a year ago, owing to increases in the volume of holdings of direct Government obligations and of other securities. Since early in August, when investments were at the high level this year, there has been a small, irregular decline in holdings of direct and guaranteed Government securities and a further increase in holdings of other securities. Reserve balances of these reporting member banks declined slightly during the four weeks. Demand deposits on December 2 were fractionally larger than four weeks earlier and 8.8 per cent above a year ago but had declined slightly from the high level of the year on October 14. Balances held for domestic banks increased from November 4 to December 2 and at that time were 12.6 per cent greater than on December 4, 1935. The principal resource and liability items of the consolidated weekly condition statements of the fifty-one reporting banks, for the three dates of comparison: Loans and investments-total.. Loans and discounts-totaL. __ Secured by stocks and bonds All other loans and discounts lnvestments-tota U. S. securities direcL........... Obligations fully guaranteed by the U.S. Government.. Other securities........................ Reserve with F. R. Bank.......... Demand deposits-adjusted.___. Time deposits ____ U.S. Government deposits·-····· Inter-bank deposits: Domestic banks·--··-··---·········· Foreign banks .....·..................... Dec. 2, 1936 $690,35'2,000 240,820,000 50,881,000 I 89,939,000 449,53 2,000 257,627,000 Nov. 4, 1936 $688,702,000 239, 149,000 51,443,000 187,706,000 Dec. 4, 1935 $627,656,000 221,291 ,000 47, 243,000 174,048,000 449,553,000 406,365,000 261,014,000 240,356,000 50,846,000 141,059,000 148,685,000 486,274,000 145,423,000 5,I 54,000 49,59 1,000 138,948,000 150,371,000 485,294,000 146,465,000 20,346,000 51,169,000 14,840,000 107,035,000 446,873,000 145,685,000 8,485,000 4Io,779,ooo 164,000 401,263,000 167,000 364,900,000 123,000 l Reserve Bank Check Collections Check collections through this bank and branches were seasonally smaller in November than in October but increased 8.5 per cent in dollar volume and 5.9 per cent in the number of items handled compared to November of last year. During the first eleven months of this year there was an increase of 10.7 per cent in dollar volume and of 12 per cent in the number of items as compared to the first eleven months in 1935. Check collections through the Federal Reserve Bank of Kansas City and branches at Omaha, Denver, and Oklahoma City: November_ .. _._ October..·- - ······· Eleven months Holdings of bills discounted for member banks showed a slight further increase from November 4 to December 2 but otherwise continued in small volume. Industrial advances under section 136 and commitments to make industrial loans, which have declined steadily since early in September, following a previous decline from the high level reached in February, decreased further during the four weeks ended December 2 and continued somewhat below a year ago. Holdings of United States Government obligations were unchanged during the four weeks. Federal Reserve note circulation, following the upward trend which since last June has repeatedly carried circulation to new high levels, increased further between November 4 and December 2 with a seasonal holid ay dem and for currency, and on December 2 note circulation was 14.1 per cent greater than on December 4, 1935. Member banks' reserve deposits on December 2 were slightly smaller than four weeks earlier but were 29.2 per cent greater than a year ago. The principal resource and liability items of the weekly condition statements of the Federal Reserve Bank of Kansas City and branches, for the three d ates of comparison: Dec. 2, 1936 Nov. 4, 1936 Dec. 4, 1935 Total reserves.. ............................ $264,097,065 $266,256,409 $2n,640, 515 340,898 165,254 631 ,343 Bills discounted.. ·- ······················· Bills purchased ........................... . 86,91 8 86,918 126, 194 Industrial advances................... . 804,624 815,443 I,145 , 1 55 Commitments to make industri al adv ances.......................... 340,545 351,127 1,353,500 U.S. ser.urities.-----··················· 125,855,000 12 5,855,000 106,844,200 Total bills and securities............ 127,087,440 126,922,615 108,927,892 Total resources............................ 432,683,284 431,006,422 356,447,793 F. R. notes in circulation.......... 159,840, 555 157,016,205 140,11 2,21 0 Member banks' reserve deposits 22 1,414,974 223,259,983 171,346,844 The discount rate of the Federal Reserve I3ank of Kansas City, on all classes of paper and all maturities under sections 13 and 13a1 remained um:hanged at 2 per cent. 1935 5,507,842 5,899,3o3 58,617,152 1936 $ 925,938,000 985,993,000 l 0,269,379,000 1935 $ 853,340,000 956,078,000 9,277, 173,ooo Bank Debits Debits to individual accounts by banks in twenty-nine reporting centers in the District were slightly greater during the five weeks ended December 2 than during the preceding five weeks ended October 28 and showed an increase of 1 5. I per cent compared to the corresponding five-week period in 1935 . The volume of payments by check during the first forty-eight weeks of the year was 13 .1 per cent larger than in the same period of last year. I Reserve Bank Operations .AMOUNT ITEMS 1936 5,830,829 6,379,877 65,631,213 PAYMENTS BY CHECK FIVE WEEKS ENDED Albuquerque, N. M ..-. ............. $ Atchison, Kans.·- - - -···· Bartlesville, Okla ....................... Casper, Wyo.·-··························· Cheyenne, Wyo ......... ••·········-··· Colorado Springs, Colo............. Denver, Colo ............................. *Emporia, Kans ...·-············-········ Enid, Okla.·---······· .................... Fremont, Nebr.._....................... Grand Junction, Colo .............. . Guthrie, Okla .......... _ __ _ Hutchinson, Kans .................... . Independence, Kans ....... ........ J oplin, Mo.·---·· ........................ Kansas City, Kans ................... Kansas City, Mo.................... .. Lawrence, Kans ............. ............ Lincoln, Nebr····-······················· Muskogee, Okla., _ _ _ __ Oklahoma City, Okla._ ........... . Okmulgee, Okla._ ............. ........ Omaha, Nebr........................ ..... Pittsburg, Kans ........................ . Pueblo, Colo ............................... Salina, Kans ............................... St. Joseph, Mo.·- ··················-···· Topeka, Kans ............................. Tulsa, Okla ................................. Wichita, Kans ......................... _ Total 29 cities, Total 29 cities, U. S., 274 cities, U. S., 274 cities, *Not included Dec. 2, 1936 16,561,000 $ 3,947,ooo 28,955,000 7,786,000 10,442,000 21,524,000 216,229,000 3,988,000 10,707,000 2,960,000 4,4 25,000 1,781,000 14,425,000 3,023,000 11,349,000 15,026,000 369,746,000 4, 295,000 32,498,000 9,37°,000 107,269,000 3,347,000 178,988,000 4,407,000 29,508,000 10,047,000 Dec. 4, 1935 14,176,000 3,493,000 25,255,000 7,278,000 8,626,000 19,081,000 183,333,000 9,883,000 2,793,000 3,316,000 1,885,000 13,183,000 2,391,000 9,902,000 12,220,000 329,063,000 3,964,000 28,131,000 10,239,000 99,469,ooo 3,33 1 , 000 Per cent Change +16.8 +13.0 +1 4.7 + 7.0 +21.1 +12.8 +1 7.9 + 8.3 + 6.o +33.4 - 5.5 + 9·4 +26.4 +14.6 +23.0 +12.4 + 8.4 +1 5.5 - 8.5 + 7.8 + 0.5 53,958,000 +16.3 3,75 2,000 27,527,000 8,510,000 30,296,000 14,695,000 122,344,000 44,432,000 +17.5 5 weeks·-- ····- 1, 1,377,6o6,ooo $ 1,196,p6,ooo 12,386,444,000 10,950,275,000 48 weeks·-······· 5 weeks--····· 47,663,938,000 41,519,324,000 48 weeks.-....... 416,031,292,000 366,883,421,000 in totals. +15.1 +13.1 +14.8 +1 3.4 33,560,000 17,680,000 l 56,513,000 51,238,000 l + 7.2 +18.1 +10.8 +20.3 +2 7.9 +1 5.3 Business F a ilures The number of commercial failures in the Tenth District followed the usual upward trend during November but the increase in the num ber of failures was accompanied by a decrease in money losses. Insolvencies continued in small volume although showing an increase both in number and in the amount of li abilities involved compared to last November when insolvencies had reached the lowest level for the month in recent years. THE MONTHLY REVIEW Stores Reporting Kansas City.... 4 Denver............. 4 Oklahoma City 3 Tulsa ................ 3 Wichita ............ 3 Other cities ...... I 5 3 RETAIL TRADE AT 32 DEPARTMENT STORES IN THE TENTH"". FEDERAL RESERVE DISTRICT In Percentages of Increase or Decrease except Rate of Turnover SALES STOCKS (RETAIL) AccouNTS RECEIVABLE .AMOUNTS COLLECTED · Nov. 1936 Nov. 30, 1936 STOCK TURNOVER Nov. 30, 1936 Nov. r936 Year 1936 compared to compared to compared to November Year compared to compared to 0\'. 1935 Year 1935 Oct. 31, 1936 Nov. 30, 1935 1936 1935 1936 1935 Oct. 3r, 1936 Nov. 30, 1935 Oct. 1936 Nov. 1935 + 2.9 + 1.3 .34 .3 2 3.5 1 3.23 - 1.9 + 7.1 + 6.7 + 7.3 +13.9 + 3.0 + 6.8 +11.9 + 2.9 + 7.0 .29 .29 3.42 3.28 - 3.4 + 5.1 + 2.9 +n.4 + 6.1 - 0.3 .33 .32 3.93 3.82 + o.8 +10.4 +12.7 + 7.2 + 3.3 + 7.6 +14.1 + 2.7 +14.5 - 4.1 .33 .33 3.92 3.81 - 2.9 - 5.2 - 4.9 + 6.9 + 8.6 + 8.6 + 5.5 + 7.9 .26 .25 3.12 3.00 + 0.3 + 6.4 + 8.7 + 7.0 + 4.1 + 3.6 .27 .26 2.83 2.69 + 1.7 + 5.1 + 3.3 + 6.6 + 6.9 + 6.3 TotaL- ............... 32 + 5.7 + 8.3 + 4.4 + 3.3 .30 .29 3.36 3· 19 - 1.0 + 5·4 + 7.2 + 7.3 NOTE: Ratio of collections during month to regular accounts outstanding end of preceding month: November 48.1; October 49.2; November 1935, 48.0. Business failures reported by Dun and Bradstreet, Incorporated: November 1936·--·······-·········· October I 936_ _ _ _ ovember 1935- - - -·· Eleven months 1936·--··········· Eleven months 1935·-············· TENTH DISTRICT Number Liabilities 32 '/, I 57,000 29 202,000 21 n4,ooo 372 3,815,000 374 3,296,000 UNITED STATES Number Liabilities 688 '/, n,532,000 6IJ 8,266,000 898 14,384,000 8,493 134,966,000 10,600 167,327,000 Savings Savings deposits at forty-five selected banks in leading cities in the District, following increases during the six preceding months, showed a slight further increase during November although the number of savings accounts declined. Savings deposits on December 1 were 3.9 per cent and the number of accounts 2 per cent greater than on December 1, 1935. Savings accounts and savings deposits reported by the forty-five banks: December 1, 1936........ ....... _ _ _ _ November 1, 1936·---····························· December 1, 1935·-······--························· Savings Accounts 410,626 415,273 402,489 Savings Deposits '/,x3o,o94,933 129,7o8,734 125,265,548 Trade RETAIL: Department store sales, as reflected by the dollar volume of thirty-two reporting stores in leading cities of the District, were seasonally smaller in ovember than in October but were at the highest level for the month since 1930 and increased 5.7 per cent compared to sales in November, 1935, without adjustment for the one less shopping day and the one less Saturday this year which tended to narrow the increase over a year ago. Trade reports indicated an early movement of holiday merchandise and some difficulty in securing full shipments on reorders. Total sales for the first eleven months of the year were 8.3 per cent larger than in the first eleven months of 1935. Stocks of merchandise were increased by considerably more than the usual seasonal amount during November although inventories at the clo e of the month, while larger than at that time in either of the two preceding years, were but 3.3 per cent above a year ago and were slightly smaller than at the close of November, 1933. Collections on regular thirty-day accounts during November averaged 48.1 per cent of amounts Stores Reporting Dry goods ......................... 5 Groceries ..... _ _ __ 5 Hardware·---··················· 9 Furniture. _ _ _ __ 3 Drugs_····-··········-······- 6 receivable at the close of the preceding month compared to 49.2 per cent in October and 48 per cent in November, 1935. Installment collections averaged 15.6 per cent in November, 15.9 per cent in October, and 16.4 per cent in November of last year. WHOLESALE: Wholesale distribution, as indicated by the combined dollar volume of sales of five reporting trade groups, decreased 12.7 per cent from October to November, or somewhat more than the usual seasonal amount, but expanded 4 per cent compared to November, 1935, although this increase was considerably smaller than the average monthly increase shown this year over last year. Sales of dry goods, hardware, and drugs showed relatively the greatest decreases during the month and sales of hardware the greatest increase over a year ago. Total sales for the first eleven months of 1936 were 8.9 per cent larger than in the first eleven months of 1935, reflecting an increase in sales of dry goods amounting to 7.5 per cent, groceries 6.6 per cent, hardware 13.3 per cent, furniture 14.7 per cent, and drugs 7.8 per cent during the eleven-month period. Stocks of merchandise for the five lines combined declined 2.7 per cent during November but at the close of the month were 6.2 per cent greater than a year earlier. Stocks of dry goods, furniture, and drugs were smaller and of groceries and h ardware larger than at the close of the preceding month, while inventories of dry goods, hardware, and drugs had increased and inventories of groceries and furniture had decreased compared to a year ago. Lumber November sales of lumber in board feet and dollar sales of all materials at 158 reporting retail yards in the District, while seasonally smaller than in October, showed the substantial improvement over a year ago which has been evident throughout most of the year. During the first eleven months of 1936, lumber sales in board feet increased 34.2 per cent compared to sales in the first eleven months of 1935. Stocks of lumber, which have shown a small decline in each of the four preceding months, decreased slightly further in November to a level but 9 per cent above inventories at the close of November last year. November collections averaged 40.3 per cent of amounts outstanding at the close of the pre- WHOLESALE TRADE IN THE TENTH FEDERAL RESERVE DISTRICT In Percentages of Increase or Decrease .AMOUNTS COLLECTED SALES OUTSTANOJ NGS Nov. 30, 1936 Nov. 1936 Nov. 1936 compared to compared to compared to -~'; Oct. 31, 1936 ov . 30, 1935 Oct. 1936 Nov. 1935 Oct. 1936 Nov. 1935 + 1.8 +u.2 - 2.0 + 5.8 -16.5 + 4.2 - 1.6 + 6.6 - 7.5 -12.5 - 9·9 + o.9 -13.4 +10.9 + 3.1 +14.6 - 3.4 - 2.2 + 0.2 +24.2 - 1.6 + 8.7 - 3.2 + 5.6 -14.3 + 2.6 - 7.1 + 0.1 + 2.9 + 1.8 STOCKS Nov. 30, 1936 compared to Oct. 31, 1936 Nov. 30, 1935 -IO.I +21.2 + 2.4 - 1.4 + 3.1 + 3.6 - 4-7 - 3.5 - 5.6 +n.2 THE MONTHLY REVIEW 4 ceding month compared to a ratio of 43.1 per cent in October and of 40.6 per cent a year ago. November business at the 158 reporting yards, in percentages of increase or decrease: Sales of lumber, board feet................................ Sales of all materials, dollars ............................ Stocks of lumber, board feet·--························· Outstan<lings, dollars ................ - - - - - November 1936 compared to October 1936 November 1935 -14.l +31.3 -11.9 +27.2 - I.8 + 9.0 - 1.6 +28.9 The National Lumber Manufacturers Association reported lumber production in the United States for the first fortyeight weeks of the year as 28 per cent greater than in the corresponding period in 1935. Lumber shipments showed an increase of 24 per cent and orders booked an increase of 25 per cent. Building The value of total construction contracts awarded in the Tenth District during November, according to statistics of the F. W. Dodge Corporation, was only slightly smaller than in October but was somewhat less than in November of last year, reflecting a reduction in the volume of non-residential construction. Residential construction continued to show improvement over a year ago and was at the highest level for the month since 1930. Total awards for the first eleven months of the year were 43.1 per cent larger and residential awards 68.8 per cent larger than in the same period of last year. The value of construction contracts awarded, as reported by the F. W. Dodge Corporation: Nov. 1936. __. Oct. 1936...... Nov. 1935.__ I I Mos. 1936 I I Mos. 1935 TENTH DISTRICT Total Residential '$ 8,590,600 '$ 2,218,500 8,850,800 2,371,500 II,065,860 1,245,541 106,865,128 26,573,664 74,682,000 l 5,745,658 37 EASTERN STATES Total Residential $ 208,204,200 '$ 68,440,700 225,839,900 79,736,200 188,n5,ooo 39,695,200 2,468,233,400 736,357,500 1,580,408,400 433,703,000 The number and value of permits issued for new construction, alterations, and repairs in eighteen reporting cities in the District declined seasonally in November but in nearly all of these cities there was a considerable increase in building activity as compared to a year ago. Estimated expenditures were the highest for the month since 1930 while the number of permits issued was greater than in any November since 1928. The increase in permits for the first eleven months of the year compared to the same period in 1935 amounted to 17.9 per cent and expenditures showed an increase of 64.4 per cent. BUILDING PERMITS IN TENTH DISTRICT CITIES PERMITS EsTIMATED 1936 1935 1936 Albuquerque, N. M t, 416,517 '$ 87 51 Cheyenne, Wyo..... 21 41 65,795 21 Colorado Springs, Colo.·-··········· 43,988 44 240 Denver, Colo..·--··· 4 14 5°3,7 23 Hutchinson, Kans ....................... 132 65 5°, 1 53 18 16 38,200 Joplin, Mo•--·· 20 29,37° Kansas City, Kans....·-·-········-· 34 Kansas City, Mo 163 157,800 147 82 Lincoln, Nebr.._. 70,269 90 110 Oklahoma City, Okla................. 161 344,619 Omaha, Nebr 251,646 103 78 Pueblo, Colo 14,896 42 23 Salina, Kan 25,000 14 15 12,100 Shawnee, Okl 19 15 St. Joseph, Mo 13 38 36,5 15 6o Topeka, Kans 39,865 49 Tulsa, Oki 86 67 235,930 168 126 1 53,545 Wichita, Kans •.. ---- Total 18 cities, November·--··· 1,617 1,256 Eleven months.... 19,817 16,805 '$ 2,489,931 35,784,401 CosT 1935 4 1,274 21,080 8,422 326,045 32,363 13,625 23,685 256,800 62,784 141,107 128,310 9,665 8,070 26,150 17,850 60,620 125,300 145,6o2 '$ 1,448,75'.2 21,762,524 Flour Milling Operations at southwestern flour mills were sustained in November at about the October level but production declined 8.1 per cent with two less milling days. November output was slightly above the average for the month during the past ten years and exceeded that of a year ago by 18.8 per cent, increasing the cumulative gain for the first eleven months of 1936 over the same period in 1935 to 5.2 per cent. Operations averaged 72.1 per cent of full-time capacity in November, 72.4 per cent in October, and 57.8 per cent in November of last year. Flour production at the principal milling centers in the District, as estimated from the weekly reports of southwestern mills to the Northwestern Miller: Nov. 1936 Barrels 128,021 556,958 Atchison ................ Kansas CitY·---······· Salina ............ Wichit Outsid Oct. 1936 Barrels 132,7n 59 1 , 195 180,803 195,599 205,988 1,057,100 Nov. 1935 252,965 1, 174,937 Barrels II4,24I 514,011 159,205 109,382 9o7,859 TotaL........................................... 2,143,666 2,332,611 1,804,698 *United States.-........................... 5,158,226 5,862,196 5,708,934 *Represents about 60 per cent of the total output in the United States. Flour sales in the southwest improved somewhat in November with a steady volume of small lot orders in the first part of the month which enabled mills to operate at an unusually good rate for this season of the year, and bookings in the first week of December on an advance in the wheat market increased to the heaviest volume in several months. Export trade showed further improvement. The comparatively low prices of flour, which have been reflected in the high prices obtainable for the limited supplies of millfeeds, strengthened at the Kansas City market in November and early December, and there was a further increase in prices of millfeeds. Grain Marketing The movement of wheat, oats, and rye to the five principal markets in the District declined seasonally in November while receipts of corn and kafir showed a seasonal increase and marketings of barley a small increase contrary to the usual trend. Receipts of wheat were the heaviest for the month in four years and kafir the heaviest in three years but arrivals of other grains were somewhat smaller than the rather heavy amounts marketed in November, 1935, although receipts of corn exceeded the average volume for November during the past ten years. Receipts of wheat represented but 74.6, oats 87.4, rye 74.7, barley 70.6, and kafir 51.4 per cent of the average volume. Receipts of grain at the five markets: Hutchinson .. Kansas City.. Omaha.......... St. Joseph. __. Wichita·---··· Wheat Corn Bushels Bushels 1,183,950 2,760,000 1,042,500 627,051 2,067,800 282,000 187,200 912,000 29,900 Oats Bushels 76,000 226,000 408,000 3,000 Nov. 1936.__. 5,670,201 3,422,200 713,000 Oct. 1936...... 7,301,291 1 ,737,85° 775,5 00 Nov. 1935·--· 4,835,221 4,435,400 1,271,000 II Mos. 1936 123,788,529 35,260,318 13,958,000 II Mos. 1935 98,694,530 24,167,310 l 5,487,500 Rye Bushels 1,200 31,500 25,200 4,500 Barley Bushels 96,000 54,400 14,000 Kafir Bushels 70,200 141,100 1,500 5,200 --------164,400 218,000 160,900 52,900 71,200 425,250 74,000 912,800 2,713,750 1,401,500 794,700 2,802,850 705,400 62,400 65,500 Cash prices of all grains except corn advanced at the Kansas City market in November. Cash corn was quoted steady to 5 THE MONTHLY REVIEW slightly lower for the month but shared in the general increase in prices which occurred early in December. Cash grain prices at Kansas City: No. No. No. No. No. No. Dec. 15 ov. 30 Oct. 31 Dec. 16 Nov. 30 Nov. 30 1935 1935 1934 1936 1936 1936 I hard, dk.wheat, bu. $1.36 1,1.04½ 1,1.02 1,1.25 f,1.19½ $1.03 2 mixed corn, bu .... . J.12½ 1.10¼ I.II½ .61 .58 .95½ 2 white oats, bu ...... . .28 .28½ .61 .55 .51 .45½ 2 rye, bu .................. . 1.05 I.00 .9:l .50 .52 .88 2 barley, bu.·-··-··-··· .95 .90 .87 .48 .48 ·90 2 white kafir, cwt..... 1.14 I.I 5 2.07 1.99 1.9 1 1.78 Crops November weather conditions were generally favorable for the completion of harvesting operations and for fall plowing and other farm work but the continued dryness has not been favorable for winter grains. Following the September rains, precipitation in October and N ovember was generally light, and moisture supplies for the three months, Sep tern ber through N ovem her, ranged from 2 5 to 50 per cent below normal in Nebraska, in northern and western Kansas, in most of Wyoming, and in western Colorado. Wheat pastures this fall have been somewhat disappointing as part of the intended acreage was seeded too late and wheat on early seeded acreage failed to grow back satisfactorily after being grazed off. Early December rains and snows, however, have temporarily relieved the shortage in moisture and have materially improved the outlook but there was a general need for additional moisture supplies to prevent the occurrence of heavy abandonmen t similar to that in the past several years. The fall sown acreage of winter wheat in the seven states in the District was 19.3 per cent greater than in 1935, reflecting the need for increased fall and winter pasturage to supplement short feed supplies, relatively high prices of wheat at seeding time, and a tendency to shift some acreage from corn to wheat because of several recent corn crop failures. Seedings were rather heavily increased in all of the states in the District except Wyoming and in many of these states, as in the country as a whole, the seeded acreage was the heaviest of record. The national acreage of winter wheat sown this fall was 15.1 per cent larger than that sown in the fall of 1935 and the December 1 condition, based on past relationships between the December 1 condition and yields per seeded acre, an estimated abandonment next year of from 15 to 20 per cent of the seeded acreage, and the probable effect of weather conditions during the past summer and fall, indicated a 1937 crop of about 600,000,000 bushels compared to 519,013,000 bushels harvested this year and an average crop of 622,252,000 bushels during the years 1928 to 1932. The estimated acreage of rye sown for all purposes in this District showed an increase of 33.7 per cent, reflecting a substantial increase in all rye producing states except Wyoming, and in the United States the rye acreage w?.s increased 17.2 per cent over that of last fall. The fall sown acreage of winter wheat, thousands omitted, and the December 1 condition, reported by the Department of Agriculture: 1936 Colo ......... 1,377 Kans ....... 16,523 Mo ... ........ 3,387 Nebr.·--··· 4,447 N.M ....... 410 Okla ......... 5,426 239 Wyo ......... FALL SF.EDED ACREAGE 1935 1934 1933 1,292 1,197 986 14,244 13,438 12,677 2,258 2,130 1,669 3,217 3,063 3,474 36o 300 344 4,726 4,845 4,3 17 2 53 285 130 1932 924 13,205 1,412 2,890 400 4,4 19 192 CmmITION DECEMBER I 1 934 19.16 1935 82 37 77 81 So 71 So 78 93 58 74 79 69 71 67 68 71 76 68 70 50 7 States.... 31,809 U.S ......... 57,187 26,663 49,688 23,442 44,445 74.7 75.8 25,050 47,042 23,492 44,585 77.6 78.2 73.3 77.8 On the basis of December I prices, the farm value of crops produced in the District during 1936 was about 7 per cent greater than the value of crops harvested in 1935 and was more than 40 per cent greater than the tota! value of production in the extremely short crop year of I 9.34. A reduction in the yield of all major crops in the District except winter wheat and sugar beets from that of last year has been more than offset by prices generally averaging higher than at any time since 1929. The increase in crop values for the United States amounted to about 12 per cent as compared to 1935 and 27 per cent as com pared to 193+ 1936 crop production in the seven states, all or parts of which are included in the Tenth District, and the December 1 farm value, as reported by the Department of Agriculture, thousands omitted: Farm Value Production 1935 1935 1934 1936 1936 1934 Winter wheat, bu. ___ . 231,725 162,994 158,087 t, 232,271 t, 141,348 1,131,765 Spring wheat, bu ....... 9,106 3,6o8 7,667 7,812 3,014 7,689 All wheat, bu ......... 239>4 1 4 172,100 161,695 239,938 149,16o 134,779 Corn, bu ..................... 104,037 26o,533 75,176 II9,526 1 74,972 70,6o6 54,889 30,770 49,844 Oats, bu.·--················· 107,033 186,753 62,765 Rye, bu ... ................ .... 1,326 4,152 1,027 7,209 3,095 4,790 12,228 Barley, bu ................... 19,220 29,701 10,091 14,092 6,425 Grain sorghums, bu ... 18,258 31,674 13,988 21,044 17,310 14,292 84,001 All tame hay, tons .... 7,602 10,887 6,405 7 1,34 1 92,533 2 Wild hay, tonL ......... 1,762 20,174 2,287 22,951 19,739 4,3 5 1,595 12,296 Sweet sorghums, tons 10,896 1,po 2,761 15,113 2,439 21 2,320 Broomcorn, tons........ 2,277 17 35 Sugar beets, short tons 3,49 2 12,584 2,9i6 17,547 2,549 Cotton, hales._ ........... 64R 642 22,590 34,36o 39,401 400 288 Cottonseed, tons........ 8,546 285 178 9,664 5,745 White po tatoes, bu ... 3 1,7 27 40,689 16,260 23,125 36,433 II,743 2,266 Sweet potatoes, bu ... 2,204 1,656 2,730 1,697 1,519 Dry beans, 100 lb. bags 1,959 7,632 2,400 6,483 3,121 663 2'.20 Tobacco, lbs ............... 3,121 2,846 4,150 515 5°5 Apples, bu .._............... 5,268 8,910 5,496 7,4 23 5,576 3,9 29 1,218 Peaches, bu .... - ........... 3,311 2,501 1,381 2,558 3,639 Pears, bu ..................... 420 813 1,365 472 990 723 800 20 IO 684 15 Grapes, tons·---········· 513 64 crops, 7 states .... _ 701,494 655,320 49 2,449 Total 64 crops, U. S. ·········· 6,084,932 5,418,755 4,779,335 Live Stock MARKETINGS: November receipts of cattle, calves, and sheep at the six principal markets in the District were seasonally smaller than in October while receipts of hogs, including direct shipments to packers, showed a seasonal increase. Marketings were somewhat larger than a year ago and were about normal for the season, receipts of cattle exceeding the November tenyear average by 2.7 and calves by 20.4 per cent and receipts of hogs and sheep falling but 1 .9 and 4.9 per cent, respectively, below the average volume. The six markets received rn,497 head of horses and mules in November, 12,063 head in October, and 9,659 head in November, 1935. During the first eleven months of the year, market supplies of cattle and calves were slightly larger and of sheep slightly smaller than in the first eleven months of 1935 while there has been a considerable increase in market supplies of hogs compared to the small volume of marketings last year. PRICES: Values of the principal classes of slaughter live stock advanced at the Kansas City market during November despite fairly liberal marketings, cattle closing $1 to $1.75, hogs 30 to 6o cents, and lambs 40 to 50 cents per hundredweight higher than at the close of October. These increases reflected a further increase in cattle prices and a partial recovery in hog and sheep prices which had broken sharply in October. Prime finished steers reached a new seasonal peak of '$12 in November, the highest price since the $12.50 top recorded last January and but little short of the t,12.25 top a year ago. The October cattle top was 1,rn.40. Stocker and feeder cattle prices were steady to about 30 cents higher at the close of the month. Butcherweight and heavyweight hogs sold up to $9.55, within 6 Kansas City.............. Omaha ........................ St. Joseph .................. Denver·-····················· Oklahoma CitY·-······· Wichita ...................... THE MONTHLY REVIEW Cattle 156,101 121,156 35,963 88,978 46,440 31,005 NOVEMBER MOVEMENT OF LIVE STOCK IN THE TENTH DISTRICT RECEIPTS PURCHASED STOCKERS AND FEEDERS Calves Hogs Sheep Cattle Calves Hogs Sheep Cattle Calves 13,334 46,516 *225,958 6o,9I4 73,662 26,709 89,054 14,476 3,77 1 21,421 230,480 92,682 19,938 31,836 287 75,102 15,689 5,657 106,718 1,222 10,652 8,658 1,784 25,782 7o,799 7,893 5,353 244,983 14,040 62,897 140,250 22,054 45,928 4,556 6,799 477 18,889 31,627 16,113 12,543 30,470 22,234 12,362 9,285 5,911 7,945 28,716 November 1936·---··· 146,571 119,463 679,9 14 479,643 519,346 501,646 133,628 948,988 153,615 3o,97o October 1936·--········· 510,375 91,271 402,328 166,297 23,614 November 1935·----· 296,253 458,584 11 Months 1936........ 4,267,952 141,085 849,264 5,066,566 6,830,666 873,564 808,008 3,555,758 6,95o,36o 163,905 1,068,897 tx I Months 1935--·· 4,167,257 *Includes 156,107 hogs shipped direct to packers' yards. tReceipts include Government 10 cents of the November top last year and the highest price since October 23 when the price decline was under way but 65 cents below the high time in October prior to the decline. Prices of stock pigs advanced about 50 cents. Grain fed and wheat pasture lambs began moving to market as the range lamb season was drawing to a close and native offerings topped at '$9.25, the highest price since October I but somewhat below the lamb top of $10.90 last ovember. With the exception of 1935, however, cattle prices were at the highest November level since 1930, hogs since 1927, ?.nd lambs since 1929. Cattle and hog prices advanced further during the forepart of December but lamb prices had <leclined. STOCKERS A D FEEDERS: The countryward movement of stocker and feeder live stock from four markets in the District declined seasonally in November, with shipments of cattle somewhat smaller and of calves, hogs, and sheep slightly larger than in November of last year. Stocker and feeder shipments were below normal for the month, cattle falling 19.7, calves 9.9, hogs 46, and sheep 30.5 per cent below the ovember ten-year average volume. During the first eleven months of the year only hogs showed an increase in numbers shipped to the country compared to the outgo in the first eleven months of 1935. According to the Department of Agriculture, the cattle feeding situation on December I gave further indication of a sharp reduction in operations in the western Corn Belt <luring the coming winter and spring compared with one year earlier, owing to the continued high price of feeder cattle in relation to fat cattle prices in view of advancing prices of corn and other feeds. An expected increase in cattle feeding was reported for all of the principal feeding areas in Colorado, tending to offset an estimated decrease of 25 per cent in lamb feeding in that state, principally in northern Colorado and in the Arkansas Valley. From 20 to 25 per cent fewer lambs were on feed in the Scottsbluff area of Nebraska and there was also a sharp decrease in the number being fed in the Central Platte Valley, while a large increase was reported for Wyoming and some increase in the San Luis Valley and Western Slope areas of Colorado and on wheat pasture in Oklahoma. The movement to Kansas wheat fields was less than expected a month ago, owing to lack of moisture in November which reduced feed prospects. A much smaller proportion of lambs than usual was on feed in the late marketing areas of Colorado and western Nebraska. The generally mild, open weather of November permitted the full use of ranges and pastures in the District and helped to conserve the short feed supplies which in most areas were reported insufficient for heavy feeding but ample if the winter is not severe. A surplus of hay and other feeds existed in mountain and irrigated sections of the District. Ranges continued very short over northeastern Wyoming, parts of north- 239,43 2 2 56,907 204,56o 2,441,721 2,072,645 purchases of cattle and calves. 178,875 5,757 11,100 377,072 163,558 5, 273 88,199 1,276,063 66,875 1 ,383,35 2 FOR SLAUGHTER Hogs *207,919 190,581 94,74 1 49,822 26,360 20,186 Sheep 74,87o 68,297 64,922 20,910 8,683 6,898 244,580 589,609 77,636 309,161 87,824 420,915 221,n7 196,441 58,57o 646,770 4,241,325 3,154,830 583,461 2,898,032 3,250,138 western Nebraska, western Kansas, western Oklahoma, and northeastern New Mexico, while wheat pastures failed to make the expected growth in much of western Kansas, Nebraska, and Oklahoma because of continued dryness. Cattle and sheep were going in to the winter in fair to good condition except in the extremely dry areas. Contracting of the 1937 wool clip was active in Wyoming during November with initial quotations at a higher level than a year ago, some exceptional fleeces being contracted at 35 cents a pound. Meat Packing Packers' purchases of live stock at the six principal markets in the District, direct shipments of hogs included, indicated a seasonal decline in the slaughter of cattle, calves, and sheep and a seasonal increase in hog slaughter during November. Meat packing operations were much heavier than a year ago, with the indicated slaughter of cattle 18.2, calves 66.8, and hogs 5.5 per cent aboYe and sheep but 3.2 per cent below the average volume for the month during the past ten years. Federally inspected commercial live stock slaughter in the United States continued at a high level in ovember. The slaughter of cattle exceeded the November ten-year average by 26.7, calves by 18.7, hogs by 8.6, and sheep by 21.I per cent. Sheep slaughter established a new high record for the month while calf slaughter has been exceeded but twice and cattle slaughter three times in that month . Live stock slaughtered under Federal meat inspection in the United States, reported by the Bureau of Agricultural Economics from compilations of the Bureau of Animal Industry: Cattle Calves Hogs November 1936................ 988,167 476,532 4,291,635 October 1936.................... 1,124,175 585,425 3,491 ,671 November 1935---··········· 955,684 480,101 2,421,898 Eleven months 1936·--··· 9,984,756 5,575,717 31,373,868 Eleven months 1935···-··· 8,773,657 5,198,531 23,182,772 NOTE: Slaughter for Government relief purposes excluded. Sheep 1,543,916 1,741,798 1,406,985 15,642,746 16, 275,534 Cold Storage Holdings United States cold storage stocks of beef, pork, lamb and mutton, poultry, and miscellaneous meats accumulated at a considerably higher than seasonal rate during November while stocks of lard, which ordinarily decline in that month, increased about 13 per cent. Eggs moved out of storage at about the usual rate but declines in storage stocks of butter and cheese were somewhat smaller than usual. Holdings of all commodities on December I except eggs were substantially larger than a year ago, with stocks of beef and of lamb and mutton more than twice the average amounts held on that date during the past five years. Storage stocks of pork were 5.9, poultry 63.3, miscellaneous meats 49.4, lard 65.8, butter 19.9, and cheese 21.4 per cent above and cased eggs 29.3 per cent below the December I five-year average. 7 THE MONTHLY REVIEW United States cold storage holdings reported by the Bureau of Agricultural Economics, in thousands of units: Beef, lbs ... ............ ............................ Pork, lbs ......... _ __ Lamb and mutton, lbs ............... .... Poultry, lbs.·---············· ·················· Miscellaneous meats, lbs ............... Lard, lbs ............................ . .......... ... Eggs, cases·--··································· Eggs, frozen (case equivalent) ...... Butter, creamery, lbs ..·--·- ··-······· Cheese, all varieties, lbs•................ *Subject to revision. *Dec. 1 1936 152,489 456,429 8,420 149,952 94,395 106,927 1,754 1,894 88,903 114,539 Nov. 1 1936 104,961 354,95° 5,93° 104,981 77:411 94,748 3,788 2 ,344 105,368 II8,907 Dec. 1 1935 91,164 2 53, 20 9 2,661 86,098 63,284 37,906 2,738 2,258 71,948 104,661 Dec. 1 5-Yr.Av. 73,862 43 1 , 007 3,025 91,848 63,187 64,480 2,481 2,160 74,II9 94,3 18 Petroleum Output of crude oil in the District continued at a high rate in November. Gross production was 5.7 per cent smaller than in October, reflecting a decline of 2.6 per cent in daily average production and one less producing day, but was 13.7 per cent larger than in November of last year and exceeded the average for the month during the past ten years by 14.2 per cent. Output for the first eleven months of the year was 1 o. 5 per cent greater than that in the first eleven months of 1935. Petroleum production, estimate<l from the weekly reports of the American Petroleum Institute for November and officially reported by the Bureau ot Mines for October and for November, 1935, in thousands of barrels: Oklahoma·---···· ..... Kansas ...................... Wyoming.. .............. Colorado.___ ............. New Mexico·- - -······· Five states................ United States.____ . November 1936 Gross D.Av. 16,988 566.3 16o.8 4,823 1,416 47.2 123 4.1 2,503 83.4 October 1936 Gross D.Av. 18,259 589.0 166.4 5, 1 57 1,315 4 2•4 I 51 4·9 2,540 81.9 November 1935 Gross D. Av. 15,3 19 510.6 146.2 4,385 1,107 36.9 122 4.1 1,806 60.2 25,853 861.8 90,6o1 3,020.0 27,422 22,739 758.0 86,476 2,882.5 number of rigs up and wells drilling was the largest for that date in the past five years. Coal The production of bituminous coal in the District in ovember, while seasonally smaller than in the longer month of October, showed less than the usual seasonal decline. Output for November was 5.5 per cent larger and for the first eleven months of the year 14.1 per cent larger than in the same periods in 1935. Bituminous coal production reported by the Bureau of Mines: Colorado. _ _ _ __ _ Kansas and Missouri ................. . New Mexico·- --····-··················-··· Oklahoma·--·-······························· Wyoming ...................................... Mid-continent crude oil prices were unchanged in November at schedules posted on January 9 of this year, ranging from 86 cents to $I. 1 8 per barrel according to gravity. On Dec em her 4 a price advance of 17 cents per barrel was announced effective January 4, 1937. This increase reflected the heavy demand existing for petroleum products and the gradual decrease in refinable crude supplies above ground. Field operations, which in 1935 had been more active than at any time since 1930, have continued at a high level during the year as companies have endeavored to increase their reserves. There has been a substantial increase in the number of wells completed, accompanied by an increase of about 8 per cent in new production, and at the close of November the Oct. 1936 Tons 785,000 641,000 163,000 261,000 628,000 Nov. 1935 Tons 724,000 598,000 154,000 199,000 564,000 Six states...................................... 2,362,000 2,478,000 2,239,000 United States·----···-·········· ····••·•• 40,615,000 43,284,00~ 33,404,000 *Estimated from the weekly reports of the United States Bureau of Mines. Zinc and Lead Shipments of zinc and lead ore from Tri-State mines and tailing mills increased somewhat during the four weeks ended November 28 but shipments of lead fell slightly below deliveries in the corresponding four weeks in 1935. Demand for both concentrates was brisk and shipments generally exceeded production although zinc producers were reported reluctant to release supplies at prevailing prices. Zinc output was sustained in rovember at the highest level since last April and there was a slight further increase in the number of mines and mills in operation. Zinc and lead shipments from the Tri-State district: ------ ------ -----884.6 95,795 3,090.2 • ov. 1936 Tons 751,000 651,000 156,000 218,000 586,000 ZINC ORE Tons Value 5,273 .,. 303,6o1 830 47,896 287 16,483 28, 1936·-··· 40,830 f, 1,301,070 31, 1936·-··· 37,350 1,176,525 JO, 1935·-··· 38,728 1,239,296 2.8, 1936.__. 402,020 12,749,760 30, 1935·-··· 348,322 9,905,480 6,390 '/, 367,980 3,730 186,500 6,839 .121,433 48,489 2,450,530 39,584 1,616,096 Oklahoma. ___................................. Kansas.............................. ............. Missouri .............. _.......................... 4 4 4 48 48 Wks. Wks. Wks. Wks. Wks. ended ended ended ended ended Nov. Oct. Nov. Nov. Nov. LE\D ORE Vaine 725,770 463,463 I 11,837 Tons 22,778 f, 14,544 3,508 Zinc prices at the Joplin market advanced '$1 and lead '$5 per ton in November to the highest level of the year, zinc closing at $32.50 and lead at '$59, or 50 cents and '$12, respectively, above a year ago. Zinc prices, which had increased about $6 during the year 1935, have shown little change this year while an increase of about $11 in the price of lead during 1935 has been duplicated during the current year. National Summary of Business Conditions By the Board of Governors of the Federal Reserve System Production, wage payments, and the distribution of commodities to consumers increased considerably from October to November. Wholesale commodity prices have advanced steadily since the end of October. PRODUCTIO AN D EMPLOYMENT: The Board's index of industrial production, which makes allowance for changes in the number of working days in the month and for the usual seasonal variations, was 114 per cent of the 1923-1925 average in N ovem ber, as comp ared with 109 per cent in October. Output of both durable and nondurable manufactures showed a considerable rise. Production of steel ingots increased further to a rate of 79 per cent of capacity in November, and output of automobiles also increased. Figures for the first three weeks of December indicate continued expansion in output of both steel and automobiles. In the plate glass industry, where there has been a strike, production was sharply reduced in November, and activity at lumber mills declined, reflecting the effects of the maritime shipping strike on the Pacific Coast. Increases in output were reported at meat p acking establishments and textile mills, and sugar meltings and output of tobacco products declined by less than the usu al seasonal amount. At mines, coal production increased and output of crude petroleum and 8 Mo THE iron ore showed a smaller than seasonal reduction. Value of construction contracts awarded, according to figures of the F. W. Dodge Corporation, continued at about the same rate in November as in the previous month. Factory employment showed little change from October to November, although a decrease is usual at this season of the year, and the Board's seasonally adjusted index advanced to PER CENT REvrnw THLY PER CENT COMMODITY PRICES: The general level of wholesale commodity prices con tinued to advance from the middle of November to the third week of December. There were substantial increases in the prices of wheat, flour, nonferrous metals, and rubber. Prices of wool, cotton yarns, and worsted y arns advanced somewhat further and cotton, pig iron, and steel scrap prices also increased in this period. PER CENT PER CENT 140 ~ - ~ - - ~,-N-D_U_S_T_R_l_A_L_P_R_O_D_U_C_T_I_O_N______ 140 120 130 130 110 HO 120 100 100 110 90 90 100 80 80 120 W,tiOLESALE PRICES 90 10 70 80 60 60 10 50 50 60 l - - - - + - - - + - - - + - - - - - - H - - + - - - + - - - - 1 - - - - l 60 40 40 50 ,._._,_,_----'--------'----'-----'----'---J.._---'--,.,.,J 50 1929 1930 1931 1932 1933 1934 1935 1936 30 10 30 1929 1930 1931 1932 1933 1934 1935 1936 Index of physical volume of production, adjusted for seasonal variation, 1923-1925 average=100. By months, J anuary 1929 through November 1936. Indexes compiled by the United States Bureau of Labor St,tistics, 1926=100. By months, 1929 to 1931; by weeks, 1932 to date. Latest figure is for week ending Dece:nber 19, 1936. 96 per cent of the 1923-1925 average. The number employed at factories producing durable goods continued to increase, with the largest expansion in the automobile and machinery industries. There was a decline in employment at lumber mills and in the glass industry. In the nondurable goods industries as a group employment showed a smaller decline than is usual in November. At shoe factories and establishments producing wearing apparel smaller than seasonal declines were reported and there were increases in employment at cotton and woolen textile mills and at meat packing plants. BANK CRE DIT: The reserve position of member banks in recent weeks h as been influenced largely by temporary season al developments in connection with holiday currency requirements and mid-December financing by the United States Treasury. Notwithstanding the increased demand for currency for Christmas shopping, there was a further growth in demand deposits at weekly reporting member banks through the first half of December, reflecting additions to monetary gold stock, as well as sharp increases in bank loans. PER CENT PER CENT 250 ~ - - ~ - - - - - - - - --~--~-----'..::.;_; 250 DEPARTMENT STORE SALES 200 r - · - - t - -- - + - - - + - - - + - - - - + - - - + - -- + - - ~ -~-+-----!----+---+---+--~ ! 50 ~ 0 - AC:Jus /ed for seasonal variation Witf1oof seasonal adjusfmt,nf L__.__.__ __,___ ___.__ __.___ _...___--...JL..--~---' 1929 1930 .1931 1932 1933 1934 1935 200 150 BIUJONS Of DOLLARS 16 15 t----+-----'----t----=--...,,,,,.,._-l 22 14 21 13 20 12 19 11 10 6 9 5 j,..;;;;;:;;j;-,,..,-,:::,;;,.-=~~._,.----1 8 4 4 3f--t------+-----I 3 2 2 0 1936 Indexes of value of sales, 1923-1925 average= 100. By months, January 1929 through November 1936. DISTRIBUTION: Department store sales increased substantially in November, and there was also a rise in sales at variety stores and at chain grocery stores. Sales by general merchandise stores and mail order houses servin2" rural areas declined from the high level reported for October~ Freight-cci r loadings showed a smaller than seasonal decrease in Tovember. Loadings of coal, coke, and grain increased contrary to the usual seasonal tendency, and shipments of miscellaneous commodities and of most other classes of freight declined by less than the seasonal amount. 0 1936 •34 1935 1936 Wednesday figures for reporting member banks in 101 leading cities. September 5, 1934, through December 16, 1936. Loans on real estate, loans to banks, and acceptances and commercial paper bought included in total loans and investments but not shown separately. At reporting banks outside New York City holdings of Government securities increased by 140,000,000 in the four weeks ending December 16, while at ew York City banks they showed a further small decline. There was an increase of 1,100,000,000 in loans to brokers and dealers in securities in New York City, largel y for the purpose of buying United States Government securities. Commerci al loans showed a further increase of $150,000,000, carrying the total volume of such loans to a level $800,000,000 higher than a year ago.
@FedFRASER