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THE MONTHLY REVIEW
Of Agricultural, Industrial, Trade and Financial
Conditions in the Tenth Federal Reserve District
FEDERAL
Vol. 19
J
RESERVE
KANSAS
BANK
OF
KANSAS
CITY, Mo., JuLY 1, 1934
UNE I crop conditions in this District were, on a whole,
the poorest of record, spring grains, ranges, pastures,
and meadows being particularly affected by the drouth
which continued during May and the forepart of June. Rains
of variable amount were received generally the second week
of June, affording much temporary relief, but a deficiency of
sub-soil moisture extends throughout the District. Nebraska
and the central areas were the chief sufferers but injury was
general. Pastures became brown, furnishing little feed, and
spring grains ripened prematurely. Early hay crops were very
short. The growth of corn was slow, but planting, which was
delayed by the drouth, is about completed and fields are well
cultivated. Cotton and sugar beets are reported in fair to
good condition.
The dollar volume of May retail trade is indicated by reports of thirty-two department stores in the District as 8.7
per cent larger than in April and 17.2 per cent larger than a
year ago. Sales of five representative wholesale lines combined
showed gains of 6.r per cent for the month and 13.8 per cent
for the year. Inventories at both retail and wholesale establishments were substantially larger on May 31 than one year
earlier. Collections improved as compared to May, 1933.
For the first time since September last year, sales of lumber
at retail were smaller than in the corresponding month of the
preceding year, declining 9.5 per cent in May as compared to
May, 1933. Business failures for the month were less numerous and liabilities the smallest since 1920.
Crude oil production, which exceeded Federal allowables,
was about the same as in April but 20.2 per cent above a year
ago. Quotations for mid-continent oil were unchanged, ranging
from 76¢ to $r.o8 per barrel as against a flat price of 25¢ per
barrel in May, 1933. Output of bituminous coal declined
seasona11y and the May tonnage was the smallest for the month
in years. Shipments of zinc ore and lead ore from mines in
the Tri-State district were substantially heavier than in either
the preceding month this year or the corresponding month last
year. Ore prices declined and are now lower than a year ago.
Shipping directions improved as grain prices advanced and,
despite restricted sales, the May output of flour at Tenth
District mills was 12.2 per cent larger than in April and, although 6.5 per cent less than a year ago, was equal to the
normal output for the month.
Arrivals of grain at Tenth District markets continued abnormally light, reflecting short crops and the ability of producers to hold their grains for better prices. Harvest being
about two weeks earlier than usual, new wheat commenced
arriving at terminal markets the second week of June. Continued drouth and relatively high feed costs were largely accountable for the increased movement of livestock to market, receipts of all classes exceeding the ten-year average for May.
CITY
No. 7
BUSINESS IN THE TENTH FEDERAL RESERVE DISTRICT
Percentages of Increase, or Decrease (-), for May 1934 over April 1934 and
May 1933 and for the first five months of 1934 over the like period in 1933.
May 1934
5 Months 1934
Compared to
Compared to
Banking
Apr. 1934 May 1933 5 Months 1933
Payments by check, 29 cities.................. - 5.6
21.5
23.3
Federal Reserve Bank clearings..............
0.5
34.3
51.1
Business failures, number..... _ _ _ _ - 3.0
-65.2
-58.1
Business failures, liabilities ................ ·-···
226.0
-46.6
-66.o
Loans, 52 member bank." - - - - - 0.4
- 4.5
Investments, 52 member banks ....... ·-···· - 2.2
23.5
Net demand deposits, 52 member banks
3.8
27.3
Time deposits, 52 member banks·---····· - 0.5
4.6
Savings deposits, 44 selected banks·--···
1.0
10.8
Savings accounts, 44 selected banks .. _.. - 0.4
3.9
Distribution
Wholesalers' sales, 5 lines combined ......
6.1
13.8
32.0
Retailers' sales, 32 department stores._.
21.8
17.2
8.7
L~m?er sales, I 57. retail yards ................
13.1
- 9.5
2 3·9
o.I
28.3
Life insurance, written·---·······················
Construction
21,2
Building contracts awarded, value·----· -16.8
100.6
Residential contracts awarded, value....
17.2
- 6.7
40.6
Building permits in 17 cities, value._ .._
61.1
65.9
Production
12,2
- 8.6
Flour·-···········------20.2
1 4•5
1.3
Crude petroleum·-···························-········
Soft coa.___ _ _ _ _ _ _ _ __
-12.8
Even
- 1 9.3
Zinc ore (shipped) Tristate District......
IO.I
2 7•3
126.8
Lead ore (shipped) Tristate District. .....
1 3-4
78.8
76.5
Cemen.____ _ _ _ _ _ _ _ __
- 1.5
3.2
99.9
Grain receipts
- 33.9
Wheat·--·· · · · · · · · - - - - - - - - Corn .... _ _ _ _ _ _ _ _ _ __
-18.2
Oats _ _ _ _ _ _ _ _ __
-38.8
-20.5
Rye ............_ _ _ _ _ _ _ _ __
-22.2
-86.o
-31.I
18.8
-68.9
-4.2
Barley
Kafir_·-····························•·----_ _ _ _ _ _ _ ._ _ __
8.I
83.0
33.5
Livestock receipts, 6 markets
Cattle.. _ _ _ _ _ _ _ _ __
2 5-3
17.8
4.7
Calve,,___ _ _ _ _ _ _ _ _ __
17.0
25.8
9.3
Hogs .. _ _ _ _ _ _ _ _ __
1.4
9.4
43.5
Sheep..................................._ _ _ __
Even
- 2.1
- 5.4
Horses and mules .. _ _ _ _ _ __
- 1 3.4
58.9
54• 2
Meat packing, 6 markets
Cattle _ _ _ _ _ _ _ _ _ __
24.6
13.4
31.9
6o.2
16.3
Calve, " - - - - - · - - - - - - - 54.4
Hogs .. _ _ _ _ _ _ _ _ _ __
8.2
- 1.7
49.4
- 2.6
Sheep........ - - - - - - - - - - -0.7
- 13.4
Stocker and feeder shipments, 4 markets
Cattle.. _ _ _ _ _ _ _ _ _ __
-31.8
- 8.4
Calve,;:,__ _ _ _ _ _ _ _ _ __
-40.2
-14.4
Hogs _ _ _ _ _ _ _ __
- 6.1
-33.6
- 6.o
--29.7
Sheep .....·-··············------ -
Prices of all grains advanced during the month to sell well
above a year ago. At the livestock markets, limited supplies
of finished steers sold higher than at any time since the fall
of 1932, but most other classes sold off. As wool declined,
This Copy Released For Publication In Morning Newspapers, June 29.
'.2
THE MONTHLY REVIEW
sheep and lambs were sharply lower for the month but closed
substantially higher for the year. Hogs, selling below May,
1933, were down in May but mid-June advances were rapid
and present prices are the highest since last October.
Farm purchasing power has declined one point each month
the past four months, averaging 61 per cent of the 1909-1914
average of 100 on May 15 or the same as a year ago. The
index of prices of farm products now stands at 74 per cent of
pre-war and that of prices paid by farmers, for commodities
purchased, at 121 per cent.
Member Bank Operations
A comparison of the weekly condition statements of fifty-two
selected member banks in leading cities of this District discloses increases of 0.4 per cent in total loans and discounts and
3.8 per cent in net demand deposits during the five weeks'
period ended June 13. Total investment holdings declined 2.2
per cent and time deposits were down 0.5 per cent.
The increase in loans and discounts resulted from a gain of
$2,669,000 in "all other" loans which more than offset a loss of
$1,873,000 in loans secured by stocks and bonds. In~estments
in United States Government securities were reduced $10,160,000, whereas holdings of other bonds, stocks, and -securities
expanded $2,743,000.
Compared to June 14, 1933, total loans and discounts as of
June 13 this year were 4.5 per cent smaller, and total investments were 23.5 per cent, net demand deposits 27.3 per cent,
and time deposits 4.6 per cent larger. Net demand deposits,
which are now a third larger than in March, 1933, are higher
than at any time since September 16, 1931, and less than 20
per cent below the peak of August 14, 1929.
The principal items contained in the weekly condition statements of the reporting member banks are shown for the three
dates of comparison in the following table:
r
June 13, 1934
Loans and investments-total..
Loans and discounts-total.___.
Secured by stocks and bonds
All other loans and discounts
Investments-tota,,...__ _ _
U. S. securities ...... _................
Other bonds, stks., and sec..-.
Reserve with F. R. bank.-- ·····Net demand deposits. _ _ __
Time deposits .. _ _ _ _ __
Government deposits _ _ __
$537,9o9,ooo
202,164,000
60,983,000
141,181,000
335,745,000
221,769,000
I 13,976,000
82,405,000
424,625,000
167,565,000
16,629,000
May 9, 1934 June 14, 1933
$483,577,000
201,368,000
211,764,000
62,856,000
58,367,000
138,512,000
153,397,000
343,162,000
271,813,000
161,222,000
z31,929,ooo
III,23J,OOO
IIo,591,000
83,049,000
48,751,000
409,260,000
333,628,000
168,362,000
160,173,000
19,651,000
952,000
Changes in the principal items contained in the weekly condition statement of this bank and branches, in five weeks and
fifty-two weeks, are indicated in the following table of comparisons:
June I.J', 1934
May 9, 1934, June 14,1933
Total reserves .... _ _ __ _
$162,759,243 $16o,795,217 $132,462,318
Bills discounted._____ _ _
214,281
263,089
n,149,o69
Bills purchased .. _ _ _ _ _
142,121
170,479
283,39I
U. S. securities ........ - - - 91,844,200
93,444,200
6o.558,ioo
Total bills and securities............
92,200,602
93,877,768
71,9go,56o
Total resources .. _ _ __ _
291,188,024
286,302,687
230,677,623
F. R. notes in circulation..........
1o6,939,510
106,767,o6o
IIl,954, 275
F. R. Bank notes in cir.-neL.
------870,000
Member banks' reserve deposits
140,346,397
139,122,24?
78,oo6,7·12
The discount rate of the Federal Reserve Bank of Kansas City, on all classes
of paper and all maturities, remains unchanged at 3 per cent.
CLEARINGS: Check collections through the Federal
Reserve Bank of Kansas City and branches during May totaled
4,780,073 items for $704,981,000_ as compared with_ 4,915,071
items and $701,455,000 in April, and 4,213,096 items an_d
$524,805,000 in May, 1933. Totals for the five months t~is
year compared to the first five months last year show an increase of 40.9 per cent in the number of items handled and an
increase of 51.1 per cent in their aggregate amount.
Bank Debits
Banks in twenty-nine clearing house cities of the District
reported the volume of checks debited to individual accounts
during the four weeks and twenty-two w:eks ended May ~o
this year as 21.5 and 23.3 per cent, respectively, larger than i~
the corresponding periods of 1933. The total for the four weeks
period fell 5.6 per cent short of the total reported for the four
weeks ended May 2.
Check payments in 266 cities in the United States during May
were 13.3 per cent larger than a year ago.
$544,53o,ooo
Federal Reserve Bank Operations
Changes in the principal items contained in the weekly
condition statements of the Federal Reserve Bank of Kansas
City and branches at Omaha, Denver, and Oklahoma City
between May 9 and June 13 were slight. Holdings of bills
rediscounted for member banks, bills purchased in the open
market, and United States Government securities declined.
Total resources increased 1.7 .per cent, member banks' reserve
deposits 3.1 per cent, and Federal reserve note circulation 0.2
per cent.
The statement of June 13 this year compared to that of June
14, 1933, shows member banks reduced their indebtedness to
this bank and branches from $11,149,069 to $214,281 during
the year. Purchases of United States Government securities
increased from $6o,558,100 on June 14, 1933, to $91,844,200
on June 13, 1934, and total holdings of bills and securities were
$20,210,042 greater on the latter date than one year earlier.
A total of $870,000 in Federal reserve bank notes outstanding
a year ago was completely retired and Federal reserve note
circulation declined 4.5 per cent.
PAYMENTS BY CHECK
Per cent
Foua WEEKS ENDED
Change
May 31, 1933
May 30, 1934
6o.o
4,897,ooo
7,836,000 $
Albuquerque, N. M,.--·-············· $
- 1.9
2,388,000
2,435,000
Atchison, Kans,-----···-···············
20.5
Bartlesville, Oki
18,868,000
15,662,000
5.0
Casper, Wyo.
3,278,000
3,44 2,000
33.9
Cheyenne, Wyo ...
3,779,000
5,0 59,000
20.7
Colorado Springs, Colo ...............
7,986,000
9,643,000
27.5
Denver, Colo .....
81,425,000
103,792,000
1.8
Enid, Okla .........
'6,419,000
6,532,000
29.3
1,413,000
1,827,000
Fremont, Nebr.·--·······················
51.5
987,000
Grand Junction, Colo ........·-······
1,495,000
14.4
Guthrie, Oki
1,101,000
962,000
-14.5
Hutchinson, Kans .......................
8,594,000
7,348,000
87.8
Independence, Kans ...................
1,987,000
3,73 2,000
19.6
Joplin, Mo.......
5,436,ooo
6,503,000
24.4
Kansas City, Kans.....................
6,875,000
8,553,000
14.6
Kansas City, Mo
196,460,000
225,209,000
3.2
2,221,000
Lawrence, Kans
2,293,000
22.0
Lincoln, Nebr
16,432,000
20,044,000
12,4
Muskogee, Oki
5,014,000
5,634,000
22,1
Oklahoma City, Okla.................
49,105,000
59,977,000
Okmulgee, Okla.
1,728,000
43· 1
2,472,000
15-1
Omaha, Nebr.
94,840,000
109,132,000
Pittsburg, Kans.
I.5
2,469,000
2,433,000
17.4
Pueblo, Colo
10,616,000
9,043,ooo
7.5
Salina, Kans ...............
5,267,000
5,663,000
18.7
St. Joseph, Mo
19,851,000
23,565,000
40.0
8,819,000
12,344,000
Topeka, Kans.·--·························
56.2
Tulsa, Oki
52,280,000
81,656,000
17.4
Wichita, Kans, .. - ..
27,610,000
23,525,000
Total 29 cities, 4 weeks ..........
Total 29 cities, 22 weeks·---- -·
U. S. 266 cities, 4 weeks.........•
$
776,803,000 $ 639,153,000
4,315,266,000
3,499,8 13,ooo
26,667,279,000] 23,528,077,000
21.5
23.3
13.3
THE MONTHLY REVIEW
Stores
Reporting
Kansas City_____
Denver
Oklahoma City_
Tulsa__________
Wichita ____________
Other cities .... _____
4
4
3
3
3
I5
3
RETAIL TRADE AT 32 DEPARTMENT STORES IN THE TENTH FEDERAL RESERVE DISTRICT
STOCK.S (RETAIL)
ACCOUNTS RECEIVABLE
SALES
AMOUNTS COLLECTED
STOCK. TUR.NOVEil
May 1934 Year 1934
May 31, 1934
May 31, 1934
May 1934
May
Year
compared to compared to
compared to
compared to
compared to
Year 1933 April 30, 1934 May 31, 1933 1934 1933 1934 1933 Apr.30,1934 May 31, 1933 Apr.1934 May 1933
May 1933
.22
I.I
20.8
13•7
3.6
20.9
.19 1.07
.89
9.6
- 1.7
0.5
11.6
14.6
- I.0
.29
2.4
19.I
.30 1.36 1.24
11.3
9.6
17.8
26.0
6.1
6.9
.32 1.77 1.46
4.8
26.7
2.5
.37
24.4
5.3
18.2
17•5
.38 1.91 2.08
4.6
14.0
19.6
.36
0.4
5.2
- 3-7~
2,1
26.2
-0.2
27.8
.31
.32 1.36 1.23
7.0
24.2
26.3
5.9
.28 1.23 1.14
14·9
.28
I.8
16.9
22.9
- 4.2
7.9 j
15.0
3.7
Tota.__ _ _ 32
17.2
21.8
- 1.6
n.5
.28
.z7 1.31 1.17
3.8
7.1
NOTE: Percentage of collections in May on open accounts April 30, all stores reporting 4z.1. Collections same month last year 38.1.
Savings in Banks
Reports of a selected list of forty-four banks, in c1t1es of
the Tenth District, show the aggregate of their savings deposits
increased I per cent between May I and June 1, although the
total number of savings accounts declined 0.4 per cent. The
amount of savings deposits of the reporting banks increased
10.8 per cent between June 1, 1933, and June 1, 1934, and the
number of accounts increased 3.9 per cent.
Savings deposits and savings accounts as reported by the
forty-four banks for the three dates:
Savings Accounts
378,091
379,589
364,047
June 1, 1 9 3 " t - - - - - - - - - May 1, 193
June 1, 193
Savings Deposits
$109,836,557
108,738,451
99,a6,622
Failures
Business insolvencies in the United States and this District
reached new low levels for recent years in May. The number
of failures in the District during the month was the smallest
for any month since September, 1920, and for the United
States the smallest since October of that year.
Liabilities involved in Tenth District defaults, although the
largest of the year, were the smallest for the month since 1920.
The aggregate amount for the United States was the smallest
for any month since May, 1920, February, 1934, excepted.
The number of business failures in May and the amount of
liabilities involved, with comparisons, ~s reported by Dun and
Bradstreet, Inc.:
TENTH DISTRICT
Number
Liabilities
May 193______
3z
$ 851,3z7
April 1934___
33
z61,170
May 193
9z
1,595,439
Five months 1934--·····----·
'113
z,663,092
. Five months 1933---·····--·····
508
7,832,737
UNITED STATES
Number
Liabilities
977 $ 22,56o,835
1,osz
z5,786,975
1,909
47,97 1,579
5,544
127,925,467
n,075
z9z,245,839
Trade
Thirty-two department stores in the District reported their
May sales in dollars were 8.7 per cent larger than in April and
17.2 per cent larger than in the corresponding month a year ago.
The increase for the month was the second and largest in five
years and compares with an increase of 4.6 per cent last year.
The improvement over a year ago was, excluding April, the
smallest since November. Sales for the first five months of
the year were, for the first time in five years, larger than in
the like period of the preceding year, increasing 2 I. 8 per cent.
Reporting
Stores
Dry good
Groceries_
6
5
Hardwar
Furnitur
9
4
Drug
7
4.9
Inventories declined seasonally in May but stocks on hand at
the close of the month were, following four years of declines,
I 1.5 per cent heavie(than on May 31, 1933.
Collections showed _little change for the month but were
better than a year ago, averaging 42.1 per cent of amounts
outstanding at the close of the preceding month as against
41.8 per cent in April this year and 38.1 per cent in May last
year.
Combined sales of wholesalers, engaged in five lines of distribution in the District, showed gains of 6.1 per cent for May
as compared to April, 13.8 per cent for May over May last year,
and 32 per cent for the year to June I as compared to the same
five months of 1933. By individual lines, wholesalers of dry
goods and furniture reported slight decreases for the month,
whereas dollar sales of groceries, hardware, and drugs increased
somewhat. Compared to May, 1933, sales of dry goods increased 13.3, hardware 24.9, and drugs 32.1 per cent, and sales
of groceries declined 6.5 per cent and furniture 1.2 per cent.
All five lines reported sales for the year to date as substantially
above a year ago.
Stocks of merchandise on hand at wholesale furniture establishments May 31 were almost twice as large as the like date
last year and inventories of dry goods, hardware, and drugs
were 34.4, 28.8, and 8.9 per cent, respectively, heavier. Inventory changes for the month were slight except for an 8.1 per
cent reduction in grocery stocks which at the close were 4 per
cent lighter than last year. Accounts receivable, on the whole,
show a reduction for the year and collections a gain.
Lumber
Reports covering 157 retail lumber yards, located in the
Tenth District, reflect increases of 4.2 per cent in sales of
lumber in board feet and 6.3 per cent in dollar sales of all
materials for May as compared to April. Lumber sales were,
for the first time this year, below the like month last year,
declining 9.5 per cent as compared to May, 1933, whereas
sales of all materials showed a gain of 37.4 per cent.
Stocks of lumber on hand May 31 were 1 per cent smaller
than one month or one year earlier. Collections improved,
averaging 35.1 per cent of amounts outstanding at the close
of the preceding month as against 31 per cent for April this
year and 22.7 per cent for May last year.
WHOLESALE TRADE IN THE TENTH FEDERAL RESERVE DISTRICT
OuTsTANDrnos
AMOUNTS COLLECTED
SALES
May 31, 1934 compared to
May 1934 compared to
May 1934 compared to
Apr.30,1934 May 31, 1933
Apr. 1934
May 1933
Apr. 1934
May 1933
- 1.6
0.4
- z.o
13.8
-0.5
13.3
6.I
-z.5
-6.5
8.5
u.7
-z4-7
8.1
II,4
IO.I
29.6
2.3
24.9
0,I
- I.2
21.5
-z.5
-z.9
5.1
- I,I
24•3
JZ,I
1.3
- 2.7
S,I
STOCK.S
May 31, 1934 compared to
Apr.30,1934
May 31, 1933
- 2.2
3+4
- 8.I
- 4-0
- z.z
z8.8
3.3
I.I
93.o
8.9
THE
4
lv1oNTHLY
May business is herewith compared to that for April, 1934,
and May, 1933, in percentages of increase or decrease:
Sales of lumber, board feet................................
Sales of all materials, dollars ...... _ _ _ _
Stocks oflumber, board feet.--- ·······················
Outstandings, end of mont,.____ _ _
May 1934 Compared to
April 1934
May 1933
4.2
- 9.5
6.3
37-4
- 1.0
- 1.0
2.5
- 2.9
According to reports of the National Lumber Manufacturers
Association, national lumber production for the week ended
June 2 was 12 per cent below that for the same week of 1933,
shipments were 33 per cent less, and orders booked 40 per
cent less. Production for the year to June 2 was 44 per cent,
shipments 8 per cent, and orders 6 per cent larger than in the
first twenty-two weeks of 1933.
Building
Building activity, although showing some improvement over
last year, remains substantially below normal. Total expenditures for the District during May, as. reported by the F. W.
Dodge Corporation, were 21.2 per cent larger than a year ago
but equal to only one-third the average outlay for the past
eight years. Expenditures for residential construction showed
declines of 6.7 per cent as compared to May, 1933, and 80 per
cent as compared to the average.
Construction operations in this District and the United
States as reported by the F. W. Dodge Corporation:
TOTAL BUILDING CONTRACTS AWARDED
TENTH DISTRICT
U NITED STATES
1934
1933
1933
1934
May..............
'/, 4,963,914
f, 4,094,541
1> 134,445,700
f, 77, 17 1,700
April..............
5,967,104
2,0:26,945
131,413,800
56,573,000
Five months
30,588,239
15,250,996
728,479,300
329,771,500
Permits i'ssued by building departments of seven teen reporting
cities totaled 1,368 in May, 1,340 in April, and 1,289 in May,
1933. Estimated expenditures amounted to $1,725,935 this
month, $1,071,212 last month, and $818,428 last May.
BUILDING PERMITS IN TENTH DISTRICT CITIES
PERMITS
E sTIMATED CosT
1934
1934 1933
1933
Albuquerque, N. M.
1, II,915
'/, 3°,99 1
24
43
Cheyenne, Wyo ...
13,813
31
58
23,543
17,812
Colorado Springs, Colo.·--·········
31
23
5,084
Denver, Colo...............................
151,579
194,838
3 14
49 2
12
Joplin, Mo .......
17
6,450
3,300
Kansas City, Kans ..... :...............
16,090
31
19,u5
55
Kansas City, Mo.
246,600
276
148
I 53,700
Lincoln, Nebr
29, 295
144
52,77 1
49
Oklahoma City, Okla.................
56,190
72
71
85,739
Omaha, Nebr...
107
I 52,245
789,354
73
Pueblo, Colo
6,1'67
7,584
47
43
6
Salina, Kan
2,175
2,050
9
IO
Shawnee, Okla...
8
n ,520
7,175
22
St. Joseph, Mo
25,47°
7 1,39°
37
Topeka, Kans
20,385
47,885
54
55
Tulsa, Oki
23,787
89
70
69,9o5
62
Wichita, Kans.......
152,916
35,530
74
Total 17 cities, May
Five month
1,368
5,001
1,289
4,534
'/,1,725,935
1, 818,428
5,336,336
3,216,519
Flour Milling
Flour prices advanced sharply with wheat as drouth conditions reduced crop prospects. Buyers were indifferent to
the early advances and, as prices held, adopted the policy of
purchasing only for immediate needs, and May sales, especially
round lots, were the lightest in recent years. Export sales
were unimportant.
Higher prices enabled mills to get out of old contracts either
through cancellations, which on overdue bookings were frequent, or delivery, and milling operations improved with shipping directions. May production of flour at mills in this District
REvrnw
was 12.2 per cent larger than in April, 6.5 per cent less than a
year ago, and equal to the ten-year average output for the
month. Mills operated at 60.4 per cent of full-time capacity
as against 58.2 per cent in April and 64.6 per cent in May, 1933.
Flour production at the principal milling centers of the
Tenth District as estimated from the weekly reports of southwestern mills to the Northwestern Miller:
May 1934
Barrels
129,220
522,076
111,458
146,461
166,997
861,050
Atchison.
Kansas City
Omaha ......
Salina.............
Wichit
Outsid
April 1934
Barrels
n8,868
451,015
106,437
130,410
135,684
784,285
May 1933
Barrels
134,135
583,564
III,830
125,169
165,991
951,866
Tota..__ _ _ _ _ _ _ __ _ _
1,937,262
1,726,639
2,072,555
*United States___ _ _ __ __
4,993,003
4,959,082
5,920,003
*Represents about 60 per cent of the total output in the United States.
Millfeed demand strengthened as pastures and feed supplies
were cut by the drouth, bran closing about $2 and shorts $1.50
per ton higher for the month.
Grain Marketing
May receipts of wheat, corn, rye, and barley at the five
principal grain markets of the Tenth District were the smallest
for the month in fifteen years of record. Arrivals of wheat
were equal to 47, corn 34, and rye and barley 29 per cent of
the ten-year average volume. Marketings of oats and kafir
were also unusually light, the former being 25 per cent and the
latter 46 per cent below normal. Receipts of kafir were a third
larger than in May, 1933.
Receipts of wheat at the five markets during the eleven months
of the crop year, July 1 to May 31, amounted to but 68,748,400
bushels as compared to 126,861,450 bushels in the preceding
wheat year and 252,180,850 bushels between July 1, 1931, and
May 31, 1932.
Arrivals of grain at the five markets during May with comparisons:
Wheat
Bushels
Hutchinson ......
753,300
Kansas City·--· 1,190,400
Omaha..............
451,200
St. Joseph. ____ .
326,400
Wichita. ___ ·······
801,000
M ay 1934---•·-·
April 1934........
May 1933·-·······
5 Mos. 1934......
5 Mos. 1933 ....-
3,522,300
3,884,800
9,790,850
20,961,650
31,708,900
Corn
Bushels
8,750
Oats
Bushels
Rye
Bushels
Barley
Bushels
508,500
132,000
146,000
492,000
6,000
8,400
24,000
6,400
1,285,150 770,000
1,336,750 285,500
5,698,200 969,000
12,705,600 2,589,500
15,534,650 4,231,500
14,400
18,500
102,700
218,900
317,700
421,400
288,000
Kafir
Bushels
31,200
147,000
3,000
58,500
30,400
25,6oo
97,750
237,450
247,850
181,200
99,000
135,700.
735,700
680,300
Wheat, corn, and oats met a good demand and terminal
elevator stocks were again drawn upon. Price strength featured
the market with all grains sharply higher under the stimulus
of adverse crop conditions and a closer adjustment of supply
and demand. Wheat advanced 22 cents, corn 13, oats 12,
rye 16,½, barley 13,½, and kafir 19 cents per bushel during the
month. Closing prices for all grains were substantially higher
than on May 31, 1933. Hay markets were firm and active at
prices well above a year ago.
Changes in cash grain prices at Kansas City, in May and the
first two weeks of June, 1934, and 1933, are reflected in the
following table in cents per bushel:
No.
No.
No.
No.
No.
No.
June 15 May 31 Apr. 30 June 15 May 31 Apr. 29
1934
1934
1934
1933
1933
1933
I dark wheat............ _1,.88
1,.95
1,.73
1,.71½ 1,.69
'/,.66
2 mixed corn.·- ···-·.54½ .55
.42
.40
.40½
.34½
2 white oats..............
.42½
-43
.31
.28½
.25
.24½
2 rye .. __ __ _
.62
.72
.55½ .56
.48
.48½
2 barley_ _ _ _
·5 1
.55
.41½
.33
.3o½ .3 2½
2 kafir_ _ _ __
.92
1.03
.84
.87
.82
.73
THE MONTHLY REVIEW
Harvest is earlier than usual and a few scattered cars of new
wheat arrived at terminal markets the second week of June
and the movement was general the following week.
Exports of wheat and flour from the United States since
July 1, 1933, have totaled about 40/250,000 bushels, or 1,500,000
bushels more than last season to date. Wheat in store at principal markets on June 9 was reported by the Department of
Agriculture at 76,152,000 bushels this year and n9,310,ooo
bushels last year. Holdings of corn, oats, and rye were slightly
larger than a year ago.
Crops
General crop prospects in the states of Nebraska, Kansas,
Missouri, Colorado, and Wyoming as of June 1 were described
by the state boards of agriculture of the respective states as
the poorest of record, and conditions in Oklahoma and New
Mexico were considerably below normal. Excessive temperatures, subnormal rainfall, and hot winds, except in a few
favored and widely scattered areas, caused rapid deterioration
of all vegetation during May and the forepart of June. Injury
was most severe in Nebraska, western Kansas, eastern Colorado,
Wyoming, and the Oklahoma panhandle. Wheat, oats, rye,
barley, tame and wild hay, pastures and ranges, and fruit were
all adversely affected. Corn planting in the drier areas was
delayed and germination retarded. Crops in the irrigated
sections of New Mexico were further advanced on June 1 than
usual but all irrigated regions were threatened with a shortage
of water unless substantial rains were received in the immediate
future. Water for livestock was reported exceedingly short
in most areas. The Government fight against chinch bugs
and grasshoppers, which have menaced crops, has commenced.
Winter wheat prospects in this District were reduced onefifth, or approximately 40,000,000 bushels between May 1
and June I. The loss was primarily in the states of Nebraska
and Kansas, the former, where wheat came through the winter
in good shape, reporting abandonment as terrific and the second
heaviest of record, and showing the greater percentage decline.
Colorado, New Mexico, and Wyoming also reported reductions,
but estimates from Missouri and Oklahoma were unchanged
for the month.
Production of winter wheat in the seven states of this District
and the United States, as estimated by the United States
Department of Agriculture, for the dates indicated:
Colorado·---·····
Kansas ..............
Missouri.. ..........
Nebraska..........
New Mexico. __.
Oklahoma. ___···
Wyoming_···--
Indicated
June 1, 1934
6,242,000
80,436,000
18,993,000
15,780,000
616,000
35,880,000
708,000
Indicated
May 1, 1934
8,212,000
99,362,000
18,993,000
34,190,000
847,000
35,880,000
1,180,000
Seven states.-...
United States._.
158,655,000
400,357,000
198,664,000
461,471,000
808,000
Average
1927-1931
15,491,000
175,876,000
20,225,000
62,866,000
3,421,000
52,641,000
1,707,000
137,471,000
351,030,000
332,227,000
632,061,000
Final
1933
2,412,000
57,452,000
16,600,000
25,894,000
1,210,000
33,o95,ooo
Wheat ripened prematurely, resulting in some shriveled
grain, and harvest, which by June 1 5 was general, is about two
5
weeks earlier than usual. Oats are exceedingly poor and owing
to pasture needs a large portion of the acreage is being pastured
or cut for hay. Some wheat is also being pastured, especially
in Nebraska. The rye and barley crop will also be very short.
Corn planting is virtually completed. In eastern Kansas
and parts of Missouri corn is very good but, on the whole,
ranges from fair to poor. The crop is clean and well cultivated
generally and, although growth has been slow, very little corn
has been permanently damaged and, with timely rains and
favorable weather the balance of the season, will make good
yields.
Pastures and ranges declined sharply during May and the
condition on June 1 was the lowest of record and, owing to
the poor grazing, a large portion of the hay meadows will be
forced into pasturage to carry present livestock numbers.
Some feeding of old hay was necessary and the present outlook
is for an unprecedented shortage of hay and forage the coming
winter. Weather conditions were favorable for haying but
due to green bug and drouth injury yields were light. The
first cutting of alfalfa was very short and new growth has been
slow.
Oklahoma reports the condition and progress of cotton as
mostly good but growth rather slow in scattered local areas.
Sugar beets, although doing well, are needing rain. Thinning
has commenced. Planting of late potatoes in Wyoming and
the digging of early potatoes in Oklahoma, injured by hot,
dry weather, is under way.
In general a good fruit year is forecast for Colorado, Oklahoma, and New Mexico, with prospects unfavorable in the
other states of the District, particularly Nebraska. The condition of fruit declined generally in May, strawberries, raspberries, and apples being injured extensively. On June 1, peaches
and pears held greater promise than a year ago in all states except Nebraska. The pear crop in Oklahoma and New Mexico
was above the five-year average condition and District production was estimated at 1,111 ,ooo bushels as against 602,000 bushels
in 1933 and 1,104,000 bushels as the average for the years 1927
to 1931, inclusive. Tenth District production of peaches was
estimated at 3,214,000 bushels for 1934, 915,000 bushels in
1933, and 2,421 ,ooo bushels in the five years. The Colorado
peach crop wiH be slightly less than the record crop of 1932
and the Oklahoma crop the third largest since 1916. Apples
in Oklahoma are in the best condition since 1924, above normal
in New Mexico, slightly below normal in Colorado, and substantially below normal in the other states. The June 1 condition of cherries in Colorado was the highest in recent years
and much better than a year ago in the other states where
picking was general by June I 5.
Rains the second and third week of June were general over
the District and very beneficial to unmatured crops, meadows,
and pastures. Late planted corn germinated well and sorghums
and emergency forage crops are being planted under more
favorable conditions. Both surface and subsoil moisture are
still lacking in all states.
PERCENTAGE OF CONDITION OF TENTH DISTRICT CROPS ON JUNE 1, 1934 AS COMPARED TO THE 1922-1931 AVERAGE
(From reports of the United States Department of Agriculture)
Pastures
Apples
Peaches
Wild Hay
Tame Hay
Barley
Oats
Rye
Spring Wheat
1934 Aver.
1934 Aver.
1934 Aver.
1934 Aver.
1934 Aver.
1934 Aver.
1934 Aver.
1934 Aver.
1934 Aver.
88
87
71
78
88
76
89
70
Colorado ................
83
58
87
79
77
63
59
87
56
57
61
86
81
63
84
48
44
Kansa
78
52
39
72
S2
55
74
33
74
49
37
62
.
48
So
48
31
68
83
42
56
83
Missour·
76
6o
48
44
83
78
43
73
Nebraska.....________
16
65
38
84
85
52
26
84
86
29
84
84
85
33
37
33
33
45
80
62
82
81
63
81
36
80
63
36
85
44
43
73
50
New Mexico.·-···-·
53
86
81
42
84
65
69
65
71
65
54
Oklahoma_ ............
72
77
79
39
51
59
82
48
90
48
92
58
Wyoming_.............
89
56
93
91
46
53
90
49
55
90
United States _______
82.1
47.z
83.3
43·5 80.8 44.7 83.4 53-9 82.0 37.7 80.3 53· 2 83.0 48.7 69.z 58.3 66.7
4 1·3
6
THE MONTHLY REVIEW
United States winter wheat prospects declined 61,000,000
bushels, or 13 per cent during May, and the June 1 indicated
production of 400,357,000 bushels, although above last year's
short crop, is 37 per cent below the 1927 to 1931 average,
according to estimates of the United States Department of
Agriculture. Spring wheat production is estimated at about
100,000,000 bushels and total wheat production at approximately 500,000,000 bushels, or the smallest since 1893. The
year's oats harvest is tentatively placed at less than 700,000,000
bushels also less than in any year since 1893.
The present condition of winter wheat is the lowest -~since
1895 and of oats, tame hay, wild hay, and pastures the lowest
in forty years or more of record. The national hay crop, tame
and wild, is estimated at 50,000,000 tons compared with 74,000,000 tons cut last year, and a five-year average yield of 84,000,000
tons. Although favorable weather would revive pastures and
meadows and assure emergency hay and forage crops, an acute
shortage of hay in many states is reported unavoidable. Apple
prospects are unusually poor and the peach crop is forecast as
16 per cent less than the average and the pear crop 5 per cent
less.
Canadian spring wheat also suffered seriously from the drought
and the June 1 condition was the lowest on secords covering
the past twenty-six years. Stocks ·of old wheat, however,
are large and will offset in part low yields.
Livestock
MARKETING: Receipts of cattle and calves at the six
principal markets of this District in May were the heaviest
since November and of hogs, including shipments direct to
packers' yards, the largest since January. May receipts of
cattle were the largest since 1927, calves since 1924, and hogs
since 1929. Distressed shipments from dry areas and relatively
high feed costs, the corn-hog ratio at the close of May of 6.5
bushels of corn required to buy 100 pounds of pork being the
lowest in the twenty-four years of official record, accounted
largely for the increased offerings which included many poor
and unfinished animals. Shipments from drouth stricken
areas were heavier to northern markets than to the markets
of this District.
Offerings of sheep and lambs were the third largest for the
month in the past four and fifteen years. Marketings of horses
and mules totaled 9,598 head in May, a high record, as compared
to u,086 in April and 6,223 in May, 1933. Trading in horses
and mules included sales to the Arkansas Relief Commission
for rehabilitation purposes and to the Colombian Government.
PRICES: Weighty steers being scarce, good cattle advanced
50 cents per hundredweight in May with sales at Omaha and
Kansas City reaching '/,9 per hundredweight, the highest price
paid since October, 1932, and '/,2 above a year ago. Other
Kansas City__________
Omah
St. Joseph
Denver
Oklahoma CitY--··--·
Wichita___________
Cattle
107,711
173,528
43,939
23,425
28,170
16,970
classes of cattle declined 25 to 75 cents, stockers and feeders
showing the greater weakness at the close. Demand was
broad and recessions were moderate considering the liberal
offerings of plain to common kinds.
Hog prices fluctuated narrowly, closing zo to 25 cents per
hundred pounds lower for the month and '/,1.40 under last May.
Quality was, on the whole, plain, with offerings of unfinished
h:>gs increasing as the month drew to a close. Government
purchases and distant buyers relieved the pressure on lightweights somewhat. Rapid advances after the first week of
June carried values to a top of '/,4. 85 at Kansas City on June 21.
Benefit payments under the Government's corn-hog adjustment
program are being made in a number of counties.
A sharp decline in wool was the dominant factor in losses of
'/,1 or more in fat lamb values. Shipping demand narrowed
and other classes showed losses of '/,1.50 to '/,3 in extreme cases,
old wethers and ewes showing the greatest loss. Native spring
lambs reached '/,11.75 per hundredweight as compared to
'$7.65 in May, 1933~
Hot weather had a depressing effect on the demand for
dressed meats of all kinds. In May, 1933, sheep and lamb
and swine values scored good advances.
STOCKERS AND FEEDERS: General drouth and the
relative high price of corn retricted the movement of stocker
and feeder livestock to the country. The out-movement of
cattle from four Tenth District markets was, May, 1932,
excepted, the smallest for the month in fourteen years of record,
that of hogs since 1921, and of sheep since 1926. The outgo
of cattle was equal to 63.4, calves 100, hogs 64.3, and sheep
and lambs 81 per cent of the average movement for the month
the past ten years.
PASTURES AND RAN GES: The Department of Agriculture reported the spring movement of cattle into the Flint
Hills of Kansas and the Osage pastures of Oklahoma, from
January 1 to May 31, totaled 323,000 head this year compared
to 315,000 in 1933, 294,000 in 1932, and 356,000 as the 1928
to 1932 average. April receipts were large and May receipts
below normal. The June 1 condition of pastures was good
except in the northern part of the Blue Stem region where
water was short up to the second week of June when rains
were received. Pastures are well stocked, carrying less than
the usual proportion of aged cattle and larger numbers of
young stock and native cattle. June rains assured both regions
sufficient stock water. Stock is in good flesh, with the normal
out-movement expected.
1
Western range conditions, which~:declined "" 10 points during
May, are generally poor, the present drouth covering the largest
area of any in the present century. Northeastern Wyoming,
western Kansas, western Oklahoma, western Nebraska, eastern
Colorado, and northeastern New Mexico, where feed prospects
MAY MOVEMENT OF LIVESTOCK IN THE TENTH DISTRICT
STOCltER.S AND FEEDER.S
RECEIPTS
Hogs
Sheep
Cattle
Calves
Sheep
Hogs
Calves
19,820
177,287
21,929
2,434
4,59 1
23,074 •387,998
10,025
2,827
266,o61
1,432
125,o68
13,770
1o,477
3,111
113,131
8.695
10,076
171,936
376
945
2,542
436
11,993
257,671
62,457
5,212
5,873
15,731
36,255
4,700
4,168
17,745
4 1,7°9
966,416
May 193
7o6,633
393,743
57,7°7
694,216
April 193
7o6,7i3
52,783
375,975
883,110
May 1933
334,162
49,308
721 ,577
Five months 1934- 1,807,008
266,095 4,019,228 3,158,747
Five months 1933_ 1,442,222
211,453 3,962,754 3,337,719
•Includes 242,223 hogs shipped direct to packers' yards.
44,683 .
57,041
65,498
256,663
280,168
6,784
6,448
n,348
42,078
49,165
8,799
7,221
13,250
35,203
37,470
50,533
49, 243
7r,857
258,521
274,978
PuacHASED Foa SLAUGHTER
Cattle
Calves
Hogs
Sheep
22,655 •368,974
63,710
117,364
211,440
1o6,039
99, 11 9
9,045
9,622
165,393
95,67 1
35, 11 4
10,620
46,468
2,950
13,350
18,781
15322
4,o49
33,073
40,226
7,412
4,031
17,306
237,486
209,372
190,604
1,076,297
815,896
362,322
52,352
865,574
579,216
364,736
44,997
418,152
800,035
33,906
219,o61 3,438,6o4 1,795,111
136,777 3,497,446 1,843,479
THE MONTHLY REVIEW
are poor and water short, are the areas of this District where
the situation is most serious. Shrink has replaced the usual
gains and the condition of cattle declined 2 points and of sheep
and lambs 3 points during May. The June 1 condition of cattle
was the lowest for the date in twelve years. Although the
lambing percentage was large and the calf crop good, both
calves and lambs are making a poor start. According to the
Bureau of Agricultural Economics, if drouth conditions are
not relieved much livestock will be forced to move and losses
will_)e heavy.
Owing to the prevailing drouth, there has been very little
contracting of feeder lambs for fall delivery. Hay meadows and
fields of wheat and oats, over a wide area have been forced
into pasturage to carry present livestock nu~bers. Contracted
acreage in many 'd routh stricken areas has recently been released. by the Government for the production of late forage
crops m an attempt to relieve the impending shortage of hay
and forage for the coming winter.
DAIRY AND POULTRY: High feed prices and drouth, in
the areas of large production, have curtailed butter production
and the burdensome surpluses of recent months have disappeared. Egg production has also declined from the same
causes, and the hot weather has caused .- farmers to sell off
their poultry. Consumption of both eggs· and butter is less
than last year. Prices paid by wholesalers and processors
for poultry, eggs, and butterfat declined in May but butterfat
regained the loss by mid-June and is now selling slightly above
a year ago as are poultry and eggs.
i
Meat Packing
Operations at Tenth District meat packing plants, as indicated by packers' purchases of livestock at the six market
centers, were the heaviest of the year. More cattle and calves
were purchased in May than in any month since October.
The slaughter of cattle was the largest for the month since
1927 and of calves in over fifteen years. Purchases of hogs,
including direct shipments, were 8.2 per cent above May,
1933, and 9.4 per cent above the ten-year May average. The
May slaughter of sheep and lambs was 13.4 per cent less than
a year ago and 2.6 per cent below normal.
National slaughter of cattle and calves under Federal meat
inspection during May was the largest for any May on records
beginning in 1907 and, for the thirteenth successive month,
larger than a year ago. The May slaughter of sheep was the
smallest since 1929 and of hogs, 1933 excepted, the largest
since 1924.
Federally inspected slaughter of meat animals:
Cattle
May 1934--..............
864,000
April 1934................
749,000
May 193
717,000
Five months 1934-_. 3,948,000
Five months 1933._. 3,131,000
Calves
600,000
525,000
475,000
2,568,000
1,961,000
Hogs
4,217,000
3,411,000
4,286,000
19,492,000
20,081,000
Sheep
1,244,000
1,163,000
1,504,000
6,216,000
7
Cold Storage Holdings
According to reports of the Bureau of Agricultural Economics, June I United States cold storage holdings of beef were
13.7 per cent, pork 16.4, lamb and mutton 49.4, poultry 10,
miscellaneous meats 25.6, and creamery butter 23.9 per cent
less than the five-year average for that date. Stocks of lard,
including Government holdings, were large, being 42.4 per
cent above the average, and inventories of cheese and eggs
were also heavier, showing gains of 19.7 and 5 per cent, respectively.
Holdings of beef, lamb and mutton, and poultry declined
seasonally in May and those of lard, butter, and cheese increased but gains and losses were not as large as usual. Monthend stocks of pork, mutton, and butter were smaller than one
year earlier. Egg consumption declined, forcing more eggs
into storage during May than a year ago or normally. Accumulations for the month totaled 4,066,000 cases, or 221,000 cases
more than a year ago. Total holdings of eggs, cased and frozen
combined, are approximately the same as a year ago.
United States cold storage holdings as reported by the
Bureau of Agricultural Economics in thousands of units,
ooo omitted:
•June 1
1934
Beef, lb,,.__________
42,219
Pork, lbs,__________ 642,055
Lamb and mutton, lbs.......................
1,249
Poultry, lb...________
39,620
•*Turkeys, lbs ..... _ _ _ _ _ _ _
9,500
Miscellaneous meats, lbs____
52,912
Lard, lbs,_________ 182,576
Eggs, ca<1es
7,815
Eggs, frozen (case equivalent) .. _......
2,680
Butter, creamery, lbs_____
27,110
Cheese, all varieties, lbs.....................
71,193
•subject to revision. ••Included in poultry.
Zinc and Lead
Shipments of zinc ore from mines in Missouri, Kansas, and
Oklahoma, during the four weeks' period ended June 2, were
the heaviest for the year, and deliveries of lead ore were larger
than in any four weeks' period since last August. Zinc ore
tonnage exceeded that for the four weeks ended June 3, 1933,
by 126.8 per cent, and shipments of lead ore were 76.5 per cent
larger.
Prices, although lower at the end of May than a year ago,
averaged somewhat better for the month and values compared
more favorably with a year ago than tonnage. Zinc ore declined $3 and lead ore $5.50 per ton to close at $27 and $42
per ton, respectively, or $3 and $8 per ton under a year ago.
In May, 1933, zinc ore advanced $5 and lead ore $10 per ton.
The tonnage and value of zinc ore and lead ore shipments
from the Tri-State district:
ZINC 0R.E
6,908,000
Cattle purchased under the Government plan, calling for
the purchase of 5,000,000 cattle in the drouth stricken areas,
have commenced arriving at packing centers where they will
be slaughtered and the meat distributed for relief. Buying
is now taking place in twelve states including all the states in
this District except Missouri.
June 1
May I
June I
1934
1933 5-Yr.Av.
48,903
46,590
30,538
656,087 670,553 768,025
2,466
1,281
1,843
44,024
49,212
38,131
11,154
7,817
7,435
71,152
51,827
51,179
179,098 I 10,889 128,224
4,640
8,o62
7,442
1,789
2,438
2,659
11,838
35,159
35,644
65,450
48,481
59,475
(ooo omitted).
Tons
2,867
639
88
Value
'/,127,739
1934-_..... 27,987 '/, 809,530
756,216
1934--•···· 25,419
327,227
1933---·· 12,339
1934---··· 128,063 3,674,129
1933__ 100,631 1,931,767
3,594
t,i58,733
93,409
2,036
88,254
591,203
427,052
Oklahom.....__ _ _ _ _ __
Kansas .. _ _ _ _ _ _ __
Missouri. _ _ _ _ _ _ __
4 Weeks ended June 2,
4 Weeks ended May S,
4 Weeks ended June 3,
22 Weeks ended June 2,
22 Weeks ended June 3,
LEAD 0R.E
Tons
Value
21,212 $ 614,o61
5,481
157,925
1 , 2 94
37,544
2,010
13,469
n,881
27,o63
3,931
8
THE MONTHLY REVIEW
Bituminous Coal
Production of bituminous coal at mines in the six coal producing states of the District declined as usual in May. Output,
as estimated from the weekly reports of the United States
Bureau of Mines, totaled 813,000 tons, the least for that month
in many years, as against 1,007,000 tons in April and 932,000
tons in May, 1933. In the United States, May production
exceeded that of the preceding month this year or the corresponding month last year.
Tonnage mined in the District for the year to date is approximately the same as in 1933 but national output is 30.3 per
cent greater.
Output of soft coal at mines in this District and the United
States:
Colorado ______ ................................
Kansas and Missouri ................. .
New Mexico_ _ __
Oklahoma·---···- - - - - Wyoming _ _ __
*May 1934
Tons
269,000
202,000
75,000
25,000
242,000
April 1934
Tons
288,000
322,000
88,ooo
26,000
283,000
May 1933
Tons
290,000
272,000
76,000
44,000
250,000
Total six states .. _ _ _
813,000
1,007,000
932,000
Total United States .................. _
28,025,000
24,772,000
22,488,000
*Estimated from the weekly reports of the United States Bureau of Mines.
Petroleum
Daily average crude oil production, as estimated from the
weekly reports of the American Petroleum Institute, totaled
725,000 barrels for this District and 2,488,000 for the United
States in May. Production on a daily basis, for both the
District and the nation, was slightly under the official estimates
of the Bureau of Mines for April, but, owing to May being
one day longer, gross production exceeded that of the preceding
month. Output for each of the five oil producing states of the
Tenth District was substantially above a year ago, the total for
the five states showing an increase of 20.2 per cent, whereas
the total for the United States showed a loss of about IO per cent.
May production exceeded Federal allowables of 679,700
barrels per day for the five states and 2,366,200 barrels per
day for the country as a whole. Allowables for the District
were raised to 729,500 barrels and for the United States to
2,528,300 barrels per day, effective June I.
Schedules posted September 29, 1933, of 76 cents to $1.08
per barrel per gravity basis for mid-continent crude oil are
still in effect. In May, 1933, purchasing companies were paying a flat price of 25 cents per barrel for oil in this area. Consumption has registered good gains and prices held up in the
face of increased production of "hot" oil and higher Federal
allowables.
Mid-continent refinery operations have shown little change in
recent month. Runs of crude oil to refinery stills on June 1
were about 20,000 barrels less than on June 1, 1933. The
market for refinery and natural gasolines strengthened as
refiners commenced to purchase distressed gasoline in amounts
equal to 3 per cent of their May requirements. Lubricants
were higher but the kerosene market was soft throughout the
month.
New operations m the different fields continue active as
producing companies have been acquiring promising acreage
for future reserves.
Cement
The United States Bureau of Mines reported Tenth District
production of finished Portland cement as slightly smaller in
May than in the preceding month but 3.2 per cent larger
than a year ago.
Shipments exceeded production, showing
increases over both April this year and May last ·y ear.
Stocks at the close of the month were lower than for any
month-end since June 30, 1932.
Production, shipments, and stocks of finished Portland
cement, as reported by the Bureau of Mines, in thousands of
barrels:
UNITED STATES
TENTH DISTRICT
Gross and daily average crude oil production in the United
States and the five oil producing states of the Tenth District:
GROSS PRODUCTION
*May 1934
Barrels
Oklahoma·---····- - - I 5,893,000
Kansas .... _ _ _ _ _ __
4,054,000
Wyoming.. _ _ _ __
985,ooo
93,000
Colorado·--···································
New Mexico._______
1,426,000
Total five states ...... _ _ __
Total United States _ _ __
22,451,000
77,121,000
April 1934
Barrels
l
5,697,000
4,031,000
947,000
86,ooo
1,401,000
22,162,000
75,796,000
DAILY AVERAGE PRODUCTION
*May 1934
April 1934
Barrels
Barrels
. Oklahoma. __ · · · · · · · - - - - 513,000
523,000
Kansas .... _ _ __
131,000
134,000
Wyoming_. _ _ __ _
32,000
32,000
Colorado _ _ _ _ _ _ _ __
3,000
3,000
New Mexico. ___ ._______
46,000
47,000
Total five states.... - - - 725,000
Total United States.. _ _ _ _
2,488,000
*Estimated, American Petroleum Institute.
739,000
2,526,000
May 1933
Barrels
13,289,000
3,307,000
906,000
84,000
1,098,000
18,684,000
84,747,ooo
May 1933
Barrels
429,000
107,000
29,000
3,000
35,000
6o3,ooo
2,734,000
Production Shipments
May 1934 ..
772
965
April I 934..
784
824
May 1933 ..
748
771
5 Mos. 1934
2,924
3,236
S Mos. 1933
1,463
2,494
Stocks Production Shipments
8,554
8,731
1,738
6,544
6,492
1,931
6,262
6,709
1,761
28,302
26,571
19,864
19,948
Stocks
21 ,345
21,523
20,117
Life Insurance
Sales of new ordinary paid-for life insurance in the seven
states of the District, as reported by the Life Insurance Sales
Research Bureau, totaled $43,374,000 in May, $43,340,000 in
April, and $33,816,000 in May, 1933.
The sales figures
follow:
Colorado..................................
Kansas ....................................
Missouri ..................................
Nebraska ................................
New Mexico............................
Oklahoma -----------------------------Wyoming ................................
Seven states............................
United States ..........................
May 1934
'$ 4,439,ooo
April 1934
'$ 5,083,000
May 1933
'$ 3,786,000
5,451,000
5,9 25,000
20,96o,ooo
5,104,000
18,56o,ooo
5,428,000
833,000
15,540,000
6,569,000
4,602,000
593,000
5,937,000
8go,ooo
'$ 43,374,000
588,421,000
'$
4,451,000
4,381,000
525,000
942,000
531,000
43,34°,000
'$ 33,816,000
481,858,000
581,433,000
SUPPLEMENT To THE MoNTHLY REVIEW, JuLY
1, 1934
Business Conditions in the United States
By the Federal Reserve Board
PUl:CCJrn
'""
130
120
110
100
90
80
70
60
193 1,
Index number of industrial production, adjusted for seasonal variation.
Latest figure::
May, 87.
PC,_ ('[NT
120
100
POIClWT
1 20
FACTORY EMPlOYME!iT
I
110
I 10
/""\
140
i' \.
,o
"
eo
70
6-0
50
192?
1?30
,,.
'
1931
ao
I''
\.,.... J
1932
!933
70
60
so
ln4
Federal Reserve Board's index of factory
employment, adjusted for seasonal variation.
(1923-25 average=100.) Latest figure: May,
82.4.
PC:RC.C.lllT
120
110
110
100
100
90
llO
70
70
60
60
~o
~
~0
l,O
so
~
1'31
1'133
113"
Indexes of the United States Bureau of Labor
Statistics. By months 1929 to 1931; by weeks
193:2 to date. (1926-=100.) Latest figures, June
16: farm products, 63.7; foods, 70.2; other
commodities, 78.9.
&U.LIOIS
oroou.MU
e_;u.10,,~•~.,~-~•~•••:,__.._M_E_MB
_ E_R_B_A_NK:-:C
:::R::::
EO
:::IT~-='-'----'7 7
1933
Wednesday figures for reporting member
banks in 90 leading cities. Latest figures are
for June 13.
Industrial production increased slightly in May, while factory employment and
payrolls showed little change. The general level of wholesale prices, after remaining
practically unchanged since the middle of February, advanced sharply in the middle
of June, reflecting chiefly increases in the prices of livestock and livestock products.
PRODUCTION AND EMPLOYMENT: Industrial production, as measured by
the Board's seasonally adjusted index, advanced from 86 per cent of the 1923-1925
average in April to 87 per cent in May, as compared with a recent low level of 72 last
November. Activity at steel mills increased further from 54 per cent of capacity in
April to 58 per cent in May, while output of automobiles showed a decline. Lumber
production continued at about one-third the 1923-1925 level.
In the textile industries output declined somewhat, partly as a consequence of seasonal
developments. At mines coal production showed little change in volume, while output
of petroleum continued to increase.
In the first three weeks of June, activity at steel mills continued at about the May
level, although a decline is usual at this season. Maintenance of activity reflected
in part, according to trade reports, considerable stocking of steel. Output of automobiles declined somewhat, as is usual at this season.
Employment in factories, which usually declines slightly between the middle of April
and the middle of May, showed little change, while employment on the railroads, in
agriculture, and in the construction industry increased, as is usual at this season. Increased employment was shown at manufacturing establishments producing durable
goods, such as iron and steel and non-ferrous metals, while employment declined at
establishments producing non-durable manufactures, such as textiles and their products.
Value of construction contracts awarded, as reported by the F. W. Dodge Corporation,
has shown a decline in the spring months, reflecting a reduction in the volume of contracts for public projects. The volume of construction work actually under way has
increased as work has progressed on contracts previously awarded.
Department of Agriculture estimates, based on June I conditions, indicated unusually
small crops of winter wheat and rye, and exceptionally poor conditions for spring wheat,
oats, hay, and pastures, largely as a consequence of a prolonged drouth. The winter
wheat crop was estimated at 400 million bushels as compared with a five-year average
of 630 million bushels and an exceptionally small crop of 350 million bushels last season.
Rains in early June somewhat improved prospects for forage and grain crops not already matured.
DISTRIBUTION: Total traffic increased in May by more than the usual seasonal
amount, reflecting in considerable part a larger volume of shipments of miscellaneous
products. At department stores the value of sales showed an increase as is usual at
this season.
COMMODITY PRICES: During May and the first three weeks of June wholesale
prices of individual farm products fluctuated widely, while prices of most other commodities showed little change. Wheat, after advancing rapidly during May, declined
considerably in the first three weeks of June. Cotton continued to advance in the
early part of June. In the middle of the month hog prices increased sharply from recent low levels. Automobile prices were reduced in the early part of June, and copper
prices advanced.
BANK CREDIT: During May and the first half of June there was little change
in the volume of reserve bank credit outstanding. As a consequence of expenditures
by the Treasury of cash and deposits with the Federal reserve banks and a growth in
the country's monetary gold stock, member bank reserve balances advanced further
to a level $1,800,000,000 in excess of legal requirements. In the week ending June 20,
however, excess reserves dropped to f,1,675,000,000, reflecting an increase in Treasury
deposits at the reserve banks in connection with June 15 tax receipts and sales of Government securities.
Total loans and investments of reporting member banks increased by $80,000,000
between May 16 and June 13, reflecting a growth in holdings of investments other than
United States Government securities and in open market loans to brokers and dealers,
while loans to customers declined.
Net demand deposits increased by about f,400,000,000 during the period. Money
rates in the open market continued at low levels. The rate on prime commercial paper
declined to J{ to I per cent in June, the lowest figure on record.
@FedFRASER