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April 2nd, L9L7.




Rcport of conditions ir District No. 10, for the April Issue of
The Federal Reserve Bulletin"

March 21,


The period elapsing since the last report has witnesseal events which unquestionably would have, in le'ss remarkable tlmes, proven serious obstacles to the contlnuance of active conditions. T'he extenslon of an unusual
winter drouth, the growing seriousness of matters affecting our foreign relations, aBd the threatenetl nation-wide
railroad strike, together with the burtlensome cost of living and high price of labor, have harl surBrlsingly little
effect other than a slight tenclency toward further conservatism generally, and an evidence of preparation for any
eventuality. Nothing seems to materially impede increasing prosperity.

The prediction of two-dollar wheat was realized early in l[arch, the highest price ever paid on the local markets. Corn also broke all price records. This month also witnessed the breaking of a winter that has been unprecedenteclly arid, rain and snow glving temporary relief to practically all the winter wheat states, and the fields
are taking on a new lease of life. Only the most favorable conditions, however, will bring about a
normal wheat crop as there has undoubtettly been severe damage in some localities. Kansas has planted almost
9,000,000 acres, the third largest in its history; Nebraska 3,e50,000 against 3,300,000 the year before, while the



with 2,?80,000 a year ago. There was also a slight expansion in acrewill now permit the completion of oat sowing and preparations for corn
planting will go forward. The four weeks ending March 24th witnessed a shrinkage of large proportions in the
grain movement in the markets of the district while holtlings of wheat on farms on March 1st in the four principal u'heat producing states, as comparetl with the samo dato last year, show a falling off in excess of 30,000,000
bushels, indicating that there wiII be an unusually small surplus carried over into the new crop year.


3,230,000 as comparecl

age in Missouri. The belatecl moisture


of live stock were reached on the markets in February.
The lack of finish of the major portion of arrivals, however, woulcl indicate that shipments were made at the expense of future supplies. Beef steers brought from $1.25 to $2.?5, hogs $4.50 to $4.80, and sheep from $3.35 to $4.00
Ber hundretl pounds more than a year ago. During March there has been a further atlvance in market prices generally. Beet pulp cattle are now coming to market from Colorado. Hogs easily occupy the center of interest in
this industry, the unheard-of price of $15.00 having been reached on the local market on March gth. There has
been a noticeable clecrease in hog slaughtering as compared with the same per'iocl last year. Increased activity
is reportetl in the horse market, the daily purchases by inspectors for the British government recently being as
heavy as at any other time since the beginning of the War.
The highest ruling prices ever known for all classes


With silver, copper, lead ancl zinc selling at record plices, there is increased activity in the mining ca.mps.
Producers of tungsten report a better demand from eastern steel mills. Mine operators are forcing prodtction
up to the maximum in order to take full advantage of the high prices. Some new copper prorluction has been
made in northern and southern Colorado. Deep mining in the Cripple Creek (Colorado) district is producing better
results than was ever anticipated and the driving of many old shafts to new ore zones is in prospect. Colorailo
authorities claim that China's unexpecterl recent action in shutting off exportation of silver will mean that many
mines will be opened to help supply the world market. There has been a strong market for lead and producers
in the Missouri-Kansas-Oklahoma district claim it is because of a large domestic consumBtion.
No material change in prices have been posted, but the prediction is freely made that, by leason of reduced
procluction and increased consumption, further increases must soon arrive. E'hen pipeline facilities now planned
for 'Wyoming become available, that State's actiyities will take on a more substantial character, three new oil
refineries now being planned. In the olcler producing sections of the Mid-Continent field deeper tlrilling is receiving considera.ble attention, some important developments having occurred at depths below the original producing
formation. The water situation, which was becoming more and more acute, causing a shut-rlown in many instances,
was lelieved by the snow and rainfall heretofore referred to. trfany wells are on the waiting list penrling an increased supply of casing and pipe, pipe mills refusing to book any orders for delivery before August, Oklahoma
showed an increase both in completed work and in new work during the short month of tr'ebruary and now that
the water situation is better, the month of March should show further activity.


the consumption of lumber anal caused a proportionate
increase irr the demand for yellow pine yard stock, especially from country yards. Prices have shown a tendency
to advance. Mills are apparently experiencing difficulty in bandling mixed orders as their stocks are badly
Open weather and urild temperatures have stimulated


broken. Retail dealers are buying heavily and manufacturers wlth offices in this territory are loaded up with
orders. Conditions seem favorable, but mucb will naturally depend on wheat and corn prospects. One company
controlling a large line of country yards roports "our business thus far this year is about 40 per cent in excess
of last year's volume for the same period." Sash and door factories report actual orders as numerous trow as they
often are a month later, with the outlook for sprlng trade near the record. Lumbermen interviewed lay stress
upon the car situation, but are without exception optimistic over trade prospects. A local real estate comBaDy reports
that by actual comparison the cost of erecting a certain resictence has increased 43 per cent since October, 1g15.

Ninety'four railroads, including practically all those operattirg in this District, show an increase in gross earnings of almost eleven and one-half million dollars or 29 per cent in January, 1g1?, over January, 1916, as ev!
dencecl by reports just at hand. The net earnings of these same roads show an increase in the same period of
almost six anrl one-half million dollars, or 66 per cent. This is a much better exhibit than woulcl have been deemed
possible considering the rise

in operating



Labor eonditions are quite satisfactory. In fact there may be said to be fewer evidences of unrest than for
some time past. Employment at unusual wages is general. Some uneasiness is expressed in the growing possibility that help on the farms for the opening spring will be scarce.
The flour mills of the district have been running at about two-thirtls capacity. New sales are quiet, business
being limited largely to central and western states by reason of railway €mbargoes. A number of smaller mills
and some of the large ones have discontinued operations from this cause,

retail stores, with the opening of spring lines, report an excellent business, the prospects for


surpassing last year.

Automobile dealers are swamped with orders, but deliveries are exceetlingly difficult, The winter's business
is said to have been 50 per cent greater than ever before. An excellent spring business can only be interfered
with by factory limitations and deliveries. Some cases are reported of delivery of cars to points of distribution
unrler their own Bower. There are said to be four times as many automobiles in the State of Nebraska as there
were in 1913, this state standing second in number of cars in proportion to population.
There are hundreds of cars of implements for spring use yet to be moved into this territory and the dealers
are fearing they will be unable to take care of second-order business. Retailers are enjoying a fine business anrl
farmers are reported as buying a greater number ancl variety of implements than usual and paying cash for their


Banks continue in well fortified position for any emergenc)'. Short-time loans of certain liquidity are in demand and rates continue steady. The total clearings reported for X'ebruary in fifteen important cities indicate
an average increase ot 32,5 per cent over the same month last year, each showing an increase, the lowest 9.9 per
cent and the highest ?9.6 per cent.
tr'ailures reBorted are. fourteen fewer in number for X''ebruary than the same month last year, but the liabilities
aggregate a slight lncrease.


of Gonditlon of


At Glose of Buslnese' March 16th' 1917.


......$ 7,962,966.00
..... . 24,071600.00

Golil Cotn anal Certlficates....
Crealit belances ln Golal Settlement


Legal Tender Notes, Flilver Certtficates antl Subsialiary Coin

Total Cash


. ..$32,097,198.00

Conmerolal Paper (re-tllscounts)...
Member Banks' Collateral Notes.


U. S. Bonds
U. S. Golal Notes.


MunlciBal 'Warrants.


Due from other X'ederal Reserve BaDks-net,.. ..


All other resources


Due from Treasurer U, S. (Government Deposits)..

Total Resources.

. .....


Capital patd in


Reserve Deposits-net.. .. ' .
F ederal Reserve Notes-net

.. 45,060,851.60




Federal Reserve Bank Notes-net.... ..
Government, DeBoslts.

Total Llabilities.


. ...




x'. R. Notes lssued to the Bank
F. R. Notes in hanrls of Bank
F. R. Notes Outstanaltng. . . . .


Gokl anil Lawful Money with Agent.

. 20,880,335.00

Net Ltability account of F. R. Notes.



. 328,325.00
. 22,597,610.00


Total Clearings for week.
Total number ot iteme hantlled...