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THE MONTHLY REVIEW Of Agricultural, Industrial, Trade and Financial Conditions in the Tenth · Federal Reserve District FEDE RAL RESERVE BANK OF KANSAS CI TY M. L. M cCLURE, Chairman and Federal Reserve Agent A. M. M cADAMS, Assistant Federal Reserve Agent and Secretary Vol. 12 KANSAS C1TY.:1 Mo., MAY 1, 1927 in the third week of April told of extensive damage to farm crops by floods in Southeastern Kansas, ortheastern Oklahoma, Southern Missouri, and through the lower Mississippi River Valley to the Gulf. Some wheat, oats, potatoes, and other early planted crops"in river and creek valleys were washed out, and plowing and~ planting of corn and cotton delayed. Aside from this damage, as yet unestimated, the heavy April rains over t he eastern half of the Ten th District, and moderate rains and heavy snows over the upper Great Plains and Rocky Mountain areas, provided abundant spring moisture for practically all sections. Experts reported there had been feVf spring seasons in history when better conditions for agriculture existed, and while plantings generally were late, there was every cause for expectation of good yields in virtually all crops. The situation for livestock was reported favorable with excellent pasturage everywhere in the district. BUSI ESS IN THE TE TH FED ERAL RESERVE DISTRICT Returns for March and the First Quarter of 1927 compared to Returns for March and the First Quarter of 1926 in Percentages of Increase or Decrease. March 1927 March 1927 First Qtr. 1927 compared to compared to compared to Genera l Business Feb. 1927 March 1926 First Qtr. 1926 Debits in 29 cities ........................ -0.2 3.2 3.9 Clearings, F. R. Bank.................. 24.2 3.5 4•.6 Trade 2.0 -I.0 Department stores........................ 18.5 - 2.0 Wholesale, six lines...................... 19.0 4.3 - 16.1 -'ll.8 Lumber, retail yards_.................. 18.4 Marketings Wheat, bushels ..............................-29.8 61.5 77-9 -'22.6 -4o.3 Corn, bushels ................................-28.3 18.2 -'l I.4 Oats, bushels ................................ -9.6 -3.8 2.4 Cattle.............................................. 12.0 -6.o -8.9 Calves............................................ 9·5 2.0 -2.2 I-logs.............................................. 13.3 -16.8 - 15.0 Sheep.............................................. 43·4 - 10.8 Horses and Mules ........................ - 15-7 Production 33.o Crude Oil...................................... 10.8 37.7 18.3 Soft Coal....................................... 10.7 - 1 7.5 Zinc Ore (shipments).................. 16.0 -1 6.0 Lead Ore (shipments).................. 28.4 -12.0 3.9 Cement .......................................... 189.3 IJ.3 31.4 Face brick...................................... 52.4 2 23.6 3-3 Flour.............................................. 7.7 leat Packing -1.3 8.9 Cattle............................................ -8.6 -10.3 Calves ........................................... . 13.4 8.6 .3 Hogs ............................................. . 21.7 -1 6.3 -'lI.6 Sheep ............................................. . Building 20 ·2 1 Contract awards, value ............... . 1.o 7·5 8 -II.2 -II.'l Permits, 18 cities, number ......... . 558.8 -n _ 1 0 Value.............................................. 5 • ·5 3· No. 5 USINESS activity in the Tenth Federal Reserve District increased during March and the first quarter of 1927 closed with the volume combined for all lines nearly 4 percent above that for the first quarter of 1927, as measured by checks cashed at banks. Trade at times was hampered by unfavorable weather and muddy roads, but in spite of this the value of merchandise distributed by wholesalers was but slightly smaller, and dollar sales at retail stores slightly larger, than for the first three months of last year. Marketward movements of livestock were moderately heavy during the three-month period, runs of cattle and hogs exceeding those of last year. Arrivals of wheat at primary markets increased heavily. Distribution of implements and farm machinery increased, and sales of lumber decreased. The output of crude petroleum, rising month by month since last August, attained the highest daily average and monthly production of record during March. It was mounting still higher early in April and the Tenth District was producing 37.5 per cent of the United States output, with Oklahoma ranking first among the petroleum states. Miners of soft coal closed their year March 31 with the largest year's tonnage since war times. Production and shipments of zinc and lead ore in the tristate district were not quite up to the level of a year ago. Activity at the metal mines in the Rocky Mountain regions continued at about the level of last fall. Production of cement and brick showed gains over last year. The output of flour during the firs_t t~ree i:ion~hs _of 1927 was at the highest level of record and mills m this district led those of all other districts in the number of barrels of flour produced. Slaughter of all classes of meat animals was larger in March than in the preceding month, and during the first quarter the slaughter of hogs was larger and of cattle and sheep smaller than in the like period of 1926. Construction contracts awarded between January 1 and April 1 were the largest in value for any three-month period of record and indicated more than the usual amount of construction i~ prospect for the season in the district ~s a whole. Building in the leading cities, according to the official reports of permits issued, was about 13 per cent below a year ago but was about the average for the first quarter of other recent years. Outdoor work at times was practically at a standstill lat~ in March and in the forepart of April on account of frequent rams, and because of this the employment situation showed less than . the usual seasonal improvement durmg t he mont h. B This!Copy Released For Publication In Morning Newspapers April 29. THE MONTHLY REVIEW PRINCIPAL RESOURCE AND LIABILITY ITEMS OF 66 REPORTING MEMBER BANKS AS OF THE DATES ME TIONED Mar. 31, 1926 Mar. 30, 1927 Mar. 2, 1927 Dec. 29, 1926 Loans and discounts: 'f, 4,339,000 'f, 4,478,000 'f, 4,664,000 'f, 3,754,000 Secured by U. S. Government obligations.......... - - - -················•·········· Secured by other bonds and stocks ................. _ _ _ _ _ _ _ __ 111,616,000 107,410,000 104,910,000 115,215,000 All other.. _ _ _ _ _ _ __ 302,419,000 302,421,000 323,045,000 3°5, 1 55,000 Total loans and discounts ...... _ _ _ _ _ _ _ _ _ _ __ _ __ _ 'f,42 I, I I0,000 'f,422,112,000 'f,431,709,000 '/,4I4,495,ooo Investments: U. S. Securities..........................................................................._ _ _ __ $106,796,000 .,, 99,090,000 'f,112,045,000 $103,717,000 80,577,000 97,347,000 99,054,000 Other bonds, stocks and securities .....· - - - - -······································ 95,99°,000 Total Investments .............. _ _ _ _ _ _ _ __ _ 'f,192,622,000 '1,201,064,000 'f,195,080,000 'f,205,850,000 'f,626,960,000 'f,623,1 76,000 'f,624,33 I ,ooo 'f,609,575,ooo Total loans, discounts and investments .............· - - - - - · ·································· Deposits: 'f,502,816,000 'f,481,928,000 'f,497,120,000 'f,490,482,000 Demand Deposits ..... ·- - - - · · ···································································· I 50,144,000 148,541,000 144,172,000 l 50,396,000 Time Deposits ...· - - - - - - - -····························---Government Deposits................................ _ _ _ _ _ _ _ __ 2,322,000 4,067,000 10,096,000 1,447,000 $652,804,000 '1,642,420,000 'f,651,331,000 $636,976,000 Total Deposits .............· - - - - - - - - - · · · · · · ········································· 'I, 52,865,000 Reserve Balances with F. R. Bank.............................................................- - - 'f, 52,365,000 'I, 52,342,000 $ 53,578,ooo Financial Bank Debits The month of March and the first quarter of 1927 brought no important changes in the financial situation in this district from the conditions which prevailed during the last quarter of 1926. The supply of funds at banks was more than ample to meet all demands for credit, and for investments, and borrowings of member banks from the Federal Reserve Bank of K ans as City were at a low level. Interest rates charged by banks continued steady and without change. Banking operations in the district were reflected with a considerable degree of accuracy by the statements of sixty-six member banks in leading cities. While their weekly statements disclosed only slight fluctuations in the amount of loans and discounts during March, they showed a gain of $6,615,000 or 1.6 per cent between December 29, 1926, and March 30, 1927. However, the total as of the last reporting"date mentioned stood $10,599,000 or 2.4 per cent below the amount reported as of March 31, 1926. Loans secured by United States Government obligations increased I 5.3 per cent, and those secured by other stocks and bonds increased 6.3 per cent, while all other loans (which represented 72. 5 per cent of all loans) decreased 5.5 per cent during the twelve-month period. While the foregoing would indicate that business in this district has been moving on less borrowed money than at this time last year, the amount of money going into investments increased steadily for several months. Total investments in M arch was in excess of 200 million dollars and at the highest level of record for these banks. Deposits in the reporting banks decreased slightly during March and in keeping with spring expansion of business, though the total as of March 30 was $14,355,000 or 2.2 per cent greater. than three months earlier and $8,9n,ooo or 1.4 per cent greater· than one year earlier. Changes during three months and one year in the principal resource and lia bility items of t he Federal Reserve Bank of Kansas City and branches are to be fou nd by a comparison of the condition statement as of M arch 30, with those of December 29, 1926, and M arch 30, 1926, which follow: The volume of business in 29 cities of the district during the four weeks ended] March 30, evidenced by debits to accounts in banks, was two-tenths of one per cent less than for the preceding four weeks ended March 2, but greater by 3.2 per cent than for the corresponding four weeks last year. Debits in these cities during the first quarter of 1927 exceeded those for the first quarter of 1926 by;3.9 per cent. The reports in detail: M arch 30 1927 Gold Reserves .................................... 'J,1 04,849,674 Other Reserves.................................. 5,183,534 Total Reserves.................................. I 10,033,208 8,630,988 Bills Discounted................................ Bills Purchased.................................. 10,853,756 U. S. Securi ties.................................. 27,994,000 Other Securities.......... ..................... . Total Bills and Sectirities................ 47,478,744 Total Resources .......... ...................... 201,657,927 F. R. Note Circulation ...... .............. 66,823,725 Total Deposits.................................. 87,309,02 1 Dec. 29 1926 1, 99,63o,o35 4,946,894 104,576,92 9 11 ,234,120 I 8,282,678 28,663,900 Marc h 3i , 1926 '/, 86,645,31I 4,984,688 9 1 ,6 29,999 14,08 1,133 12,073,580 32,962,800 58,1 80,598 214,108, 173 72,895,600 88,265,173 59,449,013 197,230,622 63,o99,9oo 88,330,291 33 1,500 Four Weeks Ending Mar. 30, 1927 M ar. 31, 1926 'I, 8,560,000 Albuquerque, N . M ...............................i 10,225,000 5,513,000 6,125,000 Atchison, Kans....................................... Bartlesville, Okla................................... 22,082,000 16,312,000 7,127,000 7,758,000 Casper, Wyo........................................... 4,679,000 5,976,000 Cheyenne, Wyo..................................... Colorado Springs, Colo......................... 12,545,000 12,799,000 155,490,000 Denver, Colo........................................... 157,189,000 Enid, Okla............................................... 13,822,000 12,390,000 Fremont, Nebr....................................... 3,614,000 3,699,000 Grand Junction, Colo........................... 2,905,000 3,072,000 Guthrie, Okla......................................... 3,780,000 3,598,000 Hutchinson, Kans................................. 13,563,000 9,847,000 Independence, Kans............. ................ 10,134,000 9,41 2,000 17,632,000 17,163,000 Joplin, Mo............................................... 19,283,000 17,942,000 Kansas City, Kans................................. 31 6,71 1,000 Kansas City, Mo......... .......................... 321 ,213,000 5,965,000 4,747,000 Lawrence, Kans..............·....................... 31 ,1 36,000 31,307,000 Lincoln, N ebr............. . ................ ..... Muskogee, Okla........... .......................... 11,322,000 10,282,000 95,496,000 83,38 5,000 Oklahoma City, Okla........................... Okmulgee, Okla..................................... 9,41 2,000 I 1,907,000 · Omaha, N ebr......................................... 177,439,000 191,739,000 Parsons, Kans......................................... 2,804,000 2,878,000 Pittsburg, Kans............... ...................... 6,415,000 5,506,000 17,801,000 14,646,000 Pueblo, Colo........................................... 50,492,000 56,113,000 St. Joseph, Mo....................................... Topeka, Kans... ...................................... 18,659,000 16,825,000 Tulsa, Okla..... ........................................ 127,594,000 107,746,000 41 ,708,000 39,437_,ooo Wichita, Kans......................................... Twenty-nine Cities, 4 weeks.............. 'l,1,221,549,000 T wenty-nine Ci ties, 13 weeks ..............'/,4,105,687,000 Percent Change 1 9·5 - 10.0 39.8 -8.I - 2 1. 7 - 2.0 I.I II.6 - 2.3 - 5.4 5.1 37.7 7 .7 2.7 7.5 I.4 25.6 - 0.5 I O.I 1 4·5 - 2 1.0 - 7.5 - 2.6 16.5 2 1.5 - 10.2 10.9 18.4 5.8 'J,1 ,1 83,372,000 3.2 '$3,952,94°,000 3.9 Reserve Bank Clearings Clearing operations of the Federal Reserve Bank of Kansas City and branches at Omaha, Denver and Oklahoma City in March were the largest for any month of the current year and but slightly under the totals for October and December 1926, the peak months of check collections through the Federal Reserve Bank. These M arch figures reflected increases over February of 1,002,127 items and $205,753,000 in amount, while as compared with March 1926 there was a decrease of 75,050 items and an increase of $36,003,000 or 3.5 per cent in amount. Clearings for the first three months of 1927 showed an increase of $127,655,000 or 4.6 per cent over the total for the first three months ) THE MONTHLY REVIEW 3 WHOLESALE TRADE IN THE TENTH FEDERAL RESERVE DISTRICT Outstandings (Mo. End.) Sales Collections Reporting Mar. 31, 1927 Mar. 1927 Mar. 1927 compared with compared with Stores compared with Mar. 1926 Feb. 28, 1927 Mar. 31, 1926 Feb. 1927 Mar. 1926 Feb. 1927 Dry Goods ........... -o.6 -o.6 12.9 0.9 -5.5 3.3 7 Groceries.............. .. 20.6 4.0 11.9 5.8 11.3 5.2 5 Hardware .... ........... .. ................... 10 o.8 -0.1 26.2 22.7 3.6 7.3 Furniture ........................................ 6 -o.6 27.0 15.8 -6.3 3.2 43.0 Drugs.............................................. 5 23.8 -0.4 -0.4 -0.4 -6.5 5.8 Millinery.................. -16.0 -21.8 15.8 12.5 -38.3 71.7 4 of 1926, but the number of items handled was 341,141 or 2 per cent less than for the corresponding period last year. Federal Reserve clearings for the first three months of 1927 _are here shown with those for the first three months of last year for comparison: ITEMS AMOUNT 1926 1927 1926 1927 January .......................... 5,543,292 5,689,267 '$ 985,048,000 $ 932,787,000 February........................ 5,188,147 5,308,263 849,36o,ooo 809,969,000 March .............................. 6,190,274 6,265,324 1,055,113,000 1,019,110,000 Total... ............................. 16,921,713 17,262,854 '$2,889,521,000 $2,761,866,000 Savings in Banks Savings deposits and accounts at reporting banks located in cities of this district increased between March 1 and April 1, and the totals as of the date last mentioned stood 3.1 per cent and 2.3 per cent, respectiv'ely, above the totals as of April 1, 1926. The deposit figures reporting by banks in the several cities.Jollow: Banks Denver, Colo ......................... 6 Kansas City, Kans ............... 3 Kansas City, Mo...................10 Lincoln, Nebr ......................... 3 Oklahoma City, Okla.·--······· 7 Omaha, Nebr ......................... 3 St. Joseph, Mo....................... 5 Tulsa, Okla ........ _ _ _ _ 6 Wichita, Kans....................... 4 Other Cities ............................ 4 Total........................................ 51 Apr. 1, 1927 '$ 49, 267,5 25 1,936,498 16,411,891 2,956,862 8,735,790 4,747,748 7,205,367 15,350,004 2,308,233 1,103,231 Mar. 1, 1927 '$ 49, 2 99, 1 56 1,960,633 16,381,128 2,938,788 8,545,555 4,6 29,439 7,152,627 14,839,93 1 2,224,410 1,085,848 Apr. 1, 1926 '$ 49,6 19,94o 2,185,394 16,877,763 2,927,812 7,94o,727 4,529,801 7,424,628 n,977,136 2,219,295 1,026,564 '$106,729,06o COLLECTIO S: Reports from nearly all wholesale lines indicated collections during March were slow. This was generally ascribed to the delay in farm work and spring plantings of crops. Department store collections during March amounted to 42.4 per cent of the amount of their outstandings, compared with 43 per cent collected during the same month last year. Distributors of implements reported collections at this time of the year were generally slow, but that they had collected a certain per cent of past due paper. Stocks (Mo. End.) Mar. 31, 1927 compared with Feb. 28, 1927 Mar. 31, 1926 0.2 -z.9 0.3 -12.1 4.8 8.4 2.9 -z.3 11.3 1.3 Trade WHOLESALE: Sales of merchandise by firms engaged in six lines of wholesale trade, which made reports to the Federal Reserve Bank of Kansas City, increased during March and the dollar volume was 19 per cent larger than in February and 4.3 per cent larger than in March 1926. The latter increase was due to heavier sales of dry goods and groceries, the reports indicating sares of hardware, furniture, drugs and millinery were smaller in money value than a year ago. The value of sales by the same firms from January 1 to March 31, inclusive, was smaller by 2 per cent than for the corresponding period last year. Declines for the year's first quarter were reported for all lines except groceries. As wholesale prices of foods, textiles, clothing, house furnishings, metal, building materials, chemicals and drugs were on the average lower than at this time last year, the figures on dollar sales would indicate the physical volume of merchandise sales combined for the six lines would exceed that for the first quarter of last year. Wholesalers reported March rains, snows and bad roads interfered with distribution of merchandise. At the close of the month wholesalers of dry goods reported sales for the coming fall were starting in fair volume. In most other lines reports indicated slight improvement in trade. Orders for drugs and chemicals at wholesale houses were slightly larger than for some time, but close buying seemed to have become a habit with retailers. Wholesale stationery trade declined about 1 per cent in March from February and was 5 per cent less than one year earlier. RETAIL: Trade at retail stores in c1t1es throughout this district during March and April was decidedly spotted, according to the extent to which spring ·buying in different cities was retarded by the heavy rains and snows keeping shoppers away from the stores. The returns from thirty-four reporting department stores, while showing sales in dollars during March were 18.5 per cent larger than in February, indicated that sales for the month were 1 per cent smaller than in March 1926. Sales reported by all department stores during the first three months of 1927 were 2 per cent larger than for the like period in 1926. Fourteen stores reported a larger volume of business and twenty a smaller volume of business than in March of last RETAIL TRADE AT 34 DEPARTMENT STORES IN THE TENTH FEDERAL RESERVE DISTRICT Sales Retail Stocks Outstanding Orders Accounts Receivable Collections Mar. 31, 1927 Mar. 31, 1927 Mar. 31, 1927 Mar., 1927 Stores Mar. 1927 3 Mo.s 1927 Recompared to compared to compared to compared to compared to compared to porting Mar. 1926 3 Mos. 1926 Feb. 28, 1927 Mar. 31, 1926 Feb. 28, 1927 Mar. 31, 1926 Feb. 28, 1927 Mar. 31, 1926 Feb. 1927 Mar. 1926 Kansas City.............. 3 - 8.8 -1.9 5.0 -4.3 -5.1 1.1 -z.9 -z.o - 14.9 -z.2 Denver...................... 5 - 5.4 0.5 7.7 2.2 -18.4 8.7 -4.1 -z.7 -2.3 1.8 Wichita ...................... 4 7.5 7.7 6.3 1.4 8.1 16.0 9.9 21.2 Oklahoma City........ 3 13.8 10.5 4.6 -0.2 -50.2 -14.6 1.0 21.9 Even 19.2 Lincoln ...................... 3 - 8.7 -5.4 4.9 -z.9 -z.7 -1.2 Even -5.1 ~ Tulsa.. 3 25.9 16.6 7.2 1.6 -'1•5 15.5 - 16.3 8.1 3.2 21.0 • Other Cities..............~ -5.5 -4.6 3.1 -5.0 2.3 6.6 2.9 0.5 1 Total.. .. - - - - 3 4 -1.0 2.0 5.9 -1.2 -18.5 1.2 -z.7 3.4 -3.0 5.0 NOTE: Percentage of collections in March on outstanding accounts February 28, all stores reporting, 42.4%, Collections same month last year 43.0%, THE MONTHLY REVIEW 4 year. March sales at men's and women's apparel stores were about 8 per cent larger than those for February and 5 per cent smaller than in March 1926. The volume of sales at a number of retail furniture stores which began reporting this year was about 13 per cent larger in March than in February and 1.7 per cent larger than in March 1926. IMPLEMENTS: Deliveries in March were about what they were a year ago, but dealers reported they ,had two: bad conditions with which to contend. One was dry and unfavorable weather for wheat in some western counties in Kansas, and the other extreme wet weather in eastern Kansas, western Missouri and parts of Oklahoma. Lumber and Material In this immediate territory reports·-received from retail yards indicate business in the small towns has been better so far this year than last, and up to the severe rains a few _days ago business in the cities showed signs of normal spring improvement. Generally, the softwood situation was about as follows: Prices in the West are firmer and some items have advanced. Production is considerably under normal as the price levels had receded during the winter months to below cost. Yellow Pine prices are still weak, largely due to the inactivity in Southern oil fields which are normally large consumers of Southern pine lumber. Prices on hardwood lumber and hardwood flooring are stronger than a month ago. On the whole the lumber situation may '6e regarded as technically improved as stocks at the mills are considerably under the levels of January 1 and the mills have larger order files. Reports of lumber manufacturers, both of softwoods and hardwoods, to the National Lumber Trade Barometer showed March shipments were in excess of production and orders in excess of shipments. The lumber movement for thirteen weeks ending April 2, 1927, as reported by all associations follows: Softwoods Feet Cut........... ---~,537,929,833 Shipments ..................... --------··········2,698,830,655 Orders.......... 2,856,636,701 Hardwoods Feet 374,495,000 37o,473,ooo 384,927,000 Reports of 195 retail yards in the Tenth District to the Monthly Review showed a substantial increase in the volume of their business : during March over February, although it was smaller than ; year ago. Percentages of increase or decrease for Marchf over the preceding month and the corresponding month last year are here presented: March 1927 Compared to Feb. 1927 Sales of lumber, board feet ................... _ _ _ _ _ 18.4 Sales of all materials, dollars.... - - - - - - Stocks of lumber, end of month ............. _ _ _ __ Outstandings, end of month ................. - - - - Collections during mont.11-..- - - - - - - - - March 1027 Compared to March 1926 -21.8 -18.1 -3.4 -9.2 -"/•7 CEMENT: Mills in this district reported a seasonal increase during March in both production and shipments of Portland Cement, but the March totals showed a smaller output and also smaller shipments than in March 1926. The figures for the month and first quarter, compared with those for March and the first quarter of 1926: MARCH 1927 1926 Barrels Barrels 990,000 Production .............. _ _ _ _ _ 871,000 951,000 Shipments ........................................ 863,ooo THREE MONTHS 1927 1926 Barrels Barrels 1,761,000 1,694,000 1,966,000 1,973,000 March production of cement in the United States was 11,452,000 barrels, an increse of I ,062,000 barrels over a year ago. Shipments for the month were n,083,000 barrels, an increase of 1,544,000 barrels. Stocks of finished cement at mills on March 3 I amounted to 2,046,000 barrels against 1,795,000 barrels at the corresponding date last year. FACE BRICK: Production of face)rick at sixty-three plants located in fifteen states averaged 852 thousand per plant during March and the total output was 52.14 per cent above the February: total and 31.48 per cent above the total for March 1926. Production for the first quarter of 1927 exceeded that for the same period last year by 11.3 per cent. Shipments in March were 63.18 per cent above February and 9.39 per cent above March last year. Unfilled orderc, at the close of March were 15.61 per cent larger than a month earlier but 2.42 per: cent smaller than a year ago. Building While building operations in many cities and towns in the eastern part of the Tenth District were practically suspended during the early half of April, activity was resumed in the latter part of the month and construction, although not up to that of last year at this time, was about normal for the season. The value of building contracts awarded in the Tenth District in March increased 1 per cent over the February awards and was 17.5 per cent above the amount reported for March 1926. During the first quarter of 1927 the value of building contracts awarded in the district was $7,393,000 or 20.2 per cent above the total for the first three months of 1926. The figures as compiled from the F. W. Dodge Corporation reports for the Tenth District and the United States: Tenth District Thirty-seven 1927 1926 ; 1927 J anuary ........................ $11,457,000 $ 9,946,000 $ 384,455,000 $ February...................... 16,173,000 12,736,000 394,869,000 March ............................ 16,342,000 13,897,000 620,738,000 States 1926 457,159,000 389,900,000 597,879,000 Three Months .............. $43,972,000 $36,579,000 $1,400,062,000 t,1,444,938,000 The March reports from cities which report their monthly statistics to the Federal Reserve Bank of Kansas City, showed an increase over February of 55.Spercentin the number of permits issued and an increase of 58.8 per cent in the value of permits. Compared with a year ago the March permits showed a decrease of 1 I .2 per cent in number and 11. 5 per cent in value. For the first quarter of 1927 the number of permits issued in the reporting cities was 11. 2 per cent less and the value 13 .o per cent less than was recorded for the first three months of 1926. BUILDING IN CITIES OF THE TENTH DISTRICT PERMITS Estimated Cost Percent 1926 Change 1926 1927 1927 Albuquerque, N. M ............... 91 85,400 44 $ I 13,900 $ 33.3 22 Casper, Wyo ........................... 13 5,130 39.75o -87.9 Cheyenne, Wyo ..................... 26 123.100 -21.0 155,760 47 8'2. 63,106 6.6 Colorado Springs, Colo.·--····· 76 59, 195 1,320,800 Denver, Colo ........................... 624 2,051,950 -35.6 777 Hutchinson, Kans ................... 53 131,758 -46.8 45 7°, 145 226,600 Joplin, Mo ............................... 40 129,837 74.5 57 Kansas City, Kans ................. 128 288,083 - 60.7 196 u3,230 2.1 Kansas City, Mo ................... 500 627 2,568,475 2,514,725 Lincoln, Nebraska.................. 96 176 187,167 519,814 -64.0 26 Muskogee, Okla ..................... 39 36,620 -53-7 16,950 Oklahoma City, Okla ............. 225 165 1,289,258 812,715 58.6 Omaha, Nebr ........................... 114 196 627,130 1,361,879 -53.8 Pueblo, Colo........................... 110 260,505 -42 .4 149,995 93 St. Joseph, Mo ....................... 62. 86,660 -13.2 75,'2.II 99 160 Topeka, Kans ... ...................... 145 299,622. 507,318 2 45 Tulsa, Okla ............................. 349 853,885 585,804 45.7 249 Wichita, Kans ......... ............... 244 865,185 506,z34 7o.9 -4o.9 . Total, 18 cities ........................ 2,935 3,306 $8,968,889 -- $10,134,007 - 11 .5 ' THE MONTHLY REVIEW Agriculture Heavy rains in the early half of April, while beneficial in the agricultural area of the district as a whole, provided an overabundance of moisture over a large area in southeastern Kansas, north central and eastern Oklahoma and southwest Missouri. In this part of the district fields were already wet from ! rains in March and the additional downpour, which caused many streams to overflow their banks, did considerable damage to crops in the ground and caused further delay in the preparation of the soil and the planting of spring crops. With clearing skies and drying fields late in the month farm work was making considerable progress. Elsewhere in the district spring planting, although one to two weeks behind schedule time, was progressing under more favorable conditions. The reports indicated farmers in many sections, and particularly in the cotton growing areas, were talking diversification of crops and dealers were selling more varieties of seeds than in former years. WI TER WHEAT: The average condition of winter wheat for the Tenth Federal Reserve District on April 1, 1927, was 80.8 per cent of normal on 22,171,000 acres sown last fall, according to reports of the United States and State Boards of Agriculture. This compared with an average condition on April 1, 1926, of 86.7 per cent on 21,117,000 acres sown in the fall of 1925. o estimate of probable abandonment of wheat acreage is made at this time as it is largely dependent upon the weather of the next few weeks. The table which follows shows the April 1 condition of winter wheat in each of the seven states whose areas or parts form the Tenth District, together with the number of acres sown in the fall of 1926 as compared with 1925, the acreage harvested in 1926, and the total production 1926: Cond. April 1 1926 1927 % % Fall Sowing Harvested Production 19 2 5 19:26 19:26 19:26 Acres Acres Acres Bushels 1,207,000 1,509,000 1,509,000 14,484,000 , I I ,962,000 11,392,000 10,139,000 I 50,057,000 1,619,000 1,472,000 1,391,000 21,282,000 3,569,ooo 3,274,000 2,881,000 37,165,000 212,000 219,000 219,000 4,876,000 4,558,000 4,300,000 4,214,000 73,745,000 42,000 44,000 756,000 55,000 Colorado ............75 Kansas ................ 79 Missouri .............. 80 ebraska ............ 91 New Mexico .... ..70 Oklahoma ____ ·····8 5 Wyoming............ 85 86 87 72 88 89 90 93 Seven States ...... 80.8 Tenth District .. 80.8 United States .... 84.5 86.7 23,491,000 22,210,000 20,086,000 302,365,000 86.7 22,171,000 21,117,000 19,059,000 296,487,000 84.1 41,805,000 39,799,000 36,913,000 626,929,000 Later reports issued during April reflected changes, unfavorable in some areas and favorable in others, in the condition of winter wheat from those reported April I. The weekly bulletin of the United States Department of Agriculture at the middle of the month said: ''The weather was mostly unfavorable in both the winter and spring wheat belts because of too much rain, but where not too wet or flooded winter wheat made good growth. Progress of the crop in the Southwest was very good, except where too wet, which was principally in Eastern Oklahoma, south Central and Southeastern Kansas. The dry weather was relieved in Northwestern Kansas, and generous rains occurred in some other northwestern sections of the belt. The week was generally unfavorable for seeding spring wheat because of frequent rains, and work was further retarded." The mid-month report of the Kansas State Board of Agriculture said: ' 'Wheat was generally improved in the northern and western parts of the state, but it was too wet for the crops in the south central and southeastern counties. As a rule wheat is from four to six inches high in the eastern two-thirds and making a rank growth. In the western third the crop is not more than two to three inches above the ground and in some of the southwestern counties is barely showing in drill rows. ebraska's mid-month crop review, issued jointly by the Government and State, showed an improvement of six points in winter wheat in fifteen days. The report said: 5 The condition of winter wheat in Nebraska is excellent as a result of plentiful supply of moisture and is reported as 97 per cent of normal. Weather conditions during the winter have been unusually favorable and abandonment due to winter kill is almost a negligible factor. The estimated area sown to winter wheat last fall was 3,569,000 acres. Continued favorable conditions between now and harvest time should result in a record crop. The situation in Missouri and Oklahoma closely paralleled that in Kansas. While a very large area had received too much moisture and considerable damage had been wrought by floods, wheat made good progress in most parts of these two states. In the Rocky Mountain States heavy snows and moderate rains provided much needed moisture and wheat prospects improved. In sections ) of Lthe Tenth District where spring wheat is grown to some extent, plantings have made~only fair progress. The reports indicate an increase of about 6 per cent in acreage to be seeded. The rye crop in this district came through the . winter in generally good condition, and though the acreage is small as compared with other crops it is nearly 9 per cent larger than the acreage sown last year. The reports indicate this year's acreage of tame hay and grain sorghums would show a very slight increase over the acreages of 1926. Acreages planted to sweet potatoes are practically the same as last year. BARLEY: This year's area planted to barley in this district is estimated as 1,275,000 acres, or 11.5 per cent above the 1926 acreage. Planting has been somewhat retarded by wet weather. OATS: Seeding of oats was further delayed by rains, floods and wet soil late in March and early in April. Farmers in the district intended to plant 7,887,000 acres-104,000 acres less than last year-but on account of the conditions described it was doubtful if their intentions would be realized. Early seeded oats generally made good progress. COTTON: Reports from the southern par~ of the district indicated the cotton acreage of 1927 would be considerably less than last year's acreage on which the largest crop of record for this district was produced. Very little cotton had been planted prior to April 1 and in a general way planting was greatly retarded. COR : According to the Government reports of farmers' intentions to plant spring crops, this year's probable corn acreage in this district would closely approximate 19,500,000 acres, or about 2 per cent less than the acreage cultivated last year. Good progress was made in February and the forepart of March in preparing the soil and a considerable area was planted early in southern sections, but generally corn planting is later this year than is usual throughout the " belt. " POTATOES: Estimates of the United States Department of Agriculture indicated the commercial acreage of potatoes in the second early potato group, which includes Oklahoma, the Orrick district of Missouri, the Kaw Valley of Kansas and the Kearney district of Nebraska, would be larger than the acreage planted to early potatoes last year. The area planted in the Kaw Valley was reported as 17,380 acres, against 15,800 acres last year. In Oklahoma the commercial acreage was reported as 16,990 acres, against 14,400 acres last year. The Orrick district reported 5,750 acres planted, an increase of 750 acres, while the Kearney districted reported 900 acres planted, 100 acres more than last year. Reports from the late potato sections showed similar increases in acreages to be planted. Colorado's report indicated the acreage of potatoes would be 30 per cent larger than in 1926, while in Wyoming an increase of 50 per cent in the potato acreage was indicated. These increases in the acre- 6 THE MoNTHLY REvIEW ages of both early and late potatoes would indicate that this year's potato acreage in the Tenth District would show an increase of 16.5 per cent over last year. SUGAR BEETS: Growers in irrigated sections of the district, having contracted the sale of their product to refiners, generally have adopted the slogan "Better yield for every field" and it was reported that should favorable conditions prevail a new record of production of sugar beets in 1927 would be established without materi ally increasing the acreage planted. Last year, with 340,000 acres cultivated in Colorado, \!Vyoming, Nebraska and Kansas, the yield was 4,346,388 tons of beets, from which 547,554 tons of sugar was extracted. FRUIT: The April reports indi.cated fair prospects for fruits, though peaches had been injured to some extent. However, no accurate estimate of the apple, peach and pear crops could be made until after the danger from frost had passed. With acreage increases over last year all the important early and mid-season states were expecting a heavy crop of strawberries. Plantings in the Ozark region of Missouri and Arkansas have shown a more rapid gain than the acreage in other states. L ast season's output of Missouri and Arkansas combined was 27,000 cars. The April 1 reports indicated that while some damage was caused by the recent cold spell this year's crop probably would exceed that of I 926. Grain Marketings March receipts of wheat at the five leading markets in t he district were smaller by 3, I I 2,750 bushels or 29.8 per cent than in February, but were larger by 2,805,150 bushels or 61.5 per cent than in March 1926. Receipts of corn and oats during the month were smaller than in the preceding month and the corresponding month last year. For the first three months of 1927 receipts of wheat exceeded those for the first quarter of 1926 by 12,810,150 bushels or 22.6 per cent, while receip ts of corn decreased 3,857,500 bushels or 77.9 per cent and receipts of oats decreased 830,700 bushels or 21.4 per cent. The receipts in detail: Wheat Bus. Hutchinson ........ 1,132,650 Kansas City........ 3,630,200 Omaha ................ 970,200 St. Joseph .......... Wichita................ 4 28,400 1,183,950 March, 1927 ...... 7,345,400 Feb. 1927 ............ 10,458,150 March 1926 ........ 4,540,250 3 months 1927 ....29,343,900 J ·months 1926 .... 16,433,750 Corn Bus. 83,750 949,500 1,398,600 504,000 32,500 Oats Rye Barley Bus. 3,000 290,000 502,000 Bus. Bus. 7,5 00 8,400 4,800 1,750 292,600 1,200 19,200 24,000 32,200 128,000 31,500 ------ Kafir Bus. 148,200 460,000 2,968,350 954,5 00 56,200 23,650 4,140,750 1,055,500 152,000 19,700 683,300 4,969,650 1,167,300 52,700 36,600 3 29,3 00 13,179,550 3,o44,5oo 354,600 134,100 2,094,700 17,037,050 3,875,200 271,700 156,900 1,315,700 Cottonseed Products During March the mills in Oklahoma received 5I ,8 88 tons of cottonseed as against 13,762 tons received during the same month last year. The total received during the eight months of the cotton year, to March 31, was 586,291 tons as compared with 533,092 tons for the corresponding eight months of the preceding cotton year. Cottonseed crushed at the Oklahoma mills during the eight months of the current year was 499,538 tons as compared with 482,897 tons for the like period in the 1925-26 cotton year. Cottonseed on hands at mills on March 31 was 87,133 tons as against 53,489 tons a year ago. The output of Oklahoma's cottonseed products for the eight months to March 31, 1927 was reported by the Bureau of Census: Crude oil 138,436,779 pounds, cake and meal 233,131 tons, hulls 139,36o tons, linters 76,522 running bales. Stocks on hand at mills on March 31 included 10,452,123 pounds of crude oil, 9,767 tons of cake and meal, and 22,385 tons of hulls. Flour Production The output of flour at mills in this district during~March was the largest for any month sincej_last December and the largest March production of record. The increase over February was 152,960 barrels and over March 1926 it was 406,795 barrels. Production during the first three months of the year indicated an increase of 1,167,050 barrels or 23.3 per cent over the first quarter of 1926. The production figures follow: March 1927 Bbls. Atchison ........................................................... . 109,3°7 I(ansas City...................................................... 614,154 Omaha ............................................................. . 94,846 Salina ............................................................... . 82,248 St. Joseph ....................................................... . 132,448 Wichita ............................................................. . 180,869 Outside ........ .. ................................................. . 918,910 Feb. 1927 Bbls. 110,893 Mar. 1926 Bbls. 575,565 435,043 Total. ....... ........................................................ 2,132,782 1,979,822 86,263 86,659 137,549 147,753 835,140 104,815 80,202 100,570 153,298 134,146 7 17,9 13 Livestock April reports of the United States and state crop and livestock reporting service covering the Tenth District indicated livestock wintered well and entered the spring season in a good state of health and flesh. In the northwest part of the district late snows and rains materially aided the range but cold weather prevented much new growth. In the Osage district of Oklahoma and in the Flint Hills district of Kansas pastures were a little late on account of the heavy rains and cool and cloudy weather, but it was indicated that by April I 5 to 20 the grass would be up to its full carrying power. Elsewhere throughout the district pastures were in excellent condition. The spring movement of cattle from the Southwest this year was estimated at about 9 per cent less than last spring and 34 per cent below the spring movement of 1925, according to a report of the United States division of crop and livestock estimates. The movement of cattle to the Osage and Flint Hills pastures for summer grazing did not start until late in April, whereas it was under full headway at this time last year. Railroads reported orders for cars were 25 per cent to 40 per cent behind last year for the Flint Hills pastures and IO per cent to I 5 per cent behind for the Osage pastures. The Department of Agriculture reported April I that 70 per cent of the available pastures had been leased in the Osage district as compared with 86 per cent leased on the corresponding date last year. In the Flint Hills district 67 per cent of the available pasture had been leased to April I against 79 per cent last year. The delay in the movement this year was generally attributed to excellent pasturage and a larger use of cottonseed meal and cake for feeding in Texas and New Mexico which induced cattlemen to hold their cattle as late as possible. There was also reported a shortage in the supply of stocker cattle and prices were higher than last year. . The Rocky Mountain sheep region reported a-~yery large lamb crop in prospect. It was estimated that 55 per cent of the wool clip in Wyoming and about 35 per cent in Colorado was contracted at 30c to 32c per pound. Several hundred thousand head of lambs had also been contracted at from IO cents to 10.8 cents with the average price about 10.4 cents per pound. MARKET MOVEMENTS: Receipts of all classes of meat animals at the six leading market centers of this district showed substantial increases in March over April but March receipts were slightly smaller than in March 1926. The marketward movement during the first three months of 1927 showed increases of 2.4 per cent in cattle anq. of 2 per cent in hogs over the corresponding three months of 1926, while receipts of calves were 6 per cent less and of sheep I 5 per cen~ less than in the 7 THE MONTHLY REVIEW ==================================== corresponding period last year. Marketing of horses and mules cent in both daily average and gross during the three months period declined 10.8 per cent from and gross production figures for the the total for the same period last year. Receipts of livestock DAILY AVERAGE at the six markets follow: *Mar. Feb. Mar. Cattle Calves Kansas City.............. 137,7 14 21,812 Omaha...................... 123,745 8,265 St. Joseph ................ 4 2,965 7,438 Denver...................... 34,678 3,267 Oklahoma City.---··· 24,556 7, 139 Wichita ...................... 27,171 4,678 Hogs 21 3,523 303,264 110,480 52,062 27,4°5 52,246 Sheep 100,360 226,862 142,068 169,530 297 5,07 2 Horses Mules 4, 275 1,070 767 2,390 612 2,717 March 1927 .............. 390,8 29 52,599 February 1927 .......... 348,822 48,018 March 1926 .............. 406,255 57,723 3 months 1927.......... 1,172,749 161,242 3 months 1926.......... 1,144,889 17 1,579 758,980 669,697 776,220 2,302,014 2,257,166 644,189 449, 2 53 774,009 1,564,414 1,839,872 II,831 14,032 11,055 38,278 4 2,9 23 Cars 8,212 8,883 3,444 2,510 9 13 1,337 2 5, 299 22,646 27,826 75,339 78,74 2 STOCKER AND FEEDER SHIPMENTS: The month of March brought an increase in the countryward movement of stock and feeding livestock as reported by four markets. Shipments of all classes of meat animals during the month, and also for the _first three months of the year, greatly exceeded the number shipped during the corresponding month and three months of last year, as indicated by the following: Cattle Kansas City ............................................ 41,477 Omaha ...................................................... 19,833 St. Joseph................................................ 5,090 Denver .................................................... 14,161 March 1927.............................................. 80,561 February 1927 ........................................ 70,025 March 1926.............................................. 71,222 3 months 1927 ........................................ 247,869 3 months 1926........................................ 234,114 Calves 3,773 Sheep 161 899 Hogs 10,419 1,900 2,574 3,464 4,833 3,834 2,295 14,186 7,892 18,357 19,469 II,987 56, 293 33,963 80,565 15,997 23,035 19,143 22,390 84,973 52,432 286,760 193,662 Packing Operations at the meat packing plants at the six market centers during March showed increases in the slaughter of all classes of meat animals over February. Compared with March of last year there was a small increase in the slaughter of hogs, but·"' decreases in the slaughter of cattle, calves, and sheep. The meat packing record, as indicated by purchases of animals at stockyards and shipments direct to packing yards, follows: Cattle 81,673 79,832 33,808 10,300 16,236 7,480 Calves 20,302 7,3 19 6,7II 2,291 6,048 3,204 March 1927 ............................................ 229,329 February 1927........................................ 210,634 March 1926 .............................................. 250,476 3 months 1927 ........................................ 681,116 3 months 1926 ........................................ 690,002 45,875 40,466 51,131 Kansas City ............................................ Omaha ...................................................... St. Joseph ................................................ Denver ...................................................... Oklahoma City .. .. .......... ........................ Wichita.. .................................................. 133,035 145,589 Hogs 164,059 223,129 89,985 33,872 24,564 48,693 Sheep 73,243 148,980 109,831 22,252 238 5,008 584,302 359,552 293,79 1 480,II9 538,090 459,0 5° 1,725,229 955,7 14 1,638,290 1,142,632 Petroleum Production of crude petroleum in the various fields of the Tenth District during March and the first quarter of 1927 was the largest for any month or a three-month period of record. The average" flow' for March was 899,900 barrels per day, although in the last two weeks of the month the average exceeded 900,000 barrels per day, and in the first week of April the average was 914,200 barrels per day. During March 1926 the average was 653,717 barrels per day. The increase for March of this year over the corresponding month last year was 37.7 per production. Daily average five states follow: MO THLY PRODUCTIO l *Mar. Feb. Mar. 1927 1927 1927 1927 1927 1916 Oklahoma .......... 710,400 708,100 464,716 22,022,000 19,828,000 14,406,000 Kansas ................ II6,100 120,100 104,839 3,599,000 3,363,000 3,250,000 Wyoming ............ 60,800 57,900 73,839 1,884,000 1,622,000 2,289,000 Colorado............ 7,800 7,900~ 6,226 243,000 221,000 193,000 New Mexico ...... 4,800 4,800 4,097 148,000 135,000 127,000 - - -----Total... ............... 899,900 898,800 653,717 27,896,000 25,169,000 20,265,000 *Estimated American Petroleum Institute. ---- ---- Reports on development operations during March reflected increases in the number of wells completed and in daily new production over February. Fewer wells were completed than in March of last year but the daily average new production was 91.4 per cent larger than the total reported for March 1926. Fewer new wells were drilling on the first day of April than one month earlier, but the number exceeded that of a year ago. The summary of field operations follows: Wells Compl't'd Oklahoma ............................ 386 Kansas ................................ ! 51 Wyoming ...... ...................... 45 Colorado .............................. 9 New Mexico........................ 3 Mar. 1927............................ 594 Feb. 1927 ............................ 500 Mar. 1q26............................ 720 Bbls. Daily rew Prod'n 146,824 II ,427 25,066 712 375 184,404 Dr y Wells II3 62 8 2 4 189 157 228 155,426 96,337 Gas Rigs-Wells Wells Drilling 1,526 44 6 377 0 28 I 0 99 0 141 50 34 63 2,424 2,541 2,286 Refinery reports as of April I showed fifty-seven plants in operation with daily runs to stills totaling 251,075 barrels. This compared with the record of April 1, 1926, of sixty-three plants in operation and daily runs of 235,rn5 barrels. Mining SOFT COAL: Production of soft coal at the mines in this district was speeded up to a high rate of operating capacity during the final month of the coal year. The March tonnage exceeded that for February by 291,000 tons or rn.7 per cent, and was 699,000 tons or 30.2 per cent in excess of the output for March 1926. The tonnage produced in the six states in March, as compared with that for the preceding month andfthe corresponding month last year: *Mar., 1927 et Tons Colorado............................................................ 1,039,000 ~i~:= ~~;s:a~;;:::::::::::::::::::::::::::::::::::::::::::::::::::::::::::: New Mexico.... ................................................ 273,000 Oklahoma.......................................................... 241,000 Wyoming.......................................................... 717,000 Total.. ................................................................ 3,011,000 *Estimated. Feb. 1927 Te t Tons 940,000 430,000 260,000 250,000 220,000 620,000 Mar. 1926 Net Tons 2,720,000 2,312,000 791,000 336,000 207,000 227,000 171,000 580,000 During the coal year which began April I, I 926, and ended March 3r, 1927, soft coal produced in the six states amounted to approximately 31,363,000 tons, as compared with 28,377,000 tons for the 1925-26 coal year. The total amount of soft coal produced in the United States during the 1926-27 coal year was estimated by the Bureau of Mines, Department of Commerce, at 601 ,88 r ,ooo net tons, these figures subject to slight revision. This total exceeded production in the 1925-26 coal year by 63,278,000 tons. Contracts between miners and operators expired on March 31 and operations at many of the mines in the Southwest district were suspended in April pending negotiations of new contracts. 8 THE MONTHLY REVIEW ZINC AND LEAD: Production and shipments of zinc and lead ore in the Tri-State District during the last week in February and the first three weeks in March were the heaviest of the year, but rains interfering with the loading of cars, and some slowing down in the demand, resulted in a smaller outgo in the latter part of the month. Shipments of zinc ore during the first three months of the year showed a decrease of 17.5 per cent and of lead ore a decrease of 16 per cent as compared with shipments during the first three months __ of 1926. The records of shipments of these ores follow: ZINC ORES Tons Value Oklahoma .................................................. 44,'.263 '$1,983,943 l:~!: :~t~:i LEAD ORES Tons Value 7,968 'f, 786,005 2,054 204,095 193 18,870 ending Apr. 2, 1927.................... 63,938 $2,864,877 4 wks. ending Mar. 4, 1927.................. 55,n1 2,413,929 4 wks. ending Apr. 3, 1926 .................... 86,185 4,194,922 14 wks. ending Apr. 2, 1927.................... 197,914 '$8,784,807 14 wks. ending Apr. 3, 1926.................... 239,857 12,393,446 10,215 $1,008,970 7,957 738,8 16 12,531 1,322,635 3o,93o 2,957,7 10 36,813 4,203,541 ~~;s:~;;~·.·.·.·: : : ~~-.·.·:::::::::::::::::::::::::::::::::::::: 4 wks. 1 Average price paid for zinc ore during the first fourteen weeks of 1927 was $43.92 per ton as compared with $51.15 per ton during the corresponding period last year, while average prices paid for lead ore was $94.82 a ton as compared with $112. 50 per ton. Business Failures For the first quarter of 1927, R . G. Dun & Company reported 38 5 commercial failures with liabilities amounting to $5,464,229 in the Tenth District. These totals indicate increases of sixtyseven failures and $2,197,582 in liabilities over the totals for the first quarter of 1926. March failures in this district were fewer than in any preceding month of the year, but exceeded the number reported for March a year ago. The amount of liabilities involved in March failures was $469,684 above the total for the same month last year. The March record of failures in the United States as compiled by R. G. Dun & Company by Federal Reserve districts: NUMBER District 1927 1926 First, Boston.................................. 234 240 Second, New York.......................... 380 368 Third, Philadelphia........................ 83 65 Fourth, Cleveland.......................... 193 214 124 Fifth, Richmond............................ 147 79 Sixth, Atlanta.... ............................ 152 Seventh, Chicago............................ 322 298 78 Eighth, St. Louis............................ 1II Ninth, Minneapolis........................ 89 90 TENTH, KANSAS CITY............ 116 84 75 Eleventh, Dallas.......... .................. 59 269 Twelfth, San Francisco.................. 257 LIABILITIES 1927 1926 'f, 7,960,696 '$ 3,249,565 10,932,189 6,463,891 3,966,722 1,776,957 4,724,804 3,738,723 3,585,847 2,004,057 4,530,678 1,127,953 I 1,840,265 4,062,641 1,088,841 2,808,588 868,720 926,970 1,684,193 1,214,509 1,415,400 809,191 5,292,550 r2,439,502 Total United States, March .......... 2,143 Total United States, 3 months .... 6,643 'f, 57,89o,905 t~ 156,121,853 'I, 30,622,547 108,460,339 Business Conditions in the United States Industrial activity increased further in March and was larger than a year ago, while the general level of prices continued to decline. Distribution of commodities at wholesale ancl retail was somewhat smaller than a year ago. PRODUCTION: Industrial production, after increasing continuously for three months, was larger in March, when allowance is made for usual seasonal changes, than in any month since las t September. Output of bitiminous coal, crude petroleum and steel ingots and mill consumption of raw cotton in March were larger than in any previous month. Since April I, howe ver, steel mill operations have been somewhat curtailed, and bitiminous coal output has been reduced by about 40 percent since the beginning of the miners strike on April 1. The consumption of silk and wool, sugar meltings, flour production and the output of rubber tires increased in March. Production of automobiles has shown seasonal increases since the first of the year but has been in sm aller volume than a year ago. The value of building contracts awarded in March was larger than at any previous time, and the production of building materials has increased considerably in recent weeks. The largest increases in contracts, as compared with last year, were in the middle western states, while the largest decreases occurred in the southeastern states. In the first half of April contracts awarded were in slightly smaller volume than in the same period of last year. TRADE: Sales of department stores increased less than usual in March and were slightly smaller than last year owing in part to the lateness of Easter. Sales of mail order houses and chain stores, however, were somewhat larger than a year ago. Inventories of department stores increased slightly more than is usual in March in anticipation of the expansion in retail trade before the Easter holidays, and at the end of the Month they were in about the same volume as a year ago. Wholesale trade in March continued slightly smaller than in the corresponding period a year ago. Stocks of merchandise carried by wholesale firms were j seasonally larger at the end of March than in February but in • most lines continued smaller than last year. W Freight car loadings, which showed seasonal increases in March, declined in the first ten days of April, owing to the smaller shipments of coal, but contim.ied larger than in the corresponding period of previous years. Loadings of miscellaneous freight and of merchandise in less than car load lots were in large volume. PRICES: The general level of wholesale commodity prices declined further in March, reflecting decreases in most of the important groups of commodities. Prices of non-agricultural commodities as a group declined to the lowest level since the war while the average for agricultural products which advanced somewhat from November to February, remained practically unchanged in "' March. During the first half of April prices of winter wheat, sugar, cotton, silk, bitiminous coal and hides advanced; while those of hogs,"'crude petroleum, gasoline, and nonferrous metals declined. BANK CREDIT: There was some decline in the volume ofloans for commercial purposes and in loans on securities at member banks in leading cities between the middle of March and the middle of April. Member bank holdings of United States securities, which had increased considerably in the middle of March in connection with the operations'"of the treasury, have declined by more than $100,000,000 since that time, but are still about $200,000,ooo"larger than in the early months of the year. At the reserve Banks total bills and securities, which have fluctuated near the $1,000,000,000 level since the end of January showed little change during the six weeks ending April 2.0. Discounts for member banks were in about the same volume of that date as on March 9, while acceptances showed a decrease and holdings of the United States securities a slight decrease. ~ During the first three weeks of April quoted rates on prime commercial paper and on acceptances were the same as in the latter part of March, while call money average somewhat higher.
@FedFRASER