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THE MONTHLY REVIEW • Of Agricultural, Industrial, Trade and Financial Conditions in the Tenth Federal Reserve District FEDERAL RESERVE BANK OF KANSAS CI TY M. L. McCLURE, Chairman and Federal Reserve Agent A. M. McADAMS, Assistant Federal Reserve Agent and Secretary KANSAS F • • C1TY, Mo., NovEMBER AVORABLE weather conditions throughout the Tent h District during September and the first half of October insured practically all of the 1930 corn crop against frosc damage. Pastures and ranges improved and, with the exception of broomeorn, the October 1 estimates of production of unharvested crops in this District exceeded the September 1 forecasts. · b f CoIorado and W yommg report umper crops o corn, sugar beets, beans and potatoes. The condition of corn in Nebr~sk::.i on October 1 was 73 percent of normal and gives promise of a crop slightly above the average for the past five years. In y M" · d Okl h h h d I ~ansas, 1ssoun an a oma, w ere t e roug lt was more severe, corn failed to show any material improvement d:.1ring September. In these states there is more than the us:ial conservation of corn forage in silos. · f h h • • 1 Septem ber receipts o w eat at t e primary rn~r.<ets ,vere m smaller volume than during either July or August, the fast two months of the new wheat year, but were heavier than in September 1929. Market receipts of corn and oats were smaller and of rye and barley larger than in the preceding month or the corresponding month last year. Flour production, due to fewer milling days, was slightly under August, but was larger than a year ago. . f 11 1 f . l h M arl<:et rf:::-e1pts o a c asses o meat ~mma s, except ogs, were 1arger than in August. Receipts of cattle and hogs were the smallest for any September since 1927 but receipts of sheep were the largest for any September of record. The condition of . h h d catt1e an d s h eep on ranges h eld stead y d unng t e mont an on October I was reported as good. With larger receipts of meat animals during September and the approach of the new packing season, there was an increase in the number of all classes of meat animals slaughtered in September as compared to August. Retail distribution of merchandise, indicated by September sales of department stores in leading cities throughout the District, showed a larger than usual increase over the preceding month, but was 4.2. percent under the corresponding month last year. Wholesale distribution of goods and merchandise during the twenty-five trading days of September was, for the first time since 1926, above the total for the twenty-seven trading days in August, but for all reporting lines combined the sales for the month were less than those reported in September of last year. Retailers' and wholesalers' stocks of merchandise on September 30 were substantially smaller than one year ago and the rate of turnover of department store stocks for the first nine months this year was greater than for the like period last year. Sales of lumber in September at retail yards were, for the first time in several years, larger than the August sales but were under those for September 1929. T, 1930 No. II SUMMARY OF BUSINESS IN THE TE TH DISTRICT Percentage of Increase, or Decrease(-) for September over the preceding:month and the corresponding month last year. September 1930 compared.,with August 1930 September_1929 B:m!cing Bank debits, 29 cities ......................................... . Federal Reserve Bank clearings .. ..................... . -20.2 Loans, 56 member banks ................................... . - 2.3 -13.1 Investments, 56 member banks ....................... . 3.2 8.o Demand deposits, 56 member banks ................ 0.9 4.7 - 7.2 7.2 Time deposits, 56 member banks ..................... . 3.0 Savings deposits, 4.7 selected banks ................. . 3.0 Savings accounts, 44 selected banks, _ __ - 0.3 5.0 Life insurance written ....................................... . -II.3 - 9.3 Distri!:mtion 7.0 Wholesalers' sales, 5 lines combined_ ___ ··········· 2 3·7 Retailers' sales, 38 department stores ............. . Lumber sales, 175 retail yards .......................... 7.5 Construction Building contracts awarded, value _ _ __ -66.9 o.6 Building permits in 18 cities, value................. . Grain Receipts, 5 markets Wheat...................................... _ __ -51.1 10.7 -21.8 - 1.0 Corn·--·····································-----20.6 Oats ....................................................................... . -25.3 18.4 Rye ..................................................... _ _ __ 19.8 Barley ..................... _ _ _ _ _ __ 32.0 66.6 Kafir ...................................................................... 39.o -55.9 Livestock Receipts, 6 markets 64.0 Ca~tle ........................................ - - - - - 2.7 57.8 Cattle .................................................................... 33· 2 - 1.5 Hogs ..........- - -x7.5 Sheep..................................... ·· · · · · · - - - 90.1 20.9 H orses and mules ................................................ 66.4 -53.8 Production 0.l 2.6 Flour................. _ _ _ _ _ _ _ _ _ __ 28.6 -20.2 ~~;;~·i~·~·;,;;::.-.-.-.-.-.-.-.-.-.-.-.-.-.-.-....... ________ Cement................... ·---···························· Zinc ore (shipped) Tristate Distric ....__ __ Lead ore (shipped) Tri st ate Di st rict............... . Meat Packing, 6 cities Cattle ................................................. _ _ _ _ Calves ......... _ _ _ _______ Hogs .........: _ _ _ _ _ _ _ _ _ Sheep................................ _ _ _ _ _ _ _ -0.l -10.2 2.9 21.3 31 .0 17.5 3.0 3 2·2 _ 2. 2 2. 4 -21.7 26- 2 Building activity was at a low level, both as to value of building permits issued in leading cities and the value of contracts awarded in the District. However, there was a noticeable increase in awards for residential construction. For the mineral industries, the reports showed the output of bituminous coal and the production of zinc and lead ores increased in September but were substantially under a year ago. Daily average crude oil production in September was larger than in August, but the shorter month's total was less than that for the preceding month and also less than the total for September last year. Thia Copy Released For Publication In Morning Newspapers October 29 2 THE MONTHLY REVIEW Banking and Credit A continued light demand for loans, an increase in investments and demand deposits and money rates easy and unchanged, featured the financial . situation in the Tenth District during the last half of September and the first half of October. MEMBER BANK REPORTS: Weekly statements of fiftysix reporting member banks in cities of this District showed a decrease of 2.3 percent in the aggregate of their loans between September 17 and October 1 5 and the total on the last mentioned date was the smallest since October 5, 1927. Loans secured by stocks and bonds decreased $13,378,000 or 10.3 percent to $n7,052,ooo, the smallest total on four years' records. However, "all other" loans increased $3,558,000 or 1.2 percent during the four weeks but were 13.4 percent less than one year ago. Investments of the reporting member banks increased during the fourweeks' period $7,548,000 or 3.2 percent to $245,594,000, the largest total on ten years' records and $18,127,000 or 8 percent above the October 16, 1929 total. Demand deposits increased 4.7 percent in four weeks and were 0.9 percent above a year ago. On September 17 time deposits were at the highest point in ten year.<; but declined to $194,644,000 by October 15., a decrease of 7.2 percent, but on that date were $23,123,000 or 7.2 percent above the total as of Octa ber 16, 1929. The principal resource and liability items of the fifty-six reporting member banks as of October 15, are shown below with totals for four weeks and one year earlier for comparison: Oct. 15, 1930 Sept. 17, 1930 Oct. 16, 1929 Loans and investments- totaL _..... $659,834,000 $662,106,000 $703,984,000 Loans and discounts-total.............. 414,240,000 424,060,000 476,517,000 Secured by stocks and bonds........ n7,052,ooo 130,430,000 133,076,000 All other loans and discounts...... 297,188,000 293,630,000 343,441,000 Investments-total............................ 245,594,000 238,046,000 227,467,000 U.S. Securities.............................. 104,885,000 101,368,000 102,274,000 Other bonds, stocks, securities.... 140,709,000 136,678,000 125,193,000 Reserve with F. R. Bank.................. 58,520,000 56,078,000 60,024,000 Net demand deposits........................ 509,694,000 486,673,000 504,992,000 Time deposits._................................... 194,644,000 209,805,000 181,521 ,ooo Government deposits........................ 2,135,000 2,7 18,000 2,305,000 FEDERAL RESERVE BANK OPERATIONS: The weekly condition statement of the Federal Reserve Bank of Kansas City and branches as of October 15 showed bills rediscounted for member banks totaling $10,130,067, were $1,294,770 more than on September 17, but $31,II8,335 or 75.4 percent less than on October 16, 1929. The bank's purchases of acceptances declined 34 percent in four weeks to the lowest point since August 13 and the October 15 total was 56.6 percent less than one year earlier. The total of United States securities held by this bank has remained unchanged for 17 consecutive weeks, $28,423,000 above the total held on October 16, 1929. The total of all bills and securities held by this bank on October 1 .5 was 6.2 percent smaller than four weeks ago and 22.7 percent smaller than on October 16 last year. The principal resource and liability items are here shown for the three dates mentioned: Oct. 15, 1930 Sept. 17, 1930 Gold reserves ...................................... $108,346,136 $104,321,688 Reserves other than gold.................. 6,205,046 6,051,760 Total reserves...................................... 114,551,182 110,373,448 Bills discounted.................................. 10,130,067 8,835,297 Bills purchased.................................... 8,584,313 13,001,685 U.S. Securities.................................. 28,736,000 28,736,000 Total bills and securities ................ ,. 47,450,380 50,572,982 Total resources..·-······························· 207,346,270 207,740,416 F. R. notes in circulation................ 67,377,080 68,022,280 Total deposits.................................... 92,044,590 88,857,309 Oct. 16, 1929 $112,625,607 4,205,632 116,831,239 41,248,402 19,788,774 313,000 61,350,176 237,032,124 82,933,800 93,547,878 Savings In Banks Savings deposits in forty-seven banks in leading cities of this District, as of October 1, totaled $122,973,215, compared with $II9,397,057 on September 1 and $119,381,510 on October 1, 1929. According to these figures savings deposits increased 3 percent over the totals one month ago and one year ago. The rate of increase between September 1 and October 1 was the largest reported for \hat period in four years and was general, as every city recorded an increase for the period. However, the number of accounts in forty-five banks decreased 0.3 percent between September 1 and October 1 to a total of 404,390, which was 19,187 or 5.o percent above the total for the same banks on October 1, 1929. Payments By Check Debits to individual accounts by banks in twenty-nine cities of the Tenth District for the four weeks ending October I, aggregating $1,350,539,000, indicated a seasonal increase of $87,776,000 or 6.9 percent over the total for the preceding four weeks ending September 3. This seasonal increase compares with 10.2, 12.4 and 2.0 percent as reported in the years 1929, 1928 and 1927, respectively. Compared to the corresponding period a year ago there was a decrease of $246,420,000 or l 5.4 percent, whereas the decrease for the entire United States, for the same period, was approximately 40 percent. Though the total for this four week period was smaller than the totals for the corresponding periods in 1929 and 1928, it equalled or exceeded like periods in all other years on records dating back to 1920. The reports show that the decrease was general as only one of the twenty-nine cities reported an increase over the like period last year. A summary of the returns for the first thirty-nine weeks of this year showed debits in twenty-nine cities amounted to $13,252,714,000, as compared with $14,6o8,932,ooo for the like period in 1929, a decrease of 9.3 percent. FouR WEEKS ENDING Percent October 1, 1930 October 2, 1929 Change II,618,000 -3-4 Albuquerque, N. M·--····················· $ n,222,000 $ Atchinson, Kans.............................. 5,354,000 6,357,000 -15.8 23,338,000 41.2 Bartlesville, Okla·-··························· 32,957,000 8,106,000 -23.2 Casper, Wyo................................._.... 6,229,000 Cheyenne, Wyo................................ 6,681,000 7,673,000 -12.9 Colorado Springs, Colo.................... 16,102,000 17,299;000 -7-4 Denver, Colo.................................... 161,962,000 191,766,000 - 1 5.5 16,281,000 -I4.3 Enid, Okla ................!......................... 13,937,000 Fremont, Nebr.................................. 3,083,000 4,169,000 -26.0 Grand Junction, Colo...................... 3,230,000 4,o59,ooo -20.4 Guthrie, Okla.................................... 2,622,000 3,652,000 -28.2 Hutchinson, Kans............................ 14,582,000 20,359,000 -28.4 12,613,000 -29.5 Independence, Kans........................ 8,897,000 Joplin, Mo........ ................................ 9,925,000 14,513,000 -31.6 Kansas City, Kans ............ _............. 17,640,000 18,194,000 - 3.0 Kansas City, Mo................ _............. 393,910,000 467,483,000 - 1 5,7 Lawrence, Kans................................ 4,072,000 5,091,000 -20.0 36,516,000 -12.8 Lincoln, Nebr·-································· 31,858,000 Muskogee, Okla................................ 9,289,000 11,997,000 -22.6 129,831,000 -15.1 Oklahoma City, Okla ...·-······-·········· 110,170,000 Okmulgee, Okla................................ 4,931,000 7,o59,ooo -30.1 Omaha, Nebr.................................... 197,734,000 232,746,000 -15.0 Pittsburg, Kans................................ 4,735,000 5,946,000 -20.4 Pueblo, Colo._................................... 17,015,000 18,448,000 - 7.7 Salina, Kans_..................................... 11,183,000 13,046,000 -14.3 St. Joseph, Mo.................................. 43,910,000 56,077,000 -21.7 21,644,000 -23.0 Topeka, Kans ..·-······························· 16,675,000 164,143,000 - 1 5.9 Tulsa, Okla·-····································· 138,032,000 Wichita, Kans.................................. 52,692,000 66,935,000 -21.3 Total 29 cities, 4 weeks ................ Total 29 cities, 39 weeks................ i 1,350,539,000 $ 1 ,596,959,ooo 13,25'-2,714,000 14,608,932,000 - 1 5.4 9.3 Reserve Bank Clearings Clearings or check collections through the Federal Reserve Bank of Kansas City and branches, following the course of bank debits, showed an increase of 9 percent in items handled and 7.9 percent in amount for the four weeks ending October I over the • THE l\1oNTHLY REvIEW • RETAIL TRADE AT 38 DEPARTMENT STORES SALES STOCKS (RETAI L) Stores Sept. 1930 9 Months 1930 Sept. 30, 1930 compared to Report- compared to compared to ing Sept. 1929 9 Months 1929 Aug. 31, 1930 Sept. 30, 1929 - 8.o Kansas City........ 4 - 8.6 - 8.5 5.2 -12.2 Denver................ 0.2 5.2 - 3.7 5 Oklahoma City .. 3 10.0 - I.0 2.5 - 2.5 -0.2 Omaha ................ 3 -0.4 2 Lincoln ................ - 4.8 --20.9 5.8 5.9 18.6 0.2 Topeka ................ 3 -12.3 - 5.9 Tuls 1.0 6.3 - 1.7 - 1.9 4 -11.8 Wichita................ 4 -16.3 -12.3 6.3 Other Cities ........ IO -12.7 -4.6 - 6.5 - 1.9 3 I STOCK TURNOVER Sept. 9 Months 1930 .24 .26 .31 1929 .24 .22 .31 1930 1929 1.87 1.94 1.90 I.79 2.41 2·35 .29 .22 .30 .20 .17 .22 .24 .29 .22 .18 2.02 1.55 2•79 1.75 1.50 2.67 1.45 1.38 Acco u 'TS RECEIVABLE Sept. 30, 1930 comp ared to Aug. 31, 1930 Sept. 30, 1929 - 2.9 11.3 o.8 11.9 8.1 14.6 6.2 9.8 17-3 3.3 - 3.2 7.9 17•9 4.7 - 6.1 9.4 12.1 - 0.9 COLLECTIONS Sept. 1930 compared to Aug. 1930 Sept. 1929 - 3.6 c.8 3.4 - 5.1 1.5 4.3 - 2.5 5.0 - 3- 2 - 1 4.4 Even - 7.0 2.2 5.7 10.6 - 7.3 . - 1.8 - 9.3 - Total.................... 38 - 4.2 - 4.2 6.2 - 8.6 .25 .24 2.00 1.92 12.4 1.5 NOTE: Percentage of collections in September on accounts August 31, all stores reporting 36.i, Collections same month last year .1"7.4. preceding four weeks. As compared to the corresponding four weeks in 1929, there was a decline of 7.5 percent in items handled and 20.2 percent in amount. Check collections during the thirty-nine weeks ending October 1 were 11. 1 percent smaller than for the like period in 1929. The figures follow: ITEMS AMOU T Four weeks ending Oct. 1, 1930............................ Four weeks ending Sept. 3, 1930.......................... Four weeks ending Oct. 2, 1929............................ Thirty-nine weeks ending Oct. 1, 1930................ Thirty-nine weeks ending Oct. 2, 1929................ 5,367,640 4,923,816 5,805,206 52,295,797 53,180,905 '/, 8 ro,369,979 750,809,256 1,015,942,782 7,9°7,667,935 8,891_,804,764 Business Failures • Business failures in the Tenth District for September were more numerous than in either August of this year or September of last year, but liabilities involved in September failures were less than the total for the preceding month or the corresponding month in 1929. During the first nine months of the current year liabilities involved in failures in this District increased 23. 5 percent over those for the first nine months of last year, whereas, the nine months' total for the United States shows an increase in liabilities of 42.3 percent when compared to the like period in 1929. Failures in this District and in the United States, as reported by R. G. Dun & Company, follow: TENTH Number September, 1930........ -................ I 39 August,1930.......... _ _ _ _ 99 Scpternber,1929 ..!....................... 113 Nine Months,1930. __ ················· 1,119 Nine Months,1929..·-················· 1,092 DISTRICT Liabilities '/, 2,003,869 2,944,200 4,656,900 20,088,398 16,262,218 U !TED STATES Number Liabilities 1,963 '/, 46,947,021 1,913 49,180,653 1,568 34, 124,73 1 1 9.675 473,043,134 17,254 33 2,425,638 Life Insurance New paid-for life insurance written in the seven states of the Tenth District totaled $45,739,000 for the month of September, 4,679,000 less than the August total and $5,826,000 less than the total for September 1929, but $810,000 more than the total for September 1928. The September total was the smallest for any month since September 1928. Wyoming was the only state in the District to report an increase over August or over September a year ago. • Dry Goods ......... Reporting Stores 6 Groceries ... - ....... Hardware_. Furniture ...... Dr11gs·-······························-··· 6 9 6 5 Trade Wholesale distribution of merchandise in this District in September, as indicated by the combined dollar sales of firms in five lines reported to this Federal Reserve Bank, was 7.0 percent larger in volume than in August. This was the first time since 1926 that the September total, for the five lines combined, exceeded the August total. Compared to September 1929 the com bined sales decreased 13.2 percent. Decreases in September sales from those for September 1929 were reported for drygoods, hardware, furniture and drugs, with groceries the only one of the five lines to report an increase. Improvement over August was general as each of the five lines reported an increase. Combined sales of the five reporting lines for the first nine months this year were 11 percent under the total for the corresponding nine months last year. Stocks of drygoods, hardware and drugs at the close of September were smaller and of groceries and furniture larger than on August 31. As compared with a year ago, stocks of all lines reporting showed decreases. RETAIL: Sales at thirty-eight reporting department stores in cities of the Tenth District, during the twenty-five trading days of September, were 23.7 percent larger, in the dollar value, than in the twenty-seven trading days in August but 4.2 percent smaller than in September 1929 in which there were twenty-five trading days. Six stores reported increases and thirty-two stores decreases in their sales volume as compared with a year ago. The September increase over August was the largest seasonal increase reported since 1926 when September sales exceeded August sales by 29.6 percent. April and May are the only months this year when sales exceeded those for the corresponding month last year and the decrease for September of 4.2 percent is the smallest percent of decrease from the like month last year reported since June. Cumulative sales for the nine months of 1930, at the reporting department stores, were 4.2 percent less than in the first' nine months of 1929. Retail furniture, men's and women's apparel, and shoe stores reported their September sales were 26 percent, 9.8 percent and 16 percent, respectively, below those for the same month last year. Stocks of merchandise on hand at reporting department stores at the close of September were 6.2 percent larger than on August WHOLESALE TRADE IN THE TE TH FEDERAL RESERVE DISTRICT CoLLECTIO s SALES OuTSTANDINGS Sept. 1930 compared with Sept. 30, 1930 compared with Sept. 1930 compared with Aug. 1930 Aug. 1930 Sept. 1929 Sept. 1929 Aug. 31, 1930 Sept. 30, 1929 I.2 -22.5 -17.8 10.2 5.0 -14.9 2.6 2.4 3.8 1.7 3.1 - 3.2 6.1 19.1 --20.7 - 5.6 - 1.6 - 19.4 20.0 4.0 --25.1 -3 2.4 5.2 - 15.3 -10.2 - 6.1 2.4 0.7 5.3 - 19.5 SlOCK~ Sept. 30, 1930 compared with Aug. 31. 1930 Sept. 30, 1929 -I4.5 - 7.5 6.7 - 8.3 - 5.8 - 3.5 0.7 -t9.7 - 0.4 -16 5 4 31, but 8.6 percent smaller than on September 30, 1929. Stocks at reporting men's and women's apparel stores on September 30 were 4.3 percent smaller than one year ago. Retail furniture stores reported a decrease of 9.1 percent and retail shoe stores a decrease of 2.0 percent in stocks on hand September 30 as compared to September 30, 1929. COLLECTIONS:l Department stores collections in September amounted to 36.7 percent of their outstandings as of August 31, compared with 37.7 percent for August and 37.4 percent for September last year. Reports from wholesale firms, five reporting lines combined, disclose that collections during September were 16.2 percent below September last year, whereas, outstanding accounts on September 30, 1930 were 9.7 percent below outstandings on September 30, 1929. Some implement and farm machinery distributors reported collections poor. Crops A summary of the October l condition of crops in the T enth District, as reported by the United States Department of Agriculture and the State Boards of Agriculture cooperating, indicates improvement over the September 1 condition of the principal crops remaining for harvest in this District. The weather during September and the first two weeks of October was very favorable to crop growth and maturity. The 1930 crop year promises record, or near record, production in the Tenth District of oats) sugar beets and dry beans, but the smallest corn and spring wheat production since 1926. In addition to the above, crops showing increased production over h st year are wheat, rye, barley, broom corn, white potatoes and tobacco and those showing decreases are grain sorghums, tame :::.nd wild hay, cotton, and peaches, pears, grapes, and apples. CORN: Under favorable weather conditions corn prospects in the District improved slightly during September and by October 15 practically all corn was out of danger of damage by frost. The October 1 condition promised a crop of 397,447,000 bushels as compared to 382,658,000 bushel~ indicated on September 1 and a final yield of 445,415,000 bushels in 1929. Colorado and Wyoming report their second largest corn crop of record with husking under way. In Nebraska, the leading corn state of the District, a crop of 230,875,000 bushels is forecast, slightly above last year's total and the average for the five preceding years. In Missouri, Kansas and Oklahoma, where drought ancl hot winds damaged the corn, production will be substantially under t hat of last year and the five-year average. Missouri reports the s:nallest crop since 1901. October 1 condition of Kansas corn was estimated at 40 percent of normal, indicating a probable yield of 12 bushels per acre. The condition of Oklahoma corn was at 37 percent normal on October 1, promising a yield of 10.5 bushels per acercompared with the 16 bushels per acre yield last year. The October 1, summary follow&: Estimated Oct. 1, 1930 Bushels 35,196,000 4,071,000 Estimated Sept. 1, 1930 Bushels 27,320,000 76,164,000 81 ,724,000 226,258,000 3,504,000 31,844,0(X) 3,540,000 Production Final 1929 Bushels 23,212,000 106,802,000 126,524,000 237,744,000 4,180,000 48,320,000 2,832,000 463,907,000 Seven States ........... ·-····-··· T enth District............... -· 397,447 ,ooo United States .......... ·-········ 2,046,716,000 450,354,000 382,658,000 1,982,765,000 549,624,000 445,415,000 2,614,307,000 Colorado............................ Y ..i.nsas._ Iissouri-·-························· •c.:brask . ew Mexico... .................. Oidahoma .......................... \Y yoming·- --····················· . 34,150,000 76,164,000 79,947,000 230,875,000 3,5o4,ooo HAY AND PASTURES: Hay and pasture conditions improved during September but the District's production of tame hay this year is estimated at 11,770,0(X) tons or 578,ooc tons less than in 1929. Every state in the District, except Nebraska, reported prospects for a smaller tame hay crop this year than last year. M issouri reported severe losses from the early summer drought and Kansas, the lowest alfalfa hay acreage in many years and the smallest tame hay crop in thirteen years. OTHER LATE CROPS: Colorado and Wyoming report record crops of sugar beets and dry beans with harvesting under way. N ebraska's sugar beet crop is expected. to exceed that of last year and the five year average. Broom corn production in this District, which produces 80 percent of the Nation's total, is estimatecl to slightly exceed last year's total. Kansas reports an increase of 1,700 tons and New Mexico an increase of 200 tons. Production in Colorado, Missouri and Oklahoma is slightly less than a year ago. The production of apples, peaches, pears and grapes in the District was greatly reduced t!-lis year clue to ha:d winter freezes and late frosts last spring. Estimated production of farm crops in the United States in 193c as reported by the Division of Crop and Livestock Esti mates, United States Department of Agriculture, based on October 1 condition follows: U N ITED ST ATES CROPS (In thousands of uni ts) Indicated by Condi tion 011: October l September t Harvested 1930 1929 1930 2,614,000 1,983,000 Cor n, b us .. ·-······················ 2,047,0(X) 000 578,000 W inter wheat, bus·-········· 597,e-00 597, 228,000 240,0(X) 242,0(X) Spri ng wheat, bus.. ·-········ 806,000 All wheat, bus .................. 838,000 839,0(X) 1,234,000 1,391,000 Oats, bus--··················-······ 1,411,0(X) 328,0(X) Barley, bus ........................ 304,000 323,000 P otatoes, bus_................... 352,200 359,800 339,3°0 63,1 00 84,7cc 67,700 Sweet pota toes, bus.--•···· 20,800 Dry beans, b us.- ............... 19,500 19,700 8,-220 Sugar beets, t ons .............. 8,420 7,320 29,800 28,500 27,400 Alfalfa hay, tons_·········-··· 82,100 101,800 All t a me hay, t ons.........-.. 84,100 12,000 12,000 12,900 Wild hay, tons.............. -·-· Broomrorn, tons ......... _.. _. 50 47 54 Grain sorghums, bus ____. 100,800 82,900 79, 232 5-year Average 197.4-1928 2,700,000 551,000 283,000 833,0(X) 1,372,000 241,000 392,600 74,100 17,300 7,39° '28,700 93,600 13,500 51 128,200 COTTON : The October 1 cotton report, issued by the Division of Crop and Livestock Estimates of the United States Department of Agriculture, indicated a 1930 crop f 14,486,ooc bales of cotton from 44,791,000 acres left for harvest in the UI?-ited .. States. These totals compare with 14,828,000 bales harvested from 45,793,000 acres last year. The October 1 condition of the United States crop was 53.5 percent, compared with 55 percent on October r, 1929. Th ere was an increase during the month in the estimated production for the Tenth District of 1,000 bales, but the District total of 918,000 bales w2s 251,000 baies under the final estimated production for 1929, Oct. 1, 1930 Bales 4, 275,000 Texas......·-·························· Oklahoma ...................................... ...... 925,000 960,000 Arkansas.... _......................................... 665,000 Louisiana .............. 150,000 Missouri ........ 100,000 New Mexico........................................ 165,000 Arizona ..........................·- - - -··· 224,000 California ........................................... Eight S. W. States .......·-··················· Tenth District.---··-··········-·················· United States 7,464,000 918,000 14,486,000 Sept. 1, 1930 Bales 4,321,0(X) 92s,ooo 940,000 649,000 148,000 97,000 224,000 Final 1929 Bales 3,94o,ooo 1,143,0(X) 1,435,coo 809,000 220,000 90,000 153,000 260,000 7,463,000 916,000 14,340,000 8,050,000· 1,169,000 I4,828,ooo I 59,0(X) • • 5 THE MONTHLY REVTEW • Kansas City................................ Omaha ........................................ St. JosepL ................................. Denver ........................................ Oklahoma City .......................... Wichita........................................ SEPTEMBER MOVEMENT OF LIVESTOCK IN THE TENTH DISTRICT RECEIPTS STOCKERS AND FEEDERS PURCHASED FoR SLAUGHTER Cattle Calves Hogs Sheep Cattle Calves Sheep Cattle Calves Hogs Hogs Sheep 208,226 56,658 • 210,797 2 5,95 2 82,023 13,076 ] 62,920 143, 295 81,115 245,224 149,881 5,422 259,99 2 98,068 183,322 6,878 186,743 16,536 536,025 9,718 1,507 114,430 236,352 67, 2 35 29,37 1 13,447 91,200 7,111 154,856 5,823 884 64,031 106,527 52,97° 14,626 39,355 48,682 130,201 32,028 21,151 11,215 2,171 20,619 2,274 883 4,989 357,665 30,411 13,589 22,161 29,205 18,839 27,980 4,480 l8,555 2,097 28,326 38,086 9,088 2,278 14,076 5,851 35,487 3,3°7 • September 1930.......................... 554,152 August 1930................................ 337,9 21 September 1929._ ....................... 569,292 9 Months 1930.......................... 3,339,750 9 Months 1929·--······················· 3,296,748 *Includes 70,546 hogs direct to packers' 125,724 79,014 94,4o5 557,597 506,719 yards. 583,413 1,304,101 685,990 59 2,4 17 685,461 1,078,319 7,396,147 6,9 29, 153 8,393,661 6,3 13,575 183,856 61,786 195,215 731,917 75 2,533 Livestock Septem her receipts of cattle, calves and sheep at the six leading markets in the Tenth District were, as usual, larger than in August and receipts of hogs seasonally smaller. The Omaha market reported the heaviest run of cornfed cattle ever seen at this time of year on that market. All clru;ses of meat animals started out the month in good demand and prices worked steadily higher, but price recessions set in toward the middle and latter part of the month and values were lower for all classes than one month earlier. Net declines at the Kansas City market on hogs were $1.50 to $1.65; in beeves 50 to 75 centsj in sheep and lambs 50 cents to $1. 50. September 26 saw sheep and lamb prices drop to the lowest level recorded on the Kansas City market in nineteen years. Arrivals of 554,152 head of cattle at these six markets during September was the largest for any month since October 192.9 though the smallest September total since 1927. This total was 64 percent larger than the August total, which increase is larger than usual, but 15,140 head or 2.7 percent smaller than that for September 1929. Receipts for the first nine months of 1930 totaled 3,339,750 head as compared with 3,296,748 head for the same period last year. Receipts of calves in September, totaling 125,724 head at the six markets, were 57.8 percent larger than for August and 33.2 percent larger than in September a year ago. Market runs of sheep and lambs during the month reached a total of 1,304,101 head, the largest September total since 1919. The September total was 90.1 percent above that for August and 20.9 percent above September a year ago. The record for the . first nine months of the year show receipts of 6,929,153 head of sheep and lambs, 615,578 or 9.8 percent more than received during the corresponding nine months in 1929. Receipts of 583,413 hogs, including direct shipments to packers, for the month were 9,004 or 1.5 percent less than in August and 102,048 or 17.5 percent less than in September last year, this being the smallest September total since 1927. Total receipts of 7,396,147 hogs for the first nine months of the year were smaller by 997,514or11.9 percent than for the like period in 1929. September receipts of 5,469 horses and mules was the smallest total for that month on eleven years' records, though 2,182 head or 66.4 percent above the August total. STOCKERS AND FEEDERS: The outgo of stock and feeding livestock to the country, from the four markets which report these figures, exhibited a seasonal increase for all classes. However, as compared to September a year ago, there was a decrease for all classes except calves which increased materially. Cumulative shipments for the first nine months of the year show decreases from the same period in 1929 for all classes except calves, which increased 27.3 percent. It is interesting to note that total receipts of cattle at Kansas City, the dominant feeder and stocker market in the District, 30,891 8,077 15,131 97,735 76,761 8,696 7,415 10,237 102,284 148,136 492,468 178,473 499,532 1,128,065 1,418,981 247,412 57,979 188,878 49,360 252,786 56,627 1,748,686 347,526 1,770,105 348,I'.25 406,609 52x,989 394,652 394,975 1 413,701 5 9,569 5, 296,957 4,140,582 6,415,154 3,5311 IO were smaller in September than in any September for the past thirty-three years, indicating that drought conditions were not forcing cattle on the market to any great extent. RANGE CONDITIONS: The condition of ranges improved one percent between September 1 and October 1 and the condition of cattle and sheep held practically steady, according to the monthly livestock and range report of the United States Division of Crop and Livestock Estimates issued October 10. The composite condition of ranges, cattle and sheep, in the range country of sixteen western states) was reported as follows: October 1, 1930.................................................... September 1, 1930........ _ _ _ _ _ _ _ _ October 1, 1929.................................................... Five-year average................................................ Ranges 82 81 84 87.5 Cattle 85 86 88 90.6 Sheep 88 88 90 93.6 The October 1 condition for Tenth District states in detail follows: COLORADO: Range feed very good, with a large supply of hay, corn, small grains and enough feeds. Cattle being held back with a fairly heavy lamb movement. Few lambs have been bought for feeder sections. Cattle and sheep are in very good flesh. KANSAS: (Western)-Pastures improved in the southwest with rain, while in the northwest green feed is maturing slowly. Pastures are dry and short in a few places. Feed generally plentiful. Cattle in good condition. NEBRASKA: (Western)-Ranges and pastures good. Hay and other feeds plentiful. Cattle are being held with light shipments to date. Cattle in very good condition. NEW MEXICO: Range good in spots but dry and short in east central and southeast sections which were improved by early October rains. All stock in good condition but not up to a year ago. Very little demand for sheep and cattle. OKLAHOMA: Pastures poor. Early wheat pastures short. Cattle not in as good flesh as a year ago . WYOMING: Winter feed prospects better than indicated early. Ranges have improved with moisture. Hay crop light with considerable carryover of old hay. Feed prospects a little better than last month. Hay and feed ample in some sections, short in others. Stock water short in places. Stock generally in good condition. Meat Packing The larger supplies of meat animals at the six Tenth District markets during Septem her were reflected in increased operations at meat packing plants, the slaughter of all classes of meat animals during the month being greater than in August. The September slaughter of cattle fell 2.2 percent below a year ago, but that of calves increased 2.4 percent. Packers' purchases of hogs, including direct shipments, totaling 406,609 head, were 1 I 2,960 head below a year ago and, except for August this year, the smallest total for any month since September 1927. The 521,989 sheep that went to the killing beds in September was the largest September total since 1919. The returns on packers' purchases during the first nine months of 1930 show decreases from the previous year's total of 1.2 percent in cattle, 0.2. percent in calves, 17.4 percent in hogs and an increase of 17.3 percent in sheep. 6 THE MoNTHLY REvrnw Grain Movements Building Arrivals of wheat at the five principal markets in the Tenth District during the month of September totaled 17,650,990 bushels, I 8,464,630 bushels less than the receipts for August. In comparison with September, last year, the receipts for the month showed an increase of 1,703,880 bushels or 10.7 percent and were, with the exception of September 1928, the largest for that month in any year since 1924. Arrivals at the five markets for the first three months of the new crop year totaled 130,891,600 bushels, 9,038,990 bushels less than arrivals during the first three months of the 1929-1930 crop year. Number 1 hard and dark grades, which made up a large percent of the receipts, closed at Kansas City on a price range of 73½ to 80 cents a bushel, 7 to 8 cents under the August close and the lowest price since 1906. Milling demand was good but export demand poor. With the waning of the old crop season arrivals of corn declined to 3,530,950 bushels, 21.8 percent below those for August but only 1 percent below September a year ago. Declining wheat prices, improved crop and pasture conditions, and the feeding of wheat to livestock depressed corn prices, which closed the month 12½ to 14 cents per bushel under August prices and averaged approximately 11 cents per bushel below prevailing prices a year ago. Receipts of oats for the month were smaller than in August this year or in September last year. Arrivals of six classes of grain at the five markets were, bushels, as follows: Hutchinson .... Kansas City .. Omaha.- ......... St. Joseph...... Wichita .......... Wheat Corn Bushels Bushels 21,250 1,702,350 7,509,240 1,627,500 4,95o,4oo 1,275,400 2,167,500 573,000 1,321,500 33,800 Sept. 1930...... 17,650,990 Aug. 1930...... 36,115,620 Sept. 1929._._ 15,947,110 9 Mos. 1930._.180,284,820 9 Mos. 1929._.197,912/221 Oats Bushels Rye Bushels 380,000 171,000 229,600 590,000 386,000 21,000 7,5 00 In Barley Bushels 47,500 779,200 278,400 Kafir Bushels 101,500 3,000 5,200 51,700 1o6,600 --------- 3,530,950 1,377,000 408,100 1,313,200 59,900 344,800 994,650 43,100 340,700 788,200 135,800 54,003,300 12,785,500 1,007,000 4,061,700 3,125,6oo 51,464,6oo n,281,000 1,46o,200 4,028,700 6,492,600 4,512,950 1,734,500 3,565,100 1,857,000 The output of flour mills in the Tenth District was for the shorter month of September approximately the same as for August, the decrease amounting to only 1,602 barrels and, with the exception of August, was the largest monthly total reported since October 1929. Compared to September 1929, there was an increase of 58,518 barrels or 2.6 percent. During the first three months of the new wheat year these mills produced 6,930,576 barrels of flour compared to 6,954,336 b.irrels during the corresponding period last year. Production figures for the leading milling centers in the District, compiled from weekly reports to the Northwestern Miller, follow: Atchison .................................................... Kansas CitY··-·-·· · - - - - Omaha._ ..........- - - -···················· Salina.__············ - - - - · · · ················· St. Joseph.........._ _ _ __ Wichita-··-------- 701,345 n1,704 184,988 35, 11 7 16o,179 Outsidc ....- .--·········--- 995,676 Total.......................................................... 151,058 2,340,067 Albuquerque, N. M ·--····· ···············Casper, Wyo·-- ································· Cheyenne, Wyo ............................... . Colorado Springs, Colo.................... Denver, Colo ................................... . Hutchinson, Kans ............................ Joplin, Mo ........................................ Kansas City, Kans ......................... . Kansas City, Mo.............................. Lincoln, ebr·--······························· Oklahoma City, Okla ...................... Omaha, ebr............ ·-·-·················pueblo, Colo._................................... Salina, Kans............_ __ _ _ f hawnee, Okla ................................. . St. Jcseph, Mo·--···---- Topeka, Kans ..................... - --········Wichi ta, Kans .................................. EsnMATED CosT PERMITS 1930 1929 1930 192' 80,810 78 56 $ 136,425 $ 6,080 5,800 13 IO 36,560 26,88 39 26 100,088 75,020 67 69 571 684 91 7,000 885,350 48,075 33,370 32 33 16 19 37,400 42,o57 66 104 42,485 317,528 1, 1 52,550 167 231 393,700 62 94 104,040 176,995 297 1,044,05° 3,905,7 15 3o9 107 91 308,481 590,130 97 126 48,173 63,3-49 24 27 30,074 45,345 20 41 58,535 129,720 639,9 25 I 50,389 43 54 68 91 74,170 338,483 172 273 314, 223 987, 1 59 Total 18 cities, September.............. 1,951 Total 18 cities, 9 months.... - .......... I 5,890 Flour Production Sept. 1930 Barrels Building contracts awarded in the Tenth District during September amounted to $10,411,809 compared with $31,454,577 • in August and $20,882,768 in September last year, according to statistics compiled by the F. W. Dodge Corporation. September awards carried this District's total for the first nine months of 1930 to $231,711,954 compared with $187,714,154 for the corresponding nine months in 1929, reflecting an increase of 23.4 percent. Contracts awarded in September for residential construction increased 75.2 percent over August, which increase is above the average. The September total of residential construction awards amounted to $3,471,805, $1,492,318 greater than the awards in August this year but 990,774 below the awards in September 1929. Building permits issued in eighteen cities in this District in September were larger in number and value than in August but showed marked declines from those reported for the corresponding month last year. The record for the first nine months of the current year shows the value of 15,890 permits issued in eighteen cities, reporting to this bank, to have been $54,421,171, which compares with $62,135,451 as the value of 16,763 permits issued by the same cities during the like period last year. Aug. 1930 Barrels 1 4 2,973 716,332 n6,884 201,569 59,931 16.f,127 939,853 Sept. 1929 Barrels n6,505 697,9 23 95,551 163,174 146,467 161.729 900,200 s $ 4,339,484 $ 9,oo6,655 54,421,171 62,135,451 Lumber Sales of lumber at 175 retail yards in the Tenth District during September totaled 4,580,000 board feet, compared with 4,262,000 board feet in August, and 6,359,000 board feet in September 1929. Stocks of lumber at the reporting yards .on September 30 aggregated 40,116,000 board feet, against 41,543,000 board feet at the close of August and 43,829,000 board feet on September 30, 1929. The Sep tern ber business of the reporting yards is here compared with that for the preceding month and the corresponding month last year in percentages of increase or decrease: September 1930 Compared with August 1930 September 1929 7.5 ~8.o Sales of lumber, board feet .................................... Sales of all materials, dollar.,___ __ _ _ _ '20.0 -19.1 Stocks of lumber, board feet .. _ _ __ - 3-4 - 8.5 6.o -II.I Ou.tstandings, end of month .................................. Collections during month._.................................... . - 4•5 -21.l Actual production of lumber in the United Sta_tes for the first forty weeks ending October 4, of the current year., was 19 percent under the total for the corresponding period in 1929, 7 THE MONTHLY REVIEW • as indicated by reports to the National Lumber Manufacturers Association. Production exceeded both shipments and orders received which, were 22 percent and 24 percent, respectively, under the corresponding forty weeks in 1929. Reports of identical mills of all associations for the first forty weeks show aggregate production of u,790,663 M. feet this year, against 14,633,702 M. feet last year. Shipments totaled u,270,192 M. feet ancl orders received 10,847,433 M. feet this year as compared to 14,436,ho4 M. feet and 14,289,462 M. feet, respectively, for the corresponding forty week period in 1929. Cement September production of Portland cement at mills in this District was 1,493,000 barrels. This total was the lowest for any month since April of this year and the smallest September total since 1927. It was 10.2 percent less than the August total and 14.0 percent less than the total reported for September 1929. Production for the first nine months of the current year was 12,258,000 barrels, 1,203,000 barrels or 10.9 percent above that for the like period last year. Shipments during September declined to the lowest monthly total since March and were the lowest for any September since 1927. Stocks of cement on hand at the close of September exhibited a slight increase over stocks held on August 31, but, with that exception, were the smallest month-end holdings since December JI, 1929. The figures follow: Sept. 1930 Barrels Produceci ................................ - - - - 1,493,000 Shipped..................................................... . 1,485~000 Stocks, end of month ............................. . 2,154,000 Aug. 1930 Barrels 1,663,000 1,704,000 2,146,000 Sept. 1929 Barrels 1,736,000 1,900,000 1,273,000 1,340 wells drilling on September 1 this year was the smallest number on records dating back to January 1919. The summary: Wells Barrels Daily Dry Gas Rigs-Wells Completed New Production Wells Wells Drilling Oklahoma.......................... 296 714,461 77 35 729 Kansas.______ 117 11,799 46 35 245 Wyoming.......................... 18 2,625 2 5 147 Colorado............................ 6 3 3 92 N ew Mexico...................... 28 197,724 4 o 127 September,1930................ August,1930...................... September,1929................ 465 436 418 GROSS PRODUCTION *Sept. 1940 Aug. 1930 Barrels Barrels Oklahoma ...................._ __ 16,962,000 16,767,000 Kansas ...... ......................................... . 3,448,ooo 3,497,000 Wyoming ............................................ . 1,524,000 1,517,000 Colorado ............................................. . 1 33,C>Oq 130,000 New Mexico ....................................... . 1,397,000 1,276,000 23,315,000 *Estimated, American P etroleum Institute. Total.. .. ...... .......................................... 23,336,000 Sept. 1929 Barrels 21,372,000 3,959,000 1,666,000 182,000 z.16,000 27,395,000 The summary of field operations during September showed some increase over one month ago and one year ago in the number of wells completed. However, daily new production from completed wells in September was the largest recorded on eleven years' records, though only 6.3 percent above the August total which, prior to September, was the record month. The number of rigs and wells drilling on Octo her 1 were fewer than reported on Septem her l this year or on Octo her 1, 1929. The total of 132 134 170 98,555 78 58 28 1,340 1,454 1,680 Refinery operations in Oklahoma and Kansas combined, as indicated by the following figures, shows the daily runs of crude p~troleum to refinery stills, was larger on October 1 by 2.3 percent than a month ago but 5.1 percent less than a year ago. Oct. 1, 1930 Sept. 1, 1930 Oct. 1, 1929 Refineries in operation............................ 59 56 59 D aily runs crude oil to stills, barrels.... 286,oc50 279,550 301,560 Bituminous Coal The output of soft coal in this District increased seasonally in September and proauction for the month was 28.6 percent larger than during August, but 20.2 percent smaller than in September last year. The September production of 2,038,000 tons was the fargest for any preceding month this year since February, but the smallest September total recorded on ten years' records. During the nine months this year the mines in this District produced 16,515,000 tons of coal as compared to 20,138,000 tons produced in the like period in 1929. Estimated production of soft coal in the United States for the calendar year to October II, (approximately 241 workin.o- d~ys) was 355,071,000 net tons compared with 406,410,ooc net tons for the like period in the preceding year. Petroleum Gross production of crude oil in the Tenth Federal Reserve District during the first nine months of 1930 was 221,175,000 barrels, a decrease of 22,01 4,000 barrels or 9. 1 percent from the total officially reported for the first nine months of 1929. The production of crude petroleum in T enth District fields during September was at a higher daily average than in August by 3.4 percent, but as compared with the same month last year, there was a decrease in the daily average of 14.9 percent. However, the gross output for the thirty days of September fell 0.1 percent below that for the thirty-one days of August and was 14.9 percent below the total for September of last year: Figures showing the gross production, by states, follow: 926,609 871,915 Colorado.................................................... Kansas .... .................................................. Missouri ................................................... . ew Mexico ............................................. . Oklahom a................................................. . W yoming................................................. . Total.......................................................... *Estimated. *Sept. 1930 Tons 643,000 203,000 279,000 143,000 208,000 562,000 Aug. 1930 Tons 434,ooo 146,000 282,000 125,000 168,000 430,000 Sept. 1929 Tons 901,000 * ::45,ooo 290,000 200,000 297,oco 622,000 2,038,000 1,585,000 2,555,000 Zinc And Lead Zinc ore shipments in the Tristate District for the four weeks ending October 4 were slightly larger than in the preceding four weeks ending September 6, but 27.5 percent smaller than for the corresponding four weeks last year. Lead ore shipments during the four week period were 21.3 percent larger than during the preceding four weeks but 61.1 percent smaller than for the like period in 1929. Both classes of ore showed a substantial reduction in tonnage and value for the forty weeks ending October 4, this year, as compared to the same period last year. October II, lead prices slumped 1,5 a ton to a basis of $57.50, the lowest it has been since 1921, and zinc declined $1 a ton to the year's previous low of $29 a ton. These prices compare to $44 per ton for zinc and $87.50 per ton for lead, on the corresponding date a year ago. Zrnc ORE Tons Value Oklahoma ........................................ 22,415 'f, 688,056 Kansas·--········································· 101 287 316,942 15,577 Missouri.......................................... 504 Four weeks ending Oct. 4, 1930. __ . 33,206 Four weeks ending Sept. 6, 1930.. 32,270 Four weeks ending Oct. 5, 1929._. 45,815 'f, 1,020,575 1,019,101 2,015,860 LEAD ORE Tons 2,265 698 52 Value 'f, 147,225 45,37° 3,380 'f, 1 95,975 161,525 678,310 8 THE MONTHLY REVIEW National Summary of Business Conditions By the Federal Reserve Board ot Volume factory production increased by about the usual seasonal amount in September, while factory employment increased somewhat less than in other recent years. The general level of prices, which had advanced during August, declined during September and the first half of October. At member banks in leading cities there was a liquidation of security loans, and a considerable growth in commercial loans and in investments. I DUSTRIAL PRODUCTION AND EMPLOYMENT: Output of factories increased seasonally in September, while that of mines declined. The Board's seasonally adjusted index of production in factories and mines, which had shown a substantial decrease for each of the preceding four months, declined by about one half percent in September. Production of iron and steel, lumber, and cement decreased and the output of automobiles continued to be in small volume. Activity in the textile industries, including cotton, wool, and silk, increased substantially, and stocks of cotton cloth were further reduced. At bituminous coal mines there was an increase in output of more than the seasonal amount. Output of copper was larger than in August, and there was a further increase in stocks of copper. Anthracite coal and petroleum production and shipments of iron ore declined. Employment in manufacturing establishments increased less than is usual at this season, the increase being chiefly in fruit and vegetable canning and in clothing industries, while reductions in number of employees were reported for the iron and steel, automobile, and lumber industries. Outside of factories, increased employment was reported in retail establishments and coal mines. Residential building increased materially in ~eptember, contrary to the usual seasonal trend, while the volume of contracts for commercial buildings and public works and utilities decreased. Total value of building contracts awarded, as reported by the F. W. Dodge Corporation, showed little change during the month. In the first ten days of October there was an increase in the daily average volume of contracts awarded. PERCENT 1't0 HR CENT 1Lt0 PAODUCTIOIII Of MANUf I\CTURES AND. MINERALS E>epartment of Agriculture estimates, based on October I con- • ditions, indicate somewhat larger crops than the estimates made a month earlier for cotton, corn, oats, hay, potatoes, and tobacco. DISTRIBUTION: Freight car loadings continued at low levels during September, the increases reported for most classes . of freight being less than ordinarily occur in this month. Dollar volume of department store sales increased by nearly 30 percent, an increase about equal to the estimated seasonal growth. WHOLESALE PRICES: The index of wholesale prices on the average for the month of September as a whole, according to the Bureau of Labor Statistics, was at about the same level as in July and August. The movement of prices, however, was upward in August, reflecting chiefly advances in the prices of livestock and meats, while in September the movement was downward, reflecting declines in a large number of commodities, including grains, livestock, meats, cotton, and copper. In the first half of October there were wide fluctuations in many agricultural prices, decreases in prices of nonferrous metals, and considerable increases in the prices of sugar and coffee. BANK CREDIT: Security loans of reporting member banks in leading cities increased in the latter part of September, but declined rapidly early in October, the decline reflecting a large volume of liquidation in loans to brokers and dealers in securities. Commercial loans, which up to the last week in September had not shown the usual seasonal growth, increased by $150,000,000 in the following three weeks. The bank's holdings of investments continued to increase. In response to the seasonal demand for cmrency outstanding, volume of reserve bank credit showed an increase of $30,000,000, on the average, between the weeks ending September 20 and October I 8. Money rates in open markets continued at low levels. The yield on high grade bonds declined further until early in October, when bond prices declined and there was a corresponding rise in yields. 801-----4------+-------,f-----+-----180 601""'-----L--- - - ! . . - - ----''-----....__ _ _,.__,60 1927 1328 1929 WHOLESALE PRICES 120 I 110 1926 PER CENT PERctHT 120 1930 Index numbers of production of manufactures and minerals, adiusted for seasonal variations (1923-1925-100). L:itest figures September, manufactures 90, minerals 94. Farm Products 1-----+------¼-~~~,-=-~---t-----j 110 90 1-------------1 801vv-----'------'------'----_.._ _ _~80 193() 1929 1926 1927 1928 Indexes of the United States Bureau of Labor Statistics (1926 equal 100, base adopted by Bureau). Latest figures, September, farm products 8 5.3 1 food products- 89.2, other~commodities 82.8.
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