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THE MONTHLY REVIEW
Of Agricultural, Industrial, Trade and Financial
Conditions in the Tenth Federal Reseroe District
FEDERAL
RESERVE
BANK
OF
KANSAS
Cl TY
M. L McCLURE, Chairman and Federal Reserve Agent
A. M. McADAMS, Assistanr Federal Reserve Agent and Secretary
P. W. MoRGAN, Director of Research
Vol. I 5
KANSAS CITY,
Mo.,
C
ONDITIONS for agriculture, livestock, industry and trade
in the Tenth District improved substantially with the
passing of the prolonged period of excessive summer heat
and dry weather.
September crop reports, while disclosing some of the effects
of the drought, indicated growing crops and pastures made good
progress late in August after rains and cooler temperatures
bi:ought relief to the situation. Of sixteen field crops grown in
this District, yields of corn, tame and wild hay, grain sorghums,
spring wheat, and cotton, were estimated to be smaller than last
year and below the average for the five years, 1924 fo 1928,
inclusive. On the other hand, yields of winter wheat, oats, rye,
barley, sugar beets, white potatoes, sweet potatoes, dry beans,
broom corn, and tobacco, were estimated to be larger than last
year and generally above the five-year average.
Arrivals of wheat at primary markets declined sharply in
ugust, reflecting a tendency on the part of farmers to hold
wheat rather than sell at current prices. Market receipts of
corn, oats, rye and barley were larger than in the preceding month,
but, with the exception of an increase in corn, were smaller than
a year ago. Market supplies of all classes of meat animals,
except hogs, showed seasonal increases over July, but were smaller
than in August last year.
Production of manufactures and minerals, after continuing
through June and July at the low level of the year, expanded in
August but was considerably below the level of a year ago. The
August output of flour was the largest since last October. The
output of soft coal and cement, and shipments of zinc and lead
ores, increased, while production of crude petroleum was further
curtailed and smaller than a year ago.
The number of meat animals slaughtered at packing establishments during August showed a seasonal decrease from the
preceding month, but with the exception of hogs was larger for
all classes than in August last year.
The value of building contracts awarded in this District
during August increased nearly 70 percent over July, and was
considerably in excess of the value of awards in either August
1929 or 1928. However, the August value of new building projects started in reporting cities was smaller than either the preceding month or a year ago.
Retail trade at department stores expanded with the advent
of more seasonal weather. August sales averaged 16.6 percent
higher than in July but were 6.7 percent lower than in August
last year. The volume of merchandise distributed by reporting
wholesale firms averaged 5.9 percent higher than for the preceding month but 21.4 percent lower than for the same month
last year.
No.
OcTOBER 1, 1930
Io
SUMMARY OF BUSI ESS IN THE T E TH DISTRICT
Percentages of increase, or decrease (- ), for August over the preceding month
and the corresponding month las t year:
August 1930 compared with
Banking
.
July 1930 August ) 929
Bank debits, 29 cities.................................................. - 1.3
i. - 14.8
Federal Reserve Bank Clearings.-............................. - 7.9
-19.4
Loans, 56 member banks............................................ - I. 5
·- Io. 7
Investments, 56 member banks.......... ......................
8.1
4.4
Demand deposits, 56 member banks........................ - 3.8
- 4.3
Time deposits, 56 member banks..............................
I 1.2
14.3
Savings deposits, 49 selected banks..........................
1.4
- 0.2
Savings accounts, 45 selected banks..·-·····················
I.I
6.4
Distribution
Wholesalers' sales, 5 lines combined ........................
5.9
-21.4
Retailers' sales, 38 department stores... ....................
16.6
- 6.7
-33.7
Lumber sales, 176 retail yards·- --····························· - 3.3
Construction
Building contracts awarded, value............................
63.97
26.8
Building permits issued, 19 cities, value.................. - 36.6
-50.8
Grain receipts, 5 markets
- 8.5
Wheat............·- ··- ··-······················--····················--····· - 53.2
Corn .... .........................................................................
36.0
68.4
Oats ................................................ ........................... _....
183.9
-28.6
Rye_. ............................................................................. .
-49.6
304.2
-23.0
194.8
Barley......... ·- - - - ················-····························
-82.1
Kafu.....· - - - -- - -·····---························· - 44.4,
Livestock receipts, 6 markets
- 7.2
5.0
Cattle......... ·- - -·····-············-···························
Calves ........................................................................... .
I 1.6
54.0
---2'2.I
Hogs ...·-············-·············································-········· -'20.1
- '.l.9
'21.4
Sheep-- - - - - ·················································
Horses and mules ....................................................... .
-61.8
87:6
Production
4.1
- 4.7
Flour...... ·-·····································································
Coal........................................... _.................................. .
- 17.1
12.4
Petroleum ..................................................................... . - I.8
-17.2
- 7.0
2.4
Cemeot.. .. - - -- - -- ································
Zinc ore (shipped) tristate district............................
- 36.9
3o.4
2.1
-53.o
Lead ore (shipped) tristate districL--·····················
Meat packing, 6 cities
O.'.l
Cattle .........·- - - --············································· - 9.8
Calves...•- ..................................................................... .
25.0
9.8
- 2.7.6
Hogs .....·-·························-··········································· - 2 5.9
1 4•9
Shcep....·-························-··········•·································· - 5-9
Financial
The situation in the Tenth District experienced no important
change between August 13 and September 17. The demand for
funds at· banks continued light and the volume of loans outstanding ·was at the low level of the year. Rates remained low
and unchanged. Total deposits, reflected by statements of reporting member banks, were at a high level. Savings deposits in a
selected list of banks made f':lrther increase and.!were in about
the same volume as reported ·a year ago.
Total credit outstanding at fifty-six reporting member banks
This Copy Released For Publication In Afternoon Newspaper September 29
THE 11oNTHLY REVIEW
2
on September 17, at $66'.2,106,000, showed an increase of
f,1 I ,497,000 over that reported on August 13, but was $'40,876,000
less than that reported on September I 8, last year. Loans
totaling f,424,060,000 on the last reporting date, showed a decrease of $6,310,000 in five weeks and were $50,925,000 less than
a year ago, and the lowest reported since January 1928. On
the other hand the banks' investments increased $17,807,000
over the five-week period to a total of $238,046,000, which was
f,10,049,000 higher than a year ago and the highest reported
since March 20, 1929.
Demand deposits of the reporting member banks, totaling
$486,673,000 on September 17, showed little change in five weeks,
although time deposits increased f,21,193,000 during that period
and, with the total standing at $209,805,000, were the highest
on records from January 1921 to date.
A comparison of the principal resource and liability items
reported by the fifty-six member banks for the three dates here
mentioned indicate the changes in five weeks and one year:
Sept. 17, 1930 Aug. 13, 1930 Sept. 18, 1929
Loans and investments-totaL_ ..... $662,106,000 $650,609,000 $702,982,000
Loans and discounts-total.............. 424,060,000 430,370,000 474,985,000
Secured by stocks and bonds..·-··· 130,430,000
133,n4,ooo 141,550,000
All other loans and discounts...... 293,630,000 297,256,000 333,435,000
Investments-total............................ 238,046,000 220,239,000 227,997,000
U.S. Securities.............................. 101,368,000
91,017,000
103,065,000
Other bonds, stocks, securities...... 136,678,000 129,222,000 124,932,000
Reserve with F. R. Banlc...............
56,078,000
56,698,000
56,279,000
Net demand deposits........................ 486,673,cioo 506,001,000
508,589,000
Time deposits·-··································· 209,805,000 188,612,000 183,634,000
Government deposits........................
2,718,000
578,000
3,292,000
The volume of credit outstanding at the Federal Reserve Bank
of Kansas City on September 17, totaling $50,572,9·82, was
$4,467,225 higher than five weeks earlier and $6,945,450 higher
than on the corresponding date last year. This bank's holdings
of bills rediscounted for its members amounted to $8,835,297 on
September 17. With the exception of a slightly smaller amount
held on September 10, this total indicated the lowest borrowings
of member banks since March 1927. This bank's holdings of
acceptances increased $4,746,725 in the five-week period· to
f,13,001,685, which was the highest amount reported since
December 18, 1929. United States securities held, at f,28,736,000,
were the same as reported for each of the preceding thirteen
weeks and '1,27,429,000 higher than at the corresponding date
last . year.
Changes in the amount of credit outstanding and in related
items in five weeks and fifty-two weeks are indicated by weekly
condition statements of the Federal Reserve Bank of Kansas
City and branches:
Sept. 17, 1930 Aug. 13, 1930 Sept. 18, 1929
Gold reserves ...................................... $104,321,688 $112,349,536 $125,678,166
Reserves other than gold..................
6,051,760
6,007,058
4,141,927
Total reserves·--············· .. ··................ IIo,373,448
II8,356,594
129,820,093
Bills discounted..................................
8,835,297
9,114,797
34,347,575
Bills purchased·--········· .. ··········..........
13,001,685
8,254,960
7,972,957
U. S. Securities..................................
28,736,000
28,736,000
1,307,000
Total bills and securities..................
50,572,982
46,105,757
43,627,532
Total resources·--·········...................... 207,740,416 208,365,595
228,655,161
F. R. Notes in circulation................ 68,022,280
69,445,930
79,831,300
Total deposits....................................
88,857,309
go,899,610
92,049,838
Savings in Banks
Forty-nine commercial banks and savings institutions in leading cities of the Tenth District reported deposits in savings
accounts on September I amounting to 1,125,833,538, an increase
of f,1,769,810 or 1.4 percent over the 1,124,063,728 reported for
August 1, but a decrease of 1,201,629 or two-tenths of I percent
from the 1,126,035,167 reported for ~eptember I last year. A
tqtal of 415,814 savings accounts reported by forty-five banks
indicated g·ains of 4,404 a_c counts or 1.1 peJ,"c~n,t for the. month
and 25,027 or 6.4 percent for the year.
Payments By ChecK
Debits by banks to individual accounts in twenty~nine cities
in the Tenth District totaled $1,611,072,000 for the five weeks
ending September 3, a decrease of $21,792,000 or 1.3 percent
from the preceding five weeks, and $280,541,000 or 14.8 percent
less than the total for the corresponding five weeks last year.
Bartlesville and Colorado Springs, with increases of 38.2 percent and 7.7 percent, respectively, were the only cities to report
larger amounts of debits or payments by check than last year.
The reports by cities:
·
FIVE WEEKS ENDING
Albuquerque, . M·--·········· ... ··· .....
Atchison, Kans................................
Bartlesville, Okla..............................
Casper, Wyo......................................
Cheyenne, Wyo................................
Colorado Springs, Colo..........:.........
Denver, Colo....................................
Enid, Okla........................................
Fremont, I ebr·-·······························
Grand Junction, Colo......................
Guthrie, Okla....................................
Hutchinson, Kans............................
Independence, Kans ........... .'............
Joplin, Mo.... ....................................
Kansas City, Kans..........................
Kansas City, Mo..............................
Lawrence, Kans................................
Lincoln, ebL.................................
Muskogee, Okla.........................:......
Oklahoma City, Okla......................
Okmulgee, Okla................................
Omaha, Nebr....................................
Pittsburg, Kans................................
Pueblo, Colo. __ .................................
Salina, Kans......................................
St. Joseph, Mo·-·······························
Topeka, Kans·--·····················--········
Tulsa, Okla........................................
Wichita, Kans..................................
Sept. 3, 1930
1,
13,661,000
6,543,000
31,523,000
6,878,000
7,313,000
22,310,000
191,060,000
25,846,000
3,621,000
3,.J78,ooo
3,127,000
23,083,000
9,774,000
10,400,000
21,404,000
468,017,000
4,653,000
34,869,000
10,768,000
125,883,000
5,042,000
239,817,000
Sept. 4, 1929
$
l 3,896,000
7,726,000
22,813,000
7,966,000
9,892,000
20,718,000
233,986,000
26,564,000
5,0 55,000
4,335,000
20,093,000
16,387,000
52,024,000
22,528,000
159,754,000
66,157,000
3,649,000
38,486,000
15,289,000
16,187,000
23,194,000
564,171,000
5,7°3,000
41,070,000
12,665,000
133,157,000
7,592,000
276,991,000
6,776,000
23,465,000
19,647,000
69,580,000
22,861,000
171,321,000
86,858,000
Total 29 cities, 5 wks .................... 1, 1,6u,072,ooo
Total 29 cities, 35 wks.................... 11,902,175,000
1, 1,891,613,000
13,ou,973,000
5,159,000
Percent
Change
-
1.7
-
1 5.3
38.2
1 3.7
-26.2
-
7.7
-18.3
- 2.7
-28.4
-22.l
-l4.3
-40.0
-36.1
-35.7
- 7.7
-17.0
-18.4
- 15.1
-14.2
-
5.5
· -33.6
- 1 3.4
- 2 3.9
-14.4
-16.6
-25.2
-
1.5
- 6.8
-23.1
-14.8
- 8.5
Reserve Bank Clearings
Check collections through the Federal Reserve Bank of Kansas
City and branches for banks in the Tenth District during five
weeks ending September 3 were 7.9 percent smaller than in the
preceding five-week period and 19.4 perceht smaller than in the
corresponding five weeks in 1929. The number of items handled
and the amounts are here shown for periods of five weeks and
thirty-eight weeks:
Items
Five weeks ending Sept. 3, 1930......................... .
6,190,010
Five weeks ending July 30, 1930........................ 6,579,160
Five weeks ending Sept. 4, 1929......................... .
6,570,726
Thirty-five weeks ending Sept. 3, 1930............. . 46,928,157
Thirty-five weeks ending Sept. 4, 1929.............. 47,375,699
Amount
1, 938,818,584
1,018,832,464
l ,164,328,876
7,097,297,956
7,875,861,982
Business Failures
While there were fewer business insolvencies in the Tenth
District during August than in either July of this year or August
of last year, the amount of indebtedness involved in the August
failures was larger than either the preceding month or the corresponding month last year. Failures in this District and in the
United States, as reported by R. G. Dun & Company, follow:
TENTH DISTRICT
Failures
August 1930....................:... :...............
99
July 1930............................................ 124
August 1929........................................
95
UNITED STATES
Liabilities Failures Liabilities
$2,944,200 1,913 149,180,653
r,893,300 2,028
39,826,417
1,6o9,201
1,762
33,746,452
•
THE MONTHLY REVIEW
3
of August as a result of rains and lower temperatures, and while
Farm Crops In The Tenth District
On the basis of conditions of the first day of September, the condition on September 1 reflected better yields than had
·
yields of five important farm crops grown in the Tenth Federal been expected the crop is decidely spotted.
Reserve~District were estimated to be sm~ller and yields of ten
Nebraska corn made marked improvement during August, with
important.,.field_crops were estimated to be larger than in 1929. prospects for a nearly average yield. The September 1 estimated
The corn crop, which in most parts of the District area suf- production of 226,258,000 bushels showed a gain of 32,323,000
fered severly from the summer drought, is expected to be the bushels over the August 1 estimate, giving that state second
smallest since 1926. Crops of cotton, tame and wild hay, and rank among the corn producing states of the Union, Iowa taking
grain sorghums, seem to have been somewhat reduced because first place.
of the long period of hot and dry weather, and now promise
Colorado growing conditions were unusually favorable during
smaller production than the average for the five years, 1924 to August and the corn crop of 27,320,000 bushels showed a gain of
1928, inclusive. The spring wheat crop was to an extent affected 6,830,000 bushels over the August estimate, promising the second
by the unfavorable conditions at the critical stage of growth and largest production on record for that state. Wyoming corn also
maturity and the harvest returns.)ndicate the yield to be the · improved in condition during August as a result of warm weather
smallest since 1926.
and ample moisture, the report showing a gain of 531,000
· . On the other hand, the winter wheat crop was matured, har- bushels during the month.
ew Mexico reported a decline of
vested and out of the way before the drought became effective, 110,000 bushels during August.
and this year's production is estimated to be about 24,000,000
In Kansas, relief from the heat wave and increasing precipibushels above that for 1929 and about 40,000,000 bushels above
tation that began in the second week of August was sufficient
the average for the five years preceding 1929. The oats crop
to maintain the August 1 prospect of 76,164,000 bushels, but
is one of the largest and finest ever grown in this region,
failed to materialize much improvement over large areas of the
while crops of rye, barley, sugar beets, white potatoes, sweet
southern two-thirds of the state. The report said: "It is
potatoes, dry beans, tobacco and broom corn indicate higher
apparent that injury from extreme heat was more severe than
yields than last year and generally above the average.
from lack of moisture. With ample subsoil storage moisture
TENTH DISTRICT
UNITED STATES
available on July 1 the corn could have withstood normal temEstimated , Yield
Estimated
Yield
peratures and come through to much better yields.'' From
Sept. 1, 1930
1929
Sept. 1, 1930
1929
Winter wheat, bus._ ........... 279/277,000 255,306,000 597,392,000
577,784,000
Phillipsburg west to the Colorado border and extending south
Spring wheat, bus .............. II,167,000 12,187,000 240,369,000
228,006,000
to include Sherman and Thomas counties very little damage to
All wheat, bus ................ 290,444,000 267,493,000 837,761,000
805,790,000
to corn is apparent, and these counties will all produce average
Corn ..·-········----······382,658,ooo 445,415,000 1,982,765,000 2,614,307,000
yields well above 20 bushels per acre.
Oats, bus·-···························167,548,ooo 152,447,000 1,390,892,000 1,233,574,000
Barley, bus .......................... 51,166,000 50,021,000 323,000,000
304,000,000
Oklahoma's corn crop was reduced 4,352,000 bushels during
Rye, Bus.............................. 7,025,000 5,550,000
46,700,000
40,500,000
August
to a September 1 promise of 31,844,000 bushels, as a
Grain sorghums, bus.......... 34,736,000 45,363,000
82,900,000
101,000,000
1esult of the summer's drought and excessive heat. The condiWhite potatoes, bus .......... 34,478,000 31,933,000 339,278,000
359,796,000
Sweet potatoes, bus.-......... 1,718,000 1,621,000
63,100,000
84,700,000
rion indicated an average of 9.5 bushels an acre compared with
Dry beans, bus.......... ........ 3,683,000 3,543,000
19,500,000
19,700,000
t6 bushels last year.
Tobacco, lbs........................ 2,961,000 2,714,000 1,420,947,000 1,519,081,000
According to the Missouri report, "The corn yield in 1930 i&
Sugar beets, tons................ 4,634,000 4,153,000
8,200,000
7,300,000
the lowest (with only the exception of 1901) in the past thirty
Broom corn, tons·--··········· 40,846,000 35,800,000
53,700,000
47,200,000
Tame hay, tons .................. n,5 84,000 12,348,000
82,100,000
101,800,000
years. Missouri corn lost heavily during August, mostly in
Wild hay, tons.................... 4,405,000 5,093,000
12,006,000
12,900,000
the first nine days of the month, without rain, temperatures
Cotton, bales......................
916,000 1,169,000
14,340,000
14,828,000
mainly above 100 degrees, and hot winds. However, deteriorSource: United States Department of Agriculture and State Boards of
ation continued in some sections up into the first days of SepAgriculture.
THE COR CROP: A September promise of 382,658,000 tember. Since that time rather general rains having stopped
bushels of corn for the Tenth Federal Reserve District is most of the losses, although the damage in the larger portion of
30,593,000 bushels more than the August estimate, 62,757,000 of the acreage was beyond repair by the ten th of August.''
Best Missouri corn conditions are reported in the northwestern
bu·shels less 'than last year's production, and 76,693,000 bushels
below the average for five years, 1924 to 1928 inclusive. The part of the state where eleven counties, all in the Tenth District,
following summary shows the estimated production of corn in reported yields of from 14 to 28 bushels per acre, as compared
each of the seven states whose areas or parts form the Tenth with the state average of 13.8 bushels per acre.
District, for September 1, compared with the estimate and the
COTTON: A 1930 crop of 14,340,000 bales of cotton in the
final yield for 1929 for comparison:
United
States from 44,791,000 acres left for harvest was indicated
Estimated
Production
Estimated
by September I condition of 53.2 percent of normal, according
Sept. 1, 1930 Aug. 1, 1930
in 1929
Bushels
to the crop reporting board of the Department of Agriculture.
Bushels
Bushels
Colorado ....... _............................... 27,320,000
20,490,000
23,222,000
This production figure indicates a decrease of 22,000 bales £rpm
106,802,000
Kansas........... ............................. .
76,164,000
76,164,000
the estimate reported one month earlier, and a decrease of 488,000
109,557,000
Missouri ........................................
126,524,000
81,724,000
bales or 3.2 percent from the 14,828,000 bales produced in 1929.
193,935,000
237,744,000
Nebraska....................................... . 226,258,000
4,180,000
New Mexico................................. .
3,614,000
3,504,000
The report in detail shows the eight cotton producing states
Oklahoma..................................... . 31,844,000
36,196,000
48,320,000
lying west of the Mississippi River had a September 1 promise
2,832,000
Wyoming..................................... .
3,009,000
3,540,000
of 7,463,000 bales, or 52.1 percent of the entire United States
production. Last year these eight states produced 8,050,000 bales
Seven States.................................. 450,354,000
442,965,000
549,624,000
TENTH DISTRICT.................. 382,658,000
352,065,000
445,415,000
or 54.3 percent of the Nation's cotton. The September estiThe official Federal and State crop reports, based on the mates indicate Texas, New Mexico and Arizona probably have
September 1 condition, indicate this year's corn crop in Tenth produced more cotton in 1930 than they did in 1929, while in
District states made substantial improvement in the last half Oklahoma, Arkansas, Louisiana, Missouri and California this
THE MONTHLY REVIEW
4
year's crops are reported as smaller than those for last year.
The".table which follows shows the number of acres for harvest
and ...the estimated production for September, with comparisons:
Estimated
For Harvest Estimated
LSept. 1, 1930 Aug. I, 1930
1930
Bales
Bales
Acres
4,321,000
Texas................. ·-·············· 16,975,000
4,496,ooo
Oklahoma .......................... 3,954,000
1,072,000
925,000
1,106,000
Arkansas ............................ 3,912,000
940,000
· Louisiana ...................... ,... 2,040,000
632,000
649,000
Missouri ........
{148,000
153,000
373,000
New Mexico......................
130,000
97,000
tl 97,000
212,000
162,000
Arizona .... ..........................
159,000
268,000
224,000
224,000
California...... ·-···-··-······
Eight S. W. States .......... 27,864,000
Total United States·--····· 44,791,000
7,463,ooo
14,340,000
7,942,000
14,362,000
Yield
1929
Bales
3,940,000
1,143,000
1,435,000
809,000
220,000
90,000
153,000
260,000
8,050,000
14,828,000
FALL SOWING OF WINTER WHEAT: Reports received
by the United States Department of Agriculture on farmers
intentions to plant winter wheat indicated the acreage to be
;: sown· in · the fall of 1930 would be smaller than in 1929 and also
below the average for the five years preceding 1929. Areas to
be sown in the five leading Tenth District states follow:
Fall of
1930
Acres
1,442,000
Colorado.......... - -- -··················
Kansas·--············································· 11,799,000
Missouri .............................................. 1,395,000
3,168,000
Nebraska. __··-············-·················-····
Oklahoma............................................ 3,764,000
12,687,000
1,516,000
3,641,000
4,326,000
Five-Year
Average
Acres
1,4.68,000
11,786,000
1,794,000
3,504,000
4,466,000
21,568,000
41,392,000
23,720,000
43,361,ooe
23,018,000
42,670,000
Five States..........................................
United States.. ....................................
Revised
1929
Acres
1,550,000
G r ain Marketing
A sharp decline; in marketward movements of wheat, and
moderate increases in movements of most other grains, featured
the August reports from five primary markets in the Tenth
District. Receipts of 36,115,620 bushels of wheat during the
month were 41,009,370 bushels or 53.2 percent less than in July,
and 3,367,090 bushels or 8.5 percent less than in August last
year. Low prices of wheat accounted for much of the curtailment, as this year's production in this District exceeded tliat for
the preceding year by approximately 24 million bushels.
The movement of old corn to the five markets became quite
heavy after the August rains set in and receipts of 4,512,950
bushels for the month were.' 1,194,850 bushels above those for
July and 1,833,150 bushels~.above those for August last year.
August receipts of oats were 1,734,500 bushels, an increase of
1,123,500 bushels over July, but 695,000 bushels less than a year
ago. Receipts of rye and barley were heavier in August than in
the preceding month, but lighter than a year ago. Kafir receipts
during the month were in smaller volume than in any previous
month since October 1923.
.I
The table which follows shows August receipts of six classes
of grain at each of the five markets with comparisons:
Wheat
Corn
Bushels
Bushels
Hutchinson...................... 4,139,100
28,750
Kanus City ..
11,680,010 2,203,500
Omah
- ··· 14,448,000 1,66o,400
586,500
St. Joseph .......... ·-··········· 2,226,000
. Wichit
3,622,500
33,800
·August I9JO······-············ 36,115,620
July 1930._ _ _ _ _ 77,I'J.41990
August 1929,_ _ __ J9,.81,71d
Eight Months 1930........ 162,633,830
Eight Months 1929........ 181,965,100
4,512,950
3,318,100
2,679,800
50,472,350
47,899,500
Oats
Bushels
Rye
Bushels
656,000
III,000
.231,000
1,500
1,300
678,000
396,000
4,~oo
Barley
Bushels
78,750
459,200
316,800
38,500
101,400
------
i,734,500 344,800 994,650
6n,ooo
85,200 . 337,350
2,4.29,500 684,100 1,292,300
n,408,500 598,900 2,748,500
9,424,000 r ,u9,500 3,240,500
Conditions In The Range Country
Range feed in the' Western States is short because of lack of
mcisture during the summer months, but livestock are generally
in good condition, according to the monthly livestock and range .
report of the United States Division of Crop and Livestock
Estimates, issued Septe!,11ber 10. The report covers the entire
range country in sixteen Western States, with the coro'posite
condition of ranges, cattle and sheep (the percent of normal) as
follows:
September 1, 1930::....:.;..............._ _ _ _ _
August 1, 1930.___________
September 1, 1929,- -- -- - · ·················
Ten-year averag<---- - - -- - -
Ranges
81
82
83
87.5
Cattle
86
87
87
90.-4-
Sheep
88
89
9<'
93- 2
The report in detail shows the condition on September
Tenth District states as follows:
I
in
COLORADO: Range feed improved with above· normal August rains in
all except extreme southeastern counties and good fall and winter grazing is
in prospect. Late hay crops making good growth and hay supplies will be ample.
Livestock making satisfactory gains and condition is very good. Tendency
is to hold cattle at present' 1ow prices· and shipments will be later than usual.
There is little restocking. ·
KANSAS: (Western)-Ranges in northwestern and west-central district
improved with August rains. Southwestern counties dry and grass mad~ little
growth. Cattle in good condition with ample water and grass even though some
ranges are dry in appearance. A fair feed crop is in prospect.
NEBRASKA: (Western)-Ranges and cattle condition improved during
August. Hay and feed supplies generally very good. Due to unsatisfactory
prices many cattle are being held back. Very little contracting.
NEW MEXICO: Condition of ranges and livestock improved during August
but ranges are becoming dry and general rain is needed over most of state.
Feed supplies generally ample. Prospects for fairly good fall and winter grazing. Very few contracts and sales.
OKLAHOMA: The long drought was only partly relieved by rains the last of
August. Pasture condition dropped and yields of hay and feed crops will be
light. Cattle condition poor because of high temperatures, lack of adequate
pasturage and feed stuffs. Marketing will be later than usual. Cattlemen
reluctant to sell at present prices. There is little restocking.
WYOMING: Heavy August rainfall improved range conditions. Wet
weather was unfavorable for haying and caused some damage. Hay crop short
but there was good carryover from last year. Cattle and sheep in good condition but Iambs will probably be light, particularly in dry areas. Little demand
for lambs or old ewes. Present indications are that less cattle will be shipped
with tendency to hold calves and young heifers.
Livestock Movements
The August supply of meat animals at Tenth District markets,
although seasonally larger than in July for all classes except hogs,
was the smallest for August in recent years. Prices of cattle
and hogs at the close of August were higher than at the close of
July, while prices of sheep remained steady and prices of lambs
were · lower. .
·--•~r l
Cattle receipts at the six leading markets totaled 337,92.1
for the month, 15,964 more than in July but 26,291 less than in
August last year, and the smallest August receipts on twelve
years records.- The small marketward movement in August
indicated few forced liquidations of cattle because of dry weather
and feed shortage. On the other hand, many grass cattle that
usually come to these markets in August were held in pastures
because of unsatisfactory market prices.
Receipts of sheep and lambs totaled 685,990 for the· month,
121,006 more than in July, but 20,506 less than a year ago, and
the smallest August receipts since 1927.
Hogs received in August totaled 592,417, including direct
shipments· to packers; arid smallest number received in any
month since November 1927, and the smallest for August since
1925.
Horses and mules arriving at the six markets totaled 3,287
for August against'1,752 for July and 8,611 for' August 1929. •
Movements of stock -and feeding ·c attle from ·four reporting
markets to the country showed material increases for August over
•
· Tiu
MoNTBLY REv1sw
5
AUGUST IOVEMENT OF LIVESTOCK IN THE TE TH DISTRICT
R&eElPTS
Kansas City............................. .
Om,ha..- ................................. .
St. Joscplt._.............................. .
IJenver_····-······························
Oklahoma City ....................... .
Wichita..................................... .
Cattle
144,Jfl
98,994
43,474
14,411
21,986
14;-704
Calves
38,705
9, 2 93
8,6,.6
2,999
13,650
5,741
August 1930.............................. 337,9 21
79,014
July 1930.................................. 321,957 51,302
August 1929.............................. 364,21.z 70,819
8 Months 1930.......................... 2,785,598 431,873
8 Months 1929.......................... 2,727,456 412,314
*Includes 73181 hogs ilirec:t to packers' yards.
*
STO CKERS AND F E E DE.RS
Hogs
188,343
Sheep
121,144
2 30,33 1
356,452
90,768
105,t27
J0,3~
95,757
20,648
3 1,958
2,809
4,701
Cattle
38,735
13,728
5,344
3,979
59Z'4 17
741,617
685,990
564,984
706,4~
759,979
6,812,734 5,625,052
7,708,'J.OO 5, 235, 2 56
61,786
37,871
102,230
548,061
557,318
the previous month, but were the smallest for August in ten years.
The August movement of sheep from the four markets to the
country, totaling 178,473, was the ~mallest for August since the
year 1923.
·
Meat Packing
The August slaughter of meat animals at packing plants
located at the six leading livestock market centers in the Tenth
District, as indicated by packers• purchases, was smaller than
in July for all classes except calves, but larger than in August
last year for all classes e~cept hogs.
The number of cattle slaughtered during the month totalec1
188,878 a decrease of 20,451 from July but a small increase of
320 over August last year. The month's slaughter of 49,360
calves showed increases of 9,886 over the preceding month and
4,397 over the corresponding month last year.
Sheep and lambs killed and dressed during the month were
394,975 in number, 24,545 less than in July but 51,260 more~than
a year ago.
The August slaughter of hogs, at 394,652 head, was the smallest
re corded for an August on records covering twelve years.
Flour Production
Production of .flour at reporting mills in the Tenth District
for the month of August was the largest for any month since last
October. The 2,341,669 barrels produced during the month was
92.,829 barrelsfgreater than the July output, but H4,931 barrels
less than the output for August last year. Production figures
for the leading milling centers, compiled from weekly reports
to the Northwestern Miller, follow:
.
Atchison ....................................................
Kansas CitY- ·····- ··········--····•·--·-·--·····
Omaha·-··- ····················-····························
Salina. ___ ···················································
St.Joseph ..................................................
Aug. 1930
Barrels
1 4 2 ,973
716,33'2.
n6,884
201,569
59,93 1
Outside_ .... ···········-···································
164,127
939,853
Total.... ......................................................
2,341,669
Wichita ..................................................... .
July 19.,0
Barrels
132,817
638,6:n
Il3,3 2 5
183,'lo6
87,770
180,394
912,707
Aug. i929
Barrels
138,587
750,416
11 4,657
204,735
114,143
1 54,655
979,407
Cement
The production of Portland cement at mills in the Tenth District continued in heavy volume during August, with the month's
output of I ,663,000 barrels showing an increase of 39,000 barrels
over that for July~ However, the month's output was sm-aller
by IZ4,ooo barrels than in the corresponding month .in 192.9.
The number of barrels produced and shipped during August, and
stocks on hand at mills at the close of the month ,with comparisons, follow:
Aug. 1930
Barrels
Produce....__ _ _~ - - - - - - 1,663,000
Shipped .......................... ·
· 1,704,000
Stocks, cod of moat1'.·--························ z,1,p,000
July 1930
Bar.reli
1,6~,000
1,712,000
2,189,000
Aug. 19~9
Barrels
r,787,000
2,141,000
1,444,oc,:,
Calves
2,660
2,661
1,985
771
Hogs
4,633
957
1,023
802
8,077
7,415
J1 II2
5,94-7
10,408
10,669
93,588
137,899
66,844
61,630
PURCHA SED F OR. S LAUG HT E R
Sheep
16,724
137,742
13,822
10,185
178,473
70,498
289,315
635,597
9 19,449
Cattle
63,856
64,970
30,375
8,720
14,226
6,731
Calves
H ogs
'll,440 • IJ'.2,'230
6,632
139,133
5,766
56,818
1,909
20,520
11,610
16,031
2,003
29,920
188,878 49,360
209,329 39,474
188,558 44,963
1,501,274 289,547
1,517,319 291,498
Sl\eep
99,72.0
181,032
89.6o9
t8t740
1,891
3,~3
394,652
53 2,456
394,975
419,520
545, 105
343,7"5
4,890,348
3,618,593
5.895,585 3,n7,409
Petroleum
The production of crude oil in the varoius fields of the Tenth
District in the month of August ran at a daily average of
772,500 barrels, the smallest daily average recorded for any
month since January 1927. This daily average compares with
787,<:XXJ barrels for July of this year and 932,800 barrels for August of last year. This marked decrease from July was due to
curtailment of the output in Oklahoma in pursuance of a conservation program, as there were increases in each of the other four
producing states. August production, compared with that for
the same month last year, shows decreases for Oklahoma, Kansas,
Wyoming and Colorado, and a notable increase for ew Mexico.
The production of crude oil in each of the five states follows:
DAILY AVERAGE PRODUCTION
*Aug. 1930 July 1930
Barrels
Ban-els
Oklahoma ................................................. .
560,100
579,000
I I 5,700
I I 5,000
Kallias·- --························· ................... .
48,100
46,000
Wyoming.... ......................... •·······-···········
Color.a.do....................................................
4,500
4,000
New Mexi co..............................................
44,100
43,000
Aug. 1929
Barrels
7JO,IOO
135,000
56,900
6,100
4,700
93'l,8oo.
Total.· -·······································••v••·········
772,500
GROSS PRODUCTION
*Aug. 1930 July 1930
Barrels
Barrels
Oklahoma .................................................. 17,364,000 17,942,000
3,57 1,000
Kansas·--········•·••······································· 3,587,000
1,415,000
Wyoming..................... •-····--···········-······· 1,490,000
Colorado....................................................
138,000
137,000
ew Mexico.............................................. 1,368,000
1,331,000
TotaL ............................ ·-··········-····-······· 23,947,000
*Estimated, American P et roleum Institute.
Aug. 19~ ·
Barrels
22,632,000
4,1&6,000
1,764,000
189,000
145,000
z4,3g6,ooo
28,916,000
Field developments for August show increases in the number
wells completed and the number of barrels daily new production
both over the preceding month and the same month last year.
However the number of rigs and wells drilling on September 1,
was smaller than on either August. I thi's year or September 1
last year. The summary:
Wells
Completed
Oklahoma~························
z92
Kaosas--·······-··················
101
Wyoming..........................
20
Colorado............................
5
New Mexico......................
18
August 1930......................
July 1930..........................
August 1929......................
436
394
430
Barrels Daily
Dry
Gas
ew Production Wells Wells
730,669
16,40~
1,704
0
123,138
·s71,915
614,421 .
83,989
85
35
30
'J.7
6
5
3 .
Rigs-Welts
Drilling
819
~5s
148
0
t95
9..
' .IJ7 '
.134_
5$
l'lJ _
40
37
J,454 ..
1,6ll ..
163
1 1 702
.
Refineries in Oklahoma and Kansas, as indicated by the following figures, were lesi active on September 1. than a month c~rlier
or .a year ago:
.
.
Sept, 1, 1930 Au.g. 1, 1930 Sept.. 1, 19li
R.d ineries ui operation, number.... ........
56
57
59
Daily runs crude oil to stills, barrels.... 279,550
290,4,0
313,300
6
THE MoNTHLY REvIEW
Zinc and Lead
Tristate D·i strict shipments of zinc ore during t~e five weeks
end1ng September 6 incre·ased · 30.4 percent over shipments for
the five weeks ending August 2, although they fell 36.9 percent
~eioi shipments for the corresponding five weeks last ' year.
Shipments of lead ore during the last five-week period increased
2.1 percent over the previous five weeks but were 53 percent
below the corresponding period last year. The record for the
first thirty-six weeks of 1930 showed shipments of zinc ore were
29.4 percent smaller and shipments oflead ore 53.1 percent smaller
than for the like period in 1929. The average price paid for zinc
ore during the first three weeks of the period under review was
$32 per ton and during the last two weeks $31 a ton, as compared
with $44 a ton year ago. The price paid for lead ore continued
steady at $65 per ton, which was '$20 a ton below the price paid
a, year ,ago. · Ore shipm~nts c. and their ·values by five-week
periods .follo_w:
a
Zrnc ORE
L EAD
Tons
Value ·
Tons
Oklahoma ............. ::...·.................................. 27,727 '$ 877,476 2,794
Kansas ........................................................ 11,478
363,659
605
Missouri......................................................
520
16,526
91
Five weeks ending Sept. 6, 1930.............. 39,725 $1,257,661 3,490
Five weeks ending Aug. 2, 1930.............. 30,475
907,055 3,418
Five weeks ending Sept. 7, 1929.............. 63,003 2,772,1 32 7,433
ORE
Value
181,61D
39,32 5
5,9 15
$226,850
205,080
632,005
Bituminous Coal
Productive activity at the soft coal mines in the Tenth District increased during August and the output of coal was 181,000
tons greater than that for July, but 337,000 tons less than that
for August 1929. Tonnage of coal produceq during August,
with comparisons, follow:
Colorado ................................................... .
Kansas....................................................... .
Missouri ................................................... .
New Mexico ............................................. .
Oklahoma ................................................. .
Wyoming .... ............................................. .
Total.........................................................
*Estimated.
*Aug. 1930-f July 1930
Tons
Tons
465,000
446,000
147,000
138,000
287,000
252,000
128,000
125,000
173,000
140,000
436,000
354,000
1,636,000
1,455,000
Aug. 1929
Tons
612,000
220,000
226,000
200,000
225,000
490,000
1,973,000
Production of soft coal in the United States during the calendar year to September 6 (approximately 21 I working days)
amounted to 309,066,000 net tons, as compared with 349,797,000
net tons for the corresponding period in 1929.
Lumber
The retail lumber trade at 176 reporting yards in the Tenth
District during August was 3.3 percent below that for July and
33.7 'percent below that for · August last year. Sales of lumber
for the month totaled 4,262,000 feet, against 4,407,000 feet for
the preceding month and 6,429,000 feet a year ago. Stocks of
lumber at the end of August were 41,543,000 feet, 1,157,000
feet less than a month earlier and 3,914;000 feet less than a year
ago. The percentage of- increase or decrease for August over
the preceding month and t4e same month last year follows:
.
·
August 1930 compared to
..
,
·
.
.
July 1930 August 1929
Sales of lumber, board feet............................................
- 3.3
-33.7
Sales of all materials, dollars......:........: .................. ."....... - 0.2
- 30.0
Stock~ of lumber, board feet ................................. .'........ - 2.7
- 8.6
~1\:~~:~~~~~1~: :o::~~:::.·.·.~~::::::::::::::::::::::::::::::::::::-
-
1
~:~
=;~:~ .
A s·urvey by the Southwestern Lumbermen's Association -for
the purpose of ascertaining the effect of the summer · drought
on the retail lumber business in Missouri, Kansas, · Oklahoma
and Arkansas brought replies from 716 yards, or nearly . one-.
fourth of the 3,000 retail yards in the four states. The· stµdy
was based on the eff~ct of the drought on business for the season
and not on the volume for the entire year to date. Northern
Missouri and northern Kansas were least affected by the dry
weather conditions and northwestern Kansas was enjoying
better than normal business. Many of the replies stated the low
price of farm products was a far more serious factor than the
drought. A summary of the replies follows:
Trade: 148 yards reported normal business; 173 yards reported business considerably off; 395 yards reported an average
reduction in volume of 29 percent.
Collections: . 17 5 yards reported collections satisfactory; 541
yards reported collections bad.
Stocks: 375 yards reported stocks of lumber were normal; 341
yards reported stocks of lumber averaging II percent under
normal.
L'Qmber production in the United States in August was at the
low level . of the current year while orders· received showed a
small gain over July,' as indicated by reports of associati'ons to
the National Lumber Manufacturers Association. Con.1parati;e
statements of identical mills show actual production of lumber
during the thirty-five weeks of. the current year to August .30
totaled 10,535,790,000 feet, against 12,734,469,000 feet for the
like period in 1929, these totals indicating a decrease of 17 percent for this year. Shipments of 9,957,400,000 feet for the thirtyfive weeks of this year .compare with 12,678,215,000 feet for
the like period last year, a decrease of 21 percent. Orders received were less than productio~ and 24, percent below last year.
•
Building
The August value ·of building contracts a~arded in the Tenth
District was greater than in any previous August in the six years
the statistics compiled from the F. W. Dodge Corporation reports
have appeared in the Monthly Review. Lettings during the
month amounted to $31,454,577, which compares with '$19,180,779 for July and $24,801,697 for August last year.
The value of building contracts awarded in this District in
the first eight months of 1930 amounted to $221,300,145, compared with $166,831,386 for the like period in 1929 and
$179,194,409 for the like period in 1928.
New building projects started in nineteen cities.of the Tenth
District during August aggregated '$4,756,000 in value, as in&cated by permits issued by engineering departments and reported
to the Monthly Review. This figure refl.ects a sharp seasonal
decline from July and is the lowest for any month since February
and the lowest for any August since 1920.
BUILDING PERMITS IN TENTH DISTRICT CITIES
EsTIMATED CosT
1929 .
1930
Albuquerque, N. M ........................ '. ....·.................:.......... . .,, . 132,034 .,, 297,942
Casper, Wyo·--·······························:..................................
7,150
94,600
Cheyenne, Wyo ..................................,. ..............................
21,631
156,150
Colorado Springs, Colo................................................... .
2 5,9 1 5
260,925
Denver, Colo .......•-·····:····: .............................................. .
544,400
762,550
Hutchinson, Kans .................................. ......................... .
178,710
43,545
. 43,600
57,610
20
186,225
· ,493
Kansas City, Mo............................................~ .......:........:
2,620,400
323,000
Lincoln, Nebr._ ·.......... ·................................ ·............. •.... .
1 59, 1 47
248,195
Oklahoma City, Okla ...................................................... . 2,010,400
2,105,3b5
Omaha, Nebr.......... ..... ...................................................
499,660
425,86o
28,923
4S,605
Pueblo, Colo·-·······················••-·••·················· .•·················
78,420
Salina; Kans ................... •······-••·······································:-·
72,130
Shawnee, Okla ...............:........................:.....:...'. .:.......:... .'
.
·
1
52,960
9,03o
21,185
j10,450 .
St. Joseph, Mo·-··························································,····
120,845
II5,625
~:fs:~aofi:nL ...:·······.·····~···········:·:·.-····:·························
1,026,127
437,784
Wichita, Ka.ns .........i···.-,·················';.::. '. .....: ........ _..••..•. .......
222,838
567,851
~~~~:~ ~~;~·i~.~~~
~·.·.·::::::::::::::::::::::::::::::::::::::::::::::::::::::
Total 19 .cities, August .................. ,......:.......................... $4,750,000
'$9,685,220 ·
•
THE MONTHLY REVIEW
•
RETAIL TRADE AT 38 DEPARTMENT.STORES I THE TE TH FEDERAL RESERVE DISTRICT
ACCOUNTS RECEIVABLE
SALES
STOCKS (RETAIL)
STOCK TURNOVE R
Stores August 1930 8 Months 1930
8 Months
August
August 31, 1930
August 31, 1930
compared to
Report- compared to compared to
compared to
ing August 1929 8 Months 1929 July 31, 1930 Aug. 31, 1929 1930 1929 1930 1929 July 31, 1930 Aug. 31, 1929
Kansas City............
- 2.I
~ 13.0
.20
0.4
- 8,5
.19
1.63 1.70
- 8.3
5.8
4
Denver...... ..............
- 2.1
- 14.I
- 3.2
.23 . 1.65 1.57
2.9
:25
- 4.3
3.7
5·
Oklahoma City ......
12.0
15·5
2.1 I 2.05
- 0.3
3.1
.25 . .22
- 3.6
5.5
3
Omaha ....................
- 0.2 .
- 4.2
- 0.9
- 6.7
3
Lincoln .. ..................
2
I.2
· 6.6
.21
.18
- 10.5
- 3.6
- 6.3
-20.7
1.74 1.51
Topeka .... .........._. .....
Even
.20
.22
- 0.7
-15.2
- 2.8
- 5.0
-7-4
1.37 1.33
3
Tulsa. .......................
- 8.o
-12.0
2.8
.26
- 2.3
- 2.3
2.38 2-33
.23
7.7
4
- o.6
Wichita....................
- 11.2
11.0
-14.8
- 10.0
.21
12.7
.23
4
Other Cities............
IO
- 2.1
II.I
1.28 1.21
- 2.3
-10.4
- 5.8
.14
~I 5
- 3.3
Total........................
38
- 6.7
- 4.3
7.0
-10.1
.22
.21
1.74 1.68
1.0
TOTE: Percentage of collections in August on accounts July 31, all stores reporting 37.7. Colle; tions same month last year 39.7.
Even
COLLECTIONS
August 1930
compared to
July 1930 Aug. 1929
- 11.7
- 4•4
- 13.3
- 4.5
o.6
- 15.7
-o.6
- 8.5
- 6.7
- 13.5
-I4.5
- 7.0
8.o
- 13.5
-27.3
-
- 14.2
9.3
- 13.6
4.6
-
3.5
WHOLESALE TRADE I THE TENTH FEDERAL RESERVE DISTRICT
SALES
OuTSTANDINGS
COLLECTIONS
STOCKS
Reporting Aug. 1930 compared with Aug. 31, 1930 compared with Aug. 1930 compared with Aug. 31, 1930 compared with
Stores
July 1930 Aug. 1929
July 31, 1930 Aug. 31, 1929 July 1930 Aug. 1929 July 31, 1930 Aug. 31, 1929
Dry Goods ..................,..............................
5
34.7
- 26.3
16.3
- 12.4
-11.5
-22.3
- 8.4
- 12,,1_, ..,
9.6
- 8.3
3.3
- 6.1
3.9
- 3.9
5-1
-l4.8
Grocerics·-··· ················································
6
Hardware....................................................
8
-15.2
-z8.5
- 2.5
- 5.7
- 9.6
-21.7
- 3.1
o.8
Furniture.. .......... :.......................................
5
21.3
-36.5
- 2.9
-12.6
- 16.4
-30.6
-lI.4
- 21.9
Drugs..........................................................
5
- 3.3
-19.2
- 1.3
-18.5
- 9.3
-14.6
- 2.2
- 14.3
Retail Trade
Trade at thirty-eight reporting department stores in the Tenth
District improved materially in the last half of August with the
passing of the abnormally hot and dry weather which has been a
deterrent to nearly all lines of business. Dollar sales for August
showed an increase of 16.6 percent over July, and was the third
largest monthly total of the present year, having been exceeded
by totals for April and May. However, sales for August showed
a decrease of 6.7 percent as compared with those reported for
August last year. The accumulated total of sales for the eight
months of 1930 showed a decrease of 4.3 percent as compared
with the first eight months of 1929.
Sales reported by leading men's and women's apparel stores
increased during August, although they averaged 4 percent below
those for August last year. Sales of shoes showed a marked
decrease as compared with a year ago. There was a large
seasonal increase over July in sales of furniture at reporting
retail stores, but the August volume was about 28 percent below
a year ago.
Stocks of merchandise on hand at department stores at the
end of August, taking the combined total for .all repm:_ting stores,
were 7 percent larger than at the close of July but IO.I percent
smaller than at the close of August last year. Stocks of men's
and women's apparel at the stores reporting averaged 1.6 per-
cent lower than a year ago, and stocks of retail furniture stores
were 7 percent smaller than a year ago.
Collections of department stores during August, amounting
to 37.7 percent of charge accounts outstanding, showed a decrease of 1 percent· as compared with the July figure, and a decrease of 2 percent as compared with August a year ago.
Wholesale Trade
Distribution of merchandise by reporting wholesale firms . in
the Tenth District in August was 5.9 percent larger than in July,
but 21.4 percent smaller than in August last year. The August
reports by separate lines indicated sizeable increases in sales of
drygoods, groceries and furniture, and small decreases in sales
of hardware and drugs as compared with sales in July. In comparison with a year ago, the volume of August sales showed decreases for all reporting lines-drygoods, groceries, hardware,
furniture and drugs-ranging from 8.3 percent to 36.5 perc~nt.
The value of stocks of drygoods, groceries, furniture and drugs
on hand at the end of the month remained smaller than a year
ago, while the value of stocks of hardware showed a small increase over a year ago.
Collections by wholesale firms were reported to be slightly
lower than at this season last year.
Business Conditions in the United States
By the Federal Reserve Board
Industrial production as a whole was in the same volume in
August as in July, contrary to the usual upward trend at this
season, although there were seasonal increases in activity in a
number of basic industries. Factory employment and payrolls declined further. The general level of commodity prices
at wholesale, which had declined continuously for a year,· remained unchanged between July and August, advances in price
being reported on certain important agricultural staples.
sumption of cotton and wool. .In the bituminous coal and silk
industries, there was less increase than is usual at this season,
while in steel, cement, flour, and shoes the increase was slightly
more than seasonal. During the first two weeks of September,
activity at steel plants increased, while a further reduction in
output of automobiles was reported. Building contracts awarded,
as reported to the F. W. Dodge Corporation, were slightly smaller
volume during August, · largely on account of reductions in
educational and industrial · construction projects. Residential·
PRODUCTIO : The Board's index of industrial production, building contracts continued small. During the first two weeks
which makes allowance for seasonal :variations, _continued to in September awards averaged about the same· as in August.
decline in August. Production of automobiles, pig iron, lumber·
At the middle of August, the latest date for which figures are
and sugar ·decreased., and there was a reduction ·in in the con- available, the number of wage earners employed in fa,cto_ries
~
THE MONTHLY REVIEW
and the volume of factory payrolls was smaller than in the middle
of July. · There were decreases in employment in the iron and
steel ·and cotton textile industries, and at foundries and machine
shops, automobile plants and sawmills. · Substantial seasonal
increases occurred in the canning and preserving, bituminous
coal mining, and clothing industries.
AGRICULTURE= September I estimates by the Department
Agriculture indicate a corn crop of 1,983,oco,ooo bushels, about
700,000,000 bushels less than the five year average; a spring
wheat crop of 240,000,000 bushels, slightly larger than last
year's unusually small crop, making the total wheat crop about
equal to the five year average; and a crop of oats of about the
usual size. Condition of pastures on September I W?,S reported
to be unusually poor. The cotton crop is expected.J o be about
14,340,000 bales, nearly one-half million bales less than last year.
DISTRIBUTION: Volume of freight shipped by rail increased by slight! y less than the usual seasonal amount during
August. Sales of department stores were larger than in July,
but continued considerably smaller than a year ago.
WHOLESALE PRICES: There were increases during August in prices of many agricultureal products, especially meats,
livestock and grains, while the price of cotton decreased. Prices
of mineral and forest products and of imported raw materials
PfR CEN T
t40
P EA CUH
140
,NDUSTR IAL PRODUCTION
and their manufactures in general declined.
With the principal exception of silk, the bureau of labor statistics index of
wholesale prices showed no change from the preceeding month.
During the first half of September were pronounced declines in
prices of wheat, corn, hogs, pork and rubber, prices of cotton and
woolen textiles remained fairly stable, while those of hides and
coffee increased.
BANK CREDIT: Between August 20 and September 17
there was an increase in member bank holdings of investments,
and in their loani on securities, while all other loans which include
loans for commercial purposes declined, contrary to the usual
seasonal trend. The volume of reserve bank credit ou'tstanding
showed a growth for the period, as is usual at this season, but
the increase was relatively small owing to the fact that the seasonal demand for currency was smaller than in other recent years
and owing to an addition of $I 5,000,000 to the country's stock
of gold. The increase was in holdings of acceptances, offset in
part by a further decline in discounts for member banks to the
lowest level since r917. Money rates continued at low levels
during August and the first half of September and the yield on
high grade bonds declined further. Discount rates at the Federal
Reserve Banks of Dallas and Minneapolis, the only banks which
had maintained a 4 percent rate, were reduced to 3½ percent
during September.
PER CENT
f-r"R ClKT
120
WHOLESALE PRICES
120
I
Farm Products
no L--- ---+-----+---..-----r-----ir------1 uo
G0'"""'_ __ __.__ _ __.__ _ __._ _ _ __.__ _~60
1926
1927
1930
Index numbe-r of production of manufactures and minerals combined
adjwted for seasonal variations, (19-23-1925 average equ:u 100). Latest figures
August prcliminarr 92.
PERCfMT
1
1926
1927
1929
1930
1928
Indexes of the United States- Bureau of Labor Statistics (1926' equal 100
base adopted by Bureau). Latest figures, August, farm products 84 9, food
products &7.1, other commodities 83.3.
P£r1CEl'JT
f ACTORY EMPLOYMENT ANO PAYROLLS
1'20
6LLL:IONS
or
DOUAA'.S
10
110 ~ - - - + - - - - + - - - - - + - - - - - ;
Payr Ifs
,
1
tUlLl~S Of DOU.AAS
MEMBER BANK CREDIT
10
#
·#'-ii-+--------1 110
9
9
8
8
7
7
6
6
100
90
80 - - -.+ - - --+.- - -+-- -- t - - - - - t -- ~ -L60
70
1930
19 19
1928
1927
1926
Index numbers of factory employment and payroThi without adiustmen t .
for NUODal variations. (1923-1925 average equal 100) Latest figures Auguat,
....,.,,,aeat 83.8, payrolls SQ.9. 1925
5
5
1926
1927
1928
1929
1930
Monthly averages of weekly figures for reporting member banks in leading
cities. Latest figuret are anraga of first two weeks in September.
•
@FedFRASER