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MONTHLY REVIEW OF B U S I N E S S C O N D IT IO N S JOHN PERRIN, Chairman of the Board and Federal Reserve Agent Federal Reserve Bank of San Francisco Vol. IX San Francisco, California, December 21, 1925 No. 12 S U M M A R Y O F N A T IO N A L C O N D IT IO N S Production of basic commodities continued in about the same volume in November as in the month before. The general level of prices remained unchanged. A ctivity of wholesale and retail trade was below the record level of October, but larger than in November of last year. Production. Output of basic industries in cluded in the Federal Reserve Board’s index of production was at about the same rate in N o vember as in October, but ow ing to a smaller number of working days the index declined by about 1 per cent. Increases occurred in aver age daily production of pig iron, steel ingots, copper, and bituminous coal, and in the con sumption of cotton. Production of flour, sugar, and meat products declined. Autom obile pro duction in November was seasonally less ac tive than in October, but continued large for this time of the year. Employment and pay rolls in manufacturing industries showed small increases in November as compared with O c tober. Employment and workmen’s earnings increased in the machinery industries, while in food products and tobacco, and in the cloth ing industry there were seasonal declines. Building contracts awarded were smaller in November than in October, but were large when compared with the volume for November of previous years. Final estimates by the D e partment of Agriculture indicate that the acre age of all crops harvested in 1925 was slightly larger than in 1924, but that the aggregate pro duction of crops was in about the same volume. PER CENT PER CENT P R O D U C T IO N IN B A S IC IN D U S T R IE S In d ex o f 22 b asic com m od ities co rrected fo r seasonal variation (1919 = 100). Latest figure, N o v e m b e r, 115. W H O L E S A L E P R IC E S In d e x o f U . S. Bureau o f L a b o r Statistics (1 9 1 3 = 100, base adop ted by B u rea u ). Latest figure, N o v e m b e r, 158. T h o s e d e s i r i n g t h is r e v ie w s e n t t h e m r e g u la r ly w i l l r e c e iv e it w i t h o u t c h a r g e u p o n a p p lic a t io n . 90 December, 1925 M ON TH LY REVIEW OF BUSINESS CONDITIONS Yields of cotton, corn and tobacco were consid erably larger than last year, while the produc tion of wheat, oats, potatoes and hay was smaller. Trade. Sales in leading lines of wholesale trade showed the usual decline in November from the seasonally high levels of October, but continued larger than in the corresponding month of any of the past five years. Total BILLIONS OF DOLLARS November, while quotations on cattle, cotton, coke, copper and hides were lower. Bank Credit. A t member banks in leading cities, the volume of credit outstanding on D e cember 9th was near the high level reached early in November. Loans for commercial and agricultural purposes declined somewhat dur ing the period, and there was also a decrease in the banks’ security holdings. Continued growth BILLIONS OF DOLLARS « TOTAL BILLS jQND SECURITIES» 1 \ B ILLS DISC 0ÜNTEQL M L / „ IK BILLS B0U( NT / — fi J T~ ^ * tC Vâ / 4 il y r US.SEO“ " ^ M E M B E R B A N K C R E D IT W e e k ly figures fo r m em ber banks in 101 leading cities. figures, D e ce m b e r 16. Latest value of trade at department stores and mail order houses was smaller than in October, owing largely to the smaller number of busi ness days in November. N ovember department store sales were the largest on record for that month, however, and sales at mail order houses were larger than in any November of the past six years. Merchandise stocks at department stores showed considerably more than the usual increase in Novem ber and were 4 per cent larger than in Novem ber of last year. Distri bution of commodities by railroads during N o vember reached new hig*h levels for the month. Movements of merchandise and miscellaneous commodities, coal, and coke were larger dur ing the month, while movements of livestock, grain, and forest products were somewhat smaller than in N ovem ber of the two preced ing years. Prices. W holesale prices, according to the index of the Bureau of Labor Statistics, re mained the same in November as in October. Prices of livestock, meats and cotton goods de clined, but these decreases were offset in the general average by advances in prices of grain, fuel, lumber and rubber. In the first three weeks of December, prices of wheat flour and hardwood lumber were slightly higher than in R E SE R V E B A N K C R E D IT W e e k ly figures fo r 12 F ed era l R e s e rv e B a n ks. L a test figures, D e ce m b e r 23. of loans on securities, however, was sufficient to offset these reductions and the total of loans and investments remained practically un changed. A t the reserve banks the seasonal demand for currency and credit resulted in an increase in total bills and securities in Decem ber to the highest level in nearly four years. This increase in reserve bank credit in use has been in the form of discounts for member banks, as the volume of purchased bills held changed but little between the middle of November and the middle of December and holdings of United States securities also remained constant, except for a temporary increase connected with Treas ury financing on December 15th. M oney in circulation increased by $71,000,000 between November 1st and December 1st, and the con tinued demand for currency in December was reflected at the reserve banks, both in increased Federal reserve note circulation and in a de cline in cash reserves. During the latter part of November and the early part of December open market rates on commercial paper and acceptances remained substantially unchanged. Later in December increased demand for credit and currency, largely seasonal in character, was reflected in firmer m oney conditions. D e c e m b e r , 1925 fed eral reserve a g e n t a t san 91 f r a n c is c o T W E L F T H F E D E R A L R E S E R V E D IS T R IC T C O N D IT IO N S N o v ., 1925# Statistical Sum m ary— Q 1925 1925 Nov„ o«.. 1924 1924 $3,072,568 $2,425,295 $2,650,846 Bank Debits— 21 cities*................................................. $2,825,317 146 148 125 128 Bank Debits— Index Numbersf— 20 cities........... Building Permits— 20 cities........................................ $27,884,388$32,335,188 $28,604,122 $31,652,458 161 158 146 147 Retail Sales— 32 stores— Index N u m b ersf........... Savings Deposits— 70 b ank s*§................................. $1,130,337$1,124,992° $1,027,404° $1,026,139° Lumber Production— 4 association,s— board feet* 683,770 726,098 578,562 703,507 Petroleum Production^— California— b a r r e ls... 636,530 645,648 592,234 603,115 Flour Production— 16 companies— barrels........... 510,946 512,120 403,681 510,214 Reporting Member Bank Loans and Discounts|| $1,213,381 $1,186,316 $1,048,051 $1,049,592 Reporting Member Bank Deposits||........................ $1,626,010 $1,618,829 $1,482,840 $1,512,941 $50,368 $50,308 $9,397 $6,652 Federal Reserve Bank Discounts^*........................ Federal Reserve Bank Ratiojf.................................... 71.6 70.5 75.3 77.5 1924 1925 16.5 16.8 — 2.5 10.3 10.0 18.2 7.5 26.6 15.8 9.7 436.0 — 4.9 — 8.0 — 1.4 — 13.8 1.9 0.5 — 5.8 1.4 — 0.2 2.3 0.4 0.1 1.6 * I n th ou sa n d s. fA d ju s t e d fo r se a so n a l v a r ia tio n s — 1919 m o n t h ly a v e r a g e = 1 0 0 . i D a i l y a v e r a g e p r o d u c tio n . § T h e c o n s o lid a tio n o f r e p o r tin g ban k s has re d u c e d their n u m b e r , b u t has n o t a ffe cte d the v a lu e o f r e p o r te d fig u re s fo r c o m p a r a tiv e p u r p o s e s . ||Dec. 9, N o v . 10, 1925, D e c . 10, N o v . 12, 1924. fiD ec. 16, N o v . 18, 1925, D e c . 17, N o v . 19, 1924. # P e r c e n t a g e in c re a s e o r d e cre a s e ( — ) . 0 R e v is e d . Agricultural Activities Final estimates of the Department of A gri culture, as of December 1st, indicate that agri cultural output of the Tw elfth Federal Reserve District in 1925 was considerably in excess of the small output of 1924, and was approxi mately equal to the five-year (1919-1923) aver age production. Prices paid farmers for most agricultural products, as measured by Depart ment of Agriculture indexes of farm prices, were from 3 to 15 per cent higher than a year ago during the m ajor harvesting and market ing periods. Prices of non-agricultural com modities, as measured by the Bureau of Labor Statistics’ wholesale price indexes, were also higher during the autumn of 1925 than in 1924, but the advance was relatively less than in prices of farm products. As a result of these varying price movements, previously existing mal-adjustment was reduced and, in general, the purchasing power of the farmer’s products in exchange for other commodities was in creased. Estimated production and value of the district’s chief crops, as reported by the De partment of Agriculture, are given for the dis trict and for the United States in table “ A ,” together with index numbers of district pro duction for certain groups of crops. The 1925 yield of cotton in this district, 220,000 bales, exceeds by 23.6 per cent the pre vious record crop of 178,000 bales produced in 1920. Quality of the fibre grown is reported to be better this year than in 1924, except in parts of the Imperial Valley of California, where rainfall has damaged unpicked, open bolls dur ing the past two months. A shortage of labor for cotton picking is reported from the Imperial Valley of California and the Salt River Valley of Arizona. Marketing of new crop (1925-1926) oranges and lemons was normal in volume during N o vember, 1925, although shipments were slightly smaller than in November, 1924. Returns ($5.85 per box for oranges and $3.14 per box for lemons) to growers were 154 per cent larger for oranges and 36 per cent smaller for lemons than one year ago. A record volume of fresh grapes was mar keted from the 1925 crop in California, as in dicated by figures of carlot shipments from that state. (Prices of shipping grapes are dis cussed in the “ Prices” section of the Review, page 96.) The 1925 production of raisins of all (A) P rod u ction and Value o f Farm Crops— U n it .b u . W heat ( al l ) . . . B a rle y ...........................bu .b u.. R ic e ................................bu .b u.. B ea n s .............................b buu.. .b a le s C o tto n ...........................bales .to nss H a y (ta m e ) ...............ton P o ta to e s ........................b bu. u. S u g a r B eets ...............to .tonnss A p p le s ..........................b .booxxeess P e a c h e s î .....................bbooxxeess P ea rs ............................ bbooxxeess O ra n g e s ....................... bbooxxeess boxes L e m on s î ......... Indexes!! (P r o d u c tio n ) G ra in s Ji .......................... -P r o d u c t io n * ,-----------T v velfth D isl rict---------- * (------------ U nited Stat<ÎS —> 5 -Y e a r 5 - Y ea r 1925 1924 1925 A v e ra g e f 1924 A v e ra g e f 100,227 71,000 115,641 669,365 862,627 856,178 218,002 45,816 20,444 178,322 40,338 174,329 33,959 4,738 4,497 33,249 7,645 41,357 19,100 5,704 3,630 5,147 14,856 12,096 220 185 116 15,603 13,628 10,543 15,799 12,694 13,738 86,474 97,771 88,334 323,243 32,740 31,674 36,584 425,283 391,465 2,229 6,932 1,936 1,620 7,075 6,986 35,454 164,616 46,866 37,161 171,250 89,700 13,331 15,644 16,251 10,467 7,700 7,690 18,100 32,2ÓÓ§ 23,095 18,946 36,5ÓÓ§ 36,5ÓÓ§ 5,125 6,840 4,527 1925 94.9 107.9 115.8 1924 62.3 90.9 104.7 1923 121.1 100.4 127.0 T w elfth D istrict 1922 1921 88.9 106.6 96.2 93.5 108.0 82.4 1920 93.5 109.3 89.8 r-T w e lfth D istrict-^ -V a lu e * (------- U nited S tates-------- \ 1925 $132,580 33,325 8,055 21,173 1924 $93,640 20,871 7,465 17,375 53,243 211,346 24,354 57,878 14,626 32,492 40,320 14,640 9,975 7,605 49,000 10,771 1925 $947,993 127,653 52,246 62,388 1924 $1,136,596 137,270 47,053 4 9,792 605,327 1,353,789 292,481 207,820 64,290§ 1919 90.0 100.6 92.7 *000 omitted. ^1919-1923. îCalifornia. §California and Florida. ||1919-1923 average= =100. tfW h eat, b a rle y , oats. potatoes, rice, sugar beets. #A pples, peaches, pears, prunes, raisins, oranges, and g ra p e s. N ote: 1925 production and 1924 and 1925 value figures are subject to revision. 64,940§ ° B e a n s , c o t to n , 92 December, 1925 MONTHLY REVIEW OF BUSINESS CONDITIONS kinds and grades in California is estimated at 200,000 tons, compared with 180,000 tons in 1924 and a five-year (1919-1923) average out put of 206,300 tons. Figures of bearing acreage and carlot shipments of grapes in California follow : G R A P E S - C a li f o r n ia F iv e -Y e a r 1925 1924 A verage* 528,419 526,401$ B e a r in g A c r e a g e ( a c r e s ) ................. 6 0 1 ,9 4 3 t T o t a l C a rlo t S h ip m e n ts ( c a r s ) . . . . 7 3 ,0 0 0 t 56,110 36,137 *191 9-1 923. t P r e lim in a r y e stim a te . J T h r e e -y e a r (1 9 2 3 -1 9 2 5 ) a v e ra g e . S o u r c e : U n ite d S ta te s D e p a r tm e n t o f A g r ic u ltu r e an d C a li fo r n ia D e p a r tm e n t o f A g r ic u ltu r e . CARLOADS (THOUSANDS) (THOUSANDS) ACRES 700 600 500 400 300 jwebS u3eJ92!> GRAPES I924wbhqe1925 1924 OTHERDECIDUOUS SHIPMENTSariaPRODUCTION 1923 1924 1925 1923 1924 1925 GRAPES 200 100 0 O T H |c RD E C ID U O U S BEARING- ACREAGE D E C I D U O U S F R U I T S — C a liforn ia T h e c h a rt s h o w s th e se a s o n a l m o v e m e n t o f in te rsta te sh ip m e n ts o f g r a p e s and o f o th e r im p o rta n t d e c id u o u s fru its, e x c e p t ap p les, fro m C a lifo rn ia , and th e g r o w t h o f b e a r in g a c r e a g e o f these fru its d u r in g the p ast th ree y e a rs . C h a rte d figu re s o f sh ip m e n ts are fo r th a t p a rt o f C a lifo rn ia n o rth o f the T e h a c h a p i P a ss. D u r in g the five y e a rs, 1921-1925, to ta l p r o d u c t io n o f all v a rieties o f g r a p e s in C a lifo rn ia a v e r a g e d a p p r o x im a t e ly 126,000 c a rlo a d s p e r year, an d a v e r a g e sh ip m e n ts o f fre s h g ra p e s fro m the state a p p ro x im a te d 46,000 c a r lo a d s o r 36.5 p e r c e n t o f a v e r a g e ann ual p r o d u c t io n . T h e 1921-1925 fiv e -y e a r a v e r a g e p r o d u c t io n o f o th e r im p o rta n t d e c id u o u s fru its, e x c e p t a p p le s, w as a p p ro x im a te ly 76,000 c a r lo a d s , and a v e r a g e sh ip m e n ts (fr e s h ) w e re a p p r o x i m a te ly 14,000 ca r lo a d s o r 18.4 p e r c e n t o f a v e ra g e p r o d u c t io n d u r in g th e sam e p e r io d . T h e s e fig u re s and the ch a rt illu strate th e r e la tiv e ly g re a t d e p e n d e n c e o f g r a p e sh ip p e rs u p o n m a rk ets o u t s id e o f C a lifo rn ia . * N o v e m b e r G ra p e sh ip m e n ts in c lu d e D e c e m b e r sh ip m en ts. t A u g u s t G ra p e sh ip m e n ts in c lu d e s h ip m e n ts m ad e d u r in g p r e v io u s m o n th s o f ye a r. “ A u g u s t “ O th e r D e c id u o u s ” sh ip m e n ts in c lu d e s h ip m e n ts m ad e d u r in g s u b s e q u e n t m o n th s o f th e ye a r. $Ju ne “ O th e r D e c id u o u s ” s h ip m e n ts in c lu d e sh ip m e n ts m ad e d u r in g p r e v io u s m o n th s o f th e y e a r. Seasonal rains fell in many parts of the dis trict during late N ovem ber and the first weeks of December. The rains, which generally came after completion o f the harvest, aided fall plow ing and planting operations and improved the condition of previously sown grain crops. Growth of feed on livestock ranges and pas tures was stimulated and water supplies were replenished by the Novem ber-Decem ber rain fall. Livestock, generally, are reported to be in satisfactory condition, and available feed sup plies, where winter feeding is necessary, are estimated to be ample. Industrial Activity Industrial activity and volume of em ploy ment in this district declined seasonally during November, but continued at higher levels than a year ago. Indications of a slight decline in building ac tivity were reported during November, 1925, and value of building permits issued in 20 principal cities of this district was less by 2.5 per cent than in November, 1924. Compared with October, 1925, the value of permits issued showed a decrease of 13.8 per cent. The esti mated normal seasonal decrease from October to November is 14.7 per cent. Total value of building permits issued in these cities during the first eleven months of 1925 was 6.6 per cent greater than during the same period of 1924, and approximately the same as the total for the eleven months’ period of 1923. Recent trends of activity in the building industry in this district, as shown by monthly and year-todate comparisons of building permit figures, are indicated in the follow ing table: B U I L D I N G P E R M I T S I N 20 C I T I E S Per Cent Increase or Decrease (— ) M on th s in 1925 com pared M o n th in 1925 com pared with 1923 precedin g Y e a r-to -d a te M on th N o . V a lu e N o. V a lu e — 7.3 0.4 — 16.7 — 13.8 1.9 — 6.3 1.6 1.1 5.3 — 10.3 — 4.6 3.7 — 4.7 7.0 3.8 8.1 — 3.3 6.5 — 2.0 — 15.1 0.6 — 3.3 6.9 — 2.2 (--------------w ith same M on th s i n --------------- \ 1924 1924 M on th ly Y e a r-to -d a te N o . V a lu e N o . V a lu e N ovem ber. 6.0 — 2.5 — 2.0 6.6 2.2 — 2.6 7.4 O c t o b e r .. . 0.9 7.9 S e p te m b e r — 5.2 — 5.9 — 3.0 3.3 — 2.7 9.7 A u g u s t . . . — 1.0 7.5 — 3.0 10.6 2.6 J u l y ........... 38.6 — 3.8 11.1 8.4 J u n e .......... The United States Bureau of Labor Statis tics’ index number of building material prices advanced 1.0 per cent during November, and at 176 (1913 prices=100) for that month was 2.3 per cent above the figure reported a year ago. (B) Agricultural Marketing Activity— t---------E x p o r ts ---------- > <-------- C a rlot Shipm ents-------W heat* Barley* A p p les* Portland and San 12th O ra n gesf L e m o n s f Puget Sound F ra n cis co D ist. C a lif. C a lif. M on th ly (1000 bu.) (1000 bu.) (cars) (cars) (cars) N o v e m b e r , 1 9 2 5 .............................................. 1,057 1,252 8,907 3,409 439 1,382 1,000 16,056 827 724 O ctob er, 1 9 2 5 .............................................. N o v e m b e r — 5 -y ea r a v e r a g e ........................ 2,461 808 9,618$ 2,082 397 (1 9 1 9 -1 9 2 3 ) C u m u lative T o N o v e m b e r 30, 1 9 2 5 ................................ t------------------------- C r o p Y e a r ------------------------- * 6,792 ( 6 .8 ) T o N o v e m b e r 30, 1 9 2 4 ................................ 13,615 ( 1 9 .2 ) F iv e -y e a r a v e r a g e t o N o v e m b e r 3 0 . . . 13,495 _____ (1 9 1 9 -1 9 2 3 ) (1 1 .7 ) 8,792 (1 9 .2 ) 6,633 34,500 (5 1 .3 ) 28,755 3,409 (6 .7 ) 4,160 439 (2 .9 ) 643 7,784 (1 9 .3 ) 32,066$ (6 3 .3 ) 2,082 (4 .4 ) 397 ( 3 .5 ) Figures in parentheses indicate percentage of new crop only. average (1922-1925). §At end of month. Î 1921-1925. L iv e s to c k R e ce ip ts at Eight M arkets in 12th D istrict C attle and C a lves H ogs Sheep 135,349 206,257 199,854 144,353 162,175 440,452 121,67011 220,83911 185,70311 Cold Storage Holdings? 12th D istrict Butter Eggs (1000 (1000 lbs.) 2,409 3,064 2,342 cases) 191 334 147$ t ------------ C alendar Y e a r —— — 2,029,702 3,015,504 1 ,204,714 2,380,015 1 175,130 (3 2 .4 ) (6 2 .5 ) 1 050,00111 1,784,70311 *Season begins July 1st. 3,009,007 (8 .7 ) (5 .6 ) 2,893,33511 f S e a s o n b e g in s N o v e m b e r 1st. $ F o u r -y e a r December, 1925 The Aberthaw index of industrial building costs stood at 194 (1914=100) on December 1st, having shown no change since June 1st. Duringthis time the index has been at a slightly lower level than during the corresponding period in 1924. Lumber production at reporting mills of four associations in this district decreased season ally during November, 1925, as compared with October, 1925, but exceeded shipments and new orders received by 13.6 per cent and 3.4 per cent, respectively. Both production and new orders received by mills during November were larger in volume than shipments, so that stocks of lumber held by mills and unfilled orders on their books increased. A ctivity in the industry continued at higher levels than a year ago. LU M B E R A C T IV IT Y * N o v ., O ct., N o v ., r F irstE leven M on th s— 1924 1925 1925 1924 1925 (board feet) (board feet) (board feet) (board feet) (board feet) . 683,770 726,098 578,562 7,324,630 6,915,754 P r o d u c t io n 7,212,871 6,704,442 681,411 536,124 602,164 S h ip m en ts 6,628,634 O rd e rs ............... 661,081 645,661 7,158,585 623,986 U n fille d O rd e rs 386,268 363,582 416,003 N o . o f M ills 192f 178f R e p o r tin g . . 176 167 183 * A s re p o rte d b y fo u r a s s o cia tio n s , 000 om itte d e x c e p t in ca se o f n u m b e r o f m ills r e p o r tin g . f A v e r a g e o f first e lev en m o n th s. Daily average production of petroleum in California during November, 1925, was 1.4 per cent less than in October, 1925. Indicated con sumption increased during the month but con tinued less than production with the result that on November 30, 1925, stored stocks again reached a new record figure, 126,206,832 barrels. P E T R O L E U M — C a liforn ia Indicated Stored A v era ge S tock s at D aily A v era ge C on su m ption End of D aily M on th P rodu ction (Shipm ents) (barrels) (barrels) N ew W ells D aily P ro d u c tion N um ber O pened (barrels) (barrels) 85 126,206,832 585,949 1925. . 636,530 124,689,411 69 566,948 1925. . 645,648 62 534,107 96,774,598 1924. . 592,234 93 Sept., 1923* . 858,750 t t * P e a k o f p r o d u c t io n . fC o m p a r a b le fig u re s n o t av a ila b le . S o u r c e : A m e r ic a n P e tr o le u m In s titu te . N o v ., O ct., N o v ., 28,404 35,678 33,130 139,960 National production of the chief commercial non-ferrous metals, a considerable proportion of which is mined in the Twelfth Federal Re( C ) Building P erm its— B e r k e le y ............ B o is e .................. F resno ............... L o n g B e a ch . . L o s A n g e le s . . O a k la n d ............ O g d e n ................ P a sa d en a .......... P h o e n ix ............ P o r tla n d ............ R e n o .................... S a c r a m e n to . . . S alt L a k e C ity . San D ie g o . . . . S an F r a n c is c o . S an J o s e .......... S ea ttle ................ Spok ane ........... S t o c k t o n ........... T a c o m a .............. District ........ 93 FEDERAL RESERVE AGENT A T SAN FRANCISCO N ov em b er, 1925 V a lu e N o. $ 871,828 405 52,754 57 122,479 138 1,751,700 378 8,412,440 3,409 2,271,056 1,016 619,385 33 952,643 259 227,867 93 3,121,195 1,038 22,200 16 1,551,360 254 259,510 88 1,329,801 741 3,478,843 863 222,210 103 1,452,840 844 271,070 170 96 163,347 729,860 247 10,248 $ 27 ,884,388 N o ve m b e r, 1924 V a lu e N o. $ 805,081 334 55 39,768 103,778 107 938,556 385 9,754,196 3,648 942 2,104,741 26 61,800 247 1,067,798 110 195,722 1,010 2,118,340 31,070 13 292,742 216 85 332,604 1,289,712 497 707 6,358,729 323,560 74 748 1,902,415 157 158,475 97 242,285 210 482,750 9,668 $28,604,122 serve District, was smaller in November, 1925, than in October, 1925, and November, 1924. N O N -F E R R O U S M E T A L S —N ational P rodu ction N o v ., 1925 C o p p e r ( lb s .) (m in e p r o d u c t io n ) ............................. . . 135,794,000 S ilv e r ( o z .) (c o m m e r c ia l b a r s ) .................................... 4,777,000 Z in c (t o n s ) ( s l a b ) ............ 46,485 O ct., 1925 N o v ., 1924 141,248,000 136,692,000 4,933,000 50,497 5,522,000 42,633 Flour output of 16 reporting milling com panies in this district was 0.2 per cent less in volume during November, 1925, than during October, 1925, which compares with a five-year average decrease of 10.3 per cent between these two months. Mill stocks of flour increased 7.1 per cent during November, but on December 1st were 24.6 per cent less than the five-year average of stocks held on that date. Millers increased their holdings of wheat during N o vember, and, at 4,479,321 bushels on Decem ber 1st, stocks of wheat held by them were 36.1 per cent larger than the five-year average for December 1st, and the largest reported since January 31, 1920. F L O U R M IL L IN G * O u tp u t ( b b l s . ) . . . . S to ck st F lo u r ( b b l s . ) . . . W heat ( b u .).... N o v ., 1925 510,946 381,467 4,479,321 * A s r e p o r te d b y 16 c o m p a n ie s . lo w in g m o n th . O ct., 1925 512,120 N o v ., 1924 403,681 503,371 2,734,512 356,068 3,663,097 F iv e -Y e a r A v era ge N o v ., 1920-1924 567,562 505,672 3,290,501 t A s o f th e firs t d a y o f th e f o l General Business and Trade During November, general business activity in the Twelfth Federal Reserve District de clined slightly from the high levels of October, but continued well above the levels of one year ago. The volume of trade is estimated to have been approximately 4 per cent above normal (the computed trend) during the month.______ (D) E m ploym ent— t-------- C a liforn ia---------» r" “ Industries N o . of N o. E m ployees —> N o. of N o v ., O ct., of F irm s 1925 1925 Firm s 701 152,894 156,291 110 (-2 .2 ) — O re g o n ------------\ N o . of E m ployees —> N o v ., O ct., 1925 1925 20,168 21,280 (-5 .2 ) S to n e , C la y an d G lass P r o d u c t s . 45 7,976 (0 .1 ) 7,969 6 262 ( — 7 .7 ) 284 L u m b e r and W o o d M a n u fa c tu r e s . . 117 48 2,433 5 15,608 ( — 5 .1 ) 1,024 ( — 3 .2 ) 16,446 13 28,777 ( — 3 .4 ) 2,449 (0 .7 ) 29,803 T e x t ile s .................... C lo th in g , M illin e r y a n d L a u n d e r in g . 65 7,314 (0 .9 ) 7,246 8 553 ( — 3 .3 ) 572 153 29,778 ( — 9 .8 ) 33,021 33 2,139 ( — 8 .9 ) 2,347 5 9,564 (2 .0 ) 65,885 ( 0 .7 ) 1,151 (9 .8 ) 9,372 1,058 F o o d , B e v e ra g e s W a t e r , L ig h t and P o w e r ................. 291 M is c e lla n e o u s 12 65,399 1,048 10 582 573 (1 .6 ) ^ In clu d e s th e f o llo w in g in d u s t r ie s : m eta ls, m a c h in e r y a n d c o n v e y a n c e s ; le a th e r and r u b b e r g o o d s ; c h e m ic a ls , o ils an d p a i n t s ; p r in t in g an d p a p e r g o o d s . F ig u r e s in p a re n th e se s re p r e s e n t p e r c e n ta g e c h a n g e s fro m O c to b e r . 94 December, 1925 M O N TH LY REVIEW OF BUSINESS CONDITIONS This bank’s index of bank debits, based upon figures of debits to individual accounts re ported by banks in 20 principal cities of this district, declined from 148 (1919 monthly average= 100) in October, 1925, to 146 in N ovem ber, 1925, due allowance being made for usual seasonal variations. In November, 1924, the index stood at 125. In November, 1924, the adjusted index stood at 146. Stocks of goods on reporting retailers’ shelves were 1.1 per cent larger on November 30, 1925, than on November 30, 1924. The in crease over the year period was less than that of sales, however, and the annual rate of stock INDEX NUMBERS INDEX NUMBERS B A N K D E B IT S -T W E L F T H D IS T R IC T In d ex fo r 20 principal cities, P hoenix, A riz o n a , not includ ed, (1919 m onthly a ve ra ge = 1 0 0 ). Latest figures, N o v e m b e r, with adjustm ent, 146; w ithout adjustm ent, 144. W hen allowance is made for usual seasonal variations, value of trade at retail appears to have been greater during November, 1925, than during any other month of the post-war period, the result of greatly increased sales in the city of San Francisco. Indexes of sales of 32 department stores in 7 principal cities of the district declined 6.4 per cent during November as compared with October, but the decrease was less than the usual seasonal decrease from October to November, estimated at 8.1 per cent, and the index, when adjusted for seasonal variations, advanced from 158 (1919 monthly average=100) in October to 161 in November. (E ) B ank D ebits*— N o v e m b e r, N o v e m b e r, E leven M on th s 1924 1924 1925 1925 198,716 :$ 191,414 B e r k e l e y ............ .$ 16,809 $ 16,480 $ 126,267 B o is e .................. 14,213 11,269 135,373 365,138 F r e s n o ................ 37,908 411,187 51,465 514,712 L o n g B e a ch . . . 45,055 40,784 558,276 781,740 707,973 8,577,537 8,119,116 L o s A n g e le s . . . . 1,353,513 149,807 111,279 1,543,770 O a k la n d ............ . O g d e n ................ 38,641 25,956 281,836 257,704 32,767 P a sa d en a .......... 28,519 379,379 353,897 255,937 28,362 228,717 P h o e n ix ............ 24,078 165,274 156,501 1,819,240 1,778,585 P o r tla n d ........... . 87,803 8,056 8,286 94,383 R e n o ................... 478,486 S a c r a m e n to . . . 37,215 41,179 400,495 769,299 694,207 Salt L a k e C ity . 79,336 65,314 55,846 526,671 San D ie g o 43,733 600,283 San F r a n c is c o . . 946,872 790,866 10,374,837 8,882,449 29,527 San J o se .......... 25,390 281,979 251,421 S eattle .............. . 204,236 1,980,066 171,275 2,202,965 52,824 44,500 568,235 519,006 S p o k a n e ............ 28,807 286,450 259,273 24,516 S t o c k t o n ........... 438,743 476,733 40,375 36,678 T a c o m a ............ 114,670 17,860 13,041 144,998 Y a k im a ............ T ota l .............. .$2,8 25,317 *000 o m itte d . $2,425,295 $30,318 ,34 4 $27,565,422 D E P A R T M E N T S T O R E S A L E S -T W E L F T H D IS T R IC T In d ex of 32 Stores in 7 cities (1919 m onthly average= 100 ). Latest figures, N ovem b er, with adjustm ent, 161; without adjustm ent, 159. turnover, 3.0 times per year in November, 1925, was greater than that of 2.78 times per year, indicated for November, 1924. D E P A R T M E N T S T O R E S A L E S - I n d e x N u m bers (1919 Monthly Average= 1 0 0 ) W ith out Seasonal A d justm ent L os O ak A n geles land 1919. . 108 N o v ., 114 N o v ., 129 1920. . 142 N o v ., 1921. . 143 114 N o v ., 1922. . 172 125 130 1923. . 209 N o v ., 138 N o v ., 1924. . 200 143 June* 1925. . 194 117 1925. . 188 J u ly, 1925. . 210 138 A u g ., S ep t., 1925. . 193 133 1925. . 238 178 O ct., N o v ., 1925. . 230 145 W ith Seasonal A d justm ent 1919. . 108 N o v ., 112 N o v ., 192 0. . 142 127 1921. . 143 N o v ., 113 1922. . 173 N o v ., 124 N o v ., 1923. . 210 128 1924. . 201 137 N o v ., Ju n e, 1925. . 209 143 146 1925. . 219 J u ly , A u g ., 1925. . 195 153 S ep t., 140 1925. . 223 1925. . 232 164 O c t ., N o v ., 1925. . 231 143 San F ra n cis co 111 124 116 131 136 138 120 104 129 130 148 153 Salt L a ke C ity 108 125 108 110 106 107 106 85 90 113 139 122 Seattle 110 92 81 100 103 104 98 91 97 107 116 102 Spo kane 110 116 104 109 111 95 85 77 88 100* 131 98 D is trict 110 123 116 134 147 145 136 124 142 141 170 159 107 120 112 127 132 133 143 134 135 140 137 148 101 117 101 103 99 101 103 106 115 114 117 115 113 94 83 102 106 106 98 100 102 98 105 104 104 110 99 104 105 91 84 99 101 97* 98 93 111 125 117 135 148 146 147 150 148 153 158 161 * R e v is e d . Value of sales in all reporting lines of w hole sale trade, as indicated by figures of 181 firms, declined seasonally during November, 1925, but in ten of the eleven lines sales increased as compared with a year ago. In comparing value of sales during November, 1925, and Novem ber, 1924, however, account must be taken of the increase in wholesale prices over the year period, the United States Bureau of Labor Sta- December, 1925 tistics’ index standing at 158 for November, 1925, as compared with 153 for November, 1924. W H OLESALE TRAD E Percentage increase or decrease (■ r----------- in V a lu e of S a le s --------N o v ., 1925 N o v ., 1925 O ct., 1925 com pared com pared com pared N o . of with with with Firm s O ct., 1924 N o v ., 1924 O ct., 1925 A g ric u ltu ra l I m p le m e n ts . 15* 44.5 — 27.5* A u to m o b ile S u p p lies . . . . 13 5.8 4.0 — 6.9 A u to m o b ile T i r e s ............... 92.7 — 32.1 — 2 8 21 .7 t D ru g s ....................................... 6 — 11.9 D r y G o o d s ........................... 17 10.2 — 14.6 9 14.8 E le c tr ic a l S u p p lie s .......... — 4.1 16.3 9.9 ............................. 18 14.6 F u rn itu r e — 13.7 26 3.3 G ro c e r ie s .............................. — 0.5 — 4.8 H a r d w a re .............................. 20 8.0 4.0 — 13.9 S h oes ....................................... 11 8.3 — 16.0 3.1 25 2.8 S ta tio n e r y ............ ................ — 7.8 — 2.5 -) 22.8* 6.6 — 0.6 — 1.2 * P r e lim in a r y . t D e c r e a s e la r g e ly du e to d is c o n tin u a n c e b y c e rta in o f the la r g e r co m p a n ie s o f “ s p r in g d a t in g ” sales, o r the p r a c tic e o f a d v a n c in g c r e d it o n sales m ad e in au tu m n m o n th s u n til M a r c h , A p r il, and M a y o f the fo llo w in g y e a r. On November 30,1925, savings deposits at 70 banks in 7 principal cities of the district were 0.5 per cent larger in amount than on October 31, 1925, and were 10.0 per cent larger than on November 30, 1924. N o v . 30,,1925f com pared with N ov. N o v . O ct. 30, 30. 31, 1924* 1924 1925 $340,010$ 0.6 13.5 0.2 7.1 92,794$ 52,254 2.0 ■— 0.01 29,059 2.1 ■— 1.1 0.5 423,076 10.0 70,151 0.6 9.9 20,060$ — 2.0 0.5 S A V IN G S D E P O S IT S N u m ber N o v . of 30, Banks 1925* $385,862 L o s A n g e le s . . 13 O a k la n d .......... 7 99,337 P o r tla n d .......... 8 53,316 8 29,661 S alt L a k e C ity San F r a n c is c o . 14 465,432 S e a t t l e ............... 14 77,080 19,649 6 S p o k a n e .......... T otal O ct. 31, 1925* $383,372$ 99,126 53,322$ 29,990 462,970 76,658 19,554 . 70 $1,130,337 $1,124,992 $$1,027,404$ *000 om itte d , 95 FEDERAL RESERVE AGENT AT SAN FRANCISCO fP e r c e n t a g e in c re a s e o r d e c r e a s e ( — ) . 10.0 0.5 ^ R e v ise d . Prices A ccording to the index of the Bureau of Labor Statistics, the general wholesale price level stood at 157.6 (1913 prices=100) for N o vember, 1925, compared with 157.5 for October, 1925, 159.7 for September, 1925, and 152.7 for November, 1924. The farm products and cloth and clothing groups of the index declined dur ing the month, each decrease being approxi mately 1.5 points (0.9 per cent). Increases in the remaining groups of the index (foods, fuel and lighting, metals, building materials, chemi cals and drugs, house furnishings, and miscel laneous) ranged from 0.5 to 4.0 points, the larg est increase being in the miscellaneous group, which has relatively little weight in the index as a whole. Compared with a year ago, the N o vember figures showed increases for all groups, save cloths and clothing, and house furnishings. W heat quotations continued to advance dur ing November and the first weeks of December. At Chicago the May, 1926, contract, which sold for $1.52y$ to $1.54 per bushel on November 18th, was selling for $1.65*^ to $1.69^ per bushel on December 18th, an advance of ap proximately 32 cents per bushel since the 1925 low point reached on October 3rd. Present (Decem ber 18, 1925) quotations compare with quotations of $1.70j^ to $1.73*4 o n December 18, 1924, and $2.02^4 to $2.05^2 per bushel on January 30, 1925 (1925 high) for the May, 1925, contract. Prices of hogs, sheep, and lambs, at Chicago markets, strengthened during November, while cattle prices tended to decline. A t the chief markets of this district cattle and lamb prices advanced slightly and hog quotations declined slightly during the month. An average of 98 w ool quotations on the Boston market advanced 3.35 cents (4.6 per cent) to 81.33 cents per pound during the month ending December 4th. The average stood at 96.64 cents per pound on December 4, 1924. Cotton quotations strengthened slightly during November, but remained lower than a year ago. Spot middling uplands cotton at the New Orleans market sold for 19.50 cents to 20.05 cents per pound at the end of November as compared with quotations of 18.05 cents to (F ) Com m odity P rices— C om m od ity W h o le s a le P r ic e s ( U . S. B u re a u o f L a b o r ) 1 9 1 3 = 1 0 0 ...................................... P u r c h a sin g P o w e r o f F a rm P r o d u c ts ( U . S. D e p a r tm e n t o f A g r ic u lt u r e ) * C a ttle (N a t iv e B e e f ) .W e e k l y a v e ra g e p r ic e at C h ic a g o .................................... H o g s ................................. W e e k ly a v e ra g e p r ice at C h ic a g o ..................................... L a m b s ............................. W e e k ly a v e ra g e p r ice at C h ic a g o ..................................... W h e a t ..............................C h ic a g o c o n t r a c t p r ic e fo r M a y w h e a t......................... B a r le y ...................... . . . S h i p p i n g b a rle y f. o . b. San F r a n c i s c o ............................ C o t t o n ............................. M id d lin g U p la n d s — W e e k ly ra n g e o f s p o t q u o t a tio n s at N e w O r le a n s ......................................................... W o o l ................................. A v e r a g e o f 98 q u o ta tio n s at B o s t o n ................................ S u g a r .............................. B eet g ra n u la te d f. o . b. San F r a n c i s c o ......................... A p p le s ............................. W in e s a p s , m e d iu m to la rg e e x tra fa n c y f. o. b. P a c ific N o r th w e s t .............................................................. P ru n e s ............................. S iz e 4 0 /5 0 in 25-lb. b o x e s f. o. b. C a lifo rn ia . . . . . . . R a is in s ............................ T h o m p s o n S e e d le ss B u lk in 25-lb. b o x e s f. o. b. C a lifo rn ia ............................................................................... C o p p e r ............................. E le c t r o ly t ic m o n th ly a v e ra g e at N e w Y o r k ............. L e a d ................................. M o n th ly a v era g e at N ew Y o r k ........................................... S ilv e r ................................M o n th ly a v era g e at N ew Y o r k ........................................... Z in c .................................M o n th ly a v era g e at St. L o u is ........................... ................ L u m b e r ( S o f t w o o d ) .. W e e k l y I n d e x U n ite d S t a t e s § ........................................... U nit O ne M o n th A g o One Y ear A g o 157.6 87 $9.95 11.15 16.10 1 . 6 7 - 1 .7 2 # 1 .6 0 -1 .7 0 157.5 87 $ 1 0 .4 5 f 11.10 15.05 1 .4 4 ^ -1 .4 7 ^ 1.5 0 -1 .7 5 152.7 86 $9.75 9.00 14.85 1.59J4-1.61J4 2 .7 5 -2 .9 0 lb. lb. lb. 1 9 .5 0 -2 0 .0 5 * 81.330 5.3 5 * * 18.0 5 -1 9 .8 2 0 77.980 5.350$ 2 3 .0 0 -2 3 .7 0 0 96.640 7.400 box lb . 2 .0 0 -2 .1 5 .0 8 J 4 -.0 9 100 lb s. 100 lb s. 100 lbs. bu . ce n ta l lb lb . lb . oz. lb . D e ce m b e r 4,1925 .07^4 14.3530 9.7390 69.2230 8.6140 30.42 2.15 . 0 8 - .0 8 # 2.35 .1 0 -.1 0 J 4 .07*4 14.3000 9.5130 71.1060 8.2820 30.59 .0 7 ^ 13.6350 8.6890 69.2990 6.7960 30.75 * R a tio o f farm p r ice s (A u g u s t , 190 9-J u ly, 1 9 1 4 = 1 0 0 ) to w h o le sa le p r ice s o f n o n -a g r ic u ltu r a l c o m m o d itie s ( 1 9 1 0 -1 9 1 4 = 1 0 0 ). f R e v is e d . Î N o v e m b e r 16, 1925. § A s p u b lis h e d b y “ T h e L u m b e r M a n u fa c tu r e r and D e a le r .” ° Q u o t e d at $5.25 p e r 100 lbs. o n D e c e m b e r 21, 1925. 96 M O N TH LY REVIEW OF BUSINESS CONDITIONS 19.82 cents per pound at the end of October, 1925, and 23.00 cents to 23.70 cents per pound at the close of November, 1924. Prices paid for certain varieties of fresh grapes at California shipping points, as re ported by the Department of Agriculture, dur ing the past tw o seasons are given in the table b e lo w : R ange D u rin g T A B L E G R A P E S — Per C rate W e e k Ending T h o m p so n s M alagas O c t o b e r 31, 192 5................................... ... S e p te m b e r 26, 1 92 5........... $ 0 .6 0 -$ 0 .6 5 $ 0 .7 5 -$ 1 .0 0 A u g u s t 29, 1 9 2 5 .............................6 0 - .70 . 7 5 - ' .95 N o v e m b e r 1, 192 4................................. 1 .1 0 - 1.50 S e p te m b e r 27, 192 4............................. 1 .0 0 - 1.25 A u g u s t 30. 1 92 4.............................6 0 - .70 .9 0 - 1.25 1 .1 0 - 1.15* 1 .0 0 - 1.50 1 .5 0 - 2.C0 JU IC E G R A P E S -P e r T on A lica n te s Z in fa n d e ls O c t o b e r 24, 1 9 2 5 .. . $100.00 $ 8 0 .0 0 -$ 8 7 .5 0 f S e p te m b e r 26, 1925 .$ 1 0 5 .0 0 -$ 1 2 0 .0 0 8 0 .0 0 -1 0 2 .5 0 A u g u s t 29, 1 9 2 5 .. .. 8 5 .0 0 - 95.00 7 0 .0 0 - 75.00 O c t o b e r 25, 1 9 2 4 .. . 1 3 5 .0 0 - 175.00$ 9 0 .0 0 -1 2 5 .0 0 S e p te m b e r 27, 1924. 1 1 5 .0 0 - 130.00 8 7 .5 0 -1 1 0 .0 0 A u g u s t 30, 1 9 2 4 .. .. 1 1 0 .0 0 - 120.00 7 7 .5 0 - 80.00 M u scats $ 3 5 .0 0 -$ 4 7 .5 0 3 5 .0 0 - 42.50 3 2 .5 0 - 35.00 4 5 .0 0 - 60.00 3 7 .5 0 - 45.00 3 7 .5 0 - 40.00 ♦ O c to b e r 25, 1924. f O c t o b e r 17, 1925. Tokays $0 .7 5 -$ 0 .8 5 1 .0 0 - 1.15 December, 1925 Increase in loans, and in investments, relative to deposits of reporting member banks during the year 1925 was reflected in a corresponding increase in their borrowings from the Reserve Bank. Total loans and investments of these banks increased by approximately $63,000,000 more than did their deposits, and their borrow ings from the Reserve Bank increased by ap proximately $57,000,000. M IL L IO N S O F D O L L A R S $ O c t o b e r 18, 1924. M onthly average prices of copper, lead, and zinc increased 0.4 per cent, 2.4 per cent, and 4.0 per cent, respectively, during November, continuing at higher levels than a year ago. Average monthly prices of silver were slightly lower in November than in October, 1925, and November, 1924. Lum ber prices at Pacific Northwestern producing centers changed little during November. M E M B E R B A N K C R E D IT —T W E L F T H D IS T R IC T Banking and Credit Situation During 1925 the total volume of credit ex tended by member banks in the Twelfth Fed eral Reserve District rose to record levels. D e mand for Reserve Bank credit, if measured by total discounts, reached higher levels than in 1924 and, if measured by total earning assets, reached higher levels than in any year since 1921. Total loans and investments of reporting member banks in the district increased through out the year. A t $1,691,000,000 on December 9, 1925, they were at the highest figure ever re corded, and were $220,000,000 or 15.0 per cent larger than a year ago. Total deposits also in creased during the year. The increase was not so great, either actually or relatively, as that of total loans and investments, however, hence the ratios of total deposits to total loans and investments and of total deposits to total loans declined. During O ctober and November, 1924, these ratios were at record levels for the post war period. R atio o f T otal D e p o sits r ,-------------------t o — :---------------^ T ota l L oans and T otal Investm ents L oans D e c e m b e r 9, 1925 (1925 l o w ) ............................. 96.2 134.0 J a n u a ry 14, 1925 (1925 h i g h ) ........................... 102.0 144.0 D e c e m b e r 10, 1 92 4................................................... 100.8 141.5 N o v e m b e r 12, 1 9 2 4 ................................................... 103.4 144.1 O c t o b e r 15, 1924 ( P o s t -w a r h i g h ) ................. 104.3 144.6 F igures fo r 67 m em ber banks in leading cities, as o f last W ed n esd a y o f each m onth. L atest figures, N o v e m b e r 25. Increase in the volume of reporting member bank credit in use in this district during the year was chiefly the result of an increase of $165,000,000 (15.8 per cent) in total loans, the principal item of which was an increase of $105,000,000 in commercial loans. The increase in loans on securities, amounting to $61,000,000 (27.9 per cent) was, however, relatively greater than the increase in commercial loans (12.6 per cent). For all reporting member banks in the United States, the relative increase (17.4 per cent) in loans on securities was approxi mately six times greater, and the actual in crease ($833,000,000) was approximately three and one-half times greater than the increase in commercial loans ($246,000,000 or 3.0 per cent) during the year. Demand deposits of reporting member banks in the Twelfth Federal Reserve District de clined during the first six months of the year and increased thereafter, movements which were partly seasonal in character. The net movement for the year ending Decem ber 9, 1925, was a decrease of $7,000,000. Tim e de posits including savings deposits, increased almost without interruption during the whole December, 1925 FEDERAL RESERVE AGENT AT SAN FRANCISCO of 1925, and on December 9, 1925, were $157,000,000 (23.6 per cent) larger than on Decem ber 10, 1924. R E P O R T I N G M E M B E R B A N K S * — T w elfth D istrict (In millions of dollars, percentage changes in parentheses.) C o n d itio n D e c . 9, 1925 T o t a l L o a n s ................. 1,213 C o m m e r c ia l L o a n s . . . 935 L o a n s on S e c u r i t i e s . .. 278 I n v e s tm e n ts .................. 477 T o t a l L o a n s and In v e s tm e n ts .............. 1,691 N e t D e m a n d D e p o s it s 798 T im e D e p o s its ............ 823 B o r r o w in g s fro m F e d eral R e s e r v e B a n k . 60 <--------------- C h anges fr o m -----------------\ O n e M on th Ago ( 2 .3 ) ( 2 .6 ) ( 1 .4 ) ( 0 .5 ) O ne Y ear Ago ( 15.8) ( 12.6) ( 2 7 .9 ) ( 13.0) +27 4 -2 3 + 4 3 4" +165 +105 + 61 + 55 + 3 0 ( 1 .8 ) + 1 0 ( 1.3) + 2 ( 0 .2 ) +220 ( — 7 ( +157 ( + + 7 (1 2 .7 ) 15.0) 0 .9 ) 2 3 .6 ) 57 (1 ,8 4 4 .6 ) * T o t a l re s o u r c e s o f r e p o r t in g b a n k s are a p p ro x im a te ly 5 0 % o f tota l re s o u r c e s o f all b a n k s, and 7 5 % o f to ta l r e s o u r c e s o f all m e m b e r ban k s in T w e lft h F e d e ra l R e s e r v e D is tr ic t. R e p o r t in g ba n k s e m b r a c e m e m b e r b a n k s in L o s A n g e le s , O a k lan d, O g d e n , P o r tla n d , S a lt L a k e C ity , S an F r a n c is c o , S ea ttle, S p o k a n e , a n d T a c o m a . Fluctuations in demand for Reserve Bank credit during 1925 have reflected, in a general way, the course of member bank credit. The trend of total discounts was steadily upward from January to November, since when there has been some liquidation. As a result of this upward movement total holdings of bills and securities were $13,000)000 (12.2 per cent) larger on December 16, 1925, than on Decem ber 17, 1924. H oldings of United States securi ties and of bills purchased in the open market declined over the year period. Open market operations of the Federal Reserve Bank of San Francisco, however, reflect national as well as local (Tw elfth District) conditions. M IL L IO N S OF DOLLARS 97 2. A moderate increase, $10,000,000 or 6.1 per cent, in total deposits, chiefly member bank reserve deposits. 3. A decline of $9,000,000 or 4.0 per cent in the amount of Federal reserve notes in actual circulation. 4. A decline of $13,000,000 or 4.6 per cent in total money reserves held. Payment of gold into circulation and for export was a factor in this decline. 5. A resulting decrease from 75.3 to 71.6 in the ratio of total reserves to combined de posit and Federal reserve note liabilities. F E D E R A L R E S E R V E B A N K O F SA N F R A N C IS C O (in millions of dollars, percentage changes in parentheses.) C on dition --------------C hanges f r o m ---------------\ D e c .16, O n e M on th O n e Y ea r 1925 Ago Ago T o ta l B ills and S e cu ritie s * 122 — 5 ( 3 .6 ) + 1 3 ( 12.2) B ills D is c o u n t e d ! ............... 50 0 + 4 1 (4 3 6 .0 ) U n ite d S tates S e cu ritie s . . 39 — 5 (1 1 .1 ) — 15 ( 2 7 .5 ) B ills B o u g h t t ........................ 32 0 — 13 ( 2 9 .2 ) T o t a l R e s e r v e s ...................... 274 + 6 ( 2 .4 ) — 13 ( 4 .6 ) T o ta l D e p o s its ...................... 176 0 + 1 0 ( 6 .1 ) F ed era l R e s e rv e N o te C ircu la tio n ........................ 208 + 4 ( 1.8 ) — 9 ( 4 .0 ) * F o r m e r ly p u b lis h e d as “ T o t a l E a r n in g A s s e t s .” t F o r m e r ly p u b lish ed as “ D is c o u n t s .” J F o rm e r ly p u b lis h e d as “ P u rc h a se d A c c e p t a n c e s .” On November 23, 1925, the rediscount rate at the Federal Reserve Bank of San Francisco, on all classes and maturities of paper, was raised from Z]/2 per cent to 4 per cent. The Z l/ 2 per cent rate had been in effect since August 25, 1924. Interest rates charged by member banks in principal cities of the Twelfth Federal R e serve District remained relatively stable throughout the entire year at levels slightly above those of the last six months of 1924. I N T E R E S T R A T E S — C O M M E R C I A L P A P E R * - T w e lf t h D istrict W e e k ending D e c .12-15, N ov.12-15, D e c . 15. N o v . 15, 1925 1925 1924 1924 L o s A n g e l e s ............ 6% 6% 6% 5 y4 % S an F r a n c is c o 5 -5 ^ % 5% 5 -5 ^ a % P o r tla n d .................... 6% 6% 6% 6y3% S alt L a k e C i t y . . . . 6% 6% 7% 7% S e a ttle ........................ 6% 6% 7% 6% 5 -6 -7 % 7% 7% 7% *30-60-90 d a y m a tu r ity , e lig ib le f o r r e d is co u n t u n d e r th e F e d era l R eserve A c t. Demand for intermediate and long time agri cultural credit, as differentiated from the short time credits extended by the Reserve Bank, decreased moderately during the year. Total N oteworthy changes in the balance sheet of loans outstanding of the Joint Stock Land the Federal Reserve Bank over the year period Banks, Federal Land Banks and Federal In (Decem ber 17, 1924, to Decem ber 16, 1925) termediate Credit Banks of the district, at have b e e n : $156,895,000 on November 30, 1925, were $1,1. An increase of $41,000,000 or 436.0 per 875,000 (1.2 per cent) smaller than on N ovem cent (to $50,000,000) in volume of bills dis ber 30, 1924. The decrease was the result of counted for member banks, principally city decreased borrowing at the Federal Inter member banks. On Decem ber 1, 1925, total mediate Credit Bank and the Federal Land discounts were higher, excepting the figure Bank at Berkeley, California. Increased bor of $75,000,000 reported on November 3, 1925, rowing was reported from all states of the dis than at any time since October, 1923. trict, except California. R E S E R V E B A N K C R E D IT —T W E L F T H D IS T R IC T F igu res fo r F ed eral R e se rve B ank of San F ra n cisco , as o f last W e d n e s day o f each m onth. Latest figures, N ov e m b e r 25. I ndex V o l. I X Ja n u a ry— D e ce m b e r, 1925 Page Agricultural Activities: ................................................... 2, 10 19, 27, 35, 43, 51, 59, 67, 75, 83, 91 Agricultural Marketing: Trends, Activity............. 3, 11 19, (See also Tables: Agricultural Marketing Activity) Automobile Registrations: B y states in the Twelfth District, 1923-1924.. .6, 14 Bank Debits: By months for 21 Cities in the Twelfth D istrict.5, 13 22, 29, 38, 45, 53, 61, 69, 78, 85, 94 Banking and Credit Situation: ....................................7, 15 24, 32, 40, 48, 56, 64, 72, 80, 88, 96 B a r l e y :........................................ 19, 51, 59, 67, 71, 75, 83, 91 (See also Tables: Grain and Field Crops, Pro duction; and Tables: Agricultural Marketing Activity) B e a n s :........................................................51, 59, 67, 75, 83, 91 Beet Sugar: (See Sugar Beets) Building Activity: Permits by months for 20 Cities in the Twelfth D is tr ic t............................................................................4, 12 21, 28, 36, 44, 52, 60, 68, 76, 84, 92 Business Failures: (See Failures— Business) Butter: ....................................................................................... (See also Agricultural Marketing and Tables: Agricultural Marketing Activity) 3 Canned and Dried F r u i t s :.........................5, 21, 53, 61, 69 (See also Prices and Tables: Commodity Prices) Charts: Bank Credit: A ll Federal Reserve Banks....................................2, 10, 26, Member Banks in Leading Cities of the United S t a t e s ............................. 10, 18, 26, 34, 66, 74, 82, 90 Bank Debits in 21 Principal Cities of the Twelfth District, 1922-1925..................................................... 13, 22 29, 38, 46, 53, 61, 69, 78, 85, 94 (See also Charts: Debits to Individual A c counts, etc.) Building Permits— Value in 10 Principal Cities of the Twelfth District, 1920-1925....................21, 36, 52 Crop Production and Farm Prices, October, 1924, and October, 1925.......................................................... 75 Debits to Individual Accounts in 20 Principal Cities of the Twelfth District, 1923-1924........... 5 (See also Charts: Bank Debits, etc.) Department Store Sales: In the United S t a te s .......................................... 2, 42, 58 In the Twelfth District (See Charts: Retail Trade in the Twelfth District) Factory Employment (and Payrolls) in the United States ...................................... 18, 34, 50, 66, 82 Federal Reserve Bank of San Francisco— Prin cipal Resource and Liability Items, 1924-1925 15, 48 1922-1925................................................. 24, 32, 64, 72, 97 Lumber— Production, Orders and Shipments by 4 Lumber Associations, 1923-1924.........4, 11, 20, 28 Member Banks (reporting) in the Twelfth Dis trict— Principal Resource and Liability Items, 1924-1925 .................................................................8, 15, 48 1922-1925...........................24, 32, 56, 64, 72, 80, 88, 96 Charts (Continued): Pa^e Prices of Agricultural and Non-Agricultural Commodities, 1919-1925 ...................................... 40, 70 Prices of Native Cattle, Light H ogs, and Aged Sheep at 60, Chicago, 27, 36, 44, 52, 67, 75 1925........................................ . . . 31 Production in Basic Industries of the United States, Index o f ............................................................ 1, 9 17, 25, 33, 41, 49, 57, 65, 73, 81, 89 Rediscount Operations, Comparative, 1920-1925: (Last page of Supplement to March Issue) Retail Trade in the Twelfth District, 1923-1924.. 6 1 9 2 2 -1 9 2 5 .... 13, 22, 30, 38, 46, 54, 62, 70, 78, 86, 94 Wholesale Prices — United States Bureau of Labor Statistics' Index, 1922-1925.........................1, 9 17, 25, 33, 41, 49, 57, 65, 73, 81, 89 Citrus Fruits (Oranges and L em ons): (See Fruits —Marketing, Production and Prices) Cotton: ...............................................35, 51, 59, 67, 75, 83, 91 (See also Prices, Tables: Grain and Field^Crops, Production, and Tables: Commodity Prices) Dairy and Poultry Products: (See Butter and Eggs) Department Store Sales in the Twelfth District: (See Retail Trade and Charts: Retail Trade in Twelfth District) District Conditions (Statistical Sum m ary): . . . . 18, 26 34, 42, 50, 58, 66, 74, 82, 91 Dried Fruit: (See Canned and Dried Fruit) E g g s : ........................................................................................... (See also Agricultural Marketing and Tables: 3 Agricultural Marketing Activity) Electric Energy: Consumption, Production, and S a le s.. .12, 21, 29, 45 Employment: Conditions, General ......................................................5, 11 20, 27, 36, 44, 52, 60, 68, 76, 84, 92 42, 50, 58, 74, 90 (See also Industrial Activity and Tables: E m ployment) Failures—Business:............................. 6, 14, 23, 31, 39, 46 Federal Intermediate Credit Banks: ...................... 48, 97 Federal Land Banks: ......................................................48, 97 Federal Reserve Bank of San Francisco: (See Banking and Credit Situation) Field C rops: .................................................................35, 43, 51 (See also specific crops, such as Cotton, etc., and Tables: Grain and Field Crops, Production) Financial Conditions in Twelfth District: Flour: (Supplement to March Issue) Production, Millers’ Holdings, M arket................4, 12 20, 29, 37, 45, 53, 61, 69, 77, 85, 93 Fruits—Marketing, Production and Prices: Canned and Dried (See Canned and Dried Fruits) Citrus (Oranges and L e m o n s)............................. 27, 43, 51, 59, 67, (See also Prices and Tables: Orchard Crops, and Tables: Agricultural Marketing Activity) Deciduous ........................................ 35, 43, 51, 59, 67, G r a p e s .................................................................67, 76, 83, (See also Prices and Tables: Orchard Crops— Production, Tables: Agricultural Marketing Activity and Tables: Commodity Prices) Gasolene: (See Petroleum) 35 75 76 91 INDEX Page Page General Business and Trade: .............................5, 13 21, Savings Accounts: 29, 38, 45, 53, 61,Comparative 69, 78, 85, 94figures by Cities in the Twelfth Dis Bank Debits, trict ............. 6, 14, 23, 30, 39, 47, 55, 62, 70, 79, 86, 95 Automobile Registrations, Business Failures, Retail Trade, Savings De posits, Wholesale Trade) Grain Crops: (See also Condition, Marketing, Prices................................. 10, 19 51, 59, 67, 75, 83, 92 (See also Prices, specific crops, such as Wheat, etc., Tables: Agricultural Marketing Activity, and Tables: Grain and Field Crops) Statistical Tables: (See Tables) Sugar B e e t s :.................... 27, 35, 43, 51, 59, 67, 75, 83, 91 (See also Tables: Grain and Field Crops, Produc tion) Tables: Agricultural Marketing A ctivity............................. 3, 11 19, 27, 35, 43, 51, 59, 67, 75, 83, 92 Automobile Registrations, 1923-1924.................... 6, 14 Industrial Activity:..............................................3, 11 Bank Debits at 21 Cities in the Twelfth District. 20, 27, 36, 44, 52, 60, 67, 76, 84, 92 6, 13, 22, 30, 38, 46, 54, 62, 70, 78, 85, 94 (See also Canned and Dried Fruit, Building Ac Building Permits in 20 Cities of the Twelfth D is tivity, Electric Energy, Employment, Flour, trict, 1923-1924 .............................................................. 5 Lumber, Milling, Mining, Petroleum, Salmon) 1924-1925 . . . 12, 21, 29, 36, 44, 52, 61, 68, 76, 84, 93 Interest Rates: (See Banking and Credit Situation) Commodity Prices ........................................................7, 14 23, 31, 39, 47, 55, 63, 71, 79, 87, 95 Joint Stock Land Banks:....................................48, 97 Farm Prices, Index Numbers o f ................................. 79 Labor: (See Employment) Department Store Sales.............................................23, 30 38, 46, 54, 62, 69, 78, 86, 94 Livestock: Federal Reserve Bank of San Francisco— Changes Range Conditions, Prices, Market, Market Re in Principal Items of Condition Statem en t.. .8, 15 ceipts...................... 3, 10, 19, 35, 36, 43, 52, 60, 83, 92 # 24, 32, 40, 48, 56, 64, 72, 80, 88, 97 (See also Tables: Agricultural Marketing Activity Federal Intermediate Credit B anks........................... 48 and Tables: Livestock on Farms and Ranges) Federal Land Banks, 1924-1925................................. 48 Fruit, Canned ................................................... ................. 56 Lumber:.......4, 11, 20, 28, 37, 44, 52, 60, 68, 77, 84, 93 Fruit, Canning, 1922-1925 ............................................. 56 (See also Prices and Tables: Commodity Prices) Grain and Field Crops— Production.................... 51, 59 Maps: 67, 75, 83, 91 Joint Stock Land B anks................................................. 48 Financial Conditions in the Twelfth District Livestock, Prices o f ............................................ 55, 63, 87 (Supplement to March Issue) Metal Prices, 1924-1925 .............................................. . 64 Territories of Head Office and Branches of Fed Member Banks (Reporting) in the Twelfth D is eral Reserve Bank of San Francisco............. 16, 100 trict— Changes in Principal Resource and Lia Member Banks (Reporting) in Twelfth District: bility Items .................................................................8, 15 24, 32, 40, 48, 56, 64, 72, 80, 88, 97 (See Banking and Credit Situation) Nuts— Prices, Production ...................................... 80 Milling: (See Flour) (See also Tables: Orchard Crops— Production) Mining : Orchard Crops— Production...................... 59, 67, 75, 83 Petroleum . .4, 12, 20, 29, 37, 45, 53, 61, 69, 77, 85, 93 Gold, Silver, Copper, Lead, Z in c.............................4, 11 Potatoes and Grapes— Production and Shipments 20, 28, 37, 44, 53, 61, 68, 77, 85, 93 83, 87 National Conditions, Summary of: ......................1, 9 Rainfall Data for the Twelfth District, 1923-1924. 27 17, 25, 33, 41, 49, 57, 65, 73, 81, 89 Rediscount Rates, Changes in ...................................... 88 Petroleum: Retail Trade ..................................................................... 6, 13 Production, Shipments, Stored Stocks..................4, 11 (See also Tables: Department Store Sales) 20, 28, 37, 45, 53, 61, 68, 77, 84, 93 Salmon Pack ..................................................................... 85 (See also Prices, p. 87) Potatoes: .............................. 35, 51, 59, 67, 75, 83, 91 Savings A c c o u n ts ...................... 6, 14, 23, 30, 39, 47, 55 (See also Prices, and Tables: Grain and Field (See also Tables: Savings Deposits) Crops, Production) Savings D e p o s its ....................................62, 70, 79, 86, 95 Prices: Shipments— Deciduous Fruits .................................... 76 O f Principal Products of Twelfth District, Com Statistical S u m m a r y ................................................... 18, 26 34, 42, 50, 58, 66, 74, 82, 91 parative Changes in ................................................... 6, 14 Stock on86, Farms (W h eat and Barley)— Per Cent 23, 31, 39, 47, 55, 63, 70, 79, 95 of Crop Shipped Out of County W here Grown 19 (See also Tables: Commodity Prices) W holesale Trade .......................................................... 5, 13 Raisins: ............................................ 59, 67, 75, 83, 92 22, 30, 39, 46, 54, 62, 70, 79, 86, 95 (See also Tables: Orchard Fruits— Production, W h e a t : ................................. 2, 19, 27, 35, 43, 51, 59, 83, 91 and Prices) (See also Prices, Tables: Agricultural Marketing Rediscount Rates: Activity, Tables: Grain and Field Crops, and Changes i n ....................................................................... 88, 97 Tables: Commodity Prices) Retail Trade : Activity, and Statistics of Sales in Twelfth District 6, 13, 22, 30, 38, 45, 54, 62, 69, 78, 86, 94 Rice: ................................................. 43, 51, 59, 67, 75, 83, 91 (See also Tables: Grain and Field Crops, Pro duction) Salmon: ................................. ................................ 85 (See also Prices, p. 87) W holesale Trade: Activity, Collections, Prices, Statistics of Sales in Twelfth District ....................................................... 5, 13 22, 30, 38, 46, 54, 62, 70, 78, 86, 94 W o o l: Consumption, Production and Prices..................3, 19 27, (See also Prices and Tables: Commodity Prices) 3
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