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« • “NOT TO B E R ELEASED FOR PU BLICA TIO N BEFO RE T H E M O R N IN G OF FEBRUARY 28,1921 A g r ic u l t u r a l a n d B u sin e ss C o n d it io n s IN T H E 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 M o n th ly R e p o rt to the F ed eral R eserv e B oa rd by JOHN PERRIN , Chairman of the Board and Federal Reserve Agent Federal Reserve Bank of San Francisco Y o l. Y . S a n F r a n c is c o , C a lifo r n ia , F e b r u a r y O V E M E N T to market of the large crops produced in this district last year con tinues although at a slow rate. Suffi cient quantities of all products are available to meet existing demand. Carload receipts of wheat at the seaboard distributing cities of the Pacific Northwest are 18.5 per cent in excess of similar receipts last year T h e M onth at this time. Quantities of good hay are available to livestock men at prices from $10 to $15 per ton lower than last year’s levels, and the excellent condition of winter ranges is an added element favoring the carrying of flocks and herds through the winter. Approximately 90 per cent of the cot ton crop of the district is baled and ready for market, but only a small portion of this amount has been sold. It is reported that 50 per cent of last year’s cotton acreage will be planted this season to other crops, an important return to agricultural diversification. Deciduous or chards, while not yet free from the danger of frosts, have set buds which promise large yields. The combined citrus fruit yield, oranges and lemons, will be the largest in the history of California and movement to market has been larger than it was last year at this date. Milk condensaries in the Pacific Northwest are re suming operations. Although lumber production is less than at any time during 1920, several mills in the Northwest are reopening, and reduced cargo rates have been accompanied by slightly in creased export orders. Mining operations, par ticularly in gold and copper mines, remain approximately 50 per cent of capacity. Unemployment in the district, which has M 16, 1921 been abnormal this winter chiefly on account of curtailment in lumbering and mining, is ex pected to be measurably relieved in the imme diate future by partial resumption of lumber mill operations and the beginning of seasonal agricultural work. Although the value of January retail sales reported by 24 department stores in the district was 14.3 per cent less than the value of the same stores’ sales in January, 1920, the lower prices prevailing now as compared with a year ago indicate that the number of actual sales transactions is approximately the same as, or slightly greater, than the number in January, 1920. Unfortunately, enough of our inform ants do not report on this subject to justify a statistical compilation. W holesale trade activity reported by 145 firms in eight different lines, ranged from 6.8 per cent to 57 per cent less in value of net sales than it was in January, 1920, and from 1.7 per cent more to 66.7 per cent less than in Decem ber, 1920. Reported reductions in general wholesale prices are not sufficient to compen sate for these declines in value of sales, and it is probable that the physical volume of trade at wholesale is less than it was a year ago at this time and considerably beneath the volume in December, 1920. Business failures in January were consid erably larger in total liabilities than in Decem ber. Building operations during January, while less in value than they were in January, 1920, or last month, are 5.6 per cent greater in num ber than in December, 1920. January bank clearings were approximately 11 per cent less than they were a year ago, which, in view of Those desiring this report sent them regularly will receive it without charge upon application. N o. 2 2 A g ric u ltu r a l lower prices now prevailing, indicates business activity equal to, or greater than, that of last year at this season. Liquidation of member banks' borrowings from this bank has proceeded steadily during the past four weeks, a reduction of $20,000,000, or 12.6 per cent, having occurred in this bank’s holdings of bills discounted. Coincidentally Federal Reserve notes in circulation declined in amount by $13,000,000 or 5.2 per cent. Between December 23, 1920, when Federal Reserve notes in circulation were at their peak of $272,548,000, and February 11, 1921, their volume has diminished by $25,000,000. In the same period of time this bank’s holdings of bills discounted declined from $165,836,000 to $139,581,000, a liquidation of $26,000,000. The first month of the new year brought little change in the grain situation in the Twelfth Federal Reserve District. The wheat growers of the Pacific Northwest and Crains the barley growers of California are still inclined to hold their crops for better prices. The demand for these grains is lighter than usual however, and buyers have had no trouble in securing enough grain to satisfy their requirements. In the wheat grow ing areas of Oregon and W ashington it is estimated that approximately 45 per cent of the surplus beyond farm con sumption, of the 1920 wheat crop (60,882,000 bushels total crop) remains in first hands com pared with holdings estimated at 15 per cent at this time last year. The export demand was light throughout the month o f January, al though there were some comparatively large purchases for contracts entered into earlier in the season. The milling demand was heavier than it has been, but it is still below normal. The follow ing table shows comparative car load receipts of wheat at the chief seaboard distributing points of the Pacific Northwest up to and including February 7th of this year and last year. 1920 Portland ................... 5,853 cars Tacoma ................... 4,846 “ Seattle ..................... 4,390 “ 1921 11,032 cars 3,276 “ 3,542 “ Total ..................15,089 cars 17,850 cars California barley growers and dealers face a situation similar to that which confronts the wheat men of Oregon and Washington. Grow ers are showing less inclination to sell on a declining market than they did during the lat ter part of 1920 and there has been no improve and B u sin ess C o n d itio n s ment in either the foreign or domestic demand for barley. It is estimated that the increasing use of automobiles, motor trucks and tractors has cut down the consumption of feed barley one-third in the last ten years. During that period local consumption has averaged approximately 325,000 tons per year. Brewing barley is more dependent on the export trade than on domes tic demand. A considerable quantity of brew ing barley was sold to buyers from the United Kingdom, earlier in the season, and lesser amounts were taken by Sweden and Denmark, but these countries have not been active pur chasers for some time. The price of barley in European markets is lower now than in De cember, and under existing exchange conditions European countries are not heavy buyers. Based on a crop of 700,000 tons, the follow ing is an estimate of the disposition of Cali fornia’s 1920 crop of barley up to February 1, 1921: Feed and Seed............................... 135,375 tons Exported ................... ................. 226,480 “ On Hand ..................................... 338,145 “ The 1921 crop of both wheat and barley is reported to be in better than normal condition in all sections of the district, although exces sive rainfall has hampered seeding and hin dered growth in a few localities. In the prin cipal grain growing areas the fall sown wheat germinated well and made a thrifty growth before being covered with snow for the winter. Abundant rainfall has insured a liberal supply of moisture to start growth in the spring and only exceptionally unfavorable conditions from this time on can seriously injure the crop. The acreage seeded to barley in California is estimated to be slightly less than that of last year but some fields have not yet been seeded, due to the abnormal amount of moisture in the soil. The crop is at present in better condition than it has been for several years. As a result of the market conditions which have confronted the wheat growers during the latter part of the present season, considerable interest has been aroused in Wheat Growers’ the establishment of wheat Co-operative growers’ co-operative assoAssociations ciations to control the mar keting of the crop. An asso ciation has already been formed which em braces the wheat growers of W ashington and Idaho and a similar organization is now being projected for Oregon. The W ashington and Federal R eserve Bank of San 3 F r a n c isc o Idaho W heat Growers’ Association is a non stock, non-profit, co-operative marketing asso ciation, handling only the wheat produced by its members. Its aims include a reduction of overhead charges in bringing wheat to market, reduced profits for middlemen, and an orderly marketing of the crop over a period of months to avoid throwing the whole crop on the mar ket at harvest time. The association claims to have 15,000,000 bushels of the 1921 wheat crop under contract at the present time. During the 1920-1921 season the association is reported to have handled 2,500,000 bushels, 70 per cent of which has been marketed. Some slight improvement was noted in the milling industry during January although the flour output of the district is still considerably below normal. A ccording to reports M illing from 80 of the principal millers in the district, mills operated at 40.3 per cent of their capacity in January, compared with 26.7 per cent in December and 92.1 per cent in January a year ago. The total flour output of the reporting mills was 594,787 bar rels, an increase of 195,095 barrels over Decem ber, 1920. The reason for this increased activ ity is found in reduced surplus stocks of flour and a fairly steady demand within the district. The export trade in flour continues light. Stocks of wheat in millers’ hands on Febru ary 1st, as reported by 27 of the largest mills in the district, amounted to 2,020,914 bushels compared with holdings of 3,051,589 bushels on January 1st and 4,352,290 bushels on Feb ruary 1, 1920. This decrease in wheat stocks is a direct reflection of increased flour output, as millers have been more active wheat buyers during the past month than during the latter part of 1920. Flour stocks were also reduced during January, the same mills reporting 405,672 barrels on hand on February 1st compared with 587,877 barrels on January 1st and 426,776 barrels on February 1, 1920. Table “ A ” shows the January production of the reporting mills by states and the percent age of mill capacity in operation this year and last year. (A) Milling— No. Mills Reporting January December ( January The movement of the hay crop of the dis trict (13,164,000 tons) to market has been slow and limited and marked by a gradual decline in prices. The open winter and Hay generous rains have provided plenty of pasturage for stockmen and dairymen, and this, coupled with some reduction in the quantity of stock being fed, has greatly re duced the consumption of hay. The low prices prevailing for corns, coarse grains and other feeds, have aided in reducing the demand for hay and at present a considerable carry-over into the 1921 season is in prospect. Prices vary throughout the district, hay being cheap where transportation facilities are good, and higher in price in inaccessible localities. In general, prices are $10 to $15 per ton lower than last year. The growers of the state of Idaho face a special problem in connection with the dis position of their 1920 crop of hay. A record crop of 2,400,000 tons was produced last year, the surplus over intra-state requirements being approximately 1,000,000 tons. Normally, this surplus would have been marketed in the sur rounding states of this district with perhaps some shipments to eastern points. But the bulk of this crop is alfalfa hay, and due to presence of the alfalfa weevil in many of the grow ing sections of Southern Idaho, the states of Arizona, California, Colorado, Montana, Ne vada, Oregon and W ashington, and the Prov ince of British Columbia in Canada, have estab lished a quarantine against hay grown in Idaho. As a result, little hay has been moved out of the state, and while some of the crop is being manufactured into alfalfa meal, which is not affected by the quarantine, only a small portion of the surplus can be utilized in this way. Reports from all the cotton growing sections in the Twelfth Federal Reserve District indi cate that the acreage planted to cotton Cotton in 1921 will be considerably reduced as compared with 1920, and that diversified farming will replace the specialization in cotton which has been the rule during the Per Cent M ill Capacity in Operation Output______________________ January December 1921 California ........... Oregon .............. Washington ........ Idaho ..... .......... Utah .................. 10 29 35 3 3 8 28 35 5 2 217,209 barrels 138,984 barrels 50.5 135,419 “ 62,292 “ 40.2 237,053 “ 189,336 “ 32.1 5,106 “ 9,080 “ 42.0 — (Included in California Figures) Twelfth District.... 80 78 594,787 barrels 399,692 barrels 40.3 December 1920 34.1 20.7 26.1 29.4 January 1920 96.0 89.5 88.0 90.5 26.7 92.1 4 A g r ic u ltu r a l past few years of high prices. Estimates place the reduction as high as 50 per cent of the pres ent acreage (370,200 acres) and much of the 1921 crop will be volunteer cotton, as many growers find themselves unable to carry their last year’s crop and to finance the planting of the new crop at the same time. The land re leased from cotton cultivation will probably be planted to alfalfa, milo maize, grains, melons and fruits, or used for dairying and cattle raising. A bout 90 per cent of the district cotton crop, amounting to 161,000 bales, is now in the bale and ready for market but only a small portion of this amount has been sold. The demand for both long and short staple cotton remains light, although some improvement was noted during the latter part of January. A favorable factor is found in the reports from eastern tex tile centers. The number of mills that have resumed operations or increased their working hours is grow ing and since the first of the year there has been increased demand for spring cotton goods. Number one grade Pima (American E gyp tian) cotton was quoted at 3 3 ^ cents per pound f.o.b. New England points at the close of last month. The large crop of potatoes produced in this district (39,445,000 bushels) is moving to mar ket slowly, due to the limited demand and the prevailing low prices. The surplus Potatoes is held by the growers, only small stocks having accumulated in deal ers’ hands, whose present purchases are for immediate shipment on orders already re ceived. Table “ B ” shows the carlot shipments of potatoes during the present season com pared with last year, when the crop produced was only 32,222,000 bushels. This situation is not unusual however, but has prevailed in pre vious years of heavy production. Such years have always been marked by comparatively lighter shipments of potatoes, especially during the first half of the shipping season, when and B u sin e ss C o n d itio n s growers are inclined to hold their crop for better prices. Large crops in all producing sections decrease the necessity of importing the surplus product of other districts and this condition is soon felt in this district because it is farthest from the large eastern centers of consumption. Prices are about the same as those which have prevailed in previous heavy crop years and growers throughout the district are now receiving an average of less than $1 per bushel for their product. Although the demand has increased slightly in the past few weeks, the present market can only absorb the better grades of potatoes and second grade offerings are disposed of at a discount, if at all. The largest holdings of potatoes are reported from Southern Idaho, where approximately 1300 carloads (600 bushels to the car) are con centrated in the Idaho Falls district. Growers are selling only when forced to do so by matur ing financial obligations, as present prices are far below levels which they deem profitable. It is estimated that about 50,000 bales of the 1920 crop of hops (198,000 bales) remain in the hands of Pacific Coast growers. Dealers are holding only a negligible amount of H ops the crop excepting those hops which are already sold and are now awaiting shipment. The present price of hops ranges from twenty to twenty-five cents per pound and few buyers are in the market. One year ago hops were selling at sixty to seventy-five cents a pound and the trade was brisk. The most important factor in connection with the present condition of the Pacific Coast hop market is the restriction placed on the im portation of hops into the United Kingdom. Last August the British Government passed a law that no hops could be imported into that country without a license obtained from the H op Control Board. Under this law the Board has ruled that it will license only the importa tion of hops purchased before last August by British brewers, and then only if the brewers (B) Comparative Carlot Potato Shipments*— Season to Season to Total 1 9 1 9 -1 9 2 0 January, 1 9 2 1 Jan. 2 9 ,1 9 2 1 Jan. 2 9 , 1 9 2 0 Season California ............................................ Idaho ................................................. Nevada ................................................ Oregon ................................................ Washington ......................................... 698 1,065 94 73 144 8,468 6,098 261 488 2,180 7,646 5,886 569 396 2,228 8,589 6,853 722 785 3,088 Totals ............................................ 2,074 17,495 16,725 20,037 * Carloads of 600 bushels each. F ed era l R eserve Bank of San 5 F r a n c isc o have bought the full proportion of the English crop which was allotted to them, and provided that they can prove that the hops they wish to import are absolutely necessary to meet im mediate brewing requirements. It is thought that the lifting of this embargo would revive the trade in hops on this coast. The present winter has been a favorable one for the hop plants and there has been sufficient moisture in all the grow ing sections to insure a good crop this year. W eather conditions in the principal fruit grow ing sections of the Twelfth Federal Re serve District have been ideal both for old or chards and for newly planted trees 1921 and as a result the bearing trees have Fruit set an unusual number of fruit buds. Season In the Pacific Northwest the buds be gan swelling six weeks earlier than usual and in California the almonds and some of the earlier varieties of fruits are already in blossom. The com ing spring, however, will determine the size of the 1921 crop as the dan ger from late frosts will be more serious this year than in years when the winter has been more rigorous and blossom ing has not oc curred so early in the season. The supply of nursery stock for new plant ings is now beginning to overtake the demand, follow ing several years of shortage brought on by decreased production during and immedi ately follow ing the war. In California there is still a lack of some of the more important commercial varieties but due to present finan cial conditions, many contemplated plantings were deferred and the shortage was not so noticeable as it otherwise would have been. It is estimated that approximately 125,000 acres of deciduous fruit trees were planted in Cali fornia this season compared with estimated plantings of 150,000 acres last season. / i l i f K —— c a n nj ieFd r rr u iis c """ Hesitancy due to the delayed marketing of the 1920 fruit crop and continuous rains since early in the fall have combined to curtail plant ings in Oregon and W ashington this season. Many growers have been unable to get their land in condition for setting out trees because of rains which have been falling almost incessantly since last October. This situation has averted a possible shortage of some kinds of nursery stock and from now on supplies of trees will be more nearly normal. Apple, pear and cherry stocks are still comparatively scarce and prospective plantings will probably use all the stock produced in the next year or two. Peach, prune and plum trees will be more plen tiful next year and no further difficulty in securing these stocks is expected. The American Can Company has compiled an estimate of the pack of canned fruits and vegetables in the States of Oregon, W ashing ton and Idaho, which shows that Canned the combined 1920 production of Fruits and these states was curtailed, as it Vegetables was in California. The same causes for the reduction were operative in both cases, including the financial and marketing conditions prevailing at the time the pack was put up, the high price of sugar in the early months of the year when the canners were purchasing supplies, the re duced buying of wholesalers and jobbers, and the overstocked condition of the foreign mar kets. The estimated pack in the three states of the Pacific Northwest during 1920 and 1919 was as fo llo w s: 1920 Oregon ............ 1,019,391 cases Washington ..... 1,127,373 “ Idaho .............. 128,445 “ 1919 1,228,629 cases 1,310,281 “ 95,255 “ Total ......... 2,275,209 cases 2,634,165 cases Washington-------------------- ^ 1920 1919 Cases Apples ........................................................ 229,659 Apple Butter ................................................ 18,774 Blackberries ................................................. 150,119 Cherries ....................................................... 175,735 Loganberries ................................................ 43,000 P lu m s ......................................................... 5,720 Pears ......................................................... 174,785 Prunes ........................................................ 39,860 Peaches ....................................................... 1,169 Rhubarb ..................................................... 22,642 Raspberries.................................................. 90,699 Strawberries................................................. 17,358 Other F ru its................................................. 34,416 T o ta ls.................................................... 1,003,936 , Oregon 1920 • \ 1919 Cases Cases Cases 384,464 10,604 253,992 107,177 66,624 13,382 164,734 43,382 15,345 9,402 100,385 19,484 22,202 96,074 25,160 81,896 147,728 195,075 4,672 198,357 65,181 0 2,873 33,910 37,242 131,223 343,816 27,356 122,804 120,181 204,022 22,927 171,245 79,887 17,861 1,536 30,045 19,944 67,005 1,211,177 1,019,391 1,228,629 6 A g r ic u ltu r a l Table “ C” shows the principal items of the pack of fruits and berries in Oregon and W ash ington for the years 1920 and 1919, including cases of all grades and sizes. February 1st estimates of the California crop of citrus fruits tend to confirm previous forecasts of record crops of oranges and lem ons, the totals being placed at 49,000 Citrus cars of oranges and 10,700 cars of Fruits lemons. An increase of 600 cars over the Decem ber 1st estimate of the navel orange crop (26,000 cars) is indicated by picking and shipments thus far in the season. The quality of the fruit has been high but it has not been sizing up as well as last year and in many cases picking has been confined to the larger sizes which bring higher prices. It is expected that with good weather and frequent rains the smaller fruit will increase in size and it is also expected that the market for small sizes will be better later in the season. The Valencia orange crop promises to be the larg est ever produced in California. A comparative statement of orange ship ments and the total estimated crop this season and last season fo llo w s : January, 1921..................................... 3,429 cars January, 1920..................................... 2,457 “ Season to January 29, 1921................... 7,724 “ Season to January 29, 1920................... 7,030 “ Estimated total 1920-1921.................... 49,000 “ Estimated total 1919-1920.................... 35,547 “ and B u sin e ss C o n d itio n s Growers are delaying the picking of lemons due to the unsatisfactory condition of the mar ket and shipments from California are being held down to a minimum. Reports from the producing districts state that more than 500 cars of lemons have been dumped on refuse piles because the growers felt that they could only be marketed at a loss. Some lemons are thrown away every year, either because of deterioration in storage or because they were originally culls, but this season abnormal quan tities of fruit have been dumped. A comparative statement of lemon ship ments and the total estimated crop this season and last season fo llo w s: January, 1921.................................... January, 1920.................................... Season to January 29, 1921.................. Season to January 29, 1920.................. Estimated total 1920-1921................... Estimated total 1919-1920................... 627 cars 630 “ 2,435 “ 1,925 “ 10,700 “ 9,045 “ A test shipment of citrus fruits packed un der various conditions of refrigeration and ventilation was sent to the eastern seaboard by way of the Panama Canal during January. The fruit arrived on the Atlantic Coast in satisfac tory condition and the trip demonstrated that it will be practical to ship citrus fruits to the large eastern consuming centers in this manner. (D) Receipts o f Livestock— Cattle 1921 Calves 1920 1921 Hogs 1920 1921 Horses and Mules Sheep 1920 1921 1920 228 744 51 76 61 128 166 61 47 115 283 •• 1,760 53,116 52,113 56,049 47,628 380 557 1,043 82 214 93 353- 737 ...........26,026 26,597 1,785 (E) Purchases for Local Slaughter— Calves Cattle 1920 4,998 2,683 4,239 1,882 2,852 4,358 1,472 4,092 2,448 1,441 Total ................ ...........16,654 13,811 Portland ............................. Salt Lake City........... ........... Seattle .................... ........... ........... Tacoma ................... ........... 1921 Hogs 1920 1920 228 398 51 11,621 8,001 2,531 5,387 21,581 21,206 3,189 3,664 5,619 3,325 5,900 4,329 5,684 1,240 3,988 6,261 2,164 9,315 214 1,118 1,304 1,156 44,541 41,583 21,141 19,072 479 1921 Sheep 1921 571 82 214 84 353 1920 14,626 17,614 30,355 18,070 5,684 9,315 1,396 1,511 3,988 1,118 9,432 5,318 4,214 6,192 1,441 1921 1921 16,018 17,737 5,528 5,681 21,756 21,401 4,195 3,969 5,619 3,325 Portland .................. ...........11,217 Salt Lake City.......... ........... 4,759 Seattle ................... ............ 4,526 Spokane................... .......... 2,672 Tacoma................... .......... 2,852 1920 F ed era l R eserve Bank of San 7 F r a n c isc o Final figures on the 1920 pack of Hawaiian pineapple place the year’s output at 5,978,182 cases compared with earlier season estimates of 6,000,000 cases. Less than 10 Pineapples per cent o f the total pack remained unsold in the packers’ hands on January 1st and practically all of the fruit sold had been shipped from the islands by that date. The pack is passing into consumption fairly readily. The general decline in commodity prices during the last quarter of 1920 carried canned pineapple prices down to levels below the cost to the wholesaler, but a ready market has made this product a satisfactory com m od ity on which to realize needed money. It is estimated that the 1921 pack of pine apple in the Hawaiian Islands will be 5,844,000 cases of all grades and sizes. A comparative statement of the receipts of livestock and purchases for local slaughter at the five principal markets of the districts dur ing the month of January, is given Livestock in tables “ D ” and “ E.” The weather during the past month has been the most satisfactory that the livestock men of this district have experienced at this season in several years. W eather con ditions remained favorable on the Pacific Coast and improved in Nevada, Utah and Southern Idaho, so that with the exception of the ani mals in one or two dry sections in Arizona, the livestock of the district are in excellent con dition. Green feed has been abundant and hay continues in plentiful supply at prices which are $10 to $15 a ton below those of last year. Good weather and cheap feed are making it possible for many livestock men to hold their animals over the winter whereas one year ago the severe winter and high priced feed forced in the market a considerable amount of un finished stock. The demand for feeder animals was much stronger during the first two weeks of Febru ary than it has been for some time past and the supply was barely adequate to fill all require ments. H ogs were especially in demand and on February 7th, on the Portland market, feeders sold at a premium of twenty-five cents over fat pigs, which is the reverse of the usual quotations. The winter season is usually the time of greatest consumption and smallest supply in this district and as a result livestock prices hold fairly steady. During January the price of beef cattle showed slight advances over De cember prices although some tendency to de cline to former levels was noticeable on the Salt Lake City market. Top prices in the five principal markets of the district averaged from $8.00 to $9.25 a hundredweight for steers, from $6.50 to $7.50 a hundredweight for cows, and from $11.00 to $13.00 a hundredweight for calves. The hog market was strong and would have absorbed considerably larger supplies than were offered by local producers. H ogs from Kansas, Nebraska, and North Dakota are now being shipped into the district to fill local needs, although it would seem that the produc tion and fattening of hogs within the district would be profitable at the present time, when there is an abundance of low priced grains and feed. During the month of January hog prices were higher than they were one year ago and the markets of this district maintained their advantage over middle W estern points, top hogs bringing from $10.50 to $11.50 per hun dredweight. Sheep trading during January was light, as is usual at this time of year, and the market remained steady throughout the month. The only weakness reported was on the Salt Lake City market which is more sensitive than those of the other cities of this district to the fluctuations in middle W estern livestock markets. T op lambs averaged from $9.00 to $10.50 per hundredweight during the month, which was slightly above the prices quoted in December, 1920. (F) Prices Received by Milk Producers*— fSection Mountain (110 markets)............... Pacific (198 markets)................... United States (2916 markets)......... January Bange $2.27-$3.47 2.32- 4.41 2.03- 5.23 January Average $2.88 3.37 3.25 *A11 prices per hundredweight for milk testing 3.5 per cent butter fat. fMountain Section includes Idaho, Utah, Nevada and Arizona. Pacific Section includes Washington, Oregon and California. December Average January, 19 Average $3.04 3.57 3.50 $3.16 3.66 3.82 8 A g ric u ltu r a l Some of the milk condensarles in the Pacific Coast states have resumed operations on a small scale and as stocks on hand decline, their output will be increased. Other Dairy plants are still making butter from Products the milk brought to them. An in creased domestic demand is an en couraging feature of the canned milk situation at present, but foreign orders are lacking and the depressed export market which prevailed in 1920 has thus far been an important factor in the 1921 trade. Exports of canned milk from the United States during 1920 and 1919 were as follow s: Amount 1920.................. 414,250,021 cases 1919.................. 852,865,414 “ Value $ 65,239,020 121,893,337 The average price paid to milk producers by the condensaries of the Pacific Northwest during the month of January was $1.71 per hundredweight. The average price paid in the whole United States during the same period was $2.13 per hundredweight which is $1.36 less than the price paid in January, 1920. Prices paid to producers by fluid milk distrib utors are shown in table “ F.” Outstanding features in the movement of cold storage butter during the month of Janu ary were the large increase in the holdings at and B u sin ess C o n d itio n s San Francisco and the steady decrease in the holdings at Los Angeles. Approximately 230,000 pounds of New Zealand butter were placed in storage in San Francisco during the past month and as a result that city shows a net increase of 148,607 pounds in cold storage holdings. Storage and undergrade butters are in poor demand on all markets. Supplies of butter of all kinds continue large and prices in the district were slightly lower than in December and considerably lower than in January, 1920. The weakness of eastern markets is reflected in local conditions, espe cially in California, which depends on New York and other eastern centers to absorb its surplus production at this season of the year. A comparative statement of cold storage withdrawals during January, 1921 and 1920 and total holdings on February 1st at the four principal markets of the district is given in table “ G.” January production of lumber by the report ing mills of the four lumbermen’s associations in this district was 43.6 per cent less than in De cember, and is now approximately Lum ber one-half of normal production. During the early part of February, however, there were indications of improvement in this industry, which was forecasted during January by the margin of over 15,000,000 feet by which (G) Holdings and Withdrawals o f Cold Storage Butter— January, 1 9 2 1 Net Withdrawals City January, 1 9 2 0 Net Withdrawals February 1, 1 9 2 1 Holdings February 1 ,1 9 2 0 Holdings Los Angeles............... Portland ................... San Francisco ............ Seattle ...................... 218,507.pounds 42,552 “ *148,607 “ 182,924 “ 40,937 pounds 67,728 “ 243,917 “ 130,415 “ 188,880 pounds 226,146 “ 615,596 “ 274,243 “ 23,762 pounds 289,887 233,421 413,855 Totals ................ 295,376 pounds 482,997 pounds 1,304,865 pounds 960,925 pounds *Net Increase. (If) Lumber Statistics— W est Coast L u m b e r m e n ’s A s s o c ia tio n 4 Weeks ending Jan. 29 Average No. of M ills Re porting ... 114 C u t * ..........130,865 Shipments*.. 133,645 O rd e rs*..... 140,221 Pre ceding Four Weeks 116 187,142 188,669 114,737 * In thousands of board feet. W e s te rn P in e M a n u fa c tu re rs * A s s o c ia tio n 4 Weeks ending Jan. 29 36 18,203 29,942 30,300 Preceding Four Weeks 31 40,947 27,707 21,725 C a lif o r n ia W h ite a n d S u g a r P in e M a n u fa c tu re rs * A s s o c ia tio n 4 Weeks ending Jan. 2 9 Preceding Four Weeks 5 740 2,263 4,729 4 2,350 2,415 1,382 C a lif o r n ia Redw ood A s s o c ia tio n 4 Weeks ending Jan. 29 9 10,308 9,197 4,413 Preceding Four Weeks 11 17,693 10,542 4,523 TO TAL 4 Weeks ending Jan. 29 164 160,116 175,892 179,802 Preceding Four Weeks 162 284,132 229,243 142,367 F ederal R eserve Bank of San 9 F r a n c isc o shipments and orders each exceeded produc tion. It is estimated that 50 per cent of the mills will be in operation by the middle of February; wage scales are being revised am icably; and logging interests have voluntarily reduced log prices to substantially lower levels. Orders for lumber received during January were 26.2 per cent greater than December bookings and prices in general are tending to stiffen. Mill men be lieve that the resumption of railroad buying is near at hand and this is expected to consume 33 per cent of the fir mill capacity for an in definite period. Some improvement in the freight rate situa tion is noted, coast shippers anticipating ad justments in rail rates about March 1st. Cargo rates have been reduced materially, and it is reported that, within a period of eight days, there were three reductions in the ocean rate from Northwest Coast ports to the Atlantic seaboard. On February 7th it was reported to be $17.50 per thousand feet on independent steamers. One W ashington mill reports an order of 32,000,000 board feet from China and South America. The Intercoastal Rate Con ference announced a new rate on shingles of $1.35 per thousand, the previous rate having been $1.85. Comparative figures of cut, shipments and orders for the reporting mills of the four asso ciations in this district are shown in table “ H ” . Reports received from forty-seven of the largest mining companies in the Twelfth Fed eral Reserve District engaged in the production of gold, silver, lead or copper, indiM ining cate a slight falling off in mining activity during December, 1920, as compared with November, 1920, and December, 1919. The outstanding feature of the mining industry during the year 1920 was the closing down of a number of the largest gold and copper mines in the district. Conditions were unfavorable for the production of gold, par ticularly in the mother lode region in Cali fornia, where some of the mines that were once among the largest in the state have ceased op erations. W ithout the dredging industry, gold mining would be at a low ebb at the present time. The average capacity in operation of the deep gold mines reporting was 70 per cent, while the dredges are operating at full capa city. The mining of non-precious metals is proceeding on a small scale as compared with the quantity production of the war period. O f 14 reporting copper companies in the dis trict, six report no operations for December, 1920, due to the low price of copper, while the remaining eight show curtailed operations for the same reason. The percentage capacity of copper mines in operation ranges from zero to the high mark of 67 per cent, the average being 28 per cent. Follow ing are comparative figures of the output of metal of the forty-seven reporting mines, for December, 1920; November, 1920, and December, 1919. O u t p u t of M e t a l Dec. 1920 31,142 Gold (ounces)....... Silver “ ....... 600,326 Lead (pounds).......16,395,090 Copper “ .......23,033,693 Nov. 1920 29,260 723,477 15,332,762 24,954,572 Dec. 1919 27,683 682,894 12,468,282 27,845,796 In January, for the fifth successive month, a new high record for the production of petro leum in California was established and for the second time since July, 1919, the Petroleum monthly output exceeded the con sumption, and stored stocks were consequently increased. The average daily production of 331,186 barrels was 6,253 barrels per day in excess of the December output, while the average daily shipments, amounting to 319,769 barrels, were 16,198 barrels per day less than in December. Stored stocks were in creased 353,919 barrels during the month. Sixty-four new wells were completed during January, with an initial daily production of 29,852 barrels which is almost double the in itial daily production of the 58 new wells completed in December. Statistics on oil field operations, as furnished by the Standard Oil Company of California, are given in table “ I.” (I) Petroleum— January Production (daily average)................... Shipments (daily average).................... Stored Stocks (end of month)............... New Wells Opened............................. With Initial Daily Production......... Wells Abandoned............................... 331,186 barrels 319,769 ” 22,594,190 ” 64 29,852 barrels 5 December 324,933 barrels 335,967 22,240,271 58 16,625 barrels 9 November 312,082 barrels 310,899 22,582,304 47 29,520 barrels 9 10 A g r ic u ltu r a l Measured in terms of dollars, the volume of retail trade, as reported by 24 representative department stores and mail order houses in this district, averaged 14.3 per cent Retail less during January, 1921, than in Trade January, 1920. Prices from 10 to 30 Activity per cent lower than those prevailing during January, 1920, are reported, however, and therefore a reduction in the value of sales is not necessarily an indication of a reduction in the actual number of sales trans actions. Decreases in the value of net sales during January, 1921, as compared with Janu ary, 1920, were reported from all cities except Los Angeles, which showed a 17.1 per cent increase. W hile retailers are maintaining a cautious buying attitude, there is some slight indication in the report of stocks on hand that they are now liquidating high priced inventories. W ith the exception of the stores in Los Angeles and Spokane, all firms report smaller stocks on hand on January 31, 1921, than on December 30, 1920, the decrease for the district being 4.1 per cent. The number of stores reporting collections as “ g ood ” increased from 50 per cent in D e cember to 66 per cent in January. Collections were reported as “ excellent” by 6 per cent, and B u sin e ss C o n d itio n : “ fair” by 20 per cent, and “ poor” by 6 per cent of the 24 stores and mail order houses report ing in January. Table “ J” gives detailed statistics in regarc to the sales, stocks, and outstanding orders o: the reporting department stores. Reports from 145 wholesale firms in this dis trict show a general decrease in volume o: trade during January, 1921, both as comparec to December, 1920, and to January Wholesale 1920. The wholesale grocery trad< Trade was the one line of business ir which the value of net sales dur ing January showed an increase over sales dur ing December. The average net increase oi decrease in the value of net sales for the eighl reporting lines of business was as fo llo w s : January, 1 9 2 1 , Compared to January, 1 9 2 0 December, 1 9 2 0 Hardware ..................— 29.5 D ry Goods ................ — 46.6 Groceries ................... — 26.6 Drugs ....................... — 12.7 Shoes ....................... — 57.0 Stationery ..................— 6.8 Furniture ................... — 35.0 Auto T ir e s ..................— 32.7 — 13.3 — 28.7 1.7 — 4.3 — 7.1 — 22.4 — 22.9 — 66.7 Although retail dealers’ stocks are reportec low, buying continues light and appears to b< (J) Retail Trade ActivityCO N DITIO N OF R E T A IL T R A D E D U R IN G JANUARY, 1921 In Federal Reserve District No. 12 (24 Stores Reporting) Percentage increase or decrease of net sales during January, 1921, over net sales during same month last year.................................. Los Angeles 17.1 Percentage increase or decrease of net sales during January, 1921, over net sales during December, — 32.4 1920 ........................................ San Francisco — 12.1 Seattle — 23.4 Spokane -10.1 Salt Lake City Oakland Sacra mento — — 10.4 — 16.8 -14.3 — 49.2 — 59.7 — 43.7 .59 — 49.3 — 46.9 — 54.6 Percentage increase or decrease of stocks at close of January, 1921, over stocks at close of same month last year......................... — 4.9 — 9.3 — 21.4 — 3.6 Percentage increase or decrease of stocks at close of January, 1921, over stocks at close of December, 1920 ........................................ 3.6 — 9.0 — 11.3 2.1 — 10.9 — 4.1 Percentage of average stocks at close of January, 1921, to aver age net sales during same month.. 354.1 424.2 463.0 620.5 427.2 502.4 Percentage outstanding orders at close of January, 1921, to pur chases during year 1920............... 6.93 4.36 2.74 — 47.3 Districi -21.1 .4 5.4 F ederal R eserve Bank of San 11 F r a n c isc o waiting for positive assurance that prices have reached a stable basis. O f the reporting firms, 33 per cent of wholesale grocers, 63 per cent of wholesale dry goods firms, 25 per cent of wholesale shoe firms, and 33 per cent of whole sale furniture dealers state that there is some indication that retail merchants have liquidated their high priced inventories and are now buying for stock at the new wholesale price levels. The general trend of prices during January was downward in all lines except in the automoble tire business where prices remained practically stationary during the month. Pres ent price quotations are from 5 to 30 per cent lower than those of a year ago except for dry goods, automobile tires and stationery. Dry goods prices are reported as from 25 to 55 per cent lower than in January, 1920, and tire prices are reported as approximately the same as they were last year at this time. No definite state ment can be made concerning the trend of sta tionery prices compared with January of last year as some firms report substantial increases in price while others report correspondingly large decreases. O f the 145 reporting firms, 4.2 per cent re port collections as “ excellent,” 31 per cent as “ good,” 52 per cent as “ fair” and 7 per cent as “ poor.” Last month 48 per cent of the report ing firms termed collections as “ good” and only 43 per cent as “ fair.” Statements of increases and decreases in wholesale trade of 145 firms for January, 1921, as compared with January, 1920, and Decem ber, 1920, are given in table “ K .” Unemployment in the Twelfth Federal Reserve District during January, diminished slightly as compared with December, and no increase in the number of unemployed Labor is expected. In the Pacific Northwest where considerable numbers of mill hands and agricultural workers are normally and voluntarily out of work at this season, un employment will be greatly alleviated with the beginning of agricultural activity in the spring and the reopening of the lumber mills. In Seattle, conditions remain about the same as last month, with approximately 7000 out of work. W ages are being reduced from 10 to 25 per cent, and it is estimated that 1500 men are receiving temporary help from welfare organiza tions. Present unemployment in Oregon prob ably totals 10,000 of whom many are reported to be from other states. Outside the lumber industry the principal unemployment is in road (K) Wholesale Trade— (la) Percentage of increase or decrease (— ) in net sales for January, 1921, over January, 1920 Hard ware No. of reporting firms.......... Los Angeles............ ........ San Francisco......... ........ Seattle .................. ........ Portland ............... ........ Tacoma ................ ........ Spokane ................ ........ Salt Lake City........ ........ Sacramento............ ........ D istric t............... ........ (ib> 23 — 27.7 — 30.4 24.7 — 23.2 — 20.6 — 32.9 — 46.3 — 32.9 — 29.5 Gro ceries 11 28 — 17.4 — 38.8 — 37.4 — 36.8 — 39.3 — 48.7 — 40.7 — 28.2 — 33.5 §# — 26.6 — 12.7 — 45.9 — 59.5 — 52.3 — 32.5 — 40.9 — 46.6 Drugs Shoes Sta tionery Fur niture Auto Tires 6 13.8 — 13.9 14 — 51,4 — 58.7 — 50.8 — 71.7 12 — 7.4 — 7.0 — 33.7 1.4 13 — 66.5 — 57.8 — 25.3 — 38.2 — 58.3 10 — 58.5 — *8.9 — 72.4 — 64.8 — 90LO *• — 57.0 — 6.8 — 35.0 — 32.7 Sta tionery Fur niture Auto Tires 11 — 30.6 — 7.5 — 5.5 — 24.3 12 3.6 — 6.5 — 54.9 — 43i.2 — 27.0 10 — 66.8 Percentage of increase or decrease (--) in net sales for January, 1921 over December, 1920 Hard ware No. of reporting firms ........ Los Angeles............ ........ San Francisco.......... ........ Seattle .................. ........ Portland ............... ........ Tacoma ................ ........ Spokane ............... ........ Salt Lake City........ ........ Sacramento ........... ........ Dry Goods 23 — 7.2 — 13.1 12.7 — 23.4 — 34.2 — 32.0 — 39.0 — 3.0 Dry Goods Gro ceries 11 24 3.1 11.6 34.9 .02 — 3813 — 45.7 36.7 Ü.8 — 3.3 — í 5.1 — 8.0 — 1.0 Drugs Shoes 4 12 — i Ó.7 ,, — .08 ## — 2Í.3 55.2 — 10,2 — 3Í.5 .. — 77.1 — 58.2 — 50.0 12 A g ric u ltu r a l and irrigation work, farm work and furniture and w ood-w orking factories. Employment conditions in Spokane are considered worse than for several years past. One employment office lists 759 married men with families seek ing employment. It is reported that there are approximately 7500 unemployed in Los Angeles; 40 per cent of whom are said to be laborers from mines and ranches of other states; 60 per cent of the total representing a reduction in em ployment in Los Angeles and vicinity. In San Francisco there is an estimated total of 13,000 (L) Labor— _ W a s h in g t o n S e a ttle Population 1 9 2 0 ........................................ _ Estimated Unemployed 3 1 5 ,6 5 2 7 ,0 0 0 Tacom a .................... > ............. 9 6 ,9 6 5 3 ,0 0 0 Spokane ..................................... ........................................ 1 0 4 ,4 3 7 2 7 ,6 4 4 3 ,0 0 0 4 ,5 0 0 2 5 ,5 7 0 2 ,5 0 0 E v e re tt B e llin g h a m ............................. O regon P o r t l a n d ..................................... S a le m 2 5 8 ,2 8 8 1 0 ,0 0 0 ........................................... 1 7 ,6 7 9 800 ........................................ 1 4 ,0 2 7 100 A s to r ia C a l if o r n ia San F r a n c i s c o ....................... 5 0 8 ,4 1 0 1 3 ,0 0 0 Los A n g e l e s ............................. 5 76,673 7 ,0 0 0 2 1 6 ,3 6 1 4 4 ,6 1 6 1 ,0 0 0 1 ,0 0 0 6 5 ,8 5 7 4 0 ,2 9 6 5 ,0 0 0 1 ,0 0 0 O a k la n d ..................................... .................... - .................. F resn o S a c r a m e n t o ............................. S to c k to n ................................... San J o s e ..................................... 3 9 ,6 0 4 1 ,3 0 0 S a n D i e g o ................................ .................................. B e r k e le y 7 4 ,6 8 3 5 5 ,8 8 6 3 ,0 0 0 500 2 ,4 8 2 ,6 4 8 6 3 ,7 0 0 T otal* ........................................ * T h e p o p u l a t i o n o f t h e s e t h r e e s t a t e s is th e to ta l p o p u la tio n o f th e T w e lft h R e s e r v e D is tr ic t. 8 1 .2 % o f F ed eral and B u sin e ss C o n d itio n . unemployed. The situation in Salt Lake City re mains unchanged with 2500 unemployed, bu it is expected that the number of unemployec will be greatly reduced within the next thirty days. Conditions of employment in the stat< of Nevada may be said to be about normal, al though laborers have experienced reduction! in wages. A decrease of unemployment is no ticeable in Idaho, although substantial chang< is not expected until April. The data shown in tables “ L ” and “ M ” i: based on figures published by the Unites State! Employment Service. Table “ L ” shows th< population in 1920 and the estimated unem ployed in the principal cities in W ashington Oregon and California. Table “ M ” shows th< number of persons employed on January 1 1921, and the percentage employed comparec with January 1, 1920. Exports from the Twelfth Federal Reserv< District during December, 1920, amounted t( $27,374,000, a decrease of 39.7 per cent as com pared with December, 1919. Im Foreign ports for the month of December C om m erce 1920, totaled $12,492,000 as com' pared with $32,328,000 for Decem ber, 1919, or a decrease of 61.9 per cent. Fo: the twelve months ending Decem ber 31, 1920 exports from the district were valued at $493, 602,000 as compared with $583,372,000 in th< year 1919, or a decrease of 15.4 per cent for tin year 1920. The imports for the year 1920 wer< valued at $365,021,000 as compared with $490, 945,000, the value of 1919 imports, or a de crease of 17 per cent in 1920. Current exports indicate a revival of ship ping at the port of Seattle. Cargo offerings ar< plentiful, especially shipments of lumber anc (M) LaborM e ta ls , M e t a l P r o d u c ts , M a c h in e r y , F o u n d ry P ro d u c ts , E le c tr ic a l G o o d s No. of Persons employed on Jan. 1 1921 % Com pared with Jan. 1 1920 B u ild in g T ra d e s No. of Persons em ployed on Jan. 1 1921 % Com pared with Jan. 1 1920 P a c k in g a n d F o o d P ro d u c ts L u m b e r, H o u s e F u rn itu r e , B oxes a n d W o o d P ro d u c ts A l l O th e r G ro u p s * T o ta l G ro u p s No. Of Persons % em Com ployed pared with on Jan. 1 Jan. 1 1921 1920 No. of Persons % em- Comployed pared on with Jan. 1 Jan. 1 1921 1920 No. Of Persons % Com em ployed pared on with Jan. 1 Jan. 1 1921 1920 No. Of Persons % em Com ployed pared on with Jan. 1 Jan. 1 1921 1920 9,800 30.6 9,840 167.7 39,006 96.2 6,500 40.6 4,900 71.1 48,474 107.4 8,750 68.8 7,050 94.0 44,185 88.3 8,820 39.1 10,623 39.9 15,703 115.0 13,880 69.5 13,515 93.1 32,170 103.5 47,750 46.2 45,928 74.8 179,538 99.5 58,646 74.6 59,874 88.0 59,985 85.4 35,146 56.1 59,565 90.9 273,216 79.1 Total U. S... 1,997,862 69.5 508,322 47.6 900,941 81.0 538,766 67.8 2,124,757 59.8 6,070,648 64.5 Washington Oregon ---California ., Total ---- * Includes (a) textiles and their products, (b) leather and its products, (c) automobiles and accessories, an< (d) clay, glass, cement and stone products. Federal R eserve Bank of San 13 F r a n c isc o canned salmon, and one newly established line of steamers between Seattle and the Atlantic Coast has nine large steel vessels in service. Shipments of copper from the mines of M on tana and lead from the mines of Idaho are now being moved to Seattle for transhipment to N ew Y ork by way of the Panama Canal, in order to avoid the prevailing high railroad freight rates. Comparative figures of exports and imports through the ports of this district are given in tables “ N ” and “ O .” No announcements of new contracts have been made by shipbuilding yards on the Pa cific Coast during the month of January. Steel merchant vessels unShipbuilding der construction in American shipbuilding yards on the Pa cific Coast on January 1st, totaled 57, of an aggregate deadweight tonnage of 598,500 tons, according to returns compiled by the Pacific Marine Review. T w o of the largest yards, however, are kept busy on naval construction, each having only one merchant vessel under way. (2V) E x p o rts*— Washington San D ie go.., Total ..., During December there were delivered five freighters, totaling 44,150 deadweight tons for the United States Shipping Board and four tankers of 30,390 deadweight tons for private account. Table “ P ” gives comparative figures of ves sels under construction on the 1st of January, 1921, December, 1920, and November, 1920, as furnished by the Pacific Marine R eview : Business failures during the month of Janu ary equalled the record month of December, 1920, in number, and exceeded it in amount of liabilities. This development is not Business unexpected, in view of the conFailures tinued readjustments in all lines of business. Compared with the re turns of last year, allowance must be made for the fact that the failures, both in number and total liabilities were abnormally small at that time. The average failure in Arizona had liabilities of $5,700; in California, $14,686; in Idaho, $7,506; in Oregon, $92,898; in W ashington, $233,817, and in Utah, $46,917. Only three fail- Month Ending Dec. 31 Dec. 31 1920 1919 % In crease or Decrease Twelve Months Ending Dec. 31 Dec. 31 1920 1919 10,942 2,055 5,678 8,645 54 24,310 987 2,661 17,319 35 — 55.1 108.1 113.3 — 50.0 54.2 220,257 18,606 61,428 192,784 527 235,665 10,496 44,472 292,332 407 — 6.3 80.0 38.6 — 34.2 29.4 27,374 45,312 — 39.7 493,602 583,372 — 15.4 Month Ending Dec. 31 Dec. 31 1920 1919 % In crease or Decrease Twelve Months Ending Dec. 31 Dec. 31 1920 1919 % In crease or Decrease % In crease or Decrease * 000 omitted. (O ) Im p o r t s *— San Francisco.................. ............ Los Angeles.................... ........... Oregon ........................ ............. Washington .................. ............. San Diego....................... ............ Total 6,556 1,387 345 4,140 64 19,968 346 269 11,712 33 — 68.4 300.8 82.5 — 64.7 93.9 211,928 9,897 8,218 134,068 910 238,074 3,218 3,151 195,963 539 — 11.3 206.2 164.5 — 31.2 68.8 ........................ ........... 12,492 32,328 — 61.9 365,021 440,945 — 17.0 * 000 omitted. S h i p b u i ld i n g (---- January 1,1921----^ ,—December 1, 1920—N Vessels Total D. W. Tonnage Vessels Total D. W. Tonnage For U. S. S. B ........................... For Private Account.................. Foreign................................... 18 30 9 173,950 342,270 82,280 23 34 9 218,100 382,660 82,280 Total............................... . 57 598,500 66 683,040 (—November 1, 1920—v Vessels Total D. W. Tonnage 26 38 9 73 248,700 415,060 82,280 746,040 14 A g ric u ltu r a l ures have been reported in the state of Nevada during the past three months. Follow ing are R. G. Dun & Company's com parative figures for the states of this district (table “ Q ” ) : Building permits issued in the 20 principal cities of the district during January, 1921, averaged 35.5 per cent less by value and 5.6 per cent greater by number than those Building issued during December, 1920. JanActivity uary, 1921, permits show a 44.2 per cent decrease in value compared to January, 1920 permits, and a 10.3 per cent de crease in the number of permits issued. The average value of the permits issued in the district as a whole during January, was $1,577, as compared with $2,587 in December, 1920. H owever, in the tabulation of the values o f building permits, the increase in the pur chasing power of the dollar is not taken into consideration, and the reduction in the volume o f building operations is not so great as these figures would seem to indicate. Follow ing are comparative figures for the district as a whole, and for those cities the value of whose permits exceeded $300,000 in January, 1921 (table “ R ” ) : (Q) Business Failures— January, 1921 No. Arizona ...................................... California .................................. Idaho ........................................ Nevada ...................................... Oregon ..................................... Utah ......................................... Washington ............................... D istric t.................................... 10 58 12 1 20 11 30 142 and B u sin e ss C o n d itio n s January bank clearings declined in all the re porting cities of the district. The total clear ings for the district were $1,542,802,000 or ll.C per cent less than the clear Bank Clearings ings for December, 1920, and and Debits to 11.6 per cent less than the Individual clearings for January a yeai Accounts ago. January debits to individ ual accounts as reported by 113 banks in the 2( reporting cities of the district were $2,141,293,00C as compared with $2,155,680,000 in January 1920, or a decrease of .64 per cent for the year Increases were reported by Los Angeles, Sail Lake City and San Francisco, the former cit) showing an increase of 11.4 per cent in January 1921, as compared with January, 1920. The unsettlement of one of the basic industries of th< section and aggravated unemployment condition* are reflected in the reports of three of the princi pal cities of the Pacific Northwest, which shov* decreases ranging from 5.6 per cent to 18.8 pel cent. Comparative figures for the six Federal Re serve Bank and Branch cities and comparativ< totals for 20 reporting cities in the district ar< given in tables “ S” and “ T .” December, 1920 No. Amonnt $ 57,000 851,793 80,075 20,000 1,857,962 516,096 7,014,530 $10,397,456 4$ 23,200 61 609,339 12148,566 2 22,000 162,686,435 6 150,670 41 690,133 *142 January, 1920 No. Amount Amount $4,249,343 3 $ 41 2 7 -0 13 14 80 9,00( 373,10; 14,00( -045,05< 165,47( 1,262,601 $1,869,23! * This figure is in correction of the figure (196) which appeared in the January report. January, 1921 No. Value* % Increase or Decrease (—) in Value December,1920 During No. Value* Month % Increase oi Decrease (— in Value of 1921 January,, 1920 Orer Value* No. 1920 1,871 368 256 656 352 182 734 216 3,301 1,246 499 646 546 341 683 472 1,913 376 249 594 324 200 577 219 3,804 1,749 1,220 633 630 2,234 1,676 442 — 13.2 — 28.7 — 59.0 2.0 — 13.3 — 84.7 — 59.2 6.7 1,928 490 155 694 354 224 771 581 4,186 1,636 277 924 548 875 1,291 1,271 — 21.1 — 23.8 80.1 — 30.0 — .36 — 61.0 — 47.0 — 62.8 Total ................ 4,635 7,734 4,452 12,388 — 37.5 5,197 11,008 — 29.7 Total Districtf... . 5,668 8,942 5,364 13,877 — 35.5 6,343 16,033 — 44.2 (R) Building Permits— Los Angeles......... , San Francisco..... . San Diego........... . Portland ........... . Oakland ............ Fresno ............... Seattle .............. Long Beach........ . * 000 omitted. 1 20 cities reporting. F ederal R eserve Bank of San 15 F r a n c isc o A statement of interest and discount rates customarily charged by banks in Federal R e serve Bank and Branch cities Interest of this district, tabulated for and D iscount the thirty-day periods ending Rates February 15, 1921, and January 15, 1921, respectively, is given in table “ U .” During the four weeks ending February 11th, member banks reduced their borrowings from this bank from $159,000,000 to Federal $139,000,000, a liquidation of $20,000,Reserve 000 or 12.6 per cent. A t the same time Bank the circulation of Federal Reserve notes declined from $260,000,000 to $247,000,000, a shrinkage of $13,000,000, or about 5.2 per cent. Total cash reserves re mained practically unchanged at $195,000,000, but the secondary reserve of the bank, consist ing of bills (bankers’ acceptances) purchased in the open market, was increased 33 per cent from $33,000,000 to $44,000,000. Member banks’ reserve account remained stationary at $113,000 ,000. On January 24th the discount rate charged by this bank upon member banks’ and custom ers’ notes secured by United States Certificates of Indebtedness, which had previously been the same as the rate borne by the certificates securing such notes— with a minimum of per cent was raised to 6 per cent. This change makes the discount rate of the bank uniform at 6 per cent for all kinds and maturities of paper offered for rediscount. (S) Bank Clearings—January, 1921* San Francisco.................................... Los Angeles..................................... Portland ......................................... Seattle ............................................ Salt Lake City................................... Spokane ......................................... January, 1921 December, 1920 $ 606,000 365,468 122,493 123,787 71,360 45,142 $ 664,100 380,189 150,605 145,711 88,117 50,757 $ 721,476 316,283 144,839 175,300 84,812 59,480 $1,334,250 $1,479,479 $1,502,190 $1,542,802 $1,733,678 $1,745,119 January, 1920 * 000 omitted. t20 cities reporting. (T) Debits to Individual Accounts*— January, 1921 Spokane .......... Seattle ............ Portland ......... Salt Lake C ity.... Los Angeles....... San Francisco.... Other Cities..... $ Total District f January, 1920 50,372 159,098 152,923 84,937 438,335 843,242 412,346 $ $2,141,293 % Increase or Decrease (—) January, 1921 over January, 1920 53,705 196,115 179,871 77,848 393,599 833,179 421,363 — 5.6 — 18.8 — 14.9 9.0 11.4 1.2 2.1 $2,155,680 — .64 * 000 omitted, f 20 cities reporting. Collateral Demand Loans Feb. Jan. Secured by L. L. Bonds or U. S. Certificates of Indebtedness Feb. Jan. 6^2 7 7 7 8 8 7 8 7 8 8 discount Rates— Prime Commercial Paper Customers OpenMarket Jan. Feb. Feb. Jan. San Francisco. Los Angeles... Seattle.......... Portland....... Salt Lake City. 6^ 7 7 7 8 7y (>y2 7 7 7 8 7 8 8 8 8 8 none 8 8 8 8 8 none Interbank Loans Feb. Jan. 6y 6 7 7 7 7 6^ 6 7 7 8 7 6^2 7 8 7 8 none 6y2 7 8 7 8 8 16 COMPARATIVE STATEMENT OF CONDITION OF FEDERAL RESERVE BANK OF SAN FRANCISCO AT CLOSE OF BUSINESS FEBRUARY 11, 1921 Feb. 11,1921 $ 18,024,000 31,729,000 Jan. 11,1921 $ 18,129,000 32,267,000 Feb. IS, 1920 $ 15,530,000 33,568,000 $ 49,753,000 $ 50,396,000 $ 49,098,000 132,618,000 10,892,000 131,137,000 11,704,000 80,911,000 9,873,000 $193,263,000 $193,237,000 $139,882,000 1,962,000 1,388,000 194,000 $195,225,000 $194,625,000 $140,076,000 38,209,000 101.372.000 44.980.000 47.782.000 111,283,000 33.509.000 52.424.000 46.177.000 102,323,000 $184,561,000 $192,574,000 $200,924,000 1,822,000 -0 11,010,000 • -O - 1,872,000 12,202,000 -0 - 2,632,000 -0 13,356,000 -O - $197,393,000 $206,648,000 $216,912,000 393,000 389,000 231,000 36,857,000 665.000 152.000 421.000 44,903,000 665.000 152.000 493.000 54,136,000 665.000 5,190,000 324.000 $431,106,000 $447,875,000 $417,534,000 Capital Paid I n .................................... Surplus .............................................. 7,006,000 14,194,000 6,949.000 14,194,000 5.968.000 7.539.000 Government Deposits........................ Due to Members— Reserve Account. Deferred Availability Items............. Other Deposits, including Foreign Government Credits...................... 2,422,000 113,346,000 29,732,000 1,340,000 113,991,000 33,980,000 3,100,000 118,138,000 37,199,000 5,978,000 7,315,000 6,956,000 $151,478,000 $156,626,000 $165,393,000 247,303,000 8.848.000 2.277.000 260,068,000 8.402.000 1.636.000 224,973,000 11,592,000 2,069,000 $431,106,000 $447,875,000 $417,53 ,000 736,000 736,000 RESO U RCES- Gold Settlement Fund— F. R. Board. Gold Redemption Fund. Legal Tender Notes, Silver, etc. Bills Discounted: Secured By Government W ar Obligations. All Other......................................................... Bills Bought in Open Market........................... U. U. U. All S. Government Bonds............... S. Victory N otes...................... S. Certificates of Indebtedness. Other Earning Assets............... Bank Premises......................................................... . Uncollected Items and Other Deductions from Gross Deposits..................................................... 5% Redemption Fund Against F. R. Bank Notes. Gold Abroad, in Custody, or in T ransit.............. All Other Resources................................................ - 0- L IA B IL IT IE S — F. R. Bank Notes in Circulation— Net Liability. . . All Other Liabilities..................................................... M e m o : Contingent Liability on Bills Purchased for Foreign Correspondents................. . -0 -
@FedFRASER