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Monthly Business Review
OF

THE

FEDERAL RESERVE BANK

OF DALLAS

•

(Compiled March 15,1937)

r

=Volume 22, No.2

Dallas, Texas, April 1, 1937

=

This COpy is r eleased for pubIication in morning paper8-

March 31

DISTRICT SUMMARY
THE SITUATION AT A GLANCE
Eleventh Foderal Reserve Distriot
February
1937
Bank debits to ind"dua I aoooun ts (18 01't'les ) .... ....... . $780,316,000
Dep t
IVI
IVlio~r ~ent storo sales .................. . .... . . . ... .. .
~ ~abe trado salas (five lines) ...... . ........ . ...... .
Valur~~ ank loans to momber banks at end of month ... . i' .. 223',247
COlD a ton ~ bui)ding permits (14 oities) . .... ...... ... . . . $ 4,093,928
CelD e\ p~. uotlOn at Texas mills (barrols) ............ .
460,000
401,000
Carr: s. Tm~nts from Texas mills (barrels) .... ....... .
Co ero!adallures (number) ... .. . ....... . .......... .
18
mm
Dail orola ailures (liabilities) . ...... .... . ... ..... . . . . $
218,000
y avorago oil produotion (barrels) .... .......• .......
1,493,773

Change from
January
- 12 . 0~
5.8 0
- 4 .7 0
+$201,375
- 25.9%
- 15.061
32.00/0

+

+
+ 7
+$176,000
+ 5.0%

. Business activity in the ElevenLh District continued at a
hIgh level in February. Department store sales registered
lllore than the usual gain from January to February, and
i~ceeded those in the corresponding month last year by
per cent. Wholesale distribution, although declining
seasonally as compared with the previous month, was 12
pel' cent higher than in February, 1936. Business failures
~ere more numerous and habilities were greater tha~
In the preceding month, yet in comparison with the Feb~ua~'y figures of other years they were at a low level. Bank
Jehlts showed a seasonal recession of 13 per cent from
hnuary, but the month's volume was 14. per cent above
t at in the same month of 1936.
. The daily rate of petroleum production in this district

Incr~ased further in February and the first half of March,

and IS now at the highest level in the history of the industry. In the western portion of the district many of the
copper mines are operating at full capacity and operations
at other mines are' being increased.
El The total value of construction contracts awarded in the
: eventh District, according to the F. W. Dodge Corporalion, Was 23 per cent lower in February than in the same

month of 1936, but residential awards showed a year-toyear gain of 86 per cent. As compared with the previous
month total contracts increased 26 pel' cent and residential
contracts were up 30 per cent. The valuation of building
permits issued at fourteen of the district's principal cities
was down 26 per cent from the preceding month and 47
per cent from February last year.
The outlook for agriculture and livestock improved somewhat in the past thirty days. Land preparation was advanced rapidly and a good start has been made with the
planting of spring crops. Small grains, benefited by the
better moisture supply and higher temperaLures, made satisfactory growth and are now in fair to excellent condition.
Recent rains were very beneficial generally, but the excessive fall in some parts of the eastern portion of the
district further retarded field operations which were already
behind schedule. Livestock came through the winter in fine
shape, and prospects are favorable for early spring grazing. Indications point toward large marketings of grass-fat
cattle and sheep during the spring and early summer
months. Market prices for livestock have recently shown
considerable strength.
Total loans and investments of weekly reporting member
banks in the district's leading cities declined $1,647,000 in
the fo ur weeks ending March 10, as the reduction in holdings of direct and fully guaranteed obligations of the
United States Government more than offset the rise in loans
and the increase in other investments. Although the daily
average gross demand and time deposits of all member
banks declined $14,994.,000 from January to February, they
were $14.5,441,000 higher than the February, 1936, average.
Federal Reserve note circulation rose $1,460,000 between
February 15 and March 15, and in the same period member
bank reserve deposits increased $1l,042,000.

BUSINESS
Wholesale
Trade

Wholesale distribution, as indicated by
the dollar value of sales in fiv.e reporting
f
lines, declined by about the usual amount
rorn January to February, but remained 12.0 per cent
hove the total for February, 1936. Among the individual
tInes, however, mixed trends were in evidence. Following
he unusually heavy business in January, sales of dry goods

i.

fell off 6.4 per cent, which is contrary to seasonal, and
the February increase of 4.2 per cent over a year ago was
considerably smaHer than the similar percentage gain in
January. The decline of 18.5 per cent in the farm implement business was larger than the average for this season,
but sales were up 21.6 per cent from last year. Distribution
of groceries was only 1.0 per cent lower than in January

This publication was digitized and made available by the Federal Reserve Bank of Dallas' Historical Library (FedHistory@dal.frb.org)

-------------------------------------------------------------------------------------------------------MONTHLY BUSINESS REVIEW
--------------------------------------------------------------------------------------------------------

2

and exceeded that in February last year by 16.8 per cent.
The drug business, while unchanged from the previous
month, was 6.7 per cent higher than a year ago. Hardware
sales showed a decline of 4.3 per cent from January, but
evidenced a gain of 14.3 per cent over the year. Inventories
at the end of February continued appreciably higher than a
year ago in all reporting lines of trade except farm implements. Collections evidenced the usual decline at this season.
CONDITION OF WHOLESALE TRADE DURING FEBRUARY, 19S7
Percentage of inorease or deorease inNot Sales
Net Sales
Stooks
Ratio Fob.
Jan. 1 to date
February, 19S7
Feb. 28, 1937
colleotions
oomparoa with
oompared with
compared with
to acoounts
same peried
Fob. 29, Jan. 31, outstanding
Feb.
Jan.
Jan. 81
last year
1086
1087
19S6
19S7
+17.7
+14.0 - 2.5
83.8
Groceries . ........... +16.8 - 1.0
30.2
Dry goode .... ... ... . + 4.2 - 6.4
+ 9.1
+36.7 + 4.5
8.2
Farm implements .. .. . +21.6 -18.5
+19.0
+ 1.0 - 1.8
50.3
+18 .1
+16 .6 + 5.6
Hardwaro ••.. . ...... +14.3 - 4.3
66.4
+11 .7 - 2.2
Drugs ..• . .. ......... + 6.7
.1
+ 4.9

+

Retail sales of reporting department
stores in larger cities increased 5.8 per
cent in February as compared with January, which was greater than seasonal, and maintained a

Retail
Trade

gain of 11.0 per cent over the corresponding month of 1936.
The improvement over the year occurred in spite of one
less business day and one less Saturday in this February·
Featuring the month's trade was the heavy demand for
women's and children's apparel, indicating in part the early
purchases of spring merchandise. Other departments show'
ing large sales gains over the year were: domestic flo?r
coverings; draperies, curtains, upholstery; silverware; gift
shop; and luggage. Consumer preference for better quality
merchandise' continues to broaden.
Reflecting the stocking of merchandise for the spring
trade, the dollar value of inventories held by repor~ing
department stores increased 12.7 per cent between January
31 and February 28, and was 14..2 per cent higher than at
the end of February last year. The rate of stock turnover
in the first two months of 1937 dropped slightly below that
for a like period in 1936.
Collections in February on both regular and installme~t
accounts were down somewhat in comparison with the preVI '
ous month and the same month last year.

BUSINESS OF DEPARTMENT STORES
Total sales (peroentago):
Dallas
Fort Wortb
February, 1937, compared with February, 1036 ...... . .. . .. . . ...... . .... •. .. . ........• . ..
+12.1
+ 8.4
February, 19S7, compared with January, 1937 ... ... . ... . .... ... .. . ... ... . .. . . . •......• . .
+14.5
+10. 0
January 1 to February 28, 1937, compared with same peried last year ...•............•......
+11.8
+10.1
Credit sales (percentage):
February, 1937, eomparod with February, 1936 ........ . ...... .. ..... . .. . . ..... . . . . .. ... .
+16.3
+11.7
February, 1937, eomparod with January, 1037 .... .. ........ .. ... . .. . .................. ..
+14.0
+14.7
January 1 to February 28, 1037, compared with same period last year ...... . . . ....... . .... . .
+15.5
+12.8
Stocks on hand at end of month (percentage):
February, 1937, compared with February, 1936 .... . ......... ... . .... ................ . . . .
+14.3
- 6.8
February, 1937, compared with January, 1937 . . . . ... . ........................... . .. .... .
+13.2
+ 2.8
Btock turnover (rato):
Rato of stock turnover in February, 19S6 ..... . ..... . ........... . ... ... .. .... . . ..... .... .
.24
.32
Rato of stock turnover in February, 1937 ... .... ...... .. .. .. .......... .. ................ .
.81
.25
Rato ef stock turnover January 1 to February 29, 1036 .. .... .......... . ............ . ... . .
.61
.44
Rate of stock turnover January 1 to February 28, 1937 ....... .. ...... ..... . .. . .......... .
.48
.58
Ratio of February collections to open aocounts receivable and outstanding February I, 1937 ...... .
41.8
31.6
Ratio of February collections to installment accounts receivable and outstanding February I, 1937 . .
15 .7
10.6
Indexes of department stere sales:
85.8
75.0
104.7
88.4
99 .8
102.6
119.0
106.5
Indexes of department store stocks:
Una<!justed-January, 1937 ... . ..................... .. ..................... . .......... .
56.6
56.7
UnadJustod-February, 1937 ... . ...... ..... ... . ...... .. ..... •. .... •...... • ........ .. ...
65.1
58.8
65.1
65.9
~~:::~=~~b~~~y,l~~k::::
67 .8
60.7

-

Houston
+14 .3
+ 1.3
+13.0

San Antonio
+ 7.0
- 2.3
+ 7.2

Others
+10.5
- 3.4
+12.2

Total Distriot
+11. 0
+ 5.8
+11 .3

+10.7
+ .3
+10.1

+13.2
- 6.5
+15.2

+12.3
- 1.2
+12.6

+15.3
+ 6.7
+15 .3

+17.8
+14.S

+10.0
+10 . 6

+21.6
+17.6

+14.2
+12.7

.27
.25
.52
.51
4S .2

.26
.24

.54

.40
41.0
11.6

.20
.10
.42
.41
37.6
15.0

.27
.25
.52
.51
SO.6
14.0

~i~§~t~li~i;I;fti;;~ ~~ ~ ~::::::::::::::::::::::::::::::::::::::: :::::: ::::::

78.4
84.0
88.1
00 .9

71.2
71.8
78 .2
86.5

78.1
88.5
OS.O
105.4

:::::: :: :::::: :: :::::::: :::::: :: :::::::::::::::::::::::

41.7
43.5
48 .5
46.8

55.4
58 .3
60 .2
57.7

57.8
64.1
66.4
66 .8

Although the number and liabilities of
commercial failures in the Eleventh District in February were considerably
larger than m January, they were at a low level for that

Commercial
Failures

-

month. The 18 firms defaulting in February had liabilities
of $218,000. In January there were 11 insolvencies with
an indebtedness of $4.2,000 and in February, 1936, 26 firrns
failed owing $281,000.

AGRICUL TURE
The open weather during February and
the early part of March enabled farmers
to make rapid progress with land preparation and the planting of early spring crops. Corn planting
has become general in south and central Texas and has
begun in north Texas. The seeding of cotton is well under
way in the Rio Grande Valley and is being extended northward. Toward the middle of March light to heavy rains
fell over the major portion of the district, but the heaviest
rainfall was in the eastern portion where land preparation
was very backward on account of the excessive moisture in
January and February. Although precipitation in west and

Crop Conditions

northwest Texas and eastern New Mexico was not so heaVY
as in other sections, it relieved the dryness of the top-soil
and left the ground in good condition for plowing.
Small grains have shown a noticeable betterment through'
out the district. In the western portion the wheat crop haS
responded to the improved moisture situation, and reports
indicate that plants are now making good growth. Wheat
and oats in other sections are in fair to excellent conditioJ1'
Growing conditions continued generally favorable for
commercial vegetable crops in south Texas. Moisture SUPi
plies are generally ample in all sections except the Coas tll

MONTHLY BUSINESS REVIEW
Bend area where additional rainfall is needed. The cold
Wave at the close of February caused only slight damage
to crops.
PLANTING INTENTIONS OF TEXAS FARMERS, MARCH I, 1037
(In thousands oC acres)
Acreage harvested
- - - - - - - - - - - Indicated for
Average
harvest in
Crop
1028-1032
1035
1036
1037

C
orn

~~!,b;i:::

4,823

4,005

::~

::m
~w=:.:7:: : ::~. :::: ~:: : ::~: : .::~
Swcergo~!oes.. . .. .. . . . . . . . .. . . .. . . ..

4,505
1,210
80
047
3,338
200
44
56
310
80
710

~~

~~

:~~

4,411
1,256
111
808
3,338
220
44
48
310
68
674

'Grown alone for nil purposes. Partly duplicated in hay acreage.
SOURCE: United States Department oC Agriculture.

January receipts from the sale of principal farm products in the five states
wholly or partially attached to the
Eleventh District, as estimated hy the United States De·
partment of Agriculture, dropped 12.3 per cent below those
~n January last year. This decline was due chiefly to the
Mwe.r ma~ketings of cotton this January in Arizona, New
l' exICO, OKlahoma, and Texas. Income from marketings of
Ivestock and livestock products was about the same as a
Y$ear ago. Governmen t payments in the five states aggregated
. 3,682,000 in January this year as compared with $635,000
In January, 1936.
Cash Farm
Income

RECEIPTS FROM THE SALE OF PRINCIPAL FARM PRODUCTS
(In thousands oC dollars)
Receipts from:
Total
Farm
Livestock and Iiv<>crops
stock products
receipts
January

January

January

January

s

$ 3,578

$ 1,414

$ 1,400

880
6,322
2,331
10,560

1,032
6,241
2,418
10,348

Total five states. ... $ 25,328 $ 31,047 $ 21,516
BOURCE: United Btates Department oC Agriculture.

S 21,448

$ 46,844

5kr~~a~~.·.·. : : : : : : : : : : : : :
NeIVM~~~o"" . . •. . ....
Texas
.............

... ...... ........ ..

1037
2,752
6,356
1,641
1,334
13,245

1036

2,518
6,181
1,730
17,031

1037

1036

January

1037
S 4,166
7,245
7,063
3,665
23,805

Arizona

January
1036

$ 4,087

3,550
12,422
4,157
28,279

-S 53,305

-------------------------------------Livestock

Favorable prospects for early spring
grazing obtain in virtually all sections
of. the Eleventh District. During the first half of March
raInfall over west and northwest Texas and eastern New
MeXico was sufficient to relieve the dryness of the top-soil
nd to give grass and weeds a good start. In the eastern
a~£ of the district there has been an excess of moisture,
an dry, warm weather is needed for the best growth of
eeds and grass. The Department of Agriculture reported
Mat cattle ranges in Texas were 76 per cent of normal on
th arch 1, which was 1 point lower than a month earlier and
r e same as a year ago. At 81 per cent the March 1 condiIOn of sheep and goat ranges was unchanged from Feb1 and was 4, points higher than a year ago. During
e.ruary ranges improved 2 points in New Mexico and 3
POInts in Arizona.

h

ili

pUi?

1 Livestock came through the winter in good shape and
osses were few. The March 1 condition of livestock was
reported by the Department of Agriculture to be about the

3

same as on February 1 this year and March 1 last year.
Breeding animals were reported to be strong and prospects
indicate a large crop of calves, lambs, and kids. According
to the Department of Agriculture the carryover of wether
lambs in Texas from the 1936 lamb crop was very large
and a heavy marketing of these grass·fat yearlings in April,
May, and June is in prospect.
Wool production in Texas during 1936,
which was estimated by the Department
of Agriculture at 64,,265,000 pounds, is
the second largest crop on record and
compares with 59,220,000 pounds produced in 1935 and
74,800,000 pounds shorn in 1933. The 1936 production represented 18 per cent of all wool shorn in the United States
as compared with 16 per cent of the total in 1935. Production in Arizona and New Mexico amounted to 4,536,000
and 15,904,000 pounds, respectively, representing moderate
declines from the previous year. Texas mohair production
totaled 13,400,000 pounds in 1936, which was 4,00,000
pounds larger than the 1935 clip and 84. per cent of the
United States production of 15,986,000 pounds. Production
in New Mexico amounted to 860,000 pounds in 1936 as
compared with 920,000 pounds in 1935.
Wool and Mohair Production

The estimated number of livestock on
Texas farms on January 1, 1937, was
13.8 per cent larger than a year earlier .
The number of sheep, estimated at 8,920,000 head, exceeded
last year's total by 21.2 per cent, and was the highest for
any year on record. During 1936 the number of goats
increased 12 per cent; hogs, 14 per cent; cattle, 10 per
cent; and horses, 2 per cent. The number of mules declined 6 per cent. The total value of all classes of Texas
livestock showed an increase of 7.7 per cent over a year
ago, the higher values of cattle, sheep, and goats accounting •
for most of the gain . In Louisiana the number of livestock
was 4.8 per cent higher, and livestock values increas.ed 8.7
per cent. The tota"1 number and aggregate value of livestock
on New Mexico farms showed only small changes as compared with a year ago.
Livestock
on Farms

NUMBER AND VALUE OF LIVESTOCK ON FARMS AS OF
JANUARY I, 1036 AND 1937
Numhor
Avern\e price
Total value
(ooo's omitted)
(pcr ead)
(ooo's omitted)
1086
1037
1036
1037
1037
TexllS:
1036
707
603
$ 67.00
564.00
Horses and colts ..........
S 47,144 S 44,255
102.00
787
837
06.00
Mules and mule oolts . ....
80,586
80,214
7,547
6,861
21.80
22.20
164,000 152,158
All cattle and calv.es ... . ..
1,402
1,388
31.00
29.00
43,462
Milk cows· .. .... ........
40,252
1,455
1,058
8.60
10.20
14,185
14,800
Hogs, inol\ldin~ pigs ..... .
7,350
5.40
5.70
47,771
AU sheop and ambs .. . .. . 8,020
41.764
2,700
3,024
3.80
2.40
11,401
Goats and kids ...........
6,480
Total, six olllSSes ...

-22,643

10,005

$365,867

$389,680

$ 7,051

S 6,843

Louisiana:

Horses and oolts ..........
Mules and mule oolts .....
All onttle and oalves . . ....
Milk cows· ..............
Hogs, inoludin~ pi~ ......
All sheep and am ......

123
201
1,045
298
818
260

122
100
1,035
304
730
248

Total, fivo olllSSes ...
Now Mexioo:
Horses and oolts ...... . ...
Mule and mule oolts ..... .
All oattle and oalves ......
Milk oows· . ..... .. ..... .
Hogs, inoluding pigs ......
All shoop and lambs . . ....

2,447

2,334

138
18
1,030
76
72
2,477

141
17
1,039
76
64
2,450

S 65.00
110.00
10.40
32.00
7.20
3.10

S 56.00
00.00
18.60
20.00
7.00
3.20

22,132
20,225
0,536
5,880
812

10,701
10,237
8,816
5,782
788

$ 67,000

$ 62.00

85.00
27.40
43.00
11.20
5.30

3,71l
3,742
Total, five olllSSes ...
.Cows and heiCers two years old and over kept Cor milk.
SOUROE: United States Department oC Agrioulture.

$ 53.00

85.00
28.00
45.00
10.60
5.50

$ 52,441

$ 8,400

1,360
28,460
3,268
808
13,224

S 7,406
1,448
20,130
3,420
681
13,378

S 52,342

S 62,142

4

MONTHLY BUSINESS REVIEW

Movements
and Prices

Cattle and calf supplies at Fort Worth
for February were seasonally 25 and 30
per cent, respectively, lower than in January and the cattle run was down 28 per cent from a year
ago. Sheep receipts continued in large volume, being 25
per cent above the previous month's supply and nearly
double those in February last year. Hog arrivals were up
13 per cent from January and were in about the same volume as a year ago.

An active demand for all classes of cattle at steady to
higher prices featured cattle trading at the Fort Worth market during the past thirty days. In the second week of March
choice offerings sold at the best prices in several months.
Lamb prices advanced sharply around the middle of March
and some good to choice spring lambs cleared at $11.25

to $12.00. The hog market was up slightly over the period.
FORT WORTH LIVESTOCK RECEIPTS
(Number)
Fobruary
Fobruary Changeover January
year
1937
1930
1937
51,323
- 14,892
53,371
Cattlo ........... . . .. . .. . 38,479
29,814
21,244
332
20,912
Calvos ..... . ....•.......
37,045
42,000
+ 584
42,584
34,510
22,084
+20,988
43,072
r~:p:::::::::: ::: : : :: ::

Change over
month
- 12,844
- 8,002
+ 4,039
+ 8,550

COMPARATIVE TOP LIVESTOCK PRICES
(Dollars per hundredweight)
Fobruary
February
1037
1036
$ 8.25
Boef .toers ....... . ..... .. . ... ...... .. . •. ........ . $ 9.75
7.25
7.50
Stocker steers .. ........ ....... ............. . ..... .
9.25
11 .00
Heifers and yearlings .... ...... ............. . . .. . .
0.00
0.00
Butcher cows ......... . ............... ....... . .. .
7.00
7.65
Calves ........... .... ........... ..... .. .. ... ·.· .
10.35
9.85
Hogs ....... ........ . .. .... . .. . ............... .. .
9.50
10.00
Lambs ...........•... ..... ..... ... .......... .. ..

January
1037
$ 0.75
7.15
0.85
6.00
7.05
10.35
10.00

FINANCE
Operations of
the Federal Reserve Banlc

Discounts for member banks in this district continued in small volume, the total
of $120,000 on March 15 comparing
with $41,000 on February 15 and $178,000 on the same date last year. Industrial advances declined
$4,7,000 over the month and $4.61,000 from a year ago.
Holdings of United States Government securities were unchanged from a month earlier, but exceeded those of a
year ago by $9,966,000. Federal Reserve note circulation
continued the usual downward trend until the end of February, but there was an upward movement in the first half
of March. Total note circulation of $89,244,000 at the
middle of the month was $1,460,000 higher than at midFebruary and $14.,184.,000 above that last year. Member
bank reserve deposits increased $1l,042,000 between February 15 and March 15, and the record total of $180,103,000 on th~ latter date was $43,595,000 larger than at
this time last year. Due to the large excess reserves member banks apparently had little difficulty in meeting the
16 2/3 per cent increase in reserve requirements which became effective March 1.
CONDITION OF THE FEDERAL RESERVE BANK
(In thousands of dollars)
Maroh 15,
March 15,
1937
1986
Total oMh reserves . .... . .................. . $202,312
$148,607
Discounts for member banks .... ............ .
120
178
Othor bills discounted .. . ...... .... . ... .. . .. .
None
None
Industrial advancos ........ . ............. . . .
1,252
1,713
Bills beught in the open market . .... ........ .
87
133
United States Govornment securities ......•.. .
04,960
85,000
All other investments ........... . .......... .
o
10
Total carning Il88Cts ....................... .
06,431
87,034
Member bank reserve doposits ............ . . .
180,103
136,508
Federal Reservo notes in notual eiroulation ... .
89,244
75,060
Commitments to make industrial advances . .. .
447
587

Condition of
Member Banks
in Leading
Cities

Fobnmry 15,
1987
$194,213
41
NOllO

1,209
80
94,966
3
96,a05
109,061
87,784
486

Weekly reporting member banks made a
further reduction of $6,686,000 in their
holdings of direct and fully guaranteed
obligations of the United States Government in the four weeks ended March
10, but the total of $216,307,000 on that date was $19,741,000 greater than a year ago. Investments in other securities on March 10 were $2,051,000 higher than four
weeks earlier and $10,578,000 greater than on March ll,
1936. Loans on securities were up $82,000 over the four
weeks and $3,24.0,000 over the year. "All other" loans
(agricultural, industrial, and commercial loans) , after

reaching a low point for the year on February 24, turne~
upward in the subsequent two weeks and on March 1
were $2,906,000 higher than on February 10, a~d $22,648,000 above the total on the corresponding date ]~ 1936£
During the four weeks there were further declmes 0
$4.09,000 in time deposits, $1l,721,000 in interbank deposits and $10,555,000 in United States Government deposits: On the other hand, adjusted demand deposits ro~e
$5,1l8,000. Balances with other banks on March 10 weI~
$23474000 lower than on February 10, and $20,982,0~II'
,
,
.
d)
below those on March ll, 1936. These banks mcrease t 1.e
reserves with the Federal Reserve Bank $7,804,000 dunn3
the four-week period, and the record total of $114,,88.6,00
on March 10 was $30,128,000 higher than a year earlIer.
CONDITION STATISTICS OF MEMBER BANKS IN LEADING CITIES
(In thousands o[ dollars)
February 10,
March 11,
March 10,
1037
1030
1937
$102,864
$146,692
United States Governmont scourities . .. . ... . . .
$187,116
Securities fully guaranteed by United Stntes
30,129
Government . . . ....... . .... . . . . ...... . ...
20,191
49,874
55,478
All other 8tocks, bonds, and socuritie8. . . . . . . . .
57,520
40,951
45,904
Loans on securities. . . .. .. . .. .. . . .. .. . . . . . . .
46,076
42,836
164,075
All oth~r loans .. . . . .. . . .. . .. .. . .. . .. .. . . .. .
166,981
144,333
210,009
Tot3110ans....... .. . .... . .... . ....... .. . • .
213,057
187,160
386,067
Demand deJlO8its-adju8tedo. . . ...... . . . ....
301,785
357,454
120,814
20,482
~::rt~g~~·Go~e;~;,;c~i
1~~:~~~
l~a~~
198,165
Intorbank deposits .. . . . . . . . . . . . . . . . . . . . . .. .
186,444
181,543
184,761
Balanoos with domestic banks . . . . . . . . . . . . . . . .
161,287
182,200
107,082
Reservo with Fedoral Reserve Bank. . . . . . . . . .
114,880
84,758
Bill8 payable and rediscounts with Federal
N ne
Resorve Baak.. . . . .. . . .. . . . . . . .. . . . . .. .. .
Nono
Nono
o. ()JIllI
°Demand deposits othor than interbank and United States Govornment, loss oash It
reported as on hand or in process of colleotion.

dopositS·.:: :: ::: :::

--------------------------------------------------111ere was little change between January
31 and February 28 in the volume of outstanding acceptances executed by aCcepting banks in this district, the total on the latter date
being $1.,579,977 as compared with $1,553,736 on the
former date. During the month outstanding acceptances
executed against export and import transactions increase~
$3,003 and those based on the domestic shipment an
storage of goods rose $23,238.

Acceptance
Market

Deposits of
The gross demand deposits of member
Member Banks
banks in this district averaged $1,079,.
858,000 in February, which represents
a further decline of $14,968,000 as compared with the previous month but a gain of $142,721,000 over February last

MONTHLY BUSINESS REVIEW
year. Average time deposits were in about the same volume
as in the preceding month and were $2,720,000 higher than
a year ago.
GROSS DEMAND AND TIME DEPOSITS OF MEMBER BANKS
(Average ef daily figures-in thousands of dollars)
Combined Total
Reserve City Banks
Country Banks
---=G- s s - - - ro
Gross
Gross
demand
Time
demand
Time
demand
Time
Montb and Year
deposits deposits deposits deposits deposits deposits

Debits to individual accounts at hanks
in eighteen reporting cities in this district were 14.4 per cent higher in Feb·
ruary this year than in the same month
of the preceding year. As compared with January, however,
there was a decline of 12.9 per cent because of the short
month and seasonal factors.
Debits to
Individual
Accounts

DEBITS TO INDIVIDUAL ACCOUNTS
(In thousands of dollars)
February
February Potg.obango January

1936

f;brular y.. . .. .......... . S
"'oro I
~ril.",:: : : : : : : : : :: :: :: :
J ay.. .. .. .. .. .. . . .. • .. .
J~lle .. ..................

A Y. ...... ........ .....
s.:'~Us\.

................

otto,!:r .. ...............
er .......... . ....

N

D~em~r ..........•....

om

r. ... .. .. .......

937,137
933,523
927,928
926,927
943,139
999,460
988,321
1,017,186
1,061,297
1,097,227
1,108,410

$107,078
105,804
195,575
104 ,602
106,703
199,576
190,824
190,602
200,763
200,783
200,898

$530,276
531,473
527,743
529,858
540,958
578,721
570,488
585,513
608,277
627,187
632,243

$109,664
108,414
107,560
107,863
108,065
109,652
109,534
109,364
109,623
110,105
110,280

$406,861
402,050
400,185
397,069
402,181
420,739
417,833
431,673
453,020
470,040
476,167

$87,414
87,390
88,015
86,820
88,638
89,924
90,290
00,238
91,140
90,678
90,618

199,824
100,708

621,186
607,432

100,726
100,355

473,640
472,426

90,008
90,443

1937

~abuary .... .. ........... 1,094,826

o ruary .... .. .......... 1,079,858

ADJUSTED DEMAND AND TIME DEPOSITS OF MEMBER BANKS
ON SELECTED "CALL" DATES
(In thousands of dollars)
Combined Total
Reservo City Banks
Country Bankst
Call dates

u ~~,
bne 3 ' 1088..... .. ........
Jueo.
1033 . . . . . . . . .

D~e 30, 1034. . . . ..•.. .. .

Demand
Demand
Demand
deposits
Time
deposits
Time
deposits
Time
ndjusted' deposits adjusted' deposits adjusted· deposits
$379,662
444,205
495,520
551,276
583,644
642,167
607,486
761,530

$189,863
100,000
197,280
196,066
105,210
198,495
200,061
200,780

$176,720
194,914
232,911
242,422
276,556
202,620
327,353
344,572

$114,301
107,497
111,854
112,117
113,421
111,851
110,966
110,506

$202,933
240,201
262,609
308,854
307,088
340,538
370,133
416,958

$75,562
82,503
85,426
83,040
81,780
86,644
89,605
00,274

1
Jun' 20 , 1034 ..... . , . . . . .
De 0 a ' 1035. . . . . .. . . . . .
Ju o. 3~' 1935... .. . • . . .. .
D no a ' 1036. . . .. . . . . . . .
ec, 1, 1936....... .. ...
r ' Demand deposits other than interbank and United States Government, less cash items in
rn OCess of collection and, prior to December 31, 1035, less oash items reportcd on band but not
Process of collootion.
Ber tOutl~ing banks in reserve oities which have been authorized to oarry country bank reves oro lUoludod witb country bonks.

5

Abilene ... . ............ .
Austin ... . .... .. ....... .
Beaumont . .. ....... .... .
Corsioana .. . ........ , .. .
Dallas . ...... . .. . . ..... .
El Paso .............. .. .
Fort Worth ... . . . . . ... . . .
Galveston ........ ...... .
Houston ............ ... . .
Port Arthur ............ .
Roswell. ............... .
Son Antonio ........... ..
Shreveport.. .. .... .. .. .

Texarkana· ...... . ..... . .

Tueson ......... . .... . .. .

y~~~:::::::::::::::::::

Wiohita Falls . ... . . . .... .

1037
S 7,240
20,080
23,300
3,430
223,580
26,074
74,402
26,448
102,317
8,114
2,734
63,860
40,698
7,405
12,256
13,831
13,344
12,505

1936
$ 6,623
22,959
22241
2,611
102,031
22,942
07,225
21, 233
165,970
6,817
2,287
60,203
35,486
6,658
9,287
11,807
12,577
12,077

over yoar
0.5
+26.7
4.8
+31.4
+15.9
+ 13. 7
+10.8
+24 .6
+ 15 .0
+ 19.0
+19 .5
5.2
+ 14.7
+ 30.9
+32.0
+17.1
6.1
- 2.9

+
+

+

+

Potg. ohange

1037
S 7,660
26.417
.24,001
3,994
264,167
30,368
88,304
20,683
222,231
9,186
3,600
70,190
40,000
9,163
11,560
14,138
15,902
15,333

over month
- 5.4
+ 10 .1
- 6.8
- 14.1
- 15.4
- 14 .1
- 15. 7
- 10 .6
- 13.5
- 11.7
-24.2
- 9.7
- 16 .9
- 10 .2
6.0
- 2.2
-16. 1
- 17 .9

+

Total.. .. .. ... $780,316
$681,834
+14.4
S805,805
- 12.0
·Includ.. tbe figures of two banks in Texarkana, Arkansas, looatod in the Eighth Distriot.

Although savings deposits at 117 reporting banks in this district showed little
change during February, the aggregate
of $155,098,136 on February 28 was 40.9 per cent greater
than on the corresponding date in 1936.
Savings
Deposits

-------------------------------------------------------------------SAVINGS DEPOSITS
February 20, 1036

Fobruary 28, 1937

~~lumont ..... . ... .. . , ... .... . . .. .

Number of
roporting
banks

3

+10.4
- 8. 9
+ 1.6
+ 7.6

.4
-1.1
+ .5
.1
+ .5
+ .1
+ .5
+1.1
0.0
- 1.4
- 1.1
+ .7

+ 4.9

340,057

$155,087,495

+ .03

depositors

depOSits

Ravings deposits

$ 3,607,206

25,940,512
7,610,143
12,527,138
10,950,828
28,152,524
2,356,920
16,141,760
11,842,592
6,259,654
3,371,977
27,827,882

9,065
77,204
12,368
34,704
16,921
06,488
5,654
. 18,261
22,367
9,494
6,820
52,656

$ 3,512,890
24,490,090
6,192,356
11,530,821
10,435,434
2.8,947,589
2,215,883
15,284,478
10,277,509
5,773,970
3,318,545
25,870,207

$155,098,136

331,511

$147,868,780

Number of
savings
depositors

+ 5.0
+22.0
+ 8.6
+ 4.9
- 2.7
+ 6.4
+ 6.6

349,522

3

26,220,733
7,560,886
12,541,621
10,893,186
28,136,887
2,344,384
15,066,766
11,341,730
5,335,733
3,408,764
27,648,031

dopositors

depOSIts

savings

117

5

a

$ 3,620,775

Peroentage ohange

'fotal. ..... .. ........ .. .

AUo tll a Falls ......... . ... .... . . . ..

10
2

9,306
80,1 88
14,000
36,664
17,007
69,420
5,468
20,203
23,863
9,530
6,604
56,705

Amount of

71

~ :::.

2
3
4

Percentage obange
ovor month in
savings deposits

Number of

o lefa .... .. . . .. . ...... . •.....•

~~~W~r:::::::: :: : ::::::: ::::: :::

Gal ves1o;h . .. ......... , .... .... .. .

Amount of
savinJls
depOSits

Amount of

0,088
79,870
14,214
36,917
17,199
69,791
5,566
20,515
23,895
0,495
6,625
56,347

3

8

January 31, 1937

Number of

savin~

savings

savin~

over year in

+ 2.7

-

------------------------------------------------------------------------------------------------------------DISCOUNT RATES OHARGED BY MEMBER BANKS DURING MARCH, 1037
Prevailing ratos
Fort Worth
El Paso
Dillias
!tatoF
oharged oustomers on prime commeroial papor suob as is now eligible for radisoount under tbe
1~-7
6-6
2*8
!tate ~eral Reserve Aot ..... . ................. . ............ ...... . ...... . .. . ............ .
4-6
nat 0 arged on lonns to other banks secured by bills receivable .... .. ... . . . ................. . .
e. on loans Becured by prime Btock exohange or other eurrent collatcral (not inoluding loans placed
In othor markets through oorrespondent banks):

~i':~~~':::: : :::: : ::::::::::::: :: ::::::: : ::::::: : ::::: :::: :::::::: ::: : ::::::::::
nate Olarged ou commodity paper seoured by warohouse reoeipts, cto . ... . . . , . .. ... •...... .. , .. .

ltat I

o on oattle loans .. . ... . .. . ........ ... . ...... . .... . ........ . .... . . . ... .. .... .......... .

4~

4-6
2-8
6-8

6

6-8
6-8
6-8

4-8
4-8
5-8
6-10

Houston

Son Antonio

Waoo

4-7
6-6

3-7
0

2-6
6-6

3-7
3-7
2-7
7- 10

6
6-7
6-8
6-8

6
5-8
8

6

----------------------------------------------------------------------------------------------INDUSTRY
Cottonseed
P"oducts

February
oil mills
with the
l1lonth last year. Cottonseed

operations of Texas cottonseed
declined sharply as compared
previous month and the same
crushed dropped 4,9,6 per cent

from January to February and fell 4,7,8 per cent below
the February, 1936, volume, Declines from the previous
month in the production of products ranged from 45.1 per
cent for cake and meal to 53.4 per cent for linters; over

MONTHLY BUSINESS REVIEW

6

the year the decreases in output were from 4,2.1 per cent
for linters to 53.9 per cent for hulls. Shipments of products
from Texas mills were lower than in either comparative
period. Due to the large scale operations during the fall
months, cottonseed crushed and products produced in the
first seven months of the current season exceeded by a small
margin similar operations in the corresponding period last
season. The excess of shipments over production during
February caused a decline in mill supplies of products;
and stocks of crude oil, cake and meal, and hulls on February 28 were sharply lower than a year ago. Operations
at all United States mills declined seasonally from January
to February, but exceeded those ' of the same month last
year by about 20 per cent. End-of-month stocks of crude oil
and cake and meal at these mills were materially lower
than a year earlier despite the substantial increases in production during the current season.
STATISTICS ON COTTONSEED AND COTTONSEED PRODUCTS
Texas
United States
August 1 to February 28
August 1 to February 28
Cottonsood received at mills
This season
Last season
This sOllSon
Last season
(tons) . . .. . . . . . . . . . . . . . . . . .
893,855
942,744
4,328,703
3,565,444
Cottonsood erushed (tons) . . . . .
862,054
858,568
3.780.419
3.283.214
Cottonseed on hand Feb. 28
(tons) .. . .. .. .. . .. .. .. .. .. .
41,677
100.588
570.210
371.805
Produotion of produots:
Crude oil (pounds). . . . .. .. ... 244,572,109
242.543,369 1.132,709.388
989.491.414
Cake and meal (tons) ....... ..
400,269
396.776
1.692.500
1.485.591
Hulls (tons) . . . .. . .. .. .. .. .. .
228,833
232.644
9oa.519
848.353
Lintors (running bales) . . . . . . . .
185,900
168,437
927.523
743.379
Stocks on hand Feb. 28:
Crude oil (pounds). . .. .. .. .. .
8,375,320
33.985.001
38.917.724
89.497.926
Cake and meal (tons). .. . .. . . .
57,168
70,008
198.708
321.843
Hulls (tons) . . . . .. . .. .. .. .. ..
43,094
86.066
149.604
154.085
Lintors (running bales) . . . . . . . .
59,087
56.580
210.041
176.010
SOURCE: Bureau of Census.

Textile
Milling

The domestic consumption of cotton was
maintained at a high rate in February.
Although total consumption dropped
from 678,064 bales in January to 664.,439 bales in February, due to the smaller number of working days, there
was a small gain in the daily rate. As compared with
February last year aggregate consumption was up 28.8 per
cent. Total consumption for the first seven months of the
1936-37 season amounted to 4,,512,634, bales, a gain of
27.8 per cent over the same period of the 1935-36 season.
Domestic mills continued to make large purchases of raw
cotton. Consuming establishments held 2,056,144 bales at
the end of February, a decline of only 10,158 bales as compared with stocks a month earlier and an increase of
650,815 bales over holdings a year ago.
COTTON CONSUMED AND ON HAND
(Bales)
February
February
August 1 to February 28
1937
1936
This SCIISon
Last SOllSon

Cotton'growing states:
Cotton consumed . .. .. ... . . .
553.553
Cotton on hand Feb. 28 inConsuming establishments.
Publio storage and com·
presses ....... . ..... . . .
United States:
Cotton consumed .. . .. .... . .
664.439
Cotton on hand Feb. 28 inConsuming establishments.
Public storage and com·
presses . .............. .
SOURCE: Bureau of Census.

Cotton
Movements

431.387

3.772.715

Following the decline during the first three weeks of
February, the price of cotton rose rapidly during the sub·
sequent three weeks and at the middle of March was at the
highest level since 1930.
COTTON MOVEMENTS THROUGH THE PORT
(Bales)
February
February
1930
1937
59.594
33,537
Receipts ........ ......... .. . .
134.696
153.831
Exports . . ....... . .......... .
Stocks. February 28 ... ...... .

Total............................ .. . ..........

1.405.329

5.965.789

7.247.508

Seasonal declines in the receipts and exports of cotton at Houston and Galveston
were in evidence during February, and
the month's totals were smaller than in the same month

602.377

February 20.
1936
9.000
1.800
30.700
2.500
630,620

-

674.520

SEASON'S RECEIPTS. EXPORTS. AND STOCKS OF COTTON AT ALL
UNITED STATES PORTS-(Bales)
August 1 to February 28
This SOllSon
Last seaBen
0,276.020
Receipts .................... . ................•.... · · •··· . 5.843.544
850,260
000.8001~
Exports: United Kingdom ...... . . . . .. .. .... ............. .
582.305
558.
France ........... . ....... .. ...... ... .... · .. · .. .
234.972
252.04 0
453.283
552.5 00
472.702
696,798
1.057,625
1.114.93 8
237.452
235.5 S1
AU other countries .... . . . . ... .... . •....... . ......

~!S~~~~~~~ ~ ~:: ~ ~ ~ ~ ~: ~: ~: ~:::::::::::: ~::: ~::

Total exports.. ......... ................ ...... .. ...... ...
Stocks held at aU United States ports. February 28......... ..

--3.807.599
2.158.500

-

4.409.619
2.420.775

SPOT COTTON PRICES-(Middling basis)
(Cents per pound)

3.530;358

2.056.144

August 1 to February 28
This season
Last season
1.609.739
1.462.m
1.369.554
1.012'520
602.377
674.

COTTON MOVEMENTS THROUGH THE PORT OF HOUSTON
(Bales)
August 1 to February 28
February
February
This season
Last seas en
1936
1937
1.212.086
1,588.801
81.742
33.779
Roccipts ...... . ... . .... . .... .
921,940
1.300.405
145.849
101.156
Exports .. . . . .............. ..
413.489
572.641
Stocks. February 28 ......... .

7.124.409

4.512.634

OF GALVESTON

COTTON-GALVESTON STOCK STATEMENT
(Bales)
February 28.
1937
7.700
For Great Britain . .... .................................. .
1.700
For France ............... .... . ............... ·· ...... · ..
48.900
For other foreign ports .. .... ..........•...................
5,000
For coastwise ports ...................•.......... . ...... ..
539.077
In compresses and depots ................... ...... ........ .

1.181.055

5.856.188
515.977

Although the foreign exports of cotton from the United
States decreased from 538,280 bales in January to 462,517
bales in February, the latter figure was 56,495 bales, .or
13.9 per cent, larger than in February last year. Total shIp,
ments for the first seven months of the 1936·37 season
amounted to 3,897,599 bales, a decline of 11.6 per cent
from the corresponding period of the previous season, but
a gain of 19.8 per cent over the same period two years ago.
Shipments to Japan in February were noticeably larger
than in either January this year or February last year.

2.958.729

1.719.741

of 1936. Combined receipts were down 39.1 per cent from
the previous month and 52.4 per cent from a year ago.
Exports decreased 25.4 per cent as compared with January
and were 9.1 per cent lower than in February, 1936.

February. 1937
Now York .......•......• . ....•..... . •.... .
New Orleans ... . ... . ...................... .
DaUas ... . ... .......... ............ .. .... .

H~~:.ot~;'-::::::::::::::::::::::::: :: ::: :: :

High
13.34
13.34
12.65
12.02
12.91

Low
12.05
12.79
12.33
12.55
12.56

March 15.
10S7
14.86
14.60
14 .20
14.40
14.36

---------------------------------------------Reflecting the continued heavy demand
for petroleum products, the daily average production of crude oil in the Eleventh District rose

Petroleum

7

MONTHLY BUSINESS REVIEW
to a record high level during February. On February 1
production allow~bles were raised 80,698 barrels in Texas
and 4,800 barrels in New Mexico, and further increases
Were put into effect in these states on March 1, foreshadowing an even higher output of crude oil in March. The district's daily average production in February rose to
1,493,773 barrels, a gain of 71,355 barrels over January
this year and 304,,873 barrels over February last year. The
daily production rate in Texas during February was 71,719
barrels greater than in the preceding month, most of the
increase occurring in the west Texas, south Texas, and
Texas Coastal fields. The daily output in New Mexico averaged 4,,531 barrels higher than in January, but a further
decline of 4,895, barrels occurred in north Louisiana.
Drilling activity in this district showed a further contraction. Well completions in the four weeks ending February 20 numbered 961 as against 1,016 in the preceding
four weeks. Despite the larger percentage of failures in the
latest period, initial production from successful oil wells
amounted to 1,143,497 barrels as compared with 1,027,426
barrels in the previous period.
Commercial reports indicate that the crude oil market has
remained firm.
OIL PRODUCTION
(Barrols)

Inorease or dcerease over
January, 1937

February, 1987
Total

Daily Avg.

Total

Daily Avg,

172,400
188,450
- 1,415,950
252,600
+
228,850

+ 8,105
+15,050
+ 8,383
+28,986
+11,195

1,328,775
96,896
73,102

- 1,748,050
150,200
- 371,050

+71,719
+ 4,531
- 4,805

1,493,773

-2,260,300

~ortb Texas . . , , , . . ... ' .... . ,
E oat Texas .. . .. , , ..... . , . . ,.
Sonst Texas ."", ..... , . . . . ,.
T uth Texas .......... , ..... ,
Cxns Coastal .............. . .

3,954,200
6,113,300
15,640,850
6,029,100
5,328,250

141,221
218,332
558,602
215,325
100,295

N Total Texas ... , ....... ,.
NCW Mexioo .......... " .....

37,065,700
2,713,100
2,046,850

41,825,650

orth Louisiana ..... , , ......
Total District. , ........ ..

---

-

-

--+71,355

FEBRUARY DRILLING RESULTS
ProGIIS
ComWells
pletions duoers
9
95
181
North TellIS ................... .
5
163
206
West TeXllS .................... .
2
186
193
East TellIS , .................. ..
11
164
247
South TellIS .................. ..
4
58
80
ToxllS COlISta!. ..... . ......... .. .
Total TeXllS ... , ............ ,
New Mexioo ......... . ......... .
North Louisiana ..... , ..... . .... .

907
39
15

Initial
Produotion

Failures
77
38
5
72
18

23,631
850,591
601,610
71,754
19,676

210
4
5

1,076,271
64,807
2,410

219
215

1,143,497
1,027,426

February 27,

Fobruary 27,

81

666
85

'3

7

"February totals, distriot ,. , .. . .. , .
061
708
34
tJanuary totals, distriot ...... ,. .. . 1,016
766
35
"Fobruary figures represent four weeks ended Fobruary 20, 1987.
tJanuary 6guros represent four weeks cnded January 28, 1937.
CRUDE OIL PRICES
(Prioe per barrel)

1937
S1.20
1.27
1.41
1.08
1.22

North and lVest central TeXllS ............................ , ,
ElISt oontral TeXllS . . ............. , ..................... ..
TexllS Gulf ooast .. .. , ........................ ,., ..... . .. .
Wost TellIS- New Moxioo . . . ........ ..... ...... ..... ..... .
North Louisiana ......... , ...... . ... . ................... .
NOTE: Prioos quoted apply to oil 40 gravity and above.
"Price for a oomparablc grade of oil is not availablo.
SOURCE: "The Oil Weekly", Houston, Telas.

1936
$1.08
1.15

"
1.10

The value of construction contracts
awarded in this district in February, as
reported by the F. W. Dodge Corporation, totaled $9,645,600, an increase of 25.6 per cent over January but a
decline of 23.4 per cent from February last year. Residential awari:ls in February showed a gain of 30.3 per cent
as compared with the preceding month and 85.9 per cent
over a year ago, and the February total of $4,4,03,700
exceeded that for any other month since October, 1929.
Building

Building permits issued at fourteen Eleventh District
cities in February had an estimated value of $4,,093,928,
reflecting a falling off of 25.9 per cent from January and
4,7.0 per cent from a year ago. These declines, however,
were due principally to the smaller figures reported for
Dallas and Houston. The number of permits issued was
considerably larger than in either comparative month.

BUILDING PERMITS
February, 1937

1~trillo .. . ,. , . . ... , ..

B sm .......... .... ..
Ceaumont .............
D~Ir.us Christi. ... , ....

~p:o: : :::::::::::: :

G0rt Worth ......... .. ,
nalvcston .......... ...
pouston . ..... , ..... , ..
sort Arthur ...........
n Antonio ...... . ... ,
W
reveport ...... , ... , ,

Sh

W!:ia 'FaliS: : : : : : : : : :

Fobruary, 1936

Valuation

No.

28 $ 93,662
266,254
114
117,801
187
247,726
145
435,318
383
117,008
85
275,805
170
103,962
84
1,347,210
435
131
82,465
578,339
248
850,823
184
51,695
49
24,870
15

26
142
78
78
347
50
118
74
387
112
101
02
34
10

No.

Total. .......... 2,158

----$4,093,028 1,789

Valuation
S 43,295

456,432
102,232
257,060
2,140,001
53,171
284,975
20,013
8,061,612
48,344
149,012
136,650
30,806
18,575

$7,720,358

Peroentage ohange
valuation
over year
+116.3
- 41.7
+ 15.2
3.6
- 79 .7
+121.0
3.2
+419.5
- 66.0
+ 70.6
+288 .1
+156.7
+ 20.6
+ 33.9

-

-

47,0

No.

10 $ 45,078
127
220,002
02
42,260
101
305,481
301
570,753
119,340
85
124
280,231
155,717
80
241
2,906,605
52,124
90
187
415,652
110
853,157
27
30,046
8,950
7
1,600

Although the February production of Portland
cement at Texas mills declined 15.0 per cent as
compared with the previous month, it was 25.1 .per cent
larger than in the same month of 1936. Shipments for the
month increased 32.0 per cent over January and 23.7 per
cent over February last year. For the first two months of
1937 production and shipments were 60.8 per cent and 9.0
per cent, respectively, larger than in the same period of 1936.
Stocks on hand at the mills declined 2.4, per cent from J anu-

Cement

Pereentage ehange
valuation
Valuation
ovor month

January through February

January, 1937

$5,524,305

r

03 7
21.0
.
178.8
- 18.0
- 24 .0
1.1
1.6
- 33.2
- 53 .7
+ 58 ,2
+ 30.1
.7
+ 32.4
+177.9

-

25.9

1937

No.

Valuation

47 $ 130,640
241
486,346
220
160,061
246
558,207
684
1,015,071
170
237,347
294
556,036
164
250,670
4,253,815
676
230
134,589
008,991
435
703,080
244
00,741
76
22
38,820
8,758

1936

No.

Valuation

48 $ 86,620
206
1,255,777
175
322,070
150
382,500
766
3,148,366
07
05,264
220
867,375
156
45,574
4,755,533
656
181
73,753
386
638,901
165
220,853
61
67,649
17
81,570

----50,618,323 3,383

$11,991,904

Percentage ohango
valuation
over period
+ 61.2
- 61.3
- 50.3
+ 44.6
- 67.8
+140.1
- 35.9
+469.8
- 10 .6
+ 82.5
+ 55.6
+218.8
+ 34.1
+ 7.1
-

19 .8

ary 31 to February 28, but the total on the latter date exceeded that a year ago by 51.5 per cent.
PRODUCTION, SHIPMENTS, AND STOCKS OF PORTLAND CEMENT
(In tbousands of barrels)
Peroentage ohange from January 1
through
Percentage
February
January
February
Fobruary
ohango
1936
1937
1937
1937
over year
- 15 .0
469
+25.1
1,021
Produotion at Toxas mills.
+60,8
+23,7
491
+32.0
863
Shipments from Toxas mills
+ 9.0
Stooks nt end of month nt
Texas mills .......... . .
888
- 2.4
+51.5

8

MONTHLY BUSINESS REVIEW

SUMMARY OF NATIONAL BUSINESS CONDITIONS
(Compiled by the Board of Governors of the Federal Reserve System)

Volume of production, employment, and trade increased more than seasonally
in February and wholesale prices of industrial com.m odities continued to advance.

INDUSTRIAL PRODUOTION
I
I

A

PRODUCTION AND EMPLOYMENT

I

\

J

/

'"\

~

I

\.

h

00

\1 V
/\
.\ V

V\

h

I

IV

A

00

ro

I\f' J

~

00

00

00
. 192.9

19~O

t9!t

1
932

1933

1 9~4

1930,

1
938

1931

Index of physical volume of production. adjusted
for seasonal variation. 1923-1926 average
100.
By months. January. 1929. to February. 1937.

=

WHOLESALE PRICES
'E" OIMT

120

'DleINT
I 20

110

I 10

100
00

I00

M

[\.,.

70

.0
telK)

1931

80

.. V

~
1928

Value of construction contracts awarded this year, according to the F. W.
Dodge Corporation, has been considerably larg·er than a year ago, reflecting an
increased volume of private residential building and other types of private construction, while the volume of publicly-financed 'work has been smaller.

90

~

80

The Board's index of industrial production, which makes allowance for changeS
in the number of working days and for usual seasonal variations, was 116 per cent
of the 1923-1925 average in February as compared 'with 114 in January and .an
average of 115 in the last quarter of 1936. At steel mills activity continued to Increase in February and the first three weeks of March and, although the growth
was somewhat less than seasonal, output currently is about the peak level reac~ed
in the summer of 1929. Automobile production, while fluctuating considerably WIth
strikes at important plants, has been larger for the year to date than in the
corresponding period last year. Output of plate glass in February showed a sharp
rise from the low level of the two preceding months when strikes curtailed prod~c­
tion. At textile mills and shoe factol'ies activity continued at a high level, whIle
output at meat-packing establishments declined somewhat further. Mineral production increased, reflecting chiefly greater output of coal and a further rise in crude
petroleum production.

J

1932

1
933

70
60

193~

1934

19a6

1
937

Factory employment and payrolls increased from the middle of January to
·the middle of February by more than the usual seasonal amount. The number
employed in the machinery industries increased .c onsiderably and there were
smaller increases at automobile and plate glass factories. In the non-durable goods
industries as a group there was a seasonal rise in employment.

'0

DISTRIBUTION

Index compiled by the United States Bureau of
Labor Statistics. 1926
100. By months. 1929 to
1981; by weeks. 1982 to date. Latest figure is for
week ending March 20. 1987.

=

MEMBER BANK RESERVE BALANOES

S
Department store sales increased from January to February and the Board'6
seasonally adjusted index advanced from 93 to 95 per cent of the 1923-19?
average. Sales at variety stores also increased more than seasonally, while ma l !order sales, largely in rural areas, showed less expansion than is usual at thiS
time of year. Total freight-car loadings increased in February and the first half
of March, owing in part to seasonal influences.
COMMODITY PRICES
The general level of wholesale commodity prices advanced from the middle .of
February to the third week of March, reflecting principally further substantlal
increases in the prices of industrial materials. Prices of iron and steel, nonferroUS
metals, lumber, cotton, rubber, and hides advanced considerably and there were
also increases in the prices of cotton goods, paper, and furniture. Wheat prices
have advanced in recent weeks following a decline in the latter part of FebruarY,
BANK CREDIT

Wednesday figures of total member bank reserve
balances at F ederal Reserve banks. with estimates
of required reserves. January 6. 1932.
to March 24. 1937.
MONEY RATES IN NEW YORI(

""til'
7

'ute rH1

I

7

I,

= i:.':~~'&M
.. -AcupIMKWH't.

lJ.
r-,. '\ \.~ ,t~
1931

1932.

Holdings of United States Government obligations at reporting member bankS
in leading cities declined by $280,000,000 in the four weeks ending March 17, a
part of the decline reflecting large maturities of Treasury bills. Commercial loan s
increased further at reporting banks and on March 17 were above last year's high
level reached on December 30. Loans to brokers and dealers in securities increased
sharply.

~'I
I~
\I~\0,"

On March 1, when the first half of the recent increase in reserve requirements
went into effect, excess reserves of member banks declined from $2,100,000,000 t o
about $1,300,000,000. In the next three weeks, which included the March tax coi lection period, excess reserves showed moderate fluctuations around the new level.
In connection with the increase in reserve l·equirements there were some withdrawals of bankers' balances from city banks but practically no borrowing bY
member banks from the Reserve banks.

1934

-_.

... -

19M

--_ .......
1936

MONEY RATES

".J
1937

Minimum rate on rediscounts for and advances to
member banks by Federal Reserve Bank and
weekly prevai lin g rates on prime comn:ercial
paper. 4 to 6 months. and pl"ime bankers' acceptances. 90 days. For weeks ending January 3.
1981. to March 27. 1987.

Since the beginning of March the rate on 90-day bankers' acceptances advanced
from 5/16 of 1 per cent to 9/16 of 1 per cent, and commercial paper rose from
a flat %. per cent to a range of between %. and 1 per cent.
Bond yields, which until recently had been near the extreme low point reached
last December, advanced by between 1,4, and lh per cent and on March 24 'were at
about the levels prevailing early in 1936.