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MONGJ"'HlG'Y
REVIEW
FED ERA L
RES E R V E
Vol. 39, No.8
BANK
o
DALLAS, TEXAS
M I D Y EAR
ECONOMIC
In retrospect, the first half of 1954. presents an economic
scene of con trasts, of moderate deflationary forces, and of
comparatively small changes in the levels of production and
consumption, combined with elements of pronounced strength
in certain sectors. Seldom has there been a period in which
so much attention was directed to such minor changes in the
measurements of economic activity. Certainly, Americans and, indeed, people throughont the world - have been observing very closely the progress of readjustment in the
United States because of the widespread feeling here and
abroad that an American recessio n is likely to degenerate
into a world-wide depression. The fact that recovery in
economic conditions in leading foreign countries continued
unabated in the face of the American recession generated
confidence in both the United States and foreign co untries.
F
DALLAS
August 1, 1954
REVIE W
irregular illtervals. While unemployment benefits softened the
eHeet of income loss, they did not compensate for the full pay
envelope.
Likewise, the businessmen of the Nation were unevenly
affected by the readjustment period. In general, those dealing
in durables - either producers or distributors - were more
directly and adversely affected than those manufacturing or
distributing nondurable goods_ However, nearly all businessmen had to contend with the more vigorous competitive spirit
which prevailed in most markets. This renewed competition
has meant some shading of quoted prices, as well as some
price reductions and a narrowing of profit margins; but most
of the competition has been on the basis of stronger sales
eHorts, more active solicitation of accounts, and more liberal
credit terms, rather than price reductions_ Some businesses
have been forced to close as profit margins narrowed, while
others actually have sold more goods in response to the competitive stimulant.
The effects of the recession have been distributed unevenly
among the various groups of the population. Although perhaps its most impressive characteristic has been its mildness,
the recession has aHected most industrial sectors of the
economy and most geographic areas, some quite severely.
Yet, other sectors of the economy - such as construction have continued at a record pace. To most Americans, the
first 6 months of 1954 was a period of continuing prosperity.
Total individual incomes remained high, prices at both
wholesale and retail continued generally stable, the cost of
borrowing money was reduced further to low levels, and the
supply and quality of consumer goods were even better than
in previous years. To some extent, actual henefits could be
discerned, such as lower costs of raw materials and some com·
petitive reductions in the effcctive pricc of consumer goodsparticularly durable goods.
There is no unanimity of opinIOn regarding the factors
that generated the adjustment or recession which has affected
so many people in so many ways. Nevertheless, it appears
that three factors have been of major importance. Perhaps
the most potent of these was the rapid build-up of inventories,
particularly of durable goods, that accompanied the upsurge
in production during the year following the settlement of
the prolonged steel strike in the summer of 1952. It was
inevitable that production substantially in excess of final
consumption ultimately would create a top-heavy inventory
situation which would necessitate a cutback in production in
the absence of an increase of final sales.
To that shifting group of unemployed workers, averaging
about 5 percent of the labor force, the fir st half of 1954 was
a period of varying degrees of hardship, consisting of lowered
incomes, a declining standard of living, and perhaps a major
• upheaval in their customary way of life. III addition, many
other wurkers felt some of the effecb of declilling production
s<;hedules, as their hours uf work were red uced from an overlime level to which they had become accustomed to a point
below 35 hours a week, and they were virtually unemployed at
A second factor of major significance has been the substantial cutback in Government spending, especially on
military goods, which has meant a sizable drop in the production of prinlary metals, ordnance, machinery, and aircraft .
A third factor has been the marked shifts in consumer purchases. Although tOlal personal consumption expenditures
have held cOllljJ ....atively steady since the second quarter of
1953, this outward stability obscures the internal shifts among
categories . Even in the nondurable goods category, where
This publication was digitized and made available by the Federal Reserve Bank of Dallas' Historical Library (FedHistory@dal.frb.org)
110
MONTHLY BUSINESS REVIEW
over-all changes have been relatively minor, substantial
changes have occurred in the buying of particular goods. In
the durable goods category, where overproduction and inventory accumulation were most pronounced, the volume of
buying showed a sharp decline through the first quarter of
1954 but a slight increase in the second quarter. The substantial rise in consumer expenditures on services has more
than compensated for the total drop in purchases of durable
goods. These shifts, while accentuating the problems of the
producers and distributors of durable goods, have spurred
activity in other sectors.
In some quarters, the accumulation of excessive inventories and the necessity for their reduction to levels com·
mensurate with the current volume of sales are associated
with excess plant capacity, which has been expanded greatly
during the postwar period. ea pacity was constructed to meet
abnormal requirements growing out of an unfilled backlog
of demand created by shortages during the war period and
the emergency defense demands_ It should be recognized that,
in some industrial sectors, eJdsting productive capacity is
capable of producing a volume of goods somewhat greater
than that being consumed currently and that this excess may
be accentuating the problems of readjustment. At the same
time, offsetting factors should be evaluated properly. For
several years, industry has been operating, often on an overtime basis, plants which are obsolete to varying degrees. This
type of operation is expensive and will be resorted to only
as long as it is justified by demand. Over the longer run, the
expanding demand emanating from the rising standard of
living and growth in population should solve whatever overcapacity problem may exist. In the meantime, it seems improbable that excess capacity, if it exists, will retard significantly the recovery of economic activity from current levels_
The relative importance of these three factors in causing
or accentuating the adjustments of the past year and their
probable contributions to recovery may be understood better
after a review of trends in recent months and an appraisal of
the current economic situation_
The persistent downward trend in the important measures
of economic activity during the later months of 1953 gave
clear evidence that a readjustment was in process. The declines, some of which were of significant proportions, created
an air of uncertainty and pessimism among a large segment
of the Nation's businessmen. Early in 1954, however, this
pessimism began to disappear as the pace of readjustment
slowed; in the spring, when the measures of economic activity
showed signs of stabilizing, pessimism was replaced by an
undertone of confidence. Developments in May and June
tended to confirm earlier appraisals, causing a further
strengthening of confidence. As changes were recorded in
most business measurements during the 6-month period, perhaps the most significant developments were the leveling off
of the decline in some sectors of business activity, a slight
upturn in other sectors, and a slowing down of the rate of
decline in still other areas_ Some of the more important
changes are reviewed III the following discussion.
Because of the peculiarities of the current adjustment, in·
ventory changes have been observed closely. The growth of
BUSINESS INVENTORIES
UNITEO STATES
IIL UOHS
S.
or
DOLL lollS
Ih ••• ul l, ed / Wit.., I
e.
IIL ltO NS 0' OOlLAI'IS
~----------+-----~,-----~~~------~.o
f---------
1-+-----------+-------------175
70~---,~.~.2~---L----~1.~.~.----J---~19~.~.----,.
70
total business inventories, which was unusually rapid during
the first half of 1953, continued upward in the third quarter
as the decline in sales was more pronounced than the cur·
tailment of production. From the peak inventory level of
$82,000,000,000, seasonally adjusted, in September 1953,
there has been a steady liquidation which reduced the total
to $79,422,000,000 at the end of May this year. This total is
2,600,000,000 under the peak and $450,000,000 lower than
in May 1953.
The decline of $2,282,000,000 in manufacturers' inven·
tories from September 1953 to May 1954 accounts for nearly
all the reduction in total business inventories, with over·all
retail and wholesale inventories down only slightly. This
reduction, which has occurred chiefly in durable goods,
has had, in turn, a noticeable effect on the production of
such goods. There is considerable evidence that some inven·
tory readjustments are nearly complete. However, in some
lines -- such as steel, automobiles, and petroleum -- the
weight of present opinion sustains the belief that further
liquidation must be accomplished before production schedules
can be improved.
The process of liquidating and balanclllg inventories has
necessitated a sharp reduction in new orders to manufac·
turers. Durable goods producers have taken most of this
reduction; consequently, their unfilled orders decreased
nearly $23,000,000,000 in the past year. When inventories
are again in balance with current demand, the downward
trend of unfilled orders for durable goods manufacturers
should end. Until such time, the lower production schedules
occasioned by the decline in new orders probably will
continue.
Industrial production, as measured by the seasonally ad·
justed physical output llldex, shows in sharp detail the steady
decliJlCs of late 1953 and early 1954. The index, at 137 in
July 1953, declined to 126 in December and 123 in March
and April and then recovered slightly to 124 in May and June.
The best performance of the three major groups -- durables,
nondurables, and minerals -- has been in the nondurables
4
MONTHLY BUSINESS REVIEW
category. The index for this group declined from 121 in July
1953 to a low of 112 in December but increased to 116 in
June. In general, this reflects the stability of nondurable
goods production and the steady demand for such goods.
However, within the nondurables category, the rather large
reductions in individual production schedules not only have
caused some hardships but also have considerable significance to the trend of business in the immediate future.
In both the textiles and apparel group and the rubber and
leather products group, rather clear·cut evidence of cyclical
movements can be shown for the 1950-54 period. Production
in each of these groups reached a peak in late 1950 and a
low point 1 year later. A second cycle, with a peak in mid1953 and a trough in mid·1954, apparently is developing.
Consequently, each of these groups could show a rather
strong upward trend in the latter half of this year. Conversely, the declining trend evident in refinery runs of crude
petroleum may be expected to continue until needed readj ustments are made in inventories. The rather large stocks
of gasoline and the maintenance of a fairly high level of
imports continue to place pressure upon the price structure
and the refmery operations of most of the companies in
this industry.
Changes in durable goods production were much more
pronounced, as the adjusted index moved from 157 in July
1953 to 142 in December and 135 in June. Within the durable
goods category, attention has been directed primarily at the
production, sales, and inventories of automohile and steel
producers. Automobile production, after a record 1953, sub·
sided in early 1954 and for the first half of the year was 11
percent below production in the comparable period a year
earlier. Sales of new automobiles during the first 6 months
of 1954 were 6 percent below those during the same period
of 1953. The monthly changes during the first half of 1954
reflected a greater than seasonal rise, and press releases from
Detroit indicate unusually strong sales in June. Inventories
of new automobiles in May were 48 percent above a year
earlier, but the high level of June sales reduced inventories to
a point only 23 percent above June 1953.
INDUSTRIAL PRODUCTION
UNITED STATES
(1941-49 -100)
(S .... ngll' dju,rtd '"d ll)
I
( DURAB~E
I
MANUFACTURES
~, ,. .................'\ .,,------100
"Ol~---.... ' '1
'\..!
....
~ ~~.
..
l~
12.~\:i-
- : ' iv f
....
~I
TOTAL
....... ..
_
120
IOOf------t------+-------jIOO
' !..~.,----,1-••
;:;;-::2---'--......
19;;;;
••. - -.....-
---,,;;;
....4-
-..v'7.
111
MANUFACTURING EMPLOYMENT
AND UNEMPLOYMENT
.,
UNITED STATES
LLIOIIIS 0#' PER S ON S
WILLIO MS 0' P ERS
Z0
•
.·······1······
···1···· .....
•••• ········LMANUFACTURING EMPLOYMENT
2o
1
.J. •................1.
,
,N,
•
1
••••
4
14
,
1
2
4
I" UNEMPL.OYMENT
Z
~
0
1952
1953
V-1954
4
o
Steel production, as shown by the operating rat~, indicat~d
a declining trend through April and a moderate mcrease. m
May and June but another decline in July. The operatl~g
rate declined from 97 percent in June 1953 to 79 percent m
December 1953 and 68 percent in April 1954. Since then,
some improvement in orders has boosted the operating rate
to 71 percent in May and 72 percent in June. The total ton·
nave of steel produced in the first 6 months of 1954 was ap·
pr~ximately 44,129,000 tons, or 24 percent. below the
57,946,000 tons produced in the comparable perIod of 1953.
A further indication of the trend of economic activity is
provided by the changes in employment and une~ployment.
The steady decline in employment was halted m J nnuary
1954 at 59,778,000; since then, seasonal forces have caused
employment to expand to 62,098,000 in June. Factory e~
ployment, however, declined steadily from 17,537,000 ~n
August 1953 to 16,765,000 in December and 15,829,000 m
June 1954. To a large extent, the decline in factory employment explains the decrease in total employment and the
rather substantial increase in unemployment. Unemployment,
which dropped to the abnormally low level of 1,162,000 in
October 1953, rose to 1,850,000 in December and reached a
peak of 3,725,000 in March this year. Seasonal influences
caused a reduction during April and May, although a much
less than seasonal increase of only 42,000 occurred in June.
The June total of 3,347,000 reflects an increase of 1,785,000
over the unemployment level of June a year ago.
The size of the reduction in governmental expenditures has
had a substantial influence on the movement of total economic
activity. Comparing the annual rate of expenditures in the
second quarter of this year against those in ~he second quarter
of 1953 the decline in defense expendItures more than
account; for the $5,500,000,000 decrease in total government expenditures, with an increas: in state an~ lo~al government expenditures partially offsetting the dechne m Federal
Government expenditures.
The changes in many economic indicators have shown
clearly the progress of the readjustment period, although
MONTHLY BUSINESS REVIEW
112
others have exhibited remarkable stability throughout the
entire period. For example, personal income, at a seasonally
adjusted annual rate of $286,900,000,000 in May 1953, de·
clined to $284,900,000,000 in January but increased to
$285,200,000,000 in May to show a gain of $600,000,000 in
the first 5 months of 1954 compared with the January-May
period in 1953. Income, excise, and excess profits tax reductions early in .1954 appeared to be of considerable help in
maintaining the high level of disposable income, which, in
the second quarter of 1954, was $2,000,000,000 more than
in the second quarter of 1953. This has been a major factor
in the maintenance of consumer purchases. Some declines in
farm income have been reported in 1954, but, generally, those
declines have been very moderate.
Throughout the period of readjustment, retail sales, on a
seasonally adjusted annual-rate basis, have remained at levels
within 5 percent of corresponding 1953 totals and in June
were only 1 percent below a year ago. Department store sales
for the first 6 months of 1954 were also within 5 percent of
those of the comparable period a year ago. Not only have
retail sales remained near their early 1953 pace, but prices
have been steady. The consumer price index in June, at 115.1,
was less than 1 point above that of June 1953. Even if allowance is made for some price shading, which is an outgrowth
of competitive haggling and does not show in the indexes, the
price stability is quite remarkable in view of the production
and employment declines of the past year; however, if viewed
in reference to the steadying influences of personal income
and retail sales, it is not wholly unexpected. The wholesale
price index also has shown relative stability, although its
fluctuations, as expected, exceeded those of the COnsumer price
index. The June level of the wholesale price index, at 110.0,
was only slightly above the 109.5 level existing in June 1953
and was slightly below the January level of nO.9.
The various factors affecting the agricultural situation such as the larger export market for some crops and the continuing drought -likewise show contrasting positions, although, on balance, they reveal a mildly deflationary aspect.
The outlook at this time is another year of relatively high
BUSINESS SALES
UNITED STATES
{ huoneUy DdJutlidl
BILLIONS OF DOLLARS
55
,.
B ILLIO NS Of" DOL LARS
~-----+--~~~---+-----~50
1-~~-----~----~ 4 5
40~-~19~5.~--L--~
19~'3~--L--"'9"'·
4 --.J4 0
S OURCE : U . S . D.pa'I",,~1
01 Co""mltc • .
CONSUMER PRICE INDEX
UNITED STAT ES
( 19 41 -49·IOO)
PERc eHT
I' ER COIT
liB
li B
f-------~-----~----~II .
/ ----+- -----+" 4
f------~-----~----~ II.
II Ot..----1c;;9"OC5.:--....I...--1:;;
9""
";---....L.--;-;;
,9:;,.;--~J IIO
SOURCE , us a.po rl ,u nl of Lo bo •.
crop production, with declines in the production of wheat,
cotton, and corn largely offset by increases in sorghums, hay,
barley, oats, rice, and soybeans. Total output is not expected
to equal the near-record level of 1953. Acreage controls on
wheat and cotton lowered the seeded acreage of these crops,
and intense heat in the southern sections of the Corn Belt
reduced sharply prospective production of this crop.
A record-high cattle population and rapid curing of pastures in many areas are expected to cause continued heavy
marketings for the remainder of 1954. Production of poultry
and of livestock products probably will equal or exceed the
volume in 1953.
Prices of agricultural commodities during the first 6
months of 1954 averaged about 212 percent below a year
earlier but compared favorably with prices which prevailed in
the last half of 1953. Cash farm income during the first 5
months of 1954 was about 4 percent less than during the corresponding period a year earlier.
In many parts of the country, the drought is continuing to
cause some damage to crops. In certain sections the situation
has become acute, although there has been some relief in other
areas. Moisture conditions were much improved in the spring,
but the extreme heat in late June and July dissipated the
moisture rapidly.
Another stabilizing force has been the continued high level
of expenditures for plant and equipment. From the peak of
$28,920,000,000, the seasonally adjusted annual rate in the
third quarter of 1953, the rate of such expenditures has declined to an estimated $26,940,000,000 in the second quarter
of this year_ Total plant and equipment expenditures for
1954 are expected to be within 5 percent of last year's record.
Such expenditures have contributed significantly to the support of the construction industry, the strongest element of
economic activity in the first half of this year.
Total new construction, at $16,600,000,000 for the first 6
months of 1954, was slightly above that of the first 6 months
4
MONTHLY BUSINESS REVIEW
NEW HOUSING STARTS
UNITED STATES
TIoi OU $11.1<1 0 50' U NI TS
1,400
"
.UOIa ty ad jllsld o"n""l,o l • • )
T tiOUS 4N [) S OF UNIT S
I ,400
1,300
I ,300
oJ\Jlft!h
1,200
I .200
1,10
I , 10 0
1,000
I ,000
900
800
113
In the first half of 1954, Federal Reserve credit policy was
effected through its various instruments. Throughout the
period, transactions in Government securities were closely
attuned to maintaining a condition of active ease in the
money market. On balance, holdings of Government securities
in the System Account declined moderately - due to net
redemptions or sales of Treasury bills largely to absorb reserves created by a return flow of currency in early 1954but member bank reserve positions remained comfortably
easy, almost without interruption. On a daily average basis,
excess reserves of member banks, less borrowings at the
Reserve banks, were well over $500,000,000 in most weeks
and fell below $400,000,000 in only 5 weeks during the period.
9 00
19~2
19.53
19.5<1
~.
8 00
S OUR CE U S D.po.h... nl or Lobo,.
of 1953 and has been consistently above the previous year's
figures for many months. The value of construction contract
awards for the 6·month period was 17 percent greater than
that of the comparable 1953 period. The strongest segment
of construction in the first half of 1954 was residential home
building, awards for which have been valued at nearly 22
percent above those of the first half of 1953. The adjusted
annual rate of new housing starts was maintained at levels in
excess of 1,000,000 throughout the first 6 months of 1954.
Some of the impetus toward increased residential construction has been generated by changes in the interest rate
structure and a substantial increase in loanable funds.
These shifting currents of economic activity were accom·
panied by changes in Federal Reserve monetary and credit
policy. The policy of moderate restraint in effect early in
1953 was tempered during the spring for the purpose of increasing the availability of credit by enlarging the supply of
reserve funds. As the year progressed, System policy was
modified to give recognition to the receding levels of economic activity and to create easy credit conditions, with the
objective of contributing to stability and growth in the
economy.
The initial change in System policy occurred in the period
between early May and early July 1953, when a substantial
volume of Government securities was purchased to supply
reserves to the banking system to ease somewhat the condition of stringency in the money market. Also, effective early
in I uly 1953, reserve requirements against net demand deposits of member banks were lowered to release an estimated
$1,156,000,000 of funds carried as required reserves. During
the August-December period, further injections of moderate
amounts of Reserve bank credit were made through open
market operations to relieve recurring, although temporary,
tightness and to facilitate the meeting of seasonal and growth
demands for bank credit. A substantial volume of reserves
also was provided through the repurchase agreement facility
in November and December, when seasonal pressures on
member bank reserve positions were at a peak.
Discount rates of the Reserve banks were lowered on two
occasions during the 6 months. Effective within the period
February 5-15, 1954, discount rates were reduced from 2
percent to 1% percent, principally in recognition of the
general decline which had occurred in market rates for shortterm funds. A further reduction, from 1% percent to 1~
percent, was made in April and May.
In Iune 1954, a reduction in reserve requirements was
announced by the Board of Governors, to become effective
within the period from I une 16 to August 1, which released
an estimated $1,555,000,000 of reserves. The announcement
indicated that the action was taken in anticipation of esti.
mated demands on bank reserves during the summer and
fall, including probable private financing requirements as
well as the Treasury's financing needs.
The downward readjustment of economic activity since
mid·1953 has been accompanied by an expansion in total
bank credit demands, with a large increase in investments
and a moderate increase in loans. As might be expected, the
demand for business loans at commercial banks contracted as
sales leveled off and excess inventories were liquidated, even
though total loans increased. In contrast to other recent years,
commercial and industrial loans of commercial banks declined in the second half of 1953, and the reduction in the first
6 months of 1954 was substantial. The demand for consumer
instalment credit, which was well maintained during the latter
half of 1953, declined rather sharply in the first quarter of
1954. The increase that occurred in April and May was much
smaller than is usual at that season.
The general rise in market rates of interest (as compared
with the less attractive yields on guaranteed and insured
loans) during the spring and summer of 1953 created a
temporary congestion in the market for FHA and VA mortgages, although funds for conventional loans appeared to be
in adequate supply at the higher rates. As funds became more
plentiful, market rates declined and, together with the attraction provided by an increase in FHA and VA rates to 4~
percent, gradually relieved the congestion in the market for
FHA and VA loans. By the spring of 1954, mortgage funds
became generally adequate at favorable rates.
Corporate demands for new capital showed a tendency to
level off or decline slightly during the first half of 1954, as
compared with the very strong demand which had prevailed
114
MONTHLY BUSINESS REVIEW
throughout 1953. This development stemmed principally
from the completion of capital expansion programs, the de·
cline in finance company issues, and the readjustment in busi·
ness. Corporate demands for capital to finance the moderniza·
tion of plant and equipment-under the stimulus of a more
competitive business climate--have been well sustained.
Borrowing by states and local governments - which has
shown a marked rise in recent years - has continued at a
high level, as evidenced by the heavy volume of new security
issues. These capital demands for the construction of high.
ways, schools, and a wide range of other projects have constituted one of the principal factors in maintaining total
credit demands.
Treasury cash requirements, growing out of the excess of
expenditures over receipts and the seasonal pattern of
Treasury tax collections and other cash flows, necessitated
heavy reliance on borrowing in the July-December half of
the fiscal year and added substantially to the total demand for
funds in that period. These financing requirements fell at a
time, however, when private demands for mortgage credit and
loans at commercial banks were showing signs of leveling off
or easing.
On balance, the foregoing changes have resulted in a
general decline in money and capital rates. This development
is particularly evident in the changes in yields on Government
securities. Market rates on 3·month Treasury bills declined
from 2.11 percent in June 1953 to .64 percent in June 1954:
9- to 12-month taxable issues, from 2.46 percent to .76 percent; and 3- to 5·year taxable issues, from 2.92 percent to
1. 79 percent. The yield on long-term Treasury bonds, as re-
flected by the fully taxable 211z·percent issues due or first callable in over 12 years, declined from 3.09 percent in June
1953 to 2.54 percent in June 1954.
It is seldom, if ever, possible to formulate a clear picture
of the future course of economic activity, but it is possible to
gain some impressions from the past movements and to
project the trends that seem to be the most likely to occur
over the months ahead. Few, if any, qualified observers are
anticipating a major upturn in the economy during the last
half of the current year; also, few foresee a further retreat of
substantial proportions from current levels.
The major factors supporting the position of a business
upturn are the trend toward higher levels of consumer spending, prospects for increases in production in certain lines,
continued high levels of construction, the anticipated renewal
of buying for inventory replacements, and the expected increase in defense expenditures.
The prospect of another downturn in business could be
based upon the continued need for inventory liquidation in
some lines; the declining trend in expenditures for plant and
equipment; and the uncertainties regarding future production
of durable goods, notably automobiles and steel.
In view of the limited possibilities in the areas which are
expected to exert the strongest influence on movements over
the next several months, it would appear that the trend of
economic activity is more likely to remain generally stable
or to increase slightly than to show a sharp upward or downward movement.
MONTHLY BUSINESS REVIEW
115
REVIEW OF BUSINESS, AGRICULTURAL, AND FINANCIAL CONDITIONS
Total retail sales at department stores in the Eleventh
District during June declined 6
percent from May and 5 percent from June 1953. The MayJune decrease was less than seasonal for the District
and compares with a 7-percent decline during the
same period last year.
Cumulative monthly sales of District department
stores for the first half of 1954 trailed those for the
first half of 1953 by 5 percent. Inventories at the
end of June were down 8 percent from a year
ear/ier . Collection ratios during June showed virtually no change from either a month ago or a year
ago.
Prospects for agricultural production in the District
deteriorated somewhat in July, as a prolonged heat
wave and poorer moisture conditions adversely
affected crops and pastures. Record acreages of
rice and sorghums have been seeded.
Crude oil production in the District declined substantially in July, and reduced allowables for Texas,
Louisiana, and New Mexico foreshadow a further
decrease in August. For the first 6 months of 1954,
production averaged 3,046,000 barrels per day, or
111,000 barrels less than in the same period of
1953.
Total nonagricultural employment in the five states
of the District is estimated to have declined from
June to July. However, manufacturing employment
is estimated to have increased slightly.
Retail sales at District department
stores during June declined 6 percent from May and were 5 percent
below June 1953. The month·to·
month decrease was approximately
3 percentage points less than that usually expected in the
District from May to June and compares with a 7'percent
decline during the same period last year. The seasonally
adjusted index of department store sales in the Eleventh
District (1947-49 = 100) rose from 123 percent for May to
127 percent for June, compared with 134 percent for June
a year earlier. During the 3 weeks ended July 17, the dollar
volume of sales was 9 percent above that in the comparable
3·week period in 1953.
Cumulative sales lor the first 6 months of 1954 were 5
I-'ercent below those for the same months of 1953. Dollarwise,
losses in sales from the preceding year were about equally
divided between household durables and the combined total
of all other departments. Percentagewise, however, sales of
durables declined 13 percent, while sales of all other departments - mainly soft goods - declined only 2 percent. Basement store sales were maintained at close to the high level
of 1953, showing a cumulative loss of 2 percent over the
6 months. The nonmerchandise departments registered a
(i·month gain of nearly 4 percent: The barber and beauty
sbop trade increased 18 percent, while the volume of business
of the restaurant, fountain , and bakery departments, combined, gained 6 percent.
Although year·to·year losses were reported in most of the
main store departments during the January-June period,
slight to moderate offsetting gains were reported in particular lines. Sales of cotton yard goods rose 3 percent over a
year earlier, and sales of junior coats, suits, and dresses
RETAil TRADE STATISTICS
(Percentage change)
The value of construction contracts awarded in
the District in June was 6 percent below the value of
May awards but 17 percent above the total in June
1953. The value of awards for the first half of 1954
was 10 percent above that of the comparable period
of 1953 .
Commercial, industrial, and agricultural loans of
the weekly reporting member banks in the District
declined moderately during the 5 weeks ended
July 21, while loans secured by real estate and
consumer-type loans increased. Investments were
reduced, due principally to decreases in holdings of
• Treasury bills and notes and somewhat smaller additions to Government bonds and certificates. Deposits
were down 1 percent over the 5 weeks, with demand
deposits of individuals and businesses accounting
for most of the change.
NET SALES
STOCKS I
June 1954 from
6 mo. 195 4
line of trode
by oreo
DEPARTMENT STORES
Totol Eleventh District •• ...• , ..••..
Corpus Christi • .• ••••••••• •• •••• .
Dollas • ••••• . . •• ••• •.• •. •.. . . ••
EI Pa so • • .•..••• •.• •• .•.• • .. . ••
Fort Worth •..•.• " ••• • ••• . •.•••
Houston •..•.... ••• . •... .•• ...•.
San Antonio • • .••••• • •• • ..•..• •.
Shreveport, Lo ... . . . . ... , •••. ... •
Waco ••. • • • • . •. ••••••••• ..• . . .
Other cities • • .. ... ..•••.. . ••.• ..
FURNITURE STORES
Tolal Eleventh District .•..••• •• • . .•
Austin •••..• . ...•.•••..• • ••••••
Dolla s . •... .• . ... ... . . . • • .•••.•
Houston •••• . . ... •...••••••
Port Arthur . •...• . •••••..•• • ••.•
San Antonia •. . ••...•. ... •• ... .•
Shreve port, Lo .. .......... . ......
O ther cities .. ... . ..•...•••....••
HO USEHOLD AP PLIANCE STORES
Tota l S e ven th District ...... . .... . .
Dalla s ••. ... •.••....••.••••••••
I
I
Siocks at end of month.
I
•••
June 195' fro m
June
May
compo with
1953
1954
6 mo. 1953
1953
1954
-5
6
-3
-7
-5
_5
-12
3
-23
-2
-.
- 5
-7
-8
2
-7
-7
-5
-7
- I
-6
_ 12
3
2
- 16
-23
- 2'
-2 4
- 6
4
-5
-25
-24
-6
13
-9
-6
-7
_4
6
-7
-6
4
-.
-8
-6
_5
-11
-3
-6
-2
Jon.
Ma y
-11
-9
-3
_5
-8
-6
-8
-6
-1
-7
-11
-13
-13
-23
-5
-16
-7
-1
1
-11
11
-1
4
10
6
_ 3
11
18
29
f Indicates change of ress thon one ·ha lf of I p e rcent.
MONTHLY BUSINESS REVIEW
116
INDEXES OF DEPARTMENT STORE SALES AND STOCKS
ADJUSTEDl
UNADJUSTED
June
May
1954 1954 1954
J"".
1953
1954 1954 1954 1953
112
103
128
June
Area
May
April
April
June
SALES-Daily average
Eleventh District •••••••••• ••
Dallas . ................. . .
Houston ••••••• • •••••. • • •• •
119
113
138
119
116
133
118
107
135
127
126
141
123
115
139
120
122
134
134
130
148
121p 130
135
131r
IJlp 128
127
U2r
STOCKS-End of month
Eleventh District • • • • ••••••••
1 Adjusted for seasonal variation.
p-Preliminary.
r-Revised.
rose 4 percent. In the shoe departments, cumulative gains
of 6 percent and 3 percent were recorded in sales of children's
shoes and women's shoes, respectively, while a gain of about
1 percent was reported in sales of men's shoes. Also, during
the 6-month periods being compared, sales of fine jewelry
and watches increased 16 percent this year.
Inventory policies of District department stores during the
first half of 1954 were conservative. Buying was close to
current needs, long-term commitments were held to a mini.
mum, cancellations were minimized, and stocks on hand
were held at levels consistent with the lower volume of sales.
Reflecting the more conservative buying policy, end-of·month
orders outstanding through May averaged 22 percent lower
than in the same months of 1953; nevertheless, new orders
actually placed over the period were only 6 percent below
a year earlier, and receipts of new merchandise exceeded
sales by approximately 3 percent. At the end of June, total
inventories were 7 percent lower than a month earlier and
8 percent lower than a year ago. The seasonally adjusted
index of District department store stocks rose 3 points duro
ing June to 131 percent of the 1947-49 base period, compared
with the 142 percent for June 1953.
Department store credit outstanding at the close of June
was about equally divided between regular charge accounts
and instalment accounts, and the volume of both types of
credit was approximately 1 percent lower than on the same
date last year. From January 1 to June 30 this year, charge
account receivables declined 40 percent, compared with a
38·percent decline during the first half of 1953. Over the
same period, instalment receivables declined 10 percent this
year, in contrast with a 5·percent rise during the same months
last year. Collection ratios during June were virtually
unchanged from a year earlier, reflecting an average collec·
tion period of 65 days for charge accounts and 16 months
for instalment accounts.
At reporting furniture stores in the District during June,
sales rose 4 percent above those in May but were 12 percent
lower than in June 1953. Accounts receivable outstanding
declined 1 percent during the month to a total 6 percent lower
than a year earlier. Total inventories declined 1 percent from
May and on June 30 were 13 percent below the same date
last year.
Total acreage of crops for harvest
in the District in 1954 is estimated
to be slightly larger than in 1953.
Reductions in the acreages of cotton
and wheat, resulting from the im·
position of acreage controls on these crops, were more than
offset by increases in acreages of sorghums, corn, oats,
barley, rice, peanuts, and hay, according to estimates by the
United States Department of Agriculture. In Texas the acreage planted in the principal crops is estimated at 26,100,000
acres, 13 percent above 1953 and the largest acreage since
1949. Record acreages of rice and sorghums have been
seeded. Production estimates of District crops indicate a
larger output of corn, wheat, oats, barley, rice, and citrus
fruits than in 1953. The first estimate of cotton production
will be issued by the Department of Agriculture on August 9.
~
Crop production prospects in central, northern, and southeastern parts of Texas deteriorated somewhat during July.
High temperatures and lack of rainfall retarded the develop.
ment of cotton and caused some shedding of bolls, reduced
late-corn yields, and lowered prospects for sorghums pro·
duction. However, in virtually all other areas of the District,
growing crops made satisfactory development. Widely scat·
tered showers in west Texas, northern Louisiana, and parts
CROP ACREAGE
WHOLESALE TRADE STATISTICS
Texas and Five Southwestern States
Eleventh Federal Reserve District
(In thou sands of acres]
(Percentage changel
TEXAS
STOCKSlp
NET SALESp
June 1954 from
Line of trade
1953
May
1954
Drugs and 5Uf1dries .•. . . .. ...
Dry goods . .. ... .. . .. .. .. .
Grocery (full.line wholesalers
not sponsoring groups) .. . ..
Hardware .. . . . .......... . .
Industriol supplies .. ...... . ..
Metals . • .............. . .. .
Tobacco products ... .. .. . . ..
Wines and liquors ... .... . ..
-7
5
-3
9
0
-8
6
_4
-20
15
2
8
-4
-22
8
9
June
6 mo. 1954
compo with
6 mo. 1953
Stocks at end of month.
p-Preliminary.
Indicates change of less tlKln one-half of 1 percent.
SOURCE: United States Bureau of the Census.
1
I
-11
1
-5
3
-1
-9
-7
Fo,
harvest
June 1954 from
Crop
June
May
1953
1954
-6
-15
_4
-6
5
2
8
-.••
-1
FIVE SOUTHWESTERN STATES'
Harvested
-8
1
- I
-1
-1
-2
CoHon . ...... . . .
Winter wheat ....
Corn ...........
Oats .... . ..... .
Barley ...... . ...
Rye .......... . .
Rice ......... .. .
Sorghums .. . . ___
Hay .. . .. . .. . _..
Peanuts (alone)•..
Flaxseed ..... . . .
Irish potatoes ... .
Sweet potatoes .. .
1943·52
8,900
2,710
2,os3
1,450
90
35
574
B,642
4,628
3,026
6,516
1,473
6 ,946
1,591
1954
1953
8,000
3,116
2,197
1,885
180
35
620
9,122
1,593
364
105
20
33
Harvested
Fo'
harvest
1954
Average
343
124
23
30
1,229
160
2'
474
1943·52
10,331
7 .922
3,338
11.875
8,734
3,176
2,095
1,243
11,713
4,011
1,167
8,812
3,739
11.275
10.49'
5.322
2.238
.20
94
1,066
2,757
703
154
728
119
39
51
Arizona, Louisiana, New Mellico. OkJohalno. and Tellos.
SOURCE: United States Department of Agriculture.
1
Average
1953
507
108
40
131
289
133
'72
12'
45
129
9,321
3,79 1
997
138
90
157
~
MONTHLY BUSINESS REVIEW
of the northern Blacklands of Texas brought some relief from
the high temperatures. Supplies of irrigation water are ample
in the Lower Rio Grande Valley, as a result of torrential rains
in the Del Rio area in late June, but are extremely short in
the Upper Rio Grande Valley, and cotton production in that
area may fall short of earlier expectations.
Cotton acreage in cultivation on Iuly 1 in District states
is estimated by the Department of Agriculture at 10,331,000
acres, 18 percent below a year earlier and 7 percent below the
1954 cotton acreage allotment. The 1943-52 average for the
five states is 11,344,000 acres. Percentage declines from a
year ago for individual states are: Arizona, 40 percent; New
Mexico, 35 percent; Louisiana, 27 percent; Texas, 16 percent; and Oklahoma, 6 percent. In the Nation, cotion acreage
in cultivation on July 1 is estimated at 19,961,000 acres, 21
percent below the acreage in cultivation a year ago and 11
percent lower than the 1943-52 average.
In Texas the largest declines in cotton acreage were in the
northern Blacklands and upper coastal sections. Sharp percentage declines also were reported for the Lower Rio Grande
Valley, Trans-Pecos area, and extreme northwest Texas. In
the South Plains and the southern part of the Low Rolling
Plains, where drought caused a reduction in cotion planting
in 1953, the acreage in cultivation on July 1 this year was
above a year earlier. The acreage of American-Egyptian
cotton in cultivation in Texas, New Mexico, and Arizonaestimated at 33,000 acres - is approximately one-third of
that in cultivation a year ago.
The cotton crop is making generally satisfactory development, except in central and southeastern Texas, where drought
and high temperatures have caused stunting of plant growth
and shedding of bolls. The number of boll weevils, bollworms,
and pink bollworms has increased rapidly in the Lower Rio
Grande Valley and Coastal Bend section, but damage has
been limited by extensive control measures. Flea hoppers did
considerable damage to the crop in the Low Rolling and
southern High Plains of Texas, especially in fields where no
control measures were applied.
117
CROP PRODUCTION
Texas and Five Soulhweslern Siaies
lin .ho",ands of b"hel.1
TeXAS
Crop
Estimated
July 1,1954
Winter wheat _ ...
Corn .......... .
Oots ...........
Barley ......... .
31,160
38,448
42,412
Hay ~ •••••••••••
3,1 SO
16,120
1,678
Fla .. seed ....... .
Irish pototoes . ...
Sweet pototaes .. .
578
2,160
2,475
Rice! •...•...•. .
1953
23,035
33,874
39,150
1,755
14,92'
1,705
868
2,484
2,550
~
584
2,78.4-
10-5 ...........
456
239
226
289
639
427
394
293
826
773
2,894
1,073
1,32 5
176
2,288
316
227
230
242
559
364
394
194
701
799
1,695
630
1,132
119
2,165
282
222
223
176
493
305
410
177
740
Slale .... .. .. .
12,513
11,756
9,568
l-N ........ . ...
1-5 •.••.•......
2-N ............
2-5 ............
3 ..............
4 •....... ... •..
5·N ..... .... • . .
5·5 •.•......•..
6 •...••.....•..
7 .......... . ...
8·N ..... . .... ..
8·5 ••. ... ......
9 ........ ......
IO·H •... . ......
1,086
1,411
229
2,630
r-Revised.
SOURCE: United Stole5 Deportmenl of Agriculture.
1954
The estimate of 620,000 acres of rice for Texas in 1954
is 8 percent above a year ago and a new record. The indicated
per acre yield as of July 1, at 2,600 pounds per acre, is the
same as in 1953. The estimate of production, placed at 16,120,000 100-pound bags, is 8 percent above last year's harvest
and 59 percent above the 1943-52 average. The crop is
reported to be in excellent condition, with some early fields
expected to be ready for harvest about August 1.
1953
525
1,910
655
850
145
1,635
300
160
140
155
400
245
255
150
475
66
113
104
75
122
76
106
72
63
88
81
80
62
85
6.
8,000
84
136,509
91,286
46,983
9,877
20,839
4,740
1,288
8,303
13,894
More favorable weather during the planting season in the
fall of 1953 and during the late spring of 1954 resulted in
substantially larger crops of oats, barley, corn, and wheat.
Preharvest forecasts of corn production were above present
estimates, as lack of rain and high temperatures late in June
substantially reduced production on late-planted acres.
195.01
1953 r
677
5,137
11,740
94,924
52,991
54,141
10,641
27,080
5,063
868
6,099
11,511
The estimated acreage and production of principal crops in
District states are shown in the accompanying table. As had
been anticipated, the acreage taken out of cotton and wheat
generally was sbifted into feed crops, especially sorghums,
corn, and oats. Sorghums accounted for the largest proportion of the shift, with an increase in Texas from 5,249,000
acres in 1953 to 8,661,000 in 1954 - a new record acreage.
In Arizona, a substantial increase occurred in barley
production.
a s p&rcent of
1952r
102,853
61,958
64,642
20,358
29,203
5,40 8
Average
1943-52
I Ari:tona, Louisiana, New Mexico, Oklahoma, and Texa s.
In thousonds of bags containing 100 pounds each.
In .houKlnds of 'ons.
SOURCEI United S.ates Department of Agriculture.
(In thousands of acres)
19SJr
57,221
51.266
26,309
2,628
10,162
1,546
819
3,818
4,047
1953
S
Texas Crop Reporting Districts
Crop
Estimated
1943-52 July I, 1954
1
PLANTED COTTON ACREAGE, JULY
r~~~~~g
FIVE SOUTHWESTERN STATESl
AYeroge
CROP REPORTING
DISTRICTS OF TEXAS
MONTHLY BUSINESS REVIEW
118
LIVESTOCK RECEI PTS
(Number)
FORT WORTH MARKET
)"".
Clan
Cottle .........
Colvllls .•... ....
Hogs .•........
Sheep .. .......
)"".
May
May
1953
1954
1954
1953
1954
130,631
27,497
35,04 9
144,0 95
79,298
35,389
17,257
2,947
127,942
36,391
21,283
37,220
16,465
1954
. 98,808
. 2.4.,548
. 33,550
. 155,932
SAN ANTONIO MARKET
)"".
June
40,252
171,306
17,208
276
2,256
131,423
135, 172
but since have recovered to levels about in line with the
Commodity Credit Corporation loan rates. Cotton prices havc
shown improvement since the release of the estinlate of acre·
age in cultivation and currently are about 1/2 cent above a
month ago and 11/2 cents above a year earlier. Cattle prices
declined seasonally in late June and early July but have shown
considerable stability, despite heavy marketings. On July 19,
prices were slightly lower than a year ago.
I Includes goah.
Grapefruit production in Texas is estimated at 1,200,000
boxes - three times larger than last year's crop but still far
below the 1942-51 average of 15,342,000. Orange production
is forecast at 900,000 boxes, or 100,000 boxes below last
season's harvest.
Production of spring and summer commercial vegetables
in Texas was somewhat lower than forecast earlier, as high
temperatures and lack of rainfall in late June and early July
reduced yields. However, production was about 16 percent
above a year ago and 26 percent above the 10.year average,
Preparation of seedbeds for fall and early winter commercial
vegetables is making good progress in south Texas, and considerahle planting, especially in the Lower Rio Grande Valley,
has been done a little earlier than usual.
Ranges and pastures dried rapidly during the past month
throughout central, southeastern, and northern Texas. Some
cured range feed was generally available in northwestern
and western areas, while there was considerahle green feed
in south and southwest Texas. Scattered showers were received
in southern New Mexico, but there is virtually no cured or
green range feed in that area. Cattle and calves lost weight
rapidly in the dry, hot areas of the District during July; else·
where, cattle and sheep generally are in fair to good condi·
tion, Marketings of cattle and calves during July were about
19 percent below a year ago. During the first 5 months of
1954, total slaughter of cattle and calvcs in Texas exceeded
that of a year ago by 15 percent.
Commercial, industrial, and agri.
cultural loans of the weekly report·
ing member banks in the District
declined $6,301,000, or less than 1
percent, during the 5 weeks ended
July 21 to reach a total of 1,298,560,000. During the comparable weeks of last year, these loans showed virtually no
change. Commodity dealers made rather large repayments
in most weeks, and, on balance, wholesale and retail trade
establishments and public utilities also reduced their bor·
rowings. Among the other principal categories of commercial
and industrial borrowers, construction firms added substall'
tially to their outstanding bank indebtedness. Credit demands
of grain and milling concerns, sales finance companies, and
manufacturers of metal and metal products also increased.
Changes in other categories of loans included increases of
$7,327,000, or 5 percent, in loans secured by real estate and
1,873,000, or less than 1 percent, in consumer-type loans.
Loans to banks and loans for financing security transactions
declined. On July 21, total loans of the weekly reporting
member banks amounted to 1,941,177,000, renecting an in·
crease of 133,422,000 over the year.earlier level.
Total investments of these banks declined $17,307,000, or
1 percent, between June 16 and July 21. A sharp reduction in
holdings of Treasury bills and a somewhat smaller decline in
Treasury nole portfolios were partly offset by increases in
certificates and bonds. Investments in municipal and other
CONDITION STATISTICS OF All MEMBER BANKS
Following a sharp dip from May 15 to mid-June, prices
received by farmers for most agricultural commodities rose.
Grain prices dropped sharply during the peak of the harvest
Eleventh Federal Reserve District
lin millions cf dollars)
June 30.
1954
June 2....
1953
May 26.
Loons and discounts . ......................... .
United Stotes Govemment obligations . .......•...
Ottler securities .... .......................... .
Reserves with Federal Reserve Bank . ....... .. ... .
Cash in 'toult .... ....... . ................. . .. .
80lance, with bonks in the Uniled Slates . .... , ... .
80lances with bonks in foreign countries ..... ..... .
Cosh items in process of collection ..... .......... .
Other assets ........ . . .... ....... . .......... .
$3,191
$ 2,879
2,33'"
2,252
971
430
972
$3,134
2,365
478
986
TOTAL ASSETS ............................ .
8.86'"
8,086 •
LIABILITIES AND CAPITAL
Demond deposits of banks . .. . . ... • • . .. .. . . .. ..
Other demand d e posits . ...................... .
Time deposits . . . ..... . . ... ...•....... • . • .. • ..
1,193
5,951
5.695
1,084
899
8.228
7 ,434
Item
FARM COMMODITY PRICES
ASSETS
Top Prices Paid in local Southwest Markets
Commodity and market
corrON, Middling 15 / 16.inch, Dallas ... .
WHEAT, No.1 hard, fort Worth ......... .
OATS, No.2 white, fort Wortfl .. ..... . .. .
CORN, No.2 yollow, Fort Worth . ....... .
SORGHUMS, No.2 yellow, Fort Worth ... .
HOGS. Choice, Fort Worlh ............. .
SLAUGHTER STEERS. Choice, Fort Worth . . .
SLAUGHTER CALVES, Choice, Fort Worth .. .
STOCKER STEERS, Choice, Fori Worth .... .
SLAUGHTER SPRING LAMBS, Choice, Fori
Worth .. ........... . .............. .
BROILERS, south Ti!!xas ........ . .... . ... .
EGGS, graded and candled, Fort Worth .. .
WOOL, 12-months, wes' Texas . .. . .
1
Clecln batb.
Comparable Comparable
Week ended
week
...... ek
Unit July21,1954 lost monlh
losl year
lb.
bu.
bu.
bu.
cwl.
cwl.
cwt.
cwl.
cwt.
cwl.
lb.
CCUe
lb.
$
.3400
2.60
.9614
1.91
2.75
$
.33 80
2.40
1.01114
1.92*
2 .... 0
24.25
$
.3265
2.4 ... *
1.01
1.90*
2.92
2 .... 50
24.00
19.00
20.00
23.00
20.00
21.50
27.00
22.50
20.00
17.00
19.5 0
22.00
23.00
.28
9.00
.25
11.80
8.1 5
11.81
.29
16.0 0
11.80
Total depo1its .. . ......... • . . . . • • . .. • • ...•..
Borrowinlils . ... ..... .... . • . . .• .. .•.... • ......
Other liabilities ... .......... . ........ . •...• ...
Total capitol accounh ....... . ... .. ... .. ••. .. ..
TOTAL LIABILITIES AND CAPITAl, .. . .
e-Estimated.
468
119
1,199
1
433
148
48
588
8,864
1954
118e
12·4.
989
1.
318
983
127.
143e
840
48.
49.
55St!
10
305
934
5,857
1,080
7,871
1.
56.
591.
MONTHLY BUSINESS REVIEW
CONDITION STATISTICS OF WEEKLY REPORTING
MEMBER BANKS IN LEADING CITIES
Eleventh Federal Reserve District
(In thousands of dollors)
Ifem
July 21,
July 22,
1954
1953
16,
1954
June
119
checks in payment of Federal taxes due June 15 were cleared,
Another decline was noticeable in the week following the
midyear statement date, Time deposits of individuals and
businesses rose substantially. These deposit trends contrast
raLher sharply with changes during the comparable weeks of
1953, when total deposits increased $76,324,000, or 2 percent.
ASSETS
Commercial, industrial, and agricultural bans.••• $1,298,560 $1,154,428 51,304,861
Loons to b rokers and dealers in securities ••.•..
7,925
10,982
10,628
Other loans for purchasing or carrying securities.
86,354
73,478
84,568
Real estote loans •.•..•••.••...••.•.•.•..•.
145,294
134,863
137,967
Loans to bonks .••••••••....••••••••.••.•••
3,633
30,018
4,604
All other loans .•••.•.......•••••.• . • . .•...
399,411
403,986
397,538
Gross loons •••••••• • •• . .. • •..•.•..••.•••
less reserves and unallocated charge-offs ••
1,941,177
17,160
1,807,755
18,753
1,940,166
17,043
Net loans ••••• • •••..••....•..•.. . . •.•.•
1,924,017
1,789,002
1,923,123
U. S. Treasury bills ••••.••.....•....•. . .••••
U. S, Treasury cerliAcates of indebtedness .•.•.•
U. S, Treasury notes •....••...•....•..•.••.•
U. S. Government bonds line. gtd. obligations) •••
Other securities ••••...•.•..•••• . •.•.••.•..•
116,493
134.096
201,080
790,324
214,793
153,546
196,752
177,999
702,977
184,438
138,573
123,119
208,905
779,568
223,928
TOlal investments •••••••..•.•.•••...•••.•
Cosh ilems in procen of collection •••••••••••••
Balances with bonks in the United Stotes •••••..
Balances with bonb in foreign countries .... . ...
Currency and coin •••.•••...•••.•.•••••••••
Resel"llts with federal Reser'¥'e Bonk •••••.•.•.•
Other aSSets . .•.••.•••..••••.•••••••.•••••
1,456,786
296,259
482,519
1,505
45,424
592,696
96,744
1,415,712
294.891
463,023
999
46,102
555.397
84,384
1,474,093
308,268
528,892
1,207
44,817
558,157
93,935
TOTAL ASSETS ...... ,., ............ , ..
4 1895 1950
4,6491510
41932149~
lIA81l1TIES AND CAPITAL
Demand deposits
Indi'¥'iduQIs, partnerships, and corporations •• • •
United Slates Government ••••••••••.•••• . •
States and political subdivisions •••••.••••••
Banks in the United Stotes •••••.•.•••••••.•
Banks in foreign countries • . ••••.... " .••••
Certified ond offlcers' checks, etc•. ••••••••••
2,646,065
76.269
159.140
868.443
10,120
54,421
2,532.395
123,454
201,572
763,960
9,756
41,354
2,683.581
78,072
165,291
858,358
9,140
53,318
Totol demand deposits ••••..••••••••••.•
3,814,458
3,672,491
3,847,760
Time deposits
Individuals, partnerships, and corporations ••••
United States Government •••••••••••••••. .
Postal sovings •• . .•....•.••••.••.•...••••
Stoles and political subdivisions ••••. . .•.•.•
Banks in the U. S. and foreign countries ••••••
575,513
9,805
450
109,047
1,883
486,499
10,408
450
77,497
2,208
564,131
9,809
450
128,Q92
1,883
Total lime deposits .•••.••••.•••••••••••
696,698
577,062
704,365
Total deposits •••••..•••..•••.•••••••
Bills payable. rediscounts, etc.................
All other liabilities .••..•• • •••••••••••••••••
Total capital accounts ••••.•••••••••••••••••
4,511,156
4,250
37,852
342,692
4,249,553
43,500
40,919
315,538
4,552,125
4,500
39.832
336,035
TOTAL LIABILITIES AND CAPiTAL ••••••••.
4,895,950
4.649.510
4,932,492
Gross demand deposits of all member banks in the District
averaged $6,804,576,000 in June, reflecting increases of
$52,200,000 over May and $281,169,000 over June 1953.
The May.to·June rise was weighted heavily by the gain at
reserve city member banks. Time deposits averaged $9,275,·
000 higher in June than in May, rising to a level of $1,083,·
140,000. Reserve city member banks accounted for some·
what more than two·thirds of the increase. The rise of time
deposits in June marked a further extension of the ahnost
uninterrupted month·to·month increases in these accounts
which began in March 1951.
Debits to deposit accounts reported by banks in 24 cities
of the District rose 5 percent above those for May and 2 per·
cent above those of June 1953. The annual rate of turnover
of deposits was 18.0 in June, up from the level of 17.3 for
May. The rate of turnover a year earlier was 18.2.
Gold certificate reserves of the Federal Reserve Bank of
Dallas rose $75,325,000 between June 15 and July 15, as the
District gained funds (on balance) through interdistrict
transactions with the rest of the country. The flow of funds
BANK DEB ITS, END·Of·MONTH DEPOSITS
AND ANNUAL RATE O f TURNOVER Of DEPOSITS
(Amounts in thousands of dollars)
DEBITSl
DEPO$IT$2
Percentage
change from
CIty
non·Government securities were reduced substantially during
the 5 weeks,
On July 21, deposits of the weekly reporting member banks
were down $4,0,969,000, or 1 percent, from the level of 5
weeks earlier, with demand deposits of individuals, partner·
ships, and corporations accounting for most of the change.
Demand accounts of individuals and businesses were drawn
down rather sharply during the first week of the period, as
GROSS DEMAND AND TIME DEPOSITS Of MEMBER BANKS
Eleventh Federal Reserve District
(Averages af daily figures. In thousands of dollors)
COMBINED TOTAL
Dole
Gran
demand
June 1952 •••• $6,416,878
June 1953 .••• 6,523,407
February 1954. 6,886,847
March 1954 ... 6,821,245
April 1954 • • •• 6,802,386
May 1954 ••.• 6,752,376
June 1954 •••. 6,804,576
TIme
RESERVE CITY 8ANKS
Grass
demand
TIme
COUNTRY BANKS
Gross
demand
Time
741,154 $3,035,241 S405,007 $3,381,637 $336,147
891,731
3,106,229 492,983 3,417,178 398,748
1,008,497 3.277.961 565,389 3,608,886 443,108
1,031,005 3.277.128 579,324 3,544,117 451,681
1,057,137 3,295.363 594,744 3,507,023 462,393
1,073,865 3,263,439 599,299 3.488,937 474,566
1,083,140 3.313,244 605,899 3.491,332 477,241
J ... "
1954
June May
1953 1954
ARIZONA
Tucson ••.•••.•.•••.• 5 103,990
-1
LOUISIANA
_ 5
45,559
Monroe •••••••••••••
Shreveport ••••••••.•
201,481
1
NEW MEXICO
Roswell •• • ••••.•.• . •
25,941
8
TEXAS
53,825
5
Abilene •.•••••••••••
_4
126,768
Amarillo ••••••••••••
Austin ••...•.•••••.•
119,612
3
119,347
Beaumont ••.••••••.•
-8
Corpus Christi ••.•.•.•
157,063
3
Corsicana •••••.•••••
13,317
7
Dallas ••••.••••••••• 1,737.833
7
EI Paso •••••••••••••
180.655
-7
Fort Worth ••••••••••
568,476 -12
Galveston •••••••••••
70,494 -11
Houston •••••••••••.• 1,808,221
6
Laredo •••••••••••••
19,359 -4
Lubbock •••••••••• . •
91,720
-4
Port Arthur •••••••• . •
47,541
-7
San Angelo •••••••• . •
39,350
-1
San Antonio •••••••..
410,181
1
Texorkona 3 ••••••••••
16,732 -11
Tyler •••••••••.•••..
64,365
14
75,922
-3
Waco •• . •••••••••••
Wichita Falls •••••••.•
90,402
9
Total-24 eities •••• $6,188,154
2
Annual rate oflurnover
June 30,
1954
June J",," May
1954 1953 1954
-I
83,143
14.8
14.4
14.5
- 9
-2
44,732
168,964
12.6
14.6
15.1
14.6
14.2
15.0
28,977
10.7
10.3
10,2
53,363
99,082
112.508
93,838
117,169
20,953
12.2
15.5
13.1
15.2
16.1
7.7
22.3
17.9
20.3
12.5
19.6
12 •.4
13.6
10.9
16.0
11.4
13.3
14.6
10.8
12.2
15.4
13.8
16.3
16.7
7.7
22.1
19.B
23.4
11.9
19.6
12.7
14.2
16. .4
10.6
15.2
I1.B
12.B
15.6
10.3
12.0
14.9
13.3
14.0
15,8
7.2
22.2
17.4
18.4
12.4
18.0
12.2
13.7
13.8
10.4
14.9
10.3
12.7
14.3
9.6
18.0
18.2
17.3
•
5
3
7
7
7
4
4
12
2
6
3
9~3,579
6
7
8
9
7
4
15
123,190
339,404
68,397
1.095,927
18,698
82,612
37,568
44,456
312,466
17,626
58,060
62,960
103,712
5
$4,141,384
#
15.1
1 Debits to demand deposit accounts of individuals, partnerships, and corporations and
of states and political subdiyisions.
~ Demond deposit accooots of individuals, partnerships, and corporations and of stales
and political subdivisions.
S These figures include only one bonk in Texarkana, Texas. Total debits for all banks in
Texarkana, Texas-Arkansas, including two bonks located in the Eighth District, amounted to
$35,699,000 for the month of June 1954.
; Indicates change of less thon one-half of 1 percent.
MONTHLY BUSINESS REVIEW
120
CONDlTION OF THE FEDERAL RESERVE BANK OF DALLAS
(In thousands of dollars)
Item
July 1 S.
1954.
Total gold certiflce's r eserves ••• •••••••••••• $ 829,591
3,001
Discounts for member bonks ..•. .•....•.....
705
Other discounts and advances . . •. .... . ......
U. S. Government securities ................ .
973,683
Toiol earning assets .. .................... .
977,389
1,014,585
Member bonk reserve deposits .. ...... .. ... .
723,683
federal Reserve notes In oclual circulation .... .
July 15,
June 15,
1953
1954
$ 501,648
28,423
428
1,205,271
1,234,122
934,172
727,953
$754,266
5,659
1,880
978,835
986,374
961,919
717,622
which gave rise to the increase also was reflected, in part, in
an expansion of $52,666,000 in member bank reserve deposits
at the Federal Reserve bank. Other changes during the month
in the condition of this bank included a reduction of $8,985,000 in total earning assets, due principally to a decline of
$5,152,000 in holdings of Government securities but also
reflecting decreases in discounts for member banks and in
other discounts and advances_ On July 15, Federal Reserve
notes of this bank in actual circulation amounted to $723,683,000, compared with $717,622,000 on June 15 and $727,953,000 on July 15, 1953,
On July 16 the Secretary of the Treasury announced an
offering of $3,500,000,000 of I-percent Tax Anticipation certificates for cash subscription on July 21. The new securities
will be dated August 2 and will mature March 22, 1955.
However, they will be receivable at par plus accrued interest
to maturity in payment of income and profits taxes due on
March 15, 1955. Subscriptions from individual commercial
banks for their own account were limited, in each case, to an
amount not exceeding one-half of combined capital, surplus,
and undivided profits as of June 30, 1954. Payment for the
new certificates allotted to a commercial bank for its own
account and for the account of its customers may be made,
up to 75 percent of the allotment, by credit to Treasury Tax
and Loan Account_
On July 23 the Treasury announced a 40-percent allotment
on subscriptions for the new certificates. It was indicated,
however, that subscriptions for $50,000 or less would be
allotted in full, with subscriptions in excess of that amount
to be allotted not less than $50,000_ Preliminary reports
showed that total subscriptions for the offering amounted to
about $9,250,000,000.
000 of 2% -percent certificates maturing August 15 and of
$4,724,000,000 of 2%-percent certificates maturing September 15, Holders of the maturing issues will be given a choice
between a I-year certificate and a long note or a short bond.
The continued weakness in petroleum markets, which is apparent
in most sections of the Nation, has
embraced crude oil and practically
aU major refined products. Probably the softest product in the petroleum markets has been
gasoline. The decline in wholesale gasoline prices, which has
been going on for over 6 months, has more than wiped
out the increase instituted following the general rise in crude
prices in June 1953. With crude prices holding unchanged
f or the most part, the decrease in gasoline prices has reduced
substantially refiners' profit margins.
A number of smaller refineries have shut down, and
some others have cut back crude runs. Although refinery production in the first 6 months of this year dropped moderately
below year-earlier levels, it has remained too high to permit
an appreciable improvement in the stock situation, which has
been creating pressure on refined products prices. Crude
runs to refinery stills in the Nation during the first half of
1954 averaged 6,943,000 barrels per day, compared with
6,980,000 barrels in the same period of last year_ The decrease
from a year ago in the District was somewhat greater than
that in the Nation as a whole, amounting to 82,000 barrels
per day, compared with 37,000 barrels in the Nation.
~
Crude oil production in both the District and the Nation
also has been running below a year earlier. During the first
part of July, crude production in the District declined substantially from June and, at 2,951,000 barrels per day, was
233,000 barrels lower than a year ago. Production in the
Nation showed a corresponding pattern, In the first 6 months
of this year, crude production in the District averaged 3,046,000 barrels per day, which is 111,000 barrels lower than in
the same period of 1953; the Nation's production averaged
6,444,000 barrels per day, down 68,000 barrels.
District crude production may be expected to show a further decline in August, in view of the reductions in oil allowabIes announced for Texas, Louisiana, and New Mexico, The
At the time of announcement of the cash offering, the
Treasury also stated that, near the end of July, it would announce an exchange offering open to holders of 52,788,000,-
CRUDE OIL, DAI LY AVERAGE PRODUCTION
(I, thousands of barrels)
Change from
NEW PAR BANK
The First State Bank, Alice, Texas, a newly organized,
insured, nonmember bank located in the territory
served by the San Antonio Branch of the Federal Reserve Bank of Dallas, was added to the Par List on its
opening date, July 19, 1954. The officers are: J. C.
McGill, President; C_ M_ Edwards, Executive Vice
President; and John H. Lipps, Cashier.
1954 1
June
May
Juno
May
1953 2
1954 1
1953
1954
ELEVENTH DiSTRiCT ......... 3,080 .6
Texas ......... ...... . , . 2,764.2
606.5
GttlfCoost . ........ ...
West Texa s ....... . ... 1,069.7
234.9
East Texas {proper) ... . .
80 .2
Panhandle ...... . ... .. .
772.9
Resl of Stote ...........
203.6
Sot.tfheostern New Mexico ..
112.8
Northern Louitiono . . ......
OUTSIDE ELEVENTH DISTRICT. 3,405.1
UNITED STATES ............ 6,"85.7
3,179.6
2,874.8
648. 1
1,088.5
25 8.2
78.3
801.7
191.2
113.6
3.4 15.0
6,5946
3,014.3
2,699.1
587.8
1,043.6
230.4
80.3
757.0
202.7
11 2.5
3.423.5
6,437.8
-99.0
-110.6
-41.6
-18.8
-23.3
1.9
-28.8
12.4
-.8
-9.9
- 108.9
66.3
65.1
18.7
26.1
4.5
- .1
15.9
.9
.3
-18."
47.9
J~.
Area
SOURCES: 1 Estima te d from American Petroleum Insti tu te weekly reporh.
, United Stotes Bureau of Mines.
~
~
MONTHLY BUSINESS REVIEW
Texas daily allowables for August, at 2,721,104 barrels, are
down 121,692 barrels from the mid-July level and are the
lowest since July 1952. Moreover, the 15 state·wide producing
days permitted in a 31-day month represent tbe smallest
proportion of allowed producing time for any month since
before World War II.
Imports in the United States declined appreciably during
Ju ne and early July and were slightly below a year ago. During the first 6 months of this year, imports averaged an estimated 1,060,000 barrels per day, which is about 18,000
barrels lower than in the same period last year_
121
NONAGRICULTURAL
WAGE AND SALARY WORKERS
THOU
,
0
""
4.20
~.80
0
0
3,60
0
4,00
.
Arllan,,,,. Loul . lona, N.. "nlco,Oklohomcl,ond TUG.
THOUSANOS Of"
.
_.. _~!.~~J::\ .... ___.) ......I. •••••L.-.
1 ""1
3,40 O.~
•.000
3,800
3,600
I
3 ,400
aoor--.--,-'I--r-I----..,--,---.r---r-.,aoo
MANUF.o\CTUR1NG
7>of---t--;:,.""!o3'
C"::-.-t_I.-.-..t,. -..'..-..-..-.T..-.-"..~..::-..,,-.-._+
.•-.•-.•-1..'-..-..-.+..-••-. -1750
....................i ......j .. ·
~
The stock situation in the petroleum industry has shown no
improvement in recent months. Although gasol ine stocks have
declined, the magnitude of the decrease has been smaller than
in most recent years, and, on July 16, stocks were still 14
percent higher than a year earlier. Residual fuel oil stocks
also continue substantially higher than a year ago. After
rising markedly during March, April, and May, crude stocks
have shown little change more recently.
~[
TOTAL
~
" 0
19~4~
700
700
650f---t--t-1-I-t-I-t--+--1--t---1--+--1650
I I
600'~~~~F~-t"-~A~-t"-~-+-~Af--~S-·Of--~-.,~~oo
'-[111"011'"
SQUIIIC! SI GU ' -.lo)m'nI aguel" .
In the Nation, total demand for all oils in the second
qU(.lrter of 1954 was down 1 percent from a year earlier. For
the first 6 months, however, total demand averaged slightly
higher than in the previous year.
in transportation equipment manufacturing and metals fabricating are possible during the summer months, but heavy
vacation schedules, as well as some seasonal declines in foodprocessing employment in the latter part of the summer,
should keep the manufacturing total in approximately the
same relationship to that of last year as is now evident.
Total nona gricultural employment in the five states lying wholly
or partly within the District is estimated to have declined nearly 13,000 workers from June to July,
marking a reversal of an upward trend in employment which
had been under way since February. The primary cause of
the decline was a seasonal decrease in government employment. The July estimate of nonagricultural employment, at
3,835,000, is 1 percent below that recorded in July 1953.
Portland cement production in Texas from January
through May gained slightly over production in the comparable period of last year. Production in the State increased
rapidly from 1946 to 1952, rising 87 percent, although there
was a 4-percent decline from 1952 to 1953. The 1946-52
increase in Texas production was greater than the national
gain of 52 percent. However, the Nation improved its position by 6 percent from 1952 to 1953. National portland
cement production in 1954 has not kept pace with that of a
year earlier, declining by approximately 2 percent during
the first 5 months.
An improvement in manufacturing employment occurred
in June and July, as new food-processing workers were
required to meet seasonal demands. However, the July manufacturing employment estimate, at 709,000, was 4 percent
below the comparable month a year ago. Some further gains
The value of construction contracts awarded in the District in June totaled $1l4,364,000, a near record for the
month and about $17,000,000 above that of June 1953. Residential and nonresidential awards gained 7 percent and 25
percent, respectively, over a year earlier_
NONAGRICULTURAL EMPLOYMENT
PORTlAND CEMENT PRODUCTION'
Five Southwestern
Texas and United Slates
States1
(In thousands of barrels)
Percent change
Number of persons
Type of em p loyment
May
May
1954p
1953
May 1954 from
;15~
May
1953
1954
wage and solory worken •• 3.824.300
700,500
Manufacturing •• •• • • •••••
3,837.600
NonrnClnufacturing •••• ••• • 3,123,800
Mining •••. • •••• • •••. . •
226,100
727,300
3,110,3 00
224,700
288,400
290,200
3.823,400
700.800
3,122,600
225,600
282,80 0
390,200
976,200
156.800
453,400
632,700
404,500
974,000
150,900
443,500
622,500
390,300
982,100
156.600
451,400
633,800
1 Ariz-ona, louisiana, New Mexico, Oklahoma , and Texas.
p_Preliminory.
SOURCE: State employmento'ilenaes
-.3
-3.7
-3.5
.2
3.9
2.2
1.6
..
.6
- .6
.02
_.04
.03
.2
2.0
- .02
- .6
.1
..
19 53
Unite d Stotes
1952
1946
July ••••••
August ••••
September
October ••
November •
December •
1.558
1.496
1.74 1
1,748
1.710
1,657
1,686
1.673
1.528
1.634
1,577
1.251
1.585
1.574
1.688
1.686
1.750
1.643
1.660
1.632
1,670
1.794
1.688
1.637
787
742
998
871
888
970
977
977
1.011
768
742
982
Total •• •
19.259
20.007
10,713
January•••
Totol nonag ricultural
Constroctlon •••••••••••
Transportation ond public
utilities ••••....••.•.•
Trade ••••••.••••••.• •
finonce . ••••.•••.•• •.•
Servke ••••• • •••••••••
Government •• • •••••• . •
Texas
April
1954
Februa ry • •
Morch ••••
April •••••
May •••••
June •• •••
-.2
1,461
1.458
1,705
1,847
1.808
I Finished cement.
SOURCE: United States Bureau of Mines.
1954
1953
17.769
16.895
18,856
17.325
20,215
21,802
20,084
21,709
23.256
1952
1946
24,13.4
24,2 89
23,795
24,738
22,529
20,243
19,817
21,829
20,748
21,342
23.573
23,010
24,164
22,048
20,881
9,635
9.250
11,305
12.650
12,09 1
14,489
15,420
16,213
16,450
16,410
15.335
14,557
264.023
249,091
163,805
23.399
22,698
17.039
16,545
18,095
MONTHLY BUSINESS REVIEW
122
VALUE OF CONSTRUCTION CONTRACTS AWARDED
(In thoulands of dollan)
Jgnuaty-June
Jun.
1954p
Area and type
ELEVENTH DiSTRiCT ...• $
Residential •• •• • • •••
All other • ••.••• " ••
UNITED STATES' •..•..
Residential • • • . •••••
All other ..•••••••••
June
May
1953
1954
1954p
1953
114,364 $ 97,683 $ 126,005 $ 666,862 S 608,422
47,703
311,138
287,006
44,392
57,936
321,416
66,661
53,291
68,069
355,724
1,733,26 4 1,115,509 1.92 5,253 9,251,209 7,907,838
720,266
463,084
825,300 3,980,691
3,258,496
1,012,998
652,425 1,099,953 5,270,5 18 4,649,342
1 37 stotes eos' of the Rocky Mountains.
p-Prelimlnory,
SOURCE. F. W. Dodge Corporation.
Construction contracts awarded in the District in the Jan·
uary.June period this year were valued at about $667,000,·
000, up 10 percent from the first 6 months of 1953. Awards
for residential construction totaled $311,000,000 for a year·
to·year gain of 8 percent, All other awards were valued at
$356,000,000, up 11 percent from a year earlier. Construc·
tion contracts awarded in the United States in the first half
of 1954 had an estimated value of $9,251,000,000, up 17
percent from a year ago. This is the largest value of record
for the period and exceeds the previous record established in
1951 by $400,000,000.
Expenditures for new construction in the United States
rose seasonally in June to $3,300,000,000, bringing the 1954
BUILDING PERMITS
6 months 1954
Percentage
Percentage
chonge in
vcluotion
from 6
months
change in
",olvetian from
June 1954
June
City
Number
Valuation
May
1953 1954 Number
Valuation
first·half total to a record $16,600,000,000, or slightly above
the comparable 1953 total, according to preliminary esti·
mates prepared jointly by the United States Departments of
Commerce and Labor. Private expenditures for new construc·
tion were 3 percent above last year's volwne and set a new
record for the January·June period, even after adjustment
for price changes. Public expenditures for new construction
in the January.June period were about the same as a year
earlier; declines in Federal spending were about offset by
increased state and local government epending.
A recent report indicates that, from July 1950 through
March 1954, about $5,497,000,000 in military prime con'
tracts was awarded in the five states of the District. The
value of contracts awarded in the first quarter of 1954 was
approximately $50,000,000, which reflects a sharp decline in
the quarterly dollar volume of prime contracts awarded in
the five states when compared with the $220,000,000 contract
value in the last quarter of 1953. In contrast, the value of
military prime contracts awarded in the Nation in the first
quarter of 1954, at $1,877,000,000, was $412,000,000 more
than the value of contracts awarded in the last 3 months of
1953.
However, changes in the value of military construction
contracts (which are included in the military prime con·
tracts) in the five southwestern states followed the national
pattern. District states received a total of $25,800,000 in ~on.
struction contracts in the first quarter of 1954, as agamst
$27,900,000 in the last quarter of 1953. National contracts
awarded were $160,900,000 in the first quarter of 1954, com·
pared with $231,700,000 in the fourth quarter of 1953,
DOMESTIC CONSUMPTION AND STOCKS OF COTTON
1953
(Balesl
LOUISIANA
Shreveport • . • •
TEXAS
Abll"ne .•.•.• .
Amarillo •• •• ••
Austin ••••••• •
Beaumont •••• •
Corpus Chrhtl ••
Dallas . . .... ..
EI Paso •••.• .•
Fort Worth •• ••
Galveston, . • ..
Hotnton ••.. • . •
Lubbock •• ••• •
Port Arthur ••••
Son Antonio • ••
Waco ••......
Wichita Foils .••
365 $ 1,872,323 -13
126
222
287
204
447
2.430
513
856
98
1.082
410
169
1,557
281
116
750,965
2,363,588
3,440,543
314,921
5,430,485
12,3n,007
2,338,158
5,270,628
113,211
11.418,283
3,989,483
340,538
4,572,923
1,337,617
244,609
Tolol-16 cities .. 9,163 $56,175,282
10
2,064
$ 10,401,767
-19
-49
22
127
67
53
-3
-41 -35
229
66
45
11
49
5
-4
59
-37 -69
-46
-3
202
90
-9
9
3
29
9
56
-56 -56
847
1.290
1,629
1,311
2,730
12,975
4,421
622
6,295
1,880
822
8,690
1.395
710
5,316,131
9,827,506
20.323,456
4,305,735
17,858,370
68,212,101
11,007,909
22,104,568
3,236,411
72,461,604
14,507,030
1,817,186
23,065,289
6,565,364
3,n2,357
8
-18
27
-1
16
22
-20
-9
-12
50,240
$294,782,784
4
4
19
, Indicates change of less thon one-half of 1 percent.
2,559
I
44
2
-16
14
- 6
Area
J"".
1954 1
August-June
June
1953
May
1954 1
This seolon La st season
CONSUMPTION
Total
10,423
11, 247
134,276
131 ,373
12,572
Teltos mills .. . .....••..
645,875 8,038,625 8,681,812
781,767
740,864
U. S. mill, ... ..... . . ...
Oaily average
569
569
562
513
521
Texas mitts ............
37,489
34,050
32,294
37,043
U. S. milts . .. .. ... . .. ..
31,909
STOCKS, U.S.-End o f period
Consuming e stablishments.. . 1,400,696 1,655,318 1,587.065
Public: storoge and
c:omprenes •••. • •• •••• . 8,182,209 4,040,557 8,941,629
I Five weeks ended July 3.
, Four weeks ended May 29.
SOURCE:: United States Burea u of the Census.
@FedFRASER