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Frte==>l~~~~~~~~~~~sc=')l~ ~ MON1HLY BUSINESS REVIEW ~ n OF THE n ~ FEDERAL RESERVE BANK OF DAlLlAS U n ~ C.C. WALSH Chairman and Federal Reserve Agent • CHAS. C. HALL-W. J. EVANS Assistant Federal Reserve Agents n U I~ ~K:::::x»<=:::::>l»<=:::::>l»<=:::::>l»<=:::::>l»<=:::::>l»<=:::::>l»<:::::::X»<=:::::>l»<:::::::X»<===X»<:::::::Xsc=')ld ~I ~urne (Compiled January 15, 1932) Dallas, Texas, February 1, 1932 16, No. 12 'J?his. cOP:( is rele~sed for pubhentlon In mornlng papers January 31 DISTRICT SUMMARY THE SITUATION AT A GLANCE Eleventh Federal Reserve District - Change From November December 1031 B;;;k debits ......... .. ..... .... ... .(at 17 . to individulII aocounts DOlties) .... ...... ItoPartmcnt store .ales ... . .. . .............. . escrvc bank loane to momber banks at end ll.~fmonth . . ................... . ......... . n .crve bank ratio nt end of month ......... . CUdding permit valuation at larger centers ... . Cornmeroinl faihlres ~nUmber) ... ....... ..... . O~mmereial failures liabilities) ... .. . .. ..... . ...!...E:..cduetion (barre .) ........ . ... . . . ..... . $626,484,000 S 10,401,514 62.2% S 1,608,781 134 S 2,865,202 30,722,400 + 13 .6% + 52 .0% - 50 .0% + 10 . 1 points 30 .0% + 30 . 1 ~ + 37 . 0'10 - 2.3% Ii' Mixed trends in business and ~ndustry i~ the Eleve~th ederal Reserve District were in eVIdence durmg the closmg ~onth of 1931. Sales of department stores in larger centers NAected a larger than usual seasonal increase between O\1ember and December, and the decrease from the correSPonding month of a year ago was smaller than in the three preceding months. While a stronger consumer demand for llIel'chandise in certain rural sections necessitated frequent reorders in some lines of wholesale trade, the desire of retailers to close the year with small inventories reduced ~urchases at wholesale to a minimum in the normal~y quiet Onth. Wholesale distribution reflected a substantIal sea:~dal decline from the previous month, and continued conerably smaller than a year ago. i ~t the year-end there was an increase in business failures o~ ~hlS district. Both the number of fail~res and ~he amount c Indebtedness involved showed a conSiderable mcrease as ~lDpared to the previous month, and the corresponding onth of 1930. ~holesale The agricultural situation has been greatly improved by the widespread rains during December and early January, which placed a deep subsoil season in the ground in all sections of the district. While land preparation is behind schedule in some areas, this handicap can be overcome in a short time with the advent of dry weather. Stimulated by ample moisture and moderate temperatures, small grains have grown rapidly and are mostly in good condition. Vegetable crops have likewise maae good progress. Weather and moisture conditions have been favorable for ranges and livestock, and animals are going through the winter in good condition. In most sections there is ample feed available for livestock at a low cost. Livestock prices have continued downward. Construction activity reached a new low level in December. The valuation of permits issued at principal cities reflected a substantial decline as compared with both the previous month and the corresponding month of 1930.. BUSINESS A further recession occurred in the distribution of merchandise through wholesale b channels in the Eleventh District during • c,,:celllber, as evidenced by the fact that all reporting line.s Ou Cpt hardware reflected material decreases from the prevIde S ,lDonth. As compared with December, 1930, there were to ~~nes ranging from 13.1 per cent i~ the case of dry. goods ted .7 per cent in the case of farm Implements. While the eh uced sales volume was to a large extent seasonal, being to ba~teristic of the year.end period, other factors operated rIng about a more pronounced decrease in some lines rade The loans of reserve city banks reflected a steady decline during December, but their investments were increased by a substantial amount. Federal Reserve Bank loans to member banks ran off rapidly during the final two weeks of the year, but the first half of January witnessed a gradual increase in these loans, with the result that the total on January 15 amounted to $16,572,000, or only $3,078,000 less than a month earlier. On the corresponding date last year these loans totaled $5,021,000. The combined net demand and time deposits of member banks averaged $677,029,000 in December, which was $10,669,000 less than in November, and $132,994,000 below December, 1930. The latter comparison was more favorable than in the two precedin~ months. than is usual in December. Business was retarded by somewhat excessive rainfall, and by the evident intention of merchants to keep their inventories at the lowest practicable level. Aggregate sales during the last half of the year, as compared with the same period in 1930, reflected declines varying from 15.9 per cent to 58.1 per cent. In the case of all lines except hardware, the December volume of collections was seasonally smaller than that of November. A material shrinkage, which is usual in December, was reflected in the demand for dry goods at wholesale in this This publication was digitized and made available by the Federal Reserve Bank of Dallas' Historical Library (FedHistory@dal.frb.org) MONTHLY BUSINESS REVIEW 2 district. The month's business was 45.8 per cent under the November volume, and showed a decrease of 13.1 per cent as compared with December, 1930. Inventories at both wholesale and retail establishments were comparatively small at the year-end; thus any improvement in consumer buying will be reflected in wholesale distribution. Collections showed a seasonal decline from the previous month. corresponding month in 1930 was slightly more favorable than in November. Business during the month of December was 80.7 per cent less than a year ago, and for the period from July 1 to December 31 reflected a reduction of 58.1 per cent from the total of the same period in 1930. December witnessed a partly seasonal decline in collections. A further decrease, in part seasonal, was registered in the distribution of drugs at wholesale during December. Total sales of reporting firms during the month were 9.1 per cent less than in November, and showed a reduction of 20.2 per cent as compared with December, 1930. Business during the last half of 1931 was on a scale 17.4 per cent smaller than in the same period in 1930. While collections declined 8.8 per cent as compared with November, there was a corresponding reduction in the volume of accounts outstanding. CONDITION OF WHOLESALE TRADE DURING DECEMBER, 1031 Porcentage of inorease or deorease in- The demand for hardware in this district during December was somewhat spotty, being fairly strong in several sections but slow in others. Sales were 0.2 per cent higher than in November, but 24.9 per cent below the volume of December, 1930. The dollar volume of distribution during the last six months in 1931 reflected a decrease of 29.2 per cent as compared with the same period in the previous year. December collections were 2.0 per cent larger than the total in November. Reflecting in part the disposition of retailers to maintain their stocks at a minimum until after inventory time, the business of wholesale grocery firms in December declined 18.3 per cent from the previous month, and was 16.7 per cent below the volume of the same month a year ago. Inventories on the last day of the year were 7.7 per cent smaller than at the close of November, and 20.0 per cent less than on December 31, 1930. Prices showed a further downward tendency. The amount of collections was 2.6 per cent below that of November. While a fUlther decrease of 21.2 per cent, contrary to seasonal trend, was reflected in the sales of wholesale farm implement firms during December, the comparison with the Net Sales Net Sales Stooks Ratio of ce\lcoDoo., 103 1 July 1 to date Deo., 1031 tions during Dco. compared with compared with oompared with to acoounts and Deo. Nov. same peried Deo. Nov. notes outstanding 1930 1031 last year 1030 1031 on Novomber 30 Groceries ......... Drygncds .... .... Farm implements.. Hardware ........ Drugs .... .. .... .. - 16 .7 - 13 . 1 -SO. 7 -24.0 -20.2 - 18.3 -45.S -21. 2 +.2 - 0.1 - 15.0 -23. 1 -5S. 1 -29.2 -17.4 -20.0 - 7.7 --37.6 - 11.7 - 14 .5 - 1.0 -14.7 - 2.0 Retail Trade The volume of merchandise distribution during December at department stores .in principal cities of the Eleventh DistrIct reflected a larger than usual seasonal increase over the previous month, and while a further recession was evidenced as compared with the corresponding month of 1930, the comparison was again more favorable than that a month earlier. December sales of merchandise were 52.9 per cent above those in November, but 20.5 per cent less than in the final month of 1930. Although the dollar volume of sales during the entire year of 1931 showed a decline of 16.7 per cent from that in 1930, the recession in the general price level was a factor of considerable importance. The desire of merchants to close the year with as small a carryover as possible resulted in inventories held on De· cember 31 being the lowest for that month in many years. Stocks were 23.4. per cent less than those a month earlier, and 19.3 per cent below a year ago. The rate of stock turnover during 1931 was 3.02, as against 3.11 in 1930. Collections reflected a small increase during the month, TIle ratio of December collections to accounts receivable 011 December 1 was 33.1 per cent, as compared with 32.0 per cent in November, and 32.8 per cent in December, 1930. BUSINESS OF DEPARTMENT STORES Total Sales (Peroentage): Dooember, 19S1, compared with December, 10S0 .. .... ... ..... ... .. . .. ....... .... December, 1931, eompared with November, 1031................................. January 1 to date, compared with same period last year ........................... Credit Sales (Pereontage) : December, 1931, eompared witb December, 1030 ................................. Deeember, 1031, enmpared with November, 1031. .... . .......... ... ..•.. ... ...... January 1 to date, compared with same period last year ........................... Stooke (Percentage): Dooember, 1931, compared with December, 10S0 ..............................•.. Deoember, 1031, oompared with November, 1931. ................................ Stock Turnover ~Rate): Rate of stoo turnover in December, 1030 ....................................... Rate of stock turnover in Deoember, lOBI ....................................... Rate of stock turnover January 1 to Deoember 31, 1030 .... ...... . ......... ... .... Rate of stook turnover January 1 to Deoember 31, 1031 ........................... Ratio of December collections to accounts reoeivable outstanding Deoember I, 1031 ... . ,. 61.7 2S.4 3.0 34.3 35.0 - Dallas Fort Worth Houston San Antonin Otbers Total District - IS.S +52.5 - 15.6 - 10.7 +70.0 -14.1 -22. 1 +45.1 -17.7 - 25.0 +41 .9 -IS.2 -IS.1 +5S.1 -IS.S -20.5 +52.0 - 16.7 -20.5 +41.0 -IS.0 -19.0 +68.0 - 14 .1 -21.S +37.2 -17.3 -20.2 +35.0 -IS.6 -IS.S +50.3 -10.5 -21.6 +44 .S -17.6 -10.0 -20.8 -17.6 - 30.8 -13.0 -20.6 -34.9 -23.6 -15.S -23 .0 -10.3 -23.4 .41 .42 3.23 B.lO 34.3 .3S .3S 2.52 2.40 30.4 .45 .40 3.24 3.0S 35 .7 .51 .53 4.11 3.09 29.7 .40 .30 2.69 2.74 a3.5 .42 .42 B.11 3.02 33.1 n: According to figures compiled by R. G. . compared with 103 insolvencies in the preceding on:; Dun & Company, both the number and with an indebtedness of $1,726,474, and 88 defaults In 10' Failures liabilities of defaulting firms in this dis- closing month of 1930, with liabilities totaling $1,925,,~ rtrict during December were larger than in either the previnSI ous month or the same month a year ago, the gain over While the business mortality rate during 1931 was co e I ol ll November being largely of a seasonal nature. There were ably higher than in 1930, the average liability of ins l'e 134 commercial failures in December, owing $2,365,202, as firms showed a substantial decrease. Commercial MONTHLY BUSINESS REVIEW 3 AGRICULTURE Crop Canditions The heavy and protracted rainfall in ago. Heavy shipments of grapefruit are still in progress, and practically all sections of the Eleventh the total forwardings for the current season show a large District during December and the first increase over the previous season. half of January left a good season in the ground, but has delayed the preparation of the soil for spring planting. Over Texas Crop Pro- According to the report of the Departconsiderable area of the district land preparation is be- • duction increased, ment of Agriculture, the production of all md schedule. Temperatures so far have been very mild values decreased important crops in Texas during 1931 was greater than in the previous year due OVer most of the district, and cold weather is needed to to the large per acre yield and the larger acreage planted to )ulve~ize the soil and kill insects. Small grains throughout ~~ .dIstrict are reported to be in generally good condition. crops other than cotton. Weather conditions throughout the season were very favorable to most crops. The heavy winter tV nIle conditions in most sections prior to October were bnfavorable for preparation, sowing, and growth, they have rainfall supplied a deep subsoil season, while the belowbeen very favorable since that time, as temperatures have normal precipitation during April, May, and June furnished favorable weather for the harvesting of small grains, and the ee~ moderate and rainfall plentiful. The Department of ~gnculture estimated the area sown to winter wheat in planting and early cultivation of row crops. In July, the 3 ~l{as during the fall of 1931 as 3,768,000 acres, as against critical month for most row crops, rainfall was again above t' O~,OOO acres in 1930, and 3,606,000 in 1929. Acreage sown normal and this was followed by a period of dry, hot weather, which was ideal for the ripening and harvesting of most .0 Wmter wheat in Oklahoma was reduced 13 per cent, and Arizona 17 per cent. There was no change in acreage in crops. The favorable season enabled farmers to do much of ew Mexico. The December 1 condition of the Texas wheat the cultivation and harvesting with family labor, thus reduccro phwas 83 per cent of normal as compared to 88 per cent ing the cash outlay for labor. On the other hand, the value of crops produced in Texas (on the basis of December 1 on t at date in the previous year. prices) reflected a further sharp decline as compared to the v Moisture and temperature conditions were excellent for previous year. Every crop of importance, except wheat, had egetable growth in Texas during December and early Janu- a lower value in 1931 than in 1930. In the case of wheat the ary, and the Department of Agriculture reported that the higher value was due entirely to the exceptionally large cond o. r Ihon of vegetable crops improved. Beets, cabbage, car- crop, as the price of wheat declined along with other combot~,. onions, and turnips made substantial gains, and straw- modities. The hypothetical value of all crops in the State l' eines Were reported to be 3 points above the high condition was estimated by the Department of Agriculture as $297,Po1'ted a month earlier. Soil conditions are excellent in 281,000, as compared to $402,002,000 in 1930. The greater ~vegetable areas of the State for the preparation, planting, diversification during 1931 was indicated by the fact that ~n starting of such crops as snap beans, Irish potatoes, and acreage planted to practically all crops, except cotton, i Ol'llhtoes . The acreage planted to most crops is smaller than showed an increase as compared to the previous year. Due l~ t e p.revious season. Shipments of most crops continue to the increased acreage, excellent per acre yield, and the rrvy WIth cabbage, spinach, and mixed vegetables leading. larger volume of home canning, farmers are well supplied c °bb the current season to January 16, shipments of beets, with food and feed for the current year, and should be able ~ age, cauliflower, greens, and mixed vegetables were to hold to a minimum the cash outlay for the cultivation ~h~atly in excess of those during the previous season. The of 1932 crops. Reports indicate that the program of diversiIPl'llents of spinach were considerably smaller than a year fication will be extended this year. h ' N ai ~OMPARATIVE PRODUCTION AND VALUE OF TEXAS FARM PRODUCTS AS COMPILED BY THE UNITED STATES DEPARTMENT OF AGRICULTURE VALUE QUANTITY COMMODITY c-c ~~l";:: w o B G ll. 11 B )~:~:~~ .:~d. ~i~d)... '. '. : : : : : : 1 PotntoCfl ~w ltel .. .. .... .... .. Pcanuta sweet ...... . . ..... T .... ... ... ..... .... .. 1931 6,270,000 bales 94,248,000 bushols 57,433,000 bushels 59,976,000 bushels 6,194,000 bushels 60,000,000 bushels 10,441,000 busbels 780,000 tOllS 1,600 tons 4,SOI,000 bushols 4,068,000 bushels 106,530,000 pound. 1930 4,038,000 'bales 74,144,000 busbel. 31,804,000 busbels 33,864,000 bushels 2,760,000 bushels 36,030,000 bushels 0,700,000 bushels 645,000 tons 1,400 tons 4,788,000 bushels 3,200,000 bushels 80,510,000 pounds (Bll8oo on Deoember 1 Farm Prloe) Inoreaso or DoorOll8e in Quantity + 1,232,000 bales +20,104,000 bushels +26,629,000 busbels +26,112,000 busbels + 2,434,000 bushols +24,070,000 bushels + 732,000 bushels + 135,000 tons 200 tons + + 103,000 bushels + 1,678,000 bushels +26,020,000 pounds ~~lv~i;!V~r ~W~~p;.: ::::: : : : ::::: : :::: : ::: : :: : :: : : :: :: : :::: :::::: :: :::: :: : : : :: :: ::::: : : :::: :: : 11 Livestoclc There is ample moisture over the range bist ' territory in the Eleventh Federal Reserve larg l'lct hdue to the heavy general rains in Texas, and the Ace e: ~ an usual snowfall in New Mexico and Arizona. are or dIng to the Department of Agriculture feed conditions Ne\~eneraUy good in Texas, and are better than a year ago. field grass has started in some areas but is short. Wheat s are furnishing considerable pasturage, and the large Inoreaso or Doorease In Valuo 1931 1930 $144,926,000 30,169,000 23,648,000 11,096,000 1,606,000 17,400,000 6,360,000 6,907,000 66,000 3,013,000 2,081,000 2,131,000 SI89,786,000 64,126,000 22,263,000 14,223,000 1,618,000 23,364,000 7,670,000 7,831,000 105,000 7,182,000 3,126,000 2,818,000 + - $250,990,000 $297,281,000 $334,001,000 $402,002,000 - $ 83,011,000 -$104,721,000 - $ 44,861,000 23,966,000 1,286,000 2,228,000 12,000 5,054,000 1,301,000 1,834,000 3C,000 3,269,000 145,000 687,000 available supply of grain sorghums and other feeds is being used for feeding livestock where grass is short. Range conditions are likewise good in Southern New Mexico and Southeastern Arizona. The Department reported that livestock on Texas ranges are in good condition, as weather has been mild and feed supplies ample, and should be in good flesh next spring if the winter is not severe, While livestock are still in good condition in New Mexico and Arizona, -------------------------------------------------------------------------------------------------------MONTHLY BUSINESS REVIEW 4 --------------------------------------------------------------------------------------------------there has been considerable shrinkage due to the abnormal temperatures. The Department of Agriculture estimated that the condition of ranges in Texas was 78 per cent of normal on January 1, as compared to 77 per cent a month earlier, and 76 per cent a year ago. The condition of cattle was unchanged from December 1, and that of sheep rose 1 point. The condition of both ranges and livestock declined somewhat during December in New Mexico and Arizona. There was a general decline in the receipts of livestock at the Fort Worth market during the month of December. The December receipts of cattle, calves, and sheep showed a substantial decline as compared to the previous month, and the corresponding month of the preceding year. While the arrivals of hogs were larger than in either comparative period, they continued in generally small volume. Movements and Prices st.re.n?th. The best gains have been marked up in the calf dIVISIon. The demand for hogs has continued weak, and prices have remained at low levels. FORT WORTH LIVESTOCK RECEIPTS (Number) Cattle .......... . Cllives ........ . . Hoga .... .. ... .. . Sbeep ........ . . . Deoember 1931 44,101 10,320 18,000 25,204 - December Ch.nge over November Change over month 1931 1930 year - 4,021 48,122 48,598 - 4,497 -22,105 - 11,283 38,401 27,009 + 2,102 10,800 + 1,134 15,808 -38,044 03,908 29,059 - 3,795 COMPARATIVE TOP LIVESTOCK PRICES (Dollara per hundred-weight) December 1931 SO .05 6.00 4.25 4.00 6.65 6.05 3.25 4.76 During the third week in December prices on all classes of livestock reflected a sharp decline despite small receipts, and outlets were generally very unsatisfactory. While prices have rebounded somewhat from the low levels registered during that period, the market has not shown any material Deoember 1930 $11.25 7.75 6 .35 5.36 8.60 8.40 5.50 7.00 - November 1931 57.50 5.50 4.25 4.25 6.25 6.86 3.60 5.75 FINANCE Operations 0/ the Federal Reserve Bank Federal Reserve Bank loans to member banks, which stood at $19,650,000 on December 15, declined rapidly during the succeeding two weeks, and amounted to only $10,402,000 at the close of the year. After the turn of the year, however, the demand for reserve bank funds was again in evidence and loans had risen to $16,572,000 at the middle of January. Between December 15 and January 15, reserve city banks reduced their borrowings at the Federal Reserve Bank $4,608,000, while country banks increased their borrowings $1,516,000. The Federal Reserve Bank's holdings of bankers' acceptances purchased in the open market were reduced from $8,025,000 on December 15 to $3,131,000 on January 15, but its investments in United States securities were increased $3,762,000 during the same period. The reserve deposits of member banks ~otaled $48,510,000 on January 15, as compared to $50,368,000 on December 15, and $57,607,000 on the corresponding date last year. Federal reserve notes in actual circulation amounted to $45,572,000 at the middle of January, which was $2,373,000 smaller than thirty days earlier, but $15,728,000 larger than a year ago. CONDI'J'ION OF THE FU:OERAL RESERVE DANK (In tbousanda of dollara) Total cash rcaerves ......... . ....... . .... . Diaeount~ for member banks .. ......•. . .... Other billa disoounted ........... .... ..... . Dilla bought in Opell market . ......•... . ... United States aeeurities owned .. . .. . ... . •.. Other investments .. . . ........... ... ..... . Total earning nasels ... . ................. . Member b.nk reserve deposits .. . ... . ..... . Federal reserve notes in notual eiroulation .. . Condition 0/ Member Banles in Selected Cities Jan. 15, 1932 S 50,945 10,572 1 3,131 20,803 5 40,572 48,510 46,572 Dec.16, 1981 $ 58,101 19,650 15 8,025 26, 101 7 53,798 50,368 47,945 Jan. 15, 1931 S 54,830 5,020 securiti.es $10,171,000, and of. other securities $15,000. .A~ compaled to a year ago total mvestments were $27,645,00 larger. Loans on securities declined $463,000 between . oed cember 9 and January 6, and "all other" loans dechne $15,531,000. Total loans, which stood at $272,560,000.OJl January 6, were $48,14,1,000 less than on the correspondln~ date in 1931. Net demand deposits of these banks amo unte to $24.5,221,000 on January 6, which represents a declj~~ of $9,581,000 from those four weeks earlier, and $22,891,0 as compared to January 7, 1931. Time deposits showed are· cession of $4,255,000 during the four-week period, and were $16,704,000 lower than a year ago. The borrowings of these banks from the Federal Reserve Bank totaled $5,363,00 0 January 6, as compared to $10,677,000 on December 9, all $1,140,000 on the corresponding date a year ago. °d CONDITION STATISTICS OF MEMDER BANKS IN SELECTED CITIES (In thousands of doliars) Jan. 0, 1932 United States seeuritica owned .... . ...... . . All other atocke, bonds, and aeouritica owned. Loans on 8ecurities . ........ . . .. .. .. .. . .. . All otber loana. . . . . . . . . . . . . . . . . . . . . . .. .. Totnlloans .. ...... .... ............... : . . Net demand depasi ts ............... .. ... . Time deposits ............... . . . ......... . Reserve witb Fede,"l Reserve Bank. . . . Dilla payable and rediseounl6 with Federal' . Rcaerl'e Bank . ........................ . 2 6,831 29,437 7 40,207 57,607 29,844 A further decline in the loans and deposits, but a substantial increase in investments, was reflected in the reports of member banks in selected cities for the four weeks ending January 6. During this period the banks increased their holdings of Government Deposits of Member Banks S 82,0~0 00,625 79,507 103,053 272,560 246,221 130,871 28,707 6,363 ---- 288,654 254,802 136,126 30,123 Jan. 7, 19S) S 63,259 52,670 04,170 220,525 320,7n 268,1 147,575 32,899 10,677 1,140 Deo.O, 1031 S 72,778 00,610 70,070 208,58~ 0;;:: While the combined daily average demand and time deposits of IIle be! banks in this district during DeceJ1l the was $.1O,669,0?0 smaller than in the previous IIlondl'The receSSIOn was In large part due to seasonal influences.. sl combined average amounted to $677,029,000, as aglllJlgs $810,023,000 in December, 1930, but this comparison The more favorable than that of October or November'r bl time deposits of reserve city banks reflected a further s 19 increase. -------------------------------------------------------------------- _______________________ M_O_N_T_H_L_y B_D_S_IN_E_S_S R_E_V_IE W __ __ _ ______________________~5 it was $191,001,000 less than that of December, 1930. All seventeen cities participated in both the gain over the preceding month and the decline from a year ago. DAILY AVERAGE DEPOSITS OF MEMBER BANKS (In thousands of dollars) - Combined Total Reserve City Banks Country Banks Net demand Time Net demand Time Net demnnd Time deposita depcsita deposita depcsita deposits depcsita Deo., 1030 ..... . M74,004 In F b 1931.... .. 605,388 " 198 1.... .. 676,803 567,468 567,009 ay, 1031 ...... 563,222 J une, 1931 July, 1031· .. · .. 543,155 Aug., 1031·· · ·· · 637,233 ~Pt. , 103 1.... .. 523,797 ct., 193r' .... · 508,850 487,3 14 ~ov., 108 1::::: : 483.079 co., 1931. . .... 474,935 M., ~~ii: :~~L :: : :: ,235,119 232,966 236,250 234,767 234,141 233,653 23 1,880 225,928 222,206 215,074 202,524 203,71 9 202,094 $262, 124 258,313 264,844 263,123 269,207 207,010 254 ,063 257,244 255,584 242,731 232,544 231,9 19 220,397 $139,900 $312,780 141,257 307,076 143,681 311,059 143,080 304,346 142,589 297,802 140,362 290, 212 139,800 289,092 135,409 279,989 133,568 268,213 129, 11 6 266,119 110,826 254,770 121,817 252,060 122,674 248,538 Acceptance Acceptances executed by banks in this Marleet district, and outstanding at the close of a December, reflected an increase over those ~ lllonth earlier. The total amount reported on December 31 V $4.,294,,244., as against $4,04.8,924 at the end of the as ~revious month, and $6,521,161 on the same date a year ti~o'h~he volume of acceptances executed against the domesa s Ipment and storage of goods amounted to $3,423,360, gn~ Jhose based on import and expOlt transactions aggrea e $870,884,. Debits to Debits to depositors' accounts at banks Individual in principal cities in the Eleventh Federal Accounts Reserve District during December reflecta ed a seasonal increase of 13.6 per cent s~ clllllpared to the previous month, but were 23.4, per cent rn a er than in the same month a year ago. While the ~th's volume was $75,073,000 above the November total, - DEBITS TO INDIVIDUAl. ACCOUNTS (In thousands of dollars) S96,219 91,700 92,569 91,687 01,652 03,201 91,090 90,429 88,698 86,858 82, 698 81,002 79,420 December Abilene ....... .. Austin ........ . . Beaumont .. . ... . Corsicana . . ..... Dallas ... ...... . Ell'aso ..... . .. . Fort Worth ...... Galveston ..... .. Houston ..... . ... Port Arthur ..... Roswell ......... San Autonio ..... Shreveport . .... . Texarlmna" ...... Tueson .......... Waco .. . . ... . . . . Wiohita Falls .... 1931 S 5,290 16,389 19,404 5,295 181 ,133 20,336 71,408 27,631 142,580 7,1 09 2,589 56,006 26,772 7,447 10,863 13,941 11,331 Peroontnge Percentage December chango over Novomber ohange over year 1930 1031 month -32.2 $ 5,252 S 7,805 + .7 19,002 24,781 5,860 228,246 32,948 84,619 34,268 198,511 0,496 4,559 82,080 30,735 10,684 13,021 16,524 19,546 - 13. 8 -21.7 - 0.6 -20.6 -38.3 - 15.5 - 19.4 -26.3 -24.6 -43.2 -31. 4 - 12. 0 -30.3 - 16.6 - 10 .2 -42. 0 15,994 16,514 3,366 167,206 18,237 62,288 24,416 126,928 6,331 2,387 47,150 25,718 6,676 9,537 13,335 10,078 + 2.5 +17 .5 +57 .8 + 15.2 + 11 .5 + 14. 6 +13.2 +12.3 + 13.2 + 8.4 +20.7 + 4.1 + 11 .6 +1 3. 9 + 4. 5 +12.4 -23.4 5551,411 Total. . ..... S626,484 $817,485 + 13 .6 "Inoludes tho figures of two banks in Texarkana, Arkansas, leoated in the Eighth District. Despite a small reduction during December in the amount of savings deposits reported by 74 banks in the Eleventh District, the comparison with the corresponding date a year ago was somewhat more favorable at the close of the month than it was on the last day of November. The total amount on record December 31 was $129,904,292, as against $130,866,090 a month earlier, and $150,385,927 on the final day of 1930. The cities of Houston, Port Arthur, Shreveport, and Waco showed increases over the previous month. Savings Deposits SAVINGS DEPOSITS ~~;::Ollt ............. . .. Fort 'V~rth : . . .. . .•... ... .. Galvest ............. .. Boust en . ...... . .. .. .... . Port A'r~i.;;r· .. . .. . •.. ...... San At · .... .. ....... .. Sbrev n 0 01 0 .. . ... .. ...... . \V nco eport .............. .. \Viohit~ 'F,;li ........ .... .. . AU others .. ~::::: : ::: :: : :: Number of Reporting Banks 4' 4 4 3 10" 2 5" 4 3 2 33" December 31, 1931 Number or Amount of S.wings Savin\!B De(106itors Dopcslta 5,557 62,535 34,496 12,643 61,1 67 4,543 11,762 25,1 87 10,312 3,053 37,864 $ 2,002,645 23,1 67,422 11,369,981 7,923,736 32,644,647 1,821,787 14,160,893 12,083,922 5,801,989 1,136,878 17,100,393 December 31, 1930 Number of Amount of Savings Savin\!B Depcsitors DepOSIta 6,751 64,109 32,752 12,839 71,335 4,820 14,521 25,018 10,518 3,710 39,764 Percentage Change Over Year in Savings Deposita $ 2,632,198 November 30,1931 Number of Amount of Savings Savin\!B Depositors DepOSIta 5,639 62,616 34, 793 12,768 01,623 4,671 11,772 25,278 10,009 3,019 38,541 - 1.1 - 15. 0 - 3.5 - 1.7 - 7.8 + 5. 4 -25. 9 - 18.0 - 15 .9 -25. 9 - 19 .1 27,268,242 11,783,010 8,064,239 35,392,358 1,728,236 19,108,455 14,727,547 7,007,836 1,533,762 21,140.044 Percentnge Change Over Month in Savings Depcsita $ 2,618,361 .6 23,372,363 12,560,641 8,108,937 32,555,270 1,800,921 14,225,916 11,051,860 5,699,578 1,1 76,881 17,686,363 Total. . .. . . . . . . . 74 269,109 $129,004,202 286,046 $150,385,927 - 13. 6 270,629 'Only 3 banks in Beaumont, 9 in Houston, 4 in San Antonio, and 29 in "All others" reported tho number of savings depositors. S130,866,090 .0 - '9.6 - 2.3 .3 + + .7 .5 + 9. 3 + 3. 4 - 3.4 - - 3.3 - .7 ~ .::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::. - Prevailing R.ctcs : JANUARY DISCOUNT RATES Dallas EI Paso Fort Worth Houston 6-8 5-6 4-8 6- 6 5-6 4* 6 6 6 6Yr6 6-8 6-8 6-8 6-8 6-8 6-8 5-7 6-7 6)1;-6 6-8 6-8 6-7 0- 8 7-8 6-8 6-8 5- 7 7 San Antonio Waco ----:~~-------------------------------------I---------I---------I---------I---------I--------1--------nater~.arged customers on prime commercial paper such as is now eligihlo for nate ehlso0'dnt under the Federal Reserve Act ................... .. ............ . . Ilate 0 a go on loans to other hanks scoured by biUs reoeivable .... . ... . ......... . i II qallS secured by prime stock exchange or other current eollnteral (not nclu~lDg leans placed III other marketa through correspondent banks): l llnte ob 'r i~"c~n.d..... .... ::: :: :: : :::::: : :: : :: : : : :::::::::::::: :: ::: : : : : :: :::: : ::: ' Illite On nrg~ I en commodity paper secured by warehouse reeoipw, etc... .. .. . .. . ... . ~te loalls . . ................................. ... .... . ............ . .. ~ ~ottonseed 5-7 5-8 5- 6 5-7 8 6-8 6-8 INDUSTRY Further seasonal declines were registered during the past month in the operations of cottonseed oil mills in both Texas and the D . Dlted States, but, with the exception of seed receipts roducts 4~-6 5- 6 and the production of linters at the latter mills, activities were above those in December, 1930. During the first five months of the present cotton season the receipts of cottonseed were considerably in excess of those in the same period -------------------------------------------------------------------------------------------------------MONTHLY BUSINESS REVIEW 6 --------------------------------------------------------------------------------------------------------of the 1930-31 season, and at Texas mills the crushings of seed, production of oil, cake and meal, and hulls reflected an increase. Supplies of cottonseed on hand at the close of the month continued large, with stocks of crude oil and hulls exceeding those a month earlier and a year ago. Inventories of cake and meal, and linters showed a decline from those held on December 31, 1930. STATISTICS ON COTTONSEED AND COT'rONSEED PRODUCTS TexlIB United States August 1 to December 31 Aug\lst 1 to Deoember 31 This SellBon LlIBt SCllBon This Scoson LlIBt Season Cottonseed reeoived at mills 4,081,478 4,348,186 1,136,307 1,412,254 (tons) .. . .... .. ..... . ...... 2,057,067 3,135,430 887,430 084,614 Cottonsced crushcd (tons) ..... 1,400,325 001,464 265,671 441,133 Cottonseed on hand (tons) .... . Crude oil produced (pounds) ... 200,668,303 258,518,514 919,515,410 944,531,884 1,4 14,535 1,324,769 417,805 458,780 Cake and meal woduced (tons) 869,339 248,048 829,665 284,437 Hulls produced tons) ...... . .. Linters produced (running 543,282 130,091 465,346 127,860 bales) ... . ............... · . Stocks on hand December 31: Crude oil (pounds) .......... . 32,026,871 23,242,017 81,106,132 75,665,661 200,034 70,430 202,406 51,017 Cake and mcol (tOllS) . . ... .... 226,740 173,408 72,115 06,868 Hulls (tOIlB) ...... . .. .. . ..... 316,738 02,241 289,560 82,860 Linters (running bales) .... .... The December reports of Texas textile mills indicated that operations were on a scale slightly above that a month earlier, and that activities continued above those a year ago. Orders for products held at the close of December were greater than those on hand a month earlier, but were again below those of the same date last year. Inventories of finished products on hand at the end of December were also larger than those held on November 30, but smaller than a year ago. Textile Milling The consumption of cotton during December at all United States mills aggregated 415,517 bales, which represents a small seasonal decline of only 3.1 per cent from the 428,870 bales consumed during November, and a.n increase of 2.6 per cent over the 4.05,158 bales consumed III the corresponding month of 1930. Consumption of raw cotton for the period from August 1 through December 31 continued substantially above that in the same period of the previous season. Stocks of cotton held by consuming establishments on December 31 were above those a month earlier, but were slightly smaller than a year ago. 1 through December 31, continued favorable as compared with the same period of 1930, receipts being slightly greater and exports showing an excess of considerable size. Stocks of cotton held at the close of December reflected a redu c. tion from those a month earlier, but were considerably above those of last year. Total foreign exports of cotton during December froIll all United States ports continued at a high level. A sub· stantial increase of 10.3 per cent was registered over the previous month, and the material increase of 54.2 per cent was evidenced as compared with the corresponding month of 1930. Ther? were 1,181,089 ba~es exported during t5h~ month, as agamst 1,070,643 bales m November, and 76 1 835 bales in December, 1930. During December for the first time this season aggregate foreign exports of cotton. eJ(' ceeded those of the previous season. Takings of AmeflcaJI cotton by Italy, Japan, China, and several of the smaJler European countries were very heavy during the month~ COTTON MOVEMENTS THROUGH THE PORT OF GALVESTON (Bales) ~~~~f~s:::::::::::::::::::: : Stooks, Decomber 31. ........ . December 1031 311,078 351,508 ~ COTTON-GALVESTON STOCK STATEMENT (Bales) For Great Britain . ... . . ............ .. ..... . .. . ...... . For France .. .. . . .. .... .... ... . ... .. .............. . . . For other foroign ports . .............. . .. .... ... .. .... . For oOllBtwise ports ... . ...... . . ..... .. . .... ... . .. .... . In oomprcases and depots ................ . ......... ... . Dec.3 1, 1931 4,000 4,000 52,700 2,000 860,814 Total. . ...... .. .......... . ........ .. .. . . 923,514 t~~f~:::::::::::: :::::: ::: December 1931 318,432 417,310 December 1930 277,813 251,219 December August 1 to December 31 This Season Lnst SellSon 1080 415,517 405,158 1,799,705 7,904,265 2,105,085 2,010.133 1,630,548 1,655,537 10,425, ~45 8,375,943 With foreign orders for cotton continuing in heavy volume, exports during Decem· ber from the ports of Houston and Galveston showed further increases over the preceding month contrary to seasonal tendencies, and were again rna· teriallY above those in the same month of 1930. Receipts of cotton during the month were substantially smaller than in November, but continued above those a year ago. The com· bined season totals, which reflect operations from August Cotton Movements 703,95 5 ~ - ~UlEASON'S RECEIPTS, EXPORTS, AND STOCKS OF COTTON AT ALL UNITED STATES PORT8-(Bales) 1,604,589 1,249,394 10,013,768 321,515 - ~ 1,208,780 344,362 10,Zoo 37,000 1,500 647,655 August 1 to Dccember 31 'l'his SellSon Last SeaBOD 2,439,915 2,47~,~g 1,530,500 1,34 ,006 09 1,506,944 1,5, COTTON CONSUMED AND ON HAND (Baltls) Cotton-growing states: Cotton consumed . .. .... . . .. On hand Dec. 31 inConsuming establishments. Publio storage and oompresses ...... .. . ····· · . United States: Cotton consumod ..... .. .. . . On haad Deo. 31 inConsuming establishments. Publio storage and oompresses ................ - Dec. 31, 1930 7,700 COTTON MOVEMENTS THROUGH THE PORT OF HOUSTON (Bales) Stooks, December 31. ... . . ... . December 1931 - December August 1 to December 31 This Season LlIBt Season 1030 176,135 1,511,980 1,197,~~~ 183,433 976,067 678, 55 023,514 763,9 ~eceipts ... . ....... :................ . .. . .. . ........ ... Exports: Umted Kmgdom............................ France............ . .............. . ........ . Italy . . . .. .. . .. .. .. .. . . .. . . .. . .. . .. . . .. .. .. . Germany................................... Othor Europo. . . . . . .. . . .. . . .. . ... . . . ... .. . . . Japan. .. .............. .. ........ ........... AU otber oountries........................... Total forei~n ports. . . ...... ................. Stooles at aU United tates ports, Decembor 31........... __ August 1 to Dcoember 31 This Scoson Last SeaBOD 6,282,742 7'~l~'m 587,771 630'461 161,190 277'85 8 323,201 1 064' 863 780.447 '392'23 7 374,875 477'198 903,041 351'63 0 814,603 3946'596 4,035,134 '288'712 4,705,505 4, ' ~ SPOT COTTON PRICES-(Middling BlIBis) ______________~=-~(C~o_ts~~_~po~_d ) ____________~~~ n r un ~ Dccomhor, 1931 Jan. 15, High Low 1932 6.75 Ncwyork ... .. .. .. ..................... . 0.55 0.00 0.58 Now Orlcons ................ . .. . ........ . 6.88 5.92 6.10 DnUIIB .. . ............ ..... ............. . 5.00 5.40 6.60 Houston . .. ........... . .............. . .. . 6.30 5.80 6.55 Galveston .............................. . 6.40 5.90 ~ ----------------------------------------------------------------------------------------------MONTHLY BUSINESS REVIEW 7 ---------------------------------------------------------------------------------------------Petroleum The total output of crude oil in the a Eleventh District during December, which thounted to 30,722,4,00 barrels, was 738,650 barrels smaller I an the yield in November, but continued considerably t~rger than a year ago. The month's daily average produc. ~O~ bmounted to 991,045 barrels, as compared with 1,048,· D anels in the previous month, and 781,474 barrels in r eee~er, 1930. There was a reduction in field activity, i esul~ng in the completion of only 444 successful wells duro flng t e month, as against 550 producers in November. The inushh output of new wells declined from 4,,193,964 barrels t e earlier month to 3,049,4,98 barrels in December. DECEMBER DRILLING RESULTS Com. pletions Gas Wells Fail· ures Initial Produetion North Texas . ... .. ......... Central West Texas ....... .. East Central Texas ... ...... South Texas . ...... .. . . .... Texas Coastal.. ........... . 54 29 372 44 24 28 12 364 23 13 1 4 2 2 1 25 13 6 10 10 3,210 1,116 3,021,220 5,044 14,015 Totnl Texas ....... Now Mexieo ......... . . .... North Louisiana ... . ........ 523 4 16 440 2 2 10 1 0 73 1 8 3,045,513 3,865 120 Decembor totals, district .... November totals, distriet ... . 919While Texas' daily average production, amounting to b ,698 barrels, was 222,359 barrels higher than in Decem· el', 1930, it showed a decrease of 55,459 barrels from the Pree d' 'V I e mg month. Most of the curtailment was due to a SO untary movement shutting down Sunday production in bc'Veral sections. The Gulf Coast showed a gain of 1,377 r:flre1s OVer the daily yield of November, but the other areas r eeted decreases. New Mexico and North Louisiana also epOl'ted declines in daily output. Pro· ducers 543 671 444 550 17 22 82 00 3,040,498 4,108,004 CRUDE OIL PRICES Jan. 12, Texll8 Coastal (40 gr. and above) .... . .... ..... ... . .. . . . North Texas (40 ~r. and above) ...... . . .. . ............ . North Louisiana (40 gr. and above) .................... . ·Prioe paid for 'fexas Coastal, grado "A • ··Price paid for oil, 44 gr. and above. Jan. 13, 1082 S .86 .85 .85 1931 $1.00· 1.07 1.19·· (Oil statistics oompiled by Tho Oil Weekly, Houston, Texas) - OIL PRODUCTION-(Barrels) ~~~.rW:i ~; . ............ Building Contrary to the seasonal tendency, valu· ation of building permits issued at lead· ing centers in this district during the final month of 1931 reflected a further decrease of 39.0 per cent as compared with the previous month, and was 65.4 per cent less than the volume of December, 1930. Aggregate valuation in De· cember amounted to $1,698,781, as against $2, 784~439 in November, and $4,,910,142 in the corresponding month a year ago. Construction permits issued during 1931 totaled $39,523,179, reflecting a decrease of 41.7 per cent from the volume of 1930, which amounted to $67,760,752. Inorease or Deoreaso Over November, 1031 December, 1031 Daily Avg. Daily Avg. Total Total -242,300 -137,000 -523,400 +162,450 2,000 -11,629 -11,742 -31,505 + 1,377 - 1,060 1,732,900 106,684 214,335 421,765 121,114 55,900 - 1,340,150 862,000 010,608 43,621 27,826 -744,050 + 22,550 - 17,150 -----55,459 690 - 1,490 - Total Distriot .. ...... 30,722,400 091,045 -738,650 - 57,657 3,304,100 EaSt C lexas ...... ... ,. 6,644,400 'ro l cntral Texas ..... .. . . .. 13,074,700 Sou~ T~astnl. .... . ......•. . . 3,754,550 XBB • •• • • ••••••• • ••• • -----'fatal Texas .....•... 28,510,650 New 11: Nertb ~I~O: ...... . .... .... . U181ann •.. . • . . . •.•.. . --- ~ - BUILDING PERMITS Dee., 1031 Deo., 1030 No. Valuntion No. -:------ - - - - - -AlI\nriUo ....... Auaf Ilen In .... . .... C umont ...... D~WruS Christi. . El PB8 .. .. ..... ..ortWo;t······ Onlv t h ..... lIoua~ on . ..... Port ~r~h""'" San Anto~~"" ShrovellOrt . . .. \V no ..... \Vio~ia Iialts·· ... .. .. . . ~al. ..... ~ 21 $ 43,241 85,361 60 40,050 68 34 10,055 183 363,057 24 17,425 02 258,413 28,030 78 850,400 140 23 6,112 163 445,741 30,870 105 10,000 13 1.815 10 Pereentage Ohnngo Valuatioa Over Yonr Vnluatioa 34 $ 60,505 54 400,573 129,734 135 31,765 27 248 1,275,038 126,325 60 185 473,073 000,048 85 224 1,008,810 34 12,320 242 607,050 120 33,341 27,820 21 7,235 13 - - - - - - - ----1,023 $1,008,781 1,404 84,010,142 -37.8 -70.0 - 08.7 -40.4 -71.5 - 80 .2 -45.4 -00.0 -05.2 -50.4 - 20.7 - 7.4 -00.8 -74.9 ---65.4 Nov., 1031 No. -26 107 82 26 274 37 132 120 220 48 108 159 25 0 Valuntion S 20,530 351,208 23,238 12,105 325,608 22,040 346,070 341,500 870,873 11,420 312,178 62,028 78,340 5,975 - - -----1,442 $2,784,430 Twelve Months Perconta~e Change ValuatIon Over Month +46.4 -75.7 +75.0 +32.6 +11 .7 -21.0 -25.5 -91.8 -00.0 -46.5 +42 .8 -41.3 -85.1 -09.6 ---30.0 1030 1031 No. Valuntion 522 $ 2,737,571 1,132 2,317,013 1,007,354 1,191 406,150 505 4,750,223 3,021 770 001,756 2,001 5,797,010 2,542,278 1,439 3,547 11,074,450 017,502 067 3,281,862 2,008 937,141 1,758 1,860,411 308 128 150,568 No. Valuntion Poreentage Change Vnluntion Over Period 031 $ 1,843,145 1,041 3,500,703 1,750 2,600,355 622 1,150,202 3,776 11,135,011 1,273 2,060,166 2,747 10,121,774 1,446 1,700,383 3,713 17,613,072 1,140 2,800,308 3,238 8,500,010 2,017 1,550,714 1,154,055 860 204 030,985 +48.5 -34.0 -li8.8 -li6.0 -57.3 -07 .6 -42.7 +41.3 -33.7 -07.3 -61.4 -30.0 +61.2 -83.8 20,842 $39,523,170 24,018 $ 07,700,752 -41.7 ~----------------------------------------- -8--------------------~M~O~N~T~H~L~Y~B~U~SI~N~E~'S~S~R~E~V~IE~W~------------------_ , SUMMARY OF NATIONAL BUSINESS CONDITIONS (Compiled by the Federnl Reserve Board as of January 26, 1982) Industrial activity declined from November to December by slightly more than the usual seasonal amount, while the volume of factory employment showed about the usual decrease. Wholesale prices declined further. PRODUCTION AND EMPLOYMENT Volume of industrial output decr~ased somewhat more than is usual in December and the Board's seasonally adjusted index declined from 72 per ~ent of the 1923-~9~5 average in November to 71 per cent m December. ActIVIty in the steel industry decreased from 30 to 24 per cent of capacity for the month, partly as a result of seasonal influences. In the first three weeks of January, it showed a seasonal increase. Automobile output increased considerably in December from the extreme low level of the preceding month, and daily average output at shoe factories, which ordinarily declines at this season, showed little change. At textile mills production was curtailed by more than the usual seasonal amount. The number employed at factories decreased seasonally from the middle of November to the middle of December. In the automobile and shoe industries there were large increases in employment, while in the clothing industries employment declined. In most lines, however, changes were of a seasonal character. For the year 1931 as a whole, the average volume of industrial production was about 16 per cent smaller than in 1930, reflecting large decreases in the output of steel, automobiles, and building materials, offset in part by slig~lt ~nCl'eases in production of textiles and shoes. Value of bUIldmg contracts awarded, as reported by the F. W. Dodge Corporation, declined considerably more than is usual from the third to the fourth quarter and for the year as a whole was 32 per cent smaller than in 1930, reflecting reduced physical volume of construction, as well as lower building costs. DISTRIBUTION Distribution of commodities by rail declined by the usual seasonal amount in December, and department store sales increased by approximately the usual amount. FOREIGN TRADE Value of foreign trade continued at low level in Decem_ of ber, and for the year as a whole exports showed a decrIn e nt 37 per cent from 1930, and imports a decline of 32 per ce , reflecting in part the reduction in prices. WHOLESALE PRICES Wholesale prices of commodities declined from 68 Pf~ cent of the 1926 average in November to 66 pe~ ~e~t reo December, according to the Bureau of Labor St~tIStiC ! u1. flecting decreases in the prices of many domestIc agrtUrlI tura! products, sugar, silk, iron and steel, a~d pet:oh~gs, products. During the first half of J an~ary I?l'lces fO otto , lard, and butter declined further, wIllIe pnces 0 c n silk, coffee, and copper increased. BANK CREDIT h middle Reserve bank credit which had declined from t e d in of October to the mid die of December an.d ~ad incr~atS~ree the latter part of the month, declined agam m the ~IS m weeks in January. The growth in the latter part of ec.e ber the reflected a somewhat more than seasonal increase ~n tile . In demand for currency, partly offset by re dU.ctlO s foreign member bank reserve balances and in depOSIts 0 was central banks. In January the return flow of curh~¥c~erll' considerably smaller than in other recent ye~rs, w IC: tan ce bel' bank reserve balances continued to declme. Ac ~al of holdings of the reserve banks, which had reached a t0turing $780,000,000 in October, have declined throu~h rna nd on of bills held almost uninterruptedly since that tlme'f ali 0 of January 20 totaled $190,000,000. The banks' .p ort.o re ase United States Government securities showed sOded~n~ountS over the level of the early part of December an dS'nvest. for member banks increased subs~antia~ly. Loan~ further ments of member banks in leadmg CItIes declIne reflect. during December and the first two weeks of January! other ing reductions in loans on securities, as well as. InbUying loans, and in investments. In the middle of Janual y Banks rates for bankers' acceptances at the Federal Reserv clined were reduced and open market rates on 90·day bills eYields first from 3 to 2% per cent and later to 2%, per. c nt .£ about of high grade bonds, after advancing for a peno 0 fleeting four months, declined after the turn of the year, Ie a rise in bond prices. f ad d a