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MONTHLY BUSINESS REVIEW
OF THE
FEDERAL RESERVE BANK OF DALLAS
C. C. WALSH
Chairman and Federal Reserve Agent
CHAS. C. HALL-W. J. EVANS
Assistant Federal Reserve Agents
(Compiled February 15, 1934)
Vclume 19, No. 1
Dallas, Texas, March 1, 1934
This eopy Is l'eleased for publieatlon In afternoon paper&-
Mar • 2
DISTRICT SUMMARY
THE SITUATION AT A GLANCE
Eleventh Fedeml Reserve District
Chango from
December
Jnnuary
1934
Bank debits to Individual accounts (at 17
Dcities) ................................. . .
h apartment stor~ soles ... ...... .... ... . .... .
" eservo bank loana to member banka at end
nof month . .. .. ... ....... ............... . .
Beservo bank ratio at end of month .. . .. .... .
Cuilding permit valuotion at largor centers . . . .
COmmorclR1 failures (number) .. ........... . . .
01mmcreial failures (liabilities) ......... . . .. .
...!....!?roduction (barrels) .. .. ... ... .. . . . ... .. .
1564,803,000
241.239
59.3%
760,294
27
S 502,373
29.644.950
-
5 .0%
52 .6%
-
57 .9%
-
4.6%
18 .2%
-
1.3
pointe
~ 65.g~
. A low business mortality rate and a broadening of activity
bn ?istributive channels were constructive features of the
~IlSIness and industrial situation during the past month.
lhhe number of commercial failures in January was smaller
l an. in December and both the number of in~olvencies and
he Indebtedness involved were lower than many corre~Ponding month in fourteen years. Sales of department stores
In principal cities evidenced a seasonal recession of 53 per
Ce
from the large December volume, yet there was a gain
~ 32 per cent over January, 1933, which is the largest in/e as e for a current month over the corresponding month a
IVbr earlier reported since the recovery set in last spring.
\\>. olesale distribution reflected a large gain as compared
~~ both the previous month and the same month last year.
n lIe retailers are holding commitments mostly to nearby
~eds, there is a disposition to stock a larger assortment of
III e~chandise in order to meet the broadening consumer de\\> and. Debits to individual accounts at banks in leading cities
cere 5 per cent smaller than in December, but were 21 per
ellt greater than those in January last year.
tt
The position of the agricultural and livestock industries in
the Eastern half of the district has been greatly improved by
the heavy general rains during the past six weeks. On the
other hand, the Western half of the district continued to
reflect the effects of sub·normal rainfall. The condition of
small grains and ranges is poor to only fair. Heavy general
rains in the immediate future are needed to stimulate the
growth of small grains, to start grass and weeds on the
ranges, and to provide moisture for the completion of land
preparation and the planting of spring crops. Livestock
prices, which followed a downward trend in 1933, have
shown some recovery since the first of the year and trading
on the ranges is more active.
The reserve deposits of member banks reflected a large
expansion between January 15 and February 15. The total
on the latter date amounted to $110,622,000, which is $16,179,000 greater than a month earlier and $59,805,000 larger
than a year ago. Member banks practically liquidated their
borrowings at the Federal Reserve Bank during the past
month. The daily average of combined net demand and time
deposits of member banks rose to $698,123,000 in January,
reflecting a gain of $17,260,000 over the previous month and
$87,061,000 over a year ago. The loans of member banks
in leading cities declined seasonally between January 10 and
February 7, but their investments showed a large expansion.
The subscriptions to the United States Treasury notes dated
February 19 totaled $111,660,700 and allotments of $19,.
791,300 were made.
The valuation of building permits issued in principal
cities during January was 5 per cent less than in December
but exceeded that in January, 1933, by 6 per cent.
BUSINESS
rholesale
An active demand for merchandise at
tilde
wholesale was visible in most portions of
dut'
the Eleventh Federal Reserve District
go lng the past month. January sales of groceries and dry
oc Ods. reflected larger gains over December than usually
th CUr .In this month, and while a slight decline was shown in
it e dIstribution of hardware through wholesale channels
\vas attributable to seasonal influences. All lines reported
sizable increases as compared with a year ago, which ranged
from 27.0 per cent in the case of drugs to 218.9 per cent in
the case of farm implements. Stocks on hand were increased
somewhat during the month in the case of every reporting
line. An upward trend in the prices of some commodities
was reported. Seasonal declines were reported in the J anuary volume of collections in all lines with the exception
of drugs.
This publication was digitized and made available by the Federal Reserve Bank of Dallas' Historical Library (FedHistory@dal.frb.org)
-
MONTHLY BUSINESS REVIEW
2
More than the usual seasonal expansion was reflected in
the distribution of dry goods during January, the increase
over the previous month amounting to 93.6 per cent. Business
was on a scale 83.8 per cent larger than in January, 1933,
which is the most favorable such comparison reported since
last July. Wholesalers enlarged their inventories 17.2 per
cent during the month. While collections were seasonally
32.2 per cent smaller than in December, their ratio to accounts receivable outstanding at the close of the previous
month reflected an increase.
The large expansion in sales of farm implements at
wholesale, which usually occurs in January, was not witnessed last month although business was well sustained on
about the same scale as in December. An increase of 218.9
per cent over January, 1933, was reflected, as against a
similar increase of 312.9 per cent in the preceding month.
Inventories on hand at the close of the month were practically the same as a year ago, a slight gain being shown as
compared with December 31. A further seasonal decline in
collections was reported.
Due in part to seasonal influences, an increase of 7.0 per
cent occurred in the distribution of drugs through wholesale
channels during January. As compared with the same month
last year, sales were 27.0 per cent larger, whereas in December there was a similar gain of only 4.3 per cent. Stocks on
hand increased during the month but remained somewhat
below the level of a year ago. The volume of January collections was 7.9 per cent in excess of that of the previous month.
The demand for hardware at wholesale in this district
declined seasonally in January by 0.8 per cent, and the
volume of sales reported was 65.6 per cent above that in
the same month a year ago. Business during the month was
rather spotty, and firms located in some areas showed material gains as compared with December. Less than the usual
seasonal decline in collections was reflected in January.
The business of reporting wholesale grocery firms in the
Eleventh District showed an expansion of 10.5 per cent in
January over December, which is larger than seasonal, and
it was on a scale 28.3 per cent higher than in January a year
ago. Buying demand appeared to be fair to good in most
sections. January collections totaled 9.1 per cent less than
those reported in the preceding month.
CONDITION OF WHOLESALE TRADE DURING JANUARY, 1934
Peroentage of Inorenso or deoreBllo In-
Groceries ................
Drygocds ...............
Farmimplements .........
Hardware ...............
Drugs ...................
Net Sales
January, 1984
compared with
JBn.,
Deo"
1933
1933
+ 28 .3 +10 .5
+ 88 .8 +98 .6
+218.9 + .2
+ 65 .6 - .8
+ 27.0
7.0
Stooks
January, 1084
compared with
Jan.,
Dec.,
1033
1033
+27.8 + 2.4
+00.8 +17.2
- .1 + 1.8
+ .1 + 1.0
-1.9 + 3.1
+
The demand for merchandise during
January at department stores in principal:
cities of the Eleventh District was we
sustained. Total sales exceeded those in the opening month
of 1933 by 31.6 per cent, and while a decline of 52.6 per
cent was evidenced as compared with December, the receSSiOn
was only slightly larger than the 1921-31 average for th a:
comparison. The seasonally adjusted index of departIIlen
store sales, as compiled by this bank, declined from 78.2 pe~
cent of the 1923-25 average in December to 67.5 per ceoS
in January, but it exceeded that of January, 1933, by 13.
points. Despite the mild weather that prevailed during the
early part of February reports indicate that business COO'
tinued on a scale well above that a year ago.
Retail
Trade
Inventories held by merchants on January 31 were 12,9
per cent greater than those on hand at the close of J anuart
1933, and they were in practically the same volume as t k
stocks held on the final day of December. The rate of stoC
turnover during the initial month of 1934 was .24" as coJll'
pared with .20 in January, 1933.
Collections on open accounts reHected a contrary to 5ea'b
sonal increase during the past month and were in muc.
larger volume than a year ago ..The ratio of collections d~\
ing January to accounts outstanding on January 1 was 3 ~
per cent, as against 36.8 per cent in December, and 30.4 p
cent in January, 1933.
BUSINESS OF DEPARTMENT STORES
Total sales (percentage):
January, 1934. ccmpared with January, 1088 ................................... .
January. 1934, compared with December, 1038 ................................. . .
Credit sales (peroentage):
January, 1934, comp3red with January, 1083 . ................................. ..
January, 1034, compared with December, 1938 ................................. ..
Stocks on band at end of month (percentage):
January, 1934, compared witli January, 1933 . ........................ ....... .. ..
January, 1934, compared with December, 10Sa ... .. ....... . ..................... .
Stock turnover (rate):
Rate of stock turnover in January, 1933 ....................................... ..
Rato of stock turnover in January, 1934 ........................................ .
Ratio of January collections to installment accounts rcceil'Bble outstanding Jan. 1, 1034 .. .
Ratio of January collections to open accounts outstanding January 1, 1934 .. . ........•.•
Indexes of department .tore 8ales:
Unadju8ted-January, 1034 .................................................. .
Unadjusted-December, 1038 ...... ... ....................................... ..
Adju8ted-January, 1034 .. .................................................. ..
Adju8ted-December, 1933 . . .......... .. .. ... . ..... . . ... ... ................. ..
Indexes of department store Btocks:
Unadju8ted-January, 1034 ............................................... ... . .
Unadjusted-December, 1033 ...................................... .. ........ .
Adju8ted-January, 1934 .. ........................................... .. ... ... .
Adjusted-Deoember, 1933 ................................................... .
·Revlsed.
Ratio of colleotions during Jun.
to aooounts nnd
notes outstanding
Deoember 31
82.7
39.0
6 .0
47.7
47.0
-
DallBII
+42.4
-49.4
Fort Worth
+26.2
-61.1
Houston
+32.6
-58.8
San Antonio
+20.2
-40.6
Other.
+25.3
-52.5
Total Distriot
+31.0
-52.0
+43.4
-47.3
+30.4
-60.3
+41.1
-46.6
+23.1
-49.7
+10.3
-53.1
+34.3
_50.3
+9.4
- 1.0
-
+G.9
+28 .4
- 8.8
+17.2
+ 3.2
+13 .6
+10.2
+12.0
+ .1
.20
.27
16.5
au
2.6
.16
.10
10.1
33.9
.21
.23
ao.s
42.6
64.1
47.S
111.6
62 .5
72.0
68.0
110.3
67 .4
74.6
58.3
155.1
78.8
87.6
141.6
41.2
48 .7
47.4
55.3
57.0
68.6
67.3
38.7
60.0
45.0
83.7
.28
.30
72.0
86.3
64,6
37.4
80.8'
40.7
44.7'
.19
.21
23.3
38.0
.20
.24
14.4
37.1
56.7
127. 5
67.6
78.2
46.1
47.2
63.0
64.3
MONTHLY BUSINESS REVIEW
3
-----------------------------------------------------------------------------Commercial
Failures
According to the report compiled by Dun
& Bradstreet, Inc., for the month of J anuary, there were 27 insolvencies in the
~leventh Federal Reserve District as compared with 33 in
ecember, and 98 in January, 1933. Total liabilities of defaulting firms increased somewhat over the previous month,
amounting to $502,373 in January, as against $303,290 in
December, and $1,693,202 in the corresponding month last
year. The average indebtedness of these firms, though above
that reported in either of the two preceding months, was
smaller than the average for the year 1933.
AGRICUL TURE
Crop Conditions
The agricultural situation in the Eleventh
District is very spotty. Moisture reserves
in South, Central, and East Texas and
North Louisiana were greatly improved by the heavy and
frequent rainfall during January and the first half of
~ebruary. Light to moderate precipitation also occurred in
mOst other sections of the district, but in West and NorthWest Texas and Southern New Mexico the subnormal rainfall since the first of the year added to the cumulated deficiency in moisture reserves. Although land preparation
tas been retarded by wet weather in those sections receiving
d~avy rainfall and by dry soil in the Western half of the
Istrict, this work is generally well advanced.
Winter wheat and oats have made good progress in those
sections which have received ample moisture but the crop
?as deteriorated in the drier sections. There is a large area
III Northwest Texas where seed sown last fall have not germinated. Throughout the drouth area reports indicate that the
crop is not stooling out normally which may substantially
affect yields. As the growing season is becoming short, the
greater portion of the wheat territory needs heavy, soaking
rains to enable the crop to make the necessary growth.
S Although retarded by the wet soil, the seeding of corn in
Quth Texas is making fair progress. This area now has
ample moisture to give the crop a good start. The planting
of Cotton has started in the lower Rio Grande Valley.
Commercial vegetable crops in South Texas showed
tnal'ked improvement in January. While crops were in a
Crit.ical stage at the turn of the year, due to shortage of
~Qlsture, heavy rains at frequent intervals since that time
aVe supplied ample moisture to carry the crops for some
Iveeks. The condition of cabbage, carrots, onions, spinach,
~ets, and other winter crops reflected sharp increases during
t e month. While the planting of spring crops was delayed
:h~ewhat by the frequent rains, growers are well along with
hIS work and in the absence of killing frost these crops
s QuId come to an early maturity.
CONDITION OF COMMERCIAL TRUCK CROPS IN TEXAS
-------------------------------------------February I,
January I,
February I,
1934
Crop
l(por cent)
bngo .. .............. . ........ .
79
71
B{r~cn~ .......•...... ... . •.. . . .
82
82
80
80
81
73
Onrlifiowor ........... ......... ... .
81
79
gab
~; •••.••••.••. /.
B;i~::h::::::::::: :: ::::::::::::: :
Livestock
1933
(por cont)
65
54
80
76
74
54
76
CO
80
C8
1934
(por cent)
62
80
80
7i
76
73
82
74
72
Light to heavy rains in many portions of
the district's range territory further imi~QSed pastures during the past month. Practically all areas
outh, Central, and East Texas have received normal or
~
above normal precipitation since the first of the year and
ranges are improving as a good crop of weeds and winter
grass is springing up. In West and Northwest Texas, Southern New Mexico, and Southeastern Arizona rainfall has continued below normal and range conditions are poor to only
fair. Rains have improved ranges in the Eastern part of the
Texas sheep section, but the Western portion is still dry.
The mild, open weather during the past month was very
favorable for livestock and they have continued in fairly
good condition. Despite the poor condition of ranges, supplemental feeding has not been heavy.
The condition of ranges in Texas on February 1 remained
unchanged from a month earlier at 69 per cent of normal, as
the deterioration in the drier areas was offset by improvement elsewhere. The condition figure a year ago was 81 per
cent. There was a decline of 1 point in the condition of cattle
during the month and the February 1 condition of 73 per
cent was 9 points lower than on the corresponding date last
year. The condition of sheep was 74 per cent of normal on
February 1, as compared with 70 per cent on January 1 and
82 per cent on February 1, 1933. In New Mexico the condition of ranges and cattle showed a slight improvement as
compared with a month earlier and a year ago, while that of
sheep remained unchanged. There was a decline in Arizona
in the condition of ranges and cattle as compared with both
the previous month and the corresponding date last year.
Movements
and Prices
The receipts of cattle at Fort Worth during January were noticeably larger than
in December and were slightly greater
than in January last year. While the arrivals of calves were
less than in the previous month, they were substantially
above th0se in the same month of 1933. The number of hogs
yarded reflected a large increase over both last month and
last year. The receipts of sheep were sizably larger than in
FORT WORTH LIVESTOCK RECEIPTS
(Number)
Cattlo ..... .... ..
Calvca ......... .
Hogs .... ....... .
Shoep .......... .
January
19S4
29,523
20,262
34,100
24,790
January
lOSS
28,711
16,092
25,208
50,886
Chango ovor December Changeover
yoar
1983
month
+ 812 24,415 + 5,108
24,520
4,160
- 4,268
+ 8,892 26,919 + 7,181
-26,087
18,393
6,406
+
+
COMPARATIVE TOP LIVESTOCK PRICES
(Doll ... por hundredweight)
Beer .toers .............................. .
Stocker steers ................... .. ...... .
Butohor oows ... ... ..................... .
Stockor oows .... '" . . ..... ... ..........•.
Calves ....... ......... . ................ .
~:t:::::::::::::::::::::::::::::::::
January
1934
14.86
4.00
3 .26
2.76
4 .50
3.90
4.26
8.50
January
1933
$5.00
4.60
3.00
2 .60
4.90
3.26
2.50
5.40
Deoember
1933
14 .65
3.00
3 .00
2.50
3.76
3.90
3 .26
6.25
--
MONTHLY BUSINESS REVIEW
4
December, but were less than half those in January a
year ago_
Since the first of the year there has been a stronger demand
for cattle and the market has had a better tone. Prices on
all classes of cattle have been firm to higher. Hog prices
fluctuated within narrow limits during January, but showed
a substantial increase in the first half of February. At the
middle of the month prices paid for the best quality were
approximately $1.35 higher than the low in January. Sheep
and lamb prices advanced sharply with the top market at
the highest level in about three years.
FINANCE
During the four-week period ending
CONDITION OF THE FEDERAL RESERVE BANK
February 7, there was a large increase in
(In theusonds of dellars)
the investments and deposits of member
banks in selected cities, but a further seaFeb. 15,
Feb. 15,
Jan. 15,
1934
1033
1084
sonal decline in loans. Investments in
Total cash reserves .. .. ................... $ 05,163
$ 46,081
• 82,468
United States securities totaled $170,953,000 on February 7,
Discount. for member bankl! . ..... ....... . .
32
440
4,024
Othcr bills discounted ... . .. . . .. ... . .. . . . . .
None
None
617
as compared with $139,541,000 four weeks earlier, and $95,Bills bought in open morket. . . . . . . . . . . . . . .
12,068
10,225
842
United States scourities owned .............
06,475
48,002
66,475
011,000 a year ago. Investments in other stocks and bonds
5
Other investmento.. .. . .. .. .. .. .. .. .. . .. . .
6
5
Total earning assets .. : . . . .. . . . . . .. .. .. .. .
78,580
77,762
showed only small changes during the period. The loans
52,873
Membcr bank reserve depceit. . . . . . . . . .. .. . 110,622
04,443
50,817
of these banks on securities were reduced $1,133,000 between
Fedcral reservo notes in actual eiroulation.. .
41,070
41,470
85,842
Federal reserve bank notes in aotual cireuJanuary 10 and February 7 and "all other" loans (largely
lation. .... ..... ................... . ...
9,080
10,430
Nono
commercial) declined $5,806,000 during the same period.
As compared with a year ago, the total loans of these banks
were $25,284,000 smaller. Their net demand deposits Debits to
Charges to depositors' accounts at ba?ks
amounted to $277,788,000 on February 7, which was $11,- Individual
in leading cities in this district dUrIng
072,000 greater than on January 10, and $57,585,000 larger Accounts
January aggregated $564,,803,000 as c~J/I'
than on February 8, 1933. The time deposits of these banks
pared with $594,394,000 in the precedIng
increased $2,285,000 during the four-week period, but on month, and $468,867,000 in the opening month of 1933. Th~
February 7 were $5,938,000 below those a year ago. Their reduction from December was seasonal, amounting to 5.
reserve deposits with the Federal Reserve Bank totaled $64,,- per cent, and the increase over the same month last year,
180,000 on February 7, which represents a gain of $7,607,000 which amounted to 20.5 per cent, was the largest similar
as compared with January 10 and an increase of $35,567,000 comparison recorded since the current recovery set in.
as compared with the corresponding date last year.
Condition of
Member Banks
in Selected
Cities
DEBITS TO- INDIVIDUAL ACCOUNTS
(In thousands of dellors)
CONDITION STATISTICS OF MEMBER BANKS IN SELECTED CITIES
(In thousands of dollars)
Fob. 7,
1934
United States scourities owned ..... . ....... $ 170,953
All other stocke, bonds, and securities owned.
53,402
Loana on scourities. . .......... . . .........
57,041
All other loona....... . ............. ... ...
137,121
Total loans . .. ... . .. . . .. . . .. . ... .... .. .. .
195,002
Net demand deposit.. . ...................
277,788
Time depceit... . .. .. . . .. . . .. . . .. . . .. . . .. .
124,202
Reserve with Federal Reserve Bank. . . . . .. .
64,180
Bills payahle and rediscount. with Federal
Reserve Bank........... ........ . ... ...
None
Feb.8,
1933
S 05,011
63,766
68,284
152,002
220,346
220,203
130,230
28,013
Jon. 10,
1934
$ 139,541
53,277
50,074
142,027
202,001
206,716
122,007
50,573
20
190
Member bank borrowings at the Federal
Reserve Bank were practically liquidated
during the past month. On February 15
these loans amounted to only $32,000 as
compared with $440,000 a month earlier, and $4,024,000 on
February 15, 1933. Holdings of United States Government
securities showed no change during the month, but the total
on February 15 was $18,473,000 greater than on the corresponding date last year, Investments in bankers' acceptances
totaled $12,068,000 on February 15, as compared with $10,225,000 on January 15, and $84,2,000 on the same date a
year ago. The reserve deposits of member banks showed a
large increase during the past month. The total of these
deposits on February 15 amounted to $110,622,000 which
was $16,179,000 greater than a month earlier, and $59,805,000 larger than a year ago. The actual circulation of
Federal reserve currency showed a further seasonal decline.
The circulation totaled $50,162,000 on February 15, as
against $51,909,000 on January 15, and $35,842,000 on
February 15, 1933.
Operations of
the Federal Reserve Bank
Abilene, . " .... .
Austin ......... .
Beaumont . . .... .
Corsicana ...... .
Dallas ....... .. .
EI Paso ....... ..
Fert Worth ..... .
Galveston ...... .
Heuaton .... .... .
Port Arthur .... .
RoswelL . ...... .
San Antenlo .... .
Shreveport .... , ,
Texarkana· .... .
TuClon .... .... . .
Waco .... ..... .•
Wiohita Falls., ..
January
1034
$ 5,538
17,016
16,594
3,031
162,073
17,457
56,490
28,021
140,250
5,5S0
2,210
47,530
30,29S
5,015
8,037
12,500
10,400
January
1933
$ 4,663
14,403
14,003
2,756
122,484
14,286
41,945
21,587
124,085
4,464
2,130
47,237
21,477
5,304
7,112
10,718
0,163
Percentage
ehange over
year
+18 .8
+17 .4
+ 18 .5
+10 .0
+32 .3
+22.2
34 .7
10 .8
12 .2
i+2U
I
.6
41.0
10.3
13 .0
+16 .6
+13 .5
Deoember
10a3
S 6,214
18,102
16,668
3,084
177,772
17,176
63,333
23,455
150,016
5,364
2,494
45,516
28,204
5,585
7,624
12,884
10,818
Percont.g o
ehango over
month
-10.9
- 6.0
- .4
- 1.7
- 8.8
+ 1.6
-10.8
+ 2.0
- 6.5
+ 3.1
-11.0
+ 4.4
7.1
+ 5.0
5.4
- 8.0
- 3.8
+
+
-
Tetal..... $564,803
1408,867
+20.5
$594,304
- 5.0
·Inolude. figures or two banks In Texarkana, Arkansas, located in the Eighth
Distrlot.
~!
Acceptance
Market
Bankers' acceptances executed by ball o'
in this district and outstanding on Ja? 51
ary 31 totaled $1,822,684, as agaIn 1
$3,058,066 on December 31, and $796,481 on the last d~l
of January, 1933. The decline from the previous month '~c.
seasonal in character, and it occurred in the volume of 801
ceptances based on the domestic shipment and storage
goods.
An increase of $17,260,000 was registere;
in the combined daily average of ~eI
demand and time deposits of rne)1lpC'
banks in this district during January as compared withlilS1 '
cember. The gain over January last year amounted to eJ
061,000. Net demand deposits during the month averag
Deposits 01
Member Banles
011'
MONTHLY BUSINESS REVIEW
DAILY AVERAGE DEPOSITS OF MEMBER BANKS
(T n thousnnds of dollars)
Combined Total
n""ervc City Bnnks
Country Bonks
Nct demand Time Net dcmand Time Net demond Time
deposita deposits dOJlO!lits deposits depOIIits deposits
Jnn.,
Fcb.,
Mnr.,
i\pril,
Mny,
Juno,
July,
Aug .•
Sept.,
Oct.,
Nov .•
Dec.,
Jon.,
1083 . . .... $410,655
1033 ...... 415,200
1033...... 413,776
1088 . ..... 394,700
1033.... .. 304,336
1033...... 305,983
1033... . .. 306,783
1083...... 380,177
1033.. .... 400,507
1033 ...... 436,027
1033..... . 466.108
1038 ..... . 404,176
1034...... 505,900
$194,407
192,412
188,547
186,161
186,506
186,405
191,055
100,031
187,508
186,036
187,047
180,687
102,214
$201,437
100.397
202,276
193,481
101,847
192,306
196.040
101,302
105.145
210,087
228,265
240.071
240,001
$110.215
118,750
115,7:17
113.723
m,lOl
$215,218
215,803
211,500
201,350
202.480
m,oos
200,743
107.876
205,452
225,040
237.933
253,205
250,818
1I ~.300
112,665
110,140
100.264
100,9 14
100,1 82
108,317
20~.587
--
$75,192
73,656
72,810
72.438
73,405
73,015
77,147
78.260
77,362
77.672
81,033
80,555
83,807
5
$505,909,000, as against $416,655,000 a year ago, and average time deposits amounted to $192,214,000 as compared
with $194.,407,000 in January, 1933. Both classifications of
deposits during the past month were substantially larger
than in December.
Savings
Deposits
Reports received from 129 banks in this
district operating savings departments
showed a total of $133,503,999 in savings
deposits at the close of January, as compared with $133,131,518 on December 31, and $137,861,417 on January 31,
1933. The gain during the month amounted to 0.3 per cent,
and the decline from a year ago was 3.2 per cent. Despite
thc reduction as compared with the same date last year, increases occurred at a majority of the reporting cities.
SAVINGS DEPOSITS
Jonuory 31, 1933
,Tonunry 31, IOR4
Number of
reporting
banks
~enumont ..... . ...........
Ei"~:~:::::::::::::::::::
F'Jrt Werth . ..... . .. . •. .. .•
*alvc., ton ............. . ...
P ouston . .... ....... .• .. . ..
sert Arthur ...............
on Antonio .... .....• . ....
~hreveport ................
~oco ...... . ....... . ... ...
I\] ichitn Foils ......... .. ...
I others .•...............
3
O·
2
4
4
U·
2
7
3
13
~l·
Numbcr of
Amount of
Number of
depositors
dCJlO!lita
dcpositors
stwinga
8,101
73,101
10,102
32,427
16,524
65,208
4,822
20,266
21,284
10,412
0,054
50,044
-318,845
--
savings
$ 2,009,843
28,356,477
4,188,375
0,887,742
0,003, 106
27,240,136
1,930,878
14,100,770
10,110,812
5,717,518
2,708,557
21,100,695
sn\,ing8
8,120
74,705
10,615
33,602
16,723
65,904
4,217
20,010
22,218
10,270
5,741
51,332
-323,556
--
December 31, 1033
Amoun~
of
snvinJIB
deJlO!llta
Percentoge ehange
$ 3,039,331
25,610,724
3,428,620
11,422,421
0,737,698
30,401,326
1,841,266
14,206,075
0,523,080
5,551,057
2,200,357
20,707,803
- 1.3
- 8.8
+22 .0
-13.4
+ 2 .6
-10.4
+6.4
.7
+ 6.2
3 .0
18 .3
+ 2. 2
over year in
sovings deposita
t
Total....... . .. . . .
129
Sl33,503,009
$137,861,417
·Only 8 banks in DallM, 10 in Houston, and 70 in "All othors" reportod the number of savings depositors.
-
-
3.2
FEBRUARY DISCOUN'!' RATES
DaUns
llnto charged oustomer. onJrime eommercial paper such os that now eligible for
redisnount undcr the Feral Resorve Act ...................................
R;:to chnrged on loans to othor bnnks seourcd by bills reocivable ................ . ..
te on loans secured by prime stook exohange or etbcr cllrront aollateral (not
inoluding lonns placed ID other markets through eorrespondent hanks):
Dcmand .................. . ............... ............... ...........
n
'rima ........ . ........... . ..........................................
nato chorged on commodity paper secured by warebouse roceipts, etc .... . ...... . .. .
ate on cnttle loans ............... . ........ ..... . ..... . ................ . .....
Number of
savings
depositors
Amount of
dcpo/Ilts
Percentago ahange
over month in
savings deposita
8,102
72,749
0,872
31,598
16,480
64,382
4,698
10,840
21,220
10,402
5,579
50,030
$ 3,019,886
23,019,640
4,120,784
10,130,024
0,932,045
27,375,134
1,020,570
14,030,139
0,035,137
5,831,655
2,541.607
20,673,088
+1.5
- 2 .4
+ .6
.5
+ 1.0
+ 1.2
+ 1.8
- 2.0
6.6
2.4
314,967
$133,131,518
+
lavin~s
--1.1.7
-
t
.3
Prevailing rates:
EI Paso
Fort Worth
Houston
San Antonio
Waco
5-6
6-8
5-6
3-8
6
5-7
6-6
5-7
6
5~
5-8
5-8
2%-7
6-8
8-8
6-8
8
6-8
5-10
5-10
6-8
6-10
6-7
5-7
5-7
7-10
6-8
6-8
6-8
7-10
6-8
6-8
5-6
8
2~7
3-6
INDUSTRY
~ottonseed
Although receipts of seed at Texas cottonseed oil mills reflected an unusually
large seasonal decline during January,
c~UShings and the production of all products turned upward,
~(ter a three months decline, and evidenced appreciable
1llcreases over those activities in both the previous month
~Ild the corresponding month last year. Despite the January
:hcreases, total operations during the present season, with
fe exception of the output of linters, remained below those
o the preceding season.
roducts
!I).The production of oil and seed receipts at cottonseed oil
i Ills throughout the United States evidenced declines durthl; January as compared with both the previous month and
ill e like month a year ago, but all other operations reflected
uCl'eases over the two comparative months. Excepting linters,
1:at ions at these mills during the current season evidenced
o~thnes similar to those of Texas mills. Stocks of cottonseed
1 on hand January 31 were larger at both Texas and United
le
States mills than on either the last day of the previous month
or on the same date a year ago, while stocks of all other
products showed reductions as compared with both dates.
STATISTICS ON COTTONSEED AND COTTONSEED PRODUCTS
Tcxos
United States
August 1 to January 31 August 1 to January 31
This senson Last scnaon This scnaon Lost scnaon
Cottonseed received at mills
(tons) .....................
1,214,112
1,202,248
3,696,438
3,920,061
Cottonseed erushed (tons) ...• •
905,330
1,010,776
2,800,584
3,019,055
Cottenseed en hand Jan. 31
(tons) .....................
348,085
456,740
1,020,702
1,200,280
Crudo oil produced (pounds) ... 283,853,007 302,556,215 859,4 10,575 031,986.439
Cake nnd menl ~roduced (toos)
447,956
407.767
1.300,876
1,362.244
Bulls produced tons) .........
207,049
295,296
778,823
853,500
Linters produced (running
bnles) . .......... ....... . . .
156,9S8
120,252
528,092
477,212
Stocks on hand Jon 31:
Crude oil (pounde) ...•.•.••• . 46,710,347 33,722,523 147,323,382 100,510,038
Cake nnd mcal (tons) ...• . . ' "
70,037
87,388
280,538
344,003
Bulls (tons) ................ .
47,710
73,012
105,555
175.618
Linters (running hahlS) .• . .. . . .
42,592
88,979
160,045
290,181
MONTHLY BUSINESS REVIEW
6
Following a large decline in December,
the domestic consumption of cotton at all
United States textile mills turned sharply
upward in January, and reflected a larger than seasonal increase of 45.8 per cent over the previous month. Consumption was also 8.1 per cent above that in January, 1933. There
were 508,034 bales of cotton consumed during the past
month, as compared with 348,393 bales in December, and
470,182 bales in the first month of 1933. During the current
cotton season, August 1 through January 31, there were
2,923,724 bales of cotton manufactured into cloth, which
represents an increase of 4 per cent over that in the corre·
sponding period of the preceding season. Stocks of raw
cotton held by manufacturing establishments on January 31
were in smaller volume than a month earlier, but remained
larger than on the same date a year earlier.
Textile
Milling
Operations at Texas cotton textile mills during January
also evidenced substantial increases over both the previous
month and the same month last year. Increases were shown
in the consumption of cotton and production of cloth, as
well as in the demand for finished products as reflected by
orders on hand at the end of the month. Stocks of finished
products held on January 31 were less than those on hand
December 31, but larger than the holdings on the same date
of 1933.
COTTON CONSUMED AND ON HAND
(B.les)
Cotton-growlng states:
Cotton consumed ..... ... ...
On band Janu.ry 31 inConsuming establishments.
Public storage and compresses ................
United States:
Cotton consumed ........•..
On hand January 31 inConsuming establishment•.
Public .torago and compresses ................
January
1934
January
1933
406,343
390,908
608,034
470,182
August 1 to January 31
Tbis season Last 8eason
2,339,420
ary, 1933. Exports during the first half of the 1933·34 cotton
year totaled 4,919,450 bales, as compared with 5,039,71 4
bales in the same period of the previous season.
COTTON MOVEMENTS THROUGH TIm PORT OF GALVESTON
(Bales)
Reooipte ................... .
Exports ..... .. .. . .......... .
Stocks, January 31. .. ...... . .
January
1084
190,450
270,047
January
19S3
193,731
223,133
August I to
This SCB80n
1,748,012
1,361,654
821,855
January 81
Last .eason
1,054,407
1,257,130
850,537
COTTON-GALVESTON STOCK STATEMENT
(Bales)
For Grent Britain ................................... .
For Franco .. ............ ......... ................. ..
For other foroign ports ............................... .
For coastwi.e ports .............•.....•...........•.. .
In compresses and depots .. .................. . ....... . .
Jan. 81,
1034
11,000
6,500
42,000
3,000
758,855
Total ................................. ..
821,355
Jan.3l,
1033
12,000
5,000
33,500
500
808,537
-
850,537
COTTON MOVEMENTS THROUGH THE PORT OF HOUSTON
(Bales)
Receipts .................... .
Exporto ....... ............ . .
Stocks, January 31. ......... .
Janu.ry
1984
128,620
274,614
January
1033
307,203
237,876
Augu.t I to
'l'his .eason
1,082,075
1,707,651
1,418,088
January 31
Last .cas on
2,273,24 3
1,495,5 S0
1,840,1 74
2,350,830
1,254,754
1,203,047
9,117,603
0,523,638
2,923,724
2,812,187
1,602,044
1,400,120
0,500,015
10,020,533
Although the exports of cotton from the
port of Galveston during the initial
month of 1934 reflected another decline
as compared with the preceding month, the recession was
considerably smaller than seasonal, and shipments evidenced
a material increase over those in the first month of 1933.
Exports from Houston in January were in excess of those
in both the previous month and the corresponding month
last year. Shipments during the current season continued
in larger volume at both ports than those in the period from
August 1 to January 31 of last season. Receipts of cotton
during January at these two concentration points evidenced
further seasonal declines and were also smaller than in
January, 1933. Stocks of cotton at both Houston and Galveston were in smaller volume than those a month earlier or a
year ago.
Cotton
Movements
Despite the favorable showing in exports of cotton from
Texas ports, aggregate shipments from all United States
ports evidenced a large seasonal decline during January,
and continued below those in the corresponding month of
the previous year. There were only 739,352 bales of cotton
shipped to foreign countries during the month, as compared
with 820,099 bales in December, and 793,666 bales in Janu·
SEASON'S RECEIPTS, EXPORTS, AND STOOKS OF COTTON AT ALL
UNITED STATES PORT8-(B.les)
----------------------------~------------~--Augu.t 1 to J.nuary 31
Receipts ............................................ .
Exports: United Kingdon ............................ .
Franco ..•....................•.............
Italy .................... . ....... ... . ...... .
Germ.ny ................................. ..
Other Europe . ....• • ........•...........•...
J.p.n ..................................... .
All other countries .......................... .
Total foreignports ....... ... . .. ..... . ... ..... .. .... ..
Stocks at all United St.tes ports, J.nuary 31 ..... ...•...
This .eason Last .... on
6,169,874
6,729,814
851,557
874,08 4
583,820
580,785
462,896
426 364
,
1100,801
013,627
'677,667
621,850
1112,128
1,185.550
'337,424
Sa9,717
4,019,450
5,039,714
3,787,115
4,764,189
SPOT COTTON PRICE8-(Middling Bnsis)
(Conts pcr pound)
------------------------~--------------------Feb.15,
J.nunry, 1084
NewYork ............................. ..
New Orlenns .... . ....................... .
D.Uas ................................. .
Hou.ton ................................ .
Galveston .............................. .
High
II.75
11.42
II.05
II.40
11 .40
Low
10.4.
10.29
10.00
10.ao
10.35
1934
12.45
12.20
11.8.
12.16
12 .20
h' dis'
The production of crude oil in ~ IS apll'
trict totaled 29,6440,950 barrels 10 J ber
ary, reflecting a decline of 75,600 barrels from Decem itb
but an expansion of 4,94.0,250 barrels as compar~ d \V"tb e
January last year. Drilling was more active dunng of
month, as evidenced by the completion of 836 neW weIl 4,'
which 636 were producers, with an initial output of
ted,
008 barrels. In the previous month 776 wells were comp eels;
of which 583 were successful, yielding 2,593,894 barr
Petroleum
;6
2i
-------------------~~~~~~~~~===--------------------
MONTHLY BUSINESS REVIEW
?nd in January a year ago there were 623 completions, which
Included 452 producing wells with an initial flush production
alllounting to 2,235,531 barrels.
JANUARY DRILLING RESULTS
( While the daily average output of fields in Texas declined
rom 890,724 barrels in December to 887,060 barrels in
January, the reduction occurred chiefly in East Texas and
appreciable gains were reported for the Central West, South,
nnd Gulf Coastal regions of the State. As compared with
~alluary, 1933, there was an increase of 151,105 barrels. In
ew Mexico the daily average yield during January was
reduced moderately from the previous month but was sizably
arger than a year ago; daily production in North Louisiana
\Vas substantially larger than in December but remained at
a lower level than in the same month last year.
North TexM ...............
Contral Weat '1'OXM ....•. . ..
East TexM ............ . ...
South Texas ...... .........
'1'oxos COMtal .. ............
Total 1'oxns ..••...
New Mexico.. .. ...........
North Louisiano .... .. .. ....
Jan., 1034, tot.ls, Distriot ..•
Deo., 1038, tot.ls, Distriot ..
Produeer.
Ona
well.
141
75
350
119
98
85
46
342
71
70
3
2
2
6
3
53
27
15
42
25
10,411
74,755
2,578,370
17,760
66,575
10
4
1
5
5,530
776
583
20
173
2,503,804
-614- ---2,753,880
702
16
102
12
4,508
18
4
84
----2,764,008
179
21
830
636
Tox.. COMt.1 (3410' .nd above) .......................
North TelM and orth Louisiana (40 gr.•nd obove) .....
Inorense or deorease over
December. 1033
Total
Doily Avg.
~ortb Tel.B ............... ,. 3,054,400
Eontral Weat TOlna........... 4.504,700
~~tb\OXM. . . ............... 13,510,600
T
relas .. ........ .. . .. . . 1,374,000
ous COMlal................ 4,064,250
08,529
148,216
435,826
44,352
160.137
- 18,150
+116,000
-202,800
+ 51,850
+ 28,600
- 586
+3,771
-0,445
+1,673
+ 923
N
Total TeIM. . . .. .. .. 27,408,850
NOW Mexioo.. ............ ... 1,202,000
orlb Louisi.no....... . ... .. .
853,200
887,060
41,706
27,523
-U3,600
- 10,750
+ 48,750
-8,664
- 347
+1,573
Tot.1 Distriot........ 29,644,050
056,280
-
75,600
-2,438
Initi.1
produotlon
Fallurea
CRUDE OIL PRICES
OIL PRODUCTTON-(Borrels)
January. 1034
Doily Avg,
Totol
ComploUon.
Feb. 9,
Feb. 10,
1034
$1.12
1.63
1088
$ .62
.52
(Oil alatlstics compiled by "The Oil Weekly," Rouslon, TOlna)
Building
The valuation of construction permits
issued during January at principal cities
in the Eleventh District, while 4.6 per cent less than in December, exceeded that of the same month a year ago by 5_6
per cent. The total for the fourteen reporting cities amounted
to $760,294 as against $797,213 in the preceding month, and
$719,736 in January, 1933. The number of building permits
reported was larger than in either comparative month.
BUILDING PERMITS
January, 1034
No.
~~!il:o~t'::::::::::::::::::::::::::::::::::::: ::::::::::::
n~traus
Christi. ........................................... .
Il.iii:iiiiit:
22
60
67
10
377
35
70
05
127
26
100
00
15
7
I Valuation
$ 62,854
30,788
10,550
62,924
172,773
23,136
57,420
20,872
160,425
0,814
60,447
39,819
26,147
13,325
January, 1933
Valu.tion
No.
$ 15,511
50,624
0,278
3,800
170,006
10,269
85,400
20,130
258,547
4,005
48,841
15,114
25,366
1,945
13
85
56
17
277
28
06
74
162
25
120
77
25
23
-----1--------1----1,078
$710,736
Peroontago obango
valuation
over year
+305 .2
- a9.2
+ 13 . 7
*
+ 1.6
+126.3
- 32.8
+ 8.7
- 38.0
:):100 . 1
42.2
+163.4
:): 3.1
585.1
+ 6.6
Deoember, 1938
No.
Valuation
17
36
67
13
238
24
(
$ U21
27,a56
00,661
7,710
109,039
48,498
70,184
74,086
281,722
9,648
a2,776
25,551
13,067
1,500
83fi
5797,213
66
86
117
41
80
66
11
Pereentage obango
valuation
over montb
+ 12.6
- 88.4
+716 . 1
+ 58.6
- 52.3
- 18.2
- 71.8
- 4a.1
+ 1.8
flU
55.8
87.2
788 .3
4.6
*IncrclUlc ov~r ono thoua.nd per cont.
Cement
Although activity during January at
Portland cement ~ills in Tex~s sho~ed a
t ~el'lal expansion over the precedmg month, It contmued
1~5 e on a smaller scale than a year ago. Production totaled
c. ,000 barrels, as compared with 151,000 barrels in Deo~lllber, and 255,000 barrels in January, 1933. The volume
00 shipments amounted to 264,000 barrels, as against 222,th 0 barrels in the previous month, and 285,000 barrels in
(t e same month last year. Total stocks on hand were reduced
om 557,000 barrels at the close of December to 484,000
ll) .
•
barrels on January 31, and on the latter date were one-fourth
smaller than a year ago.
PRODUCTION, SHIPMENTS, AND STOCKS OF PORTLAND CEMENT
(In thous.nds of b.rrels)
J.nuary
1934
Produotlon at Texaa mills ............... ..
Shipments from '1'oxns mills ...........•. ..
Stooks at end of montll at TOIIIS mills ..... .
195
264
484
Peroentage ebange from
J.nuary
December
1088
-23.6
- 7.4
-25.1
1933
+20.1
+18 .0
-13.1
SUMMARY OF NATIONAL BUSINESS CONDITIONS
(Com,piled by the Federal Reserve Board. February 24. 1984)
th VOlume of industrial production increased by more than
b
~ USual seasonal amount in January and the early part of
e rUaty. The general level of wholesale commodity prices,
after showing relatively little change during the last five
months of 1933, advanced considerably after the turn of
the year.
08------------------~~~~~==~====------------------
MONTHLY BUSINESS REVIEW
------------------~~==~~~---------------PRODUCTION AND EMPLOYMENT
Output of factories and mines, as measured by the Federal
Reserve Board's seasonally adjusted index of industrial
production, advanced from 75 per cent of the 1923·1925 avera~e in December to 78 per cent in January. This compares
WIth a recent low level of 72 per cent in November and a
level of 65 per cent in January, 1933. The January advance
reflected chiefly increases of more than the usual seasonal
amount in the textile, meat packing, automobile, and anthracite coal industries. Activity at cotton mills, which had
reached an unusually high level in the summer of 1933 and
had declined sharply in the latter part of the year, showed
a substantial increase in January. Output of automobiles
also increased by more than the usual seasonal amount
while activity in the steel industry showed little change fol:
lowing a non-seasonal increase in December. In the first half
of February there was a further growth in output at automobile factories, and activity at steel mills showed a substantial increase. Factory payrolls, which usually decline
considerably at this season, showed little change between
the middle of December and the middle of January while
factory employment declined by about the usual seasonal
amount. There were substantial increases in employment and
payrolls in the automobile, hardware, shoe, and women's
clothing industries, while decreases, partly of a seasonal
character, were reported for the hosiery, tobacco, furniture,
and lumber industries. Value of construction contracts, as
reported by the F. W. Dodge Corporation, showed a decline
in J~nu~ry and t~e first half of February, following substantIal Increases In the latter part of 1933. As in other recent months, public works made up a large part of the total.
DISTRIBUTION
Freight traffic increased in January by more than the usual
seasonal amount, reflecting larger shipments of coal and
merchandise. Sales by department stores showed the usual
seasonal decline after the holiday trade.
DOLLAR EXCHANGE
The foreign exchange value of the dollar in relation to
gold currencies, which in January had fluctuated around 63
per cent of par, declined after January 31 to slightly above
its new parity of 59.06 per cent.
PRICES
Wholesale commodity prices showed a general increase
between the third week of December and the third week of
February and the weekly index of the Bureau of Labor Statistics advanced from 70.4. per cent of the 1926 average to
73.7 per cent. There were substantial increases in livestock
prices; wool continued to advance; and cotton reached a
level higher than at any other time since 1930. Scrap steel
advanced to about the level prevailing in the summer of
1933.
BANK CREDIT
As a consequence of the reduction on January 31 of the
weight of the gold dollar, together with subsequent impor~s
of gold from abroad, the dollar amount of the country 8
stock of monetary gold increased from $4,035,000,000 on
January 17 to $7,089,000,000 on February 14, about $3,000,
000,000 of this increase being reflected in a growth of. the
cash held by the Treasury, which includes gold bulhon.
Notwithstanding a further reduction in discounts for member
banks in acceptance holdings of the reserve banks, mernb~r
banks' reserve balances increased moderately during thIS
period, reflecting gold imports, a return of currency from
circulation, and a reduction in United States Government
deposits with the reserve banks. In the middle of Februar1
these balances were more than $900000
, ,000 above legas
reserve requirements. At reporting member banks there wa
a growth between January 17 and February l4. of more than
$600,000,000 in holdings of United States Government
securities and of more than $500,000,000 in United States
Government deposits, reflecting Treasury financing. LoanJ
on securities and all other loans increased slightly an
bankers' balances showed a substantial growth. Short-teer
money rates in the open market remained at low levels.
February 2, the Federal Reserve Bank of New York redu~e
its discount rate from 2 per cent to 1% per cent, and dUrIdg
the succeeding two weeks reductions of Y2 per cent were rna. e
at the Federal Reserve Banks of Cleveland Boston, St. LOUIS,
Dallas, Richmond, Kansas City, Atlanta, ~nd San FrancisCO.
d
@FedFRASER