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September 15, 1928)
,
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Volume 13, No. 8
Dallas, Texas, October 1, 1928
This copy is released for publication in morning papers
September 29
DISTRICT SUMMARY
~111"11"""""I1""""I"""""IIIIIIIIII"IIIII"'III""IIIIIII'IIIIIIIIII"1I1I1I1I1I 1II1II1I1I1I1I1I1I1I1II1I1I1U"UIIIIIIIIIIIIIIIIIIIII1II1II1I1II1U"'III1UItUIIIIIIIIII11I1I1I1I.UIlIl ...... I ............ I ...... 1I1I11I11I11I1111111
E
;;
I
THE SITUATION AT A GLANCE
Eleven th Federal Reserve District
$8~9~~~:~000 $79:.~!ro. 000 Inc~nc. De~·.2
Bank debits to individual accounts (at 17 cities) _______________________________________________ __________
: DepRl'tmont store salcs __ __ __ _________ .____ .______________ ._________ ·__ ··__ ·_______ ·__ ·· __ ·______________ ·--.-------.------.--------.---------.----------------..
:: Reserve Bank loans to member banks at end of month. __ .____________ .__ .______________________________________ .. ______ .__ ._.. __ .. __ .
E Reserve Bank ratio at end of month ____ .. __ .__ .. ________ ... ________ _______ .. __ .... __ .. __ .. __ .__ .... __ ................ _... __ ... _........_....... __
$ 80.544.230
47.1 %
Inc.
$ 25.965.605
Inc.
64.6% Dec.
:: Oil production (barrels ) ...................... __ .........____ ..........________ ........................................... __ .. __ ... _.. ____ ............... __ ........
:: Lumber orders at pine mills (per cent of normal production) .... __ .. __ ............................ __ .. _.... __ ..... __..........
: 22.186.450
8.:::::~~
: :::::::n
107 %
i g~fE:f~~rri11~~~t\1f~Nr~~~~~·~;:~:~::~~~~:~:~: : : : : : : : : : ::~::::::::=:::: : : : : : : : : : : : : :: : : : : : : : : =: :=::=::::=~
8
or
g~!:
28.166.700
Dec.
104 % Inc.
I!l
§
;;
I
%
10.5 % ::
17.6 % ::
7.4 points ::
~H ~ !
4.4 % ::
8.0 points §
)11 .. 1111 .. 111111 ... 11111111111 .. 1111 .... 1111111 ........... 11111 ..... 111111 .... 1111 ...... 11."1111111111 .. 1111111 ... '" ........ 1 .... 111111111 ........ 1 .... 1111111111 .... 11 ..... 1111111I1 .............. I ............. UIlIlIlIlIIIIlIl ..... UIlIlIU .. UIlIID
The August volume of merchandise distribution in both the number of failures and the amount of indebtedness inwholesale and retail channels reflected a substantial im· volved reflected a sharp decline from the previous month
provement. The sales of department stores in larger cities and were smaller than a year ago.
Were 11 per cent larger than a month earlier and were
Unfavorable weather conditions prevailing during the
slightly larger than a year ago. Distribution at wholesale past thirty days have reduced the prospects for the district's
showed a large seasonal increase as compared to the previ- agricultural production, yet the current forecasts, which
ous month and was substantially larger than in the corre· indicate that the production of most crops will exceed the
sponding month last year. While conservatism is still the good yields of a year ago, augur well for business during
ruling policy: of merchants, there is an undertone of confi- the coming months. The yield of feed crops, which are
dence in the soundness of business and evidence is accumu- practically matured, is good in most sections of the district
lating that the volume of trade will be well sustained during
d
the fall. Debits to individual accounts were 3 per cent an farmers generally are assured of an ample supply of
larger than a month earlier and exceeded those of a year feed with which to make 1929 crops. The production of
b
most minor crops has also been good and is serving to
augment the farmers income. Despite the fact that the
ago y 8 per cent.
. While banking conditions in the Southwest continue gen- farmers' net equity in this year's crops has been reduced by
erally
sound, it must be borne in mind that the credit situa- t h e h ig Iler production costs caused by excessive replanting
.
~IOn is being seriously affected by the abnormal conditions operations, the volume of purchasing power should be sus.
In the Eastern money and stock market.
A substantial tained at or above the level of the past year.
amount of the district's funds is being employed in the call
While the lack of moisture has caused a considerable
market in New York and there is a marked trend. toward
the. centralization of financing by large So·u thwestem corpo- deterioration of ranges in some portions of the district, the
ratIOns in this district. Many of these concerns which ordi- physical condition of both ranges and livestock in the major
narily obtain their working funds in the East, either directly grazing areas has been steadily improving and the outlook
from New York banks or through borrowing in the open for fall and winter pasturage is good. Trading on the
market, are now turning to their local banks for funds due ranges has been active and the scarcity of cattle is sustainto the high level of interest rates prevailing in the North ing prices at a high level.
and East. This situation has created a strong demand for
The volume of building operations, as reflected by the
funds at the Federal Reserve Bank of Dallas whose loans valuations of permits issued at principal cities, showed a
to member banks reached a seasonal peak of $32,74,6,613 on gain of 41 per cent over the previous month but was 13 per
August 24,th, as against $16,079,113 in 1927. Since the cent less than a year ago. The production, shipments, and
cotton crop has begun to move in volume, however, these new orders for lumber exceeded those of the previous month
loans are showing a substantial reduction.
and were substantially larger than last year. The producThe past month witnessed a substantial improvement in tion and shipments of cement also showed a large gain
the business mortality rate in the Eleventh District. Both over a year ago.
CROP CONDITIONS
Weather conditions over a large area of the district have days. Considerable deterioration has taken place in some
been unfavo·r able to growing crops during the past thirty of the crops but with the exception of corn and oats, the
This publication was digitized and made available by the Federal Reserve Bank of Dallas' Historical Library (FedHistory@dal.frb.org)
2
MONTHLY BUSINESS REVIEW
production of all major field crops will exceed that during
the previous year.
The Department of Agriculture estimated the condition
of the cotton crop in Texas, as of September 1, as 61 per
cent of normal, which indicated a production of 5,100,000
bales, but the crop has deteriorated somewhat since that
date. The condition of the crop showed rapid improvement
during the early part of August but toward the middle of
the month the crop began to deteriorate due to the hot, dry
winds over a large portion of the older cotton territory.
Root rot has spread very rapidly in practically all sections
of the State except Northwest, West, and West Center. The
boll worms, boll weevils, and in some sections the cotton
hopper and leaf worms, have done considerable damage and
may tend to reduce further the prospects of this year's production. Furthermore, the dry weather over a very large
area has caused premature opening of the bolls which is
also reducing earlier expectations. The cotton in all of the
older coLton territory is opening very rapidly and should
rainy weather set in it would mean that there would be a
large amount of low grade cotton this year. Ginnings in
Texas prior to September 1, were 842,654, bales as against
925,960 bales in 1927. The crop in North Louisiana and
Southeastern Oklahoma has likewise shown a considerable
deterioration due to dry weather and insect activity.
While the earlier prospects for feed crops have been reo
duced somewhat, most sections will produce a sufficient
supply of next year's needs. The corn crop in Texas on
the basis of the 74 per cent condition on September 1, indi-
cates a yield of 101,871,000 bushels as compared to' 104,.
724,,000 bushels a month earlier and 119,347,000 bushels in
1927. The crop has been helped in the Northwest section
by the frequent rains but the lack of moisture and h6t winds
have reduced earlier prospects> of the young crop in other
sections of the State. Grain sorghums in Texas promise a
yield of only 51,274,;000 bushels as against prospects of
64.,344,000 bushels on August 1. In some portions of
Northwest Texas, the crop has been damaged by too much
rain while elsewhere it has been affected by the dry weather.
Corn and sorghum crops in New Mexico are reported to be
in fair to good condition. Tame hay crops showed rapid
deterioration during the latter part of August but rains in
some of the drier areas have improved the situation somewhat. Condition of the crop is reported as 79 per cent of
normal on September 1, which indicates a yield of 1,173,000
tons as against a production of 1,013,000 tons last year.
Reports indicate that the production of all major feed crops
in Louisiana will show a substantial increase over that in
1927.
The sowing of fall wheat has begun in the Northwest
portion of Texas and prospects are that the acreage seeded
this year will exceed the 2,629,000 acres sown last fall.
Weather conditions generally have been very favorable for
the wheat land preparation and early seeding operations.
No change was reported in the condition of the Texas
rice crop which indicated a production of 6,092,000 bushels.
While the yield per acre in some sections was reduced some.
what by the water shortage in July and August, the yield
in other sections is turning out well.
LIVESTOCK
The general condition of ranges and livestock in the Movements
The receipts of cattle and sheep at the
Eleventh Federal Reserve District was well sustained dur- and Prices
Fort Worth market showed a loss as com·
ing August but deterioration is noticeable in some sections
pared to the previous month but were
due to dry weather. In Northwest, West, and West Center larger than a year ago. The arrivals of calves, while sub.
Texas, New Mexico, and Southeastern Arizona, conditions stantially larger . than in the previous month were slightly
are fair to excellent, with ranges in some sections in a smaller than in August, 1927. The receipts of hogs were
better condition than in many years. In this area rains larger than in the previous month or the same month last
have been plentiful, grass has grown rapidly and there is year.
an ample supply of stock water. Pasturage will be sufThe cattle market followed an uneven course during
ficient in most of these sections to carry the stock through
the winter. In the South and Coast sections of Texas, August but the general trend of prices was upward. To·
ranges are very dry, grass is short and stock water is low. ward the middle of the month beef steer prices reached
In these sections prospects for winter pasturage are very $14,.00, the highest price paid in recent months. During the
poor but reports indicate that there is sufficient feed avail- greater part of the month, the demand for cattle was good
able for stock on hand. Cattle are being sold off very and all choice arrivals cleared to a good advantage. The
closely due to the poor condition of the ranges. While more hog market reflected an upward trend during August and
rain is needed in most portions of East and Central Texas ':1'.11111.111'1.111 •• '1.111 ••• ,1111,.,111,.".,11,., ••• ""1 ••• 11"""""""'.1"'1111111""11., •• 1.111,,1 • • IIIII.,l lm
FORT WORTH LIVESTOCK RECEIPl1S
T
to provide adequate fall and winter feed, hay and feed crops ;;
§
August
August
Loss
or
July
Loss
01'
I'
generally are plentiful in those localities where rain has
::
1928
1927
Gain
1928
Gain
been sufficient. In those sections where range conditions i Cattle ...................... 84,765 80,877 G 4,888 92,965
L 8.200 •
Calves ...................... 40,824
42,698
L 1,774
34,389
G 6,435 :
are good, there is an active demand for all classes of live- ::: Hogs
........................ 25,955
18,322
G 7,683
24,484
G 1 471 "
stock and the market continues strong. Surplus cattle gen- : Sheep ...................... 29,288 22,872
G 6,866
86,214
L 6;976 ~
erally are scarce and all offerings are finding a ready mar·
keto In the drier sections; although prices are generally
good, trading has been inactive.
The condition of cattle ranges in Texas on September 1st
was 86 per cent of normal as compared to 87 per cent a
Stocker steel'S .............................................. 18.00
9.00
$g:9. ~~75
month earlier and 82 per cent a year ago. The condition
Butcher cows .............................................. 9.85
6.75
of sheep and goat ranges which was 87 per cent of normal
Stockel' cows ..............................._............. 8.00
6.00
8.50
Calves ............................................................ 18.00
12.50
18.75
on September 1st was 3 points higher than in the previous
Hogs .............................................................. 12.25
11.1 0
11.80
SheePb ...... _..................................................... 194. 00
8.00
8. 75 ~
month and 6 points above that of a year ago. The con·
• L am s .......................... .................... -...........
.50
12.00
14.75 ::
dition of livestock showed no change during the month.
G]11 •• ,I •••••••• II •••• I •••• I ••••••••••• IIUIIII . I ••••••••••• 111".1.1.111 ••• 1111 •• 1111.111 •••• 11.1.11 ••• 11 ••• , •• 111""'.0
,-, ........ 111 .. '.11 .. 111111 .. 1111 ........ 11 ............ 111111 ...... 111111 ..................................... 11.111111.'[3
.. ,.~" C:~. A~~~=~:~:'Vi~K p;;:,
I:J:
~: i.
(!JII •••••• I •• I ............................................... 1., ••• " •••• 11· .. •• .. ··, •••••••••••••••••• 111111 •• ,.'1,.1"'8
S'
MONTHLY BUSINESS REVIEW
the first half of September, the net increase being approximately $1.00. The sheep and lamb market remained generally steady.
tion of cotton which amounted to 526,729 bales in August
was 31 per cent larger than in July but fell 24 per cent
below August, 1927.
M..""I ............ nM ............. n .....
B
0···,1.111.,1 •••• ,1 •• , •• 111.' ••••••• 1.1.,1.111.,1 ........ 11 ........
Cotton
Movements
There was a seasonal increase in receipts
of cotton at the ports of Houston and
Galveston during August as compared to
the previous month but they were considerably smaller than
· f rom JuIy,
a year ago. ExpoTts reflected a sIlarp dec1me
although the shipments from Galveston were slightly larger
than in August last year. Exports from all United States
ports were materially smaller than in either the previous
month or the same month last year. The domestic consump-
COTTON MOVEMENTS THROUGH 'PBE PORT OF HOUSTON
Aug ust
1928
Receipts ---- -------- 117,101
Exports ___ __ ________ _ 67,817
Stocks, August 81 ---------8
COT'I1ON MOVEMENTS THROUGH THE PORT OF GALVESTON
August
Aug ust
1928
1927
100,661
56,212
n- - ts
-:=::
:_
__
E~~~~ts
S
-------------- ~~'m
---------------- ,
tocks, August 81 ----------
August 1 to Augus t 81
This Season
72,597
57,971
98,212
L ast Season
100,661
56,212
190,478
a
§
K
'J" ••
E
§E_
Exports : Great Britsin ---------------____________ __ ______ _ 37,645
F r ance ________ ____ ________ _______ ____ ___________________ 22,266
- -2
Continent -------------------------------------------- 155, 405
J:ap an- China ------------------------------------ 47,279
Mexico ---:------------------------------------------100
Tota l foreign ports ____ _______ ________ ______ __ _ 262,585
Stocks at all Uni ted States ports, August 81 475,228
-190,478
::) rlllllllll •• 11111111111111111111111111111111111111111.111 ••• 111111111111111111.111111111111 •••• 1 ••• 111.111.III ••••• I •••
i
a:;
W
I
§
Cotton consumed ____ ___ ______________________ __ ________ _________________ _____ ____ __
(a) In consuming estllblishments___ _______ __ __ _______ ________
(b) In public s torage and compresses_______ _______________ __
:
tEl
________ ____
_________
__________
_______
I
§
:
:
:§
STATISTICS ON CO'IYl'ONSEED AND COTTONSEED
PRODUCTS
AUgUS~Tt":~S,;;ust Au;~;~t~: !~a:~:~l
31
:--:!__
Cotto nsced received This Season Last Season This Season Last Season
attotmi\)s (tons ) ____ 160,649'
185,575
169,498
275,505
C0 nseed crus hed
E
co~t~~~~ed---o--n----h--a--n--d--- 65,288
96,679
73,795
159,856 S
(
Cru~~~i\
-P;:~d~~~d-
108,458
122,927
i:
117,484
205,483
:~
46,157,477 ~
•
72,264 g
45,384 i._=
C (IPounds ) -----------a {e and mea l pro~ a dNced (tons )________
i:_:
~ s produced(tons )
Lmter s produced
:__
(running bales ) __
Stocks on hand
20,863,4351
13,948
24 ,789 ~
•
_____________
:: a a If and m eal (tons ) -----------§ L~t:l";tg~~ni-;;g----- -----------bl\les ) ____ ____ __________ ___ __ _______
15,845,918
19,794
26,601
40,108
25,785,886
44,142 ~
146,084 i
28,658 i
84 ,760
20,497
~ grtd:;~flt (~~~ndS)
&:
"'1_
.~
::
••• " •• 11 •••• "111111'00
_=~
UNITED STATES
August 1 to Augus t 81
428,605
1,088,949
670.421
1,866,166
____ ___ ____ _
_____ _______
___ ____ ___ __
____ ___ ____
782,068
1,188, 861
___ ______ ___
§
..... " ... 111 ............................... 111 .......................... 1111 ........................ , ........ u ......
~
1iI
II
1,120,784
2,172,94 5
11' •• 1"11.11'.111111 ••• 11111 •• 1"111111"11111 •• 1.11.1".111.1111,.1""""1,,1.1111111 •• 1, •••• 111 ••• 1 .. 1 ••• II •• IIIIII.U" ••••• II""".I.I.II •• I"II.II"' •••• I ••• ,.' ••• ,.1.1 •••• ,.1.'.1.1., ••••• 11.1 .... "1."1111.111111.11 •••••••••••• '.11 .......
A·.I.I··· ••••••••••• 'II.I ••••• ' ••••• , •••••••••• "I ..................... 1.1' .. " ................... 1...... ." ........... .[;)
~:
16_91
16.4 0
17 _05
17_20
:~~: ~:~::t S4~~~8 ~~:.~~o :2~~!!: d:~1~:t i~~~9 ~:~i~o
COTTONSEED PRODUCTS
The movement of cottonseed is increasing very rapidly
and a large percentage of the cottonseed oil mills in the
Southwest have resumed crushing operations. There were
160,64,9 tons received at Texas mills during August as compared to 23,923 tons in July and 185,575 tons in August,
1927. From the attached table it will be noted that most
of the receipts and crushing shown for United States mills
during August this year was at Texas mills, while a year
ago such was not the case as the cotton crop in other states
:
New Orleans ______ ____ _____ _______ ______ _______ ____ _ 20_16
18_27
Dallas ____ _______ __ __ ____________ ___ ______ _____________ ____ ___ 19045
17.60
Houston ______ ____ ______________________ ____ ______ _____ __ ___ 19_75
18_10
E Ga lves ton -------------------------------------______ _____ 20_10
18.15
E
~1 1 ...... ' ••••• III., •••• I ••• I •••••• IIIII •• I.' •• ' I ' ... "'1 .111 •• • •••••••••••••• '11.,1'1 •••• 1••• 111"
~::.
COTTON GROWING STATES
August 1 to August 31
E Cotton on hand Au gus t 31
i
[!].UIIIl.UI ... IIIIII ......... III .. IIIII .... III ....... II'NIIIIIIIU .... UIU ...... U ..... 1III1II1IUUIIIIIIIIIIIIUlllr[!]
COTTON CONSUMED AND ON HAND
~
!
811111111111111, ••• 111.1111 •• 111111111.,.111111, •••• 111111.11111111"'1"1'11111.1 11"1111111'1.111"1""'1 ••• I.,IIIIII[!]
IIII.II •• III •• I " ' •••• II.' •• I •••••••••••••• II ••• 1 ••••••••• 1 •• ,1'.1.11 ••••• 1111 ••• 11 •••• 11 ••• 1 •• 11 •••• 1 ••••••••• 11 •• 1111 .... . 1 •• 1,11.1 •••••• ,'11 •• 11.' ••• 111 •• 11 ••• 1.111 •• 1.'.1 ••••••• 1 •••••• 1 ••••••• 1.11 ••• 1 •• 1 ••• 1 ••••••••••••••••••••••••••• 111 •• ,1 18
•
I_-::
E
i
46,024
28,047
f
204,728
E-:
41,606
79_
820, 479 :
1,059,968
i
I IN~ M____:~:~~~~:~~:~::r;~, ~Ji~::'
15,000:
1,600
_~
164,378
Tota L. ___ ________ ___ ____ ,__ ____ _________ ___________ __ ____---------- 98,212
1II1tI11I'[j1
-I:;
_§:
E
A·'[:ffg'·
For coast wise ports __ __________ __ ____ ___ _______ ____ ________ ___ ___ 2,500
In compresses and depots ___ ___ ___ _________ ______ ____ ______ __ 71,812
.. II.IIII ... IItI .. IllIt ........ IIIIIIIII .............. 1l1tI1
E
113
= F or other foreign ports _____ __ _____ _______ _________ __ __________ 19,200
.. " ...... I1 ................. "I1 .. " ...... I1 .................. IIIIIII .. 1II1I1I11I1I1IIu .. u .. u.[!I
:
E
;
:
0
August 1 to August 31
This Season Last Season
117,101
223,104
67,817
101,978
188,116
281,000
SEASON'S RECEIPTS, E XPORTS AND STOCKS A'I1 ALL
:
UNITED STATES PORTS
_~
August 1 to August 31
•
Season L ast
Season •
Receipts ______ _______ ___ _______ __ __ _______ _____________ _______ __ ________Tillis
288,886
618,908:
G r.IIIII'IIIIIIIIIIII.IIIIIIIIIIIIIIIIIIIIII'.,1111111 ••••• '1'11.111 •• 111.111 .......... 111 •••••••••• 1111 •• ' •• III.IIIIIIII!)
111.11111111111111 .. 1111111.11111 ..... 111111111111111111111 .......... 1111111111 ........................ 11 .. ' ..........
I~:; ;:.~:."~,::::S:::. ~T.O::.~:;~W~"·
.1II1I"IIH ... " .. _
Aug ust
1927
228,104
101,978
~11I .... II .. IIIII ......... I ..... III .... II ...... "
m:_:- 1., ••••• 11.,111111111.11111.,1 ••• ,1.,.11 •• , ••••• 1.1 . 1••• I •••• ,.'IIIIII ........... I •• W ... 'I.I.I ••••• III ..... ,I.11 ••• 11 1[;]::_.
:
E
::
II' •••.
4
is much later than it was a year ago. Due largely to this
fact the production of cottonseed products during August
this year reflected a heavy decline from a year ago.
~tocks of all products except linters on hand at the end
of August were less than a year ago and those of cake and
meal, hulls, and linters were less than at the end of the
previous month.
TEXTILE MILLING
Operations of Textile mills in the Eleventh District in
August were somewhat greater than in July but were below
a year ago. There were 3,022 bales of raw cotton consumed as compared to 2,130 bales in the previous month
and 3,44.1 bales in August last year. Production of cloth
was 54.0 per cent larger than in July but 1.8 per cent below the output in the corresponding month of 1927. The
volume of orders on hand on August 31st was not as large as
a month earlier o-r a year ago but stocks showed an increase over both periods. Prices on most classes of cotton
goods reflected a downward trend in sympathy with the
movement of raw cotton prices. Due to the uncertainty
surrounding the raw cotton market, there has been a tend·
ency for buyers to withhold forward orders until the outcome of the current crop becomes more definite.
r;'J11I1 ........ It .... Utlu .................................... "n.II ................ 1I1I ......... II ........... III ......
I
!
::
~
E
TEXTILE MILLING STA'J.1ISTICS
1~f8t A19~~st f~~~
Number bales consumed__ __ __ ____ __ __ __ _______ _ 3,022
Number s pindles active___ ____ ___________ ____ __ 81,564
Number pounds cloth produced __ __ ___ ___ 1,176,275
8,441
83 ,664
1,508,196
m
I
i
2,130_
81 ,5 64;:
958,403 ;:
IIIII ••• II .... "" •••• '.I •••• I ••••• I ••••• II •••• I'II •• I.1111 •• '.111'.1 •••• , ••• 1 •••• 11'.1 •• " ••• , •• 1.1" ••• 11, •••• IIII •••
m
4
MONTHLY BUSINESS REVIEW
WHOLESALE TRADE
A broad demand for merchandise in wholesale channels
of distribution was in evidence during the past month. Sales
reflected a large seasonal gain over the previous month and
were substantially larger than a year ago. The promising
outlook for agriculture has created a strong undertone of
confidence in the soundness of business which is being reflected in the growing optimism among retailers and the increased volume of buying. Yet merchants appear to be
adhering to the conservative policies followed for some
time past and are showing no disposition to' overload their
shelves. Collections in most lines have shown considerable
improvement.
district. Collections showed some improvement. Prices remained generally steady. The outlook for fall business is
reported to be good.
The sales of reporting farm implement firms reflected a
further seasonal decline as compared to the previous month
yet they exceeded those of the same month last year by 26.2
per cent. Sales of implements are usually slow at this
season of the year as farmers are busy with the harvesting
of crops. Due to the improvement in the agricultural situation in this district, the outlook for the distribution of implements during the fall and winter is generally good.
Prices show no material change.
A further improvement in the demand for hardware was
in evidence during the past month. Sales of reporting firms
were 2.3 per cent larger than in July and were 8.9 per cent
greater than in the corresponding month last year. The im·
provement was fairly general over the district. Collections
were larger than in the previous month. Prices continued
generally steady . . Reports indicate that the outlook for fall
business is very promising.
Coincident with the opening of the fall buying season at
principal market centers early in August, there was a heavy
increase in the buying of dry goods at wholesale. The
August sales reflected a seasonal increase of 89.2 per !)ent
as compared to the previous month but fell 6.9 per cent
below those in the corresponding month last year. While
retailers generally have taken a rather wide assortment of
merchandise, they have bought in very small quantities due
to the uncertainty of the trend of raw cotton prices. The
recent downward trend of prices on cotton goods is also
retarding current purchases. Dealers generally are optimi stic regarding the volume of business during the fall.
The sales of groceries at wholesale during August refl ected a seasonal increase of 12.4. per cent as compared to
the previous month and were 9.7 per cent larger than in
the corresponding month last year. Business in most sections of the district is good with collections showing a substantial improvement except in a few localities where the
condition of the cotton crop is poor. Dealers generally are
optimistic over the outlook for fall trade. Prices remained
fairly steady.
The past month witnessed a strong demand for drugs at
wholesale. Sales of reporting firms reflected a seasonal
increase of 25.5 per cent as compared to the previous month
and exceeded those in August, 1927, by 6.0 per cent. The
expansion in demand appeared to be fairly general over the
CONDITION OF WHOLESALE TRADE DUR1NG AUGUST, 1928
Percentage of Increase or Decrc!I8e in
- Net SalesAugust, 1928
Compared with
August
July
1927
1928
:
-Net SalesJ a nuary 1 to Date
Compared with
Same Period
Last Year
-StocksAugust, 1928
Comparcd with
August
July
1927
1928
Ratio of CoHee.
tions Dul'ing August
to Accounts and
Notes Outstanding
July 31, 1928
f;U
~&i ~lq
iH
l~;:l~;~~~~;:~ ~ ~ : : : ~ :~ :~ :~: : ~:~ ~ ~: :~ ~ ~ ~ ~ ~ ~ ~:~ : ~ ~ ~ ~:~:~ ~ :~ ~ : : :~ ~ ~ ~. i2H 1~H
Drugs ...." ................................................................................................... + 6.0
+25.5
+ 3.8
None
+.7
~
44.4
~t.,IIIII.,I.,IIIIIIII.,ltllllllllll.,.,II'lllllllf.11 111111111111"1.1"",111,.11111, •• 1""1"1".,111 ••• ".,.111 •• ,1111"""""""'11",""11".1, •• '.1'.'II.I'!"IIIII •• IIIIIIIIIII.I ••• III.I.II'II ••••• • •••••• 1••• 1•• 111111'111111111111111111.19
RETAIL TRADE
While the distribution of merchandise in retail channels
during August reflected the effects of summer dullness, the
sales of department stores in larger cities showed a gain of
10.5 per cent over the previous month and were 0.5 per cent
greater than in the corresponding month last year. Late
reports indicate that the early fall buying has been very
"'11 •• 1111111 ••• 111111111.11 •• 111.,.1.1,111,11,111.11.1.1. 111 11111 ' 1.111 •••• '1"".111",,1111"11,,"'1 •• ,111""111111111111'.111'1111.111111"1".11111111111111111111,.1.1111111111111.,11.1111 •• '11.1111",,11.1'1,111.1.11111.'1.'11.,11 ••• 1••• 1•• , ••
E
i
BUSINESS OF DEPARTMEN'J.1 STORES
:
~
~
Tot-el Sales :
August, 1928. compared with August, 1927 ..........................................
August 1928 compared with July, 1928 ................................................
January 1 to' date compared with same period last year ..................
Credit Sales:
August, 1928, compa red with August, 1927 ..........................................
August, 1928, compared with July, 1928................................................
January 1 to date compared with same period Inst year ..................
Stocks :
August, 1928. compared with August, 1927..........................................
compared
with July,
1928 ................................................
RateAugust,
of stock1928,
turnover
in August,
1927........................................................
Rate of stock turnover in Aug ust, 1928........................................................
R ate of stock turnover, Jnnua ry 1 to August 31, 1927............................
Rate of stock turnover, January 1 to August 31, 1928............................
Ratio of August collections to accounts receivable a nd outstanding
August I, 1928 .......................................................................... ....................
18
All
Total
Dallas
+ 1.5
+19.8
.8
Fort Worth
+ 1.5
+ 3.0
+ 8.8
Houston
- 1.2
- 2.4
+ .4
San Antonio
- 8.1
+ 15.6
- 1.2
Others
+ 2.8
+17.4
+ 2.8
District
+ .5
+10.5
+ .7
+10.4
+27.1
+ 8.2
+12 .5
+ 9.5
+ 9.1
- 1.3
+ 2.8
+ 1.7
+ 8.1
+19.1
+ 2.9
+11.4
+29.7
+ G.8
+ 7.9
+18.8
+ 6.0
-10.4
+15.8
.19
.21
1.64
1.80
+ 2.0
+14.2
.17
.17
1.54
1.60
.4
+15.4
.20
.20
1.91
1.90
- 17.8
+11.0
.20
.25
1.86
2.18
+ 4.1
+14.9
.20
.20
1.72
1.72
- 4.6
+14.5
.19
.20
1.72
1.81
29.6
82.8
35.2
86.2
83.4
82.8
E
E
: : .§~
~: : :.=
(!J.IIIII.II •• III.'IIIIIIII'.II •• II .I II'.I.II •••••• I.I ••••• 1111 •••••••••••• 1.,." ••••• ' •• , ••• '.1 •••••••••• ••• • '11.'11,.'.'11' . ............. ' ••• 1., •••• 11 ••• 1•• 1•• , ••• ,.,11.1 •• ' •••••••• , •••••• 1.11 ••• ' •••••• 1..... 1111 ••••••• 11 •• II.I.II.II.I •••• I.I.I.I.IU.1ii
MONTHLY BUSINESS REVIEW
satisfactory.
Reflecting the receipts of fall merchandise, stocks on hand
showed a seasonal gain of 14.5 per cent as compared to a
month earlier but were 4.6 per cent less than a year ago.
The rate of stock turnover during the first eight months of
1928 was 1.81 as compared to 1.72 in 1927. This improvem~nt is due principally to the smaller stocks being carried
thIs year as sales have shown only a small gain.
The ratio of August coqections to accounts outstanding
on August 1, was 32.3 per cent as against 34·.3 per cent in
July, and 30.9 per cent in August, 1927.
5
low the volume outstanding on the corresponding date last
year. Acceptances executed and outstanding on August 31st
amount to $3,712,8405 as compared to $2,507,776 a month
earlier and $5,919,001 on August 31, 1927. The amount of
acceptances executed against import and export transactions increased from $657,557 on July 31st to $1,468,636 on
August 31, and those based on the domestic shipment and
storage of goods rose from $1,850,219 to $2,244,209 between the same dates.
Condition of
Member Banks
in Selected
Cities
A shifting of funds from investment to
commercial channels was reflected in reports received from member banks located in leading cities of the Eleventh
District in August. Investments in
United States securities declined from $85,786,000 on August 1st to $80,778,000 on September 5th and holdings in
other stocks and bonds were reduced $1,630,000. Loans
on Government securities amounting to $2,339,000 and loans
~""'IIIII"''''IIIIIIIIIIIII''' ' IIIIIII''III"
on corporate securities aggregating $85,509,000 on Septem§
DEBITS TO INDIVIDUAL ACC OUNTS
S ber 5th were $1,361,000 and $579,000, respectively, less
;:
(In thousands of dollars)
!
§
August
August Inc. or
July
Inc. 01" !
than five weeks earlier. Commercial loans, however, rose
;: Ab'l
1928
1927
Dec.
1928
Dec.
E
E A 1 ~ne ..........._.........$ 9.527 $ 9.851 - 8.8 $ 9.569 .4 :;
from $24,3,968,000 on August 1st to $248,666,000 on Sep;: Bustin ........ _..... _._.... 16,249
17,088
- 4.6
15,044
+ 8.0 i
tember 5th, which more than offset the decline in loans on
;: Ceaumont -"'-"_.- 28,884
22,022
+ 6.2
28.085
+ 1.8 :
;: D°\ricana ......... _....... 5,181
4,864
+ 5.7
5.098
+
.7 ;:
Government and corporate securities and reflected largely
E Ei:s ...._.................... 211,025
189,298
+11.5
208,820
+ 8.8 ;:
E F
aso ...................... 82,478
80. 496
+ 6.5
29,248
+11.0 i
the seasonal demand for funds for use in connection with
:: Goyt Worth .............. 99,875
82.788
+20.6
104,987
- 4.8 :
;: Ha veston .................. 87,882
88,994
- 8.0
81,886
+20 .7 :;
the movement of crops and the expansion of business activ:: P ouston ...................... 179,166
170.202
+ 6.8
178,581
+
.4 ;:
ity. Net demand deposits rose $10,093,000 during the
;: sort lrthur ....... _..... 9,480
10,198
- 7.6
8,469
+11.8 ;:
;: Ran ntonio .............. 88 .608
89,852
- 6.4
76 ,794
+ 8.9 :;
month but time deposits declined $3,576,000. Although
§ S~swel\ ...................... 4,059
8,089
+81.4
4,166
- 2.5 §
:: .-r.:;evcport ................ 42,444
34,712
f22.8
41,062
+ 8.4 :
combined deposits increased, the reserves of these banks
;: T xarkana ........_.... 14,168
18,045
8.6
18,008
+ 8.9 :;
;: W'cson ........................ 10,699
7,706
88.8
9,019
+18.6 :;
with
the Federal Reserve Bank declined $892,000, indicat:: W!'-co .......................... 15,752
16,061
4.7
16,862
.7 ::
§
lchits Fans ............ 25.045
21,685
+16.5
26,048
- 8.9 ~
ing a narrowing of surplus reserves carried with this Bank.
;: 01 Tota1... ................. $819.871
$760,871
+ 7.8
$794,590
+ 8.2 ::
Their bills payable and rediscounts with this Bank amounted
;:
nc!udcs the fi gures of two banke in Texarkana, Arkansas, located ::
:
In the Eighth District.
E
to $19,233,000 which was $280,000 less than five weeks
8A'".1111.1111.11 '.....
l!.r
cceptance
Acceptances executed by accepting banks earlier but $11,411,000 greater than on September 7, 1927.
Market
in this district and outstanding at the Ratio of loans to net demand deposits was 86 per cent as
close of the month showed an increase at compared to 88 per cent on both August 1st, this year, and
the end of August over those a month earlier but were be- September 7th, last year.
FINANCIAL
. Charges to individual accounts at principal cities located
In the Eleventh Federal Reserve District showed a seasonal
increase in August of 3.2 per cent over July and were 7.8
per cent larger than in the corresponding month last year.
Debits at banks in these cities aggregated $819,871,000 as
compared to $794,590,000 in the previous month and $760,371,000 in August, 1927.
........... . ... t l t l l l l l l l l l l l l l ' ' ' ' ' ' III.II.IIIIIIII.II.II.II.U •• II.llt[!J
,1 111111 .. "111.11.1, ... 1111 ..... 111 .... ,.""1111 .. 1111111.11" .. 111111111111111 ........... II ...
'3l ..
r:"I
III1II1 ...... IIIIIII ..... IIIIIII ... IIIIIIIIIIIIII ................................... II .. 111111 .. 111111 ............... 1111 .. 1111111 ... 111111 ....... 11111 .. 1111 ................ 111111 . .. 1111 .. 11111 .. 1111111111111111 ... 11111 ...... 1111 ...... 11111111111118
§
CONDITION STATISTICS OF MEMBER' BANKS IN SELECTED CITIES
Sept. 6, 1928
~~~.~::::::~::::::::::::::::::::::::::::::::::~:::::::::::::::::::::::::::::::::::~~:::::::::::
t~: ~~s~~e~~riri~or~~~ed~.
I
other steck., bonds and securities owned .. _....................................... _..._ ....................-6. Loans secured by U. S. Government obligations ....................................................................
,! i~~:~~~;:£'li~l~~~S~~:~~~~i=.~:~~jj~g~~:~l~
11.
8.
E
Aug. I, 1928
Sept. 7, 1927
44
44
$ 8'0,778,000
38,492,000
2,889,000
86,509,000
248,666,000
291 ,179,000
128,858,000
82. 538.000
19,238,000
$ 86,786.000
45
$ 68,337,000
29,862,000
2,941,000
78,873,000
289.777,000
275 .668,000
110,982.000
80,846.000
7,822,000
40,122,000
3,700,000
86,088.000
248,968 .000
281.086 ,000
131,984,000
38.425 .000
19,518.000
~%
M%
·Loans inelude only items 4 and 6.
•••• • • 111 •••••••
,11
11,.11 ••• 11., •• 1111 ••••••• , ••• '11 ••••••••••••••••••••••• 11.111 ••••••••••• '1.,1,.'111.11111III II IIIIII UIIIIIII.I.I I IIIIII' I .,IIIIII •• ,IIIIIIIIII'.11 •• ".,. , .1.,111"1111 •••• 1,.,1,11111111.1.1 •• 1.,.1.111 ••••••• 111.,1.11,.11, ••••
§
11.8
~1 •• 'III.tllll.IIIIII.I.IIIII.IIII.I.IIIIIIIIII.II.111 1.' ••• 11"'1.".,11111 1111111111.1'1'111.,,1.1,1,111.1'1'1'11111'1"1"'11 11 111111'111111"'111111111111111'111, •••• 11 •••••• 1. 1, ••• ,111111 ••• 1111 •• 111 ••••• 111111 .... 1.111,.1.1 •• 11111.1 •••• ,111,.111'11:)
E
SEPTEMBER DISCOUNT RATES
Prevailinr: Rates
1::::::.
Rate ehnrgcd customers on prime commercial paper such
its Is now elillible for rediscoun t under the Federal
Rate es');ve Act ...............................................................................
r c. arged on loans to other bonks secured by bills
Rateec:~v~~~~8··;;~~~~.;d··bY· ..p;:i;;;~··;;t~~k··~;;~h~·,:;ii~·'~~"~;:h~;:
current collateral (not Including loans placed in other
~ tm1~e~i::~~~~:.:~~~~~~:~:~~~~~:~: ~:~:~~:~:~: :: : : : : : : : : : : : : : :
::
;;
R
a eel arged on commodity pnpar .ecurcd by warehouse
&' '''~~~:~~P~tti;Cio~;;;:::::::::::::::::::::::::::::::::~:::::::::::::~::::::::::::::::::::::
Dallns
E I Paso
Fort Worth
Hou.ton
5. 6
8
5-8
5 'h-6
San Antonio
Waco
6
5-6
5.5 1,6
6-8
6.6
~:~
~:~
~:~
~~:~
t~
t~
~-6
J::
tg
t~
t~
t~
6-8
6
5
6
.. •• ......... 1111 .. 11 ...... 111111 ......... 111 ................... 111111 .. 111111 ... 111111IIIIIIII .... I III ... IIIII.IIIII ..... 'IIIIIII.IIII .... IIII' .. 'IIIIIII .. U ............ II ...... IU' ...... UI .. UIlIlUU .. UIIlIlIIlIIlIIlIU.UU ......
i
~
'm
'_
MONTHLY BUSINESS REVIEW
6
Reports from banks located in the
Eleventh District and operating a savings department show that savings de·
posits of these banks which amounted to $135,250,698 on
August 31, were .3 per cent larger than a month earlier
Savings
Deposits
and 10.0 per cent greater than on the corresponding date
last year. There were 282,115 accounts carried at 82 of
these banks at the close of the month as compared to 281,504. on July 31, and 262,772 on August 31, 1927.
0111 ........ 1111 ......... 11111 ............ 111111 ....................... 11 .................. ' ....... 111 .... 11111 ....... 1111 ..... 1111 ........ ,.11 .............. 1111111111111 .. '11 ..... UU ... II .. III ...... IIU ..... III ..... IIII1II1II .. UIlUIIIlIlIl ..... II.
:
SAVINGS DEPOSITS
E
Augus t 81. 1928
Number of Number of
Amount of
Reportin~ Savings
Savings
Banks
Deposito1's
Deposits
E
!
-
I~:~;:,,:o~:..::::::::::::::::::::::=:::~
5~:m
r
~~E::~~_:;:~:~:=;'~=i ,j: !Hi!
Shreveport ............................... 4*
Waco _......................................... 4
Wichita Falla ............................ 2
All others .................................. 42 ·
22.869
9.180
4.190
86.450
$
Augus t 81.1927
Number of Amount of
Savings
Savings
Deposiwl'S
Deposits
2~:m:m
5~:~~~
:!:!!l:gl
IHlI lHiH!i
11.491.407
6.404.657
1.493.461
19.666.406
23.644
8.498
8.796
84.758
$
&m:~~~
10.940.827
5.598.989
2.092.122
18.300.971
.
rn
:
Inc. or
Dec.
+2~:~
i:li
+ 5.0
+14.4
-28.6
+ 7.4
July 81. 1928
Number of
Amount of
Savings
Savinll'ii
Depositors
Deposits
5~:m
IH!!
22.850
9.122
4.214
36.581
$
2~:m:m
§
Inc. or a
Dec. §
:
,±2:~ i
:!:!g:ill ~;:11
11.563.767
6.472.084
1.427.793
19.576.797
_ .6::
-1.0 ;:
+4.6 E
+ .5::
Ts §
TotaL.................................. 89
282.115
$185.250.698
262.772
$122.927.888
+10.0
281.504
$134.864.527
_
' Only 8 banks in Beaumont. 12 banks in Hous ton. 5 banks in San Antonio. 3 banks in Shreveport and 89 banks in "All Others" reported
: the number of saving depositors.
81.,.•...
Combined deposits of member banks in
the Eleventh District which amounted to
$869,195,000 on August 8th showed arecessi.on of $15,4,06,000 from those four weeks earlier, yet
they were $74.,584.,000 greater than on August 24t~ last year.
The net demand deposits of these banks declmed $11,636,000 during the four-week period ending August 8th, and
time deposits were reduced $3,770,000. As compared to a
year ago net demand deposits increased $45,269,000 and
time deposits rose $29,315,000.
Deposits of
Member Banks
[!J111 ••••• II., •• I .............. I ••• I •• I •••••••• III •••••• 1111.111'11, ••• ,1,11 ••• 1.1,111111.1,.1111'11,111 ••
::
E
!
1 ••••••••••• 1 •••••••• 111.1 ••• 1.111.1 •••• 1 •••••• 11 •••• 11 ••• 1111.1 ••• 111.11 ••••••••• ,111, ••••• ,.1 •• 1 .. 1.11 ••• III.I •• 111 ..... IH •• II •• II •••• ..,I •••••••••• I •• II.11 ....... 11.11 ••• 111 •••••• 111.1 ••••••••• 111 •••••••••• 1.1 •••••• II.I ••••• I.I ••••••••• I.,IG]
1111 ""II"I'~
DEPOSITS OF MEMBER BANKS
Total
Demand
Banks In cities Banks in cities
Total with a popula- with a popula.tion of less
tion of over
Time
than 15.000
15.000
--Aug. 24 1927............... _ 611.818
Sept 28 1927
667 854
Oct . 26 '1927 .............. 698'939
No; 9' 1927:::::::::::::: 721:728
D . 7 • 1927
729 218
J:~: Ii 1928::::::::::::::: 720:401
Feb. 8. ·1928.................. 786.388
March 7 1928
710 482
April 11: 1928:::::::::::::: 689:155
May 9. 1928 .................. 689.329
June 13. 1928 ............_. 664.746
July 11. 1928 ................ 668.723
Aug. 8. 1928 .................. 657.087
:
182.793
183.131
185.366
185.415
186 104
189:298
195.884
193.819
199.178
202.799
202.611
215.878
212.108
Demand
266.790
808.977
822.579
333.579
334 427
829:418
386,958
317.918
802.586
808.986
290.164
291.827
292.045
Time :>emand
-
48.843
49.028
49.887
48.482
48.681
49.942
52.886
58.698
58.884
54.878
64.685
55.012
55.593
346.028
368.877
376.860
388.149
187.478
890.983
399.885
392.514
386.569
385.343
374.582
876.896
365.042
Time
132.426
130.702
134.450
184.108
185.479
189.356
148.998
140.121
145.844
147.921
147.976
160.866 :
L56,616 ::
on July 31, and 229 on August 31, 1927.
Due to the increase, both in open market purchases and
loans to member banks, total bills held rose from $36,628,276.67 on July 31 to $4,2,587,84.6.73 on August 31,
distributed as follows:
Member banks' collateral notes secured by United States Gov.ernment obligations .......................................................................... $15.168.400.00
R edIscounts and all other loans to member banks .......................... 15.375.829.97
Open market purchases (Bankers' Acceptnnces) ............. _............. 12.043.616.76
Total bills held .............................................................................. $42.587.84G.73
Federal reserve notes in actual circulation which amounted to $34,,216,870 at the close of August, reflected a seasonal expansion of $4.,605,865 over those on July 31, but
they were $6,074.,84,5 less than a year earlier. The daily
average reserve deposits of member banks amounted to
$62,4,76,956 in August as compared to $65,777,383 in July
and $58,346,753 in the same month last year.
FAILURES
Improvement in both the number and liabilities of defaulting firms was noted in the business mortality rate in
the Eleventh District in August. Failures during the month
numbered 4,1, the smallest number of any month this year,
and compared with 54, in the previous month and in
E
m August last year. Liabilities involved in August failures
amounted to $628,000 as compared to $1,072,213 in July
The
demand
for
credit
of
member
banks
Operations of
and $64.5,620 in the corresponding month of 1927. During
from
the
Federal
Reserve
Bank
increased
the Federal Refurther in August and continued larger the eight months of this year there have been 470 failures
serve Bank
than a year ago. Loans to member banks with liabilities of $10,087,785 as against 562 defaults with
amounted to $30,544,230 on August 31, as compared to indebtedness of $11,167,261 during the same period last
$25,965,605 on July 31, and $14.,077,14,5 on the correspon~ year.
ina date last year. Reflecting the final needs of farmers m
PETROLEUM
th~ completion of this year's crop, accommodations to counTotal production of crude oil in the Eleven.th Federal Retry banks showed a substantial gain in August which accounted for the increase in total lo·ans over those a month serve District which amounted to 22,135,4.50 barrels in Augearlier. Liquidation began, however, early in September ust reflected a reduction of 1,021,250 barrels as compared
and the reduction in loans to banks located in rural sec- to July but exceeded the output in the corresponding month
tions lowered total borrowings of member banks to $27,- of last year by 1,4.69,725 barrels. There were 656 comple192,857 on September 15, which was $3,351,373 less than tions during the month of which 377 were producers of oil
on August 31. As compared to a year ago, total loans on the yielding 699,879 barrels of new production as against 54,0
former date were $16,450,074 larger. There were 186 completions in the previous month that netted 296 oil proborrowing banks at the close of the month as against 180 ducers with an initial flow of 366,953 barrels. Initial pro[!]lIIUllll .. II ................................... II .. II ......... III1I1 ... UIl .. IIII ..... IIU ...... III ...... IIIII1I1I1I ..
MONTHLY BUSINESS REVIEW
7
duction in August reached a new high level and was due
primarily to the completion of large wells in Central West
Texas.
[!J •• , ••••••••••••••• I •• I ............... I ••••••••••• III.1.1111.1 •• 1......... 111" .. " •••• 1•• 1••••••••••• 1••••••••••••• UI8
The daily average output of crude oil in Texas fields
amounted to 673,863 barrels which was 29,260 barrels less
than in July. North Texas reported a decline of 26,353
barrels in daily average production and Central West Texas
showed a recession of 3,297 barrels. Only a slight variation
was noted in production of each of the East Central, Texas
Coastal, and Southwest Texas sections, the net difference
of the three regions being only 390 barrels larger in daily
average output than in July. A gradual decline in field
work in Winkler county, Central West Texas, occurred
throughout the month. While an increase in allowable pro..
duction in the Yates area, also located in Central West
T7xas, was granted during the past thirty days the yield is
stll~ .below available pipe line facilities. In North Texas
actIvIty was centered ar'ound the Greyback pool l'n WI' 1·
barger county. Total output in North Louisiana declined
from 1,359,900 barrels in July to 1,24.5,700 barrels in
August.
§ North Texas ..._ .__...._ 180
: Central West Texas ..__ 319
;:
E
§
:
AUGUST DRILLING RERULTS
Completions
Field-
;: East Texas ._"_,,._._ . 1
;: Southwest Texas ..._..... 31
E Texas Coastal ........--.-. 53
Texas Wildcats ...... __ 41
_:
::
Total Texas......_.. __ 625
North Louisiana --..-.. 81
August Totals, District 656
: July Totals, District.. .. 6010
i
:
Pro·
ducer.
109
198
17
89
6
369
8
877
296
Gas
Well.
1101
3
1
1
26
12
38
41
Fall.
ure.
60
111
1
11
·13
34
230
11
241
208
;:
g
Initial §
Production :
27,662 :S
651,590
i
3,446 ;:
14,136 is
2,670
699,508;;
876
699,879
366,953:
i
& 1....................... 111.111 ................... 1111.11 ..... 11111111 ..... 111111 ..... 11 ... II ............ II ........ I ..
0.1111111111 ... 1111111111111 ........... 111 ......... 1111 ................. 111111111111111 ............ 111 .. 111111111111 ..
;;
liS
CRUDE OIL PRICES
;;
§
§
Sef~2Jl,
Texas Coastal Grade .. A.................................................... $1.20
:§:. •
Nort;!'ra~~ty <:,~Jr~~o~:i~~ ..~~~ ..~~~~~...~~~~~~.~~...~~: 1.76
8
,~
§
Ser~2~3, §
$1.20
1.60
:• :•:
11 • 1 '1111111, •• 1111., •••• 111, •• 1.1 •••• 11111111111 •••• 1 ••••• 11 ••• 11111.11.11111 ••••••••• 111 •••• 11.111 ••••• 111 •• I ••••• I··m
(Oil statistics compiled by the Oil Weekly, Houston, Texas)
~""III"'IIIIIII"II'''''I''IIIIIIIIIIIIII''III''''"III .. tll''"IIIIIII''I''IIIIIIII'''' •• , ••• ''' .... U''IIIIIIIIIIIIIII.II •• hlllIlU ...... I ....................... UIl .. 1I1I1I1I ... III1U .... U ..... IIIIII .......... IIIII ....... UIl ..... II ........... ,Gl
:;
OIL PRODUCTION
August
July
.
Total
Daily Average
Total
Daily Average
~orth Texns ....................... _ ........ ___ ......... _ ......__ 8.863,100
124.616
4,680,050
150,969
Een~OI.West Texas ..... ..._ ............................._ .. _ 12,279,700
896,119
12,881,900
899,416
Tens entral Texas_............... _................._.... _._. 674,900
21,772
672,100
21,682
S xi: COnsta1... ......................... _ .._..................._._.. 3,282,900
105,900
8,285,300
19~"gi~
out west Texas .............. _ ............................. _.... _ 789,150
25,456
777,450
N J;0tal, Texns ........................ _................. ____._ 20,889,750
673,863
21,796,800
703,128
or Loulsiana.......... __ ................................... _.... _ 1,245,700
40,184
1,359,900
43,868
Total, Dlstrict...................................... _...... __ 22,186,450
7l4,047
28.156,700
746,991
;:
Dec.
Dec.
Inc.
Dec.
Inc.
Dec.
Dec.
Dec.
Increase or Decrease
Total
Daily Average
816,950
Dec.
26,853
102.200
Dec.
8,297
2,800
Inc.
90
1i:m
Pn~~·
8ii
907,050
114,200
1,021,250
Dec.
Dec.
Dec.
29,260
8,686
82,946
[!) 'II ... 'UI ... IIIII .. UIIII ...... IIIIII ..... IlIIlIlItU ...... U ... IU .... II .... IIIII ..... 11111111 ......................... 111 ..... 1111 .. 11111.11 ..... 11111111111 ... 111111 •• 111 .. 11 ... 1I11I .. UIIlIlIlU ......... IIII ....... IIIII .... III ............. UIlIl.m
LUMBER
.Sh~pments of lumber from pine mills in the Eleventh
Dlstr~ct exceeded production in August by a substantial
margIn and were the heaviest of any previous month in
recent years. August shipments amounted to 6 per cent
above normal production which was 9 points larger than in
!uly and 19 points in excess of shipments in the correspond·
Ing month last year. Production was 95 per cent of normal
as compared to 92 per cent in July and 83 per cent in
August, 1927. Orders received rose from 104. per cent of
normal production in July to 107 per cent in August and
exceeded those of a year ago by 20 points. Stocks held at
thhe close of the month were reduced to below normal for
t e first time since last December and amounted to 99 per
cent of normal on August 31, as compared to 6 per cent
above normal a month earlier and 3 per cent below normal
a year previous. Unfilled orders for lumber at 45 mills
aggregated 63,4,91,312 feet at the close of the month as
against 57,784,832 feet recorded at 4.0 mills on July 31.
8 ......
119
a
AUGUST PINE MILL STATISTICS
1•••••• , .............................. 1............ 1" " ............................... 1.................. 1••••
Number of reporting mills........................................
45
Production .................................................................... 89,647,604 feet
Shipments ....................... _........................................... 99,662,094 feet
Orders ............................................................................ 100,682,926 feet
Unfilled orders August S1........................................ 63,491,312 feet
Normal production .................................................... 94,051,158 feet
Stocks August 81......................................... _............... 285,084,327 feet
Normal stocks .............................................................. 236,764,980 feet
Shipments above normal............................................ 5,610,986 feet-6 0/0
Actual production below normaL......................... 4,503,554 feet-5 %
O"ders above normal production.............................. 6.631,768 feet-7 % !
_ Stocks below normal.................................................... 1,670,653 fcct-10/0 :
e
(Lumber statistics compiled by the Southern Pine Association)
[EU.IIII •• I ........ IIII .... I1 ........... H .......................... I .. IIII ........................ II ....... II.II.II ....
CEMENT
f Ship~ents of Portland cement from Texas mills increased hand at the close of the month were reduced from 314,000
~rther In August, in fact, the movement was the heaviest barrels on July 31 to 211,000 barrels on August 31, reflect·
~ any previous month in recent years. There were 623,·
ing the excess in shipments over production. As compared
00 barrels shipped as compared to 603,000 barrels in July to a year ago stocks held on August 31, th.is year, were 15.9
and 561.'000 barrels in the corresponding month last year. per cent smaller. Production of cement during the eight
;h'0duchon ?f cement, which amounted to 519,000 barrels, months of the current y~ar showed an increas~ of 16.3 per
b owed an mcrease of 4.6 per cent over August last year cent over the same penod last year and shipments were
m~~,,~;,~~,,~,:5 per cent below the output in July. Stocks on 16.4 per cent larger.
~:.
"'('B"'a",:r"e'1"S'\'" ""'"""""
~:::::
PRODUCTION. SHIPMENTS AND STOCKS OF PORTLAND CEMENT
August
August
Inc.
July
Inc.
Eight Months
Inc.
1928
1927
or Dec.
1928
or Dec.
1928
1927
or Dec.
:.~
• .. • .............. II .. IIIIII .... " .............. " ... IUII ... II ................ III ...... 11.111 .. I ' " II II .... U.................... II
f~~~e~:~R:;n~~ii~:: : : : :::: :: : :: ::: : :: ::::::::::::::::::::: : ::: ~: m',~~~
8'i i~~r~~~:
c s at end of month at Texas mills ...................................... _ 211,000
•
m',~~~
251,000
II
U ..... II.U ...... II ... II
t1~:~
- 15.9
II. II .... " " ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' II 1
m',~~~
"+ U ~:m:~~g
~:m:gg~ ti~:~
~
314.000 - 32.S
................ ................
.. ........ ::
11 111.'1".1"'.1".1 ••• 1 ••• 1.' •• 1 •• 1 •••• 11.111 •••• 1 ••• '11111'111""'1'11"""""'1"""""'1"""11"'"1.,II.III.lfl.I',IIIIIII'II ••• I.III.III, •••• I.I"".I, •••• 1.1 •••••••••• 11.1111.1 ................................. I ••••••••••• I ••• I •••••••••
IiJ
MONTHLY BUSINESS REVIEW
8
'BUILDING
A substantial increase in building operations at ' principal cities of the Eleventh District over the previous month
was shown in the valuation of permits issued at these
centers during August. The permits issued were valued at
$8,872,278, which was 4,1.3 per cent larger than in July.
As compared to August, 1927, however, in which month
the aggregate was the second highest for that year, the
volume in August this year was 13.1 per cent less. At the
end of the eight months during the current year, eight cities
showed increases over the same period in 1927 and six
reported declines. The combined cumulative total of all
cities was 3.1 per cent larger than last year.
DUILDING PERMITS
August. 1928
No.
Valuation
Amarillo................................
Austin....................................
Beaumont. .............................
Corpus ChristL....................
Dallas .....................................
EI Paso...................................
Fort Worth ...........................
Galveston ..............................
63
75
148
88
240
91
342
186
$ 100.590
126.868
866.605
45 8.902
750.544
214.530
777.329
258.315
Wichita Falls.......................
42
98.190
67
Totnl... ........................... 2.549
$8.872.278
2.827
~~~~:~~=:::::~:;:ii!i :llHfi
§
August. 1927
8'11 ..
No.
78
82
224
67
3ol4
70
857
224
111
Inc.
- - -- Eight Months----
or Dec.
No.
Valuation
or Dec.
No.
1928
Valuation
517.150 - 80.5
245.793 - 48.4
610 .221 + 42.0
250.135 + 83 .5
770.975
• 2.7
301.021 - 28.7
1,161.610 - 83.1
176.876 + 43.6
66
77
189
104
350
68
347
167
$ 153.990
106.891
299.584
808.750
877.892
99.748
539.097
157.945
- 84.7
+ 18.7
+189.8
+ 51.1
- 14.5
+115.1
+ 44.2
+ 60.4
695
560
1.385
652
2.664
644
3.158
1.574
$ 2.527.188
1.848.087
2.662.000
4.599.568
6.639.549
1.177.591
10.081.337
2.100.565
Valuation
$
July. 1928
Inc.
::IIl:ill ~'lil
337.580
-
70.9
$10.209.144
-
13.1
No.
1.887
355
1.458
478
2.567
480
2.585
1.822
1927
Valuation
$ 6.828.697
950.224
8.957.956
2.055.990
6.246.703
785.541
9.883.573
2.321.008
Inc.
or Dec.
- 63.0
+ 94.5
- 82.7
+123.7
9.7
+ 49.9
+ 7.4
9.5
i i "i~:ll! itil! ;:lll :mHlI ;:lll :HlHll!!1l :~_I
41
119.283
2.5M
$6.278.491
-
426
1.252.818
688
2.614.789 -
52.1
+ 41.8 22.054
17.7
$72.600.124
21.200
$70.425.76.1 +
3.1
111111111111111111 ...... 11111 ... 1111111111 .... 11111 .. 111111.11111111 .... 11111.,1 .. 1I11111111111!.lflIIIIIIIUIIIIIIIIIIIIIIIII ... '.IIUIIIIIIIIIUlIlIltlllllllllllllllllll' .. 'IIIIIIIIII.,IIII ... III ... "IIIIIIII .. IIIIIIIIIIIIIIIII'"I1.1I ........ I I I S
SUMMARY OF NATIONAL BUSINESS CONDITIONS
(As Compiled by the F ederal Reserve Board as of September 25. 1928)
Volume of industrial and trade activity increased in August and there was a further advance in wholesale c.ommodity
prices. Reserve bank credit outstanding increased in September reflecting in part seasonal demands for currency and
credit. Money rates remained firm.
PRODUCTION
Production of both manufacturers and mineralS mcreased
considerably in August, the output of manufacturing plants
being larger than at this season of any earlier year. Automobile production was in record volume in August, and
available information indicates that output was maintained
by many producers at a high level during September. Iron
and steel production continued large in August and September, and output of non-ferrous metals increased between
July and August. Textile mill activity, which had been
somewhat reduced in recent months, also showed a substantial increase. Factory employment and payrolls have
increased since mid-summer and in August were close to
the levels of a year ago. In the building industry there was
evidence of recession in a sharp decline after the early summer in contracts awarded, which were in smaller volume
during August than in the corresponding month of any year
since 1924. In the first three weeks of September, however,
awards were somewhat larger than last year. Estimates of
the Department of Agriculture for September 1, indicate
that yields of principal crops will be larger than last year
and above the average for the preceding five years.
TRADE
Distribution of commodities showed seasonal increases in
August although sales in most lines of wholesale and retail
trade did not equal the unusually larp;e sales of August,
1927. Department store stocks increased as usual in August
but continued smaller than a year ago, while inventories in
several lines of wholesale trade were somewhat larger than
last year. Freight car loadings were in about the same volume in August as a year earlier. Shipments of miscellaneous commodities and grains were larger and those of coal,
livestock, and forest products, smaller than last year.
PRICES
The general level of commodity prices increased in August and the Bureau of Labor Statistics index, as 98.9 per
cent of the 1926 average, was the highest in nearly two
years. Increases in August were chiefly in the prices of
livestock and livestock products which are now higher than
at any time since 1920. There were also small increases in
fuels, metals, and building materials. Grains and cotton
showed sharp declines, and there were decreases also in
hides and skins and wool. Since the first of September
there have been some declines in livestock and meats, and
a further sharp decrease in cotton, while prices of pig iron,
copper, and petroleum have advanced.
BANK CREDIT
Between the middle of August and the middle of September there was a considerable increase in the loans and investments of member banks in. leading cities. Part of the
increase was in loans on securities and part reflected a seasonal increase in other loans. Deposits of the member
banks also increased during the period. Volume of reserve
bank credit outstanding increased during the four weeks
ending September 19, in response to seasonal demands for
currency and growth in member bank reserve requillements.
The increase in total bills and securities was largely in holdings of acceptances and in discounts for member banks.
During the same period there were further increases in
open market rates on. collateral loans and on commercial
paper while rates on bankers acceptances were reduced from
400/8 per cent to 4iY2 per cent.
@FedFRASER