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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 August 15, 1931)
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,-
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~lurne 16, No.7
pc
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Dallas, Texas, September 1, 1931
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rhis copy is released f or publication in afternoon papers -
s_
August ,31
DISTRICT SUMMARY
THE SITUATION AT A GLANCE
-
Eloventh Fodoral Resorve Distriot
Change From
July
___
~~___________________ I____l_93_1___ I____
Ju_n_e___
Ba~~ dobits to individual aooounW (ut 17
D~II~) .... .. .. ....... . .... ..... . ........ .
n~ar meut storo sales ... .. ......... . .. . ... .
{~bo bank loans to membor banks at ond
~ omonth .... ... .. ......... . ..... . ... .
BU'lto bank ratio at end of month . ........ .
Co ling permit vuluation at larger centers . .. .
Co~~~~~lal failures (I!u~~r) .. ............. .
Oil prod a. failures (liabilities) . . . ... .. .. .. . .
uotlon (barrols) ... ... .. ..... . ... ... .
$605,626,000
- 3.6%
-26 .3%
$ 12,304,085
56 .1%
$ 3,260,703
60
$ 1,050,406
34,850,900
=u~ pOinw
+ 28.1%
- 1.6
-31.0
+10 .6
0
1
c·
substantial gain in the prospective IH'oduction of prinl~a agricultural commodities and a drastic decline in the
1ce of cotton, the district's major crop, were the outstandd g ,developments in the Eleventh Federal Reserve District
gUnng the past thirty days. Weather conditions have been
ttnerally favorable for crop growth and harvesting operaIllo ns . On the basis of the August 1 report of the DepartIIIe~t of Agriculture, the prospective production of most
a ~Jor crops and many minor crops is materially larger than
gi ear ago and, in many instances, it exceeds by a wide marfon dthe five-year average production. The large supplies of
Cr and feed will enable farmers to go through another
a P season with a minimum of assistance and will form
Pri ack-l og during the period of low agricultural prices. The
sin Ce of cotton which had been declining almost steadily
i5S~e the early days of July, broke sharply following the
Illidance of the Government's report on August 8 and at the
higl dle ?f August was more than three cents lower than the
1 POInt in July. The low price will materially reduce the
r:
°
b
l'Jtth0 l esale
rade
BUSINESS
The general picking up in wholesale business, which usually occurs in July, was
"'hi!
not in evidence in some lines this year.
und perceptible gains in sales were recorded in groceries
Illent rugs, decreases were noted in dry goods, farm implecrabt' and hardware. Distribution in all lines was consideerie! smaller than in July, 1930, yet in the case of gro50llle and hardware the comparison with a year ago was
kept What better than in June. Retail inventories are being
beingat low level; consequently, many small orders are
cOllln/ aced to fill in depleted stocks, but the volume of
lhnents for fall delivery is very small. With the excep-
d
t
returns from this year's cotton crop and, consequently, the
farmers' debt paying and purchasing power.
The demand for merchandise in both retail and wholesale channels remained sluggish during July and the early
part of August. The July sales of department stores reflected
a seasonal decline of 26 per cent as compared to the previous
month and were 18 per cent less than a year ago, the latter
comparison being the most unfavorable shown during the
current year. While some lines of wholesale trade evidenced
a seasonal gain in sales, all reporting lines showed a considerably smaller volume of distribution than in the corresponding month last year. Consumer demand is at a low ebb
and retailers are purchasing sparingly and for current requirements only. Both the number and liabilities of commercial defaults were smaller than in June, but were considerably larger than a year ago.
There was a seasonal expansion in the demand for Federal Reserve Bank funds, the loans to member banks having
risen from $10,503,000 on July 15 to $13,355,000 on August
15. The latter figure was $754.,000 less than on that date in
1930. The combined net demand and time deposits of member banks averaged $763,161,000 during July, which was
$11,874,000 less than in June, and $69,356,000 below July
last year. The loans and investments of reserve city banks
declined sharply between July 8 and August 12, and on the
latter date reached the lowest level in several years.
The valuation of building permits issued at principal
cities in this district reflected a further decline of 8 per cent
as compared to the previous month and was 39 per cent
smaller than in July, 1930. The production and shipments of
cement were slightly larger than in June and production was
greater than a year ago.
tion of farm implements, collections in all reporting lines
either reflected a decline or showed little change from the
previous month.
Contrary to the seasonal tendency in July, demand for
dry goods at wholesale in this district showed a decrease
of 12.4 per cent as compared to the previous month and
was 27.7 per cent less than in July last year. A cautious
policy is being followed by buyers, who display an inclination to await developments in consumer demand before making future commitments. Reports indicate that business during August is proceeding on a conservative basis and that
This publication was digitized and made available by the Federal Reserve Bank of Dallas' Historical Library (FedHistory@dal.frb.org)
MONTHLY BUSINESS REVIEW
2
orders being placed are for current requirements only. Collections during July were on practically the same scale as in
June.
Reports from ten wholesalers of drugs in the Eleventh
District indicate that distribution during July was 4,.2 per
cent larger than in June, but remained 10.9 per cent below
the level of a year ago. While most firms participated in the
gain over the previous month, the improvement was of a
seasonal nature and reflected principally the placing of
orders for replacement purposes. Collections continued slow,
showing little change from June.
The distribution of hardware through wholesale channels in July fell off 5.1 per cent from June, and reflected a
decrease of 23.2 per cent as compared to the same month a
year ago. Buying is very conservative, being restricted
almost entirely to immediate needs. Despite the general
quietude, it is indicated that in some quarters business is
showing an upward tendency. July collections reflected a
substantial decline from the preceding month.
Following three consecutive monthly increases, the volume of sales reported by wholesale farm implement firms in
this district during July reflected a decline of 65.4 per cent
as compared to June, and was 4,2.5 per cent smaller than
in July a year ago. Despite the gen.era!ly light buying. demand, prices are reported to be contmumg firm. CollectIOns
were sizably larger than in June.
Sales of groceries at wholesale during J ul y showed a
fairly general improvement in this district, being 3.6 per
cent larger than in the previous month and only 10.8 per
cent below the level of the same month last year, as compared to a corresponding decrease of 15.0 per cent in June.
While varied trends were in evidence, collections reflected a
slight downward tendency during the month.
CONDITION OF WHOLESALE TRADE DURING JULY, 1031
Porcentage of inormwo or dcorcl\8c in-
Groceries ............
Dry goeds...... .. ...
Fllrm implemcnts. ....
Hardwnro ...........
Drugs .. .............
Not Sales
July, 1031
oompared with
July
Juno
1030
1031
- 10 .8
+ 3.0
-27.7
- 12.4
- 42.5
-05.4
-23.2
- 6.1
- 10 .0
+ 4.2
Stock.
July, 1031
compared with
July
Juno
1030
1031
- 10.6
- 1.5
-34.6
+16 .6
+.7
+2 .0
- 11.6
+ .0
-10.5
+ 1.0
Rutio of colleotiolls during July
to acoounts and
notos oUUltanding
on June 30
62 .0
24.1
7.5
32.2
37.3
Retail
Trade
Seasonal dullness was in evidence during
July at department stores located in principal cities throughout the Eleventh Federal Reserve District. The volume of business as compared
with the corresponding month of 1930 showed a material
decline, being the most adverse comparison shown in many
months. Sales registered declines of 26.3 per cent as cornpared with the previous month, and 18.2 per cent as cornpared with July a year ago. Merchants continue to offer eX'
tensive reduced price "sales" in an effort to stimulate the
sales of summer merchandise. Distribution during the first
seven months of 1931 was 11.4 per cent less than in the
corresponding period of 1930.
Stocks of merchandise held at the close of July declined
further from the preceding month by 7.2 per cent and were
13.4 per cent less than a year ago. The rate of stock turn'
over during the period, January through July, 1931, was
1.90 as against 1.86 during the same period of 1930.
Collections during the month reflected a decline as corn'
pared to both the previous month and the corresponding
month last year. The ratio of charge accounts collected duro
ing July was 31.7 per cent as against 33.0 per cent in June,
and 32.8 per cent in July, 1930.
BUSINESS OF DEPAltTMENT S1'ORES
Total Snlos (Percentage):
.
July, 1031, compared with July, 1030 .... . .... . .. .... .......................... .
July, 1931, oompared with June, 1031.. ........... . .... . ...... . .... .. .... .. ... . .
January 1 to date, oompared with same peried last yenr ........•.....••....•......
Credit Snles (Percentage):
July, 10Sl, compared with July, lOaD............................... . ........ . . .
July, 10S1, compared WIth June, 1031 .... . .......... . ....... . ... ........ ....... .
January 1 to date, compared with same peried lust yenr .........•.. . .... .... •.. . .•
Stocks (Porcentnge):
July, 10Sl, compared with July, 1030 .............. . . .. .............. .. ...... · ..
July, 1031, compared with June, 1031 ... ... . . .. ... .. , .......................... .
Stock Turnover (Rute):
Rute of stock turnover in July, 1030 ..................... . .................... . .
Rate of stock turnovcr in July, 1031. . ... . ........... .. ..... . . ..... ........... . .
Rute of Btock turnovor January 1 to July 31, lOaD..... . .. .. .. . ........... ..... .. .
Rute of Btock turnover January 1 to July 31,1031.. .. ..... ......... · · ..... .. · .. ··
Rutio of July collcotions to 1I000unUl recoivablo and oUl>!tnnding July 1, 1031. .......... .
DaliaB
- 14.2
-27.4
- 11.8
Fort Worth
- 10 .8
-24.2
- 4.0
Houston
- 10.4
-27.7
- 14.0
OtherB
-20. 1
-25.3
- 12 .8
'fatal DiBtriot
- 18.2
- 20.3
- 11.4
- 15.3
-28.0
- 14 .3
- g.a
- 26 .7
- 5.3
- 18 .0
-:12.2
- 14.5
-20.8
- 25.3
- 15.8
- 18.3
-28.2
- 15 .0
- 7.3
-
+ 5 .4.1
- 13 .8
- 10.7
- 10.0
- 5.7
- 13.4
- 7.2
.17
. 16
1.37
1.30
20.0
.21
.10
1. 71
1. 74
34.0
.22
.20
l.78
l.80
33.4
.20
. 10
1.86
. 18
.10
1.67
1:68
~0 . 6
- 13.5
1.00
31.7
+ • • • • • • • • • • • • • • • • • • • • ••
According to the report of R. G. Dun &
Company, covering the Eleventh Federal
Reserve District, a further improvement
over the previous month was reflected in both the number
and liabilities of firms becoming insolvent during July.
While both were larger than in this month last year, they
Commercial
Failures
were at the lowest level reached in any month since October,
1930. In July, there were 60 commercial failures with a coJ1'l'
bined ~ndebtedness ~f $1,050,4,06, .as compared to 61 dC
faults m the precedmg month, owmg $1,522,700, and? 7
insolvencies in the corresponding month a year ago, wllh
total liabilities amounting to $765,4,20.
AGRICUL TURE
Weather conditions during the past month
were favorable to the growth and harvesting of crops in the Eleventh District. Prospective yields, as estimated by the Department of Agricul-
Crop Conditions
ture in its August 1 report, of practically all important crQPs
are larger than a month earlier or the final harvest in 1930.
The July rains were very beneficial but there are still so~e
localities where moisture is deficient. WjLh small gralflS
MONTHLY BUSINESS REVIEW
s
...................... ..
already harvested and other feed crops practically matured,
th~re is every indication that farmers will have large suppiles of feed fOl" use during the 1932 crop season. In most
areas vegetables and fruits have been produced in large
volume and reports indicate that farmers have canned large
SUpplies for future consumption.
I' , , , •••••••••• ••
According to the August 1 estimate of the Department
of Agriculture, the Texas corn crop wili yield 106,860,000
Lushels, which represents a gain of 5,34,3,000 bushels durIIlg July, and compares with a production of tl6,71O,000
bushels last year. The indicated output of this crop in Louisiana was 19,828,000 bushels, whereas, only 12,309,000
bushels were produced in 1930. Although the Oklahoma production was reduced 10,994,000 bushels in July, the forecasted production of 45,544,UOO bushels on August 1 was
Y,108,OUO bushels above the production last year. The r:port
also showed a substantial increase in pl'oduction in New
Mexico, but it was slightly smaller for Arizona. Tame hay
crops in all states attached to this district, except Arizona,
promise a larger yield than a year ago. In New Mexico,
Ukl.ahoma, and Texas, a large increase in the production .of
g~alll sorghums was forecasted by the Department. The mdlcated yield was as follows: Texas, 65,14,2,000 bushels;
Oklahoma, 22,344-,000 bushels; New Mexico, 5,187,000
bushels. The combined production of grain sorghums in
these states in 1930 was only 61,564,000 bushels.
The August 1 condition of the Texas rice crop was placed
at 85 per cent of normal, which indicates a yield of 8,865,000
bushels as compared to a production of 8,463,000 bushels
last year. The July rains were very beneficial to the Texas
peanut crop and the August 1 condition was rated at 79
per cent of normal as compared to 58 per cent a year ago.
The prospective production of sweet potatoes for the State
was estimated at 5,520,000 bushels, whereas, only 3,570,000
bushels were harvested last year. The indicated production
of this crop in Arizona, New Mexico, Oklahoma, and Louisiana, was also considerably in excess of a year ago. The
Texas pecan crop was rated at 60 per cent of normal as
against 35 per cent a year ago, and while the Department
of Agriculture made no official forecast, it stated that present indications pointed to a production only slightly below
the record crop of 1926, when 41,900,000 pounds were produced.
Livestoclc
Rainfall during July and the early days
of August was very beneficial to ranges
throughout the Eleventh District. There were scattered areas
in West and Northwest Texas, however, where rainfall has
been deficient and ranges have deteriorated. Livestock generally have held up well and are reported to be in fair
to good condition. The Department of Agriculture reported
Lhat the August 1 condition of cattle ranges in Texas was
82 per cent of normal, the same as a month earlier, and 6
points higher than a year ago. The condition of sheep and
goat ranges rose 1 point during the month and on August 1
was 12 points higher than on that date in 1930. Cattle, sheep,
and goats in Texas showed no change in condition during
July but they were in considerably better condition than 011
August 1 last year. In Arizona and New Mexico, the condition of ranges on August 1 was 85 per cent of normal, representing a decline of 5 points during the month. Cattle in
New Mexico lost 2 points and in Arizona 3 points. The condition of sheep remained unchanged in New Mexico bUl
lost 1 point in Arizona.
According to the preliminary estimates of the Department of Agriculture, the amount of wool shorn or to bc
shorn in Texas in 1931 totals 53,361,000 pounds as compared to 48,262,000 in 1930; in New Mexico 16,128,000
pounds in 1931, as against 16,167,000 in 1930; and in Arizona, 6,684,000 pounds in 1931 as compared to 5,94,0,000
pounds in 1930.
Movements
The July receipts of cattle, calves, and
and Prices
hogs at the Fort Worth market reflected a
decline as compared to both the previous
month and the corresponding month last year. While the
arrivals of sheep reflected a sharp decline as compared to
the heavy receipts during the three preceding months, they
were considerably larger than in July, 1930.
The cattle market generally reflected a further declinc
during the past six weeks. The most pronounced weakness
was in the calf division. Beef steer prices showed a good
advance during the second week in August and at the middle of the month were about $1.00 higher than thirty days
earlier. Hog prices rose steadily throughout July but lost
~'he cotton crop in this district made good progress
~Ul'lng July. The dry weather during June enabled the
funnel'S to bring the crop to a good state of cultivation and
~vas conducive to the development of a good tap-root system.
Then the heavy and fairly well distributed rains during
~Uly,. stimulated the growth and fruiting of the plant. Thus,
CSPIte the substantial reduction in acreage, the August 1
report of the Department of Agriculture, placed the indiCated production of cotton in the three principal cotton
~tates attached to this district, considerably in excess of the
<lctual production last year. In Texas, the Department estiIl\ated the condition of the crop at 75 per cent of normal
und the prospective per acre yield at 155 pounds, which not
O~ly exceeds the 114-pound yield last year by a wide mar~hn, ?ut. is .the largest since 1920. The De~artment stated
t at llldlcatlOns point toward a large crop m the northern
;VO-L~irds
of the state, a production considerably below last
car
·
In
the
southern district, and a good crop in the sectIan 1 .
th Ylng between these two areas. Since the first of August,
ue~~e. have been complaints of shedding, root rot, and insect
c lVity. The latter still constitutes a potential threat to late
·oLton. The Department of Agriculture estimated the per
;ere yield ill Louisiana at 220 pounds, as compared to 162
hounds last year. The most conspicuous gain was in Oklaoma
, where the per acre yield was placed at 180 pounds
aSa'
th galnst only 102 pounds in 1930. In both these states
aCe total indicated production was considerably in excess
tota~ ye.ar ag? In Ari.zo~a and New M~xico a decrease in
was mdICated, due entll'ely to the smaller
ue PloductlOn
'rea
I
In ge. n the appended table, there is shown the Depart. 1ture ' s A
'
f
1
totCnt1 of Agncu
ugust IestlInate
0 yie d per acre and
fig~ production for 1931 with comparisons with the actual
res for 1930, in those states attached to this district:
Yield Per Acre
Pounds
TelM . .... .... _....... .. . . . .
Oklahoma .. •.........•.....•
Louisiana .. ... . ............. .
Now Mexico ................ .
Arizona . .................. ..
1030
114
102
162
375
346
1031
155
180
220
375
355
Total Production
Bales
1930
4,038,000
854,000
715,000
00,000
155,000
1031
5,018,000
1,200,000
866,000
86,000
131,000
MONTHLY BUSINESS REVIEW
4
the gain during the first half of August. Following the low
levels reached late in June and early July, the market on
sheep and lambs showed some betterment.
COMPA RATIVE T OP LIVESTOCK P R IC ES
(Dollars per hundred-weight)
July
1081
17. 00
5 . 15
4 . 65
F ORT WORTH LIVESTOCK R ECEIPTS
(Number)
Cattlo . .. . . . ... . .
Calves . ........ .
Hogs ..... . ... . . .
Sheep . .. .. . ... . .
July
1031
50,162
13, 070
11,403
60,510
July
1930
52,027
26,134
17,380
42,157
Change over
Year
- 2,465
- 12,464
- 5,887
+ 24,353
June
1031
58,554
10,534
14,940
121,003
Change over I
Month
- 8,392
- 2,864
- 3,456
-54,403
0:75
8 .50
4 . 00
0 .00
July
1080
$0 .25
5 .50
0:00
0 . 15
4 .85
0. 00
June
1031
S7 . 00
6 .50
4.50
3. 25
8 .50
7 . 70
4 .25
7 .25
FINANCE
The past month witnessed a steady increase in the volume of member bank
borrowings at the Federal Reserve Bank.
These loans rose from $10,503,000 on
July 15 to $13,355,000 on August 15, and on the latter
date, compared to $14,,109,000 on the corresponding date
last year. While loans to reserve city banks showed a slight
expansion, most of the funds were absorbed by country
banks to finance the completion of crop cultivation and to
meet the seasonal decline in deposits. There were 252 banks
borrowing from the Federal Reserve Bank on August 15,
as compared to 217 thirty-one days earlier. Holdings of bills
bought in the open market totaled $3,735,000 at the middle
of August, which was $1,152,000 greater than a month
earlier, but $2,684,000 less than a year ago. Investments in
United States securities showed only a slight change. Federal reserve notes in actual circulation showed a very small
increase during the period, but on August 15 were $5,4,57,000
lower than a year ago. The daily average of member bank
reserve deposits amounted to $53,322,000 during the thirtyone-day period ending August 15, which was $1,284,,000 less
than during the previous period, and $4,638,000 below the
corresponding period of 1930.
Operations of
the Federal Reserve Bank
Total oash reserves . . . .. ........ . .. ...... .
Discounts for member banks .. ... . . .. ... . . .
Other bills discounted . ... . ... ........ . . .. .
Bills hought in open market .... ........ .. .
United States seourities owned . .. .... . . .. . .
Other investments ...... . . .. .. ... .. . .. . .. .
Total earning assets ....... ...... .... . .. . .
Member bank rcserve doposits .. . . . ...... . .
Federal rceerve notes in ne tual oiroulation .. .
July.15,
1031
$ 48,700
10,508
o
2,583
30,130
167
43,380
54,200
27,012
Aug. 15,
1030
S 48,407
14,100
4
6,410
20,220
7
40,768
57,578
32,511
The loans and investments of member
banks in selected cities, after showing a
substantial increase between June 10 and
July 8, declined sharply duripg the succeeding five weeks and on August 12 were
at the lowest level recorded in several years. The total on
that date stood at $420,274,,000, which was $13,700,000 less
than on July 8, and $16,694,000 below those on August 13,
1930. Investments in United States securities were reduced
$7,297,000 during the period, but on August 12 were
$7,840,000 greater than a year ago, Their holdings of other
stocks and bonds were increased slightly between July 8
and August 12 and on the latter date were $12,699,000 larger
than on August 13, 1930. During the five-week period loans
on securities were reduced $1,833,000 and "all other" loans
(largely commercial) declined $6,695,000, Total loans,
Condition of
Member Banks
in Selected
Cities
CONDITION STATISTICS OF MEM Dlm BA NKS I N SELECTE D CI'1'1ES
(J n th ousands of dollars)
United Stutes securities owned ............ .
All other stoeks, bouds, a ud sec urities owncd .
Loans on see urities . .. .. .. .. ... ... . .. . .. . .
All other loans . . . ... . ... ..... ... . .. .. ... .
Total loans ... .. .... . . .. .. . . . . . ........ . .
Net demand deposits ....... . ... .. .. .. . . . .
Time deposits .......... . ... . ........... . .
Reserve with Federal Reserve Bank .. . .... .
Bills payable and rediscounts with Federal
R eserve Bank .. . .. . ..... . , .. .. .... . .. , .
Aug.1 2,
1081
$ 60,384
50,203
80,200
202,307
201,087
200,110
140,815
31,530
July 8,
1031
S 70,681
58,011
01,123
207,250
208,382
200,880
144,488
32,026
Aug.13,
1030
S 61,544
40,504
00,051
220,860
328,020
273,781
150,731
32,400
1,110
675
2,040
Deposits of
Member BanI,s
CON DITION OF THE F E DE RAL R ESERVE BANK
(In thousands of dollars)
Aug.15,
1031
$ 45,850
13,355
6
3,735
30,141
47
47,284
52, 101
27,054
which amounted to $291,687,000 on August 12, were $37,233,000 less lhan those on the corresponding date in 1930,
The net demand deposits of these banks reflected a slighl
decline during the period and were $4,,662,000 smaller than
a year ago, Their time deposits declined $3,673,000 between
July 8 and August 12 and were $9,916,000 below those al
this time last year. The borrowings of these banks at the
Federal Reserve Bank amounted to $1,119,000 on August
12, as compared to $675,000 five weeks earlier, and $2,949,000 on the corresponding date last year.
Reflecting the fifth consecutive monthly
decline, due largely to seasonal influences,
the daily average of both net demand and
time deposits of member banks in the Eleventh District
register~d a substantial recession, The combined daily aver'
age dunng July amounted to $763,161,000, as compared ~o
$775,035,000 in the preceding month and $832,517,000 In
the same month last year. While the daily average of net
demand deposits of reserve city banks showed an increase
of $3,181,000, it was more than offset by the large decline
which was reflected in time deposits, The average net
mand deposits of country banks declined $9,103,000 an
their time deposits receded $1,561,000.
dd
DAILY AVERAGE DE POSITS OF MEMBER DANKS
(In thousand. of dollnrs)
Jul y,
Au~ . ,
Sept.,
Oot .,
Nov.,
Dec.,
.Tan.,
Feb.,
Mar.,
April,
May,
,Tnne,
July,
-
Combined Total
R eserve City Danks
Country Blinks
Net demand Time Net demond Time Net demand 'rime
deposits deposita depooits deposits deposits doposits
1030.. ... . S501,565 $240,052 $26 1,1 27 $142,482 $330,438
$08,470
1030 ... . .. 570,002
241,200
250,176
141,675
322,010
00,504
1030..... . 502,530
237,505
202,310
130,040
330,220
07,055
237,945
205,782
141,153
327,344
00,702
1030. ..... 503,126
1030 ...... 508,534
n O, 453
200,700
142,250
321,738
07, 203
1030 .. .... 574,004
235,11 0
262, 124
130,000
31 2,780
05,2 10
193 1. .... . 565,388
232,060
258,313
141,257
307,075
01.700
103 1...... 576,803
236,250
264,844
143,681
311,050
02,500
1031.. .... 567,4 68
234,767
263, 123
143,080
304 346
01.087
1031. .. . .. 567,000
234,141
260,207
142,580
207:802
01,115 2
103 1. ..... 563,222
233,R53
207,010
140,362
206, 21 2
03,20 1
103 1. ..... 543,1 55
23 1,880
254,063
130,800
280,002
01.900
1031. ..... 537,233
225,028
257,244
135,400
270,080
00,420
MONTHLY BUSINESS REVIEW
Debits to
The gross volume of debits to individual
Individual
accounts at principal centers in this disAccounts
trict during July amounted to $605,625,.
000, as against $628,285,000 in the preVIOUS month, and $774,791,000 in the corresponding month
last year. In comparison with the June volume, July debits
DEBITS TO INDIVIDUAL ACCOUNTS
(In thollannda of dollars)
~bilono ...... ...
nuatill . ..... .. ..
Cea~mollt .... ...
noralOana .. .... .
fErline ..........
Paso ..... . ...
aO\t Worth ......
na vcaton . ......
1) ollston ... .. ... .
nort Arthur .....
S oswoll. ........
sfn Antonio ... ..
T lrovOport ......
1,cxnrknna· ......
unson ..... , ....
WIlCO
Wiohiia' il~il~ : '. '. '.
July
.July
1031
$ 6,200
17,463
18,401
4,283
164,630
23,110
67,162
26,060
144,748
7,376
3,653
50,024
27,030
8,057
HI,106
12,400
14,025
1030
$ 7,600
lu,446
24,2ll
4,073
188,620
34,360
00,316
32,856
173,853
11,054
4,268
70,045
36,447
13,050
10,337
14,020
20,528
Porcontngo
chn~!~vcr
-30.4
- 10 .2
- 23.6
- 13 .0
- 18 .0
- 32 .7
-26.6
- 21.0
- 16.7
-33.a
- 14.4
-25.0
-23. 3
- 31.4
- 1.4
- 11.6
- 52 .5
Juno
1031
$ 6,423
20,033
20,130
4,164
167,346
24,082
60,060
10,688
146,660
7,802
3,164
71,354
20,782
0,3aO
14,104
11,556
12,041
--- --- --- ---
Porccntagc
chango over
Month
- 2.6
- 12 .8
- 8.2
+ 2.0
- 1.7
- 7.3
- 4 .0
+31.0
- 1.3
- 5 .5
+16.6
- 16 .0
- 6.2
- 4 .0
- 27.7
+ 7.3
+ 8.4
---
Total. .... $605,625
$774,701
- 21.8
$628,285
- 3 .6
D' ~Illoludca tho figuroe of two blinks ill 1'oxarklllln, Arkauana, locnted in tho Eighth
latrlct.
~
-
6
were 3.6 per cent smaller, and a decrease of 21.8 per cent
from the volume of July, 1930, was registered. While all
reporting cities participated in the latter decline, five of
them showed increases over the previous month.
Acceptance
Market
Bankers acceptances executed by accepting banks in the Eleventh District and
outstanding on July 31 totaled $1,233,571 as compared to $1,967,067 at the end of June and
$3,262,870 on the corresponding date last year. The chief
decline was in acceptances based on the domestic shipment
and storage of goods, which fell from $930,129 on June 30
to $236,4.80 at the end of July. The volume of acceptances
executed against import and export transactions reflected a
decrease from $1,036,938 to $997,091, but on the latter
date was larger than on July 31, 1930.
Savings
Deposits
A larger than seasonal decline occurred
during July in the amount of savings deposits held by 86 member banks in this
district: On the last day of the month, total savings deposits
amounted to $14,6,634,927, as compared to $151,590,016 at
the close of June, and $152,729,589 on July 31, 1930. The
decrease during the month was 3.3 per cent, and was shared
by all major cities with the exception of Galveston and Port
Arthur.
,'AVINGS DEPOSITS
g~~~nont .. . .. . .... . .. . .• .
~I~~~:::::::::::::::::::
O
G \ ;Vorth .... ......... .. .
lin voaten ................ .
l' Oltaton ....... ...... ... . . .
Arthur ............. ..
Shn Antonio .............. .
WrovopOrt ... ... ......... .
s::r
\V~II ""
................ .
AI:co't~ Falla ... .... ...... .
rs .... .. ...... .... .
Numbor of
Reporting
Bnnka
4'
4
2
2
3
ll2
7-
44
2
41-
July 31, 1031
Numbor of
Amount of
Savinga
Savinga
Dcpositors
Dopoeits
5,551
63,122
15,474
21,060
12,784
74,244
4,665
34,600
21,065
10,572
3,484
38,648
$ 2,623,786
24,648,037
6,420,618
7,420,167
8,181,50a
33,007,060
1,885,005
24,169,506
11,750,013
6,352,017
1,470,022
18,688,303
July 31, 10aO
Number of
Amount of
Savinga
Savinga
Dopositora
Deposits
5,611
67,883
16,310
18,870
13,150
71,802
4,810
31,824
20,036
10,382
3,747
40,851
$ 2,640,803
26,767,588
5,058,146
7,746,047
8,121,862
34,694,577
1,758,076
22,734,180
13,215,251
6,867,708
1,674,116
20,560,335
Peroentage Chango
Ovor Year in
Savinge Depooits
.6
-
7.0
8.0
4.1
.7
2.0
7.2
6.3
+
+
+
- 11.1
-
- 7.5
- 11 .7
- 0.1
June 30, 10S1
Numbor of
Amount of
Savings
Savinga
Dopositers
Doposits
5.500
63,474
15,526
21,IS6
12,850
74,567
4,673
35,077
21,178
10,470
3,615
38,760
S 2,626,202
25,004,076
5,520,244
8,004,002
S,113,603
34,006,400
1,857,001
24,865,360
12,272,846
0,62S,003
1,543,620
10,176,800
Total...........
86
305,377
$146,634,027
306,275
$162,720,680
- 4.0
306,803
SI51,500,016
-Only 3 banks in Beaumont, 10 in Houaton, 6 in Snn Antonio, a in Shroveport and 37 in "All othora" roportod tho numbor of aovinga dopositera.
...
AUGUST DISCOUNT RATES
Percentage Change
Over Month in
Savinga Deposits
.1
-
5.2
1.6
S.2
+ 2 .8.0
+ 1.5
- 2.S
-
-
4.3
2.7
4.2
2 .5
-
3.3
Provniling Rotes:
DnUna
EI Pnao
Fort Worth
Houaton
Snn Antonio
Waco
-----~----------------------------------~~----- I---------'I--------- I----------I--------- I --------- 1 --------ltato charged cu.tomors on primo commercial pnper suoh as ia now eligiblo for
3-0
5-0
5- 8
6- 8
4-0
6-8
ltat rediacount undor tho Fodoral Rcaerve Act ............ .. . . .................. .
5-6
5- 6
5-6
5- 6
n .~ chargod on loona to othor banks accurod by billa reeeivable ...... . .. ..... . ... .
4Y....5~
5Y.... 0
a"". en lonns aoourod by prime atock exohango or other curront collnteral (not
Including lonna plMod 10 other markets through corr08pOndont banks):
ltat
~i~"'o~n.~.: :::::::::::::::::::::::::::::::::::::::::::::::::::::::::::
~
cnttle lenna . . ............................... . .... .. .. . .............. .
lta~ Chorged on commodity paper aoourod by warohouae roceipts, otc .......... . ... .
5- 6
Hi-S
4-6
6-7
6- 8
6-8
8
6-8
5-8
6- S
6-8
6-8
5- 6
5-6
5-6
7-8
6- 8
6- 8
6- 8
7-S
6-8
6-8
6- 7
7
INDUSTRY
'J'ex,tile
The consumption of cotton and the proMilling
duction of cloth at Eleventh District texPre .
tile mills reflected an increase over the
d }.lOUS month, contrary to the usual seasonal trend, but
lQcc lnes were registered as compared to the corresponding
or~nlh last year. The demand for finished cloth as shown by
not~rs on hand at the close of the month again evidenced a
Iv lceable increase over both comparative periods. There
ere
in ~,0419 bales of cotton consumed by reporting mills durin gJt e month as against 857 bales in June, and 1,148 bales
uly, 1930. The production of cloth while 21.0 per cent
below July a year ago was 15.1 per cent above the previous
month.
The domestic consumption of cotton during July again
showed a substantial increase over the corresponding month
of 1930, and while a decline was registered as compared to
the previous month, the recession was much less than seasonal. While the consumption of cotton during the current
season was 13.8 per cent smaller than in the previous season,
the accompanying chart shows that as the season advanced
the comparison became more favorable, and in June and
6
MONTHLY BUSINESS REVIEW
July consumption was substantially larger than in the corresponding month of 1930.
OF' COTTON
DOMESTIC CONSUMPTION
THOUS AN
600
TO<M
United States
August 1 to July 31
August 1 to July 31
This Season LMt SeMon This Season LMt Season
os or eA L.~S
/\
-
-./
/
'I
'"
,
\1929'30/
,
I
,
./
V
'
.......f-" .....,
,
I
~ V- f-./
~
V
' ...
...,
Cottonseed receivcd at mills
(tons) .. . . .. .. . .. ..... . . '"
1,258,51 2
1,280,630
4,004,363
5,021,657
Cottonseed crushod (tons) .. .. .
1,261,7<J1
1,283,851
4,713,770
5,015,714
Cottonseed on hand (tons) .. . . .
13,474
16,721
26,003
45,434
Crudo oit produced (pounds) .. . 372,11 2,013 383,630,8511,441 .781,316 1,572,321,675
Cako and meal producod (tons)
003,182
605,676
2,162,218
2,231,002
Hulls produced (tons) . . ... . .. .
358,482
313,585
1,303,403
1,383,507
Linters produced (running
boles) .. . . ... .. .... . ...... .
105,808
260,007
824,174
1,038,170
Stocks ou hnnd July :ll:
Crude oit (pounds) .. . . . . .. ..•
715,301
1,137,887
2,186,854
2,605,307
Coke and meal (tons) . . ..... .•
24,332
17,797
150,201
05,352
Hulla (tons) .. ............ .. .
25,088
7,377
47,818
28,405
Linters (running balos) . ..... . .
36,762
41,302
174,008
135,220
Cotton
Movements
zoo
100
o
STATISTICS ON COTTONSEED AND COTTONSEED PRODUCTS
AUG
SCPT
OCT
NOV
OI:C
JAN
~~e
MAQ
APC
MAV
JUNI:
.JUL.v
TEXTILE MILLING STATISTICS-TEXAS
Number bales consumed ... ... . .. . . . .. •... .
Number spindles activo ..... . ...... .... .. .
Number pounds of oloth producod . ........ .
July
1931
1,040
52,040
471,457
July
1030
1,148
54,540
506,506
Juno
1031
857
50,540
400,612
COTTON CONSUMED AND ON HAND
(Bales)
July
1081
Cotton growing states:
Cotton consumed... .. ......
On hand July 31 inConsuming establishmcnla.
Publio storngo and compresses ...... . .......•.
United States:
Cotton consumod . .. .. . . . . ..
On hand July 31 inConsuming ostoblishmonla.
Publio storago aud compresses . . •. . .. ... . . . . . .
353,611
450,518
July
1030
302,561
378,835
August 1 to July 31
This Season Last Seuson
4,155,148
4,757,356
670,012
702,138
4,152,430
2,010,260
5,270,048
6,113,932
004,070
1,183,167
Foreign exports of cotton from all United States ports
also reflected an increase over the preceding month and they
again showed a material increase over the corresponding
month of 1930. Exports amounted to 259,059 bales during
July as against 255,4,03 bales in June and 176,435 bales in
July, 1930. During the 1930-31 season, 6,760,003 bales of
American cotton were exported to foreign countries which
represents an increase of 1.0 per cent over the previous sea'
son. From the accompanying chart it will be noted that
during each month of the last half of the season, exports
have exceeded those of the corresponding month of the previous season, indicating a sustained foreign demand for
American cotton. An important feature was the large increase in takings by Japan and China.
EXPORTS
or
"RON
UNIT~D
rI10U 5 1\NOS OF' BALf:S
4,024,426
2,877,416
........................................
Cottonseed
Products
Contrary to seasonal tendencies exports
of cotton during July from the ports of
Houston and Galveston exceeded those of
the previous month and again reflected a substantial increase
over the corresponding month of 1930. During the 1930-31
cotton season, which ended July 31, the combined exports
of cotton from Houston and Galveston averaged 2.4 per cent
less than in the 1929-30 season. Receipts during the twelve·
month period were 3.2 per cent less than in the preceding
twelve months.
Activity at cottonseed oil mills during
July at both Texas and United States
mills was considerably under the previous month, and excepting the production of hulls and
linters at the former mills, operations were on a smaller
scale than in July, 1930. During the season ending July 31,
operations at United States mills were smaller than in the
preceding season, but they were above the average for the
past ten seasons. At Texas mills, the production of hulls
during the 1930-31 season exceeded that of the 1929-30 season, while that of all other items showed a decline. Shipments of crude oil from the United States mills during the
past season were somewhat below those of the previous
twelve-month period, yet mill stocks were reduced from the
low volume of 2,605,397 pounds held on July 31, 1930, to
2,186,854, pounds on July 31, 1931. Consumption of cake
and meal, hulls, and linters was smaller than in the previous
season and as a result stocks increased considerably.
Shipments of all products from Texas mills likewise reflected
declines during the season just closed but stocks of crude oil
and linters held at the close of July, 1931, were smaller than
those a year ago.
,
I,
,,
THC
COTTON
:STATCS
~
\
1200
1100
1000
A
QOO
700
l\
\
,
, 1929'30
~
\
\
\
\
VJ,,
,
/f
500
\
\
--
600
4 00
V"
/1
800
\
\
\
\
\
\
/'
V
\1930':51
IV ,l\
..... '\
1/
'\'~
, 1"- f--
I
:500
I
I
~
200
-
.JuNe
JUC'(
100
o
AUG
Sf:PT
OCT
NOV
D~C
.JAN
n:8
HAQ
APQ
NAV
-
F--
-
MONTHLY BUSINESS REVIEW
COTTON MOVEMENTS THROUGH TH E PORT OF GALVESTON
(Dalos)
~cceipt.. .. .. .. ........ .. .. ..
StxpOrt.. . .. . ...... . ... ... .. ..
ocks July 31 ... . .... . ..... .
~:
--
July
July
103 1
18,620
80,468
1030
17,632
38,006
August 1 to July 31
'fhis Sonson Lnat Sonson
1,563,875
1,346,812
401,062
1,021,861
1,811,607
185,252
.............................. .... .
Texas figure. With the exception of North Texas, which reo
mained practically the same, all other Texas areas reflected
decreases in daily yield during July. New Mexico's daily
production increased to 42,560 barrels, while that of Nor th
Louisiana showed a decline and amounted to 33,682 barrels.
Posted prices for crude petroleum were increased on
July 24 by amounts ranging up to 22 cents per barrel.
ou, PRODUCTION-(Barrols)
C01'TON-GALVESTON STOCK STATEMEN'r
(Bnlce)
July 31,
~:or Great Britain .......... . . .. .. . ........... . ...... .
r or France ..... . ...... .. . . ... .. .. ..... ..... . . ... ... .
l~or othor foroign port.. .......... .. ... . .. . ...... . . . . .. .
I' Or coastwise port.. ......... . ....... .. .. ............ . .
n eomprCBBce and depot.. .. .. .......... . ........ ... ... .
Total. .. . ......... .. .... .... . . ....... . . .
1031
500
500
2,000
300
307,762
401 ,062
7
1030
700
000
3,300
100
180,252
North Texas .. .. ..... ..... ... 3,623,000
Central Weat 'I'oxas . . ... .••... 7,101,700
Enat Contral Toxna ... .. ..•. . . 15,774,050
Texas Conatal .... . ........... 4,187,000
South Texas ................. 1,700,850
185,252
July
July
1031
8,248
88,007
1030
7,081
68,850
JULY DRILLING RESULTS
August 1 to July 31
'I'his Sonson Lnet Sonson
2,843,534
2,350,24 2
720,307
2,620,467
1,077,362
515,271
North Texas .............. .
Central Weat Toxna ...... .. .
Enat Contral Toxas ...... •. .
Soutb Texas ....... . ....•..
Texas Coastal .... .. ........
~-- .
-
SEASON 'S RECEIPTS, EXPOUTS AND STOCKS OF COTTON AT ALL
UNITED STATES POR'J'8-(l3alce)
Air other oountrice... . ...... . ... ... . ...... . . .
738,147
Total foreign port.. ...... .. ......• , . .. . .. .... 6,760,003
at all United Statea port.. July 31. .. . .. . .... . .... 2,767,020
rloons.. .................... ... ....
g~r:~~;~.:.::::::: ::::::::: : ::::::: : :::::
10.35
10 .16
tUg
8 . 25
8 . 12
H~
2l
Gna
Wolis
0
0
312
10
12
3
1
1
3
1
... iii'
.. "5'
... 5"
560
435
15
1031
7 .05
6.05
U~
................................. .
l1ail·
urea
Initial
Production
16
10
26
24
21
1,455
1,412
2,460, 200
1,225
4,085
......
........
6
1,557
116
2,723,473
August 11,
August 12,
103 1
S .51
.42
1630
S1.1 5"
1.57""
-404- -352- - 0-357- --14
480
---2,460,277
103
-100- --2,470,834
CRUDE OIL PRICES
(0.1 stnt18tiea compiled by The 0.1 Weekly, Houston, Texas.)
Aug. 15,
Petrole'''n
....
As a resu1t of the f urther stea dy expan·
Pl'.
sio~ in t~e output .of East Texas oil fields,
it oducholl of crude 011 durmg July m the Eleventh Federal
.ehserve District was on a considerably larger scale than in
Cit
III er the previous month or the same month last year. The
b Onth's production in this district amounted to 34,850,900
da~'rels, establishing a new high record for both total and
lh~!Y average ou~put. ~esp~te t?e. slight~y. longer. month,
b e Was a matenal dechne III dnlhng actIVIty, as wItnessed
the completion of only 480 wells in July as against 566
une . The 357 producers completed during July yielded
c' 70,834, barrels flush production, as compared to 4,35 suc·
o~~Sful completions in the previous month with an initial
Put of 2,723,473 barrels.
ft baily yield in Texas rose above a million barrels for the
1'hrst t'll;te in any month and amounted to 1,0417,981 barre1s.
c e dally average in East Texas increased 95,743 barrels, as
°ltJ.pated to June, and amounted to 408.6 per cent of the
i;
Producers
28
26
330
37
34
Texas Coastal (35 gr. and above) ... . .. . ... . ........... .
North 'l'exas and North Louisiana (40 gr. and abovc) . . ...
"Prioo paid fer Toxas Coastal ~ade " A" .
"Prico paid for oil 44 gr. and a ovo.
SPOT COTTON PIUCE8-(Middling Basis)
(Conte I)er pound)
~OW60rk ........ .... .. . .'.... . .. .. ... ...
Com·
plotions
-
430,647
6,600,810
1,548,542
~
July, 1631
High
Low
July totols, district .. . . .... .
Juno totale, district . ........
"Figurea not availablo.
8,856,OOa
1,256,042
811,520
~fiE~~~;~~':::::: : ;:: :::.:: :~::: .::~::: ~1iUi~ ::~mi
~
Total Texas ... . ...
New Mexico" ........... . ..
Nortb Louisiana . . ....... . ..
August 1 to July 31
This Sonson Lnet Sonson
~ocoipt.. . ... . . . . . . . . . . . . . . . . . . . . . . . . •. . . . . . . . . . .• . . . . 0,041, 448
'xport..: United Kingdom ... ....... . ...... ... ... . .. . . 1,053,774
Franco........ ... . .. ... .. . ... . ...... ... . ...
014,223
D~rr
18
+
- 10,873
+05,743
- 9,656
023
+
----- --1,047,08 1 +3,277,250
+74,300
42,560 + 104,650
+ 2,070
33,682 52,800
- 2,883
- - - --- - - - --34,850,000 1,124,223
+3,320,100
+73,496
---
~
-
117,450
+
07, 100
-+3,381,150
154,600
- 30,350
COTTON MOVEMENTS THROUGH THE PORT OF HOUSTON
(Balce)
ftoceipt... ... . . . . . . . .• . . . . • . . .
St:kat.... .. .... .... .........
July 31. ............. .
Stocke
11 6,000
220,087
508,840
135,004
58,060
Total Texas .. . ...... 32,487,400
New Mexico ..... .. ........ . . 1,310,350
North Louisiana . ...... .. ... .. 1,044,150
Totol District .... . . ..
-
Inorease or Decrease Over
Juno, 1031
Total
Daily Avg.
July, 103 1
Daily Avg.
Total
July 31,
Cement
There was a small seasonal increase in
both the production and shipments of
portland cement at Texas mills during July. Total produc.
tion amounted to 64<6,000 barrels, as against 6341,000 barrels
in June and 585,000 bal'l'els in the corresponding month
last year. Shipments, which amounted to 696,000 barrels,
were 0.4, per cent higher than in the previous month but
1.8 per cent under a year ago. Stocks on hand at the end of
July totaled 626,000 barrels, being 7.3 per cenL smaller than
a month earlier but 11.0 per cent larger than on July 31,
1930. Production during the first seven months of the cur·
rent year averaged 11.5 per cent less than in the same period
last year, In shipments there was a correspondin g decrease
of 12.6 per cent.
PRODUCTION, SHIPMENTS AND STOCKS OF PORTLAND CEMENT
(In thousands of barrols)
% Chango
Jail. through July 31
Ovor
%Change
Number Month Yenr Number Uver Yenr
Produotiou nt Toxna mills.... . .... .. 640 + 1.0 + 10 .4 3,562
- 11 .5
Shipmont.. from Texas mills.......... 696 + .4 - 1. 8 3,738
- 12 . 6
Stooks at end of month nt Texas mille. 626 - 7 .3 +11.0
July, 1031
MONTHLY BUSINESS REVIEW
Building
While the valuation of building permits
issued during July at 14 leading centers
in this district reflected a further decline of 7.6 per cent
as compared to the previous month, more than half of the
individual cities reported material increases. The volume of
construction permits issued in July totaled $3,259,703, being
38.7 per cent smaller than in the same month last year.
Valuation for the first seven months of the current year was
35.2 per cent less than in the same period in 1930.
BUILDING PERMITS
July, 1931
No.
Amarillo .. . .. . .
Austin .........
Beaumont .. .. ..
Coreus Christi. .
Dalas . .... . . ..
EI Paso .. . .....
Fort Worth .. . . .
Gnlvoaton . .. . . .
Houston . .. .. . ..
Port Arthur . ...
San Antonio . . . .
Shroveport .....
Waco . .... . . .. .
Wichita Falls . . .
Total ... .. .
Valuation
July, 1930
No.
----54
45 $ 101,599
218,045
106
71,792
67
52
34,455
251
274,245
62
69,890
161
353,668
112
82,562
305 1,331,521
273,829
64
238,239
246
137
52,495
33,760
22
11
64,103
98
154
54
289
loa
217
106
330
126
236
156
29
21
Percentage Change
Valuation Over
Valuation
Year
$ 180,120
295,393
150,760
40,327
1,314,702
175,118
229,374
59,780
1,874,429
371,131
415,015
125,422
73,720
9,085
- 1,041
--- - - --$3,250,703 1,973 $5,320,382
- 13.2
- 20 .2
- 52.4
- 14 .0
- 79 .1
- 60A
+ 54.2
+ 38.1
- 29 .0
- 20 .2
- 42.6
- 58.1
- 54 .2
+605.6
- - -38.7-
June, 1931
No.
Pereent"~c
Valuntion
65 $ 148,284
145,516
106
44,910
75
92,926
69
338,500
343
73,910
oa
310,425
153
878,824
117
301 1,055,130
31,203
71
130,797
209
210,522
151
58,600
32
9,272
12
-- 1,707
-$3,528,810
Chango
Valuation Over
Moath
,+
,+
+
;-
9.0
49.8
59
.9
,
62.9
19 .0
6.1
13 .9
, I :-+ 90
.0
1+ 26 .2
777
1.. .'. 82.. 16
. - 75.1
i;:"~ L 42 .4
~
1t
In~ I+591.4
;. 1- - 7.0
-
Soven Months
Porcelltage Chango
1931
1930
Valuation Over
Period
No.
Valuation
No.
Valuation
347 $ 1,059,002
420 $ 1,474,248
+ 32 .9
652
1,538,710
695
2,605,046
- 40.9
742
804,530
994
1,414,082
- 38.9
375
354,780
401
802,348
- 58.9
2,268
3,141,600 2,344
5,505,090
- 42.9
S03
701,598
814
2,012,723
- 62 .2
1,378
3,052,910 1,770
4,852,353
- 37 .1
872
1,740,750
868
820,364
+112.2
2,243
8,013,909 2,334
10,887,880
- 26.1
423
840,150
778
2,059,933
- 59.2
1,577
1,672,521 1,981
5,410,470
- 69. 1
1,024
, 676,744
1,232
1,235,330
- 45.2
195
1,021,096
247
767,002
+111.4
79
120,525
161
825,565
- 85.4
I
12,678 $20,350,7:37
15,039 $ 40,082,440
--~5.2
SUMMARY OF NATIONAL BUSINESS CONDITIONS
(Compiled by the Federal Reserve Boord, August 24, 1931)
Industrial production and factory employment declined
by somewhat more than the usual seasonal amount in July,
while the general level of commodity prices remained unchanged. Conditions in the money market continued easy.
PRODUCTION AND EMPLOYMENT
Industrial production, as measured by the Board's index,
which is adjusted to allow for the usual seasonal variations,
declined 1 per cent further in July to 83 per cent of the
1923-1925 average, compared with the low point of 82 for
last December and the year's high point of 90 in April. Output of iron and steel, automobiles, lumber, and copper decreased further, while activity at textile mills and shoe factories was maintained at a high level. Factory employment
and payrolls declined by somewhat more than the seasonal
amount from the middle of June to the middle of July. Large
decreases in employment were reported at car-building shops
and machinery and automobile factories, and at lumber
mills. In the textile industries as a whole employment decreased somewhat less than is usual in July; and there were
increases in employment in the woolen goods and men's
clothing industries. Figures on the value of building contracts awarded during July and the first half of August, as
reported by the F. W. Dodge Corporation, show a continuation of the downward movement of recent months. Department of Agriculture estimates based on August 1 conditions
indicated an unusually large crop of winter wheat, an exceptionally small yield of spring wheat, and a total wheat
crop of 894,000,000 bushels, 72,000,000 bushels larger than
the five-year average. The corn crop was estimated at 2,775,000,000 bushels, about the usual size and 700,000,000
bushels larger than last year's small crop. In spite of a 10
per cent reduction in acreage, the cotton crop was estimated
by the Department of Agriculture to be about 15,584,,000
bales, an increase of 1,600,000 bales over last year.
DISTRIBUTION
Freight-car loadings increased by slightly less than the
usual seasonal amount in July and department stores sales,
which ordinarily decline sharply at this season, apparently
decreased somewhat more than usual.
WHOLESALE PRICES
The general level of wholesale prices in July continll ed
at 70 per cent of the 1926 average, according to the inde"
of the Bureau of Labor Statistics. Increases were reported
in the prices of livestock and meats, while prices of building materials and of grains, parLicularly wheat, declined.
During July and the first half of August prices of co tt.on
and cotton textiles declined sharply, while prices of dall'Y
products increased.
BANK CREDIT
Loans and investments of reporting member banks jn
leading cities declined by .about .$340,000,000 ~et~eel! Jtll~
15 and Augus~ .12, reflectmg chIefly further hqUldatIOn,
loans on SeCUrItIes, and a decrease in all other loans, which
was partly a consequence of sales of acceptances to the
reserve· banks. The volume of the member banks' invest·
ments also showed a slight decline for the period. At th
reserve banks there was an increase in the total volume
credit of $190,000,000 between July 15 and August 19
Demand for reserve bank credit during this period increa:ed
h
as a result of an outflow of $144,000,000 of currency, whIG
was larger than is usual at this season, and further transfers
of foreign funds from the open market into balances at the
reserve banks . . This demand for reserve bank credit WIlS
met by the reserve banks for the most part through the pll.rchase of bills and United States Government securities In
t
the open market, but also through increased discounts fo
member banks. Money rates remained at low levels.
°
°f
@FedFRASER