The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
FEDERAL RESERVE BANK OF ST. LOUIS MONTHLY REPORT ON GENERAL BUS!NESS CONDm ONS !N FEDERAL RESERVE D!STR!CT No. 8 Released for Publication On and After the Morning of August 29, 1921 W IL L IA M McC. M ARTIN, CHAIRM AN OF T H E BOARD AMD FEDERAL RESERVE AGENT E N E R A L business in this district during the ism, and show greater disposition to prepare for past thirty days has been som ewhat uneven. the future. There are other signs upon which they W holesalers have shown some improvement base their hopefulness, among which are fair collec but retailers report an unsatisfactory volum e of tions, good crops and prospects, steadily strength business. G oods for com m on consum ption have sold ening banking position and the important fact and moved in larger volum e than during any pre that the community has gotten accustomed to the vious month this year, and in several important metamorphosis in economic affairs and is proceed lines, notably shoes, groceries and clothing, the ing more confidently on the new basis. volume was in excess o f the corresponding period Reports relative to crops vary widely, but on in 1920. Buying, accordin g to alm ost unanimous the whole the period under review has proved comment, continues on a necessity basis, but the favorable for agricultural development in this par number of orders being placed is large, though ticular district. The prolonged spell of extreme their average size is considerably smaller than in high temperatures wrought damage to some past seasons. T h e num crops, notably potatoes, ber of merchants visiting _____ ground fruits, vegetables and pasturage, but there St. L o u i s , L ouisville, L A B O R SIT U A T IO N were sufficient showers Memphis and other large during the period to jobbing centers in late Replies received from questionnaires ad dressed to 173 leading employers of labor in stave off anything like July and early A u gu st 21 of the largest cities of the Eighth Federal failure even in the pro was well up to normal, Reserve District, with a normal complement ductions most affected. as shown by reports o f of 90,047 workers, asking for employment data The plentiful rains in trade associations, but developed the following results: early August performed their purchases w ere Number of Pay RoU Wage Earners wonders in reviving corr Date mainly for prom pt ship Men 71,817 July 1, 1920 hay, cotton, late vegeta ment, and it w as evident Women 17,276 bles and fruits. Advices that they plan to make from Arkansas, Tennes several trips to the sup $4,328,957.00 89,093 Total see, Northern Mississ ply centers w here form 51,396 Men July 1, 1921 ippi and Southern Mis erly they covered their Women 14,048 souri are to the effect needs with one visit. that the outlook for corn Total 65,444 $3,312,365.00 As has been the case was never better. Hay From the above tabulation it will be noted for a number o f months that the number of employees of the reporting and fodder crops in the past, the genera! demand interests decreased 23,649 or 26.6 per cent be same region arc flourish has centered chiefly in tween the dates July 1, 1920 and July 1, 1921. ing and tobacco in the necessities and !o w On July 1, 1920 the number was 954, or 1.05 per immediate past has re priced goods, the m ore cent under normal, and on July 1, 1921, the sponded to the more total was 24,603 or 27.4 per cent under normal. expensive articles and favorable weather condi Wages, figured on a semi-monthly basis, de goods in the !uxury cate creased $1,016,592, or 23.5 per cent between tions. Crop diversifica gory being relatively July 1, 1920 and the same date this year. tion in the South has neglected. T h is is true es placed that section, ac pecially of the rural co m c o r d i n g to excellent munities where the m ost authority, in a more independent position in the pg!d economy is being practiced. Unemployment matter o f foods and feeds than at any time since m the larger centers of population is rejected in the Civil W ar. There are some very unfavorable Manifestations similar to those caused by the effort accounts o f the potato crop from Illinois, Missouri o economize in the country. Stocks of commodiand Indiana, early planted varieties having suf *es m the hands of retailers and ultimate consum fered from the heat and drouth. u i + ers, however, have reached a point where they must A n encouraging development since the last Pj^Pl^ced, and this routine replacement is iurissue of this report has been the heavy movement to manufacturing and distribution. of iarm products to market, indicating complete , -The accelerated movement of merchandise abandonment of the campaign to ho!d and reconas been accompanied by a decided improvement ci!iation to present price returns. T h 's t s t r u e ^ sentiment. W hile no immediate return of norespecially of wheat, receipts of which cereal at v business activity is anticipated, merchants S t Louis in July totaled 9,767,576 bushels, an in manufacturers view matters with more optim! i crease of 5,496,000 bushels over the corresponding month in 1920. Proceeds of this cash crop will have a direct and immediate effect upon the purchasing power of the growing areas, which is expected to find reflection in liquidation of indebtedness with banks and merchants. No change worthy of note has taken place in the fuel situation, either in volume of distribution, production or prices. The demand for steaming fuel continues dull for immediate delivery, and contracting for future requirements is only about 33-1/3 per cent of normal for this time of year. Since the first of August a slightly improved tone has been noted in the demand for lump coal, but generally householders are backward m purchasing for the fall and winter. Illinois mines are opera mg at about 40 per cent of capacity and prices or yplca! varieties from that Aed range us. ' "c lump, $2^0 to $4.05; 4-mch lump, $2^ ' 2x6egK .$2-lp; sc^enmgs,$1.25 to $1.60; mine run, $2.00 to $2.75 per tonat mines. . Railroads operating m ^ i s d ^ n c t ^port improved trafHc during the past three weeks, due to heavy movement of cereals and other agricultural products. The first week of August was Uie largest in point of freight trafHc this year for the twentysix member lines of the St. Louis Terminal Railway Association. There were 36,951 loads interchanged that week, against 32,115 for the corresponding week m July. The movement of coal, steel and iron and building materials continues light. Passenger traffic is holding up m good shape, The Mississippi-Warrior Service, the Government service which operates a barge line bteween St. Louis and New Orleans, exceeded all previous records for freight transported and profit earned during July. After charging off $32,000 for depreciation and overhead expenses, a net profit of $25,000 was shown. Approximately 45,000 tons of grain and merchandise freight were carried in five downstream and three upstream tows, Relative to collections the universal report is settlements on current purchases are prompt, there is still backwardness in liquidating extended accounts, though gradual payments are being made on long overdue debts. In the wheat sections and areas of diversified crop production there ^ been substantial liquidation since the middle of July. Answers to 362 questionnaires addressed JJ throughout the district show the Allowing results: 24 per cent good; 57 per cent ^ 10 fair and 19 per cent poor. The per capita circulation of the United States on August 1 was $53.00, against $53.42 on July 1 and $57.43 on August 1, 1920. Commercial failures in the 12 Federal Reserve Districts during the months of June and July, with comparative figures for July, 1920, as compiled by Dun's, were as follows: NUMBER__________________________ LIA B ILITIE S_____________ Jufy June July July June Ju!y District 1921 1921 1920__________ 1921___________ 1921____________1920 Boston, First--------------------------- *94 136 48 $ 2,124,077 $ 2,546,879 $ 470^9 New York, Second.------------------- 230 232 172 18,342,752 4,736,684 11,438,511 Philadelphia, Third------------------ 72 71 29 1,254,361 1,939,408 755,711 Cleveland, Fourth-------------------- 167 98 54 4,200,340 4,744,487 921,988 Richmond, FiRh---------------------- 124 82 39 1,565,856 1,478,512 1,995,634 Atlanta, Sixth.------------------------- 138 130 32 1,968,097 3,522,511 443,135 Chicago, Seventh--------------------- 222 140 70 4,565,389 4,476,283 2,417,401 St. Louis, Eighth.-------------------- 94 102 28 1,545,874 1,974,278 96,040 Minneapolis, Ninth------------------ 27 31 14 425,042 454,553 238,471 Kansas City, Tenth------------------ 48 73 34 1,056,534 4,764,647 548,910 Dallas, Eleventh----------------------- 114 105 41 3,778,098 2,588,787 1,148,614 San Francisco, Twelfth------------ 114 120 120 1,947,733 1,412,345 1,431,738 Total ------------------------------- 1,444 1,320 681 $42,774,153 $34,639,375 $21,906,412 M A N U F A C T U R IN G A N D W H O L E S A L E In many important lines of manufacturing and turn in the upward direction. Commodities based wholesale distribution the past month has develon iron and steel, building materials and fuel conoped marked progress in the direction of price statinue extremely dull, with the trend of prices lower, bilization. This fact, coupled with depleted stocks, though during the first two weeks of August a has made for increased volume of business and slight revival in the demand for pig iron and some greater confidence in values. In goods for personal steel goods is indicated. Sales of automobiles durconsumption the decline which has continued more ing the period under review were extremely light, or less steadily for nearly a year, was in many especially of the more expensive makes. Moderate instances brought to a halt. Leather goods, notably priced passenger cars are in better demand since shoes, were steady, with a slight upward trend in August 1, with some dealers having disposed of some seasonal raw materials. Textiles, especially their available quotas for from four to six weeks cotton goods, are showing a tendency to react upahead. Distributors report that for the first time Ht ward from their recent low levels, in response to a year, country dealers are ordering some cars, increased demand and prospects for a light cotton Boots and Shoes— The nine reporting interests crop. In groceries and some other foods there are indicate that in numbers of pairs, July sales were sipis which would indicate that readjustment has from 10 to 18 per cent larger than for the same about run it course.. Canned goods, for example, month in 1920, but due to lower prices, the money have advanced m price and are being bought in values involved were 16 to 22 per cent less. Factory volume. Sales of Hour during the past sixty days operation has been at from 90 to 100 per cent ol have been the heaviest m any like period for several capacity, and shipments are restricted by inability months, and millers reporting to this bank express to turn out the goods. About the same conditions the belief that their industry has Anally made a existing in July are indicated by results during tne grst two weeks of August. Salesmen of several of the St. Louis interests are being sent out on the road one month later than usual this season, be cause of inability to handle business which they might tum in. Clothing— Improving business is reported by all but three of the 16 reporting Arms. Sales in July were from 4 per cent less to 20 per cent heavier than in June, but because of lower prices, are still materially under the corresponding period in 1920. Orders are mainly for immediate shipment, but a slight increases in future buying has been noted since the middle of July. Prices are about steady with the preceding month, and range from 35 to 50 per cent under the same time last year. Iron and Steel Products— Warehouse interests report that the recent price cuts in iron and steel have failed thus far to stimulate buying. Stocks are large, both of specialties and miscellaneous lines. Mill and foundry operation in the district during July was no greater than from 10 to 12 per cent of capacity. Since the Arst of August, however, there has been a Hurry of buying in pig iron, and an ad vance of $2 per ton. The leading blast furnace interest disposed of 6,250 tons of foundry grades, and other agencies reported sales of small lots aggregating fully 2,000 tons, which completes a total considerably in excess of total transactions since the middle of April. Hardware— The nine reporting interests note a slight gain in sales during the past thirty days over the similar period immediately preceding, but business is still quiet. Buying is conAned to imme- diate needs. The trend of prices is easier, with spe cific cuts recorded in basic materials. Heavy sales of Ashing tackle are reported, and seasonal summer goods are moving fairly well. Lumber— Sentiment is better in several sec tions of the lumber market, but tangible improve ment in conditions during the month has been slight— insufKcient to prevent further weakening in prices. During the last two weeks, there has been some recovery in volume of trade in ye!!ow pine; car materials are more freely bought, princi pally for repair purposes; yard buying has in creased, as compared with the July volume. Changes in freight rates from the Southwest show reductions of 1 to 8 cents per 100 pounds on yellow pine to destinations in Oklahoma, Kansas. Iowa, Nebraska, and Minnesota, effective August 19. Some buying has been held in check awaiting these reductions. While reductions in prices of common grades of yellow pine have occurred, the upper grades have been Armly held, with generally con ceded increases in the best Hoorings. Production has not increased. Western goods are coming into this district in only limited quantities. Prices of Douglas Ar common grades nave weakened but upper grades are fairly stable. There is little op timism in hardwood and the situation of these woods has been virtually static. Some trading con tinues, but on a distinctly shopping basis; quota tions are nominal, with wide ranges in current transactions. Much of the buying is in assorted carloads— an unusual situation in the hardwood trade. Output is heavily restricted and autumn logging operations are expected to be limited. R E T A IL Aside from a fair movement of seasonal goods, Reports of retailers in the various lines indicate reporting hardware Arms indicate quietness in considerable unevenness in mid-summer trade. In their line. The purchasers of hardware of all sorts most instances July was unsatisfactory as to vol in the country this season has been well below nor ume of business done, and as usual during the vacamal. Printing houses say economies being prac bon season, collections were somewhat backward, ticed by business houses is reHected in a decrease Returns from the leading department stores in the in orders for printing. Many shops have been district show declines as contrasted with the pre obliged to lay off part of their forces. An exception ceding month, also in comparison with the same to the general quietness was in tobacco, sales of month in 1920. Jewelers report a sharp slump, their which during July and early August were excep July sales being from 20 to 33-1/3 per cent under tionally heavy. A feature of this line has been a M*ose of June, and 40 to 50 per cent below July, heavy growth in the distribution of cigarettes. ^ universal comment in all lines is that the Sales of sporting goods during the period under public is seeking cheap goods, and holding oR review were only fair, but dealers report libera! ^jyre prices look high. In clothing, hats, shoes purchases in anticipation of fall business. **M! kindred lines the movement was disappointing, cue chieHy to unfavorable weather conditions. Figures on retail trade as indicated by reports from 21 representative department stores for July, 8th Dis 1921, are as follow s: Little Evans Louis St trict Quincy ville ville Memphis Rock Percentage increase (or decrease) in net sales July over or under sales in July, 1920 -19.4 -16.5 -15.1 -9.8 -26.6 -20.9 :-13.2 Percentage increase in net sales from July 1 through July 31, 1921, in comparison with -19.4 . -16.5 -15.1 -9.8 sales during the same period of 1920.------- 13.2 -26.6 -20.9 Percentage decrease in stocks on hand at the cad of July, 1921, in comparison with -9.8 -18.1 -5.3 -17.8 -7 4 stocks on hand at the end of July, 1920— -6.8 -18.6 Percentage increase in stocks on hand at the end of July, 1921, in comparison with -3.2 1.3 -4.8 stocks on hand at the end of June, 1921— -3.4 ercentagc of average stocks on hand at the end of each month since July 1, 1921, to average monthly sales during the same 426.1 429.3 475.7 308.6 719. month----------------------- ------ ---------------410.3 455.5 ^*R"Mage of outstanding orders on July 31, to total purchases of merchandise 7.4 10.8 8.9 5.9 5J 5.6 teoat) during the calendar year 1920____ &2 at<Ms* - denotes decrease. RETAIL TRADE SUMMARY Percentage increase or decrease in net sales by months comparing each of the six months of !92! with the corresponding month of 1920. Percentage increase or decrease in stocks on hand at the end of each month over or under the preceding month for the first six months of 192!. Percentage increase or decrease in cumnlative net sa!ea Bgored monthly from Jan uary !, !921 in comparison with the corresponding periods fa 1920. Percentage increase or decrease in stocks on hand at the end of each month of the But aiz months of !921 in comp*ri*sa with the same months ot 1920. AG RICULTU RE The combined condition of all crops in the seven states of the Eighth Federal Reserve District (100=average) as of July 1 was 92.7 per cent. Threshing of wheat generally throughout this district is making good progress, and in many local ities has been completed. Returns are somewhat spotted, there being evidences of damage of one sort or another in the form of shriveled grain. The average, however, is well up to recent predictions, and higher in this district than other parts of the winter wheat belt. Fall plowing has commenced in some sections. A general comment is that corn is maturing unusually early, and enormous yields are in prospect. Slight damage is reported to early corn from drouth, and chinch bugs have wrought damage in parts of Illinois and Indiana. The re cent rains have been of incalculable benefit to the crop, which in many important areas is virtually assured. Threshing of oats is being pushed rapidly under favorable conditions, but results are showing effects of the late spring freezes and extreme heat during the late growing stages, and quality and quantity are somewhat disappointing. Potatoes have deteriorated during the past thirty days, due to high temperatures, but precipitation in late July and early August and cooler weather will benefit the late varieties, as well as vegetables generally. The condition of live stock in this district is on the whole favorable, with a minimum of disease re ported. Hay and pastures are for the most part in excellent condition. In the drouth areas material damage was confined to the poorer lands. Gener ally throughout the district farm work is proceed ing with little interruption. Relatively speaking, the past thirty days have been favorable for devel opment of the cotton crop in States of this district, and the outlook is good. Cultivation is excellent and the plant is fruiting well. Boll weevil reports continue, but the damage is not serious except in Southern counties of Arkansas. In many sections the crop is showing lack of fertilizers on thin soils. The U. S. Department of Agriculture, in its report as of August 1, gives the condition of winter wheat, corn, and cotton, in States of this district as follows: W IN T E R W H E A T Total production in Thousands of bushels Dec. Estimate 1915-19 av. 1921* 1920 42,485 35,720 Illinois ......................... ............ 38,608 37,936 23,400 Indiana ....................... ............. 22,728 9,878 5,610 Kentucky ................... ............. 6,030 38,402 32,500 Missouri ..................... ............. 30,128 7,133 4,028 Tennessee .................. .............4,610 ^Preliminary estimate. Yield per acre Bu 10-yr. av. 1921* 16.4 16.0 15.4 12.0 12.0 10.0 14.2 10.9 10.8 10.0 Quality Per cent 1921 83 80 85 81 85 av. 90 89 90 90 89 Price per bu. August 1 Cents 1920 1921 236 106 230 113 254 117 237 103 265 125 CORN Condition August 1 ^Forecast 1921 From condition July 1 August Av. 1921 Bu. Bu. % % 60,880 62,923 Arkansas ..............86 75 347,637 297,326 Illinois ......... ..............79 77 185,981 137,531 Indiana ____ ..............68 81 92,791 77,059 Kentucky 81 ..............68 83,007 94,183 Mississippi 77 ..............85 182,744 181,637 Missouri ..............82 73 84,447 85,181 Tennessee ............. 80 83 *in thousands of bushels, i. e., 000 omitted. ^December Estimate 5 yr. av. 1920 1915-19 49,967 55,224 346,330 294,168 178,777 184,072 97,735 100,650 63,733 63,680 170,354 198,880 84,834 93,100 CO TTO N July 25 June 25 192! Arkansas ............................................................ - .................. Mississippi ......... .................................................................... ...68 Missouri ............................................................................ .... ... 80 Tennessee ................................................................- ................75 IT 67 80 74 Price per bushel August 1 cents 1920 1921 210 88 148 55 151 56 202 81 232 102 169 59 206 87 Change June 25 to July 25 July 25 1920 1919 10-yr.av. 1921 av^ ------2 -2 78 63 ^8 1 -4 74 63 71 0 0 81 67 81 1 -1 79 67 76 The M o w i n g ta b le, co m p ile d fro m com m ercia l sou rces fo r the G overnm ent m arket report, shows e cotton movement from August 1, 1920 to August 5, 1921: BALES -------------1925* 1921 Port receipts Port stocks ------------------------------------------ - _____ 52,597 ---------1,303,371 I n te r io r "r e c e ip ts "IZ IZ ---------------------------------------- Interior stocks----------------------------------------------------------------------------------------- 120 577 I"to sight ...______________________________________ _______________ northern spinners' takings___________________ ________________ 45463 southern spinners' takings------------------------------------------------------------------ World s visible supply of Amercian cotton----------------------------------------- ' ' 18,120 741,290 19,584 842,646 67,527 21,418 21,430 2,897,100 Range of prices on typical products in the St. with closing quotations on each of these dates: Louis grain market between July 15 and August 15, Close July IS___________ High____________Low____________ Ctose August H September wheat................Per bu. " December wheat.................. September corn.................... " December corn.................... " September oats................... ** No. 2 red winter................ " No. 2 hard winter.............. " No 2 corn " No! 2 J h h e c o r n :::^ :Z " No. 2 white oats.................. " Flour: soft patent............ Per bbl. Flour: spring patent.......... " $*-29% !3 3 % 59% 58^ 41 $1.29 @ 1.33 130 -63 .64% .40 6.25 @ 6.75 9.00 @ 9.65 $* 2 % L33^ 61^ 1.25 .54 .52% 1 j 30 1 29 .63% 63% 42 7.00 9.25 l $1.25 @ 1.28 1.22 @ 1.23 .53 @ .53% .53% ^ T*iv! 6.25 @ 7.00 7.55 @ 8.05 1.17 1 14 .53 .53% ^ 6.25 7.55 LABO R Reports from Federal, State and unofHcia! agencies indicate a further increase in the number of unemployed in this district. The increase is estimated at from 6% to 10 per cent, with the heaviest gains in the larger centers of population. In the typical lumber producing sections reemployment is reported, and in the shoe, clothing, Hour milling and packing industries additional workers have been taken on, but there have not been sufHcient to offset increased idleness in steel and iron, building, and other trades. A surplus of farm hands is reported in the South and W est. The trend of wages is downward. Transportation companies have slightly increased the number of their skilled workers. B U IL D IN G Building permits issued for new construction and repairs in the Rve principal cities of the district in July showed a slight gain over the June total, but felt $587,000 under the corresponding month last year. Generally the building situation contin ues extremely dull, with little in the way of new enterprise being undertaken. Scattered reports from the rural districts and small towns indicate some increase in the number of inexpensive homes being built. A few slight declines in prices of build ing materials were reported during the month, but no change in the wage scale in the building trades. Road construction operations continue on a large scale. Comparative Hgures for July in leading cities of the district follow : 1921 New Construction Permits Cost St. Louis____________621 $ 807,370 Louisville __________ 152 604,950 Memphis ___________288 1,077,504 Little R o ck ................ 56 504.250 Evansville __________ 49 170,390 1920 JU LY Repairs, etc. Permits Cost 472 118 46 154 55 $310,845 98,050 24,414 57,767 22,742 Repairs, etc. Cost Permits New Construction Cost Permits 395 37 133 41 $2,424,615 293,450 810,000 74,440 $474,240 76,800 80,000 42,158 435 156 56 100 _ L IV E STO CK . As reported by the St. Louis National Stock Yards, receipts and shipments of live stock at St. Louts m July, with comparisons for July, 1920, were as follows: Cattle & Calves ^ . 1921 1920 Recetpts ------------ 78,034 114,437 Shipments --------- 40,959 52,713 1921 183,511 119,909 H ogs________________ Sheep______ 1920 1921 1920 196,466 71,267 82,757 103,778 27,322 21,411 Horses & Mules 1921 2,180 2,311 1920 8,893 10,229 C O M M O D IT Y M O V E M E N T 107! ^nd shipments of important commodities at St. Louis during July, 1921 and 1920, and June, 1921, as reported by the Merchants Exchange, were as follows: July, 1921 Flour, barrels-------------------- 490,210 Wheat, bushels----------------- 9,767,576 Corn, bushels........................ 1,755,000 Oats, bushels-------------------- 2,316,000 Lead, pigs-----------------------197,870 Zrnc and spelter, slabs____ 82,660 Lumber, cars_____________ 9946 Meats, pounds------------*.""122,968! 100 Fresh beef, pounds----------99,400 I^rd, pounds.------------------- 3,600,700 Htdts, pounds------------------- 4,123,300 RECEIPTS June. 1921 July, 1920 371,050 314,970 2,982,164 4,270,970 1,917,500 2,299,120 2,356,000 2,264,000 240,870 214,730 67,820 366,180 12,432 10,727 24,388,700 6,380,800 136,500 723,000 3.184.600 1,028,900 4.757.600 771,200 S H IP M E N T S July, 1921 545,255 4,682,210 1,429,295 1,250,590 88,550 142,570 8,216 23,375,000 20,183,100 8,352,100 5,134,900 Tune. 1921 402,560 2,439,060 1,791,240 1,888,890 128,320 113,590 9,840 25,428,600 23,360,000 7,494,700 7,444,900 ' Tulv.1920 397,670 2,115,990 1,527,530 1,534,750 120,620 580,640 6,174 22,946,600 24,305,400 5,996,800 2^30,500 F IN A N C IA L The demand for money generally through this tween July 9 and August 10 the Federal Reserve district continued active during the period under note circulation of this bank decreased $4,900,000, review. Total loans and discounts of reporting and the net deposits fell off $194,000. During the member banks show a decrease, and the earning same period there was a decrease of 12,687,486 in assets of this bank are smaller, but these changes the amount of accommodations granted member may be ascribed almost exclusively to settlements banks by the Federal Reserve Bank of St. Louis. made by borrowers in the larger cities, more parti These movements resulted in a rise in the reserve cularly St. Louis. The decrease in demand from held by this bank against combined deposit and large mercantile interests is offset by requirements Federal Reserve note liabilities from 53.4 per cent in the rural districts for crop financing. The de on July 9 to 60.5 on August 10. mand in the country in the immediate past was as The market for bankers' acceptances in this heavy as at any period in the history of this district. district during the past thirty days was inert and Southern banks report requests for extensions on featureless. Scarcely any such bills have originated numerous loans. Collections on current accounts in this district, and the volume taken by member are in the main reported excellent, and there is slow banks has been insignificant. From time to time and gradual liquidation on extended indebtedness. the city banks have purchased, but the aggregate Rates asked by commercial banks remain as a rule of this buying makes a light showing. about the same as set forth in the preceding issue There has been no change worthy of comment of this report, but the trend is slightly easier, more in the commercial paper market, brokers reporting conditions dull, and sales vastly under the corres accommodations being granted at the minor figures ponding period a year ago. In the immediate past of the range, and some concessions being granted country banks in the wheat district have purchased to gilt-edged borrowers. The heavy movement of some paper through their city connections, but the wheat and other farm products through July is city banks are taking almost nothing for their own being rejected in a reduction of loans in the sec accounts. Rates range from 6 to 6% per cent. tions affected. No change worthy of note has taken place in the typical cotton and tobacco areas. Be IN T E R E S T RATES Between July 16 and August 15 the high, low and customary interest rates prevailing in St. Louis, Louisville, Memphis and Little Rock, as reported by banks in those cities were as follows: Louisville H L C Memphis H L C 7 7 7 7 8 8 6 7% 7% 7 6% 6% 6% 6% 6% 6% 6 6 6 5 5 6 5 7 7 6 6 6 6 — — 7 7 6% 7 7 7 6^ 7 6 7 6 6 7 6 6 6 6 6 6 8 8 8 6 6 6 7 7 7 6*** 6 6 6 6 6 8 7 6 6 7 6 St. Louis L C H Customers Prime Commercial Paper: ...8 8 6 6 Prime Commercial Paper purchased in open market: 30 to 90 days.............................................................. ....7% 7 7 Bankers' Acceptances of 60 to 90 days: ...7 ...5 Unendorsed Loans secured by prime stock exchange collateral or other current collateral: Demand ...................................................................... 8 3 months ..................................................................... . . 8 8 8 ...8 7 6 6 6 6 6 6 6 7 7 Little Rock H L C 8 8 7 7 8 7 8 8 ................ .......... 8 6 7 8 ................ .... 8 8 8 8 8 8 7 7 7 7 7 7 8 8 8 8 8 8 C O N D IT IO N OF BA N K S . The condition of banks in this district and changes since a month ago and Jast year, are reflected m the following comparative statement, showing the principal resources and liabilities of member banks m St. Louis, Louisville, Little Rock, Memphis and Evansville: Number of banks reporting........... ...................; Loans and Discounts (including bills rediscounted with Aug. 10,192!_________ July 6,1921__________ Aug. 6,1920 35 37 3? Secured by U. S. Govt, obligations.......................... Secured by stocks and bonds other than U. S. bonds llo,51z,UW All other loans and discounts............................................ 304,596,000 Total loans and discounts....................................................$442,211,000 Investments* U. S Government Bonds............................................ 25.580.000 U. S. Victory Notes...................................................... ^ .O O O U. S. Certificates of Indebtedness............................. 4,568,000 U.S. Treasury Notes.............. ..................................... ..226,000 Other bonds, stocks and securities............................. 66, 144,000 Tota! !oans, discounts and investments (including M b „ rediscounted with F. R. Bank)................................... $540,678,OW Reserve Balance with F. R. Bank....................................... 37,474,000 Cash in vault.......................................................................... 6,842,000 Net demand deposits on which reserve is computed------ 285,862,W0 Tune deposits --------------------------------------------------------- *?2,372.000 Government deposits________________________________ M,632,UW $ 20.343.000 119.710.000 312.002.000 $452,055,000 $ 33,593.000 126.642,000 25.446.000 1.992.000 1.894.000 932,000 67.871.000 30.034,000 2.649.000 5.126.000 $550,190,000 39.347.000 8.233.000 284.949.000 144.480.000 8.862.000 $609,333.00C 38,455,000 9.578,00( 318,020.00( 124,764,0(X 1,750,00( D EBITS T O IN D IV ID U A L A C C O U N T S The following table gives the total debits charged by banks to checking accounts, savings accounts and trust accounts of individuals, firms, corporations and U. S. Government and also certificates of deposit paid, in the leading cities of this district during the past month and corresponding period a year ago. Charges to the accounts of banks and bankers are not included. These figures are considered the most reliable index available for indicating actual spending by the public during the periods which they cover. Debits to depositors accounts for four weeks ending: Aug. 10,1921_________ July 13,1921__________Aug. 11,1920 St. Louis ...............................................................................$449,722,000 $448,166,000 $576,554,000 Louisville ............................................................................... 84,029,000 92,395,000 121,273,000 Memphis ............................................................................... 75,025,000 72,690,000 104,048,000 Little Rock ........................................................................... 33,203,000 33,862,000 32,176,000 East St. Louis and National Stock Yards......................... 33,901,000 31,530,000 ................... Evansville ............................................................................. 19,624,000 22,818,000 19,617,000 Springfield ............................................................... - .......... 10,346,000 11,062,000 ................... Quincy .................................................................................. 8,947,000 8,411,000 ................... F E D E R A L R E SE R V E O P E R A T IO N S In July this bank discounted $134,078,290 of paper for 326 member banks, which represents a de crease of $13,202,826 under the amount discounted in June, and an increase of 3 in the number of banks accommodated. Acceptances purchased in July amounted to $755,839, a decrease of $191,391 under the pre ceding month. There has been no change in the discount rates of this bank since the preceding issue of this report. The resources and liabilities of the Federal Reserve Bank of St. Louis on August 17, 1921, as RESOURCES: Gold and Gold Certificates.................. Gold Settlement Fund—F. R. BoardGold with Foreign Agencies.............. Legal Tender, Notes, Silver, etc.. Aug. 17, 1921 ....$ 2,981,000 .... 18,338,000 July 20,1921 $ 2,862,000 16,414,000 Aug. 20, 1920 $ 2,874,000 13.555.000 5.238.000 ....$ 21,319,000 .... 57,392,000 .... 3,672,000 $ 19,276,000 50,927,000 3,994,000 $ 21,667,000 45.337.000 6.062.000 $ 82,383,000 13,130,000 74,197,000 12,870,000 73.066.000 8.145.000 ....$ 95,513,000 $ 87,067,000 $ 81,211,000 28,100,000 45,714,000 357,000 31,857,000 51,035,000 85,000 33.652.000 81.076.000 2.570.000 $ 74,171,000 1,153,000 $ 82,977,000 1,153,000 $117,298,000 1.153.000 11,568,000 430,000 11,568,000 73,000 17.068.000 234.000 ....$ 87,322,000 $ 95,771,000 $135.753,000 627,000 523,000 29,021,000 736,000 627,000 523,000 27,360,000 587,000 866.000 524.000 43.998.000 378.000 ...$213,742,000 $211,935,000 $262,730,000 .... Bills Discounted: Secured by U. S. Government obligations.. Tota! Bills on hand... U. S. Certificates of Indebtedness: One Year Certificates (Pittmai All Other..................................... Total Earning Assets.. Bank Premises.................... All Other Resources....... Tota! Resources........ L IA B IL IT IE S : Capita! Paid in_____ ____ Government ......................... Member Banks—Reserve Account.. F. R. Notes in Actual Circulation.. A!! Other Liabilities.. Rat'? of Tota! Reserves to Md F. R rN ote Lmbihhes, combmed__________ Memorandum—Contingent Habiiity o n " ^ .... .... .... 4,541,000 9,114,000 1,143,000 4,542,000 9,114,000 1,009,000 4.275.000 5.884.000 ... .... 2,122,000 61,164,000 820,000 1,359,000 59,654,000 761,000 5.009.000 65.446.000 1.641.000 ....$ 64,106,000 .... 99,298,000 5,994,000 ... 28,531,000 1,015,000 $ 61,774,000 101,257,000 6,163,000 27,129,000 947,000 $ 72,096,000 128,584,000 9.317.000 40.557.000 2.017.000 $213,742,000 $211,935,000 $262,730,000 58.5% 53.4% ... 2,111,000 $ 2,826,000