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X-3008

F E D E R A L R E S E R V E B O A R D

STATEMENT

  FOR THE

  PRESS

  ' F,«>

For

  r e l e a s e

  i n

  Monday morning papers,

January

  3 , 1$21 .

The  fo l lowing  i s a  review  of  general bus iness  and

f inancial condi t ions throughout

  t h e

  several Federal

Reserve Dis t r i c t s dur ing

  t h e

  month

  of

  December,

  a s

contained

  i n t h e

  forthcoming issue

  of the

  Federal

Reserve Bul let in.

Fur ther progress

  i n

  bus iness readjus tment

  h a s

  been

  t h e

  c h a r a c t e r i s t i c

f e a t u r e

  of

  commercial

  and

  industr ial development during

  t h e

  month

  of

December, Such re ad ju st me nt

  h a s

  been accompanied

  by a

  f u r t h e r

dec l ine

  of

  pr ices , which

  h a s

  brought

  t h e

  level shown

  b y t h e

  Board's

index number

  t o 1 9 0 p e r

  cent

  of tns

  l eve l

  of 1913 (

a

  dec l i ne

  f o r t h e

month

  of

  about

  8-g p e r

  cen t ) .

  An

  i nc r eas e

  of

  unemployment growing

  out

of  r educ t i ons  of  bus ines s a c t i v i t y , which have  c u t  opera t ions  t o  f igures

varying from  4 0 p e r  cent  t o 7 5 p e r  cent  of  normal,  h a s  a f f ec t ed l abor

un fa vo ra bl y. Wage cu ts runn ing

  a s

  high

  a s

  20

  p e r

  cent

  t o 2 5 p e r

  cent

i n

  some' l i n e s have accompanied

  t h e

  shrinkage

  of

  demand,

  an d

  there

  h a s

been

  a

  f a l l i n g

  off of

  expor t t rade.

  On th e

  o th er hand, ba nk ing power

h a s

  been we ll mai nt ai ne d, normal cr e d it accommodation

  h a s

  been extended

t o

  l eg i t i ma t e bus i nes s ,

  t h e

  r e s e r ve r a t i o

  h a s

  grown stronger,

  a n d

interreserve bank borrowing  h a s  been  i n  p a r t l i q u i d a t e d .  A t t h e  member

banks l iq uid a t io n-o f loans

  i s

  beginning

  a n d

  be t t e r cond i t i ons

  a r e

  f o r e -

shadowed.  '

:

  From D i s t r i c t

  No. 1

  (Boston)

  i t i s

  repor ted tha t

  t h e

  l i q u i d a t i o n

i n

  commodit ies , while drast ic,

  h a s

  been

  on, th e

  whole or de rly , re gu la r

demands  f o r  credit have been granted,  a n d t h e  banking s i tua t ion  i s

s t ronger .

From Distr ict

  No. 2 (New

  York)

  i t i s

  r ep or te d tha t money r a t e s have

grown ea si er , wholesal e pr ic e de cl in es have been

  t h e

  sharpes t

  of the

present movement, manufacturing

  i s i n

  reduced volume,

  a n d

  export t rade

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54

- 2 -  X-300S

i s

  dec l in in g . Re ta i l t rade

  h a s

  bean wel l mai nta ine d. There

  h a s

  been

a n

  adequate supply

  of

  bank ing accommodation.

Prom Distr ic t  No. 3  (Ph i l ade lph i a )  i t i s  repor ted tha t there  h a s

been  b u t  . l i t t le change  of  conditions from  t h e  pr ec ed in g mouth, manufac-

t u r i n g

  and

  wholesal ing being quiet , whi le r e t a i l t r ad e

  . i s

  larger than

las t year .

From Distr ic t  No. 4  (Cleveland)  i t i s  reported that money conditions

a r e  encouraging, pr ices  a r e  s t i l l r eced ing , manufac tur ing cont inues  t o

b e

  r e s t r i c t e d

  i n

  volume, ra i l road eff ic iency

  i s

  large, whi le cur ta i lment

of  output  an d  lowering  of  wages  a r e i n  evidence throughout  t h e  i ron  and

s tee l t rade .

From Distr ic t  No, 5  (Richmond)  i t i s  repor ted tha t bus iness  i n

wholesale  an d  manufac tur ing l ines  i s  i nac t i ve , bu i l d ing ope ra t i ons  a t a

minimum,

  and

  unemployment prevalent,

  b u t

  s igns

  of

  improvement

  a r e

  noted.

From District

  No. 6

  (At l an t a )

  i t i s

  reported that most

  of t h e

  cot ton

crop  h a s  been harvested  b u t i s  being la rg el y held, whi le farmers gen era lly

f e e l  t h e  e f f e c t  of low  pr ic es . Other markets  a r e  qu ie t . Coal  p r o -

duct ion  h a s  incr ease d- Lower pr i ce s  of p ig  iron have  n o t  produced  any

great amount  of  bus iness .

From Distr ic t  No. 7  (Chicago)  i t i s  r e p o r t e d t h a t l i q u i d a t i o n  of

bank loans  i s  pro gre ssi ng favor ably. Banners  a r e  su f f e r ing f rom  low

p r i c e s ,

  b u t

  e f f o r t

  i s

  being made

  t o

  supply

  t h e

  c red i t they re qu i r e .

Re t a i l t r ade  h a s  he ld  up  well ,  a l l  th ings cons idered .

From Distr ic t  No.  6  ( S t .  Louis) apathy  i n  buying  i s  rep or t ed . Pr ice

cuts have gone further

  an d

  t h e r e

  i s

  inc rea se

  of

  unemployment. Tra nsp or-

t a t i o n  h a s  largely improved  and  banking condi t ions  a r e  even better than

h e r e t o f o r e .

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From Distr ic t  No. 9  (Minneapolis)  i t i s  repor ted tha t g ra in rece ip ts

M'

ve

somawhat fa l len  o f f ,  while stocks  of  gra in nave in cr ea se d. Flour

produc t ion  h a s  improved. Pr ic es  i n  gen er al have de cl in ed . Bank

c o n d i t i o n s  a . re  s t ro nger . Re ta i l t rad e  h a s  neld  i t s ow n.

From Distr ic t

  No. 10

  (Kansas City)

  i t i s

  reported that there

  i s

slowing down

  of

  b u s in e s s

  i n

  near ly

  a l l

  l i n e s ,

  b u t

  t h e r e

  i s a

  general

bel ief th at condit i ons wi l l soon  be  r ig h te d  and a  founda t ion  i s  being

.. : c - . d l y

l a i d  f o r i be t t er bus ines s . Only s l ig ht evidences  of  l i q u i d a t i o n

a r e t o b e

  noted.

From Distr ic t

  No. 11

  (Dal las )

  i t i s

  repor ted tha t the re wi l l

  be a

la rg e carry over both

  of

  debts

  and

  commodities into

  1 9 ? 1 -

  Movement

of  goods shows decrease pretty generally,  b u t  r e t a i l - t r a d e  h a s  held  up

well .

From Distr ic t  No. 12 (San  Franc isco)  i t i s  repor ted th a t r e t a i l t rade

i s  good, who les ali ng l e s s ac ti ve , crops moving st ea di ly  t o  market,

l i v e s t o c k

  an d

  a l l i e d i n t e r e s t s

  i n

  favorab le pos i t ion ,

  and

  f in a n c i a l

p rospec ts favorab le .

A g r i c u l t u r e .  - The  weathsr con dit ion s which have pr ev ai le d gene rall y

throughout

  t h e

  agr icu l tu ra l sec t ions have been favorab le

  f o r

  farm opera-

t i o n s .

  The

  husking

  of

  corn

  h a s

  been carried forward rapidly

  and i s

p r a c t i c a l l y f i n i s h e d  i n  m o s t d i s t r i c t s .  I n  D i s t r i c t  No. 4  (Cleveland),

however, husking  h a s  been slow  a n d t h e  warm, moist Whether  h a s  i n j u r e d  t h e

q u a l i t y  of  corn  t o  some ex te nt .  The  weatherco ndit ions have a l so a ided

m a t e r i a l l y  i n  fa l l p lowing  a n d t h e  p re p a ra t io n  of the  ground  f o r  ne t t

se as on 's crop . Winter wheat  h a s  made  a  good start  and i s in a  good

condi t ion

  to go

  through

  t h e

  w i n t e r .

  In

  some sections there

  h a s

  been some

damage from  t h e  Hessian  f l y , b u t t h e  colder weather will tend  t o  el iminate

th i s e v i l .

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An  i n d i c a t i o n  o f t h e  ex ten t  t o  which cotton picking  h a s  progressed

i s  a f f o r d e d  b y t h e  number  of  bales ginnad pr ior  t o  December  1 ,  which  was

10,144,

  921 i n 19 20 , a s

  against 8,844,3t>S

  i n

  ISIS*

  I n

  some sections

rains have delayed picking  t o  some ex te nt , wh il e  i n  other sect ions

farmers  a r e  r epo r t ed  t o b e  abandoning  t h e  co tt on because  of the  dec l ine

i n

  p r i c e

  a n d t h e

  r e l a t i v e s c a r c i t y

  of

  p ick ers , toge t her wi th

  t h e

  high

wages demanded.  I n  southern Oklahoma cotton picking continues, although

r e p o r t s  a r e t o t h e  e f f e c t t h a t  a  cons iderab le por t ion  of  the .c rop wi l l

be  p a s t u r e d a f t e r  t h e  f i r s t p ick ing . There  h a s  been considerable

d e t e r i o r a t i o n

  i n t h e

  q u a l i t y

  of the

  l i n t ,

  due to t h e we t

  weather ,

  and th e

bulk  of t he  ginning  i s  repor ted  to be  grading below middling.

Movement  of  co t ton  t o  market  h a s  been re la t ive ly s low^ rece ip t s

showing  a  sharp  and  unseasonable fa l l ing  o f f . I n  some sections  i t i s

re po rte d t ha t se l l e r s have complained th at they were unable

  t u

  se l l t he i r

cot ton  a t any  pr ice un less  i t was of  sup er ior gra de. However, co tt on

farmers  i n  many sections show  a  tendency  t o  hold  a s  much  a s  p o s s i b l e  of

their crop  o f f t h e  market,  i n t h e  hope  of an  advance  i n  p r i c e . Many

new

  cotton storage warehouses have been constructed.

  The low

  p r i ce s

r e a l i z e d  f o r  cot ton have resul ted  i n  cons iderab le a t ten t ion be ing g iven  t o

t h e  reduc t ion  of  next ye ar ' s acreag e, some pl an te rs proposin g  a  decrease

of  o n e - t h i r d ,  and v '

6

?  crop ro ta t ion  h a s  been urged.

Live Stock

  -

  Live stock

  on

  farms

  and

  ranges

  i n

  D i s t r i c t

  No. 1 0

(Kansas City)  i s  genera l l y hea l thy  and in  good co nd it io n .  The  tendency

i s  f a s t d i s appea r ing  t o  abandon  t h e  bus iness  an d  s a c r i f i c e  t h e  stock.

As  feed  i s  cheap  a n d  p l e n t i f u l , t h er e  i s  more  of an  i n c e n t i v e  t o p u t  f l e sh

on the

  an ima l s

  i n

  s p i t e

  of the low

  pr ic es pr ev a i l i ng . Southwes te rn ranges

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X-3C08

and

  l i ve s tock , wi th

  fe w

  excep t i ons ,

  a r e

  e n t e r i n g

  t h e

  w i n t e r

  i n t h e

  best

condit ion they have enjoyed  f o r  many ye ar s . Re ce ipt s  of  c a t t l e  a t 1 5

wes tern markets inc re as ed from 1,6 28, 564 head duri ng October

  t o

  1,751,261

head during November,  t h e  respective index numbers being  1 6 2  a n d 1 7 7 , a s

compared with 2,038,786 head, corresponding

  t o a n

  index number

  of 202

during November,

  1 9 1 9 .

  Rece i p t s

  of

  hogs increased greatly between

October

  a n d

  November, being 2,624,185 head during November,

  a s

  compared

with 1,836,748 head during October  a n d  2,659,251 head during October,  1919 ;

t h e

  respective index numbers being 119,84

  and 12 1 , On th e

  other hand,

r e c e i p t s

  of

  sheep were l e s s , bei ng 1, 54 2, 47 ? head du ri ng November, c o rr e s-

ponding

  t o

  index

  1 1 3 , a s

  compared with 1,805,330 head during October,corres-

ponding  t o a n  index number  of 1 ]§ , and  1,742,668 head dvring November,

1919>

  corresponding

  t o a n

  index number

  o f 1 2 8 .

  November c a t t l e r e c e i p t s

a t

  Forth Worth, however, were

  t h e

  smal les t

  on

  record

  f o r

  that month since

1 9 1 2 , a n d  were gen eral ly  of an  undes i rable qu al i ty . Wi th dec l ine s  i n

t h e

  p r i c e s

  of

  hogs

  i n

  December receipts

  f o r t h e

  f i r s t h a l f

  of t h e

  month

i n t h e

  pr inc ipa l market s

  i n

  D i s t r i c t

  No . 10

  (Kansas City) again fel l

below those

  of a

  year

  a g o . T he S t .

  Paul cat t le market

  w as

  depressed

  t o

t h e

  l owes t l eve l s

  of

  t h i s yea r ,

  i n

  p a r t

  a s a

  r e s u l t

  of

  l a r ge r ece i p t s

( e s p e c i a l l y  of  common  a n d  poor grade, which  a r e  always hard  t o  market  a t

t h i s t ime

  of ths

  ye ar ), slac ken ed demand

  f o r

  s t o c k e r s

  a n d

  f eede r s ,

inadequate stock cars

  f o r

  shipping ,

  and low

  p r i c e s

  a t

  ea s t er n market s .

Heavy marketings  a n d  d e c l i n e s  i n  g r a i n s  a n d  p r ov i s i o ns con t r i bu t ed  t o

a

  d e c l i n e

  i n h o g

  p r i c e s , c l o s i n g p r i c e s

  f o r t h e

  highes t grades

  on

  November

3 0 ,

  be i ng

  9  t o  9.65,  a s

  compared with

  $ 1 2 t o

  $12.25

  o n

  October

  3 0 .

[Other Crops

  - The

  t obacco s i t ua t i on

  h a s

  shown

  b u t

  very l i t t l e change

dur ing  t h e  past month.  The  opening  of the  western dark markets  i n

Kentucky

  w a s

  d i s a p p o i n t i n g

  t o t h e

  farme rs because

  o f t h e

  p r e v a i l i n g

  low

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58

•6 X-30Q8

pr i c e s , t oge t he r w i th  t h e  decreased demand.  I n  D i s t r i c t  No* 5

(Richomnd)

  t h s

  faraers have shewn

  a

  tendency

  t o

  s e l l t h e i r o f f - c o l o r

andi poorer grades , a pparen t ly holding th ei r best tobacco un t i l a f t e r

t h e  ho l idays  i n t h e  hope  of  be tt er pr ic es . Export demand  f o r  leaf

tobacco  i s  very small , while manufacturers

1

  s tocks  a r e  repor ted la rge

ax>4 their purchases have been kept

  a t a

  minimum.

  The

  s lackening

  of

demand  f o r  manufactured goods continues, with  t h e  r e s u l t th a t some

f a c t o r i e s  a r e  closed while others  a r e  running only  on  pa r t t ime .  The

decreased demand

  i s

  most not iceable

  i n t h e

  case

  of

  c i g a r s ,

  a n d t h e

r e t a i l e r s * o r d e r s  a r e  f a l l i n g  o f f i n  consequence.

F r u i t s  -  Shipments  of  Cal i fo rn i a f r u i t have been very sa t i s f ac to ry ,

a n d  t r ans po r t a t i on f a c i l i t i e s have been exce l l en t t hroughou t  t h e  shipping

season. While  t h e  boxed apple crop  i s  placed  a t  27,6 33,0 00 boxes,  a s

compared with 35,^-5*000 boxes  i n  l$ iy , approximately two- th i rds  of t he

crop  i s o u t o f t h e  p r o d u c i n g d i s t r i c t s  a n d  storage holding ovar much

smaller than  i n 1 9 1 9 *  Shipments  of  oranges  a r e  slightly below shipment3

during

  t h e

  same pe ri od l a s t yea r,

  b u t

  shipments

  of

  lemons have been

  t h e

largest ever recorded  i n  C a l i f o r n i a .

Brain  a n d  Flour  - The  movement  of  g ra in  t o  market  h a s  varied somewhat

a t  d i f f e r e n t c e n t e r s .  I n  D i s t r i c t  No. 10  (Kansas City), November

whea t r ece ip t s

  a t t h e

  principal markets were about

  1 3 p e r

  cent larger than

t h s

  r e c e i p t s

  f o r t h e

  month

  of

  October,

  b u t

  were

  1 1 , 6 p e r

  cent below

  t h e

r e c e i p t s  of  November,  1919 - On th e  other hand,  i n  D i s t r i c t  No. 9

(Minneapol i s ) rece ip t s  a t  Minneapolis  a n d  Duluth were  1 5 . 5 p e r  cent below

October rece ip t s ,

  b u t

  were

  4 7 . 1 p a r

  cent above receipts

  f o r

  November,

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- 7 -  X-3008

1919- I t i s  repor ted tha t about  > 0 p a r  cent  of  th i s yea r ' s c rop  i s

s t i l l  o n t h e  farm  a s  against about  3 5 p e r  cent  a t t h e  same time la s t

yea r .  I n  D i s t r i c t  No, 10  no twi ths t and ing . the f ac t t ha t  a  bumper crop

of

  corn

  w as

  r a i s e d

  i n t h e b i g

  corn-producing States

  a s

  compared with

  t h e

snail crop

  of

  l as t yea r ,

  t h e

  primary re ce ip ts

  of

  corn

  a t t h e

  markets

of

  th is Di s t r i c t were about

  4 2 p a r

  cent bslos

  t h e

  r e c e i p t s

  i n t h e

  sane

period  of  1919 .  I n  Minneapolis  and  Duluth corn receipts were sl ignt ly

above November,  1519# and  more than double receipts  f o r  October,  1 J 2 0 .

Receip ts

  of

  oa t s , ba r l ey ,

  r ye , and

  f lax decreased

  a s

  compared wi th Oc tober,

b u t

  in-each case were above receipts

  f o r

  November,

  191 9- The

  p r i c e s

  of

grains throughout

  t h e

  various markets have shown

  a

  decl ine with only

  a few

minor exceptions.  The  c los ing p r i ce  of  cash wheat  No. 1  dark northern

a t  Minneapolis  on  November  30 was  $1,$0-7/8  t o  $1.5^—7/8, while  t h e  closing

p r i c e  o n  October  30 was  $2.13?  t o  $2.17i*  I n  D i s t r i c t  No. 10  (Kansas City)

i t i s  repor t ed th a t wheat pr ic es ra l l ie d  t h e  f i r s t week  i n  December a f t e r

a  continued decl ine  i n  November,  bu t a t t h e end of t h e  second week  a

weakness  w as  deve loped which broug ht wheat down alm ost  t o t he l ow  l e v s l  of

t h e  last week  i n  November .

The

  f l ou r market cont inues du ll . Mil ler s rep ort con dit ion s int .heir

business  t h e  most unsat i sfac tory exper ienced  i n  r ecen t yea r s , s t a t e s  t h e

r epor t f rom Di s t r i c t

  N o . 8 ( S t .

  Lou is ). Hard-wheat pa te nt s were quoted

  i n

Kansas City

  on

  December

  1 4 a t

  $8-50

  t o $ 9 , a s

  compared wi t h $9*35

  t o

  $9-5°

on  November  l 6 .  Aside from  t h e  absence  of  demand, particular complaint  i s

made

  o f t he

  i n s t a b i l i t y

  of

  wheat fu tu re s

  a n d t h e

  r e s u l t i n g d i s o r g a n i z a t i o n

of the  fl o ur market . There  h a s  been  a  further slowing down  of  mi l l ing oper

t i o n s  i n  t h i s D i s t r i c t .  The  to ta l output  of a  selected group  of  m i l l s  i n

November  w as  1 ,285 ,155 ba r r e l s ,  a s  compared with 1,970,977  i n  November,

I 9 1 9 ,

  an d  opera t ions dur ing  t h e s i x  weeks

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*

r

° -

  X-3008

ending December  11  have been  a t 53-3 per  cent  of  capacity,  a s

  compared

wi„h

  87 -8 pe r

  cent

  fo r t he

  same per io d l a s t year. Production

  i n

  L i s t r i c t

No. 9  (Minneapolis) during  the  four weeks ending November  27 was  2,469,1*95

bar re l s ,  an  increase  c f . 8 r e t  cent over  th e  f igure  of  2,279,990 barrels  f o r

the  four week s  ending October  30, but was  only  80 pe r  cent  of  output  a  year

ago,  which  was  3,012,465 ba rr el s. Present operat ions  a re a t 52 per  cent

of  capacity,  a s  compared with

  69

  per  cent  a  year  ago .  Mill operat ions

i n  D i s t r i c t  No. 2 (St .  Louis)  a re  only 45-50  p e r  cent

  0

f  capacity.  St .

Louis mills have affected  a cu t in  wages  o f a l l  operatives  of 50  cents  a

day .

C

_

ot t

9» tex t i les .  -  Although  a  slight increase  in the  buying  of  cotton

by New  England mills  h a s  occurred during  the  past month, according  to the

rsno rt from Di st ri ct  No. 1  (Bos ton) , purchases have been much below normal,

while mills  in the  Carolinas  a re  said  to  have been  out o f the  market  f o r

some time (D i st ri c t

  No.

  5,  Richmond).

  In

  view

  of the

  limited demand

  and

th e  size  of the  crop, which, according  to  f inal estimates  of the  Department

of  Agriculture will amount  to  12,987,000 bales,  i t i s n o t  surprising that

pr ice dec li ne s have been con tinuousl y recorded. From November

  20 to

December

  20

  there

  was a

  decline

  of

  slightly more than

  10 per

  cent

  in the

price  of  snot cotton  in New  York; while  th e  fall from  the  maximum -price

recorded

  i n

  July amounted

  to

  63-75

  P - r

  cent.

  For 22

  towns

  in the

  Carolines

th e  Bureau  of  Markets quoted  or ices averaging only l 4 . 4l  on  December  11,

and

  D i s t r i c t

  No. 5

  (Richmond) reports that

  the

  market

  was

  limited

even  a t  th i s  low  level .

The New  England mills  a re  estimated  t o  have been operating  a t  even

lower capacity during  the  middle  of  December than they were during  the

previous month, when

  30 per

  cent

  to 40 p r

  cent

  of

  operating capacity

  r s

^ r es en t ed

  t h e

  average

  f o r

  D i s t r i c t

  No. 1

  (Boston) .

  I n

  D i s t r i c t

  So. 5

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- 9 -

  X-3008

(Richmond)  i t i s  s ta ted tha t  i n  Gaston County,  N . C. ,  vrhoro  t h e  f ine-yarn

indus t ry  o f t h e  D i s t r i c t  id  largely aoncontratc t i , .  t h e n i l I s  have cl.oaod

doxm entirely.

The  r epo r t  on  cotton consumption issued  b y t h e  Census Bureau  i n  IIovcnbvr

r e f l e c t s  t h e  ce s sa t i on  of m nu f a c t u r i n ft  a c t i v i t y ,  t h e  amount consumed,

332,057 bi l es , f a l l i n g below th at repor ted

  f o r

  Au.rust,

  1914 , by

  51,943 bales*

The  cotton consumption  of t he

  N cv,--

  England  n i l I s f o r t h e  month ending November

30 was  only 100,402 bales,  a s  compared with 168,16?  ba ) os  .reported  f o r

August*

  On th e

  other hand,

  t h e

  reduct ion

  i n

  cot ton s tocks

  of

  these mills

from 610,311 bales  i n  oboist  t o  463,369 bales  i n  October resulted  in t he

increased buying previously referred  to and  caused  a  s l i gh t i nc r ea se  i n

stocks held

  t o b e

  r eg i s t e r ed

  i n

  November, whan 485.651 bales

  on

  hand were

reported.

D i s t r i c t  Mo. 1  (Boston) says that there  i s a  more dis t inct note  of

optomisn

  i n t h e

  Boston wool trade than

  f o r

  some time,

  i t

  b o i n e s t i m a t e d

tha t sa les  f o r t h e  second week  i n  December amounted  t o  6,000,000 pounds,

about equally divided between domestic

  an d

  fo re ig n, B r i t i s h Government

holdings, however, offered  a t  auc t ion  t h e  second week  i n  December resuitea

i n  sa l e s  f  only  1 , 5 0 0  ba les  out of a  t o t a l o f f e r i n g  of  7,400 ba le s. While

t h e r e  i s a s ye t no  evidence  of  react ion from  t h e  depression prevai l ing  i n

t h e  market  f o r  woolen  and  worst ed t e x t i l e s , D i s t r i c t  No, 3  (Phi lade lph ia )

s t a t e s t ha t  two or  t hre e largo mi lls rep ort incr eased idmand  f or  dress

jxoods, more particularly women's wear.  On th e  oth er hand, some mi ll s  in t he

D i s t r i c t

  a r e

  fur ther reduc ing

  t h e

  sca l e

  of

  operat ions

  or

  consider ing

  a com-

plete suspension  of  operat ions- Yarn mi ll s  i n  D i s t r i c t  No, 3  (Phi lade lph ia )

report less business than during  t h e  pre ced ing month, even wi th  y a m  pr ices

50 pe r

  cent

  t o 60 pe r

  cent below

  t h e

  peak po in ts , Manufacturers

  of

  hosiery,

underwent- , sweaters , e tc . / '  i t i s  sa i d , have su f f ic ie n t yarns  t o  enable those

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wh o a re  opera t ing  a t a l l t o  maintain thei r cur tai led schedules* The

American V/oolen  Co.

  1

 s  auct ion sale  of  9,000 pieces  of  overcoat ing  (Dec,

14-16) brought prices  of  about  25 per  cent  t o 4 0 p e r  cent  of  those  p r e -

v a i l i n g  a t t h e  open inn:  l eve l  f o r  1920*

Hosiery,  -  P r a c t i c a l l y  no  bus iness  i s  be ing t r ansac ted  i n  hos ie ry l ines

i n  D i s t r i c t  No* 3  ( Ph i l ade l ph i a ) ,  a s a  r e s u l t  of the  u n c e r t a i n t i e s  of  prico

fluctuations which have been aggravated  by  forced sales  of  s t ocks .  As a

r e s u l t ,  i t i s  es t imated that  t h e  operat ing capaci ty  o f t h e  m i l l s  i s  less

than  20 per  cent  of  normal. Returns rece ive d  f o r  November from  34  repor t ing

f i rms  i n t h e  hos iery indus t ry, which sel l  t o t h e  wholesale trade, show  a r e -

duct ion  i n t h e  value  o f t h e  producttmanufactured during  t h e  month (sell ing

p r i c e )  of 74 per  cent  as  compared with  t h e  same month  in 1919 and 18 .8 per

cent  a s  compared with  t h e  previous month.  The  value  of  f inished products

on  hand  a t t h e  endofcf  t h e  month (sel l ing pr ice)  was 9 5 .2 p e r  cent  i n  excess

of

  stocks held

  a

  year

  a z o .

  There

  w a s ,

  however,

  a

  r educ t i on

  o f 5 ,9 p e r

  cent

a s  compared with  t h e  prev ious month. Un fi ll ed orde rs  on  hand  at the end of

t h e

  month (sel l ing pr ice)

  had

  dropped

  8 7 , 5 p e r

  cent

  o s

  compared with November,

1 9 1 9 , an d 2 1 .1 p e r  cent  a s  compared with  t h e  preceding month.  S i x  r epo r t i n r

f irms which sell  t o t h e  retai l t rade show  a  decrease  i n t h e  value  o f t h e

product manufactured  o f 6 4 .3 p e r  cent  as  compared with November,  1919 , and

2 4 . 8 p e r

  cent

  a s

  compared with

  t h e

  pre viou s month? Un fi ll ed orde rs

  on

  hand

a t t h e en d o f t h e

  month (sell ing price) were

  6 , 2 p e r

  cent less than during

t h e

  previous month, which

  hn d

  r e g i s t e r e d

  a

  great decrease

  o f 7 1 ,8 p e r

  cent

as  compared with September.

S imi la r condi t ions preva i l  i n t h e  underwear industry  i n  D i s t r i c t  Mo. 3

(Ph i l ad el ph ia ) , many mi l l s being close d, whi le others  a r e  ope r a t i ng  a t  from

20 per  cent  t o 4 0 p e r  cent  of  c a p a c i t y .  The  mild weather  h a s  a l so in te r fe red

with

  t h e

  p lac ing

  of

  addi t iona l o rder s

  f o r

  heavy-weight goods

  and

  s tocks

  a i -

re dy

  manufactured have been sold

  a t

  s a c r i f i c e , Twenty-one concerns manu-

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fa ct ur in g underwear, located

  i n

  D i s t r i c t

  No. 3 (P

  h i l ade l ph i a ) , reco rd

  a

decrease

  i n t h e

  value

  o f t h e

  product manufactured

  o f 6 3 . 9 p e r

  cent during

33

November,  1 9 2 0 , a s  conpared with November,  1919 , and pe r  cent  a e  compared

with

  t h e

  prec edin g month. Finis hed produc ts

  on

  hand

  a t t h e e n d o f t h e

  month

were

  3 2 2 . 1 p e r

  cent

  i n

  excess

  of

  amounts held

  a t t h e e n d o f

  November,

  1919 ,

and

  showed only

  a

  neel ig ib le decrease

  of 1 ,6 pe r

  cent

  a s

  compared with

t h e

  previous month

  of

  Oct obe r. Orders booked duri ng

  t h e

  month were

  2 5 . 7

p e r  cent less than during  t h e  corresponding month last year  and 16 .5 pe r

cent less than

  i n

  October, Un fi l l ed orders

  a t t h e e n d o f t h e

  month were

9 5 . 8 p e r

  centbelcw

  t h e

  amounts outstanding

  a t t h e e n d o f

  November,

  1919.

Thi r ty- f ive f i rms be longing

  t o t h e

  Nat ional Associat ion

  o f

  Fin i sher s

of Cut

  Fabr ics , which represent

  72 pe r

  cent

  o f t h e

  white goods,

  62 pe r

  cent

o f t h e  dyed goods,  and 32 per  cent  o f t h e  pri nt ed goods,, re po rt  t h e  t o t a l

mumber

  of

  yards f inished dur ing

  t h e

  month

  of

  November,

  1 9 2 0 , a s

  40,591,156

as

  compared wi th 52,833, 213 yard s f in is he d duri ng

  t h e

  preceding month

  of

October.

  T he

  percentage

  of

  capaci ty operated dur ing

  t h o

  month averaged

f o r

25 pe r

  cent

  ' a l l

  repor t ing f i rms

  a s

  aga i ns t

  35 pe r

  cent during

  t h e

  preceding

month.

  Tho

  f i rms located

  i n

  D i s t r i c t s

  1

  (Boston)

  and 2 (New

  York)

  had an

operat ing perccntagees l ight ly below

  t h e

  average ,

  t h e

  f igures be ing

  21 pe r

ccnt  i n  each case, whereas Distr ict  No. 3  (Phi l ade lphia) r epor ted opera t ing

capac i t y  of 38 per  cent .  The  avera ge number  of  days' work ahead  a t t h e

end of

  November

  w a s 4 . 3 a s

  conpared with

  4 . 4 f o r t h e

  preceding month.

Thero

  h a s b o . n

  very l i t t l e change

  i n t h e r a w

  si lk market during

  t h e

past month,

  a s

  t h e r e

  h a s

  been

  no

  gonera1 increase

  of

  manufac tur ing ac t iv i ty

t o

  c r e a t e

  a

  buying demand.

  I n

  Paterson loons

  a r e

  working

  a t 6 . 7 p e r

  cent

  of

their maximum capacity

  i n

  terms

  of

  loom ho ur s

  a s

  compared with

  8 . 6 p e r

  cent

l a s t month. Elsewhere  i n New  Jer sey  t h e  depress ion  i s n o t s o  extreme, however.

I ndeed , D i s t r i c t

  No. 3

  ( Ph i l ade l ph i a ) r epor t s

  a

  renewal

  of

  i n t e r e s t - o n

  t h e

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- 12 -

  X-5008

p ^ r t o f  buyers  f o r  d r e s s  and  wais t houses , wi th  t h e  r e s u l t t h a t some mi ll s

which were shu t down have resumed op e ra t i on s,  t w o o f t h e  l a r g e s t m i l l s  a t

f u l l time . Improvement, however,  i s by no  means gen er al , many fi rm s  i n

t h e  District showing;  n o s iecns  of  in c r e a s e d a c t i v i t y .

Shoes  and  l e a t h e r ,  -  Lea ther pr ices have suffe red fur ther dec l ines ,

heavy na t i ve s t ee r (packer hid es) se l l i ng

  fo r 1 6

  cen ts

  and 19

  c e n t s

  per

pound  on  December  1 5 , a s  compared with  53  cen ts  i n  August,  1919*  Calfskins

s e l l i n g

  as h i :h as $1 in

  August,

  1 9 1 9 ,

  were quoted

  a t 1 5

  c e n t s

  t h e

  middle

o f th e  present month.  As a  matte r  of  f a c t , q u o t a t i o n s  a r e  largely nominal

i n t h e

  absence

  of any

  general buying demand.

Reports received from  24  r e p r e s e n t a t i v e b oo t  and  shoe manufacturers

of New

  England a bout

  t h e

  middle

  of

  November indicated that conditions were

a t  l e a s t  n o  worse  i n  tha t indus try than dur ing  t h e  preceding month,  s i x  con*

oe rns repor t ing  a  decreased produc t ion, be ing offse t-by  s i x  which  h a d i n -

creased t he ir outpu t , whi le  t h e  o the r  12  repor ted cond i t ions  t o b e  unchanged.

The

  m a j o r i t y

  of

  these concerns reported shipments

  t o b e

  e i the r equa l

  t o o r in

excess

  of

  those

  o f t h e

  preceding month*

I ron  and  s t e e l .  -  Fur ther decreases  i n t h e  p r i c e s  of  i r o n  a n d  s t e e l

products have occurred

  , and in

  p r a c t i c a l l y

  a l l

  items

  t h e

  wide spr ead which

sepa rate d independent pr ic e lev el s from tho se

  o f t h e

  l e a d in g i n t e r e s t

  h as

a i sappea red .

  I t i s

  repor ted f rom Di s t r i c t

  No* 3

  (Ph i lade lph ia ) tha t ,

  u

demand

prominent,

i n  most l i n e s , more however,  i n  s to o l p l a t e s  and  o the r f in i shed

produc ts ,  i s  a lm o s t e n t i r e l y a b s e n t /

1

  an d  ca nc el l at io ns have become more

p r e v a l e n t .

  1

  The  v p f i l l o d o r d e rs  o f t h e  United Sta tes Stee l Corpora t ion  d e -

creased from 9,636,852 tons  r .t t h e  c lo s e  of  October  t o  9,021,48 1 tons  a t t h e

c lose  of  November,  t h e  respective index numbers being  187 and 171* The

m a r k e t s i t u a t i o n

  i s

  r e f l e c t e d

  i n t h e

  cont inued decrease

  i n

  p r o d u c t i v e a c t i v i t y

Pig-iron production during November

  w as

  2,934,908 tons , corresponding

  to an

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- 1 3 - x - 3 0 0 8 0 5

.index number

  of 127 , a s

  compared with 3#292,

  597

  ton s durin g October, co rr es -

ponding

  t o a n

  index number

  of 142 .

  Ste el - ing ot prod uct io n l ik ewi se decreased,

from 3,0 15, 962 to ns d ur in g October  t o  2,638,670 tons during November,  t h e

respective index numbers being

  1 2 5 a n d I C 9 .

  St ru ct ur al s t ee l bookings dur ing

November were U9>200 tons,  o r 2 7 p e r  cent  of  capac i t y ,  a s  agains t 45,600

tons ,

  or 25% p e r

  cent

  of

  cap aci ty dur ing October. Curtai l ment

  of

  opera t ions

i n  D i s t r i c t  No. 3  ( Ph i l ade l ph i a )  h a s  progressed more rapidly during  t h e

current month than

  a n y

  t ime previous,

  a n d

  almost wi thout except ion repor ts

indica te tha t present opera t ions  a r e  only  a t 4 0 p e r  cant  of  capacity, while

fur ther decrease

  i s

  planned.

  A

 number

  of

  independent s teel works

  i n

  D i s t r i c t

N o . 4 a r e

  shut down completely,

  a s a r e

  many merchant b l a s t fu rn ac es which have

been accumulating stocks

  o f p i g

  iron, while many independent steel plants

  a r e

oper a t i ng

  a t n o t

  over

  5 0 p e r

  cent

  t o 6 0 p e r

  cen t .

  A

  decided c on tr as t , however,

exis ts between

  t h e

  s i t u a t i o n

  of the

  independents

  a n d t h e

  l e a d i n g i n t e r e s t .

  The

l a t t e r en tered l a r&a order s

  i n

  past months

  a t t h e

  minimum prices

  a n d h a s

  bean

enabled

  t o

  keep

  up

  ope r a t i ons

  on

  these order s , var io us su bs i d i ar i e s

  now

  ope r a t -

i n g a t

  about

  9 0 p e r

  cent

  of

  c apa cit y. Accompanying rea dju stm ent pro ces s

  i n t h e

industry have been wage reductions announced  by  various independent producers,

Coal . - Product ion  of  bituminous coal  h a s  continued upon  a  high l eve l .

The  November figure  wa s 51, 012, 000  tons , corresponding  t o a n  index number  of

1 3 8 , a s

  compared wi th 5 0,74 4,000 tons d uri ng October,

  a n d

  18 ,6 88 , OCOtons

  d u r -

i n g

  November,

  1 9 1 9 , t h e

  respective index numbers being

  137 an d 5 0. The

  output

f o r t h e  week ending December  4 se t a new  high record  f o r t h e  yea r ,  b u t w a s

bet t e red dur ing

  t h e

  fo ll ow in g week. This

  w a s i n

  s p i t e

  o f t h e

  f a c t t h a t

  o n

November

  2

9

  t h e

  p r i o r i t y

  i n t h e u s e o f

  open-top cars

  w as

  withdrawn completely.

Demand

  i s n o t a s

  i n s i s t e n t , w i t h

  t h e

  l e s s e n e d a c t i v i t y

  i n

  va r i ous i ndus t r i e s ,

and

  t h e r e

  h a s

  been

  a

  marked fal l ing

  o f f i n t h e

  expor t t r ade ,

  i n

  p a r t i c u l a r

  l u r -

i n g t h e

  p a s t

  tw o

  months.

  The

  f ue l s i t ua t i on t hus

  i s

  e a s i e r

  i n

  ce r t a i n s ec t i ons , s o

t h a t ,  f o r  example,  i n  D i s t r i c t  No. 8  (S t . Lo ui s) , da i l y improvement  i s  repor ted .

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- 1 4 - .  X - 3 0 0 8  6 6

Coke  h a s  oxpcrioncod  a  f u r t h e r d c c l i n e  i n  pr ice .

Product ion  o f  anthracite coal during Novonbor  w as  7,519,000 tons ,  a s

conparod with 8,188,000 tons  i n  October  and  7,070 ,000 tons  i n  Novonbor,  1919,

and the

  respective index numbers being

  102, 111, and 106*

  There

  h a s

  boon

v i r t u a l l y  n o  l o s s  of  t i n e f ro m t r a n s p o r t a t i o n d i f f i c u l t i e s . E f f o r t s  o f the

f a i r pr i ce conni t toc  a r e  repor ted f ror i Di s t r i c t  No, 3  ( P h i l a d e l p h i a )  to be

hol ding down nine pr ic es

  t o o

  fai r margin

  of

  prof i t above cos t

  o f

  produc-

t i o n  and to  have been l imit ing  t h e  rohandl ing  of  coal  b y  wholesalers*  The

market  i s  boconing nor e stead y  and  complaints  of  shor tages f ro n eas t ern c i t i e s

a r c  becoming loss numerous.

Pet ro loun.

  -

  Novonbor crude petroleum production

  i n

  D i s t r i c t

  No, 11

(Dal l as )

  w as

  13,347,352 barrels ,

  a new

  r ecor d ,

  a s

  compared with 12,277,197

ba rr el s during October. Product ion  i n  D i s t r i c t  No, 10  (Kansas City), however,

i e  commencing  t o  show  a  s l ight decl ine f rom  t h e  peak  i n  October,  I t i s r e -

ported that production  i s i n  excess  o f t h e  amount which  can bo  handlod readily

b y t h e  pipe l ines  and  r e f i n e r s  a r c  temporari ly s toring some  o i l -  Dr i l l i ng

a c t i v i t i e s  i n  Texas have been steadily declining since July,  and  t h i s  i s

p a r t l y a t t r i b u t a b l e

  t o t h e

  over taxed condi t ion

  of

  pipo l ines

  and

  s torage

  i n

many

  o f t h e

  most ac t i ve f i el ds * Operators

  i n

  some

  o f the

  f i e l d s

  i n

  D i s t r i c t

No. 10  (Kansas City)  a r c  cur tai l ing developments  t o  some extent,  b u t  ex t en -

sive enlargements  o f  r e f i n e r i e s  a r e i n  progress*  The  petroleum market  i n

t h a t D i s t r i c t  i s  exper iencing  t h e  usual seasonal dul lness ,

  11

 b u t  t h e r e  h a s

been

  no

  genera l

  o r

  sweeping decline

  i n

  ei ther crude pet roleum

  o r i n i t s r e -

f ined products*

A

  r educ t i on

  i n t h e

  p r i ce

  of

  crude

  o i l o f 5 0

  cen t s

  p e r

  ba r r e l

was  announced  i n  November  i n t h e  Texas coas ta l f i e lds ,  d ue t o t h e  heavi ly

increased product i on. Subsequent ly reduc t ions  of 15 t o 25  cen t s  p e r  ba r r e l

were reported  i n t h e  f u e l  o i l  markets  o f  north Texas*

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0 7

- 15 — yv.- j (/0 i

Nonferrous metals .

  -

  Fur th er i s^ fwase

  of

  a c t i v i t y

  was

  noticed.

  In / th e

z inc indus t ry  i n  D i s t r i c t  No, 10  (Kansas Ci ty ) dur ing November. SMx/iuents

of  z inc  o re  from  t h e  Missouri-Kansas-Oklahoma southwestern distr ict during

November were 37,470 tons,

  as

  compared with 40,479 tons during

  t h e

  sacre-

month l a s t ye ar - Shipments  of  lead  o r e ,  however, were somewhat greater

than

  i n

  November

  1919»

  being 6,368 tons,

  a s

  aga i ns t

  6 , 2 1 0

  t ons .

  The

  average

p r i c e  of  z inc  ore was the  lowest average price  f o r a n y  month  of th e  year,

t h e  pr ice be ing  *40 p e r ton a t th e  opening  o f the  month  and  2)2 ,95  . .a t th e

cl os e. Lead pr ic es dropped  $ 10 p e r t o n .  Addi t ion al pr op er t i es shut down

i n t h e  Di s t r i c t , many  f o r  three  t o  four months,  and  mines continuing  t o

operate were forced

  t o c u t

  wages, beginning December

  1 ,

  from

  10 to 25 pe r

' cen t , r educt ions  t o  remain  i n  e f f e c t  a s  long  a s  present z inc pr i ces prevai l  -

Product ion

  of

  ref ine d copper

  i n

  D i s t r i c t

  No. 9

  (Minneapol is ) ,

  a s

  repor ted

b y  companies producing  7 5 p e r  cen t  of the  to ta l output  o f the  D i s t r i c t ,  was

19,926,725 tons during November,

  a s

  compared with

  2 0 ,

  194,498 tons dur in g

October  and  25,156,563 tons during November,  1919* The  decrease  i s  ascr ibed

t o t h e  l ack  of  export demand  and  p r e v a i l i n g  low  p r i c e s ,  The  number  of  miners

employed decreased  12 p e r  cent from October  t o  November,  o r  from 27,035  t o

23,805,  a s  compared with 29,374  f o r  November,  1919•  Wages were red uce d  i n

Michigan ei ther  i n  November  or on  December  1 ,  al though  n o t i n  Montana* Trade

sources i nd ic at e some recov ery bo th

  i n

  p r i c e

  and in

  demand

  i n t h e

  nonferrous

metal markets  a s a  whole  a t t h e  opening  of  December,  b u t  t h i s  w as  soon

fol lowed  b y a  r e a c t i o n ,  an d  lower pr ic e le ve ls were reache d.  The  p r i c e  of

lead  was  reduced  b y t h e  l e a d i n g i n t e r e s t  on  December  3 t o  five cents , which

was the  outside market level  and on  December  2 1 t o 4 . 7 5  c e n t s ,  b u t  demand

h a s  cont inued l ight  i n  this r retal ,  a s  wel l  a s i n  copper , z inc,  a n d t i n .

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  6 8

™

  U

  ~

  X-3008

Eiaplpyrcent  and,  wages.  - An  incr eas i ng percen tage  of  unemployment  i s

noted throughout  t h e  count ry ,  t u t t h e  s i t u a t i o n  i s  most serious  i n t h e

e a s te r n d i s t r i c t s , e s p e c i a l l y  i n t h e  manufactur ing centers , where mil ls

and  f a c t o r i e s  a r e  e i t he r c l o s ed  o r  ope r a t i ng  on  pa rt - t im e s che dul es, Wage

re du ct io ns have al so become more ge ne ra l du ri ng  t h e  pas t month, especial ly

i n t h e

  t e x t i l e i n d u s t r i e s ,

  a

  large percentage

  of th e New

  England mills

having announced wage cuts

  of

  about

  2 2 $ p e r

  cen t , ef fe ct iv e December

  2 0 .

D i s t r i c t

  No. 1

  (Boston) says:

  The

  c l o s i n g

  of the

  wors ted mil ls

  i n

  Lawrence

t h e  last week  i n  November affected approximately  1 , 5 0 0  employees, while some

l6,OCO have been affected  b y  wage reductions  i n t h e  cot ton mil ls ; wage  r e -

duc t i ons  i n  Lowell, Mass.,  i n t h e  cotton mills involve 25,000 employees

and in New  Bedfo rd, Mass., about  4 0 , COO; i n  Manchester ,  N . H . ,  upward  of

l6 ,000  a r e  a f f e c t e d  b y  reduced wage schedules announced  t o  t ake e f f ec t  on

January  3»  1921, The  Massachusetts Department  of  Labor  and  I ndus t r i e s

e s t i ma t e s t ha t  2 5 p e r  cent  of the  membership  of  reporting unions were  u n -

employed  t h e  middle  of  December, while  i n  many instances working hours have

been cu r t a i l ed -

I n

  D i s t r i c t

  No. 2 (New

  York)

  i t i s

  s t a t ed t ha t

  t h e

  number

  of

  workers

  i s

about

  2 0 p e r

  cent below

  t h e

  maximum reached

  i n t h e

  s p r i ng .

  The

  p r i n c i p a l

decline during December occurred

  i n t h e

  meta l

  an d

  k indred in du s t r i es in ,upp er

New  York State,  b u t i n  t h i s D i s t r i c t a l s o  th e  most ser ious condi t ions prevai l

i n t h e

  t e x t i l e

  and

  c l o t h i ng t r ades ,

  i t

  be in g est ima ted th at only 5»000

  th e

65,000 normally employed  i n  men ' s c l o t h i ng f ac t o r i e s  in New  York City  are now

a t  work*  I n  fac tor ies engaged  i n t h e  manufacture  of  women's clothing, about

4 0 p e r  cent  of the  75,000 workers ordinari ly employed  a r e  s t i l l r e t a i n e d .  I n

P a t e r s on  employment  i n t h e  s i l k m i l l s  i s  about  1 0 p e r  cent  of  normal*  The

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X-3006

New  York rep or t fu r th e r says : Those id le  i n  Rochester include 9>200

clo th ing fac tory workers

  and.

  5.000 shoe-factory workers ,

  a n d t h e

  remainder

a r e  made  u p  from those formerly employed  i n t h e  b u i l d i n g  and  metal t rades

and  mis ce ll aneous f ac t o r y en t e r p r i s e s .  I n  Syracuse  100  f ac t o r i e s f o r mer l y

employing 40,000 persons have laid

  o f f

  18 ,7 2$ . fiuburn, F ul to n,

  a n d

  Oneida,

providing employment  f o r  15,000  i n t h e  ear ly spr ing ,  no w  employ 10,000.

The

  depress ion

  i n t h e

  lmxt-gcods trade

  h a s

  been r e f l ec t ed

  i n

  U t i c a

  and

Cohoes, where only about  1 3 p e r  cent  o f the  maximum number  of  such workers

are now  employed.  I n  Troy eight  of the  nine l a rge col l a r  an d  s h i r t f a c t o r i e s

were closed during December, making idle 10,000 workers, mostly women

  and

g i r l s .  I n  Rome, I l iori , Lit t le Falls ,  and  Herkimer, where about 23,500

persons were employed last spring, 8,500  are now  id le . These f i gu re s

and the  more general data  f o r t h e  Sta te  as a  whole r e fe r  i n t h e  main  t o

persons working

  i n

  i ndus t r i a l e s t ab l i s hmen t s

  who

  c o n s t i t u t e

  i n

  th i s S ta te

about one- thi rd  o f the  wage-earning po pu lat ion . Other types  of  workers have

been much less affected  b y t h e  s lackening  i n  b u s i n e s s a c t i v i t y .

I n t h e  sou thea s ter n d i s t r i c t s a lso cons id erable unemployment ex is t s , ,

a l though condi t ions

  a r e n o t s o

  acu t e .

  The

  t e x t i l e m i ll s

  i n

  these sect ions

have likewise reduced wages anywhere from  2 0 p e r  cen t  t o 2 5 p e r  cent .

D i s t r i c t  No. 8

  ( S t .

  Louis) say s th a t alth ou gh unemployment  i s  much less

marked than elsewhere  i n t h e  country  i t h a s  not i ceably increased dur ing

t h e  p a s t  30  days , t h e  l umber , f u r n i t u r e , c l o t h i ng ,  and  meta l indus t r i es

be ing mos t a f fec ted .  So f a r  wage reductions  i n  this Dis t r ict have been

i n s i g n i f i c a n t .

I n  D i s t r i c t  No. 10  (Kansas Ci ty) repo r ts indi ca te very gen era l  u n -

employment,  due in  p a r t  t c t h e  usual winter slowing down  b u t  a l s o r e s u l t i ng

from lack

  of

  demand

  f o r

  l oca l p r oduc t s .

  The

  cur t a i l men t

  of

  o p e r a t i o n

  h a s

been f a i r l y gene r a l ; occur r i ng

  i n t h e

  mining

  and

  pe t r o l eum i ndus t r i e s ,

  i n

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r a i l r o a d i n g ,  and to  some extent  i n  me rc a n t i l e e s t a b l i sh me n t s . i*n

excep t ion

  t o

  t h i s s i t u a t i o n

  i s

  noted, however,

  i n t h e

  coal mines

  of

Missouri, Kansas, Oklahoma,  and  Arkansas, where  th e  percen tage  of un-

employment  i s  l es s than dur in g pre ced in g months. Report s from  144 of the

l a rg e r i n d u s t r i a l e s t a b l i sh me n t s

  i n

  five leading towns

  i n

  Oklahoma; which

employ

  a

  t o t a l

  of

  17, 000 pe rs on s, show

  a

  reduc t ion

  of

  forces amounting

  on

t h e  average  t o  about  7 p e r  c e n t .  O i l  r e f i n e r i e s  i n  some instances have

reduced  t h e  number  of  employees  a s  much  a s 4 0 p e r  c e n t . There have been

some reductions  i n t h e  f o r c e s  of  packing houses,  an d  f l o u r m i l l s  i n  c e r t a i n

se c t io n s  of the  State have reduced their working forces nearly  5 0 p e r  c e n t .

I t i s  said that there  i s  more unemployment  i n  Colorado than  a t a n y  time  f o r

t h e

  pas t th ree years , t h i s be ing esp ec i a l l y t ru e

  f o r t h e

  th ree la rges t

c i t i e s .  The  bu i l d i ng t r ade s , however,  a r e  sa id  t o b e  work ing s tead i ly  and

t h e  s i t u a t i o n  i n t h e  c o a l  and  meta l l i fe rous mines  i s  good.  I n  Kansas,  a l -

though there  i s  some increase  i n  unemployment among unskilled workers,  the

s i t u a t i o n  o n t h e  whole  i s  f a i r l y g oo d.  I n  Wyoming, a l s o , th er e  h a s  been

some unemployment,  b u t i t h a s n o t  been except ional ly pronounced.  I n  D i s t r i c t

No. 12 (San  Francisco) unemployment  i s  i n c r e a s i n g ,  th e  unemployed  i n t h e

S ta t e

  of

  Washington being estimated

  a t

  20,000, while

  i n

  Portland 10,000

la b o re r s  a r e  s t a t e d  t o b e  without work.

Wholesale t rade.  -  During Octob er  t h e  d e c l in e  i n t h e  volume  of ne t

sa l e s  of  repo r t i ng wholesa le f i rms  h a d  become quite general  n o t  only  a s

compared with

  t h e

  preceding month,

  b u t

  wi th

  th e

  same month

  a

  year

  ago . The

downward tendency,continued during November,has become more pronounced  i n

l i n e s  n o t  p re v io u s ly  s o  s e r i o u s l y a f f e c t e d .  I n  D i s t r i c t  No. 3  (Ph i lade lph ia )

2 6  reporting hardware firms shew decreases  o f 1 0 . 1 p e r  c e n t  i n  November  a s

compared with

  t h e

  preceding month, although sales

  a r e

  s t i l l

  1 0 . 2 p e r

  cent

i n  excess  of  those  f o r  November, igig.  The  s a l e s  of 51  wholesa le grocery

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- 1

9 ~  X-300S

houses

  i n t h e

  D i s t r i c t f e l l

  1 5 - 8 p e r

  cent

  a s

  compared, with

  a

  year

  a g o ,

although showing

  a

  neg l ig ibl e increase over

  t h e

  preceding month.

  I t i s

stated that buying

  i n

  th i s f i e ld

  i s

  l a r g e l y

  f o r

  immediate consumption.

  As

a

  mat te r

  of

  f a c t ,

  i n

  volume

  and

  number

  of

  sa l e s ,

  th e

  wholesale grocery

business

  i s

  probably about

  a s

  ac t ive

  a s a

  year

  a g o , b u t

  pr ice reduct ions

have brought about decreases

  i n t h e

  money volume

  of

  s a l e s .

  I n

  D i s t r i c t

No. 4

  (Cleveland) sl ight reductions

  a r e

  shown

  i n

  volume

  of

  s a l e s

  o f d ry

goods

  and

  grocery firms amounting

  t o 4 . 2 p e r

  cen t

  a n d 3 . 8 p e r

  c e n t ,

  r e -

spec t ive ly , wi th

  3

  dry-goods houses

  and 13

  grocery f i rms report ing.

  On th e

other hand, hardware sales

  ( 4

  f i rms report ing)

  a r e

  s t i l l

  1 6 . 7 p e r

  cent above

those

  f o r

  November,

  1 9 1 9 ,

  while

  3

  wholesale drug concerns have increased

sa les

  4 5 . 8 p e r

  cen t

  a s

  compared with November,

  1919- In

  D i s t r i c t

  No. 5

(Richmond) wholesale hardware, houses registered declines

  of 7 . 8 p e r

  cent

i n

  volume

  of

  sa l e s

  a s

  compared with

  a

  year

  ago and

  l4-$f

  p e r

  cent

  a s

  compared

with

  t h e

  month

  o f

  October.

  I n

  th i s D i s t r i c t dec l i ne s

  i n a l l

  lines, namely,

g roce r i e s ,

  d r y

  goods, boots

  and

  shoes, hardware,

  and

  furni ture were reported,

t h e

  percentage decreases

  a s

  compared with November,

  1 9 1 9 ,

  be ing

  5 * 7 p e r

  cent

f o r  g roce r i e s  (9  f i rms report ing)  2 p e r  cent  f o r d r y  goods  ( 8  f i rms ) ,

35*7  p e r  cent  f o r  boots  and  shoes  (9  f i r m s ) ,  a n d 84 p e r  cen t  f o r  f u r n i t u r e

( 4

  f i rm s) . Last year

  i t wa s

  sa id tha t :

  At the

  c lo se

  of

  November

  t h e r e -

porting fi'Cms  h a d  large amounts  i n  orders outs tanding,  b u t  this year  the

orders reported amount  t o  pr a ct i ca ll y noth ing . Back order s with which  the

f e l l

  o f f ,

firms began

  t h e

  year have been f i l led

  as new

  bus iness

  o r

  else have

been canceled before shipment could

  b e

  made.

  A d r y

  goods wholesaler

  r e -

ported #125,000

  i n

  outstanding orders

  on

  November

  3 0 , 1 91 9» t u t

  only $3,000

on

  November

  3 0 , 1 9 2 0 -

  Another fi rm se ll in g

  t h e

  same li ne es ti ma te s th at

they

  h a d

  unfi l led orders around

  a

  ha l f mi l l ion do l la rs

  a t th e end o f

  November

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7 2

- 2 0 -

  7-3008

l a s t y e a r ,  t u t h ad n o t  enough  t o  mention this year  on the  same date.  A

boot  and  shoe de al er re po rt s #15,000  i n  u n f i l l e d o r d e r s  on  November  30 ,

1 9 2 0 ,

  compared with $200*000

  on t he

  same date

  a

  yea r

  a g o .

  Four fu rn i t u r e

makers reported outstanding orders  as of  November  30 , 1920 , a s b u t  $37i932»

compared with *909*^30  on t he  same date last year.

I n

  D i s t r i c t

  No. 6

  (Atlanta) average decreases

  a r e

  shown

  f o r a l l r e -

por t ing l ines both  a s  compared with November,  1919« and  wi th  t h e  preceding

month,  t h e  decl ines be ing especia l ly heavy  i n t h e  case  o f d ry  goods  and

shoes from  t h e  r e t u r n s  of a  year  ag o. The 11  r e p o r t i n g  d r y  goods firms

show average sales decreases

  o f 9*^ p e r

  cen t

  a s

  compared with November,

1 2 . 2

1919» and p e r  cent  a s  compared with  t h e  pre ced ing month. Si mi la rl y

9  wholesale shoe houses r eg is te r dec l in es  of  40*2  p e r  cent  and 31*5 p e r  cent ,

r e s p e c t i v e l y . Twelve groce ry fifcms give average sa le s

  1 8 . 2 p e r

  c en t below

th e  t o t a l s  f o r t h e  same month last year  a nd 11 , 7 pe r  cent lower than those

of the  preceding month, while  t h e  corresponding f igures  f o r 9  hardware

f i rms

  a r e 4 9 - 4 p e r

  cent

  and 9*5 P

e r

  c@6t, re sp ec t i ve ly . Decreases

  i n

sa les  a s  compared with November,  1919, &re  heavy  f o r a l l  repor t ing l ines

i n  D i s t r i c t  No- 7  (Chicago), amounting  t o  l6 .2per cent  f o r 2 3  grocery

houses ,  2 0 . 1 p e r  cen t  f o r 8  shoe firms,  and 2 9 . 1 p e r  cent  f o r 8 d r y  goods

f i r m s .  A l l  concerns report cautious buying  and  downward price trends.

In  D i s t r i c t  No. 10  (Kansas City)  t h e  only exception  t o t h e  downward move-

ment  i s  found  i n t h e  case  of  drugs , decl ines be ing especia l ly heavy  i n

groce r i e s  an d  f u r n i t u r e  a s  compared with  a  year  a g o ,  w h i l e f u r n i t u r e ,

grocery ,

  a nd

  hardware sales

  a r e

  much below October averages.

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X-3008

I n

  D i s t r i c t

  No. 11

  (Da l l a s ) , a l s o ,

  t h e

  so l i t a ry except ion

  t o t h e

  general

declines reported occurs  i n  wholesale dru gs, s al es being  8 p e r  cen t  i n

excess  of  those  f o r  November,  1919*  al though  2 1 p e r  cent below  t h e

average

  f o r th e

  preceding month, with

  5

  f i nn s rep ort in g. Four grocery

1 9 2 0

f i rms report decl ines  of 10 p er  cent from November

(

  a n d 3 4 p e r -

  c

ent

a s  compared with November, 1919/

f o r 2

  hardware concerns,

  th e

  dec l ines

are 3 P

e r

  cen t  and 27 pe r  cen t , resp ec t i ve ly ;  f o r 3 d r y  goods firms,

1 3 p e r  can t  and 29 pe r  cen t ;  a nd f o r 2  deal e r e i n  farm implements,

37 pe r

  cent

  and 47 per

  c e n t .

  I n

  D i s t r i c t

  No. 12 (San

  Francisco)

13 7  wholesale firms reporting  f o r 8  l i ne s , namely , g ro cer ies ,  d r y

goods, hardware, drugs, shoes , s ta t ionery, furni ture ,

  an d

  au to t i r e s ,

show average declines  a s  compared with  t h e  preceding month  and  with

November,  1919»  dr ugs agai n be in g alone  i n  maintaining  an  increase ,

having advanced  1 5 « 7 p e r  cen t  as  compared with November,  1919*

Th e  dec l i ne s  as  compared with  a  year  ago  amount  t o 3 2 p e r  cent  f o r

au to t i r e s ,

  2 3 - 8 p e r

  cen t

  f o r

  f u r n i t u r e ,

  3 3 - 3 P

e r

  cent

  f o r

  shoes,

2 1 . 6 p e r  cen t  f o r d r y  goods,  1 1 . 9 p e r  oent  f o r  g r o c e r i e s ,  and 8 . 8

p e r

  cent

  f o r

  hard ware . Declines from

  th e

  averages

  of the

  preceding

month were  U 7 .7 p e r  cen t  f o r  au to t i r e s ,  1 9 - 5 p e r  cen t  f o r  f u r n i t u r e ,

2 8 . 2 p e r  cen t  f o r  shoes,  2 4 . 5 p e r  cent  f o r d r y  goods,  1 4 . 7 p e r  cent

f o r

  g r o c e r i e s ,

  1 8 . 1 p e r

  cent

  f o r

  hardware,

  and 11-5 P

e r

  cent

  f o r

  drugs•

Demand  i s  reported  t o b e  rest r ic ted, buyers f i l l ing only immediate needs,

while current orders  a r e  small  and , i n  some cas es , p ra ct i ca l l y negl igib le«

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- 2 2 -

X-300K  7 4

Reta i l t rade  - The  r e t a i l t r a d e s i t u a t i o n  i s  c h a ra c t e r i z e d  by &

continued lowering  of  p r i c e s  and an  increased volume  of  b u s in e s s ,  Jua

both  t o  these p r ice reduc t ions  a n d t o  Christmas shopping.  The  -percentage

in c re a se  o f n e t  sales over those  of  November,  1919> i

n

  -o st on wars  11..

i n  P h i l a d e lp h ia  8 , 5 , i n  Richmond  1 3 . 1 , a n d i n S a n  Francisco  1 1 . 3 - ? h o

cause

  of the

  comparatively large volume

  of

  business during November

  s

well expressed  i n t h e  repor t f rom Di s t r i c t  No. 10  (Kansas City) whicr,

says: While t h i s  may  reasonably  be  a sc r ib e d  i n  p a r t  a t  l e a n t  t o  tx>e

seasonal influences impart3d  by the  Chr is tmas sp i r i t ,  i t i s  quite

evident that  t h e  a t t r a c t i v e p r i ce s  a t  which goods  a r e  o f f e r e d  a r e  having

a  good deal  to do  wi th  t h b  increased volume  of  s a l e s .  I t i s  reported

i n  soa.e d i s t r i c t s tha t p r i ces  are now  approaching  t h e  replacement values,

whi le  i t i s  repor ted  i n  D i s t r i c t  No, 8 (S t .  Louis) that  t h e  p a s t  3 0

days have been marked

  by

  numerous

  an d

  d ra s t i c c u t s

  i n

  r e t a i l p r i c e s,

  bu t

t h e  r e d u c t io n s  a r e i n a  large measure isola ted  and  s p e c i a l i z e d . The

department stores  a r e  g ra d u a l ly l i q u id a t in g  t h e  large sums whicn were

t i e d

  up in

  stocks when

  t h e

  presen t dec l ines s ta r ted ,

  b u t t h e

  outs tanding

orders  a r e  very  low and  l i t t l e a t t e nt i o n  h a s  been paid  t o t h e  replacement

of  depleted stocks because they  a r e  ho ld ing  o u t  wi th  t h e  view  t o  r e s to c k -

i n g a t

  lower f igures during

  t h o

  early months

  of 1 ̂ 2 1.

  This

  i s

  sh'-wn

  by

t h e  percen tage  of  outstanding orders  a t the end of  November  t o t h e  to t a l

purchases during  t h e  calendar year  1 ^ 1 9 ,  which  i s 7• I'

1

  - c a to n ,  •+/•

i n  P h i l a d e lp h ia ,  and Jlo i n  Richmond.

Building  -  Causes operative  i n  preceding months  t o  hamper  t h e

resumption

  of

  building continued

  t o

  prevent

  a

  r e v iv a l

  of

  a c t i v i t y .

  The

d e t e r r e n t e f f e c t s

  o f h W )

  wage levels

  an d

  high pr ices

  vf

  b u i ld in g ma te r i a l s ,

toge the r wi th re s t r i c t ed funds  f o r  investment have been accentuated  by

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- 2 3 -

X-3003

t h a  usual decl ine  t o b e  expected t n i a season?  I n New  York State  and

n o r th e rn  New  Je rsey bu i l d ing con t ra c ts  f o r  November were $20,000,000

below  t h e  October to ta l ,  b u t  c o n t r a c t s w i th in  t h e  d i s t r i c t  f o r t h e 1 1

months period were $579,>000,000,  l b p e r  cent  i n  excess  of  t o t a l s  f o r t h e

same period  in 1919* In  D i s t r i c t  No. 4  (Cleveland)  t h e  decrease '  i n  to t a l

v a l u a t i o n  of  p e rmi t s  f o r 1 2  c i t i e s  f o r t h e  same month l a s t ye ar  was 51 P

e r

cent  and a  s l igh t ly g rea te r dec l ine occur red  i n  D i s t r i c t  No. 5  (Richmond),

where totals were  5^*& per  cent below those  f o r  November, 1919-*  I n  D i s t r i c t

No* 6

  (At l a n t a )

  a few

  ci t ies show increases ,

  b u t t h e

  general t rend

  i s

downward*  I n  D i s t r i c t  N o . 8 ( S t .  Louis) Louisville, Memphis,  a n d  L i t t l e

Rock  a l l  repor t dec l ines  i n t h e  value  of  p e rmi t s ,  a s  compared with November,

1919*

  More in qu ir ie s

  a r e

  sa id

  t o

  have been received

  by

  a r c h i t e c t s ,

b u i ld e r s ,

  an d

  c o n t r a c to r s ,

  b u t

  ac t ua l under tak ings

  a r e f e w . I n

  D i s t r i c t

No.* 9  (Minneapolis)  t h e  number  of  permits amount  t o 8 1 p e r  cent  of the

t o t a l  f o r  November,  1919> and the  v a l u a t i o n  i s  only  3 3 p e r  cent  of  t h a t  of

a  year  a g o .  There  was a  dec l ine  i n t h e  number  of  permi ts  i n  every city

except Fargo  a n d  Missoula,  a n d  d e c l in e s  i n  va lua t ion occur red  i n a l l  c i t i e s

except

  S t .

  Paul, Missoula,

  a n d

  Great Fal ls .

  I n

  D i s t r i c t

  No. 10

  (Kansas

City)  t h e  decrease  i n t h e  va lue  of  permi ts  a s  compared with  t h e  same month

las t yea r  w a s 5 0 . 6 p e r  cent , a l though est imated costs  of  b u i l d i n g  up to

December  1  were  1 1 . 5 p e r  cent larger than during  t h e  corre spond ing peri od

las t yea r -  I n  D i s t r i c t  No. 11  (Dal las )  t h e  value  of  permi ts i s sued  i n

9  l e a di n g c i t i e s  w a s 4 2 , 9 p e r  cent below va lu at io ns  i n  November,  1919*

a l though  t h e  total number  of  permits increased from  1 , 3 8 7 t o  2,001

#

  As a

mat te r

  of

  fact , heavy decreases

  i n

  Fort Worth, Shreveport, Dallas,

  and El

Paso account

  f o r t h e

  drop,

  a s

  elsewhere increases

  h ad

  occur red .

  I n

D i s t r i c t  No. 12 (San  Franc isco)  t h e  d e c l in e  i n  b u i l d in g a c t i v i t y  h a s n o t a t ?

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Y 6

- 2 4 - .  X-3008

any  time been  so  pronounced  a s i n t h e  o t h e r d i s t r i c t s ,  and  al though

t h e  va lue  of  permi ts dec l ined  8 . 7 p e r  cent from October fig ur es ,  t h e

t o t a l s  a r e  s t i l l  1 . 6 p e r  cent greater than those reported  i n  November,

1 9 1 9 . I t i s  d i f f i c u l t  t o  e s t ima te  t h e  in f lu e n c e  o f t h e  seasonal

change

  i n

  bringing about

  t h e

  decrease since October,

  a s

  las t yea r

t h e  November f igures regis tered  a n  advance.

Produc t ion

  of

  lumber

  h a s

  dec l ined genera l ly .

  I n

  D i s t r i c t

  No. 5

(Richmond) many m i l l s have clo se d en t i r e l y ,  a n d a  diminished production

f o r  November  i s  r e p o r t e d  by  four lumber assoc ia t ions  of the San  Francisco

D i s t r i c t .  The  l a r g e s t  of  t h e s e ,  t h e  West Coast Lumberman's Association,

wi th  1 2 1  m i l l s , r e p o r t s  f o r t h e  four weeks ending November  2 7 ,  orders

of

  182,417,000 feet against

  a cu t of

  264,305,

  000

  f e e t .

  The

  d e c l i n e

  h a s

been  d u e  p a r t l y  t o  seasonal cur ta i lment  of  o p e ra t io n s ,  a s  some  of the

l a r g e r m i l l s

  a r e

  c l o s i n g

  f o r t h e

  yearly overhaul ing

  of

  machinery,

  and in

other sections snow  h a s  reduced operat ions .  I n  D i s t r i c t  No. 3  (Ph i lade lph ia )

t h e r e

  h a s

  b e en l i t t l e b uy in g

  of

  lumber because bu i l de rs

  a r e

  unable

  t o

  secure

funds  a n d  because  t h e  p u b l i c  i n  g e n e ra l a n t i c ip a t e fu r th e r r e d u c t io n s .

I n  D i s t r i c t  No. 6  (At l a n t a )  I-be  lumber situation shows some improvement.

While  a  number  of  m i l l s  i n New Oij. .S a r e  expected  t o  remain closed until

a f t e r

  t h e

  h o l id a y s ,

  i n

  Alabama many

  a r e

  resuming op er at io ns . In cr eas ed demand

h a s  taken place  f o r  southern pine ,  a n d i n  consequence prices have strengthens#.

Work

  h a s

  begun

  o n t h e

  f i r s t u n i t

  o i a

  lumber terminal located

  on th e

Hackensack River, near Jersey City,  N. J .  This f i r s t un i t wi l l cover

a n  a r e a  of 50  ac re s , wit h s torage sheds  f o r  100,000,000 feet  of  lumber

and a box

  f a c to ry , p l a n

  i n g

  m i l l ,

  a n d

  sash

  a n d

  door p lan t .

  The

t e rmin a l  i s  being erected  t o  store , handle  and  se l l P a c i f i s co a s t

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*

2

5 ~  X-3008

lumber brought  by sea  from po rt s  i n  Washington, Oregon,  a n d  Ca l i f o r n i a ,

P r i c e s  - The  Board's index number  of  wholesale prices showed

a  further marked decline during November.  I n  October  t h e  number

stood  a t 1 0 8 p e r  cent above I9 I3 pr ic es ,  i n  November  a t $ 0 p a r  cent .

This means there

  h a s

  been

  a

  decl ine

  of 28 p e r

  cent from

  t h e

  peak

  of

l a s t  May and of 8 . 5 p e r  cen t du ri ng November. Imp ort s  a n d  expor t s  a r e

much nearer  t h e  prewar level than  a r e  commodities  f o r  domestic consump-

t i on . Fur ther decreases  i n  p r i c e s  of  commodities which were a lr e ad y

a f f e c t e d  b y t h e  decl ine r a ther than  a n  extens ion  of  p r i ce cu t t i ng  t o

o t he r i ndus t r i e s f ea t u r ed  t h e  month.  I n  other words# agr icul tura l  p

pr oduc t s , t ex t i l e s , h i des ,  and  l e a t h e r ,  a n d  i ron  a n d  s tee l product s

decl ined very s t r i ki ng ly , whi le coal , petroleum, gas ol i ne , pape r , br i ck ,

and  cement regained largely unaffected.  I n t h e  l a t t e r gr oups  of

commodit ies reductions  a r e  repor ted nere  a n d  t he r e  i n t h e  open mar ke t,

b u t  quoted contract pr ices appear  t o b e a t  approximately  t h e  same l^vel

a s i n  ear l i e r months .  I n t h e  case  of  petroleum, reductions occurred

i n t h e  Texas coa s tal f ie ld ,  b u t i n  o t h e r d i s t r i c t s  no  important changes

have been made.

  I n t h e

  coal indus t ry pr i ces

  a r e

  r epor t ed

  a s

  eas ier

i n

  December. Contract quo tat ion s

  on

  leading grades

  of

  a n t h r a c i t e

and  bi tuminous  f o r  November, however, were  a t t h e  same high level  a s

i n  October.

I n  thre e important in du s t r i e s  -  cotton, wool,  and  boot s  and  shoes  -

where  t h e  l i q u i d a t i o n p r o c e s s  h a s  been  of  longes t dura t ion , fur ther

price reductions wers made  i n  November,  b u t i t w as  reported from several

sources  i n  December that buying  h a d  been  on a  la rg er sca le than

  xn

r ece nt months. Fa l l i ng pr i ce s  f o r  farm pro duc ts  h a s l e d t o a

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- 2 6 -

x-3003

wi thhold ing  of  commodities from market  i n t h e  case  of  co t t on ,  # # # %

and

  tob acc o. Repo rts from

  a l l

  s ec t i ons

  of the

  country

  a r e t o t h e

effect that lumber prices were heavily reduced during November*

Str uc tur al s te el along wi th other s t ee l product s l ike wise decl in ed,

b u t  cement  a n d  brick prices remained firm.

Re ta i l food pr ic es decreased  2-g- p e r  cent during November,

according

  t o a n

  index number

  of the

  Bureau

  of

  Labor S t a t i s t i c s ,

computed from  t h e  p r i c e s  of 22  a r t i c l e s  of  food  i n  d i f f e r en t s ec t i ons

of the

  country.

  The

  r a t e

  of

  decl ine

  w as

  only sl ightly more rapid

than during October  and  September. Fede ral Reserve ag en ts a l so re po rt

decreases  i n  r e t a i l pr ic e s during November  an d  December, although  i n

most dis t r icts emphasis  w as  placed  o n t h e  fac t . t ha t  i n  s p i t e  of

extreme reductions

  i n

  cer t a i n l i ne s , notably c lo th ing , r e t a i l pr i c es

a s a  whole -were dec li ni ng l e s s ra pi dl y tha n wh ole sal e.