The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1903-07-31

Since pig iron is the basic raw material
for the great bulk of the manufacturing
done in the United States. it is recognized
as the best barometer of American industry.
1t enters into the manufacture of everything
outside the cereal, textile, leather and tim
Der industries, and it's price, production and
consumption figures throw a great deal of
light on the status of American manufac-
turing. BY the figures just published it is
shown that during the fiscal year ending
June so the American production of pig iron
amounted to 10, 100000 tons, an increase of
100000 tons over the preceding year. At
the same time the consumption amounted
to 1S,5l7,0Oo. an increase of 100000 tons.
Since the accumulated stocks were very
small, nearly half of this excess of consump-
ton was made up of importations amount
ing to over a million tons of Bessemer and
foundry pig.
If this tremendous production of pig iron
had meant the accumulation of very consid-
cradle stocks in first hands, or IL its tremen-
dous consumption had meant the accumu-
lation of stocks of finished manufactures
in first hands. there might be some reason
i'm the general industrial situation for the
violent speculative pinch Wall street is just
recovering from, but there was probably
never a time when stocks moved from maker
to consumer in such quick. hand-to-mouth
fashion. Had there been pig iron to be had
at home there would have been no importa-
-
year at figures a little below the importing
point. Brokers charged premiums that
brought the prices for reasonable delivery
above the importing point. and orders en-
tered at the furnaces had to take their turn
at anywhere from eight to twelve months
away. While the capacity of the furnaces
has been vastly increased, stocks are not
accommodating to any significant extent.
and practically all the independent mills
| and factories in the iron trade are so nearly
cleaned up that they are buying from month
to month. further recession of price,
bringing pig iron to a normal figure. would
| doubtless start a new buying movement
even stronger than that of 1901. when prices
touched low level for a while. This seems
/ certain for a chain Of most excellent rea-
sons. In the first place. mills and factories
] in the iron and steel line are very generally
/ close to shore on raw material and. not
withstandng the remarkably large increase
of manufacturing capacity, most of them
are still more or less behind their orders
Steel rail mills are sold up for year. and
there Is still shortage of structural shapes
Notwithstanding the interruption of building
| operations at several points by labor
troubles. In machinery and other more
highly finished products. while the strain /:
not so heavy as it was a year ago-havine
been eased by increased production-there i:
not only no accumulation of stocks. but
there is still something of a struggle to &c,
within hailing distance of orders. Last bu,
by no means least. the volume of inquir,
and sales is generally larger than 1t was 8
year ago. More business is being transact
ed, with less congestion in manufacturing
aud transportation. Railroads and factorie.
are showing record-breaking months al
| around.
Taken all in all. the Journal does not be
leve business in the United States was evel
quite 80 healthy as now. Collections are ex