Los Angeles herald. [microfilm reel] (Los Angeles [Calif.]) 1900-1911, 1908-08-27
INDICATIONS POINT
TO TRADE REvIvINe
Merchandise Stocks In All Lines
Throughout the Country Are Low
and Stand In Need Of Re
punishment

Special to The Herald.
CHICAGO. Aug. 26.--According to the
answers received from very large
number of banking and commercial
correspondents communicated with BIZ
the Commercial National bank O Chi
cage the prospects for q decided re-
vival Of business in the near future are
excellent
While It is believed that the wheat
crop win be somewhat smaller than It
was last year, high prices are expected
The corn crop is also expected TO be
a trifie lighter than it was last year,
but in that direction also good prices
are anticipated.
The main reason for expecting a disc
tinctly more active business, however,
Is that merchandise stocks throughout
the country have reached a point at
which they must be replenished.
When the monetary crisis fell upon
the country In the fall Of 1907 the first
impulse among business men was to
avoid new commitments and await de-
velopments. The immediate result was
wholesale cancellation Of orders for fu-
ture delivery. This policy extended
throughout the jobbing and retail trade
everywhere. Curtailment of production
was enforced by great majority OF
Tue bLTOuB COuGSEHSs Will u aSAA4LH
view of preventing disastrous glut of
merchandise. It was recognized that
time must be allowed for the slow
working of of stocks on hand. The re-
lation between supply and demand
must be brought to a normal position
For the first six months Of 1903 BUSH
ness was of very moderate volume and
confined largely to carry-over stocks
The supply had been kept fairly sta
tionary, the demand had been slowly
increasing Thus the business COM
munity was enabled with comparative
ly little distress to transform goods
into money and to avoid the disastrous
sacrifices often met In times OF panic.
Stocks Greatly Depleted
Stocks are now depleted In all lines
and in all hands from the manufac-
turer to the country store. Wear and
tear have been going on as usual; re-
refreshments have been barely enough
to meet absolute, immediate necessi-
ties. Even in the farming regions
where everybody is prospecting, re-
tailers have stocked up only sparingly.
buying from hand to mouth. They are
about sold out.
Of the crops and the flow of money into
the pockets Of the farmers there must
inevitably come general replenishment
of stocks of merchandise. The profits
of the year are, or soon will be- In
hand, and there will be a strong de-
mand for articles Of necessity and for
Injuries unthought of except after the
harvest home. The process OF restock-
ing stores throughout the farming
area is being generally counted on to
make the tall months active and profit
able.
1.-THE important question Is" says the
report whether the activity thus set
up will be maintained after the crop
movement ceases. A large majority OF
our correspondents believe that 1t will.
and that the year 1909 viii be prosper
Gus and active. though not on Boom
scale. Present Indications, as reported
by the selling organization In the field,
are that 1909 samples are finding a
good sale. The signs decidedly favor
the opinion that next years trade will
be of satisfactory volume in all mer-
camille lines"
Tive IN Vau4ca U4llam 61,N y1rxear, l<s...-.