Los Angeles herald. [microfilm reel] (Los Angeles [Calif.]) 1900-1911, 1908-01-01

the late movement of the crops and the
October panic and its aftermath hurt IAN
trade and holiday business. AS to Whole-
sale trade, 1t may be said that SIX
months business was secured before the
year began, but the business done after
July 1, and especially in the last quarter,
was below other years. Industry entered
the year with full order books and had
about caught up with demand in many
lines when the October panic occurred.
Collections were at no time especlaliy
good, and in the late fall they were posi-
lively bad in some sections, with an i'm
mense amount of paper reported renewed.
Despite all drawbacks, however, so keen
was early demand and SO behindhand
were nearly all manufacturers that the
excess in the first half of the year prob
ably more than made up for losses in the
last half, so that the years turnover IN
wholesale trade and industry compares
quite we'll with 1906. Poor crop reports
and estimated or actual lighter yields
were responsible for excited movements
and a higher range of prices of farm pro-
ducts, especially of grains and cotton,
than in 1906. Commodity prices, as Wen
as the cost of living, generally struck
new levels. Labor was scarce, but COM
planned of as inefficient until close to the
end of the year, when decreased building
and manufacturing operations brought
about a surplus supply. Emigration was
the heaviest in the country's history, CO.
incident with the greatest immigration
ever recorded.
The Year in Detail
Weather conditions were irregularly I'M
favorable during January, excessive rains
west and mild weather east and south
affecting retail trade, while the northwest
=-ss hurled IN snow throughout the
country there was complaint of conges-
ton of transportation, and some 1906 holi-
day goods were held on cars until FEB
ruary Floods in the central west inter-
fered with industry and there were fears
of damage to winter wheat from lack of
snow covering or from insects. Wintry
weather early in February accentuated
fears as to wheat, which continued with
little snow covering, and green-bug dam
age in Texas foreshadowed a failure or
that states wheat crop. Ditticulty IN Dor
rowing money and serious congestion in
transportation hurt the railroads, which
found operation dangerous because OF
strain of working forces, while revela-
lions as to railroad stock watering caused
an outbreak of granger legislation and
predictions of curtailment in new con-
struction or of improvements Already
there were misgivings as to the top of
the prosperity wave having been reached,
-
immensely active demand for cotton
goods Early in March the Ohio valley
was flooded for the second time in 1907,
prices for commodities reached the high
est point In fifteen years and green-bug
damage to wheat mover northward, but
trade was good, and order books were
reported filled as never before. Anti
railroad legislation reached extreme de"
velopment and the stock market eX-
perienced its first great weakness OF the
year, eliminating in the mystery panic
of March 1926. Less confident iron buy
ing for the third quarter and easing in
copper prices were features following the
stock market slump, but almost summer
like weather stimulated a good Easter
trade at retail. April ushered in two
months spell of cold weather which inter-
rupted farm work, checked plant growth
and made for a sharp advance In wheat,
corn, oats and cotton prices. Gross rail-
way earnings reflected higher cost of
operation. Poor trade and slow collections
were complained of in May, which saw
export trade at New York paralyzed by
a strike of longshoremen, and rtrikes at
San Francisco interfered with foreign and
domestic business. Cereal prices doomed
early In May, a reflection of poor crop
reports at home and abroad. June opened
with poor crop promise, some conser-
vatism in ordering for fall trade, slow
retail trade and poor collections. but
change for the better was seen after the
first week; crop conditions improved, cot
ton goods we're strong and to 10 per
cent gain in total trade over the first
half of 1906 was shown. Gold exports
were heavy In June and cereal prices
dropped sharply.
Caution Appears
Financial matters were unsettled in
July, and copper prices eased, but hot
weather stimulated retail trade, though
crops gained less than expected. Early
in August occurred the second big break
of the year in stock pris rs, the record
Standard Oil fine, lower prices for cop
per and iron, high rates for money and
the strike of telegraph operators being
some accompanying features. Deposits
of treasury funds eased the money situ-
alton slightly, but there were signs of
auieting down of industry and collections
were backward. Features early in Sep
TENDER were reports that buying of new
stocks of merchandise was less notable
than in former years, and copper declined
sharply but stocks showed evidences of
bullish manipulation and a successful
city bond sale contrasted with failure
in June. Conservatism and caution aSto
new business was visible, and later Sep
TENDER saw the shutdown of many cop
per mines, renewed weakness in stocks
and bonds and receivership for the New
York City Street railway. October
opened with money tight, hot weather
restricting trade. and cotton goods cas-
ing; the very late crop movement af-
fected trade and the return flow of
money to the east. The United copper
corner of October a 'ushered in the
third great break of the year. cuminat-
ing in trust company runs" suspensions
of many financial institutions, premiums
on and boarding of currency and the is
suance of clearing house certificates and