The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1914-12-01
BIRMINGHAM TRUST.
GENERAL LETTER ON.
TRADE CONDITIONS
Change in Sentiment Dis
tinctly Felt in Financial
Circles-Things Fighting
Themselves Rapidly

The general letter on trade conditions
Issued by the Birmingham Trust and
Savings company, as of November 81,
is as follows:
The second half of the year 1911
began with two prime disturbing fac
tors-one, the scarcity Of money, and
the other. decline in the employment
of labor; both of these conditions were
accentuated four weeks later by the
beginning of hostilities in Europe For
perhaps 80 days the decline was rapid
and general, after which the upturn
started in the labor world
Probably 40 per cent of the labor
usually employed in the metal trades.
the textile trades and heavy manufac-
turing generally was out of employment
at the beginning of this closing quar-
ter of the year. Not since 1893 has the
NUMBER of unemployed been so large
III TINS country as on October l. Since
that date, increased orders for home
consumption, the opening, conversion or
equipment of factories for the making
Oh goods previously bought in Europe
ard the receipt of heavy orders for sup
plies from the belligerent nations. have
each served to reduce the number of
unemployed. Within a fortnight. enough
mills have resumed or Increased their
working forces to re-employ 25 per
cent or the idle and it Is safe to as
sumo that not more than rs per cent
or the labor usually employed in the
heavy manufacturing lines is idle at
this writing with good prospects of the
number being decreased daily. Among
those concerns which have been favored
with heavy orders from the nations at
war, many are operating at full ca
pacity and some working "a hours a
day Tor the first time in their histories.
Change in Sentiment Felt
commercially, we have not yet felt
70 any extent the great change in senti-
ment which has come about during the
month, but the change has been dis
tinctly felt in financial circles. The
most potent factor in bringing the i'm
provement was the opening of the fed
eiai reserve banks and the release for
use IN financial operations of hundreds
OF millions of dollars in reserve the
amount released in the New York banlxs
alone reaching more than $165. 900 900
WINE II VIII take portion of these
reserves to retire the clearing house
ceritihcates which have been used be-
tween banks, the effect of the ,,se %
the redlscount privilege by the hanks
must soon be felt throughout the bust
ness world
Although of less Importance than
the nome trade situation in reality. for
eign trade conditions are being care
tully followed by students of business
our octooer Imports totaled $4,000 :
ooo compared with s13S,0O0,O0O last
year. an evidence that Europe. in spite
OF her conditions, Is seeing that we get
a&thing we want which she has 70
sell. Our exports for October were s195
100000 compared with s272, 900, 900 la st
year, giving us a favorable trade hal
ance OF more than s57,O0O,0O and maxi
ing our export gain for October over
September $39,00,O0O. The Improvement
in foreign trade continued through tho
hrst half of November and is practi-
callv certain to continue its upward
trend.
Bank clearings for October amounted
to $4,000, 100000 compared with s1s
ooo,o0O,O00 last year. The decrease is
almost wholly attributable to the bust
ness shock caused by European condi-
tons and is in direct line with the de-
creases shown in August and Septem-
ber The first week in November showed
a smaller decrease compared with tho
previous year and it is expected that
for the month of December, bank clear
ings Will be back to last years level.
Money in Circulation
Money in circulation on November
aggregated 3716 million dollars COM
pared with 1895 a month ago and 3417
year ago. The stock of money in the
United States was 4055 million dollars
compared with 403S year ago. This
would make the circulation per capita
1871, a new high record, compared
with $500 a year ago.
Railroad gross earnings for Septem-
Der were $27S,OO0,OOO compared with
$2S6,000,000 a year ago, a decrease of
only per cent, while operating ex-
penses for the month were decreased
per cent, leaving net earnings of 392.-
100000 for the month compared with
$sl,oOO,OOo last year, gain of nearly
per cent. The number of idle cars in
| creased during the month of October.
the greatest increase>peing in coal
cars.
The lumber cut for September was
1889 million feet as rss.orted by GAG
nils, showing a decrease in cut of 80
million feet compared with last year
an dthe decrease in shipments was 70
million feet