The Birmingham age-herald., 1914-04-01
BIRMINGHAM TRUST
 REVIEWS BUSINESS
Trade Still Below Normal and Any Improvement Will
 Not Be Sensational

The general letter on trade conditions
 and business forecast for the month of
 April, issued by the Birmingham Trust
 and Savings company, says:
 general condition of business which would be satisfactory to every line of trade and every industry as well as to the financial interests of the country is probably an impossible thing. This Is world of give and take and a con dition which makes money for one in terest sometimes loses money for the other.
 Until recently money was scarce new operations or to sell standard
 stocks and bonds. Those who had money | were holding on to it or using it where il would bring unusual rates of interest for short period. Now that money has | become somewhat easier. and easier
 money is largely due to slackening l in business operations, standard stocks and bonds and other investments do not | look good to the man with the money l because prospects for earning dividends and interest are not good. The sum
 of 1t is that if business were more ac- l tive, money for investment would be l scarcer and. while business is some what quiet people do not care to in vest because of such quietude.
 As stated in our last report, business l is still below normal and il is hardly probable that it will do better than
 remain around normal for some time
 It may remain at a few points below
 normal or, temporarily, a few point 8 i above, but on the whole, normal or | average business is all that be
 reasonably expected for this year After the adjournment of Congress, a slight reaction should take place and unless | something unusually radical in legisla -
 ton goes through at this session, a real improvement although not a sen l sational one may be expected.
 l In January our exports amounted to 1 S204, 000. 900 compared with $227, 900. 900
 a year ago and s202,000,000 two years ago Exports of $206, 900, ,000 in January 1908, stood as the previous high Janu- ary record. Imports for January amounted to S154, 900. 900 compared with $1 63, ,00O,000 last year and $14i, ,000,010 two years ago. The favorable balance
 of trade for January was s49.000,O00
 compared with $6i,O00, 900 a year ago, $59, 100000 two years ago, $69,000,000 three years ago and the high record in January, 1908, of s121 900. 900. Tariff re- auctions caused falling off in GUS toms receipts for February of $10000,- l 900 compared with tho same month Of the previous year, making deficit caused by expenditures for the month l of 5000. 900. Receipts from the income I tax are expected to make up the dis 1 crepancy.
 For the month of February, build | ing permits for principal cities ran l hI,.t afaI I..tf tl,. | last year. if New York is left out of
 consideration New York showed a de cline for the month of 50 per cent,
 while gains were shown by Chicago.
 Philadelphia, Baltimore, Pittsburg. De- troit Kansas City, San Francisco, Dal- 1 las, Minneapolis, St. Paul, Toledo and 1 Fort Worth. Building operations out? side of New York city for the year to
 date are slightly above last year. The railroad gross earnings for Feb l ruary so far as reported, show a de- ] cline of 10 per cent compared with a l year ago. Decreases are shown by al- most every individual road which has l reported so far. The interesting item 1 in this exhibit is the great decrease l shown by the Canadian Pacific line in gross earnings. The decrease on the Canadian lines was considerably great |. | CT than on the lines operating wholly | within the United States There are
 
 | cline in gross earnings, among them l being the local miners strike. the cop per miners strike. the small movement | of grain to market in the west and 1 the period of bad weather which pre- | vented the rapid and regular operation | of trains. This latter condition will | allow a gain in gross earnings later on but the resultant loss in net earnings 1 is not so easily offset. The railroads are looking anxiouslv toward the crops | of 1914 and the present excellent con- dition fthe soil in most of the coun- i try and the healthy look of the winter
 wheat and rye areas are making them believe that the late summer and early fall will bring big business for them More than 150, ,0O0 freight cars were | idle on the first of the month com pared with 31, 1000 year ago During the latter part of February the sur plus was reduced by 43.0oO. Some of | movement of freight on account of the | weather and did not mean increased | earnings for the roads.
 Although the steel companies are op erating at about 75 per cent of ca
 pacity on finished products and about | 80 per cent on ingots. 1t Is clear that | a reduction in operation must come about unless there is a sudden spurt
 of buying. Heavier railroad buying is l practically assured for later in the l year and orders for steel rails and for | equipment were fairly good for Feb ruary. A lull is on at present that will bring about curtailment of opera l tion during April unless a consider able volume of the unusually large number of foreign inquiries develop ! into orders.
 The thrilled tonnage of the Steel corporation at the close of last month was slightly over 5,000000 tons an in- crease over the previous months. but
 the unified report on the last day of March will show some falling off
 unless the orders for the last few days | of the month are unusually large. | which they are not likely to be. l Dividend disbursements for March will | total $60, 100000. compared with s66 GOO no a year ago, while interest will amount ] to s64. .oOoO 900. compared with A7.ooo0o last
 year. This makes total dividend and