The Manitowoc pilot. [volume] (Manitowoc, Wis.) 1859-1932, 1919-06-05
BOARD REPORTS
BUSINESS GOOD
Free Spending Points to Era OF
Prosperity for the United
M States.
WAR HELD UP MANY ORDERS
Statements From Federal Reserve
Agents Said to Point to Summer
and Autumn of Unusual
Prosperity.

Washington, June "A noticeable
upward trend in business during May
especially in those lines related to the
leading retail trades which have felt
the release of buying power held back
by the war, was reported by the fed
eral reserve board.
Practically uniform reports from fed
eral reserve agents were said to point
to q summer and autumn of unusual
activity.
A warning was added. however,
against accepting the prospective pros
perlty at its full face value until con-
ditions become more clarified.
"The country seems to be passing
through a period of free expenditure
or reaction from the enforced economy
and business restrictions Of the war
period" a statement by the board said.
"If the present activity should prove
to be based principally on these causes,
reaction may be looked for when
these forces have spent themselves"
The price and reconstruction situa-
ton was said to be practically con-
tinuation of that noted In April, with
prices showing no tendency to retro
grade.
One federal reserve bank found that
1.-THE public is slowly adjusting itself
to the conviction that there is to be no
rapid postwar drop in prices and is
reconciling itself to the probability
that the old pre-war basis may never
again be reached"
Agrlculturally, the remarkable prom
Use of the early spring appears to be
sustained in an unusual degree, the
statement said. Diversitication due to
organized effort is making progress
and the cash returns TO farmers are
expected to be more than ever before.
Prices of cattle are considerably high
er than a year ago, while sheep are
lower. Receipts of hogs have been
smaller with the price continuing to
advance.
In steel and iron the months output
fell to the lowest figures in many
months, but a much better tone In the
market was noted.
While the bituminous coal industry
was reported depressed, with an out
put less than 20 per cent of that a
year ago, operators were said to be OPP
timistic for the future The current
use of the fuel Is In excess of produc-
ton After several weeks of almost
no demand the copper market showed
slight improvement.
General manufacturing was said to
be showing decided Improvement. The
wool markets were strong, with prices
in favor Of the seller. Large orders
have been placed for yarns and fin
ished goods and wooden and worsted
mills are going back to full time
These conditions are reflected in the
demand for dry goods and shoes. Shoe
prices are being marked up for fall
delivery, the outlook being for an in
crease of 20 to so cents a pair for
retailers
Retail trade is assuming unprece-
denied volume, while prices continue
abnormaIly high. Retailers in most
sections had made little or no adjust
ment, but continued to demand prices
based upon war conditions. the board
said. In New York large establish
ments report large volume Of bust
ness, two-thirds greater than year
ago, and in Chicago returns range from
% to 80 per cent in excess of 1918. In
the South there is said to be mo con-
traction in the public buying power"
while a greater proportion of cash
sales is reported
In buildings there has been a dis
tinct revival throughout the country.
Real estate values were said to be
hardening with sales Of farm lands
on the increase.
"The banking position of the country
is reported as on the whole sound
present circumstances considered" the
board said, and Preserve percentages
of the federal reserve system have
shown an ability to hold their own"
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