The Chattanooga news. [volume] (Chattanooga, Tenn.) 1891-1939, 1919-08-01
NO RELIEF FROM
HIGH PRICES
Forecasted in Reserve Boards
Monthly Review of Busi-
ness Conditions.
ACTIVITY IN BUSINESS
Detailed Outline of Conditions
as Shown by Reports From
Various Centers.

Washington, Aug. 1.-No RELIEF
from present high prices is forecast
in the federal reserve boards s
monthly review of business condi-
tions, issued today, which notes that
July saw further increases in many
lines. IN general" the review said.
there is a disposition to accept pres
ent price levels and to expect con-
tinuation of the prevailing level for
some time to come"
In many districts high prices have
not served to check demand, but the
possibility of obtaining goods was
found to be of greater moment to
the buyer than the price fixed. On
the other hand, the board said, the
very great" price increases which
have taken place in certain lines have
made buyers more cautious, care be-
ing taken not to increase unduly
stocks acquired at the present price
level for fear a decline might occur
Continued high prices, along with
constant growth in trade, both whole
sale and retail, and increased activity
in some of the basic industries, sus-
tained confidence in the industrial
situation led to expansion In many
lines. Almost the only complaints
heard concern shortage of raw ma
terials and, in a few districts, labor
troubles, although a majority of the
districts report normal labor condi-
tions.
Fear Of Unemployment.
Instead of a fear of unemploy-
ment, which had been experienced
during the early part of the year,
the board said, the reports received
la ~ nnnHir0p
shortage of labor" The exodus of
alien workers was blamed in part.
The agricultural outlook on the
whole was reported favorable, with
that the cotton crop
would be much shorter than pre-
viously indicated. Manufacturing
continues active, marked advances in |
prices having occurred in cotton |
goods, with many mills oversold. EX- |
port orders were said to be large. |
Raw wool still is in heavy demand !
and revival in building has continued
Turning TO the financial situation,
he board declared that while specu-
alton continued at an unprecedent
IDLY high volume, an increased de-
nand for stocks has revealed itself,
eading to the withdrawal of an un-
Usual amount of shares from the
market. The banking situation was
eported sound, credit and collection
conditions good and failures small
md few.
Conditions by districts were de-
cribed as follows:
Boston-There is apparently no
batement in the general industrial
ctivity In the New England district.
he raw material market and the la
or unrest have made the problem
which our manufacturers face in
reasingly difficult.
New York-Commercial activity,
rhich commonly reaches its climax
1 May, has been continued into the
arly summer, and a generally favor
bic outlook is noted.
Richmond-The rising tide of ac-
witty continues in all lines and con-
dence in the general stability of
usiness may be regarded as re-es-
lblished.
Southern Section.
Atlanta-PTactically all lines of
usiness increasingly active, although
le agricultural outlook, especially as J
sgards cotton, Is not as encouTag-
lg as a month ago.
ChiCag'O-While merchandising and :
are active, there has
aveloped "a rather decided feeling !
labor unrest, especially in Chi (
tgo."
st. Louis-The business situation :
excellent; wholesalers and !
tailers in most lines are doing an }
tive, in some cases a record, busi- g
.ss. There are complaints of diff
llty in obtaining raw materials and
Killed. labor"
Kansas City-Business and indus
ial activity which prevailed in the l
onth of June is extending through
ily and there is no indication of =,
owing down of this activity for n
any weeks or months to come. a
Dallas-There has been "prlc- h
,ally no summer dullness in trade |
Id financial circles this year; this t,
usual condition being attributable Il
rgely to the petroleum industry,
hich has exerted very favorable /
fluence on trade"
San Francisco-July estimates of j.
ricultural production are slightly Q,
low June figures, while industrial n
tivity is increasing" d
WIRE LINES REOPENED