Arizona republican., 1920-07-30
LOW DEMAND AND STRIKES RESULT
 IN DEP PRESS|ON
Cancellation of Orders Blamed by Federal Re serve Board for Industrial Inactivity-Says Outlook For Big Grain Crops Fav- orable
rRepubIican A. p. Leased WireJ


 WASHINGTON, July 2s.-Curtail ment of industrial activity, due to lower demand, cancellation of orders and general readjustment were the out standing developments in the business of the country during July, the federal reserve board declared tonight in it's monthly review.
 'In some districts production con- tinues upon old orders still on the books, despite that new business has fallen off" the review declared. In conditions and development of more confident tone in business are reported to have brought about turn for the better.
 Speculation Greatly Reduced
 Speculation in commodities in many sections is reported to have been great ly reduced and in some practically eliminated. There is a general feeling that extravagant buying, is at least less some time ago.
 The transportation problem contin- ued unsolved during the month, the re- view reported, and while some local improvements were noted there re- mained great freight congestion, pro-
 
 severe strain upon credit.'' The steel and iron industry "is now placed in a serious condition according to the re- view, which adds that two million tons of products are tied up in the hands of the producers through the country by lack of transportation. Likewise, the grain movement has been retarded by car shortage.
 Commenting on the labor situation the board declared that an increase in the efficiency of labor was "one not able feature" this improvement being attributed to the development of unem- ployment. Increased unemployment was ascribed by the boards report to curtailed manufacturing operations, cancellation of orders and inability to obtain capital for construction work.
 Coal Output Only Half
 Coal production, the review stated, is hampered by car shortage. while To- cal labor troubles were said to be caus- ing an undercurrent of unrest in some districts. The coal output in Penn sy'lvania, West Virginia, Indiana. Ohio and Illinois was estimated at one half or less of normal with the country's s total production averaging nine million tons a. week in comparison with current demands for 1I,000,000 tons Prospects of a winter and spring wheat yield considerably above nor mal'' were reported by the Minneapolis Wnlie the RdC1IIC coast reports a yield of 10000, 900 more bushels of spring wheat tha min 1919. The St. Louis district, however, said the wheat was low in quantity but high in quality. while the Kansas City district predicted bg yield. Other crops, including corn, oats and cotton, were reported as inn proved over past months. Livestock conditions were said to be exceptionally good the country over, with prices generally higher except for | it's characteristic inactivity. Such wool as is going into the market is on a con- 1 Signment basis.
 Wool Suffers Inactivity
 In the wooden and worsted goods in- dustry the board found the yarn spin ners receiving few inquiries for their products, with conditions equally dis couraging for finished textiles. Goods returned to the mills together YSith can cellations were estimated at s10o,0oO.- 900.
 Slackening of activity in cotton goods was reported. Many mills declared their raw cotton supplies were suffi- cient to last until next year and the boards review said the chances seem i to favor a further reduction of activity in the industry
 Little improvement in the leather and shoe trade was noted
 The board reported improved finan- clal conditions, asserting that the New York district had noted that the biz | expansion of loans and discounts ha1 been wholly checked" with other dis. tricts declaring this condition had beer 1 largely checked