The Dolores star., 1920-11-05
BUSINESS SHOWS
WAR RECOVERY
CONDITIONS STAsiLlZiNG WITH
ASSURANCE OF FUTURE
ACTIVITIES.
REIMBURSEMENT SLOW
PRICE REvlSioNS STILL GOING
ON IN NEARLY ALL LINES
OF BUSINESS.
western Newspaper Union News Service.

"ttttIu NcNspabN' th'S'' +'''
Washington, Nov. 1.-Recovery from
war and postwar conditions Is pro
ccetling npace in the United States
and the natural forces In evidence
which make for stahilization carry
assurances for the future" the fed
eral reserve board declared In IFS
monthly review of business conditions
Although the readjustnent process
has been marked by uncertainty ana
some suspension of activity, the board
described the economic and business
situation as IL whole as one showing
much inherent strength and an abil-
ity to attain a position of relative sta
bility through an orderly transition.
1t argued that the necessary changes
In the direction of normal conditions
would be accomplished without great
disturbance unless unforeseen factors
entered the process.
Price revisons in textile lines and
in other branches of wearing apparel,
as well as in numerous staple com
moditieS," said the board, have been
the outstanding elements in the Situa-
ton just us during the preceding
month.
Caution in buying, due to Il belief
that price readjustment is not yet
over, has been n noteworthy factor
and in some quarters has tended 10
slow down the activity of retail trade,
although more apparent in the whole
L. IA.
whole justified the expectation ex-
pressed at the opening of the month.
Banking reserves have held their own
during the month and there has been
a steady Improvement in the liquidity
of paper.
Labor is less fully employed. Not
withStanding some sporadic cuts in
wages here and there, the general
position is about rs good aS it has
been so far as actual payments or
rates of wages are concerned"
While the retail trade reported a
moderate increase" in net sales rs
compared with last fall the usual fall
activity and buying was said to be not
in evidence.
The manufacturer has felt the with
holding of orders by the retailers and,
according to reports, has not been
able to operate on full time in many
lines of trade because of lack Of
orders. Cotton mills We're mentioned
specifically as having been hard hit
by the slackening of retail orders,
while new business in the iron and
steel industry has actually decreased.
''In the shoe and leather industry
the board found conditions similar to
these in the cotton trade and other
textiles. The leather interests are
facing imminent shutdown in many
places because of the heavy decline in
buying. The reports showed the con-
ditions in western reserve districts as
summarized by the reserve agents as
follows:
"Chicago said the business situation
Is still confused by counter currents
of opinion with buying somewhat re-
senting some problems.
''St. Louis finds fundamental condi-
tions satisfactory, but in all lines there
is hesitancy in purchasing goods for
future requirements. Uncertainty as
to future prices is the chief obstacle
In the way of recovery.
Reports from almost all sections in
dicated that the retailer had deter
mined to await further developments
before renewing his stocks heavily.
The outstanding orders were reported
to be small and the general purchas
Ing activity of the retail merchant
was described as very conservatives"
Minneapolis reports crops large
with grain moving steadily to market
and railroad efficiency improved. How
ever, there have been declines in COP
per and iron products, in building per-
mits and in lumber output
kansas City reports that prlce re.
cession and readjustments have been
steady but without serious dearrange-
ments, while retail trade and consumn.
ton are proceeding quietly and labor
outlook is favorable"