Norwich bulletin., 1920-11-01
Monthly Report of
 Fed'I Reserve Board
Says Recovery From War and Post-War Conditions is Pro- ceeding Apace = Showing of Eastern Districts.

Washington, Oct. 31.-Recovery from war and postwar conditions lis proceed ing, apace in the United States, and the natural forces in evidence which make for stabilization carry assurance for the future." the federal reserve board de- clared today in its monthly review of bus mess conditions
 Although the readjustment process has been marked by uncertainty and some suspension of activity, the board describ- ed the economic and business situation as whole as one showing much inheernt strength and an ability to attain a posi- tion of relativet stability through an or derly transition"
 It argued that the necessary changes in the direction of normal conditions would be accomplished without great disturb ance unless unforeseen factors entered into the process.
 Price revisions in textile lines and in other branches of wearing apparel. as well as in numerous staple commodities" " said the board have been the outstand- ing elements in the situation, just as during the preceding month.
 Caution in buying. due to 9 belief that price readjustment is not yet complete. has been noteworthy factor, and in some quarters has tended to slow down the activity of retail trade. although more apparent in the wholesale trade. Crop yields have on the whole justified the ex- pectation expressed at the opening of the month. Banking reserves have held tnelr own during the month and there has
 been a steady improvement in the liquidi- l " of paper.
 Labor is less fully employed. Not 1 Uithstanding some sporadic cuts in wages | here and there, the general position is about as good as it has been so far as actual payments or rates of wages are concerned"
 While the retail trade reported "s ] moderate increase'' in net sales as com
 pared with last fall the usual activity
 and buying was said not to be in ev l dence. The board attributed some of tai! l Nondition to unreasonable weather. | Reports from almost all sections indi cated that the retailer had determined t,
 await further developments before re newing his stocks heavily The outstand Ing orders were reported to be small ant
 lhe general purchasing activity of the re tail merchant was described as "ver. conservatice''
 The manufacmturer has felt the with J holding of orders by the retailers, and T according to reports, has not been abl
 to operate on full time in many lines o
 trade because of lack of orders Cot
 ton mills were mentioned specifically a { having been hard hit by the sackening c retail orders while new business in tn iron and steel indretry has actually de creased.
 In the shoe and leather industry tn board found conditions similar to thes In the cotton trade and other textiles Tn 2 leather interests are facing imfniner shutdown in many places because of tn heavy decline in buying, the report ,, Showed.
 ' The summary of conditions in tr z twelve reserve districts included the fo : lowing:
 : "Boston-Reports some curtanment : production due to the uncertainty . prices. Nevertheless there is a gener a undercurrent of conviction that presel U conditions are temporary. o 'sNew York-Reports improvement Il investment outlook, better new inancin = slow expansion in demand for stocks, d e cline in many exports, lower prices ar ,- : tendency to recession in employner "a "Philadelphia-States there is a dirli if ution in demand for goods and that Il
 He new business is being booked"