Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1920-10-26
rich MAKES
HIS REPORT
FOR OCTOBER
Report Covers Conditions in
Ninth District Up to First
OF the Month.

~ w AAo@
OF the Month.
Minneapolis, Oct. 26.-Chairman
Rich Of the Federal Reserve bank Of
Minneapolis today issued the follow.
ing report on crop and business con-
ditions for October:
Crop Results.
The Ninth federal reserve district
has produced the largest corn crop in
its history, having an estimated pro-
duction Of more than ESQ million
bushels. The states of South Dakota
and Montana have also the largest
corn crop. in their history. while the
state Of Minnesota has Its second larg-
est corr crop. The forecast for oats
Indicates a total production of about
>es7 million bushels which is about
80 million bushels better than last
year. The combined cor and oats
crops. totalling 5%47.1s0,ooo bushels.
are Il more important factor in the
agricultural prosperity Of the north
west Than the total wheat crop which
has an estimated production this
year OF only 148 million bushels. The
corn crop for the whole United States
is also known to be the largest in its
history.
Government bureaus also report
that the four states Of Minnesota,
North Dakota. South Dakota and
Montana are expected to produce
about 69.0S3,0oO bushels OF barley,
$4,000 bushels of potatoes. South
Dakota has an excellent potato crop
and the lax production has been
larger than for several years.
Forage conditions are reported
generally as being good; and with
minor exceptions, conditions are orc
ported as favorable for fall blowing
and seeding.
Business Conditions.
Graingfs moving to market more
rapidly@than%a month ago., and there
is a larger movement of cattle with
fairly even prices. Milling has hown
no decline except locally in the Min
neapolis mills. The efficiency of the
railroads has improved considerably.
Tonnage passing through the 500
canal has remained unchanged ex-
cept for a decrease in the western
movement Of coal. Otherwise reports
on September business conditions have
not been favorable. There were de-
creases in copper and iron produc-
ton; in building permits. both Tor
new construction n for repairs; in
lumber production; in coai reeelp.s
at the head of the lakes, and In postal
savings deposits. Business failures
were larger in liabilities in September
thar in August or one year ago. inc
demand for h~and-to-hand money TO
move the crops has occasioned some
Withdrawals Of deposits from
banks and reductions in their loans
to customers and increase in their re-
discounts. An increase of more than
four millions in note issues by the
Federal Reserve bank was necessi-
tated by this demand for hand-to-
hand money. Borrowings OF m
banks in the whole Ninth district
have increased and interest rates nav
remained firm.
The general situation both as to
changes in the volume of business
and in prices is clearly indicated by
the debts to individual accounts OF
clearing house banks in the eleven
most, important cities for the five
weeks ending October l when com
: pared with the foul weeks ending
August 81. The average per week in
creased about 10 per cent in Septem'
Der over August, but this was not as
large as the seasonal increase Of
about "a per cent during the same
periods last year. This shows a rela.
tive decline of about S per cent. AZ
compared with a ear ago the volume
for the. five weeks ending October
T decreased more than 8 per cent. Wher
comparison is made with September
1919. all the cities showed decline:
except Aberdeen, Duluth and Grea'
Falls.
Wholesale produce prices for a Sc
1rcted list OF "a commodities in thu
~>ftr-nsrolis, market exhibited changes
1n5the month Of September in clever
.JIr,l1l ouilups.; Increases took place II
h,ttter. eggs. cheese. bananas. apples
onions and veal. Declines were reg
istered in hens. potatoes, celery ant
tomatoes. "Dun's Review" in quoting
minimum prices for a selected list o
national markets on October 2 a
co.npared with September 3, mani
tested a pronounced downward tend
ency.- Out Of is selected basic com
modities entering into the. manufac
ture of other articles as important raw
materials. there were decreases II
wheat. sugar.. rubber, coke, cement
copper. spelter, lead. hogs, hides ar
leather. There were no increases il
theb basic commodities. Out of tire
rejected foodstutfs there was an in
crease insbuttersssas decrease in -four
and an unchanged price for potatoes
Out of there selected textiles Their
were decreases in serge and prin
cloths but an unchanged price TO
tr;ro rilk.
The buying wave that was startc
b. <.,r re.lp.. ntS of extraordinary wa
profits, including therein the skillc
and organized laborers. has passed. i
more normal balance between buyer
and sellers has followed. 1t is vcr
important thai business men and wag
carriers shall realize this fact and it
industrial consequences in the forr
OF more vigorous competition, require
ments of increased efficiency, smalle
rrroft margins. and greater persona
2 and business economy.
Grain Movement And Prices.
It is estimated that the quantity O
new crop which had moved from tn
farms by October ! was S8 IL pc
cent OF the crop in South Dakota, 2
ner cent in Montana. q per cent !