Evening star. [volume] (Washington, D.C.) 1854-1972, 1920-09-11

Prices on basic building materials
are developing their first downward
trend since the war, declares the Dow
this week.
The analysis Of the situation, as
evolved by Allen E. Beals. is as fol-
lows:
"It is significant that simultaneous
with the introduction of counterbid
ding, at first secret and later openly,
some of the largest speculative apart
ment- builders definitely decided to
start at once with the erection of
high-priced projects. The projectors
frankly stated that they had succeed
ed in breaking through the building
price barrier in nearly every depart
ment. Quantity purchasing by strong
buyers succeeded in obtaining conces-
sions on the part of manufacturers,
but when it became known that shad-
ing had actually occurred almost the
entire market settled down to open
TT has been known for some time
that desirable quantity business Of
fered in the lumber department
brought attractive concessions and
from that point. which dates back to
around the first of August, there have
of certain manufacturers to meet the
others. This increased as the week
drew to a close, and there were indi-
cations that this week will show
noticeable buying movement in such
departments, particularly as lumber,
brick, lime and plaster; also that there
will be some stimulation in the vol
ume of new work going on architects
boards for new figures under the new
market.
Electric Wire saner..
IAN illustration is found in the cleo
trical supply department. Rubber
covered wire has been slow to move
out of manufacturers and distributors
hands. Whenever the market slumps
on steel conduit this condition exists
in the electric wire department be-
cause about three feet of electric wire
is used to every foot of steel con-
duit. When there is a slump in build
ing there is sure to follow closely
a slump in the steel conduit business,
and electric wire suffers accordingly.
Recently there has not only been a
slump in the volume Of building con-
struction. but also in the delivery of
steel conduit over the railroads. The
result is that the electric-wire manu-
facturers contemplated at the week
end to cut the price of rubber-covered
wire this week-possibly per cent
in order to induce prospective build
ers to anticipate their requirements
for the immediate future.
1.-THE glass department also reveals
something of this counter bidding
movement. While the discounts as
quoted in the Dow Service Daily
Building Reports represent the NOM
inal market as it is, in many cases
there have been exceptions downward
within the recent past, and at times
those exceptions have threatened to
hecome the rule.
Leave Glass Stock Low.
Now that the glass industry is in
the manufacturing season there is a
sharp question in the trend as to how
long this softening process may be
expected to continue. The best
thought in the industry seems to lean
toward the arresting Of this tendency
within the near future, as practically
all the window glass that can pos
sibly be manufactured during this
flare will go directly into actual use,
leaving the jobbing stocks low in the
face of a growing demand, which, by.
the way. is significant Of the entire
line of basic building materials from
asphaltum down to zinc.
1.-The speculative apartment building