The New York herald. [volume] (New York, N.Y.) 1920-1924, 1920-11-01
RESERVE BOARD Is
FULL OF OPTIMISM
Inherent Strength Carrying
Business Through Period
of REIMBURSEMENT.

WASHINGTON, Oct. 31.-Recovery from
war and postwar conditions is pro
ceeding apace in the United States" and
the natural forces in evidence which
make for sterilization carry assurance
for the future" the Federal Reserve
Board declared to-day in It's monthly
review Of business conditions.
Although the readjustment process
has been marked by uncertainty and
some suspension of activity. the board
described the economic and business SIT
uation as a whole as one showing much
inherent strength and an ability to at
tain n position of relative stability
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 into
the process
price revisions in textile lines and In
other branches Of wearing apparel. ar
well as in numerous staple commodities"
said the board, have been the outstand-
ing elements In the situation, just rs n
the preceding month
Caution In buving has been note
worthy factor. most apparent IN the
wholesale trade Crop yields have JUS
titled early expectations. banking re-
serves have held their own and there
has been a steady Improvement in the
iqUidity of paper.
Labor ia less fully employed. Not
withstanding some wage cuts the gem
eral position is about as good as il has
been so far as actual payments or rates
OF wages are concerned"
While the retail trade reported
moderate increase" In net sales COM
pared with last fall. the usual fall ac-
tivity ana buying was lacking, unsea-
sonabie weather being partly blamed.
Reports from almost all sections in
dicated that the retailer had determined
20 await developments before renewing
his stocks heavily.
The manufactured has felt the with
holding OF orders b. the retailers and
has not been able 10 operate on full time
IN many lines OF trade. Cotton mills
were mentioned specifically as having
been hard hit by the slackcning of retail
orders while n4w business In the iron
and steel industry has actually de-
creased.
Conditions in the shoe and leather in
dustry were found similar 10 those In
the cotton trade and other textiles. The
leather interests are facing imminent
shutdown In many places.
Conditions In reserve districts as sum-
married. by the reserve agents. follow:
Boston-Some curtaiment OF produce
ton. due to uncertainty OF prices.
New York 49, Improvement in invest
ment outlook better new financing. slow
expansion In demand for stocks decline
in many exports lower prices and n ten
dency to recession in employment.
delphia-Diminutio in demand
for goods little new business.
Richmond--Price recession movement
broadened some hesitation In business
Administrative retail trade: less
favorable crop outlook for certain
products coal and iron harassed by
strike conditions.
Chicago--Buainess situation confused
hv counter-currents Of opinion, vita
buying somewhat restricted and prics
readjustments presenting some prob
lens.
St Louis Fundamental conditions
satisfactory hesitancy in purchasing
goods In all lines.
Minneapolis--Cropsl large grain NOV
ing steadily to market railroad efil-
cheney improved declines in copper and
iron production. building permits and
lumber output crop moving needs have
required large note issues.
Kansas Clty---Price recessions and re-
adjustment steady, but without serious
q arrangements
Dallas-Trnnsportatio better: labor
outlook improved.
San Francisco--Busire conditions
incicate period OF transition retail trade
stable: good crops. wool and cotton
regions dissatisfied with prices lum.
her in less demand: grain markets
sluggish and declining.