Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-03-29
CREDIT CONDITIONS IN
NORTHWEST IMPROVED IN
MONTHS OF FEB. AND MAR.

20 General Summary: Credit .condi-
lions in the northwest improved con-
ss~siierably during February and in-the
first halt of. March. Prices at both
Kholesale and retail. declined in Feb
5-uary. There was also a reduction in
the volume Of business while unem-
ployment increased.
The local credit situation on March
is. however, vas not as favorable as
a year ago owing tc smaller bankers
deposits, lower reserves. and larger
loans at this Federal, Reserve Bank,
the net difference IN loans and de-
posts amounting to IS million dol
lars. National credit conditions rave
also been improving slowly through
out February by reductions in loans
and increases in reserves for the
twelve federal reserve banks COM
bined.
Wholesale cash prices for all
grains. for all meats except hogs and
for numerous kinds Of produce de-
clined in February. Average retail
prices declined with greatest declines
in clothing, although food prices in
creased in some cities. Prices of
building materials were firm, except
for lumber. in anticipation Of spring
needs. Farm land values have reced-
ed as compared with a year ago.
The reduction in business volume
and prices as measured by payments
through banks in February was 10
per cent below January. while Janu-
airy and February combined were
1876 per cen below a year ago. In
February grain receipts were n per
cent; live stock receipts, IS per cent:
and postal receipts, "a per cent of
the January totals. Building per-
y,}t, ,ynro 1orOor in r11rnh nr and va 1l1a
than during January but 3 per cent
less than a year ago in total valua-
ton. Lumber manufacturers in
creased their lumber cut SO per cent
in February. while lumber retailers
had unchanged sales.
Less Employment.
Employment agencies placed II per
cent fewer persons in February than
in sJanuary and the application for
help wanted declined rs per cent for
men and 60 per cent for women
compared with a. year ago. Local
relief agencies report more unem-
ploynen< than at any time since Feb
ruary, 1918. Business failures reach
ed a record breaking total during the
month when measured by liabilities,
but this is merely past history rather
than present conditions.
Credit Conditions: Banking con-
ditions in the Ninth Federal Reserve
district improved noticeably during
February. according to the Federal
Reserve Banks statement of condi-
ton of March 4, as compared with
the statement OF February 4. Be
tween these dates about II million
dollars was collected from member
banks and the last of " rediscounts
with other federal reserve banks.
amounting to 2 million dollars. wa
Z paid off. Our reserves were increased
more than 8 millions and note circula-
1ion retired to the extent of more than
2 millions. Although the reduction
in loans was more rapid than in Feb
ruary a year ago, the total outstand-
ing at the end of the month had not
diminished to the amount outstand-
ing a year s c. Or March 4 h &C
commodation given to member banks
in this district by the Federal Reserve
bank totaled over 70 million dollars,
OF 6 million dollars more than a year
ago. Also our total cash reserves
diminished more than Z millions.
member banks deposits more than IA
millions, and our notes in eircula-
ton more than IL millions. The