The Mankato free press. [volume] (Mankato, Blue Earth County, Minn.) 1879-1924, 1921-01-07
OBSERVATION-DISCLOSURES.
CROP AND BUSINESS CONDI-
| TONS AS SEEN BY RICH
Total of Loans To the Country
Banks In District Shows
Increase
ASSOCIATED Press Dispatch

i ASSOCIATED Press Dispatch.l
Minneapolis, December 31-Chair-
man Rich of the Federal Reserve
Bank of this city, today, issued the
following report on crop and bust
ness conditions for December:
Grain Movement
Although it is estimated that about
sixty-two per cent of the total wheat
crop for the Northwest had been re-
ceived at terminals by the midule of
december, the total OF our loans to
I country banks has not decreased, as
would be expected, but on the con-
( trary has increased. This estimate
/ apolis receipts for the crop year be-
tween August 81 and December 10
! of Sc million bushels, Duluth receipts
+ of 20 millions: wheat milled by out
+ side mills OF 16 millions, and a de-
duction made for Canadian receipts
of more than s millions. Minneapolis
receipts for all grains totaled about
Fl millions in November as compared
with more than % millions in Octo-
Der and with receipts in November
a year ago of less than II millions.
The Duluth receipts exhibiting SINH
lar tendencies.
Stocks of Grain in Minneapolis
Stocks of grain in Minneapolis
trminals on November q were TO-
$4,000 bushels and have increased
81 per cent since October 80. The
compared with October 20 shows that
Duluth on November u were 23,100,-
600 bushels Of all grains and were
s per cent larger than the stocks
held the year before. The combined
wheat stocks were $500, 900 bushels
at the close of November, which was
Of October.
The amount of grain that has been
used by local MUS increased about
eight per cent in November as COM
pared with the preceding month but
the total production in the mills is
only 80 per cent of year ago and
they are operating only to 81 per
cent of their capacity. The -four
shipments of Minneapolis and Duluth
combined were about eight per cent
larger in November than in October
but only II per cent of a year ago.
|. General Price Situation
Wholesale prices for the impor-
tant northwestern products declined
substantially during the month of
November The high closing price
on October 30 was SILT and on Nov
ember 80, $1.55. Between the same
dates there were pronounced declines
in all other grains, in -four, in all
kinds of livestock at the South st.
| Paul Stock Yards, in some grades OF
wool. in most of the produce sold in
he Minneapolis market, and in lum-
IT Dun's Review in quoting mini
I'm prices for selected list of %
Commodities at wholesale in central
Tftf' nal markets on December 8 as
compared with October 20 shows that
the decline has not been confined to
agricultural products alone. There
We're substantial declines in serge,
print cloths, silks, rubber, copper,
coke lead white lead, pig iron, and
oak; as well as in butter, wheat,
flour, hides, leather, hogs and beef.
The only article exhibiting an in
crease was potatoes. These declines
which have taken place in prices are
remarkably uniform when compars.
sons are made with relative pre- war
price levels. 1t is apparent that the
inevitable readjustment of prices
following the close of a great war,
has just taken place.
November Banking Development
Our loans to member banks were
reduced more than 100000 during
the month. This was brought about
by the return to US Of $1,000,000 OF
our own notes no longer required for
harvesting purposes and by the re-
ceipt OF eastern exchange for sale
" CdoIClh VI 4ulhAOoPoAAS
municipal bonds amounting to about
100000. The total accommodation
given member banks on December 8,
1920, was s105,400,000, of which
SOS, 100000 consisted of agricultural
and livestock paper, and half of the
remainder was loans secured bS
United States bonds. The thirty five
member banks in the largest cities
collected from their customers more
than six millions during the month
and reduced their loans with us six
and a half millions.
Commercial paper is selling at eight
per cent as compared with 5A last
year, while customers rate at banks
is Tx per cent as compared with
5h per cent year ago. The total
accommodation given by this bank to
its member banks had increased "a
per cent on December 8 when COM
pared with December year ago
Banking Conditions Dec. %, 1920.
Between December and % this
bank collected ten million dollars OF
loans from city bankers in the form
of rediscounted business paper and
increased the agricultural and live
lions and increased the loans secur-
ed by United States bonds by two
millions. The net reduction was
sufficient to enable us to reduce our
rediscounts with other Federal Re-
serve Banks by. about five millions
The total accommodation given by
this bank to its member banks on
December % had increased more
than 10 per cent as compared with
December % a year ago.
Livestock Receipts
The receipts of South st. Paul in
November increased 80 per cent over
October and were slightly larger
than a year ago. This increase in
volume of shipments coupled with
the prevalence of poor and common
grade cattle, increased offerings in
poultry, slackened country demand
for stockers and feeders, inadequate
stock cars for shipping purposes, and
low prices in eastern markets, ac-
count for great decline in the pri-
ces realized. The big day of the
year in cattle was November Is
Z when 25,657 head, exclusive of calves
were received. More feeders were
shipped in November than in Octo-
Der but about 10 per cent less than
a year ago. Hog receipts in Nov
ember were AZ per cent larger than
in October and only slightly better
In quality. During the week OF
November "a, there was phenom-
anal decline in hog prices, bringing