Omaha daily bee., 1922-02-20
Trade Review


Uy II, u, DtN q co.
Despite many conflicting phases, the
fast stands out that business Is KsininE
slowly. Contradictory reports arc 20 be
expected after pfotfaetsi period OF re-
adjustment. and fluctuations Ia demand
And prices are natural eoReomitants Of the
movement which q now N progress, An.
tifipatipn of bettsrmfnt Ia conditions has
been general and well founded. but opin'
ions have differed ~ 20 the probable
character OF the Improvement and the OBJ
ssnes Of rapid renewal ot activity has been
disappointing 20 some interests with fats
reaching changes having occurred IN all
markets. however, sudden commercial fas
vtVai was not fofsshadused. and gradual
and wholesome gains sfe more 20 be de.
sired than an abrupt recovery based on
speculative possibilities, Will. current
buying lacks breadth and n largely for
replrnlshment of depleted stocks OF mer.
her Of m0dsrate'slzed commitments IL In
efeaHinE in some instances and that out
puts In certain industries. hs In iron and
steel. are rising. Labor troubles Ht some
poiTts. causing idlnness among workers
and restricting consumption OF goods,
mark an unsatlsfaetory and rctarding
condition, but the prevailing disposition
now In 60 emphasize the encouraging ns.
poets. rather than 10 stress the adverse
features. and favorable signs are more
readily discernibls Tho sharp advance In
grain prices. following an extended de.
cline. has helped sentiment and impaired
NfANHulub 10 huFlNFNN w fft@
tions OF the west. while another reduction
IN the English bank rate IN added proof
OF Improvement In the International IL
nancial situation, Notwithstanding renc-
tinn from the recent noteworthy uptutn.
foreign exchange quotations have main
talned n strong undertone. aud more posi-
tive indications OF renewed export de-
mend are present In some quarters.
English Bank Rate Reduced.
The announcement this week Of
further reduction in the English bank rate
did not come as surprise. Discussion
or the probability OF such action had
been general in financial circles. and the
lowering OF the rate by u OF I per cent on
~ per cent the prevailing rate is at
level not previously touched since 1914,
and this weeks change marks the fifth
since the spring OF last year.
While the Bank OF England gained only
small amount In gold this week. It's pro-
portion Of reserve TO Liabilities is now at
the highest point Of the current month,
and is also considerably above the ratio
present gold holdings with those OF a
year ago discloses no important Increase.
but the aggregate reserve is now larger
by fully 100000 pounds. At this period
In 1921. a bank rate OF per cent was
being maintained
Iron and steel Demand.
The fIuctuating demand for iron and
steel does not obscure the fact that the
basic industry IL gradually working into
n stronger position. While new COM
nitment decreased this week. recent buy
ing was of sufficient volume to effect
A further slight gain in output. and the
rate of operations at some steel works
now exceeds so per cent. With few ex-
ceptions. current purchases are for re-
olenishment only; but moderate-sized
are increasingly. numerous,
md present and prospective railroad re-
luirements afford encouragement. Aside
from sales of $4,000 tons Of rails, an or
Ter for 1000 cars has been placed in tho
'ully 5000 cars. There is promise. more
over, of additional export business
'emi- finished steel. while a 17,o00-ton
with the far east has already
been closed. Despite indications that
ouyers' needs are becoming more pressing,
,evisions appearing this week in published
quotations of both pig iron and steel.
Cotton Goods Prices.
While general cotton goods trading
continues in moderate volume, some quick
ming Of demand in primary channels has
followed the naming of lower prices. Con-
sessions have been granted by jobbers in
lent that the frmness of raw cotton has
not offset the effect of la Dor troubles at
New England mills, where about 100000
;pindles are idle. Despite the mainten-
eveI recently established, fabric markets
are holding barely steady, and conspicu-
GUS unsettlement in silk goods has re-
suited from the continued speculate in
'aw material in Japan. In all domestic
,enters, conservative operations in textiles
ire still the rule and the main tendency
IS toward curtailment of production, even
where strikes are not factor. Similar
conditions prevail abroad with reports
from England Indicating that half of the
cotton looms usually employed on goods
,or export are now idle. Jute smills in
Calcutta moreover are running only four
lays a week, and yet are accommodating
stock in excess of orders.
Hide and Leather.
Irregularities in the hide and leather
'ituatio continue, with fluctuating de-
nand and prices, and with conservatism |
manifest. Another week |
Iuet trading in domestic packer hides
las caused some easing of prices, while |
,ther descriptions Of raw material n
ack activity in the markets here and |
most tanners are less disposed to meet |
ellers' views as to prices. Sizable trans |
lctions in River Plate frigorifico steers, |
lowever, have recently been effected. |
mainly with United States buyers, and il |
S believed that some sole leather inter- |
,sts who are short Of supplies are stock |
ng up on these superior quality foreign |
hides Latest official returns disclose
in holdings Of most kinds of
aides, but a further slight increase has
occurred In the supply of sole leather, de-
pite considerable -eurtailment of produc-
ion. With restricted purchases by shoe |
les backward, although demand has in
re or n rtoi ri