Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-07-10
BUSINESS HOLDS
UP WELL IN FACE
SERIES STRIKES
Commodity Pric e S
Firm; Falling off in
Number Failures
Securities Markets Trifle Irreg-
ular But Trend is Upward
Call Money Variable - No
Falling Off in Steel Demand
Optimistic View on Vari-
Gus Strikes

New York. July 9.-(By A. P.)-
While the holidays have served to
obscure the trend in business and fin
ance during the past week, the avail
able evidence indicates a continual
ton of the improvement in general
business. The securities markets have
continued to show considerable irreg-
ularity. but the tendency has been, on
the whole, toward higher prices. Call
money also has been a variable factor,
and the reserve ratio of the combined
federal reserve system has fallen for
in the second consecutive week. The
normally heavy demand for currency
in connection with the early July holi-
days has,. however, caused the latest
decline in ratio and the real tendency
of money rates during the month re-
mains to be disclosed.
No falling off is discernble, mean
while in the demand for steel. despite
the fact that pig iron output for June
set new high record TO rthe year,
daily average of 7S,70O tons comparing
with $4,000 tons in May and $500 tons
in January. Loadings on railroads cars
also have risen to n new high record.
Thus for the week ending June "a the
total is $4,000 cars, or 1900 more
than in the previous week and-51,-
600 more than in the week Immediate
ly preceding the coal strike, although
loadlngs of coal cars in that week ran
100000 higher than in the one ending
June "a.
Other signs of increasing stability
IN business are furnished by firmness
IN the general level Of commodity
prices and a continuation of the fall
ing off in the volume of business fail
ures. Thus Dun's index Of wholesale
prices rose % per cent. during June.
with all seven groups of constituent
commodities participating in the adj
vance. Commercial failures as re-
ported by the same agency declined
to LAO. which is 220 less than in any
month of the year. Liabilities involv-
ed fell off in similar measure. These
facts illustrated aptlv growing safety
OF doing business and explain the in
crease in confidence which lately has
been apparent.
Although existing strikes continue
TO supply an element Of uncertainty.
most quarters consider that the events
OF the week have justified optimistic
views as to the effect of the railroad
walkout. The New England textile
strike is dragging on with mixed re-
suits so far as one side or the other
IS concerned, but the suspension of
coal mining is still regarded as the
most important of t } country's in
dustrial disputes. 1t is too early to
estimate the probable success of the
negotiations now going on at WASH
lngton to end the strike, but nothing
has transpired so far which is inter-
preted as being prejudcial to a settle
ment.
crop news is little changed. Wheat
prices, after tentative rally, softened
under the influence of fair weather re-
ports. Cotton on the other hand rail-
lled sharply on the governments crop
estimate, which placed the condition
as OF June % at 71.2 and the probable
Weld at slightly mo. than 1900, 900
| bales. Such a crop will be approx
imately one million bales short of last
years taking and will be added, fur
tnermore, to subnormal carry over.
With the possible damage by the boil
weevil still to be developed, the trade
! expects prices to remain reasonably
hrm. Mondays sharp rally called
lorth profit taking, but most of the
gam was retained during subsequent
! trading.
Foreign developments were not as
/ favorable as those. in the domestic
field, the German mark breaking to q
new low price and the French. Re,gia,
and Italian currencies showing sym
pathetc weakness. The repara tons
situation and the political situation IN
germany were general considered TO
pc responsible for the declines.