Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-10-16
Better Prices for Farm
er; Industry Shows
Good Increase
Grain Prices Strong - Fore.
cast Indicates Plentiful Crop
all Cereals-COttOn Prices
up-Federal Reserve Survey
Shows Greater Business Ac-
tivity-New High Mark by
Railroads

New York, Oct. 15.-(By A. Ply
Better prices for farm products and
evidences of increased industrial &C
tivity marked the past week in bust
prices came. oddly enough. at a
time when it was clear that the cri-
sis in the Turkish difficulty had been
passed. 1t was attributed partly to
reports of smaller crops abroad. In
any event December wheat rose
above $1O9 bushel, which is ap-
proximately ten cents above the re-
cent low.
Domestic crop estimates made
public by the Department of Agri-
culture on Monday, show, on the
whole very little change. Wheat is
only 100000 less than in the pre-
vious government estimate, while
corn is expected to yield 2,S53. 100000
bushels, or 21,0OO,OOO bushels less
than was forecast on September L.
In other words. abundant crops Of
cereals will be available.
Cotton, meanwhile. rallied to
above % cents a pound. partly as a
belated recognition OF the bullish
statistical position and partly be
cause trade buying, which was with
held pending settlement of the
Near East trouble, has now come
into the market. Textile mills evil
IDENTIFY are planning 10 extend their
activities and arc providing for their
needs in the matter of the staple.
Existing prices are over two cents
above the recent low and are ma
terially less than one cent below the
high of last year.
The weeks federal reserve state
ments indicate both an increase in
the volume of business and a move
ment of funds toward agricultural
districts. The reserve ratio of the
system is now nearly five per cent
below the peak which was reached
at the close of the season of summer
dizziness. 1t is still, however. APP
proXimately seven per cent above
the corresponding figure for a year
ago. Discounts. deposits and note
circulation continue to grow. Mean
while. the tendency is toward slight
" frmer conditions in tho money
market. although no sharp rise in
the cost of commercial accommo-
dation is anticipated.
Oversubscription Of the treasury's
new issue of 3O-year IA per cent
bonds is regarded as a favorable in
dicaton as to the condition of the
investment market. The new bonds,
which were offered to the value OF
$500, 100000 or Whereabouts. are pri-
marily designed to provide the funds
for the redemption of the $4,000,
900 in Victory notes. which have
been called for payment on Deem
Der Is. After these notes have been
paid off. the chief maturities which
will have to be taken care of before
next July. will be $685.. 100000 in war
savings certificates. which the treas
ury hopes to refund into new treas
ury certificates, and 100000 900 in
Victory notes.
Financial quarters believe that
these operations will be accom-
plished without disturbing the money
and securities markets. When these
operations have been completed the
treasury will have taken care of its
principal early maturities. which to-
tailed S7,500.00O,0 in April. 1921.
when refundlng operations were
started.
Industrial returns continue en-
courag ing. The railroads have set
new high record for a year in the
matter of cars of revenue freight
| loaded. the total for the week ended
September 80 being 99S,OOO This
exceeds not only the number loaded
in the comparable week year ago.
but in 1920. when the full traffic
movement broke all records in the
country's history. Nevertheless. car
shortages continue to represent the
limiting factor in the steel industry
and in number of others. Steel
output has now made good all the
losses suffered on account of the
strikes and bituminous coal produc-
ton continues to approximate TO-
OOU.WO tons a week. Steel prices
are showing a tendency to recede.
partly because recent shortages have
been relieved.