The Birmingham age-herald., 1922-08-14
BUSINESS REMAINS FIRM IN SPITE OF
 TWO B|G STRIKES
Effect of WaIkouts Being Felt Especially in Steel Indus try-Fundamental Con-
 tionS Sound
Rr Assoclated Prees

New York, August l3.-Prolonga- ton of both the coal and railroad strikes has brought further slow ing down of industry but the under1 tone of the leading markets of the country has nevertheless remained firm.
 It became increasingly evident as the week advanced that all parties concerned were desirous of coming to an agreement and that no insur- nsoa tabla obstacies stood fp the way.
 The moderate advance in stock prices, led by railroad shares, re- flected the belief that a settlement was imminent--a belief which was not shaken by growing disaffection among the railroad brotherhoods and realization that a coal famine was a serious possibility
 Observers point out that funda- mental conditions are sound and that once the disturbing influences are removed, resumption on large scale of the business revival, which has been steadily gaining headway, may be confidently expected. The re- sultant accumulation of demand will spur industry for some time to come. Coal supplies, meanwhile. have dwindled to the point where basic industries have been seriously af- fected. Although the latest estimates of the geological survey. covering the week ending August l, show that the output has again risen above the 4,000,000-ton mark, 1t Is still less than half of normal and about million tons below what 1t was just prior to the shopmen's walk-out.
 Steel Industry Affected
 The steel industry in particular has suffered. Shutting down of blast furnaces is almost a daily occur renee and some steel mills soon will have to suspend operations. Even with both strikes out of the way, some months will be required to get back to normal Steel ingot output has fallen to an annual rate of 30,- 100000 tons, compared with an av- craze of 35,000,000 tons lust preced- ing-the rail strike. The present rate. however, is equal to that of 1912 and 1915, which were the years of heavi- est volume prior to the war. How ever. orders have been unexpectedly large. This weeks report of the Steel Corporation shows gain of over l4o.oo0 tons In thrilled orders for July.
 Lack of cars has brought some re- fusal of orders for immediate deliv- cry.
 In spite of embargoes on certain classes of freight by a few of the railroads, car loadings have held up well. For the week of July 29 the total of cars loaded fell slightly gains in coal and grain being offset by decreases In merchadise and mls- cellaneous freight Loadings how ever. are continuing at close to the high point in history at this season of the year.
 Crop Reports Good
 A reassuring note was struck during the week by the department or agriculture forecast of abundant yields of the countrys principal crops. Wheat production is estima- ted at some 6.000.000 bushels above ~%A~ = VI a6 e anu lHe corn y1el0 DTOEt- ises to be the fourth largest on record. While prices have rec-aed somewhat as result of these bright prospects. the pu Easing power of the agricultural communities will nevertheless be enhanced. Less ex- pense went into the making of this years crop than has been the case for some years past. This better buying .jower will have its effect ,n general business in the fall. Plenti- ful food supplies also will tend to keep down the cost of living. Gen. eral buying of cotton. meanwhile was renewed and the trend of prices ap- peared to be upward.
 Money rates were practically un- changed. Bankers report that a certain amount of money is being withdrawn by interior institutions to aid in the movement of crops. Smaller deposits and a contraction in bills brought a further rise in the reserve systems ration of reserves to deposits and note circulation to 8.4 per cent, the highest point reached in the present movement. The pc, sitton of the system banks thus points to the probability of continued ease In money.
 +1@t