Great Falls tribune. [volume] (Great Falls, Mont.) 1921-current, 1922-05-21
APRIL EVIDENCE INDICATES
BUSINESS is ON UPGRADE
BV Wells ickey Company.

A general survey of business condi-
tons for the mouth of April shows
positive evidence in every quarter that
business Is definitely on the upgrade.
There ere those who still ask whether
the cuisines revival which we have ex-
perienced up to this point will continue
for any length of time and whether
it will soon be felt in those lines which
up to this time have registered little
improvement. During the past four
months of 1922 there have always been
qualifying factors which have had to
re taken into account. Although some
of these factors are still operative to
some degree, it Is distinctly noticeable
effect, so that the present really is
the first time that the evidence Of a
business revival is favorable from all
quarters. About the only cloud on the
business horizon at present is that
arising through labor difficulties. prin-
cipally in the coal and textile industries.
Present Indications, however. point to
a smoothing out of these difficulties
considerably earlier than was originally
anticipated.
The most encouraging factor in the
present situation is the advance in the
physical volume Of production. The CON
dition in the steel industry once more
has assumed a place where it may be
regarded as an accurate index of gen.
eral business conditions and in that light
at present furnishes the most encour-
aging prospects as to the future of
business generally. Notwithstanding the
continuance of q coal strike which
logically should curtail steel production
to some extent, yet the record of pro-
duction throughout the industry shows
steel plants running at about IS per
cent of capacity. This condition exists
not only In the plants of the United
States Steel corporation but also
throughout the entire independent
group. Coupled with this apparent re-
turn to prosperity ome definite
rumors regarding the consolidation of
the leading steel companies nov operat-
ing independently. a consolidation which
should effect important economies and
place the new operating group in a
most favorable competitive position.
Money Market Easier
For several months past the con-
ditions in the money market have been
decidedly easier with an abundance of
funds both for investment and specu-
lative purposes. Rediscount rates for
the federal reserve banks have shown
a distinct downward tendency, while
bank statements for commercial banks
show an increase in the volume of
commercial credits. This later stu
alton obviously reflects a larger turn
over in goods because such a large part
of commercial transactions are fin
anced through bank loans. We may ex-
pect a considerable expansion of com
mercial demand for funds as business
activity increases. This may finally
reach a point where it tends to draw
off a considerable proportion of sur
pluses which heretofore have been
available at low rates in the investment
market.
There are still many factors of un-
certainty In the general business out
look; n Of them has to do with the
tax situation. As time goes on it be-
more apparent that a bonus
measure of some sort will be enacted.
Whether or not this will be a disturb
ing element in general business de-
Ponds very largely upon the methods