Evening star., 1923-12-31
BY HARDEN COLFAX.

II has ever seen. Railroads, home
builders, automobile manufacturers
and score of other minor groups
spent the year in recovering ground
lost during the war and imme ediate ely
thereafter. These industries piled
new production records skyward.
evertopping what had been marveled
at before-the wartime and post
armistice high levels. The three
great lines of enterprise named above
carried onward and forward with
them host of attendant activities
They swept the iron and steel in
dustry to a new mark, for instance
hIgner than the capacity record Of
1916. They resurrected the coal in
Custry from the grave of stagnation
TO a period Of almost unequaled pros
perlty. They helped blot out en-
tlrely the pool of unemployment and
Thought labor shortage in its stead
And practically while this move
Inent was on the way to the greatest
momentum; the market values of
STOCKS and bonds of the firms and
enterprises leading in the revival
Slimped not less than $4,000, ,OO0, 900
The year closes with the decline in
security values checked and partly
"ithough stocks are selling now at
about level of seven to eight
points lower than they sold at the
beginning of the year.
Less Active mt Years End
The year closes with industry gen-
months ago, with a pronounced
though not acute, degree of hesita-
ton as to the future, and with
slowly increasing surplus of COM
peak of activity appears to have
been passed during the summer The
immediate future of industry seems to
ne linked quite definitely with the
fate of the tax reduction, bonus and
proposed railroad regulation mea-
SUES probably will be reflected
largely on the industrial situation in
In the purely financial phases of
the situation during the past twelve
months, the Treasury Departments
showing indicates a considerable in
crease in the already top-heavy stock
OF gold in the United States, a fair
increase in the sum invested in busi-
ness enterprises, a steady interest
rate thoroughout the year, and
growing pile of idle dollars seeking
profitable employment. Deposits in
the federal reserve banks. by way of
illustration, were more than 60 per-
cent in excesse of loans at the be-
ginning of the year and were ap-
proximately 20 per cent in excess at
the end.
Three years ago. in contrast, de-
postts in federal reserve banks were
somewhat less than half the amount
of loans Business has come out of
the woods, however since then.
store of Gold Grows
The store of gold in the United
States has grown by more than
s300,000.00O. it is estimated, since
last New, Years and stands now at
almost half of the entire world
supply. 1t passed the $4,000 100000
mark for the first time in our ma
tfonal history last summer. There
the great inflow, for exports during
the first ten months of the year ex-
ceeded imports by only $50, 900, 900.
Apparently. observers here say,
bankrupt Europe is investing what
little gold it has left in American
securities.
Foreign trade during the year. while
not explaining the rush of gold, was
during the year, imports, for a period
exceeded exports. For several consec-
utive months during the spring and
summer the balance of trade turned
time since before the war. Depart
ment of Commerce figures for ten
months indicate quite clearly that
when the years totals are closed both
exports and imports will show a ma
terial increase over figures for 1922.
Exports probably will total about
half of the .sS,22s,o 100000 of the ban
ner year of 1920; imports will still
fall far short of the s5.27s, ,000, 900 for
the same year, but probably will be
S1O0.0O0,000 or so less than total ex-
ports, leaving the balance of trade for
the year in favor of the United States
once more.
1t was a year of savings, apparently.
Figures made public by the Savings
Bank Division of the American Bank
ers Association place the total for the
whole country as of June 80 last at
S1S,373, 100000, or more than $1,000
100000 higher than for a year pre-
ceding. From other sources come in
dications that the savings habit is
growing. demand and time deposits
in national banks reporting to the |
federal reserve board stand at about |
5000 100000 more than their December, |
1922. figure. but the increase in de-
posits not subject to check is much |
greater than that amount.
New Investments Large.
Nearly s3,oo0,000,0oo, in addition, !
had been invested in new enterprises
during the first ten months OF 1928, |
If capital issues may be regarded as |
an accurate index. During the same
period last year, the amount invested
fell short of that by more than $780, |
100000. Indications are that capital
flowed into new enterprises in 1923 to
the extent of about s3,60O.000.000.
Bank clearings throughout the coun- |
try, with the exception of New York
ing the first ten months of the year. |
in New York city clearings declined
about two per cent Business failures
decreased, dropping from 20,125 during
the first ten months of 1922 to 1918
during the corresponding period this
year, while the amounts involved de-
creased from s525,561,0 900 to s437,-
100000.
The stock market experienced a ma
jor movement downward, beginning in
March and ending with sensational
upturn during the fall, started by the
declaration of small extra dividend
upon the common stock of the United
Steel Corporation. While much of the
lost ground was recovered, stocks were
selling generally at, lower prices at
the end of the year than they fetched
Dividends poured into the bank ac-
counts of security holders at a rate
unapproached before. Payments of
this kind made by industrial corpor-
ations, steam railroads and street rail-
roads combined were estimated at up
ward of $S33,000.000 during the first
eleven months of the year. Borrow
ings by municipalities dropped sharply,
long-term issues falling during the
first ten months of the year to $892,-
249,O00 from $1.132. 1856 900 during the
corresponding period in 1922.
Extra Dividends Paid.
A flood of extra dividends marked
the closing months of the year. giving
added strength ana DuOydncy 10
stock values.
Manufacturing and other industry
gained momentum through the spring
and summer, tapering off somewhat
With the approach of winter In the
~n of progress were the motor car
Builders, who surprised themselves
by manufacturing 100000 passenger
cars and trucks during the year.
That figure was materially higher
than the most optimistic men in the
business forecast at the beginning of