The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1923-05-14
PRODUCTION RATE
IS NEAR MAXIMUM,
STATISTICS SHOW
High Record In Car LoadinuS
Set-SteeI Industry
Unusually Active

NEW YORK, May l3.-(By Assoc
ated Press. with speculative SEN
timent still unsettled and with com
modify prices still showing much ir-
regularity, reports received in bust
ness quarters during the past week
indicate that production is continu-
ing to go ahead at a rate close to
the maximum. Figures for loadings
of railroad freight ears for the week
ending April 2S showed total of
$4,000 cars, which sets a new high
record since the middle of last No
Nember. The weeks loadings estab-
fish an entirely new record for this
season Of the year.
Additional evidence of sustained
Industrial activity is furnished by
the steel industry. Although the
tendency toward a falling off in for
ward buying has continued. output
has if anything. increased. The
United States Steel corporation. for
example. is reported to be working
its plants at 81 per cent capacity.
CONSUMPTION of steel also seems to
be going on at a high rate. The
average contract price of the ma
terial being delivered is rising.
An exception to the general trend
is offered by the textile industry,
where eurtailments have been an
nounced by d few New England cot.
ton mills. While those announce
lnents have had depressing effec.
on the price of the raw material
they probably do not represent any
great falling off in the aggregate
production of cotton cloth.
O o o
shorts Are Active.
Even cotton prices appear to have
moved more in response to the gem
eral tenor of speculative sentiment
than to the position in this particu-
lar industry. All of the markets IN
which speculative temper plays a
part have continued to show dis
tnctly separate movements. After Il
sharp drive at the start of the past
week. the bear party clearly covered
short commitments on an extensive
scale. Sharp advances resulted, but
only moderate amount of new buy
ins seemed to DE attracted. AS the
weel; closed the shorts started an
other active selling movement and
succeeded in forcing good-sized de-
clines.
Opinions as to the significance of
these declines continued to be mixed
on the other hand some observers
point to optimistic statements by
cabinet members to the effect that
the danger of an inflationary move
ment is passed. and maintain that
business is now established on a
basis which will make the present
prosperity relatively lasting. On thu
other hand, there are those who
claim that recent wage advances
have yet to make their effects fully
felt and that when new buying
movements start, prices will again
move upward.
Blame Foreign Situation.
In some quarters the view is held
that part of the recent unsettlement
is due to the foreign situation. In
this connection, it is pointed out
that the occupation of the Ruhr has
absorbed the trade revival of t,u-
rope, with an adverse effect on the
European exchanges and the Gu
ropean markets. Reactions in for
eign exchange have been consider
able, the pound sterling having fall
en- some IL cents below the high Of
the year. Such reactions naturally
have the effect of diminishing for
cign purchasing powers. Conditions
in the copper market are cited as an
example of how our own markets
are being influenced. Our own cop
per consumers and producers con
tracted up for a number of months
ahead. The market on this side OF
the water has been one which has
been easily influenced by the weak
ness displayed by all the non ferrous
metals at London and as result OF
the Ruhr difficulty.
have remained little changed, the
slightly greater degree of ease re-
Gently displayed being maintained.
The treasury's announcement of an
Offering of 4s4 per cent fouryear
notes to refund the maturing Victory
loan caused no disturbance. The
slightly higher rate was offset by
the fact that the size of the offering
was somewhat smaller than had been
Anticipated.