Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1923-05-21
BUSINESS and
FINANCE STEADY
DURING PAST WEEK

steadier sentiment was apparent in
financial and business quarters dur
ing the past week. for one thing It
! was apparent that the principal
| speculative markets were displaying
a firmer tone. liquidation of a press
ing character having ceased and
! short selling having considerably i'm
proved technical conditions, although
extreme quietness prevailed during
the greater part Of the week. total
sales on the New York Stock Ex-
| chang amounting to only about halt
| million shares on Friday. this con-
dition was considered natura, re-
| suit Of recent weakness, and some
| signs OF a rallying tendency were
| noted.
For example. the copper market
! which has been quiet for some time
and has been sagging in sympath
with prices at London. stopped in its
decline and strengthened appreci-
ably.
Some quarters maintained that
this market is now in good position
| to respond to 4 resumption OF buy
| ing as old contracts run out. Ac-
cordng to this view, the general re-
| action in prices is an entirely nor
] NAL reflection of halt between
| buying movements. Such observers
expect commodity prices again to
stiffen as preparations are made for
the fall trade. In general, however
| the feeling is that it is still too early
to judge whether the recent reaction
has quite run it's course.
That the effect on the general leve'
| of the falling prices which have beer
| holding the attention of the business
| community will be less than might be
| expected is regarded on the basis OF
behavior Of the index stocks by the de.
partment of labor The departments
| index for all commodities during April
is unchanged as compared with March
I Aside from a reaction in coal prices
end in those of farm products all of
| the individual groups of the index
i We're higher. 1t was pointed out that
| the increases have taken place in
| those commodities in which labor costs
play large part, and it was assumed
! on this basis that recent wage adj
vances will be a sustaining factor; in
| fact it is claimed that it is raw mate
| rails prices which have reacted and
? that those reactions have come in re-
| Spouse to uncertainty over the effect Of
higher wages.
Production meanwhile is being main
| tanned at a level which approximates
the best rat, of the year. The abso-
| lutte amount of cotton consumed by the
oountry's mills during April was slight
~ smaller than the high record Of
March. When allowance is made for
the smaller number of working days
in April. however the rate of consump-
ton in the two months is approximate
ly equal. Some curtailment of oper-
ations by New England textile mills
has been reported. but it is thought
that this tendency will not become gen.
eral. as most of the mills have con-
tracts extending into the summer. BY
that time the uncertainty regarding the
character of the new cotton crop will.
i, is expected. be considerably reduced.
No let-up in activity at the steel
mills is apparent. Production is, if
anything, higher and the products are
stated to be passing directly into con-
sumption. Consumers are reported to
be taking all the steel that the mills
can turn out and the present rate is
confidently expected to be maintained
during the third Quarter Of the year.
New buying remains light but prices
are firm.
Railway car loading statistics con-
firm the other evidences Of intense in
dustrial activity. Although the total
for the week ended May S. which is
961 900 cars. is some 5000 cars above
the record of the previous week, 1t
easily breaks all records for the cor.
responding week in any other year.
Considerable attention was given to
the figures for March imports pub
lished by the Department Of Com
meree The total value Of S402, 900. 900
is the largest in any month since Au-
gust. 1920. and is S146,00O.000 greater
than in March a year ago. The large
total is considered to reflect in part
the intensity OF our domestic pros
perity. which is calling for large sup
plies OF foreign raw materials. 1t is
also considered to be a natural result
Of the relatively high prices prevail
ing in this country and Of the policy
OF requiring payments from our for
eign debtors.
An even more striking feature Of
the March trade returns is the fact
| that the month actually pro 'uced an
| excess Of imports over exports
amounting to sci 100000. While this
is also regarded as a natural outcome
of our position as a creditor nation
and of our foreign policie-. it is
has been emphasized by the Ruhr
crisis, which has checked the indus
trial revival in Europe and dimin-
iched that continents ability to buy
our foodstuffs and raw materials.
Hn1I Throo IN