Evening star. [volume] (Washington, D.C.) 1854-1972, 1926-07-25
BUSINESS SHOWING
GOOD UNDERTONE
Turn for Better Occurred in
May and June, Trade
Magazine Says.

A turn for the better in May and
June, resulting in a cheerful and
more optimistic outlook, is given as
the outstanding characteristic OF the
existing business situation by
Frank Greene in his monthly review
of business conditions in the current
number of the Nations Business
published by the Chamber or Com
merce of the United States.
This improvement, however, is
qualified by the prediction that the
uncertainties lying ahead OF the pusl-
ness world are numerous enough TO
make for a Continuance or the eau.
tious buying which has generally
ruled.
: while trade, industry, collections
and crops do not all say exactly the
same thing" the review continues,
.'there is little room for doubt that a
turn for the better occurred in May
and June.
"Belated Spring buying was visible
in May and grew stronger In June.
Wholesalers and jobbers in apparel
lines, largely occupied in disposing OF
unsold goods, let go these in many
eases. but especially in dry goods, at
heavy reductions. and the rally In
these lines was hardly impressive.
Collections Are Improved.
Even collections improved some
what, while crops made about the
best showing in the way of comeback
from the rather poor earlier condi-
ton, which in early June was placed
at 8 per cent below the average.
1.-THE gains in industry were mod
crate and not uniform, the construc-
tive lines, for instance, showing bet
ter than those manufacturing ap-
parel, but the rally though moderate
was encouraging since 1t indicated
that buying was merely belated and
not actually absent as apparently
earlier feared.
THAT good deal of Spring trade
was actually lost at retail, however,
seems certain. That a good deal OF
the complaint noted from small re-
tailers and jobbers selling to them
was due to changes in the channels
Of trade distribution seems evident
from the relatively better reports re-
ceiyed from mail order, chain store
and department stores than from the
smaller dealers. Even among the
department stores, however, decreases
equaled gains in number.
"In manufacturing lines catering to
the apparel dealers the Improvement
seems to have been really tr1fiing.
"In the constructive trades, steel
buying seemed to lead all others in
confidence and a slight hardening of
values in this line contrasted with
rather notable weakness in pig iron.
Production of both of these products
was at the peak point since the war.
Building Materials Active.
Building materials were a close Sec
ond 70 steel products where building
was active, as for instance at New
York, Chicago and other large cities.
New building staged a belated rally
in June, and an immense activity In
cement later in the season than nor
NAL. seemed to indicate that the colo
backward Spring had more than the
earlier anticipated effect on all con-
Structive trades.
an the lumber trade continued
heavy gains over last year output
were scored.
"In the middle ground between the
apparel and construction trades. In
furniture, floor coverings and kindred
lines the trend was rather quiet.
+ 1.-THE automobile trade, that wonder
of the present century, surpassed
sanguine expectations in the matter
of output in the months OF March.
April and May, but late June saw
tapering off.
'eHogs and dairy products prices
showed chief strength and non-ferrous
metals were slightly higher. In early
July tire prices were reduced ana
opening of Spring 1927 woolens was
at a 10 per cent reduction from
year ago."