Evening star. [volume] (Washington, D.C.) 1854-1972, 1927-01-15
RAILWAY MERGERS
DRAWING NEARER
Carriers Setting Up New
Marks for Speed, Eff
cheney and Profits.

Special Dispatch to The star.
NEW YORK. January 15.-Rail-
road consultations emerge from the
chrySalis with extreme slowness, but
some of them have made decided prog
ress in the last few days The Van
Sweringen merger. the move to join
up the roads in which l.. +. Loree is a
prime factor and the proposed consoli-
dalton Of the Great Northern and
Northern Pacific, which possibly may
include the Chicago, Burlington and
Quincy and the Colorado Southern,
are all on the fire. FINAL action is
still in the distance. But in the mean
time the carriers all over the country
are setting up new records for speed,
efficiency and, incidentally, for profits.
There has been no drop in efficiency
and orders for new freight cars and
locomotives are increasing in order
to keep it high. Heavy volume of
freight has increased replacement re-
quirements and new equipment is be-
Ing purchased with extraordinary free.
dom. 1t Is going to be great conven'
ton year and carriers are fitting their
passenger-carrying equipment fo"
record traffic. Detroit already has
listed $50 conventions for this year
and 90 conventions will be held in that
city this month. Other centers are
equally as active.
Stimulus for Auto Trade.
The automobile industry has al
ready begun to feel the stimulus Of
the sales made at the New York show
and improvement is expected to grow
as the buying trend makes itself
more evident. This is encouraging
production in the steel industry,
where forward orders have been graft
RUfnc n YrndMcarG
The volume of building construc-
lion as forecast by filing of plans and
letting of contracts shows no indica-
ton of falling below the level obtain
ing a year ago. Labor difficulties In
the building trades are of minor pro-
portions. This is tending to stabilize
building material prices. Unified
orders of lumber mills are on the in
crease and this is strengthening the
position of that commodity. Cement
still has room for improvement, but
In general is satisfactory.
Foreign demand for copper has i'm
proved and sales have been better for
copper and for lead, but without wide
price fluctuations. Zinc was weak
ened by excessive supplies. One of
the features of the week in non-fer
rous metals was the strike made in
North Lily property of Tintic. Utah,
-
Foreign Trade Good.
Foreign trade has been advanta-
geous and there still remains large
quantity of wheat and cotton ear
marked for foreign delivery awaiting
shipment. The range conditions as
affecting market for live stock and
the market for animals are both dis
tinctly advantageous. Receipts of
wool at market centers have increased
in response to reawakened mill de-
mand. This, in turn. has been q re-
Election of stable orders from the
clothing trade. The Mexican situa-
ton has been adverse for some time
30 far as American reports are con-
cerned 80 thas developments had
little added effect.
The season of the beet sugar fac
tories is practically closed, but Cuba
mills are grinding steadily and prices
are fairly steady. Price readjust-
ments made to conform to raw ma
terial quotations are aiding sales in
textiles of various sorts. Carpet and
rug manufacturers expect improve
ment in their earnings because of ex-
panding business.
Petroleum and bituminous coal con-
tinue at a high rate Of production.
Rubber has responded slightly to the
Improvement in automobile produc-
ton, but price movements have been
within a narrow range. The general
outlook for retail trade in the i'm
mediate future is excellent. with a
steady gain marked up in 1926 still
continuing as compared with this
time a year ago.