Evening star. [volume] (Washington, D.C.) 1854-1972, 1928-07-20
BETTER BUSINESS
FOR COUNTRY SEEN
Increase in Steel Mill Opera
tions Forecast by Head of
Youngstown Concern.
BY j. c. ROYLE.

Special Dispatch to The star
NEW YORK. July 20-Better busi-
ness conditions for the country as a
whole. with an increase in steel mill
operations, were forecast today by
President James A. Campbell of the
Youngstown Sheet az Tube Co.
When the citizen desires to know how
hot 1t is, he looks at the thermometer.
When the business man desires to
know the position of business, he looks
at the steel industry
Mr.. Campbell is a recognized leader
in steel production. He added that
better business is to be anticipated, de-
spite the fact that 1t Is a presidential
year. Less anxiety Is being manifested
daily with regard to the outcome Of
the November elections. The steel in
dustry, however. is rapidly abandoning
its old plants and operating only those
which can be worked at a minimum eX-
pense. The Youngstown Sheet & Tube
Co, for example. has torn down two
old Mahoning Valley blast furnaces and
coke works al Mayville, Wis.
THE volume of steel business Is bet
ter than thought ii possible to be dur
ing this season." Mr.. Campbell said.
THE mills have been able to maintain
operations at between 10 and IS per
cent of capacity, an unusually high
rate. There is general feeling Of
confidence in business circles and the
presidential election will not interfere
with business"
Revival of Oil Industry.
Mr. Campbell's company has recently
received an order for 10000 tons of
steel pipe for oil and gas companies in
the Southwest and this is taken to in
dictate revival of the oil industry, both
in drilling and transportation. This Is
not received favorably by men in the
oil industry who are anxious to hold
production down until prices are given
chance to advance. In the last three
weeks there has been a slight increase
in daily production.
The increased demand for automobile
sheets indicates the speeding up of the
automobile industry. This is unr1lis-
taxable in view of the sharp increase in
the number of workers employed in the
principal plants, and in factories max
ing automobile accessories.
One of the soundsst supports OF the
steel industry today is the demand from
the agricultural implement manufac-
turers. States like Montana and some
others in the West which have hereto
fore failed to depend on expensive power
equipment are stocking combines. trac-
traordinary volume.
The output of canned fruit this year
promises to be larger, as reflected in the
demand for tin plate. This is not call
culated to bring any extraordinary pros
perity to fruit growers. since the crops
are undeniably in excess of require
ments in most fruits.
There are indications that the coal
industry is working closer to an agree
ment between the operators and miners,
but these two fighting factions are still
separated by no mans land sprayed
by barrage of no profits.
In the non-ferrous metal groups,
Canada has benefited by recent de-
velopments to greater extent than
most OF the American producers, al
| though there Is sound market for cop
per. Lead and zinc are still in a pre-
carfous situation so far as profit mar
gins to producers are concerned.
Building Industry Active.
There is no let-up apparent in the
building industry. This Is resulting in
| a continued improvement In the situa-
| ton of the lumber producers. who have
wisely regulated production to consump-
ton and restrained extraordinary price
advances which would have checked
buying
The financial situation of the citi-
Gems OF the country is we'll illustrated
by the position of the life insurance
business. New life insurance written
during the first half of this wear has
been 7.3 per cent greater than for the
corresponding period of 1927. In June
new business advanced ia per cent
above the corresponding mark of last
year, There is every indication that
new insurance will amount To annroxi-
mately $S,S00,00o by December 81.
The paper industry has joined the list
OF lines falling into a slump. This Is
nndeniably due to the fact that the
Canadian mills are now operating at
iully per cent higher capacity than
the demand would warrant.
Profit margins of leather and shoe
manufacturers are smaller than a wear
ago. put their output is greater.
The CarDnvia E.n,,olaA{on 4, a.