Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-03-07
BUSINESS OUTLOOK
IS FOUND UNEVEN
Special Summary Indicates
Trend in Various Divisions
of Industry and Trade.


Current indications of the trend IN
various divisions of industry ana traos
are summarized by the Standard Sta
tistics Co. from its first of the month
resume of the outlook for important
lines, as follows:
the agricultural machinery industry,
although still mainly favorable, is less
promising than a short time ago. Re-
fleeing the recent drastic slump IN
cotton and grain prices, purchasing
power of the farmer doubtless will be
reduced at least moderately.
Aircraft-Entering 1880 with large
volume of unsold products, with sales
restricted and with profit margins un-
satisfactory, the aircraft indusrtys
earnings outlook for the current half
year is decidedly unpromising.
Apparel-The apparel industry en-
loved period of record breaking
business in 1929, although combined
earnings of 20 leading companies were
only slightly above those for the pre-
ceding year.
Automobiles Production of cars and
trucks in January fell some SO per cent
below the total of January, 1929, ana
operations during most OF February
showed little change from the opening
months levels.
Automobile PROFESSIONALLY follow
ing the fluctuations OF the automobile
vehicle trade, which during the current
wear to date has been some 80 per cent
below the levels of the like months in
1929. demand for automotive parts Is
not likely to be nearly as active In the
first half of this year as last.
Automobile tires Manufacturing
schedules have been considerably in
creased since the beginning of this
year, but neither production nor ship
ments during the next few months are
likely to equal the levels reached in
| the corresponding period of 1929.
Building and building materials
Notwithstanding the slow start from
an abnormally low plane this year, we
anticipate a marked seasonal upturn
of construction activities In early future
weeks.
Chemicals-Varied conditions are
extant in the several principal branches
of the industrial chemical industries
but with dizziness of markets rather
general characteristic.
Coal-Producers have been forced TO
curtail output in order to prevent an
| by causing steady decline In proouc-
| ton during February.
Copper - Either through reduced
prices or reduced output, earnings OF
leading copper companies Will undoupt-
edly suffer considerable diminution
during the current year.
Electrical uipment-Earn1ngs OF the
leading companies should compare quite
favorably with results Of the similar
part of last year, when results sur"
passed all previous records.
Fertilizer-An suspicious commence
ment for the 1880 selling season.
which usually begins January and
reaches its peak during March ana
April, was revealed by sales OF 52S,TI6
tons of fertilizers IN the principal agr,-
cultural States during January, as COM
pared with 476028 tons during the
same month of last year.
Lead ana zinc-Domestic output has
! been reduced to level below that OF
q year ago. and demand for lead mas
been relatively less affected by business
recession than many other lines OF In
dustry.
abruptly in November and producers
have not since recovered sufnc1ent con-
fidence in the sales prospects 10 return
to normal operating schedules.
Machinery-Prospect for the current
half year are for level OF aggregate
income somewhat under the rscoro . r.
Meat Packing Operations for the
first three months of the new nscal
wear. which commenced about Noven1-
her Q. 1929, have been conducted under
extremely variable conditions, with un-
favorable factors still predominant
once COMPREHENSIVE have been
maintained at q substantial rate In
recent months. despite the less favor
able general business conditions pre-
vailing.
Paper-Outlook is for a smaller
volume of newsprint consumption in
the first half of this year than last,
rejecting the recession in general ousi-
Petroleun1-It is not yet too late for
the majority of integrated companies
to realize profits for the full current
wear comparable with the favorable
results of 1929, should complete CO.
ordination of efforts be Immediately
forthcoming On the other hand, pres
ent conditions of production, low prices
and ruinous competition are drast1cally
reducing current rate OF return, ana
Improvement may well be slow.
Radio-While the volume OF distress
merchandise hanging over the market
has been reduced there has been no
basic Improvement In the radio industry
during the past month.
Railroads-The contraction in rail-
road traffic that occurred during the
last quarter of 1929 has recently been
halted. There has not yet appeared,
however, any sign of expansion from
the low level that has obtained since
the beginning of 1880.
Railroad OBSERVATION-DISCLOSURES of orr
ders now on hand first quarter earn
ings of leading manufacturers should
make a comparatively satisfactory
showing.
Rayon-Although prices have been
maintained, producers have not prohted
materially thereby because of the trend
toward second quality yarns.
Retail trade-Outlook for retail trade
is now somewhat more favorable than
q month ago, although it is not ex-
pected that aggregate volume of sales
during the next several months viii
equal the total for the like period of
1929.
Rubber-we do not expect prices
for crude to advance materially unless
marked restriction of output becomes
an accomplished fact.
Shipping and hipbuilding-Aid now
being extended to the shipping indus
try Is materially beneflting shipyards
and current construction activity Is sub
stantially in excess Of that at this time
last year