Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-08-01
BUSINESS OUTLOOK
DECLARED SPOTTY
August Forecast Is Made for
Different Lines of Trade
and Industry.
special DISPATCH to The Star.

Special Dispatch to The Star.
NEW YORK, August Current in
dications of the trend in various dlvl-
sions of industry and trade are sum-
married. by the Standard Statistics Co.
of New York, from its 1st OF august
resume of the outlook for important
lines, as follows:
Agricultural implements-It is not ex-
pected that this years last-half profits.
will equal those OF a year ago.
Aircraft-The preponderance OF man
,,facturing companies are operating at
a loss, and the prospects hold scant
promise of any material improvement
developing for months to come, at least.
Engine manufacturers are much more
favorably situated than are the craft
builders.
Apparel-Profit margins Of apparel
companies will continue narrow, pend
ing downward readjustment in their
costs.
Automobiles-Only moderate relative
improvement is looked for IN the fnal
three months of the year.
Automobile parts-A number OF pro-
ducers will have difficulty in reporting
anything earned during the current
three months period.
Automobile tires-Total tire sales in
1880 probably will be in the neighbor-
hood of sc, 100000, representing sharp
reduction from approximately 100000
in 1929.
Building-Evidence is still lacking to
indicate a sustained uptrend of build
ing, and, excepting cement, the major
building materials are weakly situated.
Chemicals-Few producers will report
larger earnings during the balance OF
the current year than in the correspond
ing 1929 period. The longer term sales
and earnings outlook, however, con-
tinues attractive.
Coal-Earnings of bituminous pro-
ducers during the next few months will
leave much to be desired.
Copper-Full year 1880 earnings Will
probably be far below those of the pre-
ceding year.
Cotton-On the whole there seems
little prospect for rising cotton prices
(barring crop disaster).
Electrical equipment - Taken as a
whole, results during the balance Of 1880
are likely to compare unfavorably with
those of 1929.
Farm products (grain)-There seems
no basis for any sustained recovery In
wheat values, because of the weakened
statistical position. No sharp rally in
corn prices is in early prospect, even
though present quotations should be
maintained.
Fertilizers-The outlook for the cur
rent fiscal period is made extremely I'M
certain by the expected reduction in this
years farm income.
Lead and zinc-There seems no in
centive to make other than near-term
purchases at the present time.
Leather-Successfu passage Of the
tariff act is a constructive development
in the longer term outlook for the
tanners
Machinery-An improved sentiment is
apparent in the trade, but 1880 income
as a whole will probably fall substan-
TALLY under that of last year.
Meat packing-No basis exists at this
time for predicting improvement in
profits during the balance of the fiscal
year.
ONCE equipment-The industry should
be one of the first to benefit from any
general trade recovery.
Paper-On the whole the industry
gives evidence of having definitely
turned the corner, after some two years
of adversely.
Petroleum-Co Considerably more encour-
aging are the recent trends dominant In
the oil industry.
Radio-Prospect for the second half
year point to moderately favorable re-
suits for the strongly situated concerns.
Tube manufacturers, however, do not
appear to be in so strong position.
RailroadS-With any expansion IN
fourth quarter traffic, earnings toward
the end of the year could easily record
gains in comparison with the downward
trend in effect during the closing
months of 1929.
Railroad equipment-Lower net In
come for the full year is in prospect.
Rayon-Earnings of rayon producers
for the final half of 1880 will fall con-
siderably under those of the correspond
ing 1929 period.
Retail trade-Aggregate profits OF re-
tailers for the latter half or Tor the 1ull
wear will hardly make favorable COM
parsons with 1929 income.
Rubber-There is no convincing evl.
dence available to indicate sustained
near-term advance. l.,
Shippinp - Entirely satisfactory IN
come is assured for those yards which
are in a position to benefit from the ex-
nansion of our deep-water fleet during
the next two or three years
Silk-Prices between now and the END
of 1890 should stabilize at current or
slightly higher levels
SteeI-Earnings for the current half
wear will probably be even less favorable
sugar = SLOW demand and reduced
values will cause refiners to report re-
duced profits during the balance OF the
current year.
Theaters-Net income Of producers
this year will attain levels substantially
in excess of the 1929 amount.
Tin-Quotations continue to exhibit
more weakness than strength, and little
Improvement is expected unless imme-
date curtailment of output materlallzes.
acknowledgement sales advance IN
the cigarette industry during the f1nal
half of 1880 should materially exec
that of the June half.
Utilities-For the full year no more
than slight decreases from 1929 earn
ings of electric light and power com:
panies can be expected. The extent OF
improvement In gas distribution In the
Fail depends to q large extent on the
recovery of trade activity. The tele-
phone industry has been making good
progress and the long-term outlook Is
favorable No hope in the near or dis
tant future Is seen for q permanent re-
covery from the Ills of the street railway
business.
Wool - Business will probably not !