The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1930-01-30
Downward Tendency Expected
to Continue Till Revival
of Business
POSSIBLE RISE IN WHEAT
Foreign Buyers Fighting Shy,
but Will Have to Enter the
American Market Soon
BY Rex E. willard, Farm Economist,
North Dakota Agricultural College.

The considerable reduction In fac
tory employment and payrolls which
has accompanied the reduced rate OF
industrial activity is being reflected
in the prices Of certain farm products
such as dairy products and cotton.
This reflects the curtailed buying
power Of consumers.
The general level of commodity
prices at wholesale markets declined
further in December. reaching the
lowest level of the years about Decem-
Der IS, but the decline was at a slow
err rate than in the preceding weeks.
The present year begins with the gen
eral commodity price level below that
of any month In the past two and
one-half years. The downward move
ment in the general commodity price
level is likely to continue until BUSH
ness RECEIVERS. During the next two
months the general level Of farm
prices will probably average lower
than in December. Prices received
by farmers in North Dakota for their
products are estimated to have de-
creased from an index Of 134 Decem-
Der Is, to 1872. January Is. The index
of prices paid by farmers for com-
moditieS bought stands at 156.
Wheat
The outlook for cash wheat prices
during the remainder of January and
February has not changed materially
in the past month and indications
are still for some improvement in
prices. Both the visible supply Of
wheat in the United States and in
the world are declining. Export de-
mand appears to be improved. After
February the market is likely to be
influenced largely by weather condi-
tions and prospects for next years
crop.
The world situation IS unchanged.
The amount of wheat available Is ap-
parently about 800. 900 900 bushels
less for the past season. The visible
supply of wheat in the United States
has been reduced by about 0.000. 900
bushels from the peak reached at the
end Of October. but is still 0,0O0. 900
bushels above the visible supply on
the corresponding date a year ago,
Foreign demand for wheat to date
has been disappointingly weak. Some
deficit countries will need to buy more
during the remainder of the season
and they must turn to North America
for a good share Of these require
mcntS.
Flax
Unusually short supplies of flaxsecd
in the United States are expected to
maintain the present price level. but
no further rise is anticipated. I'm
favorable yields in the United States,
Canada and Argentina have resulted
in 4 crop 80 per cent less than last
year and the highest price since 1920,
Potatoes
Current changes now taking place
in the buying power of consumers
suggests the possibility that the price
advance that might have been ex-
pected In view Of tho small potato
crop may not materializc. Market
ingS in December as indicated by car
lot shipments were about II per cent
greater than in December. 1923. and
about 10 per cent greater than In De-
cember, 1926. These shipments. to-
gether with the indicated supply for
the season. suggest a relatively larger
supply available for the next three
months than that for the comparable
period in the 1926-27 season.
Cattle
The low point in cattle prices will
probably come later this year than
last. Total cattle supplies during the
next four months are expected to be
about as large as last year, but with
fewer the first two months and more
the last two. Receipts of cattle at
seven leading markets in December
we're about 6 per cent larger than in
December, 1928. but inspected
slaughter was about l per cent small
er than last year and 20 per cent be-
low the five-year December average.
Out-shipments Of stocker and feeder
cattle were larger in December this