Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-06-30
MAY TRADE HOLDS'
FAVORABLE SIGNS
Business in Fifth Reserve
District as Whole Re-
ported Irregular.

by Ine Associated BreSS,
RICHMOND, Va, June 3O.-MsN
business was irregular in the fifth Fed
eral Reserve district. which includes
Maryland. says the monthly review OF
the district, made public here today.
There was no marked change from
other recent months in any special line.
Last month was not without favor
able signs" however, says the report.
Deposits have recently increased con-
siderably in reporting member banks
and at the middle of June totaled more
than aggregate deposits a year earlier.
which would seem to indicate that
aggregate purchasing power OF the
banking public is increasing in spite OF
much unemployment and losses in last
Falls decline in stock prices.
Another favorable sign at present i6
the comfortable position in which both
member banks and the Reserve banks
nno themselves, with their funds in a
relatively liquid condition and with
ample resources to care for legitimate
needs as they arise. Business failures,
while more numerous than a year ago.
were fewer in May than in April. and
last mcnths liabilities we're only about
half the exceptionally high figures of
the preceding month.
Store Sales Better.
Retail trade as reflected in depart-
ment store sales in MAY was on the
whole better in most Of the district
than In May last year. and the stores
are operating with smaller stocks than
last year, thus increasing the rate of
their turnover
Finally, copious rains in nearly all
sections OF the district at the end of
May and IN the first three weeks of
June distinctly improved agricultural
prospects since the official June / con-
dition reports were issued"
MARYLAND crops were retarded by dry
weather in May, says the report.
Wheat developed earlier than usual.
May crops made little growth, and pas
lures were much below the average for
this time of year. The strawberry
crop was also hurt by lack of rain and
potatoes show a rather poor stand.
Apples show better set of fruit than
orchardists had expected, while peaches
indicate about so per cent of q full
yield.
With reference TO general business
conditions the report saws: Between
the middle of May and the middle Of
June there was some increase in redis- ]
count holdings at the Federal Reserves
Bank at Richmond. A later expansion
of credit than usually develops in the
Spring. Member banks loans on secur-
past month, but all other loans by re-
porting member banks declined by APP
proximately the same amount.
Debts Are Lower.
Debts to individual accounts figures,
considered fairly good indicator of
business activity, we're materially
lower during the four weeks ended
June IL than in the preceding four
weeks in 1929 and the corresponding
four weeks in 1929, the decline being
uniformly distributed over the whole
district. In comparing this years fig
ures with these Of last year, however.
some allowances should be made for
lower prices.
Business failures in May were &
'per cent more numerous than failurea
in May last year, and liabilities in
volved in insolvencies last month
showed an increase of approximately
so per cent over the May 1929, la
bilities. Employment conditions did
not improve as much as seasonal ac-
tivitieS might have implied, and It
cannot be said that prospects for early
improvement are at present any bet
ter than they were month or six
weeks ago.
Construction work, wholesale trade
and collections showed declines from
year ago.