Evening star., 1934-09-02
PROGRESS OFFSET
BY UNCERTAINTIES
FACING BUSINESS
Retail Sales Show Gain
Over Last Year-Labor'
Troubles Watched.
BY JOHN A. CRONE.
pecial Dispatch to The Star.

Special Dispatch to The Star.
NEW YORK, September IA
series Of labor and monetary de-
velopments, all happening near the
week end, virtually Offset constructive
news.
The ordered strike of textile workers
came after the refusal of the cotton
garment trade to follow the request
of its industrial code authorities.
Although these happenings appeared
logical enough to the little fellow" he
/ could not understand why steel
corporations took this time to cut
salaries 10 per cent when officials and
trade spokesmen had just declared
steel and iron prospects were brighten
ing.
On the very same day, German
Economic Minister Schacht took oc-
casion to warn countries about Com
munist menaces," citing farmers
riots" and the extraordinary wave of
strikes in the United States as stern
warning signals"
Gold at Record High.
Further disturbing news told of the
| sudden franc pressure against the
pound, the record high price Of gold
| in London, talk of depreciating the
pound to its old dollar parity, and
rumors of further dollar devaluation
| Just at time when the United States
| is about to undertake a major f1nan-
cial operation.
Notwithstanding these disturbing de-
| velopments, there were more buyers in
primary markets this week, and Fall
recorders were heavier. Failures showed
| a slight increase, bank clearings were
lower and living costs continued up
ward. Steel production, as is natural
in the week before Labor day, turned
downward. And the slower rate oi
heavy industries generally held down
power production.
Textile deliveries were speeded by
the strike threats earlier in the week
but a number of mills withdrew thei1
prices, not so much because of strike:
as because Of the uptrend in raw cot
ton. Brisk buying of furniture, how
ever, compelled manufacturers to place
volume recorders for upholstery. The
call for millinery, school supplies
chinaware, kitchen ware and electrical
appliances increased, but toys, gro.
ceries, swimming suits and rugs ex-
perienced a slackened demand at the
week end.
Coal Output Drops.
The bituminous coal production de-
cline continued and there was more
than a seasonal drop in automotivt
output. Carloadings, for the first tim'
in August, rose above those Of thu
previous week. The industry welcomed
the lessened oil flow.
with the exception of few dis
tricts where crops were totally ruined,
comments Dun g. BradStreet, Inc, II
its national weekly survey of business
retail sales for August were larger
than in August, 1888, with Government
relief funds, payments for crop re-
ductions, and the advancing prices fol
the contracted yields carrying steady
flow of ready cash to even the mos
seriously affected districts.
"As consumer buying turned pro
nouncedly stronger as the month drew
to a close, many retailers had the bes
week of the Summer, and sales roS'
as much as Is per cent above the leve
of the preceding week and were to l:
per cent larger than in the compare
tive period of 1888.
| Gains Huge in Southwest.
Gains in some parts of the South.
west ran as high as rs to 80 per cent
and in numerous centers of the South
increases averaged from Is to 20 PEI
, cent. Demand throughout the Middle
West assumed broader proportions
while, on the Pacific Coast, the up.
swing of the last three weeks wa
extended with little more force.
Just as manufacturers had reached
the conclusion that the strike wave
finally had been ended definitely, al
outbreak of foreboding proportions ha.
casts its shadows over the textile in
duStry. Running contrary to the sen.
timent which usually accompanies &
strike, however, the general belief il
the textile industry is that any pro
longed tie-up in fabric mill channel
will serve to strengthen the marke
and lead to an active business il
late Fall"
Copyright. 1934)