The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1934-10-23

buoyancy.
People who live in sections
where rebounds from especially
depressed conditions have existed,
or where the Government is pour
ing out millions among farmers,
should realize that they are only
part of the picture.
Last week, steel production was
off trifle, and there Is no lndlca-
ton of increasing demand from
any of the main consuming IN
dustries.
There was a squirt in automo-
bile production, but that means
little in this in-between season.
The industry is taking almost no
steel, and employment in Detroit
and Cleveland is down.
Cotton cloth production re-
bounded further toward the pre-
strike level. Lumber manuractur'
ing was slightly lower and was be-
low the average of recent weeks.
It remains about the same as a
year ago.
Electric power production and
railway carloadingS did little.
The main point is that the latter
are very low, considering that this
Is the seasonal peak of the year.
Carloadings are not only below a
year ago, but also below 1882.
The only items above last year
are grain and livestock, yet the
producers of both of these have
been hit by drought and are much
depressed!
Retail trade is now averaging
close to a year ago, allowing for
somewhat higher prices. Condl.
tions are much mixed, and
warm weather in some sections
has hurt sales, but where the
government is spending, the
people are buying heavily.
For example, in the st. Louis
territory, retailing is active, and
demand from rural sources has
stimulated wholesale trade. But
I'm the same territory, industrial
activity has declined, large
steel company has laid off men,
and carlOadings are very back
ward.
Commodity prices were highly
irregular last week, with the aver"
ages a trifle lower. But the metals
rose a little, and corn, lard, ana
hides gained. Leather markets
were stronger. It was declines IN
wheat, cotton, sugar, rubber and
gasoline which put the averages
down.
In fact, a gasoline price war
broke out in the East. This
shows the futility of the artificial
price fixing program in the Pc
troleum industry. Renewed at
tempts at control may be made,
but you can't make prices work
when they are out of line with
demand-and-supply values.
The pound sterling rebounded
several cents, illustrating the in
stability of foreign exchanges and
the impossibility of much foreign
trade. Shore covering in sterling,
reduced buying of our products
by England, and our large pur-
chases of silver in England, prob
ably account for most of the re-
bound.
The gold bloc" countries got
together last week, and formally
agreed to retain their position.
These include France, Italy, Bel
GUM, Holland, Switzerland and
Poland. The participation of
Poland is notable. They organ
lied and set up a committee to
report plans for developing trade
relations among themselves at
q meeting to be held three
months hence.
Meanwhile, our Government
has increased its spending pro-
gram in terms of paper dollars.
Thus far in October it has dis
tributed nearly half a billion
dollars among the people, and
the public deficit has been
much increased thereby.
The President, however, in q
recent speech says that in our
spending we must consider the
nations credit, and indicated
that we should not give the vet
Grams more money while there
are others who are more "for-
gotten" than they.
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