Evening star., 1935-01-20
Regarded as Normal LuII,
With 1885 Prospects
Still Undimmed.
STEEL AND AUTO TOTALS
CONTINUE ON UPGRADE
Rail Loadings, Electric Power
and Cotton Cloth Increases
Smaller Than Usual.
BY RAIDER WINGET,
Associated Press Financial Writer.

The 40-day business bulge Of the
year-end has shown some signs of
leveling of in reports of the last week
from leading industries and the vari-
GUS Federal Reserve districts.
Business analysis did not regard
this as more than a normal reaction
from an unusual upSwing, however,
and 1885 prospects we're not regarded
as dimmed.
In fact, the automobile industry still
continued to shed rosy glow over the
business reports of the week. Produc-
ton of the week ended January II was
estimated at 59,825 units, the highest
point since December Of 1880, and
retail sales were said to be limited only
by the capacity to run cars of the line.
Steel, aided BY the demand for the
Automobile makers and from miscel-
laneous lines, again lifted its produc-
ton schedules to new high levels since
last June. The American Iron and
Steel Institute estimated the past
weeks operations at ATS per cent OF
capacity, up Al percentage points from
the previous week.
Industry Out Of Red.
This has brought the steel industry
as a whole out of the red again, and
U. S. Steel restored last September
reduction Of salaries of whlte-colar
workers.
The reports of freight movement,
electric power output. and cotton cloth
production, for the week ended Janu-
airy u, all failed to show gains as
large as usually expected for the week
following the New Years day holiday
period, but this may have been due to
the fact that there was not the usual
let-down at the year-end.
Freight movement for the week
ended January IL jumped ll.2 per
cent over the preceding holiday week,
but the total was 0.6 per cent under
like week of 1884. Electric power pro-
duction scored a small gain over the
previous week and continued to run
well ahead of the previous year, the
margin amounting to IT per cent.
Unseasonably warm weather may have
tended to keep the freight and power
figures down.
Cotton Mills Lag.
Cotton mills Jagged in cloth produc-
ton for the week of January IL, but
the movement of raw cotton to the
mills was higher last week than for
the same week year ago.
Lumber and coal production ad-
vanced slightly, lumber against a
normal seasonal drOp.
Retail food prices were reported up
is per cent for the two weeks ending
January 2.
Most sensitive commodity prices
broke sharply early last week when
traders feared the effects of a pos
sible Supreme Court decision against
the Government in the gold clause
cases. A returning confidence, how
ever, snapped prices back as the week
wore on. That same fear caused
spotty adverse business activity re-
ports from some coastal centers and
areas where production depends on
world prices in dollar terms.
Retail and wholesaJe business main
tanned a high activity level generally.
Rejecting that condition and the mo-
mentarily higher velocity of trading
in financial and commodity markets.
bank clearings for the week ended
January 16 were 36.3 per cent higher
than a year ago for the country as
whole. New York was 44.2 per cent
higher and the rest of the Nation 20.7
per cent.
Labor Troubles Feared.
The week closed with an ominous
note of labor difficulties which might
break in the Spring, labor leaders dis
closed plans of an alliance between
workers in textiles, automobiles, steel,
oil and tobacco.
Individual reports from Federal Re-
serve districts follow:
BOSTON-Cotton and wool mills
in the first Federal Reserve district
reflected uncertainty over Supreme
Court action on the gold clause. De-
mand and production fell. Value and
tonnage Of fish receipts were under a
year ago.
RICHMOND.-Retail business in
the fifth district maintained the 1884
level or above the debts to individual
bank accounts continuing totals well
above last year. Debts of Charlotte
were highest in four years. Baltimore
wholesale trade, construction and en-
ployment was improved. Heavy goods
industries Jagged.
NEW YORK.-Retail trade in the
New York metropolitan area Of the
first district was reported fair" by
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