Evening star., 1935-05-05
WEATHER CHECKS
| RETAIL BUSINESS
| |NMOST SECTIONS
Drop of Major Industrial
Indices Regarded as Tenn.
| porary Setback.
POWER OUTPUT SAGS
| WITH RAIL LOADINGS
Slower Pace in Cotton Textile,
Mines and Some Heavy
Industries Cited.
BY RAIDER wINGET,
Associated Press Financial Writer.

By RAIDER WINGET,
Associated Press Financial Writer.
Major industrial indices pointed
downward last week and retail trade
was hampered in most sections by
adverse weather.
Each development was explained
by analysts In terms Of an economic
movement, however, which was seen
as temporary and not Of long term
character.
Car loadings as the week opened
we're S5 per cent below the preced-
ing week as result of the post
Easter slump. an increase In freight
rates, which had caused q pre-
boost squirt and a following drop In
shipments, and q lowering Of coal
production.
Electric power production for the
week ended April ~ was 0.3 Of !
per cent under the same week year
ago and also below the previous week.
mostly because of reduced operations
in the cotton textile industry, mines
and some heavy industries. Such fac
tors as the start in daylight saving
time and q reduced need in some
areas for power to pump irrigation
water, all entered into the lower
total.
Steel Output Down.
Steel production declined is per-
centage points to 43.1 per cent Of
capacity last week, with the lessened
demand from motor centers an out
standing factor in the decline. A
timid buying attitude was noted by
other consumers who awaited the
outcome Of strike shutdowns at plants
of General Motors Corp.
So far as the figures for auto
mobile production itself was con-
cerned, labor walkouts had little ef-
feet. Grams Reports. Inc. esti-
mated production last week at no.
865 units. against l1o,s70 for the
previous week.
The decline. although small. was
the first since the production of 1885
models started In December Of last
year. Those in the industry explained
that greater curtailment was baked
because most assembly points had
sufficient material on hand to con-
tinue output for normal requirements.
While a seasonal decline into the
doldrums of Summer was anticipated
about this time by most commenta-
tors, it was agreed that strike and
shutdown effects would be more
clearly seen In this weeks motor pro-
duction figures unless an abrupt
change in the labor situation occurs.
Lumber Activity Climbs.
Reacting against the downward
trend was lumber production, which
turned upward as demand for Spring
building broadened. Allied building
lines also showed signs of the Spring
Summer revival.
On the retail trade front sales were
cut in most sections by adverse
weather last week Just as during the
week preceding Easter. Most mer-
chants anticipated heavy buying at
clearance sales, but reports so far
show some disappointment. There Is
strong evidence among merchants
reports, however, that profits from
the pent-up demand are expected
shortly.
Detailed reports on business con-
ditions in individual Federal Reserve
districts follow:
BoSTON-A drop in electric power
production in New England, but q
renewed demand for wool appeared.
Cotton textiles, however, continued
dull. Inclement weather was de-
scribed as q factor in retarding de-
partment store sales.
NEW YORK-Variation In wealth.
er created a spotty condition in re-
tail sales in the metropolitan New
York section, but more out-of-town
buyers were in the market than ex-
pected. Mail orders for Summer
goods were reported increased, as was
business in wholesale grocery lines.
Buffalo steel production declined to
AZ per cent Of capacity.
CLEVELAND - Industrial areas Of
the fourth district felt depressing eff.
fects directly and indirectly from
motor strikes and shut-downs. Direct
shut-downs resulted in stop orders
for materials and was a principal
factor in steel production fall. The
automobile situation. post Easter re-
actions and bad weather caused q
slump In retail trade.
d. C. Building Cited.
RICHMOND-Busine bucked un-
seasonable weather In the fifth dis
trict, but held its own fairly well.
Residential building In washington
was one of the most emphatic bright
spots.
ATLANTA-Retail and department
store sales continued good in the
sixth district, with warm weather
sending shoppers into stores in re-
sponse to Spring sales. Steel produc-
ton was steady in the Birmingham
area.
In the Chicaso district to some, extent al
ss %a' Of 's'ss srrs sesss ss
ssalD%snt SqnssTn sspSSFssS Sslsssa tsa
Dsrs S tas isysss since s..ssr iss held
81 ss Louis t9sds dissn,st. % and dfta rsins IS re-
nr some Sn ne dees se
operations dropped. wholesale trade was
spotty. and local strikes curtai1ed en-
MISUNDERSTANDING retail trade suf-
farmers in the ninth district rejoiced over
Of surface and subsurfsce
scribed as the best tin Il, Ave H:S years with SUB
soil moisture reported restored Or re-
plspishsd z. SHED steadily IN areas hard hit by
KANSAS CTTY-Retail trade for Spring
registered 10 per cent gain over 1884
pared with S2.07 last year, Demand for
electrical supplies and refrigerators was
20 to so per cent ahead OF last year.
,embly plant closings here.
DALLAS---Department store sales IN
,sncps s stss s.s e M.,,s ths eleventh ysr Srst
,ut were 4 per cent under. 1884. bankers
rains nass sfop es