The Indianapolis times., 1935-11-04
BUSINESS PACE
|. IN WEEK RISES;
INDEX AT 81 P. C.
Figure Compares With STA
This Time Last Year,
Review States.
Times Special

NEW YORK, Nov. 4.-The index
of business activity, compiled by the
magazine Business Week, rose to 81
per cent last week, compared with
66.8 per cent in the preceding week
and STA per cent in the correspond
ing week last year.
Rarely in the last five years have
so many favorable factors come to
light in single week, the magazine
reported. Electric power production
reached a new all-time high, break
ing the record established three
weeks ago. Steel activity is edging
close to 50 per cent of capacity
promising profitable last quarter
to metal working industries.
Motor assemblies are being
stepped up rapidly to meet public
demand after the automobile shows
Railroad buying is coming forward
and carloadings have finally pushed
ahead of last years record. A better
margin of profit is likely before the
year is over. Check transactions, a
sensitive indicator of public and
commercial spending, are far above
the depressed levels of October, 1884
Construction is also rounding out a
good month.
Basis Laid Earlier
"The firm foundation for this
quarters business" Business Week
said, was laid back in the second
quarter. Industrial production
aafter reaching the 1885 low in May
when the Federal Reserve Boards in
dex read IS per cent of the 1928
1925 average, climbed steadily up
ward to 88 per cent in September,
even though automobile assemblies
struck the years low in that month
With steel, motor and tire plants
set to expand operations to the
close of 1885, the Federal Reserve
index should easily reach 80 per cent
before the new year begins, making
the best showing for the quarter
in five years.
Accompanying this production
record is the equally significant i'm
provement in employment and pay
rolls. September marked new
peak in both for the present re-
vival, bringing manufacturing en-
ployment back to the November,
1880, level and pay rolls to the best
levels since May, 1881. Factory
employment and pay rolls have been
on the rise since July, employment
expanding 5 per cent. pay rolls more
than 10 per cent.
Gains in manufacturing indus
tries have contributed most to re-
ducing the volume of unemploy-
ment. Omitting consideration of
the net increase in new workers,
the September unemployment of
100000 was the lowest since Au-
gust, 1881. But the net increase in
the working population, added to
the 100000, brings the total unem-
ployed to just less than 9,500,000
the lowest in IA months, according
to records compiled by the Con-
ference Board.
Unemployment Halved
"Since the March, 1885, peak, un-
employment in manufacturing and
mechanical industries has been cut
in half; that in trade by 38 per
cent; in domestic and personal serv-
ice by SO per cent; in mining by 81
per cent and in transportation by
only II per cent.
From farm areas comes the news
that September farm cash income
increased by more than the usual
amount over August. With $56,000,-
600 of benefit payments added to
$685., 100000 of income from sale of
farm products, cash income rea&hed
the high of the year Estimates for
1885 have been stepped up to S.
300 900, compared with $6,4O0,000 for
1894"