Evening star., 1936-01-05
Many Retailers Find Stocks
Of Goods Substantially
Below Year Ago.
WHOLESALERS PREPARE
FOR RUSH OF BUYING
Cotton Mill Activity Maintained
Under Demand for White Goods
in January Promotions.
BY RAIDER WINGET,
Associated Press Financial Writer.

Retail trade with surprising re-
siliency rebounded last week through
out the Nation from the poSt-holiday
slump with a greater ease than that
recorded by many sections of industry.
Computed by total sales, the drop
from Christmas week was substantial,
but when compared with the trade
action of a year ago the decline was
less marked.
Industrial activity, as measured BY
the seasonally adjusted index of the
Associated Press, declined to 85.2 per
cent of the 1929-30 average from 86.2
per cent the previous week because of
reduced steel mill production and
freight carloadings.
Retailers in many Federal Reserve
districts reported their stocks of goods
substantially lower than a year ago,
and in one locality it was found un-
necessary to resort to drastic clearance
sales to move out left-overs. Incle-
ment weather cut sales in some cities.
Expect New Orders.
Wholesalers felt their trade for the
most part progressed in the usual sea-
sonal fashion. but there was evidence
of general preparations for an ex-
pected rush of buying orders from re-
tailers.
New York centers anticipated a
much heavier than usual influx of
buyers from other sections of the coun-
try this week, and Chicago authori-
ties declared there was a greater de-
mand than year ago for space at
trade shows currently opening.
Automobile production last week
still was on a curtailed basis because
OF the New Year holiday, but the level
was greater than in previous years.
1t was felt that this weeks output
will supply a more accurate gauge
by which to judge the inroads, If any,
the earlier introduction Of models will
make on the ordinarily high January
end February manufacturing rate of
previous years.
Steel mill activity declined to 46.7
per cent Of capacity from 49.5 per cent
the previous week, as estimated by the
American Iron and Steel Institute. A
year ago the rate was 39.2 per cent.
Later estimates by other authorities
indicated there was slightly higher
upward movement in the rate last
week than previously forecast.
Cotton Mills Hold Pace.
Cotton mill activity remained under
the spell of demand for white goods
for January sales and the rate of
operations was unaltered from a week
ago
Electric power production during
the week ended December % fell ~
per cent from the previous seven
days, which had established a high
mark of more than 1000 100000 kilo-
watt hours, but the decline was much
less than the average for this time
of year and was considered very ia
vorable.
Freight carloadings for the same
period fell abruptly to 466,679 cars, a
greater drop than average by a con-
siderable margin. The total for all
of 1885 was % per cent higher than
1884 and was the best year since 1881.
Statements Cheerful.
Holiday periods Of the last two
weeks were enlivened by year end state
ments Of business and financial lead
ers characterized by a general opti-
mism on the business outlook. Au-
thorities were less hesitant in putting
their thoughts on paper than for many
a year, and gloom stamped the fore
casts only in rare instances.
Some analysts believe the year end
comments pointed to possible Federal
Legislation as the largest cloud on
the busineSSman's horizon, but the
presidential message to Congress re-
assured many because of the absence
OF any Roosevelt recommendation for
specified new legislation affecting busi-
ness
The first and most noticeable effects
of the American Canadian trade treaty
appeared on the initial day of the year
with reductions in imported and some
NSA~oOAS AAOOA PAANCc.
Detailed Reports Given.
Detailed reports from individual
Federal Reserve districts follow:
BOSTON.-The shoe trade was
cheered by preliminary reports that
1885 production would top 1884 by a
substantial margin. Wool prices were
stronger and business brisker. Cotton,
however, was quiet, although many
mills were filling Fall orders.
NEW YORK. - The post-holiday
trade let-down was not excessively
pronounced. and sales of furs and
white goods at retail were heavy in
the metropolitan area. Many stores
reported low stocks. Wholesalers ex-
pected a heavier than usual influx Of
out-of-town buyers this week. Buffalo
steel operations rose points to so per
cent.
PHILADELPHIA retail stocks
and practically no distress merchan-
disc marked year end. The holiday
shopping period closed with the most
satisfactory conditions since 1891. The
six-day pre-Christmas sales volume
was estimated Is per cent over the
1884 period.
CLEVELAND.-Retai trade gained
under the impetus of seasonal sales.
Cleveland Lorain steel operations
gained 80 and Youngstown points.
Toledo employment increased slightly.
District bank debts for the January
week were 2l.5 per cent over last year.
RICHMOND.-Ill winds Of Winter
blew good to retail business In the
fifth district as demand for seasonal
goods bolstered buying in the after
Christmas decline. Sales totals we're
reported ahead of the same week Of
last year. Bank debts about kept pace