Evening star. [volume] (Washington, D.C.) 1854-1972, 1936-01-26
Cold Wave, Sag From Yule
Peaks and Financial In:
certainties Cited.
BUYING AT STANDSTILL !
IN SNOWBOUND AREAS
Wholesale Markets Busy With
Spring Plans-Exceptionally
Low Stocks Revealed.
BY RAIDER WINGET.
Associated Press Financial Writer.


ton took beating last week from q
threeway combination of subzero
weather, a reaction from higher than
average December business. and finan-
cial unsettlement in domestic and
foreign capitals.
In many almost bound COM
munities shopping was practically at
a standstill. but there was rush for
such Winter supplies as heavy cloth.
ing. heating equipment and fuel.
Both before and after the most Grip.
pling part of the cold wave retailers
recorded normal sales volume for
this period of the year. and the average
for the past several weeks in the coun.
try as whole maintained a fair
margin of increase over the corre-
spending l934-35 period
The Department of Commerce. In
survey of SO cities for the week ended
Wednesday. declared retail trade gen.
orally maintained its upward trend.
THE slowing down was attributed
largely to severe weather conditions
which made shopping difficult in many
cities" it was stated.
There were indications also in some
places OF reactions from the heavy
holiday business and the large volume
Of special sales extending to mid.
January"
Advance Showings Given.
Wholesale markets, on the other
hand, were busy with Spring prepare
tons, and advance showing of naer.
chandise in some cases brought the
most enthusiastic response in years.
Inventories revealed both primary and
secondary distributors were maintain
ing exceptionally low stocks.
On the production side the Asso.
ciated Press index OF industrial ac-
tivity, adjusted for seasonal variation,
declined to 841 per cent of the le29-3o
average from $50 per cent the previous
week, the widest recession since August
Of 1884.
The only movement against that
trend was in the production of steel
which was estimated at 499 per cent
OF capacity by the American Iron &
Steel Institute compared with 4o.4
per cent the previous week and 49.5
| year ago.
! Iron Age scrap steel composite
price, however, increased slightly to
1888 ton, to the highest level in
several years.
Automobile production fell to ST..
Ais units as estimated by Grams
from 95.l70 units the week before,
and compared with 6S,4e0 in the
similar 1885 week.
Takes Edge Of Output.
Such action was looked upon as
another jot in the evidence so far
that the speed-up of production in
the latter part of last year is taking
some of the edge off this years out
put. 1t was stressed by authorities,
however, that the drop was not ex-
cessive.
The movement of freight for the
week ended January 18 was Gil, 408
cars, compared with 6l5,028 the
previous week. but there were predic.
lions that last weeks carloadings we're
benefited substantially by what
amounted in many cases to emer-
gency shipment of fuel and other
necessities to cold-stricken regions Of
the country.
Cotton manufacturing. electric pow
er production and residential building
for last week and the week before
were lower because of the A. A. A. de-
mise IN the first instance and weather
conditions. perhaps, in the second
and third cases.
Markets Unsettled.
Security and commodity markets
were unsettled by the death of King
George v and the fall of Premier
Pierre Lavafs cabinet in France.
Although in France Premier AL.
bert Sarraut's cabinet took over the
reins of government with no startling
economic program formed. the finan-
cial world awaited testing of the
new leaders in action.
Toward week end there was a Curl
GUS uneasiness in financial markets
produced by widespread rurmors Of
impending change III the American
were met with denials or silence in
Washington.
Analysts listed the rumors as re-
valuation of silver, an increase in the
price of gold, international currency
Sterilization, decrease in excess bank
reserves and new taxation program
to replace the control measures of the
agricultural act. 4
Only positive developments Of q
financial nature during the week in
Washington were the predicted pas.
sage Of the bonus and the unheralded
raising Of stock margin requirements
by the Federal Reserve Board. !
Detailed Reports Listed. 4
Detailed reports from Individual
Federal Reserve districts follow: =
BOSTON. - Disagreement over
wholesale shoe prices halted an ex-'
pected large volume market. The
turnover in wool was fair. but cotton
showed no pronounced change. Re.
tail trade was maintained at about S
per cent over the level Of year ago.
NEW YORK.-Retailers continued
at about 10 per cent over 1885 despite
raw weather in the metropolitan areas
Liquor sales were some Is per cent
ahead of 1895. Furniture shows
brought more buyers than ever befores
Doubt over processing tax refunds held
cotton goods markets m the doldrumss
PHILADELPHIA epartm ent
store trade was under year ago, with
unfavorable weather as a contributing
cause. Clothing manufacturers said
they are preparing for heavy Spring
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