Evening star., 1936-03-01
JUMP PREDICTED
IN TRADE VOLUME
<
Rush of Buyers Expected
When Weather Turns
81
More Favorable.
Special Dispatch to The Star.

Special Dispatch to The Star.
NEW YORK, February 29.-"Weather
still holds business in its grip, curbine
the usual expansion in Spring Zines
Nfetarding shipments and giving an
unseasonal flip to coal production, "
Business Week reports in its issue to-
day.
"Cold, rain, floods and even dust
storms have occurred, checking retail
trade and thereby causing factories to
reduce production and employment.
Yet there is no misgiving over busi-
ness prospects in the next few months.
=: ION the contrary, there is grow
Ing feeling that when weather condi-
tions permit, there will be such a
rush of buyers seeking goods for i'm
mediate delivery that producers will
be hard-pressed to supply the demand.
With the farm bill set to slide through
Congress. even the premature fears
about the farm market should disap-
pear.
'In the durable goods field, the
weather has been less important
the long-range view of business re-
covery has motivated purchases. Rail-
roads have entered the market with
orders far rails. freight cars and loco
motives in such numbers that the
steel industry itself is amazed.
Machine Trade Active.
machine tool business from domes-
tic sources hit new high in January
fer the present recovery period and
all indications point to equally good
business through March and perhaps
April. Farm equipment companies
stepped up their forces in January by
& per cent to take care of Spring
demands from agricultural areas, max
ing q 400 per cent increase from the
1882 low. Office equipment plants
also increased their stats early this
year in expectation of brisk business.
-."Not only have the railroads gar
rered some extra tonnage and a few
passengers as result of snoW-blocked
highways, but the urban transit lines
have profited also. Transit Journal
reports that when the public deemed
1t wiser to get to work or to shopping
districts by using public transporta-
tion 1t boosted revenues nearly per
cent above the same weeks of 1885.
In the construction field the sea-
sonal February drop from January
levels was no surprise. But Engineer
ing News-Record's totals of heavy con-
struction contracts reached $164, ,499. =
600 in February, compared with
$ss,o8s, 900 year ago.
Expansion Affected.
"The T. v. A. decision, plus the
later P. w. A. decision in the Duke
power case, have tempered the utility
-industry's enthusiasm for carrying out
the expansion program that had been
lined up earlier in the year, requiring
$371.557,774. Estimates that the ex-
penditures will be cut to nearer
sl0o,000,000 are too gloomy. Power
consumption is at new highs and bound
to rise further this year. Severe
weather and breakdowns are taxing
the transmission lines. so the utilities
will have to do lot of spending.
Steel production reached the years
high this week without benefit of
motor business. Railroad and con-
struction buying continues to expand
and to support steel activity. Dis
turbing element in steel is the price
situation. The strength in scrap is
due to the curtailed movement Of
supplies after the severe weather of
recent weeks and to export demand,
chiefly from Italy
Retail sales in 1885 jumped IA per
cent over 1884 and reached a total of
S32,600 100000, the best since 1881.
The biggest gains were in mail order,
automotive, home furnishings, lumber
and restaurant sales"