Evening star., 1936-06-21
Retail Volumes in Some
Areas Checked by Heat
and Drought.
FACTORY DISTRICTS SET
BEST PACE SINCE 1890
Shopping Shows First Signs of
Summer Lag-Wholesalers Far
Ahead of Year Ago.
BY THOMAS Z. FLANAGAN,
Associated Press Financial Writer.

The Nations industry, Striding alour
at better than normal pace. turneI
in a somewhat brighter record than
retail trade last week.
Although boosted in most sections
by the approach of Summer, retail
business in some regions was slightly
withered by heat and drought.
The Associated Press index Of in
dustrial activity advanced to 9O9 per
cent of the 1929-30 average from 9O.3
the week previous and reached the
highest peak since the Summer of
1880.
Upturns, indicating better than sea-
sonal performances, were scored by
steel mill activity, automobile output.
cotton manufacturing and electric
power. The residential building index
held steady, while that for carloadings
was down little.
The weekly Department Of Com
merce survey for So cities said: Re
tail trade showed the first symptoms
of Summer weakness as heat and
drought became retarding factors in
narrowing the margin of gain over
last year.
Recorders Received.
wholesale lines Jared better under
a fair run of recorders, while interest
was also being manifested in Fall
goods, and the volume ran well ahead
of last year ..
Employment levels improved in
many sections. Heavy gains in travc.
were reported quite generally"
While trade reports said merchants
were well heeled to meet buying re-
sulting from the s2,O00,000,O 900 soldiers
bonus distribution, consensus was the
effect on business cannot be deter
mined for some time.
Grams estimated automobile out
put advanced to 100,733 units last
week from 1OO,415 the preceding week
and 9o,561 in the like 1885 week. The
upswing was accompanied by opinion
in automobile circles that good part
of current production is moving into
consumption.
Steel mills pushed output up notch
to 70 per cent of capacity from 69.5
the week previous and 38.3 per cent
in the corresponding period of last
year.
Small Decline Likely.
Steel experts said indications point
to less than usual Summer decline
in operations. Some said the ac-
ceptance by some steel companies OF
orders at current prices for later de-
livery will stave off the possibility Of
a sharp drop in July.
Despite denial Of steel men OF re-
ports of 10 per cent wage increase,
usually well-informed sources close to
the steel industry said the wage ques-
ton was not closed Should improve
ment in the industry continue, it was
argued, the wage problem might arise.
Car loadings decreased to 686,812 in
the latest week from 695 845 in the
preceding week but were 5.3 per cent
over the corresponding period of last
year. The drop occurred in spite OF
an upturn in shipment of coal Incl
dent to industry's momentum
Construction Scars.
Engineering construction awards last
week totaled S57 ,62l 900 against $32,-
$4,000 in 1885 as manufacturers took
steps to gear up plant and equipment
after long years of wear and tear.
Commodities knocked down some
records. Wheat rushed up sharply on
drought reports. Cotton, long droopy,
crashed through the 12-cent a pound
mark with the July delivery in the
lead on announcement that the A. A,
A. pool had liquidated its holdings OF
that contract. Cocoa and sugar 1u-
lures scored new tops.
Strikes in Europe. tax legislation, III
dications that sanctions against Italy
might be dropped and the declaration
of the French finance minister that
the franc would not be devalued were
important factors in the weeks tide
of financial news.
Share prices on the New York Stock
Exchange worked irregularly higher.
bolstered by improved domestic buSi-
ness.
Detailed Reports Given.
Detailed reports on business condi-
tions by individual Federal Reserve
districts follow:
New York-Retail trade in the
METROPOLITAN area held at 10 per cent
over year ago Bonus spending was
not I'D to expectations. Wholesalers
prepared for Fall and dry goods job
bers were busy. Foreign orders for
machine tools Surpassed domestic busi-
ness.
BOSTON.-Cotton dealers declared
q covering movement in the market
led to slight increases in many fabric
prices. Mills displayed a tendency to
curtail when no business was available.
The wool market was firm, with a less
ening of activity.
PHILADELPHIA found
a sustained 10 per cent gain over 1885.
Sales of new automobiles ran close to
peak levels. Drugs and shoes eased
at wholesale. Building and plumbing
supplies moved briskly. The silk dress
division was dull
CLEVELAND.-Heav buying by the
auto industry and miscellaneous de-
mands kept steel operations strong.
Auto parts plants were busy and tire
replacement sales were better than
seasonal. Retail trade was of slightly
on the week, but ahead of 1885.
Richmond Gains Shown.
RICHMOND.-Retail trade kept
high and wholesalers received replace
ment orders In anticipation Of price
rises. Washington department store
sales were up 2.5 per cent on the
week and three-tenths of / per cent
over the 1885 week }
| ATLANTA.--Buyers favored mems haber:
| dashery and home furnishings. Retail and
| department store trade was good. Birming.
ham steel operations dropped TO 5S.4 from
so per cent Of capacity,