Evening star., 1936-03-01
Break in Severe Weather
Brings Resumption of
Retail Activity.
SLOWER RESPONSE SEEN
AT WHOLESALE CENTERS
Merchants Must Move Stocks Be.
fore Recorders Gain-Spring
Lines Attract Attention.
BY RAIDER WINGET,
Associatei Press Financial Writer.

| Associated Press Financial Writer.
| Definite economic progress on ma
tional scale was fostered last week by
the forward movement of retail trade,
expanded primary production and a
mounting total of highly favorable
corporate reports.
A break in severe weather permitted
a resumption of shopping. Merchants
| in every Federal Reserve district IN
the country found cause for optimism,
| although some recorded only slight in
| creases in sales totals after several
weeks Of snow and subzero cold. which
in some cities and rural communities
had stopped trade dead.
The turning point came about mid
week, judging the Nation as a whole.
with the change from dullness to bet
ter trade depending on moderations Of
weather.
A report by the Department Of Com
merce for 80 cities for the week ended
Wednesday declared: THE slackened
pace of retail trade extended into an
other week under the retarding influ-
ence of cold weather, although there
were indications that where the tenn
perature had moderated the low point
has been passed"
Await Retail Response.
Wholesaling was seen by most COM
mentators as slower to respond, since
merchants now must move stocks of
their shelves before reordering gains.
Spring lines, however, received new at
tention in the principal buying GEN.
/ tiers.
The Associated Press index OF in
dustrial production, adjusted for sea-
sonal variation. remained unchanged
at 1877 per cent of the 1929-30 av-
erage.
Most prominent news affected rail-
roads and steel mills.
Although carloadings for the week
ended February % declined more than
expected for this time of the year--by
1855 cars to 5S6,7l2 cars-a compi-
lation of January revenues for 50 car
riers showed the gross up 1925 per
cent from January Of 1895 and the
net operating revenue up so per cent
over a year ago.
Rate cuts in basic passenger fares
| to 2 cents from 3.6 cents mile and in
| Pullman travel to 8 cents from cents
provided the outstanding question OF
the week.
Eastern roads will be affected most
when the new schedules 60 into eject
June 2 under Interstate Commerce
Commission order, since Southern and
Western lines have had low fares IN
effect for more than q year.
Rail Chiefs Silent.
Most of the Eastern railroads de-
clined to comment after fighting un-
successfully against the order, but
champions of the new rates declared
passenger travel should be increased
enough to return q profit on balance.
Steel operations advanced to S2.9
from SIT per cent of capacity. as
estimated by the American Iron d.
Steel Institute, and there was q re-
vival of price discussions Tor
the second quarter Of the year. -..-
Bolstering the arguments in favor ot
the rise was the increase In the Iron
Age composite scrap steel price to
$I4.67, the highest point in nearly
five years.
During the week the Bethlehem
Steel Corp, New Jersey company.
effected an intercorporate merger
which permitted incorporation Of Q
new company by the same name In
Delaware, thus permitting savings on
Federal taxes and economies in oper.
ations. .~--
Jones g. Laughlin Steel Corp, fourth
largest In the domestic field, sought
permission to issue S40.000,000 In
bonds, s31 100000 Of the amount to
be used in constructing new plant.
Lead Also Advanced.
Along with the rising steel quota
tions, lead. was increased 50 a ton to
AS cents a pound. East st. Louis, and
zinc was advanced 81 a. ton to $50
cents q pound. East st. Louis. Rising
demand for both metals caused the
! boost.
Announcement of the need for ST..
lat ,000, 900 In new taxes for the bonus.
the new farm program and to make up
deficiencies caused by abandoned proc
essing taxes, caused little surprise. but
financial centers still worried over
where the money eventually will come
| FROM.
As predicted by observers week
ago, automobile production turned up
ward last week for the first time in
nearly two months. Production was
estimated by Grams at 64.S56 units.
against 62,sl3 units Q week before.
The Associated Press index Of elec-
trio power production for the third
time this year hit new peak for the
week ended February % at 1867 per
cent Of the 1s29-3o average.
Detailed Reports Given.
Detailed reports on trade from In.
dividual Federal Reserve districts FOL.
low: r.
BoSTON-The demand for shoes
and leather remained light, and the
wool market was rather slow. An ex.
pected shortage OF some spot cotton
goods was felt. Small premiums were
paid in few instances. Boston retail
trade gained. -,
NEW YORK-Mild weather aided
New York metropolitan retail trade.
In wholesale markets. Spring mer.
chandise and garden tools were intro
duced. Electric appliance sales gained
20 per cent over year ago. out-of-
town buyers were expected to enter
the market this week In large numbers.
Buffalo Steel was steady.
RICHMOND-Retail trade In the
fifth Federal Reserve district showed
. spirited upward swing last week In
response to favorable weather. r..
ports also indicated wholesale trade
recovered 'lSns with retail.