Imperial Valley press., 1937-09-06
BUSINESSMEN
NOTICE GAINS
DURING AUG.

searcn Department OF Security
First National bank will say:
Business activity in southern
California registered a noticeable
gain iu August from the previous
month This marks the second con-
secutive periord that local business
has advanced, placing this Banks
index at 97.b preliminary as COM
pared with the recent low of GAS
in June The August level is the
same as that of last January bu,
below the recovery high of Decem-
ber 1886.
Factors contributing to the rise
included retail trade, building per-
mits, automobile sales, telephones
in use and bank debts in suburan
communities. The industrial situa-
ton showed improvement on the
average. An important gain was
made in the production and refin-
ing oil, stimulated by unusually hea-
Wy demands for gasoline on the
west coast and increased purchases
OF petroleum products in the Orient.
Los Angeles department store sales
showed a substantial gain over July.
Agricultural income prospects con-
tinue unusually favorable.
Despite moderate improvement
in many local lines of activity, ma
tional developments in August
tended to create a new wave OF
pessimism among business men con-
cerning the outlook for the fan
months. Factors affecting senti-
ment adversely include Cd fear that
the far-eastern war crisis may de-
velop more serious international
complications, % possibility of in
creased interferences with produc-
ton from labor disputes, particul-
arly those between unions, CD
doubts concerning the volume OF
national industrial production over
the near future, (4 marked de-
clines in the stocks and bond mar
kets, and 80 the possibility that
the President will call an extra ses-
sion of congress in November.
Whether the present case of "jit-
ters", particularly in the financial
community. is justified is proble-
matcal in the minds of some obser-
vers. .-
A note of encouragement was
sounded in August by the upturn
in the volume of building permits
issued in Los Angeles. Although OF
minor proportions, this gain occurs
at a time when the seasonal pat
tern is usually downward. More
over, it marks reversal of a down.
trend which has been in evidence
since April. Reports from builders
and real estate dealers also reflect
moderate improvement in public
interest in homes and lots. A fac
tor which may prove significant
as the weeks pass is the decline IN
vacancies evident in almost al
classes of properties since May.
There is every indication that
1897 income from California crops
will be the largest since 1929. Con-
oitions are very satisfactory in the
san Joaquin Valley which is enjoy
ing the combination of large crops
at attractive prices.
Local retail trade took turn 1of
the better in August with down.
town department stores showing a
gain over a year ago of almost II
per cent. This increment Is the
bsst shown since March. 1t is note
worthy that most of the current
gain in sales volume is reflec-
ton of the advance in prices which
now stand about 9 per cent over
a year ago on department store
merchandise.
Largest sales gains over the cor
responding month last year con-
tinue to be registered by furniture
stores and furniture departments
in department stores.
Stores in suburban and rural
communities made August showings
superior to those of July. Cams
were moderate in most cases how
ever AS in other recent months
san joaquin Valley merchants, par
ticularly these in Fresno, expert
enced the best results. The Valley
is ENJOYING one of the most pros
porous seasons in many years as
reult of the combination OF large
crops at favorable prices.
Preliminary data on automobile
sales reveal a favorable perform
snce in August, with total registra-
tions Of new cars exceeding II 800.
A year ago. when the soldiers bon
us was still being spent, sales II
the IL southern counties aggregated
1888. .-
The aircraft industry continued
It's active rate of production in Au-
gust with several plants materially
increasing deliveries over the level
of previous months.
The cultivation OF cotton con-
tinues To show rapid expansion III
California, with acreage 65 per cent
above last year and estimated pro-
duction up 81 per cent.
rz3oi,i,,a ie oanaral in ImDerla