Evening star., 1937-03-28
Easter Flow of Dollars Lifts
Trade to Spring Flood
Stage.
STRIKES TAKE TOLL
IN FACTORY DISTRICTS
Areas Affected by Detroit Tie-Ups
Show Losses From 1885 as
High as 33 1-3 Per Cent.
BY THOMAS E. FLANAGAN,
Associated Press Finan 'Ial Writer.

Easter shoppers poured an invigo-
rating flow of dollars into the Nations
business stream last week, lifting trade
to the Spring flood stage.
| Despite higher retail prices, mer-
at brisk clip in many trade centers,
merchants reported. The Easter rush
was believed in some quarters to have
brought recent retail expansion to
temporary climax.
| Industry exerted itself to keep pro-
duction going about at top speed for
the recovery. But there we're indi-
cations of a tapering in the Spring
rise after steel, textile, oil, metal
working and other industries had re-
gained predepresslon levels.
Nor did all Easter trade reports
match expectations. The Department
of Commerce in its summary of re-
ports from 81 key cities noted some
inconsistency" compared with the pre-
Easter shopping week last year, all
though the festival influence was
credited with raising distribution gen.
orally to decidedly higher levels than
the preceding week and the same week
last year
The Government summary ex-
planned Detroit strikes at last have
begun to take their toll Of retail trade"
Continuance Feared.
In the factory districts" it con-
tinued, retailers reported losses Of
33la per cent from last year, although
the general level of retail business in
Detroit was 10 per cent above the 1886
period.
| 1T was feared, however, continue
ance of the strikes for any length OF
time would seriously affect trade In
dustrial power sales in Detroit dropped
per cent from the previous week,
but were 6 per cent above last year"
Evacuation of the Chrysler plants
by sit-down strikers moved Wall Street
to take brighter view of the labor
situation and raised hope for a de-
cline in the strike wave. indicative OF
better feeling in financial quarters
was moderate rally in bonds, halting
the steepest decline in the investment
market in several years. Stocks also
found the Spring air more bracing.
| Along the industrial front steel con-
tnued to carry the recovery banner.
Domestic mills were figured to be
turning out metal at record rate,
with operations at nearly 80 per cent
of capacity on further advance to Q
new high since September, 1929
American Iron g. Steel Institute put
the industry's operating rate at 896
per cent of capacity, an increase Of
seven-tenths of point over the pre-
ceding week A year before the rate
was 537. However, the pace of ex-
pansion slowed after squirt which
had lifted operations from 825 per
cent in month.
Steel BackIogs Huge.
Trade sources reported steel makers
remained in sellers market rivaling
1929 and wartimes and had reserves
of untitled orders sufficient to keep
them going some time
Hauling heavy tonnage of coal and
other steel-making supplies as we'll as
larger volume of miscellaneous freight,
railroad loadings widened a gain over
last year. Loadings touched a new
peak for the year at 759,269 in the
week ended March 90 an increase Of
33.5 per cent over the comparable 1885
week, when floods hampered trans
portation.
Despite the rise of steel and car
loadlngs TO new peaks, the Associated
Press index of industrial activity for
the latest week receded to 1049 per
cent of the 1929-3O average. compared
with 1859 the preceding week. The
comparable 1886 figure was 81.3.
Mainly accountable for the setback
was drop in the automobile produce
ton index, allowing for seasonal
change. With Chrysler, Hudson and
REQ production hit by strikes. Grams
reports put the weeks outturn at
l0l,805 units, compared with 99,450
the previous week and lO5,4l5 in the
comparable period last year. Motor
men have been forced to discard hope
Of challenging 1929 production figures
this month.
Power Output Higher.
Electric power output maintained q
wide gain over last year. Cotton, rayon
and other textile mills held a peak re-
covery operating rate Textile demand
was bulwarked by ordering of Fail
woolen lines, moved partly by the urge
to guard against rising prices.
| OF wide interest in business circles
was further relative gain in private
construction, offsetting curtailment of
publicly financed building. Trade fig.
ures revealed private engineering con-
structlon awards for the latest week
were more than double the comparable
| total last year, with the aggregate the
second highest of the year as builders
prepared for outdoor work with the
advent Of Spring.
Additional plant improvement an
nouncements pointed to one Of the
main sources Of private building re.
vlval American Rolling Mill, an I'M
portant steel unit, outlined a $l2,26O,.
900 expansion program and the Chew
rolet division Of General Motors an
nounced plans for $2,5OO,O00 plant
at Buffalo.
Evidence of foreign trade gains were
seen in reports Of merchandise i'm
ports SO heavy they congested some
piers in New York. Rising prices and
production have speeded incoming
movement Of raw materials, such as
rubber, wool and some metals.
RICHMOND-Departme store sales I'm
about 7 per cent over 1896 week Whole-
sale trade gains ranged up to about so per
cent for the frst two months Easter buy
ing boosted sales. but cold spell toward
week end DISCOURAGED demand somewhat
WASHINGTON entertained largest influx of
visitors IN several months;
.ATLANTA-Retail trade held Easter
stimulated gains. Steel operations in
Birmingham district steady at 81 per cent
Of capacity. Easter trade expected to b
about 25 per cent higher than in 193G