Evening star., 1938-11-13
Motor Activity
Holds Interest
Of Business
Output Jumps Ahead
Of 1887 for First
Time This Year
BY THOMAS E. FLANAGAN,
Associated Press Financial Writer.

by IdOMAS T.. FLANAGAN,
Associated Press Financial Writer.
Fresh vitality in the motor indus
try captured the attention of busi-
nessmen this week.
The motor news overshadoWed re-
ports of spotty business in other
sectors.
For the first time this year auto
mobile production jumped ahead of
the like week year ago. Officials at
the National Automobile Show, in
New York, reported the biggest
crowds in 10 years when new models
went on view. Prospective buyers
there showed more readiness to buy
than at any other time in several
years.
General Motors Corp reported
increases in October sales to both
dealers and consumers. Statis-
tics from the Detroit area-a ira
ditional barometer for the industry
-bolstered the hopes of motor men.
They showed that in the latest week
new passenger car sales jumped
over the preceding week and topped
those of last year by 745. Cleveland
reported automobile registrations
about 1,100 above the like week
year ago.
Other Divisions Gain.
Other divisions of trade and in
dustry reported irregular improve
ment. Steel operations rose to the
highest point since the week of Oc-
tober II, 1887. Electric power con-
sumption was whitfield down trifle.
Carloadings sagged moderately. Re-
tail trade got a lift from cooler
weather in numerous regions.
While warmer weather in some
sectors hindered retail trade, the
Commerce Department reported it
had proved "a stimulus to the motor
car industry"
Those who dug under the statis-
tical surface of business news found
scattered indications of stiffening
sentiment. For instance: General
Motors declared dividend of IS
cents on its common stock-a sum
larger than expected in Wall Street.
Telephone installations increased in
some centers. A pickup in street
car travel in some cities bore wit
ness to more workers returning to
jobs.
Heavy Industry Stirs.
In heavy industry there were
modest STRINGS. A few concerns
indicated they we're going to spend
for plant and equipment. Railway
equipment demand showed some
additional life.
Whatever encouragement the ex-
perts took from these developments
was tempered to some extent by
other considerations.
Strike clouds darkened the motor
horizon. The steel industry reported
that demand for heavy products
remained at low ebb. The need for
new railroad equipment was studied
in the light of continued financial
embarrassment which kept some
systems out of the market.
The new capital market-a main
bloodstream of business-remained
comparatively anemic. Reports
from Wall Street said that numerous
COl1SC11lO "CAC CdAhAAiS Va
new financing but had been slow
about putting plans into effect.
Building Improves.
There was evidence of continued
betterment in the building field.
Government spending continued
big factor in building activity.
During the week these industrial
statistics were issued:
The American Iron and Steel In
stitute reported production up to
81 per cent of capacity This COM
pared with 568 the previous week
and Al in the like week last year.
] Neither election nor Armistice days
.. were holidays in the industry.
The Edison Electric Institute re-
ported that for the week ended No
vember power production totaled
2 2,207 ,444,000 kilowatt hours, a slight
decrease from the preceding week
and 2 of l per cent over the COR
responding week of 1887.
The Association of American Rail-
roads reported that for the week
ended November carloadings
totaled 673,333 a decrease of per
cent from the previous week and
7.6 per cent under the like week
year ago.
Wards automotive reports esti-
mated automobile output at $4,000
units, compared with 10000 the
previous week and 83,325 in the like
week last year.
Cooler Weather Helps.
In it's review of business In IS
key cities. the Commerce Depart
ment said:
I'm most cases where cooler
weather had made its appearance,
retail transactions were enlarged.
and an increasing number of cities
reported definite advances over last
years volume. Metal markets
responded favorably to the high
steel operating rate and the in
creased consumption of copper and
other non-ferrous metals. Textile
centers, on the whole. had a good
trade, though certain branches were
slowed up by the recent long stretch
of warm weather. Wholesale
trade continued to improve. -
six hundred and fifty manu-
facturers participating in Chicago
market week reported orders 81
per cent larger than last year, with
prices showing little change, and
attendance some 5 per cent ahead
of last year."
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