Evening star., 1938-01-30
BUSINESS SLOWER
|. AS STEEL ORDERS
| LAG DURING WEEK
CarIoadings, Auto and EIec.
trio Outputs Show Mod
crate Declines.
RETAIL TRADE SPOTTY:
OTHER BAROMETERS OFF
Wall Street Stocks Slump ana
Bonds Join in Irregular
Selling Movement.
BY THOMAS E. FLANAGAN,
Associated Press financial Writer.

| Associated Press financial Writer
The Nations business receded last
| week.
Once more the steel industry ac-
celerated operations, but demand was
slow in most sectors. Moderate losses
were posted for electricity output, car
loadings and automobile production.
Retail trade, for the most part,
slipped back into slower tempo" the
Commerce Department said in its sur
vey of SO cities.
There was corresponding easing
on in wholesale activities. While
orlgnt spots were apparent here and
tnere, the reports in the main pre-
sented a rather unhappy chronicle
OF the current business picture, with
evidences of growing UNEMPLOYMENT
being one of the distressing factors"
Inc Associated Press index of in
dustrlal activity declined to 1872 from
1874 the previous week.
Steel Operations Higher.
The steel industry stepped up opera
tions to 327 per cent capacity from
29.S the previous week. the American
Iron and Steel Institute estimated.
IN the corresponding week last year
tne rate was 77.9 per cent.
Except for railroad buying and some
building and construction Jobs Of fair
Size. current orders are small, Iron
Age reported.
The motor industry, normally
heavy consumer of steel, has been
taxing but a fraction of the amount
1t bought at this time last year. Busi-
ness expected a week ago from two
important makers failed to material
ize, steel circles reported.
The stock market-traditional bar
ometer of the Nations business hopes
and fears-went into a slump. Wall
street analysts said the largest batch
OF selling orders followed the state
ment Of President Roosevelt that in
oustrlal prices should be cut and
wages maintained in order to sluice
new activity into business channels.
Trade Situation Spotty.
Bonds were irregularly lower. High
priced railroad bonds yielded with
liens in the medium and low-price
brackets. Most important raw ma
terials gave better account of them
selves than securities.
Reports to the Commerce DEPART
ment on business conditions follow:
New York department stores had sales
a little under a year ago Boston.s
retail turnover was about even with a
year ago. Philadelphia and Cleveland
madesa brighter showing.
Retail losses were noted by Chicago.
St. Louis. Kansas City. San Fran
cisco, Detroit, Pittsburgh, Milwaukee
and Omaha, but trade improvement
was reported in Dallas, Seattle, New
Orleans and Atlanta.
Motor Output Declines.
Steel men. attempting to gauge the
outlook, found the motor industry
provided little cheer. In the week
just closed, output dropped to 59,365
units from 65,418 the week before
and compared with 76,62O in the like
1897 week, Wards Automotive Re-
ports said. The survey added indi-
cations were the general trend would
be somewhat lower for the coming
weeks. 1t estimated February pro-
duction at about 100000. This would
be downswing of about IS per cent
from the like month a year ago.
In the week ended January %
freight carloadings totaled 57O,333
cars, decline of l.8 per cent from
the previous week, the Association of
American Railroads reported. This
was 14.3 per cent under the corre-
spending period last year. Lower ship
ments Of coal and miscellaneous
freight helped pull the total down.
Dividends Cut or Passed.
Production of electricity totaled
2,l08,96 900 kilowatt hours in the
week ended January %, the Edison
Electric Institute reported This was
0.3 of per cent under the previous
week. decline which experts termed
less than usual at this season. Out
put was 66 per cent off from the cor.
responding week of 1887.
Observers scanning the national
business scene found most indicators
tilted lower. For the eleventh con-
secutive week bank clearings dipped
in leading cities, Dun g. Bradstreet
said. Cash money in circulation. a
measure Of the pulse of trade. was
down. Several industrial companies
either cut or omitted dividends.