Evening star., 1938-04-08
ACTIVITY P|CKSU Up
IN HOME BUILDING
Reserve Board Reports
Improvement at End of
First Quarter.
By EDWARD C. STONE.

BY EDWARD c. STONE.
Reviewing business conditions in the
first quarter of 1898, the Federal Re-
serve Boards April bulletin finds more
optimism in construction industry con-
tracts than in other lines.
The review states that contracts for
residential projects, which in January
were about so per cent smaller than
a year ago, subsequently increased
more than seasonally and in the first
three weeks of March we're only IA
per cent smaller than in the like
period year ago.
The value of all contracts awarded
in the first quarter, the Reserve Board
adds, was one-fourth smaller than a
year ago, rejecting a smaller volume
of private projects particularly for
factory, commercial and public utility
construction.
In reviewing bank credit, the bull
letin says that member banks in 10l
leading cities reported some decline
in deposits in the first three weeks of
March. Aggregate loans and invest
ments also declined, owing largely to
the redemption of Treasury bills in
the third week of that month.
Loans Continue Declines.
Commercial and industrial loans at
reporting banks showed a moderate
decline in February and March. Since
last October these loans had been de-
clining owing in part to the seasonal
decline in the demand for credit.
The most striking development in
the securities markets during the first
three months of this year was
marked weakness in railroad bonds of
medium and lower grades Yields on
highest-grade corporate bonds rose
slightly during the latter part of
March and common stock prices de-
clined to below their 1887 levels.
Customers debit balances with stock
exchange firms declined during the
first two months of this year by about
S50000,000, the lowest point since
1888, the report says.
The boards index of industrial pro-
duction, which by January had de-
clined to 80 per cent of the 1923-l925
average, was at 70 per cent in Febru-
airy and practically the same in March,
the summary says.
Store Inventories Reduced.
Distribution of commodities to con-
eumers decreased further in the first
quarter of 1888. Sales of automobiles
and other durable consumers goods,
which had declined in the latter part
of 1887. continued at low level in the
first part of 1898. and sales by depart
ment and variety stores and mail
order sales, which had been well MAIN
tanned up to the end Of last year,
declined.
The boards seasonally adjusted in
dex of department store sales for
March is estimated on the basis of
weekly figures to be around IS per
cent of the l923-l925 average as COM
pared with 86 in February and level
of SO during most Of last year.
The reduction from a year ago
reflects a decline in retail prices as
well as smaller physical volume of
sales. inventories at department
stores by the end of February had
been reduced 10 per cent from the level
prevailing last August, the Reserve
Boards report reveals.
Bankers Start for Biloxi.
Robert V. Fleming. president of
the Riggs National Bank, left Wash
mgton late yesterday afternoon for
Chicago to take a special train from
there to the spring meeting Of the
Executive Council of the American
Bankers Association near Biloxi,
Miss.
Francis G. Addison, jr,, president of
the Security Savings & Commercial
Bank; George o. Vass, vice president
and cashier of Riggs National, and
Wilmer J. Waller, vice president and
cashier of the Hamilton National, |
will board a special train from New
York here tonight, also bound for the
council gathering.
The party will reach headquarters
Sunday forenoon With the exception
of the annual fall convention this
is the most important A. B. A. gather
ing of the year.
mortgage DemdnQS Heavy.
Home mortgages selected for ap- |
praisal by the Federal Housing Ad-
ministration during March totaled |
more than s95,0OO,O0O, mostly for
single family dwellings. The March
volume compares with S68,000,000 in |
the same month year ago, the re-
port says.
OF the mortgages selected. approx |
mately so per cent cover homes to be |
constructed, while the balance, it was
indicated, would be applied to ref
rfAncing of homes already built or
under construction.
Property improvement loans by pri
vate lending institutions are being re-
ported at the rate of approximately |
$500,000 day, the report said.
d. c. Bank Clearings Gain.
The Washington Clearing House re-
ports total clearings for the week
ended on Wednesday of SIG, $50, ,451.79,
as compared with S29,777,8l3.lS for
the same period year ago, or de-
crease of 1913 per cent. Compared |
with the total of s19,353 ,30012 for the
previous week, clearings here increased !
27.4 per cent.
Paul H. Primm. president of the Dis
trict of Columbia Life Underwriters
Association paid high tribute today
to Winthrop G.. Batchelder, whose
tragic death occurred yesterday Mr..
Batchelder had been vice president of
the association during the past year
and was slated to become president at
the annual meeting. He was one of
the most active members and had met
with particular success in obtaining
new members.
Today's Trading on Exchange.
Washington Gas Light stock was
In demand again today on the WASH
ington Stock Exchange, two sales TAX
ing place at SO, unchanged from yes
terday A small sale in Potomac Elec-
tric Power per cent preferred stock
was recorded at 113 Bid and asked
prices on other issues were little
changed.
Postop Stnck Exchanpe officials