Evening star., 1938-03-20
BUSINESS NEARS
SPRING SEASON
IN T|M|D MOOD
Steel Rate Gains SIiqhtIy.
loadings and Motor
Output Also Up.
SIGNS OF RETAIL RISE
PROVE TO BE MIRAGEs
Unfavorable Weather and Adverse
Industrial Conditions Cited
as Major Factors.
BY THOMAS E. FLANAGAN,
ASsoc1atSd Press Financial Writer.

BY THOMAS E. FLANAGAN,
ASsociatsd Press Financial Writer.
The Nations business approached
spring in timid mood.
During the last week the steel indus
try braced up little. Carloadines and
motor production edged ahead slightly.
Electrlc power output declined.
Ihe Associated Press index Of In
dustr1al activity receded to 68.4 from
o8o the previous week and compared
WIN 1888 in the like week of 1887.
Rehecting the industrial drop of
about IS per cent from a wear ago
retail sales were ragged.
encouraging signs of immediat.
traoe improvement which seemed to
oe oScernlble week ago have turned
OUT 10 be mere mirages of hope" the
Commerce Department said in its
weekly review Of business in SO cities
Lag Behind Year Ago.
reports indicate that retail and
wholesale trade are everywhere RUNNING
oehlnd the comparable period of last
year and in only comparatively few
cltles has there been improvement
over the previous week.
While unfavorable weather and
tne TACT That Easter is nearly a month
away have put on the brakes in q
decisive manner. unemployment and
generally unfavorable business condi-
tlons seem to account for a consid-
cradle part of the slowing down"
eteel operations rose to 32l per
cent OF capacity. the American Iron
ana Steel Institute reported. This
compared with 29.9 per cent a ueet
ago and 8s.s per cent in the like 1887
| week
steel trade circles said the rise was
the result of demand from a widening
| number Of sources. The fact was
stressed that the two front-line con.
sumers-the motor and railroad in.
dustrles-had contributed relatively
little to the Improvement.
Rail Buying Delayed.
disappointed as to the net amount
OF the freight rate increases granted
!ast week by the Interstate Commerce
commission. the railroads have mede
no concerted move toward thu re-
sumption of buying of even the rou-
tine requirements that have been ac-
cumuiatlng during recent months Of
naction," said Iron Age.
Inc better demand from misre,-
laneous sources was partly seasona,
ana IN part due to the low ebb IN
which inventories have fallen in son,e
nnes' IL was said. How ageressivelv
tne motor makers will step IN IA tbe
counter for steel depends on the f7n.1
results of efforts to clear ont ,,non.
OF used cars.
FROM Detroit came word motor OK.
ecutlVes agreed the sales drive of lasy
week Sharply reduced the supply of
secondhand automobiles which had
oeen ciogglng channels for new mod
els. Most were said to be convinced
however, of the need for continued
selling efforts.
Automobile output totaled 57555
compared with 57,438 the week be-
lore and 9S,s7s in the corresponding
period a year ago, Wards reported.
Power Output Down.
| In the week ended March - o,+-
put of electric power declined one nor
cent 10 2,014,72900o kilowatt hours.
tne Edison Electric Institute reported
Experts said the drop was more than
seasonal. Compared with the like
week year ago, the total was Q per
cent lower. Substantial losses from
1887 were recorded in all ma jor geo.
graphical regions.
Freight carloadings in the waek
ended March IL gained or of one
per cent from the preceding week,
the Association of American Rail-
roads reported. The total. 5566s4
was 25,2 per cent under the like week
last year A fair gain in shipments
OF miscellaneous classes of freight
contrasted with modest losses in grain
and coal loadings.
| How deeply the fall in loadinrs
has cut into railroad operating rev
enues was indicated by the report of
the association, which showed the
February total for 81 systems 23.3
| per cent under that month a wear
ago and 4l.3 per cent under February,
1890.
Reports Lack lest.
Reports to the Commerce DEPART
ment from principal centers showed
that IN New York, the Nations whole
sale and retail capital, business lacked
zest.
Boston's retail sales dollar volume
was 8 per cent under a year ago.
Three leading Philadelphia depart
ment stores were % per cent behind
1887. Cleveland trade continued in
the doldrums. At Chicago wholesale
| business frightened. Unfavorable
weather retarded activity in Detroit
At Los Angeles retail and wholesale
activity ran behind last year. San
Francisco department stores reported
losses of 10 to 20 per cent under 1897.
Cities where retail trade gained
over the previous week included st,
Louis, Cincinnati, Washington, Mil
waukee and Buffalo. In Kansas City,
Memphis and Portland. Greg sales