Evening star., 1939-03-19
Industry Takes
Uneven Course
During Week
Motor and Steel Gains
Contrast With Power,
Freight Declines
BY THOMAS E. FLANAGAN,
Associated Press Ftnan Wrttsy

Associated Press Financial Writer.
Gains in motor and steel output
contrasted with declines in carload
ings and electric power production
in this business week.
The Commerce Department re-
ported that sales of new passenger
cars was the high spot of retail
trade. Sales in Wayne County,
Mich, jumped to 1894 cars from s82
the previous week and 73l in the like
1888 week.
Although steel output gained Iron
Age said the more optimistic hopes
for seasonal gains in steel produc-
ton were not supported by the cur
rent rate of output.
1t added that the reaffirmation Of
prices Of major steel products had
cleared the atmosphere somewhat,
but had not done much to stimulate
new business.
THE steel industry finds varying
conditions among its principal con-
suming outlets" the review said.
The automobile industry, though
increasing its assembly schedules. is
not making new purchases beyond
fill-in lots as it is still receiving ship
lnents Of fiat rolled products con-
tracted for last fall
Rail Plans Watched.
A report in steel circles that the
railroads still expected to increase
demand was closely studied. 1t was
noted that leading railroads had a
modest gain in revenues in February
over the like 1888 month. While
this was seen as symptom of some
what better financial health for the
industry at large, rail executives
stressed that many problems must
be solved before railroad demand for
steel and new equipment can attain
ma c~QDortions.
The Interstate Commerce Commits
sion estimated that steam railways
had put of doing about s283. 900 600
worth Of needed maintenance work
on their properties.
The I. C. C. report, which was
based on returns from railway Off
Gals, said the deferred maintenance
estimate was based on an assump-
| tion that traffic volume Of about
1887 proportions was in prospect.
Financial observers noted that the
new capital market remained at low
ebb and that new financing was
confined mainly to refunding.
| C1Ncn ~
posals Of representatives of Is stock
exchanges for liberalization Of Fed
eral securities regulation. The sharp
criticism Of the proposals by S. E. c.
Chairman William o. Douglas fig
ured in all current Attempts to
gauge the prospects for closer CO.
operation between business and the
Government.
Trade Trends Steady.
The Commerce Departments re-
port of business conditions in So
cities said: Business during the
past week was characterized chiefly
by a continuation of the recent
steady volume of operations, with
occasional signs of increased activ-
ity in various segments of trade"
Nearly all reporting cities report
ed increases in retail trade during
the week over the like period last
year. Business in leading wholesale
centers was spotty, although on the
whole ahead of last year.
Industrial statistics issued during
the week included:
The American Iron and Steel In
stltute estimated production of steel
at 557 per cent of capacity, COM
pared with 55l the previous week,
54.8 last month and 32.1 q year
ago.
The Edison Electric Institute re-
ported that in the week ended
March IL. production of electricity
totaled 2237 1886 900. kilowatt hours,
slight dip from the previous week,
but Ill per cent ahead of last
year.
The Association of American Rail-
roads reported that in the week
ended March II, carloadings totaled
591 ,69l cars, modest drop from the
preceding week. but 63 per cent
ahead OF last year.
Wards automotive reports esti-
mated motor output at 86.724 units
compared with 84,095 the previous
week and 57,555 in the like 1898
week.
The Associated Press index of in
dustrial activity rose to 87.9 from
874 the previous week. It was 68.5
in the like week last year.