Evening star., 1939-06-18
Faster Tempo Seen
In Business for
Summer Season
Some Divisions Show
Contru-SeusonoI Coins
And Cheerful Reports
BY THOMAS E. FLANAGAN.
Associated Press Business Writer.

Associated Press Business Writer.
Business approached the summer
season with brisk stride this week.
In some divisions-notably power
production, carloadings and motor
output-the pace was faster than
usual at this time of year. Rain.
however, slowed the tempo of retail
trade in some sectors.
Although steel production suf-
fered small dent, dispatches from
steel centers cited a stiffening Of
scrap prices, a factor which often
foreshadows increasing output.
AS the week closed business
analysts had on their desks q num-
Der of cheerful reports. Bank loans
expanded. Retailers reported inven-
tories at relatively healthy levels.
The building industry continued to
expand. Machine tool sales spurted
to a two-year peak. Ninety-one
railroads reported higher income
for May.
Motor Industry Gains.
Plunging ahead on a contra-sea-
sonal drive. the motor industry
speeded up its assembly lines. AL
though the gain was attributed in
part to return to five-day sched-
ule by Chrysler plants after shut
downs at supply plants owing to
labor troubles, the upswing was
geared partly to better sales. Dis
tribution at Wayne County, Mich,
jumped to 1909 units from LAOS
the previous week and compared
with 1876 in the like 1888 week. In
New York the motor trade was brisk.
An increase in engineering con-
struetion awards also helped to
bolster general business sentiment.
The continued expansion of con.
struction outlays, Government ex.
perts said, has been reflected in in.
dustrles supplying materials and has
boosted pay rolls. Shipments Of
lumber In the first four months of
the year were estimated by Federal
authorities at about Is per cent
heavier than the like period last
year.
This week the National Lumber
Manufacturers Association reported
new orders for the week ended June
3 were about 43 per cent ahead Of
the like 1888 week and at about the
same level as the preceding week.
Typewriter Industry Inquiry.
Two branches of the Government
made business news. The Justice
Department, widening the scope Of
Its antitrust activities. launched an
investigation Of the typewriter in
dustry to determine whether makers
have used monopolistic or collusive
practices.
The Federal Communications
Commission asked Congress to give
it additional control over the S..
900 900 900 telephone industry. Tho
report, signed by all seven commits
sioners, omitted some of the most
far-reaching recommendations of
Commissioner Paul "A. Walker. who
has charge Of the two-year probe Of
the industry. Among the Walker
suggestions not incorporated was one
urging that the commission be au.
thorized ito review. approve or dis.
approve all Bell policies and prac.
tees promulgated by the central
management group of the American
Telephone &, Telegraph Co.
One major recommendation was
that the F. c. C. be authorized to
prescribe basic cost accounting
methods for the Western Electric
Co.. which was described as tho
manufacturer and supplier" for the
Bell System.
Scrap Steel Prices Firm.
Iron Age" saw the firmine Of
scrap steel prices as a possible hint
OF production increase. mo sharp
decline IN operations is expected in
the near future" that journal said.
On the contrary, the rate probably
Will go up moderately. possibly to
peak of about 60 per cent of ca.
pacity In August. when much heavier
shipments OF sheets and strip against
recent low-price commitments will
be made"
In its weekly survey Of business
IN So cities, the Commerce Depart
ment said: Business developments
IN the United States have afforded
some signs of further improved con.
dltlons. Retail trade volumes so far
IN June have been spotty, though
recent reports generally indicate a
steady turnover for the Nation as
whole. Several cities last week
attributed decline in retail trade
to rainy weather. Some increase in
the volume of wholesale trade is IN
dicated by the current reports. with
an active demand for seasonal
merchandise.
Some Industrial Statistics.
Ihe week brought these indus
trial statistics:
The Associated Press index of in
dustrial activity rose to 87.1 from
84.5. the widest rise since last No
vember. A year ago it stood at 674,
The American Iron and Steel In.
stitute reported production up to
53.l per cent of capacity from 542
the previous week. 454 a month ago
and 27.1 In the like week of last wear,
For the week ended June 10, tho
Association of American Railroads
reported carloadings at 634,597, an
increase Of lib per cent over the
preceding week and 146 per cent
ahead of last year.
The Edison Electric Institute re-
ported that in the week ended June
10. power production totaled 2.256.-
$4,000 kilowatt hours, a rise of 6.8
per cent over the previous week,
and 1873 per cent higher than the
corresponding week year ago.
Wards reported motor output at
7S,305 units, up from 65,265 the
week last year.