Evening star., 1939-01-15
Steel and Auto
Gains Remain
In Spotlight
UnfovorobIe Weather
Tends to CurtoiI
RetoiITrode
By THOMAS E. FLANAGAN,
Associated Press Financial Writer.

sNSe~ss sS~S
By THOMAS E. FLANAGAN,
Associated Press Financial Writer.
Business analysts awarded gold
stars to the steel and motor indus.
tries this week.
Both divisions continued post
holiday production gains. Steel
found support In railroad steel pur-
chases. Motor car makers, taking
courage from swelling employment
and purchasing power in some CEN
tiers. stepped a little more heavily
on the accelerator.
Other. major industrial sectors
showed nominal improvement, but
upturns still were obscured some
what by the holiday Interruptions.
Unfavorable weather took the
edge off retail trade in some parts
Of the country, but wholesalers
turned in a somewhat more impress
sive record.
Nall DcMduU improves.
Railroad demand for steel was
still a long way from spectacular.
Nevertheless, Iron Age said 1T is
becoming much more of factor
than it was for most of last year"
Union Pacific disclosed it would
buy 100000 tons of steel-the larg-
est order by a Western road in sew
eral years. The New Haven ordered
5000 tons of rails and the Pennsyl-
vania moved up to the equipment
counter for new coach and dining
car equipment.
Trade circles reported that a good
deal of incoming tonnage at mills
consisted of specifications for struc-
tural steel. New work on w. P. A.
building projects was temporarily
at a lull, but mills were expected
to operate on recent awards for
some weeks, it was said.
Steel men who scanned the hori-
zon said they look for considerable
new business to come from the con-
struction industry in the next half
year. They noted that F. w. Dodge
Corp. reported new construction
started in December climbed to a
l0-year peak of more than $389, ,0o0:-
600.
Faster Rate Expected.
At the same time, some stressed
the speed at which producers OF
automobile bearings were working.
This was interpreted as sign that
motor assemblies will drive ahead at
an even faster pace before long.
Although motor sales had the usual
early winter slump, marketing ex-
perts said the rate of turnover was
heartening considering the season
Automobile analysts, who predicted
further production gains, pinned
hopes on estimates of continued ex-
pansion in purchasing power.
There were several miscellaneous
straws in the business wind: Retail
prices held steady. Wholesale buyers
were reasonably bold in stocking up
for spring needs. Bank clearings
held good gains over a year ago.
Shares skidded a little on the New
York Stock Exchange. New f1nanc-
| ing had lean look. New orders for
textiles came in slowly. Trade shows
in some cities reported attendance
ahead of 1888. Machine tool orders
hit high level in December. Build
ing material dealers did a good
business.
= Statistics Reviewed.
Statistics on industry issued dur
ing the week follow:
The American Iron and Steel In
stitute estimated production at ST.
per cent Of capacity, compared with
50.7 the previous week. A month
ago the rate was 57.6, a year ago 27.8
Automobile output totaled 86,925
units. according to an estimate OF
Wards Automotive Reports. This
compared with 76,685 the preceding
week and 5,735 in the correspond
ing week year ago.
The Edison Electric Institute re-
ported production at 2,169, ,470, ,00C
kilowatt hours in the week ended
January Z, IA per cent ahead Of the
like week of 1898.
The Association of American Rail-
roads reported carloadings in the
week ended January Z totaled $780,
849, an increase of 6.2 per cent over
the previous week, but SO per cent
under the like week last year.
In its weekly survey Of business In
36 cities the Commerce Department
said: Business since the turn of the
year has apparently leveled of
slightly more than seasonally. While
on the whole, conditions and pros
poets were considerably better thar
at this time last year, activity was
nominally below that anticipated.
wholesale markets gave a better
account of themselves than did re.
tail, which were spotty, while the
improvement in industrial produc.
tior slackened.
Most ""' = (major) cities regis.
tered decreases in retail trade from
last year, since their comparisons
were based on a f1ve-day bushes.
week this year against six-day
week in 1888, but many localities, or
a day-to-day basis, showed increases
or business on par with year ago.
A..