Evening star. [volume] (Washington, D.C.) 1854-1972, 1939-07-02
Fresh War Tension
Leaves Imprint on
i. ). Business
Copper Buying Rushed;
Army Places Huge
Aircraft Orders
BY THOMAS e. FLANAGAN,
Associated press pus,n..s ur,..r

BY THOMAS e. FLANAGAN.
Associated Press Business Writer.
A fresh outburst of war alarms
abroad left It's imprint on business
this week.
Great Britains warning to Ger
many - viewed abroad as "the
gravest warning by a foreign min
lister to another power since the
world War"-shot the copper in
dustry to the foreground OF BUSH
ness news.
A heavy wave of buying rolled
into the domestic copper market
Friday. When the days trading was
done, experts said the turnover of
nearly $4,000 tons was the largest
amount ever bought for foreign ac-
count in single day.
Meanwhile, another reflex action
from the long continued European
war threats also became evident.
The United States Army Air Corps
driving ahead on its program of
expansion - placed contracts with
three manufacturers for aircraft
engines costing S25,OO9, 389.
The Commerce Department re-
ported that as the result of the
worldwide scramble for ornaments.
this country had sold more of the
following products abroad In the
nrst flve months Of 1899: Metal
working machinery, aircraft, rub
Der products, textiles, chemicals and
meat products.
Industrial Pace Uneven
Regular weekly statistics showed
industry was falling back on some
fronts, pushing ahead on others.
steel and motors faltered. Carload.
lngs and electric power output adj
vanced, the latter more than sea.
sonally. In some sections retail
trade took on momentum from
widening demand for summer
merchandise.
AS business opened up new ledgers
Tor the second half of the calendar
year, attention was focused on one
OF the most important of business
'>~SAASA soA2So VIC 4dl
Experts said farm income was a
notch higher than at this time last
year and that the crop outlook was
somewhat brighter since the break
ing of the spring drought.
Reports issued at the week end
indicated that grain yields were ex-
pected to be little less than last
season. while quotations on major
farm products were somewhat under
last year. The analysts said one
factor has boosted farm income over
last years levels, despite smaller
crops and lower prices; a heavier
flow Of Government benefit pay
ments.
Steel trade circles took some COM
fort at the way the industry has
been holding stubbornly above the
so per cent of capacity mark-the
level at which the industry as a
whole can operate at a profit. The
fact the industry has been able to
keep its pace without benefit of i'm
portant business from the motor in.
dustry, the railroads and the farm
machinery makers was particularly
encouraging. Iron Age saw this
as IAN augury of fairly we'll main
tanned output when these consumers
return to the market.
Auto Sales Increase.
The continued brisk pace of motor
sales suggested that purse strings
were not being too tightly held. In
Wayne County, Michigan, sales of
new cars rose to 1,948 from 1,677
the previous week and compared
with 481 in the like week a year
ago. Although production slackened
somewhat the motor trade said this
was about in line with seasonal ex-
pectations.
The Commerce Department, in its
review of business in IS key cities
said, Retail trade showed a sea-
sonal slackening from the previous
week. but generally held well above
the level of year ago general
business sentiment was somewhat
more optimistic. with the expecta-
ton expressed that trade would ex-
perience a less-than-seasonal de-
cline through the summer" Whole
sale markets were relatively firm.
The weeks industrial statistics
included:
The Associated Press index OF in
dustrial activity held steady at 88!6
after its climb Of the past six weeks,
which Cancelled the losses Of April
and early May. In the like week
last year it stood at 682.
The American Iron and Steel In
stitute reported steel production
down a little to 54.3 per cent Of
capacity. A week ago it was IS.
month ago 52.2 and in the like 1888
week 28.7.
Power Output Climbs.
For the week ended June "a the
Edison Electric Institute reported
production of electric power totaled
2,285, 083. 900 kilowatt hours. This
was slight-and more than sea-
sonal-rise over the previous week.
The total was 1872 per cent ahead
Of the like week year ago.
The Association of American Rail-
roads reported carloadings totaled
642,987 in the week ended June "a.
This was a small upswing over the
previous week and ISL per cent
higher than the corresponding week
last year.
Wards reported motor production
dipped to 70,663 units. from 81.070
the week before and compared with
1895 in the like week Of 1899.