Evening star., 1946-12-27
Prices
Continued From First Page)

otdlt SuItlIS pllCCo llluicQldtCls,
taking losses on his wholesale in
vestment, then it was expected that
others might follow.
However, it was explained, butter
and eggs bought at lower New York
and Chicago quotations won't be
on the local market for several. days.
The commodities should be avail
able about next Wednesday at the
latest, dealers said.
Dealers estimated that by then
best quality butter would be avail
able at to 10 cents a pound below
today's opening prices. with eggs
down about 4 cents below present
levels.
A croSs-country survey by the
Associated Press showed that cloth
ing prices were affected, too, and
tnat many of the big department
stores in major cities had slashed
some clothing prices from one-third
to more than so per cent in an out
break of post-Christmas and year.
end sales.
Still unsettled, however, was
whether the price drops were tenn
porary or whether many of them
would continue to hold or even
extend their decline.
Rigging" Charges Heard.
The Dairymen's League Co
operative Association removed some
Of the mystery surrounding the
break II New York butter prices,
where charges of rigging" had been
heard.
1t said in a statement that it had
been active in the butter market in
order to keep prices up and thereby
protect" present milk prices.
Milk prices in New York are set
by the Agriculture Department S
Milk Marketing Administration on
a formula that takes into account
the price of top-grade butter and
skinned milk powder for a 30-day
period. This month expired De-
cember "a, and the price for JAN
uary was set at $5.46 hundred
weight, unchanged since November.
G. j. Blanford, administrator of
the New York milk marketing area,
was not available for comment on
the milk associations statement.
but spokesman said the milk price
would not be revised by the local
office even If it were found to have
i,een based on artificially stimu-
lated butter prices.
In its statement, the Dairymen's
League, which claims to represent
$4,000 milk producers in the Eastern
area, declared that purchases Of
butter" by the league were made
to prevent threatened decline
of % cents hundredweight in the
January price of milk"
1t estimated this had prevented
loss of around 100000 to dairy
farmers in the New York milkshed,
which comprises the States OF New
York, New Jersey, Pennsylvania,
Connecticut. Massachusetts, and
Vermont.
This action was taken by the
Dairymen's League in the interest
of both milk producers and the
millions of consumers who depend
on them for milk" Henry H. Rath-
bun, president, said. ut will re-
quire no rise in the consumers S
price for milk but will prevent a
loss of milk supplies to other
markets
A price of $5.44 hundredweight
already had been set for milk in
the Boston area, Mr.. Rathbun said,
adding that New York milk would
have been diverted there If the
price had dropped.
The league would not say how
much butter it had had to buy to
keep the price up, but one prominent
broker, John McClay, who refused
to name his client, said he had pur-
chased more than 100000 pounds
of butter in the last 10 days at
prices from "a cents to 841a cents
pound.
Grade A butter was selling as low
as IA cents a pound yesterday.
Shortly before the Dairymen's S
League reported it had been sup
porting butter prices, the New York
City Consumers Council, claiming
to represent 86 organizations and
500, 900 consumers, asked Attorney
General Clark for IAN immediate
investigation and prosecution for
the parties responsible for this fla
grant violation of the antitrust
laws"