Evening Star Newspaper, October 4, 1936, Page 65

Class P ified Ads ages 5 to 15 Part 5—16 Pages DEPOSITS SHOW MARKED INCREASE " INFIFTH DISTRICT rptember 9 Total Rises $65,423,000 Above Same Date Year Ago. CAPITAL STORE VOLUME CLIMBS DURING WEEK Bank Clearings Here Drop Behind | Previous Week and 1935 Period. Tourists Increase. BY EDWARD C. STONE. Aggregate deposits in 41 member banks in the fifth reserve district, which includes Washington, have in- | creased substantially during the last | year, the Federal Reserve Bank of | Richmond reported yesterday in the | monthly review. Total deposits on | Beptember 9 had increased during the | year by $65.423,000, demand deposits gaining $60,579,000 and time deposits $4,844,000. ‘The report adds that time deposits in the 41 banks and aggregate de- posits in 11 mutual savings banks to- taled $406,881,796 at the end of Au- gust, 1936: a slightly higher figure, $406,753,420 at the end of July this year, and also larger than $393,303,077 at the end of August, 1935. This is in line with reports from other reserve districts, which reveal that bank de- posits are still climbing. Building permits issued in August in 31 leading cities of the fifth reserve district numbered 2922, compared | with 2,618 permits issued in August, | 1935, an increase of 11.6 per cent this | year, and estimated valuation figures | totaled $7,081,510, an increase of 54.9 | per cent in comparison with valua- | tion figures totaling $4,570,329 in Au- gust last year. Twenty-four of the 31 cities showed higher valuation fig- ures for the 1936 month. Of the five largest cities, Baltimore, Washington, Richmond, Norfolk and Charlotte, all increased except Norfolk. Contracts awarded in August for eonstruction work in the fifth dis- trict, including both rural and urban | final quotations lower by 1-16 of a LARGER PLANTINGS STABILITY IS BY FOREIGN EXCHANGES French Cuts in Import Duties Hailed as Another Step in Removing Trade Barriers. By (Re Associated Pross. NEW YORK, October 3.—Freed from uncertainty over the immediate effect of devaluation of the French franc, foreign exchange dealings to- day were within narrow ranges, with most of the leading European cur- rencies except the franc a shade lower with relation to the dollar. Of special interest were French decrees issued today reducing im- port duties on many raw and man- ufactured articles by as much as 20 per cent. This was hailed in Wash- ington as another important step toward removal of world trade re- strictions. Many American exports to France were affected. It was pointed out in some quarters that the decrees, attributed to the| government’s desire to prevent abrupt price rises, would diminish the un- favorable effect, as far as American ekporters were concerned, of the franc devaluation, In New York the French unit closed at a fractional advance of 53 of a cent, still about midway between its legal devaluation limits. Sterling fluctuated narrowly with the cent. The Netherlands guilder and FINANCIAL AND CLASSIFIED he Sunduy Shae WASHINGTON, NG, OCTOBER 4, 1936. DISPLAYED the Swiss franc both slipped, the guilder .30 of a cent and the franc .01 of a cent. Both the Canadian dollar and the German mark rose slightly, the Canadian unit 5-64 of a cent and the mark .05 of a cent. Trading was quiet in London where the dollar sagged 1-16 and closed at 4.933-16 to the pound. The New York overnight rate was 4.93%. The franc improved to 105.63 francs to the pound from yesterday's close of 105.75. In Paris the dollar finished in the unofficial Saturday market at the equivalent of 4.706 cents to the franc, compared with the New York over- night rate of 4.664 cents. Closing New York rates follow: Great _ Britain_in cents: Great Brital cables, 4. 60 3 io. Hongkong. Montreal in New. ¥ D. C, SUNDAY REACTION 70 PARIS MONETARY SHIFT PROVES MODERATE Few Signs of Liquidation Appear at New York After Advance. OUTFLOW OF FOREIGN GOLD UNLIKELY SOON War Fears and Faith in U. S. Trade Recevery Expected to Hold Bulk of Funds in America. BY CHARLES F. SPEARE. Special Dispatch to The Star. NEW YORK, October 3.—An in- terval of a week since announcement of plans to devalue the French franc has given opportunity to assess its im- portance and to realize the problems that attach to it. The French announcement was fol- lowed by similar action toward the Swiss and Dutch currencies. Germany has given notice she will stay on gold. Italy, apparently, is without an im- ew York T w York in Montreal, 99.87. GRAINS DEPRESSED BY POSSIBILITY OF Early Estimates of . Winter Wheat Acreage Are Largest Since 1919. BY A. A. PATTON, Associated Press Statistician. NEW YORK, October 3—The dim threat, far in the future, of a possible projects, totaled $28,273,600, compared with $23,273,287 awarded in August, 1935, 31 per cent being for residential work, against 22 per cent of the awards in August a year ago. The review just issued shows that commercial failures in this district in August were the same in numbver as a year ago, but there was a decline of 69 per cent in liabilities. Employ~ ment conditions were notably better, the survey states, and cotton textile mill operations continued much higher than a year ago. Crops are not likely to yield as high financial returns ss last year. Retail trade exceeded Au- gust, 1935, except in Washington, which registered a drop of over 4 per cent. Business activity as a whole continued well above the 1935 volume, the summary concludes. Frade Exceeds Previous Week. Reviewing Washington trade, the Department of Commerce announced Yyesterday that on account of promo- tional sales being a week earlier last year than this year, department store | sales during the past week were 15/ per cent under the same 1935 week but showed an increase of 7.3 per cent | over the preceding week this year. Bank clearings dropped 1.9 per cent | from the previous week and were 3 per cent less than a year ago. Sep- tember clearings totaled $89,611,954 against $73,280,430 in September, 1935. The value of building permits re- ceded from the high figure of $2,- 308,512 in the previous week, which included $1,300,000 Police Court Build- ing, to $363,400, but was ahead of $295,500 for the same week a year ago. September permits totaled $3,- 415275 agaiast $2,175,830 last year. Both the monthly and weekly fig- ures for tourists were well ahead of the like 1935 periods as evidenced by Visitors at the Washington Monument. Institute Committee Named, Paul J. Seltzer, president of Wash- ington Chapter, American Institute of Banking, announced yesterday that | Walton L. Sanderson, chairman of | the Finance Committee, has appointed | the following members to serve with him during the year: George B. Earnshaw, National Met- ropolitan Bank; Joseph R. Fitzpat- |35 rick, Second National Bank; B. Bruce Frantz, American Security & Trust|Live sto Co.; Robert H. Lacey, Columbia Na- ¥onal Bank; William H. Laughlin, Washington Loan & Trust Co.; T. Hunton Leith, Security Savings & Commercial Bank, and J. Earle Mc- Geary, W. H. Hibbs & Co. The Finance Committee budgets the income of Washington Chapter and supervises the expenditures of the various committees. w»pmm Market Strong. on the Washington Stock Exchange yesterday were nr‘:ng with special interest centered in Lin- coln National Bank stock. Ten sales were recorded, tota! Yoo ling 95 shares, all Washington Gas recorded a sale of 10 shares yesterday at 82, up 1 point. Woodward & Lothrop common was out, 10 shares moving at 66. In the bond division, $1,000 and 8500 transfers took place in Capital Traction 5s at 92. Washington Gas 55, 1960, brought 123%, and Anacostia & Potomac R. R. 55, 78%. TOMLINSON TO JOIN VAN STRUM & TOWNE Epecial Dispatch to The Star. NEW YORK, October 3.—An- nouncement is made that E. T. Tom- lingon, jr., is retiring as business man- ager of the New York News Bureau Association to become vice president of Van Strum & Towne, Inc., invest- ment counsel. He will assume his new post immediately. Tomlinson was formerly president of Doremus & Co., and following his retirement from that firm in 1934 became vice president of the Fenner & Beane Corp. He has been business manager of the New York News Buresu Associa- tion for the past year and & half. A sharp increase in grain yields supplied | the principal impetus for the dip in | commodity prices this week. | Early estimates of Winter wheat | plantings in trade quarters were the | | largest since 1919. This outlook was | largely responsible for the downturn | in wheat, despite the bullish statistical position of the cereal. Other grains also came under the influence of pos- sibly larger plantings next year, in- | cluding corn, oats and rye. The Associated Press weighted index of 35 important wholesale commodities dropped to 81 per cent of the 1926 average from 81.47 last week, and compares with 78.31 a year ago, Cotton Cloth Climbs. Cotton cloth prices experienced the sharpest run-up since 1933, with for- ward orders covering requirements well into 1937 being placed by many large consumers. The sudden realization by | the trade that sustained retail demand had reduced stocks to the lowest level in years brought a flood of buying into the market. Subject to the same broad demand that boosted cloth, raw cotton ad- | vanced on good volume. Wool prices nudged up also as prospects of the biggest Fall and Winter business since 1930 brightened. Silk was slightly | lower. Industrial staples continued the up- trend that has carried the index to new high ground for the year in each of the past eight weeks. Steel billets were marked up $2 a ton on the 1st of the month. All lines of steel pro- duction have been improving, although heavy items have pushed ahead more rapidly. Bituminous coal, tin and lumber also picked up, while rubber and burlap slipped back fractionally. Food Prices Ease. Food prices were under pressure. Flour was off. Sugar continued to drift downward in the wake of trade estimates that imports would be con- siderably above consumption. Coffee and butter dipped, while cocoa and lard moved up a notch. Live stock quotations were mixed, hogs advancing somewhat and lambs | declining. The index, with its components based on 1926 as 100, compared as follows: metal *New 1936 high. — TIME EXTENDED ON PLAN. NEW YORK, October 3 (#).—Fran- cisco Sugar Co. has announced the time within which deposits of first mortgage 20-year 71%s of 1942 may be made pursuant to the plan of reor- ganization has been extended to Oc- tober 31. The company has planta- 0. | chiefly from her cheap labor, PROTESTS REVIVE STUDY OF CHEAP JAPANESE GOODS Loss of Huge U. S. Cotton Trade Feared if Flow of Imports Is Curbed. By the Associated Press. NEW YORK, October 3.—Enlivened recently by renewed protests from some adversely affected interests in the United States, the perennial prob- | lem of Japan, formidable competitor and at the same time third best of the Nation's customers, is once more to the fore. | Economists point out that while | Japanese imports threaten to under- | mine certain home industries by cut- ting prices below domestic costs the same country imported $105,393,000 worth of American merchandise in the first seven months. If these huge exports continue, they say, the only available method of repayment ~—imports from that country—must be permitted. Large Part Imported. The Cotton Textile Institute, a trade organization, reports imports of bleached cloth from Japen in the first seven months were approximately 40 per cent of the average yardage produced here. Velveteen imports were about 60 per cent of domestic produc- tion. Imports have increased enormously, the institute states, bleached cloth jumping from 256,624 yards in the entire year 1933 to 40,174,349 yards in the first seven months this vear. Other categories have shown equally wide percentage gains. Trade authorities, on the other hand, say that although cotton fabric imports from Japan in the first six months more than doubled the com- parable total last year, at 45,000,000 square yards, this was less than 2 per cent of our annual output. Only 14 Branches Affected. ‘Thus while Japanese imposts equal about half our production of some comparable items, they are in direct competition with only 14 of 40 branches of the cotton textile industry of this country. Total imports of fabrics in the first seven months also were at an annual rate of only $8,- 500,000. Domestic felt hat manufacturers call attention to the fact that imports of competitive hat bodies from Japan rose from 13,854 in 1934 to 3,522,939 in the first seven months, adding that they sell wholesale at $2.50 a dozen, compared with $4 a dozen for Ameri- can duplicates. Japan's competitive advantage rises Wage levels are comparatively low; textile workers receive an estimated 23 to 30 cents a day avesage against about $3.04 here. Cotton Trade at Stake. Raw cotton, the bread and butter of millions of our citizens below the Mason-Dixon line, makes up about two-thirds of total shipments to Japan. During the past five crop seasons we have grown, roughly, 62,000,000 bales of the staple. Japan has bought 9,- 000,000 bales from us in the same period, or about 14.5 per cent of the total. In the last crop year alone tions in Cuba and its headquarters at New York City. some $100,000,000 worth of raw cotton ‘was loaded on Tokio-bound ships. Implement Outlook Is Best In 6 Years Despite Drought B the Associated Press. CHICAGO, October 3.—Drought has not altered financial district hopes that the farm implement industry's 1936 results will be the best in at least six years. As a matter of fact, many observers today were wondering what gains the agricultural tool makers might have experienced had it not been for the drought which took a heavy toll of crops. ‘There was & period in July, during the height of crop damage, when re-. ports of order cancellation for com- bines, spreaders and other implements were received from various sources. However, sharply higher farm prices, benefiting growers whose crops sur- vived, gave the general agricultural picture & more rosy tinge. Recently reports of heavy planting in the Southwest Winter wheat region and of improved moisture conditions throughe out most of the farm belt have added encouragement, ° % ) The Department of Agriculture estimated cash income of farmers ‘this year would total $7,830,000,000, or almost 11 per cent more than in 1935. Because most units make no in- terim business reports and are un- usually reticent about making public their progress through the year, the sharply improved volume and earn- ings of one major concern, Cater- pillar Tractor, is looked upon in financial circles a5 unusually signi- ficant. Caterpillar's August net profit was almost 70 per cent larger than a year ago, while sales increased more than 50 per cent. Por the eight months, net WAS 63 per cent greater and sales were mediate policy. Great Britain has shown no dispo- sition to return to the gold standard, and there is a general belief that the American dollar will remain on the present 40 per cent discount basis. ‘With continental maukets in Europe closed the greater part of the week, the speculative effect of devaluation did not have free range. Where it was expressed, it reflected a natural readjustment in prices of ‘‘equities” to & new rate for the franc, though this, as in the case of the guilder, has not been made exact. Stocks in London, in Amsterdam and on the Swiss exchanges were buoyant. Just as in the American market, bonds in Europe the last few days have been rising with common stocks in a period traditionally bearish toward fixed interest securities. First Reaction Bullish. Here, the market was first influ- enced bullishly by the foreign news, though principally because of the em- phasis given in the Morgenthau an- nouncement and to subsequent state- ments of the same tenor from Govern- | | ment officials, economists and news- paper editors on the benefits to world trade and to world peace of the tri- partite exchange agreement. Subsequently, there was some reac- tion and small transactions with scat- tering signs of liquidation of American stocks popular in France, With devaluation of the French franc visible on the financial horizon for so long a time, there have been many conjectures as to what might happen to American securities held here for foreign account and to the vast sum of gold received into the United States in the past two years when France finally took the action officially sanctioned by her lawmakers this week. The Department of Commerce esti- mates that at the end of 1935 France, Holland and Switzerland held a par value of long-term American invest- | ments of $1,465,000,000. Of this over | one-third was in common stocks. | About 30 per cent was in bonds and | preferred stocks. Inasmuch as some of the heaviest buying of American “equities” has| | taken place during this year, the total | holdings of these three countries is today probably well in excess of the 1935 figure, Two Billions Moved. Since March, 1935, the Bank of France has lost approximately $2,000,- 000,000 gold. Most of it has been ex- ported to this country. One of the early arguments made against reduc- ing the excess reserves of the Federal Reserve's system of member banks was that, in the event of devaluation of the franc, much of this gold would return to France. The basis on which French and other continental investors, as well as those in England, have been buying American securities is the protection this gives their capital in case of an European war, plus the attractiveness of common stocks created by the American business recovery. The European export of gold was in the nature of a “flight of capital” away from the scenes of social and political turmoil abroad and to the safest haven that could be found anywhere in the world. Until, therefore, a more favorable picture of European conditions can be sketched, it is doubtful if either Amer- ican securities will be sold for foreign account or gold repatriated on a scale to upset the speculative or exchange markets on this side of the Atlantic. Pact Stabilizes Exchanges. ‘The biggest question involved in the devaluation experiment—for it is still that—is whether or not it makes for recovery in world trade and for world peace. The chaotic conditions that were once predicted when and if Prance devalued again have been spared by the three-party agreement to stabilize the exchanges. The per- manent success of this depends on the strict co-operation between the par- ties in interest and the elimination of all political maneuvering for advantage from this delicate international situa- tion. S An event of such great importance as devaluation of the currencies of France, Switzerland and Holland, and adjustments following in countries of lesser rank, could not fail to have its influence on commodity markets. How= ever, the reactions there were rela- tively mild.. They were partially af- fected by technical domestic condi- tions, as in grain and cotton. As for the commercial and industrial situa- tion, it reflected the same bright pros- pects characterizing it for months. - Imports Still Increase. With respect to American foreign trade, the future is not so clear. The August figures released this week in- gicate the growing surplus of imports over exports. The trend has long been in this direction. Just how much de= valuation of the former gold curren- cies of Continental Europe will change MORN. KIDDING OURSELVES ABOUT EASY STREET. " JALLPUR TROUBLES ARE OVER| [ WE PAY THE GOVERN CROP INSURANCE 10 BE OUTLINED Mutual Associations to Hear Government Experts at Philadelphia. Special Dispatch to The Star. PHILADELPHIA, October 3.—The Federal Government's plan for sup- plying all-risk crop insurance to American farmers now being worked out by the Department of Agriculture will face a professional audience for the first time on October 12, when the annual meetings of the Federation of Mutual Fire Insurance Companies and the National Association of Mutual Insurance Companies open here. A battery of Government agricultural experts has chosen the gathering of executives, representing approximately 800 of the Nation's largest mutual in- surance companies, as the initial op- portunity to present the technical side of the crop insurance scheme for critical scrutiny. Many of the organizations, which are members of the association, write farm insurance exclusively, and in co- operation with smaller farm mutual companies doing a local business, they underwrite more than half the farm property now at risk in the United States. Green Is Speaker. Roy M. Green, director of the Di- vision of Agricultural Finance of the Bureau of Agricultural Economics, Washington, will outline the crop in- surance scheme to representatives of the farm companies on Tuesday, Oc- tober 13. In the discussions with com- pany executives which will follow he will be bulwarked by Dr. V. N. Val- gren, chief agricultural economist of the Farm Credit Administration. Dr. Valgren is considered so out- standing an authority upon crop in= surance that he was borrowed from the Government service several years ago by one of the larger insurance companies to direct the most im- portant private efforts that have been made in this country te date to insure growing crops against- all risks. Other aspects of the farm insurance problem will be discussed with the mutual insurance leaders by W. I Myers, governor of the Farm Credit Administration; Gordon A. Bubolz, associate agricultural economist of that department, and J. B. Kincer, chief of the Climate and Crop Weather Di- vision of the United States Weather Bureau. Insurance Men Disagree. Insurance experts, lacking detailed official information, have volunteered thus far few comments upon the soundness of the underwriting prine ciples underlying the Government's approach to the crop insurance problem. ‘The novelty of payment in kind of both premiums and losses is regard- ed as avoiding some of the difficulties encountered by private companies in handling crop insurance on & cash basis, but whether this feature could be handled in practice without opera- tions on the commodity exchanges so extensive as to defeat themselves by artificial disturbance of price levels is & point upon which mutual insur- ance leaders are not agreed. — THREE BANKS OPENED. CHICAGO, October 3 (Special).— MENT fWHY Do wE QST R sccu.src\mw.\l(m: 1T T0 QURSEL 2 DIRECT 2 ~— Pullman Co. Nets $546,223 Profit In | August Operations By the Associated Press. CHICAGO, October 3.—The Pull- man Co., sleeping car company af- filiate of Pullman, Inc., foday reported transportation operations in August resulted in & net profit, after taxes, of $546,223, compared with $118,972 in August last year. For the first eight months this year net, after taxes, was $2.136,600, against a deficit of $2144,568 the corresponding 1935 period. These figures do not include earnings of the manufacturing subsidiaries of Pull- man, Inc. George A. Kelly, vice president, said the figures reflect continued improve- ment in passenger travel. - MONETARY ACTION HELD BENEFICIAL World Stabilization and Internal Recovery for France Foreseen as Important Effects. Epecial Dispatch to The Star. NEW YORK, October 3—In fits weekly summary of the general busi- ness situation, the Standard Statis- tics Co. of New York currently com- ments as follows: “Devaluation of the French franc, which is being followed by similar ac- tion by the remaining gold bloc coun- tries, is regarded as a highly con- structive development. The move is not only a major step towards ulti- mate stabilization of world currencies, but it also will promote internal re- covery in France. This, together with the prospective modification of French tariff and quota policies, should en- able that country to expend its pur- chases of American products and fos- ter a revival of international trade generally. “Meanwhile, domestic business news is reassuring. Attention is currently being focused on Detroit, where the automobile manufacturers are oon= centrating efforts on 1937 models. The entire industry has now suspended operations on this year's models and several prodycers are actively under way on the 1937 cars. “The clean-up of 1936 models. in the hands of dealers is progressing in a satisfactory manner and dealers will be in an excellent condition by the time they have 1937 merchandise to offer.” HUDSON SALES JUMP. NEW YORK, October 3 (#).—W. R. Tracy, vice president of Hudson Motor Car Co., told distributors at preview of 1937 models sales of the company in the first seven months of this year gained 36.4 per cent over the like 1935 period. He said 1,228 new dealers have joined ‘the company so far this year. Special Dispatch to The Star. NEW YORK, October 3.—Railroad equipment manufscturers currently find themselves in a highly favorable trade position, according to a study of the industry just released by Young Management Corp. of New York City. This conclusion is based on four main factors: 1, Equipment purchases ars immi- nently necessary due to scarcity and Rail Equipment Firms Hold Strategic Recovery Position COME oN N S5ver miart LONDON CHEERED BYCURRENCY PACT Stable Exchanges and Gain in World Trade Believed Likely to Result. BY LEONARD J. REID, By Cable 1o The Star. LONDON, October 3.—The financial | district spent the past week readjust- ing itself to the new currency align- | ment with notably calm success, espe- | cially in view of the fact that reopen- | ing of the Paris Bourse was delayed by politics. The initial and rather wide fluctuations in the exchanges | were considered an inevitable prelude | to a hoped-for greater stability. It is fully realized here that for- | midable early difficulties beset the new regime, especially in respect to| the French political and social budget problems, and that it 1s obviously im- possible to even discuss binding agree- ments on the dollar-pound rate and other vital Anglo-American problems, including war debt settlement, until after the American presidential elec- tion. Since the dollar-pound-franc tri- angle governs the whole position, a period of patient waiting is inevitable. Nevertheless, there is a general hope- fulness here in ultimate favorable re- sults in the direction of exchange sta- bility, loosening of European currency restrictions and leading to tariff dis- cussions as opening the door to a big- ger volume of world trade benefiting all nations, Domestically, London’s week was highly satisfactory. An initial slump in government issues has now been mainly recovered. It is realized that a cheap money policy will continue here and also in America, while in- dustrial recovery must progress in both countries. British industrial shares, which show a firm tone but narrow irregular quotations, are likely to im- prove in the near future unless con. tinental disappointments intervene. The irregularity in commodities at this early stage is & necessary corollary to the temporary exchange fluctua- tions, but the trend is seen to be higher. (Ccpyright, 1936, by the Nortn American Newspaper Alliance, 1nc.) e REFRIGERATOR SALES WELL ABOVE YEAR AGO By the Associated Press. NEW YORK, October 3.—The Edi- son Electric Institute reported sales of household electric refrigerators in the United States for the first eight months of this year totaled 1,753,632 units against 1,369,861 in the like 1935 period. August sales were 106,- 975 units against 205,098 in July and 110,161 in August, 1935. 3. Railroad earning power, the yardstick of the equipment builders’ fortunes, is steadily improving. 4. The equipment industry has come through the depression in sound financial position to handle large vol- umes and thus show rapid earnings increase. This indicates, in the opinion of ably will receive the benefits of in- mG INDUSTRY SPEEDS PACE AS RETAIL TRADE ADVANCES Cool Weather Stimulates Shopping Along Wide Front During Week. SPURT IN STEEL RATE AND LOADINGS CITED Rise in Auto Output Also Helps Push Factory Index to Peak Since February, 1930. BY THOMAS E. FLANAGAN, Associatea Press Financial Writer. Industry quickened its pace over & broad front last week and the Na- tion’s army of consumers, spurred by spreading of cool weather in most areas, stepped more aggressively up to retail counters. “The advent of October found re- tail trade throughout the United States well ahead of the same period last year,” the Department of Com= merce said in its weekly business sur- vey of 36 cities. “In a very limited number of in- stances there were slight recessions from last year or last week due to unfavorable weather. Wholesale lines, responding to the faster tempo of retail trade, showed marked ex- pansion,” the review said. Reflecting in part a spurt in steel output, motor production and freight shipments, the Associated Press index of industrial activity advanced to 96.4, the highest since February, 1930. The previous waek it stood at 94.7, a year ago at 709, Auto Buying Mounts. Faster buying by the automobile industry and most other sources, ex- cept possibly the building trade, played a part in the rise in steel operations to 754 per cent of ca- pacity, a level representing the speed- jest pace since 1930, steel men said. The week before operations were at 74.4 per cent of capacity and & year ago 50.8, the estimate of the Ameri- can Iron and Steel Institute showed. Motor circles, viewing acceleration in production last week, called atten- tion to a comparatively healthy sit- uation in the used car market. From time to time in the past year or so misgivings had been expressed inven- tories of second-hand cars might tend to slow down sales of new auto- mobiles, but latest reports from the field intimate this is no longer seen as a threat, it was said. Output increased to 22,800 units from 15764 the previous week and compared with 24,770 in the cor- responding week of 1935, Cram's esti« mated. Aided by a rise in shipments of miscellaneous freight and coal, freight car loadings for the week ended Sep- tember 26 rose to a high since No- vember, 1930. The total of 807,070 cars, reported by the Association of American Railroads, was up 2.2 per cent from the previous week and 28.1 per cent ahead of the like period a year ago. Central Plans Order. Some indication of what improved freight shipments mean to railroads and equipment companies was seen in the request for bids made by the New York Central, which tendered the largest prospective inquiry for steam | locomotives of any road since 1930. Electric power output for the week ended September 26 was under the | previous week, but the total of 2,157,278,000 kilowatt-hours was 16.1 per cent over the like week last year. How the advance of electricity out- put of recent months has gone hand in hand with the need for new equip- ment was illustrated by the report of General Electric Co. The organiza- tion, in the third quarter, received orders totaling $74,922,441, up 38 per cent from the corresponding period of 1935 and the largest for any like period since 1930. During the week “Worth Street. the Nation's largest cotton textile selling center, marked an important item on the business ledger. Although no figures were available on the amount of cotton goods of all de- scriptions sold, experts said a rush of buying took place at a rate roughly about three times as fast as produc- tion. Of prime significance, most agreed, was the fact that most of the demand represented buying for imme- diate consumption. Financial markets contributed im- portantly to the current business chap- ter. After standing on the sidelines hesitantly early in the week, stock market traders toward the close of the period stepped briskly aboard the equities bandwagon, Trade Revival Forecast. Reason: Devaluation of the frane was made law and this, most said, served to clinch in the minds of many the opinion that France's de. parture from a gold standard would help clear away international cur- rency confusion and aid revival of world trade. Many stocks reached new highs, some to peaks last seen six years ago. Meanwhile, under approximately the same influences, bonds thrust forward. Rail liens captured a wide (See INDUSTRY Page G-2.) ADVANCE CONTINUES IN TRANSIT REVENUES Special Dispatch to The Star. NEW YORK, October 3.—Revenues for the transit industry, based on tele« graphic reports received from a repe resentative group of transit operating companies, for the week ending Sep- tember 26, 1936, showed continuing improvement over last year. Transit Journal's Revenue Indicator stands at 105.92, as compared with the corres sponding week in 1935. For the week ending September 19, 1936, the Indicator was 105.40. Gains continued all over the coun- try at a good rate, except in a few large metropolitan centers, where the Jewish holidays held down riding te some extent. The week's gain, more« creased earnings even before rallroad shayeholders, over, reflected some increase from the Indicator of the prvious week. A