Evening Star Newspaper, June 6, 1937, Page 61

Claséified Ads Pages 5 to 17. Part 5—18 Pages SHOPPING SHOWS MODERATE GAIN IN GAPITAL AREA Sales 1.41 Per Cent Above Week Ago, 8.3 Per Cent Over Year Ago. New Leader of Thomas J. Groom Start- ed Financial Career Less Than 10 Years Ago. Starting his financial career less than 10 years ago, the advancement of Thomas J. Groom has been so rapid that he was elected to the highest office in the District of Columbia Bankers' Association the other day at the annual convention, at the same time becoming one of the youngest presidents the organization has ever had. Now 38 years old, he is prac- tically the same age Robert V. Fleming was when elected to the same office in 1928. ‘A native of Mobile, Ala., Mr. Groom entered a foreign service school'in his home city. Before he finished his course the school had become so limit- ed in the number of students that it was closed. Young Groom decided to come to Georgetown and get his de- A.1.B.DELEGATES LEAVE FOR ST. PAUL CONCLAVE Thirteen Members of Chapter Here Are Headed by Paul J. Seltzer, Retiring President. Has Made Brilliant Record - FINANCIAL AND CLASSIFIED he Sundwy Stare W D.C. Bankers . THOMAS J. GROOM, | staff of the old Washington Mechanics’ | Savings Bank. In 1930 he went with the Bank of Commerce & Savings, | where he is now executive vice presi- | dent and cashier. | He became an officer in the District | Bankers’ Association in 1934, being ad- | vanced each year. Acting president of | the organization in recent months, he | bstantial gain, permits reach-| out pull or influence of any kind, he | has already had broad experience with | Stock market on balance problems of banking and high finance. | BY ERWARD C. STONE. gree. Arriving in the Capital as a ‘Warmer weather helped retail trade | total stranger, he completed his {n Washington during the last week, | studies, but soon concluded that he and sales rose 141 per cent over the | was far enough from home without previous week and 83 per cent over | seeking any position abroad. * the like period a year ago, the Com-| His foreign service plans vanished merce Department reported yester-| with the wind. His eye caught a want day. Bank clearings for the week ad in The Star, which proved to be ‘ending June 2 were also higher, $23,- | an opening in a bank. Several other 617.861 against $21,334.916 a year ago. young men, all native Washingtonians, May building permits revealed a also applied for the same place. With- very 1:;{3 total of $4,122,135, as compared | won the appointment and joined the with $2570,110 in May, 1936. The = Shica Ty = review further stated that visitors to the Capital, as reflected by the Smith- sonian figures, also showed a slight | increase. | Retail trade in the other cities of the fifth district was greatly stimu- lated by warmer weather, the report | added. Wholesale demand followed | the retail trend. Summer apparel, graduation gifts, vacation and lm\fl.l ing accessories Were in particularly UN [:RUP REPURIS active demand. Charleston, S. C.,| had a gain of more than 12 per cent in trade and Norfolk reported whole- sale hardware sales were 25 per cent | better than last year. A Delegates Off to Convention. .Prices Down as Much as Thirteen delegates from Washing- 1 . ton Chapter, American Institute of 41/, Cents a Bushel in ‘Banking, to the national convertion : - in St. Paul, left the Capital last eve- Flurried Se"mg' ning in charge of Paul J. Seltzer, BY JOHN P. BOUGHAN, retiring head of the local chapter. Associated Press Market Editor. The convention opens tomorrow and | CHICAGO, June 5—Violent down- closes next Friday. Washington holds |y, 4" b1inges of wheat prices today, the distinction of having five speakers | 41, cents a bushel in some case on the program. The delegates: resulted largely from furried liqui- Willilam H. Laughlin, Ralph Endi- | q,4ing cates on the part of holders, eott and Edward M. Blaiklock, Wash- ington Loan & Trust Co.; Paul J.| Decided improvement of 1937 wheat Beltzer, American Security & Trust CTOP prospects in the United States Co.; I J. Roberts and John M. Chris- | aPpeared to be the principal under- tie, Riggs National; Joseph R. Fitz- | lving factor. Besides, heavy beneficial patrick, Second National; George M. |Tains fell in domestic Spring wheat Rowzee and George R. Gallagher,|areas and the weekly forecast indi- Lincoln National; G. Elmer Flather, |cated helpful cool, clear weather Union Trust Co.; T. Hunton Leith, throughout the Winter wheat region. Security Savings & Commercial, and | An unexpected drop-in Liverpool J. Earle McGeary, W. B. Hibbs & Co. | quotations did much to start today’s Messrs. Roberts, Seltzer, McGeary, | selling stampede. With unofficial pre- Fitzpatrick and Endicott will address | dictions current, too, that the domestic the business sessions. McAdoo Banking Bills Opposed. Tom K. Smith, president of the| American Bankers' Association, an-| nounced yesterday that, based on ac- tion of the general convention of the ' association on the branch banking question at New Orleans in 1935, the | Interim Committee of the organiza- tion has reached the conclusion that the association should oppose McAdoo bills 52347 and S2348 providing for Pranch banking across State lines The convention of the association #1935 approved section 23 of thé banking act of 1933 which provided in | substance, it is stated, that national | banks should be permitted to establish | pranches in various States in which | they are domiciled where branch bank- | Ing is permitted under State law, the | effect of that section being to put | national banks ori a parity with State | banks, which might be permitted to establish State-wide, county or city | branches, without violating the prin- | eiple of State autenomy. Auditors to Elect Officers. ‘The annual election of the auditors gection of the District Bankers' As- sociation is set for next Thursday evening at the Wardman Park Hotel, | where the annual dinner will take lace, it was announced yesterday. | illard S. Yeatman, retiring chair- | man, will preside, about 75 members and guests having reservations. According to the present slate, Harry | Downey will be advanced from vice president to president, and Gerald Keene, Second National, will set up | from secrétary-treasurer to vice presi- dent. The annual report will be pre- sented and it is expected that the new president of the District Bankers’ Association, Thomas J. Groom, will speak briefly, Baby Bonds Being Pushed. The Treasury is starting a new promotion campaign to stimulate its sales of baby bonds, thus increasing its financing on another front. Sales of these securities, known officially as savings bonds, now yield | the Treasury on the average: about | $1,000.000 & day, and the new direct | mail eampaign is expected to increase | this average sharply. Timing its new sales drive so that # will reach its height while investors | are receiving July interest and divi- dend distribution, the Treasury ex- pects to continue its promotion work throughout the rest of the year. Financial District Notes. The Washington Stock Exchange ¥as closed yesterday, as it will be svery Saturday until September. The Mortgage Bankers’ Association has selected Cleveland for the next eonvention, on October 13, 14 and 15. Class 1 railroads in the Southern district in the first four months of 1937 had a net railway operating in- come of $30,472,437 vs. $22,671,578. Reports from retail executives at- tending the two-day conference held hee under sponsorship of the Ameri- can Retail Federation indicated busi- ness generally is running ahead of | last year. The outlook for retail | business during the Summer months was seen as encouraging. SALES AIDE NAMED. NEW YORK, June 5 (#) (Special) — ¥. K. Montgomery, vice president of National Biscuit Co., announces the appointment of Albert W. Sherer, for the last eight years vice president of Lord & Thomas, to assist him in the management of the sales and advertis- ing departments of the company. 3 | Winnipeg Winter wheat yield would approximate 700,000,000 bushels, an amount 50,- 000,000 bushels more than recently forecast, wheat prices here reached the lowest level touched in the last six months about 23 cents a bushel under the season’s peak made early in April. At the close Chicago wheat futures were around the day's bottom figures, 3 t@ 4! cents below yesterday's finish, | July. $1.06'>-% ; September, $1.0634a $1.07'x: December, 1.09a$1.09'<. Corn 112 to 3% off, July, $1.19'5-35; Sep- tember, $1.06a$1.06'¢; December, 77a 77!y, Oats, 1% to 234 down, July, 393,-74; and rye showing 3'; to 3% setback, July, 88!';. The outcome in provisions was unchanged to 12 cents lower. Grain range at principal markets: JULY WHEAT— Prev. close. Chicago ¥ Minneapolis Kansas City Winnipeg Liverpool Low. Close. Minneapolis Kansas City Win'peg. Oct. Liverp'l.” Oct DECEMBER Chicago Minneapolis Kansas_City Winnipeg Liverpool Exchange. JULY COI Chicago Kansas City 1353 1.227 SEPTEMBER CORN— 1081y 1.0 1.00% 1.07% PRI RRSCER g S Chicago Kansas_City Minneapolis 5313 52% Chicago Cash Market. Cash wheat. No. ard. 1.23%: No. 3 .4 mi; vellow, : No No. 012 No. White cereal. R 0%2: samble 2 white. 1 4 48%2-50: No. Winnipes Prices. WINNIPEG. June 5 () —Cash wheat: No. 1 northern. 1.18%: No. 2" northern, 1.14%: No orthern. 1.12%." Oats, No. 2 white. .55%: No. 3 white. .33%. NEW YORK BANK STOCKS NEW YORK. June 5 (®.—New York Becurity Dealers' Association: Bank of Mfn (115) Bankers Tr (2) Brooklyn Tr (4) Cen Han Bk & Tr (3 Chase Nat (1.40) Chem Bk & Tr (1.80) Commercial (R) Cont Bk & Tr ( Corn Ex Bk & Empire Tr (1) First Nat (Bos) First Natl (100) Guaranty Tr (12) Irving Tr (.60) Manutacturers Tr (2)- Manufacturers Tr BY the Associatea Press. Brokers’ loans__ - Holdings United States securities.... Gold reserve Rediscounts . Bank clearings Electric output (kilowatt hours: week ended May 29 (Fina] three ciphers omitted in above.) Car loadings, week ended May 29_ Crude oil production (barrels).._.... Stock sales (N. Y. Stock Exchange).. Bond sales (N. Y. Stock Exchange).. Time money rate.. Commercial paper.. 107 23 |erated by national corporate chains 53% | has shrunk ffom around 70,000 in CHAINS PREPARE TOLOWERBURDEN OF STATE TAXES 'Larger and Fewer "Stores, With Sales to Managers Likely to Help. BY J. G. DONLEY. £pecial Dispatch to The Star. | | NEW YORK, June 5—What will| become of the corporate chain store, | now that the Supreme Court decision in the Louisiana tax law case makes | the sky the limit when a State desires | | to tax the chains out of existence? | The Louisian chain store tax. law | | was a new departure in such tax legis- | lation. It was the first law to base | | taxes per store on the number of | stores a chain owns in the entire | | country, rather than in the State con- cerned. g It provides taxes ranging from $10 each for 2 to 10 starez up to $350 each for all stores over 500. That means that any national chain with more ASHINGTON, | specialties D. C, SUNDAY MORNING, STOCKS END WEEK ATSTEADY LEVELS - DESPITE SELLING, Fractional Gains Recorded by Majority—Early Ad- vances Reduced. GOLD PROBLEM HOLDS WALL STREET ATTENTION Steel Shares Subdued by Labor Deadlock—Rails Uneasy Over Wage Negotiations. WHAT STOCKS DID. Saturday. Friday. Advances 266 424 Declines Unchanved Total issues 146 166 736 BY FREDERICK GARDNER, Associated Press Financiat Writer. NEW YORK, June 5—Quiet de- mand for farm implement shares and helped to keep today's But Profit selling made its appear- ance after an early forward tilt and extreme advances were pared or can- celed in many instances. Fractional gains were jn the majority at the finish. ‘The gold problem continued to hold the attention of Wall Street, but yes- terday’s assurance of the President regarding maintenance of the price | of the yellow metal seemed to have buoyed both specilative and invest- ment sentiment to some extent At the same time stock traders showed little inclination to resume | the buying move which swept the list upward late Friday. Many cashed in following the opening, on the theory the belated rally may have been a flash in the pan, due to the protracted decline and the drying up of offerings. It was the slowest Saturday session in a month, transfers totaling 342,440 shares. The Associated Press average of 60 issues managed to emerge .1 of a point higher at 678. Motor Leaders Off. JUNE 6, 1937. %// WA U ./9 / / LU L A ‘WHICH ONE or You HIT TRE M — Sporadic strikes in plants of Gen- | eral Motors and Chrysler were settled, | but the former's stock was off '( at 55% and the latter's yielded % at| 1133, [ Continuance of the steel labor dead- lock kept shares in this department subdued. Rails shifted about un- easily as carrier wage negotiations | OTTON REMAINS Agricultural machinery stocks were | Moderate Price lemg and given a brisk lift for a time as Lrldersl weighed crop prospects and concluded 5 . e . | Covering Leave -Prices they gugured weH for larger farm int Utilities held to a restricted than 500 stores in the wkole country | must pay the State of Louisiana a { tax of $550 annually for each of its stores located in that State. | There is nothing for the chains to | do but make adjustments to meet the | new conditions. The facts are that | the condition of taxation and legisla- tion aimed at the chains, supposedly | for the benefit of the independent re- tailers, is not a new thing and that the chains have been Rradually pre- paring to meet it for the past several | vears, | | Special chain store taxes of various | | soris and degrees were effective prior | to January 1, 1936, in Idaho, Man- | tana, Colorado, Texas, Minnesota, Towa, Louisiana, Wisconsin, Michigan, | Indiana, Kentucky, Alabama, West | Virginia, North Carolina, South Caro- lina, Florida and Maryland. And since the beginning of last year such laws have ‘taken effect in South Dakota, Tennessee, Mississippi and Georgia, with a tax law recently passed in Pennsylvania. Statutes pre- | viously in effect in California and | Maine have been repealed or rejected by referendum. One route which mitigates the tax burden is the closing of numbers of neighborhood stores and development of larger stores, so that the tax will rest upon a larger income per store. That trend has been particularly | marked in the grocery chain field, where the total number of units op- | 1928 to an estimated 47,000 last | year. ‘The opening of each new “com- plete food market,” selling meats and fish as well as groceiies, fruits and vegetables, usually spells the death of two 6r three, or more, small stores. The percentage of decregse in total retail volume, therefore, has been much less than the percentage of shrinkage in number of outlets. Another important avenue of escape lies in “changing their spots.” They may become so-called ‘“voluntary chains”—with the unit stores owned by former managers or whoever can be induced to buy them, while the central managment functions in a “service-and-supply” relationship un- der a kind of exclusive, contract. Wholesale grocers, wanting to build up their business with independents suffering from chain store competi- tion, showed the way to build “vol- untary chains” several years ago. Some chains which have been doing a good bit of their own manufacturing are likely to begin advertising and promoting their brands en a national scale and to go in for general food wholesaling. This week. $1,140,000 2,526,200 8,838,401 ¢ 17,485 5,276,296 Year ago. $1,176,000 2,430,244 7,840,037 5,851 5,541,939 Prev. week, $1,124,000 2,526,290 8,838,414 15,698 5,284,141 2,206,713 2,198,646 1,954,830 646,812 2,943,950 3,833,720 $52,033,000 133,947,000 18.6% 68.2% 1% 1% % %% A i LY 194,855, 3,573,700 2,953,880 $36.272,000 20,626,500 19.6% 174% 1% 1%-1%2% 1% 719,216 3,550,450 3,266,264 38,115,000 15,382,211 9.1% 91.0% 1% 1%-1%% 1% ‘first hour the curb market retreated groove. Among shares closing up as much | as a point or so were Deere at 134, | International Harvester 112, J. I. Case 171, Du Pont 158, Flintkote 3114, Union Pacific 140, Western Union | 5814, Cerro de Pasco 6934 and General | American Transportation 69. On the offside were U. S. Steel at 10135, Westinghouse, 143';; General | with final prices 3 to 7 points nfl‘G : Electric. 54': Southern Pacific, 51'5; | Santa Fe. 84 Sears-Roebuck, 89%: | Douglas Aircraft, 587, and Standard | Oil of New Jersey, 66354 E United States Bonds Improve. ‘The bond market plodded through ! another quiet session and emerged with many small gains. | United States Governments turned up as a group, following Friday's slightly erratic movements, and fin- ished with advances ranging to 9-32 of & point. While several remained even on the day, none lost ground. ‘Turnover for the short session to- taled $4,363,000, face value,, for all bonds. compared with $3,895,000 on May 22. A week ago the market was closed to inaugurate the long Memorial day holiday. . Virtually all members of the in- vestment community looked to Mon- day’s note offering by the Treasury for | some direction factors around which | to build trading and investment policies. Lower rated railroad bonds at- | tracted a following of sorts today and moved ahead small fractions as did public utility issues. The Associated Press averages for 20 catriers liens moved up 0.1 of & point to 93.6 and the 10 utilities gained the same amount at 98.1. Curb-List Retreats. After pushing a little higher in the as buying interest waned. The close was mixed. A few industrials were responsive to a moderate demand. Technicolor, E. W. Bliss Co, International Petro- leum, Humble Oil and St. Regis Paper | finished with some gains. Gulf fell back after a fair rise in early dealings. Fractionally lower were the final prices for Arkansas Natural Gas “A” Consolidated Air- craft, Niagara Hudson Power, New- mont and New Jersey Zinc. Transactions of 74,000 shares werefu the smallest for a Saturday in about a | year. 161,000 shares. . IMPORTANT COMMODITY MARKETS ARE CLOSED By the Associated Press. NEW YORK, June 5.—Most impor~ tant commodity markets here were closed today, and will close Saturdays during the Summer months, in order to extend the week-end holiday. ° Cotton, cottonseed oil and wool-top futures remained open. The Com- modity Exchange, on which are traded future contracts in rubber, silk, hides and copper, tin, lead and zinc, was closed, as was the Coffee and Sugar Exchange and the Cocoa Exchange. Abroad, the London Stock Exchange and Paris Bourse were closed as usual. No unofficial trading took place on the London Metal Exchange, as has heretofore been the custom on Sat- urdays, —_— FREIGHT LOADINGS. NEW YORK. June (7). —Revenue freight carloadings on railroads reporting today for the month of May included: Shats. & Ohio- 18""‘" ‘;‘{% e bt R R U Pere Marquette April. 137,633 1. 38387 end covering. Previous Saturday volume was | P}, Up 3 to 7 Points. By the Associated Press. NEW YORK, June 5—Cotton was steady today within a narrow range on moderate price fixing and week 1267 to 1272 and closed at 1271, higher. Trading was light in absence of incentives for fresh commitments. The opening was unchanged to 2 points higher, reflecting steadiness at Liverpool and a little trade and for- | eign buying. Contracts were supplied by July liquidation, and light scattered local selling promoted by reports of bene- | ficial ralns in Eastern Texas and Western Louisiana, The seady tone of the early stock market and the President's assertion there would be no changes in Gov- ernment gold policies influenced sen- timent. . General light to heavy rains were reported from Central Texas east- ward through the central belt and there were a few scattered showers in the Carolinas. The weekly forecast was for scat- tered showers during the middle of ‘the week in the Gulf and Southern Plain States. Cotton on shipboard awaiting clear- ance at the end of the week was esti- mated at 51,000 bales, against 68,000 last year and 56,000 two years ago. The range follows: July October _ December January March May = 13 Spot steady; middiing, tnal. Cottonseed Oil. Cottonseed oil was easier today under | liquidation and local selling of July and September. Final prices were 2 to 3 points net lower. Sales, 61 lots. Bleachable spot nominal: Jul closed 9.80: September. 9.82; October, 9.79; De- cembér, 9.74; Januar: .76, New Orleans Prices’ NEW ORLEANS. June 5 (#.—Cotton futures closed steady. net unchanged to 5 points up. High. Low 2.4 Close Cottonseed oil closed steady: bleachable .90bal0.10a: prime 9.30b: September, Octobe! December, 9.74b} T 9.3 26D, . COPPER IMPORTS CLIMB SHARPLY DURING APRIL By the Associgted Press. NEW YORK, June 5—The Amer- ican Bureau of Metal Statistics re- ported today imports of copper into the United States in April totaled 20,- 778 short tons, against 17,239 tons in March, i Imports into Great Britain totaled 33.215 tons, against 25,445 tons in the previous month, Exports of copper. from the United States totaled 21,282 short tons in April, compared with 23,116 tons in March. YEAR'S LOSS REPORTED BY THOMPSON-STARRETT By the Associated Press. NEW YORK, June 5.—Thompson- Starrett Co. and subsidiaries reported today net loss, after tax, interest, etc., for the year ended April 29, at $275,- 269, compared with net income of $31,286 in the preceding year, ] | October rallied from Stone & Webster | | | of which 690,549 shares were lssued. | Earnings | Ey the Assoctated Press, NEW YORK, June. 5—Corporate | earnings statements released during the week, showing profits per share, included: Four Months Ended April 30. Babeosk & Wilcox § Addressograph-Multigraph__ $1.00 Three Months Ended April 30, American Power & Light 4 National Power & Light United Electric Coal Year Ended Mareh 31, Remington Rand 1 United Aircraft Quarter Ended March 31, Allis Chalmers Manufacturing Diamond Match $.68 Vick Chemical Evans Products Year Ended February 28, ntic & Pacific Tea_ 7.31 Not reported 3 4 1 133 5 3 4 4 0 4 It 4 0! 1 1 7.08 | NET OF AMALGAMATED SUGAR SHOWS DROP | By the Associated Press. NEW YORK, June 5—Amalga- mated Sugar Co. reported today net profit for the 12 months ended March 31 last of $713,816 after depreciation, Federal income taxes and other | charges, compared with a net profit in the previous year of $846,438. The company’s annual report stated that authorized capital stock now con- sisted of 750,000 $10 par shares of 5 | per cent cumulative first preferred of } which 689,146 shares were issued and 750,000 shares of $1 par common stock The fiscal year of the company has been changed to end September 30 in- stead of March 31. PIPELINE PROFITS JUMP. NEW YORK, June 5 (Special).— | Panhandle Eastern Pipeline Co. re- | ports. gross revenues of $7,320,621 for the 12 months ending April 30, 1937, a gain of 70 per cent over gross rev- enues of $4,304,889 in the preceding 12 months, How Is DAVISON CHEMICAL ORDERS DIVIDEND Special 60-Cent Payment Is ! First Announced Since November, 1920. Ry the Associated Press. NEW YORK, June 5.—Davison Chemical Corp. declared a special | dividend today of 60 cents, payable June 18 to stock of record June 14. This’ is the first dividend paid since November, 1920. The company is engaged in the chemical ahd fertilizer business. with its principal plant located at Balti- more, Md. American Bemberg. American Bemberg Corp' declared a dividend of $10.50 on account of ac- cumulations and a semi-annual divi- | dend of $3.50 on the 7 per cent pre- ferred, both payable July 1 to stock of record June 21. The company is a manufacturer of artificial silk, with a plant located in Tennessee. Hussman-Ligonier. Hussman-Ligonier Co. declared an extra dividend of 25 cents today on the common, payable July 15 to stock of record June 20, and the regular | quarterly dividend of 25 cents, payable August 1 to stock of record June 20. The company is a manufacturer and distributor of commercial refrigerators, with its principal plant located at St. Louis. Mead-Johnson Co. Mead-Johnson Co. declared an extra dividend of 75 cents and the regular quarterly dividend of 75 cents on the common stock, payable July 1 to stock of record June 15. The company makes infant diet ma- terials and its main plant is at Evans- ville, Ind. Business? Showing Current Business Activity Compared with the Same Week A Year Ago [___pund Juur Tava] seer Jocr Inov] oec | GENERAL BUSINESS ACTIVITY for the country indicated by Bank 1ow week of act previous year. Black areas indicate declines from same ‘weeks twel Debits outeide the corresponding week of t ity stove months earller, ACTIVITY BY FEDERAL RESERVE DISTRICTS Cheek Tramsactions compared with the same weok a v Ci LEADING BAROMETERS Showing Trend of Important Factors . Business in Dollars (Checks Cashed) Employment (Dept. of Labor). ‘Wages (Dept. of Labor). ... Cost of Living (Ind. Conf. Board) ‘Wholesale Prices (Fishei’s Index). . . Agricultural Prices (Bureau of Labor) Building Contracts (F. W. Dodge). Failures (Dun’s) Chasge Present Trend In-% Y-‘r“.n s s NeuNRSA=AANLY XY LT Y Movement of Goods (Car Loadings). Retail Trade (Fed. Res. Board). . s et N - 141 ++++++++++ All rights reserved, Cambridge Assesiates, Bosjen { ? WEATHER BOOSTS RETAIL VOLUME: STEEL RATE SAGS Store Sales Advance Far Above Last Year in Most Sections. | INDEX OF INDUSTRIAL ACTIVITY GOES DOWN Power Production, Auto Output and Freight Loadings Hold at Steady Levels. BY THOMAS E. FLANAG Asscciated Press Financial Writer The Nation's industrial motor sput= tered along on three cylinders last week, Steel , operations, choked off by strikes in independent companies, fell sharpl The three other major di- visions—motor output, power produc- tion and car loadings—whirled along at a steady pace Retail trade, facing its first test of Summer consumer demand, responded smartly to hot weather in most sec= tions. It surpassed the corresponding period last year “by substantial mar- gins.” the Department of Commerce said in its report on 37 cities Wholesale Trade Gains. “Wholesale markets, particularly in apparel lines, also showed improve- ment,” the report added. The Associated Press index of in- dustrial activity dropped to 106.4 from 108.3 the week previous and compared with 89.4 in the like period of 1936. Steel production fell to 774 per cent of capacity from 91 the preceding week, the American Iron & Steel In- stitute reported. In the like week last year it stood at 68.2. Trade circles said the decline was somewhat less than expected, owing to | well-sustained demand for steel. Hard- est hit by strikes was the Youngstown | district, where operations fell to about 45 per cent of capacity from 84' Although new steel business had been siackening before strikes got | under way, experts pointed out speci= fications against contracts have been holding up stubbornly. Stressing the bright outlook for si | able orders from the automobile in= dustry for July and August delivery, observers expressed the opinion there will be no important let-down of steel consumption in the near future. Loadings Increase. Freight carloadings rose 2 per cent to 794.855 in the week ended May 29, | & new 1937 peak, according to the Association of American Railroads. The total was 22.9 per cent ahead of the like week last year. Significant, analysts said, were the good gains scored in shipments of ore, coal and miscellaneous freight. Rises in these classifications bore witness to widespread vitality in both trade and industry. Output of electric power was up a little to 2,206,713.000 kilowatt.hours in the week ended May 29, the Edison | Electric Institute reported. The total was 12.9 per cent ahead of the corre- | sponding week of 1936, an advantage which compared with 12.1 per cent scored in the preceding week. High spot of the report was contin= uéd brisk demand in the Central in- dustrial region and widening of gains over a year ago in the New England and Middle Atlantic sections. Auto Output Down. | Automobile output was off to 103.319 | units from 131,421 the week previous | and compared with 101,752 in the like period last year. Although the decline in some measure reflected interruption of the Memerial day holiday, trade observers noted slackening was in order in any event, owing to the ap= proach of Summer A correlative of the slow production pace was the less insistent retail de- mand for motors. This was seen as a normal phenomenon, contrasting with the contra-seasonal strength of de= mand ih the two preceding years. Reassuring to business observers was the fact wholesale commodity prices, in terms of the Bureau of Labor index, remained unchanged in the week ended May 29 at 87.4 per cent of the 1926 average. Ruling trade opinion was that months ahead will probably bring some stiffening of the wholesale price structure with consequent mark-ups on retail products. Buying Power Climbs. Experts in the retail division say they had seen no important symptoms of consumer resistance. Furthermore, some ventured to predict swelling farm purchasing power and higher wages will help absorb increases poste ed by retailers. Footnote to purchasing power in farm regions were estimates indicate ing wheat growers may get about $1,000,000,000, or nearly double the average of the past six years, from 1937 crops. The stock market dipped on Euro- pean war threat fears, then recovered as clouds disappeared. The rebound lacked energy, however, owing to strikes in steel and other industries. Bonds were steady with a fair de mand for medium-priced rails. Ac= tivity in United States Government obligations was restricted pending dis= closure of coupons and maturities on the Treasury’s $800,000,000 note issue to be offered Monday. Detailed Reports Given. BOSTON.—Interest in cotton goods re- mained low. The wool market improved slightly. “Retail sales were about 24 per cent ahead of a year ago, but only 2.8 per cent up from ike week last month. NEW _YORK.—Trade ~was generally brisk. Wholesale apparel spurted on de- mand stimulated by heat early in the week. Department store totals in the metropolitan_area were uneven, PHILADELFHIA —Excellent ' shopping weather sent retail business 5 per cent ahead of the like week last year. Volume for May will show & 5-t0-8 increase. merchants sa CLEVELAND.—Retatl z00d and compared corresponding ~ week i year. Warm weather boosted sales at Toledo where lume as shown by bank debits was 7.213.400, or 12 per cent over last year RICHMOND -—Department _store turn= over in the fifth Federal Reserve district climbed well above the like period a year ago, with some stores reporting gains as 25 per cent. Bank clearings at imore and Washinston were ~above revious and the like week last year. NTA —Retail saies were steadve Jerasing about 22 per cent above the like 1936 week. Bank clearings declined to %47.000.000 ‘from $53.000.000 the week before.” Steel operations in the Birate ingham area were steady at 96 per cent of capacity. ‘l per cent id distribution was orably with the th