MONTHLY REVIEW OF AGRICULTURAL AND BUSINESS CONDITIONS IN THE NINTH FEDERAL RESERVE DISTRICT

, Serial Vol. 7 No. 261 Federal Reserve Bank, Minneapolis, Minn. September 28, 1936

DISTRICT SUMMARY OF BUSINESS Retail Trade Bank debits at seventeen reporting cities of the % August 1936 district were slightly smaller during the first half of of September than in the same period last year. Evi- Mpls., St. Paul, Duluth-Superior ( 21 stores) 06 dently the deficiency in grain marketings due to the Country Stores (332 stores) 09 Minnesota—Central . ( 18 stores) 17 crop failure had begun to affect some phases of Minnesota—Northeastern . . ( 9 stores) 31 northwestern business. This deterring element was Minnesota—Red River Valley. ( 7 stores) 16 not apparent in the reports prior to September, for Minnesota—South Cenrtal ( 26 stores) 03 the August index numbers made exceptional gains Minnesota—Southeastern ( 19 stores) 04 Minnesota—Southwestern ( 26 stores) 13 over July and earlier months. The adjusted index Montana—Mountain ( 14 stores) 15 of bank debits for farming communities rose five Montana—Plains ( 29 stores) 98 points during August to a new high for the recovery North Dakota—North Central ( 13 stores) 21 period. This index had not reached the August level North Dakota—Northwestern ( I 1 stores) 16 North Dakota—Red River Val ( 21 stores) 10 since the winter of 1930-31. The country check North Dakota—Southeastern ( 24 stores) 08 clearings index and the index of 1. c. 1. freight car, North Dakota—Southwestern . ( 3 stores) 27 loadings also made new high records for the recov- South Dakota—Southeastern . ( 7 stores) 87 ery period. The department store sales index re- South Dakota—Other Eastern. ( 30 stores) 15 South Dakota—West River ( 8 stores) 90 gained most of the July decline, and the bank debits Northern Wisconsin Mich ( 32 stores) 10 index for large and small cities combined remained West Central Wisconsin ( 35 stores) 10 at the July level, which was the highest for the re- Ninth District (353 stores) 08 covery period. Northwestern Business Indexes DISTRICT SUMMARY OF BANKING (Varying base periods) Current banking reports reflect the increasing de- Aug. July Aug. Aug. mands of business at the opening of the autumn 1936 1936 1935 1934 trade period. Loans to customers at reporting city Bank Debits-94 Cities 86 86 73 64 banks increased 8 million dollars during the four Bank Debits—Farming Centers 90 85 71 63 weeks ending September 16. This was about as large Country Check Clearings 155 147 127 107 Department Store Sales 86 81 80 74 an increase as occurred a year ago during the same Country Lumber Sales 85 86 82 59 period. Commercial deposits increased 9 million Miscellaneous Carloadings 85 80 69 64 dollars during the same four weeks. Other changes L. C. L. Carloadings 65 62 60 61 included a decrease of 6 million dollars in state, As compared with the volume of business a year county, and municipal deposits; a decrease of 6 ago, the August volume this year was materially million dollars in balances due to other banks; an larger. Bank debits were 19 per cent above August increase of 3 million dollars in time deposits; and last year; country check clearings were 18 per cent an increase of 3 million dollars in investments. greater; and freight carloadings were 27 per cent greater. Other increases occurred in building permits, Country member banks reported an increase of building contracts, real estate activity in Hennepin 9 million dollars, or 3 per cent, in their gross de- and Ramsey counties, flour shipments, livestock re- posits between the last half of July and the last half ceipts, country lumber sales, and wholesale hard- of August. The increase was most pronounced in ware sales. Decreases from last years volume were rural Minnesota. reported in linseed product shipments, butter pro- duction, grain marketings, and wholesale shoe sales. DISTRICT SUMMARY OF AGRICULTURE Retail tr