COAL PRICES IN SEPTEMBER 1941

RETAIL prices of coal advanced between June and September 1941, following a 6-month period of comparative stability resulting from omission of the usual spring and summer reductions. September prices were substantially higher than a year ago.

The general level of bituminous-coal prices in September was about 5 percent higher than in June. The increase in Pennsylvania anthracite prices amounted to 9.6 percent for pea, 7.2 percent for stove and chestnut, and about 2 percent for buckwheat No. 1. Arkansas anthracite prices advanced about 4 percent for the quarter.

It is reported that lake shipments have reached a record high in recent months in the effort to fill the docks of the upper lake region before freezing weather stops navigation.

The New England States reported considerable improvement in the fuel situation since June. Indications were that there would be an adequate supply for the coal year.

Retail coal business slackened somewhat after the larger domestic consumers had ordered their winter supply of coal earlier in the season. Dealers in most cities were able to fill these early orders but delays in a few cities were caused by inability to secure supplies of the particular kinds of coal desired by some customers.

Average prices of coal together with indexes for bituminous coal and Pennsylvania anthracite, based on the 3-year period October 1922-September 1925 as 100, are presented in the following table for September and June 1941 and September 1940.

Average Retail Prices of Coal in Large Cities Combined, September and June 1941 and

Weighted on the basis of the distribution by rail or rail and tidewater to each city during the 12-month period from Aug. 1, 1935, to July 31, 1936.

WHOLESALE PRICES IN OCTOBER 19411

THE general level of wholesale commodity prices rose 0.7 percent from September to October to the highest point since early in 1930. Increased excise taxes which became effective on the first of October contributed to the advance. At 92.4 percent of the 1926 average, the all-commodity index was 17.4 percent higher than in October 1940.

The price advance was confined largely to industrial commodity markets, with metals and metal products, particularly automobiles, leading the upward movement with a gain of 4.6 percent. Chemicals and allied products rose 2.6 percent; housefurnishing goods, 2.4 percent; miscellaneous commodities, 1.5 percent; textile products, 1.3 percent; hides and leather products, 1.2 percent; building materials, 0.8 percent; and fuel and lighting materials, 0.5 percent. Farm products, on the contrary, declined 1.1 percent and foods fell 0.7 percent during the month. Average wholesale prices for manufactured products advanced 1.2 percent, while raw materials and semimanufactured articles declined fractionally.

Wholesale prices for most commodities are substantially higher than they were a year ago. Farm products have risen 35.5 percent; foods, 25.0 percent; textile products, 23.5 percent; and chemicals and allied products, 16.6 percent. Housefurnishing goods, miscellaneous commodities, fuel and lighting materials, and hides and leather products, rose over 10 percent; and metals and metal products, and building materials, less than 10 percent. Among the outstanding changes in subgroups of related commodities was an increase of nearly 135 percent for fats and oils from the relatively low level of 39.8 percent of the 1926 average in October 1940. Since October of last year cotton goods have advanced 47 percent; cattle feed, 40 percent; "other farm products," 39 percent; "other foods," 35 percent; livestock and poultry, about 34 percent; and "other textile products," 32 percent. During this period increases for grains, dairy products, fruits and vegetables, meats, hides and skins, petroleum products, drugs and More detailed information on wholesale prices is given in the Wholesale Price pamphlet and will be furnished upon request.

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pharmaceuticals, ranged from 20 to 30 percent. Advances of from 10 to 20 percent were recorded for cereal products, shoes, leather, clothing, woolen and worsted goods, coke, motor vehicles, lumber, paint and paint materials, fertilizer materials, furniture, automobile tires and tubes, crude rubber, and "other miscellaneous."

After fluctuating within a very narrow range during the first 9 months of the year, under the influence of Government regulation of prices for most primary metals, the index for the metals and metal products group turned sharply upward in October. Higher prices for automobiles, increased excise taxes, and a ceiling imposed by OPA on zinc at a price above the prevailing market level were largely responsible for the advance. In addition, minor price increases were reported for farm machinery, small implements, and for certain plumbing fixtures. Aluminum declined nearly 12 percent during the month. Notwithstanding the recent advance, average prices for metals and metal products were only 6 percent above a year ago. They have risen 7.6 percent since October 1939, shortly after the outbreak of the war in Europe, as compared with an advance of 49 percent during a similar period after the beginning of the first World War.

Average wholesale prices for building materials advanced 0.8 percent in October. Prices were higher for prepared paints, paint materials such as colors, tung oil, turpentine, and whiting, for brick, plaster, roofing, and plumbing equipment, and for most types of lumber, particularly gum, Douglas fir, poplar, Ponderosa, Idaho and sugar pine, and yellow pine dimension, lath, and timbers. Quotations were lower for oak, yellow pine boards, drop siding, finish, and flooring, for red cedar shingles, and for linseed oil, and rosin.

Average prices for chemicals and allied products advanced 2.6 percent, primarily because of higher excise taxes on alcohol, continued advances in prices for industrial fats and oils, and for glycerine, naphthalene, salt cake, carbon bisulphide, and zinc chloride. Higher prices were also reported for fertilizer materials such as ground bone, fish scrap, tankage, manure salts, and potashes. Methanol and ergot declined sharply.

Higher taxes, as well as advancing prices, were also reflected in the index for housefurnishing goods, which rose 2.4 percent to the highest point in 15 years. Increased prices were reported for furniture, including springs and mattresses, and for stoves, sewing machines, bedding, and tableware.

A general advance occurred in textile markets, hosiery and underwear prices having increased 3.4 percent; men's clothing, both work and dress, 1.8 percent; rayon yarns, 1.7 percent; cotton goods, particularly denim, duck, print cloth, flannel, and sheeting, 1 percent; and woolen and worsted goods, 0.9 percent. Quotations were also higher for hemp, jute, and cordage. The October index, at 90.9, was the

highest since the spring of 1929, and more than 77 percent above the depression low point of early 1933.

The index for hides and leather products continued to advance with higher prices reported for hides and skins, leather, and for shoes, luggage, and belting. Prices for these commodities have risen steadily since February; the October index, 112.6, was over 10 percent above the February level.

Fractional advances in prices for coal, together with higher quotations for kerosene and for fuel and natural gasoline from the Oklahoma fields, caused the fuel and lighting materials group index to rise 0.5 percent. Prices for Pennsylvania fuel oil and California gasoline declined.

Following a steady gain since early in the year, agricultural commodity markets broke sharply in October, causing the farm products group index to drop 1.1 percent. All grains declined, ranging from over 3 percent for barley, oats, and wheat, to more than 15 percent for rye. Livestock prices were considerably lower in October. Hogs and live poultry dropped about 9 percent; wethers, 10 percent; cows, 5 percent; steers, 2 percent; and lambs, 3 percent. In addition, prices were lower for cotton, peanuts, flaxseed, and sweetpotatoes. Higher prices were reported for seeds, hay, hops, tobacco, wool, for fresh milk and eggs, and for most fruits and vegetables. Notwithstanding the recession in farm product prices in October, the group index was 35.5 percent higher than a year ago.

A sharp decline, 5.8 percent, in prices for meats contributed largely to a decrease of 0.7 percent in the foods group index. Lower prices were reported for fresh beef and pork, veal, lamb, cured pork, dressed poultry, lard, butter, cottonseed and corn oils, condensed milk, oatmeal, flour, rice, corn meal, and for imported foods, such as coffee, pepper, sugar, and cocoa beans. Prices for fruits and vegetables averaged 7 percent higher in October than in September, as marked advances were reported in prices for canned and dried fruits and vegetables, bananas, citrus fruits, apples, white potatoes, and onions. Dairy products advanced 2 percent, due to higher prices for cheese, fresh milk in the Chicago and New York markets, and powdered milk. A marked increase occurred in bread prices at Chicago, while smaller increases were reported in prices for crackers, and wheat cereal, cured beef and mutton, and canned salmon, oleo oil, edible tallow, tea, and most vegetable oils.

Cattle feed prices declined 10.5 percent during October. Crude rubber decreased 1.1 percent, while average wholesale prices for tires and tubes advanced because of the increased taxes. Soap and soap products rose 2.4 percent in October and quotations were also higher for cylinder oil, paraffin wax, and matches.

Index numbers for the groups and subgroups of commodities for September and October 1941 and October 1940 and the percentage changes from September 1941 and October 1940 are shown in table 1.

TABLE 1.-Index Numbers of Wholesale Prices by Groups and Subgroups of Commodities, October 1941 with Comparisons for September 1941 and October 1940