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Published in ihe InleresI of ihe American Hardwood Forests, the Products thereof, and Logging, Saw 

 Mill and Wood- Working Machinery, on the 1 0th and 25lh of each Month, by 



THE HARDWOOD COMPANY 



Henry H. Gibson, Editor and Manager 

 Edwin W. MeekerV 



Hu Maxwell 



>Associate Editors 



Entire Seventh Floor Ellsworth building 

 537 So. Dearborn Street. CHICAGO 

 Telephones: Harrison 8086-8087-8088 



Vol. XXXVII CHICAGO, NOVEMBER 25, 1913 No. 3 



■fTTTf 



Review and Outlook 



General Market Conditions 



CONSERVATISM IS THE KEY-KOTE of lumber buying at pres- 

 ent in all classes and varieties of lumber. In southern pine, of 

 course, the condition can be said to be more than conservative, and in 

 fact, decidedly slow, but in hardwood the former description describes 

 the situation accurately. The most pessimistic note seems to come 

 from the East, where are located several prominent exporting cen- 

 ters, this tone being the reflection of poor conditions prevailing in 

 all stocks of export shipments. This condition is a reflection of 

 two causes abroad, one being over-stocks in British markets, an in 

 fact in markets generally throughout the continent. This over- 

 stock condition is the result both of easing of demand and of 

 overshipments. In Germany, where a considerable market usually 

 lies for American lumber products, the economic crises which that 

 country has been passing through on account of recent conflicts 

 has resulted in a scarcity of available funds and a general letting 

 up in business activity. It is encouraging, however, to note that 

 in no case is there any tendency to consider the situation as of a 

 panicky character, there being simply the same feeling of con- 

 servatism that is apparent pretty much all over the United States. 



In this country there has been very little change since the last re- 

 port two weeks ago, with the exception that sawmill operators in the 

 Memphis territorj- and all through Arkansas are in a much more 

 favorable frame of mind regarding log supply, as the opening up of 

 excellent logging conditions means that they will be able to keep their 

 mills running in good shape. In fact, there are very few shut-downs 

 due to a scarcity of logs, those mills which are down being stopped 

 because of a necessity for overhauling and general repair work. 



It continues to be a fact that nowhere at the mills either north or 

 south is there any too much lumber, and also because of the fact that 

 buyers have been going slowly, stocks in consumers' hands continue to 

 be of moderate proportions. In spite of this condition, however, the 

 general run of hardwood stocks is not selling up to normal market 

 values, even oak being shaded somewhat. This may not be the result 

 entirely of reduction in the total consumption of hardwood lumber. 

 The conservative buying that prevails, resulting in the placing of small 

 orders, means that hardwood firms must necessarily put more effort 

 into the securing of each order, and while the aggregate amount of 

 lumber moved might be pretty near to normal conditions, the result 

 of this strenuous seeking of business means that salesmen are more 

 apt to shade prices than they would be if the same amount of lumber 

 were moving in a smaller number of larger orders. 



As stated, oak is off in some quarters, although it could be truth- 

 fully said that this condition prevails more with the weaker houses 

 than it does with the bigger manufacturers of suflScient strength to 



hold their prices. In fact, some of the big oak mills of the country 

 are realizing consistently satisfactory prices for their lumber. 



Gum has felt a slight stimulation on account of the recent organiza- 

 tion of gum manufacturers and the facts which developed at the recent 

 gum meetings showing that gum stocks are not in as serious a shape 

 as had been thought. Following the first meeting there was a more 

 firm tone noted on quotations on red gum, but this sentiment did not 

 crystallize into any uniform shape until after the formal organization 

 of the association and the outlining of plans for improring the gum 

 market. The lower grades of red and sap gum are in a more favorable 

 condition than they have been, while sap gum generally speaking, is 

 slightly stronger. 



With but normal stocks prevailing at northern mills, and in fact in 

 some cases stocks below normal, no particular apprehension is felt in 

 those quarters although there are rumors of quite a little price buying 

 in northern hardwoods. 



The general business situation continues to be affected by various 

 political causes, chief among them being the rather slow progress and 

 unsatisfactory status of legislation looking toward the making over of 

 the currency system of the country. The banking element continues to 

 maintain its hesitant position regarding money loaned, and as a result 

 collections continue to be poor, and industrial and speculative depart- 

 ments are held back. 



The imminence of the semi-annual inventory season is also having 

 some effect on trade, and this can be said as truthfully of lumber, and 

 probably more truthfully than of almost any other commodity. 



On the whole the general indications are that business men are 

 simply marking time until they are able to more fully analyze the 

 prospects for 1914, and shape up policies which will be in conformity 

 with conditions and circumstances that will prevail at that time. The 

 conditions which probably are causing this uncertainty more than any- 

 thing else are the matters at Washington relative to legislation, the 

 uncertainty of the Mexican situation, the lack of definite ideas as to 

 how the recent changes in tariff will affect business in this country, 

 the proposed general advance of freight rates, which would mean rais- 

 ing the prices of all commodities, and the general disposition to hold 

 up pending some definite information as to how the many new poli- 

 cies and ideas as advanced by the administration at Washington will 

 eventually pan out. 



Landed at Last 



THE COVER PI-CTITJE which illustr.ites this number of Hard- 

 OD Record may not suggest the title, but the fact is well ex- 

 pressed, because the abnormal trunk now growing on land once 

 stood in water. The tree is the mangrove. The picture was made 

 in South Florida. 



