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floSwoM RecoM 



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

 Mill and Wood-Working Machinery, on the 10th and 25th of each Month, by 



THE HARDWOOD COMPANY 



Henry H. Gibson, Editor and Manager 

 Edwin W. Meeker"! 

 Hu Maxwell J 



^Associate Editors 



Entire Seventh Floor Ellsworth Building 

 537 So. Dearborn Street, CHICAGO 

 Telephones: Harrison 8086-8087-8088 



OaKU^ 



Vol. XXXVII 



CHICAGO, DECEMBER 10, 1913 



No. 4 



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General Market Conditions 



CONFLICTING EEPOETS coueerniiig the general conditions in 

 the lumber business throughout the country make it very dif- 

 ficult to arrive at any accurate analysis of the lumber market. From 

 some quarters come the most optimistic reports indicating that mills 

 are sold practically up to the saw, these reports coming from points 

 both in the Xorth and South. On the other hand, these statements 

 are offset by reports of a much more unsatisfactory nature, indi- 

 cating that there is more lumber at the mills at some points than is 

 desired, while from the consuming centers representatives on the 

 ground are really complaining very seriously regarding the general 

 state of affairs. 



Considering the matter from the mill viewpoint, it is really true 

 that quite a number of mills are undoubtedly sold up on their stock 

 and are selling right up to the saw at present. In fact, one large 

 southern hardwood mill concern, which is typical of the Indiana and 

 Kentucky mill sections, states that this will be the biggest year in 

 its history, and this concern has seen some pretty big years in the 

 past. Then again, there is a class of mills whose reports show that 

 while they are not sold up to the saw, the total aggregate volume 

 of orders is equal to normal at this time of the year, and they are 

 maintaining a fair level of orders as compared to cut. 



Then there is the third group — mills whch are actually accumu- 

 lating lumber, but it is very gratifying to note that in the majority 

 of such cases these accumulations are in very strong hands and are 

 really being held because the owners of stocks are not willing to let 

 them go at below what they believe the lumber is worth. It is to be 

 hoped that this course will prove w'ithin the next month or two to be 

 wise. It is deplorable that the hardwood mill trade as a whole is 

 not in a suflSciently strong position to follow the same policy, as 

 such a policy, if carried out, would unquestionably react favorably 

 upon both the buyer and seller. As it is now the buyer is constantly 

 shopping for lumber, perhaps in some cases believing that he will 

 get cheaper lumber if he waits. The result is that both the buy- 

 ing and selling ends are somewhat demoralized, neither one follow- 

 ing its regular course, which necessitates great expense in selling 

 and great uncertainty in buying, without the usual satisfaction on 

 either side. 



As is usually the case in dull times, the buyers as a whole are 

 showing a tendency to be much more technical in their inspections 

 and as a result there are more than the ordinary number of kicks. 

 It is also a fact that collections are poor. If there were no other 

 indication, the slowness with which this ofiSce is receiving checks 

 would indicate that the lumber trade generally is not getting its 

 share of cash any too quickly. 



AS suggested heretofore in this column, the nub of the whole . 

 situation is undoubtedly the attitude of the banking element of the 

 country regarding loans, as there continues to be absolutely no ap- 

 parent indication of the fundamental weakness in industrial or trade 

 conditions. It is not likely that the proposed administration cur- 

 rency bill will have any effect directly in itself upon the business man, 

 and it is problematical as to whether or not it would really hurt the 

 banker. 



We heard constantly when the postal savings bank was proposed 

 that if it were actually put into operation the banking system of 

 the country would be completely demoralized, and the country would 

 go to ruin. That the exact opposite has resulted is pretty generally 

 known. Bankers are now predicting the same results if the ad- 

 ministration currency bill is passed, and it is logical for the layman 

 to ^ draw the same conclusions regarding this measure that he has 

 drawn from the conditions surrounding the postal banks. 



The average business man is pretty well convinced that the main 

 thing is to get this administration currency legislation accomplished 

 and at least try it out. It is of course possible to amend it if it 

 proves utterly incapable of taking care of situations that might de- 

 velop. There is apparent a noticeable expression of resentment on 

 the part of the business man toward the banking element for its 

 attitude regarding the administration measure, and the business man 

 wants non-interference of this measure so that it ms-y be passed at 

 the earliest possible moment, and he seems to be willing to take the 

 consequences of any dire results that might ensue. 



President Wilson 's recent expression on the trust question, in 

 which he stated that the object of the administration's course is not 

 to over-throw all combinations but simply to definitely define the 

 workings of the Sherman anti-trust law, is already showing a good 

 effect. 



It is probable that with this currency measure and the trust regu- 

 lations definitely shaped up, the main disturbing factor will eventu- 

 ally be hesitancy resulting from recent tariff revisions. As to that 

 question, any changes that might have been effected have certain!}' 

 not been broad enough in their character to have a permanently de- 

 terring effect upon business in general. 



Getting back to the lumber business, the stock condition is strong 

 as suggested even with tlio weak condition of buying. 



It is generally reported from export sections that the export busi- 

 ness has been more active during the last week or two than for some 

 little time. The general situation of the different woods is not ma- 

 terially altered, quartered oak being a strong item, with plain oak 

 perhaps a little weaker throughout the country but not exceedingly so. 



It is pretty generally stated that offerings of gum lumber are a 

 little firmer as the result of the recent incorporation of the gum as- 



