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  • B U S I N E S S

    Consumer Goods Move Better Further increase also shown in new construction;

    revival in textiles is set for the fa l l ; more spending reported

    C O N T I N U E D heavy outlays for new ^cons t ruc t ion and further inventory curtailment in wholesale a n d retail lines are encouraging developments at this time which offset less favorable news in the bus ;

  • what in reverse of general industry. | All nonfarm employment increased j slightly between May and June.

    Gum and Wood Rosin. Supplies of both descriptions gained slightly dur-ing second quarter to 800,950 drums, still was some 16,000 drums below stocks reported at same time in 1953. The seasonal gain in stocks from the first to second quarter this year was 26,000 drums, almost the same quar-terly gain as a year ago. Season for these products begins with April. Ac-cording to trade reports rosin and tur-pentine have been moving in very good volume this season.

    Steel Opera t ions . Slight improve-ment in production brought steel oper-ating rate up one point in June to 729c of industry's capacity. This is 25 points below the average rate of June 1953, but steel-making capacity measured in tons is greater this year than it was in 1953 or 1952. Operating rate therefore is not a true gage of actual steel pro-duction, of this industry's output of coal chemicals, or of its use of chemicals in finishing steel products. Iron Age says outlook for steel during second half is favorable, even if industry entered period with shrunken order backlogs. Plants expect to obtain enough business to maintain operations at levels which prevailed in first half.

    Wood Pulp. Production for first five months was 7,433,000 tons, according to American Paper and Pulp Assn., out-put in May being year's best so far at 1,572,000 tons. This increase, it says, is primarily due to expansion of exist-ing producing facilities. Production from new mills which recently started operations is not yet reflected in in-dustry's statistics. Consumption of pulp for the five-month period showed only a slight rise of 2000 tons over the same time last year. This was accompanied by a more substantial rise in inventories, April to May, amounting to 13,000 tons.

    Phenolic Plastics. An improvement in May brought production of these resins to around 162.6 million pounds for first five months of the year. This compares with 188.7 million for corre-sponding period of 1953, and probably reflects more than anything else the general curtailment in industry. May production was roughly 35 million pounds, a rise of 4.5 million over April bu t still under the 38.2 million turned out in May 1953. While consumption of phenolic resins has fallen in some lines, increases have taken place in others, such as in tooling. Phenolics and epoxies dominate in this field.

    CHART CREDITS: Chemical Employ-mentU< S. Department of Labor; Gum and Wood Rosin-U. S. Department of Agriculture; Steel OperationsAmeri^ can Paper and Pulp Association; Phe-nolic PlasticsU' S. Tariff Commission.

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