The Economic Situation First Quarter, 1926

Archive Report

At the close of 1925 activity throughout all lines of business was at a high level and during the first two months of 1926 the total volume of production and trade was generally higher than in the corresponding months of last year. Several factors, however, developed early in 1926 that caused some doubts as to the outlook for business during the remaining months of 1926, Sharp declines in the stock market, beginning about the middle of February and continuing with few interruptions until the end of March carried many stocks down and canceled most of the gains that had been made in the market as a whole since August and September.

Wholesale prices of commodities which had been declining since September dropped again in February ...

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