Wheat

Reports from the West confirmed earlier predictions of the far-reaching effects of the recent rise in wheat prices. Through most of the wheat belt, the current crop is in good condition, while the marketing of Winter wheat at high prices is proceeding briskly.

Rural banks are first to benefit. Old loans frozen back in 1921 and 1922 are gradually being paid off. Indeed, bankers predict that small local banks are sufficiently supplied with liquid funds to finance the movement of the current crop without recourse to New York, Chicago and other surplus money centres to the same extent that has been necessary in recent years.

Sales of mail order houses to farmers have experienced a considerable increase, and now reports are that agricultural sections are beginning to purchase binders, weeders and other farm implements. On the other hand, the wheat farmer's hard experience since 1920 has restrained and will restrain him from land speculation, and the purchasing of more luxuries. Western bankers doubt that even a continuance of the present prosperity of the wheat belt would insure a complete cleaning up of old debts, yet the retirement of a greater part of them this year is confidently predicted.

The wheat crop promises to run some 131,000,000 bushels under that of last year, and to result in a national shortage. The Kansas territory this year is particularly in luck, as its crop will probably yield 86,000,000 bushels more than in 1923.