4 sane businesses were optimistic and have experienced little if any difficulty - a buoyant life insurance industry, a confident public utility industry, the food industries generally, newer chemicals, banking, construction again setting new highs because of improvements in residential housing and public works, and a uranium industry isolated from normal economic forces. Other industries had apparently leveled off or turned the corner and started back up, and these included such sensitive indicators as architecture and engineering, consumer credit, industrial sales, and the lumber industry. Contra-cycle industries like gold were, of course, faring relatively better under recessed conditions. And it was heartening to note that even those industries now suffering from excess capacity viewed this condition as temporary and spoke confidently of the future when the normal rate of growth will again bring productive capacity and market demand in line. Genuine encouragement can be drawn from the indications that: 1. Inventory liquidation has now run its course and for the year '58 will be neither a positive nor a negative factor. 2. Final demand has shown an amazing strength and has fallen very little, with consumer and government expenditures offsetting the decline in producers' durables. 3. If final demand can be sustained the economists forecast that gross national product at the end of 1958 may be near the levels at the end of 1957.