Bluebook

Prefatory Note

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1

In some cases, original copies needed to be photocopied before being scanned into electronic format. All scanned images were deskewed (to remove the effects of printer- and scanner-introduced tilting) and lightly cleaned (to remove dark spots caused by staple holes, hole punches, and other blemishes caused after initial printing).

2

A two-step process was used. An advanced optical character recognition computer program (OCR) first created electronic text from the document image. Where the OCR results were inconclusive, staff checked and corrected the text as necessary. Please note that the numbers and text in charts and tables were not reliably recognized by the OCR process and were not checked or corrected by staff.

Content last modified 6/05/2009.

CONFIDENTIAL (FR)

November 10, 1967.

MONEY MARKET AND RESERVE RELATIONSHIPS

Recent developments Day-to-day money market rates have generally been slightly lower during the past three weeks--a period including an "even keel" stance in relation to the Treasury's mid-November refunding--than in earlier weeks of September and October.

In large part, the easing

of such rates has reflected the usual seasonal improvement toward the end of October and in early November of the basic reserve deficiency of major money market banks in New York.

With net demands for Federal

funds by these banks reduced, the Federal funds rate averaged below 4 per cent during the three statement weeks October 25-November 8, as compared with 4 per cent or slightly above in earlier September-October weeks.

New dealer loan rates in New York also averaged about 4 1/8 per

cent during the recent period, as compared with 4¼ - 4-3/8 per cent earlier. In view of the reserve distribution favoring major money market banks, the money market rates noted above were consistent with net free reserves running more toward the lower end of the recent range. During the past three weeks net free reserves averaged $200 million and member bank borrowings $90 million,

Excess reserves of country banks

were relatively low in this period, which included two double settlement weeks. This ease in day-to-day rates was accompanied first by an updrift in bill rates, followed by some easing of bill rates later.

FINANCIAL MARKET RELATIONSHIPS IN PERSPECTIVE (Monthly averages and,

Period

where available,

weekly averages of daily figures)

Money arket Indicators I Bond Yields Corporate MuniciBorrow- Federal 3-month Free New pal teserves ings Funds TreasU.S. (In millions Rate ury Gov't. Issues (Aaa) of dollars) Bill (20 yr) (Aaa)l/

Flow of Reserves. Bank Credit and Money Bank Total Money Time Deposits borrowed ReCredit upply Reserves serves Proxy (I Tin (In billions of dollars) Non-

(Seasonally Adjusted) Oct. Nov. Dec. 1967--Jan. Feb. Mar. Apr.

May June July Aug. Sept. Oct. p 1967--Oct. 11 18 25 Nov. 1 8

-425 -235 -196

5.46 5.75 5.39

5.33 5.31 4.96

4.83 4.88 4.76

5.70** 5.71 5.73

3.82 3.78 3.79

-116 +150 - 13

-131

- 59 42 172 199 275 257 311 270 252 212

4.87 4.99 4.50 4.03 3.94 3.97 3.78 3.88 3.99 3.87

4.51 4.61 4.56 4.64 4.90 4.99 5.01 5.12 5,16 5.36

5.43 5.18 5.31 5.38 5.62 5.79 5.78 5.89** 5.88** 6.08

3.50 3.38 3.47 3.50 3.71 3.80 3.86 3.78 3.81 3.88

+475 +325 +555 + 92 + 96 + 95 +307 +291 + 96 +267

+359 +218 +415

104 341 134 198 262

4.05 4.00 3.40 3.95 3.94

4.72 4.56 4.26 3.84 3.60 3.53 4.20 4.26 4.42 4.55 4.53

5.25 5.38 5.47 5.49 5.61

6.01 6.29 6.05** 6.12 6.37

3.83 3.92 3.92 3.92 3.97

4.63

-283 -338 153

5.06 5.39 4.38

4.58 4.54 4.62 Aver les 4.85 4.77 5.12 4.87 4.09 4.70

245 280 246

4.00 3.85 3.90

3.66 4.17 4.47

1

,

Recent variations in growth Mar. 29-June 28 Jun. 28-Aug. 16 Aug. 16-Nov. 8 ___________________

__________________________________

4.83 5.05 5.27 .L.

5.41 5.74 5.45

3.67 3.83 3.56

5.63 5.83 6.01

3.68 3.82 3.85

-

+ 49 - 8

+164 +223 +269 +193 +328

- 0.9 - 0.6

- 0.4

+ 0.4

+ 0.3

+ + + + + + + + +

3.3 3.3 3.0 2.1 1.2 2.0 3.2 3.7 2.3

+ 2.7

+ 1.2 + 2.1 - 0.7

+ 0.8 Annual rates + 0.8* + 1.2* - 2.3* - 1.3* +15.0 +10.7

- 0.3

+ + + + + +

1.6 1.7 1.7 1.2 0.1 1.0

+ +

0.6 0.5 0.7 0.7

of increase 3/ + 2.2 + 3.7*

0.2 0.3 1.3 2.2 2.6 2.6 2.0 1.9 2.5 2.2 2.5 1.7 2.0 0.5 0.8 0.4 0.4 n01

+ 0.3*

-

+12.1

+ 6.8

+ 8.8* + 6.5* +17.3

+18.8 +19.4 +10.6

+ 6.9 +11.8 + 4.8

+14.3 +18.4 +11.4

11

Includes issues carrying 5-year and 10-year call protection; ** issues carry a 5-year call protection. Time deposits adjusted at all commercial banks. week shown. Base is change for month preceding specified period or in case of weekly periods, the first Changes have been adjusted for redefinition of time deposits effective June 9, 1966. p - Preliminary. November 9, 1967.

1/ 2/ 3/ * -

- 0.1

+ 1.2 + 1.6

+ n- R

-I 1.

,

Year 1966 Second Half 1966 First Half 1967

- 59 - 16

0.2

November 10, 1967.

-2-

CONFIDENTIAL (FR)

The 3-month bill was most recently quoted around 4.60 per cent. Liquidity demands of investors have been a tempering influence on bill rates, and very short-term bills, as typified by the 1-month bill, have declined in yield.

There was little evidence of reaction in short-term

markets to the most recent increase in British Bank rate. In contrast to the bill market, there were marked upward interest rate adjustments in the Treasury note and bond market. Intermediate- and longer-term yields rose 15-25 basis points over the past three weeks, largely because of disappointed market hopes for tax action in this session of Congress and in reaction to current and prospective additions to the calendar of new issues in the corporate, municipal, and Federal Government PC markets.

Against this background

of capital market gloom, the new Treasury issues in the mid-November refunding have traded almost continuously below par since the books were closed.

Speculative selling of the long note created some serious

pressures in the first few days after books were closed, but such selling has subsequently been minimal.

As of the end of business

Thursday, dealers' holdings of the 7-year note were down to about $75 million; the bulk of early dealer sales of this note were to Treasury investment accounts, but a steady small investor interest has been in evidence.

With respect to the 15-month note, dealer holdings

have been reduced to around $335 million, down some $300 million from

their original holdings. The latest upward movement in market rates has developed despite a sizable reserve provision.

In October, total reserves rose at

November 10, 1967.

CONFIDENTIAL (FR)

about 16 per cent annual rate and the bank credit proxy by 12 per cent, close to expectations.

This brings the annual rates of increase

for these two variables to 12 and 13 per cent respectively over the first 10 months of the year.

Time deposits rose by a 13 per cent

annual rate in October, and the money supply, following virtually no growth in September, rose by about 6.5 per cent.

For the year to

date these two variables have risen at annual rates of 16.5 and 7 per cent respectively.

To some extent this year's rapid increase

in monetary variables offsets the suppressed rates of growth during the second half of 1966.

Over the 16-month period since mid-1966,

the bank credit proxy (including Euro-dollars) rose by a 9 per cent annual rate and the money supply 4 per cent.

Prospective developments If monetary policy maintains an unchanged stance in terms of money market conditions, the complex of such conditions might include a Federal fund

rate ranging around 4 per cent, member bank borrowings

averaging around $100 million, and free reserves in a $150-$300 million range.

The 3-month bill rate is normally under upward seasonal pressure

between now and mid-December, and a 4.50 - 4.80 per cent range for the bill rate seems reasonable over the coming weeks.

Upward pressures on

bill rates, particularly relatively short bills, may be moderated by the favorable technical position of the bill market, by continued investor demands for liquid market instruments, and by the hiatus in

new Treasury bill financing. With respect to the technical position of

CONFIDENTIAL (FR)

-4-

November 10, 1967.

the market, dealers continue to have a sizable positive carry on their bill positions.

In addition, relatively strong market demand for bills,

supplemented by recent System purchases of almost $500 million, has contributed to a reduction in dealer bill holdings from a recent peak of $3.4 billion on October 25 to around $2.5 billion currently. The System will be supplying reserves on balance between now and the next meeting of the Committee, although the precise amount is subject to more than the usual degree of uncertainty. Open market at the Federal Reserve buying will be reduced if, as seems likely, the Treasury cash balance/ will have to be drawn down as the mid-December cash low approaches.

Direct borrowing by the Treasury from the System is also a possibility in December. A likely upward drift in bill rates will probably be accompanied by continued uncertainties and upward rate pressures in bond markets in reflection of the heavy municipal and corporate calendar and the concentration of Federal cash borrowing in the PC area (including a possible 20-year maturity as part of the FNMA PC offering).

Factors tending to intensify such upward rate pressure are

market worries over sterling, concern about the possibility of capital issues control, and prevailing expectations that monetary policy will tighten in view of the doubts surrounding enactment of a program of fiscal restraint.

Since the upward rate pressures have so large an

expectational component, any political or economic events altering attitudes could be quickly reflected in stabilization of bond markets.

CONFIDENTIAL (FR)

-5-

November 10, 1967.

With maintenance of prevailing money market conditions appearing consistent with a further updrift in interest rates, the rate of bank credit expansion over the last two months of the year is likely to slow somewhat further, assuming no unexpected shift in credit demands.

In the mid-November refunding about $2 billion of new cash

was raised, but relatively high interest rates offered on the new issues appeared to attract considerable nonbank subscriptions, including some from individuals.

In addition to the placement of new Treasury

debt outside the banking system, bank credit expansion is likely to be slowed somewhat as banks' ability to obtain CD funds outside the short maturity area is further limited by continued upward pressures on bill rates and yields on other short-term market instruments. Time and savings deposits in November are expected to increase in a 9-11 per cent range, the slowest monthly increase for the year to date.

The competitiveness of large CD's has been adversely affected by

yield levels reached by longer-term bills.

And there are indications

of some retardation in the flow of consumer saving to banks, just as is the case with other savings institutions.

In December, the rate of

increase in time deposits might remain moderate, influenced by the likely attrition of CD's in connection with the mid-December dividend and tax dates, although some part of funds raised in heavy capital market financing may be temporarily invested in CD's. It is not expected that banks will make particularly aggressive efforts to rebuild CD's rapidly next month--with short CD's the main

-6-

CONFIDENTIAL (FR)

November 10, 1967.

practical instrument--unless business loan demands tend to show a resurgence.

Neither business inventory nor capital spending behavior

yet suggest such a resurgence, but a moderate pick-up in business loan growth at banks might be anticipated if some corporate borrowers shy away from capital markets in view of the high rates there and if business activity in the coming weeks is especially buoyant. Private demand deposits at banks in November are expected to increase on average at an annual rate of 8-10 per cent, and money supply by 6-8 per cent.

This growth in money supply follows sharp

declines in the last half of October after U.S. Government deposits were increased by the large $4.5 billion tax bill financing.

The $2

billion of cash raised in the current refunding is not expected to have so dampening an effect on money supply growth since all the cash will have to be paid out by the Government within a few days of receipt.

In

December, U.S. Government deposits are expected to decline sharply throughout the month, contributing to a further rapid growth in the money supply on average. Given these diverse deposit flows, bank credit in November is projected to increase in a 7-10 per cent annual rate range, and total reserves by a similar amount.

And as a result of offsetting gyrations

in private and Governmental demand deposits, in conjunction with the continued slower growth in time deposits, the bank credit proxy in December is likely to grow at a somewhat slower rate than in November.

CONFIDENTIAL (FR)

-7-

Policy alternative.

November 10, 1967.

"Even keel" considerations are not

likely to be a significant constraint on monetary policy from midNovember, or shortly thereafter, until at least the latter part of December.

Distribution of issues in the mid-November refunding is

proceeding relatively well.

And, as noted earlier, dealer positions

in the long note are comparatively low, while sales of the short note have been at a steady pace. Should the System wish to make a move toward restraint through open market operations, the Committee might consider aiming at a constellation of money market conditions including a Federal funds rate centering on 4 1/8 per cent, member bank borrowings averaging $150$200 million, and free reserves $50-$200 million. under the circumstances might move

The 3-month bill rate

closer to 5 per cent, as it became

apparent that monetary policy was finally tightening, with most market participants probably assuming further tightening to come, and with major money market banks coming under increased pressure in view of the CD ceilings.

At the same time, the market would begin to raise questions

about possible changes in Regulation Q ceilings and the discount rate. Long-term rates may already reflect some expectations of a tighter monetary policy, but firm evidence that it has developed is likely to lead to further upward rate movements.

Moreover, any

expectations that this policy change may be the first of a series of moves would tend to increase the premium on anticipatory borrowing and investor reluctance in capital markets.

CONFIDENTIAL (FR)

-8-

November 10, 1967.

Borrowers may also attempt to raise or firm up their line of credit with banks, and perhaps even to take down existing commitments to ensure availability of cash at existing rates.

If such

demands develop, banks are likely to attempt to find additional funds through a variety of means, including sale of short CD's, by active bidding in the Euro-dollar market, and some more aggressive activity in the Federal funds market.

Such developments would, in turn, lead

to a temporarily somewhat faster growth in reserves and bank credit than with no change in policy.

Over the longer run, as policy remains

taut, the rate of bank credit and money expansion may moderate, depending on the extent to which banks dispose of assets rather than take their chances in the Federal funds or CD markets, on the response of borrowers to the higher cost of money, and on policy with respect to Regulation Q.

LGINAL RESERVE MEASURES (Dollar amounts in millions, based on period averages of daily figures) Excess reserves

Period

As

__ Member banks I borrowinas

revised

to I

Free

reserves

I

date

As expected at conclusion of each week's open

I

Monthly (reserves weeks ending in):

As first published each week

1966--October November December

341 370 333

766 605 529

-425 -235 -196

1967--January February March April May June July August September October p

417 408 368 349 369 345 449 356 334 353

476 366 196 150 94

- 59

141

42 172 199 275 257 317 270 252 212

5 12 19 26

462 643 236 453

353 69 51 54

109 574 185 399

152 597 195 403

214 417

Aug.

2 9 16 23 30

295 371 382 473 260

116 91 129 47 46

179 280 253 426 214

206 324 258 422 182

188 319 269 438 202

Sept.

6 13 20 27

332 386

79

288

408 211

106 74

253 316 302 137

275 336 185

219 293 350 217

Oct.

4 11 18 p 25 p

413 249 557 192

144 145 216 58

269 104 341 134

298 151 378 164

271 186 379 106

Nov.

I p 8 D

278

80 132

198 262

295

312 233

Weekly: 1967--July

p - Preliminary

394

88 132

86 82

70

market opeations _____________________

262

.1

168

604

TABLE A-2 AGGREGATE RESERVES AND RELATED MEASURES Retrospective Changes, Seasonally Adjusted (In per cent, annual rates based on monthly averages of daily figures)

Reserve Total Reserves

Aggregates Required reserves Against Nonborroved Nonb ,ed Total Demandi Reserves

Deposits

Monetary Var i ables lM Time Money Supply Total Member Bank posits Deposits Private Bank Deposits / (credit) 1/2/ _-_

(comm. banks )

2 //

Total

Demand

__Deposits

Annually: 1965 1966

+ 5.2 + 1.2

+ 4.2 + 0.8

+ 5.1 + 1.4

+ 2.3 + 0.9

+ 9.1 + 3.7

+16.0 + 8.8

+ 4.7 + 2.2

+ 4.3 + 1.2

Monthly: 1966--Jul. Aug. Sept.

+ 8.1 -15.2 + 4.5

+ 6.0 -13.0 - 2.0

+ 4.9 - 8.4 - 1.0

+ 5.9 -11.5 - 4.5

+ 9.3 - 1.0 - 0.5

+16.3 + 9.2 + 3.8

- 4.9 + 1.4 + 2.8

- 8.1 + 0.9 + 1.8

Oct. Nov.

- 6.9 - 3.1

- 6.4 + 8.3

- 3.0 - 3.1

-

7.2 0.5

- 4.4 - 3.4

+ 1.5 - 2.3

-

-

Dec.

- 0.9

- 0.7

+ 1.8

- 6.7

+ 2.0

+ 9.8

+ 2.1

+ 0.9

+19.2 +11.5 +21.6 + 2.5 - 0.4 + 8.4 +11.3 +13.5 + 9.6 +16.2

+26.0 +17.4 +29.4 + 4.7 + 4.9 + 4.9 +15.2 +14.7 + 4.8 +13.2

+14.4 +12.0 +15.3 + 8.1 - 1.2 + 4.8 +16.0 +15.6 + 9.0 +17.7

+14.0 +11.6 + 9.8 + 5.0 - 2.1 - 2.8 +15.8 +14.4 + 7.1 +16.2

+16.1 +15.9 +14.3 + 9.9 + 5.6 + 8.8 +15.2 +16.9 +10.3 +12.0

+16.5 +19.3 +19.0 +14.4 +13.5 +17.5 +15.2 +17.1 +11.4 +13.3

- 0.7 + 8.5 +11.2 - 2.8 +12.5 +11.7 +11.6 + 8.1 + 0.7 + 6.7

- 2.7 + 9.1 +12.7 - 5.4 +15.3 +13.3 +14.0 +10.4 - 0.9 + 6.9

1967--Jan. Feb. Mar. Apr. May June Jul. Aug. Sept. Oct. p

1/ 2/

2.8 --

4.5 0.9

Includes all deposits subject to reserve requirements. Movements in this aggregate correspond closely with movements in total member bank credit. Changes in reserves, total deposits and time deposits have been adjusted for redefinition of time deposits effective June 9, 1966.

p - Preliminary.

Chart 1

MEMBER BANK RESERVES MONTHLY AVERAGES OF DAILY FIGURES

I

I

I

I

I

I

I

I

I

I

BILLIONS OF DOLLARS, SEASONALLY ADJUSTED

25.0

24.5

24.0

23.5

TOTAL

23.0

RESE

22.5

-^-

-.

22.0

NET

BORRO

21.5

M

J

1966

S

D

M

J 1967

S

D

Chart 2

MEMBER

BANK DEPOSITS AND LIABILITIES TO OVERSEAS BRANCHES

BILLIONS OF DOLLARS

286 282

I I I I 1 1 I I I TOTAL MEMBER BANK DEPOSITS (CREDIT PROXY) SEAS

ADJ

WEEKLY

|

AVERAGE OF DAILY FIGURES

278

274

270

266

262

258

254

250

246 242 6

LIABILITIES TO OVERSEAS BRANCHES (WEEKLY REPORTING BANKS) NOT SEAS

ADJ,

WEDNESDAYS

4

2

0

III S 1966

D

I

I

I M

I J 1967

I S

D

Chart 3

MONEY SUPPLY ANDtN

BPII

SEASONALLY ADJUSTED WEEKLY AVERAGES Of DAILY FIGURES BILLIONS OF D KLAIRS

~

I

IBLLIONS

41

OF DOLLARS

)so

190

175

185

170

180

165

175

160

170

160

25 NEGOTIABLE CD'S (Unadjusted) 20

15

10

1

m

J 1966

.

S

D

m

J

S

D

1967 * CHANGE IN SERIES

Chart 4

DEMAND DEPOSITS AND CURRENCY SEASONALLY ADJUSTED WEEKLY AVERAGES OF DAILY FIGURES Ill

I

BILLIONS OF DOLLARSI

45

MONEY SUPPLY COMPONENTS: 40

CURRENCY

OUTSIDE

BANKS

35

30

140

135 13DEMAND

DEPOSITS____________________

130

125

120

15

U.S. GOVT. DEMAND DEPOSITS (Member

Banks)

10

5

M

J

1966

S

D

M

J 1967

S

D

NOTE Due to the Verterans' Day holiday,data for the "B Tables" usually included in able.

the Blue Book are not avail-

A supplement with these data will be prepared and

distributed Monday,

November 13,

1967./

Chart Reference Table C-1 TOTAL, NONBORROWED AND REQUIRED RESERVES 1/ Seasonally Adjusted (Dollar amounts in millions, based on monthly averages of daily figures)

eriod

Total reserves

Nonborrowed reserves

Total

Required reserves Aiaint prvate deposits Total

Demand

1965--Jul. Aug. Sept. Oct. Nov. Dec.

21,857 21,923 21,869 21,986 21,976 22,186

21,356 21,417 21,318 21,533 21,589 21,722

21,488 21,533 21,494 21,645 21,671 21,861

20,626 20,719 20.904 21,073 21,170 21,285

15,921 15,943 16,065 16,147 16,196 16,266

1966--Jan. Feb. Mar. Apr. May June Jul. Aug. Sept. Oct. Nov. Dec.

22,358 22,401 22,452 22,679 22,703 22,707 22,861 22,571 22,655 22,524 22,465 22,449

21,899 21,943 21,873 22,027 22,020 22,030 22,140 21,900 21,864 21,748 21,898 21,885

22,007 22,028 22,077 22,252 22,308 22,339 22,431 22,274 22,256 22,200 22,142 22,175

21,411 21,464 21,600 21,771 21,782 21,883 21,841 21,842 21,860 21,741 21,716 21,772

16,375 16,413 16,506 16,605 16,562 16,606 16,512 16,473 16,475 16,365 16,364 16,378

1967--Jan. Feb. Mar.

22,808 23,026 23,441

22,360 22,685 23,240

22,442 22,666 22,955

21,803 22,044 22,297

16,328 16,478 16,647

Apr. May June

23,490 23,482 23,646

23,332 23,428 23,523

23,110 23,086 23,178

22,293 22,559 22,890

16,578 16,786 17,024

Jul. Aug. Sept. Oct. p

23,869 24,138 24,331 24 659

23,830 24,121 24,217 24,484

23,488 23,794 23 972 24,325

23,049 23,275 23,329 23,452

17,115 17,246 17,236 17,315

p - Preliminary. 1/

Reserves have been adjusted for redefinition of time deposits effective June 9, 1966.

Table C-2 DEPOSITS SUPPORTED BY REQUIRED RESERVES AT ALL MEMBER BANKS Seasonally adjusted

(Dollar amounts in billions, based on monthly averages of daily figures)

Total member bank deposits 1// _(credit)

deposits2

229.1 230.4

113.6 115.4

108.6 108.8

6.8 .6.3

Sept. Oct.

231.4 233.5

116.9 119.0

109.6 110.1

4.9 4.4

Nov.

234.8

120.2

110.5

4.1

Dec.

236.4

121.2

111.0

4.2

1966--Jan. Feb. Mar.

238.0 239.0 239.8

121.7 122.0 123.0

111.7 112.0 112.6

4.7 5.0 4.2

Apr. May June Jul. Aug. Sept. Oct. Nov.

242.2 243.9 244.8 246.7 246.5 246.4 245.5 244.8

124.8 126.1 127.5 128.7 129.7 130.1 129.9 129.3

113.3 113.0 113.3 112.6 112.4 112.4 111.6 111.6

4.1 4.8 4.0 5.3 4.4 3.9 4,. 4,.0

Dec.

245.2

130.3

111.7

3.2

1967--Jan.

Monthly

1965--Jul. Aug.

Time

Private demand deposits 3/

U.S. Gov't. demand deposits

248.5

132.2

111.4

4.9

Feb. Mar.

251.8 254.8

134.4 136.5

112.4 113.6

5.0 4.8

Apr.

256.9

138.0

113.1

5.8

May June Jul. Aug. Sept. Oct. p

258.1 260.0 263.3 267.0 269.3 272.0

139.4 141.7 143.3 145.6 147.2 148.2

114.5 116.1 116.7 117.6 117.6 118.1

4.1 2.2 3.2 3.7 4.5 5.6

/1 Includes all deposits subject to reserve requirements--i.e., the total of time, private demand, and U.S. Government demand deposits, Movements in this aggregate correspond closely with movements in total member bank credit. 2/ Deposits have been adjusted for redefinition of time deposits effective June 9. 1967. 3/ Private demand deposits include demand deposits of individual, partnerships and corporations and net interbank balances.

TABLE C-2a DEPOSITS SUPPORTED BY REQUIRED RESERVES AT ALL MEMBER BANKS Seasonally adjusted (Dollar amounts in billions, based on weekly averages of daily figures)

Total member bank deposits (credit // 2

Week ending:

Time deposits 2/

Private demand deposits 3/

U. 8. Gov't. demand deposits

7 14 21 28

259.3 260.2 261.2 259.9

140.9 141.6 141.8 142.1

115.9 116.1 116.2 116.2

2.6

Jul.

5 12 19 26

260.4 261.7 263.9 264.6

142.5 142.9 143.4 143.7

116.9 117.2 116.6 116.6

1.0 1.6 4.0 4.3

Aug.

2 9 16 23 30

265.8 267.0 266.7 266.8 267.0

144.4 145.0 145.4 145.8 146.5

117.2 117.5 117.4 117.6 117.6

4.3 4.4 3.9 3.4 3.0

Sept.

6 13 20 27

269.3 269.6 268.8 269.1

146.9 147.0 147.2 147.3

118.3 118.3 116.1 117.4

4.1 4.3 5.5 4.5

Oct.

4 11 18 25

269.7 271.0 273.1 272.4

147.6 148.0 148.4 148.4

118.6 118.9 118.4 117.6-

3.6 4.1 6.3 6.4

Nov.

1 8

273.2 273.2

148.9 149.1

117.7 118.7

6.7 5.4

1967--June

2.6 3.2 1.6

p - Preliminary. 1/ Includes all deposits subject to reserve requirements--i.e., the total Moveof time, private demand, and U.S. Government demand deposits. ments in this aggregate correspond closely with movements in total member bank credit. 2/ Deposits have been adjusted for redefinition of time deposits effective June 9, 1966. 3/ Private demand deposits include demand deposits of individuals, partnerships and corporations and net interbank balances.

TABLE C-3

MONEY SUPPLY AND TIME DEPOSITS AT ALL COMMERCIAL BANKS Seasonally adjusted (Dollar amounts in billions, based on monthly averages of daily figures)

Monthly

1965--Jul. Aug.

Money Supply

Currency 1/

Private Demand

Time Deposits

Deposits

Adjuted

162.4 163.2

35.3 35.5

127.2 127.8

137.9 139.8

Sept. Oct. Nov. Dec.

164.0 165.2 165.7 166.8

35.7 36.0 36.1 36.3

128.4 129.3 129.6 130.5

141.6 143.8 145.5 146.9

1966--Jan. Feb. March Apr. May June Jul. Aug.

167.9 168.3 169.2 170.5 170.2 170.6 169.9 170.1

36.6 36.7 36.9 37.1 37.3 37.4 37.7 37.8

131.4 131.6 132.3 133.4 132.9 133.2 132.3 132.4

147.5 148.3 149.8 151.8 153.4 154.8 156.9 158.1

Sept.

170.5

37.9

132.6

158.6

Oct. Nov. Dec.

170.1 170.1 170.4

38.0 38.1 38.3

132.1 132.0 132.1

158.8 158.5 159.8

170.3 171.5 173.1 172.7 174.5 176.2 177.9 179.1 179.2 180.2

38.5 38.7 38.9 39.1 39.2 39.3 39.5 39.6 39.8 39.9

131.8 132.8 134.2 133.6 135.3 136.8 138.4 139.6 139.5 140.3

162.0 164.6 167.2 169.2 171.1 173.6 175.8 178.3 180.0 182.0

1967--Jan. Feb. Mar. Apr. May June Jul. Aug. Sept. Oct. p

1/

32 3/

Includes currency outside the Treasury, the Federal Reserve, and the vaults of all commercial banks. 2/ Includes (1) demand deposits at all commercial banks, other than those due to domestic commercial banks and the U.S. Government, less cash items in process of collection and Federal Reserve float; and (2) foreign demand balances at Federal Reserve Banks. 3/ Deposits have been adjusted for redefinition of time deposits effective June 9, 1986. p - Preliminary.

TABLE C-3a MONEY SUPPLY AND TIME DEPOSITS AT ALL COMMERCIAL BANKS Seasonally Adjusted

(Dollar amounts in billions, based on weekly averages of daily figures)

Private

Week Ending

Money Supply

Currency

/

Demand

Deposits

Time Deposits

/

a adjusted 3/

2/

1967--June

7 14 21 28

176.0 176.3 176.4 176.4

39.3 39.4 39.4 39.4

136.7 136.9 137.0 136.9

172.6 173.6 173.7 173.9

July

5 12

177.6 178.1 177.7 177.8

39.4 39.5 39.4 39.4

138.2 138.6 138.3 138.4

174.6 175.4 175.8 176.1

178.3

39.4 39.6 39.6 39.6 39.6

138.9 139.3 139.7 139.5 139.5

176.8 177.8

179.7 180.0 178.0 179.3

39.7 39.8 39.7

179.6 179.8 180.2

39.7

139.9 140.2 138.2 139.5

4 11 18 25

180.3 180.9 180.4 179.7

39.8 39.9 40.0 39.9

140.5 140.9 140.4 139.8

180.7 181.2

1

180.4 181.2

39.8 39.9

140.5 141.3

182.8 182.9

19 26 Aug.

2 9 16 23

30 Sept.

6 13

20 27 Oct.

Nov.

8

178.8 179.2 179.1 179.1

-

I/

I

,

178.2 178.5 179.2

180.3

182.0 182.4

I'

Includes currency outside the Treasury, the Federal Reserve, and the vaults of all commercial banks. 2/ Includes (1) demand deposits at all commercial banks, other than those due to domestic commercial banks and the U.S. Government, less cash items in process of collection and Federal Reserve float; and (2) foreign demand balances of Federal Reserve Banks. 3/ Deposits have been adjusted for redefinition of time deposits effective June 9, 1966. p - Preliminary.