Federal Reserve Bulletin, 1921-04

FEDERAL RESERVE BULLETIN (FINAL EDITION) ISSUED BY THE FEDERAL RESERVE BOARD AT WASHINGTON APRIL, 1921 WASHINGTON GOVERNMENT PRINTING OFFICE 1921 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

FEDERAL RESERVE BOARD. EX OFFICIO MEMBERS. W. P. G. HARDING, Governor. EDMUND PLATT, Vice Governor. A. W. MELLON, Secretary of the Treasury, Chairman. ADOLPH C. MILLER. CHARLES S. HAMLIN. D. R. CRISSINGER, Comptroller of the Currency. W. W. HOXTON, Secretary. WALTER S. LOGAN, General Counsel. W. L. EDDY, Assistant Secretary. R. G. EMERSON, Assistant to Governor. W. M. IMLAY, Fiscal Agent. H. PARKER WILLIS, J. F. HERSON, Director, Division of Analysis and Research. Chief, Division of Examination and Chief Federal M. JACOBSON, Statistician. Reserve Examiner. E. A. GOLDENWEISER, Associate Statistician. J". E. CRANE, E. L. SMEAD, Acting Director, Division of Foreign Exchange. Chief, Division of Reports and Statistics. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

OFFICERS OF FEDERAL RESERVE BANKS. Federal Reserve Bank of— Chairman. Governor. Deputy governor. Cashier. Boston Frederic H. Curtiss.. Chas. A. Morss C. C. Bullen W. Willett. W. W. Paddock New York.. Pierre Jay Benj. Strong J.-H. Case L. H. Hendricks.i L. F. Sailer J. D. Higgins.i G. L. Harrison A. W. Gilbart.i E. R. Kenzel Leslie R. Rounds.1 J. W. Jones.i Philadelphia R. L. Austin George W. Norris. Wm. H. Hutt,jr W. A. Dyer. E. R. Fancher.... M. J. Fleming H. G. Davis. Cleveland D.C.Wills Frank J. Zurlinden Richmond Caldwell Hardy... George J. Seay C. A. Peple Geo. H. Keesee. R. H. Broaddus A. S. Johnstone2 John S. Walden 2 Atlanta Joseph A. McCord. M. B. Wellborn. L. C. Adelson M. W. Bell. J. L. Campbell Chicago Wm. A. Heath J. B. McDougal. C. R. McKay | W. C. Bachman.i S. B. Cramer i F. J. Carr.i K. C. Childs.i J. H. Dillard.i D. A. Jones.1 O. J. Netterstrom.1 A. H. Vogt. Clark Washburne.1 St. Louis Wm. McC. Martin.. D. C. Biggs O. M. Attebery J. W. White. JohnH. Rich W. B. Geery Frank C. Dunlop.1 Minneapolis R. A. Young S.S.Cook B. V. Moore. Kansas City AsaE. Ramsay.. J.Z. Miller, jr C. A. Worthington J. W. Helm. Dallas Wm. F. Ramsey. R. L. VanZandt.. Lynn P. Talley Sam R. Lawder. San Francisco John Perrin J. U. Calkins Wm.A.Day W. N. Ambrose. Ira Clerks L. C. Pontiouss 1 Controller. 2 Assistant to governor. 3 Assistant deputy governor. MANAGERS OF BRANCHES OF FEDERAL RESERVE BANKS. Federal Reserve Bank of— Manager. Federal Reserve Bank of— Manager. New York: Minneapolis: Buffalo branch Ray M. Gidney. Helena branch 0. A. Carlson. Cleveland: Kansas City: Cincinnati branch L. W. Manning. Omaha branch L. H. Earhart. Pittsburgh branch Geo. De Camp. Denver branch C. A. Burkhardt. Richmond: Oklahoma City branch C. E. Daniel. Baltimore branch Morton M. Prentis. Dallas: Atlanta: El Paso branch W. C. Weiss. New Orleans branch Marcus Walker. Houston branch E. F. Gossett. Jacksonville branch Geo. R. De Saussure. San Francisco: Birmingham branch A.E.Walker. Los Angeles branch C. J. Shepherd. Nashville branch J. B. McNamara. Portland branch Frederick Greenwood. Chicago: Salt Lake City branch R. B. Motherwell. Detroit branch R. B. Locke. Seattle branch C. R. Shaw. St. Louis: Spokane branch W. L. Partner. Louisville branch W. P. Kincheloe. Memphis branch .*J. J. Heflin. Little Rock branch A. F. Bailey. SUBSCRIPTION PRICE OF BULLETIN. The FEDERAL RESERVE BULLETIN is the Board's medium of communication with member banks of the Federal Reserve System and is the only official organ or periodical publication of the Board. It is printed in two editions, of which the first contains the regular official announcements, the national review of business conditions, and other general matter, and is distributed without charge to the member banks of the Federal Reserve System. Additional copies may be had at a subscription price of $1.50 per annum. The second edition contains detailed analyses of business conditions, special articles, review of foreign banking, and complete statistics showing the condition of Federal Reserve Banks. For this second edition the Board has fixed a subscription price of $4 per annum to cover the cost of paper and printing. Single copies will be sold at 40 cents. Foreign postage should be added when it will be required. Remittances should be made to the Federal Reserve Board. No complete sets of the BULLETIN for 1915, 1916, 1917, or 1918 are available. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

TABLE OF CONTENTS. General summary: p age. Review of the month - 373 % Business, industry, and finance, March, 1021 : 384 Condition of the acceptance market 394 The value of work on business conditions to the economic advisers of banks 396 American shipping earnings and the balance of trade 400 Forms of commercial letters of credit 410 Official: Rulings of the Federal Reserve Board 418 State banks and trust companies admitted to the system 415 Charters issued to national banks 417 Banks granted authority to accept up to 100 per cent of capital and surplus 417 Fiduciary powers granted to national banks 416 Business and financial conditions abroad: England, France, Italy, Germany, Sweden, Netherlands 420 Annual report of the Bank of France 434 Business and finance in Italy, by Riccardo Bachi 437 Price movement and volume of trade: Domestic— Wholesale prices in the United States 442 Foreign trade 445 Physical volume of trade 446 Retail trade 460 Wholesale trade 462 Commercial failures 417 Foreign— Comparative wholesale price levels: United States, England, France, Italy, Germany, Sweden, Japan, Australia, Canada, and India 463 Wholesale prices of groups of commodities: United States, Australia, Canada, India 464 New index number of wholesale prices for Italy 465 Monetary and banking statistics: Discount and open-market operations of Federal Reserve Banks 466 Condition of Federal Reserve Banks 473 Federal Reserve note account 479 Condition of member banks in leading cities 480 Abstract of condition reports of member banks. 497 Bank debits 486 Operations of the Federal Reserve clearing system 491 Gold and silver imports and exports 492 Money outside the Treasury and Federal Reserve system 496 Foreign exchange rates 494 Discount and interest rates in various centers 495 Discount rates approved by the Federal Reserve Board 496 Charts: Index number of wholesale prices in the United States—constructed by Federal Reserve Board for purposes of international comparisons 447 Physical volume of trade ' 448 Movement of principal assets and liabilities of Federal Reserve Banks 475 Movement of principal assets and liabilities of member banks 481 Debits to individual accounts 487 IV Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

FEDERAL RESERVE BULLETIN VOL. 7 APRIL, 1921. No. 4 REVIEW OF THE MONTH. 000,000 in two series, both dated March 15, the one running six months and bearing 5J per cent Fiscal operations during the month of March interest, the other twelve months and bearing have, as usual, been greatly 5| per cent interest. This issue was largely finance * S U * y affected by the payment of the oversubscribed, the total subscriptions received first installment of the income in the various districts being $503,436,500, while and excess-profits taxes which was received on allotments finally made were $481,803,000. March 15. Ordinary receipts are officially The general debt situation up to the 1st reported on March 31 for the month as of March was reviewed by the $921,627,602.72 and ordinary disbursements as Debt condi- Secretary of the Treasury in a $536,476,360.91, leaving a surplus of $385,- tion. statement issued on March 9, 151,241.81. This showing may well be conin which he showed that there was a net curtrasted with that of 1920, for which year the rent surplus for the first eight months of the operations of the month of March showed on fiscal year, closing February 28, 1921, of ordinary account a surplus of $561,500,064.36. $186,115,000. Commenting upon this situa- The same phenomenon that has been observed tion, the Secretary of the Treasury said: on former occasions was noted in connection with this latest installment of the income and "This showing is particularly encouraging in excess-profits taxes. Money tended to become view of the fact that during these eight months there have been extraordinarily heavy exless abundant and interest rates firmer during penditures, but only two quarterly payments of the few days prior to the payment of the income and profits taxes. Ordinary receipts tax, while for a few days after March 15 up to February 28, 1921, have amounted to there was an easing of the rates. In the $3,433,411,141.36, as against ordinary disbursesecurities markets there was some evidence ments during the same period of $3,247,295,- 635.83 (or at the rate of almost $5,000,000,000 from time to time that bonds and stocks were a year). Of these disbursements about $750,being sold by holders in order to obtain funds 000,000 have represented expenditures of the with which to liquidate their obligations to the War Department, about $450,000,000 expendi- Government. Either for this cause, or owing tures of the Navy Department, about $475,to it in combination with other factors, there 000,000 payments to the railroads under the transportation act, 1920, and about $550,000,was considerable liquidation during the days 000 payments of interest on the public debt— shortly before March 15 and a corresponding a total of about $2,225,000,000 under these four tendency to depression of securities prices. main headings. In the four months which re- Receipts on income and excess-profits tax main of the fiscal year there will be two further accounts were officially announced by the quarterly payments of income and profits taxes, both based on the business of the calendar year Secretary of the Treasury in a statement 1920. While it is impossible to estimate these issued on March 31 as "slightly over $700,tax payments with accuracy, and the prospects 000,000." are that expenditures will continue heavy for The Secretary of the Treasury finding that sometime to come, the Treasury expects that about $500,000,000 of Treasury certificates the operations of the first three quarters of the year, through March 31, 1921, as well as the matured on March 15, with about $118,000,000 completed year's operations, will show some additional on April 15 (while semiannual intersurplus of receipts over expenditures. est on the third Liberty loan was also falling due " The gross debt of the Government on Februon March 15), decided to offer a new issue of cer- ary 28, 1921, amounted to $24,051,684,728.28, tificates of indebtedness amounting to $400,- on the basis of Treasury daily statements, while 373 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

374 FEDERAL RESERVE BULLETIN. APRIL, 1921. on the same date the floating debt (loan and proved April 23, 1918. Pittman Act certifitax certificates unmatured) amounted to cates to the amount of $5,000,000 were retired $2,484,032,000. These figures contrast with a on February 28, 1921, out of the general fund gross debt on December 31, 1920, of $23,982,- and $5,000,000 additional were similarly retired 224,168.16, and a floating debt on the same on March 29. The Treasury expects to condate of $2,300,656,000. As a result of the tinue to retire Pittman Act certificates not Treasury's operations on March 15, 1921, these required to secure issues of Federal Reserve increases in gross debt and floating debt (which Bank notes at the rate of about $5,000,000 per are to be expected in the odd months when no month. Pursuant to the terms of the Pittman quarterly income and profits-tax payments are Act, the Treasury is also coining into standard made) should be largely offset and perhaps silver dollars the silver bullion purchased under overcome. The progress to be made during the act. Silver certificates will be issued in the balance of the current year in the retire- regular course against the standard silver dolment of gross debt and floating debt will de- lars so coined, and Federal Reserve Bank notes pend, of course, upon the extent of the demands and Pittman Act certificates pledged to secure made upon the Treasury and the volume of its them will be retired in corresponding amounts. receipts from taxes and salvage. This progress Pittman Act certificates to the amount of $2,is likely to be seriously limited by reason of the 000,000 have been retired up to March 31, heavy railroad payments to be expected during 1921, as the result of the coinage of standard the next two or three months. silver dollars. This means that the total " These figures as to the public debt and the amount of Pittman Act certificates outstandcurrent operations of the Treasury show that ing has been reduced from $259,375,000 on the country's finances are sound, but that the December 31, 1920, to $247,375,000 on March situation calls for the utmost economy. The 31, 1921." Nation can not afford extravagance, and so far as possible it must avoid entering upon new A development of some importance which fields of expenditure/' has taken place during the past Of considerable significance, both in public Costs of borrow- month was the announcement and private finance, as noted by ing. on March 12 of a reduction in Distribution of Secretary of the Treasury in Treasury certifi- the J * the British treasury bill rate cates. the statement already quoted, of one-half of 1 per cent, making the is the fact that on March 4, new rate 6 per cent. This corresponds to 1921, reports to the Federal Reserve Board the rates of 5£ per cent and 5J per cent set showed that there were pledged with the Fed- by the Secretary of the Treasury on the eral Eeserve Banks only about $110,000,000 new $400,000,000 offering, to which reference of Treasury certificates, or less than 5 per cent of has just been made. It had been supposed the aggregate amount of loan and tax certificates by some that this reduction in the treasthen outstanding. Further information shows ury bill rate foreshadowed a reduction in the that the banks which regularly report to the Fed- Bank of England's discount rate, but to date eral Reserve Board were at the close of Febru- the existing rate of 7 per cent has been mainary holders of only about $235,000,000 of certifi- tained. The action of the British treasury apcates as compared with some $673,000,000 a pears to be due to an improvement in the inyear earlier. The success in reducing the vestment market for treasury bills sufficient to amount of certificates held by the banks enable the treasury to effect a saving in the has thus been very great, and the distribution cost of money to the treasury for current borof them among investors who hold them for rowings—a saving which is of considerable the sake of their income yield tends to relieve importance in view of the large volume of the banks in a corresponding degree. treasury bills outstanding. Such saving is es- The following statement was issued by the timated at approximately 6,000,000 pounds Secretary of the Treasury on April 1: sterling per annum. On February 26, 1921, . " The Treasury has begun the the treasury had outstanding in bills some Fe R d e e t r i a r l e m R e e n s t e rv o e f rveptfiirrepmr f n ™ pnt ° o } f t t n h e e s Q p e n c p i p a ia l l l T r r e p a q s < a- 1,110,000,000 pounds sterling. While there is Bank notes* ^J certificates oi indebtedness no definite knowledge as to the division of this issued to secure Federal Reserve Bank notes under the Pittman Act ap- issue of bills between the banks and the public, Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 375 it is supposed that an increasing amount of vestment funds as well as for bank loans has them has been transferred to investors as a continued urgent and accumulations of such result of the same factors which have been at funds when made from time to time have work in the United States. According to a re- been promptly swept off the market without cent writer on English public finance, "it is satisfying the demand. Not only is there probable that some of the banks treat treasury a great amount of domestic developmental bills as equivalent to cash, while others treat work requiring capital to be done, but them as investments or as discounted paper. European conditions have been such as to open It is interesting to note that most of the debt a large field for spare or surplus resources of of the Government must be held outside of the every description when available in this banks, as the entire increase in the assets of the market. Many foreign enterprises have shaped banks, outside of plant, from the close of 1913 their affairs with a view to arranging their to the close of 1919, amounting to around financing in the United States whenever cir- 1,200,000,000 pounds sterling, was only about cumstances appeared to warrant it. All this one-sixth the increase of the debt." There creates a situation in which the most careful has been a tendency to a reduction in invest- conservation of funds and the avoidance of any ment rates in Great Britain, while in the policy which would result in speculative uses United States little change in the position of for such funds is imperative. The Secretary the market has thus far occurred. At the of the Treasury in his first statement to the present time there is every reason to think that banks expressed this point of view with referthe demand for capital is and will be likely to ence to public finance when he said that " the continue strong for a good while to come, every Nation can not afford extravagance, and, so additional increment of new funds being appar- far as is possible, it must avoid entering upon ently rapidly taken up by borrowers to satisfy new fields of expenditure. * * * The people some purpose either of capital investment or generally must become more interested in new financing. saving the Government's money than in spending it.77 This is a view of the situation Money rates have remained steady during which applies also to the use of savings funds the month of March, there by private investors and to the policy to be Money rates. being practically no fluctua- adopted by banks in regard to the use of retion in the charge for commercial paper of sources intrusted to them by depositors and ordinary maturities. In the stock market others. the usual slight pressure for funds, due, it is Owing to the importance of the acceptance currently supposed, to the effort of taxpayers market as a means of employto prepare for the payment regularly made Acceptance ing spare funds of member to the Government on that date, was perceptible market. banks, as well as in other ways, prior to the 15th of the month. Immediately the Federal Reserve Board has requested each following there was the usual relaxation paral- Federal Reserve Agent to transmit to it each leling that which was noticeable immediately month as an element in his monthly report a after the last quarterly tax payment on brief summary of acceptance market con- December 15, 1920. Call-money rates were ditions in the district as they exist at the reduced in the New York and other markets time the report is rendered. This report of from 7 per cent to 6 per cent on several succesacceptance conditions will be made public sive dates following the liquidation of the tax immediately after the compilation of the payments, although the "ruling rate" for the Board's own statement of business conditions period remained at 6^ to 7 per cent. Outside and will be issued in connection therewith as of regular stock exchange transactions, how- a press statement. Such a review of acceptever, call money was lent after March 15 as ance market conditions throughout the country low as 5 per cent in considerable sums by is published in this issue of the BULLETIN for private arrangement. The demand for in- the first time. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

376 FEDERAL RESERVE BULLETIN. APRIL, 1921. In speaking of the development of the ac- The following table continues the figures furceptance market in the New York district nished from month to month in former issues: during the past year, the Federal Reserve Bank of New York^ in its annual report, says: Federal Reserve Banks. Especially effective has been the work * * * in [In millions of dollars.] educating country member banks to avail themselves much more freely than heretofore of the services of this Bills discounted. bank in purchasing bankers' acceptances. This service Federal was opened to out-of-town member banks in 1919. Dur- Secured Reserve i w n e g r e t h b a o t u g y h e t a r f o 8 r 7 3 3 8 a m cc e e m pt b a e n r c e b s a , nk a s g . g re I g n a ti 1 n 9 g 2 0 $ , 8 4 ,1 ,8 9 2 9 5 ,9 4 a 7 c , - Date. U S n ta i t t e e s d ot A h H er. de T p o o t s a i l ts. n c a o ir c t c e t u u s l a a i l n - Govern- tion. ceptances, aggregating $42,424,017, were bought for 230 ment obmember banks, mainly the smaller of the country insti- ligations. tutions. Purchases for member banks are made on their order, Mar.4 982 1,360 1,786 3,043 Mar.ll 1,006 1,362 1,844 3,006 either of particular bills or of an approximate amount of Mar. 18. . 1,000 1,225 1,775 2,963 Mar.25 1,010 1,276 1,841 2,931 given maturities of such names as this bank buys for its own account. Such bills always bear a banking indorsement other than that of the acceptor, thereby becoming Conditions at the member banks reflect three-name paper of the class to which this bank's own tendencies parallel to those purchases are confined. Paper bought for member banks is held, if desired, for their account, for collection, memLertX which have exhibited themor such other disposition as they may direct. No charge selves in the portfolios of is made for this service. Federal Reserve Banks. Slow but steady These purchases were of substantial benefit in developreduction in the amount of loans to customers ing a broader discount market. has been characteristic of the month, demand The striking features during the month in con- deposits showing an even larger decrease for nection with the Federal Re- the period. The amount of accommodation *"* serve Bank position have been extended to reporting member banks by Fedthe continued tendency to mod- eral Reserve Banks has maintained substanerate reduction in note circulation and the tially the same level up to March 18, the continuing reduction of discounts. The bills figures varying slightly about an average of secured by Government obligations have con- some $1,850,000,000. On the latter date, tinued at practically the same level during owing to the extensive loan liquidation by the month, although showing a very slight member banks in connection with redempincrease during the second and third weeks of tion of tax certificates on March 15, total the period. Reduction in the total amount accommodation of ureporting77 member banks of inter-Federal Reserve Bank discounts, shows a reduction to $1,719,000,000, folwhich have reached the lowest level for a good lowed by an increase to $1,764,000,000 on the many months past with a figure of $12,400,000 following Friday. This situation is briefly preon March 4, indicates the continuous liquida- sented in the following table: tion of the advances which had been made for seasonal accommodation and for the carry- Reporting member banks. ing of operations growing out of the crop [In millions of dollars.! movement of last autumn. Federal Reserve Agents report an improving condition of Loans (includliquidity and of reserve position, which has ing redis- Rediscounts Number counts) and and bills Net continued steadily throughout the month and Date. of banks investments payable with demand reporting. (including Federal Re- deposits. which has been reflected in the increasing United States serve Banks. securities). strength of the combined reserve ratio for the entire system. This figure on the last report Mar.4 824 16,052 1,832 10,518 date of the month (March 25) stood at 50.8 Mar.ll 824 15,975 1,854 10,535 Mar. 18 824 16,076 1,719 10,376 per cent (calculated in the revised manner). Mar.25 823 15,983 1,764 10,186 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APEIL, 1921. FEDERAL, RESERVE BULLETIN. 377 Member bank portfolios in some parts of the January, February, February, country still contain a considerable amount of 1921. 1921. 1920. nonliquid paper representing the carry-over of crops from last autumn, but the fact that Total. t R iv el e a . - Total. R ti e v l e a . - Total. R ti e v la e - . the position of city institutions has eased considerably during the period shows that Receipts of live stock at 15 western markets (in thouthere has been a process of interbank settle- sands of head) 5,667 126.5 4,738 105.7 4,481 100 Receipts of grain at 17 interior ment growing out of the continued movement centers (in thousands of bushels) 98,732 140.1 66,515 94.4 70,477 100 of agricultural products to market. On the Sight receipts of cotton (in thousands of bales) 1,154 109.8 66.5 1,051 100 other hand, the reduction of business activity, Shipments of lumber reported by three associations (in especially in manufacturing districts, has in millions of feet) 526 64.8 538 66.3 812 100 Bituminous coal production some measure curtailed the pressure of de- (in thousands of short tons).40,270 100.2 30,770 76.6 40,181 100 Anthracite coal production mand originating with business institutions for (in thousands of short tons). 1,419 144.4 7,845 120.2 6,525 100 Crude petroleum production accommodation to be furnished by their own (in thousands of barrels) —37,853 115.7 35,112 107.3 32,723 100 Pig iron production (in thoubanks and has in appropriate degree diminished sands of long tons) 2,416 81.1 1,937 65.0 2,979 100 Steel-ingot production (in the necessity of member banks for reliance thousands of long tons) 2,203 76.9 1,749 61.0 2,865 100 Cotton consumption (in thouupon additional rediscounts. Agricultural re- sands of bales) 366 70.9 76.7 516 100 ports from all parts of the country are favorable, one element in them being the probability Employment conditions reflect the industrial of a materially reduced cost of production situation just indicated. While figures comduring the coming season. This reduction in piled by the Bureau of Labor Statistics for cost is believed likely to result from a lower various leading industries show a falling off expense for labor, as well as to some extent for the month of February as compared with from the lowering in the cost of supplies needed January in some lines, notably car building and by the farmer. Complaint is made that this repairing, an increase of employment in others reduction in cost of supplies has not proceeded is indicated, such as the textiles and boots and as rapidly as the reduction in the cost of the shoes and automobile industries. Some shiftfarmer's own products, a situation which has ing of labor to the agricultural regions has inflicted hardship upon the agricultural com- occurred in consequence of conditions in the munity in some regions. The outlook for more industrial centers. Better domestic buying economical production during the coming power has been exhibited during March than season, however, should materially improve during the preceding month. the credit situation in the farming regions. Interesting figures have been compiled by the As a whole, no pronounced change is evident Department of Agriculture with in the general business situa- ' res?ect to the reserve stock °f Business situ- tion. There has, however, been agricultural products which are ation. improvement in some leading still held on the farms. The department shows industries, such as textiles, footwear, and that on March 1 there was on the farms, taking automobiles, which has been based in large the country as a whole, a greater carry-over part on orders for immediate delivery. The of grains and of cotton than ever before, the Board's business condition indexes continue total amount of wheat, for example, on farms to show decreases in the majority of cases, but, at the date specified being 207,591,000 bushels. as is well known, they apply to a period which According to the Bureau of Markets, Canada is a month old at date of publication. . The and the United States together, on February usual table, reflecting conditions up to the end 12, had a wheat surplus available for carryof February, is herewith furnished. over purposes and for exports of 165,000,000 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

378 FEDERAL RESERVE BULLETIN. APRIL, 1921. bushels, after taking into account the various to 8 per cent. In England and France the derequirements, both domestic and foreign, from cline in retail prices during February was about the beginning of the crop year to February 12, the same as in the United States; in other for- 1921. The figure was reached after taking eign countries it has been less marked, but refrom the total crop of 1,163,000,000 bushels ports show that wholesale prices in practically estimated requirements for the two countries, every country show a decisive and generally 720,000,000 bushels, leaving 442,000,000 bush- parallel cut. While it still remains true that els as the surplus for export and carry-over, out in the United States wholesale prices are deof which 278,000,000 bushels have already been clining somewhat less rapidly now than was shipped. In cotton the carry-over is rela- the case during the latter part of 1920, the rate tively larger, the total for the world being at which reduction is proceeding is still such as estimated by the Department of Agriculture to show that the movement has not exhausted as about 9,870,000 bales, while for the United itself as had been supposed by some when dis- States it is 6,750,000 bales. Banking reports cussing the subject earlier in the year. This from the agricultural States show that, al- process of readjustment in prices complicates though considerable liquidation has taken place other elements in the industrial problem and in the wheat and cotton raising regions, it is has an important bearing upon the loan policy still necessary for the banks to extend a sub- of the banks. Bankers who have thought it stantial amount of loans for the purpose of possible to adopt a nonconstructive attitude, enabling farmers and owners of grain and merely awaiting the arrival of conditions which other products to carry them, pending actual would enable them to select their own course liquidation through sale in the market. In the with a view to greater safety, are recognizing cotton-raising States, particularly, the process that this is practically out of the question in the of liquidation has been slow, although the present circumstances. One thing which has increasing consumptive power of the textile attracted unusual attention is the evidently mill regions is helping the situation to some more or less close relationship between commodity prices and foreign exchange quotations. extent. Some 396,000 bales of cotton were As prices have declined there has naturally been consumed in February as compared with 366,000 bales in January, but spinners7 some tendency toward the restoration of more normal values for foreign currencies. The varitakings amounted to 339,119 bales for the ations in the course taken by the domestic month of February as against 526,718 bales price levels of some countries have, however, in the preceding month. tended to make the exchange values of their Notwithstanding the belief that the downward movement of prices had currencies on the New York market correspond- Price changes. ^ _ ingly variable. Changes in international price cQme practically to a stop ex levels have thus become a significant and imperience during February and March has portant element in the establishment of expointed to a still further reduction. The change relationships between different nations. Board's index number for February shows a Latest reports for foreign trade point to a shrinkage of 9 points as compared with the figure for January, while since the opening of new trend in the general direc- Foreign trade. ,. „. ^ . . March the figures of commercial agencies and tion ot business, lnis is seen in others show a steady reduction in prices. the decrease of exports and the relative in- Practically all price indexes are now agreed as crease of imports. For February, exports to the downward tendency in current values, amounted to $489,000,000 and imports to while retail price indexes are beginning to fall $215,000,000, whereas in January exports were definitely into line with the trend in wholesale $655,000,000 and imports $209,000,000. There values. This has been shown during the past was thus an increase of imports of $6,000,000, month by the figures reported by the Bureau or a little less than 3 per cent over January, of Labor Statistics, which reflect a falling in while exports fell off by about 25 per cent, retail food prices during February amounting As a result our favorable export balance Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 379 for the month was $274,000,000, as against movement of raw staples from Canada, South $446,000,000 in January. It remains true, America, and other parts of the world to the however, that for the eight months ending United States, partly due to the fact that the February we are still about $375,000,000 business depression in those countries was more ahead of the eight months ending February, serious than in our own markets, while, on the 1920, our export balance being $2,370,000,000 other hand, European demands for such goods for the period, as against $1,995,000,000 for the when offered for cash had partly fallen away. preceding period. These excess shipments The theory has been that in order to relieve have been made to those countries which were markets from the surplus of such articles as still in position to open credits here. With wool, cereals, cotton, and the like, it would be some other countries, where moratoria or necessary to finance consumers who were practical suspension of credits has occurred, disposed to pay in long-term obligations and the indisposition of banks to finance move- thereby to reduce the supplies of such articles ments of goods has practically set a limit to pressing upon the markets not only in the the quantity of export goods which can be United States but in other countries. In shipped. In this connection, too, it is worthy furtherance of this idea it has been suggested of note that our export and import figures that goods coming from outside sources should have during the past year tended to fall be- be refused admission into the United States hind, so that the compilations announced for in order that our financing might be employed any given month represented a condition of only for the placing of goods of domestic trade at some earlier date and were merely the origin, thus relieving our own markets at the compilations completed during the month for same time that the reorganization of European which they were made public. How far this markets was furthered by financial assistance. may have vitiated the figures would be difficult The whole subject remains in abeyance pendto say, but it may account for the fact that ing the adoption of a national policy on the the falling off in our export trade has so slowly subject. been reflected in Government figures, the Notwithstanding unsettled conditions in latter continuing to increase for a good while Europe and the lack of any Exchange after the date when it had been generally approximate adjustment of quotations. realized through idle tonnage and in other questions relating to the settleways that a great shrinkage of foreign ship- ment of the claims of the Allies upon Germany, ments had occurred. British and continental exchange quotations The Secretary of Commerce, who has care- have held their own at or near the levels which fully reviewed the present situ- prevailed at the opening of the month of March. Foreign credits. ation in our agricultural in- The stability which has thus been exhibited dustry both as affected by domestic and has been the occasion of some surprise among foreign demand, has expressed the opinion observers who had been of the opinion that that in addition to various commercial meas- the great overhanging obligations growing ures which have been taken under advisement out of past unfavorable balances of trade it is desirable that the organization of Edge would inevitably tend to drag down quotations Act corporations should proceed actively. much below their existing levels. No such Such organization would be intended to permit influence has been experienced, and during the movement of goods upon long-term credits most of the month the amount of exchange for the purpose of supplying temporary work- offering upon the market has been very limited. ing funds to European industries which are In the following table is set forth the comparasuffering from depression. Within the last tive data relative to the movement of exchange month or more there has been a considerable quotations during the month. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

380 FEDERAL, RESERVE BULLETIN. APEIL, 1921. Foreign exchange rates, Mar. 5-Mar. 26, inclusive. tations have been fluctuating and weak, Argentina exchange at one time reaching a low-record Week ended Week ended point. This has been caused by the great con- Mar. 5. Mar. 12. gestion of American goods in the ports of those High. Low. High. Low. countries, due to cancellation of orders or inability to sell. In part it is the result of a falling E Fr n a g n l c a e nd S3 . . 0 9 7 0 2 6 3 3 $3 . . 0 8 7 5 0 8 9 8 $3 . . 0 9 7 0 2 8 7 8 $3. .0 8 6 4 9 7 9 5 off in demand for goods in the United States, I S t p a a ly m . . 1 0 3 3 9 6 5 8 . . 0 13 3 8 6 0 3 . . 1 0 3 3 9 7 9 0 . . 1 0 3 3 8 6 2 5 which has reduced the volume of imports shipped S G w er i m tze a r n l y and . . 1 0 6 1 7 6 0 4 . . 1 0 6 1 5 5 1 8 . . 1 0 6 1 9 6 1 7 . .1 0 6 1 6 5 6 0 here except upon consignment or to await or- H Sw ol e l d a e n n d (Stockholm) . . 2 3 2 4 3 3 5 0 . . 2 3 2 4 1 0 5 0 . . 2 3 2 4 6 3 0 8 . .3 2 4 2 0 3 2 0 ders. In part it has grown out of the indis- A Be rg lg e i n u t m ina . . 0 3 7 4 5 7 6 5 . .3 0 4 7 5 4 1 0 . . 0 3 7 4 6 5 1 2 . .3 0 4 7 3 3 1 0 position of the New York market to accept the C C h h i i n n a a ( ( S H h o a n n g g k h o a n i g ) ) .. . . . . . 6 4 3 7 0 3 0 8 . . 5 4 8 41 3 3 8 . .6 4 1 6 3 0 8 0 . .5 4 9 4 6 3 3 8 duty of financing foreign trade beyond a very C Ja a p n a a n d a (Yokohama).. . .8 4 7 8 7 3 5 8 . .8 4 7 8 5 3 0 8 . .8 4 7 8 7 3 5 8 . .8 4 7 8 3 3 8 8 easily reached limit. In trade relations with European countries more or less support for Week ended Week ended the exchange situation has undoubtedly been Mar. 19. Mar. 26. supplied through the use of credits already High. Low. High. Low. established in past months and through the fact that a substantial and increasing volume England $3.9125 $3.8825 $3.9175 $3.9025 of business has developed between the United France .0705 .0697 .0690 Italy .0411 .0368 .0404 .0383 States and most of the European nations, while Spam .1399 .1380 .1402 .1392 Germany .0161 .0157 .0166 .0157 the process of investing American capital Switzerland .1742 .1689 .1741 .1700 Sweden (Stockholm). .2305 . 2255 .2338 .2312 abroad is proceeding, even though slowly. Holland .3440 .3420 .3444 .3435 Belgium .0738 .0718 .0729 .0722 Holders of European balances have been in Argentina .3416 .3359 .3378 .3369 China (Hongkong)... .4713 .4588 .4875 .4788 many cases of the opinion that the tentative set- China (Shanghai) .6325 .6050 .6550 .6388 Japan (Yokohama)... .4838 .4825 .4825 .4825 tlement of issues now open between the United Canada .8769 .8713 .8813 .8738 States and these foreign countries would result in making much more satisfactory provision for Except for the influence of the reparations the furtherance of business and investment on an discussion, the elements entering into the price international basis, and they have accordingly of exchange during the month have been of a been disposed, whenever possible, to hold off, familiar character. There has been on the rather than to throw their holdings of foreign whole no further decline in the price of silver, currency upon the market. This, as already as evidenced by the following quotations furseen, has tended to keep down the total volnished in continuation of those supplied in ume of dealings, but it has also tended sharply former months: to restrict the competitive character of the Prices of bar silver in New York during March. market, leaving the rates, therefore, to be established upon a somewhat technical basis in High. Low a range of transactions which was at times decidedly limited. Week ended— Mar. 5 .. . . $0.5700 $0.5288 During the month ending March 10 the net Mar.12 .5700 .5400 Mar. 19 .5825 .5550 Mar. 26 .5925 .5700 Gold and silver inward movement of gold was imports and ex- $61,768,000, as compared with The shifting value of silver furnishes, however, por s' a net inward movement of explanation of the changes in the value of $33,664,000 for the month ending February 10. oriental exchange. In trade with South Amer- Net imports of gold since August 1, 1914, were ican countries and in some few others which $975,137,000, as may be seen from the following are in much the same position exchange quo- exhibit: Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL, RESERVE BULLETIN. 381 [In thousands of dollars.] Mexico furnished over 69 per cent, or $2,755,000 of the $3,986,000 of silver imported Excess of imports during the monthly period ending March 10, Imports. Exports. over exports. the remainder coming principally from Canada, Peru, Honduras, and Chile. Silver exports, Aug. 1 to Dec. 31,1914 23,253 104,972 181,719 Jan. 1 to Dec. 31,1915 451,955 31,426 420,529 amounting to $2,711,000, were consigned Jan. 1 to Dec. 31,1916 685,745 155,793 529,952 Jan. 1 to Dec. 31,1917 553,713 372,171 181,542 principally to England, Japan, British India, Jan. 1 to Dec. 31,1918 61,950 40,848 21,102 Jan. 1 to Dec. 31,1919 76,534 368,185 1291,651 and Panama. Jan. 1 to Dec. 31,1920 417,181 322,091 95,090 Jan. 1 to Mar. 10,1921 104,304 4,012 100,292 Moderate loan liquidation, totaling Total 2,374,635 1,399,498 975,137 $158,100,000 and commensu- The banking ^ reduction in individual ra e i Excess of exports over imports. situation. deposits, are the outstanding England furnished $15,190,000 and France features of developments in the banking field $11,967,000, or about 24 and 19 per cent, during the four weeks between February 18 respectively, of the $62,671,000 of gold imand March 18, as indicated by the weekly ported during the monthly period ending statement of condition of about 825 member March 10, Canada, China, British India, banks in leading cities. All classes of loans of Sweden, Colombia, and Hongkong furnishing the reporting banks show reductions for the most of the remainder. Of the gold exports, period—loans secured by Government obligaamounting to $903,000, over one-half, or tions, by about $21,400,000; loans secured by $489,000, was consigned to Mexico and the corporate obligations, by $17,800,000; and remainder to Canada, Hongkong, and Cuba. other loans and discounts, largely of a com- Since the removal of the gold embargo on mercial character, by nearly $118,900,000. June 7, 1919, total gold exports amounted to Changes in the investment block include reapproximately $679,899,000. Of this total ductions during the four weeks of about $195,414,000 was consigned to Japan, $146,- $7,000,000 in the holdings of United States 555,000 to Argentina, $71,953,000 to Hongkong, bonds and notes and of $44,000,000 in the $67,396,000 to China, $41,052,000 to British holdings of Treasury certificates during the India, $29,778,000 to Spain, and the remainder first three weeks of the period as against an principally to Mexico, Uruguay, the Dutch increase of $136,800,000 in these holdings dur- East Indies, Canada, the Straits Settlements, ing the succeeding week following the extenand Venezuela. Net exports of gold since the sive loan operations of the Government. removal of the embargo have amounted to ap- Accommodation of all reporting banks at proximately $125,882,000 to March 10. the Federal Reserve Banks shows a further During the same monthly period the net reduction for the period from $1,846,700,000 inward movement of silver was $1,275,000, as to $1,719,210,000, or from 11.5 to 10.7 per compared with a net outward movement of cent of the banks' aggregate loans and invest- $634,000 for the month ending February 10. ments, this reduction occurring largely during Net exports of silver since August 1, 1914, the last week under review, following the conwere $456,460,000, as may be seen from the siderable loan liquidation by member banks. following exhibit: For the member banks in New York City, a [In thousands of dollars.] reduction of accommodation at the local Excess of Federal Reserve Bank from $791,500,000 to Imports. Exports. ex o p v o e r r ts $650,800,000, and a decline in the " ratio of imports. accommodation" from 15 to 12.4 per cent are Aug. 1 to Dec. 31,1914 12,129 22,182 10,053 noted. Jan. 1 to Dec. 31,1915 34,484 53,599 19,115 Jan. 1 to Dec. 31,1916 32,263 70,595 38,332 For the four weeks between February 25 and Jan. 1 to Dec. 31,1917 53,340 84,131 30,791 Jan. 1 to Dec. 31,1918 71,376 252,846 181,470 March 25 Federal Reserve Bank reports show Jan. 1 to Dec. 31,1919 89,410 239,021 149,611 Jan. 1 to Dec. 31,1920 88,060 113,616 25,556 further liquidation of about $109,600,000 of Jan. 1 to Mar. 10,1921 10,905 12,437 1,532 discounted bills, of $47,500,000 of purchased Total 391,967 848,427 456,460 acceptances, and of over $4,000,000 of Treasury Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

382 FEDERAL RESERVE BULLETIN". APKID, 1921. certificates. Holdings of bills secured by March 11. On the following Friday, in con- Government obligations show some fluctua- nection with large Government operations and tions and on March 25 were $6,400,000 in substantial loan reductions, a decline of excess of the February 25 holdings. Accept- $69,100,000 in deposits is shown, followed, ance holdings show a continuous decline, however, by an increase of $66,300,000 during partly in consequence of the reduced supply the last week under review. Weekly figures of of foreign trade bills, partly also in response Federal Reserve note circulation show a further to the greater investment demand for prime continuous decline from $3,051,700,000 to bankers' bills by country banks in the $2,930,700,000, or at an average weekly rate interior. Changes in the Treasury certifi- of over $30,000,000. Since December 23, 1920, cates account reflect the redemption by when the seasonal return flow of currency set the Government on February 28 of $5,000,000 in, the reduction in Federal Reserve note circuof so-called "Pittman" certificates from the lation totaled $474,200,000, with the result that St. Louis and Kansas City Reserve Banks, the March 25 total is $117,300,000 below the also fluctuations in the holdings of special total reported on the corresponding date last certificates held by the Federal Reserve year. There is also noted a continuous reduc- Banks to cover temporary advances to tion in the circulation of Federal Reserve Bank the Government. Total earning assets, in notes from $189,300,000 on February 25 to consequence of the changes above shown, $175,500,000 on March 25, compared with show a decline of $161,700,000 for the four $201,400,000 about a year ago. weeks under review, and on March 25 stood at Gold reserves show a further gain for the four $2,692,400,000, or $729,500,000 below the weeks of $70,500,000, while total cash reserves peak figure reported on October 15 of last year. increased about $65,000,000. Notwithstanding Rediscounting operations are reported only the more conservative method of computing by the Dallas Federal Reserve Bank. On reserves, the reserve ratio on March 18 shows a March 25 this bank had outstanding with the rise to 51 per cent. On the following Friday, Cleveland bank a total of $14,700,000 of its because of the large increase in Government discounted bills, compared with $13,600,000 deposits, the ratio declined to 50.8 per cent. four weeks earlier. On the date mentioned, the The Board has called a conference of the Cleveland and three other Federal Reserve governors of the Federal Re- Governors' -r> -, -i • • .•• Banks report also among their acceptance conference. serve Banks, beginnin g AApril holdings $3,300,000 of bank acceptances taken 12 and extending, perhaps, over from the New York Federal Reserve through the 15th. A considerable part of this Bank, compared with about $24,000,000 of conference will be devoted to discussion of such bills held four weeks earlier. matters pertaining to the operation of the In the weekly bank statement of March 18, Federal Reserve Banks, including fiscal agency for the first time, both "uncollected items" functions, but on Thursday, April 14, the among the assets and "deferred availability Board wishes to have a discussion of general items" among the liabilities were disregarded credit conditions and the best methods of proin calculating deposit liabilities and reserve viding for the needs of business and industry. ratios. This necessitated a slight recasting of During the conference held on May 18, 1920, the form of the statement, affecting mainly the the Class " A " or banker directors of the several deposit block. The change, as explained on a banks were present. This year the Board has previous occasion (see p. 3 of the January, 1920, deemed it advisable that each Reserve Bank BULLETIN) , tends to apply a somewhat stricter be represented at the discussion on April 14 by standard of reserve computation, especially in one of its own directors actively identified with the case of those banks which carry a relatively business, in order that there may be brought large "float." Total deposits when calculated out to best advantage the view of those who on the new basis, i. e., disregarding the "float," are actual users of credit. It has been deemed reached a high figure of $1,843,700,000 on best to limit the invitations to one director Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 383 from each bank, and, in order that there may Reserve Agent at the Federal Reserve Bank of be present representatives of various lines of Cleveland on March 5. business and industry, the Board has endeavored to make up a selected list from among the Index-Digest of Federal Reserve Bulletin. nonbank directors of the several Federal Reserve Banks, with a view to securing a satis- The Federal Reserve Board will publish factory representation for the different lines of shortly, primarily for its use and that of Fedbusiness. eral Reserve Banks, an index-digest of the On March 4 Hon. Andrew W. Mellon was FEDERAL RESERVE BULLETIN, prepared by Mr. confirmed by the Senate as Sec- C. S. Hamlin, one of its members. The digest Personnel, retary of the Treasury, becom- covers the first six volumes of the BULLETIN, ing thereby the Chairman of the from the years 1915 to 1920, inclusive, and Federal Eeserve Board. contains an abstract of all published decisions OnMarch 10 the name of Hon. D. M. Crissinger and rulings of the Federal Reserve Board and was sent by the President to the Senate as of the other matter contained in the BULLETIN. Comptroller of the Currency and was confirmed. The Board will print a sufficient number of Accordingly, Mr. Crissinger assumed office on copies to supply the demand of banks and March 17. others who may desire to purchase it. Mr. D. C. Wills, who had been commissioned The price will be $2 per volume, bound in by the President a member of the Federal cloth in the same manner as the BULLETIN. Reserve Board ad interim, his term of office Subscriptions should be addressed to the Fedending at the expiration of the session of the eral Reserve Board, Washington. As the edi- Senate which closed on March 4, reassumed tion is to be a limited one, those desiring copies duty as Chairman of the Board and Federal should send in their orders promptly. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

384 FEDERAL RESERVE BULLETIN. APRIL, 1921. BUSINESS, INDUSTRY, AND FINANCE, MARCH, 1921. The month of March shows little change from unusually favorable throughout every section conditions noted for the preceding month. The of the country. The temperature has been uncertainties which characterized the month of fairly uniform, with but few exceptions, and no February have continued. Except in certain serious damage has been done in these cases. special lines of industry, a waiting attitude on The abundant rainfall and snow in most the part of producers is still in evidence. The sections have given sufficient moisture for the month has therefore not shown much advance winter grain crops and for preparation of the toward the restoration of normal conditions. soil and the planting of the spring crops. There has been an increase in activity in cer- Winter wheat continues in excellent condition tain important industries, notably automobiles, and is somewhat earlier than usual. The textiles, and footwear. The question now damage from winterkilling has been very small, chiefly at issue is whether this increase is merely due to the mild weather, and practically no a temporary seasonal advance or whether it rep- reseeding will be necessary. Every district, resents a turn toward a higher level of general however, reports ravages from insect pests, business activity. As to this point no definite chiefly green bugs and Hessian flies. While statement can be made. In some staple lines these ravages were checked in some sections by of industry, such as metals, improvement is cold weather, it is too early to estimate the either not in evidence or, where noted, is inci- extent to which damage has been done. The dental to local conditions. Better demand for uneasiness felt a month ago in regard to the labor is apparently only a reflection of the in- fruit crop has been somewhat overcome, and crease in business activity in special industries, there is expectation of large yields. Reports to which reference has been made. Its signifi- from district No. 11 (Dallas) indicate that cance as an economic indication is therefore " there are good prospects that the southnot certain. Consumptive demand on the part western fruit crop will escape frost damages, of the public at large continues strong, in view and that an unusually large production of fruit of the fact that employment still remains at a will be realized, unless the last killing frost lower level than heretofore. Keduction of of the season occurs much later this spring wholesale prices, as shown by the Board's in- than it usually does.77 District No. 12 (San dex number, amounts to 9 points (or 6 per Francisco) states: "Opportune rains and warm cent) for the month of February, and current weather have caused deciduous fruit trees to price quotations indicate a continuation of this bud and blossom profusely and, if unseasonable reduction during the month of March at ap- frosts do not occur, their yields should be proximately the same rate. This shows that record ones." In districts Nos. 8 (St. Louis) readjustment in wholesale prices is still in prog- and 10 (Kansas City), while the fruit crop ress, with, however, no clear indication as to prospects are exceptionally good, there is still how long the movement will continue. In the some apprehension lest the April frosts will do retail field price adjustment is, as is a matter of considerable damage. common observation, slower than in the whole- Cotton.—The cotton situation during the sale. In banking and credit, liquidation has month has shown some interesting developcontinued, but with very little general reducments. Favorable weather conditions have tion in the total amount of credit outstanding. made possible the gathering of the remainder Interest rates have shown little change during of the cotton crop, and the latest report of the the month. An attitude of greater hopefulness Department of Agriculture placed the 1920 on the part of the business community, and the crop at about a million bales above the estiexpression of opinion on the part of commercial mates in the previous reports. In district No. leaders that distinct improvement in domestic 6 (Atlanta) "the campaign for a reduction in conditions is in sight, represents a forecast cotton acreage is being actively prosecuted." rather than an analysis of actual facts. The There seems, however, to be a diversity of extent to which these expectations are waropinion as to the extent to which reduction will ranted can not be determined. In foreign be effected. The situation is summed up in a trade the continuation of some foreign morastatement from district No. 11 (Dallas), which toria and practical suspension of business with says that " while the consensus of opinion a number of countries is reflected in a reduced seems to indicate a reduction of about 25 per volume of trade, but this reduction is far greater cent in Texas, no definite and reliable inforwhen measured in terms of value than when mation is yet available as to the State's 1921 measured in units of physical volume. cotton acreage." A new factor in this dis- Agriculture.—General agricultural conditions trict's cotton acreage is a successful experiment during the month have been characterized as in cotton growing last year in the Roswell Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APEIL, 1921. FEDERAL RESERVE BULLETIN. 385 region of New Mexico, where it is reported that for oats. Receipts of wheat at Minneapolis a large acreage will be grown this }^ear. In the and Duluth reflected the same tendency as at sections where fertilizer is used, it is apparent the four markets in district No. 10 (Kansas that the farmer, in an effort to reduce cost of City), but an opposite tendency in the receipts production, will restrict the use of fertilizer. of oats and corn. Total stocks of grain at District No. 5 (Richmond) states that "less Minneapolis and Duluth terminals were about than 50 per cent of the usual amount of 4 per cent higher at the close of February than fertilizer has been bought for this season of the at the close of January, and were practically year, and farmers are showing little interest in the same as at the close of February, 1920. making contracts/7 while in district No. 6 The price of grains generally ruled lower during (Atlanta) "the amount of fertilizer purchased February than during the month previous. by farmers so far this season is stated to be not The median price for cash wheat No. 1 Dark more than one-fourth of the amount usually Northern at Minneapolis was $1.75f during bought by this time of the year." The port February as against $1.84 for the month before. receipts of cotton during February reflected the The median price quotations at Minneapolis for usual seasonal decline, but were considerably the several grains were all lower for February smaller than February a year ago. This than for January. The same is true of St. season's total for the United States, both for Louis as regards the closing price on March 15 receipts and exports, has shown a large decline when compared with February 15. over last season. Flour.—It is stated from district No. 10 Tobacco.—The leaf-tobacco situation during (Kansas City) that " considerable strength dethe month in general has continued to show im- veloped in the milling situation in the Southprovement. It is reported from district No. 5 west during the latter part of February." Al- (Richmond) that "tobacco prices improved though there were no large bookings, and buysomewhat for the better grades, but off-color ing was in small lots for immediate needs, the and damaged goods have been sold for a few trade showed signs of "healthy improvement/7 cents per pound." Reports from district No. 8 which continued in March. Orders for imme- (St. Louis) indicate similar tendencies, stating diate delivery increased slightly in district No. that "tobacco is being sold in large volume, 8 (St. Louis) after February 15, but the busiwith prices about steady. Better grades are ness in that district on the whole continues firm; medium grades bringing better prices; "dull and unsatisfactory." Further cancellaand common grades stronger." Reports from tions have occurred as a result of the decline the tobacco sections indicate a material reduc- in wheat futures. Export trade in clears and tion in the 1921 acreage. The condition in the low-grade flours is holding up well in district manufacturing industry has also shown some No. 10 (Kansas City), but in district No. 8 (St. improvement. Many plants continue to run Louis) the export trade is described as "the far below capacity, but in general have shown a slowest in more than a decade." The demand slight increase over the operations of last for flour in district No. 12 (San Francisco) "has month. A few price reductions Jiave been been light, buyers conservative, and prices made in the manufactured products, but stationary." Competition with middle westchiefly in cigars of the cheaper grades. ern millers has been keen, and export demand Grain movements.—The February movement has been negligible. Trade reports indicate unof grain to market reflected the seasonal de- settlement about the middle of March, as a recline, but ranged considerably higher than a sult of the general weakness in wheat which {rear ago. Receipts of all grains at Minneapo- followed the appearance of the Government esis during February decreased 26.5 per cent timate of wheat stocks on March 1. Flour outfrom the January figures, while at Duluth the put of mills representing about 75 per cent of decrease was only 7.1 per cent. However, the total production in district No. 9 (Minnewhen the two cities were combined, the de- apolis), which were operating at about 38 per crease was 22.9 per cent, but when compared cent of capacity, was 1,854/209 barrels during with February, 1920, there was an increase of the four weeks ending February 26 as com- 17.4 per cent. The marketing of wheat at the pared with 1,886,608 barrels during the four four principal markets in district No. 10 (Kan- weeks ending January 29, and 1,630,195 barrels sas City) was on a much larger scale than during the four weeks ending February 28, during February a year ago, the increase being 1920. The February output of reporting mills 62.7 per cent. Each of the four markets in in district No. 10 (Kansas City) was 1,192,730 the district shared in the increase to about the barrels, as compared with 1,535,078 barrels same extent. The receipts of both corn and during February, 1920. The output of 82 of oats at the same markets showed decreases of the principal millers in district No. 12 (San 7.8 per cent in the case of corn and 64 per cent Francisco) was 573,420 barrels during Feb- Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

386 FEDERAL RESERVE BULLETIN. APEIL, 1921. ruary, as compared with 594,787 barrels re- City) after a decline in February. Stockers ported by 80 mills during January. Opera- and feeders were in very active demand, with tions were at 44.8 per cent capacity as com- prices approaching levels very near those for pared with 40.3 per cent in January and 71.8 ted cattle. Demand for stockers and feeders per cent in February, 1920. As a result of the in district No. 12 (San Francisco), however, lack of demand for flour, and in part of un- has been light. Hog prices in that district willingness of farmers to sell grain at prevail- were higher on March 1 than on February 1. ing prices, wheat stocks, reported by 21 of the Active demand from eastern and Pacific coast large mills in the district, were only 1,762,953 shippers at leading western markets combined bushels on March 1 as compared with 4,350,059 to decrease to a considerable extent the supply bushels on the same date last year, while flour of hogs available in district No. 10 (Kansas stocks were slightly less than a year ago. City) for local slaughter. The wholesale meat Stocks of both wheat and flour in millers' hands trade, it is stated from that district, "suffered in district No. 8 (St. Louis) are light. stagnation" during February, following price Live stock,—Live stock on farms and ranges declines in mid-January, but the market took in general continues in healthy condition, due on a firmer tone at the close of February. both to "the mild open winter and a plentiful Sheep prices in Chicago touched the lowest supply of feed." Only in certain sections, point in five years during the month of Febsuch as in parts of Arizona and New Mexico, ruary. On the other hand, in St. Louis the has pasturage been scanty as a result of dry general trend of live-stock prices has been weather, and the stock suffered in conse- upward. quence. Losses from disease have been light Nonferrous metals.—Prices of nonferrous in district No. 10 (Kansas City), while feed- metals registered further declines during Febing in district No. 11 (Dallas) has been the ruary and the early part of March. The lightest in the past several years. Conditions price of lead ore in district No. 10 (Kansas generally are very favorable for the lambing City) reached $32 per ton in the last week of season, and the spring calf crop is also ex- February, having decreased $13 during the pected to be high. While February hog and month, while the price of refined lead (on the sheep receipts have been in excess of those of New York basis) quoted by the leading inlast year and receipts of cattle and calves terest was further reduced from 4.4 cents to have been less, February receipts for all 4 cents per pound at the close of February. three classes of live stock were less than in Further declines in the prices of electrolytic January. Receipts of cattle and calves at 15 copper and zinc have occurred. Production western markets were 835,686 head during in the lead and zinc mining and smelting in- February, corresponding to an index number dustries in district No. 12 (San Francisco) is of 89, as compared with 1,191,814 head estimated to be "only 30 to 42 per cent of during January, corresponding to an index capacity." An illustration of the present number of 118, and 1,062,381 head during situation in the zinc industry is afforded by February, 1920, corresponding to an index the fact tljat in district No. 10 (Kansas City) number of 109. Receipts of hogs likewise de- only 38 zinc mills were operating in Febcreased from 3,339,419 head during January to ruary, 1921, as compared with 200 mills in 2,902,107 head during February, as compared February, 1920. Companies producing about with 2,394,978 head during February, 1920. 75 per cent of the refined copper in district The respective index numbers are 152, 141, and No. 9 (Minneapolis) show an output of 20,- 113. February receipts of sheep amounted to 845,422 pounds of copper in February, in 972,647 head, as compared with 1,112,024 comparison with a January production of head during January and 947,733 head during 20,815,822 pounds. The increase in Michigan February, 1920, corresponding respectively to production offsets the decrease in Montana index numbers of 76, 81, and 72. February production. The output of the same compareceipts at Fort Worth were the smallest in nies was 31,982,628 pounds in February, 1920. that month during the past 17 years, and hog Mines reporting in district No. 12 (San Franreceipts the lightest since 1912. It is stated cisco) show a production of 16,144,980 pounds that shippers were even more reluctant to of blister copper in January, as compared with test the market than in January. Receipts 18,688,511 pounds in December. of all classes of live stock except hogs de- Coal.—Reduction in demand for bituminous creased from the first of the year until the coal has resulted in a considerable curtailment early part of March, when prices reacted some- of production. Production during February what and encouraged a larger supply on that was 30,770,000 tons, as compared with 40,market. Slightly higher prices prevailed dur- 270,000 tons during January and 40,181,000 ing the second week of March for most classes tons during February, 1920. The respective of cattle and hogs in district No. 10 (Kansas index numbers were 89, 109, and 112. De- Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 387 mand for steam coal is somewhat better in dis- ducers, on the other hand, further cuts in prices trict No. 8 (St. Louis), but is very small in dis- are reported, and it is stated that they are trict No. 6 (Atlanta). District No. 5 (Rich- now on the average 15 per cent below the prices mond) reports that "for the first time in many of the corporation. District No. 3 (Philadelmonths there has been some unemployment in phia) reports that these efforts to stimulate dethe coal fields" of West Virginia. Mine prices mand on the whole have proved ineffectual, have continued to decline, but retail prices have but in district No. 4 (Cleveland) a larger proshown only slight reductions. In district No. portion of current business has been diverted 3 (Philadelphia) there have been few wage to the independent producers, and " indications cuts, but " employment time is considerably point to a moderate renewal of interest among less than half of normal.'7 There has been a buyers." Some resumption of activity on the marked decline in foreign demand, and exports part of the automobile industry is reflected by in February were only 712,000 tons, as com- the release of suspended orders to mills, as well pared with 2,248,448 in January. There has as by some new buying, but the automobile been a distinct slackening in demand for both output during the present year is not expected steam and domestic grades of anthracite coal. to exceed 40 per cent of capacity. In the in- The decline in domestic demand is attributed to dustry as a whole, it is stated from district the mild winter and the expectation of the usual No. 2 (New York) that new orders are being spring price cut. On March 15 two leading received at the rate of slightly more than 25 railroad coal companies made new prices 50 per cent of capacity and that several independcents to 75 cents lower than those previously ent companies have received a fair volume of prevailing. Competition with bituminous business. The demand for tin plate, pipe, and grades has led to special reductions in the wire products in particular increased. Pig iron, prices of steam sizes of anthracite. February however, has been weak. In the furnace yards production of anthracite was 7,845,000 tons, of district No. 6 (Atlanta) a large amount has as compared with 9,419,000 tons during Jan- accumulated, and consumers have held over uary and 6,525,000 tons during February, 1920. purchases until conditions in their own indus- The respective index numbers were 114, 127, tries improved. Stocks of pig iron in the counand 91. Coke prices and production have fur- try as a whole are reported to be approximately ther declined in sympathy with the situation in 870,000 tons. Little contract and no spot busithe iron and steel industry. ness is being transacted in district No. 3 (Phila- Iron and steel.—The iron and steel industry delphia). Many firms in that district report continues in an unsettled condition. Output reductions in wages amounting to from 10 to has further declined. Pig-iron production in 20 per cent since the first of the year, and de- February amounted to 1,937,257 tons, corre- creases by independent plants in other dissponding to an index number of 90, as com- tricts are likewise reported. pared with 2,416,292 tons in January, corre- Petroleum.—Production of petroleum in gensponding to an index number of 104. Steel- eral has shown a decrease, following the recent ingot production has followed a similar course, decreases in prices in the industry. February decreasing from 2,203,186 tons in January to daily average production of crude petroleum 1,749,477 tons in February. The respective in- in California was 327,864 barrels, as compared spective index numbers are 94 and 80. The with 331,181 barrels in January, while in disdecrease in activity is also reflected in the re- trict No. 11 (Dallas) daily average production duction in the number of blast furnaces in op- was 403,243 barrels, as compared with 411,171 eration, from 184 on February 1 to 153 on barrels in January. In contrast with this situ- March 1. The operations of the United States ation, however, there has been a practically Steel Corporation have decreased until they are continuous increase in the weekly output in the now variously estimated at from 45 to 60 per Kansas-Oklahoma fields since the beginning of cent of capacity. Inroads have been made the year. The daily average output for the upon its order book, and unfilled orders at the week ending March 11 was 366,500 barrels in end of February had fallen to 6,933,867 tons, that field, as compared with 334,000 barrels for as compared with 7,573,164 tons at the close the week ending January 7. This occurred in of January and 11,118,468 tons, the peak figure spite of the noticeable falling off in the comrecorded, at the close of July, 1920. The re- pletion of new wells and in new production in spective index numbers are 132, 144, and 211. district No. 10 (Kansas City), following the These orders, it is stated, are not evenly dis- break in prices which occurred in the month of tributed among its various plants. In spite of February. Many operators in that district the decrease, no reductions have been made in are pursuing a policy of confining their develits prices. In the case of the independent pro- opment operations to "offsets" in view of the Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

388 FEDERAL RESERVE BULLETIN. 1921. present situation in the industry. The de- textiles in February and irregular market concreased output shown in district No. 11 (Dallas) ditions in the early part of March. Such mareflects the decrease in drilling operations. terials as ginghams and percales are said to be While the falling off in such operations had in demand, and several manufacturers are realready commenced in January, February ported to have sold their entire output until completions, amounting to 420 wells, were 147 May 1 as a result of heavy demand from less than in January, and new production was jobbers. On the other hand, the fine-goods only half as large. In district No. 12 (San mills, after completing orders placed in Jan- Francisco) 60 new wells were completed in uray, are again reducing the scale of their February, as compared with 64 in January, operations. The market for heavy cotton while the initial new daily production was fabrics is also poor, and orders placed are for cut nearly in half. After the drastic price immediate delivery. The cotton-yarn mills in reduction in January and early February, prices the district have not received sufficient orders subsequently remained unchanged, the prevail- to continue operations on the somewhat ening price in central-west and north Texas being larged scale initiated in January and February. $1.75 a barrel. During the first half of March A number of the mills have again reduced their prices held steady at the same figure in the output and others are manufacturing for stock. mid-continent field. It is reported, however, In district No. 5 (Richmond), as elsewhere, the that the second week of March brought marked promise of increased activity based upon orders improvement in that field, and every purchas- received early in February was subsequently ing company in every field in Oklahoma and not sustained and there was again a tendency Kansas, with one exception, was buying crude to curtail operations. oil on a 100 per cent basis. It is reported that Finishing of cotton fabrics.—Thirty-four of fuel oil in the district "is showing an appre- the 58 members of the National Association of ciable increase in demand, while refined petro- the Finishers of Cotton Fabrics reported total leum is beginning to move in slightly larger finished yards billed during the month at quantities, and gasoline is fairly steady, though 55,436,871 yards, as compared with 34,315,924 the demand has not come up to seasonal yards in January. The total average percentexpectations.7' age of capacity operated was 51 per cent for Cotton textiles.—Continuing uncertainty in ail reporting districts, as compared with 33 the market for raw cotton is a dominant factor per cent during the preceding month. The in retarding the activity of the cotton textile total gray yardage of finishing orders received industry. The supply of cotton in the United amounted to 76^201,806, as compared with States on April 1 will, it is estimated, be about 72,541,858 in January. The total average 36 per cent above the five-year average for that work ahead at the end of the month amounted date, while prices are as low as the average for to 8.5 days for all reporting districts, as comthe period 1900-1914. Consumption of cotton pared with 9 days during the preceding month. in New England increased slightly for Febru- Hosiery.—District No. 3 (Philadelphia) reary, amounting to 126,319 bales, as compared ports a partial stabilization of the prices of with 114,710 bales in January. The decline in seamless hosiery, but quotations are not suffiprices of raw cotton has made it impossible so ciently firm to produce a relaxation of caution far to stabilize the market for cotton goods. on the part of jobbers. In general, manufac- Standard gray goods are reported by district turers state that there has been a rather limited No. 1 (Boston) to be selling nearly 25 per cent demand for their product in March, with orders below the figure quoted during the first week in for immediate shipment. The mills produc- February. But even so, demand is only for ing full-fashioned hosiery are largely idle as the small lots for immediate delivery, and the result of a general strike due to an attempt of activity of New England mills is largely con- manufacturers to reduce wages 15 per cent. fined to disposing of stock or finishing materials Finished stocks of goods are depleted, and a in process. At the same time there is an in- concern unaffected by the strike states that it creased demand from jobbers for finished goods, was forced to reject more orders than it acbut again buying is cautious because the differ- cepted because of its inability to deliver goods ence in price between finished goods and gray within the time limit. goods has increased, and it is felt that if the Twenty-five hosiery firms in district No. 3 price of gray goods continues to fall the prices (Philadelphia) which sell to the wholesale trade of finished fabrics must also eventually be reported an increase of 29 per cent in the value reduced. Prices for napped cotton goods for of the product manufactured during February the fall season have been cut to one-third the as compared with January, but there was a re- 1920 quotations. District No. 3 (Philadelphia) duction in output of 67.1 per cent as compared reports a reaction in the market for cotton with a year ago. The value of finished prod- Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 389 ucts on hand at the end of the month (selling ing to 307,507 dozens, a gain of 150,854 dozens price) was 11.8 per cent less than during the over the preceding month. New orders repreceding month, but 18.3 per cent greater as ceived by these mills during the month compared with the same month a year ago. amounted to 239,919 dozens, a decrease of Unfilled orders on hand at the end of the month 21,585 dozens, as compared with January; had increased 81.5 per cent as compared with shipments were 184,901 dozens, an increase of the preceding month, but were 67.6 per cent 95,398 dozens; production rose to 171,892 below the figures for the same month last year. dozens, an increase of 61,859 dozens. Ten reporting firms which sell to the retail trade Wool.—Raw wool prices continue to decline showed an increase in the value of the product and, as stated in the Boston report, "the wool manufactured of 65.6 per cent as compared with trade of Boston is fully aware of the fact that January and. a reduction of 89.5 per cent as there are 45,000,000 sheep in this country compared with the same month a year ago. which will soon be sheared, and that each Unfilled orders on hand at the end of the month animal will yield between 6 and 7 pounds of (selling price) were 108.8 per cent greater than wool.'7 Owners are still in possession of a during the previous month, but 89.8 per cent good part of last }^ear's clip, and it is likely that less than in February, 1920. buyers will prefer to purchase from the new Underwear.—Orders received for light-weight clip. Receipts of foreign wool in Boston have underwear by mills in district No. 3 (Philadel- been about twice as large since the beginning phia) are so far only about 50 per cent of of the year as during the corresponding period normal. A few manufacturers obtained orders last year. Notwithstanding the uncertain in January which were sufficient to keep their condition of the market for raw wool, there has mills running from three to four months. been during the month considerable buying of Demand fell off during the latter part of Feb- goods for the fall, and a resultant increase has ruary, however, and although there has been occurred in the activity of woolen and worsted some improvement in March, few orders are mills. On February 1 the Census Bureau rebeing received except for delivery within three ported 60 per cent of all machinery idle, as weeks. On the average, operations are be- compared with 68 per cent on January 1. tween 65 and 70 per cent of normal, although Reports for the months of February and March some manufacturers are running full time and will no doubt show further decreases in these others are operating at only 30 to 40 per cent percentages. Present indications are that the of capacity. Twenty firms which report to the American Woolen Co.'s recent offering of fall Federal Reserve Bank of Philadelphia showed goods was satisfactory. In district No. 3 an average increase in the value of products (Philadelphia) increased demand from the manufactured during February of 85.1 per cent hosiery industry has stimulated the demand as compared with January, but a reduction of for worsted yarns, and a revival of activity is 41.3 per cent as compared with February a evidenced by the fact that some mills preyear ago. Orders booked during the month, viously closed have reopened and are now however, declined 22.2 per cent; unfilled orders running at from 33 J to 60 per cent of capacity. on hand February 28 were 27.3 per cent in The enlarged demand has not, however, been excess of those on hand at the end of January. experienced by all manufacturers, and some The 63 mills reporting to the Knit Goods report a falling off of orders in March. Manufacturers of America state that their Silk.—The improvement in the condition actual production (in dozens) of winter and of the silk industry, noticeable in February, summer underwear for the month ending Feb- has continued and the operating capacity ruary 28 amounted to 248,431 dozens, which of 18,500 looms in Paterson and near-by towns was 28 per cent of normal production. Sixty- increased from 37 per cent in February to 46 one mills which reported for the month of per cent in March. During the latter month January had then a production of only 16.4 per some of the smaller plants, closed since fall, cent of normal. Of the 46 mills which reported began to manufacture goods chiefly for immeunfilled orders at the first of the month and diate shipment, while the larger mills which new orders received during the month, totals of were already in operation increased their unfilled orders amounted to 341,233 dozens and output. In district No. 3 (Philadelphia), new orders received during the month to where many of the larger mills are located, 240,024 dozens. Shipments of these 46 mills production is now estimated to be from 65 to were 197,181 dozens and production 181,028 75 per cent of capacity. Buying continues dozens, or 25.1 per cent of normal production. to be cautious and unfilled orders are as a rule The 33 representative mills furnishing data for small and for speedy delivery. District No. 3 both January and February reported unfilled (Philadelphia) states that the total volume of orders on hand at the 1st of February amount- orders is estimated to be about 75 per cent of Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

390 FEDERAL RESERVE BULLETIN. APRIL, 1921. that of a so-called normal year. There was delphia) the volume of orders booked by a slight advance in the price of raw silk during concerns manufacturing shoes designed for the month. Imports of raw silk rose from the Easter and early spring trade was so large 9,499 bales in January to 14,361 bales in as to tax the capacity of those firms. "Thus February, while the stocks in New York far during the current year little if any attenwarehouses at the end of the month fell from tion has been given to fall shipment, and 31,859 bales in January to 27,928 bales in considerable business is still to be booked for Februar}r. summer delivery." District No. 8 (St. Louis) Shoes and leather.—Prices for hides and reports indications of "gains of from 6 to 12 skins have tended to remain stationary during per cent in volume of March business over the February, but prices for certain finer qualities February totals." Demand was particularly of skins increased as a result of a shortage of strong for fancy lines of women's wear, but supply of such skins. Calfskins, which are movement of staple lines of men's shoes was used for upper leather, have remained sta- also fairly satisfactory. On an average, prices tionary at about 15 cents per pound. Heavy on March 15 were estimated to be about 10 native steer hides, however, continued to per cent lower than those prevailing in January. decline during February, reaching a price level Lumher.—Accompanving a further reducof 11 to 13 cents per pound. As the present tion in prices, demand for lumber showed a rate of slaughter of cattle is very much less than slight improvement in most sections of the that maintained a year ago, any considerable country. With the approach of spring, a increase in activity of the shoe industry should gradual increase of output is noted in district reduce the supply of hides and skins in the No. 12 (San Francisco), but output is still United States to reasonable proportions. Dis- only 50 per cent of normal. The four lumber trict No. 3 (Philadelphia) reports that " the manufacturers associations of district No. 12 tanning industry has recovered somewhat report production during the four weeks endfrom the almost complete apathy which ing February 26, 26.8 per cent higher than characterized it during the latter half of 1920, for the preceding four weeks. Orders for but it is still far from a normal operating lumber received during the same period inbasis." There has been a considerable de- creased 21.2 per cent and shipments 20 per mand for some grades of novelty leathers by cent. Due to active competition for business, shoe manufacturers engaged on rush orders increase in the volume of business was acfor the latest style shoes for the Easter trade, companied by a continuance of price declines. but manufacturers of staple leathers have not One hundred and eighteen mills belonging to participated to any appreciable extent in this the West Coast Lumbermen's Association reactivity. District No. 1 (Boston) reports that ported for the four weeks ending February 26 "boot and shoe manufacturers have not yet a cut of 162,648,000 board feet, shipments of seen fit to provide themselves with very 157,970,000 feet, and orders of 167,483,000 large stocks of leathers, and the United States feet. Corresponding figures for the preceding Government leather census of February 1, four weeks, with 114 mills reporting, were as 1921, shows that the tanners hold by far the follows: 130,865,000 feet, 133,645,000 feet, larger part of the supply of the same." The and 140,221,000 feet. District No. 5 (Richexport trade has continued slack. Exports of mond) and district No. 6 (Atlanta) report some sole leather in January, 1921, were only 86 increase in the demand for lumber, but only per cent, exports of goat and kid leather 27 at "bargain" prices. Production of 129 mills per cent, and exports of calf and kip leather belonging to the Southern Pine Association 49 per cent of those in January, 1920. The was 27.68 per cent below normal during the shoe industry continued to show increased week ending March 4, while shipments w^ere activity throughout February and the early 31.45 per cent and orders received 35.13 per part of March. This demand was confined cent below normal production. "No material largely to new styles of shoes, so manufac- change in the lumber price situation" is returers were unable to reduce their stocks. ported from district No. 11 (Dallas). South- In district No. 1 (Boston) there has been a ern pine mills reporting in the district showed perceptible increase "in the production of a marked decline in the volume of orders. women's shoes, but the shoe factories of New Orders booked by 30 mills during the four England as a whole are still running at only weeks ending February 25 were equivalent to about 50 per cent capacity. Stocks of shoes 56 per cent of their normal production, whereas were reported as somewhat smaller on March the 28 mills which reported in January booked 1, 1921, than on the same date last year, and orders equivalent to 72 per cent of their normal total sales for February were larger than in output. The average weekly production dur- February, 1920. In district No. 3 (Phila- ing the period was equal to 5Q per cent of Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 391 normal. District No. 8 (St. Louis) reports! than 53 per cent from the total value for further declines in demand for softwoods, but February, 1920. Building permits issued in 20 a slight increase in the demand for hardwoods. cities of district No. 12 (San Francisco) during The February cut of 13 manufacturers in February show an increase of 31.6 per cent in district No. 9 (Minneapolis) was 48 per cent j value and 12.8 per cent in number, as comgreater than in January, and shipments were pared with January. Portland, Oakland, San 16 per cent greater, but stocks at the close of Francisco, Los Angeles, and Pasadena report the month increased 4 per cent. As compared a marked increase" of building activity, with with February, 1920 cut was 25 per cent downward movement of the cost of materials 7 less, shipments 65 per cent less, and stocks at and labor. the close of the month 41 per cent greater. Employment—Employment conditions have Price declines are reported by the majority not shown much change during the past month, of manufacturers, as well as by retailers. but have improved slightly in those sections Building operations.—Building operations in- where unemployed labor has been absorbed to creased both in volume and value during the a certain extent by the demand from the past month in all districts except one. The country districts and where there has been a increase was most marked in the territory west seasonal increase in industrial activity. Reof the Mississippi River. The value of new ports to the United States Bureau of Labor construction was, however, decidedly lower Statistics from 65 industrial centers showed than in February, 1921. Considerable in- that 1 per cent fewer workers were employed crease of activity is evidenced in the building on February 28 than on January 31. The of residences. District No. 2 (New York) re-* greatest decrease in numbers employed wTas ports that 48 per cent of the value of building found in the iron and steel industry and in contracts in February was for residential pur- railroad repair shops, while the largest increase poses, as compared with 40 per cent in January. occurred in the automobile and textile indus- In district No. 4 (Cleveland) reports from i3 tries. In district No. 2 (New York) a reduccities show 1,335 permits for new construction, tion of unemployment occurred during March, with a total value of $4,843,916, in February, and it is estimated that about 5 per cent more as compared with 872 permits, with value of are now employed than a month ago. A sea- $4,631,924, in January. Reports from 23 sonal increase in the demand for farm labor cities of district No. 5 (Richmond) show 894 is noted, and in the Mohawk Valley many permits issued for new construction during persons from the city are now rinding February, in comparison with 624 permits employment on the farms. There is also issued in January. District No. 7 (Chicago) greater opportunity for employment in texreports an increase in number of building per- tile mills in the up-State section. There mits. Of 311 permits issued during February has been an increase in the number ^ of in the city of Chicago, 181 were for residence employees in the Rochester shoe and clothing construction. Five leading cities in district industries, but few changes have occurred in No. 8 (St. Louis) report aa further heavy fall- miscellaneous manufactures and there has been ing off in number and dollar value of building no increase in the metal trades. In New York permits.7' The nine largest cities of district City unemployment has become more serious No. 9 (Minneapolis) report 783 contracts, with among seamen, dock workers, freight handlers, a total value of $2,179,784, for February. drivers, and longshoremen, while conditions in This was an increase in number of 34 per cent the building trade show no special improveand in value of 152 per cent as compared with ment. In district No. 3 (Philadelphia) ^ a January; and an increase in number of 9 per reduction in the number of employees during cent, but decrease in value of 3 per cent, as the month was reported for nearly all sections, compared with February, 1920. In district although the textile mills have added to their No. 10 (Kansas City) reports from 16 cities working forces. Local bureaus of the Pennsylshow 1,352 building permits issued, which w^as vania Bureau of Employment estimate that 526 more than the number of permits for Janu- 147,115'men were unemployed on March 15, as ary, and 7S permits less than were issued in compared with 140,785 on February 15, in the February, 1920. The fact that the total value five cities, Philadelphia, Altoona, Harrisburg, of permits was less than in January is believed Johnstown, and Scranton. Of this total it is to indicate that more attention was given to estimated that 24 per cent were common the building of residences and fewer permits laborers. The increased demand for farm were issued for larger buildings. Total value labor is relieving the situation somewhat. of building permits issued in district No. 11 Unemployment seems to be widespread in the (Dallas) show^s an increase of approximately 50 iron and steel industry, as independent plants per cent over January, but a decrease of mora iri the district are not operating at more than Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

392 FEDERAL RESERVE BULLETIN. APRIL, 1921. 25 per cent of capacity, with many concerns indicate that there has been an increase in the totally closed. In district No. 5 (Richmond) sales of dry goods and of boot and shoe firms it is stated that unemployment has not materi- as compared with January, although the total ally increased during the month. The farm value of sales was much below that for February labor supply is reported to be ample, although of the preceding }^ear, when prices were on a the return movement from the cities has not higher level. The increase in buying is to be been as pronounced as expected in view of the expected at this season of the year, especially existing industrial depression. District No. 6 with the warm weather forcing retailers to fill (Atlanta) reports that unemployment still spring requirements. In groceries and hardexists to an appreciable degree in the cities and ware, increases in sales during the month have towns. In district No. 7 (Chicago) there either been slight or else actual declines have appears to have been no especial change in been registered. In district No. 3 (Philaemployment during the past month. Records delphia) there has been a reduction of 4.2 per of the free employment bureaus of Illinois cent in the sales of 50 wholesale grocery firms, show a reduction in the number of applicants as compared with January, while the decrease for agricultural positions, for building and con- was 24.9 per cent as compared with February, struction work, and for miscellaneous unskilled 1920. Demand for all except staple goods fell positions. On the other hand, metal and off slightly, but the further declines in prices machinery workers and clerical help were probably account for the reduction in sales applying in greater numbers. In district values. Sales of 25 hardware firms fell off 4.4 No. 8 (St. Louis) there has been further cur- per cent as compared with January and were tailment of activity during the month and a 12.7 per cent below sales for February, 1920. consequent reduction in employment. Official Concerns with a large business in southern reports from Federal and State authorities farming districts noted an improvement in show reductions in numbers employed in Feb- demand, but there was practically no market ruary as compared with January ranging from for mill supplies. Business is generally being 10 to 15 per cent in the States of Kentucky, done on a spot basis and orders are promptly Missouri, Indiana, and Arkansas. The unem- filled. ployed were more numerous in the building In district No. 4 (Cleveland) the decreases trades and metal industries, and farm labor was in average sales as compared with the same reported to be abundant. In district No. 9 month a year ago amounted to 22.3 per cent (Minneapolis) the employment situation was for 3 wholesale dry goods firms, a decrease of less favorable in February. The applications 27.1 per cent for 15 grocery firms, 19 per cent for help at the employment agencies declined for 8 hardware firms, and 31.2 per cent for 4 75 per cent for men and 60 per cent for women drug firms. In district No. 5 (Richmond) as compared with a year ago. Local relief slight decreases of 2.2 per cent for 8 reporting agencies reported more unemployment than wholesale grocery firms and of 6.9 per cent for at any time since February, 1915. In dis- 8 reporting hardware firms as compared with trict No. 10 (Kansas City), although there have the preceding month are more than accounted been recent rjeductions of forces by railroads for by the fact that February is a shorter and by some of the manufacturing plants and month. Marked increases were reported by business houses, stimulation of spring trade in 8 dry goods firms, 8 boot and shoe firms, and many lines and early farm activities have 4 furniture firms. The increases in these three absorbed a considerable number of unemlines amounted to 14.4 per cent, 77 per cent, ployed workers. In district No. 12 (San and 246.4 per cent, respectively. As compared Francisco) the reopening of lumber mills and with a year ago, however, decreases ranged resumption of agricultural activities have from 14.5 per cent in the case of groceries to brought about a diminution of unemploy- 52.3 per cent in the case of furniture. In ment in the Pacific Northwest. Seattle and district No. 6 (Atlanta) increases in grocery Portland report conditions slightly improved sales during the month, 13 firms reporting, as compared with last month, while in Spokane were negligible, while an average decrease of they are unchanged. In Idaho, Utah, and 8.8 per cent is shown in the case of 9 reporting Nevada the principal unemployment is in hardware firms. In this district also, dry mining and construction and building trades. goods, with 14 firms reporting, and boots and California reports a reduction in numbers unshoes, with 7 firms reporting, showed increases employed during February as a result of the of 33.5 per cent and 19.4 per cent, respectively, demand for laborers in the country districts. as compared with January. The declines as Wholesale trade.—The returns from the ma- compared with February, 1920, for all reporting jority of the eight districts which report sales lines varied from 29.7 per cent in the case of of wholesale firms in leading lines of trade groceries to 59.9 per cent in the case of shoes. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 393 In district No. 7 (Chicago) decreases as com- pared with a year ago ranging from 4.7 per pared with a year ago amounted to 24.1 per cent in the case of groceries to 55.6 per cent cent in the case of 20 reporting grocery firms, in the case of auto tires. It is said that in 46.4 per cent in the case of 13 reporting dry the auto tire and grocery trade the majority goods firms, and 53 per cent in the case of 8 of reports received indicate that retailers have reporting shoe firms. In district No. 8 (St. liquidated their high-priced merchandise and Louis) wholesale dry goods concerns reported are now buying for stock at new wholesale an increase of 18 per cent as compared with prices. In the other six lines of business the January and a decrease of 43.3 per cent as tendency is not defined, as some firms report compared with February of last year. Grocery that liquidation is still going on or that present sales, 6 firms reporting, registered a minor buying is merely undertaken to fill in depleted increase of 0.25 per cent but were 17.3 per stocks. Current unfilled orders are reported as cent below the level of last year. Mention is considerably smaller than usual. made, however, of the fact that the tonnage Retail trade.—The retail trade situation for sales of one of the largest grocery firms in the February was characterized by continued irregdistrict were 5 per cent more than in February, ularity, but with a tendency toward increased 1920, although the value of sales was 22 per buying by the public. The general condition cent less. Hardware sales, 5 firms reporting, is summed up in a statement from district No. advanced 27 per cent, but were 41.3 per cent 10 (Kansas City), where it is reported that below the level of last year. It is stated that ^improvement is somewhat spotty, since the retailers in the smaller cities and country slowing down of industries in some sections has towns are buying in only limited quantities, a tendency to restrict the purchasing power of as the sales of hardware to the farm trade are the people, and country buying in other sections light. Furniture sales, 3 firms reporting, has not yet attained a high state of activity." increased 72.9 per cent during the month, but Special sales have continued to be conducted in were 52.8 per cent below the level of last year. most sections, though confined largely to In district No. 11 (Dallas) a more marked specialties. In the eastern districts, where an increase in the case of dry goods sales has increase was noted last month in the volume of occurred than in any other district, as 4 report- sales, an even larger increase is noted this ing firms showed an average increase of 44 month. Thus in district No. 1 (Boston) the per cent as compared with January. It is increase was 6.5 per cent, in district No. 3 stated that the increase is only partially (Philadelphia) it was 3.7 per cent, and in disseasonal, as it is believed to be due to a certain trict No. 5 (Richmond) it was 8.6 per cent. In extent to an accumulation of orders which some districts where large decreases were shown would formerly have been placed in January for January, only small decreases were shown but were deferred in the hope that a greater in February. Thus in district No. 11 (Dallas) stability in prices would be reached. Increases the decrease was 4.6 per cent, and in district in sales of groceries, 6 firms reporting, were 9.8 No. 12 (San Francisco) it was 2.4 per cent. In per cent, but the increase was larger than in most districts stocks on hand are mounting and other districts. Furniture, 3 firms reporting, beginning in some cases to approximate stocks recorded sales 18.1 per cent below the January of a year ago. In practically every district average, although districts No. 5 (Richmond), stocks on hand at the end of February showed No. 10 (Kansas City), and No. 12 (San Fran- an increase over stocks on hand at the end of cisco) all reported marked increases. Sales of January. While merchants are buying carefarm implements and of drugs, 2 firms report- fully and are depending on week to week buying for each line, showed decreases of 31.4 per ing and road orders, the percentage of outstandcent and 12.9 per cent, respectively. In all ing orders is steadily rising. ' cases heavy decreases were reported as com- Prices.—By February practically every compared with a year ago, ranging from 26.4 per modity of importance in domestic consumption cent in the case of auto supplies to 83.9 per had been reduced in price from earlier levels. cent in the case of farm implements. In The only important exception to this was andistrict No. 12 (San Francisco) dry goods (10 thracite coal. In several lines, notably boots firms reporting), groceries (28 firms reporting), and shoes, certain types of chemicals, coffee, boots and shoes (14 firms reporting), and furni- silk, and to a less degree in the woolen industry, ture (15 firms reporting) snowed increases in reductions were no longer of large proportions average sales as compared with January and quotations gave some semblance of stabilamounting to 9.1, 4.9, 35, and 41.5 per cent, ity. In still other lines, however, such as iron respectively. Sales of automobile tires, 14 and steel, bituminous coal, coke and oil, reducfirms reporting, also advanced 30.4 per cent. tions were large and changes in quotations All reporting lines recorded decreases as com- frequent. Although complete statistics are not Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

394 FEDERAL RESERVE BULLETIN. APRIL, 1921, yet available for March, conditions seem sitated part of the official returns of former on the whole not very different from those of Feb- months being included in the figures of subruary. Anthracite coal prices have been sequent months. The other reason is that slightly reduced by a few producers, and crude- numerous shipments of goods which were reoil prices have been for the most part un- ported as usual in the official statistics have changed. Live-stock prices have also been been refused abroad either through inabilsomewhat firmer than in February. Otherwise ity of the importer to pay or because he was the trend of prices in March seems to have been unwilling to face losses due to price declines. generally similar to that of February. Such of this merchandise as has to be returned The rate of decline in February was approxi- to this country or sold abroad at a sacrifice is mately the same as in January, according to therefore a factor in unduly swelling the official the index numbers of the Bureau of Labor Sta- trade figures. tistics and of the Federal Reserve Board. Both Shipping.—The number of idle ships in show a 6 per cent decline for February. Retail American ports continued to increase during prices in February were also reduced. Accord- March, although there was some reduction in ing to the index number of the Bureau of Labor the weekly rate of increase as compared with Statistics the decrease amounted to 8 per cent January and February. It was reported on for the month. March 14 that 536 steel vessels of the Shipping Foreign trade.—For the month of March Board were idle and withdrawn from commerdistrict No. 2 (New York) reports a slight cial operations. In addition, 286 wooden vesincrease in export demand for American sels were tied up with caretakers. The tonnage products as compared with the extremely of these 822 vessels is more than 30 per cent of dull period at the end of 1920. An illus- the Government-owned merchant fleet. When tration is afforded by the steel trade, in which the policy of laying up ships had been inaugucancellations are reported practically to have rated last fall for lack of remunerative cargoes, ceased, with a moderate amount of new busi- the smaller "Lake type" was the first class of ness appearing. "Demand is chiefly for rail- vessels to be withdrawn. More recently many road supplies, with a somewhat increased in- of the largest freighters have been unable to quiry also for construction materials and most secure full cargoes on the outward voyage, standard materials with the exception of plates. while the homeward trip would have to be made Orders are widely scattered as to source/' in ballast. Consequently the vessels still in With the recent recession in the price of Ameri- service are for the most part the medium or can wheat to levels under those prevailing in " handy-sized" freighters and combination the Argentine, the export demand has expanded freight and passenger liners. somewhat. Total merchandise exports dur- The charter market continues inactive and ing February amotmted to $489,000,000, com- freight rates in practically every trade have pared with $655,000,000 in January and with reached a point so low that many ship opera- $645,000,000 in February a year ago. Mer- tors are no longer interested in doing business. chandise imports in February, 1921, amounted The regular liners are carrying most of the to $215,000,000, as against $209,000,000 in Jan- traffic with curtailed sailing schedules only uary and $467,000,000 for February of last year. sufficient to maintain trade routes. These con- Although the reduction in exports shown in ditions are not peculiar to the United States and these figures, together with the slight increase are indicative of what is going on in shipping of imports, is viewed with concern in some circles in more or less marked degree throughquarters, it still remains true that exports were out the world. more than double the value of imports. Furthermore, owing to price reductions, the contraction in the total volume of our foreign trade Condition of the Acceptance Market. that has occurred in the past two months is less than the values, if taken alone, would indicate. The following reports have been received These facts have made it difficult to reconcile from the Federal Reserve Banks concerning the the foreign trade figures of recent months with condition of the acceptance market in their the slump in shipping and the widespread can- respective districts: cellation of orders that began last fall. Two District No. 1 (Boston).—The acceptance explanations have been advanced as to why the market during the month has been somewhat official export statistics have kept to a high spotty. In the latter part of February there level so long. One reason, which has been sur- was a fair demand, which, however, subsided mised before but which may now be stated as the date for payment of the first installauthoritatively, is that delays in making the ment of the Federal income tax approached, monthly statistical compilations have neces- This caused rates to strengthen to 6 per cent, Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDEKAL RESERVE BULLETIN". 395 thereby developing a fair volume of buying, most at a standstill, but as the month prothe demand coming largely from savings banks gressed more bills came into the market. and corporations. The heavy demand from However, the demand fell off, due to the commercial banks, both out-of-town and in anticipated withdrawals of Federal income- Boston, is rather surprising in view of provision tax payments and to the issuing of another which these institutions had to make for tax block of United States certificates of indebtedpayments. At the present time the bill market ness. Thus, for the first time in several is improving, a rate of 5| per cent for prime months, the acceptance market felt the presbills becoming more common. The Federal sure of Government borrowing. Reserve Bank is holding very few bills as direct The increased supply of bankers' acceptances purchases in its own portfolio, nearly 50 per during the latter part of the month gives encent of its present total holdings being carried couraging indications of renewal of business. for bill brokers on short-term agreements. During the first six weeks of this year the sup- District No. 2 {New York).—In the last week ply of bills came from the completion of expirof February a comparatively light supply of ing acceptance agreements, and the lull in the bills, particularly of the 90-day maturities, market which we have just passed through coupled with a broad demand, caused dealers during this month seems to have marked the to lower their rates. Rates on New York bottom, for already new names are appearing member bank 90-day bills, which had been on the bills against domestic shipments, wareoffered at 6 per cent, declined to 5| or 5| per house receipts, and foreign transactions. cent. This action resulted in a reduction of Although the volume is not as great, it sales and an increase in dealers7 bill portfolios. indicates new business is developing. The Subsequently most of the dealers restored their present rates for prime bills are as follows: rates to 6 per cent. Under 30 days, 5f to 5f per cent; 30 to 60 Fluctuations in buying occurred chiefly in days, 51 to 6 per cent; 60 to 90 days, 6 to 6| New York City, as demand from interior banks per cent. was generally well maintained, and the market District No. 7 {Chicago).—The market for continued to broaden to include new buyers. acceptances has widened considerably. Re- The reduced volume of New York City pur- ports from one large firm show an increase of chases led to a slight reduction in aggregate 200 per cent in the number of customers over sales as compared with a total for the 30 days February, 1920. The range of rates reported prior to February 20. for -February were 5| to 6 per cent. Con- During the past month some few import fidential inquiry in Chicago regarding volume bills from the Orient have again been seen in and rates on bankers' acceptances shows that the market, but the principal volume of new five leading banks and one dealer handled durpaper has been drawn against imports of sugar, ing February the following: silk, coffee, wool, and burlaps, and exports of Total bankers' acceptances bought during cotton, grain, packers' products, other food- month $25, 887, 409 stuffs, and tobacco. Also finance bills for Total bankers' acceptances sold during providing dollar exchange for South America month 24, 763, 067 have been offered in rather substantial volume. Total bankers' acceptances held during month 4,142, 013 The minimum buying rate of the Federal Reserve Bank remained unchanged at 5| to Selling rates of prime bills. 6 per cent, according to maturity, for indorsed New York member bank bills. High. Low. District No. 4 {Cleveland).—Although there were outward indications of improved condi- I Per cent. Per cent. 30-day maturity j 5f 5i tions in the district, the acceptance market for 60-day maturity j 5J the month was weak and erratic. The volume 90-day maturity j G of acceptance transactions decreased to a level as low as that of December of last year. In Trade acceptances have not as yet develspite of this inactivity, the rates fluctuated oped as an open-market factor. They are back and forth one-eighth of 1 per cent in an mostly discounted by the holder's banker and endeavor to bring about a balanced market. retained by the bank. The changing of rates, however, had^ no District No. 8 {St. Louis).—The market for noticeable effect in bringing more bills into bankers' acceptances, which had been very the market or increasing the demand. In the limited until toward the end of February and early part of the month the weak demand for the first week of March, developed a change prime paper exceeded the supply. It indi- for the better, a brisk demand appearing. cated that transactions culminating in the This demand came from St. Louis financial creation of bankers' acceptances seemed al- institutions, scattering country banks, and Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

396 FEDERAL RESERVE BULLETIN. APRIL, 1921. corporations having surplus funds to invest. farm products have moved so slowly during The market continued active for two or three past fall and winter that ordinary forms of weeks, but during the past 10 days lost its bank credit have generally been preferred as a spontaneity. Rates for unindorsed prime bills means of financing commodity movements. range from 5J to 6J per cent, according to maturity. District No. 10 (Kansas City).—Consider- VALUE OF WORK ON BUSINESS CONDIable interest is being awakened among bank- TIONS TO THE ECONOMIC ADVISERS ers of the Southwest in trade financing, with OF BANKS.1 particular reference to promoting foreign demand for the products of this district. There Before it can be made clear why so many are also some evidences of interest displayed banks, particularly those situated in metroby bankers in bankers' acceptances, but the politan centers, devote such a large portion of heavy demands on this district for a large their energies to the collection and dissemiproduction and marketing of necessities nation of trade information, it is necessary to are absorbing their available funds, and thus understand the modern bank's point of view at present their institutions are not in position and the nature of its contact with the business to invest heavily in the acceptance market. world. It will simplify matters considerably, The Federal Reserve Bank at this time has too, if it is realized at the beginning that it is only comparatively small holdings of bills, a commercial bank of which we are speaking, due mainly to the fact that member banks' as it is this class of institution which is most requirements are heavy. active in the field of trade information. District No. 11 {Dallas).—Offerings of bank- First of all, the bank of to-day, due to ers7 acceptances on the local market have been various causes, finds itself well removed from very limited for some time. At the close of its former established position of professional February our investment in this type of paper exclusiveness. It still exercises the profesamounted to only $38,924.43, which compares sional function, still is conceded a leading with a total of $1,754,000 at the close of Feb- position as diagnostician of the ills of money ruary, 1920. On account of the fact that the and investments and credit. In recent years, banks in this district have found it necessary however, it has added to its list of responsibilito carry over a large proportion of the indebtties that of diagnosing and treating the ills of edness of their customers maturing last fall, business itself. The circle seems complete. which, but for the depression in demand for Production, manufacture, distribution, have farm and ranch products, would probably have followed investment, financing, and credit, been retired at that time, there has been no and the banker at last finds himself out in the surplus of funds available for investment in open field of business, directing an institution the open acceptance market. The same conwhich, in the greater part of its activities, dition is true with respect to commercial reflects not the professional but the business paper. A year ago conditions were just the characteristic. reverse of this situation. The sale of 1919 Just how this has been brought about would farm products at high prices had enabled the be difficult to say. It may be the perfectly farmers to retire their indebtedness, and, in natural result of an awakening which was addition, to build up substantial deposits with sure to come at some point in the business their banks. A part of the excess funds thus development of the Nation. Let us say that accumulated in banks found an investment this is the case. Business men may have outlet in the form of acceptances and bills discovered that standing away from their bought in open market. A large proportion banks in normal periods and approaching them of this paper, of course, originated in the North only in times of great necessity is poor business. and East. When the restoration of normal Bankers, too, have come to see more clearly conditions in the Southwest is accomplished, a facts of their situation which long ago should resumption of investment operations in the have been recognized as fundamentals in the acceptance market by banks in the eleventh banking-business relationship. In any event district as a medium of financing the movement a getting together has been accomplished. The of commodities within and into this district (a business man has discovered that a running practice which heretofore has been locally check on business, and even an occasional followed in only a very limited way) will audit of his affairs by his banker, may represteadily increase as our banks become better sent substantial possibilities of helpfulness. acquainted with the advantages of this type of The banker has discovered that a thorough paper as an instrument of credit. The number of accepting banks in this district is smaller 1 A paper read by Robert M. Falkenau, foreign trade representative just now thanjusual, due largely to the fact that of the Irving National Bank, New York City, at the Conference on Business Conditions Reporting, Washington, February 21-22,1921. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL, RESERVE BULLETIN. 397 familiarity with the developments and diffi- functions properly departmentalized, has deculties and points of view of his customer's veloped correspondent relations, domestic and affairs and close acquaintance with the opera- foreign, which are well established and active, tions of business generally may help wonder- then the task of securing, analyzing, and giving fully in managing the affairs of a bank. out information covering the business of this It is rather clear, too, that the new relation- country, or even of the world, need not be ship has come to stay. It is hardly imaginable nearly so difficult or expensive as might appear that either the banker or business man will at first glance. In a situation like this the ever be satisfied to go back to his former question is largely one of utilizing existing faposition of illogical isolation from the other cilities and material, the inflow of which has and deny himself and his interests the benefit already been provided for. so clearly to be found in the more intimate Such a bank probably would have impressed contact which has been established. Almost upon its correspondents everywhere the fact certainly the bank will remain in the open that it would always be in a position to give to field of business and will continue to exercise them at least as much in the way of information the business functions and bear the business as it would ever expect to receive from them. responsibilities which have been conceded to This puts the matter upon a basis of worth it by business under the new dispensation. whileness, a fairly good argument at any time The business man, too, will look forward and particularly good just now, when war and instead of back and realize, as he does at attendant influences have given American present, that a large percentage of the kinks metropolitan centers such a greatly increased and twists which from time to time occur in importance in the world. Then, too, such a his business are entirely proper for consider- bank must have a vast supply of trade informaation by his banker. tion anyway, needs it for the ordinary purposes In a situation like this is it not most natural of daily operations and without necessary that commercial banks should be deeply reference to any outside purpose. This inforinterested in trade information, should be mation enters into credit operations, forms the willing to expend effort and money in the basis of correspondence, is indispensable in the interest of securing this information, and that preparation of publications upon all sorts of after the information is put in proper shape business subjects, provides service departments should be interested in its intelligent spread with working material, and keeps bank thought throughout at least the area in which the in line with the business thought of the country bank's immediate interests lie ? Trade infor- and world. It should be easy to understand mation to the bank of to-day is not developed why it need not be difficult to select from this as a special institution, nor is it used as a special great mass of business information the particuexpedient. It is simply one detail, a necessary lar portions which ordinarily enter into trade detail, if you please, in the newly discovered or reviews or reports. newly developed relationship which both banks Of course, the getting together of this mass of and business houses have come to recognize business information if attempted apart from so fully. the departmental organization of the bank But is it all worth while, this gratuitous would be rather difficult and expensive. Forinformation service to business ? The banks tunately, existing bank machinery is well suited believe that it is very well worth while. The to this purpose. Take, for instance, the credit customer and the public, the latter always a department. This department is constantly possible customer, remember, have come to in touch with business and particularly with its expect this information, have come to depend current features. It must have a force of highly upon the banks for it, have come to treat this trained investigators, who spend most of their bank contribution as something to be taken time interviewing representative men in differseriously, something that can be used, indeed, ent lines. These investigators are well up in something in the continued production of the art of approach. They know how to get inwhich by the banks, business has vested rights. formation, how to check one form of informa- To a considerable extent, business has grace- tion against another, how to get at information fully handed a necessary information respon- values, and how to express conclusions in defisibility over to banking, and banking has just nite and tangible terms. as gracefully accepted it. True, the credit information with which the But how about the cost ? Is not the enter- investigator is concerned primarily may not be prise rather expensive when considered in con- just what the bank would need in its trade innection with results realized? Not particu- formation service.- A reasonably clever credit larly. If the bank of which we speak operates investigator, however, need experience no parupon a fairly large scale, is enterprising, has its ticular difficulty in inducing the business man Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

398 FEDERAL RESERVE BULLETIN. APRIL, 1921. he interviews to go somewhat outside the cold ever, represent a logical detail in a bankcredit facts of the case and discuss conditions in business service which has come to be recoghis own particular line. It is a way business nized as almost vitally necessary. men have, and not infrequently the investigator Good judgment, therefore, would seem to will find that a question concerning business suggest that the situation be accepted and conditions will form an excellent opener for a carried on and the service made the best poscredit interview. sible. Banks, business concerns, publications, The new business and business extension de- trade, industrial and commercial bodies, spepartments of modern commercial banks also can cial information organizations, will continue serve importantly in the collection of trade in- to play their part in providing this service. formation and with but slight effort in addition The question which naturally arises and to what is required in the ordinary solicitation which forms the basis of this discussion is of accounts. The men in these departments "What may be expected of government." It also know how to approach and open up busi- has done much already. Is it prepared to go ness men, how to secure and evaluate informa- on, and how much further? Will it get totion, and how to classify it with reference to the gether with business and banking institutions different uses to be made of it. The business- similarly interested and participate in the regetting machinery of the modern bank is organization of its trade information machinrapidly assuming a highly specialized form, and ery and theirs, to the end that a better, more bank representatives in the work of this depart- comprehensive, and possibly less expensive ment are not apt to overlook the sales value of a service may result. This conference strongly brief discussion of their prospect's chief hobby, suggests something of the sort. namely, his own business. Thus far there has been shown but slight But it is within the bank itself and in the evidence of cooperation between the different channels of ordinary departmental activity that institutions engaged in trade information we will find the most valuable sources of cur- work. It may be that the situation has not rent trade information. In a never-ending yet developed to the point where cooperation stream there is running in varying measures of is the natural or even the best thing. Quite volume through the different departments of frequently, in the earlier stages of the develthe bank facts which if properly collated and opment of an institution, competition serves nterpreted tell the story of current business more importantly. At present each institutrends in an unmistakable manner. In im- tion seems to be trying to do a little better port, in export, in foreign exchange, in foreign than the next regardless of expense and retrade, in the commercial and bill of lading de- gardless, too, of the uniformity in results partments, in securities and stocks and bonds, which is always desirable. May it not be in loans and discounts is to be found a richness that we have had about enough of the experiof material which covers not only business in the mental thing and have reached the point where United States but business pretty generally good sense would suggest a getting together in throughout the world as well. the interest of review, analysis, criticism, sug- It is entirely practicable for a well-organized gestions, and possibly standardization of effort. bank to make arrangements within the different If we might proceed along this line we would departments whereby this information is taken reach, first of all, the Federal Reserve Board. up regularly and turned over to a business re- It puts out a great deal of excellent trade insearch department, where it is classified, di- formation. But, then, the Board should be gested, checked against generally similar infor- able to do this without any particular trouble. mation coming from credit, business extension It should have a distinct advantage over aland other sources, and finally shaped up and most any other organization in securing trade sent back again to the world of business in a information. It is better and more widely variety of forms, principally the trade reviews organized. Its sources of information are of which we are speaking. official. Those of banks and business con- This, then, is the simple story of the modern cerns ordinarily are volunteer. The Board's commercial bank's relation to business and of sources of information can be put under a its interest in trade information. The condi- definite obligation to get trade information tion described in all probability will remain. and get it right and send it in promptly. The service, quite naturally, will expand and Volunteer sources may be interested in giving improve. Bank machinery has become ad- prompt service, but, then, again, they may justed to it. Business expects it and would not. They may not feel that this sort of object if it were to be discontinued. Bank activity is included in their regular function. trade information may not represent in itself The Federal Reserve sources suffer from no a vital necessity to business. It does, how- such difficulty. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 899 Still it is believed that the Federal Reserve on to the field of private business, where more trade reviews can be materially improved. reasonable recognition of their merit is possible. First of all, they might be standardized, this The Department of State, too, furnishes a referring particularly to the form in which considerable volume of trade information, but information from different districts is ex- here, again, Government service falls far short pressed, also possibly to the means employed of its greatest possible effectiveness. In this in the different districts for the collecting of case the difficulty is one of time. The inforinformation. It may be that effort has al- mation, when it reaches the business public, ready been made along this line, but there is usually is too old to be of value for current nothing in the appearance of the reviews which purposes. This may be unavoidable, but if so indicates anything conclusive upon this point. that only makes it the more unfortunate. The Then these reviews might be made to ex- Departments of the Interior, Agriculture, and press considerably more helpfulness to busi- Labor, the Treasury •Department, all are in a ness if their date of actual issue and the end position to contribute liberally to the total of of the period they cover were brought a bit trade information which nowadays is assuming closer together in point of time. Business so much importance in business and hence in information even 15 days old may be interest- national prosperity. ing to the business man or banker, but chiefly Of course it may be said that criticism of this as a matter of history, not as something pos- sort is easy and the improvements suggested sessing current value. It would help, too, if exceedingly difficult. We might grant both the present system of mailing the FEDERAL points. There still would remain the well- RESERVE BULLETIN could be revised so that established fact that there is a deplorable lack all of the copies ordered by a particular in- of understanding and cooperation between the stitution would arrive at about the same time. different Government units which are working It is realized that difficulties must be over- to the common end that business may be better come in covering so large a situation as that supplied with the trade information it needs. covered by the Board in its BULLETIN, but we This point is not in the least new, and from are discussing the question of an improvement what we learn it seems clear that there is being in the service and the points indicated are ex- developed at the Government's capital an atticeedingly important in that connection. tude which will ultimately place the entire But need the Federal Reserve Board's possi- trade information situation upon a basis more bilities of helpfulness in improving the general reasonable and more agreeable to the spirit trade information situation be confined to its and purpose of business generally. own reviews ? Is it not possible that such an What must be done is to impress more organization would be w^ell suited to the pur- definitely upon government the viewpoint of pose of developing in government generally a business, the interest of business in trade inmore effective business point of view? Prac- formation, the obligation of government to tically every department of the National Gov- cooperate fully in the production and giving ernment, in one form or another and at regular out of this information as business needs and intervals, issues reports having more jor less wants it, not necessarily as the traditions and definite bearing upon business conditions. convenience of Government departments sug- The Department of Commerce appears to be gest. best equipped as regards organization. It is It may be that the Federal Reserve Board is unfortunate, however, that the legislative atti- not the particular body to undertake this work tude toward appropriations for that depart- of bringing Government and business points ment has not been more liberal in the past. of view together. Possibly some other Govern- We know that the most scientifically planned ment institution is as well or even better organization must depend for its effectiveness qualified for the task. It happens, however, upon men. We know, too, that the Depart- that we are discussing the Federal Reserve ment of Commerce, as its salary appropria- Board and its relation to trade information tions run, can not expect to retain the services service. It happens also that business men of the type of man who is indispensable in a and bankers appear disposed to concede to the really effective carrying out of the plans and Federal Reserve trade review a very high place purposes of that department. Men of this among its fellows. Another fact which would type are in strong demand in business circles seem to suggest Federal Reserve leadership in and their work is such as to bring them rather this connection is that the Board's contact conspicuously before the business public. The with both business and banking is an unusually best the department can hope for under exist- intimate one. It meets them upon a basis of ing conditions is to retain them through a brief business and, of greatest importance, seems period of apprenticeship and then pass them able to leave politics entirely out of the case. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

400 FEDEBAL RESERVE BULLETIN. APRIL, 1921. AMERICAN SHIPPING EARNINGS AND essentially that of finding the amount of freight THE BALANCE OF TRADE.1 receivable on exports carried in American vessels and the amount of freight payable on INTRODUCTION. imports carried in foreign vessels. The dif- The present article is intended to give some ference between these two we shall call the preliminary results of a study of the trade " shipping balance" of the United States. balance of the United States now being made After allowing for the expense of vessels in by the Division of Analysis and Research. A foreign ports and for other necessary adjustprevious article has appeared in the February ments this may be termed the "net shipping BULLETIN on "The world's shipping/7 whicii balance.77 was intended as an introductory survey of the field of shipping. CHANGES IN THE BALANCE OF SHIPPING PAY- All payments between nations, of whatever MENTS. kind, have a bearing upon international balances. Some of these payments, such as The shipping balance had been unfavorable exports of merchandise and specie, are regu- to the United States for many years up to larly reported in official trade statistics. the end of the Great War. Our merchant ma- These "visible'7 items, however, do not tell rine was small and we were carrying in our the whole story. Other international pay- own vessels an almost insignificant portion of ments, the so-called "invisible" items, must our overseas trade. Thus for the fiscal year also be taken into account. More important 1914 the value of exports in American vessels than any, except capital investments abroad, was 8.3 per cent of the total sea-borne exports are the earnings and payments for ocean trans- from the United States, while at the same time portation which it is proposed now to con- the value of imports in foreign vessels amounted sider. Nevertheless, the question of freight to 88.6 per cent of the total sea-borne imports payments has been much neglected by other into the United States. The situation coninvestigators in the field of international bal- trasted very strongly with that existing before ances and has often been dismissed with more the Civil War when we were carrying from or less haphazard guesses. Such helpful studies two-thirds to nine-tenths of our water-borne as have been made will be considered presently. commerce in American-owned vessels. Tables The reason for this neglect is not far to seek. 1 and 2 show the growth of the American mer- The readily available statistical material is chant fleet engaged in foreign trade and the scanty and fragmentary. Furthermore, no imports and exports by years in American and regularly issued reports throw any direct light foreign vessels. on the problem, and the whole question must be led from a number of indirect avenues. TABLE 1.—Number and gross tonnage of American Consequently, absolute accuracy is impossible, merchant vessels, registered for foreign trade, at 5-year and the net result must be an estimate ap- intervals, 1860-1910; yearly, 1910-1920. proaching as near as may be to accuracy, with [Source: Bureau of Foreign and Domestic Commerce.] as many pitfalls allowed for as is possible. So far as the balance of trade of the United States is concerned, we are interested in the June 30— N b u e m r. - to G nn ro a s g s e. June 30— N b u e m r. - j to G n r n o a s g s e. gross rather than net earnings of shipping, and more particularly in the portion of these earn- 1850 2,379,396 ;! 1911 i 1, 863,495 ings derived from freight services performed 1885 1,518,350 |j 1912 1 1, 923,225 1870 2,643 i;448,846 ;! 1913 ! 2, 019,165 by American concerns for foreigners and by 1875 2,816 1,515,598 H 1914 || 2, 066,288 the latter for Americans. Since as a rule the 1 18 8 8 8 5 0 2 2, , 0 2 0 0 6 4 1 1, , 2 3 6 1 2 4 , , 8 4 1 0 4 2 j I i 1 1 9 0 1 1 6 5 ! ' , 8 1 6 8 2 5 , , 7 0 1 0 4 8 importer has to pay the freight,2 the problem is 1890 1,451 ' 928,062 i If .17 ! 3j 453 2'440,776 1895 . ..1.193 822,347 i 1918 1 3,986 3'.599,113 1900 1,288 816,795 !! 1919 ! 5,000 I 6!665,376 1 Prepared under the direction of Henry W. Van Pelt, Division of 1905 1,333 943,750 j| 1920 | 5,932 j 9',924,694 Analysis and Research. 1910 1,490 782,517 ! ! ! ' 2 Throughout this article the word freight, or freights, if not otherwise qualified, is to be understood as meaning the charges for ocean transportation. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL, RESERVE BULLETIN. 401 TABLE 2.— Value of water-borne imports and exports in the foreign carrying trade of the United States at 5-year intervals, 1860-1910; yearly, 1910-1920. [Source: Bureau of Foreign and Domestic Commerce.] Imports. Exports. Total imports and exports. Fiscal year— Per cent Per cent Per cent In American In foreign in Ameri- In American In foreign in Ameri-1 In American In foreign in Amerivessels. vessels. can vessels. vessels. can i vessels. vessels. can vessels. vessels. vessels. i 1860 $228,164,855 $134,001,399 63.0 $279,082,902 $121,039,394 69.7 ! $507,247,757 $255,040,793 66.5 1865 74,385,116 174,170,536 29.9 93,017,756 262,839,588 26.1 i 167,402,872 437,010,124 27.7 1870 153,237,077 309,140,510 33.1 199,732,324 329,786,978 37.7 352,969,401 638,927,488 35.6 1875 157,872,726 382,949,568 29.2 156,385,066 501,838,449 23.8 ' 314,257,792 884,788,517 26.2 1880 149,317,368 503,494,913 22.9 109,029,209 720,770,521 13.1 258,346,577 1,224,265,434 17.4 1885 112,864,052 443,513,801 20.3 82,001,691 636,004,765 11.4 194,865,743 1,079,518,566 15.3 1890 124,948,948 623,740,100 16.7 77,502,138 747,376,644 9.4 202,451,086 1,371,116,744 12.9 1895 108,229,615 590,538,362 15.5 62,277,581 695,357,830 8.2 170,507,196 1,285,896,192 11.7 1900 104,304,940 701,223,735 12.9 90,779,252 1,193,220,689 7.1 195,084,192 1,894,444,424 9.3 1905 160,649,571 878,138,230 15.5 129,958,375 1,225,063,232 9.6 290,607,946 2,103,201,462 12.1 1910 147,100,976 1,319,438,085 10.0 113,736,171 1,402,524,390 7.5 260,837,147 2,721,962,475 8.7 1911 146,640,912 1,289,510,573 10.2 133,565,552 1,640,925,933 7.5 280,206,464 2,930,436,506 • 8.7 1912 170,849,680 1,380,228,170 11.0 151,601,885 1,728,790,688 8.1 322,451,565 3,109,018,858 9.4 1913 193,094,242 1,504,567,867 11.4 187,938,254 1,887,460,562 9.1 381,032,496 3,392,028,429 10.1 1914 198,923,666 1,538,784,987 11.4 169,436,090 1,878,323,769 8.3 368,359,756 3,417,108,756 9.7 1915 281,334,841 1,244,934,571 18.4 290,597,071 2,175,758,992 11.8 571,931,912 3,420,693,563 14.3 1916 449,872,543 1,550,102,577 22.5 499,035,673 3,327,030,418 13.0 948,908,216 4,877,132,995 16.3 1917 648,256,478 1,706,482,324 27.5 803,829,990 4,660,926,341 14.7 1,452,086,468 6,367,408,665 18.6 1918 710,777,017 1,849,650,228 27.8 977,718,929 4,165,554,282 19.0 1,688,495,946 6,015,204,510 21.9 1919 875,602,857 1,741,432,980 33.5 1,617,900,599 4,725,161,958 25.5 2,493,503,456 6,466,594,938 27.8 1920 1,835,757,405 2,870,930,209 39.0 3,235,865,822 3,932,444,373 45.1 5,071,623,227 6,803,374,582 42.7 Throughout the years of the war the propor- PROBLEMS INVOLVED. tion of our commerce carried in American vessels steadily rose until for 1918 American Two difficulties have to be faced at the outreceipts and payments on shipping account are set of any analysis of shipping earnings: estimated about to have offset each other, (1) the almost complete absence of statistical with probably a small balance of a few million data bearing directly upon shipping charges dollars in favor of the United States. During and the ultimate disposition of ship earnings; 1918 and 1919 the merchant fleet of the United and (2) the extremely variable character of the States was largely augmented by the launching ocean freight market, changing as it does all respectively of over three and four million gross the time. tons of shipping. In June, 1919, Lloyd's Owing perhaps] to the absence of govern- Register of Shipping reported the seagoing mental supervision over steamship operations, steam tonnage of the United States at 9,823,562 the earnings or even the gross receipts of indigross tons, compared with 2,069,637 gross tons vidual steamship companies are seldom made in 1914. As a result the proportion of sea- public. It is therefore obvious that a complete borne exports carried in American bottoms rose survey or census of the shipping industry with to 36.6 per cent of the total value, and the pro- the idea of ascertaining earnings, would be portion of sea-borne imports in foreign bottoms impossible. Moreover the ground would have decreased to 64 per cent in the calendar year to be gone over frequently if the information 1919. Exports, moreover, largely exceeded were to be^ kept up to date. It would be still imports in that year, so that the shipping bal- further out of the range of possibility to procure ance of the United States was definitely on the from ships' manifests and ocean bills of lading credit side for the first time since the sixties. the amounts of freight paid on all cargoes. The amount of this credit item has elsewhere* The inherent nature and organization of the been estimated at $73,000,000 in 1919. Inves- steamship business may be mentioned as tigations of the Division of Analysis and accounting for the condition referred to under Research, however, point to a far higher figure. the second head. Ocean freights are de- On a conservative basis, allowing for port termined on a basis of free competition expenses and other deductions, the net ship- tempered by rate agreements (the so-called ping balance for 1919 is placed at $175,000,000 "conferences") between companies operating as a minimum, with the most probable figure on the same trade routes. These conferences lying between $200,000,000 and $250,000,000. are. in many cases so loosely held together that rate wars between rival interests may break out iVanderlip and Williams: "The future of our foreign trade; a study at any time. The result is that ocean rates of our international balance in 1919." 41018—21 3 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

402 FEDERAL KESEKVE BULLETIN. APBIL, 1921. are highlyjuncertain and variable, sometimes ary to June, 1918. Average rates were obdropping in a short time from highly profit- tained on different commodities and these were able levels to a plane where losses result. The multiplied by the actual quantities of the calculation of earnings in these circumstances goods carried to get the total freights. When is far from a simple matter. these total freight charges were added by coun- As has been stated the problem is essentially tries, the total so obtained was related to the that of finding the amount of freight receivable values of the goods carried, and thus a perby American vessels in carrying exports, and centage relationship arrived at. For the six the amount of freight payable to foreign ship- months' period in question the percentages owners for carrying imports to the United were found to be 31.2 per cent of the value of States. From a consideration of the monthly exports from the United States and 13.6 per statistics of the Department of Commerce, in cent of the value of imports to the United which the value of goods carried in American States. After earnings have once been accuvessels is distinguished from that carried in rately estimated for some recent period, they foreign vessels, it becomes evident that our can be kept up to date by a series of index numproblem would for the most part be solved if bers reflecting changes both in the level of a percentage relationship could be established freight rates and in the prices of the goods between the amount of freights and the value transported, these being the two variable facof the goods carried. One word of caution is tors in an estimate of shipping earnings based necessary in connection with the use of such a upon a freight-to-value ratio. By keeping ratio between freights and the value of goods these index numbers current, the approximate transported. Any relationship between freights freight charges payable and receivable each and the value of cargo is essentially fortuitous month by the United States can be computed and. variable, but in the absence of other sta- from the foreign trade figures of the Departtistical data such a ratio is perhaps the most ment of Commerce. Whenever changes in the readily usable means of calculation and by re- freight market or other shipping conditions are vising it monthly all objection to low corre- of sufficient magnitude to render the method of lation can be overcome. Stated in another indexes too uncertain, a new estimate should Y^ay, such a ratio is a convenient mathematical be made, taking into account all of the necestiool for purposes of computation, but it has sary factors. no logical justification from the point of view PRICE INDEXES. of the shipping man, and is not at all a basis of rate making. Nevertheless, this method of To measure changes in one of the two approach, in view of the nature of the statisti- variable factors in our estimate, namely, in cal data available, seems to be the one most prices as affecting the official foreign trade productive of results. statistics, separate index numbers applying to goods imported and exported have been computed for the present study. Monthly average METHODS OF PROCEDURE. import and export prices (or valuations) for Two ways may be mentioned of arriving at the index numbers were compiled from quothe "freight-to-value" ratio just referred to. tations in the Monthly Summaries of the Bu- One is by an original investigation into the reau of Foreign and Domestic Commerce. level of freight rates on all the important com- The quotations on exports are " based on the modities for all the principal trade routes of actual cost, or the value of articles at the time of the world, applying average rates to the quan- exportation at the ports from which shipped.77 tities transported. The second method is to Import quotations are " based on the wholesale adjust to current conditions previous reliable price of articles in the markets of the countries estimates of freight-to-value ratios that apply from which imported.77 These average export to some recent period. The latter of these and import prices are derived by dividing the two methods will be adopted in the present total declared value of each commodity in a article, though an investigation is in prog- given month by the quantity exported or ress along the lines indicated by the former imported. method. For the construction of index numbers meas- Probably the most reliable estimate of this uring domestic price changes, average prices kind, and in fact the only one of recent es- derived in such a manner are obviously not so timates on an original basis, is that made by satisfactory as market prices. In the present Mr. C. S. Duncan for the United States case, however, because of the difficulty of Shipping Board, in cooperation with the War obtaining foreign prices on goods imported Trade Board. This was a study of ocean into this country from all parts of the world, freight rates in the United States trade with it became necessary to make use of the monthly 13 neutral nations for the period of Janu- import price averages of the Bureau of Foreign Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APEIL, 1921. FEDERAL RESERVE BULLETIN. 403 and Domestic Commerce. To render the It is the intention to develop such an estimate method of index construction consistent and more fully in a subsequent article. the same for both import and export prices, Prior to the outbreak of the European war, and to make the results more strictly applicable the ratio of freights to the value of the goods to the official foreign trade figures, the same carried was small, as all estimates agree. Mr. source is used for the export index also. W. W. Bates in his book, The American Marine, The choice of commodities to be included published in 1893, gives freight percentages in the indexes was largely determined by the for the United States as 15 per cent of the value relative importance of the different commodi- of exports and 10 per cent of the value of imties in our 1920 foreign trade. By setting a ports. The Review of Economic Statistics, total value of $10,000,000 for the year as the however, in a study published in July, 1919, reminimum for the inclusion|of any commodity, gards these percentages as somewhat too high and by further classifying and eliminating for the nineties—although true at an earlier commodities in order to give balanced repre- date—and as entirely inapplicable to the sentation to the three groups—raw materials, period just preceding the European war. producers' goods, and consumers' goods—a The British Board of Trade made a study of final selection is arrived at, numbering 30 the carrying charges on exports in the four import commodities and 40 export commodi- years 1901, 1906, 1909, and 1912. The method ties. The actual index numbers are relatives was to subtract the aggregate value of exports of aggregate monthly values of the commodi- of the principal countries of the world from ties employed, so that the commodities are the aggregate value of imports, the difference weighted essentially according to their impor- representing the freight charges. In explanatance in the foreign trade of 1920. The base tion of this, it should be stated that the foreign is taken as the monthly average for the first trade statistics of most countries, the United half of 1918, since it is desired primarily to States being the principal exception, give both adjust the results of Duncan's investigation exports and imports at their values in the covering that period. country reporting them. That is, exports are The indexes for the 12 months of 1920 are usually valued f. o. b. port of shipment, while given in Table 3. It is important to emphasize imports are valued c. i. f. port of destination.1 that these price indexes are intended merely for Import values, therefore, in addition to cost, use in adjusting Mr. Duncan's 1918 study, and include also freight and insurance charges; make no claim of applicability to other pur- whereas export values represent cost only. poses. The precise method of using price, By taking the exports and imports of all the indexes in the present estimate of shipping major countries of the world, making proper earnings will be discussed later. allowance for countries like the United States and France, whose foreign-trade statistics do TABLE 3.—Indexes of average monthly import and export not, for one reason or another, reflect the prices (valuations) of goods in the foreign trade of the amounts of freight charges, all goods will have United States. been valued twice—first, without, and then [January-June, 1918, monthly average= 100.] with the inclusion of freight charges. The difference between the two values for the years Month. I p m ri p ce o s r . t E pr x i p ce o s r . t Month. I p m ri p ce o s r . t E p x ri p ce o s r . t stated is shown in the following table: J J F a a e a n n b v u u r e a u a r r r a a 1 1 y y g r 9 9 y 2 1 e - 0 8 J . . une 1 1 1 4 0 5 5 0 0 . . . 0 0 1 1 1 1 1 1 0 7 6 0 . . . 5 7 0 A J M J S O u u e u c 1 a n l p t 9 g y y o e t 2 u e b 0 m s e — t r b C er ontd. 1 1 1 1 1 1 5 4 7 7 7 6 9 8 6 4 6 2 . . . . . . 4 8 4 2 7 5 1 1 1 1 1 1 1 2 3 2 2 2 6 3 0 4 4 8 . . . . . . 9 8 6 9 8 1 Year. i V m a p lu o e rt s o . f V ex a p lu o e rt s o . f E o r i g n e o v x r p g e f o c r r s i e c e m s s e h s s x e c a p n a p r v o g r t a o r i r e l n t r y u s s t g - . s e C o c c a p a o e f h s r o n f a v r p r t r y e a a t g e x i l s g e r n u . - - e s g e March 145.5 120.6 November 133.3 111.3 April 150.1 121.9 December 121.8 101.5 1901 £2,516,000,000 £2,292,000,000 £224,000,000 9.8 1906 3,253,000,000 3,051,000,000 201,000,000 6.6 1909 3,611,000,000 3,376,000,000 234,000,000 6.0 1912 4,403,000,000 4,061,000,000 342.000,000 8.4 PREVIOUS ESTIMATES OF FREIGHTS. The other variable factor to be taken into The average percentage for these four years account is that of the level of freight rates is 7.8, which represents the average ratio of which is more uncertain than that of prices. freight charges to the total value of exports Further studies along this line are now in prothroughout the world in those years. gress. In the following paragraphs such data as have been obtained so far in the present in- 1 F. o. b. (free on board) prices are quoted when goods are to be made vestigation are brought together and a tenta- ready for shipment and delivered to carrier at a stated point, freight charges from that point on not included. C. i. f. (cost, insurance, freight) tive estimate of earnings in 1920 is presented. prices include insurance and freight charges to port of destination. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

404 FEDERAL RESERVE BULLETIN. APRIL, 1921. The Manchester Guardian, in its issue of inglyjwe may adopt the percentages of 5 and February 10, 1911, estimated the world's im- 3 for the period immediately preceding the ports for 1907 at £3,737,200,000 and the war, and of 31.2 and 13.6 for 1918. The perworld's|exports at £3,383,600,000, the differ- centages applicable to 1920 are quite evidently ence of £353,600,000 measuring the world's between these rather wide extremes. If 5 shipping earnings. This amounts to approxi- per cent and 3 per cent be taken as the prewar mately 10.5 per cent of the value of the exports ngures it is evident that freights mounted in 1907. The New York Journal of Commerce proportionally several times higher than prices; in the issue of July 8, 1895, gives the freight-to- that is, export freights in the first six months value ratio on imports to the United States as of 1918 had increased since 1914 over six times 3.6 per cent of the value. as much as export prices, while inward freights The United States Government, injlthe had increased between four and five times as course of its suit against the lines composing the much as import prices. Price declines on ex- Brazil conference, put in evidence data com- ports did not begin to show until the middle of piled by an expert analyzing from outward 1920, and on imports not until the end of the manifests the traffic from New York to all year. Freights we know had fallen off at least Brazilian ports served by the conference lines. to some extent since 1918. Hence Duncan's These tables show among other things the figures may certainly be regarded as an outside amount of freight paid during the period. upper limit for 1920, and as a matter of fact Comparing these figures with the declared value they are much too high for that year. On the of exports from the United States to Brazil other hand, freights had not fallen to anything during the period will show the following like prewar levels until December, 1920, and results:1 many freights even after a continuous and progressive decline had not reached prewar levels by March, 1921. Hence it is safe to say that Year. Am fre o i u g n h t t . of V ex a p lu o e rt o s. f o c f e P f n r e t e a r i - g g e ht. p th r e e w f a re r ig fi h g t u - r to es -v t a h l a u t e h r a a v t e io b e re e m n a g i i n v e e d n . above the 1908 $707,876 $19,364,238 3.1 RELATION BETWEEN IMPORT AND EXPORT 1909 855,779 17,444,759 4.9 1910 1,239,201 22,764,183 5.4 FREIGHT-TO-VALUE RATIOS. 1911 1,797,041 27,150,672 6.6 1912 2,646,269 34,587,050 7.6 There is nothing to indicate that there has been any marked departure from the previously Owing to the nature ofjthe Brazilian trade, •stated relation that the export ratio is about the percentages given in the last column are twice the import. On the contrary, three probably too high, if anything, for our export factors would indicate that if anything there trade as a whole in those years. has been a widening of the spread between In a study compiled by the National Foreign the two: (1) an increased export of coal from Trade Council in 1916, entitled " Ocean Ship- the United States; (2) a smaller import trade ping, " it is stated that in the years immedi- into the United States; and (3) the continuing ately prior to the war 5 per cent of the value high prices on imports. The first of these is of United States exports is a fair estimate of of consequence inasmuch as the ocean freights the maximum average freight charge which payable on coal have recently much exceeded the^character of our exports would bear. At the value of the coal at port of shipment. In the same time it was stated that a similar other words, the freight may be 100, 200, or percentage on imports would not exceed 3 per more per cent of the value of the coal as given cent of the value, and on many of the higher in the trade figures. It is at once evident that priced commodities would be considerably less. the effect of increased exports of such com- Putting all these statements together, the modities as coal would be to raise the general figures last (juoted^seem to be a reasonable average ratio of freights to value. The small and fair estimate, as well as the only ones volume of the import trade of the United States applicable to the period immediately before as compared with the export trade has had the the war. It is generally agreed that the per- tendency furthermore to make vessels return centage on exports from the United States to this country in ballast, and consequently to was considerably higher than on imports, the soften inward rates to the United States somerelation being about two to one. On the what more than export rates. Finally, the fact other hand, for the later war period the that import prices held their high levels longer Shipping Board investigation already referred than export prices means that, assuming to is undoubtedly the most reliable. Aecord- freights were falling at a given rate, the freightto-value ratio would become relatively higher 1 National Foreign Trade Council: "Ocean shipping," 2nd edition, on exports than before. 1917, p. 21. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APEIL, 1921. FEDERAL RESERVE BULLETIN. 405 POSSIBLE MINIMUM AND MAXIMUM EARNINGS The time-charter market is under ordinary IN 1920. circumstances a particularly good indication of the level of rates over a period of time, espe- Before proceeding to discuss the ocean freight cially if it is kept in mind that the bulk of such market and to submit an estimate of earnings rates in effect on a given date are those fixed in 1920, it may be well to observe what exseveral months earlier. The Daily Freight treme limits to shipping earnings are set by the Register in its annual survey gives the range of previously mentioned high and low estimates one year general time charters as from 45s. to of freight-to-value ratios, if these are applied 11s. per ton dead-weight per month for 1920. to the official trade statistics of 1920. The total The average quotations by months are as folvalue of exports in American vessels in 1920 as lows: given by the Department of Commerce was s. d. s. d. $3,165,297,082, and of imports in foreign ves- January 25 0 July 15 9 sels $2,743,252,061. Applying the prewar and February. 25 0 August 13 6 1918 freight-to-value ratios (5 and 3 per cent; March. 22 6 September 13 0 31.2 and 13.6 per cent) to these figures we ob- April.. 20 0 October 14 0 May... 17 6 November 13 6 tain $75,000,000 as a minimum and $600,000,- June.. 18 9 December 10 0 000 as a maximum favorable shipping balance in 1920. The actual shipping balance we shall BERTH RATES. find to be much less than this maximum and closer to the minimum. In addition to charter quotations, the whole question of berth rates must be considered, THE CHARTER MARKET. perth rates refer to quotations on commodities The best single index of the course of the in less than full shipload quantities. The exocean freight market during 1920 is afforded pression arises because a freight vessel is said by charter quotations on coal (see Table 4). to be " berthed" or " placed on berth" when The rates on other commodities are believed general cargo and small consignments are being to have fluctuated in approximately the same advertised and contracted for. Although it is proportion and injjthe same direction. This true that berth charges fluctuate in the long is true because of the large and steady move- run in the same direction as charter rates, it is, ments of coal during that year. The same nevertheless, a fact that these berth or comwould not be the case to the same degree in modity quotations are subject to violent temprewar years or at the present time. porary fluctuations far more so than charter rates. On account of the erratic nature of TABLE 4-—Average monthly cool charters in four different berth rates and the wide variations from time trade routes in 1920, to time upon which it is difficult to secure [Data from graph in "Nauticus," Jan. 22,1921, p. 1 January authentic statistical information, the compilaaverage=100.] tion of an index of such quotations is not easy. United States Atlantic to- Furthermore, the wide range of commodities carried in berthed ships involves large spreads Months. We I s t t a l C y o . ast Fre la n n c t h ic A . t- Rotterdam. B A u i e r n es o . s between charges on the different commodities. Aver- Rela- Aver- Rela-Aver- Rela-Aver- Rela- Even on the same commodities different comage. tive. age. tive. age. tive. age. tive. panies may charge different rates at the same time. The opinion of a number of shipping 1920. January $25.75 100 $22.50 100 $21.00 100 $12.00 100 men who were consulted was that to secure a M Fe a b r r c u h ary 2 2 4 3 . . 5 0 0 0 9 8 5 9 2 2 1 1 . . 5 2 0 5 9 94 6 2 1 1 9 . . 0 7 0 5 1 9 0 4 0 1 1 3 4 . . 0 0 0 0 1 1 0 1 8 7 general level of freight rates through berth April 23.75 92 21.25 94 19.50 93 13.50 112 quotations involves such serious statistical diffi- Mav 22.75 88 19.75 88 19.25 92 13.50 112 June 20.25 79 18.50 82 18.00 86 13.75 115 culties as to render such an inquiry inadvisable. July ... 17.50 68 16.00 71 14.00 67 12.00 100 August 14.75 57 11.75 52 11.00 52 11.75 98 Considerable light is thrown on the subject, September 14.25 55 13.25 59 12.50 60 15.00 125 nevertheless, by the average monthly rates on October 14.00 54 12.25 54 11.00 52 13.75 115 November 1L75 46 10.25 46 9.50 45 12.00 100 cottonseed oil, grain, provisions, and sack December 8.00 31 6.25 28 5.50 26 7.25 60 flour, shown in Tables 5 to 8, inclusive. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

406 FEDERAL RESERVE BULLETIN. APRIL, 1921. TABLE 5.—Average and relative monthly berth rates per 100 pounds on cottonseed oil from New York to the principal European trade divisions in 1920. [Compiled from Cornish's Weekly Freight Circular. Average January rate=100.] United Kingdom. French Atlantic. Ne B t e h l e g r i l u a m nd . s- Mediterranean. Scandinavia. Germany. Month. Average. Relative. Average. Kelative. Average. Relative. Average. Relative. Average. Relative. Average. Relative. 1920. January $1.035 100 $1.113 100 $1.123 ! 100 $1,474 100 $1.725 100 February 1. 035 100 1.00 90 .91 i 81 1.233 84 1.40 81 March 1.035 100 1.00 90 .91 81 1.099 75 1.325 77 April 1.035 100 .975 88 .835 ; 74 1.067 72 1.25 72 May 1.017 98 .90 81 .76 i 68 1.083 73 1.25 72 $1.00 June 1.017 98 .90 81 .76 i 68 1.083 73 1.25 72 1.00 July 1.017 98 .90 81 .76 ! 68 1.083 73 1.25 72 1.00 August 1.017 98 .843 76 .71 ! 63 1.083 73 1.25 72 .887 September... 1.017 98 .75 67 .66 ! 59 1,083 73 1.25 72 .85 October 1.043 101 .595 53 .598 ! 53 1.056 72 1.09 63 .67 November... 1.15 111 | .396 36 .495 ! 44 1.033 70 .90 52 .462 December... 1.00 9" ! .195 18 .338 j 30 1.013 69 .77 45 .277 i TABLE 6.—Average and relative monthly berth rates per 100 pounds on grain from New York to the principal European trade divisions in 1920. [Compiled from Cornish's Weekly Freight Circular. Average January rate=100.] United Kingdom. French Atlantic. Ne B t e h l e g r i l u a m nd . s- Mediterranean. Scandinavia. Germany. Month. Average. Relative. Average. Relative. Average. Relative. Average. Relative. Average. Relative. Average. Relative. 1920. January $0.425 100 $0.613 100 $0.456 100 $0,763 100 F©bruarv .400 94 .569 93 .413 91 .788 103 March .400 94 .475 77 .400 88 .575 75 April .425 100 .675 110 .519 114 .681 89 May .518 122 .735 120 .720 158 .740 97 June .600 141 .750 122 .565 124 .750 98 $6.70 i July .520 122 .710 116 .540 118 .561 74 .53 August .358 84 .600 98 .394 86 .633 83 .40 September... . .353 83 .625 102 .381 84 .592 78 .363 October .360 85 .600 98 .410 90 .587 77 .43 November . .356 84 .494 81 .356 78 .488 64 $0.50 35 December .342 80 .370 60 .270 59 .383 50 .35 .28 TABLE 7.—Average and relative monthly berth rates per 100 pounds on provisions from New York to the principal European trade divisions in 1920. [Compiled from Cornish's Weekly Freight Circular. Average January rate=100.] United Kingdom. French Atlantic. % Ne B th el e g r i l u a m nd . s- Mediterranean. Scandinavia. Germany. Month. Average. Relative. Average. Relative. Average. Relative. Average. Relative. Average. Relative. Average. Relative. 1920. January $1.035 100 $1.113 100 $1.123 100 $1.433 100 $1.594 100 February 1.035 100 1.00 90 .910 81 1.233 86 1.40 88 March .973 94 1.00 90 .881 78 1.100 77 1.25 78 April .911 88 ,975 88 .810 72 1.067 74 1.25 78 Mav .911 88 .90 81 .760 68 1.083 76 1.25 78 $1,000 June .925 89 90 81 760 68 1 083 76 1 25 78 1 000 July .911 88 .90 81 760 68 1 083 76 1.25 78 1.000 August .911 88 .825 74 .685 61 1.083 76 1.25 78 .888 September .911 88 .744 67 .660 59 1.083 76 1.25 78 .850 October .975 94 635 57 612 54 1 056 74 1.09 68 660 November 1.017 98 .388 35 463 41 1 033 72 .90 56 .425 December 1.017 98 .300 27 .373 33 1.066 74 .70 44 .370 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 407 TABLE 8.—Average and relative monthly berth rotes per 100 pounds on sack flour from New York to the principal European trade divisions in 1920. [Compiled from Cornish's Weekly Freight Circular. Average January rate=100.] United Kingdom. French Atlantic. N B et e h l e g r i l u a m nd . s- Mediterranean. Scandinavia. Germany. Month. Average. Relative. Average. Relative. Average. Relative. Average. Relative. Average. Relative. Average. Relative. 1920. January $ 1. 026 100 $1.25 100 $1.01 100 $1.533 100 $1.313 100 February 1.00 97 1.187 95 1.01 100 1.517 99 1.20 91 March .738 72 1.125 90 .823 81 1.35 88 1.125 86 April .65 63 1.038 83 .677 67 1.049 68 1.063 81 May .65 63 .90 72 .757 75 1.083 71 1.05 80 $6.80 June. .. .65 63 .90 72 ,742 73 1 083 71 1 05 80 875 July .65 63 .90 72 .717 71 1 083 71 1.05 80 .86 August .65 63 .863 69 572 57 1 083 71 1 025 78 70 September .65 63 .70 56 .472 47 1.083 71 1.00 76 .65 October .65 63 .65 52 .53 52 1.083 71 1.00 76 .56 November .45 44 .45 3'6 .41 41 .724 47 .60 46 .40 December. .45 44 .36 29 .38 38 .683 45 .57 43 .39 COURSE OF THE FREIGHT MARKET IN 1920. FREIGHT INDEXES. The facts that have been given all show that When it comes to comparing rates in 1920 rates were comparatively steady during the with those in 1918, for which year we have the first six months of the year and that the de- estimates of the Shipping Board on the ratio of clines came in the latter months. During the freights to commodity values, the data is very first six months ocean freight rates remained firm unsatisfactory. In that war period all rates with a slight downward tendency. In certain were under the control of the Shipping Board trades, notably to River Plate ports, rates and the freight market practically disappeared, tended upward, but in the latter half of the making it difficult to obtain comparable quotayear the bottom dropped out of the market tions between 1918 and 1920^ Inrorder, howand rates for all destinations fell very suddenly. ever, to arrive at preliminary freight indexes The biggest drop came in December, when for 1920, pending more complete information shipping charges were fixed at from one-half which is now being gathered, the following down to one-quarter of the rates obtaining the data may be presented. The most reliable previous June. For the purposes of the present freight indexes available at this stage of the article, therefore, we shall divide the year in investigation, comparing the months of 1920 half and submit tentative estimates for each with the first six months of 1918, are shown in six months separately. Table 9. TABLE 9.—Average and relative monthly ocean freight rates on flour and cotton from New York to designated ports in 1920. [Rates quoted per 100 pounds. Average rate January-June, 1918=100. Compiled from Cornish's Weekly Freight Circular.] Flour. Cotton. Month. Christiania. Genoa. Christiania. Genoa. Liverpool. Havre. Av ra e t r e a . ge Index. A r v a e t r e a . ge Index. Av ra e t r e a . ge Index. Av ra e t r e a . ge Index. Av ra e t r e a . ge Index. Av ra e t r e a . ge Index. 1918. January-June i $2.775 100.0 $6.625 100.0 16.00 100.0 $9.105 100.0 $5.73 100.0 $6.19 100.0 1920. January 1.20 43.2 1.50 22.6 2.125 35.4 1.875 20.5 1.625 28.3 1.625 26.2 February 1.20 43.2 1.50 22.6 2.162 36.0 1.687 18.5 1.662 29.0 1.156 18.6 March . . .. 1.087 39.1 1.312 19.8 2.175 36.2 1.25 13.7 1.675 29.2 1.00 16.1 April 1.05 37.8 .95 14.3 2.175 36.2 1.125 12.3 1.675 29.2 1.00 16.1 May 1.05 37.8 1.00 15.0 2.175 36.2 1.125 12.3 1.675 29.2 1.00 16.1 June 1.05 37.8 1.00 15.0 2.137 35.6 1.20 13.1 1.625 28.3 1.037 16.7 July 1.05 37.8 1.00 15.0 2.125 35.4 1.225 13.4 1.675 29.2 1.05 16.9 Auaust 1.025 36.9 1.00 15.0 2.25 37.5 1.225 13.4 1.80 31.4 1.025 16.5 September 1.00 36.0 1.00 15.0 2.375 39.5 1.225 13.4 3.925 33.5 1.00 16.1 October 1.00 36.0 1.00 15.0 2.568 42.0 1.431 15.7 1.917 33.4 1.325 21.4 November .60 21.6 .65 9.8 1.90 31.6 1.125 12.3 1.212 21.1 .875 14.1 December .60 21.6 .65 9.8 1.90 31.6 1.068 11.7 1.218 21.2 .675 10.9 L Rates for 1918 are taken from Emory R. Johnson's report to the United States Shipping Board," Ocean rates and terminal charges," 1919. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

408 FEDERAL RESERVE BULLETIN. APRIL, 1921. Taking into consideration the available facts /Freight index\ on both charters and berth rates, the outward \ Price index ) freight index for the first six months of 1920 may be placed at 37.5, putting rates in the first If K represents the known freight-*to-value half of 1918 equal to 100. Balancing those ratio at a given time, and F and P represent, trade routes, such as to South America, in which respectively, freight and price indexes with rates remained comparatively firm, against the the given time as the base period, the freight- European routes, for exanrple, where declines to-value ratio at some other time will be were drastic, we may estimate that ocean F KXp- Letting V represent the aggregate freight rates in the latter half of 1920 averaged between 65 and 70 per cent of mean freights value of goods transported at that time, the in the first half of the year. Using the 1918 freight charges payable on such goods will be base as before, the outward freight index for ~xVthe last six months of 1920 becomes 25. Owing to the incompleteness of inward quota- Applying this result to the problem at hand, tions, separate compilations of such rates, we may express the freight charges on exports however desirable, are not possible with the TT "W V data now at hand, and for the purposes of com- in American vessels as e p e e e? and the freight putation the fluctuations will be considered to charges on imports in foreign vessels have been in the same proportion as outward as freights. This assumption is certainly on the conservative side so far as computing the ship- Pi ping balance of the United States is concerned. The shipping balance of the United States is the difference between the two, or /KtFiVA TENTATIVE ESTIMATE OF EARNINGS. V Pi )' To summarize the data up to this point, we Substituting for E and Ki their values in have seen that the freight-to-value ratios ap- e 1918, as given by the Shipping Board study, plicable to 1920 lie between the prewar and we have : 1918 freight-to-value ratios; and that conse- Shipping balance of the United States quently the shipping balance of the United States in 1920 can not be less than $75,000,000 .312 F V \ /.136 Fi e e nor more than $600,000,000. In order to sub- ) mit a definite estimate of shipping earnings in It should be noted that this method can be 1920, we have presented data measuring used in estimating the shipping balance of the changes in the two variable factors entering United States monthly, semiannually, yearly, into the freight-to-value ratios of the Shipping or for any other period for which data are Board study of 1918. The two factors nave available. Moreover, other and more up-tobeen measured by price indexes (see Table 3) date values for K and Ki may be substituted and by freight indexes (see preceding topic). e whenever a better estimate of freight-to-value We come now to the application of tnese ratios is made on an original basis, and the indexes to our estimate. freight and price indexes can then be shifted The freight-to-value ratio varies directly to the new base. with changes in the level of freight rates; it Coming now to an estimate for the first hah0 varies inversely with changes in price levels. of 1920, we may substitute the following values Thus, other things being equal, the higher freights in the formula: go, the higher will be the freight-to-value ratio; and the lower freights go, the lower will be the Freight index {F and F)= 37.5. e t ratio. On the other hand, the higher the prices Export price index (P e )= 122.0. Import price index (Pi)= 154.9. of goods go, the lower will be the freight-to-yalue Exports in American vessels (F)= $1,737,689,569. ratio; and the lower prices go, the higher will be Imports in foreign vessels (Fi)= e $1,552,123,895. the ratio. We may, therefore, adjust a known The results for the first six months, 1920, are: freight-to-value ratio in a period of changing prices and freight rates by multiplying the Freights receivable $166,800,000 known ratio by the following fraction, numer- Freights payable 51,200,000 ically expressed: Shipping balance 115,600,000 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 409 The values in the second half of 1920 are: Taking the year as a whole, we have: Freight index (F and F)= 25.0. Freights receivable $261,400,000 e t Export price index (P)= 117.7. Freights payable 77,800,000 e Import price index (Pi)= 152.4. Exports in American vessels (V)= $1,427,607,513. Shipping balance, 1920 183, 600, 000 e Imports in foreign vessels (F t )= $1,191,128,166. If these results are related to the total values The results for the last six months, 1920, of imports in foreign vessels and of exports in are: American vessels for 1920 (see Table 10), the average ratios of freights to value in the entire Freights receivable $94, 600,000 year are found to be about 3 per cent for im- Freights payable 26,600,000 ports and 8 per cent for exports—not far from Shipping balance 68,000,000 the prewar freight-to-value ratios. TABLE 10.— Value of water-borne imports and exports in the foreign-carrying trade of the United States, by montJis 1920. } [Source: Bureau of Foreign and Domestic Commerce.] Imports. Exports. Months. In American In foreign In American In foreign vessels. vessels. 1920. January $140,083,428 $287,072,178 $303,099,761 $334,529,297 February 166,680,440 259,072,316 285i919,454 285,853,350 M Ap a r r i c l h 1 18 9 4 5 , , 6 5 1 0 1 0 , , 1 1 5 9 9 7 2 2 8 7 5 0 , , 3 20 7 4 8 , , 9 1 2 7 3 8 3 2 2 9 0 3 ; .4 1 9 1 1 0 , , 9 6 4 2 6 9 4 3 1 2 3 1 , , 2 7 1 4 9 4 , , 0 1 3 5 1 4 M Ju a n y e 2 1 5 9 0 4 , , 0 0 9 6 7 1 , ,3 8 3 1 6 4 2 1 5 9 6 3 , , 4 9 9 0 6 0 , , 2 0 8 1 6 4 2 2 4 9 0 4 . ; 2 77 9 7 0 , , 5 2 6 1 4 5 3 29 7 1 2 , ,3 38 1 4 1 , , 9 2 7 7 4 5 July 230,777,851 265,979,570 252,295,984 309,123,438 August 194,790,406 263,094,279 200.349,015 300,729,502 September 134,443,006 180,781,729 212;912,491 298,338,172 October 108,165,469 172,165,869 245,476,229 421,477,182 November 100,735,476 173,303,373 270!764,927 335,315,592 D ecember 87,915,104 135,803,346 245;808,867 402,727,456 Total (except in land vehicles) 1,987,861,686 2,743,252,061 3,165,297,082 4,086,753,423 vessels in foreign ports, which is generally ad- ULTIMATE DISPOSITION OF EARNINGS. mitted to take from one-quarter to one-third Assuming the possibility of obtaining an of gross freights. The exact calculation of this accurate index of the level of freight rates from figure is practically impossible and an estimate time to time and of estimating gross shipping of the proportion of gross freights so expended earnings, the objection may be raised that the is about all that can be given. Another diffinext step of apportioning earnings according culty is that no statistical data of any kind are to ultimate expenditures between the United available showing exactly what is done by ship- States and foreign countries would be impos- owners with the freights that they receive. sible. Among the difficulties that may be Some of it goes into coal and stores and a large mentioned are those resulting from foreign portion of it goes into the wages of the seamen. time charters to American steamship oper- Just how much of these earnings, therefore, is ators. The revenue might be credited to for- expended abroad it is difficult if not impossible eign ship owners, whereas in reality a consider- to decide. Nevertheless, these payments to able revenue from these same time charters some extent balance each other, in that Ameriwould accrue to the American charterers, who can seamen spend part of their wages abroad would dispose of the ships at trip charter rates, and foreign seamen spend part of their wages thereby obtaining perhaps double the amount in the United States. in profit received by the foreign shipowner. In the next place the whole question of what OTHER ELEMENTS IN THE BALANCE OP TRADE. portion of the receipts of shipowners is expended abroad remains to be solved. Thus, The remaining factors in our international after the gross earnings of shipping have been balance will also have to be analyzed with the obtained, a number of refinements would be same care as shipping earnings. They are necessary before such figures could accurately believed to be certainly no more complex than be included in a statement showing the balance the latter item. Some of these other elements of international payments. Among these refine- that may be mentioned are foreign loans and ments is the item of port charges incurred by bond issues, the export of capital in other forms, Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

410 FEDERAL RESERVE BULLETIN. APRIL, 1921. interest payments, etc. When all of these have which the conditions must be fulfilled. An been either computed or estimated as nearly as analysis of the import letter of credit must, possible, it is the intention to incorporate them therefore, cover the following phases : periodically with the official published foreign (1) Heading. trade statistics for merchandise and gold into (2) Address to the beneficiary. an international balance sheet of the United (3) Promise to honor drafts. States. The subject is believed to be of par- (4) Description of documents. ticular interest at the present time as showing (5) Date of expiration. the amounts being added to our already enor- (6) Supplementary expressions. mous balance due from abroad and as reveal- (7) Reverse side of credit. ing the underlying conditions which banks and business men are facing in financing our foreign (1) HEADING. trade. (1) " Credit'' 5 (2) "Letter of credit'' 34 (3) "Commercial letter of credit'' 17 (4) '' Commercial credit'' 1 FORMS OF COMMERCIAL LETTERS OF CREDIT.1 Most import forms bear a caption which states definitely that the document is a " letter A preceding article has set forth the legal of credit77 or in full a "commercial letter of aspects of the commercial letter of credit and credit77 to distinguish it beyond doubt from also the practice of a number of American the traveler7s letter. Few letters contain the banks.2 In connection with this survey, the words "irrevocable77 or "confirmed77 or in credit letters used by American banks were fact any single word which definitely expresses gathered and the following is a study of the the particular class of the credit, since it is features of difference and similarity among generally irrevocable (see FEDERAL RESERVE these letters, with a view of deriving principles BULLETIN, February, 1921, p. 164, answers to which will be of advantage in standardizing question 1). the forms. This study will include a presentation of the various expressions found in (2) ADDRESS TO THE BENEFICIARY. 64 import and 56 export letters of credit and then a comparative analysis. (1) "We hereby authorize you to draw on ." (2) "We hereby authorize your drafts on .'' In its general form, the commercial letter of (3) "You are hereby authorized to draw on ." credit possesses all the characteristics of the (4) "You are hereby authorized to value on ." ordinary business letter. The name of the (5) "We hereby authorize you or any parties whom you may direct by written order.'' beneficiary to whom the letter is directed (6) "We hereby authorize you or your assigns." appears in the usual place of the addressee. (7) "We hereby authorize you or order." The date, name, and location of the issuing (8) "We hereby establish our documentary credit." bank are all written above, and the signature (9) "We hereby open a credit." of one or more officers appears below. While As most import letters of credit confer a letters of credit vary extensively, the content direct authorization to draw drafts upon a depends upon whether the letter covers an bank, the addresses made to the beneficiaries import or export transaction, and hence it is differ only in minor detail. No. 1 is a definite necessary to study these documents on this mandate from the issuing bank; No. 2 is more basis of division. They all, however, contain liberal toward the beneficiary, for his right to an expressed or implied agreement on the part draw drafts under partial shipments is given of a bank to honor the drafts of the seller of some recognition. The mandate in No. 3 is the goods and also a statement of the condi- slightly weakened by not mentioning explicitly tions which he must observe. the party, whether issuing or paying banker, who has authorized the drawing of the drafts. A. IMPORT LETTERS OF CREDIT. Many British and a few American credits contain the expression "to value on77 (see No. 4), In most import credits, the undertaking of but its legal and economic connotation is not the bank is expressed first, in an authorization as definite as the word "draw,77 which needs to the beneficiary to draw drafts to a certain little explanation. A few banks frame their amount and, second, in a general promise to address so that the beneficiary may freely holders of such bills that they will be duly assign the credit to anyone whom he may honored. The credit also describes the required documents and states the time within choose (see Nos. 5, 6, 7; also FEDERAL RESERVE BULLETIN, February, 1921, p. 169, answers to i Prepared under the direction of G. W. Edwards, Division of question 23). In letters used by a few western Analysis and Research. banks, the address to the beneficiary assumes 3 FEDERAL RESERVE BULLETIN, February, 1921, pp. 158-171. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 411 forms exemplified in Nos. 8 and 9. Such promise to "drawers" only; while 3 and 4 statements of establishing or opening credits omit all reference to parties. In 4 the bank are generally found in export letters, but are requests only its "correspondents to negotiate ill-suited to the import credit which should drafts" of the beneficiary and assures them give the addressee an unqualified authority to that they will be reimbursed. No. 5 is more draw drafts on the bank. specific than the others in defining the obliga- The tenor and amount of the drafts may be tion of the bank by stating that it will both described thus: "By your drafts at (30, 60, accept and pay the drafts. 90 days, sight) for not exceeding dollars United States currency ($ )." This ex- (4) DESCRIPTION OF DOCUMENTS. pression, by implication at least, permits the The survey thus far indicates that the letter drawing of the sum not only in one but also of credit is an undertaking in which a bank in several drafts if the beneficiary is so disauthorizes an exporter to draw drafts and posed. This is of decided advantage to him, promises to pay them at maturity. On the ior he is then enabled to draw several drafts other hand, the exporter, as the second party, of smaller amounts whenever it becomes agrees to draw his drafts only in accordance difficult to negotiate a large single bill, and with certain conditions which are specified also his right to effect partial shipments is with greater detail in documentary than in recognized. As the addressee must know the clean credits. In formulating such letters of name of the importer for whom the bank is credit, the bank must seek to eliminate reacting, it is customary to state that the drafts sponsibility for the merchandise and particiare authorized "for the account of ." pation in the commercial risk. The bank This expression may also read "by order of can not be expected to guarantee facts relat- " or "at the instance of ." ing to time of shipment and quality of goods, Since bills are not always drawn to the full but can only be held accountable for the reguamount of the invoice but at times only to a larity of the documents evidencing the fulfillcertain percentage of the value of the merchanment of the terms prescribed in the credit. dise, the letter of credit contains an expression Letters of credit enumerate the usual shipping which then reads "for % invoice cost documents such as bills of lading, policies or of —: ." (FEDERAL RESERVE BULLETIN, certificates of insurance, commercial and con- February, 1921, p. 170, answers to question 28.) sular invoices. As the bill of lading must be negotiable in form, it is filled out to the order (3) PROMISE TO HONOR DRAFTS. either of the bank or of the shipper and in- (1) aWe hereby agree with the drawers, indorsers, and dorsed by him in blank. Sometimes "on bone fide holders of drafts drawn under and in compliance board" bills of lading are demanded and then with the terms of this credit that the same shall be duly the credit includes expressions which read honored upon presentation at the office of — Bank, "that payment under this credit will only be New York." (2) "We hereby agree that such bills as you may draw made provided the goods are actually on by virtue of this credit shall meet with due honor upon the board, or loading on the vessel named in the presentation at the office of Bank." bills of lading." Insurance in most cases is (3) "We hereby engage that drafts in compliance with made payable to the bank and the credit the terms of the credit will be duly honored." (4) "We hereby request our correspondents and others, ordinarily stipulates whether the insurance is to negotiate drafts under this credit, and we engage that to be effected by importer or exporter. Poliall such drafts will meet with due honor upon presentation cies, of course, must be issued oy reputable upon us." companies and be sufficient in amount to (5) " Bank engages that bills so drawn, shall be accepted on presentation and paid at maturity." cover all losses. Commercial invoices are always demanded and at times must be in As one purpose of the letter of credit is to triplicate. All these documents should be in aid the exporter in negotiating his drafts, the strict conformity with the terms of the credit issuing banker addresses to all holders of these and satisfactory to the issuing bank. A few bills a general promise that they will be honored American banks have adopted a British pracon presentation (FEDERAL RESERVE BULLETIN, tice which requests negotiators to certify that February, 1921, p. 166, answers to questhe conditions have been observed and in one tion 9). This engagement on the part of the instance this guaranty reads as follows: "Your issuer appears as the closing statement of the negotiation of any draft or drafts under this credit and assumes one of the expressions letter of credit will be considered a guaranpresented above. These forms convey essentee to Bank that the terms and contially the same thought and differ only as to ditions expressed therein have been fulthe number of the addressees. No. 1 includes filled." A requirement of this nature charges "drawers, indorsers, and holders;" 2 limits its Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

412 FEDERAL RESERVE BULLETIN. APRIL, 1921. the negotiator with a very definite responsi- either of the negotiating or the credit-issuing bility and may render it difficult for the bene- bank. The exact termination of a credit is ficiary to secure a buyer for the drafts. One fixed by the close of the business, usually at far-eastern bank exacts a guaranty not from 3 o 'clock on week days or 12 on Saturdays. the negotiator but from the beneficiary him- If the expiration date falls on a Sunday or a self who is called upon to sign the following holiday, it is the practice to consider the statement: credit still available on the next business day. No. B-l does not fully protect the interest We beg to hand you the undermentioned drafts with shipping documents attached, for negotiation. We here- of the issuer, since it is possible for a beneficiary with declare that these drafts and documents have been to postdate his drafts. B-2 overcomes this made out in strict conformity with terms concerned and defect by compelling the beneficiary not alone agree to hold ourselves responsible therefore. to draw but to present his drafts for negotia- The disposition of the various documents tion before a fixed date. Type D has the adrequired under a letter of credit is indicated by vantage of determining one date for both the the following table: expiration of the credit and the presentation of the drafts. E in similar manner joins ! Nego- the date of shipment with the drawing of the tiator to To send drafts, while F binds together the dates of send with • direct to drafts. the bills of lading and of the drafts. i issuer. (6) SUPPLEMENTARY EXPRESSIONS. Bill of lading Consular invoice., Commercial invoice (a) Description of the draft. Insurance certificate or policy. (1) "All drafts drawn under this credit must be marked 'drawn under Bank, credit No. dated New It is evident from the above that the nego- York .' " tiator forwards directly to the issuer the bill (2) "Drafts against this credit may be marked 'payable if desired at maturity at the Bank, New York.' " of lading and a consular invoice, while the commercial invoice and remaining documents, In order to simplify their records, it is cusincluding duplicates, are later transmitted with tomary for banks to have the beneficiary note the drafts drawn by the exporter. upon his draft that it has been drawn under a particular letter of credit. (See No. A-l.) (5) DATE OF EXPIBATION. Occasionally a beneficiary finds difficulty in negotiating drafts drawn under a letter of (a) Date of credit. credit issued by an interior American bank. 1. "Expiration date." 2. "Available until • .." This institution in order to expedite the dis- 3. "This credit becomes void if not used on or counting of its drafts abroad then induces its before ——." New York correspondent with an international (b) Date of draft. reputation to permit an inscription similar to 1. "Drafts under this commercial letter of credit must be drawn prior to - * » ." No. A-2. 2. "Drafts drawn under this credit must be drawn (6) Return of the letter of credit. and negotiated prior to • * • ." 3. "• if negotiated prior to * • • .'' '' This credit is to be attached to the last bill drawn under (c) Date of bill of lading. it or returned when its currency has expired." 1. "Bills of lading must be dated on or before ——." An expression similar to the above appears (d) Date of credit and draft on many letters of credit, but responses to 1. "This credit expires on ——.- Your draft question 3 (FEDERAL RESERVE BULLETIN, Febmust be presented on or before this date." (e) Date of shipment and draft. ruary, 1921, p. 165) indicate that the originals 1. "The shipments must be completed and drafts seldom find their way back to the issuers. drawn on or before * - •—.'' 2. "Shipments must be completed and the drafts (7) REVERSE SIDE. negotiated on or before ——." (/) Bill of lading and draft. Space is usually allowed on the reverse side 1. "Bills of lading'must be dated not later than •——— and drafts must be drawn not of credit letters for negotiators to indorse the later than < - • ." particulars of the drafts which they have Date of credit 9 purchased. As foreign banks do not make it Date of draft 25 a practice of marking off the details of bills Date of draft and bill of lading 4 thus discounted (FEDERAL RESERVE BULLE- Date of draft and shipment 23 TIN, February, 1921, p. 165, see question Type A is not widely used, as there^is always 4), one American bank safeguards itself doubt whether the credit expires at the office against such omission by inserting the state- Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 413 ment on its letter of credit that "the amount the phraseology of the notice which the bank must be indorsed hereon and the negotiation addresses to the beneficiary of the export of any draft is considered a guaranty that such credit. indorsement has been made." In general the opposite side of the credit may call for (2) NOTICE TO THE BENEFICIARY. the following details: (a) date of payment; (b) name of negotiator; (c) name of town where (a) Actual authorization to draw upon negotiated; id) amount in words; (e) amount notifying bank. in figures. To prevent overpayment one bank (1) " We hereby authorize you to draw upon us." adds the clause that "the amount drawn (2) " You are hereby authorized to draw on us." against this credit is not to exceed .;7 (6) Potential authorization to draw upon notifying bank. B. EXPORT LETTERS OF CREDIT. (1) "We beg to inform you that we have been authorized by to negotiate your drafts on us." Pursuing the same general method of pres- (2) "We are instructed by to pay you to the entation as used above, export letters may be extent of analyzed according to the following character- (3) "We are informed by that you will draw istics : U^pon us at .'' (1) Heading. (c) Advice of an actual credit opened by (2) Address to beneficiary. notifying bank. (3) Description of documents. (1) "We herewith open a confirmed credit in your (4) Date of expiration. favor." (5) Supplementay expressions. (2) "We have opened a confirmed and irrevocable As confirmed and unconfirmed credits are credit." (3) "Please note that a confirmed credit has been quite similar in content, the former will be opened with us in your favor, for account of • —•." analyzed in detail and features peculiar to the (4) "We are informed by • • that they have establatter will then be viewed. lished a credit with us in your favor." (5) "Please note that under instructions from our principals we hereby open a confirmed credit in favor of (l) HEADING. (6) "We hereby confirm the following credit opened at the request of —." Terms used in heading. Con- Unconfirmed. firmed. (d) Advice of potential credit opened by notifying bank. "Credit" 14 10 ciLetter of credit" . 2 3 (1) "We are pleased to inform you that we have been 'Advice of credit'7.. 4 5 requested to open a credit in your favor. (2) "We beg to intimate that we have issued a commercial letter of credit.'' From the above table it appears that banks (e) Advice of actual credit opened by issuing have no settled usage as to the terms "irrevocable77 or "revocable77 and "confirmed77 or bank. "unconfirmed/7 and consequently a bank is (1) "We are to-day in receipt of (cable) advices from ofttimes at a loss how to interpret the cable - that they have issued an irrevocable credit." (2) "We advise you that said bank has opened a coninstructions of foreign correspondents requestfirmed credit." ing the opening of credits. To avoid this con- (3) " • have requested us to advise you that they fusion, it may be advisable to adopt the words have opened a credit." "revocable77 and "irrevocable77 when refer- Types of notifications in American letters of credit. ring to import credits and the terms "unconfirmed77 and "confirmed77 in mentioning export credits. fi C rm on e - d. f U ir n m c e o d n . - The above table indicates that the term "letter77 is seldom applied to export credits, d \ctual authorization 3 1 but instead the word "credit77 or the phrase 6 Potential authorization. 3 9 c. Actual credit opened by notifier 8 9 "advice of credit77 is generally applied. This d. Potential credit opened by notifier 3 6 is most likely due to the thought that banks, e. Actual credit opened by issuer 3 6 apprising beneficiaries of the opening of export credits, are not assuming actual, primary A. The direct authorization as seen in forms obligations of their own, but rather secondary 1 and 2 constitutes a definite mandate from the responsibilities contingent only upon the de- bank to the beneficiary. No. 1 is the most fault of their correspondents abroad. The forceful expression of a bank's obligation under security of this belief depends entirely upon an export letter of credit, while No. 2 is some- Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

414 FEDEKAL RESEKVE BULLETIN. APRIL, 1021. what weaker^in^thatpt leaves the^jbeneficiary whatsoever. Even the insertion of the word in doubt whether the authorization to draw "confirmed" fails to transform this statement emanates from the issuing or the notifying into a credit domiciled with the notifying bank. bank. These forms are well adapted to the These forms are therefore not adapted to import credit letter which is the direct, pri- describe the obligations of the informing bank mary obligation of the issuer but they fail to under a confirmed letter of credit. A certain express the true position of a bank which is bank draws a nice distinction between types merely acting as the representative of its for- C and E by describing the former as a "coneign correspondent. Af ew banks issue the same firmed letter of credit" and the latter as an form for both import and export credits, and "advice of confirmed credit established." in fact one bank uses a single document for all In conclusion, some form of type C, an credits by merely adding the expression " un- advice of an actual credit opened by the notiless previously canceled" to its revocable and fying bank, best expresses the actual principle unconfirmed letters. of a confirmed export letter of credit, while B. In order to retain the thought of direct type E, an advice of an actual credit opened by authorization and at the same time not to bind another bank, conforms to the true theory of the notifying bank too closely, export letters an unconfirmed credit. frequently contain the second type, which is merely a potential authorization to the bene- (3) DOCUMENTS. ficiary. He is notified that the bank has been Export letters of credit call for delivery of instructed to pay him or informed that he will the usual commercial set of documents which draw, but in no case does the bank admit that have been described above in the analysis of it will heed the instruction or honor the drafts import credits. These must be complete, when drawn. These expressions extend to the which may mean duplicate or triplicate sets. beneficiary only the possibility of payment, It is generally added that documents must be of and hence may be described not as actual buta character satisfactory or acceptable to the only potential authorizations. In fact, No. 3 bank effecting payment. Such phrases offer follows the language of the document known as wide latitude to banks in rejecting documents the "authority to purchase" rather than the not in conformity with the conditions of the letter of credit. credits. C. Group C conveys the true function of a notifying bank which is expected to add its (4) EXPIRATION DATE. confirmation to a credit already opened by a (a) Date of credit: foreign bank. As a matter of fact, there is little to choose between actual authorizations 1. "This credit will remain in force until ." and these expressions, since they all indicate 2. "Available until ." 3. "Expires." in no uncertain terms that the credit is domi- 4. "Expiring in New York." ciled with the notifying bank. The recipient (6) Date of draft: is fully assured that he has an undisputed claim upon the bank which has advised him 1. "Drafts drawn under this credit must be presented not later than ." of the credit. It is, therefore, well adapted to a confirmed credit but ill suited as an un- (c) Date of credit and draft: confirmed form. 1. "This credit expires on . Your draft must be D. Form D is not a direct notice of credit presented on or before that date." 2. "Available by drafts on us, at -, which must be opened by the notifying bank and in fact is presented on or before the expiration date of this credit." nothing more than a mere advice of a potential id) Date of shipment and draft: credit. The bank issuing D—1 would probably contend that it has assumed no undertaking, 1. "All shipments must be completed, and drafts with since it has not agreed to accede to the request full sets of documents must be presented for payment not later than " of its correspondent for the opening of a credit. 2. "(Drafts) should be presented to our foreign depart- In D-2 the bank, using the guarded term "inti- ment on or before , the date this credit expires." mate," rather cautiously imparts to the beneficiary the knowledge of a credit opened in his Con- Unconbehalf. firmed, firmed. E. Type E includes advices of actual credits opened by another bank. The notifying bank (a) Date of credit 22 (6) Date of draft simply transmits certain information to the (c) Date of credit and draft (d) Date of draft and shipment, beneficiary and undertakes no engagement Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 415 The objection raised above, that type A does (6) EXPRESSIONS INDICATING UNCONFIRMED not define the exact place of the expiration CREDITS. of the credit is partly overcome by one bank which describes the credit as " expiring in 1. In advising you that this credit has been opened we New York77 on a certain day andjthis implies are acting as the representatives of our foreign correspondents and do not assume any responsibility for its conthat both drafts and documents must be pre- tinuance. sented at the counter of the negotiating bank 2. Please note that this is an unconfirmed credit and is before the fixed date (see a-4). Type B is consequently subject to modification or cancellation. 3. As this is an unconfirmed credit, it is subject to canseldom used, but is often combined with A to cellation at any time, with or without notice to you. form type C which fixes one date for both the 4. We have no authority from our clients to confirm this expiration of the credit and the presentation credit or to guarantee the acceptance (payment of drafts of the drafts to the negotiating bank. Some drawn against it). The credit is therefore subject to cancellation without notice. banks insist that shipments be completed and 5. Kindly note that this is not a confirmed credit, and is drafts drawn before a certain date matures. consequently revocable at any time, either by the parties Where a credit reads "December shipment" granting the credit, or by ourselves under certain conthe negotiating bank generally allows present- ditions. ment of documents until January 5. 6. In the absence of any statement to the contrary, assumes no obligation whatsoever, even if all the conditions of the credit have been complied with. (5) SUPPLEMENTARY EXPRESSIONS. An unconfirmed credit usually bears either The export credit is usually concluded by an a caption or a statement in the body of the explanation of the notifying bank's relation to letter using the terms "unconfirmed" or the issuing bank and the beneficiary. The "revocable." Some banks define their posistatement is made that, as the advising bank is tion under an unconfirmed credit by stating merely acting as representative of its foreign that they are acting as agents of their foreign correspondent, it must therefore insist upon correspondents and in extending the credit strict conformity with the terms of the credit. have incurred no obligation to the beneficiary If the conditions are unsatisfactory to the (see No. 1). It is customary also to express beneficiary, he is told to communicate before the right to nullify the credit (see No. 2). making shipment, either with the bank notify- Some banks transform their confirmed credits ing him of the credit or with the party import- into unconfirmed forms simply by adding the ing the goods, in order to secure the necessary statement that the credit expires on a certain modifications. A typical instruction reads thus: date "unless previously canceled." By infer- As our foreign correspondents are inclined to be ex- ence the beneficiary is entitled to notice of tremely technical in connection with payments against such cancellation, but many banks inform shipping documents, we must insist upon the conditions him that the right of cancellation may be stated herein being complied with to the letter. If the exercised either "with or without notice" terms of this credit are incorrect or unsatisfactory, please communicate directly with your principals abroad and (see Nos. 3 and 4). ask them to have our correspondents send us amended instructions. It will be observed that several features common to import letters are lacking in export State Banks and Trust Companies Admitted. credits. Banks do not indorse particulars of negotiated drafts on the reverse side, nor do The following list shows the State banks and trust comthey request the beneficiary to return the panies which have been admitted to membership in the credit. These practices are not essential in the Federal Reserve System during the month of March, 1921. One thousand five hundred and forty-one State insticase of export credits, since they are usually tutions are now members of the system, having a total payable only at the bank establishing them capital of $548,000,940, total surplus of $526,235,642, and (FEDERAL RESERVE BULLETIN, February, 1921, total resources of $10,201,523,977. f, 165, answers to questions 3 and 4). t was observed above that most import credits contain a concluding declaration in Capital. Surplus. Total which the issuing bank affirms to all holders of the drafts that they will be duly honored. District No. 2. Such a statement is rarely found in the export The Bank of Depew, Depew, N. Y. $50,000 $15,000 $650,499 credit and, in fact, is unnecessary, as the letter The Liberty Bank of New York, New York, N. Y 5,000,000 5,000,000 119,544,027 serves merely to inform the beneficiary of the District No. 4. opening of the credit and not to aid him in the selling of his drafts. The Reliance Trust Co., Cleveland, Ohio 200,000 50,000 250,000 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

416 FEDERAL RESERVE BULLETIN. APEID, 1&21. Fiduciary Powers Granted to National Banks. Total Capital. Surplus. resources. The applications of the following banks for permission to act under section 11 (k) of the Federal Reserve Act have District No. 6. been approved by the Board during the month of March, 1921: Bank of Boston, Boston, Ga.. $25,000 $5,000 $182,979 Bank of Bowman, Bowman, Ga.. 35,000 10,000 246,260 DISTRICT NO. 1. Bank of Cartersville, Cartersville, Ga 100,000 50,000 650,946 Trustee, executor, administrator, guardian of estates, and assignee: Southern Exchange Bank, Dub- The First National Bank of Damariscotta, Damariscotta, Maine. lin, Ga 100,000 1,000 387,553 The Exchange Bank? Cordele, Ga. 100,000 100,000 860,730 DISTRICT NO. 2. The Bank of Lavonia, Lavonia, Ga 40,000 10,000 214,215 Trustee, executor, administrator, registrar of stocks and bonds, guardian Brand Banking Co., Lawrence- of estates, assignee, receiver, and committee of estates of lunatics: ville, Ga 50,000 50,000 469,911 The Merchants National Bank of Jersey City, Jersey City,. N. J. Citizens Bank & Trust Co., Jeffer- The Farmers National Bank of Amsterdam, Amsterdam, N. Y. son, Ga 89,540 231,683 Peninsula National Bank of Cedarhurst, Cedarhurst, N. Y. Bank of Statesboro, Statesboro, Ga 75,000 75,000 655,037 DISTRICT NO. 3. The Bank of Toccoa, Toccoa, Ga.. 50,000 10,000 307,735 Trustee, executor, administrator, registrar of stocks and bonds, guardian District No. 7. of estates, assignee, receiver, and committee of estates of lunatics: The Farmers National Bank of Boyertown, Boyertown, Pa. State Bank of Fremont, Fremont, The Manheim National Bank, Manheim, Pa. Iowa 40,000 60,000 532,387 The Cement National Bank of Siegfried, Northampton, Pa. Registrar of stocks and bonds, guardian of estates, assignee, receiver, District No. 8. and committee of estates of lunatics: The Farmers National Bank of Ephrata, Ephrata, Pa. Lemay Ferry Bank, Luxemburg, Mo 25,000 10,000 863,364 Pine Lawn Bank, Pine Lawn, Mo. 30,000 3,000 75,422 DISTRICT NO. 4. District No. 9. Trustee, executor, administrator, registrar of stocks and bonds, guardian of estates, assignee, and receiver: The State Bank of Ewen, Ewen, The Citizens National Bank of New Philadelphia, Ohio. I B h a M l l e l n i a c n h S t t i a n t e e B St a a n te k , I B h a l n en k , , M B i a n ll n a . n . - .. 2 2 5 5 , , 0 0 0 0 0 0 1 2 1 , , 0 2 0 5 0 0 2 4 0 0 8 0 , , 0 0 0 9 1 5 Tr o u f s T e te s h t e e a , t M e e x s e e , r c a c u s h s t a i o g n r n , t s e a e d N , m a re t i i c n o e i n s iv t a r e l a r B t , o a a r n n , d k r e c o g o f i m s B tr m u ar t i l t o e te r f , e s t B o o f u c e k tl s s e t r a a , n t e P d s a b o . o f n lu d n s, a g ti u c a s r : dian tine,Mont 25,000 3,500 137,384 First State Bank, Philipsburg, DISTRICT NO. 5. Mont 25,000 35,000 595,412 Commercial State Bank, Gregory, Trustee, executor, administrator, registrar of stocks and bonds, guardian S. Dak I 50,000 6,020 549,182 of estates, assignee, receiver, and committee of estates of lunatics: Bank of Philip, Philip, S. Dak... 40,000 5,000 376,745 The First National Bank of Spartanburg, Spartanburg, S. C. The American National Bank of Asheville, Asheville, N. C. District No. 11. DISTRICT NO. 6. City Guaranty State Bank, Childress, Tex 100,000 746,300 Trustee, executor, administrator, registrar of stocks and bonds, guardian Como State Bank, Como, Tex 35,000 | 20,000 206,406 of estates, assignee, receiver, and committee of estates of lunatics: The Tennessee National Bank of Johnson City, Johnson City, Tenn. District No. IS. Sacramento-San Joaquin Bank, DISTRICT NO. 7. Sacramento, Calif 3,000,000 29,662 32,488,907 Trustee, executor, administrator, registrar of stocks and bonds, guardian Eden State Bank, Eden, Idaho... 25,000 2,500 182,525 of estates, assignee, receiver, and committee ol estates of lunatics: Bank of Jordan Valley, Jordan j The First National Bank of Graettinger, Graettinger, Iowa. Valley, Oreg 50,000 25,000 608,083 The First National Bank of Sioux City, Sioux City, Iowa. First State Bank of Salina, Salina, The National Bank of Commerce, Milwaukee, Wis. Utah 25,000 42,500 689,248 Registrar of stocks and bonds: Monterey County Bank, Salinas, The First National Bank of Racine, Racine, Wis. Calif 275,800 57,900 3,256,038 Citizens State Bank, San Luis Obispo, Calif 125,000 15,000 156,250 DISTRICT NO. 8. Trustee, executor, administrator, registrar of stocks and bonds, guardian of estates, assignee, receiver, and committee of estates of lunatics: WITHDRAWALS. The First National Bank of Fort Smith, Fort Smith, Ark. The Fair view State Bank, Fair view, Kans. Guardian of estates, assignee, receiver, and committee of estates of The State Bank of Shortsville, Shortsville, N. Y. lunatics: The Henderson National Bank, Henderson, Ky. CONVERSION. DISTRICT NO. 9. The Commerce Bank & Trust Co., Charlottesville, Va., has converted into a national bank. Trustee, executor, administrator, registrar of stocks and bonds, guardian MERGER. of estates, assignee, receiver, and committee of estates of lunatics: The Minnesota National Bank of Duluth, Duluth, Minn. The Liberty Bank of New York has merged with the New York Commercial National Bank of Miles City, Miles City, Mont. Trust Co., New York, N. Y. DISTRICT NO. 10. VOLUNTARY LIQUIDATION. The Hibernia Bank of Savannah, Savannah, Ga. Trustee, administrator, registrar of stocks and bonds, guardian of estates The American Bank of Commerce, Scranton, Pa. assignee, and receiver: The First National Bank of Pender, Pender, Nebr. CHANGE OF NAME. Trustee, executor, administrator, guardian of estates, assignee, receiver, and committee of estates of lunatics: 1 he Commercial Savings Bank, Mason City, Iowa, to City-Commercial The First National Bank of Belden, Belden, Nebr. Savings Bank. Trustee, executor, administrator, registrar of stocks and bonds, guardian The Commercial Savings Bank, Fenton, Mich., to The Commercial of estates, assignee, receiver, and committee of estates of lunatics: State Savings Bank. The First National Bank of Great Bend, Great Bend, Kans. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APEIL, 1921. FEDEKAL RESERVE BULLETIN. 417 New National Bank Charters. reported to R. G. Dun & Co., number 881, whereas in the corresponding weeks of last year the number was only 368. The Comptroller of the Currency reports the The returns for February, tlie latest month for which complete statistics are available, disclose 1,641 failures for following increases and reductions in the num- $60,852,449 of liabilities, the number being the largest on ber and capital of national banks during the record for the month, excepting February of 1916 and 1915, period from February 26 to March 25, 1921, and the indebtedness representing a new high monthly inclusive: total. During February, 1920, there were only 492 commercial defaults, involving less than $10,000,000 of liabilities. Failures during February. I Banks. I Amount. New charters issued to With capital of. $685,000 Number. Liabilities. I W nc i r th ea n s e e w o f c c a a p p it i a ta l l o a f p l proved for 1 *i,*545*o66 District. Aggregate number of new charters and banks 1921 1920 1921 1920 increasing capital With aggregate of new capital authorized 2,230,000 Number of banks liquidating First 139 42 $1,942,285 $557,283 Capital of same banks "7,'no* 666 Second.. 222 75 26 836,505 1 062,322 Number of banks reducing capital Third 71 23 3,701,526 361,236 Reduction of capital so," 666 Fourth 144 48 3,613,291 697,775 Total number of banks going into voluntary Fifth 144 40 3,170,347 1,335,730 or involuntary liquidation or reducing capi- Sixth 175 41 2,920,497 381,891 tal. Seventh .. 211 66 5 442 207 1 876,499 Aggregate capital reduction 7,760,000 Eighth 129 28 2,936,144 340,110 Consolidation of national banks und,«r the act Ninth 53 15 1,690,771 195,198 Ca o p f i N ta o l v. 7,1918 6*66*666 T El e e n v t e h n . t . h .. 1 8 3 5 7 2 3 9 1 3 2 ,1 9 1 9 7 3 , , 0 8 6 8 8 9 1,8 4 3 8 0 4 , , 5 0 2 25 2 The foregoing statement shows the aggregate of Twelfth 131 54 2,487,919 640,551 increased capital for the period of the banks embraced in statement 2,230,000 Total . 1,641 492 60,852,449 9,763,142 Against this there was a reduction of capital owing to liquidations, etc.; 7,760,000 Net decrease. 5,530,000 Acceptances to 100 Per Cent. tio * n I n u c n lu d d er e s a c o t n e o f in N c o r v e . a s 7 e , in 19 1 c 8 a . pital of $150,000 incident to consolida- Since the issuance of the March BULLETIN the following banks have been authorized by the Federal Reserve Board to accept drafts and bills of exchange up to 100 per cent of Commercial Failures Reported. their capital and surplus: While a tendency toward reduction in number of com- Central National Bank Savings & Trust Co., mercial failures has recently developed, the defaults still Cleveland, Ohio. largely exceed those of this period of 1920, when the The Liberty Bank of New York, New York, business mortality was unusually moderate. For three weeks of March the insolvencies in the United States, as N. Y. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

418 FEDERAL RESERVE BULLETIN. APBIL* 1921. RULINGS OF THE FEDERAL RESERVE BOARD. Security for accepting banks. While it is not necessary, in order to comply The Federal Reserve Board has been asked with the requirements of the statutory proto rule upon the following facts: vision in question, that the attached documents A national bank with a capital and surplus or other security be in the physical possession of $200,000 has accepted drafts aggregating of the accepting bank, since possession by an $50,000 drawn by the A Bank in Colombia, agent is in law possession by the principal, which is a subsidiary of the B Bank in the the Board is of the opinion, and has heretofore United States. These drafts are part of a ruled, that the accepting bank is not secured large acceptance credit granted by a syndi- in compliance with this provision when docucate of American banks under an arrangement ments are held by the drawer of the drafts for with the B Bank, which latter institution exe- account of the acceptor. So, also, the Board cuted the acceptance agreement with the is of the opinion that the provision is not comaccepting banks and guaranteed the entire plied with if documents are held by the accepcredit. The credit is to finance the importation tor ?s customer; that is, by a party upon whose of coffee from Central America to the United credit the acceptor relied in accepting the drafts. States, and of the coffee covered by the credit The fact that the drawer of the drafts is a part has already arrived in the United States, subsidiary of the B Bank does not of itself Sart is en route, and part is warehoused in prevent the latter bank from being a proper entral America awaiting shipment. As and Earty to hold security for the accepting banks, when shipments are actually made the ship- ut the fact that the B Bank arranged and ping documents are forwarded to the B Bank, guaranteed the credit indicates that that bank and such documents and any documents cov- is the customer or one of the customers ering the coffee after arrival are held by that whose credit the accepting banks relied upon bank as the agent for the accepting banks. in making the acceptances. The facts presented are not sufficient to The Board is of opinion, therefore, that upon enable the Board to determine whether the the facts stated the accepting banks are not drafts "grow out of transactions involving the secured within the meaning of the provision of importation or exportation of goods" within section 13 when the documents arelield by the the meaning of section 13 of the Federal B Bank for account of the accepting banks, Reserve Act and the regulations of the Federal and, consequently, that no member bank should Reserve Board. The Board understands, how- have outstanding acceptances drawn under ever, that its ruling is desired upon the sole this credit in excess of 10 per cent of its capital question of whether the accepting banks are and surplus, unless some arrangement is made secured "by attached documents or by some whereby the documents are to be held by some other actual security growing out of the same other party. transaction as the acceptance" within the The question is also raised as to whether the meaning of the provision of section 13 of the fact that part of the coffee, the exportation of Federal Reserve Act which limits the accept- which is being financed by the credit, is held in ances which a member bank may make for Central America awaiting shipment and that any one customer to 10 per cent of the bank's the warehouse receipts covering such coffee are capital and surplus unless the bank is secured presumably in the possession of or under the in the manner indicated. In other words, control of the drawer would prevent the acthe Board assumes that acceptances drawn ceptors from being secured within the meaning under this credit are eligible wnen not in ex- of the provision. As already stated, the cess of 10 per cent of the accepting bank's Board has ruled that an acceptor is not secured capital and surplus and that the inquiry is for within the meaning of the provision by docuthe purpose of determining the eligibility of ments held by the drawer for the acceptor's acceptances in excess of this amount. account. The fact that documents covering One of the questions material to this inquiry the unshipped part of the coffee are held by the is whether the accepting banks are secured drawer would not of itself, however, preclude within the meaning of this provision when the the possibility of the accepting banks being documents are held by the B Bank, which secured as the law requires, if documents covarranged the credit, executed the acceptance ering a sufficient amount of coffee actually agreement, and guaranteed the credit, and of shipped are held for account of such banks by which the drawer of the acceptances is a sub- some party independent of both the A Bank sidiary. and the B Bank. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 419 Acceptances Against Goods Shipped on Consignment. Warehouse receipts covering sacramental wine in boiu The Federal Reserve Board recently re- The Federal Reserve Board has received* ceived an inquiry as to whether acceptances inquiry with reference to the eligibility fo drawn against commodities shipped to foreign rediscount by Federal Reserve Banks of draft countries, to be held on consignment by the secured by warehouse receipts covering sao shippers' agents until sales have been effected, ramental wine in storage. The Board assumes are eligible for purchase in the open market by that the warehouse receipts in question cover a Federal Reserve Bank, when it is anticipated wine held in bond subject to payment of tax that, although the goods are not actually sold and subject to the regulations of the Bureau of at the time the acceptances are drawn, they will Internal Revenue before removal. be sold before the maturity of the acceptances. The Board in its regulations defined a readily The Board has ruled that under Regulation marketable staple as "an article of commerce, A, Series of 1920, section B, subdivision (b) (1), agriculture, or industry of such uses as to make a draft drawn by an American exporter cover- it the subject of constant dealings in ready ing cotton consigned to his European agent markets with such frequent quotations of price may be eligible for rediscount when shipping as to make (a) the staple itself easy to realize documents covering goods actually shipped for upon by sale at any time." export are attached at the time the draft is pre- The Board does not believe that wine held in sented for acceptance, although the goods cov- a bonded warehouse, which can be removed ered by the documents have not been sold but only for specific purposes and after complying are merely shipped on consignment to the ex- with the requirements of the Volstead Act and porter's agent abroad. Similarly, the Board the regulations of the Bureau of Internal is of the opinion that acceptances drawn under Revenue issued thereunder, can be said to be the circumstances presented are technically an article of commerce subject to constant eligible for purchase in the open market, pro- dealings in ready markets, with such frequent vided that the goods are actually shipped for quotations of prices as to make the price easily export and shipping documents covering such ascertainable, or to make the staple easy to goods are attached to the draft at the time it realize upon at any time by lawful sale. is presented for acceptance, and provided that The Board, therefore, is* of the opinion that a in other respects the drafts comply with the warehouse receipt covering wine in bond, law and the Board's regulations governing whether intended for sacramental or other puropen-market operations. poses, can not be considered a receipt convey- Although such acceptances are technically ing or securing title to " readily marketable eligible for purchase, the Federal Reserve staples" within the meaning of section 13 of Bank, before purchasing the acceptances, the Federal Reserve Act, and consequently should be reasonably sure that the goods will that drafts secured by warehouse receipts covbe sold before the maturity of such accept- ering such wine are not eligible for rediscount ances, for, as stated, the use of acceptances is by Federal Reserve Banks. This ruling, howproper only where it is anticipated at the time ever, does not affect the legal right of a bank the acceptances are drawn that they will be to make a loan upon the note of a borrower liquidated out of the proceeds derived from the secured by a warehouse receipt covering wine sale of the goods under the acceptance. in bond. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

420 FEDERAL RESERVE BULLETIN. APEIL, 1921. BUSINESS AND FINANCIAL CONDITIONS ABROAD. tax payments. No change has been made in ENGLAND. the rate of discount at the Bank of England. The factor of outstanding interest in the Tax receipts during the past two months financial field in England in the course of the have been coming in at a far more rapid rate past month is the lowering of the rate of inter- than during the first nine months of the finanest on treasury bills from 6J to 6 per cent on cial year. Estimates of total revenue for the March 11. Since early in 1915, the interest financial year ending March 31, 1921, amounted rate on treasury bills has been the controlling to £1,418,300,000. Of this sum, £1,197,000,factor in the British money market because of 000 had been received by February 26, indiwar and postwar conditions. For that reason cating, according to experts, that the estithe lowering of the rate on treasury bills is a mates would probably be fulfilled. Meanmatter of considerable importance. There is while the condition of the Bank of England difference of opinion as to whether it indicates continues to improve. Deposits at the end merely a desire on the part of the treasury to of February were slightly lower than at the reduce its outlay on interest payments, or end of January and very strikingly lower than whether it is the first move in the direction of at the end of February a year ago. Bank and lower rates in general. currency note circulation were also lower than There has been very little change in com- at the end of January, although considerably mercial rates since the lowering of the treasury higher than a year go. At the same time gold bill rate, due to the fact that funds are needed, holdings of the bank were £18,000,000 greater especially at this time of year, to meet income- than a year ago. [Amounts in millions of pounds sterling.] Deposi E t n a g n l d a n n d o t a e n a d c c t o r u e n as ts u , r y B . ank of Government floating debt. Nine London clearing banks.3 Discount rates. Currency notes De- Total Money Disn B o a te n s k .1 c c e a a r n t t i e d f s i- p p o u a s b n i d l t i s c , bu C a ll o n i d i o n n.2 T b u r i e l r l a y s s . - r T v a a e r m n y c p a e o d s. - - fl d o e a b ti t n . g a s t a h n o c d a rt ll a v c n a o d n u c n a e t d s s . - I m n e v n es ts t- . po D s e it - s. 3 m b b a o il n n ls k t . hs'6 m t b r o i a l d n ls t e . hs' out- other. notice. standing. 1920, end of— Per cent. Per cent. February £92 £325 £190 £139 £1,070 £188 £1,258 64 Maroh 99 335 137 140 1,107 205 1,312 g| April 101 337 140 141 1,048 249 1,297 ?! May 104 348 118 141 1,062 221 1,283 71 June 107 357 192 146 1,050 244 1,294 6f 74 July 107 362 134 152 1,058 204 1,262 6H 7i August 106 356 116 152 1,067 183 1,250 7£ September 109 354 127 152 1,139 143 1,282 oil 7£ October 109 356 137 152 1,028 241 1,269 71 November 109 349 123 153 1,097 231 1,328 6*1 71 December 113 368 190 157 1,102 306 1,408 6$ 7* 1921: January 109 342 129 157 1,145 242 1,387 £99 £1,207 £317 £1,810 6f 7 February 108 336 127 157 1,110 189 1,299 88 1,172 340 1,754 7* 1 Less notes in currency note account. 2 Held by the Bank of England and by the treasury as note reserve. * Average weekly figures. Both wholesale and retail prices in England all groups of commodities, foods declining percontinued to decline during February. The haps a little more than other materials. Foldecrease for the month amounted to 7 per cent, j lowing are given the usual tables showing the according to the Statist index number, and to j fluctuations of the Statist index number, and 8 per cent, according to the new index number I the new computations of the Board of Trade, of the Board of Trade. Decreases occurred inI described in the March BULLETIN. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921, FEDERAL RESERVE BULLETIN. 421 Statist index number of wholesale prices. mate of the ministry of labor weekly full-time rates of wages of adult workers in industries [1913=100.1 for which information is available had increased Date. f V t o a o e b g d l e e s. - f A o m o n a d i l - s. Su c fe o g e f a - , r, s F t o uf o f d s - . e M ra i l n s - . t T il e e x s - . d S r u ie n s - . M ria a l t s e . - i a n b o D v e e c e t m he b er p , r e 1 w 92 a 0 r , r a a b t o es u . t 1 A 70 s t h o o u 1 r 8 s 0 o p f e r l a c b e o n r t tea. had been very generally reduced from 48-60 1913 100 100 100 100 100 100 100 100 hours a week to 44-48, this meant that the 1914 .. . 110 100 107 105 90 97 105 98 hourly rates of wages had increased even more 1915 155 125 130 137 109 111 131 119 1916 193 152 161 169 140 152 163 153 rapidly than the weekly rates. A wide diver- 1 1 9 9 1 1 8 7 2 2 4 5 8 2 2 1 1 9 0 2 2 2 3 1 8 3 2 2 2 1 9 8 1 1 6 5 7 2 2 2 2 6 8 5 2 2 1 4 2 3 2 1 2 9 5 8 sity was found in the rates of increase received 1919 252 215 275 238 190 271 268 243 by different classes of workmen. Among the 1920. higher-paid workmen in industries where "flat M Fe a b rc ru h ary 2 34 9 2 7 2 23 3 7 7 3 4 9 1 3 5 2 3 8 0 6 0 2 2 6 6 3 7 3 36 6 0 2 3 3 1 2 8 9 3 3 1 1 2 8 rate;; advances had been applied, the increases April 346 265 392 315 263 354 321 311 had not exceeded 120-130 per cent in Decem- May . 351 244 473 318 273 308 311 298 June 359 244 496 325 269 308 282 285 ber, 1920. Among the unskilled or less well- J A u u ly gust 3 3 4 1 3 7 2 2 7 9 8 5 4 4 2 0 5 4 3 31 2 9 5 2 2 7 8 6 1 2 2 9 9 8 8 2 2 7 7 7 8 2 2 8 8 3 5 paid workmen, often in the same industries, September 319 291 334 308 283 286 279 282 the rate of increase was found to be 200 per October 334 290 257 302 276 261 268 266 November 308 293 238 291 265 212 253 245 cent during the same period and in excep- December 257 262 212 253 254 205 248 237 tional cases 300 per cent. 1921. January 234 283 192 251 225 198 230 219 February 206 270 187 234 200 179 224 203 Per cent of trade-union Average members New Board of Trade index number. percentage unemincrease ployed [Based upon the prices of 150 commodities.] in li v c i o n s g t , o 1 f (memberbase, July, ship 1914. 1,533,973 at Cereals. M f a i n s e h d a . t f O o t o h d e s r . T fo o o t d a . l s I a t r e n o e d n l. m O m a e t n i h t n a d e - l r s Fe e b n r d u a o ry f ).2 erals. 1920. February... 130 1.6 March 130 1.1 February, 1920 100.0 100.0 100.0 100.0 100.0 100.0 April 132 .9 January, 1921 101.7 118.8 86.7 100.6 98.2 83.4 May 141 1.1 February, 1921 88.0 110.5 80.4 91.3 87.6 78.7 June 150 1.2 July 152 1.4 August 155 1.6 Other Other Total All September... . 161 2.2 Cotton. tex- arti- not arti- October 164 5.3 tiles. cles. food. cles. November... . 176 3.7 December 169 6.0 February, 1920 100.0 100.0 100.0 100.0 100.0 1921. January, 1921 36.8 50.7 78.4 69.4 78.9 January 165 6.9 February, 1921 32 0 46.1 76.7 63.9 72.3 February. 151 8.5 March 141 All indications point to a continued decline iFood, rent, clothing, fuel, light, etc. in prices during March also. Important re- 2 Short tims and broken time are not reflected in the figures. In tho mining and textile industries a contraction in tho demand for labor is visions were made early in the month in iron generally met by short-time working. and steel prices, export coal continued to de- Figures applying to increase in cost of living are for the beginning of cline, and values established at wool auctions month, and those for trade-union unemployment are for the end of month. this month were lower than in January or February. Although a slight improvement in de- Reduction of wage rates in recent months mand was reported in the cotton industry to- likewise appears to have been less general in ward' the end of the month, prices in manu- England than in the United States, although, factured lines as well as the raw material con- again, comparable statistics are not available tinued downward. In the case of domestic to prove this statement. Coal miners' wages coal, an increase in price is reported from one are 2s. less a shift than at the end of last district, but it is not known how general the December. Wages of cotton, woolen, and tendency toward higher levels is. This increase worsted operators have also been reduced, as is due to the fact that Government control of well as those of blast-furnace and other metal domestic prices ceased on March 1. workers. In addition, unemployment and Although comparable statistics are not short-time work have been so widespread that available, it would seem from a recent state- earnings are far lower than might be supposed ment of the British labor ministry that wage from a study of weekly wage rates. Approxiincreases between 1914 and the end of 1920 mately 8.5 per cent of trade-union members had been somewhat greater in England than were without work at the end of February and in the United States. According to the esti- many more, especially in the textile and mining Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

422 FEDERAL RESERVE BULLETIN. APRIL, 1921. industries, were on short-time schedules. Sta- A study of this table shows that except in tistics showing the numbers of workmen claim- the case of the woolen and worsted, the pottery, ing unemployment insurance indicate that a brick, cement, and food-preparation trades, the somewhat larger number of people are unem- percentage of increase in weekly earnings in ployed thanfis shown by the trade-union per- December, 1920, over July, 1914, was not as centages. At the end of February 1,145,710, great as the increase in the cost of living which or 9.5 per] cent! of: the 12,000,000 workmen is shown in the table above. In the case of insured, reported total unemployment. the jute, boot and shoe, and ready-made tailor- The ministry of labor has published the ing trades, increases in earnings are apparently following table showing the effect of unem- far less than increases in the cost of living. ployment [upon wages. A comparison is The very striking decline in the value of made between weekly earnings in July, 1920, both import and export trade in February as when full-time employment was general, and compared with January of this year and Feb- December, 1920, when there was considerable ruary a year ago is in part accounted for by unemployment, although not as much as at the fall in wholesale prices, in part by the fact present: that February is a short month. The figures also indicate, however, that there has been a Percentage increase in material decline in the actual volume of trade average weekly earn- as well. Practically no change occurred in ings over the level of July, 1914, so far as the volume of coal exports between the two indicated by returns received for the under- months, but the value declined from £5,556,000 Trade. mentioned dates. to £4,241,000. Cotton manufactures exported declined from a value of £23,973,000 in July, 1920. Dec 1 e 9 m 20 b . er, January to £20,137,000 in February, wool manufactures from a value of £7,902,000 to £5,854,000, iron and steel and their manu- Per cent. Per cad. Cotton 205 117 factures from a value of £10,692,000 in W Lin o e o n len and worsted 2 1 0 4 8 6 1 1 1 7 1 5 January to £7,223,000 in February. Total Jute 144 63 exports fell from a value of £92,756,000 to Other textilesl 150 114 Bleaching, dyeing, etc 188 147 £68,222,000, while reexports declined from a Boot and shoe 2 149 87 value of £9,955,000 to £8,004,000. Shirt and collar 2 125 100 Ready-made tailoring 2 141 76 Quite as noteworthy is the continued decline Paper, printing, and bookbinding 152 161 Pottery 173 174 in the value of imports. These were valued Glass 149 162 Brick 179 197 at £117,051,000 in January, but fell to a value Cement 174 187 of £96,974,000 in February, most of the shift Food preparations 180 177 All....... 175 135 occurring in the group of raw materials other than foods. The value of food imports changed 1 a T In h c e lu p d e i r n c g e n t t h a e g e h o q s u ie o r t y ed , l a re c l e a , t s e i s l k t , o a M nd a y c , a r 1 p 9 e 20 t . trades. very little in the two months. Value of foreign trade. Production (metric tons). Ship tonnage under Imports. Exports. ex R po e- rts. Coal. Pig iron. g S o te ts e l a i n n d - t c io o n n s ( t g r r u o c s - s castings. tons). 000's. 000's. 000's. 000's. 000's. 000's. Monthly average, 1913 £39,061 £43,771 £9,131 24,336 869 649 12,002,699 1920. February 170,514 85,964 22,604 19,435 656 811 March 176,648 103,699 27,031 19,505 710 854 April 167,154 106,252 20,407 17,131 655 779 May 166,816 119,319 20,260 2 22,131 738 848 June 170,491 116,352 20,124 19,048 726 745 3,578, 666 July 163,342 137,452 17,848 2 22,926 750 800 August 153,255 114,903 13,368 16,970 752 709 September 152,692 117,456 13,351 18,885 741 884 "3,"73i,"666 October 149,889 112,295 16,134 2 14,044 533 544 November 144,260 119,365 13,115 15,920 404 504 December 142,785 96,631 12,699 20,230 675 474 "3," 709," 666 1921. January 117,051 92,756 9,955 2 21,805 642 493 February 96,974 68,222 8,004 17,368 463 484 1 Average of four quarterly estimates. 2 Five weeks in the month. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APBIL, 1921. FEDERAL RESERVE BULLETIN. 423 Schemes for financing exports on other than position of the industry. The new bill makes a strictly commercial basis continue very much the following provisions regarding operators7 under discussion. The Government is giving profits: aid to exporters on a small scale through the (b) For the purpose of the pooling of profits set up by Board of Trade, as has been described in earlier the coal mines (emergency) act, 1920, to divide the period issues of the BULLETIN, but some more compre- of operation of that act into two periods, namely, from hensive scheme is still desired. Meanwhile, Sir April 1, 1919, to December 31, 1920, and from January 1, 1921, to March 31, 1921. Drummond Fraser, of Manchester, has been (c) As regards the first pooling period to limit the profits appointed organizer of the export credit scheme which the owners may keep to the amount of their prewar of the League of Nations, popularly known as profit standards. Any surplus profits which are earned in the Ter Meulen scheme for export credits. It this period above the standards will be available to make good the deficit which is anticipated in the second pooling is understood that he will visit and study the period. countries in need of credits before any working (d) As regards the second pooling period, to revise the arrangements are made. He will act under the method of calculating coal levy and coal award in such a direction of a committee appointed by the way that the owners pay the surplus above, or receive League of Nations, including M. Ter Meulen, the deficit below, nine-tenths of their prewar standards instead of the whole. In the unlikely event of profits M. Avenel, and Sir Henry Strakosch. being earned in the aggregate in excess of nine-tenths of On March 16 the Eussian trade agreement the standards, owners will be entitled to retain them up was finally signed. How important a factor to a maximum of the whole of the standards. this will be in the international trade situation This means, apparently, that the surplus remains to be seen. profits of the first period are to be used to On March 8 a bill was passed by the House meet the deficits of the second period. During of Commons which freed the coal industry from this second period, owners are to be guaranall Government control on March 31, 1921. teed nine-tenths of their prewar standard rates According to the provisions of the coal mines instead of the whole. At the same time the emergency act, 1920, Government control was increases in wages gained by the miners in to continue in the industry until August 31 November last have been entirely wiped out. next. Although control was distasteful to both These advances amounted to 2s. a shift miners and operators last year, decontrol is now through November and December, 3s. 6d. opposed by both groups, since it means the during January, Is. 6d. during February, but removal of the Government subsidy which ceased on February 27. during recent months has made possible the The current financial condition of the induspayment of guaranteed wages and profits. try is well summarized in the following tables From the point of view of the Government, which are taken from the official reports of the decontrol is necessary to avoid further subsidi- Board of Trade. zation of the industry with public funds. At the same time, the decline in export demand Quarter has removed the ostensible need for control ending Month of which was originally instituted for the protec- December, Ja 1 n 9 u 2 a 1 r . y, 1920. tion of the home consumer. The bill which frees the industry from control Wages £65,022,070 £27,046,305 also provides for a method of pooling profits Net costs 87.751,451 34,468,733 Commercial disposals. 86,615,127 29,579,402 so that the Government and the operators will Debits1 1,136,324 4,889,331 share the losses of the past few months. During 1920 the price of coal to the domestic con- 1 In addition to the deficit shown in these items, provision must be made for depreciation, interest on debentures and other loans, capital sumer in England was subsidized from the adjustments under the finance acts, and the profit to which the owners ,re entitled under the coal mines (emergency) act, 1920. profits obtained from the sale of coal abroad at international market prices. As a result of the FRANCE. decline in foreign demand, however, profits from this source became insufficient to provide During the last month the French Governthe necessary funds for subsidizing the domestic ment has taken several important steps toward price in the last quarter of 1920. The actual reestablishing freedom of trade in France. deficiency was even greater in January, 1921, It has been actuated by two motives in relaxing and there is a large estimated deficiency for war-time regulations, first, that of satisfying the February and March. Under the terms of the business community, and second, that of recoal mines emergency act, 1920, the operators ducing the expenses of the Government itself. were guaranteed a standard rate of profit, and The only vestige of state control which now since the strike of last October the miners have remains in the coal industry is the fixed price received, in addition to their ordinary rates, a of coal produced in France. Beginning with bonus based upon the output and the financial the 1st of February the national coal office Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

424 FEDERAL RESERVE BULLETIN. APRIL, 1921. ceased to grant any drawbacks or rebates to of about 6 per cent in January. Among the importers of coal from abroad, and on the 1st group index numbers that for textiles shows of March the rationing of coal by the Govern- the greatest decrease, but the minerals index ment and the surtax on French coal were also dropped sharply. abolished. According to the announcement of the minister of public works, the price of French Group index numbers—France. coal is still fixed in order to avoid an increase [Bulletin de la Statistique Generate.] in its price. The abolition of the surtax will [1913=100.] reduce its price from 25 to 30 francs per ton. t a o n O n h o n a u v n e M c e t a d h r e c t i h h r a w t 8 h fa e t r a h m t e e g r m r s o i w u n n i il s d l t e n a r o t w o a f n b y e a p m g e r i r i l c m l u t i l h t t t u e e r y d e Date. f A m oo n a d i l - . f V t o a e o b g d l e s e - . c c S o a o u f n c f g d e o a e a r , . , F ( o 2 o 0) d . s e M ra in ls - . T til e e x s - . d S r u i n e - s. m R r ( a i 2 a t a 5 l w ) e . s choose and that bakers may choose the mills from which they buy flour. Up to this time 1913 100 100 100 100 100 100 100 100 a rigid system of districting the milling of 1 1 9 9 1 1 4 5 1 1 0 2 3 6 1 1 0 2 3 6 1 1 0 5 6 1 1 1 0 3 4 1 1 9 6 8 4 1 1 0 3 9 2 1 9 4 9 5 1 1 0 4 1 5 wheat and the supplying of bakeries has been 1916 162 170 164 167 232 180 199 206 1917 215 243 201 225 271 303 302 291 in force. Regulations as to the price of wheat 1918 286 298 231 281 283 460 420 387 flour and bread and the amount of wheat 1919 392 313 253 336 272 444 405 373 1920: substitutes to be used in bread will not be February 484 474 436 474 444 828 j 503 561 March 500 516 439 498 460 884 • 548 600 abandoned until August, 1921. April 522 511 447 506 507 953 I 598 653 The minister of commerce has decided to M Ju a n y e 4 48 8 2 0 4 4 8 0 0 0 4 3 2 9 4 2 4 4 7 3 2 4 4 4 5 2 9 8 8 7 4 3 1 4 I I 5 6 17 0 1 ! 6 5 1 4 4 0 discontinue supplying special classes of persons July 501 370 405 432 469 746 ! 500 | 548 August 515 359 399 432 475 737 ;524 j 558 with sugar at fixed prices. The decree of September. 531 412 544 487 468 715 540 558 August 18, 1920, which established free trade N Oc o t v o e b m er ber. 5 51 3 9 3 4 3 2 9 1 0 4 3 2 7 2 7 4 44 6 2 9 4 4 2 5 4 3 6 5 3 1 7 0 j 4 5 9 2 8 7 ! 4 5 7 2 6 8 in sugar, provided that children, invalids, and December.. 515 360 355 424 385 475 471 444 1921: old people were under certain circumstances to January 483 334 337 397 341 460 445 415 be supplied with rations of sugar at a low price. February... 452 317 338 378 305 398 i 415 374 The price in the open market has now declined and the Government therefore feels justified in Both the flax and hemp crops in France were abandoning this service. much larger in 1920 than in 1919, the increase Various restrictions in regard to exports being 135 per cent in the case of flax and 99 from France still remain in force, but they are per cent in the case of hemp. However, the gradually being removed. During February a finance minister has refused to include a general export license was granted for the bounty for flax grown in France in the 1921 export of hides and skins, and it was announced budget, and the amount of the next crop is that special licenses would be granted upon therefore very doubtful. Imports of flax and application for exports of oats, bran, beans, hemp during 1920 were slightly smaller than and potatoes. in 1919, but exports show great increases and Other relaxations are predicted. A recent testify to the extent to which the industry has cable says that the Government has decided to recovered from its war-time difficulties. The give up its petroleum monopoly. Private firms following table gives a summary of imports and will be allowed to import and sell petroleum and exports of cotton, flax, and hemp: petroleum products, provided that they obtain an import permit from the Government, that Imports and exports of cotton and flax in raw and manufactured state. they declare stocks on hand monthly, and promise eventually to participate in an institu- [In quintals.] tion to develop oil production in France. It is anticipated that the suspension of coal Imports. Exports. control and the reduction of the price of French coal will have a beneficial effect on French 1919 1920 1919 1920 industry. This step has been expected since the first of the year, and manufacturers have Cotton and cotton waste.. 2,185,471 2,349,098 177,997 326,671 Flax and hemp 268,735 233,103 156,306 434,509 hesitated to make contracts until they were Cotton yarn, ecru 263,143 138,910 36,829 38,465 sure of the conditions under which they could L C i o n t e to n n y c a l r o n th 1 6 5 6 3 , , 6 7 3 2 3 5 6 5 9 9 , , 0 7 2 2 0 1 27 4 1 , , 1 8 9 8 2 6 3 3 1 3 5 , , 6 9 7 4 5 4 obtain coal. Linen cioth 43,991 27,648 4,586 13,538 Wholesale prices continued to decline in France during February. The wholesale price At the present time most of the textile centers index number of the Bureau de la Statistique in France report a continuance of the inactivity Ge*nerale registered a decline of about 8 per which marked last month. Letters from Lyon cent in February as compared with a decline report a slight improvement in the silk market, Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 425 because of sales to England and America during during the last few months has been very February. In Alsace, trade with Germany has striking. On January 1 the Longwy price per provided an outlet for cotton manufactures, ton for pig iron P. L. No. 3 was 500 francs. On but in general the cotton and flax industries March 12 the same grade sold in Meurthe-etshow very little improvement in the sale of Moselle for 345-350 francs, and foreign compemanufactured goods. Unemployment is wide- tition is still being felt. spread, as many mills are working only three Retail prices in Paris declined almost 7 per or four days a week. In the Vosges the major- cent during February, according to the retaility of the factories are operating for 40 hours a price index of the Bureau de la Statistique week. Those which only work 36 hours are Generale. Evidently retail prices are followpaying their employees 50 per cent of the salary ing in general the trend of wholesale prices in lost. On February 1 the Chamber of Deputies France. The following table gives the retailvoted a credit of 4,582,000 francs to aid the un- price index to date: employed in all industries. Lack of demand was evident in the iron and Retail prices in Paris. steel industry and in the nonferrous metal [July, 1914=100.] market during February. The metal market * was very unstable, a few days of rising prices Month. 1914 1915 1916 1917 1918 1919 1920 1921 being followed by sharp declines, until all metals sold at the end of the month at the lowest January . 122 137 139 191 248 290 410 prices in several years. Copper particularly February 226 297 38? March 248 339 has felt the effects of German competition. April lie 1.35 147 218 257 358 . Mav 268 378 .. pli T ca h t e e d i ro d n u ri a n n g d t s h t e e e l l a s s t i t m ua o t n io th n b h y a s t h b e e e d n i ss c o o l m u- - J J u u n ly e 166 122 132 •;: 1 : 8 : 3 206 2 2 6 6 1 3 3 3 6 7 9 3 .. . August.. 238 373 tion of the Comptoir Longwy, a syndicate of September 259 407 .. October 120 138 184 237 283 420 .. 20 of the important pig-iron producers of November 280 426 .. Longwy, Briey, and Nancy w'hich has regulated December 285 424 .. I output and fixed prices of pig iron for the last 45 years. In its announcement to its clientele The Bank of France report for March 10 the council of administration of the Comptoir shows a slight increase in note circulation and says that they decided to dissolve because of an increase in advances to the Government. the " impossibility in which they find them- The variation in note circulation since Janselves of exercising the stabilizing and regu- uary 1 has been comparatively slight, the averlating effect upon the market, which has always age being about 38,200,000,000 francs, or about been considered the reason for the organiza- 160,000,000 francs less than note circulation on tion's existence.77 The decline in pig-iron prices March 10. French financial situation. [Amounts in millions of francs.] Bank of France. Situation of the Government. Advances to the res G e o rv ld es. res S e il r v v e e r s. D i e t p s. o i s- C t i i r o cu n l . a- p m G u o e o r f n p v t o t e h s r f e n e o s - r r G e m v o e e v n n er u t3 n e - . P d u e b b l t ic . p 3 P e r p r r e e i p n c r e e t t e c u o . e a f n l t war.2] 1913 average 3 343 629 830 5 565 320 35,000 86.77 1920, end of— February 4 3 603 251 3 277 37 889 25 800 794 57.60 March . ... 4 3,606 247 4,039 37,569 26,300 859 58.82 April . . . 4 3,608 244 3 469 37,688 25,300 1,057 57.40 May *3 609 240 3 751 37 915 26 050 857 59.35 June . . .. 43,610 241 3 653 37 544 26 000 908 57.25 July * 3,611 248 3,416 37,696 25,550 1,109 5 233,729 58.90 August 43,612 255 3,267 37,905 25,800 882 56.30 September 6 3,531 256 3 307 39 208 26,600 1,120 54.15 October . . « 3,537 264 3,474 39,084 26,600 1,332 56.20 November «3,543 265 3,927 38,807 26,600 1,088 55.40 December 6 3,552 266 3,575 37,902 26,600 1,168 5 245,129 57.95 1921: January . 6 3,553 268 3 429 37,913 25,600 1,204 59.16 February. . 6 3,555 264 3,293 37,808 25,600 921 58.15 March 10 6 3,555 266 3,364 38,366 26,100 58.40 1 Includes Treasury and individual deposits. 4 Not including about 1,978 million francs held abroad. i Under the laws of Aug. 5 and Dec. 26, 1914, July 10, 1915, and Feb. 16,1917. & Foreign debt calculated at par. * From indirect taxation and Government monopolies. • Not including about 1,948 million francs held abroad. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

426 FEDERAL RESERVE BULLETIN. APEIL, 1921. The following table gives a summary of French foreign trade for the past year: Foreign trade of France.1 [In thousands of francs.] Imports. Exports. Food. ma R te a r w ials. f a a M r c ti t a c u n l r e u e s - d . Total. Food. ma R te a r w ials. f a a M r c ti t a c u n l r e u e s - d . P p a o r s c t e . l Total. 1913 average2. 151,465 412,144 138,169 701,778 69,908 154,841 301,420 47,182 573,351 1919 average3. 892,040 1,229,434 861,797 2,983,272 99,201 203, 691 615,630 71,444 989,966 1920. February.. 653,630 336,987 651,299 2,641,916 150,060 347,480 767,423 58,866 1,323,829 March 871,857 478,987 772,007 3,122,851 114,223 349,521 I 834,031 39,884 1,337,659 April 675,799 398,592 813,216 2,887,607 125,678 353,344 i 844,901 52,987 1,376,910 May 547,825 193,960 644,911 2,386,696 103,355 348,361 | 726,654 31,658 1,210,028 June * 558,951 302,867 726,856 2,588,674 216,849 421,735 I 1,100, 931 69,862 1,809,377 Julys August 723,749 171,091 905,613 2,800,453 210,888 440,482 1, 631,883 116,255 2,399,508 September. 608,822 294,160 724,894 2,627,876 229,892 446,131 1,363,469 112,081 2,151,573 October 667,709 243,294 684,442 2,595,445 262,808 337,464 1,597,808 134,472 2,332,552 November., 549,834 389,928 732,416 2,672,178 200,388 405,858 1,136,356 140,996 1,883,598 December.. 672,861 548,681 726,715 2,948,257 218,626 366,981 929,222 146,067 1,660,896 1921. January8. 346,703 1,101,267 534,498 1,902,468 188,546 436,069 | 1,342,398 115,605 1,822.618 1 Not including gold, silver, or the reexport trade. 2 Calculated in 1913 value units. 8 Calculated in 1919 value units. * February-June, 1920, figures are calculated in 1918 value units. French foreign trade figures are originally recorded in quantity units only, and the value of the trade is calculated by applying official value units to the quantities imported and exported. Normally the monthly statements of trade appear computed at the rates of the year previous, and only at the end of the year is the trade evaluated at the prices prevailing during that year. Because of the disturbed price conditions in France this year, however, it was not until July that the 1919 price units were decided upon and applied. 6 Monthly French foreign trade figures are published only in cumulative for:m, and as the value rates used were changed in July it is impossible to give separate figures for that month. 6 August, 1920, through January, 1921, figures calculated in 1919 value units. 7 Figures subject to revision. ITALY. Italian revenue. The prospects with regard to Italy's fiscal situation have considerably improved. At the July- July- Decem- Decemend of February, Parliament enacted a new ber, 1920. ber, 1919. law for the financing of the grain supply, which provides both for an increase in the price of Direct taxes 1,684 1,112 bread and for an advance in a number of tax Taxes on business (inheritance tax, stamp, and registry duties, luxury taxes, etc.) 833 585 rates. The deficit on account of the bread Taxes on consumption 856 560 Industrial monopolies 1,374 886 subsidy, which was originally estimated at over Commercial monopolies 205 133 6,000,000,000 lire, will now be very materially Total 4,952 3,276 reduced. Furthermore, even before the enactment of the new fiscal provisions the progress of Government revenues had been very encour- In the budgetary provisions for this year the aging. Kevenues from the principal taxes and total revenues from all sources other than loans monopolies in the first six months of the cur- were estimated at 11,000,000,000 lire, as comrent fiscal year (July 1 to Dec. 31, 1920) totaled pared with 14,000,000,000 lire in the fiscal year 4,952,000,000 lire, which shows an increase of 1919-20, and a deficit of about 14,000,000,000 1,676,000,000 lire over the revenues from the lire was anticipated. Statements have now same sources in the corresponding period in been made in the press, on the authority of the 1919. The comparative yield, in millions of minister of the treasury, to the effect that the lire, from the several sources, is shown by the deficit may be expected to amount to not more following table: than 4,000,000,000 or 5,000,000,000 lire. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 427 Aggregate circulation, deposits, and reserves of the Banca d'Italia, Banco di Napoli, and Banco di Sicilia. [In millions of lire.] Circulation. Reserve. Deposits and For For demand o ac f c S o t u a n te t . o ac f c tr o a u d n e t . Total. l i i t a i b e i s l . - Silver. h F o o ld re in ig g n s. Total. Dec. 31,1914. 735 2,201 2,936 712 1,397 131 211 1,739 Dec. 31,1919. 10,630 5,652 16,282 2,629 1,037 115 893 2,045 Jan.31,1920. 10,714 4,920 15,634 2,376 1,038 115 868 2,021 Feb. 29,1920. 10,599 4,848 15,447 2,224 1,038 115 894 2,047 Mar. 31,1920. 10,454 5,478 15,932 2,296 1,028 115 910 2,053 Apr. 30, 1920. 10.401 6,029 16,430 2,377 1,038 115 882 2,035 May 31,1920. 10.402 6,459 16,861 2,264 1,038 115 912 2,065 June 30,1920. 10,333 7,484 17,817 2,379 1,039 115 957 2,110 July 31,1920. 10,284 7,615 17,899 2,196 1,039 115 959 2,113 Aug. 31, 1920. 10,524 7.431 17,955 2,276 1,039 115 1,018 2,172 Sept. 30, 1920 10,682 8,231 18,913 2,494 1,039 115 1,063 2,217 Oct. 31, 1920. 1 10,940 8,361 19,301 2,337 1,058 115 909 2,082 N D o ec v . . 3 3 1 0 , , 1 1 9 9 2 2 0 0 . . 1 1 0 0 , , 8 7 9 4 9 3 8;577 1 1 9 9 , , 4 7 7 3 6 1 2 2 , , 5 58 9 9 9 1 1 , , 0 0 5 5 9 8 1 1 1 1 5 5 9 8 0 9 4 6 2 2 , , 0 06 7 9 8 1 Revised figure. The aggregate note circulation of the three Aggregate loans and discounts of the Banca d)Italia, the banks of issue amounted on December 31, 1920, Banco di Napoli, and the Banco di Sicilia. to 19,733,000,000 lire, as compared with [In millions of lire.] 16,282,000,000lireonDecember31,1919. Dur- Domestic Combined ing the years 1915-1919 the expansion of note bills dis- Loans. loans and circulation has been due, to the extent of almost counted. discounts. 75 per cent, to the issuing of notes for the ac- Dec. 31, 1919. 2,044 1,575 3,619 count of the State. In 1920, on the contrary, Jan. 31,1920. 2,238 1,935 4,173 as may be seen from the accompanying table, M Fe a b r . . 2 3 9 1 , , 1 1 9 9 2 20 0 . . 2 2, , 6 4 7 4 4 5 2 2 , , 2 6 2 4 6 8 4 5 , , 6 3 7 2 1 2 the circulation of bank notes for the account of Apr. 30,1920. 2,990 2,814 5,804 May 31, 1920. 3,204 2,578 5,782 the State increased but slightly. It decreased June 30, 1920. 3,931 2,853 6,784 between January 31 and July 31 some 400,000,- J A u u ly g . 3 3 1 1 , , 1 1 9 9 2 2 0 0 . . 3 3 , , 9 6 7 9 2 8 2 2 , , 6 5 0 3 4 5 6 6 , , 5 2 7 3 6 3 000 lire, but following this was increased again Sept. 30, 1920 3,808 2,820 6,628 Oct. 31,1920. 4,099 2,984 7,083 in order to finance the grain subsidy. The cir- Nov. 30, 1920. 4,063 2,334 6,397 culation for the account of trade, on the other Dec. 31, 1920. 4,256 2,818 7,074 hand, showed an almost steady increase, particularly beginning with the month of March. The monthly movement of the credit opera- There have been charged to the account of com- tions of the four leading private banks is shown mercial circulation 900,000,000 lire, which were by the following table: issued to pay for treasury bills directly acquired by the banks of issue. But, even allowing for Aggregate discounts and loans of the Banca Commerciale Italiana, Banca Italiana di Sconto, Credito Italiano, and this amount, there took place, from the end of Banco di Roma. February to the end of December, an increase [In millions of lire.] of 3,200,000,000 lire, or 67 per cent, in commercial circulation. This increase was accom- B co il u ls n t d e i d s- , b C i o n m ed panied by an even larger expansion of the credit including Loans. discounts treasury and operations of the banks of issue, due to the float- bills.' loans. ing of the sixth national loan. Total loans and Dec. 31, 1919. 7,335 667 8,002 discounts of the banks of issue are shown in the Jan. 31,1920. 6,622 1,114 7,736 next table. Feb. 29,1920. 6,383 1,298 7,681 Mar. 31,1920. 6,717 1,486 7,203 In the course of the year the official discount Apr. 30,1920. 6,652 1,462 8,114 May 31,1920. 6,727 1,505 8,232 rate was twice advanced, from 5 per cent to 5J June 30, 1920. 6,795 1,541 8,336 per cent in April to 6 per cent in May. But this July 31, 1920. 6,861 1,501 8,362 Aug. 31,1920. 7,087 1,419 8,506 had no other effect than that of temporarily Sept 30,1920. 7,231 1,507 8,738 Oct. 31,1920. 7,404 1,440 8,844 checking, in the month of May, the expansion Nov. 30,1920 7,753 1,681 9,434 of loans. Dec. 31, 1920 9,034 1,559 10,593 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

428 FEDEKAL KESERVE BULLETIN. APHID, 1921. GERMANY. latest official figures on the actual number of the unemployed are those for the end of In spite of the difficulties of the financial January. They place the number of unemand industrial situation in Germany, German ployed receiving support from the State on banks and corporations continue to declare that date at 432,000, over 5 per cent more dividends ranging from 7 to 50 per cent. In than those receiving State aid on January 1. February, among the conspicuous examples Of this number, 357,000 were men and 75,000 were the Eisenhuttenwerk Thale, which dewomen, and the number of their dependents clared a dividend of 50 per cent, the Deutsche was 459,000. The labor minister estimated Petroleum A. G. and the Flensburger Dampfer that the number of those who had no em- Kompanie A. G., which declared dividends of ployment or only part-time employment was 30 per cent, and the Bremer Linoleumwerke about twice the number of those who were A. G., which declared a 30 per cent dividend receiving support from the State. The suband a 10 per cent bonus. These dividends committee of the Reichswirtschaftsrat, dealare, of course, accounted for by the rise in ing with constructive relief for the unemprices due to the inflation of the currency ployed, has formulated plans for beginning during 1920. Now that prices have begun necessary public works in Saxony and near to decline, it is doubtful that such high profits Berlin and Hamburg, where the unemployed will continue. are most numerous. The decline of prices of stocks and bonds The level of wholesale prices in Germany upon the German stock exchanges was not so seems to have declined very slightly during rapid in the four weeks ending March 5 as in February. The wholesale price index number the month previous. The Frankfurter Zeiof the Frankfurter Zeitung (which has been tung's index number of prices of 10 typical again revised) shows a decrease of only about bonds and 25 typical stocks declined less than 4 per cent. The most marked declines occurred 4 per cent from February 5 to March 5 in in prices of oats, straw, wheat, hay, cocoa, comparison with a decline of 18 per cent from margarine, machine oil, and leather. The January 8 (which marks the index's highest Eisenwirtschaftsbund met during the month point) to February 5. The January decline and decided not to revise its prices, and the in stock and bond prices is explained by the Government has maintained its decision not rise in the value of the mark in terms of dolto allow any increase in the price of coal. lars and pounds sterling during that month, and the consequent falling off in foreign pur- The decline in wholesale prices which has chases. In February the fluctuations of for- been going on since December had begun to eign exchange were less violent, and they seem make an impression upon the cost of living by to have had a relatively insignificant effect on the end of January. According to figures stock exchange prices. The following table prepared by Dr. Silbergleit, of the statistical gives the Frankfurter Zeitung's bourse index department of the city of Berlin, the weekly number: cost of food for one growing person dropped from 61.49 marks in December to 61.23 marks Frankfurter Zeitung bourse index number. in January. Dr. Silbergleit carries his computations of food costs back to the summer of [Based upon the prices of 10 bonds and 25 stocks.] 1919, and his figures show that the highest January 1, 1920 100 December 4 178 point was reached in April, 1920, when the February 1 136 December 31 189 minimum food costs per person were 169 per March 1 155 January 8, 1921 194 cent higher than they had been in July and April 15 139 January 15 187 May 3 133 January 29 179 August of the previous summer. The table Junel 109 February 5 159 setting forth these facts is as follows: Julyl 117 February 12 157 August 2 140 February 19 157 Weekly cost of food perperson %nBerlin. September 4 149 February 26 155 October 2 160 March5 153 November 6 177 Per cent of The uncertainty of the political situation, In increase marks. over lack of coal, and the falling off of foreign de- July- August, mand contributed to the difficulties of tne in- 1919. dustrial situation in Germany during February. Unemployment increased, and the ne- 1919. cessity for dealing with it had become very Middle of July to middle of August 26.55 urgent by the middle of the month. The November 52 31 97 02 December 58.35 119.77 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 429 Weekly cost of food per person in Berlin—Continued. German financial situation. [Amounts in millions of marks.] Per cent of In increase, Reiehsbank statistics. marks. over July- August, Reserve. Darlehns- 1919. kassenscheine in 1920. Re u i n c d hs- l c a N i t r i o c o t u e n - . Deposits. ci t r i c o u n l . a- January 62 80 136 53 Gold. Darlehns- February.. 63.04 137.44 kassen- March 67 74 155.14 scheine. April 71.43 169.04 Mav 70 12 164.11 June 67.76 155.22 1913 average 1,068 32 1,958 668 July 62.35 134.84 1920, end of— August 57 20 115.44 April 1,092 15,193 47,940 16,499 13,776 September 57.48 116.50 May 1,092 15,907 50,017 17,024 13,567 October... 59 90 125.61 Juiie 1,092 17,252 53,975 23,414 13,633 November 60.25 126.93 July 1,092 17,874 55,969 17,282 13,328 Pecember. 61.49 131.60 August 1,092 18,686 58,401 15,772 13,266 September... 1,092 19,861 61,735 20,054 13,348 1921. October 1,092 21,340 63,596 17,945 13,024 January 61.23 130.62 N D o ec v e e m m b b e e r r . . . . . . 1 1 , , 0 0 9 9 2 2 2 2 0 3 , , 3 4 6 1 3 7 6 68 4 , , 8 2 0 8 6 4 2 1 2 7 , , 3 3 2 4 7 0 1 12 2 , , 0 3 3 7 3 0 1921, end of— January 1,092 22,810 66,621 15,834 11,341 According to figures recently published, February 1,092 21,982 67,427 17,357 110,755 German coal production was almost 12 per cent larger in 1920 than in 1919, but it re- Situation of the Government. mained almost 25 per cent less than in 1913, leaving the Saare, the Palatinate, and Alsace- Receipts from l L o o w r i r n a g in t e a b o l u e t il o l f u s t t h r e a te m s a t t h te e r tr e e n n t d ir e o l f y . p ro T d h u e c t f i o o l n - ta G x m o e v s e e n r a t n n - djFl d o e a b ti t ng 3 im p lo e p a r e n r c . i 2 e a n l t 5 p lo w e a r a n r c .2 ent in the last three years as compared with 1913. monopolies. German coal production. 1913 average 265 75.90 [Without the Saare, Palatinate, or Alsace-Lorraine.] 1920, end of— April 2,072 74.50 98.75 May 2,599 67.50 98.70 m t i o l I o l n n i f o s. ns 1 d P 9 u o e 1 c r f 3 t t c i h p o e e r n n o . t - J A J S O u u e u c l n p t y g e o t u e b s m e t r ber. 3 3 3 4 5 , , , , , 1 7 2 1 6 2 3 2 3 2 1 9 6 5 7 1 1 1 1 6 4 5 4 1 8 6 1 , , , , 9 7 8 9 2 5 2 8 0 0 5 7 6 6 6 6 6 0 2 0 2 6 . . . . . 6 9 8 2 2 4 0 0 5 5 9 9 9 9 9 8 8 8 9 9 . . . . . 3 5 7 0 9 0 0 0 0 0 November. 6,130 165,918 68.60 98.75 December.. 9,103 65.75 98.90 1913 173.62 100 1921, end of— 1917 154.41 88.9 January 8,721 67.00 99.50 1918 148.19 85.4 February.. 67.25 99.75 1919 117.69 67.8 1920 131.35 75.7 i Provisional. 2 Quotations of the Berlin Bourse. Coal production of the Ruhr in 1920 SWEDEN. amounted to 88,000,000 tons, and of Upper Silesia to almost 32,000,000 tons. The latter During February wholesale prices dropped figure illustrates the importance to Germany approximately 6^ per cent and were nearly of the ultimate decision in regard to that one-third less than the peak prices of June, territory. 1920. The greatest downward shifts occurred The lieichsbank statement for February 28 in raw materials for agriculture, metals, animal shows an increase in the holdings of " other food, hides, and textiles. Although coal metal" from 6,377,000 marks at the end of showed only a slight falling off in February, it January to 7,974,000 marks at the end of exhibited the most drastic drop during the February. Deposits also increased during the preceding months, having declined 71 per cent month, and the note circulation of the bank, from its highest level in July. The textile after declining in the first two weeks of the index has receded about 61 per cent from its month, reached a high level for the year. The peak; hides and leather, 60 per cent; metals, most important decrease in the end of February 37 per cent; wood pulp, 35 per cent; animal statement is that in the Loan Bank notes held foods and raw agricultural materials, 23 per as reserve which declined almost 1,000,000,000 cent; building materials, 18 per cent; vegetable marks. The following table gives a brief foods 15 per cent; and the oil group, only about ; survey of the situation. 6| per cent. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

430 FEDERAL RESERVE BULLETIN. APRIL, 1921. Group index numbers—Sweden, SvensJc Handelstidning. [1913=100.] Date. Veg f e o t od a . ble An fo i o m d a . l a R g a r r i w i a c l u m s l a t t f u o e r r - e. Coal. Metals. m B a u t i e l r d i i a n l g . W pu o l o p d . Hi le d a e t s h e a r n . d Textiles. Oils. 1913-14...... 100 100 100 100 100 100 100 100 100 100 19141 136 101 114 123 109 104 118 103 111 1915 151 140 161 177 166 118 116 158 116 120 1916... 152 182 180 266 272 165 233 229 166 149 1917 181 205 198 551 405 215 267 206 247 212 1918 221 419 304 856 398 275 300 195 1919 261 409 340 804 258 286 308 211 1920. February 273 305 319 936 259 371 476 269 380 March 270 304 318 960 291 367 682 268 275 April 265 284 320 1,008 283 367 767 263 275 May 269 283 320 1,069 324 367 788 252 374 275 June 250 273 311 1,252 318 381 778 212 368 303 July 252 277 312 1,252 293 388 767 202 336 303 August 271 307 310 1,117 286 388 756 191 328 322 September... 273 312 308 1,085 273 388 753 180 310 340 October 258 306 309 1,026 256 390 740 166 250 340 November.., 264 290 303 910 253 387 609 161 233 332 December.. 247 283 301 602 247 362 598 156 206 328 1921. January 244 266 281 371 230 320 520 131 169 328 February 231 241 248 362 204 319 511 108 147 318 1 Average for 6 months ending Dec. 31,1914. Retail prices of fuel, lighting, and foodstuffs tons; in January, 1921, the figure was 244,100 declined in February more materially than at tons, or 72 per cent of the quantity exported in any time since the break in the price level the same month in 1913. Pig iron declined began. The total drop from the peak in the from 9,695 to 8,464 tons, a drop of 13 per cent. retail price index is about 15 per cent, one-half Wood pulp, reduced to dry measure, was exof this drop taking place in February alone. ported in January, 1921, to the amount of 12,500 tons, as compared with 43,700 tons in Official index number of retail prices of foodstuffs, fuel, and the same month of 1913. Unplaned planks, lighting, 1920. boards, etc., dropped in volume of export to 43,300 cubic meters from the corresponding [July, 1914-100.] 1920: prewar figure of 78,200 cubic meters. The First quarter 293 only important export commodity to exceed Second quarter 295 its prewar 1913 volume was newsprint paper. July 297 Among the principal imports, woolen textiles, August 308 September 307 corn, coffee, rails, and potassium salts alone October 306 registered quantitative gains over the prewar November 303 figure. The two last named made phenomenal December 294 increases, the importation of rails being 22 1921: January 283 times as great and that of the potassium salts February 262 almost 13 times larger than in January, 1913. Such an industrially important commodity as Exports from Sweden in January were cotton was only 48 per cent of the prewar valued at 91,200,000 kronor, a drop of about volume, wool 20 per cent, coal and coke 32 and 47 per cent from the December figure. More- 33 per cent, and copper 38 per cent. over, January exports were only about 72 per Official production statistics for 1919 are now cent of the total for the corresponding month available for the principal industrial groups. in 1920. Imports suffered a similar reduction, During 1919, conditions in industry assumed dropping 38 per cent from the December level, a more normal aspect. Government regulations and were only slightly more than one-half of were largely lifted, giving free scope to prothe figure for January, 1920. duction. Through the improvement in marine Particularly striking is the fact that the transportation and the extension of commermajority of the principal commodities in both cial relations many industries which had curexport and import trade declined in quantity tailed production because of a dearth of raw far below the normal prewar figure for the materials were again supplied. Industry durcorresponding month in 1913. Exports of ing 1919, however, struggled under many iron ore in January, 1913, were 338,300 metric handicaps. Fuel shortages, labor troubles, Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDEKAL RESERVE BULLETIN. 431 heavy production and transportation expenses output of shoes dwindled from approximately and marketing difficulties due to the exchange 5,276,000 pairs to 4,455,200 pairs. situation, all exerted an influence. The chemical industries decreased the production of war-time emergency commodities Valueof imports and exporIs. and made an active resumption in other lines, notably linseed oil. This was manufactured [Million kronor.] only to the amount of 283,682 kilograms in Excess of 1918, but increased to no less than 5,591,032 Imports. Exports. im o p v o e r r ts kilograms in 1919. exports. The labor market continues to show an increasingly large percentage of unemployment. Monthly average, 19] 3.. 70.6 68.1 2.5 In January, 1921, there were 246 workers for 1920. every 100 occupational openings, as against January 238.0 126.8 111.2 153 in December. The following table shows February. 282.1 106.0 176.1 March. 301.1 150. 5 150.6 the number of workmen per 100 vacancies: April 266.9 163.7 103.2 Mav 314. 2 227.1 87.1 June 283.3 223.6 59.7 1920: 1920—Continued. July 331.1 267.7 63.4 January 125 August 95 S A e u p g te u m st b . er 3 3 0 2 7 4 . . 6 5 2 23 2 2 9 . . 8 8 7 9 7 1 . . 8 7 February 112 September 98 October 299.3 217.8 81.5 March 91 October 110 N ovember... 228.2 176.5 51.7 April 80 November 155 December 197.1 171.3 25.8 May 84 December 153 1921. June 92 1921, January 246 January1 122.3 91.25 31.05 July 94 1 Provisional. The following table continues the banking statistics for February: The mining and metal industries as a whole [Million kronor.] were particularly depressed. Their output was considerably smaller in 1919 than at any Riksbank. Joint stock banks. time in the previous six years and far below the 1913 production. Bills Iron-ore production in 1919 reached the un- disu 6 s ,6 u 2 a 3 ll ,6 y 6 1 lo t w on s fi g in ur e 1 9 o 18 f . 4,9 P 8 i 1 g , 1 i 1 ro 0 n t d o e n c s r , e a a s g e a d i n to st G b o u l a l d l n i d o co n i . n ci N t r i c o o u n t l e . a- w co R i u t i h n k t s t e h - d e a c L n o d o u a n d n t i s s s . bank. 495,980 tons as compared with 764,022 tons the preceding year. The depression was due 1920,end of: in a large measure to the accumulation of un- February.. 265.2 685.5 360.6 5,914.4 March 261.1 741.6 507.4 5,877.4 consumed stocks both at home and abroad. April 261.0 718.3 497.7 5,969. 4 Electrical machinery and cream-separator May 261.0 708.3 473.5 5,998.6 June 261.1 736.5 531.1 5,982.9 production were greater in 1919 than in any July 261.3 724.8 514.2 6,028.9 August 261.4 742.2 567.8 6,007.4 previous year. September 279.8 779.8 547.0 6.068.7 The lumber industry was characterized by N O o c v to e b m e b r. e . r . . 2 2 8 8 2 2 . . 4 4 7 7 7 5 2 2 . . 8 8 4 5 4 0 7 3 . . 2 4 6 6 . , 1 0 1 7 7 9 . . 8 0 brisk production, due to an active demand for December. 281.8 759.9 451.3 6,211.3 1921—January. 281.9 672.5 431.2 6,172.6 Swedish wood in the foreign market. The February x 281.8 687.6 452.7 6,119.2 output of unplaned planks, battens, scantlings, and boards amounted to 4,717,613 cubic meters 1 Provisional. in 1918 as against 5,525,417 in 1919. NETHERLANDS. Wood-pulp production showed an improvement, increasing from 920,253 tons, dry weight, During the early part of 1920 industry was in 1918, to 949,359 tons in 1919, while paper active in the Netherlands; large amounts of production, on the other hand, fell from 242,324 investment funds were available, partly as the tons to 229,227 tons. result of the flight of capital from Germany; Margarine production, which was at a com- money was cheap and abundant, especially plete standstill in 1918, revived in 1919 andfor short terms; prices were high and business amounted to 12,202,740 kilograms. in general was satisfactory. In the late fall, The increased importation of raw textile however, the effects of the world-wide depresfibers stimulated the textile industry to a re- sion were beginning to be felt; most of the leadnewed activity and caused a considerable rise ing industries, except the building trades, began in the production of cloths and yarns. to show signs of depression, which were par- The leather industry curtailed production to ticularly pronounced in the coal trade, in iron prevent overproduction, and as a result the and steel, and in textiles. Unemployment be- Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

432 FEDERAL, RESERVE BULLETIN. APEIL, 1921. came more prevalent, as indicated by the fact did not become pronounced until November. that the ratio of applications for positions with Between October and December the drop in the public employment offices to the number of prices for general articles was from 283 to places to be filled was much larger at the end of 233 and for food articles from 259 to 232. It the year than at the beginning. The following is worth noting that the index number for the table, quoted from the Algemeen Handelsblad Netherlands is very close to the Statist index for January 5, shows the extent of unemploy- number for the United Kingdom, the British ment in the organized trades in Amsterdam for index number dropping from. 288 in January, the months of October and November, 1920, 1920, to 243 in December, while the Dutch compared with November, 1919: index number dropped from. 293 in January to 233 in December. Percentage of unemployment. Total imports into the Netherlands for 1920 were valued at 3,332,000,000 florins and total November, October, November, exports at 1,701,000,000 florins, compared with ; 1920. 1920. 1919. 2,826,000,000 florins of imports and 1,411i I 000,000 florins of exports for 1919. Imports Building trade 8.1 3.5 12.3 and exports were thus materially larger in Metal workers 2.6 2.6 1.5 Factory hands ! 3.8 2.8 .8 1920 than in 1919, but the unfavorable balance Transport workers ! 5.0 5.5 3.1 Cigarmakers • 26.4 28.6 32.3 was larger for the more recent year. C B a a b k i e n r e s tmakers I 4 . . 5 9 3 1 . . 7 1 1 1 . . 5 5 A table of foreign exchange rates in Amster- Butchers . 4.2 3.5 7.1 dam on principal centers, in continuation of a Printing trade ! .7 .6 1.2 Diamond workers \ 60.4 49.3 11.7 similar table published in the FEDERAL RE- C O o th m e m r e c r a c t i e a g l o r c i l e e s r ks 1 1 . . 8 4 1.2 1 . . 9 4 SERVE BULLETIN for 1919, page 646, appears at head of next page. All groups 15.6 12.8 6.6 While the florin is at a premium as compared with other European currencies, the American It will be seen that for all industries included, dollar is far above par in Amsterdam, the the percentage of unemployment was about 16, quotation for the end of February being 2.93| compared with 13 in October and 7 in Novem- florins per dollar, as against a par of 2.48| ber, 1919. The largest percentages of unem- florins. Sterling is quoted at Amsterdam at a ployment are shown for cigarmakers, for discount of about 7 per cent. The reason for whom, however, an improvement is noted as the depreciation of the Dutch florin as comcompared with the past year, and for diamond pared with the dollar is that, while Holland workers, among whom 60.4 per cent were out has as usual an unfavorable trade balance of employment last November. with the United States, she is not able to offset The official wholesale price index for 49 gen- this unfavorable balance by her favorable eral commodities and for 31 articles of food balances with other countries, since these other commodities (included in the 49) by months, countries are not able to pay cash in settlepublished by the Dutch^Central Bureau of ment of their balances. Germany, for ex- Statistics and recomputed on the basis of 1913 ample, obtained last May a 10-year credit of prices taken as 100, is as follows: 200,000,000 florins, 60,000,000 of which are to be used for the purchase of food and 140,000,- Wholesale prices. 000 for the purchase of raw materials in [On basis of 1913=100.] Holland. As a consequence of these conditions, together with the gold embargo that is General Food articles articles still in force, Dutch merchants having pay- (49). (31). ments to make in New York must compete for dollar exchange in the general world exchange 1920. January 293 market, where the dollar commands a large February 299 254 premium. Early in 1920 the dollar was below March. . 290 253 April 296 260 par in Amsterdam, but since April of that year Mav 297 262 June.. . . 297 269 it has been at a premium, which increased July 301 274 until the end of September, when the dollar August , 289 265 September.. 287 261 was quoted at 3.27f florins. Since that time N O o ct v o e b m er ber 2 2 8 6 3 1 2 2 5 5 3 9 an improvement in the exchange position is December 233 232 noted. This improvement is due in part to Year 1920... 285 259 Year 1919... 304 293 the general decline in the price level, which results in a reduction of the amount of ex- It is to be noted that prices were rising up change required to cover unfavorable trade to July, when a decline set in, which, however, balances. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 433 Foreign exchange quotations at Amsterdam. [End of month figures, from the Economisch Statistische Berichten.J Date. L 1 o 2 ( . £ n 1 = d 07 o 5 n P o e f r p c a e r n . t fr P a ( n 1 a c 0 r s i 0 s = P o e f r p c a e r n . t 2 Y N ( .4 $ e o 8 - w r 7 k - 5 P o e f r p c a e r n . t m B a ( e 1 r r 0 k l 0 i s n = P o e f r p c a e r n . t k S h r ( t o o 1 o 0 l n c m 0 o k r - P o e f r p c a e r n . t C k h r o ( a o 1 p g 0 n e e 0 e n n r - P o e f r p c a e r n . t fl.). 48 fl.). fl.). 59.26 fl.). 66.67 fl.). 66.67 fl.). 1919. Jan. 31... 11. 50| 95.02 44.30 • 92.29 2.42 97.29 28.15 47.50 68.20 102.29 63.20 94.80 Feb. 28 11.57| 95.60 44.35 92.40 2.43 97.69 24.274 40.96 68.40 102.59 63.35 95.02 Mar. 29 11.49 94.90 41.75 86.98 2.504 100.70 22.50 37.97 67.25 100.87 62.70 94.05 Apr. 30 11.65 96.22 41.44 86.25 2.48| 99.85 21.974 37.08 66.30 99.44 62.00 93.00 May 31 11.87£ 98.08 41.00 85.42 102.71 18.40 31.05 65.10 97.65 60.00 90.00 June 30.. 11. 83^ 97.75 39. 974 83.28 2.574 103.52 18.50 31.22 65.50 98.25 60.30 90.45 July 31 11. 58| 95.70 36.10 75.21 2.641 106.48 14.45 24.38 65.75 98.62 59.10 88.65 Aug. 28 11.32 93.49 33.50 69.79 2.69 108.14 12.40 20.92 65.75 98.62 58.30 87.45 Sept. 30 11.19 92.42 33.75 70.31 2.614 105 13 11.80 19.91 65.60 98.40 57.80 86.73 Oct. 31 .. 11.02f 91.08 29.70 61.88 2.64J 106.23 8.45 14.26 63.10 94.65 56.20 84.30 Nov. 29 10.57J 87.34 27. 02£ 56.30 106.03 6.10 10.29 59.10 88.65 52.95 84.42 Dec. 30 10.15* 83.87 24.85 51.77 2.67* 107.34 5.424 9.15 57.50 86.25 51.60 77.40 1920. Jan. 31 9.18 75.82 20.00 41.67 2.61 104.92 3.124 5.27 51.00 76.50 40.75 61.12 Feb. 28 9. 25i 76.44 19.20 40.00 2.73| 110.05 2.724 4.60 50.75 76.12 40.50 60.75 Mar. 31 10.48 86.55 18.10 37.71 2.72 109.35 3.72| 6.29 58.00 87.00 49.60 74.40 Apr. 30 10.614 87.67 16.55 34.48 2.74J 110. 25 4.85 8.18 59.00 88.50 47.25 70.87 May 29. 10.66* 88.08 20.55 42.81 2.74 110.15 6.95 11.73 59.25 88.87 45.75 68.62 June 30 11.134 91.96 23. 25 48.44 2.81 112.96 7.40 12.49 62.50 93.75 46.00 69.00 July 30 . 10.88 89.86 22.20 46.25 2.93 117. 79 6.80 11.47 61.65 92.47 45.80 68.70 Aug. 27 11.13 91.92 21.30 44.38 3.11 125.03 6.324 10.67 63.40 95.10 43.90 65.85 Sept. 30 . . 11.15 92.09 21. 324 44.43 3. 21f 129. 20 5.10 8.61 63.80 95.70 45.25 67 87 Oct. 30 11.344 93.70 20. 824 44.39 3.27| 131. 76 4.324 7.30 63.55 95.32 44.50 66.75 Nov. 30 11.42i 94.36 19. 82^ 41.30 3.27| 131. 51 4.674 7.89 63.25 94.87 44.40 66.60 Dec. 30. . 11. 25 4 92.96 18.85 39.27 3.19J 128. 29 4.40 7.42 63.35 95.02 50.10 75.15 1921. Jan. 31 11.38 93.98 20. 75 43.23 2.93f 118.09 4.20 7.09 65.00 97.50 57.25 85.87 Feb. 26.. . 11. 33f 93.64 20. 974 43.70 2.933 118.09 4.724 7.97 65.50 98.25 52.90 79.35 Following are figures showing the value of There is a marked decline in the holdings of United States merchandise imports from and foreign bills and also a reduction of 42,000,000 exports to the Netherlands by months from florins in note circulation. In general, how- January, 1919, to February, 1921, together ever, fluctuations in note circulation have been with the monthly excess of exports. These comparatively slight. figures are probably too large, in so far as actual movement of goods to the Netherlands United States merchandise imports from and exports to the Netherlands. for domestic consumption is concerned, owing to the fact that a portion of the exports are [In thousands of dollars.] merely transshipments through the Netherlands to Germany and other European coun- E xcess tries. It will be seen from the figures that the Year and month. Imports. Exports. exports. excess of exports from the United States to the Netherlands was unusually heavy in the January 800 10,770 9,970 latter months of 1920 and the early months of February... 1,659 11, 953 10, 295 March 5,036 10,926 5,891 1921. /pril 4,340 21,578 17,238 May 7,036 8,713 1,678 In continuation of figures published in the June 8,131 29,398 21,208 BULLETIN for February, 1919, page 644, there J -A ul y ugust 7 7 , , 6 5 4 2 7 0 2 2 4 7 , ,1 5 6 3 4 5 1 1 7 9 , , 0 5 1 1 4 6 is also attached a table showing the principal September.. 9,922 31,854 21,932 October 9,180 20,358 .11,178 asset and liability items for the Bank of Nether- November.. 6,701 24,196 17,495 lands. It will be noted that for the year 1920 December.. 7,534 33,652 26,119 there is comparatively little change recorded 1920. January 10,062 22,712 12,650 in the gold holdings of the Bank of Netherlands, February 11,546 17,153 5,608 while silver holdings increased from 8,000,000 March 8,932 18,265 9,334 /pril 5,516 8,386 2,870 florins in January, 1920, to 22,000,000 florins in May 5,659 9,361 3,702 January, 1921, probably as the result of silver J Ju u n ly e 1 9 0 , , 2 4 4 1 5 5 1 1 6 5 , , 8 5 3 1 4 8 6 6 , , 4 2 1 7 9 3 exports from Germany. Comparing loans and A ugust 7,571 19,521 11,950 September 8,914 20,880 11,966 discounts of 1920 with those of 1919, it is seen October 6,817 33,494 26,677 that 1920 was a year of considerable activity N D o ec v e e m m b b e e r r 3 6, , 7 7 9 5 1 8 3 3 3 0 , , 8 5 4 0 6 8 2 2 7 6 , , 0 7 5 5 4 0 and that no decline in loans is shown except 1921. for the month of February, 1920, February January.., 3,484 27,007 23,523 being generally a month of slackened activity. February.. 2,912 17,881 14,969 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

434 FEDERAL RESEKVE BULLETIN. APRIL, 1921. In connection with the situation in the through a very serious crisis caused by the Netherlands, it may be noted that advices from drop in the price of sugar and the collapse of Java indicate that the island has been going the Japanese market for Java's products. Principal asset and liability items of the Netherlands Bank. [In thousands of florins.] Metallic reserve. Advances Loans, to Govdiscounts, ernment Foreign Notes in Date. and bearing bills. circulation. Gold. Silver. Total. advances. no interest. 1919. Jan. 25 684,369 8,791 693,160 357,018 14,544 8,567 ,053,508 Feb. 22 677,319 9,105 686,424 274,749 14,932 8,546 ,000,194 Mar.29 669,334 9,750 679,084 315,436 14,921 8,765 ,011,223 Apr. 26 663,34S 8,114 671,462 365,692 14,904 27,080 ,034,638 May 31.. 661,969 7,938 669,907 351,521 27,582 ,025,962 June 28 657,722 8,214 665,936 334,126 25,546 ,018,076 July 26 651,403 6,417 657,820 320,694 13,503 25,476 ,003,290 Aug. 30 635,593 5,822 641,415 348,297 9,283 44,126 ,002,879 Sept. 27 631,763 5,008 636,771 340,252 14,471 47,390 ,000,138 Oct. 25 632,167 4,907 637,074 380,111 7,265 48,273 ,010,411 Nov.29 632,156 6,325 638,481 409,001 14,630 48,556 ,048,397 Dec. 27 637,323 6,103 643,426 418,277 12,241 48,354 ,032,732 1920. Jan. 31 631,845 8,229 640,074 446,687 12,087 48,904 ,039,062 Feb. 28 633,241 9,390 642,631 441,833 14,965 54,783 ,026,549 Mar.27 634,164 10,426 644,590 397,052 13,342 56,192 ,013,315 Apr. 24 635,171 11,323 646,494 423,404 8,045 53,882 ,045,948 May29 635,805 12,646 648,451 459,017 71,356 ,020,829 June 28 636,304 13,894 650,198 414,230 13,647 49,698 1,004,808 July 26 636,338 15,015 651,353 422,464 41,088 1,017,208 Aug. 30 636,340 16,530 652,870 407,259 3,205 46,484 1,026,033 Sept. 27 636,347 17,732 654,079 415,859 478 39,435 1,030,310 Oct. 25 636,141 18,944 655,085 441,216 6,523 29,041 1,057,317 Nov.29 636,141 20,171 656,312 447,066 14,951 44,415 1,078,032 Dec. 27 636,141 21,190 657,331 444,428 13,832 52,754 1,072,145 1921. Jan. 31 636,141 22,456 658,597 444,777 4,930 43,017 1,072,109 Feb. 21 636,141 21,339 657,480 383,635 14,957 31,969 1,030,688 REPORT OF THE BANK OF FRANCE ment of the crisis jior prevent it from spreading FOR 1920. over the world. It was not long in reaching Europe, where England was first to feel its Following is a translation of the salient fea- effects. The rise of the money rate in America tures of the Annual Report of the Bank of affected unfavorably the exchange value of the pound sterling. During the early days of France for 1920: April a further increase in the Bank of England During the year 1920 occurred one of those rate, which had already been raised to 6 per general crises which even in normal times ap- cent at the end of November, seemed inevitable. pear to be almost inevitable and which put a We could not ignore these serious symptoms, severe strain on financial institutions all over nor let the crisis reach us without giving the the world. The present crisis, coming as it did French market timely warning. On April 8 when commerce and industry were still going the board of directors decided to raise the disthrough a period of readjustment after the war, count rate from 5 to 6 per cent and the rate was unusually widespread and severe. for loans on securities from 6 to 6^ per cent. In the autumn of 1919 premonitory symp- A few days later the Bank of England raised toms were seen abroad. In the United States its official rate to 7 per cent. the Federal Reserve Banks, in order to check In France the significance of these measures post-war speculation, raised their discount rate was well understood. Beginning with the three times—in November, in December, and month of April commercial banks made efforts in January. In Japan the national bank of to increase their loaning capacity by additions issue redoubled its appeals for caution, and to their paid-in capital amounting in the aggresuccessively raised the discount rate from 6.57 gate to 1,500,000,000 francs. per cent to 7.30 in October and to 8.03 per cent Manufacturers and merchants, who up to in December. that time had been led by the great consump- These vigorous and continued preventive tion demand to speed up production, though measures did not, however, check the develop- at a constantly rising cost, began to appreciate Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APKIL, 1921. FEDERAL RESERVE BULLETIN. 435 the need for liquidating stocks and restricting year and considerably extended. The number purchases and production. This policy placed of factories that have resumed operations has them in a better condition to meet the most risen from 1,805 at the end of January, 1920, severe phase of the crisis. During this critical to 3,392 on November 1; on that date these facperiod it was the duty of the bank to give to tories were employing about 356,000 workmen. business all the support at its disposal, and in This work of reconstruction in the devastated this duty the bank has not failed. districts, it is true, calls for a considerable In spite of the great strain on our resources amount of raw materials and of manufactured we have been able to discount all paper nego- products, part of which we have been forced tiated for the legitimate needs of commerce or to import from abroad. This is one of the industry. The extent of credits thus granted principal reasons why the amount of our is attested by the increase in our discounts and imports has remained so large, its total for 1920 our advances on securities. In one year our of 35,500,000,000 francs being practically the commercial portfolio has grown by about 2,000, same as that for the preceding year. It is 000,000 francs, increasing from 1,268,000,000 worthy of note, however, that the increase of francs on December 24, 1919, to 3,276,000,000 2,000,000,000 francs in our imports of raw francs at the end of 1920, while our advances materials is balanced by an almost equal reducon securities have increased during the same tion in our imports of food, made possible by time from 1,451,000,000 francs to 2,205,000,000 the increase in our crops, while our imports of francs. manufactured goods were slightly lower than By this liberal policy, which we shall con- in 1919. tinue to maintain, we hope to assist to the Our exports, fortunately, have shown a utmost of our power the forces in France which notable increase from 11,900,000,000 francs in are tending to alleviate the severity of the 1919 to 22,500,000,000 francs in 1920. A syscrisis. Serious though it still is, we must nev- tematic development of our foreign markets ertheless realize that in France it has not been should enable us in the future to expand our so severe as abroad. The relative smallness of exports still further. Our unfavorable trade our stocks of raw materials, the prospect for our balance, which last year was 25,000,000,000 producers of replenishing these stocks at less francs, has been reduced to 13,000,000,000 burdensome costs, owing to the decline in the francs, an amount still too high, but indicative price level in the countries of origin, the insuf- of development in the right direction. ficiency of production to provide for the needs This improvement in our trade balance has of the country, in spite of temporarily reduced not yet had much influence on the value of consumption, help to keep our market from ex- the franc, except to check its further fall. treme demoralization. After a sudden but short reaction in the spring, The difficulties of the present moment should foreign exchanges resumed their upward movenot make us lose sight of the progress which ment during the summer, and their level on France has made during the past year toward December 31 was considerably higher than at a more normal economic condition. This prog- the beginning of the year. ress is shown by a very substantial increase in This aggravation of a condition already agricultural production, by a marked improve- serious is due to the large volume of extraordiment in our trade balance, and by the impor- nary demands which the exchange market is tant steps taken in the direction of fiscal reform. still called upon to meet. The settlement of Our harvests of grain have increased from our purely commercial accounts does not de- 93,000,000 quintals in 1919 to 130,000,000 quin- mand such large amounts of exchange bills as tals in 1920. Our transportation system, the formerly, but the debts which France was disorganization of which since the war has han- obliged to contract abroad during the war and dicapped trade and industry, is now once more since the armistice continue to keep down the capable of rendering satisfactory service. international value of the franc. Our supply of coal has greatly increased, as Certain loans placed in foreign markets have much through the resumption of national pro- fixed maturities and must be paid as they fall duction as through the deliveries from Ger- due. Thus, last October, the treasury had to many and through other imports. The lower provide for the repayment in New York of prices resulting from this have reduced produc- $250,000,000, the amount of the French tion costs of our industries and have tended to share of the joint Anglo-French loan. The lower the general price level. settlement was made by a new bond issue of Energetic efforts at restoration in the north $100,000,000 in the United States, by the transand east, which were described at some length in fer of $20,000,000 in gold, which the bank our preceding report, have been continued this placed at the disposal of the Government, and Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

436 FEDERAL RESERVE BULLETIN. APRIL, 1921. by purchases of exchange. This has had a directors was, therefore, induced on April 14, depressing effect on our rate of exchange. not, however, without registering a most earnest This transaction, however, would have had protest, to extend the date previously agreed only a passing influence if there had not been upon for the final payment to the time of the next added the more lasting effect of another factor. loan, but in no case beyond December 31, 1920. As was explained in the previous report, the At the expiration of this new time limit, balances carried by our banks for foreign inter- exceptionally heavy demands on the treasury ests are in effect a floating debt and have a pro- made it impossible to carry out this agreefound influence on the exchange market. These ment. So on December 29 the bank was balances are responsive to foreign conditions obliged to give its consent to a new postand are subject to expansion and rapid con- ponement. According to the terms of this traction, their fluctuations being responsible latest agreement the maximum of 27,000,000,in large measure for the violent changes in the 000 francs of advances to the Government may value of our currency. A permanent improve- be maintained until December 31, 1921. ment in the purchasing power of the franc The Government has undertaken to reduce abroad can come only from the gradual restora- the debt to 25,000,000,000 francs by January tion of our resources for making international 1, 1922, and thereafter to amortize it at a rate payments and from the growth of confidence of not less than 2,000,000,000 francs a year. inspired by our willingness to work and by our The total of the war advances will thus be fiscal policy. reduced by 2,000,000,000 francs on the 31st Along these lines, France during the past of next December, and again by the same year has made decided progress. By sub- amount on December 31 of each succeeding mitting during one year to 8,000,000,000 francs year. It was not, however, without grave of new taxes, she has proved her unflinching misgivings that the board was forced for the determination to make all the sacrifices nec- second time to yield to the inevitable. It essary for the restoration of a normal budget. seemed to the board that the success of the By subscribing during the same year to two great loans and the steady additions of 33,000,000,000 francs of Government securi- large amounts to the funds raised by the ties, she has shown her desire for reconstruc- national defense "bons" should have made it tion and her confidence in herself. possible for the Government to set aside an The bank, during 1920, as heretofore, has amount sufficient to cover the first repayment actively cooperated with the Government in of the advances of the bank. the flotation of the loans. The subscriptions The board had hoped, as it has said many received by the bank directly or collected by times before, to reestablish a margin of note its agents represent for each of the last two na- circulation below the authorized maximum, tional loans a proportion of over 40 per cent not for the purpose of retiring these notes and of the total subscriptions. thus bringing about a deflation more rapid Though the funds placed at the disposal of than circumstances warrant, but for the purthe treasury in 1920 through taxation and pose of using them to supply the needs of the through savings have been large, they have country's commerce and industry. not been sufficient to enable it to reduce its The board is aware of the difficulties condebt to the bank at the expiration of the period fronting the treasury in trying to provide for fixed by our agreement of April 24, 1919. the heavy expenses of reconstruction, while This agreement raised from 24,000,000,000 to waiting for the indemnities which the treaty of 27,000,000,000 francs the amount of the ad- Versailles solemnly guaranteed to France, and vances made by the bank to the Government; for the assistance from our allies which the it emphasized the temporary character of this sacrifices made by our country for the common new advance of 3,000,000,000 francs, and obli- victory have given her the right to expect. gated the treasury to set aside from the proceeds The board nevertheless holds to the opinion of the next loan a sum sufficient to wipe out that these difficulties could be lessened by a the amount and to reduce the debt to the firm policy of retrenchment in public expendimaximum fixed by the former agreement on tures, the imperative and immediate need of February 13, 1919; that is, to 24,000,000,000 which it has recently urged once more upon the francs. Government. The first liquidation loan, floated last Feb- So long as the prices of commodities conruary, did not leave an available surplus large tinue to be influenced by a large volume of enough to make the payment without seriously notes in circulation which were not issued to embarrassing the treasury. Our board of meet the needs of commerce there can be no Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APEIL, 1921. FEDERAL RESERVE BULLETIN. 437 stability in our monetary system, and the BUSINESS AND FINANCE IN ITALY.1 business of the country will continue to suffer from an uncertainty which neutralizes all ROME, February 15, 1921. In Italy commodity prices continued slowly efforts to improve the situation. As we have to decline during January. According to the had occasion to state in a letter to the minister new index number computed by Prof. Bachi, of finance, no single act would be more important for the economic rehabilitation of the recession amounted to about 2 per cent for France and for the improvement of her credit the month. Decreases occurred in the textile, than a first payment by the Government on metal, chemical, vegetable, and animal food account of the advances by the bank. This groups, and slight increases in the building would have the effect of an official declaration materials, sundry vegetable products, and misthat it will henceforth be safe to make long- cellaneous groups. The accompanying table term or short-term contracts in terms of francs, shows the fluctuations of these groups in 1920 because the value of the franc would at last- and in January, 1921. be definitely divorced from the extraneous influence of fiscal requirements. iThis article is a digest of material transmitted by Prof. Riccardo Bachi, of Rome, Italy. Index numbers for Italy. [Basis, 1920=100.] (1 m V t f t 9 a o i e o e o b g s d d c l e ) e i o s . - - m- ( A 1 m f t 0 n i o o e i o s m d d c ) i o s . a - m l - C ( h m 8 t e i m o e c s d i o ) i c m . - a - ls T ( m 9 t e i x o e t c s d i o ) i l m . - es - M (1 m m t 2 i a i n e o e n e t d s d a c r ) i o l a . - s m ls - ( m 5 t i o c e o s d ) m i . - - , ' i I pp v ( m 4 r O e t o i g c o e t d h e o s d u t e ) m i a . c - r b t - s l I e | i S ( m 9 t u i e c o n o s d d ) m i r . - i - es n ( G 7 m i u t 6 n e i m o e , n c l s d e e b o ) r i x . e m - a r l - 1 ( 9 3 m s b t 8 0 e i O a 1 e o r s l - s i d d 1 i c e ) s o 9 i . s , - m 05 - t 1 r o ( 9 e 7 b s 0 N 6 f t e a h e 1 e r s e r - w i 1 i r c e s e 9 o s , o d m 0 l 5 d modities). 1920. January 86.2 81.2 64.2 95.3 75.9 72.0 93.5 78.2 81.25 634.7 639.23 February 91.6 79.5 76.8 106.0 92.7 75.4 100.9 85.8 89.13 701.0 701.22 March 93.1 82.7 96.8 115. 6 104.8 82.2 102.4 92.8 96.41 780.0 758.50 April 102.7 83.6 110.4 130. 8 115.8 96.4 99.8 104.2 106.30 855.7 836.30 May.... 102.2 92.9 122.6 104. 9 113. 2 101.8 97.2 107.8 105.73 830.3 831.82 June 100.2 101.1 112.8 90.8 99.1 106.3 95.9 105. 7 101.18 774.7 796.02 July 96.8 100.3 100.0 88.3 95.5 108.4 90.2 104.9 97.77 772.4 761.33 August 100.7 103.4 102.3 94.9 96.6 109.9 91.9 101.4 100.13 795.9 787 76 September 104.8 108. 8 100.1 99.6 103. 7 109.9 97.5 102.1 104.98 832.3 825.92 October 107.1 108. 0 103.4 97.9 106.5 112.8 100.5 105.4 105.47 834.3 829. 77 N ov ember 107.7 124.1 107.7 94.0 101.4 112.6 108.7 105.2 107.33 829.1 844.41 December 108.9 126.4 102.8 81.9 92.7 112.6 121.8 106.8 104.97 800.6 825.84 1921. January 106. 7 120.7 98.1 77.4 123.4 107.1 ! 102.89 ! 809.48 During January important price changes handicap of heavily depreciated foreign exoccurred in the following commodities: change rates. Prices of goods produced and consumed at home are still maintained at their former high levels because fundamental Increase. Decrease, conditions causing these high prices have not changed. Prices of textiles, coal, metals, and Vegetable foods I Potatoes; cocoa; con- Linseed oil. served tomatoes. other raw materials affected by international C A h n e i m m i a c l a f l o s ods.. Honey; beef E S g u g lp s h . ate of copper; ni- market conditions, on the other hand, are detrate of soda; sulphate creasing. The rate of decrease is slow, howof ammonia; caustic soda; citric and tar- ever, because of adverse exchange rates. taric acid. Textiles Cotton, cotton yarns; The measure which is now under discussion wool; hemp; silk. in the Chamber of Deputies regarding increase Minerals and metals Tin. Coal; iron; zinc; copper; load; antimony. in the prices of wheat, flour, and bread will Building materials. Chalk. be passed in a few days in spite of the obstruc- Sundry vegetables. Hay; straw Miscellaneous Rawhides. tive efforts of the Socialists. This measure Petroleum; paper; soap. will cause something of an increase in the price Italian prices probably reached their peak of certain vegetable foods, but will decrease the in the last months of 1920, and the decline Government deficit on account of food and will which has set in recently has not been so substantially improve the condition of the marked as in America, Great Britain, France, State finances. It is also to be hoped that the and other countries, partly because of the passage of the bread act will have a favorable Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

438 FEDERAL RESERVE BULLETIN. APRIL, 1921. effect upon the course of the foreign exchanges and at 74.66 at the end. These prices comand the prices of many commodities. pare very unfavorably, however, with 80 and Foreign exchange rates continued adverse to 86, which were the prevailing prices a year ago. Italy during January, the lira being further Among other factors at work during 1920 to depreciated in terms of the French and Swiss reduce the prices of fixed interest-bearing bonds francs and sterling (although the latest quota- and debentures, the rise in the rate of interest tions are not the most unfavorable) and im- is of special importance. proved in terms of the dollar. The following Prices of dividend-bearing shares have also table shows the trend during the last few continued to decline during January, as is months for the leading foreign exchange rates: shown by Prof. Bachi's index number of securities prices. This index number is calcu- Foreign exchange rates. lated from the end-of-month quotations of securities of joint-stock companies and is given in the form of percentages of the prices at the France. England. Sw la i n tz d e . r- U St n a i t t e e s d . end of the preceding December. Group and general index numbers are weighted according Parity 100 25.22 100 5.18 to the amount of the nominal capital of each Oct.30,1920 172.07 93.24 422.76 26.71 Nov. 30, 1920 164.58 94.90 425. 24 27.18 company at the end of the preceding December Dec. 31, 1920 169.61 100.31 413.43 28.22 (in millions of lire). Coefficients of correction Jan. 8, 1921 171.87 105.11 444.03 28.74 Jan 15,1921 177.53 109.26 453.00 29.12 are adopted when the amount of capital and Jan. 22, 1921 188.15 106.07 438.50 27.83 Jan. 29, 1921 188.72 105.83 437. 86 27.29 value of shares is changed by the issue of new Jan. 31, 1921 193. 76 104.46 432.50 26.75 shares by the company. A ratio is computed when the dividends on the shares of the com- Prices on the stock exchange have been on pany are paid, and the price of the shares is the whole very low during the month. This thus lowered. was especially true during the first half, but Following are the general index numbers there was some recovery in the last 10 days computed for the years 1919, 1920, and Janof the month. State bonds have been com- uary, 1921. The indexes for 1919 relate to 81 paratively firm, 3^ per cent consols being companies with a capital of 3,971,000,000 lire, quoted at about 72.80 at the beginning of the those for 1920 to 113 companies with a capital month and at 73.25 at the end, 5 per cent of 5,049,000,000 lire, and those for 1921 to 125 consols at 74 at the beginning of the month companies with a capital of 6,382,000,000 lire. Index numbers of securities prices. Decemc b e p e d r r i e n o - g f u J a a r n y - . ru F a e r b y - . March. April. May. June. July. August. te S m e b p e - r. O b c e t r o . - No b v e e r m . - De b c e e r m . year. 1919 100 99.10 105.53 106.96 101.91 108.11 110.02 105.19 100.97 100.34 96.02 96.43 99.49 Ratio 0.21 0.06 1 22 3 10 0.15 0.12 0.28 0.06 0.32 1920 100 102.75 106.81 106.97 1 106.49 105. 58 94.87 87.57 86.86 80.33 73.62 80.20 80.08 Ratio . 0.22 0.05 1.00 2.99 0.07 0.23 0.57 0.09 0.11 0.18 0.02 0.004 1921. 100 94.24 Ratio 0.25 These figures fixv ery definitely the beginning 99.49 8O08 . 94. 24 taking the product of „ ^ of the decline in securities prices as May of last 1QQ 1QQ 1QQ year and show that the fall in values continues it is apparent that prices of shares have been with certain oscillations. Contributing factors reduced by about 25 per cent between Decemin this situation are the general crisis being ber, 1918, and January, 1921. suffered by many industries, the serious labor It may be of some interest to show the variastrikes last summer, credit restrictions, difficul- tion of the price level of shares of different ties in the financial markets, and last but not groups of companies. In the next table are least the measure which requires the registration shown the index numbers for each group in of shares and other securities by the owner for December, 1919, December, 1920, and Janthe purpose of tax payments. By the adjust- uary, 192L ment of the chain index numbers (i. e. by ; Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 439 Index numbers of groups of securities prices. The extent of the monetary inflation is also clearly shown in the figures for banking opera- Decem- Decem- January, tions. In the next table are presented data ber, 1919 ber, 1920 1921 (percent- (percent- (percent- showing the condition of the three banks of age of age of age of issue at the end of last month as compared Decem- Decem- December, ber, ber, with earlier dates. The increase in the note 1918). 1919). 1920). circulation is due chiefly to the needs of the treasury. Bills discounted have increased in Banks 109. 36 94.34 98.39 Companies which formerly managed spite of efforts to restrict credit. Treasury railways ." 92.09 67.55 88.52 bills are also irregularly included in this item 1 (2.37) Transport by land. 85. 28 83.09 99.82 and account for part of the increase as they do Transport by sea.. 103.64 80.67 86.92 Cotton * 119. 84 114.95 96.90 in the case if ordinary advances also. Checks Jute 95.00 124.40 95.71 and other titles at sight have increased along Wool 104. 06 97. 51 100.92 i (0. 23) with the increase in the note circulation. The Linen and hemp. 121.76 122. 53 84. 74 i (5. 76) following table shows the trend of these items Silk 1.47.95 116.47 89.64 during the past year: 104.46 71.36 96.22 Mining companies. 1(1.40) i (0.16) Iron companies 87.93 53.96 87.26 i (0.60) Condition of three banks of issue. Machinery 90.23 61.09 91.27 Automobile factories.. 112.91 64.40 81. 27 [In millions of lire.] i (0. 32) Electric companies.. 93.95 72.04 100. 59 Chemical companies. 93.54 85. 80 93.86 Dis- Sugar companies 107. 23 101.57 94.55 Total counts Checks M O B W u t i a h s i t l c e e d e r r i l n l c a f g o n o o e m a o d n p u s d t a s u n l f a i f e n s s . d . . societies. 1 1 1 1 1 0 0 0 2 4 0 5 . . . . 2 0 7 6 8 7 6 4 1 9 9 2 5 4 4 . . . 3 7 7 6 7 1 1 i 1 1 9 9 0 0 ( ( 5 0 9 0 0 0 . . . . . . 1 5 3 1 5 8 3 8 7 3 8 8 ) ) n ( s l c S e a i o i v x t t r t i a c e c e o t u l s u e n o ) - - . f c I D o t o a u i l n s n y - t . s a O n d c a r e v r d s a y i . n - c o c t e r a r o n e i i n g u e d d f n n s i o t . - r s - t c i S u e e r s i - . - c I S r t d e a o u r d l n n y y i - t . s s t o a i i t t g a n h l t h e d e t s r . i (0.26) General index number.. 99.49 80.08 94.24 i (0. 004) 1 (0. 25) Dec. 31, 1919.. 16,281 2,044 1,575 908 349 1,903 June 30, 1920.. 17,817 3,931 2,853 985 368 654 1,621 i Ratio. July 31, 1920... 17,899 3,972 2,604 997 365 559 1,410 Aug. 31,1920.. 17,955 3,698 2,535 1,047 361 884 1,531 If the index numbers are adjusted, it is Sept. 30, 1920. 18,912 3,808 2,820 1,119 364 1,031 1,754 apparent that in the case of textile and mis- Oct. 31, 1920.. 19,301 4,099 2,983 994 365 720 1,572 Nov. 30, 1920.. 19,476 4,063 2,334 930 386 981 1,658 cellaneous companies alone, prices in January, Dec. 31,19201. 19,698 4,207 2,813 315 1,202 1,558 1921, were higher than in December, 1918. 1 For the Banco di Napoli are adopted the figures of the account of Bank, sugar, food, water, and building securi- December 20, that of December 31 not being yet available. ties are practically unchanged—while in the case of iron, mining, automobile, railway, mari- Of perhaps greater value, however, are the time, electrical, machinery, and chemical se- figures showing the condition of the four big curities prices are greatly depreciated. The joint-stock banks, which control the whole losses have been most serious in the machinery, banking situation. Banca Italiana de Sconto, iron, and automobile industries where the effects the Banca Commerciale, the Credito Italiano, of the business depression have been most severe. and the Banco di Roma have a combined During January, securities in these lines and capitalization of 1,077,000,000 lire and reserve also in the textile industry have depreciated funds of about 300,000,000 lire. Their inheavily. fluence was greatly increased during the last years of the war and since, and they now have During 1920 clearing-house returns have been very close connections with industries conconstantly on the increase as a result of the cerned with foreign as well as domestic trade. money and credit inflation. The following Since the war they have developed their figures give the aggregate transactions in foreign affiliations, especially in England, millions of lire: United States, France, and also in the Levant Clearing-house returns. and Central Europe. In the next table items [In millions of lire.J from the statements of the different banks 1913 65,622 1920—Continued. have been combined. 1917 165,181 June 56,920 The recent figures for bills of exchange and 1918 200,561 July 53, 338 treasury bills discounted and debits of cor- 1919 297,964 August 52,046 respondents show that there has been a certain 1920— September.... 48,317 January 30,376 October 57, 368 restriction of credit as a result of the economic February 37,067 November 52,750 crisis and the less speculative condition of March 42, 370 December 53,476 the market. The gradual growth in the item April 49,162 "credits of correspondents or deposits shows May 47,386 Total, 1920.... 580,576 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

440 FEDEKAL RESERVE BULLETIN". APRIL, 1921. that customers and correspondents are in- A very substantial improvement was made trusting larger and larger funds to the care of in the balance of trade during the first nine the banks. In studying the table, account months of 1920. In 1919 the excess of imports should be taken of the fact that in the autumn over exports reached a value of 8,724,500,000 there is a special pressure for funds. lire, while in 1920 this was reduced to 6,392,000,000 lire. Exports in August and Condition of four large joint-stock banks. September, 1920, however, were less than in [In millions of lire.] the same months of the previous year because of the crisis existing on the later date in many Discounts Debts Credits countries to which Italian commodities are t b u r a e i n r l a l y d s s . - va A n d c - es. S t e i c e u s r . i- s e p n o t n s d . - po D s e i - ts. s c e p o n o o r t n r f s e d . - - l s a e r n g t e . q L u u an x t u i r ti y e s g , o a od re s, e o sp f e w ci h a i l c ly h r I e t s a p ly o ns e i x v p e o t r o ts bad business conditions. As compared with 1919, imports of cereals, meats, and metals Dec. 31,1919. 7,335 667 279 4,910 2,561 9,466 June 30, 1920. 6,795 1,541 449 6,660 2,767 11,293 were greatly reduced in 1920, while imports July 31,1920.. 6,861 1,501 458 6,562 2,874 11,257 Aug.-31, 1920. 7,087 1,419 433 6,671 2,954 11,503 of oils, wool, silk, timber, vehicles, etc., Sept. 30, 1920. 7,231 1,507 518 6,915 2,969 11,855 increased. In the export trade the greatest Oct. 31, 1920.. 7,401 1,440 511 6,856 3,039 11,870 Nov. 30, 1920. 7,753 1,681 499 6,569 3,130 12,185 advance was made in hemp, cotton, silk, chemicals, metals and metal products, auto- Savings deposits have continually increased, mobiles, rubber products, vegetable products, partly because of monetary inflation, partly etc. Italy imports more goods from the also because of the persistent economic fore- United States than from any other country; sight of the Italian population. The follow- Great Britain, Argentina, and France are ing figures refer to the various types of deposits next in importance, but are far behind the in the different institutions (banks of issue, United States. Her exports go mainly to ordinary banks, peoples' and cooperative France, and to a less extent to Great Britain, banks, ordinary and post-office savings banks, Switzerland, and the United States. At etc.) and are given in millions of lire: present imports from Germany, Austria, and Czechoslovakia exceed exports to them. Miscellaneous bank deposits. No statistical data are yet available showing [In millions of lire.] maritime movement in 1920, but the data for June 30, 1914 7,595 June 30, 1915 7,056 the trade of the port of Genoa (the first harbor June 30, 1916 7, 902 of Italy) show a slight decrease as compared June 30, 1917 9, 539 with 1919. This decrease is due in part to June 30, 1918 12, 232 labor conflicts in many industries and to June 30, 1919 17, 436 June 30, 1920 20, 659 difficulties with maritime and dock workers. The volume of goods unloaded during 1920 Foreign trade figures are available only amounted to 4,415,904 metric tons; loaded, through September, 1920. The following data 600,359 tons. This shows a decrease as comare the preliminary figures for 1920 and are pared with 1919 of 789,321 tons unloaded and based on prices in 1919. They do not include an increase of 166,025 tons loaded, or a net precious metals nor the reexport trade and decrease in total trade of 623,296 metric tons. are given in thousands of lire: Of the goods unloaded, 1,667,953 tons were Foreign trade of Italy. coal (341,006 less than in 1919) and 2,747,851 [In thousands of lire.] were other goods (448,315 less than in 1919). Data showing industrial production in 1920 Exports. Imports. are scarce. The table following gives preliminary figures for the chief mineral products 1920 1919 1920 1919 (excluding the new territories annexed to the Kingdom after the war) for 1920 as compared January 497,165 260,190 1,001,501 1,060,993 with 1919 and 1913. February.. 616,019 301,326 1,140, 532 1,367,680 March 683, 401 366,529 1,431,443 1,656,059 In almost all cases these figures show a April 678,682 349,696 1,362,923 1,650,611 May 662, 234 357, 748 1, 401,144 1,363, 586 decrease in production in 1920 as compared June 752,154 483,729 2,076,303 1,431,173 with 1919 and especially as compared with July 521,490 431,643 1, 040,358 1,554,782 August 531, 940 548, 458 1,249, 376 872,056 1913. Great reductions, not yet known statis- September. 570,174 662,473 1,201,625 1,529,383 tically, have occurred also in the production Total to Sep- of metal manufactures. These poor results tember. ..... 5,513,259 3,761,793 11,905,200 12,486,325 are due to the frequent disturbances in the Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL, RESERVE BULLETIN. 441 works, the coal famine, the general crisis, the the general crisis set in, sales decreased and decrease in the per capita production, and prices and production declined. The retail chiefly to the great strike in the metal and trade was seriously affected. In the spinning machinery works last summer. At that time branch of the silk industry there are now 40,000 the factories were occupied for several weeks active basins (i. e., two-thirds the number by the workmen. Certain of the iron works active before the war). The adoption of the and machinery establishments have been 8-hour day has also further reduced total proclosed during the latter part of the year in duction in the industry. spite of the large demand for goods from the In the chemical industry, factories producing State railways. In many factories part-time fertilizer have been very active, although there work has prevailed or workmen have been dis- has been a shortage of certain raw materials. missed altogether. It would appear that the The chief producers in the industry have complant capacity in the iron industry had been bined into a single powerful organization, increased during the war to a point which is in which deals also in sulphur and pyrites. excess of post-war needs. Although the auto- The paper industry has also been very mobile industry did a large export business in active but suffers for want of cellulose and the early part of the year, this did not continue other raw materials. The distribution of through the later months. The Fiat Motor paper is controlled by the Government, but Car Co. has had considerable difficulty with the supply is small and prices high. labor. During the year surplus stocks of hides ac- Mineral production in Italy. cumulated during the war were disposed of, and imports of both hides and shoes decreased [Metric tons.] as compared with war years. One section of the industry has been engaged in producing 1920 1919 1913 so-called "national boots"; i. e., standard shoes to be sold at cheap prices to the working classes. Iron ore 423,300 465,655 603,116 Manganese ore 29, U0 30,841 1,622 Technically, the boot and shoe industry has Copper ore 6,360 16,653 89,487 been entirely reorganized as a result of the Lead ore 34,425 32,130 44,654 Zinc ore 73,180 65,629 158,278 war; handmade boots are a thing of the past P M y e r r i c t u es ry o m f i e ro ta n ll i a c nd copper 320, 8 9 0 00 0 372, 5 4 4 74 8 31 1 7 , , 0 3 0 3 4 4 and machine-made ones have taken their place. Coal and brown coal 1, 590,060 1,158,541 701,079 The rubber industry (and chiefly the branch Sulphur 293,000 255,316 406,406 Petroleum 4,750 4,851 6,572 of it manufacturing pneumatics for motor cars Graphite 4,190 7,626 11,145 and cycles) was very active during the first part of the year because of the activity of the The wool industry was active during the first automobile industry. Since then, however, it part of the year, but in the second half was has suffered seriously; sales have been reduced affected by the well-known phenomenon, the and serious strikes have occurred. American " buyer's strike," which caused a large reduction competition in this line is resented by Italian in sales and prices. The cotton industry has producers because of its effect upon the been active, reopening trade in many prewar domestic market. markets in the Balkans, the Levant, Egypt, There has been a certain amount of activity and certain colonies. The silk industry was in the building industry, because of the serious very active during the first half of the year shortage of houses, but costs are very high and as a result of large foreign" as well as do- the shortage persists in spite of the fact that mestic demand. Silk dresses were bought by various privileges have been granted by the all classes of the population in spite of the high Government to encourage building. prices. Sales were easily made and prices The hat industry (a characteristic Italian very high. As a result, 1920 production of trade) was active during 1920, although there cocoons was 30,000,000 kilograms greater than was a shortage of certain raw materials. The 1919 production. In May and June the export trade has greatly increased both for felt industry was adversely affected by the Japanese and straw hats, recovering its prewar position. crisis, but in July the industrial and commer- The activity of many industries has been cial situation improved, and sales were made seriously affected by the lack of coal, the in France and Switzerland at high prices. As imports of which have been very irregular. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

442 FEDERAL RESERVE BULLETIN. APRIL, 1921. PRICE MOVEMENT AND VOLUME OF TRADE—DOMESTIC AND FOREIGN. WHOLESALE PRICES IN THE UNITED The heaviest declines during February oc- STATES. curred in the raw materials group, practically all important commodities included in this Wholesale prices continued to decline in prac- group being affected, crude oil more drastically tically all important lines during February. than any other single commodity. The rate of decline for the month was 6 per The slight improvement noted last month in cent, or approximately the same as in January, the index number of goods imported did not according to the index numbers of the Bureau continue in February. The decline for the of Labor Statistics and of the Federal Reserve month, however, was very slight, and on the Board. This is a somewhat less rapid rate of whole there appears to be greater stability in decline than was registered in the last few the prices of this group of goods than of any months of 1920. other. According to the computation of the Bureau During the month revisions were received of Labor Statistics, based upon approximately for two commodities. The price quoted for 325 quotations, prices in February were 67 per woolen cloth in January was revised and quoted cent above prewar, while the index number of at a lower figure. Plug tobacco, climax the Federal Reserve Board, based upon the smooth, 14J ounces, has been permanently prices of 88 commodities, shows the level at substituted for plug tobacco, climax, 12 pieces that time as only 54 per cent above prewar. to the pound. As was stated above, both indexes agree as to the rate of decline during January and February. INDEX NUMBERS OF WHOLESALE PRICES IN UNITED STATES-CONSTRUCTED BY THE FEDERAL RESERVE BOARD FOR THE PURPOSE OF INTERNATIONAL COMPARISON. [Average price for 1913=100.] Date. pr G o o d o uc d e s d. im G p o o o rt d e s d. ex G p o o o rt d e s d. co G n o s o u d m s ed. mat R er a i w als. Pr g o o d o u d c s e . rs' Con go s o u d m s e . rs' m A o ll d c it o ie m s - . 1913. Average for the year 100 100 100 100 100 100 100 100 1919. Average for the year 209 174 214 206 209 198 207 206 1920. February , 244 216 252 242 242 247 240 242 March 250 218 256 247 246 263 241 248 April 265 242 264 263 263 274 257 263 May 266 246 262 264 263 274 261 264 June 260 226 256 257 258 265 255 258 July 253 208 248 249 249 251 250 250 August 238 182 229 234 237 235 229 234 September 231 164 211 227 233 225 218 226 October 213 142 181 211 211 209 203 208 November 195 127 163 193 192 190 187 190 December 178 112 146 176 176 171 171 173 1921. January 166 114 142 165 164 166 159 163 February 156 113 135 155 152 158 152 154 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL, RESERVE BULLETIN. 443 INDEXNUMBERS OF WHOLESALE PRICES IN THE UNITED STATESJ9I9-I32I. AVERA6E PRICE LEVEL OF 1913^100 Jill Commodities. Ooods imported * 300 280 260 240 220 200 180 J 160 140 120 100 80 60 40 20 1 0 i i i 1 l l .TCO 16 1913 .BEF ' \ \ \ \ \ % \ * 1i .TCO \ *•• —— i 1920 .MAJ I .RPA JtawMatericds. ffoducers'&oods. Consumers'Ooods. ,,, I1 y1 1 1 1921 .TPES / i i i 1 ISI9 .NAJ 300 280 260 *• 240 220 200 180 \ 160 140 120 100 80 60 40 1 20 0 1 1 I 1 1 1 1 i 11 i 1920 /s INDEX NUMBERS OF WHOLESALE PRICES IN THE UNITED STATES FOR PRINCIPAL CLASSES OF COMMODITIES-BUREAU OF LABOR STATISTICS: [Average price for 1913=100.] Raw materials. All commodities Year and month. Producers' Consumers' (Bureau of Farm Animal Forest Mineral Total raw goods. goods. t L is a ti b c o s r i n S d t e a x products. products. products. products. materials. number). July, 1914 102 106 97 91 99 93 103 100 February, 1915.. 116 95 94 92 100 96 104 101 February, 1916.. 115 106 96 114 109 125 111 112 February, 1917.. 159 145 100 191 153 168 154 156 February, 1918.. 243 177 131 172 185 184 194 187 February, 1919.. 224 210 148 175 194 192 205 197 February, 1920.. 278 206 315 194 240 246 256 248 July, 1920 287 184 359 256 258 251 272 263 August, 1920.... 259 181 351 265 251 238 250 250 September, 1920 232 186 344 277 248 224 240 242 October, 1920... 191 172 339 272 230 209 224 225 November, 1920. 170 159 289 246 205 193 214 207 December, 1920. 155 132 278 224 186 175 196 189 January, 1921... 155 119 245 220 175 169 182 178 February, 1921.. 145 114 227 207 165 161 171 167 In order to give a more concrete illustration figures for February of previous years. The of actual price movements, there are also actual average monthly prices shown in the presented in the following table monthly actual table have been abstracted from the records and relative figures for certain commodities of of the United States Bureau of Labor Staa basic character, covering the period July, tistics. 1920, to February, 1921, compared with like Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

444 FEDERAL RESERVE BULLETIN. APRIL, 1921. AVERAGE MONTHLY WHOLESALE PRICES OF COMMODITIES. [Average price for 1913—100.] Corn, No. 3, Cotton, middling, Wheat, No. 2, Cattle, steers, Hides, packers, Chicago. New Orleans. | re C d h w ic i a n g t o e . r, goo C d h t i o c a c g h o o . ice, st h e e e a r v s, y C n h a i t c i a v g e o. Year and month. p A b r u v ic e s e h r a p e g l e . e r p R t r i e i v l c e a e - . p A p r v o i e c u r e n a d p g . e e r R p t r e i i l v c a e e - . j p x b r \ i u y c e s e h r a p e g e l. e r p R t r i e i v c l e a e - . p A b r v u ic e s e h r a p e g l e . e r p R t r i e i v c l e a e - . p A p r o v ic u 1 e e 0 n r 0 a p d g e s e . r p R t r i e i v c l e a e - . p A p r v o ic e u e r n a p d g e . e r p R t r i e i v c l e a e - . July, 1914 $0.7044 114 $0.1331 105 SO. 8971 103 $0.8210 83 $9.2188 108 $0.1938 105 February, 1915... .7460 i 121 . 0S04 63 1. 5135 173 1.6091 163 8.1750 96 .2350 128 February, 1916... .7385 I 120 .1142 90 1.2825 147 1.25*5 128 8. 4688 100 .2375 129 February, 1917... 1.0053 j 163 . 170X. 134 1.8080 207 1. 7969 182 i 11.1313 131 .3175 173 February, 1918... 1.6375 | 266 .3097 244 2.1700 248 2.1700 220 13.0750 154 .2925 159 February, 1919... 1.2763 ; 207 .2694 212 2.2350 256 2.3450 238 18.4688 217 .2800 152 February, 1920... 1.4125 i 229 .3944 311 2.6875 308 2.4900 252 14.9688 176 . 4025 219 July. 1920 1.5388 I 250 . 3950 311 2. 8313 324 2.8050 284 15. 3813 181 .2944 160 August. 1920 1.5310 i 249 . 3380 266 2. 5500 292 2.4735 251 15.3500 180 .2850 155 September, 1920. 1.2938 ' 210 .2706 213 2.4903 285 2.4919 253 15.2500 179 .2840 154 October, 1920.... .8778 143 I .2088 164 2.1063 241 2. 2047 224 14. 6875 173 . 2550 139 November, 1920.. .8003 ! 130 ! .1780 140 1.7528 201 2.0570 209 14.5750 171 .2325 126 December, 1920.. .7341 I 119 .1444 114 1.6809 192 2.0125 204 12.0938 142 .1900 103 January, 1921 .6553 ! 106 i . 1450 114 1. 7884 205 1.9613 199 9. 8400 116 .1675 91 February, 1921... .6350 i 103 | .1332 105 1.6713 191 1.9194 195 9.3125 109 .1363 74 H C og h s i , c a li g g o h . t, g e W r a a s d o t e o e s l r , , n s O c m o h u a io r r , e k £ d e - , t f s in . Hem Y lo o c r k k , . New Y N e f e l l l w o o o w r Y i n p o g i r , n k e . , s C to o v a t e l i , d , a N e n w e t w h at r e a Y r c . o it r e k , , Co r a C u l, n i n b o c it i f u n m n m a i i n t n i e . o , us, Year and month. p A r v ic e e r a p g e e r R ti e v l e a- p A r v ic e e r a p g e e r R ti e v l e a- p A r v ic e e r a p g e e r R t e i l v a e - p A r v ic e e r a p g e e r R ti e v l e a- p A r v ic e e r a p g e e r R ti e v l e a- p A r v ic e e r a p g e e r R ti e v l e apou 10 n 0 ds. price. pound. price. Mfeet. price. M feet. price. long ton. price. s t h o o n r . t price. July, 1914 $8.7563 104 $0.4444 94 $24.5000 101 $42.0000 94 $4.9726 $2.2000 100 February, 1915... 6.7281 80 . 5429 115 24.2500 100 41.0000 92 5.1866 102 2.2000 100 February, 1916... 8.1375 96 .6571 140 22.2500 92 40. 0000 90 5.2588 104 2.2000 100 February, 1917... 12.2063 I 144 .8286 176 25.5000 105 41.5000 93 5.6826 112 5.0000 227 February, 1918... 16.6938 197 1.4545 309 30.5000 126 57.0000 128 6. 5000 128 3.6000 164 February, 1919... 17. 4688 207 1.0909 232 36.0000 149 64. 0000 144 7.9500 157 4.0000 182 February, 1920... 14.9813 177 I 1.2364 263 57.0000 235 139.0000 312 8.4118 166 4.1000 186 July, 1920 15. 8875 188 | .9091 193 57.0000 235 160.0000 359 '9.4580 187 6.0000 273 August, 1920 15. 7350 185 ! . 8727 185 57.0000 235 157. 0000 352 "9.6087 190 6.0000 273 September, 1920. 17.0688 202 ! .8364 178 57.0000 235 157. 0000 352 10. 4363 206 7.1000 323 October, 1920 14.7875 175 .7273 154 57.0000 235 152. 0000 341 10.4732 207 7.1000 323 November, 1920.. 12.1400 144 .6909 147 57.0000 235 124. 5000 279 10.5417 7.1000 323 December, 1920.. 9. 6625 114 .5455 116 57.0000 235 124. 5000 279 10.5479 7.1000 323 January, 1921 9.6700 114 .5455 116 0000 198 110. 0000 247 10.6373 210 5.6000 255 February, 1921... 9.7063 115 . 5455 116 0000 198 95.0000 213 10.6382 210 5.1000 232 C t o as a , l , N Po o c rf a o h l o k. n- Coke, v C il o le n . nells- C e N o l p e e p c w t e r r o Y , l i y o n t r g i k c o . , t, d N L e e s e i w a lv d e Y , r p i o z i r g e k , d . , Pe P t e r n o a n l t e s w u y m e lv l , l a s c n . r i u a d , e, Pi a g t i f r u o r n n , a b c a e s s i . c, Year and month. Average Rela- Average Rela- Average Rela- Average Rela- Average Rela- Average Relaprice per tive price per tive price per tive price per tive price per tive price per tive long ton. price. short ton. price. pound. price. pound. price. barrel. price. long ton. price. July, 1914 S3.0000 100 $1. 8750 77 $0.1340 85 SO. 0390 SI. 7500 71 $13.0000 February, 1915.. 2. 8500 95 1. 5750 65 .1475 94 .0380 86 1. 5000 61 12.5000 85 February, 1916.. 3. 0000 100 2.6250 108 . 2538 161 .0610 139 2.3500 96 17.6900 120 February, 1917.. 6.5000 217 7. 5000 307 .3300 210 . 0850 193 3.0500 124 30. 0000 204 February, 1918.. 4. 4120 147 6. 0000 246 .2350 149 .0706 160 3.9375 161 33. 0000 224 February, 1919.. 4.6320 154 5.2188 214 .1731 110 .0508 115 4.0000 163 30.0000 204 February, 1920.. 4. 6320 154 6.0000 216 .1906 121 .0881 200 5.5125 225 42.2500 287 July, 1920 6.4800 216 14.3750 589 .1900 121 .0860 195 6.1000 249 45. 7500 311 August, 1920 6. 4800 216 15. 5500 637 .1900 121 .0898 204 6.1000 249 48.1000 327 September, 1920. 7. 2800 243 15. 3125 628 .1869 119 .0816 185 6.1000 249 48. 5000 330 October, 1920 7. 2800 243 14. 3125 587 .1675 106 .0731 1G6 6.1000 249 43. 7500 298 November, 1920. 7. 2800 243 8. 8500 363 .1455 92 .0628 143 6.1000 249 36. 5000 248 December, 1920.. 7. 2800 243 6.2375 256 .1369 87 .0478 109 6.1000 249 33.0000 224 January, 1921 7. 2800 243 5. 5313 227 .1288 82 .0497 113 5.7750 236 30.0000 204 February, 1921.. 7. 2800 243 5.1875 213 .1288 82 .0468 106 4.1875 171 27.5000 187 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL, RESERVE BULLETIN. 445 AVERAGE MONTHLY WHOLESALE PRICES OF COMMODITIES—Continued. [Average price for 1913=100.] Cotton yarns, Leather, sole, Steel billets, Steel plates, Steel rails, Worsted yarns, northern cones, hemlock, No. 1, in Bessemer, tank, Pitts- open hearth, 2-32's cross- 171. general market. Pittsburgh. burgh. Pittsburgh. bred. Year and month. Average Rela- Average Rela- Average j Rela- Average Rela- Average Rela- Average Relaprice per tive price per tive price per I tive price per tive price per tive price per tive pound. price. pound. price. long ton. price. pound. price. long ton. price. pound. price. July, 1914 SO. 2150 97 $0.3050 108 $19.0000 74 $0.0113 76 $30.0000 100 $0.6500 84 February, 1915. .1650 75 19.5000 76 .0110 74 30.0000 100 .6200 80 February, 1916. . 2250 102 . 3250 115 33.5000 130 .0225 152 30. 00 0 100 .8800 115 February, 1917. .3200 149 .5800 206 65.0000 252 .0438 293 40.0000 133 1.2500 161 February, 1918. . 5536 250 .4900 174 47. 5000 184 . 0325 220 57.0000 190 2.0071 258 February, 1919. . 4164 188 .4900 174 43. 5000 169 .0300 203 57.0000 190 1.7000 219 February, 1920. .7465 337 .5700 202 55. 2500 214 . 0350 236 54. 5000 182 2.2500 290 July, 1920 . 7009 317 .5700 202 62.5000 242 . 0338 228 54. 5000 182 1.7500 225 August, 1920.... .6310 285 .5500 195 61.0000 237 . 0325 220 54. 5000 182 1. 7500 225 September, 1920 .5429 245 .5100 181 58. 7500 228 .0325 220 54. 5000 182 i.eooo 206 October, 1920... .4343 196 .4900 174 55.0000 213 .0309 209 54. 5000 182 1. 5000 193 November, 1920. . 3695 167 .4700 167 49. 7000 193 .0281 190 54.5000 182 1.3000 167 December, 1920. .3108 140 .4100 145 43. 5000 169 . 0265 179 50. 5000 108 1.1000 142 January, 1921... .2878 130 .4000 142 43.5000 j 169 .0265 179 47.0000 157 1.1500 148 February, 1921. .2775 125 .3800 135 42. 2500 164 I . 0233 157 47.0000 157 1.1500 148 Flour, wheat, st B e g e e o e r o s f d , , c C n a a h r t i c c i a v a s e g s o , . Coff N e e e w , R Y i o o r , k N . o. 7,st ( a 19 n 1 d 8 a w , r s d a t r a p ) n , a d te a n rd ts Ham C s h , ic s a m g o o. ked, Il 1 l N 5 u 0 e m ° w i n fi a Y r t o e i r n t k g e . s o t i , l, g N r e a S w n u u g Y l a a o r t r , e k d . , Year and month. Minneapolis. | Average j Rela- Average Rela- Average Rela- Average Rela- Average Rela- Average ) Rela- I price per j tive price per tive priee per tive price per tive price per tive price per tive ! pound, price. pound. price. barrel, i price. pound, price. gallon. price, pound, price. July, 1914 $0.0882 79 $4.5938 100 $0.1769 106 $0.1200 97 $0.0420 February, 1915.. .0825 74 7. 7063 168 . 1525 92 .1200 97 .0554 130 February, 1916.. .0825 74 6. 4400 140 .1675 101 .1300 105 .0597 140 February, 1917.. .1000 90 9.0688 198 .2113 127 .1200 97 .0686 161 February, 1918.. .0833 75 10.3000 225 .2984 180 .1600 130 .0730 171 February, 1919.. .1544 139 10. 5500 230 . 3338 201 .1750 142 .0882 207 February, 1920.. .1478 133 13. 5375 295 . 3056 184 . 2400 195 .1495 350 July, 1920 .1306 117 13.6688 298 .3769 227 .2600 211 .1910 447 August, 1920.... . 0936 84 12. 2350 267 . 3725 224 .2600 211 .1490 349 September, 1920 . 0819 74 12.5938 275 .3634 219 . 2750 223 .1426 334 October, 1920... .0759 68 11.2063 244 .3575 215 . 2900 235 .1078 252 November, 1920. .0746 67 9. 2950 203 .3065 184 .2900 235 .0962 225 December, 1920. . 0656 59 8. 9438 195 . 2575 155 .2900 235 .0809 189 January, 1921... .0669 60 9.6250 210 .2488 150 .2900 235 .0757 177 February, 1921.. .0672 60 9.1813 200 .2600 156 .2750 223 ,0709 166 FOREIGN TRADE INDEX. crude; wood pulp: (a) mechanically ground, (6) chemically treated—(1) bleached, (2) un- There is presented below a series of indexes bleached. designed to reflect movements in foreign trade of the United States, with fluctuations due to Consumers' goods.—Cocoa, crude. price changes eliminated. The commodities Total imports, after a slight increase during chosen for these indexes are those for which January, showed a very large increase during prices are compiled by the Federal Reserve February, 1921. This increase was noted in Board in the preparation of its international every class of imports, the increase in raw maprice index. The list includes 25 of the most terials being the most noticeable. The imports important imports, the value of which in 1913 of raw wool showed the most decided increase. formed 47.7 per cent of the total import They were more than twice the amount imvalues, and 29 of the most important exports, ported during January, which was in turn conthe value of which in 1913 formed 56.3 per siderably greater than the amount imported cent of the total export values. The classifi- during December, 1920. The increase in the cation of the original list of commodities used imports of producers' goods was influenced conwas given in the July, 1920, BULLETIN. The siderably by the large increase in the imports following is the classification of the 11 addi- of cane sugar, which showed such a decided fall tional commodities of imports given in the during January but a remarkable recovery in October, 1920, BULLETIN: February. Total exports on the other hand Raw materials.—Flaxseed; copper; pulp showed a decrease, each class of exports sharing wood; total leaf tobacco. in the decrease, with the largest portion falling Producers1 goods.—Manila; jute and jute upon producers' goods. butts; paper; extract of quebracho; glycerin, Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

446 FEDERAL RESERVE BULLETIN. APRIL, 1921. VALUE OF EXPORTS AND IMPORTS OF SELECTED COMMODITIES AT 1913 PRICES. [In thousands of dollars; i. e., 000 omitted.] [Monthly average values, 1913=100.] Exports. Imports. Raw materials Producers' Consumers' Grand total Raw materials Producers' Consumers' Grand total (12 commodi- goods (10 com-goods (7 com-exports (29 com- (10 commodi- goods (12 com-goods (3 com-imports 25 comties). modities). modities). modities). ties). modities). modities). modities). Index Index Index Index Index Index Index Index Value. num- Value. num- Value. num- Value. num- Value. num- Value. num- Value. num- Value. number. ber. ber. ber. ber. ber. ber. ber. 1913. January 100,027 116.8 11,762 101.4 30,715 100.9 142,504 111.6 61,347 121.9 40,107 108.3 14,219 108.0 115,'673 115.1 February... 71,074 83.0 12.266 105.8 30,790 101.2 114,130 89.4 55,332 110.0 41,060 110.9 14,335 108.9 110,727 110.1 March 61,631 72.0 11,836 102.1 2S,693 94.3 102,215 80.1 55,555 110.4 45,753 123.6 13,378 101.6 114,686 114.1 April 71,446 83.0 14,128 121.8 23,708 94.3 114,282 89.5 52,271 103.9 42,346 114.4 10,896 82.7 105,513 104.9 May 6VS56 80.4 11,661 100.6 29,923 93.3 110,440 86.5 50,039 99.5 3 i, 409 103.7 7,718 58.6 96,216 95.7 June 46,963 54.8 11,612 100.1 28,242 92.8 86,817 68.0 40,822 81.1 38,606 104.3 8,382 63.7 87,810 87.3 July 51,325 59.9 11,109 95.8 27,686 91.0 90,120 70.6 40,298 80.1 35,990 97.2 9,698 73.6 85,986 85.4 August 74,869 87.4 11,547 99.5 29,370 96.5 115,786 90.7 42,470 84.4 37,385 101.0 11,078 84.1 90,933 90.4 September.. 103,614 120.9 10,622 91.6 32,190 105.8 146,426 114.7 52,659 104.6 41,184 111.2 15,883 120.6 109,726 109.2 October 137,772 160.9 12,608 108.7 34,612 113.8 184,992 144.9 44,407 88.2 22,721 61.4 15,929 121.0 83.057 82.6 No member.. 126,836 148.1 9,987 86.1 31,246 102.7 168,069 131.6 48,107 95.6 23,788 77.8 15,059 114.4 91,954 91.5 December.. 113,326 132.3 10,053 86.7 33,089 108.7 156,468 122.5 60,904 121.0 31,929 86.2 21,446 162.9 114,279 113.7 Year..1,027,789 100.0 139,191 100.0 365,269 100.0 1,532,249 100.0 604,261 100.0 444,278 100.0 158,021 100.0 1,206,560 100.0 1919. January 84,066 98.2 18.444 159.0 56,748 186.4 159,258 124.7 44,552 88.5 53,071 143.3 14,434 108.1 112,057 111.4 February... 58,488 68.3 14,598 125.9 53,338 175.2 126,424 99.0 47,774 94.9 66,708 180.2 14,230 109.6 128,712 128.0 March 57,659 67.3 16,161 139.3 6^,585 202.3 135,405 106.1 54,947 109.2 82,546 223.0 25,223 191.6 162,716 161.8 April 65,112 76.0 19,356 166.9 80,639 264.9 165,107 129.3 63,385 125.9 88,017 237.7 18,869 143.3 170,271 169.3 May 67,595 78.9 15,972 137.7 58,731 192.9 142,298 111.4 81,274 161.4 89,890 242.8 24,861 188.8 196,025 195.0 June 93,335 114.8 23,618 247.1 98; 088 315.1 223,041 174.7 86,256 171.4 61,886 167.2 18,512 140.6 166,654 165.7 July 71,917 84.0 17,150 147.9 52,553 172.7 141,620 110.9 86,443 171.7 77,401 209.1 29,492 224.0 193,336 192.3 August 81,250 94.9 19,574 168.8 49,194 161.6 150,018 117.5 85,571 169.9 42,132 113.8 2), 953 159.1 148,656 147.8 September.. 70,2*5 82.1 19,359 166.9 43,342 142.4 132,986 104.1 123,524 245.3 70,033 189.2 25,240 191.7 218,797 217.6 October 70,322 82.1 17,182 148.1 45,844 150.6 133,348 104.4 99,114 196.8 74,736 201.9 20,386 154.8 194,236 193.2 November.. 99,552 116.2 15,735 135.7 46,729 153.5 162,016 126.9 98,690 196.1 79,198 213.9 21,254 161.4 199,142 198.1 December.. 89,584 104.6 13,208 113.9 43,571 143.1 146,363 114.6 79,965 158.9 71,886 194.2 21,521 163.4 173,372 172.4 Year.. 914,165 88.9 215,357 154.7 688,362 188.5 1,817,884 118.6 951,495 157.5 857,504 193.0 254,975 161.4 2,063,974 171.1 1920. January 93,142 108.7 15,647 134.9 35,3 7 116.2 144,166 112.9 103,782 206.1 90,633 244.8 24,062 182.7 218,477 217.3 February.. . 70,150 81.9 14,201 122.4 41,645 136.8 125,996 98.7 87,210 173.2 107,162 289.5 19,936 151.4 214,308 213.1 March 90,805 106.0 17,279 149.0 56,428 185.4 164,512 128.9 97,039 192.8 125,496 339.0 25,999 197.4 248,534 247.2 April 6 *, 048 79.4 17,063 147.1 51,639 169.8 136,800 107.1 87,588 174.0 97,187 262.5 29,076 220.8 213,851 212.7 May 63,650 74.3 17,546 151.3 62,457 205.2 143,653 112.5 64,177 127.5 84,134 227.2 14,887 113.1 163,198 162.3 June 55,230 64.5 14.663 126.4 46,113 151.5 115,976 90.8 75,225 149.5 95,699 258.5 21,463 163.0 192,387 191.8 July... 6Q, 924 78.1 19,138 165.0 43,325 142.4 129,387 101.3 60,942 121.0 93,910 253.7 24,562 186.5 179,414 178.1 A ugust 67,225 78.5 15,708 135.4 23,594 94.0 111,527 87.3 61,321 121.8 94,866 256.2 22,624 171.8 178,811 177.6 September.. 70,699 82.5 13,383 119.7 23,599 94.0 113,181 83.6 51,388 102.1 61,163 165.2 17,226 130.8 129,777 129.0 October 101,708 118.7 17,649 152.2 37,859 124.4 157,216 123.1 44,866 89.1 48,683 131.5 17,613 133.8 111,162 110.0 November.. 95,148 111.1 14,123 121.8 33,996 111.7 143,267 112.2 43,436 86.3 61,590 166.4 14,610 111.0 119,636 119.0 December.. 104,823 122.4 21,577 186.0 37,536 123.3 163,941 128.4 39,963 79.4 49,239 133.0 13,401 101.8 102,603 102.0 Year.. 947,527 92.2 198,477 142.6 503,618 137.9 1,649,622 107.7 816,937 135.2 1,009,762 227.3 245,459 155.3 2,072,158 171.7 1921. Janu ry 90,063 105.2 21,797 187.9 33,356 126.0 150,216 117.6 37,523 74.5 48,442 130.8 19,288 146.5 105,253 104.7 Feoruary... 77,922 91.0 16,349 141.0 35,433 116.4 129,704 101.6 59,514 118.2 53,111 143.5 21,179 160.8 133,804 133. 1 PHYSICAL VOLUME OF TRADE. In continuation of tables in the March, 1921, 1920. While receipts of horses and mules dur- FEDERAL RESERVE BULLETIN there are pre- ing February, 1921, showed a slight increase sented in the following tables certain data over January, a decline was noted in the case relative to the physical volume of trade. The of cattle and calves, hogs, and sheep. Febru- January, 1919, issue contains a description of ary, 1921, receipts of hogs and sheep were the methods employed in the compilation of the slightly greater than during February, 1920. data and the construction of the accompany- Shipments of stockers and feeders from 34 ing index numbers. In this issue a series is markets during February continued to deincluded covering animals slaughtered under cline, being considerably smaller than for Federal inspection. both January, 1921, and February, 1920. February receipts of live stock at 15 western Receipts of grain at 17 interior centers showed markets declined from the January figure, but a very large seasonal decline during February, were slightly above the figure for February, and were somewhat smaller than the receipts Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 447 during February, 1920. Receipts of flour in- The textile industry showed some favorable creased over the low figure of January, 1921, signs of recovery from the depression which but were considerably less than the figure for had been noticeable during the past few February, 1920. When grain and flour were months. Cotton consumption during Februcombined a considerable decrease from Janu- ary again showed a large increase over January, ary, 1921, and a slight decrease from Febru- 1921, but was still considerably under the conary, 1920, was noted. Stocks of grain at 11 sumption for February, 1920. The number of interior centers at the close of February showed cotton spindles active during the month also a considerable increase over January, 1921, showed a noticeable increase, but was likewise but were still under the figure for February, considerably smaller than the number active 1920. The largest increase is noted in the during February, 1920. The increased activcase of corn. February wheat flour produc- ity in the woolen industry was noted from the tion was considerably lower than both January, fact that both the percentage of idle wool 1921, and February, 1920. February cotton machinery on the first of the month to the sight receipts registered a very large drop total reported, and the percentage of idle from the January receipts, and the seasonal hours on the first of the month to the total decrease was considerably greater than a year reported, in every class of machinery showed a ago. While stocks at ports and interior towns considerable decrease from the previous month. at the close of February decreased very slightly Imports of raw silk during February, 1921, from January, the increase over Feoruary a showed an exceedingly large increase, being year ago indicates the light exports of this more than three times the amount imported season. The February takings of the American during January, but were still considerably spinners showed a large decrease from the less than the amount imported during Feb- January figure and a slight decrease from the ruary, 1920. figure for February, 1920. Both receipts and shipments of lumber at The production of bituminous coal during Chicago and St. Louis during March showed a February again showed a very large decrease slight decrease from February, 1921, and were from January, 1921, and February, 1920. considerably smaller than the receipts and While the production of anthracite coal for shipments during March, 1920. February prothis month showed a very large decrease from duction of southern pine, Douglas fir, and January, 1921, the figure was considerably North Carolina pine showed increases over larger than the production during February, January, 1921, but in each case the production 1920. Although crude petroleum produc- was less than during February, 1920. The tion during February, 1921, was considerably production of western pine and eastern white greater than the production during February, pine showed a very slight decrease from Jan- 1920, it fell off considerably from the produc- uary, 1921, but was considerably less than tion during January, 1921. Pig-iron produc- during February, 1920. Receipts and melttion during March continued its decline, being ings of raw sugar at North Atlantic ports duronly about 50 per cent of the amount produced ing February, 1921, were considerably larger during March, 1920. The average daily pro- than during January, 1921, but were less than duction of pig iron for March was the smallest during February, 1920. Raw stocks of sugar figure reported since 1914 shortly after the at the close of February at these ports were outbreak of the war. The March average considerably larger than during January, 1921, daily production figure of 51,468 tons declined and slightly larger than during February, 1920. from 69,187 tons during February and 108,900 California shipments of citrus fruits showed a tons during March, 1920. The decline in pig- very slight increase over January, 1921, and a iron production has been followed very closely very large increase over February, 1920. by tne decline in steel-ingot production, which Shipments of deciduous fruits showed a slight was only about 50 per cent of the March, decline from January, 1921, and a consider- 1920, production. The further decrease in able decline from February, 1920. the unfilled orders of the United States Steel The tonnage of vessels cleared during Feb- Corporation at the close of March, 1921, TUSLTJ decreased from the January, 1921, figure, paralleled steel-ingot and pig-iron production, but was considerably above the figure for Febbeing slightly less than 50 per cent of the un- ruary, 1920. filled orders at the close of March, 1920. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

448 FEDERAL RESERVE BULLETIN. APRIL, 1921. MOVEMENT 01sr >ucvs COAL AND PETROLEUM AGRICULTURAL PROL 1919-1921 1919-192! &veStodC Siec&pts —— Jtnthracttt CbalSrodebction, • —. —- Grain a/ulSlcHzrJiecetipts ——^JBitumincmsCbatfhductwn,——— —• Cotton, SightReceipts CradeSktroUumSkxljuctMns INDEXNUMBEFS. AVERA6E fill IIWEXJWMBERS. AV£RA6E M-1313 =100. 200 200 200 A 200 h y •' V ISO 180 180 180 r V i 160 fjk i 160 160 V ••* 160 4 M 12 O 0 \ I i r u ; » l \ i I n t hi P. 1 M 2 O 0 H 12 O 0 / / 1 I i t V /' % I M 2G O 100 \ 1 1? W fOO\ h - f I! U J V I 100 80 tv' SO 80 s; I SO v § XI 60 t 60 60 ti 60 / ; X 1 40 40 40 40 y -I T • 20 20 20 20 - 0 0 0 0 1919 1920 192/ 1919 1320 1921 IROn AND STEEL TEXTILES 1919-1321 1919-f921. ——»S%g Iwn&oductiorv • SteelLngotfrcdtictijon/———> —*- Wool Consumption—— ••"•UnfiUedOrderSjUSSt^CorpdTutMfi MDEXNUMBERS. AVERA6E!91hI9I3 =100. MILLIONS OF POUNDS / \ JCC/ 200 260 L A ly \A { ^(50 V 260 f £»0 180 00 Vj /y \ 240 f 240 160 £0 220 \ 220 s / 140 -4 #0 200 200 \ 180 \I 180 120 y , A 120 160 1 160 W V f L_ 100 (40 140 720 -120 SO 1 80 100 W 60 60 SO dO 40 40 60 \^\ 60 40 / \ \ 40 20 20 V 20 20 0 0 0 0 1919 1920 1921 1919 1920 1921 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 449 LIVE-STOCK MOVEMENTS. [Bureau of Markets.] Receipts. Shipments. i ! I C c m a a t l a t v l r e e k s a e , t n 5 s d 9 . H m o a g r s k , e 5 ts 9 . S m h a e r e k p et ,5 s. 9 H m m o u a r l r s e k e s e s , t a 4 s. n 3 d To k t i a n l d , s a . ll C c m a a a l t v t r l e k e s e , a t 5 s n . 4 d m H a o r g k s e , t 5 s 4 . S m h a e r e k p e , t 5 s. 4 H m m o u a r l s r e k e s s e , t a 4 s n . 3 d To k t i a n l d , s a . ll 1920. Head. Head. Head. Head. Head. Head. Head. Head. Head. Head. February 1,462,659 3,378,816 1,386,728 108,056 6,336,259 592,159 1,287,529 577,712 110,827 2,568,227 July 1,657,743 2,837,685 2,000,758 35,668 6,531,854 721,328 1,095,470 1,015,612 37,152 2,869,562 August 1,952,086 2,516,240 2,561,661 73,423 7,103,410 869,849 953,088 1,459,150 69,971 3,352,058 September.. 2,279,345 2,435,589 2,826,693 57,468 7,599,095 1,079,170 931,261 1,581,680 60,414 3,652,525 October 2,196,939 2,826,277 2,945,709 38,657 8,007,582 1,159,459 1,064,175 1,932,083 37,994 4,193,711 November.. 2,403,990 3,862,243 2,419,596 22,477 8,708,306 1,148,861 1,394,347 1,474,299 22,963 4,040,470 December.. 1,382,995 4,186,261 1,546,876 16,118 7,132,250 647,801 1,516,893 704,760 17,030 2,886,484 1921. January 1,629,994 4,654,560 1,769,155 34,712 8,088,421 602,320 1,637,902 681,987 34,572 2,956,781 February 1,174,611 3,951,971 1,501,902 41,212 456,471 1,346,092 590,487 40,611 2,433,661 RECEIPTS AND SHIPMENTS OF LIVE STOCK AT 15 WESTERN MARKETS. [Chicago, Kansas City, Oklahoma City, Omaha, East St. Louis, St. Joseph, St. Paul, Sioux City, Cincinnati, Cleveland, Denver, Fort Worth Indianapolis, Louisville, Wichita. Monthly average, 1911-1913=100.] RECEIPTS. Cattle and calves. Hogs. Sheep. Horses and mules. Total, all kinds. Head. Relative. Head. Relative. Head. Relative. Head. Relative. Head. Relative. 1920. February 1,062,381 109 2,394,978 113 947,733 72 75,488 170 4,480,580 100 July 1,188,019 118 2,115,639 96 1,301,458 95 26,257 57 4,631,373 100 August 1,459,565 145 1,818,245 83 1,688,719 124 55,371 120 5,021,900 109 September 1,736,009 172 1,597,622 73 1,893,312 139 38,950 85 5,265,893 114 October 1,628,564 162 1,836,748 84 1,865,330 136 24,716 54 5,355,358 116 November 1,781,261 177 2,624,185 119 1,542,477 113 12,149 26 5,960,072 129 December 984,309 98 2,932,052 133 942,858 69 9,290 20 4,868,509 105 1921. January 1,191,814 118 3,339,419 152 1,112,024 81 24,158 52 5,667,415 123 February 835,686 89 2,902,107 141 972,647 76 27,111 63 4,737,551 110 SHIPMENTS. 1920. February 428,076 109 814,613 174 339,090 70 78,540 198 1,660,319 120 July 508,199 125 737,923 152 644,557 128 27,728 68 1,918,407 134 August 640,295 157 627,670 130 899,342 179 52,163 127 2,219,470 155 September... 819,371 202 540,812 112 1,027,510 204 40,890 100 2,428,583 169 October 866,327 213 584,742 121 1,192,912 237 24,051 59 2,668,032 186 November... 810,284 199 784,468 162 952,159 189 12,782 31 2,559,693 178 December... 472,748 116 943,515 195 384,646 76 10,201 25 1,811,110 126 1921. January 426,887 105 1,078,679 223 316,068 63 24,463 60 1,846,097 129 February 334,113 88 869,718 192 324,311 69 26,495 69 1,554,637 116 SHIPMENTS OF STOCKERS AND FEEDERS FROM 34 MARKETS. I Cattle and Total, all Cattle and Total, all calves Sheep. kinds. calves. kinds. 1920. Head. Head. Head. I Head. 1920, Head. Head. Head. Head. February 237,225 79,479 140,138 456,842 November... 545,802 52,699 855,545 1,454,046 December 277,053 36,827 258,599 572,479 July 209,563 25,711 322,867 i 558,141 August 273,512 34,415 567,429 i 875,356 1921 September 473,652 44,340 789,387 1,307,379 January 202,926 41,892 332,907 October 571,025 59,123 1,055,237 1,685,385 February 164,504 49,229 61,508 275,241 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

450 FEDERAL RESERVE BULLETIN. APRIL, 1921. ANIMALS SLAUGHTERED UNDER FEDERAL INSPECTION. [Bureau of Animal Industry. Monthly average, 1911-1913=100.] Cattle. Calves. Hogs. Sheep. Total. Rela- Rela- Rela- Rela- Rela- Head. tive. Head. tive. Head. tive. Head. tive. Head. tive. 1918. January 895,275 148 210,444 119 960,892 141 779,934 5,846,545 122 February... 784,834 139 192,769 117 998,084 152 655,015 5,630,702 126 March 828,216 136 259,854 147 925,986 139 735,595 5,749,651 120 April 914,899 151 351,387 199 290,489 117 613,814 5,170,589 108 May 781,755 129 357,353 202 092,325 110 659,063 4,890,496 102 June 829,690 137 312,171 i 177 782,792 99 737,298 4,661,951 97 July 1,019,982 168 354,721 201 910,491 104 869,403 5,184,597 108 August 987,237 163 273,597 155 283,083 81 936,683 4,480,600 93 September.. 1,142,754 188 316,816 i 179 980,008 70 1,028,615 i; 468,223 93 October 1.251,Oil 206 306,096 j 173 018,084 107 1,194,208 5,769,429 120 N ovemebr.. I!233,081 203 272,066 154 280,126 152 1,139,292 6,924,565 144 December.. 1,159,785 191 249,109 141 661,890 201 970,927 8,041,711 167 Year.. 11,828,549 162 3,456,383 j 163 | 41,214,250 122 10,319,877 66,819,059 116 1919. January 1,119,200 184 294,812 i 167 5,845,696 208 1,003,880 83 8,263,588 172 February... 701,353 124 209,834 127 4,266,317 162 753,940 67 5,931,444 132 March 640,288 105 295,388 167 3,443,330 122 737,836 61 5,116,842 106 April 622,123 103 383,414 217 3,207,671 114 807,766 67 5,020,974 104 May 720,684 119 391,304 221 3,7^3,463 133 894,324 74 5,7*9,775 120 June 644,463 106 327,060 185 3,728,230 132 931,466 77 5,631,219 117 July 854,797 141 399,966 226 2,884,325 102 1,160,470 96 5,299,558 110 August 859,409 142 318,769 180 1,949,413 69 1,233,883 102 4,361,474 91 September., 855,192 141 317,984 180 1,997,149 71 1,291,979 107 4,462,304 93 October 1,073,220 177 374,619 212 2,685,711 95 1,413,805 117 5,547,355 115 November.. l,0i0,074 171 344,238 195 3,270,172 116 1,227,191 102 5,881,675 122 December.. 960,181 158 311.639 176 4,790,353 170 1,231,577 102 7,296,750 152 Year. 10,090,984 139 3,969,027 | 187 41,811,830 124 12,691,117 68,562,958 119 1920. January 832,231 137 305,125 173 5,078,521 180 954,607 7,170,484 149 February... 630,995 108 283,052 166 3,103,530 114 828,426 4,846,003 104 March 683,139 113 390,053 221 3,481,680 124 787,867 5,342,739 111 April 637,575 105 382,420 216 2,590,208 92 713,796 4,323,999 90 May 626,304 103 368,644 209 3,584,781 127 670,644 5,250,373 109 June 656,191 108 430,654 244 3,560,788 126 817,515 5,465,148 114 July 661,172 109 3^2,765 194 2,63,772 94 1,018,428 4,696,137 98 August 685,763 113 332,349 188 2,176,010 77 1,041,580 4,235,702 88 September.. 825,484 136 3i7,578 197 1,978,602 70 1,150,776 4,302,440 October 843,136 139 314,789 178 2,486,940 88 1,067,821 4,712,686 November.. 858,946 U2 315,971 179 3,328,633 118 968,235 5,471,785 114 December.. 667,344 110 244,573 138 3,985,125 142 932,417 5,829,459 121 Year ; 8,607,455 4,059,522 191 37,986,075 112 10,980,526 76 61,633,578 107 1921. January.. 689,506 114 282,043 160 4,347,306 154 1,068,346 6,387,201 133 February. 522,718 92 252,369 153 3,770,974 143 957,751 85 5,503,812 123 EXPORTS OF CERTAIN MEAT PRODUCTS. [Department of Commerce. Monthly average, 1911-1913=100.] Beef, canned. Beef, fresh. an B d e e o f t , h p e i r c k cu le r d ed , . Bacon. sho H ul a d m er s s , a c n u d red. Lard. Pickled pork. Pounds. R ti e v l e a . - Pounds. R tiv el e a . - Pounds. R tiv el e a . - Pounds. R tiv el e a . - Pounds. R tiv el e a . - Pounds. R tiv el e a . - Pounds. t R iv el e a . - • 1920. February 735,132 115 13,010,793 1,085 1,631,457 63 75,891,195 469 24,217,706 168 36,644,906 86 3,710,308 87 July... 5,217,838 788 5,506,812 444 1,973,004 74 31,562,761 188 8,385,089 56 47,061,422 107 2,926,247 66 August 1,231,070 186 343,352 28 2,152,982 81 23,333,156 139 9,360,469 63 31,020,802 71 2,257,511 51 September 244,261 37 1,964,543 158 1,613,657 60 41,371,561 247 8,997,124 60 46,326,353 105 3,279,902 74 October 207,503 31 522,251 42 1,995,039 75 49,838,768 298 8,787,853 59 54,173,979 123 3,549,456 80 November 282,761 43 3,091,895 249 1,678,091 63 57,934,259 346 11,197,880 75 57,316,309 130 2,605,431 59 December 399,916 60 1,583,434 128 3,053,993 114 68,784,322 411 14,491,763 97 90,080,092 205 2,691,452 . 61 1921. January 548,227 83 6,078,550 490 1,725,625 65 43,202,486 258 16,869,841 113 76,185,237 173 3,089,094 70 February 1,733,678 280 979,081 85 1,750,756 70 31,612,140 202 15,847,799 114 91,840,951 224 3,150,452 76 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 451 RECEIPTS OF GRAIN AND FLOUR AT 17 INTERIOR CENTERS. Chicago, Cleveland, Detroit, Duluth, Indianapolis, Kansas City, Little Rock, Louisville, Memphis, Milwaukee, Minneapolis, Omaha, Peoria, St. Louis, Spokane, Toledo, Wichita; receipts of flourn ot available for Cleveland, Detroit, Indianapolis, Louisville, Omaha, Spokane, Toledo, and Wichita. Compiled from reports of trade organizations at these cities. Monthly average, 1911-1913=100.] Wheat. Corn. Oats. Rye. Barley. Total grain. Flour. Total f lo g u ra r. i i n and Bushels. R ti e v l e a . - Bushels. R ti e v l e a . - Bushels, ac- Bushels. R ti e v l e a . - Bushels.R ti e v l e a . - | B^nucs , nhpe]lcs , - ! t R iv e e la . - Barrels. R ti e v l e a . - Bushels. R ti e v l e a . - 1920. February...18,115,324 70 26,051,855 120 20,575,654! 105 3,263,686 305 2,470,622 36 70,477,141! 94 2,059,421 109 79,744,536 95 July 29,714,399 110 20,824,268 9318,734,180! 93 3,096,026 280 2,659,921 37 755,028,794 96 2,052,110 105 84,263,289 97 August 43,039,021 160 9,840,320 44 30,728,748} 15"~2 33,,191,103 28S|3,007,508 422 8899,,806,700 1151,949,339 98,578,726 114 September.46,181,275 17120,696,955 92 31,031,569 154 55,,571, 428 503 6,630,056 92 110,111,283 1411,843,954 94118,409,076 137 October 45,403,825 16819,064,508 85 21,235,162! 105 44,:455,979 403!5,795,028 8"'1 9155,,954,502 123 2,137,639 109105,573,878 122 November..39,272,827 14611,407,224 51115,282,651! 76 3:,706,653 335 6,618,362 92 7'66,287,717 98 2,054,262 1""0 585,531,896 99 December..32,758,773 122 19,390,714 8613,777,300i 68 3,482,685 315!5,058,808 '4,468,280 96 1,570,822 80 81,536,979 94 1921. January 32,229,218 120 42,036,812 18718,508,9861 92 2,202,705 199 3,753,837 52 981,,731,558 127 1,430,904 73105,170,626 121 Februarv...22,922,667 9127,565,779 13212,553,9131 67 1,397,83f~ 135 2,074,908 3166,», 515,099 921,659,009 91 73,980,640 91 1 Flour reduced to its equivalent in wheat on basis of 4J bushels to barrel. SHIPMENTS OF GRAIN AND FLOUR AT 14 INTERIOR CENTERS. [Chicago, Cleveland, Detroit, Duluth, Kansas City, Little Rock, Louisville, Milwaukee, Minneapolis, Omaha, Peoria, St. Louis, Toledo, Wichita; shipments of flour not available for Cleveland, Detroit, Louisville, Omaha, Toledo, and Wichita.] Total grain and Wheat. Corn. Oats. Rye. Barley. Total grain. Flour. flour.i Bushels. R ti e v l e a . - Bushels. R ti e v l e a . - Bushels. R ti e v l e a . - Bushels.R ti e v l e a . - Bushels.R ti e v l e a . - Bushels. R ti e v l e a . - Barrels. R ti e v l e a . - Bushels. R ti e v l e a . - 1920. February...14,114,215 9511,977,640 8713,073,089 89 2,113,505 3091,306,340 35:42,584,789 89 3,157,037 56,791,456 91 July 19,002,099 123 9,100,527 64^1,345,429 75 4,476,238 632 2!,, 092,672 54 46,016,965 93 3,767,678 111 62,971,516 97 August 24,934,816 162 6,260,144 4412,814,067 84 2,880,003 407 25:,231,851 57 49,120,881 99 3,605,105 106 65,343,854 101 September .28,700,593 186 6,284,075 44 12,690,866 84 4,339,057 613 3>:, 556,180 91!55,570,771 112:3,187,454 94 69,914,314 108 October 26,258,795 17010,336,378 7310,601,1781 70 4,742,380 670 4:,: 529,091 116 56,467,822 114!3,758,735 111 73,382,130 114 November..24,950,771 162 7,890,500 56 10,729,045 712,998,524 424 4,,:249,954 109:50,818,794 103^,949,699 117 68,592,440 106 December..22,253,030 144 7,898,979 561 9,964,743 66 3,171,616 448 33,:083,249 79 46,371,617 94 3,141,524 60,508,475 1921. January 20,187,379 13117,288,509 12211,523,642 76 2,380,797 336 2,874,359 74)54,254,686 110 2,678,257 66,306,843 103 February...15,134,115 105 12,891,895 98! 9,299,842 661,041,424 158 1,626,913 45J39,994,189 87i2,696,723 52/129,443 1 Flour reduced to its equivalent in wheat on basis of 4£ bushels to barrel. STOCKS OF GRAIN AT 11 INTERIOR CENTERS AT CLOSE OF MONTH. [Chicago, Detroit, Duluth, Indianapolis, Kansas City, Milwaukee, Minneapolis, Omaha, Peoria, St. Louis, and Toledo.] Wheat. Corn. Oats. I Rye. Barley. Total grain. 1920. Bushels. Bushels. Bushels. Bushels. Bushels. Bushels. February. 36,287,715 4,045,698 8,567,984 14,488,665 1,980,286 65,370,348 July 5,492,026 4,959,314 2,059,842 670,563 1,336,553 14,518,298 August 5,460,879 1,414,708 7,447,762 338,600 709,469 15,371,418 September. 9,134,621 5,669,580 23,322,910 1,303,475 2,114,369 41,544,955 October 14,627,524 7,823,807 28,941,148 668,084 2,096,517 54,157,080 November. , 16,058,407 3,461,911 28,697,974 1,082,195 1,874,366 51,174,853 December i 15,525,114 4,793,299 27,358,948 1,007,591 2,378,548 51,063,500 1921. | January I 14,414,231 11,596,518 29,435,153 478,125 2,057,434 57,981,461 February 12,883,444 17,294,569 30,039,057 600,585 1,800,604 62,618,259 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

452 FEDERAL, RESERVE BULLETIN. APRIL, 1921. RECEIPTS OF GRAIN AND FLOUR AT NINE SEABOARD CENTERS. [Boston, New York, Philadelphia, Baltimore, New Orleans, San Francisco, Portland (Oreg.), Seattle, Tacoma; receipts of flour not available for Seattle and Tacoma. Compiled from reports of trade organizations at these cities. Monthly average, 1911-1913=100.] Total grain and Wheat. Corn. Oats. Rye. Barley. Total grain. Flour. flour.i Rela- | Rela- Rela- Rela- Rela- Rela- Rela- Rela- Bushels. tive. Bushels. tive. Bushels. tive. Bushels. tive. Bushels. tive. Bushels. tive. Barrels. tive. Bushels. tive. 1920. February... 4,898,690 40 1,244,393 36 2,331,246 513,211,668 2,3381,315,291 8213,001,288 591,102,606 109 17,963,015 July 18,710,633 149 3,305,542 3,499,101 74 5,048,019 3,553 2,098,083 126|32,661,378 1441,660,849 159 40,135,198 146 August 28,098,022 223 1,576,842 2,671,365 56 3,407,799 2,398 2,289,791 138 38,043,819 1681[, 390,077 133 44,299,166 162 September . 31,693,246 252 1,456,958 3,069,700 65 4,133,465 2,9091,815,227 109 42,168,596 1861'.,422,872 136 48,571,520 177 October 29,028,202 230 1,844,753 1,828,515 38 5,436,354 3,826 2j558,276 154 40,696,100 179 I.,463,830 140 47,283,335 173 November.. 24,410,356 194 2,401,181 1,874,271 "9 3,329,710 2,344 2,721,320 164 34,736,838 153 31,683,380 353 51,312,048 187 December.. 29,551,r~ 235 854,138 1,911,861 13,490,405 2,457 2;291,639 138 38,099,9931 168 41,367,180 418| 57,752,303 211 ! 1921. ; January |12,717,255 101 6,228,175 175 1,542,355 32 2,748,524 9341,970,931 119 25,207,240! 1111,174,815 112! 30,493,908 111 February... HO, 315,852 7,845,915 237 1,039,537 23 2,059,538 5531,631,288 105 22,892,130! 1081,186,565 122 28,231,673 110 1 Flour reduced to its equivalent in wheat on basis of 4* bushels to barrel. STOCKS OF GRAIN AT EIGHT SEABOARD CENTERS AT CLOSE OF MONTH. [Boston, New York, Philadelphia, Baltimore, New Orleans, Newport News, Galveston, San Francisco. Compiled from reports of trade organizations at these cities.] Wheat. Corn. Oats. Rye. Barley. Total grain. 1920. Bushels. Bushels. Bushels. Bushels. Bushels. Bushels. February. 6,634,682 948,239 1,571,209 I 2,671,743 ! 2,340,787 j 14,166,660 July 11,923,745 744,167 1,323,940 j 1,275,554 3,187,611 18,455,017 August 13,915,892 1,097,945 1,532,272 777,445 4,052,189 21,375,743 September.. 15,517,070 1,146,514 2,398,157 2,414,910 4,110,158 25,586,809 October. 17,277,003 1,292,818 2,521,049 1,742,178 3,577,450 26,410,498 November.. 17,794,605 1,371,013 2,327,249 1,906,527 3,097,922 26,497,316 December.. 18,263,476 510,142 2,205,936 I 2,196,380 3,322,050 26,497,984 1921. January 15,060,423 2,524,700 1,980,265 I 1,602,358 2,105,450 23,273,196 February 12,032,772 3,982,316 1,775,563 1 1,332,441 1,909,706 21,032,798 NOTE.—Figures for San Francisco include also stocks at Port Costa and Stockton. WHEAT FLOUR PRODUCTION. 1 [January, 1918, to June, 1920, U. S. Grain Corporation; July, 1920, on, estimated by Russell's Commercial News (Inc.), New York.] 1918 1919 1920 1921 1918 1919 1921 Barrels. Barrels. Barrels. Barrels. Barrels. Barrels. Barrels. Barrels. January.. 11,357,000 10,593,000 12,572,000 8,924,000 August 9,857,000 11,739,000 10,200,000 February 8,813,000 7,736,000 9,252,000 7,066,000 September 12,542,000 14,088,000 9,450,000 March.... 7,697,000 10,498,000 9,036,000 October 11,873,000 15,008,000 9,650,000 April 7,638,000 11,274,000 7,375,000 November 11,104,000 13,518,000 9,500,000 May 6,987,000 10,463,000 8,244,000 December 10,901,000 12,113,000 9,600,000 June 5,512,000 7,405,000 6,800,000 July 6,710,000 7,899,000 8,200,000 Year 110,991,000 132,334,000 ! 109,879,000 1 Owing to revision, figures since January, 1918, are given. COTTON. [New Orleans Cotton Exchange. Monthly average, crop years 1911-1913=100.] Overland move- j American spinners' Stocks at ports and Sight receipts. Port receipts. ment. i — interior towns at close of month. Bales. R ti e v l e a . - Bales. R ti e v l e a . - Bales. R ti e v l e a . - i Bales. R ti e v l e a . - Bales. R ti e v l e a . - 1920-21. August 308,262 25 159,586 17 25,322 24 251,841 55 1,365,397 116 September 771,590 62 443,149 48 17,324 16 254,460 56 1,607,602 136 October 1,466,874 117 971,334 106 87,215 83 395,165 87 2,101,839 178 November , 1,804,135 144 1,075,803 117 117,139 111 425,089 94 2,597,820 220 December 1,579,751 126 797,350 87 134,455 128 672,477 148 2,815,934 239 January 1,153,825 92 636,260 69 157,012 149 526,718 116 2,863,377 243 February 699,464 56 446,399 49 157,425 150 339,119 75 2,820,403 239 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 453 COTTON SEED. [Bureau of the Census.] R at e c m e i i l v l e s d . Crushed. m O of n i l m l h s a o ( n n c d l t o h a s ) t e . R at e c m e i i l v l e s d . Crushed. o m O f n i l m l h s o a ( n n c d t l h o a s ) t . e 1920. Tons. Tons. Tons. 1920 Tons. Tons. Tons. February 280,751 I 404,109 I 354,120 November 829,282 719,455 581,806 December 557,787 546,086 593,507 July 7.259 ! 13,219 ! 30,084 August 24,979 i 20,317 | 36,760 1921, September 244,382 I 145,519 ! 135,623 January 418,846 527,521 484,832 October 945,998 ! 607,628 i 471,979 February 431,539 499,851 416,502 CALIFORNIA SHIPMENTS OF CITRUS AND DECIDUOUS FRUITS. [California Fruit News, October, 1920, to January, 1921, inclusive, and Bureau of Markets; February, 1921, on, Bureau of Markets. Monthly average, 1911-1913=100.] Total Oranges. Lemons. Total citrus fruits. deciduous fruits. Carloads. Relative. Carloads. Relative. Carloads. Relative. Carloads. 1920. February 2,683 114 852 j 218 3,535 128 139 July 2,822 115 664 164 3,486 122 3,179 August 1,707 70 751 185 2,458 86 7,239 September 1,409 58 464 115 1,873 66 9,021 October 752 31 925 228 1,677 59 11,880 November 1,602 66 377 93 1,979 69 2,792 December 3,774 154 368 91 i 4,167 146 368 1921. .1 anuary 3,429 140 627 155 14,077 143 98 February 3,484 153 610 161 1 4,123 155 81 1 Includes grapefruit. SUGAR. [Data for ports of New York, Boston, Philadelphia. Weekly Statistical Sugar Trade Journal. Tons of 2,240 pounds. Monthly average, 1911- 1913=100.] Receipts. Meltings. c R lo a s w e o s f t o m ck o s n a th t . Receipts. Meltings. c R lo a s w e o s f t o m ck o s n t a h t . Tons. R ti e v l e a . - Tons. R ti e v l e a . - Tons. R ti e v l e a . - Tons. R ti e v l e a . - Tons. R ti e v l e a . - Tons. R ti e v l e a . - 1920. 1920. February 316,667 178 269, 000 152 85,653 50 November. 186,274 101 179,000 98 69,251 40 December 148,464 81 154,000 84 63,715 37 July 386, 328 210 325,000 177 104,027 60 Ausust 308,313 168 287,000 156 125,340 73 1921. September 109,302 59 164,000 89 70,642 41 January 92,498 50 94,000 51 62,113 36 October 109,335 59 118,000 64 61, 977 36 February 228,952 133 193,000 113 98,165 57 NAVAL STORES. [Data for Savannah, Jacksonville, and Pensacola. Compiled from reports of trade organizations at these cities.] Spirits of turpentine. Rosin. Spirits of turpentine. Rosin. Stocks at Stocks at Stocks at Stocks at Receipts. close of Receipts. close of Receipts. close of Receipts. close of month. month. month. month. 1920. Barrels. Barrels. Barrels. Barrels. 1920. Barrels. Barrels. Barrels. Barrels. February 3,762 17,900 29,303 140,559 November 23,893 49,209 83,177 247,253 December 21,174 53,356 76,848 300,315 July 39,158 30,906 117,088 135,979 August . ... 33,997 27,963 111, 497 144,109 1921. September 32,162 44,396 97,797 176,612 January 9,419 51,563 36,333 310,905 October 30,260 49,885 88,766 195,837 February 7,404 41,75o 26,736 316,440 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

454 FEDERAL RESERVE BULLETIN. APRIL, 1921. LUMBER. [From reports of manufacturers' associations.] Southern pine. Western pine. Douglas fir. Eastern white pine. North Carolina pine. N m be u i r l m l s o - . f t d P i u o ro c n - - . t d P i u o ro c n - - . m S e h n ip ts - . m N be u i r l m l s o . - f t d P i u r o o c n - - . t d i u o c n - . d P u ro c - - m S e h n ip ts - . 1920. Mfeet. Mfeet. Mfeet. Mfeet. Mfeet. Mfeet. Mfeet. Mfeet. Mfeet. February.. 203 383,239 369,047 85, 583 147,180 124 332,511 295,934 ! 32,551 15,534 15,202 July 207 385, 842 331,273 177,262 103,500 127 242,612 225,666 37,459 49,668 20,756 15,217 August 204 383, 540 337,677 171,143 123,344 123 366,433 322, 908 46,149 55,991 19,511 14,130 September. 204 376, 566 378,195 164, 312 98, 808 127 299,277 238, 965 48,962 45,415 21, 887 16,043 October 206 344,427 329, 751 146,424 69,936 120 355,614 299, 704 40, 724 30,928 19,487 14,877 November. 203 315,343 320, 756 107, 846 00,259 123 263,452 212,226 20,294 19,751 | 14,617 12,929 December.. 199 264, 504 281, 326 45, 578 46,112 119 188,905 187,874 19,056 10, 587 i 8, 091 14, 716 1921. January— 193 289,824 311,977 24,698 42,793 116 153,157 170,821 i 24,319 !10,602 7,123 7,880 February.. 189 330,680 335, 876 22,128 48,270 j 114 159,646 153,649 23,722 j13,615 10,673 10,045 RECEIPTS AND SHIPMENTS OF LUMBER AT CHICAGO AND ST. LOUIS. [Chicago Board of Trade and Merchants' Exchange of St. Louis. Monthly average, 1911-1913=100.] Receipts. Shipments. Receipts. Shipments. M feet. Relative. M feet. Relative. M feet. Relative. M feet. Relative. 1920. 1920. March 500,230 108 296,047 117 December 351,695 76 192,072 76 July 399,615 86 184,767 73 1921. August 370,352 80 220, 368 87 January 263,001 57 165,308 65 September 375,456 81 242,857 96 Februarv 269,632 62 169, 843 72 October 398, 333 86 220,116 87 March 349.426 75 215,760 85 N ovember 342, 971 74 190,282 75 COAL AND COKE. [U. S. Geological Survey. Monthly average, 1911-1913=100.] Bi m d tu u a m c t t e i i d o n n o . u m s on c t o h a l l y , p es ro ti - - An m d t u h a c t r t e a i d c o i n t . e m on co th a l l y , p es r t o i - - Be m e o h n iv t e h ly c o p k r e o , d e u s c t t i i m on a . ted Short tons. Relative. Short tons. Relative. Short tons. Relative. 1920. ! February 40,181,000 112 6,525,000 1,731,000 July I 45,0G9,000 121 8,261,000 112 1,693,000 65 August '\ 48,910,000 132 8,025,000 108 1,776,000 September ! 49,172,000 133 4,646,000 63 1,820,000 70 October j 52,144,000 141 8,069,000 109 2,065,000 79 November J 51,457,000 139 7,453,000 101 1,622,000 December \ 52,123,000 141 8,321,000 112 1,515,000 58 1921. I January i 40,270,000 109 9,419,000 127 1,074,833 41 February I 30,851,000 89 7,845,000 114 863,834 35 CRUDE PETROLEUM. [U. S. Geological Survey. Barrels of 42 gallons each. Monthly average, 1911-1913=100.] Stocks a ( t b a c r l r o e s l e s ) o . f i month Production. Stocks a ( t b a c r l r o e s l e s ) o . f i month Rela- East of Barrels. tive. California. California. 1920. 1920. February 32,723,000 177 I November 38,699,000 202 92,015,000 21,272,000 December 38,961,000 203 94,919,000 20,930,000 July 38,203,000 199 August 39,055,000 204 i ), 355,000 22,149,000 1921. September.. 37,532,000 196 ! \. 155,000 21,874,000 January., 37,853,000 197 j 95,838,000 21,261,000 October 39,592,000 207 ! 1,584,000 21,265,000 February. 35,112,000 196 100,454,000 21,566,000 1 Figures for stocks east of California are for net pipe-line and tank-farm stocks; those for California are for gross pipe-line, tank-farm, and producers' stocks. NOTE.—Method of computing stocks has been revised. Figures calculated on the former basis are given for purposes of comparison as follows: August, 129,043,000; September, 128,788,000; October, 129,451,000; November, 131,325,000; December, 133,690,000, Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 455 TOTAL OUTPUT OF OIL REFINERIES IN UNITED STATES. [Bureau of Mines.] Crude oil run Gasoline Kerosene Gas and fuel Lubricating (barrels). (gallons). (gallons). (gallons). (gallons). 1920. January., 30,815,160 336,719,157 195,956,392 617,555,156 75,878,635 July 37,024,052 423,419,770 172,213,511 751,193,898 92,369,504 August ! 39,757,770 444,141,422 189,010,459 834,322,503 91,078,569 September I 40,549,316 453,881,096 199,140,024 836,700,086 86,230,371 October I 40,687,250 465,787,745 213,742,156 823,114,603 93,229,723 November ! 39,458,945 452,642,125 214,804,177 822,638,305 91,180,007 December | 40,485,409 464,393,356 210,668,109 859,131,359 90,894,798 1921. ; January \ 39,637,382 460,432,439 205,374,611 836,684,040 85,908,641 STOCKS AT CLOSE OF MONTH. 1920. Jan. 31 13,200,727 515,934,364 327,548,646 652,080,901 I 141,690,177 July 31 17,086,253 413,279,319 410,853,047 655,152,293 131,866,455 Aug. 31 17,960,558 323,239,991 378,548,791 708,608,472 130,797,810 Sept. 30 18,830,079 288,195,394 379,300,705 771,126,965 130,449,829 Oct. 31 19,237,730 301,283,731 383,828,239 799,024,084 136,194,914 Nov. 30 21,373,945 354,835,764 398,991,592 808,802,516 142,180,775 Dec. 31 21,260,580 462,381,837 393,070,923 837,404,414 160,522,477 1921. Jan. 31 21,064,124 571,983,793 418,747,781 j 921,028,127 j 183,813,205 IRON AND STEEL. [Pig-iron production, Iron Age; steel-ingot production, American Iron and Steel Institute. Monthly average, 1911-1913=100.] Pig-iron production. Steel-in t g io o n t . produc- Un a S f t t i e l c l e e lo l d s e o C o rd o f e r m p rs o o r n U a t t h i . o . S n . Gross tons. Relative. Gross tons.Relative. Gross tons.Relative. 1920. March. 3,375,907 146 3,299,049 141 9,892,075 July 067,043 132 2,802,818 120 11,118,468 211 August 147, 402 136 3,000,432 i 128 10,805,038 205 September.. 129,323 135 2,999,551 128 10,374,804 197 October 292,597 | 142 3,015,982 129 9,836,852 187 November.. 934,908 I 127 2,638,670 I 113 9,021,481 171 December.. 703,855 i 117 2,340,365 I 100 8,148,122 155 January.. 2,416,292 104 2,203,186 7,573,164 144 February. 1,937,257 90 1,749,477 6,933, 867 132 March 1,595,522 1,570,978 6,284,765 119 STRUCTURAL-STEEL ORDERS AND SHIPMENTS. [Bridge Builders and Structural Society.] Fabricated struc- structaral-steel orders and shipments of tracteifofthroueh' the membership of Bridge Builders out country" and Structural Society. Orders. Shipments. Per cent Tonnage. ca s p h a o c p ity. n T a o g n e - . c P a e p s r h a o c c e i p t n y t . n T a o g n e - . c P a e p s r h a o c c e p it n y t . 1920. February. 171,000 95.0 96,150 | 132.0 37, 896 52.0 July 90,400 50.0 33,213 47.0 49,096 69.0 August 72,000 40.0 36,843 50.0 51,381 70.0 September.. 77,400 43.0 26, 755 37.0 53, 526 74.0 October 45,600 25.5 14,161 20.0 47,200 66.0 November.. 49,200 27.5 11, 531 16.0 41,268 57.5 December., 47,000 26.0 14,521 20.0 42, 767 60.0 1921. January.. 32,000 18.0 12,194 18.0 32, 964 48.5 February. 25,600 14.0 12,013 18.5 25,776 40.0 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

456 FEDERAL RESERVE BULLETIN. APBIL, 1921. IMPORTS OF PIG TIN. {Department of Commerce. Monthly average, 1911-1913= 100.] Pounds. I Relative, j Pounds. Relative. 1920. 1920. February.. 13,925, 843 158 November. 9,550,535 105 December.. 5,893,627 65 July 17,584,167 193 August 11,195,937 123 1921. September 9,596,819 106 January... 2,584,347 28 October 6,741,331 74 February. 5,269,969 62 RAW STOCKS OF HIDES AND SKINS.i [Bureau of Markets; July, 1920, on, Bureau of the Census.] Cattle Goat and ! Sheep and hides. Calfskins. KipsMns. kid. Cabretta. | lamb. 1930. | pieces. Pieces. Pieces. Pieces. Pieces. Pieces. Jan. 31 | 6,773,360 1,920,184 1,036,372 14,401,965 1,8 8,902,067 Sept. 30 ! 5,926,708 3,542,388 1,083,193 13,408,277 2,197,149 11,235,417 Oct. 31 1 6,770,509 3,850,183 1,377,998 12,147,070 2,104,133 I 13,626,406 Nov. 30 ! 7,158,751 3,492,653 1,422,608 11,231,086 2,234,027 I 12,705,767 Dec. 31 6,232,852 3,271,905 1,305,776 11,721, 505 2,685,670 I 13,773,089 Jan. 31,1921 6,499,479 3,086,862 1,381,748 10,870,210 2,155,200 13,184,052 * The number of firms reporting has increased as follows: Sept., 1,307; Oct., 1,915; Nov., 2,027; Dec, 2,059; Jan., 2,089. TEXTILES—COTTON AND SILK. [Cotton, Bureau of the Census; silk, Department of Commerce. Cotton, monthly average, crop years 1912-1914=100; silk, monthly average 1911-1913=100.] Cotton t i c o o n n . sump- s C pi o n t d to le n s Imports of raw silk. Cotton t i c o o n n . sump- s C pi o n t d to le n s Imports of raw silk. active active during during Bales. Relative. month. Pounds. Relative. Bales. Relative. month. Pounds. Relative. 1920. 1920. February 515,699 119 34,655,677 3,696,121 187 November 332,057' 74 31,654,126 1,319,995 65 December 294,851 66 29, 879,402 972,011 48 July 525,489 117 34,666,794 2,581,920 126 August 483,193 107 34,471,515 2,690,690 132 1921. September 457,647 102 34,040,806 1,968, 801 % January 366,270 81 31,509,021 708,897 35 October 399,837 89 33,669,804 1, 531,850 75 February 395,563 94 32.458,528 2,327,949 122 i TEXTILES—WOOL. [Wool consumption, Bureau of Markets; idle wool machinery, Bureau of the Census.] Percentage of idle machinery on first of month to Percentage of idle hours on first of month to total total reported. reported. Consump- Looms. Spinning spindles. Looms. Spinning spindles. tion (pounds).1 th W s i r p a n e a i n c e d c h d 5 e e 0 r . - 5 o s 0 r r p e - l a i e e n c d s c e s h . c S a o r e d f ts s. Combs. Woolen. Worsted. th W s r i p a n e i a n e c d c d h 5 e e 0 r . -5 o s 0 r r p e - l a i e e n c d s c e s h . c S a o r e d f ts s. Combs. Woolen. Worsted. ... 1920. February 63,738,060 12.2 17.6 7.6 6.9 7.1 7.9 Tuly 37,097,077 42.5 32.3 38.0 35.0 42.0 32.7 August 38,054,708 49.5 29.9 39.6 33.4 45.5 37.6 September 36,297,221 51.8 34.8 39.6 37.3 44.6 38.0 October 38,443,688 49.0 34.9 38.3 26.3 43.2 26.0 November 28,096,047 46.9 37.7 39.5 32.8 42.8 34.8 54.1 47.7 45.9 38.4 46.7 38.5 December 51.2 44.8 50.3 41.4 51.7 42.7 59.7 60.4 57.1 51.0 53.9 53.4 1921. January 57.0 49.2 58.1 52.9 59.4 50.8 66.7 71.2 66.1 62.9 68.4 65.2 February 53.9 48.7 56.5 43.8 58.9 43.0 60.0 66.7 64.3 51.0 64.5 55.3 March 43.1 41.7 46.2 28.3 47.2 33.0 45.3 57.1 50.6 26.2 50.5 37.9 »Converted to grease equivalent basis. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APBIL, 1921. FEDERAL RESERVE BULLETIN. 457 PRODUCTION OF WOOD PULP AND PAPER. [Federal Trade Commission.] Wood News- Paper ! Wrap- | Wood News- | Paper Wrappulp. print. Book. board. | ping. | Fine. pulp. print. Book. ! board. ping. Fine. Net Net Net Net Net Net Net Net Net \ Net Net Net 1920. tons. tons. tons. tons, i tons. tons. 1920. tons. tons. tons. \ tons. tons. tons, February 266,191 114 ,235 85,532 176,855 | 61,574 29,202 November... 326,041 122,993 89,564 j 133,818 65,920 31,208 December 302,527 124, 857 76,093 105,227 54,308 27,233 July 312,334 129,853 95,526 218,771 j 73,487 34,078 August 305,965 128,818 94,424 215,633 ! 75,226 33,122 1921. September.. 293,913 121,005 94,142 218,743 j 70,917 34,207 January 275,353 123,830 64,382 ,105,806 44,620 22,756 October 319,877 124,818 93,849 196,604 ! 73,100 34,526 February 1243,797 103,040 56,687 |123,832 46,352 19,242 SALE OF REVENUE STAMPS FOR MANUFACTURES OF TOBACCO IN THE UNITED STATES (EXCLUDING PORTO RICO AND PHILIPPINE ISLANDS). [Commissioner of Internal Revenue.] Cigars. Cigarettes. Cigars. I Cigarettes. Manu- Manu- Large. Small. Small. — f t a o c b tu ac r c e o d ' Large. Small. Small. f t a o c b t a u c r c e o d . 1920. Number. Number. Number. I Pounds. 1920. Number. Number. Number. Pounds. February 593,832,200 j 43,358,500 3,536,117,847 31,531,460 November.. 668,060,015 57,026,500 3,529,200,006 18,513,654 December... 506,126,135 47,380,000 2,816,818,050 15,452,701 July 678,751,956 51,766,100 3,053,336,563 30,988,646 August 672,020,289 48,171,240 3,569,397,443 32,138,941 1921. September 678,640,116 50,175,580 3,557,482,503 32,094,569 January J462,798,039 64,661,867 3,901,560,330 24,750,290 October 704,799,089 60,882,760 3,840,334,806 27,123,774 February 496,724,482 64,461,733 4,119,376,533 27,096,592 OUTPUT OF LOCOMOTIVES AND CARS. [Locomotives, United States Railroad Administration; February, 1920, on, reports from individual producers; cars, Railway Car Manufacturers Association.] Locomotives. Output of cars. Locomotives. Output of cars. i ! | s D h o i t p m i p c e e s d - . pleted. uc* Foreign. Total. s D hi o p t m i p c e e s d - . F p o c le o re t m e ig d - n . Do t m ic e . s- Foreign. Total. 1920. Number. Number. Number. Number. Number. 1920. Number. Number. Number. Number. Number, February 43 : 85 ! 3,960 1,066 5,026 November. 204 73 6,243 985 7,228 December.. 198 93 7,551 1,420 8,971 July 122 | 54 2,731 434 3,165 August i 114 | 125 3,409 1,210 4,619 1921. September 126 J 69 3,955 1,203 5,058 January 154 71 7,169 843 8,012 October 198 106 6,309 684 6,993 February.. 108 6,482 518 7,000 VESSELS BUILT IN UNITED STATES, INCLUDING THOSE FOR FOREIGN NATIONS, AND OFFICIALLY NUMBERED BY THE BUREAU OF NAVIGATION. [Monthly average, 1911-1913=100.] Number. to G nn ro a s g s e. Number. to G nn ro a s g s e. Relative. 1920. 1920. February.. 140 267,231 November 119 213,966 885 December 87 176,903 732 July 173 217,239 August 178 259,210 1921. September.. 135 261,962 January 94 216,280 895 October 120 227,162 February 95 121,404 538 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

458 FEDERAL RESERVE BULLETIN. APRIL, 1921. TONNAGE OF VESSELS CLEARED IN THE FOREIGN TRADE. [Department of Commerce. Monthly average, 1911-1913=100.] Net tonnage. Per- Net tonnage. Percent- cent- Rela- age Rela- Rela- age Relative. Ameri- tive. tive. Ameri- tive. American. Foreign. Total. ! canto American. Foreign. Total. can to ! total. total. 1920. 1920. February.. 1,702,407 | 1,628,212 3,330,619 | 84 | 51.1 193 November. 3,302,367 2,868,294 6,170,661 151 53.5 202 December.. 2,785,615 2,949,416 5,735,031 140 48.6 183 July 3,302,538 3,616,052 ! 6,918,590 j 169 47.7 180 ; August 3,616,267 3,929,602 | 7,545,869 I 184 47.9 181 ! 1921. September. 3,421,531 3,513,599 | 6,935,130 170 j 49.3 186 January ; 2,191,201 2,454,617 4,645,818 114 47.2 178 October... , , ,, 48.2 182 February.. 2,017,303 2,149,300 4,166,603 109 48.4 183 3^500^312 3,756,512 j 7,256,824 I 177 \ NET TON-MILES, REVENUE AND NONREVENUE. [United States Railroad Administration; March, 1920, on, Interstate Commerce Commission.] 1920. 1920. January October 42,562,687,000 July . 40,450,094,000 November 37,458,630,000 August . 42,706,838,000 December 34,722,365,000 September. . 40,999,843,000 REPORT OF KNIT GOODS MANUFACTURES. Thirty-three representative mills which reported for January and February furnish the The total production of winter and summer data for the following tables: underwear for the 6 months ending February 28 was as follows: [In dozens.] January February Gain. Loss. (33 mills). (33 mills). N o re f u p m m o b r il t e l - r s p A r t o c i d o tu n u a c l - P n e o r r o m c f e a n l. t Un m fi o ll n e t d h orders 1st of 156 653 307,507 150 854 ing. (dozens'). New orders 261,504 239,919 21 585 Shipments 89,503 184,901 95,398 Cancellations 2,337 1,789 548 1920. Production 110,033 171,892 61,859 September 63 606,257 74.2 October 61 393,422 50.4 November , 63 191,831 23.2 FINISHED COTTON FABRICS. December 61 98,671 11.0 The National Association of Finishers of 1921. January 61 148,023 16.4 Cotton Fabrics, at the request of the Federal February 63 248,431 28.0 Reserve Board, have arranged for a monthly survey within the industry. The results of the Order and production report for month end- inquiries are herewith presented in tabular form. ing February 28, 1921 follows. The number The secretary of the association makes the fol- ; of mills reporting was 46. lowing statement concerning the tabulation : The accompanying figures are compiled from statistics furnished by 34 out of 58 member firms of this association. Per cent of It is probably fair to state that in the absence of having Dozens. normal specific detail at hand, but according to our best estimate, produc- it is probably well within the fact that the figures given tion. for the various classes of work would coyer, approximately, the following percentages of the entire industry: White Unfilled orders 1st of month 341,233 goods, 72 per cent; dyed goods, 62 per cent; printed goods, New orders received during month 240,024 33." 2 32 per cent. The figures given represent reports from Total (A) 581,257 exactly the same finishers for the two months, both for the totals and for the subdivisions, and, therefore, are Shipments during month 197,181 27.3 strictly comparable. Cancellations during month 1,874 0.2 NOTE.—Many plants were unable to give details under Total (B) 199,055 the respective headings of white goods, dyed goods, and Balance orders on hand March 1 (A minus B) 382,202 printed goods, and reported their totals only. Therefore Production 181,028 25." i the column headed " Total" does not always represent the total of the subdivisions, but is a correct total for the district. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 459 PRODUCTION AND SHIPMENTS OF FINISHED COTTON FABRICS. January', 1921. February, 1921. W go h o i d t s e . g D o y o e d d s L P g r o in od te s d . Tota W go h od it s e . g D o y o e d d s. P g r o i o n d te s d . Total. Total finished yards billed during month: District 1 5,002,988 7,969,975 4,237,263 17,835,323 9,201,380 12,009,687 5,145,619 28,279,941 2 3 3 2 , , 4 46 0 3 3 , , 2 9 2 8 4 1 1,5 7 5 5 4 2 , , 0 8 4 8 6 5 156,605 t: 9 3 6 7 4 4 , , 0 20 4 4 3 5 4 , , 5 5 5 2 3 0 , , 7 0 0 3 0 2 1 3, ,0 2 7 31 0 , ,1 58 8 2 7 359,555 1 8 2 , , 2 4 9 1 1 5, , 9 9 0 0 9 3 5 . 3,699,382 28,483 727865 4,698,536 24,034 4,722,570 6 23,130 202,126 ??5J9.S6 125 265 389 241 506.506 8 l, 189 ?33 1,220,042 Total 14,592,705 10,507,515 4,393,868 34,315,924 24,099,913 16,715,731 5,505,174 55 436,871 Total finishing charges billed during month: District 1 $114,215 $341,337 $235,549 $722,831 $182,214 $502,706 $239,014 $1,015,721 2 67,089 25,883 8,230 165,296 110,950 36,629 9,225 288,014 3 91,430 53,943 152,606 143,350 123,713 277,460 5 68,613 225 68,838 96,080 347 96,427 6 . 478 8,633 9,111 2,360 16,973 19,333 8 18,246 15,961 Total $341,825 $430,021 $243,779 $1,136,928 $534,954 $680,368 $248239 $1 712,916 Total average per cent of capacity operated: District 1 42 33 16 30 50 57 30 46 47 16 18 36 73 34 54 58 3 48 19 32 66 41 51 5 65 65 73 73 6 17 34 8 55 46 Average for all districts 47 28 16 33 61 50 34 51 Total gray yardage of finishing orders received: District 1 12,987,722 15,418,651 6,167,917 38,827,146 10,745,070 16,816,715 7,084 145 37372,981 2 5,581,626 2,114,808 5,090,072 19,221,310 6,396,320 2,976,397 5,162 723 19212,796 3 . 4,954,744 4,277,198 10,042,625 7,365,939 5,036,959 13205,870 5 4,783,349 51,054 4,834,403 4,689,469 45,178 4734,647 6 111,120 205,249 316,369 65,706 328,072 393,778 8 1,300,005 1281,734 Total 28,418,561 22,066 960 11,257989 72 541 858 29,262,504 25,233,321 12,246 868 76 201,806 Number of cases of finished goods shipped to customers (case equals approximately 3,000 yards): District 1 4,018 2854 1 764 13236 4,662 3,399 1 818 16,650 2 3,765 126 7727 4,079 94 9,455 3 2 834 1766 4 933 3 576 1 956 5 777 5 1,476 2 726 1,464 2,685 8 398 376 Total 12,093 4 746 1 764 29,020 13,781 5,449 1,818 34,943 Number of case^ of finished goods held in storage at end of month: District 1 3,923 3 614 2,905 18,198 3,879 3,198 3 196 18,506 2 2 764 291 7 fUl 2 309 145 6 354 3 . 309 358 207 '216 310 5 059 5 439 1^621 457 l|560 8 1,413 1,309 Total 7,435 4 263 2,905 34,080 6,861 3,653 3,196 32,788 Total average work ahead at end of I month (expressed in days): District 1 ; 7.7 8.4 7.0 7.7 7.3 6.8 7.8 7.2 2 . . .. 14.0 4.0 12.0 13.0 12.0 6.8 16.0 13.0 3 11.0 8.1 9.3 11.0 6.3 8.4 5 8.7 8 7 6.1 6.1 6 4.4 2.2 8 6.2 8.1 I Average for all districts 9.8 7.7 7.7 9.0 j 8.8 | 6.7 9.1 8.5 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

460 FEDEKAL RESERVE BULLETIN. APRIL, 1921. RETAIL TRADE. ume of business done during the calendar year 1920, and the averages for the several In the following tables is given a summary months in 1920 by similar figures for the of the data obtained from representative de- calendar year 1919. For the month of Februpartment stores in each Federal Reserve dis- ary the tables are based on reports from 24 trict, showing the activity of retail trade during stores in district No. 1, 26 in district No. 2, the past several months. In districts Nos. 1, 46 in district No. 3, 14 in district No. 4, 25 in 5, 7, 9, 11, and 12 the data were received in district No. 5, 12 in district No. 6, 7 in district (and averages computed from) actual amounts No. 7, 9 in district No. 8, 11 in district No. 9, (dollars). In districts Nos. 2, 3, 4, 6, 8, and 17 in district No. 10, 18 in district No. 11, and 10 the material was received in the form of 25 in district No. 12. The number of stores percentages, the February, 1921, averages for varies somewhat, due to the inclusion of new the cities and districts computed from such stores from time to time in the reporting list. percentages being weighted according to vol- CONDITION OF RETAIL TRADE IN THE TWELVE FEDERAL RESERVE DISTRICTS. Percentage of increase in net sales compared with corresponding period previous year- District and city. July ], 1920,to close of— J to a n c . l 1 o , s 1 e 9 o 2 f— 1, Julv, Aug.,Sept., Oct., Nov., Tec, Jan., Feb., 1920. 1920. 1920. 1920. 1920. 1920. 1921. 1921. Julv, Aug.,Sept., Oct., Nov., Tec., Jan., Feb., 1920. 1920. 1920. 1920. 1920. 1920 1921. 1921. District No. 1: Boston 16 3 11.6 16.0 0.1 15.0 1 4 5.4 10.8 16.3 24.1 15.9 9.7 11.0 8 5 5.4 7.7 Outside 27 2 9.1 14.7 2.2 1.7 16.4 U0.1 16.0 27.2 18.1 16.9 11.1 9.0 5.0 110.1 19.1 Dstrict 19 9 10 9 15.4 .6 11.4 1.4 1.5 6.5 19 9 15.1 15.2 10.1 10.4 7.7 1.5 3.5 D strict No. 2: 22.4 10.9 13.2 1.7 7.6 13.6 !6.5 il.l 22.4 13.0 3.6 5.2 3.0 3.2 16.5 14 6 Outside 26.9 26.4 16.9 15.4 18-9 5.9 11.5 9.5 26.9 27.1 23.4 19.6 22.8 14.3 11.5 1.6 District 24.4 15.9 3.6 6.2 11.6 U.6 15.3 1.0 24.4 17.5 10.2 10.0 10.0 5.5 15.3 13.5 District No. 3: Philadelphia - 8.5 2.9 2.9 3.4 12.0 9.1 2.9 4.4 Outside 8.5 10.8 3.3 4.7 18.5 21.6 3.3 1.7 District 23 8 22 6 15.2 15.8 8.5 6.1 3.1 3.8 23.8 24.9 19.6 17.3 14.6 14.1 3.1 3.6 District No 4 29 9 25.7 24.6 20.8 26.1 14.7 3.6 6.4 29.9 27.3 25.9 23.9 24.8 22.0 3.6 District No. 5: 5 9 5 3 5.9 4 6 Richmond 1 i 14 2 14 2 14.2 4 2 Washington 9 3 8.4 9.3 8.8 Other cities 4.0 15.9 4.0 9.4 District 15.7 20.9 7.5 12.4 13.1 4.9 5.4 8.6 15.7 21.1 14.1 13.6 13.5 10.4 5.4 6.4 District No 6 11.6 27.6 12.6 25.1 14.6 3.0 1 9.0 1.4 11.6 19.6 16.9 19.7 18.8 15.3 19.O 15.4 District No. 7 41.2 33 2 28 6 8 3 17 6 9 6 110 5 1 5 4 41.2 29.6 35 5 32.6 24.2 18.1 U0.5 1 4 7 District No 8 20.8 11.8 10.5 10.8 5.3 1 3.8 13.1 18.0 16.8 16.5 13.8 13.3 13.8 13.7 District No 9 il 6 8 8 3 I 2 9 2 9 5 112 3 1 7 0 li 6 3 8 7 6 112 3 1 10 9 District No. 10 14.1 9.9 7.8 il.9 9.2 15.1 111.6 4.1 14.1 14.2 11.1 5.2 12.9 .7 111.6 11.8 District No. 11 25.9 25.6 12.4 16.0 12.7 i 2.9 1 8.9 14.6 25.9 25.2 20.9 21.6 17.9 10.5 1 8.9 18.4 District No. 12: Los Angeles 35.1 48.9 29.1 19.3 31.2 13.7 17.1 14.6 35.1 42.4 37.9 33.9 33.7 28.5 17.1 13.3 San Francisco 21.0 18.6 10.4 11.5 9.9 i 3 8112 1 .4 21.0 19.6 17.3 15.4 11 7 8 7 U2.1 1 6 5 Oakland 16.9 15.3 22.0 7.2 U0.4 8.2 16.9 14.7 21.3 18.2 110.4 12.2 Sacramento 20.1 3.1 9.9 "2.3 U6.8 20.1 13.3 16.1 "Y.o U6.8 Seattle .2 i 8.0 "i"4.*5" U4.6 ii(3.4 118.7 123 4 12*4" .2 1 4.4 '14.' 2 17.3 '19'. 2Ul.l 123.4 1*9 3 Spokane 22.7 12.7 4.6 5.6 11.5 no.i 12.2 22.7 16.8 9.4 8.4 8.6 110.1 Salt Lake City ! 20.6 11.6 8.9 14.7 9.1 1 .6 15.2 20.6 16.1 14.0 12.2 14.6 1-.6 "*i"9 District 21.2 21.7 14.5 8.2 11.3 14.3 U4.3 92.4 21.2 21A 19.8 16.8 14.8 5.0 U4.3 15.9 1 Decrease. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APEIL, 1921. FEDERAL RESERVE BULLETIN. 461 CONDITION OF RETAIL TRADE IN THE TWELVE FEDERAL RESERVE DISTRICTS—Continued. Percentage of increase in stocks at close of month compared with— District and city. Same month previous year. Previous month. July, Aug., Sept., Oct., Nov., Dec, Jan., Feb., July, Aug., Sept., Oct., Nov., Dec, Jan., Feb., 1920. 1920. 1920. 1920. 1920. 1920. 1921. 1921. 1920. 1920. 1920. 1920. 1920. 1920. 1921. 1921. District No. 1: Boston 32.1 26.3 20.7 9.5 7.1 11 7 110.7 1 3.7 1 7.0 4.9 9.5 14.2 9.0 118.2 114.5 15.5 Outside 30.4 26.4 21.7 15.9 10.6 2.0 110.6 3.7 .2 3.2 9.7 3.0 12.0 120.5 18.2 15.4 District 31.5 26.4 21.0 11.6 8.2 1.7 110.7 il.6 14.7 4.3 9.5 11.8 4.9 118.9 112.7 15.5 District No. 2: N. Y. City and Brooklyn. 46.2 30.7 18.0 17.2 5.1 12.3 19.5 14.3 7.3 5.7 1.0 14.8 !20.4 18.1 6.3 Outside 30.9 26.3 20.2 15.6 3.8 112.7 120.0 123! 0 4.6 5.6 9.3 1.4 17.O 124.0 16.1 1.3 District 39.5 29.3 18.7 16.7 4.6 14.5 112.0 117.8 1.5 6.8 6.9 .5 15.6 121.1 17.6 5.3 District No. 3: Philadelphia 5.7 2.2 1 9 ill. 7 15.O 115.5 113.8 4.2 Outside 17.4 8.0 110.8 U2.4 14.1 120.0 17.4 9.5 District 28.4 31.0 20.6 16.0 10.1 4.4 14.6 111.9 3.3 6.2 8.4 .9 14.7 117.3 111.5 5.6 District No. 4 48.3 40.4 34.0 34.9 22.5 11.6 14.0 113.2 11.4 9.4 9.2 4.8 16.4 120.0 U4.6 3.1 District No. 5: Baltimore 119 7 124 0 17.0 6 9 Richmond 19.8 113.1 U5.2 7.7 Washington 128.6 129.9 118.7 9.8 Other cities 120.3 121.4 132.1 13.9 District 44.6 29.6 21.1 15.1 5.3 14.2 122.2 124.8 2.5 2.3 10.2 .1 17.7 125.5 116.2 8.9 District No. 6 51.6 39.8 37.2 30.1 16.3 1.2 1 8.3 113.9 5.6 5.4 13.1 .8 16.7 130.8 1.8 6.0 District No. 7 70.1 64.1 55.5 51.7 39.7 27.7 115.5 113.1 8.4 14.6 4.8 1.0 15.9 124.0 11.8 1.4 District No. 8 24.2 35.4 30.5 17.0 16.2 9.9 111.5 5.6 11.6 1.8 14.3 118.8 13.3 1.8 District No. 9 "12. 6 17.7 22.6 12.0 7.1 1 3.5 110.9 123.1 14.* 7* 2.9 6.9 .5 14.2 118.7 18.8 1.2 District No. 10 43.6 39.1 29.1 25.0 11.8 9.4 114.9 118.2 8.9 9.8 4.6 1 1.9 15.0 123.9 U.1 10.1 District No. 11 69.5 59.5 52.8 42.3 31.5 8.8 112.9 115.5 8.3 22.3 6.6 13.0 19.3 128.8 17.9 5.0 District No. 12: Los Angeles 47.5 31.2 33.4 21.6 16.4 !29.7 14.9 112.4 1.8 12.5 13.7 .2 14.2 145.4 3.6 .5 San Francisco 43.1 27.1 16.2 15.4 8.0 19.6 19.3 116.5 1.5 1.4 7.4 15.4 1.8 114.7 19.O 6.1 Oakland... 27.7 22 5 8 3 3 8 121 1 1 2 9 2.3 .6 1 3.1 110.9 4.2 Sacramento 11.4 17.5 1 3 6 9.8 .3 123.1 Seattle 23.4 18.4 3.9 .5 1 4.4 112.3 121.4 X27. 5 14.2 1.9 6.3 2.8 12.9 122.5 111.3 6.6 Spokane : 45.8 45. 5 40.1 33.6 U2.2 13.6 114.0 1.8 9.1 12.7 14.2 13.6 2.1 4.4 Salt Lake City 12.7 122.4 District 40.1 25.3 20.6 15.6 20.1 . 3 .4 17.6 1.8 .7 4.9 1.2 13.4 114.3 14.1 2.2 Ratio of average stocksat close of each month Ratio of outstanding orders at close of [month to average monthly sales for same period to total purchases during previous calendar (per cent). year (percent). District and city. July!, 1920,to close of— Jan. 1,1921, to close of— July, Aug., Sept., Oct., Nov., Dec, Jan., Feb., 1920. 1920. 1920. 1920. 1920. 1920. 1921. 1921. July, Aug.,Sept., Oct., Nov., Dec, Jan., Feb.. 1920. 1920. 1920. 1920. 1920. 1920. 1921. 1921.' District No. 1: Boston 419.2 447.1 412.7 388.4 368.4 329.9 270.2 325.3 18.5 13.7 11.4 7.5 5.4 3.6 5.1 7.4 Outside 436.4 472.1 485.9 482.6 456.6 452.0 392.9 473.7 9.1 14.2 14.7 10.8 10.4 4.5 8.6 District 425.1 455.1 433.5 415.6 398.6 357.9 297.2 358.1 12.0 14.0 13.1 9.1 7.7 4.8 8.1 District No. 2: New York City and Brooklyn 390.0 489.3 613.7 479.4 464.1 361.1 315.8 323.3 15.7 16.8 14.7 9.2 6.9 5.3 5.5 7.3 Outside 485.8 506.3 492.1 441.3 430.6 347.7 351.3 350.6 18.9 14.3 12.0 6.6 4.1 3.1 4.1 7.2 District 440.1 496.7 573.9 466.9 452.3 358.0 325.0 328.7 17.4 15.9 13.6 8.1 5.5 4.5 5.1 7.3 District No. 3: Philadelphia 360 4 322 6 281 9314 3 4.7 4.9 4.4 7.9 Outside 520.5 458.6 479.3 508.7 2.9 4.1 4.8 6.2 District 399.8 471.2 500.3 437.2 418.0 371.1 357.6 365.6 19.8 14.2 10.1 5.9 4.0 4.6 4.6 7.5 District No. 4 403.6 412.7 468.8 466.8 452.1 398.5 306.4 353.6 18.9 17.0 13.3 7.6 5.9 4.7 7.1 7.0 1 Decrease. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

462 FEDERAL RESERVE BULLETIN. APEIL, 1921. CONDITION OF RETAIL TRADE IN THE TWELVE FEDERAL RESERVE DISTRICTS—Continued. Ratio of average stocksat close of each month Ratio of outstanding orders at close of month to average monthly sales for same period to total purchases during previous calendar (per cent). year (per cent). District and city. July 1, 1920, to close of— Jan. 1,1921, to close of— July, Aug.,Sept., Oct., Nov., Dec, Jan., Feb., 1920. 1920. 1920. 1920. 1920. 1920. 1921. 1921. July, Aug.,Sept., Oct., Nov., Dec, Jan., Feb., 1920. 1920. 1920. 1920. 1920. 1920. 1921. 1921. District No. 5: Baltimore 311.8 341.6 7.2 7.9 Richmond 403.5 403.1 5.4 6.1 Washington 351.2 370.9 3.9 4.8 Other cities 407.1 434.3 5.4 6.9 District 505.9 560.7 512.9 489.0 454.5 386.6 344.5 368.7 16.1 14.8 8.4 7.1 3.0 2.7 6.0 6.6 District No 6 .... 403.9 381.6 307.8 549.1 405.3 17.4 15.6 11.0 6.9 5.8 4.9 3.1 6.1 District No 7 432.7 427.9 410.7 371.0 431.7 391.0 544.3 404.4 19.3 23.2 15.7 5.1 6.5 5.6 10.8 11.0 District No. 8 432.6 377'. 0 396.8 324.4 245.1 336.5 407.9 17.2 9.2 6.1 3.9 3.8 3.4 8.9 District No 9 13.7 9.1 12.4 11.9 18.7 4 2 5.5 District No 10 . .. 384.1 334.0 340.4 343.3 526.8 466.3 480.8 450.3 15.6 9.7 8.8 3.1 1.9 2.3 22.1 11.8 District No. 11 425.5 523.9 454.0 416.7 383.7 357.6 395.7 18.6 12.7 10.0 4.1 3.2 2.7 7.0 6.5 District No. 12: Los AIISGIGS 522. 5 454.2 486.0 462.5 478.0 432.5 354.1 355.6 22.8 15.5 12.0 9.3 7.6 10.6 6.9 11.5 San Francisco... 539.9 512.8 511.5 511.9 515.8 434.3 424.2 444.6 25.9 21.1 10.8 13.6 9.6 4.3 4.4 8.2 Oakland 625.1 598.3 732.5 567.4 427.2 467.1 Sacramento 423.3 387.4 "490." 5 Seattle 470.2 532.7 508.0 502.5 454.5 413.7 463.0 468.1 16.3 12.2 8.6 6.4 7.0 1.6 2.7 6.0 652.6 675.5 579.0 544.3 458.5 620.5 610.9 29.9 .1 5.2 Salt Lake City 601.4 18.7 ?, 6 District 536.5 489.6 504.0 467.3 488.5 490.7 502.4 448.2 22.3 14.2 9.5 9.8 7.0 5.8 5.4 8.6 WHOLESALE TRADE. PERCENTAGE OF INCREASE (OR DECREASE) IN NET SALES IN FEBRUARY, 1921, AS COMPARED WITH THE PRECEDING MONTH. Groceries. Dry goods. Hardware. Bo s o h t o s e a s n . d Furniture. Drugs. Au p t l o ie s s u . p- Stationery. p F l a e r m m e n im ts - . Auto tires. District. c P e e n r t. N f b ir e u m r m o s - . f c P e p n r t. N f b ir e u m r m s o . - f c P e e n r t. N f b ir e u m r m o s - . f c P e e n r t. N f b ir e u m r m o s - . f c P e e n r t. N f b ir e u m r m o s - . f c P e e n r t. N f b ir e u m r m o s - . f c P e e n r t. N f b ir e u m r m o s - . f c P e e n r t. N f b ir e u m r m o s - . f c P e e n r t. N f b ir e u m r m o s - . f c P e e n r t. N f b ir e u m r m o s. - f No. 3 -4.2 50 -4.4 25 No 5 -2.2 8+ 14.4 8 -6.9 8+77.0 8+246.4 4 No. 6 +0.6 13+33.5 14 -8.8 9+ 19.4 7 No 8 + 18.0 18 No 10 +0.3 6 +27.0 5 +72.9 3 +3.8 3 No. 11 +9.8 6+44.6 4 + 1.0 2 -18.1 3-12.9 2+25.8 2 -31.4 2 No 12 +4.9 28 +9.1 10-10.0 22+35.0 14+41. 5 15 —4.4 10 —12.2 24 +30.4 14 PERCENTAGE OF INCREASE (OR DECREASE) IN NET SALES IN FEBRUARY, 1921, AS COMPARED WITH FEBRUARY, 1920 Groceries. Dry goods. Hardware. Shoes. Furniture. Drugs. Au p t l o ie s s u . p- Stationery. p F l a e r m m e n im ts - . Auto tires. District. c P e e n r t. N f b ir e u m r m o s - . f c P e e n r t. N f b ir e u m r m o s - . f c P e e n r t. N f b ir e u m r m o s - . f c P e e n r t. N f b ir e u m r m o s - . f c P e e n r t. N f b ir e u m r m o s - . f c P e e n r t. N f b ir e u m r m o s - . f c P e e n r t. N f b i e r u m r m o s - f .c P e e n r t. N f b ir e u m r m o s. - f c P e e n r t. N f b i e r u m r m o s - f . c P e e n r t. N f b ir e u m r m o s - . f No.3 -24.9 50 -12.7 25 No. 4 -27.1 15-22.3 3-19.0 8 -31.2 4 No. 5 . . -14.5 8-50.4 8-37.4 8-42.6 8-52.3 4 No.6 -29.7 13-46.9 14-30.7 9-59.9 7 No. 7 -24.1 20-46.4 13 -53.0 8 No. 8 -43.3 18 No. 10 -17.3 6 -41.3 5 -52.8 3-32.3 3 No. 11 -34.3 6-58.0 4-28.4 2 -54.9 3-33.4 2-26.4 2 -83.9 2 No. 12 -4 7 28-33.8 10-35.6 22-39.8 14-35.7 15-13.6 10 -8.2 24 -56.6 14 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 463 COMPARATIVE WHOLESALE PRICE LEVELS IN PRINCIPAL COUNTRIES. The foreign index numbers published below can index numbers, 1913 is used as the basis are constructed by various statistical offices in the original computations. In the other according to methods described in most cases cases in which 1913 appears as the basis for in the BULLETIN for January, 1920. A descrip- the computation the index numbers have tion of the method used in the construction of been shifted from their original bases. The the Swedish index number appeared in the computations in these cases are, therefore, BULLETIN for February, 1921, for the new only approximately correct. In a few cases Italian index number in the present issue of July, 1914, or the year immediately preceding the BULLETIN, and the method used by the that, is used as the base. The figures are for Frankfurter Zeitung in the case of the German the most part received by cable, and the latest index number was described in the BULLETINS ones are subject to revision. In cases where for February and March, 1921. Complete the index numbers were available they have information regarding the computation of the been published for the war years in various United States Bureau of Labor Statistics ap- issues of the BULLETIN in 1920. pears in the publications of that bureau, and a In the following table the all-commodities description of the index number of the Federal index numbers for the whole series of countries Reserve Board may be found in the BULLETIN appear together to facilitate the study of for May, 1920. In the case of the two Ameri- comparative price levels. INDEX NUMBERS OF WHOLESALE PRICES (ALL COMMODITIES). ( R F U S 8 B t m e e i 8 t n e o d a s o i s c e a t e t d ) e o r r e r . i v d s a d m " - ; e l - t ( B S a 3 U S 2 t t L u a i t 8 n r o a t a e i i b n t q s t a e o s e t u u s i ) d r o c ; , o a s - f ( U 4 S t m K d i 5 t n e o i a o i s n c m t d t ) i o g e . i s ; m d - - & t - d G B ( t F 4 e i t m u e r s i 5 l a n e t l o a i l n e c s q e d o r ) c S t u i ^ a e m i - t e t n ; a e - - c B ti o 1 a e a t I m 9 P f h s c t 2 t r a e e m h 0 o u l r r i , y f e n o ) . ( ^ - 7 ; t d 3 1 i 6 i l 8 - ( I 4 S t t l S 7 i i a w o d v n q e n n e d d n u s i e n e ) s o . l k g n t s < a ; - - • T c J B o o J a t m a i a k p e p n y a m s k a n o ) o n ." o ( d f ; 5 o f i 6 - r c A C t O o i B u / s o I m t l u s m v i l t c r m r e m s O a o a ( [ l 9 o j u d i C a 2 n b i- ; C m D t q i a o e e u ( n 2 n p n o 7 a s a t t d 2 ) a r o , a t - - f c ; S C ( m D 7 t I m t a i 5 a n e e e l o t n p d c s i c t d a s i ) u o , a . t i r t o m - i t : t t > c - f a - s , ties)." 1913 100 100 100 100 100 2 100 100 100 1914 100 101 101 95 116 96 -100 101 <100 1915 101 126 137 133 145 97 141 110 1916 * 124 159 187 202 185 117 132 135 1917 174 206 262 299 244 149 &155 177 1918 197 226 339 409 339 193 170 206 1919 206 215 242 357 364 330 235 180 217 1920. February.. 242 249 306 522 557 342 313 206 254 209 March. 248 253 307 555 602 354 321 209 258 198 April 263 265 313 588 664 354 300 217 261 200 May 264 272 305 550 660 361 271 225 263 210 June 258 269 300 493 632 366 247 233 258 206 July.. . . 250 262 299 496 604 363 239 234 256 209 August 234 250 298 501 625 365 235 236 244 209 September... 226 242 292 526 655 362 230 230 241 208 October 208 225 282 502 659 346 226 215 234 206 November. 190 207 263 461 670 331 221 208 225 194 December 173 189 243 435 655 299 206 197 214 180 1921. January... 163 178 232 407 642 267 201 196 208 178 February 154 167 215 376 250 195 199 174 a Average for the month. b End of month. « Middle of month. 1 Index numbers for 1920 and thereafter based upon prices of 76 commodities. Computations arrived at by the method described on p. 465 of thfs BULLETIN. 2 July 1, 1913, to June 30, 1914=100. 3 July, 1914=100. < End of July, 1914=100. 5 Last six months of 1917. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

464 FEDERAL RESERVE BULLETIN. APRIL, 1921. GROUP INDEX NUMBERS-UNITED STATES, BUREAU OF LABOR STATISTICS. (In the tables below the index numbers for individual groups of commodities are given separately for certain countries. The index number for the United Kingdom will be found on p. 421, for France on p. 424, for Italy on p. 437 and for Sweden on p. 430.) [1913=100.] Date. pr F o a d r u m cts. F e o t o c d . , C c l l o o t t h h s i n a g n . d F li u g e h l t i a n n g d . M pr e m o ta d e l u t s a c a l t n s. d m b L u a u a i t m l n e d r d b i i n a e g l r . a C n h d e m dr i u ca g l s s . fur H g n o o i o s u h d s i s e n . g l M an i e s o ce u l s - . 1913 100 100 100 100 100 100 100 100 100 1914 . . .. 103 102 98 96 88 98 101 99 98 1915 106 105 99 92 94 94 109 99 99 1916 119 124 123 114 142 100 157 115 117 1917 189 178 181 175 208 124 198 145 153 1918 219 191 240 163 181 152 221 195 192 1919 234 214 270 173 161 195 178 246 217 1920. February . . . .. 237 244 356 187 189 300 197 329 227 March 239 246 356 192 192 325 205 329 230 April 246 270 353 213 195 341 212 331 238 May 244 287 347 235 193 341 215 339 246 June 243 279 335 246 190 337 218 362 247 July . ... 236 268 317 252 191 333 217 362 243 August 222 235 299 268 193 328 216 363 240 September 210 223 278 284 192 318 222 371 239 October . 182 204 257 282 184 313 216 371 229 November 165 195 234 258 170 274 207 369 220 December . . 144 172 220 236 157 266 188 346 205 1921. January 136 162 205 234 152 239 182 283 190 February 129 150 198 218 146 222 178 277 180 GROUP INDEX NUMBERS—AUSTRALIAN COMMONWEALTH—BUREAU OF CENSUS AND STATISTCS. [July, 1914=100.] Date. Me c ta o l a s l a . nd T le e a e x t t t h c il e . e r s , , p A ro t g u d r r i u c a c u l t l s - . pr D od a u ir c y ts. G to r b o a a c n c e d c ri o e . s Meat. m B a u t i e ld ri i a n l g s. Chemicals. July, 1914 100 100 100 100 100 100 100 100 1915... . ... 117 93 202 * 127 110 150 116 149 1916 154 131 113 124 127 155 136 172 1917 . . 213 207 110 116 131 155 194 243 1918 220 232 135 121 138 147 245 315 1919 193 217 186 137 147 145 261 282 1920. February 192 283 226 149 161 149 287 272 March 205 281 226 162 160 126 298 280 April. 205 277 234 169 192 160 298 280 May 214 265 252 177 197 170 307 297 214 260 261 187 195 208 307 297 July 211 252 244 188 193 261 307 283 209 251 238 189 193 284 312 282 September 211 222 231 209 196 273 295 276 October 222 220 208 214 196 226 289 276 November 222 180 206 212 195 211 281 255 December 216 156 193 210 198 193 271 252 1921. January 215 145 197 208 197 191 279 244 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APBIL, 1921. FEDERAL RESERVE BULLETIN. 465 GROUP INDEX NUMBERS—CANADIAN DEPARTMENT OF LABOR.* [1913=100.] Date. f G o r a d a n d i d e n r s . A m n e a i a n m t d a s l . s pr D o a d i u r c y ts. t F v a r a e b u n g l i d e e t s - s . f O o t o h d e s r . Textiles. l H e i e a t d t c h e . e s r , , Metals. m I e mp n l t e s - . m B l a u t u i e m l r b d i e a i r l n . s g ,F li u g e h l t i a n n g d . c D c h a r a e n u l m s d g i . s - 1913 100 100 100 100 100 100 100 100 100 100 100 100 1914 114 107 100 99 104 102 105 96 101 100 94 106 1915 136 104 105 93 121 114 110 128 106 97 92 160 1916 142 121 119 130 136 148 143 167 128 100 113 222 1917 206 161 149 233 180 201 168 217 174 118 163 236 1918 231 197 168 214 213 273 169 229 213 147 188 250 1919 226 199 192 206 222 285 213 173 228 171 201 205 1920, February... 275 195 216 290 251 321 245 199 231 243 215 189 March 280 198 206 295 254 322 222 210 237 268 215 194 April 291 200 196 316 264 366 239 214 237 268 245 201 May 301 207 189 358 275 323 215 213 237 294 257 203 June 302 211 183 338 274 314 186 207 238 294 279 206 July 292 211 194 295 283 305 183 209 242 282 294 218 August 271 204 198 142 277 300 173 209 243 285 298 218 September.. 254 202 202 190 261 296 161 207 259 273 296 217 October 229 194 207 177 249 292 156 203 259 265 295 211 November.. 201 184 209 203 236 273 153 195 259 265 270 205 December.. 190 179 221 189 222 251 141 178 259 252 269 201 1921. January 186 175 216 184 212 228 131 174 257 248 • 247 196 February... 171 171 185 163 205 204 126 167 257 239 234 188 1 Unimportant groups omitted. GROUP INDEX NUMBERS—CALCUTTA INDIA DEPARTMENT OF STATISTICS. [End of July, 1914=100.] Date. B m r u a i i i a n t l l g e s d - . - a M r t t a f u i a n r c c e l u - e d - s. Metals. H s a k i i n d n d e s s . C m t o a u f t a r n c t e u - s o - . n co R t a t w on. m t J a u f u a r n c t e u - s e - . O t t t i e l h x e e s - r . Oils. j R u a te w . se O e i d l s. Tea. Sugar.Pulses.Cereals.O fo t o h d e s r . End of July, 1914... 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 1920. February 118 217 215 233 364 185 164 158 155 123 190 92 363 191 158 192 March 127 218 222 211 351 179 150 159 135 118 166 87 321 160 151 199 April 114 201 219 209 357 158 170 161 116 119 163 90 377 159 156 185 Mav 128 215 248 160 365 135 142 164 123 120 169 90 511 150 157 183 June 131 233 244 116 364 144 147 164 119 83 171 73 482 149 156 180 July 139 235 249 100 364 132 151 168 119 89 169 74 503 159 151 188 August 142 235 257 99 360 139 163 168 115 91 167 72 477 160 154 185 September 158 237 245 105 347 154 163 164 115 105 179 65 456 170 154 186 October . . 154 282 245 96 343 142 136 164 132 104 184 64 392 169 155 178 November 161 246 243 89 341 133 118 164 118 90 163 62 348 168 150 173 "PflCf^mbPT 161 229 242 90 116 107 156 124 83 152 69 273 149 139 160 1921. January 158 238 247 81 324 107 104 149 116 85 130 77 314 135 139 139 February . . - 147 226 243 80 306 104 101 149 97 80 124 70 352 119 129 148 NEW ITALIAN INDEX NUMBER OF WHOLESALE Index numbers for Italy. PRICES. [Prof. Bachi's New Series. Basis, 1920=100.] Prof. Riccardo Bachi has constructed a new index number of wholesale prices in Italy to take b n th y u e m h p b i l m a e c r e f i o o s r f b a t a h s n e e u d o m l u d b p o e o n r n e o , t f h w e y h e p ic a r h r ic s h e . a s s o T b f h e 7 e e 6 n n c e c o w o m m i m n p d i o l e e d x d - V f t o a e o b g d l e e s - . f A m oo n a d i l - s. C ic h a e l m s. - t T il e e x s - . m e M a a r n l e a i s d n t l . - s - B m r i i u n a a i g l t l s e d . - - O t v u p a e c r t b g o h t l s e d e e . - r -d S r u i n e - s. i n n G b e u d e r e m a r e n . l x - ities, just double the number of commodities in the old index. It is constructed by obtaining the Commodities 19 10 12 76 unweighted arithmetic average of the ratios of 1920. the individual prices expressed in terms of the January 86.2 81.2 64.2 95.3 75.9 72.0 93.5 78.2 81.25 February 91.6 79.5 76.8 106.0 92.7 75.4 100.9 85.8 89.13 base period. The average end of month prices March 93.1 82.7 96. 115.6 104.8 82.2 102.4 92.8 96.41 in 1920 serve as the basis for the calculation. April 102.7 83.6 110.4 130.8 115.8 96.4 99.8 104.2106.30 May 102.2 S2.9 122.6 104.9 113.2 101.8 97.2 107.8105.73 In the case of important commodities two or June 100.2 101.1 112.8 90.8 99.1 106.3 95.9 105.7101.18 July 96.8 100.3 100.0 88.3 95.5 108.4 90.2 104.9 97.77 three quotations are included in the index num- August 100.7 103.4 102.3 94.9 96.6 109.9 91.9 101.4 100.13 ber, otherwise no weighting is used. As the new September. 104.8 108.8 100.1 99.6 103.7 109.9 97.5 102.1104.98 October 107.1 108.0 103.4 97.9 106.5 112.8 100.5 105.4105.47 index number agrees fairly well with the old one November. 107.7 124.1 107.7 94.0 101.4 112. 108.7 105.2107.33 for the year 1920, Prof. Bachihas recomputed the December. 106.9 126.4 102.8 81.9 92.7 112.6 121.8 106.8 104.97 new series on the base of the old index number 1921. January 106.7 120.7 98.1 77.4 88.2 113.3 123.4 107.1102.89 and thus carries on the original series without a break. These figures will be found on page 463 of this issue of the BULLETIN. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

466 FEDERAL RESERVE BULLETIN. APRIL, 1921. DISCOUNT AND OPEN-MARKET OPERATIONS OF THE FEDERAL RESERVE BANKS DURING FEBRUARY, 1921. DISCOUNTS. For each Federal Reserve Bank the volume of discounts has been multiplied by the average Discount operations of the Federal Keserve maturity and the total divided by the number Banks during February and January, 1921 of|days in the month. It may be noted that and 1920, are shown in summary form for the the figures shown in the third column are not entire system in the table below. Detailed exactly the products of the figures in the figures for each Federal Reserve Bank for the preceding two columns, for the reason that, most recent month are given on pages 469 in the computation, average maturity was to 471. carried out four decimal points beyond those Summary of volume of discount operations. shown in the table. As explained in the March BULLETIN, page 350, this method [In thousands of dollars.] affords a basis for a fairer comparison as between banks than do volume figures taken 1921 1920 by themselves. By further reducing the monthly figures to a daily basis, two objects February. January. February. January. are served. In the first place, the figures are reduced from an excessively large total that Discounts—Total 8,120,8498,257,7626,517,439 6,241,272 Secured by Government is hard to grasp to a figure which, if it were obligations 3,856,306 4,141,555 5,544,279 5,456,304 Otherwise secured and perfect, would give the average daily amount unsecured— Total., 4,264,5434,116,207 973,160 784,968 of funds needed by each Federal Reserve Commercial paper, n. e. s 4,187,0594,015,773 933,557 751,272 Bank in its discount department in order Agricultural paper... 46,263 56,714 Live-stock paper 11,806 15,119 to carry on the business actually done during Trade acceptances- the month under review. The other object Total 13,256 20,171 10,992 16,470 Domestic 12,799 20,095 served by this calculation is the elimination Foreign 457 76 Bankers' accept- of the inequalities in the length of the months. an D ce o s m — e T st o ic tal 6 2 , , 1 9 5 0 9 7 3 8 , , 0 43 05 0 28,611 17,226 In subsequent numbers of the BULLETIN Foreign 3,752 5,425 figures in this table will be shown on a daily Average maturity (in days) 9.53 10.18 12.26 13.21 basis only, with comparisons between the dif- Average rate (365-day ferent banks and between the different months basis), per cent 6.41 6.37 5.52 4.90 of the year. January figures of discounts are smaller Discount operations during February aggre- for paper secured by Government obligations gated $8,121,000,000, a decrease of $137,000,000 but larger for all other paper. Discounts from the total of $8,258,000,000 reported for of paper secured by Government obligations January and an increase of $1,603,000,000 from declined from $4,142,000,000 in January to the total reported for February, 1920. $3,856,000,000 in February, while all other In order to present a fair comparison of the paper increased from $4,116,000,000 to discount operations of the different Federal $4,265,000,000. Of the different classes of Reserve Banks, a computation has been made paper not secured by Government obliwhich reduces the volume of discounts to a gations, the only class that shows an daily basis. The table below shows the method increase for the month is commercial of operation: paper, which increased from $4,016,000,000 in January to $4,187,000,000 in February. Volume of discounts reduced to daily basis. Smaller totals are shown for agricultural and live-stock paper, as well as for discounted Aver- Volume times average age maturity. . trade and bankers7 acceptances. The decrease Federal Reserve Volume. ma- Bank. ( t d u a r y it s y ). Total. R da e i d l u y c b e a d s t i o s. i n n o t d a i b s l c e o , un t t h ed e tr a a m de o u a n c t c ep fo ta r n ce F s e b is r u p a a r r y ti cu b l e a i r n l g y $13,000,000, compared with $20,000,000 in All banks. -. $8,120,848,629 9.53 $77,406,483,799 $2,764,517,209 January. The decrease in bankers7 accept- Boston 523,827,359 7.89 4,130,918,151 147,532,793 ances was from $8,500,000 to about $6,500,000. New York .. 5,631,398,234 5.51 31,044,911,124 1,108,746,821 Philadelphia— 309,687,078 12.70 3,932,345,286 140,440,900 Average maturity of paper discounted in Cleveland 380,693,798 9.40 3,579,985,713 127,856,632 Richmond 225,299,436 12.99 2,927,249,840 104,544,631 February was 9.53 days, compared with 10.18 A Ch tl i a ca n g ta o 3 1 8 4 6 9 , , 8 5 8 1 2 0 , , 1 0 3 3 6 3 2 3 5 3 . . 5 8 0 1. 1 3 2 , , 8 9 5 5 9 9 , , 1 9 7 60 8 , , 2 7 6 2 4 7 4 1 6 3 2 7 , , 8 8 5 2 5 7 , , 7 8 1 1 4 1 days the month before, and 12.26 days in St. Louis 121,650,136 26.43 3,214,745,794 114,812,350 February, 1920. The average rate of interest Minneapolis 69,309,518 32.66 2,263,350,601 80,833,950 Kansas City 91,428,751 30.79 2,814,723,145 100,525,821 charged on discounted paper in February was D Sa a n ll a F s rancisco... 1 6 6 7 3 , , 3 7 7 8 4 7 , ,7 3 5 9 2 8 3 2 1 7 . . 6 7 2 7 4 2 , , 5 1 4 3 8 0 , , 8 3 0 1 0 4 , , 3 8 3 2 1 0 1 7 6 6 2 , , 0 4 8 5 2 7 , , 6 1 7 5 0 0 6.41 per cent, marking a slight increase from the 6.37 per cent shown for the preceding Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APBIL, 1921. FEDERAL RESERVE BULLETIN. 467 month and comparable with 5.52 per cent for ACCEPTANCES. February, 1920. A summary of the open-market operations Following is a summary of holdings of disof the Federal Reserve Banks in February and counted bSls at the end of February and January, 1921 and 1920, is shown in the follow- January, 1921 and 1920. Detailed figures for ing table. Detailed statistics for each Federal each Federal Reserve Bank are shown on Reserve Bank are shown on page 470. pages 471 to 473: Summary of open-market operations. Summary of holdings of discounted bills. [In thousands of dollars.] [In thousands of dollars.] 1921 1920 1921 1920 Feb. 28. Jan. 31. Feb. 27. Jan. 30. F a e r b y r . u- January. F a e r b y r . u- January. Total 2,389,510 2,457,116 2,453,511 2,174,357 Secured by United States Bills purchased—Total 169,456 122,268 300,308 302,452 Government obligations 997,968 1,040,365 1,572,980 1,457,892 Bankers' acceptances- Otherwise secured and unse- Total 167,362 121,134 296,959 299,746 cured—Total 1,391,542 1,416,751 880,531 716,465 In the domestic trade. 37,074 32,275 65,918 60,785 Commercial and indus- In the foreign trade.. 115,638 78,001 228,091 236,180 trial paper, n. e. s 1,140,826 1,157,768 755,750 614,710 Dollar exchange 14,650 10,858 2,950 2,781 Agricultural paper 136,679 140,815 30,125 23,212 Trade acceptances—Total 2,094 1,134 3,349 2,707 Live-stock paper 83,654 88,233 37,070 33,693 In the domestic trade. 15 70 29 303 Trade acceptances—Total 16,962 17,429 18,508 2i,886 In the foreign trade.. 2,079 Foreign trade 540 115 Average maturity (in 1,064 3,320 2,404 Domestic trade 16,422 17,314 days) Bankers' acceptances- Average rate (365-day 38.47 50.50 47.05 Total 13,421 12,506 39,078 19,964 basis), per cent 6.01 Foreign trade 10,335 8,419 United States securities pur- 6.05 5.53 5.10 Domestic trade 3,086 3,912 chased: Dollar exchange 175 Bonds 12 200 Certificates of indebtedness 18,879 274,172 304,296 642,375 ADDITIONS TO MEMBERSHIP. During the month of February 22 banks Bills purchased in February totaled were added to the membership of the system, $169,000,000, or decidedly more thanvthe total the total number of banks increasing from 9,659 of $122,000,000 purchased in January. In to 9,681. The number of banks accommo- February, 1920, the amount purchased was dated in January was 5,291 and in February $300,000,000. Of the bills purchased in Feb- 5,107, so that the percentage of banks accom- ruary, $167,000,000 were bankers7 acceptances modated declined from 54.8 to 52.8 per cent, and about $2,000,000 trade acceptances. Of this decline being general throughout the sys- the bankers7 acceptances purchased over 70 tem. The number of member banks in each per cent were acceptances in the foreign trade, district at the end of February and of January and of the trade acceptances all but $15,000 and the number and percentage accommodated were in the foreign trade. The average during each of the two months are shown in the maturity of acceptances purchased in Febfollowing statement: ruary was 36.98 days, compared with 38.47 days for the month before and 50.50 days a year earlier. The average rate of interest on Member banks Member banks Percentage acceptances was 6.01 per cent, compared with in district. accommodated. accommodated. 6.05 in January, 1921, and 5.53 in February, Federal Reserve Bank. 1920. Feb. Febru- Janu- Febru- Janu- 28. Jan. 31. ary. ary. ary. ary. The following table shows the total volume of acceptances purchased by each of the Boston 439 439 225 226 51.3 51.5 Federal Reserve Banks, the average maturity, New York 788 786 316 329 40.6 41.9 Philadelphia.. 701 698 318 324 45.4 46.4 the total volume times the average maturity, Cleveland 874 870 237 217 27.1 28.4 Richmond 611 611 335 352 54.8 57.6 and this amount reduced to a daily basis. Atlanta 472 468 340 339 72.0 72.4 This table is prepared on the same principle Chicago 1,425 1,427 908 943 63.7 66.1 St. Louis 575 574 299 309 52.0 53.8 and for the same purpose as the similar table Minneapolis-.. 1,005 1,007 589 611 58.6 61.0 Kansas City.. 1,093 1,092 561 609 51.4 55.8 shown for discounts and brings out more Dallas 851 849 550 566 64.6 66.7 clearly than other figures the relative volume San Francisco. 847 838 429 433 50.6 51.7 of acceptance business done by the different Total... 9,681 9,659 5,107 5,291 52.8 54.8 banks: Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

468 FEDERAL RESERVE BULLETIN. APKIL, 1921. Volume of open-market purchases reduced to daily basis. the end of February were distributed, by classes of accepting institutions, as follows: 35.4 per cent were accepted by national banks; Volume times average Aver- maturity. 22.1 per cent by nonnational member banks; age Feder B a a l n R k e . serve Volume. tu m r a it - y Reduced i 2 n 0 g .6 c p o e r r p o ce ra n t t i o b n y s ; n o 1 n 0 m .3 e m p b e e r r b ce a n n t k s b a y n d p r b i a v n a k te - (days). Total. to daily basis. bankers; and 11.6 per cent by branches and agencies of foreign banks. All banks $169,455,996 36.98 $6,265,790,939 $223,778,248 Summary of holdings of purchased and discounted accept- Boston 23,063,895 19.46 448,824,840 16,029,458 New York 58,060,970 25.31 1,469,379,494 52,477,837 ances. C Ph le i v la e d la e n lp d hia 2 1 7 1 , , 5 00 9 1 2 , , 7 8 7 3 4 3 4 4 9 9 . . 8 5 0 0 1,3 5 6 4 5 7 , , 7 8 6 7 3 2 , , 7 9 8 9 7 2 4 1 8 9 , , 7 5 7 66 7 , , 8 2 9 7 2 5 [Tn thousands of dollars.] Richmond 1,695,100 37.88 64,206,000 2,293,072 Atlanta 503,944 47.14 23,755,055 848,394 Chicago 16,200,212 58.01 939,743,141 33,562,255 End of— St. Louis 1,572,409 32.28 50,764,521 1,813,018 Minneapolis Kansas City ... . February. January. Dallas San Francisco 29,764,859 45.54 1,355,481,109 48,410,039 All classes 199,804 193,635 Purchased in open market 169,420 163,700 Following is a summary of the holdings of Discounted for member banks 30,384 29,935 Total, distributed by class of acceptances: purchased and discounted acceptances at the Bankers' acceptances—Total 182,469 174,891 end of January and at the end of February, Foreign 134,885 128,389 Domestic 37,072 38,494 1921. It will be noted that of the $200,000,000 Dollar exchange 10,512 8,008 of acceptances held by the Federal Reserve Trad F e o a re c i c g e n ptances—Total 17 1 , , 3 22 35 2 1 1 8 , , 0 7 1 4 1 4 Banks at the end of February about Domestic 16,113 17,733 Bankers' acceptances, distributed by classes of $170,000,000 were purchased acceptances and accepting institutions: Member banksabout $30,000,000 discounted acceptances. Of National 64,652 61,399 the acceptances held, about $182,000,000 were Nonnational 40,330 36,295 Nonmember banks and banking corporations. 37,561 35,421 bankers' acceptances and $17,000,000 trade Private bankers 18,729 18,442 acceptances. Bankers7 acceptances held at Branches and agencies of foreign banks 21,197 23,334 CASH RESERVES, TOTAL DEPOSITS, FEDERAL RESERVE NOTE CIRCULATION, AND RESERVE PERCENTAGES FOR FEBRUARY AND MARCH, 1921. [Daily averages. In thousands of dollars.] Federal Reserve notes Total cash reserves. Total deposits. in actual circulation. Reserve percentages. Federal Reserve Bank. March. February. March. February. March. February. March. I February. Boston 228.977 244,201 114,174 117,451 263,028 263,744 60.7 64.1 New York 661,950 564,119 678,428 688,163 789,258 791,813 45.1 38.1 Philadelphia 192,265 192,950 109,383 107,889 247,776 256,344 53.8 53.0 Cleveland 308,282 309,037 153,948 155,719 296,596 311,618 68.4 66.1 Richmond 95,992 97,381 62,004 60,213 149,234 149,399 45.4 46.5 Atlanta 89,847 87, 703 54,161 49,285 159,336 167,932 42.1 40.4 Chicago 351,637 381,128 258,126 252,573 487,105 516,326 47.2 49.6 St. Louis 101,513 103,427 69,555 70,552 119,181 122,992 53.8 53.4 Minneapolis 55,826 46,451 48,234 46,156 70,073 71,839 47.2 39.4 Kansas City 82,306 79,538 83, 599 81,615 97,446 100,903 45.5 43.6 Dallas 44,141 44,775 53,998 52,876 62,931 68,553 37.8 36.9 San Francisco... 190,734 192,827 122,919 121,984 237,522 247,115 52.9 52.2 Total, 1921. 3,403,470 2,343,537 1,808,529 1,804,476 2,979,486 3,068,578 50.2 I 48.1 1920. 2,058,293 2,053,422 2, 032,787 2,002,503 3,040,440 2,946,863 1 42. 7 143.3 1919. 2,202,368 2,183,641 1,951,752 1,855,124 2,503,350 2,462,941 151.6 1 52.5 1 Calculated on basis of net deposits and Federal Reserve notes in circulation. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 469 VOLUME OF DISCOUNT AND OPEN-MARKET OPERATIONS DURING FEBRUARY, 1921. United States securities purchased. Total. Bills Bills Federal Reserye Bank. f d o i r s b c m a o n e u k m n s t b . e e d r b m ou o a g p rk h e t n e t i . n Bo a n n d d s o C f e i r n ti d fi e c b a t t e e d s - February, February, Victory ness. 1921. * 1920. notes. Boston $523, 827,359 $23,063,895 $1,698,500 $548,589,754 $489,234,820 New York 5,631,398,234 58,060,670 2,774,000 5,692,233,204 4,072,538,898 Philadelphia... 309,687,078 11,001,774 7, 544,000 328,232,852 571,916,991 Cleveland 380,693,798 27,592,833 408,286,631 329,990,398 Richmond 225,299,436 1,695,100 $100 226,994,636 277,406,601 Atlanta 149, 510,033 503,944 500 150,014,477 148,445,102 Chicago 386, 882,136 16,200,212 2,211,500 405,293,848 562,065,305 St. Louis 121,650,136 1,572,409 1,394,500 124,617,045 177,182,816 Minneapolis... 69,309,518 17,000 69,326,518 68,294,167 Kansas City... 91,428,751 200,000 91,628,751 135,647,440 Dallas 67,374,398 67,374,398 85,350,062 San Francisco. 163,787,752 29,764, 859 3,039,500 196,592, 111 203,975,150 Total, February, 1921.... 8,120,848,629 169,455,996 100 18, 879,500 S, 309,184,225 February, 1920 6,517,439,082 300,307,768 4,900 304,296,000 7,122,047,750 2 months ending: Feb. 28,1921 16,378,610,874 291,724,484 11,800 293,051,500 16,963,398,658 Feb. 29,1920 12,758,710,609 602,760,152 222,400 946,671,500 i4,"308,"364,"66i VOLUME OF BILLS DISCOUNTED DURING FEBRUARY, 1921, BY CLASSES OF PAPER; ALSO AVERAGE RATES AND MATURITIES. Member banks' collateral Customers' notes. Federal Reserve Bank. G ob p c o l u a v i p r g e e e r a d n r t i m s b o e y n e - s n . t G S o e v cu er re n d m b e y nt O s t e h c e u r r w ed is . e p C ap o e m r m , n e . r c e i . a s l . Ag p ri a c p u e lt r u . ral Li p v a e p -s e t r o . ck obligations. Boston $16,254,769 $265,539,000 $241,753,122 $61,839 $34,720 New York 66,254,295 2,134,870,132 3,420,132,754 200,776 3,450 Philadelphia 11,148,557 192, 387,850 105,479,588 179,281 Cleveland 1,353,614 323, 701,282 $157,000 52,922,569 106,244 12,767 Richmond 2,345,793 193, 302,692 10,000 24,695,412 3,986,606 Atlanta 7,129,930 96, 109,500 580,900 40,158,301 4,332,241 438,387 Chicago 11,880,221 208, 097,922 1,285,700 151,278,047 12,617,496 880,974 St. Louis 4.230,950 63,722,749 15,000 49,897,362 2,684,428 146,526 Minneapolis 796,950 34,556,675 10,225,381 14,743,105 5,975,572 2,677,754 Kansas City 3,001,561 64,644,635 100,000 15,020,136 7,134,996 784,669 Dallas 239,702 48,952,586 2,370,400 7,578,116 4,543,250 3,492,200 San Francisco 4,151,202 101, 633,658 7,827,181 40,819,313 4,440,108 3,334,592 Total: February, 1921 128,787,544 3,727,518,681 22,571,562 4,164,477,825 46,262,837 11,806,039 January, 1921.. 148,553,318 3,993,001,700 29,671,038 3,986,102,310 56,714,276 15,118,429 February, 1920. 199,299,992 5,344,979,056 7,148,484 926,408,815 January, 1920.. 211,248,641 5,245,055,169 14,562,097 736,710,309 Trade acceptances. Bankers' acceptances. Average Average Federal Reserve Bank. T c o la ta ss l, e a s. ll tu m r a i - ty. (36 ra 5 t - e day Domestic. Foreign. Domestic. Foreign. basis). Days. Per cent. Boston $82,369 $101,540 $523,827,359 7.89 6.46 New York 6,834,286 $1,132 528,238 $2,573,171 5,631,398,234 5.51 6.55 Philadelphia... 104,802 387,000 309, 687,078 12.70 5.67 Cleveland 1,206,179 310,000 924,143 380, 693,798 9.40 5.96 Richmond 958,933 225, 299,436 12.99 6.00 Atlanta 583,954 176,820 149, 510,033 25.81 6.29 C S h t. i c L a o g u o is 8 1 4 6 1 4 , , 7 8 7 3 6 5 455,788 332,498 3 1 8 2 6 1 ; , 6 8 5 8 0 2 , , 1 1 3 3 6 6 3 2 3 6 . . 5 4 0 3 6 6. . 1 7 6 0 Minneapolis 111, 081 223,000 69,309,518 32.66 6.73 Kansas City.... 742,754 91.428,751 30.79 6.47 Dallas 198,144 67;374,398 31.62 6.12 San Francisco.. 979,194 347,781 254,723 163, 787,752 27.77 6.00 Total: February, 1921. 12,808,307 456,920 2,406,877 3,752,037 8,120,848,629 9.53 6.41 January, 1921.. 20,095,501 76,111 3,005,057 5,424,505 8,257,762,245 10.18 6.36 February, 1920. 10,991,506 28,611,229 6,517,439,082 12.26 5.52 January, 1920.. 16,469,420 17,225,891 6,241,271,527 13.21 4.90 i Includes $100,000 of dollar exchange bills. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

470 FEDEKAL RESERVE BULLETIN. APRIL, 1921. VOLUME OF BANKERS' AND TRADE ACCEPTANCES PURCHASED DURING FEBRUARY, 1921, BY CLASSES OF PAPER ALSO AVERAGE RATES AND MATURITIES. Bankers' acceptances. Trade acceptances. Average Total bills Average rate Federal Reserve Bank. Dollar purchased. maturity. (365-day Foreign. Domestic. exchange Total. Foreign. Domestic. Total. basis). bills. Days. Per cent. Boston $15,942,469 $5,831,426 $1,290,000 $23,063,895 $23,063,895 19.46 5.94 New York 38,042,696 11,305,855 6,759,130 56,107,681 $1,948,289 $5,000 $1,953,289 58,060,970 25.31 5.96 Philadelphia 8,451,656 1,500,118 1,050,000 11,001,774 11,001,774 49.80 5.99 Cleveland 18,724,047 6,481,810 2,332,000 27,537,857 44,976 10,000 54,976 27,592,833 49.50 6.02 Richmond 1,365,000 330,100 1,695,100 1,695,100 37.88 6.08 Atlanta 97,484 406,460 503,944 503,944 47.14 7.10 Chicago . . .... 9,884,557 4,979,089 1,336,566 16,200,212 16,200,212 58.01 6.08 St. Louis 859,795 712,614 1,572,409 1,572,409 32.28 6.04 Minneapolis . . .. Kansas City Dallas j San Francisco 22,269,851 5,527,030 1,882,701 29,679,582 i 85,277 85,277 29,764,859 45.54 6.03 Total: February, 1921.. 115,637,555 37,074,502 14,650,397 167,362,454 2,078,542 15,000 2,093,542 169,455,996 36.98 6.01 January, 1921... 78,001,421 32,275,174 10,858,001 121,134,596 1,064,091 69,801 1,133,892 122,268,488 38.34 6.05 February, 1920.. 228,091,255 65,917,632 2,950,000 296,958,887 3,319,569 29,312 3,348,881 300,307,768 50.50 5.53 January, 1920... 236,179,622 60,785,060 2,781,100 299,745,782 2,404,281 302,321 2,706,602 302,452,384 47.05 5.10 VOLUME OF BILLS DISCOUNTED DURING THREE MONTHS ENDING FEB. 28, 1921, BY RATES OF DISCOUNT CHARGED; ALSO AVERAGE RATES AND MATURITIES. 5 per cent. 5£ per cent. 5f per cent. 6 per cent. Federal Reserve Bank. Amount. Discount, Amount. Discount. Amount. Discount Amount. Discount, Boston $243,465,500 $255,147 $771,086,178 $873,021 New York 2,629,816,897 1,111,408 4,685,608,863 5,632.961 Philadelphia... $10,509,500 $15,549 671,709,777 1,524,204 $14,800,500 I $27,293 349,827,433 717,281 Cleveland 11,375,000 17,588 803,584,108 708,211 371,327,743 1,270,423 Richmond 8,206,000 11,842 8,129,500 10,521 728,992,823 1,684,542 Atlanta 6,439,500 9,996 321,168,451 862,283 2,575,900 5,599 4,047,930 14,539 Chicago 42,307,000 72,529 46,566,500 109.959 688,922,008 2,034,709 St. Louis "5*88i,*566" *9,"i74 231,882,730 559,047 2,686 5 196,423,590 1,290,574 Minneapolis... 29,767,700 63,055 81,099,509 211,962 Kansas City... 3,561,500 6,061 1,050,000 1,786 11,408,000 25,004 313,696,830 1,867,090 Dallas 9,619,850 17,691 145,495,596 343,842 3,029,200 7,153 103,988,873 993,375 San Francisco. 11,512,000 17,294 20,992,000 44,931 645,083,701 2,715,215 Total. 36,011,850 58,471 4,347,756,651 4,840,025 911,088,394 938,676 8,940,105,481 9,305,692 6J per cent. 7 per cent. Super-rates. Total. Average Federal Reserve Bank. Average rate maturity, (365-day Amount. Discount Amount. Discount. Discount. Amount. Discount. basis). Days. Per cent. Boston $554,522,010 $1,723,892 $1,569,073,688 $2,852,060 10.19 6.51 New York.... 10,089,018,855 10,511,882 17,404,444,615 17,256,251 5.54 6.53 Philadelphia. 1,046,847,210 2,284,327 14.10 5.65 Cleveland — 1,186,286,851 1,996,222 10.32 5.90 Richmond 745,328,323 1,706,905 13.94 5.99 Atlanta 228,809,962 1,690,838 563,041,743 2,583,255 26.17 6.40 588,848,929 6,740,249 1,366,644,437 8,957,446 35.64 6.71 St. Louis $199,470 434,190,506 2,058,270 26.78 6.46 Minneapolis $558,507 $3,911 135,754,063 1,237,695 247,179,779 1,516,623 33.11 6.76 Kansas City.... 273,531 329,716,330 2,173,472 35.10 6.85 Dallas "*7,"793,"85i" * "105*833' 31,300 269,927,370 1,499,194 33.53 6.05 San Francisco.. 677,587,701 2,777,440 24.97 5.99 Total.. 558,507 3,911 11,604,747,670 22,010,389 504,301 25,840,268,553 47,661,465 10.48 6.42 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 471 VOLUME OF ACCEPTANCES PURCHASED DURING THREE MONTHS ENDING FEB. 28, 1921, BY RATES OF DISCOUNT CHARGED; ALSO AVERAGE RATES AND MATURITIES. Federal 5§ per cent. 5§ per cent. 5f per cent. 5| per cent. 6 per cent. 6^ per cent. Reserve Bank. Amount. Discount. Amount. Discount. Amount. Discount. Amount. Discount. Amount. Discount. Amount. Discount. Boston $800,395 $2,369 $21,606,986 $59,644 $13,427,775 $70,881 $5,841,143 $43,860 New York 169,371,006 446,632 46,496,845 349,147 27,735,614 281,877 Philadelphia.. | . 7,641,700 43,184 7,548,379 63,856 11,913,232 152,972 Cleveland 10,030 14 9,662,170 34,671 24,467,825 188,999 15,352,112 179,533 Richmond.. 8,425,126 61,900 Atlanta Chicago . 2,300 11 9,426,718 38,127 22,737,639 197,281 11,684,436 142,724 $345,000 $5,229 St. Louis $30,000 118 257,864 687 746,854 4,404 1,306,858 9,801 Minneapolis.. 981,019 11,563 Kansas City.. Dallas 71,673 773 SanFrancisco. 13,460,523 48,505 20,971,457 166,878 19,423,652 192,470 Total... 30,000 18 812,695 2,394 231,426,967 671,450 136,396,774 1,041,376 102,734,865 1,077,473 345,000 5,229 6£ per cent. 6J per cent. 6| per cent. 6J percent. 1 6| per cent. 6| per cent. Federal Reserve Bank. Amount. Discount. Ainount. Discount. Amount. Discount. Amount. Discount. Amount. Discount.Amount. Discount. Boston $5,405,827 $20,191 $2,946,243 $7,723 $6,601,738 $14,019 $1,007,702 $3,045 $405,900 $1,984 $78,000 $85 New York 6,997,041 74,975 | 4,352,386 52,317 718,100 8,711 246,782 3,789 50,000 722 Philadelphia 177,347 2,332 1 50,000 477 Cleveland 4,046,352 25,919 387,585 6,330 1,663,555 4,885 17,844 280 Richmond Atlanta Chicago 5,479,869 60,730 j 2,791, 758 35,369 6,178,134 96,076 7,300 106 St. Louis.. 943,335 2,461 644,750 1,845 1,240,668 3,409 26,666 74 Minneapolis 40,000 197 j... 50,000 797 Kansas City Dallas. . . San Francisco... 6,893,991 85,902 1,537,367 21,553 i87,452 2,706 3,400 52 Total 29,040,427 270,246 13,608,674 126,230 16,043,729 129,039 2,523,696 10,681 432,566 2,058 128,000 807 6| per cent. 7 per cent. 7J per cent. Total. Average Federal Reserve Bank. m A a v t e u r r a i g ty e . (36 ra 5 t - e day Amount. Discount. Amount. Discount. Amount. Discount. Amount. Discount. basis). Days. Per cent. Boston $58,121,709 $223,801 23.34 6.02 New York $4,012,420 $10,646 $60,000 $603 260,040,194 1,229,419 28. 85 5.98 Philadelphia.. 27,330,658 262,821 58.39 6.01 Cleveland $15,000 $43 31,346 270 56,253,789 440,944 47.50 6.02 Richmond 8,425,126 61,900 44.08 6.08 Atlanta .. 4,782,399 53,112 4,782,399 53,112 57.12 7.10 Chicago 58,653,154 575,653 58.63 6.11 St Louis 5,196,995 22,699 25.80 6.18 Minneapolis 1,071,019 12,557 70.06 6.11 Kansas City 3,127,798 34,269 3,127,798 134,269 56.35 7.10 Dallas - 71,673 "* 773 64.71 6.08 San Francisco 62,477,842 518,066 50.03 6.05 Total 15,000 43 11,953,963 98,297 60,000 603 545,552,356 3,436,014 37.99 6.05 AVERAGE DAILY HOLDINGS OF EACH CLASS OF EARNING ASSETS, EARNINGS THEREFROM, AND ANNUAL RATES OF EARN- INGS, DURING FEBRUARY, 1921. Average daily holdings of— Earnings on— Annual rates of earnings on— Feder B al a n R k e . serve A of l a l e s c s a l e r a n t s s i s . n e g s Dis b co il u ls n . ted c b h P i a u l s l r e s - . d se U S cu n ta r i t i t t e e i d s es. c e l a a a s s A r s s n e l e i l t s n s o g . f co b D u il n i l s t s - e . d c b h P i a u l s l r s e - . d U s S e t n t i c a e i u t t s e r e . i d s - e a c a s l A a r s o n s e l f s i l t e n s s . g :o b D u il i n l s s t - e . d c b h P i a u l s l r s e - . d U s S e t t n i c a e i u t t s e e r . i s d - Perct. Per a. Perct. Perct. Boston | $167,783,829 $127,645, *2*2v9 $18,03S, 179 $22,100,421 $753,917 $636,971 $82,312 $34,634 5.86 6.51 5.95 2.04 New York 987,115,479 907,565,752 18,611,399 60,938,328 4,737,190 4,553,816 84,397 98,977 6.26 6.54 5.91 2.12 Philadelphia 203,981,027 149,774,875 21,840,334 32,365,818 803,647 649,720 99,976 53,951 5.13 5.65 5.96 2.17 Cleveland 201,376,596 128,605,325 48,127,621 24,643,650 858, 400 220, 503 39,059 5.56 6.07' 5.97 2.07 Richmond 125,766,230 107,750,411 4, 520,451 13, 495,368 538,230 496,223 21,139 20,868 5.58 6.00 6.10 2.02 Atlanta 145,424,884 126,281,701 2,361,013 16, 782,170 660,103 621,312 12,879 25,912 5.92 6.41 7.11 2.01 Chicago ! 425,603,101 369,747,580 11,697,814 44,157,707 2,010,346 1,885,207 53,248 71,891 6.16 6.65 5.93 2.12 St. Louis | 109,141,369 91,388,995 555,3ir 17,197,061 467,013 435,413 2,868 28,732 5.58 6.21 6.73 2.18 Minneapolis 89,273,000 80,677,000 8,596,000 427,430 414,148 13,282 6.24 6.69 2.01 Kansas City j 125,836,809| 103,355,664 793,599 21,687,546 531,897 492,367 4,323 35,207 5.51 6.21 7.10 2.12 Dallas 81,623,137 69,275,9831 67,904 12,279,250 324,268 303,951 301 20,016 5.18 5.72 5.77 2.12 San Francisco 206,308,028 146, 723,408 46,468,759 13,115,861 909, 717 674,140 213,849 21,728 5.7; 5.99 6.00 2.16 Total: I i February, 1921. 2,869,233,489J2,408,791,923 173,082,386 28577,,335599,, 1*8<0*13!,,0 02222,1,155881111,7,76622,1,10066 795,795464,257 5.92 6.37 5.99 2.11 January, 1921. .13,034,655,353 2,535,238,916 201,778,670 2971,7 ,637,76: 15,16"7 ,40813,576,7~3~21,052,822 537,854 5.89 6.31 6.14 2.13 February, 1920-' 3,154,053,873 2,298,997766,,661133 554466,,445577,,997744 o3u0o8,, v6i1a9, ,*2o8u612,210,019 9,487,2012,191,536 531,282 4.88 5.20 5.06 2.17 January, 1920.. 3,043,951,9192,142, 787,600 575,667,262 3~~2"5 ,4"9•7 ,057711,491,688 8,554,400 2,335,809 601,479 4.46 4.71 4,79 2.13 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

472 FEDERAL RESERVE BULLETIN. APRIL, 1921. HOLDINGS OF DISCOUNTED BILLS ON FEB. 28, 1921, DISTRIBUTED BY CLASSES. [In thousands of dollars.] Cus- Me l m at b e e r r a b l a n n o k te s s ' . col- Trad a e n c a e c s c . ept- Bankers' acceptances. tomers' paper se- Commer- Agricul- Live- Federal Reserve Bank. Total. l c m i G u g e r o a n e t v d i t e o o r n b n b s y - - . b m y g S e a e n G t c i t u o o o r v n e b e s d l r . i n - - w O c i u t s r h e e e s d r e . - - ci n al . p e. a p s. er p t a u p ra e l r. p s a to p c e k r. e F i o g r n - . Do ti m c. es- e F ig o n r- . Do ti m c. es- ex D ch o a ll n a g r e. Boston . 140,414 21,103 38,308 80,668 193 55 87 New York 890,264 102,630 283,442 490,002 354 27 3,165 8,991 1,653 Philadelphia 148,706 35,887 70,762 41,466 363 101 127 Cleveland 126,793 8,561 54,019 50 61,407 599 211 1,586 350 10 Richmond 109,459 4,674 46,069 47,993 8,898 29 1 796 Atlanta 128,010 12,547 46,962 297 52,083 12,879 1,618 189 1,190 145 ioo Chicago. . . 368,617 20,932 104,770 899 188,477 49,973 3,551 15 St Louis 90,832 5,449 29,755 10 47,269 6,003 463 307 641 935 Minneapolis 73,100 1,642 13,415 5,920 11, 767 17,816 22,182 153 200 5 Kansas City 98 372 4,632 32,360 205 22,209 11,074 26,724 1 168 Dallas 68,960 1,150 12,358 1,582 18,766 16,210 18,277 537 80 San Francisco 145,983 5,400 41,141 4,068 65,688 12,317 14,095 17 2,447 554 256 Total: Feb. 28, 1921... 2,389,510 224,607 773,361 13,031 1,127, 795 136,679 83,654 540 16,422 10,335 3,086 Jan. 31,1921... 2,457,116 230,188 810,177 14,330 1,143,438 140,815 88,233 115 17,314 8,419 3,912 175 February, 1920. 2,453,511 353,504 1,219,476 3,744 752,006 30,125 37,070 18,508 39,078 January, 1920.. 2,174,357 317,688 1,140,204 6,427 608,283 23,212 33,693 24,886 19,964 HOLDINGS ON FEB. 28, 1921, OF BANKERS' AND TRADE ACCEPTANCES PURCHASED OR DISCOUNTED, DISTRIBUTED BY CLASSES OF ACCEPTANCES. [In thousands of dollars.1 All classes. Bankers' acceptances. Trade acceptances.1 Federal Reserve Bank. Total. m i c n h P a o a r u s p k r e e e - d n t. m co e D u f m o n is r t b - e e d r Total. Foreign. Do ti m c. es- ex D ch o a ll n a g r e. Total. Foreign. Do ti m c. esbanks. Boston 16,447 16,360 87 16,360 11,416 3,904 1,040 87 87 New York 47,498 13,836 44,212 34,057 5,960 4,195 3,286 116 3,170 Philadelphia. 19,892 19,664 228 19,791 16,016 2,525 1,250 101 101 Cleveland 41,817 39,871 1,946 40,080 30,603 7,781 1,696 1,737 1,606 Richmond 5 032 3,236 1,796 3,236 2,277 959 1,796 1,796 Atlanta 3,053 1,428 1,625 1,673 641 1,032 1,380 i9o 1,190 Chicago 13,930 10,364 3,566 10,379 4,955 5,147 3,551 3,551 St. Louis 3,822 1,939 1,883 2,874 1,075 1,799 948 641 307 Minneapolis... 358 358 205 200 5 153 153 Kansas City... 1,701 533 1,168 533 322 211 1,168 1,168 Dallas 656 39 617 119 80 39 537 537 San Francisco. 45,598 42,324 3,274 43,007 33,243 7,710 2,054 2,591 144 2,447 Total: Feb. 28,1921 199,804 169,420 30,384 182,469 134,885 37,072 10,512 17,335 1 1,222 16,113 Jan. 31,1921 193,635 163,700 29,935 174,891 128,389 38,494 8,008 18,744 I 1,011 17,733 Purchased in open market: Feb. 28,1921 169,420 169,048 124,550 33,986 10,512 372 j 347 25 Jan. 31,1921 163,700 162,385 119,971 34,581 7,833 1,315 419 Discounted for member banks: Feb. 28,1921 13,421 10 335 16,963 875 16,088 Jan. 31,1921 29,935 12,506 8,418 3,913 175 17,429 115 17,341 1 Please correct March BULLETIN (page 355) to show that trade acceptances in column headed "Foreign" were domestic acceptances, and those in column headed "Domestic" were foreign acceptances. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDEKAL RESERVE BULLETIN. 473 HOLDINGS ON FEB. 28, 1921, OF BANKERS' ACCEPTANCES PURCHASED OR DISCOUNTED, DISTRIBUTED BY CLASSES OF ACCEPTING INSTITUTIONS. [In thousands of dollars.] Member banks. Nonmember Branches Federal Reserve Bank. Total. National.na N ti o o n n - al. b co b a a r n a p n n k o d k i r n s a g - b P a r n iv k a e t r e s. a o b g f a a e f n n n o c r d k e i s e ig . s n tions. Boston i 16,360 10, 501 3,515 1,795 246 303 New York I 44,212 17,911 10,649 9,281 2,779 3,592 Philadelphia j 19,791 4,348 5,059 4,452 2,172 3,760 Cleveland. 40,080 9,951 9,506 8,806 5,994 5,823 Richmond... 3,236 3,166 70 Atlanta 1,673 664 865 144 Chicago 10, 379 5,284 3, 862 566 492 175 St. Louis 2,874 867 1,537 300 10 160 Minneapolis. 205 5 200 Kansas City. 533 382 151 Dallas.. 119 119 San Francisco j 43,007 11,573 4,916 12, 217 7,265 Total: !— Feb. 28,1921 1 182,469 64,652 40,330 37, 561 18,729 21,197 Jan. 31,1921 i 174,891 61, 399 36, 295 35,421 18,442 23,334 Purchased in open market: I Feb. 28,1921 1 169,048 59,258 37,055 33,768 18,458 20,509 J an. 31,1921 1 162,385 55,914 33,326 32,372 18,055 22,718 Discounted for member banks: ! Feb. 28,1921 j 13,421 5,394 3,275 3,793 | 271 Jan. 31,1921 i 12,506 5,485 2,969 3,049 j 387 616 CHANGES IN CONDITION OF FEDERAL RESERVE BANKS. Credit operations of Federal Reserve Banks with the minimum holdings of bills secured by during the four weeks between February 25 Treasury certificates. Bills secured by Victory and March 25, as measured by the amounts of notes show small fluctuations, the March 25 discounted bills held at the close of each holdings of $265,800,000 being $25,900,000 week, show further reduction, the March 25 less than four weeks previous. During the total of $2,286,700,000 being $109,600,000 be- period under review the average maturity of low the total shown at the earlier date, not- the paper held by Federal Reserve Banks shows withstanding a slight increase shown in the but little change, the share of 15-day paper holdings of paper secured by Government remaining fairly constant in the neighborhood obligations. In connection with the redemp- of 60 per cent. tion by the Government on March 15 of about $500,000,000 of tax certificates, the Federal Re- Principal asset and liability items of the twelve Federal Reserve Banks report a reduction of $143,600,000 serve Banks combined. of discounted paper, followed, however, by an [In millions of dollars.] increase of $61,800,000 in these holdings at the close of the review period. Feb. 25.1 Mar. 4. Mar. 11. Mar. 18. Mar. 25. In the following exhibit there is given a summary of the weekly changes of the princi- Reserves: pal asset and liability items of the Federal Re- Total 2,357.0 2,375.8 2,397.9 2,414.8 2,422.0 Gold 2,140.3 2,163.1 2,187.9 2,205.5 2,210.8 serve Banks for the four weeks under review. Bills discounted: Of the total discounted bills held by the Total 2,396.3 2,341.5 2,368.5 2,224.9 2,286.6 Secured by Gov- Federal Reserve Banks, the proportion of paper ernment war j obligations 1,004.0 ! 981.8 1,006.0 1,000.4 1,010.4 secured by Government obligation was about Allother 1,392.3 j 1,359.7 1,362.5 1,224.5 1,276.2 41.9 per cent on February 25, 42 per cent on the Bi m lls a rk b e o t ught in open | 170.5 | i 164.0 146.6 122.8 123.1 following Friday, and over 44 per cent on March Certificates of indebted- ! ! ness: j j 25, compared with over 60 per cent about a One year, 2 per cent, i ! year ago. Considerable fluctuations are shown Al P lo it t t h m er a n Act i j 25 2 9. . 4 1 I , 25 3 4 . . 3 4 25 1 4. . 4 3 2 3 5 0 4 . . 6 4 25 2 4 . . 5 4 in the holdings of Treasury certificates, which Total earning assets j 2,854.1 I 2,789.1 2,796.6 2,658.5 2,692.4 Government deposits.... I 63.0 j 56.9 81.5 58.8 114.7 declined from $134,800,000 on February 25 to Members' reserve de- I $108,800,000 on March 11, and increased to posits i 1,722.9 1,705.4 1,731.4 1,677.8 1,674.5 Net deposits 1,671.6 1,636." 1,705.2 $158,900,000 on March 18, after the allotment Total deposits 1,774.6 1,840.9 Federal Reserve notes in i of the two new certificate issues, and declined circulation i 3,051.7 3,042.6 3,005.8 2,962.9 2,930.7 again to $94,500,000 on the following Friday. Federal Reserve Bank j notes in circulation j 189.3 185.1 182.1 179.3 175.5 Bills secured by Liberty and other United Reserve percentages i * 49.9 i 50.8 150.9 51.0 50.8 States bonds show a different movement, the maximum holdings of $650,100,000 coinciding i Calculated on basis of net deposits and Federal Reserve notes in circulation. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

474 FEDERAL RESERVE BULLETIN. APRIL, 1921. Acceptance holdings show a continuous In the following exhibit are shown fi gures o decline from $170,500,000 to $123,000,000. total deposits of each Federal Reserve Bank This decline reflects in part the reduced supply on successive Fridays for the period under of foreign trade bills in the open market, and review computed uniformly on the basis apparently also the increased investment de- adopted on March 18: mand for prime bankers' acceptances by country banks in the interior, following the Total deposits. adoption of higher selling rates for this class of [In thousands of dollars.] paper. Changes in the Treasury certificate account reflect the redemption by the Govern- Mar. 4. Mar. 11. Mar. 18. Mar. 25. ment on February 28 of $5,000,000 of so-called Pittman certificate^ from the St. Louis and Boston 113,083 113,861 112,576 118,619 Kansas City Federal Reserve Banks; also N Ph ew ila Y de o l r p k hia 6 11 7 2 0 , ;1 1 3 6 2 7 7 11 1 1 0 , , 6 3 4 3 7 0 6 10 5 4 4 , , 2 3 8 7 6 6 6 1 8 1 8 4 , , 8 67 5 1 3 fluctuations in the amounts of special certifi- Cleveland 150,805 154,538 148,788 155,000 cates held by the Federal Reserve Banks to A Ri t c la h n m ta ond 5 4 9 8 , , 8 3 0 1 9 8 6 5 1 0 , , 6 4 7 2 6 4 5 5 9 8 , , 3 6 0 4 9 4 6 58 4 , , 2 2 0 0 8 4 cover temporary advances to the Government. Chicago 261,795 263,874 248,285 253,898 St. Louis 69,633 70,418 73,264 67,684 Total earning assets, in consequence of the Minneapolis 48,735 47,335 49,372 48,652 changes above shown, show a decline of P K a a l n la s s as City 5 83 0 , , - 8 1 6 5 5 3 5 8 3 5 , , 8 6 7 4 4 7 5 8 6 6 , , 1 3 2 0 3 8 5 8 6 3 , , 4 6 3 5 6 2 $161,700,000 for the four weeks under review, San Francisco 117,574 120,102 123,304 131,010 and on March 25 stood at $2,692,400,000, or Total deposits 1,786,369 1,843,726 1,774,635 1,840,887 $729,500,000 below the peak figure reported on October 15 of last year. Total deposits calculated on the new basis Rediscounting operations are reported only reached a maximum for the period of $1,by the Dallas Federal Reserve Bank. On 843,700,000 on March 11. On the following March 25 this bank had outstanding with the Friday, in connection with large Government Cleveland bank a total of $14,700,000 of its operations and substantial loan reductions, a discounted bills compared with $13,600,000 decline of $69,100,000 in the deposit account four weeks earlier. At the close of the review is shown, which is followed, however, by an period the Cleveland and three other Federal increase of $66,200,000 for the last week under Reserve Banks report also among their ac- review. ceptance holdings $3,300,000 of bank accept- Weekly figures of Federal Reserve note cirances purchased from the New York Federal culation show a further continuous decline Reserve Bank, compared with about $24,- from $3,051,700,000 to $2,930,700,000, or at 000,000 of such bills four weeks earlier. Aggre- an average weekly rate of over $30,000,000. gate contingent liabilities of the Federal Since December 23, 1920, when the seasonal Reserve Banks on bills purchased for foreign return flow of currency set in, the reduction in correspondents show an increase for the period Federal Reserve note circulation totaled $474,from $18,200,000 to $32,400,000. 200,000, the March 25 total being $117,300,000 In the weekly bank statement of March 18, below the total reported on the corresponding for the first time "uncollected items" among week last year. In addition, there is shown a the assets and "deferred availibility items" reduction for the period of $13,800,000 in the among the liabilities were disregarded in circulation of Federal Reserve Bank notes. calculating deposit liabilities and reserve ratios, Gold reserves show a further gain for the though both of these items are continued as part period of $70,500,000, while total cash reserves of the statement. This change as explained increased about $65,000,000. Owing to this on page 3 of the January, 1920, BULLETIN tends gain and to the reduction in note liabilities, to apply a somewhat stricter standard reserve the reserve ratio shows a rise for the period, computation, especially in the case of those the highest ratio, 51 per cent, being shown for Federal Reserve Banks which carry a relatively March 18, following the substantial loan liquilarge "float," as this float, i. e., the excess of dation in connection with the March 15 Governuncollected items over deferred availability ment operations. On the following Friday, items, is no longer treated as a deduction in mainly because of the large increase in Governcomputing deposits. ment deposits, the ratio receded to 50.8 per cent. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 475 MOVEMENT OF PRINCIPAL ASSETS AND LIABILITIES OF THE FEDERAL RESERVE BANKS 1920-1921 SNOILLIM SRALLOD FO I: U.S.SECURITIES. 4: TOTAL DISCOUNTS. 2: PURCHASED ACCEPTANCES. 5. TOTAL EARNING ASSETS. 3: DISCOUNTS SECURED BY U.S.GOVERNMENT OBLIGATIONS. C3Q 3500 3500 u /^ •\- V \5 3000 3000 V V ft V 2500. y 2500 y T 2000 2000 1500 1500 V —»^_/ 1000 1000 —'— 500 X 500 5*u,j. IP 0 0 JAN. FEB.MARAPR. MATJONEJUDTAU6. 5EPT.OCT. NOV. DEC. JAN. FEB.MAR.APRMATJUNEJUDf AU6.SEPT.OCT. NOV.DEC. 1920 1921 I: RESERVE RATIO. 3• CASH RESERVES. 2: DEPOSITS. 4= F.R.NOTE CIRCULATIOH. 3S00 3500 y ••«•- ^— ^^ * 2003 3000 S* 1002500 2SC0KX) 802000 <^ 200080 ——- ^V 601500 150060 1 ^ «—-———. _--— JOCD 1000 40 20500 50020 0 0 JAN.FEBMARAPR. MAYJUNEJULTAUG.SEPT.OCT. NO^DEC. JAN. FEB.MARAPR. MATJUNEJULTAUG.SEPT.OCT. NOV.DtC. 1920 1921 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

476 FEDERAL RESERVE BULLETIN. APRIL, 1921. RESOURCES AND LIABILITIES OF EACH FEDERAL RESERVE BANK ON FRIDAYS, MAR. 4 TO MAR. 25, INCLUSIVE. RESOURCES. [In thousands of dollars.] Total. B to o n s . - Y N o e r w k. P p d h h e i i l l a - a . - C la le n v d e . - m R o ic n h d - . la A n t t - a. c C a h g i o - . Lo S u t. is. Minne- K C a i n ty sa . s Dallas. F c S i r s a a c n n o. - Gold and gold certificates: Mar. 4 234,353 6,962 148, 996 3,623 7,139 4,931 21,120 3,544 8,422 2,607 5,443 17,663 Mar. 11 254,276 7,097 167,672 3,636 7,198 3,833 4,990 21, 210 3,570 8,447 2,750 5,886 17,987 Mar.18 266,431 7,250 181, 772 3,183 6,796 3,526 4,827 21, 267 3,305 8,294 2,502 5,788 17, 921 Mar. 25 291,960 7,308 208,695 3,228 6,590 3,395 4,846 21, 288 3,350 8,306 2,584 6, 844 17, 526 Gold settlement fund—Federal Reserve Board: Mar. 4 526, 499 32, 436 54, 542 45, 736104, 829 32,625 13, 817 117, 817 26,177 21,101 38, 589 6,520 32, 310 Mar. 11 528,216 29, 428 48, 200 48, 715107, 770 31, 948 17, 692 113, 628 26, 304 20, 585 38, 915 6,223 38, 808 Mar. 18 513, 572 32, 545 88, 200 43, 963 93, 872 28, 883 17, 206 94, 900 21, 412 21, 656 30, 866 8,623 31,446 Mar. 25 509,913 29, 338 112, 298 51, 861 25, 819 17, 099 81, 845 18, 402 19,185 27,154 9,333 29,090 Gold with Federal Reserve agents: Mar. 4 1,236, 560 153,128 204,624 132,577 179, 997 58, 470 195, 501 62, 832 24,651 36,147 17, 300 120, 467 Mar. 11 1, 240, 570 148, 905 204,152 130,116 181, 707 52, 440 58, 768 197, 870 64,118 24, 807 38,246 16, 584 122, 857 M M a a r r . . 2 1 5 8 1 1, , 2 2 5 45 7 , ,8 5 0 0 7 7 1 1 4 3 2 8 , , 7 5 6 1 2 6 2 2 0 3 3 3 , , 8 3 3 0 9 0 1 1 2 1 8 7 , , 2 2 2 0 1 9 1 19 9 4 7 , , 0 9 7 3 3 4 5 4 1 7 , , 3 9 0 0 2 3 5 56 7 , , 1 0 5 8 2 5 1 1 9 8 0 4 , , 7 7 8 6 0 7 6 5 5 8 , , 6 2 9 9 7 5 2 2 5 5 , , 1 9 5 2 6 2 3 3 8 8 . , 1 0 5 6 6 4 1 1 9 6 , , 8 6 2 8 6 3 1 1 3 3 7 4 , , 4 19 7 3 9 Gold redemption fund: Mar. 4 165,678 25, 598 36,000 I 12,286 13, 042 6,804 7,777 32, 337 5,222 3,144 5,318 8,425 9,725 Mar. 11 164,844 29,188 36,000 15,215 10, 434 7,125 6,896 28, 549 5,606 3,779 4,772 8,437 Mar. 18 167,729 34, 245 36, 000 9, 373 12,116 7,413 34, 329 4,167 2,646 4,449 5,319 10, 790 Mar.25 163,385 37,696 36,000 12,659 13, 397 9,720 7,592 17,244 4,464 3,196 4,136 7,160 10,121 Total gold reserves: Mar. 4 2,163,090 218,124 444,162 194, 222305,007 94,198 84, 995 366, 775 97, 775 57, 318 82,661 37,688 180,165 Mar. 11 2,187,906 214,618 456,024 197,682 307,109 95, 346 361,257 99, 598 57,618 84,683 37, 536 188,089 Mar. 18 2,205,539 216, 802 509,811 184, 740309,857 91,124 86,067 341, 276 94,179 58, 518 75, 973 39, 556 197,636 Mar. 25 2,210,765 212, 858 588, 293184, 957303, 410 86, 837 85,622 305,144 84, 913 55, 843 71, 938 40,020 190, 930 Legal-tender notes, silver, etc.: Mar. 4 212,673 13, 203 156,321 3,511 4,194 5,772 4,392 8,214 6, 802 466 2,895 4,877 2,026 Mar. 11 210,018 13, 295 154,097 3,276 3,540 6,006 4,205 7,722 7,584 440 3,112 4,732 2,009 Mar. 18 209,250 13, 529 152,087 3,783 3,119 5,710 4,335 7,737 8,329 443 3,201 4,832 2,145 Mar. 25 211,212 12, 933 151,624 3,175 3,595 5,122 4,394 10, 755 490 3,219 5,008 2,217 Total reserves: Mar. 4 2,375,763 231,327 600, 483197, 733309, 201 99, 970 89, 387 374, 989 104, 577 57, 784 85,556 42, 565182,191 Mar. 11 2,397,924 227, 913 610,121 200, 958310,649 101, 352 92, 551 368, 979 107,182 58, 058 87, 795 42,268 190,098 Mar. 18 2,414, 789 230, 331 661, 898188, 523312, 976 96,834 90,402 349,013 102, 508 58, 961 79,174 44, 388199, 781 Mar. 25 2,421, 977 225, 791 739, 917188,132 307, 005 91, 959 90, 016 315, 899 93, 593 56, 333 75.157 45,028 193,147 Bills discounted:1 Secured by United States Government obligations- Mar. 4 981,840 59,062 373,704 107,205 59,473 48,825 58,482 128,470 35,079 14,295 36,784 15,785 44,676 Mar. 11 1,005,977 60,455 389,519 110,213 64,444 50,201 58,035 128,921 34,753 14,368 33,611 13,646 47,811 Mar.18 1,000,386 68,936 385,730 109,403 54.121 50,663 58,596 127,680 35,889 14,744 35,178 11,631 47,815 Mar. 25 1,010,373 69,248 377,173 111,967 61, 835 49,980 57,762 129, 745 37,204 14,106 36,665 11,091 53,597 All other- Mar. 4 1,359,665 81,784 472,502 45,057 65,773 59,141 66,580 240,981 54,363 55,693 62,088 52.314 103,389 Mar. 11 1,362,473 85,066 486,061 36,696 66.122 58,450 61,659 249,792 49,956 51,549 63,276 52,409 101,437 Mar. 18 1,224,533 72,481 351,324 41,440 62,531 58,008 64,453 251,817 58,910 53,473 64,541 51,243 96,312 Mar. 25 1,276,275 80,444 318,651 46,795 76,395 62,173 65,995 285, 495 55,440 55,113 67,960 52.315 109,499 Bills bought in open market:2 Mar. 4 164,004 15,432 37,132 16,485 38,533 3,270 1,199 10,535 2,170 456 38,792 Mar. 11 148,608 13,010 37,829 16,181 33,145 3,207 1,027 9,490 2,111 332 30,276 Mar. 18 122,780 11,431 34,957 13,482 25,670 3,245 968 10,309 2,330 239 20,149 Mar. 25 123,056 10,221 39,386 14,077 24,012 3,133 744 10,294 2,030 205 18,954 United States Government bonds: Mar. 4 25,848 550 1,257 1,434 834 1,233 113 4,490 1,153 116 3,979 1,822 Mar. 11 25,847 550 1,255 1,434 834 1,233 114 4,490 1,153 116 8,867 3,979 1,822 Mar. 18 25, 845 550 1,255 1,434 833 1,233 113 4,490 1,153 116 3,979 1,822 Mar. 25 25,847 550 1,255 1,435 834 1,233 113 4,490 1,153 116 3,979 1,822 United States Victory notes: Mar. 4 19 5 10 3 Mar. 11 19 5 10 3 Mar.18 19 10 3 Mar.25 19 10 3 United States certificates of indebtedness. Mar. 4 257,693 21.473 61,571 j 30,730 23,800 12,262 16,666 39,664 13,544 8,480 10,320 8,300 10,883 Mar. 11 255,687 21.474 59,614 30,464 23,805 12,262 16,665 39,615 13,663 8,480 10,320 8,300 11,025 Mar.18 284,951 21,471 j 83,277 32, 208 25,805 13,262 j 16,665 40,492 13,354 10,673 8,300 10,964 One-year certificates (Pittman Act), Mar. 25. ! 254,375 21,436 I 59,276 ! 30,280 ; 23,799 12,260 ! 16,66439,612 13,068 8,480 10,320 8,300 10,880 All other, Mar. 25 j 2,490 19 j | 1,860 30 2 j 1 277 141 160 Total earning assets: ! Mar. 4 12,789,069 178,306 946,166 200,911 j 188,423124,731 143,043 424,140 106,309 78,584 118,516 80,378 199, 562 Mar. 11 % 796,611 180,560 974,278 194,988 188,360 125,353 1137,503 432,308 101,636 74,513 116,407 78,334 192,371 Mar.18 |2,658,514 174,874 856,543 197,967 1168,970 126,411 1140,798 434,788 109,636 76,813 119,499 75,153 177,062 Mar.25 |2,692,435 181,923 795,741 206,414 i 186,915128,781 141,282 469,636 109,172 77,815 124,159 75,685 194,912 Bank premises: Mar. 4 i 19,733 3,183 4,466 503 | 1,6451,498 723 2,707 626 1,615 1,769 400 Mar. 11 ! 20,193 3,212 4,627 I 506 j 1,6701,499 723 2,707 626 1,742 1,769 514 Mar.18 ! 20,465 3,217 4,627 I 506 | 1,6911,628 i 726 2,804 626 599 1,742 1,770 529 Mar.25 ! 20,522 3,220 4,640 ! 506 | 1,7041,628 ! 726 2,827 626 599 1,742 1,775 Uncollected items and other de- I ductions from gross deposits: Mar. 4 631,957 I 42,257 127,190 54,165 I55,892 46,492 | 24,64897,744 33,359 18,630 54,640 38,175 38,765 Mar.ll ' 605,758 l 42,824 120,964 52,736 1 54,047 46,227 I 25,984 82,575 34,390 18,158 48,632 35,963 43,258 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

, 1921. FEDERAL RESERVE BULLETIN. 477 RESOURCES AND LIABILITIES OF EACH FEDERAL RESERVE BANK ON FRIDAYS, MAR. 4, TO MAR. 25, INCLUSIVE—Continued. RESOURCES—Continued. [In thousands of dollars.] Total. B to o n s . - Y N o e r w k. P p d h h e i i l l a - a . - C la le n v d e . - m R o ic n h d - . la A n t t - a. c C a h g i- o. Lo S u t. is. M ap i o n l n is e . - K C a i n ty s . as Dallas. F c S i r s a a c n n o - . 5 per cent redemption fund against Federal Reserve Bank notes: Mar. 4 12,199 1071 2,380 1,300 1,239 602 509 1,930 523 478 916 586 665 Mar. 11 12,728 2,308 1,300 1,240 601 675 523 590 916 586 665 Mar. 18 . 12,428 1^072 2,271 1,300 1,240 601 675 2;183 523 396 916 586 665 Mar.25.. 12 068 1 072 2 148 1 300 1 240 601 616 936 523 465 916 586 665 Gold abroad in custody or in transit: Mar. 4 3,300 241 1,211 264 270 16? 119 393 155 89 158 86 152 Mar. 11 3,300 241 1,211 264 270 162 119 393 155 89 158 86 152 Mar. 18... . 3,300 241 1,211 264 270 162 119 393 155 89 158 86 152 Mar.25 3,300 241 1,211 264 270 16? 119 393 155 89 158 86 152 Uncollected items: M M a a r r . . 2 1 5 8... . 7 59 1 2 6 , , 9 8 5 8 0 2 4 4 8 1 , , 3 2 2 0 7 9 1 1 3 5 3 4, , 0 5 0 2 7 1 5 4 8 7 , , 9 31 4 4 1 5 7 3 1 , , 9 6 3 8 3 3 5 4 9 9 , , 8 6 9 9 5 0 3 2 0 7 , , 2 07 9 0 2 7 9 9 7 , ;9 6 5 8 7 8 3 3 2 6 , , 2 7 0 3 3 7 2 16 0 , ,8 30 5 1 9 5 4 3 1 , , 1 35 1 5 2 36 7 7 8 2 9 8 3 4 8 8 , , 8 3 7 4 7 4 All other resources: Mar. 4 8,580 516 2,278 479 481 470 286 1630 509 141 474 911 405 Mar. 11 9,195 541 2,454 468 558 437 440 1,676 526 118 500 1016 461 Mar. 18 . 9 891 545 3 216 537 540 481 478 1 673 536 13? 525 744 484 Mar.25 9,915 524 3,202 565 547 539 7?0 526 554 664 494 Total resources: Mar. 4 5,840 601 456,901 1684,174 455 355 557,151 ?73,9? 5 258,715 903, 533 246,058 156, 304 261,875 164 470 422,140 Mar. 11 5,845,709 456,363 1,715,963 451,220 556,794 275,631 257,995 890, 890 245,038 152, 124 256,150 160,022 427,519 M M a a r r . 2 1 5 8... 5 5 ,7 8 5 3 3 6 , , 1 2 6 6 7 9 4 1 5 58 3 ,9 6 8 0 0 7 1 1, 6 6 8 8 3 0 , , 7 3 7 8 3 0 4 4 4 4 8 4 ,4 0 9 3 5 8 5 55 5 7 1 ,6 3 1 7 4 0 2 *> 7 8 3 6 , , 2 01 7 * 4 ? 2 2 6 6 3 0 ,3 4 6 9 8 0 8 8 7 8 2 8 , 0 8 9 1 9 1 2 2 3 5 6 0 , , 7 7 9 2 8 1 151,7 8 2 4 9 9 244,'041 1 1 5 5 5 9 , ;4 6 5 1 5 3 4 42 2 7 8 ,7 0 7 1 6 7 1 Includes bills discounted for other Federal Reserve Banks: Mar. 4 12 399 12 399 Mar. 11... 13,455 13 455 Mar.18 13,437 13,437 Mar.25... 14 663 14 663 2 Includes bankers' acceptances bought from other Federal Reserve Banks without their indorsement: Mar. 4 19, 879 906 25 3,213 8, 883 1,000 5,852 Mar. 11 14, 702 831 25 2,796 5,656 1 000 4,394 Mar.18.... 6,912 833 25 1,547 1,058 1,000 2,451 Mar.25 . .. 4,336 258 25 1,206 537 1,000 1,310 LIABILITIES. Capital paid in: Mar. 4 100,865 7,856 26,460 8,609 10, 894 5,305 4,022 14,112 4,431 3,485 4,490 4,127 7,074 Mar.ll 101.003 7, 856 26,489 8,609 10, 870 5,305 4,045 14,119 4,433 3,495 4,486 4.127 7,169 Mar.18 101,058 7, 838 26,488 8,609 10,880 5,321 4,063 14,124 4,433 3,497 4,488 4,131 7,186 Mar.25 101,113 7,838 26,488 8, 599 10, 880 5, 325 4? 075 14,139 •1.433 3,498 4,488 4,134 7,216 Surplus fund: Mar. 4 202,036 15,711 58,414 17,010 20,305 10, 561 8,343 28,980 8,346 6,980 9,159 6,033 14,194 Mar.ll 202,036 15,711 56,414 17,010 20, 305 10, 561 8,313 28,980 8,346 6,980 9,159 6, 033 14,194 Mar.18 202,036 15, 711 56, 414 17, 010 20,305 10, 561 8, 343 28, 980 8,346 6,980 9,159 6,033 14,194 Mar.25 202,036 15, 711 56,414 17,010 20, 305 10, 561 8,343 28, 980 8,346 6,980 9,159 6,033 14,194 Government deposits: Mar.4 56,941 3,736 7,233 6,756 4, 210 2,339 1,437 10, 922 4,175 4,194 5,781 2,631 3, 527 Mar.ll 81, 521 4,930 23,341 7,250 6,365 3, 830 4,036 11, 592 4,288 2,191 6,932 3,699 3,067 Mar.18 58, 789 3,272 410 1,132 64 705 13, 518 9,681 8,158 3,498 12,243 5,519 587 Mar.25 114,6S5 9,472 25, 245 11,698 7,758 8, 559 9,715 11.918 4,229 4,531 7,562 8, 612 5,386 Due to members—reserve account: Mar. 4 1,705, 364108,676 650,418 104, 527 146,226 57, 227 46,692 249, 261 64, 9S4 4.4,122 77, 344 47, 873108,014 Mar.ll 1, 731, 429107, 935 672, 966 103,315 147,444 57, 416 46,010 250,171 65) 377 44,658 78,228 49,830 108,079 Mar.18 1,677,774 108,407 639, 356 101,939 147, 890 57, 953 44, 710235,003 64,042 45,036 72, 765 50,057 110,616 Mar.25 1,674, 536106,379 639, 486 102,023 145,164 55,179 47,459 237,106 61, 949 43,608 75,071 46.761 114,351 Deferred availability items: Mar. 4 482, 385 34,310 78,331 40, 841 49,417 35,420 20,366 65, 544 31,653 17,610 50,214 29,435 29,244 Mar.ll 467,221 35, 548 80, 530 42,053 45,126 35, 575 19,422 57,217 32,906 15,442 44,092 24, 807 34, 503 Other deposits, including foreign government credits: Mar.4 24,064 671 12,481 884 369 24.3 189 1,612 474 419 I 328 361 6,033 Mar.ll 30,776 996 14,023 1,082 729 430 378 2,111 753 486 | 487 345 8, 956 Mar.18 38,072 897 14,610 1,215 834 651 416 3,601 1,084 838 I 1,298 547 12,101 Mar.25 51,666 2,768 24,122 950 2,078 466 1,034 4,874 1, 508 513 ! 1,0191,063 11,273 Total gross deposits: Mar. 4.... 2,268,754 147,393 748,463 153,008 200,222 95,229 68,684 j327,339 101,286 66,345 133,667 80,300 146,818 Mar. 11 2,310,947 149,409 790,860 153,700 199,664 97,251 69,846 321,091 103,324 62,777 129,739 78,681 154,605 Total deposits: Mar. 18 1,774,635 112,576 654,376 104,286 148,788 59,309 58,644 248,285 73,264 49,372 56,123 123,304 Mar.25 1,840,887 118,619 688,853 114,671 155,000 64,204 58,208 253,898 67,684 48,652 83,652 56,436 131,010 Federal Reserve notes in actual circulation: M M M M a a a a r r r r . . . . 1 2 4 l 8 l 5 3 3 2 2 , , , , 0 0 9 9 4 0 3 6 2 0 5 2 , , , , 6 7 8 8 1 2 4 8 1 9 0 0 2 2 2 2 6 6 6 5 5 7 1 9 , , , , 2 4 5 8 0 7 9 3 7 8 6 7 8 7 7 7 0 9 8 8 1 1 9 0 , , , , 9 4 9 7 1 0 2 4 6 4 0 0 2 2 2 24 4 5 5 2 1 1 5 , , , , 3 6 6 8 4 2 2 9 4 2 3 5 3 3 2 2 0 0 9 9 2 2 3 1 , , , , 3 3 7 0 1 1 7 8 0 1 4 2 1 1 1 1 5 5 5 4 1 2 0 5 , , , , 8 1 1 4 7 5 8 9 7 4 2 9 1 1 1 15 6 5 6 6 0 8 2 , , , , 0 5 2 9 2 2 7 2 6 7 0 9 1 | 4 4 4 4 8 9 8 8 5 5 9 0 , , , , 3 9 4 3 4 8 1 4 9 4 4 5 1 1 1 1 1 2 1 2 9 3 0 5 , , , , 2 3 2 9 5 8 3 4 1 3 7 4 6 6 7 77 9 9 1 00 , , , , ,4 3 9 3 4 8 4 4 0 87 1 3 3 7 1 1 9 9 9 0 8 6 9 0 8, , 5 , , 55 , 9 3 77 1 7 5 8 3 8 2 7 0 6 6 6 5 4 6 9 1 , , , , 1 7 9 8 1 6 4 4 9 3 7 8 2 2 2 2 4 3 3 3 2 9 6 2 , , , , 3 8 1 5 2 0 8 3 1 9 0 2 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

478 FEDERAL RESERVE BULLETIN. APKIL, 1921. RESOURCES AND LIABILITIES OP EACH FEDERAL RESERVE BANK ON FRIDAYS, MAR. 4 TO MAR. 25, INCLUSIVE—Continued. LIABTLITIES-Continued. [In thousands of dollars.] Total. B to o n s . - Y N o ew rk. P p d h h e i i l l - a a . - C la le n v d e . - m R o ic n h d - . la A n t t - a. c C a h g i o - . Lo S u t. is. M ap i o n l n is e . - K C a i n ty s . as Dallas. c F S i r s a a c n n o - . I Federal Reserve Bank notes in circulation—net liability: Mar.4 185,109 16,327 35,619 18,642 20,935 9,282 12,852 30,583 7,279 6,685 12,043 5,823 9,039 Mar.ll 182,087 15,825 34,605 17,963 20,973 9,126 13,283 29,981 7,046 6,889 11,956 5,539 8,901 Mar. 18 179,250 15,317 33,838 17,889 20,939 9,105 13,282 29 004 6,998 6,891 11,747 5,506 8,734 Mar. 25 175,490 15,253 31,300 17,387 21,158 8,859 13,420 28,557 6,960 6,968 11,667 5,350 8,611 Deferred availability items: Mar. 18 570,347 43,067 105,932 56,146 62,072 49,905 18,803 75,183 36,744 19,578 44,113 24,270 34,534 Mar. 25 454,279 33,988 79,446 41,869 48,301 37,084 18,098 57,502 31,701 14,649 37,478 22,128 32,035 All other liabilities: Mar.4 41,226 2,136 15,302 2,191 2,484 1,394 1,885 6,605 1,479 1,468 2,164 1,424 2,694 Mar.ll 43,796 2,355 16,191 2,315 2,608 ! 1,511 1,951 7,235 1,538 1,496 2,232 1,523 2,841 Mar. 18 46,063 2,502 16,805 2,476 2,676 1,629 2,085 7,886 1,653 1,588 2,334 1,544 2,885 Mar. 25.. 48,633 2,734 17,139 2,615 2,888 1,742 2,198 8,678 1,730 1,679 2,467 1,585 3,178 Total liabilities: Mar.4 5,840,601 456,901 1,684,174 455,355 557,151 273,925 258,715 903,533 246,058 156,304 261,875 164,470 422,140 Mar.ll 5,845,709 456,363 1,715,963 451,220 556,794 275,631 257,995 890,890 245,038 152,124 256,150 160,022 427,519 Mar. 18 5,836,269 458,607 1,683,773 448,038 557,370 286,012 263,490 888,811 250,721 157,849 255,126 159,455 427,017 Mar. 25 5,753,167 453,980 444,495 551,614 273,274 260,368 872,099 236,798 151,729 244,041 155,613 428,776 MEMORANDA. Ratio of total reserves to net deposit and Federal Reserve note liabilities combined, per cent: Mar.4 50.8 62.1 42.2 55.7 69.2 49.8 43.2 51.7 54.7 48.5 47.7 39.1 52.0 Mar.ll 50.9 61.3 41.8 57.0 50.0 45.3 50.7 56.6 50.4 48.9 39.6 54.1 Ratio of total reserves to deposit and Federal Reserve note liabilities combined, per cent: Mar.18 51.0 61.6 45.8 54.5 71.1 46.2 41.7 47.6 53.2 49.4 43.2 37.6 55.7 Mar.25 50.8 59.7 50.3 52.7 68.5 43.9 42.0 43.0 51.0 47.8 42.0 38.7 53.1 Contingent liability as indorser on discounted paper rediscounted with other Federal | Reserve Banks: i Mar.4 12,399 12,399 Mar.ll • 13,455 13,455 Mar.18 i 13,437 13,437 Mar.25 | 14,663 14,663 Bankers' acceptances sold to ! other Federal Reserve Banks without indorsement: | Mar.4 ! 19,879 18,854 1,000 25 Mar.ll ! 14,702 13, 677 1,000 25 Mar.18 6,912 5,887 1.000 25 Mar.25 4,336 3,311 1,000 25 Contingent liability on bills purchased for foreign correspondents: j Mar.4 18,233 8,105 1,280 1,312 784 576 1,904 752 432 768 416 736 Mar.ll 34,402 14,146 2,560 2,624 1,568 1,152 3,808 1,504 864 1,536 832 1,472 Mar.18 34,403 14,147 2,560 2,624 1,568 1,152 3,808 1,504 864 1,536 832 1,472 Mar.25 32,381 12,125 2,560 2,624 1,568 1,152 3,808 1,504 864 1,536 832 1,472 MATURITY DISTRIBUTION OF BILLS AND CERTIFICATES OF INDEBTEDNESS HELD BY ALL FEDERAL RESERVE BANKS COMBINED. [In thousands of dollars.] Total. Wi d t a h y in s. 15 16 d a to y s. 30 3 d 1 a t y o s . 60 6 d 1 a t y o s . 90 Over 90 Bills discounted: Mar.4 2,341,505 1,444,440 375,018 255,707 43,642 Mar. 11 2,368,450 1,448,142 248,885 381,720 247,096 42,607 Mar 18 2,224,919 1,355,122 227,479 359,303 242,118 40,897 Mar. 25 2,286,648 1,362,700 234,427 369,200 278,264 42, 057 Bill bought in open market: Mar. 4 164,004 72, 745 31, 769 43,302 16,188 Mar.ll 146,608 65,097 33,486 34,805 13,220 Mar. 18 122,780 49,120 24,977 35,343 13, 340 Mar. 25 123, 056 47,033 25,264 36,510 14,249 United States certificates of indebtedness: Mar.4 257,693 11,971 3,100 9,518 4,513 228,591 Mar.ll 255,687 7,646 3,500 9,518 5,602 229,421 Mar. 18 284,951 31,424 4,627 6,576 4,640 237,684 Mar. 25 256,865 6,424 4,621 6,555 7,255 232,010 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

479 APRIL, 1921. FEDERAL RESERVE BULLETIN. FEDERAL RESERVE NOTES. FEDERAL RESERVE AGENTS* ACCOUNTS ON FRIDAYS, MAR. 4 TO 25, 1921, INCLUSIVE. [In thousands of dollars.] Boston. Y N o e r w k. P p d h h e i l i l - a a . - C la le n v d e . - m R o ic n h d - . la A n t t - a. Chicago. Lo S u t. is. M ap i o n l n is e . - K C a i n ty sa . s Dallas. F c S i r s a a c n n o - . RESOURCES. Federal Reserve notes on hand: Mar. 4 788,894 [05,150 268,000 22,140 46,740 25,088 75,605 143,540 23,280 11,625 3,400 16,826 47,500 Mar.ll 794,415 L05,650 268,000 26,140 46,040 25,189 76,110 143,320 23,280 12,690 3,800 16,696 47,500 Mar. 18 794,519 [02,650 268,000 26,140 45,020 I 25,428 77,666 141,559 27,440 12,820 3,600 16,696 47,500 Mar.25 802,442 : 06,930 268,000 31,140 43,830 i 26,878 78,945 141,000 26,840 12,510 3,400 22,669 40,300 Federal Reserve notes outstanding: Mar. 4 3,346,989 280,965 913,584 276,524 327,474 158,492 168,284 533,036 144,046 73,357 108,223 70,313 292,691 Mar.ll 3 337,009 279,242 920,219 274,064 324,685 158,665 166,077 530,505 143,332 72,808 107,003 69,728 290,681 Mar.18 3 310,900 276,099 921,947 270,168 321,470 1157,447 162,906 527,176 141,509 71,793 105,113 67,969 287,303 Mar.25 3^294,876 273,573 921,846 266,157 318,121 |152,598 161,760 526,882 140,571 71,337 104,221 63,393 294,417 Collateral security for Federal Reserve notes outstanding: Gold and gold certificates- Mar. 4 227,386 5,600 169,608 23,775 3,500 5,960 13,052 5,891 Mar.ll 227,386 5,600 169,608 23,775 3,500 5,960 13,052 5,891 Mar.18 5,600 169,608 23,775 3,500 5,960 13,052 5,891 Mar.25 226,386 5,600 169,608 23,775 3,500 5,960 13,052 | 4,891 Gold redemption fund- Mar. 4 109,120 22,528 9,016 16,188 16,222 2,866 2,970 13,357 3,441 1,399 ! 2,787 4,175 14,171 Mar.ll 115,694 18,305 8,544 16,727 17,932 2,440 4,268 14,726 3,227 1,555 i 2,886 5,459 19,625 Mar.18 116,071 22,162 8,231 17,832 18,298 1,802 3,652 14,636 3,404 2,670 | 2,796 3,700 16,888 Mar.25 104,511 17,916 7,692 12,820 16,159 4,403 2,585 14,623 4,906 1,904 ! 3,704 3,558 14,241 Gold settlement fund- Federal Reserve Board- Mar. 4 900,054 125,000 26,000 116,389 140,000 48,000 52,000 182,144 53,431 10,200 | 33,360 7,234 106,296 Mar.ll 125,000 26,000 113,389 140,000 50,000 51,000 183,144 54,931 10,200 ! 35,360 5,234 103,232 Mar.18 914,350 115,000 26,000 110,389 155,000 49,500 50,000 176,144 55,931 10,200 35,360 10,235 120,591 Mar.25 914,610 115,000 56,000 104,389 155,000 43,500 50,000 170,144 47,831 10,200 34,360 8,234 119,952 Eligible paper- j Amount required- Mar. 4 2,110,429 127,837 708,960 143,947 147,477 107,626 109,814 337,535 SI, 214 48,706 i 72,076 53,013 172,224 Mar.ll 2 096,439 130,337 716,067 143,948 142,978 106,225 107,309 332,635 79,214 48,001 ! 68,757 53,144 167,824 Mar.18 2 053,093 133,337 718,108 141,947 124,397 106,145 105,754 336,396 76,214 45,871 66,957 48,143 149,824 Mar.25 2,049,369 135,057 688,546 148,948 123,187 104,695 105,675 312,115 81,874 46,181 [ 66,157 46,710 160,224 Excess amount held— Mar. 4 340,114 28,441 140,795 9,329 15,643 1,478 16,430 42,147 10,388 ! 19,936 , 27,20914,801 13,517 Mar.ll 366,278 28,194 166,783 3,732 20,026 2,639 13,403 55,427 7,571 16,914 | 28,39912,655 10,535 Mar.18 242,085 19,511 23,196 8,405 17,137 1,707 18,248 53,384 18,904 21,271 ; 32,94914,112 13,261 Mar.25 310,354 24,856 14,476 11,826 38,021 8,781 18,812 83,195 12,769 21,948 38,628 16,438 20,604 Total resources: Mar.4 7,822,986 695,521 2,235,963 584,517 717,331 343,550 428,603 1,251,759 321,760 178,275 247,055 172,253 646,399 Mar.ll 7,834,711 692,328 2,275,221 578,000 715,436 345,158 421,667 1,259,757 317,515 175,220 246,205 168,807 639,397 Mar.18 7,658,404 674,359 2,135,090 574,881 705,097 342,029 421,726 1,249,295 329,362 j 177,677 1246,775166,746 635,367 Mar.25 7,702,548 678,932 2,126,168 575,280 718,093 340,855 421,277 1,277,959 320,751 i 177,132 250,470165,893 649,738 LIABILITIES. Net amount of Federal Reserve notes received from Comptroller of Currency: Mar.4 1 4,135,883 386,115 1,181,584 374,214 183,580 243,889 676,576 167,326i 84,982 !Ill, 623 87,139 340,191 Mar.ll 4,131,424 384,892 1,188,219 300,204 370,725 183,854 242,187 673,825 166,612 85,498 1"1~0, 8~0~3"86,424 338,181 Mar.18 4,105,419 378,749 1,189,947 296,308 366,490 182,875 240,572 668,735 168,949 84,613 108,713 84,665 334,803 Mar.25 4,097,318 380,503 1 189,846 297,297 361,951 179,476 240,705 667,882 167,411 83,847 107,621 86,062 334,717 Collateral received from Federal Reserve Bank: Gold- Mar. 4 1,236,560 153,128 204,624 132,577 179,997 50,866 58,470 195,501 62,832 24,651 36,147 17,300 120,467 Mar.ll 1,240,570 148,905 204,152 130,116 181,707 52,440 58', 768 197,870 64,118 24,807 38,246 16,584 122,857 Mar.18 1,257,807 142,762 203,839 128,221 197,073 51,302 57,152 190,780 65,295 25,922 38,156 19,826 137,479 Mar.255 1,245,507 138,516 233,300 117,209 194,934 47,903 56,085 184,767 58,697 25,156 38,064 16,683 134,193 Eligible paper— 2,450,543 156,278 849,755 153,276 163,120 109,104 126,244 379,682 91,602 68,642 99,285 67,814 185,741 2,462,717 158,531 882,850 147,680 163,004 108,864 120,712 388,062 86,785 64,915 97,156 65,799 178,359 Mar.18 2,295,178 152,848 741,304 150,352 141,534 107,852 124,002 389,780 95,118 67,142 99,906 62,255 163,085 Mar.25 2,359,723 159,913 703,022 160,774 161,208 113,476 124,487 425,310 94,643 68,129 104,785 63,148 180,828 Total liabilities: Mar.4 7,822,986 695,521 2,235,963 584,517 717,331 343,550 428,603 1,251,759 321,760 178,275 247,055 172,253 646,399 Mar.ll 7,834,711 692,328 2,275,221 578,000 715,436 345,158 421,687 1,259,757 317,515 175,220 246,205 168,807 639,397 Mar.18 7,658,404 674,359 2,135,090 574,881 705,097 342,029 421,726 1,249,295 329,362 177,677 246,775 166,746 635,367 March 25 7,702,548 678,932 2,126,168 575,280 718,093 340,855 421,277 1,277,959 320,751 177,132 250,470 165,893 649,738 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

480 FEDEBAL RESERVE BULLETIN. APRIL, 1921. CONDITION OF MEMBER BANKS IN LEADING CITIES. Liquidation of loans by reporting member Loans secured by United States Government banks continued, though at a less rapid rate, obligations show a reduction of $22,000,000 for during the four weeks ending March 18, when the period under review, loans secured by total loans and discounts of these banks stocks and bonds, a reduction of $18,000,000, amounted to $12,630,000,000, compared with and all other loans and discounts, representing $12,788,000,000 four weeks earlier. The net largely commercial paper, a decrease of liquidation for the four weeks was thus about $118,000,000. For member banks in New York $158,000,000, compared with a liquidation of City reductions for the four weeks were as $264,000,000 for the preceding four weeks. follows: Loans secured by Government obli- During the same period, net demand deposits gations, $11,000,000, loans secured by stocks of the member banks declined by $177,000,000, and bonds, $27,000,000, and other loans and or from $10,553,000,000 on February 18, to discounts, $57,000,000, making a total reduc- $10,376,000,000 on March 18, and accommoda- tion in loans and discounts of $95,000,000. tion at the Federal Reserve Banks was re- Member bank holdings of United States duced from $1,847,000,000 to $1,719,000,000. bonds and Victory notes show a reduction of As a consequence, the ratio of accommodation $7,000,000 for the four weeks, while Treasury at the Federal Reserve Banks to total loans and certificate holdings, after declining from investments declined from 11.5 per cent on $246,000,000 on February 18 to $202,000,000 February 18 to 10.7 per cent on March 18. on March 11, increased to $339,000,000 on Following is a summary of the changes in March 18 as a result of the allotment of new principal asset and liability items of reporting issues on March 15. An increase of about member banks on each Friday from February $52,000,000 is shown in the holdings of other • 3 8 to March 18: bonds, stocks, and securities, so that the aggregate of investments shows an increase of Summary of changes in resources and liabilities of reporting $138,000,000 and the total of loans and investmember banks. ments, in spite of the substantial decrease in [In millions of dollars.] loans, a decrease of only $20,000,000. It should be noted, however, that the considerable Feb. 18. Feb. 25. Mar. 4. Mar. 11.Mar. 18. increase in the holdings of Treasury certificates is likely to be reduced as soon as the member Number of reporting banks.. 826 826 824 824 I 824 banks transfer title to a large part of these certificates to private investors. Loans and discounts: Loans secured by United States Government ob- Accommodation of the member banks at the ligations i 770 Federal Reserve Banks shows a reduction from Loans secured by stocks and bonds (other than $1,847,000,000 to $1,719,000,000 for the four United States securities) 3,033 3,053 3,054 3,032 3,015 weeks, the latter figure being a low, due to Al c l o o u t n h t e s r l loans and dis- 8,972 8,966 I 8,954 8,905 8,854 Treasury transactions in connection with the redemption of certificates during the week of Total loans and discounts l 12,788 12,795 2,794 ! 12,707 12,630 March 15. As a consequence of this reduction United States bonds 866 873 866 866 866 in accommodation, the ratio of accommodation United States Victory notes.. 199 195 194 I 192 192 United States certificates of to total loans and investments shows a reduc- O i t n h d er e bt b e o dn n e d s s s , stocks, and 246 235 208 202 339 tion from 11.5 to 10.7 per cent for the period securities 1,997 2,001 i 1,990 2,008 2,049 under review. On March 11, however, pre- Total loans and dis- ceding the Treasury operations of the most counts, and investments 1 16,096 16,099 j 16,052 | 15,975 16,076 recent week, the ratio oi accommodation stood at 11.6 per cent, or slightly above the percentage Reserve balance with Federal Reserve Banks 1,294 1,297 | 1,279 1,302 1,252 for February 18. For New York City mem- C N a e s t h d i e n m v a a n u d l t deposits 10,5 32 5 4 3 10,4 32 9 7 5 10,5 32 1 8 8 10,5 33 3 0 5 10,3 32 7 1 6 bers the amount of accommodation at the local Time deposits 2,907 2,909 2,920 2,910 2,926 Federal Reserve Bank shows a decrease from Government deposits 142 122 91 348 $791,000,000 on February 18 to $651,000,000 Bills payable and rediscounts with Federal Re- on March 18, and the ratio of accommodation serve Banks, total 1,847 1,890 I 1,832 1,854 1,719 shows a corresponding decline from 15 to 12.4 Secured by United States Government per cent. Al o l b o l t i h g e a r tions 1,0 7 9 5 2 5 1,1 7 2 7 0 0 748 1,0 7 9 6 0 4 9 7 5 6 0 9 Government deposits declined from Ratio of accommodation at $142,000,000 on February 18 to $41,000,000 Federal Reserve Banks to total loans and discounts, on March 11, but increased to $348,000,000 per cent 11.5 11.7 11.4 11.6 10.7 on March 18, following the Treasury operations of March 15. Other demand deposits (net) 1 Including bills rediscounted with Federal Reserve Bank. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN". 481 show moderate fluctuations for the four weeks vault fluctuated but little during the period and stood on March 18 at $10,376,000,000, and stood at $321,000,000 on March 18, as compared with $10,553,000,000 four weeks against $324,000,000 four weeks earlier. earlier. Time deposits increased from The accompanying chart shows the move- $2,907,000,000 on March 18 to $2,926,000,000 ment of loans and discounts, of total loans and on the most recent Friday. investments, of deposits and of accommodation MOVEMENT OF PRINCIPAL ASSETS AND LIABILITIES OF REPORTING MEMBER BANKS 1920-1921 SNOILLIB SRALLOD FO I: ACCOMMODATION AT FEDERAL RESERVE BANKS. 2: U.S. OBLIGATIONS AND LOANS SECURED THEREBY 3: NET DEMAND DEPOSITS. 4: TOTAL LOANS AND DISCOUNTS. 5: TOTAL LOANS AND INVESTMENTS. 18 18 17 •^ ••I r '• 1 II^*—- c 17 —• 16 16 15 IS 14 4 13 13 "^ 12 12 -^ 3 II ^< II —^ -N. 10 10 9 9 8 8 7 7 6 6 5 S 4 4 3 3 2 , —* —Isi 2 1 I I 0 U JAN.FEB. MARAPR. MATJUKEJULYAUG.SEPTJOCIVH07. DEC.JATI FEB.MARAPR. MAYJUNEJUDTAU6. SEPT OCT. m DfC. 1920 1921 In keeping with the decline in net deposits at Federal Reserve Banks for each week of and in Federal Reserve accommodations, 1920 and up to March 18 of the current year. reserve balances of the member banks show This chart will be brought up to date and will a reduction from $1,294,000,000 on February appear each month in the Federal Reserve 18 to $1,252,000,000 on March 18. Cash in Bulletin. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

482 FEDERAL, RESERVE BULLETIN. APRIL, 1921. PRINCIPAL RESOURCE AND LIABILITY ITEMS OF MEMBER BANKS IN LEADING CITIES, ON FRIDAYS FROM FEB. 25 TO MAR. 18, 1921. 1. ALL REPORTING MEMBER BANKS IN EACH FEDERAL RESERVE DISTRICT. [In thousands of dollars.] San Boston. Y N o ew rk. d P el h p i h la ia - . C la le n v d e . - m R o ic n h d - .la A n t t - a. Chicago.L S ou t. is. M ap i o n l n i e s. - K C a i n t s y a . s Dallas. F ci r s a c n o - . Total. Number of reporting banks: Feb. 25 113 58 114 52 Mar.4 113 58 114 52 824 Mar. 11 113 58 114 52 824 Mar. 18 113 58 114 52 824 Loan ssecured by UnitedStates Government obligations, including bills rediscounted with Federal Reserve Bank: Feb. 25 43,351 354,678 70,807 64,180 26,787 25,688 90,342 23,303 13,746 24,322 8,487 30,705 776,396 Mar.4 41,935 361,066 71,511 63,916 29,118 25,870 93,005 23,643 13,796 22,839 8,080 31,213 785,992 Mar. 11 41,349 357,085 70,542 61,774 26,900 24,695 90,718 22,416 13,606 22,615 8,270 29,998 769,968 Mar. 18 43,228 341,520 71,084 62,648 28,409 25,338 22,263 13,309 22,383 8,073 29,186 761,430 Loans secured by stocks and bonds (other than United States securities): Feb. 25 190,603 ,279,889 195,739 343,775 11,800 57,034 441,607.21,015 42,509 76,905 38,759 152,861 3,052,496 Mar.4 187,850 ,282,066 193,999 345,553 11,178 60,031 440,412.20,977 43,027 76,936 38,665 153,049 3,053,749 Mar. 11 191,812 ,247,949 194,274 348,351 11,945 58,219 445,665L21,119 44,370 76,949 38,372 152,681 3,031,706 Mar.18 191,478 ,232,917 198,630 348,935 13,559 56,776 438,612L22,856 45,892 74,023 38,140 152,922 3,014,740 All other loans and discounts, including bills rediscounted with Federal Reserve Bank: Feb. 25 663,0943,151,141 417,755 712,912336,561337,157 ,372,238349,995 226,407 400,948 224,596 773,481 8,966,288 Mar.4 669,3023,168,025 414,757 704,377335,779325,272 ,367,662346,612 228,255 402,504 225,164 766,527 8,954,236 Mar. 11 664,6023,133,630 407,884 703,491337,209321,180 ,350,805339,220 229,160 397,435 223,629 769,970 8,878,215 Mar.18 665,3423,113,422 410,798 699,475334,204322,289 ,341,293339,564 225,725 403,039 222,032 776,461 8,853,644 Total loans and discounts, including bills rediscounted, with Federal Reserve Bank: Feb. 25 897,0484,785,711 684,301 ,120,867 475,148 419,879,904.187494,313 282,662 502,175 271,842 957,04:12,795,180 Mar.4 899,0934,811,157 680,2671,113,846 476,07f411,173 ,90],079491,232 285,078 502,279 271,909 950,78912,793,977 Mar. 11 897,7634,738,664 672,7001,113,616 4766;, 0"5"4 404,091,887',,118888 "4~82!;,755 287,136 496,999 270,271 952,64912,679,889 Mar. 18 900,0484,687,859 680,5121,111; 058 4766,,172 404,403.,873,894 481,683 284,926 499,445 268,245 958,5"6~9 1^2,629,814 United States bonds: Feb. 25 33,493 304,166 43,995 98,554 60,064 40,882 78,865 28,673 16,544 36,097 36,289 95,268 872,890 Mar.4 33,006 300,546 43,928 98,668 60,153 40,484 76,565 28,595 16,528 36,496 37,673 93,166 865,808 Mar. 11 33,031 300,461 43,702 97,402 60,223 40,446 77,916 28,755 16,375 35,850 37,637 93,985 865,783 Mar. 18 33,030 297,960 43,971 97,542 59,882 40,652 77,745 28,716 16,701 34,817 37,650 97,468 866,134 United States Victory notes: Feb. 25 6,021 84,407 11,130 21,428 7,558 3,623 33,720 2,385 1,352 3,628 2,763 17,262 195,277 Mar.4 * .... 6,020 83,986 10,345 22,432 7,580 3,043 33,930 2,372 1,330 3,577 2,763 17,048 194,426 Mar. 11 6,020 84,013 10,305 20,321 7,679 2,995 34,175 2,197 1,366 3,752 2,107 17,125 192,055 Mar. 18 6,038 83,612 10,144 20,698 7,691 3,316 34,115 2,236 1,245 3,676 2,058 17,390 192,219 United States certificates of indebtedness: Feb. 25 12,573 123,125 16,139 18,345 4,119 2,296 27,044 2, 976 7,457 4,266 15,669 234,878 Mar. 4 10,639 107,216 13,617 16,218 3,990 2,175 26,972 2,979 883 5,495 2,304 15,191 207,679 Mar. 11 ' *.... 9,249 100,680 13,180 16,238 5,117 2,326 27,963 2,522 1,100 4,964 2,346 16,373 202,058 Mar. 18 21,291 184,309 33,354 20,239 8,077 2,163 35,29- 3,975 3,343 5,950 1,989 18,860 338,844 Other bonds, stocks, and securities: Feb. 25 123,865 724,767 155,285 280,662 47,099 35,543 313,526 65,255 19,727 54,83' 10,364 169,864 2,000,794 Mar.4 " ..." 124,069 714,102 156,138 281,892 47,634 34,380 313,727 66,016 19,828 53,208 10,210 169,08: 1,990,285 Mar. 11 124,894 733,162 155,496 282,482 46,778 34,38C 336,810 65,936 19,688 53,397 10,300 171,56: 2,034,884 Mar.18 122,095 741,881 155,842 283,841 48,545 33,85: 341,338 66,082 19,625 53,242 10,271 172,511 2,049,121 Total loans and discounts, and investments, including bills rediscounted with Federal Reserve Bank: Feb.25 1,073,000 6>,,022,17< 910,8501,539,856 593;, 988 502,22S2,357,342593,495 321,26: 604,19- 325,5241,255,1H 16,099,019 M Ma a r r . . 4 11 1 1, , 0 0 7 7 0 2 , , 9 8 5 2 ^ 7 5 6 , ,: 9 0 5 1 6 7 , , 9 00 8 7 0 9 8 0 9 4 5 , , 2 3 9 8 5 3 1 1 , , 5 5 3 3 3 0 , , 0 0 5 5 6 9 5 5 9 9 5 5 ; i !, 8 4 5 3 1 2 491, 25~5" 12 !, ,, , 35 3 2 6 , 4 2 , 7 0 3 5 5 528 9 2 1 , , 1 1 6 9 5 4 3 3 2 2 3 5 , , 6 6 4 6 ' 5 5 6 9 0 4 1 , , 9 0 6 5 S £ 3 32 2 2 4 , , 6 8 6 5 1 9 1 1 , ,2 2 4 5 5 1 , , 2 6 7 9 5 3 1 15 6 , , 9 0 7 5 4 2 , , 6 1 6 7 9 5 Mar.18 '..'.'.'..'.... 1,082,5025,995,62: 923,8231,533,378 600,367484,3284152,2,362,386 -58.5,692 325,838 597,13C 320,2331,264,7971"6.',076,132 Reserve balance with Federal Reserve Bank: Feb.25 75,736 600,473 67,960 100,695 33,054 26,30 187,263 41,801 18,786 46,940 22,783 75,01 1,296,808 Mar.4 '.'. 74,549 595,744 64,829 97,750 33,624 27,937 184,134 42,716 19,465 45,446 21,413 71,494 1,279,101 Mar. 11 73,417 618,130 63,845 97,193 33,922 25,652 185,648 44,000 19,808 46,913 23,396 70,308 1,302,232 Mar. 18 73,812 584,974 63,076 98,622 34,320 26,95C 171,133 41,904 20,030 23,83: 72,484 1,252,032 Cash in vault: Feb.25.. 23, 102,871 17,981 31,213 15,593 12,127 57,656 8,91- 7,536 13,5& 10,709 26,005 327,399 Mar.4 .'". 22,59? 105,286 16,709 35,577 14,978 11,772 54,621 9,425 7,084 13,6K 10,804 25,998 328,471 Mar. 11 22,94: 105,816 16,390 33,100 15,445 11,675 56,040 9,203 7,224 13,696 10,881 27,627 330,038 Mar.18 23,82: 103,467 16,25G 32,30£ 15,43" 10,935 54,177 9,197 6,698 13,225 10,154 25,5K 321,189 Net demand deposits: Feb.25 743,7744,623,462 638,028 889,882222 324:,365240,05!1,317,378 325i,,242 186,142 405,91. 209,337 591,11; 10,494,629 Mar.4 ."" 738,002244 44,!648,303 639,734 891,267327,276236,1141,323,69£325,391 190,950 401,67: 207,480 587,57110,518,374 Mar. 11 i * 735,9714,624,759 646,040 891,586 "3"310,;662238,9381,338,220044 332288,,85C 196,352 403,817 210,136 589,78610,535,101 Mar.18 723,"6"5"9 4'!,588,614 630,66C 879,046 325,283 223333,0031,299,447314,657 190,523 389,324 209,67f 591,834 1"01;,375,720 Time deposits: Feb.25 39,096 432,956116,341144,16' 659,254144,23: 68,127 101,529 62,00? 538,857 2,909,245 Mar.4 441,105 38,660 434,139 116,886144,03C 659,916 144,47f 68,798 101,132 60,318 542,683 2,919,818 Mar.ll 438,783 39, 111 432,638115,514145,44' 658,371142,965 68,582 100,654 60,003 539,592 2,910,392 Mar.18 460,655 38,905 432,959116,428143,880 656,470143,802 68,882101,268 59,797 635,225 2,926,448 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 483 PRINCIPAL RESOURCE AND LIABILITY ITEMS OF MEMBER BANKS IN LEADING CITIES, ON FRIDAYS FROM FEB. 25 TO MAR. 18, 1921—Continued. 1. ALL REPORTING MEMBER BANKS IN EACH FEDERAL RESERVE DISTRICT—Continued. [In thousands of dollars.] San Boston. Y N o ew rk. d P el h p i h la ia - C la le n v d e . - m R o ic n h d - la A n t t - a. Chicago.L S o t u . is. M ap i o n l n is e . -K C a i n t s y a . s Dallas. F ci r s a c n o - . Total. Government deposits: Feb.25 10,618 55, 510 10,479 9,725 2,655 1,363 13,980 3,248 2,381 2,321 2,125 7,451 121,856 Mar. 4 7,571 40,461 7,723 7,392 2,108 989 10,866 2,428 1,741 1,726 1,784 6,254 91,043 Mar.ll 3,414 17,972 3,434 3,403 918 460 4,829 1,068 773 767 789 2,780 40,607 Mar.18 26,418 179,801 38,775 29,956 8,695 2,499 28,531 4,542 4,247 2,226 14,946 347,624 Bills payable with Federal Reserve Bank: Secured by United States Governmentobligations— Feb.25 22, 781 270,382 44,058 31, 31526, 71027,470 67,171 15,919 5,392 20,044 10,281 21, 899 563,422 Mar. 4 , 23,745 245, 369 41, 569 34,790 25,010 26, 851 65, 05916,490 4,157 186&3 9,663 23,199 534, 545 Mar.ll 24,459 263,198 43,880 39,225 26,620 23, 574 66, 51817,496 2,762 16,491 8,487 25, 718 558,428 Mar.18 , 35,019 265, 546 45,138 28, 83626, 56927,892 67,282 18, 705 5,716 18, 448 8,045 25,971 573,167 All other— Feb.25 85 552 150 110 605 1,538 Mar.4 , 378 150 407 100 605 1,676 Mar.ll , 105 1,790 441 100 285 2,757 Mar.18 380 1,790 140 397 59 100 480 Billsrediscounted with Federal Reserve Bank: Secured by United States G o vernment obligations— Feb.25 18,144 98, 627 37,116 10, 091 2,529 8,732 18,391 3,389 995 3,971 717 4,172 206,874 Mar.4 17,600 103, 813 36, 856 7,806 5,100 8,939 19,649 4,327 1,060 3,881 625 3,461 213,117 Mar.ll 18,055 101,221 37,387 6,610 2,866 7,750 18,944 3,283 1,052 3,747 645 4,022 205, 582 Mar.18 15,601 95,160 34, 467 6,753 4,074 18,986 3,151 771 3,882 617 3,663 195,773 All other— Feb.25 73,011 479,604 43,352 55,661 37, 28142, 568 200,058 42, 818 26,255 36, 761 18,055 63, 4371,118, 861 Mar4 77,484 463,314 41,286 37,242 33, 561 184,128 41,753 24, 849 37, 723 18, 726 65, 7941,082,746 Mar.ll 81, 484 476,176 33,190 57, 32936,112 27, 771 191, 54137, 917 23, 503 39,357 18, 375 64,313 1, 087,068 Mar.18 68,144 341,275 37, 917 53,414 35, 70230, 533 192,949 44, 523 24, 786 40, 795 16, 764 59,086 946,888 2. MEMBER BANKS IN FEDERAL RESERVE BANK CITIES. [In thousands of dollars.] Number of reporting banks: Feb.25 19 287 Mar.4 19 Mar.ll 19 Mar. 18 19 286 Loans secured by United States Government obligations, including bills rediscounted with Federal Reserve Bank: Feb.25 37,156 328,621 67, 681 18,159 6, 507 3,995 63,206 12, 988 8,484 7,348 2,317 13,187 569,649 Mar.4 35, 757 335,090 68, 373 18,162] 6,461 4,117 65, 97913,964 8,490 7,252 2,123 13, 959 579, 727 Mar.ll 35,338 331,187 67,452 17,657! 6,493 4,053 12,927 8,261 7,275 2,247 13,026 569,896 Mar.18 37, 082 315, 542 67,993 17, 6451 6, 478 3,796 67,141 13,226 8,112 7,160 2,222 12, 512 558,909 Loans secured by stocks and bonds (other than United States securities): Feb.25 145>,, 613 1,,116,612 176,966 133,694 15,515 9,233 318,116 87, 456 25, 575 31, 534 9,750 70,145 2,140,209 Mar.4 143,i, 742 1,, 119, 400 175, 581 134,101 15,509 8,971 317, 27487, 831 26,422 31,489 9,170 68,860 2,138,350 Mar.ll 146,067 1,086; 668 175, 798 135,315 15,552 9,216 323,411 88, 409 31,254 9,132 67,851 2,116,361 Mar.18 146,1711,073,148 179, 721 135,029 15,609 316, 52289, 708 28,754 28, 507 9,337 68,264 2,100,058 All other loans and discounts, including bills rediscounted with Federal Reserve Bank: Feb.25 522, 396 2, 839, 565 380,611 279,311 70, 50556,907 857,875 225,124103,686 138,923 370,469 5,906,232 Mar.4 526, 842 2, 853, 874 377,555 278,166 69,485 59,068 854, 771 222,124104,970 140,046 60,266 362,323 5,909,490 Mar.ll 523,642 2, 818, 323 371,043 278, 518 69, 82756,675 862, 555214,669 102, 412 135,170 59,171 369, 5925,861,597 Mar.18 524,984 2,798,296 374,747 278,652 69,063 56, 931 850,824214,994 102,065 140,626 58,080 376,040 5, 845,302 Total loans and discounts, including bills rediscounted with Federal Reserve Bank: Feb.25 705,165 4, 284, 798 625, 258 431,164 92, 52770,135 1, 239,197 325, 568137, 745 177, 805 72,927 453,801 8,616,090 Mar.4 706, 341 4,308, 364 621,509 430, 429 91,455 72,156 1,238, 024 323,919139, 882 178,787 71, 559 445,142 8,627,567 Mar.ll 705, 047 4, 236,178 614,293 431,490 91, 87269,944 1, 249,946 316,005138,361 173,699 70, 550 450,469 8,547,854 Mar.18 708, 237 4,186, 988 622, 461 431, 326 91,150 70,015 1,234,487 317,928138,931 176,293 69,639 456,816 8,504,269 United States bonds: Feb.25 9,704 261, 504 32, 079 8, 710| 7,334 4,364 19, 71213, 698 4,506 12,688 8,182 54, 551 437,032 Mar.4 9,703 257, 788 32, 095 8,714| 7,333 4,364 17,943 13, 751 4,476 13, 388 8,191 52, 582 430,328 Mar.ll 9, 734 257, 424 32, 269 8,761 7,335 4,365 19, 28213, 742 4,372 12, 755 8,173 53,447 431,659 Mar.18 9,729 254,662 32, 555 7,263 4,353 19, 26013,688! 4,441 11,613 55,462 429,896 United States Victory notes: Feb.25 533 74,343 7,849 2,172 181 12,635 370| 486 1,194 733 8,330 108,891 Mar.4 531 74,050 7,101 2,172 181 12,711 461 1,193 733 •8,153 107,737 Mar.ll 531 74,092 7,034 2,194 181 12,990 401 491 1,221 76 8,320 107,596 Mar.18 547 73,695 6,872 2,194 181 12,964 435| 461 1,223 311 8,443 107,111 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

484 FEDERAL RESERVE BULLETIN. APRIL, 1921. PRINCIPAL RESOURCE AND LIABILITY ITEMS OF MEMBER BANKS IN LEADING CITIES, ON FRIDAYS FROM FEB. 25 TO MAR. 18, 1921—Continued. 2. MEMBER BANKS IN FEDERAL RESERVE BANK CITIES—Continued. [In thousands of dollars.] Boston. Y N o e r w k. d P el h p i h la ia - . C la le n v d e . - m R o ic n h d - .la A n t t - a. Chicago.L S ou t. is. M ap i o n l n is e . -K C an it s y a . s Dallas. F c S i r s a a e n n o - . Total. United States certificates of indebtedness: Feb. 25 5,700 117,589 14,579 1,878 249 415 7,203 2,242 514 3,762 2,073 8,675 164,879 Mar.4 4,092 101,921 12,071 1,890 245 420 8,408 2,347 420 2,338 1,371 8,415 143,938 Mar.ll 2,704 96,351 11,635 1,881 245 425 8,599 1,942 552 1,833 1,378 9,053 136,598 Mar.18 11,393 177,463 31,566 1,875 333 225 14,455 2,709 1,861 1,987 1,305 9,996 255,168 Other bonds, stocks, and securities: Feb.25 49,379 550,445 125,551 68,156 3,941 3,296 147,250 40,832 8,383 17,317 4,139 93,210 1,111,899 Mar.4 49,834 540,377 126,038 67,019 3,935 3,247 147,616 41,994 8,396 *7,103 4,139 91,521 1,101,219 Mar.ll 50,293 558,686 125,400 66,544 4,017 3,249 144,051 41,844 8,437 17,289 4,155 93,344 1,117,309 Mar.18 47,544 567,434 125,611 67,149 4,101 3,201 147,818 42,058 8,476 17,563 4,156 93,594 1,128,705 Total loans and discounts, and investments, including bills rediscounted with Federal Reserve Bank: Feb.25 770, 4815,1,288,679 805,316 512,080104.,232 78,2751,425,997 3821,,710 151,634 212,766 88,054 618,56710,438,791 Mar.4 770, 5015,',282,500 798,814 510,2241031,,149 80,2521,424,702 382!:, 397 153,635 212,809 85,993 605, S13 *10 1;,410,789 M Ma a r r . . 1 l 8 l 7 76 7 8 7 , ,4 3W 5 0o 0 9 5 5,, , 2 26 2 0 2 , , 2 7 4 3 0 1 7 8 9 1 0 9 , , 6 06 3 5 1 5 5 1 1 1 0 , , 3 8 3 7 0 0 1 1 0 0 3 3 , , 0 6 2 5 8 0 7 7 7 8 , , 8 0 5 4 9 8 1 1 , , 4 4 2 3 8 4 , , 9 8 8 6 4 8 3 3 7 7 6 3: , !, 8 9 1 3 8 4 1 1 5 5 4 2 , ,2 1 1 7 3 0 2 20 0 8 6 , , 6 7 7 9 9 7 8 8 3 4 , , 2 3 1 3 5 2 6 6 2 1 4 4 . , 3 6 1 3 1 3 1 1 0 0) 1; ,, , 4 3 2 4 5 1 , , 1 0 4 1 9 6 Reserve balance with Federal Reserve Bank: Feb.25 59,981 558,493 62,155 29,578 6,134 3,619 135,057 30,437 7,081 15,767 6,451 33,749 948,502 Mar.4 59,756 547,547 58,391 26', 908 5,859 4,764 133,107 30,944 9,030 16,598 4,879 30,201 927,^84 Mar.ll 58,793 575,254 58,106 26,109 6,100 3,531 133,418 32,245 8,913 16,058 5,719 28,801 953,047 Mar.18 58,759 539,173 56,730 28,127 6,353 4,273 124,394 31,258 13,782 6,669 32,839 911,356 Cash in vault: Feb.25 14,649 90,516 14,334 7,782 2,076 34,442 4,310 2,348 3,315 1,813 10,098 186,922 Mar.4 13,884 92,999 13,381 10,374 1,236 1,976 32,148 4 471 2,373 3,491 1,950 9,925 Mar.ll 13,938 93,738 13,497 8,255 1,185 2,069 32,705 4,365 2,419 3,299 1,768 9,646 186,884 Mar.18 14,744 91,692 13,150 7,531 1,173 1,901 31,592 4,333 2,095 3,654 1,671 9,803 183,339 Net demand deposits: Feb.25 577,6494,139,351 553,762 215,530 54,388 37,351 931,4811223,903 86,760 148,379 57,137 276,564 7,302,255 Mar.4 573,444"4 41,,157,876 555,309 214,443 53,323 36,353 935,019|224,525 89,369 146,182 56,208 271,560 7.313,611 Mar.ll 569,22i68 41,133,646562,545 215,172 52,3581 38,961 935,7931227,459 91,404 146,754 56,561 267,646 7,297,567 Mar.18 559J 8~16 4g.03,132 547,749 214,153 52,417 36,285 918,938! 216,032 87,913 140,741 57,556 272,637 7,207,369 Time deposits: Feb.25 61,667 269,229 27,128 233,416 23,105 21,625 309,843 82,871 26,875 10,997 V- 254,387 1,328,527 Mar.4 63,084 278,040 27,122 234,018 23,4391 21,640 311,181 83,226 27,256 11,070 255,780 1,343,301 Mar.ll 63,350 275,638 27,188 233,411 23,395! 21,750 310,337! 83,223 27,263 11,274! 7,445 256,108 1,340,423 Mar.18 63,656 297,820 27,062 234,145 23,337 21,698 311,021| 82,912 27,559 11,476 7,486 251,234 1,359,485 Government deposits: 7,565 Feb.25 8,393 53,001 10,006 314 510 221 6,287 2,475 1,690 1,915 1,877 6,294 92,983 Mar.4 5,775 38,501 7,318 231 43! 190 4,918 1,765 1,250 1,394 1,563 5,248 68,585 Mar.ll 2,566 17,109 3,254 114 192 85 2,186 784 555 619 695 2,333 30,492 Mar.18 21,183 173,939 37,527 5,241 1,387 343 15,243 5,346 2,416 3,436 h 12,158 280,022 Bills payable with Federal Reserve Bank: Secured by United States Government obligations— Feb.25 20,896 247,370 41,464 2,980 5,445 700 18,143 9,852 10,455 2,133 11,507 371,934 Mar.4 21,007 220,127 39,101 3,480 5,676 750 20,280 10,105 925 10,327 1,233 13,619! 346,630 Mar.ll 21,161 239,121 41,432 2,900 6,285 550 20,963 10,921 950 8,304 80 16,283j 368,950 Mar.18 31,788 242,154 42,340 2,799 5,369 550 21,392 12,571 2,068 9,904 400 16,873! 388,208 All other— Feb.25 150 150 Mar.4 Mar.ll 1,790; 1,790 Mar.18 1,790 59 1,849 Billsrediscounted with Federal Reserve Bank: Secured by United States Government obligations— Feb.25 17,825 96,736 2,199 825 11,806 1,328 593 1,560 144 2,759j 172,773 Mar.4 17,281 101,811 36',738| 2,112 893 12,842 2,639 683 1,526 140 1,955' 178,620 Mar.ll 17,679 99,088 37,269 1,619 827 12,607 1,604 621 1,406 105 2,486 175,311 Mar.18 15,225 93,013 1,490 780 11,640 1,463 494 1,171 101 2,113 161,889 All other— Feb.25 72,365 455,452 41,096 48,900 6,296 3,634 126,442 26,417 18,413 16,868 7,112 40,653 863,648 Mar.4 77,030 436,410 39,305 47,270 6,389 5,042 111,952^ 25,863 17,922 18,933 6,721 41,392^ 834,229 Mar.ll 81,141 450,858 31,275 47,989 6,771 3,269 122,879 23,099 15,657 19,241 7,036 42,105' 851,320 Mar.18 67,888 315,629 36,257 46,162 6,310 4r~~ 125,043 28,083 18,134 18,936 5,492 36,376! 709,205 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 485 PRINCIPAL RESOURCE AND LIABILITY ITEMS OF MEMBER BANKS IN LEADING CITIES, ON FRIDAYS FROM FEB. 25 TO MAR. 18, 1921—Continued. 3. MEMBER BANKS IN FEDERAL RESERVE BRANCH CITIES. [In thousands of dollars.] di Y s N t o r e i r w c k t .i d C is la l t e r n v i d c e t - .2 Rich- Atlanta d C is h t i r c i a c g t o .5 S d t i . s t L ri o c u t. i 6 s d M i a s p t i r n o i n l c i e t s . - ? d K i C s a t n i r t i s y c a t s s d D ist a r l i l c a t s .9 d S i a s n c tr is i F c c r t o a .1 n " - Total. Number of reporting banks: Feb. 25 18 ' 13 20 216 Mar. 4 18 I 13 20 216 Mar. 11 18 ! 13 20 216 Mar. 18 18 ! 13 20 216 Loans secured by United States Government obligations, including bills rediscounted with Federal Reserve Bank: Feb. 25 9,836 35,249 6,625 | 14,675 12, 313 8,965 11,386 2,297 16,356 117,761 Mar. 4 9,852 33,740 6,971 14, 804 12,188 8,429 10,239 2, 270 16,128 114,681 Mar. 11 , 9,594 33,137 6,882 13, 511 11,690 8, 304 10,026 2,355 15,834 111, 392 Mar. 18 9,675 34,186 7,328 14,486 11,708 7,997 9,785 2,302 15,489 113,018 Loans secured by stocks and bonds (other than United States securities): Feb. 25 59,313 150,686 28,797 36,044 62,224 30,905 494 28,104 16,005 74,653 487,225 Mar. 4 56, 432 153,473 28, 866 35, 585 62,491 30, 510 499 28,435 15,841 76,119 488,251 Mar. 11 56, 393 154,185 29,131 37, 264 61,807 30,087 498 28,385 15,722 76,052 489, 524 Mar. 18 56,642 155,251 29, 211 35,623 61,407 30, 551 507 27,925 15,421 75, 545 488,083 All other loans and discounts, including bills rediscounted with Federal Reserve Bank: Feb. 25 108,605 293,496 99, 282 206,117 212,650 112, 832 9,298 155,155 66,981 370,174 1,634, 590 Mar. 4 110,789 286, 938 97, 563 193,657 209,288 112,263 9,260 156,039 67,671 371, 239 1,614,707 Mar. 11 110,940 283, 891 97,931 189, 543 183,487 111, 901 9, 505 155, 865 66,656 367,924 1,577,643 Mar. 18 - 110, 547 279,930 97,979 189,647 185,519 111, 932 9,248 156,364 66,741 367,818 1,575,725 Total loans and discounts, including bills rediscounted with Federal Reserve Bank: Feb. 25 177, 754 479,431 134, 704 256,836 287,187 152, 702 9,851 194,645 85,283 461,183 2, 239, 576 Mar. 4 177,073 474,151 133, 400 244,046 283, 967 151, 202 9,819 194, 713 85,782 463,486 2, 217,639 Mar. 11 176,927 471, 213 133,944 240, 318 256,984 150, 292 10,062 194,276 84,733 459, 810 2,178,559 Mar. 18 176, 864 469, 367 134, 518 239, 756 258,634 150,480 9,817 194,074 84,464 458,852 2,176,826 United States bonds: Feb. 25 14,424 65, 880 14, 767 28, 264 22,711 13,046 714 12, 869 13,795 34,325 220,795 Mar. 4 14,488 65, 876 14, 879 28,166 22,699 12,918 714 12,610 13, 906 34,178 220,434 Mar. 11 14, 823 64,396 14, 812 28,098 22,716 13,097 714 12, 550 13,909 34,153 219,268 Mar.lS 14,971 64, 699 14, 789 28,006 22,730 13,103 715 12, 842 13,947 34,930 220,732 United States Victory notes: Feb. 25 2,130 16,297 3,103 2,359 15,038 1,966 58 974 828 8,175 50,928 Mar. 4 2,000 17,295 3,107 2,363 15,040 1,937 58 953 828 8,138 51,719 Mar. 11 1,971 15,053 3,188 2,314 15,019 1,747 58 1,075 829 8,166 49,420 Mar. 18 1,967 15,481 3,185 2,371 15,015 1,752 58 1,033 49,998 United States certificates of indebtedness: Feb. 25 1,798 13,536 971 1,832 12,687 548 10 I 2,313 527 6,981 41,203 Mar. 4 1,547 11,374 950 1,706 11,392 511 I 10 ! 2,307 532 6,767 37,096 Mar. 11 680 10,879 933 1,834 11,366 501 10 j 2,282 557 7,311 36,353 Mar. 18 2,429 14,179 2,613 1,869 ! 12,638 1,187 10 2,595 523 8,777 46,820 Other bonds, stocks, and securities: I Feb. 25 74,919 177,405 20,648 27,815 119,443 21,226 I 744 27,265 3,325 71,217 544,007 Mar. 4 75,118 179,256 20,984 26,732 119,306 20,829 789 25,933 3,163 72,018 544,128 Mar. 11 75,252 180,654 21,004 26,906 146,338 20,879 787 25,906 3,192 72,944 573,862 Mar. 18 75,583 182,094 21,211 26,174 146,230 20,775 782 25,635 3,156 73,311 574,951 Total loans and discounts and investments, including bills rediscounted with Federal Reserve Bank: Feb. 25 271,025 752,549 174,193 317,106 457,066 189,488 11,377 238,066 103,758 581,881 3,096,509 Mar. 4 270,226 747,952 173,320 303,013 452,404 187,397 11,390 236,516 104,211 584,587 3,071,016 Mar. 11 269,653 742,195 173,881 299,470 452,423 186,516 11,631 236,089 103,220 582,384 3,057,462 Mar. 18 271,814 745,820 176,316 298,176 455,247 187,297 11,382 236,179 102,918 584,178 3,069,327 Reserve balance with Federal Reserve Bank: Feb. 25 15,654 52,987 11,080 17,829 21,896 10,284 586 18,033 7,074 37,590 193,013 Mar. 4 19,335 53,476 11,460 17,684 23,252 10,987 844 16,517 7,229 37,560 198,344 Mar. 11 17,042 53,840 11,208 18,280 24,385 10,803 642 18,534 7,926 200,641 Mar. 18 15,756 52,263 11,281 17,658 20,536 518 15,240 7,169 36,332 186,581 Cash in vault: Feb. 25 2,705 14,046 4,245 6,906 8,985 3,875 249 6,244 2,928 14,120 64,303 Mar. 4 2,570 15,070 4,195 6,992 8,529 4,081 256 6,277 2,976 14,141 65,087 Mar. 11 2,480 14,261 4,296 6,520 8,605 3,995 276 6,222 3,230 16,083 65,968 Mar. 18 2,419 15,014 4,355 6,122 8,319 4,041 251 5,666 3,036 14,002 63,225 Net demand deposits: Feb. 25 155,688 500,533 104,321 159,647 157,914 91,289 4,949 149,505 65,074 282,728 1,671,648 Mar. 4 , 158,287 500,972 104,285 157,681 163,778 90,988 5,221 149,095 64,572 283,756 1,678,635 Mar. 11 158,344 499,718 106,488 158,124 173,164 91,903 5,196 150,405 65,732 289,791 1,698,865 Mar. 18 , , 155,265 492,346 102,580 155,117 159,911 89,380 4,889 144,901 65,834 285,828 1,656,051 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

486 FEDEKAL RESERVE BULLETIN. APRIL, 1921. PRINCIPAL RESOURCE AND LIABILITY ITEMS OF MEMBER BANKS IN LEADING CITIES, ON FRIDAYS FROM FEB. 25 TO MAR. 18, 1921—Continued. 3. MEMBER BANKS IN FEDERAL RESERVE BRANCH CITIES-Continned. [In thousands of dollars.] di Y N st o e ri r w c k t.1 d C is la l t e r n i v c d e t - .2 di m R st i o r c n i h c d - t.3 d A is t t l r a i n c t t a .4 d C i h st ic r a ic g t o s S di t s . t L ri o c u t. i * s d M i a s p t i r n o i n l c i e t s . - ? d K is C a t n r it i s y c a t s .8 d D ist a r l i l c a t s .9 S di a s n c t i r s F i c c r t o a .1 n 0 - Total. Time deposits: Feb. 25 74,887 115,859 20,522 84,157 219,096 51,646 3,270 63,317 24,998 270,931 Mar. 4 70,046 116,200 20,502 83,994 218,308 51,528 3,196 62,797 25,044 273,377 924,992 Mar. 11 70,022 116,076 20,314 85,185 217,845 50,004 3,183 62,115 24,653 270,041 919,438 Mar. 18 69,699 116,000 20,249 83,802 215,887 51,168 3,184 62,130 24,353 270,826 917,296 Government deposits: Feb. 25 1,277 8,736 910 1,111 3,618 773 293 143 1,108 17,969 Mar. 4 984 6,599 712 790 2,700 663 245 123 967 13,783 Mar. 11 429 | 3,064 305 371 1,200 284 109 55 430 6,247 Mar. 18 3,276 21,530 2,745 1,683 5,700 1,642 178 350 2,155 39,259 Bills payable with Federal Reserve Bank: Secured by United States Government obliga. tions— Feb. 25 14,702 27,516 9,863 22,634 33,152 5,602 50 5,253 3,586 8,724 131,082 Mar. 4 17,152 30,536 8,319 22,230 29,939 5,950 122 5,092 3,373 7,743 130,456 Mar. 11 16,314 35,476 9,261 19,153 30,241 6,055 122 4,394 3,593 7,758 132,367 Mar. 18 14,931 24,953 10,100 23,521 31,929 5,656 72 5,123 3,393 7,327 127,005 All other— Feb. 25 85 147 110 585 927 Mar. 4 • 378 75 100 585 1,138 Mar. 11 105 75 100 265 545 Mar. 18 380 140 75 100 460 1,155 Bills rediscounted with Federal Reserve Bank: Secured by United States Government obligations— Feb. 25 1,115 7,477 1,442 5,774 4,830 2,059 946 238 1,319 25,200 Mar. 4 1,136 5,275 1,753 5,908 4,951 1,687 884 283 1,433 23,310 Mar. 11 1,177 4,740 1,576 4,798 4,446 1,678 854 342 1,461 21,072 Mar. 18 1,170 5,059 2,014 5,685 4,967 1,687 1,178 1,439 23,519 All other— Feb. 25 12,427 3,520 12,903 29,797 22,933 16,018 321 10,985 5,507 19,735 134,146 Mar. 4 14,804 6,180 12,741 17,939 19,541 15,559 373 9,999 6,577 21,795 125,508 Mar. 11 13,024 5,443 11,699 14,799 18,538 14,138 603 11,545 6,052 19,913 115,754 Mar. 18 14,574 3,789 13,368 14,961 16,405 15,757 437 12,600 5,571 19,984 117,446 i Buffalo. 6 Louisville, Memphis, and Little Rock. 8 Cincinnati and Pittsburgh. 7 Helena. 3 Baltimore. 8 Omaha, Denver, and Oklahoma City. 4 New Orleans, Jacksonville, Nashville, and Birmingham. 9 El Paso and Houston. 6 Detroit. x° Spokane, Portland, Seattle, Salt Lake City, and Los Angeles. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APEIL, 1921. FEDERAL RESERVE BULLETIN. 487 BANK DEBITS. the figures are smaller than for the preceding week. On the whole, a slight upward trend For the four weeks ending March 23, the in the volume of business in March, as comvolume of business, as measured by debits to pared with February, may be noted, this trend individual accounts, shows considerable fluc- manifesting itself both in New York City and tuations. For the week ending February 23 outside. a relatively small amount of debits is reported A chart showing weekly changes in volume owing to the inclusion of Washington's Birth- of debits for 1920 and for 1921 up to March 23 day, a legal holiday in all the districts. The is presented below. This chart will be brought following week saw a material increase in vol- up to date and printed each month in the BULume of business, due in part to end-of-month LETIN. It brings out clearly that, while in payments, while the next week again witnessed 1921 the volume of business is smaller than a reaction followed by a large increase for the in 1920, the trends for the two years are closely mid-March week, when income-tax checks parallel and appear both in the curves for New swelled bank debits. For the most recent week, York City and in those for outside centers. DEBITS TO nrDiviDa AL AC(:OUNTS ATB ANKS IN REl PORTIIsfG CLEARING II0USE CENTERS DEBITS FOR 1920 DEBITS FOR 1921 to to °5 §3 ^2 =!§ s& 11.000 11.000 4 10.000 \ \ \ i / \\ \ / / /V 1 1 / V \ \\ 10.000 9.000 '3 \ / \ ! i i \If 1 \ / \ / / / I I \11 1 \ / / \ \ aooo 8.000 \ \%1 z\ 1 1 8.000 \ / 1 \ ^ / 7.000 7.000 \ 6.000 7 6000 2 5.000 \ /\ / ,r* 5.000 \ / / \ / i \ **• / \ 1 > / / 4.000 I s v \ s / 1 / \ \ / \ f' \ / \ 1 4000 3000 \ \ aooo 2.000 2.000 1.000 1.000 0 0 I AND 2 : BANKS IN NEW YORK CITY. 3 AND A\: BANKS IN ALL REPORTING CENTERS. 6.000 6.000 5000 s \ i \ / N.nmm / > { '*, ,*' N 0.,+* 5.000 4.000 > \ \ h / s / V\ «•« ••• \ 4.000 3.000 aooo 2.000 2000 1.000 1.000 0 0 BANKS OUTSIDE 0fl\LW YORK CITY. 1 \ 1 1 1 I 1 I \ 1920 7 14 21 28 4 1 18 25 3 10 17 24 31 7 14 21 28 5 12 196 2L 9 !6 23 30 7 M 21 28 4 II 18 25 8 15 22296 13 20273 10 17 24 1 8152229 1920 I92J 5 12 19 26 2 9 16 23 2 9 16 23 30 6 13 20 27 4 118 25 1 8 15 22 29 6 13 20 27 3 10 17 24 31 7 !4 21 28 5 12 19 26 2 9 16 23 30 7 14 21 28192! JAN. FEB. MAR. APR. 1 MAT | JUNE JULY AUG. SEPT. OCT. 1 NOV. DEC. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

488 FEDERAL RESERVE BULLETIN. APHID, 1921. DEBITS TO INDIVIDUAL ACCOUNTS AT CLEARING-HOUSE BANKS. SUMMARY BY FEDERAL RESERVE DISTRICTS. [In thousands of dollars.] 1921 1920 Week ending- Week ending- Federal Reserve district. Number ofcenters Mar. 2. Mar. 9. Mar. 16. Mar. 23. Mar. 3. Mar. 10. Mar. 17. Mar. 24. included. Boston 391,368 346,116 413,471 341,573 493,258 434,857 500,906 486,747 New York 4,597,594 3,887,516 4,612,068 3,971,849 5,348,941 4,597,233 5,410,731 5,040,402 Philadelphia.. 426,440 353,494 406,337 364,705 451,959 381,354 459,545 428,566 Cleveland 519,153 445,058 515,088 491,200 623,785 549,741 619,960 574,488 Richmond 164,078 148,892 160,486 149,069 212,846 175,090 197,217 176,653 Atlanta 212,916 186,665 192,257 174,083 286,575 254,717 265,135 252,851 Chicago 1,025,033 894,335 991,507 875,216 1,297,871 1,114,303 1,317,493 1,154,282 St. Louis 196,949 176,930 191,006 172,628 268,130 230,410 270,313 253,317 Minneapolis.. 142,144 121,999 131,991 124,730 186,912 156,438 176,032 161,822 Kansas City.. 262,110 244,419 262,460 236,777 391,456 316,075 323,936 304,105 Dallas 124,239 147,558 126,875 130,015 145,632 147,608 154,109 148,087 San Francisco 503,857 497,225 548,733 506,477 638,933 509,375 630,768 518,982 Total... 157 8,565,881 7,450,207 I 8,552,279 >,322 10,346,298 8,867,201 10,326,145 9,500,302 NOTE.—Figures for the following centers, while shown in the body of the statement, are not included in the summary, complete data for these centers not being available for each week under review: Reading, Pa.; Greenville, S. C; Huntingtcn, W. Va.; Washington, D. C; Wilmington, N. C; Moline, 111.; East St. Louis and National Stock Yards, 111.; Quincy, 111.; Springfield, Mo.; Shreveport, La. DATA FOR EACH REPORTING CENTER. [In thousands of dollars.] 1921 1920 Week ending- Week ending- Mar. 2. Mar. 9. Mar. 16. Mar. 23. Mar. 3. Mar. 10. Mar. 17. Mar. 24 District No. 1—Boston: Bangor 3,725 3,538 3,638 3,165 2,873 2,462 2,971 2,967 Boston 1 244,089 1 218,720 1 272,468 1 207,194 318,885 278,910 328,296 319,596 Do 317,830 283,528 345,945 274,459 Fall River 6,154 5,215 5,929 5,464 8,923 9,014 10,123 10,228 Hartford 24,078 20,399 22,185 18,602 27,099 26,923 23,740 22,030 Holyoke 3,478 2,715 2,974 3,193 3,639 3,081^ 3,683 3,729 Lowell 4,124 2,832 4,279 4,244 5,258 4,129 5,676 5,764 Manchester 4,410 3,906 4,962 5,337 4,921 4,243 4,642 4,075 New Bedford 5,634 4,830 5,751 5,346 8,413 7,608 10,001 9,295 New Haven 19,617 16,118 17,314 17,622 20,791 16,624 18,606 '21,638 Portland 7,730 7,627 8,179 7,602 7,687 6,292 8,658 7,302 Providence 32,626 27,619 31,592 29,630 38,998 36,943 40,873 40,371 Springfield 14,422 13,273 14,434 13,635 20,623 16,374 17,548 17,448 Waterbury 5,613 5,558 5,415 5,578 6,560 I 5,806 5,551 4,206 Worcester 15,668 13,766 14,351 14,961 18,588 I 16,448 20,538 18,098 District No. 2—New York: I Albany 27,881 29,772 28,129 24,166 25,140 I 15,778 18,955 24,249 Binghamton 3,912 3,844 4,079 3,542 3,953 I 3,960 4,773 4,281 Buffalo 67,136 50,966 57,297 53,284 71,309 I 57,694 68,861 63,369 New York 1,446,818 3,759,943 4,471,938 3,844,641 5,190,718 4,473,374 5,258,759 4,897,299 Passaic 4,510 4,046 5,225 4,825 5,788 5,411 5,221 5,471 Rochester 32,969 26,500 30,370 28,130 35,098 26,521 39,682 29,496 Syracuse 14,368 12,445 15,030 13,261 16,935 14,495 14,480 16,237 District No. 3—Philadelphia: Altoona 3,551 2,840 3,538 2,965 3,342 3,125 3,457 3,034 Chester 4,589 4,424 5,187 5,014 5,453 4,736 5,271 4,881 Harrisburg 7,150 6,103 6,240 6,119 4,550 1,722 4,240 3,680 Johnstown... 5,847 4,985 4,855 5,215 4,391 3,309 3,423 2,999 Lancaster 5,035 4,824 5,529 5,695 5,885 4,907 5,926 6,026 Philadelphia 348,095 281,081 331,786 290,036 376,931 314,912 385,555 357,147 Reading 5,881 6,281 6,308 7,957 Scranton 16,194 15,113 13,351 15,098 13,860 14,300 12,442 13,528 Trenton 11,367 10,500 10,500 10,500 11,741 11,578 11,713 12,000 Wilkes-Barre 8,275 8,294 8,442 8,041 8,936 7,545 8,358 7,591 Williamsport 4,454 4,191 4,061 4,500 4,160 2,765 4,501 4,230 Wilmington. 8,386 7,476 8,463 7,153 8,699 8,516 10,326 9,071 York 3,497 3,663 4,385 4,369 4,011 3,939 4,333 4,379 District No. 4—Cleveland: Akron 14,040 12,487 13,485 12,797 29,345 26,351 22,036 22,219 Cincinnati 63,769 58,675 73,783 65,949 74,867 58,898 72,797 59,633 Cleveland 129,013 113,168 131,769 124,764 185,425 144,981 187,730 158, 861 Columbus 28,606 26,485 25,053 29,880 28,356 27,368 27,720 28,561 Dayton 13,175 13,427 12,875 12,158 14,657 12,462 12,436 12,148 Erie 6,600 6,120 6,364 6,497 7,690 6,806 8,008 7,634 Greensburg 5,063 3,930 4,685 4,809 5,121 4,145 4,466 4,060 Lexington 7,173 6,201 6,322 5,820 15,022 12,684 9,100 7,822 Oil City , 3,284 2,486 2,625 2,919 2,831 2,673 3,421 3,418 Pittsburgh 196,478 157,977 188,488 173,251 195,414 196,018 210,694 209,898 1 Debits of banks which submitted reports in 1920. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 489 DEBITS TO INDIVIDUAL ACCOUNTS AT CLEARING-HOUSE BANKS—Continued. DATA FOR EACH REPORTING CENTER—Continued. [In thousands of dollars.] 1921 1920 Week ending- Week ending— Mar. 2. Mar. 9. Mar. 16. Mar. 23. Mar. 3. Mar. 10. Mar. 17. Mar. 24. District No. 4—Cleveland—Continued. Springfield 4,649 4,844 4,619 4,027 5,905 3,702 4,296 3,569 Toledo 25,063 21,840 25,341 26.417 33,777 30,697 33,896 33,180 Wheeling 9,109 7,908 7,484 8,023 9,431 8,064 8,889 8,176 Youngstown 13,131 9,510 12,195 13,889 | 15,944 14,892 14,471 15,309 District No. 5—Richmond: Baltimore 100,436 88,959 96,543 91,916 120,559 96,260 111,687 95,329 Charleston 6,789 4,906 6,058 5,871 | 10,874 9,690 9,914 10,133 Charlotte 5,600 5,550 5,502 5,365 | 11,726 9,825 10,089 9,467 Columbia 5,302 4,511 4,686 4,568 9,184 8,246 10,667 8,123 Greenville, S. C 3,501 3,014 3,130 3,132 I Huntington 5,655 5,394 6,519 5,509 I Norfolk 14,679 14,554 14,234 13,039 23,115 20,777 21,527 20.789 Raleigh 3,900 4,600 4,400 3,800 ! 5,500 4,600 5,036 4; 300 Richmond 27,372 25,812 29,063 24,510 ! 31,888 25,692 28,297 28,512 Washington 36,8G8 33,255 37,985 35,040 ! Wilmington 4,961 5,300 4,950 4,727 ! District No. 6—Atlanta: Atlanta 25,661 23,678 27,093 24,082 ! 37,637 31,437 36,271 31,426 Augusta 5,825 5,113 5,018 4,896 ! 11,551 12,103 13,284 11,271 Birmingham 17,750 15,436 16,363 15.039 i 19,327 15,912 17,767 16,211 Chattanooga 9,742 11,107 9,707 8,707 I 14,399 13,048 13,503 12,607 Jacksonville 11,352 12,814 12,001 10,825 ! 15,254 13,604 14,896 13,083 Knoxville 6,529 5,350 6, 397 6,426 I 7,289 6,438 7,638 7,145 Macon 4,163 3,774 4,227 3,861 7,501 7,856 8,036 7,515 Mobile 8,224 6,410 5,715 5,805 | 10,886 9,722 9,261 10,316 Montgomery 3,396 3,315 3,917 3,173 I 6,128 5,414 5,236 5,700 Nashville 25,614 21,342 24,847 18,950 I 30,919 24,043 27,946 27,442 New Orleans 74,519 58,780 58,185 53,466 I 92,392 85,272 78,680 80,158 S Pe a n v s a a n c n o a l h a ! 10 1, , 3 8 8 06 5 i 2 9 , , 2 7 5 3 1 0 1 9 , , 4 5 7 5 3 5 1 9 , , 3 8 0 4 7 3 I i 2 2 1 , , 4 6 6 60 0 1 2 9 , , 2 1 8 0 1 1 2 2 1,71 4 7 3 5 2 1 2 9 , , 1 4 9 2 0 8 Tampa j 6,440 ! 6,182 6,264 6,430 ! 7,497 6,709 7,249 6,769 Vicksburg i 1,510 ! 1,383 1,465 1,273 ; 1,675 1,777 1,761 1,590 District No. 7—Chicago: ! Bay City | 2,597 I 2,315 2,358 2,638 ! 3,158 3,414 4,331 3,651 Bloomington | 4,475 i 3,193 2,962 2,480 | 8,644 5,080 4,078 3.563 Cedar Rapids j 13,589 15,523 13,503 10,685 i 15,902 12,753 8,917 9,439 Chicago j 662,912 566,583 636,662 562,019 ! 817,140 663,009 821,322 714,504 Davenport | 10,651 8,737 6,619 7,658 15,641 10,252 8,671 8,443 Decatur ! 3,392 3,359 3,625 3,068 ! 6,642 4,907 4,805 4,950 Des Moines j 20,299 27,043 20,788 16.418 | 35,516 58,014 36,040 27,346 Detroit \ 119,045 94,865 122,557 100,898 i 155,011 138,918 197,457 157,691 Dubuque j 3,697 3,463 3,805 3,082 | 4,466 5,227 3,982 4,292 Flint | 4,714 3,728 4,238 4,439 10,700 9,000 10,600 10,800 Fort Wayne \ 7,966 7,953 6,714 6,610 9,688 8,281 8,206 7,736 Grand Rapids j 17,651 17,276 17,478 17,645 | 22,860 19,111 23,324 23,072 Indianapolis ! 39,035 31,731 34,181 30,414 45,747 38,112 40,193 38,008 Jackson ! 3,914 3,086 3,512 3,062 ! 5.196 4,568 3,086 5,197 Kalamazoo i 4,601 3,918 5,049 4,805 ! 4,98? 4,454 5,535 4,637 Lansing j 4,917 4,993 4,859 5,790 I 5,995 6,444 6,575 6,115 Milwaukee ' 56,218 31,675 58,170 54,929 | 69,917 67,800 79,166 77,007 Moline ! 3,150 '2,056 2,591 2,229 Peoria ! 10,108 9,399 9,089 8,203 13> 438 11,095 12,167 11,010 Rockford j 5,750 5,303 5,311 4,719 i 7,750 6,842 7,262 6,810 Sioux City j 14,170 15,055 14,830 12,974 19,745 18,944 18,874 18,151 South Bend 5.895 5,066 5,458 4,266 5,349 5,173 1,523 2,006 Springfield, 111 I 6' 635 6,469 I 6,560 5,507 6,833 5,836 5,843 4,685 Waterloo i 2,802 3,602 I 3,179 2,907 7,551 7,069 5,536 5,169 District No. 8—St. Louis: East St. Louis andNational Stock Yards. | 9,158 9,005 | 8,677 7,466 Evansville ! 5,572 3,884 4,865 4,413 6,126 5,906 5,574 5,759 Little Rock 9,846 9,151 ! 9,105 7,483 10,278 9,973 10,529 10,654 Louisville 125,829 122,804 I 124,701 124,366 42,197 35,415 41,266 36,031 Do 33,840 29,570 | 31,491 30,683 Memphis 23,092 22,962 22,588 20,800 40,158 36,424 37,054 38,391 Quincy 3,206 3,231 2,546 2,510 St. Louis 1132,610 1118,129 1129,747 i 115,566 169,371 142,692 175, 890 162,482 Do 146,193 132,056 ! 144,427 128,575 Springfield, Mo 2,758 2,780 2,602 District Isio. 9—Minneapolis: Aberdeen 1,685 1,276 1,400 1,473 1,872 1,774 1,966 1,863 Billings 1,644 1,841 1,594 1,508 2,629 2,437 2,683 2,025 Duluth 16,991 12,942 15,523 12.040 19,611 14,429 17,066 15,191 Fargo 2,806 2,577 2,553 2,611 3,052 3,366 2,940 3,237 Grand Forks 1,240 1,180 1,306 1,039 2,058 2,220 1,685 1,690 Great Falls 1,634 1,674 2,246 1,548 2,217 2,406 1,987 2,044 Helena 2,515 3,022 1,884 1,958 2,634 3,352 2,384 2,501 Minneapolis 73,222 63,000 68,932 65,990 94,692 75,879 86,597 79,104 St. Paul 32,612 26,242 28,443 29,409 44,552 38,088 45,319 42,974 Sioux Falls 4,800 5,000 5,000 4,500 10,134 9,450 9,726 8,049 Superior 1,944 2,213 2,099 1,717 2,162 1,856 2,072 2,107 Wmona , , 1,051 1,032 1,011 937 1,299 1,181 1,607 1,037 1 Debits of banks which submitted reports in 1920, Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

490 FEDERAL RESERVE BULLETIN. APRIL, 1921. DEBITS TO INDIVIDUAL ACCOUNTS AT CLEARING-HOUSE BANKS—Continued. DATA FOR EACH REPORTING CENTER—Continued. [In thousands of dollars.] 1921 1920 Week ending- Week ending- Mar. 2. Mar. 9. Mar. 16. Mar. 23. Mar. 3. Mar. 10. Mar. 17. Mar. 24. District No. 10—Kansas City: Atchison 1,400 1,500 1,500 1,300 826 547 681 493 Bartlesville 3,530 2,218 2,596 2,697 4,430 3,044 3,535 3,049 Cheyenne 2,482 2,073 2,318 1,202 2,508 1,888 2,213 1,886 Colorado Springs 2,796 2,681 2,718 2,992 3,936 3,445 3,949 3,440 D enyer 38,599 32,771 35, 111 31,670 52,718 43,597 46,053 46,079 Joplin 2,286 2,274 2,375 1,999 4,103 3,374 4,131 3,639 Kansas City, Kans 3,666 3,777 3,695 3,712 4,123 4,546 4,169 3,859 Kansas City, Mo 74,204 58,754 77,834 71,281 100,852 95,620 91,670 Muskogee 6,742 5,176 5,715 5,818 6,818 5,876 6,870 7,175 Oklahoma City 20,888 26,664 21,686 18,882 19,891 21,398 20,751 20,633 Omaha 44,750 48,438 47,254 42,869 103,754 66,206 56,002 52,515 Pueblo 3,743 3,969 4,551 4,742 4,009 4,256 3,606 3,444 St. Joseph 16,885 18,634 16,582 14,957 24,590 20,838 25,335 22,696 Topeka 3,575 4,598 3,602 3,426 8,512 6,815 5,608 3,656 Tulsa 25,314 20,923 24,511 20,370 33,350 27,343 32,014 27,015 Wichita 11,250 9,969 10,412 17,036 14,233 13,399 12,856 District No. 11—Dallas: Albuquerque 2,093 1,212 1,612 1,563 2,035 2,310 1,996 1,674 Austin 2,620 3,560 2,815 3,105 3,463 3,607 3,371 3,419 Beaumont 3,065 4,360 3,775 3,593 4,472 4,627 4,609 5,386 Dallas 31,699 40,246 32,646 34,151 43,280 45,813 44,538 45,899 El Paso 6,970 9,366 7,534 7,559 9,984 9,575 9,709 9,431 Fort Worth 23,850 19,472 17,023 23,100 23,162 23,486 25,025 22,377 Galveston 16,085 20,810 19,460 16,396 9,810 8,901 11,527 8,903 Houston 24,826 32,660 27,935 27,934 33,116 31,197 35,575 33,874 San Antonio 5,820 8,462 6,803 6,498 7,627 9,361 8,601 8,330 Shreveport 8,202 7,669 6,991 9,186 9,530 9,250 8,820 Texarkana, Tex 1,750 1,429 2,115 1,354 2,825 2,569 3,370 3,130 Tucson 1,648 1,645 1,548 1,455 1,381 1,520 1,383 1,313 Waco 3,813 4,336 3,609 3,307 4,477 4,642 4,405 4,351 District No. 12—San Francisco: Berkeley 2,935 3,283 3,130 2,923 3,148 3,199 2,745 2,508 Boise 2,337 2,137 2,370 2,427 3,269 3,187 3,275 2,896 Fresno , 9,934 10,350 10,515 9,998 10,933 9,590 9,992 8,654 Long Beach 5,852 6,891 5,855 5,436 6,281 5,514 6,368 5,269 Los Angeles 111,225 115,386 114,254 105,800 121,208 108,092 115,568 95,360 Oakland 19,691 19,356 20,252 18,332 22,510 18,690 20,840 19,380 Ogden 3,330 3,108 3,111 3,217 4,972 4,527 4,486 3,943 Pasadena 6,571 7,448 6,228 6,113 7,943 5,549 7,491 6,882 Portland 41,175 35,787 39,745 34,868 51,427 47,714 55,721 43,622 R Sa e c n r o amento 1 2 2 , , 7 0 6 7 0 2 1 2 3 , , 6 5 1 74 6 1 2 3 , , 4 2 8 0 2 0 1 2 2 , , 5 3 6 5 7 0 1 2 5 , , 9 8 7 9 1 8 1 2 4 , , 7 9 4 34 2 1 3 4 , , 1 8 8 6 2 7 1 3 2 , , 1 2 5 8 4 9 S S Y S S S S T S a a p a a e t a a o n n n l a c o k t c t o k i J t D F k L m m l a o e r t i a n o s a e a a k e e n n g e o c i C sc it o y 1 3 1 9 1 2 8 5 3 4 7 0 9 4 , , , , , , , , , 2 2 2 2 2 1 6 9 9 3 2 4 6 9 1 8 6 3 6 1 2 9 9 9 3 8 8 1 2 9 1 1 8 2 7 7 9 4 4 0 2 , , , , , , , , , 0 4 4 4 6 2 7 4 7 5 4 7 2 9 4 1 4 9 1 9 5 4 1 3 1 6 9 2 3 3 1 1 1 6 2 5 7 5 4 2 0 3 , , , , , , , , , 0 6 5 9 3 1 3 3 2 1 9 5 1 6 5 3 3 2 3 9 1 9 8 3 0 6 2 2 3 1 1 1 1 8 3 2 2 1 3 4 0 5 , , , , , , , , , 0 2 8 4 9 7 3 7 2 4 0 2 0 7 0 5 3 0 1 2 0 3 4 5 5 8 8 2 5 2 6 1 1 8 3 0 6 6 5 0 3 3 , , , , , , , , , 6 0 5 6 2 7 4 4 5 9 5 7 2 2 8 3 2 5 1 5 9 5 4 6 2 3 8 1 1 4 1 1 7 8 3 6 1 4 7 2 5 4 , , , , , , , , , 5 0 4 6 5 8 7 8 9 0 4 7 6 4 6 6 1 5 1 1 9 9 3 5 8 3 8 2 2 6 1 1 4 9 0 4 4 7 5 5 5 2 , , , , , , , , , 4 9 5 0 6 6 7 3 8 1 3 7 0 4 6 7 6 6 2 4 6 0 8 3 0 1 9 20 1 4 1 1 3 7 4 5 0 6 6 4 6 , , , , , , , , , 5 4 4 6 2 8 3 3 2 4 2 1 0 9 4 0 8 1 4 3 1 3 5 6 9 1 3 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 491 OPERATIONS OF THE FEDERAL RESERVE CLEARING SYSTEM FROM FEB. 16 TO MAR. 15, 1921. [All figures shown in thousands.] Items drawn on banks located B Fe a d n e k r a o l r R b e ra se n r c v h e . I s n e r F v e e d B er a i a n n l k R o o w e r - n d R O i e s u s t t r e s i r i c v d t e e . B Fe a d n e k r a o l r o U I n t n e T i m te re s d a d s S u r t a r a w e t r e n s o . f d T le d o d u ta , p l e l i i x t c e c a m l t u io s si n h v s a e . n o - f w s a F e I r a b e d r t n r e d v e a d m e e d n r c t B s a t h h o l a f e e o R n o i s r r t k e . - h s - er w s t a e a o I m n r t d b e t e e r m b a d d a n s i n t c s o f k t h o r p r i o i - c a n r t r . - c h l T u a o d c n t i a d a n t l l i g e o i d t n d e , s u m . i p n s l - ibranch city. branch city. Num- Num- Num-i Num- Num-j Num- Number. Amount. ber. Amount. ber. |Amount. ber. Amount. ber. Amount. ber. Amount. ber. Amount. Boston 659 451,319 2,750 312,344 113 25,014 3,522 • 788,677 148 43,514 3,670 832,191 New York 1,101 1,565,535 3,717 883,840 721 134,040 5,539 2,583,415 876 418,832 20 | 5,232 6,435 3,007,479 Buffalo 178 75,194 340 40,787 6 2,377 524 118,358 114 20,238 36 j 17,932 674 156,528 Philadelphia 1,445 669,294 1,817 197,295 153 69,355 3,415 935,944 670 160,423 4,085 1,096,367 Cleveland 330 170,217 1,058 133,209 56 6,564 1,444 309,990 43 28,384 35 ! 10,381 1,522 348,755 Cincinnati 182 117,418 709 76,111 47 7,876 1943 i 202,409 12 I 13,001 11 i 3,821 966 219,231 Pittsburgh 439 245,541 786 87,585 27 8,462 1,252 341,588 65 | 33,494 27 5,624 1,344 380,706 Richmond 106 115,028 1,643 231,209 38 6,878 1,787 353,115 140 ! 54,376 46 9,370 1,973 416,861 Baltimore 213 134,050 595 62,331 49 10,154 857 206,535 52 | 25,418 64 6,920 973 238,873 Atlanta 98 50,385 287 38,465 24 4,719 409 93,569 49 | 17,421 39 6,193 497 117,183 Birmingham 46 14,736 125 8,243 10 1,203 181 24,182 17 i 10,363 33,052 225 67,597 Jacksonville 43 21,557 155 18,849 7 944 205 41,350 28 8,721 1,382 238 51,453 Nashville 52 27,327 188 20,435 11 1,485 251 49,247 38 | 6,995 11 1,345 300 57,588 New Orleans... 62 43,359 108 12,310 30 5,746 200 61,415 44 10,955 6 863 250 73,233 Chicago 880 570. 500 3,237 337,142 193 68,315 4,310 975,957 315 28,930 6 2,195 4,631 1,007,082 Detroit 237 110', 309 343 35,308 25 4,521 605 150,138 8 6,730 5 ! 772 618 157,640 St. Louis 280 202,034 1,204 78,634 64 9,131 1,548 289,799 22 4,747 i\ 907 1,576 295,454 Little Rock 43 20,387 257 15.277 5 1,103 305 36,767 7 ! 1,317 2,817 337 40,901 Louisville 89 52,198 357 21^849 19 2,740 465 76,787 20 : 2,824 253 488 79,864 Memphis 66 23,145 143 8,451 7 1,888 21(3 33,474 2 435 3 416 221 34.325 Minneapolis 244 105,818 1,265 79,492 24 5,828 1,533 191,138 170 37,810 3 476 1,711 229,424 Kan H O D sa e k e s l n l e a C v n h e i a o t r y ma City. 2 3 0 7 5 1 1 0 9 2 3 4 5 9 9 9 1 , , , , 1 1 1 1 6 3 7 9 0 2 6 9 1,7 3 8 1 6 1 3 4 5 8 1 8 8 6 1 1 5 9 0 8 , , , , 2 3 4 2 5 4 7 5 6 4 8 5 4 1 2 6 7 6 I ' 8 2 , , 6 7 8 1 0 1 9 3 1 4 3 4 2,0 4 8 1 1 9 8 0 3 6 2 4 3 1 6 4 1 2 0 9 2 1 , , , , 7 9 1 4 3 9 4 7 9 0 4 1 27 3 6 2 7 7 1 5 1 7 1 1 3 , , , , 3 8 8 7 1 4 7 7 2 6 5 2 7 4 1 8 2 7 8 5 1 1 9 1 2 2 , , , , 6 8 9 3 8 9 8 0 9 0 7 1 2,3 9 1 5 6 4 1 8 2 8 9 8 4 1 2 8 0 3 3 6 7 8 , , , , 2 4 8 4 1 5 7 7 7 4 1 3 Omaha | ill 52,293 530 42,408 14 2,175 i 655 i 97,314 40 6,822 18 6,500 713 110,636 Dallas 55,710 1,372 187,723 23 3,162 1,528 246,595 69 19,038 57 5,380 1,654 271.013 El Paso 9,659 120 i 9,985 15 2,728 174 22,372 14 4,441 6 1,320 194 28', 132 Houston 36,514 290 ! 34' 588 38 2,003 386 73,105 21 2,783 1,401 414 77,289 San Francisco 99,201 400 I 32,278 68 96,020 646 227,499 23 4,156 6,469 708 238,124 Los Angeles 92,746 784 ! 62,882 25 10,173 S64 165,801 103 15,894 50 12,490 1,117 194,185 Portland 32,486 191 10,620 15 9,753 265 52,859 4 1,768 25 3,057 294 57,684 Salt Lake City.. 20,555 313 25,349 10 2,604 379 48,508 11 10,434 11 7,189 401 66,131 Seattle *... 28,949 195 13,224 23 8,601 293 50,774 15 3,895 35 5,275 343 59,944 Spokane 14,553 152 9,028 6 1,042 190 24,623 8 1,872 16 4,532 214 31,027 Total: | Feb. 16 to Mar. I 15, 1921 |8,049 5,576,684 128,493 3,310,584 1,937 528,946 138,486 19,417,648 3,528 1,080,836 789 200,431 42,803 10,698,915 Jan. 16 to Feb. j 15,1921 17,715 5,923,214 29,068 3,529,757 2,205 444,749 138,995 19,899,313 3,585 |l,157,163 794 220,487 43,374 11,276,963 Feb. 16 to Mar. 15, 1920 6,972 7,509,756 25,025 5,135,263 1,566 511,566 1 33,569 "13,158,411 3,462 1,609,575 275,337 37,779 15,043,323 1 Includes items drawn on banks in other Federal Reserve districts forwarded direct to drawee bank. NOTE.—Number of business days in period was 23 in all Federal Reserve bank and branch cities, except Dallas, where the number was 22 days. NUMBER OF MEMBER AND NONMEMBER BANKS IN EACH FEDERAL RESERVE DISTRICT, MAR. 15, 1921 AND 1920. Member banks. Nonmember banks. Federal Reserve district. On par list. Not on par list.1 1921 1920 1921 1920 1921 1920 Boston 436 432 256 248 New York 790 767 325 322 Philadelphia 702 682 444 419 Cleveland . 874 855 1,083 1,077 Richmond 611 594 1,046 563 558 939 Atlanta 484 433 403 453 1 161 1 122 Chicago 1,426 1,381 4,262 4,194 St.Louis 575 547 2,510 2,574 174 110 Minneapolis 1,008 930 2,816 2,925 Kansas City. 1,092 1,050 3,392 3,363 Dallas 854 761 1,257 1,243 San Francisco... 844 764 1,010 927 103 Total 9,696 9,196 18,804 18,308 1,893 2,274 1 Incorporated banks other than mutual savings banks. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

492 FEDERAL RESERVE BULLETIN. APRIL, 1921. GOLD AND SILVER IMPORTS AND EXPORTS. GOLD IMPORTS INTO AND EXPORTS PROM THE UNITED STATES, DISTRIBUTED BY COUNTRIES. Imports. Exports. During During During During From From During During During During From From Country. 10 days 8 days month 10 days Jan. 1 Jan. 1 10 days 8 days month 10 days Jan. 1 Jan. 1 ending ending of Feb- ending to to ending ending of Feb- ending to to Feb. 20, Feb. 28, ruary, Mar. 10, Mar. 10, Mar. 10, Feb. 20, Feb. 28, ruary, Mar. 10,Mar. 10, Mar. 10, 1921. 1921. 1921. 1921. 1921. 1920. 1921. 1921. 1921. 1921. 1921. 1920. Austria $4,000 Belgium $38,391 38,391 Denmark $35,704! $245 35, 949 $53,437 89,922 France 5,560,704! 6,399,92913, 583,374 6,159 18, 285,024 $19,804 Germany 61 Greece 250,666 345,622 9,536 797,712 Italy 6,265 11,265 40,000 $169,316 Netherlands 88 112,665 224,090 191,932 810,309 1,161,238 Portugal 7 691 7. fiQI 7,691 Russia in Europe 85,0001 85.000 85,000 Spain 23,160 235,678 9,343 284,301 Sweden 3 850,000 3,850,000 Turkey in Europe 1,000 i.666 221,000 United Kingdom—England 3, 251,868 1 964 0381 0 393 093Q Q74 077 37,061,847 1,587,421 11,157 Total Europe 9,122, 524 8, 569, 568 23. 886.08314,094,484 61, 546,523 2, 808,463 180,473 Canada 230,486; 161,853 538 459 Q ^a RQO 10 265 274 R 147 0Q7 $139 387 £874 «907 830 *8fi fi14$474,621 1.340.848 Costa Rica 21 385 28, 524 160, 779 79,182 Guatemala 35, 000 25,000 124,106 124,106 Honduras 18 244 59 244 11, 584 97, 278 39,802 12,000 Nicaragua 4 118 29 922 44, 802 34,182 155, 578 228,151 Panama 13,228 15,910 58,144 325,443 465,447 30,160 Salvador 13,415 44 240 51,768 223, 368 59,881 Mexico 104,600 135,845 495,016 193,034 1,193, 882 753,106 346 600 K7 Qi si fiOfi ZQK84,7302,882,528 8,398,096 Cuba 552 6,674 1,925 100,000 50,000 200,000 British West Indies 22,630 i 950 97 980 71,800 102,988 170 Virgin Islands of United States 10,000 Dominican Republic... 16,000 Dutch West Indies 272,428 237,3731 782.139 14,010 1,279, 949 Total North America 695, 905 626,097 2,201, 36710,269,037 14,075,32319,339,474| 478,987 58,789 914,425 221,3443,557,149 9,776,944 Argentina 725 49 077 ^c ^R1 OK Ann 1 KO W1 12,823 52,650,000 Bolivia 535! 1 095 5,508 Brazil 6,889 i,473 8,362 8,552 24,300 130,000 Chile 6,536 9,650 2,789 26, 760 79,293 400,000 1,136, 342 319,849 1,701,560 808,241 3,485,126 11,710 700,000 Ecuador 62, 835 78 505 143,262 30,000 British Guiana 7 408 7,408 22,060 Dutch Guiana li' 587 21,104 Peru 47,410 2,555 55* 444 32, 801 207,169 ihl, 383 Uruguay 469,332 469,332 949 Qfi8 710 Qf»n 6,500,000 Venezuela 17,462 64 446 1OO 888 15,152] 228, 275 184,000 Total South America 1,271,663 Q12 9A8 2, 504,197 1,187,486 4, 993, 572 312,777 24,300 60,594,000 .... ... China 3,179,199 9 178 QOQ5,695, 989 1,056,442 8,063,992 14,416,700 British India 1,163,037 3,630,102 5,007,800 1,139,700 7,161,525 2,435,453 Straits Settlements 4,995,000 Dutch East Indies 75,449 1,666,974 60,000 4, 542,149 Hongkong . 1,803, 545 1, 803, 545 2, 845, 545 96,900 17,080 121,580 29,240 370,120 15,360,182 Japan 155,019 155,019 2,208,234 6,706,301 Turkey in Asia 8,053 8,053 Total Asia 6,300, 800 5, 809, 01112,662,353 2, 204,195 20,362, 798 1,666,974 96,900 17,080 121,580 29,240 430,120 48,455,785 Australia 1, 223, 712 1,223, 712 2 683 662 New Zealand 305,446 305,446 305,446 150,614 Tahiti 300 300 Philippine Islands 13, 538 28, 089 95, 755 35,409 221,152 185, 236 Portuguese Africa 115,015 37, 727 Total, all countries 18,628,14216,251,47942,878,91327,799,6111104,303,49124, 501,265 575,887 75,8691,036,005 250,88424,011,869119,007,202 Excess of imports or exports 18,052,25516,175,61041,842,90827,539,727 100,291,622 94,505,937 1 Includes: Ore and base bullion, $12,692,000; United States mint or assay office bars, $428,000; other refined bullion, $73,938,000; United States coin, $3,881,000; foreign coin, $13,365,000. a Includes: Domestic exports—Ore and base bullion, $12,000; United States mint or assay office bars, $164,000; other refined bullion, $30,000; com, $3,564,000. Foreign exports—Coin, $242,000. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 493 SILVER IMPORTS INTO AND EXPORTS FROM THE UNITED STATES, DISTRIBUTED BY COUNTRIES. Imports. Exports. Country. During During During During From From During During During1 During From From 10 days 8 days month 10 days Jan. 1 Jan. 1 10 days 8 days month 10 days Jan. 1 Jan. 1 ending ending of Feb- ending to to ending ending of Feb- ending to to Feb. 20, Feb. 28, ruary, Mar. 10, Mar. 10, Mar. 10, Feb. 20, Feb. 28, ruary, Mar. 10, Mar. 10, Mar. 10, 1921. 1921. 1921. 1921. 1921. 1920. 1921. 1921. 1921. 1921. 1921. 1920. Franco $15 263 $620 $20 795 $3 641 $66 069 149 Germany 15,911 is;911 268 23,416 Greece.. 15,965 203,6?0 Netherlands 805 805 805 °34 Portugal .. 3 907 Q907 3,907 Spain 2,892 14^282 141 975 United Kingdom—England 1,393 18,893 24,390 3,655 $843,643 $32,330$1,606,470$144,799$3,121,414 $182,841 Total Europe 31,979 8,812 74,593 20,015 337,175 16,031 843,643 32,3301,606,470 144,799 3,121,414 182,841 British Honduras ?4 360 Canada. 87 845 339 31.8 611,108 69,717 923,179 1076.895 75,954 25,343 234,091 80 900 574,98? 3,060,291 Costa Rica 1 571 1 613 5 793 Q Guatemala 15 15 10080 500 Honduras 131,101 133,096 16 237,18? 545,500 800 800 154,900 Nicaragua 25 5,754 23,335 18 50,372 189,821 Panama.. 542 1,140 1739 4 4,080 9185? 225,000 225,000 226,000 401,000 Salvador 384 1,79? 3,000 5,159 185.003 50,000 50,000 Mexico 967,491 883,112 3,237,383 904,719 7,532 75614,892,403 105,971 13,650 184,933 18,494 653,225 1,146,849 Cuba... 4,500 4,500 50? 5,892 6,575 289, 33,000 Virgin Islands of United States .. 10,000 Dominican Republic 113,000 British West Indies 199 1?9 208 87250 2 435 Dutch West Indies 290 990 290 Haiti 4,666 Total North America 1,056,577 1,360,425 4,015,041 979*, 087 8,76337819993 113 406,925 44,885 651,399 149,394 1,881 278 4,925,975 Argentina 1.375 2,474 4 518 5 374| 6 907 450 450 891 Bolivia 10 600 713 16 15 580 66 7261 58? 446 Brazil 317 104 421 39,850 40 271 Chile 105 271 463344 11 676 6113751 820 4QQ Colombia. 3 191 2 367 6 991 25 071 51 225 85 687 2,666 97,000 239 500 Ecuador.. 6 077 6 077 12 196 Dutch Guiana 98 42 Peru 142,926 39,606 268025 115,651 913 430 2 537070 I Venezuela 119 24 148 31 311 Total South America 164,605 150,559 766,375 207,859 1,700,950 3982 609 2,000 97,000 450 239 950 891 China 1,373 1481 1,014 2.596 11974 125,795 1,133,191 2,029 454 31,854,810 British India 139,101 155,985 295,086 962 899 Dutch East Indies 83 461 1047 4S? French East Indies 1 347,794 Hongkong 192 199 19? 1650 700,269 114,825 3,113 156 7,258,901 Japan 551,267 853,465 1,088 945 Total Asia . 1,565 1673 1,014 86,249 1061 106 816,163 155,9852,982,011 114,825 7,194 454 40,461,505 Australia 1 860 1S60 1860 1 New Zealand 86 86 983 Philippine Islands 1,304 577 2,579 489 4 371 4,522 British South Africa 480 1 British West Africa .. 3,080 Portuguese Africa 16,997 4,785 I Total, all countries 1,257,890 1,520,373 4,862,121 1,208,550 i 10,905,546 25 06? 4492,068,731 233,2005,336,880 409,468212,437,096 45,574,292 Excess of imports or exports . 1,287,173 799,082 810,841 474,759 1,531,550 20,511,843 1 Includes: Ore and base bullion, $9,264,000; other refined bullion, $1,096,000; United States coin, $213,000; foreign coin, $332,000. 2 Includes: Domestic exports—Ore and base bullion, $1,000; United States Mint or assay office bars, $152,000; other refined bullion, $7,219,000; coin, $661,000. Foreign exports—Ore and base bullion, $2,000; bullion refined, $3,149,000; coin, $1,253,000. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

494 FEDERAL RESERVE BULLETIN. APRIL, 1921. FOREIGN EXCHANGE RATES. ENDING MARCH, 1921. January. February. March* Ex- Dollars for— change at par. Low. High. Low. High. Low. High. London: Demand bills £1 $4.8665 $3.5375 $3.8850 S3.8275 $3.91375 $3,860 $3.9325 Cable transfers _ .do 4.8665 3.5450 3.8925 3.8350 3.92125 3.8675 3.940 Paris: Demand bills.. 100 francs 19.30 5.8250 7.400 6.960 7.480 6.90 7.19 Cable transfers do . 19.30 5.835 7.410 6.970 7.490 6.91 7.20 Madrid . 100 pesetas. 19.30 13.110 13.970 13. 820 14.200 13.81 14.04 Milan: Demand bills 100 lire.. 19 30 3.40 3 78 3.615 3.720 3.65 4.135 Cable transfers do 19.30 3.41 3.79 3.625 3.730 3.655 4.140 Zurich 100 francs 19.30 15.22 16.00 16.00 16.62 16.57 17.43 Brussels.. ... .do 19.30 6.13 7.71 7.31 7.79 7.22 7.52 Amsterdam . . 100 florins 40 20 31 28 34 05 33.80 34.52 34.08 34.58 Copenhagen 100 kroner.. 26.80 15.60 20.10 17.85 19.30 16.15 18.10 Christiania do 26.80 15.60 19.30 17.10 18.50 15.75 16.75 Stockholm .. 100 kronor. 26 80 20.05 22.00 21.85 22.57 22.25 23.52 Berlin 100 marks 23.82 1.325 1.810 1.57 1.73 1.525 1.625 Vienna . 100 kronen1. 20.26 .200 .340 .215 .290 .205 .315 Jugoslavia. . . . .. .do 20.26 .680 .740 .685 .740 .585 .740 Belgrade 100 dinarsx 19.30 2.680 3.050 2.750 3.00 2.75 2.90 A So t f h ia ens... . l 1 O 00 O d le ra v c a1 hmae 1 1 9 9 . . 3 3 0 0 7 1. . 0 2 7 0 7 1. . 5 6 0 5 6 1. . 2 9 5 50 7 1. . 4 9 0 30 7 1. . 2 4 5 5 7 1. . 3 7 5 8 Bucharest . . .. 100 lei1.... 19 30 1.22 1.55 1.33 1.45 1.34 1.41 Prague 100 kronenl 20 26 1 10 1 50 1.23 1.35 1.2475 1.365 "Warsaw... 100 marks1. 23.82 .125 .165 .125 .135 .120 .1425 Helsingfors 100 markkaax 19 30 2 900 3 750 2 950 3 60 2.60 3.00 Calcutta 100 rupees. 48.665 26.00 29.00 25.00 28.50 25.00 26.50 Singapore 100 Singapore dollars.. 56.78 40.50 45.00 44.75 45.00 44.75 45.50 Hongkong 100 Hongkong dollars . 52.00 58 50 48.50 51.00 45.25 49.00 Shanghai 100 Shanghai taels 70.00 80.00 65.00 71.00 62.00 66.00 Yokohama.... 100 yen . 49 85 48.25 48 75 46.00 48.75 48.25 48.50 Canada 100 Canadian dollars 2 100.00 85.25 90.75 86.625 89.50 87.25 88.75 Mexico City 100 pesos1... 49 85 49.25 54 00 50.00 50.50 49.75 51.00 Bogota 100 Colombian dollarsl 97 33 78 43 86 20 79 36 84 03 80.64 84 03 Rio de Janeiro.. 100 paper milreis. 3 54.62 14.375 15.75 14.75 16.25 13.875 15. 875 Montevideo 100 pesosx 103 42 74 07 76 92 76 33 79 20 71 42 78 95 Buenos Aires 100 gold pesos... 96.48 76.42 80.97 78.69 80.97 76.70 79.55 Valparaiso 100 paper pesos 4 36.50 13.50 14.625 13.50 15.00 13.625 15.125 London average price of silver per ("Converted at par (£=$4.8665) $0.87652 $0. 76085 .71197 fine ounce. \Converted at average rate of exchange... 5.67255 )0947 7.57126 New York average price of silver per fine ounce: Official . 66388 39813 .56736 Actual .. . 65950 39233 .56120 1 Cable rates. 4 Rate for a gold peso. 7 Average rate of exchange for March, $3.90278. 2 Checks (demand). 5 Average rate of exchange for January, $3.73690. 8 Rate for a gold milreis. « Average rate of exchange for February, $3.86727. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

DISCOUNT AND INTEREST RATES. 2 In the following table are presented actual discount and interest rates pre- Comparison with rates prevailing for the period ending February 15, 1921, r vailing during the 30-day period ending March 15, 1921, in the various cities shows a slight tendency to decrease in the rates for prime commercial paper in which the several Federal Reserve Banks and their branches are located. purchased in the open market and for bankers' acceptances, both indorsed A complete description of the several types of paper for which quotations are and unindorsed. Such other increases and decreases as have occurred are given will be found in the September, 1918, and October, 1918, FEDERAL scattered, pertaining to no particular center or type of paper. Present rates RESERVE BULLETINS. Quotations for new types of paper will be added from continue higher in almost all centers than rates during the same period of 1920. time to time as deemed of interest. DISCOUNT AND INTEREST RATES PREVAILING IN VARIOUS CENTERS DURING 30-DAY PERIOD ENDING MAR. 15, 1921. Prime commercial paper. District. City. Customers. JO to 90 days. i H. L C. No 1.... Boston 71 6 7 No. 2.... New York i... 8 6 7 Buffalo . 7 6 7 No. 3.... Philadelphia... 6 6 6 No. * Cleveland... . 7 ft 7 Pittsburgh..... 6 6 6 No 5 . Richmond ft ft 6 Baltimore ft ft 6 No 6 Atlanta 8 ft 8 Birmingham 8 ft 7 Jacksonville.. 8 ft 8 New Orleans.. 8 7 Nashville 8 6 7* No. 7 Chicago 7 7 Detroit... 7 7 No 8.... St. Louis 74 61 7 Louisville . / 6" 6 Memphis2 Little Rock... 8 7 8 No. 9.... Minneapolis... ?* No 10... Kansas City... Omaha f ? 8 Denver 7 Oklahoma City 8 ft 8 No. 11... Dallas 8 7 71 El Paso . 10 7 8 Houston 8 ft 7 No. 12... San Francisco. 7 6 Seattle.... . 8 6 7 Spokane.. 8 7 71 Salt Lake City. 8 7 Los Angeles 10 51 "OOM 4 to 6 months. H. L C. 71 6 7 8 6 7 7 6 7 6 6 6 6 6 6 ft ft 01 ft ft ft 8 ft 8 8 ft 7 8 7 8 8 7 74-8 8 6 7~ 7 7 7 61 7 7 7" 6 6 8 7 8 8 P 8 ? 8 iy 8 7 10 8 71 fi4 7* 8* 8 8 7 8 7 8 51 OOM 7* 74 8" 7 7 7 OOM Bankers' acceptances, Collateral loans—stock exchange 60 to 90 days. or other current. Open market. Interbank loans. 30 to 90 4 to 6 Unin- days. months. Indorsed. dorsed. Demand. 3 months. a . C. H. L. C. H. L. C. H. L. C. H. L. C. H. L i ?*?t 8 71 71 6 7 61 51 51 7 7 7 8 71 71 71 6 7 7 51 6-61 651 8 4 7 8 8 ft 6-7 7 fi 7 n 71 71 71 71 71 6 6 6 61 6 6* 6 51 6 6 7 ft ft 9 7 8 Z*8 3 71 71 6 6 6 6| 5f 55 6* 6 6 6 6 6 f* 64/-7 ft ft ft 5f-6 ft4 6 ? 6 ft ft ft 6 6 6 ft ft 6 ft 8 7 7 8 7 8 8 7 8 8 ft 8 8 8 7 8 s ft 7 8 8 Q 6 76 6 6 Q 7 § 8 ft 7 8 7 71 8 7 71 8 ft 8 8 8 8 8 8 8 8 8 7-8 '8 8 8 8 7* 8 8 61 71-8 8 8 6* 6 8 8 71 71 8 71 71 7 8 V 7 V 6i ? 61 ? 7 7 61 7 7 8 7 51 8 7 71 8 7 71 8 7 71 7 6" 6 6 51 51 7 6 6 7' 71 7 7 8 7 8 8 7 8 8 7 8 8 83 71 7 7 f 1 8 7! 7 8 3 " 8 8 f 7 t 71 61 61 6| 6f 6f 61 8 8 71 8 8 8 8 8 8 8 9 7 8 8 7 71 9 8 7* 7f-88 7* 71-8 8 ft 7 8 8 8 ft' 8 ft 8 10 ft 10 10 8 8 8 8 8 s 61 8 7 71 8 8 8 8 s 8 8 8 7 8 10 8 8* 10 7 ft 7 7 7 7 8 ft 7 8 8 7 71 8 71 71 7 61 61 6 6 7 6 6 7 6 7 8 71 8 8 71 81 8 61 7 ?*$* 61 7 51 7 8 6 8 8 7 7 8 7 7 71 71 71 7 7 8 8 8 81 7* 81 7* 71 10 5 7 71 51 6 8 51 6 8 6 7 oooo Ordinary loans 1to customers C lo a a t n tl s e . S w r e a e c r c u e e r h i e p o d t u s b s , y e s b e o L c n u ib d r e s e r d a t n b d y etc. certiflcates 3 to 6 ofindel3t- ]months. ednes 3. 'i. a ff. L a H. L. H. L. C. H. L. C. 8 71 7 ? 6 7 6 7 6 7 fi 7 6 6 6 6 6 6 5" 6 ft 7 8 7 7 7 7 7 7 6 6 6 6 6 6 6 6 6 6 6 fl a ft 6 ft 6 6 ft £ ft ft ft ft ft 6 ft 6 6 ft ft ft ft 8 8 6 8 8 7 8 8 ft 8 Q 7 8 6 7 8 ft 7-8 8 ft 7 ft 7 8 7 8 8 7 7 8 7 7 7 8 7 8 7 8 8 fil 7-8 6 7 8 6 7" 8 6 7 7 6* 6 7 7 61 7 7 61 7 7 8 61 7 7 ? 7 6 6 7 6* 6 7 6 6 6 6 6 7 8 8 7 8 8 7 8 71 71 8 ?* 8 X*?* ? 7 7 ft 8 8 7 7 8 ft ft-7 7 8 9 7 8 ? 7 8 8 ? 8 61 7 8 64 7 64 7 8 7 8" 0 10 8" 8 10 7" 8 10 ft 8 ft 74 8 7 8 8 7 74 8 7 74 8 ft 8 8" 10 8 8 10 8 q 10 ft 8 6 7 8 ft 7 8 7 74 8 7 7 8 ft 7 6 7 7 6 7 7 6 7 6 7 8 7 8 8 7 8 8 8 9 8 8 8 8 7 8 6 7 8 6 7 8 6 7 1 Rates for demand paper secured by prime bankers' acceptances, high 7, low 6, customary 6. 1 No report. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

496 FEDERAL RESERVE BULLETIN. APRIL, 1921. MONEY HELD OUTSIDE THE UNITED STATES TREASURY AND THE FEDERAL RESERVE SYSTEM, MAR. 1, 1921. U H n e it l e d d i n S t t a h t e es Held by or for U H n e i l t d e d o u S t t s a i t d e e s c A ap m it o a u o n u t t p si e d r e General stock. G a T o s r s v e e e a t r s s n u o m r f y e t n a h t s e .1 Fed B e a a r n g a k l e s n R t a e s n . se d rve F T ed re e S a r y a s s l u t r I e y t m e a s . e n r d ve F U T ed r n e e S i a r t y e a s s d u l t r R e y S m e t a a s . n e te r d v s e Gold coin (including bullion in Treasury) $2,916,884,770 $433,524,684 » $1,589,319,647 $387,728,469 Gold certificates 289,671, 546 216,640,424 Standard silver dollars 269,'802," 326* ""26,*588,*649' 829,511,074 50,713,237 Silver certificates #. 98,454,060 68,932,753 Subsidiary silver 271,204,125 8,175,739 263,028,386 Treasury notes of 189'J 1' 602, 553 United States notes 346,681,016 3,235,019 «87,424,468 256,021, 529 Federal Reserve notes 3,345,123, 895 5,240,817 267,147,650 3,072,735,428 Federal Reserve Bank notes 207,446,400 5,088,625 20,230.133 182,127,642 National-bank notes 727,793,864 18,122, 587 3,343', 000 706,328,277 Total: March 1,1921 8,084,936,396 493,976,120 2,385,101,578 5,205,858,698 $48.41 Feb. 1,1921 8,171,237, 897 499,358,809 2, 438,773,422 5,233,105,666 48.73 Jan. 1,1921 8,372,970,904 494,298,257 2,377,972,494 5,500,702,153 51.29 July 1,1920 7,887,181,586 485,057,472 2,021,271,614 5,380,852,500 50.19 Jan. 1,1020 7,961,320,139 604, 888,833 2,044,422,303 5,312,009,003 49.81 July 1,1919 7,588,473,771 578,848,043 2,167,280,313 4, 842,345,415 45.00 Jan. 1,1919 7,780,793,606 454,948,160 2.220;705,767 5,105,139,679 47.83 July 1,1918 6,742,225, 784 356,124,750 2,018,361, 825 4,367,739,209 41.31 Jan. J, 1918 6,256,198,271 277,043,358 1,723,570,291 4,255,584,622 40.53 July 1,1917 5,480,009, 884 253,671,614 1,2S0,880, 714 3,945,457, 556 37.88 1 Includes reserve funds held against issues of United States notes and Treasury notes of 1S90 and redemption funds held against issues of national-bank notes, Federal Reserve notes, and Federal Reserve Bank notes, but excludes gold and silver coin and bullion held in trust for the redemption of outstanding gold and silver certificates and Treasury notes of 1890. 2 Exclusive of amounts held with United States Treasurer in gold redemption fund against Federal Reserve notes, and of gold held with foreign agencies but inclusive of balances in gold settlement fund standing to the credit of the Federal Reserve Banks and agents. 3 Includes subsidiary silver. 4 Includes Treasury notes of l?P0 DISCOUNT RATES OF THE FEDERAL RESERVE BANKS. DISCOUNT RATES APPROVED BY THE FEDERAL RESERVE BOARD UP TO APR. 1, 1921. Paper maturing within 90 days. Bankers' Agricultural Secured by- acceptances and live-stock Federal Reserve Bank. maturing paper maturing Treasury Liberty bonds acc T ep ra ta d n e ces. p C a o p m er m n e . r c e i . a s l . 3 w m i o th n i t n hs. a b f u t m e t r o w 9 n i 0 t t h h d i s a n . y 6 s, certificates of and Victory indebtedness. notes. Boston 5J 7 New York 6 7 6 Philadelphia. 6 6 6 Cleveland 6 6 6 "Richmond 6 6 6 Atlanta 6 i 7 6 Chicago 6 6 7 6 St. Louis 6 5J 6 51 Minneapolis.. 5J 6 6J 6 Kansas City.. 6 6 51 Dallas.....'... San Francisco 7 6 6 i Discount rate corresponds to interest rate borne by certificates pledged as collateral, with minimum of 5 per cent in the case of Kansas City and 5| per cent in the case of Philadelphia. NOTE.—Rates shown for St. Louis and Kansas City are normal rates, applying to discounts not in excess of a basic line fixed for each member bank by the Federal Reserve Bank. Rates on discounts in excess of the basic line are subject to a £ per cent progressive increase for each 25 per cent by which the amount of accommodation extended exceeds the basic line, except that the maximum rate charged by the Kansas City bank does not exceed 12 per cent. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APKIL, 1921. FEDERAL RESERVE BULLETIN. 497 CONDITION OF MEMBER BANKS. ABSTRACT OF CONDITION REPORTS OF STATE BANK AND TRUST COPvf PANY MEMBERS IN EACH FEDERAL RESERVE DIS- TRICT ON DEC. 29, 1920. [In thousands of dollars.] District District District District Dist;]rictDistrict District District District DistrictDistrictDistrict Total No. 1 No. 2 No. 3 No. 4 No. 5 No. 6 No. 7 No. 8 No. No. 10 No. 112 No. 12 United ba ( n 39 ks). ba ( n 1 k 3 s 4 ). ba ( n 4 k 6 s ), b ( a 1 n 1 ks 1 ).ban (5 k 6 s). ba ( n 8 k 4 s). ba ( n 35 k 8 s). ba ( n 9 k 1 s). ba ( n 1 k 1 s 6 ). ba ( n 6 k 3 s). ba ( n 18 k 5 s) ba (1 n 9 k 8 s) b S ( a 1 t n , a 4 k t 8 e s 1 s ). RESOURCES. Loans and discounts 0,900 2,081,859 187,203 507,261 108,420 213,457 1,086,151 240,429 So,271 78,762 95,577 503,753 5,640,043 Overdrafts 261 233 251 823 721 449 219 269 525 1,105 5,708 Customers' liability on ac- 767 85 count of letters of credit 12 189 55 Customers' liability on ac- 345 2 count of acceptances 16,177 5,635 1,709 8,035 25,225 5,739 46 147 2,407 212,494 Liberty bonds (exclusive of 146,128 1,246 Liberty bonds borrowed)— 17,902 28,934 5,383 12,890 59,389 12,179 3,421 7,391 5,460 40,243 381,453 Other United States bonds 171,573 16,688 (exclusive of United States bonds borrowed) 55 277 1 98 81 634 25 141 61 38 5,315 6,731 United States Victory notes... 5,342 38,397 5,659 7,744 1,705 2,460 27,637 2,614 468 1,856 672 11,220 105,774 United States certificates of indebtedness 11,071 70,910 8,156 642 824 21,494 1,482 417 805 1,375 9,087 135,232 War savings and thrift stamps and Treasury savings certificates actually owned 27 21 56 13 61 341 11 6 51 765 Stock of Federal Reserve Bank 2,140 10,874 2,182 3,323 726 1,248 5,341 1,473 400 368 630 2,182 30,8 Other bonds, stocks, etc. (exclusive of securities borrowed) 98,308 495,275 99,329 180,246 12,102 26,900 242,538 43,862 10,174 13,323 1,376 116,814 1,340,247 Banking house 10,294 59,162 8,391 18,775 3,662 9,348 22,895 7,740 1,802 855 2,961 15,185 161,070 Furniture and fixtures 1,160 1,600 666 1,615 347 992 3,574 1,124 623 486 1,126 3,569 16,882 Other real estate owned 942 6,477 1,991 6,232 607 2,026^ 2,080 1,265 645 162 1,239 3,291 26,957 Lawful reserve with Federal Reserve Bank 42,716 292, 529 17,376 37,305 5,535 16,801 89,789 22,210 3,905 6,443 6,394 37,685 578,688 Gold coin and certificates 1,373 6,099 392 184 133 477 2,390 609 215 139 114 1,733 13,858 All other cash in vault 17,393 58,454 15,654 3,826 7,035 34,290 5,407 2,682 2,551 3,537 13,565 170,682 Items with Federal Reserve Bank in process of collection 11,682 49,113 5,235 6,822 2,739 8,055 14,444 10,102 513 5,511 1,731 6,266 122,213 Due from banks, bankers, and trust companies 21,844 86,011 13,141 37,134 9,559 30,237 79,222 21,684 ), 543 13,929 11,632 47,177 381,113 Exchanges for clearing house, also checks on other banks in same place 10,773 217,957 2,843 7,077 1,026 7,116 27,130 4,698 486 2,007 971 7,249 289,333 Outside checks and other cash items 1,410 11,454 519 2,791 248 873 9,455 1,004 401 694 645 4,874 34,368 Approximate interest earned but not collected 674 16,414 1,099 751 128 024 2,253 937 300 165 163 2,711 26,219 Other assets 1,619 107,888 2,975 3,595 171 2,117 17,748 1,301 102 291 1,313 6,354 145,474 Total.. 724,063 3,929,629 382,301 879,621 158,937 352,480 1,774,753 386,546 122,785 136,221 137,530 841,928 9,826,794 LIABILITIES. Capital stock paid in 35,255 175,368 24,835 41,884 14,758 25,050 98,331 27,675 9,957 8,695 15,186 50,526 527,520 Surplus fund 38,282 187,442 48,216 69,596 9,523 16,339 81,401 21,571 3,402 3,308 5,924 22,499 507,503 Undivided profits less expenses and taxes paid 17,427 68,550 10,471 21,213 3,910 5,087 29,775 6,953 2,133 1,229 2,391 14,306 183,445 Approximate interest and discount collected but not earned 1,730 11,971 267 958 372 1,019 2,780 1,224 155 246 179 1,505 22,406 Amount reserved for taxes accrued 1,230 14,331 721 1,587 121 651 5,207 277 116 134 166 577 25,118 Amount reserved for interest accrued 1,512 11,320 733 1,087 409 587 3,119 708 108 199 105 1,847 21,734 Due to Federal Reserve Bank . 542 617 302 588 489 129 116 12 2 990 266 4,053 Due to banks, bankers, and trust companies. 17,691 289,540 9,124 18,148 9,914 31,428 73,789 26,790 18,313 7,505 25,436 534,767 Certified and cashiers' or treasurers' checks outstanding 6,916 160,679 1,098 7,705 1,536 2,649 14,221 2,715 1,521 2,888 1,560 7,240 210,722 Demand deposits 419,815 2,243,834 203,667 300,945 61,489 134,839 597,664 152,158 36,374 62,395 75,351 231,071 1,519,608 Time deposits 145,147 402,211 48,668 376,247 41,796 90,853 778,801 110,313 52,297 28,954 19,638 *61,893 2,556,818 United States deposits 7,758 11,581 13,686 818 10,534 1,959 7 1,048 106,166 Bills payable with Federal 56,136 1,646 91 902 Bi R ll e s s p e a rv y e a b B le a n o k ther than with 13,776 108,200 19,978 16,176 6,281 22,374 43,960 10,894 3,321 6,244 4,447 11,594 267,245 Ca F s e h d e l r e a t l t e R rs e se o rv f e c B r a e n di k t and 450 2,649 483 1,894 5,790 10,829 5,342 11,906 6,086 2,418 3,710 5,108 56,665 travelers' checks outstand- Ac in c g eptances 16,4 1 5 4 5 1 1 5 2 1 , , 0 40 4 5 0 1,246 5,6 9 2 3 8 1,709 8,28 1 0 2 25,24 8 6 2 4 13 3 2 2,43 7 0 7 21 1 8 2 , , 2 3 9 3 2 9 Other liabilities 63 33,336 910 2,186 22 708 4,385 161 4,505 52,393 Total.. 724,083 3,929,629 382,301 879,621 158,937 352,480 ,774,753 38A6 ,656464 :2,785 136,221 137,530 3,826,794 Liability for rediscounts with Federal Reserve Bank 50,299 163,076 13,495 14,334 11,728 40,946 71,131 28,219 3,473 7,533 10,442 18,838 433,514 Liability for rediscounts with other banks 246 717 162 385 1,396 9,101 7,165 3,534 942 2,214 856 2,945 29,663 1 One bank not reporting. 2 Two banks not reporting. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

498 FEDERAL RESERVE BULLETIN. APRIL, 1921. ON DEC. 29, 1920, BY CLASSES OF BANKS. [In thousands of dollars.] Central reserve city banks. Total United States. Other Country reserve banks' ( N 32 e w b a Y n o k r s k ). (1 C 4 h b i a ca n g k o s).(1 S 0 t . b a L n o k u s i ) s ; ; (56 T b o a t n a k l s). ( c 1 i 9 t 2 y b b a a n n k k s s ). ba (1 n , k 2 s 3 ) 3 .2 19 D b 2 e a 0 n c ( . k 1 s , 2 ) 4 9 . 8 , 1 1 N 9 b 2 o a 0 v n . k ( s 1 1 ) , 5 . 4 , 49 EESOURCES. Loans and discounts 1,606,234 431,896 111,761 • 2,149,891 2,058,198 ! 1,431,954 5,640,043 5,713,301 Overdrafts 665 76 53 ! 794 2,521 i 2,393 5,708 5,695 Customers' liability on account of letters of credit 322 12 188 | 522 74 | 7 603 1,933 Customers' liability on account of acceptances.. 143,019 23,614 4,936 ; 171,569 36,226 j 4,699 212,494 234,758 Liberty bonds (exclusive of Liberty bonds borrowed) 130,719 8,002 3,743 ! 142,464 132,454 I 106,535 381,453 360,198 Other United States bonds (exclusive of U. S. bonds borrowed) 95 304 3 ! 402 5,748 I 581 6,731 7,598 United States Victory notes 25,186 4,837 405 j 30,428 40,812 I 34,534 105, 774 101,997 United States certificates of indebtedness 59,925 1,644 497 | 62,066 48,510 | 24,656 135,232 164,861 War savings and thrift stamps and Treasury savings certificates actually owned 54 234 ! 477 765 955 Stock of Federal Reserve Bank 8,420 I 2,356 794 j 11,570 11,882 I 7,435 30, 887 30,471 Other bonds, stocks, etc. (exclusive of securities borrowed) 79,768 26,922 ! 395,349 579,543 ! 365,355 1,340, 247 1, 283,226 Banking house 43,493 3,248 2,680 49,421 68,593 | 43,056 161,070 157,676 Furniture and fixtures 232 103 416 751 6, 727 ! 9,404 16, 882 18,051 Other real estate owned 3,761 89 138 3,988 15,430 | 7,539 26,957 26,520 Lawful reserve with Federal Reserve Bank 245,296 45,397 12,480 i 303,173 178,028 I 97,487 578,688 609,443 Gold coin and certificates 5,604 1,283 376 ! 7,263 3,489 3,106 13, 858 15,306 All other cash in vault 39,449 11,296 1,487 | 52,232 61,763 I 56,687 170,682 148,412 Items with Federal Reserve Bank in process of collection 33,130 9,607 5,682 i 48,419 57,589 ! 16,205 122,213 143,515 Due from banks, bankers, and trust companies.. 57,844 33,936 5,483 ! 97,263 176,294 ! 107, 556 381,113 401,221 Exchanges for clearing house, also checks on other banks in same place. 209, 776 18,380 2,682 ! 230,838 47,540 ; 10,955 289,333 398, 516 Outside checks and other cash items 9,603 4,821 295 14,719 14,350 I 5,299 34,368 44,426 Approximate interest earned but not collected.. 12,438 1,193 611 ! 14,242 7,206 4,771 26,219 24,343 Other assets 104,141 14,353 223 I 118,717 17,899 8,858 145,474 148,787 Total. 3,028,038 696,241 181,856 3,906,135 3,571,110 | 2,349,549 9,826,794 10,041,209 LIABILITIES. Capital stock paid in 125,100 37,850 11, 825 174,775 192,538 i 160,207 527,520 517,980 Surplus fund 154,726 41,827 14,705 211,258 204,510 91,735 507,503 502,961 Undivided profits, less expenses and taxes paid.. 53,037 12,189 3,433 | 68,659 65,652 i 49,134 183,445 175,918 Approximate interest and discount collected but not earned 9,962 2,097 640 j 12,699 6,443 f 3,264 22,406 21,898 Amount reserved for taxes accrued 13,299 4,202 137 I 17,638 5,815 | 1,665 25,118 23,617 Amount reserved for interest accrued 7,868 1,633 261 ! 9,762 6,922 i 5,050 21,734 23,453 Due to Federal Reserve Bank 940 i 3,113 4,053 4,316 Due to banks, bankers, and trust companies 258,459 I 46,564 8, 549 313,572 166,178 | 55,017 534,767 577,575 Certified and cashiers' or treasurers' checks outstanding 155,900 8,415 1,178 j 165,493 32,016 13,219 210,728 268,840 Demand deposits 1,775,039 301,727 78,220 I 2,154,986 1,395,768 I 968,848 4,519,602 4,685,330 Time deposits 152,339 205, 764 1,266,909j 880,940 2, 556, 818 2, 523,695 United States deposits , 52,161 4,473 1,708 58,342 39,505 i 8,319 106,166 74,381 Bills payable with Federal Reserve Bank 77,525 4,235 4,395 ! 86,155 115,501 | 65,589 267,245 280,506 Bills payable other than with Federal Reserve Bank 876 600 1,476 20,192 | 34,997 56,665 58,048 Cash letters of credit and travelers' checks outstanding 11,988 45 12 12,045 283 I 11 12,339 12,002 Acceptances 148,296 23,651 4,937 176,884 36,744 4,664 218,292 241,276 Other liabilities 31,463 1,569 390 33,422 15,194 3,777 52,393 49,413 Total., 3,028,038 696,241 181,856 3,906,135 3,571,110 | 2,349,549 9,826,794 10,041,209 Liability for rediscounts with Federal Reserve Bank 144,527 41,954 9,712 196,193 165,061 72,260 433,514 436,092 Liability for rediscounts with other banks 180 180 17,333 | 12,150 29,663 28,690 Ratio of reserve with Federal Reserve Bank to net deposit liability (per cent) 12.6 12.8 13.8 12.7 9.9 I 7.2 10.4 10.7 1 Eight banks transferred to " Other reserve city banks," 2 Three banks not reporting. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APRIL, 1921. FEDERAL RESERVE BULLETIN. 499 SYSTEM ON DEC. 29, 1920. [In thousands of dollars.] Dis- Dis- Dis- Dis- Dis- Dis- Dis- Dis- Dis- Dis- Dis- Dis- Total trict trict trict trict trict trict trict trict trict trict trict trict United No. 1 No. 2 No. 3 No. 4 No. 5 No. 6 No. 7 No. 8 No. 9 No. 10 No. 11 No. 12 States (39 (134 (46 (111 (56 (84 (358 (91 (116 (63 (185 (198 (1,481 banks). banks). banks). banks). banks). banks). banks). banks). banks)1 banks). banks)2 banks). banks). On demand: Not secured by collateral.. 33,108 73,104 7,498 27,672 2,409 7,076 32,429 10,795 4,566 4,090 3,464 17,737 223,948 Secured by Government war obligations 2,940 33,068 5,482 4,770 813 852 8,396 2,235 252 19 160 2,035 61,022 Secured by other collateral 68,508 611,611 92,265 97,794 14,082 36, 713 139,365 34,871 5,169 6,406 7,380 21,909 1,136,073 On time: Not secured by collateral.. 249,687 955,724 50, 841 166,319 58,528 119,162 513,635 104,585 34,399 34,699 32,637 175,385 2,495,601 Secured by Government 'war obligations 22,497 162,255 18,523 18,237 5,055 9,396 31, 316 7,038 965 4,318 1,322 10,003 290,925 Secured by other collateral 67,138 322,693 19,101 79,781 32, 743 74,990 207, 308 77,469 27,978 30,534 52,551 82,411 1, 074,697 Secured by real estate mortgages or other real estate liens or deeds 56,469 59,653 7,032 123,756 7,562 13,984 228,176 33, 250 17,294 8,372 9,032 204, 087 768,667 Acceptances of other banks discounted 2,721 106,492 693 3,012 25 549 17, 586 1,731 48 48 33 12, 358 145,296 Acceptances of this bank purchased or discounted 962 17, 744 35 767 327 1,032 551 1,237 15 50 111 22, 831 Loans and discounts not 551 168 95 296 1,149 2,259 I Total loans and discounts504, 0302,342, 344 201,470 522,108 121, 544 264, 3051,178,930 273, 306 90,686 88,536 106,875 527,185 6,221,319 1 One bank not reporting. 2 Two banks not reporting. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ABSTRACT OF CONDITION REPORTS OF ALL MEMBER BANKS IN EACH FEDERAL RESERVE DISTRICT ON DEC. 29, 1920 (INCLUDING 8,125 NATIONAL BANKS AND 1,481 STATE BANKS AND TRUST COMPANIES). O O [In thousands of dollars.] District District District District District District District District District District District District U T n o i t t a e l d No. 1 No. 2 No. 3 No. 4 No. 5 No. 6 No. 7 No. 8 No. 9 No. 10 No. 11 No. 12 States ba ( n 43 k 7 s). ba ( n 78 k 4 s). ba ( n 69 k 8 s). ba ( n 87 k 3 s). ba ( n 6 k 0 s 9 ) , j ! b ( a 4 n 6 ks 0 ). b ( a 1 n , k 4 s 1 ) 9 . ba ( n 57 k 1 s). ba ( n 9 k 9 s 9 ).1 b ( a 1 n ,0 k 8 s 6 ). ba ( n 8 k 4 s 0 ).3 ba ( n 83 k 0 s). banks). KESOUBCES. Loans and discounts8 1,298,605 5,206,599 1,057,287 1,640,150 835,202 648,749 2,666,233 733,734 712,949 888,323 633,494 1,410,435 17,731,760 Overdrafts 616 3,248 384 1,080 1,542 1,917 2,695 1,314 1,491 2,970 2,438 2,981 22,676 C D u o s it t e o d m e S r t s a ' te li s a b G il o i v ty e r o n n m a e c n c t o s u e n c t u r o it f i e a s c c o e w p n ta e n d c 4 e . s .. .. 1 6 6 7 3 , , 5 3 8 1 2 6 735,155 2 1 3 5 6 , , 9 2 2 1 7 1 2 1 9 8 9, , 1 2 3 5 9 8 1 1 6 3 4 , , 4 9 6 6 0 2 1 1 2 1 0 , , 7 34 3 3 5 3 6 5 3 8 , , 0 0 8 8 2 2 11 9 4 , , 3 9 8 1 7 5 8 9 4 , , 2 0 5 93 9 13 4 0 , , 5 4 6 8 9 6 11 3 2 , , 5 3 0 35 4 2 2 4 1 0 , , 2 3 4 9 6 1 2,7 5 5 6 9 6 , , 4 6 2 7 8 8 S O t t o h c e k r o b f o n F d e s d , e s r t a o l c R ks e , s e a r n v d e s B ec a u n r k ities 5 24 7 2 , , 7 8 1 3 9 5 1,01 2 7 6 , , 1 3 0 74 2 40 8 4 , , 4 9 8 0 4 6 4 1 7 0 1 , , 4 9 2 6 1 1 93 5, , 2 8 5 4 9 2 65 4 , , 2 01 06 4 43 1 7 3 , , 8 90 3 1 9 10 4 6 , , 3 7 6 8 3 8 7 3 3 , , 4 1 3 57 2 8 4 6 , , 4 4 4 2 1 3 2 4 1 , , 0 66 7 7 8 23 6 9 , , 9 8 0 3 6 0 3,26 9 1 9 , , 5 3 5 9 6 2 Banking house 36,024 110,957 35,920 62,883 30,945 24,302 65,472 20,793 19,713 23,269 22,003 45,601 497,882 Furniture and fixtures 3,465 6,635 4,367 5,757 3,774 4,280 9,306 3,500 4,383 5,485 6,092 10,641 67,685 Other real estate owned 3,430 10,627 5,501 13,086 3,368 4,578 6,633 3,800 4,781 2,865 6,159 9,073 73,901 Lawful reserve with Federal Reserve Bank 116,407 6S7,808 107,250 I 150, 899 59, 888 51,706 237,636 66,505 44,185 72,987 48,735 119,418 1,763,424 Cash in vault 53,971 168,046 53,610 I 75,212 37,864 27,221 104,403 22,891 23,292 33,215 25,965 52,235 677,925 Items with Federal Reserve Bank in process of collection 38,494 134,440 52,471 60,740 34,067 19,178 57,531 38,426 8,878 45,563 26,576 28,451 544,815 Due from banks, bankers, and trust companies.. 82,938 181,351 83,295 177,122 80,872 87,661 267,696 83,514 86,208 170,940 87,231 187,794 1,576,622 O Exchanges for clearing house; also checks on R O e u o d t t s h e i e m d r e p b t c i a h o n e n k c s k f u s in n a d s n a d a m n o e d t h p d e l u r a c e c e a f s ro h m it e U m n s ited States 3 5 5 , , 4 9 0 0 3 8 6 2 6 4 6 , , 3 17 6 6 5 4 4 1 , , 3 5 1 6 3 9 ! | i 3 6 2 , , 5 4 7 1 9 5 1 4 5 , , 3 0 1 6 7 2 1 3 4 , , 7 9 2 71 5 7 14 4 , , 8 5 3 1 5 7 1 2 4 , , 2 0 4 5 9 2 4 9 , ,5 7 5 7 9 0 1 4 9 , , 9 3 3 3 3 1 7 5 , , 1 4 3 9 4 2 3 1 3 0 , , 1 2 8 4 7 1 9 9 6 1 3 , , 2 8 2 8 2 1 Treasurer 2,416 6,133 2,904 j 5,582 3,287 2,106 4,180 2,054 1,638 2,423 2,437 3,190 38,350 Approximate interest earned but not collected.. 3,664 29,796 3,941 I 5,595 1,834 1,692 9,962 2,713 5,419 3,172 2,021 7,640 77,449 Other assets 17,844 273,452 11,725 6,201 1,521 2,717 27,256 1,718 1,617 1,175 1,560 22,766 369,552 Total 2,180,637 9,616,933 2,130,065 3,043,080 1,391,066 1,096,101 4,421,259 1,232,716 1,098,824 1,502,570 1,018,921 2,452,026 31,184,198 LIABILITIES. Capital stock paid in 138,061 416,379 112,156 171,981 102,006 79,348 272,493 92,841 75,384 96,102 86,943 155,367 1,799,061 Surplus fund 123,242 462,286 171,419 177,361 73,679 54,349 193,596 53,159 40,049 51,868 49,335 76,558 1,526,901 Undivided profits, less expenses and taxes paid. 62,208 206,538 50,038 74,755 28,831 20,462 83,310 26,053 24,236 27,385 24,19-1 50,923 678,933 Approximate interest and discount collected but not earned 9,111 35,175 5,600 6,788 4,907 3,561 11,882 4,272 2,729 4,124 3,425 3,889 95,472 Amount reserved for taxes accrued 3,118 37,383 3,003 3,527 1,188 1,218 13,205 1,039 2,775 1,360 1,452 2,366 71,634 Amount reserved for interest accrued 2,191 17,203 3,248 3,172 2,390 1,583 5,708 1,480 1,502 1,249 490 3,462 43,678 Due to Federal Reserve Bank 3,030 4,216 2,058 1,887 ! 5,605 507 969 133 31 30 2,720 767 21,953 Due to banks, bankers, and trust companies 125,116 1,154,478 164,223 253,938 109,425 86,566 447,974 139,372 88,684 211,947 84,427 196,154 3,062,304 Certified and cashiers' or treasurers' checks outstanding 17,954 404,645 11,896 20,545 8,382 5,895 32,018 6,719 12,742 21,071 14,425 37,067 593,389 Demand deposits 1,125,236 4,804,087 981,096 1,287,039 552,864 445,059 1,691,847 518,955 373,056 710,056 537,638 992,968 14,019,901 Time deposits 365,108 965,107 422,221 809,628 336,121 248,826 1,310,866 255,017 371,802 243,203 104,026 755,996 6,187,921 United States deposits 28,423 143,538 24,482 40,396 9,806 5,693 25,890 8,417 5,650 7,578 3,388 12,930 316,191 Bills payable with Federal Reserve Bank 46,086 426,230 91,255 48,227 52,340 59,711 123,963 37,658 27,301 36,270 32,417 45,034 1,026,492 Bills payable other than with Federal Reserve Bank 5,581 8,426 3,298 9,055 21,848 24,164 26,239 19,020 23,842 24,230 20,169 22,568 208,440 Cash letters of credit and travelers' checks outstanding 137 14,750 290 47 516 1,207 33 26 106 140 560 17,901 Acceptances 70,945 348,985 17,705 18,321 13,530 12,129 63,392 9,465 9,271 4,554 3,516 21,895 593,708 National-bank notes outstanding 47,177 84,648 55,081 91,S77 59.028 41,175 83,706 41,394 32,327 48,654 46,183 62,165 693,415 United States Government securities borrowed. 7,112 32,552 8,671 I 19,ill 8; 423 3,950 23,183 11,205 7,086 11,289 2,323 5,546 140,451 Other bonds and securities borrowed 183 198 233 575 13 498 737 246 72 836 471 315 4,377 Other liabilities 618 50,109 2,284 4,607 633 891 9,044 6,238 259 658 1,239 5,496 82,076 Total. 2,180,637 9,616,933 2,130,065 3,043,080 1,391,066 1,096,101 4,421,259 1,232,716 1,018,921 2,452,026 31,184,198 Liability for rediscounts, including those with Federal Reserve Bank6 139,943 537,010 77,211 77, 85,003 125,460 372,870 82,361 76,640 115,311 73,260 132,651 1,894,818 r 1 One bank not reporting. 4 Includes United States Government securities borrowed by national banks. * Two banks not reporting. 6 Includes other bonds and securities borrowed by national banks. * Includes customers1 liability on account of letters of credit. 6 Includes acceptances of other banks and foreign bills of exchange sold with indorsement or other guaranty by national banks. 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APRIL, 1921. FEDERAL RESERVE BULLETIN. 501 ABSTRACT OF CONDITION REPORTS OF ALL MEMBER BANKS OF THE FEDERAL RESERVE SYSTEM ON DEC. 29, 1920, BY CLASSES OF BANKS.—(INCLUDING 8,125 NATIONAL BANKS AND 1,481 STATE BANKS AND TRUST COMPANIES.) [In thousands of dollars.] Central reserve city banks. Total United States. Other Country reserve city Jbanks • i • ( 6 N 3 e b w a n Y ks o ) r . k (2 C 4 h b i a c n ag k o s). S b t a . n ( L 1 k 5 o s u ). i 1 s b T a ( n o 10 k ta 2 s l ). (571 b a b n a k n s ks).! ba (8 n , k 93 s) 3 .* I 1 19 D b 2 e a 0 c n . ( k 9 2 s , 9 6 ) , . 0 6 i 1 N 9 b 2 a o 0 n v ( k . 9 s , 1 5 ) 5 . 6 , 7 RESOURCES. Loans and discounts3 j 4,020,428 ! 980,259 286,614 5,287,301 5,585,581 6, 858, S78 17,731,760 18,022,660 Overdrafts ; 2,795 i 211 82 3,088 5,482 14,106 22,676 24,887 Customers' liability on account of acceptances..! 321,489 I 52,219 8,051 381, 759 167,258 17,661 566,678 619,377 United States Government securities owned *..' 502,296 33,902 26,047 562,245 766,221 1,430,962 2,759,428 2,786,109 Stock of Federal Reserve Bank i 19,905 5,251 1,808 26,964 31,231 41,197 99,392 98,744 Other bonds, stocks, and securities5 ! 539,796 ! 115,804 40,908 696. 508 977, 568 1, 587,480 3,261, 556 3,168,147 Banking house j 75,111 i 12,546 ! 7,210 94, 867 174,982 ! 228,033 497,882 489, 770 Furniture and fixtures 1,419 ! 120 ! 822 2,361 15,089 j 50,235 67,685 67,279 Other real estate owned 4,785 ! 191 I 1,764 6,740 29,036 I 38,125 73,901 72,420 Lawful reserve with Federal Reserve Bank 571,719 117,486 ! 31,004 720,209 524,059 ! 519,156 1,763,424 1,827,450 Cash in vault ; 112,037 I 36,360 I 4,973 153,370 198,423 I 326,132 677,925 611,067 Items with Federal Reserve Bank in process of j collection \ 97,786 34,042 | 25, 907 157, 735 327, 422 i 59,658 544,815 i 674,005 Due from banks, bankers, and trust companies.! 91,535 108,990 | 24, 597 225,122 61i; 140 • 740,360 1,576,622 I 1,774,326 Exchanges for clearing house, also checks ou ' other banks in same place j 651,805 54,017 I 8,920 714, 742 203, 229 I 45,910 983,881 I 1,272, 584 Outside checks and other cash items i 5,650 | 552 25,198 38,112 I 27,912 91,222 ' 120,864 Redemption fund and due from United States ! Treasurer j 3,721 22 I 497 ; 4,240 9,541 ' 24, 569 38,350 39,433 Approximateinterest earned but not collected.. I 22,271 2,283 i 810 25,364 18,585 : 33, 500 77,449 72,576 Other assets ! 268,36S 21,060 i 511 i 289,939 64,300; 15,313 369,552 371,735 Total 7,326,262 1,580,413 471,077 j 9,377,752 9, 747,259 | 12,059,187 31,184,198 32,113,433 LIABILITIES. ! Capital stock paid in j 290,300 92,400 | 36, 525 i 419,225 540,978 832, 858 1, 799,061 1,787,160 Surplus fund j 371,424 84,777 I 23,805 i 480,006 496, 702 550,193 1, 526,901 1,518,953 Undivided profits, less expenses and taxes paid.! 157, 807 25,640 | 10,022 193,469 | 193,841 291,623 678,933 659,515 Approximate interest and discount collected ! but not earned j 29,301 7,072 I 1,940 ! 38,313 | 30,412 26,747 95,472 96,450 Amount reserved for taxes accrued ; 35,369 10,167 ! 283 i 45,819 | 18,692 7,123 71,634 74,683 Amount reserved for interest accrued ! 11,049 1,711 ! 548 13,308 I 12,686 17,684 43,678 45,603 Due to Federal Reserve Bank | 92 92 I 5,097 16,764 21,953 28,402 Due to banks, bankers, and trust companies...! 1, 073, 863 302,362 71,609 1,447, 834 1,276,565 337,905 3,062,304 3,201,791 Certified and cashiers' or treasurers' checks \ outstanding 394,244 19,025 3,434 ! 416, 703 106, 551 70,135 593,389 714, 709 Demand deposits 3,698,140 725,186 194,932 '4,618,258 4,201,981 |5,199,662 14,019,901 14,779,480 Time deposits 292,105 221,280 82,240 595,625 1,906,763 3,685, 533 6,1S7,921 6,144,064 United States deposits 133.670 10,533 6,172 150, 375 122, 744 43,072 316,191 219,831 Bills payable with Federal Reserve Bank 366,010 19,944 13,480; 399,434 328,322 298, 736 1,026,492 1,063,748 Bills payable other than with Federal Reserve Bank 3, 560 600 i 4,160 62,976 141,304 208,440 212,232 Cash letters of credit and travelers' checks outstanding 14,695 1,068 28 i 15,791 1,739 371 17,901 18,365 Acceptances 341,605 52,470 8,053 ! 402,128 173,585 17,995 593, 708 647,801 National bank notes outstanding 37,609 446 : 9,643 47,698 169,585 476,132 693,415 697,391 United States Government securities borrowed. 28,661 2,904 7,127 i 38,692 69,191 32, 568 140,451 131,209 Other bonds and securities borrowed 59 59 1,739 2,579 4,377 4,844 Other liabilities 46,699 3,428 I 636 j 50, 763 21,110 10,203 82,076 67,202 Total. 7,326,262 1, 580,413 ! 471,077 i 9,377,752 9,747,259 | 12,059,187 31,184,198 32,113,433 Liability for rediscounts, including those with Federal Reserve Bank6 484,259 196,876 35,665 716,800 774,423 ; 403, 595 1,894,818 1,917,989 Ratio of reserve with Federal Reserve Bank to net deposit liability (per cent) 12.9 12.9 13.2 12.9 10.1 I 7.6 10.0 10.1 1 Eight banks transferred to " Other reserve city banks." 2 Three banks not reporting. 3 Includes Customers' liability on account of letters of credit. 4 Includes U. S. Goverament'seeurities borrowed by national banks. 5 Includes other bonds and securities borrowed by national banks. • Includes acceptances of other banks and foreign bills of exchange sold with indorsement or other guaranty by national banks. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

INDEX Acceptances: Page, Index numbers—Continued. Page. Acceptances against goods shipped on consignment 419 Wholesale prices— Banks granted authority to accept up to 100 per cent of capital Abroad 463 and surplus 417 New, for Italy _ 465 Condition of the acceptance market 375,394 In the United States 442 Held by Federal Reserve Banks 472,473 India, wholesale prices in 465 Purchased by Federal Reserve Banks— Interest rates prevailing in various centers 495 During February 470 Italy: During 3 months ending February 471 Business and financial conditions in 426 Security for accepting banks 418 Article by Prof. Riccardo Bachi on 437 Agricultural products held on farms 377 New index number of wholesale prices in 465 American shipping earnings and the balance of trade 400 Knit goods production 458 Australia, index of wholesale prices in 464 Letters of credit, use of, in financing foreign trade 410 Bachi, Riccardo, article by, on business and financial conditions Maturities: in Italy * 434 Acceptances purchased— Bank debits 487-490 During February 470 Bank of France, report of, for year 1920 434 During 3 months ending February 471 Banking situation, discussion of 381 Bills discounted— Business and financial conditions: During February 469 Abroad 420-441 During 3 months ending February 470 Article by Prof. Bachi on conditions in Italy 437 Certificates of indebtedness 478 In the United States, reports on 384-394 Mellon, A. W., appointed Secretary of the Treasury 383 Paper read by Robert M. Falkenau on method of reporting.. 396 Member banks: Canada, index of wholesale prices in 465 Condition of 480-486 Certificates of indebtedness issued 373 Abstract of 497-501 Charters issued to national banks * 417 Number discounting during February 467 Charts: Number in each district 467 Assets and liabilities of Federal Reserve Banks 475 State banks admitted to system 415 Assets and liabilities of member banks 481 Money: Debits to individual account 487 Rates 375 Physical volume of trade 448 Stock of, in the United States 496 Wholesale prices in the United States 443 National banks: Clearing and collection system, operations of 491 Charters issued to 417 Clearing-house bank debits 487-490 Fiduciary powers granted to 416 Commercial failures 417 Netherlands: Comptroller 0f the Currency, Crissinger, D. R., appointed -....... 383 Business and financial conditions in 431 Condition statements: Condition of the Netherlands Bank 434 Federal Reserve Banks 473-478 Foreign exchange quotations at Amsterdam 433 Member banks in leading cities " 480-486 Par list, number of banks on 491 Abstract of 497-501 Physical volume of trade 446 Netherlands Bank 434 Prices: Conference of governors of Federal Reserve Banks 382 Discussion of 378 Cotton fabrics, production and shipments 458 New index number for Italy 465 Credit, letters of, use in financing foreign trade 410 Wholesale, abroad 420-434,463 Crissinger, D. R., appointed Comptroller of the Currency...... 383 Wholesale, in the United States 442,464 Currency circulation in the United States * 496 Rates: Debits to individual account 487-490 Acceptances purchased by Federal Reserve Banks— Discount and open-market operations of Federal Reserve Banks. 466-473 During February 470 Acceptances held 472,473 During 3 months ending February 471 Acceptances purchased— Bills discounted by Federal Reserve Banks— During February . 470 During February 469 During 3 months ending February 471 During 3 months ending February 470 Bills discounted— Earning assets held by Federal Reserve Banks 471 During February 469 Discount- During 3 months ending February * *" 470 In effect April 1 496 Bills held 472 Prevailing in various centers 495 Earning assets held [ 471 Foreign exchange 494 Number of banks discounting during February 467 Reserve ratios of Federal Reserve Banks 376 Reserves, deposits, note circulation, and reserve percentages.. 468 Resources and liabilities: Volume of, during February 469 Federal Reserve banks 473-478 Discount rates: Member banks in leading cities 480-486 In effect Apr. 1 496 Retail trade index 460 Prevailing in various centers 495 Review of the month 373 Rulings of the Federal Reserve Board: England: Acceptances against goods shipped on consignment 419 Business and financial conditions in 420 Security for accepting banks 418 Foreign trade 422 Warehouse receipts covering sacramental wine in bond 419 Failures, commercial, reported 417 Secretary of the Treasury: Falkenau, Robert M., paper by, on business condition reporting.. 396 Mellon, A. W., appointed 383 Federal Reserve bank notes, retirement of 374 Statement of— Federal Reserve Banks: On Treasury financing 373 Condition of 473-478 On retirement of Federal Reserve Bank notes 374 Discount and open-market operations of 466-473 Shipping earnings and the balance of trade 400 Federal Reserve Bulletin, index-digest of 383 Silver: Federal Reserve note account 479 Imports and exports of 381,493 Fiduciary powers granted to national banks 416 Prices of, in New York 380 Foreign exchange rates: State banks and trust companies admitted to system 415 Amsterdam 433 Sweden, business and financial conditions in 429 Discussion of 379 Trade: Quoted in New York 494 Foieign— Foreign trade: Discussion of 378 Discussion of 378 Index of 445 Index of 445 Physical volume of 446 Letters of credit, use of, in financing 410 Retail, index of 460 France: Wholesale, condition of 462 Bank of, report for year 1920 434 Treasury certificates of indebtedness issued 373 Business and financial conditions in 423 Treasury, condition of 373 Foreign trade 426 Vessels: Germany, business and financial conditions in 428 American, tonnage of 400 Gold imports and exports 380,492 Berth rates 405 Governors of Federal Reserve Banks, conference of 382 Ocean freight rates 407 Imports and exports: Water-borne imports and exports in the foreign-carrying trade Gold 380,492 of the United States 401 Silver 381,493 Wills, D. C, assumes duty as Federal Reserve Agent at Cleveland. 383 Index-digest of Federal Reserve Bulletin 383 Wine, sacramental, in bond, warehouse receipts covering 419 Index numbers: Wholesale prices* Foreign trade 445 Abroad. • 420-434,463 Physical volume of trade 446 In the United States 442 Retail trade 460 Wholesale trade, condition of 462 I Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

FEDERAL RESERVE DISTRICTS * FEDERAL RESERVE BANK CITIES O FEDERAL RESERVE BRANCH CITIES Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis