Federal Reserve Bulletin, 1926-05

FEDERAL RESERVE BULLETIN MAY, 1926 ISSUED BY THE FEDERAL RESERVE BOARD AT WASHINGTON Prices, Production, and Trade Business Conditions in the United States Annual Report of the German Reichshank WASHINGTON GOVERNMENT PRINTING OFFICE 1926 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

FEDERAL RESERVE BOARD Ex officio members: D. R. CRISSINGER, Governor. EDMUND PLATT, Vice Governor. A. W. MELLON, Secretary of the Treasury, Chairman. ADOLPH C. MILLER. CHARLES S. HAMLIN. J. W. MCINTOSH, GEORGE R. JAMES. Comptroller'of the Currency, EDWARD H. CUNNINGHAM WALTER L. EDDY, Secretary. WALTER WYATT, General Counsel. J. C. NOELL, Assistant Secretary. Director, Division of Research an& E. M. MCCLELLAND, Assistant Secretary. Statistics, W. M. IMLAY, Fiscal Agent. E. A. GOLDENWEISER, Acting Director, Division off J. F. HERSON, Chief, Division of Examination,w_and Chief Federal Research and Statistics.. Reserve Examiner. E. L. SMEAD, Chief, Division of Bank Operations. FEDERAL ADVISORY COUNCIL District No. 1 (BOSTON) . CHAS. A. MORSS, Vice President.. District No. 2 (NEW YORK) '. ... JAMES S. ALEXANDER. District No. 3 (PHILADELPHIA) ... L. L. RUE. District No. 4 (CLEVELAND) GEORGE A. COULTON. District No. 5 (RICHMOND).^ JOHN F. BRUTON. District No. 6 (ATLANTA) P. D. HOUSTON. District No. 7 (CHICAGO) »_- « FRANK O. WETMORE, President*. District No. 8 (ST. Louis) .- BRECKINRIDGE JONES. ; District No. 9 (MINNEAPOLIS) THEODORE WOLD. District No. 10 (KANSAS CITY) ______..- P. W. GOEBEL. District No. 11 (DALLAS) ----- ;-— B. A. MCKINNEY. District No. 12 (SAN FRANCISCO) _. _'_.. HENRY S. MCKEE. 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 11. Curtiss.. W. P. G. Harding.. W. W. Paddock.... W. Willett. Pierre Jay..... Benj. Strong ... J. H. Case L. H. Hendricks.i New York. L. F. Sailer.... A. W. Gilbart.i G. L. Harrison J. W. Jones.i E. R. Ilenzel Ray M. Gidney. L. R. Rounds.1 Philadelphia......... R. L. Austin Geo. W. Norris.. Wm. H. Hutt C. A. Mcllhenny. W. G. McCreedy.* Cleveland George DeCamp. E. R. Fancher... M. J; Fleming.. H. F. Strater. Frank J. Zurlinden. Richmond.— .... Wm. W. Hoxton George J. Seay.. C. A. Peple. ..... Geo. H. Keesee. R. H. Broaddus John S. Walden, jr.i Atlanta.. ..... Oscar Newton... M. B. Wellborn. J. L. Campbell M. W. Bell. Creed Taylor _. Chicago Wm. A. Heath.. J. B. McDougaK C. R. McKay....... W. C. Baehman.i John H. Blair K. C. Childs.i J. H. Dillard.i D. A. Jones.* O. J. Netterstrom.* St. Louis Wm. McC. Martin. D. C. Biggs...- O. M. Attebery J. W. White. Minneapolis. _ John R. Mitchell-.. R. A. Young W B. . V B . . M G o e o e r r e y G Fr r a a n y k W C a . r D re u n n . lop.1 Harry Yaeger* Kansas City.. M. L. McClure.. W. J. Bailey C. A. Worthington.. J. W. Helm. Dallas C. C.Walsh ..... Lynn P. Talley. R R . . B R . . C G o il le b m er a t n . Fred Harris. San Francisco. Isaac B. Newton- J. U. Calkins Wm. A. Day ... W. N. Ambrose. Ira Clerk— L. C. Pontious * Controller. 2 Assistant deputy governor. MANAGING DIRECTORS OF BRANCHES OF FEDERAL RESERVE BANKS Federal Reserve Bank of— Managing director Federal Reserve Bank of— Managing director New York: Minneapolis: Buffalo branch , W. W. Schneckenburger. Helena branch.. R. E. Towle. Cleveland: Kansas City: Cincinnati branch C. F. McCombs. Omaha branch „ L. H. Earhart. Pittsburgh branch J. C. Nevin. Denver branch J. E. Olson. Richmond: Oklahoma City branch C. E. Daniel. Baltimore branch . A. H. Dudley. Dallas: Atlanta: El Paso branch ________ M. Crump. New Orleans branch— Marcus Walker. Houston branch ., D. P. Reordan. Jacksonville branch Geo. R. DeSaussure. San Francisco: Birmingham branch......... A. E. Walker. Los Angeles branch R. B. Motherwell. Nashville branch ...... J. B. Fort, jr. Portland branch. R. B. West. Chicago: Salt Lake City branch. ... W. L. Partner. Detroit branch W. R. Cation. x Seattle branch.. ._ C. R. Shaw. St. Louis: Spokane branch.. D. L. Davis. Louisville branch „ W. P. Kincheloe Memphis branch W. H. Glasgow. 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 contains, in addition to the regular official announcements, the national review of business conditions, detailed analyses of business conditions, research studies, reviews of foreign banking, and complete statistics showing the condition of Federal reserve banks and member banks. The BULLETIN will be sent to all member banks without charge. To others the subscription price, which covers the cost of paper and printing, is $2. Single copies will be sold at 20 cents Outside of the United States, Canada Mexico, and the insular possessions, $2.60; single copies, 25 cents. in Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

TABLE OF CONTENTS The month: p age Review of the month—Prices, production, and trade in the first quarter of 1926.-_-_-. --_ 305 Business conditions in the United States 309 Debt funding agreements with France and Yugoslavia » ^ 331 Special articles: Loans of Federal farm loan system in 1925- _- _ -__--_. 329 Foreign trade of United States, first quarter of 1926-- .1.. -,- __ __-„ 330 Annual report of the German Reichsbank 340 Annual report of the Bank of Poland 344 Official: Rulings of the Federal Reserve Board— Change in Federal reserve district boundaries . ___ ... 332 Law department— Authority of Congress for purchase of Buffalo branch bank building - _ 333 Change in law regarding State taxation of national banks -—_-_- —-- 333 Changes in State bank membership . ,_ _ 333 Changes in national bank membership. '__ 334 Fiduciary powers granted to national banks ___- . ,_L 334 Business statistics for the United States: Industrial activity. _ . 335 Commodity movements _ __ .,----- 337 Wholesale and retail trade.... _. . ... 338 Foreign banking and business conditions: Financial statistics for England, France, Germany, and Canada _ - _.-___- 350 Foreign trade of principal countries __-. „ 353 Price movements in principal countries- Wholesale prices in principal countries 354 Retail prices and cost of living in principal countries . 356 Banking and financial statistics: Federal reserve banks— Condition of Federal reserve banks.,___..__ - _. 357 Federal reserve note account - 361 Holdings of earning assets - --. 362 Discount and open-market operations of Federal reserve banks . _ - - . _ _ 363 Gold settlement fund .i_--- --_., -_-_ 374 Discount rates of Federal reserve banks . 374 Member banks— Reporting member banks— Condition of reporting member banks in leading cities . 364 Bankers7 balances at reporting member banks in Federal reserve bank cities.-. 365 Loans to brokers and dealers secured by stocks and bonds made by reporting member banks in New York City - — _—..— — -- — ---..-.. — - — -.,.. — --- 365 Earnings and dividends of State bank and trust company members— _ . 367 All member banks— Deposits - --.. . .--- 366 Bank debits.-- — ——— 368 Member banks and nonmember banks on par list and not on par list - - 369 Money in circulation--- — 369 Money rates in principal cities . ; . 370 Gold and silver imports and exports __- — 372 Foreign exchange rates -_ --------^ 373 IV Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

FEDERAL RESERVE BULLETIN VOL. 12 MAY/1926 No. 5 - REVIEW OF THE MONTH prices of agricultural commodities showed a much smaller reduction. The rise in the aver- For a period of eight months commodity prices have had a gradual but continuous de- age of prices after the middle of 1924 has recline, and in March the aver- flected largely an advance in agricultural prices, Recession of g j pj was more than 5 and more particularly an advance in the price a e o rces commodity prices & r of wheat, which was caused by a shortage in per cent below last summer the world wheat crop. The price decline since and at the lowest level since the autumn of the middle of 1925 has also been due for the 1924. This prolonged recession in prices, most part to a recession of agricultural prices, which for several months had reflected chiefly including grains, cotton, wool, and livestock. declines in the prices of farm products, became Prices of industrial materials, on the other more general after the beginning of this year, hand, have remained fairly stable since the and at the end of the first quarter the prices middle of 1924. of nearly all groups of commodities were at a lower level than at any time in more than a J PE 20 R CENT PER CE 12 N 0 T year. 110 v / rvA A 100 100 *\ 90 V 90 80 80 70 INHII^TRIA! nbftni lrnrt/^vi 70 130 1923-1925 AVERAGE =100 1 . 60 60 1923. 1924 1925 1926 The course of prices of agricultural and non- A new combined index of production of manufactures and minerals, based upon monthly statistics of daily average output, not adjusted agricultural commodities and of all commodities for the past three years is shown in The relative stability of prices of industrial the chart. In the spring of 1923 prices were commodities during the past 18 months has at a peak, having advanced about 15 per cent Sustained in- accompanied a large growth in from the low point at the opening of 1922. dustrial activity industrial production and in During the early months of 1923 industrial the volume of trade. The large output of production had proceeded at a rapid rate and basic materials produced during the period manufacturers were unable to market their has, in fact, been marketed at prices that for output except by making concessions in price, many commodities have shown a gradual with the consequence that there was a reces- recession, indicating that in order to move sion in prices of industrial commodities. By their current output through the channels of June, 1924, prices of nonagricultural commod- distribution producers were obliged to make ities had declined by about 12 per cent, while concessions in the prices of their products: 305 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

306 FEDERAL RESERVE MAY, 1926 This has been notably true of iron and steel from the railroads, from the construction inproduction, which has been very active, while dustry, and from manufacturers of automothe prices of steel products have continuously biles, was larger than in iahy previous quarter. declined. There has also been a downward Automobile production continued in large tendency in the prices of building materials, volume, and was accompanied by considerable at a time when construction work has been activity in the manufacture of tires and tubes. in record volume. Many industrial enterprises Continued building operations on a large scale during the past year have thus been conducted have been an important influence in the on a narrower margin of prices over costs and maintenance of large outputs of lumber, have depended for their profits on a large cement, brick, and other building materials. volume of output. Changes in the production Activity in the mining industry has also been and prices of steel and of building materials well sustained. While most of the lines of are shown in the charts. industrial enterprise have been exceptionally active during the first quarter of 1926, certain lines of production, particularly woolen mills 50 1922 1923 1924- 1925 192G 1922 1923 1925 1926 That the general volume of industrial activity has been exceptionally large is indicated by Production of steel ingots and Iron Age composite price of finished steel products the chart on page 305, which shows the course of the Federal Keserve Board's revised index of and shoe factories, have shown a marked industrial production since the beginning of decline in activity during the first three 1923. This index is based on the period months of the year. 1923-1925 as 100 and differs from the board's The large volume of industrial production in index of production in basic industries in recent months has been accompanied by a that it includes a wider range of industries correspondingly active distribu- Active trade and particularly the production of automobiles, tion of commodities through the which has been an important factor in main- channels of trade. Some growth in the volume taining the volume of industrial output during of stocks of materials in certain lines of prorecent years. In March of this year the output duction, particularly in the automobile industry of industries included in this index was larger and allied enterprises, has been reported, but than at any previous time, and the average the increase in stocks, as indicated by available for the first quarter of 1926 was above that statistics, has not been general nor large in for any earlier three-months period. This volume. Railway shipments continued in 1926 large volume of production has been shared at the exceptionally high level of the latter part in by most of the important industries. Steel of 1925, and their total was larger for the first production, supported largely by a demand three months of this year than for the same Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

307 HAY, 1926 FEDERAL KESEKVE BULIiETIN period of any previous year. Distribution by for the usual seasonal influences. Though the wholesalers has continued in large dollar sales in the first quarter of this year were convolume, notwithstanding the decline in whole- siderably larger than for the corresponding sale prices. The flow of merchandise from the months of 1925, they represent a decided producer to the retail distributor has proceeded decline from the exceptional figures reached in without undue interruption or delay, and there the autumn of last year, when department-store has been no evidence of a general accumulation trade, sustained by good earnings of the inof stocks in the hands of wholesale dealers. dustrial population and to some extent by the Throughout the period of increasing pro- growth of installment buying, was in record duction and primary distribution of com- volume. During this unusual growth in the modities there was a sustained demand for volume of retail trade the department stores commodities by consumers, both urban and increased their stocks of merchandise in anticrural, reflecting the relatively high earnings of ipation of continued trade expansion, and industrial workers and the relatively good inventories at department stores are consereturns to farmers for their crops. In the case quently larger than a year ago, as is indicated on the chart, which shows the course of sales and of stocks at department stores since the DEPARTMENT STORE SALES AND STOCKS SEASONALLY ADJUSTED-1919=1OO beginning of 1923. This increase in the volume of stocks of merchandise carried by retail stores has been a factor in causing a more than commrdal loans s^sonal growth in the demand r for commercial credit at the banks. Thus loans for commercial purposes of member banks in leading cities increased by $200,000,000 between the end of January and 110 110 the middle of April, compared with an increase of about $60,000,000 for the same period in 1925. Last year, however, the growth in comtoo 100 1923 192*- 1925 1926 mercial loans was accompanied by a much larger Indexes of sales at 359 stores and stocks at 314 stores, adjusted for seasonal increase in loans on securities and a fairly convariations stant volume of investments, so that there was of farmers the fact that the large receipts for a considerable addition to the total volume of the 1924 grain crops enabled them to liquidate member bank credit outstanding. In 1926, on a considerable part of their indebtedness to the the contrary, the larger increase in commercial banks made a larger part of their incomes in loans, together with a considerable growth in 1925 and early in 1926 available for current the banks7 investment holdings, has been for purchases. The volume of sales by mail-order the most part offset by a decline in loans on sehouses and by dealers in farm implements, curities, with the consequence that in the midwhich are the best available indications of dle of April total loans and investments of mempurchases in rural districts, was consequently ber banks in leading cities were only slightly large throughout 1925, and was larger for each larger than' at the close of the seasonal liquidaof the early months of the present year than tion at the end of January. In the decline of for the corresponding months of the preceding security lo ans the principal factor has been the year. Department-store sales, which reflect reduction in loans to brokers and dealers in the buying in urban centers, however, were not so New York security market, a decline which has large in the early part of 1926 as in the latter been largely caused by a sharp recession in part of last year, even when allowance is made security prices. The volume of these loans from Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

308 FEDEBAL RESERVE BULLETIN MAY, 1926 a total "of $3,139,000,000 on February 17 declined Hearings on Strong bill for price stabilization continuously and rapidly to $2,451,000,000 on Since March 24 the Committee on Banking April 14, a reduction of $688,000,000 for the and Currency of the House of Representatives two-months period. The rapid decrease in has been holding hearings on H. R. 7895, insecurity loans, together with the inflow during troduced by Representative James G. Strong, the quarter of about $75,000,000 of gold, of Kansas. This bill proposes to amend secchiefly from Canada, resulted in a reduced tion 14 (d) of the Federal reserve act to read demand for accommodation at the Federal re- as follows : serve banks, and the total volume of reserve (d) To establish from time to time, subject to rebank credit outstanding toward the end of April view and determination of the Federal Reserve Board, was about $70,000,000 less than in the middle a minimum rate of discount to be charged by such bank for each class of paper, which shall be made of February, and about $100,000,000 above the with a view to accommodating commerce and prolevel of the spring of 1925. Thus the banking moting .a stable price level for commodities in general. situation in the first weeks of the second quar- All of the powers of the Federal reserve system shall ter of 1926 has been characterized by a con- be-used for promoting stability in the price level. tinued large volume of bank credit outstanding, Those who have so far appeared before the a reduced volume of security loans, a growing committee are Mr. G. H. Shibley; Prof. Irving demand for commercial credit, and a relatively Fisher; Mr. Norman Lombard; Mr. Frank A; small indebtedness at the reserve banks. Wolff; Mr. William T. Foster; Prof. James Harvey Rogers; Mr. Western Star; Mr. William Elwood Lee; Governor Strong, of the NOTES Federal Reserve Bank of New York; Gover- Change in discount rate nor Norris, of the Federal Reserve Bank of On April 23, 1926, the discount rate at the Philadelphia; Prof. O. M. W. Sprague; Mr. Federal Reserve Bank of New York on all Carl Snyder; Mr. Ethelbert Stewart; Mr. classes of paper and all maturities was re- Adolph G. Miller, of the Federal Reserve duced from 4 to 3 J^ per cent. Board; and Mr. Walter W. Stewart. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAT, 1926 FEDERAL RESERVE BULLETIN 309 BUSINESS CONDITIONS IN THE UNITED STATES Industrial output increased in March and the distribution of commodities continued in large volume owing to seasonal influences. The level of wholesale prices declined for the fourth consecutive month. Production.—-The Federal Reserve Board's index of production in basic industries increased in March to the highest level for more than a year. Larger output was shown for steel ingots, pig iron, anthracite, copper, lumber, and newsprint, and there were also increases in the activity of textile mills. The output of automobiles increased further and was larger than in any previous month with the exception of last October. Building contracts awarded also increased in March, as is usual at this season, and the total was near the high figure of last summer. Particularly large increases in building activity as compared with a year ago occurred in the New York, Atlanta, and Dallas Federal reserve districts. Contracts awarded continued larger during the first half of April than in the same period of last year. Condition of the winter wheat crop has improved since the turn of the year and on April 1 was estimated by the Department of Agriculture to be 84 per cent of normal, compared with 68.7 per cent last year, and an average of 79.2 per cent for the same date in the past ten years. Trade.—Wholesale trade showed a seasonal increase in March, and the volume of sales was : larger than a year ago in all leading lines except dry goods and hardware. Sales of department stores and mail-order houses increased less than is usual in March. Compared with March a year ago, sales of department stores were 7 per cent and sales of mail-order houses 9 per cent larger. Stocks of principal lines of merchandise carried by wholesale dealers, except groceries and shoes, were larger at the end of March than a month earlier, but for most lines they were smaller than a year ago. Stocks at department stores showed slightly more than the usual increase in March and were about 3 per cent larger than last year. Freight-car loadings during March continued at higher levels than in the corresponding period of previous years. Shipments of miscellaneous commodities and merchandise in less-than-carload lots were especially large. Loadings of coal, owing to the large production of anthracite, were also large, while shipments of coke decreased considerably from the high levels of preceding months. Prices.—Wholesale prices, according to the Bureau of Labor Statistics index, declined by more than 2 per cent in March to the lowest level since September, 1924. The decline was general for nearly all groups of commodities, and the largest decreases were noted in grains, cotton, wool, silk, coke, and rubber. In the first two weeks of April prices of basic commodities were steadier than in March. Prices of grains, flour, and potatoes increased, while prices of cotton goods, wool, silk, bituminous coal, pig iron, and rubber declined. PER CENT PER CENT 2001 — •—1200 150 150 100 100 50 SO FACTORY EMPLOYMENT AND PAY ROLLS WHOLESALE PRICES 1922 1923 1924 1925 1926 1922 1923 1924 1925 1926 Federal Keserve Board's indexes of factory employment and pay rolls. Index of United States Bureau of Labor Statistics. (1913=100, base (1919=100.) Latest figures, March, employment, 97.2; pay rolls, 113 adopted by bureau.) Latest figure, March, 152 94033—26 2 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

310 FEDERAL KESEBVE BULLETIN MAY, 1926 PERCENT BILLIONS OF DOLLARS BILL1OHS OF DOLLARS 300 I I 300 2 BUILDING CONTRACTS AWARDED 250 100 50 50 1922 1923 1924- 1925 1926 1922 1923 1924- 1925 1926 Index of value of building contracts awarded as reported by the F. W. Monthly averages of daily figures for 12 Federal reserve banks. Latest Dodge Corporation. (1919=100.) Latest figure, March, 231 figures are averages for first 22 days in April Bank credit.—Commercial loans of member banks in leading cities were relatively constant between the middle of March and the middle of April, at a level about $200,000,000 higher than at the end of January and approximately equal to the high point reached last autumn. Continued liquidation of loans to brokers and dealers was reflected in a further decline in the total of loans on securities, which on April 14 were more than $500,000,000 below the high point reached at the end of last year. At the reserve banks an increase in the volume of member bank borrowing during the last two weeks of March was followed by a marked decline in the first three weeks of April, which brought the total near the lowest levels of the year. Holdings of United States securities increased continuously during the month, while acceptances declined seasonally. Total bills and securities were in smaller volume at the end of the period than at any other time during the year and only slightly larger than a year ago. Open-market rates on commercial paper declined in April from 43^-4 3^ P.er cen^ ^° 4-4J^ per cent, and rates on acceptances and on security loans were also lower in April than in March. On April 23 the discount rate at the Federal Reserve Bank of New York was reduced from 4 to 3K per cent. BUSINESS INDEXES OF THE FEDERAL RESERVE BOARD [Monthly average 1919=100] Department-store Department-store Bank Year and month P t i t i r b n r o o a i d n e d s u s i u i s c n i c - - e F m m ac p e t l n o o t r y y - p F ay a ct r o o r l y ls a c B w o u n a i t r l r d d a i e c n d t g s *•l R o a a i d c l a i r r n o g a s d 1 - W tr s h a a o l d e l e e- U ju n st a e d d - sale A s1 djusted U ju n st a e d s d - tock A s d i justed o o d f O Y u e t N i o b s t r i i y e d k t w s i e 1925 January 127 94 103 164 123 79 108 124 119 134 119 February 124 96 109 166 125 76 101 131 127 135 118 Miarch 120 96 110 172 117 83 121 121 139 137 118 April _ _ 119 96 107 169 129 79 136 133 141 136 120 May - -- - 111 95 107 151 123 79 128 124 136 137 118 June 110 94 105 173 117 83 126 126 129 135 122 July _-„_— 113 93 102 188 122 83 95 128 125 133 124 Ausfust 109 94 105 225 123 87 98 125 131 131 120 September - 111 95 104 235 121 94 121 134 143 133 . 123 October * - -- 116 97 111 210 121 101 165 145 149 134 128 November 115 97 112 229 121 86 145 129 154 137 122 December - 121 97 112 276 130 80 226 141 129 139 124 1926 January 120 96 107 243 118 78 114 130 125 141 126 February - . 120 97 112 208 127 76 104 135 132 140 128 March . 123 97 113 209 126 85 130 130 143 141 131 i The indexes of production in basic industries, building contracts, car loadings, and bank debits are adjusted to allow for seasonal variation; the indexes of department-stores sales and stocks are shown both with and without seasonal adjustments. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAY, 1926 FEDERAL RESERVE BULLETIN •3:11 MONEY RATES were tendered at an average rate of 4.395 per Prime commercial paper continued to be cent that week. quoted at 4 3^-4 H per ^n^ during the first ACCEPTANCES three weeks of April, with the majority of During the last two weeks of March the names going at 4 J^ per cent. The supply supply of acceptances in the New York remained limited throughout the month, market increased slightly and the demand while the demand became more active during remained good, with the continuance of the last two weeks both in the interior and in foreign buying and relatively easy money con- New York City. On April 23 the quoted rate ditions. Early in April the demand inbecame 4 34 per cent and on the following day creased substantially a,nd dealers, finding some 4-4 34 per cent. Rates on bankers' acceptances difficulty in replenishing their portfolios, reof all maturities over 30 days were reduced duced their rates on April 7 by P$ per cent on by y% per cent on April 7, making the offering all except 30-day bills. Firmer money conrate on 60 and 90 day bills 3J^ per cent/ the ditions soon afterwards, due in part to exports lowest rate in effect since early in January. of currency to Cuba, resulted in heavy offerings On April 22 a further reduction occurred and of bills in both the New York and Boston 90-day bills were offered at 3^ and later at markets, with a practical cessation of demand, 33^ per cent. The price of both short and and large sales to the reserve banks, chiefly of long-term Government securities rose through- bills with maturities of 30 days or less. The out April, yields on 434 Per cent Liberty total volume of purchases reported by New bonds reaching the lowest levels since last York dealers during the period from March 18 September. Rates on call money hardened to to April 14 was the largest since December, and 5 per cent over the first of April, but later their sales, excepting sales to Federal reserve declined and after the 19th of the month banks, were the smallest. Their portfolios on fluctuated between 33^ and 434 per cent. The April 14 were larger than on any other reportdiscount rate of the Federal Reserve Bank of ing date for the last three years. Similar con- New York was reduced from 4 to 33^ per cent ditions characterized the Chicago market, effective April 23. The table below shows where dealers reported a slight decline in money rates prevailing in the New York purchases, a large decline in sales, and inmarket during the last three months: creased portfolios at the end of the period. Cotton and coffee were the commodities MONEY RATES IN NEW YORK CITY chiefly represented by the bills in the market, Average yield Average rate with a considerable recent increase in the on— on— number of sugar bills. Prime Bill rates in New York at the beginning and Montli m m p P c e a o r 4 o r p i - n c m m 6 e i t a r h - e , l s a a b c d n e a c a 9 c r n e y s 0 e k p ' s s - t , - c T c U n e a u a r o r e n t . r t t e S y a i d e f s s . s i , - - p L b e i o r b n e c d r e t s n y t lo C an al s l 1 l T oa im ns e 2 f e o n l A d lo C C w o E i f P n T g A th N t e C a E b r l e R e p A . o T r E t S i n I g N T p H e E r io N d EW a r Y e O R g K i ve M n A R i K n E T the 3-6 months March 18, 1926 April 14, 1926 Maturity April, 1925 2.78 3.96 3.86 3.95 Bid Offered Bid Offered January, 1926—. 4M 3 3.49 4.04 4.33 4.79 February, 1926 .. 4M 3 3.18 4.01 4.85 4.68 March, 1926.—_- — / \ 4 3 3 3 .2 . 5 03 3.98 4.55 4.72 30 days.... Per cent Per cent Per ce t nt , Per cent April, 1926... *3.08 3.94 4.06 4.29 60 days.... Week ending- 90days.._. % Apr. 3_ 4 3.21 3.97 4.94 4.66 120 days... A Ap p r r . . 1 1 0 7——- _. 4 4 3 3 . .1 0 5 7 3 3 . . 9 9 4 6 4 4 . . 4 2 0 0 4 4 . . 5 3 0 9 1 1 5 8 0 0 d d a a y y s s . . . . . 37/ Apr. 24 4 3.04 3.93 3.85 4.23 1 Renewal rate. CAPITAL ISSUES 2 Weekly average of daily average rates on principal maturities. 3 Issues maturing June 15,1926. The volume of new domestic securities issued < Issues maturing Sept. 15,1926. in March, according to the compilation of the In the London money market rates showed Commercial and Financial Chronicle" was little change during April. Three-months among the largest of recent years, being exbank bills were quoted at 4f per cent the third ceeded in 1925 only by the issues of December week in April as compared with 4 2g- per cent and in 1926 by those of January. The total 1 the third week in March, and Treasury bills for the first quarter of 1926 amounted to Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

312 FEDEKAL, EESERVE BULLETIN MAY, 1926 $1,598,000,000, as compared with $1,360,- SECURITY PRICES 000,000 in the first quarter of 1925. The size During April the prices of representative of the total is accounted for chiefly by the common stocks recovered about half of their volume of corporate flotations, which was the March xlecline as measured by the price index largest on record in January and in March of 232 stocks computed by the Standard Stanext to the largest. Municipal issues in March tistics Co. The index of railroad stock prices, were moderate in amount as compared with which had declined less rapidly than that of previous months. Of the corporate issues, over industrials in March, increased almost as two-thirds were those of industrial corpora- sharply in April, and on April 26 was slightly tions, which showed a large increase over higher than at the middle of last November February. Railroad offerings also showed an and but 6 points below its high record at the increase, but those of public utilities a decline. end of December. Industrial stocks were a The accompanying table shows the domestic little below their levels following the Novemsecurities issued in March, 1925, and in Feb- ber decline and about 11 points below their ruary and March, 1926. January peak. After showing unusual activity during the first week of April, the stock DOMESTIC CAPITAL ISSUES exchange was relatively quiet through the rest [In millions of dollars] of the month, as indicated by the number of March, 1926 Feb 1 r 9 u 2 a 6 ry, March,1925 s d h e a c r li e n s e d s o i l n d M da a i r l c y h . , i B nc o r n e d a se p d r ic d e u s r , i n w g; h A ic p h r il h a t d o the highest levels since 1917. The following Re- Re- Re- table gives indexes of stock prices computed New fund- New fund- New funding ing ing by the Standard Statistics Co. of New York, the average price of 40 bonds computed by Total 558.2 38.8 472.8 25.6 367.9 75.9 Dow, Jones & Co., and the average number of Corporate 416.1 37.2 323.7 25.0 247.9 70.3 shares of stock sold daily on the New York Long-term "bonds and Stock Exchange for the last six months and for notes 218.2 34.9 172.8 22.6 153.2 70.3 Short-term bonds and April a year ago: notes 24 1 1 0 28 2 14 4 Stocks 173.8 1.3 122.7 2.4 80.3 Farm loan issues 29.3 .2 4.3 11.5 3.0 INDEX NUMBERS OF SECURITY PRICES Municipal 112.8 1.4 144.8 108.5 2.6 Price indexes of1— Average The volume of foreign securities issued in Aver- o n f u s m h b ar e e r s the United States in March, according to the 201 in- 31 rail- Total, p a r g ic e e so o l f d s d to a c i k ly compilation of the Federal Reserve Bank of d s u to s c tr k ia s l s r t o o a ck d s st 2 o 3 c 2 ks bo of n d 40 s2 •om ( i 0 t 0 te 0 d) 3 New York, was smaller than in any month since last August. An unusually large share Average for— of the total, nearly one-half, was issued by April, 1925 123.4 107.7 118.8 91.62 1,088 November, 1925 _. 150.4 120.0 141.6 92.44 2,397 corporations. The following table shows the December, 1925 151.6 125.4 144.0 92.76 1,883 January, 1926 153.7 125. 5 145.5 93.46 1,766 foreign offerings during the first three months February, 1926. 154.9 123.5 145.7 94.31 1,806 of this year, classified geographically and March, 1926 144.0 119.4 136.7 93.94 1,790 April, 1926_. 139.8 118.5 133.6 94.52 1,339 divided between those of corporations and of Average for week ending— governments, including provinces and munici- A A p p r r . . 5 1 _ 2 _ . _ .. i. 1 13 4 6 0 . . 2 8 1 1 1 1 8 7 . . 0 1 1 1 3 3 1 3 . . 0 7 9 9 3 4 . . 3 9 3 3 2 1, , 1 6 0 3 5 7 palities. Apr. 19 137.3 117.3 131.4 94.79 1,357 . Apr. 26 145.0 121.6 138.1 95.03 1,493 FOREIGN CAPITAL ISSUES [In millions of dollars] 1 For the industrial stocks, the average of 1917-1921 prices equals 100, for the rails the average of the high and low prices made in the 10 years, M 1 a 9 r 2 c 6 h, Feb 1 r 9 u 2 a 6 ry, Jan 1 u 92 a 6 ry, o d 19 a f 1 y e 3 . a -1 c 9 h 2 2 st , o e c q k u a o l u s t 1 st 0 a 0 n . di T ng h . e in P d r e ic x e e s s u ar s e e d w a e r ig e h c te lo d s i b n y g t q h u e o n ta u t m io b n e s r o o n f s M ha o r n e - s 2 Arithmetic average of daily average closing prices, as published in Gov- Cor- Gov- Cor- Gov- Cor- the Wall Street Journal. Weekly averages are for week ending with ern- po- ern- po- ern- po- Saturday preceding date given. ment rate ment rate ment rate 3 Saturday omitted. Weekly averages are for five days ending with Friday preceding date given. AGRICULTURAL CREDIT Total new issues ._ 23.2 21.7 44.0 20.4 38.0 32.2 Europe,. _.- 3.7 14.9 42.0 14.0 13.2 30.1 During the first quarter of 1926 rediscounts Canada and Newfoundland. 6.0 4.8 2.0 6.4 10.2 1.4 Latin America 13.5 8.9 at Federal intermediate credit banks increased United States insular pos- approximately $10,000,000, which represented sessions international 5.7 .7 Eefu I n n d te in rn g a i t s io su n e a s l . . _ _ ___ i. - _ _ . . 3.0 2.0 40.0 3.6 To *T6 advances chiefly to agricultural credit corporations, although advances to livestock loan Total new and refunding. _ 16. 2 21.7 84.0 24.0 46.0 37.2 companies also showed a nominal increase. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAY, 1926 FEDERAL RESERVE BULO^ETIN 313 All Federal intermediate credit banks, with the Federal land banks increased their net outexception of those at Springfield and Wichita, standing farm loans by $21,676,000 during the increased their holdings of rediscounts during first quarter of 1926, as compared with the quarter. $26,697,000 for the same period in 1925. A net reduction in direct loans approximat- Joint-stock land banks during the first three ing $5,600,080 took place during the same months of this year increased their net holdings period, reductions being made in loans based of farm loans in the amount of $33,898,000, or on tobacco, wheat, canned goods, peanuts, approximately $3,245,000 more than the and wool, while cotton and rice loans showed volume secured in the corresponding period an increase. All banks reduced their direct last year. Reporting life-insurance companies loans with the exception of those located at increased their holdings of farm mortgage Baltimore, St. Louis, and Houston, where loans in the amount of $20,000,000 during the additional advances were made on tobacco, first quarter, or less than the volume of coffee, rice, and cotton. $22,000,000 purchased in the same period a During March outstanding direct loans were year ago. reduced by about $4,000,000, all classes of Net outstanding loans for both Federal and loans, with the exception of those based on joint-stock land banks increased in approxiraisins and rice, showing a decline. Reduction mately the same amount during March as in in cotton, tobacco, and wheat loans accounted the previous month, the former increasing for a greater part of the repayments. During $8,000,000 and the latter $12,000,000. The the first half of April an additional reduction following table shows the outstanding volume of about $2,500,000 was made in tobacco loans, of net mortgage loans at the end of March held and nominal reductions were also made in by 12 Federal land banks, 53 joint-stock land other commodity loans with the exception of banks, and 41 life-insurance companies owning those based on raisins and rice, the former more than 82 per cent of the assets of all remained unchanged while the latter continued life-insurance companies: to increase. Rediscounts during March increased by NET FARM MORTGAGE LOANS OUTSTANDING $6,700,000, with a further expansion of about [In thousands of dollars] $3,400,000 in the period ending April 17. Practically all of this increase represents March 31, March 31, advances to agricultural credit corporations, 1926 1925 the Columbia (S. C.) bank alone advancing over $5,000,000 during March. Total, all joint-stock land banks. . 579,457 477,082 Loans based on eligible commodities and 4 T 1 o t l a if l e , - F in e s d u e r r a a n l c l e a n co d m ba p n a k n s ie _ s ... 1 1 , , 5 0 4 2 3 7, , 3 0 6 0 1 0 1, 9 4 5 7 4 4 , , 2 0 6 0 5 0 rediscounts for the different financial institutions for the latest available date in April are AGRICULTURE shown in the accompanying table: Agricultural operations and marketing of INTERMEDIATE CREDIT BANKS early fruit and vegetables in the South were [In thousands of dollars] delayed in March and the early weeks of April by unfavorable weather, and in other sections Apr. 17, Mar. 20, Apr. 18, 1926 1926 1925 reports indicate that spring farm activities were somewhat retarded. Ranges, on the Direct loans outstanding on- other hand, throughout nearly all sections Cotton 23,985 26,479 2,994 Tobacco . 12,874 15, 588 19,434 except in California were in materially better W Ca h n e n a e t d fruits and vegetables 1,3 4 6 1 9 2 1,9 4 1 8 0 9 1,0 2 1 0 9 1 condition at the opening of spring than in Raisins ' 3,600 3,600 4,000 other recent years, and livestock show much Prunes > 1,216 Peanuts 65 84 337 improvement over last year. Reports by the Wool 108 157 Department of Agriculture indicated that the Rice • 978 894 256 Allother _._ 340 432 75 condition of the winter wheat crop improved Total 43,731 49,633 29j 532 considerably between December and April and that the average condition of the crop on April Rediscounts outstanding for— Agricultural credit corporations 27,127 21,390 • 17,841 1 was considerably better than a year ago and National banks 13 34 8 State banks.i .: 452 417 667 the average condition for the past 10 years. Livestock loan companies 12,088 12,046 10,006 On the basis of this improvement in the Savings banks and trust companies 15 65 96 condition of the crop some commercial esti- Total 39,695 33,952 28,618 mates indicate that the yield will be between Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

314 FEDERAL RESERVE BULLETIN" MAY, 1926 547,000,000 and 590,000,000 bushels, as com- From December 1, 1925, the date of the last pared with a final yield of 398,486,000 bushels in condition report, there has been an increase 1925 and 589,632,000 bushels in 1924. in condition of 1.4 points, which is in contrast In March farm prices declined 2 per cent with the usual trend of condition reports, from the level of January and February, and the change in condition between the above the index of 30 commodities prepared by thedates for the last 10 years representing an Department of Agriculture was 7 per cent average decline of 5.7 points. lower than in March of last year. This de- After reaching the highest point of the cline in farm prices since last year reflects season in early January, wheat prices have largely the decline in the prices of grains and maintained a downward trend throughout the cotton. The price of grains declined in March first quarter and reached the lowest level of the to the lowest level since July, 1924, and that year in the first half of April. Since that time of cotton was lower than at any time since there has been a slight recovery and the market March, 1922. Livestock prices averaged 10 per has shown some strength. Exports of wheat cent higher in the first quarter of 1926 than in from this country have been at extremely low 1925, and in March they were near the high levels, and the total supply available for export levels reached in the summer of 1925. Prices in the principal exporting countries, Australia, of fruits and vegetables were higher in theArgentina, Canada, and the United States, first three months of the year than at any time MILLIONS OF BUSHELS -MILLIONS OF BUSHELS PERCENT PER CENT EXPORTS OF WHEAT AND FLOUR 25or— EX30RTS OF AGRICULTURAL PRODUCn-s 250 (JULY 1909-JUNE 191^ = 100 ) 200 A 200 hA\ 4cn-A \ / 100 J / \ V V frfl 50 0 1922-23 1323-24- 1924 -25 1925-'26 since 1920. Farm wages at the beginning of 1921 1922 1923 1924- 1925 1926 April were slightly higher this year than in together with shipments afloat, is estimated to 1925 and 1924, and the supply of farm labor be 40,000,000 to 50,000,000 bushels smaller was somewhat smaller than last year. than a year ago. Total exports of agricultural products, as Corn prices declined to new low levels in measured by the Department of Agriculture's March, but the market displayed some strength index, were in about the same volume in March toward the close of the month as cereal manuas in February, but, due largely to smaller ex- facturers and feeders were active in their ports of cotton and grains, they continued much purchases. The usual seasonal decline in smaller than last year. Foreign takings of marketing restricted receipts to such an extent dairy products and eggs increased about 50 that they were barely sufficient to meet current per cent in March and were 20 per cent larger needs. Further improvement was made in the than last year. Fruits and vegetables, to- corn market during the first two w;eeks of April bacco, and certain pork products were exported as receipts continued light and demand was in slightly larger volume than in March, 1925, actively maintained. The quality of the corn marketed during April is reported to be much Grains. improved, although considerable high-moisture The condition of the winter-wheat crop as of corn is still in evidence. April 1 is reported by the Department of An active demand was maintained for oats Agriculture at 84.1 per cent of a normal, during March and, although prices declined compared with 68.7 on April 1, 1925, and 79.2, along with the other grains, prices have held the average condition for the last 10 years. generally firm. Receipts of oats at the princi- Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAY, 1926 FEDERAL RESERVE BULLETIN 315 pal markets during the first quarter have been a comparison of exports this year with those of t>elow those of last year and at several markets, last year are shown in the chart. recently, the demand has exceeded current As a result of the large crop in 1925 and the receipts. Although stocks are considerably subsequent decline in takings and exports, larger than normal they are being reduced at a total stocks at mills and public warehouses rapid rate. Export trade has been active and a and compresses at the end of March were the €onsiderable movement from the lake ports is largest for that date since 1922, but the larger expected with the opening of navigation. The part of the increase was in stocks at warenew crop in the Southwest is reported to be houses and compresses. Stocks on March 31 making favorable progress, and it is expected since 1922 are as follows: that harvesting will start in southern Texas during the last of May. STOCKS OF COTTON The estimated exportable surplus of Argen- [Bales] tine flaxseed has been placed at 47,164,000 bushels, which is approximately 50 per cent March 31 Mills Warehouses Total greater than the estimated surplus of last year. Prices in this country during 1926 have 1 1 9 0 2 2 3 2 . . 2 1 , ,5 0 5 3 7 4 , , 0 0 0 0 0 0 3 2 , , 7 3 5 8 2 0 , , 0 0 0 0 0 0 4 5 , , 4 3 1 0 4 9 , ,0 0 0 0 0 0 worked to a lower level, No. 1 flaxseed reaching 3924. 1,504,000 2,001,000 3,505,000 1925. 1,635; 000 2,025,000 3,660,000 $2.24 at Minneapolis in early March. At the 1926. 1,768,000 4,163,000 5,931,000 close of the month, however, the price had advanced to $2.31. Cotton In the late winter and early spring months rainfall throughout the cotton-growing States resulted in considerable subsoil moisture, but the continued cold weather and frequent rains delayed preparations and plantings in the late weeks in March and early weeks of April in the greater portion of the belt. The season is generally later than last year. Early plantings in sections of Florida were retarded by cold weather early in April and much replant- 50 ing is necessary. In southern Texas, on the other hand, the stand of early planting cotton was generally good and cultivation satisfactory up to the middle of April. Reports from 1922-'23 1923-'24- 1924-25 1925-26 nearly all cotton-growing States indicate that In March and the early weeks of April efforts are being made to increase the acreage prices of raw cotton fluctuated within narrow of food and feed crops and to reduce the acre- Jimits, but they averaged lower than at any age planted to cotton, but it is yet too early time since early in 1922. A larger proportion to ascertain the extent to which a reduction of the cotton remaining in the South is of in cotton acreage will actually be made. lower grade than ordinarily, and the price Since January takings of American cotton differences for the lower grades are generally by domestic and foreign spinners has been the widest since 1921 and in some cases since smaller each week than in the corresponding 1920. weeks of last year, and at the end of March total takings for the season were only 4 per Tobacco. cent larger than last year. This falling off in Practically all of the tobacco markets open takings since the beginning of the year is at the beginning of March were closed during significant when considered in relation to the the month or early in April. The crop that fact that in the autumn months takings were was sold by producers in March and April was considerably larger than in the preceding year, generally of a very low grade, as is usually the and up to the first of January they were case at the end of the season, and prices for about 20 per cent larger than the year before. nearly all types were lower than last year. Exports declined again in March, and for the Preparations are being made for planting the season through March they were 6 per cent new crop, but weather conditions so far have less than a year ago. Changes in the monthly somewhat delayed operations. In sections of volume of cotton exported in recent years and the burley tobacco ' district of Kentucky Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

316 FEDERAL RESERVE BULLETIN MAY., 1926 reports indicate a disposition to curtail acreage, 44 per cent heavier than a year ago. Demand, but in the dark-fired and air-cured tobacco both domestic and export, has exceeded that of sections in that State the possibility of growing last year, but has not been sufficiently large to burley is being considered. Exports of leaf eliminate the excess stocks. tobacco since the beginning of the marketing Garden and truck crops in the Southern season last summer have been larger each States have been handicapped by weather that month, except October, than in the preceding has been generally too cool and wet. Reduced year, and for the entire period, nine months, domestic supplies have been augmented by they were 24 per cent greater than in the imports, the March figures being about double corresponding period of last season. Com- those of a year ago. The imports were mainly pared with the corresponding period in other tomatoes and peppers from Mexico and Cuba recent years, exports this year were larger than and onions from Spain and Egypt. Increases in 1923, 1922, and 1921, but were smaller than in the prices of potatoes, onions, tomatoes, and in 1920 and 1924. sweet potatoes took place during March, and In the tobacco-manufacturing industry pro- vegetables as a whole continue to sell at a duction in the first quarter of 1926 was larger higher level than a year ago. than in 1925 for large cigars, cigarettes, and In eastern markets, potatoes have been manufactured tobacco products, but the out- quoted at $5 to $6 per 100 pounds, and the put of small cigars was considerably less than higher prices have brought out a fairly liberal a year earlier. In January and February the supply for this time of the year. A considoutput of cigars was much smaller than in erable amount of low-grade stock has increased the first two months of last year, but in March the supply to such an extent that the car-lot activity in all branches of the industry was movement, despite the short crop, does not maintained at a higher level than in 1925, and show a great reduction below the figures of for the first time in recent months the produc- 230,000 cars a year ago. The movement of new tion of cigars exceeded that of the year before. potatoes from Florida and Texas is late in getting under way, but is now moving in fair Fruits and vegetables. volume. Marketings of fruits and vegetables during the first quarter of 1926 have been in lower Livestock. volume than in the corresponding period a year Range conditions are reported by theago. Shorter crops of certain products, partic- Department of Agriqulture as being better ularly potatoes and cabbage, have contributed than the average, with the exception of Calito the restricted movement. Shipments of fornia, but conditions there were improved by southern vegetables have been in smaller rains during early April. In the Southwest, volume as a result of the unseasonable weather the ranges are the best in . years and there iswhich has delayed the progress of croj>s and sufficient moisture to provide later feed. The* reduced the output. With the exception of condition of the ranges is reported at 91 per apples, practically all the more important cent on April 1, as compared with 90 per fruits and vegetables have sold at prices equal cent a month previous and 80 per cent on-, to or higher than those realized in the first April 1, 1925, quarter of 1925. Cattle and sheep came through the winter Citrus fruits in both Florida and California with very light losses and are reported to be are reported to be making satisfactory progress. in generally good condition. The Department, Southern peach orchards, however, were dam- of Agriculture reports the condition of cattle* aged by the March freeze and crop prospects as 93 per cent and sheep as 98 per cent, comhave been somewhat impaired. Reports of pared with 84 and 91 per cent, respectively, on frost damage to the fruit crop are of more or April 1, 1925. Available reports as to lambing less localized nature, many sections, such as are very favorable and a good crop is indicated. the commercial peach area in North Carolina, Demand for stockers and breeding stock is rereporting excellent prospects. In the Ozark ported to be the best in recent years, indicating- Mountain region of northern Arkansas and that there is some movement to increase herds. southern Missouri some damage to early fruit During the first quarter of 1926 the movehas been reported. ment of cattle to feed lots was at approxi- The situation in the apple market remains mately the same rate as in 1925. The Dedistinctly unfavorable, as the heavy supplies partment of Agriculture estimates that thecontinue to be a dominant factor in the situa- number of cattle on feed in the Corn Belt tion, combined storage stocks on April 1 being States on April 1, 1926, was practically the*. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAY, 1926 FEDEKAI, BESERVE BULLETIN 317 same as a year ago. As to the months of AVERAGE PRICES OP LIVESTOCK marketing, intentions reported by feeders indi- [Per hundred pounds at Chicago] cate that a larger percentage will be marketed in April and May as compared with reported Months of— intentions of last year. Week ended Receipts of cattle and calves at the principal Apr. 10, March, Febru- March, markets during the first three months of the 1926 1926 ary, 1926 1925 year were in approximately the same amount as in the corresponding period in 1925. Re- Native beef steers (average).. $9.45 $9.60 $9.65 $10.25 Fat cows and heifers 6.70 7.20 6.60 6.65 ceipts of hogs, on the other hand, were about Hogs (bulk of sales) 12.05 12.05 12.35 13.55 Yearling sheep . 10.00 9.90 11.65 13.50 20 per cent less, although receipts for the cur- Lambs (average).^ - 12.80 13.15 13.50 16.20 rent March displayed a very slight increase over the same month a year ago. An increase Dairy products. of slightly more than 8 per cent took place in shipments of sheep during the current first The output of dairy products during the quarter as compared with last year. first quarter of 1926 was maintained in a Average prices on native beef steers at the volume approximately 10 to 12 per cent Chicago market were about the same as in higher than in the corresponding period a February, but approximately 65 cents per hun- year ago. During the first two months dred under March, 1925. Values declined to dairymen received relatively high prices for the lowest level of the year in early April. their product and feed costs were low, com- Fat cows and heifers averaged 60 cents higher pared with 1925. March prices of the current during March as compared with the preceding year/however, were below those of a year ago, month, but this gain was practically eliminated and the same disparity was in evidence during in the lower market of April. Grass-fed cattle the first half of April, butter and cheese from the Southwest made their appearance in stocks continuing to be in excess of the usual the market, and a heavy supply of discarded holdings for this season. dairy cows has offered considerable competi- With a seasonal decline that was greater tion to the general run of average-grade cattle. than usual, butter prices decreased approx- Demand for stockers was stimulated by the imately 5 cents a pound during March, reaching lower level of prices, and heavy shipments are the lowest March level since 1922. A further anticipated as pastures become available in reduction of 3 cents also took place during the the Central States. first half of April. Storage holdings on April 1 Marketing of heavy-weight hogs during were 17,390,000 pounds, as compared with March increased, with average prices slightly 10,875,000 pounds a year previous. The lower than in the preceding month. March reduction iln stocks during the month of prices were $1.50 under those of a year ago. March was only 9,000,000 pounds, as against Receipts at the principal marketing centers 18,000,000 pounds for the same month in 1925. during the month totaled 3,579,000 head, as Strength in foreign butter markets has elimicompared with 3,528,000 head for the corre- nated imports as a material factor, and the sponding period a year ago. March receipts continued heavy production and slow out-ofshow an increase over February of approxi- storage movement were apparently the domimately 200,000 head. nating elements in the price situation. Average lamb prices in March were below Receipts of cheese at primary markets in those of February and a further decline took Wisconsin from January 1, 1926, through the place in April, average prices for the week end- week ending April 10 were about 12 per cent ing April 10 being $12.80 at the Chicago mar- above those of the corresponding period in ket. The level of prices is more than $3 below 1925. Storage stocks in the United States that of the corresponding period of 1925. The totaled 38,026,000 pounds on April 1, as movement from Colorado and Nebraska feed compared with 27,716,000 on the same date lots has practically been completed, and re- a year ago. The reduction in stocks for the turns to the feeders, on the whole, were not current March were only 4,561,000 pounds, as considered satisfactory. compared with a reduction of 6,931,000 during The average prices of livestock at the Chi- the same month in 1925. Prices declined cago market for March, with comparisons, is approximately 2 cents a pound during March, reported by the Chicago Federal Reserve Bank and quotations were an additional cent lower as follows: in the week ending April 17. 94033—26 3 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

318 FEDERAL RESERVE BULLETIN" MAY, 1926 MINING the highest since May, 1923. Output of byproduct was 3,777,000 tons, the second highest Mining output increased in March and was on record, in contrast to production of beehive greater than in that month of any recent year. which totaled 1,158,000 tons, the lowest since Large production of anthracite, copper, zinc, October, 1925. During the first part of and lead offset a reduction in the output of April, output of beehive continued to decline, bituminous coal. Daily average crude petroproduction for the week ending April 10 being leum production was larger than in any month 231,000 net tons, as compared with 262,000 since December. Anthracite mines were in tons four weeks earlier and 212,000 tons during complete operation during March for the first the corresponding week in April, 1925. Quotime since last August. Weekly figures for April tations for coke receded further during the indicate further seasonal declines in the properiod, Connellsville coke being quoted at duction of bituminous coal at a level higher $3 on April 13, as compared with $3.25 on than in 1924 and 1925, but below that of 1923. March 16 and $3.10 on April 14, 1925. Anthracite output, however, in the week of April 17 was larger than in any week since the Petroleum. resumption of operations in February. In the first two months of 1926 production of crude petroleum declined from the levels Coal and coke. of the autumn months, but near the end of The advent of warmer weather, together February the output began to increase, and with the resumption of full-time operations in in nearly every week in March and. the first the anthracite fields, have reacted on the part of April the daily average output increased. market for bituminous coal and coke, and both Total production, however, for the first three prices and production have shown the usual months was about the same as last year— spring recession. During the latter part of January and February were larger but March March and the first half of April, however, was less. Stocks of petroleum east of Calithe seasonal recession was more marked in fornia were reduced again in March, and at prices than in output. On April 12 the Coal the end of the month they were 7 per cent Age Index of spot prices for bituminous coal smaller than a year ago. In January, Febhad declined to $1.91, a new postwar low. ruary, and early in March prices of crude Production of bituminous during March was petroleum advanced gradually, but late in 46,137,000 net tons, the lowest since last March and the first three weeks of April they August just before the cessation in anthracite, remained unchanged at $2,048 per barrel, the but 23 per cent above March, 1925, and 12 Oil, Paint, and Drug Reporter's average price per cent above March, 1924. During the first for 10 fields. part of April output continued to recede, but Production of petroleum products was less remained well above the levels of the two pre- in February than in January, but the output ceding years. During the week ending April of all products except kerosene continued 10 average production per working day was larger than a year earlier. Gasoline production 1,571,000 net tons, as compared with 1,782,000 continued to exceed all records for the corfour weeks earlier and 1,307,000 net tons during responding months in previous years, and the corresponding week in April, 1925. Total stocks are likewise increasing. These heavy 1926 output of bituminous to April 10 amount- stocks, however, are not an unfavorable factor ed to 159,747,000 net tons, the largest for the when they are considered in relation to concorresponding periods of any year since the sumption. The total supply of 1,858,659,000 war. gallons on hand at the end of February was Production of anthracite was high during equal to 75 days7 consumption at the present March, total output of 8,790,000 net tons rate, which is relatively lower than the supbeing the largest monthly production since ply of 1,618,891,000 gallons a year earlier, August, 1925, the month preceding the strike, which was equal to consumption lor 79 days. and above any preceding month since March, Gasoline prices at refineries advanced each 1923. With demand active, the usual April week from the middle of March until the reduction in price did not take place this year. week ending April 1.0, when they were at a level Total production of coke amounted to higher than for any previous week this year. 4,935,000 short tons during March, except Service-station mi6es advanced in the first for December and January, when the demand and second weeikk of April, biit for th6 week for anthracite substitutes was at a peak, ending April 17 they remained unchanged at Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAY, 1926 FEDERAL KESEEVE 319 22.32 cents a gallon, according to the Oil, stood in March at 112 (1923-25 average Paint, and Drug Reporter's average price for equaling 100), as compared with previous service stations in 10 sections of the United records of 111 in February, 110 last October, States. and 110 in April, 1923. The chart on page 306 shows a combination of this index with a Nonferrous metals. similarly computed index of mineral produc- Production of nonferrous metals continued tion. Complete statistics and a description high during March, while prices showed a of these indexes will appear in a forthcoming tendency toward somewhat lower levels. Dur- issue of the BULLETIN. The index of manuing the latter half of March and the first week facturing previously published and shown in of April quotations for refined electrolytic this issue on page 336 equaled the high record copper delivered in New York receded from attained last October. Production of steel 14j^ to 13% cents, but subsequently reacted ingots, and newsprint and the mill consumpto 14 cents. Production of copper in the tion of cotton was larger than in any previous United States during March reached 150,- month, and automobile output was exceeded 900,000 pounds, about the same daily rate as only during last October* Other increases in February but, due to the longer month, a were noted in the production of pig iron, new monthly high. Shipments both on do- lumber, cement, and flour, and in the number mestic account and for export were high during of animals slaughtered. Prices of many basic the month, and stocks showed a material manufactured products have been weak in decline at the end. March output of both the past two months and several declines have lead and zinc in the United States was about occurred. 6 per cent in excess of March, 1925, and in both cases the second highest total reached. Food products. Shipments of slab zinc from refineries, which The output of flour for the first quarter of reached a new high during the month, were 1926 was approximately 10 per cent under the in about the same volume as production, with production for that period a year ago. March the result that stocks on hand on March 31 production figures, however, show an increase remained virtually unchanged at 20,561 tons. over the preceding .month, and the production Prices for both lead and zinc continued to for both March and the first half of April in decline during the latter part of March and practically all the important milling centers, the first half of April to the lowest levels since with the exception of those on the Pacific July, 1925, lead being quoted at 8 cents in coast, was maintained at a higher level than New York on April 14 as compared with 8J^ for the corresponding period last year. Activcents four weeks earlier, while zinc in St. ity in the Pacific coast mills, which has been at Louis reacted ivom 7%-7}^ to 1% cents a low ebb during 1926, showed some improveduring the same period. ment during the last week in March and first With continued selling from China and little half of April. demand elsewhere, quotations for bar silver The flour trade has been marked by a dull in New York fell from 66 cents on March 17 and listless market, with buyers purchasing to 64% cents on April 14. This is the lowest only for current needs. The export trade in siiice early in 1924 and 8M cents under the 1926, which has been at the lowest level in recent September high. With the exception years, is still inactive, although some European of January* March deliveries of tin to the buying was reported in the first week of April, United States were the largest since March, the first active inquiry from this source in 1925, but stocks in New York showed a decline some time. at the end of the month. Quotations for Stocks of meat on hand April 1 were below Straits tin were 64 cents on April 14, in those of a year ago and below those of the fivecontrast to 66 cents four weeks earlier, the year average. Moldings of pork products were highest since August, 1919. particularly low, lard stocks totaling 93,067,000 pounds, as compared with 150,182,000 pounds MANUFACTURING on April 1, 1925. Exports of meat products Output of manufactures as a whole in March during the first quarter were below those of was greater than in any previous month. A the same period last year, with the exception new index of manufacturing production, com- of lard, which shows a slight increase. For piled by the Federal Reserve Board, based the month of Marqh, stocks of beef, lamb, and upon daily averages of monthly statistics but miscellaneous meats declined, while holdings of otherwise unadjusted for seasonal variations, pork and lard increased. The Chicago Fed- Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

320 FEDERAL RESERVE BULLETIN MAY, 1926 era! Reserve Bank reports that the total value Activity of woolen spindles increased in of March sales billed to domestic and foreign March as compared with February, but daily customers by 37 meat-packing companies in average consumption of raw wool, the perthe United States were 1.1 per cent below Feb- centage of active loom and worsted spindle ruary totals and 1.6 per cent larger than for hours to total hours, and factory employment March of 1925. and pay rolls indicated lessened production during March in the woolen and worsted The current season's sugar production is estiindustry. Buying of both raw wool and of mated by the Department of Agriculture at woolen products continued in small volume and 4.3 per cent larger than the 26,496,000 short prices declined further. The Fairchild indexes tons actually harvested in 1924-25. Most of of prices of raw wool, of tops, and of worsted the increase occurred in the cane-sugar proyarns were at the lowest levels since 1922. ducing countries, according to their statement. The indexes of woolen and worsted goods— The current crop, which is the largest on record, all-year numbers—declined in January, but has been accompanied by a very low level of have since remained unchanged. The Fairprices. The extreme low was reached in child raw wool survey indicates a clip for 1926 March, and since the announced intention of of 260,791,000 pounds, as compared with the the Cuban Government to curtail production Department of Agriculture's estimate for 1925 there has been a gain, refiners quoting the price of 254,260,000 pounds. This survey also at 5.25 to 5,60 cents, less 2 per cent for cash, on indicates that a much smaller proportion of the April 16. Meltings of 497,912 long tons durdomestic clip had been contracted for on ing March were greater than the preceding February 15 this year than on the same date month, but less than March of last year. last year. Imports of raw wool in March Stocks at the end of the month were also totaled 48,000,000 pounds, the largest for any larger, amounting to 290,061 long tons on month since April, 1923. Sales of men's March 31, as compared with 178,803 at the clothing by wholesalers in the New York end of the previous month. Federal reserve district were seasonally larger Textiles. in March than in February and in about the same volume as a year ago. Stocks at the end In the textile industries manufacturing of the month, however, were 14 per cent activity was fairly well sustained during March, greater than on the same date last year. Sales according to statistics of raw material con- of women's clothing, although much larger than sumption, active machines, and employment in February, were considerably smaller than in and pay rolls, although prices were declining March of last year. and buying was limited in volume, Evidently Volume of buying in the silk industry, which production was maintained to supply orders early in the year receded from the great previously received as well as purchases for activity of last fall, continued relatively limited immediate delivery. Reports for April indicate during March and April. Prices were weak continued slackness in demand and some and manufacturing operations were reduced. curtailment of operations, together with further Takings of raw silk by American mills in March price reductions. were smaller than in any month since last May. Cotton consumption in March was the They apparently exceeded imports, however, largest for any month on record, and the which were tne smallest in a year, and number of active spindle hours was greater stocks were considerably reduced. The raw than for any month since early 1923. Con- silk market has been weak and quotations sumption and active spindle hours were greater fell in April below the lowest point of 1925. than in 1924 and 1925, both in the New The Fairchild index of silk goods prices fell England and in the Southern States, but only from 132.05 on March 1 to 127.41 on April 1 the southern mills showed increases as com- This average, however, still exceeds that of pared with the spring months of 1923. Prices April 1,1925—123.61. of cotton goods and yarns during March and Demand for women's full-fashioned silk April slowly continued the decline which has hosiery has continued fairly large, but, in line been in process almost without interruption with declines in raw material costs, several since October, and reached the lowest levels manufacturers have reduced quotations on since the early part of 1922. Finishers of silk hosiery effective July 1. Preliminary cotton fabrics reported larger production, March statistics for the Philadelphia and orders, and shipments in March than in any Atlanta Federal reserve districts indicate inmonth since 1923. creases in production and shipments as com- Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAY, 1926 FEDEEAL EESEEVE BUIiLETIN 321 pared with February. Unfilled orders for and a confirmatory decrease in the unfilled women's full-fashioned hosiery increased con- orders of the United States Steel Corporation, siderably, but for other lines unfilled orders the volume of steel production has been mainwere reduced by an excess of shipments over tained at remarkably high levels. The accomnew orders. The underwear market was panying chart shows, by months since 1917, the seasonally dull during early April, with ship- movement of steel-ingot production and of the ments of light-weight lines waiting for warmer unfilled orders of the United States Steel Corweather and buying of winter wear inactive. poration. The general level of unfilled orders February production for 150 firms reporting to has declined gradually during years of sharp the Bureau of the Census was well sustained, up-and-down movements, and since the latter but unfilled orders, which showed a steady in- jjart of 1923 has apparently become estabcrease for several months until January, and lished on a considerably lower basis than in likewise new orders and shipments, declined. preceding years. During this decline in th© volume of unfilled orders production of steel Iron and steel. has increased. This seems to indicate a shift in Activity in the iron and steel industry was the manner of buying from the custom of sustained at high levels during March. The placing large advance orders to that of purproduction of steel ingots in that month totaled chasing for almost immediate delivery, and evidently a large volume of business has been MILLIONS OF TONS transacted upon the latter basis. Automobiles. Production of automobiles in March was larger than in any month on record, with the exception of last October/ Trade reports indicate that sales of cars in March were in record volume for that month. They did not, however, according to these unofficial reports, equal production, and stocks were consequently THOUSANDS OF CARS THOUSANDS OF CARS 5QD 500 1917 !9T8 1919 1920 1921 1922 1923 1924 1925 1926 Unfilled orders of the United States Steel Corporation and production of steel ingots. more than in any month on record and the output of pig iron was the largest since March, 1925. Ten more blast furnaces were in operation, according to Iron Age, on April 1 than on March 1, As compared with April 1, 1925, furnaces in blast this year were fewer in num- 1924 Monthly production in United States and Canada ber but larger in capacity. Prices of steel have been firm, and the Iron Age composite price increased. Dealers reporting to the Chicago of steel products advanced slightly the last Federal Keserve Bank showed increases in sales week in March. Prices of pig iron and of iron of both new and used cars as compared with and steel scrap, on the other hand, have de- February and with March, 1925. Stocks, clined recently, the Iron Age pig-iron index for however, were much larger than a year ago, April 20 being 20.46, as compared with 21.38 the increases being for distributors 48 per cent a month earlier, and 21.54 two months earlier. and for retailers 82 per cent. Stocks were Current trade reports indicate some recession considered rather small a year ago, however, in the volume of buying and curtailment of and comparisons with March 31, 1924, when manufacturing operations since April 1. they were large, show a decrease in the com- For several months, in face of reports of bined stocks of 17 per cent. Weekly statistics slackened demand for iron and steel products of employment in Detroit factories, largely Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

322 FEBEBAIi RESERVE BULLETIN" MAY, 1926 automobile producers, declined continuously were also increased, whereas tanners' finished from March 9 to April 20, but continued stocks were further reduced to a new low level. larger than at any time prior to last October. February figures, the latest available, for upper Exports of automobiles in March totaled leather show decreases in production as com- 33,921 cars, tHe largest for any month on record. pared with January and with last year, except Production of pneumatic rubber tires in- in the case of goat and kid leather; stocks m creased in March and was larger than in any process increased during the month and total month since August. The output of inner finished stocks for cattle and sheep leather tubes increased to a less extent. Shipments decreased and for goat and kid and calf leather continued much smaller than production, and increased as compared with January 31, and stocks were further enlarged to new high with a year previous. records. Crude rubber prices, after an advance Boot and shoe production showed a seasonal early in March, declined in the latter part of increase in March, and preliminary figures March and April, falling below 50 cents a indicate a volume of output somewhat smaller pound for the first time in nearly a year. Im- than in March, 1925, but larger than in the ports of rubber equaled 94,421,359 pounds in same month of 1924. For the first quarter March, as compared with 94,985,456 pounds output was somewhat less than in the first in January, the largest for any month on quarter of any year since 1922. Sales of shoes record. by wholesale firms, on the other hand, were larger in March and in the first quarter than in Lumber. the corresponding periods of either 1924 or In comparison with production in the corre- 1925. sponding month of last year, lumber produc- BUILDING tion this year in March was in somewhat smaller volume and lumber shipments in some- Building and engineering contracts awarded what larger volume. In March, as in February in March in 11 Federal reserve districts comand January, according to compilations of the prising 37 States east of the Rocky Mountains National Lumber Manufacturers Association, and covering 91 per cent of construction activishipments of softwoods exceeded production, ties in the country as a whole, according to and in each of these months production of compilations by the F. W. Dodge Corporation, hardwoods exceeded shipments. Consistently represented an aggregate cost value of with these figures unsold stocks of softwoods $598,000,000, the excess over March awards at mills as reported to this association tended last year amounting to $107,000,000, or 22 per to accumulate during the first quarter of 1926, cent. Of this increase $71,000,000 was conand stocks of hardwoods to fall off. Ship- tributed by the New York district. Tl^e net ments of Douglas fir in March, as reported by increase of $36,000,000 shown for the 10 remainmills to the West Coast Lumbermen's Associa- ing districts covered small decreases over the tion, were in nearly the same volume this year year in the Philadelphia, Cleveland, Richmond, as last, and somewhat in excess of production, and Kansas City districts, substantial increases while shipments of southern pine, as reported in the Atlanta and Dallas districts, and relafor March by mills to the Southern Pine tively small increases in the Boston, Chicago, Association, were in smaller volume this year St. Louis, and Minneapolis districts. Generally than last, and were below production this year large increases over February, partly seasonal as in March of 1925. and partly accounted for by the larger number of working days in March, are shown for the Hides, leather, and shoes. several districts, excepting the Atlanta district, in which the aggregate value of contracts Hide and leather markets during March and awarded in March ($61,081,000) was somewhat most of April continued inactive, with volume below that for February ($63,559,000), although of trading limited. A little activity was noted largely in excess of the valuation of awards in in packer-hide markets during the third week March of last year ($34,274,000) of April, and some prices rose slightly. Prices of hides, however, had fallen irregularly since Residential contracts awarded in March in l&st August to the lowest point since the middle the 11 districts represented an aggregate value of 1924. Leather prices have remained com- of $263,000,000, the increase over March of paratively steady since early last fall. Produc- last year amounting to 15.7 per cent, and over tion of sole leather increased in March and was February of this year to 46.9 per cent. Over the largest since October; stocks in process March of last year the net increase for the 11 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAY, 1926 FEDERAL KESEBVE BUHLETIN 323 districts, amounting to $35,715,000, covered amounted to 219,000 cars, or 5 per cent. On an increase for the New York district of a 1919 base as 100, the board's seasonally $36,902,000 and a net decrease of $1,187,000 adjusted index for totaV car loadings remained for the 10 remaining districts. In seven of practically unchanged at the level of the prethese districts awards of residential contracts ceding month, shifting only from 126.9 in represented a smaller aggregate construction February to 126.4 in March. These figures value this year than last, increases being shown indicate that with allowance made for seasonal for the Atlanta, Minneapolis, and Dallas variation freight distribution was continuing v districts. during these months on a level above that of It may be noted that awards in March of any earlier month excepting December and this jrear represented on the average a con- April of last year and May of 1923. ^In the struction value per award considerably above opening weeks of April, loadings this year the corresponding average value for March of continued to run above 1925 and for the year last year, the average being $38,225 this year to April 17 exceeded last year's loadings by a as compared with $31,981 last year for all narrow margin of some 280,000 cars, or 2 classes of contracts combined, and for residen- per cent. tial contracts $22,433 as compared with $19,369. Nearly two-thirds (64 per cent) of total The valuation of "contemplated projects" loadings in March represented miscellaneous reported in March to the F. W. Dodge Corpo- and less-than-carload shipments, covering prinration aggregated $1,029,000,000, being largely cipally the distribution of manufactured prodin excess of the corresponding figure ($789,- ucts. Although the proportion fer this class 000,000) for March of last year. of freight was somewhat below the corre- Estimated cost valuation represented by sponding proportion (65.6 per cent) for March permits issued in 168 cities in March exceeded of 1925 it was above that for March of any the valuation of permits issued in February earlier year, the proportion for these earlier by 59.7 per cent, and exceeded the valuation years being 62.7 per cent for 1924, 60.6 per of permits issued by these same cities last cent for 1923, 59.7 per cent for 1922, 63.5 per year in March by 4.5 per cent. Net increases cent for 1921, and 60 per cent for 1920, and over the year are shown for the cities of seven in March of this year more cars were loaded Federal reserve districts and net decreases for with miscellaneous freight than were loaded the cities of five districts. March reports of with such freight in the corresponding month permit valuations to the Dodge Corporation of any earlier year of the period. March from the building departments of 207 cities loadings of grain and grain products this year, show over-the-year gams for 86 of these cities, of coal, of coke, and of livestock exceeded and losses for 121 cities, the aggregate value loadings in 1925 and, excepting livestock, ran of permits issued by this group oi cities as a above 1924, loadings of ore and of forest whole being 8 per cent greater this year than products being in somewhat smaller volume last. this year than in March of either 1925 or 1924. The New York Federal Reserve Bank's Geographically the increase over 1925 has been index for cost of building shifted from 196 in widely distributed, each of the seven trans- February to 195 in March, covering a decrease portation districts showing an excess over 1925 in both the building materials index (from 177 for March loadings, and, with the exception of to 176) and in the index for wage cost of labor the northwestern district, an excess, generally in construction industries (from 224 to 223). by a narrow margin, for the first quarter of In March the Bureau of Labor Statistics the year. wholesale price index for building materials In March the roads maintained an average declined from 177.1 in February to 175.5, the surplus of 215,000 cars (including 87,000 box corresponding figure for March of last year cars and 82,000 coalc ars), the surplus increasbeing 179.8. ing in the first half of April to 284,000 cars. TRANSPORTATION Of freight cars and of locomotives, the propor- Car loadings in March exceeded March tion in serviceable condition on April 1 (93 loadings for any earlier year of the seven-year per cent of cars and 83.7 per cent of locomoperiod covered by the Federal Reserve Board's tives), was above the proportion on this date compilations. Over last year's March load- a year ago (91.8 and 81.9 j>er cent) and above ings the excess amounted to 331,000 cars, or the five-year average for this date as computed 8 per cent in a total of 4,341,000 cars loaded, by the Bureau of Railway Economics. and over the previous high record for the Total operating revenues of Class I railways month—that for March, 1923—the excess in February exceeded revenues in February of Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

324 FEDERAL, EESEBVE BUI^LETIN" MAY, 1926 last year by a margin of $5,018,751, or 1.1 per Value of stocks of principal lines of mercent, and operating expenses for the month chandise carried by wholesale dealers, except were greater this year than last by nearly the groceries and shoes, increased slightly in March same amount, $4,904,567 or 1.4 per cent, giving and were larger at the end of the month than an inconsiderable excess for net operating at the end of February. Compared with revenue for the month, this year over last, March a year ago inventories were generally of only $114,184, or 0.1 per cent in a total smaller, except for groceries and drugs. Renet revenue this year of $99,613,841. The ports received from firms in several districts operating ratio or percentage of expenses to indicate that accounts receivable outstanding revenues was-78.35 per cent in Feruary of this at wholesale firms at the end of March were year, as compared with 78.14 per cent in Feb- larger for all lines than at the end of February ruary of 1925. For the two months ended and were somewhat larger than a year earlier. February 28 the rate of return, as computed by the Bureau of Railway Economics, on the Retail trade. book investment of carriers was equivalent to Retail trade in the first quarter of 1926 was 4.60 per cent on an annual basis, the corres- larger than in the first three months of 1925, ponding figure for 1925 being 4.77 per cent. Department-store sales were 5 per cent larger Carriers in the eastern district were earning in than in the first quarter of 1925, and increases this period at a lower rate this year than last occurred in-all.Federal reserve districts except (4.95 as compared with 5.46 per cent), carriers the Minneapolis district. Sales of mail-order in the southern district at a somewhat higher houses were 7 per cent larger, and buying at rate this year (5.97 as compared with 5.75 per all reporting chain stores also exceeded that of cent), and carriers in the western district at last year. Inventories at department stores nearly the same rate in both years (3.72 as were slightly larger than in the first quarter of compared with 3.70 per cent). 1925, but a relatively larger increase in sales resulted in a slightly higher rate of stock turn- TRADE Wholesale trade. over at these stores than in the first three months of 1925. Sales of wholesale firms were in about the same volume in the first quarter of 1926 as in For the month of March sales of department the corresponding period of last year, accord- stores reflected the seasonal expansion in spring ing to reports from all sections of the country trade, but the increase was not as large as that received by the Federal reserve system. Sales which usually occurs between February and of meat, shoes, and drugs were slightly larger, March. Compared with March of last year, while those of groceries, dry goods, and hard- sales of department stores were about 7 per cent ware showed small declines. Stocks of all larger and those of mail-order houses increased leading lines of merchandise, except groceries 9 per cent. Increases in sales in March this and drugs, carried by the reporting firms year as compared with the corresponding month averaged smaller during the quarter than in in 1925 were due in part to the earlier Easter 1925, trading season and to the one more business For the month of March total sales in day in March this year. Weather conditions, nearly all lines were seasonally larger than on the other hand, were generally unfavorable for February. Trade was stimulated by the for sales of certain seasonal merchandise. The early Easter season, but in many sections of increase in department-store sales over March, the country, weather conditions were unfavor- 1925, was general for all sections of the country able to the spring sales of some lines, espe- except the Minneapolis and Kansas City discially dry goods. Grocery and drug sales tricts, where they were about the same as a were larger in all Federal reserve districts year ago. from which reports were received and sales of Stocks of department stores increased in shoes and hardware were also generally larger. March in response to the growth in sales and When compared with March of last year averaged at the end of the month 2 per cent sales of groceries, meats, shoes, and drugs were larger than in March, 1925. Stocks were larger, but sales of dry goods and hardware larger than in 1925 in eight Federal reserve were smaller. The most substantial improve- districts and smaller in four. Larger stocks in ment was in the sales of shoes, which were the first three months this year than in 1925 larger in all Federal reserve districts except the were accompanied by a relatively greater in- St. Louis and San Francisco districts, but the crease in sales, and the average rate at which largest increases were in the Richmond and stocks were turned over was higher than in Atlanta districts. the corresponding period a year ago. Stocks Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAY, 1926 FEDERAL. RESERVE BULLETIN 325 were sold and replenished at a faster rate than The declines of March carried the general in the previous year in all Federal reserve index more than 2 per cent below the lowest districts except in the New York and Minne- figure of last year, reached in May. In comapolis districts, where the rate of turnover was parison with that month the principal price slightly slower. declines were in farm products, cloths and EMPLOYMENT clothing, and in house furnishings. Fuel prices increased during the year, while the other prin- Factory employment continued in March at cipal groups show only minor net changes. practically the same level as in February, Since last August the index has gradually while pay rolls increased slightly. The Federal declined with but little interruption, the net Reserve Board's index of factory pay rolls, decline over the seven months amounting to based upon figures of the Bureau of Labor about 5.5 per cent. The greater part of this Statistics, reached the highest point since decline has been due to wide movements of a March, 1924. Among the various industries small number of commodities, mostly in the changes in the volume of employment were farm products group and the allied groups repsmall, the largest increases occurring in the resenting food and textiles. Since last August glass, women's clothing, automobile, and bakfarm-products have declined about 12 per cent ing industries, with the greatest decreases in and cloth and clothing about 5 per cent. Fuels slaughtering and meat packing, confectionery, and building materials, however, are higher in silk, and woolen and worsted goods. Pay-roll price than last August, metals are about the increases were greatest in cigars and cigarettes, same, chemicals and house furnishings are book and job printing, ice cream, and certain slightly lower, while miscellaneous goods are building materials industries. As compared considerably lower, largely because of reduced with March, 1925, employment showed an prices on rubber. increase of about 1 per cent and pay rolls of 2.6 In April wholesale prices were at about the per cent, reflecting increases in the automobile, same level as in March, or slightly lower. machinery, printing, glass, and nonferrous Farm products and foods advanced, with somemetals industries, which more than offset dewhat high prices for wheat, cattle, hogs, potaclines in textiles, lumber, food products, and toes, and sugar, while cloths and clothing, boots and shoes. metals, and miscellaneous commodities de- By sections of the country, pay rolls increased clined. Pig iron, silk, and rubber were lower. in February in six of the nine major geographic divisions, the exceptions being the East South COMMERCIAL FAILURES AND BANK SUSPEN- Central, the West South Central, and the SIONS Mountain States. Employment likewise decreased in these three sections and also in the COMMERCIAL FAILURES Middle Atlantic and West North Central During the month of March 1,984 com- States. As compared with a year ago, only the mercial failures, involving liabilities of $30,- West South Central and Mountain sections 622,547, were reported by E. G. Dun & Go. reported smaller pay rolls, while the greatest The number was about 10 per cent larger than increases were in the East North Central and in the shorter month preceding, in which only South Atlantic divisions. The only wage 1,801 insolvencies were reported, and was changes of importance reported for March larger also than for the month of March in any were increases averaging 2.8 per cent in a few year since 1922. In contrast with the inlarge steam railroad repair shops. creased number of failures in March total in- PRICES debtedness in default was about 10 per cent less than in either February this year or Prices of commodities at wholesale declined March last year—in fact was the lowest, for in the United States about 2 per cent from March, since that month in 1920. The February to March, according to the index of number of failures in March was larger this the Bureau of Labor Statistics. Declines were year than last for all three groups of entergenerally distributed among all the major prise into which the statistics are classified— groups of commodities covered by the index manufacturers, traders, and agents, brokers, (except house furnishings), with the largest re- etc.—while liabilities were larger for only the duction shown for farm products, which de- trading group. Notwithstanding a considerclined as a group by about 4 per cent, chiefly able increase in number of insolvent manuin consequence of lower quotations for grains, facturing enterprises, total liabilities involved livestock, cotton, and wool. in this class of failure showed a decrease of 25 94033—26—4 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

326 FEDERAL RESERVE BULLETIN MAY, 1926 per cent, owing largely to smaller liabilities of quarter of this year and last, the number of failed manufacturers of machinery and tools, failures was larger this year for manufacturing and of clothing and milinery. Failures during and trading enterprises and was smaller for March, 1926, are shown in the following table, agents and brokers, while liabilities were by class of enterprise: smaller this year for all three classes of enterprises. Commercial failures, by class of enter- COMMERCIAL FAILURES DURING MARCH prise, are shown in the following table for the first quarter of 1925 and 1926: Number Liabilities Class of enterprise COMMERCIAL FAILURES DURING THE FIRST QUARTER 1926 1925 1926 1925 OF 1925 AND 1926 All classes 1,984 1,859 $30,622,547 $34,004,731 Number Liabilities (000 omitted) Manufacturing 469 429 9,861,821 13,374,584 Class of enterprise Trading 1,424 1,345 18, 622,793 17, 594,994 Agents, brokers, etc. 91 85 2,137,933 3,035,153 1926 1925 1926 1925 The number of failures was larger in March All classes 6,081 $108,460 $128,482 this year than last in all except the Richmond, M aniifacturing 1,426 1,318 36,778 40,618 Atlanta^ Chicago, St. Louis, and Kansas City Trading _.. 4,402 4,387 60,452 63,316 Agents, brokers, etc 253 264 11,230 24,548 districts, and was the largest on record in the Boston district. Total liabilities were larger this year than last in only the Philadelphia, BANK SUSPENSIONS Cleveland, St. Louis, Dallas, and San Francisco During March 51 banks, with total deposits districts. Comparative data, by districts, for of $10,707,000, were reported to the Federal the month of March are presented in the fol- reserve banks as haying been closed on account lowing table: of financial difficulties. Both totals were lower than in the shorter month preceding, when 52 COMMERCIAL^ AILTJKES DURING MARCH, BY FEDERAL banks, with deposits of $13,808,000 were re- RESERVE DISTRICTS ported closed, but were somewhat higher than in March, 1925, during which 43 banks, with Number Liabilities deposits of $10,142,000, were closed. Of the Federal reserve district banks closed in March this year, 5, with de- 1926 1925 1926 1925 posits of $607,000, were national banks and 1, with deposits of $187,000, was a member State Total-.. 1,984 1,859 $30,622,547 $34,004,731 bank—a total of 6 member banks, with de- Boston 240 198 3,249,565 4,203,160 New York 368 348 6,463,891 6,543,180 posits of $794,000, as against 10, with deposits Philadelphia.. 65 58 1,776,957 1,639,315 of $3,629,000, closed in February. There were Cleveland 214 173 3,738,723 3,132,0ia # Eichmond 124 127 2,004,057 2,640,261 45 nonmember banks, with deposits of $9,913,- Atlanta 79 116 1,127,953 1,802,227 Chicago... 298 309 4,062,641 6,805,675 000, that suspended in March, compared with St. Louis 78 86 531,515 42 banks, having deposits of $10,179,000 sus- Minneapolis-.. 90 82 926,970 1,924,921 Kansas City.. 84 1,214,509 1,782,243 pending the month before. Dallas 75 809,191 682,936 San Francisco. 205 2,439,502 2,317,288 The number of reported suspensions was larger in March than in February only in the During the first quarter of the year there Kichmond district, where 6 banks closed in were 6,081 failures, compared with 5,13.1 in the March as against 2 in February, and in the last quarter of 1925 and 5,969 in the first St. Louis district, where there were 12 susquarter of that year. With the exception of pensions in March (10 of them in the State of the first quarter of 1922, when there were Missouri) compared with 3 in the preceding 7,517 failures, the total this year was larger month. Suspensions were most numerous in than that of the first quarter of any year since the Minneapolis and St. Louis districts, and, 1915. In contrast the aggregate liabilities in- within these districts, the largest numbers volved in failures during the quarter just were in the States of Missouri, South Dakota, ended, amounting to $108,460,339 and com- and Minnesota. Four banks in the Minneaparing with $128,481,780 for the same period polis district and one bank each in the Richlast year, were smaller than in the first quarter mond, Chicago, and St. Louis districts, which of any year since 1920. Comparing the first had previously been closed, were reported to Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAY, 1926 EEDEBAL RESERVE BULLETIN 327 have resumed operations during the month. TRADE BALANCE OF THE UNITED STATES FOR THREE The number and deposits of banks closed dur- MONTHS ENDED MARCH, 1925 AND 1926 ing March, 1926, are shown in the following [In thousands of dollars] table, by class of bank; the figures for closed banks represent so far as can be determined Total Mer- Gold Silver banks which have been closed to the public chandise by order of supervisory authorities, or by the 1925 directors'of the bank, on account of financial Imports. 1, 1,064,931 15,978 18,929 difficulties, and it is not known how many of Exports 1,446; 136 1,270,771 149,230 26,135 the institutions thus reported may ultimately Net imports (—) or exports (+)__ ,_ +346,298 +205,840 +133,252 +7,206 prove to be solvent: 1926 BANKS CLOSED DTJKING MARCH, 1926 Imports 1,356,699 1,248,354 88, ISO 20,165 Exports __ 1,161,548 1,124,537 11,163 25/848 Net imports (—) or ex- All banks Member * Nonmember ports (+) -195,151 -123,817 -77,017 +5,1 Federal reserve district Num- Total Num- Total Num- Total ber ber deposits ber deposits FOREIGN EXCHANGE In the exchange and bullion markets an im- All districts 51 $10,707,000 $794,000 45 $9,913,000 portant development during the month has Boston.. been the decline in the price of silver. After New York Philadelphia- declining since last September, when the New Cleveland York price averaged 71.885 cents per fine Richmond 632,000 632,000 Atlanta 100,000 100,000 ounce, the highest average recorded since Chicago.-.- 757,000 375,000 382,000 St. Louis 3,113,000 3,113,000 November, 1920, the price of silver dropped Minneapolis—. 4,908,000 200,000 4,708,000 to 63 cents on April 22 and averaged 64.76 Kansas City... 1,066,000 219,000 847,000 Dallas--.-.—. 131,000 131,000 cents for the month of April, the lowest average San Francisco-. since April, 1924. Two chief factors have contributed to this price decline—one is the lifting i Comprises 5 national banks with deposits of $607,000 and 1 State member bank with deposits of $187,000. of the Japanese embargo on the export of silver, a Figures represent deposits for the latest available date prior to the suspension, and are subject to revision when information for the date of which has released large supplies to the world suspension becomes available. market, and the other is the fact that Chinese FOREIGN TRADE merchants and exchange operators, who had imported $11,859,000 in silver from the United Total imports and exports of merchandise States during the first three months of 1926 and the merchandise trade balance of the United States by months in 1925 and 1926, and were oversupplied with silver, have been also the trade balance, including imports and selling silver currency and buying Japanese exports of gold and silver, for the three months yen. Although in recent months India has ended March, 1925 and 1926, are shown in been a buyer rather than a seller of silver, the tables following: Indian purchases have been made at very low prices and have thus afforded the market little MEECHANDISE TRADE BALANCE OP THE UNITED support. STATES Far Eastern exchanges have moved closely [In thousands of dollars] with the changes in the price of silver. The Month Imports Exports E im xc p e o ss r t o s f E e x x c p e o s r s t o s f Shanghai tael, which last September averaged 78.47 cents per tael, the highest average quoted 1925 since June, 1922, declined to 69.35 cents on Year 4,226,590 4,909,846 683,256 April 22, the lowest rate quoted since April) January 346,165 446,443 100,278 1924. The Chinese Mexican dollar and the February ._ 333,387 370,676 37,289 March - 385,379 453,652 68,273 Hongkong dollar exchanges have also moved April 346,091 398,255 52,164 with the price of silver. The Indian rupee May - 327,519 370,045 43,426 June . 325,216 323,348 1,868 since last September has shown a similar corre- July 325,648 339,660 14,012 August 340,086 379,823 39,737 spondence in movement, although other influ- September 349,954 420,368 70,414 ences, particularly the selling of council bills October... __ 374,074 490,567 116,493 November..... 376,431 447,804 71,373 by the Government, have greatly narrowed the December 396,640 468,305 71,665 fluctuations of the rupee. The Japanese yen, 1926 on the other hand, has advanced in almost January 416,753 397,196 19,557 February 388,503 352, 917 35,586 direct proportion to the decline in the price of March 443,098 374,420 68,678 silver. , The yen rose from an average of 40.75 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

328 FEDERAL RESERVE BULLETIN MAY, 1926 cents per yen in September last to 47.43 cents Czechoslovak crown between the limits of on April 28, the highest rate quoted since of $2.95 and $3.03 in United States currency December, 1923. Gold shipments from Japan for 100 crowns. The exchange has stood at to the United States were resumed in October about 2.96 cents per crown, or $2.96 for 100 of last year with an import into this country of crowns, since the beginning of 1925. $4,000,000, the first considerable import of The Canadian dollar, which had declined gold from Japan since January, 1921. This very slightly since last November, when it was followed by further shipments of $3,000,000 stood a little above parity, rose from the March in November, another of $4,000,000 in De- low figure of $0.9941 to $1.1611 on April 24, cember, and another of $4,000,000 in February, which is the highest rate quoted since the making a total of $15,000,000 in gold sent to armistice, although Canada has not yet formally this country by Japan since last September. returned to the gold standard. It is reported that at least some of this gold is The Argentine peso, after a sharp decline to be used in the support of the exchange. from 94.10 cents on February 1 to 88.07 cents Sterling maintained a level of about $4.8625 per peso on March 16, recovered to 89.91 from March 23 to April 10, declined to $4.8593 cents by the end of the month, and advanced on the 29th, recovered to $4.8638 on the 24th, during April from 89.96 on the 2d to 92.16 and averaged $4.8622 in April, as compared cents on the 22d. Brazilian milreis declined with $4.8608 in March. Both French and from 14.74 cents to 14.08 cents during March Belgian francs declined to new low records. and continued their downward movement dur- The French franc declined from 3.73 cents on ing the early part of April to 13.73 cents on the March 5 to 3.29 cents on April 28. While the 13th, but recovered to 14.43 cents on the 30th. French franc has shown an almost unbroken Chilean pesos maintained their level slightly downward tendency, the Belgian franc has below the new parity of 12.17 cents. The Urufluctuated over a wide range. It rose from guayan peso, which declined slightly after the the March low figure of 3.69 cents on March middle of February, rose during April from 30 to 3.87 cents on April 10, partly in response $1.0160 on the 1st to $1.0352, which is 10 to the arrangement of short-term credits points above parity. abroad to protect the exchange pending the settlement of negotiations for long-term FOREIGN EXCHANGE RATES credits; then declined to 3.38 cents on April 30. Italian lire were unchanged at 4.02 cents [In cents] per lira. The Netherlands florin remained steady at about 40.10 cents until the 23d, after April, 1926 March, 1926 March, w ce h n i t c s h o a n n u th p e w a 2 r 9 d t h m . ov S e w m e e d n i t s h c a k rr r i o e n d o i r t t d o e c 4 l 0 in .2 e 1 d Exchange v P a a lu r e Low High Low High A ver-t av 1 e 9 r 2 a 5 g , e from 26.82 cents on April 1 to 26.77 cents on April 20, while Swiss francs rose from Sterling..— _486.65 485.93 486.38 485.73 486.27 486.08 477.63 19.26 cents on April 1 to 19.33 cents on April Belgian franc. _. _ 19.30 3.38 3.87 4.54 4.23 5.07 Danish krone _ 26.80 26.16 26.20 25.90 26.26 26.11 18.07 27. Danish kroner since March 15 have French franc 19.30 3.29 3.50 3.43 3.73 3.58 5.18 German reichsmark 23.82 23.80 23.81 23.80 23.81 23.80 23.80 fluctuated between 26.16 and 26.23 cents. Italian lira 19.30 4.02 4.02 4.00 4. 02 4.02 4.07 Norwegian kroner maintained a higher level Netherlands florin 40.20 40.09 40.21 40.02 40.10 40.07 39.92 Swedish krona 26.80 26.77 26.82 26.80 26.82 26.81 26.95 during April than during March and showed Swiss franc __ 19.30 19.26 19.33 19.24 19.26 19.25 19.26 Canadian dollar 100.00 99.79100.16 99.41 99.84 99.63 99.87 smaller fluctuations than during the period from Argentine peso 96.48 89.96 92.16 88.07 92.55 90.33 89.71 the middle of February to the end of March. Shanghai tael— * 66.85 69.35 72.05 72.29 73.04 72.71 73.36 Japanese yen.. 49.85 45.88 47.43 44.82 45.94 45.39 40.97 The Polish zloty declined almost steadily from 13.16 cents at the beginning of March to 10.30 cents per zloty on April 30. The Greek GOLD MOVEMENTS drachma and the Rumanian leu also showed UNITED STATES considerable recessions during the past three months. Total imports and exports of gold during In Czechoslovakia, the new National Bank March and February, 1926, by countries of opened on April 1, succeeding to the Banking origin or destination, and comparative figures Office of the Ministry of Finance, and assumed for the three months ended March, 1926 and the duty of keeping the exchange value of the 1925, are shown in the following table: Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAY, 1926 FEDERAL RESERVE BULLETIN 329 GOLD IMPORTS INTO AND EXPORTS FROM THE UNITED LOANS OF FEDERAL FARM LOAN SYSTEM STATES IN 1925 [In thousands of dollars] The ninth annual report of the Federal Farm 1926 3 m M on a t r h c s h — ended Loan Board, recently issued, shows that during Country of origin or the year 1925 the combined operations of the destination three types of institutions comprised in the March February 1926 1925 Federal farm loan system were somewhat more extensive than in 1924, but on a smaller scale IMPOETS than in either 1922 or 1923. The total loans Total 43,413 1 25,416 88,179 15,978 of these institutions outstanding at the end of England 2 5 10 3,065 the year were nearly $300,000,000 larger than at France 19 71 71 Canada. 39,278 9,826 66,943 8,310 the end of 1924, and exceeded $1,600,000,000, of M Ce e n x t i r c a o l . . A merica .__. 5 1 3 4 1 5 2 2 8 0 6 9 1,3 4 5 6 6 5 1,4 4 2 0 5 0 which nearly two-thirds represented the hold- Chile 2,503 9,753 12,293 123 ings of the Federal land banks, with the balance Peru. 185 668 975 390 Dutch East Indies... 178 268 501 473 divided between the Federal joint-stock land J P a h p i a li n ppine Islands... 186 4,0 1 0 7 0 7 4,0 5 0 4 0 7 444 banks and the Federal intermediate credit Allother 405 ! 205 1,018 1,277 banks in the ratio of about 7 to I.1 For the EXPOETS Federal land banks and the joint-stock land banks combined, the net farm-mortgage Joans Total. 4,225 3,851 11,163 149,230 outstanding amounted to $1,551,244,016, com- Germany 348 143 889 45,130 Canada 53 25 146 178 parable in amount with $1,871,056,000 of farm- Central America..... 200 1,014 1,214 mortgage loans reported for the same date by Mexico 728 448 1,741 1,201 Bolivia. 300 300 20 52 leading life insurance companies.2 This Venezuela 300 800 1,600 200 British India.... .. 22 812 377 52,757 comparison shows that the Federal farm loan British Malaya 535 326 1,853 system during the nine years of its existence Hongkong ._ 1,355 566 2,147 2,594 Allother............. 384 217 896 47,150 has come to be one of the most important Net imports 39,188 21,565 77,016 sources of agricultural credit. Net exports 133,252 Farm loans made during the year by the Federal land banks aggregated $127,000,000, at GREAT BRITAIN rates of interest varying'from 5 to 5-J£ per cent. Following is a table showing gold imports At the beginning of 1925 the rate of 5J^ per into and exports from Great Britain for cent prevailed in all 12 of the districts, but March and February, 1926, and for three during the year it was reduced to 5% percent months ended March, 1926 and 1925: in the Omaha district and to 5 per cent in the St. Paul district, and in certain sections of the St. GOLD IMPORTS INTO AND EXPORTS FROM GREAT BRITAIN Louis district. These reductions reflected primarily reductions in operating costs, which 1926 3 m M on a t r h c s h e — nded result largely from the granting by these thre^ Country of origin or destination banks of a relatively large volume of mortgage March February 1926 1925 loans in excess of $100,000,000. Loans closed and rediscounts made by Fed- IMPORTS eral intermediate credit banks during 1925 Total £1,290,113 £3,453,799 £9,268,487 £8,542,048 amounted to more than $175,000,000, and the total of their credit outstanding increased Belgium 595,736 Netherlands 179,705 179,705 60,264 about $18,000,000, or 29 per cent. The interest Russia 511,515 2,431,800 Rhodesia . 183,371 181,922 547,767 553,833 rate charged on rediscounts was 5 per cent Transvaal.. _ 767,779 2,695,714 5,140,496 3,343,784 throughout the year, but the rate on direct United States 22,020 3,801 26,233 4,246,069 West Africa.. 109,208 54,247 300,263 273,131 loans to cooperative marketing associations Allother... .... 28,030 6,600 46,487 64,967 was 4J^ per cent until early in November and EXPOETS 5 per cent thereafter. The increase was Total 2,619,629 1,563,808 6,630,962 11,636,685 occasioned by a change in the condition of the debenture market. Belgium.-.—.. 9,095 17,270 97,345 British India 691,871 522,851 1,373,046 6,960,005 France— 267,385 163,097 480,641 58,626 N A S S So t w e l r u l t a i o h t t i h z t e t s e h r A r l e S a l m r a e n . n t d e . t . d s r l i . e c - m a - e .. n . ts. . . . . . 2 1 1 1 9 9 0 3 0 0 , , , , 0 6 6 7 0 7 0 8 0 0 0 8 > 6 1 5 7 4 0 2 8 4 2 , , , , 2 9 6 0 3 6 6 0 4 6 0 0 1 1 , , 9 9 7 5 6 8 2 2 7 4 4 7 6 , , , , , 7 0 2 3 6 0 0 9 9 1 0 0 8 6 1 .3,9 4 7 4 3 6 2 4 0 4 8 , , , , , 7 4 2 8 5 2 3 2 2 1 0 0 6 3 0 f c t l a o i o f r 2 e m m $ D R 8 p - i 0 n m a i e , r s n 0 p e o u 5 i c r r e r 1 e t t a s , g s 8 n l a e 3 i o c n g n 5 a e e t . n t i h n s l p o e g a r a e n U 9 n s d 3 s i n d i i p r e n t e e e n d r d 1 t i s 9 s c . 2 S c e 5 o t n a u a t F t n r e o i e t s g f s n u a t o o h r s e f t e r s i a e n f v p u s t a e o n h i r d o r l m t a w s e b d e i o l n e d f t ; g i o a a t l t h a t l e h n e l e c e d g r l e a a b t d t l o y e i r t s t a e t t b s l h e o a e r f v n f v a o i k c e s l i s u s a l o i m a l f c m e e i e - a s i o t n t i o u i s o m f n u n t r a e a a o t d n l e f l ce Net exports 1,329,516 3,094,637 that for 1920, placed this total at $7,857,700,000. Net imports 1,889,991 2,637,525 3 The St. Paul district, however, maintained a 5)4 per cent rate, which was reduced to 5 per cent on Apr. 1,1926. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

330 FEDERAL. RESERVE BULLETIN MAY, 1926 During the year ending November 30, 1925, The principal purposes for which the Fedprivate sales of 8,870 farms carrying Federal eral and joint-stock land banks have made land bank loans were reported, the sale prices loans are indicated by the accompanying amounting to $59,000,000. The amount loaned table, which covers the period from the time on these farms aggregated $26,000,000, against these banks began operations until the end of appraised values of $69,000,000. Thus the October, 1925. It will be noted that more loans amounted to 38 per cent of the appraised than three-fourths of all loans have been for values and to 44 per cent of the sales prices, the purpose of enabling borrowers to pay appraisements exceeding sales prices by 16 per mortgages and other debts. cent. The ratios for each of the last five years are given in the following table: FOREIGN TRADE OF UNITED STATES, Year ending Nov. 30 P o p t e v f r o r a a l i o l a c s u a p e e e n - n d s t P o t p e f o r r l i s o c c a a e e l n s e n s t P v p p a o e r s r l r f a a u i i c c a l s e e e p e e s t - n d o t Large g F r I o R w S t T h i Q n U m A e R rc T h E a R n d O ise F i 1 m 9 p 2 o 6 rts in the last half of 1925, accompanied by a decline in merchandise exports, resulted in a large reduc- 1921 ... 40 32 81 1922 •_. 41 37 91 tion in the excess of exports over imports, and 1923 40 40 101 for the period as a whole the export balance 1924_. 39 42 109 1925 / 38 44 116 averaged smaller than for the corresponding period in any other year since 1922. In the first quarter of 1926 imports continued to in- The table shows that with each successive crease over the previous year, but exports year the farms sold have brought a smaller declined further, and for the three months, proportion of the value at which they had been January through March, imports were $124,originally appraised and a smaller margin 000,000 larger than exports. Value of imports over the amount loaned against these farms. since the beginning ol 1926 was 17 per cent This margin, however, as well as that between larger than in the first quarter of 1925 and the amount loaned and the appraised value, exceeded that of the first quarter of 1924 and has throughout the period been on the con- 1923 by 32 per cent and 21 per cent, respecservative side of the rule laid down for Federal tively. Purchases abroad of crude materials land bank loans by the Federal farm loan act: to be used in manufacturing, which amount to "Ncf such loan shall exceed 50 per cent of the slightly less than one-half of total imports, value of the land mortgaged and 20 per cent accounted for the greater part of the increase of the permanent, insured improvements therein the first three months of 1926, but imports on, said value to be ascertained by appraisal." of all other groups of merchandise, except For the joint-stock land banks the farms sold manufactured foodstuffs, were also larger. during tne year that carried loans of these The net increase in the value of imports in the banks at the time of sale numbered 1,177, first three months of 1926 was largely accounted originally appraised at 104 per cent of the sale for by the growth in the value of rubber, coffee, prices received and carrying loans amounting and silk imported into the United States. to 43 per cent of the sale prices. Crude rubber increased 30 per cent in quantity in the first quarter, but average prices at which Federal J s o to in c t k - it was purchased were considerably higher, and Purpose of loan land land the value of imports was 205 per cent greater banks banks than in the correspondingmonths of 1925. Imports of raw SHK increased 9 per cent in Per cent Per cent quantity and 13.3 per cent in value in the first To pay mortgages _ 65 79 To pay other debts , 12 6 quarter, as compared with last year, and those For purchase of land mortgaged 9 9 For purchase of other land 1 1 of coffee were 27 per cent greater in quantity To purchase buildings and improvements. 5 3 and 18 per cent larger in value. A more de- To purchase implements and equipment _. 1 1 To purchase livestock 2 1 tailed analysis of imports by groups and cer- For other purposes _.___-. 5 0 tain selected commodities in the first quarters Total. 100 100 of 1926 is given in the following table: Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAY, 1926 FEDERAL, RESERVE BULLETIN 331 VALUE OF MERCHANDISE IMPORTS IN FIRST QUARTER selected commodities which constitute the OF 1925 AND 1926 greater part of exports from the United States are riven in the following table: [In thousands of units] First First Increase VALUE] OF MERCHANDISE EXPORTS IN THE FIRST Groups quarter, quarter, or de- QUARTER OF 1925 AND 1926 1925 1926 crease(—) [In thousands of units] Per cent Crude materials „ - $425,035 $573,463 34.9 Crude foodstuffs a 125,024 141,844 13.5 First First Increase Manufactured foodstuffs _. 118,946 104,977 -11.8 Groups quarter, quarter, (+) or Semimanufactures _. 202,655 218,681 7.9 1925 1926 decrease Finished manufactures ..„. 193,271 209,402 8.3 (-> Total 1,064,931 1,248,354 17.5 Per cent Certain commodities: Crude materials $421,374 $286,273 -32.1 Rubber— Crude foodstuffs 80,474 43,613 -45.8 Quantity (pounds) - 203,178 263,024 29.5 Manufactured foodstuffs_._ .__- 155,963 130,151 -16.6 Value _ . _ $66,102 $201,851 205.4 Semimanufactures 171,044 153,290 -^-10.4 Silk- Finished manufactures 422,388 485,551 +15.0 Quantity (pounds)... 13,912 15,122 8.7 Value — $86,106 $97,518 13.3 Total 1,251,243 1,098,878 -12.2 Coffee- Quantity^ (pounds) -- 324,207 412,281 27.2 Selected commodities: • $77,361 $91,169 17.2 Cotton- ValUG"""" •""""• "" Quantity (pounds) _._ 1,345,129 936,340 -30.4 $336,567 $197,008 -41.5 Total value of merchandise exports declined Wheat- Quantity (pounds) 25,832 7,881 -69.5 in each month of the first quarter of 1926, and Value - - -" _ $48,587 $12,837 -73.6 Automobiles— for the entire period the value of exports was Quantity (number) 62 83 +33.9 12 per cent smaller than in the first quarter of Value $66,927 $89,028 +33.0 1925. Exports of each of the larger groups of commodities, except finished manufactured DEBT FUNDING AGREEMENTS WITH products, were smaller in the first three months FRANCE AND YUGOSLAVIA of 1926 than in the corresponding months of last year, but the most substantial declines Terms of an agreement lor funding the inwere due to smaller foreign takings of crude debtedness of France to the United States were materials and crude foodstuffs. Exports of announced on April 29 by the World War cotton and wheat declined rapidly, and it was Foreign Debt Commission. As set forth in largely due to these two commodities that the the proposed settlement, the amount to be value of total exports was smaller for the three funded covers the principal of obligations held months ending in March than last year. Cot- by the United States for cash advanced to ton exports in January, February, and March France under Liberty bond acts ($2,933,405,were smaller than in the corresponding months 070.15), and of obligations given by France for of last year, and for the first quarter ending surplus war supplies purchased on credit with March they were 30 per cent less in ($407,341,145.01). In this, as in other fundquantity, and with lower prices they were 42 ing settlements effected by the commission, per cent smaller in value. Exports of wheat interest is figured at 434 Per cent to December were 70 per cent smaller in quantity and 74 per 15, 1922, and at 3 per cent thereafter to June cent less in value than in the first three months 15, 1925, the date of the agreement. So of 1925. Exports of finished manufactures, determined, net indebtedness to be funded among which machinery and vehicles are the amounted on June 15, 1925, after deduction most important items, were 15 per cent larger of a small cash adjustment payment ($386,for the three months7 period than in the first 686.89), to $4,025,000,000. For this aggregate quarter of 1925. Exports of automobiles, the amount bonds are to be issued dated June 15, largest single item in the group of finished 1925, and maturing serially from year to year manufactures, were 34 per cent larger in quan- on June 15 over a period of 62 years ending tity and 33 per cent larger in value than in the June 15, 1987. Annuities, on account of first quarter of 1925. More detailed statistics principal and interest are to run in amounts as showing exports of commodities and of certain shown in the schedule following. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

332 FEDEEAL RESERVE BULLETIN , 1926 SCHEDULE OF ANNUITIES 1922, and at 3 per cent from that date to June 15, 1925, the amount to be funded, after a Ye a a g r r u e n em de e r n t t he Annuity Ye a a g r r u e n em de e r n t t he Annuity c 0 a 0 s 0 h , o ad f j w us h t i m ch e n $ t 5 1 p , a 0 y 3 m 7,8 e 8 n 6 t, . 3 i 7 s f r i e x p e r d e s a e t n $ ts 6 2 p , r 8 i 5 n 0 c , i - pal and $11,812,113.61 interest accrued to the 1_ $30,000,000.00 13 $105,000,000.00 date of settlement. The annuity runs at 2 30,000,000.00 14 110,000,000.00 3 32,500,000.00 15 - 115,000,000.00 $200,000 a year during the first five years and 4 32,500,000.00 16__. — 120,000,000.00 5 35,000,000.00 17 to 61, inclu- increases by $25,000 a year during the succeed- 6 7 _. 4 5 0 0 , , 0 0 0 0 0 0 , , 0 0 0 0 0 0 . . 0 0 0 0 • 6 2 sive_ .__ 1 11 2 7 5 , , 0 6 0 7 0 4 , , 0 1 0 0 0 4 . . 0 1 0 7 ing seven years, payments on account of Q 60,000,000.00 principal increasing annually thereafter. Be- 9 75,000,000.00 Total__ 6,847,674,104.17 10 . 80,000,000.00 ginning in the thirteenth year interest is fixed Hi . __ 90,000,000.00 Principal 4,025,000,000.00 at one-eighth of 1 per cent for 3 years, at one- 12___. 100,000,000.00 Interest 2,822, 674,104.17 half of 1 per cent for the succeeding 14 years, at 1 per cent for the succeeding 3 years, at 2 In the commission's statement, it is noted per cent for the succeeding 3 years, and at 3}4 that these annuities provide for payment in per cent for the remaining 27 years. On a full of the principal amount of the debt as 4 J4 per cent basis the present value of these funded, with interest after the first five years payments is given as $20,236,715 on approxiat 1 per cent for 10 years, at 2 per cent for the mately 32 per cent of the debt funded. succeeding 10 years, at 2 >£ per cent for the succeeding 8 years, at 3 per cent for the succeed- These settlements nearly complete the work ing 7 years, and at 3X A per cent for the remain- of the commission, leaving only $244,000,000 ing 22 years, and that the present value of the unfunded out of a total foreign indebtedness to proposed annuities on a 434 P^r ^en^ basis is the United States of $10,102,000,000. Of the $2,008,122,624, or approximately 50 per cent amount unfunded, according to the commisof the debt funded. sion's announcement, $193,000,000 represents An agreement for funding the Yugoslavian Russian indebtedness, $24,000,000 Austrian indebtedness was announced by the commission (which has been extended by Congress for 20 on May 1. With interest computed as in other years), $15,000,000 Greek, and $12,000,000 settlements at 434 Per cent to December 15, Armenian. RULINGS OF THE FEDERAL RESERVE BOARD Change in Federal reserve district boundaries. Whereas it appears to the FederaJL Reserve Board that the convenience and customary course of business The Federal Reserve Board recently issued a of the tenth and eleventh Federal reserve districts formal order directing the transfer of the coun- and the best interests of the Federal reserve system will ties of Bernalillo and Valencia in the State of be served by the transfer of the counties of Bernalillo New Mexico from the eleventh Federal reserve and Valencia, in the State of New Mexico, from the eleventh Federal reserve district to the tenth Federal district to the tenth Federal reserve district, reserve district. effective April 15, 1926. The only member Now, therefore, it is ordered: banks situated in the territory transferred are (I) That the counties of Bernalillo and Valencia, in the Albuquerque National Bank and the First the State of New Mexico, which are now located in the National Bank of Albuquerque, and the First eleventh Federal reserve district, be and are hereby transferred to and included in the tenth Federal reserve National Bank of Belen. district; and the boundaries of the tenth and eleventh The following is a copy of the order of the Federal reserve districts be and are hereby readjusted Federal Reserve Board: accordingly. Whereas the Federal Reserve Board is authorized (II) That the changes and readjustments in the tenth and eleventh Federal reserve districts directed in and empowered under the terms of section 2 of the Fedthis order shall become effective on the 15th day of eral reserve act from time to time to readjust the Fed- April, 1926. eral reserve districts created by the Reserve Bank Organization Committee; and (III) That the Federal reserve banks of Kansas Whereas all member banks of the Federal reserve City and Dallas be notified of the changes and readsystem located in the counties of Bernalillo and Valencia justments directed in this order and directed to take in the State of New Mexico have requested the Federal such action as may be necessary for the transfer of Reserve Board to transfer the said counties from the membership of the member banks included in the terrieleventh Federal reserve district to the tenth Federal tory # transferred from the eleventh Federal reserve reserve district, and the Federal reserve banks of district to the tenth Federal reserve district. Kansas City and Dallas have been notified of the pro- (IV) That a copy of this order be filed with the posed transfer and have stated that they do not object Comptroller of the Currency to be filed with the certhereto; and tificate of the Reserve Bank Organization Committee. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

, 1926 FEDERAL RESERVE BULLETIN 333 LAW DEPARTMENT Authority of Congress for purchase of Buffalo branch " (c) In case of a tax on or according to or measured bank building. by the net income of an association, the taxing State The following is a copy of a Joint Resolution may, except in case of a tax on net income, include the entire net income received from all sources, but the o£ Congress approved March 24, 1926, authorrate shall npt be higher than the rate assessed upon izing the Federal Reserve Bank of New York other financial corporations nor higher than the highest to invest the sum of $600,000 in the purchase of the rates assessed by the taxing State upon merof a bank building for its Buffalo branch: cantile, manufacturing, and business corporations doing business within its limits: Provided, however, That a State which imposes a tax on or according to or [PUBLIC RESOLUTION—No. 9—69TH CONGRESS] measured by the net income of, or a franchise or excise ; [S. J. Ees. 44] tax on, financial, mercantile, manufacturing, and busi- Joint Resolution Authorizing the Federal Reserve Bank of New York ness corporations organized under its own laws or to invest its funds in the purchase of a site and the building now laws of other States and also imposes a tax upon the standing thereon for its branch office at Buffalo, New York. income of individuals, may include in such individual Resolved by the Senate and House of Representatives of income dividends from national banking associations the United States of America in Congress assembled, located within the State on condition that it also in- That the Federal Reserve Bank of New York is hereby cludes dividends from domestic corporations and may. authorized to invest in the purchase of land improved likewise include dividends from national banking by a bank building, already fully constructed, for its associations located without the State on condition branch office at Buffalo, New York, a sum not to exceed that it also includes dividends from foreign corpora- $600,000, out of its paid-in capital stock and surplus. tions, but at no higher rate than is imposed on dividends from such other corporations. Approved, March 24, 1926. "(d) In case the dividends derived from the said shares are taxed, the tax shall not be at a greater rate Change In law regarding State taxation of national than is assessed upon the net income from other monbanks. eyed capital. 112. The shares of any national banking association The following act amending section 5219 of owned by nonresidents of any State, shall be taxed by the Revised Statutes of the United States with the taxing district or by the State where the association reference to State taxation of national banks is located. and not elsewhere; and such association shall make return of such shares and pay the tax therewas recently enacted by Congress and became on as agent of such nonresident shareholders. law on March 25, 1926: "3. Nothing herein shall be construed to exempt the real property of associations from taxation in any [PUBLIC—No. 75—69TH CONGRESS] State or in any subdivision thereof, to the same extent, [S. 3377] according to its value, as other real property is taxed. "4. The provisions of section 5219 of the Revised An Act To amend section 5219 of the Revised Statutes of the United Statutes of the United States as heretofore in force States shall not prevent the legalizing, ratifying, or confirm- Be it enacted by the Senate and House of Representa- ing by the States of any tax heretofore paid, levied, or tives of the United States of America in Congress assembled, assessed upon the shares of national banks, or the col- That section 5219 of the Revised Statutes of the United lecting thereof, to the extent that such tax would be States be, and the same Is hereby, amended so as to valid under said section." read as follows: v Approved, March 25, 1926. "SEC. 5219. The legislature of each State may determine and direct, subject to the provisions of this section, the manner and place of taxing all the shares of Changes in-State Bank Membership national banking associations located within.its limits. The several States may (1) tax said shares, or (2) in- The following list shows changes affecting State clude dividends derived therefrom in the taxable in- bank membership during the month ended April 21, come of an owner or holder thereof, or (3) tax such 1926, on which date 1,426 State institutions were associations on their net income, or (4) according to or members of the system: measured by their net income, provided the following ADMISSIONS conditions are complied with: "1. (a) The imposition by any State of any one of the above four forms of taxation shall be in lieu of Capital Surplus re T so o u t r a c l es the others, except as hereinafter provided in subdivision (c) of this clause. District No. 2 • " (b) In the case of a tax on said shares the tax imposed shall not be at a greater rate than is assessed Mid-City Trust Co., Plainfleld, N. J... $200,000 $85,973 $512,437 upon other moneyed capital in the hands of individual Trust Company of Northern Westcitizens of such State coming into competition with chester, Mt. Kisco, N. Y._ _____ 100,000 15,000 216,133 the business of national banks: Provided, That bonds, District No. 3 notes, or other evidences of indebtedness in the hands of individual citizens not employed or engaged in Dime Savings & Trust Co., Allentown, Pa .... 231, 530 81,530 1,590,052 the banking or investment business and representing merely personal investments not made in competition District No. 7 with such business, shall not be. deemed moneyed Wilmette State Bank, Wilmette, HL_,_ 100,000 100,000 2,854,202 capital within the meaning of this section. 94033—26 g Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

334 JFEDEBAL RESERVE MAY, 1926 CHANGES Dis- Powers Capita] Surplus Total Location t N ri o c . t Nane of bank granted resources Union City, N. J____ First National Bank_ Ito9. District No. S Freeport, N. Y______ First National Bank __. 1 to 9. Haverstraw, N. Y-__ National Bank of Haver- 1 to 9. Columbia County Trust Co., Blooms- straw. burg, Pa., has changed its title to Mount Vernon, N. Y. American National Bank 1 to 9. Bioomsburg Bank-Columbia Trust Port Richmond, N. Port Richmond National Ito9. Co., having absorbed the following Y. Bank. member: Bioomsburg National Bank Red Hook, N. Y___. First National Bank. ... 1, 2, and 3. Bioomsburg, Pa..__ ____.„ $125,000 $125,000 $2,181,319 Syracuse, N. Y_.___. Merchants National Bank__ Ito9. Edwardsville, Pa Peoples National Bank__._,._ .1 to 9. District No. 6 Luzerne, Pa... _-. Luzerne'National Bank Ito9. Newville, Pa First National Bank. 1 to 9. Citizens Bank, West Point, Ga., has Philadelphia, Pa Franklin' National Bank 1 to 9. absorbed the following member: First Watsontown, Pa.__. Farmers National Bank 1 to 9. National Bank, West Point, Ga 100,000 45,000 1,247,279 Snow Hill, Md__—. First National Bank Ito9. Towson, Md__-_ Towson National Bank 1to 9. District No. 7 Asheboro, N. C.____. First National Bank Ito9. Farmville, Va__-___. First National Bank... 1 to 9. Voluntary withdrawals: Miami, Fla ... City National Bank........; 1 to 9. Farmers State Bank, Bargersville, Bristol, Tenn........ First National Bank.___.__, 1 to 9. Ind.. .__• ___„ 25,000 25,000 265,343 Chicago, 111 .... Jefferson Park National Ito9. Taylor County State Bank, Clear- Bank. tield, Iowa..______ _____ 25,000 174,734 Chicago, 111 ___. Mutual National Bank_____ Ito9. Clos S M e t d s a a s h : t o r e a s n l h , B l a to a I ll o w n t w o k n w a , o n I f o T w S h . a . t o _ a - m - t _ e .- . p _ s B _ on an , k T , „ h _„ o M _ m _ a „ p r _ - - . 1 3 0 0 0 , , 0 00 0 0 0 5 8 0 , , 0 00 0 0 0 2,6 3 1 0 6 6 , , 9 8 5 4 4 1 T B H B T a e r u a i y l n n l l l l c k i o C o o e r n c v r it k , i y H l , W l , e i M l I , i l n s , 1 d _ i 1 1 c - 1 1 _ h 1 . . _ . . . . . _ _ .. ; . F F F T F i i i i e r r r r l s s s s l t t t t C N N N N it a a a a y t t t t i i i i o o o o N n n n n a a a a a t l l l l i o B B B B n a a a a a n n n l n k k k B . k _ a _ .. _ n . _ k . _ . . _ .. _ ., 2 1 1 1 1 , 3 t t t t o o o o , 5 9 9 8 9 , . . . . and 8. District No. 8 Munising, Mich First National Bank of 2, 3, 5, and 8. Aiger County. Voluntary withdrawal: Bank of Crock- Lewistown, Mont... National Bank of Lewis- 1 to 9. Su e S c t a c t v , e i e B n d g e e l s d l s T , b r y T u e S s n t t a n t C e o m ., e S m t. b e L r o : ii B is r , o a M d _ w o __ . a _ . y . _ . 2 2 0 5 0 , , 0 0 0 0 0 0 80 5 , , 0 0 0 0 0 0 2,6 4 3 1 4 8 , . 4 8 2 7 0 8 B Lo ro n k g e v n ie A w r , ro W w a , s O h k . l . a .. . F F i i t r r o s s w t t N N n. a a ' t t i i o o n n a a l l B Ba a n n k k . .... 1 1 t t o o 4 9 , . 6 to 9. District No. 9 Changes In National Bank Membership Voluntary withdrawal: South Shore Bank, South Shore, S. Dak 25,000 5,000 299, 763 The Comptroller of the Currency reports the follow- District No. 11 ing increases and reductions in the number and capital Voluntary withdrawals: of national banks during the period from March 20 to First State Bank, Estancia, N. Mex. 25,000 1,812 108.879 April 23, 1926, inclusive: Central Trust Co., San Antonio, Tex_____ _____________ ... 200,000 35,000 3, 661, 589 Change of title: Farmers Guaranty State Bank, Brady, Tex., has changed In i S s t o s ta lv te t e i n t B l t e : a n t F k o i . rs F t ar S m ta e t r e s B & an k M & er c T h r a u n s ts t b N b a e u n r m k o s - f o A f m ca o p u i n ta t l Co., Cuero, Tex_._ .__ 100,000 50,000 674,937 District No. IB New charters issued $3,255,000 Restored to solvency.-...----. Merged with State member: Citizens Increase of capital approved1.. 20, •••0• 25,00o0 State Bank, Sawtelle, Calif_____ 200,000 50, 000 2, 522,100 Aggregate of new charters, banks restored to solvency, and banks increasing capital____ 23, 280,000 Fiduciary Powers Granted to National Banks Liquidations----.. 2, 380, 000 Reducing capital2. 350,000 During the month ended April 21, 1926, the Federal Reserve Board approved applications of the Total liquidations and reductions of capital.. 2, 730, 000 national banks listed below for permission to exercise Consolidation of national banks under act of Nov. one or more of the fiduciary powers named in section 11 7, 1918..———.—-— _____——-— 54,700,000 (k) of the Federal reserve act as amended, as follows: (1) Trustee; (2) executor; (3) administrator; (4) Aggregate increased capital for period _-.._- 23, 280, 000 registrar of stocks and bonds; (5) guardian of estates; Reduction of capital owing to liquidations, etc. 2,730,000 (6) assignee; (7) receiver; (8) committee of estates of Net increase.. 20, 550,000 lunatics; (9) in any other fiduciary capacity in which State banks, trust companies, or other corporations 1 Includes two increases in capital aggregating $11,000,000 incident to which come into competition with national banks are consolidations under act of Nov. 7, 1918. permitted to act under the laws of the State in which 2 Includes one reduction in capital of $50,000 incident to a consolidation under act of Nov. 7,1918. the national bank is located. Acceptances to 100 Per Cent Location t D ri i c s- t Name of bank g P r o a w nt e e r d s No. The following member institution has been authorized by the Federal Reserve Board to accept drafts and Boothbay Harbor, 1 First National Bank 1,2,4, and & bills of exchange up to 100 per cent of its capital and Me. surplus: Crocker-First National Bank, San Francisco, Framingham, Mass. _ 1 F r a mi n g h am National. Calif. Bank. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAT, 1926 FEDEBAL EESEEVE BULLETIN 335 BUSINESS STATISTICS FOR THE UNITED STATES INDEX OP PRODUCTION IN BASIC INDUSTRIES * [Index and relatives for each industry adjusted for seasonal variations. Monthly average 1919«=100] Iron and steel Textiles Food products Y©ar and month G i e n n d e e r x al Animals slaughtered Lumber Pig iron i in S g te o e t l s Cotton Wool W fl h ou e r at m S e u lt g in ar gs Cattle Calves Sheep Hogs 1925 March.] _mi. _ ; 120 136 147 110 95 94 133 100 138 ; 102 96 125 April. 119 128 128 121 92 90 134 104 124 120 101 123 May • _ : 111 113 121 103 91 88 115 104 114 117 92 116 June- 110 107 115 98 88 102 117 95 126 105 101 117 July..... 113 105 110 99 87 122 117 107 131 101 96 125 August 309 ;• 102 117 91 90 94 107 97 138 89 108 116 September L 111 106 123 103 95 100 143 93 129 86 120 116 October.... 116 113 130 111 98 • 96 167 99 147 88 115 125 November ;.___ 115 116 136 116 97 79 135 84 131 76 96 117 December 121 130 149 120 95 80 203 99 166 88 89 133 1926 January. „_.. _ 120 131 149 114 89 83 164 96 146 95 91 125 February. 120 130 152 119 84 90 147 102 157 105 81 122 March _ 123 131 157 120 87 100 120 106 137 121 103 124 Coal Nonferrous metals Tobacco products Year and month Bi n t o u u m s i- An c t i h te ra- Copper Zinc le S a o th le er N p e ri w n s t - Cement P le e u tr m o- Cigars r C e i t g te a s - M to t a u b n a r u e c f d c a o c- 1925 Marelu_.____j______ . ••."•_ ; 95 96 142 131 70 110 199 187 86 170 89 ApriL.L.... ! 105 103 136 ; 124 69 115 199 194 87 178 95 May.___. •___ _ 99 103 135 127 6i 112 193 212 88 175 96 June..^.. 101 98 136 117 66 110 197 210 93 188 97 July..^ ._.„„ 105 113 140 121 ; 71 108 215 204 94 179 101 August _._.___,__ 109 120 135 122 69 105 207 206 91 173 94 September ..„._ 114 : 1 139 121 62 111 , 204 208 95 183 96 October....... 121 1 136 129 69 115 198 198 106 169 • 99 November 126 2 138 129 63 116 194 200 95 165 89 December.. _. 130 3 139 137 59 117 188 196 85 195 94 1926 January ____. 129 2 141 144 56 115 219 193 80 196 102 February .._____„ 130 34 145 135 60 123 181 193 84 188 100 March! 117 120 143 139 60 126 186 188 97 207 9S * 1 This table contains for certain months the index numbers of production in basic industries together with the series of relatives used in constructing the index. J_n making the final index the relatives are adjusted to allow for seasonal fluctuations and are weighted. The methods of construction were described in detail and all relatives for each series since January, 1913, were published on pages 1414-1421 of the BULLETIN for December, 1922. 2 Revised. , INDEX OF EMPLOYMENT IN MANUFACTURING INDUSTRIES * [No seasonal adjustment. Monthly average, 1919=100} Metals and Year and month G i e n n d e e r x al G in r d o p e u r x o p duc s I a t t r s n e o e d n l G i T n r e d o x e u t x p iles F a a n b d ri c p s rod P u u r c o c t t d s s - L p u a b r u c n o e m t d d r s - - v R r c o e a l a h e i d s l i - - m A o u b t i o le - s P p a r i a n n i p n g d e t r - F p u a o r c n o o t d d d s - s L p e u a r a c n o t t h d d s e - r S c g a t l l o n a a n d y ss e , , b p u T a r c o c o t c d s - o - C p i u a h c r n c o a e d t d l m s s - - 1925 March 96.4 '90.1 89.5 100.0 101.0 98.6 99.6 89.9 112.7 105. 7 86.2 92.5 116.8 88.5 75.5 April ... 95.9 89.2 88.7 98.9 100.8 96.5 100.6 88.8 121.7 104.7 83.0 88.8 123.2 81.7 75.4 May 94.9 " 88 0 87.5 96.4 99.1 92.9 99.8 84.9 128.5 103.8 83.2 86.8 125.5 87.0 73.2 June.. 94.2 86.9 88.3 95.4 97, 5 92.8 100.1 84.7 122.8 103.5 85.6 83.0 125.9 85.8 72.9 July 93 1 85 6 84.9 93.3 93.1 93.4 99.3 84.5 122.2 103.4 85.4 85.7 121.3 85. 9 73.0 August 93.9 86.1 85.4 94.0 93. 6 94.5 99.9 84.5 124.2 103.2 85.9 90.2 124.9 85.0 72.6 September, i. 95.1 87.4 86.6 94.1 93.3 95.1. 102.2 83.7 129.4 104.3 88.0 92.1 125.3 87.1 75.4 October..„._ „ _ 97. iO 89. 4 88.4 96.9 97.7 95.8 102; 8 83.0 137.7 106.0 90.6 91.8 124.7 90.1 76.4 November 97.2 91.0 89.9 97.3 99.1 95.0 102.0 82.6 136.3 107. 2 89.6 89.0 123.1 89.7 77.4 December . 97.1 92.6 91.6 97.2 99.3 94. 6 100.9 84.6 129.6 107.8 88.5 86.1 121.0 90.1 77.6 1926 ; January ; 96.3 92.6 91.9 97.3 99.1 95.0 98.3 84.6 130.2 107. 5 86.5 87.9 114.4 80.4 70.9 February. _ 97.0 94,2 93.5 97.4 97. 6 97.2 98.6 85.7 133.0 106.7 85.7 89.5 114. 6 84.2 77.0 March,; 97.2 94.6 93.8 97.1 97.1 97.1 98.7 •••"•87.1 136.1 107.4 84.9 88.3 118.8 83.3 77.0 1 This table contains for certain months index numbers of employment, together with group indexes for important industrial components. The general index is a weighted average of relatives for 34 individual industries. The method of construction was described in detail and indexes for the above groups since January, 1919, were published on pp. 324-325 of the BULLETIN for May, 1925. See also p. 668 of BULLETIN for September, 1925, for certain revisions. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

336 FEDERAL RESERVE BULLETIN MAT, 1926 INDEX OF PAY ROLLS IN MANUFACTURING INDUSTRIES» [No seasonal adjustment. Monthly average, 1919=100] Metals and Year and month G i e n n d e e r x al G in r d o p e u r x p oduc I a t r s n o d n G i T n r e d o x e u t x p iles F a a n b d r ic p s rod P u u r c c o t t d s s - L p u a b u r c n o e m t d r d s - - R v r c o e a l a h e i d s l i - - m A o u b t i o le - s P p a r i a n n i p n g d e t r - F p u a o r c n o o t d d d s - s L p e u a r a n c o t t d h d s - er S d g a t l o a n a n y d s , e s , b p u T a r c c o o t c d - s o - C p i u a h c r c n o a e t d l d m s s - steel 1925 March'-'."——-— 110.1 97.2 96.5 114.4 114.2 114.7 109.7 100. 2 142.9 139.4 98.8 100.0 143.4 88.3 101.6 April 107 3 94.4 93.9 108.0 111.7 103. 5 107.9 95.4 156. 2 137.1 94.0 91.5 149. 9 74.2 97.6 May 107.4 94.6 94.0 105.0 109. 9 99.0 108.6 91.6 163.9 136. 7 97.2 90.3 154. 6 90.9 98.4 June 104.8 91.1 90.4 101.6 103.9 98.8 109.7 90.4 151.2 135.5 100.0 85.1 154.3 90.3 95.7 July . . 102.4 86.8 86.1 101.2 100.9 101.6 105.9 86.7 150.0 133.8 98.9 89.0 145. 9 89.0 95.6 A ugust 104.5 89.7 88.8 103.8 101.7 106.2 108. 0 88.0 146.1 133.7 99. 1 98.9 155. 7 90; 0 93.1 September 103.9 88.7 87.7 99 1 96. 6 102. 1 111.8 84.9 155.3 135.8 100.0 94.8 151.6 90.0 94.9 October.. _ 111.3 96.2 95.1 107.5 107.9 107.0 117.2 89.2 178. 0 142. 3 104.5 95.8 156. 8 97.1 101.1 November -- 111.7 97.7 96.3 107.0 109.0 104.5 116. 7 91.4 178.9 145. 4 103. 6 87.9 155.4 98.7 103.6 December - 112.1 101.7 100.6 107.9 111.1 103.9 116.4 91.7 163.5 148. 7 103.2 86.5 151.3 99. 3 104.9 1926 January 107.0 99.1 98.3 108.1 110.4 105.3 105.8 85.8 136.0 145.5 100.1 89.7 136.9 86.0 102.2 February.- 111, 5 102.4 101.7 110.2 109.0 111.5 111.0 91.9 166.3 144.9 99.8 94.2 140.1 84.0 102. 8 March.. 113.0 104.2 103.4 109. 8 108.2 111.8 111.9 94.5 170.7 147.9 99.3 93.2 144.3 88.4 104.5 * This table contains for certain months index numbers of pay rolls, together with group indexes for important industrial components. The general index is a weighted average of relatives for 34 individual industries. The method of construction was described in detail and indexes for the above groups since January, 1919, were published on pp. 324-325 of the BULLETIN for May, 1925. See also p. 668 of BULLETIN for September, 1925, for certain revisions. INDEXES OF INDUSTRIAL ACTIVITY * [No seasonal adjustment. Monthly average 1919=1001 Agricultural movements Mineral production Year and month Ani- An- Bitu- Total s L t i o v c e k - p m ro a d l - Grains C to o n t- t V a e b g le e s - Fruits b T a o c - co Total t c h i r t a e - n m o i u - s P le e u tr m o- i P ro ig n C p o e p r - Zinc Lead Silver ucts coal coal . 1925 March 86 91 108 73 71 128 106 53 123 96 97 191 140 140 131 154 104 April .._ 72 87 123 40 43 125 94 17 117 99 87 194 128 140 124 143 109 May __ 79 86 139 62 28 135 13« 5 124 108 91 216 115 140 127 147 111 June , 83 88 164 75 12 142 92 1 124 103 96 212 105 139 117 151 116 July 88 86 150 99 14 110 151 (s> 129 113 102 214 105 136 121 145 114 August. 104 91 liy 133 75 107 122 73 136 117 116 212 106 135 122 143 105 September- 152 93 101 149 234 204 244 171 121 1 121 206 107 134 121 138 103 October 166 117 101 96 310 233 391 165 130 1 137 204 119 141 129 164 98 D N e o c v e e m m b b er e — r. 1 14 4 9 8 1 1 0 0 6 5 no 1 1 3 0 5 8 2 2 7 3 7 9 116 177 2 3 2 2 3 6 1 1 2 2 9 5 3 2 1 13 3 1 6 1 1 9 9 4 6 1 1 1 2 9 8 1 1 3 3 4 7 1 1 2 3 9 7 1 16 5 1 3 1 1 0 0 4 5 117 1926 January 108 114 106 344 129 138 190 130 141 144 158 109 February. _ 88 93 74 94 273 115 28 120 173 115 135 136 3 148 3107 March. „ 85 116 64 123 137 120 119 192 135 150 164 111 Manufacturing production Year and month Total s I a r t n e o d e n l m A o u b t i o le - s T ti e le x s - p F u r o c o o t d s d - L b u e m r - p P ri a a n n p t d i e n r g Le a a n t d her P le e u tr m o- C b e a r m n ic d e k nt To c b o ac- R t b i u r e e b r s - 1925 March-, 135 147 223 122 95 150 142 101 204 158 116 190 April..-!.. - .... 133 128 260 119 88 155 142 201 188 113 191 May 130 121 250 109 87 165 136 212 213 119 195 June .__-__. 126 112 239 105 94 160 133 84 216 202 133 194 July.... - 126 109 239 107 97 164 125 87 222 207 135 202 August. 122 118 153 104 96 167 128 97 222 207 127 203 September __ 126 120 193 107- 105 lfiO 128 97 209 191 131 183 October __„_ „„. 141 134 270 ,118 114 172 139 103 218 206 141 165 November— -.__—__. 129 134 225 114 98 139 136 84 212 173 120 155 December 128 138 191 119 107 133 138 85 216 152 110 175 1926 January „__. 129 144 120 104 135 142 216 130 115 172 February—.- 125 131 220 115 92 137 134 198 112 110 177 March.. 142 154 263 122 99 156 144 221 151 195 1 For description and early figures see BULLETIN for March, 1924, and for certain revisions see p. 739 of the October, 1925, BULLETIN. ..* Less than one-half of 1 per cent. * Kevised. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAY, 1928 FEDERAL, BESERVB BULLETIN 337 COMMODITY MOVEMENTS The following statistics are secured from 1919) can be obtained from previous issues of various sources and compiled in the form given the BULLETIN or upon application to the Divibelow by the Board's Division of Research and sion of Research and Statistics, Federal Reserve Statistics. Earlier figures, (in most cases since Board. March, February, March, March, February, March, 1926 1926 1925 1926 1926 1925 Grain and Flour Transportation—Continued Keceipts at 17 interior centers (000 Revenue freight loaded, etc.—Contd. omitted): Classified by nature of products— Wheat (bushels) ._.,.—, 15,163 17,165 16,967 Coal....—.....-.—..... 804 642 Corn (bushels) ._. ... 20,428 26, 765 23,802 Coke...- — 64 72 54 Oats (bushels) „ -_— 12,328 12, 244 14, 733 Forest products ..„.. 344 299 351 Rye (bushels) » - 1,032 1,082 833 Ore...—— - ~. 50 42 52 Barley (bushels) „..:.„ -. 2,958 2,588 3,372 Merchandise, 1. c. 1 1,194 990 1,127 Miscellaneous... „. „„-. 1,583 1, 292 1, 504 Total grain (bushels). 51,908 59,844 59,707 Flour (barrels) 2,009 1,728 2,091 Total.. 4,341 3, 676 4.010 Total grain and flour (bushels) ... 60,949 67, 622 19,115 Classified by geographical divisions- Shipments at 14 Interior centers (000 Eastern.. 1, 062 842 955 omitted): Allegheny.... 887 747 828 Wheat (bushels) ..„—... 11,923 18, 434 Pocahontas 226 215 180 Corn (bushels) _ 8,529 9,093 12, 430 Southern. •. . 718 609 679 Oats (bushels) --„•—— 13,448 10,887 16, C84 Northwestern. 523 458 501 Rye (bushels) -—-. 753 530 349 Central western 625 539 584 Barley (bushels) ... .. 1,923 1,332 2, 085 Southwestern 299 266 284 Total grain (bushels). 36, 575 31, 704 49,983 Total. 4,341 3,676 4,010 Flour (barrels) 3,121 2,803 2,762 Total grain and flour (bushels) 50,619 44, 317 62,413 BUILDING STATISTICS Stocks at 11 interior centers at close oi month (000 omitted): Building permits issued in 168 cities, Wheat (bushels).... 25, 554 29, 395 40, 656 grouped by Federal reserve districts: Corn (bushels) 28,861 28, 784 Number of permits- Oats (bushels).. 46,745 51,028 56, 779 Boston (14 cities) 2,063 859 3, 036 Rye "(bushels) .... 12,938 12, 721 10, 190 New York (22 cities) 9,553 5,045 13,451 Barley (bushels) -—.... 4,686 5,576 2,710 Philadelphia (14 cities) 2,775 1,206 4,030 Cleveland (12cities).. 5,981 3,560 6,501 Total grain (bushels). 120,910 127,581 139,119 Richmond (15 cities) ...- 3,921 2,484 4,299 Atlanta (15 cities) . 4,953 4, 380 3,887 Receipts at 9 seaboard centers (000 Chicago (19 cities) •. ..- 10,184 6, 706 12.886 omitted): ! St. Louis (5 cities) •_ 2,951 2, 158 3,164 Wheat'(bushels) ... 7,779 14,338 Minneapolis (9 cities).. 1,368 721 1,712 Corn (bushels) ..... 708 1,209 570 Kansas City (14 cities}....— 3,107 2,058 4, 086 Oats (bushels) 2,256 1,876 2,381 Dallas (9 cities).. .—..... 2, fiOl 2. 3L2 2, 764 Rye (bushels) 618 396 1,219 San Francisco (20 citics)....... 12,199 8,89a 13, 227 Barley (bushels).. *.., ... 2,682 2, 121 1,445 Total. 61,656 40,527 73. 103 Total grain (bushels). 14,043 14, 481 19,954 Flour (barrels) 2,011 1,609 2,482 Value of permits (dollars, 000 omitted)— ; Total grain and flour (bushels)... 23,093 21,992 31, 121 Boston (14 cities) 10, f>32 5, 457 14,114 New York (22 cities) :.__.. 130,067 76, *95 112,331 Stocks at 8 seaboard centers at close Philadelphia!(14 cities)^__. 20, 704 13. 247 30.717 of month (000 omitted): Cleveland (12 citiesj—L—..... 27,431 10, 259 25,283 Wheat (bushels)... 3,310 4,593 11,028 Richmond (15 cities)..__._- 22,0<;6 10, 7*4 19,023 Corn (bushels)__ „ 861 1,756 " 834 Atlanta (15 cities) :.....— 14,3fil 19, 169 11.480 R B O a y a r e t l s e ( y ( b b u ( u s b s h u h e s e ls h l ) s e ) l . s . ).. *. 2 1, , 1 2 1 0 7 4 1 3 0 2 1 . , 4 2 3 1 4 9 1 2 5 ) 1 7 1 , , , 2 9 5 9 8 7 8 9 8 M C St h . i i n c L n a o e g u a o i p s o ( 1 ( l 9 5 is c c ( i i t 9 t i i e c e s i s ) t ) ie .. s . ) - . . - . . . . . ___.— -. 6 1 6 4 1 . , , N 2 5 8 * 2 4 7 8 42 6 2 , , . 4 0 7 0 7 4 1 1 3 6 1 0 6 0 . , . 0 0 4 2 1 7 3 6 4 Total grain (bushels) 7, 685 10, 406 22. */27 Kansas City (14 cities). 9,039 6,514 11,377 Dallas (9 cities)........! 10. 197 7, 6hO 7,280 Wheat flour production (barrels, 000 San Francisco (20cities)....— 3K, 286 2f>. 736 40,216 omitted)... 9.901 8.881 9,297 Total.—.... „———. 364,012 | Tobacco Building contracts awarded, by Fed- Tobacco sales at loose-leaf warehouses eral reserve districts (dollars, 000 (pounds, 000 omitted): omitted): ; Dark belt Virginia _..... 3,978 670 Boston _ __.-— •_.. 32, 476 18, 494 32,284 Bright belt Virginia 8.121 736 New York.. :._..' _._. 158, 454 104, 568 87, 050 North Carolina ... L 12, 703 Philadelphia....^ - - 4.5,719 25, 536 48. 902 W Bu e r s l t e e y r n dark _ -.. .. _ . 1 3 9 , , 1 5 S 9 8 3 2 2 34 3 , , 9 7 3 2 7 4 10 2 . , 4 6 7 7 4 6 R C i le c v h e m la o n n d d . - - - --- »-- 6 57 5 , , 9 1 3 2 5 1 3 2 5 5 . , 0 9 3 6 3 9 6 5 8 9 , , 8 8 0 5 9 7 Atlanta... .._.: ------ 61,081 63, 558 34, 274 Transportation .Chicago.. __ .--.-.._ 91, 359 53, 848 00, 305 St. Louis...— -__-.„- 33. 527 23, 551 32. 136 Revenue freight loaded and received Minneapolis 15, 029 6.893 10. 410 from connections (cars loaded, 000 Kansas City .'_ 13,897 12. 73t> 14,0h5 omitted): Dallas..... 23. 281 19,714 12.819 Classified by nature of products- Grain and grain products....... 178 171 162 Total (11 districts).. 597, b79 3b9,900 491,011 Livestock 124 113 -• 118 94033—26—~6 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

338 FEDERAL RESERVE MAY, 1926 WHOLESALE AND RETAIL TRADE WHOLESALE TRADE IN THE UNITED STATES, BY LINES » CHANGE IN CONDITION OF WHOLESALE TRADE, BY . LINES AND DISTRICTS—Continued [Average monthly sales 1909=100] . Percentage change Percentage change in sales, March, in stocks * at end i G n er e d n a e - l x Gro Meat g D oo ry ds Shoes H w a a r r d e - Drugs • w 19 i 2 th 6 — , comp _ ared c o o f m M pa a r r e c d h , w i 1 t 9 tb 2 r 6 - , Febru- March, Febru- March, 1924 ary, 1926 1925 ary, 1926 .1925 , October.... 100 78 104 67 110 128 November.. 89 69 88 57 98 109 December.. 05 77 57 99 109 Shoes—Continued. 1925 A Ri t c la h n m ta o n d d i s d tr i i s c t t rict 3 4 5 3 . . 9 5 2 21 1 . . 4 2 -.5 -2.7 J F A M a e p a n b r r r u c i u a h l a . r . r y . y . ., . . L * L .. . . . 7 6 7 6 9 3 8 1 8 9 8 8 2 6 8 5 4 4 6 6 3 6 3 5 1 1 8 0 9 0 9 7 0 7 1 1 1 1 1 2 0 1 6 1 9 5 S M S C a t h . i n n i L c n F a o e g r u a a o i p n s o c d d i l i s i s i s s c t r t o d r i c i i d c s t i t t s r t i r c i t c t _ 5 4 3 1 9 4 2 5 . . . . 2 0 5 1 -1 - 1 1 2 4 0 3 . . 5 . . 4 1 0 - - - 7 6 4 . . . 9 0 2 - - 3 1 6 7 7 . . . 7 0 5 May L. 75 •' • 77 54 101 106 Hardware: J J A S N D O u u e o e u c p n l c v y t g e t e o e e u m m b m s e b t b b r . e e e . . r r . r . . . , . . . . . . . 1 9 0 8 4 1 7 • 8 7 7 7 7 7 8 9 9 8 2 2 7 2 1 1 1 8 8 9 0 1 1 7 2 2 6 2 8 5 5 4 6 5 7 7 5 5 7 5 4 2 7 9 4 . 1 1 1 1 1 9 9 2 0 0 0 0 9 8 2 9 3 1 5 1 1 1 1 1 1 1 0 1 1 2 1 1 3 8 1 0 0 0 1 4 U N A R P C C h h n i e l t c e l i w i i a l c h v t a e n a e m d Y d g t l a a e o o o n l S n r p d d d k d t h i a i s s d i t d d t a e t i r i r i s s i s s i d c t c t t r i t r r t i s i i c c t c t r t t ict __ 2 2 3 3 1 L 2 3 5 6 8 4 . . . . . S 0 3 1 1 3 - - - - - 1 - 1 7 8 2 5 7 . . . . . . 6 2 5 8 2 1 .1 2 1 1 2 2 2 1 . . . . . 5 9 6 5 1 9 0 - - — 8 4 5 6 1 1 9 . . . . 4 9 9 2 4 9 6 F M Ja e a b n r r u c u a h a 1 r 9 r y 2 y 6 ., . - , ^ .. . 7 8 7 6 5 8 * 7 7 7 5 4 9 8 9 7 6 3 9 7 4 5 3 3 0 1 8 8 0 7 6 6 1 1 1 1 3 1 1 3 0 M S S K D a t a a . i n n l n L l n s a F o a e s i u s a a d i p n s C i o c s d i i l t t s i r i y s c s i c o t d d r t i i i d c s s i t t t s r r t i i r c c i t t ct _. 2 2 1 3 9 2 7 . . . . 3 0 6 1 - - — 3 1 6 5 . , . . 4 1 . 2 0 6 4 - 5 0 .9 . . . 8 0 5 -1 — 8 3 . . . 6 9 0 8 Drugs: BU 1 L F L o E r T I d N e s f c o r r i p A t p io r n il , o 1 f 9 2 th 3 e . wholesale trade index see FEDERAL RESERVE U Ne n w it e Y d o S r t k a t d e i s s trict . . 2 1 0 8 . . 9 1 1 9 0 . . 8 3 1.4 6.8 Philadelphia district 22.0 15.3 -1.0 8.0 Cleveland district 24.3 15.1 CHANGE IN CONDITION OF WHOLESALE TRADE, BY Richmond district _. 11.4 7.2 LINES AND DISTRICTS Atlanta district 10.9 15.0 Chicago district 24.2 6.9 1.2 6.1 St. Louis district 15.6 5.0 Kansas City district 20.9 5.7 5.3 -2.5 Pe i r n c e s n a t le a s g , e M ch a a r n c g h e , Pe i r n c e s n to t c a k g s e l c a h t a e n n g d e D Sa a n l la F s r a d n i c s i t s r c ic o t district 2 5 0 . . 7 6 5 6 . . 7 0 1.8 3.2 1926, compared oj March, 1926, Furniture: with— compared with— Richmond district -4.4 —7.6 Atlanta district _. 10.4 -3.7 —.9 15 6 St. Louis district 10.9 -27.8 4.2 20.2 ar F y e , b 1 r 9 u 2 - 6 M 1 a 9 r 2 c 5 h, a F ry e , b 1 r 9 u 2 - 6 M 1 a 9 r 2 c 5 h, K Sa a n n s F a r s a n C c i i t s y c o d i d s i t s ri t c ri t ct 3 5 4 . . 2 8 -4 9 . . 8 5 —2.8 3.5 Agricultural implements: United States 2 13.5 17.7 Groceries: Minneapolis district 50.0 39.0 7.0 39.0 United States.. . 13.8 2.0 —.9 1.1 Dallas district . -28.6 5.7 2.3 5 N B e o w st o Y n o d rk is t d r i ic st t rict ___ 1 17 8 . . 7 7 8 2. . 6 8 - — 3. . 5 1 -1 9 . . 4 6 Stat N io e n w er y Y a o n r d k d p i a s p tr e i r c : t 1.1 10.8 Philadelphia district 12.5 -1.6 -1. 2 2.2 Philadelphia district 23.1 -2.8 .6 .2 Cleveland district 12.1 0.0 Atltanta district 14.6 15.4 Richmond district. - 11.0 -.3 -5.2 -5.6 San Francisco district.. - 14.0 6.1 Atlanta district 12. 6 10.5 Automobile supplies: Chicago district 15,1 -1.4 -.7 -4.1 San Francisco district 26.2 7.0 St. Louis district •___ 4.1 2.3 ~7.3 -4.1 Clothing: Minneapolis district . 15.0 -7.0 -2.0 0.0 New York district 17.2 -15.4 Kansas City district..... 15.4 -2.0 -2.4 -2.0 St. Louis district -15.9 2.3 Dallas district 1.6 .8 1.0 2.0 Cotton jobbers: San Francisco district _ 14.0 —5.7 New York district 1.8 -17.8 -11.7 -10.1 Dry goods: Silk goods: United States. 8.9 -3.3 1.4 —6.7 New York district 6.7 -4.7 -.3 M8.8 New York district 5 9 —6.9 Machine tools: Philadelphia district- —„ 35.5 -.9 -.8 2.4 New York district 22.0 19.7 Cleveland district, 8.2 .3 -11.5 Diamonds: Richmond district-•_____. -4.3 -7.8 -.1 -21.9 New York district 21.8 21.6 Atlanta district 9.3 —4.1 2.5 19.2 Jewelry: Chicago district __._ 17.0 -2.1 1.9 -5.6 New York district 4.4 2.3 2.9 * -9.2 M St. i n L n o e u a i p s o d li i s s t d ri i c s t trict — - 1 5 8 .0 .3 -1 — 2. 0 1.5 - 6 .7 .0 —1 2 5 . . 0 2 Elec P tr h ic il a a l d s e u lp p h p i l a ie s d : istrict 20.4 26.0 1.3 -6.6 Kansas City district 3.1 4. 9 -.7 .1 Philadelphia district 17.7 14.3 1.8 -11.4 Dallas district. —. -17. 9 -10.7 4.9 -1.7 Atlanta district 1.5 88.2 -11.9 —16.3 San Francisco district 37.0 6.8 St. Louis district 12.7 9.9 4.3 -10.3 Shoes: San Francisco district 11.9 -3.1 United Slates..... ______ 45. 4 15.8 -4.3 —25.3 Millinery: Boston district 29.9 6.6 —2.1 — 13.3 Kansas C ity district 4.2 -10.9 New York district. ._ 63.4 7.3 -8.7 -4.5 Stoves: Philadelphia district 94.8 3.4 -4.7 -24. 9 St. Louis district 30.9 -3.9 27.6 -19.4 Cleveland district 47.3 5.9 —.4 -16.1 1 Changes in total stocks for the United States are weighted averages by the Chicago Federal Reserve Bank from reports of leading manufaccomputed on the basis of firms which have reported regularly to the turers and include all of their domestic business. Federal reserve system since January, 1923. 3 Stocks at first of month; quantity, not value. 2 Sales of agricultural implements for the United States are compiled 4 Includes diamonds. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAY, 1926 FEDERAL RESERVE BULLETIN 339 RETAIL TRADE, BY REPORTING LINES! [Average monthly sales 1919=100] Sales without seasonal adjustment Sales with seasonal adjustment if ii Year and month .a a •81 1SS ill| || l| 0, W WJ O die a>'itft c g§ o £ « c C | O s 1925 January 108 108 250 151 155 122 107 92 162 124 110 249 207 161 141 141 February 101 105 233 156 146 119 100 175 131 116 243 209 161 140 x49 March.. 121 119 252 177 160 131 127 105 188 J21 10-J 233 185 159 135 127 A M p a r y il.. A 1 12 3 8 6 . 11 9 7 5 2 2 5 5 8 4 1 19 9 1 5 159 1 1 3 4 1 3 1 14 7 9 7 107 2 1 1 9 0 5 1 1 3 2 3 4 1 1 0 1 0 4 2 25 5 4 5 2 2 0 0 8 1 1 16 6 0 4 1 1 3 4 9 0 H 1* O 2 June 126 102 254 187 167 134 152 184 126 120 257 203 170 137 142 July 87 259 183 166 136 122 104 181 128 117 269 201 164 137 134 August 89 243 195 171 142 120 128 202 1,25 118 255 205 171 145 153 September 121 11$ 245 191 169 142 129 136 202 134 120 258 206 172 142 135 October.. _. 165 170 318 237 179 151 164 | 141 215 145 131 300 219 175 145 145 November „__ 145 144 272 220 107 130 136 139 195 129 116 270 211 177 138 126 December 226 166 332 427 225 212 188 214 280 141 140 318 231 185 157 143 1926 January..- 114 116 286 166 178 127 108 101 167 130 118 284 228 185 146 142 February „. 104 111 289 170 172 127 97 103 173 136 123 303 227 189 151 145 March 130 130 302 199 142 143 112 206 130 112 278 207 194 147 143 {hc ei niahc 112 193 120 207 116 186 126 210 116 202 125 197 140 185 143 202 136 204 117 209 111 205 114 191 122 199 126 205 124 204 * For description of the retail trade indexes see FEDERAL RESERVE BULLETINS for January and March, 1924. J Index of sales of grocery chains revised. Comparable index numbers for all months since January, 1919, may be obtained from Division of Research and Statistics, Federal Reserve Board. DEPARTMENT STORE SALES, BY FEDERAL RESERVE DISTRICTS [Average monthly sales 1919=100] Sales without seasonal adjustment Sales with seasonal adjustment Number of re- Federal reserve district port- 1926 1925 1926 1925 ing firms Mar. Feb. . Jan. Dec. Mar. Feb. Jan. Mar. Feb. Jan. Dec. Mar. Feb. Jan. United States 359 130 104 114 226 121 101 108 130 135 130 141 121 131 124 Boston __-- 24 119 93 131 225 110 94 110 118 125 145 141 110 126 122 New York 63 131 108 124 243 124 107 120 129 141 136 148 122 140 132 Philadelphia 22 138 103 112 222 125 101 105 149 128 127 141 135 125 120 Cleveland 54 127 106 108 218 125 106 107 125 130 124 138 123 137 123 It fchinond 23 130 91 103 230 119 89 93 126 122 125 133 115 120 113 Atlanta 35 108 92 89 190 99 84 83 109 121 108 117 100 111 102 Chicago _- 63 145 119 119 244 127 107 112 145 151 140 156V 127 136 132 Minneapolis 23 94 76 85 167 97 81 92 96 108 300 113 99 115 107 Dallas 21 111 93 94 180 107 90 92 105 118 109 111 101 114 106 San Francisco 31 158 117 129 253 142 113 128 160 154 145 161 143 149 145 DEPARTMENT STORE STOCKS, BY FEDERAL RESERVE DISTRICTS [Average monthly stocks 1919=100] Stocks without seasonal adjustment Stocks with seasonal adjustment Num- Federal reserve district o p f o r r e t- - 1926 1925 1926 1925 mg firms Mar. Feb. Jan. Dec. Mar. Feb. Jan. Mar. Feb. Jan. Dec. Mar. Feb. Jan. United States 314 143 132 125 129 139 127 119 141 140 141 139 137 135 134 • Boston 24 124 113 110 119 126 115 112 124 121 122 122 127 123 124 New York 63 142 128 125 131 135 123 118 139 138 140 138 132 132 132 Philadelphia 13 201 183 167 176 185 167 147 197 195 187 183 182 177 164 Cleveland ~- 52 137 124 112 123 137 125 112 136 134 133 132 136 134 133 Richmond - .--- 19 128 121 114 120 131 118 109 123 128 135 133 125 126 129 22 122 112 111 102 113 107 99 121 116 123 114 112 111 110 Chicago -- -- - 51 162 153 144 148 156 145 137 163 105 160 159 158 156 154 22 110 101 96 101 117 106 99 106 104 108 110 112 109 111 Dallas 19 128 118 108 11) 125 113 103 127 125 126 130 124 120 119 San Francisco - 29 141 132 126 124 136 126 123 139 137 137 136 134 131 134 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

340 FEDERAL RESERVE BULLETIN MAY,I926 FOREIGN BANKING AND BUSINESS CONDITIONS ANNUAL REPORT OF THE GERMAN REICHSBANK The annual report of the German Reichsbank adopted by the bank directors, the unsatisfacfor 1925, presented by the board of directors to tory features of credit rationing were more and the general assembly of stockholders on March more obviated; in particular, adjustments of 26, 1926, contains the following summary of considerable magnitude and large extensions of the operations of the bank and survey of eco- quotas were made in response to seasonal and nomic conditions: local needs. Of still greater importance was During the year 1925 confidence in the new the announcement of the Reichsbank that it German currency became more firmly estab- was prepared to rediscount acceptances of cerlished. Quotations of the reichsmark on the tain first class banks and banking establishforeign exchanges no longer showed any devia- ments without including these in the regular tion from parity. In the German commercial credit quota. In regard to the purchase and banks, in the savings banks, and in the other sale of securities, the list of securities eligible financial institutions deposits increased in a for purchase was repeatedly extended by the most encouraging way. Inasmuch as all de- MILLIONS OF REICHSMARKS MILLIONS OF REFCHSMARKS mands made upon the Reichsbank for foreign 5000 CIRCULA1NON ANDL.0AKS —y 5000 exchange bills were met always and to their full amount, the gold convertibility of notes was Tota (Money practically reestablished. inCirculation ^500 In contrast to the satisfactory development of the currency and exchange conditions, the general economic situation, especially in the 4000 ^000 latter half of the year, unfortunately presented a less favorable picture—it moved steadily toward a crisis. It almost seemed as though the inevitable results of the manifold blows of 3500 3J00 fate which Germany had suffered during the last 10 years would get the better of the determination of the German people to achieve self- 3000 3000 support and reconstruction. In particular, the Loans Banks of continuing shortage of working capital, which during the inflation period had been either de- 2500 stroyed or diverted to unproductive uses, had made the urgently needed restoration of German industry much more difficultJ and in con- 1925 2000 J2000 nection with excessive interest charges and tax JAN. FEB; MAR. APR. MAY JUN. JUL. AUG. 5EPT. OCT. NOV. Total money in circulation in Germany, including Reichsbank notes* assessments as well as with unfavorable price Kent6nnank notes, notes of the private banks of issue, and subsidiary and market conditions, in spite of the political coins; and total loans of the Reichsbank, the Ren ten bank, the private banks of issue, and the Gold Discount Bank. ray of hope, finally led to a disastrous climax of reduced production, unemployment, business inclusion of numerous kinds of mortgage bonds depression^ and bankruptcies. payable in gold or in reichsmarks. Although the Reichsbank was assuredly not As is indicated by the accompanying chart in a position to supply German industry with showing the money in circulation compared capital by the aid of the printing press, it never- with the discounts and loans on securities at theless relieved the situation in so far as it was the Reichsbank, the Rentenbank, the private able—it continued to extend loans to the full banks of issue, and the Gold Discount Bank, limit permitted by its currency policy, and it the amounts lent to business enterprises, even assisted in word and deed all efforts toward the in spite of the depression that has taken place, much-needed accumulation, both at home and were somewhat larger at the end of 1925 than abroad; of capital sums for long-term loans for at the end of the previous year. In the meanproductive purposes. time, however, the loans made by the com- The strict credit policy adopted in April, mercial banks and other credit institutions had 1924;, in the interest of the currency could not shown a very notable increase; and during the be modified to any extent during the past year. year capital sums to the value of 2 j^ billion Nevertheless, through various further measures reichsmarks had come into the country froig Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAY, 1926 FEDERAL EESEEVE BXJLLETIK 341 abroad. If these vast new credits have not re- giro accounts, costs were reduced for both lieved the capital famine of German business retail and wholesale transactions, and charges more than was actually the case, the reason was were lowered for deposits of persons who had generally that these credits could not be placed no regular account. In the purchase of comat the disposal of borrowers for sufficiently mercial bills, the bank modified its customary long terms nor on sufficiently favorable terms. policy. For bills to the amount of 5,000 The sharp rise shown by the curve for the reichsmarks and over, the minimum discount circulation of lawful money, along with which period was reckoned at 5 interest days inthere went an increase in means of payment stead of 10, as formerly. For the purchase of other than cash, gives further confirmation of checks, also, the period of interest payments the fact that the policy of the Reichsbank was reduced from 10 to 5 days. The expectawhich permitted such an.expansion of the cur- tion that the whole level of interest rates and rency was earnestly considering the interests charges would be influenced by the measures of German business. That it has exercised no taken by the Reichsbank has been fully misdirected restraint is also shown by the in- realized, although open-market rates have for creasing proportion of protested bills and the most part remained at a height very frozen discounts and loans on securities which burdensome for borrowers aiid for business have appeared in the condition statements interests generally. during the year. Conditions in the German money and capital In looking back upon rising prices and market have unfortunately failed during the wages, as well as upon the prevalent specula- past year to become normal. To be sure, tive turn of mind which has lasted over from money was almost always to be had in adequate amounts, but almost entirely for short terms. The supply of ready money on the GERMAN INTEREST RATES market was increased by the growth of cash holdings of business enterprises, by the build- Monthly Rate ing up of capital sums in savings banks, by j-^-d..—.,..,»„. foreign funds of various kinds which, con- 10 verted into reichsmarks, had been diverted fiteicfcsbar k Redisc. Rate from their original purpose and were seeking investment in the money market, and by an. Open Market Rate*""--——^,, accumulated surplus in the hands of the public. During the latter part of the year JAN. FEB. MAR. APR. MAY JUN. JUL. AUG. SEPT. OCT. NOV. DEC. sums were also released on account of the the period of inflation, the paradoxical charge business depression. In its efforts to convert has sometimes been made against the Reichs- as far as possible into longer term investments bank during the past year that it has gone too such capital sums as were not needed in the far in its granting of credits and in its purchases market, the Reichsbank continually found of foreign exchange. In reply to this the bank itself hampered by the fact that neither can point out that it has unquestionably ful- lenders nor borrowers were willing to obligate filled its primary duty of maintaining confi- themselves for any but the shortest possible dence in the currency both at home and period because of the uncertainty of money abroad, and that it has rendered all possible and interest developments. This circumstance, service consistent with this duty to the as the course of security values showed, was urgent needs of German business. The bank most disastrous to the reconstruction of the has also continued during the past year, with market for mortgages, stocks, and bonds, and energy and with notable success, its efforts to created for the time being an impossible situaassist German production by reducing interest tion for agriculture. In this connection menrates and the cost of credits. The accompany- tion should be made of the measures which the ing chart shows the decline of the more im- Reichsbank adopted to assist the private disportant interest rates during 1925. count market to secure suitable investment for The Reichsbank itself lowered its discount the so-called public funds, and to direct foreign rate on February 26, 1925, from 10 to 9 per credits into the right channels. cent, and its rate on loans on securities from The reconstruction of the private discount 12 to 11 per cent. The still more striking market was for many reasons of great impordecline in the rates of the Gold Discount Bank tance for German business. It made it possible will be discussed later on. In the handling of to meet the credit needs of business at a rela- Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

342 RESBRVU BULLETIN MAY, 1926 tively low price and independently of the of the inflation period seem to us a thoroughly credit rationing of the Reichsbank. In order unhealthy undermining of the strength of to create the necessary foundations for the German business. It is to be hoped that a market, the Reichsbank encouraged those change may be brought about in this respect first class banks .and banking houses in.Berlin by the proposed lowering of taxes and by a which belonged to the so-called "Stempel- change in the financial administration. In vereinigung" to offer their acceptances once order that all capital sums that may become more for purchase and sale as a means of available or that may be newly built up may be making their own credit resources available. reserved first of all for productive enterprise, all With the provision that the total of these ac- governmental authorities of the Reich, of the ceptances should stand in a prescribed ratio to States, and of the municipalities ought to the assets of the bank in question, the Reichs- exercise the utmost restraint not only in seeking bank announced that it would admit such to obtain foreign credits but also in making acceptances to rediscount without including demands on domestic resources. Also the them in reckoning the apportionment of credit. separation of the postal service and the railways The bank hoped in this way to stimulate the from the finances of the Reich shows itself in its purchase of private discounts. The banking present form more and more capable of imhouses above mentioned mutually agreed that provement in the interest of a united and confor the present no firm shoulcl put out accept- centrated pooling of the resources of all public ances in excess of one-half of its paid-in capital authorities. The question how, after the deand surplus. Corresponding agreements were cline of the cash reserves of the Reich, the entered into with other first class banks in reserves of the post office and the railways can be Frankfurt, Cologne, Hamburg, Mannheim, made available for the general account of the and Carlsruhe; and negotiations were begun Reich in the way formerly customary, is with banking firms in other places. urgently pressing for solution. In regard to The report for 1924 spoke in detail of the this, the Reichsbank has many times made efforts of the Reichsbank with regard to the detailed suggestions. administration and the application of the As to the position which the Reichsbank has reserves of public funds and of other capital taken with regard to foreign capital coming sums which were built up under legal com- into Germany, detailed explanations were made pulsion, or which, like the money in the savings in last year's report. The same principles have banks and insurance companies, had always guided the policy of the Reichsbank during been under government supervision. The the year under review. Furthermore, the bank efforts of the bank to bring about the invest- took occasion jbo advise against contracting ment of these funds according to sound short-term foreign loans, and in general to adeconomic principles were continued during the vise longer term credits, with the result that year under review. Thus, part of these funds the proportion between short-term and longfound investment in the general credit business term foreign indebtedness has made notable imof the Reichsbank, which then transferred provement in the direction indicated. some of the rediscounted bills in its portfolio The bank has taken up during 1925 all to the various organizations. Another part of foreign exchange bills which originated from these funds was supplied by the Reichsbank to foreign credits and were offered to it, and in the private discount market. Furthermore, this way has rendered a great deal of assistance considerable amounts of these public funds were in the line of credits to German trade and placed in the banks and other financial institu- industry; for foreign credits which were not tions by agreement with the Reichsbank, and used directly to pay for imports could be made were then made available by these as credits available for domestic purposes only when for business. It was exceedingly significant converted into reichsmarks. But, on the other that the bank, having regard to the clearly hand, by the purchase of foreign exchange the defined interests of lenders, succeeded in con- bank at the same time performed its duty in verting part of the public funds, hitherto lent respect to currency policy. For instance, if it for only short terms, into long-term investment had declined rather large offerings of foreign in agricultural securities and mortgages, as exchange, the stability of the currency would used to be the prevailing custom before the have been imperiled, and an overvaluation of war. the mark in comparison with foreign currencies We can not forbear emphasizing once more would have come about. In the interest of at this point that the excessive cash reserves import and export trade and of obtaining accumulated by public authorities at the close credits, and for general currency reasons, it Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAT, 1926 FEDERAL BES1BVE BXTLLETlH 343 seemed imperative to avoid such a departure reiterated that the sums of several million from parity, even though in the long run it reichsmarks which even now have to be realmight have brought gold into the country. ized annually in foreign currency for the Moreover, the Reichsbank was, through its service of interest and amortization on foreign own efforts, in a position to buy or sell gold at loans constitute an additional heavy burden, any time against foreign exchange bills without which, besides other things, must be taken out the danger of disturbing the course of the of German business under certain circumstances exchanges; for it repeatedly made use of this if German credit is to be maintained. If a power during the year in order to provide the sufficiently large amount of foreign cash or required 30 per cent effective gold reserve for cash equivalents should not be produced in the the increasing note circulation. It had to go normal processes of business, then a severe even further in this respect than was necessary curtailment of domestic credit and a correfor the needs of the moment in order to provide sponding raising of domestic interest rates against unforseen emergencies as well as for the would have to provide for the improvement of exchange of the Rentenbank notes in circulation the German balance of payments. Those into Reiehsbank notes. On the other hand, authorities which float foreign loans or permit the accumulation of gold is a measure which them to be floated, except under the compulsion for technical market reasons can be pursued of direst necessity, ought to be aware of this only gradually and with an eye tovthe future. weighty responsibility for currency and eco- It may be mentioned with thankfulness at this nomic conditions. . .•."• • • " point that the bank directors have arrived at In this connection it should be further mencomplete agreement with friendty foreign banks tioned that the Gold Discount Bank was of issue in regard to the above-mentioned deprived of the note-issue privilege at the time measures of gold and exchange policy, so that that the new banking law went into effect, the efforts of the central banks toward cooper- which, however, it had never used, and had ation have made encouraging progress. begun the liquidation of its business; in April, In its policy of furnishing foreign exchange 1925, the bank renewed its activity with the bills, the Reiehsbank has likewise 'made no consent of all parties concerned, because it change. As has already been mentioned, the seemed desirable in the interest of German bank has satisfied every demand made upon it; business to retain for those business enterprises especially about the middle of the year it met' which took part in .foreign commerce this extensive demands amounting to many hun- means of obtaining foreign credits. The dreds of millions of reichsmarks without any Reichsbank, as was mentioned in last year's ensuing disturbance of the exchange market or report, had acquired all the shares of the Gold uneasiness of any kind. Discount Bank and paid back the 'credit The influx of foreign capital into Germany granted by the Bank of England to the amount during 1925 continued to an extent which was of £5,000,000 even before it fell due. The somewhat dangerous to our currency policy, so credits granted by the Gold Discount Bank that it seemed imperative to do everything had reached-an amount-of £8,800,000 by the possible without injury to legitimate German end of last year. Further credits to the business interests to contract the use of foreign amount of about £485,000 were sanctioned credits to absolutely necessary and supportable but not yet drawn upon. With the resumption amounts. The most desirable use of such of business the discount rate was lowered to credits is to promote the kind of production 7 per cent on May 19, 1925, and again to 6 which will benefit the German trade balance— per cent on October 14. that is, which will serve to increase exports or Discussion of the enlargement of the functo decrease imports. Inasmuch as loans to tions of the Gold Discount Bank for the purpublic bodies do not for the most part fulfill pose of assisting agriculture will be deferred to these conditions, the Reichsbank set about next year's report. The motives for this action creating a special advisory council for foreign are. the same which have guided the Reichscredits to public organizations. In this council bank in other measures for the relief of agrithe bank is always represented. The function cu]ture—-to make available, so far as possible, of the council is to examine the applications for the sums of money hitherto offered as shortforeign credits made by communities, com- term loans for the long-term credit needs of munal organizations, and states, as to their pur- agriculture. Considering the great economic; pose and their necessity, and with regard to the importance of an increase in agricultural progeneral business and currency situation. It duction, it seemed obvious to the directors of can not be emphatically and seriously enough the bank that they should regard the interests Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

344 FEDERAL RESERVE BULLETIN MAY, 1926 of agriculture with special favor. For trie already been discussed in another part of this measures taken during 1924 in the directions record. This assistance was rendered espementioned, we refer to last year's report. In cially by the allocation of all kinds of public consideration of the unrelieved distress of the funds to definite credits for agriculture—for agricultural situation, which, apart from the example, for fertilizers-—and by investment in scarcity of working capital, was further aggra- agricultural securities; also by large purchases vated by the unfavorable development of of such securities for the pension fund of the prices for agricultural products, and even more Reichsbank itself at the beginning of the year by the fact that the market for long-term 1926. The security market was thus stimucredit on which agriculture is particularly de- lated to a higher price level, a development pendent had been almost wholly destroyed, which was further strengthened by the abovethe Reichsbank extended the most complete mentioned action of the Gold Discount Bank cooperation in the conveyance of rentenmark in favor of agriculture; this encouraged* the bills to the Rentenbank as provided by law. accumulation of agricultural securities, bene- The Reichsbank has many times renewed some fited the whole market for agricultural real of the agricultural bills which had been drawn estate loans by a notable lowering of the burin 1924 in order to give the needy agriculturist dens of interest and other charges, and led opportunity meanwhile to obtain credits else- generally to a definite easing of the capital where or to transfer his obligations to the market. To achieve this end and to allay Rentenbank. But, furthermore, even after the any doubts which might arise as to their transfer of its agricultural bill portfolio to the liquidity, the Reichsbank. has furthermore Rentenbank, the Reichsbank has bought new many times lengthened the list of agricultural agricultural bills, so far as was permissible securities which should be eligible for loans on under the provisions of the new banking law. securities at the Reichsbank. Finally, men- For these bills also it has many times granted tion should be made of the cooperation of the extensions. Reichsbank in the creation of the Rentenbank- The indirect credit assistance which the kreditanstalt and of the Reichsbank's activi- Reichsbank extended to agriculture during the ties as trustee for the foreign loans which the year under review, by trying in every way to new credit institution has floated. stimulate agricultural loans on real estate, has ANNUAL REPORT OF THE, BANK OF POLAND The report of the Bank of Poland for the The reorganization of the finances of the year 1925, presented at the annual meeting of Government, begun at a rapid rate and without the stockholders on March 10, contained the assistance from abroad, had brought together following review of the year: for the treasury numerous reserves, which The reformation of the currency and of being thus pooled for the service of the fiscal Government finance have disclosed numerous revenues, seemed to guarantee the equilibrium shortcomings" in the economic organization of of the budget. The support given by the pubthe country. We must seek the cause of the lic to the plans for reconstruction was considhappenings of this past year not in this or that erable, and was shown particularly on' the rneasure of the Government, but in the very occasion of the offering of subscriptions to foundations on which the Government was shares of the Bank of Poland. Unfortunately, built and in our past history. Poland owes in less than one year an unfavorable reaction its unfortunate economic situation to the will- came about, due not only to the poor harvest ful recklessness exhibited in regard to its and to the world crisis, but also to errors of territories at the time of the partition, to the management. During the latter half of the ravages caused by the World War, to the year under review the economic crisis resulted disastrous occupation of the country, then to in the fall of the exchange value of the zloty, the inflation of the currency and the world which destroyed part of the gains of the year crisis which followed the war, and, lastly, 1924. after the declaration of the independence of the Finances of the Government.—The second country, to the general optimism which, from year of the administration of the State finances, the economic point of view, was based on based on stable exchange, made it possible to false ^assumptions. The worst damage has appraise more accurately the foundations on been 'done in the matter of liquid capital.. which the public finances were established. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAY, 1926 FEDERAL RESERVE BUiLLETIN 345 The putting into effect of the budgets of 1924 about an improvement in price for wheat and and 1925 has shown that the currency reform flour and an increase in exports, all the more was carried through without adequate reserves because the declining exchange operated as and without regard to the needs of the national a domestic premium for the exporter. economy. The two budgets were made to Sugar production during the season 1924-25 balance only by reducing expenditures, which reached 78 per cent of pre-war, and was 28 per had been voted, and by utilizing extraordinary cent higher than for the year before.. Sugar revenues whioh had been secured during the exports showed an increase of 33 per cent over execution of the currency reform. Experience the preceding year. having proved that the budget for 1926 was Mines and industry.—In comparison with the out of line with actual conditions, a reduction of year 1924, which had been marked by a conexpenditure of about 25 per cent was decided siderable decrease in production and by a proupon. nounced increase in unemployment as the sequel The budget for 1925 was almost balanced. of the period of inflation, the first part of the Estimated expenditures were 2,165,900,000 year 1925 showed an improvement in many zlote, and estimated receipts were 2,157,500,000 lines of production, with the exception of coal zlote. Actual expenditures were 90.9 per cent, and iron. and actual revenues were 85.8 per cent of the In consequence of more favorable conditions, estimates. Thus the year 1925 actually ended the increase of production was very considerable with an insignificant deficit but almost without in the mining of potassium salts and the metals any reserves for the year 1926, the principal zinc and lead, which hitherto had not been adesources of reserves, the issue of specie money quately worked. Activity in steel forging and and the right of borrowing from the Bank of foundry work has grown, in response to new out- Poland, having been completely exhausted. lets on the domestic market and to the oppor- Receipts from taxes and monopolies in 1925, tunity of competing with foreign countries, due estimated at 1,466,000,000 zlote, yielded 1,333,- to more perfect organization and consequent 100,000 zlote—about 91 percent. These larger output. The same thing has been true receipts for 1925, although they were larger in regard to the production of petroleum. On than in 1924, fall short of the estimates or the other hand, coal production has decreased remain at the same level, as the capital levy as a result of the general coal crisis in Europe has not come up to expectations. and the difficulties with Germany over tariff Agriculture.—The economic crisis was es- questions. pecially severe in agriculture during the first The textile industry, which employs more six months of the year. The chief causes were than 30 per cent of the industrial workers, two—the lack of long-term credits and the poor showed considerable improvement, as did also harvests of the year before. The situation was chemical industries, paper, and public utilities. relieved in the course of the year by the excel- Leather and clothing industries declined delent grain harvests which were above the pre- cidedly as a result of foreign competition. war average. Building activity did not come up to expecta- As harvests throughout the world were tions, nor did those metal and lumber industries reported as very good, the international which depend upon building. In articles manumarket for grain was unfavorable both as factured for direct consumption there was little regards price and demand. The abundance of change. grain offered by the exporting countries The development of industrial and mining lowered the price, while the importing countries production could not reach great proportions, preferred to wait for the price to fall still lower. because buying power among the rural popula- Agriculture, being unable to obtain credits, tion has been reduced by the bad harvests of was forced to accept any price for its products 1924 and the lack of available funds. The without waiting until the market at home and great difficulty in procuring credits has deabroad might take a turn for the better. prived industry of revolving capital; this A more exhaustive calculation of the world caused a falling off in production. Polish inharvest showed that the harvests of grain and dustry, which had been gradually and painthe quantity available for export had been fully developing under very difficult circumestimated too high in various countries. Then stances, found itself in the latter half of the followed an improvement of the situation on year face to face with a crisis even more menthe world market, which was reflected in a rise acing because it had not yet recovered from the of prices and an increased number of outlets for effects of inflation. The falling off in producexports. In Poland itself the change brought tion, the increase of unemployment, the reduc- Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

346 FEDEEAL. RESERVE BULLETIN MAY, 1926 tion of working hours, all growing out of the mestic market. The difference in the prices financial crisis, lowered the capacity of the do- becomes a premium for the importer. mestic market which was suffering the effects of (2) Sales of merchandise of national origin the bad harvests. Then followed a still more fall off on the domestic market, while costs of pronounced falling off in production. production rise and make competition with for- Domestic commerce.—Uurrency reform, eign goods difficult. brought about solely by the aid of domestic (3) The stock of foreign exchange and of forcapital, revealed numerous weaknesses. The eign money at the Bank of Poland declines; most striking of these were the lack of revolving this directly influences the fall of our exchanges. funds, the paucity of the sources of credit, the The law of May 19, 1925, outlined a new lessening of consumption, as well as the too commercial policy, and brought important onerous tax burdens, both municipal and changes in the application of the customs State. tariffs of the year 1924. These modifications At the beginning of the year the commercial increased the customs duties on a great number situation was much more favorable than that of articles of consumption and luxury articles of other phases of our economic life. The im- and protected certain branches of the agri- Eorting of commodities from abroad, facilitated cultural industry. From that moment trade y credits on very advantageous terms, in- policy entered upon a new path—a policy of creased commercial activities. But from the moderate protection, and the regulation, temmoment that the Government established pro- porary at first and then permanent, of imports tective duties to enable domestic products to of luxury articles. This measure was necesmeet foreign competition on the domestic mar- sary for the general economic situation in order ket, the general movement of commerce with to escape the bad effects of our free-trade other countries declined. policy, and also on account of the lack of avail- Foreign commerce and balance of trade.—The able capital. Considering the insignificant trade balance of Poland was unfavorable from supply of credits from abroad, this measure March, 1924, to September, 1925. Among the was likewise advisable, for it put an end to the chief causes for this may be cited the poor har- outflow of foreign exchange bills from the Bank vests of 1924, to which should be added the hard of Poland and assured their return through the conditions of export and the free trade tenden- medium of export payments. cies of our commercial policy. If we consider The favorable trade balance shown since the situation of the country from August, 1924, September makes it possible to predict a to August, 1925, that is, for the period between favorable balance for the first three months of the harvests of these two years, the deficit on 1926. The increase in exports is due princiour trade balance amounts to 646,700,000 pally to four factors, which, however, do not zlote. During that time Poland imported exercise a constant influence. wheat and flour to the value of 220,600,000 (1) The good harvests make it possible for zlote, although in normal times she has a sur- the country to export grain instead of importing plus of these commodities for export. The sit- it, as has been the case up till now. uation was made still worse by the export of the (2) The regulation of the imports of certain two chief articles produced, coal and sugar, the commodities had no influence until the beginprices of which were much lower in 1924-25 ning of autumn, for goods ordered before the than in 1923-24. The deficit in the trade bal- publication of the new decree were being ance, brought about by importing grain and delivered in the meantime. flour and by exporting coal and sugar under (3) The fall of the exchange acted, on the unfavorable conditions, rose to about 340,000,- one hand, like a high protective tariff which 000 zlote, and this exercised a decisive influence impeded imports, and, on the other, like an on the rate of exchange. The free-trade prin- export premium which facilitated the quotation ciples of our tariff policy tended to lower prices of prices on commodities exported. by the import of merchandise, especially by (4) The scarcity of credit, the burdens of tariff concessions granted to certain commodi- taxation, and the lack of liquid funds comties for public utility. Experience has shown pelled industries to release their stocks of comthat this policy requires too much time to modities on the market at prices lower than achieve the desired results, and that it actu- replacement costs. ally brings about some disturbing effects: Poland has concluded 21 commercial treaties (1) Prices do not decline because commodi- or conventions up to the present time. By the ties from abroad conform to prices on the do- end of 1924 she had made commercial treaties Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

, 1926 FEDERAL • RESERVE BULLETIN 347 with. 16 countries; and, during 1925, with the at about the same level during the course of the United States (a modus vivendi), with Persia, year. The circulation of the notes of the Hungary, Greece6, and Czechoslovakia. Some Bank of Poland, which is included in the total of these agreements, for example that with amount, has, however, fluctuated very de- Czechoslovakia, have not yet been ratified. cidedly. The ratio between the subsidiary Conversations with Germany have been begun. coin and paper currency issued by the treasury The delay in concluding this treaty has been a and the note circulation of the bank was 22.3 source of economic difficulties for both con- per cent at the beginning of the year; rose to tracting parties. On the other hand, it has 48.5 per cent at the end of June, and to 113.7 been profitable for Poland in certain respects, at the end of December. This state of affairs for, in order to compensate for the absence of made it difficult to support the course of the exports to Germany, it has been necessary to exchange, but at the same time it lessened the form new and direct relations with various burdensome consequences of the deflation countries; and the difficulty of finding new of the bank notes. The fluctuations in the markets has compelled industry and commerce circulation were justified neither by the to perfect their technique and their organiza- variations in the prices of commodities nor by tion; this delay will enlarge the demand for the movements of the various economic domestic commodities to supply the needs of operations. The price index during the first the country. six months of the year varied between 118 The balance of payments.—The influence of and 121.6; then rose to 127.2 in September, to the trade balance on the balance of payments 136.5 in November, and 154.8 at the end of the and debts was more clearly realized in Poland year. During the last six months the rise in than in other countries because of our rela- wholesale prices caused by the decline in the tively unimportant economic contacts with exchange tended to necessitate an increase foreign countries, apart from the trade in com- in the circulation. On the other hand, the modities. The tourist business, the reciprocal depression resulting from the industrial crisis •economic services; and the movement of made the demand for currency less pressing. -capital sums have but slight importance in The total quantity of money in circulation, Poland. That is why the unfavorable trade which averaged somewhat more th&n 700 balance is directly reflected in the country's million zlote during the year, was certainly inbalance of payments. If, in spite of a favor- adequate. In the territories which are now able balance since September and a progressive part of Poland, the total circulation of notes improvement, the balance of payments in and specie before the war was about 1,500 recent months has shown a deficit, it is be- million zlote. One can not, however, conclude cause the settlements of import and export from this that the lack of currency has been contracts are made only after some delay. As the chief cause of the difficulties prevailing & result of the granting of credit facilities by throughout our economic life during the past foreign* countries and the dearth of credit on year; the real cause of the disquieting situathe domestic market, as well as the voluntary tion is rather to be found in the dearth of or forced extension of the loan periods, the three normal credit. month credits, which have been most fre- Deposits of all kinds in Poland exceeded quently employed, have been renewed. The 3 billion zlote at the end of the year 1913. favorable trade balance of the last four months In July, at the best period of the year 1925, of 1925 will not have any influence on the they rose to 643 millions; that is, about 20 balance of payments until some time during per cent of the pre-war amount, although the 1926. money in circulation is about 40 per cent of The influx of capital from abroad afforded pre-war. The rebuilding of capital has been only a slight assistance in the balance of pay- insignificant in comparison with the pre-war ments during the past year. Aside from situation, but by comparison with, the inflation Government borrowing abroad the country period it has shown a certain improvement; received no help frcSm adequate loans. The this, however, was only temporary, in view of short-term loans floated abroad in considerable the new changes whicn appeared toward the numbers have seriously aggravated the crisis end of the year 1925. during the second part of the year because of The heavy pressure of demands for credit their early maturity and of the weakness of put upon the banks by industry and comthe exchange. merce, as well as the high discount rates, led The money market.—The total quantity of the banks to adopt a liberal credit policy and, money in circulation has generally remained in fact, to permit a considerable lowering of Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

348 FEDERAL RESERVE BULLETIN MAY, 1926 their cash reserves. The consequent shortage abroad, but in amounts which were not suffiof reserves in the banks in the course of the cient to meet the most pressing needs and to year was one of the principal causes of the reduce the high cost of borrawing. All things banking crisis which in August affected the considered, foreign credits have played but an economic life of the country. The constant insignificant part. After the break in the exdecline in the stock of foreign bills and of change they were called in and, in fact, made foreign money in the Bank of JPoland, used to the crisis worse. cover the deficit in the balance of payments, Under these conditions credits were of course made it necessary to restrict discounting. As very dear. The market rate of discount was a consequence of this restriction and the always much above the official rate of the Bank weakening of the exchange, deposits were with- of Poland. After the conversations with drawn from the banks. Several banks having America in regard to a Government loan of only small reserves found themselves in a $50,000,000 had taken a favorable turn in difficult position. On account of the lack of February, the rate declined, but the financial liquid funds they were unable even to pay out crisis in August brought about a new and very considerable rise in the private discount rate. The legal interest rate, including commission M 9 I 0 L 0 LIONS OF 2L0TY MILLIONS OF ZL90T0Y0 and costs, could not exceed 24 per cent, according to the Presidential decree of June 29, 800 800 1924. But, on account of the difficulties of getting credit, borrowers often agreed to a higher rate. 700 700 The money market showed two distinct movements during the course of the year. During the first six months sayings accounts 600 600 became larger, the circulation increased, and interest rates declined. During the last six 500 500 months a contrary movement took place. Exchange movements.—The Bank of Poland, when it began to function, assumed no obliga- 400 400 tion to exchange its notes for gold. It established the dollar as the basis of stability for the zloty, and decided to purchase bills on New 300 300 York freely at the rate of 5.18 zlote to the dollar, thus assuring the absolute stability of 200 200 the rate of exchange. The conditions under which currency reform had taken place immediately after the inflation period necessitated 100 too a stable rate of exchange in order to bring out foreign securities which had been hoarded in the country and to safeguard savings. This 1925 1926 policy was maintained without effort during the deposits which were demanded, or were 1924, but in 1925 it became more difficult able to pay them only in part. Since October, every day. Under the pressure of an unfavorwith the assistance of the Government, some able balance of payments the supply of foreign improvement in the general situation is to be currency and foreign bills in the Bank of noted. Poland decreased rapidly, and fell from Liquid funds were too small to meet even the 254,100,000 zlote at the beginning of the year most indispensable needs for credit. In all the to 72,800,000 by the end of July, in spite of the domains of our economic life, without exception fact that about this time there was realized the necessity is apparent of bringing in foreign some 123,000,000 zlote from the Government capital, not only working capital but, still more loan floated in America which constituted an important, long-term credits for the develop- extraordinary replenishment in the portfolio ment of many enterprises. The influx of for- of foreign bills. At the same time the metallic eign capital was wholly inadequate during the cover for note circulation fell from 64.9 per past year. The Government as well as the pri- cent to 42.1 per cent. Inasmuch as available vate banks and a great number of industrial funds in foreign currency were not even suffiand commercial enterprises have floated loans cient to meet the foreign obligations which had Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAY, 1926 FEDERAL. RESERVE BULLETIN 349 been incurred, the bank had to restrict the sale ficult on account of the disparity between the of its foreign exchange bills, which were demands for accommodation and the availobviously declining. This action brought on able means of the bank. Theoretically, loans the fall of the zloty and fluctuations in the rate granted by the bank of issue are in the nature of exchange arising out of the relation between of reserve credits for the benefit of the ecosupply and demand. nomic welfare of the country; in this country Purchasers who were unable to obtain for- discounting with the Bank of Poland became eign exchange at the Bank of Poland tried to the chief source of credit, and, in fact the only get it in the domestic private market and in source during the second half of the year, as a markets abroad, where they offered for sale consequence of the limited functioning of the great quantities of zlote. In view of the private banks. The bank tried to meet the weakness of the zloty and the precarious con- demands for credit up to the limit of its dition of the Polish banks, banking houses means; at the same time it had to consider abroad threw their stocks of zlote on the always the maintenance of the metallic remarket and ceased to renew their short-term serve at its legal percentage. credits with the banks. Such was the situation The bank has not been able to satisfy all in the second half of the year. demands for credit, especially during the second The credit facilities granted at the beginning half of the year, when credit difficulties were of the year had to be curtailed in proportion to felt in every part of our economic life. Credits the decline in the metallic reserves. The granted were almost never drawn upon to their bank was also obliged to decrease its note cir- full amount. In normal times this phenomeculation in conformity with the condition of its non would have been evidence of the reserve gold reserve and its supply of foreign exchange character of credits at the bank of issue. But Bills and foreign currency. The decline of the if, on the other hand, we consider the suspencirculation (from 550,900,000 zlote at the sion of lending by the private banks, and the beginning of the year to 381,400,000 zlote at the restricted choice among the securities offered close of the year) was brought about partly by for rediscount, we see that this was merely a the sale of foreign exchange and foreign currency result of the unsatisfactory condition of the and partly by the decline in credit operations. country's economic life. The bill portfolio Apart from raising the discount rate, an of the bank felt the effects of this. All the act which loses its force unless the difference factories have suffered from the lack of credits, between the official and the private rate is especially long-term loans intended for developtrifling, deflation and intervention necessarily ment work. In the absence of long-term loans, became the means of defense for the bank. In their place was taken by short-term credits, normal times deflation has a favorable in- particularly bills for three months and then fluence on the balance of. payments, the course renewable. Even the strongest enterprises of the exchanges, and the price index. In the have suffered from this, and the fall in the price existing condition of the country deflation of their securities has lowered the value of brought about no important results, because the portfolio of the bank. the influence of the bank on the money market Discount rate.—In order to aid exports the was lessened by excessive issues of paper cur- Bank of Poland made a practice of granting: rency put out by the Government. The de- certain privileges and agreeing to especially cline in the supply of foreign exchange and for- favorable conditions for credits on bills accepted eign currency obliged the Government and the by banking houses abroad; that is, at a rate from bank to float special "intervention credits77 1 to 2 per cent higher than the rate of the counabroad. This made it possible to keep the try where the bill was payable. On August course of the exchange during October and for 12 the bank was obliged to raise the official the first 10 days of November at a level of rate from 10 per cent to 12 per cent, and the about 15 per cent below parity. After the rate for advances on securities from 12 per credits had been used up in November and cent to 14 per cent. This measure did not during the first half of December, the situation bring about the desired result in view of the becaiiie worse. At the same time the new laws disparity between the official and the private restricting still further the trading in foreign rate; nevertheless it had to be used to support bills came into force, and further demands upon the rate of exchange. The bank insisted that the bank were largely held in check. the discount rate of the private banks should Credit policies.—The credit policy of the not be more than twice as high as the official bank during the past year has been very dif- discount rate. 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350 FEDERAL RESERVE BULLETIN , 192® FINANCIAL STATISTICS FOR PRINCIPAL FOREIGN COUNTRIES [Bank figures are for the last report date of month, except for London clearing banks, which are daily averages] ENGLAND GERMANY [Millions of pounds sterling] [Millions of reichsmarks] 1926 1925 1926 1925 March Fe a b ry ru- Ja a n ry u- March March Fe a b ry ru- Ja a n ry u- March Bank of England: Reichsbank: Issue department— Gold at home 1,228 1,192 1,112 798 Gold coin and bullion 145 143 143 127 Gold abroad 263 190 143 205 Notes issued _ 165 163 147 Reserves in foreign exchange 481 461 418 334 Banking department— Bills of exchange and checks 1,216 1,346 1,464 1,57& Gold and silver coin 1 1 1 2 Miscellaneous assets' 923 783 609 1,217 Bank notes __ 22 22 21 22 Deposits 625 586 •579 743 Government securities 37 38 46 39 Reichsmarks in circulation - 3,160 2,822 2,649 2,315 Other securities 87 79 74 77 Rentenmarks in circulation 1,573 1,587 1,589 1,911 Public deposits ____ 35 16 23 15 Reichsbank clearings L 4,411 4,177 4,095 Other deposits 94 106 101 106 Six Berlin banks:1 Ratio of gold and note re- Cash 109 s ( e p r e v r e c e t n o t) deposit liabilities 18.5 18.9 18.1 19.8 D B u il e l 'f s r . o . m ... other ba _ n _ k .. s r . . 1,2 6 4 3 3 1 Bank notes in circulation1 87 85 85 97 Miscellaneous loans-L_— 2,400 Currency notes and certificates __ 295 284 286 284 Deposits.. I 4,530 Nine London clearing banks: Index of security prices (Jan. 2,1925= Money at call and short notice... 110 110 113 108 100) (per cent)... L — 81.40 72.61 71.62 97.60 Discounts and advances .__ 1,064 1,073 1,088 1,043 Capital issues ...I 20 20 31 Investments... 247 255 262 283 Tota T l o c t l a e l a r d i e n p g o s sits _ 3 1 , ,5 4 8 9 8 1 3 1 , , 1 60 4 6 0 1,637 3 1 , ,6 4 0 5 5 3 1 Bimonthly statements. Government floating debt: Total _. 704 729 785 742 ITALY Treasury bills.... 565 582 639 576 Temporary advances 139 147 146 167 [Millions of lire] Index of security prices (December, 1921=100) (per cent) __ 116.0 117.6 117.5 116.9 Index number of foreign exchange value of the pound sterling (per 1926 1925 cent) 2 _ 100.0 100.0 Febru- Janu- Decem- Febru- 1 Notes issued, less amounts held in banking department and in cur- ary ary ber ary rency note account. 2 New series. FRANCE Banks of issue: [Millions of francs] Gold reserve1 i 1,134 1,134 1,134 1,132 Total reserve—. 1 1,998 2,016 2,041 1,794 Loans and discounts J 10,205 9,622 10,477 7,919 Ban W k S G i ; l o o a v f l r e d a F r r d r r e v a e s a s n e e n c r r c e v v e : e e s l to the Govern :. ment. 3 3 5 , , 6 0 3 8 0 3 0 4 1 34 3 , , 6 3 5 8 2 0 4 9 0 3 3 4 , , 6 2 3 0 8 2 0 4 5 21,800 Lead N N T i o n o o t g t t a e e l p c c r d i i i r e r v c c p a u u o t l l e s a a i t t t b i s i o o a .. n n n .* k f f o o s: r r t c I h 1 o e m S m ta e t r e ce.—. 1 2 7 1 , , , 2 1 0 3 7 6 1 8 6 1 7 2 1 , , , 0 3 58 6 0 5 5 2 1 2 7 2 , , , 4 0 2 6 6 87 6 3 1 2 7 0 , , , 8 1 3 1 4 2 7 5 6 N To o t t a e l c d i e rc p u o l s a i t t i s on ___ 5 2 1 , , 8 4 3 9 4 2 5 3 0 , , 0 9 1 9 3 1 5 3 0 , , 1 6 8 1 8 8 40 2 , , 8 0 9 5 2 2 L C o a a s n h s . . and discounts.] i 9 1, , 0 0 4 9 9 9 9, 9 0 5 3 5 7 T C h l b e r a a e B D O n r e i k i e t n c h l s m g l o e s s m r a , . n l . m o d . d . a e a d n r i c s e l i y p a o l s a b i v a t e s n r . k . a s g : e of P _ aris 1,758 20 1, , 5 1 7 6 4 2 1 1 4 1 4 9 , , , , 5 8 1 9 5 4 8 3 4 4 0 1 1 1 4 1 4 0 , , , , 1 2 8 4 2 7 3 8 2 8 7 3 I S n t d at e e T D P x a o n u o r t e o t f a i t l f s c e r e i d o i p c s e m a u s p t u r o i i c e o s t o y i n t r s s r p e r s ic p e o s n d (p J i i e — e n r t s cent) L 2,1 1 0 9 0 4 2,1 2 0 0 0 5 1 4 2 3 , , , 1 1 0 5 2 5 0 2 4 1 0 0 4 4 6 1 4 2 3 , , , 2 4 2 4 4 8 1 9 6 0 1 1 7 5 0 Price of 3 per cent perpetual rents 47.02 49.00 49.15 46.85 i Not including gold hejd abroad. i Not including gold held abroad. JAPAN CANADA [Millions of dollars] [Millions of yen] 1925 1926 1925 Febru- Janu- Decem Febru- Febru- January ary ber ary March ary ary March Chartered banks: Bank of Japan: I Gold coin and bullion *' 61 62 69 52 Gold at home and abroad 1,057 1,057 1,057 1,059 Current loans and discounts...... 1,123 1,123 1,142 1,131 Advances and discounts... 299 330 374. 459 Money at call and short notice._. 396 377 394 330 Advances on foreign bills 99 147 172 51 Public and railway securities 564 563 550 570 Notes issued L 1,181 1,293 1,388 1,219 Note circulation. 164 161 174 158 Total deposits L .... 796 769 713 929 Individual deposits 2,166 2,168 2,270 2,136 Total note and deposit liabilities.. 1,977 2,062 2,101 2,148 Gold reserve against Dominion notes 121 127 135 125 Tokyo banks: D B B a a o n n m k k i n c d i l e o e b n a i r t n i s n o 2 g te s 2 circulation , 2 1 , ,2 1 1 4 3 9 2 2 7 2 1, , 3 2 3 3 1 6 1 8 4 3 1, , 8 1 2 9 2 2 8 1 7 1 1 , , 1 9 2 1 1 1 0 5 8 T T C o o a t t s a a h l l o l d o n e a p h n a o s n s d it _ s _ . .. L L L 2 1 , ,9 4 1 3 4 1 6 5 2 2 1, , 9 1 4 5 1 4 9 6 9 2 1 , ,9 4 1 2 1 2 2 6 7 2 1, , 8 3 1 9 9 3 6 2 5 Total clearings L 3,295 3,246 2,743 2,843 i Not including gold held abroad. 2 Total for month, Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAY, 1926 FEDERAL HESEEVE BULLETIN* 351 CONDITION OF CENTRAL BANKS IN OTHER COUNTRIES 1926 1925 1926 1925 March Fe a b ry ru- Ja a n ry u- March March Fe a b ry ru- Ja a n ry u- March Austrian National Bank (millions National Bank of Hungary (milof schillings): lions of pengos): T T G o o o t t l a a D T d N D F l l . o r o e o n p e r p m t o e a r e o i i s t s e n g e s u s c i n r t t a i — i s y p n c b a d b i b - l l i i _ l d l l e l s l e _ s a s . p r . _ n . o . - i s . n _ . i _ t g - l . . . . i a _ „ a s _ _ b s _ i — e _ li _ t t s i . _ e . - . s . . . 8 8 8 5 1 9 2 2 1 4 8 5 1 2 6 5 6 2 3 0 5 8 8 8 5 1 1 2 3 4 1 8 4 1 1 8 8 0 2 6 1 1 5 8 8 5 1 1 4 5 2 8 4 2 1 5 1 3 7 4 0 5 8 8 4 2 7 1 3 2 1 0 9 9 0 1 0 0 1 8 0 2 5 1 A N D M F L G O o o d e o o t i h r a s p v l t e c d e e n o a i e r g s n s c l i n l c a i a t a r e s s n c n b s s d u e i e l t o l t l a o d s u s t i . , i s T s . o e c l r n t o i e c a u a b n s i u t l _ i s r _ t y i . es ... 3 2 1 1 1 1 1 6 8 8 8 9 3 5 5 3 9 0 5 6 9 4 4 2 3 2 1 1 1 1 7 9 0 9 7 5 4 7 5 4 7 9 6 4 9 3 4 2 2 1 1 1 1 1 0 8 9 5 5 5 9 3 5 0 5 1 9 6 4 2 2 3 2 1 1 1 0 5 0 8 4 2 5 5 5 4 4 7 2 1 8 9 National Bank of Belgium (millions of francs): Bank of Java (millions of florins): Gol F d o .. r . e . i gn bills and _ balances 274 274 274 272 Gold _ 203 202 134 Tota D N L D l o o o e a n a m p t b o n e o t r e s s e o s s . s t t i a o i t a c d s n S . . b . d . . t i . a l . d l . t s e e. posits.... __ 7 7 5 1 , , , , 3 3 4 8 2 0 7 3 9 6 0 6 3 0 5 8 0 7 7 5 , , , * 4 9 5 1 2 1 8 7 6 0 3 5 4 2 7 0 0 5 7 7 1 , , , , 1 3 8 4 2 2 3 0 4 6 0 5 0 4 6 2 0 7 7 1 5 , , , , 3 3 4 7 2 1 3 1 5 7 0 8 0 6 8 4 0 T T o o t t a a N D F L l l o o o e n p r a p t e o r e n o i i s t n g s s e ._ c i n a t a i _ s n p b n d a i d l l l d s d e i a e s r p c n o o i u s n i n _ g _ t t l s a ia ss b e i t li s ties , . 3 4 8 6 3 2 6 0 4 4 8 0 3 2 4 3 0 8 5 2 6 4 1 6 6 1 5 5 2 8 7 1 7 5 8 1 8 0 5 National Bank of Bulgaria (mil- Bank of Latvia (millions of lats): lions of leva): T G o o t l a A N D D F d l o . d e o o . p r p v t m e r e o a i i s e n g n s s c i n c t t i e i s p b c s a i l l t l o l o s a e , n a S e r s t n * t a a c i t n n e d g d a i s s s c _ e _ o ts u : nts- 2 7 3 5 1 , , , , , 8 4 4 2 2 5 4 2 7 6 2 0 5 2 9 9 6 6 8 0 5 7 3 2 1 , , , , , 1 4 2 4 9 5 5 1 1 4 4 4 0 7 6 0 2 1 7 0 7 5 3 2 1 , , , , , 2 3 0 7 4 4 4 4 6 2 6 6 9 1 6 0 1 0 7 8 7 4 2 5 1 , , , , , 2 2 8 3 0 2 2 6 4 3 2 0 7 1 9 4 8 8 0 8 N B L F G O G o o i o o t o l h r a l t v e l s e e n e d i r g s r c . n n d . ir m . e c . e p . u e x o l n c a s h t i t a t i d o s n e n g p e o r s e i s t e s „ . r v _ e 2 7 5 3 5 6 2 9 8 0 1 1 5 4 5 3 8 4 4 5 2 2 0 4 2 2 0 4 Total notes and deposits 6,342 6,357 6,220 6,282 Bank of Lithuania (millions of Banking Office, Czechoslovakia litas): (millions of Czechoslovak crowns): B G a o l l a d n c a e n s d a s b i r l o v a e d r. . a . nd foreign cur- , 1,074 1,072 1,071 1,030 Gold Foreign bills 3 3 0 0 3 2 2 9 3 5 3 7 A N D Bi d o e r l e v l t p s e n a o c n d c s y c i i i s r e t c c s s u o . . o l u . a n n ti t o e co d n llateral _ _ . . 7 1 1 , , , 1 0 3 2 5 3 4 0 8 9 9 7 3 8 7 7 1 1 , , , 0 3 1 5 0 7 7 8 4 7 0 9 8 4 4 7 1 1 , , , 4 2 6 1 2 2 8 6 4 4 8 0 5 8 5 7,6 5 8 6 5 8 8 6 2 4 1 4 5 2 4 T T o o t t a a N D L l l o e o n p a p t o r e n o i t s n s e s c i s a t i s p n a n a d l d d e d i a s e r c n p o i o u n s n g _ it t s s asse _ ts ._ 1 8 2 4 9 1 6 3 8 0 3 1 4 2 7 8 0 9 5 9 2 7 1 2 5 7 7 0 5 0 9 9 4 1 4 9 9 3 2 0 6 4 1 5 Bank of Danzig (millions of Dan- Netherlands Bank (millions of zig gulden): florins): Balances with Bank of England- Foreign bills, etc.. ... Gold 429 432 438 504 Loans and discounts „__ Foreign bills 177 203 248 132 Total principal earning assets Loans and discounts 209 203 220 255 Notes ... Total principal earning assets 385 406 468 387 Deposits... Notes 821 818 833 898 Total mote and deposit liabilities. Deposits _ 35 77 96 43 Total note and deposit liabilities. 856 929 941 National Bank of Denmark (millions of kroner): Bank of Norway (millions of kro- Gold 209 209 209 209 ner): T T o ot t a a A L N D F l l o o d e o n p r a p v t e o r n e o a i i t n g s s n s e c . i n c a . t a i e . s n p b n s d a i d l t l l o d s d e i , e S a s e c p r t n t o o a c i u s t n e i n g t . t . s l . a ia s b se il t i s ti _ e _ s _ . 4 4 2 1 1 6 3 4 1 0 3 1 0 6 7 5 5 0 4 3 2 1 4 4 9 7 0 1 1 2 1 9 8 3 5 0 4 4 2 1 4 0 4 7 0 1 1 0 3 3 0 3 6 7 2 4 4 3 4 4 3 9 5 4 2 1 6 7 8 2 2 0 T T G o o o t t l a a N D D F d l l o . o o e n p . r . t m p e o r e i i o t s n e g e s s c n i t a i t i p n s e c a . x d . c l c r h e d e a a e d n r p i n g t o s i e s n i g t l a i s a s b e i t l s ities. 3 4 2 3 1 1 8 8 8 9 5 4 3 7 3 7 6 0 7 7 3 3 4 2 1 1 9 7 3 7 8 4 4 0 6 0 8 6 8 7 1 2 3 3 4 1 6 4 1 3 4 9 3 0 6 1 5 7 8 8 4 3 4 1 3 1 5 8 5 0 4 8 0 1 8 5 6 7 0 8 Bank of Finland (millions of Finnish marks): Reserve Bank of Peru (millions of Gold 332 332 332 libras): Balances abroad and foreign D N F S o t o o c a r m r t t e e e e i d e g c d s i n i t t e r s i c b b c u i t b l s l l i . a s l t l i s o . n . .. __. 1 1 , ,3 5 2 1 8 8 6 5 6 6 2 5 1 2 1 1 , , 5 3 2 2 5 8 2 0 6 0 0 7 9 2 1 1 , , 3 4 2 2 1 6 9 2 6 0 1 2 1 2 4 1, 4 3 6 8 7 4 4 4 0 5 N B D G G i o e o o l p l l l t s d d e o s a c a i b i t t r s r c h o u o a l d m ati e o . n .. . . . . . 4 6 2 , , , 8 0 5 7 3 1 1 2 2 7 5 0 3 8 5 4 2 6, , , 7 7 4 5 0 5 7 5 6 4 9 2 5 3 7 4 6 2 , , , 7 6 4 0 5 2 4 2 0 5 8 8 6 5 0 T D o e t m al a n no d t e li s a b an il d it i d e e s m and li _ ab ilitie _ s 1,9 5 6 8 8 2 1,9 6 9 4 4 4 2, 7 0 8 8 8 0 1,8 4 5 7 4 0 Bank of Poland (millions of zlote): National Bank of Greece (millions Gold ....1. 134 134 134 of drachma): Foreign exchange, etc. 49 60 61 T T D N G G o o i o o o s t t l t v c a a d e e o l l r c a u d n n i n n e r o m d c t p t s u e e o b l n a s a a a n t i t n l t i a d s l o d o n n l a c o d n e a e s s n p a a o s b n si r d t o a l s i e d a c b u i r l i i t t i i e e s s - . 4,280 4,195 2 8 2 5 3 3 , , , , , , 7 8 5 9 4 2 1 1 6 3 9 2 4 3 9 6 2 2 L N L C i o u o a a r t b n e r T P i e s l r r n i c e t i a t i i v a n e r s a c a s d u c u t i r e c d l n y a . o i . s t f , u i c o o o n r n e u t i . s g n . - n ts curre .. n . c _ y __... 3 3 6 7 8 6 9 9 9 2 3 3 6 6 7 7 7 4 361 1 1 1 0 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

352 FEDERAL RESERVE BULLETIN MAY, 1926 CONDITION OF CENTRAL BANKS IN OTHER COUNTRIES—Continued 1926 1925 1926 1925 March Fe a b ry ru- Ja a n ry u- March March Fe a b ry ru- Ja a n ry u- March Bank of Portugal (millions of es- South African Reserve Bank cudos): (thousands of pounds sterling): Gold 9 9 9 9 Gold 7,751 8,116 8,164 12,440 Balances abroad 385 368 344 274 Foreign bills. 5,412 5,587 6,131 3,948 Bills .. 134 138 156 161 Domestic bills 1,103 1,825 1,314 868 Note circulation _ 1,803 1,799 1,820 1,698 Total principal earning assets.„.. 6,515 7,413 7,445 4,816 Deposits _ _..-. 72 70 78 67 Notes .__. 7,526 8,194 8,609 11,097 Deposits 6,177 6,121 6,018 4,819 National Bank of Rumania (mil- Total note and deposit liabilities. 13,703 14,315 14,627 15,916 lions of lei): Gold 568 568 567 563 Bank of Spain (millions of pesetas): Bills.. -—_.-_,-_.. 8,173 8,199 8,230 7,307 Gold.. — 2,537 2,537 2,537 2,536 Government loans _ 17,013 17,013 17,013 16,724 Balances abroad.... 30 29 29 31 Note circulation _ 20,094 19,989 19,881 19,071 Bills discounted 703 779 801 930 Deposits 8,439 8,784 8,659 6,750 Note circulation _-. 4,331 4,373 4,406 4,397 Deposits 1,118 1,295 1,257 1,077 State Bank of Russia (note-issuing department; thousands of cher- Bank of Sweden (millions of kroner): vontsi): Gold 230 230 234 Gold—.. _ 14,751 15,334 17,723 16,188 Foreign bills, etc 180 183 202 137 Foreign currency.. 5,043 4,981 4,967 6,828 Domestic credits.... 312 309 440 Loans and discounts 54,980 54,114 51,750 33,929 Total principal earning assets 492 475 511 577 Bank notes „_ 72,409 75,892 75,992 59,030 Notes _ 527 475 521 Deposits -, 141 163 208 238 National Bank of the Kingdom Total note and deposit liabilities. 668 652 759 of Serbs, Croats, and Slovenes (millions of dinars): Swiss National Bank (millions of Gold 78 77 77 72 francs): Foreign bills, etc _: _._. 347 353 353 340 Gold _ 418 427 447 481 Loans and discounts . 1,323 1,330 1,310 1,293 Total principal earning assets 385 375 364 Advances to State 2,966 2,966 2,966 2,966 Notes .-_-_. 775 776 836 Note circulation _ 5,683 5,718 5,783 5,594 Deposits ___ 70 94 103 70 Deposits ___. 616 510 568 543 Total note and deposit liabilities. 878 879 906 Total note and deposit liabilities. 6,299 6,228 6,351 6,137 DISCOUNT RATES OF 31 CENTRAL BANKS [Prevailing rates, with date of last change] Country Bate I s n i n e c f e f — ect Country Rate I s n i n e c f e f — ect Country Hate I s n i n e c f e f — ect Country Rate I s n i n e c f e f — ect Austria Mar. 31,1926 Esthonia _— 10 July 1,1925 Japan 7.3 Apr. 15,1925 Portugal. ... 9 Sept. 12,1923 Belgium Apr. 23,1926 Finland f Oct. 29,1925 Java... 6 May 3,1925 Rumania...- 6 Sept. 4,1920 Bulgaria _- 10 Aug. 31,1924 France,. July 9,1925 Latvia 8 Feb. 16,1924 Russia 8 Apr. —, 1924 Czechoslo- Germany Mar. 27,1926 Lithuania 7 Feb. 1,1925 South Africa f Nov. 21,1924 D D En a e v n n g a z m k l i a i g a a n r d k ...-- . . . 8 6 5 5 K J J S D a a e e n n p c . . t . . 1 1 8 3 3 9 , , , , 1 1 1 1 9 9 9 9 2 2 2 2 6 6 5 5 H I I G n ta r u d e l n i y e a g ce ary.... 1 6 7 7 0 J A O D u u c e n g t c e . . . 2 1 1 3 8 1 8 , , , , 1 1 1 1 9 9 9 9 2 2 2 2 5 5 5 5 N N P Po e e o l r t r a h u w n . e a d r y lands 1 6 2 A A A O u p p c g t r r . . . . 2 1 2 1 0 2 , , , , 1 1 1 1 9 9 9 9 2 2 2 2 6 5 3 5 S S Y S p w w u a g i e i t n o d z s e e l r n a l . a v . n i . a d . - . . 4 6 3 K K J M O O u c c n a t t e r . . . 2 2 2 9 3 3 2 , , , , 1 1 1 1 9 9 9 9 2 2 2 2 2 5 3 5 Changes during month.—Bank of Norway, from 6 to 5% per cent on April 20,1926; National Bank of Eelgium, from 7H to 7 per cent on April 23,1926. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

353 MAT/1926 FEDERAL RESERVE BUIiLETIN FOREIGN TRADE OF PRINCIPAL COUNTRIES UNITED STATES FOREIGN COUNTRIES [Thousands of dollars] 12 months ended 1926 Mareh— 12 months ended 1926 March— March Fe a b ry ru- 1926 1925 Febru- March ary 1926 1925 France (million francs): Imports— „. 5,095 5,244 48,977 Exports 4,960 4,409 47,731 41,406 IMPOETS Germany (million gold marks): Imports 721 11,704 10,893 By classes of commodities: Exports _ 927 788 9,313 7,269 Total.... 443,098 388,503 4,409,838 3, 726,583 United Kingdom (thousand £ sterling): Crude materials1... 198,351 174,020 1,898,547 1, Imports.. 106,864 96,845 1,293,220 1,330,578 Foodstuffs, crude, and food Exports,, _____ 66,400 62,814 753,995 810,736 animals 51,102 42,110 511,049 452,327 Reexports.... 12,086 13,221 151,519 140,848 Manufactured foodstuffs 40,153 35,998 419,192 476,309 Canada (thousand dollars): Semimanufactures - 74> 697 72,844 773,392 677, 623 Imports.. 100,855 70,709 927,324 796,903 Finished manufactures — 78,795 63, 531 811,113 768,235 Exports. 113,966 1,328,537 1,081,362 By countries: Japan (million yen): Total Europe 117,119 105,318 1,253,551 1,139,910 Imports •-_ 284 2,474 2,465 France _ _._..- 14,456 12, 080 153,787 153,009 Exports 187 160 2,320 1,934 Germany 18,383 16,548 178,760 142,367 Italy — 8,957 6,774 100,250 84,267 Tota U C l n a N n it o e a r d d t h a K . . A i n m gd e o r m i _ ca... - 4 3 9 0 7 7 , , , 3 5 1 8 3 2 2 6 6 8 3 3 7 7 7 , , , 2 6 0 8 4 4 1 6 7 4 4 1 6 2 6 , ,8 4 5 4 3 1 3 9 8 5 1 9, , 4 8 2 9 5 9 1926 12 F m e o b n r t u h a s r y e — nded Total South America...—.-. 63,613 51,955 543,802 491,461 Argentina 12,677 9,412 84,609 79,150 Tota J l a p A a s n ia and Oceania 1 2 5 2 3 , , 9 23 0 5 1 1 3 3 3 2 , , 1 6 7 1 7 2 1,528,538 1,0 3 , 4 5 7 7 , ,8 7 2 6 8 1 Fe a b ry ru- Ja a n ry u- 1926 1925 Total Africa 11,595 11,571 97,774 77,960 EXPORTS Denmark (millionkroner): Imports.. 134 147 1,978 2,430 By classes of commodities: Exports ._ 124 121 1,858 2,195 Total....-...—. 374,420 352,917 4,763,587 4,761,047 Czechoslovakia (million crowns): Imports.. 1,280 1,117 17,256 16,543 Crude materials 1 .... 83,031 89,317 1,292,770 1,419,924 Exports 1,475 1,179 18,417 17,992 Foodstuffs, crude, and food Esthonia (million Esthonian animals ; 15,596 12,172 280,396 430,428 marks): Manufactured foodstuffs 40,526 41,837 547,619 568,056 Imports „ 593 702 9,583 8,287 Semimanufactures _>_ 53,520 47,917 645,693 626,750 Exports... 683 9,567 Finished manufactures 172,267 154,576 1,900,688 1,624,709 Finland (million finmarks): Reexports. 9,480 7,098 97,252 91,076 Imports 273 287 5,466 4,646 By countries: Exports 181 197 5,486 5,075 Total Europe 164,373 171,968 2,396,552 2,616,916 Hungary (thousand gold crowns): France _ 24,000 21,724 278,213 294,397 Imports _. 62,702 53,308 735,500 743,100 Germany.. 21,116 22,166 394,465' 459,076 Exports. , 50,293 53,426 729,900 586,500 Italy—— 12,260 12,823 172,7331 213,156 Italy (million lire): United Kingdom... _. 67,941 75,834 975,363f 1,051,538 Imports 2,206 1,954 26,394 20,581 Total North America. _ 100,567 82,588 1,153,588 1,104,426 Exports __ 1,325 1,119 18,190 14,957 Canada.- ._ 62,446 45,976 677,328 616,224 Netherlands (million guilders): Total South America 35,413 35,265 420,307 333,460 Imports 197 205 2,450 2,403 Argentina . 11,878 10,885 151,418 126,155 Exports _ 1 130 122 1,783 1,695 Total Asia and Oceania 65,826 56,063 702,292 632,105 Norway (ihillion kroner): Japan... _ 22,323 18,934 228,510 227,148 Imports _ 85 106 1,351 1,587 Total Africa 8,242 7,032 91,917 74,140 Exports _ 72 77 1,005 1,101 Poland (thousand zloty): , Imports — _ 68,895 1,475,378 1,610,558 *Includes miscellaneous. Exports L31,352 159,130 1,482,786J 1,266,986 Russia (thousand rubles): Imports 53,600 61,000 774,401 Exports 43,180 34,800 558,603 Sweden (million kroner): Imports 107 1,432 1,418 Exports 78 76 1,342 1,286 Switzerland (million francs): Imports 200 201 2,615 2,532 Exports _ __. 144 124 1,971 2,047 Australia (thousand £ sterling): Imports _.. 11,404 13,495 157,913 145,787 Exports 16,178 14,636 152,260 144,535 Egypt (thousand Egyptian pounds): Imports.._ ... 4,162 4,644 57,805 52,295 Exports 4,804 54,350 66,127 India (million rupees): Imports, 180 225 2,236 2,459 Exports _ 351 353 3,935 3,937 South Africa (thousand £ sterling): 5,917 69,246 67,026 Exports.. 5,563 7,098 85,230 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

354 FEDERAL. RESERVE BULLETIN MAY, 1926 PRICE MOVEMENTS IN PRINCIPAL COUNTRIES WHOLESALE PRICES ALL COMMODITIES [Pre-war-100] Europe Year and month A b ( u a g s s o t i l r s d i ) a g B iu e m l- g B a u ri l a - C v z a s e k lo c ia h - o i - m D a e r n k - * T (B E l r a a o n o n d f a g d e r - d ) l F a i n n d - B S u t t i a r c e t a i F a l s u - ran F a c B s l e e e o d r R a v e r e e r d - - ( B F S m u e G t t i r a d a c e e t e n a r i a r l y - s u a - ) l b H ( a g u s o i n l s d - ) Italy N l e a t n h d e s r- ( N w O o s a l y r o - ) Poland "1925 January 147 559 3,275 1,045 234 171 1,137 514 456 138 159 658 160 279 120 February 146 551 3,309 1,048 234 169 1,141 515 457 137 152 660 158 281 121 March 143 546 3,272 1,034 230 166 1,131 514 463 134 145 659 155 276 122 April . ... 139 538 3,244 1,020 220 163 1,133 513 460 131 144 658 151 267 119 May 138 537 3,177 l,@06 216 159 1,122 520 467 132 141 660 151 260 118 June 141 552 3,225 998 216 158 1,129 543 483 134 141 683 153 258 119 July 137 559 3,041 1,009 206 158 1,118 557 490 135 136 707 155 254 120 August 131 567 2,870 993 189 157 1,142 557 491 132 134 731 155 245 124 September 127 577 2,834 996 168 156 1,133 556 482 126 135 721 155 231 127 October 127 575 2,823 989 163 155 1,121 572 482 124 131 716 154 221 128 November 125 569 2,822 977 158 154 1,118 606 498 121 129 712 154 217 137 December 125 565 2,913 977 160 153 1,120 633 518 122 130 715 155 218 155 1926 January... 122 560 2,901 966 157 151 1,094 634 527 120 127 707 153 214 142 February 120 556 2,899 950 151 149 1,091 636 540 118 125 704 150 211 140 March 119 583 938 145 144 1,081 632 545 118 123 693 146 204 144 April 141 Europe—Continued North and South America Asia cud Oceania Africa United Year and month Russia1 Spain Sweden S l w an it d z * er- o (B f S S t t L u a a r a t t e i e b s a s o - u r Canada Peru t A ra u l s ia - ( C S h h h a a i i n n ) a g- D I E n u d a t i s c e t h s c I ( u n C t d a t i a l a - ) J k ( a T y p o o a ) - n Ze N a e l w and (Cairo) A So fr u ic th a tics) 1925 January... 172 191 169 171 160 166 199 163 160 178 171 213 178 157 130 February 178 192 169 171 161 165 194 163 159 177 172 210 175 161 March 183 193 168 170 161 162 206 160 160 179 168 204 175 155 April. 195 190 163 166 156 157 206 158 159 175 169 202 175 154 139 May 197 191 162 163 155 159 200 159 158 174 164 199 175 151 June ._ 191 187 161 162 157 159 200 163 157 173 157 200 174 150 July 188 188 161 161 160 158 198 162 163 175 160 198 175 151 127 August 175 184 159 160 160 160 200 162 160 176 157 200 175 151 September.. 173 185 157 159 160 157 205 162 160 175 158 201 175 152 October 174 187 154 159 158 157 205 163 159 175 160 200 176 153 124 Novernb^r 175 186 155 157 158 161 204 165 158 174 164 198 176 L45 December 179 187 156 157 156 164 203 170 158 173 163 194 176 140 1926 January 183 186 153 156 156 164 206 161 164 163 192 175 134 124 February 190 183 152 155 155 162 205 160 163 158 188 175 134 .March«._ 194 183 149 151 152 160 204 163 164 155 184 134 April 196 204 163 i First of month figures. The foreign index numbers of wholesale prices are cabled to the Federal Reserve Board by the various foreign statistical offices. Index numbers of commodity groups for most of the countries are also available in the office of the Division of Research and Statistics of the Board, and maybe had upon request. Wherever possible the indexes have been shifted from original bases to a 1913 base. Further information as to base periods, sources, number of commodities, and period of the month to which the figures refer may be found on page 48 of the January, 1924, issue of the BULLETIN. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAY, 1926 FEDERAL EESERVE BULLETIN 355 GROUPS OF COMMODITIES (Pre-war«100) UNITED STATES—BUEEAU OF LABOR STATISTICS Year and month A m l o l d c i o ti m es - pr F o a d r u m cts Foods m Cl a o te th r i i n a g ls lig F a h u n t e d i l ng p M r m o a e d e n t u t d a a c l l s ts m Bu at i e ld ri i a n l g s C d c a h r a n e u l d m g s s i- n H is f o h u u i r n - se gs l M an is e c o e u l s - 1925—March 161 161 159 191 174 134 180 134 170 125 October... . 158 155 158 190 172 128 174 135 168 138 November «, 158 154 160 188 175 130 176 135 166 142 December 156 152 157 187 175 130 177 135 166 138 2926—January... ... .. ... _ 156 152 156 186 177 129 178 133 165 135 February 155 150 153 184 179 128 177 132 164 133 March.. 152 144 151 180 175 128 176 132 164 128 ENGLAND—BOARD OF TRADE Year and month A m l o l d c i o ti m es - T fo o o ta d l Cereals M a fi n e s d h at O fo t o h d e s r T f n o o o o t t d al s I a t r e n o e d n l m m O i a n e t n e h t d a r e a l r s ls Cotton te O x t t h il e e r s a O rt t ic h l e e r s 1925—March 166 172 173 158 183 163 133 136 236 200 160 October . 155 164 148 167 176 150 120 131 194 181 158 November 154 165 152 167 175 148 119 130 182 181 158 December 153 167 158 173 169 146 118 131 175 178 156 1926—January . 151 162 154 165 167 146 119 131 175 176 153 February 149 159 148 156 170 144 118 131 174 172 149 March 144 151 144 151 156 141 118 130 165 168 147 FRANCE—STATISTICAL BUREAU Year and month m Al o l d c i o ti m es - fo A o l d l s A f n o i o m ds al V f e o b g o le e d t s a- S c c o u o f g c fe o a e a r , , m d A u a l s t l e t r i r i n i a a - l l Minerals Textiles Sundries 1925—March.. fc „. 514 459 451 470 441 558 454 768 520 October _ 572 491 485 496 480 637 585 830 578 November... 606 510 496 522 502 682 606 928 611 December . _ 633 538 535 537 529 709 622 953 647 1926—January. . 634 543 532 544 548 707 627 941 645 February 636 546 536 541 567 708 646 925 643 March , . 632 548 537 546 565 700 645 914 631 GERMANY—FEDERAL STATISTICAL BUREAU Fats, Colonial Total Grains sugar, goods, Total in- Hides Metals Coal Year and month All com- food and meat, coffee, dustrial and Textiles and and mYVfto S\uS? i"i1 /4*i1e sAfl products potatoes and cocoa, products leathers minerals iron fish etc. 1925—March..... 134 132 125 137 182 139 131 207 133 123 October... 124 118 103 146 181 134 123 192 131 120 November. 121 115 99 142 181 133 120 188 130 12© December. 122 116 103 137 183 131 118 182 128 123 1926—January... 120 115 101 134 185 130 113 176 128 120 February.. 118 112 98 134 183 130 110 172 127 120 March..*.. 118 113 99 134 180 128 107 186 126 120 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

356 FEDEEAL RESERVE BULLETIN MAT, 192$ RETAIL FOOD PRICES AND COST OF LIVING RETAIL FOOD PRICES [Pre-war-100] European countries Other countries United States Austria Bel- Bul- Eng- France Ger- Greece Italy Neth- Nor- Rus- Swit- Can- Aus- India New South ci ( t 5 ie 1 s) (Vienna)^ gium * garia land* (Paris) many t e A n s i\ ) \ lan) la e n r d - s way sia* la z n er d - * ada* tralia ( b B a o y m ) * l Z a e n a d - Africa 1925 Jan 151 27,168 140 3,131 178 403 137 1,506 590 156 277 205 172 145 148 152 147 120 Feb... 148 27,065 137 3,163 176 410 145 1,510 610 157 283 203 172 147 149 152 146 126 Mar— 148 26,7&6 134 3,128 176 415 146 1,562 624 157 284 211 171 145 151 155 149 121 Apr..- 143 26,448 127 3,100 170 409 144 1,478 620 155 276 217 169 142 152 153 149 124 May... 149 27,037 122 3,032 167 418 141 1,443 599 154 265 221 168 141 154 151 150 123 June 152 27,031 127 3,083 166 422 146 1,516 599 152 261 ' 219 169 141 155 149 149 122 July— 157 28.550 130 2,906 167 421 154 1,615 602 152 260 218 169 141 156 152 151 120 Aug.— 157 25,739 135 2,744 168 423 154 1,511 621 152 254 210 169 146 156 147 152 m Sept— 156 25,294 140 2,710 170 431 153 1,544 643 152 241 208 170 146 156 146 153 118 Oct.- 158 25,186 141 2,698 172 433 151 1,597 646 149 228 215 168 147 157 148 155 119 Nov.- 184 25,108 146 2,698 172 444 147 1,676 649 149 223 217 168 151 156 149 156 117 Dec... 162 25,373 148 2,785 174 463 146 1,718 660 148 221 224 167 156 155 151 154 11© 1926 Jas . 161 141 2,773 171 480 143 681 148 216 226 165 157 155 151 154 116 Feb .. 158 141 2,771 168 495 139 676 147 212 230 163 155 154 150 153 117 Mar 157 137 165 497 138 654 147 205 234 161 154 159 151 118 Apr , 159 142 241 , 150 COST OF LIVING [Pre-war=100] European countries Other countries Massas c e h t u ts - g B iu el m - C v o z a s e k l c o i h a - - l E a n n g d - ' t E n h i o s a - - l F a i n n d - F (P r a a r n i c s e ) m G a e n r- y G ( e A r n e t s e h ) c - e H ga u r n y - I ( l t a M a n l i ) y - N la e e n r t d - h s - N w o a r y - l P an o- d Spain S d w en e- l S a z w n e d r i - t * - a C d a a n « - A t l r u i a a s - - ( I b B n a o d y m i ) a - A So fr u ic th a 1925 Jan 158 521 899 180 113 1,199 124 1,417 141 680 145 188 178 173 149 157 133 Feb. 157 517 911 179 110 1,191 136 1,420 135 592 146 189 172 150 157 133 Mar.. 158 511 904 179 114 1,210 386 136 1,449 132 602 179 271 147 192 172 148 150 159 133 158 506 901 175 112 1,201 137 1,419 130 600 146 191 177 170 147 158 134 May" 158 502 894 173 111 1,176 136 1,408 131 591 143 188 170 146 156 134 June.. 159 505 914 172 112 1,191 390 138 1,448 130 596 179 259 144 190 170 146 153 154 134 July 160 509 916 173 114 1,218 143 1,472 126 598 146 190 176 170 146 157 133 Aug 161 517 894 173 112 1,266 145 1,484 127 610 149 190 170 148 152 inn Sept.. 161 525 884 174 110 1,242 401 145 1,603 126 624 179 248 149 190 170 148 154 151 132 Oct... 162 533 875 176 108 1,228 144 1,547 124 643 152 189 175 168 149 153 132 D N e o c v — .. 1 1 6 6 2 5 5 5 3 3 4 4 8 86 6 6 3 1 1 7 7 6 7 1 1 0 0 9 7 1 1, , 1 2 9 2 7 7 421 1 1 4 4 1 1 1 1 , , 6 6 4 1 4 0 1 1 2 2 3 3 6 64 4 9 3 "~i77~ — 2 / 3 .. 4 1 1 5 7 7 3 1 1 8 8 6 3 1 1 6 6 8 3 1 15 5 4 2 "IBB" 1 15 5 5 3 1 1 3 3 1 1 1926 Jan 164 527 854 175 110 1,166 140 1,673 122 665 170 188 174 167 155 155 131 Feb 163 526 845 173 110 1,175 139 1,664 121 661 171 183 165 154 154 131 Mar 161 521 832 172 1,171 141 1,706 119 647 174 225 169 185 163 154 155 131 Apr 529 168 140 173 153 * January, 1921»100. »First of the month figures. U921-100. «Revised index. NOTE.—Information as to the number of foods and items included, the original base periods, and sources may be found on page 276 of the April, 1925, issue of the BULLETIN. The original bases of the indexes have been shifted to July, 1914, wherever possible., Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAT, 192S FEDERAL RESERVE BULLETIN 357 BANKING AND FINANCIAL STATISTICS FEDERAL RESERVE BANKS AVERAGE DAILY CONDITION FOR MARCH AND FEBRUARY, 1926 [Amounts in thousands of dollars] Total bill t s i e a s nd securi- Total cash reserves Total deposits Fede in r a c l i r r e c s u e l r a v ti e o n notes Reserve percentages Federal reserve bank March February March February March February March February March February Boston ._ 85,343 108,148 234,001 207,586 148,287 148,884 155,444 153,527 77.0 New York .. 274,928 297,330 993,348 957,503 862,833 855,864 373,257 369,155 80.4 78.2 Philadelphia 99,405 98,385 207,561 209,059 134,749 134,093 148,126 149,403 73.4 73.7 Cleveland „ 108,604 91,998 313,020 181,208 181,330 203,094 203,226 77.7 81.4 Richmond 59,645 53,746 95,386 103,989 70,073 72,227 77,995 79,436 64.4 68.6 Atlanta 72,818 74,795 175,353 173,667 84,476 85,237 161,578 160,402 71.3 70.7 Chicago- 151,354 144,341 361,923 367,040 330,484 328,522 164,160 162,606 73.2 74.7 St. Louis 63.668 62,134 63,763: 84,561 85,658 37,038 37,309 52.4 53.9 Minneapolis. __._ 31,079 30,887 96,370 93,191 57,580 54,274 64,395 64,701 79.0 78.3 Kansas City 63.669 66,678 92,106 92,297 89,574 91,859 64,374 66,290 59.8 58.4 Dallas 49,148 52,948 61,773 59,760 63,315 64,244 38,006 39,977 61.0 57.3 San Francisco.__ 116,778 94,938 253,692 282,124 169,584 172,536 185,949 189,554 71.4 77.9 Total: 1926. 1,176,439 1,176,328 2,933,885 2,925,529 2,276,724 2,274,728 1,673,416 1,675,586 74.3 74.1 1925. 1,078,855 1,050,323 3,000,252 3,041,913 2,193,473 2,233,531 1,731,223 1,714,929 76.4 77.0 1924. 951,774 921,588 3,222,877 3,239,282 1,991,066 1,954,479 2,013,515 2,034,540 80.5 81.2 1923. 1,178,919 1,152,862 3,190,625 3,208,682 1,960,540 1,969,757 2,253,189 2,244,733 75.7 76.1 1922. 1,191,013 1,215,221 3,095,762 3,070,045 1,794,895 1,814,446 2,195,131 2,176,529 77.6 76.9 1921. 2,735,784 2,869,233 2,403,470 2,343,537 1,808,529 1,804,476 2,979,486 3,068,578 50.2 U9.6 1920 3,211,936 3,154,054 2,058,293 2,053,422 2,032,787 2,002,503 3,040,440 2,946,863 142.7 143.3 i Calculated on basis of net deposits and Federal reserve notes in circulation. FEDERAL RESERVE BANKS—RESOURCES AND LIABILITIES, BY WEEKS RESOURCES [In thousands of dollars] Total Boston Y N o e r w k d P el h p i h la i - a C la le n v d e- m Ri o c n h d - Atlanta c C a h g i- o L S ou t. is M ap in o n li e s - K C an i s ty as Dallas F c S r is a a c n n o - Gold with Federal reserve agents: Mar. 24 ... 1,404,307 121,224 344,113 117,037 190,782 48,611 122,928 129,389 14,110 61,837 50,014 27,918 176,344 Mar. 31 1,361,723 344,020 116,464 170,427 47,151 122,016 129,389 14,092 62,726 49,323 28,231 179,056 Apr. 7 1,384,531 100,280 344,020 119,917 171,115 45,996 128,543 129,367 17,090 62,034 48,379 27,407 190,383 Apr. 14..... 1,385,430 120,497 288,898 122,427 172,192 50,531 175,689 129,330 16,838 51,969 47,635 27,358 182,066 Apr. 21._—_ .... 1,498,448 117,913 453,808 123,800 172,069 39,114 159,066 129,298 15,197 48,315 45,008 25,216 169,644 Gold redemption fund with U. S. Treasury: Mar. 24.— 58,086 8,331 13,014 13,616 2,718 2,064 2,997 5,542 1,511 954 2,453 1,396 3,490 Mar. 31 49,730 9,967 11,532 5,865 1,825 2,484 3,132 4,480 1,859 1,179 2,783 1,533 3,091 Apr. 7.-.- 47,741 7,777 9,968 7,502 1,991 2,634 3,838 3,479 1,223 .1,582 3,377 1,758 2,612 Apr. 14.. 52,815 6,733 13,631 9,256 1,492 2,065 3,165 7,341 878 1,339 3,632 1,039 2,244 Apr. 21.... 53,429 8,627 12,784 10,655 2,407 2,508 3,093 6,365 434 1,734 1,878 1,151 1,793 •Gold held exclusively against Federal reserve notes: Mar. 24.. 129,555 357,127 130,653 193,500 50,675 125,925 134,931 15,621 62,791 52,467 29,314 179,834 Mar. 31 1,411,453 108,795 355,552 122,329 172,252 49,635 125,148 133,869 15,951 63,905 52,106 29,764 182,147 Apr. 7. , 1,432,272 108,057 127,419 173,106 132,381 132,846 18,313 63,616 51,756 29,165 192,995 Apr. 14 1,438,245 127,230 302,529 131,683 173,684 52,596 178,854 136,671 17,716 53,308 51,267 28,397 184,310 Apr. 21.. 1,551,877 126,540 466,592 134,455 174,476 41,622 162,159 135,663 15,631 50,049 26,367 171,437 Gold settlement fund with Federal Reserve Board: Mar. 24..... 713,203 35,901 295,730 39,516 32,878 33,707 31,069 135,378 8,381 27,122 28,479 20,744 24,298 Mar. 31.. 750,959 55,848 318,650 65,951 55,328 33,202 32,050 86,404 5,102 20,023 28,615 16,596 33,190 Apr. 7 730,247 61,584 253,054 61,831 54,992 33,964 29,008 137,199 17,224 19,817 27,603 14,812 19,159 Apr. 14...... , 715,880 42,088 296,155 62,300 19,970 21,274 125,374 11,228 15,618 25,906 12,699 26,570 Apr. 21. ... 617,881 53,070 206,755 45,344 53,317 23,488 22,144 133,538 8,318 14,423 21,880 11,889 23,715 «Gold and gold certificates held by banks: Mar. 24........ 618,885 42,188 342,393 26,044 50,360 4,787 3,742 68,285 19,316 7, 5,876 10,286 38,510 Mar. 31..... .... 604,461 39,684 332,122 22,471 51,165 5,081 3,834 17,957 7,176 5,924 10,343 39,039 Apr. 7...... 620,827 36,891 351,112 22,595 51,743 5,636 4,317 69,121 17,836 6,773 5,206 10,367 39,230 Apr. 14... 627,663 358,103 20,873 48,477 6,274 3,621 72,327 18,100 7,094 6,100 10,450 Apr. 21..... 35,530 351,910 22,805 49,608 6,678 4,063 72,378 19,299 7,198 6,515 10,472 39,613 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

358 FEDERAL RESERVE BULLETIN MAY, 1926 FEDERAL RESERVE BANKS—RESOURCES AND LIABILITIES, BY WEEKS—Continued RESOURCES—Continued [In thousands of dollars] Total Boston Y N o e r w k d P e h lp i h la i - n C la le n v d e- m Ri o c n h d - Atlanta -C ca h g i o - L S ou t. is M ap i o n l n i e s - Ka C n i s t a y s Dallas F c S i r s a a c n n o - Total gold reserves: Mar. 24 2,794,481 207, 644 995,250 196,213 276,738 89,169 160,736 338,594 43,318 97,011 86,822 60,344 242,642 Mar. 31 2,766,873 204,327 1,006,324 210,751 278,745 87,918 161,032 289,938 39,010 91,104 56,703 254,376 Apr. 7__ - ... 2, 783,346 206,532 958,154 211,845 279,841 88,230 165,706 339,166 53,373 90,206 84,565 54,344 251,384 Apr. 14_____ 2,781,788 206,209 956, 787 214,856 278,859 78,840 203,749 334,372 47,044 76,020 83,273 51,546 250,233 Apr. 21 • 2,795,227 215,140 1,025,257 202,604 276,801 71,788 188,366 341,579 43,248 71,670 75,281 48,728 234,765 Reserves other than gold: Mar. 24 155,295 18,674 43,826 4,637 7,186 8,768 9,425 21,684 20,245 2,901 5,005 5,827 7,117 Mar. 31 ___ 152,973 18,205 43,675 3,824 8,135 8,344 8,177 20,081 20,772 3,012 4,985 5,774 7,989 Apr. 7 _ 150,305 19,060 42, 878 4,844 6,935 8,354 7,789 19, 111 19,748 3,114 4,706 5,965 7,801 Apr. 14... 157,017 20,629 45,073 4,459 7,037 8,501 9,187 20,219 3,209 4,932 5,828 8,455 Apr. 21 155,243 20,394 42,351 6,311 6,549 8,342 19,508 19,937 2,948 4, 537 5,638 8,259 Total reserves: Mar. 24 2,949,776 226,318 1,039,076 200,850 97,937 170,161 360,278 63,563 99,912 91,827 66,171 249,759 Mar. 31 2,919,846 222, 532 1,049,999 214,575 286,880 96,262 169,209 310,019 59,782 94,116 91,630 62,477 262,365 Apr. 7.... 2,933,651 225, 592 1,001,032 286,776 96,584 173,495 358,277 73,121 93,320 89,271 60,309 259,185 Apr. 14 1,001,860 219,315 285,896 87,341 212,936 353,860 67,263 79,229 88,205 57,374 258,688 Apr. 21....__ 2,950,470 235,534 1,067,608 208,915 283,350 80,130 198,835 361,087 63,185 74,618 79,818 243,024 Nonreserve cash: Mar. 24 66,102 5,148 24,789 1/ 2,846 3,997 4,536 9,023 3,860 1,099 2,340 3,057 3,514 Bills A A A M d p p p a i r r r s r . . . . c 2 1 7 o 3 4 1 u 1 n .. t . e . d: _. 6 6 6 1 2 0 , , , 4 0 7 8 7 6 4 8 8 4 4 4 3 , , , , 9 5 9 4 8 3 8 1 9 2 2 7 2 2 2 1 1 2 2 9 , , , , 0 9 2 5 9 9 1 6 5 6 0 4 2 2 1 1 , , , , 0 0 8 6 5 7 0 7 3 5 0 7 3 3 3 3 , , , , 9 0 2 3 4 9 8 4 1 6 5 7 4 4 4 , , , 0 6 1 0 3 6 9 4 3 3 4 4 4 , , , , 2 7 2 5 7 2 6 3 0 1 4 1 7 7 8 , , , 5 5 6 9 7 7 2 5 7 3 3 3 3 , , , , 6 4 7 6 2 2 5 8 3 3 2 4 1 1 1 1 , , , , 2 0 1 2 8 3 5 3 8 7 2 8 2 2 2 2 , , , , 4 5 4 6 1 4 7 5 8 6 6 9 2 2 2 3 , , , , 0 3 6 5 1 2 5 7 5 3 9 2 3 3 3 3 , , , , 6 6 5 5 1 0 3 6 1 9 0 0 Secured by U. S. Government obligations— Mar. 24.... 340,564 15,416 110,651 44,905 44,107 16,587 15,751 40,456 11,625 470 8,753 1,972 29,871 Mar. 31... 311,487 20,190 100,987 36,718 44,439 16,118 14,288 43,280 12,154 345 4,192 1,254 17,522 Apr. 7 290,169 15,552 106,406 33,945 39, 653 12,143 10,507 37,489 9,130 312 5,918 1,527 17,587 Apr. 14 334,735 13,977 160,627 28,088 44,495 13,413 8,700 23,497 11,432 388 5,375 1,190 23, 553 Apr. 21 208,834 10, 568 37,475 29,743 32,039 15,912 5,554 27,249 10,206 2,048 8,810 1,298 27,932 Other bills discounted— Mar. 24 ..... 276,983 28,365 37,015 21,677 24,085 25,766 34,356 37,564 17,103 3,607 10,191 5,062 32,192 Mar. 31 320,904 22,580 48,738 24, 658 19, 744 29,269 35,703 68,451 21,463 4,511 9,889 4,394 31, 504 Apr. 7.-—.. 19,810 48, 778 20, 901 20,117 28, 415 37,091 46,714 15,892 5,033 12,834 4,718 28,080 Apr. 14 242, 549 17,126 28,342 19,199 19,889 31,296 32,164 41,558 13, 634 4,452 12,102 4,595 18,192 Apr. 21 240,836 13,357 23,753 19,101 19, 223 32,593 35,885 31,980 16,737 4,797 13,830 6,051 23,529 Total bills discounted: Mar. 24 617,547 43,781 147,666 66,582 68,192 42,353 50,107 78,020 28,728 4,077 18,944 7,034 62,063 Mar. 31 42,770 149,725 61,376 64,183 45, 387 49,991 111, 731 33, 617 4,856 14,081 5,648 49,026 Apr. 7 578,552 35,362 155,184 54,846 59,770 40, 558 47,598 84,203 25,022 5,345 18,752 6,245 45,667 Apr. 14 577, 284 31,103 188,969 47,287 64,384 44, 709 40,864 65,055 25,066 4,840 17,477 5,785 41,745 Apr. 21 - 449,670 23,925 61, 228 48,844 51, 26.1" 48,505 41,439 59,229 26,943 6,845 22,640 7,349 51, 461 Bills bought in open market: Mar. 24. 252, 228 41, 433 62,821 12,980 20,893 10,513 11,620 28,319 12,746 7,565 12,136 10,704 20, 498 Mar. 31 249,633 43, 664 53,620 10,851 21,023 10, 443 10,807 28,766 9,183 12, 074 9, 552 21,567 Apr. 7.. 229, 773 40, 532 44,187 10, 239 22, 326 9,774 10,803 31,516 4,863 9,231 13, 416 10,546 22,340 Apr. 14— 274,058 45, 332 63, 437 11,142 21,076 10, 636 10,886 35,174 6, 651 20,528 13, 758 10,747 24,691 Apr. 21 229,474 32, 296 26,086 12,495 20,125 9, 812 26, 647 27,873 7,970 19,818 12, 361 10,740 23,251 U. S. Government securities: Bonds— Mar. 24.... 63,877 595 2,547 622 8,274 1,289 1,181 20,452 2,794 7,773 8,935 8,531 Mar. 31. 70, 054 753 4,044 788 8,686 1,476 1,531 21,155 3,199 8,048 9, 482 9,125 1,767 Apr. 7.. 74,997 1,134 5,352 1,224 9,212 1,802 1,843 21,917 3,199 8,321 9,809 8,926 2,258 . Apr. 14—.. 94,136 2,471 9,936 2,752 11,122 2,948 2,944 24, 591 3,199 9,276 10,955 9,964 3,97,8 Apr. 21 —— . 98, 681 3, 584 11, 762 3,088 11, 541 3,200 1,050 25,914 3,199 9,486 11, 207 10,294 4,356 Treasury notes- Mar. 24 121, 308 1,053 29, 242 779 14,100 2,194 6, 277 12,871 9,403 4, 494 11,283 11, 032 18,580 Mar. 31..— .. 131, 644 1,402 29,123 1,176 15,075 2,636 7,114 14,132 10,335 5,139 12,552 12,326 20,634 Apr. 7 134,897 30,119 1,508 15, 490 2,885 7,363 13,814 10,335 5,347 12,801 12,533 21,007 Apr. 14 143, 465 2, 224 32,117 2,124 16, 675 3,347 7,834 15,195 10,335 5,732 13, 263 12,919 21,700 ...,.• Apr 21 149,999 5,400 36, 275 2,644 17,325 3,737 18,797 10,335 6,057 13,653 13,243 22,285 Certificates of indebtedness— Mar. 24. 123, 016 5,546 22,300 16,968 5,997 1,557 7,467 8,499 11,479 3,424 10,265 8,405 21,109 Mar. 31 128,139 5,611 21,298 17,131 6,468 1,760 9,921 12,009 3,748 10,929 9,090 22,189 Apr. 7.. 132,135 5,864 22, 417 17,391 7,493 1,956 8,180 9,857 12,208 3,910 11,124 9,253 22, 482 Apr. 14. 139, 415 6,321 23,922 17,939 8,178 2,367 8,673 11,326 12, 208 4, 252 11, 535 9,595 23,099 Apr. 21.. 139,903 8,306 25,831 17,99^ • 8, 244 2,406 3,001 13,272 12,208 4,285 11,574 9,628 23,157 Total U.S. Government securities: . Mar. 24.. 7,194 54,089 18,36? 5,040 14,925 41,822 23,676 15,691 30,483 27,968 40,573 Mar. 31. .._._._._, 329,83' 7,766 54,465 19,095 5,872 16,630 45,208 25,543 16,935 32,963 30,541 44,590 Apr. 7 i 342,02 8,693 57,888 20,123 6,643 17,386 45,588 25,742 17,578 33,734 30,712 45,747 Apr.l4.____ 377,01 11,016 65,975 22,81 8,662 19,451 51,112 25,742 19,260 35,753 32,478 48/777 Apr. 21.. 17,29C 73,868 23,723 9,343 4,299 57,983 25,742 19,828 36,434 33,16, 49,798 Other securities: Max. 24 3,810 3,250 560 Mar. 31—.. .—— 5,185 4,625 560 Apr. 7-...........-.—. 5,185 4,625 560 Apr. 14 -.-__—._; 5,185 4,62£ 56C Apr. 21 4,63S 3,57 56C 50C Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAY, 1926 • FEDERAL RESERVE BULLETIN 359 FEDERAL RESERVE BANKS—RESOURCES AND LIABILITIES, BY WEEKS—Continued RESOURCES—Continued [In thousands of dollars] Total Boston Y N o e r w k d P e h lp il h a i - a C la le n v d e- m Ri o c n h d - Atlanta C ca h g i- o L S ou t. is M ap in o n li e s - K C an it s y as Dallas F c S i r s a a c n n o - Foreign loans on gold: Mar. 24____. 8,010 608 2,192 760 856 424 320 1,096 361 256 312 273 552 Mar. 31 8,491 646 2,329 910 451 340 1,165 366 272 331 287 586 Apr. 7—_ _____ 8,800 669 2,411 942 466 352 1,206 378 282 607 Apr. 14. ____. 8,700 661 2,384 827 931 461 348 1,192 374 278 305 600 Apr. 21 8,700 661 2,384 827 931 461 348 1,192 374 278 339 305 600 Total bills and securities: Mar. 24- _. 1,189,796 93,016 266,768 101,941 118,312 58,330 77,532 149,257 65,511 27,589 61,875 45,979 123,686 Mar. 31—_„_____.__._ 1,225, 537 94,846 270,139 96,755 116,345 62,153 78,328 186,870 68,709 30,146 59,449 46,028 115,769 Apr.7_ 1,164,339 85,256 259,670 90,669 115,233 57,441 76,699 162,513 56,005 32,436 66,245 47,811 114,361 Apr. 14______ 1,242,243 88,112 320,765 122,366 64,468 72,109 152,533 57,833 44,906 67,327 49,315 115,813 Apr. 21 1,081,062 74,172 163,566 109,428 68,121 73,293 146,277 61,029 47,269 71,774 51,559 125,110 Due from foreign banks: Mar. 24____ _ 643 Mar. 31... 643 643 Apr.7 643 643 Apr. 14 _. 643 643 Apr. 21 644 644 Uncollected items: Mar. 24— ._ 635,857 55,426 143,128 60,809 58,449 37,498 80,574 31,635 12,800 37,676 24,668 36,838 Mar. 31- 620,294 55,447 141,915 57,405 54,226 55,891 34,291 79,787 32,953 11,938 38,620 22,898 34,923 Apr.7 _ 635,145 56,863 145,077 59,557 58,409 56,637 74,905 35,008 13,561 38,576 24,549 35,975 Apr. 14 ____. 73,546 191, 595 70,796 73,196 65,642 35,821 91,897 38,281 14,844 41,855 27,491 43,284 Apr. 21___ 711,616 71,326 170,256 64,080 58,140 39,656 88,450 34,684 13,106 40,295 27,150 40,610 Bank premises: Mar. 24__________ 59,406 4,068 16,666 1,505 7,409 2,364 2,761 4,111 2,943 4, 1,793 3,217 Mar. 31 - 59,441 4,068 16,701 1,505 7,409 2,364 2,761 7,933 4,111 2,943 4,636 1,793 3,217 Apr. 7 59,480 4,068 16,701 1,531 7,409 2,364 2,774 7,933 4, 111 2,943 4,636 1,793 3,217 Apr. 14 59,481 4,068 16, 701 1,532 7,409 2,364 2,774 7,933 4,111 2,943 4,636 1,793 3,217 Apr. 21_._-___ 59, 519 4, 068 16,715 1,532 7,409 2,364 2,774 7,933 4,111 2,943 1,793 3,241 All other resources: Mar. 24 .„. 14,732 97 2,910 396 859 341 1,065 1,966 432 2,443 482 3,343 Mar. 31 _. 14,759 127 3,202 338 855 331 1,048 1,919 412 2,385 478 3,281 Apr. 7____-____-__— 15,040 85 3, 518 354 8S1 380 1,030 1,899 415 2,270 497 402 3,309 Apr. 14 _ 16,201 88 4,355 419 907 343 1,014 1,918 524 2,276 620 411 3,326 Apr. 21_ .__-. 15, 780 89 4,481 / 319 910 328 1,095 1,420 514 2,220 662 404 3,338 Total resources: Mar. 24 4,916,312 384,073 1,493,980 367,394 471,799 219,325 293,553 609,031 169,112 146,786 142,066 420,357 Mar. 31 4, 902,598381,952 1,505, 50937% 255 469,656 221, 010289,361 594, 203169, 590142,565 197,231 136,151 423,115 Apr. 7__ 4,869, 782376,781 1,448,905 370, 600471,804 217,569 294, 287613,119 172,083 145,818 201,671 137,487 419,658 Apr. 14-, 5,088,459 397, 2411,557,014 380,811 493,121 224,792 328,924 616,718 171,764 145,436 205,302 139,399 427,937 Apr. 21 4,879,859 388, 6711,442,866 366,385 468,245 213, 772320,184 614, 976167, 207141,308 199, 761137,631 418,853 LIABILITIES Federal reserve notes in actual circulation: Mar. 24. 1,658,996 152, 906 146,079 203,339 76, 964160,522 165,189 36,680 64,947 63,519 36,973 181,992 Mar. 31 __•__. 1, 656,482152,740 371,983 149,659 201,458 75,985 160,147 162,028 63,825 63,100 36,592 182,242 Apr.7 1,652,878 147,988 369,838 142,751 199,948 76,301 163,099 163,839 36,733 64,379 63,516 37,071 187,415 Apr. 14 „ _ 1, 681, 096145,858 366,065 143,568 201, 678 74,028 197,358 167,020 37,068 63,643 62,870 36,163 185, 777 Apr. 21_____ _„„__. 1,662,284 145,605 363,393 138, 678194, 206 72,981 191,222 172,577 36> 955 62,590 36,473 183,655 Deposits: Member bank—reserve account- Mar. 24___ __.___. 2,218,007 139,418 124,913 171,466 67,313 77,706 315, 223 53,126 84,910 59,488 159,168 Mar. 31,___ ... 2,215,243 137, 740 902,077 128,886 170,688 66,818 73,011 304, 347 78,960 50,445 85,440 56,557 160,274 Apr. 7-____ __.__. 2,191,635 138,137 839,003 135,001 173,601 68,511 75, 213322,873 80,632 52,619 "87,785 58,905 159,355 Apr. 14._____ __. 2, 283, 222144,903 922,827 135,444 180,482 66,842 77,318 314,085 78,123 52,624 87,008 58,784 164,782 Apr. 21____________.__. 2,171,145 142,421 825,558 134,823 173,701 77,089 315,060 79,548 51,811 86,007 58,383 160,082 Government— Mar. 24_____._..._..._ 68,892 10,145 7,821 6,162 3,104 3,012 8,757 6,760 5,065 1,567 2,002 5,498 Mar. 31 , 85,813 9,603 6,097 6,141 5,644 11,702 7,356 5,102 4,936 2,443 5,242 12,549 Apr. 7—_ 60,580 4,119 6,017 2,057 7,r~ 9,798 1,647 4,233 1,453 2,859 4,323 Apr.14 43,280 7,451 3,391 3,251 3,038 1,631 1,908 3,462 2,596 1,624 2,018 Apr. 21_._._..._—.... 1,538 9,341 2,149 1,424 1,082 6,812 478 1,545 1,119 1,628 1,030 Foreign bank- 2,196 Mar. 24 „• 8,420 481 3,825 601 677 335 253 867 272 203 247 437 Mar. 31__. 5,399 481 804 601 677 335 253 867 272 203 247 222 437 Apr. 7 7,954 555 2,652 694 781 387 292 1,000 314 234 285 256 504 Apr. 14_._. _, 4,576 410 660 512 577 286 216 739 232 173 210 189 372 Apr. 21 4,494 307 1,565 432 214 161 553 174 129 157 141 278 Other deposits- Mar. 24 ____- 18,313 143 7,931 129 919 181 196 821 1,151 276 409 35 6,122 Mar. 31. 16,897 82 7,082 64 825 70 78 986 770 167 200 72 6,501 Apr.7 18,298 84 6,859 100 998 118 902 2,250 280 185 43 6,291 Apr. 14 16,074 101 6,687 179 1,022 103 1,048 270 246 133 48 6,169 Apr. 21 20,283 9,317 166 1,234 60 378 1,194 240 761 41 6,211 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

360 FEDERAL. RESERVE BULLETIN MAY, 1926 FEDERAL RESERVE BANKS—RESOURCES AND LIABILITIES, BY WEEKS—Continued LIABILITIES-Continued [In thousands of dollars] Total Boston Y N o e r w k d P e h lp il h a i - a C la le n v d e- m Ri o c n h d - Atlanta C ca h g i o - L S ou t. is M ap in ol n i e s - K C an it s y as Dallas F S r a a n ncisco Total deposits: Mar. 24 2,313,632 150,187 905,864 131,805 176,166 70,841 86,912 323,671 85,477 55,172 87,568 65,243 174,726 Mar. 31 2,323,352 147,906 916,060 135,692 181,188 72,867 85,044 313,556 85,104 55,751 88,330 62,093 179,761 Apr. 7-— 2,278,467 146,769 139, 914181,397 71,143 334,573 84,843 57,366 89,708 62,063 170,473 Apr. 14 2,347,152 152,865 936,272 139, 526185,332 70,234 84,449 317,503 56,505 89,947 60,645 173,341 Apr. 21 2,219,750 144,459 845,781 137, 521176,791 68,018 79,824 317,285 80*508! 53,725 88,044 60,193 167,601 Deferred availability items: Mar. 24 588,910 54,500 121,519 56, 539 54,670 52,696 31,835 70,966 31,451 15,058 33,862 27,387 38,427 Mar. 31 -. 567,879 54,837 120,743 53,954 49,417 53,318 29,850 69,328 32,253 11,383 31,918 24,986 35,892 Apr. 7.— 582,779 55,520 125,634 54,921 52,770 51,240 33,168 65,353 34,906 12,454 34,513 25,828 36,472 Apr. 14... -_._-.„. 703,600 71,935 157,345 64,705 68,327 61,664 32,708 82,996 38,470 13,362 38,540 30,039 43,509 Apr. 21 •_. 640,652 72,066 136,080 57,107 59,469 53,782 34,619 75,937 34,033 11,898 35,123 28,439 42,099 Capital paid in: Mar. 24 _ 120,404 8,772 33,888 11,939 13,460 6,000 4,926 16,296 5,146 3,154 4,236 4,310 8,277 Mar. 31 120,427 8,772 33,903 11,932 13,460 6,000 4,934 16,300 5,147 3,152 4,236 4,314 8,277 Apr. 7 120,455 8,772 33,922 11,93f 13,460 5,995 4,933 16,291 5,147 3,141 4,236 4,344 8,282 Apr. 14 . 120,898 8,772 34,242 11,949 13,475 5,983 4,938 16,288 5,246 3,142 4,242 4,336 8,285 Apr. 21 121,452 8,772 34,629 11,949 13,475 6,043 4,945 16,291 5,246 3,142 4,256 4~" 8,401 Surplus: Mar.24 220,310 17,020 59,964 20,464 22,894 11,919 8,700 30,613 9,570 7,501 8,979 7,615 15,071 Mar. 31 220,310 17,020 59,964 20,464 11,919 8,700 30,613 9,570 7,501 8,979 7,615 15,071 Apr. 7 ....... 220,310 17,020 59,964 20,464 22,894 11,919 8,700 9,570 7,501 8,979 7,615 15,071 Apr. 14 220,310 17,020 59,964 20,464 22,894 11,919 8,700 30,613 9,570 7,501 8,979 7,615 15,071 Apr. 21 220,310 17,020 59,964 20,464 22,894 11,919 8,700 30,613 9,570 7,501 8,979 7,615 15,071 All other liabilities: Mar. 24 14,060 688 2,859 568 1,270 905 658 2,296 788 954 672 538 1,864 Mar. 31 14,148 677 2,856 554 1,239 921 686 2,378 793 953 668 551 1,872 Apr. 7 14,893 712 2,951 618 1,335 971 765 2,450 884 977 719 566 1,945 Apr. 14..... . 15,403 791 3,126 1,415 964 771 2,298 877 1 724 601 1,954 Apr. 21 15,411 749 3,019 1,410 1,029 874 2,273 769 608 2,026 Total liabilities: Mar.24 __. 4,916,312 384,073 1,495,980 367,394 471,799 219,325 293,553 609,031 169,112 146,786 142,066 420,357 Mar. 31 4,902,598 381,952 1,505,509 372,255 469,656 221,010 289,361 594,203 169,590 142,565 197,231 136,151 423,115 Apr. 7 . .... 4,869,782 376,781 1,448,905 370,600 471,804 217,569 294,287 613,119 172,083 145,818 201,671 137,487 419,658 Apr. 14..__ 5,088,459 397,241 1,557,014 380,811 493,121 224,792 328,924 616,718 171,764 145,436 205,302 139,399 427,957 Apr. 21 4,879,859 388,671 1,442,866 366,385 468,245 2113,772 320,184 614,976 167,207 141,808 199,761 137,631 418,853 MEMORANDA Ratio of total reserves to deposit and Federal reserve note liabilities combined (per cent): Mar.24 74.3 74.7 81.4 72.3 74.8 68.8 73.7 52.0 83.2 60.8 64.7 70.0 Mar. 31 _. 73.4 74.0 81.5 75.2 75.0 64.7 69.0 65.2 49.1 78.7 60.5 63.3 72.5 Apr. 7... 74.6 76.5 81.6 76.7 75.2 65.5 70.3 71.9 60.1 76.7 58.3 60.8 72.4 Apr. 14________ 73.0 75.9 76.9 77.5 73.9 60.5 75.6 73.0 57.2 65.9 57.7 59.3 72.0 Apr. 21 76.0 81.2 88.3 75.6 76.4 56.8 73.4 73.7 53.8 63.4 53.0 56.2 69.2 Contingent liability on bills purchased for foreign correspondents: Mar.24 ._..__. 71,016 5,512 18,363 7,760 3,844 2,901 3,119 2,321 2,828 2,538 5,004 Mar. 31 69,161 5,512 16,508 7,760 3,844 2,901 9,936 3,119 2,321 2,538 5,004 Apr. 7.... 68,172 5,256| 17,962 6,570 7,400 3,666 2,766 9,475 2,974 2,213 2,697 2,421 4,772 Apr. 14 68,202 5,182 18,697 6,478 7,296 3,614 2,728 9,342 2,932 2,182 2,659 2,387 4,705 Apr. 21...„._.... 67,696 5,182 18,191 6,478 7,296 3,614 2,728 9,342 2,932 2,182 2,659 2,387 4,705 Own Federal reserve notes held by Federal reserve bank: Mar.24 321,068 17,005 139,799 16,106 14,711 19,858 16,935 4,840 3,053 6,082 5,557 48,856 Mar. 31 310,221 14,775 141,834 25,112 16,831 15,929 19,586 18,111 4,479 3,025 6,950 5,251 38,338 Apr. 7 , 306,335 17,279 140,448 29,473 16,229 15,358 21,121 17,138 3,917 3,394 6,089 4,397 31.192 Apr. 14... 321,058 16,626 141,659 30,359 15,475 18,527 28,018 18,263 4,330 3,139 6,192 5,057 33,413 Apr. 21 ._ 343,555 14,595 148,929 35,522 22,326 18,157 32,212 17,785 4,942 2,744 6,445 4,705 35.193 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

, 1926 FEDERAL KBSEBVB BULLETIN 361 FEDERAL RESERVE BANKS—MATURITY DISTRIBUTION OF BILLS AND CERTIFICATES OF INDEBTEDNESS [In thousands of dollars] Total Wi d th ay in s 15 16 d a t y o s 30 31 d a to y s 60 61 d a t y o s 90 9 6 1 m da o y n s t h to s m O o v n e t r h 6 s Bills discounted: Mar. 24 •_ ... 617,547 486,050 31,386 51,259 35,345 8,766 4,741 Mar. 31..._. 632,391 473,606 37,181 65,230 41,319 9,247 5,808 Apr. 7 578, 552 430, 712 34,987 59,119 37,770 11, 746 4,218 Apr. 14 577,284 436,193 33,897 56,491 33,156 12,927 4,620 Apr. 21 449,670 312, 567 32,320 54,093 31,560 15,262 Bills bought in open market: Mar. 24 ___. •_ 252,228 110, 540 61, 546 52, 619 22,744 4,779 Mar. 31 ______ 249,633 117,659 52, 635 52,287 23, 327 3,725 . Apr. 7-_— ... 229, 773 97,117 52, 615 51,824 24,807 3,410 Apr. 14 274, 058 132,730 57, 559 54,633 24,268 4,868 Apr. 21 229,474 97,220 60,606 42, 702 24,230 4,716 Certificates of indebtedness: Mar. 24 123, 016 2,884 25,203 81,611 13,318 Mar. 31 ... 128,139 10 59,418 54,608 14,103 Apr. 7 132,135 36 62,991 64,982 4,126 Apr. 14 . 139,415 13 200 66,863 58, 300 14,039 Apr. 21 139,903 4,e 60,703 2,251 50,203 22,057 FEDERAL RESERVE NOTES—FEDERAL RESERVE AGENTS' ACCOUNTS, BY WEEKS [In thousands of dollars] Total B<|§ton 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 Ri o c n h d - Atlatna Chicago L S ou t. is M ap in o n li e s - K C an it s y as Dallas F c S r is a a c n n o - Federal reserve notes received from comptroller: Mar. 24 2,807,701 216,911 736,045 211,865 273,795 117,815 227,490 410,761 65,600 85,863 118,591 57,117 285,848 Mar. 31 __ _ ... 2,809,809 217,515 740,177 212,691 274,239 117,854 225,978 410,776 65,762 85,407 117,900 56,430 285,080 Apr. 7 2,802,474 213,967 736,646 214,144 276,327 117,699 230,885 407,514 64,810 84,715 116,955 55,605 283,207 Apr. 14 2,832,211 213,184 740,564 211,447 273,803 119,095 258,891 407,520 65,538 86,310 116,212 57,057 282,590 Apr. 21___ 2,859,710 213,600 749,482 213,320 274,482 123, •" 270,668 409,099 65,397 86,056 115,585 56,415 281,928 Federal reserve notes held by Federal reserve agent: Mar. 24__ ___.. 827,637 47,000 226,360 37,520 54,350 26,140 47,110 24,080 17,863 48,990 14,587 55,000 Mar. 31_ 843,106 50,000 226,360 37,920 55,950 25,940 46,245 230,637 24,560 18,557 47,850 14,587 64,500 p 843,261 48,700 226,360 41,920 60,150 26,040 46,665 226,537 24,160 16,942 47,350 14,137 64,300 . Apr. 14___ ______ 830,057 50,700 232,840 37,520 56,650 26,540 33,515 222,237 24,140 19,528 47,150 15,837 63,400 Apr. 21__ 853,871 53,400 237,160 39,120 57,950 32,540 47,234 218,737 23, 500 19,363 46,550 15,237 Federal reserve notes issued to Federal reserve bank: Mar. 24 1,980,064 169,911 509,685 174,345 219,445 91,675 180,380 182,124 41,520 68,000 69,601 42,530 230,848 1,966,703 167,515 513,817,174,771 218,289 91,914 179,733 180,139 41,202 66,850 70,050 41,843 220,580 A A A p p p r r r . . . 7 2 1 . 1 4 __-_.___ ___ _ ._ _ . . 2 2 1 , , , 0 0 9 0 5 0 5 9 2 , , , 2 8 1 1 3 5 3 9 4 1 1 1 6 6 6 5 0 2 , , , 2 2 4 6 0 8 7 0 4 5 5 5 1 0 1 0 7 2 , , , 2 7 3 8 2 2 6 4 2 1 1 1 7 7 7 3 2 4 , , , 9 2 2 2 2 0 7 4 0 2 2 2 1 1 1 6 7 6 , , , 1 1 5 5 7 3 3 7 2 9 9 9 1 2 1 , , , 6 5 1 5 5 3 9 5 8 1 2 2 2 8 2 5 4 3 , , , 3 2 4 7 2 3 6 0 4 1 1 1 8 8 9 0 5 0 , , , 2 9 3 8 7 6 3 7 2 4 4 4 0 1 1 , , , 6 8 3 9 5 9 7 0 8 6 6 6 7 6 6 , , , 7 6 7 7 9 8 3 3 2 6 6 6 9 9 9 , , , 6 0 0 0 3 6 5 5 2 4 4 4 1 1 1 , , , 4 2 1 6 2 7 8 0 8 2 2 2 1 1 1 8 9 8 , , , 9 1 8 0 9 4 7 0 8 Collateral held as security for Federal reserve notes issued to Federal reserve bank: Gold A M M A A a p p p a a n r r r r r . d . . 7 . . _ 2 1 3 2 g 1 4 _ 4 1 o _ _ _ l _ _ _ d _ _ . c _ e rtificates _ — _ _ - . _ . . . . . 3 3 3 3 3 0 1 1 0 0 9 1 0 9 9 , , , , , 7 3 6 2 4 4 9 5 5 9 3 3 3 3 8 3 3 3 3 3 5 5 5 5 5 , , , , , 3 3 3 3 3 0 0 0 0 0 0 0 0 0 0 1 1 1 8 8 8 6 6 6 , , , 6 6 6 9 9 9 8 8 8 1, 8 8 4 8 2 0 0 0 0 0 0 0 0 0 0 2 2 2 2 2 5 5 5 5 5 , , , , , 6 6 6 6 6 5 5 5 5 5 5 5 5 5 5 1 1 1 1 1 2 2 2 3 3 , , , , , 9 9 9 2 2 7 7 7 3 3 7 7 7 7 7 1 9 8 8 8 1 , , , , , 7 7 7 7 0 9 4 4 4 95 5 5 5 5 1 1 1 1 1 2 3 3 3 3 , , , , , 8 2 2 2 2 6 1 1 1 1 7 2 2 2 2 1 1 1 1 1 7 7 7 7 7 , , , , , 2 2 2 2 2 2 2 2 2 2 6 6 6 6 6 Gold A M M A A r p p p a a e r r r r r d . . . . . e 7 2 1 2 3 m 1 _ 4 1 4 _ _ _ _ p _ _ _ t _ _ _ i _ _ _ o _ - n _ _ _ _ _ f _ u _ nd— 1 1 1 1 9 0 0 1 0 9 5 4 0 0 , , , , , 0 6 8 4 6 5 0 0 5 0 1 6 5 7 0 1 1 1 1 1 6 4 7 0 4 , , , , , 9 6 5 1 9 1 2 9 2 8 3 4 7 8 0 2 2 2 2 2 6 6 6 6 6 , , , , , 4 3 3 2 1 1 2 2 0 1 5 2 2 0 0 1 1 1 9 2 9 0 2 , , , , , 9 7 2 4 0 0 2 7 4 3 5 3 8 8 0 1 1 1 1 1 1 2 2 3 3 , , , , , 3 6 0 2 4 3 4 8 0 1 5 7 9 2 2 3 2 2 4 2 , , , , , 9 4 3 8 9 5 7 9 4 5 6 6 6 1 9 4 5 8 5 7 , , , , , 0 9 5 3 4 5 3 6 2 5 1 9 6 9 2 3 3 3 3, , , , 7 7 7 r 4 4 2 " 5 5 2 1 1 1 1 , , , , 8 1 7 4 4 1 9 5 5 5 7 2 1 1 , , 9 8 7 1 5 7 2 0 5 1 0 2 7 3 4 4 3 3 3 2 , , , , , 1 1 5 4 7 4 5 1 7 6 8 4 9 5 3 4 3 3 2 3 , , , , , 1 1 0 4 6 8 3 0 9 9 1 2 5 0 2 1 1 1 1 1 7 7 6 7 6 , , , , , 5 7 4 8 1 5 3 4 7 9 1 4 7 4 0 Gold fund, Federal Reserve Board- Mar. 24___ _ 69,000 131,000 105,389 170,000 20,500 104,000 125,644 3,200 48,000 45,860 7,000 158,610 Mar .,31 •__ 945,175 49,000 131,000 103,389 150, ooo; 17,500 105,000 125.644 1,200 48,000 45,860 7,000 161,582 Apr. 7 ______ 976,087 54,000 131,000 109,389,150,000 17,500 107,000 125.645 7,500 48,000 45,860 7,000 173,193 Apr.l4___._ 965,320 68,000 76,000 109,597 150, OOO!20,500 155,000 125.644 6,500 38,000 43,860 7,000 165,219 Apr. 21. 68,000 241,000 113,497 150,000' 10,500 140,500 125.645 5,000 34,000 41,860 5,500 153,093 Eligible paper- Mar. 24. L 827,811 85, 214195,023 64,515 88,578 47,762 60,308 106,159 40,826 11> 407 29,846 16,913 81,260 Mar. 31. _ 838,769 86.434 190,125 62,837 83,976 52,355 58,994 140,310 41,917 12,616 25,053 14,309 69,843 Apr.7__ _____ 777,026 75,894 187, %4T 53,020 80,038 49,449 57, 261115,525 29,056 14,374 31,715 16,430 67,117 Apr. 14___ _______.. 822,806 76.435 240, 539 52,501 51,377 50,584 100,060 30,643 25,204 30,925 16,174 65,370 Apr. 21____ L 648, 512 56,221 72, 539 52,379 70,149 55,996 66,978 86,934 33,920 26,504 34,795 17,902 74,195 Total collateral- Mar. 24. ___L__ 2,232,118 206,438 539,136 181, 552279,360 96,373 183,236 235, 548 54,936 73,244 79,860 44,831 257,604 Mar. 31___ 2,200,492 185, 262534,145 179,301 254,403 99,506 181,010 269,699 56,009 75,342 74,376 42,540 248,899 Apr. 7 2,161, 557176,174 531,167 172,93" 251,153 95,445 185,804 244,892 46,146 76,408 80,094 43,837 257,500 Apr. 14 2,208,236 196,932 529,43' 174,928 255,186 101,908 226,273 229,390 47,481 77,173 78,560 43,532 247,436 Apr. 21 ____ 2,146,960 174,134 526,34' 176,179 242,218 95,110 226,044 216,232 49,117 74,819 79,803 43,118 243,839 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

362 FEDERAL. RESERVE BULLETIN MAY, 1926 FEDERALJjRESERVE BANKS-HOLDINGS OF BILLS AND SECURITIES AND EARNINGS THEREON, MARCH, 1926 [In thousands of dollars] Total Boston Y N o e r w k d P e h lp il h a i - a C la le n v d e- m Ri o c n h d - Atlanta Chicago L S ou t. is M ap in o n li e s - K C an it s y as Dallas F S ra a n n - HOLDINGS ON MARCH 31,1926 Total bills and securities - 225,537 94,846 270,139 96, 755 16,345 62,153 78,328 186,870 68, 709 30,146 59,449 46,028 115,769 Bills discounted for members.— 632,391 42, 770 149, 725 61, 376 64,183 45,387 49, 991 111, 731 33,617 4,856 14,081 5,648 49,026 Bills bought in open market 249,633 43, 664 63, 620 10,851 21,023 10,443 10,807 28,766 9,183 8,083 12,074 9, 552 21,567 United States securities 329,837 7,766 54, 465 19,095 30,229 5,872 16,630 45,208 25, 543 16, 935 32,963 30, 541 44, 590 Other securities 5,185 4,625 560 Foreign loans on gold 8,491 ""646 ~2,~329" 808 910 451 340 1,165^ 366 272 331 287 586 Bills Discounted Eediscounted bills: . Commercial and agricuiltural paper, n. e, s ._ 212,818 22, 366 11, 286 11, 602 14, 757 21,680 29,105 56,334 18, 761 2,918 7, 373 3,747 12,889 Demand and sight drafts 225 36 30 159 Bankers' acceptances __ 104 102 2 Trade acceptances, domestic _ 2,793 112 178 117 562 385 234 675 302 12 216 Secured by U. S. Government obligations 2,094 182 89 366 233 496 126 520 27 55 Member bank collateral notes: Secured by U. S. Government obligations 309,394 20,008 00,987 44,073 15,885 13, 792 43,154 11, 634 346 4,165 1,254 17,467 Otherwise secured 104, 963 37, 274 4,425 7,204 6,328 11,442 2,370 1,592 2,516 635 18,238 Total discounted bills 632, 391 42, 770 149, 72 61, 376 64,183 45, 387 49,991 111, 731 33, 617 4,856 14,081 5,648 49,026 Bills Bought Bills payable in dollars: Bankers' acceptances based on— Iinports - 110,354 25,249 25, 836 4,461 8,756 4, 288 1, 953 11, 912 3,897 3,063 6,047 3,895 10,997 Exports --- 73,352 7,392 19,088 4,325 6,806 3,053 6,126 9,039 2,718 2,793 3,528 3,551 4,933 Domestic transactions... 34,329 6,263 8,268 1,293 3,183 2,146 2,051 4,555 1, 244 938 1,212 366 2,810 Dollar exchange 3, 750 877 737 34 222 60 863 441 172 87 81 176 Shipments between or storage of goods in foreign countries 23,387 3, 838 6,809 738 1,180 766 676 2; 315 783 980 1^200 1, 659 2,443 Allother — 2,521 45 1,976 130 82 100 137 50 Trade acceptances based on imports----- - -• 803 645 158 Bills payable in foreign currencies. 1,137 261 876 Total purchased bills 249,633 43,664 63, 620 10, 851 21,023 10,443 10,807 28,766 9,183 8,083 12,074 9,552 21, 567 United States Securities United States bonds - 70,054 753 4,044 788 8,686 1,476 1,531 21,155 3,199 8,048 9,482 9,125 1,767 Treasury notes 131,644 1,402 29,123 1,176 15,075 2,636 7,114 14,132 10,335 5,139 12, 552 12,326 20,634 Certificates of indebtedness 128,139 5,611 21, 298 17,131 6,468 1,760 7,985 9,921 12,009 3,748 10,929 9,090 22,189 Total U.S. securities 329,837 7,766 54,465 19,095 30, 229 5,872 45,208 25, 543 16, 935 30,541 44,590 DAILY AVERAGE HOLD- INGS DURING MARCH Total bills and securities * 176,43ft 85,343 274,928 99,405 108,604 59,645 72,818 151,354 63,668 31,079 6, 49,148 116,778 , Bills discounted 558, 795 35,151 140,813 59,901 56,611 43, 558 40,006 75,507 26,126 6,699 17,499 6,641 50,283 Bills bought 269,634 42,075 63,368 16,074 20,751 10,354 16,924 29,898 13,431 7,610 13,397 12,594 23,158 United States securities. _ 336,198 7,494 68,501 19,366 30,363 5,299 15,280 44,828 23,758 16,508 32,405 29,626 42,770 Foreign loans on gold 8,201 623 2,246 781 879 434 328 1,121 353 262 320 287 567 EARNINGS DURING MARCH Total bills and securitiesl_ 3,802 272 871 328 353 197 243 498 205 102 204 155 374 Bills discounted 1,905 120 478 204 192 148 140 257 89 23 60 23 171 Bills bought— —- 828 129 193 49 64 32 54 92 41 24 41 38 71 United States securities— 1,027 21 191 61 94 15 47 145 74 54 102 93 130 Foreign loans on gold 30 2 9 3 3 2 1 4 1 1 2 ANNUAL RATE OF EARN- INGS Total bills and securities l- 3.80 3.75 3.73 3.87 3.83 3.88 3.83 3.87 3.79 3.85 3.78 3.72 3.77 Bills discounted 4.00 •4.00 3.99 4.00 4.00 4.00 4.00 4.00 4.00 4.00 4.00 4.00 4.00 Bills bought 3.61 3.61 3.59 3.58 3.63 3.65 3.60 3.63 3.61 3.63 3.62 3.60 United States securities. _ _ 3.60 3.29 3.29 3.72 3.62 3.31 3.63 3.80 3.65 3.87 3.72 3.70 3.56 Foreign loans on gold 4.50 4.50 4.50 4.50 4.50 4.50 4.50 4. 50 4.50 4.50 4.50 4.50 4.50 1 Figures include Federal intermediate credit bank debentures as follows: Philadelphia, average daily holdings, $3,283,000; earnings, $10,736; annual rate of earnings, 3!85 per cent; Atlanta, average daily holdings, $280,000; earnings, $863; annual rate of earnings, 3.52 per cent; and Kansas City, average daily holdings, $48,000; earnings, $160; annual rate of earnings, 3.90 per cent. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAY, 1926 FEDERAL BESEEVE BULLETIN 363 FEDERAL RESERVE BANKS—VOLUME OF DISCOUNT AND OPEN MARKET OPERATIONS DURING MARCH, 1926 [Amounts in thousands of dollars] Total B to o n s- Y N o e r w k d P e h lp il h a i - a C la le n v d e- m R o ic n h d - Atlanta c C a h g i o - L S ou t. is a M p n o e in l - i - s K C s a a it s n y - Dallas F c S i r s a a c n n o - Total Volume of-Operations.. 4,192, 270237,0501,936,961 292,600 307,858 327,185 102, 561 382,367 129,90425, 964 128, 26536, 659 284,896 Bills discounted for member banks 3,217,081 199,5291,268,798 267, 698 288, 703 318,411 87, 545 298,012 111,,229 15,689 107,622 12, 331 241, 514 Bills bought: %&'„; In open market .,__ 34,413 108,099 17,994 11,138 5,757 4,324 19,115 5, 557 4,405 6,091 4,395 21,398 ~ From other Federal reserve banks. _. 28, 919 1,631 U. S. securities bought in open market__ 699,359 2, 948 532,860 3,502 7,792 2,906 10,048 64, 952 13,028 5,803 13,811 19,870 21, 839 Foreign loans on gold _.__.. 2,090 160 575 200 225 111 84 90 67 82 63 145 Bills Discounted Rediscounted bills: Commercial, agricultural, and livestock paper, n. e. s_ _-—_—_ .. 209, 995 3,602 8,043 9,933 16,829 15,257 2 24,659 71,249 38,252 2,174 4, 750 2,902 12, 345 Demand and sight drafts--__ 724 214 275 146 Bankers' acceptances ____ 102 102 Trade acceptances _ ____.. 2,010 112 552 290 215 69 301 179 Secured by U. S. Government obli- 1,928 52 162 144 454 116 474 500 19 Member bank collateral notes: Secured by U. S. Government obligations *. _ 2,336,814 76,135 1,100,962 177,739 226,103 205,587 39,546 209,002 62,944 6,195 94,487 5,699132,415 Secured by eligible paper 3 665,508 119,526 159,595 79,931 45,057 97,133 22,582 17,576 9,044 7,320 8,379 2,955 96,410 Total bills discounted. 3,217,081 199,5291,268,798 267,698 288,703 318,411 87,545J298,012 111, 22915,689 107,62212,331241, 514 Average rate (365-day basis), per cent.-. 4.00 4.00 4.00 4.00 4.00 4.00 4.00 4.00 4.00 4.00 4.00 4.00 4.00 Average maturity (in days): Member bank collateral notes —.: 5.91 6.78 4.89 7.20 5.94 2.51 11.36 10.76 8.19 11.80 3.66 11.70 7.20 Num R b e e d r i s o c f o m un e t m ed b e b r i l b ls a nks on . Mar r . 31. .. 5 9 3 , . 4 9 2 1 4 48 4 . 1 8 8 0 55.16 56. 7 0 57 9 50 8 . 6 8 0 8 62 5 . 9 3 4 9 69 4 . 9 6 5 4 4 1, 7 ; .36 45 6 .1 2 8 2 74 8 . 2 4 2 4 7 1 3 , . 01 93 6 87 8 . 5 9 0 0 58 7 . 2 8 4 0 Number of member banks accommodated during month.___ —_ 3,045 199 401 295 203 200 175 134 188 Per cent accommodated. _— 32.3 47.6 45.4 51.9 34.3 47.6 41.0 35.3 32.2 10.5 17.2 15.8 26.0 Bills Bought in Open Market From member banks . 53,777 3,907 5,690 7,452 2,678 3,312 6,367 8,110 2,047 4,506 From nonmember banks, banking corporations, etc.: With resale agreement 137,364 19,136 100,903 5,586 11,739 All other 51,545 5,378 12,304 3,686 3,079 1,012 7,162i 2,447 2,476 3,211 2,348 5,153 Total bills bought. 242,686 34,413 108,099 17,994 11,138 5,757 4,324 19, U5J 5,557 4,405 6,091 21,398 Rates charged: ZYi per cent —— i 186,136 27,439 106,552 9,432 7,785 3,800 2,298 9,752 4,122 2,653 3,882 1,858 6,563 Z% per cent. 45,462 6,772 1,128 8,276 2,325 758 1,503 4,311 1,074 1,598 1,606 14,245 Z% per cent...... 9,022 191 1,015 1,119 91 4,271 324 138 581 412 3% percent..—--. ---.„_ 957 5 20 50 19 778 10 50 4 per cent------ - ;.« 890 180 13 30 413 37 16 12 128 4& per cent 26 26 4^ per cent... —— 20 20 4& per cent.. _ 107 107 4& per cent...- 66 66 Average rate (365-day basis), per cent... 3.61 3.58 3.51 3.64 3.64 3.67 3.68 3.70 3.64 3.64 3.65 3.69 3.65 Average maturity (in days)4 47.59 54.22 31.90 52.37 44.47 36.94 49.27 44.57 43.98 48.82 50.61 61.94 46. 27 Class of'bills: Bills payable in dollars4— Bankers' acceptances based on— Imports 43,862 7,849 2,225 8,203 3,939 1,858 705 6,200 Im 1,760 2,858 1,651 4,615 Exports -_.- 27,259 2,753 2,158 5,335 3,121 1,370 1,443 2,747 1,282 1,653 1,442 2,491 Domestic transactions 18,220 2,942 1,104 2,423 2,022 1,742 1,429 2,544 551 763 170 1,484 Dollar exchange 2,579 225 110 139 70 1,120 1,046 25 62 256 112 Shipment between or storage 200 of goods in foreign countries——. —_._„. 11,822 1,508 1,204 1,258 717 330 918 848 787 755 876 727 Allother _. 417 417 Trade acceptances, foreign 396 166 230 Bills payable in foreign currencies_ _. 767 Total. 105,322 15,277 7,196 17,994 11,138 5,757 4,324 13, 529 5,557 4,405 6,091 4,395 9,659 U. S. Securities Bought in Open Market United States bonds 32,042 215 12,967 210 790 304 1,735 4,031 1,479 533 1,042 5,972 1,864 Treasury notes 8 70,233 1,709 19,459 636 2,754 1,069 2,693 19,218 3,813 2,023 4,450 5,123 7,286 Certificates of indebtedness. 597,084 1,024 500,434 2,656 4,248 1,533 5,62041, 703 7,736 3,247 7,419 8,775 12,689 Total- 699,359 2,948 532,860 3,502 7,792 2,906 10,048 64,952 13,028 5,803 13,811 19,870 21,839 1 Includes Federal intermediate credit bank debentures as follows: Philadelphia, $1,575,000; Atlanta, $560,000. 2 Includes $1,000,000 discounted for the Federal Intermediate Credit Bank of Columbia, S. C. 3 Includes bills taken under a resale contract. * Exclusive of acceptances bought under a resale contract. 5 Exclusive of $38,000,000 Treasury notes sold under repurchase agreement and subsequently repurchased. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

364 FEDERAL RESERVE BULLETIN MAY, 192d REPORTING MEMBER BANKS IN LEADING CITIES PRINCIPAL RESOURCES AND LIABILITIES, BY WEEKS [In thousands of dollars] Federal reserve district Total Boston Y N o e r w k d P e h lp il h a i - a I C la le n v d e- m Ri o c n h d - Atlanta Chicago L S ou t. is Minne- K C an it s y as Mlas Fran S c a i n sco Number of reporting banks: Mar. 17 '- 712 100 33 69 66. Mar. 24 711 68 66 Mar 31..— 710 Apr. 7 — 709 Apr. 14 — 708 97 66 Loans and discounts ' Secured by XJ. S. Government obligations- Mar. 17. 163,962 10,694 54,695 11,461 20,691 4,748 8,110 22,060 13,083 2,509 3,641 3,156 9,114 Mar. 24_. 163, 326 11,225 54,831 10, 748 20,583 4,767 8,073 19,965 12,168 2,531 4,075 3,158 11,202 Mar. 31 164,338 11,795 56,310 12,127 21,086 5,207 8,029 18,472 11, 536 2,553 3,754 3,111 10,358 Apr. 7. 164,102 10,263 55, 641 11, 647 20,904 5,060 8,052 21,313 11,346 2,511 3,924 10,37a Apr. 14 161,354 10,208 54,257 11,364 20,243 5,116 7,f~ 20,543 11, 789 2,522 3,957 3,075 10,594 Secured by stocks and bonds- Mar. 17 5,334,348 328,957 2,295, 504405,298 517,358 142,921 102,282 804,537 198,441 65, 710113, 330 83,766 276, 244 Mar. 24... 5, 324, 069 322,327 2,325,811 390, 272 523,357 142,230 99,268 793,115 200,811 104,468 82, 764 274, 657 Mar. 31 - 5,403,269 327, 6732,375,253 533,025 142, 619 99,334 798,422 203,886 62,192 104,910 84,177 281,685 Apr. 7 5,349, 972 310,011 2,336,065 394, 675 539,009 138,435 104,905 794,233 202,429 62, 555101,863 84,798 280,994 Apr. 14 5,256, 418 317, 5772,216,347 530,813 136,943 106,857 816,319 202,118 63, 570102,770 77,889 278,612 All other loans and discounts- Mar. 17 — 8,446,204 651,157 2,665,612 368,350 762,416 367,973 418,947 1,247,225 318,056 180,395 323,092 232,503 910,478 Mar. 24 657,005 2,690,845 374,194 770,447 367,589 420,064 1,234,753 317,086 174,849 324,714 226,915 901,428 Mar. 31— 8,483,960 650,893 2, 706,368371,887 771,444 369,769 420,058 l246r" 315,501 174,251 323,045 225,791 908,045 Apr. 7 8,448,024 661,038 2, 661,679373,777 774,065 375,774 412,832 1,251,341 316, 616172, 753320,013 225,042 903,094 Apr. 14 — 8,479,341 662,865 2, 676,809381,959 773,158 377,800 408,976 1,249, 743316,131 171,874 320,187 231,344 908,495 Total loans and discounts— Mar. 17.. 13,944, 514 990,808 5,015,811 785,109 1,300,465 515, 642529,339 2,073,822529, 580248,614 440,063 319,425 1,195,836 Mar. 24 ...13,947,284 990,557 5,071,487 775,214 1,314,387 514, 586527,405 2,047,833 530,065 433, 257312,837 1,187,287 Mar. 31.. 14,051, 567 990,361 5,137, 931774,107 1,325, 555517, 595527,421 2,063,802530, 923 431, 709313,079 1,200,088 Apr. 7 13,962,098 981,312 5,053,385 780,099 1,333,978 519,269 525, 7892, 066, 887530,391 237,819 425,800 312,908 1,194,461 Apr. 14 13,897,113 990, 6504,947,413 799,926 1, 324,214 519, 859523, 5192,086, 605530,038 237,966 426,914 312,308 1,197,701 U. S. Government securities: Mar. 17. 2,698,248 182,008 1,036,640 121,699 296,790 77,911 58,274 334,807 66,817 72,382 113,268 61,154 276,498 Mar. 24. 2,583,438 167,228 977,952 121,690 287,886 71,941 58,219 313,533 66,766 72,924 115,670 58,316 271,313 Mar. 31. 2,480,163 152,610 964,123 114,622 284,518 70,789 57,056 272,649 59,768 73,569 112,045 56,856 261,558 Apr. 7 — 2,523,209 167,938 982,898 107,707 289,485 71,644 52,143 292,238 58,416 72,093 111, 876 260,076 Apr. 14 2,554,944 161,176 1,011,982 105,887 283,370 70,270 47,913 315,346 63,892 72,149 112,388 53,473 257,098 Other bonds, stocks, and securities: Mar. 17 3,001,031 208,532 1,172,421 250,882 347,311 60,392 52,681 444,569 109,393 42,937 78,053 210,954 Mar. 24 2,991,930 221,330 1,154,396 249,187 345,660 60,981 52,558 443,087 110,683 43,811 78,255 23,739 208,243 Mar. 31 3,014,540 221,342 1,161,369 248,015 344,679' 59,884 53,874 457,402 110,931 43,577 80,577 21,842 211,048 Apr. 7. - 3,007,245 225,791 1,164,105 246,846 344,273 60,958 53,754 451,505 105,404 42,528 82,011 22,432 207,638 Apr. 14 3,044,699 224,356 1,189,432 251,172 351,340 60,950 54,215 449,436 105, 621 42,960 80,836 23,514 210,867- Total investments: Mar. 17 —,-. 5,699,279 390,540 2, 209,061372,581 644,101 138,303 110,955 779,376 176,210 115,319 191,321 84,060 487,452 Mar. 24..... 5,575,368 ^ 388,5582,132,348 370,877 633,546 132,922 110,777 756, 620177,449 116,735 193,925 82,055 479,556 Mar. 31 _ ... . 5,494,703 373,952 2,125,492 362, 637 629,197 130, 673110,930 730,051 170, 699117,146 192,622 472,606 Apr. 7 5,530,454 393,729 2,147,003 354,553 633,758 132,602 105,897 743,743 163,820 114,621 193,887 79,127 467,714 Apr. 14 5,599,643 385,532 2, 201,414357,059 634,710 131,220 102,128 764,782 169,513 115,109 193,224 76,987 467,965 Total loans and investments: Mar. 17— 19,643,793 1,381,348 7,224,8721,157,690 1,944,566 653,945 640,294 2,853,198 705,790 363,93! 631,384 403,485 1,683,288 Mar. 24......„___. 19,522, 652 1,379,115 7,203,8351,146,091 1,947,933 647,508 638,182 2,804,453 707,514 359,104 627,182 394,892 1,666,843 Mar. 31.., 19,546,270 1,364,313 7,263,4231,136,744 1,954,752648,268 638,351 2,793,853 701, 622356,142 624,331 391,777 1,672,694 Apr. 7 19,492,552 1,375,041 7,200,3881,134,652 1,967,736 651,871 631,686 2,810,630 694,211 352,440 619,687 392,035 1,662,175 Apr. 14 19,496,756 1,376,182 7,148,827 1,156,9851,958,924 651,079 625, 6472,851,387 699,551 353,075 620,138 389,295 1,665,666 Reserve balances with Federal reserve bank: Mar. 17. 1,662,441 95,797 773,924 85,061 117,997 40, 643 45,079 243,561 47,861 24,590 52,165 29,431 106,332 Mar. 24 1,646,568 94,414 778,560 75,051 117,848 41,108 42,980 232,120 46,965 25,970 51,844 30,589 109,119 Mar. 31. 1,655, 265 92,744 803,381 79,180 118,296 39,014 37,436 223,63! 47,210 23,534 52,342 27,430 111, 066 Apr. 7__ 1,621,929 91,843 740,064 82,492 119,971 43,022 41, 696 240,124 48,491 25,398 55,013 29,799 104,016 Apr. 14.... 1,710,999 98,398 820,043 83,402 125,857 39, 638 43,011 232,209 44,844 25,652 54,732 29,848 113,365 Cash in vault: Mar. 17 271,497 20,193 76, 622 16,136 29,996 13, 389 10,665 47,705 7,507 5,488 12,375 10,180 21,241 Mar. 24 276,574 20,277 77,350 16,196 31,14^ 13,819 11,284 48,159 7,357 7,183 12,758 10,400 20,644 Mar. 31 272,422 19,888 77,020 16,873 29,009 13,898 11,276 47,222 7,712 5,936 10,468 20,797 Apr. 7 285,121 21,359 82,447 16,461 32,326 14,180 11,257 48,368 7,708 6,344 12,833 11,225 20,613 Apr. 14 285,488 20,941 79,993 16,750 30,674 13,898 12,169 50,677 8,359 6,569 12,915 10,764 21,779 Net demand deposits: Mar. 17 13,015,857 884,015 5,687,109 765,061 1,003,524 367,376 367,242 1,762,847 413,083 225,183 487,778 279,892 772,747 Mar. 24....... 12,742,668 870,023 5,589,955 748,504 983,956 365, 611354,993 1,685,965 411,339 225,393 480,164 275,459 751,306 Mar. 3k 12,901,244 864,802 5,742,642 755,811 1,005,285 365,609 349,777 1,678,325 404,715 219,010 481,928 272,408 760,932 Apr. 7 12,760,754 875,495 5, 563,786749,886 1,005,932 367,563 349,919 1,719,364 405,075 218,920 479,666 275,376 749,772 Apr. 14 12,897,703 896,915 5,572,518 782,385 1,003,043 365,94" 360,182 1,755,920 410,968 220,918 481,078 274,059 773,770 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAY, 1926 FEDERAL RESERVE BULLETIN 365 PRINCIPAL RESOURCES AND LIABILITIES, BY W EEKS—Continued [In thousands of dollars] Federal reserve district Total Boston Y N o e r w k d PP e h ll a ip i l h a i - a C ll e da lve n ve d e- m R r i m ch r - i A A tfllnaTn1t tfal L s o t u - is M ap i o n l n ig e- K C a i n ty sas Fra S n a c n isco Time deposits: Mar. 17.. 5,465,926 1,217,759 215,^34 769,777 206,426 217,249 1,040,245 219, 550111, 737149,017 99,824 820,169 Mar. 24_____.___-_. 5,485, 618 398,842 1,228,913 219,878 774,372 206,212 217,938 1,038,963 219,693 110,975 149,289 100,337 820,206 Mar. 31... 5,476,941 400,500 1,246,592 222,082 762,659 206,934 212,560 1,002,976 219,638 113,773 150,396 100,318 838,513 Apr.7_.._ __.. 5,516,174 400,479 1,249,873 223,898 787,053 209,428 218,483 1,021,112 216,839 110,252 147,552 99,788 831,417 Apr. 14 5,505,127 402,136 1,229,932 223,442 786,300 206,946 219,778 1,032,869 218,056 109,717 146,469 99,478 830,004 cvernment deposits: Mar. 17.... 376,903 75,588 45,505 46,137 13,791 18,825 34,238 12, 700 6,536 12,610 11,443 39,232 Mar. 24 294,090 47,452 58,306 35, 717 35,935 11,333 14,649 26,401 9,899 5,142 10,096 8,824 30,336 Mar. 31 .... 2.95,809 47,462 35, 718 35,997 11,313 14,649 26,402 9,922 6,784 10,096 8,824 30,336 Apr. 7.... - 293,427 47,452 57,676 35,718 36,006 11,397 14,456 26,402 9,922 5,142 10,096 8,824 30,336 Apr. 14 293,878 47,452 57,676 35,718 35,935 12, 076 14,453 26,302 9,867 5,141 10,096 Bills payable and rediscounts with Federal Reserve Bank: Secured by U. S. Government obligations— Mar. 17 174,880 3,611 59,620 11,826 17,425 5,606 11,841 26,875 5,953 3,950 5,407 565 22,201 Mar. 24. 253,188 2,615 90,849 21,216 31,150 5,214 14,398 37,148 5,953 l,JL50 7,432 1,545 34,518 Mar. 31... 214,496 4,387 78,058 11,255 31,517 5,802 12,812 34,944 6,290 1,440 3,054 765 24,172 Apr. 7 202,877 2,748 88,000 9,637 27, 703 3,576 9,071 28,335 5,011 1,640 4,784 1,015 21,357 Apr. 14.. _ 255,328 3,100 143,650 6,214 30, 934 4,136 7,285 19,520 7,223 1,583 4,250 665 26,768 All other- Mar. 17 118,145 2,946 17,868 9,555 11,218 15,371 19,060 7, 8,375 410 2,644 2,976 20,059 Mar. 24 165,625 21,663 26,157 10,485 17,226 11, 792 23,066 17,865 12,229 535 3,978 2,107 18,522 Mar. 31 205, 606 15,118 36,098 13,102 13,166 14,343 22,679 52,440 15,877 2,803 3,586 1,301 15,093 Apr. 7 .„. 170,482 12,560 37,692 9,617 12,681 12,325 24,037 28,326 9,973 1,254 6,233 1,362 14,422 Apr. 14.._..___ 132,179 11,481 17,400 8,142 12, 552 15,134 19, 974 23, 655 7,206 700 5,445 9,544 Total borrowings from i Federal reserve bank: Mar. 17 293,025 6,557 77,488 21,381 28,643 20,977 30,901 34, 538 14,328 8,051 3,541 42,260 Mar. 24 418,813 24,278 117,006 31,701 48,376 17,006 37,464 55,013 18,182 11,410 3,652 53,040 Mar. 31 420,102 19, 505 114,156 24,357 44,683 20,145 35,491 87,384 22,167 4,243 6,640 2,066 39,265 Apr. 7 373,459 15,308 125, 692 19,254 40,384 15, 901 33,108 56,761 14, 984 2,894 11,017 2,377 35,779 Apr. 14... 387,507 14, 581 161,050 14,356 43,486 19,270 27,259 43,175 14,429 2,283 9,695 1,611 36,312 REPORTING MEMBER BANKS IN 12 FEDERAL RESERVE BANK CITIES—BANKERS' BALANCES. [In thousands of dollars] Federal reserve bank city Total (12 cities) Boston STew York d P e h lp il h a i - a C la le n v d e- m Ri o c 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 a i n t s y as Dallas F c S r is a a c n n o - Due to banks: Mar. 17 2,284, 629 141, 798 1,101,661 192,007 46,349 34,535 20,583 386, 877 86,811 56,977 95,099 26,945 Mar. 24 2,149,886 126, 569 1,057,603 168,280 44,808 31,808 18,149 363,046 81,633 53,581 89,002 26, 597 8,810 Mar. 31 . 2,295,031 125,444 1,167,145 171,142 45,590 30,432 16,729 398,371 82, 245 52,267 88, 724 27,317 9,625 Apr. 7 2,242,190 136,781 1,078,815 176, 543 48, 376 33, Oil 17,977 405,408 85, 596 42,944 92, 561 29,701 94, 477 Apr. 14.._._. 2, 275,050 133,859 1,108,619 187, 582 49, 544 32, 696 17,193 396,112 83,712 50,176 91, 204 26, 903 97, 450 Due from banks* Mar. 17 590, 917 97,886 68,481 27,453 17,287 13,298 159, 544 29, 655 23,151 40,325 22, 522 52, 378 Mar. 24 547,240 85,814 65,423 30,431 15,468 12, 771 143, 911 28,070 17,221 37,836 21,153 50,811 Mar. 31 563,485 40, 636 103,084 73,318 24,354 16,238 * 13,417 136,521 26,988 20, 896 39,252 22,160 46, 621 Apr. 7 581, 529 45,114 104,748 70,505 28,431 15, 565 12,524 144.540 27,881 21,422 39,057 22, 901 48,841* Apr. 14 611,617 47, 550 109, 521 74,905 29,361 17,124 15,041 156,112 28,196 . 21,247 36,242 26,118 59,200 LOANS TO BROKERS AND DEALERS, SECURED BY STOCKS AND BONDS, MADE BY REPORTING MEMBER BANKS IN NEW YORK CITY [In thousands of dollars] Demand and time loans Demand loans Time loans I Total F a o cc r o o u w n n t o a f b c t o F o c a o w u n o u t k r n - n s o t f- a o c t F c h o o o e u f r r n s t Total a F c o c r o o u w nt n a o o b c f f - F a c t o n o o o u u k w r n s t n - t a o c t F c h o o o e f u r r n s t Total F ac o c r o o u w nt n a o o b c f f - F a c t o n o o o u k w u r n s t n - t a o c t F c h o o o e f u r r n s t 1926 Mar. 17 2,803,949 1,033,474 1,174,493 595,982 1,886,365 568,061 792,042 526,262 917,584 465,413 382,451 69,720 Mar. 24 2,690,199 1,026,539 1,098,252 565,408 1,798,781 571,317 734,063 493,401 891,418 455,222 364,189 72,007 Mar 31 2, 573,051 1,047,784 l,006>411 518,856 1,704,040 604,801 650,581 448,658 869,011 442,983 355,830 70,198 Apr 7 2,487,352 958,386 1,018,156 510,810 1,636,724 524,752 667,372 444, 600 850,628 433,634 350,784 66,210 Apr. 14. 2,451,339 876,765 1,051,878 522,696 1,613,156 438,096 713,937 461,123 337,941 61,573 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

366 FEDERAL RESERVE BUIiLETIN MAY, 1926 REPORTING MEMBER BANKS IN NEW YORK CITY AND CHICAGO—PRINCIPAL RESOURCES AND LIABILITIES, BY WEEKS [In thousands of dollars] New York City City of Chicago Mar. 17 Mar. 24 Mar. 31 Apr. 7 Apr. 14 Mar. 17 Mar. 24 Mar. 31 Apr. 7 Apr. 14 Number of reporting banks 60 60 60 60 59 46 46 46 46 46 Loans and discounts, gross: Secured by United States Government obligations.. 49,942 49,923 51,304 50,804 49,325 15,036 13,473 11,840 14,767 14,190 Secured by stocks and bonds. 2,016,670 2,040,938 2,099,750 2,054,696 1,938,780 599,001 586,774 592,948 588,197 607,537 All other loans and discounts - '. -_ 2,344,456 2,368,279 2,379,578 2,338,763 2,352,634 685,247 683,541 687,450 695,167 686,742 Total loans and discounts _ 4,411,068 4,459,140 4,530,632 4,444,263 4,340,739 1,299,284 1,283,788 1,292,238 1,298,131 1,308,469 U. S. Government securities 921,221 865,957 850,924 870,248 894,025 178,158 159,753 130,763 148,244 166,385 Other bonds, stocks, and securities 874,762 857,622 864,440 864,625 889,503 207,306 203,593 218,758. 213,679 214,515 Total investments 1,795,983 1,723,579 1,715,364 1,734,873 1,783,528 385,464 363,346 349,521 361,923 380,900 Total loans and investments 6,207,051 6,182,719 6,245,996 6,179,136 6,124,267 1,684,748 1,647,134 1,641,759 1,660,054 1,689,369 Reserve balances with Federal reserve bank 717,309 722,421 743,016 682,867 763,152 169,006 162,140 152,364 163,549 157,145 Cash in vault 62,048 62,728 62,203 66,417 64,854 20,816 21,063 20,937 21,144 22,497 Net demand deposits 5,122,825 5,030,129 5,150,463 4,999,087 5,001,492 1,140,757 1,103,771 1,090,346 1,130,666 1,151,851 Time deposits 812,293 . 818,467 835,248 836,291 814,093 516,724 513,424 480,485 495,874 503,096 Government deposits 67,456 52,067 52,067 52,067 52,067 14,823 11,361 11,362 11,362 11,352 Bills payable and rediscounts with Federal reserve bank: Secured by United States Government obligations.. 43,587 76,412 57,332 74,012 131,447 15,715 14,669 11,594 10,395 6,220 All other 14,761 21,815 30,985 32,684 12,600 741 5,413 32,964 10,896 10,039 Total borrowings from Federal reserve bank... 58,348 98,227 88,317 106,696 144,047 16,456 20,082 44,553 21,291 16,25$ ALL MEMBER BANKS—DEPOSITS, BY FEDERAL RESERVE DISTRICT AND SIZE OF CIT*Y [In thousands of dollars] Net demand deposits Time deposits Federal reserve district 1925 1926 1925 1925 1926 1925 Dec. 23 Jan. 27 Feb. 24 Mar. 24 Mar. 25 Dec. 23 Jan. 27 Feb. 24 Mar. 24 Mar. 25 Boston 1, 1,374,330 1,350,075 1, 337, 2191, 270,144 795,819 801,024 813,127 820,818 721,631 N Ph e i w la d Y e o lp rk h . i . a m 6 1 , , 4 1 9 8 6 3, ; 1 1 7 7 8 9 6 1 , , 4 1 5 9 5 0 , , 8 6 5 0 5 1 6 1 , , 3 1 7 7 1 0 , , 7 1 3 8 8 0 6 1 , , 3 1 7 6 0 9 , , 1 7 2 5 9 0 6 1 , , 1 1 0 2 9 7 , , 7 8 3 8 6 0 2,1 8 8 4 0 3 , , 9 8 3 3 9 6 2, 8 23 6 0 9 , , 3 0 7 8 2 4 2,2 8 5 7 1 6 , , 8 3 6 1 8 2 2,2 8 8 7 3 5 , , 9 9 9 4 1 5 2,0 7 6 8 3 3 , , 3 8 3 8 2 0 Cleveland 1,467,169 1,495,667 1,507,999 1,467,382 1,456, 781 1,326, 753 1,354, 620 1,364,418 1,379,613 1,299,175 Richmond _ 610, 641 613,437 620,320 605,734 569, 755 509,524 513,875 516,626 518,652 492,908 Atlanta 825,332 760,379 156,985 726,842 616,226 460,317 446,715 441,056 386,835 ^Chicago._.,___ 2,429,093 2,429,995 2,169,183 2,412,260 2,382,909 1,883,019 1,883,018 1,883,284 1,892,013 1,762,222 St. Louis.... 757,463 760,201 745,970 733,071 722,922 447,233 466,253 467,704 472,818 432,651 Minneapolis.... 466,046 452,173 457,021 452,286 475, 267 434,857 441,449 440, 772 439,126 441,252 Kansas City ... 870,557 862,059 862,546 842,218 872,756 306,105 314,084 320,650 319,296 305,752 Dallas _ 668, 749 659,813 654,003 637,392 662,862 163, 290 167,330 171, 024 169,159 163,780 San Francisco 1,335,362 1,311,604 1,294,977 1,259,406 1,235,913 1, 301, 7221,322,578 1,340,365 1,357,039 1, 240,735 Total 18,500,007 18,366,114 18,260,997 18,013,689 17,503,151 10,653,414 10,802,607 .10,892,865 10,969,526 10,094,153 Banks in cities and towns having a population of— Less than 5,000 _. 1,813,189 1, 720,826 1, 724, 3731,701,022 1,663,485 1, 750,155 1,761,695 1,774,543 1,781,595 1,684,816 5,000 to 14,999 1,160,017 1,158,992 1,157,660 1,140,139 1,086,008 1,113, 508 1,129,972 1,143,579 1,147,134 1,079,743 15,000 to 99,999 2,419,650 2,405,814 2,399,216 2,367,207 2,225, 264 2,136,370 2,169, 045 2,181,037 2,192,271 2,048,373 100,000 and over 13,107,151 13,080,482 12,979, 74812, 805,32112,528,394 5,653, 381 5, 741,895 5,793, 706 5,848,526 5,281,221 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAY, 1926 FEDERAL RESERVE BULLETIN 367 STATE BANK AND TRUST COMPANY MEMBERS—EARNINGS AND DIVIDENDS Gross earnings of State bank and trust expenses. Losses charged off amounted to company members totaled $394,70Q,000 for $34,200,000, of which $21,000,000 was on the six months ending December 31, 1925, loans and discounts and $7,700,000 on bonds, compared with $356,600,000 for the corre- securities, etc., while recoveries on assets sponding period of 1924, an increase of previously changed off totaled $12,200,000. $38,100,000. Of the total earnings, $312,- Net additions to profits amounted to $91,000,- 500,000, or aboutx 80 per cent, represented 000, or 13.1 per cent of capital and surplus, interest and discount on loans and invest- the average rate ranging from the maximum ments. Total expenses for the six-month of 16.8 per cent for banks in the New York period amounted to $281,700,000, an increase district to 3.7 per cent for banks in the Minneof $22,400,000 over the last six months of apolis district with a net loss shown for banks 1924. The principal increase in expenses in the Dallas district. Dividends paid aggreoccurred in salaries and wages and in interest gated $54,600,000, or 7.8 per cent of paid-in on deposits, which now constitute 27.4 per capital and surplus. cent and 47.3 per cent, respectively, of total ABSTRACT OF EARNINGS AND DIVIDENDS REPORTS FOR THE LAST SIX MONTHS OF 1925, BY FEDERAL RESERVE DISTRICTS [In thousands of dollars] Total, six months ending Dis- Dis- Dis- Dis- Dis- Dis- Dis- Dis- Dis- Dis- Dis- District trict trict trict trict trict trict trict trict trict trict trict No. 1 No. 2 No. 3 No. 4 No. 5 No. 6 No. 7 No. 8 No. 9 No. 10No. 11No. 12Dec. 31, June 30, Dec. 31, (38 (146 (82 (115 (56 (114 (346 (129 (85 (33 (127 (165 1925 1925 1924 banks)banks)banks)banks)banks)banks)banks)banks)banks)banks)banks)banks) (1,436 (1,466 (1,539 banks) banks) banks) Capital stock paid in 37,275250,309 44,252 85,815 18,978 30,501115,190 40,090 5,787 8,725 7,400 82,420 726,742 716,871 702,970 Surplus fund 40,926224,419 78,939106,904 13,604 19,221113,039 24,443 2,437 3,341 2,476 36,847 666,596 632,543 619,212 Total capital and surplus.... 78,201474,728123,191192,719 32,582 49,722228,229 64,533 8,224 12,066 9,876119,2671,393,3381,349,4141,322,182 Gross earnings: Interest and discount- _ 19, 024103,133 15,980 38,547 5,993 10,968 56, 527 13,884 2,294 3,189 1,876 41,057 312,472 287,771 279,485 Exchange and collection charges. _._ 59 542 30 91 64 507 631 513 62 25 116 250 2,890 2,629 2,801 Commissions 451 8,588 169 410 233 569 2,054 607 79 23 25 167 13,375 8,226 8,894 0 ther earnings 3,276 25,224 4,865 9,182 896 2,733 9,495 3,068 206 1,039 139 5,796 65,919 65,217 65,402 22,810137,487 21,044 48,230 7,186 14,777 68, 707 18, 072 2,641 4,276 2,156 47,270 394,656 363,843 356, 582 Expenses: Salaries and wages _- 4,014 25,701 3,906 8,765 1,563 2,750 13,864 3,573 577 915 669 10,898 77,195 71,790 72,424 Interest and discount on borrowed money. _ 193 1,444 288 688 301 454 503 779 16 32 80 628 5,406 3,376 2,783 Interest on deposits 9,452 43,218 5,986 18,056 2,163 3,898 24,058 5,208 985 1,343 316 18,568 133,251 127,424 124,088 Taxes. 1,188 6,051 1,089 2,245 490 1,011 3,499 1,286 116 • 244 131 1,964 19,314 16,452 *17,976 0 ther expenses 2,394 15,437 2,278 5,021 926 2,233 8,158 2,342 285 799 370 6,255 46,498 44,356 41,975 Total expenses 17,241 91, 851 13, 547 34, 775 5,443 10,346 50, 082 13,188 1,979 3,333 1,566 38,313 281,664 263,398 259,246 Net earnings since last report 5,569 45,636 7,497 13,455 1,743 4,431 18, 625 4,884 662 942 590 8,957 112,991 100,445 97,336 Recoveries on charged-off assets 1,056 4,955 1,110 495 246 395 1,589 408 85 95 61 1,754 12,249 6,435 7,623 Total net earnings and recoveries 6,625 50,591 8,607 13,950 1,989 4,826. 20, 214 5,292 747 1,037 651 10, 711 125,240 106,880 104,959 Losses charged off: On loans and discounts. 1, 509 6,378 248 1,830 732 2,041 3,093 1,436 503 348 435 2,498 21,051 15, 596 22,435 On bonds, securities, etc. . . 519 3,025 1,260 925 70 215 598 237 12 82 19 722 7, 684 3,751 5,917 Other losses ._ 304 1,223 187 824 123 462 618 245 78 67 245 1,098 5,474 3,274 6,220 Total losses charged off 2,332 10, 626 1,695 3,579 925 2,718 4,309 1,918 593 497 699 4,318 34,209 22,621 34,572 Net addition to profits..... 4,293 39,965 6,912 10,371 1,064 2,108 15,905 3,374 154 540 148 6,393 91,031 84,259 70,387 Dividends declared 21,957 3,969 6,086 1,067 1,863 7,945 2,028 173 513 257 6,171 54, 607 46,755 49,003 Ratio of dividends declared to capital stock (annual 2,578 basis), per cent 17.5 17.9 14.2 11.2 12.2 13.8 10.1 6.0 11.8 6.9 15.0 15.0 13.0 13.9 Ratio of dividends declared to capital and surplus 13.8 (annual basis), per cent.. 9.3 6.4 6. 3 6.5 7.5 7.0 6.3 4.2 8.5 5.2 10.3 7.8 6.9 7.4 Ratio of net profits to capital and surplus (annual 6.6 basis), per cent 16.8 11.2 10.8 6.5 8.5 13.9 10.5 3.7 9.0 10.7 13.1 12.5 10.6 11.0 1 Loss. 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368 FEDERAL EESERVE BULLETIN MAY, 1926 DEBITS TO INDIVIDUAL ACCOUNTS BY BANKS IN SELECTED CITIES MONTHLY SUMMARY FOR BANKS IN 141 CITIES [In thousands of dollars] Number 1926 1925 Federal reserve district of centers January February- March January February March No. 1—Boston 2,814,568 2,175,114 2,606,609 2, 685,491 2,157,347 2,279,817 No. 2—New York 31,406,762 25,533,666 33,8-54,813 28, 500,616 23, 574, 730 27,165,007 No. 3—Philadelphia.. 2,262,212 1,892,279 2,324,295 2,173,091 1, 780,071 2,105,710 No. 4—Cleveland 2, 708,317 2,157,107 2,472, 654 2, 511,678 2,048,430 2,284,925 No. 5—Richmond 723,140 799,954 767,253 675,206 739,378 No. 6—Atlanta _. 1,337,786 1,118,098 1,311,891 1,201,107 976,073 1,120,908 No. 7—Chicago 5, 849, 786 5,033,017 6,055,020 5,490, 747 4,479,475 5,451,905 No. 8—St. Louis. 1,342, 698 1,123, 586 1,259, 111 1,306, 725 1,074, 542 1,160,242 No, 9—Minneapolis.. 685, 686 599,145 694, 637 731,307 637,553 748, 603 No. 10—Kansas City.. 1,221,264 1,038,821 1,208, 936 1,211,359 1,024,111 1,169,701 No. 11—Dallas. 661,134 563, 647 612, 746 658,963 572,869 612,140 No. 12—San Francisco. 3,002,325 2,934, 783 3,268,963 2, 720, 698 2,495,365 Total ----- 141 54,118,534 44,892,403 56,439, 629 49,959,035 41,495,772 47,601,032 New York City 1 30, 537, 751 24,812, 705 33,005, 537 27, 681,894 22,924,386 26,382,213 Other cities 140 23, 580, 783 20,079, 698 23,434,092 22, 277,141 18,571,386 21,218,819 WEEKLY SUMMARY FOR BANKS IN 25£ CENTERS [In thousands of dollars] Num- 1926 | 1925 ber of Federal reserve district centers Mar. 24 Mar. 31 Apr. 7 Apr. 14 Apr. 21 Mar. 25 Apr. 1 Apr. 8 Apr. 15 Apr. 22 No. 1—Boston. _._ 16 583,446 629,094 750,310 599,378 688,126 540, 573 563,268 588,919 594,397 596,144 No. 2—New York 14 7,050,207 7,998,700 7, 530,372 6,347,353 7,012, 507 6,209, 215 6,386,042 5,835,060 5,144,836 6,275,210 No. 3—Philadelphia 18 569,860 570, 567 577,816 628, 638 569,433 522,162 532, 709 528,945 495, 083 550,485 No. 4—Cleveland 22 630, 677 670,948 721, 542 771,403 692,191 612,168 690,431 648,975 759, 506 652, 683 No. 5—Richmond 23 295, 502 294,471 330,189 313, 866 317,032 261,405 307, 735 309,837 299,162 296,234 No. 6—Atlanta 24 292, 677 283,034 347, 629 286,491 314, 585 255,284 270, 547 262,883 268, 566 273, 770 No. 7—Chicago.— 37 1, 372, 698 1,430,453 1, 383, 513 1,298, 315 1,438, 228 1, 282,041 1, 353,486 1,228,107 1, 226,184 1, 304, 521 No. 8—St. Louis 14 295, 533 298, 231 338,254 302, 506 313,133 270,126 277, 512 318,810 320, 063 297,167 No. 9—Minneapolis 17 167,100 162,596 177,192 177,198 176,342 168, 659 176,803 191,247 172, 726 177, 613 No. 10— Kansas City i____- 30 287,127 283, 307 316,258 295,805 303,129 278,814 299,146 299, 023 292, 886 283,672 No. 11—Dallas i 15 162,549 143, 977 161,133 149, 063 150,310 165, 604 152, 672 154,371 151, 884 139,953 No. 12—San Francisco 28 707,012 673, 502 746, 688 714,022 722,802 612, 398 608,174 627,353 652,146 640,421 Total.... 258 12,414,388 13,438,880 13, 380,896 11,884, 038 12, 697,818 11,178,447 U, 618, 525 10,993,530 10, 377,439 11,487,873 1 Figures revised to include those for Albuquerque, N. Mex., in the Kansas City district throughout instead of in the Dallas district as heretofore, because of the transfer effective April 15 of the counties of Bernalillo and Valencia, N. Mex., to the Kansas City district. BANK DEBITS FOR FEDERAL RESERVE BANK AND BRANCH CITIES [In thousands of dollars] No. 1—Boston 401,063 443,255 545,445 410,429 488,995 369, 527 378, 303 393,950 407, 253 406,95 No. 2—New York 6,732, 025 7,662,246 7,126,554 6,012, 377 6, 661,538 5,916,853 6, 026, 815 5, 512,715 4,846,987 5,941,520 Buffalo ._ 76,168 79,150 92. 353 84,275 83,087 67,867 81, 374 82,197 78,608 82,145 No. 3—-Philadelphia. __ 437, 757 429,726 422,252 484,928 426,469 401, 644 393, 849 387,672 365,324 418,080 No. 4—Cleveland 148,293 171,952 214,314 203,919 169, 023 127, 281 159,045 148,330 228,566 162,253 Cincinnati 77, 221 89,127 95,406 102,890 88,470 76,590 90,176 86,698. 97, 670 84,909 Pittsburgh 214,057 208,957 199,060 210, 334 220,470 225, 364 244, 736 212, 576 214,447 206,143 No. 5—Richmond 27, 335 28,670 33,123 29, 568 30,129 27,653 30, 294 28,394 26,389 28,319 B altimore ______ 91,280 93,437 106, 357 103,853 101,999 71,177 108,320 100,170 105,907 97,070 No. 6—Atlanta- 41, 049 37, 538 36, 202 38, 656 44,721 37, 314 35, 770 32,158 33,629 42,794 Birmingham-.. 32,110 32,070 38,180 30, 710 36,470 28, 256 30, 746 30,009 30, 632 31,171 Jacksonville 28, 784 28,219 28,408 27,241 28,956 18,072 18,694 , 19,903 19, 222 21,357 Nashville 19,903 20, 702 21,464 20,968« 19, 674 18,756 18, 674 19, 886 19, 698 18, 768 New Orleans. _. 74, 396 73,821 120,404 4 72,909 82,178 73,663 84,027 74,462 79, 091 73,826 No. 7-^-Chicago 811, 333 923, 268 847,073 767, 294 837,878 797,438 861, 216 761, 387 726, 210 Detroit. 235,865 200,805 195,441 202,916 259, 690 184,805 180, 700 152,179 186,816 218, 732 No. 8—St. Louis _ 166,000 178,800 198, 700 168, 300 178,523 150,100 161, 500 195,700 188, 200 171,900 Little Rock. __!_ 17, 690 15,667 17,202 17, 666 20, 093 13, 272 13,854 14,845 15,110 14,751 Louisville 44, 603 41,562 47, 635 46,119 45,120 41, 552 38,832 40,314 52,033 45,025 Memphis 33,895 29,677 35,919 33, 661 32, 591 30, 784 30,610 31, 715 31,088 31,547 No. 9—Minneapolis 80, 712 82,847 87,464 91,313 88,894 86, 247 90,468 104, 231 90,246 89,443 Helena 1,668 1,537 2,158 2,115 1,818 1,382 1,844 2,058 1,787 1,790 No. 10-r-Kansas City 79,443 71,013 83,757 75, 060 89,808 77,422 83,904 85,847 81,772 85,955 Denver. __ ._ 36,486 38,444 48,321 38,789 37,989 37,280 42, 204 43,521 37,793 40,374 Oklahoma City 19,241 20,109 22,052 20, 730 21, 631 19,331 19,213 18,861 18,804 21,725 Omaha 47,184 46,857 46,906 43, 729 46,098 46,210 42,676 45,363 43,958 37,233 No. 11—Dallas 50, 677 42,177 44,910 41,498 42,942 54, 716 42,969 45, 674 44,218 41,881 El Paso 7,507 7,614 7,531 7,755 6,731 6,978 7,357 7,154 7,325 6,681 Houston •__ 33, 233 29,279 34, 088 29,486 34,122 32, 558 29, 774 27,992 30,367 27,935 No. 12—San Francisco. _ 238,622 " 245, 445 255, 275 233,484 235, 730 206, 314 208, 083 202, 278 204,105 205,882 & Los Angeles 199,859 184,963 207, 525 199, 208 206, 287 172, 202 173,838 182,998 176,401 179, 362 Portland 37,189 38,278 43,447 41, 611 39,428 32,142 35,916 38,439 43,754 37,546 Salt Lake City. 14,418 15,054 17, 662 16, 263 16, 601 13,290 16,417 15,419 18,383 20,734 Seattle 52,184 43,786 48, 594 58,237 54,251 46, 289 40,218 40,138 57,741 45,701 12,265 10,302 12,352 14,934 13, 687 9, 712 9,921 10,797 14,092 12,370 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAY, 1926 FEDERAL RESERVE BUHLETIN 369 MEMBER BANKS AND NONMEMBER BANKS ON PAR LIST AND NOT ON PAR LIST NUMBER AT END OF MARCH, 1926 AND 1925 Nonmember banks Nonmember banks Member Member banks On par list Not on par banks On par list Not on par list i list i 1926 1925 1926 1925 1926 1925 1926 1925 1926 1925 1926 1925 Federal reserve district: Southern States—Contd. Boston 418 420 245 243 Kentucky 146 147 430 440 21 18 New York 883 854 398 381 Tennessee 117 117 212 259 239 214 Philadelphia 757 741 513 519 126 125 26 34 201 196 Cleveland - 860 870 1,073 1,077 10 10 Mississippi ____ 43 44 22 25 277 269 Richmond 594 610 702 729 676 709 Arkansas 117 124 246 269 121 87 Atlanta 495 505 359 387 1,103 1,100 Louisiana 45 46 31 41 175 170 Chicago 1,383 1,411 3,791 3,891 622 225 Texas 777 747 706 775 95 80 St. Louis 622 624 2,062 2,187 415 346 Middle Western States: Minneapolis 822 870 1,123 1,385 1,067 940 Ohio 438 447 658 661 Kansas City 1,017 1,056 2, 635 2,730 203 204 Indiana 262 267 821 830 10 8 Dallas... 850 825 758 829 181 164 Illinois—- 586 585 1,281 1,302 21 18 San Francisco 724 749 782 835 64 59 Michigan 289 289 516 520 93 90 185 187 610 640 192 167 Total 9,425 9,535 14,441 15,193 3,981 3,757 Minnesota 329 353 497 590 515 458 406 435 1,199 1,261 47 31 New England States: Missouri-. _ 199 191 1,289 1, 344 36 33 Maine 62 62 49 49 Western States: New Hampshire 55 55 14 14 North Dakota 159 165 175 261 287 241 Vermont. 46 46 39 39 South Dakota.. 123 126 201 263 164 155 Massachusetts 180 182 70 70 Nebraska 179 185 735 765 176 172 Rhode Island 20 21 8 8 Kansas _____ 265 263 996 1,025 3 4 Connecticut _ _ 66 65 84 81 Montana 110 120 102 105 12 10 Eastern States: Wyoming 34 34 53 58 9 11 New York. 638 628 278 274 Colorado 132 140 174 189 6 7 New Jersey 336 314 158 143 • New Mexico 33 35 28 33 3 3 Pennsylvania 959 947 657 661 Oklahoma 377 407 363 374 5 5 Delaware 23 22 32 35 Pacific States: Maryland 89 89 167 169 Washington 153 156 171 174' 33 31 District of Columbia- 13 14 32 33 Oregon 133 137 107 114 31 27 Southern States: California 292 297 315 358 1 Virginia- _ 188 194 223 232 104 96 Idaho . * 77 85 79 77 West Virginia 141 140 196 197 9 9 Utah 46 49 68 65 North Carolina. 90 95 87 99 332 340 Arizona 19 22 26 33 4 3 South Carolina _ 88 93 22 26 231 264 Nevada _ __ 10 10 24 23 GrPor_fia 149 164 74 75 369 380 Florida 75 69 90 80 160 159 Total..__ 9,425 9,535 14,441 15,193 3,981 3,757 i Incorporated banks other than mutual savings banks. MONEY IN CIRCULATION [Source: United 8tates Treasury Department circulation statements] [In thousands of dollars] Date Total co G in o a ld nd / V "l J r O _l_ IU *l f c ir e st r * * St s a i n lv d e a r rd c S e i r l t v if e i r - T n r o e t a e s s u o r f y Su a b r s y idi- U S n ta i t t e e s d F re e s d e e r r v a e l F re e s d e e r r v a e l Na b t a io nk nal t c i T i o r n o c u t p a l e l a- r bullion ftlifniACQaflo6CS dollars cates 1890 silver notes notes DanK notes capita (in notes dollars) 1914—July 3,402,015 611,545 1,026,149 70,300 478,602 2,428 159,966 337,845 715,180 34.35 1917—Apr. 4,100,591 641,794 1,348,818 70,863 459, 680 1,997 191,351 330. 353 356,448 3,170 .697,160 39.54 1920—Nov 5,628, 428 495,353 231,404 89, 725 60,385 1,628 261, 556 277, 736 3,310,225 209,877 715,023 52.36 1922—Aug. 4,337, 418 416,282 171,985 58, 378 268,802 1,508 229,956 284,343 2,115,350 65,032 725, 782 39.47 1924—Dec. 4,993, 570 437,971 933, 688 55,606 389,113 1,407 263,102 304, 418 1,862,055 8,471 737, 739 44.08 1925—Apr. -.„.. 4,776,167 469, 448 914,968 54, 666 371,229 1,396 257,559 285, 780 1,702,212 7,506 711,403 41.99 May 1 4, 725,191 453, 211 918,862 54,398 376,442 1,392 258,446 281,043 1,676,078 7,299 698,020 41.50 June 1 4,774,313 437, 612 972,438 53,908 380, 681 1,390 259,894 284, 799 1,679,833 7,109 696,649 41.89 July 1 4, 734, 236 428,102 1,003,285 54,294 379, 796 1,387 262, 607 279,943 1,636,192 6,921 681,709 41.49 Aug. 1.... 4, 719, 519 428, 248 1,014,311 54,165 388, 016 1,384 261,750 284,806 1,601,884 6,777 678,178 41.31 Sept. l-_. 4, 784, 025 416,348 1,036,243 54,173 396,700 1,381 264,450 298, 493 1,629,927 5,580 680,730 41.84 Oct. l-__- 4,827,005 413,973 1, 050, 057 54, 693 394,069 1; 379 267,768 303,597 1,670,658 6,460 664,351 42.17 Nov. 1.... 4,900,839 429,985 1,067,963 54,769 390,089 1,376 269,439 306,575 1,706,622 6,314 667,707 42.77 Dec. 1..,. 4,971,765 425, 853 1,108, 743 54,685 388,012 1, 375 272,217 305,986 1, 741,965 6,185 666,744 43.35 1926—Jan. 1.... 5,008,121 424, 037 1,114,331 54,860 387,495 1,373 274,860 292,998 1,815,687 6,058 636,422 43.62 Feb. 1 ... 4,739,537 407,148 1,035,774 53,167 370,852 1,371 266,155 288,677 1,672,223 5,900 638,270 41.24 Mar. 1... 4.814.217 422. 079 1,076,070 52,637 371,149 1,369 265,853 293, 622 1,672.027 5,808 653,603 41.84 Apr. 1_... 4,805,885 450,787 1,089,003 52,147 365,113 1,367 267,244 289,044 1,639,211 5,720 646,249 41.73 i The figures for the several classes of money include mutilated currency forwarded to the Treasury for redemption and unassorted currency held by the Federal reserve banks, and consequently do not add to the total which is exclusive of such currency. 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370 PEDBBAL RESERVE BULLETIN MAY, 1926 MONEY RATES PREVAILING IN FEDERAL RESERVE BANK AND BRANCH CITIES The following table shows the customary rates charged on loans and discounts in the various cities in which the Federal reserve banks and their branches are located, as reported by representative banks. These rates are not averages but are those rates at which the bulk of paper of each class is handled by reporting banks. Where it appears from the reports that no one rate clearly covers the bulk of the paper handled, a range of the rates most commonly charged is given. Rates prevailing during week ending with the 15th day of the month District and city Year and month C co u m st m om er e c r ia s' l p p r a i p m e e r Inter- s L ec o u a r n e s d Lo b o a o t n h n s e d r s s s e t c o u c r k e s d an b d y s L ec o u a r n e s d Cattle bank by by ware- loans 30-90 4-6 loans L b i o b n e d rt s y Demand Time re h c o e u i s p e ts days months DISTRICT 1 Boston.. 1925—April 4 -4H 43^-5 1926—February. 4K-5 4^-5 March... 4M-5 4^-5 4^-5 April 4^5 4^-5 4^5 DISTKICT 2 New York. 1925—April.... _ 4 -5 3H-4H 1926—February. 4i/ March. __ ^5 5 -5 April 5 -5M 5 -5K Buffalo.. 1925—April 5 -6 534-6 5 -6 5 -6 6 1926-February. 5 -6 5 -6 5 -6 6 March___ 5 -6 5 -6 5 -6 6 April..... 5 -6 5 -6 5 -6 DISTRICT 3 Philadelphia 1925—April..... 4 V 1926—February 5 5 March. __ 5 5 April 5 -6 DISTRICT 4 1925—April 5-6 1926—February 5 -6 5 -6 Cleveland ___.__. March... 5 -6 April_.._. 5 -6 1925—April 5 -6 5 -6 6 1926—February 6 6 -7 Cincinnati _ _ March. __ 6 6 -7 April 6 6 -7 1925—April. _.__ 5 -6 5 -6 5 -6 1926—February 6 Pittsburgh March ... 6 6 ApriL.,._ DISTRICT 5 Kichmond 1925—April 5 -6 5 -6 1926—-February March. _. 5 -6 5 514-6 April.._. 5H-6 5 5H-6 Baltimore 1925-April 1926-February_ 5 -5 March April...... DISTRICT 6 Atlanta. ______ 1925-April 5 -6 5 -6 5 -6 1926-February. 5 -6 5 -6 5 -6 March 5 -6 5 -8 4M-8 April _ 5 -6 5 -8 Birmingham 1925-April 5 -6 6 -7 1926-February_ 6 March 5 -6 April...— 5 -6 Jacksonville __.._. 1925-April 4 -7 5 -6 5 -8 5 -8 1926-February_ 4^ 5 -7 5 -7 March 5 -8 5 -8 April 6 -8 6 -8 Nashville 1925-April 5H-6 1926-February, 6 March 53J-6 April 534-6 5H-6 New Orleans, _ 1925-April 5 -6 5 -6 5 -6 1926-February_ 5 -6 5 -6 5 -6 March 5 -6 5 -6 5 -6 April 5 -6 5 -6 5 -6 DISTRICT^ Chicago --.. 1925-April 5 -6 1926-February_ 5 -6 March 5 5 -6 April -5 Detroit. 1925-April. 5 -6 5 -6 1926-February_ 4^-6 March 4^-6 5 6 5 -6 April 5 -6 5 -5; 5 -6 5 -6 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAY, 1926 FEDERAL RESERVE BUIiLETIN 371 MONEY RATES PREVAILING IN FEDERAL RESERVE BANK AND BRANCH CITIES—Continued Rates prevailing during week ending with the 15th day of the month District and city Year and month c C o u m st m om er e ci r a s l ' p p r a i p m e e r Inter- s L ec o u a r n e s d Lo o b a t o n h n e s d r s s s e t c o u c r k e s d an b d y s L ec o u a r n e s d Cattle 3 d 0 a - y 9 s 0 mo 4 n -6 ths l b o a a n n k s L b i o b b n e y d rt s y De mand Time b r y e h c o w e u i a s p r e t e s - loans DISTRICT 8 St. Louis •__.: ... 1925—April.-. 5 1926—February __ 5 -6 434-6 5 - ( A M p a r r i c l- h .. ----- 5 5 - - 6 6 5-6 5 - ( ( Little Rock. 1925—April .... 5 -6 5-6 6 -7 1926—February- 5 -6 6 -7 - 7 March 6 -7 April ... -7 6 -7 Louisville.. 1925—April..—.. - 5 6 1926—February __ .. _. 6 March.. April -— DISTRICT 9 Minneapolis __ 1925—April- 4K-5 A 1926—February. 4M-5 March 5 -5V2 April- _.-.. 5 -5K Helena- 1 1 9 9 2 2 5 6 — — A Fe p b ri r l u . ary- 5 6 - - 5 8 H March 6 -7 DISTRICT 10 April.-... 6 -7 8 6 -8 Kansas City- _. 1925—April 5 -6 5 -6 5 -6 6-7 1926—February __.-_..-- 5 -6 5 -6 5 -6 5 -6 5 -6 6 - 7 M!arch-«--_ 53^-6 5 -6 5 -6 5 -6 5 -6 53^-7 April--.—- 5^6 5 -6 5 -6 5 -6 5 -6 5K7 Denver 1925—April--.. 6 -7 5 -6 5 -6 5 -6 6 -8 6 -8 1926—February _ _ 6 S1/ 5^-6 6 -8 6-7 March 6 -63/ 5M-7 ApriU. 6 5M6 5K-6 Oklahoma City 1925—April....,- 6 -7 5 -6 6 -7 6 -7 1926—February 6 -7 6 6 -7 March —._ 6 -7 6 -7 April 6 -7 6 -7 7 -8 Omaha.. 1925—April ... 6 5 4 -6 6 7 1926—February _ 6 5 6 6 -7 March 5 -6 6 April 5 -6 6 6-7 DISTRICT 11 Dallas.... , 1925—April.... 5 -6 5 -6 5 -7 5 -8 5 -8 7-8 1926—February . 4 -6 4 -7 6 -7 6 -7 6 - 8 March 4 -6 4 -6 5 -6 6 -7 6 -10 April 5 -6 4 -6 6 El Paso 1925—April........ •_. 6 -8 8 1926—February 6 -8 6 -8 6 -8 March . ... 6 -7 6 -8 8 April .... 6 -7 6 -8 6 -8 7 -8 8 -9 Houston 1925—April.. 5 -6 6 5 -7 5 -7 5 -8 7-8 1926—February 5 -6 5 -6 5 -6 5 -6 5 -6 6 -8 March... 5 -6 5 -6 5 -6 5 -6 5 -6 6 -8 April....... ,_ 5 -6 5 -6 5 -6 5 -6 5 -6 DISTRICT112 San Francisco . 1925—April 5 -6 5-6 5 -6 1926—February. 5 -6 5 -6 March 5 5 -6 5 -6 5 -6 5 -6 April 5 -6 5 -6 5V2-6 6 6 Los Angeles 1925—April 6 -7 6 -7 6 -7 6 -7 - 7 1926—February. 6 -7 6 6 -7 6 -7 7 March 6 -7 6 -7 6 -7 6 -7 April.... __ 6 -7 6 -7 6 -7 6 -7 Portland 1925—April 6 -7 6 -7 7 6 - 6k 1926—February. -7 6 6 -7 6 - 6^i March 6 6 6 -7 6 April 6 6 6 -7 6 Salt Lake City... 1925—April-... _ 5 -6 6 -7 6 6 6 -7 7 7 -8 1926—February. 6 -7 6 6 -8 4 -7 6 -7 7 7 -8 March 6 -7 6 -8 7 7 6 -8 7-8 April 6 -7 5 -7 6 -8 6 -8 7-8 Seattle 1925—April 6 7 1926—February.. 5 -7 6 6 7 March.... 5 -7 6 6 7 April...... 6 6 7 ' Spokane... . 1925—April. 4 -6 6 -7 6 -7 6 -7 6 -8 6 -7 1926—February- 4H-6 6 -7 6 -7 6 -7 6 -7 6-7 March 4M-6 6 -7 7 6 -7 6 -7 April 4M-6 6 7 7 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

372 FEDERAL. RESERVE BULLETIN Y, 1926 GOLD AND SILVER EXPORTS AND IMPORTS EXPORTS FROM AND IMPORTS INTO THE UNITED STATES, DISTRIBUTED BY COUNTRIES March Three months ending March Country of origin or destination Exports Imports Exports Imports 1925 1926 . 1925 1926 1925 1926 1925 1926 GOLD All countries $25,104,416 $4, 224, 564 $7,337,322 $43, 412, 576 $149,230,067 $11,162,808 $15,977,649 $88,179,43a France 1,339,208 18,488 71,046 70,940 Germany. _ ___ 15,120, 000 348,404 45,130,336 889, 261 100 35a Netherlands - 4,318,343 Poland and Danzig.__ _ 1,103,948 Spain 40,000 19,343 80,000 21,387 27,60a Sweden... .. 35 1, 232,728 372 England 50,000 2,935,456 2,131 6,159, 602 3,064,777 9,70a Canada -_ 59,385 52, 659 2, 777,195 39, 278, 094 178,036 146,323 8,309,886 66,943,132 Central America 200,000 176, 209 144,913 1,214,491 399,935 464,755> Mexico _» • .. . 461, 289 727,860 513,154 531,242 1,201,481 1, 741, 075 1,424,874 1,355,840 West Indies 60,000 66, 565 45,442 18,604 151,000 120, 614 105, 651 49, 248 Argentina 5,050,000 51, 000 277 5, 260, 000 102,000 277 Brazil 22, 500 15,000 4,997 42, 500 105,000 4,997 Chile 84, 501 2, 503,153 123,082 12, 293,102 Colombia 144,044 143, 724 445,347 331,033 Ecuador 187,077 97,011 15,000 5,983 262,164 290,510 Peru 185,461 389, 693 975,458- Uruguay 802,290 Venezuela _ > 200,000 300,000 27,604 84,493 200,000 1,600,000 57,374 140,221 British India 62, 707 22,300 52,757,093 376, 810 British Malaya- 78,125 535, 039 13,950 178,625 1,852,788 13,950 China 250, 655 250,655 20,055 Dutch East Indies.— 30,000 189, 538 177, 774 80,000 290,220 472,872 501,40& Hongkong 1,112, 500 1,355,082 # 2, 594,105 2,147,335 Japan ___ 4,000,000 Philippine Islands 153,891 185, 508 444,222 546,861 Australia 2, 757,910 25,905,032 76, 504 8,051 New Zealand 33, 618 15, 721 33, 618 43,215 Egypt _.. _. 7,260 498, 240 8,891 2,857 Portuguese Africa 42,955 19,498 208,092 110,645« All other . 300,000 431 5,594 2,500 301,765 19,132 13,849> SILVER '' All countries 7,916,717 8, 333,081 6, 660, 750 5, 539, 071 26,142, 028 25,848,400 18,928,225 20,164,962; France 73,996 1,571 4,981 105,141 112,792 Germanv 1,218,005 119,884 1,236,000 420,981 974 4,137 Poland and Danzis Spain - 434 33,581 44,895 48,304 England 1,152,382 4,682 844 5, 302, 775 102,460 24,780 20,462 Canada 139,174 168,932 880, 597 377,785 359,989 475,745 2,049,961 1,075, 571 1, 550 290,183 116, 219 14, 215 2, 600 434,918 453,69& Mexico 245,561 40,205 3,766, 618 3,541,294 634,302 401,481 11,877,883 10,292,395 West Indies 5,795 8,865 13,952 12,152 33,840 21,220 48,153 28,843 Bolivia 9,216 8,522 10,988 10,939 Chile 192, 252 158,345 478, 291 531, 632 Colombia 1,464 9,478 3,370 1,464 22,421 27,086 Peru 39,965 1, 263, 244 1,132,061 475, 575 3,479, 051 7,174, 525 British India 4,597,701 3,268, 389 55,968 12,478, 698 12, 082,255 55,968 China .- 521,998 4,685,377 5,223,363 11,858,547 4,108 Dutch East Indies _ 71,303 80, 589 171,170 270,986- Hongkong 823,935 Portuguese Africa 14,274 28,162 39,411 44, 510 All other .. _ 34, 551 14, 553 44, 576 34,911 1, 091 •- 80,112 69,084 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MAY, 1926 FEDERAL RESERVE BULLETIN 373 FOREIGN EXCHANGE RATES fNoon buying rates for cable transfers in New York as published by Treasury. In cents per unit of foreign currency.] March, 1926 March,1925 April, 1926 Par Average Average Countries Monetary unit of exchange Low High Low High Per Per Low High Rate cent Rate cent of par of par Austria- Schilling ... 14.07 14. 0530 14. 0880 14. 0510 14.0750 14.0607 99.93 14.0470 14.0760 14.0583 99.92 Belgium Franc 19.30 3.3800 3. 8700 3.6900 4.5400 4.2341 21.94 5,0100 5.1500 5.0662 26.25 Bulgaria Lev 19.30 . 7208 - 7263 .7156 .7259 .7204 3.73 .7313 .7357 .7335 3.80 Czechoslovakia Crown 2. 9615 2. 9622 2.9616 2. 9621 2.9618 2. 9643 2. 9694 2.9665 Denmark Krone __ 26.80 26.1600 26.2000 25.9000 26.2600 26.1130 97.44 17.8500 18.3400 18.0692 67.42 Finland . Markka. 2.52 2. 5198, 2. 5220 2. 5211 2. 5223 2. 5216 100.06 2. 5200 2. 5239 2. 5214 13.06 France _ _____ Franc..-..-- __'_ 19.30 3. 2900 3. 5000 3,4300 3,7300 3,5804 18. 55 5,0500 5.3200 5.1807 26.84 Germany Reichsmark 23.82 23.8000 23.8100 23.8000 23.8100 23.8030 99.93 23.8000 23.8000 23.8000 99.92 Great Britain Pound 486. 65485 9300 486. 3800 485. 7300 486. 2700 486. 0825 99.88 476.2000 478.8600 477. 6250 98.15 Greece __ Drachma _ _ 19.30 1. 2367 1. 3278 1.3148 1. 4182 1.3744 7.12 1.4833 1.6321 1. 5484 8.02 Hungary Pengo... 17. 49 17.5400 17.6100 17. 5300 17. 5900 17.5552 100.37 Italy Lira __ _ 19.30 4.0200, 4.0200 4. 0000 4.0200 4.0156 20, 81 3. 9900 4.1400 4. 0719 21.10 Netherlands Florin 40.20 40 0900 40 2100 40.0200 40.1000 40. 0689 99.67 39.8300 39. 9900 39. 9212 99.31 Norway. . Krone _ _ 26. 80 21.4200; 21.9400 21.1200 21. 8300 21.4670 80.10 15.2300 15.8300 15.4346 57.59 Poland . - Zloty 19.30 10.3000 12 6000 12. 4100 13.1600 12. 6888 65.75 19.1800 19. 2000 19.1831 99.39 Portugal.. Escudo 108.05 5.1300 5.1500 5.1100 5.1600 5.1330 4.75 4.8900 4.9500 4.9296 4.56 Rumania Leu 19.30 3784 4159 . 4111 .4394 .4234 2.19 .4691 . 4979 . 4866 2.52 Spain.. Peseta 19.30 14.1100 14. 5000 14. 0800 14.1000 14.0933 73.02 14.1700 14. 2800 14.2219 73.69 Sweden Krona 26.80 28 7700 26 8200 26. 8000 26.8200 26.8125 100. 05 26. 9400 26. 9600 26. 9496 100. 56 Switzerland Franc 19. 30 19. 2800 19. 3300 19. 2400 19.2600 19. 2518 99.75 19.2200 19.2900 19. 2646 99.82 Yugoslavia Dinar 19.30 1. 7603 1. 7615 1. 7603 1. 7628 1.7611 9.12 1.5821 1.6191 1.6006 8.29 Canada Dollar 100.00 99. 7948100.1611 99.4111 99.8353 99. 6301 99.63 99.8343 99. 9081 99.8714 99.87 Cuba Peso 100.00 99 858199 9563 99.8875 100. 0188 99. 9542 99.95 99.8906 100. 0250 99.9504 99.95 Mexico. Peso 49.85 48. 5500 48. 7167 48. 4833 48. 6833 48. 5585 97.41 49. 3333 50.0333 49. 7439 99.79 Argentina Peso (gold) 96.48 89. 9600 92.1600 88. 0700 92. 5500 90. 3333 93.63 87. 3800 90. 6300 89. 7115 92.98 Brazil Milreis 32.44 13. 7300 14. 4300 14. 0800 14.7400 14.4893 44. 66 10. 6400 11.1700 11.0381 34.03 Chile Peso 12.17 12 0300 12 1800 12. 0300 12 1400 12. 0815 99.27 10. 7700 11.4200 11.0985 56.83 Uruguay Peso 103.42101. 6000103. 5200 101. 5500 103. 0800 102.1818 98. 80 94. 3400 96. 5900 95. 3146 92.16 China Mexican dollar M8 11 50 5500 53 4000 52. 2300 53. 9000 52. 8466 109.85 53. 2300 54.4000 53. 6488 111. 51 China Shanghai tael 1 66,85 69. 3500 72. 0500 72. 2900 73. 0400 72.7118 108. 77 72.8500 74.4400 73. 3612 109. 74 Hongkong Dollar.- i 47> 77 53. 4.800 55. 7100 55. 7300 57.5700 56. 3130 117. 88 53. 7700 54.8800 54. 2692 113. 61 India Rupee 48.66 35. 9700 36. 2800 36. 3000 36. 7300 36. 5756 75.17 35.4500 35. 7600 35. 6662 73.30 Japan Yen 49.85 45. 8800 47. 4300 44. 8200 45. 9400 45. 3915 91.06 39. 6000 41. 8000 40. 9669 82.18 S traits Settlements Singapore dollar. 56. 78 56. 4200 56. 6700 56.4600 56. 7500 56. 6256 99.73 54. 6700 55. 7500 55.1008 97.04 11913 average. SILVER [Average price per fine ounce] April March London (converted at average rate of exchange). $0.65009 $0.66340 New York____ .... .64760 . 66223 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

374 PEDEEAL BESEKVE BULLETIN MAY, 1926 DISCOUNT RATES OF FEDERAL RESERVE BANKS IN EFFECT MAY 1, 1926 Paper maturing— Within 90 days After 90 days but within 9 months Federal reserve bank Commercial, Secured by p a a a n g p d r e ic l r i u , v l n e t s u . t r e o a . c l k s , . U G o n o b i v t li e e g d r a n t S m io ta e n n t s e t s ac B c a e n p k ta e n r c s' es acc T ep ra ta d n e ces an A d g r l p i i c v a u p e l s e t t r u o r c a k l 1 Boston New York Philadelphia-. 4 4 4 4 Cleveland _._. 4 4 4 4 Eichmond 4 4 4 4 Atlanta 4 4 4 4 Chicago __. 4 4 4 4 St. Louis 4 4 4 4 Minneapolis. _ 4 4 4 4 Kansas City.. 4 4 4 4 Dallas 4 4 4 4 San Francisco 4 4 4 4 1 Including bankers' acceptances drawn for an agricultural purpose and secured by warehouse receipts, etc. Changes during month.—Discount rate at Federal Eeserve Bank of New York from 4 per cent to 33^ per cent on April 23. GOLD SETTLEMENT FUND INTERBANK TRANSACTIONS FROM MARCH, 18, 1926, TO APRIL 21, 1926, INCLUSIVE [In thousands of dollars] Changes in Transfers Transit clearing F n e o d t e e r a c l l e re a s ri e n r g ve o th w ro n u er g s h h ip tr a o n f s g fe o r l s d B in a l f a u n n c d e Federal reserve bank and settlements at close of period Debits Credits Debits Credits Debits Credits Decrease Increase Boston.. 36,000 1,094,107 1,137, 359 5,334 4,804 53,070 New York 149,000 3, 689, 422- 3,622,266 8, 233 13,490 87,101 206,754 Philadelphia. _. 30,000 952,235 984,187 6,063 024 913 45,344 Cleveland . 17, 000 1,000 846,810 859,654 7,605 ,898 6,863 53,315 Richmond.-__. 10,000 1, 000 748,902 742, 246 3,636 3,052 16,240 23,487 Atlanta 22,000 483,945 531,165 4,812 4,390 24, 798 22,145 Chicago 27,000 15, 000 1, 656,434 1, 644, 651 4,153 6,766 21,170 133,538 St. Louis 2,000 1,000 669,485 661,364 1,247 3,417 6,951 8,317 Minneapolis. _. 6, 000 213,747 202,970 2,074 1,328 17,523 14,424 Kansas City... 5,000 5,000 497,859 476,420 2,548 1,917 25,070 21,880 Dallas .„. 4,000 304, 781 300,265 1,643 1,734 8,425 11,890 San Francisco.. 10,000 410,477 405,657 3,208 2, 654 15, 374 23,715 Total five weeks ending- Apr. 21, 1926 .... 169, 000 169,000 11,568, 204 11, 568, 204 50, 556 50, 556 117, 616 117,616 617,879 Mar. 24, 1926 274,700 274,700 11,060,578 11,060,578 50,807 50, 807 713,203 Apr. 22, 1925 121, 700 121, 700 i 10,141, 085 i 10,141, 085 632,338 Mar. 25, 1925... ... 148, 300 148,300 1 10,497,817 i 10,497, 817 619,703 i Includes Federal reserve note clearing, Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

INDEX Acceptances: Germany—Continued. Page Banks granted authority to accept up to 100 per c n of capi- Financial statistics... __________ ___ 350 tal and surplus _.__ - 334 Foreign trade ______ 353 Held and purchased by Federal reserve banks _.- 362,363 Wholesale prices —__ 354 Market for __ — _ — 311 Gold imports and exports. _ 328,372 Agricultural credit banks, loans of _ _ _ _. 312,329 Gold settlement fund transactions ___ ___ 374 Agricultural movements, index of _ _ _ 336 Grain and flour __ .__ _ _ 314,337 A A g n r n i u c a u l l t r u e r p e, o r m ts o : nthly statistics.._. __._r 313 Grea F t i n B a r n i c ta ia in l : statistics _.__ 350 Bank of Poland... _____ _. 344 Foreign trade 353 Federal Farm Loan Board _ __._ 329 Gold imports and exports 329,372 German Keichsbank ____ 340 Retail food prices and cost of living.__ _ ___ 356 Automobile industry _ ___. 321 Wholesale prices 354 Bank debits . __ _. 368 Hearings on Strong bill for price stabilization ._ 308 Bank of Poland, annual report of_. ___ _. _ 344 Imports and expo ts: Bank suspensions __ __•___ - 326 Gold and silver.. .-__ - _ __-__ 328,372 Bankers' balances in Federal reserve bank cities.__ 365 Merchandise 327 Boundaries of Federal reserve districts 10 and 11, changes in 332 Interest rates prevailing in various centers _ __-. 370 Broke s, loans to. ___ 365 Iron and steel manu acturing. ___ 321 Buffalo branch bank building, act authorizing purchase of. __. 333 Law department: Building statistics __ _ __ _._ 322,337 Authority of Congress for purchase of Buffalo branch bank building ______ 333 Business and financial conditions: Changes in law regarding State taxation of national banks. __ 333 Abroad__________ ___ 340-356 Leather industry... 322 United States ..__ 309-326,335-339 Livestock industry. _. 316 Business failures. __. 325 Loans to brokers and dealers in securities.._ .... 365 Business indexes of the Federal Reserve Board ,_ _ 310 Lumber industry 322 Canada: Mail-order houses, retail trade of 339 Cost of living and retail food prices 356 Manufacturing: Financial statistics. ; _; 350 Condition, by industries ...._ 319 Foreign trade . 353 Index of production __ 336 Wholesale prices _______ 354 Maturity distribution of bills and certificates of indebtedness.... 361 Capital issues _ 311 Member banks: Chain stores, retail trade of _ __; 339 Condition of 364 Charters issued to national banks 334 Number discounting __ ____* 363 Coal and coke production _ ____ 318 Number in each district •_ :_...,__. 363 Commercial failures 325 State banks- Commodity movements.-__---__ ___ 337 Admitted to system ____ .... 333 Condition statements: Earnings and dividends 367 Federal reserve banks ._ 357 Mineral production, index of __ 336 Member banks in leading cities 364 Metals..._______ _____ __. 319 Cost of living in principal countries.- 356 Mining. _. 318 Cotton: Money in circulation . 369 Raw — -__ 315 Money rates •_. __ 311,370 Manufacturing...- _ ______ 320 National banks: Currency in circulation._____ 369 Change in law regarding taxation of 1 _ _ _ 333 Dairy products....- __ ____ 317 Charters issued to —- 334 Debits to individual account _ _ 368 Fiduciary powers granted to ___ 334 Debt funding agreements with France and Yugoslavia._ _ _ 331 Par list, number of banks on 369 Department-store business. ____• 339 Pay rolls in factories, index of. _ . 336 Deposits, time and demand, of member banks. 366 Petroleum industry _________ •:.. 318 Deposits, note circulation, and reserve of Federal reserve banks _ _ 357 Poland, Bank of, annual report of 344 Discount and open market operations of Federal reserve banks.__ 363 Prices: Dis ount rates; Food, in principal countries -___ <_____ 356 Central banks of issue 352 Security 312 Change in, Federal Reserve Bank of New York 308 Wholesale .____ 309,325,354 Federal reserve banks 374 Production in basic industries, index of 309,335 Prevailing in various centers . 370 Reichsbank, German, annual report of 340 Earning assets of F deral reserve banks _____ 362 Reserve ratio of Federal reserve banks 357 Earnings and dividends of State bank members :____»_______ 367 Resources and liabilities: Employment, United States. 325 Federal reserve banks 1 357 Index of_ __' 335 Member banks in leading cities ___ 364 Factory employment and pay rolls, index of— 336 Rulings of the Federal Reserve Board: Failures, commercial and bank _ _.__ _. 325 Change in boundaries of Federal reserve districts 10 and 11__, 332 F deral farm loan system, loans of, during 1925___ _ ___ 329 Retail food prices —— —— __._• 356 Federal reserve dis ricts 10 and 11, changes in boundaries of— 332 Retail trade_____ _-__-____ 324,339 Federal reserve note account _ _______ __ 361 Security prices 312 Fiduciary power!* granted to national banks _____ 334 Shoe industry 322 Financial statistics for principal foreign countries....--.- 350 Silver: Food manufacturing 319 Imports and exports. ... 372 Food prices in foreign countries.. ____ 356 Price of _ ___. 373 Foreign exchange.... 327,373 State banks: Foreign trade: Admitted to Federal reserve system.. 333 Principal foreign countries. 353 E arnings and dividends of member banks 367 United S F t i a r t s e t s q _ u _ a v_ rt _ e _ r of 19 _ 2 6___ ._ _ _ _ — _— . _-—__.- 327,330,3 3 5 3 3 0 T St a o x c a k t s i o a n t o d f e p n a a r ti t o m n e a n l t b s a t n o k r s e , s . c . h anges in law regarding .__ 3 3 3 3 3 9 France: Textile industry 320 Cost of living and retail food prices . 356 Time deposits of member banks 366 Debt funding agreement. _______ 331 Tobacco industry 315,337 Financial statistics._. ----- _ 350 Trade: Foreign trade _. ~— _ ~_ 353 Foreign.. _.„ 327,353 Wholesale prices.-...——-__-__- 354 Retail___ .— ___-_ 324,339 Fruits and vegetables ___ 316 Wholesale 309,324,338 Germany: Transportation. _ 323,337 Annual report of the Reichsbank_ 340 Wholesale prices____ 309,325,354 Cost of living and retail food prices ____ _ 356 Wool and woolen industry. ___. 320 I Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

FEDERAL RESERVE DISTRICTS r-4 IOWA CH1CA BOUNDARIES OF FEDERAL RESERVE DISTRICTS BOUNDARIES OF FEDERAL RESERVE BRANCH TERRITORIES FEDERAL RESERVE SANK CITIES # FEDERAL RESERVE BRANCH CITIES O FEDERAL RESERVE BANK AGENCY Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis