Federal Reserve Bulletin, 1943-01

FEDERAL RESERVE BULLETIN JANUARY 1943 ««***?»»* OF THE FEDERAL. RESERVE SYSTEM •WASHINGTON Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Review of 1942.—Transition to War Economy. . 1-6 Supply and Price Situation. . 7-12. Guaranteed War Loans 12. New Indexes of Factory Employment and Payrolls. . I3~I4 Annual Report of the Bank for International Settlements . I5~4I Current Events 42-~43 = National Summary of Business Conditions 44~45 Financial, Industrial, Commercial Statistics, U. S. (See p. 47 for list of tables) . 47~93 International Financial Statistics (See p. 95 for list of tables) 95-107 Board of Governors and Staff; Open Market Committee and Staff; Federal Advisory Council 108 Senior Officers of Federal Reserve Banks; Managing Directors of Branches. . 109 Map of Federal Reserve Districts no Federal Reserve Publications (see inside of back cover) Subscription Price of Bulletin The Federal Reserve BULLETIN is issued Monthly by the Board of Governors of the Federal Reserve System. It is sent to member banks without charge. The subscription price in the United States and its possessions, Canada, Chile, Colombia, Costa Rica, Cuba, Dominican Republic, Ecuador, Guatemala, Haiti, Republic of Honduras, Mexico, Newfoundland (including Labrador), Nicaragua,Panama,Paraguay,Peru, El Salvador, Uruguay, and Venezuela, is $2.00 per annum, or 20 cents per copy; elsewhere, $2.60 per annum or 25 cents per copy. Group subscriptions for 10 or more copies,in the United States, 15 cents per copy per month,or $1.50 for 12 months. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

FEDERAL RESERVE BULLETIN VOLUME January NUMBER I REVIEW OF 1942.—TRANSITION TO WAR ECONOMY In 1942. the economy of the United materials as well as for manufacture of States was in transition from a peacetime finished war products. Industrial producto a wartime basis. According to official tion as a whole, as is shown on the chart, announcements, the armed forces, which had been about 2. million men when the INDUSTRIAL PRODUCTION United States entered the war in December 220 1941, were expected to exceed 6 million at 200 200 the end of 1942.. During the year about a 180 180 million men were transported abroad in expeditionary forces; additional training fa- 160 J 160 cilities were provided for the armed forces 140 140 / in this country; and output of munitions V / 120 increased fourfold. Merchant ship con- I V c X struction was greatly increased, in an effort 100 \ / V not only to offset current shipping losses 80 but also to provide additional cargo space. 60 60 By the end of i^Ap- deliveries of completed 40 ships were at a rate of about ix million tons a year as compared with a rate of one 20 X FOR WAR million a year earlier, and a further increase O FOR CIVILIANS 0 was in prospect. Supplies of munitions and The figures on industrial production for war and civilian purposes are based primarily on estimates for individual industries and have other items made available during the year been tested by other calculations, but at best are only rough approximations. were sufficient to permit substantial in- All December 1942 figures are estimates. creases in lend-lease shipments. increased from 168 per cent of the 1935— 1939 average in December 1941 to an esti- CONVERSION OF INDUSTRY mated 194 in December 1942-, notwith- Much industrial equipment, including standing curtailment of production for a large part of that in the automobile in- civilian use. In an effort to conserve scarce dustry, was converted to war production materials for war production, considerable and many new plants were built and essential information was gathered and equipped. Furthermore, many additional systems of priorities improved and in some projects were being completed, providing instances replaced by direct allocation and additional capacity for production of scarce inventory control. JANUARY 1943 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

REVIEW OF THE MONTH In the conversion process many skilled creased sharply, and war expenditures exworkers were made available for war pro- panded without a corresponding rise in duction and many new workers, chiefly taxes and savings. Thus, the upward preswomen, were drawn into the labor force. sure on prices was greatly increased. In Toward the year-end action was being the early part of the year prices at retail as taken by the manpower authorities to pre- well as at wholesale advanced rapidly, with vent undue shifting of workers from one job some of the heavy buying at that time to another and to keep adequate numbers of representing purchases in advance of needs, trained workers in war industries and for protection against possible scarcities. certain essential civilian lines. To maintain orderly price conditions and thereby to promote the war effort, action MAINTENANCE OF CONSUMPTION was taken in May by the Office of Price Curtailment of output of certain goods for Administration to stabilize prices of most civilian use, particularly metal products, goods at the highest levels reached in was reflected to some extent in retail March. This action was taken under markets, but only slowly in most instances. authority of the Emergency Price Control Production of most consumer goods con- Act passed toward the end of January. tinued at a high level, and by the time out- Maximum rent ceilings were set up for an put was curtailed in selected lines, producers increasing number of localities as a part of and distributors generally had on hand the effort to stabilize the cost of living. large stocks of such items. Consequently, During the period from March to Septemexcept for a few products, notably automo- ber most retail prices showed little change, biles, tires, and petroleum products, con- but food prices, many of which were unsumer goods were freely available for pur- controlled at existing levels, continued to chase during most of the year; only at the advance, as shown on the chart. Wageyear-end were scarcities appearing in retail rate increases were also substantial in this markets for a substantial number of items, period. In October, at the request of the including various foods. Rationing pro- President, Congress passed an amendment grams were developed and adopted to en- to the Price Control Act providing for sure equitable distribution of a number of stabilization of prices of commodities prescarce essential commodities. A more de- viously not under control and for stabilizatailed statement on the supply and price tion of wage levels, both with certain qualisituation appears on pages 7-12. of this fications. The same amendment provided BULLETIN. authority for appointment of a Director of Economic Stabilization. In a tax measure PRICE CONTROLS adopted in October, the annual yield of On the financial as well as the physical Federal taxes was increased by about 7 side, the transition to a wartime basis was billion dollars, with the bulk of the inaccelerated in 194.x. Total war appropria- creased payments coming from individuals. tions and contract authorizations rose from In the calendar year 1941 net receipts 64 billion dollars at the end of November from Federal taxes totaled over 16 billion 1941 to 2.06 billion in June 1942. and Z38dollars. Meanwhile, individuals were savbillion in November 1942L. War orders in- ing an increasing proportion of their in- FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

REVIEW OF THE MONTH comes, chiefly by buying war bonds, paying WAGE CONTROLS off instalment and other debts, and accumu- Reflecting continued growth in demand lating currency and deposits. for labor and the transfer of workers to Supply conditions for some commodities the armed forces, there was a continued became more favorable than had been antiupward pressure on wage rates and salary cipated earlier in the year. Domestic prolevels. By order of the Director of Ecoduction of many farm products reached record levels, and imports of some materials, nomic Stabilization, responsibility for salnotably wool, were larger than had been ary level limitation was given to the expected. As a result of all the diverse Treasury and the War Labor Board, and the elements in the situation, including estab- jurisdiction of the War Labor Board was extended to all wage-scale changes for CONSUMER EXPENDITURES AND RETAIL PRICES workers not on farms, including changes mutually agreed upon by employees and employers. Acting under this wage control arrangement, the War Labor Board adopted a general policy of rejecting requests involving increases of more than the 15 per cent cost-of-living rise from January 1941 to May 1942-. A considerable number of increases continued to be allowed, however, for industries in which previous raises had amounted to less than 15 per cent; for industries where wages were at substandard levels; and for industries where, in view of special circum- Prices, food index of the Bureau of Labor Statistics and the Bureau's cost-of-living index with foods excluded converted to 1939 base. Expenditures, based on Department of Commerce seasonally adjusted stances, increases appeared essential to data computed on 1939 base; sales of retail food stores and eating and drinking places totaled and subtracted from estimated total con- promote the war effort. sumer expenditures providing an approximate breakdown of food and other expenditures. Latest rigures shown for prices are for November In manufacturing industries, average, 1942; October rigures shown for expenditures are preliminary. hourly earnings were about 90 cents in lished controls for most commodities, such October, reflecting in part overtime payprice increases as occurred were small in ments in war industries, where the work most markets after March. Food prices, week was typically 48 hours or more. In however, continued to advance, reflecting December 1941 the average had been 79 increases in prices of uncontrolled items cents. Thus, the rise in this period was and also in price ceilings of some con- 11 cents, part of which was due to an trolled foods. The cost of living at the increase in the proportion of workers emyear-end was about xo per cent higher than ployed in the war industries, where wage in the period of virtual stability from 1939 rates were relatively high and where the to early 1941, 5 per cent higher than in March 194.x and 2. per cent higher than in amount of work at overtime rates was September 1941. unusually large. JANUARY 1943 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

REVIEW OF THE MONTH FISCAL AND MONETARY DEVELOPMENTS System, in August, September, and October, by gradual steps from 2.6 to xo per cent. In fiscal affairs the period since Pearl Additional reserves were supplied to banks Harbor has been one of rapidly increasing through purchases of Government securiexpenditures, and of sharply increased ties by the Federal Reserve Banks. For the borrowing, with higher tax receipts offyear as a whole the System's holdings setting only in part the rise in outlays. showed an increase of 3.8 billion dollars. Expenditures for war purposes rose from about 2. billion dollars in December 1941 FURTHER TRANSITION IN 1943 to 6 billion in December 1942.. Further increases in expenditures, in tax receipts, While the transition of the economy from and in borrowing were in prospect. a peacetime to a wartime basis had gone a Bank purchases of United States Govern- long way by the end of 1942-, it was not ment securities continued in large volume. yet complete. In a great many ways the Nearly half of the increase in the public effects of war had only begun to be felt debt during 1942. was acquired by the and the country was facing another year banking system, including commercial of profound readjustment in 1943. banks and Federal Reserve Banks. As a On the physical side important shifts are consequence the proportion of commercial to be expected in the use of manpower, in banks' loans and investments that was the production and distribution of goods, in United States Government securities and in consumption. Under the program increased from about two-fifths to over announced by the President, the armed half during the year. Bank deposits rose forces are to be built up by an additional 4 accordingly, thus increasing required re- million men during 1943. Also, working serves and reducing excess reserves. An- forces in war industries will be expanded other drain on excess reserves came from an by perhaps 3 million. About half these accelerated increase of money in circulation, requirements will be met directly by drawwhich reflected chiefly the growth of pay- ing on students and women not ordinarily rolls, the rise in consumer expenditures and in the labor market, and the other half of retail prices, the removal of many persons the 7 million will be drawn from less esfrom their customary homes and bank sential jobs in industries producing or disconnections, and increased holdings of idle tributing goods for civilians or providing currency. services for civilians. The workers with- As a result of these developments, member drawn from civilian activities will be rebank reserves in excess of requirements de- placed in part by people not previously emclined sharply during the year. Most of ployed or seeking jobs; also there will be the decrease occurred at central reserve city unusual incentives to increase output per banks in New York and Chicago, where employee. Already before the end of 1942., Treasury receipts from taxes and security however, some civilian activities were sales exceeded Treasury expenditures. In being limited by manpower shortages and view of this situation, reserve requirements the prospect was for further reduction in on demand deposits at member banks in output of civilian goods on this account as central reserve cities were reduced by the well as on account of material shortages. Board of Governors of the Federal Reserve These curtailments and those that occurred FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

REVIEW OF THE MONTH in 1942-, together with declines in stocks otherwise, has probably passed its peak. from earlier high levels, will be reflected to Also, the large and expanding volume of an increasing extent in reductions in the bank deposits and currency is available for physical volume of retail sales. A growing increased spending. number of items will be unavailable for That total physical production for war purchase by consumers, at least in previous and civilian uses may continue to rise is quantities, and consumers' use of durable indicated partly by current large additions goods on hand will be curtailed somewhat to plant capacity, mainly for production of by shortages of gasoline, fuel oil, and the finished war products but to some extent like. A growing number of problems re- for production of materials now scarce. lating to equitable distribution of scarce War production will expand as additional essential goods will have to be faced. plant capacity, materials, .and labor are These physical readjustments, involving a made available from one source or another. general tightening of conditions in the Expansion in the production of munitions, civilian economy to meet the war program, as distinguished from other war production, will give rise to many problems of a price will be facilitated after a time by the taperand financial nature for the people generally ing off of the large program for industrial and for the regulatory authorities. Short- and military construction, which will make ages of workers and materials are likely to available more materials and workers for be widespread, in industry and on farms, munitions production. How far the exwith consequent pressure on the authorities pansion in war production as a whole may for price and wage advances. At the same be offset by declines elsewhere in the time, producers and distributors, faced with economy will depend to a considerable declining business volumes, may regard degree on the availability of workers not higher prices as essential to maintain earn- previously in the labor market, and on ings. output per worker, which will reflect a wide range of factors including the training Money incomes available for spending on and experience of employees, the hours of goods and services or for savings, that is, work, plant efficiency, and the over-all incomes after payment of taxes now in organization of production in the economy. effect, will be far in excess of those in 1942-, while the supply of goods on which to Production for war is largely in manuspend them will be much smaller. As a facturing and mining and consequently is result, there will be a strong upward pres- reflected in a constant rise in industrial sure on retail prices, unless means are activity. The Board's index of industrial found, through additional taxes and sav- production, which had already advanced ings, to channel more of the income into the from 116 per cent of the 193 5-193 9 average war effort. It is not unlikely that saving in May 1940 to 168 in December 1941 and —or nonspending—will be stimulated to 194 in December 1942., is almost certain to some extent by the absence of some types of rise further in 1943 by a substantial amount. goods. There was evidence of that in 1942., Agricultural production was also larger and there is likely to be more. On the in 1942. than ever before, as a result partly other hand, absorption of current income of planned increase but mainly because of into repayment of debt, on instalment or exceptionally favorable weather condi- JANUARY 1943 5 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

REVIEW OF THE MONTH tions. In transportation, demands on improved situation with regard to military available facilities will become even and industrial equipment, are of a different greater, since increases in military demands sort from the changes being made a year are likely to be offset only in part by reduc- ago when the aim, under different circumtions in the distribution of goods to retailers stances, was to expand output and equipand consumers or additions to transportament in almost every direction. But, tion facilities. By the end of 194.x distribuwhatever the exact war measures taken, it tors were already finding it increasingly appears that the present broad program is difficult to obtain goods to sell or to hire for a further transition to a war basis at a people to sell them, and declining activity rapid rate and that many of the problems of in the field of distribution seems indicated. i^4x in both physical and financial fields The exact nature and extent of the physwill be intensified in 1943. Experience alical and financial readjustments in 1943 will ready gained may be expected to assist in depend in part on what further changes are dealing with these problems and in making made in the war program as new conditions the maximum use of the nation's resources develop. Recently the program has been in a balanced and orderly fashion, so far as reshaped somewhat to place added emphasis that is possible in a war economy. Policies on requirements for such items as airplanes in relation to price stabilization will not and ships, and less emphasis on certain only promote full utilization of the nation's munitions and new construction. Such resources during the war but will also help changes, aimed to balance the program in the light of new developments and of an to facilitate postwar readjustment. FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

SUPPLY ANB PRICE SITUATION* By the end of 19^ national income payments goods, to other products, especially foods. to individuals were running at an annual rate In October, food purchases were about 2.5 not far from 115 billion dollars. This rep- per cent larger than a year ago and 65 per cent resented a rise of about one-fifth during the larger than in 1939, as shown on the chart on year, reflecting marked increases in production page 3. So far the actual consumption of foods and employment and also in prices and wage has continued to expand, but this is not exrates. During the past year, individual tax pected to be the case in 1943 when supplies availpayments increased and savings rose consider- able to civilians will be considerably reduced as ably; nevertheless, according to the best esti- compared with 1942. and may be about the same mates available, consumer expenditures contin- as the 1935-39 average. Rising incomes, which ued to increase. have increased the money available for food purchases, together with the difficulties of CONSUMER EXPENDITURES AND RETAIL PRICES expanding food supplies, have been important Partly as a result of rising consumer demand, factors contributing to the greater difficulty of retail prices showed a further sharp rise in the controlling food prices than prices of other early part of 194Z and a slower increase there- articles. after. The physical volume of consumer pur- In the autumn of 1941 and again in the spring chases of some finished goods, like foods and and summer of 1942., consumer purchases of clothing, were larger during 1942. than in 1941, commodities other than foods declined from but in general, the unit volume of goods pur- previous peak levels, and, as stocks accumulated, chased was probably lower, reflecting largely prices of these items were under less pressure. a sharp drop in purchases of new durable The recent rise in expenditures for these other goods. For some of these, like automobiles commodities and services, as shown by the and mechanical refrigerators, only limited chart on page 3, reflects to some extent sales sales for essential purposes have been permitted. of clothing and shoes out of unusually large In some other lines, like radios and electrical inventories accumulated by the middle of 1942.. appliances, purchases have continued in a fairly large volume out of the unusually large FOOD PRICES stocks built up in the early part of 1942.. Also, Retail prices of foods advanced 16 per cent sales of such important nondurable goods as during the iz months ending in the middle of gasoline and fuel oil are now substantially November and at that time were 31 per cent below a year ago and automobile tires have above the 1935-39 average. During this first been closely rationed since the beginning of year after the United States entry into war the year. prices of foods rose, as a group, at a rate al- Accompanying the curtailment in the volume most as fast as during the previous year, alof goods available for purchase this year, there though in I94X an increasing number of foods has been an increase in the volume of funds were made subject to retail price controls. withheld from consumption expenditures. For the most part, increases were much greater There has also been a diversion of expenditures in commodities not subject to maximum retail from goods to services and a considerable shift prices and most of the increases shown by from certain types of products, mostly durable individual items occurred before they were subject to direct control. About 60 per cent of * This material is supplementary to the Review of the Month, adding more detailed information concerning supply and price prob- the food budget was covered by the general lems in the transition to a wartime economy. JANUARY 1943 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

SUPPLY AND PRICE SITUATION order effective in May limiting retail prices to tory limits of Federal price controls. Another the highest levels charged in March. The next important factor contributing to the sharp adimportant extension of controls became effective vances in prices of these items has been the in October, after the amendment of the Price huge Federal purchases for military and lend- Control Act, when about 30 per cent more of lease purposes. There have been no restricthe food budget was covered by maximum retail tions on buying of fresh fruits and vegetables by prices. The major foods which remained un- processors to fill Federal specifications for canned controlled were fresh vegetables, apples, and and dried products. In 1943 canners have been fish. From October to November, prices of ordered to reserve about one-half of their uncontrolled items included in the Bureau of pack for the Government, as compared with a Labor Statistics' index showed an average third in 194.x. Also, lend-lease requirements for advance of 7 per cent, only a small part of pork, lard, and manufactured dairy products which was seasonal. have been exceptionally large. In order to reserve ample meat supplies for RETAIL FOOD PRICES Federal needs, restrictions have been placed on 1939" 100 j deliveries for civilian consumption. The first order issued on October 1 limited deliveries ^^ -j during the fourth quarter to the following per- LIVESTOCK PRODUCTS / -* , / centages of the same quarter last year—pork 75, beef 80, and lamb and mutton 95. In 100 ^ | ^ 1 100 November, beef quotas were cut further to 70 per cent, effective for the whole quarter. On 160 160 December 17, quotas for the first quarter of 1943 were announced with further reductions. FRUITS AND VEGETABLES- Plans are being developed for consumer AA FRESH ^ rationing of meats and cheese and canned, dried, and frozen fruits and vegetables in the early part of 1943. In the last quarter of 1942. individuals were asked to restrict their consumption of meat to i}/2 pounds per week, but actual practice has ^ been far from uniform as habits vary widely and IMPORTS x'/'-'r as supplies have not been evenly distributed in different areas of the country and within particular markets. It is expected that a formal allocation of the supplies to individuals may Federal Reserve grouping of Bureau of Labor Statistics' data shifted to 1939 base. Dairy products, eggs, meats, and lard included in the provide a more equitable distribution and ease livestock products group; beverages, sugar, and bananas in the imports group. The canned and dried fruits and vegetables group is a the pressure on prices of meats. new combination. Prices of fats and oils other than lard, included in the Bureau of Labor Statistics' index, are not shown in the above Wholesale and retail prices of milk were chart. Latest figures shown are for November 1942^ frozen in the spring of 1942. at March levels. Retail prices of livestock products, including Prices of butter and other manufactured dairy meats, poultry, and dairy products, and of fruits products directly related to milk prices showed and vegetables have risen more since last spring little change during the summer period of flush than prices of other foods, as is shown on the milk production but advanced in the autumn chart. Prices of these products have been prior to establishment of maximum levels for generally more difficult to control than most these products. In the meantime, prices paid other foods, owing to their peculiar supply to farmers were also increased substantially. problems, marketing methods, and the statu- In recent months, milk production has con- 8 FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

SUPPLY AND PRICE SITUATION tinued slightly higher than a year ago, notwith- 1943 FOOD PRODUCTION PROGRAM standing a shortage of labor on dairy farms, as A program for maintaining or exceeding this production efforts by operators have been inten- year's record domestic food output in 1943 was sified and as the number of cows has been announced in November by the Department of somewhat larger than a year ago. Demand Agriculture. Production in i94x was estimated from public and private sources has increased to be 10 per cent above 1941 and 10 per cent more, however, than the supply of milk. In larger than in 1939. According to the announceaddition, important geographical shifts in ment, it was then anticipated that about onepopulation and income have increased distri- fourth of the total production in 1943 would bution problems. Regional offices of the Office be required by our armed forces and our Allies. of Price Administration have been authorized Expanded production will be sought in the to increase milk prices in particular localities most essential foods, particularly for meats, where the effect of price disparities on available milk, eggs, poultry, dry beans and peas, potatoes supply is most acute. and vegetable oil crops. Reductions are planned Retail prices of imported foods—coffee, tea, in acreages of truck crops that require bananas, and sugar—are currently lower than extensive use of labor and transportation before the issuance of the general price order facilities in relation to their food value. Althis spring. The two leading imported foods, though stocks of feed grains are large, some coffee and sugar, have been rationed, and this expansion in grain acreages is planned to prohas tended to stabilize demand and prices. vide additional feedstuffs required to obtain Also, since last summer war risk insurance rates needed supplies of livestock products. The have been lowered and there has been other production program is to be accompanied by Government action, including provision of comprehensive price supports for most leading subsidies to stabilize transportation charges. crops and livestock products at around present Prior to May, retail prices of imports had market levels. shown a larger rise than prices of domestic Subsidy programs are in effect for loan wheat foods. sold to flour millers, vegetable oils and products, Prices of cereal products, in contrast to other cheese, and fluid milk in some markets. Any domestic foods and imports, have shown only reductions obtainable in marketing margins a small advance during the past year, as shown by rationalizing deliveries and making other in the chart. Also, except for an 8 per cent rise economies would lessen the need for subin 1941, owing chiefly to an increase in bread sidies or increases in retail prices. To keep the prices, the group has shown little change since need for such adjustments at a minimum it will X939- T° an important degree the stability of also be necessary to limit prices paid primary these prices has reflected the influence of ample producers to levels required to stimulate essential raw material supplies and of price controls; output. also, demand for such products has risen relatively little. Domestic wheat stocks are the CLOTHING SUPPLIES AND RETAIL PRICES largest on record and equivalent to two years' Retail prices of clothing have been fairly requirements. Early in October flour prices stable since last spring, in contrast to rising food were controlled, and in recent weeks buyers prices, as the result mainly of larger supplies have reported difficulty in securing adequate held by distributors and consumers and of more flour supplies because subsequent rises in wheat widespread Federal price controls. Usually prices have reduced milling margins. Also, expenditures and price developments in clothing wheat has not been freely offered for sale, products resemble those in foods more closely partly because large stocks are under Federal than those in other important groups of conloan or are owned by the Government with sumer goods and services. Military requirerestrictions governing their disposal. ments in the textile and leather industries have JANUARY 1943 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

SUPPLY AND PRICE SITUATION been relatively much less than in the durable been for war purposes. Manufacturing activity goods industries, but the war program has generally has advanced further since 1941, and resulted in increased employment and income imports of burlap and industrial fibers have generally, thereby stimulating civilian demand continued on a restricted basis, increasing infor clothing. In 1941 and 1942. unit sales of dustrial demands for domestic textile products. clothing averaged about one-fifth larger than Large war demands for nonapparel items like in 1939. parachutes, tires, and tents have been met Textile production, which had increased from in addition to the demands for a great volume 1939 to the middle of 1941 at about the same of uniforms, furnishings, and shoes for the rate as total industrial production, has shown armed forces. Moreover, lend-lease requirelittle change since that time. In the 1939-1941 ments for rayon yarn and cotton goods have period, the most important advance in textile also been important. activity was in cotton consumption, reflecting Output of civilian clothing, also shown on partly large industrial demand for heavier the chart, declined sharply this spring and fabrics and also large demand for cotton tex- early summer from the peak levels of 1941 and tiles to be used for apparel and house fur- early 1942., owing partly to an accumulation of nishings. Rayon and wool textile production stocks. Recently production has started to rise, also increased sharply. The rise in leather but it will now be more difficult for output to and shoe production was on a smaller scale reach the previous peak level, or a level which and, as shown on the accompanying chart, would meet consumers' demand at the current total activity in the textile and leather products rate. Requirements for textile raw materials industries was 35 per cent higher in the middle and plant facilities in 1943 for industrial and military uses will be much greater than they PRODUCTION OF TEXTILE AND LEATHER PRODUCTS were in 1941 and the number of workers in the PER CENT 1939» 100. SEASONALLY ADJUSTED PER 160 textile industry will probably be smaller. The extent of the diversion of output of textile and leather products from civilian clothing to 140 vv industrial and military uses is indicated in the chart. In connection with the chart, it TOTAL / should be noted that the total production series reflects manufacturing activity at all stages and \ 1' \ particularly the early stages of production, and J C C L I O V T IL H I I A N N G that clothing output occurs at various periods, 100 V. V £i averaging about two or three months, after the first stages of manufacture. For the most part Federal controls over the - output of clothing, including conservation and simplification measures, have been relatively limited. The leading exception has been the 60 1940 1942 sharp curtailment ordered this year in worsted Total, Federal Reserve indexes of textiles and products and leather civilian fabric production and in wool carpet md products combined, using value-added weights and converting to 939 base. . . production. If output of these products had been maintained at the high level reached in 1941, it would have reduced raw wool stocks of 1941 than in 1939. This high level has been considerably and would have been far in excess generally maintained since that time. of market requirements this year. Sales of An increasing proportion of the output has men's wear, particularly, have been consider- FEDERAL RESERVE BULLETIN 10 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

SUPPLY AND PRICE SITUATION ably reduced by the transfer of men into the by employment of some 2. million previously armed forces. In general, there was a marked unemployed and by an unusual expansion of the decline in clothing purchases in retail markets labor force. In civilian employment the year's during the second quarter of the year, as is shown increase is entirely accounted for by additional in the chart below. Inventories mounted to a employment of women. Available man-hours high level in the summer but, with production were also increased by lengthening the hours sharply curtailed, inventories held by dis- of work in practically all lines of activity, and tributors had been considerably reduced by in numerous lines the gains in output have been CLOTHING IN RETAIL STORES enhanced by improvement in efficiency. On the other hand, extensive employment of inexperienced workers, inadequate numbers of experienced supervisors, high rates of labor turnover, uneven flow of materials, and labor hoarding are factors which have tended to limit output per worker. Agricultural employment increased somewhat in spite of the transfer of large numbers of men to the armed forces and to higher paid jobs in war industries. Labor shortages caused no important crop losses this year but toward the end of the year the maintenance of production in some lines, notably dairying, became increasingly difficult. Among nonagricultural lines, manufacturing recorded the largest rise in employment, which was about 1.7 million persons or 12. per cent. There was also a large increase in the number working for the Federal Government and em- Monthly figures except for stocks, which are quarterly as of Janu- ployment in the transportation and public ary 31, April 30, July 31, and October 31. All series include apparel, shoes, and piece goods. utility industries increased somewhat. Mining Prices based on clothing group in Bureau of Labor Statistics costof-living index converted to 1939 base; monthly data prior to Sep- and trade had fewer employees at the end of tember 1940 estimated; sales derived from Department of Commerce data on retail sales of apparel stores and Federal Reserve data on 1942. than at the end of 1941, while construcsales in clothing departments of department stores; stocks based largely on department store data. Latest figures shown are for tion and the finance, service, and miscellaneous October 1942, sales data preliminary. group showed little change. the end of October. Making allowance for Large employment gains in manufacturing higher prices, stocks of clothing in departindustries have been heavily concentrated in ment stores were then at about the same level those industries producing directly for war as a year earlier. Stocks of some classes of purposes, particularly shipbuilding, aircraft, products, particularly women's dresses and machinery, chemicals, iron and steel, and nonhosiery, were lower, but men's clothing stocks ferrous metals. Some of the industries less were larger. essential to the prosecution of the war, such as SUPPLY AND UTILIZATION OF LABOR furniture, stone, clay, glass, textiles, and wear- In the first year of war, some 4 million men ing apparel, reported declines in employment were added to the armed forces and civilian over the year. In practically all manufacturing employment increased by 2-5 million or 5 per industries the proportion of workers employed cent. These calls on manpower have been met in war production increased considerably. JANUARY 1943 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

SUPPLY AND PRICE SITUATION The general manpower situation presents an civilian activities may be expected and output increasingly difficult national problem. Trans- per worker may be increased by one device or fers into the armed forces and into war industry another. The existence of difficult manpower are planned in about the same number as during problems in some industries and occupations 194Z. Meanwhile, sources of additional work- has been recognized in action taken by various ers are more limited; unemployment is almost manpower agencies, including the Selective at a minimum; the number of persons employed Service, with a view to maintaining a sufficient in less essential civilian pursuits has already supply of trained workers to meet essential been reduced somewhat; and most of the women requirements, particularly in war industries of the more employable ages, living in industrial and on farms. The problems in this field will areas and with relatively light home duties, unfold as the year goes on and the situation have already taken jobs. Many of the new will have to be reappraised as the facts with workers recruited will be able to take only regard to labor supply, efficiency, and the like part-time jobs. Some further curtailment in become more apparent. GUARANTEED WAR LOANS During December 319 applications for guarantees of loans amounting to 2.95 million dollars were authorized through the Federal Reserve Banks acting under Regulation V of the Board of Governors as fiscal agents for the War Department, Navy Department, and Maritime Commission. To November 30 a total of 2^3x7 loans aggregating ^,367 million dollars had been authorized for guarantee. Of the total number authorized irj per cent were for amounts up to $2.5,000 and 59 per cent for amounts up to $100,000. Figures on guaranteed loans through November are shown in the table on page 55. After consulting with representatives of the War Department, Navy Department, Maritime Commission, and the Federal Reserve Banks, the Board of Governors prescribed, effective December 30, 1942., fees to be charged financing institutions for guarantees of war production jOans, as follows: Percentage Guarantee fee of loan (Per cent guaranteed of loan rate1) 60% or less IO 65% 11.-1 / 2. 70% 15 75% I7-1/2. 80% 2.0 85% 2,1.-1/2. 90% (for loans of $150,000 or less) 2-5 90% (for loans over $150,000) 2.5-3O Over 90% 3O~5O 1 Maximum rate of interest that may be charged borrowers on loans guaranteed by War Department, Navy Department, and Maritime Commission is 5%. FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

NEW INDEXES OF FACTORY EMPLOYMENT AND PAYROLLS Indexes of factory employment and payrolls relative to 1939 resulted from the adjustment compiled by the Bureau of Labor Statistics have to Social Security data. The greater part, howbeen considerably revised. New indexes with- ever, resulted from introduction of more reout seasonal adjustment were published by that porting firms into the Bureau's current sample, Bureau in December 194.x. These indexes for and from recombination and reweighting of both employment and payrolls and new season- the data used. ally adjusted indexes for employment, compiled FACTORS EMPLOYMENT by the Board of Governors, are shown below by months for the period from January 1939 Number of wage earners Index (in thousands) (1939 = 100) through November 194Z. Separate indexes 1939 are given in all cases for the group of industries Average May 1942 May 1942 producing durable goods and for those producing Total nondurable goods. Old series. 7 888 10 866 137 8 Revised series . 8.192 11,754 143.5 For durable manufactures the new seasonal Durable goods Old series. 3,475 5 919 170.3 adjustments are final, being based on detailed Revised series... 3,611 6,398 177.2 Nondurable goods adjustments by industries; for the nondurable Old series 4,413 4,947 112.1 Revised series... 4,581 5,356 116.9 group the adjustment has been made on an overall basis for the group as a whole, and should In addition to the revisions in relative levels, be considered as tentative until adjustments the Bureau has made changes in its estimates of are computed for individual industries. Season- aggregate employment of wage earners in manually adjusted indexes by groups and selected facturing industries. The new aggregates for industries will be published in the BULLETIN 1939 are about 300,000 workers, or 4 per cent at a later date. above the number of wage earners reported The indexes cover wage earners working in in the 1939 Census of Manufactures. These manufacturing establishments as defined by the revised estimates were derived by comparing 1939 Census of Manufactures and the Standard Social Security data for the first half of 1940, Industrial Classification and are expressed as a the earliest period for which satisfactory percentage of the 1939 average. The indexes data are available, with estimates for that for individual industries are computed on the period derived from 1939 Census figures and basis of monthly reports received by the Bureau current Bureau of Labor Statistics data and by of Labor Statistics and are adjusted to Census applying the percentage thus obtained to 1939 of Manufactures data for 1939. The figures for Census figures. Current estimates of aggremajor industry groups, for durables and non- gate employment of wage earners have been durables groups, and for total are adjusted by the raised nearly 600,000 as a result of the adjust- Bureau of Labor Statistics to agree with more ment to the Social Security data. comprehensive data provided by Social Security The seasonally adjusted index for durable records. Reports of employers to the Unem- manufactures here shown is based on examinaployment Compensation Agencies are the prin- tion of each of the 71 industry series included cipal source of information for these adjustments. in durable manufactures. In 1939, 48 of these As shown in the following table, the revised series, including nearly all the important ones, index in May 1^41. for all factory employment were adjusted for seasonal variation. was approximately 4 per cent higher relative Since 1939, employment on war work, which to 1939 than the old series. Some of the up- is non-seasonal in character in most instances, ward revision in the May 1942. employment has gained in importance continuously and at JANUARY 1943 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

NEW INDEXES OF FACTORY EMPLOYMENT AND PAYROLLS an accelerated rate. Through 1941 and to a In contrast to 48 industry series adjusted for lesser extent subsequently, seasonal fluctuations seasonality in 1939, only 13 series are adjusted caused by consumer habits of purchase continued currently. Three of these—jewelry, tin cans to exist. The effects of model changes in auto- and tinware, and stoves—are in the metals mobiles and refrigerators and other durable group, the remainder being stone, clay, and glass, goods and the effects of customary buying periods lumber, or furniture industries. Still fewer in the spring and fall continued to operate. series will show seasonal movements in 1943. Thus, the absolute numbers of workers affected Some seasonal movement will still exist, howby seasonal fluctuations in durable manu- ever, as the weather directly influences producfactures showed little diminution until 1942., tion and employment, as in the cases of lumber although the relative importance of these fluc- and cement, and also as it indirectly influences tuations decreased, as total durable employment production and employment through the growgrew. ing season, as for tin cans and tinware. FACTORY EMPLOYMENT AND PAYROLLS [1939 average = 100] Employment Payrolls Year and month Total Durable goods Nondurable goods Total Durable Nondurable goods goods Adjusted Unadjusted Adjusted Unadjusted Adjusted Unadjusted Unadjusted Unadjusted Unadjusted 1939 100 0 100.0 100.0 100.0 100 0 100.0 1940 107.5 115.5 101.3 114.5 125ll 104! 1 1941 130 3 151.3 113.7 165.3 199.3 132.0 1939—January 95.9 93.8 94.3 92.6 97.1 94.8 91.2 88.5 93.8 February 96.3 95.4 95.5 93.9 97.0 96.6 93.9 90.7 96.9 March 96.7 96.7 95.5 95.2 97.6 97.8 96.0 92.8 99.2 April 96.8 96.7 96.1 96.2 97.3 97.0 93.9 93.1 94.6 May 96.8 96.0 95.6 96.0 97.7 96.0 93.7 93.0 94.3 June 97.8 96.5 96.8 96.7 98.6 96.3 95.5 95.4 95.5 July 99.0 97.0 97.7 95.3 100.0 98.3 93.6 90.3 96.9 August 100.1 100.5 98.4 96.6 101.4 103.6 100.0 96.5 103.4 September 101.4 104.8 100.9 103.0 101.7 106.3 104.2 103.4 105.1 October 104.9 108.1 106.7 109.8 103.5 106.7 112.7 116.8 108.7 November 106.6 107.7 109.4 111.7 104.3 104.5 112.0 118.0 106.1 December 107.0 107.0 112.2 113.0 102.9 102.2 113.4 121.5 105.4 1940—January 105.9 104.0 111.3 110.1 101.7 99.2 107.4 114.3 100.6 February 104.8 104.2 109.9 109.2 100.9 100.3 107.2 112.9 101.7 March 103.6 103.8 108.9 109.2 99.2 99.5 107.9 114.1 101.9 102.4 102.6 108.4 108.9 97.8 97.7 105.8 113.9 98.0 May 102.8 102.1 109.1 109.5 97.8 96.2 105.8 97.3 June'*. 103.7 102.5 110.2 110.3 98.5 96.4 107.6 117^6 97.7 July 105.2 103.1 112.0 109.3 99.8 98.2 106.6 113.5 99.9 August 108.1 107.8 116.7 113.7 101.4 103.2 115.1 123.8 106.6 September 109.7 112.2 119.3 120.3 102.2 105.9 122.1 133.8 110.7 October 112.0 114.8 123.0 125.3 103.4 106.5 126.9 143.5 110.7 November 114.6 116.0 127.2 129.0 104.8 105.8 127.5 146.1 109.3 December 116.8 117.4 130.2 131.5 106.3 106.3 134.1 153.8 114.8 1941—January 118.5 116.5 133.4 132.3 106.7 104.1 132.1 154.6 110.1 February 120.5 119.3 136.3 135.6 108.0 106.4 139.5 163.7 115.7 March 122.2 121.6 138.8 138.8 109.1 108.0 144.7 170.3 119.6 April 125.1 124.6 143.2 143.6 110.8 109.7 148.8 177.1 121.2 May 127.9 127.1 147.5 147.8 112.4 110.7 159.4 193.0 126.5 June 131.1 130.2 152.1 152.2 114.5 112.8 168.2 205.6 131.7 July 133.9 133.3 156.9 155.5 115.7 115.7 169.4 204.4 135.1 August 135.6 136.2 159.1 156.8 117.0 119.9 176.1 210.9 142.0 September 136.4 138.9 160.7 161.1 117.3 121.4 182.0 218.7 146.1 October 136.9 139.0 161.6 163.3 117.5 119.8 186.8 228.9 145.6 November 137.0 138.4 162.4 164.2 117.0 118.1 185.0 228.0 143.0 December 138.1 138.3 164.2 164.5 117.6 117.6 191.0. 236.0 147.1 1942—January 138.8 136.6 165.6 164.2 117.7 114.8 195.9 248.6 144.4 February 140.2 138.7 168.2 167.2 118.1 116.3 202.9 257.9 149.1 March 141.6 140.6 ' 171 2 170.5 118.2 117.0 209.2 267.3 152.3 April 143.0 142.2 174.1 173.8 118.4 117.3 214.8 277.2 153.7 May 144.5 143.5 177.3 177.2 118.7 116.9 221.2 288.2 155.7 June 146.1 145.1 181.4 181.5 118.3 116.5 226.5 299.1 155.4 July 148.5 148.5 186.1 186.1 118.8 118.8 234.3 310.3 160.0 August 150.1 152.1 190.4 191.1 118.4 121.3 245.8 327.3 166.1 September 151.7 154.5 193.3 194.2 119.0 123.2 252.5 337.2 169.6 October 153.5 155.3 197.0 198.1 119.2 121.5 260.9 350.2 173.6 November P155.6 2>156.6 ^200.8 p201.5 p120.0 ^121.2 ^270.8 p367.5 p176.2 December v Preliminary. FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS The Twelfth Annual Report of the Bank for Inter- number of ways Qnter alia the 14 per cent depreciation of sterling in August-September 1939 national Settlements, covering the year ending March had that effect). But, under the strain of the 31, 1942, was presented by Mr. Thomas H. McKitwar effort and with the growing scarcity of trick, President of the Bank, at its annual general goods, the imperative necessity of augmenting meeting at Basle on June 8, 1942. Selections from domestic resources by the greatest possible surthe Report, with a minimum of textual changes, are plus of imports soon became evident. Germany was able to use her stronger commercial and given herewith. military position on the continent of Europe while the United Kingdom mobilised foreign INTRODUCTION resources and, in addition, obtained lend-lease The present conflict has indeed become a world assistance from the spring of 1941; the two conflagration: by the end of 1941 countries havcountries were thus in a position to exchange ing no less than 90 per cent of the entire populatheir initial export drive for a policy of exporttion of the world were actually involved in war, ing only the minimum needed to satisfy the the population of neutral and nonbelligerent essential requirements of the countries with countries making up the remainder in the prowhich trade was still maintained. portion of 6 per cent in Latin America and 4 In other countries there has been a similar per cent in isolated countries scattered over shift in emphasis from stimulation of exports to other parts of the world. The wide compass increased attention to imports. This change is which the war has thus taken has naturally had characterised by such measures as abolition of a profound influence on all economic life: import prohibitions, suspension or reduction of through the interruption in commerical and customs duties, a freer allocation of exchange financial relations, the world has been divided for imports of vital commodities, appreciation into a series of separate trade areas; and, through of currencies, etc. while, in commercial negotiathe tremendous diversion of resources in men, tions, it has become increasingly the primary materials and machinery from civilian to miliobjective of each party to cover at least the tary ends, the ordinary mechanism of economic minimum requirements of the most-needed supactivity has been transformed with a speed plies. But imports for one country are exports and to an extent never before known. tor another and, in so far as imports are not Mindful of the lessons of the last war, the counterbalanced by visible or invisible exports, belligerent countries have not pursued a policy arrangements must be made for credits or other of "business as usual". From the very beginforms of assistance. Between nations on the ning they instituted a measure of control simisame side in the war, steps have been taken to lar to that which developed only gradually durensure that financial considerations do not limit ing the years 1914-18. This does not mean, the flow of war materials and other important however, that there have been no changes in commodities (arrangements between Germany economic policy. Germany and the United Kingand Italy, Germany and Finland, lend-lease dom, during the first stages of the war, were assistance, the gift of 1 billion dollars by both intent on furthering their exports in order Canada to the United Kingdom, etc.). Neutral to pay for essential imports. Germany for countries have used the granting of credits as some time retained her system of export subsidies a means of bargaining to obtain indispensable and the United Kingdom favoured exports in a supplies and transport facilities. Fears that an inflow of goods would cause unemployment or NOTE.—The excerpts republished herewith represent about onefifth of the text of the Report. The Introduction and the Conclusion hamper the growth of home industries belong are quoted in full. The remaining chapters in the Report are entitled to the past; with the great wartime demand for as follows: II, Exchange rates, foreign trade, and commodity prices; III, Production and movements of gold; IV, International debtor- labour, the governments have even become less creditor relationships; V, Government finance, money and capital markets, and the stock exchanges; VI, Central banking developments; concerned with the need of safeguarding foreign VII, Current activities of the bank. Selected summary passages from markets in order to provide employment for all except Chapter VII are given on the following pages; certain tables and charts of special interest are shown on page 41. their export trades; and import control, where For earlier Reports, see BULLETIN for November 1941, October 1940, September 1939, etc. maintained, is primarily used to select, for the JANUARY 1943 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS limited transport possibilities available, the relating government expenditure to the national most important commodities among those income, each one appropriate for its own partiwhich can still be obtained. In general, ef- cular purpose; only in international comparisons forts are made to compensate for the loss of is it difficult indeed to be sure that the same foreign supplies by a diversified home produc- method has been applied to the different data tion. Thus in Latin American countries, cut used. This difficulty is increased when governoff from the continent of Europe and affected by ments receive contributions from abroad, since changes in the Pacific, industrialisation has been in such cases the methods of compilation usually vigorously pushed, but is retarded by the dif- vary considerably. The difficulties can not be ficulty of obtaining the necessary machinery. wholly overcome, but, even so, the proportions The connection between exchange control and between, for instance, government expenditure import policy as forced upon the Latin American and the amounts available for consumption are countries may be seen from the following quota- useful in throwing light on some of the main tion out of the annual report of the Banco Cen- problems of war economics (with allowance tral of the Argentine Republic for the year 1941: made for the amount of error involved in the "Thus it was that to a considerable extent the estimates). origin of our imports ceased to be determined According to a German estimate,1 the total by reasons of price, quality or the individual public expenditure (central and local) in Gerpreferences of the consumer and they were many amounted to 100 milliard Reichsmark forcibly diverted towards those countries with for the year 1941, with private consumption at which we had an exchange balance which had 70-75 milliard. Public and private spending to be used up. Such exchange could not any together thus reached 170-175 milliard Reichslonger be used freely to effect payments or pur- mark, corresponding to a net national income of chases in other countries but had to be utilised 110-115 milliard, an amount which, in the first in the country which had originated it by its place, has to be increased by 32.-35 milliard to purchases. The exchange permit, as well as account for transfers of income and for the being a means of restriction of imports, thus effect of indirect taxes on prices. To the net also became a selective instrument and, in the national income must also be added an amount light of experience, it can be affirmed that this of 15-17 milliard Reichsmark, representing consecond function was often more important than tributions from abroad to the German warthe original one". financing and to the supply of commodities for The rise in productive power, which began the German economy (including credits in with the industrial revolution over a century clearing), and a further amount of 5-10 milliard, ago, has enabled the modern state to devote an being the estimated value of drafts on accumuincreased proportion of the national output to lated domestic resources (domestic disinvestwar purposes before encroaching upon the mini- ment). mum needs of civilian consumption. Total For the United Kingdom, figures covering warfare, when brought to its logical conclusion, roughly the same categories of expenditure and requires the utmost mobilisation of economic drafts on extraordinary sources for the calendar strength both by direct intervention in the field year 1941 may be extracted from the White of production and by the impact through the Paper issued with the new budget in April 1942budget on the distribution of resources. The Total public expenditure (central and local) magnitude of present war efforts is reflected in amounted to 5,100 million pounds sterling and the overwhelming proportion—up to 80 per personal expenditure on consumption (at market cent in the main belligerent countries—of war prices) was given at 4,550 million. Eight hunexpenditure in relation to the total budget, and dred million pounds sterling were obtained as also in the high proportion of the national income drafts on capital from abroad (so-called "overnow taken by the state. seas disinvestment", excluding lend-lease), Estimates of national income are not easy to while "domestic disinvestment" was estimated form at a time of rising prices and of rapid at nearly 500 million. change in the pattern of economic life. On the Although the figures for these two countries other hand, much greater efforts have recently must not be strained for a detailed comparison, been made to obtain promptly as reliable data it is impossible not to be struck by the similarity as possible although not all the available inof the general proportions. In both, the total formation is published. Indexes of production, for example, are made public for only a limited number of countries. There are several ways of 1 In an article by Dr. G. Keiser on "National Income and War Financing", in "Bank-Archiv", February 15, 1942. 16 FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS public expenditure is higher than the amount mate, namely that every war year would give available for personal consumption; in both, rise to accumulated replacements costing 5 milthe extraordinary contributions from abroad liard Reichsmark, needed correction in that, covered about the same proportion of the public from a certain point, wear and tear increase expenditure; in Germany, domestic disinvest- geometrically. In all the belligerent countries ment is estimated at 5 to 10 per cent of the public there are no doubt important additions to plant expenditure and, in the United Kingdom, at and equipment in the armament sector, but such nearly 10 per cent. It may be added that, in additions are part of the specific war effort and the two countries, about one-half of the total do not as a rule permanently increase the volume public expenditure (central and local) requiring of productive resources; for that reason the fiscal domestic finance is covered by current revenue authorities normally permit a very rapid amor- (mostly taxation). The conclusion would seem tisation (in the United States within five years) to be that, under the conditions of total war of new investments in war industries. Depleobtaining in Germany and the United Kingdom, tion of merchandise stocks was an important the mobilisation of resources has been pushed feature in the first two years of the war but, well-nigh as far as is compatible with the limits with the prolongation of hostilities, the imset by the economic and social structure. For portance of this source is being rapidly reduced. other countries too, the same conclusion would Borrowing abroad and the utilisation of forhold good; but corresponding estimates of total eign assets (whatever effect such a mobilisation public and private spending from current income of resources may ultimately have) bring, of and drafts on capital are not usually available. course, valuable immediate aid. The United In Italy, total public expenditure can currently Kingdom drew heavily on its monetary reserves be estimated at 100 milliard lire with a net and easily realisable assets on the American marnational income calculated in Italy at 140 mil- ket and had practically exhausted its readily liard. The Japanese capital mobilisation for available foreign resources by the time that lendthe financial year 1942.-43 is based on an esti- lease assistance was granted by the United mate of the national income at 45 milliard yen, States early in 1941. of which the government plans to take X4 mil- In this war few foreign loans and credits have liard. When, in January 1942., the President been arranged with private lenders. As a rule of the United States submitted the budget to the governments themselves furnish the funds Congress for the financial year i94x~43, he direct from their Treasuries or through separate estimated that the war expenditure would ab- agencies; but sometimes they prefer to offer their sorb about 50 per cent of the current national exporters so-called export guarantees, covering income; total public expenditure—central and the exchange and credit risks up to a certain local—in the United States would thus attain percentage, or they attach such provisions to about the same proportion to available resources the clearings that exporters can confidently look as in other countries which became belligerent forward to payments within a certain time. at an earlier date. Indeed there appear to be The countries benefiting from the various credit certain necessities which, so to say, dominate arrangements will as a rule have no repayments the financial and economic problems created by to make while the war lasts. a total war. (ii) In the second place, it has been found im- (i) Total spending of the government and for possible to meet wholly by current revenue', the treprivate consumption is not kept within the mendously swollen military expenditure of countries limits of the current national income but drafts engaged in total warfare. To provide for as much are unhesitatingly made on capital wealth. That as one-half of the total state expenditure by curthis should be the case is, in a way, self-evident rent revenue already demands a very great efif maximum effort is to be attained, all the re- fort. This time taxation has been increased sources that can be made available must be much more resolutely than in the last war, brought into play. At home, drafts on capital when during the earlier stages there was a are effected by postponement of replacement, distinct reluctance to impose new taxes, the maintenance and even repairs, or by depletion idea apparently prevailing that the war must of merchandise stocks. After the war all this be made popular at all costs. In the years must naturally be made good. It has been 1914-18 the United Kingdom covered about 2.0 pointed out2 for Germany that the lowest esti- per cent of the total government expenditure by taxation, and Germany only 13 per cent. In 2 In a speech by Dr. Liier, head of the Wirtschaftskammer Hessen, the present war, income tax, together with surreported in the Frankfurter Zeitung, October 22, 1941. JANUARY 1943 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS ' tax and excess profits duties, has been made the number of countries, turnover taxes (usually at mainstay of the revenue side of the budget; these an effective rate of at least 5 per cent of the retail taxes have been raised to heights never known prices) have been introduced, providing, inter before, with the double aim of procuring income alia, a compensation for the sharp drop in cusfor the state and of preventing private enrich- toms receipts caused by the shrinkage in interment in the midst of a public calamity. There national trade. The actual yields of turnover is, however, a dilemma involved in the imposi- taxes, which, of course, bring in increased tion of very high rates, since at a certain point revenue as commodity prices rise, have regularly these rates may too radically eliminate the exceeded expectations. In wartime, governmoney motive and thus weaken one incentive ments are hardly in a position to choose between to increased effort and more economical pro- different methods of raising revenue; the duction. amounts needed are so tremendous that all Another difficulty arises from the fact that the sources must be tapped. From the point of increase in the income structure during a war view of fiscal justice, it is not sufficient to exemergency is very largely among the lower in- amine the incidence of individual taxes but the come groups, which can be less easily subjected combined effect of all the tax changes must be to heavier direct taxes. Under the influence of taken into account, increased indirect taxation growing armament expenditure, national in- being counterbalanced by the heavy direct come in the United States rose from 77.1 mil- taxes which, from the beginning of the war, liard dollars in 1940 to 94.5 milliard in 1941 have been imposed on higher incomes. (approximately one-third of the rise being due (iii) In the third place, the part of governto higher prices). Of the increase amounting ment expenditure not met by current revenue to 17.4 milliard dollars, not less than 12.. 1 mil- has become so great that -peacetime rates of volunliard or 70 per cent represented income gained tary saving in no way suffice to finance the deficits by employees, aggregate salaries and wages ex- in the budgets. In the United Kingdom, for panding as the combined result of increased em- instance, the total of net savings was estimated ployment, higher wage rates and longer hours. at no million pounds sterling in 1938, while, In the United Kingdom, there has also been a in 1941, 1,52.0 million had to be financed by remarkable shift in the income structure: wages borrowing on the home market (over and above (excluding salaries but including pay and allow- the proceeds from extra-budgetary funds and ances of soldiers below the rank of officers, in local-authority surpluses, and compensation in the armed forces and auxiliary services) con- respect of war-damage claims). During a nastituted, before the payment of taxes, 39 per tional emergency the propensity to save is no cent of the national income in 1938 and 48 doubt strengthened by appeals to patriotism per cent by the end of 1941. At the latter date and by greater prudence in personal spending, not less than 85 per cent of the aggregate income but the amounts which can be raised through retained by the public after the payment of in- loans placed with the public and with insurance come tax and surtax was the share of persons companies, savings banks, etc. as a rule fail to with an income of 500 pounds sterling a year or meet the government need of borrowed funds. less. In Germany, where the price and wage- With few exceptions, the public Treasuries have stop policy has prevented an all-round increase been obliged to borrow at the central bank and in wage rates, it has been explained officially from the commercial banking system, although that, owing to increased overtime, more work well aware that such borrowing leads to an exby women and payments to persons serving in pansion of the amount of money balances in the the armed forces, as well as the earnings of for- hands of the public. The problem then is how eign workers, the money income of large sections to prevent the increased amount of money from of the population has nevertheless been raised being spent on goods and services the supply of by several milliards. For absorbing as much which has been reduced by the war, or, in other as possible of this expansion in purchasing power words, how to increase saving. and providing revenue for the state, an increase One method has been to introduce a system in indirect taxation has proved to be the most of "forced" savings. In the United Kingdom, the practical method at the disposal of the author- budget for 1941-42. provided for a reduction ities. In addition to the heavy income tax and in the so-called personal and earned-income alexcess profits duties which have been imposed, lowances (deducted from income for the calespecially in the higher income brackets, excise culation of income tax), while the amount of duties have accordingly been raised and, in a tax levied as a result of this reduction was 18 FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS credited to the taxpayer in the post office sav- securing the required volume of savings. Whatings bank, to be repaid sometime after the war. ever the extent of the free sector, it is usually In 1941-42. these post-war credits came to 60 subjected to heavy indirect taxation. In the million pounds sterling. In addition, 10 per United Kingdom, the budget for 1942.-43 sharply cent of the amount paid as excess profits tax increased the duties on beer, spirits, wines, to- (levied at the rate of 100 per cent) will be re- bacco and entertainments, and doubled the rate turned to the taxpayer for certain purposes after of the purchase tax to 66-1/3 Per cent °f t^le the war; in respect of taxes paid in 1940-41, the wholesale value of a wide range of "luxury" amount thus to be returned would seem to be goods. The first general restrictions imposed about 50 million pounds sterling. in the United States after that country had be- Another form of forced saving may be ex- come involved in the war were applied to the emplified by the system introduced in Italy in production of such durable consumers' goods as the spring of 1942., under which certain excess automobiles, refrigerators, radios, etc., which profits must be invested in 3 per cent government require materials directly in competition with securities, blocked for the duration of the war. armaments. It was in the purchase of these In a number of countries "forced loans" have goods that, up to 1941, consumers' demands had been issued (see p. 32.); whether they actually been most considerably expanded, following the entailed an increase in current savings is, how- increase in the national income; the amount ever, often somewhat doubtful. spent on them in 1941 came to somewhat more Since the war began, Germany has not im- than 10 milliard dollars. With the exception pdsed any form of "forced" savings but, in the of certain selected household items—a small closing months of 1941, two new types of volun- proportion of the total—their production for tary investments, provided with specific fiscal civilian use was rapidly curtailed in the winter advantages, were introduced to tie up purchasing of 1941-41. power: the first, a deposit in savings and other How much has consumption fallen since the war banks, for small savers; the second, a deposit at began? An official of the German Institute for the Treasury, of surplus funds accumulated by Economic Research arrives at the conclusion industrial and other firms as a result of post- that the actual amount of money spent in Gerponed repairs and replacements or set free by the many on consumption was about the same in reduction of stocks. Considering the loss of 1941 as in 19383. But in the latter year the revenue connected with these investments, the population in the "Alt-Reich" was 75.4 million, extent to which they are permitted has been while in the present "Reich" area it amounts made subject to definite limitations. Up to the to 91.7 million; moreover, the cost-of-living end of March 1941, the first type of investment index rose from 1938 to 1941 by 6.7 per cent, and had produced 150 million Reichsmark and the account has also to be taken of the fact that, first tranche of the second type 700 million during a war, some deterioration in the quality Reichsmark—not inconsiderable amounts but, of of the goods sold is unavoidable. The author course, of slight fiscal importance at a time when points out that the reduction in consumption the current needs of the state rise to 8 milliard implied by these facts has been most uneven: Reichsmark per month, covered up to one-half there has been hardly any decline in housing by current revenue and one-half by borrowing. accommodation or in the provisions which the To bring about the necessary contraction in agricultural population consume from their own private spending, other methods, amounting in output; and, for large groups of the town popupractice to an indirect form of securing compulsory lation (those engaged in heavy work, families savings, have been applied. By a system of with children), consumption even under rarationing and sweeping restrictions on private tioning is not much less than in peacetime. The investments, income-earners are prevented from consequence is that other sections of the comutilising in full the amount of money at their munity are correspondingly more affected. disposal. Possession of money no longer in In the White Paper issued together with the itself enables a person to consume goods—he British budget for 1941-43, it is estimated that needs, in addition, a ration card or a special the reduction in the volume of consumption in permit from the authorities. Sheer inability to 1941, compared with 1938, "probably lies within spend thus gives rise to "savings": the more the limits of 15 and xo per cent". A similar comprehensive the rationing system, the more reduction is found in Sweden: an estimate by compelling the pressure to save. In countries the "Konjunkturinstitut" puts the contraction where the "free sector" is still rather wide, indirect compulsion is perforce less effective in 3 In an article by Dr. W. Bauer in "Europa-Kabel", May 22, 1942. JANUARY 1943 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS in the volume of private consumption from 1939 drawn upon in order to subscribe to an issue of to 1941 at 15 to xo per cent. In European coun- government bonds, is not neutral in quite the tries other than the three just mentioned the same way: when the government spends what decline in consumption has as a rule been more it has borrowed, the total money income of the pronounced, the gradual exhaustion of stocks community is increased (since the subscription and the bad harvests both in 1940 and 1941 be- was not based on current savings); but there ing two important factors. There is, of course, will be no increase in the total volume of money a minimum below which the health and possi- balances; nor is the liquidity of the banking bly the life of a people is affected; there is a system directly affected. higher level—difficult to determine—below (iv) Borrowing from commercial banks, either by which the efficiency of the workers is impaired selling them government securities or by taking up and production consequently begins to suffer. direct credits, corresponds to no reduction in The demands of war are great and imperative: either the spending power of the community or in one way or another, what the governments the volume of money (cash and bank balances) need must be taken from the public. If it is in the hands of the public. On the contrary, taken by methods which lead to considerable spending by the government of funds borrowed and cumulative inflation, not only is the social from commercial banks will tend to increase the structure put to a serious strain but the war money income of the community and the total effort itself may be hampered by disorganisation of cash and bank balances. True, bank-notes of the whole economic and financial system. may be hoarded and bank balances may not be The problem of restricting private spending can drawn upon, i.e. the public may save in the form be tackled in two ways: from the goods side and of holding notes and bank balances, but the from the money side. By the first method, the amounts thus held are not tied up, being spendgovernments seek to limit purchases by such able at any time that goods can be obtained. measures as rationing, the importance of which Lending to the government tends to reduce the can hardly be overrated. The other way is to liquidity of the commercial banks (their liaabsorb, by taxation and borrowing, the excess bilities increasing but not their cash). The amount of money in the hands of the public. banks, however, count holdings of Treasury But not all forms of government financing bills as a highly liquid asset (often rediscountachieve this purpose; some even make matters able at the central bank) and can strengthen worse. Indeed, there is, so to say, a hierarchytheir cash position by allowing some of these among different methods of raising money from the bills to run off; besides, the central bank may •point of view of their effectiveness in counteracting step in and provide increased cash through its mflation. own open-market operations in order to enable (i) Taxation is no doubt the most effective the banks to continue their lending to the method to restrict spending, provided that ac- government. count be taken of the manner in which the in- (v) The greatest degree of danger attaches to crease in money income is distributed among direct borrowing by the government from the central the people: if profits are swollen, more revenue bank, thus swelling the money volume and can ana should be raised through income and money income of the community and either exprofit taxes; on the other hand, if profits are panding the note circulation or-increasing the kept down but wages increased, the new taxa- liquidity of the banking system. In the latter tion must, to achieve its purpose, fall largely case, the banks, having to carry the costs of inupon the mass of wage-earners. creased deposits and in many cases to pay in- (ii) Borrowing of genuine current savings from the terest on funds deposited with them, may seek -public, either directly or through such institutions as to acquire more revenue-producing assets and insurance companies, savings banks, etc. also has as further increase the volume of their lending, thus its counterpart an effective reduction in spending entering on a secondary expansion of credit. by the public. (To counteract such a tendency, measures have Taxation and borrowing of genuine savings do been taken in Denmark, among other countries, not on balance affect the money income of the to tie up more effectively the increased cash community, or the amount of money outstand- reserves of the commercial banks.) ing, or indeed the liquidity of the banking The above list is not complete. For instance, system, since the funds taken from the public governments may borrow funds arising from a flow back when spent by the government. net repatriation of capital. But the cases in- (iii) Borrowing of funds accumulated in the past, cluded in the list illustrate the most relevant as, e.g., when a bank balance of long standing is point: what happens to the total amount of FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS money (cash and bank balances) in the hands of because it is believed that savings may thereby the public and to the liquidity of the banking be discouraged and partly on account of the adsystem as a whole? Perhaps the most practical verse influence on life assurance companies and single distinction is between those operations social funds and, through the narrowing of inwhich absorb part of the money volume already terest margins, on the banking system. In in the hands of the public—(i), (ii) and (iii) February 1941 an official statement was made in the above list—and those which add to that in Germany, intimating that there was no involume—(iv) and (v) above. It may be pos- tention, for the time being, of seeking a general sible theoretically to neutralise a continued ex- lowering of the standard rate of 3^ per cent for pansion in money balances by a strict and well- long-term Reich borrowing. The directors of nigh all-inclusive system of rationing, com- the Swedish Riksbank issued a memorandum pletely preventing the new money from being on monetary policy in November 1941; in this spent on goods and services; but the burden of they stated that a further decline in the rate of withstanding inflation would then be thrown interest should not be contemplated, nor was a entirely on measures affecting the goods side. rise justified, and they indicated as desirable the Those who are actually in charge of price con- present level characterised by a yield of 3^ per trol in different countries invariably emphasise cent on long-term government bonds and 1 per the necessity of attacking the problem from cent on 3-month Treasury bills. Steps have, both sides. Thus, the German Price Commis- moreover, been taken in a number of countries sioner4 refers to the lack of balance between the to give an increased remuneration to amounts amount of money in the hands of the public from small savers, sometimes with the added and the available volume of goods—some not advantage of tax exemption. subject to rationing—and adds: "Since from If there is some limit to the fall of interest rates this lack of balance a tendency arises to offer for government borrowing it is natural that rehigher prices for all goods still available, so as strictions should be placed on other borrowers, to obtain them in preference to other purchases, who might take undue advantage of temporary the absorption of excessive purchasing power is wartime conditions to convert outstanding an element of decisive influence in price policy". debts. This falls within the province of the The restrictions designed to enable the state capital-issue control; in Germany a number of to obtain command of the purchasing power in conversions have been allowed to reduce the rate the hands of the public also include measures on mortgage bonds and the loans of local taken to reserve for the government the bulk of loanable authorities to a 4 per cent basis; in England cerfunds in the money and capital markets. In war- tain conversions by local authorities and public time the government becomes the main—almost utility undertakings have been permitted, generthe sole—borrower; it holds, in fact, a monopoly ally to 3^ per cent. Similar conversions (as position, export of capital being prevented by a rule involving no new money) have been alexchange restrictions and the domestic credit lowed elsewhere but generally within wellmachinery being controlled, not necessarily by defined limits; in Holland in March 194Z perdetailed orders but by an understanding on cer- mission to convert mortgage-bank bonds to x tain general principles with banks and other rate below 3^ per cent was officially refused. credit institutions. Thanks to its monopoly But, in spite of these reactions, money is still position and with the aid of the central bank, cheap as judged by earlier standards and seems the government is able to fix, within certain likely to stay so while the war lasts. limits, the rates applicable to its own borrow- With regard to the future, both the British ing. At a time when public debts are piling Chancellor of the Exchequer and the President up to unprecedented heights, it is naturally in of the German Reichsbank have said that cheap the interests of each nation that money should money will continue to be the official policy continue to be cheap. The cost of raising new when the war is over. But it is obvious that, money on government account (at short and with the great demand for capital which may be long term in the present proportions) is under expected when that time comes, in order to carry 3 per cent in Germany and under 2. per cent in out the tasks of reconstruction (including the the United Kingdom and the United States. repair and replacement of plant and the replen- But, notwithstanding the obvious fiscal interest ishment of stocks in industry and commerce), of the state, there has been some reaction re- conditions may arise which will make the uncently against too low interest rates, partly interrupted reign of cheap money more difficult to maintain. Special steps may have to be 4 In an article published in "Der Vierjahresplan", March 15, 1942. taken to ensure a large volume of savings even JANUARY 1943 XI Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS after the war—which means, inter alia, that for least to leave its money unspent with banks and some time the public as a whole must not expect other credit institutions, confidence in the curto be able to use for its immediate needs the rency becomes a question of -prime importance. In the purchasing power piled up during the war. final analysis, this confidence can be sustained Technically, the post-war situation will be the only if the new money issued to the public will easier for the goverment to handle, the more the in the future retain its power to purchase goods purchasing power now engendered is tied up at and services without any too substantial impairlong term instead of being "saved" in the form ment. Price policy and monetary policy thus of bank-notes and bank deposits. It is natural, go hand in hand. Psychologically, the task of therefore, that, with interest rates already very maintaining confidence is now rather more diflow, governments should turn their attention to ficult than in the last war, since even in 1919 it lengthening the maturity dates of their borrow- was still generally believed that all the main ing rather than seek to borrow even more currencies would regain their pre-war parities, cheaply. Maturity dates on long-term govern- the long era of monetary stability before 1914 ment loans have been lengthened during the having made people forget what inflation was past year in the United States, England and and what its effects might be. For this reason, Germany, and the "iron savings" in the last among others, a much more drastic supervision country have also the object of tying up small of prices has now become necessary. savings more effectively than is the case with While in the sphere of public finance and savings-bank and other deposits. money and capital markets a great similarity is The rate of interest, however, is not merely found between conditions and methods in the price paid for loanable funds. It has a various countries, a glance at the graph of movewider role as a capitalisation factor in determin- ments in wholesale prices and the table on the ing the value of capital assets and, under normal cost of living will show that, in regard to conditions, as one of the factors which influence commodity -prices, there is a marked difference bethe direction of production. For the time tween the virtual stability in Germany and the being, net industrial and other profits are kept considerable increases which have taken place down by heavy taxation, and production is ar- in most other countries. To illustrate the main ranged to suit the supreme needs of the state. points which have arisen, some account must be But it is perhaps not altogether feasible to eli- given of the developments in a few countries. minate all those influences which ordinarily Already in 1936 Germany had introduced a help to establish a proper balance in a country's "price-stop" system, by which an increase in economy. For the government to press down prices above the level prevailing on October interest rates or to hold them at an exceptionally 17 of that year, without the approval of the low level, the commercial banks must as a rule Price Commissioner, was forbidden. At the acquire large blocks of government securities; beginning of the war the prohibition was exand, to make such acquisitions possible, they tended to wages and in 1940 to profits also. must be provided with plentiful cash balances. Leaving aside the many technical problems If care is not taken, this liquidity may easily which arise, the basic principle is that all elebecome excessive from a monetary point of view, ments which go to make up the prices of finished provoking a diversion of funds to other pur- articles shall be subject to control. The Price poses. A clash betwen fiscal and monetary con- Commissioner has explained that prices have siderations may indeed arise even in highly con- only very rarely been increased for the purpose trolled markets, since wherever an outlet is still of stimulating production; a rise has been possible the weight of money may make itself authorised only when conditioned by increases felt in all its force. in costs which could not be avoided by the pro- Thus in a number of countries the mounting ducers and would then, as a rule have to be volume of liquid funds has sought an outlet in borne by the consumers; government subsidies the purchase of capital assets, particularly to keep prices down have, however, been shares, the prices of which have sometimes risen granted in a certain measure where the support to such levels that the authorities have seen fit given would help to free the consumers from to intervene. The measures then taken are ex- anxiety and thus eliminate far-reaching reperplained by a determination to prevent a flight cussions on the whole price structure. from the currency. At a time of growing ten- Prices being prevented from rising, the necession between increased supplies of money and sary contraction in civilian consumption is efreduced supplies of goods, when the public must fected by rationing and similar measures; and be induced to buy government securities or at the transfer of labour from one occupation to XX FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS another, since it is not brought about by wage Indexes of Wholesale Prices differentiatials, has to be ensured largely by January-June 1939 = 100 official orders, the right of the individual worker to move freely from one employment to another being strictly circumscribed. It follows that the success of the German system depends less on the ordinary functions of the cost and price structure than on sound and comprehensive official direction, the efficiency of the control, and the cooperation and discipline shown by the business world and the general public. In some respects the task of holding down prices has been rather easier in Germany than in other countries. Firstly, price control was in operation before the war started; secondly, Germany had already developed the home production of many substitutes for goods previously imported and had adapted her domestic prices to the costs of this production (it being the characteristic of substitutes not that they are necessarily inferior to the ordinary commodity but that more effort is needed to procure them; if they can be procured as advantageously as the ordinary product they cease to be substitutes);" thirdly, the exchange value of the Reichsmark in clearings and payments agree- 160 - 160 ments in the thirties had been kept at the gold parity with a price level which, calculated over 140 - 140 the official exchange rates, was higher than in other countries. This made Germany somewhat less susceptible to the price rise in other 120 - 120 European countries. (Elsewhere, it was usually discovered only after some time that, in order 100 100 to secure imports, it is advantageous to have a currency with a high exchange value—hence 1939 194-0 194-1 194-2 200 200 the recent tendency in several countries to ap- - preciate their currencies.) But, even with Switzerland/^ 180 180 these various advantages, the German resistance to price rises would not have had its high degree of effectiveness had not the control been ex- 160 160 tended to wages and profits and applied with unremitting vigour. 140 140 PERCENTAGE INCREASE IN COST OF LIVING - JUNE 1939-DECEMBER 1941 120 120 ^Spain - Country Per cent 100 1939 1940 194-1 19^2 100 U G n er i m ted an y States + + 1 5 1 Argentine +11 160 160 New Zealand +12 Australia +12 - 'United KingJom - India +21 140 140 J U a n p i a te n d Kingdom + +2 2 8 1 Canada^^ P Sw or e t d u e g n al + + 3 3 4 3 120 - 120 H Sw un it g z a e r r y land + + 3 3 4 9 - N D o en rw m a a y rk + + 4 5 3 1 100 1939 194-0 194-1 194-2 100 B R u o l u g m ar a i n a ia + + 1 6 45 0 * * To August 1941. JANUARY 1943 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS In other countries, where substantial price price structure. There is no hard and fast proincreases have occurred—often contrary to the hibition against wage increases, but official efforts of the authorities, not to mention the participation in wage negotiations has become interests of the consumers—the effect has been, the rule and, in some branches, as, e.g., agrihowever, that at least to some extent the normal culture, the wage rates have been determined by functions of the cost and price system have official bodies. continued to operate. From 1939 to 1941 the Except for a sudden rise by 5 per cent at the cost of living in Sweden rose by 30-35 per cent outbreak of war, there was little change in the and the money income of the public by nearly level of wholesale prices in the United States up 10 per cent, the margin between the increase in to the end of 1940; and there was hardly any the cost of living and the increase in the money increase at all, up to that date, in the cost of income roughly corresponding to the decline living. But in 1941 wholesale prices advanced in the supply of consumers' goods, and thus by 17 per cent and living costs by 10 per cent. providing, so to say, a natural balance between Simultaneously, hourly wage rates in the manusupply and demand. In Switzerland, a govern- facturing industries were raised by about 15 per ment commission appointed to advise on price cent and, because of longer hours, overtime and wage problems gave as its opinion in August rates, promotions, etc., the average pay envelope 1941 that ''in a wage policy applied with dis- contained zo per cent more than in the previous crimination and not as a stereotyped process, the year. Farmers, as a group, had an even larger national economy possesses a useful instrument gain, increasing their income by not less than for the direction of production". Wages of 40 per cent. A record expansion in the output Swiss industrial workers have advanced on an of consumers' goods provided the counterpart average by one-half of the rise in the cost of of the increase in purchasing power, but already living, according to the principle that no com- in the latter half of 1941 the production of durpensation can be given for that part of the in- able consumers' goods (especially automobiles) crease in living costs which is due to a greater began to be restricted in favour of the armament scarcity of goods and services (since the effects programme. To slow down price increases, of such a scarcity must be shared by all). The especially on materials vital to armament prorise in pay being more pronounced in some oc- duction, a Price Commission was instituted in cupations than in others, wage changes have no May 1940, but its powers were limited; it was doubt helped to attract workers to expanding only by the Emergency Price Control Act industries. It has been found, however, that adopted in January 194Z that the Price Adminiseach upward adjustment of wages has in its trator was empowered to establish "ceilings" turn an influence on prices. Moreover, when for any commodity and for housing accommodachanges m remuneration are permitted,, each tion within the defence areas. But agricultural particular group, whether as producers or as con- commodities were still accorded special treatsumers, is naturally anxious to ensure that it will ment, the farmers insisting on higher prices to not be left behind. The diversity of interests is compensate them for past losses in the lean often most clearly brought to the fore in the years of agricultural depression. As governdetermination of prices of agricultural products; ment spending increased, absorbing between when these prices are allowed to rise, the cost of one-quarter and one-half of the national income, living is immediately affected, and this leads to it was felt that the established price control a demand for higher wages by industrial workers would not be sufficient. In April 194Z the and others. President in a message to Congress, recom- The effects of the British price policy may be mended the adoption of a seven-point proshown by a comparison between movements in gramme including,- inter alia, provisions for the first two years of the present and the last stabilisation of the remuneration received by war. individuals and stabilisation of agricultural While the rise in wholesale prices was about prices. The responsibility for the stabilisation the same during the first two years of both wars, of wages devolves upon the National War Labor retail prices of food have this time been kept Board, the Chairman of which has announced down by regulation and by extensive govern- that the Board will not freeze wages but "will ment subsidies, costing the Exchequer 12.5 mil- not allow them to get out of hand". Demands lion pounds sterling in 1941. This policy has for wage increases will be dealt with more been adopted in order to make it possible to strictly, but the Board will continue to adjust moderate the rise in wage rates and thus to re- inequalities and pursue a policy of raising subsist an upward tendency in the whole cost and standard wages. FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS The countries have thus gone different ways black markets, socially and otherwise so dangerin rinding the relationship between movements ous. In some countries there are already price in living costs and in wages, but there is no levels, so to say, "on two floors": one official, doubt a growing tendency to stabilise a certain at the prices prescribed by the control, and one level of remuneration, ensuring the satisfaction illegal, in the black market. The actual prices of minimum needs by an extended system of paid in the latter—often two or three times as rationing at regulated prices. In Switzerland high as the official prices—not only reflect the and a few other countries, among them Italy, exceptional shortage of the goods dealt in and compensation for higher living costs has been the excessive purchasing power in the hands of granted not by a uniform increase in wage rates the public but also contain a risk premium on but by a more flexible system, according to account of the illegality of the transactions. which the lower and some of the middle wage Because of this premium, black-market prices groups have been given special consideration, are undoubtedly too high to represent what while for higher income groups the adjustments would be a "natural" price level, supposing have been on a smaller scale. The extent of the there were no control. compensation has also been made in a large When the war is over and goods gradually bemeasure proportionate to the family burden. come available in increased quantities, the ques- In other countries too, the granting of family tion will arise which price level is to be decisive allowances seems to have made headway under for the future. There will be everywhere a rethe strain of war conditions. duced supply of goods for some time to come, Rationing serves a triple purpose: (i) to ensure together with an abundance of cash and deposits an equitable distribution of foodstuffs and other that can be turned into cash. One of the problems essential commodities; (ii) to counteract a rise will be to prevent the pent-up purchasing power in prices by cutting down demand and (iii) to from causing a post-war inflation, lifting prices reduce spending and thus increase savings. As well above the level reached while the war regards the prices of rationed goods, the author- lasted. It is usually taken for granted that ities are often in a difficult dilemma: on the one government control over prices, the distribuhand, retail prices must be within the means of tion of essential goods, etc. must be maintained those for whom the goods are destined; on the for some time after the war. But the influence other hand, wholesale prices must not be so low of control is mostly in the nature of "brakes", as to discourage production. Up to a point, and in the transformation from war to peacesubsidies may be used to pay the producers time economy it is most important that producwithout raising the price for the consumers, but tive forces should be allowed to exert their full subsidising has its limits. Although no bel- dynamic influence, not least in order to cope ligerent country can rely solely on the price with the problem of unemployment. Governsystem to secure the reallocation of resources ment action to sustain the volume of national necessary for the pursuit of the war, it would income by a policy of public works and by other obviously be dangerous to allow the price re- means is being planned in many countries as lationship to develop in such a way as would part of the post-war programme. It is realised tend to retard the changes to be effected. that such works must be correctly timed to fit Government control over prices and the dis- into the trend of post-war business (held back, tribution of essential commodities is not equally should there be a "boom", but expanded in case effective in all countries. Under the strain of of a marked decline in activity). It is also the war, the industrial population has less to recognised that changes in the channels of trade offer in return for agricultural products, which when the war is over may necessitate cost admay induce farmers to hold back supplies, as was justments from exceptionally high levels reached indeed the tendency in some areas during the during the war, in order to bring goods within later stages of the 1914-18 war and the following the consumers' reach and to restore the export inflation period. For a system of rationing to trade. As a rule the countries which have been function satisfactorily, it is imperative that the most successful in reviving industrial activity rationed goods should be available in the right and getting rid of unemployment have been places and in the allocated quantities and that those which combined a policy of suitably-timed these goods, together with those obtainable in financial expansion with a policy of cost adjustthe legally free markets, should suffice for the ment and in that way managed to establish a most elementary needs of the consumers. When true balance within their own national econthese conditions are not fulfilled, it becomes al- omies and in relation to other countries. Great most impossible to prevent a resurgence of the importance is attached to mobility of labour and JANUARY 1943 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS i exibility generally in industry, without which ganization distorted and disrupted by the war— it will be hard indeed to transfer workers from a task made more complex than in the past by war production to peacetime occupations and the growing interdependence of political, social to employ those who return from war service. and economic factors. The governments will have to concern themselves with these matters; the problem is perhaps EXCHANGE RATES not so much to decide to what extent they In the year under review there has been a should intervene as to fix the main purpose of certain consolidation within each of the large their intervention: to aid in the transition to a currency areas into which—with few excepbalanced peacetime order instead of simply pro- tions—the world has become divided. Signs of tecting vested interests, whether of capital or this consolidation are: a greater consistency of labour. rates and cross rates on the continent of Europe The acuity of the post-war difficulties will as between the Reichsmark and the so-called depend on many circumstances which can not yet free currencies; maintenance of free transfers be foretold, such as the length of the war, the within the sterling area; the granting of stabilidestruction still to come, etc.; but in some re- sation and other credits by the United States spects the financial policies now pursued should in aid of currencies closely linked to the dollar, make the solution of a certain group of post-war and exemption of all countries in the western problems somewhat easier than was the case hemisphere from the freezing of foreign assets; after the last great war. The task of restoring the extension of the yen bloc, together with a proper balance between government revenue increased settlements in yen balances (and no and expenditure may, for instance, prove less longer in dollars and sterling) within the area difficult this time: once specific war expenditure dominated by Japan. Another large area of the has disappeared there should be sufficient budget world is served by the rouble of the U. S. S. R. revenue to meet current requirements, thanks The separation between the different currency to the more effective taxation imposed during areas is made more distinct by the obstacles to the present war. Another important difference trade resulting from the war: there is little interis that much more drastic steps have been taken change of goods between the different groups this time to prevent borrowing for speculative other than the sterling area and the dollar counpurchases of real estate, acquisition of shares, etc. tries, between which exchange stability has There can be little room now for the unbridled been maintained through the pegging of the speculation which characterized the later stages sterling-dollar rate. of the 1914-18 war and the post-war boom period. The coherence of monetary conditions within The banks and business men generally have not each area must not, however, be exaggerated forgotten the losses which followed an expan- for, even if exchange rates are kept stable sion that could not be sustained when the war through clearings, special accounts, monetary •was over. They have continued the policy, credits and in other ways, each currency has begun during the depression in the thirties, of still, as a rule, its own individuality, with its strengthening their liquid positions, thus being own credit structure and volume of means of better prepared to meet the trials of a possible payment. The internal value (the purchasing post-war slump. Official support for this de- power) of each separate currency is liable to velopment is usually given by more generous change under the influence of reduced supplies provision for tax-exempt allocations to in- of goods and an increased supply of money—in dustrial depreciation funds. some countries more, in others less, according to It is perhaps permissible to hope that, in the strength of the forces at work, the efficiency laying the foundations for a durable peace, a of price control, etc. As a result of such more general attempt will be made to avoid a changes, it is inevitable that now and then the repetition of those major monetary and economic exchange rates, kept stable by the control, get ^errors which proved so harmful after the last out of line with the true value of the respective war, it being borne in mind that mistakes may currencies. While the war lasts there is an not show their effects all at once but, like a time evident disinclination to make corrections which bomb, produce disaster suddenly at a later date. would involve reductions in exchange value: Modern production provides the technical means each government, fighting inflation, is anxious for fairly rapid reparation of the merely material to avoid any alterations which could be interdestruction caused by the war. But the attain- preted as signs of an avowed depreciation of its ment of a higher general welfare presupposes in currency. In fact, the tendency is to move in the first place a rebuilding of the economic or- the opposite direction: to appreciate the cur- FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS rency. The contradiction between fixed ex- ments which would demand a reduction of costs change rates and often rapidly shifting basic by, say, only 10 per cent? Such maladjustments conditions may be disguised for the time being may, indeed, also have most pernicious effects: by control measures, credits and other expedi- they may be the cause of much unemployment, ents, but it undoubtedly gives rise to problems lead to a drain in the balance of payments and which sooner or later will cry out for solution. provoke the introduction of protective measures In this respect it will make little difference interfering with the currents of trade. As long whether the particular countries apply extensive as business is booming in the world generally, government intervention or restore a greater the unbalanced position of a particular country measure of freedom to their economies, since in may not seem a serious handicap; the test comes any case a correspondence must ultimately be in the strain of a general depression. For these attained between the external and internal value reasons it is important that relatively limited of the various currencies. To the process of maladjustments should also be speedily and readjustment, all countries—large and small—• effectively corrected; but should the correction will have to make their contribution in one be made through an alteration in exchange form or another, in order to re-establish a struc- rates or through cost adjustments? ture of appropriate exchange rates for the future. Perhaps no general rule can be laid down; It is often said—and with considerable justi- there are arguments on both sides and much fication—that the level of costs, and particularly depends upon what is feasible in any particular of wages, should be accepted as the best indica- country. Alterations in rates of exchange are tion of the real exchange value of a currency. In undoubtedly disturbing to confidence at home a modern economy the amount paid out as wages and cause irritation abroad. Either the buyer generally represents one-half—sometimes even or the seller of capital goods, for which paymore—of the total national income and is thus ments are usually spread over a number of years, the main element in the volume of buying power would have to face uncertainty as to the price in the hands of the public. In addition, there in his own currency whenever there was a prosis a growing inflexibility of wages, now more pect of varying exchange rates. (In practice than ever fixed by trade union agreements and the possibilities of covering forward amounts other regulations. Before 1914 it could prob- due under such long-term contracts are very ably still be taken for granted that in most limited.) The investment trades—so important countries wages would move fairly rapidly in in the business cycle—would thus be particularly response to a change in business conditions; if handicapped in their international activities. the trend of affairs went against a country and Moreover, a unilateral exchange policy, if it the discount rate had to be increased, the reac- were pursued with little regard to the interests tion on the labour market was likely to be in the of other countries, would undoubtedly provoke direction of a downward adjustment of wages. measures of retaliation harmful in their effects No similar response to alterations in the discount not only to the country which altered the exrate can be expected at present and its effective- change value of its currency but to the developness as a means of restoring monetary equilib- ment of world trade generally. A particular rium has thus been in a large measure impaired. country which adopts a policy of flexible ex- A growing understanding of the insufficiency change rates is likely to find that—apart from exceptional circumstances, such as the present of some of the older methods of ensuring a war period—the tendency will nearly always be monetary balance has sometimes led to the conto lower but hardly ever to raise the exchange clusion that the only way of preventing a pervalue of the currency; depreciation may provide petuation of monetary disequilibria on foreign what appears to be an easy way out of temporary account is to admit relatively frequent adjustdifficulties but has the disadvantage that it does ments in exchange rates. The striving for exnot subject the various branches of the economic exchange stability, as known in the past, would life to a process of rationalisation, which may thus be replaced by a policy of flexible rates. be painful but which in the end leads to an There will in all probability be cases of major increase in the volume of production and thus maladjustments in which the correction will in the standard of living. have to be made by a depreciation of the currency; reductions of wages by anything like 20 From many points of view it would be preferor 30 per cent might well expose the social fabric able if, in the event of a minor maladjustment, to too great a strain and too heavily increase the necessary correction could be made by an the burden of public and private indebtedness. adaptation of costs. But monetary authorities Should the same view be taken of maladjust- alone have no longer the means to give effect to JANUARY 1943 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS a policy of cost adjustments. To be successful ready been completed, and so has adjustment they must be assisted by direct action on the to the German price level. Instead of these part of the main ecdnomic groups in the country, processes which embraced many countries, the including the labour organisations. Coopera- decisive influence is now increasingly exercised tion of labour or resistance by labour may make by domestic conditions in individual countries, all the difference with regard to the monetary especially the extent to which governments are policy that can be pursued. Nowadays, labour able to reduce private spending and thus absorb representatives often demand that they should purchasing power, to make room for the trehave an opportunity to participate in the forma- mendous military outlay of a total war. The tion of monetary policy. These demands may success with which these tasks are handled is be regarded as part of a general tendency to as- not the same everywhere; and the consequence is sociate persons having an intimate knowledge of a diversity of developments, reflected in the various economic branches (and not only of movements of prices shown in the indexes pubfinancial affairs) with the direction of monetary lished for the various countries. This does policy. It is, however, recognised that persons not mean, however, that no similarity is to be thus brought in must not regard themselves as found. Since the problems with which the representatives of particular interests; having nations have to cope are, in their essence, identibeen appointed members of a monetary au- cal, it is not surprising to find that, in many thority, they must help to frame the best policy respects, very much the same measures are taken, from a general point of view. That being so, with largely similar results. occasions may arise on which they will have to The reduced influence of foreign factors has face and press for at least temporary sacrifices by made each country more the master of its own the groups with which they are in special fate in the realm of prices; and this greater incontact. dependence has been used in many places to put The complexity of organised interests in a a more effective brake on the upward surge of modern society makes it harder in some ways the cost and price structure. Hence a slowing to apply a sound monetary policy; that does not down of the price increases in a great number of mean that the problems are insoluble but merely countries from the middle of 1941. Experience that new forms of securing adjustment must be has shown that price control, to be effective, found. Undoubtedly, the attitude of labour must not be piecemeal: in particular, attention plays an increasingly important part in deter- must be given to costs, i.e. the remuneration paid mining the lines of policy which can be success- to the different factors of production. That fully pursued; and, as always, greater power means that governments must occupy themselves involves greater responsibility. with difficult questions of profits and wages. Although it is impossible to escape a general COMMODITY PRICES reduction in the standard of living, governments find themselves forced to provide, by rationing The gradual elimination of external influences on and by some compensation for the increase in the domestic price level and the reinforcement of -price the cost of living, that intolerable hardships are control, which characterised developments in avoided and the burdens equitably distributed. Japan, are the outcome of tendencies which, The cost of living has been rising for many with variations in detail, are found all over the reasons. One factor recurring in a great numworld. In the first stages of the war, a number ber of countries is concern about the daily bread, of factors came into operation which exerted an leading to an increase in agricultural prices in influence more or less general in character. order to stimulate output. Farmers themselves Notable among these factors were increased after years of depression, have seen an opporcosts of transport, especially by sea, the intertunity to obtain a higher remuneration for their ruption of the normal currents of trade by the efforts and have, in the emergency, been able to blockade and counter-blockade (with effects exert an influence of considerable weight. both in Europe and in overseas countries, where surplus stocks accumulated), the depreciation of With the exception of Germany, where the the currencies of the sterling area by 14 per cent, wheat price had already been raised before the and the adjustment of prices on the continent of war, substantial increases have been made. Europe to the German price level. Some of Since higher prices have been fixed for other agrithese factors are still at work; others have, so cultural products also, the result is that, notto say, spent their force: adjustment of prices withstanding government subsidies, the group to the new exchange value of sterling has al- "foodstuffs" in the cost-of-living indexes is z8 FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS generally one which registers a marked increase to serve as a reliable means of payment, being —sometimes even the highest increase of all. still universally accepted by monetary au- Other groups which often show a particularly thorities at a more or less fixed price (in spite high increase are "clothing" and "fuel". In of the currency changes in the thirties). these cases the rise in price is usually connected In the present war, gold has again been used with reduced imports, for instance, of cotton, on a large scale for foreign payments (especially wool and petrol from overseas or coal from the to the United States) but once more it has been European suppliers. found that other resources are also required. There is one group in the cost-of-living indexes Foreign assets have been mobilised and foreign which, uniformly for almost all countries, shows credits have been arranged. For a number of very little change: practically everywhere rents reasons the forms now used differ from those have been prevented from rising. In one or employed in the last war. Private lending is two countries they have even been lowered, now almost nil; facilities made available since cheaper mortgage rates are considered to through the clearings, lend-lease aid and stabilihave diminished the cost for the owners, who sation loans all have in common the provision of have been ordered to pass on the benefit to their credit through official agencies. Well-nigh the tenants. At the same time, building activity whole world being divided into two belligerent for private purposes has been severely cut down camps, a series of arrangements have been con- —in some countries even prohibited. There is cluded which are designed to ensure that no room in a total war for private investments financial considerations shall not limit the aid unconnected with the armament programme. given within each group. That being the case, As a result, an abnormal scarcity of housing gold movements have been relegated to a secondaccommodation is beginning to make itself felt ary place; indeed, the total amounts involved and will presumably become increasingly acute in the various arrangements for mutual assistthe longer the war lasts. ance already attain figures which exceed the A result of all this fixing of prices—some total value of the world's monetary gold rehigh, some low—will certainly be that at the serves. Not money but the volume of producend of the war the cost and price structure will tion and the possibilities of transport set the show a pattern little suited to peacetime re- limit for the movements of materials between quirements. It will certainly not be easy to allied countries. rectify the many dislocations which will then In these circumstances, the question has been appear; the adjustments that become necessary raised whether for the time being gold producwill only too often entail an immediate dis- tion serves a useful purpose. Would it not be advantage for some sections of the community. preferable to divert the man-power and other Still, there can be little doubt that the restora- resources now engaged in the production of gold tion of a fundamental balance in the cost and to other tasks? To some extent such a diversion price structure is a necessary condition for a is brought about almost automatically by the healthy expansion in production; and such a mobilisation of men for military service, by balance is just as much needed when the state increased costs of production and by the difficoncerns itself actively with the management of culty of obtaining machinery and other mateeconomic affairs. Efforts will no doubt be made rials. It has been suggested that the price of to prevent a deflationary drop in prices after the gold be lowered in order to discourage gold prowar; but a greater stability in the general price duction by rendering it less profitable; but the level must not be taken to mean that substantial suggestion has not been adopted, on the grounds adjustments in relative prices may be avoided. that such measures would disturb existing monetary arrangements, impair monetary con- GOLD fidence and upset the financial stability of certain In the past, gold reserves provided a useful of the gold-producing countries. In so far as it basis for the financing of rapidly rising govern- is considered desirable to curtail production (and ment expenditure in time of war. But with the the situation is not the same in all countries), development of modern credit systems it has the cut can be effected by more direct methods, been possible to employ methods on the domestic such as restriction of the allocation of machinery markets which do not require the possession of and other supplies. metal reserves (not even, it would seem, to main- The assistance now rendered by various tain confidence in the currency). In relation powers to each other is to facilitate the winning to foreign markets, however, gold has continued of the war. In the immediate post-war period JANUARY 1943 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS also it may be found useful to continue some tary reserves. Outside assistance by reconform of assistance since all countries will be struction loans or through stabilisation credits interested in the re-establishment of orderly con- will no doubt be exceedingly useful in helping to ditions and a speedy recovery of peacetime pro- fill a gap in budget accounts and balances of payduction and international trade. One of the ments and to reconstitute monetary reserves more tasks will be to provide for adequate monetary quickly than would be possible by purely nareserves to make it possible for the various coun- tional action. But such assistance will be a tries at least to loosen, if not to discard, the mere palliative, bringing temporary relief only straitjacket of restrictions and controls into while the borrowed funds last, unless steps are which the trade of the world has been forced. taken to secure in the various countries and in The war will leave behind a dangerously high their relations with each other a fundamental volume of purchasing power in the different balance in budgets, cost and price structures, markets and so many other maladjustments that exchange rates and international payments. In a strong foreign reserve position will have to be a number of countries there is unmistakably a built up before freedom of movement can be growing insistence on the importance of "equirestored. To judge from pronouncements by librium", "balance", and "proper parities", and authoritative persons in practically all countries, this tendency may be taken to signify a better gold may be expected to retain its function as an understanding of the conditions that must be appropriate medium for the settlement of bal- fulfilled for at least a moderate success to be ances on foreign account, and will thus continue achieved in the functioning of the world's to be held, together with foreign currencies, in economic and monetary systems. Trade dereserve for such payments. Trade can never pends so largely on monetary arrangements that be made to balance from day to day; some elas- little progress can be made in the exchange of ticity is required; and the methods by which commodities and the readaptation of production elasticity can be provided are not many. Every to peacetime needs without providing for an monetary system presupposes a certain disci- elastic and smoothly functioning monetary relapline, and the kind of discipline required is very tionship between the different countries. much the same whether or not gold is chosen as a basis. Dynamic forces within a monetary INTERNATIONAL DEBTOR-CREDITOR RELATIONSHIPS system are also needed; and the current increase The first world war turned the United States in gold supply constituted, at least before 1914, from a debtor to a creditor country and impaired an important dynamic element in the world's the international position of the European belmonetary and credit system. ligerents. The second world war is turning The present maldistribution of gold (a result Canada and India and perhaps other overseas partly of American developments and partly of countries into creditors on international acdisturbed conditions in Europe over a number of count, while in 1941 Germany accumulated years) will in many ways affect the monetary debts on clearing account of over 5,000 million problems to be solved when the war is over. Reichsmark and England's foreign disinvest- One possibility is that more or less clearly defined ment was as high as 800 million pounds sterling.5 groups of countries will continue to carry on trade Although these sums provide sustenance to the and foreign exchange relations on a clearing basis, belligerents in their war efforts, the magnitude although with such relaxations as peacetime of the figures gives some measure of the changes conditions will allow. Gold would then pre- which have occurred in the international capital sumably play a minor role—at least within the structure. groups. There may, however, be another tend- What the exact situation will be when the ency, followed by a greater or smaller number war is over it is, of course, impossible to say at of countries, towards a system of free exchange the present time, but it is evident that such transactions supported by adequate reserves and fundamental shifts in debtor-creditor relationwith gold as the maintstay of these reserves. ships must give rise to important changes in The successful establishment of such a system the currents of trade. Immediately after the will depend upon the fulfilment of many differ- war, the first needs of European and other ent conditions—among them the availability of sufficient gold from current production or from already accumulated gold holdings. The task of reconstruction will then consist in the creation of a situation in which the different countries can replenish and retain their mone- 15-17 milliard Reichsmark in 1941 (see page 16) 30 FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS of international debtor-creditor relationships, Clearing Claims or which, by the nature of their production, (and assimilated accounts). are the principal suppliers of foodstuffs and raw the equivalent in Reichsmarks (at clearing rates) of advances made in domestic currencies to home exporters and other materials. In their own interests, they have clearing creditors by certain European central banks (including every reason to abstain from measures which some other items of a similar nature). unduly burden the international balances of Monthly, in millions of RM. 5000 5000 payments. For "principal suppliers" is a reciprocal term —it implies obligations as well as privileges, 4500 4500 dependence as well as profits. The post-war welfare of the world demands that the large shifts in the international capital structure 4000 4000 brought about by the war should be matched by broad adjustments of the future pattern of inter- 3500 3500 national trade in a way and to a degree which was not achieved in the interregnum between the two world wars of our time. 3000 3000 GOVERNMENT FINANCE, MONEY AND CAPITAL 2500 2500 MARKETS Although receipts from taxation have generally risen in the past year, government borrow- 2000 2000 ing continued to be the dominating factor in the money and capital markets of the world. The 1500 1500 financing of actual war expenditure in the belligerent countries not only, absorbed all the current savings but also led to some expansion 1000 1000 in the volume of bank credit; in neutral countries defence expenditure took a lower proportion of 500 the total budgetary outlay, but there also it constituted a heavy burden and accounted for the bulk of market borrowing; and, although 5 0 ND F M A MJ J A S O N OJ F M A MJ military expenditure was practically eliminated «.55«. 1940 194! 1942 from the budgets of the occupied countries in EDITOK'S NOTE.—This chart presents an incomplete picture since Europe, its place was taken by the considerable clearing claims of several countries against Germany are not represented for lack of regular figures. The text of the Report presents official financing for the payment of occupation certain evidence concerning the claims of France, Slovakia, Greece, costs and advances to domestic exporters and Switzerland, Sweden, Bohemia and Moravia; those of France are much the largest, being estimated at 1,500 million Reichsmark in June 1942. other creditors in the clearings with Germany. No estimate is available for Germany clearing debts to Italy. Conditions on the money markets show some variations. In Germany and the United Kingcountries will be for the reconstitution of stocks dom, the markets remained very liquid; the same and replacement of plant and for the repair and is true of certain European countries (notably reconstruction of damage due to the war. In Denmark, Sweden and Switzerland), where the order to provide for these needs and at the same public's demand for cash, as shown by the extime for the changes on capital account, some pansion in the note issue, has not been considercountries will, no doubt, find it imperative to able. Before the United States entered the war, increase their exports. Whether or not they official measures of control tightened up the will succeed in doing so will depend partly on markets in New York; and more stringent contheir own endeavours but partly also on the ditions appeared in some European countries, closely-connected trends of commercial policy where expansion of central-bank credit for and general business conditions. An export official account was followed by a parallel indrive by the countries most in need has obcrease in the note circulation (as was the case viously more chance of success if the volume of in Belgium and Holland). Most governments international trade is expanding than if it is have shown themselves concerned to lengthen contracting. Much will depend upon the willthe maturities of their borrowing and to tie up ingness of those countries to receive imports savings rather than to borrow more cheaply; which have improved their position in the field JANUARY 1943 31 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS rates at long and at short term have thus gen- to close up loopholes and to tie up loose money, erally ceased to fall and in several countries the some element of compulsion has crept into the policy of the authorities has avowedly been to lending of surplus funds to the governments. stabilise them around existing levels. But on In Germany participation in the new form of the stock exchanges of Continental Europe the "iron savings" is voluntary, although, once the rise in quotations has, in many cases, brought worker has indicated his rate of saving, he is share yields down to abnormally low rates. bound to it for at least three months and his Although much has been written on the savings are tied up until a year after the end of sources of war financing and the various related the war. Further, amounts surrendered by problems which have to be faced alike by all industrial enterprises in virtue of the new regubelligerents, questions regarding the techniquelations regarding "profit skimming" are to be of borrowing appear to have been comparativelyaccumulated in a profits surrender account, the REICH RECEIPTS FROM TAXATION AND BORROWING1 AUGUST 1939-MARCH 1942 [In millions of Reichsmark] Internal debt increases or decreases Total Short-term Long and middle-term Total borrowing receipts Taxation from Quarter revenue w R c o b e r r a i e c k n d h i k i n s t g - T b r u i e r l a y ls s- " l S o u a n n d s" ry c c e T a r a t t x i e f - s i- T c c e u r a r e r t t a i y e f s s i - - L l i o q i a t u y n id s - R b e lo n a a n te n k n- Gross N s a a e m t t i o o ( r n l t e s i s - ) s a t r a n o x d w a t i b n i o o g r n - 1939 Aug.-Sept 4,430 -336 2,392 1,750 278 400 4,484 4,467 8,897 Oet.-Dec 6,335 567 3,628 803 1,082 274 6,354 6,127 12,462 1940 Jan.-March 5,840 -470 4,383 750' 2,232 117 7,012 6,183 12,023 1940 J A u p ly ri - l S -J e u p n t e 6 7 , , 0 3 6 51 7 - 3 5 7 9 0 4 3 , , 7 7 3 2 8 6 6 87 3 5 5 2 2 , , 0 3 0 8 0 3 1 1 , , 7 7 6 9 6 8 . 75 8 9 , , 5 7 7 3 2 5 9 8 , , 5 0 7 8 7 5 1 1 4 6 , , 1 9 5 2 2 8 Oct.-Dec 6,987 -46 4,509 2,717 2,597 60" 9,837 9,772 16,759 1941 Jan.-March 6,816 -400 5,421 """411" 3,787 1,373 10,592 10,155 16,971 1941 April-June 7,176 719 5,420 664 3,479 1,333 65 11,680 11,503 18,679 July-Sept 8,606 -140 6,700 1,168 3,000 2,825 13,553 13,293 21,899 Oct.-Dec 8,082 134 6,982 764 3,797 2,553 14,230 14,061 22,143 1942 Jan.-March 8,394 -445 5,909 751 3,844 2,809 "l50" 13,019 12,8153 21,209 Financial years 1940-1941 27,221 -135 18,394 1,921 10,887 7,534 135 38,736 37,589 64,810 1941-1942 32,258 268 25,011 3,347 14,120 9,520 215 52,482 51.6723 83,930 Calendar years 1940 26,245 -205 17,356 1,510 7,850 8,393 252 35,156 33,617 59,862 1941 30,680 313 24,523 3,007 14,063 8,084 65 50,055 49,012 79,691 August 1939-March 1942* 76,083 -106 53,808 5,268 '2,553" 25,757 20,646 1,141 109,068 106,0383 182.121 Total debt outstanding at end of 19412 895 55,214 4,520 3,541 32,865 23,151 991 128,506 1 The statistics on taxation are those published officially, except for the two-months period August-September 1939, which is an estimate based on the official figure of 6,179 million Reichsmark for the July-September quarter. The figures on quarterly borrowing up to December 1941 are based on a table given in the weekly report of the Deutsches Institut fiir Wirtschaftsforschung for March 31, 1942. 2 The grand total of 128,506 million Reichsmark includes, in addition to the amounts given separately in the table, the following principal items: the pre-April-1924 internal debt of 2,670 million, the pre-1931 foreign debt of 1,233 million and certain bonds issued in compensation (i.e. without cash proceeds) of 1,726 million Reichsmark. 3 In addition, in the January-March quarter of 1942, 710 million Reichsmark was received from "business-investment" and "commodity-stocksreplenishment" deposits. * EDITOR'S NOTE.—These totals represent the addition of figures for two periods, August 1939-December 1941 and January-March 1942, as given in the original table. neglected. In the first place it is necessary to utilisation of which will be decided upon by the distinguish between loans to which subscrip- Reich Minister of Finance after the end of the tions are entirely voluntary and forced loans, war; the amount surrendered may, to the extent the conditions of which may involve varying of 50 per cent, be restored, or a respite for its degrees of compulsion for the subscriber. Gen- payment be granted, to the entrepreneur if he is erally, the difficulties placed in the way of able xo prove that he needs these resources for current spending in wartime, the smaller supply reasons of war economy, or owing to special of goods for consumption and their rationing economic difficulties (3)^ per cent interest being have forced individuals to "save" simply be- paid on amounts thus restored). Since the cause they can not spend; and, as other borrowers budget of 1941, in England a system of "forced" are largely excluded, the government benefits savings has been coupled with the broadening of directly or indirectly by this saving. Recently, direct taxation: before the war just under one FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS million workers paid 2.}/^ million pounds sterling and early in 1942., in Croatia and Greece. The in income tax while in 1941-4Z income tax had standards upon which the compulsory subscripbeen extended to 5^ million workers, who tions have been based show great variety. A contributed 1x5 million; but of this amount favourite form is a proportion of the reserve some 60 million was treated as credits, i.e. was funds (or other assets) of share companies credited to the taxpayer in a savings account to (Bulgaria, Roumania, Turkey and Croatia). be repaid after the war. Similarly, although the The liquid funds of the banks are also a tempta- Excess Profits Tax on companies is now levied tion to governments in need and may be forced at 100 per cent, 2.0 per cent of this is to be re- into government securities either indirectly (as turned to the taxpayer after the war, subject in Slovakia, where the banks have to make only to its not being used for dividends or for the deposits with an institution to "support" the issue of bonus shares. Measures taken in May government securities' market) or directly (as 1942. introduce somewhat similar principles in in Greece, where part of the banks' cash reserves Italy: all excess profits due to the war, i.e. the have been taken over and they are forced to redifference between present and normal profits, constitute their liquidity position through the less the amount already paid in extra taxation issue of Kassenscheine). The greatest variety, and a smaller amount representing a fraction of however, has been shown in Roumania, where the ordinary profit, are to be compulsorily in- forced subscriptions to the Unification loan were vested in a special type of 3 per cent nine-year based inter alia on one year's taxation (for Treasury certificate registered in the name of the property-owners and industrialists), on one owner, which will not be transferable before the month's salary (for officials) and on the area of end of the war. The employment of the sums in land (for peasants). question wili be decided upon when the war is In some countries where no forced loan has over, preference being given to payments for been issued, certain funds may be invested alplant for reconstruction purposes and to the most automatically in government securities: reconstitution of stocks. A further measure this is true in general of extra-budgetary funds, provides that, upon the establishment of new unemployment relief and social insurance etc. share companies or capital increases of existing And the laws limiting dividends are often supplecompanies, at least xo per cent of the subscribed mented by provisions requiring the investment or new capital must in future be invested in in government securities of funds which, but non-transferable 3 per cent Treasury certificates; for the dividend limitation, would be available in the case of bonus issues, an amount equivalent for distribution. Further, a certain atmosphere to 50 per cent of the nominal value must be so of compulsion may exist through the various invested within one month. forms of "direction" and "guidance" given to From the examples given it will be seen that institutions by official quarters as regards investin Germany, England and Italy compulsory ments. In Holland a decree published in May loans to the government for the duration of the i94x prescribes that institutional investors (savwar are closely related to taxation on the excess ings banks, insurance companies, social funds profits of companies. In Italy subscriptions to etc.) must restrict their investments in mortgovernment bonds also are linked to the acquisigages in order to invest larger amounts in tion of new cash resources from share issues. government loans; and in other countries the Smaller forced savings in England are based on central bank has powers to ensure the "cooperathe rate of income tax, and some such criterion tion" of the commercial banks in taking up as regards subscriptions is not unusual, the government issues (as in Japan). amount of the compulsory subscription being Turning now to the issue of voluntary loans, related to current taxation or income. In New it is interesting to observe how the technique of Zealand contributions to the compulsory loan "tap issues" has progressed in Germany and of September 1940 were to equal income tax England, in contrast to the "war loan" techpaid in 1938-39 in excess of certain given nique of the United States and Italy and, indeed, amounts. The forced loans which, following most other countries. In the United States, for the precedent of the war of 1914-18, have been example, there are no tap issues of marketable threatened in Holland (but not issued since the securities; long and middle-term issues of threat was sufficient to make "voluntary" loans Treasury bonds and Treasury notes are made for successful) were based upon the amounts paid specific amounts, generally on the regular as tax on net fortunes. financing dates in March, June, September During 1941 forced government loans were made and December. The total to be issued is fixed in Bulgaria, Roumania, Slovakia, and Turkey; JANUARY 1943 33 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS beforehand and the lists closed when this amount tions, the continuity of the issues in England has been subscribed; the success of the issue de- was broken for two months (mid-August to pends largely on market conditions, which, in mid-October) in 1941 when no new issue was on wartime particularly, may be temporarily dis- tap. During this period a breathing-space was turbed by passing events.6 allowed, the weight of money on the market In Germany and England, however, govern- increased, old issues were well supported and ment long or middle-term borrowing is continu- the new loan eagerly awaited. This form of ous. In Germany all market issues since the market control, combined with fixed minimum war have been in the form of Treasury certificates prices for government bonds and open-market which may be purchased at any time. Each operations with Treasury bills, is preferred in year a new loan has been made, in 1940 at 4 per England to the direct purchase of long-term cent, in 1941 at 3^ per cent; a number of government securities by the Bank of England tranches of each loan are issued, generally for a to support the market. month or two at a time, and the issue price and An interesting combination of "tap" and maturity dates are varied (the issue price being "war loan" technique has developed in generally raised while the term of the certificates Australia (and more recently in New Zealand). has been lengthened from 5 to xo years). In order to mop up money as it becomes available, subscriptions to the next war loan are invited before the terms of the loan are an- JAPANESE BUDGET ACCOUNTS AND ESTIMATES1 1936-37 TO 1941-42 nounced: interest is paid on these advance [In millions of yen] subscriptions at the rate specified when the prospectus is published; if investors are dis- Financial Expenditure2 Revenue3 satisfied with the terms they may withdraw year to Deficit M en a d r c o h f War Other Total T t a io x n a- Other Total t c h e e iv ir e n s o u b i s n c te ri r p e t s i t o . ns—but, in this case, they re- 1936-37 1,078 1,204 2,282 1,051 712 1,763 519 In addition to the technique of issue, the actual form the security takes is not without im- 1937-38 3,777 1,471 5,248 1,431 878 2,309 2,939 1938-39 6,017 1,804 7,821 1,984 925 2,909 4,912 portance. Long-term government loans in Eng- 1 1 9 9 3 4 9 0 - - 4 4 0 1 6 7 , , 2 7 3 6 4 4 3 2 , , 2 3 7 3 0 0 1 8 1 , ,0 5 3 6 4 4 3 2 , , 1 4 6 9 4 5 1 1 , , 0 17 4 7 6 4 3 , , 2 6 1 7 0 2 4 6 , , 8 8 9 2 2 4 land have in the past been issued in three forms: bearer bonds, transferable by the passing of 1941-42 8,130 4,075 12,205 3,691 1,300 4,991 7,214 possession of the security; registered stock, the 1 Based on data given in the Mitsubishi Monthly Circular for April certificate for which is nominal and transfer- 1941: closed accounts up to 1939-40, estimates (including supplementary) for 1940-41 and estimates for 1941-42. able by deed; and inscribed stock, represented by 2 Combined budgets. War expenditure in the table comprises the no tangible security but only by an entry in the Temporary War Expenditure (China Incident) Account and also includes defence expenditure in the general (ordinary) budget. books of the Bank of England. Inscribed stock, 3 General budget. the transfer of which requires the personal at- EDITOR'S NOTE.—Two additional columns in the original table, omitted here, show the annual totals of the internal bonded debt ana tendance of the investor, or his representative, the increases in the successive financial years. at the Bank of England, was generally less popular than the bearer bond or registered stock One "war loan" in the old style was issued in and in wartime appears to have been little used, England in March 1940, but since then all issues although government issues made provision for have been of middle-term National War bonds this form of investment. In October 1941, for placed on tap for six months or so at a time; the first time, the new tranche of 1J/2 per cent issues have all been made at par with a uniform National War bonds was issued only in bearer or rate of interest of 1^/2 per cent, while the maxiregistered form, and the gradual disappearance mum maturity has been lengthened from 7 to 9^ of inscribed stock appears to be foreshadowed. years. But whereas issues in Germany have This wartime evolution is of interest since it been continuous and the Reichsbank has exer- is the opposite of what has happened in Gercised supervision over the government bond many. The "noiseless" government financing market, buying and selling from time to time through institutions in that country has led to (as have the Federal Reserve Banks in the United the development of government borrowing by States) to maintain uniformly regular condi- book entries, without the actual issue of bonds or other securities. The first step was taken 6 EDITOR'S NOTE.—Substantial amounts of! funds, however, as early as 1938, when subscribers to the third have been raised in the United States through sale of nonmarketable issue of 43^ per cent Treasury certificates were "tap" issues—i.e. savings bonds and tax notes. In the 12 months ending April 1942, 8 billion dollars was obtained through such issues, offered, in addition to the usual choice between which is almost as much as the amount obtained through sale of marketable issues in the same period. bearer bonds and nominal stock, the possibility 34 FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS of collective deposit at a Wertpapiersammelbank immense saving of labour and material for the (an institution specialising in stock-exchange- Reich Debt Administration, while it is mainsecurity deposit business). Since the bulk of the tained that the individual investor gains in deposits remained there until redeemed, the issue convenience, in punctual collection of dividends, of individual securities was superfluous and the in security against loss and in costs of safe Reich introduced global certificates. custody. The next step was made in 1940 from collective deposit to collective administration by ITALIAN BUDGET ACCOUNTS AND ESTIMATES dispensing with the global certificate; the Wert- 1934-35 TO 1942-43 papiersammelbank thus ceased to be a depositary [In milliards of lire] and became an administrator of claims. Legally the Wertpapiersammelbank was the creditor of end Y in e g a J r une Expenditure O na rd ry i- Deficit the Reich and had sole right of disposal of the Military Other Total* revenue claim, becoming trustee for the banks which 1934-35 5.2 15.6 20.8 18.8 2.0 were its principals, while they, in their turn, 1935-36 12.6 20.4 33.1 20.4 12.7 were trustees for their customers. Under this 1936-37 16.6 24.4 40.9 24.7 16.2 1937-38 13.3 25.4 38.6 27.5 11.2 system all transfers, interest payments and loan 1938-39 15.0 24.8 39.9 27.6 12.3 1939-40 27.7 32.7 60.4 32.4 28.0 redemptions are made by book entries. As 1940-41 (estimate) 94.9 29.0 65.9 amortisation by repurchase on the market or 1941-42 " * 96.0 31.1 64.9 1942-43 " * 108.8 35.4 73.4 by drawing individual securities is unsuitable for collective administration, the Reich changed * For 1941-42 and 1942-43 military expenditure probably amounts to about 60 milliard lire. its technique, redemptions being made by draw- NOTE.—Ordinary and extraordinary expenditures are combined in the table. Of the military expenditure for 1934-35 to 1939-40, 47.7 ings in small groups. A further considerable milliard lire was classed as ordinary and 42.8 milliard as extraordistep was taken with the decree of December 31, nary. Of the "other" expenditure for the same period, 24.3 milliard lire was extraordinary (making the total extraordinary expenditure 67.0 1940, which made collective-administration milliard) and includes the outgoings of the important Ministry for Italian Africa. "Other" expenditure also covers 6.9 milliard lire for components good delivery on the stock exchange interest service on the debt in 1939 and 8.0 milliard in 1940; budget (a measure of great importance as regards mar- estimates place the interest service at 10.0 milliard for 1941-42 and 13.9 milliard for 1942-43. The rise in ordinary revenue reflects the inketable Treasury certificates although not much creases of taxation up to the war, and further increases have since been made. affecting the non-marketable Liquidity loans). EDITOR'S NOTE.—This table combines data given in the original And a far-reaching measure of rationalisation in two tables entitled respectively Italian Budget Accounts and Italian Budget Estimates. was decided upon in March 1942., when it was announced that the Reichsbank would take With all their various techniques of issue and over and centralise the entire collective-security different forms of security holding in the prindeposit and administration business previously cipal belligerent and some other countries, it done by the Berliner Kassenverein and the ten has been possible, in striking contrast to the other Wertpapiersammelbanken in the country. last war, gradually to improve the terms of bor- In May 1942., the shares of the Berliner Kassen- rowing for the government, or, in other words, verein were exchanged partly for shares of the slowly to change the terms of government loans Reichbank and partly for Reich securities. to the disadvantage of the subscriber, who thus The progress made by the new system may be has no incentive to wait in the hope of higher realised from the following figures: in 1938 rates. only 10 per cent of the eligible issues were en- The level of interest rates during the war detered in the debt register; in 1940 the percentage termines the permanent cost of the new longwas 64 (90 per cent for Liquidity loans and 36 term debt and the current cost of the floating per cent for Treasury certificates); in 1941 the debt. If interest rates rise after the war, the percentage was 97 for Liquidity loans and cost of renewing and consolidating the floatrose from less than 60 for the first tranche of ing debt will also increase. The "burden" of Treasury certificates to 80 for the fourth tranche. the public debt will depend, however, not only In the war of 1914-18 the issue of 97 milliard upon interest rates but upon prices both now and Reichsmark war loans necessitated the issue of after the war (and, indeed, upon all the factors 64 million separate bonds and 1,300 million affecting the national income) and also, of interest coupons; with issues of some 34 milliard course, on the size of the debts. The internal Reichsmark in 1940-41 this would have meant public debt in England, which was 6,300 million about 13 million bonds; actually only 3.2. million pounds sterling in 1931, had reached nearly bonds were put in circulation, a saving of nearly 13,000 million in March 1942.; the internal 2.0 million bonds and the annual manipulation of (jpost-ic^) public debt of Germany was 4 40 million interest coupons. There is thus an milliard Reichsmark at the end of 1932., 30 JANUARY 1943 35 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS milliard in August 1939 and 12.1 milliard in follows has been prepared. It shows the steady December 1941. The total internal debt of increase of German taxation receipts since 1933 Japan, which was under 10 milliard yen in 1936 and the sharp rise of revenue in the United (before the outbreak of hostilities with China), States and England in more recent years. In had risen to 36 milliard at the end of 1941; the 1941 taxation in Germany produced 4^ times United States Federal debt was under 2.0 milliard as much as in 1933; in the United States'3^ dollars in 1932., nearly 43 milliard in June 1940 times and in England z*^ times. The years (the beginning of the defence programme), and 1932.-33 were in most countries the lowest point 58 milliard in December 1941. But in the of the great depression and in all countries the United States the public debt at the end of 1941 proceeds of taxation increased with the expanwas still well below the equivalent of one year's sion of business activity. The lower rise shown national income; for Germany and Japan they for England, however, is due to the relatively were about equal; the Italian public debt was stable revenue from taxation in that country and more than one year's income and less than two, to the choice of 1933 as base year: from 1919 to while the English public debt was already 1933 English receipts from taxation actually double the annual national income. rose by 2. per cent whereas they fell in Germany Since interest rates have generally fallen the by Z5 per cent and in the United States by 38 service of the debt has not risen in the same pro- per cent. portions as the debt itself, but the debt service, The movements of government revenue in the at present, absorbs one-tenth of taxation revenue United States are typical of the elasticity in. the in the United States, rather over one-tenth in economy of that country; taxation receipts Germany, about one-sixth in England and one- declined after the boom of 1937, but from the end third in Italy and Japan. In his budget message of 1939 there has been a mighty increase. Price to Congress in January 194X5 the President of the movements are of course important for their United States said that the Federal debt would effect on the revenue from taxation and in this increase to no milliard dollars by June 1943 connection the rise in wholesale prices in Engand that this growth of the debt would require land by some 50 per cent since the outbreak of an increase in the annual interest service from the war should be remembered. 1 milliard in 1940 to above 2..^ milliard in 1943. In conclusion: a further year of war has not "Such an increase in interest requirements", he produced any essentially new problems of said, "will prevent us for some time after the government financing; but the strain has been war from lowering taxes to the extent otherwise intensified by the rise in the proportion of milipossible". tary expenditure to total national resources and To illustrate the development of the revenue by the more comprehensive financial operations from taxation in recent years the graph which which consequently have become necessary. While financial considerations are not allowed Taxation Receipts to hamper the war effort, it is increasingly in Germany, the United States and England. Total receipts as a percentage of 1933. realised that recourse to inappropriate methods 500| 1 , 1 1 1 1 1 , ,500 may be a source of much immediate and future trouble. Hence, increasing stress is laid on the 450 450 fact that the problem of withstanding inflation should be attacked not only from the goods side but also from the money side, not only by price control and its auxiliary, the rationing system, but also by measures designed to absorb excess purchasing power. There has been a certain shift from a one-sided insistence on the advantages of cheap money to greater emphasis on the desirability of stability in the credit structure and the need to tic up temporary "savings" so as to prevent their eventual release from adding to the excess of purchasing power at a time when this would be likely to complicate the of Q fo u u a r r te q r u ly a rt f e ig rs u r h es a s o b n e e b n a si t s a k o e f n 19 ( 3 to 3 e e l q im ua i l n s a t 1 e 0 0 s . e as A o n m al o v m in o g v e a m v e e n ra ts g ) e already sufficiently difficult post-war monetary centered on the fourth quarter, which thus gives the average for the problems. year. 36 FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS CENTRAL BANKING DEVELOPMENTS Index of Note Circulation. Base: January-June 1939 =^ 100. Note circulations are, indeed, rising everywhere as the following graphs illustrate. The end-ofmonth note circulation in thirteen European and seven overseas countries has been calculated as an index on the base of the average circulation in the first half of 1939 (equal to 100) and the monthly figures plotted as graphs. Without exception the circulations have risen, the increase up to the end of 1941 ranging in importance from 24 per cent in the Argentine to 371 per cent in Bulgaria.7 Only the central banks' note circulations are shown in the graphs (except the United States, for which the "money in circulation" has been taken), but it is considered that these curves give a reasonably correct indication of the total circulation of currency in the countries. Coin has generally increased roughly in the same proportions as the note issues. In a few countries new central-bank notes have been issued to supplement or replace coin (e.g. in Switzerland); in others coin has replaced small central-bank notes previously issued (e.g. Hungary); elsewhere small government notes have been issued to supplement or replace the coinage (e.g. Rentenbank notes in Germany and silver certificates in Holland): but allowance for these changes would not appreciably alter the picture. Already before the war, note circulations had risen generally throughout the world. A number of reasons for this have been given in earlier Annual Reports: "Higher amounts paid as wages and spent on consumption goods, larger amounts carried as cash by the individual or held as reserves by commercial banks an$ other institutions, and an increase of hoarding, affected perhaps by the low rates paid on deposits, are among the most important general factors". And, as the war approached, the direct or indirect financing of the governments by the central banks and the demands for liquidity by the public both increased. In wartime several further reasons for the expansion of the note circulations must, be added: the increase of pay rolls as a result of higher wages in the armament industries, prolonged working hours and the mobilisation of fresh labour forces require more currency, while soldiers are usually paid in notes, and family allowances give rise to many small payments; cash holdings of individual households have probably further increased and the velocity . . . i Argentine , nil .lull, i I I i) 1 i i 11 i 1 i i i i , j 11 I i 7 EDITOR'S NOTE.—An additional chart in the original shows com- 1939 1940 1941 parable indexes for the note circulation in Bulgaria and Finland, which /V°555a. rose within the same period to 471 and 334, respectively. JANUARY 1943 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS of circulation is generally slowed down in trade tions of the "circuit" which takes money spent and business circles by transport difficulties and by the government round the monetary and the curtailment of banking facilities (owing to banking system and back to the government as shortage of personnel and other causes). savings invested directly in Treasury securities or In some countries there are special factors. through bank deposits and in other ways. The Between mid-August 1939 and the end of Decem- Governor of the Banca d'ltalia mentioned this ber 1941, the note circulation of the Reichsbank subject at the general meeting of the Bank on rose from 8.7 milliard Reichsmark to 19.3 March 30, 1942.. A summary of what he said milliard; in the same period new territories, is as follows: The limitation of consumption, with a population of 13^ million, were in- price control and the stop upon real investments corporated into the Reich, accounting, it is were, with taxation, the means employed by estimated, for about 2. milliard Reichsmark of the governments of all countries to direct surthe increase; in addition, there are more than 2. plus purchasing power to the public coffers. million foreign workers in Germany, Reichs- In no country, however, had the so-called capimark means of payment may be hoarded in some tal circuit become absolutely watertight, partly of the occupied areas, although it is difficult to because the means could not be employed with estimate to what extent; in both Belgium and complete consistency, partly for psychological Serbia the German military commanders have reasons, partly because the factors governing the issued decrees against the hoarding of money, circuit were not all perfectly known and calparticularly in safe deposit at banks (on the culable with mathematical accuracy, and partly lines of provisions already in force in Germany). because the steady expansion of public expendi- Other countries besides Germany have issued ture tended to increase the time lag between notes in newly-attached territories during the outlay and reabsorption of funds. Owing to war. The National Bank of Hungary had a this increasing time lag, it was inevitable that circulation of 1,984 million pengo at the end of part of the government expenditure should be 1941, of which 2.15 million pengo owed its financed by recourse to the central bank—hence origin to the withdrawal of Roumanian currency the continued rapid rate of expansion of the and 191 million pengo replaced old Yugoslav note circulation in all countries in the second currency. The National Bank of Bulgaria has year of the war. issued its own notes against the withdrawal of But bank-notes are only part of the total cir- Roumanian, Yugoslav and Greek currencies to culating media and, to obtain a more comprean amount not clearly shown in the weekly re- hensive picture of developments, it is necessary turn (but reliably estimated at "not much more to consider the growth of bank deposits, parthan 1 milliard Leva" out of a total circulation ticularly those at the big commercial banks. of 13^ milliard Leva at the end of 1941). As monthly statistics of bank deposits are not Roumanian currency exchanged in these coun- now available for some countries, the following tries has been deducted from the circulation table has been based on figures in the end-ofshown by the National Bank of Roumania but year balance sheets of the big banks. this bank has issued its own currency against The annual increases of the note issue may roubles in the reoccupied provinces and in differ slightly from those shown in the graph, Transnistria. since the following table gives end-of-year per- The rise in the note circulation of the Bank centages only for comparison with the similar of France in 1941 was principally due to the in- figures for bank deposits. crease of special advances to cover the costs of The first two sections of the table show that, occupation, but in certain other continental with minor exceptions (of which Denmark is the European countries the dominant influence was most interesting;, note circulations in 1941 rose the financing of the clearings by or through the more rapidly than commercial-bank deposits—a medium of central-bank credit. reversal of the position in 1940 for the United In England, in addition to other factors, States, England and Germany, but the continuaevasion of taxation on commercial operations tion of a longer trend, as is indicated in the third and an increase of "black market" dealings section of the table. The changed relationship have been mentioned as partly responsible for between note circulations during the period from the recent rise of the note circulation; and simi- 19Z9 to 1941 is very remarkable; but, in comlar reasons doubtless hold good for a number of paring the various columns of the table, it must continental European countries also. be remembered that some countries (e.g. Ger- In all countries the increase of the note cir- many and Switzerland) had a considerable culation is in some measure due to the imperfec- volume of foreign deposits in 19x9 and also 38 FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS that the deposits at the big banks taken have not in all countries the same relationship to total commercial-bank deposits (and, indeed, in any single country this relationship is liable to change).8 Nevertheless, in spite of the decline since 1919 (and even since 1937), it is beyond doubt that commercial-bank deposits in the Anglo-Saxon countries have a dominating importance as circulating media; while in continental Europe bank-notes are generally of more importance than deposits. As an example: in England deposits at the big banks are nearly four times as high as the amount of bank-notes; in France deposits with the four big banks are less than 30 per cent and with all the banks less than 60 per cent of the note circulation. COMPARATIVE EVOLUTION OF NOTE CIRCULATIONS AND DEPOSITS WITH THE BIG COMMERCIAL BANKS* End of year se •8*5 •gi/a odg V C u 1 ym tries on the same side of the barrier. Thus, contrasting with the element of isolation, an active element of collaboration is present. In planning for the future, this element of collaboration is regarded as essential by all parties, not least in the field of economic and monetary relationships. This is not surprising: little demonstration is needed—indeed, war conditions provide the evidence—that no single country can become wholly self-sufficient, each being of necessity part of a wider economy. But a difference in conception exists whether this wider economy should be on a world basis or whether collaboration should, in the first place, be worked out in separate, politically defined areas, with arrangements for trade between these areas as larger entities. Nevertheless, it is common ground that a greater degree of economic collaboration must be achieved than, T3 for instance, was realised in the period between the two wars, marked as it was by so many £ measures taken for the sake of narrow national S3 O O p in ends, irrespective of their repercussions on the NOTE CIRCULATIONS—percentage increases on year general welfare. The conception that better economic collab- 1938 5 46 9 18 12 6 2 8 14 1939 11 8 48 29 36 13 36 94 34 17 oration is a necessity in the modern world, so 1940 15 13 19 28 46 34 24 37 4 11 often stressed in official declarations, has un- 1941 28 22 36 22 36 14 32 15 3 mistakably taken root in the minds of a wider BANK DEPOSITS—percentage increases or decreases (—) on*year public, in spite of the nationalism engendered 1938 8 -4 12 -1 11 1 4 13 7 —5 by the war. This same public is certainly aware 1939 14 7 15 9 25 -15 10 -2 5 -3 that difficulties beset the creation of a system 1940 16 15 33 15 47 31 5 33 -1 3 1941 5 18 25 30 24 24 20 12 13 2 based on collaboration, but it feels instinctively that a way can and must be found to estabish BANK DEPOSITS as percentage of NOTE CIRCULATION at end of year effective cooperation without impairing the 1929 457 434 228 87 48 82 258 303 366 512 vital interests of individual countries. 1937 300 402 115 101 32 75265 375 265 214 The problems are many and various. It is 1938 308 386 89 92 30 67 260 415 262 178 not easy to define the monetary and commercial 1939 316 383 69 77 28 50 210 210 204 147 1940 318 391 77 69 28 49 178 203 195 136 obligations to which a country should subscribe 1941 260 379 71 28 45 188 172 192 135 in order to fit its policy into the general eco- * Excepting the United States, for which the 101 weekly reporting nomic scheme. Institutions competent to deal member banks have been taken (as most comparable with the big European commercial banks with many branches), the statistics are with particular sets of problems will be needed, confined to the outstanding big banks in each country as follows: United Kingdom, the "big five" banks; Germany, five Berlin Gross- but undertakings must also be given by the banken; Italy, three banks "of national importance"; France, four various countries setting some limit to their large "societes de credit"; Holland, four biggest banks; Denmark, three biggest banks; Finland, three biggest banks; Sweden, four biggest power to alter, unilaterally and without regard banks; and Switzerland, seven Grossbanken. These big banks account for about 30 per cent of all commercial- to the interests of their neighbours, the exchange bank deposits in Germany; about 50 per cent in Denmark, France and value of their currencies or the main lines of Holland; some 60-70 per cent in the United States, United Kingdom, and Sweden; and 90 per cent in Finland. their commercial practice. Collaboration, if it is to be real, must mean some adaptation of CONCLUSION national policies to the requirements of a com- A great war has a double aspect: on the one mon development, and this implies readiness hand, severance of relations with enemies and, to make not only adjustments but positive conon the other, a closer association among countributions to joint endeavours. Merely to subscribe to general principles or to concentrate on 8 This was particularly true in the United States last year. Deposits with weekly reporting member banks (of which those of New concessions to be made by others will be of York banks amount to nearly one-half) rose by only 5 per cent in 1941, little avail. An individual country may feel these banks being considerably affected by the fall of excess reserves, while deposits at all other member banks increased by over 20 per cent keenly the sacrifice involved in some of the on the year. JANUARY 1943 39 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS measures to be adopted, but the result of the anxious to encourage imports, but the methods alignment should be to ensure a higher degree employed are largely unsuited to. conditions of of lasting welfare for each country than it would normal peaceful intercourse. The new lines to be able to attain by itself. Experience has be struck—different in so many respects both proved that the policy, only too often adopted from those tried before and from those applied before this war, of protecting the immediate during the war—must be inspired by the belief interests of a particular economy by creating that, with modern potentialities of production, hindrances to trade, leads to such disturbances the prosperity of a single nation need not and, in the world generally that even the country indeed, can not be won at the expense of others, applying the policy fails to attain the ends en- and that it is therefore short-sighted to embark visaged. During the war, with the growing upon a policy without regard to the effects it scarcity of supplies, each country is naturally will produce in other countries. 40 FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS FRENCH BUDGET ACCOUNTS BELGIAN BUDGET AND OFFICIAL FINANCING [In milliards of French francs] [In milliards of Belgian francs] 1941 Calendar years 1940 1941 Calendar years (realised 1942 during (estimates) year) Expenditure1 16.9 20.3 Revenue 7.6 15.5 Ordinary budget expenditure 100 105^ Excess of expenditure 9.3 4.8 receipts 72 * 80 Occupation costs 4.5 16.3 deficit 28 Total budget deficit 13.8 21.1 Extraordinary budget expenditure 25 33 Clearing account etc 3.2 8.5 Costs of occupation 130 119H Total to be officially financed by borrowing.... 17.0 29.6 Total deficit 183 178 Financing of clearing account with Germany 12 (25) Method of credit financing:2 Other Treasury charges 8 (10) from central bank 9.3 14.3 from market: short term 5.6 4.7 Total Treasury credit financing 203 (213) middle term 5.4 long term ""o.'s"' 3.5 Borrowing from Bank of France:1 ordinary advances 5 Total official credit financing 15.4 27.9 special advances 67 Other credit financing2 131 1 All expenditure except costs of occupation. 2 As shown by public debt returns and statements of the National 1 From December 26, 1940 to December 24, 1941. Bank and Bank of Issue. The total to be officially financed and the 2 Difference between total credit financing and the amount borrowed actual amount borrowed are not exactly the same for various technical from Bank of France. reasons (movement of Treasury balances, differences in date of returns, etc.) but the figures give a close indication. France: DUTCH OFFICIAL CREDIT FINANCING the payment of occupation costs [In millions of florins] and its financing.* Calendar years 1940 1941 Weekly, in Fr.fcs milliards. Central bank— direct 168 (-248) clearing claims etc 107 945 total 275 697 Market borrowing— •:•:•:•:•: Total of short-term 496 900 '•:•:'•:•:•: " s pecia o l f t a h d e vances middle- and long-term 448 875 B o a n n a k c c o ou f n F t r o a f n th ce e total 944 1,775 costs of occupation Total official credit financing 1,219 2,472 DANISH BUDGETS1 AND OFFICIAL FINANCING [In millions of Danish kroner] Years ending March 31 1939-40 1940-41 1941-42 .standing to the credit ofthe _ v^Reichskreditkassen Revenue 621 900 918 Expenditure 611 843 905 Surplus 9 57 13 cost * s T o h f e o c li c n u e p s a h ti o o w n i n h g a s t h b e e e a n g g d r r e a g w at n e a o s f s u am mi o n u g n t r s e g p u a l i a d r o p n a y ac m c e o n u t n s t a o t f t t h h e e P C a l y ea m ri e n n g t s a c t c o o o u c n c t upying authorities, etc.2. . 4 5 9 1 8 4 4 41 7 4 6 3 3 rate of 400 million French francs a day from June 25,1940 (first payment August 25, 1940), reduced to 300 million French francs from May 11, Total official credit financing (-9) 955 877 1 th 94 e 1 a . mo T u h n e t s r p e e m c a ia in l i a n d g v u a n n d c r e a s w f n o r o n th e th e p a a y c m co e u n n t t o o f f o t c h c e u R pa e t i i c o h n s k c r o e s d t i s t k a a n s d - Financed—from central bank4 83 932 737 sen have been taken from.the weekly returns of the Bank of France. in other ways (-92) 23 139 The amount financed directly by the Treasury is the excess which the aggregate of amounts paid shows above the special advances. 1 Closed budgets 1939-40 and 1940-41; estimates for 1941-42 The amount actually utilised is the difference between the aggregate (including supplementary). paid and the sum remaining undrawn on the account of the Reichs- 2 The increase of "sundry debtors" at Danmarks Nationalbank. kreditkassen. That the amount financed by the Treasury runs for 3 Including proportions of the "adjustment account" at the short periods below zero in the early months reflects the fact that the Nationalbank. special advances from the Bank of France exceeded the amount payable 4 The increase of the items "clearing accounts" and "sundry on account of occupation costs, this being probably due to initial debtors" plus the "adjustment account" and the movement of the expenses incidental to the withdrawal of Reichskreditkassenscheine. government's current account (or overdraft) at the Nationalbank. JANUARY 1943 41 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

CURRENT EVENTS Increased Number of Special Depositaries Death of Class C Director The following is the text of a Treasury Press Clarence Roberts, Editor of The Farmer- Release, December TL, 1942.: Stockman, Oklahoma City, Oklahoma, who had Secretary Morgenthau announced today that served as a Class C Director of the Federal Re- Special Depositaries of the Treasury numbered serve Bank of Kansas City since January 1, 1940, 5,2.60 on December 19, and that they are quali- died on December 4, 1942.. fied to hold $9,354,919,664 of Government de- Mr. Roberts also served as a director of the posits. Oklahoma City Branch from August 2.0, 1937 These figures compare with 3,2.53 depositaries to December xi, 1939. eligible to hold an aggregate of $6,118,913,514 on last October 31, the increase being due to a Death of Branch Director special effort to increase these depositaries, con- E. B. Maupin, Cashier, Peoples National ducted by the Treasury in cooperation with the Bank, Shelbyville, Tennessee, who had served Federal Reserve System. as a director of the Nashville Branch of the In order to keep the funds raised by sale of Federal Reserve Bank of Atlanta since his ap- Government securities in the communities where pointment by the Reserve Bank for the term raised until actually needed to meet Federal beginning January 14, 1939, died on November payments, the Secretary asked the Federal Re- 2-5 > serve Banks to circularize the banks in their districts with a view to having them qualify Appointment of Branch Director for use of the "War Loan Accounts" as Special The Federal Reserve Bank of Atlanta on Depositaries. Those taking advantage of this December 11, 1942., elected B. L. Sadler, Presimethod of participating in Treasury financing dent, First National Bank, Harriman, Tennessee, are thus able to retain the proceeds of the sales a director of the Nashville Branch of the Federal of securities subscribed for their own account Reserve Bank of Atlanta for the unexpired porand those of their customers until called by the tion of the term ending December 31, 1944, to Treasury. fill the vacancy caused by the death of Mr. The number of Special Depositaries, with the Maupin. amounts they were qualified to hold on October 31 and as of December 19, are given by Federal Transfer of Intra-District Territory Reserve Districts in the table that follows: Effective January i, 1943, Brewster County, October 31 December 19 Districts No. Amount No. Amount Texas, was transferred from the territory served Boston 169 % 292,080,000 250 $ 461,116,485 New York 500 3,243,320,139 656 4,317,176,624 by the San Antonio Branch of the Federal Re- Philadelphia 299 324,510,150 431 407,812,235 Cleveland 191 325,120,000 426 557,784,985 serve Bank of Dallas to the territory served by Richmond 173 181,509,500 334 321,232,485 Atlanta; 295 197,260,350 402 282,021,835 the El Paso Branch. Chicago 458 732,010,550 566 1,059,188,285 St. Louis 181 169,577,800 273 241,862,735 Minneapolis 235 79,284,200 949 748,033,950 Kansas City 439 173,393,025 585 232,733,760 Use of Federal Reserve Bank Notes Dallas 230 194,087,000 289 310,428,485 San Francisco 83 316,760,800 99 415,537,800 As a part of the program of the Government Totals 3,253 $6,228,913,514 5,260 $9,354,929,664 to conserve both labor and materials during the Federal Reserve Meeting war period, the Board of Governors, after con- A meeting of the Federal Open Market Com- sultation with the Treasury Department, has mittee was held in Washington on December 14, authorized the Federal Reserve Banks to utilize at this time the existing stock of currency FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

CURRENT EVENTS printed in the early Thirties known as "Federal ing the period November 16, 1942., to December Reserve Bank notes''. The stock of these notes, 15, 1942., inclusive: which is in $5, $10, $io, $50, and $100 denominations, amounts to approximately 660 million Indiana dollars. By making available for use, as French Lick—The French Lick State Bank needed, this stock of unissued paper currency, Washington—The Citizens Loan and Trust which is identical with Federal Reserve Bank Company notes now in circulation, it is estimated that Ohio more than $300,000 will be saved in the cost of printing new currency. In terms of labor and Tiro—The Farmers & Citizens Bank materials, there would be a saving of 1x5,000 Whitehouse—The Whitehouse State Savings man hours in printing alone, and of 45 tons of Bank paper in addition to a substantial saving of Pennsylvania nylon and ink. Pittsburgh—William Penn Bank of Commerce Admissions of State Banks to Membership in the Federal Reserve* System Virginia The following State banks were admitted to Danville—Danville Loan and Savings Bank membership in the Federal Reserve System dur- Waverly—The Bank of Waverly, Incorporated JANUARY 1943 43 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

NATIONAL SUMMARY OF BUSINESS CONDITIONS Compiled December 18 and released for publication December 22. Figures shown on charts may differ from preliminary figures used in text. Aggregate industrial production in November The increase reported for durable manufactures was maintained close to the October level, re- from October to November was in finished flecting a continued growth of output in war munitions and industrial equipment for new industries and a seasonal decline in production plants which will be completed in large number of civilian goods .• Distribution of commodities over the next few months. Steel production, to consumers rose further in November and the at 98 per cent of capacity in November and the first half of December, reducing somewhat the first three weeks of December, was down slightly large volume of stocks on hand. Retail food from the October peak, but the reduction apprices continued to advance. peared temporary as the scrap supply situation had been relieved and as further progress was PRODUCTION being made on construction of additional iron Maintenance of industrial production in and steel capacity. Supplies of iron ore on hand November when the seasonal tendency is down- are regarded as sufficient for operations at capacward was reflected in a rise of the Board's ity until movement of ore down the lakes is seasonally adjusted index from 189 to 191 per resumed in the spring. Shipments from Upper cent of the 1935-1939 average. This rise was Lake ports this year total 92. million tons, and largely accounted for by a further advance in were 15 per cent above the record established output of durable manufactures. Nondurable in 1941. manufactures declined seasonally, while output At cotton textile mills activity was mainof minerals showed less than the usual seasonal tained at a high level in November and at shoe decrease. In all groups of products the pro- factories production declined less than is usual portion of output for war purposes was consider- at this season. Output of manufactured foodably larger than a year ago. stuffs showed a seasonal decline. INDUSTRIAL PRODUCTION DEPARTMENT STORE SALES AND STOCKS 150 TOTAL INDUSTRIAL PRODUCTION 180 / 140 / — — 130 160 -\ — — V/T 120 140 J Jf 110 /I 120 u V 100 SALES A 100 _5Z 90 / / 80 "* x —. j 80 STOCKS ^ 70 20 ~T"-v^— MIN W ERA j LS v i i60 i 0 1 1 OTHER NONDURABLE 5O 1936 1938 1940 1942 1936 1938 1940 1942 1936 1939 1940 1942 Federal Reserve monthly index of physical volume of production, Federal Reserve monthly indexes of value of sales and stocks, adadjusted for seasonal variation, 1935-39 average = 100. Subgroups justed for seasonal variation, 1923-25 average = 100. Latest figures shown are expressed in terms of points in the total index. Latest shown are for November 1942. figures shown are for November 1942. 44 FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

NATIONAL SUMMARY OF BUSINESS CONDITIONS Construction contract awards in November a level 16 per cent higher than in November, were 10 per cent below the level of the three 1941. Prices of such fresh foods as are unconpreceding months, according to data of the F. W. trolled—fruits, vegetables, and fish—showed Dodge Corporation, but were still about 40 the largest advances from October to November, per cent higher than in November of last year. but price increases in controlled items con- As in other recent months, publicly financed tributed about two-fifths of the total rise. work accounted for over 90 per cent of all awards. BANK CREDIT During the period of large-scale Treasury DISTRIBUTION financing in December, total excess reserves of Distribution of commodities to consumers member banks were generally above 2.5 billion increased further in November and December dollars. Substantial purchases of Government with active Christmas buying. At department securities for the Federal Reserve System offset stores, variety stores, and mail-order houses the effect of drains on reserves by the continued serving rural areas, sales in November expanded heavy currency outflow and further increases more than seasonally. In the first half of in required reserves resulting from a rapid growth December department stores sales continued to in bank deposits. rise sharply and were considerably larger than Reserve Bank holdings of Government securia year ago. ties showed an increase of 850 million dollars Freight-car loadings in November declined in the four weeks and reached a total of 5.5 about 7 per cent from their peak levels in Sep- billion on December 16. tember and October but on a seasonally adjusted At reporting member banks in 101 leading basis rose slightly over the October level. Coal cities holdings of United States Government loadings rose somewhat although a decline is securities increased by 800 million dollars in usual in November. Shipments of other com- the four weeks ending December 9. Treasury modities declined seasonally. bills accounted for practically the entire increase, with almost two-thirds of the amount COMMODITY PRICES going to New York City banks. In the week Grain prices advanced from the middle of ending December 16, bond holdings rose sharply November to the middle of December, while as banks received their allotments of the new most other wholesale commodity prices showed 1 % per cent bonds subscribed on November 307little change. December 2.; allotments of this issue to all banks- Retail food prices increased further by 1 per totaled 2. billion dollars, representing 85 per cent in the five weeks ending November 17 to cent of subscriptions. COST OF LIVING MEMBER BANK RESERVES AND RELATED ITEMS FACTORS SUPPLYING RESERVE FUNDS J/ T TREASURY RESERYE BANK CREDIr 1937 1938 1939 1940 1941 1942 Bureau of Labor Statistics' indexes, 1935-39 average = 100. Fif- Wednesday figures. Latest figures shown are for December 23, teenth of month figures. Last month in each calendar quarter through 1942. September 1940, monthly thereafter. Latest figures shown are for November 1942. JANUARY 1943 45 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

FINANCIAL, INDUSTRIAL, AND COMMERCIAL STATISTICS UNITED STATES Member bank reserves, Reserve Bank credit, and related items.... 49 Federal Reserve Bank discount rates; rates on time deposits, reserve requirements, margin requirements ... 50 Federal Reserve Bank statistics . . 51—55 Guaranteed war production loans 55 Reserve position of member banks; deposits in larger and smaller centers .... 56 Money in circulation. . 57 Gold stock and gold movements; bank suspensions; bank debits 58 All banks in the United States, number, deposits, loans and investments .... 59 Condition of all member banks . . 60-61 Weekly reporting member banks ... 62.-65 Commercial paper, bankers' acceptances, and brokers' balances. . 66 Money rates and bond yields . 67 Security markets . 68 Corporate profits 69-70 Treasury finance. 71-73 Governmental corporations and credit agencies. . 74 Business indexes . ,75 -85 Department store statistics . 86-87 Consumer credit statistics . 88-89 Wholesale prices . . . . 90 Current statistics for Federal Reserve chart book . 9I-93 December crop report, by Federal Reserve districts. 93 Tables on the following pages include the principal available statistics of current significance relating to financial and business developments in the United States. The data relating to the Federal Reserve Banks and the member banks of the Federal Reserve System are derived from regular reports made to the Board; index numbers of production are compiled by the Board on the basis of material collected by other agencies; figures for gold stock, money in circulation, Treasury finance, and operations of Government credit agencies are obtained principally from statements of the Treasury, or of the agencies concerned; data on money and security markets and commodity prices and other series on business activity arc obtained largely from other sources. Back figures may in most cases be obtained from earlier BULLETINS and from Annual Reports of the Board of Governors for 1937 and earlier years. JANUARY 1943 47 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MEMBER BANK RESERVES AND RELATED ITEMS BILLIONS OF DOLLARS WEDNESDAY FIGURES BILLIONS OF DOLLARS 24 24 TREASURY CASH AND DEPOSITS NONMEMBER JJEPOSITS^ ^ 1936 1937 1938 1939 1940 1941 1942 10 10 8 8 v REQURED RESERVE - 6 6 r '— - Lv - A \ 4 ^/EXCESS RESERVES 2 Mv^ If 0 1936 1937 1938 1939 1940 1941 1942 Latest figures for December 23. See page 49. 8 4 FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MEMBER BANK RESERVES, RESERVE BANK CREDIT, AND RELATED ITEMS [In millions of dollars] Reserve 1Bank credit outstanding Member bank reserve U. S. Government Treas- u T ry r e d a e s- - Other balances Date c B d o e i i u l d s l n - s t- Total sec T u a b u r r n e i r i l a d y t l i s s e - s o A th l e l r ot A h l e l r1 Total s G to o c ld k s r t i c u e o a n u n r u n g y r c t d - - y - M i c n t u o io c l n a n i e - r y - T c i h r n u a o e g r s l y a h s d s - - F B p e w s o d a R e i s e n r t e i v h r k t - e a s s l b p m N e o r e o s m n d it - e s - - c s F o e e a R e u r r c v e a d n - - e l - ts Total Excess2 certificates Monthly averages of daily figures: 1941—Sept 12 2,184 2,184 101 2,297 22,740 3,188 10,061 2,379 476 1,836 289 13,184 5,116 Oct. 8 2,184 2,184 130 2,322 22,779 3,208 10,270 2,220 525 1,905 292 13,097 5,001 Nov 6 2,184 2,184 121 2,311 22,786 3,225 10,496 2,194 669 1,774 290 12,900 3,611 1942—Sept. 11 3,488 'MOO' 2,388 224 3,722 22,750 3,346 13,441 2,208 254 1,321 294 12,299 2,300 Oct 9 4,013 1,130 2,883 268 4,290 22,752 3,361 13,951 2,233 349 1,345 290 12,234 2,328 Nov. 9 4,746 1,151 3,595 285 5,041 22,741 3,374 14,473 2,247 219 1,323 275 12,618 2,362 End of month figures: 1941—Sept. 30 11 2,184 2,184 69 2,264 22,761 3,198 10,163 2,281 423 1,838 292 13,227 5,169 - Oct 31 6 2,184 2,184 119 2,309 22,800 3,219 10,364 2,207 987 1,899 290 12,580 4,557 Nov. 29 6 2,184 2,184 122 2,312 22,785 3,231 10,640 2,188 429 1,644 288 13,140 3,828 1942—Sept. 30 8 3,567 M61 2,407 199 3,774 22,754 3,353 13,703 2,222 661 1,407 296 11,592 1,690 Oct. 31 11 4,667 1,207 3,459 282 4,959 22,740 3,368 14,210 2,261 252 1,326 283 12,735 2,644 Nov. 30 7 5,399 1,570 3,829 308 5,714 22,743 3,381 14,805 2,236 6 1,320 263 13,208 2,909 Wednesday figures: 1942—Feb. 4 4 2,243 2,243 70 2,316 22,738 3,259 11,231 2,201 376 1,367 289 12,849 3,326 Feb. 11 3 2,243 2,243 86 2,331 22,741 3,263 11,319 2,194 319 1,310 288 12,905 3,357 Feb. 18 3 2,250 2,250 151 2,404 22,712 3,264 11,339 2,181 264 1,251 288 13,058 3,460 Feb. 25 4 2,262 2,262 125 2,392 22,715 3,266 11,422 2,189 798 1,154 288 12,521 2,878 Mar. 4 6 2,262 2,262 134 2,402 22,705 3,269 11,518 2,180 287 1,270 286 12,835 3,208 Mar. 11 6 2,253 2,253 88 2,347 22,709 3,271 11,520 2,176 60 1,317 286 12,968 3,266 Mar. 18 6 2,249 2,249 96 2,351 22,686 3,273 11,474 2,168 59 1,373 297 12,939 3,161 Mar. 25 6 2,244 2,244 76 2,326 22,684 3,274 11,462 2,175 472 1,352 296 12,527 2,847 Apr. 1 9 2,244 2,244 86 2,339 22,672 3,277 11,593 2,187 362 1,354 295 12,496 2,999 Apr. 8 7 2,243 2,243 134 2,384 22,675 3,279 11,610 2,177 190 1,350 295 12,715 3,169 Apr. 15 9 2,254 " io 2,244 152 2,415 22,678 3,280 11,624 2,166 301 1,485 295 12,502 2,886 Apr. 22 4 2,296 48 2,247 100 2,400 22,686 3,284 11,642 2,189 243 1,531 296 12,470 2,752 Apr. 29 7 2,350 89 2,261 86 2,443 22,689 3,286 11,723 2,186 128 1,421 297 12,662 2,815 May 6 8 2,436 137 2,299 128 2,572 22,703 3,291 11,845 2,193 376 1,413 295 12,444 2,691 May 13 8 2,484 185 2,299 119 2,612 22,706 3,294 11,861 2,191 158 1,440 295 12,667 2,925 May 20 5 2,445 145 2,299 128 2,578 22,709 3,299 11,888 2,188 304 1,427 293 12,486 2,565 May 27 6 2,489 183 2,306 89 2,584 22,712 3,302 11,971 2,197 239 1,430 293 12,467 2,535 June 3 6 2,532 226 2,306 185 2,723 22,715 3,306 12,141 2,188 110 1,358 293 12,653 2,783 June 10 6 2,568 252 2,316 135 2,708 22,717 3,310 12,176 2,213 92 1,333 293 12,629 2,782 June 17 5 2,579 257 2,322 220 2,803 22,729 3,311 12,208 2,189 160 1,277 304 12,706 2,791 June 24 5 2,583 254 2,329 110 2,698 22,735 3,313 12,231 2,191 139 1,358 303 12.523 2,648 July 1 3 2,728 391 2,337 142 2,873 22,739 3,314 12,416 2,195 485 1,341 297 12,192 2,259 July 8 3 2,909 553 2,356 157 3,069 22,740 3,315 12,489 2,190 548 1,353 297 12,246 2,322 July 15 4 3,038 673 2,365 185 3,227 22,742 3,319 12,502 2,201 946 1,302 295 12,042 2,065 July 22 5 3,047 679 2,367 144 3,196 22,745 3,321 12,546 2,223 298 1,347 295 12,551 2,296 July 29 5 3,110 743 2,367 122 3,237 22,746 3,322 12,647 2,224 183 1,411 296 12,545 2,196 Aug. 5 5 3,303 928 2,374 137 3,446 22,739 3,328 12,794 2,204 285 1,333 295 12,602 2,246 Aug. 12 5 3,387 1,012 2,375 120 3,512 22,742 3,332 12,870 2,206 174 1,331 296 12,709 2,381 Aug. 19 4 3,448 1,073 2,375 163 3,615 22,744 3,333 12,956 2,206 240 1,344 294 12,653 2,103 Aug. 26 5 3,389 1,011 2,378 131 3,525 22,747 3,337 13,057 2,219 176 1,338 293 12,526 2,342 Sept. 2 9 3,388 996 2,392 144 3,542 22,756 3,341 13,250 2,216 146 1,318 291 12,418 2,262 Sept. 9 13 3,502 1,100 2,403 188 3,703 22,745 3,343 13,389 2,205 214 1,290 290 12,402 2,348 Sept. 16 10 3,573 1,212 2,361 274 3,857 22,747 3,346 13,440 2,206 6 1,239 299 12,760 3.039 Sept. 23 9 3,395 1,025 2,370 178 3,581 22,750 3,349 13,519 2,200 485 1,292 298 11,886 2,034 Sept. 30.... 8 3,567 1,161 2,407 199 3,774 22,754 3,353 13,703 2,222 661 1,407 296 11,592 1,690 Oct. 7 8 3,592 1,104 2,488 184 3,784 22,756 3,356 13,830 2,235 393 1,342 295 11,801 2,291 Oct. 14 11 3,809 1,101 2,708 222 4,042 22,758 3,359 13,932 2,228 123 1,283 291 12,303 2,713 Oct. 21 7 4,225 1,111 3,114 261 4,494 22,745 3,363 13,995 2,238 521 1,254 290 12,304 2,352 Oct. 28 9 4,441 1,137 3,304 127 4,578 22,739 3,366 14,082 2,249 372 1,448 286 12,246 2,158 Nov. 4 11 4,551 1,064 3,486 119 4,680 22,739 3,369 14,312 2,260 361 1,363 283 12,211 2,118 Nov. 11 10 4,658 1,113 3,545 256 4,925 22,741 3,373 14,408 2,234 234 1,391 278 12,493 2,402 Nov. 18 8 4,695 1,091 3,603 343 5,045 22,741 3,375 14,465 2,249 300 1,252 274 12,622 2,489 Nov. 25 10 4,843 1,117 3,725 229 5,083 22,742 3,377 14,648 2,239 68 1,233 267 12,746 2,518 Dec. 2 9 5,140 1,217 3,923 311 5,460 22,743 3,381 14,848 2,243 94 1,300 259 12,840 2,504 Dec. 9 9 5,546 1,495 4,051 258 5,813 22,743 3,383 14,986 2,192 60 1,183 252 13,267 2,804 Dec. 16 9 5,537 1,460 4,077 508 6,055 22,744 3,440 15,092 2,184 13 1,163 269 13,517 2,637 Dec. 23 10 5,627 1,515 4,112 655 6,292 22,735 3,569 15,329 2,182 497 1,191 268 13,129 2,192 1 Includes industrial advances shown separately in subsequent tables. 2 End of month and Wednesday figures estimated. NOTE.—For description of figures in this table and discussion of their significance, see BULLETIN for July 1935, pp. 419-429. Reprints of article, together with available back figures, may be obtained upon request. Back figures are also shown in Annual Report for 1937 (tables 3 and 4) and for excess reserves in BULLETIN for August 1935, pp. 499-500. JANUARY 1943 49 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

FEDERAL RESERVE BANK DISCOUNT RATES [In effect December 31,1942. Per cent per annum] Discounts for and advances to member banks Advances to individuals, partnerships, or cor- Federal Reserve Bank G t w A m u o 9 i r d v a t i 0 v h e t t u i a r i d e n n n r a s i c m y n o e n s g e s n o — n e t o s t e S y r e s c e e x c e u c a c a c r . r e l e u 1 l e d ( a r d 3 m i b i t ) b n l i a e y e g - s o a d r e n a t i l t h A d y t i i g i e e s d e r s i a — b s v d , n G l a v e S a o n o a e n c t p v n c e d a e e . c s p x r e d 1 n e c s s i 3 r e e m s s c e c e a e u ( d o c n m n r i u u n e d t n a r d g e t t s 1 s u d b 9 e 3 r c o y 0 b i a u - f y ) - 1 O i [ n m t g h a e 4 t r u m r s it o e i c s e . u s — r n e S d o e ' t a c d e . x v 1 c a 0 e n ( e c b d e ) - ] s T p b o o y r n a n d o t o i i n o t r m e n e c s e x t m c o o e b e t b h e d l r i e i g n r b a g t a t i 9 h n o 0 a k n n d s s a o y m f s e — t m he l b a U e s r t . p T S b a . o a r . n ( o m k S t s h e a e c t s . r u e s 1 r c 3 i u t ) i r e e s d Rate Effective Rate Effective Rate Effective Rate Effective Rate Effective B N o ew st o Y n ork O O c c t t . . 2 3 7 0 , , 1 1 9 9 4 4 2 2 A Se u p g t . . 25 1 , , 1 1 9 9 3 3 9 9 O O c c t t . . 3 2 0 7 , , 1 19 9 4 4 2 2 A Se u p g t . . 2 1 5, , 1 1 9 9 3 3 9 9 V 2 O O c c t t . . 3 2 0 7 , , 1 1 9 9 4 4 2 2 P C h le il v a e d la e n lp d hia O O c c t t . . 2 1 7 7 , , 1 1 9 9 4 4 2 2 M Ap a r r . . 2 11 1 , , 1 1 9 9 4 4 2 2 O Se c p t. t . 1 1 7 2 , , 1 1 9 9 4 4 2 2 M Ap a r r . . 2 1 1 1 , , 1 1 9 94 4 2 2 & O O c c t t . . 2 1 7 7 , , 1 1 9 9 4 4 2 2 Richmond Oct. 28, 1942 Mar. 14, 1942 Oct. 28, 1942 Mar. 14, 1942 Oct. 28, 1942 Atlanta Oct. 15, 1942 Mar. 21, 1942 Oct. 15, 1942 Sept.16, 1939 Oct. 15, 1942 Chicago Oct. 17, 1942 Feb. 28, 1942 Aug. 29, 1942 Sept. 1, 1939 2 Oct. 17, 1942 St. Louis Oct. 27, 1942 Mar. 14, 1942 Mar. 14, 1942 Sept.16, 1939 2 Oct. 27, 1942 Minneapolis Oct. 30, 1942 Mar. 28, 1942 Oct. 30, 1942 Mar. 28, 1942 Oct. 30, 1942 Kansas City Oct. 27, 1942 Apr. 11, 1942 Oct. 27, 1942 Sept.16, 1939 Oct. 27, 1942 D Sa a n l l F as ra .. n ci m sco O O c c t t . . 2 1 8 7 , , 1 1 9 9 4 4 2 2 M Ap a r r . . 21 4 , , 1 19 9 4 4 2 2 O O c c t t . . 2 1 8 7 , , 1 1 9 9 4 4 2 2 A Se p p r t . .1 4 6, , 1 1 9 9 3 4 9 2 O O c c t t . . 2 1 8 7 , , 1 1 9 9 4 4 2 2 1 Discounts of certain bankers' acceptances and of agricultural paper may have maturities not exceeding six months and nine months, respectively. Rates shown also apply to advances with maturities not exceeding 15 days secured by obligations of Federal Intermediate Credit Banks maturing within six months. FEDERAL RESERVE BANK BUYING RATES ON BILLS FEDERAL RESERVE BANK RATES ON INDUSTRIAL AD- VANCES AND COMMITMENTS UNDER SECTION 13b [Per cent per annum] OF THE FEDERAL RESERVE ACT Rate on In effect be- Previous Maturities not exceeding five years Maturity Dec. 31 ginning— rate [In effect December 31. Per cent per annum] Treasury billsl y Apr. 30, 1942 To industrial or Bankers' acceptances :2 8 commercial To financing institutions 1- 90 days Oct. 20, 1933 1 businesses 91-120 days do 1 121-180 days i do 1^ Discounts or Federal Reserve purchases 1 Established rate at which Federal Reserve Banks stand ready to buy Bank all 2 T M r i e n a i s m u u ry m b b il u ls y in o g ff e r r a e t d e . s on prime bankers' acceptances. adva O n n ces co m m O e m n n t i s t- fo p r o w O rt n h io ic n h On re- m O it n m c e o n m ts institu- maining tion is portion MEMBER BANK RESERVE REQUIREMENTS obligated [Per cent of deposits! Boston New York Net demand deposits1 de T p i o m s e its P C h le il v a e d la e n lp d hia ^-1>I <«) 5/4-lM C r b e e c a s n i e n t t r y k r v s a e l R b e c a s i n t e y k rv s e C b o a u n n k tr s y m ba e n ( m a k l b s l e ) r A S R C t i t h . c l i a h L c n m a o g t u a o o i n s d 2 2 H ^- - 5 5 Vrvk "I 2^ ( 0 ( - 5 3 ) ) $rVA M J M A A u p u a a n r g y r e . . . 2 1 1 1 1 6 6 1 , , , , , 1 1 1 1 1 9 9 9 9 9 1 3 3 3 3 7 8 7 6 7 - - - - - A O A F A u e c p p g b t r r . . . . . 1 2 3 3 1 5 8 0 1 5 , , , , , 1 1 1 1 1 9 9 9 9 9 3 3 3 4 3 6 7 7 1 8 2 2 1 1 2 9 2 2 3 6 3 % M ^ 2 1 1 1 1 0 0 5 7 7 H H I 1 1 1 O 7 2 4 2 M H f K D S M a a a n i l n n l s n F a a s e r s a a p n C o c i l i t i s y s co 2H-5 V Yz 2 - - V IH A 8 ( 6 3) 5 y Y l * A r - - ^ v V A A A N A Se u o p g v t . . . 2 1 0 1 4 , , , 1 1 1 9 9 9 4 4 4 2 2 1 - - - S A O e u c p t g . t . . 1 1 3 2 9 , , , 1 1 1 9 9 9 4 4 4 2 2 2 2 2 2 6 4 2 2 2 2 0 0 0 1 1 1 4 4 4 6 6 1 2 RR In aa c tt l ee u d cchh in aa g rrg g l ee o dd a n bb s oo m rrrroo a w d w e ee rr i n ll ee p ss a ss r cc ti oo c mm ip mm at ii i tt o mm n ee w nntt i t r h a t f e in . ancing institutions. Effective Oct. 3, 1942 20 20 14 6 6 4 ^^ M RRa a t y e c c h hh a ad r r g g e e d s b a b m o e rr o ra w te e r. as charged borrower by financing institution, if 1 See footnote to table on p. 56 for explanation of method of computing low B e F r i . nancing institution is charged per cent on undisbursed portion of net demand deposits. loan under commitment. MARGIN REQUIREMENTS* MAXIMUM RATES ON TIME DEPOSITS [Per cent of market value] Maximum rates that may be paid by member banks as established by the Board of Governors under provisions of Regulation Q P R re e s s c e r r i v b e e d S y b s y E t e x B m c o h a i a r n n d a g o c e c f o A G rd c o t a v n e o c r f n e o 1 w r 9 s 3 it 4 o h f t S h e e c F ur e i d ti e e r s al O A 1 c 1 p 9 t 9 r . 3 3 . 6 3 7 1 - 1 , , E N f o f 1 e 9 v c 3 . t 7 i 1 v , e [P N er o v c . en 1, t 1 p 9 e 3 r 3 - annu F m e b ] . 1,1935- Effective Jan.31,1935 Dec. 31,1935 Jan.1,1936 Fo l r i st e e x d t e s n e s c i u o r n i s t ie o s f , u c n re d d e i r t R b e y g u b l r a o t k io e n rs T and dealers on J 40 Savings deposits 3 2 y 2 2Y2 For short sales, under Regulation T 50 Postal savings deposits... 6 23>^ For loans by banks on stocks, under Regulation U...'. 40 Other deposits payable: 1 Reg. T andU limit the amount of credit that may be extended on a I I n n 9 6 0 m d o a n y t s h s t o o 6 r m mo o n re th — s. 3 3 2y2 2y 22 security by prescribing a maximum loan value, which is a specified In less than 90 days 3 1 percentage of its market value at the time of the extension; the "margin requirements" shown in this table are the difference between the market NOTE.—Maximum rates that may be paid by insured nonmember banks value (100%) and the maximum loan value. as established by the F. D. I. C, effective February 1, 1936, are the 2 Requirement under Reg. T was the margin "customarily required" same as those in effect for member banks. Under Regulation Q the rate by the broker. 3 Reg. U became effective May 1, 1936. payable by a member bank may not in any event exceed the maximum NOTE.—Regulations T and U also provide special margin requirements on rate payable by State banks or trust companies on like deposits under "omnibus" accounts and loans to brokers and dealers. the laws of the State in which the member bank is located. 5° FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

PRINCIPAL ASSETS AND LIABILITIES OF ALL FEDERAL RESERVE BANKS [In thousands of dollars] Wednesday figures End of month 1942 1941 Dec. 23 Dec. 16 Dec. 9 Dec. 2 Nov. 25 Nov. 18 Nov. 11 Nov. 4 Nov. Oct. Nov. Assets Gold certificates on hand and due from U. S. Treasury 20,539,65220,561,280 3,554,61420,554,61320,554,616 10,548,61420,562,615 !0,554,12620,556,110 20.554,127 20,,5555.3,019 Redemption fund—F. R. notes.. 31,722 21,321 17,164 18,090 18,820 17,880 14,003 15,081 16,590 15,101 15,496 Other cash 324,388 295,563 239,540 231,166 235,894 242,067 231,862 232.746 226,392 243,806 253,331 Total reserves 20,895,76220,878,16420,811,31820,803,86920,809,33020,808,56120,808,48020,801,95320,799,092 20,813,03420,821,846 Bills discounted: For member banks 5,494 4,478 3,753 4,005 5,215 2,960 5,460 5,540 3,855 5,970 For nonmember banks, etc. 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 3,500 5,000 Total bills discounted.... 10,494 9,478 8,753 9,005 10,215 7,960 10,460 10,540 7,355 10,970 Industrial advances 14,093 14,513 15,227 14,977 15,212 15,551 15,396 14,994 14,900 14,312 9,825 U.S. Government securities: Direct Bonds 2,762,789 2,729,722 2,677,508 2,553,756 2,367,665 2,264,830 2,210,919 2,160,512 2,463,644 2,144,890 1,402,200 Notes 1,315,952 1,315,952 1,346,752 1,346,752 1,335,493 1,316,457 1,311,857 1,308,859 1,342,997 1,297,359 777,300 Certificates 955,982 949,041 918,521 781,724 735,900 715,400 672,466 634,448 1,187,214 726,201 Bills 558,990 511,014 576,038 435,367 381,572 376,005 440,571 429,911 382,869 480,930 Guaranteed 33,184 31,414 26,978 22,266 22,126 22,126 22,126 17,126 22,126 17,126 4,600 Total U .S. Government securities, direct and guaranteed 5,626,897 5,537,143 5,545,797 5,139,865 4,842,756 4,694,818 4,657,939 4,550,856 5,398,850 4,666,506 2,184,100 Other Reserve Bank credit outstanding 640,853 493,394 242,723 296,010 214,405 326,709 240,720 103,681 293,062 267,449 112,539 Total Reserve Bank credit outstanding... 6,292,337 6,054,528 5,812,500 5,459,857 5,082,588 5,045,038 4,924,515 4,680,071 5,714,167 4,959,237 2,312,332 Liabilities ^ F.R. notes in actual circulation. 12,154,90612,019,10311,902,21311,807,87811,616,26311,447,36911,379,876 11,302,299 11,756,46311,220,315 7,669,255 Deposits: Member bank —reserve account 13,128,94513,517,08713,266,842 12,839,660 12,745,566 12,621,976 12,492,74712,210,59513,208,176 12,735,009 13,139,701 IJ. S. Treasurer—general account 497,054 13,117 60,054 94,281 68,419 299,631 233,675 360,777 5,854 251,651 429,454 Foreign 795,042 801,819 796,846 916,586 907,123 913,006 914,157 894,211 916,279 948,544 1,014,985 Other deposits 396,427 361,070 385,785 383,272 325,486 338,861 476,901 468,981 403,870 377,724 629,316 Total deposits 14,817,46814.693,09314,509,52714,233,79914,046,59414,173,47414,117,48013,934,56414,534,17914,312,92815,213,456 Ratio of total reserves to deposit and F.R. note liabilities combined (per cent) 77.5 81.1 81.2 81.6 82.4 79.1 81.5 91.0 MATURITY DISTRIBUTION OF BILLS AND U. S. GOVERNMENT SECURITIES HELD BY FEDERAL RESERVEBANKS [In thousands of dollars] Total 1 W 5 i d th a i y n s 16 d a t y o s 30 31 d a to y s 60 61 d t a o y 9 s 0 9 m 1 o t o d n a 6 t y h s s 6 1 m t y o o e n a t r hs 2 1 y y t e o e a a r r s 5 2 y y t e o e a a r r s s 5 O y v e e a r rs Bills discounted: Dec 2 9,005 3,760 2,545 1,075 1,625 Dec 9 8 753 5 855! 177 598 1,436 690 Dec. 16 9,478 j 6,591 1,145 55 1,638 49 Dec. 23 10,494 7.503 1,100 274 1,570 47 Industrial advances: Dec 2 14,977 8,575 346 432 2,238 596 1,247 892 651 Dec 9 15,227 8,586 419 339 2,392 654 1,097 1,057 683 Dec. 16 14,513 10,128 524 189 422 439 1,279 884 648 Dec. 23 14,093 9,897 454 328 313 398 1,281 1,009 413 U. S. Government securities, direct and guaranteed: Dec. 2 5,139,865 62,265 80,669 189,406 454,002 161,875 471,074 295,575 1,284,564 2,140,435 Dec. 9 5,545,797 90,592 70,120 598,332 103,520 281,414 556,008 295,575 1,356,936 2,193,300 Dec. 16 5,537,143 108,865 62,282 595,808 139,485 238,245 543,997 241,575 1,385,120 2,221,766 Dec. 23 5 626 897 79 376 135,956 558,569 163,565 255,495 550,938 241,575 1,392,807 2,248,666 JANUARY 1943 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

STATEMENT OF CONDITION OF THE FEDERAL RESERVE BANKS, BY WEEKS [In thousands of dollars] Total Boston N Y e o w rk d P e h lp il h a i - a C l l a e n v d e- R m i o c n h d - Atlanta Chicago L S o t u . is M ap in o n l e is - K C s a i a t n s y - Dallas F c S i r s a a c n n o - A ssets Gold certificates on hand and due from U. S. Treasury: Dec. 2 20,554,613 186,5136,847,466 ,168,5051,791,416 960,915 736,7343,603,564 691,535 433,495 669,633500,550 1,964,287 Dec. 9 20,554,614 182,4546,807,7101,173,213 ,766,971 950,453 747,1223,682,515 691,660 430,415 653,652502,7001,965,749 Dec. 16 20,561,280 187,4896,960,010 ,134,5021,694,564 931,963 743,6583,671,097 680,393 439,155 645,987 501,1071,971,355 Dec. 23 20,539,652 ,129,681 ,180,9941,128,8481,652,163 929,348 720,317 ,604,533 682,671428,975 658,060 484j340 1,939,722 Redemption Fund— Federal Reserve notes: Dec. 2 18,090 1,436 1,474 1,179 478 2,719 239 1,799 287 251 435 431 7,362 Dec. 9 17,164 1,395 1,290 1,103 426 2,313 207 1,743 273 245 423 422 7,324 Dec. 16 21,321 1,345 1,057 1,012 1,360 5,267 1,000 1,677 256 237 409 411 7,290 Dec. 23 31,722 1,253 1,771 5,874 1,264 6,704 1,930 1,535 3,220 218 377 381 7,195 Other cash: Dec. 2 231,166 20,190 50,928 11,843 19,252 14,708 13,512 24,105 15,434 7,263 7,740 12,284 33,907 Dec. 9 239,540 20,960 51,630 12,894 17,932 15,814 15,010 23,984 16,949 7,853 8,627 13,460 34,427 Dec. 16 295,563 23,196 52,247 25,345 36,052 15,320 20,547 34,265 20,302 7,914 8,053 14,402 37,920 Dec. 23 324,388 35,711 65,137 20,654 39,240 18,029 25,415 33,140 17,828 7,752 7,718 16,490 37,274 Total reserves: Dec. 2 20,803,869 ,208,1396,899,8681,181,5271,811,146 978,342 750,485 3,629,468 707,256 441,009 677,808513,265 2,005,556 Dec. 9 20,811,318 ,204,8096,860,6301,187,2101,785,329 968,580 762, ,708,242 708,882 438,513 662,702516,5822,007,500 Dec. 16 20,878,164 ,212,030 7,013,3141,160,8591,731,976 952,550 765,205 3,707,039 700,951 447,306 654,449515,9202,016,565 Dec. 23 20,895,762 ,166,645 7,247,9021,155,3761,692,667 954,081 747,6623,639,208 703,719 436,945 666,155501,2111,984,191 Bills discounted: Secured by U. S. Government obligations, direct and guaranteed: Dec. 2 4,005 3,135 620 140 40 Dec. 9 3,685 125 3,020 305 140 25 Dec. 16 4,410 200 3,445 370 150 148 37 Dec. 23 5,428 120 4,360 490 250 148 Other bills discounted: Dec. 2 5,000 2,125 480 460 220 175 610 150 110 145 145 380 Dec. 9 5,068 2,125 480 494 220 175 610 150 110 179 145 380 Dec. 16 5,068 2,125 480 494 220 175 610 150 110 179 145 380 Dec. 23 5,066 2,125 480 494 220 175 610 150 110 177 145 380 Total bills discounted: Dec. 2 9,005 5,260 1,100 600 245 175 610 195 110 185 145 380 Dec. 9 8,753 125 5,145 785 634 245 175 610 195 110 204 145 380 Dec. 16 9,478 200 5,570 850 644 235 175 610 195 110 327 182 380 Dec. 23 10,494 120 6,485 970 744 235 175 610 195 110 325 145 380 Industrial advances: Dec. 2 14,977 462 621 5,051 797 720 532 113 381 2,072 132 4,035 Dec. 9 15,227 470 621 5,114 827 694 537 117 379 2,241 131 4,035 Dec. 16 14,513 447 621 5,068 828 694 481 108 377 1,662 131 4,035 Dec. 23 14,093 447 621 5,027 819 694 504 112 363 1,380 31 4,034 U. S. Government securities, direct and guaranteed: Bonds: Dec. 2 2,559,437 195,600 644,794 193,54 224,659 170,346 122,046 316,559 122,572 68,501 126,088104,691 270,034 Dec. 9 2,684,67 204,483 683,563 204,314 237,972 176,147 126,948 330,126 128,191 72,586 131,965109,326 279,053 Dec. 16 2,741,124 208,712 698,690 208,745 243,217 179,58! 129,505 336,868 130,845 74,188 134,710111,575 284,482 Dec. 23 2,775,71 211,332 707,667 211,409 246,339 181,795 131,117 341,074 132,487 75,138 136,404 112,972 287,977 Notes: Dec. 2 1,363,33' 104,18' 343,464 103,094 119,669 90,737 65,013 168,623 65,292 36,490 67,162 55,768 143,838 Dec. 9 1,366,56' 104,090 347,950 104,001 121,133 89,666 64,620 168,042 65,250 36,945 67,176 55,649 142,042 Dec. 16 1,335,964 101,723 340,52A 101,740 118,540 87,52' 63,119 164,180 63,771 36,155 65,656 54,377 138,649 Dec. 23 1,336,214 101,733 340,668 101,770 118,585 87,518 63,116 164,192 63,780 36,174 65,664 54,383 138,631 Certificates: Dec. 2 781,724 59,742 196,938 59,115 68,617 52,028 37 276 96,686 37,437 20,922 38,511 31,976 82,476 Dec. 9 918,52 69,961 233,871 69,903 81,419 60,266 43,433 112,948 43,858 24,834 45,150 37,404 95,474 Dec. 16 949,04 72,261 241,903 72,272 84,208 62,177 44,837 116,631 45,302 25,686 46,640 38,630 98,494 Dec. 23 955,982 72,785 243,728 72,811 84,842 62,612 45,158 117,469 45,630 25,878 46,979 38,908 99,182 Bills: Dec. 2 435,36' 25,591 140,739 33,045 30,468 22,287 18,508 65,917 19,376 10,962 17,197 13,697 37,580 Dec. 9 576,038 37,256 170,420 39,756 47,842 32,093 26,129 77,647 33,416 16,225 24,243 19,919 51,092 Dec. 16 511,014 36,524 137,646 37,196 42,787 31,827 25,063 59,750 29,907 12,983 25,773 19,525 52,033 Dec. 23 558,990 34,422 173,173 34,727 41,901 31,381 23,558 89,823 26,779 12,125 24,151 18,230 48,720 U. S. Government securities, direct and guaranteed: Total Dec. 2 5,139, 385,120 1,325,935 388,80: 443,413 335,398 242,843 647,785 244,67' 136,875 248,958 206,132 533,928 Dec. 9 5,545,79: 415,790 1,435,804 417,97' 488,366 358,172 261,130 688,763 270,715150,590 268,534 222,298 567,661 Dec. 16 5,537,14; 419,220 1,418,766 419,95; 488,752 361,118 262,524 677,429 269,825149,012 272,779 224,107 573,658 Dec. 23 5,626,89 420,272 1,465,236 420,71: 491,667 363,306 262,949 712,558 268,676149,315 273,198224,493 574,510 FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Federal Reserve Banks—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 l l a e n v d e- m Ri o c n h d - Atlanta Chicago Lo S u t. is M ap i o nn li e s - K C s a i a t n s y - Dallas F S ra an n- Total bills and securities: Dec. 2 5,163,847 385,582 ,331,816 394,952 444,810 336,363 243,550 648,508 244,933 .37,366 251,215206,409 538,343 Dec. 9 5,569,77" 416,385 ,441,570 423,873 489,827 359,111 261,842 689,490 270,971 .51,079 270,979222,574 572,076 Dec. 16 5,561,134 419,867 ,424,957 425,871 490,224 362,047 263,180 678,147 270,081 .49,499 274,768224,420 578,073 Dec. 23 5,651,484 420,839 ,472,342 426,714 493,230 364,235 263,628 713,280 268,932 49,788 274,903224,669 578,924 Due from foreign banks: Dec. 2 J18 Dec. 9 Dec. 16 18 Dec. 23 118 Federal Reserve notes of other banks: Dec. 2 37,57: 1,061 3,779 1,431 1,853 8,796 3,934 3,626 2,926 1,049 3,701 1,367 4,049 Dec. 9 39,94= 856 3,442 1,575 2,425 7,993 3,780 4,258 2,863 1,239 4,588 1,809 5,117 Dec. 16 48,97i 1,194 3,918 1,755 2,591 10,140 5,157 5,211 3,426 2,039 5,492 1,801 6,246 Dec. 23 51,54= 1,228 4,375 1,142 3,194 10,679 4,663 6,454 4,147 1,511 5,275 1,494 7,383 Uncollected items: Dec. 2 1,495,33- 135,17. 315,785 95,518 184,605 124,014 57,503 222,134 70,253 37,372 60,738 55,248 136,990 Dec. 9 1,309,993 121,509 262,284 72,091 170,815 117,467 54,069 156,876 56,866 33,278 56,909 54,638 153,191 Dec. 16 1,829,804 160,757 400,421 126,544 247,852 137,843 89,890 242,182 89,661 42,141 71,912 64,052 156,549 Dec. 23 1,744,14' 164,264 374,54' 100,353 210,501 123,238 85,744 241,201 89,026 38,467 81,465 63,812 171,529 Bank premises: Dec. 2 40,06: 2,726 10,305 4,791 4,336 3,051 1,940 2,922 2,113 1,312 1,060 2,698 Dec. 9 40,063 2,726 10,305 4,791 4,335 3,051 1,939 2,925 2,113 1,312 1,060 2,698 Dec. 16 40,05? 2,726 10,305 4,785 4,335 3,053 1,939 2,925 2,113 1,312 1,060 2,698 Dec. 23 40,022 2,726 10,305 4,766 4,325 3,053 1,939 2,925 2,113 1,312 1,060 2,691 Other assets: Dec. 2 89,75: 6,414 21,955 6,769 8,657 5,974 4,134 11,142 4,183 2,551 4,449 3,671 9,853 Dec. 9 100,42< 7,013 24,441 9,344 9,490 6,505 4,756 12,17 4,554 2,784 4,818 3,974 10,578 Dec. 16 81.90C 5,734 20,328 6,191 8,100 5,386 3,693 10,113 3,759 2,355 3,973 3,372 8,896 Dec. 23 84,91 5, 21,188 6,269 8,098 5,57: 3,868 10,576 3,933 2,500 4,150 3,552 9,322 Total assets: Dec. 2 27,630,48- ,739,0998,583,526 ,684,9932,455,4111,456,542 ,061,548 4,517,8061,031,665620,6591,000,720 81,0212,697,493 Dec. 9 27,871,57 ,753,30: 8,602,690 ,698,8892,462,2251,462,709 ,088,727 4,573,969 1,046,250628,2051,002,805800,6382,751,164 Dec. 16 28,440,07: ,802,31: 8,873,261 ,726,0102,485,0821,471,021 ,129,066 4,645,6231,069,992644,6521,013,403810,6262,769,031 Dec. 23 28,467,91 ,761,5889,130,677 ,694,6252,412,0191,460,860 ,107,506 4,613,6501,071,871630,5231,034,757 95,7992,754,044 Liabilities Federal Reserve notes in actual circulation: Dec. 2 11,807,87: 858,14 2,720,377 827,6281,092,162 761,796 526,1152,343,148 497,504 290,585 418,576245,0961,226,750 Dec. 9 11,902,21' 867,47< 2,735,268 838,6751,108,966 766,095 527,7012,364,615 501,762293,266 419,896243,2071,235,286 Dec. 16 12,019,103 875,3552,765,360 847,2271,122,250 776,694 544,8782,381,196 506,076295,575 422,004241,48'1,240,997 Dec. 23 12,154,906 885,1972,802,31 852,36?1,138,61 785,038 541,9642,409,707 510,254 300\2!54 426,601244,51! 1,258,084 Deposits: Member bank—reserve account: Dec. 2 12,839,661 710,02: 4,704,929 668, 204 1,044,76: 537,282 447,6841,839,47 425,390 266,,165 487,666452,9731,255,112 Dec. 9 13,266,84: 731,9324,907,556 675,96 l,052,54C 538,955 477,2221,908,17- 444,706265,539 496,919479,1631,288,172 Dec. 16 13,517,08' 754,4965,133,62. 669,06C1,026,130 520,646 482,97( 1,922,67- 444,215272,944 495,337482,4171,312,564 Dec. 23 13,128,94! 716,5464,902,81 652,87i 968,334 528,12' 475,30? 1,888,71' 453,902267,347 516,969 472,039 1,285,970 U. S. Treasurer—genera! account: Dec. 2 94,28 87,03* 54: 53S 498 503 125 1,933 Dec. 9 60,05' 53,90( 544 24' 501 865 33 860 Dec. 16 13,11 27i 556 56C 7,242 560 574 1,182 Dec. 23 497,05- 488,81' 523 1,38. 783 1,175 278 1,043 Foreign: Dec. 2 916,586 23,48, 2486,54: 67,84: 65,01' 31,094 24,734 86,21. 21,20C 15,547 20,494 20,494 53,929 Dec. 9 796,846 23,25' 2359,88: 69,04' 66.17C 31,64' 25,17- 87,74, 21,57" 15,823 20,858 20,858 54,806 Dec. 16... 801,815 23,445 2363,59; 69,22< 66,340 31,72: 25,23, 87,97 21,63: 15,864 20,91: 20,91: 54,957 Dec. 23.... 795,04: 24,505 2355,93! 69,181 66,306 31,71 25,22. 87,92: 21,62: 15,856 20,90: 20,90: 54,957 Other deposits: Dec. 2 383,2 5,04; 202,60/ 5, 72,793 10,54; 3,45 5,21- 12,994 11,095 8,054 4,76= 40,818 Dec. 9 385,78. 6,03( 199,886 14,392 58,756 11,15: 5,28- 9,25: 12,211 17,229 4,57i 4,26? 42,746 Dec. 16.... 361,0' 7,43 181,214 9,36C 61,893 10,401 3,71- 14,29: 12,02 11,296 4,035 3,93C 41,470 Dec. 23.... 396,42 7,25i 207,26? 13,336 73,59C 11,41' 3,50; 7,92 14,20' 12,05: 2,248 2, •" 40,743 Total deposits: Dec. 2 14,233,79" 739,13 5,481,11= 742,25: 1,183,32: 579,461 476,40? 1,931,78 460,14. 293,305 516,71 478,35' 1,351,792 Dec. 9 14,509,52: 761,74 5,521,229 759,77J 1,177,851 582,29: 507,9262,006,096 479,084 299,09: 523,21?504,621 1,386,584 Dec. 16 14,693,09; 785,60; 5,678,704 748,21/ l,154,90J 563,33, 512,4932,025,521 478,10' 307,346 520,84"507,8321,410,173 Dec. 23 14,817,46* 748,84i 5,954,835 736,266 1,108,76; 571,78C 505,42- 1,985,16: 490,24: 296,03" 541,293496,1031,382,713 Deferred availability items Dec. 2 1,199,37 114,98( 247.98C 79,674 143,93: 98,261 44,52' 192,746 61,59. 26,68C 53,215 45,534 90,234 Dec. 9 1,067,31 97,16' 211,84C 62,994 139,30: 97,22< 38,46: 152,974 52,92: 25,73: 47,522 40,72i 100,445 Dec. 16 1,336,45 114,43; 294,437 95,006 171,78' 113,83i 57,132 188,447 73,354 31,613 58,358 49,096 88,959 Dec. 23 1,103,34 100,56i 238,68: 70,380 128,42: 86,831 45,525 168,104 58,900 24,07< 54.64C 43,017 84,186 * Less than $500. 1 After deducting $29,000 participations of other Federal Reserve Banks. 2 After deducting $429,092,000 participations of other Federal Reserve Banks on Dec. 2; $436,628,000 on Dec, 9; $437,607,000 on Dec. 16; and $437,736,000 on Dec. 23. JANUARY 1943 53 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Federal Reserve Banks—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 l l a e n v d e- m Ri o c n h d - Atlanta Chicago L S ou t. is M a i p n o n l e is - K C sa i a t s n y - Dallas F c S i r s a a n c n o - Other liabilities, including accrued dividends: Dec. 2 6,000 652 1,601 364 561 429 303 643 160 150 491 226 420 Dec. 9 8,473 693 1,756 2,314 631 457 418 746 190 167 387 257 457 Dec. 16 6,526 684 1,845 401 613 454 327 676 161 154 437 360 414 Dec. 23 6,595 1,788 429 634 442 328 779 169 176 448 296 418 Total liabilities: Dec. 2 27,247,048 ,712, ,451,0731,649,918 2,419,988 1,439,9451,047,,353 4:,468,3191,019,404 610 988,999S769,213'2,669,196 Dec. 9 27,487,530 ,727, ,470,093 1,663,7612,426,762 1,446,0741,074,,5510 4,524,4311,033,958 618 991,023 788.8102,722,772 Dec. 16 28,055,179 ,776,0848,740,346 1,690,8512,449,558 1,454,3211,114,830 4,595,8391,057,698 634, 1,001,646 798,775)2,740,543 Dec. 23 28,082,310 ,735,297 8,997,616 ,659,443 2,376,4351,444,0981,093,2414,563,757 1,059,564 620, 1,022,982 783,933 2,725,401 Capital accounts Capital paid in: Dec. 2 145,453 9,480 53,496 11,751 14,852 5,851 5,174 16,069 4,525 3,072 4,712 4,451 12,020 Dec. 9 145,474 9,484 53,494 11,753 14,853 5,851 5,177 16,069 4,530 3,073 4,720 4,450 12,020 Dec. 16 145,849 9,484 53,648 11,754 14,870 5,863 5,181 16,252 4,531 3,074 4,721 4,450 12,021 Dec. 23 145,999 9,486 53,650 11,747 14,878 5,187 16,306 4,533 3,075 4,722 4,452 12,081 Surplus (section 7): Dec. 2 157,502 10,949 56,651 15,171 14,346 5,236 5,725 22,925 4,966 3,152 3,613 3,976; 10,792 Dec. 9 157,502 10,949 56,651 15,171 14,346 5,236 5,725 22,925 4,966 3,152 3,613 3,976j 10,792 Dec. 16 157,502 10,949 56,651 15,171 14,346 5,236 5,725 22,925 4,966 3,152 3,613 3,976; 10,792 Dec. 23 157,502 10,949 56,651 15,171 14,346 5,236 5,725 22,925 4,966 3,152 3,613 3,976j 10, 792 Surplus (section 13b): Dec. 2 26,781 2,874 7,070 4,393 1,007 3,244 713 1,429 530 1,000 1,137 1,263! 2,121 Dec. 9 \. 26,781 2,874 7,070 4,393 1,007 3,244 713 1,429 530 1,000 1,137 1,263! 2,121 Dec. 16 26,781 2,874 7,070 4,393 1,007 3,244 713 1,429 530 1,000 1,137 1,263: 2,121 Dec. 23 26,781 2,874 7,070 4,393 1,007 3,244 713 1,429 530 1,000 1,137 1,263! 2,121 Other capital accounts: Dec. 2 53,699 2,880 15,236 3,759 5,218 2,266 2,584 9,064 2,240 2,711 2,259 2,118! 3,364 Dec. 9 54,285 2,914 15,382 3,811 5,257 2,304 2,602 9,115 2,266 2,724 2,312 2,139j 3,459 Dec. 16 54,767 2,920 15,546 3,841 5,301 2,3571 2,617 9,178 2,267 2,738 2,286 2,162, 3,554 Dec. 23 55,327 2,982 15,690 3,871 5,353 2,400 2,640 9,233 2,278 2,753 2,303 2,1751 3,649 Total liabilities and capital accounts: Dec. 2 27,630,483 ,739,099 8,583,5261,684, ,455,4111,456,5421,061,548 4,517,806 1,031,665 620,6591,000,720 781,021 2,697,493 Dec. 9 27,871,572 ,753, ,602, ,698,889 2,462, 225 1,462,709 1,727 4,573,969 1,046,250 628,2051,002,805|800,63812,751,164 Dec. 16 28,440,078 ,802,3118,873,2611,726,010 2,485,082 1,471,0211,129,066 4,645.623 1,069,9921644,6521,013,403|810,626|2,769,031 Dec. 23 28,467,919 ,761,588 9,130,6771,694, ,412, ,460,860 1,107 506 4,613,650 1,071,871630,523 1,034,757 795,799 2,754,044 Commitments to make industrial advances: Dec. 2 10,769 233 318 1,491 455 1,210 135 1,668 1,006 4,159 Dec. 9 10,38: 225 318 1,452 441 1,209 135 1,667 837 4,003 Dec. 16 10,708 155 318 1,532 421 1,108 135 1,667 | 3,956 Dec. 23 10,850 153 284 1,497 391 1,108 135 1,687 1,6961. 3,899 54 FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

FEDERAL RESERVE NOTES—FEDERAL RESERVE AGENTS' ACCOUNTS, BY WEEKS [In thousands of dollars] Total Boston Y N o ew rk d P e h lp il h a i - a C l l a e n v d e- R m i o c n h d - Atlanta Chicago Lo S u t. is M ap in o n li e s - K C an it s y as Dallas F S ra an ncisco Federal Reserve Notes: Issued to F. R. Bank by F. R. Agent: Dec. 2 12,266,487899,330 2,829,935856,052 1,126,197789,335 554,161 2,389,116528,457 297,457 430,997 266,041 1,299,409 Dec. 9 12,411,726905,582 2,863,998867,041 1,140,735794,144 563,927 2,419,897 533,193 300,561 435,956 269,653 1,317,039 Dec. 16. . 12,492,51 904,721 2,867,558868,258 1,160,523809,272 577,328 2,430,305535,353 301,118 438,612 270,873 1,328,590 Dec. 23 12,607,792905,488 2,903,491871,138 1,171,422816,375 577,539 2,457,397537,180 306,047 441,509 273,631 1,346,575 Held by Federal Reserve Bank: Dec. 2... 458,609 41,189 109,558 28,424 34,035 27,539 28,046 45,968 30,953 6,872 12,421 20,945 72,659 Dec. 9 509,513 38,106 128,730 28,366 31,769 28,049 36,226 55,282 31,431 7,295 16,060 26,446 81,753 Dec. 16 473,408 29,362 102,198 21,031 38,273 32,578 32,450 49,109 29,277 5,543 16,608 29,386 87,593 Dec 23 452,886 20,291 101,180 18,770 32,811 31,337 35,575 47,690 26,926 5,793 14,908 29,114 88,491 In actual circulation:1 Dec. 2 11,807,878858,141 2,720,377827,628 1,092,162761,796 526,115 2,343, ,504 290,585 418,576 245,096 1,226,750 Dec. 9 11,902,213867,476 2,735,268838,675 1,108,966766,095 527,701 2,364,615 501,762 293,266 419,896 243,207 1,235,286 Dec. 16 12,019,103875,359 2,765,360847,227 1,122,250776,694 544,878 2,381,196506,076 295,575 422,004 241,487 1,240,997 Dec. 23 12,154,906885,197 2,802,311852,368 1,138,611785,038 541,964 2,409,707510 ,'254300,254 426,601 244,517 1,258,084 Collateral held by agent as security for notes issued to bank: Gold certificates on hand and due from U. S. Treasury: Dec. 2 12336 000912,000 ,865,000860,000 1,130,000762,000 560,000 2,410,000 500,000 100,000 440,000 273,000 1,324,000 Dec. 9 12421 000917,000 2,865,000870,000 1,150,000 747,000 570,000 2,440,000 500,000 305,000 440,000 273,000 1,344,000 Dec 16 12455 000912,000 2,890,000870,000 1,170,000 737,000 560,000 2,470,000 480,000 305,000 440,000 277,000 1,344,000 Dec. 23 12398 000888,000- 2,915,000795,000 1,180,000 727,000 550,000 2,470,000 480,000 310,000 440,000 279,000 1,364,000 Eligible paper: Dec. 2 3 865 3,135 620 25 45 40 Dec. 9 3 579 125 3,020 305 25 45 59 Dec. 16 4 257 200 3,445 370 15 45 182 Dec. 23 5 210 120 4,360 490 15 45 180 U. S. Gov't. securities: Dec. 2 90 000 50,000 40,000 Dec. 9 90 000 50,000 40,000 Dec. 16 195 000 100,000 20,000 75,000 Dec. 23 355 000 20,000 100,000 125,000 30,000 75,000 5,000 Total collateral: Dec. 2 2,429,865 912,000 38,135560,620 1,130, 512,025 560,000 2,410,000540,045 300,000 440,040 273,000 1,324,000 Dec. 9 2,514,579 517,125 )8,020570,305 1,150,000 '97,025 570,000 2,440,000540,045 305,000 440,059 273,000 1,344,000 Dec. 16 2,654,257 )12,2OO 2,893,445 !7O,37O 1,170,000 837,015 180,000 2,470,000555,045 305,000 440,182 277,000 1,344,000 Dec. 23... 2,758,210 )08,120 ,919,360 595,490 1,180,000 852,015 80,000 2,470,000555,045 310,000 445,180 279,000 1,364,000 1 Includes Federal Reserve notes held by U. S. Treasury or by a Federal Reserve Bank other than the issuing Bank. INDUSTRIAL ADVANCES BY FEDERAL RESERVE BANKS WAR PRODUCTION LOANS GUARANTEED BY WAR DE- [Amounts in thousands of dollars] PARTMENT, NAVY DEPARTMENT, AND MARITIME COMMISSION THROUGH FEDERAL RESERVE W D ed a n te e s ( d l a a y st or Ap a p p l p i r c o a v ti e o d ns b p u r A o t p v n - e o d t va o A n u d c t - - es C m om en m ts it- P p a a r t t io ic n i s - BA [ N A K m S o u U nt N s D in E t R h ou R s E an G d U s L of A d T o I l O la N rs ] V las p t e r d i a o y d ) of Number Amount (a p m c l o e o m te u - d n 1 t) s ( t a a m n o d u in n g t) 2 ( s a ta m n o d u i n ng t) ( s a t m an o d u i n n t g ) Gua a r u a t n h t o e r e i d z e l d oans Gua o r u a t n st t a e n ed d in lo g ans a A v a a d m i d l i a o t b i u o l n e n t al to borrowers 1934 984 49,634 20,966 13,589 8,225 1,296 Date under guar- 1 1 1 9 9 9 3 3 3 5 6 7 2 1 2 , , , 9 2 4 9 8 0 3 0 6 1 1 1 2 3 5 4 9 0 , , , 4 8 9 9 2 8 3 9 7 1 8 3 1 , , , 2 3 5 2 4 6 6 8 9 3 2 2 2 5 0 , , , 4 5 2 9 2 1 3 6 6 2 2 1 7 0 2 , , , 6 9 7 4 5 8 9 9 0 8 7 7 , , , 7 2 2 7 0 3 8 8 8 Number Amount am To o t u a n l t g P u o te a r e r ti d a o n n - o an u t t m e s e t e a n a n g t d s r i e n e g - 1938 2,653 175,013 1,946 17,345 14,161 12,722 1 1 9 9 3 4 9 0 2 2 , ,7 9 8 0 1 8 2 1 1 8 2 8 , , 5 2 1 2 0 2 1 2 3 , , 6 9 5 5 9 4 1 9 3 , , 1 6 5 8 2 3 9 5 , , 2 22 2 6 0 1 6 0 , , 3 9 8 8 6 1 May 31... 282 100,290 C1) C1) <}) 1941 June 30... 565 310,680 81,108 69,674 137,888 June 25 3,067 238,505 8,090 10,549 13,072 14,011 Dec. 31 3,202 279,860 8,294 10,337 14,597 19,600 July 31.. 932 509,012 151,154 131,097 158,340 1942 August 31 1,329 705,842 294,720 244,532 206,609 Jan. 28 3,224 281,617 7,612 9,752 14,272 19,388 Feb. 25 3,241 292,905 15,751 9,227 14,921 19,924 September 30.. 1,658 944,204 427,918 356,677 230,720 M Ap a r r . . 2 2 9 5 3 3 , , 2 3 6 0 1 0 2 3 9 1 7 3 , , 9 6 4 6 5 0 1 1 7 8 , , 6 4 9 7 8 3 1 9 0 , , 3 6 1 9 2 9 1 1 4 1 , , 3 6 6 7 4 3 2 1 2 9 , , 7 0 1 8 0 6 October 31.. 2,023 2,227,704 527,261 440,016 1,308,093 M Ju a n y e 2 2 7 4 3 3 , , 3 3 3 5 7 2 3 3 2 3 5 8 , , 5 8 0 2 7 2 2 2 2 6 , , 4 3 8 4 0 6 1 11 1 , , 2 4 6 6 5 4 1 16 4 , , 8 3 3 7 2 8 2 2 3 6 , , 3 4 8 3 4 0 November 30.. 2,327 2,367,297 644,569 520,846 1,383,310 July 29 3,376 344,770 22,323 12,619 15,989 25,284 Aug. 26 3,388 352,675 12,024 14,833 16,720 25,295 1 Not available. Sept. 30 3,394 364,916 8,199 15,882 12,187 23,180 NOTE.—The difference between guaranteed loans authorized and sum Oct. 28 3,399 377,306 7,536 14,934 11,572 20,983 of loans outstanding and amounts available to borrowers under guarantee Nov. 30 3,415 393,679 5,430 15,465 10,876 18,880 agreements outstanding represents amounts repaid, guarantees available but not completed, and authorizations expired or withdrawn. 1 Includes applications approved conditionally by the Federal Reserve' Banks and under consideration by applicant. 2 Includes industrial advances past due 3 months or more, which are not included in industrial advances outstanding in weekly statement of condition of Federal Reserve Banks. NOTE.—The difference between amount of applications approved and the sum of the following four columns represents repayments of advances, and applications for advances and commitments withdrawn or expired. JANUARY 1943 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

RESERVE POSITION OF MEMBER BANKS, NOVEMBER, 1942 MEMBER BANK RESERVE BALANCES BY CLASSES OF BANK [Averages of daily figures. In millions of dollars] [Averages of daily figures. In millions of dollars] Reserves with Central reserve Gross Net Federal Reserve All city banks Re- Coun- Cl a a n ss d e s d i o s f t r b ic a t n s ks m d d a e e n - - d m d d a e e n - - d T p d o im e s : i e ts Banks b m a b e n e m k r s - t1 New Chi- b s c a e i r n t v y k e s ba t n ry k s 11 posits posits1 Re- Held Ex- York cago quired cess Total reserves held: All member banks 59,413 50,604 12,716 10,256 12,618 2,362 1941—November 12,900 5,053 1,210 4,424 2,213 Central reserve city banks: December 12,812 5,142 1,143 4,317 2,210 New York 18,744 17,930 749 3,631 4,086 455 1942—January 12,936 5,248 1,085 4,365 2,238 Chicago 4,294 3,931 465 814 859 45 February 12,908 5,266 1,086 4,356 2,199 March 12,827 5,188 1,157 4,279 2,204 Reserve city banks: April 12,649 5,028 1,140 4,293 2,188 Boston district 1,667 1,529 85 311 405 94 May 12,510 4,870 1,049 4,325 2,265 New York district 359 316 143 72 80 8 June 12,624 4,859 979 4,448 2,338 Philadelphia district 1,851 1,658 125 339 404 64 July 12,409 4,609 1,000 4,447 2,353 August 12,623 4,616 1,009 4,574 2,423 Cleveland district 2,925 2,491 679 539 729 190 September 12,299 4,150 944 4,676 2,529 Richmond district 1,355 1,140 247 243 325 82 October 12,234 4,093 834 4,711 2,597 Atlanta district 1,330 1,056 178 222 260 38 November 12,618 4,086 859 4,990 2,684 Week ending (Friday): Chicago district 2,704 2,165 764 479 604 125 1942—Nov. 6 12,416 4,099 868 4,793 2,656 St. Louis district 1,472 1,233 173 257 293 36 Nov. 13 12,474 3,982 869 4,938 2,685 Minneapolis district 728 599 83 125 150 25 Nov. 20 12,643 4,043 854 4,987 2,758 Nov. 27 12,729 4,136 845 5,064 2,684 Kansas City district 1,785 1,328 158 275 357 82 Dec. 4 12,980 4,198 854 5,127 2,802 Dallas district 1,364 996 127 207 279 72 Dec. 11 13,073 4,204 864 5,131 2,873 San Francisco district ... 4,410 3,772 2,200 886 1,104 218 Dec. 18 13,370 4,452 896 5,183 2,839 Excess reserves: Total 21,949 18,285 4,961 3,955 4,990 1,035 1941—November 3,611 945 367 1,456 844 December 3,390 989 295 1,303 804 1942—January 3,446 1,083 225 1,330 809 Country banks: February 3,309 1,071 204 1,279 755 Boston district 1,569 1,264 586 212 281 69 March 3,147 962 255 1,190 740 New York district 2,319 1,902 1,548 359 508 149 April 2,951 795 262 1,175 718 Philadelphia district 1,084 848 854 170 234 64 May 2,667 546 178 1,171 772 June 2,704 556 89 1,232 827 Cleveland district 1,218 891 767 171 268 97 July 2,237 269 64 1,105 799 Richmond district 1,236 838 419 142 199 56 August 2,248 286 60 1,091 812 Atlanta district 1,097 749 274 121 177 56 September 2,300 302 73 1,069 857 October 2,328 557 27 921 823 Chicago'district 1,782 1,261 920 232 355 124 November 2,362 455 45 1,035 827 St.'Louis district. 805 542 263 92 130 39 Week ending (Friday): Minneapolis district 609 417 296 76 109 33 1942—Nov. 6 2,226 463 49 900 814 Nov. 13 2,244 360 52 995 837 Kansas City district 879 557 163 88 130 42 Nov. 20 2,374 428 40 1,010 897 Dallas district 1,057 675 101 101 161 60 Nov. 27 2,434 506 38 1,072 818 San Francisco district... 772 515 349 93 131 38 Dec. 4 P2,586 496 39 1,115 *937 Dec. 11 p2,610 450 45 1,106 ^1,008 Total 14,426 10,459 6,540 1,857 2,684 827 Dec. 18 *>2,589 536 45 1,034 P974 1 Gross demand deposits minus demand balances with domestic banks p Preliminary. (except private banks and American branches of foreign banks) and cash 1 Weekly figures of excess reserves of all member banks and of country items in process of collection. banks are estimates. NOTE.—See tables on p. 50 for percentages of deposits required to be held as reserves. DEPOSITS OF MEMBER BANKS IN LARGER AND SMALLER CENTERS [Averages of daily figures. In millions of dollars] Member banks in larger centers Member banks in smaller centers All member banks (places over 15,000) (places under 15,000) Federal Reserve district Gross demand Time Gross demand Time Gross demand Time Nov. Oct. Nov. Oct. Nov. Oct. Nov. Oct. Nov. Oct. Nov. Oct. Boston . . 3,236 3,136 671 659 3,029 2,937 547 537 207 199 124 123 New York 21,422 20,733 2,440 2,417 12,194 12,126 11,152 484 468 538 535 Philadelphia 2,935 2,840 979 982 2,507 2,426 526 529 428 415 453 453 Cleveland 4,144 4,027 1,446 1,445 3,684 3,581 1,083 1,084 460 446 363 361 Richmond 2,590 2,491 666 659 2,206 2,127 448 445 385 364 217 214 Atlanta 2,426 2,280 452 444 2,165 2,034 363 355 262 246 89 89 Chicago 8,780 8,491 2,150 2,115 13,811 13,630 11,312 11,287 675 641 372 366 St Louis 2,277 2,161 436 433 1,801 1,711 312 309 476 450 125 124 Minneapolis 1,337 1,237 379 373 1,039 r965 201 r198 298 r272 178 r175 Kansas City 2,664 2,530 321 318 2,067 1,963 210 208 596 567 110 110 Dallas 2,420 2,244 228 226 1,834 1,718 184 183 586 525 44 43 San Francisco 5,182 4,836 2,549 2,511 4,930 4,615 2,427 2,397 252 220 122 114 Total 59,413 57,007 12,716 12,580 131,266 ri29,834 18,766 ri8,681 5,109 r4,814 2,736 r2,706 r Revised. 1 Excluding central reserve city banks, for which figures for latest month are shown in table above. FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

KINDS OF MONEY IN CIRCULATION [Outside Treasury and Federal Reserve Banks. In millions of dollars] End of month Total ce c G r a t o t i e l f d s i- d S o i l l l v a e r r s c S c e a i r l t t v i e f e s i r - o T n f r u o e 1 r t a 8 y e 9 s s - 0 S s u i c a b l o v r s y i i e n d r i- M c i o n in or U S n n t o a i t t t e e e s d s R F n e e o d se t e e r r v s a e l F R n B e e o d a s t e n e e r r k s a v l e n t b i N o o a t n a n e - k a s l 1941—October 10,364 62 57 1,715 1 463 205 317 7,378 20 146 November 10,640 61 59 1,737 1 474 208 321 7,615 20 145 December 11,160 61 60 1,733 1 481 209 313 8,138 19 144 1942—January 11,175 61 61 1,657 1 471 206 302 8,253 19 143 February. 11,485 61 61 1,695 1 475 206 309 8,514 19 143 March 11,566 60 62 1,697 1 482 208 307 8,587 19 142 April 11,767 60 64 1,707 1 488 209 309 8,769 19 141 May .... 12,074 60 65 1,745 1 496 211 316 9,022 19 140 Tune 12,383 59 66 1,754 1 504 213 317 9,310 19 139 July. ... 12,739 59 67 1,764 1 510 215 315 9,650 19 138 August 13,200 59 69 1,786 1 521 218 321 10,068 18 138 September . . 13,703 59 71 1,754 1 537 222 324 10,580 18 137 October 14,210 59 73 1,704 1 551 225 326 11,118 18 136 November 14,805 58 74 1,731 1 565 227 327 11,667 18 136 Back figures.—See Annual Report for 1937 (table 35). PAPER CURRENCY, BY DENOMINATIONS, AND COIN IN CIRCULATION [Outside Treasury and Federal Reserve Banks. In millions of dollars] Total Coin and smalldenomination currency2 Large denomination currency2 End of month in cu c la ir - - s U or n t a e s d - 2 tion1 Total Coin u6 $2 $5 $10 $20 Total $50 $100 $500 $1,000 $5,000 $10,000 1941—October....... 10,364 7,537 725 663 41 1,287 2,527 2,293 2,830 658 1,316 245 539 25 47 3 November 10,640 7,769 738 675 43 1,318 2,610 2,383 2,874 674 1,343 248 538 24 47 4 December 11,160 8,120 751 695 44 1,355 2,731 2,545 3,044 724 1,433 261 556 24 46 4 1942—January 11,175 8,053 738 656 42 1,309 2,713 2,595 3,126 745 1,481 265 566 24 46 4 February 11,485 8,326 743 668 42 1,344 2,825 2,704 3,163 767 1,511 266 565 21 33 4 March 11,566 8,396 752 673 42 1,351 2,834 2,744 3,174 779 1,528 268 561 9 29 5 April 11,767 8,560 757 680 43 1,362 2,898 2,820 3,204 792 1,549 268 558 9 29 1 May 12,074 8,841 771 696 44 1,402 3,004 2,924 3,235 801 1,566 260 570 9 28 1 June 12,383 9,083 783 704 45 1,427 3,099 3,024 3,301 824 ,602 262 576 8 29 2 July 12,739 9,398 793 712 45 1,464 3,234 3,149 3,343 840 ,628 263 574 8 30 2 August 13,200 9,795 809 731 48 1,517 3,379 3,310 3,409 868 ,663 266 575 8 29 4 September.... 13,703 10,207 830 754 50 1,555 3,532 3,487 3,500 904 ,715 268 576 9 29 4 October 14,210 10,629 848 764 51 1,597 3,684 3,686 3,584 940 ,762 274 570 9 30 3 November 14,805 11,122 867 782 53 1,647 3,887 3,885 3,686 972 ,824 278 575 9 28 3 1 Total of amounts of coin and paper currency shown by denominations less unassorted currency in Treasury and Federal Reserve Banks. 2 Includes unassorted currency held in Treasury and Federal Reserve Banks and currency of unknown denominations reported by the Treasury as destroyed. 3 Paper currency only; $1 silver coins reported under coin. Back figures—See Annual Report for 1937 (table 36). TREASURY CURRENCY OUTSTANDING SHIPMENTS AND RECEIPTS OF UNITED STATES PAPER [Held by Treasury and Federal Reserve Banks and in circulation. In CURRENCY millions of dollars] [By'selected banks and financial institutions in New York City. In millions of dollars] End of month Total d S s o b i a i l u l l n v l v l a d - e e r r r s s S s a i i u l r d v b y i - e - r M co in in or U S n n t o a i t t t e e e s d s B F s e R e e a r r e d a n v - - l k e t n b N i o o a a t n n e - k a s l Year or month m E e S u n h r t o i s p p - e to R E e f u r c o r e o m ip p t e s m s N h e i e n p t t - s rec N e e i t pts lion1 coin notes 1937 21.5 47.6 26.1 1938 ;. 33.1 34.4 1.3 1941—October.... 3,219 2,013 482 210 347 20 148 1939 110.2 9.8 lOQ.3 November 3,231 2,017 489 212 347 20 146 1940 17.7 .7 17.0 December .. 3,247 2,023 497 215 347 20 146 1941 .3 .5 1942—January 3,259 2,029 501 218 347 20 144 1941—December... .2 February... 3,268 2,033 505 220 347 20 144 March 3,277 2,038 509 221 347 19 143 1942—January April 3,289 2,044 514 222 347 19 142 February... May 3,305 2,050 524 224 347 19 141 March June 3,313 2,053 530 225 347 19 140 April July 3,326 2,057 539 225 347 19 139 May August 3,340 2,059 551 226 347 19 139 June September.. 3,353 2,061 562 226 347 19 138 July October.... 3,368 2,062 575 228 347 18 137 August (i) November.. 3,381 2,063 586 229 347 18 137 September.. .1 October November.. 1 Includes silver held against silver certificates amounting to $1,924- 000,000 on Nov. 30,1942 and $1,947,000,000 on Nov. 30, 1941. i Less than $50,000. Back figures.—See Annual Report for 1937 (table 38). Description.—See BULLETIN for January 1932, pp. 7-8. JANUARY 1943 57 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANALYSIS OF CHANGES IN GOLD STOCK OF MOVEMENT OF GOLD TO AND FROM UNITED STATES UNITED STATES [ In thousands of dollars] [In millions of dollars] Ear- Period of a s G t t p o o e e c l n r k d i d od I i n n s c t o r g e c o a k l s d e N im et p g o o r l t d c g r m o e c o a l r r a d e s r e i : a k n s d e ( - e — d e- ) p D ti r c t o o i m o d g n u o e 1 c s ld - - From or to— p Im or - ts Dec. p E or x t - s p I o m r N t - s ov p E o x r - ts p J I o a m r n - t . s -De p c E o . x r - ts 1 1 1 1 1 1 1 19 9 9 9 9 9 9 9 4 3 3 3 3 3 4 3 1 7 5 9 8 6 0 42 3 3 1 1 2 2 1 1 1 2 1 8 2 1 0 4 7 , , , , , , 2 7 7 1 9 5 2 5 6 6 3 2 9 1 3 4 8 0 7 5 5 2 8 4 4 4 3 1 1 1 1 , , , , , , , 2 3 8 1 1 5 7 7 0 8 5 3 3 0 5 4 2 7 1 2 2 2 1 1 . . . . . . . . 5 2 2 8 5 5 0 5 4 1 1 1 1 1 7 5 9 1 5 9 1 7 3 7 8 3 8 7 1 4 3 9 3 5 2 4 6 4 . . . . . . . . 9 0 6 6 4 5 2 5 - - - - - 4 2 5 3 - 6 8 0 0 3 3 4 8 5 7 0 4 4 3 2 . . . . . . . . 9 7 4 4 7 5 2 6 1 1 1 1 1 1 1 9 1 3 4 4 7 6 6 2 0 1 3 8 0 1 9 . . . . . . . . 9 7 6 9 6 7 2 1 F P S M S U U C C r o w w a e . n a e r n n e i x i n S t t t d a t u i e c z . r c e d g d e e a o n S a r a l l . l K a A n R in m d . g e d r o ic m a 2 1 1 0 3 , , 2 3 9 4 1 7 7 2 7 6 6 3 4 9 6 0 3 2 2 5 6 4 , , , 6 3 9 9 1 1 3 2 2 3 2 5 6 4 1 9 1 4 4 4 1 1 1 3 4 1 2 6 0 , , , , , , 7 7 9 0 8 9 4 8 4 7 2 9 0 6 0 9 7 0 9 9 3 0 3 2 1 . . 3 .. 7 8 West Indies and Ber- 1941- -October 22,800 38.8 40.4 -32.2 15.9 muda 53 77 1 867 3 November 22,785 -14.4 50.4 -60.9 18.2 Argentina 6 18 184 December.. v 22,737 -48.8 452.9 -99.7 11.5 B B o ra li z v i i l a 1 2 8 5 1 * 9 2 5 5 10 1942--January 22,747 10.6 -38.5 14.7 Chile 883 441 8 510 February.... 22,705 -42.4 -109.3 10.0 Colombia 2,238 2,110 24,448 March 22,687 -17.3 -65.5 11.0 Ecuador 234 218 3,057 April 22,691 3.3 -20.1 11.1 Peru 678 436 9,119 May 22,714 23.6 -38.2 10.8 Venezuela 369 227 4,581 Tune 22,737 22.3 -14.8 10.1 British Guiana 53 91 1,039 July 22,744 7.6 -24.4 12.3 Australia 3,713 5,980 67,492 August 22,756 11.4 -21.8 9.8 New Zealand 293 156 2,658 September... 22,754 -1.3 -27.8 11.5 British Oceania 311 314 3,894 October 22,740 -14.3 -56.4 11.7 British India 711 9,665 November... 22,743 3.3 5-10.8 Netherlands Indies 855 China and Hong Kong.. 665 4,362 Jan .-Nov.... 22,743 6.8 5-427.5 Philippine Islands 5,506 1,832 1 42,6841 6 p Preliminary. A So ll u o th t h A er f ri c c o a untries 7 1 1 9 6 0 47 4 3 0 29 4 2 , , 9 8 7 9 2 3' 1 Annual figures are estimates of the United States Mint. Monthly f p i i g n u e r e I s s l a a r n e d t s h p o r s o e d p u u c b ti l o is n h e r d e c i e n iv t e a d b l i e n o U n n p it a e g d e S 9 t 7 a , t e a s d . justed to exclude Philip- Total 52,897 2 50,382 8 982,442 64 2 Figures based on rate of $20.67 a fine ounce in January 1934 and $35 a fine ounce thereafter. i Figures represent customs valuations which, with some exceptions, 3 Includes gold in the Inactive Account amounting to 27 million dollars are at rate of $35 a fine ounce. on Dec. 31, 1936, and 1,228 million on Dec. 31, 1937. NOTE.—Figures for months subsequent to December 1941 have not been 4 The net gold import figures for months subsequent to December 1941 released for publication. For back figures for selected countries beginning have not been released for publication. in 1934, see table on page 97. 5 Gold held under earmark at Federal Reserve Banks for foreign account amounted to 2,642.8 million dollars on November 30, 1942. NOTE.—For back figures through 1937, see Annual Report for 1937 (table 29). BANK SUSPENSIONS1 Member Nonmember Total, banks banks BANK DEBITS all Debits to deposit accounts except interbank accounts banks ti N o a n - al State su I r n e - d2 in N su o r t ed [In millions of dollars] Num 1 1 1 b 9 9 9 e 3 3 3 r 5 6 4 of banks suspended: 3 4 5 4 4 7 4 1 1 2 4 8 2 0 4 g 3 8 Year and month r T e i o p a n t o l g l a r l t , - N Y C e i o t w r y k ce o n 1 t t 4 h e 0 e r r s1 re o p 1 t o h 3 r e 3 t r ing 1937 59 4 2 47 6 centers 1938 55 1 1 47 6 1939 42 4 3 25 10 1929 982,531 603,089 331,938 47,504 1940 22 1 18 3 1936 461,889 208,936 219,670 33,283 1941 8 4 3 1 1937 469,463 197,836 235,206 36,421 1942—Jan.-Nov 9 6 3 1938 405,929 168,778 204,745 32,406 1939 423,932 171,382 218,298 34,252 Deposits of suspended banks 1940 445,863 171,582 236,952 37,329 (in thousands of dollars):3 1941 537,343 197,724 293,925 45,694 1934 36,937 40 1,912 34,985 1935 10,015 5,313 3,763 939 1941—November... 45,076 16,077 25,087 3,912 1936 11,306 507 10,207 592 December.... 56,582 20,598 31,133 4,850 1937 19,723 7,379 "i,'708" 10,156 480 1942—January 48,605 17,247 27,028 4,330 1938 13,012 36 211 11,721 1,044 February.... 41,545 14,242 23,543 3,760 1939 34,998 1,341 24,629 6,589 2,439 March 49,161 17,056 27,764 4,341 '1940 . .. 5,943 256 5,341 346 April 46,613 16,023 26,451 4,138 1941 3,726 3,144 503 79 May 48,342 16,985 27,241 4,116 1942—Jan .-Nov 1 702 1,375 327 June 50,107 17,394 28,292 4,421 July 50,087 17,110 28,505 4,472 1 Represents banks which, during the periods shown, closed temporarily A Se u p g t u e s m t ber... 5 4 2 9 , , 7 1 1 6 2 9 1 1 7 8 , , 0 5 5 9 1 3 2 2 9 7 , , 5 83 3 7 0 4 4 , , 5 2 8 8 9 2 or permanently on account of financial difficulties; does not include banks October r55,056 18,323 r31,627 5,105 whose deposit liabilities were assumed by other banks at the time of closing November... 50,673 17,016 29,040 4,616 (in some instances with the aid of Federal Deposit Insurance Corporation loans). 2 Federal deposit insurance became operative January 1, 1934. r Revised. 3 Deposits of member banks and insured nonmember banks suspended are 1 National series, for which bank debit figures are available beginning as of dates of suspension, and deposits of noninsured nonmember banks with 1919. are based on the latest data available at the time the suspensions were 2 Except that 1929 figure is for 128 centers only. reported. Back figures.— Annual Report for 1937, page 157. Annual totals, begin- Back figures.—See Annual Report for 1937 (table 76). ning with 1919, by Federal Reserve districts and for individual centers, are available for distribution and will be furnished upon request. FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ALL BANKS IN THE UNITED STATES Comprises all national banks in the continental United States and all State commercial banks, trust companies, mutual and stock savings banks and such private and industrial banks as are included in abstracts issued by State banking departments. Also includes, during the period June 1934-June 1935, private banks which, pursuant to the provisions of sec. 21 (a) of the Banking Act of 1933, submitted condition reports to the Comptroller of the Currency. Under the amended provision of sec. 21 (a) private banks no longer report to the Comptroller of the Currency. For comparative figures of private banks included in the figures from June 1934 to December 193S, see Federal Reserve BULLETIN for December 1935, p. 883, and July 1936, p. 535. Figures for nonmember banks are for dates indicated or nearest thereto for which figures are available. DEPOSITS, EXCLUSIVE OF INTERBANK DEPOSITS1 NUMBER OF BANKS [In millions of dollars] Member banks2 Non b m an e k m s ber Member banks2 Non b m an e k m s ber Call date Total \ Total ti N on a a - l State M s b a a u v n i t n u k g a s s l O m n b o t e h e n m r e - r - Call date b A an ll ks Total ti N on a- al State M s b a a u v n t in u k g a s l s m O n b e t o h e m n r e - - r banks banks 1929—June 29 25,110 8,707 7,530 1,177 611 15,792 1929—June 29 53,852 32,284 19,411 12,873 8,983 12,584 Dec. 31 24 630 8 522 7 403 1 119 609 15,499 Dec. 31 55,289 33,865 20,290 13,575 8,916 12,508 1933—June 30. 14,519 5,606 4,897 709 576 8,337 1933—June 30 37,998 23,338 14,772 8,566 9,713 4,946 Dec. 30 15,011 6,011 5,154 857 579 8,421 Dec. 30 38,505 23,771 15,386 8,385 9,708 5,026 1938—June 30 15,287 6,338 5,242 1,096 563 8,386 1938—June 30 52,195 34,745 22,553 12,193 10,296 7,153 Dec. 31 15,206 6,338 5,224 1,114 556 8,312 Dec. 31 54,054 36,211 23,497 12,714 10,365 7,478 1939—June 30 15,082 6,330 5,203 1,127 553 8,199 1939—June 30 55,992 38,027 24,534 13,493 10,521 7,444 Dec. 30 15,037 6,362 5,187 1,175 552 8,123 Dec. 30 58,344 39,930 25,661 14,269 10,613 7,801 1940—June 29 14,953 6,398 5,164 1,234 551 8,004 1940—June 29 60,582 42,039 26,931 15,108 310,631 37,912 Dec. 31 14,895 6,486 5,144 1,342 551 7,858 Dec. 31 65,021 46,007 29,214 16,793 10,658 8,356 1941—Apr. 4 14,871 6,528 5,138 1,390 550 7,793 1941—Apr. 4 65,211 46,179 29,467 16,712 10,684 8,347 June 30 14,855 6,556 5,130 . 1,426 547 7,752 June 30 67,172 48,076 30,684 17,392 10,641 8,456 Sept. 24 14,852 6,596 5,125 1,471 546 7,710 Sept. 24 68,449 49,160 31,500 17,660 10,643 8,646 Dec. 31 14,825 6,619 5.117 1,502 545 7,661 Dec. 31 70,792 51,192 32,672 18,520 10,525 9,075 1942—June 30 14,773 6,647 5,101 1,546 r544 r7,582 1942—June 30 5 72,382 53,434 34,036 19,397 rl0,387 r8,562 For footnotes see table below. For footnotes see table below LOANS AND INVESTMENTS [In millions of dollars! All banks Member banks2 Nonmember banks Call date Mutual savings banks Other nonmember banks Invest- Invest- Total Loans ments Total Loans ments Total Loans I m nv e e n s ts t- Total Loans I m nv e e n s ts t- 1929—June 29 58,474 41,531 16,943 35,711 25,658 10,052 9,556 5,892 3,664 13,207 9,981 3,227 Dec. 31 58,417 41,918 16,499 35,934 26,150 9,784 9,463 5,945 3,518 13,020 9,823 3,197 1933—June 30 40,076 22,203 17,872 24,786 12,858 11,928 10,044 5,941 4,103 5,246 3,404 1,841 Dec. 30 40,319 21,977 18,342 25,220 12,833 12,386 9,985 5,906 4,079 5,115 3,238 1,877 1938—June 30 47,381 21,130 26,252 30,721 12,938 17,783 10,196 4,961 5,235 6,465 3,231 3,234 Dec. 314 48,929 21,354 27,575 32,070 13,208 18,863 10,255 4,930 5,325 6,604 3,217 3,387 1939—June 30 49,616 21,318 28,299 32,603 13,141 19,462 10,342 4,931 5,411 6,671 3,245 3,425 Dec. 30 50,885 22,169 28,716 33,941 13,962 19,979 10,314 4,961 5,353 6,630 3,246 3,384 1940—June 29 51,335 22,341 28,995 34,451 13,969 20,482 310,188 4,926 5,262 36,696 3,445 3,251 Dec. 31 54,188 23,741 30,448 37,126 15,321 21,805 10,248 4,959 5,289 6,815 3,461 3,353 1941—Apr. 4 56,147 24,322 31,825 38,983 15,878 23,104 10,276 4,954 5,322 6,889 3,490 3,399 June 30 57,945 25,312 32,633 40,659 16,729 23,930 10,314 4,955 5,360 6,972 3,628 3,344 Sept. 24 59,296 26,187 33,109 41,943 17,546 24,397 10,348 4,949 5,399 7,005 3,692 3,313 Dec. 31 61,098 26,616 34,483 43,521 18,021 25,500 10,372 4.903 5,470 7,205 3,692 3,513 1942—June 30 5 63,976 25,078 38,897 46,800 16,928 29,872 rl0,353 r4,8l9 r5,534 r6,822 r3,331 r3,492 r Revised. 1 Prior to December 1933, member bank figures include interbank deposits not subject to immediate withdrawal, which aggregated $103,000,000 on that date. Prior to June 1940, the nonmember bank figures on some call dates included some interbank deposits not shown separately in a few State bank abstracts. 2 Includes, subsequent to April 4, 1941, two mutual savings banks in Wisconsin and one in Indiana. 3 One bank (with deposits, excluding interbank deposits, of $90,000,000 and total loans and investments of $96,000,000 on Dec. 30, 1939) which, prior to March 1940, was classified as a mutual savings bank, is now included in figures in the "Other nonmember banks" column. 4 Prior to December 1938 the figures include loans and investments indirectly representing bank premises or other real estate, now reported separately in condition reports. The amounts of such loans and investments in December 1938, were approximately $50,000,000 and $100,000,000, respectively. 5 Decreases in "Other nonmember banks" figures (and corresponding increases in member bank figures) reflect principally the admission to membership in the Federal Reserve System of one large bank with total loans and investments aggregating 472 million dollars on June 30, 1942. NOTE.—Beginning with the April 4, 1942 call, spring and fall figures are not being compiled for "All banks." Bach figures—-See Annual Report for 1937 (tables 48-49). JANUARY 1943 59 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

CONDITION OF ALL MEMBER BANKS^LOANS AND INVESTMENTS [In millions of dollars] Loans1 Investments1 Loans for U. S. Government obligations purchasing Obli- T lo o a t n a s l Com- or carrying Direct gat o i f ons ^all date and mer- Agri- Open secur Real States Other i m nv e e n s t t s - To tal1 t n a r c d i n i a u a d l l s 2 - t c a u u l r 2 l- - p m k a a p e r t e - r b e T r r o o s k- o T t o h- e l s o t a a n te s O lo t a h n e s r 4 Total Total Bills i D c i o a e n f r - te ti s - Notes Bonds G t a e u n e a - d r- p s a o u c n l b a i d - l ti- r s i e t c ie u s and debt- divideal- ers ed- sions ers ness Total—All ' Member Banks 1929—T)ec 31 35,934 26,150 583 2,463 7,685 3,191 12,229 9,784 3,863 97 152 520 3,094 1,393 4,528 [933 June 30 24 786 12 858 595 953 3,752 2,372 5,187 1,928 6,887 554 559 2,049 3,725 1,744 3,297 L939—Dec. 30 33*941 13^962 5,386 730 455 790 700 2,957 2,944 9,979 4,328 563 2,223 8,398 3444 2,692 2,959 1940—June 29 34,451 13,969 5,538 736 450 447 668 3,069 3,062 20,482 4,722 797 2,543 8,261 3,121 2,888 2,873 Dec. 31 37,126 15,321 6,204 865 456 642 652 3,228 3,273 21,805 5,823 652 2,594 9,091 3,486 3,013 2,970 1941—June 30 40,659 16,729 7,270 738 537 575 635 3,365 3,609 23,930 8,078 ,127 2,631 0,481 3,839 2,984 2,867 Dec. 31 43,521 18,021 8,064 972 607 594 598 3,494 3,692 25,500 9,539 971 3,007 11,729 3,832 3,090 2,871 1942—Apr. 4 44,287 17,834 26,453 0,449 3,471 3,173 2,831 June 30 .... 46 ,'800 16*,928 7,888 726 495 "554" *562'3,501 3,203 29,872 4,098 1,509 1,872*3,546 14,485 2,685 2,934 2,840 New York CityS 1929 Dec 31 8,774 6,683 195 L 2572,145 169 2,917 2,091 1,112 34 23. 166 889 222 758 1 19 9 3 3 9 3 — — D Ju e n c e . 3 3 0 0 9 7 * 1 3 3 39 3 3 3, » ' 4 2 2 9 4 6 1,768 7 3 1 6 2 4 0 6 7 1 5 1 9 ,0 1 4 8 4 8 1 1 5 3 7 3 1, * 0 4 9 6 9 9 3 6 , , 7 0 0 4 9 3 4 2 , ,5 7 5 7 1 2 3 3 1 3 5 0 309 9 7 8 9 7 7 2, 9 38 2 5 6 l"275' 4 5 7 7 8 9 6 6 8 9 0 3 1940—June 29 9,829 3,014 1,801 6 103 320 188 137 458 6,815 5,486 421 1,092 2,650 1,324 634 695 Dec. 31 10,910 3,384 2,025 6 100 465 190 130 468 7,527 6,044 207 1,245 2,977 1,615 695 788 1941—June 30 12,493 3,778 2,405 3 97 422 186 • 129 536 8,715 7,268 577 1,526 3,415 1,751 651 796 Dec. 31 12,896 4,072 2,716 8 91 412 169 123 554 8,823 7,265 311 1,623 3,652 1,679 729 830 1942—Apr. 4 13,123 4 173 8,950 7,381 1 515 773 796 June 30 14,019 4,066 2,775 9 66 430 167 121 499 9,953 8 550 402 663 1,746 4,572 1,166 623 781 City of Chicago^ 1929—Dec. 31 1,757 1,448 19 251 533 21 623 309 116 1 2 19 94 96 96 1933—June 30 1,287 677 69 61 251 30 267 610 384 149 57 82 97 87 138 1939—Dec. 30 2,105 569 "'365' ""6* 17 41 66 13 60 1,536 1,203 153 176 701 "in 162 170 1940—June 29 2,205 603 417 8 16 23 61 16 62 1,602 1 258 254 ' 161 710 134 177 167 Dec. 31 2,377 696 476 5 17 42 54 19 84 1.681 1307 297 145 752 112 188 186 1941—June 30 2,707 846 609 5 21 36 55 20 101 1,861 1,483 417 125 803 138 190 188 Dec. 31 2,760 954 711 6 21 48 52 22 96 1,806 1430 256 153 903 119 182 193 1942—Apr. 4 2,806 923 1,883 1490 108 207 187 June 30 3,116 906 697 3 15 29 50 22 90 2,210 1858 357 181 162 1,068 90 164 188 Reserve City Banks 1929—Dec. 31 12,029 9 084 168 664 2,775 1,538 3,937 2,944 1368 25 66 165 1 112 448 1,128 1 1 9 9 3 39 3 — — D jU e I1 c e . 3 3 0 0.... 1 8 2 , 4 2 9 72 2 4 5 4 3 8 2 2 9 2466' "221* 1 1 2 5 6 5 1 1 0 1 8 9 1,3 2 4 2 0 2 1 1, , 3 1 3 3 5 1 1 1 , , 7 1 7 7 7 7 4 6 , , 0 9 1 4 1 3 2 5 4 1 8 9 3 4 6 7 3 3 131 6 81 8 9 1 3 15 3 9 3 7 9 972 5 8 9 9 8 0 9 8 3 6 0 0 1940—June 29.... 12,160 5 365 2,134 176 156 87 210 1,372 1,230 6,795 4 947 87 839 3 052 969 981 868 Dec. 31.... 13,013 5931 2,436 263 153 115 207 1,436 1,322 7,081 5 204 103 771 3 281 1,049 984 893 1941—June 30.... 14,013 6 498 2,879 175 202 100 198 1,477 1,466 7,515 5 700 73 606 3 858 1,162 979 836 Dec. 31.... 15,347 7105 3,206 300 250 114 194 1,527 1,512 8,243 6,467 295 751 4 248 1,173 956 820 1942—Apr. 4 15,605 6.989 8,616 6.832 1,051 941 844 June 30.... 16,535 6,564 3,103 152 215 78 177 1,524 1,315 9,971 8,188 579 674 981 5149 806 925 858 Country Banks 1929—Dec. 31.... 13,375 8,936 201 291 2,231 1,462 4 750 4,439 1,267 37 59 171 999 627 2.546 1933—June 30.... 7,873 4,275 35 25 1,117 1.055 2,043 3,598 1,469 2 63 299 1,106 581 1,549 1939—Dec. 30.... 10,224 4,768 i'151 "495 163 20 224 1,477 1,238 5,456 3,159 31 431 1,972 "725' 1,061 L,236 1940—June 29.... 10,257 4,987 1,187 546 174 17 208 1,544 1,311 5,270 3,030 36 451 1,849 695 1,097 L,144 Dec. 31.... 10,826 5,309 1,267 590 187 21 201 1,644 1,400 5,517 3,269 45 433 2,081 710 1,146 L,102 1941—June 30.... 11,446 5,607 1,377 555 216 17 195 1,739 1,507 5,839 3,627 60 374 2,404 788 1,165 1,047 Dec. 31.... 12,518 5,890 1,431 659 245 20 183 1,823 1,530 6,628 4,377 110 481 2,926 861 1,222 1,028 1942—Apr. 4 12,753 5 749 7 004 4,746 797 1,253 1,005 June 30 13,130 5,393 1,314 562 198 16 169 1,834 1,299 7,737 5,502 "in 355 657 3,696 624 1,222 1,013 1 Classifications indicated were revised as of Dec. 31, 1938; for explanation see BULLETIN for January, 1939, pp. 22-23, and BULLETIN for April, 1939, pp. 259-264, 332. Beginning June 30, 1939, detailed classifications available on June and December dates only. 1 Not shown in call reports prior to December 1938. Figures in this column prior to Dec. 31, 1938, represent all loans on securities, regardless of purpose, excepting only loans on securities to banks and to brokers and dealers. w#it h 4 e T a h r i l s ie i r s f a ig r u e r s e i s d . ual item and includes loans to banks. Because of the revised loan classifications, figures beginning Dec. 31, 1938, are not comparable 6 Central reserve city banks. Back figures—-See Annual Report for 1937 (tables 52-58). 60 FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

CONDITION OF ALL MEMBER BANKS—RESERVES AND LIABILITIES [In millions of dollars] Demand deposits, Time deposits, Interbank except interbank except interbank deposits Re- Bal- De- Call date F B w s e R a e d i r n e t e v h - k r e s al v C a i a u n s l h t b m a w a n d e n i c o s t k - e t h i s s c 1 j m p u a o s d a d t s e " n e i - d t d s 2 , v p i a s I d h r n t u i d n p a i e s l - , r s - , p S ol a t i a n t t i d e c s al C a f o e i n f e r f d d i t - i- U Go .S v . - v 3 i s a I d h n r u t i d n p a i e s l - , r s - , S p a t o a n l t d i e t s - m U G e a r o . n e n S d n v - . t - Do b m an e k s s tic F ei o g r n - B r i o n o w g r s - - C co a a u p c n - it t a s l and cor- subdi- cers' ment and cor- subdi- postal banks p ti o o r n a s - visions ch et e c c . ks p ti o o r n a s - visions s in a g v s - m D an e- d3 Time Total—All Member Banks 1929—Dec. 31 2,374 558 2,168 16,647 17,526 1,335 1,681 143 12,267 595 122 3,517 95 698 879 6,709 1933—June 30 2,235 405 2,008 12,089 11,830 1,087 657 806 7,803 300 788 3,057 89 146 191 4,837 1939—Dec. 30 11,604 841 5,506 25,681 24,604 2,321 563 743 11,215 432 51 8,507 144 759 3 5,522 1940—June 29 13,751 789 5,751 27,877 26,397 2,529 475 711 11,459 410 59 8,852 134 703 3 5,608 Dec. 31 13,992 991 6,185 30,429 29,576 2,724 913 616 11,687 435 56 9,581 135 706 3 5,698 1941—June 30 12.959 999 6,293 32,678 31,429 2,940 738 619 11,898 397 55 9,610 138 688 3 5,800 Dec. 31 12,396 1,087 6,246 33,754 33,061 3,066 1,009 1,709 11,878 418 50 9,714 133 678 4 5,886 1942—Apr. 4 12,725 884 e6,276 34,670 32,602 3,285 589 2,164 11,520 395 49 e9,650 e118 C641 14 5,930 June 30 12,295 1,022 5,770 36,966 35,646 3,230 711 1,724 11,673 400 49 9,110 109 752 6 5,991 New York City* 1929-Dec. 31 827 68 179 4,750 5,847 128 1,180 20 1,112 33 18 1,198 40 597 179 2,105 1933—June 30 846 46 101 4,358 4,676 96 461 332 671 4 110 1,255 22 128 8 1,582 1939—Dec. 30 5,915 89 125 8,899 9,030 251 178 74 693 43 3,542 1 695 1,592 1940—June 29 7,072 88 119 10,235 10,283 258 147 67 732 29 3,840 650 1,599 Dec. 31 7,057 102 122 11,062 11,357 370 471 48 768 51 4,032 646 1,615 1941—June 30 5,857 136 131 11,619 11,895 319 306 32 778 27 3,948 623 1,625 Dec. 31 5,105 93 141 10,761 11,282 319 450 866 778 29 3,595 612 1,648 1942—Apr. 4 5,236 81 C192 11,335 11,235 296 154 967 751 25 *3,383 e576 4 1 655 June 30 4,762 88 103 11,711 12,014 271 273 863 717 17 3,284 683 3 l',698 City of Chicago^ 1929—Dec. 31 169 13 133 957 1,041 42 32 8 332 58 2 310 19 33 41 316 1933—June 30 232 34 203 912 870 87 16 46 358 1 6 259 2 204 1939—Dec. 30 993 42 283 1,739 1,676 167 24 80 483 10 3 879 9 250 1940—June 29 1,187 39 242 1,898 1,782 199 17 79 489 15 5 949 7 260 Dec. 31 1,051 42 319 1,941 1,905 174 27 90 496 8 5 997 8 270 1941—June 30 1,062 41 262 2,205 2,109 213 33 95 480 17 5 1,010 8 279 Dec. 31 1,021 43 298 2,215 2,152 233 34 127 476 1,027 8 288 1942—Apr. 4 1,088 27 e285 1,919 1,886 203 31 296 455 el 253 e9 289 June 30 973 43 220 2,379 2,292 226 24 201 460 1,028 10 293 Reserve City Banks 1929—Dec. 31 751 156 947 5,229 5,547 423 300 76 4,433 371 41 1,604 30 64 292 2,029 1933—June 30 705 122 1,002 3,764 3,708 349 108 312 2,941 208 388 1,315 59 15 16 1,533 1939—Dec. 30 3,118 348 2,485 8,176 8,002 813 190 435 4,362 240 14 3,516 117 53 1,828 1940—June 29 3,759 334 2,679 8,774 8,372 956 147 422 4,422 219 18 3,526 105 44 1,873 Dec. 31 4,027 396 2,741 9,581 9,468 995 228 327 4,506 226 19 3,919 106 51 1,904 1941—June 30 4,125 385 2,793 10,480 10,142 1,139 209 341 4,590 211 19 4,000 108 55 1,940 Dec. 31 4,060 425 2,590 11,117 11,127 1,144 286 491 4,542 243 20 4,302 103 55 1,967 1942—Apr. 4 4,221 348 e2,705 11,689 11,105 1,313 202 633 4,366 224 18 64,235 e90 e54 6 1,981 June 30 4,254 357 2,279 12,515 12,199 1,304 218 422 4,454 239 18 4,052 82 57 1,985 Country Banks 1929—Dec. 31 627 321 908 5,711 5,091 742 169 39 6,390 133 61 405 6 3 367 2,258 1933—June 30 452 203 702 3,054 2,576 555 72 116 3,833 86 285 228 7 1 167 1,517 1939—Dec. 30 1,578 363 2,614 6,866 5,896 1,090 172 154 5,677 140 35 571 26 2 3 1,851 1940—June 29 1,733 328 2,711 6,969 5,960 1,115 164 143 5,816 147 37 538 29 2 3 1,876 Dec. 31 1,857 452 3,002 7,845 6,846 1,184 187 151 5,917 150 33 633 29 2 3 1,909 1941—June 30 1,914 437 3,106 8,374 7,282 1,269 190 151 6,049 143 31 652 30 2 3 1,956 Dec. 31 2,210 526 3,216 9,661 8,500 1,370 239 225 6,082 146 31 790 30 2 4 1,982 1942—Apr. 4 2,180 429 e3,093 9,726 8,376 1,473 202 269 5,948 145 30 6779 e28 e2 4 2,005 June 30 2,306 533 3,168 10,360 9,141 1,429 196 237 6,042 143 31 747 27 3 3 2,014 *, 1935, excludes balances with domestic banks which on that date amounted to $69,000,000 and which prior to that time were reported in "Other assets." 2 Demand deposits other than interbank and U. S. Government, less cash items reported as in process of collection and, prior to Dec. 31, 1935, less cash items reported on hand but not in process of collection. 3 Beginning June 30, 1942, excludes reciprocal bank balances. ^'Central reserve city banks. e Partly estimated. Back figures—See Annual Report for 1937 (tables 52-58). JANUARY 1943 61 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

WEEKLY REPORTING MEMBER BANKS—NEW YORK CITY AND OUTSIDE LOANS AND INVESTMENTS [Monthly data are averages of Wednesday figures. In millions of dollars] Loans Investments Loans for U.S. Government obligations Com- purchasing Total mer- or carrying Date or month i m n l a o e v n a e n d n s t s s t- Total i t c n a a r i g d i n a d r u a l, i- l s , - p O m k a p a e p t e r n - er br T e o o s rs e k- curiti T e o s e l R s o e t a a al ns te L b o a to n an k s s O l t o h an e s r Total Total Bills C f o d i f e e e c d b a r i t t n - t i e - - - Notes Bonds G t a u e n e a - d r- O r s i < t 2 h t CU i - e es r cul- and others ness tural dealers Total—101 Cities 1941—November... 29, 621 11, 277 6,610 425 542 431 1,259 39 1,971 18344 14, 667 874 2, 552 8316 2,925 3 677 1942—July 32, 998 10, 741 6, 454 342 561 401 1,233 32 1,718 22, 257 18852 1656 1465 2 886 10809 2,036 3 405 A O Se c u p t g o t u e b s m e t r ber... 3 3 3 4 6 4 , , , 0 8 7 3 8 8 3 8 7 1 1 10 0 0 , , 6 3 3 0 0 4 0 0 2 6 6 6 , 3 3 2 9 3 8 1 7 0 3 2 2 2 6 9 4 9 9 4 5 4 8 4 8 4 6 9 3 3 3 7 9 7 7 4 0 1 1 1, , , 2 2 2 1 3 2 7 1 5 3 3 2 6 6 9 1 1 1 , , , 5 6 6 9 7 3 4 8 6 2 2 2 6 3 4 , , , 4 4 5 8 3 4 7 3 6 2 2 1 3 1 9 , , , 0 0 9 1 4 8 1 8 5 2 2 2 , 6 3 1 7 2 0 4 3 3 r r2, 2 1 9 8 5 8 6 3 4 7 2 r r 2 3 , , 2, 8 8 87 2 0 8 4 8 1 1 1 1 1 , , 1 4 2 1 7 3 8 0 4 9 2 2 2 , , , 0 1 0 0 0 5 0 5 3 3 3 3 , , , 4 4 4 7 9 4 6 8 8 November... 37, 865 10, 254 6 301 257 533 364 1,211 30 1,558 27, 611 24, 288 3, 083 3, 368 4, 263 11, 662 1,912 3, 323 1942—Sept. 30 35, 954 10361 6 270 282 526 381 1,221 65 1,616 25, 593 22, 054 2337r3, 029r3, 325 11, 257 2,106 3, 539 Oct. 7 35, 975 10 273 6 330 275 439 375 1,217 26 1,611 25, 702 22, 179 2, 536r3, 007r3, 304 11, 232 2,100 3, 523 Oct. 14 35, 908 10, 264 6 353 270 434 368 1,216 20 1,603 25, 644 22, 149 2, 627r3, 002r3, 277 11, 141 2,102 3, 495 Oct. 21 37, 714 10 341 6 347 268 532 367 1,217 26 1,584 27, 373 23, 931 2, 721r2 983r4, 535 11, 780 1,912 3, 442 Oct. 28 37, 549 10, 320 6, 316 265 529 369 1,217 46 1,578 27, 229 23, 786 2, 811r2, 945r4, 398 11, 725 1,907 3, 443 N N N N o o o o v v v v . . . . 4 2 1 1 5 8 1 3 3 3 3 7 7 7 7 , , , , 9 9 9 6 0 3 9 2 5 9 1 4 1 1 1 1 0 0 0 0 , , , 0 4 3 1 5 4 4 7 8 1 5 2 6 6 6 6 , 3 3 2 24 1 5 8 1 4 9 9 2 2 2 2 5 5 6 5 3 8 0 9 4 6 4 5 4 6 7 4 4 4 9 4 3 3 3 3 5 6 7 6 6 4 0 7 1 1 L , , , , 2 2 2 2 1 1 0 0 2 3 9 9 4 3 2 1 4 4 5 9 1 1 1 1 , , , , 5 5 5 5 3 4 8 6 6 8 0 6 2 2 2 2 7 7 7 7 , , , , 4 8 3 7 8 7 5 3 1 9 0 3 2 2 2 2 4 4 4 4 , , , , 0 4 5 1 2 2 8 2 7 3 1 0 3 3 2 2 , , , 9 8 3 2 3 6 1 1 2 9 1 8 r r r r 3 3 3 3 , , , 3 3 3 3 5 6 6 8 8 7 3 3 r r r r 4 4 4 , , , 4 2 2 2 2 7 7 4 6 4 2 6 2 1 1 1 1 1 1 1 1 , , , , 6 6 6 6 6 6 6 5 8 4 4 1 1 1 1 1 , , , , 9 9 9 9 1 1 0 1 9 2 7 1 3 3 3 3 , , , , 3 3 3 3 0 5 2 1 0 9 3 0 Dec. 2 38,387 10 295 6 192 248 700 389 1,207 22 1,537 28, 092 24, 808 3 570 3 429 4 241 11634 1,934 3, 284 Dec. 9 38,444 10 304 6 157 247 751 383 1,204 22 1,540 28, 140 24, 843 3 617 3 388 4 228 11, 683 1,927 3, 297 Dec. 16 39,829 10 229 6 105 245 743 394 L,204 26 1,512 29, 600 26 317 3851 3 418 4 196 12919 1,933 3, 283 Dec. 23 40,457 10 683 6 165 244 1,099 409 L,200 47 1,519 29 774 26 510 3 974 3 452 4 178 12975 1,931 3 264 New York City 1941—November... 12 189 3,780 2552 84 392 153 106 32 461 8 409 6 955 414 1602 3 336 1,603 1454 1942—July 13 097 3 784 2 584 57 444 151 103 30 415 9 313 8060 499 586 1639 4 242 1,094 1 253 August 13 438 3 770 2 589 56 427 150 104 33 411 9 668 8390 723 671 1563 4 344 1,089 1 278 September... 13 588 3 649 2 551 51 373 140 104 32 398 9 939 8616 735 962 1518 4 282 1,119 1 323 October 14 353 3 677 2 611 42 369 138 102 27 388 10 676 9 376 929 1 124 1911 4 351 1,061 1 300 November... 14 851 3 696 2 592 3$ 421 137 102 28 378 11 155 9 979 1278 1 289 1997 4 419 996 1 176 1942—Sept. 30 13980 3 693 2550 47 406 142 103 54 391 10287 8 934 736^l 131 1687 4 256 1,124 1353 Oct. 7 13,959 3 626 2 600 44 323 140 103 24 392 10 333 8 990 803 1 142 1677 4 243 1,125 1 343 Oct. 14 13,936 3 624 2 613 43 321 138 102 18 389 10 312 9 000 889 1 138 1638 4 208 1,127 1 312 Oct. 21 14,801 3 726 2 619 42 417 137 102 23 386 11 075 9 805 974 1 115 2 229 4 491 996 1 270 Oct. 28 14,716 3 732 2 612 41 413 137 102 43 384 10 984 9 711 1051 1 101 2 101 4 462 996 1 273 Nov. 4 14 990 3 862 2 606 40 548 140 102 41 385 11 128 9936 1 187 1 294 2018 4 440 997 1 192 Nov. 11 14 790 3 746 2 623 38 433 140 102 31 379 11 044 9 868 1 139 295 2014 4 423 997 1 176 Nov. 18 14 780 3 625 2 580 38 370 138 102 22 375 11 155 9986 1320 I 281 1984 4 408 993 169 Nov. 25 14 844 3 550 2 560 37 333 130 101 17 372 11 294 10 129 1467 1 287 1973 4404 998 1 165 Dec. 2 253 3 815 2 538 35 584 166 101 18 373 11 438 10286 1589 1 329 1974 4 387 1,007 1 152 Dec. 9. 15 ,316 3 840 2 529 34 631 160 101 17 368 11 476 10321 1632 1 322 1971 4 390 1,006 1 155 Dec. 16 15 ,858 3 781 2 467 37 621 171 101 17 367 12 077 10933 1766 1 351 1976 4 834 1,006 1 144 Dec. 23 16 ,372 4 ,171 2,493 37 952 179 100 39 371 12 201 11060 1,880 1,376 1959 4 842 1,003 1 141 Outside New York City 1941—November... 17,432 7,497 4058 341 150 278 1,153 7 1,510 9 935 7712 460 950 4980 1,322 2 223 1942—July 19 ,901 6,957 3,870 285 117 250 1,130 2 1,303 12,944 10,792 1,157 879 1247 6 567 942 2 152 August 20 ,595 6,830 3,802 268 119 244 1,127 3 1,267 13,765 11595 1,380 1 161 1245 6845 964 2 170 September... 21 ,300 6,69 3,729 248 116 237 1,121 4 1,238 14,607 12,432 1,588rl ,605 rl 306 6 952 981 2 175 October 22 ,434 6 623 3,726 227 115 232 1,115 2 1,206 15,811 13635 1,745 rl 860rl 967 7 119 944 2 176 November... 23 ,014 6,558 3,709 219 112 227 1,109 2 1,180 16,456 14309 1,805 2 079 2 266 243 916 147 1942—Sept. 30 21,974 6,66 3,720 235 120 239 1,118 11 1,225 15,306 13,120 1,601rl,898 rl ,638 7001 982 2,186 Oct. 7 22 ,016 6,64 3,730 231 116 235 1,114 2 1,219 15 ,369 13189 1,733 rl ,865 rl ,627 6,989 975 2 180 Oct. 14 21 ,972 6,640 3,740 227 113 230 1,114 2 1,214 15 ,332 13,149 1,738 r\ ,864 n 639 6,933 975 2,183 Oct 21 22 ,913 6,61 3,728 226 115 230 1,115 3 1,198 16 ,298 14,126 1,747 rl ,868 r2 306 7,289 916 2,172 Oct. 28 22 ,833 6,588 3,704 224 116 232 1,115 3 1,194 16 ,245 14075 1,760 rl ,844 r2 297 7 263 911 2 170 Nov. 4 22 ,934 6,58 3,708 220 116 230 1,111 3 1,195 16 ,351 14184 1,724 r2 ,064 r2 254 7,228 914 2 167 Nov. 11 22 ,901 6,59 3,736 221 111 227 1,110 3 1,187 16 ,306 14,159 1,693 r2 ,068 r2,260 7,228 910 2,147 Nov. 18 23 ,125 6,54 3,709 220 109 226 1,107 3 1,173 16 578 14,437 1,898 r2 ,086 r2,278 7,256 919 2,141 Nov. 25 23 ,095 6,508 3,681 216 111 226 1,108 2 1,164 16 ,587 14452 1,902 r2 ,096 r2,273 7,260 921 2,135 Dec. 2 23 ,134 6,48 3,654 213 116 223 1,106 4 1,164 16 ,654 14,522 1,981 2,100 2,267 7,247 927 2,132 Dec. 9 23 ,128 6,46 3,628 213 120 223 1,103 5 1,172 16 ,664 14,522 1,985 2,066 2,257 7,293 921 2,142 Dec. 16 23 ,971 6,44 3,638 208 122 223 1,103 9 1,145 17 ,523 15,384 2,085 2,067 2,220 8,085 927 2,139 Dec. 23 24 ,085 6 ,51 3,672 207 147 230 1,100 8 1,148 17 ,573 15,450 2,094i 2,076 2,219 8,133 928 2 ,123 r Revised. NOTE.—For description of figures see BULLETIN for November 1935 (pp. 711-738) or reprint, and BULLETIN for June 1937 (pp. 530-531). For back figures see BULLETIN for November 1935 (pp. 711-738) or reprint, BULLETIN for December 1935 (p. 876), Annual Report for 1937 (tables 65-67) and corresponding tables in previous Annual Reports. 62. FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

WEEKLY REPORTING MEMBER BANKS—NEW YORK CITY AND OUTSIDE RESERVES AND LIABILITIES [Monthly data are averages of Wednesday figures. In millions of dollars] Demand deposits, Time deposits, Interbank except interbank except interbank deposits Reserves Bal- De- Indi- Indi- Domestic Date or month B s w F e e R a e r i r n e a t d v h k - l - e s v C a i a n u sh lt b m a w a n d e n i c o s t k e - t h i s s c 1 j m p u a o d s a d s e t n e - i - t d d s 2 s p u p v n c h a o a a i e o n i d l r r p r r d s a t - - - s , - - , S p s d s a t i o i u a c i n o l v b a t d i n e i l - t s - - s c C c h o a e f e e e i f n t e f r r c c d i t d s . - k i ' - s m U G e e r . o n n S v - t . - s p u p v n c h a o a a i o e i n d l r r p r r s d a t - - - s , - - , S p s d s a i t i o u c i a o n v l b a t d n i e i - l t - s s - p U m G a o e s in a n o . r e s S g n v t n d v a s - . - t - l m D a e n b - d a 1 nk T s ime b F e a i o n g r k n - s B r in o o g w r s - - co C i a u t a c a n p - l t - s B d i a e t n s b 3 k tions tions Total 101 Cities 1941—November.... 10,273 564 3,328 24,168 23,890 1,822 705 5,290 153 9,178 3,915 9,452 1942—July 9,421 494 2,820 25,992 25,756 1,767 561 1,657 4,962 125 20 8,538 679 3,951 9,437 August 9,614 485 •2,702 26,638 26,323 1,769 468 2,154 5,000 115 21 8,450 684 3,963 9,459 September.... 9,155 493 2,668 27,637 27,429 1,824 496 1,180 5,031 116 26 8,732 679 3,971 10,007 October 9,031 517 2,614 28,268 28,154 1,874 517 2,084 5,074 109 26 8,878 683 3,983 10,032 November.... 9,296 518 2,711 29,361 29,236 1,912 553 2,031 5,117 103 25 9,200 697 4,004 10,192 1942—Sept. 30 8,618 496 2,526 27,424 27,344 1,909 556 2,018 5,038 26 8,453 676 3,973 11,665 Oct. 7 8,700 506 2,535 27,819 27,387 1,862 512 1,434 5,056 116 26 8,745 684 3,979 9,822 Oct. 14 9,086 536 2,713 28,183 28,579 1,851 509 1,103 5,070 116 26 9,227 679 3,983 8,866 Oct. 21 9,184 502 2,575 28,431 28,304 1,837 501 3,103 5,084 103 26 8,717 681 3,984 11,363 Oct. 28 9,155 524 2,635 28,639 28,345 1,947 547 2,696 5,087 102 26 8,825 685 3,987 10,077 Nov. 4 9,053 523 2,639 28,593 28,555 1,969 608 2,821 5,100 103 26 8,944 699 3,999 10,538 Nov. 11 9,278 515 2,665 28,927 28,683 1,911 492 2,292 5,117 99 26 9,152 690 4,004 8,340 Nov. 18 9,376 516 2,800 29,698 29,615 1,866 544 1,700 5,128 105 26 9,394 692 4,007 11,817 Nov. 25 9,478 517 2,741 30,224 30,089 1,901 567 1,310 5,121 106 26 9,310 707 4,006 10,072 Dec. 2 9,483 516 2,768 28,852 28,733 1,867 581 3,092 5,102 100 26 9,389 709 4,018 12,794 Dec. 9 9,845 556 2,733 29,011 28,765 1,793 513 3,388 5,098 100 26 9,334 712 4,014 10,107 Dec. 16 .10,106 551 2,834 29,120 29,350 1,766 535 4,857 5,107 100 26 9,420 733 4,014 11,760 Dec. 23 9,660 556 2,771 28,504 28,644 1,723 562 5,636 5,108 100 26 9,354 743 4,011 12,911 New York City 1941—November.... 4,776 85 91 10,310 10,491 313 325 342 3,650 586 1,530 3,850 1942—July.... 4,203 75 41 10,552 10,801 216 322 877 651 3,151 610 1,541 3,694 August 4,221 73 29 10,583 10,780 206 244 1,290 647 3,049 614 1,547 3,717 • September... . 3,763 75 31 10,935 11,159 239 251 595 639 3,109 608 1,551 3,893 October 3,627 80 30 11,095 11,279 306 270 1,051 642 3,127 611 1,555 3,784 November.... 3,698 82 27 11,526 11,733 309 301 1,080 652 3,191 622 1,567 3,865 1942—Sept. 30 3,478 76 30 10,810 11,078 312 930 634 2,997 605 1,554 4,875 Oct. 7 3,473 78 27 10,986 11,069 298 261 654 637 15 3,071 612 1,555 3,781 Oct. 14 3,554 85 31 11,048 11,394 299 256 501 643 15 3,238 609 1,555 3,377 Oct. 21 3,760 77 30 11,155 11,327 291 270 1,616 644 16 3,071 609 1,557 4,320 Oct. 28 3,720 81 30 11,190 11,325 336 294 1,432 642 16 3,126 612 10 1,555 3,659 Nov. 4 3,599 84 28 11,202 11,416 357 348 1,512 646 18 3,121 625 1,566 4,216 Nov. 11 3,624 81 25 11,275 11,427 305 248 1,229 655 18 3,164 616 1,568 3,170 Nov. 18 3,765 78 26 11,640 11,860 288 295 902 657 18 3,250 615 1,568 4,305 Nov. 25 3,803 84 29 11,985 12,229 286 315 676 650 18 3,227 631 1,567 3,769 Dec. 2 3,743 79 28 11,016 11,269 245 288 2,030 647 14 3,187 635 1,573 5,586 Dec. 9 3,936 87 26 11,073 11,283 228 251 2,230 638 14 3,185 639 1,569 3,881 Dec. 16 4,156 87 28 11,036 11,374 218 227 2,914 641 15 3,264 656 1,569 4,647 Dec. 23 3,940 90 30 10,863 11,204 207 267 3,474 634 16 3,165 664 1,566 5,220 Outside New York City 1941—November.... 5,497 479 3,237 13,858 13,399 1,509 256 363 4,548 129 5,528 110 2,385 5,602 1942—July 5,218 419 2,779 15,440 14,955 1,551 239 780 4,311 113 20 5,387 82 69 2,410 5,743 August 5,393 412 2,673 16,055 15,543 1,563 224 864 4,353 101 21 5,401 78 70 2,416 5,742 September ... 5,392 418 2,637 16,702 16,270 1,585 245 585 4,392 100 26 5,623 76 71 2,420 6,114 October 5,404 437 2,584 17,173 16,875 1,568 247 1,033 4,432 94 26 5,751 72 72 2,428 6,248 November.... 5,598 436 2,684 17,835 17,503 1,603 252 951 4,465 85 25 6,009 68 75 2,437 6,327 1942—Sept. 30 5,140 420 2,496 16,614 16,266 1,597 257 1,088 4,404 106 26 5,456 74 2,419 6,790 Oct. 7 5,227 428 2,508 16,833 16,318 1,564 251 780 4,419 101 26 5,674 71 72 2,424 6,041 Oct. 14 5,532 451 2,682 17,135 17,185 1,552 253 602 4,427 101 26 5,989 72 70 2,428 5,489 Oct. 21 5,424 425 2,545 17,276 16,977 1,546 231 1,487 4,440 87 26 5,646 71 72 2,427 7,043 Oct. 28 5,435 443 2,605 17,449 17,020 1,611 253 1,264 4,445 86 26 5,699 73 73 2,432 6,418 Nov. 4 5,454 439 2,611 17,391 17,139 1,612 260 1,309 4,454 85 26 5,823 70 74 2,433 6,322 Nov. 11 5,654 434 2,640 17,652 17,256 1,606 244 1,063 4,462 81 26 5,988 68 74 2,436 5,170 Nov. 18 5,611 438 2,774 18,058 17,755 1,578 249 798 4,471 87 26 6,144 68 77 2,439 7,512 Nov .25 5,675 433 2,712 18,239 17,860 1,615 252 634 4,471 26 6,083 66 76 2,439 6,303 Dec. 2 5,740 437 2 740 17,836 17,464 1,622 293 1,062 4,455 86 26 6,202 65 74 2,445 7,208 Dec. 9 5,909 469 2,101 17,938 17,482 1,565 262 1,158 4,460 26 6,149 66 73 2,445 6,226 Dec. 16 5,950 464 2,806 18,084 17,976 1,548 308 1,943 4,466 85 26 6,156 65 77 2,445 7,113 Dec. 23 5,720 466 2,741 17,641 17,440 1,516 295 2,162 4,474 84 26 6,189 65 79 2,445 7,691 1 Reciprocal bank balances reported gross before July 8, 1942, now reported net. The July 1 figures include $46,000,000 of such balances in New York City and $528,000,000 at all reporting member banks. 2 Demand deposits other than interbank and U. S. Government, less cash items reported as in process of collection. 3 Debits to demand deposit accounts except interbank and U. S. Government accounts. JANUARY 1943 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

WEEKLY REPORTING MEMBER BANKS—BY FEDERAL RESERVE DISTRICTS LOANS AND INVESTMENTS [In millions of dollars] Loans Investments Loans for U. S. Government obligations d F i e s d tr e i r c ( a t 1 l 9 a 4 R n 2 e d ) s e d r a v t e e m T l v o a o e i e n a n n s t n d - a t t - s l s Total C m t d c a r i o i u n i n e a a m d s - r l l - - , , - p O m a k p p a e e e t r n - r b o p T r s r o u o e k r c c c - a u h r r a r i y s ti i i e n n s g g e l R o st a e a n a t l s e L ba o t n o a k n s s O lo t a h n e s r Total Total Bills f C ic i e o n a r f t - t e i- s Notes Bonds G a u n a - r O r s i e t t c i h e u e s - r agri- ers To debt- teed cul- and others edtural deal- ness ers Boston (6 cities) Dec. 2 2,003 687 387 73 14 12 73 1 127 1,316 1,203 203 190 171 580 59 113 Dec. 9 2,019 687 383 74 16 13 73 1 127 1,332 1,221 213 191 171 587 59 111 Dec. 16 2,061 668 368 71 16 13 73 1 126 1,393 1,284 224 186 168 646 60 109 Dec. 23 2,089 679 379 70 17 13 73 1 126 1,410 1,303 219 190 182 650 62 107 New York (8 cities)* Dec. 2 16,499 4,172 2,681 37 588 201 189 18 458 12,327 1,051 ,648 1,405 2,127 4,816 1,055 1,276 Dec. 9 16,561 4,194 2,671 36 634 195 188 17 453 12,367 1,088 ,693 ,389 2,129 4,822 1,055 1,279 Dec. 16 17,146 4,131 2,607 39 624 205 188 17 451 13,015 1,746 ,837 ,418 ,118 5,315 1,058 1,269 Dec. 23 17,672 4,525 2,636 39 955 214 187 39 455 13,147 1,882 ,961 ,440 ,092 ,334 1,055 1,265 Philadelphia (4 cities) Dec. 2 1,676 459 249 24 26 31 47 82 1,217 973 135 99 112 564 63 244 Dec. 9 1,672 457 248 24 26 30 47 82 1,215 970 134 97 112 564 63 245 Dec. 16 1,724 454 244 23 28 29 48 82 1,270 1,027 147 96 109 610 65 243 Dec. 23 1,737 455 245 22 29 30 47 82 1,282 1,040 154 96 102 623 65 242 Cleveland (10 cities) Dec. 2 2,881 776 384 19 16 14 181 162 2,105 1,839 134 219 293 1,060 133 266 Dec. 9 2,886 773 386 19 15 14 180 159 2,113 1,841 124 216 290 1,076 135 272 Dec. 16 2,946 770 389 19 16 14 179 153 2,176 1,905 129 216 288 1,137 135 271 Dec. 23 2,944 783 397 19 21 14 178 154 2,161 1,891 116 213 285 1,142 135 270 Richmond (12 cities) Dec. 2 1,174 282 139 9 4 11 50 69 892 823 89 91 126 455 62 69 Dec. 9 1,166 281 138 9 4 11 50 69 885 816 99 85 126 454 52 69 Dec. 16. 1,214 281 138 7 5 12 51 68 933 863 94 91 126 500 52 70 Dec. 23 1,223 283 140 7 4 12 51 69 940 871 91 90 121 517 52 69 Atlanta (8 cities) Dec. 2 1,083 350 211 7 3 7 27 94 733 621 96 138 252 47 112 Dec. 9 1,086 349 212 7 3 7 27 91 737 624 S3 96 137 261 47 113 Dec. 16 1,118 350 213 7 4 7 27 90 768 653 80 94 136 296 47 115 Dec. 23 1,138 355 215 7 4 27 91 783 673 80 111 136 299 47 110 Chicago (12 cities)* Dec. 2 5,797 1,252 853 33 30 49 143 144 4,545 3,989 617 754 588 1,791 239 556 Dec. 9 5,770 1,250 843 34 32 49 143 149 4,520 3,961 603 741 587 1,791 239 559 Dec. 16 6,058 1,257 853 34 32 50 143 145 4,801 4,246 661 740 584 2,022 239 555 Dec. 23 6,079 1,270 854 35 44 50 143 144 4,809 4,254 676 735 580 2,025 238 555 St. Louis (5 cities) Dec. 2 1,237 399 241 10 3 9 65 69 838 716 113 138 105 325 35 122 Dec. 9 1,230 [402 244 10 4 9 65 68 828 706 105 137 105 324 35 122 Dec. 16 1,256 403 245 10 3 9 65 68 853 732 94 138 109 356 35 121 Dec. 23 1,267 409 249 11 4 11 65 68 858 737 138 108 357 36 121 Minneapolis (8 cities) Dec. 2 702 210 115 2 1 5 15 72 492 452 64 59 205 19 40 Dec. 9 693 209 115 1 1 5 15 72 484 444 64 58 205 19 40 Dec. 16 722 213 114 2 1 5 15 73 509 470 64 57 229 19 39 Dec. 23 730 216 115 2 2 5 15 74 514 475 64 57 231 19 39 Kansas City (12 cities) Dec. 2 1,177 379 239 21 2 9 34 74 798 673 104 148 223 60 125 Dec. 9 1,179 379 240 20 3 9 34 73 800 675 102 142 227 60 125 Dec. 16 1,252 381 242 19 3 9 34 74 871 745 102 142 283 60 126 Dec. 23 1,244 380 242 19 3 9 33 74 864 737 101 144 282 59 127 Dallas (9 cities) Dec. 2 907 305 224 11 20 46 602 542 82 108 242 40 60 Dec.9 905 306 224 11 20 47 599 539 82 106 244 40 60 Dec. 16 945 306 225 11 20 47 639 580 82 106 284 40 59 Dec. 23 943 313 227 13 20 48 630 572 83 106 281 40 58 San Francisco (1 cities) Dec. 2 3,251 1,024 469 30 363 140 2,227 1,926 230 187 266 1,121 122 301 Dec. 9 3,277 1,017 453 30 362 150 2,260 1,958 254 188 265 ,128 123 302 Dec. 16 3,387 1,015 467 30 361 135 2,372 2,066 258 191 253 ,241 123 306 Dec. 23 3,391 1,015 466 30 361 134 2,376 2,075 262 191 265 ,234 123 301 City of Chicago* Dec. 2 3,797 831 641 26 44 24 80 2,966 2,613 434 528 406 ,160 85 353 Dec.9 3,776 829 633 29 43 24 83 2,947 2,588 426 515 404 ,158 85 359 Dec. 16 3,964 831 639 28 44 24 79 3,133 2,778 482 513 403 ,295 85 355 Dec. 23 3,976 835 634 38 45 24 76 3,141 2,786 496 510 399 ,296 355 * Separate figures for New York City are shown in the immediately preceding table, and for the city of Chicago in this table. The figures for the New York and Chicago districts, as shown in this table, include New York City and Chicago, respectively. 64 FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

WEEKLY REPORTING MEMBER BANKS—BY FEDERAL RESERVE DISTRICTS RESERVES AND LIABILITIES [In millions of dollars] Demand deposits, Time deposits, Interbank except interbank except interbank deposits Reserves Bal- De- Indi- Indi- Domestic d F i e s d tr e i r c ( a t 1 l 9 a 4 R n 2 e d ) s e d r a v t e e B s w F e R a e e r i n r e a t d v k h - l - e s C va i a n u sh lt m b a w n a d e i c n o s t e - h t k , i s s c j p m u o a d s a d s e t n e i - - t d d s 1 s p u p v h n c a o a a i i e o n d p l r r r r d s a - t - s - , - - , S p d s s a t i o i i u a c o n v l b t a i d n i e - l t - s - s c C h c o e a f e e e i f t n e f c r r c i d d t s k . - i ' s - , m U G er e o . n S n v - . t - s p u p v n h c a a a o i e o i n r l d p r r r s d t a - - s - - , - , S p d s s a t i i o i u a c n o v l a t b d n i i e l t - - s s - p m U G i a o e s n a n e o r . s g n S v n t v d s a - - t . - l m D a e n b - d ank T s ime b e F a i o n g r n k - s B r in o o g w r s - - c C o i a t u a c a n p - l - ts B d i a e ts n b 2 k tions tions Boston (6 cities) Dec. 2 526 65 140 1 750 1 714 121 31 178 229 1 1 339 24 I 256 797 Dec. 9 545 67 140 1,772 1,730 118 27 202 229 1 1 331 24 1 256 578 Dec. 16 567 67 147 1,761 1,760 105 29 271 230 1 1 336 25 1 255 652 Dec. 23 536 68 150 1,739 1,716 103 28 302 230 1 1 329 25 1 255 718 New York (8 cities)* Dec. 2 3,975 112 143 12,044 12,129 442 319 2,091 1,013 22 7 3,259 5 636 1,701 5,961 Dec. 9 4,170 123 135 12,097 12,146 421 274 2,293 1,005 22 7 3,256 5 640 10 1,697 4,177 Dec. 16 4,411 121 162 12,099 12 280 422 256 3,018 1,009 26 7 3,337 5 657 1,697 5,005 Dec. 23 4,164 124 156 11,894 12,063 419 296 3,586 1,002 27 7 3,234 5 666 5 1,694 5,649 Philadelphia (4 cities) Dec 2 444 28 114 1,462 1 443 116 14 95 155 2 372 1 6 220 565 Dec 9 452 31 106 1,466 1,432 109 13 102 154 2 364 1 6 220 461 Dec 16 446 31 122 1,466 1 483 102 19 155 154 2 369 1 6 219 534 Dec. 23 427 30 107 1,441 1,441 95 16 165 154 2 361 1 6 219 571 Cleveland (10 cities) Dec 2 799 65 315 2,378 2 393 124 34 70 687 19 545 17 2 406 843 Dec 9 793 71 317 . 2,384 2,368 126 37 74 711 19 519 17 1 405 704 Dec 16 771 73 314 2,371 2,416 120 39 125 712 18 512 17 2 405 864 Dec. 23 > 699 67 304 2,247 2,268 120 53 152 712 17 517 17 2 406 1,026 Richmond (12 cities) Dec 2 322 32 216 908 908 81 20 56 203 2 5 449 6 1 106 384 Dec 9 322 34 224 913 908 82 15 58 202 2 5 445 6 106 334 Dec 16 311 35 207 927 919 83 22 90 202 2 5 417 6 106 358 Dec. 23 313 34 192 917 907 85 18 98 202 2 5 414 6 1 106 390 Atlanta (8 cities) Dec. 2 . . 256 21 201 758 747 102 10 47 197 2 2 476 1 3 102 319 Dec 9 283 23 197 770 755 98 7 52 198 3 2 484 1 3 101 286 Dec. 16 . . 293 23 205 782 786 98 8 90 197 2 2 481 1 3 102 347 Dec. 23 277 23 197 773 771 99 7 100 197 2 2 484 1 3 102 385 Chicago (12 cities)* Dec 2 1,375 95 505 4,429 4,272 413 53 331 991 4 7 1,593 7 14 451 1,869 Dec 9 1,450 102 475 4,436 4,289 378 53 379 972 4 7 1,579 7 14 452 1,654 Dec 16 1,452 99 498 4,469 4,391 371 62 633 973 3 7 1,590 7 14 453 1,900 Dec. 23 1,398 107 480 4,319 4,246 353 56 711 978 3 7 1,611 7 14 453 1,942 St. Louis (5 cities) Dec 2 289 16 136 821 836 72 11 34 188 2 1 546 103 332 Dec 9 301 19 139 834 851 65 9 36 188 2 1 541 103 292 Dec 16 303 18 145 821 864 66 8 75 188 2 1 548 103 333 Dec. 23 303 18 151 814 854 60 9 90 188 2 1 556 103 367 Minneapolis (8 cities) Dec 2 171 9 107 522 487 86 8 22 110 1 270 3 1 67 220 Dec 9 164 10 109 516 476 86 8 21 110 1 265 3 1 67 225 Dec. 16 170 9 106 519 487 86 7 51 110 1 261 3 2 67 199 Dec 23 171 9 112 530 496 82 7 56 110 1 261 3 2 67 212 Kansas City (12 cities) Dec 2 338 18 333 913 912 103 15 37 141 1 1 667 5 116 384 Dec. 9 348 19 331 926 917 100 12 38 142 1 1 664 6 116 350 Dec 16 350 19 335 945 962 99 16 84 142 1 1 680 5 116 397 Dec. 23 362 19 334 919 938 103 15 95 142 1 1 696 5 116 447 Dallas (9 cities) Dec 2 281 18 292 829 821 78 15 47 123 6 1 423 1 95 296 Dec 9 297 19 294 837 822 73 13 51 123 6 1 427 2 95 269 Dec 16 304 18 312 851 856 68 18 93 124 6 1 433 2 95 314 Dec. 23 299 19 316 831 835 63 16 107 124 6 1 437 2 95 337 San Francisco (7 cities) Dec 2 . .. 707 37 266 2,038 2,071 129 51 84 1,065 39 450 20 21 395 824 Dec 9 720 38 266 2 060 2,071 137 45 82 1,064 38 459 20 21 396 777 Dec 16 728 38 281 2,109 2,146 146 51 172 1,066 37 456 20 22 396 857 Dec. 23 711 38 272 2,080 2,109 141 41 174 1,069 37 454 20 22 395 867 City of Chicago* Dec 2 865 43 198 2,720 2,677 197 26 273 470 2 1,158 12 295 1,102 Dec 9 913 45 191 2,725 2,682 182 30 308 450 2 1,156 13 296 1,016 Dec 16 898 44 195 2,730 2,720 184 30 478 451 2 1,146 12 296 1,117 Dec 23 886 45 179 2,629 2,619 183 30 545 453 2 1,163 12 297 1,180 * See note on preceding page. 1 Demand deposits other than interbank and U. S. Government, less cash items reported as in process of collection. 2 Debits to demand deposit accounts except interbank and U. S. Government accounts. JANUARY 1943 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

COMMERCIAL PAPER AND BANKERS' ACCEPTANCES OUTSTANDING [In millions of dollars] Dollar acceptances outstanding Commer- Held by Based on cial End of month sta p o n a u d p t i e - n r g1 sta T o n o u d t t a i - n l g Total Accept O b i i n w l g ls n ban • k s b B o i u l g ls ht Others2 I U m S i n t p n a i o t t t o e e r d s ts E U S x f n t r p a o i t o t m e e r s d ts ex D c o h l a l n ar ge G U s o h n o i i p t d e p p s d o e s d i t n o t b s r e e F i t d n w o r i e n e e i n o g r n States countries 1941—August 354 197 148 100 47 50 114 21 3 49 11 September 371 177 131 85 46 46 105 13 4 45 9 October 378 185 138 90 47 47 109 12 4 48 11 November 387 194 144 93 51 50 116 14 5 48 12 December 375 194 146 92 54 49 116 15 4 48 11 1942—January . 381 197 154 103 52 43 116 17 3 51 11 February 388 190 144 92 53 46 112 18 2 44 13 March 384 183 146 89 57 37 103 17 2 45 16 April 373 177 139 86 53 38 97 17 1 48 '14 May 354 174 133 82 51 41 101 16 1 43 13 June 315 163 122 78 44 41 94 13 (**) 52 n4 July 305 156 119 77 42 38 92 8 45 August • 297 139 108 71 37 31 78 8 (3) 41 11 September 282 123 97 64 33 26 66 6 3 41 10 October 271 119 94 63 31 25 60 6 3 40 12 November . 261 116 90 61 29 26 57 6 3 39 12 1 As reported by dealers; includes some finance company paper sold in open market. 2 None held by Federal Reserve Banks. 3 Less than $500,000. Back figures.—See Annual Report for 1937 (table 70). CUSTOMERS' DEBIT BALANCES, MONEY BORROWED, AND PRINCIPAL RELATED ITEMS OF STOCK EXCHANGE FIRMS CARRYING MARGIN ACCOUNTS [Member firms of New York Stock Exchange. Ledger balances in millions of dollars] Debit balances Credit balances Customers' End of month Customers' bal D an e c b e i s t in bal D an e c b e i s t in Cash on credit balances1 Other credit balances debit partners' firm hand Money ba (n la e n t) c 1 es a in n a d v c e c t s o r t a u m d n e i t n s n g t a in n a d v c e c t s o r t u a m n d e t i s n n g t a b n a d n k i s n borrowed2 Free O (n th e e t) r a I i n n n a d v c p e c t a o s r r t u a m t n d n e t i e s n n r g t s' a in n a v d c In e c t s o r f t u a i m r n d m e t i s n n g t I a n c ( c c n o a e u p t) n it t a s l 1936—June 1,267 67 164 219 985 276 86 24 14 420 December 1,395 64 164 249 1,048 342 103 30 12 424 1937—June 1,489 55 161 214 1,217 266 92 25 13 397 December 985 34 108 232 688 278 85 26 10 355 1938—Tune 774 27 88 215 495 258 89 22 11 298 December 991 32 106 190 754 247 60 22 5 305 1939-June 834 25 73 178 570 230 70 21 6 280 December 906 16 78 207 637 266 69 23 7 4277 1940—June 653 12 58 223 376 267 62 22 5 269 December 677 12 99 204 427 281 54 22 5 247 1941—June 616 11 89 186 395 255 65 17 7 222 November 625 9 100 195 409 264 72 15 8 217 December 600 8 86 211 368 289 63 17 5 213 1942—January 547 8 74 219 308 274 72 18 6 209 February 534 8 74 203 307 262 66 18 5 206 March 531 8 70 195 306 249 67 16 4 201 April 515 8 68 195 300 247 61 16 5 196 May 502 8 79 177 300 238 59 16 3 194 June 496 9 86 180 309 240 56 16 4 189 July 491 7 95 172 307 238 57 16 4 185 •August e490 e300 e240 September e500 e310 e240 October e510 e310 e260 November e52O e320 e270 e Estimated. Complete reports now collected semiannually; monthly figures for three items estimated on basis of reports from a small number of large firms. 1 Excluding balances with reporting firms (1) of member firms of New York Stock Exchange and other national securities exchanges and (2) of firms' own partners. 2 Includes money borrowed from banks and also from other lenders (not including member firms of national securities exchanges). NOTE.—For explanation of these figures see "Statistics on Margin Accounts" in BULLETIN for September 1936. The article describes the method by which the figures are derived and reported, distinguishes the table from a "statement of financial condition," and explains that the last column is not to be taken as representing the actual net capital of the reporting firms. Back figures.See BULLETIN for March 1938, p. 196, and (for data in detail) Annual Report for 1937 (table 69). 66 FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

OPEN-MARKET MONEY RATES IN NEW YORK. CITY COMMERCIAL LOAN RATES [Per cent per annum] AVERAGES OF RATES CHARGED CUSTOMERS BY BANKS IN PRINCIPAL CITIES Yields on U. S. _ mo Y w n e e th a e , k r , or m m 4 p P c - o a e r o n t i p r m o m c t e h i r - 6 e a s , - l l a a b P d c n a e r a c 9 c i r n y e m 0 s e k p ' a s - e l t , - c S h l n c a o e t r a e o a l x e a n w l - - c n l g k - e m b G o i 3 l o - n l v s t 3 h ern d m 9 c m - e o c e n e b f r t o a n e o t t t n i t s i e e f n s 1 t d i s s h - - 2 - e - cu 3 t r - a n y i x o t t e i o a t a e e b r s 5 s l - e 1 1 9 9 3 3 4 5 a a v v e e r r a a g g e e 1 1 [Per ce 1 T n 9 3 2 t o . . c 4 9 t p i a 5 3 t e i l e r s annu Y N m C 2 1 . . o e i 7 ] 4 w t r 6 5 y k e E 7 N r c a 3 3 n o i O s . . t r 3 7 i t t a e t e 9 1 h h n s r e - n d r 1 W e 1 r c 4 3 n e S i . . s t 7 3 o i t a e 6 2 e u n s r t d n h- 1936 averagf 2.68 1.72 3.04 3.40 1939 average .59 .44 1.00 .023 1937 averagi 2.59 1.73 2.88 3.25 1940 average .56 .44 1.00 .014 1938 averag" 2.53 1.69 2.75 3.26 1941 average .54 .44 1.00 .103 "!76" 1939 averag( 2.78 2.07 2.87 3.51 1941— D N e o c v . . 5 5 0 6 . . 4 4 4 4 1 1 . . 0 0 0 0 . . 2 2 4 9 2 8 1. . 0 9 2 0 1 1 9 9 4 4 0 1 a a v ve e r r a a g g < e 2 2 . . 6 5 3 4 2 1. . 9 0 7 4 2 2. . 5 5 5 6 3 3 . .3 1 8 9 Monthly figures1 1942—Jan .56 .44 1.00 .214 .96 1938—November 2.49 1.70 2.68 3.20 M A M Fe p a a b r y r . . . . 6 6 6 6 3 3 3 3 . . . . 4 4 4 4 4 4 4 4 1 1 1 1 . . . . 0 0 0 0 0 0 0 0 . . . . 2 3 2 2 9 6 5 1 9 4 0 2 1. . . . 0 9 9 9 3 8 3 3 1939— D F J e a e b n c r e u u m a a r b y ry er 2 2 2 . . . 6 5 6 0 2 4 1 1 1. . . 7 7 7 0 0 3 2 2 2 . . . 9 9 6 7 5 9 3 3 3 . . . 3 2 2 2 3 6 June .69 .44 1.00 .363 1.15 Quarterly figures July .69 .44 1.00 .368 1.20 1939—March 2.95 2.13 3.05 3.77 Aug .69 .44 1.00 .370 "<80" 1.25 June 2.91 2.15 3.05 3.62 Sept .69 .44 1.00 .370 .76 1.27 September 2.68 2.04 2.78 3.31 Oct .69 .44 1.00 .372 .75 1.28 December 2.59 1.96 2.59 3.32 Nov .69 1.00 .371 .80 1.28 1940—March 2.65 2.03 2.67 3.35 Week ending: June 2.59 2.00 2.49 3.38 Dec. 5 KM 1.00 .367 .79 1.28 September 2.68 2.14 2.56 3.43 D De e c c . . 1 1 2 9 5A-H 1 1 . . 0 0 0 0 . . 3 3 6 6 4 3 . .7 7 8 9 51 1 . .2 3 8 6 1941— D M e a c r e c m h ber 2 2. . 5 5 8 9 2 2 . . 0 0 0 6 2 2 . . 5 5 3 3 3 3 . . 2 3 5 6 Dec. 26 1.00 .365 6.82 1.39 June 2.55 1.95 2.58 3.23 September 2.60 1.98 2.62 3.29 December 2.41 1.88 2.45. 2.99 ce 2 1 n t T M d h o u e n r i t a n h v g l e y r t a f h i g g e e u e r r n e a s t t i e r a e r o e p n a e v r 9 i e o 0 r d - a d . g a e y s o st f o c w k e e e k x ly ch p a r n e g v e a i t l i i m ng e r l a o t a e n s s . was 1.25 per 1942—March 2 2 . . 6 4 2 8 2 1 . .8 0 5 7 2 2 . . 4 5 8 6 3 3 . . 2 3 0 4 3 Rate on new issues offered within period. Tax-exempt bills prior to 2.70 2.28 2.66 3.25 March 1941; taxable bills thereafter. 4 Average for August 15 to 31. \ Number of issues included reduced from 3 to 2 on December 15. 6 Number of issues included increased from 1 to 2 on December 21. Back figures.—See Annual Report for 1937 (tables 43 and 44). Figures for Treasury bills and Treasury notes available on request. BOND YIELDS 1 [Per cent per annum] Corporate (Moody's)5 U.S. Government2 High- Year, month, or week M ip u a n l i 3 c- c g o r r a p d o e - By ratings By groups Partially rate4 Total ex t e a m x- pt Taxable Aaa Aa A Baa In tr d i u a s l - R ro a a il d - P ut u i b li l t i y c' Number of issues 2-6 2 15 5 120 30 30 30 30 40 40 40 1939 average 2.36 2.76 2.92 3.77 3.01 3.22 3.89 4.96 3.30 4.53 3.48 1940 average 2.21 2.50 2.77 3.55 2.84 3.02 3.57 4.75 3.10 4.30 3.25 1941 average 1.95 2.10 2.67 3.34 2.77 2.94 3.30 4.33 2.95 3.95 3.11 1941—November 1.85 2.22 1.90 2.57 3.26 2.72 2.86 3.19 4.28 2.85 3.91 3.04 December 1.96 2.37 2.25 2.68 3.35 2.80 2.95 3.27 4.38 2.94 3.99 3.12 1942—January 2.01 2.37 2.33 2.76 3.35 2.83 2.96 3.30 4.29 2.97 3.93 3.13 February 2.09 2.39 2.55 2.80 3.35 2.85 2.98 3.29 4.29 2.98 3.94 3.15 March 2.00 2.35 2.58 2.80 3.37 2.86 3.00 3.32 4.30 3.00 3.94 3.17 April 1.98 2.34 2.44 2.77 3.34 2.83 2.98 3.30 4.26 2.96 3.95 3.13 May 1.97 2.35 2.45 2.76 3.36 2.85 3.00 3.31 4.27 2.97 3.97 3.13 June 1.97 2.33 2.38 2.75 3.37 2.85 3.01 3.31 4.33 2.97 4.03 3.12 July 2.00 2.34 2.32 2.74 3.35 2.83 2.99 3.28 4.30 2.94 4.02 3.09 August 2.02 2.34 2.28 2.73 3.34 2.81 2.99 3.27 4.28 2.94 3.98 3.09 September 2.03 2.34 2.25 2.73 3.33 2.80 2.98 3.26 4.26 2.95 3.95 3.08 October 2.05 2.33 2.22 2.72 3.31 2.80 2.95 3.24 4.24 2.94 3.92 3.07 November 2.06 2.34 2.20 2.71 3.31 2.79 2.94 3.24 4.25 2.93 3.93 3.06 Week ending: Dec. 5 2.09 2.36 2.22 2.72 3.32 2.81 2.96 3.23 4.28 2.94 3.96 3.07 Dec 12 2.09 2.36 2.25 2.73 3.33 2.81 2.96 3.23 4.29 2.94 3.97 3.07 Dec. 19 2.09 2.36 2.28 2.73 3.33 2.82 2.96 3.23 4.29 2.94 3.97 3.08 Dec. 26 2.08 2.36 2.28 2.72 3.32 2.81 2.96 3.23 4.26 2.94 3.95 3.07 1 Monthly and weekly data are averages of daily figures, except for municipal bonds, which are based on Wednesday figures. 2 Average of yields on all outstanding issues due or callable in more than 12 years. 3 Standard and Poor's Corporation. j U. S. Treasury Department. 5 Moody's Investors Service, week ending Friday. Because of limited number of suitable issues, the industrial Aaa and Aa groups have been reduced from 10 to 4 and 10 to 5 issues respectively, and the railroad Aaa and Aa groups from 10 to 5 and 10 to 9 issues respectively. Back figures.—See Annual Report for 1937 (table 80) and for high-grade corporate bonds. Bulletin of the Treasury Department for July 1941, pages 21-24. Figures for U. S. Government bonds available on request. JANUARY 1943 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

SECURITY MARKETSi Bond prices Stock prices6 Volume Corporate4 Common (index, 1935-39 = 100) of trad- Year, month, or week m U G er e o . n n S v - t . - 2 M ip un al i 3 c- H gr i a g d h e - Tota M l edi I u n t m r d i u a a s l n - d lo R r w o a a e i d r l- -grad P u e t u i b li l t i y c fau D l e- ted fe P r r r e- ed5 Total In tr d i u al s- R r a o i ad l- P ut u i b l l i i t c y ( s in s a h n i a t n ds r h g? e o s) u o - f Number of issues 2-6 15 15 50 10 20 20 15 15 402 354 20 28 1939 average 105.2 116.3 113.8 89.5 91.2 78.1 99.3 13.8 167.5 94 95 75 99 977 1940 average 107.2 121.2 115.9 94.8 97.3 83.8 103.5 14.0 169.2 88 88 71 96 767 1941 average 111.0 129.0 117.8 98.9 103.9 86.9 106.1 21.9 171.9 80 80 71 81 629 1941—November 112.4 133.4 119.2 99.4 105.9 84.9 107.4 24.8 170.5 77 79 68 75 792 December 110.7 125.9 117.5 97.4 105.0 82.4 104.7 21.9 168.7 72 74 61 66 1,542 1942—January 110.1 124.4 117.5 99.2 106.7 86.9 104.1 24.1 166.3 73 74 69 66 565 February 108.9 120.1 117.1 99.6 106.9 87.7 104.4 25.6 165.1 70 71 68 65 404 March 110.2 119.7 116.7 98.8 106.1 88.6 101.8 27.6 159.8 66 67 65 61 363 April 110.5 122.1 117.8 99.3 107.1 88.4 102.3 26.7 154.8 63 65 61 57 336 M ay 110.7 122.1 117.7 98.9 107.4 87.1 102.2 26.4 156.3 63 65 60 57 323 June 110.7 123.3 118.0 98.1 107.7 83.0 103.5 24.0 159.2 66 68 59 59 316 July 110.2 124.4 118.9 98.9 108.4 83.9 104.5 25.5 162.0 68 71 63 58 346 August 109.9 125.4 118.7 99.3 108.7 85.2 104.1 27.1 164.0 68 71 65 59 321 September 109.8 125.9 119.0 100.7 109.8 86.4 105.8 29.4 164.0 69 72 67 60 418 October 109.5 126.5 119.3 102.1 111.2 88.0 107.1 30.3 165.5 74 77 73 64 693 November 109.4 126.9 119.5 103.2 113.8 87.6 108.3 29.6 165.4 75 77 73 66 686 Week ending: Dec. 5 108.9 126.5 118.9 103.1 114.4 86.5 108.6 29.5 167.1 75 77 70 66 552 Dec. 12 108.9 125.9 118.9 103.3 115.1 86.0 108.7 29.8 167.1 75 77 68 65 608 Dec. 19 108.9 125.3 118.8 103.6 115.4 86.5 108.9 30.3 167.1 76 78 69 65 936 Dec. 26 109.1 125.3 118.8 104.0 115.8 86.7 109.6 29.9 166.7 77 80 70 65 830 1 Monthly and weekly data are averages of daily figures, except for municipal bonds and for stocks, which are based on Wednesday figures. 2 Prices derived from average of yields on all outstanding partially tax-exempt U. S. Government bonds due or callable in more than 12 years on basis x>f a 2% per cent, 16 year bond. For description see November 1940 BULLETIN, pp. 1179-1180. Prices expressed in decimals. 3 Prices derived from average yields, as computed by Standard and Poor's Corporation. Prices derived from averages of median yields, as computed by Standard and Poor's Corporation. s Prices derived from averages of median yields on noncallable high-grade stocks on basis of a $7 annual dividend. 6 Standard and Poor's Corporation. 7 Average daily volume of trading in stocks on the New York Stock Exchange. Back figures.—For United States Government bonds, see November 1940 BULLETIN; for municipal bonds, see Annual Report for 1937 (table 79). NEW SECURITY ISSUES [In millions of dollars] For new capital For refunding Total Domestic Domestic (new Total Total Year or month f a i u r n n n e d - g) d- m e ( a f e i d o s n g d o r- - t n) ic Total S n m a p t i n a u c a d - l i t - e a F c e g i e r e e a d l - n s - 1 Total Co B r n a p o o n o n t d e r d s s ate Stocks m e e ( a f i s d o n g d t o r- - n) ic Total S n a m p t i n a a c d l u- i t - e a F c e g i e r e e a d l - n s1 - Total Co B r n a o p o n n o t d e d r s s ate Stocks F ei o g r- n2 1932 1,751 1,197 1,165 762 77 325 305 20 32 554 498 87 93 319 315 4 56 1933 1,063 720 708 483 64 161 40 120 12 343 283 37 26 219 187 32 60 1934 2,160 1,386 1,386 803 405 178 144 35 774 765 136 317 312 312 9 1935 4,699 1,457 1,409 855 150 404 334 69 48 3,242 3,216 365 987 1,864 1,782 81 26 1936 .. 6,214 1,972 1,949 735 22 1,192 839 352 23 4,242 4,123 382 353 3,387 3,187 200 119 1937 3,937 2,138 2,094 712 157 1,225 817 408 44 1,799 1,680 191 281 1,209 856 352 119 1938 4,449 2,360 2,325 971 481 873 807 67 35 2,089 2,061 129 665 1,267 1,236 31 28 1939 5,842 2,289 2,239 931 924 383 287 97 50 3,553 3,465 195 1,537 1,733 1,596 137 88 1 19 9 4 4 1 0 4 5 , , 8 5 0 3 3 9 2 1 , , 8 9 4 5 8 1 2 1 , , 8 9 4 4 7 8 5 7 1 5 6 1 1,2 46 7 1 2 1,0 7 5 3 9 6 8 6 8 0 9 1 1 13 7 5 0 2 1 2 2 , , 8 69 52 1 2 2 , , 8 6 5 8 2 7 4 4 8 3 2 3 3 6 4 9 4 8 2 1 , , 0 5 2 5 6 7 1 1 , , 8 4 3 3 4 0 1 1 9 2 3 6 ""i" 1941—November ..238 111 110 21 89 83 6 127 127 53 32 42 29 13 December... 241 138 138 42 20 77 62 15 102 102 18 25 59 57 2 1942—January 333 182 182 83 11 87 32 55 151 151 35 34 83 82 1 February.... 180 '123 123 30 37 56 37 19 57 57 11 27 19 19 March 197 109 109 22 9 79 61 18 88 88 27 21 39 39 April 262 158 158 51 10 97 91 6 104 104 5 81 19 19 M ay 180 128 128 22 3 103 94 9 52 52 8 39 6 6 June 201 96 96 18 2 77 69 8 105 105 15 28 62 55 July 142 41 41 11 3 28 27 101 101 36 32 33 33 August 162 103 103 44 59 57 2 59 59 3 50 6 6 September .. 100 45 45 17 28 18 10 55 55 7 18 30 30 October 115 28 28 26 2 2 87 87 12 31 44 44 November... 98 29 29 7 17 5 5 69 69 10 46 14 13 1 Includes publicly-offered issues of Federal credit agencies, but excludes direct obligations of U. S. Treasury. 2 Includes issues of noncontiguous U. S. Territories and Possessions. Source.—For domestic issues, Commercial and Financial Chronicle; for foreign issues, U. S. Department of Commerce. Monthly figures subject to revision. Back figures.—See Annual Report for 1937 (table 78). 68 FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

NEW CORPORATE SECURITY ISSUES* PROPOSED USES OF PROCEEDS, ALL ISSUERS [In millions of dollars] Proposed uses of net proceeds Year or month Est g i r m o a ss ted Esti n m et ated New money Retirement of securities Repayment proceeds2 proceeds3 of Other Total e P q l u a i n p t m a e n n d t W c o a rk p i i n ta g l Total Bo n n o d t s e s and Pr s e t f o e c r k red other debt purposes 1934 530 515 57 32 26 362 362 84 1935 2,698 2,629 243 111 131 2,193 2,121 71 170 23 1936 4,781 4,637 858 380 478 3,575 3,349 226 154 49 1937 2,374 2,303 1,046 574 472 1,106 916 190 111 39 1938 2,324 2,279 779 504 275 1,254 1,167 87 239 7 1939 2,177 2,128 325 170 155 1,708 1,650 59 69 26 1940 2,786 2,723 604 424 180 1,927 1,798 128 174 19 1941 2,705 2,661 868 661 207 1,620 1,520 100 144 28 1941—January 269 264 48 44 4 208 183 26 6 1 February 211 208 53 25 28 137 134 2 17 1 March 262 258 68 56 12 172 163 9 14 3 April 184 182 42 26 17 132 111 21 2 5 May 269 262 67 54 13 189 188 1 6 June 250 246 87 75 12 142 131 10 16 1 July 122 119 51 35 16 56 54 2 12 August.... 417 413 185 167 17 210 194 15 14 5 September 182 180 27 17 10 150 148 2 3 October 239 236 91 64 27 126 125 1 14 5 November 155 152 92 61 31 37 37 1 22 December 144 142 57 36 21 62 52 10 17 "6 1942—January 164 161 71 38 33 80 80 9 February 78 76 40 34 5 23 12 "ll" 2 11 March 102 100 39 35 4 46 41 5 15 April 121 118 70 15 55 12 12 36 May 126 124 59 27 33 11 11 53 1 June 142 139 72 57 15 60 55 5 5 2 July 53 52 14 11 3 29 29 8 August 89 88 39 33 6 34 34 3 12 September 62 60 23 8 15 28 26 2 1 g October 18 17 2 2 1 15 15 November 27 27 2 2 24 24 PROPOSED USES OF PROCEEDS, BY MAJOR GROUPS OF ISSUERS [In millions of dollars] Railroad Public utility Industrial Other Year or month Total Retire- All Total Retire- All Total Retire- All Total Retire- All net New ment of other net New ment of other net New ment of other net New ment of other pro- money securi- pur- pro- money securi- pur- pro- money securi- pur- pro- money securi- purceeds ties poses4 ceeds ties poses4 ceeds ties poses* ceeds ties poses4 1934 172 21 120 31 130 11 77 42 62 25 34 2 151 131 19 1935 120 57 54 10 1,250 30 1,190 30 774 74 550 150 485 si 399 4 1936 774 139 558 77 1,987 63 1,897 27 1,280 439 761 80 597 218 359 20 1937 338 228 110 1 751 89 611 50 1,079 616 '373 90 135 112 13 10 1938 54 24 30 1,208 180 943 86 831 469 226 136 185 106 56 24 1939 182 85 97 1,246 43 1,157 47 584 188 353 43 115 9 101 5 1940 319 115 186 is 1,180 245 922 13 961 167 738 56 263 78 81 104 1941 361 253 108 1,340 317 993 30 828 244 463 121 132 55 56 21 1941—January 32 27 5 110 15 93 2 120 6 109 5 2 1 1 F M e a b r r c u h a . r . y . 7 8 1 2 3 1 5 5 0 1 5 7 8 7 47 2 1 5 2 5 9 1 1 4 7 3 2 1 7 7 3 2 9 7 1 1 0 7 35 1 "23 1 " 4 7 April 2 2 82 18 64 1 88 16 66 7 9 8 1 May 45 45 141 6 134 1 76 16 54 6 June . . 58 51 7 113 12 97 4 75 24 38 13 July 23 23 39 13 26 48 9 29 10 10 6 1 2 August 24 24 307 138 169 76 22 40 14 6 1 5 September 42 7 35 114 6 106 2 23 13 9 1 1 1 October 25 21 4 79 11 63 5 75 49 13 14 57 10 "••47" November 1 1 59 46 11 1 85 41 24 21 6 4 2 December 28 28 62 3 46 12 46 25 15 6 6 •••• — 1942—January 10 10 107 18 80 9 43 43 1 1 February 4 4 34 25 10 38 11 14" 13 March 6 6 48 8 40 46 25 6 15 April 11 11 107 59 12 36 M J J A S u u e u a n l p y g y e t u e s m t ber •y 2 2 1 3 2 2 1 " 6 6 4 2 6 9 4 3 1 8 3 1 1 4 2 0 7 7 4 3 2 5 9 4 8 1 6 3 1 4 0 6 1 1 6 2 1 8 5 4 5 1 4 9 1 9 4 2 6 6 9 4 1 4 8 8 5 1 1 1 ....... October 9 9 3 2 5 2 3 November 15 14 12 2 10 1 Estimates of new issues sold for cash in the United States. Current figures subject to revision. 2 Gross proceeds are derived by multiplying principal amounts or number of units by offering price. 3 Estimated net proceeds are equal to estimated gross proceeds less cost of flotation, i.e., compensation to underwriters, agents, etc., and expenses. 4 Includes repayment of other debt and other purposes. Source.—Securities and Exchange Commission. For description of data and back figures, see pp. 217-19 of the March 1942 BULLETIN. JANUARY 1943 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

QUARTERLY EARNINGS AND DIVIDENDS OF LARGE CORPORATIONS INDUSTRIAL CORPORATIONS [In millions of dollars] Net profits,1 by industrial groups P d r i o v f i i d ts e n a d n s d Year or quarter Total s I a t r e n o e d n l , c M e h r i a y n - - t b o A i m l u e - o s - p e O t m r q t o i t a u e r o h n t n i n e a p s t r - - - f m p N e u a r r e o c r n o t o t n d a d s u - l - s s O g d b o u t o l h r e a d e - r s t F b o a a e o b g n v o a d e e d c s r c s , - , o p r a e i O r n f n o i i g d n l d - , c I h n c tr e a d i m l u a s l s i- - O g d n o u b t o o h r l n e d a e - - s r n c s M i e e e c l o r i e l v s u a s - - - s pr N of e i t ts fe P D r r r e e iv - d iden C m d o o s m n - Number of companies.... 629 47 69 15 68 77 75 49 45 30 80 74 152 152 152 1939 1,465 146 115 223 102 119 70 151 98 186 134 122 847 90 564 1940 1,818 278 158 242 173 133 88 148 112 194 160 132 1,028 90 669 1941 2,169" 325 193 274 227 153 113 159 174 207 187 159 1,144 92 705 Quarterly 1939—1 284 13 20 64 23 25 8 31 14 36 28 24 173 21 114 2 311 14 25 61 21 22 16 36 21 40 29 27 185 22 119 3 320 35 26 12 20 30 23 44 26 45 32 29 167 21 125 4 550 85 44 86 39 42 23 41 37 66 45 42 321 26 207 1940—1 422 47 33 69 41 33 14 34 34 46 41 29 246 21 136 2 412 51 39 53 36 29 21 38 30 45 41 30 230 21 158 3 ... 396 79 34 17 33 30 25 33 25 52 39 29 211 22 158 4 588 101 52 103 63 40 28 43 24 51 39 44 342 25 217 1941—1 510 86 44 79 53 39 23 36 29 49 44 29 286 22 150 2 549 84 48 73 56 36 28 43 42 53 48 36 297 23 165 3 560 81 46 60 56 38 30 44 56 52 49 46 284 23 170 4 550 72 55 61 62 40 32 37 46 52 46 48 276 24 221 1942—1 423 52 38 46 855 36 19 *32 35 39 39 32 204 21 134 2 369 52 35 25 853 32 18 32 27 35 27 34 174 23 136 3 460 50 38 46 861 34 21 41 41 43 32 52 215 21 127 PUBLIC UTILITY CORPORATIONS [In millions of dollars] Railroad2 Electric power Telephone3 Year or quarter O re p v i e n e r n g a u t e - i I b n n e t c c a f o o o x m r m 4 e e e All r N o e a t d s inc I o n m r s o o e a l 1 d v s e 6 nt d D e i n v d i- s O re p v i e e n r n g a u t e - I i b n n t e c c a f o o x o m m 4 re e e inc N o e m t e1 d D en iv d i s - 5 r O e p v i e e n r n g a u t e - in N co e m t e1 d D e i n v d i- s Number of companies... 28 28 28 28 32 32 32 1939 3,995 126 93 -102 126 692 159 137 116 1,067 191 175 1940 4,297 249 189 -73 159 735 177 142 118 1,129 194 178 1941 5,347 672 502 24 186 799 202 133 115 1,235 178 172 Quarterly 1939—i 898 —38 -43 21 175 46 39 19 259 44 42 2 906 —43 -47 (^) 23 166 37 32 19 267 49 42 3 1,058 68 58 (7) 21 167 34 30 19 266 47 43 4 .. 1,133 139 126 —4 61 184 43 36 22 274 51 48 1940—1 986 -3 -12 -29 25 187 48 41 19 274 49 44 2 1,010 15 3 -33 29 176 42 34 19 281 50 44 3 1,130 92 71 —14 29 177 41 31 19 281 45 44 4 1 171 145 127 3 78 194 47 37 20 294 50 46 1941—1 1,152 94 69 —4 22 201 59 43 18 295 43 r44 2 1,272 144 101 2 36 191 48 33 24 308 44 45 3 1,468 267 190 25 31 196 46 25 18 311 45 44 4 1,454 167 142 1 97 211 50 34 19 321 46 40 1942—1 1,483 179 90 12 29 216 63 33 19 324 47 44 2 1,797 389 199 37 35 202 53 25 19 336 48 42 3 2,047 556 283 60 34 208 54 28 19 344 946 39 r Revised. 1 "Net profits" and "net income" refer to income after all charges and taxes, and before dividends. 2 Class I line-haul railroads. 3 Series revised to reflect operations more accurately. The group now excludes American Telephone and Telegraph Company, the greater part of whose income consists of dividends received on stock-holdings in the 32 companies. Dividend payments shown here include amounts paid to parent companies, as well as to the public. 4 After all charges and taxes except Federal income and excess profits taxes. 5 Quarterly dividend data are not available for all companies in the group and, therefore, do not add to the yearly totals shown. 6 Includes roads in receivership or trusteeship at beginning of the year. 7 Not available. 9 Unlike other industrial groups in this table, net income of telephone companies in the first three quarters of 1942 included provision for Federal income and excess profits taxes at rates specified in the Revenue Act of 1941. . .. Sources.—Interstate Commerce Commission for railroads; Federal Communications Commission for telephone companies; published reports for industrial and electric power companies. Figures for the current and preceding year subject to revision. For description of data and back figures, see pages 214 to 217 of the March 1942 BULLETIN. 7° FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

UNITED STATES GOVERNMENT DEBT-VOLUME AND KIND OF SECURITIES [On basis of daily statements of United States Treasury. In millions of dollars] Marketable public issues1 Nonmarketable public issues Fully End of month T d g d i r o e r o t e b s a c t s l t i b n T d e d t i a o e r e r t r e b i a e c n t l s t g t- Total2 Tre b a il s l u s ry in c C d a e n e te r e b t s s i t f s e o i d - f - Tr n e o a t s e u s ry T b re o a n s d u s ry Total2 sa b U v o . i n S n d g . s s T ta r x e a n s o u t r e y s S i p ss e u c e ia s l b in e N d t a e e o r b r i n e n t - s g t s g t e b t e u c e e e u a r a d e r r r i a s i i t n n n t i - g e - - s 1939—June 40,440 39,886 33,965 1,308 7,243 25,218 2,151 1,868 3,770 554 5,450 Dec 41,942 41,445 34,735 1,455 6,203 26,881 2,480 2,209 4,231 497 5,621 1940—June 42,968 42,376 34,436 1,302 6,383 26,555 3,166 2,905 4,775 591 5,498 Dec 45,025 44,458 35,645 1,310 6,178 27,960 3,444 3,195 5,370 566 5,901 1941—June 48,961 48,387 37,713 1,603 5,698 30,215 4,555 4,314 6,120 574 6,360 1941—Nov...... 55,040 54,536 39,677 1,703 6,012 31,765 8,052 5,620 2,136 6,806 504 6,316 Dec......... 57,938 57,451 41,562 2,002 5,997 33,367 8,907 6,140 2,471 6,982 487 6,317 1942—Jan....... 60,012 59,531 42,271 2,101 5,591 34,383 10,196 7,198 2,697 7,063 481 5,673 Feb 62,381 61,895 43,700 2,002 5,591 35,912 11,004 7,893 2,807 7,190 486 5,673 Mar 62,419 61,940 43,329 1,652 , 5,571 35,910 11,278 8,436 2,536 7,333 480 5,666 Apr 64,961 64,496 45,137 1,953 "i,'5O7" 5,571 35,910 12,002 8,951 2,744 7,358 465 5,666 May 68,571 68,108 47,615 2,257 1,507 5,571 38,085 12,976 9,569 3,100 7,518 462 5,667 June 72,422 71,968 50,573 2,508 3,096 6,689 38,085 13,510 10,188 3,015 7,885 454 4,548 July 77,136 76,694 53,826 3,663 3,096 6,689 40,182 14,743 11,078 3,357 8,125 442 4,551 Aug 81,685 81,244 57,176 4,168 4,705 6,689 41,418 15,805 11,751 3,739 8,262 441 4,567 Sept 86,483 85,847 60,402 4,619 6,211 7,958 41,418 16,936 12,479 4,137 8,509 637 4,552 Oct 92,904 92,265 65,008 5,126 6,211 10,095 43,381 18,672 13,381 4,964 8,585 639 4,243 Nov 396,116 395,458 66,132 5,721 6,739 10,095 43,381 20,117 14,079 5,703 8,787 657 4,244 1 Including amounts held by Government agencies and trust funds, which aggregated $2,609,000,000 on October 31, and $2,610,000,000 (preliminary) on November, 30, 1942. 2 Total marketable public issues includes Postal savings and pre-war bonds, and total nonmarketable public issues includes adjusted service and depositary bonds not shown separately. 3 Including $422,000,000 of special one-day certificates of indebtedness not shown separately. UNITED STATES GOVERNMENT MARKETABLE PUBLIC UNITED STATES SAVINGS BONDS SECURITIES OUTSTANDING, NOVEMBER 30, 1942 [In millions of dollars] [On basis of daily statements of United States Treasury. In millions of dollars] Amount Funds received from sales during Redemp- Issue Amount Issue Amount out- month tions Month standing Tr J e u a n s e u r 1 y 5 , b 1 o 94 n 3 d - s 47 454 Tr S e e a p s t u . ry 1 5 n , o 19 te 4 s 4 —Continued 283 a m t e o n n d t h o 1 f A-n 2 Se E ries Se F ries Se G ries se A r l i l es Oct. 15, 1943-45 1,401 Sept. 15, 1944 635 series'5 Apr. 15, 1944-46 1,519 Mar. 15, 1945 718 Dec. 15, 1944-54 1,037 Mar. 15, 1945 1,606 1941—May 4,008 370 101 38 211 14 Sept. 15, 1945-47 1,214 Dec. 15, 1945 531 June 4,314 315 103 29 183 15 Dec. 15, 1945 541 Mar. 15, 1946 503 July 4,649 342 145 27 170 18 Mar. 15, 1946-56 489 Dec. 15, 1946 3,261 Aug 4,908 266 118 20 128 13 June 15, 1946-48 1,036 Cert, of indebtedness. Sept 5,132 232 105 18 109 14 June 15, 1946-49.. 819 Feb. 1, 1943 1,588 Oct 5,394 271 123 23 125 14 Oct. 15, 1947-52 759 May 1, 1943 1,506 Nov 5,620 234 110 19 105 13 Dec. 15, 1947.. . 701 Aug. 1, 1943 1,609 Dec 6,140 529 341 33 154 16 M M a a r r . . 1 1 5 5 , , 1 1 9 94 4 8 8 - - 5 5 0 1 1 1 , , 1 2 1 2 5 3 Nov. 1, 1943 2,035 1942—Jan 7,198 1,061 667 78 316 15 Sept. 15, 1948 451 Treasury bills Feb 7,893 703 398 52 253 16 Dec. 15, 1948-50 571 Dec. 2, 1942 351 Mar. 8,436 558 338 41 179 22 June 15, 1949-51 1,014 Dec. 9, 1942 351 Apr 8,951 531 327 40 164 21 Sept. 15, 1949-51 1,292 Dec. 16, 1942 402 May 9,569 634 422 43 170 22 Dec. 15, 1949-51 2,098 Dec. 23, 1942 402 June 10,188 634 433 41 160 23 Dec. 15, 1949-52 491 Dec. 30, 1942 401 July 11,078 901 508 74 319 25 Dec. 15, 1949-53 1,786 Jan. 6, 1943 400 Aug 11,751 697 454 52 191 32 Mar. 15, 1950-52..:.... 1,963 Jan. 13, 1943 400 Sept 12,479 755 510 61 184 34 Sept. 15, 1950-52 1,186 Jan.'20, 1943 505 Oct 13,381 935 665 61 210 40 June 15, 1951-54 1,627 Jan. 27, 1943 505 Nov , 14,079 735 542 45 148 43 M D D Se e e a c c p . . r t . . 1 1 1 1 5 5 5 5 , , , , 1 1 1 1 9 9 9 9 5 5 5 5 1 2 1 1 - - - - 5 5 5 5 5 4 3 5 .. 1 1 , , 1 0 7 5 1 2 5 1 8 4 5 0 F F F F e e e e b b b b . . . . 3 1 2 1 , 0 4 7 , , , 1 9 1 1 1 4 9 9 9 3 4 4 4 3 3 3 5 5 5 5 0 0 0 0 0 1 2 1 Di 1 f f A er t e n c c u e r re b n e t t w re e d e e n m " p F ti u o n n d v s al r u e e c s e i e v x e c d e " p t a S n e d r i m es o G nt , h w to h ic m h o i n s t h s ta c te h d a n a g t e s p a i r n . June 15, 1952-55 1,501 Total direct issues . . . 66432 ''Amounts outstanding" represents the difference between accrued increases Po M J J M D J J S S s u u u u e e e t a a n n n n c p p a r r . e e e e t l t . . . . 1 1 1 1 1 1 S 1 1 1 5 5 5 5 5 5 5 a 5 5 , , , , , , , v , , 1 1 1 1 1 1 1 i 1 1 9 9 9 n 9 9 9 9 9 9 5 5 6 5 5 6 g 5 5 6 3 4 0 6 8 2 s 6 5 7 - - - - - - 5 - 5 - - 6 6 5 6 5 7 b 6 5 6 5 7 8 3 9 2 0 o . . n .. d . s . . . . . 2 1 2 1 2 , , , , , 6 4 1 4 7 7 6 9 9 1 1 4 1 8 2 1 8 8 1 1 1 9 8 5 6 5 1 2 9 7 Gu F H C a e o o M F M M M r d m m a e . a a b a a n e m y F . y y r t . a o e O 1 1 1 r 1 d 1 e m 5 w , , 5 d 5 i , t , 1 , n y 1 M 1 9 1 s 1 9 e 9 4 e 9 9 C 4 r o 4 3 4 s 4 c 4 r r 5 ' 4 4 - u e t 5 - - g L d r 4 6 2 i a i o 9 4 t t g a i e e C n s o C C rp o o . r r p p . , 4 2 8 7 8 1 9 3 7 9 2 5 5 9 i n n o 2 t r e I b n d e c e e l m n u p d i t e s i s s o u n f e ig d v u a s r l e i u n s e c s f e o a r A n p s d e r r r il i e e d 1 s e 9 A m 41 - p . D ti o n n o s t o s f h o b w on n d s s e d p u a r r i a n t g e ly t ; h e th m es o e n s th e . ries have Conversion bonds . 29 June 1, 1945-47 755 T Pa re n a a s m u a ry C n a o n t a e l s loan 50 Re J c u o ly n st 1 r 5 u , c 1 ti 9 o 4 n 3 Fin. Corp. 324 Dec. 15, 1942 . 232 Apr. 15, 1944 571 Mar. 15, 1943 66 Fed. Public Housing June 15, 1943 629 Authority Sept. 15, 1943 279 Feb. 1, 1944 114 Dec. 15, 1943 421 Federal Housing Admin. Mar. 15, 1944 515 Various 21 June 15, 1944 416 Total guaranteed issue; 4,195 JANUARY 1943 71 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

OWNERSHIP OF UNITED STATES GOVERNMENT SECURITIES, DIRECT AND FULLY GUARANTEED [In millions of dollars] Held by Federal Privately held1 agencies and Held End of month s i e b n c T e t u e a o r r r i t e i t a n s i l e g t- s S is p s [ e u t c r e i u s a s l t fun P i d s u s s b u l e i s c F R B e e a b d s n y e e k r r v a s l e Total M b e a m nk b s er m b O c e a o t r n h c m k e ia - s r l M sa b v u a i n t n u k g a s s l I p c n a a o n s n m u c i e e r - - s M i O a s a s b r t u k h le e e e s r t- inv m e i N s s a a t s r o b o u k n l r e e e - s s t- 1938—June 41,428 2,676 2,101 2,564 34,087 12,343 1,700 2,690 5,500 10,500 1,400 ~>ecember 43,891 3,156 2,177 2,564 35,994 13,222 1,850 2,880 5,700 10,700 1,600 19^-June 45,336 3,770 2,116 2,551 36,899 13,777 1,920 3,040 5,900 10,400 1,900 December 47,067 4,231 2,300 2,484 38,052 14,328 1,970 3,100 6,300 10,200 2,200 1940—June 47,874 4,775 2,295 2,466 38,338 14,722 1,830 3,110 6,500 9,300 2,900 December 50,360 5,370 2,250 2,184 40,556 15,823 1,940 3,220 6,800 9,600 3,200 1941—June 54,747 6,120 2,362 2,184 44,081 18,078 2,020 3,430 6,900 9,400 4,300 December 63,768 6,982 2,547 2,254 51,985 19,539 2,250 3,700 7,900 10,000 8,600 1942—June 76,517 7,885 2,726 2,645 63,261 24,098 2,290 3,890 8,800 11,100 13,100 Julyp 81,245 8,125 2,741 3,153 67,226 28,500 4,000 8,900 11,500 14,300 August** 85,811 8,262 2,884 3,426 71,239 30,200 4,100 9,500 12,000 15,400 September** 90,399 8,509 2,900 3,567 75,423 32,500 4,200 9,600 12,700 16,400 October? 96,509 8,585 2,922 4,667 80,335 35,400 4,300 9,700 12,700 18,200 p Preliminary estimates. l Estimated figures for "other commercial banks and mutual savings banks have been rounded to nearest 10 million dollars and for insurance companies and other investors to nearest 100 millions. Back figures.—See July 1941 BULLETIN, p. 664. SUMMARY DATA FROM TREASURY SURVEY OF OWNERSHIP OF SECURITIES ISSUED OR GUARANTEED BY THE UNITED STATES* [Public marketable securities. Par values in millions of dollars] U.S. U.S. Gov- Govs T t o i a o n u n g t t d a - l - m a e a c g r i n e e e n d n n s - t - B s F e R e a r e r e n a v d - k l e - s m b C e a o r n c m k ia s - 1 l b M i s t a n u a n g v u a k s l - - s p I a c n a o n s n m c u i e e r - - s Other s T t o i a o n u n t g t a d - l - a m e c a g r i n e e e n d n n s - t - B s F e R e a e r r e n a v d - k l e - sb C m a c o n i e a m k r l - s - b M s i t a n u a n g v u a k s l - - s p I a c n a o n s n m c u i e e r - s - Other trust trust funds funds Total 2 Treasury bonds: 1941—June 44,072 2,360 2,184 19,014 3,342 6,84110,332 Total: Dec 47,878 2,547 2,254 20,589 3,641 7,85810,990 1941—June 30,215 2,015 ,359 10,851 2,895 5,983 7,112 1942—May 53,282 2,713 2,489 23,554 3,770 8,69512,060 Dec 33,367 2,182 ,46212,174 3,197 6,836 7,517 June 55,122 2,723 2,645 24,939 3,830 8,74812,237 1942—May 38,085 2,325 ,606 14,725 3,413 7,815 8,200 July 58,340 2,737 3,153 26,848 3,933 8,80712,861 June 38,085 2,321 ,61714,828 3,442 7,766 8,110 Aug 61,691 2,881 3,426 28,548 4,057 9,41913,360 July 40,182 2,331 ,64316,135 3,569 7,862 8,642 Sept 64,916 2,877 3,567 30,707 4,114 9,51314,138 Aug 41,418 2,456 ,660 16,376 3,682 8,520 8,725 Oct 69,204 2,993 4,667 33,084 4,199 9,62614,634 Sept 41,418 2,456 ,713 16,433 3,693 8,474 8,649 Trea 1 s 9 u 4 ry 1— b J i u ll n s e : 1,603 1,112 23 10 459 Maturimn g O w ct i . t . h .. in 5 years: 43,381 2,554 2,14517,357 3,765 8,591 8,969 Dec 2,002 io 1,037 34 210 710 1941—June 3,508 291 1,370 197 526 ,124 1942—May 2,257 156 1,350 19 54 678 Dec 3,461 289 1,398 191 531 ,053 June 2,508 243 1,557 28 91 590 1942—May 3,461 289 1,437 170 526 ,037 July 3,663 1 566 2,263 28 88 718 June 3,915 336 1,599 224 581 ,173 Aug 4,168 1 696 2,648 25 78 721 July 3,915 336 1,617 220 570 ,173 Sept 4,619 1 657 2,884 17 123 937 Aug 3,915 330 1,627 217 566 ,174 Oct 5,126 2 481 3,468 18 126 1,031 Sept 5,129 472 2,137 274 781 ,464 Certificates: Oct 5,129 528 2,100 264 771 ,465 1942—May 1,507 8 27 869 38 129 436 Maturing in 5-10 years: June 3,096 11 66 1,971 74 191 782 1941—June 7,585 776 3,367 718 1,236 ,489 July 3,096 11 218 1,921 57 171 718 Dec 7,584 757 3,452 685 1,257 ,432 Aug 4,705 20 341 3,008 78 184 1,074 1942—May 9,890 871 5,060 795 1,433 ,735 Sept 6,211 19 504 3,978 92 271 1,346 June 9,436 846 4,959 750 1,347 ,536 Oct 6,211 22 726 3,782 90 265 1,326 July 11,534 873 6,214 887 1,477 ,084 Treasury notes: Aug 11,534 883 6,344 886 1,468 ,954 1941—June 5,699 45 820 2,931 191 259 1,452 Sept 11,506 916 6,446 932 1,458 ,756 1942— D M e a c y 5 5 , , 9 5 9 71 7 5 5 6 3 6 7 9 7 3 7 3 2, , 9 2 0 4 2 6 1 1 6 1 6 6 2 2 6 4 5 0 1 1 , , 4 5 9 6 0 5 Maturi#n g O c in t 10-20 years: 14,229 1,284 7,717 1,110 1,710 2,409 June 6,689 76 714 3,725 138 266 1,770 1941—June 16,719 2,091 5,549 1,856 3,191 4,036 July 6,689 76 722 3,682 139 266 1,803 Dec 17,253 2,116 6,044 1,856 3,309 3,924 Aug 6,689 79 725 3,602 139 265 1,880 1942—May 18,731 2,178 6,979 1,941 3,541 4,095 Sept 7,958 75 678 4,507 181 276 2,241 June 18,731 2,168 7,009 1,957 3,510 4,086 Oct 10,095 79 1,297 5,830 204 295 2,391 July 18,731 2,180 7,043 1,949 3,488 4,069 Guaranteed securities: Aug 18,731 2,182 7,146 1,948 3,427 4,025 1941—June 6,360 268 5 4,107 233 589 1,158 Sept 17,545 2,061 6,596 1,854 3,163 3,871 Dec 6,317 280 5 4,119 243 547 1,123 Oct 16,786 2,124 6,310 1,756 3,037 3,558 1942—May 5,667 291 7 3,698 183 457 1,031 Maturing after 20 years: June 4,549 281 5 2,847 148 433 835 1941—June 2,404 219 566 126 1,029 465 July 4,514 284 5 2,837 140 419 829 Dec 5,070 482 1,282 462 1,737 1,107 Aug 4,515 292 5 2,902 134 371 810 1942—May 6,002 597 1,250 509 2,317 1,331 Sept 4,515 293 15 2,893 132 369 814 June 6,002 593 1,258 512 2,327 1,315 Oct 4,195 304 17 2,637 122 349 766 July 6,002 587 1,259 513 2,328 1,315 Aug 7,238 721 1,260 630 3,058 1,570 Sept 7,238 721 1,253 631 3,370 1,560 Oct 7,238 764 1,231 634 3,072 1,539 in the table above. 1 On October 31,1942, commercial banks reporting to the Treasury held $8,842,000,000 of United States Government securities due or callable within one year out of a total of $15,129,000,000 outstanding. 2 Including $196,000,000 of postal savings and pre-war bonds not shown separately below. 72. FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

SUMMARY OF TREASURY RECEIPTS, EXPENDITURES, AND RELATED ITEMS [On basis of daily statements of United States Treasury. In millions of dollarsl . Mis- Trans- Change in Period c I o n m - e i c n n e e t l o e la u r- - s S se o c c u ia r- l Other T r o e t - al N re e - t In e t s e t r- a W cti a v r i- f t e r r u s s t t o Other g T e b o t u t d a e - l x- Deficits Tr a u c- st Gentaxes1 re n v a e l - ta it x y es ceipts ceipts2 d o e n bt ties co a u c n - ts p t e u n re d s i- co e u tc n .3 ts F e u r n a d l G d r e o b s t s nue1 etc. balance Fiscal vear ending: June 1941 3,470 2,967 932 900 8,269 7,607 1,111 6,301 331 4,968 12,711 -5,103 -148 +742 +5,994 June 1942 7,960 3,847 1,194 666 13,668 12,799 1,260 26,011 381 4,745 32,397 -19,598 -3,506 +358+23,461 1941—Nov. 66 436 181 47 730 564 15 ,448 10 384 1,858 — 1,294 —484 322 +1,456 Dec 767 353 41 53 1,214 1,212 232 ; 850 •• 9 450 2,542 — 1,329 +1,241 +2,898 1942—Jan 133 369 53 59 614 '578 32 ?!iO4 42 451 2,'628 —2,'050 —633 —610 +2 073 Feb. 283 340 257 58 937 758 12 2| 208 9 400 2,629 — 1,871 +114 +612 +2',369 Mar. 3,083 364 49 52 3,548 3,547 205 2,809 22 385 3,421 +126 —234 —69 +39 Apr ... 335 305 43 49 732 695 77 3,238 48 390 3,753 -3,058 — 126 —642 +2,542 May 216 270 222 56 764 563 19 3,560 375 3,953 -3,391 -257 —39 +3,609 June 2,086 298 42 67 2,494 2,492 390 3,829 1 310 4,530 -2,037 -1,635 +179 +3,852 July 273 416 53 52 794 747 35 r4,498 249 r378 5,160 -4,413 -4 +296 +4,714 Aug 155 362 232 48 797 587 7 r4,884 19 r305 5,215 —4,628 —54 — 134 +4,549 Sept 2,126 309 43 49 2,528 2,527 224 5,384 5 317 5,931 —3,404 —245 +1,148 +4,798 Oct 206 350 48 45 648 607 70 5,481 56 330 5,937 -5,331 -496 +594 +6,420 Nov 199 337 248 45 830 601 28 6,042 3 291 6,363 -5,761 +736 -1,814 +3,212 Details of trust accounts, etc. General Fund of the Treasury (end of period) Soc a ia c l c o S u e n c t u s rity Net ex- Other Assets Ge B n a e l r a a n l c e F u in nd penditures Period in in g ch a e c c - k- De- De- Total c N e r i e e p - t ts I m nv e e n s t t s - p t e u E n r x e d - s i- c a G o g m u o e v n n e e t n c s r i t n e o s - f ce R i e p - ts I m nv e e n s t t s - p t E e u n x r d e - i s - Total R F p e e o s d i s e n e i r t r v s a e l d s p p e o p e i s n c o i i s t a s i l - O as t s h e e t r s li t a i b e i s li- Total W a b i n n o a c l r g - k e - Banks taries Fiscal year ending: June 1941 1,958 1,200 741 218 680 138 490 2,812 1,024 661 1,127 179 2,633 1,885 June 1942 2,327 1,705 614 3,625 863 221 533 3,443 603 1,679 1,162 452 2,991 2,229 1941—Nov 359 148 40 659 45 1 41 2,544 543 947 1,054 225 2,319 1,562 Dec 63 215 49 140 54 -5 47 3,816 966 1,756 1,094 256 3,560 2,802 1942—Jan 144 50 64 681 57 9 30 3,232 391 1,750 1,090 282 2,950 2,191 Feb 383 177 59 35 50 5 44 3,867 748 2,054 1,064 305 3,562 2,802 Mar 31 139 67 75 84 9 59 3,857 525 2,231 1,101 365 3,493 2,732 Apr 112 15 59 189 73 9 39 3,216 522 1,579 1,115 365 2,851 2,089 May 422 196 54 430 53 13 40 3,198 382 1,666 1,150 386 2,812 2,050 June 136 297 51 1,417 110 69 48 3,443 603 1,679 1,162 452 2,991 2,229 July 212 117 53 78 192 124 36 3,782 553 2,014 1,215 494 3,288 2,525 A 433 184 52 262 62 24 28 3,695 569 1,880 1,246 541 3,154 2,392 ASeupgt 30 214 45 25 83 37 37 4,688 1021 2,411 1,256 386 4,302 3,540 Oct 126 49 38 583 96 26 21 5,313 619 3,373 1,321 416 4,896 4,134 Nov 471 170 34 -449 65 32 13 3,557 512 1,695 1,350 475 3,082 2,320 r Revised. 1 Details on collection basis given in table below. 2 Total receipts less social security employment taxes which are appropriated directly to the Federal old-age and survivors insurance trust fund. 3 Excess of receipts (+) or expenditures (—). INTERNAL REVENUE COLLECTIONS [On basis of reports of collections. In millions of dollarsl Income taxes Miscellaneous internal revenue Manufac- Period Total C in u d d r u i r a v e l i n - t C c r u o a r t r r i p o e o n n - t t B a a x c e k s E p x t r a o c x e fi e s t s s s - p O t r a o t x h f e i e t s r s Total C s a t t o p ax c i k tal E ta s g a x t i n a f e d t t s e b A e l t v c a o e x r h e a o s g li e c b t a a T c x o c e - o s S ta ta x m es p re t e t u a a x r n i c e l d i e r s s e r ' s' M la t n a is x e c o e e s u l s taxes Fiscal year ending: June 1941 3,471 1,314 1,649 306 164 37 2,955 167 407 820 698 39 617 207 June 1942 8,007 3,108 2,764 460 1,618 57 3,838 282 433 1,048 781 42 852 401 1941—Nov 66 10 33 16 7 1 361 76 31 90 62 3 72 26- Dec 769 241 426 26 69 6 352 50 24 93 58 4 93 30 1942—Jan 143 38 23 61 18 3 370 3 37 101 70 5 103 52 Feb 337 210 48 51 25 2 324 1 36 78 60 3 81 66 Mar 3,073 1,457 832 56 717 11 355 105 85 62 3 64 36 Apr 295 132 44 73 44 3 294 43 81 63 3 70 33 May 205 12 84 33 68 7 277 25 84 66 3 63 35 June 2,131 715 766 55 584 11 284 25 86 71 3 56 42 July 222 53 83 29 53 2 459 46 114 74 3 62 160 A Se u p g t 2,1 1 2 6 3 4 66 3 2 2 7 5 8 3 1 2 2 6 3 6 4 4 9 1 1 3 7 3 3 1 4 5 0 i" 3 2 0 8 1 1 2 1 3 1 7 7 7 4 3 3 6 5 0 6 3 5 9 1 Oct 220 19 109 27 58 7 348 35 119 83 3 66 42 Nov 185 19 67 24 73 2 478 185 27 104 79 3 47 32 JANUARY 1943 73 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

GOVERNMENT CORPORATIONS AND CREDIT AGENCIES [Based on compilation by United States Treasury Department. In million of dollars.] PRINCIPAL ASSETS AND LIABILITIES OF GOVERNMENT CORPORATIONS AND CREDIT AGENCIES Liabilities, other than Assets, other than interagency items interagency items Securities Bonds, notes, U.S. Pri- End of month i T a o n t s h o t t s h e t a e e a n r t - r l s Loans f s e P t e r o r t r e c c e - . k d , Cash d G U a i o r n . e S v d c . t t . Other1 r c e o o a A c t u n h e c n d i e - v t r s - p B n e r r e u o t s s p y s i - - P e h s r f r a e o o t l l r y p e d - O as t s h e e t r s a a F g n n u u d te a l l e r y d - d ebe O nt t u h r e e r s * l O ia t t i b h e i e s l r i- G in m o te v e r e n e r t s n t - i v o n w a te t n e r e l e y d st agency guaran- ables by teed U.S. 1941—June 13,277 8,106 698 376 925 18 598 636 1,497 423 6,370 1,443 1,604 3,436 424 1941—Oct 14,452 8,368 665 489 1,016 20 810 689 1,805 590 6,938 1,416 1,952 3,718 428 Nov 14,580 8,337 664 502 1,021 26 751 698 1,879 702 6,324 1,393 1,974 4,459 430 Dec. 14,660 8,487 680 496 999 46 574 714 1,891 773 6,324 1,392 2,049 4,464 431 1942—Jan, 14,908 8,388 675 560 1,027 52 604 751 1,964 887 5,705 1,402 2,111 5,256 432 Feb 15,224 8,396 663 582 1,058 53 600 782 2,017 1,073 5,697 1,396 2,372 5,372 434 Mar 15,750 8,407 658 621 1,060 54 632 792 2,262 1,264 5,690 1,433 2,497 5,694 435 Apr. ....... 16,656 8,567 650 645 1,076 54 621 815 2,717 1,511 5,688 1,431 2,656 6,444 436 May 17,343 8,356 649 732 1,088 55 733 833 3,067 1,830 5,687 1,440 2,950 6,828 437 June 17,962 8,379 648 403 1,097 57 774 859 3,512 2,233 4,568 1,442 3,265 8,249 438 July 18,482 8,307 642 407 1,113 58 773 879 3,808 2,495 4,581 1,443 3,457 8,562 438 Aug 19,401 8,233 626 609 1,144 57 853 924 4,177 2,778 4,592 1,445 3,691 9,234 439 Sept 19,974 8,190 623 625 1,197 56 1,065 952 4,287 2,979 4,574 1,434 4,154 9,373 439 Oct 20,534 8,159 622 581 1,219 60 1,088 976 4,710 3,119 4,265 1,413 4,185 10,230 442 LOANS BY GOVERNMENT CORPORATIONS AND CREDIT AGENCIES, OTHER THAN INTERAGENCY LOANS Home mor a t g g e a n ge c ie a s n 3 d housing F g a a r g m e m lo o a r n t s - Other farm credit loans Recon- Rural struc- Elec- Ex- : End of month T lo o a t n a s l 2 n C t a F i o n o i r n c - p e . H C L O e o o o w r r m a s p n n ' e . - F H b L e a o o d a n m a l e k n r e s - M p C R g a a o o F n g m r C y e t- - A M t g F i N s o a o e s a n g d r o - e a t . c - l . P H A F u i o u e n b u t d g l h s i . c . - M F C F g a a o e o r g d r r m e p t . - . F b l e a a a d n n l e k d r s - b c m i F n r a a e e e t n t e d d e d k r i i . s - - t B f o o t p a i r v e n r c e k a o s s - -m C C C o r o o e d r m d i p t i . - y t C F m A r a e i d r n d m - . it i S t F m y e a c i A r n u m . d r- - tr m A t i i f i o i d n c n - . a- B p p I o a o m r n r t - t k - Other 1941—June 8,106 1,082 1,870 170 65 194 316 630 1,818 255 74 244 263 461 289 114 261 1941—Oct 8,368 1,393 1,809 184 73 203 328 610 1,786 236 101 174 253 466 315 143 294 Nov 8,337 1,368 1,794 187 72 205 329 604 1,776 230 109 198 252 464 319 138 293 Dec 8,487 1,433 1,777 219 72 207 367 597 1,764 235 113 233 250 467 323 139 291 1942—Jan 8,388 1,417 1,758 206 74 210 388 590 1,753 238 111 240 249 398 327 140 289 Feb.. 8,396 1,464 1,742 197 75 211 352 586 1,746 251 110 230 253 420 330 141 288 Mar 8,407 1,470 1,724 192 75 214 379 580 1,731 267 106 218 258 436 334 137 286 Apr 8,567 1,469 1,709 18.5 77 215 371 575 1,721 280 102 393 260 450 336 137 287 May 8,356 1,468 1,692 181 79 216 365 567 1,715 282 99 230 258 456' 340 112 296 June 8,379 1,473 1,676 193 82 216 384 562 1,706 289 101 231 258 460 342 113 293 July 8,307 1,479 1,657 174 83 215 388 554 1,692 291 104 201 256 458 343 115 297 Aug 8,233 1,496 1,640 160 85 215 357 547 1,679 287 104 181 254 457 344 117 310 Sept 8,190 ,527 1,622 145 88 215 360 539 1,663 270 112 173 250 456 344 117 309 Oct 8,159 ,533 ,603 131 91 214 377 528 1,645 248 130 188 244 453 344 119 311 SELECTED ASSET ITEMS OF GOVERNMENT CORPORATIONS AND CREDIT AGENCIES, OTHER THAN INTERAGENCY ITEMS Lo F a i n n s a b n y ce R C ec o o rp n o st r r a u ti c o t n ion Preferred stock held Acco r u e n ce ts i v a a n b d le o s ther Property held for sale End of month L to o a f n i s - Loans R s e tr c u o c n - - O H w o n m e e rs' b F a e n d k . s la a n n d d m C o o d m it - y st R ru ec c o ti n o - n War m C o o d m it - y O H w o n m e e rs' Total nancial to Other tion Loan Other Fed. Farm Credit Finance Other Corpo- Credit Loan Other ] insti- rail- Finance Corpo- Mortgage Corpo- Corp. and rations Corpo- Corpotutions roads Corp. ration Corp. ration war cor- ration ration porations 1941—June 1,082 193 480 409 429 183 86 219 79 68 232 257 753 319 168 1941—Oct 1,393 175 458 760 405 175 85 228 219 135 228 536 814 298 157 Nov. 1,368 172 458 738 404 175 85 220 150 144 237 622 812 292 153 Dec 1,433 165 473 795 401 175 104 219 34 80 241 703 749 288 151 1942—Jan 1,417 150 472 795 398 173 104 216 65 76 247 789 740 286 149 Feb 1,464 151 473 840 393 167 103 220 55 74 251 934 654 284 145 Mar 1,470 149 475 846 388 167 103 216 80 82 254 1,224 612 280 146 Apr 1,469 149 477 843 381 167 102 221 40 90 270 1,460 8f3 276 138 May 1,468 146 473 849 379 167 103 222 83 121 307 1,690 972 270 135 June 1,473 144 472 857 378 167 103 225 96 151 302 2,041 1,068 262 141 July 1,479 143 472 864 377 162 103 226 107 144 296 2,285 1,126 258 139 Aug 1,496 144 472 880 372 153 101 231 35 238 349 2,561 1,226 252 138 Sept 1,527 153 473 901 369 152 102 226 61 484 294 2,619 1,286 244 138 Oct 1,533 153 472 908 368 152 102 225 80 490 293 2,921 1,415 238 136 1 Excluding Federal land bank bonds held by the Federal Farm Mortgage Corporation. 2 Excluding investments in preferred stock, the amount of which is shown in the lower section of this table. 3 Excluding loans by Federal savings and loan associations, which are privately owned institutions under the supervision of the Federal Home Loan Bank Board. Loans by these institutions amounted to $1,863,000,000 on October 31, 1942. 74 FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

BUSINESS INDEXES [The terms "adjusted" and "unadjusted" refer to adjustment of monthly figures for seasonal variation] Construction ncome In (p d h u y 1 s 9 t s r 3 i i c 5 a a - l 3 l 9 p v r o = o lu d 1 m u 0 c 0 e t ) io 2* n aw 1 a 9 r 2 c d 3 o - e n 2 d t 5 r ( a = v c a t l s 1 u 0 e 0 )3 Fac- Freight- D m ep e a n r t t- W s h a o le lepay- Factory tory car store com- Cost of Y m ea o r n a th nd ( m v = 9 a e 3 l 5 n 1 u - 0 t e 3 s 0 ) 9 1 Total Du f r M a - c a t n u u r N - e o s n- M er i a n l - s Total R d e t e i s n a i - l - ot A h l e l r e 19 m 2 p 3- l 2 o 5 y m = e 1 n 0 t4 0 = .9 2 1 3 0 - 0 25 . = l 9 i o n 3 a g 5 1 d s - 0 * 3 - 0 9 19 u = s ( 2 a v e 3 l a ) 1 e - * l 0 2 s - 5 0 5 m p = r 1 o i 9 c d 1 2 e i 0 6 s ty 0 4 1 l 9 iv 3 i 5 n 1 - 0 3 g 0 9 M4 able durable Ad- Ad- Unad- Ad- Ad- Ad- Ad- Ad- Ad- Ad- Unad- Unad- Ad- Ad- Unad- Unadjusted justed justed usted justed justed justed justed justed justed justed justed justed justed justed justed 1919 72 84 62 71 63 44 79 106.7 98.0 120 78 138.6 124.5 1920 75 93 60 83 63 30 90 107.1 117.2 129 94 154.4 143.2 1921 58 53 57 66 56 44 65 82.0 75.6 110 87 97.6 127.7 1922 73 81 67 71 79 68 88 90.7 81.2 121 88 96.7 119.7 1923 88 103 72 98 84 81 86 103.8 102.9 142 98 100.6 121.9 1924 82 95 69 89 94 95 94 96.4 96.0 139 99 98.1 122.2 1925 90 107 76 92 122 124 120 99.8 101.1 146 103 103.5 125.4 1926 96 114 79 100 129 121 135 101.7 104.2 152 106 100.0 126.4 1927 95 107 83 100 129 117 139 99.5 102.4 147 107 95.4 124.0 1928 99 117 85 99 135 126 142 99.7 103.5 148 108 96.7 122.6 1929 122.9 110 132 93 107 117 87 142 106.0 110.4 152 111 95.3 122.5 1930 109.1 91 98 84 93 92 50 125 92.4 89.4 131 102 86.4 119.4 1931 92.3 75 67 79 80 63 37 84 78.1 67.8 105 92 73.0 108.7 1932 70.6 58 41 70 67 28 13 40 66.3 46.7 78 69 64.8 97.6 1933 69 54 79 76 25 11 37 73.4 50.1 82 67 65.9 92.4 1934 78.7 75 65 81 80 32 12 48 85.7 64.5 89 75 74.9 95.7 1935 87.1 87 83 90 86 37 21 50 91.3 74.1 92 79 80.0 98.1 1936 101.3 103 108 100 99 55 37 70 99.0 85.8 107 88 80.8 99.1 1937 107.7 113 122 106 112 59 41 74 108.6 102.5 111 92 86.3 102.7 1938 98.5 89 78 95 97 64 45 80 90.9 78.5 89 85 78.6 100.8 1939 105.5 108 109 108 106 72 60 81 99.9 92.2 101 90 77.1 99.4 1940 113.8 123 138 113 117 81 72 89 107.5 105.4 109 94 78.6 100.2 1941 137.0 156 193 135 125 122 149 127.7 148.8 130 110 87.3 105.2 1939 August 106.1 106 106 108 108 92 78 99.0 99.5 91.2 101 75.0 September 107.3 114 119 118 111 114 76 100.8 103. T 95.4 111 90 79.1 100.6 October 109.3 121 126 130 115 119 82 104.8 107.3 103.2 114 92 79.4 November 109.9 124 126 134 117 120 101 107.0 107.5 103.2 114 93 79.2 December 111.3 125 122 138 117 114 107 108.2 107.8 105.4 110 95 79.2 1940 January 110.7 122 117 134 113 119 75 93 107.6 105.0 99.8 111 92 79.4 February 110.7 116 114 123 110 115 63 68 105.8 105.0 99.3 105 90 78.7 March 110.3 113 112 118 107 118 62 66 104.0 104.4 99.8 100 89 78.4 99.8 April 110.6 113 112 116 107 119 64 66 102.8 103.2 97.9 103 89 78.6 May 112.0 116 117 124 110 118 64 65 102.8 102.5 97.8 106 89 78.4 June 112.1 122 122 133 114 119 74 77 103.9 103.1 99.5 HI 91 77.5 'KHL5* July 112.8 122 120 136 113 120 85 91 105.1 103.2 98.2 110 92 77.7 August 113.9 124 124 143 112 115 90 98 107.4 107.4 105.5 112 98 77.4 September 115.5 127 132 151 112 117 93 101 108.9 111.4 111.6 112 97 78.0 100.4 October 117.2 131 136 155 117 114 95 103 111.4 113.8 116.2 110 94 78.7 100.2 November 117.7 134 136 157 120 118 111 130 114.2 114.7 116.4 116 100 79.6 100.1 December 121.3 139 136 164 124 119 115 136 116.6 116.2 122.4 119 101 80.0 100.7 1941 January 123.4 141 136 171 123 119 103 117 118.3 115.5 120.7 122 101 80.8 100.8 February 125.4 144 140 176 126 119 99 118 118.6 117.8 126.8 124 103 80.6 100.8 March 127.2 147 145 180 128 126 94 109 119.4 119.9 131.2 126 103 81.5 101.2 April 129.4 144 144 180 131 96 103 121 122.0 122.6 134.7 112 104 83.2 102.2 May 133.6 155 155 190 135 126 101 111 124.9 124.9 144.1 135 105 84.9 102.9 June 137.0 160 160 195 139 133 117 101 129 128.7 127.9 152.2 139 104 87.1 104.6 July 138.9 160 159 199 138 131 139 115 158 133.3 130.6 152.7 138 115 88.8 105.3 August 141.1 161 163 200 139 133 152 112 184 133.3 133.1 158.1 139 134 90.3 106.2 September.... 143.1 161 167 202 137 131 161 105 206 132.3 135.2 162.6 130 116 91.8 108.1 October 145.4 164 168 208 139 131 145 87 192 132.8 135.4 167.0 127 105 92.4 109.3 November.... 146.5 167 167 209 144 131 138 74 189 134.4 134.8 165.4 135 116 92.5 110.2 December.... 154.7 168 164 214 141 132 123 69 167 134.9 134.2 169.9 137 111 93.6 110.5 i942 January 156.1 172 ,166 224 143 131 118 82 147 135.7 132.5 173.5 140 138 96.0 112.0 February 157.4 172 167 227 142 129 128 100 151 135.1 133.8 178.3 139 126 96.7 112.9 March 157.8 172 168 231 139 127 125 95 149 134.7 135.1 182.9 136 124 97.6 114.3 April 160.9 174 172 234 139 130 128 82 165 136.0 136.6 188.0 143 117 98.7 115.1 May 161.9 175 175 239 138 129 158 76 226 137.7 137.8 193.5 143 108 98.8 116.0 June 165.8 176 177 244 136 133 193 76 288 140.1 139.4 198.2 141 104 98.6 116.4 July 168.7 179 180 249 138 132 206 74 313 143.9 142.4 204.6 142 121 98.7 117.0 August 171.6 183 187 257 140 133 182 65 278 145.0 145.9 214.7 143 130 99.2 117.5 September.... 172.8 186 192 263 141 130 179 70 268 *>145.0 2*148.2 136 123 99.6 117.8 October p175.5 189 194 272 143 126 185 83 269 133 128 P100.0 119.0 November ?192 ^277 P144 P1S0 P259 134 138 ^100.3 119.8 December e190 e281 e145 •101.0 p Preliminary. * Average per working day. r Revised. e Estimated. 1 Department of Commerce series on value of payments to individuals. 2 For indexes by groups or industries, see pp. 76-79; for description, see BULLETIN for September 1941, pp. 878-881, and for August 1940, pp. 753-771. 3 Based on F.« W. Dodge Corporation data; for description, see p. 358 of BULLETIN for July 1931; by groups, see p. 84. 4 The unadjusted indexes of employment and payrolls, wholesale commodity prices, and cost of living are compiled by or based on data of the Bureau of Labor Statistics. The Bureau has comprehensively revised its series on employment and payrolls. Indexes on the old basis are not available since September. New indexes are shown on page 14. £ For sales comparisons by cities and by departments see pp. 86-87 of this BULLETIN. Back figures in BULLETIN.—For industrial production, August 1940, pp. 825-882 and Sept. 1941, pp. 933-937; for factory employment and payrolls October 1938, pp. 838-866, October 1939, pp. 879-887, and February 1941, p. 166; for department store sales, October 1938, p. 918, andjjanuary 1941, p. 65; for freight-car loadings, June 1941, pp. 529-533. JANUARY 1943 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

INDUSTRIAL PRODUCTION, BY INDUSTRIES {Adjusted for Seasonal Variation) [Index numbers of the Board of Governors. 1935-39 average = 100] 1941 1942 Industry Oct. Nov. Dec,Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov Industrial Production—Total 164 167 168 172 172 172 174 173 176 179 183 186 P189 P192 Manufactures—Total no 173 174 179 180 180 181 183 184 188 192 196 p201 p203 Durable 208 209 214 224 227 231 234 239 244 249 257 263 P272 nn 139 144 141 143 142 139 139 138 136 138 140 141 p143 Nondurable1 p144 192 192 191 192 194 200 199 200 197 196 197 199 207 Iron and Steel ... --.-,. 203 184 184 190 189 189 192 192 191 193 192 190 194 199 Pig iron 207 207 205 209 211 218 219 219 216 216 218 219 229 199 Stee O l pen hearth and Bessemer 4 1 0 7 9 9 4 1 2 7 0 7 4 1 1 7 1 6 4 1 4 7 9 6 4 1 4 7 8 8 4 1 7 8 7 2 4 1 8 8 7 1 4 1 8 8 8 2 4 1 8 7 9 8 5 1 0 7 6 5 5 1 0 7 7 7 5 1 0 7 3 9 5 1 3 8 6 6 2 1 2 8 4 2 Electric 232 230 243 250 259 268 273 279 287 289 299 306 314 p3 5 2 2 0 7 Machinery 269 276 278 305 314 330 350 372 396 425 458 481 p501 p515 Government Arsenals and Quartermaster Depots 1,290 1,340 Tran A sp i o r r c t r a a t f io t n Equipment 2 1 1 7 4 1 8 6 0 2 1 1 6 4 2 4 2 3 120 1 2 18 1 2 05 1 2 05 2 104 ( 1 2 0 ) 7 1 2 12 1 2 16 1 ? 24 ( 13 2 6 ) Automobile bodies, parts, and assembly 335 338 Automobile factory sales Railroad cars 634 645 Locomotives Shipbuilding Private yards 185 190 193 191 187 180 177 182 188 188 189 189 190 Government yards Nonferrous Metals and Products 147 150 151 153 157 157 161 163 Nonferrous metal smelting 137 139 141 140 141 147 155 161 Copper smelting 177 179 182 184 189 184 185 184 Zinc smelting. 119 127 122 131 140 134 132 Lead production 217 226 230 235 224 208 195 205 Copper deliveries Lead shipments 143 147 145 152 151 148 145 146 Zinc shipments 153 155 171 Tin consumption Lumber and Products 135 135 138 143 144 134 133 134 133 136 127 123 125 P130 Lumber 129 128 132 138 143 128 127 124 127 130 125 119 123 Furniture 146 148 149 153 147 145 146 152 143 148 132 130 131 p139 Stone, Clay, and Glass Products 158 162 167 199 189 169 152 144 137 134 139 145 147 p152 Cement 159 164 191 249 236 188 161 146 145 150 160 167 174 178 Unglazed brick 145 153 152 160 152 133 119 104 92 90 87 Glass containers 167 169 165 184 178 187 176 178 163 145 153 163 162 169 Polished plate glass 102 105 67 65 49 41 43 35 37 49 36 38 32 34 Textiles and Products 150 156 154 158 156 153 157 156 152 154 154 156 156 P156 Textile fabrics 143 148 146 148 147 143 148 146 143 145 144 146 147 Cotton consumption 161 167 155 169 174 169 177 175 169 166 169 172 172 171 Rayon deliveries 172 179 179 180 174 175 170 169 169 168 169 170 r174 177 Silk deliveries 10 15 Wool textiles. 164 166 178 161 153 148 153 150 151 160 154 155 157 Carpet wool consumption 133 133 164 78 79 70 34 5 46 43 27 34 43 Apparel wool consumption 199 200 209 202 191 196 203 201 194 208 206 198 205 Woolen yarn 157 156 159 163 165 161 173 172 165 175 173 r175 178 Worsted yarn 185 184 195 173 148 143 164 168 166 176 173 168 171 Woolen and worsted cloth 164 170 182 183 172 167 177 179 172 184 177 179 175 Leather and Products 125 134 128 127 121 127 126 126 117 108 105 116 p126 Leather tanning 129 134 123 130 127 127 130 128 122 117 115 114 121 Cattle hide leathers 138 145 135 148 139 139 147 147 142 143 139 135 143 Calf and kip leathers 107 108 89 86 93 96 91 95 88 80 95 r96 100 Goat and kid leathers 121 123 117 119 120 120 115 104 94 79 70 76 81 Shoes 123 134 131 125 117 116 124 125 129 118 103 99 112 129 Manufactured Food Products 134 141 137 140 140 136 136 134 138 143 143 P149 p146 p143 Wheat flour 101 103 109 108 110 101 98 105 102 106 105 101 108 115 Cane sugar meltings 112 139 Manufactured dairy products 148 147 155 154 150 146 151 r142 r138 142 143 Ice cream 158 146 154 155 150 147 160 145 145 r154 153 Butter 106 r103 104 106 107 108 110 111 105 108 108 102 100 C C h an ee n s e e d and dried mi # lk 1 1 5 9 8 7 rl 22 7 4 2 2 1 4 7 0 6 2 1 3 7 4 2 1 2 8 2 2 0 1 1 9 9 2 8 1 1 9 8 5 7 1 1 8 7 3 8 1 1 6 5 8 7 1 1 5 6 9 4 1 1 6 7 3 2 1 1 5 6 3 7 1 1 4 6 2 8 139 r Revised. /Preliminary. * Included in total and group indexes but not available for publication separately. 1 Beginning in January 1942 includes industrial alcohol produced in the alcoholic beverage industry. Figures not available for publication separately. 2 Beginning in December 1941 this series dropped from the index of industrial production and its weight transferred to the automobile bodies, parts, and assembly series, which is more representative of production by the automobile industry. 6 7 FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Industrial Production, by Industries {Adjustedfor Seasonal Variation)—Continued [Index numbers of the Board of Governors.' 1935-39 average = 100] 1941 1942 Industry Oct. Nov. Dec. Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov. Manufactured Food Products—Continued Meat packing 133 135 142 148 141 144 142 140 153 146 153 159 145 145 Pork and lard . 148 148 161 165 151 161 156 163 177 168 174 187 157 163 Beef 123 124 127 138 139 132 134 121 137 130 136 129 133 122 Veal . 108 114 98 96 96 98 96 94 103 103 113 127 129 135 Lamb and mutton 103 111 117 113 113 128 119 105 104 116 127 137 141 156 Other manufactured foods 135 144 137 140 142 138 137 136 140 147 146 154 152 Alcoholic Beverages , .... 129 109 116 139 133 116 109 111 104 127 142 138 128 Malt liquor 129 110 123 120 128 117 114 115 104 119 130 147 147 Whiskey 107 81 91 77 74 62 63 55 63 96 82 49 14 Other distilled spirits . . 178 139 121 250 75 44 53 80 61 83 99 45 67 Rectified spirits 138 120 102 243 r242 201 153 158 163 218 285 r224 174 Tobacco Products 128 132 129 132 130 125 127 122 122 121 130 133 145 140 Cigars 112 115 139 129 126 121 120 108 112 109 112 107 116 98 Cigarettes 144 149 136 144 144 137 140 140 136 136 152 159 172 174 Manufactured tobacco and snuff 104 106 95 99 93 94 97 89 94 89 88 91 102 98 Paper and Paper Products^ . .. 146 153 155 154 149 150 148 145 134 127 131 130 134 Paper and pulp r151 160 162 161 155 156 153 149 136 127 132 131 135 Pulp.. r174 185 179 181 180 189 183 184 177 164 169 162 162 Groundwood pulp 130 141 129 135 131 138 129 120 116 113 117 112 115 Soda pulp 145 167 153 153 154 155 148 147 129 127 125 126 137 Sulphate pulp r215 225 225 221 224 239 236 245 228 211 221 211 208 Sulphite pulp r167 178 171 177 173 181 174 173 173 157 161 154 153 Paper 147 156 160 158 151 151 148 143 129 122 126 126 131 Paperboard . . 158 167 186 175 163 162 154 144 120 115 121 123 128 137 Fine paper 147 160 157 151 144 150 146 147 138 132 125 125 130 Newsprint production 110 110 106 107 110 106 109 104 103 103 lr8 106 107 ioo Printing paper r150 161 145 151 146 140 135 124 110 109 113 117 130 Tissue and absorbent paper 140 153 152 166 168 164 169 175 178 148 161 166 170 Wrapping paper 138 140 147 147 142 148 151 153 142 132 134 125 125 Printing and Publishing* 127 136 130 128 125 121 117 112 104 106 111 109 116 Newsprint consumption 105 111 115 104 103 103 98 100 97 103 108 101 102 110 Petroleum and Coal Products 133 135 139 135 131 126 119 117 114 117 120 120 121 Petroleum refining 129 133 135 131 126 120 112 109 107 109 113 113 115 Gasoline . 131 134 139 134 125 117 106 103 99 102 106 106 108 ^109 Fuel oil 129 129 130 123 128 124 126 122 125 129 133 136 136 Lubricating oil 129 137 132 133 131 131 126 122 123 117 117 112 113 Kerosene 121 123 126 120 128 113 106 101 99 103 106 109 112 Coke 154 153 160 161 161 160 162 164 164 163 165 166 166 166 Byproduct coke 145 145 151 152 152 151 152 154 154 153 155 155 155 156 Beehive coke 462 r433 474 472 493 476 494 511 509 502 505 523 524 501 Chemicals . 148 149 152 156 161 161 165 167 172 174 173 173 180 p181 Rubber Products 134 Rubber consumption 137 Tires and tubes 103 103 67 33 28 26 .. 25 Pneumatic tires 104 104 67 32 28 26 25 Inner tubes 94 102 64 33 27 27 27 Minerals—Total 131 131 132 131 129 127 130 129 133 132 133 r130 126 p130 Fuels 128 129 129 128 125 122 126 125 128 128 129 128 123 p128 Bituminous coal 131 127 130 129 120 146 178 173 168 160 152 144 130 2*133 Anthracite . . .... 120 101 92 89 110 113 114 105 127 156 160 134 110 2*121 Crude petroleum 128 132 132 132 128 114 107 108 113 112 118 120 122 2*126 Metals . 146 147 r152 r150 r153 rl52 151 rl56 158 r155 r151 r146 142 p141 Iron ore shipments 182 r202 r205 r209 r214 r220 r216 r232 r236 r245 r238 r227 r2l8 210 L C e o a p d per 1 1 5 1 1 9 1 1 5 2 2 7 1 1 5 2 7 2 1 1 3 6 1 1 1 1 5 4 8 0 1 1 6 3 2 4 1 1 6 3 4 2 1 * 74 * * * • * * • Zinc 134 131 138 138 146 Gold 130 116 125 113 118 108 106 105 105 101 106 109 106 104 98 99 88 r Revised p Preliminary. * Included in total and group indexes but not available for publication separately. 1 Includes also paperboard container production held constant, on a seasonally adjusted basis, at 128 since July 1940 when figures were last reported. 2 Includes also printing paper production shown under "Paper." NOTE.—For description and back figures see BULLETIN for September 1941, pages 878-881 and 933-937, and August 1940, pages 753-771 and 825-882. JANUARY 1943 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

INDUSTRIAL PRODUCTION, BY INDUSTRIES (Without Seasonal Adjustment) [Index numbers of the Board of Governors. 1935-39 average = 100] 1941 1942 Industry Oct. Nov. Dec Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov. Industrial Production—Total 168 167 164 166 167 168 172 175 177 180 187 192 194 p192 Manufactures—Total 173 173 171 173 175 177 181 183 185 189 196 202} 204 *>203 Durable 210 209 211 216 221 228 234 240 246 251 260 266 275 P277 143 144 138 137 138 137 138 137 136 139 144 150 147 PU3 Nondurablei 192 192 191 192 194 199 200 197 196 197 199 207 203 Iron and Steel 184 184 190 189 189 192 192 191 193 192 190 194 199 199 Pig iron ^ 207 207 205 209 211 218 219 219 216 216 218 219 229 224 Steel 179 177 176 176 178 182 181 182 178 175 177 179 186 182 Open hearth and Bessemer 409 420 411 449 448 477 487 488 489 506 507 503 536 527 Electric 232 230 243 250 259 268 273 279 287 289 299 306 Machinery Government Arsenals and Quartermaster Depots 269 276 278 305 314 330 350 372 396 425 r458 481 502 P515 Transportation Equipment 1,290 1,340 Aircraft.; . 146 142 120 118 105 105 104 107 112 116 124 131 P1S9 Automobile bodies, parts, and assembly 110 123 (2) (2) 2 (2) 2 2 Automobile factory sales 278 264 Railroad cars 335 338 Locomotives Shipbuilding 634 645 Private yards .., Government yards. , Nonferrous Metals and Products 185 190 192 191 187 180 177 182 187 188 189 189 190 Nonferrous metal smelting 147 151 152 153 157 156 162 164 Copper smelting 137 139 141 140 141 147 155 161 Zinc smelting , , 177 179 182 184 189 184 185 184 Lead production 119 128 124 131 140 131 135 Copper deliveries 217 226 230 235 224 208 195 Lead shipments * * * Zinc shipments , 143 147 145 152 151 148 145 146 Tin consumption 151 155 165 Lumber and Products 145 134 128 122 128 129 132 135 138 140 138 135 135 Lumber 138 124 113 112 118 120 127 131 138 141 139 134 131 159 154 155 142 147 147 142 139 137 136 137 142 Furniture 143 175 169 147 138 132 140 151 158 151 160 163 p157 Stone, Clay, and Glass Products. 163 185 171 153 137 132 141 161 183 186 195 200 202 186 Cement , , 170 166 137 97 83 90 116 .178 115 111 104 Unglazed brick 172 170 153 165 164 176 176 118 171 151 167 166 167 171 Glass containers 117 120 68 47 43 43 .190 37 32 30 38 37 39 Polished plate glass , 35 Textiles and Products'. ..,...«.., ,. 150 156 154 158 156 153 157 156 152 154 154 156 156 p156 Textile fabrics .# - ., 143 148 146 148 147 143 148 146 143 145 144 146 147 Cotton consumption... ,. 161 167 155 169 174 169 177 175 169 166 169 172 172 171 Rayon deliveries 172 179 179 180 174 175 170 169 169 168 169 170 r174 177 Silk deliveries 10 15 Wool textiles 164 166 178 161 153 148 153 150 151 160 154 155 157 Carpet wool consumption 133 133 164 78 79 70 34 5 46 43 27 34 43 Apparel wool consumption 199 200 209 202 191 196 203 201 194 208 206 198 205 Woolen yarn 157 156 159 163 165 161 173 172 165 175 173 r175 178 Worsted yarn 185 184 195 173 148 143 164 168 166 176 173 168 171 Woolen and worsted cloth 164 170 182 183 172 167 177 179 172 184 177 179 175 Leather and Products 127 123 116 124 131 128 131 124 115 114' 115 112 117 *107 Leather tanning 129 135 125 131 138 127 130 125 118 112 112 r113 121 Cattle hide leathers 140 151 137 149 155 140 147 144 135 133 132 r133 144 Calf and kip leathers 103 102 91 84 98 91 90 90 90 88 100 r94 96 Goat and kid leathers 120 119 119 119 125 119 119 102 94 78 68 77 81 Shoes 125 116 110 120 126 129 131 122 114 114 117 111 114 nn Manufactured Food Products 143 139 130 124 121 121 123 r130 139 156 165 P181 P157 Wheat flour 110 107 104 109 109 92 96 95 105 106 116 118 119 Cane sugar meltings , 10P 114 Manufactured dairy products 117 100 98 99 124 152 193 207 r192 Ice cream 114 88 80 78 113 154 197 232 r259 r248 Butter 93 r81 82 85 92 96 109 143 147 132 119 ioi 78 C C h an ee n s e e d and dried milk 1 15 4 8 8 r 1 m 56 1 1 2 6 3 6 1 17 2 8 4 1 18 4 7 2 1 1 9 5 4 7 2 1 1 8 1 9 2 2 4 5 2 7 2 2 4 4 1 9 2 2 0 0 5 0 1 1 8 7 5 7 1 1 5 5 8 4 1 13 3 4 4 106 r Revised. p Preliminary. * Included in total andgroup indexes but not available for publication separately. 1 Beginning in January 1942 includes industrial alcohol produced in the alcoholic beverage industry. Figures not available for publication separately. 1 Beginning in December 1941 this series dropped from the index of industrial production and its weight transferred to the automobile bodies, parts, and assembly series, which is more representative of production by the automobile industry. FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Industrial Production, by Industries {Without Seasonal Adjustment)—Continued [Index numbers of the Board of Governors. 1935-39 average = 100] 1941 1942 Industry Oct. Nov. Dec. Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov. Manufactured Food Products—Continued Meat packing. 134 152 165 173 135 131 134 140 149 138 132 147 146 164 Pork and lard 139 178 208 214 151 145 148 163 172 151 131 150 147 196 Beef. . 134 130 127 138 125 120 125 121 134 131 137 144 144 128 Veal 119 116 93 93 84 93 95 98 104 102 114 140 142 137 Lamb and mutton 109 108 111 118 113 124 115 108 99 110 125 153 150 151 Other manufactured foods 151 146 131 123 124 121 121 123 133 157 173 199 170 ^148 Alcoholic Beverages .... r138 118 106 112 117 113 113 120 116 133 140 r141 124 Malt liquor 106 90 96 96 109 112 124 136 134 148 152 149 121 Whiskey r101 101 104 102 96 77 69 54 50 53 45 39 13 Other distilled spirits 472 292 150 163 45 29 32 48 36 39 47 62 177 Rectified spirits 180 190 135 177 r208 191 136 139 130 183 223 r238 226 Tobacco Products 133 134 110 126 121 117 119 123 132 131 135 144 149 141 Cigars 135 137 107 104 109 111 114 107 120 113 115 123 140 117 Cigarettes 141 143 121 146 136 127 130 142 150 153 160 170 169 167 Manufactured tobacco and snufi 106 105 83 96 92 96 96 89 96 91 89 98 104 97 Paper and Paper Products1 r152 152 146 151 153 155 151 144 133 122 130 134 139 Paper and pulp 155 159 154 159 160 161 157 149 134 121 130 132 139 Pulp r175 186 174 183 186 194 187 186 174 156 166 159 162 Groundwood pulp 121 144 134 140 137 148 144 133 118 100 100 98 107 Soda pulp 145 167 148 153 158 160 152 147 127 119 125 127 137 Sulphate pulp r220 225 214 223 230 243 236 245 226 207 221 211 212 Sulphite pulp r171 179 166 177 179 185 178 173 169 150 161 154 156 Paper 152 155 151 155 156 156 152 143 128 116 125 128 135 Paperboard 167 167 166 168 167 168 157 141 120 109 123 131 136 137 Fine paper 147 155 154 152 155 160 159 151 135 120 118 rii8 130 Newsprint production 110 113 107 107 108 106 109 105 104 101 105 106 107 103 Printing paper 151 160 144 151 151 145 140 127 108 102 110 116 131 Tissue and absorbent paper 145 151 146 161 175 166 172 173 177 140 161 172 176 Wrapping paper 143 140 143 147 147 151 152 150 139 128 133 126 129 Printing and Publishing2 . r132 138 131 125 126 126 123 115 103 96 102 109 120 &122 Newsprint consumption .... 112 117 117 99 102 107 105 104 98 90 95 102 109 115 Petroleum and Coal Products .... 135 136 138 132 129 122 118 117 115 117 121 122 123 Petroleum refining 132 134 134 128 124 116 111 110 108 110 114 116 117 Gasoline 134 135 136 129 121 112 104 103 101 105 109 109 111 mo F Lu u b e r l i o c i a l ting oil 1 12 3 9 0 1 13 3 7 0 1 13 3 1 2 1 1 2 2 7 9 1 1 2 2 9 9 1 1 2 3 2 0 1 13 2 1 3 1 12 2 7 2 112233 1 11 2 5 7 1 11 3 6 0 1 1 3 1 7 2 1 1 3 1 7 3 Kerosene 121 126 127 126 129 115 108 101 97 97 101 106 112 Coke 154 153 160 161 161 160 162 164 164 163 165 166 166 166 Byproduct coke 145 145 151 152 152 151 152 154 154 153 155 155 155 156 Beehive coke .... 462 r433 474 472 493 476 494 511 509 502 505 523 524 501 Chemicals 153 151 153 155 161 166 168 166 166 167 170 175 184 P183 Rubber Products 134 T R i u r b e b s e r a n c d o t n u s b u e m s ption 1 1 3 0 7 3 103 67 33 28 26 25 * * * * * * * P In n n e e u r m a t t u i b c e s tires 1 9 0 4 4 1 1 0 0 4 2 67 3 3 2 3 2 2 8 7 26 25 * * * * * * 64 27 27 Minerals~mTo tat 139 135 125 125 130 132 131 136 137 135 P133 126 118 125 Fuels . 132 131 131 130 121 121 121 126 129 127 v130 131 122 121 Bituminous coal 146 145 144 144 141 140 150 147 144 141 140 150 145 P152 Anthracite 127 103 98 104 121 116 122 115 117 122 118 129 117 ^124 Crude petroleum . . 127 128 129 129 127 115 109 111 113 112 121 120 121 ^123 Metals 181 161 98 91 92 96 153 189 194 194 193 r185 180 p151 L I C r e o o a p n d p e o r r e shipme . n . ts 2 1 1 8 1 5 1 9 6 2 1 1 3 5 2 1 7 8 1 1 5 24 9 1 13 5 1 8 1 j. 4 6 0 0 1 1 2 3 6 3 1 5 2 1 1 3 3 6 6 5 9 3 1 7 7 * 1 4 38 * 1 4 * * 04 38 * * 7 35 * 7 3 * * 34 2 * * 29 Zinc 134 131 138 138 146 * * * * * * * * Gold 152 132 130 107 106 * * * * * * * * Silver ... 107 106 105 106 103 110 110 105 100 97 97 89 r Revised. p Preliminary. * Included in total and group indexes but not available for publication separately. 1 Includes also paperboard container production which has been carried forward on the basis of seasonal changes since July 1940 when figures were last 2 Includes also printing paper production shown under "Paper." NOTE.—For description and back figures, see BULLETIN for September 1941, pages 878-881 and 933-937, and August 1940, pages 753-771 and 825-882. JANUARY 1943 79 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

FACTORY EMPLOYMENT, BY INDUSTRIES {Adjusted for Seasonal Variation) [Index numbers of the Board of Governors; adjusted to Census of Manufactures through 1937. 1923-25 average = 100] 1942 Industry and group Aug. Sept. Oct. Nov Dec. Jan. Feb. Mar. Apr. May June July Aug. Sept. Totali 133.3 132.3 132.8 134.4 134.9 135.7 135.1 134.7 136.0 137.7 140.1 143.9 145.0 145.0 Durable goodsi 141.5 141.3 142.3 143.7 144.3 146.7 146.8 146.9 149.2 151.7 156.3 162.1 165.7 167.2 Nondurable goodsl , 125.5 123.8 123.8 125.6 126.0 125.2 123.8 123.1 123.3 124.3 124.7 126.6 125.2 123.8 Iron and Steel and Products 140.2 139.7 138.2 138.3 138.9 139.0 136. 134.7 134.2 134.1 135.5 136.3 135.3 133.7 Blast furnaces, steel works, etc 150 149 148 148 149 150 149 148 149 151 153 153 151 149 Bolts, nuts, washers, and rivets 173 172 170 169 170 171 169 170 170 172 176 177 177 182 Cast-iron pipe 94 97 98 101 100 98 100 99 98 98 94 91 91 91 Cutlery and edge tools 130 128 129 130 134 136 133 134 129 127 129 132 127 123 Forgings 112 113 115 115 117 119 122 123 128 129 132 138 137 138 Hardware 116 117 115 113 104 99 94 94 91 90 93 96 99 98 Plumbers' supplies 103 100 98 98 98 96 92 88 81 78 74 65 63 62 Stamped and enameled ware 231 231 225 225 220 216 208 207 200 200 203 205 209 206 Steam and hot-water heating 126 125 125 123 125 127 124 123 122 119 120 124 126 127 Stoves 115 109 105 104 108 110 101 95 90 86 85 92 83 80 Structural and ornamental metal work 107 106 107 107 107 108 112 113 116 116 117 119 121 122 Tin cans and tinware 132 132 127 138 141 147 141 122 115 110 105 101 99 96 T W o i o re ls work 1 1 9 4 8 6 2 1 1 4 4 7 2 1 0 4 3 5 2 1 0 4 1 6 1 1 9 4 9 8 1 1 8 5 4 2 1 1 6 5 9 3 1 1 5 6 3 0 1 15 5 2 4 1 1 4 5 7 4 1 1 5 5 3 5 1 1 5 5 9 3 1 15 5 5 8 1 1 5 5 2 1 Machinery 178.1 178.4 180.2 182.3 185.2 189.4 193.1 197.0 200.4 202.7 206.9 212.3 218.6 219.7 Agricultural implements 182 181 180 172 167 161 161 160 157 162 166 169 173 168 Cash registers, etc 170 173 175 177 178 176 178 177 174 177 186 185 181 181 Electrical machinery Engines, turbines, etc Foundry and machine-shop products. 14 * 7 153 15 * 5 157 160 161 165 16 * 8 172 171 Machine tools * * T T R e y a x p d t e i i o w l s e r a i m t n e a d r c s h p i h n o e n r o y graphs 1 1 1 5 8 0 7 7 8 1 1 1 8 5 1 3 8 0 1 1 1 7 1 6 9 0 0 1 1 1 0 5 9 9 9 4 2 1 1 0 5 0 6 9 9 2 1 1 2 0 5 0 9 7 2 1 1 3 1 5 5 0 2 2 1 1 5 0 4 0 9 7 2 1 1 4 1 2 9 0 6 2 1 1 2 0 1 3 9 5 1 1 1 9 0 0 5 8 4 1 1 1 0 9 0 7 9 0 1 1 9 9 0 4 6 4 1 1 9 0 9 0 4 3 Tran A sp i o r r c t r a a ti f o t n .. Equipment 1 * 93.1 19 * 5.4 20 * 4.7 2 * 09.6 20 * 5.8 2 * 11.0 216.2 220^.7 230 * .9 246 * .2 268.4 295 * .2 314 * .4 32 • 9.1 Automobiles2 ; 139 128 129 127 111 96 81 79 83 89 96 99 103 Cars, electric- and steam-railroad. Locomotives Shipbuilding Nonferrous Metals and Products 147.9 144. i 143.1 142.2 143.4 147.1 146.7 146.8 145. • 146.5 148.0 750..!? 151.3 149.0 Aluminumi Brass, bronze, and copper Clocks and watches 121 110 114 110 108 112 110 111 113 117 116 115 109 105 Jewelry 119 110 105 106 112 114 110 109 106 104 98 96 89 80 Lighting equipment 118 119 119 114 106 102 100 97 88 87 86 93 92 83 Silverware and platedjware 87 85 84 82 83 82 78 77 66 65 65 72 67 66 Smelting and refining 105 103 100 99 100 102 102 101 102 101 100 101 100 97 Lumber and Products ... 78.4 77.3 76.4 76.9 78.1 79.2 77.9 75.4 73.8 73.2 72.4 72.7 71.2 69.4 Furniture 107 103 101 104 105 106 104 103 101 100 97 95 91 88 Lumber, millwork.. 76 75 76 75 75 75 73 72 70 70 70 72 72 72 Lumber, sawmills.. 68 68 67 67 68 70 68 66 64 64 63 64 63 61 Stone, Clay, and Glass Products. 98.4 98.7 98.9 100.9 101.6 105.0 100.1 96.9 94.7 90.9 90.8 91.0 89.9 89.5 Brick, tile, and terra cotta.. 74 74 73 76 77 81 78 75 71 67 65 65 63 62 M P G C o e l a a t m r t s b e s e l r n e y t , granite, and slate... 1 1 4 2 7 3 2 3 8 0 1 1 4 2 7 3 3 2 9 0 1 1 4 2 3 7 5 1 1 9 1 1 4 2 8 3 5 1 2 3 1 1 4 2 8 3 5 1 5 2 1 1 8 4 2 3 8 8 5 5 1 1 4 8 2 2 3 7 1 6 1 1 8 4 1 2 3 1 6 4 1 1 8 3 2 1 0 9 4 5 1 1 3 1 2 7 2 5 2 7 1 1 3 1 1 7 7 9 9 8 1 1 3 1 2 7 6 8 5 9 1 1 3 1 1 7 6 9 8 9 1 1 3 8 1 1 6 0 8 9 Textiles and Products 117.1 114.7 112.9 113.3 113.2 112.0 110.0 109.4 110.9 112.3 112.2 114.6 111.4 108.2 Fabrics 109.6 107.2 105.4 105.1 104.4 104.1 102.2 102.6 104.8 105.5 107.2 108.1 106.2 103.5 Carpets and rugs 91 91 90 90 90 85 81 75 70 67 70 71 69 70 Cotton goods 115 112 112 111 110 110 110 110 112 114 117 119 119 116 Cotton small wares 110 110 108 109 109 107 107 106 107 110 115 118 117 114 Dyeing and finishing textiles . 143 140 135 130 133 131 130 132 133 133 132 138 134 133 Hats, fur-felt 79 77 78 78 76 73 71 70 68 60 68 64 54 48 Hosiery 144 135 133 132 133 132 130 127 125 123 122 123 120 116 Knitted outerwear 83 78 77 78 81 78 79 79 82 81 80 78 71 Knitted underwear 88 88 87 87 86 90 86 86 85 87 92 89 87 Knitted cloth 161 158 147 147 147 149 150 151 155 155 156 153 146 144 Silk and rayon goods 67 61 60 61 60 59 59 61 63 68 69 66 61 57 Woolen and worsted goods ... 108 112 109 110 107 106 99 102 109 108 108 108 104 105 Wearing apparel 128.8 126.6 124.7 126.9 128.2 125.1 122.8 120.0 119.7 122.7 118.5 124.0 118.2 114.1 Clothing, men's 120 119 120 125 128 123 118 118 119 126 122 116 114 113 Clothing, women's 176 171 165 167 169 161 162 156 154 156 150 171 155 148 Corsets and allied garments .. 122 123 112 122 115 112 116 113 112 111 110 100 107 103 Men's furnishings 137 134 127 121 113 115 113 111 111 111 112 121 120 113 Millinery 79 77 75 68 68 72 78 74 70 64 55 69 70 65 Shirts and collars 135 134 131 132 135 145 133 129 129 130 129 134 129 123 Leather and Manufactures . 97.9 98.0 99.6 104.2 103.1 96.3 97.4 98.1 100.0 100.1 95.3 91.2 90.5 Boots and shoes 94 96 101 100 95 92 93 95 97 98 92 88 87 Leather 96 97 97 96 95 96 95 94 94 92 90 90 * Included in total and group indexes but not available for publication separately. 1 Indexes adjusted to Census of Manufactures through 1939. For back figures see BULLETIN for February 1941, p. 166, and for June 1941, p. 569. 1 Seasonal adjustment factors for all months changed to a constant of 100 beginning with July 1942. NOTE.—Basic data from which these indexes are constructed have been comprehensively revised by the Bureau of Labor Statistics. October indexes are not available and September 1942 indexes are preliminary. Seasonally adjusted indexes for durable goods and preliminary indexes for nondurable goods and total employment are shown on page 14. Seasonally adjusted indexes for individual industries and groups will appear in a later issue of the BULLETIN. 8o FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Factory Employment {Adjusted)—Continued [Index numbers of the Board of Governors; adjusted to Census of Manufactures through 1937. 1923-25 average=100] 1941 1942 Industry and group Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr. May June July Aug. Sept. Food and Kindred Products 140.9 138.8 140.7 147.0 147.5 148.4 147.6 144.4 142.3 143.7 143.8 149.2 150.4 152.2 Baking 152 151 152 152 152 153 152 152 151 151 153 159 162 163 Beverages 298 295 303 311 316 310 310 304 304 310 288 293 308 313 Butter 104 102 102 106 106 105 105 109 115 116 115 114 114 114 Canning and preserving 169 157 164 201 188 183 189 168 150 157 154 165 157 178 Confectionery 100 91 90 96 95 94 93 94 94 91 89 99 103 90 Flour 77 79 78 78 79 80 80 79 79 79 81 80 80 Ice cream 79 78 83 83 83 82 82 81 82 79 79 78 78 Slaughtering and meat packing 124 125 126 127 133 139 138 137 138 141 146 151 152 151 Sugar, beet 76 98 91 98 141 168 115 107 102 104 100 106 97 121 Sugar refining, cane 93 103 103 98 101 97 90 93 94 93 85 83 79 76 Tobacco Manufactures 64.4 62.0 64.1 65.0 66.5 69.2 66.7 66.1 65.8 63.6 64.1 64.8 64.7 Tobacco and snuff 53 54 54 54 56 54 53 52 52 52 52 53 53 55 Cigars and cigarettes . . 66 63 65 66 68 71 69 68 68 65 66 66 66 66 Paper and Printing 125.1 124.4 124.9 124.8 125.9 125.2 123.4 122.0 121.3 119.5 118.5 117.3 116.1 114.4 Boxes, paper 143 141 138 139 140 142 139 136 133 129 126 122 119 116 Paper and pulp 128 128 128 129 129 130 130 130 130 128 126 122 120 119 Book and job printing 106 105 108 107 107 107 103 101 101 98 99 101 100 98 Newspaper and periodical printing ... 118 117 1,17 116 120 116 115 114 113 113 112 113 113 112 Chemicals, Petroleum, and Coal Products 146.3 145.7 147.1 148.2 149.2 151.8 154.7 155.9 157.4 159.1 161.7 162 A 163,0 161.2 Petroleum refining 127 127 129 128 129 130 131 132 132 133 133 133 134 132 Other than petroleum refining 150.9 150.3 151.7 152.9 154.1 157.1 160.5 161.7 163.5 165.5 168.7 169.5 170.1 168.1 Chemicals 179 • 180 181 184 187 190 192 195 194 195 197 193 193 190 Cottonseed oil, cake, and meal 101 88 95 93 93 93 94 90 97 99 92 105 91 91 Druggists' preparations 138 141 141 144 146 152 152 153 157 162 164 170 166 164 Explosives * Fertilizers 124 124 115 118 116 120 139 111 97 116 138 134 135 124 Paints and varnishes 148 145 144 144 144 145 142 141 137 131 127 126 128 127 Rayon and allied products 328 324 323 320 320 313 308 309 317 318 324 311 306 308 Soap 99 96 94 94 95 94 92 91 91 88 86 83 83 83 Rubber Products 113.3 111.6 110.1 110.1 109.4 99.6 '98.3 97.5 93.7 94.5 98.1 103.4 106.4 107.4 Rubber boots and shoes 79 75 78 80 78 73 76 75 75 76 74 79 75 77 Rubber tires and inner tubes 87 87 86 86 85 75 73 73 73 75 78 83 86 88 Rubber goods, other 200 196 189 187 189 175 173 170 156 154 162 168 176 174 * Included in total and group indexes but not available separately. ESTIMATED EMPLOYMENT IN NONAGRICULTURAL ESTABLISHMENTS BY INDUSTRY DIVISION [Thousands of persons] Transpor- Finance, Federal, Year and~month Total1 M t a u n ri u n f g a 1 c- Mining Co t n io s n tr * uc- tat p io u n b l a ic nd Trade a s n e d rv m ic i e s , - lo S c t a a l te g , o a v n e d rnutilities cellaneous ment SEASONALLY ADJUSTED 1941—November 35,647 13,443 969 2,054 3,369 7,043 4,266 4,503 December 35,802 13,555 973 2,067 3,377 7,017 4,273 4,540 1942—January 35,816 13,654 970 2,044 3,365 6,907 4,271 4,605 February 35,952 13 813 953 1,991 3,351 6,862 4,263 4,719 March 36,001 13,938 936 1,886 3,366 6,812 4,260 4,803 April 36,153 14,171 938 1,826 3,408 6,690 4,257 4,863 Mav 36,274 14,220 933 1,791 3,435 6,695 4,257 4,943 June 36,459 14,380 929 1,768 3,446 6,610 4,266 5,060 July 37,053 14,642 929 1,851 3,471 6,609 4,296 5,255 August 37 435 14 821 918 1,916 3,490 6,607 4,317 5,366 September 37,648 15,009 900 1,959 3,482 6,523 4,313 5,462 October 37,964 15,164 888 1,902 3,466 6,619 4,324 5,601 November 38,232 15,354 884 1,803 3,502 6,676 4,333 5,680 UNADJUSTED 1941—November 35,926 13,563 980 2,091 3,382 7,146 4,229 4,535 December 36,088 13,566 976 1,880 3,344 7,511 4,227 4,584 1942—January 34,876 13,468 965 1,662 3,288 6,756 4,179 4,558 February . . 35,062 13,693 947 1,594 3,270 6,686 4,180 4,692 March 35,411 13,859 933 1,625 3,295 6,711 4,194 4,794 35,998 14,109 929 1,771 3,389 6,679 4,265 4,856 May 36,346 14,133 928 1,909 3,442 6,667 4,309 4,958 June 36,666 14,302 921 1,991 3,485 6,606 4,324 5,037 Tulv 37,234 14,641 923 2,108 3,519 6,504 4,355 5,184 August 37,802 14,980 918 2,181 3,533 6,496 4,371 5,323 September 38,348 15,233 910 2,185 3,542 6,561 4,397 5,520 October ... 38,478 15,313 902 2,028 3,539 6,697 4,327 5,672 November 38,437 15,436 893 1,810 3,517 6,773 4,295 •5,713 * Includes contract construction and Federal force account construction. 1 Seasonal adjustments for manufacturing have been revised back to November 1941 to agree with the new adjustments made in the manufacturing wage earner series The new seasonally adjusted estimates for manufacturing and total are shown in this table. NOTE —Unadjusted data compiled by Bureau of Labor Statistics. Estimates exclude proprietors of unincorporated businesses, self-employed persons, domestics'employed in private homes, public emergency employees (WPA, NYA, and CCC), and personnel in the armed forces. Figures for November 1942 are preliminary. Seasonally adjusted estimates for back months are shown on page 1156 of the November 1942 BULLETIN. JANUARY 1943 ^I Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

FACTORY EMPLOYMENT AND PAYROLLS, BY INDUSTRIES {Without Seasonal Adjustment) [Index numbers of the Bureau of Labor Statistics; adjusted to Census of Manufactures through 1937. 1923-25 average = 100] Factory employment Factory payrolls Industry and group 1941 1942 1941 1942 Aug. Sept. May June July Aug. Sept. Aug. Sept. May June July Aug. Sept Total1 133.1 135.2 137.8 139.4 142.4 145.9 158.1 162.6 193.5 198.2 204.6 214.7 220.5 Durable goods1 138.7 142.1 154.0 157.5 161.2 165.4 177.6 183.3 235.6 244.2 252.7 266.7 274.9 Nondurable goods1 127.7 128.7 122.4 122.2 124.6 127.2 136.3 139.5 146.4 146.7 150.8 156.6 159.6 Iron and Steel and Products 139.9 140.5135.0 135.5 135.0 134.8 172.0 170.6183.9 186.1 188.2 192.1 194.3 Blast furnaces, steel works, etc 149 149 152 152 152 151 183 178 197 198 202 203 207 Bolts, nuts, washers, and rivets 171 171 174 176 175 176 257 246 292 291 291 317 317 Cast-iron pipe 96 98 98 96 94 94 112 116 133 136 132 135 127 Cutlery and edge tools 127 128 128 128 126 125 148 150 175 174 170 178 176 Forgings 111 113 130 132 134 135 170 176 237 242 241 248 249 Hardware 113 116 91 93 95 97 146 149 139 145 151 159 155 Plumbers' supplies 103 99 78 74 65 63 107 106 91 91 79 82 80 Stamped and enameled ware 225 228 204 203 199 203 286 291 308 314 306 322 315 Steam and hot-water heating 125 127 120 120 120 125 148 155 174 172 173 185 197 Stoves 117 116 89 87 89 85 127 128 105 107 113 108 111 Structural and ornamental metal work 110 110 116 118 121 125 125 124 149 155 159 175 177 Tin cans and tinware 145 145 108 108 107 108 185 188 141 144 147 153 153 Tools 143 144 154 155 152 152 190 197 241 245 234 237 232 Wirework 190 208 152 155 156 151 248 272 241 249 251 247 241 Machinery 177.0 179.3204.4 207.9 211.8 217.1 244.5 249.6335.5 346.0 351.1 367.1 375.1 Agricultural implements 172 171 167 167 165 163 228 231 259 263 255 260 246- Cash registers, etc 170 173 179 186 185 181 223 230 293 294 295 289 308 Electrical machinery Engines, turbines, etc Foundry and machine-shop products. 146 147 163 165 167 171 171 186 188 243 250 250 261 260 Machine tools * * * * * * T T R e y a x d p t i e i o w l s e r a i m t n e a d r c s h p i h n o e n ry ographs 2 1 1 0 5 0 2 6 8 2 1 1 1 0 5 3 9 8 1 1 11 0 9 6 9 6 1 1 1 9 0 0 1 3 8 1 1 9 9 0 9 7 7 2 1 9 1 0 3 1 4 2 1 9 2 0 0 3 3 2 2 1 2 3 3 2 4 6 2 2 1 3 4 5 3 1 4 2 1 16 5 8 3 9 3 2 1 1 5 6 8 9 1 4 2 1 1 9 4 5 3 9 8 3 1 1 1 5 4 3 7 7 3 1 1 4 6 3 0 0 8 Tran A A C sp i a u r o r t c r s o r t , m a a e t f o i t l o e b n c i l t e r E s ic q - u a ip n m d e s n t t eam-railroad — 172.0 1 1 * 2 9 4 1.1255.3 2 9 7 1 1.1 29 9 2 • 6 .2 3 9 1 * 9 1.2 3 10 2 * 3 6.4 2 13 2 * 9 4.4 2 1 * 5 5 9 2.94 13 0 * 6 8.6 4 1 3 4 * 5 2 .1 4 1 7 4 * 5 8 .3 5 15 1 * 8 9.1 5 16 5 * 2 5.3 Locomotives Shipbuilding Nonf A er l r u o m u i s n u M m e i tals and Products 145.5 146.4145.9 146.1 146.6 149.0 150.0 182.6 3 1 5 8 5 5.6213.6 218.3 223.1 232.0 236.3 Brass, bronze, and copper 271 L C J S S e i m i l w l g o v e h c e e l k t l t r i s r i w n y n g a g a r n e e a d q n a u d w n i a r p d e t m f c p i h e l n a e n i t n s t e g d ware 1 1 1 1 8 1 1 0 1 5 8 8 4 2 1 1 1 1 8 1 0 1 2 6 1 3 9 0 1 1 9 8 6 0 1 6 7 6 1 4 1 1 9 8 6 1 0 1 5 5 2 0 1 1 9 6 8 0 0 0 4 8 9 0 1 6 9 8 0 8 6 9 9 6 7 1 9 8 8 6 0 7 7 3 7 6 1 1 1 1 9 5 1 1 1 4 6 9 8 3 1 1 1 1 1 2 4 1 3 0 1 9 8 8 4 1 1 1 1 8 7 0 0 3 1 6 8 2 0 1 1 1 1 7 8 0 0 3 8 2 3 3 4 1 1 1 8 9 8 1 3 1 9 0 1 6 1 1 1 1 8 3 7 1 0 9 5 1 1 3 1 1 1 1 8 0 3 7 0 5 1 3 3 5 Lumb F L L e u u u r r m m n a b b it n e e u r r d , , r e P m sa r i o w l d l m w uc i o l t r s l k s 1 8 7 7 0 1 8 1 8 .0 1 8 7 7 0 0 6 0 8 .4 9 7 6 7 6 3 5 0 .3 9 6 7 7 5 5 3 1 .4 9 6 7 7 3 6 3 3.4 6 7 9 7 6 3 2 4 .6 9 6 7 7 2 4 2 4 .1 1 8 9 7 1 0 2 5 6 .3 1 9 7 7 1 0 3 8 8 .8 11 9 7 7 5 0 1 9 .3 1 8 9 7 1 5 3 5 2 .6 1 8 9 7 1 3 2 7 0 .7 1 8 9 8 1 7 7 3 3 .0 1 8 8 9 1 3 0 3 1 .7 Stone M B P G C , o r e l a a i C m t c r s t l b k s e e a l , r n y e y , t , t i . g l . a . e r n , a d a n n i G t d e l a , t s e a s r n r P d a r s o c l d o a u t t t e c a ts 1 1 1 4 8 7 3 1 0 5 4 9 0 9 1.3 1 1 1 8 4 7 2 3 0 4 6 9 1 0 1.8 1 1 8 3 7 1 2 2 4 1 9 4 1 1 8 3 9 1 2 7 4 9 4 7 1 0 .1 1 1 6 8 9 3 1 1 9 5 2 8 6 6 .1 1 1 6 9 8 3 1 1 8 2 5 8 5 8 .5 1 1 9 6 8 3 1 1 2 6 5 8 7 9 .3 1 1 1 9 3 7 5 2 0 4 6 7 5 4 4.2 1 1 1 9 3 7 2 6 0 4 7 6 5 1 5.41 1 1 9 3 2 6 7 0 5 5 8 7 2 5.6 1 1 1 1 3 0 3 5 7 0 3 1 3 6 3 4.7 1 1 1 1 3 2 7 0 4 0 3 7 2 1 6 1.0 1 1 1 1 0 3 7 5 3 0 5 3 3 7 4 5.5 1 1 1 1 3 3 7 0 5 0 3 3 1 5 2 3.6 Te W F xt a i W H H e C D C C K K K S C C l b e a i o o r a o l a y l n n n s o l r o o i k r s t t t e i i i i o c t t s p t t n i t t t i a s h l h o o , e t t t n g e e a e e n e n n i i r g n t f n n n y d d d d s u a g d g g s p a r a a , P , u o c m o - p n n r n f l n u r o w m a a o e d a d o d d t d y l r l t o e d e t l e s h e w o r r m u f n r l u w n i w c o w ' n s e g t a r i e s n g e s s s r a h a ' o t e s r e r i o s n d d g s g t o e o x d t s iles 1 1 1 1 1 1 1 1 1 1 1 7 2 9 8 8 8 6 2 0 6 0 3 4 0 1 1 9 6 6 3 1 2 1 6 8 9 1 6 2 6 0 5 . . . 6 9 4 1 1 1 1 1 1 1 1 1 1 1 8 6 9 1 8 6 7 3 2 7 0 3 3 0 1 1 1 8 6 3 1 1 3 1 8 4 9 6 6 8 0 5 . . . 3 3 5 1 1 1 1 1 1 1 1 1 1 6 8 8 2 6 5 2 3 5 2 0 1 1 1 2 4 1 1 9 2 7 8 3 5 2 0 4 1 . . . 8 7 8 1 1 1 1 1 1 1 1 1 1 1 4 8 1 0 6 1 1 7 6 0 0 2 1 5 7 2 3 4 0 9 8 4 5 0 5 6 8 8 2 2 8 0 . . . 8 4 8 1 1 1 1 1 1 1 1 1 1 1 6 4 7 6 1 7 8 1 5 1 0 1 1 0 2 0 4 2 3 1 0 3 5 7 8 8 1 5 3 6 8 8 . . . 1 6 2 1 1 1 1 1 1 1 1 1 1 1 6 6 5 8 0 7 4 5 1 2 1 1 1 1 0 0 9 2 8 3 6 7 9 5 6 6 5 3 7 8 4 9 . . .6 9 4 1 1 1 1 1 1 1 1 1 1 1 8 5 4 7 1 4 1 1 2 0 0 5 1 7 1 0 8 2 6 9 9 5 7 7 7 9 4 4 2 0 4 8 . . . 5 2 8 1 1 1 1 1 1 1 1 1 1 1 9 9 9 6 7 1 2 5 1 2 3 5 2 1 5 1 1 1 1 4 3 4 7 9 7 4 3 3 4 6 4 9 . . . 7 4 3 1 1 1 1 1 1 1 1 1 1 1 1 8 9 6 9 8 5 2 5 2 2 6 3 1 3 2 8 6 1 6 2 7 0 1 7 9 8 2 6 4 0 3 . . . ' 3 41 1 1 1 1 1 1 1 1 1 1 1 8 7 7 5 5 4 4 3 7 5 4 2 2 1 1 2 8 9 6 1 6 9 3 9 1 2 1 8 8 2 0 8 . . . 7 6 3 1 1 1 1 1 1 1 1 1 1 1 1 8 8 6 7 1 1 6 3 4 0 1 4 5 6 2 2 4 0 2 9 7 1 1 2 6 4 3 0 8 3 3 3 . . . 1 0 1 1 1 1 1 1 1 1 1 1 1 1 1 8 6 8 7 0 6 0 4 2 1 4 4 5 6 2 2 5 1 3 1 0 9 8 6 4 0 0 6 5 1 7 4 . . . 7 9 3 1 1 1 1 1 1 1 1 1 1 1 1 6 8 7 4 1 6 8 1 4 1 5 7 4 5 3 3 8 0 1 0 2 4 5 2 1 3 3 7 0 8 8 1 . . . 7 4 1 1 1 1 1 1 1 1 1 1 1 1 1 8 4 6 1 3 0 6 1 3 5 4 6 7 3 7 2 4 2 5 8 9 1 7 5 1 6 1 7 4 9 0 8 . . . 7 1 9 Corsets and allied garments...- 119 123 113 109 97 105 103 139 151 151 143 124 135 138 Men's furnishings 128 131 112 111 111 112 110 144 156 140 140 139 144 135 M Sh i i l r li ts n e a r n y d collars 1 8 3 0 4 1 8 3 5 6 1 6 3 6 1 1 5 2 1 8 1 5 2 3 8 1 7 2 0 8 12 7 5 3 1 7 4 5 1 1 8 4 4 7 1 4 5 5 8 1 3 5 7 2 1 4 5 1 1 1 7 5 3 4 1 7 4 6 6 * Included in total and group indexes but not available for publication separately. 1 Indexes adjusted to Census of Manufactures through 1939. For back figures see BULLETIN for February 1941 p. 166. FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Factory Employment and Payrolls—Continued [Index numbers of the Bureau of Labor Statistics; adjusted to Census of Manufactures through 1937. 1923-25 average = 100] Factory employment Factory payrolls Industry and group 1941 1941 1942 Aug. Sept. May June July Aug. Sept. Aug. Sept. May June July Aug. Sept. Leather and Manufactures. 101.1 98.9 97.1 96.2 94.1 91.4 104.7 112.6 109.7 110.2 107.4 110.5 Boots and shoes 98 95 96 94 94 92 88 101 107 103 103 102 106 Leather 95 97 94 93 91 89 109 123 122 124 117 117 Food and Kindred Products 159.3 163.2 135.7 141.9 156.7 167.4 179.3 165.5 160.3 170.1 186.5 196.7 209.3 Baking 153 154 151 154 160 163 165 155 166 175 182 187 190 Beverages 328 315 317 313 328 339 335 430 445 424 468 489 471 Butter 111 106 118 125 124 122 119 105 119 129 131 132 128 Canning and preserving 304 326 107 135 216 282 368 325 121 158 274 350 489 Confectionery 91 102 83 79 85 93 100 101 97 99 103 116 126 Flour 78 81 77 79 81 81 82 81 88 92 98 104 109 Ice cream 95 84 87 94 96 93 86 84 82 91 96 92 87 Slaughtering and meat packing 122 124 138 146 151 150 149 143 170 184 188 186 186 Sugar, beet 64 91 50 52 62 81 112 68 67 71 79 101 133 Sugar refining, cane 95 104 93 87 86 81 77 100 90 85 94 Tobacco Manufactures 65.8 63.9 62.7 63.8 64.5 66.3 66.9 70.0 73.3 77.5 78.3 84.1 83.7 Tobacco and snuff 52 54 51 51 52 52 54 68 71 76 75 78 80 Cigars and cigarettes 65 64 65 66 68 69 70 73 78 79 85 84 Paper and Printing 123.9 124.9 119.1 117.2 115.6 115.0 114.7 130.9 131.9 130.5 128.3 129.9 130.3 Boxes, paper 142 145 127 123 119 118 119 182 169 164 159 163 165 Paper and pulp 128 128 128 126 122 120 119 163 171 169 162 165 164 Book and job printing 106 105 98 97 99 99 98 99 95 93 96 96 95 Newspaper and periodical printing... 115 117 113 112 110 111 112 110 114 114 112 113 115 Chemicals, Petroleum, and Coal Products. 143.1 147.6 157.8 157.6 158.4 159.9 163.4 181.5 226.8 228.8 233.4 237.4 246.0 Petroleum refining 128 129 132 134 134 135 134 159 179 182 187 190 199 Other than petroleum refining 146.7 152.3 164.0 163.4 164.4 166.0 170.6 188.4 241.4 243.3 247.8 252.2 260.6 Chemicals. 180 182 194 197 196 194 193 247 303 308 314 309 307 Cottonseed oil, cake, and meal 71 114 68 57 61 64 118 65 70 62 68 72 147 D Ex ru pl g o g s i i s v t e s s ' preparations 136 * 143 157 158 16 * 1 163 * 16 * 7 165 20 * 6 20 * 3 20 * 6 212 * 22 * 4 Fertilizers 90 110 126 102 94 98 110 91 148 122 118 121 137 Paints and varnishes 145 144 136 132 126 126 126 172 176 170 162 163 164 Rayon and allied products 329 327 312 315 309 307 311 368 393 398 393 400 403 Soap 97 87 85 82 82 85 135 130 129 122 126 134 Rubber Products 111. 8 111.5 94.6 97.2 101.9 105.1 107.4 138.8 132.4 137.6 147.0 154.0 157.6 Rubber boots and shoes 79 77 n 71 76 75 79 102 102 99 103 112 120 Rubber tires and inner tubes 87 87 78 83 86 88 116 113 119 131 135 141 Rubber goods, other 193 193 75 161 164 170 171 228 211 219 223 237 232 156 * Included in total and group indexes but not available separately. HOURS!AND EARNINGS OF WAGE EARNERS IN MANUFACTURING INDUSTRIES [Compiled by the Bureau of Labor Statisticsl Average hours worked per week Average hourly earnings (cents per hour) Industry and group 1941 1942 1941 1942 Sept. Oct. June July Aug. Sept. Oct. Sept. Oct. June July Aug. Sept. Oct. All Manufacturing 40.9 41.1 42.6 42.4 42.8 42.3 43.6 75.8 77.0 84.0 85.0 86.4 88.5 88.6 Durable Goods 42.3 42.9 45.1 44.7 45.2 44.6 45.7 84.3 85.3 93.3 94.6 96.6 99.5 98.8 Iron and Steel and Products 40.7 41.5 42.6 42.0 42.8 42.1 43.4 87.5 87.7 93.7 94.3 96.7 99.7 99.0 Electrical Machinery 46.0 46.1 45.7 46.4 91.6 92.6 96.3 94.6 Machinery Except Electrical 48.1 48.6 47.2 48.6 98.0 99.7 101.3 101.8 Automobiles 43.2 44.5 43.7 44.9 116.5 116.8 118.8 117.2 Transportation Equipment Except Automobiles 47.3 47.1 46.6 47.1 107.5 110.5 114.2 111.4 Nonferrous Metals and Products 43 1 42.7 44^6 44.5 45.0 44.3 45.3 ' 82.1 ' 82.2 92.0 93.5 95.4 97.9 97.9 Lumber and Timber Basic Products 41.0 41.7 41.0 42.5 65.6 67.6 68.2 69.5 Furniture and Finished Lumber Products. 41.6 41.5 41.0 43.1 67.3 68.1 69.5 70.4 Stone, Clay, and Glass Products 38^2 39.2' 38.6' 37.7 38.7 37.9 39.8 73.6 74.4 78.0 78.7 79.8 81.0 82.3 Nondurable Goods 39.5 39.1 39.6 39.6 39.9 39.5 40.6 66.8 68.0 72.7 73.2 73.8 74.9 75.7 Textiles and Products 38.3 37.6 38.6 38.2 38.8 37.8 39.3 56.9 58.1 60.3 61.1 62.7 64.1 64.7 Fabrics 39.1 38.8 40.2 39.8 40.3 39.4 40.4 55.1 56.6 59.5 60.4 61.9 63.6 64.2 Wearing Apparel 36.7 35.4 35.1 34.7 35.9 34.6 36.8 60.2 61.1 61.6 62.8 64.2 65.2 65.8 Leather and Manufacturers 38.0 37.7 38.1 38.1 38.2 36.6 38.8 63.0 63.5 68.5 68.7 68.7 70.5 71.1 Food and Kindred Products 41.6 40.9 41.5 41.9 41.5 42.0 41.9 65.7 67.9 74.3 73.5 73.2 72.8 75.7 Tobacco Manufactures 38.3 38.7 38.5 38.5 39.4 38.6 40.4 52.5 52.7 57.5 57.5 58.7 59.1 59.6 Paper and Allied Products 40.4 41.4 40.8 43.3 75.2 75.8 76.6 77.1 Printing, Publishing, and Allied Industries.. 37.9 38.0 38.2 38.5 95.1 95.2 96.0 97.2 Chemicals and Allied Products 40^7 41.2 41.7 41.6 41.9 41.7 42.5 77.6 ' ' 79.4 ' 88.1 89.4 89.3 89.7 88.0 Products of Petroleum and Coal 39.4 39.5 39.5 40.5 104.1 105.4 108.8 108.1 Rubber Products 38^5 39.1 41.5 41.4 42.2 41.5 42.7 85.9 ' 86.5 92.6 ' 93.3 93.6 94.8 94.8 NOTE .—Figures for July 1942 and subsequent months are revised data, prepared by the Bureau of Labor Statistics. The industry groups on the revised basis are based on the classification of the 1939 Census of Manufacturers. Figures for earlier months are not strictly comparable, but have been shown for those groups and totals for which the comparability with late months is very close. JANUARY 1943 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

CONSTRUCTION CONTRACTS AWARDED, BY TYPES OF CONSTRUCTION [Figures for 37 States east of the Rocky Mountains, as reported by the F. W. Dodge Corporation. Value of contracts in millions of dollars] Nonresidential building Publicworks Residential andpublic Month building Factories Commercial Educational! Otherl utilitiesl 1941 1942 1941 1942 1941 1942 1941 1942 1941 1942 1941 1942 1941 1942 January... 305.2 316.8 111.3 102.8 55.9 75.4 26.9 17.7 11.6 9.1 24.2 21.0 75.1 90.9 February 270.4 433.6 116.5 168.0 37.8 84.5 20.9 21.8 7.9 9.2 23.5 54.2 63.9 95.9 March 479.9 610.8 147.9 219.3 121.8 112.7 33.1 36.8 10.4 10.7 36.1 71.6 130.6 159.7 April 406.7 498.7 166.5 162.1 66.2 145.1 36.2 30.9 11.2 12.4 29.7 46.5 96.9 101.7 Mav 548.7 673.5 201.3 148.0 81.1 178.0 50.8 23.8 17.1 10.1 53.5 86.0 144.9 227.7 June 539.1 1,190.3 205.6 185.5 102.3 271.8 35.7 46.2 13.5 15.4 49.0 234.9 133.0 436.4 July 577.4 943.8 205.0 127.4 109.8 303.5 37.2 34.7 19.1 26.6 54.5 124.3 151.7 327.3 August 760.2 721.0 231.5 100.6 135.7 261.1 69.8 21.3 11.7 17.1 69.4 107.7 242.0 213.2 September 623.3 723.2 175.7 126.7 113.5 377.8 51.9 6.1 8.2 6.2 44.7 76.8 229.3 129.6 October 606.3 780.4 171.8 161.2 118.6 240.3 48.6 18.9 13.9 10.6 88.5 103.3 165.0 246.2 November 458.6 116.5 122.7 29.3 7.3 33.6 149.2 December 431.6 104.3 116.1 30.7 8.8 15.3 156.3 Year 6 007 5 1 953.8 1,181.5 471.2 140 9 522.1 1,738.0 1 Not strictly comparable with data for years before 1938 due to changes in classification. CONSTRUCTION CONTRACTS AWARDED, BY OWNERSHIP CONSTRUCTION CONTRACTS AWARDED, BY DISTRICTS [Figures for 37 States east of the Rocky Mountains, as reported by the [Figures for 37 States east of the Rocky Mountains, as reported by the F. F. W. Dodge Corporation. Value of contracts in millions of dollars] W. Dodge Corporation. Value of contracts in thousands of dollars] Total Public ownership1 Private ownership1 1942 1941 Month Federal Reserve district 1940 1941 1942 1940 1941 1942 1940 1941 1942 November October November January 196 305 317 93 124 198 104 181 119 Boston 18,181 r13,72O 29,931 February 201 270 434 82 105 310 119 166 123 New York 65,808 r33,660 64,845 March 272 480 611 95 269 473 177 211 138 Philadelphia 64,008 30,600 27,802 April 301 407 499 103 184 355 197 223 144 Cleveland 93,398 62,574 36,245 May 329 549 674 112 267 569 217 281 105 Richmond 92,653 81,713 58,153 June 325 539 1,190 147 314 1,105 177 225 85 Atlanta 97,469 147,344 56,922 July 399 577 944 205 348 876 194 229 68 Chicago 53,984 104,875 66,410 August 415 760 721 195 520 633 220 240 88 St. Louis 59,165 43,130 23,394 September 348 623 723 144 403 661 204 220 62 Minneapolis 11,500 11,700 25,308 October 383 606 780 175 371 710 209 235 71 Kansas City 44,822 122,179 41,146 November 380 459 654 195 298 592 186 161 62 Dallas 53,196 128,901 28,464 December 456 432 258 288 198 144 Total (11 districts) 654,184 780,396 458,620 Year 4,004 6,007 1,802 3,492 2,202 2,515 ^Revised. 1 Data for years prior to 1932 not available. LOANS INSURED BY FEDERAL HOUSING ADMINISTRATION! INSURED FHA HOME MORTGAGES (TITLE II) HELD IN [In millions of dollars] PORTFOLIO, BY CLASSES OF INSTITUTIONS1 [In millions of dollars] Title I Loans Mortgages on Year or month Total p P m e r i r o r m o e t v n y p - e t - - S s h c t t m o i o r o m u n a n c - l e l - 1 h f ( a - o T m I u t i D o t s i l l e e y 4 s - h R ( g o T e r a u o n i n s t u t d i l a n e p l g h ( W o T V u i a s t I l r i ) e ng End of month Total b C m a c o i n e m a r k l - - s s M i t n u a * u v a - - l a a s S l t i a s o i n a n o o a g v d c n n s - i s - p I c a n a o n s n m c u i e e r - s - a c F e g i e r e e a d s n l 2 - - Other3 II) 1936—Dec 365 228 8 56 41 5 27 1 1 9 9 3 3 6 5 3 5 2 5 0 7 2 2 4 2 6 4 3 9 0 4 9 2 2 1 1 9 9 3 3 8 7 — — D D e e c c 1,1 7 9 7 9 1 4 6 3 3 0 4 3 2 8 7 1 1 1 4 0 9 2 1 1 1 2 8 3 7 2 7 9 5 0 3 1937 495 60 424 11 1939—June 1,478 759 50 167 271 137 94 1 1 9 9 3 3 8 9 6 9 9 5 4 4 2 1 0 6 8 0 2 1 5 3 4 6 7 6 3 9 4 5 8 1 Dec 1,793 902 71 192 342 153 133 1 1 9 9 4 4 0 1 . . 1 1 , , 0 1 2 8 6 6 2 2 5 6 1 2 2 2 6 1 8 7 7 3 7 6 1 1 3 3 13 1940— J M un ar e 2 1 , , 0 9 7 4 5 9 1,0 9 2 7 6 1 1 9 0 0 0 2 20 0 8 1 3 43 9 2 2 1 1 8 7 2 1 1 12 2 7 4 Sept 2,232 1,093 111 216 480 190 141 1941—Nov 107 24 1 77 2 4 Dec 2,409 1,162 130 224 542 201 150 Dec 112 18 2 88 5 1942— M A F Ja e p a n b r r 1 9 9 8 1 3 3 3 1 1 1 1 1 6 3 0 2 2 2 2 1 8 5 6 7 7 5 8 1 " " * I i"' 1 1 8 7 2 1 1941— J D S M u e e n a p c e r t 3 2 2 2 , , , , 1 5 9 7 0 9 4 5 7 8 2 5 1 1 1 1 , , , , 2 4 4 3 0 4 6 1 0 6 5 8 1 1 1 1 8 5 7 4 6 7 1 6 2 2 2 2 5 3 4 3 4 7 6 0 6 6 7 7 6 8 2 0 8 9 2 6 2 2 2 2 3 2 1 2 4 5 0 0 1 1 1 1 7 5 7 6 9 4 8 0 M J J u u a n ly y e 9 9 9 6 2 7 1 1 1 5 3 1 2 2 1 6 6 6 6 0 3 2 *I 2 1 1 1 4 6 1942— J M un ar e 3 3, , 4 3 9 0 1 7 1 1 , , 5 6 4 2 9 3 2 21 0 9 1 2 2 7 6 2 4 9 8 4 5 0 6 2 24 3 3 7 2 1 0 9 0 5 Aug 89 10 1 52 25 Sept 95 10 * 48 37 1 Gr Oct 99 11 1 44 42 Nov 92 10 1 39 43 2 The RFC Mortgage Company, the Federal National Mortgage Association, the Federal Deposit Insurance Corporation, and the United States * Less than $500,000. Housing Corporation. 1 Figures represent gross insurance written during the period and do not 3 Including mortgage companies, finance companies, industrial banks, take account of principal repayments on previously insured loans. endowed institutions, private and State benefit funds, etc. 8 4 FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MERCHANDISE EXPORTS AND IMPORTS [In millions of dollars] Merchandise exports1 Merchandise imports2 Excess of exports Month 1938 1939 1940 1941 1942 1938 1939 1940 1941 1942 1938 1939 1940 1941 1942 January 289 213 370 325 479 171 178 242 229 254 118 35 128 96 226 February 262 219 347 303 478 163 158 200 234 254 99 61 147 69 225 March . . 275 268 351 357 611 173 190 217 268 272 102 77 134 89 339 April 274 231 323 387 695 160 186 212 287 234 115 45 111 100 461 May 257 249 324 385 148 202 211 297 P191 109 47 112 88 P335 June 233 236 350 330 *>619 146 179 211 280 87 57 138 50 P399 July 228 230 317 365 141 169 232 278 87 61 84 87 August 231 250 351 460 ^702 166 176 221 282 65 74 130 178 P518 September 246 289 295 425 P718 168 182 195 262 79 107 101 162 P522 October 278 332 344 3666 178 215 207 304 PI 99 100 117 137 3362 November 252 292 328 492 P785 176 235 224 281 ^168 76 57 104 211 *>618 December 269 368 322 653 171 247 253 344 98 121 69 309 Jan.-Nov 2,825 2,809 3,699 4,494 p7,019 1,789 2,071 2,372 3,001 ^2,385 1,036 738 1,327 1,493 p Preliminary. 1 Including both domestic and foreign merchandise. 2 General imports, including merchandise entered for immediate consumption and that entered for storage in bonded warehouses. 3 Figure overstated due to inclusion in October export statistics of an unusually large volume of shipments actually exported in earlier months. Source.—Department of Commerce. Back figures.—See BULLETIN for February 1937, p. 152; July 1933, p. 431; and January 1931, p. 18. FREIGHT-CAR LOADINGS, BY CLASSES REVENUES, EXPENSES, AND INCOME OF CLASS I [Index numbers; 1935-39 average= 100] RAILROADS [In millions of dollars] For- Mis- Mer- Total Coal Coke Grain L st i o v c e k - p u r e c o s t t d s - Ore l c a o e n u l s e - - c l d . h c is a . e n l. o r p T a e i o r l a w ta t a i l n y g e r x a T p i o l e w t n a a s l y es o r p a e N i r lw a et t a in y g in N c e o t me revenues income SEASONALLY ADJUSTED SEASONALLY ADJUSTED* 1941—October 127 121 165 97 95 140 204 133 97 1941— O S c e t p o te b m er ber 4 4 6 5 4 3 3 40 7 3 9 r5 8 0 5 4 1 2 0 November 135 121 159 118 93 146 204 144 99 November 476 403 73 33 December 137 111 167 124 101 145 246 149 100 December 486 410 76 37 1942—January 140 119 153 142 99 156 186 152 97 1942—January 495 413 82 40 February 139 116 150 131 95 159 187 151 100 February... 519 420 99 58 March 136 122 168 119 97 149 282 143 92 March 542 446 96 52 April 143 160 200 117 101 159 289 141 80 April 584 471 113 70 May 143 164 197 115 98 155 289 142 62 May... 618 487 131 88 June 141 160 199 113 103 159 183 144 60 June 627 500 128 84 July 142 155 205 95 90 172 180 149 57 July 643 519 124 79 August 143 154 208 106 106 165 176 152 57 August 669 539 130 85 O Se c p to t b e e m r ber.... 1 13 3 3 6 1 12 3 1 5 1 1 8 8 0 8 1 13 2 0 6 1 11 0 0 2 1 1 5 4 4 9 r2 1 2 7 1 4 1 1 4 4 6 4 5 5 5 6 O Se c p t t o e b m e b r. e . r .. .. 6 66 6 1 3 5 5 3 3 5 3 1 1 2 2 8 8 82 November 134 125 176 126 114 140 221 144 58 UNADJUSTED UNADJUSTED 1941—September 489 385 104 r60 1941—October 144 138 165 104 146 147 232 151 101 October 518 424 94 54 November 141 135 168 115 117 143 199 150 101 November 457 388 69 29 December 128 125 182 113 97 129 69 138 96 December 480 399 81 55 1942—January 129 136 184 125 95 140 46 134 93 1942— F J e a b n r u u a a ry ry 4 4 8 6 1 2 4 3 1 9 2 6 6 6 9 6 2 2 6 4 M Fe a b r r c u h ary 1 1 2 2 9 9 1 1 3 2 2 5 1 1 7 8 5 4 1 1 0 1 2 0 7 7 6 7 1 14 5 9 3 4 7 7 3 1 1 3 3 9 5 9 9 6 2 M Ap a r r i c l h 5 57 4 3 0 4 4 4 7 8 0 1 9 0 2 2 4 5 7 8 A M p a r y il 1 1 3 3 6 8 1 1 3 3 5 9 1 1 7 8 6 1 10 9 0 9 9 8 0 9 1 1 5 6 9 1 3 2 0 1 3 8 1 1 4 4 2 4 8 6 1 2 J M u a n y e 6 6 2 0 4 1 5 4 0 9 5 1 1 1 1 1 0 9 6 7 4 8 J J A O S u u e c u l n p t y g e o t u b e s e m t r ber.... 1 1 1 1 1 4 5 5 4 3 4 2 0 2 9 1 1 1 1 1 3 3 4 3 3 8 2 2 5 6 1 1 1 1 1 7 8 7 8 7 7 0 5 4 9 1 1 1 1 1 3 2 3 1 3 9 9 9 1 8 1 1 1 0 8 3 6 7 0 1 5 9 6 1 1 1 1 1 6 7 6 5 7 5 3 7 8 3 3 3 3 3 2 1 2 0 0 6 8 5 8 4 0 1 1 1 1 1 5 6 6 4 4 2 2 3 8 5 6 5 5 5 5 0 8 7 7 7 J A O S u e c u l p t y g o t u e b s m e t r ber 6 6 6 7 8 9 4 6 4 8 6 5 5 5 5 5 4 4 6 3 9 3 1 2 1 1 1 1 3 3 5 8 3 5 5 5 1 9 0 8 0 5 9 November 140 139 186 123 144 138 206 150 59 r Revised. NOTE.—For description and back data, see pp. 529-533 of the BULLETIN for * Derived from Interstate Commerce Commission data. June 1941. Based on daily average loadings. Basic data compiled by Associa- NOTE.—Descriptive material and back figures may be obtained tion of American Railroads. Total index compiled by combining indexes for classes from the Division of Research and Statistics. with weights derived from revenue data of the Interstate Commerce Commission. JANUARY 1943 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

DEPARTMENT STORE STATISTICS MONTHLY INDEXES OF SALES AND STOCKS WEEKLY INDEX OF SALES {Index numbers based on value figures; 1923-25 average = 100] [Weeks ending on dates shown. 1935-39 average = 100] Seasonally adjusted Unadjusted 1939 1940 1941 1942 1939 1940 1941 1942 1939 1940 1941 1942 June 10 .105 June 8.... ..120 June 7 .127 June 6 .135 17 . 98 15.... .107 14.... .120 13.... 117 24 84 22... .. 92 21 .107 20 . 116 SALES July 1 . 85 29.... .. 89 28 .109 27 .100 January 92 101 138 69 71 79 108 8 . 62 July 6... .. 67 July 5 . 86 July 4 . 84 February.... 90 103 126 69 71 82 99 15 . 73 13.... .. 78 12 . 93 11 .102 March 89 103 124 82 86 93 118 22 . 67 20.... .. 72 19 . 89 18 . 93 April 89 104 117 88 86 106 115 29 . 66 27.... .. 69 26 . 87 25 . 92 May 89 105 108 87 89 105 108 Aug. 5 . 77 Aug. 3.... .. 81 Aug. 2 .102 Aug. 1 . 96 Tune 91 104 104 S3 87 100 100 12 . 73 10.... .. 79 9 .116 8 .110 July 92 115 121 60 64 79 83 19 . 76 17.... .. 81 16...... .113 15 .113 August 98 134 130 69 77 106 103 26 . 82 24. .. .. 92 23 .119 22 .116 September... 97 116 123 97 105 125 133 Sept 2 .108 31.... ..118 30 .152 29 .132 October 94 105 128 99 101 112 137 9 . 98 Sept 7... .109 Sept 6.. .122 Sept. 5.... .153 November..., 100 116 138 106 114 133 157 16 112 14 123 13. ... .133 12 .129 December 101 111 168 179 197 23 .107 21... .117 20.... .131 19.... .137 30 .120 28. .. ..120 27.... .148 26. .. .155 Year. . . . 90 110 Oct. 7 .123 Oct. 5. .. .125 Oct. 4. ... .169 Oct. 3.... .173 14 .112 12... .115 11. ... .130 10.... .159 STOCKS 21 .116 19. .. .123 18.... .131 17... .152 January 93 64 83 28 .114 26... .121 25.... .130 24.... .153 February 102 70 97 NTov. 4 .123 Nov. 2... ..117 Nov. 1.... .138 31.... .158 March 108 75 111 11 .116 9... ..122 8.... .139 Nov. 7.... .166 April 117 76 122 18 .115 16. .. ..130 15.... .148 14.... H67 May 126 76 129 25 .107 23... .116 22.... .128 21.... .166 June 134 73 128 Dec. 2 .139 30... ..147 29.... .169 28.... r166 July 140 73 126 9 .....188 Dec. 7 ....197 Dec. 6.... .215 Dec. 5.... .236 August 135 84 130 16 .....235 14. ....232 13.... .236 12... .274 September.... 123 95 128 23 ... .242 21. .. ..258 20.... .277 19... .302 October 115 108 128 30 ..... 79 28. ....124 27.... .174 26.... .199 November. p105 110 2*121 December 1940 1941 1942 1943 Year ... 68 69 Jan. 6 ..82 Jan. 4.... ...85 Jan. 3 .107 Jan. 2 13 ..86 11... ...99 10.... .130 9 20 ..83 18... .. .90 17.... .131 16 p Preliminary. 27 ..79 25.... ...89 24.... .119 23.. Back figures.—Department store sales, see BULLETIN for August 1936, p s . t o 6 re 3 1 s , t o f c or k s, O s c e t e o b B e U r L 1 L 9 E 3 T 8 I , N p f . or 9 1 M 8, a a rc n h d 1 f 9 o 3 r 8 J , a p n . u 2 a 32 ry . 1941, p. 65; department r Revised. SALES BY FEDERAL RESERVE DISTRICTS AND BY CITIES [Percentage change from corresponding period of preceding year] Nov. Oct. 11 Nov. Oct. 11 Nov. Oct. Nov. Oct. 1942 1942 m 19 o 4 s 2 . 1942 1942 m 19 o 4 s 2 . 1942 1942 1942 1942 1942 1942 United States.. +17 +24 +12 N Bo e N N B P B P S s w t r o p o o r e e o i n r r w w s d Y i v t t n l o g o a i a g H d n r e r n f k e k p a i d n e o v l c r e d e t n + + + + + + + + + 1 3 2 1 1 1 9 4 4 9 3 3 7 3 1 '+ + + + + + + + + 1 1 3 2 1 3 2 2 1 2 9 6 0 5 4 0 1 6 + + + + + + + + + 1 2 1 2 1 1 1 6 2 5 7 0 0 3 4 1 R C ic W Y E W P W B le h i v r m a o t h i a e i l t u o n e l s e t s a n n i s h e b n m d t g l i d o u i n s o n n r t g g r g o ( - t e c S h w o o n a n n le t' m d) ... + + + + + + ' - + 1 2 1 2 1 1 3 3 8 7 2 3 5 9 + + + + + + + + 2 1 3 2 2 2 2 4 0 7 4 4 5 1 5 + + + + + + + + 2 2 2 1 8 1 4 1 0 0 3 9 C F D I D M S L F G h n o i l a i e e r o i c d i r n a s l t n u a t w i r n s t a x g M o i d W a n n o i u C t g o a a R k i ( p i y n e c t a o y n e e o p l e s n i i s d t' . s d . . . ) . , . + + + + + + + + + 2 1 3 3 2 3 1 1 8 5 3 2 5 1 0 5 2 + + + + + + + + + 3 2 2 2 2 4 3 3 2 1 0 7 3 5 1 1 1 3 + + + + + + + + 1 1 1 2 8 5 9 7 7 8 5 1 D Sa a n H F T D P S S l l o h a a h u o a s n F o r c r l u e t l r s e a s a A v o n W s n t e n i n o c x p i o t n s o o c r . r n o t . t h . io + + + + + + + I 3 1 2 1 3 2 1 0 9 7 6 7 3 + + + + + + + + * 2 1 2 2 4 4 3 3 9 6 8 8 3 2 1 6 + + + + + + + 1 1 1 2 1 2 6 4 1 2 0 1 1 N N A B B E P R S o y u l e l i i o m b a n f w u r c f a g a g g h a i c n a r l h h e Y a u o y r s k a a s o t m e e e r F e k r t p a o s C l n l ie i s . t . . . y . . . . . — + + + + + + + + 1 2 3 1 1 1 8 6 3 1 5 6 0 0 0 r+ + + + + + + + - 4 1 1 1 2 1 1 1 1 8 0 5 8 1 7 3 7 + + + — + + + + + 3 1 1 6 9 8 7 7 6 5 1 8 U H N L R M C C B la y i h i o h u n o c r n a r t a n m n h a f r c r t o t m l l i i h g e e n l n b k o o s s g g t u n m t o h t o r d o n a e g n n m . r , W y S . . V C a. . + + + + + + + - + 4 2 1 2 3 2 1 3 8 7 6 7 3 0 0 6 + + + + + + + + - 5 3 3 2 1 2 3 2 1 6 9 4 8 7 3 0 7 + + + + + + + + - 4 1 3 1 1 1 1 1 5 0 0 1 8 9 4 0 2 •> F L M Q E L S S t. o p L o v i t u e . t o r r u a i t m u i t n L l n i n i e s s c p s o g S v y v h f u m R i i i l i i e l l s s o i l l e t e d c h k — .... + + + + + + + + + 2 4 2 1 1 1 3 1 8 6 2 3 5 0 2 1 5 + + + + + + + + + 5 4 2 1 4 1 1 2 1 6 9 5 2 1 5 8 8 9 + + + + + + + + - 3 2 2 1 2 1 5 8 2 6 1 5 0 0 2 B L F L O S S S S a r a o a o a a a B e n n n c k n s k s r e e g l n A a D F J r a r o k m s o n B r n i f e s a e d g i e e e l e g n e e a n l o a c l c y d t e n o i h s s d co.... + + + + + + + + * 1 5 2 3 2 3 5 4 7 3 0 3 8 3 5 1 + + + + + + + + + 1 4 1 2 2 4 5 3 8 7 2 8 8 9 3 6 9 + + + + + + + + 3 3 2 3 1 1 4 8 5 0 1 5 7 8 Ph T W L P R il h r a e a i e n i a l d l n k c d e a t a e i l d o n p s s e n g t h - e l B i p r a a h r i r a e . . . . . . . , , + + + + + + 1 1 1 8 4 8 0 0 1 + + + + + + 1 2 2 2 1 1 2 0 3 1 8 9 + + + + + + 1 1 1 1 1 9 7 4 0 5 2 M J T M A B a a a t c i a l m a t k c a o m o s n p n o n a i t a n R v o i u ll g e e + + + + + + 2 1 2 2 4 3 5 6 9 1 1 + + + + + + 1 4 4 2 3 4 6 6 5 2 4 3 + + + + + 1 1 1 2 6 9 1 7 8 oM la i D H n n e n u s n a e tc v a s h e p C r i o n i l t i s y s on.... + + + * 3 1 3 4 6 6 + + + +3 1 5 3 5 4 3 7 + + + 1 1 5 8 6 B S V P S a t o o a N o n r i l c s l t t a e e l a k m a j t o a n o R p n d n a a o d n s d a Napa + + + + + 4 4 4 5 7 0 7 8 1 0 + + + + + 5 5 4 4 6 4 0 3 5 6 + + + + + 3 2 2 3 5 1 9 3 6 5 Cle T Y A C C C v o e l i o k o l e n l l a r r e v c u o k n d e i n d m o n la b n n u a d s ti + + + + + + + 2 2 2 1 1 3 8 0 7 0 4 5 2 + + + + + + + 2 2 2 3 5 2 2 7 9 5 0 1 1 3 + + + + + + + 1 1 2 1 1 1 9 3 5 3 9 1 5 h N K N J C C tc a e n a h h a c w g s o i a k c o h x t s a t v v O o a g i i n n l o r l l l l o e e e o a g n a s + + + + + + + 1 1 2 1 1 9 5 8 5 4 9 3 + + + + + + + 2 1 3 2 2 1 2 5 6 7 4 4 3 4 + + + + + + + 1 1 1 1 1 1 5 7 2 7 0 1 0 T T W O J K O S o o u t m k a . p i p l n c l l s a a J e h i s a o h h n k a i s a o t a s a e m p C a h it C y i . t . y . + + + + + + + 5 3 2 5 2 3 4 2 8 3 4 8 3 2 + + + + + + + 5 3 2 4 2 3 3 0 7 7 7 1 3 9 + + + + + + + 1 3 1 1 1 2 6 2 4 5 8 5 3 T B W E S S Y S p a a e v e a a l c o a l k e t l l o t k l i r i t a n m m e a L l e g n t a a W a t h e k a e a m l la City.. + + + + + + + 7 4 6 3 5 5 4 4 6 9 7 5 4 1 + + + + + + + 5 5 3 4 4 3 3 9 0 0 1 6 6 3 + + + + + + + 2 2 3 2 3 1 1 7 4 5 1 2 9 3 Peoria +2 +20 +3 r Revised. * Not available. 86 FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

DEPARTMENT STORE STATISTICS SALES AND STOCKS, BY MAJOR DEPARTMENTS Sales during month (value) Stocks at end of month (value) Ratio of stocks to sales Number Percentage change Percentage change Department of stores reporting O O c c f t t r . . o 1 m 1 9 9 4 4 2 1 S O e c f p t r t . o . 1 m 1 9 9 4 4 2 2S O e c p fr t t . o . m 1 1 9 9 4 4 1 1 1 O O 94 c c 2 t t . . f 3 r 3 o 1 1 m , , 1 S 9 O 4 e c 2 p t t . . f 3 3 r 1 o 0 , m , fr O om c 1 t 9 . 4 S 3 1 e 1 p , t. October 1941 1942 30, 1941 GRAND TOTAL—entire store 356 +24 +11 -6 +16 +12 3.3 3.4 MAIN STORE—total 356 +24 +11 +16 -2 +12 3.4 3.6 Women's apparel and accessories 352 +37 +7 -13 +6 -3 +11 2.3 3.0 W Wo o m m e e n n ' ' s s a a n n d d m m i is s s s e e s s ' ' c d o re a s t s s e a s nd suits 3 3 3 3 6 1 +« + + 2 5 4 - - 1 5 6 + - 1 4 6 - + 11 6 + -1 6 1 1. . 2 4 1.8 Blouses, skirts, sportswear, sweaters, knit apparel 315 +43 0 -13 +17 -2 +9 1.7 2.1 Juniors' and girls' wear 288 +35 -2 -11 +9 +2 +5 1.8 2.2 Infants' wear • 305. +44 +1 +4 +8 +8 2.3 3.1 Aprons, housedresses, uniforms 280 +24 +8 -4 +4 +9 +17 2.3 2.7 Women's underwear, slips, negligees 313 +43 +22 +12 +3 +3 +25 3.6 4.9 Corsets, brassieres 332 +16 +8 -3 +27 +8 3.7 3.4 Hosiery (women's and children's) 337 +64 +12 +7 -1 -4 +29 2.5 4.2 Gloves (women's and children's) 312 +16 +33 +17 +9 -2 +8 4.7 5.0 Shoes (women's and children's) 237 +32 -8 -17 +4 -7 +2 3.6 4.6 Furs 261 +167 +19 -74 -9 Sj +11 2.8 8.3 Men's and boys' wear 321 +12 +17 +9 +24 +2 5.2 4.7 Men's clothing 227 +28 +15 +28 +2 5.6 4.2 Men'ss fuurnniisshhiinnggss,, hhaattss,, ccaappss 302 +22 +23 +11 +27 +4 +17 5.7 5.4 BB'o ys' lctlhoit hing adn d ffuirhniishings 272 +22 -9 -3 +16 —4 +6 3.9 4.1 Men's and boys' shoes and slippers 160 +22 +3 -12 +9 -3 +7 6.0 6.7 Home furnishings 320 +4 +10 +22 -5 +10 4.5 3.9 Furniture, beds, mattresses, springs 225 +2 +2 -7 +23 -3 .+12 4.0 3.3 Domestic floor coverings 240 +4 +22 +2 +37 -9 +3 4.9 3.7 Draperies, curtains, upholstery 296 +6 +32 +24 +16 -7 +2 3.7 3.4 Major appliances (refrigerators, washers, stoves, etc.)... 201 -23 -3 -36 -24 +11 +23 3.6 3.7 Domestics, blankets, linens, etc 283 +9 +1 -9 +23 +12 4.9 4.3 China and glassware 213 +9 0 +12 +1 +7 7.3 6.1 Housewares 223 +9 +1 -6 +28 +14 4.6 3.9 Piece goods (dress and coat yard goods, all materials) 293 +24 +8 +1 +16 -5 3.4 3.7 Small wares 333 +27 +11 -14 +20 +4 +23 4.3 4.5 Notions 223 +24 +8 +2 +27 0 +14 3.5 3.4 Toilet articles, drug sundries, prescriptions 319 +24 +5 —29 +27 +8 +33 4.6 4.4 Jewelry and silverware 286 +39 +12 -24 +14 0 +20 4.4 5.4 Miscellaneous ... 297 +54 +36 -5 +18 +1 +24 3.7 4.8 BASEMENT STORE-total 226 +22 +10 +3 +18 -1 +11 2.7 2.7 Women's apparel and accessories 200 +30 +10 +1 +11 0 +13 1.9 2.3 Men's and boys' clothing and furnishings.. 164 +14 +12 +13 +25 -1 +12 4.0 3.7 Home furnishings 134 +6 +10 +5 +32 -5 +8 3.4 2.8 Piece goods 66 +19 +6 -3 +17 — 1 +2 3.3 3.4 Shoes 129 +23 2 -11 +4 -5 +8 3.2 3.8 NOTE.—Group totals include sales in departments not shown separately. Figures for basement store are not strictly comparable with those for main store owing chiefly to inclusion in basement of fewer departments and somewhat different types of merchandise. The ratio of stocks to sales is obtained by dividing stocks at the end of the month by sales during the month and hence indicates the number of months' supply on hand at the end of the month in terms of sales for that month. SALES, BY TYPE OF TRANSACTION Index numbers; January 1941 = 100 Percentage of total sales Year and month Total Cash Instalment Other credit Cash Instalment Other credit 1941 1942 1941 1942 1941 1942 1941 1942 1941 1942 1941 1942 1941 1942 January 100 138 100 142 100 121 100 136 49 50 8 7 43 43 February 96 116 94 119 110 118 97 113 47 49 10 9 43 42 March 120 151 118 155 127 148 121 148 47 50 9 8 44 42 April 135 149 131 154 144 131 139 147 47 50 9 7 44 43 May 134 134 130 149 138 92 137 126 47 53 9 6 44 41 June 122 131 121 153 119 76 123 117 48 56 8 5 44 39 July 101 110 102 133 114 70 97 91 49 59 10 5 41 36 August 136 135 126 161 190 101 136 112 45 58 12 6 43 36 September 156 164 147 192 164 107 164 145 45 56 9 6 46 38 October 147 183 146 219 143 123 148 155 48 57 8 6 44 37 November December. NOTE.—These data are based on reports from a smaller group of department stores than that included in the monthly index of sales shown on the preceding page. JANUARY 1943 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

CONSUMER CREDIT STATISTICS TOTAL CONSUMER DEBT, BY MAJOR PARTS [Estimated amounts outstanding. In millions of dollars] Instalment debt End o r o f y e m ar onth co T n d o s e u t b a m t l er ins T ta o l t m al ent Sale debt Loans1 p S a lo i y n a m g n l e s e 2 nt a C c h co ar u g n e ts Service debt debt Total Automotive Other 1929 7,089 3,167 2,515 1,318 1,197 652 1,577 1,749 596 1930 6,341 2,706 2,032 928 1,104 674 1,451 1,611 573 1931 5,177 2,214 1,595 637 958 619 1,051 1,381 531 1932 3,846 1,515 999 322 677 516 726 1,114 491 1933 3,717 1,581 1,122 459 663 459 588 1,081 467 1934 4,159 1,846 1,317 576 741 529 659 1 203 451 1935 . 5,148 2,599 1,805 940 865 794 785 1,292 472 1936 . 6,396 3,466 2,436 1,289 1,147 1,030 991 1,419 520 1937 7,054 3,919 2,752 1,384 1,368 1,167 1,119 1,459 557 1938 6,618 3,539 2,313 970 1,343 1,226 1,069 1,487 523 1939 7,518 4,351 2,792 1,267 1,525 1,559 1,089 1,544 534 1940 8,767 5,434 3,450 1,729 1,721 1.984 1,123 1,650 560 1941 9,509 5,921 3,747 1,942 1,805 2,174 1,200 1,783 605 1941 Sept. 9,717 6,241 4,008 2,215 1,793 2,233 1,168 1,712 596 Oct 9,595 6,110 3,900 2,128 1,772 2,210 1,185 1,702 598 Nov 9,442 5,982 3,797 2,045 1,752 2,185 1,198 1,662 600 Dec 9,509 5,921 3,747 1,942 1,805 2,174 1,200 1,783 605 1942 Jan. 9,118 5,604 3,503 1,806 1,697 2,101 1,197 1,709 608 Feb 8,757 5,337 3,301 1,670 1,631 2,036 1.187 1,624 609 Mar. 8 580 5,110 3 105 1,514 1,591 2,005 180 1 680 610 Apr 8,335 4,896 2,929 1,379 1,550 1,967 L, 166 1,660 613 May 7,954 4,618 2,710 1,243 1,467 1,908 L,145 1,575 616 June 7,541 4,339 2,481 1,126 1,355 1,858 1,119 1,466 617 July 7,092 4,043 2,254 1,010 1,244 1,789 L,108 1,322 619 Aug 6,750 3,748 2,032 874 1,158 1,716 L,098 1,285 619 Sept. 6,560 3,513 1,871 777 1,094 1,642 L,091 1,336 620 Oct 6,325 3,253 1,702 660 1,042 1,551 .084 1,368 620 1 Includes repair and modernization loans. 2 An estimated total of non-instalment consumer loans; i.e., single payment loans of commercial banks and loans by pawnbrokers. NOTE.—National estimates of consumer short-term debt for the period from January 1929 through August 1942 were prepared by the Bureau of Foreign and Domestic Commerce, United States Department of Commerce, and published in the November 1942 issue of the Survey of Current Business with a description of sources of data and methods of estimation. Later estimates, comparable with those formerly published by the Department of Commerce, were made by the Board of Governors of the Federal Reserve System. CONSUMER INSTALMENT SALE DEBT, EXCLUDING CONSUMER INSTALMENT LOANS AUTOMOTIVE [Estimated amounts outstanding. In millions of dollars] [Estimated amounts outstanding. In millions of dollars] Depart- End of Com- Small In t d ri u a s l - Miscel- Re a p n a d ir End o r o f y m ea o r nth ex m T a c o u l o u t t t d i o a v i - l n e g s o m m t a r o a n e d r i d n e e l r t - s F s u t to u r r r n e e i s - H a s a h t p o o n o p u r c l l s e d e i e s - - J s e t w or e e lr s y s r o t e t A o t h a r l e e l i r l s mo y n e t a h r or Total m ba er n c k i s a 1 l p c l a o o n a m i n e - s b p a c a n o n k m i i e n - s g u C n r i e o d n i s t l l a e n n e d o e u rs s m iz o lo a d t a e i n o rn s n houses 1929 652 43 263 219 32 95 1930 674 45 287 218 31 93 1931 619 39 289 184 29 78 1929 1,197 160 583 265 56 133 1932 516 31 257 143 27 58 1930 1,104 155 539 222 47 141 1933 459 29 232 121 27 50 1931 958 138 454 185 45 136 1934 529 39 246 125 32 60 '"'27' 1932 ... 677 103 313 121 30 110 1935 794 71 267 156 44 79 177 1933 663 119 299 119 29 97 1936 1,030 130 301 191 66 102 240 1934 741 146 314 131 35 115 1937 1,167 215 350 221 93 125 163 1935 865 186 336 171 40 132 1938 1,226 248 346 230 113 117 172 1936 1,147 256 406 255 56 174 1939 1,559 380 435 257 147 96 244 1937 ... 1,368 314 469 307 68 210 1940 1,984 586 505 288 189 99 317 1938 1,343 302 485 266 70 220 1941 2,174 687 535 298 217 102 335 1939 1,525 377 536 273 93 246 1940 1,721 439 599 302 110 271 1941 1941 1,805 469 619 313 120 284 Sept 2,233 727 530 305 227 102 342 Oct 2,210 712 527 303 224 101 343 1941 Nov 2,185 696 527 300 221 101 340 Sept 1,793 448 625 342 96 282 Dec. 2,174 687 535 298 217 102 335 Oct 1,772 448 619 333 93 279 Nov 1,752 447 613 320 96 276 1942 Dec. 1,805 469 619 313 120 284 Jan 2,101 652 527 291 205 101 325 Feb 2,036 618 521 285 198 101 313 1942 Mar 2,005 601 521 282 196 101 304 Jan 1,697 438 590 294 108 267 Apr 1,967 586 517 277 190 100 297 Feb. 1,631 416 573 285 100 257 May 1,908 564 504 268 184 99 289 Mar 1,591 406 567 272 95 251 June 1,858 546 493 261 179 98 281 Apr 1,550 396 561 258 91 244 July 1,789 521 481 253 173 97 264 May 1,467 367 543 241 85 231 Aug 1,716 491 466 246 166 95 252 June 1,355 332 512 219 79 213 Sept. 1,642 460 452 236 160 94 240 July 1,244 300 475 202 71 196 Oct 1,551 421 437 222 152 92 227 Aug 1,158 277 449 183 67 182 O Se c p t t 1 1 , , 0 09 4 4 2 2 2 5 6 4 2 4 40 2 7 8 1 1 6 5 9 5 6 62 3 1 1 6 7 4 2 ca 1 s h T h lo e a se n s f ig an u d re s r e fo ta r il a m au o t u o n m ts o t o i u v t e s t d a i n r d ec in t g l o i a n n c s l u w d h e ic o h n ly a r p e e s r h s o o w na n l o in n s t t h a e lm f e o n l- t lowing page and a small amount of other retail direct loans (16 million dollars at the end of October 1942) which are not shown separately. 88 FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

CONSUMER CREDIT STATISTICS CONSUMER INSTALMENT CREDITS OF COMMERCIAL CONSUMER INSTALMENT LOANS MADE BY PRINCIPAL BANKS, BY TYPE OF CREDIT LENDING INSTITUTIONS [Estimates, tn millions of dollars] [Estimates of volume made in period. In millions of dollars] Month or year Total Aut r o e m ta o il t ive O re P t t u h a r~ e il r , R m e a o. p n d a d - i r in s P o s e t n a r a - l l - Month or year Com ba m nk er s c 1 ial c S o m m a p ll a n lo ie a s n c In o b m d an u p k s a t i n r n i i g e a s l u C n r i e o d n i s t ~ " chased erniza- ment Pur- Direct and tion cash chased loans direct loans loans 1929 463 413 42 1930 503 380 41 Outstanding at end of 1931 498 340 38 period: 1932 376 250 34 1 1 1 9 9 9 3 4 4 9 0 1 1 1 1 , , , 3 0 5 4 2 8 0 0 8 3 3 2 0 9 1 0 6 0 3 2 1 0 3 6 3 0 0 2 2 1 7 1 5 9 0 0 2 2 2 6 4 2 0 6 0 3 3 2 6 4 8 4 0 0 1 1 1 1 9 9 9 9 3 3 3 3 4 6 5 3 . . 3 4 5 3 0 6 2 8 4 3 3 4 3 2 2 2 5 0 8 3 4 2 8 4 1 3 4 6 0 3 2 7 5 1942— M A F Ja e p a n b r r 1 1 1 1 , , , , 4 4 3 5 3 0 3 1 4 3 8 1 3 3 3 3 3 0 3 6 1 8 8 7 2 2 2 2 4 5 3 8 5 8 5 0 2 2 2 2 6 6 5 7 7 8 4 5 2 2 2 2 2 2 0 3 5 1 7 4 3 3 3 3 3 4 3 5 9 5 4 5 1 1 1 1 1 9 9 9 9 9 3 3 3 4 4 7 8 9 0 1 6 9 6 9 7 0 1 2 8 6 4 9 7 3 3 4 4 4 5 5 1 8 3 0 5 7 9 6 9 8 3 3 2 1 1 2 5 4 7 4 0 7 3 9 8 May 1,273 283 224 243 201 322 June 1,211 265 211 223 196 316 1941 J A S u e u l p g y t 1 1 , , 1 0 9 3 7 9 9 2 8 2 2 2 4 2 0 2 7 3 1 1 1 9 6 8 6 7 2 2 1 1 0 7 8 8 5 9 1 1 1 8 7 8 7 6 2 3 2 2 0 7 9 6 7 2 N O Se o c p t v o t e e b m m er b b e e r r 6 8 7 9 2 6 3 4 4 8 3 1 2 2 2 5 4 3 Oct 922 190 148 159 168 257 December 104 45 25 Volume extended during 1942 month: January 80 66 40 18 1942—Jan 148 39 21 27 5 56 February 66 65 35 19 Feb 115 23 19 21 7 45 March 80 86 42 25 Mar 138 27 22 23 9 57 April 71 72 37 19 Apr 125 19 20 28 10 48 May 61 58 34 18 May 110 17 18 25 9 41 Tune 64 68 36 20 June 102 15 16 16 9 46 July 58 63 34 18 July 95 16 16 13 9 41 August 52 60 33 16 Aug 93 23 14 11 9 36 September 49 60 31 16 Sept 82 14 13 12 8 35 October 44 59 30 14 Oct 77 11 11 14 9 32 1 These figures for loans made include only personal instalment cash NOTE.—For descriptive material and back figures, see Bulletin for October loans and retail automotive direct loans which are shown elsewhere on 1942, pp. 992-994. this page, and a small amount of other retail direct loans (one million dollars in October 1942) which are not shown separately. FURNITURE STORE STATISTICS RATIO OF COLLECTIONS TO ACCOUNTS RECEIVABLE1 c P h e a r n c g e e n t f a r g o e m c c o P h r e a r r e n c s g e p e n o t n f a r d o g i m e ng Instalment accounts a C cc h o a u r n ge ts Oct p o m r - e o c n e t d h i S ng ep- O pr c e m t c o e o - d n i t n h g o S y f e e p a - r Month D s m e to p e r a n e t r s t- F s t u t u o r r r n e e i s - h H p s o l t o l i o d a u r n s e a c e s p e - - J s e t w o e re lr s y D s m e to p e r a n e r t s tber tember ber tember 1942 1942 1942 1942 1941 Sept 19 11 11 18 45 Net T C C sa o a r l e s t e a h d s l i : t s a s l a e l s es: Instalment + + + 1 2 2 7 1 1 + + + 2 8 1 + + - 6 6 5 4 + - - 1 3 6 7 8 O D IST e c c o t v 2 1 1 0 9 9 1 1 1 2 2 1 1 1 1 1 1 2 2 1 1 3 8 8 4 4 4 6 7 9 Charge Account +12 +3 +11 +2 1942 Jan 20 12 11 19 50 Acco T I u n o n s t t t a s a l l r m ec e e n i t vable, at end of month: - - 4 5 - - 4 5 - - 3 3 1 1 - - 3 2 0 9 M F A e p a b r r 2 2 1 1 2 9 1 1 1 3 1 3 1 1 1 1 3 3 1 1 1 9 9 8 4 4 4 6 7 5 May 22 13 13 20 50 Colle T In c o t s t i t o a a l n l s m d e u nt ring month: + + 1 1 1 1 - — 4 5 + + 1 9 0 + + 4 3 J A T u u u l n y ° e \ 2 2 2 3 2 4 1 1 1 4 4 6 1 1 1 3 3 3 2 2 2 5 2 2 5 6 5 6 9 0 Sept 25 16 14 26 60 Inv va e l n u t e ories, end of month, at retail -2 -1 +15 +24 Oct 29 18 16 30 65 1 Ratio of collections during month to accounts receivable at beginning of month. JANUARY 1943 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

WHOLESALE PRICES, BY GROUPS OF COMMODITIES [Index numbers of the Bureau of Labor Statistics. 1926 =1CO] Other commodities All Farm Year, month, or week m c t o o i m e d s i - - p u r c o t d s - Foods Total H p i l r d e o a e d s t u h c a e t r n s d p T ro ex d t u i c le ts m F li u a g e t h e l t r a i i n a n g l d s a p n M r d o e d m t u a e c ls t ts al m B a u t i e ld ri i a n l g s p c C r a a o l h l s l d e i u m e a d c n i t d - s i f n H u g r o n g u i o s s o e h - d - s l M an is e c o e u l s - 1929 95.3 104.5 99.9 91.6 109.1 90.4 83.0 100.5 95.4 94.0 94.3 82.6 1930 86.4 88.3 90.5 85.2 100.0 80.3 78.5 92.1 89.9 88.7 92.7 77.7 1931 73.0 64. £ 74.6 75.0 86.1 66.3 67.5 84.5 79.2 79.3 84.9 69.8 1932 64.8 48.: 61.0 70.2 72.9 54.9 70.3 80.2 71.4 73.9 75.1 64.4 1933 65.9 51.4\ 60.5 71.2 80.9 64.8 66.3 79.8 77.0 72.1 75.8 62.5 1934 74.9 65.3 70.5 78.4 86.6 72.9 73.3 86.9 86.2 75.3 81.5 69.7 1935 80.0 n.i\ 83.7 77.9 89.6 70.9 73.5 86.4 85.3 79.0 80.6 68.3 1936 80.8 80.9 82.1 79.6 95.4 71.5 76.2 87.0 86.7 78.7 81.7 70.5 1937 86.3 86.4 85.5 85.3 104.6 76.3 77.6 95.7 95.2 82.6 89.7 77.8 1938 78.6 68.5 73.6 81.7 92.8 66.7 76.5 95.7 90.3 77.0 86.8 73.3 1939 77.1 65.3 70.4 81.3 95.6 69.7 73.1 94.4 90.5 76.0 86.3 74.8 1940 78.6 67.'J 71.3 83.0 00.8 73.8 71.7 95.8 94.8 77.0 88.5 77.3 1941. 87.3 82.4 82.7 89.0 L08.3 84.8 76.2 99.4 103.2 84.6 94.3 82.0 1941—November 92.5 90.6 89.3 93.5 L14.1 91.1 78.8 103.3 107.5 89.8 100.6 87.3 December 93.6 94/1 90.5 93.7 L14.8 91.8 78.4 103.3 107.8 91.3 101.1 87.6 1942—January 96.0 100.*\ 93.7 94.6 L14.9 93.6 78.2 103.5 109.3 96.0 102.4 89.3 February 96.7 101.3 94.6 94.9 15.3 95.2 78.0 103.6 110.1 97.0 102.5 89.3 March 97.6 102.8 96.1 95.2 L16.7 96.6 77.7 103.8 110.5 97.1 102.6 89.7 April 98.7 104.5 98.7 95.6 19.2 97.7 77.7 103.8 110.2 97.1 102.8 90.3 May 98.8 104.4 98.9 95.7 18.8 98.0 78.0 103.9 110.1 97.3 102.9 90.5 June 98.6 104.4 99.3 95.6 18.2 97.6 78.4 103.9 110.1 97.2 102.9 90.2 July 98 7 105.3 99.2 95.7 18.2 97.1 79.0 103.8 110.3 96.7 102.8 89.8 August 99.2 106.1 100.8 95.6 118.2 97.3 79.0 103.8 110.3 96.2 102.7 88.9 September 99.6 107.8 102.4 95.5 L18.1 97 1 79.0 103.8 110.4 96.2 102.5 88.8 October ^100.0 109.0 103.4 117.8 97.1 79.0 P103.9 110.4 96.2 102.5 88.6 November 110.5 103.5 ^95.8 117.8 97.1 79.1 P103.8 110.1 99.5 102.5 90.1 Week ending 1942—August 22 98.9 106.4I 100.8 95.7 118.9 96.5 79.6 103.9 110.3 96.2 104.1 88.6 August 29 98.9 106.C 100.7 95.7 118.9 96.6 79.6 103.9 110.3 96.2 104.1 88.6 September 5 99.1 106./ 101.4 95.7 119.0 96.7 79.6 103.9 110.3 96.2 104.1 88.6 September 12 99.2 107.2 101.6 95.7 119.0 96.7 79.6 103.9 110.3 96.2 104.1 88.6 September 19 99.3 107.1 102.0 95.7 118.6 96.6 79.6 103.9 110.4 96.2 104.1 88.6 September 26 99.4 107.: 102.0 95.7 118.4 96.7 79.6 103.9 110.5 96.2 104.1 88.6 October 3 108.7 103.0 118.4 96.6 79.7 P103.9 110.5 96.2 104.1 88.4 October 10 108.9 103.3 118.4 96.5 79.7 P103.9 110.5 96.2 104.1 88.4 October 17 p99.6 107.S) 103.1 ^95.6 118.4 96.5 79.7 P103.9 110.2 96.1 104.1 88.4 October 24 P99.1 108." 103.1 118.4 96.5 79.6 P103.9 110.2 96.1 104.1 88.3 October 31 P99.7 109.1 103.0 P95 7 118.4 96.6 79.6 ^103.9 110.2 96.1 104.1 88.5 November 7 109.8 102.9 ^95.7 118.4 96.6 79.6 P103.9 110.2 96.2 104.1 88.7 November 14 P100.1 110./ 103.0 118.4 96.6 79.7 P1Q3.9 110.2 99.5 104.1 90.0 November 21 110.5 103.3 P96A 118.4 96.6 79.7 P103.9 110.2 99.5 104.1 89.9 November 28 P100.1 110.8 103.6 118.4 96.6 79.7 P103.9 110.2 99.5 104.1 89.9 December 5 110.6 103.3 P96.'l 118.4 96.6 79.8 p103.9 110.0 99.6 104.1 90.0 December 12 P100.*5 112.0 104.0 ^96.2 118.4 96.6 80.0 P103.9 110.0 99.5 104.1 90.3 December 19 113.3 104.2 118.4 96.6 79.9 110.0 99.5 104.1 90.4 December 26 115.2 104.6 2*96'.2 118.4 96.6 79.9 P1Q3.9 110.0 99.5 104.1 90.4 1941 1942 1941 1942 i Subgroups Subgroups Nov. Aug. Sept. Oct Nov. Nov. Aug. Sept. Oct. Nov. Farm Products: Metals and Metal Products: Grains 84.3 89.8 93.6 91.5 92.8 Agricultural implements... 96.3 96.9 96.9 96.9 96.9 Livestock and poultry... 90.6 122.6 122.1 123.4 121.3 Farm machinery 97.4 98.0 98.0 98.0 98.0 Other farm products 91.7 99.9 102.2 104.4 108.0 Iron and steel 97.1 97.2 97.2 973 97.2 Foods: Motor vehicles 112.3 112.8 112.8 8 Dairy products 96.3 100.2 105.5 109.2 111.2 Nonferrous metals 84.8 85.6 86.0 860 86!o Cereal products 85.9 87.8 89 t 89.3 89.5 Plumbing and heatinc 87.9 94.1 94.1 94 1 93.2 Fruits and vegetables 77.9 98.0 <r 98 102.0 Building Materials: Meats 90.8 115.2 lie 11 S5 112.0 Brick and tile... 96.6 98.7 98.7 98 7 98.6 Other foods 89.0 93.1 9-L0 95 4 95.9 Cement 93.1 94.2 94.2 94 9 94.2 Hides and Leather Products: Lumber 128.7 133.0 133.2 1333 133.1 Shoes 120.5 126.4 126.4 1264 126.4 Paint and paint materials.. 95.3 100.1 100.4 1010 100.7 Hides and skins 114.0 118.8 118.0 1160 116.0 Plumbing and heating 87.9 94.1 94.1 94 1 93.2 Leather 101.1 101.3 101.3 1013 101.3 Structural steel 107.3 107.3 107.3 1073 107.3 Other leather products.. 111.5 115.2 115.2 1152 115.2 Other building materials... 103.2 103.8 103.8 1033 102.9 Textile Products: Chemicals and Allied Products: Clothing 97.9 107.2 107.0 1070 107.0 Chemicals 88.3 96.3 96.3 962 96.2 Cotton goods 105.4 112.9 112.7 1124 112.4 Drugs and Pharmaceuticals 123.2 129.0 128.9 1288 165.4 Hosiery and underwear.. 67.0 69.7 69.7 705 70.5 Fertilizer materials 77.3 78.3 78.2 783 78.6 Silk Mixed fertilizers 79.6 82.8 82.8 82 8 Rayon 30.3 30.3 30.3 303 30.3 Oils and fats. .. 92.9 101.6 101.5 101.5 101.5 Woolen and worsted goods 102.6 111.7 111.7 1117 111.7 Housefurnishing Goods: Other textile products 96.0 97.9 97.8 974 97.6 Furnishiners . 105.2 107.9 107.4 107 107 3 Fuel and Lighting Materials: Furniture 95.8 97.4 97.4 97.4 97.4 Anthracite 85.3 85.7 85.7 85.7 85.7 Miscellaneous: Bituminous coal 108.2 110.0 110.4 111.0 111.4 Autotires and tubes 67.4 73.0 73.0 73.0 73.0 E C l o e k c e tricity 1 6 2 8 2 .2 2 1 6 22 2 .2 1 1 6 22 2 .6 1 122 1 122 1 C Pa a p tt e l r P a f nPP d r l pulp. 1 1 2 0 0 2 .2 7 1 9 25 8 .9 4 1 9 24 8 .8 2 12 9 3 8.8 13 9 2 8 .8 1 Gas 77.5 80.4 81.1 79.2 Rubber, crude.. 46.3 46.3 46.3 46.3 46.3 Petroleum products 60.4 60.7 60.6 60.6 Other miscellane 92 2 93.0 92.7 92.4 95.1 Back figures.—For monthly and annual indexes of groups, see Annual Report for 1937 (table 86); for indexes of subgroups, see Annual Report for 1937 (table 87). p Preliminary. 90 FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

CURRENT STATISTICS FOR FEDERAL RESERVE CHART BOOK ON BANK CREDIT, MONEY RATES, AND BUSINESS 1942 Chart Chart book book page Nov. I Dec. Dec. Dec. I Dec. page Sept. Nov. 25 I 2 9 16 I 23 MONTHLY FIGURES In billions of dollars WEEKLY FIGURES i In billions of dollars RESERVES AND CURRENCY RESERVES AND CURRENCY Reserve Bank credit, total 2,7 3.72 4.29 5.04 Reserve Bank credit, total 3 U. S. Gov't. securities 7 3.49 4.01 4.75 U. S. Gov't. securities, by maturi- 5.08 5.46 5.81 6.06 6.29 Bills discounted 7 .01 .01 .01 ties, total - 5 Gold stock 2 22.75 22.75 22.74 Within 1 yr 5 4.84 5.14 5.55 5.54 5.63 Money in circulation 2 13.44 13.95 14.47 Within 5 yrs 5 1.32| 1.42 1.70! 1.69; 1.74 Treasury cash 2 2.21 2.23 2.25 After 5 yrs 5 2.83! 3.00 3.35J 3.32; 3.38 Treasury deposits 2 .25 .35 .22 Gold stock 3 2.01| 2.14 2.19 2.22! 2.25 Reserve balances 2, 8 12.30 12.23 12.62 Treasury currency 3 22.741 22.74 22.74 22.74 22.74 Required reserves 8 10.00 9.91 10.26 Money in circulation 3,11 3.38: 3.38 3.38 3.44 3.57 Excess reserves 8 2.30 2.33 2.36 Treasury cash holdings 3 14.65! 14.85 14.99 15.09J 15.33 Money in circulation, total 10 13.70 14.21 14.81 N Tr o e n a m su e r m y b d er e p d o e s p it o s s its 3 3 2 c. . 0 2 7 4 i 2. . 2 0 4 9 2. . 1 0 9 6 2. . 1 0 8 1 2. . 1 5 8 0 B C i o l i l n s s o a f n $ d 5 0 b i a ll n s d u o n v d e e r r $50 1 1 0 0 1 3 0 . . 5 2 0 1 1 3 0 . . 5 6 8 3 1 3 1 . . 6 1 9 2 Member bank reserves 3 1.23| 1.30 1.18 1.16 1.19 Exce N ss e w re Y se o r r v k e s C — it t y o tale 9 9 1 2 2 . . 4 7 3 5 P 1 2 2 . . 5 8 9 4 p 1 2 3 . . 6 2 1 7J P 1 2 3 . . 5 5 9 2 . 13.13 U. S. Go T v R e E r A n S m U e R n Y t F d I e N b A t N : CE Chicago 9 .51 .50 .45 • 54 Direct obligations, total... . 19 85.85 92.27 95.46 Reserve city banks 9 .04 .04 .05 .051 Bonds 19 54.41 57.28 57.99 Country bankse 9 1.07 1.12 1.11 1.031 Notes 19 12.10 15.06 15.80 .82 P. 94 P. 97 Bills 19 510.83 611.34 512.88 MEMBER BANKS Special issues . 19 8.51 8.58 8.79 Total, 101 cities: Guaranteed obligations 19 4.55 4.24 4.24 Loans and investments 16 37.94 38.39 38.44 39.83 40.46 Balances due to domestic banks 16 9.38 9.45 9.40 9.49 9.42 Per cent per annum Demand deposits adjusted 16 30.22 28.85 29.01 29.12 28.50 MONEY RATES, ETC. Time deposits 16 5. 5.20 5.20 5.21 5.21 F. R. Bank discount New York City: rate, N. Y 23 1.00 6.50 .50 Commercial loans 17 2.56 2.54i 2.53 2.47 2.49 Treasury bills (new issues) 23 .370 .372 .371 Brokers' loans 17 .33 .58 .631 .621 -95 Treasury notes (taxable) 23 1.27 1.28 1.28 U. S. Gov't. obligations 17 10.13 10.29 10.321 10.93 11.06 U. S. Gov't. bonds2 29 2.03 2.05 2.06 100 cities outside New York: Commercial paper 25 .69 .69 .69 Commercial loans „. 17 3.68 3.65 3.63 Corporate Aaa bonds 25, 29 2.80 2.80 2.79 U. S. Gov't. obligations 17 14.451 14.52 14.52 15.38 15.45 Corporate Baa bonds 29 4.26 4.24 4.25 In unit indicated Per cent per annum Stock prices MONEY RATES, ETC. (1935-39=100): T T U C C r r . o o e e r r S a a p p s s . o o u u G r r r r a a y y o t t e e v b n 't A B i o . l t l a a e s b a a s o ( n b b n ( d o o e t s a n n w 2 x d d a s s i b s l s e u ) es)......,«..,., 21, 2 2 2 2 2 1 9 9 9 1 2 2 4 1 . . . . . 0 2 8 2 3 8 6 0 6 7 8 2 4 1 2 .0 3 2 8 2 9 6 8 1 8 7 2 2 4 1 . . . . . 3 0 2 8 2 6 9 8 1 9 4 * 2 2 4 1 . . 0 2 3 3 8 9 9 6 6 2 3 2 2 4 1 . . . . . 0 3 8 3 2 9 1 6 6 6 5 Volu T R P I m n u o a d e b i t l u a l r o i l s o c f t a r u d t i r a t a l i l d i i t n y g . . ( . m : ill, shares « ). . . . . . 3 3 3 3 3 1 1 1 1 1 , 6 5 7 6 6 9 1 9 . . . . . 7 5 6 4 4 2 7 6 7 7 4 3 6 2 . . . . . 2 7 7 5 69 7 6 7 7 5 6 7 3 . . . . . 2 2 2 0 69 Brokers' balances (mill, dollars): Credit extended customers.... 33 e500 e510 e520 In unit indicated Money borrowed 33 e310 e310 e320 Customers' free credit balances 33 e240 e260 e27O Stock prices (1935-39 = 100): BUSINESS CONDITIONS Total 31 74.3 74.6 74.7 75.6 76.7 Wholesale prices: # Industrial 31 76.4 76.8 77.2 78.3 79.7 All commodities (1926 = 100): Railroad 31 70.5 69.8 68.1 68.5 70.2 Total7 35, 65 99.6 p100.0 P100.3 Public utility 31 65.7 65.7 64.9 64.9 64.8 Farm products 35 107.8 109.0 110.5 Volume of trading (mill, shares) 31 .60 .55 .61 .94 .83 Other3 35 95.5 ^95.5 P95.S Industrial commodities BUSINESS CONDITIONS (Aug. 1939 = 100): Wholesale prices: Total 37 121.4 p121.6 P\22A All commodities (1926=100): Finished 37 116.8 P116.7 P117.3 Total 35 P100.1P100.1p100.5^100.7 '101.2 Raw and semifinished.... 37 130.9 131.4 131.8 Farm products » 35 110.8 110.6 112.0 113.3 115.2 Cost of living (1935-39 = 100): Others 35 P96.1 p96.2 ^96.2 All items 39 117.8 119.0 119.8 Basic commodities Rent 39 108.0 108.0 107.9 (Aug. 1939 = 100), total 36 170.1 170.4 171.2 172.0 172.7 Clothing 39 125.8 125.9 126.0 12 foodstuffs 36 192.5 193.0 193.9 195.4 196.9 Food 39 126.6 129.6 131.1 16 industrial materials 36 154.9 155.1 155.8 156.1 156.3 S A t u e ( t e p o l e m r p o c r b o e i d n l t u e c o p t f i r o o c n d a u p c a t c i i o t n y ) (thous. cars)4.. 4 4 4 4 98.3 98.6 98.4 * 1 e F N E i s u g t m u im r b e a e s t r e fo o d r f . m i o s p t s h u P e e r r s e t l i h i n m a c n i l n u W d ar e y e d d . r n e e d s u d c a e y d d f a ro te m s a 3 r e t o s h 2 o o w n n D u e n c d e e m r b th er e 1 W 5. ed- Freight-car loadings (thous. cars): nesday included in the weekly period. Total 45 743.5 759.6 740.3 742.9 591.6 2 Partially tax-exempt issues only. Miscellaneous ^ _ 45 357.3 366.6 355.6 358.9 290.2 3 Other than farm products and foods. Electric power production (mill. kw. 4 Data no longer published. D F. e h H ( p r t . h s a A . o r ) . t u m s h . e ) o n m t e s t m or o e rt s g a a le g s e s ( , 1 9 n 3 e 5 w -3 9 c o = n s 1 t 0 r. 0) 4 4 4 6 6 7 3, 1 7 . 1 6 4 6 2 6 6 3, 1 8 2 . 8 2 3 4 2 6 3, 1 9 2 . 3 0 7 8 8 4 3, 1 9 3 . 7 2 0 6 3 2 3 P , I 6 . 1 7 5 9 5 3 9 by 5 7 6 G I E C n o s h c t v a l i u e n m r d g n a i e n m t e g f e r o f n c o m t e r r s D t e i 1 f c . e 0 i u c c 0 e a r i m t t t e i o s e b s e . o 5 r m f 0 i s a i e n t f s u d f h e r e o c i b n w ti t g v e n e d o o n r O n e c s c p s a t a . o ll g b a e e b r 9 l e 0 3 . w 0 i o th n i n a d o v n a e n y c e e a s r. secured JANUARY 1943 91 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

CURRENT STATISTICS FOR FEDERAL RESERVE CHART BOOK—Continued Chart 1942 Chart 1942 book book Sept. Oct. Nov. page Sept. I Oct. I Nov. MONTHLY FIGURES (cont.) In unit indicated MONTHLY FIGURES (cont.) 1926 = 100 BUSINESS CONDITIONS (cont.) INTERNATIONAL FINANCE Industrial production :l 2 3 Wholesale prices: Total (1935-39 = 100) 41, 42 186 ^189 P192 Canada 65 96.0 96.8 97.1 Durable manufactures 41 100 P103 P105 Germany 65 Iron and steel 42 22 23 22 Japan 65 Machinery, etc 42 63 ^66 Sweden 65 Other durable 42 15 15 Switzerland 65 P147.1 Nondurable manufactures 41 66 ?67 United Kingdom ,. 65 128.4 P129.1 P129.9 Textiles and leather 42 20 20 P20 P F a o p o e d r s , a l n iq d u p o r r i s n , t a in n g d tobacco ... 4 4 2 2 2 1 0 1 ?2 1 0 2 P P 1 2 2 0 In f or c e e i n g t n s pe cu r r u re n n it c y of Other nondurable 42 15 ^15 Minerals 41, 42 20 19 Foreign exchange rates: New orders, shipments, and Argentina (peso) 67 29.77 29.77 29.77 inventories: Canada (dollar) 67 87.82 87.63 88.09 New orders, total (Jan. 1939 =100). 43 264 ^271 United Kingdom (pound) 67 403.50 403.50 403.50 Durable 43 390 ^397 Nondurable : 43 183 ?190 Shipments, total (1939 = 100) 43 224 P231 1942 Durable 43 283 *>294 Inve N nt o o n r d ie u s r , ab to le t al (1939 = 100) .... 4 4 3 3 1 1 7 7 5 7 P P 1 I S 7 2 6 July Aug. Sept. Durable 43 201 P203 Nondurable 43 153 ^153 In billions of'dollars Freight-car loadings :i 2 Total (1935-39 = 100)3 57 136 133 134 Increase in U. S. gold stock:6 Coal 57 28.7 25.7 26.7 Total 63 15.72 15.73 15.73 Miscellaneous 57 80.1 78.7 78.9 Net capital inflow:7 Allother 57 27.5 28.7 28.1 Total 62, 63 5.95 6.01 6.07 Inflow of foreign capital 62 3.82 3.89 3.92 1923-25 = 100 Merc R h e a t n u d rn is e o f e d x o p m or e t s s ti u c r p c l a u p s ital.... 6 6 2 3 p8 2 . . 5 0 7 3 ^9 2 . .0 0 1 8 P 2 9 . .6 0 1 3 Other factors 63 ^1.20 P. 64 P.05 Factory employment4 51, 53 #148.2 Short-term foreign liabilities and Factory payrolls4. 51, 53 p220.5 assets of banks:7 Average hourly earnings Due to foreigners 64 3.79 3.85 3.88 (cents per hour)4 51 88.5 88.6 Due from foreigners 64 .28 .30 .28 Av ( e h r o a u g r e s h p o e u r r w s e w e o k r ) k 4 ed 51 42.3 43.6 Net due to foreigners 64 3.51 3.56 3 .60 Department store sales1 59 123 128 138 Department store stocksi 59 123 115 P10S 1942 In millions of dollars Apr.- July- June Sept. Residential contracts awarded:1 T Pu o b ta l l i c 4 4 7 7 1 8 2 8 8 1 1 1 5 1 8 1 1 5 1 9 2 QUARTERLY FIGURES In billions of dollars Private, total 47 40 47 48 Cash income and outgo of U. S. Treas.: 1- and 2-family dwellings 47 37 38 39 Cash income 18 5.55 4.42 4.59 Other 47 3 9 9 Cash outgo 18 9.04 13.18 16.60 Construction contracts awarded:5 Excess of cash outgo 18 3.49 8.76 12.02 Total 49 735 760 Domestic corporation security issues: Residential 49 129 153 P152 Total 32 36 .36 .18 Other 49 #606 P586 New.... 32 22 .28 .11 Nonagricultural employment1- Refunding 32 14 .09 .07 (mill, persons): All establishments 50 37.6 38.0 2*38.2 Manufacturing and mining. 50 15.9 16.1 Per cent per annum Trade 50 6.5 6.6 Government 50 5.5 5.6 Bank rates on customers' loans: Transportation and utilities 50 3.5 3.5 Total, 19 cities 25 2.48 262 2.70 Construction 50 2.0 1.9 New York City 27 1.85 207 2.28 Income payments:1 7 other Northern and Eastern Total 54 9,673 ^9,824 cities 27 2.48 2.56 2.66 Salaries and wages 54 6,773 2*6,930 11 Southern and Western cities.... 27 3.20 334 3.25 Other 54 2,900 Cash farm income: P Preliminary. r Revised. Total 55 1,753 2,015 1 Adjusted for seasonal variation. Crops 55 947 1,071 P892 2 In points in total index. Livestock and products 55 779 891 P873 3 Estimate for December is shown on page 75. Gov't. payments 55 27 53 P61 4 Series revised by Bureau of Labor Statistics; new figures shown on Exports and imports: page 14. Exports 61 *718.2 *776.0 ^785.1 5 Three-month moving average, adjusted for seasonal variation. Imports 61 P195.1 P199.4 ^167.5 6 Cumulated from Jan. 31, 1934. Excess of exports 61 P522.S P576.6 P617.5 7 For explanation of revised basis for international capital movement statistics, see footnote 2 on page 1160 of the BULLETIN for November 1942. Beginning with the revised figures for June 1942, the cumulative figures for net capital inflow relate to the movement through the last business day in the month, while the figures for the outstanding short-term foreign assets and liabilities of banks relate to the position on that day as reported in the new series. FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

CURRENT STATISTICS FOR FEDERAL RESERVE CHART BOOK-Continued [In billions of dollars] 1939 1940 1941 1942 Chart book page Oct. Dec. Mar. June Dec. Apr. June Sept. Dec. Apr. June 2 30 26 29 31 4 30 24 31 4 30 CALL REPORT FIGURES ALL BANKS IN THE U. S. Total deposits and currency 12 62.87 64.10 64.88 66.96 70.75 72.43 74.15 76.09 78.25 e80.00 81.93 Demand deposits adjusted 12 29.09 29.79 30.54 31.96 34.94 36.10 37.32 38.68 39.00 e40.00 41.84 Time deposits 12 26.81 27.06 27.28 27.47 27.74 27.90 27.88 27.90 27.73 e27.2O 27.31 Currency outside banks 12 6.19 6.40 6.23 6.70 7.32 7.78 8.20 8.56 9.62 e10.40 10.94 Loans and investments, total 13 49.95 50.89 51.14 51.34 54.19 56.15 57.95 59.30 61.10 e62.00 63.98 Loans 13 21.63 22.17 22.19 22.34 23.74 24.32 25.31 26.19 26.62 e26.30 25.08 Investments 13 28.32 28.72 28.95 29.00 30.45 31.83 32.63 33.11 34.48 e35.70 38.90 MEMBER BANKS Investments, total C1) 19.61 19.98 20.22 20.48 21.81 23.10 23.93 24.40 25.50 26.45 29.87 U. S. Government obligations: Direct 14 10.89 11.18 11.31 11.60 12.34 13.50 14.24 14.09 15.71 16.98 21.41 Guaranteed 14 2.92 3.14 3.11 3.12 3.49 3.49 3.84 4.24 3.83 3.47 2.69 State and local government obligations 14 2.76 2.69 2.90 2.89 3.01 3.21 2.98 3.16 3.09 3.17 2.93 F O o th re e i r g n d o s m ec e u st r i i c ti e s s ecurities 1 1 4 4 ft 2. . 7 1 7 9 ft 2. . 7 1 0 7 2. . 8 1 0 7 ft 2. . 7 1 2 5 ft 2. . 7 1 3 4 ( ( 2 2 ) ) 2. . 6 1 9 5 Loans, total C1) 13.96 13.97 15.32 16.73 18.02 17.83 16.93 C St o r m ee m t e l r o c a i n a s l l ( o b a r n o s k e ( r i s n ' c l l. o a o n p s e ) n-market paper) 1 1 5 5 13.047 6. . 5 6 7 1 13.94 6. . 7 3 2 2 7. . 5 4 2 7 8 8. . 5 4 5 2 17. 0 55 9. . 6 4 4 1 ( ( 2 2 ) ) 9. . 1 4 1 3 Other security loans3 15 (?) .88 0 .80 .83 .79 8 .78 (2) .69 Real estate loans 15 2.96 ft 3.07 3.23 ft 3.37 3.49 (2) 3.50 All other loans C1) 2.94 3.06 3.27 3.61 ft 3.69 (2) 3.20 SEMI-ANNUAL FIGURES OWNERSHIP OF U. S. GOVERNMENT OBLIGATIONS Total direct and guaranteed obligations outstanding... 47.07 47.87 50.36 54.75 63.77 76.52 Amount held by: U. S. Government agencies and trust funds: Public issues 20 2.30 2.30 2.25 2.36 2.55 2.73 Special issues 20 4.23 4.77 5.37 6.12 6.98 7.88 Federal Reserve Banks 20 2.48 2.47 2.18 2.18 2.25 2.65 Commercial banks 20 16.30 16.55 17.76 20.10 21.79 26.39 Mutual savings banks 20 3.10 3.11 3.22 3.43 3.70 3.89 Insurance companies 20 6.30 6.50 6.80 6.90 7.90 8.80 Other investors 20 12.40 12.20 12.80 13.70 18.60 24.20 e Estimated. 1 Series not shown in Chart Book. 2 Figures available for June and December dates only. 3 Includes only loans made for the purpose of purchasing or carrying securities. DECEMBER CROP REPORT, BY FEDERAL RESERVE DISTRICTS [Based on estimates of the Department of Agriculture, by States, as of December 1, 1942] [In thousands of units] Cotton Corn Winter wheat Spring wheat Federal Reserve district Production Estimate Production Estimate Production Estimate Production Estimate 1941 Dec. 1, 1942 1941 Dec. 1, 1942 1941 Dec. 1, 1942 1941 Dec. 1, 1942 Bales Bales Bushels Bushels Bushels Bushels Bushels Bushels Boston 7,618 8,024 36 40 New York. 31,048 32,053 7,381 8,266 76 80 Philadelphia 47,644 50,041 15,268 13,944 150 128 Cleveland . 201,445 230,248 54,212 40,608 63 52 Richmond 986" 1,459 135,078 133,387 26,894 26,208 Atlanta 1,947 2,535 182,597 177,796 7,151 7,381 Chicago 1,048,383 1,266,052 56,998 35,045 1,466 1,316 St Louis 13^509* 350,051 392,856 50,748 23,358 24 20 Minneapolis 288,551 360,806 32,427 42,573 236,784 250,295 Kansas City 596 598 287,593 420,741 286,181 365,641 7,057 5,442 Dallas 3,139 3,836 87,759 93,887 28,066 49,053 108 107 San Francisco 567 607 9,750 9,263 105,383 91,176 26,654 20,594 Total 10,744 12,982 2,677,517 3,175,154 670,709 703,253 272,418 278,074 Oats Tame hay Tobacco White potatoes Federal Reserve district Production Estimate Production Estimate Production Estimate Production Estimate 1941 Dec. 1,1942 1941 Dec. 1, 1942 1941 Dec. 1, 1942 1941 Dec. 1, 1942 Bushels Bushels Tons Tons Pounds Pounds Bushels Bushels Boston 6,106 6,605 2,802 * 3,489 32,442 29,813 51,455 50,889 New York 26,949 34,615 4,593 6,227 1,939 1,685 32,959 32,627 Philadelphia 18,974 16,387 2,027 2,392 58,182 49,100 22,401 19,348 Cleveland 63,867 62,694 4,960 5,613 107,667 103,684 17,630 16,159 Richmond 23,986 26,359 4,037 4,658 650,557 821,848 21,142 24,784 Atlanta 21,584 22,052 4,042 4,203 134,852 142,733 15,343 15,920 Chicago 472,723 523,027 18,301 20,962 31,934 29,652 40,799 36,285 St. Louis 71,046 76,402 8,233 9,327 238,791 232,328 11,898 13,436 Minneapolis 265,433 390,377 11,530 11,949 2,603 2,472 39,734 45,785 Kansas City 138,696 149,083 7,862 8,943 3,918 3,873 29,900 37,817 Dallas 41,748 15,181 1,911 1,989 6,768 6,068 San Francisco 29,551 35,948 12,438 12,493 65,573 72,032 Total 1,180,663 1,358,730 82,736 92,245 1,262,885 1,417,188 355,602 371,150 1 Includes 25,000 bales grown in miscellaneous territory. 2 Includes 22,000 bales grown in miscellaneous territory. NOTE.—1941 figures for all crops except cotton are as revised in December 1942. JANUARY 1943 93 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

INTERNATIONAL FINANCIAL STATISTICS PAGE Gold reserves of central banks and governments... 96 Gold production .. 97 Gold movements... 97 Net capital movements to United States since January 2, 1935.. 98 Central banks 99-102. Money rates in foreign countries... 103 Commercial banks. .. 104 Foreign exchange rates ... 105 Price movements: Wholesale prices 106 Retail food prices and cost of living... 107 Security prices - 107 Tables on the following pages include the principal available statistics of current significance relating to gold, international capital transactions of the United States, and financial developments abroad. The data are compiled for the most part from regularly published sources such as central and commercial bank statements and official statistical bulletins; some data are reported to the Board directly. Figures on international capital transactions of the United States are collected by the Federal Reserve Banks from banks, bankers, brokers, and dealers in the United States in accordance with the Treasury Regulation of November 11,1934. Back figures may in most cases be obtained from earlier BULLETINS and from Annual Reports of the Board of Governors for 1937 and earlier years. JANUARY 1943 95 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

GOLD RESERVES OF CENTRAL BANKS AND GOVERNMENTS [In millions of dollars] End of month U S n ta it t e e d s g t A e i r n n - - a g B i e u l m - Brazil B I r n i d ti i s a h B ga u r l i - a Canada Chile lom Co b - ia C v z s a e l k o c - h ia o- D m e a n rk - Egypt France m G a e n r- y Greece 1936—Dec... 11,258 501 632 25 275 20 188 29 19 91 54 55 2,995 27 26 1937—Dec... 12,760 469 597 32 274 24 184 30 16 92 53 55 2,564 28 24 1938—Dec... 14,512 431 581 32 274 24 192 30 24 83 53 55 2,430 29 27 1939—Dec. 17,644 466 609 40 274 24 30 21 56 53 55 2,709 29 28 1940—Dec... 21,995 1353 2 734 51 274 24 30 17 58 52 52 2,000 29 28 1941—Dec... 22,737 354 734 70 274 24 30 16 61 44 52 2,000 29 428 1942—Jan... 22,747 354 734 71 274 24 30 18 61 44 52 2,000 Feb... 22, 705 354 734 72 274 24 30 17 61 44 52 2,000 Mar.. 22,687 354 734 74 274 24 30 15 61 44 52 2,000 Apr... 22,691 355 734 74 274 24 30 16 61 44 52 2,000 May.. 22,714 355 734 76 274 24 30 16 61 44 52 2,000 June.. 22,737 355 735 78 274 24 31 16 61 44 52 2,000 July.. 22,744 354 735 79 274 31 18 61 44 52 2,000 Aug.. 22,756 354 735 81 274 31 19 61 44 52 2,000 Sept.. 22,754 354 274 36 21 52 2,000 Oct... 22,740 23 Nov.. 22,743 24 End of month H ga u r n y - P I e r r a s n ia) Italy Japan Java Mexico N la e n th d e s r - IZe N al e a w nd N w o a r y - Peru Poland Po g r a t l u- Ru n m ia a- A S f o r u ic t a h Spain 1936—Dec... 25 25 208 463 60 46 491 23 98 20 75 68 114 203 5 718 1937—Dec... 25 25 210 261 79 24 933 23 82 21 83 69 120 189 5 525 1938—Dec... 37 26 193 164 80 29 998 23 94 20 85 69 133 220 1939—Dec... 24 26 144 164 90 32 692 23 94 20 4 84 69 152 249 1940—Dec. 24 26 120 164 140 47 617 23 4 84 20 59 158 367 1941—Dec. 24 26 6164 235 47 575 23 21 59 182 366 1942—Jan... 24 26 216 42 575 23 21 59 182 363 Feb... 24 26 28 575 23 21 59 198 380 Mar... 24 26 30 575 23 21 59 200 397 Apr... 24 26 31 537 23 21 59 203 429 May.. 24 30 533 23 21 59 205 447 June.. 24 32 528 23 21 59 210 468 July.. 24 33 526 23 21 59 215 502 Aug.. 34 522 23 24 59 219 527 Sept.. 34 23 24 551 Oct... 36 23 24 582 Nov.. 37 Government gold reserves1 not included End of month S d w e e n - land T k u e r y - U K d n i o i n m t g e - d g U u r a u y - V zu e e n l e a - Y sl u a g vi o a - B.I.S. c O t o r t i u e h n s e * - r End of month in U S p t n a r i t t e e e v s d iou U s K d n f i o i n i g m t g u e - d res France2 g B iu e m l- 1936—Dec. 240 657 26 2,584 77 59 48 11 183 1936_Dec 93 1 1 1 1 1 9 9 9 9 9 4 3 3 4 3 1 7 9 0 8 — — — — — D D D D D e e e e e c c c c c . . . . . 2 3 3 2 1 2 4 0 2 6 1 4 8 3 0 6 5 5 7 6 5 4 0 0 6 0 9 1 2 5 8 9 2 2 2 8 2 9 9 9 2 2 , ,6 6 8 8 9 1 1 1 9 0 1 9 6 6 7 0 0 8 9 4 0 9 4 5 5 5 2 1 2 2 2 9 4,8 8 5 5 5 2 3 1 7 9 1 1 1 5 7 4 2 2 1 1 1 1 1 4 4 4 5 8 5 2 2 3 5 1 1 9 9 3 3 7 8 — — D D J J M u u e e n n c c a e r e . . . . . . . . . . . . 1 4 8 69 4 0 4 " 1 4 1 3 , , 7 4 3 9 8 5 9 3 9 9 5 4 ' "*33i" 1 4 8 6 1 4 1 2 5 1942—J N M M J J A O F A S a c u u e p e o u a a n t l b n p r g v r y . . y . t e . . . . . . . . . . . . 3 3 3 3 3 3 2 2 2 2 1 2 0 0 2 1 2 7 5 8 1 6 9 8 1 6 5 7 1 0 ^ r 8 8 8 8 7 7 7 7 7 7 0 0 9 0 6 9 8 0 9 0 5 1 5 0 4 5 4 2 6 0 1 1 1 1 1 1 1 1 0 0 0 1 1 1 1 0 7 0 1 0 1 9 9 9 9 9 9 9 7 7 7 7 7 7 7 4 5 5 5 5 5 6 5 5 6 6 9 6 6 0 2 2 6 4 4 6 6 1 2 1 1 1 1 1 1 4 1 3 2 5 5 9 9 r1 1 1 1 1 1 1 1 1 1 1 4 4 4 4 4 4 4 4 4 4 4 7 2 2 2 5 3 3 6 6 6 7 1 1 1 9 9 9 4 3 4 0 9 1 — — — M D S D S J J J S M M M u u u e e e e e a a c a a n p n n c p p y r r r . t e e t e t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 1 1 1 8 8 4 8 8 6 5 4 0 5 2 5 6 8 8 9 4 6 5 5 4 4 1 5 ,7 2 1 3 9 5 2 2 1 4 5 7 5 7 9 1 1 1 1 7 7 7 7 Dec 25 17 P Preliminary. r Revised. 1942— J M u a n r e... 1 8 2 1 Beginning Apr. 1940, reports on certain Argentine gold reserves no longer available. 2 Change from previous December due largely to inclusion of gold formerly not reported. 3 On May 1, 1940, gold belonging to Bank of Canada transferred to Foreign Exchange Con- 1 Reported at infrequent intervals or on detrol Board. Gold reported since that time is gold held by Minister of Finance. layed basis: U. S.—Exchange Stabilization Fund 4 Figures relate to last official report dates for the respective countries, as follows: Greece- (Special A/c No. 1); U. K.—Exchange Equali- Mar. 31, 1941; Norway—Mar. 30, 1940; Poland—July 31, 1939; Yugoslavia—Feb. 28,1941. zation Account; France—Exchange Stabilization 5 Figures for Dec 1936 and Dec 1937 are those officially reported on Aug. 1, 1936, and Apr.30, Fund and Rentes Fund; Belgium—Treasury. 19388,, rreessppeeccttiivveellyy.. 66 FFii gure ffo r FFeb. 1941; beginning Mar. 29, 1941, gold reserves no longer reported separately. 2 For complete monthly series from Oct. 1938- 7 TThheessee countries are: Albania, Algeria, Australia, Austria through Mar. 7, 1938, Belgian May 1939, see BULLETIN for February 1941, ngo, Bolivia, China, Danzig through Aug. 31, 1939, Ecuador, El Salvador, Estonia, Finland, p. 170. GCounagteom, Baloal,i Iceland, Latvia, Lithuania, Morocco, and Thailand (Siam). Figures for certain 3 Figure for end of Mar. 1937, first date reported. G o f f u a th te e m se a l c a o , un I t c r e i i e la s nh h d a , ve L ab b t e v e i n a , ca L r i r t i ih e d d u af f nd o i r a w , a fM r d o f o ro cl m ct o , l a ra s e t n v p i r o e s v i o o f u fi s c ia o l f fi r c e ia p l o r r t( e ) port. 4 Figure for end of September. 8 Gold holdings of Bank of England reduced to nominal amount by gold transfers to British Figure for September 1. Exchange Equalization Account during 1939. NOTE.—For details regarding special gold 9 Beginning Dec 1940, figures refer to gold reserves of new Central Bank only. transfers in 1939-40 between the British E. E. A. NOTE.—For description of table and back figures see BULLETIN for September 1940, pp. and the Bank of England, and between the French 925-934 and pp. 1000-1007; details regarding special internal gold transfers affecting the reported E. S. F. and the Bank of France, see BULLETIN figures through April 1940 appear on p. 926 in that issue. for September 1940/ p. 926. FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

GOLD PRODUCTION OUTSIDE U. S. S. R. [In thousands of dollars] Estimated Production reported monthly world Year or month production Africa North and South America Other U o . u S t . s S i . d R e .1 Total A So fr u ic th a d R e h s o i - a A W fr e ic s a t 2 B C e o l n g g ia o n 3 U St n a i t t e e s d 4 Canada 5 MexicocI Co b l i o a m- Chile I Nicara-Au li s a tr 8 a-1 I B In ri d ti i s a h 9 $1 = 15^! grains of gold fa fine; i.e., an ounce of fine gold = $35 1934 823,003 708,453 366,795 24,264 12,153 6,549 108,191 104,023 23 135 12,045 8,350 1,166 30,559 11,223 1935 882,533 752,847 377,090 25,477 13,625 7,159 126,325 114,971 23 858 11,515 9,251 868 31,240 11,468 1936 971,514 833,895 396,768 28,053 16,295 7,386 152,509 131,181 26 465 13,632 9,018 807 40,118 11,663 1937 1,041,576 893,384 410,710 28,296 20,784 8,018 168,159 143,367 29, 591 15,478 9,544 848 46,982 11,607 1938 1,136,360 958,770 425,649 28,532 24,670 8,470 178,143 165,379 32, 306 18,225 10,290 1,557 54,264 11,284 1939 1,208,705 1,020,297 448,753 28,009 28,564 8,759 196,391 178,303 29,426 19,951 11,376 3,506 56,182 11,078 1940 1,279,455 1,094,264 491,628 29,155 32,163 3 8,862 210,109 185,890 30, 878 22,117 11,999 5,429 55,878 10,157 1941 1,288,945 1,088,882 504,268 27,765 32,414 209,175 186,568 27, 969 22,961 9,259 7,525 51,039 9,940 1941—Nov.. 107,940 91,657 41,807 2,240 2,590 19,801 15,499 1,688 1,726 701 718 4,047 840 Dec, 105,035 88,884 42,436 2,302 2,590 16,761 14,746 1,832 1,749 622 770 4.200 875 1942—Jan... 104,370 88,598 42,556 2,282 2,695 14,982 14,198 3, 790 2,075 558 772 3,850 840 Feb... 90,335 75,653 39,651 2,186 2,625 10,034 13,147 563 1,573 537 647 3,430 1,260 Mar... 100.485 85,031 42,618 2,275 2,625 10,959 15,372 3,457 1,916 596 663 3,675 875 Apr... 79,926 41,491 2,320 2,555 11,058 14,728 (6) 1,865 540 644 3,815 910 May., 80,603 42,539 2,288 2,520 10,807 14,881 1,719 570 694 3,745 840 June.. ^78,454 42,005 *2,211 2,450 10,147 14,852 1,579 611 609 3,325 665 July. pS2,190 42,784 ^2,227 2,450 12,396 14,864 2,006 645 827 '3,325 665 Aug... ^76,888 41,454 P2,254 2,345 9,806 14,100 1,730 531 747 '3,325 595 Sept.. ^76,255 40,559 ^2,175 2,310 11,479 13,092 1,710 '531 442 '3,325 630 Oct... ^77,168 41,023 'P2,175 '2,310 11,656 13,365 '1,710 '531 '442 '3,325 '630 Gold production in U. S. S. R.: No regular Government statistics on gold production in U. S. S. R. are available, but data of percentage changes irregularly given out by officials of the gold mining industry, together with certain direct figures for past years, afford a basis for estimating annual production as follows: 1934, 135 million dollars; 1935, 158 million; 1936, 187 million; 1937, 185 million; 1938, 180 million. v Preliminary. ' Figure carried forward. 1 Annual figures through 1940 are estimates of U. S. Mint. Annual figure for 1941 and monthly figures are based on estimates of American Bureau of Metal Statistics given in thousands of fine ounces; this series discontinued by A.B.M.S. with estimate for March 1942. 2 Beginning April 1941, figures are those reported by American Bureau of Metal Statistics. 3 Beginning May 1940, monthly figures no longer reported. Annual figure for 1940 estimated at three times production for first four months of the year. 4 Includes Philippine Islands production received in United States. Monthly figures for 1941 represent estimates of American Bureau of Metal Statistics revised by deducting from each monthly figure $12,626 so that aggregate for 1941 is equal to annual estimate compiled by Bureau of Mint in cooperation with Bureau of Mines. 5 Figures for Canada beginning January 1941 are subject to official revision. 6 Beginning April 1942, figures no longer reported. 7 Gold exports, reported by the Banco Nacional de Nicaragua, which states that they represent approximately 90 per cent of total production. 8 Beginning December 1941, figures are those reported by American Bureau of Metal Statistics. 9 Beginning May 1940, figures are those reported by American Bureau of Metal Statistics. NOTE.—For explanation of table and sources see BULLETIN for February 1939, p. 151; June 1938, p. 540; and April 1933, pp. 233-235. For annual figures of world production back to 1873 (inincluding Russia-U. S.S. R.), see Annual Report of Director of Mint for 1941, pp. 103-104, and 1936, pp. 108-109. GOLD MOVEMENTS UNITED STATES [In thousands of dollars at approximately $35 a fine ounce] Net imports from or net exports (—) to: Y m e o a n r th or im To n p e t o a t r l ts U K d n o i i n m t g ed - France g B iu e m l- N l e a t n h d e s r- S d w en e- S er w la i n tz d - Canada Mexico Co b l i o a m- I P s p h la i i n l n i e d p s - t A ra u l s i - a A S f o r u ic t a h Japan B I r n it d i i s a h o c t o r t A h i u e l e n l s r - 19341 1,131,994 499,870 260,223 8,902 94,348 12,402 86,829 30,270 16,944 12,038 1,029 12 4 76,820 32,304 1935 1,739,019 315,727 934,243 3 227,185 968 95,171 13,667 10,899 15,335 3,498 65 75,268 46,989 1936 1,116,584 174,093 573,671 3,351 71,006 2 7,511 72,648 39,966 11,911 21,513 23,280 8 77,892 39,735 1937 1,585,503 891,531-13,710 90,859 6,461 6 54,452 111,480 38,482 18,397 25,427 34,713 181 246,464 50,762 29,998 1938 1,973,5691,208,728 81,135 15,488 163,049 60,146 1,363 76,315 36,472 10,557 27,880 39,162 401 168,740 16,159 267,975 1939 3,574,1511,826,403 3,798 165,122 341,618 28,715 86,987 612,949 33,610 23,239 35,636 74,250 22,862 165,605 50,956 3102,404 1940 4,744,472 633,083 241,778 977 63,260 161,489 90,3202,622,330 29,880 23,999 38,627 103,777 184,756 111,739 49,989 4388,468 1941 982,378 3,779 1 1 1,747 899 412,056 16,791 24,448 42,678 67,492 292,893 9,444 9,665 5100,485 1940 Nov 330,107 936 7 262,718 545 3,283 14,441 6,240 12,186 2,170 27,580 Dec 137,176 99 80,389 347 2,'814 3,268 14,994 1,751 13,262 7,446 12,805 1941 Jan 234,242 37 1 1,746 563 46,876 1,147 3,168 3,185 11,136 149,735 6,085 4,501 6,062 Feb 108,609 1,218 337 81,529 814 11 2,772 6,738 96 615,093 Mar 118,567 817 95,619 866 2,232 3,984 6,262 2,788 "3,046 2,951 Apr 171,992 21 20,216 1,147 2,934 3,587 4,720 132,261 313 6,793 May 34,830 2 16,306 969 2,794 3,384 4,194 3,594 3,589 June 30,712 474 1 17,514 800 7 2,114 4,593 69 "131 5,009 July 37,041 542 19,224 1,080 2,128 4,970 5,199 88 3,811 Aug 36,973 79 10,842 843 2,230 5,098 6,742 137 " 1,995' 69,008 Sept 65,702 250 42,562 495 2,488 3,107 2,064 3,694 611,041 Oct 40,440 55 16,072 1,020 2,107 3,141 6,151 200 "2,327' «9,365 D N e o c v 5 5 2 0 , , 8 3 9 7 6 4 1 1 2 6 1 3 2 2 0 4 , , 3 9 7 1 7 7 6 1 , ,2 3 7 3 3 6 2 2 , , 1 2 1 3 0 8 5 1 , ,8 5 3 0 0 6 3 5 , , 7 9 1 8 3 0 1 4 9 0 0 711 R 1 69 8 , , 0 7 3 2 9 6 1 Differs from official customhouse figures in which imports and exports for January 1934 are valued at approximately $20.67 a fine ounce. 2 Includes $31,830,000 from Argentina. 3 Includes $28,097,000 from China and Hong Kong, $15,719,000 from Italy, $10,953,000 from Norway, $10,077,000 from Chile, and $37,555,000 from other countries. 4 Includes $75,087,000 from Portugal, $59,072,000 from Argentina, $43,935,000 from Italy, $33,405,000 from Norway, $30,851,000 from U. S. S. R., $26,178,000 from Hong Kong, $20,583,000 from Netherlands Indies, $16,310,000 from Yugoslavia, $11,873,000 from Hungary, $10,802,000 from Chile, $10,775,000 from Brazil, $10,416,000 from Spain, $10,247,000 from Peru, and $28,935,000 from other countries. 5 Includes $44,920,000 from U.S.S.R., $10,963,000 from Central America, and $44,603,000 from other countries. 6 Includes imports from U. S. S. R. as follows: Feb.—$11,236,000, Aug.—$3,407,000, Sept.—$5,652,000, Oct.—$5,550,000, Nov.—$5,615,000, Dec.— $13,460,000. NOTE.—Figures for months subsequent to December 1941 have not been released for publication. For gross import and export figures and for additional countries see table on p. 58. JANUARY 1943 97 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

NET CAPITAL MOVEMENT TO UNITED STATES SINCE JANUARY 2, 1935 [In millions of dollars] Increase in foreign banking Decrease Foreign Domestic in U. S. securities: securities: Inflow in From Jan. 2, 1935, through— Total * fnnrlc in TT ^ banking Return Inflow of brokerage funds of U. S. foreign balances Total Official1 Other abroad funds funds 1935—Dec. (Jan. 1, 1936) 1,412.5 603.3 9.8 593.5 361.4 125.2 316.7 6.0 1936—Dec. 30 2,608.4 930.5 81.1 849.4 431.5 316.2 917.4 12.9 1937—Dec. 29 3,410.3 1,168.5 243.9 924.6 449.1 583.2 1,162.0 47.5 1938—Mar. 30 3,207.2 949.8 149.9 799.9 434.4 618.5 1,150.4 54.2 June 29 3,045.8 786.2 125.9 660.4 403.3 643.1 1,155.3 57.8 Sept. 28 3,472.0 1,180.2 187.0 993.2 477..2 625.0 1,125.4 64.1 Dec. (Jan. 4, 1939). 3,844.5 1,425.4 238.5 1,186.9 510.1 641.8 1,219.7 47.6 1939—Mar. 29 4,197.6 1,747.6 311.4 1,436.2 550.5 646.7 1,188.9 63.9 June 28 4,659.2 2,111.8 425.3 1,686.5 607.5 664.5 1,201.4 74.0 Sept. 27 5,035.3 2,479.5 552.1 1,927.3 618.4 676.9 1,177.3 83.1 Dec. (Jan. 3, 1940). 5,021.2 2,430.8 542.5 1,888.3 650.4 725.7 1,133.7 80.6 1940—Mar. (Apr. 3) 5,115.9 2,539.0 539.1 1,999.9 631.6 761.6 1,095.0 88.7 June (July 3) 5,440.7 2,830.1 922.3 1,907.8 684.1 785.6 1,042.1 98.9 Sept. (Oct. 2) 5,748.1 3,092.8 1,112.3 1,980.5 773.6 793.1 987.0 101.6 Dec. (Jan. 1, 1941). 5,727.6 3,159.0 1,200.8 1,958.3 775.1 803.8 888.7 100.9 1941—Mar. (Apr. 2) 5,526.5 3,148.8 1,307.7 1,841.0 767.4 812.7 701.8 95.9 June (July 2) 5,575.4 3,193.3 1,375.1 1,818.2 818.6 834.1 631.2 98.2 Sept.(Oct. 1) 5,510.3 3,139.5 1,321.7 1,817.7 805.3 841.1 623.5 100.9 Dec. 31 5,230.7 2,856.2 1,053.7 1,802.6 791.3 855.5 626.7 100.9 1942—Feb. 4 5,098.2 2,703.5 936.7 1,766.8 803.5 858.8 630.2 102.1 Feb. 11 5,081.6 2,687.5 926.4 1,761.1 802.9 859.1 630.0 102.2 Feb. 18 5,035.7 2,646.2 866.1 1,780.2 806.8 855.9 624.5 102.4 Feb.25 5,069.0 2,675.5 879.4 1,796.0 809.2 856.2 626.2 102.0 Mar. 4....' 5,105.8 2,706.1 941.0 1,765.1 814.6 855.4 627.0 102.6 Mar. 11 5,112.1 2,714.6 955.6 1,759.0 815.8 852.7 626.6 102.4 Mar. 18 5,070.3 2,672.5 917.8 1,754.7 817.5 851.6 625.6 103.1 Mar. 25 5,051.7 2,654.4 908.1 1,746.3 817.2 851.4 625.0 103.7 Apr. 1 5,082.4 2,684.0 932.0 1,752.0 819.7 849.6 624.9 104.3 Apr. 8 5,079.5 2,675.1 918.2 1,756.9 827.3 847.2 625.2 104.7 Apr. 15 5,300.8 2,893.6 1,132.1 1,761.6 830.1 845.3 627.1 104.6 Apr. 22 5,317.1 2,912.9 1,129.7 1,783.2 829.1 844.4 626.6 104.1 Apr. 29 5,309.6 2,906.1 1,106.7 1,799.4 829.8 843.2 626.6 103.9 May 6 5,375.2 2,971.0 1,160.1 1,811.0 831.2 841.9 627.2 104.0 May 13 5,358.6 2,951.4 1,140.1 1,811.3 834.3 841.4 626.5 105.0 May 20 5,358.4 2,948.5 1,153.3 1,795.2 836.4 841.7 626.9 104.8 May 27 5,384.8 2,974.7 1,153.5 1,821.2 836.5 840.9 627.3 105.4 June 3 5,413.4 2,996.8 1,144.0 1,852.8 839.8 843.2 629.0 104.6 June 10. ...- 5,456.4 3,039.1 1,193.0 1,846.0 841.7 840.9 630.0 104.8 June 17 5,497.8 3,077.9 1,210.3 1,867.6 842.8 840.7 631.1 105.2 June 24 5,515.3 3,095.9 1,220.0 1,875.9 843.7 839.1 631.6 105.0 June 302 35,495.3 3-43,075.9 31,211.7 41,864.2 842.3 4838.8 632.0 106.2 July 31 r5,542.6 5r3,121.4 51,242.7 5rl,878.7 5854.9 [829.3 633.3 5103.7 Aug. 31 r5,599.9 5r3,184.8 51,293.1 5rl,891.7 5r839.9 828.6 642.7 5103.9 Sept. 30 5,654.9 53,212.6 51,339.1 51,873.5 6858.2 830.5 646.1 5107.5 r Revised on basis of amended reports received from reporting banks. 1 This category made up as follows: through September 21, 1938, funds held by foreign central banks at the Federal Reserve Bank of New York; beginning September 28, 1938, also funds held at commercial banks in New York City by central banks maintaining accounts at the Federal Reserve Bank of New York; beginning Julyl7, 1940, also funds in accounts at the Federal Reserve Bank of New York which had been transferred from central bank to government names; beginning with the new series commencing with the month of July 1942, all funds held with banks and bankers in the United States by foreign central banks and by foreign central governments and their agencies (including official purchasing missions, trade and shipping missions, diplomatic and consular establishments, etc.). ^ The following note, similar to that published in the BULLETIN for November 1942, incorporates certain revised figures based upon amended reports received from reporting banks. The weekly series of capital movement statistics reported by banks, bankers, brokers, and dealers in the United States through July 1, 1942, has been replaced by a monthly series commencing with the month of July 1942. Since the new series overlaps the old series by one day, the cumulative figures for the period ending July 1 have been adjusted to represent the movement through June 30 only. This adjustment is incomplete, however, taking into account only certain significant movements known to have occurred on July 1 (see footnotes 3 and 4). Other factors in the capital movement on that day are believed to have been small. Owing to a number of changes in reporting practice, the figures for the outstanding amounts of foreign banking funds in the United States and United States banking funds abroad as reported in the new series are not fully comparable with the series ending July 1, 1942. The amounts outstanding on June 30, as calculated by applying to the reported figures on July 1 the adjustments described in footnotes 3 and 4, were as follows, in millions of dollars: total foreign banking funds in United States, 3,716.0, including central bank funds in New York, 1,276.8, and other foreign banking funds in United States, 2,439.2, and United States banking funds abroad, 316.8. (Brokerage balances—net due "foreigners"—amounted to 29.1 million dollars on July 1; the same figure is taken for June 30.) The outstanding amounts reported in the new series for June 30, 1942, were as follows, in millions of dollars: total -f.n~.ni •»*-. krt«UiV/» •£,,„ A^ !« TT»~ Z± ~A G-*-«4-^« o 1 4 ? 4 Z~ ^--AZ *££ ~C« 1 -C,-. 1« 1 oir r% l _ii r i _ < C\A a c\ . 3 TT__ li 3 OA._ i. 1 1* £ -J _ -.l~ — ~ 3 /"irk-> n wa,:rd in the former series from December 3, 1941, in the absence of current data. The figure for United States banking funds abroad is 23.6 million dollars smtaallLler on the new basis, owing principally to the omission of claims on "foreigners" by these Japanese and Italian institutions, the amount of which had als.o_ 1b_ e_ e_ n carri*e^Jd _ff orward3 £f^r om TD*\ ecemIb_e_ri 43i", \1<944i_1.,j _in1 _t_h.ef_ form_e_r s?e_r ies. ' 3 Adjusted for net disbursements of 3.5 million dollars on July 1 to domestic accounts from an official foreign account at the Federal Reserve Bank of New York. 4 Adjusted for two large transactions in foreign dollar bonds known to have occurred on July 1, involving the net purchase for domestic accounts of foreign securities valued at 12.2 million dollars and a corresponding net transfer of banking funds to foreign accounts. 5 Amounts outstanding, in millions of dollars: total foreign banking funds in United States—July 31, r3,788.6, August 31, r3,852.0, September 30 3 879 8, including official funds—July 31, rl,857.2, August 31, 1,907.6, September 30, 1,953.6, and other funds—July 31, rl,931.3, August 31, rl,944 3, September 30, 1,926.2; United States banking funds abroad—July 31, r280.6, August 31, 295.5, September 30, 277.3; and brokerage balances (net due ''foreigners")—July 31, 26.5, August 31, 26.7, September 30, 30.3. NOTE.—Statistics reported by banks, bankers, brokers, and dealers. Data by countries and geographic areas through December 31, 1941, have been published in earlier BULLETINS for all types of capital movement in the above table (except columns 3 and 4), and for outstanding short-term liabilities to and claims on "foreigners" as reported by banks and brokers. For description of the statistics, see; BBUu LLETIN for April 19"3 9, pp-. -28-4--2-96, and May 1937, pp. 394-431. FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

CENTRAL BANKS Assets of issue department Assets of banking department Liabilities of banking department Bank of England Note (Fi p g o u u re n s d s in s m te i r l l l i i n o g n ) s of Gold1 a O ss th et e s r ^ C C oi a n sh rese N rv o e t s es a c v n o D a d u n i s n c - a e t d s s - Se t c ie u s ri- ci t r i c o u n l 3 a- Bankers' D P e u p b o l s i i c ts Other l O ia t t i b h e i s e l r i- 1929—Dec. 25 145.8 260.0 .2 26.3 22.3 84.9 379.6 71.0 35.8 17.9 1930—Dec. 31 147.6 260.0 .6 38.8 49.0 104.7 368.8 132.4 6.6 36.2 18.0 1931—Dec. 30 120.7 275.0 .6 31.6 27.3 133.0 364.2 126.4 7.7 40.3 18.0 1932—Dec. 28 119.8 275.0 .8 23.6 18.5 120.1 371.2 102.4 8.9 33.8 18.0 1933—Dec. 27 190.7 260.0 1.0 58.7 16.8 101.4 392.0 101.2 22.2 36.5 18.0 1934—Dec. 26 192.3 260.0 .5 47.1 7.6 98.2 405.2 89.1 9.9 36.4 18.0 1935—Dec. 25 200.1 260.0 .6 35.5 8.5- 94.7 424.5 72.1 12.1 37.1 18.0 1936—Dec. 30 313.7 200.0 .6 46.3 17.5 155.6 467.4 150.6 12.1 39.2 18.0 1937—Dec. 29 326.4 220.0 41.1 9.2 135.5 505.3 120.6 11.4 36.6 18.0 1938—Dec. 28 326.4 230.0 51.7 28.5 90.7 504.7 101.0 15.9 36.8 18.0 1939—Dec. 27 4.2 580.0 1.0 25.6 4.3 176.1 554.6 117.3 29.7 42.0 17.9 1940—Dec. 25 .2 5 630.0 .9 13.3 4.0 199.1 616.9 ,135.7 12.5 51.2 17.9 1941—Nov. 26 .2 730.0 .6 20.2 4.0 192.3 710.0 136.4 9.8 53.1 17.S Dec. 31 .2 5 780.0 .3 28.5 6.4 267.8 751.7 219.9 11.2 54.1 17.9 1942—Jan. 28 .2 780.0 .4 37.8 8.2 184.5 742.4 145.5 10.2 57.4 17.9 Feb. 25 .2 780.0 .3 30.7 4.2 182.8 749.6 136.8 11.5 51.7 18.0 Mar. 25 .2 780.0 .4 25.2 5.1 204.8 755.1 156.8 9.3 51.4 18.1 Apr. 29 .2 5830.0 .7 59.1 7.5 138.4 771.2 122.6 14.0 51.4 17.7 May 27 .2 830.0 1.2 41.6 6.6 170.5 788.6 146.6 7.6 47.8 17.8 June 24 .2 830.0 1.3 34.2 5.5 165.8 796.0 133.6 8.0 47.3 17.8 July 29 .2 6880.0 1.2 56.1 7.1 146.9 824.1 136.9 8.7 47.8 17.9 Aug. 26 .2 880.0 1.2 51.7 6.7 158.4 828.6 146.0 7.3 46.8 18.0 Sept. 30 .2 880.0 1.4 42.2 2.4 169.6 838.0 135.7 10.3 51.5 18.1 Oct. 28 .2 880.0 1.4 29.1 2.5 178.6 851.2 141.1 3.8 48.9 17.7 Nov. 25 .2 880.0 1.1 10.2 2.7 206.6 870.0 148.8 7.7 46.3 17.8 Assets Liabilities Bank of Canada Dominion and provincial government Deposits (Fi C g a u n re a s d i i a n n m d i o ll l i l o a n rs s ) of Gold an S d d S t o e t U l a r l l t a n i e n r i s s t g ed S t h e o rm rt s - 6 ecuritie O s ther a O s t s h e e ts r circ N ul o a t t e ion? Ch b a a r n te k r s ed D g o m o m v e e i n n r t n io - n Other li O ab th il e i r ties 1935—Dec. 31 .... 180.5 4 2 30 9 83 4 8 6 99.7 181.6 17.9 .8 7.7 1936—Dec. 31 179.4 9.1 61.3 99.0 8.2 135.7 187.0 18.8 2.1 13.4 1937—Dec. 31 179 8 14 9 82 3 91 6 21 7 165.3 196.0 11.1 3.5 14.4 1938—Dec. 31 185.9 28.4 144.6 40.9 5.2 175.3 200.6 16.7 3.1 9.3 1939—Dec. 30 225 7 64 3 181 9 49 9 5 5 232.8 217.0 46.3 17.9 13.3; 1940—Dec. 31 (8) 38.4 448.4 127.3 12.4 359.9 217.7 10.9 9.5 28.5, 1941—Nov. 29 113.8 428 7 228 5 20.3 463.0 247.2 53.2 7.2 20. T Dec. 31 200.9 391.8 216.7 33.5 496.0 232.0 73.8 6.0 35.1. 1942—Jan. 31 299.1 245.7 203.8 14.9 479.1 200.6 46.6 18.7 is. r Feb. 28 377.0 209.5 204.6 17.6 493.2 236.8 49.4 11.1 18.2 Mar. 31 276.3 386.6 209.4 19.7 508.9 241.9 118.8 6.1 16.3 Apr 30 209.5 413.1 223.5 19.1 516.7 214.7 104.5 7.3 22.0 May 30 187.4 430.8 223.8 12.9 528.6 186.0 96.7 23.4 20.1 June 30 .9 493.7 322.1 26.2 541.2 221.3 31.3 26.7 22.4 July 31 33.7 501.0 338.8 36.7 563.8 271.6 26.0 15.7 33.0 Aug. 31 1.0 518.7 351.3 14.7 592.6 225.4 15.5 28.1 24.1 Sept. 30 .8 628.7 284.7 22.1 625.4 246.0 18.5 24.7 21.6 Oct. 31 .5 797.5 199.3 21.7 657.6 304.6 19.3 12.2 25.3 Nov. 30 .5 780.6 204.2 17.8 666.3 273.2 24.6 13.8 25.2 1 Through February 1939, valued at legal parity of 85 shillings a fine ounce; thereafter at market price, which fluctuated until Sept. 6, 1939, when it was officially set at 168 shillings per fine ounce. 2 Securities and silver coin held as cover for fiduciary issue, the amount of which is also shown by this figure. 3 Notes issued less amounts held in banking department. 4 On Jan. 6,1939, 200 million pounds sterling of gold (at legal parity) transferred from Bank to Exchange Equalization Account; on Mar. 1, .1939, about 5.5 million pounds (at current price) transferred from Exchange Account to Bank; on July 12, 1939, 20 million pounds transferred from Exchange Account to Bank; on Sept. 6,1939, 279 million pounds transferred from Bank to Exchange Account. 5 Fiduciary issue increased by 50 million pounds on June 12,1940. Apr. 30, Aug. 30, and Dec. 3, 1941, and Apr. 22 and July 28,1942. 6 Securities maturing in two years or less. 7 Includes notes held by the chartered banks, which constitute an important part of their reserves. 8 On May 1, 1940, gold transferred to Foreign Exchange Control Board in return for short-term government securities (see BULLETIN for July 1940, NOTE.—For further explanation of table for Bank of England see BULLETIN for February 1931, pp. 81-83. The headings in the table for the Bank of Canada correspond to the items in that Bank's statements, except that the headings "Other assets" and "Other liabilities" include certain small asset and liability items shown separately in the statements. ' JANUARY 1943 99 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Central Banks—Continued Assets Liabilities Bank of France (Figu o re f s f i r n a n m c i s l ) lions Gold1 Fo e r x e - ign Domestic bills A G d o v v a e n rn c m es e n to t Other ci N rc o u te la- Deposits l O ia t b h i e l r ichange m O a p rk en et2 Special2 Other c F u c o p o r a s t o t i s c o 3 - n Other2 assets tion G m ov e e n r t n- C.A.R.4 Other ties 1929—Dec. 27 41,668 25,942 5,612 8,624 8,124 68,571 11,737 7,850 1,812 1930—Dec. 26 53,578 26,179 5,304 8,429 9,510 76,436 12,624 11,698 2,241 1931—Dec. 30 68,863 21,111 7,157 7,389 11,275 85,725 5,898 22,183 1,989 1932—Dec. 30 83,017 4,484 6,802 3,438 11,712 85,028 2,311 20,072 2,041 1933—Dec. 29 77,098 1,158 6,122 4,739 11,173 82,613 2,322 13,414 1,940 1934—Dec. 28 .... 82,124 963 5,837 3,971 11,500 83,412 3,718 15,359 1,907 1935—Dec. 27 66,296 1,328 5,800 9,712 11,705 81,150 2,862 8,716 2,113 1936—Dec. 30 60,359 1,460 5,640 1,379 8,465 17,698 12,642 89,342 2,089 13,655 2,557 1937—Dec. 30 58,933 911 5,580 652 10,066 31,909 11,733 93,837 3,461 19,326 3,160 1938—Dec. 29 87,265 821 7,422 1,797 7,880 20,627 18,498 110,935 5,061 25,595 2,718 1939—Dec. 28 5 97,267 112 11,273 2,345 5,149 34,673 20,094 151,322 1,914 14,751 2,925 1940— N O o c v t. . 3 2 1 8 6 6 8 8 4 4, , 6 6 1 1 6 6 ft ( ( I 7 ) ) 5 6 6 4 , ,3 8 9 0 7 6 6 6 5 1 , , 2 2 5 0 0 0 2 2 1 1 3 4 , , 1 17 3 6 1 1,0 7 9 4 7 8 3 3 8 9 , , 9 10 3 7 2 2 2 5 4 , , 0 9 7 4 5 1 8 Dec. 266 84,616 42 43,194 3,646 72,317 63,900 23,179 218,383 984 41,400 27,202 661 3,586 1941—July 31. 84,598 37 40,776 6,419 117,715 69,500 22,605 242,000 1,318 60,612 33,978 3,741 Aug. 28 84,598 37 40,720 6,139 117,555 67,700 21,826 244,099 1,341 60,193 29,179 3,763 Sept. 25 84,598 37 41,014 6,896 123,578 64,700 20,846 248,993 1,279 59,715 27,208 4,402 Oct. 30 84,598 37 41,138 1 7,849 129,518 60,500 23,555 255,684 1,272 60,932 25,999 3,309 Nov. 27 84,598 38 41,654 5 5,348 129,568 68,900 21,016 260,772 1,371 61,073 24,431 3,479 Dec. 31. 84,598 38 42,115 12 4,517 142,507 69,500 22,121 270,144 1,517 64,580 25,272 3,894 1942—Jan. 29 84,598 38 42,071 16 4,855 149,562 64,700 20,138 273,281 1,350 59,649 27,797 3,900 Feb. 26 84,598 38 42,043 18 5,588 149,754 67,400 20,086 278,392 1,173 59,203 27,287 3,469 Mar. 26 84,598 38 42,314 16 4,433 156,386 67,000 20,056 282,848 852 56,396 30,251 4,493 Apr. 30 84,598 38 42,651 13 4,581 162,898 68,300 21,365 291,654 775 59,668 28,955 3,391 May 28 84,598 38 42,804 11 4,176 168,930 66,250 19,953 296,903 755 54,410 30,653 4,040 June 25. 84,598 38 42,699 9 4,000 174,938 62,950 19,486 304,379 768 48,093 30,724 4,753 July 30 84,598 38 43,743 9 4,744 180,678 57,650 20,740 315,617 726 39,908 31,963 3,985 Assets Liabilities Reichsbank Reserves of gold and Bills (and Securities (Figures in millions of foreign exchange checks), Note Other reichsmarks) re T s o e t r a v l es Gold i T n r c e b l a i u l s d l u s i r n y g Se l c o u a r n i s ty E as c l i o g n v i o e b r t l e e Other O as t s h e e t r s cir t c io u n la- Deposits lia ti b e i s li- 1929—Dec. 31 2,687 2,283 2,848 251 92 656 5,044 755 736 1930—Dec. 31 2 685 2,216 2,572 256 102 638 4,778 652 822 1931—Dec. 31 1 156 984 4 242 245 161 1,065 4,776 755 1,338 1932—Dec. 31 920 806 2,806 176 398 1,114 3,560 540 1,313 1933—Dec. 30 396 386 3,226 183 259 322 735 3,645 640 836 1934—Dec. 31 84 79 4,066 146 445 319 827 3,901 984 1,001 1935—Dec. 31 88 82 4,552 84 349 315 853 4,285 1,032 923 1936—Dec. 31 72 66 5,510 74 221 303 765 4,980 1,012 953 1937—Dec. 31 76 71 6,131 60 106 286 861 5,493 1,059 970 1938—Dec. 31 76 71 8,244 45 557 298 1,621 8,223 1,527 1.091 1939—Dec. 30 78 (8) 11,392 30 804 393 2,498 11,798 2,018 ,378 1940—Dec. 31 78 15,419 38 32 357 2,066 14,033 2,561 ,396 1941—Aug. 30 77 17,306 25 16 384 2,343 16,502 2,326 ,323 Sept. 30 77 18,016 25 24 383 2,260 16,918 2,511 ,357 Oct. 31 77 18,456 26 20 335 2,364 17,432 2,470 ,377 Nov. 29 77 18,899 24 58 283 2,395 17,793 2,493 ,450 Dec 31 77 21,656 32 107 283 2,311 19,325 3,649 ,493 1942—Jan. 31 77 20,884 28 151 288 1,406 18,987 2,417 ,431 Feb. 28 77 21,458 23 144 288 1,343 19,443 2,426 ,464 Mar. 31 77 21,673 23 72 227 1,751 19,774 2,762 L.287 Apr. 30 77 21,529 19 17 202 2,212 20,047 2,701 ,308 May 30 77 22,093 19 16 204 2,344 20,548 2,840 L.366 June 30 77 22,848 21 18 202 2,180 20,954 2,990 1,402 July 31 77 23,114 17 21 205 2,162 21,344 2,804 1,448 Aug 31 77 23,611 14 34 204 2,262 21,808 2,864 1,530 1 Gold revalued in Mar. 1940, Nov. 1938, July 1937, and Oct. 1936. For further details see BULLETIN for May 1940, pp. 406-407; January 1939, p. 29; September 1937, p. 853; and November 1936, pp. 878-880. 2 For explanation of this item, see BULLETIN for July 1940, p. 732. 3 By a series of Conventions between the Bank of France and the Treasury, dated from Aug. 25,1940, through June 11, 1942, advances of 181,000 million francs were authorized to meet the costs of the German army of occupation. 4 Central Administration of the Reichskreditkassen. 5 In each of the weeks ending Apr. 20 and Aug. 3,1939, 5,000 million francs of gold transferred from Exchange Stabilization Fund to Bank of France; in week ending Mar. 7, 1940, 30,000 million francs of gold transferred from'Bank of France to Stabilization Fund. 6 Figures taken from annual report of Bank for 1940. 7 Figure not available. 8 Gold not shown separately on Reichsbank statement after June 15,1939. NOTE.—For further explanation of tables see BULLETIN for February 1931, pp. 81-83, and July 1935, p. 463. IOO FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Central Banks—Continued Central Bank 1942 1941 Central Bank 1942 1941 (Figures as of last report (Figures as of last report date of month) Nov. Oct. Sept. Nov. date of month) Nov. Oct. Sept. Nov. Central Bank of the Argentine Re- Bank of the Republic of Colompublic (millions of pesos): bia— Cont. Gold reported separately 1,075 1,075 Deposits 76,121 72,602 69,435 53,786 Other gold and foreign exchange... 694 456 Other liabilities 41,355 41,829 42,824 49,574 Negotiable Government bonds 366 364 National Bank of Denmark (millions Rediscounted paper of kroner): (Aug.)2 Other assets 217 209 Gold 98 98 Note circulation 1,503 1,281 Foreign exchange 16 31 Deposits—Member bank 694 502 Clearing accounts (net) 1,017 801 Government 39 207 Loans and discounts 52 51 Other 20 26 Securities 41 175 Foreign exchange sold forward 7 Gov't. compensation account^.. 125 Other liabilities 96 81 Other assets ... 1,154 898 Commonwealth Bank of Australia Note circulation 834 791 (thousands of pounds): Deposits—Government 408 154 Issue department: Other 1,020 896 Gold and English sterling 29,829 29,110 19,955 Other liabilities 241 211 Securities 93,417 91,642 58,740 Central Bank of Ecuador (thou- Banking department: sands of sucres): (June)2 Coin, bullion, and cash 5,349 6,211 3,865 Gold 96,858 71,276 London balances 45,434 38,936 32,851 Foreign exchange (net) 48,348 25,648 Loans and discounts 22,796 22,110 20,980 Loans and discounts 82,733 84,505 Securities 139 664 136 167 66,934 Other assets , 41,384 25,670 Deposits 156,402 149,212 114,649 Note circulation L 134,166 107,574 Note circulation 114,106 111,606 75,364 Demand deposits 98,825 57,372 National Bank of Belgium and Other liabilities 36,331 42,154 Bank of Issue of Brussels (mil- National Bank of Egypt6 (thou- *lions of belga) i1 (Aug.)2 sands of pounds): Gold 4,336 4,331 Gold 6,251 Foreign exchange 3,841 1,539 Foreign exchange 4,474 Credits to State and public bodies. 4,213 3,417 Loans and discounts 3,163 Credits to private economy 56 144 British, Egyptian, and other Gov- Reichskreditkasse 729 772 ernment securities 125,443 Other assets 544 Other assets 6,402 Note circulation 11,988 9,427 Note circulation 71,134 50,027 Demand deposits 729 468 Deposits—Government 18,730 Postal Checking Office 777 737 Other 42,408 Other liabilities 223 (3) Other liabilities 13,460 National Bank of Bohemia and Mo- Central Reserve Bank of El Salvaravia (millions of koruny): (Aug.)2 dor (thousands of colones): Gold 1,515 1,513 Gold7 24,206 21,719 13,246 Foreign exchange 760 791 Foreign exchange 8,670 10,730 1,616 Discounts 917 840 Loans and discounts 1,189 974 1,307 Loans Government debt and securities 7,014 7,055 6,801 Other assets 13,539 /3\ Other assets 559 529 1,801 Note circulation 10,781 8,512 Note circulation 24,305 23,841 16,976 Demand deposits 2,139 2,627 Deposits 11,581 11,422 4,140 Other liabilities 3,811 (3) Other liabilities 5,753 5,743 3,655 Central Bank of Bolivia (thousands Bank of Finland4 of bolivianos): (Aug.)2 Bank of Greece4 Gold at home and abroad 389,214 236,576 National Bank of Hungary (millions Foreign exchange 323,185 462,543 of pengo): (Aug.)2 Loans and discounts 303,788 162,186 Gold8 100 100 Securities—Government 492,816 450,729 Foreign exchange reserve 4 17 Other .... 41,234 10,199 Discounts 1,489 1,121 Other assets 70,157 47,852 Loans—To Treasury 760 791 Note circulation 729,079 581,384 To foreign countries .... 430 140 Deposits 738,071 621 023 Other 33 36 Other liabilities 153,244 167,679 Other assets . 601 449 National Bank of Bulgaria4 Note circulation 2,387 1,899 Central Bank of Chile (millions of Demand deposits 457 465 pesos): Consolidated foreign credits of 1931. 21 26 Gold 174 174 147 Other liabilities 553 264 Discounts for member banks 201 145 227 Reserve Bank of India (millions of Loans to Government 729 729 738 rupees): (Aug.)2 Other loans and discounts 909 935 512 Issue department: Other assets 293 287 136 Gold at home and abroad.... 444 444 Note circulation 1,654 1,666 1,233 Sterling securities 3,118 1,807 Deposits—Bank 245 252 196 Indian Gov't. securities 1,024 565 Other 136 116 102 Rupee coin 287 376 Other liabilities 272 235 229 Note circulation 4,743 3,074 Bank of the Republic of Colombia Banking department: (thousands of pesos): Notes of issue department 131 117 Gold 41,227 39,566 36,692 29,102 Balances abroad 772 598 Foreign exchange 60,757 57,641 52,921 10,449 Treasury bills discounted 2 1 Loans and discounts 15,018 14,685 14,958 42,621 Loans to Government 9 Government loans and securities... 59,758 60,436 59,989 54,586 Other assets 89 """96 Other assets 33,646 32,675 34,141 34,612 Deposits 851 687 Note circulation 92,931 90,575 86,442 68,009 Other liabilities 152 125 1 Separate figures for National Bank of Belgium not available. The Bank of Issue of Brussels was founded by the German Military Administration on June 27, 1940; it has no note issue, drawing its resources principally from advances from the National Bank and deposits by the Postal Checking Office. 2 Latest month for which report is available for this institution. 3 Figure not available. 4 For last available reports from the central banks of Bulgaria (May 1941), Finland (May 1941), and Greece (March 1941), see BULLETIN for March 1942, pp. 280-281. 5 Represents Bank's claim on the Government for the Bank's foreign exchange losses resulting from the revaluation of the krone on Jan. 23, 1942. 6 Items for issue and banking departments consolidated; after March 1942, statements published only irregularly. 7 Gold revalued June 30, 1942, at 0.3555 gram fine gold per colon, a 20 percent reduction in the gold value of the colon. 8 Gold revalued in week ending Sept. 30,1941, at 0.2175 gram fine gold per pengo, an increase in gold value of the pengo of approximately 24 per cent. JANUARY 1943 IOI Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Central Banks—Continued Central Bank 1942 1941 Central Bank 1942 1941 (Figures as of last report (Figures as of last report date of month) Nov. Oct. Sept. Nov. date of month) Nov. Oct. Sept. Nov. Bank of Japani South African Reserve Bank—Cont. Bank of Java (millions of guilders): (Jan.)2 Note circulation 37,339 34,057 28,488 Gold 40/ 430 Deposits 95,792 91,554 76,321 Foreign bills 24 23 Other liabilities 4,632 4,175 3,980 Loans and discounts 171 95 Bank of Sweden (millions of kronor): Other assets 140 129 Gold 719 707 433 Note circulation 339 269 559 550 875 D O e th p e o r s i l t i s abilities 36 3 6 7 37 3 1 6 D Fo o r m ei e g s n ti c a s l s o e a t n s s ( a n n e d t) investments.. 1,1 6 4 6 6 7 1,1 7 2 8 9 5 8 9 5 1 9 9 Bank of Mexico (thousands of pesos): Other assets 1,863 1,832 1,551 M "A e u ta t l h l o ic r i r z e e s d e " r ve h 3 oldings of securi- 247,045 240,373 179,540 N D o em te a c n i d r c d u e la p t o io si n ts 4 8 0 1 9 9 4 9 0 3 5 4 8 69 4 2 2 ties, etc 708,305 683,859 519,296 Other liabilities Bills and discounts 112,530 109,898 42,597 Swiss National Bank (millions of Ne d t e h N O D O G S rs e i o t e o t ) l r h h v m l t : l d e e e e a r a r r n n c l a ( i d d i r i s a s n c s b l c u e i i B l l t a l u s a i b a d t t i i i n i l ^ e o n i k s n t g i e ( s s m ub il s l m i i d o .. n i m a s r y o f c o g i u n i ) l- .. 6 3 1 4 6 2 2 4 3 4 4 , , , , 5 8 6 5 1 1 1 6 6 9 7 6 ' 3 6 1 A 1 4 4 2 u 3 8 8 0 g , , , , . 9 1 8 3 2 ) 3 5 3 5 1 2 5 1 1 6 8 4 4 2 1 2 9 8 0 1 5 2 1 4 , , , , , 0 6 6 4 9 2 9 2 0 5 5 8 5 0 3 4 fra O O N F L O G n o o t t o o t c h h h r a l t s e e e d e e n ) i r r r : s g c n s l a a i i i r s n a g c e s b d h u x e i t l t c l d s a i h l t t i i a i i s a e o n c b s n g o i e u li n ti t e s s ( 2 3 1 4 4 , , ) 5 4 2 1 1 9 6 3 7 6 7 9 7 1 3 e 2 1 4 , , , 2 > 4 4 2 8 2 8 n 5 9 4 7 3 2 1 , , , 3 3 4 2 2 r 1 6 0 4 6 8 8 0 9 3 0 6 6 3 5 2 1 2 , , , 2 9 4 2 2 6 1 9 0 3 1 3 3 0 0 7 5 0 2 5 6 C R B B a a e . e . s s s e n n n a a e O s G L G N N D O k A L O N O N O n k t D O G n O G D D D I G S F c r r n d d o t o t o o o u o t v o d e t o t t t o e o o o e t i i a h e v h o h s h h h s a h s s l r a v d p m l p n e v l t v t t r d l e e e c c d e f d n e e e e e e e e n o e o l o o a - e o t o 5 r i s o r o r r r i a R r s r B a s r s r n f g s s r , n f N f t a c n c e u c u ) n k n i m i c n e a g a a a l l r l : n a t i i i s t d n n m o i s i m i i p e e s s r r r s s s s n e n n d a a a e o t t c c c r s — e s s b o s s e s s P r b d b e b k g e d n l e u u u w e e e r i v u x e n f n i i i s t e l o r t t t t v l l l O G l e l o l c o n l s s s v a s s d a a a t t o p i i i r s e h ) r d t t t t t e t t y o i f o e : t i i e i i i i h d S s l a s B s i v e e e u o o o o s i x c n N e e g ) t s s s i e n n n a a g o c a : r g t b ( n r n s e h n t u a n e n t e w s a e n l k m e n r t t x o ) e s Z g o e c r s e n f e h ( e S t m a a P rv t n l i e a a e l g r t l n e i e u o d n u ( s n ( t h t d h o e o o u r u f - - - 2 3 2 2 4 2 2 3 7 1 6 5 , , , , , , , , 4 1 8 4 9 5 8 7 4 5 0 7 6 9 2 9 3 5 2 7 2 0 7 1 ( 2 2 1 J 9 5 3 3 6 2 2 3 2 0 1 u 4 7 9 2 4 5 3 4 2 2 1 6 6 5 2 1 1 1 5 8 1 l , , , , , , , , , , , , , , , , , , , , , y 8 6 2 1 0 3 0 9 3 2 2 8 7 0 3 8 8 8 9 5 8 6 3 1 3 1 ) 4 8 6 6 4 7 9 2 1 3 2 3 5 3 5 1 0 5 9 0 0 6 1 0 1 5 3 2 3 5 7 6 6 6 1 1 6 7 7 4 0 1 2 8 7 9 2 4 0 7 2 7 4 0 0 1 1 6 6 2 8 2 8 2 1 1 1 2 6 2 0 1 1 1 2 3 0 1 2 1 2 3 2 7 1 5 1 4 , , , , , , , , , , , , , , , , , , , , 3 9 4 8 0 3 8 0 6 0 0 5 9 6 8 0 5 8 9 9 6 2 1 1 3 3 8 2 4 3 0 4 6 7 7 9 6 3 8 6 5 4 9 8 9 0 6 6 8 2 8 6 . 1 0 1 1 5 6 3 9 0 7 1 8 6 0 7 6 4 2 2 4 C C Ba e e T s ( n n n a t u h O B D N L N n F O F t t G G O D O k I C S r r s r o d o o o e a t e o o t e o r o t t s k N a a C o u h s h h h r c r e a n p p u l l t t l l e e f e s d e d u e e e e n d e a e k o o N e A N O D O G G O o a i y i r r r r . r s n t i g i B g s t s B n f t i i c d o n o c o t o t e t i h t d i n g s n t o l h a h a l h d t a a i r t ( i v l p l g i t a t i b i s e e o r s r n d s d e s t a e e e e n e s a a n a o t — n c h c c o e p s s v s l s r r r a o b d b n d k s u u e x l o R e k o l a c a e l i e i i B c i e l G a a l t l l t c O u n i l f r r n l t v d a s a o s a i e e r i b i n s s p n h t o a s d a a t o t t c o r a t i t s a p m p s a d a m a i i a n i f i s b h i t u l r f n e o e e o n e u n n n i c d r k s e i e e l V s t o s s e n s n t g l c o k g i d a b s r s t n t m i l n o n — o o s e u s t ) t e v a h l t t i s i a a : i : i n n n e e o e e n ) c o c l ( r n t b d : s n e S c n f s b o t R z o o e t : d d a p u a f u t e n ) i o i t e n e p e s k U u l s t c u a s s n r o b a d u u n l ( s g i t n d ) c h : u t o s a o u . t y f . o - .. 1 1 2 3 3 6 1 9 6 6 6 5 1 8 6 2 5 , , , , , , , , 2 0 6 2 0 2 7 1 6 5 2 3 5 4 4 0 4 4 0 0 5 8 8 4 1 1 4 3 4 1 1 9 6 6 1 5 0 1 2 6 6 , , , , , , , , 3 2 0 0 9 8 1 9 1 6 3 6 8 5 7 3 9 4 0 6 0 3 8 5 J ( 5 5 1 1 1 1 1 2 1 1 1 1 1 J u 7 8 9 5 6 3 3 8 1 0 4 4 2 8 1 2 3 4 3 1 6 8 3 1 6 u 4 9 9 6 4 7 6 9 3 n 7 5 9 3 5 6 6 1 5 3 9 3 3 3 5 5 8 l , , , , , , , , , , , , , , , , , , , , , , , , , e , 5 3 y 2 8 8 8 8 0 0 1 2 7 6 8 0 0 0 6 1 5 2 6 2 8 7 8 ' 2 5 4 0 6 4 3 7 2 4 3 5 ) 0 9 2 7 7 9 7 5 0 4 0 3 8 3 2 7 8 2 4 7 6 9 5 3 1 1 3 3 1 1 6 1 6 1 4 9 4 0 5 4 9 4 5 1 1 1 1 1 1 2 1 1 7 8 5 2 3 9 1 7 2 1 6 7 3 3 9 3 6 3 9 1 0 2 2 1 1 4 6 5 5 3 4 9 1 0 5 2 2 8 4 4 7 7 5 1 5 7 3 9 4 9 0 , , , , , , , , , , , , , , , , , , , , , , , , , . 4 2 8 9 0 3 3 2 9 0 1 4 9 1 5 8 0 4 5 4 3 3 9 9 7 2 7 1 3 2 1 1 5 2 1 8 9 4 5 7 8 0 9 0 8 6 6 7 4 3 7 9 1 5 5 1 6 2 8 4 0 2 7 9 0 0 4 4 2 4 7 2 7 3 9 0 9 2 -Other assets 1,285 935 National Bank of the Kingdom of Note circulation 4,585 3,911 Yugoslavial -Nat O i O o t t n h h a e e l r r B s li i a a g n b h k i t l i l o t i i a f e b s R il u it m ie a s nia (millions 5 1 , , 4 13 4 6 8 3,1 7 9 9 2 8 Ba ( n th k G o o u fo l s d r a n i I n d n s t b e o a r f r n s S a w ti i o ss n a g l o l S d e t fr t a l n e c m sf e i) n : ts Au 56 g , . 6 ) 4 2 4 31,959 So s o u a f S O G N L D O n t G G S h l p d o p t o o e t e o o h s e h e a m i v l l t A c d e d ) e e c n e o : i r a r i s f a r a f n c r n l l a l i i d a p m i r c s n l a e c o s a o e d b x d u e u n a n c i e l t n n l s a t d h p i s d R t t a i o i i s s d n o e e s c ) ( e g s i : n i s o t b n e e s u t r n l a v i t c q e s c u o B id u a a n n t t i s k o n ( ) thou- 70,614 1 3 3 4 6 4 2 2 0 1 6 4 9 1 1 2 1 0 7 g , , , , , , , , , ) 9 4 6 9 5 4 0 5 2 2 3 2 3 3 0 7 7 3 9 3 1 1 9 5 3 7 8 9 4 0 4 9 2 3 3 1 8 ( 3 9 3 ( 4 0 9 4 * , , , , , , 4 5 6 9 0 0 9 ) ) 3 4 6 4 7 7 3 6 7 0 2 0 T O D R S S C S h u i i e e t a a r m g c h n o s d m e n o h e h d r e i n O C c u t a t r s r c e - n c n e y t f o f t s i a h u o t d n e u e n s e n u r b n t s ( w s m r r d ) n d d i a h e a l : s i t s t e l t l a t a s s p h d n b c b a a o e d a a o l t t b s p e n n s i a i o a t i d k t n ) n n s n s b s t t i k d i i e t e f l n ( s s r o l g r v o s e e r o ( e n s s l v o a t s t d a w n c t ) m r u d n i r o e r a u a n e c c s t n s c c t o c e a u u p c r n t- - - t. 2 1 3 2 2 0 1 4 1 6 4 0 0 9 2 5 5 , , , , , , , , 6 9 2 4 6 0 7 4 4 1 3 0 4 6 9 0 4 2 1 9 9 3 6 4 8 4 2 1 4 2 2 2 1 2 4 0 6 3 1 4 5 1 2 , , , , , , , , 9 2 2 6 3 1 0 1 7 4 5 7 2 0 6 0 6 3 1 0 6 7 4 7 4 2 4 F O O o t t h h re e e i r r g n a b s il b s l e i s l t l s a s nd loans 65 1 , ,0 9 1 4 2 8 3 3 3 61 1 , , 5 3 0 0 1 3 8 4 2 4 1 0 9 , , 6 6 5 0 2 0 4 O L th o c e n o r g u - l n t i e t a s r b m il it d ie e s posits: Special ac- 2 1 2 9 9 4 , , 0 3 0 0 1 6 2 1 2 9 9 3 , , 0 9 0 1 1 8 r Revised. 1 For last available reports from the central banks of Japan (September 1941), Norway (March 1940), and Yugoslavia (February 1941) see BULLE- TIN for March 1942, pp. 281-282. ' 2 Latest month for which report is available for this institution. 3 Includes gold, silver, and foreign exchange forming required reserve (25 per cent) against notes and other demand liabilities. 4 Figure not available. 5 Valued at average cost beginning October 1941. 6 See BULLETIN for December 1936, p. 1025. I OX FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MONEY RATES IN FOREIGN COUNTRIES DISCOUNT RATES OF CENTRAL BANKS [Per cent per annum] Central bank of— Rate Rate Date effective U K n in it g e - d France Ger- Bel- Ne e t r- h- Swe- Sw er i - tz- ba C n e k n t o r f a — l c D e b m e e - r - ef D fe a ct t i e ve ba C n e k n t o r f a — l c D b e e m e- r - ef D fe a c t t e ive dom many gium lands den land 31 31 In effect Oct. 2, 1936 2 3 4 2 3 2H 2 Albania Mar. 21, 1940 Japan 3.29 Apr. 7, 1936 O O O N D c c e c o c t t t v . . . . . 9 2 1 3 2 0 6 6 i 2 y2 "2 2 y2" "iji" B A B o e r M g l h g e e o i n m u r t m a i i a n v a i a a n .. d .. sy2 M O Ja c a n t r . . . 25 1 1 , , , 1 1 1 9 9 9 4 4 3 0 0 6 J L L M a a i e v t t x h a v i u i c a a o nia. .. 3 5 4 6 H J F J J a u u e n b l n y . . e 1 1 1 4 4 5 7 , , , , 19 1 1 1 9 4 9 9 3 2 3 4 7 9 0 Jan. 28, 1937 — •••• June 15 6 July 7 5 Bolivia 6 Nov. 8, 1940 Netherlands June 27, 1941 Aug. 4 4 British India.. 3 Nov. 28, 1935 New Zea- Sept. 3 3J4 Bulgaria 5 Dec. 1, 1940 land 1H July 26, 1941 N M o a v y . 1 1 0 3 , 1938 — •••• C C a h n il a e d . a .. 3- 2 4 y ^ 2 M De a c r . . 1 1 1 6 , , 1 1 9 9 3 3 6 5 N Pe o r r u way 3 5 M Au a g y . 1 1 3, , 1 1 9 9 4 4 0 0 May 13 "2H" Colombia 4 July 18, 1933 Portugal.... 3M Sept. 3, 1942 May 30 3 Sept. 28 "3 Oct. 27 Nov. 25 Denmark 4 Oct. 16, 1940 Rumania.... 3 Sept. 12, 1940 Jan. 4, 1939 2 Ecuador 7 May 26, 1938 South Africa 3 June 2, 1941 M Ap a r y . 1 1 1 7 •'4 3 ' •• E El s to S n a i l a vador... 4 3 ^ O M c a t r . . 30 1 , , 1 1 9 9 3 3 9 5 S Sw pa e i d n en 4 3 iM M a ay r. 2 2 9 9, , 1 1 9 9 4 3 1 9 July 6 . . Finland Dec. 3, 1934 Switzerland. V/2 Nov. 26, 1936 Aug. 24 4 Aug 29 •'3'"' Sept. 28 3 Oct. 26 2 France Mar. 17, 1941 Turkey 4 July 1, 193a Dec. 15 "3"" Germany Apr. 9, 1940 United King- Jan. 25, 1940 "2"" Greece 6 2 Mar. 1, 1942 dom 2 Oct. 26, 1939 Apr. 9 "sy2" Hungary 3 Oct. 22, 1940 U. S. S. R... 4 July 1, 1936 May 17 3^ Italy... 4H May 18, 1936 Yugoslavia. 5 Feb. 1, 1935 Mar. 17, 1941 IK May 29 3 June 27 "2y2" 1 Not officially confirmed. In effect December NOTE.—Changes since November 30: none. 31, 1942 2 2 2H 3 OPEN MARKET RATES [Per cent per annum United Kingdom Germany Netherlands Sweden Switzerland Month ac B c a ep n t k a e n r c s e ' s Tre b a il s l u s ry Day-to-day a B ll a o n w k a e n r c s e ' d P i r s i c v o a u te nt Day-to-day d P i r s i c v o a u t n e t M f o o n r ey u L p o a to ns 3 d P i r s i c v o a u te nt 3 months 3 months money on deposits rate money rate 1 month months rate 1929—Oct 6.13 6.19 5.45 4H-4 7.28 8.06 5.15 4.52 53^-7 3.38 1 19 9 3 3 1 0 — — O O c c t t 5 2 . . 6 0 8 9 5 2 . . 4 1 6 3 4 1 . .6 3 5 6 4 1 4 8. . 0 6 0 6 5 9 . . 1 2 5 1 2 1. . 5 7 9 6 3 1 . . 0 4 7 8 sy d2- s i y y2 2 1 1 . . 2 9 9 0 1 1 9 9 3 3 2 3— — O O c c t t . . 8 7 2 9 . . 7 7 1 3 . .7 7 5 1 3 3 . . 8 8 8 8 4 5 . . 9 1 4 1 . . 3 5 7 0 1 1 . . 0 0 0 0 sy 32- s 5 y2 1 1, . 5 5 0 0 1934—Oct .77 .68 .75 1^ 3.81 4.63 .59 1.00 2y2-^y2 1.50 1935—Oct .63 .62 .75 y& 3.04 3.13 4.70 5.00 2y2s 2.37 1936—Oct .56 .54 .75 y^ 2.94 2.82 1.87 2.51 23^-5 1.69 1937—Oct .55 .53 .75 y% 2.88 2.81 .13 .50 23^-5 1.00 1938—Oct .70 .68 .75 y* 2.88 2.70 .21 .50 23^-5 1.00 1939—Oct 1.88 1.77 1.71 2.75 2.23 1.90 2.24 23^-5 1.25 1 1 9 9 4 4 1 0 — — O O c c t t 1 1. . 0 0 3 3 1 1. . 0 0 0 2 1 1 . . 0 0 0 0 % 2 2 . . 2 1 5 3 1 1 . . 7 8 6 7 2 1 . .8 2 8 5 2 2. . 2 7 5 5 33^ 3 - - 5 5 H y2 1 1 . . 3 2 1 5 1941—Nov. 1.03 1.00 1.00 2.13 J .75 1 25 1942— D Ja e n c..'.'.'.'.'!!!!!!! 1 1 . . 0 0 3 3 1 1. . 0 0 1 1 1 1. . 0 0 4 3 y H 2 2 2 . . 1 1 3 3 L . . 9 9 8 2 1 1 . . 2 2 5 5 M Fe a b r.......!...!! 1 1 . . 0 0 3 3 1 1 . . 0 0 0 0 1 1 . . 0 0 3 4 y V2> 2 2 . . 1 1 3 3 . .9 7 5 5 1 1 . . 2 2 5 5 Apr.. 1.03 1.01 1.00 <A 2.13 L.96 1.25 May 1.03 1.00 1.03 V> 2.13 :L .71 1.25 June. 1.03 1.00 1.00 2.13 L.90 1.25 July 1.03 1.00 1.00 XA 2.13 .75 1.25 Aug 1.03 1.00 1.00 Yi 2.13 1.25 O Se c p t t . . ...'.'.'.'!!!!!! 1 1. . 0 0 3 3 1 1 . . 0 0 0 0 1 1 . . 0 0 5 4 l y A2 1.25 NOTE.—For figures for other j:ountries and references to explanation of tables see BULLETIN for September 1940, p. 1018. JANUARY 1943 103 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

COMMERCIAL BANKS United Kingdom1 Assets Liabilities (11 F L ig o p u n o r d u e o n s n d i s n c l s e m t a e i r r l i l l n i i o g n n g b s ) a o n f ks. re C se a r s v h es M c n a o s l o h n l t o e i a y r c n t e d at B co il u ls n t d e i d s- T r d e r e c e p e a i o s p u s t i r s t y 2 Securities Loans to a O s t s h e e ts r Total D D e e m po a s n i d ts 3 Time3 lia O b t i h li e ti r es 1936—December. 244 195 322 660 890 249 2,315 1,288 1,012 245 1937—December. 244 163 300 635 984 256 2,330 1,284 1,026 252 1938—December. 243 160 250 635 971 263 2,254 1,256 997 269 1939—December. 274 174 334 609 1,015 290 2,441 1,398 ,043 256 1940—December. 324 159 265 314 771 924 293 2,800 1,770 ,030 250 1941—November. 332 127 246 651 999 825 280 3,208 2,054 ,154 250 December. 366 141 171 758 999 823 324 3,329 2,168 ,161 253 1942—January... 330 118 157 739 1,008 832 288 3,222 2,088 ,134 249 February. 318 122 112 646 1,017 840 275 3,085 2,003 ,082 243 March 347 137 163 476 1,050 853 291 3,072 2,012 ,060 244 April 319 136 258 450 1,048 832 278 3,082 2,001 ,081 240 May 326 133 291 471 1,049 822 277 3,131 2,036 ,095 238 June 355 147 292 543 1,058 814 289 3,263 2,141 ,122 234 July 342 132 273 607 1,075 807 261 3,264 2,138 ,126 232 August 351 133 283 634 1,082 795 257 3,305 2,161 ,143 231 September 349 127 277 693 1,097 785 263 3,358 2,218 ,140 233 October... 350 136 271 744 1,108 785 263 3,424 232 Assets Liabilities Canada Entirely in Canada Se lo c a u n ri s ty Deposits payable in Canada^ (10 m c o o h f n a t C r h t a e f n r i e g a d u d r i e b a s n a n in d k o s m . l l i a l r E l s i n o ) d n s of Cash Security O lo t a h n e s r d a a u n b e d r o f n r a o e d m t Securities O as t s h e e t r s ci N t r i c o o u t n e la- deluding interbank deposits li O ab th il e it r ies reserves loans and dis- foreign Total Demand Time counts banks 1936—December. 240 114 791 161 1,384 554 103 2,303 755 1,548 837 1937—December. 255 76 862 102 1,411 575 96 2,335 752 1,583 850 1938—December. 263 65 940 166 1,463 535 88 2,500 840 1,660 843 1939—December. 292 53 1,088 132 1,646 612 85 2,774 1,033 1,741 963 1940—December. 323 40 1,108 159 1,531 570 80 2,805 1,163 1,641 846 1941—November 342 36 1,218 182 1,690 593 76 3,041 1,402 1,639 944 December 356 32 1,169 168 1,759 653 71 3,105 1,436 1,669 962 1942—January... 296 31 1,128 158 1,916 585 71 3,096 1,376 1,720 945 February. 324 30 1,135 164 1,960 595 72 3,181 1,517 1,664 955 March 348 34 1,300 166 1,881 624 71 3,305 1,755 1,550 976 April 322 32 1,252 178 1,899 637 72 3,262 1,725 1,537 986 May 285 29 1,215 175 1,878 601 71 3,118 1,562 1,556 993 June 327 28 1,137 181 1,883 639 72 3,121 1,523 1,598 1,002 July 369 26 1,096 182 1,958 614 73 3,174 1,521 1,654 999 August 333 24 1,064 183 2,192 595 71 3,311 1,612 1,700 1,008 September 366 27 1,050 185 2,340 594 69 3,486 1,738 1,748 1,006 October... 413 25 1,078 194 2,379 602 68 3,604 1,895 1,709 1,018 Assets Liabilities France (En m d i o ll f i o m ns o n o t f h f f r i a g n u c re s) s in re C se a r s v h es Du b e a n f k ro s m B c i o l u ls n t d e i d s- Loans a O s t s h e e ts r Total II D D e e p m o a si n t d s Time a a c O n c w c e e p n s t- lia O b t i h li e t r ies 4 large banks 1936—December 3,100 2,975 17,582 7,631 1,957 28,484 27,955 529 473 4,289 1937—December 3,403 4,116 18,249 7,624 2,134 30,348 29,748 600 661 4,517 1938—December 3,756 4,060 21,435 7,592 1,940 33,578 33,042 537 721 4,484 1939—December4 4,599 3,765 29,546 7,546 2,440 42,443 41,872 571 844 4,609 3 large banks 1939—December 4,499 3,520 27,512 7,155 2,170 39,647 39,271 375 786 4,423 1940—December 6,258 3,546 44,243 7,984 1,999 58,890 58,413 477 535 4,604 1941—January 704 3,297 46,294 8,064 1,396 60,323 59,820 503 586 3,846 February 628 3,197 48,596 8,155 1,357 62,528 62,003 525 599 3,805 March 661 3,191 50,401 7,784 1,403 63,998 63,465 533 534 3,909 April 407 3,190 51,158 7,768 1,429 64,441 63,910 531 467 4,044 May 549 3,279 52,961 7,720 1,351 66,229 65,712 516 454 4,176 June 641 3,359 54,826 8,035 1,371 68,376 67,867 509 474 4,383 July 837 3,239 53,951 7,511 1,526 67,148 66,640 508 460 4,456 August 436 3,272 56,141 7,306 1,431 68,600 68,094 506 418 4,568 September 790 3,241 56,788 7.640 1,464 69,763 69,269 495 388 4,772 October 034 3,270 55,716 8,807 1,571 70,229 69,754 475 398 4,771 November 840 3,287 56,837 7,719 1,693 70,070 69,619 451 432 4,873 December 424 r3,260 r57,7O7 r7,860 rl,744 r71,736 r71,304 433 I 393 r4,865 r Revised. 1 Through August 1939, averages of weekly figures; beginning September 1939, end-of-month figures, representing aggregates of figures reported by individual banks for days, varying from bank to bank, toward the end of the month. 2 Represent six-month loans to the Treasury at 1| per cent, callable by the banks in emergency at a discount equal to the Bank of England rate. 3 Through December 1937, excludes deposits in offices outside England and Wales which are included in total. 4 For figures for four banks for months January-March 1940, see BULLETIN for August 1942, p. 861. NOTE.—For other back figures and explanation of tables, and for figures for German commercial banks, see BULLETIN for June 1941, p. 596; August 1939, p. 699; June 1935, pp. 388-390; and October 1933, pp. 641-646. IO4 FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

FOREIGN EXCHANGE RATES [Averages of certifiednoon buying rates in New York for cable transfers. In cents per unit of foreign currency] Year or month Ar ( g p e e n so t ) ina A ( u p s o t u r n a d li ) a g B iu e m l- (c B ru r z a e z ir i o l 1) B I r n it d i i s a h g B a u r l i - a Canada (dollar) Chile (peso) C (y h u in an a Official S E p x e p c o ia rt l Official Free (belga) Official Free (rupee) (lev) Official Free Official Export S h h a an i) g- 1934 33.579 400.95 23.287 8.4268 37.879 1.2852 101.006 10.1452 34.094 1935 32.659 388.86 18.424 8.2947 36.964 1.2951 99.493 5.0833 36.571 1936 33.137 395.94 16.917 8.5681 37.523 1.2958 99.913 5.1240 29.751 1937 32.959 393.94 16.876 8.6437 6.1983 37.326 1.2846 100.004 5.1697 24.0000' 29.606 1 19 9 3 3 9 8 3 3 2 0 . . 5 8 9 5 7 0 3 3 8 5 9 3 . . 5 3 5 8 1 1 6 6 . . 8 8 9 5 4 2 5 6. . 0 8 0 4 2 3 7 8 5.1248 3 3 6 3 . . 5 2 9 7 2 9 21.2424 9 96 9 . . 0 4 1 1 8 9 5 5 . . 1 1 7 7 2 1 7 6 4 4 . . 0 0 0 0 0 0 0 0 2 1 1 1 . .8 3 7 6 9 0 1940 29.773 2322.80 305.16 216.880 6.0562 5.0214 30.155 85.141 5.1668 4.0000 6.000 1941 29.773 223.704 322.80 321.27 6.0575 5.0705 30.137 90^909 87.345 25.1664 24.0000 25.313 1941—Dec 29.773 23.704 322.80 321.50 6.0576 5.1331 30.130 90.909 87.395 1942—Jan. 29.773 23.704 322.80 321.50 6.0580 5.1331 30.123 90.909 87.833 Feb 29.773 23.704 322.80 321.50 6.0580 5.1369 30.122 90.909 88.418 Mar 29.773 23.704 322.80 321.50 6.0580 5.1369 30.122 90.909 87.666 Apr. 29.773 23.704 322.80 321.50 6.0580 5.1384 30.122 90.909 87.173 May 29.773 23.704 322.80 321.50 6.0580 5.1387 30.122 90.909 88.557 June 29.773 23.704 322.80 321.50 6.0580 5.1435 30.122 90.909 89.958 July 29.773 23.704 322.80 321.50 6.0580 5.1450 30.122 90.909 89.943 Aug 29.773 23.704 322.80 321.50 6.0580 5.1450 30.122 90.909 89.523 Sept 29.773 23.704 322.80 321.50 6.0580 5.1423 30.122 90.909 87.820 Oct 29.773 23.704 322.80 321.50 6.0592 5.1480 30.122 90.909 87.631 Nov 29.773 23.704 322.80 321.50 6.0600 5.1526 30.122 90.909 88.087 Year or month C ( o p b l e i o a s m o) - C s k l z o o e v r c u a h n k o a ia - ) ( m D kr e a o n r n k - e) ( l F m a k i n a a n r ) d - k- F (f r r a a n nc c ) e ( m m G re a a e i r c n r k h - y ) s- G (d r m r e a a e c ) c h e - ( H K do o o l n l n a g g r) ( H p g e u a n r n g y - o) I ( t li a r l a y ) J ( a y p en a ) n M (p e e x s i o c ) o e N ( r g l e e u a r t i n ) h ld d - - s (p N Z l o a e e u n w a n d - d) 1934 61.780 4.2424 22.500 2.2277 6.5688 39.375 .9402 38.716 29.575 8.5617 29.715 27.742 67.383 402.46 1935 56.011 4.1642 21.883 2.1627 6.6013 40.258 .9386 48.217 29.602 8.2471 28.707 27.778 67.715 391.26 1936 57.083 4.0078 22.189 2.1903 6.1141 40.297 .9289 31.711 29.558 7.2916 29.022 27.760 64.481 398.92 1937 56.726 3.4930 22.069 2.1811 4.0460 40.204 .9055 30.694 19.779 5.2607 28.791 27.750 55.045 396.91 1938 55.953 3.4674 21.825 2.1567 2.8781 40.164 .8958 30.457 19.727 5.2605 28.451 22.122 55.009 392.35 1939 57.061 23.4252 20.346 1.9948 2.5103 40.061 .8153 27.454 19.238 5.1959 25.963 19.303 53.335 354.82 1940 57.085 219.308 1.8710 22.0827 40.021 2.6715 22.958 18.475 5.0407 23.436 18.546 253.128 306.38 1941 57.004 22.0101 239.968 224.592 219.770 25.0703 223.439 20.538 322.54 1941—Dec 56.987 25 043 20.560 322.78 1942—Jan. 56.987 20.564 322.78 Feb 56.997 20.562 322.78 Mar. 57.001 20.571 322.78 Apr. .... 57.049 20.574 322.79 May 57.005 20.567 322.78 June 57.037 20.568 322.78 July 57.059 20.567 322.78 Aug 57.186 20.568 322.78 Sept 57.064 20.573 322.78 Oct 57.023 20.573 322.78 Nov 57.030 20.573 322.78 United Kingdom Uruguay Year or month N ( o kr r o w n a e y ) P ( o z l l a ot n y d ) ( P e o s g c r a u t l d u o - ) R ( u n le m i u a ) a- ( A S p o o fr u u i n c t d h a ) ( S p p es a e i t n a) S S m (d t e o e r t l n a t l l a i t e t r s - s ) S ( w kr e o d n e a) n S e (f r w r l a a i n t n c z d ) - Offici ( a p l ound F ) ree tr C o o l n le - ( d peso t ) N r c o o o l n l n e - - d ( Y s d l i u a n v g a i r o a ) - 1934 25.316 18.846 4.6089 1.0006 498.29 13.615 59.005 25.982 32.366 503.93 79.956 2.2719 1935 24.627 18.882 4.4575 .9277 484.66 13.678 57.173 25.271 32.497 490.18 80.251 2.2837 1936 24.974 18.875 4.5130 .7382 491.65 12.314 58.258 25.626 30.189 497.09 79.874 2.2965 1937 24.840 18.923 4.4792 .7294 489.62 6.053 57.973 25.487 22.938 494.40 79.072 2.3060 1938 24.566 18.860 4.4267 .7325 484.16 5.600 56.917 25.197 22.871 488.94 64.370 2.3115 1939 23.226 218.835 4.0375 .7111 440.17 10.630 51.736 23.991 22.525 443.54 62.011 2.2716 1940 222.709 3.7110 2.6896 397.99 9.322 46.979 23.802 22.676 383.00 65.830 37.'601 2.2463 1941 24.0023 398.00 47.133 223.829 223.210 403!50 403.18 65.830 43.380 22.2397 1941—Dec 398.00 47.160 403.50 403.50 65.830 52.783 1942—Jan. 398.00 47.007 403.50 403.50 65.830 52.571 Feb 398.00 46.710 403.50 403.50 65.830 52.785 Mar 398.00 403.50 403.48 65.830 52.717 Apr 398.00 403.50 403.50 65.830 52.735 May 398.00 403.50 403.50 65.830 52.740 June 398.00 403.50 403.50 65.830 52.744 July 398.00 403.50 403.50 65.830 52.740 Aug. 398.00 403.50 403.50 65.830 52.744 Sept 398.00 403.50 403.50 65.830 52.722 Oct 398.00 403.50 403.50 65.830 52.720 Nov 398.00 403.50 403.50 65.830 52.733 1 Prior to Nov. 1, 1942, the official designation of the Brazilian currency unit was the "milreis". 2 Average of daily rates for that part of the year during which quotations were available. NOTE.—Developments affecting averages during 1942: No rates certified: Straits Settlements—since February 14. Changes in nominal status (noted only if affecting quotations for at least five days a month): none. For further information concerning the bases and nominal status of exchange quotations, and concerning suspensions of quotations prior to 1942, see BULLETIN for March 1942, p. 285; February 1941, p. 183; February 1940, p. 178; September 1939, p. 831; March 1939, p. 236; and March 1938, p. 244. JANUARY 1943 105 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

PRICE MOVEMENTS IN PRINCIPAL COUNTRIES WHOLESALE PRICES-ALL COMMODITIES [Index numbers] United United Nether- Switzer- Year or month States Canada Kingdom France Germany Italy ( J O a ct p o a b n er ( l 19 a 2 n 6 d - s 30 Sweden (Ju l l a y n 1 d 914 (1926=100) (1926=100) (1930=100) (1913=100) (1913=100) (1928=100) 1900=100) =100) (1935=100) =100) 1926 100 100 1 124 695 134 237 106 1 126 144 1930 . ... 86 87 100 554 125 85 181 90 1 103 126 1931 73 72 88 500 111 75 153 76 1 94 110 1932 65 67 86 427 97 70 161 65 1 92 96 1933 66 67 86 398 93 63 180 63 1 90 91 1934 75 72 88 376 98 62 178 63 1 96 90 1935 80 72 89 338 102 68 186 62 100 90 1936 81 75 94 411 104 76 198 64 102 96 1937 86 85 109 581 106 89 238 76 114 111 1938 79 79 101 653 106 95 251 72 111 107 1939 77 75 103 2 681 107 99 278 74 115 111 1940 79 83 137 110 116 311 3 88 146 143 1941 87 90 153 P112 132 329 172 184 1941 November 93 94 155 112 340 178 198 December 94 94 156 P113 347 179 199 1942 Taniiarv 96 94 156 p114 p351 r182 202 February 97 95 159 113 *352 183 205 March 98 95 159 114 184 207 April 99 95 160 114 186 208 May 99 95 161 114 187 209 99 96 160 114 P355 188 210 Tulv 99 96 160 115 P353 193 212 99 96 159 P357 P191 211 September 100 96 159 ^212 October P100 97 p160 November p100 97 p161 r i ciiumiiiiy . i\cviacu, 1 Approximate figure, derived from old index (1913 = 100). was 674. ,/as 89. md October 1935, p. 678. WHOLESALE PRICES—GROUPS OF COMMODITIES [Indexes for groups included in total index above] United States Canada United Kingdom Germany (1926=100) (1926=100) (1930=100) (1913=100) Year or month pr F o a d r u m cts Foods co O m it t i h m e e s o r d- pr F o a d r u m cts R f m a g p a c o w a a t o r n u t d a u l r y s e n - d d F f u m c a g l h c o l a i y t o e n u d f a u r l s e y n - d d Foods pr I o n t d r d i u u a c s l t - s p A r g t o u r d i r u c a u c l t l s - a p t f n r r I i i n d o n a i d d l s s u u h e ra c e s m w - d ts i- p tr I r i i n o s a h d d l e u u f d s c i - n ts - 1926 100 100 100 100 129 130 150 1930 91 85 82 82 87 100 100 113 120 150 1931 75 75 56 62 75 89 87 104 103 136 1932 61 70 48 55 70 88 85 91 89 118 1933 51 61 71 51 57 70 83 87 87 88 113 1934 65 71 78 59 64 73 85 90 96 91 116 1935 79 84 78 64 66 73 87 90 102 92 119 1936 81 82 80 69 71 74 92 96 105 94 121 1937 86 86 85 87 84 81 102 112 105 96 125 1938 69 74 82 74 73 78 97 104 106 94 126 1939 65 70 81 64 67 75 97 106 108 95 126 1940 68 71 83 67 75 82 133 138 111 99 129 1941 82 83 89 71 82 89 146 156 1941—November., 91 89 94 74 85 93 149 158 112 101 133 December.. 95 91 94 75 86 92 151 158 1942—January...,. 101 94 95 77 87 92 152 159 February.. 101 95 95 78 92 157 159 113 102 133 March 103 96 *95 79 92 158 159 113 102 133 April 105 99 96 80 89 92 160 159 113 102 133 May 104 99 96 80 89 92 163 159 115 102 133 June 104 99 96 82 91 92 160 159 115 102 134 July 105 99 96 81 90 92 161 161 116 102 134 August 106 101 96 81 90 92 158 161 September. 108 102 ^96 84 91 92 157 161 October 109 103 p96 86 93 92 November.. 111 104 ^96 86 94 92 Sources.—See BULLETIN for May 1942, p. 451; March 1935, p. 180; and March 1931, p. 159. IO6 FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Price Movements—Continued RETAIL FOOD PRICES COST OF LIVING [Index numbers] [Index numbers] Year or month U ( S 1 = 9 n t 1 a 3 i 0 5 t t 0 e - e 3 ) d s 9 ( C 1 = a 9 1 a 3 d 0 n 5 a 0 - - ) 39 U K = d ( n 1 1 J i o 9 i n u 0 1 t m l 0 g e 4 y ) d - (1 m = G 9 1 a 1 e 0 3 n r 0 - - y ) 14 N (1 l = a e 9 1 t n 1 0 h 1 d 0 e - ) 1 s r 3 -S e = r ( w 1 1 J l 9 a u 0 i 1 t n n 0 4 z e ) d - Year or month U ( S = 1 n 9 t 1 a 3 0 it 5 t 0 e e - ) 3 d s 9 ( = 1 C a 9 1 a 3 d 0 n 5 a 0 - - ) 39 U K = d ( n 1 J 1 i o 9 u n i 0 1 t m l g 0 e 4 y ) d - ( m 1 = G 9 1 a 1 e 0 3 n r 0 - y - 1 ) 4 N (1 l = e a 9 1 t n 1 0 h 1 d 0 e - ) 1 s r 3 -S e = ( r w 1 J 1 l 9 u a 0 i 1 t n n 0 4 z e d ) - 1932 87 86 126 116 119 125 1932 98 99 144 121 141 138 1933 84 85 120 113 120 117 1933 92 94 140 118 139 131 1934 94 93 122 118 124 115 1934 96 96 141 121 140 129 1935 100 95 125 120 118 114 1935 98 96 143 123 136 128 1936 101 98 130 122 120 120 1936 99 98 147 125 X132 130 1937. 105 103 139 122 127 130 1937 103 101 154 125 137 137 1938 98 104 141 122 130 . 130 1938 101 102 156 126 139 137 1939 95 101 141 123 130 132 1939 .... 99 102 158 126 140 138 1940 97 106 164 128 2l40 146 1940 100 106 184 130 3148 151 1941 106 116 168 129 175 1941 105 112 199 133 174 1941—November 113 125 165 126 188 1941-November 110 116 200 133 184 Dec ember . 113 124 165 126 189 December .. 111 116 201 133 184 1942—January ... 116 122 163 127 191 1942-January 112 115 200 134 186 February.. 117 123 163 130 194 February... 113 116 200 136 188 March 119 124 162 131 195 March 114 116 200 136 189 April 120 124 160 132 197 April 115 116 199 137 191 May 122 124 160 134 199 May 116 116 200 138 192 June 123 126 159 136 199 June 116 117 199 139 193 July 125 130 160 139 203 July 117 118 200 140 196 August 126 130 160 202 August 118 118 201 195 September. 127 129 160 September.. 118 117 200 October. . 130 130 162 October 119 118 200 November.. 131 132 November . . 120 119 p Preliminary. 1 Revised index from March 1936 (see BULLETIN for April 1937, p. 373). 2 Average based on figures for 3 months; no data available since March 1940, when figure was 141. 3 Average based on figures for 5 months; no data available since May 1940, when figure was 149. Sources.—See BULLETIN for May 1942, p. 451; October 1939, p. 943; and April 1937, p. 373. SECURITY PRICES [Index numbers except as otherwise specified] Bonds Common stocks Year or month U St n a i t t e e s d K U in n g it d e o d m France Germany Nether- U S n ta it t e e d s (1926=100) Nether- ( p d r e i r c iv e) e 1 d ( 1 D 9 e 2 c 1 e = m 10 b 0 e ) r (1913=100) (a p v r e ic ra e g )2 e lands3 (1 = 9 1 3 0 5 0 -3 ) 9 K U in n g it d e o d m France Germany (19 l 3 a 0 n = d 1 s 00) S umber of issues 15 87 36 2 139 8 402 278 300 (4) 100 1926 90.1 110.0 57.4 105.6 100.0 100.0 100.0 1932 84.4 113.2 88.6 5 67.1 94.8 51.2 67.9 105.2 5 50.3 46 1933 91.2 119.7 81.3 82.5 105.3 67.0 78.6 99.6 61.7 52 1934 98.2 127.5 82.1 90.7 113.4 76.6 85.7 83.3 71.1 55 1935 ... . 105.5 129.9 83.5 695.1 107.8 82.9 86.3 79.7 82.9 55 1936 109.5 131.2 76.3 95.8 109.1 117.5 97.0 77.2 91.6 66 1937 1 110.2 124.6 75.1 98.7 3101.8 117.5 96.3 97.4 102.6 104 2 1938 111.1 121.3 77.3 99.9 105.9 88.2 80.8 89.7 100.1 95.8 1939 113.8 112.3 83.9 99.0 90.9 94.2 75.9 98.3 94.1 89 7 1940 115.9 118.3 84.7 100.7 7 77.9 88.1 70.8 114.6 8 95.0 1941 117.8 123.8 80.0 72.5 1941—November... 119.2 125.7 103.1 77.4 76.0 P329 136.4 December 117.5 125.5 71.8 74.8 P348 1942—January 117.5 126.8 103.2 72.6 76.0 *>387 139.1 February 117.1 126.5 103.3 69 9 73.0 p409 141.6 March 116.7 127.1 103.3 66.0 72.6 H37 141.1 April 117.8 127 5 103.5 63.3 72.5 p453 142.5 May 117.7 126.8 103.5 63 2 73.0 P466 142.7 June 118.0 126.7 66.1 73.7 p455 143.2 July 118.9 127.7 68.2 73.8 p455 142.2 August 118.7 127.5 68.3 74.4 142.4 September... 119.0 69.4 October 119 3 74.2 November 119.5 75.2 p Preliminary. * 1 Figures represent calculated prices of a 4 per cent, 20-year bond offering a yield equal to the monthly average yield for 15 high-grade corporate bonds for the series beginning 1937 and for a varying number of high-grade bonds for the series prior to that date. The yearly average for 1937 is the same for both series. Source: Standard and Poor's Corporation. 2 Since April 1, 1935, the 139 bonds included in the calculation of the average price have all borne interest at 4^ per cent. The series prior to that date is not comparable to the present series, principally because the 169 bonds then included in the calculation bore interest at 6 per cent. 3 Indexes of reciprocals of average yields. For old index, 1929-1936,1929 = 100; average yield in base year was 4.57 per cent. For new index beginning Jan. 1937, Jan.-Mar. 1937 — 100; average yield in base period was 3.39 per cent. 4 This number, originally 329, has declined as the number of securities eligible for inclusion in the index has diminished. In May 1941, it was down to 287. 5 Average May-Dec, only; exchange closed Jan. 1-Apr. 11. 6 Average Apr.-Dec. only—see note 2. Average Jan.-Mar. on old basis was 95.9. 7 Average based on figures for 7 months; no data available May-September. 8 Average based on figures for 9 months; no data available May-July. Sources— See BULLETIN for November 1937, p. 1172; July 1937, p. 698; April 1937, p. 373; June 1935, p. 394; and February 1932, p. 121. JANUARY 1943 107 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM MARRINER S. ECCLES, Chairman RONALD RANSOM, Vice Chairman M. S. SZYMCZAK ERNEST G. DRAPER JOHN K. MCKEE R. M. EVANS LAWRENCE CLAYTON, Assistant to the Chairman ELLIOTT THURSTON, Special Assistant to the Chairman OFFICE OF THE SECRETARY DIVISION OF BANK OPERATIONS CHESTER MORRILL, Secretary EDWARD L. SMEAD, Chief LISTON P. BETHEA, Assistant Secretary J. R. VAN FOSSEN, Assistant Chief S. R. CARPENTER, Assistant Secretary J. E. HORBETT, Assistant Chief FRED A. NELSON, Assistant Secretary DIVISION OF SECURITY LOANS LEGAL DIVISION CARL E. PARRY, Chief WALTER WYATT, General Counsel J. P. DREIBELBIS, General Attorney DIVISION OF PERSONNEL ADMINISTRA- GEORGE B. VEST, Assistant General Attorney TION B. MAGRUDER WINGFIELD, Assistant General ROBERT F. LEONARD, Director Attorney DIVISION OF RESEARCH AND STATISTICS OFFICE OF ADMINISTRATOR FOR WAR LOANS COMMITTEE E. A. GOLDENWEISER, Director WOODLIEF THOMAS, Assistant Director EDWARD L. SMEAD, Acting Administrator WALTER R. STARK, Assistant Director GARDNER L. BOOTHE, II, Assistant Administrator DIVISION OF EXAMINATIONS FISCAL AGENT LEO H. PAULGER, Chief C. E. CAGLE, Assistant Chief O. E. FOULK, Fiscal Agent WILLIAM B. POLLARD, Assistant Chief JOSEPHINE E. LALLY, Deputy Fiscal Agent FEDERAL FEDERAL OPEN MARKET COMMITTEE ADVISORY COUNCIL MARRINER S. ECCLES, Chairman CHAS. E. SPENCER, JR., BOSTON DISTRICT ALLAN SPROUL, Vice Chairman GEORGE L. HARRISON, NEW YORK DISTRICT ERNEST G. DRAPER Vice President R. M. EVANS WILLIAM F. KURTZ, PHILADELPHIA DISTRICT R. R. GILBERT H. G. LEEDY B. G. HUNTINGTON, CLEVELAND DISTRICT JOHN K. MCKEE ROBERT V. FLEMING, RICHMOND DISTRICT RONALD RANSOM M. S. SZYMCZAK H. LANE YOUNG, ATLANTA DISTRICT ALFRED H. WILLIAMS EDWARD E. BROWN, CHICAGO DISTRICT C. S. YOUNG President S. E. RAGLAND, ST. LOUIS DISTRICT LYMAN E. WAKEFIELD, MINNEAPOLIS DISTRICT CHESTER MORRILL, Secretary S. R. CARPENTER, Assistant Secretary W. DALE CLARK, KANSAS CITY DISTRICT WALTER WYATT, General Counsel J. P. DREIBELBIS, Assistant General Counsel NATHAN ADAMS, DALLAS DISTRICT E. A. GOLDENWEISER, Economist JOHN H. WILLIAMS, Associate Economist GEORGE M. WALLACE, SAN FRANCISCO DISTRICT ROBERT G. ROUSE, Manager of System Open Market Account WALTER LICHTENSTEIN, Secretary 108 FEDERAL RESERVE BULLETIN Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

CHAIRMEN, DEPUTY CHAIRMEN, AND SENIOR OFFICERS OF FEDERAL RESERVE BANKS Federal Chairman and Reserve Federal Reserve Deputy Chairman President First Vice President Vice Presidents Bank of Agent. Boston A. M. Creighton.... Henry S. Dennison. . W. W. Paddock.... William Willett.... K. K. Carrick E. G. Hult Carl B. Pitman1 New York. . . Bcardsley Ruml Edmund E. Day Allan Sproul L. R. Rounds. R. M. Gidney Walter S. Logan J. M. Rice Robert G. Rouse John H. Williams Philadelphia. Thomas B. McCabe.. Warren F. Whittier .. Alfred H. Williams. Frank J. Drinnen . . W. J. Davis F C Hill C. A. Mcllhenny2 C. A. Sienkiewicz Cleveland.... Geo. C. Brainard R. E. Klages M. J. Fleming F. J. Zurlindcn C. W. Arnold R. B. Hays K. H. MacKenzie W. F. Taylor2 Richmond.... Robt. Lassiter W. G. Wysor Hugh Leach J. S. Walden, Jr. ... J. G. Fry R. W. Mercer Atlanta Frank H. Neely J. F. Porter W. S. McLarin, Jr.. Malcolm H. Bryan. L. M. Clark H. F. Conniff Chicago Simeon E. Leland. .. W. W. Waymack.... C. S. Young H. P. Preston Allan M. Black1 J. H. Dillard Charles B. Dunn A. J. Mulroney Alfred T. Sihler St. Louis Wm. T. Nardin Oscar Johnston Chester C. Davis... F. Guy Hitt O. M. Attebery C. M. Stewart Minneapolis.. W. C. Coffey Roger B. Shepard. . . J. N. Peyton O. S. Powell A. W. Mills1 Arthur R. Upgrcn Harry I. Ziemcr Kansas City. . R. B. Caldwell Robert L. Mehornay. H. G. Leedy Henry O. Koppang. J. W. Helm2 D. W. Woolley Dallas Jay Taylor J. B. Cozzo R. R. Gilbert E. B. Stroud R. B. Coleman W T T7iro«-ie W. O. Ford1 San Francisco. Henry F. Grady St. George Holdcn. . Wm. A. Day Ira Clerk C. E. Earhart H. N. Mangels R. B. West 1 Cashier. 2 Also Cashier. 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 R. B. Wiltse Helena Branch .... R. E. Towle Cleveland: Cincinnati Branch B. J. Lazar Kansas City: Pittsburgh Branch P. A. Brown Denver Branch Jos. E. Olson Richmond: Oklahoma City Branch G. H. Pipkin Baltimore Branch W. R. Milford Omaha Branch L. H. Earhart Charlotte Branch W. T. Clements Atlanta: Dallas: Birmingham Branch P. L. T. Beavers El Paso Branch J. L. Hermann Jacksonville Branch Geo. S. Vardeman, Jr. Houston Branch W. D. Gentry Nashville Branch Joel B. Fort, Jr. San Antonio Branch E. B. Austin New Orleans Branch E. P. Paris Chicago: H. J. Chalfont San Francisco: Detroit Branch St. Louis: Los Angeles Branch W. N. Ambrose Little Rock Branch A. F. Bailey Portland Branch D. L. Davis Louisville Branch C. A. Schacht Salt Lake City Branch W. L. Partner Memphis Branch W. H. Glasgow Seattle Branch C. R. Shaw JANUARY 1943 109 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

FEDERAL RESERVE SYSTEM BOUNDARIES OF FEDERAL RESERVE DISTRICTS AND THEIR BRANCH TERRITORIES w > ^^ BOUNDARIES OF FEDERAL RESERVE DISTRICTS — BOUNDARIES OF FEDERAL RESERVE BRANCH TERRITORIES s ^L BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM ® FEDERAL RESERVE BANK CITIES • FEDERAL RESERVE BRANCH CITIES O FEDERAL RESERVE BANK AGENCY JUNE I, 1942 BOARD OF GOVERNORS OF THE. FEDERAL RESERVE SfSTEM Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis