Federal Reserve Bulletin, 1967-06

FEDERAL RESERVE B U LLETIN JUNE 1967 BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM WASHINGTON, D.C. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

A copy of the Federal Reserve Bulletin is sent to each member bank without charge; member banks desiring additional copies may secure them at a special $2.00 annual rate. The regular subscription price in the United States and its possessions, Bolivia, Canada, Chile, Colombia, Costa Rica, Cuba, Dominican Republic, Ecuador, Guatemala, Haiti, Republic of Honduras, Mexico, Nicaragua, Panama, Paraguay, Peru, El Salvador, Uruguay, and Venezuela is $6.00 per annum or 60 cents per copy; elsewhere, $7.00 per annum or 70 cents per copy. Group subscriptions in the United States for 10 or more copies to one address, 50 cents per copy per month, or $5.00 for 12 months. The Bulletin may be obtained from the Division of Administrative Services, Board of Governors of the Federal Reserve System, Washington, D. C. 20551, and remittance should be made payable to the order of the Board of Governors of the Federal Reserve System in a form collectible at par in U.S. currency. (Stamps and coupons not accepted) Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

CONTENTS NUMBER 6 VOLUME 53 JUNE 1967 901 Economic Trends in Mid-1967 Staff Economic Studies: 913 Summaries 916 Evidence on Concentration in Banking Markets and Interest Rates 927 Bank Financing of Agriculture 954 New Benchmark Production Measures 958 Reciprocal Currency Arrangements 962 Statement to Congress 964 Law Department 975 Announcements 976 National Summary of Business Conditions 978 Guide to Tabular Presentation 979 Financial and Business Statistics, U.S. 1043 International Financial Statistics 1065 Board of Governors and Staff 1066 Open Market Committee and Staff; Federal Advisory Council 1067 Federal Reserve Banks and Branches 1069 Federal Reserve Board Publications 1073 Index to Statistical Tables Inside back cover Map of Federal Reserve System EDITORIAL COMMITTEE Charles Molony Daniel H. Brill Robert C. Holland Robert Solomon Albert R. Koch Elizabeth B. Sette The Federal Reserve BULLETIN is issued monthly under the direction of the staff editorial committee. This committee is responsible for opinions ex­ pressed except in official statements and signed articles. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

Economic Trends in Mid-1967 ECONOMIC GROWTH has resumed in recent months following a small decline in real gross national product in the first quarter of 1967. During the first half of the year increases in public and private final demands have been relatively large, and higher Federal expenditures have been particularly important in support­ ing economic activity. Unemployment has shown only small changes and has remained below 4 per cent of the civilian labor force. The slowdown in activity earlier this year stemmed largely from an overhang of inventories, including large stocks of consumer goods. Moderate reductions in industrial production and a con- GNP (constant-dollar) resumes rise in second quarter; adjustment in 1 INDUSTRIAL PRODUCTION continues; UNEMPLOYMENT RATE remains stable Seasonally adjusted series. GNP, current dollars, Dept, of Commerce quarterly data at annual rates; constant (1966) dollars based on Commerce data. Industrial production, quarterly averages. Unemployment, quarterly averages of Bureau of Labor Statistics data. Latest figures, second quarter 1967 estimated by Federal Reserve. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

902 FEDERAL RESERVE BULLETIN • JUNE 1967 tinued rise in private and public demands have resulted in a better balance between output and sales. Although stocks of defenserelated products and other durable equipment are still high, the problem of excess inventories of consumer goods appears less troublesome than earlier in 1967. Expansion in private final demand, which virtually halted late last year, has recently gained in strength and is extending to more sectors. Consumer expenditures have been increasing steadily, and outlays for residential construction are now accelerating. Plant and equipment expenditures, which have been on a high plateau, are expected to expand moderately for the remainder of the year. The surplus of exports has increased. Government expenditures are rising rapidly, although increases in defense spending are expected to be smaller in the second half of the year than they were in the first half. However, Federal non­ defense and State and local government outlays in 1967 are rising at about the same fast rates as they were earlier. Price increases were moderate in late 1966 and the early months of this year mainly because increased food supplies have been reflected in lower wholesale and retail food prices. But food prices are now advancing again as are prices of some other retail commodities and services. Prices of industrial commodities have been stable for several months because of weakness in prices of sensitive materials and of a tapering off in the increase in prices of producers’ durable equipment. CONSUMER INCOME The gross national product rose at a seasonally adjusted rate of AND OUTLAYS only about $4.5 billion in the first quarter, to $764 billion. How­ ever, after allowing for price increases, there was a slight drop in the volume of activity. In the second quarter, GNP rose at a GNP and FINAL SALES faster rate—the rate may have doubled that for the first quarter— BILLIONS OF 1958 DOLLARS and the physical volume of output also increased. Rising consumer outlays have been an important factor in the second-quarter rise in GNP. Retail sales of nondurable goods, which earlier had shown little change, have increased in recent months. Auto sales in particular have shown more strength; in April and May the annual rate of sales of domestic cars rose to 7.6 million units from a low of 7.3 million in the first quarter; nevertheless, sales of autos are still far below the levels of 1965 and of the first quarter of 1966 (Chart 6, page 910). Expendi­ Dept, of Commerce quarterly data seasonally adjusted at annual rates. tures for services have continued to rise rapidly in real terms and Latest figures, Q II ’67 estimated by Federal Reserve. even faster in current prices. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

ECONOMIC TRENDS IN MID-1967 903 The rise in personal income in the first quarter of 1967 was almost as large as that from quarter to quarter in 1966; however, there was some slowdown in the second quarter mostly because of slower gains in wages and salaries; interest and transfer payments continued on a strong upward trend. Nevertheless, the increase in spendable income (personal income after taxes) over the first half of this year compares favorably with that for the same period in 1966, when there were substantial increases in employment and activity. The relatively large rise in consumers’ spendable income, compared with that in personal income, stems from the smaller 2 | INDUSTRIAL PRODUCTS rise more slowly 1957-59=100 WHOLESALE PRICES - 105 INDUSTRIAL PRODUCTS - 100 MATERIALS Rise in CONSUMER PRICES slackened 1963 1965 '67 Wholesale prices of industrial products and industrial materials, Federal Reserve regroupings of 8LS data; consumer prices, BLS indexes. Latest figures, first-quarter averages 1967, increases in consumers’ tax payments this year compared with last year. The rise in spending, therefore—while lending strength to expansion—has not been large in terms of the recent growth in income, and the rate of saving remained higher in the first half of 1967 than in the last few years when consumers were spending more freely for autos and other goods. A slowing down in consumer outlays began in 1966 and may be traced to several factors extending as far back as the beginning of that year. One is that real income per capita rose relatively Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

904 FEDERAL RESERVE BULLETIN • JUNE 1967 slowly in 1966—only 2 per cent from the fourth quarter of 1965 to the fourth quarter of 1966, compared with increases of 5 per cent a year between 1963 and 1965. In the earlier years of the expansion, overtime work increased rapidly, and prices were relatively stable. More wives were enter­ ing the labor force—augmenting family incomes—and personal taxes were reduced for many families in 1964 and 1965. A retro­ active increase in social security benefits in late 1965 added spend­ ing power. Many consumers in 1964 and 1965 found that their real income and assets had grown by unexpectedly large amounts. Some of these factors changed in 1966. Although the increase in personal income was larger in dollar magnitude than in 1965, increases in personal tax payments took exceptionally large bites out of spendable income in 1966. Heavy tax settlements in April were followed in May by the adoption of progressive withholding schedules designed to place payments on a more current basis with personal tax liabilities. This revision caused an acceleration in personal tax payments by a rate of about $1.5 billion in 1966. Consumer prices also rose faster in 1966 until the latter part of the year and eroded the purchasing power of income. From December 1965 to December 1966, the rise in living costs was 3.3 per cent, a sharp acceleration from preceding years. Social security tax increases in early 1966 also cut heavily into earnings. The impact of tax increases and rising prices—especially the upsurge CHANGES IN CONSUMER INCOME AND SPENDING in food prices—on purchasing power was felt particularly by lowand moderate-income families. Per- Djs- Soend. sonal posable Instalment and other short-term debt had been rising rapidly in income income * (In billions of dollars) 1964 and 1965—reducing the amount of income available for new 1965 III 14.3 15.2 8.2 purchases. As gains in consumers’ real income slowed, personal IV 10.9 9.9 10.2 saving, which had been rising in late 1965, fell during the first 1966 I II 1 8 1 . . 9 8 9 4 . .8 0 1 4 0 . . 5 4 three quarters of 1966 to 4.8 per cent of income. In the second nr 11.7 7.9 9.8 IV 13.1 10.6 4.2 quarter consumers cut their spending as auto sales dropped 1967 sharply. This reduction may have resulted in part from high con­ I 11.4 10.1 5.8 sumer stocks, credit tightening, and public concern over auto Changes shown at annual rates. safety, but it also probably reflected a pinch on spendable income for many families. Despite the sharp decline in automobile sales, the rate of saving did not increase. Demands for autos in the second half of 1966 continued to be sluggish, and sales of other consumer durable goods were equally weak. Sales of nondurable goods leveled off in real terms in the fourth quarter after 7 quarters of consecutive increases. Only Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

ECONOMIC TRENDS IN MID-1967 905 expenditures for services, which had been stimulated by the initiation of the medicare program, continued to rise briskly. Be­ cause of the leveling off in consumer purchases, the rate of personal saving rose to almost 6 per cent in the fourth quarter of 1966. This rate is rather high compared with the 1965-66 average which was only 5.4 per cent. Not since 1957 and 1958 has a rate of more than 6 per cent been sustained for such a long period. Consumer prices continued to rise more slowly in the early months of this year. Gains in disposable income have continued to be substantial, and thus a high proportion of families continue to have large increases in real income. On the other hand, incomes of many families have been cut by layoffs and reductions in hours SAVING RATE of work, especially in manufacturing industries. Even though PER CENT 7.0 unemployment remains low, fewer women and teenagers have been entering the labor force because jobs have become less easily available. Farm incomes too have fallen, because of the drop in prices of farm products. Thus the rise in total disposable income might have stimulated more spending if there had been fewer ad­ verse currents. In the first quarter of this year consumers increased their sav­ Dept, of Commerce seasonally ad­ ing rate even further, and this has undoubtedly helped to restore justed data on personal saving as per cent of disposable personal in­ liquidity. In that period they increased their acquisitions of come. Q II ’67 estimated by Fed­ eral Reserve. deposits and market instruments, and they added to their instal­ ment debt at a much slower rate than earlier, when the rise had been very rapid. Both new extensions of credit and repayments of debt have fallen as a percentage of consumer income since last summer. The increase in mortgage debt has also been sharply reduced by the tightness in mortgage credit last year. Nevertheless, there has been a gradual strengthening in retail buying in recent months, and the saving rate is estimated to have declined slightly. For personal income the longer-term outlook is for somewhat larger increases than in the current period. Wage gains are likely to continue at a higher rate than during last year. In addition, after adjustments now under way in hours and employment in manu­ facturing are completed and when employment in construction begins to respond to a higher level of homebuilding, the increase in wage income should speed up. INVENTORY ACCUMULATION The build-up in inventories in the second half of 1966 was in large part the result of a growing sluggishness in consumer buying; however, it was also associated with the rising backlog of orders Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

906 FEDERAL RESERVE BULLETIN • JUNE 1967 for defense and machinery and equipment. By the fourth quarter, nonfarm inventories were rising at an annual rate of $16 billion, STOCK/SALES RATIOS IN and it was evident that production—which had already leveled MANUFACTURING off—would decline in 1967. Type of durable Dec. Dec, Apr. The rate of accumulation of manufacturing and trade inven­ good 1965 1966 1967 tories fell rapidly in early 1967, and in recent months the build-up Total 1.90 2.11 2.31 has almost ceased. At the distributor level, substantial reductions Defense 2.53 3,00 3.15 Machinery, etc. 2.56 2.74 2.84 have already been made in both nondurable and durable goods Consumer 1.15 1.35 1.47 Other (.89 2.00 2.25 stocks. The inventory/sales ratio in trade has dropped from a high of 1.36 in December to 1.33 in April—only slightly above the average in 1963. Inventories in manufacturing have continued to grow but at a substantially slower rate than in the last half of last year. Excess stocks continue to be widespread among many industries and products. The major problem is in manufacturers’ durable goods, where the inventory/sales ratio rose from 1.90 in December of 1965 to 2.31 this April. The highest build-ups have been in the defense-related and the capital goods industries; a large part of these increases have been in work-in-process—presumably to fill the large backlogs of orders. Moreover, despite month-to-month variations, new orders for defense production have not been cut back, and machinery and equipment orders have risen from their lows in the first quarter. 3 | Rate of growth in BUSINESS INVENTORIES slows BILLIONS OF DOLLARS ’64 '65 ’66 67 '64 ’65 '66 ’67 Quarterly changes in book value of business inventories, for manufacturers and distributors, based on Dept, of Commerce seasonally adjusted monthly data. Latest figures, first quarter 1967. High stocks of defense-related products and machinery and equipment are likely to be reduced more slowly than if they were concentrated in nondurable goods or in short-lead-time durable goods items. Hence they are less likely to lead to sharp cutbacks in production. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

ECONOMIC TRENDS IN MID-1967 907 GOVERNMENT A growing Federal deficit, on the national income account, has SECTOR given increasing support to economic activity since mid-1966. At that time, the Federal budget was in approximate balance, but by the first quarter of 1967 the deficit had climbed to an annual rate of $10 billion. The second quarter is expected to show a further increase in the deficit. DEFICIT widens as rise in receipts slows - 5 1965 1966 '6 7 Dept, of Commerce quarterly data (national-income basis), seasonally adjusted at annual rates. Latest figures, first quarter 1967. Over the last year, Federal expenditures for defense have been increasing at a rate of about $3.8 billion per quarter, and a rising level of grants-in-aid has bolstered State and local government out­ lays. Transfer payments have also been stepped up, thereby benefitting individual incomes. Federal receipts, on the other hand, have grown less rapidly Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

908 FEDERAL RESERVE BULLETIN • JUNE 1967 since the middle of 1966, especially during the first quarter of this year when corporate profits declined. Moreover, as a result of the speed-up in personal tax payments in 1966, which had augmented revenues in that year, receipts from personal taxes this year have been less. The slower rise in Federal receipts has helped to main­ tain the rise in private incomes after taxes. Demands on State and local governments for increased services have resulted in sharply higher outlays and employment this year. The recent high and rising volume of flotations of State and munici­ pal securities will finance an increasing volume of public con­ struction expenditures. Employment growth reflects largely an ex­ pansion in outlays for education, health, and other public services. BUSINESS FIXED The rate of utilization of manufacturing capacity—creeping up INVESTMENT since 1962—reached a peak of about 91 per cent in the third and fourth quarters of 1966 before declining to about 85 per cent as production was cut back this year. The decline in operating rates is having an adverse effect on productivity; along with larger wage increases, it is resulting in higher unit labor costs in manufacturing that are being only partially offset by price increases. Profits in the manufacturing sector therefore have dropped almost 10 per cent, seasonally adjusted. Although profits of some other sectors are continuing to rise, total corporate profits fell about 6 per cent in the first quarter. Nevertheless, business on the whole has remained confident. Corporations have floated a record volume of bonds this year, in part to restore liquidity, which declined to low levels last year. However, some of their flotations reflect a continued need for in­ vestment funds, and some, possibly, the expectation of a resurg­ ence in economic activity later this year. The recent restorations of the investment tax credit and acceler­ ated depreciation provide an additional incentive to proceed with investment plans for new plant and equipment, as well as for the construction of apartments and other commercial projects. According to a recent survey by the Department of Commerce and the Securities and Exchange Commission, businesses have reduced their planned expenditures for new plant and equipment in 1967. Although planned capital outlays for the year have been reduced slightly from those anticipated 3 months ago—to show a rise of 3 per cent instead of 4 per cent—the reduction was pri­ marily in the first-quarter outlays and businessmen still anticipate some increase from the first half in the third and fourth quarters. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

ECONOMIC TRENDS IN MID-1967 909 Manufacturers expect outlays for new plant and equipment to rise about 2,5 per cent in the second half, mainly in durable goods industries. Industries that expect gains in investment include iron and steel producers, nonautomotive transportation equipment, and machinery. In the latter two, rates of capacity utilization remain very high. _ {Investment in PLANT AND EQUIPMENT has leveled; b I CAPACITY UTILIZATION drops BILLIONS OF DOLLARS - 70 PER CENT Dept, of Commerce—SEC data on expenditures for new plant and equipment, seasonally ad­ justed annual rates; data for second and third quarter 1967 are anticipated expenditures. New orders, Dept, of Commerce seasonally adjusted data at annual rates; latest figure, second quarter 1967 estimated by Federal Reserve. Capacity utilization, Federal Reserve estimates; latest estimate, second quarter 1967. The large volume of new plant and equipment now being in­ stalled and that scheduled for installation during the rest of the year indicate that capacity utilization rates will remain below last year’s highs until demand is expanding more rapidly. However, the increased efficiency of new capacity should add to the rise in output per manhour as the pace of activity quickens. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

910 FEDERAL RESERVE BULLETIN • JUNE 1967 RESIDENTIAL After the policy of active monetary ease was inaugurated in No­ CONSTRUCTION vember, the inflow of mortgage funds to the savings and loan associations and other mortgage lending institutions increased greatly. As mortgage money became more freely available, starts rose from a low of less than 1 million units, annual rate, in the fourth quarter to a 1.2 million rate in the first 5 months of 1967. Although the rate of starts on a seasonally adjusted basis has not increased this year, it has been sufficiently high to support a gradual expansion in building activity. The increase in expendi­ tures for homebuilding, although small in dollar volume in the first quarter, is rising more rapidly in the second quarter and is ex­ pected to continue to contribute to higher activity as the year progresses. A substantial backlog of demand for new homes undoubtedly exists. Only 1.2 million new residential units were started last year compared with levels of 1.5 million or higher in each of the preceding 3 years. Surpluses of housing in certain areas, such as the West, have now been appreciably reduced, with vacancy rates falling. Rents, one of the more stable components of the consumer services price index, have begun to rise a little faster. 6 I Housing STARTS and demand for AUTOS are reviving MILLIONS OF UNITS MILLIONS OF UNITS 2.0 12.5 Quarterly averages of seasonally adjusted monthly data at annual rates. Private housing starts, Bureau of the Census. New domestic auto sales based on dealer deliveries. Second quarter 1967 estimated by Federal Reserve. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

ECONOMIC TRENDS IN MID-1967 911 Even with easing in mortgage credit availability, it takes time for builders to regain their earlier momentum. Since potential demands are strong, homebuilding should contribute to economic expansion for some time. IMPORTS AND Part of the rapid increase in aggregate domestic demand during EXPORTS 1965 and 1966 was met by an unusually rapid rise in imports. In­ cluding increased U.S. military expenditures abroad, total imports of goods and services in the latter half of 1966 exceeded those of a year earlier by nearly $6 billion, annual rate, or 17 per cent. Exports expanded less rapidly, and so the net surplus of exports, already shrinking in 1965, became still smaller in 1966. This year the easing of aggregate demand has been paralleled by a leveling in imports. In the first quarter of 1967 imports of goods and services, including U.S. military expenditures abroad, rose only slightly from the fourth quarter of last year. Although there has been a marked pause in the expansion of economic ac­ tivity in major industrial countries of Europe over the past 12 months, continuing strong demand in other parts of the world has helped U.S. exports to grow. In the first quarter of 1967 the net surplus of exports of goods and services was at an annual rate about $1 billion greater than in the latter part of 1966. * * * The slower rate of economic growth this year has been accom­ panied by lessened pressures on prices. At the wholesale level, in­ creases in prices of machinery—which were rising sharply last year —have tapered off, and prices of total industrial materials have shown little change. Nevertheless, the price performance is not entirely favorable. Prices of nonsensitive materials have continued to creep up and sensitive industrial materials have strengthened recently. Prices of finished goods at the wholesale level are rising, except for con­ sumer durable goods. In part, these advances reflect higher costs per unit for labor, transportation, and services. The rise in the consumer price index was slowed in the winter and early spring by a large decline in food prices. But now food prices are increasing more than seasonally, and prices of many nonfood commodities and services are continuing to advance. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

Staff Economic Studies The research staffs of the Board of Gover­ set forth are those of the authors and do not nors of the Federal Reserve System and of necessarily indicate concurrence by the the Federal Reserve Banks undertake studies Board of Governors, by the Federal Reserve that cover a wide range of economic and Banks, or by the members of their staffs. financial subjects, and other staff members Single copies of the full text of each of prepare papers related to such subjects. the studies or papers that are summarized From time to time the results of studies that below are available in mimeographed form. are of general interest to the economics pro­ The list of publications at the back of each fession and to others are summarized—or Federal Reserve Bulletin includes a sepa­ in some instances printed in full—in this rate section enumerating the studies for section of the Bulletin. which copies are currently available in that In all cases the analyses and conclusions form. Study Summaries THE FINANCING OF CAPITAL INVESTMENT IN THE USSR Paul Gekker—Staff, Board of Governors Paper presented at the Annual Meeting of the American Finance Association and at the Workshop on Money and Finance in Communist Countries, at the University of California in Berkeley, December 1966 (to be included in a forthcoming volume edited by Professor Gregory Grossman) The recent decline in the Soviet growth rate Investment financing methods developed —attributable in part to a falling rate of in highly centralized forms, chiefly because capital investment—has spurred a reform of the need to ensure control over highmovement, involving cautious experimenta­ priority growth tasks. Despite impressive tion with some market-oriented forms, in­ achievements, however, investment perform­ cluding financial devices. This paper surveys ance showed numerous shortcomings, pri­ the background and current status of two marily because of the “tautness” of the changes in investment financing methods: economy. In practice, emphasis on fulfill­ the substitution of bank credit for nonrepay­ ment of physical targets meant that financial able budget grants, and the increased em­ control tended to be formal and the role of phasis on financing investment from funds financial institutions largely passive. The retained within Soviet industry. system of financing investment by budget 913 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

914 FEDERAL RESERVE BULLETIN • JUNE 1967 grants also contributed to excessive demand forms of new construction. The other re­ for investment resources and to a persistently form—creating a new system of “incentive” large volume of unfinished construction. funds and providing for the decentralization The investment financing system that of some investment decisions—seems poten­ relied predominantly on raising funds tially the more significant change. through taxes and financing investment From Soviet publications it is evident directly from the budget may have outlived that, at least through mid-1966, these re­ its usefulness. Today’s economy not only is forms had not been fully implemented. Per­ more diversified but is also engaged in re­ haps the new arrangements are only dressing past neglect of such traditionally transitional, but the lack of implementation low-priority sectors as agriculture and con­ may reflect operating difficulties, some natu­ sumer goods production. The need to devote ral inertia, or the opposition of vested larger shares of investment resources to interests. Soviet writers have recognized the slower growing sectors may justify use of need for fundamental change in two re­ decentralized forms of investment finance; spects: creation of an industrial price sys­ decentralization can be helpful in solving tem that would guide enterprise behavior in problems posed by the greater complexity of more rational ways, and some workable choice in a more mature economy. alternative to the present centralized system Bank loans were used only for a part of of materials supply and allocation. Solution investment in existing enterprises while in­ of these problems presents great practical vestment in new plants was financed only difficulties and may require a prolonged through the budget until September 1965, period of trial and error, but effective when loan financing was extended to some methods could eventually be devised. FEDERAL FISCAL POLICY AND AGGREGATE DEMAND, 1956-66 Helen B. Junz—Staff, Board of Governors This paper was presented at the College of Europe’s Semaine de Bruges Symposium on Fiscal Policy, March 1967, and will be published by the College of Europe The period 1956-66 almost naturally sub­ term objectives. The review of fiscal ac­ divides into two periods with significantly tivities over the 11-year period is based different fiscal policy goals. The primary upon data in the national income account stated purpose of fiscal policy in 1956-61 budget. Discretionary action is separated was price stability and budget balance— from automatic response of the budgetary that in 1962-65 was achievement of full system to changes in economic activity, and employment. the effects of price changes on the budget This paper reviews and attempts to balance are isolated. evaluate the effects of fiscal policy actions, In the evaluation of fiscal activities the both discretionary and unplanned, in impact of discretionary policy actions upon regard to stated policy goals and longer- economic activity is estimated by regression Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

STAFF ECONOMIC STUDIES 915 analysis. The effects of fiscal policy actions bringing the economy closer to its output are then viewed in terms of the success or potential, discretionary fiscal policies af­ failure of the Federal budget to meet the fected economic activity in the opposite di­ needs of the economy (that is, whether or rection 10 out of 21 times. It appears that not the economy was brought nearer to— discretionary fiscal actions have their major or pulled away from—what is considered impact on the growth rate of gross national its potential output) and also in terms of product a half a year after they are taken. whether or not fiscal policies achieved their In view of the difficulty of making a correct stated goals. assessment of even the current economic The analysis shows that discretionary situation, the implied need of a forward fiscal policy actions affected the economy assessment magnifies the problem of timing in the direction of stated goals 16 times out current fiscal action and underscores the need of 21 during the period 1956-66; but in for more flexibility in the use of fiscal policy. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

Staff Economic Study EVIDENCE ON CONCENTRATION IN BANKING MARKETS AND INTEREST RATES Almarin Phillips—University of Pennsylvania In 1962 the Board of Governors launched a paper he presented at a meeting of the a new program of comprehensive research Southern Economic Association in Atlanta in the field of banking structure and bank in November 1966. competition. At that time the Board set up The author is indebted to Robert J. in the Division of Research and Statistics Anderson for his assistance on the paper; a new unit, now designated the Banking to Lawrence R. Klein, Robert Summers, Markets Section, to undertake studies and and Phoebus J. Dhrymes, who provided to foster research in banking markets by valuable advice on statistical problems; and others. to Tynan Smith, Wm. Paul Smith, and This article by Professor Phillips, a con­ Loree Bernard, who were most helpful in sultant to the Division of Research and furnishing data. As in all staff studies, how­ Statistics, attempts to explain the divergent ever, the author is responsible for the conclusions reached in some recent studies analyses and conclusions set forth, and the of relationships between the levels of con­ views expressed are not necessarily those of centration in commercial banking markets the Board of Governors or of the members and rates of interest on loans. It is based on of the Banking Markets Section. Recent studies of relationships between the selves associated with concentration. The levels of concentration in commercial bank­ conclusions drawn from the latter are that, ing markets and rates of interest on loans after accounting for other variables, there is have produced conflicting results.1 Some no partial association between concentra­ show that significant and positive relation­ tion and interest rates. ships exist, with interest rates tending to This article attempts to explain these be higher in those markets in which con­ divergent conclusions. Success in this ob­ centration is relatively high. Others—while jective is, of course, closely related to as­ not denying the possible existence of a certaining whether there are or are not simple association—have attributed the re­ significant associations between concentra­ lationship to other factors, which are them­ tion and interest rates. It is also obvious that this answer is related to a variety of ' See especially Franklin R. Edwards, “Concentra­ tion in Banking and Its Effect on Business Loan public policy problems concerning banking Rates,” Review of Economics and Statistics (1964), market structures. The approach of this Concentration and Competition in Commercial Bank­ ing: A Statistical Study, Research Report No. 26, article, nonetheless, is to avoid the defense Federal Reserve Bank of Boston, and “The Banking of any prior positions—our own as well as Competition Controversy,” National Banking Review (1965); George G. Kaufman, “Bank Market Struc­ others—and in particular to avoid any ture and Peformance,” Southern Economic Journal explicit and if possible any implicit trans­ (1966); and Theodore G. Flechsig, Banking Market Structure and Performance in Metropolitan Areas, lation of the findings to public policy ques­ Board of Governors of the Federal Reserve System tions. (1965), and “The Effect of Concentration on Bank Loan Rates," Journal of Finance (1965). This article probes into data for a sample 916 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

MARKET CONCENTRATION AND INTEREST RATES 917 of commercial banks in 19 metropolitan are defined as those maturing in 1 year or areas. The variables used are interest rates less, and they are subdivided into loans of on business loans, concentration ratios, size (in thousands of dollars): 1-9, 10-99, 100­ of bank, size of loan, and region. The first 199, and 200 and over. Most banks report section describes the data. Next there is a as a unit, but a few submit separate reports brief exposition of statistical problems en­ for loans made by each of their branches. countered in using data at various levels of The appendix table shows (1) the 19 cities disaggregation and the circumstances in covered by the Survey, (2) the number of which the choice of levels may affect the reporting banks in each city, and (3) con­ results. centration measures for each city for 1960, The section on findings shows a statisti­ 1962, 1964, and 1966—the years used in cally significant but economically small this study. positive relationship between interest rates The data on concentration are basically and concentration ratios. The influence of those shown in the annual reports of the bank size on interest rates is less definite, Federal Deposit Insurance Corporation.3 though some evidence suggests a negative The ratio used to measure concentration is relationship, with the larger banks tending based on the relation of the sum of the to charge somewhat lower rates. Loan size deposits of the three largest banks to the has a strong effect on the rate of interest. total deposits of all commercial banks in The brief concluding section of the paper the principal county (or counties) of the contains some indications of possible exten­ standard metropolitan statistical areas sions of the work and some caveats con­ (SMSA’s) as defined by the Bureau of the cerning the use of the results. Census. As is true of any concentration measure, BASIC DATA this is an arbitrary one. One could have The interest rate data are from the Fed­ used a different number of “largest” banks. eral Reserve’s “Quarterly Survey of Bank Or one could have used total assets—or, Rates on Short-Term Business Loans.”2 indeed, bank debits—instead of deposits. Cooperating banks, varying in number Some allowance might have been made for from time to time, provide reports on new mutual savings banks. The compelling loans and renewals of old loans during the reasons for the choice here were, obviously, first 15 days of March, June, September, the availability of data and the fact that and December. These reports show the most of the previous studies have used a dollar amount of, and the amount of in­ similar measure. Furthermore, except for terest to be paid on, each loan. The interest the effects of inclusion or exclusion of rates used here, uniformly expressed as a mutual savings banks on concentration simple interest rate per annum, are com­ ratios, it has not been contended that the puted by dividing the amount of interest by divergent results of former analyses were the amount of the loan. Short-term loans 3 The ratios for 1966 were estimated by the Banking ’These data are from the unrevised series; for a Markets Section, Board of Governors of the Federal more complete description, see the Federal Reserve Reserve System, on the basis of the effects of bank Bulletin for March 1949, pp. 228-37. This series was mergers between 1964 and 1966. Measures of con­ revised early in 1967, as described on pp. 721-27 of centration for 1966 based on actual bank size data the Bulletin for May. are not yet available. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

918 FEDERAL RESERVE BULLETIN • JUNE 1967 the result of the concentration measure between the Y^ and the concentration used.4 ratio, C^, for the /th city. The concluding part of the section on However, none of the interest rate ob­ findings examines relations between regions servations used in regressions is a simple of the country and interest rates. The re­ Y^ value. Rather the observations in all gions to which the cities were assigned— instances are a weighted average of the shown in the appendix table—were also Y^ values for some defined set of loans. arbitrary. It should be emphasized, how­ As an example, suppose that the /th bank ever, that the regions were introduced in the/th city has a set of loans, Kj, in the primarily to see if undefined economic $1,000- to $10,000-loan-size category and characteristics associated with geography that it has sets Kj, k'-, and Kj" in the would help to explain the variance in in­ other size categories. The combination of terest rates. The only preliminary check on these sets—total loans by the /th bank in the regional differentiation was to see if, the ith city—is the set K‘.. If there are ^ because of high correlation between con­ banks in the /th city, the most aggregative centration and regions, the concentration form for the interest rate observations for effects might be obfuscated. As noted be­ that city is low, no significant intercorrelation of this type resulted. K1 Jd jjk s3 s r 2;2\L.., AGGREGATION AND IMPLICIT WEIGHTS \ <2) ~rr K.J1 As indicated earlier, the analysis was con­ ^SL... ^XL.., cerned with the implicit weighting involved in the data and with differences in the which is a weighted average rate for all weights when the same underlying data loans by all banks in the city. Similar ex­ were used at different levels of aggregation. pressions obtained by adding all loans The weighting problem occurs in the in­ within the given loan-size classes yield terest rate data—the dependent variable in Y^Y^.Y^', and Y3" values, the weighted the regressions presented below—and ap­ average rates of interest for each size class pears to be a primary reason for the diver­ for all banks in the /th city. The regres­ gent conclusions of previous studies. sions in Table 1 are based on these types If L^ denotes the dollar amount of the of weighted averages and are included tth loan by the /th bank in the /th city, largely because other studies have used and i^ is the corresponding annual in­ conceptually similar data on interest rates. terest income, the simple rate of interest on The use of these weighted averages the loan is: rather than the Y^ values or their un­ weighted means may affect the results for several reasons: First, it is obvious that each Y^ enters The purpose of the analysis was to discover whether there is any significant relationship the y‘ calculation with the size of loan being used as a weight. Unless the Y^ ‘See Theodore G. Flechsig, Banking Market Struc­ values are independent of the L^ values, ture and Peformance in Metropolitan Areas, pp. 54-58. the weighted averages are not unbiased Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

MARKET CONCENTRATION AND INTEREST RATES 919 estimates of the simple mean of the Y^ that the mix of loans in the samples may values. The premise that rates of interest not be typical of the mix of all loans at on large loans tend to be lower than those each bank. For the same reason, the mix on small loans is in accord with our data. in one reporting period may vary from that Because of this, the Y^ are strongly affected in another. In each case, the rates on those by the rates on the largest loans in each loans of greatest dollar volume within the city and only weakly affected by rates on relevant set of loans will affect the weighted the smaller ones. Hence, use of the y! averages most. Hence, results may vary in the regressions tends to measure rela­ from period to period because of differences tions between concentration and the rates in the loan mix. on the largest loans and to obscure what­ The analysis was done by moving ever relations may exist between concen­ generally toward the use of fewer and fewer tration and the rates on smaller loans. This aggregative interest rate data, toward the is less true, however, of the regressions run introduction of additional variables to re­ on the Yi> Y^, Yj, and Y'/', where loan move the loan-size effect, and toward repli­ size is accounted for at least in part by the cation to remove the effects of different size-of-loan classifications. loan mixes during the reporting periods. Second, the regression results may be Tables 3 through 5 are based on weightedinfluenced by relationships between the average interest rates for individual banks L^ values and the c^ observations. Since in each of the cities. That is, with the the Y‘ values tend to vary with the l^ nomenclature used above, the interest rate values, relations between the latter and the variables are defined as concentration measure may give the ap­ K1. K^ijk , \ pearance of significant concentration effects where none exist or, conversely, they may (3) = ' Wk ' = yl tend to cover the concentration effect if it Kl. k\ does exist. If cities with low concentration V3 L tend to have a relatively high proportion of large loans and those with high concentra­ for total Ioans by each bank and similarly tion a relatively low proportion of large defined Y-; Y^, y'L and ¥% values for loans, the Y^ values will be pushed down­ the averages of the respective loan-size ward for low concentration cities and up­ classes. Even so, it is still true that the rates ward for high concentration cities. The on the largest loans made by each bank reverse is equally possible. Thus, unless the dominate its interest rate observations. It effect of the loan size can be determined, is no longer true, however, that the largest little confidence can attach to regressions loans made by any of the banks dominate run on the Yl. and fy values. Again, the for each city. Or to state it differently, the problem is less severe when the Y^ y^ rate reported for each bank has equal Y^, and y’-" interest observations are em­ weight in its city regardless of the size of ployed. its loans relative to the loans of other Finally, the interest rate observations are banks in that city. With these data, and based on loans made or renewed during a with the use of other variables to account 15-day period. This is a short enough period for loan-size effects, it is less likely that Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

920 FEDERAL RESERVE BULLETIN • JUNE 1967 TABLE 1 INTEREST RATES ON BUSINESS LOANS REGRESSED ON CONCENTRATION RATIOS, SELECTED QUARTERS OF 1960, 1962, 1964, AND 1966 Banks in 19 Cities Combined Q4—1960 Q3—1962 Q2—1964 QI—1966 Size of Co­ Co­ Co­ Co­ (i o n f t h d lo o o a u ll n s a a r n s) ds R s c s e t i o g a o n r n n e ­ t s­ R c c s e o i i g e e o f r n n f e i t s ­ ­ o m c e t f i e i f e n d f r n i - a e ­ t - ­ R s c e s t o i g a o n r n n e ­ t s­ R c c s o e i i g e e o f r n n f e i t s ­ ­ o m c e t f i i e f e d n f r n i - e a ­ t ­ ­ R s c s e t o i g a o n r n n e ­ t s­ R c c s o e i i e g e o f r n n f e t i s ­ ­ m o c e t f i e i f e n d f r n i a - e ­ t - ­ R s c s e t o i g a o n r n n e ­ t s­ R c c s e o i i g e e o f r n n f e i t s ­ ­ o m c e t f i e i f e n f d r n i - a e ­ t - ­ tion tion tion tion AH size groups....... +4.451 +0.0088 .117 +4.562 +0.0077 .089 +4.572 +0.0072 .020 + 5.261 +0.0036 .019 (0.346) (0.0048) (0.337) (0.0046) (0.352) (0.0049) (0.224) (0.0031) (-9................+... .5....4..1..7 +0.0075 .062 +5.497 4-0.0061 .014 +5.385 +0.0071 .039 +5.918 + 0.0037 .000 (0.367) (0,0051) (0.392) (0,0054) (0.387) (0.0054) (0.442) (0.0062) 10-99....................... +5.071 +0.0071 .077 +4.948 +0.0084 .142 +5.066 +0.0068 .132 + 5.638 +0.0046 .006 (0.325) (0.0045) (0.304) (0.0042) (0.253) (0.0035) (0.315) (0.0044) 100-199................... +4.969 +0.0037 .015 +4.839 +0.0051 .014 + 4.757 +0.0074 .096 + 5.242 1+0.0072 1 .185 (0.310) (0.0043) (0.330) (0.0045) (0,311) (0,0044) (0.229) (0.0032) 200 and over.......... +4.317 +0.0084 .111 + 4.559 +0.0055 .000 +4.552 +0.0056 .020 + 5.267 +0.0019 .000 (0.338) (0.0047) (0.400) (0.0055) (0.340) (0.0048) (0.194) (0.0027) 1 Significant at the 5 per cent level. Note.—Standard errors are shown in parentheses. regression results are so dependent on the The importance of the implicit weighting loan-size weights. in the aggregation is apparent from the figures in Table 1. Note that for 1960 the FINDINGS regression coefficient for total loans is Tables 1 through 5 summarize the regres­ higher than for any of the individual loan­ sion results. Table 1 shows 20 regressions size coefficients. Yet the coefficient for total of interest rates on concentration, with five loans arises from aggregating data for the regressions—one for total loans and one four loan-size classes. The reason for these for each of the four loan-size classes—in results can be seen from Table 2. The total each of 4 years. The loan amounts and loan regression is very heavily weighted by interest income items are aggregated for the largest loan-size category. In 1960 this banks to provide 19 observations, one for category of loans had a higher weight for each city. In only one of the 20 cases— loans of $100,000 to $199,000 in 1966— TABLE 2 is the regression coefficient significant at WEIGHT DISTRIBUTION BY SIZE OF LOAN FOR GROUPS OF CITIES WITH HIGHEST AND LOWEST the 5 per cent level. Only 18.5 per cent of CONCENTRATION, 1960 the variance in rates is explained by even this regression, and furthermore it is not in Relative weight of 7 cities with— Size of loan the larger loan sizes that, on a priori (thousands of dollars) Highest Lowest grounds, one expects city concentration concentration concentration ratios to be most closely related to interest 1-9......................................... .023 .009 rates. Hence, these regressions alone pro­ 1 1 0 00 -9 -1 9 9 .. 9 .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 0 6 4 6 . . 0 0 6 8 1 2 200 and over......................... .706 .847 vide little evidence of significant concentra­ AH size groups ...................... 1.000 1,000 tion effects. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

MARKET CONCENTRATION AND INTEREST RATES 921 those cities in which concentration is rela­ regressions as Table 1, but here the runs tively low than in those where concentra­ are on data for the individual banks. The tion is relatively high. The result is that the effect of not summing individual banks is regression coefficient for total loans is to give equal weight to each bank regard­ biased upward—so much so that it lies ex­ less of its loan volume relative to that of ternal to the range of the values for the other banks. Thus, weight bias among banks separate size-of-loan classes and appears is avoided, but weight bias within individual nearly significant at the 5 per cent level. banks may remain. In particular, the in­ Part A of Table 3 shows the same simple terest rate for total Ioans for each bank is TABLE 3 INTEREST RATES ON BUSINESS LOANS REGRESSED ON CONCENTRATION RATIOS AND BANK SIZE, SELECTED QUARTERS OF 1960, 1962, 1964, AND 1966 Individual Banks in 19 Cities Part B—Regressions on concentration Part A—Regressions on concentration ratios ratios and bank size Item Q4 Q3 Q2 Qi Q4 Q3 Q2 Ql 1960 1962 1964 1966 1960 1962 1964 1966 Regression constant: +4.315 +5.347 +5.242 +5.018 + 4.855 +4.855 +4.779 + 5.288 (0.226) (0.275) (0.258) (0.188) (0.219) (0.254) (0.239) (0.193) Size of loan (thous. dollars) 1-9.............................................. +5.339 -1-4.756 +4.834 +5,772 +5.365 +5.495 +5.201 +5.656 (0.212) (0.217) (0.199) (0.260) (0.245) (0.303) (0.282) (0.286) {0-99............................................. +4.906 + 5.065 +4.752 +5.479 + 5.022 +4.851 + 4.953 +5.399 (0.202) (0.678) (0.494) (0.197) (0.228) (0.240) (0.215) (0.217) 100-199.......................................... +4,868 +4.757 +4.537 +5.056 +5.141 + 4.797 +4.516 +5.006 (0.218) (0.303) (0.220) (0.206) (0.243) (0.348) (0.247) (0.206) 200 and over.................................. + 4.181 +4.462 + 4.217 +5.019 +4.468 +4.622 +4.609 +5.202 (0.203) (0.274) (0.275) (0.190) (0.220) (0.312) (0.288) (0.204) Regression coefficients: i Concentration Total loans............................. 2+0.0118 2+0.0084 2+0.0095 2+0.0082 2+0.0081 2+0.0082 2+0.0095 2+0.0067 (0.0032) (0.0039) (0.0037) (0.0027) (0.0028) (0,0033) (0.0032) (0.0025) Size of loan (thous. dollars): 1-9.......................................... 2+0.0088 2+0.0113 2+0.0103 +0.0063 2+0,0087 +0.0075 2+0.0097 +0.0069 (0.0030) (0.0031) (0.0029) (0.0037) (0.0031) (0.0040) (0,0038) (0.0033) 10-99......................................... 2+0.0090 -0.0001 +0,0063 2+0.0072 2+0.0090 2+0.0107 2+0.0097 1+0.0076 (0.0029) (0.0957) (0,0071) (0.0028) (0.0029) (0,0031) (0.0029) (0,0029) 100-199...................................... +0.0054 +0.0065 2+0.0106 2+0.0103 +0.0036 +0.0062 2+0.0107 2+0.0105 (0.0031) (0.0043) (0.0032) (0.0029) (0.0031) (0.0044) (0.0032) (0.0030) 200 and over............................. 2+0,0112 +0,0069 2+0.0108 2+0.0064 2+0.0093 +0.0059 2+0.0086 2+0,0054 (0.0029) (0.0039) (0.0039) (0.0027) (0.0028) (0,0040) (0.0038) (0.0027) Bank size:1 Total loans.................................... 2-0.1560 2-0,1019 2-0,1435 2-0.0774 (0.0297) (0.0315) (0.0294) (0.0230) Size of loan (thous. dollars) 1-9.......................................... -0.0075 -0.0533 +0,0129 +0.0333 (0.0342) (0.376) (0.0347) (0.0340) 10-99.......................................... -0.3360 -0.0278 -0,0376 +0.0230 (0.0310) (0.0298) (0.0264) (0.0258) 100-199...................................... 2-0.0778 -0.0HO +0.0059 +0.0144 (0.0339) (0.0454) (0.0306) (0.0280) 2-0,0829 -0.0435 2-0.1111 2-0.0525 (0.0299) (0.0407) (0.0358) (0,0242) Coefficient of determination: Total loans.................................... 2.146 2 .049 2.072 2.102 2.373 2.186 2 .331 2.216 Size of loan (thous. dollars): 1-9..................................... 2 .098 2.150 2 ,144 .025 2 .085 .053 2 .061 .025 10-99.............................................. 2.126 .000 .000 2.070 2.128 2.148 2 .156 2 .068 100-199......................................... .028 .019 2.128 2.136 2.083 .005 2.116 2 .127 200 and over.................................. 2.162 .031 2.085 2.059 2.232 .033 2.187 2.105 1 Bank size expressed in logarithms of hundreds of millions of 2 Significant at the 5 per cent level. dollars of total deposits. Note.—Standard errors are shown in parentheses. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

922 FEDERAL RESERVE BULLETIN • JUNE 1967 heavily influenced by whichever size of tration may have direct effects on interest Ioan has the greatest dollar volume; this is rates; if so, the addition of the bank-size usually—but not always—the largest loan variable would increase the amount of ex­ size. plained variance without eliminating the Table 2 and Part A of Table 3 provide concentration effect. additional insights into the effects of weight­ Part B of Table 3 shows regressions ing. The elimination of the summation over identical to those in Part A of Table 3 save banks generally explains a greater propor­ for the inclusion of the bank-size variable.5 tion of total variance. The coefficients of For total loans, the inclusion of the bank­ determination in Part A of Table 3 are size variable tends to reduce the magnitude higher than the corresponding coefficients in of the concentration effect, but in no case Table 1 in 16 of the 20 regressions. In Part does it eliminate the concentration effect. A of Table 3, 14 of the coefficients of de­ Nonetheless, the bank-size effect is itself termination are significant. Similarly, the significant in the total loan regressions in regression coefficients in Part A of Table 3 every case. Moreover, it is larger for total are higher than their corresponding numbers loans than for the separate loan-size classes. in Table 1 except for two cases. The bank-size variable appears to pick up However, little importance should be some of the effects of the size mix, but it attached to the regressions for total loans does not eliminate the concentration effect. in Part A of Table 3 despite their apparent In the regressions run by size-class of loan, statistical significance; these regressions may the inclusion of bank size forces out the be attributable to relations between the concentration effects shown in Part A of “size mix” of loans in individual banks and Table 3 in only one case—loans of $1,000 concentration in the respective cities rather to $9,000 in 1962. Its general effect is to than to relations between interest rates increase the coefficient of determination. themselves and concentration. The erratic The regressions in Part B of Table 3 still distribution of results for the different loan demonstrate rather mixed results. They sizes makes conclusions difficult. The small­ offer little reliable evidence as to whether est class has significant results in 3 out of these results are due to weighting biases 4 cases. The next two size classes produce which vary from case to case, to inefficient significant results in only 2 out of 4 cases. estimation, or to the lack of systematic re­ And loans of $200,000 and over show a lationships among the variables. concentration effect in 3 out of 4 cases. Part A of Table 4 presents four regres­ It is possible that the size mix of loans sions that relate interest rates to concen­ in particular banks is related to the size of tration, to size of bank, and to size of loan. the banks. If so, size of bank could be in­ Dummy variables were used for each loan­ troduced as a proxy variable for the size size class. The observed interest rates (that mix of loans, and where differences in size mix rather than interest rates produce the 5 Bank size is expressed in hundreds of millions of apparent concentration effect, the effect of dollars. Thus, the natural logarithm of bank size for a bank of $100 million in deposits is 0.0000; for a bank size on interest rates might make the $1 billion bank, 2.3026; for a $10 billion bank, 4.6052. concentration effect disappear. It is also A difference of 1.0000, that is, in the log of bank size, represents a large difference in the absolute size possible that both bank size and concen­ of bank, especially for the larger banks in the Survey. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

TABLE 4 INTEREST RATES ON BUSINESS LOANS REGRESSED ON SELECTED VARIABLES IN ADDITION TO CONCENTRATION RATIOS AND BANK SIZE, SELECTED QUARTERS OF 1960, 1962, 1964, AND 1966 Individual Banks in 19 Cities Part A-—Re b g a r n e k s s s io iz n e s , a o n n d c o lo n a c n e n si t z ra e tion ratios, Part B— ba R n e k g s r i e z s e s , i o l n o s a n o s n i z c e o , n a c n e d n t r r e a g ti i o o n n ratios, c P g o r a n e r c s t s e C i n o — t n r s a R t o io e n ­ n c P g o r a n e r c s t s e D i n o t — n ra s R t o io e n ­ n Item ratios, bank ratios, bank size, Ioan size, loan Q4 Q3 Q2 Ql Q4 Q3 Q2 Ql size, and size, year, 1960 1962 1964 1966 1960 1962 1964 1966 year and region Regression constant......................... 4-4.564 +4.452 +4.319 +4.934 +4.523 +4.335 +4.160 +4.812 4.896 4.881 (0.125) (0.158) (0.138) (0.123) (0.118) (0.156) (0.138) (0.124) (-071) (0.68) Regression coefficients: 1 Concentrations............................. 2+0.0074 2+0.0081 2+0.0102 2+0.0076 2+0.0056 2+0.0077 2+0.0103 2+0.0077 2+0.0084 2+0.0078 (0.0015) (0.0020) (0.0018) (0.0016) (0.0015) (0.0019) (0.0017) (0.0015) (0.0009) (0.0008) Bank size1. .................................. 2-0.0554 -0.0367 -0.0270 +0.0004 -0.0287 -0.0104 —0.0017 +0.0202 2-0.0283 -0.0079 (0.0168) (0.0200) (0.0166) (0.0145) (0.0166) (0.0205) (0.0170) (0.0152) (0.0085) (0.0085) Loan-size dummies: (thous. dol­ lars) 1-9....................................... 2+0.9807 2+0.9873 2+0.9278 2+0.7538 2+0.9807 2+0.9873 2+0.9278 2+0.7538 2+0.9118 2+0.8012 (0.0527) (0.0624) (0.0556) (0.0494) (0.0499) (0.0607) (0.0537) (0.0537) (0.0277) (0.0292) 10-99.......................................... 2+0.6127 ^+0.6129 2+0.5819 2+0.5214 2+0.6127 2+0.6129 2+0.5819 2+0.5214 2+0.5821 2+0.4715 (0.0527) (0.0624) (0.0556) (0.0494) (0.0499) (0.0607) (0.0537) (0.0483) (0.0277) (0.0292) 100-199...................................... 2+0.2681 2+0.2664 2+0.3044 2+0.3074 2+0.2681 2+0.2664 2+0.3044 2+0.3074 +0.2867 2+0.1761 (0.0527) (0.0624) (0.0556) (0.0494) (0.0499) (0.0607) (0.0537) (0.0483) (0.0277) (0.0292) 2 +0.2200 2+0.1859 2+0.1831 2+0.1366 2+0.0003 (0.0382) (0.0457) (0.0403) (0.0365) (0.0001) Year dummies: 1960....................................... 2—0.4317 2-0.4178 (0.0278) (0.0268) 1962............................................ 2-0.4575 2-0.4463 (0.0278) (0.0268) 1964............................................ 2-0.4416 2-0.4337 (0.0277) (0.0268) Coefficients of determination.......... 2 .601 2.521 2.546 2 .487 2.642 2.547 2.576 2 .509 2.596 2 .626 1 Bank size expressed in logarithms of hundreds of millions of dollars of total deposits. Nott.—-Standard errors are shown in parentheses. 2 Significant at the 5 per cent level. MARKET CONCENTRATION AND INTEREST RATES 923 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

924 FEDERAL RESERVE BULLETIN • JUNE 1967 is, the weighted average rates for each loan­ gional variable is itself significant in every size category for each bank in the sample) year, with the northern and western cities were regressed on concentration, on bank having significantly higher interest rates. size, and on the dummy variables represent­ Table 5 is presented to indicate the generally ing the loan-size categories. Part A of Table low correlation among the independent 4 thus affords an opportunity to estimate variables in these expressions. the effects of loan size as partial relation­ ships from single estimating equations. The TABLE 5 effects of concentration and bank size are MATRIX OF SIMPLE CORRELATION COEFFICIENTS, measured with the use of all data for each 1960 DATA year, with an attempt to remove loan-size Loan-size dummies Re­ effects by use of the dummies. In­ Con­ Log (in thous. of dollars) gion­ hem terest centra­ bank al Part A of Table 4 shows that concentra­ rates tion size i dum­ 1-9 10-99 100-199 my tion is significantly associated with interest rates in each of the 4 years. Bank size has In teres t rates.... i.oo .............................................................................................. Concen­ a significant (and negative) effect only in tration. . +0.22 1.00 .................................................................. Log bank 1960. Thus, the inclusion of a variable to size.... -0.17 -0.25 1.00 .......................................... Loan size: estimate the loan-size effect tends to elimi­ (thous. dols.): nate the bank-size effect. It also increases 1-9....... +0.60 0.00 0.00 1.00 .......................... 10-99.. . +0.17 0.00 0.00 -0.3 3 t .00 ...................... the explanatory power of the regressions. 100-199. -0.23 0.00 0.00 -0.3 3 -0.3 3 1,00 ......... Regional More than 50 per cent of the variance in dummy. +0.28 +0.27 - 0.33 0.00 0.00 0.00 1.00 rates is explained in all years except 1966, 1 Bank size expressed in logarithms of hundreds of millions of dollars of total deposits. and nearly 50 per cent is explained in that year. The effects of loan size on interest In a manner parallel to that used in Parts rates are what one would have expected. A and B of Table 4 to obtain the effects of Smaller loans bear significantly higher rates different loan sizes—and by the process than do larger ones. Some tendency may to remove these from other effects—factors exist for the differentials in rates among associated with differences in time can be sizes of loans to be smaller in 1966—the removed. Dummy variables for 1960, 1962, year in which money markets were the 1964, and 1966 were introduced, thus tightest—but the concentration effect re­ making possible over-all estimates of the mains highly significant. effects of concentration when all the data In Part B of Table 4 the regional variable for all years are pooled in single regres­ is added, with a regional dummy of zero sion equations. The results are shown in for 9 eastern and southern cities and of 1.00 Parts C and D of Table 4, which are identi­ for 10 northern and western cities in the cal except that Part D includes the regional Survey. The regional variable produces few variable. differences from Part A of Table 4 with The estimated concentration effect is respect to the effects of concentration and much the same in both. Each difference of loan size. Bank size is significant in none a point in concentration is associated with of the years. Slightly more variance in rates a difference of about eight-tenths of a basis is explained (after correction for degrees point in interest charges on business loans. of freedom) in each of the years. The re­ Bank size appears significantly and nega- Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

MARKET CONCENTRATION AND INTEREST RATES 925 tively associated with rates of interest in least, unreliable) estimates of concentration Part C of Table 4, but the addition of the effects. The loan-size effect, buried in the regional variable in Part D of Table 4 weighting implicit in aggregation, may get negates bank size as a significant influence. into the estimated concentration effects, with In view of the crudeness of the regional unfortunate results for the latter. When all variable, however, no clear conclusions types of loans—business loans, mortgage emerge from this. Loan sizes remain, of loans, consumer instalment loans, and so course, as important explanatory variables, forth—arc aggregated, and when all banks but the loan-size effects have smaller mag­ are aggregated to entire cities, it is unlikely nitudes in Part D than in Part C of Table 4. that the associations found between con­ But again, the crude regional variable centration and interest rates really measure makes conclusions difficult. The coefficients the concentration effect. The results in for the years indicate simply the upward Table 1, for example, just do not measure and downward shifts in interest rates be­ concentration effects. Similarly, the results tween the observation dates associated with for total loans in Parts A and B of Table 3 changes in money market conditions and are highly suspect. other factors. The regional variable in Part The second reason for the different re­ D of Table 4 is highly significant, but it sults is related closely to the first. Where has a value much smaller than that es­ data on loans made or renewed in short timated in Part B of Table 4. periods of time are collected at two or more The results shown in Part B of Table 4 points in time, and concentration effects are are considered the best estimates of con­ estimated for these time points, the results centration effects for the individual years. depend heavily on the mix of loans made Those of Part D of Table 4 are accepted or renewed in the short time periods. Thus, as the best over-all estimates. The weight if one picked a particular loan size for a of the evidence is that—with the effects of particular quarter of a year from the Survey loan size, bank size, region, and time re­ used here, different results could easily be moved—concentration is positively asso­ obtained from those of another quarter in ciated with interest rates on business loans that or other years. Parts A and B of Table charged by the banks in these 19 metro­ 3, with their mixture of results, demon­ politan areas. strate this possibility. The third problem is less easily overcome CONCLUSIONS by modifying statistical procedures. It is similar to that in the debate as to whether The primary purpose of the study has been cigarette smoking really causes lung cancer. largely fulfilled. There appear to be three Clearly, the statistical results cannot con­ reasons for the differences in results ob­ firm hypotheses of causal relationships. But tained in prior studies. The first—and through the inclusion or exclusion of par­ probably most important—is the weighting problem involved in aggregating within and ticular variables, even statistical associations among banks. Even in the relatively narrow can be made to appear or disappear. For asset category of short-term business loans, example, the addition of the regional effect aggregation over loan sizes for individual in Part D of Table 4 removes the bank-size banks easily produces spurious (or, at effect. Another pattern of regionalization— Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

926 FEDERAL RESERVE BULLETIN • JUNE 1967 and a totally justifiable one—might have —.24 with respect to bank size. Yet its in­ eliminated the concentration effect. Simi­ clusion is sufficient to drive out the bank larly, some other variables such as size of size effect. city or unemployment—or rates of change If further work is undertaken, direct in such variables—might force out the observations of rates on individual loans concentration effect. should be used in place of weighted averages. This removal does not depend on es­ In addition, relations between concentration pecially high intercorrelations among the ratios and other variables should be ex­ independent variables. In the data used for plored. Meanwhile, the conclusion remains Part D of Table 4, the regional variable that the available evidence indicates positive has a simple correlation coefficient of only concentration effects. APPENDIX TABLE Cities, Number of Reporting Banks, and Concentration Ratios Q4—1960 Q3—1962 Q2—1964 QI—1966 City and region Concen­ Concen­ Concen­ Concen­ Reporting tration Reporting tration Reporting tration Reporting tration banks ratio banks ratio banks ratio banks ratio (per cent) (per cent) (per cent) (per cent) New York City... 8 51.3 7 53.3 7 54.1 7 54.1 7 other northern and eastern cities: Boston................. 4 78.3 4 82,5 4 82.5 4 82.5 Philadelphia..... 5 63.7 5 62.0 5 63.6 5 63.6 Buffalo................. 3 91.3 3 93. 1 3 94.8 3 94.8 Cleveland............ 3 78.1 3 76.9 3 75.9 3 75,9 Pittsburgh............ 2 82.2 2 83.3 2 80.6 2 81.3 Chicago................ 6 48.1 5 52.6 5 51.9 5 51.9 Detroit................. 3 78.1 3 75.6 3 73.7 3 73.7 11 southern and western cities: Baltimore............ 2 65.4 2 72.5 2 71.5 2 71.5 Richmond............ 3 79.5 3 78.1 3 73.4 3 73.4 Atlanta................ 3 73.4 3 74.8 3 73.9 3 73.9 New Orleans... . . 4 84.8 4 80.0 4 78.7 4 78.7 St. Louis.............. 4 51.5 4 49.7 4 47,8 4 51.2 Kansas City........ 3 63.0 3 61.3 3 58.3 3 58.3 Dallas.................. 3 79.8 3 78.6 3 76.2 3 76.2 Minneapolis........ 3 60.4 3 61.6 3 59.6 3 59.6 Los Angeles........ 6 77.9 6 74.6 6 71.2 6 71.2 San Francisco.... 4 78.9 4 78.7 4 69.7 4 76.9 Seattle.................. 6 73.5 6 72.4 6 71.6 6 71.6 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

Bank Financing of Agriculture For two decades American agriculture has and also their practices and problems in made heavy demands on the institutions and meeting farm credit demands. This article individuals that finance it. During these years deals mainly with the extent of specific farm farmers obtained an additional $34 billion financing difficulties and how banks are cop­ in outstanding credit; in the process lenders ing with them. Each bank was questioned faced extraordinary technological and struc­ about the volume of farm loan requests ex­ tural changes affecting credit extension and ceeding its legal lending limit, and as to repayment. Among the many developments whether it was able to meet its total farm for which more capital was required were loan demand from its own resources. The new and larger machinery, increased use of inquiry also covered outside sources of funds fertilizer and pesticides, new livestock hous­ tapped by banks and provided detailed data ing and feeding methods, and enlargement on farm participation loans. of individual enterprises and farms. In­ This article in addition gives highlights of creases in prices of land and purchased pro­ the survey of borrower and loan characteris­ duction inputs added to capital demands. tics and points out the changes that have And, all analyses indicate that farmers will occurred since the last such survey in 1956. require increasingly large amounts of credit Further analysis of the borrower and loan as these developments progress. data is planned. Through this period commercial banks have remained the leading institutional FARM TRENDS AFFECTING RURAL BANKS lender to farmers. In so doing however, banks have been encountering problems even In every year since the end of World War beyond those involved in keeping up with II, farmers have used more credit. In Janu­ agricultural change. Many have seen the ary 1946, they owed $8 billion; by January credit demands of their best farm customers 1966 their total debt had reached $42 bil­ grow beyond their direct lending capability. lion. Their borrowings from banks rose Most banks have experienced faster growth from less than $2 billion to about $11 bil­ in loan volume than in deposits, and some lion. During the past decade, both their are now finding it difficult to satisfy increas­ total debt and their debt to banks increased ing farm credit demands. by about 125 per cent. To learn how banks are responding to Funds were borrowed mainly to modern­ these developments in farming and bank­ ize and expand individual family farms. ing, the Federal Reserve System in June Credit enabled farmers to adopt technologi­ 1966 asked a national sample of bankers to cal advances that in many cases reduced la­ describe their farm borrowers and loans, bor requirements per unit of output. This in Note.—This article was prepared by Emanuel Meli- turn allowed them to expand their enter­ char, Board of Governors of the Federal Reserve prises, with credit again often needed. Dur- System. 927 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

928 FEDERAL RESERVE BULLETIN • JUNE 1967 TABLE 1 TRENDS IN THE FARM ECONOMY Total, all farms Average per farm Percentage Percentage Item Billions of dollars increase, or Dollars increase, or decrease (—) decrease (—) 1946 1956 1966 1946-56 1956-66 1946 1956 1966 1946-56 1956-66 Total debt........................................ 8.0 18.8 41.6 135 121 1,345 4,101 12,511 205 205 Debt to banks............................... 1.5 4 7 10.6 213 126 7 259 1,015 3,187 292 2(4 Total assets........................... 103.5 169.7 255.8 64 51 17,404 37,020 76,932 113 108 Annual marketings................... 24.8 30,4 42.9 23 41 4,186 6,735 13,161 61 95 Production expenses.................... 14.5 22 4 33.2 54 48 2,447 4'957 10,190 103 106 Net income.. .*............................... 15.1 11.4 16.1 -25 41 2^543 2,535 4,942 0 95 Deposits of country banks (index, 1947-49— 100, 20 farm states)... 96 <24 206 29 66 Number of farms fmillions).......... 5.9 4.5 3.3 -24 -28 Farm population ('millions)............ 25.4 18.7 11.5 -26 -39 Note.—Debt and asset totals are as of January 1. Deposit and population data are annual averages. Based on U.S. Department of Agriculture data. ing the last decade, average annual market­ reflected that period’s small gain in farm ings, annual production expenses, and assets business rather than the 213 per cent in­ per farm all doubled; debt per farm, how­ crease in farm loans. ever, tripled during the same period. Banks were able to handle this prolonged But as the number of farm units was disparity between deposit growth and credit sharply reduced, the aggregate farm econ­ demands by selling investments—primarily omy expanded at a much slower pace. Total U.S. Government securities—that they had gross sales and net income, for instance, accumulated during World War II when de­ each rose by only 41 per cent between 1956 posit growth far exceeded credit demands. and 1966. Farm production expenses in­ But as these investment reserves were ex­ creased by just 48 per cent, total assets of hausted, some rural banks experienced diffi­ farmers by 51 per cent. And, as is well culty in meeting further increases in farm known, the farm population decreased sub­ credit requests. The Survey sought to de­ stantially. velop additional information about the ex­ For banks in rural communities, these tent of this problem and how banks were aggregate farm business factors govern the responding to it. volume of checking deposits maintained and A second problem for banks in rural com­ the amount of new savings accumulated. munities resulted from the remarkable in­ Growth of rural banking resources therefore crease in size of individual farms. In many more closely reflected the trends in farm areas, a significant proportion of farms grew business than in farm credit. For example, much faster than the banks by which they the Department of Agriculture index of were being financed. The credit requests of country bank deposits increased by just 66 these farmers on average rose at an even per cent during the past decade, only half faster pace. For instance, the Survey showed as much as the relative rise in bank loans that the number of farmers borrowing $25,­ to farmers. During the decade before, this 000 or more from a bank in June 1966 was index had risen by only 29 per cent and 450 per cent greater than the number using Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

BANK FINANCING OF AGRICULTURE 929 that much credit 10 years earlier. As the size investment on the nation’s farms will likely of farms continued to grow, many banks exceed the annual amount of farmers’ sav­ received farm loan requests that exceeded the ings and will be financed by continued rapid amount that they could legally or comfort­ expansion of farm debt. Expansion in rural ably grant to an individual from their own economic activity and banking resources resources. The Survey sought to measure will probably lag behind the rise in farm the current extent of this problem and the credit demands. Thus the farm financing degree of success that banks were having in problems covered by the 1966 Survey will servicing these requests by using outside almost certainly face banks for some time sources of additional funds, such as cor­ to come and could become more severe. respondent banks or insurance companies. These problems are now being or will OVERLINE LOAN REQUESTS be faced mainly by banks that are quite de­ About one bank in seven reported that it pendent on the farm economy, but a large received overline requests for farm loans proportion of the nation’s banks are involved (requests that exceeded its legal lending —surprisingly large when one considers limit) during the 12 months ending in June that farm loans represent only 5 per cent of total outstanding bank loans. In June 1966 1966. The breakdown of responses was as follows: fully 44 per cent of all commercial banks had one-fourth or more of their outstanding Had overline requests .... 14% No overline requests........ 81% Ioan volume in loans to farmers. This 44 No response........................ 5 % per cent, referred to herein as agricultural Legal lending limits fix the maximum out­ or farm banks, receive special attention in standing credit that a bank may extend to this study. However, a substantial number an individual and are intended to avoid of banks were even more heavily involved with the farm economy; for instance, 22 per serious financial difficulty should one bor­ rower default. For national banks, the legal cent of all banks had more than half of their limit for most loans is 10 per cent of the loans in agriculture. bank’s capital and surplus, except that loans The trends in capital investment in agri­ secured by cattle may go to 15 per cent. culture that are now creating problems for banks in rural areas are expected to continue. Laws governing banks chartered by State governments generally impose similar limits, More capital will be needed for adoption of though they vary among States. present and future technological advances It was expected, therefore, that the pro­ and for additional farm enlargement. Farm­ portion of banks with overline requests ers will make these investments in order to would be strongly correlated with size of maintain or increase their incomes. National bank, especially if size is measured by capital policy encourages these adjustments which, and surplus. Table 2 indicates that about by allowing the nation’s food and fiber needs one-fourth of all banks with capital and to be met by a smaller proportion of its surplus below $300,000 received overline productive resources, contribute significantly requests during the year, whereas very few to improvement in the national level of liv­ banks with capital and surplus above $500,­ ing. 000 did. As during the last decade, annual capital Though a significant proportion of banks Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

930 FEDERAL RESERVE BULLETIN • JUNE 1967 were involved, the total number and amount TABLE 3 of overline requests represented but a small DISTRIBUTION OF OVERLINE REQUESTS BY SIZE OF BANKS, 1965-66 part of the total farm Ioan business. A rough measure of the relative importance of over­ line requests is obtained by comparing the S (c iz a e p i o ta f l b a a n n d k o B v a e n rl k in s e r e r c e e q i u v e in s g ts Requests A r m eq o u u e n s t t s of surplus in volume received during the year with the thousands Mil­ volume of farm loans outstanding at the of dollars) N b u e m r ­ P o e f r t o c t e a n l t N b u e m r ­ P o e f r t o c t e a n l t l d io o n ll s a r o s f P o e f r t o c t e a n l t end of the year. For all banks, the number All banks....... 1,895 100 11,748 100 330 100 of overline requests was 0.3 per cent of Under 100,. ., 185 10 848 7 10 3 100-199......... 639 34 4,065 35 60 18 the number of loans outstanding, and their 200-299.......... 585 31 3,728 32 88 27 300-499......... 341 18 2,582 22 96 29 amount equaled 3 per cent of the outstand­ 500-999......... 104 5 '322 3 29 9 1,000-1,999. 24 1 80 I 11 3 ing farm loans. (The overline amounts 2,000 and over. 17 1 123 I 36 11 cited herein are the full amount of the re­ quests, not just the portion over the legal in terms of the total farm business at some limit.) banks in all size groups. At about one-fifth of the banks with overline requests, the At banks with overline requests, the num­ reported dollar volume during the 12-month ber of requests was also relatively small, period exceeded 20 per cent of farm loans but the dollar amounts were more significant. outstanding at the bank. Even at the small banks in this group the The dollar amount of the few overline number of such requests averaged just 2.7 requests at large banks represented a sizable per cent of the loans outstanding; the dollar proportion of the national total. Table 3 amount, however, represented 14 per cent shows, for instance, that all banks with of the outstanding loan amount. At the capital and surplus of over $500,000 re­ large banks with overline requests the rel­ ceived only about 500 such requests during ative number was even lower, but the the 12 months covered by the Survey, but amount also represented about 15 per cent the amount of these requests was estimated of the banks’ outstanding farm loan volume. at $76 million, or about one-fourth of the The overline requests were quite substantial national total. Another one-fourth of the overline requests was received by banks with TABLE 2 capital and surplus between $300,000 and RELATIONSHIP OF OVERLINE REQUESTS TO SIZE $500,000. Thus even the larger banks are OF BANKS, 1965-66 encountering significant requests above their legal lending limits. Overline requests as a percentage of Size of bank Percentage farm loans outstanding on June 30,1966 A common way in which banks meet over­ (capital and of all banks surplus in with line requests is by calling upon another bank o th f o d u o s l a la n r d s s ) r o e v q e u rl e i s n t e s At s b u a c n h k r s e q re u c e e s i t v s ing At all banks to provide the amount above the legal limit. Number Amount Number Amount This procedure is examined later in the All banks....... 14 1.9 15 .3 3 section on participation loans. Under 100.... 27 2.7 14 1.2 6 100-199........... 25 2.7 1 3 8 4 200-299........... 24 1.9 15 .6 5 300-499........... 13 1.8 18 .3 4 FARM FINANCING DIFFICULTY 500-999........... 4 .7 14 i 1,000-1,999.... 2 .4 IS 1 2,000 and over. 1 .5 16 * 1 Banks were asked whether, during the year ending in June 1966, they had had difficulty * Less than .05 per cent. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

BANK FINANCING OF AGRICULTURE 931 TABLE 4 no banks with loan-deposit ratios below 30 RELATIONSHIP OF FARM FINANCING DIFFICULTY per cent reported difficulty. The proportion TO LIQUIDITY OF BANKS, 1965-66 with difficulty remained below 6 per cent even among banks with loan-deposit ratios Banks reporting greater Banks reporting difficulty difficulty than earlier as Liquidity of as percentage of— percentage of— in the 50 to 60 per cent range but averaged bank (loan­ deposit ratio, 15 per cent at banks with ratios of 60 per per cent) ba A n U k s b F a a n r k m s B o a v n e k r s l i w ne it h ba A n l k l s b F a a n r k m s B o a v n e k r s l i w ne it h cent or higher. About one-fourth of the agri­ requests requests cultural banks with loan-deposit ratios as All banks..... 8 12 31 5 7 16 high as 60 per cent experienced difficulty. Under 30... 0 0 0 0 0 0 4 3 0 0 - -3 4 9 9 . . . . . . . . . . . . . . . . . . . 2 5 6 3 2 1 7 0 0 3 0 5 27 0 Some of the banks that reported difficulty 50-59.......... 4 8 24 2 3 8 60-69 ......... 14 23 42 8 13 25 in financing may have been thinking of their 70 and over. 17 31 53 12 24 25 overline loan requests, because about onethird of the banks with such requests also in obtaining funds from their own resources reported financing difficulty. The banks with for meeting the financial requirements of both problems held only 6 per cent of all their regular farm customers. They an­ farm loans but accounted for 39 per cent swered as follows: of the overline requests. At these banks, the Yes ............................ 8% sum of the overline requests received during No............... ........... 86% the year equaled 19 per cent of the farm No response............... 5% loans outstanding on June 30, compared to The banks that had difficulty during that 13 per cent at other banks with overline year were also asked to indicate how the requests. But even among the banks with difficulty compared with experience in other overline requests, the proportion that re­ recent years. Most thought the 1965-66 ported financing difficulty was low at banks difficulty was the same or greater: with low loan-deposit ratios, and rose Greater ................... 59% markedly for those with higher ratios. Thus Same ........................ 32% pressure of loan demand on total resources Less ............................. 2% appeared the overriding factor behind fi­ No response............. 7% nancing difficulty. On the whole, banks with farm financing The correlation between loan-deposit difficulty had above-average volume of farm ratio and farm financing difficulty was so loans—they financed 11 per cent of all farm borrowers and provided 13 per cent TABLE 5 of all bank credit outstanding to farmers. DISTRIBUTION OF FARM FINANCING DIFFICULTY BY LIQUIDITY OF BANKS, 1965-66 About two-thirds of the 1,100 banks re­ porting difficulty were agricultural banks; All banks AH banks with Farm banks with greater difficulty thus about 12 per cent of agricultural banks Liquidity of difficulty than earlier bank (loan­ experienced difficulty. The degree of dif­ deposit ratio, per cent) Number Per cent Number Per cent Number Per cent ficulty had increased at 7 per cent of all of total oftotal oftotal agricultural banks. All banks.... 6,019 100 1,118 too 660 100 The proportion of banks with farm fi­ Under 30.. 312 5 0 0 0 0 30-39........ 720 12 23 2 0 0 nancing difficulty was closely related to 40-49........ 1,396 23 Hl 10 75 It 50-59........ 1,779 30 166 15 58 9 liquidity as measured by the ratio of net 60-69........ 1,231 20 466 42 285 43 70 and over 581 10 352 31 242 37 loans to net deposits. Table 4 indicates that Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

932 FEDERAL RESERVE BULLETIN • JUNE 1967 pronounced, in fact, that three-fourths of relatively more active in financing farmers the banks reporting difficulty had ratios of may manage to increase their share of that 60 per cent or more, even though less than total, but the national supply of funds for one-third of the agricultural banks were farm financing is not likely to be increased loaned-up to this extent. Banks reporting significantly in this way. greater financing difficulty than earlier were The increase in demand deposits as busi­ even more concentrated in the high loan­ ness activity expands is being largely offset deposit ratio group. In the absence of new as individuals and businesses learn to con­ measures to cope with the disparity between duct their transactions on proportionately loan and deposit growth, more rural banks smaller checking balances. Funds not needed can be expected to experience future farm for immediate spending are being placed financing difficulty. where they will earn interest or dividends. Partly for this reason, savings and time deposits have exhibited considerable aggre­ DEPOSIT GROWTH gate growth in recent years. In seeking these The Survey examined ways in which banks accounts, banks can compete with other with overline or liquidity problems in financ­ banks and savings institutions by altering, ing some of their farm customers can meet within prescribed limits, the rate of interest these demands for credit. One means is to offered. On the day of the Survey, about oneexpand their own lending capability by at­ half of all banks were paying the legal maxi­ tracting more deposits and, if appropriate, mum rate of interest on savings deposits— increasing their capital and surplus. 4 per cent. The legal maximum on time de­ In studying individual bank actions to posits was 5.5 per cent, but just 6 per cent increase deposits, demand or checking de­ of all banks reported that this was their posits must be treated separately from sav­ most common rate. More than half of all ings and time deposits. The different factors banks, however, were paying at least 4.5 that affect the growth of these two types of per cent on these deposits. deposits have recently led to much slower Before examining whether banks with increases in demand deposits than in the farm financing problems were among those other types. Furthermore, the interest rates offering the higher rates, it is appropriate offered provide a convenient and important to ask whether savers in the areas they served measure of the degree to which a bank is had reasonably convenient access to other actively seeking time and savings deposits, banks or savings institutions. Direct evidence but no similarly useful measure is available on this was beyond the scope of the Survey, for judging its promotion of demand de­ but it did provide some indications that a posits. majority of farmers can choose among two At any given time, the amount of demand or more local savings institutions. deposits in any economic area is largely Each banking office surveyed was asked determined by the nature and volume of to indicate the type and number of compet­ business activity in that area. Competition ing savings institutions located within the for these funds may, in time, alter their dis­ radius of the area from which that office tribution among the banks, but is not likely obtained 75 per cent of its direct farm loan to change the area total. Banks that are business—a radius that was thought to define Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

BANK FINANCING OF AGRICULTURE 933 TABLE 6 or both) was associated with an approxi­ FARM BORROWERS BY PROBABLE ACCESS TO mately equal tendency to offer higher rates. ADDITIONAL SAVINGS INSTITUTIONS AND BY Though most agricultural banks had com­ RATES PAID ON SAVINGS, JUNE 30, 1966 petitors for the savings deposits of their Competing institutions located in primary communities, they tended to pay lower rates farm service area of banking office than other banks—perhaps partly because AU At least- Both banks an- rural savers are not yet as rate-conscious No other other bank or One other bank as are dwellers in urban money centers. Only S&L One other One bank and bank S&L or S&L S&L one-third of the agricultural banks were pay­ ing the maximum 4 per cent on savings de­ Number of farm borrowers posits. Furthermore, those agricultural banks Thousands of borrowers.. 1,975 234 1,673 1,252 1,742 1,183 with farm financing difficulty during the pre­ Per cent of total...... 100 12 85 63 88 60 vious 12 months did not offer higher rates than other agricultural banks—as Table 7 Percentage distribution of farm borrowers indicates, the proportions of banks paying Interest rate various rates were much the same in the paid (per cent): two groups. Also, banks that had greater 3 U . n 0 d - e 3 r . 4 3 . . . 0 . . . , 2 1 4 0 3 1 3 5 21 9 20 7 22 9 18 7 farm financing difficulty in 1965-66 than 3.5-3.9.... 13 12 13 13 13 13 4.0............. 53 40 55 60 55 61 in other recent years did not offer higher Not report­ ed...... 0 1 1 rates than did banks whose farm financing AU rates....... 100 100 100 100 100 difficulty had not increased. About twofifths of the banks in each group paid less than 3.5 per cent on savings, and fewer than the primary farm service area of that office. one-half were offering the maximum rate. Table 6 shows that 88 per cent of all farm Banks with farm financing difficulty ap­ borrowers obtained their loans from offices peared more likely to offer nationally com­ that had a savings and loan association or petitive rates on time deposits. With rural another bank within this area. It is reason­ residents increasingly exposed to publicity able to believe that roughly the same pro­ and advertisements of alternative returns portion of farmer-depositors patronized available on such deposits both within and banking offices with this degree of competi­ outside their communities, these banks may tion for savings. have found a competitive policy necessary The presence of other institutions was to to attract funds generated in their service some extent associated with payment of areas. Three-fourths of these banks paid at higher rates on savings deposits. Among least 4.5 per cent as their most common farmers using banking offices that lacked rate on time deposits, compared to 58 per competition for savings, 49 per cent dealt cent of the banks with no difficulty. The same with banks that paid less than 3.5 per cent. proportions were found among agricultural But when savings and loan associations were banks with and without financing difficulty, available also, only 26 per cent were found as shown in Table 7. dealing with banks paying rates that low. As the distributions in Table 6 indicate, the OUTSIDE SOURCES OF FUNDS presence of any kind of competition (whether As another way of obtaining additional another bank, savings and loan association, financing for their farm customers, banks Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

934 FEDERAL RESERVE BULLETIN • JUNE 1967 often work with other banks, and sometimes for receiving them, banks maintain demand also with other lending institutions. The deposit balances with their correspondent Survey found that one-third of all banks banks. Through profitable employment of made such use of outside sources in the 12 these balances, the correspondent banks are months prior to June 30, 1966. These banks compensated for the services they provide. were financing 38 per cent of all farm bor­ Correspondent banks usually become a rowers and supplying 42 per cent of out­ source of additional financing for a bank’s standing farm credit on that date. customers by being invited to participate in Most of the additional funds secured dur­ making certain loans. A bank that receives ing this period came from three sources— an overline loan request often handles it by correspondent banks, insurance companies, asking a correspondent, usually a larger and agricultural credit corporations. Cor­ bank, to lend the amount that exceeds the respondent banks were used by one-fourth legal limit. Or, a bank may invite other of all banks, while 7 per cent worked with banks to participate in certain loans and insurance companies and 4 per cent with thereby share the risk. Finally, a bank that is agricultural credit corporations (Table 8). Correspondent banks. Nearly all banks almost fully loaned might arrange partici­ have established working relationships with pations in order to meet additional credit one or more other banks—which then are requests. The last use, however, is restricted known as its correspondents—to obtain or by the fact that some participating banks exchange services such as check clearing, want the bank originating the loan to in­ security transactions, and investment advice. crease its demand balance by some fraction To facilitate these services, and in exchange of the amount of the participation—a prac- TABLE 7 PERCENTAGE DISTRIBUTION OF BANKS AND FARM LOAN BUSINESS BY INTEREST RATES PAID ON DEPOSITS, JUNE 30, 1966 All banks with farm Farm banks financing difficulty, Farm loan business 1965-66 at all banks Type of deposit and interest rate paid (per cent) With farm With financing greater Amount of Total difficulty, Total difficulty Borrowers outs lo ta a n n d s ing 1965-66 than earlier Total............................................................... 100 100 100 100 100 100 Savings: Under 3.0................................................ 18 17 ’ 12 13 10 7 3.0-3.4.......................................................... 33 31 25 27 24 22 3.5-3.9.......................................................... 13 15 15 16 13 12 4 N . o 0 t . .. r . e .. p .. o .. r .. t . e .. d .. . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 34 2 3 o 6 4 o 7 4 0 4 53 1 58 I Time: Under 4.0................................................... 10 8 6 10 6 4 4.0-4.4..................................................... 32 17 19 12 31 25 4.S-4.9.......................................................... 51 64 58 58 52 50 5.0-5.5........................................................ 6 10 17 20 10 20 Not reported............................................... * * 2 1 Savings under 4.0 and time under 4.5.......... 30 20 16 16 21 16 Savings at 4,0 and time at 4.5 or more........ 23 30 39 38 36 45 * Less than .5 per cent. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

BANK FINANCING OF AGRICULTURE 935 TABLE 8 make the loan and later sell it to the in­ OUTSIDE SOURCES OF FUNDS USED BY BANKS, surance company. 1965-66 Banks with above-average farm business Percentage of banks working with specified outside volume were more likely to work with in­ sources to obtain additional financing for farm customers surance companies; the 7 per cent of banks in this activity supplied 13 per cent of total Banks with Banks with Outside sources used ba A n l k l s fin f a a n rm cin g r o e v q e u rl e i s n t e s bank credit to farmers. Two-thirds of the difficulty banks using insurance companies also Any source.......................... 32 79 88 worked with correspondent banks to get ad­ Correspondent banks.......... 25 64 75 ditional farm financing during the survey Insurance companies....... 7 29 24 Agricultural credit corpora­ period. tions............................. 4 14 11 Other, or not reported........ 3 9 7 Agricultural credit corporations. A few Correspondent banks and — Insurance companies... 5 23 19 banks with problems in meeting the credit Agricultural credit corpo­ rations................... 2 10 8 demands of their farm customers have or­ All three specified sources.. I 6 2 ganized agricultural credit corporations that add to the available farm lending capability. tice that partly nullifies the purpose of secur­ The agricultural credit corporation often ing the participation and also makes it an has the same officers as the bank and is expensive way to obtain additional funds. housed in the same building. It obtains Banks that worked with correspondent funds to lend from private investors or by banks during the 12-month survey period in discounting its loans at the Federal inter­ 1965-66 supplied 33 per cent of all out­ mediate credit banks (FICB’s), which also standing bank credit to farmers. Only one­ finance production credit associations. The fourth of these banks also used nonbank FICB’s in turn secure funds by selling sources of additional financing during the securities in the national money market. survey period. Because of the relative im­ Banks working with agricultural credit portance of correspondent participations in corporations during the survey period sup­ the additional financing picture, the Survey plied 5 per cent of total bank credit to farm­ secured much detailed information on the ers on the date of the Survey. Over one-half banks, borrowers, and loans involved. These of these banks also reported working with data are reported in the section on participa­ correspondent banks to secure additional tion loans. farm financing during the survey period. Insurance companies. Additional financ­ The number of banks that reported work­ ing obtained by working with insurance ing with agricultural credit corporations— companies very likely consisted of loans 4 per cent of all banks—is rather large in secured by mortgages on farm real estate. comparison with the very small number of Some banks reporting such outside assist­ such institutions in existence. Perhaps some ance may simply have referred a mortgage bankers that reported such activity had actu­ loan customer to an insurance company. ally worked with or directed prospective However, many banks have agreements with borrowers to Federal land banks, produc­ insurance companies under which the bank tion credit associations, the Farmers Home may originate the loan application, or may Administration, or other lending institutions Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

936 FEDERAL RESERVE BULLETIN • JUNE 1967 TABLE 9 1965-66 also were more likely than other TRENDS IN VOLUME OF OUTSIDE FINANCING banks to have in that year increased the Percentage of banks reporting specified change in volume of funds thus obtained for their farm volume of outside funds obtained for farm cus­ tomers during 1965-66 as compared with other customers. Whereas one-third of all banks recent years using outside sources secured an increased volume during the survey period, 58 per Bank grouping Total Increase ch N an o g e Decrease cent of the banks with farm financing dif­ All banks............................... 100 II 23 5 ficulty were able to do so. Of the banks with Banks working with out­ greater farm financing difficulty during side sources, 1965-66.... 100 34 57 7 1965-66 than in other recent years, a still Banks obtaining 75 per cent or more of out­ higher proportion—73 per cent—obtained side funds from— C In o s r u r r e a s n p c o e n c d o en m t p b a a n n ie k s s . . . . . . . . 1 1 0 0 0 0 3 1 7 8 5 8 5 2 8 * an increased volume of funds (Table 9). In Agricultural credit cor­ porations ............... 100 27 57 13 some measure, therefore, outside sources Banks with farm financing were responsive to the relative degree of difficulty, 1965-66: All................................. 100 58 37 5 need. The Survey did not ascertain whether With greater difficulty than earlier............. 100 73 21 6 the banks with greater difficulty but with the same or smaller volume of additional * Less than .5 per cent. financing had attempted to secure more out­ that were not separately listed on the sur­ side funds. vey questionnaire. In general, most banks that obtained out­ Meeting farm finance problems. One side financing for their farm customers might expect banks with farm financing either maintained or expanded the volume problems to make greater use of outside obtained regardless of their primary source. sources than other banks, and the Survey Of the banks that obtained three-fourths or found that this was indeed true. Table 8 more of their additional funds from one shows that outside sources were used by 79 source, the proportion achieving increased per cent of the banks with farm financing volume in 1965-66 ranged from 18 per cent difficulty and by 88 per cent of the banks among those working with insurance com­ that had received overline loan requests panies to 37 per cent among those using during the period. About two-thirds of the correspondent banks. Only 8 per cent of banks with these difficulties used corres­ those relying upon correspondent banks re­ pondent banks, about one-fourth used in­ ported a decrease in the volume of funds surance companies, and over one-tenth used obtained, and some of these banks may have agricultural credit corporations. Many used had less need for outside funds. On the both correspondent banks and one of the whole, the Survey indicates that the supply other sources; some even used all three. of correspondent funds channeled into farm Still, 38 per cent of the banks with financ­ financing increased in spite of tightening ing difficulty and 50 per cent of those with bank credit conditions during 1965-66, overline requests relied solely upon corres­ though, of course, even greater growth pondent banks for outside funds, whereas might have been possible under easier mone­ very few banks worked only with insurance tary conditions. companies or agricultural credit corpora­ tions. PARTICIPATION LOANS Banks with farm financing difficulty in The banking fraternity in recent years has Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

BANK FINANCING OF AGRICULTURE 937 focused much attention on participations in TABLE 10 farm loans as a means by which funds can FARM PARTICIPATION LENDING, 1956 AND 1966 flow from large urban banks to smaller rural Percentage banks. It has not been clear, however, Item 1956 1966 increase, 1956-66 whether sufficient funds can be transmitted in this way to alleviate significantly the farm Participation loans outstanding in millions of dollars: financing problems of agricultural banks. T C o or t r a e l s .. p .. o .. n .. d ... e . n ... t . s . ’ . . s .. h ... a .. r . e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 4 0 3 5 3 7 0 4 4 6 6 1 0 8 7 One important limiting factor is the inef­ Participation loans as per cent of total farm loan volume; ficiency inherent in appraising the bank­ Total............................................. 1.6 4.9 210 Correspondents’ share................. .9 2.6 206 ability of distant farm loans. Also, some Number of banks: correspondents have traditionally viewed Originating participation loans.., 800 2,503 213 Participating in loans.................... 400 1,120 180 farm participations more as a relatively onerous service rather than as a profitable loans. The correspondents’ share, which lending opportunity, and have required represents the additional funds supplied, compensating balances that partially offset totaled $304 million, or 2.6 per cent of total the flow of funds provided to rural areas. farm lending by banks. Urban banks have had less liquidity in re­ Participation loan growth during 1956­ cent years, undoubtedly reducing their in­ 66 could be calculated because the volume terest in additional lending opportunities. of such loans had been covered by the On the other hand, some factors have been Federal Reserve System’s farm loan Survey conducive to expansion of participations. of 1956. Comparison of these data shows The efficiency of the process has been im­ only the long-term trend, but other survey proved by increases in the size of farm loan evidence indicates that rapid growth has requests and by the improved ability of continued in recent years. In November farmers and country bankers to provide bal­ 1963 the volume of farm non-real-estate ance sheet and cash flow data in support of participation loans was estimated at $325 their applications. Some correspondent atti­ million. Though not strictly comparable in tudes have been changed by employment of season or coverage, this figure tends to in­ agriculturally trained personnel to handle dicate that participation lending expanded this business, as well as through the educa­ about as rapidly during 1963-66 as earlier tional efforts of interested banker organiza­ in the decade. tions. Keen competition for correspondent The estimated increase in the number of accounts undoubtedly has also fostered banks involved in farm participations is just some response to increased needs of agri­ as impressive as the growth in volume. Be­ cultural banks for funds. tween 1956 and 1966, the number of banks Survey data indicate that participation that on June 30 held outstanding participa­ lending has grown very rapidly but still re­ tion loans they had originated rose from mains rather limited in national importance. 800 to 2,500, and by 1966 represented 18 Farm loans in which two or more banks were per cent of all banks. The number of banks participating increased sevenfold from 1956 participating in loans originated by others to 1966—an annual growth rate of 22 per showed similar growth, increasing from 400 cent. But the total volume, at $574 million, to 1,120. The November 1963 survey was just reaching 5 per cent of total farm tends to indicate significant recent expan- Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

938 FEDERAL RESERVE BULLETIN • JUNE 1967 sion in the number of banks originating par­ TABLE 11 ticipation loans, as the 1963 estimate was PERCENTAGE OF BANKS HOLDING PARTICIPATION LOANS THEY ORIGINATED, JUNE 30, 1966 910. However, many of the banks holding Banks with farm participations that they had originated q o u v e e s r t U s n a e n d re — ­ O ba t n h k e s r were obtaining relatively small amounts of with Re­ Class All No farm main­ banks Farm finan­ ing o ad n d e- it h i a o l n f a l o f f u t n h d e s s e i n b a th n i k s s , m t a h n e n e t r o . t a A l t a a m lm ou o n s t t f f d i c a n i i f r n a f m g n i­ ­ f d i c n i i f n a f g n i­ ­ c d c u i i f n l f t g i y ­ banks of the loans, counting the shares of both culty culty banks, was under $100,000. These repre­ All classes.............. 18 51 sented 29 per cent of the national number Capital and surplus (thousands of dollars): of participation loans, but only 11 per cent Under 100. .. .............. 31 40 35 0 29 100-199......................... 32 53 62 63 22 of the national volume. At the other ex­ 200-299....................... 22 43 32 43 15 300-499................ 20 59 55 55 12 treme, the same percentage of the national 500-999......................... 10 74 71 31 6 1,000-1,999................... 7 48 12 6 volume was also accounted for by the top 2,000 and over............ 5 100 18 3 five banks in participation volume, each of Loan-deposit ratio (per cent): which had originated more than $5 million Under 30...................... 20 93 0 30-39............................ 11 35 0 6 of such outstanding loans. There were 56 40-49............................ 17 33 91 17 15 50-59............................ 15 46 48 21 10 banks at which total outstanding participa­ 60-69.......................... 22 53 34 35 15 70 and over.................. 25 77 60 52 14 tion loans exceeded $1 million, and these loans represented 7 per cent of the national surplus of $1 million or more, as shown in number and 27 per cent of the national Table 11. volume. There was much less difference between At some of the banks originating partici­ large and small banks, however, in the rel­ pations, these Ioans added substantially to ative importance of these participation their farm lending. At 600 banks their loans in their total farm business. At the volume equaled at least one-fourth that of large banks, these loans constituted about 3 the outstanding farm loans. For all 2,500 to 4 per cent of such business, while at banks, the participation loans were equal to small banks they had about double this rel­ 20 per cent of the nonparticipation farm ative magnitude (Table 12). The Survey loans outstanding. indicated much greater importance at the Banks originating participations. The Sur­ very small banks, but because these banks vey provided much new information on the were sampled at a low rate, data for the kind of banks that originated participations group may have been unusually affected by and on the extent to which this mechanism sampling variability. was being employed by banks with farm A significant proportion of total partici­ financing problems. pation volume was found to have been Small banks were far more likely than originated by large banks, somewhat con­ large banks to have originated participation trary to the general impression of the farm Ioans. Proportions of banks holding such participation mechanism. For instance, 23 loans ranged from one-third of the banks per cent of the total outstanding volume with capital and surplus below $200,000 to was originated by banks with capital and about 6 per cent of banks with capital and surplus under $200,000. But a slightly Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

BANK FINANCING OF AGRICULTURE 939 larger proportion—28 per cent—was origi­ Survey, as the maturity of participation nated by banks with capital and surplus of loans is commonly less than 12 months. $ 1 million or more. Thus banks with overline requests but no Of the banks with overline requests for participation loans on June 30 may never­ farm loans in 1965-66, one-half held out­ theless have handled them through partici­ standing farm participation loans at the end pations. On the other hand, some partici­ of the period. The outstanding participa­ pation loans outstanding in June 1966 were tions of $202 million compared with over­ originated more than a year before that line request volume of $221 million at these date. banks during the preceding 12 months. Participation loans represented a tenth The high degree of association between of the outstanding farm loan business at presence of overline loan requests and out­ the banks with overline requests, about standing participations is strong evidence double the proportion found at all banks. that a substantial proportion of overline As shown in Table 12, their relative im­ requests were handled in this fashion. How­ portance tended to be greater at the larger ever, the Survey did not yield direct informa­ banks. This re-emphasizes that a few large tion on the disposition of overline requests, banks had a significant overline problem and the indirect evidence does not allow pre­ and tends to indicate that it was resolved cise quantification in this area. In particular, through participations. many overline requests met through parti­ As noted previously, some of the banks cipation loans during 1965-66 were with overline requests reported farm fi­ undoubtedly repaid prior to the date of the nancing difficulty, whereas others did not. The participation data shed no further light TABLE 12 on this difference. About one-half of the FARM PARTICIPATION LOANS ORIGINATED1 AS banks in each group had outstanding par­ PERCENTAGE OF TOTAL FARM LOANS, JUNE 30, 1966 ticipation loans, and in each case these loans comprised about one-tenth of the farm busi­ Banks with q o u v e e s r t l s i n a e n d re — ­ • Other ness. banks with Re­ Banks reporting farm financing difficulty Class AH No farm main­ banks farm Farm finan­ ing but not overline requests also made about financ­ financ­ cing banks d i i n ff g i ­ d i i n ff g i ­ c d u if l f t i y ­ as much relative use of participation loans culty culty as the banks with the overline requests. The proportion of these banks that held partici­ All classes 5 9 11 Capital and surplus pation loans was somewhat lower, 38 per (thousands of dollars): cent, but the relative importance of these Under 100.................... 24 6 6 0 34 100-199............... 7 9 5 28 4 200-299......................... 5 6 5 19 3 loans in their originated farm business was 300-499......................... 6 9 20 10 3 500-999......................... 3 11 18 7 2 somewhat greater—13 per cent for the 1,000-1,999................... 3 4 30 9 2 2,000 and over............. 4 17 20 13 2 entire group. The smaller banks in this Loan-deposit ratio group were found much more likely than (per cent): Under 30...................... 5 20 0 the larger banks to have originated partici­ 30-39............................. 2 3 0 1 4 50 0 - - 5 4 9 9 . . .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 3 7 2 1 11 5 4 1 4 2 pation loans, suggesting that fewer of the 60-49.................... 5 9 7 9 4 70 and over. ................ 8 16 17 17 2 latter found participations a suitable solu­ tion to their farm financing problems. Most 1 Including correspondents’ share. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

940 FEDERAL RESERVE BULLETIN • JUNE 1967 TABLE 13 capital and surplus below $500,000 (Table DISTRIBUTION OF OUTSTANDING PARTICIPATION 14). LOANS, BY ORIGINATING BANK, JUNE 30, 1966 These smaller banks, however, provided Percentage distribution of total participation volume only one-fifth of the outstanding funds Banks with advanced through participations. Threeoverline re­ quests and—■ O ba t n h k e s r fourths of the outstanding participations with Re­ Class AH No farm main­ were obtained from banks with capital and banks f f d i c a n i i f r n a f m g n i­ ­ f F d c in i a i f n a r f g m n i­ ­ f c d c in u i i f n a l f t g i n y ­ ­ ba in n g k s s c u o r m p p lu r s is e o d v e a r $ l 1 a rg m e i r l li p o a n r . t P o a f r t t i h ci e p a t t o i t o a n l s f a a l r s m o culty culty loan business at large banks. Capital and surplus Large banks, including those providing (thousands of dollars): All classes................... 22 20 45 the bulk of participation funds, generally Under 100.................. 7 0 7 tend to have the higher loan-deposit ratios. 100-199......................... 16 5 1 4 6 200-299......................... 15 4 2 3 6 It was estimated that 83 per cent of partici­ 300-499......................... 22 6 5 1 10 500-999................. 12 2 3 2 5 pation funds came from banks with loan- 1,000-1,999................... 7 1 I 2 4 2,000 and over............. 2t 5 1 8 7 Loan-deposit ratio TABLE 14 (per cent): All classes..................... 22 13 20 45 SIZE AND LIQUIDITY OF BANKS PARTICIPATING IN FARM LOANS, JUNE 30, 1966 Under 30..................... 2 0 30-39............................ I 0 ............ I 40^9............................ 1 1 * 10 Size of bank Liquidity of bank 5 6 0 0 - - 5 6 9 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 5 3 3 5 * 17 8 (capital and (loan-deposit ratio, per cent) 70 and over................. 9 6 15 8 th s o u u rp sa lu n s d s in o f All banks dollars) Under 40 40-59 60 and over * Less than .5 per cent. Participating banks (percentage distribution) of these banks had loan-deposit ratios above 100 18 36 46 60 per cent. Under 200............ 28 13 7 7 Among the 11,100 banks with neither 200-499................ 34 5 17 12 500-999................ 7 2 4 overline requests for farm loans nor farm 1,000 and over... 32 0 10 22 financing difficulty, only 12 per cent had Participation volume (percentage distribution) outstanding farm participation loans they AU banks........... too 3 14 83 had originated. However, these banks ac­ Under 200............ 9 2 2 4 counted for nearly one-half of the total 200-499............... 12 1 4 7 500-999................ 4 2 2 participation volume. Smaller banks in the 1,000 and over. .. 75 0 5 70 group were much more likely than larger Participating banks as percentage of all banks in group banks to have originated participation A1I banks................. 8 11 6 9 loans, and also had a larger proportion of Under 200........... 10 19 5 9 their farm portfolio in such loans. But 200-499............... 7 7 8 7 500-999................ 3 3 2 5 over-all, participations comprised just 3 per 1,000 and over... 12 0 10 14 cent of the farm business of this group. Participation volume as percentage of farm loans at all banks Participating banks. Rather unexpectedly, about the same proportion of small as of All banks............... 3 1 1 4 large banks were participating in farm Ioans Under 200............ 2 3 1 3 200-499............... 2 500-999................ * 1 I originated by other banks. Three-fifths of 1,000 and over... 6 0 2 7 the banks participating in farm loans had * Less than .5 per cent Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

BANK FINANCING OF AGRICULTURE 941 deposit ratios of 60 per cent or higher. As tribution by purpose and maturity. A cross­ further evidence of loan pressure on the re­ classification of participation volume by sources of participating banks, 27 per cent these characteristics is given in Table 15. of the participation funds were extended by About 53 per cent of the volume of out­ banks that reported difficulty in financing standing participation loans had been bor­ their own farm customers. Most of these rowed to purchase livestock—30 per cent banks also reported that such difficulty had for feeder livestock alone. Among all farm increased over that of previous years. This loans, only one-fourth had been obtained situation would seem to have been detri­ for purchase of livestock. mental to rapid expansion of participation Participation lending for other major lending, but nonetheless, as noted above, purposes was proportionally smaller than many banks reported an increase in funds among all farm loans. Other current ex­ obtained from correspondents. penses accounted for another large segment The pressure on lending resources of —22 per cent—of participation lending, participating banks may partially explain compared with 28 per cent among all farm why so many of them—38 per cent—had loans. Loans for purchase of farm real also originated farm participation loans that estate represented 11 per cent of participa­ were outstanding on June 30, 1966. Of tion loans, 15 per cent of all loans. But the these banks, 42 per cent had received over­ big difference was in loans for purchase of line requests during the preceding year, and machinery and equipment, which repre­ 24 per cent had experienced farm financing sented 15 per cent of all farm loans but difficulty. Perhaps some had also arranged only 2 per cent of participation loans. for reciprocal participations in each other’s Participation loans for purchase of live­ overline requests. In all, the participating stock and for other current expenses—ac­ banks had originated 32 per cent of the counting for three-fourths of the total— participation loan volume outstanding on nearly all matured in 1 year or less. the survey date. In addition, half of the loans for purchase Loan characteristics. The most striking of farm real estate had that maturity; they feature of participation loans was their size. TABLE 15 The average outstanding amount, including PURPOSE AND MATURITY OF PARTICIPATIONS IN the shares of participating banks, was esti­ FARM LOANS, JUNE 30, 1966 mated at $70,000, whereas on a national Percentage distribution of total participation volume average the outstanding debt per farm bor­ Maturity (months) rower from banks was $5,900. Sixty-two per Major purpose Total cent of the volume of participations was in Demand 1-7 8-13 14-42 43 o v a e n r d, outstanding notes of $100,000 or more; only All loans................ 100.0 5.3 52.4 26.8 5.2 10.2 11 per cent of total farm loan volume was Purchase livestock: owed by borrowers with debts that large; Feeder................ 30.2 1.1 19.7 8.8 .6 Other................. 22.4 .5 17.7 4.0 .2 Other current ex­ and only 1 per cent of participation volume pense ...... 21.6 1.7 9.3 8.7 1.7 .2 Purchase equip­ was in notes with less than $ 10,000 outstand­ ment........ 2.1 .1 .4 .4 .7 .7 Buy farm real es­ ing. tate.......... 10.7 .5 4.3 1.5 1.4 2.9 Improve land and buildings. 5.9 .2 .1 .8 4.9 Other than in size, participation loans Consolidate debts.. 3.8 .1 .6 2.2 1.0 Other..................... 3.1 1.0 .4 1.1 .6 differed from other farm loans in their dis­ Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

942 FEDERAL RESERVE BULLETIN ■ JUNE 1967 probably provided interim credit until the 65 per cent at 6.0-6.9; 16 per cent at 7.0­ borrower could secure long-term financing. 7.9; and 1 per cent at 8.0 or higher. Participation lending thus had a short-term Borrower characteristics. The relatively flavor, but longer-term loans were not large size of the farming operations of bor­ unheard of—about 10 per cent of the out­ rowers whose loans were handled through standing volume had maturities greater than participations was quantified by several sur­ 3 years, including most of the loans that vey statistics. For instance, 75 per cent of financed improvements in land and build­ the borrowers, holding 92 per cent of the ings. outstanding debt, had assets over $100,000; Participation loan arrangements com­ only 13 per cent of all farm borrowers monly included plans for renewal, and 39 owned as many assets. Even more strik­ per cent of the outstanding volume was ingly, 20 per cent of the participation bor­ renewed under agreements made when the rowers, with half of the participation debt, credit was first extended. For these Ioans, had assets over $500,000, whereas only 1 per cent of all farm borrowers were in this the maturities cited above cover only the class. period since renewal; thus effective maturi­ Net worth data told a similar story. More ties were somewhat longer than indicated than half of the participation borrowers had by the maturity data of the Survey. In addi­ net worth over $100,000, compared to 9 tion, 6 per cent of the outstanding partici­ per cent of all farm borrowers. One-third pation loan volume consisted of unplanned had net worth over $200,000, a financial renewals and 2 per cent was overdue more standing attained by only 3 per cent of all than 3 days at the time of the Survey. These farm borrowers. Gross farm output of par­ proportions were the same as among all ticipation borrowers was also large—threefarm loans. fourths of them annually produced at least Chattel mortgages secured 70 per cent $40,000 of farm products, compared with of the participation volume, and real estate 28 per cent of all farm borrowers. mortgages an additional 14 per cent; such Corporations and partnerships appeared security probably facilitated acceptance of much more often among participation bor­ participations by correspondents. Only 11 rowers than among farm borrowers gener­ per cent was unsecured, compared to 21 ally. Corporations represented 5 per cent of per cent among all farm loans. participation borrowers and accounted for Single-payment notes predominated, but 18 per cent of the participation loan volume. 15 per cent of the loan volume—primarily Seven per cent of the borrowers were part­ in real estate—was in instalments. For nerships, with 8 per cent of the volume. most loans interest was being charged on Owner-operators predominated among the the outstanding balance only, and the aver­ remaining participation borrowers, with full age effective rate for all participation loans tenants comprising only 6 per cent of the was 6.3 per cent. This rate includes adjust­ total. ment for compensating balances, which Geographically, participation borrowers were required on 1 loan in 20. The distri­ were logically found most often in regions bution of loan volume by effective interest where farms were large—particularly where rate was as follows: 18 per cent at 5.0-5.9; farms were large in relation to the banks at Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

BANK FINANCING OF AGRICULTURE 943 which farmers sought financing. Table 16 On the other hand, in one-fifth of the cases shows that participation loans had greatest the two banks were more than 200 miles relative importance in the Northern Plains apart. States—Kansas, Nebraska, and the Dakotas —and in the Mountain States. Over half of HIGHLIGHTS OF BORROWER SURVEY all participation lending originated in these On June 30, 1966, the nation’s insured com­ States. Overline requests also occurred with mercial banks were lending $11.7 billion to above-average frequency in these areas char­ 1,975,000 farm borrowers, an average of acterized by extensive cattle ranches, feed­ $5,900 per borrower. The number of bor­ lots, and wheat farms—and by unit rather rowers had decreased by 13 per cent since than branch banking. the last farm loan survey in 1956—but with over-all farm numbers down 28 per cent, TABLE 16 the proportion of the nation’s farmers REGIONAL RELATIONSHIP BETWEEN OVERLINE REQUESTS AND PARTICIPATION LENDING1 financed by banks had increased during the decade. Outstanding debt rose by 132 per Overfine Total partici­ Overfine Total partici­ requests pation loans requests pation loans cent over the same period. (See Table 17 originated originated Region on page 944.) Percentage of total farm loan volume outstanding, Percentage distribution Substantial upward shifts were exhibited June 1966 in farming operations and financial standing Total..................... 5 100 100 of borrowers, as well as in their debts. For Northeast......... 3 2 4 instance, the number of farmers with net Lake States.... 2 11 4 Corn Belt......... 2 16 11 worth below $10,000 decreased by 62 per Northern Plains 14 33 39 Appalachian... 1 5 2 cent while the number with net worth above Southeast......... 5 3 5 Delta States.... 4 4 4 Southern Plains. 5 13 10 $100,000 tripled. A similar shift occurred Mountain......... 9 12 17 Pacific.,....... 2 4 in the debt distribution; the number of bor­ rowers with less than $500 in outstanding * Less than .5 per cent. 1 Overline requests measured as volume received from July 1965 to bank debt was reduced by 58 per cent, June 1966. Participation loans measured as volume outstanding on June 30, 1966. whereas the number with debt of $100,000 In most cases, participation borrowers or more rose by 451 per cent. were conveniently located to the originating Other changes in the structure of agricul­ bank, which is likely why they sought credit ture were also reflected in the data on bor­ accommodation there. Half of the participa­ rowers from banks. The number of borrow­ tion borrowers lived within 10 miles of the ers operating meat animal farms was up 59 originating bank and 83 per cent within 25 per cent, the number on cash grain farms miles. In many cases, however, the partici­ was unchanged, and the number operating pating bank was not greatly removed from dairy, poultry, cotton, and general farms all the originating bank and could conceivably decreased by more than one-fourth. The have served the borrower directly without number of tenant and landlord borrowers excessive inconvenience. For one-fourth of decreased sharply; part-time farmer borrow­ the participation borrowers, the participat­ ers rose by 63 per cent and reached one­ ing bank was located within 25 miles of the fourth of all farm borrowers; corporation originating bank; for one-half of the bor­ borrowers also increased sharply from 1956, rowers, this distance was under 50 miles. but still totaled only 6,000. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

944 FEDERAL RESERVE BULLETIN • JUNE 1967 TABLE 17 FARM BORROWERS AT COMMERCIAL BANKS, JUNE 30, 1966 Borrowers Total outstanding debt to banks Percentage increase or decrease (—) 1956 to 1966 Classification Debt to banks Per cent Millions Per cent Average per Thousands of of of borrower Borrowers Average total dollars total (dollars) Total per borrower All borrowers.................................................. 1,975 100.0 11,711 100.0 5,928 -13 132 166 Debt to reporting bank (dollars): Under 500...................................................... 335 16.9 87 3 259 —58 54 500-999.......................................................... 277 14.0 192 1.6 691 —33 — 34 1,000-1,999.................................................. . 330 16.7 456 3.9 1 384 — 21 22 2/100-4,999.................................................... 459 23.2 1,445 123 3 148 12 14 5'000-9'999.................................................... 279 14.1 1 943 16.6 6 963 80 84 10,000-24,999............................................. 217 11.0 3,247 27,7 14 945 234 244 2 50 5 ’ , 0 0 0 0 0 0 - - 9 4 9 9 ' 3 9 9 9 9 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 18 6 2. . 8 9 1 1 ,8 1 8 7 6 3 1 1 6 0 , . 1 0 3 6 3 6 ,1 5 6 5 9 8 \ 452 453 2 1 5 0 0 0 , 0 0 0 0 0 0 - a 2 n 4 d 9 , o 9 v 9 e 9 r .. . . . . .. , .. . .. , .. . . , .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . 3 , 1 * 7 5 7 1 0 2 4 6. . 5 4 6 1 1 4 7 6, , 7 1 7 7 1 6 451 659 Assets (dollars): Under 5 000....................................... 82 4 2 49 4 594 5,000-9,999.................................................... 125 63 152 1,223 n.a. 10,000-24,999.............................................. 414 20.9 976 83 2,361 n a. 25 000-49399................................................ 437 22.1 I 852 15.8 4 238 n.a. 5o’dod-99399............................................... 358 18.1 2 406 20.5 6329 n.a. 100,000-199399............................................ 165 8.4 2 017 17.2 12310 n.a. 200 000-499 999 ... 75 3 8 I 663 14 7 22 106 500,000 and over........................................ 24 i ^2 1 *712 143 71 * 962 Not reported................................................. 296 15 0 882 7.5 2381 n.a. Net worth (dollars): 5 U ,0 n 0 d 0 er - 9 5 ,9 ,0 9 0 9 0 .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .... 2 1 1 7 2 6 1 8 0 9 7 2 5 5 13 2 2 4 . . 2 4 2 1, ’ 4 4 1 2 5 0 | — 62 -23 103 10 000-24,999............................................... 497 25.2 1 854 15.8 3,729 -28 30 80 2 50 5 ’0 00 0 0 0 - - 9 4 9 9 3 9 9 9 9 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 24 8 1 9 1 19 2 7 2 2 2 *0 1 9 5 5 5 1 1 8 7 9 4 5 8 *6 5 8 4 1 4 ) 67 166 59 2 1 0 6 0 0 , , 0 6 0 6 0 0 - a 1 n 9 d 9 3 o 9 v 9 e . r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ....... 1 6 07 0 5 3. . 1 4 2 1 * 3 5 9 7 9 6 2 1 0 3 .5 5 3 1 9 4 * * 7 7 3 6 9 9 204 337 44 Not reported. 293 14.8 *867 7.4 2,957 155 660 198 Annual farm sales (dollars): Under 5,000................................................. 474 24.0 922 7.9 1 944 n.a. n a. 5 000-9 999 .................................................. 503 25 5 1 653 14.1 3*284 16,000-19,999................................................ 465 23 3 2344 23.4 5 *900 n.a. n.a. 20'000-39399... ........................................... 203 103 2377 19.4 11,192 n.a. n a 40,000 and over................................. 99 5.0 3,296 28.1 33,359 n.a. Not reported................................... 230 It,7 818 7.0 3,550 n.a. n.a. n.a. Type of farm: Meat animal........................................... 338 17.1 3,238 273 9 573 59 232 108 Dairy............................................................ 221 11.2 1 284 11.0 5 821 — 33 74 160 Poultry........................................ 25 1 3 187 1 6 7 324 —25 99 165 Cash grain............................................... 252 12.8 1,442 12 3 5’722 3 149 143 Cotton...................................................... 93 4.7 530 4.5 5,724 -50 53 204 Tobacco.............................. 105 53 216 1.8 2'058 Fruit....................................................... 2 2 0 2 1 1. . 1 0 2 3 5 0 1 3 2 2. . 1 6 1 1 5 1 3 ,4 9 3 7 4 149 149 Other major product................................... 29 1.5 296 2.5 10,149 General............................ 713 36.1 3,388 28.9 4353 -28 89 161 Not reported................................................ 1 58 8.0 576 4.9 3,651 60 494 273 Tenure: Full owner. ................................................. 1,119 56.6 7,236 61.8 6,468 I -8 147 168 Part owner..................................... 266 13,4 2,129 18.2 8 018 Tenant.......................................................... 335 17 0 1,307 11.2 3,897 -38 80 189 Landlord........................................................ 86 4.4 '492 4.2 5,697 -30 35 193 Not reported................................................. 169 8.6 548 4.7 3,233 75 483 235 Line of credit established with borrower: Yes................................................................. 244 123 3,343 28.5 13,712 n.a. n.a. n.a. No................................................................. 1,732 87.7 8 368 71.5 4'833 n.a. n.a. n.a. Repayment problems: Has overdue note........................................ 52 2.6 n.a. n.a. n.a. n.a. n.a. n.a. Has renewed note, because of low income. 85 43 518 4.4 6,105 n.a. n.a. n.a. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

BANK FINANCING OF AGRICULTURE 945 TABLE 17 FARM BORROWERS AT COMMERCIAL BANKS, JUNE 30, 1966—Continued Percentage increase, or decrease ( —) Borrowers Total outstanding debt to banks 1956 to 1966 Classification Debt to banks Per cent Millions Per cent Average per Thousands of of of borrower Borrowers Average total dollars total (dollars) Total per borrower Status; I P n a d r i t v n i e d r u sh al i . p .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . 1,95 2 0 0 98 1 . . 7 0 10,5 5 3 7 0 5 8 4 9 . . 9 9 2 5 9 , , 4 2 0 9 1 5 } -13 123 157 Corporation.................................................. 6 .3 606 5.2 99,477 335 779 104 Age (individuals only): Under 30.................................... 114 5.8 501 4.3 4,400 } -23 111 175 30-34.......................................................... 181 9.2 938 8.0 5,176 35-44............................................................. 463 23.5 2,781 23.7 6,000 -35 77 172 45-54............................................................. 571 28.9 3,393 29.0 5,946 55-64............................................................ 354 17.9 1,845 15.8 5,207 1 “2 121 126 65 and over................................................... 113 5.7 527 4.5 4,684 Not reported................................................. 154 7.8 544 4.6 3,545 41 350 219 Part-time farmer status (individuals only): Part-time farmer......................................... 483 24.5 i,867 15.9 3,864 63 226 100 N N o o t t p re a p rt o - r ti t m ed e . . f .. a .. r . m .... e .. r . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,2 1 6 9 8 8 6 1 4 0 . . 2 0 7,9 6 6 9 8 5 6 5 8 . . 9 0 6 3, , 5 2 0 8 9 2 } -26 97 164 n.a. Not available. Note.—The 1956-66 percentage changes shown are affected by the following*considerations in the classifications specified: (1) Tenure—cor­ poration borrowers were excluded from the comparison; and (2) age and part-time farmer status—partnerships were included in 1956, and ex­ cluded in 1966. TABLE 18 FARM LOANS AT COMMERCIAL BANKS, JUNE 30, 1966 Percentage increase, Number of loans Amount outstanding or decrease (—) Average Average 1956 to 1966 Classification original effective size interest Per cent Millions Per cent (dollars) rate Number Amount Thousands of of of (per cent) of out­ total dollars total loans standing All loans......................................... 3,491 100.0 11,711 100.0 3,915 6.7 -1 132 Purpose: Current expenses............................. 1,684 48.3 5,188 44.3 3,443 6.6 — 1 173 Feeder livestock.................................. 247 7.1 1^821 15.6 8,269 6.3 85 267 Other operating expenses.......... 1 252 35.9 3 239 27.7 2,883 6.7 } —s 140 Family living............................................ 186 5.3 128 1.1 ’794 7.1 (ntermed>^te-term investment..................... 1,366 39.1 3,776 32.2 3,307 7.1 3 124 Other livestock....................................... 284 8.1 1,242 10.6 4,’9O3 6.8 22 178 Machinery and equipment............. 749 21.5 1 ’713 14.6 2'796 7.3 4 119 Improve land and buildings..................... 118 3 4 ’567 4.8 5,855 6.4 -23 78 A O u th to er m c o o b n i s le u s m ... e .. r . . d .. u .. r .. a .. b .. l . e .. . g .. o ... o .. d .. s .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 4 75 0 5 1 . . 0 2 23 2 3 1 2 . . 2 0 1 ^ 7 77 0 1 4 9 8 . . 0 7 J 0 84 Ruy farm real estate..................................... 223 6.4 1,786 15.2 9,958 6.2 ' 3 102 Consolidate or pay other debts............ 102 2.9 ’537 4.6 6,040 6.7 -33 55 O N t o h t e r r e . p ... o .. r . t .. e .. d .. .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . ...... U4 1 3.3 * 422 2 3.6 * 4 4 , , 4 4 2 7 2 8 6 5 . . 4 4 } ~17 82 Security: Comaker or endorser................................ 224 6.4 387 3.3 1,982 6.7 -34 49 Secured by collateral. ................................. 2,161 61.9 8,820 75.3 4,847 6.8 4 140 Chattel mortgage....................................... 1,713 49.1 5'942 50.7 4,035 7.0 6 173 Farm real estate.................................. 343 9.8 2,369 20.2 8,725 6.3 -11 82 Government guaranteed or insured........ 22 .6 177 1.5 8,584 5.3 -27 134 Other.......................................................... 83 2.4 331 2.8 4,546 6.3 79 168 None.. .......................................................... 1,104 31.6 2,497 21.3 2,484 6.4 0 125 Not reported................................................. ’ 2 .1 ' 7 .1 3,990 6.8 34 552 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

946 FEDERAL RESERVE BULLETIN • JUNE 1967 TABLE 18 FARM LOANS AT COMMERCIAL BANKS, JUNE 30, 1966—Continued Percentage increase, Number of loans Amount outstanding or decrease (—) Average Average 1956 to 1966 Classification original effective size interest Per cent Millions Per cent (dollars) rate Number Amount Thousands of of of (per cent) of out­ total dollars total loans standing Original size (dollars): Under 250................................................... 331 9.5 47 4 152 7 4 — 59 -55 250-499.......................................................... 378 10.8 122 1 0 350 7 4 —40 — 39 500-999.......................................................... 585 16.8 354 3.0 664 7*3 18 -20 1,000-1,999.................................................... 705 20.2 834 7.1 1,330 72 15 17 2’000-4’999.................................................... 824 23.6 2 135 18.2 2 996 7 1 57 60 5’000-9 999.................................................... 374 10.7 2*161 18 5 6 696 6*7 126 134 10,000-24 999................................................ 224 6 4 2 787 23 8 14*364 6 5 229 242 2 50 5 ^ ^ 0 0 0 0 0 0 - - 9 4 9 9 ’ , 9 9 9 9 9 9. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 1 0 5 1 . . 4 4 1 * 8 3 1 85 2 1 6 1 .9 8 3 6 2 5 ^ ,2 6 5 0 7 8 6 6 .4 4 | 421 428 2 1 5 0 0 0 , , 0 0 0 0 0 0 - a 2 n 4 d 9 , o 9 v 9 e 9 r .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . 5 | * 4 6 7 0 5 0 4 5 '1 1 5 1 6 4 5 1 , , 4 1 0 2 3 3 6 6 ? 3 593 921 Maturity: Demand........................................................ 204 5 8 863 7 4 5 031 6 4 1 116 [—4 months.................................................. 402 115 900 77 2*433 6 5 — 35 68 5—7 months.................................................. 1 047 30 0 2 879 24*6 2*955 6 5 11 109 8—10 months................................................ 350 10 0 1116 9 5 3*562 6 8 -4 132 (1—13 months............................................... 704 20'2 2*806 24 0 4 485 6*7 43 248 14—29 months......................................... 346 9'9 647 5^5 2*474 77 14 52 3 years.......................................................... 198 5 7 550 4 7 3*858 8* 1 142 226 4—5 years........................................................ 97 2 8 516 4 6 7,413 6 8 18 83 6—10 years................................................... 90 2 6 706 6.0 10 737 6* 3 1 67 11—15 years................................................ 30 .9 320 2.7 13,934 6 2 134 357 14 .4 251 2 1 20 968 6 1 135 844 2 3 1 1 — y 3 e 0 a r y s e a a r n s d .. .. o .. v .. e .. r .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 6 *2 11 7 3 s 1 ' . 0 2 1 1 4 9 * 6 2 4 8 4 0 4 5 '9 8 | 64 220 Method of repayment and interest charge: Single-payment............................................. 2 609 74 7 8 343 71 2 3,545 6 5 — 1 (40 Instalment.................................................... 882 25 3 3*368 28 8 5,008 7 1 1 115 On outstanding balance.......... 527 15 1 2 825 24 1 6 957 6* 3 2 116 A D d is d c - o o u n n .. t . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . .. . . . . . . . . . . . . . . . . . . . . . . . . . .. . ........ 2 9 6 1 4 7 2 * 6 6 *3 1 9 4 5 8 3 1 .3 4 2 2 ^ ; 0 2 7 4 5 8 1 1 1 2 * .6 0 J -4 105 Effective interest rate (per cent): Under 5 0.................................................... 15 65 6 5 736 4 2 -81 -86 5.0-5.9.......................................................... 1 13 32 1 100 9.4 11,587 5 4 — 61 -12 6.0-6.9............................................................ 1,608 46 1 6 765 57 8 4 906 6 2 2 202 7 8 0 0 - - 7 8 . . 9 9 . . . . . . . . . . . . . . . . . . . . . .. . .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 4 1 75 0 2 13 6 ' 6 1 2* * 4 8 1 4 7 8 2 7 0 .6 2 2 2 0 9 0 9 2 6 8 7 1 1 ) 24 297 9.0-9.9........................................................... si i 7 98 8 2,196 9 4 38 162 10.0-10,9.................................................... 75 2'2 105 .9 1 688 10 3 -53 '7 11.0-11,9........................................................ 104 3 0 140 1 2 1,932 11 6 298 849 12,0-12.9..................................................... 29 '8 43 .4 1,980 12 4 82 — 55 1 15 3 . . 0 0 - a 1 n 4 d .9 o .. v ... e .. r . . .. .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . . 5 4 2 8 1 1 .5 4 6 63 8 . .5 6 1 L , 6 9 9 85 2 1 1 3 7, . 3 8 J 58 281 Origin of purchased note: Merchant or dealer...................................... 403 11 5 544 4.6 1.771 8 3 Bank............................................. 8 2 104 9 13,900 6 I Insurance company.............................. 9 3 3 ’346 66 Farmers Home Administration............ 11 .3 148 1.3 14,222 5.0 n a Other............................................................ 11 3 25 .2 4,328 6 5 Not purchased............................................... 3,048 87* 3 10 884 92 9 4,144 6. 6 n,a Not reported................................................ ♦ * 2 * 5,531 6.2 n.a. n.a. Renewal status of note: Note already renewed................................... 875 25 1 3 668 31 3 4 734 6.6 [ { 105 Renewal planned...................................... 671 192 3*009 25.7 5 ,043 6.6 2 133 Renewal not planned................................ 204 5 8 659 5.6 3’716 6.8 -37 33 Due to low income.............................. 108 3’1 317 2.7 3,335 7.0 Due to other causes............................. 96 2 8 342 2.9 4 J 44 6.7 Not renewed................................................. 2,614 74 9 8,030 68.6 3,637 6.7 ' 3 147 Not reported..............................,................ * 13 . 1 12,417 7.7 — 63 248 Repayment status of note: Overdue............................................... 59 I 7 192 1 6 4 428 6 6 — 21 59 Not overdue................................................. 3,432 98*3 11,519 98.4 3,906 6.7 ’ -1 134 ♦ Figure insignificant, n.a. Not available. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

BANK FINANCING OF AGRICULTURE 947 HIGHLIGHTS OF LOAN SURVEY Some standardization and lengthening of The nation’s banks had 3.5 million farm loan maturities appear to have occurred loans outstanding on June 30, 1966—an since 1956. Volume of loans with maturities average of 1.8 loans per farm borrower. The of 1 year, 3 years, and more than 10 years average outstanding amount per loan was increased faster than volume with other $3,355; the average original size had been maturities. $3,915. ” ~ Volume of instalment loans did not in­ With total outstanding debt up 132 per crease by quite as much as that of single­ cent since 1956, gains were posted in loans payment loans. For much of the instalment for all major purposes, though the relative loan volume, including most of the real amounts of increase showed considerable estate Ioans, interest charges were levied on variation. The largest increases occurred in the outstanding balance only. On the re­ livestock loans, particularly for purchase of mainder, comprising 4.7 per cent of total feeder livestock, while debts for purchase of farm loan volume, effective interest rates farm real estate and consumer durable averaged 11.4 per cent, almost double the goods exhibited smaller gains than the over­ average effective rate of 6.4 per cent on all all average. other farm loans. A larger proportion of total loan volume Relative importance of renewals had was secured by chattel mortgages than in dropped somewhat from 1956, and the pro­ 1956, probably reflecting the increase in portion in unplanned renewals was down livestock loans. Less of the debt was secured sharply. The relative amount of overdue by endorsements, perhaps a result of the notes, at 1.6 per cent of the total, was also decrease in tenant borrowers. lower than in 1956. APPENDIX The 1966 Survey of farm loans at com­ stitutional farm lending in 1966, the Farm mercial banks was conducted by the Federal Credit Administration surveyed outstanding Reserve System on June 30, 1966, under loans at production credit associations and the general direction of its Committee on Federal land banks, and the U.S. Depart­ Agriculture. Similar surveys were last made ment of Agriculture surveyed outstanding in June 1947 and 1956. Results of these farm loans at insurance companies and ob­ were published in the Federal Reserve tained data on new borrowers at the Farm­ Bulletins of October and December 1947, ers Home Administration. These agencies November 1956, and January, February, will publish the results of these related and March 1957. surveys. Survey results for each Federal Reserve Sampling information. For survey pur­ district are being published by the Federal poses, all insured commercial banks in the Reserve Banks. Copies of these regional nation were stratified by Federal Reserve dis­ analyses may be obtained by writing directly trict, then by State, and finally into nine to the Reserve Banks. strata based on the volume of farm loans out­ To provide a comprehensive view of in­ standing at the bank in June 1965. In each Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

948 FEDERAL RESERVE BULLETIN • JUNE 1967 area, the sample of banks included all banks sample. Responses were obtained from with $3 million or more of farm loans out­ 1,607 or 95 per cent. The splendid coopera­ standing and progressively smaller propor­ tion of this overwhelming majority of bank­ tions of banks with smaller amounts of farm ers who were surveyed made a vital con­ loans. In District 12 additional stratification tribution to the accuracy and validity of the based on farm loan volume was employed data. The support given to the Survey by in subsampling branch offices of banks with The American Bankers Association and the 20 or more offices. Federal Deposit Insurance Corporation is Sampling of farm loans at banks in the also gratefully acknowledged. sample was guided by study of variance of The responding banks comprised 12 per farm borrower debts reported in the 1956 cent of the nation’s commercial banks, but Survey. The goal of the sampling plan was accounted for 39 per cent of the national to secure reports on the number of farm farm loan volume. These banks reported de­ borrowers in each district required to tailed information on 88,000 loans out­ achieve the following sampling accuracy: standing to 47,000 farm borrowers. The that for a group of borrowers comprising sample loans totaled $1.2 billion, or 11 per 10 per cent of all borrowers in the district, cent of national outstanding farm loan vol­ the sample estimate of average debt per ume. It is estimated that the sample included borrower would have a standard error of 10 74 per cent of the total debt of borrowers per cent; that is, that the sampling proce­ owing $100,000 or more and 3 per cent of dure provide chances of 2 out of 3 that the the debt of other borrowers. sample estimate would fall within 10 per Sample loans classified as farm loans on cent of the true average, and chances of 95 the June 30, 1966 report of condition were out of 100 that it would fall within 20 per expanded to equal the total dollar volume cent of the true average. To the estimated of such loans reported by all insured banks number of sample banks and borrowers on that date. The expansion factor thus cal­ needed to achieve this standard in each dis­ culated for loans in each stratum was also trict, a margin of 10 per cent was added to applied to other sample loans outstanding to compensate for anticipated nonresponse. farm borrowers. Because the Survey covered Banks in the sample were requested to re­ all loans to farm borrowers regardless of port on all notes of each farm borrower who report of condition classification (except owed a total of $100,000 or more, and in loans for financing nonfarm business enter­ addition on all notes of each farm borrower prises or investments), Survey estimates of whose last name fell within an alphabetic farm loan volume are somewhat greater segment assigned to the bank. Unit banks than the farm loan totals shown in reports and subsampled offices of branch banks in of condition for the same areas. District 12 were asked to extend or limit the Questionnaires. Survey questionnaires alphabetic segment in order to report on at were formulated by the Federal Reserve least 20 and no more than 50 borrowers. System’s Committee on Agriculture, which No similar limitation on work involved in is composed of agricultural economists and reporting could be devised for branch banks others on the research staffs of the Federal generally. Reserve Banks and the Board of Governors. A total of 1,688 banks was selected in the The Committee received generous assist- Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

BANK FINANCING OF AGRICULTURE 949 ance from the staffs of the Agricultural and 951) was submitted by each bank par­ Finance Branch of the U.S. Department of ticipating in the Survey. In addition, each Agriculture, of the Farm Credit Adminis­ of the 1,148 branch offices reporting on tration, and of The American Bankers As­ farm borrowers responded to questions 8 sociation. through 10, on a supplement to this form. A general questions form and a work­ The worksheet form (see pages 952 and sheet form were employed. The general 953) was used for reporting of detailed in­ questions form (reproduced on pages 950 formation on each farm borrower and loan. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

950 FEDERAL RESERVE BULLETIN • JUNE 1967 FR 132a (Revised) NAME OF BANK Form Approved Budget Bureau No* 55-6602 Approval Expires 8-15-66 CITY STATE confidential AGRICULTURAL LOAN SURVEY June 30, 1966 General Questions Each bank is requested to complete one copy of this General Questions Form. IN THE CASE OF BRANCH SYSTEMS, QUESTIONS 1 THROUGH 7 ARE TO BE ANSWERED BY THE HEADQUARTERS OFFICE REFLECTING INFORMATION FOR ENTIRE BANK, AND QUESTIONS 8 THROUGH 10 ARE TO BE ANSWERED BY EACH OFFICE (HEADQUARTERS AND BRANCHES) PARTICIPATING IN THE SURVEY. (SUPPLEMENTAL SHEETS ARE PROVIDED FOR EACH BRANCH OFFICE PARTICIPATING.) 1, What is the most common rate of interest your bonk is paying on: a, Regular savings deposits% b. Other time deposits,......% 2. a. During the past year, has your bank experienced difficulty in obtaining funds from your resources for meeting the financial requirements of your regular farm customers? Yes,_____ No-------------- (check one) b, )f answer to 2o is “yes.* was the difficulty that you experienced during the past year (less than) (about the same as^_— ) (greater than ..,.— ) the difficulty you experienced in other recent years? (check one) 3. Estimate the number and dollar amount of acceptable farm loans your bank was unable to grant from its own resources during the past year because the loan request exceeded your bank’s legal limit on a loan to an individual. If none, check None; Otherwise indicate approximate Number of loans ---------------------- Amount ............ $ -----_______----— 4, a. Has your bank worked with outside sources during the past year to obtain additional financing for your farm customers? (Include participation loans.) Yes———— No---------------- (check one) b. If answer to 4a is "yes,* estimate the percent of total outside funds that was obtained from each of the following sources: Percent Correspondent banks........................................................... Insurance companies....................«................. ................ Agricultural credit corporations................. ................ Other (specify )_--------------------------—---— ------------ Total................................................ 100% c, Was the dollar volume of outside funds obtained for financing your bank’s farm customers (less than) (about the same as——. ) (greater than ——— ) in other recent years? (check one) (OVER) Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

BANK FINANCING OF AGRICULTURE 951 5. Please give the current number and the approximate amount of outstanding farm loans in which your bank is participating with other banks as follows: (Where the answer is None, fill In *0*.) o. Participation loans originated by your bank: Total number of loans........................................................ ................................ Total dollar amount now outstanding, including correspondent participations............. $ _ . - _,-----„_,_,_ _,_ Dollar amount hold by your bank......................... $_____- _ b. Participation loans originated by other banks; Total number of loans............................ ,............— . . - - - Dollar amount held by your bank................................... $ - _ . , 6. a. Does your bank have a trust department? Yes - No. _L—, - _,m (check one) b. If "yes,"estimate the total amount of farm mortgages or deeds of trust on farmland held in trust accounts June 30, 1966. Enter “0" if None. $_________________ 7. a. Does your bonk service (i.e., collect principal and interest) form loans secured by farm mortgages or deeds of trust now owned by lenders other than your institution or its trust deportment? No (check one) b. If “yes,"estimate the aggregate amount of such mortgages or deeds of trust on farmland that you were servicing June 30, 1966, Enter “0" if None. $__________________ 8. Estimate the approximate radius of the area from which about 75% of your bank's total direct farm loan business is obtained. 9. How many other lending institutions are located within the radius indicated in question 8? (Check appropriate space for each type of institution.) None One Two to More than Five Five Commercial and savings banks Savings and loan associations Production Credit Associations (main offices or branches) Federal Land Bank Associations All other (such os credit unions, finance companies, etc.) 10. The following information would help us to assess the statistical reliability of estimates based on this sample survey. Please answer only if the data are readily available, or if you can make a close estimate. a. Number of farm loans held on June 30, 1966; loons. b. Number of form borrowers as of June 30, 1966:______________ borrowers. Completed by. Name Title Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

952 FEDERAL RESERVE BULLETIN • JUNE 1967 AGRICULTURAL LOAN Farm loan questions 6 7 8 9 12 13 14 15 O a I S m n r it i s o g e t u r i 4 u n n o t c a f t l i n o o n t * o A e u m t ( s o s t u e 5 a n e n t d­ r m ( d l D e m a a n a a s y o d t e t / e n e w t a h e o n , d r d - m w a D ( i ‘ • f m ' n d e r i a d d i f o n e t t e e n e t m y I m t n o e d h a a r s a , u n n t r e d a d - d ' l - a ’ ­ y M r m e e o p t e h f a n o y t d ­ In to t e b r ( o e M c r s h r t c e o e t h c w c h a h k o e r a d r g o r e g n o e e f ) N C W o p h u a e Y i c r c e k t h * h a is e c s If e o n n d d t Y e o ? e r t e e s , c I I f f h I e s N Y c o e t k h , s , i “ s N a l o o ' o p n a ? rticipation (or amt. ing June serial loan from check if renewal c ( 3 o e 0 m n , t i 1 s t 9 ) 66 g p la a iv s y t e m e d n a t t e J N in* ans b b o y a ri n g y k i o n u o a r r t ed a o st m u a t n o ­ u d n in t g ■8 e a d d ) d i b ti e o f n o re is due) tn p pa a t r i t n ic g i ­ a b t a n o k t h o e r r * 2 o t d o ( i o f i r o m s n c i d i n o t e t u o d e f n r u t e c s ­ t x £ 8 i £ “ s 8 ° st N ba o nks 8 Yes 6 b ( c o a e m n n k t it s s ) 6 1 cents) 8 1 22-29 sa-«9 w too too 3—io-uc. 5-lo-U 6 0 1 5> hl IQooa 1,006 a-*S-G3 2-15-73 0 * * 1,2a 1,160 3-lo *46 3-IO-C8 5^2 0 5 3 K lo.aoo 10,000 H-I-CS 3-1-it lol O,o°° 3 INSTRUCTIONS Column 12. If note was purchased, enter the appropriate Columns I & 2, Follow directions in the Worksheet code to indicate from whom purchased. Reporting Procedure on the reverse side of this form. Code Note Purchased From? 1 Correspondent bank. Column 3. Enter the Report of Condition item under which 2 Other bank. this loan was reported in Schedule A of the June Report of 3 Insurance company. Condition. (See "Extract From Report of Condition* on 4 Farmers Home Administration. reverse side of this form, and examples shown on this form,) 5 Other financial institution. 6 Merchant or dealer. Columns 4 & 5. Serial notes (two or more notes covering 7 Other. some loan written to mature in sequence) should be treated as a single note, For participation loans (where two or kUSSLIx Enter only the one code from below which best more banks join in lending funds to a borrower), show only describes major purpose. your bank’s share. Code Major Purpose 1 Purchase feeder livestock. Column 11. Enter appropriate single code from those 2 Purchase other livestock. listed below, Count loan as a renewal wherever over half 3 Other current operating expense. of renewed or rewritten note was to refinance previous 4 Buy machinery, trucks, and other equipment indebtedness to your bank. (irrigation, barn equipment, etc.) Code Renewal Status 5 Purchase auto. 1 Note has'not Teen renewed, 6 Consolidate or pay other debts. 2 Note renewed because of understanding between 7 Buy farm real estate. farmer end banker at the time the original note 8 Improve land and buildings. was made. 9 Purchase consumer durables such as household 3 Note renewed because of adverse development in appliances and furniture (except autos), borrower’s farm income, 10 Family living and personal. 4 Note renewed for other reasons. 11 Other. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

BANK FINANCING OF AGRICULTURE 953 SURVEY WORKSHEET Form borrower questions BORROWER CHARACTERISTICS (If corporation farm or partner, 16 17 18 19 20 21 22 ship, write 'corporation” or Has a Une at Approx­ Total Total net E stimate Type Tenure "partnership* through Columns credit been imate dollar worth of average of (see instruc- 23-24) t e h s i t s a b b l o is rr h o e w d e r w ? i th n o u f m m b i e le r s a am ll o a u s n s t e o ts f b (e o n rr te o r w er d an o n ll u a a r l s g o r l o e s s s of f ( a e r n m te r Ho c n h s e ck one) 23 24 C ( h s e e c e k ins If t ru Y c e t s i , o ns b b i e s o a d n r r l k f o o r o w c m a e l r - o b ( y e w o o n u r n t r r e o e r d w e b r y y e (d o s o t u i r l m la a r t s e ) ) f t a h r e ( m c b h o o e p r c r e k o r w a o t e n i r o e ’ n ) s s c i s f n r t o o r ­ d m u e c ­ r p I a o s a w r b t e o ­ r r­ Ag ( e a (c p h o p e f r c o b k x o i r m o r n o a e w t ) e e ) r No Yes m w a h x a i t m i u s m o m f a f k ic in e g estimate) tions time o d a li m f o n l t e o l h ? a u a r n t t p p i l l t n o o i a a o a a s t r i n n t n t o r i , u s c n ( s ) i I c ­ e f ­ e § 8 ■a £ C § 2 h C C 1 o h h M 8 £ i O ' 1 § V a a 1 0 t 1 0 b 1 5 § 1 .0 t C N s i ( i n s t o o h r e ­ n e u e Y c s c e k ) ­ s M O c o n 0 0 3 a 1 " e o a c in o’ 0 _c rt V tn > 5 m in 14 t 5-22 23-2 0 27.34 36-42 43 44-45 46 7 8 i 8 35,000 J«, ooo 7 A ✓ ✓ ✓ ✓ IO 9,000 UjOoe ✓ 3 / ✓ ✓ aO'Ooo ✓ & 7o, ooo 3$, oo ’ / 1 ✓ ✓ ✓ t 2 2 3 4 B I 2 n 4 t 4 4 3 4 si e I 2 t 2 3 4 5 1 2 3 4 1 2 2 3 4 6 6 2 2 3 4 5 t 2 3 4 f 2 2 3 4 5 8 i 2 2 3 8 2 3 4 J 2 1 2 3 4 B 6 1 2 2 3 4 5 t 2 3 4 1 2 2 3 B 6 Column 15, Enter only the one code from below Column 21, Enter appropriate single code from which best describes the major security. below. If you estimate that a product or group of products amounts to 50 percent ar more of the Code Mojor Security value of all products sold, select from codes 1-9. 1 Unsecured. Where less than half of income is from any one 2 Co-maker or endorser other than bor­ source, use code 10. rower’s wife or husband. 3 Chattel mortgage, security agreement Code Type of Form and financing statement, chattel deed Meat animals. 6 Cotton. of trust, or conditional soles contract, 2 Dairy. 7 Fruit. 4 Farm real estate (except Government 3 Poultry, 8 Vegetable. guaranteed or insured to be included 4 Tobacco. 9 Other major under Code 5). 5 Cash grain. product. S Government guaranteed or insured. 10 General. 6 Other. Column 22, Full owners own all the land they Column 16. A “line of credit* is a formal or- an operate. Fart owners own part and rent part of informal untferstanding between the borrower and the land they operate. his bank that the bank will provide credit up to some agreed amount for a specified purpose, ar Column 23, A part-time farmer is defined as one purposes. who receives a third or more of his gross income from non-farm sources, (estimate) Column 17. If note is a participation loon orig­ inated by another bank, enter the approximate mileage from your bank to the originating bank. (Originating bank should enter mileage from bank office to borrower.) Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

New Benchmark Production Measures 1958 and 1963 Production in U.S. factories and mines production index, the manufacturing com­ increased about one-tenth in the 4-year ponents of the index were adjusted in the period from 1954 to 1958 and about one- same way to similar benchmark compari­ third in the 5 years from 1958 to 1963, sons from comprehensive Census data. according to new benchmark indexes for Final detailed benchmark indexes for all the two periods now being developed from 3- and 4-digit industry groups, as defined by the comprehensive U.S. Censuses of Manu­ the Standard Industrial Classification, will factures and Minerals for the three Census be presented in Volume IV of the 1963 years involved. Use of the new benchmarks Census. That volume, which is being pre­ will cause little over-all change in the levels pared jointly by the Census Bureau and the of the present Federal Reserve monthly in­ Federal Reserve, is now scheduled for pub­ dustrial production index and its major divi­ lication by the end of 1967. It will also in­ sions from 1954 to 1963 although there will clude production indexes for mining, and be more changes among individual indus­ for both the mining and manufacturing in­ tries and products. dustry groups it will include indexes based These benchmark comparisons are based on alternative weighting systems and a num­ on detailed information collected from vir­ ber of supplementary measures of relation­ tually all industrial operations in the United ships such as output per manhour, payroll States. They provide material for two major cost per unit of output, value per unit of purposes: (1) analyzing changes in produc­ output, and output per kilowatt-hour of tion and in production relationships—of electricity used. unique value in large part because the out­ It may be noted that the years in which put and input data are collected on an establishment basis from the same plants so MANUFACTURING PRODUCTION that statistical differences are minimized— and (2) furnishing a standard by which the levels of individual series and subtotals in the Federal Reserve monthly indexes for manufactures and minerals can be adjusted. These indexes are now undergoing a general revision to bring them into line with the results of the Census-Federal Reserve benchmark studies and other new informa­ tion. In earlier general revisions of the Note.—Joint statement by the staffs of the Board of Governors of the Federal Reserve System and the Census Bureau of the U.S. Department of Commerce, June 1967. 954 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

NEW BENCHMARK PRODUCTION MEASURES 955 the Censuses were taken had quite different TABLE 1 economic characteristics. Both 1954 and CENSUS-FEDERAL RESERVE PRODUCTION INDEXES FOR MANUFACTURING 1958 were years of recession, and in each of those years production declined about 8 1958 indexes 1963 indexes based on based on per cent from the preceding year’s level and value value added in: added in: inventories were liquidated. In contrast, SIC industry group 1963 was a year of expansion and invento­ 1954 1954 1958 and 1958 ries were accumulated. In order to obtain 1958 measures of production, changes in manu­ 1954= 100 1958= 100 facturers’ inventories of finished goods and TOTAL................................. 111.2 108.3 109,7 134.0 of goods in process were added to shipments DURABLE GOODS—Total 104.9 102.0 103.3 137.4 data. The accompanying chart shows an­ 98.5 96.6 97 5 131.7 nual averages of the present monthly index Fabricated metal products.. 107.3 105.4 106,3 122.6 Nonelectrical machinery. . . . 105.6 101.2 103.2 137.7 of manufacturing prodution on the present Electrical machinery............ 112.3 110. 5 111 3 166.7 Transportation equipment.. 94.4 94. 1 94’2 141.4 Motor vehicles and parts.. 84.5 83.8 84.1 175.7 comparison base—1957-59=100—and the Aircraft and other equipment............................... 102.9 104.2 103.6 114,1 benchmark indexes, which are indicated by Instruments and allied prod- 120.3 1 18.2 119.2 135.9 circles. Clay, glass, and stone prod- 115,7 113.9 114.7 125.4 The new benchmark production indexes Himber and products...... (02.6 101.8 102.2 122.3 114.0 111.6 112.8 123.6 for major industry groups in manufacturing Miscellaneous manufactures. 116.6 115.2 115.9 131.0 are shown in Table 1. The indexes for 1958, NONDURABLE GOODS— Total....................... 119.2 117.3 118.2 129.7 expressed in terms of a 1954 comparison Textile mill products............ 110.3 108.7 109.5 128.6 Apparel products.......... 109.5 108.3 108.9 124.1 Base, are calculated with three sets of price I either and products. . . .. . 107.7 106.6 107. 1 102. 5 Paper and products........ 117.6 117.1 117.3 130.7 relationships—1954, 1958, and an average Printing and publishing........ 118.1 117.4 117.7 123. t Chemicals and products. .. . 136.2 130.8 133.5 153.6 of the 2 years. Indexes for 1963, expressed Petroleum products.............. 116.5 116.0 116.3 123.9 Rubber and plastics products 126.6 122.3 124.4 155.8 in terms of a 1958 base, are calculated with Foods and beverages,.......... 116.2 115.5 115.9 117.9 Tobacco products................. 118. 1 113.3 115.5 115.5 1958 price relationships. Partly as a result of the differences in economic characteris­ Note.—Ordnance group included in durable goods and total manu­ factures. Groups follow the 1957 Standard Industrial Classification as tics of the three Census years, the amounts modified and used in the 1958 and 1963 Censuses. To achieve this, 1954 data on the 1958 classification were estimated using formulas of change in output in total manufacturing derived from the “bridge” table (Appendix C) in the 1958 Census. and in the major industry groups from 1954 reflect the effects of the particular industry to 1958 and from 1958 to 1963 are quite classification used as well as the influence of different. The most striking difference the many different market and technological is shown by the motor vehicles subgroup. factors in the periods covered. These vari­ The 1958 index for this subgroup shows a ous factors were also important because decline of roughly 15 per cent from its 1954 of their effects on price movements, which base, and the 1963 index shows an expan­ are reflected in the value-added data for sion of about 75 per cent from 1958. Other those years used to weight the quantity in­ major groups showing 1963 output levels dexes. 50 per cent or more above the 1958 base The total index shown in Table 1 with are electrical machinery, chemicals and weights based on the earlier year (1954) products, and rubber and plastics products. was 111.2. This was 2.9 points, or 2.7 per Other differences in the changes shown cent, higher than the level of 108.3 per cent among the major groups listed in the table for the index with 1958 weights. Four of Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

956 FEDERAL RESERVE BULLETIN • JUNE 1967 the major groups listed show differences be­ year. Also, the final results will be affected cause of weight years of about 4 per cent by the selection of the most appropriate for the 4-year period. The average differ­ weight years and by possible modifications ence of about one-half of 1 per cent per in the weighting system to be used in the year for the manufacturing total is about the revised monthly index. same relative amount as was found in the Preliminary comparisons are shown for benchmark calculations for the 1947 to the two benchmark intervals separately and 1954 period, as described in the Federal in combination in Table 2 using the 1958- Reserve Bulletin, December 1958, pages weighted benchmark indexes, which are 1386-88. “ most nearly comparable to the 1957- The principal reason for the weight-year differences is that products and industries TABLE 2 whose prices rose more than the general PRODUCTION MEASURES: BENCHMARKS COMPARED WITH PRESENT FEDERAL RESERVE price level usually decreased in quantity INDEXES relative to the general quantity trend, while relative declines in prices were usually as­ Manu- Manufacturing Year and facturing Min­ sociated with relative increases in quantity. base period m a in n i d n g Total Durable Non­ ing durable In the later period, from 1958 to 1963, price movements were less diverse, and 1958 (1954= 100) Benchmark 108.3 108.3 102.0 117.3 107.6 smaller differences are indicated than in the F.R. index 107.8 108.0 102.1 115.8 106.0 Percentage differ­ earlier periods, according to very prelimi­ ence -.5 -.3 + .1 -1.3 -1.5 1963 {1958- 100) nary 1963-weighted indexes, which are not Benchmark n.a. 134.0 137.4 129.7 n.a. F.R. index 132.1 134.0 137.9 129.4 112.9 shown here. Percentage differ­ ence n.a. .0 + .4 -.2 n.a. The benchmark indexes are based on 1963 (1954- 100) Census quantity and value data for about Benchmark n.a. 145. J 140.1 152.1 n.a. F.R. index 142.5 144.7 140.8 149.8 119.6 5,000 products, supplemented by price and Percentage differ­ ence n.a. -.3 + .5 -1.5 n.a. quantity data from the Bureau of Labor n.a. Not available. Statistics and other non-Census sources. The Note.—The benchmark indexes shown, use 1958 value-added price 1958 indexes shown on the 1954 compari­ relationships, which most closely approximate those for 1957 now generally used in the present index. son base are value-added-weighted at de­ tailed product-class levels. The 1963 indexes weighted monthly index. While differences shown here use 4-digit industry level value- are slight for total manufacturing and the added weighting as in the indexes for 1947­ major divisions for durable goods, nondur­ 54 and earlier years. The 1963 indexes to able goods, and mining (mining is now be presented in the final report will also available only for 1954-58), the present use product-class value-added weighting. monthly indexes for a number of major in­ The present benchmark indexes do not dustry groups and for many individual measure the exact amounts of revision in series are expected to be revised consider­ the levels of the monthly Federal Reserve ably. Within the market groupings, there will index for these periods, in part because probably be some upward revision in the some of the benchmark indexes may change, consumer goods total and some downward particularly those for 1958-63 when the de­ revision in the materials category. tailed product weights are applied later this The largest downward revisions—5 per Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

NEW BENCHMARK PRODUCTION MEASURES 957 cent or more over the 9-year interval from upward revisions will be in foods, lumber 1954 to 1963—are expected to be in the and products, machinery (electrical and major industry groups for apparel, furni­ nonelectrical), petroleum products, print­ ture, and transportation equipment (both ing, rubber and plastics products, textiles, automotive and aircraft), while the largest and miscellaneous manufacturing. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

Reciprocal Currency Arrangements A little more than a week ago, on May the way in which they have actually been 17, the Federal Reserve System entered into used. new reciprocal currency arrangements with Each arrangement represents a reciprocal three other central banks—the National line of short-term credit between the two Bank of Denmark, the Bank of Mexico, and central banks concerned. Under the ar­ the Bank of Norway. The Federal Reserve rangement, each bank after consultation now has such arrangements with the central agrees to exchange its own currency for the banks of 14 countries and the Bank for currency of the other up to a maximum International Settlements. It is a source of amount. At the time such an exchange, or particular satisfaction to me that the Fed­ “swap,” is actually made, both agree to eral Reserve now has an arrangement of reverse the transaction within a specified this kind with its nearest sister institution period, usually 3 months, at the same rate of to the south, the Bank of Mexico, as well exchange. Each party to a swap drawing is as with its old friend to the north, the Bank protected against the remote possibility of a of Canada. change in the par value of the other party’s Perhaps you will find it useful if I take currency. this opportunity to comment on the nature The features of these arrangements that and purposes of these reciprocal currency should particularly be noted are the imme­ arrangements and to describe the use that diate availability of the credit, the protection has been made of them over the past 5 from exchange rate changes, and the short­ years. There has been some mystery—per­ term maturity of any drawing. These are haps even some misunderstanding—about the features that make the arrangement use­ these arrangements, and about the limited ful for the purpose of countering short-run but very useful role that they have played, speculative developments in foreign ex­ and can continue to play, in international change markets. They also prevent the ar­ financial affairs. rangement from being used as a source of The reciprocal currency arrangements medium- or longer-term financing. (or “swap” facilities, as they are often The short-term nature of swap drawings called) have always been intended for a has been rigorously adhered to by all the very specialized purpose—to serve as a kind central banks concerned. It is true that of first line of defense against disorderly drawings may be renewed for additional speculation in exchange markets. This spe­ short periods by mutual consent, and often cial purpose is evident both from the nature are. But of a total of $3.1 billion of drawings of the arrangements themselves and from initiated by the Federal Reserve over the 5-year period since the first arrangement was Note.—Remarks by Chairman Martin at the fourth negotiated with the Bank of France in reunion of central bank governors of the American March 1962, 83 per cent has been repaid continent, Mont Gabriel, Quebec, Canada, May 26-28, 1967. within 6 months and 96 per cent within 9 958 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

RECIPROCAL CURRENCY ARRANGEMENTS 959 months, while no drawing has been out­ drawings helpful during the Italian exchange standing for as long as a year. And of the crisis of 1963-64, and the Bank of Japan even larger volume of drawings initiated by made effective use of its reciprocal currency other central banks—a total of $4.7 billion facility when difficulties were encountered in since the beginning—97 per cent has been the summer of 1964. repaid within 6 months and all have been Drawings made at the initiative of the repaid within 9 months. Federal Reserve have not been made in It is instructive to recall some of the main quite such spectacular circumstances, but episodes connected with the use of these they have nevertheless been substantial over swap arrangements. You are all aware that the years, and have provided important as­ the Bank of England made heavy use of its sistance to us in coping with our own rather short-term facilities with the Federal Re­ special problems—problems that stem not serve and with other central banks—as well only from our own balance of payments def­ as of its medium-term facilities with the icit but also from the special role our International Monetary Fund—during the currency plays in the world. sterling crises of 1964, 1965, and 1966. I There have been times when our own am sure we are all gratified that the U.K. payments problem has led to market uncer­ payments position has now been sufficiently tainty about the stability of the dollar. At restored so that all these short-term central such times, use of the swap facilities has bank credits could be paid off earlier this helped to guard against the development of year, and a large portion of the IMF bor­ disturbing speculative flows. rowing of 1964 was paid—in advance—this But quite independently of our own bal­ past week. ance of payments, the fact that the U.S. The use of reciprocal currency arrange­ dollar is the world’s main reserve currency ments by other central banks in periods of and vehicle currency sometimes creates exchange crisis is perhaps less well remem­ problems. Foreign central banks usually in­ bered, except by the participants. Governor tervene in their own foreign exchange mar­ Rasminsky will recall that the original re­ kets by buying or selling dollars. Thus we ciprocal arrangement between the Bank of sometimes encounter difficulty solely be­ Canada and the Federal Reserve, in the cause another major currency is under amount of $250 million, was announced on pressure. a hectic Sunday in June 1962, and was im­ Thus, for example, whenever there have mediately drawn in full. Canada had estab­ been speculative flights from sterling into lished a new, and—in retrospect—clearly currencies other than the dollar—especially viable parity for its currency. But during into continental European currencies—the a period of exchange market crisis and con­ dollar has been affected. The rate for the fusion, that parity was threatened by very dollar against continental currencies typi­ large speculative flows. Massive drawings cally sinks to the floor in such a situation, from the IMF, the Federal Reserve, and and continental central banks temporarily others—together with emergency actions acquire more dollars than they wish to within Canada—held the position until the hold. That is the reason why, when Britain market calmed and the storm blew over. has been losing reserves and drawing on its Similarly, the Bank of Italy found swap facilities with the Federal Reserve, the Fed- Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

960 FEDERAL RESERVE BULLETIN • JUNE 1967 eral Reserve has found it useful to be able exchange markets was maintained, almost to draw in turn on its reciprocal arrange­ without a ripple, as a result of prompt and ments with continental European central coordinated intervention by those central banks and with the Bank for International banks that are members of the network of Settlements. swap arrangements. They consulted each Other cases in which we have drawn on other promptly, and made it clear to the the swap facilities have resulted from the markets that they stood ready to deal in fact that there tend to be large seasonal very large amounts at prevailing exchange movements of foreign commercial bank rates. Given this prompt reaction, very funds into and out of dollars, held as short­ little intervention was in fact needed. term investments, with consequent swings In the light of the purposes of mutual in the dollar holdings of foreign central currency arrangements and of our experi­ banks or in U.S. gold reserves. The Federal ence with them to date, the question arises Reserve has used the swaps to even out these how extensive the swap network should swings. For this purpose, it has made sea­ be. This is a relatively new and experimental sonal drawings in each of the past 5 years area in which we are all still feeling our from the central banks of Belgium, the way. You may be interested in knowing Netherlands, and Switzerland, as well as what the current thinking about this ques­ the BIS. tion is at the Federal Reserve. Evidence on the usefulness of the recipro­ (I) We think that reciprocal currency cal currency arrangements is not limited arrangements are likely to be useful only solely to the experience of actual drawings among countries whose currencies are con­ that have been made under them. The very vertible under Article VIII of the IMF existence of the arrangments, even when agreement. Each partner must feel able to unused, contributes to international financial count among its official reserves the curren­ stability in two important ways. First, mar­ cies acquired from its partners in swap ket participants who might be tempted to transactions; otherwise the swap does not speculate that unwarranted exchange rate succeed in helping to avert large temporary changes might be forced by the sheer pres­ and potentially disturbing changes in official sure of events and specifically by exhaustion reserves. All partners to swap arrangements of central bank resources may think twice are in fact central banks of Article VIII in view of the nearly $5 billion of resources countries. that are available for short periods under (2) It seems to us that the arrangements the swap arrangements. can serve their proper purposes only if the Second, and perhaps even more impor­ principle is rigidly adhered to that swap tant, reciprocal currency arrangements have drawings represent very short-term credits to helped to establish close day-to-day working meet temporary difficulties or disturbances relationships among the central banks con­ and prevent speculation from becoming cerned. The value of such operating con­ cumulative. It is, of course, impossible to be tacts was well demonstrated in two emer­ certain that any particular disturbance is gency situations—the Cuban crisis of 1962 temporary. But if it proves to be more last­ and the assassination of President Kennedy ing and deep-seated than originally sup­ in 1963. On both occasions, the stability of posed, it is then time to replace the swap Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

RECIPROCAL CURRENCY ARRANGEMENTS 961 drawing by some longer-term financial sense only for those countries whose finan­ arrangement.1 cial markets are sufficiently sizable and de­ (3) We think that both central bank veloped that they may expect from time to partners should enter a swap arrangement time to be the source or the recipient of with the expectation that they will cooperate substantial flows of funds during periods of closely in foreign exchange matters and exchange market uncertainty. All present share relevant information frankly with participants in reciprocal currency arrange­ each other. The governments of the coun­ ments represent countries having reserves tries concerned must, of course, approve of of more than $’/2 billion equivalent, and the arrangement in a general way. But the merchandise exports plus imports of more relationship should be essentially a techni­ than $2'/2 billion a year, and all these coun­ cal and banking relationship, not a political tries have well developed financial markets. relationship. Only in such an atmosphere The fact that participation in swap ar­ is it possible, we think, for central banks rangements is most appropriate for the to provide immediate access to credit, and central banks of fairly large countries with to develop harmonious policies toward the well developed financial markets does not, relevant exchange markets. of course, mean that the arrangements yield (4) Swap arrangements probably make benefits only to such countries. On the con­ trary, I would argue that the arrangements, by imparting an added measure of stability 1 The Foreign Currency Directive of the Federal Open Market Committee is explicit on this point, not and confidence to the international financial only with respect to swap transactions but also with system, yield substantial benefits to all respect to all foreign exchange operations by the Federal Reserve. Thus, one part of the directive reads countries—much as the stability of a domes­ as follows: tic banking system is of immense importance “2. Unless otherwise expressly authorized by the to nonfinancial businesses and to individuals, Federal Open Market Committee, System opera­ tions in foreign currencies shall be undertaken only not merely or even mainly to banks. when necessary: Reciprocal currency arrangements among A. To cushion or moderate fluctuations in the central banks have no direct role to play in flows of international payments, if such fluctuations (1) are deemed to reflect transitional market un­ the financing of trade, the elimination of settlement or other temporary forces and therefore payments imbalances, or orderly economic are expected to be reversed in the foreseeable future; and (2) are deemed to be disequilibrating development. But they can help—and I or otherwise to have potentially destabilizing effects believe they have helped—to serve these on U.S. or foreign official reserves or on exchange markets, for example, by occasioning market anxie­ goals indirectly, by acting to prevent or ties, undesirable speculative activity, or excessive counteract speculative exchange market dis­ leads and lags in international payments; turbances that might otherwise—through B. To temper and smooth out abrupt changes in spot exchange rates, and to moderate forward pre­ sheer disorder—frustrate achievement of miums and discounts judged to be disequilibrating. some of the ultimate economic goals. These Whenever supply or demand persists in influencing exchange rates in one direction, System transactions arrangements are not designed to solve all should be modified or curtailed unless upon review problems. But within their province they and reassessment of the situation the Committee directs otherwise; . . .” have been outstandingly successful. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

Statement to Congress On behalf of the Board of Governors of severe difficulties when the demand for the Federal Reserve System, let me express credit substantially exceeds the amount that our appreciation for the excellent compen­ can be supplied at noninflationary levels. dium your committee has prepared in the The type of fiscal policy adopted both in the Study of Mortgage Credit. As the largest short and long run plays a major role along single user of credit, the mortgage market is with other government policies in determin­ the subject of continuing analysis by the ing whether the total savings of the economy Federal Reserve, and its efficient function­ in comparison to the demand for credit are ing is a matter of deep concern to us. Your adequate to provide financing at rates house volume makes an extremely useful contri­ purchasers can afford. bution to knowledge in this field. It shows 2. An improvement in the relationship a wide area of agreement regarding the between the mortgage market and the gen­ basic problems of the mortgage market, as eral capital market, as well as in the market­ well as the reasons they exist. It also indi­ ability of mortgages, is highly desirable. cates a rather broad consensus as to the Some possible steps along this line, which lines along which future progress appears should be examined more completely, in­ possible. clude: Because time is limited, let me summarize a) Removal of geographic and other briefly under four headings the areas in legal impediments to the efficient dis­ which the Board believes progress may be tribution of mortgage credit. made in easing the difficulties of the hous­ b) Provision of greater flexibility in the ing market. These suggestions are primarily setting of the maximum contract in­ evolutionary, recognizing that the nature of terest rates on FHA-insured and VAthe product and the structure of the market guaranteed mortgages. will nevertheless continue to make housing c) Creation within FNMA of a true somewhat more vulnerable in periods of ex­ trading operation in mortgages under cess demand for credit than most other types its secondary market functions. of spending. Still they hold promise of sig­ nificant gains. Improvement in the areas dis­ d) FHA guarantee of marketable bonds cussed can help the mortgage market come backed by portfolios of FHA-VA closer toward obtaining the credit it requires mortgages. to meet our national housing goals. e) Issuance by FNMA of participation 1. Most important is the more active use certificates based on the mortgages of a flexible fiscal policy. Because of its par­ held under their secondary market ticular structure, the mortgage market has operations. Each of these steps is a possible method Note.—Statement of Sherman J. Maisel, Member, Board of Governors of the Federal Reserve System, of attracting additional investors such as in­ before the Subcommittee on Housing and Urban Af­ dividuals, pension funds, small insurance fairs of the Senate Committee on Banking and Cur­ rency, June 12, 1967. companies, and commercial banks into the 962 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

STATEMENT TO CONGRESS 963 residential mortgage market as well as of There are major risks when institutions lessening the burden of credit restraint on borrow most of their money in the short­ this market. These potential investors need term market and lend long. The dangers of a simpler, less complicated, more market­ these policies increase when investment able, and safer investment instrument than funds are attracted from other markets since is now found in the typical mortgage. A such funds flow among outlets primarily on broader spectrum of available investors a basis of relative returns alone. A structure should not only lower interest costs, but also of differing rates on varied types and ma­ make it easier for mortgages to compete for turities of liabilities can reduce the average available funds. cost of funds while helping to insure their availability in times of need. Similarly a 3. The experience of the past decade in­ variety of assets can increase flexibility. dicates that more consideration ought to be given to portfolio management by thrift in­ 4. More thought is required of the logic stitutions. Improvements appear possible on and procedures to be used when public both the asset and liability sides. We have measures are adopted in an attempt to ease suggested the possibility of: directly the impact of tightening general credit conditions on the availability or price a) The adoption of a wider variety of of residential mortgage credit. Care must be liability instruments by more thrift taken to insure that such measures do not institutions. Longer-term certificates have undesired results opposite to those in­ and special time accounts paying tended through increasing prices and infla­ higher rates, but with a larger penalty tionary pressures. Furthermore, we believe on withdrawal, were very useful this that the extent and form of the subsidy ele­ past year. ment involved in such proposals should be b) The use of more flexible liquidity or carefully considered and revealed. Many secondary reserve requirements. schemes that involve subsidized credit may c) The introduction of more investment work to penalize those most in need of hous­ options should be carefully analyzed ing while subsidizing those with more than as should the Federal chartering of adequate funds to cover their own require­ mutual savings banks. ments. d) The Federal Home Loan Bank Sys­ I am very pleased to be here this after­ tem should consider the use of longer- noon. I welcome any questions either on the term bonds based on similar length paper submitted by the Board of Governors advances, as well as the possibility of or in my individual capacity on any of the furnishing more flexible short-term many interesting questions raised by your credit. compendium. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

Law Department Administrative interpretations, new regulations, and similar material REGULATION U: BANK LOANS TO REPLENISH made under the alternative proposal would simi­ WORKING CAPITAL USED TO PURCHASE larly be subject to Regulation U. MUTUAL FUND SHARES In a situation recently considered by the Board LOANS TO EXECUTIVE OFFICERS OF MEMBER BANKS of Governors, a business concern (“X”) proposed The Board of Governors, effective July 1, 1967, to purchase mutual fund shares, from time to time, amended section 215.1(c) of Regulation O with proceeds from its accounts receivable, then (“Loans to Executive Officers of Member Banks”) pledge the shares with a bank in order to secure to exclude from the coverage of section 22(g) of working capital. The bank was prepared to lend the Federal Reserve Act (12 U.S.C. 375a) and amounts equal to 70 per cent of the current value of the Regulation certain indebtedness of an exec­ of the shares as they were purchased by X. If the utive officer to a member bank that arises out of loans were subject to Regulation U, only 30 per the use of charge accounts and credit card or cent of the current market value of the shares check credit plans. The amendment takes the form could be lent. of an additional subparagraph (iv) to section The immediate purpose of the loans would be 215.1(c) of the Regulation, which, as amended, to replenish X’s working capital. However, as time reads as follows: went on, X would be acquiring mutual fund shares at a cost that would exceed the net earnings it Section 215.1—Definitions would normally have accumulated, and would For the purpose of this part: become indebted to the lending bank in an amount * * J|s approximating 70 per cent of the price of said (c) "Loan", "loaning’’, "extension of credit", and shares. "extend credit".—The terms “loan”, “loaning”, The Board held that the loans were for the “extension of credit”, and “extend credit” mean the making of a loan or the extending of credit in any purpose of purchasing the shares, and therefore manner whatsoever, and include: subject to the limitations prescribed by Regulation (1) any advance by means of an overdraft, cash U. As pointed out in a 1962 interpretation (1962 item, or otherwise; Federal Reserve Bulletin 690; 12 CFR 221.114) (2) the acquisition by discount, purchase, ex­ change, or otherwise of any note, draft, bill of ex­ with respect to a similar program for putting a change, or other evidence of indebtedness upon high proportion of cash income into stock, then which an executive officer may be liable as maker, borrowing against the stock to meet needs for drawer, indorser, guarantor, or surety; which the cash would otherwise have been re­ (3) the increase of an existing indebtedness, ex­ cept on account of accrued interest or on account quired, a contrary conclusion could largely defeat of taxes, insurance, or other expenses incidental to the basic purpose of the margin regulations. the existing indebtedness and advanced by the bank for its own protection; Also considered was an alternative proposal (4) any advance of unearned salary or other un­ under which X would deposit proceeds from earned compensation for periods in excess of 30 accounts receivable in a time account for one year, days; and before using those funds to purchase mutual fund (5) any other transaction as a result of which shares. The Board held that this procedure would an executive officer becomes obligated to a bank, directly or indirectly by any means whatsoever, by not change the situation in any significant way. reason of an indorsement on an obligation or other­ Once the arrangement was established, the pro­ wise, to pay money or its equivalent. ceeds would be flowing into the time account at Such terms, however, do not include: the same time that similar amounts were released (i) advances against accrued salary or other ac­ to purchase the shares, and over any extended crued compensation, or for the purpose of provid­ ing for the payment of authorized travel or other period of time the result would be the same. expenses incurred or to be incurred on behalf of Accordingly, the Board concluded that bank loans the bank; 964 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

LAW DEPARTMENT 965 (ii) the acquisition by a bank of any check de­ (1) Under the provisions of part 261 of this chap­ posited in or delivered to the bank in the usual ter, to make- available, upon request, information in course of business unless it results in the granting the records of the Board. of an overdraft to or the carrying of a cash item (2) Under the provisions of section 4(b) of the for an executive officer; Federal Deposit Insurance Act (12 U.S.C. 1814(b)), (iii) the acquisition of any note, draft, bill of to certify to the Federal Deposit Insurance Corpora­ exchange, or other evidence of indebtedness, tion that, with respect to the admission of a Statethrough a merger or consolidation of banks or a chartered bank to Federal Reserve membership, the similar transaction by which a bank acquires assets factors specified in section 6 of that Act (12 U.S.C. and assumes liabilities of another bank or similar 1816) were considered. organization, or through foreclosure on collateral (b) The General Counsel of the Board (or, in his or similar proceeding for the protection of the bank; absence, the Acting General Counsel) is authorized: or (1) Under the provisions of section 2(g) of the (iv) indebtedness arising by reason of general Bank Holding Company Act (12 U.S.C. 1841(g)), arrangements under which a bank (A) acquires to determine whether a company that transfers shares charge or time credit accounts or (B) makes pay­ to any of the types of transferees specified therein is ments to or on behalf of participants in a bank incapable of controlling the transferee. credit card plan, check credit plan, or similar plan, (2) Under the provisions of section 4(c)(8) of except that this subdivision (iv) shall not apply to the Bank Holding Company Act (12 U.S.C. 1843(c)), indebtedness of an executive officer to his own bank to determine that a company engaged in activities of to the extent that the aggregate amount thereof ex­ a financial, fiduciary, or insurance nature falls within ceeds $1,000 or to any such indebtedness to his own the exemption described therein permitting retention bank that involves prior individual clearance or ap­ or acquisition of control thereof by a bank holding proval by the bank other than for the purpose of company. determining whether his participation in the ar­ rangement is authorized or whether any dollar limit (3) Under the provisions of sections 1101-1103 of has been or would be exceeded. the Internal Revenue Code (26 U.S.C. 1101-1103), to make certifications (prior and final) for federal tax RULES REGARDING DELEGATION OF AUTHORITY purposes with respect to distributions pursuant to the Bank Holding Company Act. The Board of Governors, effective July 1, 1967, (c) The Director of the Division of Examinations adopted a new regulation, “Rules Regarding Dele­ (or, in his absence, the Acting Director) is author­ ized: gation of Authority”, pursuant to and in accord­ (1) Under the provisions of the seventh paragraph ance with the provisions of section 11 (k) of the of section 9 of the Federal Reserve Act (12 U.S.C. Federal Reserve Act (12 U.S.C. 248(k)), which 325), to select or to approve the appointment of became effective November 5, 1966, The new Federal Reserve bank examiners, assistant examiners, and special examiners. rules are designed to provide a more expeditious (2) Under the provisions of the nineteenth para­ means for the performance of certain of the graph of section 25(a) of the Federal Reserve Act Board’s supervisory functions and to improve its (12 U.S.C. 625) and section 211.9(e) of this chapter overall efficiency in fulfilling its statutory respon­ (Regulation K), to require submission and publica­ tion of reports by an “Edge Act" corporation. sibilities. The new regulation reads as follows: (3) Under the provisions of section 5 of the Bank Holding Company Act (12 U.S.C 1844), after having RULES REGARDING DELEGATION OF received clearance from the Bureau of the Budget AUTHORITY (where necessary) and in accordance with the law of Administrative Procedure (5 U.S.C 553), to promul­ gate registration, annual report, and other forms for Section 265.1—Delegation of Functions use in connection with the administration of such Act. Generally (4) Under the provisions of section 12(g) of the Pursuant to the provisions of section ll(k) of the Securities Exchange Act (15 U.S.C. 787(g)): Federal Reserve Act (12 U.S.C. 248(k)), the Board (i) to accelerate the effective date of a registra­ of Governors of the Federal Reserve System dele­ tion statement filed by a member State bank gates authority to exercise those of its functions de­ with respect to its securities; scribed in this part, subject to the limitations and (ii) to accelerate termination of the registration guidelines herein prescribed. The Chairman of the of such a security that is no longer held of Board of Governors assigns the responsibility for the record by 300 persons; and performance of such delegated functions to the per­ (iii) to extend the time for filing a registration sons herein specified. A delegee may submit any statement by a member State bank. matter to the Board for determination if he considers such submission appropriate because of the import­ (5) Under the provisions of section 12(d) of the ance or complexity of the matter. Securities Exchange Act (15 U.S.C. 781(d)), to ac­ celerate the effective date of an application by a mem­ ber State bank for registration of a security on a na­ Section 265.2—Specific Functions Delegated tional securities exchange. (a) The Secretary of the Board (or, in his absence, (6) Under the provisions of section 12(f) of the the Acting Secretary) is authorized; Securities Exchange Act (15 U.S.C. 781(f)), to issue Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

966 FEDERAL RESERVE BULLETIN • JUNE 1967 notices with respect to an application by a national 36), and section 208.8 of this chapter (Regulation H), securities exchange for unlisted trading privileges in a to permit a State member bank to establish a domestic security of a member State bank. branch if: (7) Under the provisions of section 12(h) of the (i) the bank’s capitalization is adequate in Securities Exchange Act (15 U.S.C. 787(h)), to issue relation to the character and condition of notices with respect to an application by a member its assets and to its deposit liabilities and State bank for exemption from registration. other corporate responsibilities, including (8) Under the provisions of section 206.5(f) and the volume of its risk assets and of its (i) of this chapter (Regulation F), to permit the mail­ marginal and inferior quality assets, all ing of proxy and other soliciting materials by a mem­ considered in relation to the strength of ber State bank before the expiration of the time pre­ its management; scribed therein. (ii) the bank’s management is adequate to all (9) Under the provisons of sections 206.41, 206.42, of its responsibilities, has the ability to and 206.43 (Instructions as to Financial Statements 9, cope successfully with existing or fore­ 4, and 3, respectively) of this chapter (Regulation F), seeable problems, and has sufficient depth to permit the omission of financial statements from to staff the proposed branch without any reports by a member State bank and/or to require significant deterioration in the overall other financial statements in addition to, or in sub­ management situation; stitution for, the statements required therein. (iii) the convenience and needs of the com­ (d) The Director of the Division of Bank Opera­ munity will be better served if the pro­ tions (or, in his absence, the Acting Director) is posed branch is established; authorized: (iv) the establishment of the proposed branch (1) Under the provisions of the sixteenth para­ will not tend to create an undesirable graph of section 4 of the Federal Reserve Act (12 competitive situation (either actual or potential); U.S.C. 304), to classify member banks for the pur­ poses of electing Federal Reserve bank class A and (v) there are good prospects for profitable class B directors, giving consideration to (i) the statu­ operations of the proposed branch within tory requirement that each of the three groups shall a reasonable time, and the bank’s earnings consist as nearly as may be of banks of similar capi­ are adequate to sustain the operational talization and (ii) the desirability that every member losses of the proposed branch until it be­ bank have the opportunity to vote for a class A or a comes profitable; class B director at least once every three years. (vi) the bank’s investment in bank premises (2) Under the provisions of the third paragraph of after the expenditure for the proposed section 16 of the Federal Reserve Act (12 U.S.C. branch will be reasonable; 413), to apportion credit among the Reserve banks (vii) counsel for the Reserve bank considers for unfit notes that are destroyed, giving considera­ that establishment of the branch would tion to the net number of notes of each denomina­ be in conformity with the provisions of tion that were issued by each Reserve bank during section 5155 of the Revised Statutes and the preceding calendar year. section 208.8 of this chapter; and (3) Under the provisions of section 19(b) of the (viii) the establishment of the proposed branch Federal Reserve Act (12 U.S.C. 461) and section has been approved by the appropriate 204.2(a)(2) of this chapter (Regulation D), to State authority. permit a member bank in a reserve city to maintain (2) Under the provisions of the sixth paragraph reserves at the ratios prescribed for banks not in of section 9 of the Federal Reserve Act (12 U.S.C. reserve cities, except a bank with demand deposits 324) and the provisions of section 5199 of the Re­ larger than the amount of demand deposits of the vised Statutes (12 U.S.C. 60), to permit a State largest bank in the city that is permitted to maintain member bank to declare dividends in excess of net reserves at such lower ratio, giving consideration to profits for the calendar year combined with its re­ factors such as the amount of the bank’s resources, tained net profits of the preceding two years, less any total deposits, demand deposits, demand deposits required transfers to surplus or a fund for the retire­ owing to banks, types of depositors and borrowers, ment of any preferred stock, if: turnover of demand deposits, geographical location (i) the bank’s capitalization is adequate in re­ within the city, and competitive position with rela­ lation to the character and condition of its tion to other banks in the city. assets and to its deposit liabilities and other (e) The Director of the Division of Personnel corporate responsibilities, including the Administration (or, in his absence, the Acting Direc­ volume of its risk assets and of its mar­ tor) is authorized, under the provisions of the ginal and inferior quality assets, all con­ twenty-first paragraph of section 4 of the Federal sidered in relation to the strength of its Reserve Act (12 U.S.C. 306), to approve the ap­ management; and pointment of assistant Federal Reserve agents (in­ (ii) after payment of the proposed dividend, cluding representatives and alternate representatives the bank’s capitalization would still be ade­ of such agents). quate in accordance with such considera­ (f) Each Federal Reserve Bank is authorized, as to tions. member banks or other indicated organizations head­ (3) Under the provisions of the tenth paragraph of quartered in its district: section 9 of the Federal Reserve Act (12 U.S.C, 328), (1) Under the provisions of the third paragraph to waive six months' notice by a bank of its intention of section 9 of the Federal Reserve Act (12 U.S.C. to withdraw from Federal Reserve membership. 321), section 5155 of the Revised Statutes (12 U.S.C. (4) Under the provisions of the eleventh para- Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

LAW DEPARTMENT 967 graph of section 9 of the Federal Reserve Act (12 (13) Under the provisions of section 5(c) of the U.S.C. 329), to permit a State member bank to re­ Bank Holding Company Act (12 U.S.C 1844(c)), to duce its capital stock if its capitalization thereafter require reports under oath to determine whether a will be: company is complying with the provisions of such Act (i) in conformity with the requirements of and the Board’s regulations promulgated thereunder. Federal law, and (ii) adequate in relation to the character and Section 265.3—Review of Action at Delegated condition of its assets and to its deposit Level liabilities and other corporate responsibili­ Any action taken at a delegated level shall be sub­ ties, including the volume of its risk assets, ject to review by the Board only if such review is and of its marginal and inferior quality as­ requested by a member of the Board either on his own sets, all considered in relation to the strength initiative or on the basis of a petition for review by of its management. any person claiming to be adversely affected by the (5) Under the provisions of the seventeenth para­ action. Any such petition for review must be received graph of section 9 of the Federal Reserve Act (12 by the Secretary of the Board not later than the fifth U.S.C. 334), to extend the time, for good cause day after the date of such action. Notice of any such shown, within which an affiliate of a State member review shall be given to the person with respect to bank must file reports. whom such action was taken and be received by such (6) Under the provisions of the seventh paragraph person not later than the close of the tenth day follow­ of section 13 of the Federal Reserve Act (12 U.S.C. ing the date of such action. Upon receipt of such 372), to permit a member bank to accept commercial notice, such person shall not proceed further in re­ drafts in an aggregate amount at any one time up to liance upon such action until he is notified of the out­ 100 per cent of its capital and surplus. come of review thereof by the Board. (7) Under the provisions of section 24A of the Federal Reserve Act (12 U.S.C 371d), to permit a ORDERS UNDER SECTION 3 OF State member bank to invest in bank premises in an BANK HOLDING COMPANY ACT amount in excess of its capital stock, if: (i) the bank’s capitalization is adequate in rela­ The Board of Governors issued the following tion to the character and condition of its (1) Order extending the time for acquisition of assets and to its deposit liabilities and other corporate responsibilities, including the vol­ bank shares by a bank holding company, (2) ume of its risk assets and of its marginal Order and Statement approving an application by and inferior quality assets, all considered a bank holding company for permission to acquire in relation to the strength of its manage­ ment; and voting shares of an additional bank, and (3) Order (ii) upon completion of the proposed investment, and Statement approving an application to become the bank’s aggregate investment (direct and a bank holding company through the acquisition indirect) in bank premises plus the indebted­ ness of any wholly-owned bank premises of bank shares: subsidiary will not exceed 40 per cent of its total capital funds (including capital notes COMMERCIAL BANCORP, INC. and debentures) plus reserves other than MIAMI, FLORIDA valuation reserves. (8) Under the provisions of the ninth paragraph of In the matter of the application of Commercial section 25(a) of the Federal Reserve Act (12 U.S.C Bancorp, Inc., Miami, Florida, for approval of 615), to extend the time in which an “Edge Act" cor­ poration must divest itself of stock acquired in satis­ the acquisition of voting shares of Bank of Palm faction of a debt previously contracted. Beach and Trust Company, Palm Beach, Florida. (9) Under the provisions of the twenty-second paragraph of section 25(a) of the Federal Reserve Act (12 U.S.C 628), to extend the period of corpor­ Order Extending Time For ate existence of an “Edge Act” corporation. Acquisition of Bank Shares (10) Under the provisions of section 5(a) of the By Order dated December 29, 1966, the Board Bank Holding Company Act (12 U.S.C 1844(a)), to extend the time within which a bank holding company of Governors, pursuant to section 3(a) of the must file a registration statement. Bank Holding Company Act of 1956 (12 U.S.C. (11) Under the provisions of section 4(a) of the 1842(a)), and section 222.4(a) of Federal Re­ Bank Holding Company Act (12 U.S.C 1843(a)), to extend the time within which a bank holding company serve Regulation Y (12 CFR 222.4(a)), approved must divest itself of interests in nonbanking organiza­ an application on behalf of Commercial Bancorp, tions. Inc., Miami, Florida, a registered bank holding (12) Under the provisions of section 4(c)(2) of the Bank Holding Company Act (12 U.S.C 1843(c)), company, for approval of the acquisition of a to extend the time within which a bank holding com­ minimum of 80 per cent of the outstanding voting pany must divest itself of interests in a nonbanking shares of Bank of Palm Beach and Trust Com­ organization acquired in satisfaction of a debt pre­ viously contracted. pany, Palm Beach, Florida; and said Order was Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

968 FEDERAL RESERVE BULLETIN • JUNE 1967 made subject to the proviso “that the acquisition ing voting shares of West Suburban Bank, Brook­ so approved shall not be consummated . . . (b) field, Wisconsin. later than three months after the date of the As required by section 3(b) of the Act, the Order”. Board gave written notice of receipt of the appli­ By further Order dated March 14, 1967, the cation to the Commissioner of Banks for the State Board, in response to a request of Applicant, of Wisconsin and requested his views and recom­ extended to May 29, 1967, the time within which mendation. The Commissioner advised that the the approved acquisition might be consummated. proposal met with his approval. Notice of receipt of the application was pub­ Whereas, Applicant has requested a further lished in the Federal Register on January 5, 1967 extension of the time within which the approved (32 Federal Register 63), which provided an acquisition shall be consummated; and it appearing opportunity for interested persons to submit com­ to the Board that reasonable cause has been shown ments and views with respect to the proposed for the additional time requested, and that the acquisition. A copy of the application was for­ granting of such additional time would not be warded to the United States Department of inconsistent with the public interest; Justice for its consideration. Time for filing com­ It is hereby ordered, that the Board’s Order ments and views has expired and all those re­ of March 14, 1967, as published in the Federal ceived have been considered by the Board. Register on March 23, 1967 (32 Federal Register It is hereby ordered, for the reasons set forth 4456), be and hereby is amended so that the in the Board’s Statement of this date, that said proviso relating to the date by which the acquisi­ application be and hereby is approved, provided tion approved shall be consummated shall read that the acquisition so approved shall not be con­ “(b) later than August 28, 1967.” summated (a) before the thirtieth day following Dated at Washington, D. C., this 15th day of the date of this Order or (b) later than three May, 1967. months after the date of the Order. By order of the Board of Governors. Dated at Washington, D. C., this 17th day of May, 1967. (Signed) Merritt Sherman, Secretary. By order of the Board of Governors. Voting for this action: Chairman Martin, and Gover­ [SEAL] nors Robertson, Shepardson, Mitchell, Maisel, and Brimmer. Absent and not voting: Governor Daane. Governor Sherrill did not participate in the Board’s MARSHALL & 1LSLEY BANK STOCK action in this matter. CORPORATION, MILWAUKEE, WISCONSIN (Signed) Merritt Sherman, In the matter of the application of Marshall & Secretary. llsley Bank Stock Corporation, Milwaukee, Wis­ [seal] consin, for approval of acquisition of 80 per cent or more of the voting shares of West Suburban Statement Bank, Brookfield, Wisconsin. Marshall & llsley Bank Stock Corporation, Mil­ waukee, Wisconsin (“Applicant”), a registered Order Approving Application Under bank holding company, has applied to the Board Bank Holding Company Act of Governors, pursuant to section 3(a) of the There has come before the Board of Governors, Bank Holding Company Act of 1956, as amended, pursuant to section 3(a) of the Bank Holding for prior approval of the acquisition of 80 per Company Act of 1956 (12 U.S.C. 1842(a)), and cent or more of the outstanding voting shares of section 222.4(a) of Federal Reserve Regulation West Suburban Bank, Brookfield, Wisconsin Y (12 CFR 222.4(a)), an application by Mar­ (“Bank”), a new nonmember insured bank. At shall & llsley Bank Stock Corporation, Milwaukee, June 30, 1966,1 Applicant controlled four sub- Wisconsin, for the Board’s prior approval of the 1 All banking data are as of this date, unless other­ acquisition of 80 per cent or more of the outstand­ wise noted. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

LAW DEPARTMENT 969 sidiary banks,2 which operated six offices with ag­ Bank is closely associated with Applicant’s gregate total deposits of $419 million. Bank, which system through common stock ownership. Al­ opened for business in November 1966, is located though presently operating as an independent in Brookfield, Waukesha County, about 10 miles institution, it was organized by individuals who west of Milwaukee’s business district. Applicant are directors of Applicant and/or its subsidiaries estimates that bank will have deposits of $4.2 in anticipation of the present proposal. Bank is million after three years of operation. located in Brookfield, Wisconsin, on a thorough­ Views and recommendation of supervisory fare which marks the boundary between the cities authority. As required by section 3(b) of the Act, of Brookfield and Wauwatosa and also the bound­ notice of the application was given to the Com­ ary between Waukesha and Milwaukee Counties. mission of Banks for the State of Wisconsin. The Applicant estimates that Bank's deposits after Commissioner advised that Applicant’s proposal three years of operation will approximate $4.2 met with his approval. million and that its primary service area will Statutory consideration. Section 3(c) of the consist of portions of the cities of Brookfield, Act provides that the Board shall not approve an Wauwatosa, and Elm Grove. This is a rapidly acquisition that would result in a monopoly, or growing, primarily residential area with a popula­ would be in furtherance of any combination or tion of 17,225. The income pattern of the area conspiracy to monopolize or to attempt to mo­ is above average. In addition to its population nopolize the business of banking in any part of the growth, the area has been the scene of a rapid United States. Nor may the Board approve a commercial and industrial expansion in the last proposed acquisition, the effect of which, in any 10 years. section of the country, may be substantially to With regard to competition between Bank and lessen competition, or tend to create a monopoly, Applicant’s four present subsidiaries, the record or which in any other manner would be in re­ before the Board indicates that each of those straint of trade, unless the Board finds that the subsidiaries derives deposits of individuals, part­ anticompetitive effects of the proposed transaction nerships, and corporations (“IPC deposits”) from are clearly outweighed in the public interest by Bank’s primary service area in an amount equal to the probable effect of the transaction in meeting but 1 to 1.4 per cent of the total deposits held the convenience and needs of the community to be by each of the subsidiaries. While the IPC de­ served. In each case the Board is required to take posits thus derived by Applicant’s subsidiaries are into consideration the financial and managerial substantial in relation to the anticipated deposits resources and future prospects of the bank holding of Bank, any conclusion of existing or potential company and the banks concerned, and the con­ competition between Bank and the banks in Appli­ venience and needs of the community to be served. cant’s system that might be premised solely upon Competitive effect of proposed transaction. At the origin of such deposits must be tempered by year-end 1965, the 10 largest banking organiza­ the facts relating to the organization of the Bank tions in the State of Wisconsin controlled 39 per and the community of interest between it and cent of the total of insured commercial bank de­ Applicant which has existed since Bank’s incep­ posits in the State. The three largest of the State’s tion. Bank’s organization represents an attempt by banking organizations are bank holding com­ Applicant to provide more convenient services to panies, Applicant’s system being third in size of Bank’s primary service area in the only way open these. Its relative position would remain un­ to it consistent with State prohibition against changed by its acquisition of Bank. Consumma­ branching. While some residents of Bank’s service tion of the proposed acquisition would have only area may find Applicant’s present subsidiaries to a negligible effect on the share of the State's be equally convenient alternatives, there is not commercial banking resources which are held by and never has been a prospect of competition Applicant, by holding company systems, and by between Bank and Applicant’s subsidiaries in any the 10 largest banking organizations in the State. real sense. To the extent that the area’s residents 3 Acquisition of a fifth subsidiary, Bank of Green­ may presently choose between Bank and one of field, a newly organized institution, was approved Applicant’s other subsidiaries based on the rela­ by the Board on February 20, 1967. 53 Fed. Res. Bulletin 380 (1967). tive convenience of the location of each, such Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

970 FEDERAL RESERVE BULLETIN • JUNE 1967 choice will not be affected by approval of the Financial and managerial resources and future application. It therefore does not appear that prospects. Applicant is well capitalized, its earn­ consummation of the proposed acquisition would ings are satisfactory, and its management is experi­ have any effect on existing or potential competi­ enced and capable. Its prospects, directly depend­ tion between Bank and any of Applicant’s other ent upon those of its subsidiary banks, are con­ subsidiaries. The effect of the acquisition on con­ sidered to be favorable. centration within the primary service area and the Bank’s brief history provides little basis for Milwaukee Standard Metropolitan Statistical Area appraising its prospects. However, its capital struc­ would be minimal. ture, viewed in relation to its projected deposit There are seven banking offices located outside growth and estimated earnings, appears adequate. of the primary service area which compete therein. Its two principal officers, both of whom are now Of these, three are offices of Wisconsin’s largest nearing retirement, had extensive experience with bank holding company (First Wisconsin Bank­ Applicant’s subsidiary, Marshall & llsley Bank, shares Corporation), one is an office of the second prior to joining Bank. As an affiliate of Applicant, largest (Marine Corporation), and two others are Bank will be assured of adequate management offices of independent banks which are the State's succession. On the basis of the foregoing, and fifth and sixteenth largest banking organizations. considering Bank’s location in a growing area in The remaining bank serving the area, Elm-Brook which further substantial expansion is anticipated, State Bank (deposits $3.5 million), is located Bank’s prospects under present ownership are more than four miles from Bank and is closer to considered favorable and may reasonably be ex­ offices of both of the larger holding company sub­ pected to be improved by consummation of the sidiaries than it is to Bank. In addition, a sub­ proposed affiliation. Considerations bearing on the sidiary of First Wisconsin Bankshares Corporation banking factors are consistent with, and weigh plans to relocate an existing branch approximately somewhat in favor of, approval of the application. 2.7 miles from Bank. Another subsidiary of the Convenience and needs of the community in­ same company has filed an application to establish volved. As heretofore noted, the projected service a branch one mile from Bank, and a subsidiary of area of Bank has undergone rapid growth, both the Marine Corporation has filed an application residentially and commercially, in recent years. to establish a branch diagonally across the street Bank’s affiliation with Applicant will not provide from Bank, both of these applications being con­ the area with any major services not presently tingent upon a change in Wisconsin branching available there through Bank and the offices of law. All of these efforts attest to both the im­ other large institutions proximate to the area. The pending need for additional bank facilities in the proposed affiliation will, however, more certainly area and the aggressiveness of existing and poten- and more immediately constitute Bank as a con­ tal competition. Under these circumstances, it venient source of full banking services than would appears that the affiliation of Bank with Applicant be the case if Bank remained under existing owner­ will provide increased banking competition in the ship. Applicant’s proposal to expand Bank’s com­ area without threat of harmful effects on existing mercial and industrial loan programs is of particu­ institutions. lar significance with respect to the credit require­ In the light of these facts, the Board concludes ments of the area. The Board concludes that the that consummation of the proposed acquisition evidence relating to the convenience and needs would not result in a monopoly nor be in further­ of the area involved lends support toward approval ance of any combination, conspiracy, or attempt of the application. to monopolize the business of banking in any area. Summary and conclusion. On the basis of all There is no probability that the acquisition may relevant facts contained in the record, and in the have the effect of substantially lessening compe­ light of the factors set forth in section 3(c) of the tition or tending to create a monopoly in any Act, it is the Board’s judgment that the proposed section of the country, nor would it in any other transaction would be in the public interest and that manner be in restraint of trade. the application should be approved. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

LAW DEPARTMENT 971 HUNTINGTON BANCSHARES By order of the Board of Governors. INCORPORATED, Voting for this action: Chairman Martin, and Gov­ COLUMBUS, OHIO ernors Robertson, Shepardson, Mitchell, Maisel, and In the matter of the application of Huntington Brimmer. Absent and not voting: Governor Daane. Governor Sherrill did not participate in the Board’s Bancshares Incorporated, Columbus, Ohio, for action in this matter. approval of action to become a bank holding com­ (Signed) Merritt Sherman, pany through the acquisition of voting shares of Secretary. The Washington Savings Bank, Washington Court House, Ohio. [seal] Order Approving Application Under Statement Bank Holding Company Act Huntington Bancshares Incorporated, Columbus, There has come before the Board of Governors, Ohio (“Applicant”), has filed with the Board, pursuant to section 3(a)(1) of the Bank Holding pursuant to section 3(a)(1) of the Bank Holding Company Act of 1956 (12 U.S.C. 1842(a)(1)), Company Act of 1956, as amended, an application and section 222.4(a) of Federal Reserve Regula­ for approval of action to become a bank holding tion Y (12 CFR 222.4(a)), an application by company through the acquisition of 51 per cent Huntington Bancshares Incorporated, Columbus, or more of the voting shares of The Washington Ohio, for the Board’s prior approval of action Savings Bank, Washington Court House, Ohio whereby Applicant would become a bank holding (“Savings Bank”). company through the acquisition of 51 per cent Applicant controls The Huntington National or more of The Washington Savings Bank, Wash­ Bank of Columbus, Columbus, Ohio (“Hunting­ ington Court House, Ohio. Huntington Bancshares ton Bank”), which had deposits of $373 million presently owns a majority of the outstanding voting and operated 16 offices as of December 31, 1966.1 shares of The Huntington National Bank of Co­ Savings Bank, with deposits of $12 million, oper­ lumbus, Columbus, Ohio. ates two offices, one of which is a drive-in facility. As required by section 3(b) of the Act, notice Views and recommendation of supervisory of receipt of the application was given to, and authorities. As required by section 3(b) of the views and recommendation requested of, the Act­ Act, the Board notified the Acting Superintendent ing Superintendent of Banks for the State of of Banks for the State of Ohio of receipt of the Ohio. The Acting Superintendent recommended application and requested his views and recom­ approval of the application. mendation thereon. In response, the Acting Super­ Notice of receipt of the application was pub­ intendent recommended approval. lished in the Federal Register on March 4, 1967 Statutory considerations. Section 3(c) of the (32 Federal Register 3753), providing an opportu­ Act provides that the Board shall not approve an nity for interested persons to submit comments acquisition that would result in a monopoly, or and views with respect to the proposed transaction. would be in furtherance of any combination or A copy of the application was forwarded to the conspiracy to monopolize or to attempt to monop­ Department of Justice for its consideration. Time olize the business of banking in any part of the for filing comments and views has expired and United States. Nor may the Board approve a all those received have been considered by the proposed acquisition, the effect of which, in any Board. section of the country, may be substantially to It is hereby ordered, for the reasons set forth lessen competition, or tend to create a monopoly, in the Board’s Statement of this date, that said or which in any other manner would be in restraint application be and hereby is approved, provided of trade, unless the Board finds that the anticom­ that the acquisition so approved shall not be con­ petitive effects of the proposed transaction are summated (a) before the thirtieth day following clearly outweighed in the public interest by the the date of this Order or (b) later than three probable effect of the transaction in meeting the months after the date of the Order. convenience and needs of the community to be Dated at Washington, D.C., this 22nd day of ' All banking data are as of this date, unless other­ May, 1967. wise noted. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

972 FEDERAL RESERVE BULLETIN • JUNE 1967 served. In each case the Board is required to take Savings Bank. Analyses of the loan portfolios of into consideration the financial and managerial the two proposed subsidiary banks indicate that resources and future prospects of the bank holding Huntington Bank makes few farm loans, while company and the banks concerned, and the con­ such loans constitute a substantial portion of Sav­ venience and needs of the community to be served. ings Bank’s loan business. On the basis of the Competitive effect of proposed transaction. foregoing data, and considering that under Ohio Slightly in excess of 50 per cent of the deposits law intercounty branching is prohibited, the Board held by all banks in Ohio are controlled by the concludes that present competition between Hunt­ State’s 13 largest banking organizations. Applicant ington Bank and Savings Bank is insignificant ranks 11th in size of these organizations with con­ and that potential for competition between the trol of 2 per cent of such deposits. Consummation two banks is minimal. of this proposal would add less than 1 per cent On the basis of the evidence of record, the to the deposits under Applicant’s control and those Board concludes that consummation of Applicant’s controlled by the aforementioned banking organi­ proposal would have no measurable adverse com­ zations. Applicant’s relative size position would petitive effect on other banks in Franklin or remain unchanged. Fayette counties. As earlier stated, the proposal The two bank holding companies presently will result in no change in Huntington Bank’s operating in Ohio rank third and fifth among the operation. As to the impact in Fayette County of banking organizations and together control about this proposal, Savings Bank presently holds de­ 10 per cent of the deposits in the State. Consum­ posits ($12 million), representing 20 per cent of mation of Applicant’s proposal would increase the deposits of banks competing in Fayette County, holding company control of deposits to about 12 which is Savings Bank’s primary service area. It per cent. ranks second in deposit size to The First National The foregoing data indicate that consummation Bank of Washington Court House, a bank holding of Applicant’s proposal will not result in any company subsidiary, with $13 million in deposits, significant change in the control of banking re­ representing 22 per cent of the deposits of banks sources by Ohio’s large banking organizations, competing in the area. The remaining bank located including bank holding companies. On the basis in Fayette County, formed by a recent merger of the aforestated data and other relevant facts of two banks, operates two offices holding total of record, the Board concludes that Applicant’s deposits of nearly $3 million. Seven other banks acquisition of Savings Bank would not result in a located outside Fayette County compete therein. monopoly, or be in furtherance of any combi­ These banks, located nine to sixteen miles from nation or conspiracy to monopolize or attempt to Savings Bank’s office, hold deposits ranging from monopolize the business of banking in any rele­ less than $1 million to almost $10 million. Con­ vant area of the State. summation of Applicant’s proposal, while placing Huntington Bank is located in, and generally both banks in Washington Court House under serves, Franklin County. Applicant’s proposal in­ bank holding company control, would not reduce volves no significant change in the method and the number of banking alternatives. Rather, Sav­ scope of Huntington Bank’s operations. Savings ings Bank should become a far more effective Bank, located in Fayette County, one county re­ competitor under applicant’s ownership. There moved from Franklin County, does not compete would remain available to the residents of the in the latter county. Huntington Bank draws but Washington Court House area services of the a minor portion of its business (.2 per cent of its locally-owned independent bank, which proposes total deposits and .05 per cent of its loans) from to establish a third office near Washington Court Fayette County, Savings Bank’s primary service House. area.2 The deposits thus derived have been in the In summary the Board concludes that Appli­ form of certificates of deposit on which Hunting­ cant’s acquisition of Savings Bank would not result ton Bank pays a higher rate of interest than does in a substantial lessening of competition, tend to create a monopoly, or be in restraint of trade in 2 Area from which Savings Bank derives 88 per any relevant area. cent of its total of deposits of individuals, partner­ ships, and corporations. Financial and managerial resources and future Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

LAW DEPARTMENT 973 prospects. Applicant has been in operation since is the county seat and situs of Savings Bank’s 1966 and owns a controlling interest in but one offices. Until mid-1950, the business establish­ bank, Huntington Bank. Despite its brief history, ments of Washington Court House were essentially Applicant’s financial condition appears satisfactory of a retail and service character. In the ensuing and its prospects, based principally upon the satis­ period, several nationally known companies have factory condition of Huntington Bank, appear established factories in a newly-developed 95-acre favorable, as do the prospects of Huntington industrial park, resulting in continuously increas­ Bank. Applicant’s principal executive officers and ing industrial employment and increased residen­ the members of its board of directors serve in tial construction. The record sustains Applicant’s similar capacities with Huntington Bank. The stated belief for continued economic growth of management of both institutions is considered the area. satisfactory. While Savings Bank has shown a competitive Savings Bank, opened in 1907 and reorganized attitude with respect to the community’s need in 1933, is in satisfactory financial condition. Its for a place of deposit of funds, it has not shown prospects, however, are less favorable. Savings similar response to the credit requirements pre­ Bank, with a history of sound but conservative sented by the economic and residential expansion management, is presently faced with a serious of the area. Savings Bank has declined to make need for capable executive management and po­ FHA or VA insured mortgage loans, or any type tential successor management. In December 1966, of home improvement loan. Mortgage loans are the chief operating officer died and was replaced made on a highly conservative basis, as a result by a former official, 80 years of age, who, because of which the bank has made only a small per of a serious illness, is no longer with the bank. cent of the total recorded real estate loans in the The bank’s management is presently the respon­ county. Savings Bank has also been ultraconserva­ sibility of an assistant treasurer who is assisted on tive in its policy toward automobile and consumer a part-time basis by a retired druggist, near 80 loans. These policies explain in large measure years of age, who is now president and chairman Savings Bank’s present low loan to deposit ratio of the bank. of 23 per cent. It is readily apparent that Savings Bank has a Applicant states its intention, if control of Sav­ pressing need for experienced executive manage­ ings Bank is acquired, to expand the bank’s mort­ ment, and that there is no real likelihood that gage, home improvement, automobile, and con­ such personnel can be secured under present sumer loan programs, and to commit Savings Bank ownership. Applicant proposes, if this application to greater participation in the financing of local is approved, to place in the bank executive per­ political subdivisions (only 5 per cent of Savings sonnel having qualifications and experience parel- Bank’s present portfolio is represented by Fayette leling that of the personnel in the Huntington County municipal issues). Moreover, Applicant is Bank. It is the Board’s judgment that Applicant’s also considering the establishment of an additional proposal offers an immediate and certain resolu­ branch office to assure more convenient service to tion to the serious management problem in Savings the community. The assurance of assistance to Sav­ Bank and that, under Applicant’s ownership, Sav­ ings Bank with respect to expanded services, and ings Bank’s prospects would be considerably more provision of management personnel offered by Ap­ favorable than they are at present. This considera- plicant’s proposal, provides a reasonable likelihood ation weighs significantly in favor of approval of that Savings Bank will emerge a full service institu­ Applicant’s proposal. tion better able to serve the convenience and needs Convenience and needs of area involved. As of the community. Accordingly, considerations re­ earlier indicated, Applicant’s acquisition of Savings lating to convenience and needs of the community Bank should have little or no effect on the service are viewed as favorable to approval of the applica­ Huntington Bank now provides. It is now meeting, tion. and will continue to serve, the major banking re­ Conclusion. On the basis of all the relevant quirements of its customers, principally located facts contained in the record, and in light of the in the Columbus-Franklin County area. As to the likely effect on the primary service factors set forth in section 3(c) of the Act, it is area of Savings Bank, Fayette County is essentially the Board’s judgment that the proposed transac­ a rural and agricultural area. Washington Court tion would be consistent with the public interest House, located 50 miles southwest of Columbus, and that the application should be approved. 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Announcements APPOINTMENT OF DIRECTOR to whom authority has been delegated in the On May 17, 1967, the Board of Governors event that any person claims to have been ad­ versely affected. announced the appointment of R. M. Buckley of It is expected that the efficient and expeditious Beaumont, Texas, as a director of the Houston performance of the Board’s major responsibilities, Branch of the Federal Reserve Bank of Dallas, for both in the field of monetary and credit policy the unexpired portion of a term ending December and in the field of bank supervision and regulation, 31, 1968. Mr. Buckley is President of EasTex will be facilitated by the delegation of many func­ Incorporated, Evadale, Texas. As a director of tions that formerly had to be performed in all the Houston Branch he succeeds Mr. Donald B. cases by the Board itself. Campbell, retired Works Manager, Sabine River Text of the new regulation appears on pages Works, E. I. du Pont de Nemours and Company, Orange, Texas, who recently resigned. 965-67 of this Bulletin. DELEGATION OF BOARD AUTHORITY RECIPROCAL CURRENCY ARRANGEMENTS The Board of Governors of the Federal Reserve The Federal Reserve System announced on May System on June 12, 1967, announced it was dele­ 18, 1967, that reciprocal currency swap arrange­ gating, effective July 1, 1967, certain of its ad­ ments have been concluded on a standby basis ministrative and bank supervisory functions to with the National Bank of Denmark, in the amount the Federal Reserve Banks and to specified of­ of $100 million (about 691 million Danish ficials on the Board’s staff. kroner); the Bank of Mexico, in the amount of The action, which marks the initial implementa­ $130 million (about 1,625 million Mexican pesos); tion of authority granted to the Board by the and the Bank of Norway, in the amount of $100 Congress in November 1966, takes the form of million (about 714 million Norwegian kroner). a new regulation, “Rules Regarding Delegation The Federal Reserve now has reciprocal cur­ of Authority.” The handling of several types of rency swap arrangements totaling $4,830 million administrative action, in accordance with stand­ with the following banks: ards prescribed in the regulation, will be ex­ (In millions pedited by the new procedure. of dollars) Authority to approve domestic branches of Austrian National Bank 100 State-chartered member banks is among the more National Bank of Belgium 150 Bank of Canada 500 significant matters delegated by the Board—in this National Bank of Denmark 100 case to the Federal Reserve Banks. Examples of Bank of England 1,350 other delegated actions, which formerly required Bank of France 100 specific Board approval, include extensions of German Federal Bank 400 Bank of Italy 600 time for registration by a bank holding company, Bank of Japan 450 extensions of time for registration of securities Bank of Mexico 130 of State member banks, waiver of the 6 months’ Netherlands Bank 150 notice that a State member bank must give before Bank of Norway 100 Bank of Sweden 100 withdrawing from membership, approval of an Swiss National Bank 200 investment by a State member bank in bank Bank for International Settlements 400 premises in excess of its capital stock, and the declaration of dividends by a State member bank In all such arrangements the Federal Reserve in certain circumstances. Bank of New York acts on behalf of the 12 The new regulation provides for review by the Federal Reserve Banks under the direction of the Board of Governors of any action taken by those Federal Open Market Committee. 975 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

National Summary of Business Conditions Released for publication June 16 Industrial production and nonfarm employ­ EMPLOYMENT ment declined somewhat in May and retail sales Nonfarm employment declined somewhat fur­ rose slightly. Bank credit, time and savings de­ ther in May with the declines concentrated in posits, and the money supply increased. Yields manufacturing and construction. Manufacturing on Treasury bills and on most intermediate- and employment was off 78,000 which included 47,000 long-term securities rose between mid-May and workers on strike in the tire industry. Employment mid-June. continued to advance in service industries and government. The average workweek of factory INDUSTRIAL PRODUCTION workers declined by 0.2 hour and, at 40.3 hours, Industrial production in May was 155.5 per cent was 1.2 hours shorter than a year earlier. The of the 1957-59 average as compared with 156.0 unemployment rate rose slightly in May to 3.8 in April and 155.3 a year earlier. Output of con­ per cent but remained within the range prevailing sumer goods changed little and production of since the beginning of 1966. business equipment and industrial materials declined. DISTRIBUTION Auto assemblies were maintained at the April The value of retail sales rose slightly in May, level of 150 per cent of the 1957-59 average and according to the Department of Commerce’s ad­ were 10 per cent below a year earlier. Production vance estimate. March-through-May sales were of television sets and appliances increased in May 1 per cent above the prior three months and 3 but was 15 per cent below last October’s peak. per cent above the comparable period in 1966. Output of some other consumer goods declined. Sales at durable goods stores in May changed Production of industrial equipment declined fur­ little from the previous month as an increase in ther and output of commercial equipment leveled automotive dealers’ sales was about offset by de­ off at the record April rate. clines at other durable stores. At nondurable goods Production of iron and steel was about un­ stores, sales rose 1 per cent further, about the changed in May, while output of construction same rise as in April. materials and some nondurable materials declined. COMMODITY PRICES Prices of farm products turned up abruptly in early May when livestock marketings contracted from earlier high levels. In early June livestock and meat prices increased further. Wholesale prices of industrial commodities apparently re­ mained stable in early May, with sensitive indus­ trial material prices declining further. In late May and early June, however, industrial material prices strengthened somewhat, owing in part to supply uncertainties resulting from the mid-East situation. BANK CREDIT, DEPOSITS, AND RESERVES Commercial bank credit increased $2.3 billion in May, the same amount as in April, but less than in earlier months of the year. Bank holdings of municipal and Federal agency securities con­ tinued to expand at about the same high rate as in the previous month, and holdings of U.S. Gov- 976 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

NATIONAL SUMMARY OF BUSINESS CONDITIONS 977 ernment securities also rose after declining in SECURITY MARKETS April. Total loans, however, were unchanged fol­ Yields on Treasury bills rose on balance be­ lowing sharp expansion a month earlier. tween mid-May and mid-June. The 3-month issue The money supply increased $2 billion in May was bid at around 3.60 per cent in the middle of following a decline in April. U.S. Government June. Yields on U.S. Government notes and bonds deposits, however, dropped sharply. Time and moved higher over the same period. savings deposits at commercial banks rose at about Yields on corporate and municipal bonds main­ the same rapid rate as in April but at a slightly tained their upward momentum during May. In lower pace than earlier in the year. early June, corporate yields continued their ad­ Free reserves continued to increase over the five weeks ending May 31, averaging about $270 vance, but municipal yields tended to level off. million. Member bank borrowings declined further Common stock prices declined rather steadily and excess reserves rose slightly. Total and re­ throughout May and early June, but have recently quired reserves declined somewhat in May follow­ turned up again and at midmonth were close to ing slackened growth in April. their May high. PRICES WUOIESREE CONSUMER INTEREST RATES Bureau of Labor Statistics indexes. Latest figures shown are Discount rate, range or level for all F.R. Banks. Weekly for April. average market yields for U.S. Govt, bonds maturing in 10 years or more and for 90-day Treasury bills. Latest figures shown, week ending June 9. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

Guide to Tabular Presentation SYMBOLS AND ABBREVIATIONS e Estimated N.S.A. Monthly (or quarterly) figures not c Corrected adjusted for seasonal variation IPC Individuals, partnerships, and corpora­ p Preliminary tions r Revised SMSA Standard metropolitan statistical area rp Revised preliminary A Assets i, n, L Liabilities III , IV Quarters S Sources of funds n.a. Not available U Uses of funds n.e.c. Not elsewhere classified Amounts insignificant in terms of the par­ S.A. Monthly (or quarterly) figures adjusted ticular unit (e.g., less than 500,000 for seasonal variation when the unit is millions) (1) Zero. (2) no figure to be expected, or (3) figure delayed GENERAL INFORMATION Minus signs are used to indicate (1) a decrease, (2) a negative figure, or (3) an outflow. A heavy vertical rule is used (1) to the right (to the left) of a total when the components shown to the right (left) of it add to that total (totals separated by ordinary rules include more components than those shown), (2) to the right (to the left) of items that are not part of a balance sheet, (3) to the left of memorandum items. “U.S. Govt, securities” may include guaranteed issues of U.S. Govt, agencies (the flow of funds figures also in­ clude not fully guaranteed issues) as well as direct obligations of the Treasury. “State and local govt.” also includes municipalities, special districts, and other political subdivisions. In some of the tables details do not add to totals because of rounding. The footnotes labeled Note (which always appear last) provide (1) the source or sources of data that do not originate in the System; (2) notice when figures are estimates; and (3) information on other characteristics of the data. LIST OF TABLES PUBLISHED QUARTERLY, SEMIANNUALLY, OR ANNUALLY, WITH LATEST BULLETIN REFERENCE Quarterly Issue Page Annually—Continued Issue Page Flow of funds...................................................... May 1967 850-61 Banking and monetary statistics, 1966.............. Mar. 1967 456-70 June 1966 901-04 Banks and branches, number of, by class and Semiannually State.............................................................. Apr. 1967 658-59 Banking offices: Analysis of changes in number of.................. Feb. 1967 310 Flow of funds (assets and liabilities)................ Oct. 1966 1536-46 On, and not on, Federal Reserve Par List, number of................. Feb. 1967 311 Income and expenses: Federal Reserve Banks............................... Feb. 1967 308-09 Member banks: Annually Calendar year............................................. May 1967 862-70 Operating ratios............................................. Apr. 1967 660-62 Bank holding companies: Insured commercial banks.............................. July 1966 1046 List of, Dec. 31, 1965.................................. June 1967 1042 Banking offices and deposits of group banks, Stock exchange firms, detailed debit and credit Dec. 31, 1965................................................ Aug. 1966 1250 balances........................................................ Sept. 1966 1408 978 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

Financial and Business Statistics United States Member bank reserves, Reserve Bank credit, and related items; Federal funds......... 980 Reserve Bank discount rates; margin requirements; reserve requirements.................... 985 Bank deposits; open market transactions; Federal Reserve Banks.................................. 987 Bank debits; currency in circulation .................................................................................... 990 Money supply and bank reserves; banks and the monetary system................................ 992 Commercial and mutual savings banks, by classes ............................................................ 996 Commercial banks .................................................................................................................. 997 Weekly reporting banks.............................................................................................................. 1000 Business loans ........................................................................................................................... 1004 Interest rates ................................................................................................................................ 1005 Security prices; stock market credit........................................................................................ 1006 Open market paper; savings institutions ............................................................................. 1007 Federally sponsored credit agencies........................................................................................ 1009 Federal finance............................................................................................................................. 1010 U.S. Government securities....................................................................................................... 1012 Security issues................................................................................................................................ 1016 Business finance ....................................................................................................................... 1018 Real estate credit ....................................................................................................................... 1020 Consumer credit ......................................................................................................................... 1024 Industrial production.................................................................................................................. 1028 Business activity; construction.................................................................................................. 1032 Employment and earnings ......................................................................................................... 1034 Wholesale and consumer prices................................................................................................ 1036 National product and income series......................................................................................... 1038 Flow of funds............................................................................................................................... 1040 Bank Holding Companies, December 31, 1966 ................................................................... 1042 Guide to tabular presentation................................................................................................. 978 Index to statistical tables .......................................................................................................... 1073 The data for F.R. Banks and member banks and eral finance, and Federal credit agencies are obfor consumer credit are derived from regular tained from Treasury statements. The remain­ reports made to the Board; production indexes ing data are obtained largely from other are compiled by the Board on the basis of data sources. For many of the banking and monetary collected by other agencies; and flow of funds series back data and descriptive text are avail­ figures are compiled on the basis of materials able in Banking and Monetary Statistics and from a combination of sources, including the its Supplements (see list of publications at end Board. Figures for gold stock, currency, Fed- of the Bulletin). 979 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

980 BANK RESERVES AND RELATED ITEMS JUNE 1967 MEMBER BANK RESERVES, FEDERAL RESERVE BANK CREDIT, AND RELATED ITEMS (In millions of dollars) Factors supplying reserve funds Factors absorbing reserve funds F. R. Bank credit outstanding Deposits, other than member bank Member bank P d e o a ri r t o e d T U o .S ta . l Go B v r o o i t g u u , h g t s ­ t h ec t u R r c a i e h g t p i a r e e u s s e e r 1 ­ ­ c v D o a a a n u n d i c d n s ­ e ­ ts s Float 2 t T al o ­ 3 s G to o c ld k T s r c o e t u i r a u n n u e r n g c r y t a ­ ­ y d s ­ ­ r c C t e c u i i n o i u n l r c a n r ­ y ­ ­ T h c i r u n o a e r g s l a y d h s s ­ ­ T u r w e ry i a t s h ­ r F e F e s .R e i o g r . r n v ­ e B s a , O nk th s er2 c O F o a t . u c h R n ­ e . t r s B W F a . n R it k h . s re r C e a se n n u r c d r v y ­ e s Total ments coin 4 Averages of daily figures 1929—June........ 179 179 978 61 1,317 4,024 2,018 4,400 210 30 30 376 2,314 .......... 2,314 1933—June........ 1,933 1,933 250 12 2,208 4,030 2,295 5,455 272 81 64 350 2,211 2,211 1939—Dec......... 2,510 2,510 8 83 2,612 17,518 2,956 7,609 2,402 616 73; 248 11,473 11,473 1941—Dec......... 2,219 2,219 5 170 2,404 22,759 3,239 10,985 2,189 592 1.231 292 12,812 12,812 1945—Dec......... 23,708 23,708 381 65224,744 20,047 4,322 28,452 2,269 625 1,247 493 16,027 16,027 1950—Dec......... 20,345 20,336 9 142 1,117 21,606 22,879 4,629 27,806 1,290 615 920 353 739 17,391 17,391 1956—Dec......... 24,765 24,498 267 706 1,633 27,156 21,942 5,064 31,775 772 463 372 247 998 19,535 19,535 1957—Dec......... 23,982 23,615 367 716 1,443 26,186 22,769 5,144 31,932 768 385 345 186 1,063 19.420 19,420 1958—Dec.......... 26.312 26,216 96 564 1,49628,412 20,563 5,230 32,371 691 470 262 337 1,174 18,899 18,899 1959—Dec......... 27,036 26,993 43 911 1,42629,435 19,482 5,311 32,775 396 524 361 348 1,195 18,628 304 18,932 I960—Dec......... 27,248 27,170 78 94 1,66529,060 17,954 5,396 33,019 408 522 250 495 1,029 16,688 2,595 19,283 1961—Dec.......... 29,098 29,061 37 152 1,921 31,217 16,929 5,587 33,954 422 514 229 244 1,112 17,259 2,859 20,118 1962—Dec......... 30,546 30,474 72 305 2,29833,218 15,978 5,561 35,281 398 587 222 290 1,048 16,932 3,108 20,040 1963—Dec......... 33,729 33,626 103 360 2,43436,610 15,562 5,583 37,603 389 879 160 206 1,215 17,303 3,443 20,746 1964—Dec......... 37.126 36,895 231 266 2,42339,873 15,388 5,401 39,698 595 944 181 186 1,093 (7,964 3,645 21,609 1965—Dec......... 40.885 40,772 113 490 2,34943,853 13,799 5,565 42,206 808 683 154 231 389 18,747 3,972 22,719 1966—-Apr......... 40,629 40,587 42 647 1,93443,339 13,632 5,768 41,671 941 31! 148 398 505 18,766 3,762 22,528 May........ 41,129 41,012 117 743 1 ,877 43,891 13,565 5,838 41,858 968 670 138 386 512 18,762 3,725 22,487 June 41,672 41,653 19 685 1,93644,498 13,500 5,916 42,296 1,033 824 152 394 535 (8,679 3,855 22,534 July......... 42,221 42,210 11 767 2,62445,737 13,415 5,971 42,825 1,066 1 ,059 196 4(9 338 19,220 3,870 23,090 Aug......... 42,280 42,130 150 730 2,29045,348 13,311 6,019 42,884 1,067 1,107 135 409 316 18,759 3,896 22,655 Sept...4..2..,.7.35 42.725 10 774 2,07445,631 13,258 6,072 42,991 1,078 869 (31 407 217 19,268 3r972 23,240 Oct.......... 42,837 42,817 20 749 1,94945,604 13,257 6,138 43,122 1,121 758 (45 439 5 19,409 3,924 23,333 Nov......... 43,347 43,165 182 626 2,02946,087 13,251 6,214 43,748 1,173 682 152 429 143 (9,225 4,026 23,251 Dec.......... 43,760 43,274 486 570 2,38346,864 13,158 6,284 44,579 1,191 291 164 429 83 19,568 4,262 23,830 1967—Jan.......... 44,066 43,847 219 389 2,21546,802 13,158 6,350 43,957 1,225 566 153 442 203 19,765 4,305 24,070 Feb......... 44,215 43,915 300 362 1,87546,587 13,144 6,409 43,525 1,252 609 136 448 496 19,675 4,034 23,709 Mar......... 44,620 44,351 269 200 1,60646,524 13,108 6,473 43,673 1,297 505 136 443 647 19,404 4,001 23,405 Apr.......... 45,082 44,942 140 155 1,54046,902 13,108 6,530 43,812 1,356 860 125 463 559 19,365 3,997 23,362 May........ 45,699 45,481 218 126 1,37447,323 13,108 6,576 44,082 1,393 990 137 450 692 19,263 M,OI7*23,280 Week ending— 1966 Apr. 6, ............ 40,924 40,779 145 643 1,63743,325 13,633 5,739 41,510 930 309 173 387 607 18,782 3,576 22,358 13.............. 40,821 40,787 34 623 1,86943,431 13,633 5,760 41,864 933 138 158 395 558 18,778 3,624 22,402 20.............. 40,301 40,301 706 2,17643,293 13,632 5,776 41,768 951 268 146 406 448 18,713 3,914 22,627 27.............. 40,446 40,446 1,98843,254 13,632 5,781 41,563 949 466 133 404 454 18^699 3,916 22,615 May 4 ............ 40,837 40,755 82 637 1,92843,560 13,633 5,797 41,605 935 510 157 400 417 18,966 3,769 22,735 11 ............ 41,239 40,940 299 702 1,77743,831 13,618 5,819 41,834 941 517 131 391 411 19,044 3,549 22,593 18 40,947 40,812 135 685 2,025 43,771 13,532 5,833 41,924 966 591 137 384 436 18,700 3,775 22,475 25.............. 41,015 41,015 674 1,98343,827 13,532 5,860 41,859 988 855 130 375 640 18,372 3,869 22,241 June 1 ............. 41,457 41,457 832 1,67044,139 13,534 5,869 41,988 995 839 149 393 633 18,545 3,823 22,368 8...4..1..,.6..8..2.. 41,661 21 567 1,76544,230 13,533 5,888 42,226 992 737 146 392 617 18,542 3,662 22,204 15.............. 41,659 41,601 58 800 1,80944,450 13,533 5,911 42,356 1,018 909 (36 388 567 (8,518 3,812 22,330 22.............. 41,528 41,528 697 2,25444,665 13,505 5,931 42,327 1,052 799 155 394 499 18,876 3,843 22,719 29............. 41;795 41,795 776 1,97944,783 13,432 5^933 42,251 1,076 855 152 390 472 18,952 3,984 22,936 July 6...4..2..,.5..8..5.. 42,581 4 832 2,00645,659 13,434 5,965 42,637 1,065 710 208 428 454 19,554 3,619 23,173 13............. 42,656 42,653 3 818 2,43046,085 13,435 5,972 43,019 1,066 1,022 147 418 437 19,383 3,869 23,252 20............. 41,684 41,684 631 3,22545,615 13,434 5,966 42,921 1 062 1,156 160 433 332 18,951 3,984 22,935 27.............. 41,873 41,873 682 2,77545,396 13,406 5,969 42,747 1,076 1,216 144 400 270 18,916 4,031 22,947 Aug. 3.............. 42,445 42,287 158 778 2,43945,713 13,332 5,993 42,752 1,052 1,286 319 420 168 19,042 3,945 22,987 10............. 42,583 42,231 352 786 2,32445,743 13,333 6,003 42,908 1,047 1,105 139 404 283 19,194 3,684 22,878 17.............. 42,003 41,809 194 731 2,52445,305 13,332 6,014 43,000 1,069 1,065 (31 414 265 18,708 3,898 22,606 24............... 41,813 41,813 720 2,541 45,121 13,312 6,030 42,894 1,081 1,056 126 401 386 18,519 3,935 22,454 31............. 42,597 42,597 693 1,77545JI4 13,258 6,041 42,771 1,079 1,083 138 412 352 18,'578 4,063 22,641 42,977 42,977 75! 1,75445,531 13,258 6,050 42,982 1,063 988 127 410 286 18,981 3,688 22,669 14.............. 42,936 42,895 41 893 1,91445,791 13,258 6,069 43,228 1,071 835 125 409 234 19,218 4,013 23,231 21............. 42,525 42,525 782 2,485 45,841 13,257 6,074 43,000 1 ,084 622 128 403 168 19,767 3,984 23,751 28.............. 42,493 42,493 662 2,19745,399 13,257 6,086 42,804 1,092 1,032 138 401 218 19,056 4,077 23,133 Oct. 5.. .......... 42,999 42,989 10 843 1,82545,722 13,258 6,106 42,878 1,091 693 146 442 88 19,748 3,866 23,614 12.............. 42,969 42,969 947 1,88045,891 13,258 6,121 43,228 1 ,099 680 157 445 92 19,570 3,788 23,358 19............. 42,521 42,521 805 2,155 45,532 13 256 6,145 43,267 1,120 706 148 439 -56 19,309 4,009 23,318 26.............. 42,794 42,715 79 533 2,043 45,440 13,256 6,!54 43,088 1,138 924 127 432 -45 19,187 4,080 23,267 For notes see opposite page. 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JUNE 1967 BANK RESERVES AND RELATED ITEMS 981 MEMBER BANK RESERVES, FEDERAL RESERVE BANK CREDIT, AND RELATED ITEMS—Continued (In millions of dollars) Factors supplying reserve funds Factors absorbing reserve funds F.R. Bank credit outstanding Deposits, other than member bank Member bank Period Treas­ Cur­ reserves, reserves d o at r e T U o .S ta , l Go B v r o o i t g u , u h t s g ­ t e h c t u R a m r c g i e h t e r p a i e n e s u e t s e r s ­ 1 ­ c v o D a a a n u n d i c n d s ­ e ­ t s s Float 2 t T al o ­ 3 s G to o c ’ k d s r o c e t i u a n u n u r n g c y r t ­ ­ d y ­ r c t e c u i i n o i n l r c a n ­ y ­ T h c i u o n r a e r g l s y d a s h s ­ ­ T u r w e ry a it s h ­ F e F .R i o g . r n ­ Ba O nk th s er2 c O F o a t . u c h R n ­ e . t r s B W F a . n R it k h . s c r C o a e n i u n n d c r ­ y ■* Total Averages of daily figures Week ending— 1966 Nov. 2............ 43,019 42,958 61 610 1,770 45,472 13,257 6,167 43,089 1,154 805 156 435 -33 19,290 4,090 23,380 9.............. 43,474 43,281 193 661 1,890 46,100 13,258 6,185 43,406 1,163 740 162 435 17 19,620 3,735 23,355 16.............. 43,415 M3,265 150 726 1,951 46,165 13,259 6,212 43,765 1,168 714 130 452 59 19,347 4,007 23,354 23............. 42,977 42,959 18 455 2,450 45,967 13,257 6,230 43,876 1,180 707 148 409 258 18,875 4,048 22,923 30............. 43,527 43,171 356 650 1,90246,191 13,230 6,241 44,106 1,184 556 162 417 279 18,958 M,268 23,226 43,792 43,312 480 462 2,014 46,399 13,158 6,252 44,210 1,188 452 162 415 255 19,126 4,062 23,188 14............. 43,597 43,264 333 668 2,032 46,407 13,158 6,283 44,603 1,199 127 181 412 63 19,262 4,256 23,518 21............. 43,492 43,126 366 485 2,671 46,808 13,158 6,291 44,675 1,188 203 155 416 32 19,588 4,304 23,892 28.............. 43,947 43,263 684 559 2,77747,468 13,159 6,297 44,773 1,191 352 154 425 52 19,977 4,188 24,165 1967 Jan. 4............. 44,230 43,697 533 566 2,493 47,491 13,159 6,311 44,670 1,194 375 167 529 -92 20,116 4,546 24,662 11............. 44,553 44,000 553 586 2,217 47,563 13,159 6,344 44,445 1,214 510 143 435 150 20,168 4,331 24,499 18.. 43,937 43,797 140 218 2,111 46,384 13,158 6,348 44,004 1,221 565 149 445 209 19,298 4,363 23,661 25............. 43,940 43,906 34 538 2,02646,58! 13,158 6,360 43,567 1,234 699 174 410 307 19,709 4,280 23,989 Feb. 1 .............. 43,698 43,698 176 2,267 46,216 13,159 6,375 43,343 1,242 598 138 431 344 19,654 4,255 23,909 8............. 44,133 43,928 205 354 2,017 46,630 13,159 6,392 43,405 1,252 448 145 482 393 20,056 3,793 23,849 15............. 44,244 43,987 257 456 1,920 46,747 13,159 6,402 43,614 1,260 704 141 436 423 19,729 3,997 23,726 22.............. 44,337 43,844 493 477 1,85546,811 13,144 6,420 43,568 1,252 686 128 434 588 19,720 4,093 23,813 44,187 43,942 245 167 1,676 46,183 13,108 6,433 43,540 1,253 579 127 444 615 19,166 4,257 23,423 8............. 44,550 44,276 274 202 1,553 46,451 13,109 6,447 43,571 1,27! 451 132 435 720 19,427 3,760 23,187 15............. 44,563 44,192 371 173 1,465 46,271 13,107 6,463 43,753 1,283 244 135 454 674 19,296 3,986 23,282 22.............. 44,717 44,378 339 302 1,858 46,947 13,108 6,483 43,718 1,304 592 137 436 604 19,747 3,945 23,692 29............... 44,659 44,529 130 138 1,57746,480 13,108 6,496 43,674 1,324 656 137 447 598 19,247 4,082 23,329 45,012 44,759 253 193 1,361 46,677 13,108 6,503 43,680 1,328 658 130 454 648 19,390 3,999 23,389 12........ 45,013 44,840 173 165 1,463 46,763 13,108 6,517 43,914 1,340 612 135 465 634 19,289 3,873 23,162 19............. 44,929 44,888 41 199 1,791 47,024 13,109 6,529 43,894 1,360 795 120 465 506 19,520 4,060 23,580 26............. 45,142 45,098 44 123 1,49346,888 13,108 6,553 43,754 1,382 1,087 119 469 511 19,227 4,158 23,385 45,597 45,295 302 159 1,441 47,369 13,109 6,566 43,799 1,383 1,201 127 461 503 19,570 4,053 23,623 10............. 45,929 45,469 460 88 1,384 47,567 13,109 6,567 44,015 1,396 1,050 143 463 539 19,636 3,777 23,413 17.............. 45,543 45,243 300 148 1.51247.326 13,108 6,579 44,136 1,404 952 121 455 606 19,341 *4,033 *23,374 24............. 45,530 45,530 75 U5 32 47.241 13,109 6,568 44,073 1,391 1,068 121 442 841 18,982 *4,095 *23,077 31.............. 45,726 45,657 69 127 1,15047,081 13,109 6,591 44,194 1,380 872 158 439 854 18,883*4,175*23,058 End of month 1967 Feb..................... 43,971 43,971 165 1,550 45,799 13,107 6,416 43,585 1,238 386 145 432 619 18,916 4,479 23,395 44,921 44,762 159 42 1,434 46,507 13,109 6,489 43,583 1,315 828 131 454 646 19,148 4,432 23,580 45,470 45,116 354 54 1,574 47,264 13,109 6,565 43,714 1,366 1,360 123 457 492 19,410 3,650 23,060 46,066 45,743 323 415 1,24847,799 13,109 6,595 *44,415 Pl,374 574 193 443 870 19,634*4,359 *23,993 Wednesday 1967 43,971 43,971 115 1,518 45,713 13,109 6,438 43,573 1,263 475 133 451 610 18,755 4,511 23,266 8.............. 45,288 44,350 938 327 1,393 47,151 13,109 6,454 43,744 1,283 181 123 447 749 20,187 4,123 24,310 15............. 44,622 44,295 327 278 1,528 46,498 13,(09 6,471 43,788 1,301 452 128 455 595 19,358 4,490 23,848 22.............. 44,879 44,478 401 111 1,521 46,579 13,109 6,483 43,759 1,322 297 134 431 599 19,630 4,390 24,020 29.............. 44,529 44,529 39 1,26045,928 13,109 6,504 43,725 1,335 677 134 454 597 18,619 4,685 23,304 Apr. 5.............. 45,308 44,858 450 539 1,497 47,502 13,109 6,494 43,849 1,334 418 123 456 655 20,270 4,030 24,300 ' 12.............. 44,982 44,693 289 920 1,383 47,409 13,109 6,519 43,999 1,350 549 143 470 488 20,037 4,474 24,511 19............. 45,385 45,245 140 213 1,551 47,254 13,109 6,543 43,889 1,374 762 128 464 502 19,787 4,463 24,250 26.............. 45,383 45,075 308 481 1,39047,441 13,109 6,561 43,805 1,386 840 118 464 512 19,986 4,635 24,621 46,146 45,612 534 159 1,385 47,876 13,109 6,575 43,959 1,400 974 138 464 527 20,098 4,200 24,298 10............. 45,794 45,404 390 68 1,273 47,291 13,109 6,572 44,171 1,406 1,148 124 479 542 19,102 4,268 23,370 17............. 45,511 45,316 195 178 1,604 47,415 13,109 6,586 44,175 1,413 1,008 126 439 837 19,112 *4,385 *23,497 24.............. 45,530 45,530 55 1,282 46,968 13,109 6,581 44,108 1,403 1.170 122 436 835 18,584 *4,579 *23,163 31.............. 46,066 45,743 323 415 1,24847,799 13,109 6,595 44,415 1,374 574 193 443 870 19,634 *4,359*23,993 1 U.S. Govt, securities include Federal agency obligations. on Wed. and end-of-month dates, see subsequent tables on F.R. Banks. 2 Beginning with I960 reflects a minor change in concept; see Feb. See also note 2. 1961 Bulletin, p. 164, , , 4 Part allowed as reserves Dec. 1, 1959-Nov. 23, 1960; all allowed 3 Includes industrial loans and acceptances, when held (industrial thereafter. Beginning with Jan. 1963, figures are estimated except for loan program discontinued Aug. 21, 1959). For holdings of acceptances weekly averages. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

982 BANK RESERVES AND RELATED ITEMS JUNE 1967 RESERVES AND BORROWINGS OF MEMBER BANKS (In millions of dollars) Reserve city banks All member banks New York City City of Chicago Period Reserves Bor­ Reserves Bor­ Reserves Bor­ T h o e t ld al qu R ir e e ­ d Excess B r F i o a n a . n w g R t k s ­ . s s F e r r r e v e ­ e e s T h o e t ld al qu R ir e e ­ d Excess B r F i o n a a . n w g R t k s . ­ s se F r r r e v e ­ e e s T h o el t d al qu R ir e e ­ d Excess B r F i o a n a . n w g R t k s . ­ s se F r r r e v e ­ e e s 1929—June........... 2,314 2,275 42 974 -932 762 755 7 174 -167 161 161 1 63 -62 1933—June............ 1 2’160 1'797 363 184 179 861 792 69 69 211 133 78 78 1939—Dec............. 11,473 6*462 5,011 3 5,008 5,623 3,012 2,611 2,611 I ,141 601 540 540 1941—Dec............. 12,812 9,422 3^390 5 3'385 5^142 4353 *989 '989 1J43 848 295 295 1945—Dec............. 16,027 14,536 1 '491 334 1*157 4,118 4,070 48 192 -144 939 924 14 14 1947—Dec............. (7,261 16,275 *986 224 *762 4'404 4,299 105 38 67 1,024 1 ,011 13 6 7 1950—Dec............. 17’391 16'364 1,027 142 885 4 742 4,616 125 58 67 1 '199 1,191 8 5 3 1956—Dec............. 19,535 18,883 652 688 -36 4,448 4 392 57 147 -91 1,149 1,138 12 97 -86 1957~Dec........... . 19,420 18,843 577 710 -133 4,336 4,303 34 139 -105 1,136 1'127 8 85 -77 1958—Dec............. 18,899 18,383 516 557 -41 4*033 4'010 23 102 -81 1 ,'077 1,070 7 39 -31 1959—Dec............. 18,932 18^50 482 906 -424 3 *920 3*930 -10 99 -109 1 '038 1*038 104 -104 1960—Dec.............. 19,283 18,527 756 87 669 3,687 3,658 29 19 10 958 953 4 8 —4 1961—Dec............. 20,118 19'550 568 149 419 3,834 3,826 7 57 -50 987 987 22 -22 1962—Dec............. 20,040 19*468 572 304 268 3,863 3,817 46 108 -62 1,042 1,035 7 18 — 11 1963—Dec............. 20;746 20,210 536 327 209 3,951 3,895 56 37 19 1,056 1 *051 5 26 -21 1964—Dec.............. 21,609 21,198 411 243 168 4'083 4362 21 35 -14 1,083 1,086 -3 28 -31 1965—Dec............. 22,719 22,267 452 454 -2 4*301 4360 41 111 -70 1,143 1,128 15 23 -8 22,487 22,117 370 722 -352 4,276 4330 46 86 -40 1,149 1,144 5 8 -3 J une............ 22,534 22*212 322 674 -352 4,257 4*290 -33 1 io -143 1,116 1,118 -2 10 — 12 July............. 23,090 22,686 404 766 -362 4*437 4,350 87 93 — 6 1’142 1' 130 12 66 — 54 22,655 22,317 338 728 -390 4’224 4,210 14 40 -26 1,098 1,094 4 28 -24 23,240 22*842 398 766 -368 4’454 4'424 30 123 -93 1,122 1,117 5 69 -64 Oct.............. 23,333 23^031 302 733 -431 4,438 4*435 3 127 -124 1,112 1'109 3 98 -95 23,251 22,862 389 611 -222 4,339 4399 40 111 -71 1,079 1,077 2 26 —24 Dec............. 23,830 23'438 392 557 -165 4,583 4,556 27 122 -95 1,119 1,115 4 54 —50 1967—Jan.............. 24,075 23,702 373 389 -16 4,594 4,571 23 69 -46 1,164 1,136 28 151 — 123 Feb.............. 23,709 23*351 358 362 -4 4,557 4311 46 113 -67 1 J 099 1,117 -18 46 -64 23*405 22*970 435 199 236 4,612 4*608 4 72 -68 1*133 1 * 122 11 26 - 15 Apr.............. 23,362 23*053 309 134 175 4,644 4313 31 41 -10 1,131 1 J 40 -9 11 -20 May.......... 5'23,280”22,913 ”367 101 ”266 ”4’614 ”4*583 ”32 19 ”13 ”1,133 ”1,127 ”6 5 ”1 Week ending—■ 1966—May 4 . . .. 22,735 22,449 286 617 -331 4,456 4,441 15 115 -100 I , 194 1,189 5 3 2 22,593 22,253 340 680 -340 4,282 4353 29 82 -53 1,154 1,148 6 7 -2 18. . .. 22,475 22,156 319 663 -344 4,225 4 218 7 73 -66 1 ,151 1,151 13 — 13 25. ... 22; 241 21,927 314 653 -339 4,168 4,162 6 21 -16 1,128 IJ24 5 7 -2 Nov. 2.... 23,380 23,101 279 594 -315 4,471 4,463 8 43 -35 1,130 1,127 3 12 -9 9. . 23,355 22,977 378 646 -268 4,349 4,326 23 213 -190 1,095 1,092 3 43 -40 16.... 23,354 22,807 547 711 -164 4,235 4,206 29 152 -123 1,071 1,071 26 -26 23 . 22,923 22,739 184 439 -255 4,261 4,233 28 28 1,067 1,062 5 13 -8 30.... 23,226 22,766 460 636 -176 4361 4,345 16 90 -74 1,063 i;059 4 26 -22 Dec. 7. ... 23,188 23,007 181 449 -268 4,454 4,432 22 22 1,073 1,073 20 -20 14. 23,518 23*008 510 647 -137 4^78 4,363 15 122 -107 1,075 1,070 5 79 -74 21. 23,892 23,688 204 472 —268 4 701 4 656 45 75 — 30 1,156 1,147 9 9 28.... 24;165 23,728 437 548 -111 4 380 4373 7 183 -176 1,136 1,131 5 63 -58 1967—Jan. 4.... 24,662 24,267 395 565 -170 4,846 4,827 19 201 -182 1,224 1,220 4 141 -137 Il . . 24,499 23,872 627 585 42 4,618 4,579 39 254 -215 1,143 1,137 6 168 -162 18.... 23,661 23,536 125 217 -92 4,470 4,451 19 3 16 1,084 1,086 -2 84 -86 25.... 23,989 23,473 516 538 -22 4,544 4,521 23 1 22 1,107 1,108 -1 251 -252 Feb. 1.... 23,909 23,569 340 176 164 4,654 4,592 62 3 59 1,205 1,159 46 94 -48 8. . .. 23,849 23,560 289 353 -64 4,591 4,579 12 65 -53 1,141 1,144 -3 60 -63 15.... 23,726 23,308 418 456 -38 4,503 4,469 34 154 -120 1,105 1,096 9 113 -104 22.... 23,813 23,230 583 477 106 4,501 4,470 31 228 -197 1,105 1,105 6 -6 Mar. 1 . . . . 23,423 23,264 159 167 -8 4,559 4,518 41 4 37 1,120 1,111 9 4 5 8. 23,187 22,828 359 202 157 4,499 4,512 -13 13 -26 1,092 1,085 7 8 -1 15. 23,282 22,910 372 173 199 4,531 4,500 31 64 -33 1,088 1,084 4 8 -4 22.... 23,692 23,125 567 302 265 4,789 4,753 36 197 -161 1,164 1,166 -2 7 -9 29. ... 23,329 22,944 385 135 250 4,705 4349 56 56 1,160 1,152 8 92 -84 Apr. 5 , ... 23,389 22,942 447 180 267 4,646 4328 18 97 -79 1,138 1,145 -7 -7 23,162 22,936 226 145 81 4321 4;515 6 49 -43 1,137 1,127 10 27 -17 19. . 23,580 23,102 478 178 300 4,586 4,584 2 64 -62 1,129 1,134 -5 -5 26.... 23,385 23,139 246 98 148 4,693 4 666 27 27 1,133 1,133 18 - 18 May 3.... 23,623 23,218 405 134 271 4,788 4,759 29 39 -10 1,171 1,172 -I 21 -22 10. 23,413 23,084 329 63 266 4,684 4320 64 21 43 1 ,153 1,147 6 6 17. .. ”23 374”22*980 ”394 123 ”271 ”4,585 ”4 575 ”11 36 ” — 25 ”1'124 ”1’127 ”-3 ”-3 24.... ”23 077 ”22 754 ”323 50 ”273 ”4 555 ”4 531 ”24 ”24 ”1*108 ”1*093 ”15 ”15 31 .... ”23,058 ”22,687 ”371 102 ”269 ”4351 ”4,511 ”40 ..........i.‘.4O ”1,126 ”1,122 ”5 ............”5 For notes see opposite page. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 BANK RESERVES AND RELATED ITEMS 983 RESERVES AND BORROWINGS OF MEMBER BANKS-Continued (In millions of dollars) Other reserve city banks Country banks Period Reserves Borrow­ Reserves Borrow­ ings at Free ings at Free T h o e t l a d l Required Excess B F a . n R k . s reserves T h o el t d al Required Excess B F a . n R k . s reserves 1929—June............................. 761 749 12 409 -397 632 610 22 327 -305 1933—June............................. 648 528 120 58 62 441 344 96 126 -30 1939—Dec.............................. 3,140 1,953 1,188 1,188 1,568 897 671 3 668 1941—Dec............................... 4,317 3,014 1,303 1 1,302 2,210 1,406 804 4 800 1945—Dec.............................. 6,394 5,976 418 96 322 4,576 3,566 1,011 46 965 1947—Dec.............................. 6,861 6,589 271 123 148 4,972 4,375 597 57 540 1950—Dec.............................. 6,689 6,458 232 50 182 4,761 4,099 663 29 634 1956—Dec............................... 8,078 7,983 96 300 -203 5,859 5,371 488 144 344 1957—Dec.............................. 8,042 7,956 86 314 -228 5,906 5,457 449 172 277 1958—Dec.............................. 7,940 7,883 57 254 -198 5,849 5,419 430 162 268 1959—Dec.............................. 7,954 7,912 41 490 -449 6,020 5,569 450 213 237 I960—Dec.............................. 7,950 7,851 100 20 80 6,689 6,066 623 40 583 1961—Dec.............................. 8,367 8,308 59 39 20 6,931 6,429 502 31 471 1962—Dec.............................. 8,178 8,100 78 130 -52 6,956 6,515 442 48 394 1963—Dec.............................. 8,393 8,325 68 190 -122 7,347 6,939 408 74 334 1964—Dec.............................. 8,735 8,713 22 125 -103 7,707 7,337 370 55 315 1965—Dec.............................. 9,056 8,989 67 228 -161 8,219 7,889 330 92 238 1966—May............................. 8,936 8,852 84 309 -225 8,126 7,891 235 319 -84 June............................ 8,913 8,878 35 258 -223 8,249 7,926 323 296 27 July.............................. 9,203 9,140 63 375 -312 8,308 8,067 241 232 9 Aug.............................. 9,039 9,018 21 300 -279 8,294 7,995 299 360 -61 Sept............................. 9,269 9,198 71 288 -217 8,395 8,103 292 286 6 Oct............................. 9,344 9,311 33 279 -246 8,439 8,176 263 229 34 Nov.............................. 9,306 9,258 48 293 -245 8,528 8,229 299 181 118 Dec.............................. 9,509 9,449 61 220 -159 8,619 8,318 301 161 140 1967—Jan............................... 9,584 9,567 17 97 -80 8,732 8,428 305 72 233 Feb...................... 9,439 9,408 31 115 -84 8,614 8,315 299 88 211 Mar.............................. 9,366 9,300 66 53 13 8,294 7,940 354 48 306 Apr.............................. 9,397 9,382 15 53 -38 8,189 7,918 271 29 242 May............................. J'9,319 *9,280 *39 46 *-7 *8,213 *7,923 *290 31 *259 Week ending—■ 1966—May 4....................... 8,982 8,938 45 263 -219 8,102 7,881 222 236 -14 11....................... 8,950 8,908 42 293 -251 8,207 7,944 263 298 -35 18....................... 8,902 8,865 37 323 -286 8,198 7,921 277 254 23 25....................... 8,827 8,775 52 231 -179 8,118 7,867 251 394 -143 Nov. 2............. 9,382 9,345 37 344 -307 8,396 8,166 230 195 35 9....................... 9,372 9,312 60 213 -153 8,538 8,247 291 177 114 16....................... 9,297 9.270 27 362 -335 8,751 8,260 491 171 320 23....................... 9,279 9,218 61 228 -167 8,316 8.226 90 198 -108 30....................... 9,244 9,174 70 341 -271 8,558 8,188 370 179 191 Dec. 7................ 9,311 9,289 22 217 -195 8,350 8,213 137 212 -75 14....................... 9,321 9,295 26 262 -236 8,744 8,280 464 184 280 21....................... 9,593 9,537 56 224 -168 8,441 8,348 93 164 -71 28....................... 9,579 9,556 23 183 -160 8,771 8,368 403 119 284 1967—Jan. 4....................... 9,832 9,773 59 159 -100 8,760 8,447 313 64 249 11....................... 9,671 9,648 23 80 -57 9,068 8,507 561 83 478 18....................... 9,562 9,539 23 52 -29 8,545 8,460 85 78 7 25....................... 9,507 9,454 53 222 -169 8,830 8,390 440 64 376 Feb. 1...................... 9,525 9,482 43 9 34 8,526 8,336 190 70 120 8....................... 9,511 9,477 34 170 -136 8,606 8,360 246 58 188 15....................... 9,448 9,393 55 59 -4 8,671 8,350 321 130 191 22....................... 9,435 9,374 61 167 -106 8,771 8,281 490 76 414 Mar. 1....................... 9,351 9,364 -13 70 -83 8,392 8,271 121 89 32 8....................... 9,278 9,237 41 117 -76 8,318 7,994 324 64 260 15....................... 9,315 9,277 38 40 -2 8,347 8,049 298 61 237 22....................... 9,401 9,354 47 64 -17 8,338 7,852 486 34 452 29....................... 9,386 9,305 81 4 77 8,079 7,838 241 39 202 Apr. 5.................... 9,352 9,335 17 54 -37 8,253 7,834 419 29 390 12....................... 9,415 9,374 41 43 -2 8,088 7,920 168 26 142 19....................... 9,448 9,410 38 79 -41 8,417 7,974 443 35 408 26....................... 9,437 9,398 39 50 -It 8,121 7,942 179 30 149 May 3..................... 9,395 9,385 10 47 -37 8,270 7,902 368 27 341 10....................... 9,414 9,349 65 13 52 8,162 7,968 194 29 165 17....................... *9,344 *9,319 *25 57 *-32 *8,321 *7,960 *361 30 »331 24....................... *9,271 *9,220 *51 23 *28 *8,142 *7,910 *232 27 *205 31....................... *9,236 *9,189 *47 66 *-19 *8,144 »7,866 *278 36 *242 1 This total excludes, and that in the preceding table includes, $51 Total reserves held: Based on figures at close of business through Nov. million in balances of unlicensed banks. 1959; thereafter on closing figures for balances with F.R. Banks and open­ ing figures for allowable cash; see also note 3 to preceding table. Note.—Averages of daily figures. Monthly data are averages of daily Required reserves: Based on deposits as of opening of business each day. figures within the calendar month; they are not averages of the 4 or 5 Sorrowings at F.R. Banks: Based on closing figures. weeks ending on Wed. that fall within the month. Beginning with Jan. 1964, reserves are estimated except for weekly averages. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

984 MAJOR RESERVE CITY BANKS JUNE 1967 BASIC RESERVE POSITION, AND FEDERAL FUNDS AND RELATED TRANSACTIONS (In millions of dollars unless otherwise noted) Basic reserve position Interbank Federal funds transactions Related transactions with U.S. Govt, securities dealers Less— Net— Gross transactions Net transactions Reporting banks and Bor­ week ending— s E e x r r v c e e e ­ s s s 1 r a o B t B w a F o n in . r k R ­ g s s . F t f i b e r n u N a a d n t n n e e e d s t k r r s a . ­ l S d u e o r f p i r c l u it s r P r e e e q a s r e v u o r c g i f v r e . e e n d s t c P ha u s r e ­ s Sales a 2 c t T r - t a o i w o n t a a n s y l ­ s 2 b c o b P h u a f a y u n n s i r k e n e ­ s s t g s o b S e a f a l l n n l i e k n e s g s t d L ea o t l o a e n r s s 3 de f r i a r n o o l g w e m s r ­ s * lo N a e n t s Total—46 banks 1967—Apr. 5............ 21 141 2,181 -2,301 21.9 3,125 943 816 2,309 128 1,750 95 1,656 12............ 34 103 2,982 -3,051 29.3 3,979 998 977 3,002 21 2,009 76 1,932 19............ 14 129 2,617 -2,732 26.0 3,819 1,202 1,151 2,668 50 1,744 69 1,675 26............ 57 55 2,159 -2,157 20.4 3,579 1,420 1,315 2,264 105 1,500 78 1,422 May 3............ 33 100 1,716 -1,783 16.6 3,124 1,407 1,281 1,843 127 1,662 66 1,596 10 '99 23 2,392 '-2,316 '22.2 3,622 1,230 1,108 2,514 122 '1,411 63 '1,348 17............ 23 82 2,131 -2,190 21.1 3,317 1,186 1,130 2,187 55 1,335 88 1,247 24............ '61 22 '1,767 '-1,728 16.8 '3,294 1 ,527 1,379 '1,915 148 1,224 71 1,154 31............ 69 56 1,245 -1,233 12.0 2,807 1,562 1,245 1,563 317 1,124 57 1,067 8 in New York City 1967—Apr. 5............ 19 95 932 -1,007 23.4 1,241 309 309 932 1,000 95 905 12............ 12 47 1,222 -1,258 30.0 1,637 414 414 1,222 1,008 76 932 19 64 981 -1,045 24.6 1,584 603 603 981 840 69 771 26............ 26 .............. 853 -827 19.1 1,500 646 646 853 ..........8..8..4 78 806 May 3.......... 29 39 681 -692 15.7 1,292 611 611 681 931 66 865 10............ 62 21 960 -920 21.6 1,446 486 486 960 '734 63 wt 17 13 36 864 -887 21.1 1,326 462 462 864 695 88 607 24 16 691 -676 16.3 1,332 641 606 727 35 647 71 577 31............ 40 329 -289 -7.0 1,038 709 506 532 203 648 57 591 38 outside New York City 1967—Apr. 5............ 2 46 1,250 -1,294 20.8 1,884 634 507 1,377 128 750 750 12............ 22 57 1,759 -1,794 28.9 2,343 583 563 1,780 21 1,000 1,000 19............ 14 64 1,636 -1,687 27.0 2,235 599 548 1,687 50 904 1 903 26............ 31 55 1,306 -1,330 21.3 2,080 774 669 1,411 105 616 .............. 616 May 3............ 4 60 1,035 -1,092 17.3 1,832 797 670 1,162 127 731 731 10............ '37 2 1,432 '-1,397 '22.4 2,176 744 622 1,554 122 677 677 17............ 10 46 1,267 -1,303 21.1 1,991 723 668 1,323 55 640 640 24............ '45 22 '1,076 '-1,053 '17.3 '1,961 886 773 '1,188 113 577 577 31............ 29 56 917 -944 15.4 1,770 853 738 1,031 114 476 476 5 in City of Chicago 1967—Apr. 5............ -6 335 -341 33.2 477 142 126 351 16 45 45 12............ 3 27 449 -472 46.9 626 178 178 449 55 55 19............ -5 406 -411 40.4 579 173 155 424 18 36 36 26............ 3 18 344 -359 35.5 561 217 197 364 20 22 .............. 22 May 3........... -2 21 262 -286 27.2 497 235 212 285 23 19 19 10............ 2 390 -389 37.9 588 197 158 430 39 10 10 17............ -4 191 -195 19.4 453 263 261 193 2 25 25 24............ 10 121 -111 11.4 488 367 338 150 29 40 40 31............ 3 178 -175 17.4 427 249 249 178 14 14 33 others 1967—Apr. 5............ 8 46 915 -953 18.3 1,407 492 381 1,026 111 705 705 12............ 19 30 1,311 -1,321 25.4 1,716 405 385 1,331 21 945 945 19 18 64 1,230 -1,276 24.4 1,656 426 393 1,262 32 868 1 867 26............ 28 37 962 -971 18.5 1,519 557 472 1,047 85 594 .............. 594 May 3............ 6 39 773 -806 15.3 1,335 561 458 876 103 713 713 10 '35 2 1,042 '-1,008 '19.4 1,588 547 464 1,124 83 667 667 17....... 14 46 1,076 -1,108 21,4 1,537 461 407 1,130 53 615 615 24............ '35 22 '955 '-942 '18.4 '1,473 518 435 '1,038 83 538 538 31............ 26 56 739 -769 15.0 1,343 604 490 853 114 462 .............. 462 1 Based upon reserve balances, including all adjustments applicable to 4 Federal funds borrowed, net funds acquired from each dealer by the reporting period. Carryover reserve deficiencies, if any, are de­ clearing banks, reverse repurchase agreements (sales of securities to ducted. dealers subject to repurchase), resale agreements, and borrowings secured 2 Derived from averages for individual banks for entire week. Figure by Govt, or other issues. for each bank indicates extent to which its weekly average purchases and sales are offsetting. Note.—Weekly averages of daily figures. For description of series 3 Federal funds loaned, net funds supplied to each dealer by clearing and back data, see Aug. 1964 Bulletin, pp. 944-74. banks, repurchase agreements (purchases of securities from dealers subject to resale), or other lending arrangements. 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JUNE 1967 DISCOUNT RATES 985 FEDERAL RESERVE BANK DISCOUNT RATES (Per cent per annum) Discounts for and advances to member banks Advances to all others under Advances and discounts under Advances under last par. Sec. 133 Federal Reserve Bank Secs. 13 and 13a 1 Sec. 10(b) 2 Rate on Effective Previous Rate on Effective Previous Rate on Effective Previous May 31 date rate May 31 date rate May 31 date rate Boston................................... 4 Apr. 7, 1967 4^ 414 Apr. 7, 1967 5 5 Apr. 7, 1967 514 New York....................................... 4 Apr. 7' 1967 4ft 414 Apr. 7, 1967 5 5*4 Dec. 6, 1965 5 Philadelphia............................ 4 Apr. 7i 1967 414 414 Apr. 7, 1967 5 Apr. 7’ 1967 514 Cleveland......................................... 4 Apr. 7, 1967 491 414 Apr. 7, 1967 5 514 Apr. 7; 1967 6 Richmond....................................... 4 Apr. 7, 1967 414 414 Apr. 7, 1967 5 5 Apr. 7^ 1967 5*4 Atlanta.......................................... 4 Apr, 10, 1967 414 414 Apr. 10, 1967 5 6 Apr. 10, 1967 6*4 Chicago........................................... 4 Apr. 7; 1967 414 414 Apr. 7, 1967 5 5 Apr. 7, 1967 5*4 St. Louis......................................... 4 Apr. 14, 1967 414 414 Apr. 14' 1967 5 5 Apr. 14' 1967 514 Minneapolis,........... 4 Apr. 7, 1967 414 Apr. 7’ 1967 5 5 Apr. 7' 1967 514 Kansas City..................................... 4 Apr. 7' 1967 414 414 Apr. 7 1967 5 5 Apr. 7, 1967 514 Dallas.............................................. 4 Apr, 7' 1967 414 414 Apr. 7’ 1967 5 5 Apr. 7 1967 514 San Francisco............... 4 Apr. 7, 1967 4'/! 4'4 Apr. 7, 1967 5 5 Apr. 7, 1967 5'4 1 Discounts of eligible paper and advances secured by such paper or 2 Advances secured to the satisfaction of the F.R. Bank. Maximum by U.S. Govt, obligations. Rates shown also apply to advances secured maturity: 4 months. by obligations of Federal intermediate credit banks maturing within 6 3 Advances to individuals, partnerships, or corporations other than months. Maximum maturity: 90 days except that discounts of certain member banks secured by U.S. Govt, direct obligations. Maximum matu­ bankers' acceptances and of agricultural paper may have maturities not rity: 90 days. over 6 months and 9 months, respectively, and advances secured by FICB obligations are limited to 15 days. FEDERAL RESERVE BANK DISCOUNT RATES (Per cent per annum) Range F.R. Range F.R. Range F.R. Effective (or level)— Bank Effective (or level)- Bank Effective (or level)— Bank date all F.R. of date all F.R. of date all F.R. of Banks N.Y. Banks N.Y. Banks N.Y. In effect Dec. 31, 1941..... 1 -1'4 1 Ap 19 r, 5 5 1 4.....................H....i..-.1’4 114 1959 214-3 3 ' 15......................... 1’4-114 a 16............................. 3 3 1942 May 2 1% May 29................ 3 -314 3ft Apr. Il............................... 1 Aug. 4............................ 1%-2'J i» June 12...................... 314 3ft Oct. 15................................ ir 1 5............................. 1’4-214 314-4 4 30........................ 1*4 12............................. 2 -2(1 2 * 18... 4 4 Sept, 9............................. 2 -214 214 13............................. 214 2'4 1960 1946 t 1 1 4-1 1 1 Nov. 2 18 3 . . . . . . . . 1 . . . . 9 . . . . 5 . . 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2I/ 2 4 1 -2 4 M 2 2 1 1 4 4 14......................... 1 .. 0 . ....... 3 3.. 1 '.4 3 . 4 .- % . - .4 4 .............. 4 .3 ^ ft 1948 Ap ‘ r. 2 1 0 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...... 2 2 1 1 4 4 - - 3 3 2 2 1 % 4 Sept. 9...................... 3 3 -314 3 1 -1’4 PA Aug, 24............................. 214-3 3 19.......................... 1'4 31............................. 3 3 I’zH’Zt 1963 23............................... 114 1957 July 17,........................ 3 -3ft 3ft Aug. 9.....................3.. ....-.3.>4 3 26.......................... 314 3ft " 23............................. 314 314 1950 Nov. 15................. 3 3^ 3 Aug. 21........................i.%-i% Dec. 2 .................... 3 1964 “ 25................................. 1’4 Nov. 24......................3..1..4..-4 4 1958 30..........4...................4 Jan. 22.....................^........ 3 1953 24..................... Jan. 16.........................1.’4-2 2 Mar. 7............................. 2(4-3 1965 23............................... 2 2 13............................. 4 -414 4ft 21............................ 'w 13............................. 414 4ft Apr. 18............................ 1954 May 9............................ Feb. 5......................“...^...... Aug. 15........................ 04-2 1* 1967 15............................... Sept, 12.. 114-2 4 -4ft 4 Apr. 14............................... * 23....................... 2 2 Apr. 14............................. 4 4 ' 16............................... Oct. 24............................ 2 -214 2 May 21............................... 1'4 i« Nov. 7............................. 214 2ft In effect May 31............... 4 4 f Preferential rate of one-half of I per cent for advances secured by against U.S. Govt obligations was the same as its discount rate except U.S. Govt, obligations maturing in 1 year or less. The rate of 1 per cent in the following periods (rates in percentages): 1955—-May 4-6, 1.65; was continued for discounts of eligible paper and advances secured by Aug. 4, 1.85; Sept. 1-2, 2.10; Sept. 8, 2,15; Nov. 10, 2.375; 1956—Aug. such paper or by U.S, Govt, obligations with maturities beyond 1 year. 24-29, 2.75; 1957—Aug. 22, 3.50; 1960—Oct. 31-Nov. 17, Dec. 28-29, 2.75; 1961—Jan. 9, Feb. 6-7, 2.75; Apr. 3-4, 2,50; June 29, 2.75; July Note.—Discount rates under Secs. 13 and 13a (as described in table 20, 31, Aug. 1-3, 2.50; Sept 28-29, 2.75; Oct. 5, 2.50; Oct 23. Nov. 3, above). For data before 1942, see Banking and Monetary Statistics, 2.75; 1962—Mar, 20-21, 2.75; 1964—Dec. 10, 3.85; Dec. 15, 17, 22, 24, 1943, pp. 439-42. 28, 30, 31, 3,875; 1965—Jan. 4-8, 3.875. The rate charged by the F.R. Bank of N.Y. on repurchase contracts Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

986 RESERVE REQUIREMENTS JUNE 1967 RESERVE REQUIREMENTS OF MEMBER BANKS (Per cent of deposits) Requirements through July 13, 1966 Requirements beginning July 14, 1966 Net Time deposits* Net demand deposits2 demand deposits2 (all classes of banks) Time deposits Ot her (all time deposits Effective date1 C r b e a e c s n n i e t t r k y r v s a e 3 l R b e c a s i n e ty k rv s e C b o a u n n k t s ry b cl a a o n s f k s e s s ) Effective date1 R b e c a s i n e ty k rv s e C b o a u n n k t s ry d S e a p v o in s g it s s Up to c I e n s s e x o ­ f $5 mil­ $5 mil­ lion lion In effect Dec. 31, 1949............ 22 18 12 5 1966—July 14,21............. ’16% s 12 M 54 5 1951—Jan. 11, 16................... 23 19 13 6 Sept. 8, 15............. 6 Jan. 25, Feb. 1............ 24 20 14 1953—July 9, 1..................... 22 19 13 1967—Mar. 2.................... 3ft 3ft 1954—june 24’ 16................... 21 5 Mar. 16................ 3 3 July 29, Aug. 1........... 20 18 12 1958—Feb. 27, Mar I............ 19ft 17% 1114 In effect May 31, 1967..,. 16% 12 3 3 6 Mar. 20, Apr. 1............ 19 17 il 1814 Apr. 24......................... 18 16% 1960—-Sept. 1.................... 17ft Present legal Nov. 24......................... 12 .............. requirement: Dec. 1........................ 1616 1962—July 28......................... 0) Minimum................... 10 7 3 3 3 Oct. 25, Nov. 1............ 4 Maximum...................... 22 14 to 10 10 1 When two dates are shown, the first applies to the change at central ^Effective Jan. 5, 1967, time deposits such as Christmas and vacation reserve or reserve city banks and the second to the change at country club accounts became subject to same requirements as savings deposits. banks. For changes prior to 1950 see Board’s annual reports. 5 See preceding columns for earliest effective date of this rate. 2 Demand deposits subject to reserve requirements are gross demand Note.—All required reserves were held on deposit with F.R. Banks deposits minus cash items in process of collection and demand balances June 21, 1917, until Dec. 1959. From Dec. 1959 to Nov. 1960, member due from domestic banks. banks were allowed to count part of their currency and coin as reserves; 3 Authority of the Board of Governors to classify or reclassify cities effective Nov, 24, I960, they were allowed to count all as reserves. For as central reserve cities was terminated effective July 28, 1962. further details, see Board’s annual reports. MAXIMUM INTEREST RATES PAYABLE ON TIME AND SAVINGS DEPOSITS (Per cent per annum) Rates Nov. 1, 1933—July 19, 1966 Rates beginning July 20, 1966 Effective date Effective date Type and maturity of deposit Nov. Feb. Jan. Jan. Jan. July Nov. Dec. Type of deposit July Sept. 1, 1, 17. 24, 6, 20, 26, 1933 1935 1936 1957 1962 1963 1964 1965 1966 1966 Savings deposits: Savings deposits.................. 4 4 12 months or more........... 3 ^ 2% 3 4 4 4 4 Other time deposits;! Less than 12 months........ 3 2% 3 3ft 3ft 4 4 Multiple-maturity: Other time deposits:1 90 days or more............ 5 5 12 months or more........... 3 2% 2% 3 4 4 ^ 5ft Less than 90 days..... 4 4 6 months to 12 months... 3 ^ 3 3ft 4 5ft (30-89 days) 90 days to 6 months......... 3 2ft 2ft 4 4ft 5ft Single-maturity; Less than 90 days............. 3 2% 1 1 1 1 4 5ft $100,000 or more...... 5% 5ft (30-89 days) Less than $100,000. ... 5% 5 1 For exceptions with respect to foreign time deposits, see Oct. 1962 Under this regulation the rate payable by a member bank may not in Bulletin, p. 1279, and Aug. 1965 Bulletin, p. 1084. For rates for postal any event exceed the maximum rate payable by State banks or trust savings deposits, see Board’s annual reports. companies on like deposits under the laws of the State in which the member bank is located. Effective Feb. 1, 1936, maximum rates that may be paid Note.—Maximum rates that may be paid by member banks as estab­ by insured nonmember commercial banks, as established by the FDIC, lished by the Board of Governors under provisions of Regulation Q. have been the same as those in effect for member banks. MARGIN REQUIREMENTS (Per cent of market value) Effective date Regulation Jan. 4, Apr. 23, Jan. 16, Aug. 5, Oct. 16, July 28, July 10, Nov. 6, 1955 1955 1958 1958 1958 1960 1962 1963 Regulation T: For extensions of credit by brokers and dealers on listed securities.......................................................... 60 70 50 70 90 70 50 70 For short sales.................................................................. 60 70 50 70 90 70 SO 70 Regulation U: For loans by banks on stocks................. 60 70 50 70 90 70 50 70 Note.—Regulations T and U, prescribed in accordance with Securities centage of its market value at the time of extension; margin requirements Exchange Act of 1934. limit the amount of credit that may be extended on are the difference between the market value (100 per cent) and the maxia security by prescribing a maximum Ioan value, which is a specified per- mum loan value. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 BANK DEPOSITS; OPEN MARKET ACCOUNT 987 DEPOSITS, CASH, AND RESERVES OF MEMBER BANKS (In millions of dollars) Reserve city banks Reserve city banks AU All Item m b e a m nk b s er Y N o e r w k C o it f y Other C b o a u n n k t s ry Item m b e a m nk b s er Y N o e r w k C o it f y Other C b o a u n n k t s ry City Chicago City Chicago Four weeks ending March 29, 1967 Four weeks ending April 26, 1967 Gross demand—'Total.... 145,633 29,140 6,755 53,294 56,444 Gross demand—Total.... 149,320 30,391 6,772 54,688 57,469 Interbank.................. 15,863 5,062 1,236 7,527 2,039 Interbank.................. 16,757 5,466 1,352 7,814 2,126 U.S. Govt.............. 4,294 1,006 259 1,626 1,404 U.S. Govt.................. 4,052 927 212 1,586 1,327 Other....................... 125,477 23,073 5,261 44,142 53,002 Other........................ 128,512 23,999 5,209 45,288 54,016 Net demand i................... 116,847 21,850 5,257 42,004 47,737 Net demand1.................... 118,329 21,909 5,333 42,743 48,344 Time.................................. 136,270 19,082 5,430 52,243 59,516 Time.................................. 137,782 19,077 5,529 52,877 60,300 Demand balances due Demand balances due from dom. banks..... 8,033 203 280 1,994 5,556 from dom. banks...... 8,353 300 243 2,033 5,778 Currency and coin....... 3,943 321 76 1,208 2,338 Currency and coin............ 4,023 324 79 1,224 2,397 Balances with F.R. Balances with F.R. Banks............................ 19,429 4,310 1,050 8,135 5,936 Banks............................ 19,357 4,288 1,056 8,190 5,823 Total reserves held........... 23,372 4,631 1,126 9,343 8,274 Total reserves held....... 23,380 4,612 1,135 9,414 8,220 Required................... 22,952 4,604 1,122 9,294 7,934 Required.......... 23,030 4,599 1,135 9,380 7,918 Excess.......................... 420 27 4 49 340 Excess............... 350 13 34 302 1 Demand deposits subject to reserve requirements are gross demand Note.—Averages of daily figures. Balances with F.R. Banks are as deposits minus cash items in process of collection and demand balances of close of business; all other items (excluding total reserves held and due from domestic banks. excess reserves) are as of opening of business. TRANSACTIONS OF THE SYSTEM OPEN MARKET ACCOUNT (In millions of dollars) Outright transactions in U.S. Govt, securities by maturity Total Treasury bills Others within 1 year 1-5 years Month Exch., c G p h r a u o s r s e ­ s s G sa r l o e s s s Re t d io e n m s p­ c G p h r a u o s r s e ­ s s G sa r l o e s s s Re ti d o e n m s p­ c G h p r a u o s r s e ­ s s G sa r l o e s s s m s a h t o i u f r r t s it , y c G h p r a u o s r s e ­ s s G sa r l o e s s s m E a x t o u c r r h i . ty redemp­ shifts tions 1966—Apr............. 929 748 201 887 748 201 18 25 May........... 1,208 392 50 1,174 392 50 -281 34 281 June 1,448 650 HO 1,296 650 110 55 108 88 -108 July....... 2,607 2,489 2,526 2,489 29 Aug.. 1,602 1,273 98 1,602 1,273 98 84 76 Sept........... 1,976 1,419 170 1,976 1,419 170 Oct............. 1,281 893 320 1,281 893 320 Nov........ 860 223 323 860 223 323 6,456 -6,253 Dec............. 771 405 736 405 15 12 1967—Jan.............. 904 656 439 904 656 439 Feb............. 812 305 812 305 -2,457 2,595 Mar........ 1,496 704 1,395 704 80 Apr............. 975 206 415 859 206 415 10 50 Outright transactions in U.S. Govt, securities—Continued Repurchase Bankers’ agreements Federal acceptances (U.S. Govt, Net agency 5-10 years Over 10 years securities) change obliga­ Month in U.S. tions Under Net c G h p r a u o s r s e ­ s s G sa r l o e s s s o E t s r u h x r i m c i f t h t y s a . ­ c G h p r a u o s r s e ­ s s G sa r l o e s s s o E s t r u h x r i m c i f t h t y a s . ­ c G h p r a u o s r s e ­ s s G sa r l o e s s s G s i e o ti c v e u s t. r­ p ( m a n u g e e r r c t n e h t r e s a e ­ ) s ­ e r O i n g u e h t t t ­ , a r m c e g h n p e r a e n e u s t e t r e s ­ ­ , chingel 1966—Apr.... 682 682 -20 4 30 14 May... 421 421 766 -1 20 786 June... 8 185 185 689 2 58 748 July.... 39 12 120 26 212 -30 -157 24 Aug.... -160 364 457 138 -3 135 Sept.... 97 97 388 -1 387 Oct..,.. 275 275 69 4 21 94 Nov,... -203 1,775 1,153 937 3 56 996 Dec... . 3 5 3,751 3,746 370 34 15 47 466 1967—Jan....... 1,693 2,320 -818 -34 4 -124 -972 Feb....... -138 3,253 3,253 507 3 37 546 Mar.... 14 8 3,399 3,253 938 13 -7 4 948 Apr.. . . 32 25 1,727 1,529 552 -3 -1 57 606 i Net change in U.S. Govt, securities, Federal agency obligations, and Note.—Sales, redemptions, and negative figures reduce System hold­ bankers’ acceptances. logs; ail other figures increase such holdings. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

988 FEDERAL RESERVE BANKS JUNE 1967 CONSOLIDATED STATEMENT OF CONDITION OF ALL FEDERAL RESERVE BANKS (In millions of dollars) Wednesday End of month Item 1967 1967 1966 May 31 May 24 May 17 May 10 May 3 May Apr. May Assets Gold certificate account,............................................... 10,798 10,773 10,774 10,785 10,785 10,798 10,785 11,362 Redemption fund for F.R, notes................................... 1,810 1,814 1,817 1,812 1,818 1,810 1,819 I,'730 Total gold certificate reserves........................................ 12,608 12,587 12,591 12,597 12,603 12,608 12,604 13,092 Cash................................................................................ 329 335 330 328 327 329 342 234 Discounts and advances? Member bank borrowings................................. 390 30 153 43 134 390 29 421 Other......................................................................... 25 25 25 25 25 25 25 20 Acceptances: Bought outright........................................................ 70 70 70 70 70 70 68 80 Held under repurchase agreements........................... 31 52 86 116 98 100 Federal agency obligations—Held under repurchase agreements .................................................................. 5 ..............1..0.. ................. U.S. Govt, securities: Bought outright: 13,464 13,359 13,247 13,335 13,543 13,464 13,047 9,895 Bills......................................................................... Certificates—Special............................................ 4,352 4,352 4,352 4,352 4,352 4,352 4,352 12 Other.......................................... 21,572 21,507 21,475 21,368 21,368 21 ,572 21,368 25,220 Notes.................................................................... 6,355 6,312 6,242 6,349 6,349 6,355 6,349 6,353 Bonds....................................................................... 45,743 45,530 45,316 45,404 45,612 45,743 45,116 41,480 Total bought outright............................................... 323 195 390 529 323 344 Held under repurchase agreements.......................... 46,066 45,530 45,511 45,794 46,141 46,066 45,460 41,480 Total U.S. Govt securities.. ....................................... 46,551 45,686 45,811 46,018 46,491 46,551 45,690 42,101 Total loans and securities.............................................. Cash items in process of collection.............................. 6,314 6,577 7,972 6,766 7,430 6,314 6,683 5,857 Bank premises,............................................................. 108 109 108 108 108 108 108 103 Other assets: Denominated in foreign currencies................... 149 156 149 151 166 149 184 364 IMF gold deposited i................................................ 230 230 230 230 230 230 230 183 All other................................................................... 209 183 152 566 534 209 523 224 Total assets.................................................................... 66,498 65,863 67,343 66,764 67,889 66,498 66,364 62,158 Liabilities F.R. notes....................................................................... 39,022 38,743 38,814 38,821 38,605 39,022 38,368 36,990 Deposits: Member bank reserves.............................................. 19,634 18,584 19,112 19,102 20,098 19,634 19,410 18,119 U.S. Treasurer—General account................... 574 1,170 1,008 1,148 974 574 1,360 902 Foreign..........................................»,..,.... 193 122 126 124 138 193 123 263 Other: IMF gold deposit1......................................... 230 230 230 230 230 230 230 183 AH other................................................................ 213 206 209 249 234 213 227 206 Total deposits..................... ,............ 20,844 20,312 20,685 20,853 21,674 20,844 21,350 19,673 Deferred availability cash items.................................... 5,066 5,295 6,368 5,493 6,045 5,066 5,109 4,018 Other liabilities and accrued dividends. ...................... 245 230 228 232 239 245 225 221 Total liabilities............................................................ 65,177 64,580 66,095 65,399 66,563 65,177 65,052 60,902 Capital accounts Capital paid in............................................................... 582 582 582 582 579 582 579 561 Surplus........................................................................... 570 570 570 570 570 570 570 551 Other capital accounts.................................................. 169 131 96 213 177 169 163 144 Total liabilities and capital accounts.................. 66,498 65,863 67,343 66,764 67,889 66,498 66,364 62,158 Contingent liability on acceptances purchased for foreign correspondents............................................... 348 337 317 302 279 348 272 159 U.S. Govt, securities held in custody for foreign account........................................................................ 7,799 7,837 7,996 8,099 7,953 7,799 7,912 7,631 Federal Reserve Notes—Federal Reserve Agents’ Accounts F.R. notes outstanding (issued to Bank).................... 41,036 41,045 41,034 40,963 40,895 41,036 40,853 40,165 Collateral held against notes outstanding: Gold certificate account.......................................... 6,695 6,695 6,695 6,695 6,695 6,695 6,695 6,613 Eligible paper............................................................ 1 I 23 U.S, Govt, securities................................................. 36,336 36,336 36,326 36,306 36,306 36,336 36,306 34,809 Total collateral........................................................ 43,031 43,031 43,021 43,002 43,002 43,031 43,002 41,445 1 See note 1(b) to table at bottom of p. 1046. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 FEDERAL RESERVE BANKS 989 STATEMENT OF CONDITION OF EACH FEDERAL RESERVE BANK ON MAY 31, 1967 (In millions of dollars) Item Total Boston Y N o ew rk P p d h h e i i l l a ­ a­ C l l a e n v d e­ m Ri o c n h d ­ At t l a an­ C ca h g i o ­ Lo S u t i . s M ap i o n l n is e­ K C sa a it s n y ­ Dallas c F S i r s a a c n n o ­ Assets Gold certificate account...................... 10,798 739 2,894 592 844 895 488 2,023 379 237 368 346 993 Redemption fund for F.R. notes........ 1,810 103 434 94 151 152 100 336 63 32 71 60 214 Total gold certificate reserves............ 12,608 842 3,328 686 995 1,047 588 2,359 442 269 439 406 1,207 F.R. notes of other Banks................. 477 34 141 19 58 30 58 35 16 10 20 21 35 Other cash........................................... 329 It 36 6 51 18 41 55 34 7 16 18 36 Discounts and advances: Secured by U.S. Govt, securities. .. 390 33 19 18 55 I 140 22 18 15 8 61 Other............................................... 25 I 7 1 2 2 4 1 1 1 1 3 Acceptances: Bought outright................................ 70 70 Held under repurchase agreements. Federal agency obligations—Held under repurchase agreements...... U.S. Govt, securities: Bought outright............................... 45,743 2,381 11,674 2,345 3,531 3,308 2,462 7,578 1,641 952 1,843 1,779 6,249 Held under repurchase agreements. 323 323 Total loans and securities................... 46,551 2,415 12,093 2,346 3,551 3,364 2,465 7,722 1,664 971 1,859 1,788 6,313 Cash items in process of collection... 8,201 508 1,596 584 637 652 681 1,333 380 216 494 431 689 Bank premises...................................... 108 3 10 2 5 6 20 19 9 3 13 9 9 Other assets: Denominated in foreign currencies. 149 7 138 8 13 8 9 22 5 4 7 9 19 IMF gold deposited2....................... 230 230 All other................-......................... 209 io 54 13 17 14 ii 32 8 5 8 8 29 Total assets......................................... 68,862 3,830 17,526 3,664 5,327 5,139 3,873 11,577 2,558 1,485 2,856 2,690 8,337 Liabilities F.R. notes............................................ 39,499 2,359 9,169 2,292 3,190 3,627 2,214 7,055 1,446 706 1,505 t,270 4,666 Deposits: Member bank reserves.................... 19,634 786 6,127 722 1,369 820 1,027 3,064 708 515 798 947 2,751 U.S. Treasurer—General account.. 574 44 118 34 62 24 28 39 33 32 52 72 36 Foreign........................................... 193 9 352 10 17 10 12 28 7 4 8 11 25 Other: IMF gold deposit 2...................... 230 230 All other....................................... 213 * 145 1 I 7 1 1 I 1 2 i 52 Total deposits..................................... 20,844 839 6,672 767 1,449 861 1,068 3,132 749 552 860 1,031 2,864 Deferred availability cash items......... 6,953 555 1,275 523 553 563 497 1,154 310 191 423 305 604 Other liabilities and accrued dividends 245 13 69 11 19 16 13 39 8 5 10 10 32 Total liabilities..................................... 67,541 3,766 17,185 3,593 5,211 5,067 3,792 11,380 2,513 1,454 2,798 2,616 8,166 Capital accounts Capital paid in..................................... 582 28 152 31 52 30 36 85 20 14 26 34 74 Surplus.................................................. 570 27 148 30 51 30 35 83 20 14 25 33 74 Other capital accounts........................ 169 9 41 10 13 12 10 29 5 3 7 7 23 Total liabilities and capital accounts.. 68,862 3,830 17,526 3,664 5,327 5,139 3,873 11,577 2,558 1,485 2,856 2,690 8,337 Ratio of gold certificate reserves to F.R. note liability (per cent): May 31, 1967........................... 31.9 35.7 36,3 29.9 31.2 28.9 26.6 33.4 30.6 38.1 29.2 32.0 25.9 Apr. 30, 1967........................... 32.3 31.9 31.2 35.1 34.6 30.9 31.8 33.0 31.1 46.1 35.0 25.7 30.8 May 31, 1966........................... 34.6 50.0 35.1 34.8 36.5 35.5 38.2 33.1 34.2 35.9 31.4 25.8 27.1 Contingent liability on acceptances purchased for foreign correspond­ ents....................................... 348 17 491 18 31 18 22 51 12 8 15 20 45 Federal Reserve Notes—Federal Reserve Agents’ Accounts F.R. notes outstanding (issued to Bank)......................................... 41,036 2,420 9,542 2,321 3,417 3,720 2,297 7,279 1,527 734 1,568 1,355 4,856 Collateral held against notes out­ standing: Gold certificate account.......... 6,695 450 1,000 483 600 740 450 1,400 305 127 225 180 735 Eligible paper.................................. U.S. Govt, securities....................... 36,336 2,036 8,900 2,000 3,000 3,025 2,050 6,150 1,310 625 1,400 1,230 4,600 Total collateral 43,031 2,486 9,900 2,483 3,600 3,775 2,500 7,550 1,615 752 1,625 1,410 5,335 1 After deducting $111 million participations of other F.R. Banks. 3 After deducting $141 million participations of other F.R. Banks. 2 See note 2 to table on p. 1048. 4 After deducting $257 million participations of other F.R. Banks. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

990 FEDERAL RESERVE BANKS; BANK DEBITS JUNE 1967 MATURITY DISTRIBUTION OF LOANS AND U.S. GOVERNMENT SECURITIES HELD BY FEDERAL RESERVE BANKS (In millions of dollars) Wednesday End of month Item 1967 1967 1966 May 31 May 24 May 17 May 10 May 3 May Apr. May Discounts and advances—Total.................................. 415 55 178 68 159 415 54 441 Within 15 days.......................................................... 386 27 150 28 131 386 24 409 16 days to 90 days..................................................... 29 28 28 40 28 29 30 32 91 days to I year........................................................ Acceptances—Total....................................................... 70 101 122 156 186 70 166 180 Within 15 days......................................................... 16 50 68 103 135 16 119 119 16 days to 90 days..................................................... 54 51 54 53 51 54 47 61 U.S. Govt, securities and Federal agency obligations—Total................................................ 46,066 45,530 45,511 45,794 46,146 46,066 45,470 41,480 Within 15 days 1.......................................................... 1 ,871 1,872 1,951 8,151 8,402 1,871 7,836 771 16 days to 90 days..................................................... 11,892 11,824 11,873 6,354 6,326 11,892 6,293 10,488 91 days to 1 year....................................................... 17,698 17,338 17,293 19,773 19,902 17,698 19,825 14,919 Over 1 year to 5 years.............................................. 13,168 13,101 13,061 10,183 10,183 13,168 10,183 13,612 Over 5 years to 10 years........................................ 960 937 898 898 898 960 898 1,305 Over 10 years............................................................ 477 458 435 435 435 477 435 385 i Holdings under repurchase agreements are classified as maturing within 15 days in accordance with maximum maturity of the agreements. CONVERTIBLE FOREIGN CURRENCIES HELD BY FEDERAL RESERVE BANKS (In millions of U.S. dollar equivalent) End of period Total s P t o er u l n in d g s B fr e a lg n i c a s n C d a o n l a l d ar i s an F fr r a e n n c c s h G m e a rm rk a s n Ita li l r i e an Jap y a e n n ese N gu l e a i n l t d h d e e s r r s ­ f S r w an is c s s 1966—Tune............................. 482 271 54 2 1 124 1 1 3 24 July............................. 702 566 54 2 1 75 2 1 2 Aug......................... 687 476 54 2 1 150 1 1 2 Sept.............................. 742 587 54 20 1 76 1 ♦ 3 Oct............................. 783 622 54 20 1 76 6 1 3 Nov......................... 709 570 54 2 1 76 1 1 3 Dec.............................. 875 594 55 2 I 216 3 1 * 3 1967—Jan................. 397 319 55 2 1 15 1 1 * 3 Feb............................... 293 228 55 3 1 1 I 1 * 3 BANK DEBITS AND DEPOSIT TURNOVER (Seasonally adjusted annual rates) Debits to demand deposit accounts1 Turnover of demand deposits (in billions of dollars) Period T 2 o 3 t 3 a l Leading SMSA’s T S o M ta S l A 23 ’s 2 o 2 th 2 e 6 r T 2 o 3 t 3 a l Leading SMSA’s T S o M ta S l A 23 ’s 2 o 2 th 26 e r SMSA’s N.Y. 6 others2 N (e . x Y cl . . ) SMSA’s SMSA’s N.Y. 6 others2 N (e . x Y cl . . ) SMSA’s 1966—Apr............................... 5,858.0 2,501.5 1,281.6 3,356.5 2,074.9 52.7 111.8 47.9 37.6 33.2 May............... 5,909.2 2,513.5 1,326.8 3,395.7 2.068.9 52.6 109.5 49.7 37.8 32.8 June............................. 5,908.3 2,494.1 1,327.0 3,414.2 2,087.2 52.2 107.3 50.4 38.3 33.1 July.............................. 5,868.3 2,394.1 1,343.6 3,474.2 2,130.6 52.9 106.9 51.3 39.1 34.0 Aug.............................. 6,092.4 2,597.0 1,357.1 3,495.4 2,138.3 54.0 Hl.9 51.5 39.0 33.9 Sept.............................. 6,105.2 2,559.1 1,387.2 3,546.1 2,158.9 54.2 111.4 52.1 39.4 34.3 Oct................... 6,065.4 2,551.8 1,364.9 3,513.6 2,148.7 54.0 111,2 52.2 39.6 34.3 Nov.............................. 6,078.5 2,566.6 1,373.8 3,511.9 2,138.1 54.6 111.3 52.5 39.6 33.9 Dec....................... 6,406.5 2,844.6 1,405.1 3,561.9 2,156.8 56.9 121.8 53.2 40.0 34.2 1967—Ian................................ 6,409,1 2,847.3 1,362.2 3,561.8 2,199.6 57.2 124.7 50.9 39.4 34.8 Feb............................... 6,294.9 2,724.7 1,389.5 3,570.2 2,180.7 55.6 119.4 52.6 39.4 34.2 Mar.............................. 6,315.9 2,756.6 1,386.8 3,559.3 2,172.5 54.8 H7.2 51.2 39.1 33.9 Apr............................... 6,553.5 2,864.0 1,451.4 3,689.5 2,238.1 57.7 123.0 54.2 40.8 35.1 May............................. 6,348.2 2,734.5 1,409.2 3,613.7 2,204.5 54.8 115.2 52.0 39.2 33.9 1 Excludes interbank and U.S. Govt, demand deposit accounts. Note.—Total SMSA’s includes some cities and counties not designated 2 Boston, Philadelphia, Chicago, Detroit, San Francisco-Oakland, and as SMSA’s. Los Angeles-Long Beach. For a description of series, see Mar. 1965 Bulletin, p. 390. All data shown here are revised. For description of revision, see Mar. 1967 Bulletin, p. 38. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 U.S. CURRENCY 991 DENOMINATIONS IN CIRCULATION (In millions of dollars) Total Coin and small denomination currency Large denomination currency in cir­ End of period cula­ tion 1 Total Coin $1 2 $2 $5 $10 $20 Total 350 $100 $500 $ 1,000 $5,000 $10,000 1939..................... 7,598 5,553 590 559 36 1,019 1,772 1,576 2,048 460 919 191 425 20 32 1941..................... 11'160 8,120 751 695 44 1,355 2/31 2,545 3/44 724 1/33 261 556 24 46 1945...................... 28*515 20*683 1,274 1,039 73 2:313 6,782 9,201 7/34 2,327 4/20 454 801 7 24 1947...................... 28/68 20/20 1,404 1/48 65 2'110 6,275 9/19 8,850 2/48 5,070 428 782 5 17 1950..................... 27,741 19,305 1,554 1'113 64 2,049 5,998 8,529 8,438 2/22 5,043 368 588 4 12 1955 ..................... 31,158 22,021 1,927 1,312 75 2'151 6^17 9,940 9/36 2,736 5,641 307 438 3 12 1958...................... 32,193 22,856 2,182 1,494 83 2,186 6,624 10,288 9,337 2,792 5/86 275 373 3 9 1959..................... 32/91 23/64 2,304 1,511 85 2,216 6,672 10,476 9/26 2/03 5/13 261 341 3 5 1960..................... 32,869 23'521 2,427 1,533 88 2; 246 6,691 10/36 9,348 2/15 5/54 249 316 3 to 1961............... 33,918 24,388 2/82 1*588 92 2,313 6,878 10/35 9/31 2/69 6/06 242 300 3 L0 1962.................... 35,338 25,356 2,782 1/36 97 2,375 7,071 11/95 9/83 2/90 6/48 240 293 3 10 1963...................... 37 ,'692 26’807 3,030 1,722 103 2/69 7/73 12,109 10,885 3/21 7,110 249 298 3 4 1964..................... 39'619 28*100 3,405 1,806 ill 2/17 7/43 12,717 11/19 3/81 7/90 248 293 2 4 1965...................... 42,056 29,842 4,027 1,908 127 2/18 7,794 13,369 12,214 3/40 8,135 245 288 3 4 1966—Apr............ 41,538 29,373 4,192 1,838 130 2,502 7,585 13,125 12,166 3/85 8,148 242 285 3 4 May...... 42’102 29*868 4*231 1/76 133 2^555 7/32 13,342 12*234 3/07 8,196 241 284 3 4 June 42*554 30*228 4’264 1,884 135 2,’570 7/05 13/69 12,326 3/42 8/54 241 283 3 4 July........... 42*708 30*311 4’285 1,880 136 2/50 7,*770 13,690 12/97 3/60 8,307 240 283 3 4 Aug........... 42,*910 30’455 4,317 1,885 138 2‘,561 7,780 13/74 12/56 3/68 8,358 240 283 3 4 Sept........... 42/02 30/18 4/42 1/99 138 2/51 7/30 13/59 12/83 3/62 8,392 239 283 3 4 Oct........... 43,113 30*556 4'380 1 ,926 137 2/83 7,785 13,745 12/56 3,572 8,455 239 283 3 4 Nov........... 44,245 31,499 4,447 1,996 137 2,684 8,076 14,159 12,747 3,632 8/83 240 285 3 4 Dec........... 44,663 31,'695 4/80 2,051 137 2,756 8/70 14/01 12/69 3,700 8,735 241 286 3 4 1967—Jan........ 43,363 30,532 4,461 1,939 137 2,599 7,730 13,667 12,831 3,629 8,673 239 283 3 4 Feb,...... 43^585 30,758 4,481 1 *933 137 2/12 7,840 13/55 12,827 3,622 8,677 239 282 3 4 Mar........... 43,583 30,753 4/18 1*939 137 2,599 7,801 13,759 12,831 3,621 8,683 239 281 3 4 Apr........... 43,*730 30,’887 4,'55L 1 ,*948 137 2,607 7,817 13,827 12,844 3,625 8,692 238 282 3 4 1 Outside Treasury and F.R. Banks. Before 1955 details are slightly 2 Paper currency only; $1 silver coins reported under coin. overstated because they include smalt amounts of paper currency held by the Treasury and the F.R. Banks for which a denominational break­ Note.—Condensed from Statement of United States Currency and down is not available. Coin, issued by the Treasury. KINDS OUTSTANDING AND IN CIRCULATION (In millions of dollars) Held in the Treasury Currency in circulation 1 Held by Kind of currency T st o a t n a d l i o ng u . t ­ As security For B F a . n R k . s 1967 1966 Ap 1 r 9 . 6 7 30, g a o s g l i d a lv in e a r s n t d Tr c e a a s s h ury B F a a . n n R d k . s A a g n e d nt s Apr. Mar. Apr. certificates Agents 30 31 30 Gold. ............................................................................... 13,109 (12,604) 2 505 Gold certificates................................................ (12,604) 312,603 i Federal Reserve notes................................................... 40/55 126 2/85 38/44 38,127 36,348 Treasury currency—Total.............................................. 6,563 (556) 735 342 5/86 5/56 5,191 Standard silver dollars.............................................. 485 3 482 482 482 Silver bullion......................................................... 664 553 112 Silver certificates.......................................................... (556) 1 ................8.. 547 548 596 Fractional coin 4........................................................ 5,000 608 323 4,069 4,036 3,711 United States notes..................................................... 323 H 11 301 302 298 In process of retirement1................................ 92 4 88 88 104 Totai—Apr. 30, 1967..................................................... 560/27 (13,160) 1/65 12,603 2,828 43,730 Mar. 31, 1967. ................................................... 560,497 (13,169) 1,315 12,610 2,989 43/83 Apr. 30, 1966................................................... 559/14 (13,814) 922 13,189 3,765 41/38 1 Outside Treasury and F.R. Banks. Includes any paper currency held 5 Does not include all items shown, as some items represent the security outside the United States and currency and coin held by banks. Esti­ for other items; gold certificates are secured by gold, and silver certificates mated totals for Wed. dates shown in table on p. 791. by standard silver dollars and monetized silver bullion. Duplications 2 Includes $156 million reserve against United States notes and $230 are shown in parentheses. million gold deposited by and held for the International Monetary Fund. 3 Consists of credits payable in gold certificates: (1) the Gold Certificate Note.—Prepared from Statement of United States Currency and Coin Fund—Board of Governors, FRS; and (2) the Redemption Fund for F.R. and other data furnished by the Treasury. For explanation of currency notes. reserves and security features, see the Circulation Statement or the Aug. 4 Redeemable from the general fund of the Treasury. 1961 Bulletin, p. 936. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

992 MONEY SUPPLY; BANK RESERVES JUNE 1967 MONEY SUPPLY AND RELATED DATA (In billions of dollars) Seasonally adjusted Not seasonally adjusted Money supply Money supply Period Time Time U.S, deposits deposits Govt, Total c C om ur p re o n n c e y n t co D d m e e m p p o o a s n n i e t d n t jus a t d ed ­ 1 Total c C om ur p re o n n c e y n t co D d m e e m p p o o a s n n i e t d n t jus a t d ed ­ 1 d d e e p m os a i n ts d 1 1960—Dec................................................... 141.1 28.9 112.1 72.9 144.7 29.6 115.2 72.1 4.7 1961—Dec.,.............................................. 145. 5 29.6 116.0 82.7 149.4 30.2 119.2 81.8 4.9 1962—Dec................................................... 147. 5 30.6 116.9 97.8 151.6 31.2 120.3 96.7 5.6 1963—Dec................................................... 153.1 32. 5 120.6 112.2 157.3 33.1 124.1 111 .0 5.1 1964—Dec............................................ 159.7 34.2 125.4 126.6 164.0 35.0 129.1 125.2 5.5 1965—Dec................................................... 167.2 36.3 130,9 146.9 172.0 37.1 134.9 145.2 4.6 1966—May.................................................. 170.2 37.3 132.9 153.0 166.9 37.0 129.9 153.9 7.2 June................................................. 171.1 37.4 133.7 2153.7 168.8 37.3 131.5 2154.1 6.3 July.................................................. 169.6 37.7 131 9 155 3 167.9 37.8 130.1 155.8 8.2 Aug................................................. 169.6 37.8 131.8 156,6 166.9 37.9 129.1 157.0 5.2 Sept.................................................. 170.5 37.9 132.6 157.1 169.4 37.9 131.5 156.9 4.4 Oct. ■......,.,......,...,..,.., 169.6 38.0 131.7 156 8 170.1 38.1 132.1 156.6 4.8 Nov............................................. 169.2 38.0 131.2 156.8 171 .0 38.5 132,5 155.6 3.7 Dec................................................... 170,3 38.3 132 1 158.0 175.2 39.1 136.2 156.3 3.5 1967—jan.................................................... 169.6 38.5 131.1 160.5 174.6 38.4 136.2 160.0 o Feb.............................................. 170.4 38.7 131.7 163.2 170.0 38.3 131.7 163.3 5 1 Mar................................................. 172.8 38.9 133.9 165.3 171.3 38.5 132.8 166.1 4*9 Apr................................................. 172.1 39.0 133.1 167.3 173.1 38.6 134.5 168.1 4*8 May**.............................................. 174.1 39.2 134.9 169.3 170.5 38.9 131.6 170.2 66 Week ending—• Apr, 5............................................ 173.4 38.9 134.6 166.5 172.4 38.5 133.9 167.5 4 9 ‘ 12............................................. 173.0 39.1 134.0 167.0 173.4 38.9 134.5 168.0 3^9 19............................................ 171,6 39. 1 132.6 167.4 174.7 38.7 136.1 168.1 3.6 26........................................ 170,8 39.0 131,8 167,7 172.1 38.4 133,7 168.3 6.1 May 3........................................... 172.2 39. 1 133.2 168.0 172.1 38.5 133.6 168.8 6.7 ' io........................................... 172,6 39.2 133.4 168.6 170,8 39.1 131.7 169.5 7 9 17?......................................... 174.7 39.1 135.6 169.2 171.2 38.9 132.3 170.0 6.7 24?......................................... 174.8 39.2 135 6 169.5 168.9 38.8 130.1 170.6 6 6 31?.......................................... 175.1 39.2 135.9 170.2 170.5 38.8 131.8 171.2 5.0 i At all commercial banks. Averages of daily figures. Money supply consists of (1) demand 2 Effective June 9, 1966, balances accumulated for payment of personal deposits at all commercial banks other than those due to domestic com­ Ioans were reclassified for reserve purposes and are excluded from time mercial banks and the U.S. Govt., less cash items in process of collection deposits reported by member banks. The estimated amount of such and F.R. float; (2) foreign demand balances at F.R. Banks: and (3) cur­ deposits at all commercial banks ($1,140 million) is excluded from time rency outside the Treasury, F.R. Banks, and vaults of all commercial deposits adjusted thereafter. banks. Time deposits adjusted are time deposits at all commercial Note,—For description of revision of series and for hack data begin­ banks other than those due to domestic commercial banks and the ning Jan. 1959, see Sept. 1966 Bulletin, pp. 1303-15; for monthly data U.S. Govt. 1947-58, see June 1964 Bulletin, pp. 679-89. AGGREGATE RESERVES AND MEMBER BANK DEPOSITS (In billions of dollars) Seasonally adjusted Not seasonally adjusted Member bank reserves1 re D se e r p v o e s r it e s q s u u ir b e je m c e t n t t o s 2 Member bank reserves5 re D se e r p v o e s i r t e s q s u u ir b e j m ec e t n to ts 2 Period Total r N o b w o o r n e ­ d ­ qu R ir e e ­ d Total sa T a v i n m in d g e s de v P m a r t a i e ­ n d de G m U o a v .S n t, . d Total r N o b w o o r n e ­ d ­ qu R ir e e ­ d Total s T a a v i n m in d g e s de v P m a r a t i e ­ n d d G e U m o .S v an t . , d 1963—Dec....... 20.96 20.64 20.51 201.5 92.4 104.3 4.8 21.48 21.15 20.94 203.7 91.3 107.9 4.5 1964—Dec....... 21.84 21.59 21.53 216.7 104.2 107.5 5.0 22.39 22.15 21.98 219.1 103.0 111.3 4.8 1965—Dec....... 23.01 22.52 22.66 236.4 121.2 111.2 4.0 23.59 23.13 23.13 239.0 119.8 115.2 4.0 1966—May.... 23.54 22.88 23.16 243,9 126.2 112.9 4.8 23.37 22.65 23.00 243.1 126.8 109.8 6.5 June 3.,. 23.52 22.84 23.17 244.2 126.4 113.5 4.3 23.42 22.75 23.10 243.9 127.0 111.5 5.5 July.... 23.73 22.96 23.32 246.1 128,0 112.4 5.6 23.73 22.96 23.32 246.6 128.4 111,0 7.2 Aug....... 23.33 22.66 23.03 245.4 129.0 112.1 4.2 23.07 22.34 22.73 243.4 129.2 109.7 4.5 Sept...... 23.46 22.67 23.03 245.3 129.2 112.6 3.5 23.36 22.60 22,97 244.6 129.0 111.8 3.8 Oct..... 23.26 22.53 23.01 244.6 128.7 Hl.6 4.3 23.33 22.60 23.03 244.6 128.4 112.0 4.3 Nov...... 23.23 22.64 22.86 243.5 128.4 111.4 3.7 23.25 22.64 22.86 243.0 127.3 112.5 3.2 Dec..... 23.25 22.66 22.96 244.4 129.4 112.0 2.9 23.83 23.27 23,44 247.1 127.9 116.1 3.0 1967—Jan.. . . . 23.58 23.15 23.21 247.7 131.5 111.4 4.8 24.08 23.69 23.70 250.9 131.1 116.1 3,7 Feb....... 23.85 23.51 23.49 250.7 133.7 112.1 4.9 23.71 23.35 23,35 250.2 134.0 111.8 4.5 Mar..,, 24.30 24.05 23.79 254.0 135.3 113.9 4.8 24.04 23.84 23.60 253.2 136.3 112.6 4.3 Apr.... 24.33 24.18 23.98 256.8 137.2 113.2 6.4 24,21 24.08 23.90 256.3 137.9 114,2 4.3 May?... 24.30 24.27 23.93 257.2 138.7 114.4 4.1 24.13 24.03 23.76 256.5 139.4 111.2 5.8 1 Back data on member bank reserves adjusted to eliminate effects of 3 Effective June 9, 1966, balances accumulated for repayment of per­ changes in reserve requirement percentages. Series reflect percentage re­ sonal loans were eliminated from time deposits for reserve purposes. serve requirements made effective Sept. 15, 1966; series will reflect per­ Time and total deposits were thereby reduced by an estimated $850 mil­ centage reserve requirements made effective Mar. 16, 1967, when com­ lion; this reduced member bank reserves by $35 million. plete deposit data are available. Note.—-For further explanation of these data, see announcement in 2 Deposits subject to reserve requirements include total time and sav­ the Oct. 1966 Bulletin, p. 1460, Back data for the period 1948 to date ings deposits and net demand deposits as defined by Regulation D. Pri­ may be obtained from the Banking Section, Division of Research and vate demand deposits include all demand deposits except those due to the Statistics, Board of Governors of the Federal Reserve System, Washing­ US. Govt., less cash items in process of collection and demand balances ton, D.C. 20551. due from domestic commercial banks. Averages of daily figures. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 BANKS AND THE MONETARY SYSTEM 993 CONSOLIDATED CONDITION STATEMENT (In millions of dollars) Assets Liabilities and capital Total Bank credit assets, net- Treas­ Total Date c u u ry r­ U.S. Government securities li i a ti b e i s l ­ Total Ca a p n i d t al Gold rency Other and deposits misc. s o t i a n u n g t d ­ ­ Total n L e o t a n I, s , 2 Total s C a a v o n i m n d g l. s R F B e e a d s n e e k r r v a s e l Other r s i e ti c e u s ­ 2 cap n i e t t al, cur a r n e d n cy co n a u c e n ­ t ts, banks 1947—Dec. 31................... 22,754 4,562 160,832 43 023 107,086 81,199 22 J59 3,328 10,723 188,148 175,348 12 800 1950—Dec. 30................... 22'706 4’, 636 171 J67 60,366 96,560 72,894 20,778 2J88 14,741 199,008 184,384 14,624 1963—Dec. 20................... 15J82 5,586 333;203 189,433 103;273 69,068 33 J52 653 40,497 354,371 323,251 31,118 1965—Dec. 31................... 13,733 5,575 399,779 242,706 106,716 65,016 40,768 932 50,357 419,087 383,727 35,359 1966—May 25................... 13,500 5,900 402,700 248,800 101,100 58,900 41,100 1,100 52,800 422,100 382,700 39,400 13'434 5,978 410,’775 254,693 101,630 58'625 42,169 836 54,452 430,187 391,731 38,454 July 27................... 13 J00 6’000 406,900 251’800 100 J00 57,800 42,000 800 54,400 426,200 387,700 38,500 13'300 6,000 408,800 252’400 102 J00 58 J00 42,500 800 54,400 428'200 387,600 40,500 Sept. 28................... 13,300 6’ 100 410,700 254,'OOO 102,000 58,700 42,000 1,300 54,700 430,000 387,800 42 200 Oct 26 r................. 13 JOO 6’200 410,500 253’500 102'500 58 J00 42 JOO 1 J00 54,500 429’900 388,300 41,600 Nov. 30 r.................. 13’200 6'200 412,400 254,200 104'500 59 J00 43,900 1,300 53,700 431 J00 389 J00 42 600 Dec. 31................... 13,159 6'317 422,676 261 ,’459 106,472 60’916 44,316 1’240 54J45 442,152 400,999 41,150 1967—Jan, 25r................ 13,200 6,400 418,800 257,000 106,100 60,700 44,200 1 ,200 55,700 438,300 396,900 41,400 Feb. 22 r................. 13,100 6,400 420,700 256'300 107,300 61,300 44,700 1,400 57,200 440,300 396,900 43,400 Mar. 29 r................. 13’100 6 J00 426,100 259,700 107,700 62,500 44,500 700 58,700 445 JOO 403 JOO 42J00 Apr. 26 r................. 13'100 6,600 430,400 261'800 107,600 60,600 45,400 1 ,500 61,000 450,100 406 J00 43'300 May 31p......... .... 13,100 6,600 432’,200 262,400 107,800 60,400 46 JOO 1 ,400 61,900 451,900 407,900 44'000 DETAILS OF DEPOSITS AND CURRENCY Money supply Related deposits (not seasonally adjusted) Seasonally adjusted 3 Not seasonally adjusted Time U.S Government Date For­ Total o b r u C e a t n u n s c i k r d y ­ s e d ju m e s D p a t a o e d e n d s ­ ­ d i t s 4 Total o b r u C e a t n u n s c i k r d y ­ s e d ju m e s D p a t a o e d e n s d ­ ­ d i t s 4 Total b m C a e n o r k c m s ia ­ l * b M sa a v n u i k t n u s g a s l 5 S P a S t o e v y s m i s t n a ­ g l s e n i e g t n , 6 T h c i u r o n a e r g s l y a d h s s ­ ­ s b c a a o a v A n n i m n d t k J g s . s B F A a .R n t k . s 1947—Dec. 31.... 110,500 26,100 84,400 113,597 26,476 87J21 56,411 35,249 17,746 3,416 1,682 1,336 1,452 870 1950—-Dec. 30.. . . 114,600 24,600 90.000 117,670 25,398 92,272 59,246 36,314 20,009 2,923 2,518 1,293 2,989 668 1963—Dec. 20.... 153 JOO 31,700 121,400 158,104 33,468 124,636 155,713 110,794 44,467 452 1,206 392 6,986 850 1965—Dec. 31.... 167,100 35,400 131,700 175,314 36,999 138,315 199,427 146,433 52,686 309 1,780 760 5,778 668 1966—May 25.... 165 JOO 36,300 129,200 163,500 36,200 127,300 207,700 154,200 53,200 300 1,700 I ,000 8,000 700 June 30.... 167,600 36,300 131,300 168,089 37,128 130,961 208,647 154,798 53,657 192 1,943 1,049 11,237 766 July 27.... 166,800 36,800 130,000 166,600 36,900 129,700 210,400 156JO0 53,700 200 1 ,800 1,100 6,400 1,300 Aug. 31.... 168,500 36,900 131,600 166,900 37,100 129,900 211,200 157,200 53,800 200 1,900 1,100 5,000 1,600 Sept. 28.... 167 JOO 36,700 130,500 166,100 36J00 129,300 211,300 156,900 54,200 200 1 ,800 1,100 6,200 1,300 Oct. 26L.. 168,000 37,200 130 JOO 168,700 37,100 131,600 210,900 156,300 54,400 200 1,800 1 JOO 4,900 800 Nov. 30r... 169 JOO 37,300 131,900 171 JOO 38,000 133,500 210,300 155 JOO 54,500 100 1,800 1 JOO 4,000 300 Dec. 31.... 170,400 37,600 132,800 178,304 39,003 139,301 213,961 158,568 55,271 122 1,904 1,176 5,238 416 1967—Jan. 25''... 168,800 37,900 130,900 171,000 37,400 133,600 217,500 161 JOO 55,600 100 1 JOO 1 JOO 4,900 400 Feb. 22L.. 167,700 38,300 129,400 166,800 37 JOO 129,000 220 JOO 164,200 55,900 100 1,800 1 JOO 6,400 400 Mar. 29’-... 172,200 38,000 134,200 169,700 37,600 132J00 224,300 167 JOO 56,700 100 1 JOO 1,300 5 JOO 700 Apr. 26 r.., 170,400 38,000 132,400 170,500 37,700 132J00 225,600 168,600 56,900 100 1,800 1 ,400 6,700 800 May 31 p. .. 173,100 38,600 134,500 171,000 38,500 132,500 228,600 171,500 57,100 100 1 ,900 1,400 4,400 600 1 Beginning with data for June 30, 1966, about $1.1 billton in “Deposits bilities. accumulated for payment of personal loans” were excluded from ‘‘Time 6 Reclassification of deposits of foreign central banks in May 1961 re­ deposits” and deducted from “Loans” at all commercial banks. These duced this item by $1,900 million ($ 1,500 million to time deposits and $400 changes resulted from a change in Federal Reserve regulations. These hy­ million to demand deposits). pothecated deposits are shown in a table on p. 997. 2 See note 2 at bottom of p. 997. Note.—For back figures and descriptions of the consolidated condition 3 Series begin in 1946; data are available only last Wed. of month. statement and the seasonally adjusted series on currency outside banks <Other than interbank and U.S. Govt., less cash items in process of and demand deposits adjusted, see “Banks and the Monetary System,” collection. Section 1 of Supplement to Banking and Monetary Statistics, 1962, and 5 Includes relatively small amounts of demand deposits. Beginning with Bulletins for Jan. 1948 and Feb. 1960. Except on call dates, figures June 1961, also includes certain accounts previously classified as other lia- are partly estimated and are rounded to the nearest $100 million. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

994 COMMERCIAL AND MUTUAL SAVINGS BANKS JUNE 1967 PRINCIPAL ASSETS AND LIABILITIES AND NUMBER, BY CLASS OF BANK (Amounts in millions of dollars) Loans and investments Deposits Total assets— Cla a s n s d o d f a b te ank Total Loans G U o S . v S ec t . . utit O ie t s h 2 er a C ss a e s t h s 3 c c b o T a i a u l a l o p i n i n c a t t i d i t ­ a t ­ s e a l - s l * Total 3 m D I a n e n t ­ e d raa T n im k3 e U. D S. ema O O n t d t h h e e r r Ti 1 m . 5 e r B i o n o g w r s ­ ­ c c T a o a o p u c t i n ­ a ta t l s l b N a b u o n e m f k r s ­ Govt. All banks: 1941—Dec. 31............... 61,126 26,615 25,511 8,99927,344 90,908 81,816 10,982 44,355 26,479 23 8,414 14,826 1945—Dec. 31............... 140,227 30,361 101,288 8,57735,415 177,332 165,612 14,065 105,935 45,613 227 10,542 14,553 1947—Dec. 316............. 134,924 43,002 81,199 10,723 38,388 175,091 161,865 12,793 240 1,346 94,381 53,105 6611,948 14,714 1965—Dec. 31.............. 362,320246,946 65,01650,35761,916435,483 385,196 18,426 1,009 5,532 160,847 199,381 4,56434,935 14,309 1966—May 25.............. 365,550253,890 58,89052,77055,030431,960377,630 14,920 1,080 7,780 146,180207,670 5,61035,550 14,307 June 30............. 371,684258,607 58,62554,45260,978444,807391,731 17,034 1,099 11,005 153,907208,687 4,44436,071 14,307 July 27.............. 370,240258,030 57,83054,38057,280439,560382,56015,480 1,090 6,180 149,370210,440 7,23035,830 14,305 Aug. 31.............. 372,300259,150 58,78054,37056,360440,790382,90015,930 1,130 4,720 149,830211,290 7,17036,190 14,305 Sept. 28.............. 373,370260,000 58,69054,68056,110441,490383,21016,310 1,060 6,000 148,490211,350 7,05036,330 14,294 Oct. 26'............ 372,800259,780 58,52054,50057,780442,350384,25016,020 1 ,010 4,720 151,560210,940 6,97036,420 14,294 Nov. 30'. .... .. 374,510261,520 59,25053,74061,700448,240387,98017,110 900 3,810 155,680210,480 7,95036,770 14,288 Dec. 31.............. 381,684266,022 60,91654,745 70,085464,376407,637 19,770 968 4,999 167,821 214,078 4,92936,926 14,271 1967—Jan. 25'............ 379,860263,530 60,68055,65059,570451,390392,97016,050 1,110 4,680 153,470217,660 7,01036,910 14,266 Feb. 22'............ 380,920262,430 61,30057,19061,260454,340394,860 16,640 1,180 6,200 150,490220,350 6,74037,140 14,260 Mar. 29'............ 387,050265,860 62,47058,72058,500457,800399,14016,350 1,350 5,520 151 ,510224,410 6,270 37,380 14,264 Apr. 26'............ 389,440267,820 60,63060,99061,670463,590404,530 16,560 1,350 6,440 154,430225,750 6,64037,440 14,262 May 31?........... 391,310269,040 60,36061,91065,050469,210409,28017,520 1,370 4,160 157,440228,790 7,08037,790 14,247 Commercial banks: 1941—Dec. 31.............. 50,746 21,714 21,808 7,22526,551 79,104 71,283 10,982 44,349 15,952 23 7,173 14,278 1945—Dec, 31.............. 124,019 26,083 90,606 7,331 34,806 160,312 150,227 14,065 105,921 30,241 219 8,950 14,011 1947—Dec. 31«............ 116,284 38,057 69,221 9,00637,502 155,377144,103 12,792 240 1,343 94,367 35,360 65 10,059 14,181 1965—Dec. 31.............. 306,060201,658 59,54744,85560,899377,264332,436 18,426 1,008 5,525 160,780 146,697 4,47230,272 13,804 1966—May 25.............. 308,120207,430 53,55047,14054,180372,7(0324,360 14,920 1,080 7,780 146,130 154,450 5,61030,790 13,802 June 30............. 314,238211,980 53,50348,75560,013 385,393 338,00417,034 1,098 10,998 153,846155,029 4,3533!,309 13,802 July 27.............. 312,380211,050 52,72048,61056,420379,790328,84015,480 1,090 6,180 149,320156,770 7,23031,090 13,801 Aug. 31.............. 313,980211,820 53,73048,43055,530380,630329,010 15,930 1,130 4,720 149,780 157,450 7,17031,360 13,801 Sept. 28.............. 314,920212,500 53,61048,81055,260381,160328,940 16,310 1,060 6,000 148,440157,130 7,05031,510 13,790 Oct. 26'............ 314,220211,980 53,59048,65056,980381,940329,800 16,020 1,010 4,720 151,510 156,540 6,97031,630 13,789 Nov. 30'............ 315,770213,460 54,39047,92060,890387,650333,460 17,110 900 3,810 155,630 156,010 7,95031,930 13,784 Dec. 31.............. 322,66! 217,726 56,16348,77269,119403,368 352,287 19,770 967 4,992 167,751 158,806 4,859 32,054 13,767 1967—Jan. 25'............ 320,320214,970 56,00049,35058,600389,820337,320 16,050 1,110 4,680 153,410 162,070 7,01032,050 13,762 Feb. 22'............ 320,890213,600 56,60050,69060,220392,220338,870 16,640 1,180 6,200 150,430 164,420 6,74032,240 13,756 Mar. 29'............ 326,570216,750 57,83051,99057,360395,100342,400 16,350 1,350 5,520 151,450 167,730 6,27032,470 13,760 Apr. 26'............ 328,610218,510 56,15053,95060,600400,610 347,590 16,560 1,350 6,440 154,370 168,870 6,64032,580 13,758 May 31?............ 330,150219,480 55,88054,79063,960405,880352,140 17,520 1,370 4,160 157,380171,710 7,08032,880 13,744 Member banks: 1941—Dec. 31.............. 43,521 18,021 19,539 5,961 23,123 68,121 61,717 10,385 140 1,709 37,136 12,347 4 5,886 6,619 1945—Dec. 31.............. 107,183 22,775 78,338 6,07029.845 138,304 129,670 13,576 6422,179 69,640 24,210 208 7,589 6,884 1947—Dec. 31............. 97,846 32,628 57,914 7,30432,845 132,060 122,528 12,353 50 1,176 80,609 28,340 54 8,464 6,923 1965—Dec. 31............. 251,577 169,800 44,99236,78552,814313,384275,517 17,454 840 4,890 132,131 120,202 4,23424,926 6,221 1966—May 25.............. 252,528 174,354 39,68638,48847,548 309,186268,286 14,198 916 6,858 120,016 126,298 5,11425,345 6,198 June 30............. 257,767 178,257 39,94239,56952,853 320,350280,339 16,164 928 9,979 126,572 126,696 3,985 25,678 6,194 July 27.............. 255,819177,210 39,07239,53749,749 315,068271,46414,630 923 5,523 122,416 127,972 6,805 25,531 6,184 Aug. 31.............. 257,315178,023 39,98439,30848,650315,639271,521 15,047 963 4,202 122,874128,435 6,63325,766 6,175 Sept. 28.............. 257,809178,421 39,807 39,581 48,663 316,011 271,229 15,225 890 5,448 121,728 127,938 6,68425,843 6,171 Oct. 26.............. 256,797177,818 39,65239,32750,210316,324271,653 15,120 843 4,309 124,263 127,118 6,571 25,942 6,163 Nov. 30.............. 258,041 179,106 40,355 38,58053,564321,185 274,67616,188 730 3,448 127,757 126,553 7,45926,189 6,158 Dec. 31.............. 263,687 182,802 41,92438,96060,738 334,559291,063 18,788 794 4,432 138,218 128,831 4,61826,278 6,150 1967—Jan. 25.............. 261,583180,244 41,773 39,56651,387 322,412277,460 15,228 937 4,161 125,481 131,653 6,63826,285 6,137 Feb. 22............. 262,135178,958 42,40440,77352,973 324,753279,014 15,828 1,006 5,506 123,124 133,550 6,42626,453 6,130 Mar. 29.............. 267,086181,604 43,545 41,93750,276327,040281,903 15,547 1,172 4,857 124,096 136,231 6,04426,639 6,129 Apr. 26.............. 268,466182,821 42,00! 43,64453,487331,864286,486 15,742 1,172 5,899 126,642 137,031 6,40026,749 6,127 May 31?............ 269,654183,480 41,90044,27456,487336,422290,441 16,716 1,194 3,629 129,570139,332 6,76527,009 6,113 Mutual savings banks: 1941—Dec. 31.............. 10,379 4,901 3,704 1,774 793 11,804 10,533 5 10,527 1,241 548 1945—Dec. 31.............. 16,208 4,279 10,682 1,246 609 17,020 15,385 14 15,371 7 1,592 542 1947—Dec. 316............ 18,641 4,944 11,978 1,718 886 19,714 17,763 i 3 14 17,745 1,889 533 1965—Dec. 31.............. 56,260 45,288 5,470 5,501 1,017 58,219 52,760 8 67 52,686 92 4,663 505 1966—May 25.......... 57,430 46,460 5,340 5,630 850 59,250 53,270 50 53,220 4,760 505 June 30 57,446 46,627 5,122 5,697 965 59,414 53,727 i 7 61 53,657 92 4,761 505 July 27.............. 57,860 46,980 5,110 5,770 860 59,770 53,720 50 53,670 4,740 504 Aug. 31.............. 58,320 47.330 5,050 5,940 830 60,160 53,890 50 53,840 4,830 504 Sept. 28 58,450 47,500 5,080 5,870 850 60,330 54,270 50 54,220 4,820 504 Oct. 26.............. 58,580 47,800 4,930 5,850 800 60,410 54,450 50 54,400 4,790 505 Nov. 30.............. 58,740 48,060 4,860 5,820 810 60,590 54,520 50 54,470 4,840 504 Dec. 31.............. 59,023 48,296 4,753 5,973 966 61,008 55,350 i 7 70 55,271 69 4,871 504 1967—Jan. 25............. 59,540 48,560 4,680 6,300 970 61,570 55,650 60 55,590 4,860 504 Feb. 22.... 60,030 48,830 4,700 6,500 1,040 62,120 55,990 60 55,930 4,900 504 Mar. 29.............. 60,480 49,H0 4,640 6,730 1,140 62,700 56,740 60 56,680 4,910 504 Apr. 26'............ 60,830 49,310 4,480 7,040 1,070 62,980 56,940 60 56,880 4,860 504 May 31?............ 61,160 49,560 4,480 7,120 1,090 63,330 57,140 .......... 60 57,080 .....4..,.9..10 503 For notes see p. 997. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 COMMERCIAL AND MUTUAL SAVINGS BANKS 995 PRINCIPAL ASSETS AND LIABILITIES AND NUMBER, BY CLASS OF BANK—Continued (Amounts in millions of dollars) Loans and investments Deposits Total assets— Securities Total Interbank 3 Other Cla a s n s d o d f a b te ank Total Loans G U o .S v . t. Ot 2 her a C ss a e s t h s 3 c c b o a i a l a l p u i n i c a t i n d i ­ t ­ e t a s s l 4 Total3 m D a e n ­ d Time U. D S. ema O n t d her Time1 r B i o n o w g r s ­ ­ c c T a o a o p u c t i n ­ a ta t l s l N ba b o u n e f m k r s ­ Govt. Reserve city member banks: New York City:7*8 1941—Dec. 31................. 12,896 4,072 7,265 1,559 6,637 19,862 17,932 4,202 6 866 12,051 807 1,648 36 1945—Dec. 31................. 26,143 7,334 17,574 1,235 6,439 32,887 30,121 4,640 17 6,940 17,287 1,236 195 2,120 37 1947—Dec. 31................. 20,393 7,179 11,972 1,242 7,261 27,982 25,216 4,453 12 267 19,040 1,445 30 2,259 37 1965—Dec. 31................. 44,763 33,125 5,203 6,435 11,876 59,517 49,270 5,225 522 1 ,271 24,265 17,988 1,987 5,114 12 1966—May 25.......... 44,233 34,316 3,942 5,975 10,733 57,972 47,202 4,564 626 1,400 21,613 18,999 1,708 5,148 12 June 30............ 46.453 35,796 4,466 6,192 12,930 62,408 5i;799 5,869 606 2; 279 24,020 19,025 1,293 5,179 12 July 27.................. 44'996 34,789 4,087 6 12011,436 59,272 46,875 4,813 580 1,008 21,439 19,035 2 574 5,161 12 45'740 35,287 4,430 6,023 101574 59’392 46;869 4,647 568 '857 21 ,'955 18,842 2,071 5,250 12 45.’448 34’878 4,531 6,039 11,025 59,396 46,736 4,630 509 1,510 21,756 18,331 2 093 5,206 12 Oct. 26.................. 44,547 34,411 4,242 5,894 111263 58,598 46,194 4,788 490 1,030 22',309 17,577 1,944 5,228 12 Nov. 30................. 44,325 34,510 4,303 5,512 13,112 60,367 47,230 5,000 416 1,182 23,348 17,284 2 554 5,303 12 Dec. 31................. 46,536 35,941 4,920 5,674 141869 64,424 51,837 6,370 467 1,016 26,535 17,449 1,874 5,298 12 1967—Jan. 25.................. 45,756 35,212 4,775 5,769 11,545 60,042 47,414 5.003 551 848 22,826 18,186 2,013 5,323 12 Feb. 22.................. 45,474 34,396 5,115 5,963 12,200 60,537 47,404 4,987 601 1,065 22,547 18,204 2,280 5,443 12 Mar. 29................. 46,506 35,084 5,291 6,131 11,237 60,533 48,061 4,966 736 998 22,862 18,499 1,920 5,450 12 46,656 35,541 4,766 6,349 12,756 62,311 49,602 5,287 726 1,768 23,630 18,191 2,163 5,485 12 46.240 35 151 5,130 5,959 15,394 64,794 51,682 5,954 733 695 25,59418,706 2 416 5,598 12 City of Chicago: 7 1941—Dec. 31................. 2,760 954 1,430 376 1,566 4,363 4,057 1,035 127 2,419 476 288 13 1945—Dec. 31.................. 5,931 1 333 4,213 385 1,489 7,459 7,046 1,312 1,552 3,462 719 377 12 1947—Dec. 31................. 5.088 I ’801 2,890 397 1,739 6,866 6,402 1,217 72 4,201 913 426 14 1965—Dec. 31.................. 11^455 8,219 1 ,700 1,536 2,426 14,290 12,475 1,437 39 345 5,656 4,999 355 1,132 11 1966—May 25 .................. 1 ,148 8,064 1,461 1 623 2,349 13,989 11,922 1,169 26 457 5,087 5,183 428 1,143 11 11,715 8,567 1 585 1 564 2,322 14,490 12,385 1,230 43 680 5,249 5,184 521 1,152 11 July 27.................. 1 ,400 8,331 1,363 1,706 2,447 14,371 11,959 1,160 31 310 5,224 5,234 637 1,146 11 1 ,495 8,364 1 ,’475 1,656 2,382 14,297 11,876 1,201 29 248 5,157 5,241 886 1,165 11 Sept. 28.................. 11,538 8,366 1,480 1’692 21506 14,455 11 ;?5i 1,159 26 358 5,'148 5,060 1,033 1,156 11 Oct. 26.................. 1 ,298 8,193 1,425 1,680 2,641 14,368 11,671 1,193 27 405 5,239 4,807 830 1,166 11 Nov. 30.................. 1 ,374 8,282 1,526 1,566 2,685 14,520 11,453 1,251 17 108 5,362 4,715 1 114 1,181 11 1 .802 8,756 1,545 1,502 2,638 14,935 12,673 1,433 25 310 6,008 4,898 484 1; 199 11 1967—Jan. 25.................. 11,648 8,316 1,712 1,620 2,673 14,779 11,705 1,169 16 191 5,226 5,103 1,072 1,196 11 Feb. 22................... 11,816 8,428 1,730 1’658 2,609 14,879 11,978 1,268 14 285 5,192 5,219 559 1,194 11 Mar. 29. . ............. 12,266 8,584 2,039 1 643 2,733 15,452 (2,223 1,244 11 283 5,184 5,501 951 1,193 11 12,127 8,475 1 886 1,766 2,576 15,176 12,345 1,182 11 370 5,264 5,518 702 1,202 11 May 31p. ........ 11 ’995 8,426 1,822 1,747 21691 15471 12', 633 1,319 11 154 5,488 5; 661 644 G223 11 Other reserve city:7’8 1941—Dec. 31.................. 15,347 7 105 6,467 1,776 8,518 24,430 22,313 4,356 104 491 12,557 4,806 1,967 351 1945—Dec. 31............ 40,108 8,514 29,552 2,042 11,286 51,898 49,085 6,418 30 8,221 24,655 9,760 2 2,566 359 1947—Dec. 31.......... 36,040 13,449 20,196 2,396 13,066 49,659 46,467 5,627 22 405 28.990 11,423 1 2,844 353 1965—Dec. 31................. 91,997 65,117 14,354 12,52621,147 116,350 103,034 8,422 206 1,773 47,09245,541 1,548 9,007 171 1966—May 25.................. 92,355 66,817 11.832 13,706 19,064 114,547 100,037 6,702 193 2,824 42,365 47,953 1,990 9,200 170 93,831 67,779 12,182 13,86920,764 118,152 103,985 7,153 215 3,968 44,51948,131 1,756 9,297 170 July 27.................. 93,519 67,738 11,791 13,99020,070 116,873 10C489 6,795 238 2,242 43,71648,498 2,744 9,291 170 Aug. 31................. 93,994 68,102 12,085 13,807 19,608 117,027 101,572 7,261 292 1,562 43,727 48,730 2,600 9,361 170 Sept. 28.................. 93,899 68,359 11,718 13,82219,590 116,951 101,100 7'056 281 1,921 43,262 48,580 2,821 9,368 170 Oct. 26.................. 93,627 68,231 11,760 13;63620,426 117,442 101312 7J58 252 i;'63O 44,066 48,406 2; 999 9,387 170 Nov. 30.................. 94,654 68,959 12,237 13 45820,732 118,882 102,611 7,918 223 1,074 45,21448,182 2,807 9,453 170 Dec. 31................. 95,831 69,464 13^40 13,32624,228 123,863 108,804 8,593 233 1,633 49,00449,341 1,952 9,471 169 1967—Jan. 25.................. 95,162 68,491 12,875 13,79620,283 118,870 103,332 7,065 306 1,752 43,83050,379 2,807 9,465 168 Feb. 22.................. 95,797 68,077 13,199 14,521 211113 120,402 104,520 7,598 327 2,336 42,978 51,281 2,957 9,481 168 97,875 68,880 13,724 15,271 19,706 121,135 105,418 7,387 361 1,825 43,54452,301 2,725 9,589 167 97,913 68,684 13,065 16,16421,543 123,100 107J54 7; 290 371 2^334 44,52252,637 3^50 9,642 166 98.906 69,174 12,938 16,79421,164123,823 107,604 7,477 386 1,375 45,11453,252 3,072 9,701 166 Country member banks:7’8 1941—Dec. 31................. 12,518 5,890 4,377 2,250 6,402 19,466 17,415 792 30 225 10,109 6,258 4 1,982 6,219 1945—Dec. 31.................. 35,002 5,596 26,999 2,408 10,632 46,059 43,418 1,207 17 5,465 24,235 12,494 11 2,525 6,476 1947—Dec. 31................. 36,324 10,199 22,857 3,268 10,778 47’553 44,443 1^56 17 432 28;378 14,560 23 2,934 6,519 1965—Dec. 31................. 103,362 63,338 23,735 16,288 17,366 123,227 110,738 2,371 74 1,501 55,11851,675 343 9,673 6,027 1966—May 25................. 104,792 65,157 22,451 17,18415,402 122,678 109,125 1,763 71 2,177 50,951 54,163 988 9,854 6,005 June 30.................. 105,768 66,115 21,709 17,94416,836 125,301 112,170 1,912 64 3,052 52,785 54,357 416 10,050 6,001 July 27.................. 105,904 66,352 21,831 17,721 15,796 124,552 111,141 1,862 74 1,963 52,037 55,205 850 9,933 5,991 Aug. 31.................. 106,086 66,270 21,994 17,82216,086 124,923 111,204 1,938 74 1,535 52,035 55,622 1,076 9,990 5,982 106,924 66,818 22,078 18,028 15,542 125,209 111,642 2,380 74 1,659 51,56255;967 737 10,113 5,978 Oct. 26.................. 107,325 66,983 22,225 181117 15,880 125,916 112,276 1,981 74 1,244 52,64956;328 798 10,161 5,970 Nov. 30.................. 107.688 67,355 22'289 18,044 17,035 127,416 113,382 2,019 74 1,084 53,83356,372 98410,252 5,965 Dec. 31.................. 10r 518 68,641 22,419 18,458 19,004 131,338 117,749 2,392 69 1,474 56,67257,144 308 10,309 5,958 1967—jan_ 25.................. 109,017 68,225 22,411 18,381 16,886 128,721 115,009 1,991 64 1,370 53,59957,985 746 10,301 5,946 Feb. 22.................. 109,048 68,057 22,360 18,631 17,051 128,935 115,112 1,975 64 1,820 52,40758,846 630 10,335 5,939 Mar. 29.................. 110,439 69,056 22,491 18,89216,600 129,920 116,201 1,950 64 1,751 52,50659,930 448 10,407 5,939 Apr. 26.................. 111,770 70,121 22,284 19,365 16,612131,277 117,385 1,983 64 l',427 53,22660,685 485,10,420 5,938 May 31 .............. 112.513 70,729 22,010 19,774 17,238 132,634 118,522 1,966 64 1,405 53,37461,713 633 10,487 5,924 For notes see p. 997. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

996 COMMERCIAL AND MUTUAL SAVINGS BANKS JUNE 1967 PRINCIPAL ASSETS AND LIABILITIES AND NUMBER, BY CLASS OF BANK—Continued (Amounts in millions of dollars) Loans and investments Deposits Total assets— b c C a a l n l a l k s d s a a o t n e f d Total Lo 1 a . n 2 s G U o S . v S e t c . . urit O ie t s h 2 er as C s a e s ts h 3 c c b o T a i a u l a l p o i n i c n a t i t d i ­ t ­ a t e a s l s l 2 Total 3 m I D n a e n te ­ d rba T n i k m 3 e U. D S. e ma O n t d her T 1 i m . 5 e r B i o n o w g r s ­ ­ c c T a o a o p u c t i n ­ a ta t l s l N ba b o u n e f m r k s ­ Other Govt. Insured commercial: 1941—Dec. 31.. 49,290 21,259 21,046 6,984 25,788 76,820 69,411 10,654 1,762 41,298 15,699 10 6,844 13,426 1945—Dec. 31.. 121,809 25,765 88,912 7,131 34,292 157,544 147,775 13,*83 23,740 80,27629,876 215 8,671 13,297 1947—Dec. 31.. 114,274 37,583 67,941 8,750 36,926 152,733 141,851 12,615 54 1,325 92,975 34,882 61 9,734 13,398 1964—Dec. 31.. 275,053 174,234 62,499 38,320 59,911 343,876 305,113 17,664 733 6,487 154,043 126,185 2,58027,377 13,486 1965—Dec. 31.. 303,593 200,109 59,12044,364 60,327 374,051 330,323 18,149 923 5,508 159,659 146,084 4,325 29,827 13,540 1966—June 30.. 312,982211,588 53,111 48,282 59,489 383,445 337,146 16,761 1,021 10,972 152,839 155,554 4,12630,873 13,552 1966—Dec. 31.. 321,473 217,379 55,78848,307 68,515 401,409 351,438 19,497 881 4,975 166,689 159,396 4,717 31,609 13,533 National member: 1941—Dec. 31.. 27,571 11,725 12,039 3,806 14,977 43,433 39,458 6,786 1 ,088 23,262 8,322 4 3,640 5,117 1945—Dec. 31.. 69,312 13,925 51,250 4,137 20,114 90,220 84,939 9,229 14,013 45,473 16,224 78 4,644 5,017 1947—Dec. 31.. 65,280 21 ,428 38,674 5,178 22,024 88,182 82,023 8,375 35 795 53,541 19,278 45 5,409 5,005 1964—Dec. 31.. 151,406 96,688 33,40521,312 34,064 190,289 169,615 10,521 211 3.604 84,53470,746 1,109 15,048 4,773 1965—Dec. 31.. 176,605 118,537 32,34725,720 36,880 219,744 193,860 12,064 458 3,284 92,533 85,522 2,627 17,434 4,815 1966—June 30.. 181,934 124,722 28,891 28,321 36,769 225,441 197,79210,609 514 6,767 88,615 91,288 2,681 18,021 4,811 1966—Dec. 31.. 187,251 129,182 30,355 27,713 41,690 235,996 206,45612,588 437 3,035 96,755 93,642 3,120 18,459 4,799 State member: 1941—Dec. 31.. 15,950 6,295 7,500 2,155 8,145 24,688 22,259 3.739 621 13,874 4,025 1 2,246 1,502 1945—Dec. 31.. 37,871 8,850 27,089 1,933 9,731 48,084 44,730 4,Ill 8,166 24,168 7,986 130 2,945 1,867 1947—Dec. 31.. 32,566 11,200 19,240 2,125 10,822 43,879 40,505 3,978 15 381 27,068 9,062 9 3,055 1,918 1964—Dec. 31.. 77,091 51,002 15,312 10,777 18,673 98,852 86,108 6,486 453 2,234 44,005 32,931 1,372 7,853 1,452 1965—Dec. 31.. 74,972 51,262 12,645 11,065 15,934 93,640 81,657 5,390 382 1,606 39,59834,680 1,607 7,492 1,406 1966—June 30.. 76,704 54,405 11,051 (1,248 16,084 95,779 83,417 5,555 414 3,212 37,957 36,278 1,304 7,656 I ,383 1966—Dec. 31.. 77,377 54,560 11,569 11,247 19,049 99,504 85,547 6,200 357 1,397 41,46436,129 1,498 7,819 1 ,351 Insured nonmember commercial: 1941—Dec. 31.. 5,776 3,241 1,509 1,025 2,668 8,708 7,702 129 53 4,162 3,360 6 959 6,810 1945—Dec. 31.. 14,639 2,992 10,584 1,063 4,448 19,256 18,119 244 1,560 10,635 5,680 7 1,083 6,416 1947—Dec. 31.. 16,444 4,958 10,039 1,448 4,083 20,691 19,340 262 4 149 12,366 6,558 7 1,271 6,478 1964—Dec. 31.. 46,567 26,544 13,790 6,233 7,174 54,747 49,389 658 70 649 25,50422,509 99 4,488 7,262 1965—Dec. 31.. 52,028 30,310 14,137 7,581 7,513 60,679 54,806 695 83 618 27,52825,882 91 4,912 7,320 1966—June 30.. 54,355 32,461 13,178 8,716 6,636 62,237 55,937 597 93 993 26,26727,987 141 5,207 7,359 1966—Dec. 31.. 56,857 33,636 13,873 9,349 7,777 65,921 59,434 709 87 543 28,471 29,625 99 5,342 '7,384 Noninsured nonmem­ ber commercial: 1941—Dec. 31.. 1,457 455 761 241 763 2,283 1,872 329 1,291 253 13 329 852 1945—Dec. 31.. 2,211 318 1,693 200 514 2,768 2,452 111 1,905 365 4 279 714 1947—Dec. 3H. 2,009 474 1,280 255 576 2,643 2,251 177 185 18 1,392 478 4 325 783 1964—Dec. 31.. 2,312 1,355 483 474 578 3,033 2,057 273 86 23 1.141 534 99 406 274 1965—Dec. 31.. 2,455 1,549 418 489 572 3,200 2,113 277 85 17 1,121 612 147 434 263 1966—June 30.. 2,395 1,542 383 470 523 3,086 2,009 273 77 26 1,007 626 227 425 249 1966—Dec. 31.. 2,400 1,570 367 463 604 3,171 2,073 274 86 17 1 ,062 633 142 434 >-233 Nonmember commercial: 1941—Dec. 31.. 7,233 3,696 2,270 1,266 3,431 10,992 9,573 457 5,504 3,613 18 1,288 7,662 1945—Dec. 31.. 16,849 3,310 12,277 1,262 4,962 22,024 20,571 425 14.101 6,045 11 1,362 7,130 1947—Dec. 31.. 18,454 5,432 11,318 1,703 4,659 23,334 21,591 439 190 167 13,758 7,036 12 1,596 7,261 1964—Dec. 31.. 48,879 27,899 14,273 6,707 7,752 57,780 51,447 931 156 672 26,645 23,043 198 4,894 7,536 1965—Dec. 31.. 54,483 31,858 14,555 8,070 8,085 63,879 56,919 972 168 635 28,64926,495 238 5,345 7,583 1966—June 30.. 56,750 34,003 13,561 9,186 7,160 65,323 57,946 870 171 1,019 27,27428,613 367 5,632 7,608 1966—Dec. 31.. 59,257 35,206 14,239 9,812 8,381 69,092 61,506 983 173 560 29,532 30,258 241 5,776 '7,617 Insured mutual savings: 1941—Dec. 31.. 1,693 642 629 421 151 1,958 1,789 1,789 164 52 1945—Dec. 31.. 10,846 3,081 7,160 606 429 11,424 10,363 12 10,351 1 1,034 192 1947—Dec. 31.. 12,683 3,560 8,165 958 675 13,499 12,207 .......... 1 2 1212,192 1,252 194 1964—Dec. 31.. 45,358 36,233 4,110 5,015 893 47,044 42,751 2 7 32642,416 20 3,731 327 1965—Dec. 31.. 48,735 39,964 3,760 5,010 904 50,500 45,887 1 7 35945,520 91 3,957 329 1966—June 30.. 49,679 41,102 3,432 5,145 854 51,450 46,681 1 6 41646,257 92 4,045 330 1966—Dec. 31.. 51,267 42,591 3,324 5,352 847 53,047 48,254 I 6 381 47,865 69 4,140 330 Noninsured mutual savings: 1941—Dec. 31.. 8,687 4,259 3,075 1,353 642 9,846 8,744 6 8,738 1,077 496 1945—Dec. 31.. 5,361 1,198 3,522 641 180 5,596 5,022 .......... 2 5,020 6 558 350 1947—Dec. 316 5,957 1,384 3,813 760 211 6,215 5,556 1 2 5,553 637 339 1964—Dec. 31.. 7,005 4,852 1,678 475 111 7,195 6,387 .......... 6 6,381 670 178 1965—Dec. 31.. 7,526 5,325 1,710 491 113 7,720 6,874 1 8 6,865 1 706 177 1966—June 30.. 7,768 5,525 1,690 552 111 7,964 7,046 28 7,017 716 175 1966—Dec. 31.. 7,756 5,705 1,429 621 119 7,961 7,096 1 19 7,076 732 174 For notes see opposite page. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 COMMERCIAL BANKS 997 LOANS AND INVESTMENTS AT COMMERCIAL BANKS (In billions of dollars) Seasonally adjusted Not seasonally adjusted Securities Securities Period Total i, 2 Loans1,2 Total t, 2 Loans1,2 G U o . v S t . . Other2 G U o .S vt . . Other2 1958—Dec. 31............................................................... 181.2 95.6 65.1 20.5 184.4 97.5 66.4 20.6 1959—bec. 31............................................................... 185.9 107.5 57.9 20.5 189.5 110.0 58,9 20.5 I960—Dec. 31............................................................... 194.5 113.8 59.8 20.8 198.5 116.7 61.0 20.9 1961—Dec. 30................................................................ 209.6 120.5 65.2 23.9 214.4 123.9 66,6 23,9 1962—Dec. 31............................................................... 227.9 134.1 64.5 29.2 233.6 137.9 66.4 29.3 1963—Dec. 31................................................................ 246.2 149.7 61.5 35.0 252.4 153.9 63.4 35.1 1964—Dec. 31............................................................... 267.2 167.4 61.1 38.7 273.9 172,1 63.0 38.8 1965—bee. 31............................................................... 294.4 192.0 57.7 44.8 301.8 197.4 59.5 44.9 1966—May 25.............................................................. 304.9 202.3 55.1 47.4 302.4 201.7 53.6 47. 1 June 30.............................................................. 307.7 204.0 55.1 48.6 310.1 207.9 53.5 48.8 July 27................................................................ 309.2 206.4 54.4 48.5 307.1 205.8 52.7 48.6 Aug. 3 i, ........................................................... 310.8 206.6 56. 1 48.1 307.7 205. 5 53.7 48.4 Sept. 28................................................................ 308.7 206.1 54.3 48.3 309.3 206.9 53.6 48.8 Oct. 26 r.............................................................. 308.1 207.2 52.5 48.4 308.4 206.2 53.6 48.7 Nov. 30 r................................. 308.6 207.2 53.0 48.4 309.5 207.2 54.4 47.9 Dec. 31 r............................................................ 310.2 207.2 54.3 48.7 317.9 213.0 55.8 48.6 1967—.Jan. 25 r.............................................................. 314.9 211.0 54.0 49.8 314.2 208.9 56.0 49.4 Feb. 22r.............................................................. 316.5 210.4 55.1 51.0 314.9 207.6 56.6 50.7 Mar. 29 r............................................................. 321.9 211.8 57.8 52.3 320.6 210.7 57,8 52.0 Apr 26rp............................................................ 324.1 213.8 56.6 53.7 322.8 212.7 56.2 54.0 May 31 p ............................................................. 326.4 213.8 57.6 55.1 323.8 213.2 55.9 54.8 1 Adjusted to exclude interbank loans. Note.—Data are for last Wed. of month except for June 30 and Dec. 2 Beginning June 9, 1966, about $1.1 billion of balances accumulated 31; data are partly or wholly estimated except when June 30 and Dec. 31 for payment of personal loans were deducted as a result of a change in are call dates. For back data, see July 1966 Bulletin, pp. 952-55. For Federal Reserve regulations. description of seasonally adjusted series, see July 1962 Bulletin, pp. Beginning June 30, 1966, CCC certificates of interest and Export­ 797-802. Import Bank portfolio fund participation certificates totaling an estimated $1 billion are included in “Other securities’’ rather than “Other loans.” DEPOSITS ACCUMULATED AT COMMERCIAL BANKS FOR PAYMENT OF PERSONAL LOANS (In millions of dollars) June 30 Dec. 31 June 30 Dec. 31 Class of bank 1966 1966 Class of bank 1966 1966 All commercial....................................................... 1,150 1,223 AU member (coat.)— Insured............................................................... I 150 1 223 Other reserve city............................................... 338 370 National member................................................. 678 729 Country.............................................................. 532 571 State member....................................................... 193 212 All nonmember...................................................... 280 283 All member............................................................... 870 941 Insured.............................................................. 279 282 New York City..................................................... Noninsured.......................................................... 1 City of Chicago.................................................... Note,—These hypothecated deposits are excluded from “Time depos­ These deposits have not been deducted from “Loans” and “Time de­ its” and “Loans” at all commercial banks beginning with June 30, 1966, posits” in the table on p. 806, or from “Loans” and “Time deposits, as follows: in the tables on pp. 993-95;in the table at the top of this IPC” in the tables on pp. 998-99. page; and in the tables on pp. 1000-03 (consumer instalment loans). Details may not add to totals because of rounding; also, mutual savings These changes resulted from a change in the Federal Reserve regulations. banks held $166,000 of these deposits on June 30, 1966. (See June 1966 Bulletin, p. 808.) Notes to tobies on pp. 994-96. 8 Beginning with May 18, 1964, one New York City country bank with loans and investments of $1,034 million and total deposits of $982 million 1 See table (and notes) above, Deposits Accumulated at Commercial was reclassified as a reserve city bank. Beginning with May 13, 1965 Banks for Payment of Personal Laans. (Toledo, Ohio), reserve city banks with total loans and investments of 2 Beginning June 30, 1966, loans to farmers directly guaranteed by $530 million and total deposits of $576 million were reclassified as country CCC were reclassified as securities, and Export-Import Bank portfolio banks. fund participations were reclassified from loans to securities. This reduced “Total loans” and increased “Other securities” by about $1 billion. Note.—Data are for all commercial and mutual savings banks in the “Total Ioans” include Federal funds sold, figures for which are shown United States (including Alaska and Hawaii, beginning with 1959). For separately for commercial banks on the following two pages. definition of “commercial banks” as used in this table, and for other 3 Reciprocal balances excluded beginning with 1942. banks that are included under member banks, see Note, p. 643, May 1964 4 Includes other assets and liabilities not shown separately. But.l ETIN. 5 Figures for mutual savings banks include relatively, small amounts Comparability of figures for classes of banks is affected somewhat by of demand deposits. Beginning with June 1961, also includes certain changes in F.R. membership, deposit insurance status, and the reserve accounts previously classified as other liabilities. classifications of cities and individual banks, and by mergers, etc. 6 Beginning with Dec. 31, 1947, the series was revised; for description, Data for national banks for Dec. 31, 1964 have been adjusted to make see note 4, p. 587, May 1964 Bulletin. them comparable with State bank data. 7 Regarding reclassification of New York City and Chicago as reserve Figures are partly estimated except on call dates. cities, see Aug. 1962 Bulletin, p. 993. For various changes between For revisions in series before June 30, 1947, see July 1947 Bulletin, reserve city and country status in 1960-63, see note 6, p. 5 8 7, May 1964 pp. 870-71. Bulletin. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

998 COMMERCIAL BANKS JUNE 1967 LOANS AND INVESTMENTS BY CLASS OF BANK (In millions of dollars) Other loans 1 Investments For Class of lo T a o n t s a l 1 Fed­ Com­ o p s r u e r c c c u a h r r a r it y s i i i e n n s g g in f s in ti a t T u n o t c i i o a n l s Other, U.S s . e G cu o r v it e ie rn s m 5 ent State bank and and eral mer­ Agri- Real to and Other call date invest­ funds Total cial cul­ es­ in­ Other local securments 2 . 3 and t ur­ To tate di­ 4 govt, rities4 in­ al 4 bro­ vid- Bills secu­ d tr u ia s l ­ k a e n r d s ot T h o e rs Banks Others uals2 Total ce a r n t d if i­ Notes Bonds rities deal­ cates ers Total: 2 1947—Dec. 31.. 116,284 .......... 38,057 18,167 1,660 8301,220 115 9,393 5,723 94769,221 9,982 6,03453,205 5,2763,729 1964—Dec. 31.. 277,376 175,58960,217 7,505 5.5422,843 3,491 10,91343,67539,809 5,15262,991 13,377 19,039 30,57433,533 5,263 1965—Dec. 31.. 306,060 2,103 199,555 71,4378,2125,2583,231 2,158 13,29149,30045,468 5,215 59,547 n.a. n.a. n.a.38,655 6,201 1966—June 30.. 315,388 2,129211,001 77,245 8,4885,3503,283 1 ,971 13,93351,89947,6825,227 53,503 n.a. n.a. n.a.40,6128,142 1966—Dec. 31.. 323,885 2,544216,405 80,598 8,555 5,821 3,203 2,189 13,30253,95047,943 5,183 56,163 n.a. n.a. n.a.41,0037,769 All insured: 1941—Dec. 31.. 49,290 .......... 21.259 9,2141,450 614 662 40 4,773 4,505 21,046 988 3,159 16,899 3,651 3,333 1945—Dec. 31.. 121,809 25,765 9,461 1,3143,1643,606 49 4,677 2,361 1,13288,912 21,526 16,045 51,342 3,873 3,258 1947—Dec. 31.. 114,274 37,583 18,012 1,610 823 1,190 114 9,266 5,654 91467,941 9,676 5,918 52,347 5,1293,621 1964—Dec. 31.. 275,053 174,23459,7467,4825,3552,794 3,419 10,81243,43639,6275,11262,499 13,275 18,93930,28533,2945,026 1965—Dec. 31.. 303,593 2,064 198,045 70,8878,191 5,0883,172 2,093 13,14849,02645,2905,155 59,120 13,134 13,233 33,858 38,4195,945 1966—June 30.. 312,982 2,061 209,52776,725 8,4705,2223,222 1,929 13,77351,59947,5065,15253,111 9,174 12,38932,70940,368 7,914 1966—Dec. 31.. 321,473 2,461 214,918 80,0608,5365,6433,148 2,131 13,14853,68647,7705,127 55,788 n.a. n.a. n.a.40,761 7,545 Member, total: 1941—Dec. 31.. 43,521 .......... 18,021 8,671 972 594 598 39 3,494 3,6 53 19,539 971 3,007 15,561 ’3,0902,871 1945—Dec. 31.. 107,183 22,775 8,949 855 3,1333,378 47 3,455 1,900 1,05778,338 19,260 14,271 44,807 3,2542,815 1947—Dec. 31.. 97,846 32,628 16,962 1,046 811 1,065 113 7,130 4,662 83957,914 7,803 4,815 45,295 4,1993,105 1964—Dec. 31.. 228,497 147,69053,7174,643 5,1422,411 3,250 10,17934,58732,0244,82448,717 9,932 15,238 23,548 28,3743,715 1965—Dec. 31.. 251,577 1,861 167,93963,9795,0994,9152,714 2,008 12,47538,98836,4184,83244,992 9,441 10,10626,367 32,588 4,198 1966—June 30.. 258,638 I ,772 177,355 69,3575,2445,0362,717 1,861 13,06840,86237,9334,808 39,942 6,384 9,118 25,42633,8965,672 1966—Dec. 31.. 264,627 2,119 181,62472,553 5,3185,3892,660 2,047 12,34942,38437,9254,75741,924 n.a. n.a. n.a.33,800 5,160 New York City: 1941—Dec. 31.. 12,896 .......... 4,072 2,807 8 412 169 32 123 522 7,265 311 1,623 5,331 729 830 1945—Dec. 31.. 26,143 7,334 3,044 2,453 1,172 26 80 287 27217,574 3,910 3,325 10,339 606 629 1947—Dec. 31.. 20,393 7,179 5,361 545 267 93 111 564 238 11,972 1,642 558 9,772 638 604 1964—Dec. 31,. 39,507 27,301 14,189 302,742 623 1,179 2,615 2,546 2,6541,371 6,178 1,958 1,972 2,248 5,579 449 1965—Dec. 31.. 44.763 412 32,713 18,075 202,866 665 1,010 3,471 3,139 2,9281,340 5,203 1,538 987 2,876 5,879 556 1966—June 30.. 46,453 134 35,662 19,815 163,305 647 992 3,898 3,411 2,965 1,413 4,466 1 ,427 750 2,473 5,361 831 1966—Dec. 31.. 46,536 109 35,83221,214 173,109 598 1,025 3,265 3,465 2,7991,209 4,920 n.a. n.a. n.a. 4,967 708 City of Chicago: 1941—Dec. 31.. 2,760 .......... 954 732 6 48 52 1 22 s5 1,430 256 153 1,022 182 193 1945—Dec. 31.. 5,931 1,333 760 2 211 233 36 51 40 4,213 1,600 749 1,864 181 204 1947—Dec. 31.. 5,088 1,801 1,418 3 73 87 46 149 26 2,890 367 248 2,274 213 185 1964—Dec. 31.. 10,562 7,102 3,870 24 510 203 227 948 465 669 430 1,873 564 397 911 1,392 195 1965—Dec. 31.. 11,455 72 8,147 4,642 32 444 244 188 1,201 577 762 316 1,700 542 273 961 1,400 137 1966—June 30.. 11,715 110 8,457 4,983 35 394 254 147 1,293 592 744 276 1,585 429 284 954 1,326 238 1966—Dec. 31.. 11,802 31 8,724 5,311 64 406 222 181 1,161 622 751 273 1,545 n.a. n.a. n.a. 1,328 174 Other reserve city: 1941—Dec. 31.. 15,347 7,105 3,456 300 114 194 4 1,527 1,508 6,467 295 751 5,421 956 820 1945—Dec. 31.. 40,108 8,514 3,661 205 427 1,503 17 1,459 855 38729,552 8,016 5,653 15,883 1,126 916 1947—Dec. 31.. 36,040 13,449 7,088 225 170 484 15 3,147 1,969 351 20,196 2,731 1,901 15,563 1,3421,053 1964—Dec. 31.. 84,670 57,555 21,102 1,095 1,060 986 1,134 4,88713,611 12,802 1,977 16,326 3,200 5,662 7,463 9,871 918 1965—Dec. 31.. 91,997 471 64,64624,7841,206 9541,108 635 5,82015,05614,305 1,999 14,354 2,972 3,281 8,432 11,5041,022 1966—June 30.. 94,169 526 67,591 26,903 1 ,255 899 1,123 574 5,911 15,62914,672 1,857 12,182 1,720 2,520 8,344 12,361 1,509 1966—Dec. 31.. 96,201 817 69,01728,090 1,251 1,0841,079 684 5,74816,04414,375 1,968 13,040 n.a. n.a. n.a. 12,033 1,294 Country: 1941—Dec. 31.. 12,518 .......... 5,890 1,676 659 20 183 2 1,823 1,528 4,377 110 481 3,787 1,2221,028 1945—Dec. 31.. 35,002 5,596 1,484 648 42 471 4 1,881 707 35926,999 5,732 4,544 16,722 1,3421,067 1947—Dec. 31.. 36,324 10,199 3,096 818 23 227 5 3,827 1,979 22422,857 3,063 2,108 17,687 2,0061,262 1964—Dec. 31.. 93,759 55,733 14,5563,493 830 599 710 1,73017,96415,899 1,04724,341 4,209 7,206 12,925 11,531 2,154 1965—Dec. 31.. 103,362 905 62,433 16,4783,840 650 698 174 1,98320,21718,423 1,17723,735 4,389 5,565 14,098 13,8052,483 1966—June 30.. 106,300 1 ,002 65,645 17,657 3,938 437 693 150 1,96621,23019,552 1,261 21,709 2,808 5,563 13,655 14,849 3,095 1966—Dec. 31.. 110,089 1,161 68,051 17,9383,986 790 761 157 2,17522,25320,000 1,30722,419 n.a. n.a. n..a 15,4732,985 Nonmember: 1947—Dec. 31.. 18,454 .......... 5,432 1,205 614 20 156 2 2,266 1,061 109 11,318 2,179 1,219 7,920 1,078 625 1964—Dec. 31.. 48,879 27,899 6,5002,862 400 432 241 733 9,088 7,786 328 14,273 3,445 3,801 7,026 5,1591,548 1965—Dec. 31.. 54,483 242 31,616 7,458 3,113 343 516 151 81710,312 9,050 383 14,555 n.a. n.a. n.a. 6,0672,003 1966—June 30.. 56,750 357 33,646 7,888 3,244 314 566 109 86511,037 9,749 420 13,561 n.a. n.a. n.a. 6,7162,470 1966—Dec, 31.. 59,257 425 34,781 8,0453,237 431 543 142 95311,56610,018 427 14,239 n.a. n.a. n.a. 7,2032,609 1 Beginning with June 30, 1948, figures for various loan items are 4 Beginning with June 30, 1966, loans to farmers directly guaranteed shown gross (i.e., before deduction of valuation reserves); they do not by CCC were reclassified as “Other securities,” and Export-Import Bank add to the total and are not entirely comparable with prior figures. Total portfolio fund participations were reclassified from loans to “Other se­ loans continue to be shown net. curities.” This increased “Other securities” by about $1 billion. 2 See table (and notes) entitled Deposits Accumulated at Commercial 5 Beginning with Dec. 31, 1965, components shown at par rather than Banks for Payment of Personal Loans, p. 997. at book value; they do not add to the total (shown at book value) and are J Breakdowns of loan, investment, and deposit classifications are not not entirely comparable with prior figures. available before 1947; summary figures for earlier dates appear in the For other notes see opposite page. preceding table. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 COMMERCIAL BANKS 999 RESERVES AND LIABILITIES BY CLASS OF BANK (In millions of dollars) Demand deposits Time deposits Re­ Bal­ De­ b c C a a l n l a l k s d s a a o n te f d s B w F e a r . i n v R th k e . s s r C c e a o n n u i c d r n y ­ b m a a w d n e n c i o s t k e t h ­ i s s c 6 j p u m o s a d a t d s e e n i ­ ­ d t d s 7 m D e I s n o t t ­ i e c r 6 ba e n F ig k o n r ­ 8 G U o . v S t . . S l g a o o t n c a v d a t t e l . c C c h o a f e e i e f n e r r f c d d s i t k ­ i ’ ­ s, I PC I b n a t n er k ­ G P U S i a n o o a n . g s S v v d t s ­ a . t , l S l g a o o t n c a v d a t t e l . IPC2 B r i o n o w g r s ­ ­ c C o a t a u a c p l n ­ i t ­ s etc. Total: 3 1947—Dec. 31 17,796 2,216 10,216 87,123 11,362 1,430 1,343 6,799 2,581 84,987 240 111 866 34,383 65 10,059 1964—Dec. 31 17,581 4,532 15,111 134,671 16,369 1,569 6,510 13,519 5,970 135,694 819 272 9,812 116,635 2,679 27,795 1965—Dec. 31 17.992 4,851 15,300 140,936 16,794 1,632 5,525 14,244 5,978 140,558 1,008 263 12,186 134,247 4,472 30,272 1966—June 30 18,094 5,234 13,548 133,535 15,488 1,546 10,998 14,931 6,692 132,222 1,098 231 12,634 143,315 4,353 31,309 1966—Dec. 31 19,069 5,450 15,870 142,104 17,867 1,904 4,992 15,047 7,051 145,653 967 238 13,462 146,3294,859 32,054 AU insured: 1941—Dec. 31 12,396 1,358 8,570 37,845 9,823 673 1,762 3,677 1,077 36,544 158 59 492 15,146 10 6,844 1945—Dec. 31 15,810 1,829 11,075 74,722 12,566 1,248 23,740 5,098 2,585 72,593 70 103 496 29,277 215 8,671 1947—Dec. 31 17,796 2,145 9,736 85,751 11,236 1,379 1,325 6,692 2,559 83,723 54 111 826 33,946 61 9,734 1964—Dec. 31 17,581 4,515 14,613 133,336 16,210 1,454 6,487 13,423 5,856 134,764 733 272 9,766 116,147 2,580 27,377 1965—Dec. 31 17,992 4,833 14,801 139,601 16,620 1,529 5,508 14,152 5,913 139,594 923 263 12,135 133,686 4,325 29,827 1966—June 30 18,094 5,219 13,093 132,311 15,304 1,457 10,972 14,827 6,603 131,409 1,021 231 12,584 142,738 4,126 30,873 1966—Dec. 31 19,069 5,426 15,348 140,835 17,713 1,784 4,975 14,951 6,956 144,782 881 238 13,414145,7444,717 31,609 Member, total: 1941—Dec. 31 12,396 1,087 6,246 33,754 9,714 671 1,709 3,066 1,009 33,061 140 50 418 11,878 4 5,886 1945—Dec. 31 15,811 1,438 7.117 64,184 12,333 1,243 22,179 4,240 2,450 62,950 64 99 399 23,712 208 7,589 1947—Dec. 31 17,797 1,672 6,270 73,528 10,978 1,375 .1,176 5,504 2,401 72,704 50 105 693 27,542 54 8,464 1964—Dec. 31 17,581 3,490 9,057 108,324 15,604 1,403 5,838 10,293 5,368 112,878 664 239 8,012 95,425 2,481 22,901 1965—Dec, 31 17,992 3,757 8,957 112,569 15,977 1,477 4,890 10,840 5,386 115,905 840 236 10,041 109,925 4,234 24,926 1966—June 30 18,094 4,044 8,148 106,472 14,752 1,412 9,979 11,445 6,095 109,032 928 204 10,334 117,028 3,985 25,678 1966—Dec, 31 19,069 4,249 9,400 112,920 17,051 1,736 4,432 11,406 6,396 120,417 794 213 10,983 118,5764,61826,278 New York City: 1941—Dec. 31 5,105 93 141 10,761 3,595 607 866 319 450 11,282 6 29 778 1,648 1945—Dec. 31 4,015 111 78 15,065 3,535 1,105 6,940 237 1,338 15,712 17 10 20 1,206 195 2,120 1947—Dec. 31 4,639 151 70 16,653 3,236 1,217 267 290 1,105 17,646 12 12 14 1,418 30 2,259 1964—Dec. 31 3,730 278 180 17,729 4,112 976 1,486 441 2,940 20,515 436 74 677 13,534 1,224 4,471 1965—Dec. 31 3,788 310 122 18,190 4,191 1,034 1,271 620 2,937 20,708 522 84 807 17,097 1,987 5,114 1966—June 30 3,356 313 235 16,556 4,877 992 2,279 815 3,713 19,491 606 65 841 18,118 1,293 5,179 1966—Dec. 31 4,062 326 201 18,013 5,105 1,265 1,016 608 3,814 22,113 467 83 918 16,447 1,874 5,298 City of Chicago: 1941—Dec. 31 1,021 43 298 2,215 1,027 8 127 233 34 2,152 476 288 1945—Dec. 31 942 36 200 3,153 1,292 20 1,552 237 66 3,160 719 377 1947—Dec. 31 1,070 30 175 3,737 1,196 21 72 285 63 3,853 2 9 902 426 1964—Dec. 31 1,006 55 150 4,294 1,389 59 396 312 122 4,929 22 5 213 4,361 204 1,056 1965—Dec. 31 1,042 73 151 4,571 1.377 59 345 328 126 5,202 39 4 210 4,785 355 1,132 1966—June 3(1 939 77 235 4,251 1,171 59 680 336 131 4,781 43 2 329 4,852 521 1,152 1966—Dec, 31 815 92 136 4,502 1,362 71 310 286 146 5,575 25 1 356 4,541 484 1,199 Otker reserve cihv; 1941—Dec. 31 4,060 425 2,590 11,117 4,302 54 491 1,144 286 11,127 104 20 243 4,542 1,967 1945—Dec. 31 6,326 494 2,174 22,372 6,307 110 8,221 1,763 611 22,281 30 38 160 9,563 2 2,566 1947—Dec. 31 7,095 562 2,125 25,714 5,497 131 405 2,282 705 26,003 22 45 332 11,045 1 2,844 1964—Dec. 31 7,680 1,065 2,433 37,047 7,962 326 2,195 3,508 1,238 42,137 134 77 3,840 35,728 841 8,488 1965—Dec. 31 7,700 1,139 2,341 37,703 8,091 330 1,773 3,532 1,180 42,380 206 71 4,960 40,510 1,548 9,007 1966—June 30 8,102 1,238 2,196 35,856 6,843 310 3,968 3,513 1,168 39,838 215 64 5,093 43,313 1,756 9,297 1966—Dec. 31 8,353 1,326 2,517 37,572 8,249 343 1,633 3,708 1,274 44,022 233 57 5,450 44,204 1,952 9,472 Country: 1941—Dec. 31 2,210 526 3,216 9,661 790 2 225 1,370 239 8,500 30 31 146 6,082 4 1,982 1945—Dec. 31 4,527 796 4,665 23,595 1,199 8 5,465 2,004 435 21,797 17 52 219 12,224 11 2,525 1947—Dec. 31 4,993 929 3,900 27,424 1,049 7 432 2,647 528 25,203 17 45 337 14,177 23 2,934 1964—Dec. 31 5,165 2,092 6,295 49,253 2,141 41 1,760 6,031 1,068 45,298 71 83 3,282 41,803 213 8,886 1965—Dec. 31 5,463 2,235 6,344 52,104 2,317 54 1,501 6,360 1,143 47,615 74 77 4,064 47,534 343 9,673 1966—June 30 5,697 2,415 5,481 49,810 1,860 52 3,052 6,781 1 ,082 44,922 64 74 4,071 50,745 416 10,050 1966—Dec. 31 5,839 2,506 6,545 52,832 2,335 57 1,474 6,805 1,161 48,706 69 71 4,260 53,384 308 10,309 Nonmember: 3 1947—Dec. 31 544 3,947 13,595 385 55 167 1,295 180 12,284 190 6 172 6,858 12 1,596 1964—Dec. 31 1,042 6,054 26,348 765 166 672 3,227 602 22,816 156 33 1,800 21,210 198 4,894 1965—Dec. 31 1,093 6,343 28,367 817 155 635 3,404 592 24,653 168 27 2,145 24,322 238 5,345 1966—June 30 1,190 5,400 27,063 736 134 1,019 3,486 598 23,190 171 27 2,300 26,286 367 5,632 1966—Dec. 31 1,201 6,471 29,184 815 167 560 3,641 655 25,237 173 26 2,479 27,753 241 5,776 6 Beginning with 1942, excludes reciprocal bank balances. that are included under member banks, see Note, p. 589, May 1964 ? Through 1960 demand deposits other than interbank and U.S. Bulletin.) These figures exclude data for banks in U.S. possessions Govt., less cash items in process of collection; beginning with 1961, except for member banks. Comparability of figures for classes of banks demand deposits other than domestic commercial interbank and U.S. is affected somewhat by changes in F.R. membership, deposit insurance Govt, less cash items in process of collection. status, and the reserve classifications of cities and individual banks, and 8 For reclassification of certain deposits in 1961, see note 6, p. 589, by mergers, etc. May 1964 Bulletin. Data for national banks for Dec. 31, 1964, have been adjusted to make them comparable with State bank data. Note.—Data are for all commercial banks in the United States. (For For other notes see opposite page. definition of‘'commercial banks’* as used in this table and for other banks Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1000 WEEKLY REPORTING BANKS JUNE 1967 ASSETS AND LIABILITIES OF LARGE COMMERCIAL BANKS (Tn millions of dollars) Loans2 For purchasing To financial institutions or carrying securities Loans1 Total Wednesday l a o n an d s v n t a e i l o t u n o a f ­ C m o e m r­ ­ Agri­ a T n o d b d r e o a k l e e r r s s To others Banks Nonbank Con­ For­ Valua­ m in e v n es ts t­ ! se r r e v ­ es in t c a r d i n i a u a d l l s ­ t c u u r l a ­ l G U s o e .S v ­ , t , O s t e h ­ er G U s o e .S v ­ t . , O s t e h " e . r For­ m D ti e o c s ­ ­ P s a a e n l r e d s s , Other e R st e a a t l e s i m n u s m e t n a e l t r ­ g e o ig v n ts . o A th H e r se t r i r o e v ­ n e s c t u ie r s i- c t u ie r s i­ c t u ic r s l- c t u ie r s i- eign c m c o i e a m r l ­ ­ f c l e n o t a c s n . . , . Large banks— Total 1966 May 4.......... 182,769 131,932 55,652 1 ,724 842 3,778 94 2,224 1,519 2,590 6,475 4,831 26,236 n.a. n.a. 28,723 2,756 11.......... 182,737 131,929 55,701 1,727 842 3,752 97 2,224 1 ,521 2,914 6,090 4,780 26,326 n.a. n.a. 28,708 2,753 18......... 181 ,779 131,873 56,133 I ,723 683 3,598 95 2,213 1,531 2,538 6,116 4,789 26,399 n.a. n.a. 28,809 2,754 25.......... 182,217 132,186 56,022 1 ,732 891 3,494 91 2,206 1,524 3,101 5,816 4,773 26,468 n.a. n.a. 28,821 2,753 1967 Apr. 5......... 192,893 137,026 61,897 1,839 1,673 3,421 66 2,101 1,389 3,403 5,617 4,059 27,081 15,750 1 ,091 10,611 2,972 12.......... 191,803 135,678 61,795 1,854 1 ,459 3,221 66 2,113 1 ,374 2,720 5,468 4,053 27,094 15,768 1 ,088 10,571 2,966 19.......... 193,806 137,133 62,441 1,856 1,375 3,441 64 2,116 1,376 2,963 5,703 4, 110 27,111 15,784 1,080 10,679 2,966 26.......... 192,720 136,693 62,345 1,857 1,175 3,210 68 2,150 1,353 3,050 5,632 4, 176 27,139 15,799 1,093 10,607 2,961 May 3......... 193,499 137,466 62,648 1,872 1 ,333 3,355 66 2,147 1 ,336 3,229 5,621 4,102 27,087 15,819 1 ,085 10,727 2,961 10......... 192,058 135,977 62,185 1 ,870 939 3,284 68 2,135 1 ,349 2,855 5,402 4,060 27,154 15,837 1 ,082 10,715 2,958 17.......... 192,241 136,365 62,261 I ,877 1 ,009 3,219 67 2,151 1,339 3,006 5,401 4,098 27,232 15,849 1 ,079 10,733 2,956 24.......... 191,642 135,831 62,042 1 ,886 905 3,005 65 2,149 1,358 2,253 5,225 4,035 27,261 15,860 1,070 10,672 2,955 31 .......... 192,894136,625 61,836 1 ,885 925 3,150 68 2,159 1 ,398 3,517 5,548 4,086 27,296 15,901 1 ,056 10,753 2,953 blew York City 1966 May 4.......... 43,011 32,983 18,157 19 405 2,416 16 663 794 784 2,118 1,282 3,072 n.a. n.a. 4,029 772 11 43,013 33,062 18,199 19 388 2,379 16 660 798 1,039 1,944 1,258 3,099 n.a. n.a. 4,035 772 18.......... 42,397 32,858 18,360 18 332 2,255 16 657 804 826 1 ,935 1 ,252 3,112 n.a. n.a. 4,063 772 25.......... 42,849 33,367 18,350 18 478 2,172 15 655 808 1,358 1 ,849 1,252 3,114 n.a. n.a. 4,069 771 1967 Apr. 5.......... 44,405 33,986 20,979 15 548 2,075 10 601 722 466 1,727 1,061 2,999 1,229 695 1,700 841 (2 43,816 33.284 20,808 15 372 1,875 10 603 717 453 1,650 1,038 2,979 1,231 689 1,685 841 19 44,885 34,091 21,103 15 395 2,041 10 604 726 623 1 ,737 I ,044 2,986 1 ,233 685 1,730 841 26.......... 44,698 34,286 21,065 14 461 1,888 11 607 703 925 1,748 1,074 2,984 1,227 699 1,721 841 May 3..........44,504 34,165 21,197 14 522 1,906 10 606 708 676 1 ,671 1,067 2,937 1 ,225 696 1 ,771 841 10.......... 44,034 33,706 20,944 14 339 1 ,897 11 599 705 768 1 ,588 I ,041 2,952 1,225 690 1 ,773 840 17.......... 43,860 33,482 20,988 14 370 1,846 1 1 606 704 545 1,564 1,036 2,969 1 ,227 689 1,753 840 24.......... 43,632 33,381 20,895 14 365 1,687 9 611 703 827 1 ,469 1 ,025 2,964 1,222 684 1 ,746 840 31.......... 43,909 33,639 20,757 15 384 1 ,808 10 608 721 817 1 ,669 1 ,035 2,975 1,222 678 1,778 838 Outside New York City 1966 May 4.......... 139,758 98,949 37,495 1,705 437 1,362 78 1,561 725 1,806 4,357 3,549 23,164 n.a. n.a. 24,694 1 ,984 11.......... 139,724 98,867 37,502 1 ,708 454 1,373 81 1,564 723 1,875 4,146 3,522 23,227 n.a. n.a. 24,673 1 ,981 18 139,382 99,015 37,773 1,705 351 1 ,343 79 1,556 727 1 ,712 4,181 3,537 23,287 n.a. n.a. 24,746 1 ,982 25.......... 139,368 98,819 37,672 1 ,714 413 1 ,322 76 1,551 716 1,743 3,967 3,521 23,354 n.a. n.a. 24,752 1,982 1967 Apr. 5.......... 148,488 103,040 40,918 1,824 1,125 1,346 56 1,500 667 2,937 3,890 2.998 24,082 14,521 396 8,911 2,131 12.......... 147,987 102,394 40,987 1 ,839 1,087 1 ,346 56 1,510 657 2,267 3,818 3,015 24,115 14,537 399 8,886 2,125 19.. . 148,921 103,042 41 ,338 1,841 980 1,400 54 1,512 650 2,340 3,966 3,066 24,125 14,551 395 8,949 2,125 26.......... 148,022 102,407 41,280 1,843 714 1,322 57 1,543 650 2,125 3,884 3,102 24,155 14,572 394 8,886 2,120 May 3.......... 148,995 103,301 41,451 1,858 81 1 1,449 56 1,541 628 2,553 3,950 3,035 24,150 14,594 389 8,956 2,120 10.......... 148,024 102,271 41,241 1,856 600 1,387 57 1,536 644 2,087 3,814 3,019 24,202 14,612 392 8,942 2,118 17.......... 148,381 102,883 41,273 1,863 639 1,373 56 1,545 635 2,461 3,837 3,062 24,263 14,622 390 8,980 2,116 24.......... 148,010 102,450 41,147 1,872 540 1,318 56 1 ,538 655 2,426 3,756 3,010 24,297 14,638 386 8,926 2,115 31.......... 148,985 102,986 41,079 1,870 541 1 ,342 58 1 ,551 677 2,700 3,879 3,051 24,321 14,679 378 8,975 2,115 For other notes see p. 1003. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 WEEKLY REPORTING BANKS 1001 ASSETS AND LIABILITIES OF LARGE COMMERCIAL BANKS—Continued (In millions of dollars) Investments Cash assets U.S. Government securities Other securities Balances with— Total Bills c C t a i e f te i r - s - No m tes a t a u n ri d n g b - onds O o b p s f l o u i ^ l g b S it d a t i a t i c i v t a o e . l s n s O co t s h r e e p c a r , u n r s b i d t t o o i e n c s d k s s , Total p c i C r t o e o a i o l n m l c s f e e h s c s ­ s m b D a e n s o t k i ­ c s b F e a i o g n r n k ­ s r C c e a o n n u i c d n r y ­ s B e F w r R a . v i R n t e e h k ­ . s s a o s A t s h l e e l t r s Wednesday W i i i y n t r h . ­ 5 1 y t r o s . A 5 f y t r e s r . r w a T n a a t x r s ­ 3 o A th l e l r p p C a a r e t o t i r i o f t c i n f i­ . 4 O s ri e t t c h ie u e s ­ r tion Large banks— Total 1966 24,090 3,420 530 3,159 10,389 6,592 n.a. n.a. n.a. 26,747 39,660 18,501 3,969 193 2,224 14,773 7,558 ........May 4 24,078 3,454 528 3,160 10,359 6,577 n.a. n.a. n.a. 26,730 38,157 18,119 4,135 193 2,423 13,287 7,346 11 23,205 3,126 585 2,675 10,216 6,603 n.a. n.a. n.a. 26,701 38,814 18,273 4,037 199 2,403 13,902 7,389 18 22,861 2,768 577 2,770 10,214 6,532 n.a. n.a. n.a. 27,170 37,202 17,204 3,955 177 2,475 13,391 7,520 • • • .......... 25 1967 26,078 4,618 315 3,034 12,201 5,910 3,259 22,680 1,267 2,583 43,382 20,748 4,297 219 2,373 15,745 7,981 ........Apr. 5 26,106 4,530 316 3,071 12,269 5,920 3,364 22,763 1,293 2,599 43,754 21,333 3,967 225 2,625 15,604 7,881 12 25,920 4,243 325 3,052 12,364 5,936 3,764 22,972 1,348 2,669 43,615 21,324 4,276 229 2,593 15,193 7,926 19 25,320 3,601 324 3,056 12,369 5,970 3,778 22,982 1,341 2,606 42,063 19,632 3,895 215 2,672 15,649 8,066 26 25,326 3,571 309 3,095 12,415 5,936 3,640 23,019 1,350 2,698 42,239 19,894 4,156 207 2,423 15,559 8,254 ........May 3 25,164 3,470 309 3,103 12,414 5,868 3,584 23,189 1,436 2,708 39,646 18,228 4,002 229 2,556 14,631 8,214 10 24,982 3,181 287 2,813 12,823 5,878 3,529 23,262 1,396 2,707 42,074 20,456 4,218 216 2,547 14,637 8,094 17 24,813 3,003 282 2,737 12,973 5,818 3,515 23,292 1,417 2,774 39,909 18,883 3,738 229 2,660 14,399 8,105 24 25,398 3,577 277 2,815 12,919 5,810 3,532 23,423 1,234 2,682 44,838 22,515 4,095 217 2,606 15,405 8,486 31 New York City 1966 4,255 970 145 620 1,356 1,164 n.a, n.a. n.a. 5,773 11,128 6,410 215 80 297 4,126 2,932 4,326 1,068 144 588 1,356 1,170 n.a. n.a. n.a. 5,625 10,628 6,472 204 84 308 3,560 2,847 11 3,956 861 191 374 1 ,278 1 ,252 n.a. n.a. n.a. 5,583 10,880 6,450 224 91 303 3,812 2,908 18 3,835 709 193 385 1 ,340 1,208 n.a. n.a. n.a. 5,647 10,625 6,576 227 73 310 3,439 2,945 25 1967 4,622 1,136 92 418 I ,738 1,238 816 4,149 180 652 13,401 7,953 263 91 327 4,767 2,761 ........Apr. 5 4,804 1,276 91 427 1,775 1,235 809 4,126 176 617 12,895 7,743 169 106 336 4,541 2,682 12 4,720 1,153 94 428 1,806 1,239 1,106 4,159 183 626 12,573 7,929 238 114 327 3,965 2,770 19 4,519 931 93 430 1,831 1,234 990 4,124 179 600 12,538 7,606 234 94 327 4,277 2,818 26 4,632 949 94 524 1,836 1,229 763 4,121 178 645 11,856 6,726 207 85 313 4,525 2,939 ........May 3 4,647 988 95 520 1 ,829 1 ,215 686 4,176 178 641 10,937 6,569 233 102 322 3,711 2,930 10 4,852 1,001 91 535 1,995 1 ,230 603 4,121 171 631 11,970 7,183 276 94 317 4,100 2,904 17 4,744 896 91 528 2,018 1,211 608 4,088 178 633 12,363 7,822 196 97 325 3,923 2,909 24 4,840 998 90 530 2,024 1,198 599 4,112 89 630 15,109 9,580 257 97 331 4,844 3,065 ......... 31 Outside New York City 1966 19,835 2,450 385 2,539 9,033 5,428 n.a. n.a. n.a. 20,974 28,532 12,091 3,754 113 1,927 10,647 4,626 ........May 4 19,752 2,386 384 2,572 9,003 5,407 n.a. n.a. n.a. 21,105 27,529 11,647 3,931 109 2,115 9,727 4,499 11 19,249 2,265 394 2,301 8,938 5,351 n.a. n.a. n.a. 21,118 27,934 11,823 3,813 108 2,100 10,090 4,481 18 19,026 2,059 384 2,385 8,874 5,324 n.a. n.a. n.a. 21,523 26,577 10,628 3,728 104 2,165 9,952 4,575 ................ 25 1967 21,456 3,482 223 2,616 10,463 4,672 2,443 18,531 1,087 1,931 29,981 12,795 4,034 128 2,046 10,978 5,220 ........Apr. 5 21,302 3,254 225 2,644 10,494 4,685 2,555 18,637 1,117 1,982 30,859 13,590 3,798 119 2,289 11,063 5,199 12 21,200 3,090 231 2,624 10,558 4,697 2,658 18,813 1,165 2,043 31,042 13,395 4,038 115 2,266 11,228 5,156 19 20,801 2,670 231 2,626 10,538 4,736 2,788 18,858 1,162 2,006 29,525 12,026 3,661 121 2,345 11,372 5,248 26 20,694 2,622 215 2,571 10,579 4,707 2,877 18,898 1.172 2,053 30,383 13,168 3,949 122 2,110 11,034 5,315 ........May 3 20,517 2,482 214 2,583 10,585 4,653 2,898 19,013 1,258 2,067 28,709 11,659 3,769 127 2,234 10,920 5,284 10 20,130 2,180 196 2,278 10,828 4,648 2,926 19,141 1,225 2,076 30,104 13,273 3,942 122 2,23010,537 5,190 17 20,069 2,107 191 2,209 10,955 4,607 2,907 19,204 1,239 2,141 27,546 11,061 3,542 132 2,335 10,476 5,196 24 20,558 2,579 187 2,285 10,895 4,612 2,933 19,311 1,145 2,052 29,729 12,935 3,838 120 2,275 10,561 5,421 ................ 31 For other notes see p. 1003. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1002 WEEKLY REPORTING BANKS JUNE 1967 ASSETS AND LIABILITIES OF LARGE COMMERCIAL BANKS—Continued (In millions of dollars) Deposits Demand Time Total Wednesday unad­ States Do­ Foreign IPC States Foreign justed and mes­ and Do­ polit­ U.S. tic polit­ mes­ Totals IPC d s i u c iv b a i l - ­ Govt. c m c o i e m a r l ­ ­ G e o tc v . t 6 ., C m c o i e a m r l ­ ­ Total’ S in a g v s ­ Other d s ic u iv a b i l ­ ­ i b n t a i t c n e r k ­ G e o tc v . t., C m c o i e a m r l ­ ­ sions banks banks sions banks Large banks— Total 1966 May 4................... 197,616 108,373 76,913 6,518 5,501 12,320 711 1,465 89,243 48,748 27,294 7,908 632 4,261 231 11.................... 196,159 106,578 76,737 6,343 5,132 12,007 656 1,415 89,581 48,704 27,456 8,018 665 4,331 243 18.................... 195,506 105,611 74,990 5,810 6,142 11,972 656 l,4H 89,895 48,664 27,869 7,938 672 4,338 253 25.................... 194.742 104,606 74,586 5,924 5,697 11,387 635 1,397 90,136 48,578 28,118 7,961 668 4,403 248 1967 Apr. 5.................... 206,788 110,561 79,428 5,684 2,930 14,065 668 1 ,432 96,227 47,090 34,133 9,227 945 4,451 205 12........... 206,690 110,307 80,987 5,583 2,026 13,388 658 1,417 96,383 46,965 34,230 9,347 971 4,495 195 19.................... 208,684 112,536 80,118 5,392 5,143 13,582 767 1,407 96,148 46,845 33,798 9,681 957 4,505 197 26............... 206,416 109,992 78,897 5,629 5,200 12,584 731 1,422 96,424 46,868 33,809 9,879 951 4,546 194 May 3.................... 207,024110,455 77,831 6,229 6,150 12,927 756 1 ,435 96,569 46,970 33,769 9,981 938 4,537 197 10.................... 203,747 106,958 75,991 5,708 5,214 12,665 764 1 ,370 96,789 47,066 33,908 9,972 930 4,531 188 17.................... 205,455 108,357 78,316 5,654 4,173 13,007 710 1 ,404 97,098 47,122 34,160 9,954 926 4,556 188 24.................... 202,828 105,339 75,924 5,573 3,747 12,081 689 1,389 97,489 47,213 34,452 9,938 973 4,534 188 31.................... 209,324 111,495 79,782 6,249 2,705 13,490 733 1 ,528 97,829 47,285 34,707 9,920 978 4,563 189 New York City 1966 May 4................... 46,241 27,858 17,661 495 1,731 3,434 589 1 ,000 18,383 4,946 9,017 705 457 3,051 134 It................... 45,796 27,385 17,855 580 1 ,522 3,392 527 972 18,411 4,942 8,980 717 475 3,078 147 18................... 45,460 26,927 17,267 281 1,552 3,452 532 964 18,533 4,935 9,096 713 483 3,088 148 25................... 45,834 27,261 17,488 288 1 ,395 3,316 508 961 18,573 4,920 9,114 710 473 3,135 152 1967 Apr. 5.................... 47,603 29,818 19,025 530 725 3,911 531 992 17,785 4,668 8,499 794 631 3,014 109 12.................... 46,650 28,888 18,737 374 546 3,716 521 977 17,762 4,645 8,470 799 639 3,031 105 19.................... 47,851 30,369 18,708 298 1,726 4,017 634 942 17,482 4,631 8,213 796 635 3,028 106 26.................... 47,646 30,146 18,868 415 1,760 3,922 583 980 17,500 4,632 8,196 804 625 3,059 101 May 3...................... 46,705 29,182 18,390 463 1,999 3,643 609 1,001 17,523 4,647 8,251 812 602 3,025 104 10................... 45,625 28,123 17,722 319 1,507 3,669 609 939 17,502 4,663 8,243 790 597 3,029 94 17.................... 45,969 28,408 18,420 317 1,116 3,847 551 958 17,561 4,678 8,277 786 594 3,049 95 24.................... 46,236 28,553 17,978 295 918 3,674 543 947 17,683 4,692 8,351 788 634 3,043 94 31.................... 49,313 31,469 19,161 435 686 4,517 581 1,061 17,844 4,699 8,469 817 640 3,045 93 Outside New York City 1966 May 4.................... 151,375 80,515 59,252 6,023 3,770 8,886 122 465 70,860 43,802 18,277 7,203 175 1,210 97 11.................. 150,363 79,193 58,882 5,763 3,610 8,615 129 443 71,170 43,762 18,476 7,301 190 1,253 96 18.................... 150,046 78,684 57,723 5,529 4,590 8,520 124 447 71,362 43,729 18,773 7,225 189 1,250 105 25.................... 148,908 77,345 57,098 5,636 4,302 8,071 127 436 71,563 43,658 19,004 7,251 195 1,268 96 1967 Apr. 5. .................. 159,185 80,743 60,403 5,154 2,205 10,154 137 440 78,442 42,422 25,634 8,433 314 1,437 96 12.................... 160,040 81,419 62,250 5,209 1,480 9,672 137 440 78,621 42,320 25,760 8,548 332 1,464 90 19.................... 160,833 82,167 61,410 5,094 3,417 9,565 133 465 78,666 42,214 25,585 8,885 322 1,477 91 26.................... 158,770 79,846 60,029 5,214 3,440 8,662 148 442 78,924 42,236 25,613 9,075 326 1,487 93 May 3.................... 160,319 81,273 59,441 5,766 4,151 9,284 147 434 79,046 42,323 25,518 9,169 336 1,512 93 10................... 158,122 78,835 58,269 5,389 3,707 8,996 155 431 79,287 42,403 25,665 9,182 333 1,502 94 17................... 159,486 79,949 59,896 5,337 3,057 9,160 159 446 79,537 42,444 25,883 9,168 332 1,507 93 24................... 156,592 76,786 57,946 5,278 2,829 8,407 146 442 79,806 42,521 26,10! 9,150 339 1,491 04 31................... 160,011 80,026 60,621 5,814 2,019 8,973 152 467 79,984 42,586 26,237 9,103 338 1,518 96 For other notes see p< 1003. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 WEEKLY REPORTING BANKS 1003 ASSETS AND LIABILITIES OF LARGE COMMERCIAL BANKS—Continued (In millions of dollars) Borrowings Memoranda Total assets— Total . Other Capital liabilities Total Large certificates Wednesday B F F a r . o n R m k . s o F t r h o e m rs liabilities accounts a c c a c a p o n i u d t n a l t s ad T I ( j o n u o a e s t n t t a ) e s l d a v a e a d s ( n l t j n o m u d e a s e t n t i ) n e n s , t d ­ s , 6 D a d d e e j p m u o s a t s e n it d d s ^ Total of d Is e s p u o e s d i t l(J Issued issued to IPC’s to others Large banks— Total 1966 721 4,609 8,321 18,720 229,987 129,342 180,179 72,051 17,627 n.a. n.a. ..................May 4 54 4,865 8,458 18,704 228,240 129,015 179,823 71,320 17,773 ........................,ll 646 4,471 8,679 18,680 227,982 129,335 179,241 69,224 17,973 .......................18 173 4,485 8,869 18,670 226,939 129,085 179,116 70,318 18,055 n.a. n.a. ............................25 1967 506 6,860 10,484 19,618 244,256 133,623 189,490 72,817 ’ 19,214 12,461 6,753 ' ...................Apr. 5 874 5,937 10,308 19,629 243,438 132,958 189,083 73,560 19,146 12,402 6,744 .............................12 171 6,209 10,686 19,597 245,347 134,170 190,843 72,487 18^619 11,907 6,712 .............................19 431 5 817 10,542 19,643 242,849 133,643 189,670 72,576 18,583 11,811 6,772 ............................26 110 6,422 10,680 19,756 243,992 134,237 190,270 71,484 18,608 11,915 6,693 13 5,986 10,439 19,733 239,918 133,122 189,203 70,851 18,604 11,901 6,703 .............................10 127 6 183 10,916 19,728 242,409 133,359 189,235 70,721 18,735 11,979 6,756 ............................17 6,042 11,074 19,712 239,656 132,571 188,389 70,628 18,985 12,127 6,858 ............................24 347 6,234 10,480 19,833 246,218 133,108 189,377 72,891 19,082 12,196 6,881 ..........................31 New York City 1966 269 1,951 3,549 5,061 57,071 32,199 42,227 16,283 7,357 n.a. n.a. ...................May 4 2 030 3,602 5 060 56,488 32,023 41,974 15,999 7,408 H 154 1,684 3,838 5,049 56,185 32,032 41,571 15,473 7,498 n.a. n.a. .............................18 60 1,637 3.844 5,044 56,419 32,009 41,491 15,974 7,528 n.a. n.a. ......................... 25 1967 221 2,357 5,046 5,340 60,567 33,520 43,939 17,229 ' 6,624 4,423 2,201 345 2,256 4,804 5 338 59 393 32,831 43,363 16,883 6,636 4,418 2,218 ...........................12 2,301 4,741 5,335 60,228 33,468 44,262 16,697 6,424 4,215 2,209 ............................19 2,083 4,990 5,335 60,054 33,361 43,773 16,858 6,397 4,192 2,205 ....................26 2,332 4,878 5,384 59,299 33,489 43,828 16,814 6,461 4,306 2,155 2,155 4,738 5,383 57,901 32,938 43,266 16,378 6,409 4,300 2,109 ............................10 2,502 4,884 5^379 58,734 32,937 43,315 16,262 6,423 4,333 2,090 ...........................17 2,086 5,216 5,366 58,904 32,554 42,805 16,139 6,558 4,397 2,161 ........................24 2,343 5,009 5,418 62,083 32,822 43,092 16,686 6,611 4,420 2,191 ..........................31 Outside New York City 1966 452 2,658 4,772 13,659 172,916 97,143 137,952 55,768 10,270 n.a. 54 2,835 4,856 13,644 171,752 96,992 137,849 55,321 10,365 n.a. ........................“..11 492 2,787 4,841 13,631 171,797 97,303 137,670 53,751 10,475 n.a. n.a. ............................18 113 2,848 5,025 13,626 170,520 97,076 137,625 54,344 10,527 n.a. n.a. ................. 25 1967 285 4,503 5,438 14,278 183,689 100,103 145,551 55,588 12,590 8,038 4,552 ' 529 3,681 5,504 14,291 184,045 100,127 145,720 56,677 12,510 7,984 4,526 ...................\ . .12 171 3,908 5,945 14,262 185,119 100,702 146,581 55,790 12,195 7,692 4,503 ..........................19 431 3,734 5; 552 14’308 182,795 100,282 145,897 55,718 12,186 7,619 4,567 ............................26 110 4,090 5,802 14,372 184,693 100,748 146,442 54,670 12,147 7,609 4,538 13 3,831 5,701 14,350 182,017 100,184 145,937 54,473 12’195 7,601 4,594 ........................“ .10 127 3,681 6,032 14,349 183,675 100,422 145,920 54,459 12,312 7,646 4,666 ...........................17 3,956 5,858 14,346 180,752 100,017 145^584 54,489 12.427 7,730 4,697 ............................24 347 3,891 5,471 14,415 184,135 100,284 146,284 56,100 12,471 7,791 4,677 ............................31 1 After deduction of valuation reserves. 2 Individual items shown gross. io Certificates of deposit issued in denominations of $100,000 or more. 3 Includes short-term notes and bills (less than 1 year to maturity) Note.—Beginning June 29, 1966, coverage of series was changed from issued by States and political subdivisions. 4 Federal agencies only. Weekly Reporting Member Banks to Weekly Reporting Large Commer­ 5 Includes certified and officers’ checks, not shown separately. cial Banks (earlier figures for 1966 are comparable with the new series.) 6 Deposits of foreign governments and official institutions, central Also beginning June 29, 1966, detailed breakdown is shown of “AU other banks, and international institutions, loans,” of “Other securities,” and of ownership of time certificates of 7 Includes U.S. Government and postal savings not shown separately. deposit in denominations of $ 100,000 or more. For description of revisions, s Exclusive of loans to domestic commercial banks. see Aug. 1966 Bulletin, pp. 1137-40. 9 All demand deposits except U.S. Government and domestic com­ mercial banks, less cash items in process of collection. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1004 BUSINESS LOANS OF BANKS JUNE 1967 COMMERCIAL AND INDUSTRIAL LOANS OF LARGE COMMERCIAL BANKS (In millions of dollars) Outstanding Net change during—- Industry 1967 1967 1967 1966 1966 M 31 ay M 24 ay M 1 a 7 y M 1 a 0 y M 3 ay May Apr. Mar. I IV III 2 h n a d lf h 1 a s l t f Durable goods manufacturing: Primary metals................................ 978 965 979 983 987 16 26 44 100 -60 -75 -135 233 Machinery,........................................ 4,520 4,565 4,601 4,603 4,736 -204 89 476 602 220 360 580 680 Transportation equipment.............. 1,929 1,971 2,014 1,990 2,003 -72 -220 137 226 235 2'39 474 358 Other fabricated metal products,.. 1,848 1,850 1,848 1 ,798 1,792 75 62 143 143 -99 72 -27 265 Other durable goods........................ 2.068 2,060 2,054 2,037 2,018 71 -23 87 57 6 78 84 390 Nondurable goods manufacturing: Food, liquor, and tobacco........ 2,034 2,044 2,103 2,080 2,147 -146 -68 -150 -472 519 56 575 -156 Textiles, apparel, and leather...... 2,038 2,040 2,06! 2,064 2,081 -33 -2 131 211 -380 106 -274 550 Petroleum refining.......................... 1,496 t ,529 1,518 1,462 1,465 33 -24 61 -162 — 92 -254 256 Chemicals and rubber..................... 2,449 2,496 2,527 2,563 2,556 -132 158 211 308 52 81 133 353 Other nondurable goods................. 1,568 1,570 1,576 1,560 1,593 -15 58 69 53 -63 127 64 309 Mining, including crude petroleum and natural gas................................ 3.935 3,988 3,977 3,919 3,920 -1 -83 -49 194 -40 222 182 344 Trade: Commodity dealers................. 1,012 1 ,071 1,090 1,116 1,140 -164 -84 -41 -145 312 22 334 -322 Other wholesale....................... 2,889 3,091 2,943 2,950 2,947 -48 27 76 17 60 42 102 161 Retail........................................ 3,429 3,273 3,474 3,429 3,539 -71 137 -41 -184 69 -116 -47 455 Transportation, communication, and other public utilities.................... 551 370 921 220 Transportation............. 3,876 3,865 3,881 3,897 3,876 32 50 88 88 n.a. n.a. n.a. n.a. Communication................................ 914 910 914 918 921 18 58 25 66 n.a. n.a. n.a. n.a. Other public utilities........................ 1,899 I ,870 1,860 1,927 1 ,994 -29 -18 -144 -321 n.a. n.a. n.a. n.a. Construction.................................... 2,574 2,565 2,560 2,551 2,565 26 51 -8 -107 -99 -74 -173 189 Services................................................ 4,702 4,706 4,701 4,729 4,723 6 10 15 -142 n.a. n.a. n.a. n.a. AU other domestic loans..................... 6,273 6,216 6,209 6,204 6,232 129 90 110 285 3 -56 -53 469 Bankers’ acceptances........................... 681 656 680 733 731 — 66 -24 154 236 165 -101 64 -232 Foreign commercial and industrial loans................................................... 2,908 2.920 2,916 2,922 2,944 -42 -15 55 93 n.a. n.a. n.a. n.a. Total classified loans........................... 56,020 56,221 56,486 56,435 56,910 -617 255 1,388 1,369 1,289 1,261 2,550 4,522 Total commercial and industrial Ioans 61,836 62,042 62,261 62,185 62,648 -509 383 1,558 1,215 1,339 1,656 2,995 4,671 1 Beginning with data for Dec. 28, 1966, this series was revised in for­ Note.—-About 161 weekly reporting banks are included in this series; mat and coverage as described on p. 209 of the Feb. 1967 Bulletin. these banks classify, by industry, commercial and industrial Ioans amount­ Data for earlier dates are not strictly comparable. ing to about 90 per cent of such loans held by all weekly reporting banks, and about 70 per cent of those held by all commercial banks. BANK RATES ON SHORT-TERM BUSINESS LOANS Size of loan (in thousands of dollars) All sizes 1-9 10-99 100-499 500-999 1,000 and over Interest rate (per cent per annum) 1967 1967 1967 1967 1967 1967 Feb. Feb. Feb. Feb. Feb. Feb. Percentage distribution of dollar amount Less than 5.50..................................................... 2.0 .9 .8 1.3 2.6 2.4 5.50..................................................................... 3.1 . 5 .5 1.3 1.2 5.1 5.51-5.75.................................................................... 33.7 3.9 15.4 27.6 51.8 5.76-6.00.................................................................... 23.4 KL7 14.0 24.4 30.6 23.4 6.01-6.49................................................................... 13.3 22.7 22.8 21.7 14.2 6.7 6.50............................................................................. 5.9 10.7 11.8 8.2 3.2 6.51-6.99.................................................................... 7.1 15.6 17.0 10.6 6.2 3.2 7.00............................................................................. 5.0 12.1 10.4 6.5 6.1 2.5 Over 7.00.................................................................... 6.5 26.0 18.9 10.6 5.0 1.7 Total.............................................................. 100.0 100.0 100.0 100.0 100.0 100.0 Total loans: Dollars (millions)................................................. 3 790.8 56.2 435.0 858.5 549.2 1,891.8 Number (thousands)............................................ 35.9 15.5 14.3 4.5 .9 .8 Center Weighted average rates (per cent per annum) 35 centers........................................................ 6.13 6.73 6.63 6.33 6.13 5.90 New York City.................................................... 5.86 6. 55 6.49 6.08 5.89 5.77 7 Other Northeast................................................. 6.45 6.75 6.85 6.57 6.39 6.09 8 North Central..................................................... 6.11 6.80 6.65 6.39 6.17 5.92 7 Southwest.................................................... 6.08 6.58 6.32 6.06 6.03 5.84 8 Southwest........................................................ 6.18 6.65 6.50 6.27 6.13 5.95 4 West Coast....................................................... 6.29 7.26 6.90 6.49 6.27 6.03 Note.—Beginning Feb. 1967 the Quarterly Survey of Interest Rates on I960—Aug. 23 4ft 1967—Jan. 26-27 5!6-5’/4 Business Loans was revised. For description of revised series see pp. 721 — 1965—Dec. 6 5 Mar. 27 5^ 727 of the May Bulletin. 1966—Mar. 10 5ft Bank prime rate was 5 per cent during the period Jan. 1, 1960-Aug. June 29 5% 22, 1960. Changes thereafter to new levels (in per cent) occurred on th e Aug, 16 6 following dates: Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 INTEREST RATES 1005 MONEY MARKET RATES (Per cent per annum) U.S. Government securities (taxable) 4 Finance Prime co. Prime Period p c a o p m e ! r . , p p l a a p ce e d r b a a c n c k e e p rs t­ * F f e u d n e d r s a l 3-month bills 5 6-month bills 5 9- to 12-month issues 3- y t e o a r 5 - 4- to 6- directly, ances, rate 3 months 1 3- to 6- 90 days 1 Rate on Market Rate on Market Bills (mar­ Other 6 issues 7 months 2 new issue yield new issue yield ket yield)5 1964............................ 3.97 3.83 3.77 3.50 3.549 3.54 3.686 3.68 3.74 3.76 4.06 1965........................... 4.38 4.27 4.22 4.07 3.954 3.95 4.055 4,05 4.06 4.09 4.22 1966............................ 5.55 5.42 5.36 5.11 4.881 4.85 5.082 5.06 5.07 5.17 5.16 1966—May................ 5.39 5,38 5.18 4.90 4.642 4.63 4.814 4.81 4.85 4.90 4.94 June................ 5.51 5.39 5.39 5.17 4.539 4.50 4.696 4.65 4.78 4.94 5,01 July............. 5.63 5.51 5.58 5.30 4.855 4.78 4.982 4.93 4.94 5.17 5.22 Aug................... 5.85 5.63 5.67 5.53 4.932 4.95 5.189 5.27 5.34 5.52 5,58 Sept............... 5.89 5.67 5.75 5.40 5.356 5.36 5.798 5.79 5.80 5.80 5.62 Oct.................. 6.00 5.82 5,72 5.53 5.387 5.33 5.652 5.61 5.52 5.57 5.38 Nov................. 6.00 5.88 5.67 5.77 5.344 5.31 5.604 5.54 5.49 5.45 5.43 Dec.................. 6.00 5.88 5.60 5.40 5.007 4.96 5.108 4.98 5,00 5.10 5.07 1967—Jan................... 5.73 5.50 5.23 4.94 4.759 4.72 4.787 4.74 4.61 4.71 4.71 Feb............ 5.38 5.19 4.88 5.00 4.554 4.56 4.565 4.59 4.57 4.64 4.73 Mar................. 5.24 5.01 4.68 4.53 4.288 4.26 4.243 4.22 4,18 4.35 4.52 Apr................. 4.83 4.57 4.29 4.05 3.852 3.84 3.894 3.90 3.90 4.03 4.46 May. .............. 4.67 4.41 4.27 3.94 3.640 3.60 3.808 3.80 3.88 4.09 4.68 Week ending- 1967—Apr. 29...... 4.75 4.50 4.25 4.00 3.715 3.72 3.772 3.81 3.84 4.01 4.58 May 6 4,75 4.50 4.25 4.00 3.770 3.72 3.907 3.86 3.91 4.03 4.62 13 4.70 4.40 4.33 3.84 3.671 3.65 3.831 3.83 3.89 4.03 4.67 20.......... 4.63 4.38 4,25 4.02 3.628 3.59 3.802 3.78 3.87 4.14 4.69 27.......... 4.63 4.38 4.25 3.93 3.493 3.50 3.692 3.74 3.88 4.13 4.76 i Averages of daily offering rates of dealers, 4 Except for new bill issues, yields are averages computed from daily 2 Averages of daily rates, published by finance companies, for varying closing bid prices, maturities in the 90-179 day range. 5 Bills quoted on bank discount rate basis. 3 Seven-day average for week ending Wednesday. 6 Certificates and selected note and bond issues. 7 Selected note and bond issues. BOND AND STOCK YIELDS (Per cent per annum) Government bonds Corporate bonds Stocks State By selected By Dividend/ Earnings / Period United and local rating group price ratio price ratio States Total1 (long­ term) Total1 Aaa Baa Aaa Baa In tr d ia u l s­ R ro a a i d l­ P u u ti b li l t i y c f P er r r e e ­ d C m o o m n ­ C m o o m n ­ 1964........................................ 4.15 3.28 3.09 3.54 4.57 4.40 4.83 4.52 4.67 4.53 4.32 3.01 5.54 1965.............................................. 4,21 3.34 3.16 3.57 4.64 4.49 4,87 4.61 4.72 4.60 4.33 3.00 5.87 1966............................................... 4.66 3.90 3.67 4.21 5.34 5.13 5.67 5.30 5.37 5,36 4.97 3.40 1966—May.......................... 4.57 3.76 3.53 4.13 5.18 4.98 5.48 5.12 5.20 5.23 4.83 3.30 June............................. 4.63 3.84 3.60 4.16 5.28 5.07 5,58 5.25 5.26 5.32 4.93 3.36 6.80 July.................................... 4.74 4.01 3 77 4.31 5.36 5.16 5.68 5.33 5.37 5.39 5.00 3.37 4,80 4.16 3.91 4.46 5.50 5,31 5.83 5.49 5.48 5.54 5.18 3.60 Sept.................................... 4,79 4.18 3.93 4.48 5.71 5.49 6.09 5.71 5.65 5.78 5.23 3,75 7.18 Oct..................................... 4.70 4.09 3.82 4,42 5.67 5.41 6.10 5,63 5,67 5.72 5.28 3.76 4.74 4.01 3.78 4,33 5.65 5.35 6.13 5.59 5.72 5.64 5.21 3.66 Dec............................ 4.65 4.01 3.79 4.29 5.69 5.39 6.18 5.63 5.78 5.65 5.24 3.59 6.78 1967—Jan..................................... 4.40 3,74 3.50 4.04 5.50 5.20 5.97 5.45 5.63 5.42 5.07 3,51 Feb................................... 4.47 3.62 3.38 3.90 5.35 5.03 5.82 5.33 5.48 5.25 4.98 3.36 Mar.................................... 4.45 3.63 3.48 3.86 5.43 5.13 5,85 5.39 5.51 5.37 5.04 3.29 6.01 Apr,............................. 4.51 3.67 3.50 3.90 5.42 5.11 5.83 5.37 5.51 5.37 5.03 3.24 May................................. 4.76 3.94 3.71 4.23 5.56 5.24 5.96 5.46 5.62 5.59 5.17 3.19 • Week ending— 1967—April 29............................. 4.62 3.74 3.55 3.97 5.43 5.11 5.85 5.38 5.51 5.40 5.10 3,16 4.67 3.89 3.65 4.15 5.47 5.16 5.89 5.41 5.55 5.46 5.07 3.12 13 ..................... 4.75 3.91 3.65 4.25 5.52 5.19 5.92 5.42 5.60 5.53 5.10 3.14 20 . ...................... 4.79 3.97 3.75 4.25 5,57 5.26 5.96 5.47 5.63 5.61 5.16 3.16 27....................... 4.83 3.99 3.78 4.27 5.63 5.31 6.03 5.51 5.67 5.70 5,26 3.24 • ................ Number of issues......................... 10-11 20 5 5 120 30 30 40 40 40 14 500 500 1 Includes bonds rated Aa and A, data for which are not shown sep­ Thurs. figures. Corporate bonds: Averages of daily figures. Both of these arately. Because of a limited number of suitable issues, the number series are from Moody’s Investors Service series. of corporate bonds in some groups has varied somewhat. Stocks: Standard and Poor’s Corporate series. Dividend/price ratios are based on Wed. figures; earnings/price ratios are as of end of period. Note.—Annual yields are averages of monthly or quarterly data. Preferred stock ratio is based on 8 median yields for a sample of non- Monthly and weekly yields are computed as follows: U.S. Govt, bonds: callable issues—-12 industrial and 2 public utility; common stock ratios Averages of daily figures for bonds maturing or callable in 10 years or on the 500 stocks in the price index. Quarterly earnings are seasonally more. State and local govt, bonds: General obligations only, based on adjusted at annual rates. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1006 SECURITY MARKETS JUNE 1967 MORTGAGES: NEW AND EXISTING HOMES SECURITY PRICES (Per cent) Contract interest rate on (pe B r o $ n 1 d 0 p 0 r b ic o e n s d ) Co ( m 19 m 4 o 1 n - 4 s 3 to = c 1 k 0 ) prices u V m ol e ­ Yield conventional first mortgages of on FHA- Period U.S. Cor­ Pub­ trad­ Period insured FHAseries FHLBB series ( G t l e o o r n m v g t ) , ­ S l a o t n c a d a te l A p a A o te r A ­ Total d t I r u n ia s ­ l ­ R ro a a i d l­ u i l t t i i y c l ­ ( s t h h i a n o r g u es s ) . New New Existing New Existing 1964............ 84.46 111,5 95.1 81.37 86,19 45.46 69.91 4,888 1965............. 83,76 110,6 93.9 88,17 93.48 46.78 76.08 6,174 1961................. 5.69 5.97 6.04 1966............. 78.63 102.6 83.3 85.26 91.09 46.34 68.21 7,538 1962................. 5.60 5.93 5.99 1963............... 5.46 5.81 5 87 5 84 5 98 1966—May.. 79.56 104.5 87.6 86.78 92.85 47.00 68,49 8,165 1964................. 5.45 5.80 5.85 5.78 5.92 June.. 78.93 103,2 86.9 86.06 92.14 46.35 67.51 6,393 1965................. 5,47 5.83 5.89 5 76 5 89 July.. 77.62 100.9 86.0 85.84 91.95 45.50 67.30 5,997 1966................. 6.38 6.40 6.47 6.11 6.24 Aug.. 77.02 97.7 84.1 80.65 86.40 42,12 63.41 7,064 Sept.. 77.15 98.5 82.6 77.81 83.11 40.31 63.11 5,722 1966—Apr....... 6.25 6.30 5.99 6 09 Oct.. 78.07 100.5 83.5 77.13 82.01 39.44 65.41 6,971 May.... 6.32 6.30 6.35 6.02 6.16 Nov... 77.68 101.0 83.5 80.99 86.10 41.57 68.82 7,297 June 6.45 6.40 6.50 6.07 6.18 Dec... 78.73 102.4 83.0 81.33 86.50 41.44 68.86 7,883 July....... 6.51 6.45 6.55 6.12 6,24 Aug....... 6.58 6.55 5.65 6.18 6.35 1967—Jan... 81.54 106.0 85.9 84.45 89.88 44.48 70.63 9,885 Sept....... 6.63 6.65 6.70 6.22 6,40 Feb... 80.73 106.4 86.4 87.36 93.35 46.13 70.45 9,788 Oct........ 6.70 6.75 6.32 6.49 Mar.. 80.96 105.8 85.6 89.42 95.86 46.78 70.03 10,217 Nov..... 6.81 6.70 6.75 6.40 6.50 Apr... 80.24 104.9 85.4 90.96 97.54 45.80 71.70 9,389 Dec....... 6.77 6.65 6,70 6.44 6.52 May., 77.48 101,1 83.4 92.59 99.59 47.00 70.70 9,460 Dec. t... 6.77 6.65 6.70 16.49 16.55 Week ending— 1967—Jan........ 6.62 6,60 6.65 6.47 6.54 Feb........ 6.46 6,50 6.55 6.44 6.49 1967 Mar....... 6.35 6,45 6.50 ’’6.41 6.44 Apr....... 6.29 6.40 6.45 6.38 6.36 Apr, 29 79.05 103.6 84.7 93.31 100.30 46.17 72.15 10,546 May.... 6.44 6.45 6.50 .............. May 6........ 78.49 102.4 84.4 94.04 101.23 46.18 71.74 10,946 13........ 77.52 101.4 83.5 93.75 100,87 46.83 71.60 10,476 20 77.11 100.7 83.2 92.65 99.61 47.37 70.86 9,887 * New FHLBB series. 27........ 76.44 100,5 83.0 91.05 97.88 47.53 69.45 9,302 Note.—Annual data are averages of monthly figures. The FHA data are based on opinion reports submitted by field offices Note.-—Annual data are averages of monthly figures. Monthly and weekly on prevailing conditions in their localities as of the first of the data are averages of daily figures unless otherwise noted and are computed as succeeding month. The yields are derived from weighted aver­ follows: t/.Y. Govt, bonds, derived from average market yields in table at bottom of ages of private secondary market prices for Sec. 203, 30-year preceding page on basis of an assumed 3 per cent, 20-year bond. Municipal and mortgages with minimum downpayments and an assumed pre­ corporate bonds, derived from average yields as computed by Standard and Poor’s payment at the end of 15 years. Gaps in the data are due to Corp., on basis of a 4 per cent, 20-year bond; Wed. closing prices. Common periods of adjustment to changes in maximum permissible con­ stocks. Standard and Poor’s index. Volume of trading, average daily trading in tract interest rates. The FHA series on average interest rates stocks on the N.Y. Stock Exchange for a 5’/i-hour trading day. on conventional first mortgages are unweighted and are rounded to the nearest 5 basis points. For FHLBB series, see footnote to table on Conventional First Mortgages, p. 1023. STOCK MARKET CREDIT (In millions of dollars) Customer credit Broker and dealer credit Net debit balances with Bank loans to others than N.Y. Stock Exchange brokers and dealers for pur­ Money borrowed on— firms secured by— chasing or carrying— Cus­ Month Total tomers’ o s t e h c e u r r i t t h ie a s n Other securities f n re e e t U.S. Govt. se G c U u o r . v S it t . i , e s se O cu t r h i e ti r e s se G c U u o r . v i S t t i . , e s se O cu th ri e ti r e s se G c U u o . r v S it t . i , e s Total C co u l s la to te m ra e l r co O ll t a h te e r r a l c a b r n e a c d l e ­ i s t 1964—Dec....... 7,053 21 5.079 72 t,974 222 3,910 3,393 517 1,169 1965—Dec....... 7,705 22 5,521 101 2,184 130 3,576 2,889 687 1,666 1966—Apr....... 7,991 27 5,835 92 2,156 193 3,665 2,983 682 1,744 May.... 7,905 29 5,768 88 2,137 153 3,588 2,935 653 1,839 June.... 8,001 29 5,770 87 2,231 126 3,683 2,977 706 1,658 July,... 7,870 34 5,667 116 2,203 55 3,731 3,127 604 1,595 Aug....... 7,811 35 5,609 115 2,202 109 3,676 3,082 594 1,595 Sept....... 7,525 45 5,355 106 2,170 103 3,434 2,859 575 1,528 Oct........ 7,302 47 5,169 95 2,133 198 3,151 2,627 524 1,520 Nov...., 7,352 57 5,217 93 2,135 97 3,166 2,597 569 1,532 Dec....... 7,443 58 5,329 76 2,114 240 3,472 2,673 799 1,637 1967—Jan........ 7,345 84 5,290 70 2,055 267 2,920 2,291 629 1,914 Feb........ 7,415 95 5,349 75 2,066 n.a. n.a, n.a. n.a. 1,936 Mar..... 7,808 86 5,718 68 2,090 n.a. n.a. n.a. n.a. 2,135 Apr..... 7,969 77 5,819 68 2,150 n.a. n.a. n.a. n.a. 2,082 Note,—Data in first 3 cols, and last col. are for end of month; in other partners of reporting firm. Balances are net for each customer—te„ all ac­ cols, for last Wed. counts of one customer are consolidated. Money borrowed includes Vet debit balances and broker and dealer credit: Ledger balances of borrowings from banks and from other lenders except member firms of member firms of N.Y. Stock Exchange carrying margin accounts, as national securities exchanges. reported to the Exchange. Customers’ debit and free credit balances Bank loans to others than brokers and dealers: Figures are for large exclude balances maintained with reporting firm by other member firms of commercial banks reporting weekly. national securities exchanges and balances of reporting firm and of general Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 OPEN MARKET PAPER; SAVINGS INSTITUTIONS 1007 COMMERCIAL AND FINANCE COMPANY PAPER AND BANKERS' ACCEPTANCES OUTSTANDING (In millions of dollars) Dollar acceptances Commercial and finance company paper Held by— Based on— End of period Accepting banks F.R. Goods stored in or Total th P r la o c u e g d h P di l r a e c c e t d ­ Total Banks Others p i I n o m t r o t ­ s f p r E o o x r m t ­ s Do e l x la ­ r shi p p o p i e n d t s b i e n tw — een dealers 1 ly 2 Total O bi w ll n s bo B u il g ls h t a O c w ct n . c F e o i o g r r n r ­ . U St n a i t t e e s d U S n ta it t e e d s change U St n a i t t e e s d c F o o u r n e t i r g i n es 1960..................... 4,497 1,358 3,139 2,027 662 490 173 74 230 1,060 403 669 122 308 524 1961..................... 4'686 1'711 2'975 2,683 1,272 896 376 51 126 1,234 485 969 117 293 819 1962..................... 6’000 2'088 3,912 2,650 1,153 865 288 110 86 1,301 541 778 186 171 974 1963..................... 6,747 1,928 4,819 2,890 1,291 1,031 260 162 92 1.345 567 908 56 41 1,317 1964..................... 8'361 2'223 6,138 3,385 1,671 1,301 370 94 122 1,498 667 999 111 43 1,565 1965..................... 9’05 8 1,903 7,155 3,392 1,223 1,094 129 187 144 1,837 792 974 27 35 1,564 1966—Apr........... 11,239 2,253 8,986 3,464 1,284 1,060 224 159 137 1 ,884 829 875 34 20 1,706 May.......... 11,437 2,113 9,324 3,418 1,269 1,034 235 180 159 1,810 834 847 39 20 1,679 10’769 2 090 8 679 3,420 1,061 927 134 238 252 1,869 881 833 34 24 1,648 July........... 12.183 2,361 9,822 3,369 1,005 912 93 51 257 2,056 911 790 54 23 1,591 Aug.......... 12,835 2'653 10,182 3,387 909 824 84 48 272 2,158 946 781 64 54 1,541 Sept....... 11,778 2,773 9'005 3,370 935 846 89 47 243 2,145 957 760 62 60 1,531 Oct........ 13,045 2,977 10,068 3,359 961 861 100 72 230 2,096 982 756 75 57 1,489 Nov....... 14,169 3,153 11,016 3,457 1,056 895 161 131 203 2,067 995 781 85 69 1,527 Dec........... 13,279 3,089 10,190 3,603 1,198 983 215 193 191 2,022 997 829 103 80 1,595 1967—jan............ 14,718 3 449 11,269 3,601 1,359 i ,028 331 73 173 1,996 936 829 78 90 1,668 Feb....... 15’199 3,781 11,418 3,575 1,266 1.004 262 113 201 1,995 918 851 65 82 1,659 Mar.. 16,034 4,360 11,'674 3,704 1,366 1,077 290 110 232 1 ,996 962 921 60 71 1,691 Apr....... 16;249 4,356 11,893 3,830 1,356 1,128 229 166 272 2,035 971 971 55 59 1,773 1 As reported by dealers; includes finance company paper as well as 2 As reported by finance companies that place their paper directly with other commercial paper sold in the open market, investors. MUTUAL SAVINGS BANKS (Amounts in millions of dollars) Loans Securities Total assets— Total Mortgage loan General End of period M ga o g r e t­ Other G U o .S vt . . S l g a o o t n c a v d a t t e l . C ot r o a h a n r e t p d e r o 1 ­ Cash a O s t s h e e ts r g r l e e i a a s t n i e n b e e r d i s r v l a i e ­ l D i e ts p o 2 s­ l O ia t t i b e h i s e li r ­ r c e o s a u e c r n ­ v t e s commitments 3 accts. NumberAmount 1941 ..................... 4,787 89 3,592 1 829 689 11 772 10,503 38 1,231 1945 ......................... 4,202 62 10,650 1 606 185 16’962 15 332 48 1,582 I960............................. 26,702 416 6,243 672 5,076 874 589 40,571 36,343 678 3,550 58,350 1,200 1961............................. 28,902 475 6'160 667 5,040 937 640 42’829 38,277 781 3,771 61,855 1,654 1962............................. 32,056 602 6,107 527 5,177 956 695 46,121 41,336 828 3,957 114,985 2^548 1963............................. 36,007 607 5,863 440 5 074 912 799 49 702 44,606 943 4,153 104,326 2,549 1964............................. 40’328 739 5,791 391 5,099 1,004 886 54 238 48,849 989 4,400 135,992 2,820 1965 ............................. 44,433 862 5^485 320 5,170 1,017 944 58,232 52,443 1,124 4'665 120,476 2; 697 1966—Apr................... 45,335 867 5,335 307 5,323 849 994 59,010 52 959 1,343 4,707 115,845 2,580 May........... 45,529 991 5,311 297 5,353 854 995 59,330 53 075 1,480 4',774 116,497 2^637 June................. 45’688 923 5’150 286 5,397 963 1,007 59,415 53,318 1,332 4'765 115,006 2,464 July................... 45,968 1,035 5'ibl 280 5,494 852 1,042 59,772 53,523 1,499 4,750 104’630 2'352 Aug................... 46,232 1 '095 5,063 276 5,’659 825 1 j007 60,156 53'689 1,641 4,827 101,682 2,274 Sept................... 46,450 1,052 5,078 270 5,603 850 1,031 60,334 54,073 1,438 4^823 99;377 2,191 Oct.,............ 46', 736 1 ’023 4'913 260 5,588 833 1,037 60,390 54J78 I '400 4,812 97’283 2,151 Nov................... 46,953 1,131 4^848 254 5,644 799 1,029 60,658 54,326 1,463 4,869 9!,634 2,072 Dec................... 47 193 I ’,078 4,764 251 5,719 953 1,024 60,982 55 006 1,114 4,863 88,808 2',010 1967—Jan................. 47,484 1,076 4,679 247 6,053 969 1,062 61,570 55,456 1,259 4,855 88,479 2,013 Feb................... 47,692 1,137 4,700 249 6,251 1,041 1,051 62,122 55’788 1 ^428 4,906 90 223 2'055 47 973 1.136 4,645 246 6 480 1 140 1 081 62 701 56 538 1 249 4,914 91,125 2,289 Apr.................... 48,235 1,075 4,481 243 6,803 L070 G076 62^982 56^739 L380 4,863 1 Also includes securities of foreign governments and international Note.—National Assn, of Mutual Savings Banks data; figures are organizations and nonguaranteed issues of U.S. Govt, agencies. estimates for all savings banks in the United States and differ somewhat 2 See note 4, p, 993 from those shown elsewhere in the Bulletin; the latter are for cal! dates 3 Commitments outstanding of banks in N.Y. State as reported to the and are based on reports filed with U.S. Govt, and State bank supervisory Savings Bank Assn, of the State of N.Y. agencies. Loans are shown net of valuation reserves. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1008 SAVINGS INSTITUTIONS JUNE 1967 LIFE INSURANCE COMPANIES (In millions of dollars) Government securities Business securities End of period Total Mort­ Real Policy Other assets Total U St n a i t t e e s d Sta lo te c a a l nd Foreign 1 Total Bonds Stocks gages estate loans assets Statement value: 1941......................................... 32,731 9,478 6,796 1,995 687 10,174 9,573 601 6,442 1,878 2,919 1,840 1945......................................... 44,797 22,545 20,583 722 1,240 11,059 10,060 999 6,636 857 1,962 U738 I960....................................... 119,576 11,679 6,427 3,588 1,664 51,857 46,876 4,981 41,771 3,765 5,231 5,273 1961......................................... 126,816 11,896 6,134 3,888 1,874 55,294 49,036 6,258 44,203 4,007 5,733 5^83 1962......................................... 133,291 12,448 6,170 4,026 2,252 57,576 51,274 6,302 46,902 4.107 6,234 6.024 1963......................................... 141,121 12,438 5,813 3,852 2,773 60,780 53,645 7,135 50,544 4,319 6,655 6,385 1964......................................... 149,470 12.322 5,594 3,774 2,954 63,579 55,641 7,938 55,152 4.528 7.140 6,749 1965......................................... 158,884 11,679 5,119 3,530 3,030 67,599 58,473 9,126 60,013 4,681 7,678 7,234 Book value: 1964—Dec............................. 149,470 12,343 5,594 3,785 2,964 62,112 55,735 6,377 55,197 4,534 7,141 8,143 1965—Dec.............................. 158,884 11,703 5,119 3,546 3,038 65,801 58,532 7,269 60,057 4,686 7,679 8,958 1966—Mar.r........................ 160,927 11,512 5,076 3,416 3,020 66,978 59,689 7,289 61,278 4,726 7,862 8,57! Apr.............................. 161,476 11,332 5,019 3,293 3,020 67,100 59,821 7,279 61,710 4,734 7,955 8,645 May............................. 162,036 11,260 4,983 3,260 3,017 67,234 59,923 7,311 62,101 4,735 8,05! 8,655 June............................. 162,511 10,950 4,803 3,192 2,955 67,476 60,147 7,329 62,547 4,744 8,163 8,631 July.............................. 163,488 10,985 4,852 3,219 2,914 67,982 60,713 7,269 62,969 4,777 8,288 8,487 Aug.............................. 163,937 10,950 4,840 3,214 2,896 68,057 60,698 7,359 63,336 4,791 8,449 8,354 Sept.............................. 164,491 10,883 4,807 3,188 2,888 68,024 60,738 7,286 63,683 4,816 8,673 8,412 Oct............................... 165,434 10,862 4,829 3,146 2,887 68,167 60,832 7,335 64,007 4,837 8,866 8,695 Nov.............................. 166,225 10,838 4,850 3,111 2,877 68,388 61,031 7,357 64.353 4,842 9,004 8.800 Dec.............................. 166,942 10,848 4,862 3,119 2,867 68,362 60,927 7,435 64,803 4,878 9,136 8,915 1967—Jan.............................. 168.210 10.850 4,847 3,122 2,881 68.994 61,490 7,504 65,193 4,885 9,250 9.038 Feb............................... 168,933 10,793 4,821 3,081 2,891 69,373 61,795 7,578 65.503 4,890 9,341 9,033 Mar............................... 169,865 10,738 4,789 3,053 2,896 69,878 62,071 7,807 65,798 4,925 9,444 9,082 1 Issues of foreign governments and their subdivisions and bonds of Year-end figures: Annual statement asset values, with bonds carried the International Bank for Reconstruction and Development. on an amortized basis and stocks at year-end market value. Month-end figures: Book value of ledger assets. Adjustments for interest due and Note.—Institute of Life Insurance data; figures are estimates for al! accrued and for differences between market and book values are not made life insurance companies in the United States. on each item separately but are included in total, in “other assets.” SAVINGS AND LOAN ASSOCIATIONS (In millions of dollars) Assets Liabilities Total Mortgage E pe n r d i o o d f M ga o g r e t s ­ s G e U c o . u S v r t . i , ­ Cash Other1 a li s a T s b e o i t l t s i a 2 t l i — es S c a a v p i i n ta g l s u R n e d a s i n e v r d i v d e e s d B m or o r n o e w y e 3 d L p o r a o n c s e s i s n Other c m o l e m o n a m t n s i '’ t­ ties profits 1941.................... 4,578 107 344 775 6.049 4,682 475 256 6 1945.................... 5,376 2,420 450 356 8,747 7,365 644 336 402 I960.................... 60,070 4,595 2,680 4,131 71.476 62,142 4,983 2,197 1,186 968 1,359 1961.................... 68;834 5^211 3,315 4,775 82,135 70,885 5,708 2,856 U550 1.136 1,908 1962.................... 78,770 5; 563 3,926 5,346 93,605 80,236 6,520 3,629 1,999 r,22i 2;230 1963.................... 90,944 6,445 3,979 6,191 107,559 91,308 7,209 5,015 2,528 1,499 2,614 1964 ................... 101,333 6,966 4,015 7,041 119,355 101,887 7,899 5,601 2,239 1,729 2; 590 1965.................... 110,202 7,405 3,899 7,936 129,442 110,271 8,708 6,440 2,189 1,834 2,745 1966—Apr.......... 112,736 7,637 3,096 8,129 131,598 110,787 8,720 6,949 2,289 2,853 3,200 May......... 113;249 7,632 3,179 8,542 132,602 111,174 8; 726 7,139 2,278 3,285 2,927 June........ 113,669 7,340 3,369 8,421 132,799 112,359 9,002 7,345 2,161 1,932 2,568 July.......... 113,750 7,304 2,818 8,288 132,160 110,851 9,005 7,887 1,992 2,425 2,302 Aug.......... 113,897 7,353 2,717 8,463 132,430 110,975 9,002 7,748 1,814 2; 891 2'062 Sept......... 114,004 7; 472 2,628 8,527 132,631 111,606 9,011 7,697 1 '642 2,675 I 843 113,998 7,626 2,682 8,582 132,888 111,550 9,018 7,749 1 ,493 3; 078 1; 689 Nov.. .... 113;977 7; 927 2,856 8,817 133,577 U2J64 9,012 7^566 1,348 3^487 1,596 Dec.......... 114,089 7,762 3,361 8,648 133,860 113,896 9,251 7,460 1 ;254 1,999 1^483 1967—Jan........... 114,130 7,874 3,164 8,428 133,596 114,080 9,080 6,702 1,172 2,562 1,633 Feb........... 114'298 8; 070 3 ;361 8.535 134,264 114,843 9,’069 6,101 1,199 3,052 1,902 Mar.r.... 114^698 8'050 3,542 8,735 135,025 116,300 9,061 5,435 l’,345 2^884 2^54 Apr.......... 115,152 7,939 3,637 8,929 135,657 116,821 9,058 5,024 1,480 3,274 2,665 1 Includes other loans, stock in the Federal home loan banks, other ‘’Commitments data comparable with those shown for mutual savings investments, real estate owned and sold on contract, and office buildings banks (on preceding page) would include loans in process. and fixtures. 2 Before 1958, mortgages are net of mortgage-pledged shares. Asset Note.'—Federal Savings and Loan Insurance Corp, data; figures are items will not add to total assets, which include gross mortgages with no estimates for all savings and loan assns. in the United States. Data deductions for mortgage-pledged shares. Beginning with Jan. 1958, no beginning with 1954 are based on monthly reports of insured assns. and deduction is made for mortgage-pledged shares. These have declined annual reports of noninsured assns. Data before 1954 are based entirely consistently in recent years from a total of $42 million at the end of 1957. on annual reports. Data for current and preceding year are preliminary 3 Consists of advances from FHLB and other borrowing. even when revised. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 FEDERALLY SPONSORED CREDIT AGENCIES 1009 MAJOR BALANCE SHEET ITEMS OF SELECTED FEDERALLY SPONSORED CREDIT AGENCIES (Tn millions of dollars) Federal home loan banks Federal National Banks Federal Federal (s M eco o n rt d g a a r g y e m A a s r s k n e , t coope fo ra r t ives c in re te d r i m t e b d a i n a k te s b l a a n n k d s Assets Liabilities and capital operations) End of period v m a b A n t e e o d c m r s ­ e ­ s I m nv e e n s ts t­ p C a o d a n s e s d i ­ h t s B n a o o n n te d d s s M po b d e s e e m i r ­ t s ­ C s a to p c it k al M l g o ( a A a o g n r ) e t s ­ D n t e a u ( o L b n r t e e d e ) s s n ­ c L a o t ( o o i t A v o a p e n ) e s s r ­ D t e u (L b re e ) s n­ c L o a d ( o u A n i a s n d n ) ­ t s s D t e u (L b re e ) s n­ M I g o ( a A o a g n r ) e t s ­ B ( o L n ) ds 1958............. 1,298 999 75 714 819 769 1,323 1,100 510 252 1,157 1,116 2,089 1,743 1959............. 2,134 1,093 103 1 ,774 589 866 1,967 1,640 622 364 1,391 1,356 2,360 1,986 1960............. 1,981 1,233 90 1,266 938 989 2,788 2,523 649 407 1,501 1,454 2,564 2,210 1961........ 2,662 1,153 159 1 ’571 1,180 1,107 2,770 2353 697 435 1,650 1,585 2,828 2,431 1962............. 3,479 1,531 173 2,707 1.214 1,126 2,752 2,422 735 505 1,840 1,727 3,052 2,628 1963............. 4,'784 1,906 159 4,363 1,151 1,171 2,000 1,788 840 589 2,099 1,952 3,310 2^34 1964............. 5,325 1 ’523 141 4^369 1,199 1,227 1,940 1,601 958 686 2,247 2,112 3,718 3.169 1955.............. 5 J997 1,640 129 5,221 1,045 r,277 2^456 1,884 1,055 797 2,516 2,335 4,281 3,710 1966—Apr... 6,516 1,187 76 5,435 812 1,325 3,358 2,820 1,148 859 2,843 2,602 4,553 3,813 May.. 6,704 1,510 84 5,895 841 1,335 3,502 3,144 1,106 835 2,947 2,744 4,647 3,980 June.. 6,783 1,953 160 6,309 1 ,025 1,339 3,611 3,269 1,105 844 3,066 2,853 4,725 4,105 July.. 7,342 1,445 68 6,594 711 1,356 3,801 3,058 1,167 844 3,159 2,935 4,788 4,212 Aug... 7,226 1 ,623 76 6,615 711 1,355 3,891 3,414 1,190 882 3,139 2,990 4,853 4,212 Sept... 7,175 1,832 86 6,765 734 1,360 3,965 3,178 1,199 882 3,077 2,991 4,900 4,295 Oct,.. 7,249 1 ,982 100 6,959 769 1,365 4,051 3,125 1,219 957 3,008 2,909 4.926 4,295 Nov... 7,084 2,210 87 6,859 865 1,369 4,160 3,152 1,276 1,067 2,901 2,814 4,938 4,295 Dec... 6,935 2,523 113 6,859 1,037 1,369 4,266 3,800 1,290 1,074 2,924 2,786 4,958 4,385 1967—Ian.. . 6,340 3,101 92 6,802 1,089 1,377 4,369 3,878 1 ,323 1,076 2,976 2.779 4,986 4,385 Feb... 5,800 3,305 92 6,285 1,241 1,384 4,431 3,984 1,342 1,113 3,056 2,850 5,035 4,450 Mar.,. 5, 175 3,564 95 5,709 1,490 1,387 4,459 4,010 1,363 1,113 3,168 2,944 5,111 4,450 Apr... 4,782 3,451 77 5,066 1,648 1,388 4,459 4,006 1,337 1, H4 3,301 3,086 5,175 4,450 Note.—Data from Federal Home Loan Bank Board, Federal National bonds held within the FHLB System), and are not guaranteed by the U.S. Mortgage Assn., and Farm Credit Admin. Among the omitted balance Govt.; for a listing of these securities, see table below. Loans are gross sheet items are capital accounts of all agencies, except for stock of home of valuation reserves and represent cost for FNMA and unpaid principal loan banks. Bonds, debentures and notes are valued at par. They in­ for other agencies. clude only publicly offered securities (excluding, for the home loan banks, OUTSTANDING ISSUES OF FEDERALLY SPONSORED AGENCIES, APRIL 30, 1967 Amount Amount Amount Agency, issue, and coupon rate (millions Agency, issue, and coupon rate (millions Agency, issue, and coupon rate (millions of dollars) of dollars) of dollars) Federal home Ioan banks Federal National Mortgage Federal land banks—Cont. Bonds: Association—Cont. Bonds: June 26, 1967......................5% 481 Debentures: Oct. 23, 1967..,. ...............4’/8 174 July 26.1967........................5% 535 June 12, 1973.................4^ 146 Oct. 23 1967......................5’/, 150 Aug. 28, 1967.........................5^ 590 Feb. 10, 1977.....................414 198 Dec. 20, 1967.....................5% 329 Sept. 15, 1967........................4% 185 Jan. 22, 1968......................5‘/a 161 Sept. 27, 1967........................6% 650 Mar. 20, 1968......................4% 111 Oct. 26, 1967.........6 700 May 20, 1968......................5% 242 Nov. 27, 1967............................6 500 Banks for cooperatives June 20, 1968......................4 186 Jan. 25, 1968........................5% 250 Debentures: Aug. 20, 1968......................4’4 160 Mar. 1,1968........................4% 250 Apr. 3, 1967...................6^ 295 Mar. 20, 1969......................4% 100 Apr. 25, 1968........................5% 625 May 1,1967.,..............5.95 265 July 15, 1969......................4’4 130 Mar. 25, 1969........................5% 300 June 1, 1967....................6.05 277 July 15, 1969......................4’/, 60 Aug. 1,1967...................5.15 276 Oct. 20, 1969......................4% 209 Feb. 20, 1970......................5'/s 82 Federal National Mortgage Associa­ Apr. 1, 1970......................314 83 tion—Secondary market opera­ July 20, 1970......................5‘/s 85 tions Federal intermediate credit banks May 1,1971......................314 60 Debentures: Sept. 15, 1972.............. . ..3% 109 May 1, 1967.....................5^ 298 Feb. 20, 1973-78..............4'4 148 919 June 1, 1967.........................6 278 Feb. 20, 1974....................4'4 155 July 3,1967...................6.20 237 Apr. 21, 1975....................4’/a 200 Debentures: Aug. 1,1967...................5.95 298 Feb. 24, 1976....................5 123 May 10, 1967....................5Mo 250 Sept. 5, 1967..................6.05 323 July 20, 1976....................5ys 150 June 12, 1967........................5Mo 400 Oct. 2, 1967...................5.60 372 Apr. 20, 1978....................5% 150 Oct. 11,1967......................4l/z 150 Nov. 1,1967....................5.15 465 Jan. 22, 1979....................5 285 Mar. 11, 1968.......................3% 87 Dec. 4, 1967.....................5'/s 404 Sept. 10,1968......................5% 350 Jan. 2, 1968...................4.45 413 Apr. 10, 1969......................4% 88 July 10, 1969......................5i/s 250 Dec. 12, 1969.......................6 550 Federal land banks Apr. 10, 1970......................4’/, 142 Bonds: Tennessee Valley Authority Sept. 10, 1970......................41/s 119 Feb. 15, 1967-72..............4% 72 Short-term notes...................... 200 Aug. 10, 1971......................4i/8 64 May 22, 1967....................4 180 Bonds: Sept. 10, 1971......................4^ 96 July 20, 1967..................6.05 302 Nov. 15, 1985...................4.40 50 Feb. 10, 1972......................5% 98 Aug. 21, 1967....................4’4 179 July 1, 1986.....................4% 50 June 12, 1972......................4’/# 100 Oct. 1, 1967-70..............4>4 75 Feb. 1, 1987.....................4J4 45 Note.—These securities are not guaranteed by the U.S. Govt,; see also note to table above. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1010 FEDERAL FINANCE JUNE 1967 FEDERAL FISCAL OPERATIONS: SUMMARY (In millions of dollars) Derivation of U. S. Government cash transactions Receipts from the public, Payments to the public, Net cash borrowing other than debt other than debt or repayment Net Period rects. or Change Less: Bu n d e g t et T f P u r l n u u d s s s : t g I L n o e v t s r t s a . : ­ 1 E r T e q o c u t t a s a l . l s 2 : Budget f T P u l r n u u d s s s : t 3 A m L d e e j n s u s t s s : t 4 ­ E p T q a o u y t a t a s l l . s : payts. (d d i i e r n b e c t t a I g n e v b n y e . s t & , L N ca e o s s n s h : ­ Eq N u e a t ls: & agen.) trusts debt Cal. year—1964............ 88,696 30,742 4,324 115,030 96,944 28,396 5,069 120,271 -5,241 9,084 2,684 619 5,780 ' 1965 ............ 96,679 31,384 4,449 123,376 101,379 31,014 4,473 127,919 -4,543 4,673 1.386 417 2,872 1966............ 110,802 40,011 4,792 145,137 118,077 36,791 4,003 150,867 -5,730 13,526 8,396 342 4,788 Fiscal year—1963.......... 86,376 27,689 4,281 109,739 92,642 26,545 5,436 113,751 -4,012 8,681 2,069 1,033 5,579 1964.......... 89,459 30,331 4,190 115,530 97,684 28,885 6,237 120,332 -4,802 7,733 2,775 1,099 3,859 1965.......... 93,072 31,047 4,303 119,699 96,507 29,637 3,749 122,395 -2,696 6,933 2,356 250 4,328 1966.......... 104,727 34,853 4,451 134,480 106,978 34,864 4,026 137,817 -3,337 6,710 3,562 530 2,618 Half year; 1965—Jan.-June... 53,569 17,232 2,377 68,352 48,415 15,314 2,845 60,884 7,468 447 2,850 16 -2,417 July-Dec......... 43,110 14,152 2,072 55,024 52,964 15.700 1,628 67,035 -12,011 4,226 -1,464 401 5,289 1966—Jan.-June........ 61 ,617 20,701 2,379 79,456 54,014 19,164 2,398 70,782 8,674 2,484 5,026 129 -2,671 July-Dec......... 49,185 19,310 2,413 65,681 64,063 17,627 1,605 80,085 -14,404 11,042 3,370 213 7,459 Month: 1966—Apr......9..,.9...2..9 2,215 224 11,853 8,362 3,335 372 11,325 528 -684 -1,170 486 May......... 8,452 5,812 254 13,916 9,055 3,632 -134 12,821 1,095 3,847 4,023 66 -243 June................ 17,151 4,796 1,413 20,391 9,439 3,531 918 12,052 8,338 -1,639 2,319 -45 -3,913 July................. 5,702 2,837 416 8,103 10,263 3,642 978 12,927 -4,824 -330 -333 65 -63 Aug,............... 7,197 4,973 330 11,764 11,042 2,627 -1,537 15,206 -3,442 5,611 3,103 130 2,377 Sept................. 12.475 2,681 330 14,748 11,883 2,655 1 ,388 13,150 1,598 350 142 118 89 Oct........... 5,811 2,069 286 7,523 10,977 2,684 1,056 12,604 -5,080 2,270 -698 34 2,935 Nov................ 7,394 3,717 336 10,698 10,386 2,617 -651 13,654 -2,955 2,468 989 134 1,345 Dec................. 10,606 3,033 716 12,845 9,512 3,403 370 12,545 299 675 166 -267 776 1967—Ian.................. 9,386 2,612 684 11,251 9,987 2,673 1,019 11,641 -390 -374 -477 -249 351 7,757 4,696 77 12,308 9,459 2,406 13 11,852 456 515 1,649 59 -1,194 Mar.......... 11,395 3,543 364 14,490 11,699 2,677 1,208 13,167 1,323 859 1,082 -127 -96 13,534 3,850 233 17,070 9,464 2,789 1,063 11,189 5,881 -3,708 -329 -77 -3,302 Effects of operations on Treasurer’s account Net operating transactions Net financing transactions ca C sh h a b n a g la e n i c n e s Tre (e a n su d r o er f ’ s p e a r c i c o o d u ) nt Period Agencies & trusts Operating bal. Change s B d u e u r o f d p i r g c l u i e t s t f T un ru d s s t 3 a C c l c e o a u ri n n t g s i M ssu a o a r f k n e c t e i I n G n v o U e v . s S t t , , . p d g d u i r i e r b o n e b s l c i t s c t T o r H u e t a e s s l i u d d r e y a T c u c r r e e o a r u ’ s n s ­ t Balance B F a . n R k . s l T a o n a a d x n O as n t s h e e t e t s r sec.3 sec.3 accts. Fiscal year—1963 ........ -6,266 1,143 122 1,022 -2,069 7,659 -74 1,686 12,116 806 10,324 986 1964........ -8,226 1,446 948 1.880 -2,775 5,853 206 -1,080 11,036 939 9,180 917 1965 -3,435 1,410 -804 1,372 -2,356 5,561 174 1,575 12,610 672 10,689 1,249 1966........ -2,251 -12 -956 4,077 -3,562 2,633 132 -203 12,407 766 10,050 1,591 Half year; 1965—Jan.-June... 5,154 1,918 452 1,114 -2,850 -667 -193 5,316 12,610 672 10,689 1,249 July-Dec......... -9,853 -1,548 -845 596 1,464 3,630 -528 -6,028 6,582 708 4,577 1,297 1966—Jan.-June....... 7,602 1,536 -111 3,481 -5,026 -997 660 5,825 12,407 766 10,050 1,591 July-Dec......... -14,878 1,683 -1,021 1,630 -3,370 9,412 -149 -6,396 6,011 416 4,096 1,499 Month: 1966—Apr.........1..,.5.67 -1,120 148 732 1,170 -1,416 627 453 6,708 512 4,491 1,705 May......... -603 2,180 -454 1,070 -4,023 2,777 -423 1,370 8,077 902 6,003 1,172 June 7,712 1,265 -450 813 -2,319 -2,452 238 4,330 12,407 766 10,050 1,591 July................ -4,561 -805 497 297 333 -627 -253 -4,613 7,794 1,232 5,147 1,415 Aug................ -3,845 2,347 -1,996 470 -3,103 5,141 -139 -850 6,944 1,614 4,014 1,316 Sept................ 593 26 939 22 -142 328 100 1,666 8,610 760 6,415 1,435 Oct................. -5,165 -614 736 130 698 2,140 119 -2,194 6,417 809 4,181 1,427 Nov................ -2,993 1,101 -1,120 -55 -989 2,523 84 -1,618 4,799 299 3,041 1,459 Dec................. 1,093 -371 -78 767 -166 -92 -60 1,213 6,011 416 4,096 1,499 1967—jan.................. -601 -60 583 76 477 -450 -134 158 6,170 813 3,687 1,670 Feb................. -1,702 2,290 -123 -241 -1,649 756 89 -760 5,410 386 3,299 1,725 Mar.. -304 866 970 -462 -1,082 1,321 -101 1,411 6,821 828 4,430 1,563 Apr................ 4,070 1 ,061 907 -563 329 -3,145 595 2,064 8,884 1,360 5,415 2,109 1 Primarily interest payments by Treasury to trust accounts and accumu­ 6 Monthly and half-year figures do not add to fiscal year totals because lations to U.S. employee trust funds. of classification revisions. 2 Includes small adjustments not shown separately. 7 Seasonally adjusted data include accelerated corporate tax payments 1 Includes net transactions of Govt.-sponsored enterprises. in 1965 and 1966; data for 1966 also include adjustments far initiation of * Primarily (1) intragovt, transactions, (2) noncash debt, (3) clearing graduated withholding of personal income taxes and change in schedule accounts. for depositing withheld and OASI taxes. * Includes technical adjustments not allocated by functions. Note.—Based on Treasury Dept, and Bureau of the Budget data. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 FEDERAL FINANCE 1011 FEDERAL FISCAL OPERATIONS: DETAIL (In millions of dollars) Cash receipts from the public Income taxes Excise taxes Social ins. taxes Period Estate Int. Total Individual C r o a r t p e o­ Total a L n iq d u t o o r ­ H w ig ay h­ Total F a I n C d A e U m n p - l . a g n if d t t C o u m s s ­ r m e a p e n a n d y t s ­ fu R n e d ­ s Other With­ bacco R.R. Other held Fiscal year—-1963... 109,739 38,719 14,269 22,336 13,410 5,521 3,405 19,729 15,128 4,107 2,187 1,241 1,815 6,571 2,604 1964... 115,530 39,259 15,331 24,301 13,950 5,630 3,646 21,936 17,405 4,037 2,416 1,284 1,702 7,148 2,499 1965... 119,699 36,840 16,820 26,131 14,793 5,921 3,782 22,138 17,833 3,817 2,746 1,478 2,097 6,030 2.686 1966... 134.480 42,811 18,486 30,834 13,398 5,888 4,037 25,527 21,243 3,773 3,094 1,811 2,303 7,256 3,472 Half year: 1965—Jan.-June.. 68,352 19,108 13,222 16,142 7,395 2,832 1,835 12,759 10,297 2,223 1,576 749 1,200 5,022 1,223 July-Dec... 55,024 19,964 3,806 10,892 7,046 3,063 2,068 9,601 7,743 1,607 1,274 898 1,296 1 .062 1,309 1966—Jan.-June.. 79,456 22,847 14,680 19,942 6,352 2,825 1,969 15,926 13,500 2,166 1,820 913 1,007 6,194 2,163 July-Dec... 65,681 24,641 3,983 12,045 6,762 3,105 2,313 13,472 11,658 1,563 1,258 1,017 1,493 1,142 2,152 Month; 1966—Apr............ 11,853 1,082 6,259 2,440 921 443 286 1,552 1,332 178 491 151 166 1,526 317 May.......... 13,916 6,’238 1,151 751 1,104 480 363 5,124 4'153 930 328 158 167 1'321 216 June......... 20’391 4^726 2,569 8,251 1 J49 578 361 2’834 2,735 59 228 172 204 '539 797 July............ 8,103 3^374 '351 878 971 361 357 1,912 1,726 142 215 158 179 221 286 Aug............ It’764 5,095 173 606 1,249 539 530 3’,999 3,185 770 224 179 174 198 263 Sept........... 14,748 3’792 2,608 4,547 1'156 550 354 1,894 1'806 46 214 170 191 158 334 Oct............ 7,523 3’434 '277 797 1,065 564 341 1'385 1 '248 93 206 170 197 212 204 Nov....... 10’698 5,155 148 580 1,212 600 375 2^839 2’329 469 196 179 216 185 358 Dec............ 12,845 3’791 427 4,636 1,110 492 356 1,863 1’775 52 204 161 536 168 285 1967—Jan............ 11,251 3,674 3,075 823 1,147 496 340 1,808 1,615 146 269 160 219 115 191 Feb............ 12'308 5’268 '944 635 1,075 433 367 4,164 3 i 301 820 224 134 187 550 227 Mar.......... 14'490 4'157 859 6,728 1,539 n.a. 603 2,473 2,366 61 270 170 178 2,204 320 Apr........... 17'070 3',591 6,216 4,295 1,023 n.a. 326 3,340 3^68 138 352 150 227 2,322 198 Cash payments to the public Period Total s t f i N e d o n e n a s ­ a ­ e l af I f n ai t r i s , 6 s S e p r a e a r ­ c c e h A tu c g u re r l­ i ­ 6 so N u u r r r e a a c ­ t l e ­ s t m C ra a o e n n r m s d c p e ­ . c H d i o n e o m g v u e m & s l. ­ , l w H ab e e o l a f r a l , t r h e & , 6 E t d io u n ca­ e V ra e n t­ s In e t s e t r­ G g e o r e v a n l t . ­ Fiscal year—1963........ 113,751 53,429 4,066 2,552 5,362 2,609 5,777 -268 25,624 1,214 5,971 7,427 1,953 1964........ 120,332 54,514 3,837 4,171 5,416 2,774 6,545 1,674 27,191 1,299 6,107 8,011 2,221 1965........ 122,395 50,790 4,794 5,093 5,142 2,921 7,421 908 28.191 1,497 6,080 8,605 2,341 1966........ 137,817 58,464 4,463 5,933 4,114 3,229 6,784 3,425 33,249 2,780 5,556 9,215 2,404 Half year: 1965—Jan.-June.... 60,885 26,219 2,766 2,761 1,712 1,270 3,131 375 14,562 852 3,134 4.376 1,203 July-Dec....... 67,035 27,085 2,226 2,838 3,313 1 ,764 3,955 1,157 16,374 706 2,590 4,367 1,259 1966—Jan.-June.. .. 70,781 31,377 2,044 3,094 935 1,407 2,841 2,198 16,990 2,072 3,031 4,856 1,144 July-Dec....... 80,086 33,850 2,457 2,855 3,630 2,002 4,372 1,801 18,192 1,755 3,475 4,627 1,386 Month: 1966—Apr............ 11,325 5,076 527 502 ’•-195 *■308 439 961 '■2,692 247 347 498 197 May.............. 12,821 5,025 461 569 228 339 518 362 2,778 496 540 1,401 227 June 12,052 6,410 174 571 -34 212 286 -47 2,916 370 414 613 137 July............... 12,927 4,959 303 494 588 314 642 1,236 2,853 270 505 347 231 Aug............... 15,206 5,675 438 441 1,380 401 797 33 2,923 359 496 1 ,435 230 Sept............... 13,150 6,035 375 483 909 329 807 218 3,047 368 593 368 243 Oct................. 12,604 5,532 637 493 583 323 763 362 3,043 281 600 373 207 Nov............... 13,654 5,557 529 458 137 325 690 -15 3,151 213 617 1,506 265 Dec................ 12,545 6,092 175 486 33 310 673 -33 3,175 264 664 598 210 1967—Jan................. 11,641 6,198 535 464 40 236 460 -895 3,398 87 548 415 200 Feb................ 11,852 5,806 -56 390 253 266 515 -635 3,433 302 645 1,571 175 Mar............... 13,167 7,025 389 468 159 251 562 -677 3,648 338 706 653 216 Apr............... 11,189 6,388 370 380 -191 224 336 -667 3,406 14 531 650 199 1965 1966 1967 1965 1966 1967 Item II III IV I II HI IV I II in IV 1 II HI IV I Seasonally adjusted Not seasonally adjusted Cash budget: Receipts............................ 732.6 30.6 30.7 33.7 739.6 36.3 36.8 38.8 37.7 29.2 25.8 33.3 46.2 34.6 31.1 38.0 Payments............................ 32.4 32.1 33.1 36.9 36.0 40.0 37.8 39.1 32.6 33.1 34.0 34.6 36.2 41.3 38.8 36.7 Net................................... .3 -1.5 -2.4 -3.2 3.7 -3.7 -1.0 -.3 5.1 -3.9 -8.1 -1.3 10.0 -6.7 -7.7 1.4 For notes see opposite page. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1012 U.S. GOVERNMENT SECURITIES JUNE 1967 TOTAL DEBT, BY TYPE OF SECURITY (In billions of dollars) Public issues 3 End of period T gr o o t s a s l T gr o o t s a s l Marketable Con­ Nonmarketable Special debt 1 direct vert­ issues 6 debt 2 Total ible Sav­ Total Bills C c e a r t t e if s i­ Notes Bonds 4 bonds Total 3 b i o n n g d s s 1941—Dec.................................... 64.3 57.9 50.5 41.6 2.0 6.0 33.6 8.9 6.1 7.0 1945—Dec.................................... 278.7 278.1 255.7 198.8 17.0 38.2 23.0 120.6 56.9 48.2 20.0 1947—Dec.................................... 257.0 256.9 225,3 165.8 15.1 21.2 11.4 118.0 59.5 52.1 29,0 1959—Dec..................................... 290.9 290.8 244.2 188.3 39.6 19.7 44.2 84.8 7.1 48.9 48.2 43.5 1960—Dec.................................... 290.4 290.2 242.5 189.0 39.4 18.4 51.3 79.8 5.7 47.8 47.2 44.3 1961—Dec..................................... 296.5 296.2 249.2 196.0 43.4 5.5 71.5 75,5 4.6 48.6 47.5 43.5 1962—Dec..................................... 304.0 303.5 255.8 203.0 48.3 22.7 53.7 78,4 4.0 48.8 47.5 43,4 1963—Dec..................................... 310.1 309.3 261.6 207.6 51.5 10.9 58.7 86.4 3.2 50.7 48.8 43.7 1964—Dec.................................... 318.7 317.9 267.5 212.5 56.5 59.0 97.0 3.0 52,0 49.7 46,1 1965—Dec.................................... 321.4 320.9 270.3 214.6 60.2 50.2 104.2 2.8 52.9 50.3 46,3 1966—May................................... 322.8 322.4 269.1 213.8 59.5 1.7 50.6 102.0 2.7 52.7 50,5 48.8 June................................... 320.4 319.9 264.3 209.1 54.9 1.7 50.6 101.9 2.7 52.5 50.5 51.1 July.................................... 319.8 319.2 264.2 209.1 54.9 1.7 50.7 (01.9 2.7 52.4 50,6 50.7 Aug.................................... 324.9 324.4 266.5 211,4 57.9 7.0 45.9 100.6 2.7 52.4 50,6 53.2 Sept.................................... 325.3 324.7 266.9 211.8 58.3 7.0 45.9 100.5 2.7 52.5 50.6 53.1 Oct................................... 327.4 326.9 270.4 215.3 62,3 7.0 45.6 100.5 2.7 52.4 50,7 51.9 Nov.................................... 329.9 329,4 272,3 217.2 63.9 5.9 48.3 99.2 2.7 52.4 50,8 52.6 Dec................................... 329.8 329.3 273.0 218.0 64.7 5.9 48.3 99.2 2.7 52.3 50.8 52.0 1967—Jan..................................... 329.4 328.9 273.7 218.8 65.5 5.9 48.3 99.1 2.7 52.2 50.8 51.3 Feb..................................... 330.1 329.6 274.2 219.2 65.9 5.9 48.4 99.1 2.6 52.3 50.9 51.5 Mar.................................... 331.5 330,9 274.9 219.9 66.6 5.9 48.4 99.0 2.6 52.4 51.0 52.1 Apr..................................... 328.3 327.8 272.2 217. 1 64. 1 5.9 48.1 99.0 2.6 52.5 51.1 51.6 May................................... 331.4 330,9 271.8 216.7 64. 1 5.6 49.1 97.9 2.6 52.6 51.1 55,2 1 Includes non-interest-bearing debt (of which $266 million on May 31, bonds, foreign currency series, foreign series, and Rural Electrification 1967, was not subject to statutory debt limitation) and guaranteed secu­ Administration bonds; before 1954, armed forces leave bonds; before rities not shown separately. 2 Excludes guaranteed securities. 1956, tax and savings notes; and before Oct. 1965, Series A investment 3 Includes amounts held by U.S. Govt, agencies and trust funds, which bonds. totaled $18,726 million on Apr. 30, 1967. 6 Held only by U.S. Govt, agencies and trust funds. 4 Includes Treasury bonds and minor amounts of Panama Canal and postal savings bonds. Note.—Based on Daily Statement of U.S. Treasury. 3 Includes (not shown separately); depositary bonds, retirement plan OWNERSHIP OF DIRECT AND FULLY GUARANTEED SECURITIES (Par value in billions of dollars) Held by—- Held by the public E pe n r d io o d f T g d r o e o t b s a t s l ag G t U e a r o n u n . v S c d s i t t . e , s B F a . n R k . s Total m C b e a o r n c m k ia ­ s l s M b av a u n i t n u k g a s s l p I c a n a o n n s m c u ie e r ­ s ­ r c O a o t t r i h o p e n o r s ­ g S lo a o t n c v a a d t ts e l . Savi I n n g d s i vidu O al t s her n F a i o t n a i r o t n e e n d i r g a ­ n l 1 O i m n to t v i h r s e s c e s . r ­ 2 funds bonds securities 1941—Dec................ 64.3 9.5 2.3 52.5 21.4 3.7 8.2 4.0 .7 5.4 8.2 .4 .5 1945—Dec................ 278.7 27.0 24.3 227.4 90.8 10,7 24.0 22.2 6.5 42.9 21.2 2.4 6.6 1947—Dec................ 257.0 34.4 22.6 200.1 68.7 12.0 23.9 14.1 7.3 46.2 19.4 2.7 5.7 1959—Dec................ 290.9 53.7 26.6 210.6 60.3 6.9 12.5 21.4 18,0 45.9 23.5 12.0 10.1 I960—Dec................ 290.4 55.1 27.4 207,9 62.1 6.3 11.9 18.7 18.7 45.6 20,5 13.0 11.2 1961—Dec................ 296.5 54.5 28.9 213.1 67,2 6.1 11.4 18.5 19,0 46.4 19.5 13.4 11.6 1962—Dec................ 304.0 55.6 30,8 217.6 67.2 6.1 11.5 18.6 20.1 46,9 19.2 15.3 12.7 1963—Dec................ 310,1 58.0 33.6 218.5 64.3 5.8 11.3 18.7 21.1 48,1 20,1 15.9 13.3 1964—Dec................ 318.7 60.6 37,0 221.1 64.0 5.7 11.1 17.9 21.2 48.9 21.1 16.7 14.5 1965—Dec................ 321.4 61.9 40.8 218.7 60.8 5.4 10.4 15.5 22.9 49.6 22.7 16.7 14.7 1966—Apr................ 320.1 60.5 40.7 218.9 57.0 5.3 10.1 15.7 25.1 49.7 24.6 15.7 15.6 322.8 64. 5 41.5 216.9 55.1 5.2 10.0 16.2 25.3 49.7 24.3 15.6 15.3 320.4 66.7 42.2 211.5 54.7 5.1 9.7 13.9 24.5 49.8 24.1 15.4 14.3 July............... 319.8 66.4 42.4 211.0 53.4 5.0 9.7 14.2 24.8 49.9 24.2 15.3 14.4 324.9 69.3 42.5 213.1 54.7 5.0 9.7 14.3 24.6 49.9 24.8 15.4 14.7 325.3 69.2 42.9 213.2 54.4 5.0 9.7 13.5 24.2 49.9 25.8 15.2 15.3 Oct................ 327.4 68.0 43.0 216.4 54.9 4.8 9.6 14.9 24.2 49.9 26.2 15.2 16.5 329.9 68.9 43.9 217.1 55.1 4.8 9.7 16.0 24.1 50.1 25.8 15.3 16.2 329.8 68.8 44.3 216.7 57.2 4.7 9.6 14.7 23.8 50.2 25.5 14.3 16.7 329.4 68.2 43,5 217.7 57.4 4.5 9.5 r14.9 23.4 50,1 25.8 ’’14.0 H7.9 Feb................ 330.1 69.6 44.0 216.6 56.9 4.6 9.3 ’’15.0 23.7 50.3 r25.3 U4.1 ’■17.4 331,5 70.7 44.9 215.9 57,6 4.5 9.2 U4.1 23.5 50,4 25.5 r14.5 r16.7 Apr................ 328.3 70.4 45,5 212.5 56.7 4.3 9.0 13,0 23.6 50.5 24.5 14.7 16.3 1 Includes investments of foreign balances and international accounts Note.—Reported data for F.R. Banks and U.S. Govt, agencies and in the United States. trust funds; Treasury estimates for other groups. 2 Includes savings and loan assns., dealers and brokers, nonprofit institutions, and corporate pension funds. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 U.S. GOVERNMENT SECURITIES 1013 OWNERSHIP OF MARKETABLE SECURITIES, BY MATURITY (Par value in millions of dollars) Within 1 year Type of holder and date Total y 1 e - a 5 rs y 5 e - a 1 r 0 s 1 y 0 e - a 2 rs 0 20 O y v e e a r r s Total Bills Other All holders: 1964—Dec. 31........................................................ 212.454 88,451 56,476 31,974 64,007 36,421 6,108 17,467 1965—Dec. 31........................................................ 214.604 93.396 60,177 33,219 60,602 35.013 8,445 17,148 1966—Dec. 31........................................................ 218,025 105,218 64,684 40,534 59,446 28,005 8.433 16,923 1967—Mar. 31........................................................ 219,914 102,242 66,583 35,659 66,722 25,650 8,430 16,870 Apr. 30........................................................ 217,127 99,670 64,069 35,601 66,540 25,645 8,428 16,842 U.S Govt, agencies and trust funds: 1964—Dec. 31................................................ 12,146 1,731 1,308 424 2,422 3,147 1,563 3,282 1965—Dec. 31................................................ 13,406 1,356 968 388 3,161 3,350 2,073 3,466 1966—Dec. 31................................................ 14,591 2,786 1,573 1,213 3,721 2,512 2,093 3,479 1967—Mar. 31................................................ 16,411 4,091 3,150 941 4,263 2,444 2,110 3,504 Apr. 30................................................. 16,547 4,215 3,278 937 4,235 2,482 2,111 3,504 Federal Reserve Banks: 1964—Dec. 31................................................ 37,044 21,388 6,487 14,901 13,564 1,797 58 237 1965—Dec. 31................................................ 40,768 24,842 9,346 15,496 14,092 1 ,449 147 238 1966—Dec. 31................................................ 44,282 35,360 12,296 23,064 7,502 1,007 153 260 1967—Mar. 31................................................ 44,908 33,489 12,937 20,552 10,139 871 155 255 Apr. 30................................................ 45,460 33,915 13,289 20,626 10,208 898 159 281 Held by public: 1964—Dec. 31................................................ 163,264 65,331 48,682 16,650 48,021 31,477 4,487 13,948 1965—Dec. 31................................................ 160,430 67,198 49.863 17,335 43,349 30,214 6,225 13,444 1966—Dec. 31................................................ 159,152 67,072 50,815 16,257 48,224 24,485 6,187 13,184 1967—Mar. 31................................................ 158,595 64,661 50,495 14,166 52,320 22,337 6,165 13,111 Apr. 30. ............................................... 155,120 61,540 47,502 14,038 52,097 22,265 6,158 13,057 Commercial banks: 1964—Dec. 31......................................... 53,752 18,509 10,969 7,540 23,507 11,049 187 501 1965—Dec. 31........................................ 50,325 18,003 10,156 7,847 19,676 11,640 334 671 1966—Dec. 31........................................ 47,182 15,838 8,771 7,067 21,112 9,343 435 454 1967—Mar. 31......................................... 47,748 14,226 7,970 6,256 23,723 8,842 449 509 Apr. 30......................................... 46,940 13,257 6,924 6,333 23,802 8,913 445 523 Mutual savings banks: 1964—Dec. 31........................................ 5,434 608 344 263 1,536 1,765 260 1,266 1965—Dec. 31........................................ 5,241 768 445 323 1,386 1,602 335 1,151 1966—Dec. 31........................................ 4,532 645 399 246 1 ,482 1,139 276 990 1967—Mar. 31........................................ 4,344 586 369 217 1,582 924 282 970 Apr. 30........................................ 4,215 535 317 218 1 ,530 896 284 969 Insurance companies: 1964—Dec. 31....................................... 9,160 1,002 480 522 2,045 2,406 818 2.890 1965—Dec. 31........................................ 8,824 993 548 445 1,938 2,094 1,096 2,703 1966—Dec. 31........................................ 8,158 847 508 339 1,978 1,581 1,074 2,678 1967—Mar. 31........................................ 7,837 715 438 277 1,998 1,386 1,081 2,656 Apr. 30.. ..................................... 7,589 524 266 258 1,965 1,380 1,078 2,641 Nonfinancial corporations: 1964—Dec. 31......................................... 9,136 6,748 5,043 1,705 2,001 272 3 112 1965—Dec. 31........................................ 8,014 5,911 4,657 1,254 1,755 225 35 89 1966—Dec. 31........................................ 6,323 4,729 3,396 1,333 1,339 200 6 49 1967—Mar. 31......................................... 5,342 3,679 2,618 1,061 1,429 182 6 45 Apr. 30......................................... 4,938 3,354 2,624 730 1,357 177 6 45 Savings and Ioan associations: 1964—Dec. 31........................................ 3,418 490 343 148 1,055 1,297 129 447 1965—Dec. 31......................................... 3,644 597 394 203 948 1,374 252 473 1966—Dec. 31........................................ 3,883 782 583 199 1,251 1,104 271 475 1967—Mar. 31......................................... 4,003 844 653 191 1,417 1,005 266 471 Apr. 30......................................... 3,987 808 613 195 1 ,423 1,014 267 473 State and local governments: 1964—Dec. 31........................................ 15,022 4,863 3,961 902 2,014 2,010 1,454 4,680 1965—Dec. 31........................................ 15,707 5,571 4,573 998 1,862 1,894 1,985 4,395 1966—Dec. 31........................................ 15,384 5,545 4,512 1,033 2,165 1,499 1,910 4,265 1967—Mar. 31........................................ 14,980 5,592 4,726 866 2,339 1,328 1,721 4,000 Apr, 30........................................ 15,396 6,013 5,118 895 2,379 1,325 1,713 3,966 All others; 1964—Dec. 31......................................... 67,341 33,111 27.542 5,570 15,863 12,678 1,637 4,052 1965—Dec. 31....................................... 68,675 35.356 29,089 6,267 15,784 11,386 2,187 3,962 1966—Dec. 31......................................... 75,690 38,685 32,646 6,039 18,896 9,619 2,215 4,275 1967—Mar. 31......................................... 74,341 39,019 33,721 5,298 19,832 8,670 2,360 4,460 Apr. 30......................................... 72,055 37,049 31,640 5,409 19,641 8,560 2,365 4,440 Note.—Direct public issues only. Based on Treasury Survey of about 90 per cent by the 5,893 commercial banks, 504 mutual savings Ownership, banks, and 764 insurance companies combined; (2) about 50 per cent by Data complete for U.S. Govt, agencies and trust funds and F.R. Banks the 469 nonfinancial corporations and 488 savings and loan assns.; and but for other groups are based on Treasury Survey data. Of total mar­ (3) about 70 per cent by 506 State and local govts. ketable issues held by groups, the proportion held on latest date by those “All others,” a residual, includes holdings of all those not reporting reporting in the Survey and the number of owners surveyed were: (1) in the Treasury Survey, including investor groups not listed separately. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1014 U.S. GOVERNMENT SECURITIES JUNE 1967 DEALER TRANSACTIONS (Par value, in millions of dollars) U.S. Government securities By maturity By type of customer U.S. Govt, Period agency Total Dealers and brokers securities Within 1-5 5-10 Over Com­ All 1 year years years 10 years U.S. Govt, m b e a r n c k ia s l other securities Other 1966—Apr.............................. 1,823 1,550 156 91 26 515 51 740 -516 218 May............................ 1,882 1,564 202 86 30 514 78 746 543 221 June............................. 1,927 1,614 186 94 33 646 69 729 >■484 278 July.............................. 1,820 1,560 155 76 29 607 64 726 423 284 Aug.............................. 1,785 1,497 189 62 38 573 78 721 413 175 Sept......................... 2,004 1,682 198 82 43 742 101 730 432 170 Oct............................... 2,329 2,019 192 82 35 782 93 915 538 180 Nov.............................. 2,339 6,864 334 118 24 849 94 896 501 204 Dec............................... 2,712 2,059 427 160 66 1,114 121 978 500 232 1967—Jan................................ 2,266 1,827 288 102 49 912 110 788 453 281 Feb............................... 2,186 1,744 331 79 32 774 90 826 496 217 Mar.............................. 2,434 2,012 296 87 39 1 ,057 140 794 443 222 Apr............................... 2,110 1 ,738 262 82 28 812 76 746 475 222 Week ending— 1967—Apr. 5....................... 2,397 2,005 263 93 *■35 '922 *•102 822 550 193 12....................... ’2,439 "2,015 298 96 30 ’1,067 93 "806 >■433 025 19....................... ’1,849 1,564 199 63 22 698 55 587 >•509 029 26....................... ’’1,813 1 ,544 158 85 27 663 62 696 092 027 May 3....................... 2,713 2,072 540 74 26 892 1(2 982 726 222 10...................... 1,841 1 ,381 339 88 33 663 48 634 496 144 17....................... 1 ,949 1,516 330 75 30 736 52 714 448 242 24....................... 1,858 1 ,520 257 59 23 720 57 641 441 169 31....................... 2,285 1,871 284 94 37 208 Note.—The transactions data combine market purchases and sales of ties under repurchase agreement, reverse repurchase (resale), or similar U.S. Govt, securities dealers reporting to the F.R. Bank of N.Y. They contracts. Averages of daily figures based on the number of trading do not include allotments of, and exchanges for, new U.S. Govt, securities, days in the period. redemptions of called or matured securities, or purchases or sales of securi­ DEALER POSITIONS DEALER FINANCING (Par value, in millions of dollars) (In millions of dollars) U.S. Government securities, by maturity U.S. Commercial banks Period a G ge o n v c t y . Period All Corpora­ All All Within 1-5 Over securities sources New Else­ tions 1 other maturities I year years 5 years York where City 1966—Apr.......... 2,867 2,798 6 63 814 May........ 2,239 2,061 142 36 675 1966—Apr........... 3,249 1,209 669 1 155 217 June........ 1,548 1,353 92 102 "666 2,787 744 602 1 '067 375 July...... 1,681 1,587 49 "45 408 June 2,065 523 476 '796 270 2,188 2,001 181 r6 208 July........... 2'127 623 481 737 287 2029 2'043 108 78 269 Aug. 2,229 394 430 925 480 Oct.......... 2,500 2,224 109 166 353 Sept 2'410 725 615 731 340 Nov......... 3'756 2,925 639 193 429 Oct............ 2,346 508 580 823 435 4'158 3'447 530 181 502 Nov........... 3'575 605 687 1 ,614 668 Dec............ 4^233 999 893 1 412 929 1967—Jan........... 4,861 4,138 431 292 560 Feb.......... 4,442 3,527 681 235 467 1967—Jan............ 4,925 t ,565 1,678 983 700 4,084 3,362 475 248 415 Feb............ 4,530 1 ,391 1,331 1 069 740 3,902 3'296 382 223 450 Mar........... 4,298 1 ,289 1,461 825 723 Apr........... 4,162 1 ,093 1,576 829 664 Week ending— Week ending—• 1967—Mar. 1.. 4,214 3,566 464 186 431 8. . 3,804 3,130 464 21 1 370 1967—Mar. 1... 4,434 1,258 1 ,343 1,131 703 15. . 4,379 3,625 500 255 372 8. .. 3,975 1 ,064 1,235 963 713 22. . 4,087 3,331 "491 266 433 I5. .. 4,360 1 ,381 1 ,329 805 845 29. . 4,024 3,298 465 261 467 22. .. 4,595 1 ,358 1 ,724 749 763 29.,. 4,253 1 ,372 1,504 774 602 Apr. 5.. 4,139 3,450 440 250 526 12.. 4,300 3,617 444 239 485 Apr. 5... 4,387 1,240 1,635 771 743 19. . 3,932 3,303 399 230 389 12. 4,669 1,314 1 ,894 840 621 26. . 3,391 2,826 360 205 423 19... 4,469 1,216 1,681 904 668 26... 3,491 748 1,259 833 651 Note.—The figures include all securities sold by dealers under repur­ chase contracts regardless of the maturity date of the contract, unless the 1 All business corporations, except commercial banks and insurance contract is matched by a reverse repurchase (resale) agreement or delayed companies. delivery sale with the same maturity and involving the same amount of securities. Included in the repurchase contracts are some that more clearly represent investments by the holders of the securities rather than Note.-—-Averages of daily figures based on the number of calendar days dealer trading positions. in the period. Both bank and non bank dealers are included. See also Average of daily figures based on number of trading days in the period. Note to the opposite table on this page. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 GOVERNMENT SECURITIES 1015 U.S. GOVERNMENT MARKETABLE AND CONVERTIBLE, MAY 31, 1967 (In millions of dollars) Issue and coupon rate Amount Issue and coupon rate Amount Issue and coupon rate Amount Issue and coupon rate Amount Treasury bills Treasury bills—Cont. Treasury notes—Cont. Treasury bonds—Cont. 2,309 Nov. 9 1967............. 1,000 Apr. 1,1969...........li/2 61 Oct. 1, 1969..........4 6,253 2,301 Nov. 16' 1967................. 1,001 Oct. 1,1969...........11^ 159 Feb. 15, 1970..........4 4,381 June 15, 1967.................. 2,302 Nov. 24,' 1967................. 1 'ooo Apr. 1, 1970...........li^ 88 Aug. 15, 1970..........4 4,129 June 22^ 1967*............... 5,514 Nov. 30,’ 1967................. 1,400 Oct. 1,1970...........1g 113 Aug. 15, 1971..........4 2.806 2,306 Dec. 31 ’ 1967................. 1,401 Nov. 15, 1970..........5 7,675 Nov. 15, 1971...........3% 2,760 June 29^ 1967.................. 2,302 Jan. 31,’ 1968................. 1 '401 Apr. 1,1971...........1g 35 Feb. 15, 1972..........4 2,344 1'502 Feb. 29, 1968................. 1301 May 15, 1971..........5% 4,265 Aug. 15, 1972..........4 2,579 July 6' 1967................. 2,302 Mar. 31 i 1968................. 900 Oct. t, 1971...........1g 72 Aug. 15, 1973..........4 3,894 July 13; 1967.................. 2,302 Apr. 30, 1968................. 902 Nov. 15, 1971..........5^ 1,734 Nov. 15, 1973...........41/s 4,355 July 20, 1967................. 2,301 May 31, 1968................. 900 Feb. 15, 1972..........4% 2,006 Feb. 15, 1974..........4U 3,130 July 27, 1967................. 2,301 Apr. 1,1972...........lii 4 May 15, 1974..........4’4 3,591 July 31, 1967.................. 1,495 May 15, 1972..........454 5,309 Nov. 15, 1974..........3% 2,242 Aug. 3, 1967................. 2,303 May 25, 1975-85...4g 1,217 A A u u g g . . 1 17 0 , , 1 1 9 9 6 6 7 7 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 2 , ,3 3 0 0 1 2 Ce A rt u if g i . c a 1 te 5 s , 1967.......5% 5,610 Tr J e u a n su e r y 1 5 b , o n 1 d 9 s 62-67... 2g 344 J F u e n b e . 1 1 5 5 , , 1 1 9 9 8 7 0 8 .. - . 8 .. 3 ... . . . . . . 4 3% 2 1 , , 6 5 0 7 4 4 Aug 24, 1967................. 2,300 Dec. 15, 1963-68.. .214 1 ,789 Nov. 15, 1980..........314 1,910 Aug. 31. 1967................. 2,505 June 15, 1964-69... 2g 2,544 May 15, 1985..........3g 1,121 Sept. 7, 1967................. 1,000 Dec. 15, 1964-69...2»A 2,492 Aug. 15, 1987-92... 4% 3,817 Sept. 14, 1967................. 1,002 Treasury notes Mar 15, 1965-70... 2g 2,288 Feb. 15, 1988-93... 4 250 Sept. 21, 1967................. 1,000 Aug. 15, 1967.......3% 2,094 Mar. 15, 1966-71... 2g 1,304 May 15, 1989-94... 4% 1,560 Sept. 28, 1967................. 1,000 Aug. 15, 1967.........4% 1,904 June 15, 1967-72... 2g 1,261 Feb. 15, 1990...........3^ 4,891 Sept. 30, 1967................. 1,400 Oct. 1,1967.........114 457 Sept. 15, 1967-72...2g 1 ,952 Feb. 15, 1995...........3 1,918 Oct. 5, 1967................. 1,001 Nov. t5, t967..........4% 8,135 Nov. 15, 1967..........3g 2,019 Nov. 15, 1998...........3^ 4,384 Oct. 13, 1967.................. 1,001 Feb. 15, 1968..........5% 2,635 Dec. 15, 1967-72...2g 2,639 Oct. 19, 1967................. 1,001 Apr. 1,1968..........PA 212 May 15. 1968..........3% 2,460 Oct. 26, 1967................. 1,000 May 15, 1968.........414 5,587 Aug. 15, 1968..........354 3,747 Convertible bonds Oct. 31, 1967................. 1,406 Aug. 15, 1968...........4*4 6,444 Nov. 15. 1968...........3% I ,591 Investment Series B Nov. 2, 1967................. 1,000 Oct 1,1968...........1g 115 Feb. 15, 1969..........4 3,728 Apr. 1, 1975-80...2>g 2,593 Note.—Direct public issues only. Based on Daily Statement of U.S. * Tax anticipation series. Treasury. NEW ISSUES OF STATE AND LOCAL GOVERNMENT SECURITIES (In millions of dollars) All issues (new capital and refunding) Issues for new capital Type of issue Type of issuer Total Use of proceeds amount Period deliv­ Total G g o a e b t a n i l l o e i­ n r­ s R n e u v e e­ PHA> G l U o o a . v S n t . s , State S d a p i s a s u t e n t a t c r d h t i i , c a . l t Other2 ered 3 Total c E at d i u o ­ n b R r a i o d n a g d d e s s U iti t e il s ­ 4 H in o g u S s­ V a a e n i t d e s r ’ ­ p O p o u s th e r s e ­ r I960. 7,292 4,771 2,095 302 125 1,110 1,984 4,198 7,102 7,247 2,405 1,007 1,316 426 201 1,891 1961. 8,566 5,724 2,407 315 120 1,928 2,165 4,473 8,301 8,463 2,821 1,167 1,700 385 478 1,913 1962. 8,845 5,582 2,681 437 145 1,419 2,600 4,825 8,732 8,568 2,963 1,114 1,668 521 125 2,177 1963. 10,538 5,855 4,180 254 249 1,620 3,636 5,281 10,496 9,151 3,029 812 2,344 598 2,369 1964. 10,847 6,417 3,585 637 208 1,628 3,812 5,407 10,069 10.201 3,392 688 2,437 727 120 2,838 1965. 11,329 7,177 3,517 464 170 2,401 3,784 5,144 11,538 10,471 3,619 900 1,965 626 50 3,311 1966................ ’•11,395 '6,804 '3,955 325 312 '2,590 '4,110 '4,695 n.a. '11,204 '3,738 '1,476 '1,880 '533 '3,667 1966-—Apr...,. 1,211 '817 '349 46 '461 '353 '398 n.a. 1,194 330 105 '142 2 '615 May.... '903 '504 378 21 118 '315 469 n.a. '902 '249 '135 280 2 '236 June..,. 1,143 587 395 110 51 275 '428 '440 n.a. 1,141 '506 '118 200 '110 '207 July.... '702 406 '276 20 174 '246 '282 n.a. '701 226 142 73 8 '252 Aug...... 775 453 287 35 134 275 366 n.a. 773 279 32 103 6 353 Sept.. . . ’1,032 '441 453 120 18 '79 '572 '381 n.a. '1,019 '218 '220 222 124 '236 Oct..... 751 539 178 34 208 256 287 n.a. 747 299 12 99 9 328 Nov.. . . '973 598 '364 12 '229 '334 '410 n.a. '967 379 108 '226 40 '213 Dec....... '940 '397 '533 11 100 '568 '272 n.a. '940 '279 280 '87 131 '164 1967-—Jan........ rt,466 '938 '502 27 '511 '331 '624 n.a. '1,461 '404 '218 '163 1 '675 Feb....... '1,207 '912 '287 '8 '255 '296 '656 n.a. '1,174 '462 '132 '103 '476 Mar.. . . 1,439 816 470 117 35 229 565 645 n.a. 1,425 409 122 332 126 436 Apr....... 1,099 834 239 ............ 27 180 232 687 n.a. 1 ,083 447 58 208 10 ........3..6..0 1 Only bonds sold pursuant to 1949 Housing Act, which are secured 5 Includes urban redevelopment loans. by contract requiring the Public Housing Administration to make annual contributions to the local authority. Note.—The figures in the first column differ from those shown on the 2 Municipalities, counties, townships, school districts. following page, which are based on Bond Buyer data. The principal 3 Excludes U.S. Govt, loans. Based on date of delivery to purchaser difference is in the treatment of U.S. Govt, loans. and payment to issuer, which occurs after date of sale. Investment Bankers Assn, data; par amounts of long-term issues 4 Water, sewer, and other utilities. based on date of sale unless otherwise indicated. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1016 SECURITY ISSUES JUNE 1967 TOTAL NEW ISSUES (In millions of dollars) Proposed use of net proceeds, Gross proceeds, all issues 1 all corporate issues 6 Noncorporate Corporate New capital Re­ Period Total US. U.S. Bonds Stock Total Other m ti o r e e f n ­ t G U o . v S t . .2 G a c g o y e v n 3 t ­ , l S o a t c n a a d t l e 4 Other 5 Total Total P li u cl b y ­ v P at r e i l ­ y fe P r r r e e ­ d C m o o m n ­ Total m N on ew ey 7 p p o u s r e ­ s s r e it c ie u s ­ offered placed 1959................... 31,074 12,322 707 7,681 616 9,748 7,190 3,557 3,632 531 2,027 9,527 9,392 8,578 814 135 1960................... 27,541 7^906 1,672 7,230 579 10,154 8,081 4; 806 3; 275 409 1,664 9^924 9*653 8,758 895 271 1961................... 35’527 12^253 1^448 8^360 303 13’165 9320 4,700 4; 720 450 3,294 12,885 12,017 10,715 1,302 868 1962................... 29'956 8,590 1,188 8,’558 915 10,705 8,969 4’440 4,529 422 1,314 10,501 9; 747 8*240 1,507 754 1963 '................. 35,199 10,827 1,168 10,107 887 12,211 10,856 4,713 6,143 343 1,011 12,049 10,523 8,898 1,625 1,526 1964................... 37,122 10’656 1,205 10^544 760 13,957 10,865 3,'623 7,243 412 2,679 13,792 13*038 1L233 1,805 754 1965................... 40,108 9^348 2,731 11’148 889 15,992 13^720 5,570 8,150 725 1 ,547 15*801 14^805 13,063 1 *741 996 1966................... 45’015 8^231 6'806 11^089 815 18,074 15’,561 8318 7,542 574 11939 17,841 17’601 15*806 l',795 241 1966—Mar........ 4,250 457 410 848 54 2,482 2,065 753 1,311 21 396 2,452 2,446 2,039 407 7 Apr......... 3,668 426 392 1,181 86 1,582 1,372 628 743 28 182 1,559 1,553 1,399 154 7 May....... 3,182 412 699 877 88 1,106 1,037 481 556 13 56 1 ,095 1,058 1,000 58 38 June....... 5,072 397 1 ,030 1,118 100 2,427 1,616 832 784 74 737 2,391 2,364 2,245 119 27 July........ 3,407 411 1,084 678 149 1 ,085 975 440 535 70 40 1,071 1 ,039 932 106 32 Aug........ 3,676 387 799 764 14 1,712 1,575 1,140 435 67 70 1 ,688 1,670 1 ,617 53 18 Sept. 3,249 402 400 992 55 1,400 1,333 676 657 6 61 1,384 1,382 1,114 268 2 Oct......... 2,518 408 450 736 32 892 755 499 256 31 106 876 829 783 46 46 Nov........ 6,686 3,738 800 950 83 1,115 1,004 569 435 50 61 1,098 1,086 1 ,033 52 12 Dec......... 3,277 373 239 923 81 1,661 1,535 980 555 20 106 1,643 1,635 1,363 273 8 1967—Jan......... '5,091 494 1,251 1,450 '211 r1,684 rl 593 r745 '848 '51 '40 '1,669 '1 648 '1,522 '125 '21 Feb *•7,523 4,154 783 1,159 no '1,418 '1,262 '900 '362 '17 139 '1,400 '1,399 '1,375 '24 '1 Mar..... 5,253 459 750 1,437 245 2,362 2,219 1,618 601 24 119 2,334 2,317 2,178 139 17 Proposed uses of net proceeds, major groups of corporate issuers Manufacturing C m om is m ce e ll r a c n ia e l o u a s nd Transportation Public utility Communication an R d e a f l i n e a s n ta c t i e a l Period Retire­ Retire­ Retire­ Retire­ Retire­ Retire­ New ment of New ment of New ment of New ment of New ment of New ment of capital8 secu­ capital8 secu­ capital8 secu­ capital8 secu­ capital8 secu­ capital8 secu­ rities rities rities rities rities rities 1959............................................... 1,941 70 812 28 942 15 3,189 15 707 1,801 6 1960............................................... 1,997 79 794 30 672 39 2,754 51 1,036 1 2,401 71 1961............................................... 3,691 287 1,109 36 651 35 2,883 106 1,435 382 2,248 22 1962............................................... 2,958 228 803 32 543 16 2,341 444 1,276 11 1,825 23 1963 '............................................. 3,272 199 756 53 861 87 1,939 703 733 359 2,962 125 1964............................................... 2,772 243 1,024 82 941 32 2,445 280 2,133 36 3,723 80 1965............................................... 5,015 338 1,302 79 967 36 2,546 357 847 92 4,128 93 1966............................................... 6,855 125 1,356 44 1 ,939 9 3,570 46 1 ,978 4 1,902 14 1966—Mar.................................... 977 7 160 373 340 301 294 Apr.................................... 692 4 154 2 148 364 76 119 1 May................................... 3 76 12 137 22 75 274 40 4 156 June................................... 1,137 14 145 6 207 3 322 4 276 276 2 July................................... 397 2 98 72 263 22 52 156 9 Aug.................................... 518 15 1 67 2 243 313 1 318 112 Sept.................................... 643 91 63 2 81 198 307 Oct..................................... 331 46 38 39 254 97 71 Nov.................................... 228 2 58 204 320 10 168 107 Dec.................................... 673 4 93 266 4 409 .........1.5..2.. • • .......... 42 .............. 1967—Jan..................................... '624 '20 '103 '144 .............. '220 '293 r* '264 1 Feb.................................... '563 r* '72 '140 '274 '105 '244 Mar................................... 1,254 16 112 .........2.1..4.. .............. 503 .........1.4..5.. .............. 89 2 i Gross proceeds are derived by multiplying principal amounts or 6 Estimated gross proceeds less cost of flotation. number of units by offering price. 7 For plant and equipment and working capital. 2 Includes guaranteed issues. 8 All issues other than those for retirement of securities. 3 Issues not guaranteed. 4 See Note to table at bottom of opposite page. Note.—Securities and Exchange Commission estimates of new issues 5 Foreign governments. International Bank for Reconstruction and maturing in more than 1 year sold for cash in the United States. Development, and domestic nonprofit organizations. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 SECURITY ISSUES 1017 NET CHANGE IN OUTSTANDING CORPORATE SECURITIES (In millions of dollars) Derivation of change, all issuers All securities Bonds and notes Common and preferred stocks Period New issues Retirements Net change New Retire­ Net New Retire­ Net issues ments change issues ments change I c n o ve s s .1 t. Other In co ve s. s t i , Other I c n o ve s s .1 t. Other 1962..................... 14,308 6,457 7,852 8,613 3,749 4,864 3,440 2,255 1,140 1,567 2,300 688 1963................... 15,64! 8,711 6,930 10,556 4,979 5,577 3,138 1,948 1,536 2,197 1,602 -249 1964....................... 18,826 8,290 10,536 10,715 4,077 6,637 4,363 3,748 1,895 2,317 2,468 1,431 1965....................... 21,535 10,025 11,511 12,747 4,649 8,098 5,583 3,205 2,134 3,242 3,450 -37 1966....................... 26,327 9,567 16,761 15,629 4,542 11,088 6,529 4,169 2,025 3,000 4,504 1,169 1965—IV.............. 5,912 2,847 3,065 3,261 1,178 2,084 1,873 778 657 1,012 1,216 -235 1966—1.................. 7,663 3,044 4,619 4,568 1,335 3,233 2,085 1,010 557 1,152 1,528 -142 II. 7,517 2,233 5,286 3,993 1,153 2,841 1,518 2,006 548 532 970 1,475 Ill......... 5,534 1,756 3,777 3,732 943 2,789 1,271 531 490 323 781 207 IV.............. 5,615 2,535 3,080 3,336 1,111 2,225 1,657 622 431 993 1,226 -371 Type of issuer Manu­ Commercial Transpor­ Public Communi­ Real estate Period facturing and other 2 tation 3 utility cation and financial 4 & B n o o n t d e s s Stocks & B n o o nd te s s Stocks & B o n n o d te s s Stocks & B o n n o d te s s Stocks & B o n n o d te s s Stocks & B o n n o d te s s Stocks 1962........................ 1,355 -242 294 -201 -85 -25 1,295 479 1,172 357 833 2,619 1963........................ 1,804 -664 339 -352 316 -19 876 245 438 447 1,806 1,696 1964....................... 1,303 -516 507 -483 317 -30 1,408 476 458 1,699 2,644 2,753 1965........................ 2,606 -570 614 -70 185 -1 1,342 96 644 518 2,707 3,440 1966....................... 4,324 32 616 -598 956 718 2,659 533 1,668 575 864 4,414 1965—IV................ 612 -243 163 -10 52 -3 215 -189 124 130 918 1,296 1966—1.................. 1,440 -543 169 49 348 28 756 166 249 168 270 1,518 II................ 950 657 232 -72 166 648 679 119 549 157 264 937 Ill............... 1,198 58 143 -22 218 16 469 112 405 103 356 721 IV............... 736 -140 72 -553 224 26 755 136 465 147 -26 1,239 i Open-end and closed-end companies. exclude foreign and include offerings of open-end investment cos,, sales of 2 Extractive and commercial and misc. companies. securities held by affiliated cos. or RFC, special offerings to employees, 3 Railroad and other transportation companies. and also new stock issues and cash proceeds connected with conversions 4 Includes investment companies. of bonds into stocks. Retirements include the same types of issues, and also securities retired with internal funds or with proceeds of issues for Note.—Securities and Exchange Commission estimates of cash trans­ that purpose shown on opposite page. actions only. As contrasted with data shown on opposite page, new issues OPEN-END INVESTMENT COMPANIES (In millions of dollars) Sales and redemption Assets (market value Sales and redemption Assets (market value of own shares at end of period) of own shares at end of period) Year Month Sales 1 Re ti d o e n m s p­ s N al e e t s Total 2 po C si a t s io h n 3 Other Sales 1 Re ti d o e n m s p­ s N al e e t s Total 2 po C si a t s i h o n3 Other 1955............. 1,207 443 765 7,838 438 7,400 1966—-Apr... 475 192 284 37,136 2,107 35,029 1956.............. 11347 433 914 91046 492 8,554 May.. 450 189 261 35,453 2,278 33,175 1957............. 1,391 406 984 8,714 523 8,191 June.. 350 163 186 35,429 2’337 33,092 1958.............. 1,620 511 1,109 13,242 634 12,608 July... 363 153 210 3 5,'082 2,’472 32,610 Aug... 357 187 170 32^553 2’,657 29,896 1959.............. 2,280 786 1,494 15,818 860 14,958 Sept... 327 145 182 32,223 3,036 29,187 (960.............. 21097 842 1,255 17,026 973 16,053 Oct.. . 329 133 196 33'483 1244 30 239 1961.............. 21951 1.160 1,791 221789 980 21,809 Nov... 295 143 152 34^497 3^206 31*291 1962.............. 21699 1,123 1,576 211271 1,315 19,956 Dec.,. 300 151 149 34^829 2 971 31 858 1963.............. 2,460 1,504 952 25,214 1,341 23,873 1967—Jan.... 391 183 209 37,230 2 869 34 361 1964.............. 31404 11875 1,528 29,116 1,329 27,787 Feb.,. 298 179 120 38,034 2,'866 35*168 1965.............. 41359 11962 2,395 35,220 1 ,803 33,417 Mar. . 389 226 163 39’443 2,682 36,761 1966........ <671 2,005 2,665 34,829 21971 31,858 Apr... 358 214 144 41', 191 2,666 38’525 t Includes contractual and regular single purchase sales, voluntary Note.—Investment Company. Institute data based on reports of mem­ and contractual accumulation plan sales, and reinvestment of invest­ bers, which comprise substantially all open-end investment companies ment income dividends; excludes reinvestment of realized capital gains registered with the Securities and Exchange Commission. Data reflect dividends. 2 Market value at end of period less current liabilities. newly formed companies after their initial offering of securities. 3 Cash and deposits, receivables, all U.S Govt, securities* and other short-term debt securities, less current liabilities. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1018 BUSINESS FINANCE JUNE 1967 SALES, PROFITS, AND DIVIDENDS OF LARGE CORPORATIONS (In millions of dollars) 1965 1966 1967 Industry 1962 1963 1964 1965 1966 ' II III IV I II IIP IV' I Manufacturing Total (177 corps.): Sales....................................... 136,545 147,380 158,253 176,676 195,653 45,344 41,946 46,644 47,068 49,718 46,225 52,642 48,515 Profits before taxes............... 15,330 17,337 18,734 22,043 23,163 6,021 4,723 5,782 5,934 6,355 4,881 5,994 5,154 Profits after taxes................. 8,215 9,138 10,462 12,482 13,206 3,399 2,732 3,269 3,323 3,620 2,845 3,418 2,933 Dividends..................... 5,048 5,444 5,933 6,541 7,193 1,629 1,435 2,066 1,569 1,740 1,916 1,968 1,680 Nondurable goods industries (78 corps.):1 Safes..........5..2..,.2.4..5.. ....5..5..,.3..7..2 59,770 64,635 73,230 16,131 16,320 16,732 17,299 18,374 18,320 19,237 18,756 Profits before taxes....................... 5,896 6,333 6,881 7,818 8,865 1,985 2,014 2,014 2,132 2,334 2,305 2,094 2,136 Profits after taxes......................... 3,403 3,646 4,121 4,798 5,401 1,213 1,222 1,251 1,295 1,404 1,389 1,313 1,312 Dividends..................................... 2,150 2,265 2,408 2,541 2,717 607 617 711 650 668 673 726 732 Durable goods industries (99 corps.):2 Sales...................................... 84,300 92,008 98,482 112,041 122,423 29,214 25,626 29,912 29,769 31,344 27,905 33,405 29,759 Profits before taxes............... 9,434 11,004 11,853 14,225 14,300 4,036 2,709 3,768 3,802 4,021 2,577 3,901 3,018 Profits after taxes................. 4,812 5,492 6,341 7,684 7,804 2,186 1,509 2,018 2,027 ^2,216 I ,456 2J05 1,621 Dividends............................... 2,898 3,179 3,525 4,000 4,476 1,022 819 1,355 919 1,072 1 ,243 1,242 948 Selected industries: Foods and kindred products (25 corps.): Sales.......................................... 13,457 14,301 15,284 16,345 18,695 4,082 4,194 4,200 4,331 4,491 4,782 5,092 5,012 Profits before taxes....................... 1,460 1,546 1 ,579 1,710 1,911 433 452 436 438 488 504 481 448 Profits after taxes......................... 698 747 802 896 1,007 225 234 236 231 257 262 257 237 Dividends...................................... 425 448 481 508 564 125 126 133 137 142 139 146 147 Chemical and allied products (20 corps.): Sales............................................... 13,759 14,623 16,469 17,938 19,942 4,492 4,565 4,642 4,861 5,195 4,824 5,063 4,998 Profits before taxes....................... 2,162 2,286 2,597 2,878 3,053 758 734 707 764 850 789 650 683 Profits after taxes......................... 1,126 1,182 I ,400 1,627 1,735 424 409 409 431 475 443 386 391 Dividends.................................... 868 904 924 926 948 213 215 285 221 224 234 269 225 Petroleum refining (16 corps.): Sales,....................................... 15,106 16,043 16,589 17,878 20,857 4,449 4,454 4,571 4,811 5,195 5,298 5,554 5,390 Profits before taxes..................... 1,319 1,487 1,560 1,946 2,398 473 504 530 580 586 631 601 684 Profits after taxes......................... 1,099 1,204 1,309 1,555 1,829 386 400 406 442 449 479 459 505 Dividends...................................... 566 608 672 752 826 183 187 200 203 207 204 212 232 Primary metals and products (34 corps.): Sales........................................... 21,260 22,116 24,195 26,530 28,517 7,091 6,657 6,167 6,522 7,447 7,309 7,239 6,801 Profits before taxes................... 1,838 2,178 2,556 2,951 3,291 865 695 623 691 933 857 810 695 Profits after taxes............... 1,013 1,183 1,475 1,704 1,900 493 402 373 399 537 490 474 401 Dividends,................................... 820 734 763 818 924 200 202 221 216 218 230 260 222 Machinery (24 corps.): Sales....................................... 19,057 21,144 22,558 25,148 30,111 6,305 6,286 6,785 6,955 6,889 7,538 8,729 7,613 Profits before taxes....................... 1 ,924 2,394 2,704 3,116 3,592 817 764 788 877 911 851 953 858 Profits after taxes............... 966 1,177 1,372 1,621 1,865 426 400 410 441 480 444 500 439 Dividends.................................... 531 577 673 775 912 187 189 207 217 225 226 244 231 Automobiles and equipment (14 corps,): Sales..........2.9..,.1...5..6.. ...3..2...,.9..2..7. 35,338 42,662 43,641 11,450 8,281 12,032 11,718 11,728 8,046 12,149 10,4(3 Profits before taxes...................... 4,337 5,004 4,989 6,263 5,274 1,883 756 1,797 1 ,780 1,615 313 1,566 1,050 Profits after taxes......................... 2,143 2,387 2,626 3,298 2,867 1,004 430 923 935 893 224 815 583 Dividends...................................... 1,151 1,447 1,629 1 ,890 1,775 520 307 759 360 503 361 551 363 Public utility Railroad: Operating revenue........................ 9,440 9,560 9,778 10,208 10,654 2,582 2,575 2,668 2,518 2,728 2,690 2,718 n.a. Profits before taxes....................... 729 816 829 980 1,088 259 248 328 213 '327 280 268 n.a. Profits after taxes......................... 572 651 694 816 902 213 206 276 172 259 227 244 n.a. Dividends............................... 367 383 438 468 496 118 81 161 113 109 113 161 n.a. Electric power: Operating revenue................ 13;489 14,294 15,156 15,961 16,908 3,822 3,901 4,011 '4,401 '4,026 4,236 4,246 4,697 Profits before taxes....................... 3,583 3,735 3,926 4,116 4,395 949 1,036 977 1,215 987 1,153 1,041 1,279 Profits after taxes......................... 2,062 2,187 2,375 2,568 2,764 597 626 632 758 632 702 673 799 Dividends...................................... 1,462 1,567 1,682 1,833 1,932 438 437 491 473 486 475 505 518 Telephone: Operating revenue...................... 9,196 9,796 10,550 11,320 12,420 2,790 2,854 2,944 2,992 3,091 3,135 3,202 3,229 Profits before taxes..................... 2,639 2,815 3,069 3,185 3,537 766 830 806 851 907 911 868 869 Profits after taxes........................ 1,327 1 ,417 1,590 1,718 1,903 419 447 432 460 488 487 468 472 Dividends............................. 935 988 1,065 1, 153 1,248 284 294 296 302 309 317 320 304 i Includes 17 corporations in groups not shown separately. Telephone: Data obtained from Federal Communications Commis­ 2 Includes 27 corporations in groups not shown separately. sion on revenues and profits for telephone operations of the Bell System Consolidated, (including the 20 operating subsidiaries and the Long Note.—Manufacturing corporations: Data are obtained primarily from Lines and General Depts, of American Telephone and Telegraph Co.), published reports of companies. and for 2 affiliated telephone companies. Dividends are for the 20 opera­ Railroads: Interstate Commerce Commission data for Class I line­ ting subsidiaries and the 2 affiliates. haul railroads. All series: Profits before taxes are income after all charges and before Electric power: Federal Power Commission data for Class A and B Federal income taxes and dividends. electric utilities, except that quarterly figures on operating revenue and Back data available from the Division of Research and Statistics. profits before taxes are partly estimated by the Federal Reserve to include affiliated nonelectric operations, Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 BUSINESS FINANCE 1019 CORPORATE PROFITS, TAXES, AND DIVIDENDS (In billions of dollars) Corporate Corporate Year P b t e r a o f x o f e i r s t e s c ta o I x n m e ­ s e P t a r a o f x t f e e it s r s d C d e i a n v s d i h ­ s t U r p i r b n o u d fi t i t e s s ­ d co c a n a l t l i s p o o u i w n t m a ­ l p ­ Quarter P b t r e a o f x o f e i r s t e s c ta o I x n m e ­ s e P t a r a f o x t f e e i r s ts d C d e i a n v s d i h ­ s tr U p i r b n o u d f t i i e t s s d ­ co c a t n a l i l o s p o u n i w t m a ­ l p ­ ances 1 ances t 1959.............. 52.1 23.7 28.5 12.6 15.9 23.5 1965—1. . .. 74.5 30.7 43.8 18.1 25.7 35.2 I960.............. 49.7 23.0 26.7 13.4 13.2 24.9 11.... 74.5 30.7 43.8 18.8 25.0 36.0 HI... 75.0 30.9 44.1 19.5 24.6 36.8 1961........ 50.3 23,1 27.2 13.8 13.5 26.2 IV... 78.7 32.4 46.3 20.2 26.1 37.2 1962........ 55.4 24.2 31.2 15.2 16.0 30.1 1963.............. 59.4 26.3 33.1 16.5 16.6 31.8 1966—1. . .. 82.7 34.1 48,7 20.9 27.8 37.7 1964.............. 67.0 28.4 38.7 17.3 21.3 33.9 IL... 82.8 34.1 48.7 21.1 27.6 38.5 1965.............. 75.7 31.2 44.5 19.2 25.3 36.3 III... 81.9 33.7 48.2 21.1 27.1 39.1 1966 c...... 82.3 33.9 48.4 21.0 27.5 38.8 IV. .. 81.8 33.7 48.1 20.7 27.4 39.7 1967—I. .. . 77.3 32.0 45.3 21.5 23.8 40.3 1 Includes depreciation, capital outlays charged to current accounts, and Note.—-Dept, of Commerce estimates. Quarterly data are at seasonally accidental damages. adjusted annual rates. ' CURRENT ASSETS AND LIABILITIES OF CORPORATIONS (In billions of dollars) Current assets Current liabilities Net Notes and accts, Notes and accts, End of period working U. S. receivable payable Accrued capital Total Cash s G ec o u v r t i . ­ I t n o v ri e e n s ­ Other Total F in e c d o e m ra e l Other ties G U o . v S t . .1 Other G U o . v S t . .1 Other taxes 1961.............................. 148.8 304.6 40.7 19.2 3.4 133.3 95.2 12.9 155.8 1.8 110.0 14.2 29.8 1962.............................. 155.6 326.5 43.7 19.6 3.7 144.2 100.7 14.7 170.9 2.0 119,1 15.2 34.5 1963 ............................. 163.5 351.7 46.5 20.2 3.6 156.8 107.0 17.8 188.2 2.5 130.4 16.5 38.7 1964............................. 172.3 372.6 47.1 18,8 3.4 170.6 114.0 18.8 200.3 2.7 139.6 17.2 40.7 1965.......................... 183.4 407.9 49.2 16.7 3.9 189.6 126.3 22.1 224.5 3.1 157.6 19.2 45.0 1966—I......................... 186.0 413.7 46.9 16.9 3.9 192.5 130.2 23.4 227.7 3.8 157.5 19.1 47.3 II...................... 190.4 423.6 47.7 15.3 4.0 198.4 134.4 23.7 233.1 3.9 163.4 16.7 49.1 in...................... 191.5 431.4 46.9 14.6 4.2 202,8 139.4 23.5 239.9 4.4 167.1 17.9 50.4 IV..................... 192.7 441.6 49.3 15.5 4.5 204.4 144.5 23.3 248.9 4.9 173.4 19.1 51.6 1967—1......................... 195.2 442.4 46.5 14.4 4.4 204.4 148.2 24,5 247.2 5.4 170.8 18.6 52.4 1 Receivables from, and payables to, the U.S. Govt, exclude amounts Note.—Securities and Exchange Commission estimates; excludes offset against each other on corporations* books. banks, savings and loan assns., insurance companies, and investment companies. BUSINESS EXPENDITURES ON NEW PLANT AND EQUIPMENT (In billions of dollars) Manufacturing Transportation Total Period Total Durable d N ur o a n bl ­ e Mining Railroad Other u P ti u l b it l i i e c s n C ic o a m ti m on u s ­ Other 1 a ( r n S a n . t u A e) a . l 1959......................................... 32.54 5.77 6.29 .99 .92 2.02 5.67 2.67 8.21 I960......................................... 35.68 7.18 7.30 .99 1.03 1.94 5.68 3.13 8.44 1961........................................ 34.37 6.27 7.40 .98 .67 1.85 5.52 3.22 8.46 1962......................................... 37.31 7.03 7.65 1.08 .85 2.07 5.48 3.63 9.52 1963......................................... 39.22 7,85 7,84 1.04 1.10 1.92 5.65 3.79 10.03 1964......................................... 44.90 9.43 9.16 1.19 1.41 2.38 6.22 4.30 10.83 1965......................................... 51.96 11.40 11.05 1.30 1.73 2.81 6.94 4.94 11.79 1966......................................... 60.63 13.99 13.00 1.47 1.98 3.44 8.41 5/62 12.74 19672...................................... 63.00 14.64 13.30 1.58 1.48 3.94 9.15 18.91 1965—11.................................. 12.81 2.76 2.70 .33 .44 ,77 1.71 1.24 2.85 50.35 Ill................................ 13.41 2.91 2.82 ,32 .44 .72 1.88 1,22 3.10 52.75 IV................................. 14.95 3.48 3.24 .35 .46 .73 2.04 1.41 3.25 55.35 1966—1................................... 12.77 2.87 2.74 .33 .40 .75 1.60 1.26 2.83 58.00 II.................................. 15.29 3.51 3.27 .40 .55 1.00 2.09 1.42 3.06 60.10 15.57 3.54 3.30 .37 .48 .82 2.36 1,36 3.33 61.25 IV................................. 17.00 4.07 3.68 .38 .55 .86 2.36 1.58 3.52 62.80 1967—1................................... 13.59 3.08 3.02 .32 .41 .70 1.84 1.35 2.87 61.65 II 2 r............................. 15.62 3.58 3.31 .38 .40 1.09 2,35 4.51 61.55 Ill 2............................. 15.85 3.61 3.42 .41 .38 1 ,01 2.49 4.54 62.80 1 1 Includes trade, service, finance, and construction. Note.—Dept, of Commerce and Securities and Exchange Commission 2 Anticipated by business. estimates for corporate and noncorporate business, excluding agriculture. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1020 REAL ESTATE CREDIT JUNE 1967 MORTGAGE DEBT OUTSTANDING (In billions of dollars) AU properties Farm Nonfarm Other Multifamily and Mortgage holders2 1- to 4-family houses commercial properties * type 3 End of period All Finan­ All Finan­ Other All h e o r l s d­ tu i t c n i i o s a t n l i ­ s i a U c g i . e e S n s . ­ v o I i t a d n h n u d e d a i r l ­ s s h e o r l s d­ tu i t c n io i s a t n l i s ­ 1 h e o rs l d 3 ­ h e o r l s d­ Total t F u i t i n i n o s a t n i n ­ s , ! O h e o th r l s d e ­ r Total tu F i t n i i n o s a t n i n ­ s , 1 O h e o t r h l s d e ­ r w u F V n r H i d A t A t e e - r n - ­ t C i v o e o n n n a ­ ­ l 1941........... 37.6 20.7 4.7 12.2 6.4 1.5 4.9 31,2 18.4 11.2 7.2 12.9 8.1 4,8 3.0 28.2 1945........... 35.5 21.0 2,4 12.1 4.8 1.3 3.4 30.8 18.6 12.2 6.4 12.2 7.4 4.7 4.3 26.5 1961........... 226.3 172.6 11.8 41.9 13.9 5 0 8.9 212.4 153.1 128.2 24.9 59.3 39.4 19.9 65,5 146.9 1962........... *248.6 192.5 12.2 *44.0 15.2 5.5 9.7 *233.4 166.5 140.4 26.0 *66.9 46,6 r20,4 69.4 rI64.l 1963........... ’’274.3 217.1 11.2 *45.9 16.8 6.2 10,7 r257.4 182.2 156,0 26.2 *75.3 54.9 *20,3 73.4 *184.0 1964........... r300.1 241.0 11.4 *47.7 18.9 7.0 U.9 *281.2 197.6 170.4 27.2 *83,6 63.7 r19 9 77.2 r204 0 1965........... *326.2 264.5 12.4 *49. 3 21.2 7. 8 13.4 *305,0 213.7 185.1 28.6 *91.3 71.6 r19.7 81.2 '223.8 1966*1......... 347.4 280.9 15.8 50.6 23.3 8.4 14.9 324.1 225.4 194,0 31.4 98.7 78.5 20.2 84.0 240 1 1965—I.. .. *305.3 245.8 11.6 *47.9 19.5 7.2 12.3 *285.8 200.7 173.3 27.4 *85.1 65.3 r19.8 77.9 *207.9 II. . . *312.5 252.2 11.7 *48.6 20.2 7.4 12,8 *292.3 205.1 177.4 27.7 *87.2 67.4 *19.8 78.7 •213.6 in... ••319.4 258.6 11.9 *49.0 20.7 7.6 13.1 *298.7 209.6 181.5 28.0 *89.2 69.4 •19.7 80.0 •218.7 IV... *326.2 264.5 12.4 *49.3 21.2 7.8 13.4 *305.0 213.7 185. 1 28.6 *91.3 71.6 •19.7 81.2 *223.8 1966—Ip... 331.9 269.3 13.5 49.1 21.8 8.0 13.7 310.1 216,9 187.9 29.0 93.2 73.3 19.9 82.1 228.0 Hp.. 338.4 274.4 14.4 49.7 22.5 8.2 14.2 316.0 220,7 190.9 29.8 95.3 75.2 20.1 82.6 233.4 IIP.. 343.4 278.0 15.2 50.2 23.0 8.4 14.6 320.5 223.3 192.7 30.6 97.1 77.0 20.2 83.4 237.1 IV*. 347.4 280.9 15.8 50.6 23.3 8.4 14.9 324.1 225.4 194.0 31.4 98.7 78.5 20.2 84.0 240. 1 1 Commercial banks (including nondeposit trust companies but not are shown on second page following. trust depts.), mutual savings banks, life insurance companies, and savings and loan assns. Note.—Based on data from Federal Deposit Insurance Corp., Federal 2 U.S. agencies are FNMA, FHA, VA, PHA, Farmers Home Admin., Home Loan Bank Board, Institute of Life Insurance, Depts, of Agricul­ and Federal land banks, and in earlier years, RFC, HOLC, and FFMC. ture and Commerce, Federal National Mortgage Assn,, Federal Housing Other U.S agencies (amounts small or current separate data not readily Admin., Public Housing Admin., Veterans Admin,, and Comptroller available) included with “individuals and others.’’ of the Currency. 3 Derived figures; includes debt held by Federal land banks and farm Data shown have been adjusted to allow for recent revisions by Dept, debt held by Farmers Home Admin. of Commerce of end-of-year figures on multifamily and commercial 4 Derived figures; includes small amounts of farm loans held by properties back to 1962. savings and loan assns. Figures for first 3 quarters of each year are F.R. estimates. 5 Data by type of mortgage on nonfarm 1- to 4-family properties alone MORTGAGE LOANS HELD BY BANKS (In millions of dollars) Commercial bank holdings 1 Mutual savings bank holdings 2 Residential Residential End of period Other Total Total FH in A ­ - g V u A ar - ­ C ve o n n ­ ­ f n a o rm n­ Farm Total Total FH in A ­ - g V u A ar - ­ C ve o n n ­ ­ O n fa o t r h n m e ­ r Farm sured anteed tional sured anteed tional 1941............................... 4,906 3,292 1,048 566 4,812 3,884 900 28 1945............................... 4,772 3'395 856 521 4,208 3,387 797 24 1961............................... 30,442 21,225 5,975 2,627 12,623 7,470 1,747 29,145 26,341 8,045 9,267 9,029 2,753 51 1962............................... 34'476 23,482 6,520 2,654 14,308 8,972 2,022 32,320 29'181 9,238 9,787 10,156 3 088 51 1963............................... 39,414 26,476 7 J05 2,862 16’509 10'611 2,327 36,224 32 718 10’684 10 490 11 544 3 454 52 1964............................... 43.976 28,933 7,315 2,742 18,876 12,405 2 638 40,556 36 487 12 287 11 121 13 079 4 016 53 1965............................... 49,675 32’,387 7,702 2’688 21,997 14’, 377 2,911 44,617 40,096 13,791 11,408 14*897 4,469 52 1966?............................. 54,704 47’396 1965—1......................... 44.799 29,388 7,329 2,722 19,337 12,723 2.688 41,521 37,357 12,664 11,228 13 465 4 112 52 II........................ 46 ,'548 30’383 7^469 2,712 20,202 13,371 2,794 42;467 38,214 13,036 11,322 13 856 4’262 51 Ill...................... 48,353 31,574 7^641 2,700 21,233 13,926 2'853 43'539 39,153 13,412 11,368 14,373 4 334 52 IV....................... 49,675 32,387 7,702 2'688 21^997 14,377 2'9H 44,617 40’096 13'791 11 408 14 897 4 469 52 1966—P........................ 50,650 32,822 7,717 2,659 22,446 14,840 2,988 45,370 40,700 13,956 11,408 15,336 4,617 53 Up..................... 52,306 33,800 7; 769 2,654 23;377 15,478 3,028 45,883 4i;083 14;047 11 346 15,690 4 747 53 Ill®.................... 53,755 46,650 IVp.................... 54,704 47,396 1 Includes loans held by nondeposit trust companies, but not bank States and possessions. First and third quarters, estimates based on FDIC trust depts. data for insured banks for 1962 and part of 1963 and on special F.R. inter­ 2 Data for 1941 and 1945, except for totals, are special F.R, estimates. polations thereafter. For earlier years, the basis for first- and third-quarter estimates included F.R. commercial bank call data and data from the Note.—Second and fourth quarters, Federal Deposit Insurance Corpo­ National Assn, of Mutual Savings Banks. ration series for all commercial and mutual savings banks in the United Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 REAL ESTATE CREDIT 1021 MORTGAGE ACTIVITY OF LIFE INSURANCE COMPANIES (In millions of dollars) Loans acquired Loans outstanding (end of period) Nonfarm Nonfarm Period Total Total in F s H u A re - d a g n V u t A e a e r - ­ d Other 1 Farm 1 Total Total in F s H u A re - d a g n V u t A e a e r - ­ d Other Farm 1945.............................................. 976 6,637 5,860 1,394 4,466 766 1961.............................................. 6,785 6,233 1,388 220 4,625 552 44,203 41,033 9,665 6,553 24,815 3,170 1962............................................. 7,’478 6'859 l’355 469 5*035 619 46^902 43,502 10,176 6^ 395 26,931 3400 1963............................................. 9,172 8,306 1,598 678 6,030 866 50,544 46,752 10'756 6,401 29,595 3,792 1964............................................. 10'433 9,386 1’812 674 6,900 1,047 55452 50,848 11,484 6,403 32,961 4404 1965............................................. 11,137 9’988 1 J38 553 7,697 1,149 60’013 55'190 12,068 6,286 36,836 4,823 1966*........................................... 10^202 9,210 1 311 458 7,441 992 64'803 59,563 12,411 6',209 40,943 5’240 1966—Mar.r................................ 977 805 140 47 618 172 61,278 56,310 12,267 6,285 37,758 4,968 Apr.................................... 897 756 121 29 606 141 61,710 56,653 12,299 6,262 38,092 5,057 May.................................. 816 709 93 31 585 107 62,101 56,980 12,310 6,244 38,426 5,121 June.................................. 908 830 107 34 689 78 62,547 57^381 12,330 6,225 38,826 5,166 July................................... 869 815 106 31 678 54 62,969 57’778 12,335 6,210 39,233 5,191 Aug................................... 791 746 94 38 614 45 63'336 58 ,’128 12,340 6,201 39487 5,208 Sept............................ 781 735 83 35 617 46 63,683 58,457 12,344 6,191 39,922 5,226 Oct.................................... 718 675 86 41 548 43 64,007 58,775 12,362 6,190 40,223 5,232 708 673 89 41 543 35 64', 353 59,118 12,393 6’195 40,530 5,235 947 888 82 47 759 59 64,803 59,563 12,411 6,209 40,943 5’240 1967—Jan.................................... 766 699 89 47 563 67 65,193 59,965 12,441 6,222 41,302 5,228 Feb.................................... 684 617 75 32 510 67 65,503 60,259 12,459 6,21t 41 589 5,244 Mar................................... 721 632 80 44 508 89 65,798 60425 12,468 6,217 41,840 5,273 I Certain mortgage loans secured by land on which oil drilling or monthly figures may not add to annual totals and for loans outstanding, extracting operations in process were classified with farm through June the end-of-Dec. figures may differ from end-of-year figures, because (1) 1959 and with “other” nonfarm thereafter. These loans totaled S38 monthly figures represent book value of ledger assets whereas year-end million on July 31, 1959. figures represent annual statement asset values, and (2) data for year-end adjustments are more complete. Note,—Institute of Life Insurance data. For Ioans acquired, the MORTGAGE ACTIVITY OF SAVINGS AND LOAN ASSOCIATIONS FEDERAL HOME LOAN BANKS (In millions of dollars) (In millions of dollars) Loans made Loans outstanding (end of period) Advances outstanding (end of period) New Period Ad­ Repay- Members’ Period Total 1 s h c t o r o u m n c ­ e ­ H c p h o u a m r s ­ e e Total ^ F su H in re A ­ d - a g n V u t A e a e r - ­ d t C i v o e o n n n a ­ ­ l vances ments Total t S e h rm or t­ * t L e o rm ng ­ 1 deposits tion 1945...................... 278 213 195 176 19 46 1945........... 1 913 181 1 358 5,376 1961...................... 2,882 2,220 2,662 1,447 1,216 1,180 1961............ 17,364 5,081 7,207 68,834 4,167 7,152 57,515 1962...................... 4,111 3’294 3’479 2,005 1’474 1,213 1962............ 20’754 5,979 8,524 78,770 4,476 7’610 67,284 1963...................... 5,601 4,296 4^784 2,863 1’921 11151 1963............ 24’735 7’039 9,920 90,944 4^696 6,960 79^288 1964 ..................... 5,565 5^025 5 325 2 846 2’479 I ’ 199 1964............ 24405 6415 10,397 101,333 4,894 6,683 89’756 1965...................... 5,007 4,335 5^997 3,074 2,923 1 ^043 1965............ 23447 5,922 10,697 110,202 5,141 6'391 98'670 1966....................... 3,804 2; 866 6,935 5,006 1,929 1,036 1966............ 16,729 3,604 7 ’,748 114,089 5,266 6,150 102,673 1966—Apr............ 967 138 6,516 3,343 3,173 811 1966—Mar,. 1,998 454 814 112,001 5,195 6,331 100,475 May........... 339 152 6,704 3*691 3'012 840 Apr.. 1,888 430 798 112,736 5,212 6,311 101,213 June 171 92 6'783 3,865 2,918 972 May. 1,696 390 773 113,249 5,236 6,293 101,720 July............ 838 279 7,342 4,471 2'871 710 June. 1,629 340 823 113,669 5,245 6,279 102.145 Aug.. 146 262 7,226 4,625 2,601 698 July.. 1,234 266 643 113,750 5,235 6,254102,261 Sept............ 99 150 7'175 4,627 2'548 727 Aug.. 1,314 272 722 113,897 5,246 6,236 102,415 Oct............. 300 226 7'249 4,939 2’310 767 Sept.. 1,119 241 572 114,004 5,253 6,203102,548 Nov....... 104 269 7^084 4,993 2,091 863 Oct.. 947 208 473 113,998 5,251 6,182 102,565 Dec............ 68 217 6,935 5,006 1 ^929 1,036 Nov 866 184 423 113,977 5,257 6,167 102,553 Dec.. 936 189 423 114,089 5,266 6,150102,673 1967—Jan............. 224 818 6,340 4,814 1,526 1,088 Feb............. 49 589 5 ,'800 4,730 i ,070 1,240 1967—Jan... 788 165 365 114,130 5,274 6,136 102,720 Mar....... 30 655 5,175 4.262 913 1'490 Feb.. 950 205 420 114,298 5,275 6,133 102,890 Apr. ...... 59 452 4^782 3,976 806 1,648 Mar, 1 ,347 306 571 114,698 5,293 6,135 103,270 Apr?. 1,336 309 582 115,152 5,316 6,134103,702 i Secured or unsecured loans maturing in 1 year or less. 2 Secured loans, amortized quarterly, having maturities of more than t Includes loans for repairs, additions and alterations, refinancing, etc,, 1 year but not more than 10 years. not shown separately. 2 Beginning with 1958, includes shares pledged against mortgage loans; Note.—Federal Home Loan Bank Board data. beginning with 1966, includes real estate sold on contract not acquired by foreclosures; and beginning with 1967, includes real estate sold on contract acquired by foreclosure. Note.—Federal Home Loan Bank Board data. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1022 REAL ESTATE CREDIT JUNE 1967 GOVERNMENT-UNDERWRITTEN RESIDENTIAL LOANS MADE MORTGAGE DEBT OUTSTANDING ON NONFARM 1- to 4-FAMILY PROPERTIES (In millions of dollars) (In billions of dollars) FHA-insured VA-guaranteed Governmentunderwritten Period Total h N om M ew e o s rtga h i g s o E e t m i x s n ­ e g s e P c r t o s j­ 1 m p P e r e i r o m r n o t v t y p ­ s e ­ ­ 1 Total 3 h N om M ew e o s rtga h i . g s o E e t m i x s n ­ e g s E pe n r d io o d f Total Total s F u i H n re ­ A d - a g n V u te A a e r - d ­ i t C i v o e o n n n a ­ ­ l 1945................ 18.6 4.3 4.1 .2 14.3 1945............................ 665 257 217 20 171 192 1961................ 153.1 59.1 29.5 29.6 93.9 1961............................ 6,546 1,783 2 982 926 855 1 829 1 170 656 1962................ 166.5 62.2 32.3 29.9 104.3 1962............................ 7,184 1’849 3 421 1 079 834 2 652 I 357 1 292 1963............... 182.2 65.9 35.0 30.9 116.3 1963............................ 7,216 1,664 3,905 *843 804 3 045 1*272 1 770 1964............... 197.6 69.2 38.3 30.9 128.3 1964............................ 8,130 L608 4 965 895 663 2 846 1 i023 1,821 1965*.............. 213.7 73.1 42.0 31.1 140.6 1965............................ 8,689 1,705 5,760 591 634 2^652 876 1,774 1966*.............. 225.4 76.0 44.8 31.2 149.4 1966............................ 7,320 1 ,'729 4 366 583 641 2'600 980 I 618 1964—1.......... 185.4 66.6 35.7 31.0 118.8 1966—Apr.................. 636 139 376 66 54 132 51 81 [I......... 189.8 67.3 36.3 30.9 122.5 May............... 608 137 361 56 55 167 62 104 Ill........ 193.9 68.4 37.4 31.1 125.4 June................. 685 152 405 69 60 205 71 134 IV........ 197.6 69.2 38.3 30.9 128.3 July,......... 604 136 368 42 58 219 72 147 Aug.................. 622 159 387 18 57 287 96 191 1965—1.......... 200.7 70.1 39.0 31.1 130.6 Sept................. 610 149 367 27 257 96 161 II 205.1 70.7 39.7 31,0 134.4 Oct................... 508 140 275 38 54 271 110 160 HI*.... 209.6 72.0 40.9 31.1 137.5 Nov............ 446 130 238 26 51 247 110 137 IV*. . .. 213,7 73.1 42.0 31.1 140.6 Dec.................. 409 113 214 35 46 226 104 121 1966—I*......... 216.9 74.1 43.0 31.1 142.8 1967—Jan................... 449 U6 263 26 44 214 100 113 II*........ 220.7 74.6 43.7 30.9 146.1 Feb.................. 364 91 210 32 31 169 77 91 IIP.... 223.3 75.4 44.4 31.0 147.9 490 96 292 55 47 195 83 112 IV*.... 225.4 76.0 44.8 31.2 149.4 Apr.................. 440 89 270 41 40 184 70 114 1 Includes outstanding amount of VA vendee 1 Monthly figures do not reflect mortgage amendments included in annual totals. accounts held by private investors under repurchase 2 Not ordinarily secured by mortgages. agreement. J Includes a small amount of alteration and repair loans, not shown separately; only such loans in amounts of more than $1,000 need be secured. Note,—For total debt outstanding, figures arc FHLBB and F.R. estimates. For conventional, Note.—Federal Housing Admin, and Veterans Admin, data. FHA-insured loans figures arc derived. represent gross amount of insurance written; VA-guaranteed loans, gross amounts of Ioans Based on data from Federal Home Loan Bank closed. Figures do not take into account principal repayments on previously insured or Board, Federal Housing Admin., and Veterans Admin. guaranteed loans. For VA-guaranteed loans, amounts by type are derived from data on number and average amount of loans closed. FEDERAL NATIONAL MORTGAGE ASSOCIATION ACTIVITY MORTGAGE DEBT OUTSTANDING ON INCOME PROPERTIES (In millions of dollars) (In billions of dollars) Mortgage holdings Mortgage transactions Com­ Nonfarm (during mit­ End of period) ments End of period Total Farm period Total F su H i r n e A ­ d - a g n V u t A e a e r - ­ d Pur­ Sales bu d u r i n s s ­ e ­ d Total in F s H u A re - d C ti o o n n v a e l n­ chases 1945 ................................ 17,0 12.2 12.2 4.8 1961........................... 6,093 3,490 2,603 815 541 631 1961............................... 73.2 59.3 6.4 52.9 13.9 1962........................... 5,923 L571 2,353 740 498 355 1962............................... *82 1 *66.9 7 2 *59 7 15 2 1963........................ 4,650 3,017 1’634 290 1 114 191 1963............................... *92.1 *75.3 7 5 *67 8 16.8 1964........................... 4'412 2,996 1,416 424 251 313 1964............................... r102.5 *83.6 7 9 *75.7 18.9 1965........................... 4,731 3.404 1'327 913 200 793 1965............................... rlt2.5 *91.3 8 0 *83 3 21 2 1966........................... 7^063 5’407 1,656 2,701 705 1966*............................. 122 0 98.7 8 0 90 7 23 3 {966— J J A M u u p n a ly r y e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 6 6 5 , ' ' , 0 3 ' 7 9 8 1 4 2 2 9 4 2 4 4 4 4 , , , , 5 4 7 2 8 3 8 6 1 0 7 8 1 1 1 1 , , ’ , ' 5 4 5 4 3 7 0 9 1 2 6 2 2 2 2 1 6 0 5 9 5 9 0 4 6 6 6 5 9 5 2 1 1 1 0 5 1964—1 I I IV I l .. . l . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . r1 * * * 0 9 9 9 2 6 9 4 . . . 8 5 0 5 * * * * 8 7 7 8 3 6 8 1 . . . 7 7 0 6 7 7 7 7 . . 6 7 9 8 * r * * 6 7 7 7 1 3 9 5 0 2 7 1 1 1 1 1 8 7 8 8 ,9 5 3 1 Aug......... 6’464 4,916 1 ^548 180 512 Sept................ 6',592 5^028 1’564 159 532 1965—1.......................... *104 6 *85.1 7 9 *77 2 19.5 Oct................. 6,731 5,146 1,585 168 576 II......................... *107,4 *87.2 8 0 *79 2 20 2 D N e o c v . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 6* ,0 8 6 91 3 5 5 , , 4 27 0 2 7 1 1 , , 6 6 5 19 6 2 1 0 8 2 8 7 6 0 1 5 7 I I V ll . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . * r1 1 1 0 2 9 5 9 * * 9 8 1 9 .2 3 8 8 0 O r * 8 8 3 1 .2 3 2 21 0 7 2 1967—J F a e n b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 7 , , 3 2 3 1 1 6 5 5^ ,5 6 2 15 2 I 1 , ,’ 9 7 6 1 4 6 1 1 8 4 1 4 6 6 4 9 1 5 1966—1 II * * . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 1 1 5 7 0 8 9 9 5 3 . , 3 2 8 8 0 0 8 87 5 .2 3 2 2 1 2 8 5 Mar......... 7315 5,692 1^723 119 706 Ill*..................... 120.1 97 1 8 0 89.1 23 0 Apr................ 7,461 5^740 r,72i 78 ........7..4..4 IV*.................... 122.0 98.7 8.0 90.7 23’3 sub N je o c t t e .— to Fe p d a e r r t a ic l ip N at a io ti n o na p l o o M l o o r f tg a G ge o v A er s n s m n, e n d t a ta M , o in rt c g l a u g d e in g L i m qu o i r d tg a a ti g o e n s De N bt o t O e u .— tst B an as d e i d n g o ” n t a d b a le ta ( se fr c o o m nd s p a r m ec e e d s i o n u g r c p e a s g a e s ) , s a h n o d w f n o r f o ta r b " le M i o m r m tg e a d g i e ­ Trust, but excluding conventional mortgage loans acquired by FNMA ately above. from the RFC Mortgage Co., the Defense Homes Corp., the Public See also note to master table on page 1020. Housing Admin., and Community Facilities Admin. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 REAL ESTATE CREDIT 1023 TERMS ON CONVENTIONAL FIRST MORTGAGES New homes Existing homes Period C c t ( r r e p a o a n e t c n e t r t ) ­ c F c h e ( e a p e n r s e g t r ) e & 1 s M (y a e t a u r r s i ) ty L c r p ( a o e p r t i n a e c i n t r o e ) / (t d h c o p o P h l r u l u a i a s c s r r . e e ­ s o ) f (t a d h m L o o l o u o l a a s u n r . n s o ) t f C c t ( r r e p a a o n e t c n e t r t ) ­ c F c h e ( e a p e n r e s g t r ) e & * s M (y a e tu ar r s it ) y L p r c ( a p e o r t i n e a i c o r t n e ) / (t d h c o o p P h l u r l u a i a s c s r . r e e ­ s o ) f (t a h d m L o o u l o o l s a a u . n r n s o ) t f 1963....................... 5.84 .64 24.0 73.3 22,5 16,3 5.98 .60 19.2 70.8 17.8 12.6 1964....................... 5.78 .57 24.8 74. 1 23.7 17.3 5.92 .55 20.0 71,3 18.9 13,4 1965....................... 5.76 .54 24.8 74.1 24.7 18.1 5.89 .50 20.4 72.0 19.7 14.1 1966....................... 6.11 .69 24.4 72.8 26.4 19.0 6,24 .59 20.0 65.1 20.4 14.4 1966-—Apr............. 5.99 .57 24.6 73.9 25.1 18.2 6.09 .54 20.6 72,2 20.3 14.5 May............ 6.02 .57 24.7 73.4 26.5 19.2 6,16 .56 20.6 71.8 20.6 14.7 June........... 6.07 .57 24.8 74.4 26.7 19,7 6.18 .47 20.0 70.6 21.0 14.7 July............ 6.12 .67 24.2 72.1 27.1 19,3 6.24 .52 19.9 70.5 20.5 14.3 Aub. .. 6.18 .83 25.4 74.0 27.3 20.1 6.35 .61 19.8 70.6 20.8 14.7 Sept............ 6.22 .83 24.3 71.1 27.0 19.0 6.40 .64 19.4 69.5 20.4 14.0 Oct......... 6.32 .80 23.6 71.0 27.3 19.2 6.49 .71 19.2 69.5 20.4 14.1 Nov........ 6.40 .89 23.6 71.5 26,5 18.7 6.50 .74 19.5 69.5 20.4 14.1 Dec............. 6.44 .91 23.2 71.4 26.5 18.6 6.52 .70 19. 1 69.4 20.0 13.8 Dec.2...... 6.49 1.26 23.3 72.3 25.6 18.5 6.55 .81 20.2 70.8 20.8 14.7 Jan............. 6.47 1.17 23.8 73,3 26.3 19.3 6.54 .78 20.6 71.4 21.3 15.2 1967--Feb............. 6.44 1,07 23.6 73.8 24.7 18.0 6.49 .75 20.4 71.7 21.5 15.2 Mar............ f6.4l D.06 23.6 74. 1 25.6 18.7 6.44 .77 21.1 71.8 21.7 15.4 Apr............. 6.38 1.00 23.7 73.4 25.9 18,7 6.36 .73 20.9 72,2 21.9 15.6 1 Fees and charges—related to principal mortgage amount—include with Federal Deposit Insurance Corporation. Data are weighted averages loan commissions, fees, discounts, and other charges, which provide based on probability sample survey of characteristics of mortgages added Income to the lender and are paid by the borrower. They exclude originated by major institutional lender groups (including mortgage any closing costs related solely to transfer of property ownership. companies) for purchase of single-family homes. Data exclude loans for 2 New series currently available only beginning Dec. 1966, not strictly refinancing, reconditioning, or modernization; construction loans to comparable with earlier data. home-builders; and permanent loans that are coupled with construction loans to owner-builders. See also the table on Mortgages; New and Note,—Compiled by Federal Home Loan Bank Board in cooperation Existing Homes, p. 1006. DELINQUENCY RATES ON HOME MORTGAGES NONFARM MORTGAGE FORECLOSURES (Per 100 mortgages held or serviced) Rate Period Number (per cent of Loans not in foreclosure (thousands) mortgaged but delinquent for—• Loans in structures) End of period fore­ Total 30 days 60 days o 9 r 0 m da o y r s e closure 1 1 9 9 6 6 1 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 8 3 6 . . 1 4 . . 3 4 7 2 1963........................................ 98.2 .45 1961......................... 3.10 2.27 .50 .33 29 1964........................................ 108.6 48 1962......................... 3.04 2.26 .50 .29 30 1965........................................ 116.7 .49 1963 ......................... 3.30 2.32 .60 38 .34 1966...................................... 117 5 .48 1964......................... 3,21 2.35 .55 .31 ,38 1965......................... 3.29 2.40 .55 .34 .40 1965—1................................... 27,9 .48 1966......................... 3.40 2.54 .54 . 32 .36 ..............3..0....1.............. .52 HI........................ 29 J .50 1965—1.................... 2.94 2.06 .54 .34 .37 IV................................. 29.6 50 H................... 3.00 2.18 .52 .30 .38 HI.................. 3.20 2.30 .56 .34 .38 1966—1................................... 28.8 .48 IV.................. 3.29 2.40 .55 .34 .40 ..............3..0....8.............. .51 Ill................................ 29.3 .48 1966—1..................... 3.02 2.13 .55 .34 .38 IV................................. 28.6 .46 ........2....9.5 2.16 .49 .30 .38 HI................. 3.09 2.25 .52 .32 .36 IV................. 3.40 2.54 . 54 .32 .36 Note.—Federal Home Loan Bank Board estimates of number of nonfarm mortgaged structures at end of period and of non­ 1967—1.................... 3.04 2.17 .56 .31 .38 farm properties acquired during period through foreclosure proceedings (excluding voluntary deeds in lieu of foreclosure and defaults on real estate contracts). Data exclude Alaska and Note.—Mortgage Bankers Association of America data from reports on 1- Hawaii. to 4~fami)y FHA-insured, VA-guaranteed, and conventional mortgages held by more than 400 respondents, including mortgage bankers (chiefly), commercial banks, savings banks, and savings and loan associations. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1024 CONSUMER CREDIT JUNE 1967 TOTAL CREDIT (In millions of dollars) Instalment Noninstalment End of period Total Auto­ Other Repair Single­ Total m p o ap b e il r e co g n o s o u d m s e r e a r n n d i z m at o io d n ­ Pe l r o s a o n n s al Total pa l y o m an e s nt a C cc h o a u rg n e ts S c e r r e v d ic it e paper loans1 1939........................................ 7,222 4,503 1,497 1,620 298 1,088 2,719 787 1,414 518 1941......................................... 9,172 6,085 2,458 l',929 376 1,322 3,087 845 L645 597 1945......................................... 5’665 2,462 455 ’816 182 1 ;oo9 3,203 746 1,612 845 I960........................................ 56,028 42,832 17,688 11,525 3,139 10,480 13,196 4,507 5,329 3,360 1961........................................ 57,678 43.527 17,223 11,857 31191 11,256 14,151 5,136 5,324 31691 1962........................................ 63’, 164 48,034 19;540 12,605 3,246 12,643 15,130 5,456 5,684 3,990 1963........................................ 70,461 54,158 22,433 13,856 3,405 14,464 16,303 6,117 5,871 4,315 1964........................................ 78’442 60,548 25^195 15^593 3,532 16,228 17,894 6^954 6,300 4,640 1965....................................... 87’884 68’565 28,843 17,693 3,675 18,354 19,319 7,682 6,746 4,891 1966......................................... 94,'786 74,656 30,961 19,834 3,751 20,110 20,130 7,844 7,144 5,142 1966—Apr............................... 88,184 69,543 29,597 17,597 3,602 18,747 18,641 7,836 5,670 5,135 89’092 70 ,'209 29,908 17,732 3 ,’642 18,927 18,883 7,925 5,860 5,098 June. ........................... 90’, 070 71‘,194 30,402 17,959 3; 677 19,156 18,876 7,901 5',908 5; 067 July.............................. 90;650 71,862 30,680 18,165 3,711 19,306 18,788 7,844 5; 888 5^056 Aug............................. 91’483 72,640 30,918 18,390 3;755 19,577 18,843 7,849 5,973 5^021 Sept.............................. 91,639 72,829 30,793 18,564 3,771 19,’701 18,810 7,814 5,993 5,003 Oct................. 91,899 73^073 30,852 18,714 3,770 19,737 18^826 7,768 6'. 107 4351 Nov.............................. 92,498 73,491 30,937 18,945 3,772 19,837 19,007 7,807 6,199 5 ;oot Dec.............................. 94,786 74,656 30,961 19,834 3,751 20,110 20,130 7,844 7,144 5,142 1967—Jan............................... 93,479 74,015 30,689 19,649 3,703 19,974 19,464 7,779 6,472 5,213 92’517 73’,598 30,530 19326 3,666 19',976 18',919 7^54 5,824 5; 341 92,519 73,591 30,527 19,369 3,’648 20,047 18,928 7,769 5,809 5,350 Apr.............................. 93^089 73’840 30,635 19^376 3^636 20;193 19,249 7,890 5,923 5,436 1 Holdings of financial institutions; holdings of retail outlets are in­ hold, family, and other personal expenditures, except real estate mortgage cluded in “other consumer goods paper.'* loans. For back figures and description of the data, see “Consumer Credit,’’ Section 16 (New) of Supplement to Banking and Monetary Note.—Consumer credit estimates cover loans to individuals for house­ Statistics, 1965, and May 1966 Bulletin. INSTALMENT CREDIT (In millions of dollars) Financial institutions Retail outlets End of period Total Total m b C e a o r n c m k ia s ­ l fi S n c a a o l n s e . c s e u C n r i e o d n i s t fi s C n u a m o n n e c ­ r e ! Other 1 Total D st m e o p r e e n a s r t t 2 ­ F st t u o u r r r n e e i s ­ A s a t p o n p r c e e li s ­ d m A ea o u l b e t i o r l s e ­ 3 Other 1939............................. 4,503 3,065 1,079 1,197 132 657 1 ,438 354 439 183 123 339 1941............................. 6^085 4; 480 1,726 1 ;797 198 759 1,605 320 496 206 188 395 1945............................. 2,462 1 ;776 745 '300 102 629 686 131 240 17 28 270 I960............................. 42,832 37,218 16,672 11,472 3,923 3,670 1 ,481 5,615 2,414 1,107 333 359 1,402 1961............................. 43,527 37,935 17,008 11 ,'273 4330 3,'799 1 ,525 5,595 2321 1,058 293 342 1,481 1962............................. 48;034 41 ;?82 19;oo5 12,194 4; 902 4; 131 1 ;550 6,252 3 ;oi3 1,073 294 345 1^527 1963............................. 54,158 47,405 22,023 13,523 5,622 4,590 1,647 6,753 3,427 1,086 287 328 1,625 1964............................. 60^548 53;141 25;094 14,762 6'458 5; 078 1,749 7,407 3^22 1,152 286 370 1,677 1965 ............................. 68,565 60;273 29 J 73 16;138 7,512 5; 606 1,844 8; 292 4; 488 1 '235 302 447 1,820 1966............................. 74,656 65 ,'565 32,’155 16,936 8,549 6,'014 1,911 9,091 n.a. n.a. n.a 490 n.a. 1966—Apr.................... 69,543 61,539 30,127 16,191 7,711 5,670 1,840 8,004 n.a. n.a. n.a. 466 n.a 70 ,’209 62,178 30;507 16,263 7,839 5; 695 1 ;874 8»O3l n.a. n.a. n.a. 472 n a June.................. 7i;194 63;097 31;di3 16'454 8,009 5; 742 1,879 8; 097 n.a. n.a. n.a. 480 July............ 71,862 63,745 31,’398 16'585 8,093 5; 791 1,878 8,117 n.a. n.a. n.a. 485 Aug,.................. 72;640 64^454 31;737 16,732 8,238 5',846 1,901 8,186 n.a. n a. n.a. 489 Sept................... 72', 829 64', 613 31;778 16,759 8,324 5,858 1,894 8,216 n.a. n.a. 487 Oct.............. 73 ,'073 64,792 31 ,’878 16,771 8,391 5,863 i,’889 8,281 n.a. n.a. n.a. 489 Nov................. • 73^91 65,046 31,978 16,790 8,480 5; 881 1,917 8,445 n.a. n.a 490 Dec.................... 74^56 65,565 32,’155 16^936 8,549 6'014 1,911 9,091 n a n a n r 490 1967—Jan.................... 74,015 65,162 32,033 16 814 8,443 5 969 1 ,903 8,853 n.a. n a. 488 Feb................... 73^98 64,966 31;967 16 696 8,429 5 965 1,909 8,632 485 Mar.................. 73,591 65,006 32,068 16 593 8,485 5’951 1,909 8,585 486 Apr.................... 73,840 65,298 32,299 16,590 8,561 5,’951 1,897 8,542 n.a. n.a. n.a. 490 n.a. 1 Consumer finance companies included with “other” financial insti­ J Automobile paper only; other instalment credit held by automobile tutions until 1950. dealers is included with “other” retail outlets. 2 Includes mail-order houses. See also Note to table above. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 CONSUMER CREDIT 1025 INSTALMENT CREDIT HELD BY COMMERCIAL BANKS INSTALMENT CREDIT HELD BY SALES FINANCE COMPANIES (In millions of dollars) (In millions of dollars) End of period Total ch P A a u s u r e ­ t p d o a m pe o D r b i i r l e e c t s O g p c u o a t o m o h p n d e e e ­ r r s r e R m l r o t a e n i n a o o p iz n d n d a a s i ­ r ­ s lo P o a n e n r a ­ s l End of period Total m A p o a u p b to e il r - e s O g p c u o a t o m o h p n d e e e - s r r r m R iz lo o a e a n a d p ti n d e a o s r i n n r - l s P o o a e n r n a - s l 1939................................ 1,197 878 115 148 56 1939 ......................... 1,079 237 178 166 135 363 1941................................ 1’797 1,363 167 201 66 1941......................... 1’726 447 338 309 161 471 1945................................ '300 164 24 58 54 1945 ......................... '745 66 143 114 no 312 1960................................ 11,472 7,528 2,739 139 1,066 I960......................... 16,672 5,316 2,820 2,759 2,200 3,577 1961................................ 11,273 6'811 31100 161 1,201 1961......................... 17,008 5’391 2360 2’761 2,198 3,798 1962................................ 12'194 7'449 3 123 170 1 452 1962......................... 19,005 6^184 3'451 2; 824 2361 4,285 1963................................ 13,523 8,228 3,383 158 1,754 1963......................... 22,023 7,381 4,102 3,213 2,377 4,950 1964................................ 14,762 8,701 3,889 142 2,030 1964......................... 25,094 8391 4,734 3,670 2^57 5,542 1965 ............................... 16,138 9,241 4,429 123 2,345 1965......................... 29,173 10 J10 5'721 4,266 2,543 6,333 1966............................... 16,936 9391 4 829 110 2,606 1966......................... 32,'155 11 ,'370 6,165 5,101 2,'567 6,952 1966-Apr..................... 16,191 9,261 4,448 114 2,368 1966—-Apr.............. 30,127 10,699 5,967 4,423 2,481 6,557 16,263 9,289 4,479 113 2,382 May............. 30307 10352 6337 4,491 2,502 6,625 16,454 9,395 4,538 111 2,410 June............. 31’013 11 375 6,124 4,581 2,529 6,704 July..................... 16’585 9,’457 4 579 112 2 437 July.............. 31’398 11,219 6; 157 4,713 2,555 6,754 16,732 9,498 4,632 112 2 490 Aug......... 31’737 11’339 6'172 4,795 2,580 6,851 16’759 9,427 4 693 112 2 527 Sept.............. 31 ,'778 11’313 6’113 4,864 2,593 6,895 Oct..................... 16,771 9,'398 4,726 112 2,535 Oct.............. 31 ,878 11,353 6'132 4,910 2,593 6,890 16,790 9'395 4'736 110 2'549 Nov.............. 31,978 11 378 6,157 4,967 2,583 6,893 Dec..................... 16,936 9,391 4,829 110 2,606 Dec.............. 32,155 11,370 6’165 5,101 2,567 6,952 1967—Jan...................... 16,814 9,285 4,817 109 2,603 1967—Jan............... 32,033 11,267 6,148 5,176 2,532 6,910 Feb..................... 16,696 9,215 4,773 107 2,601 Feb.............. 31’967 11'214 6'121 5,218 2,502 6,912 16,593 9’139 4,744 105 2,605 Mar.............. 32,068 11,234 6,’153 5,242 2,486 6,953 Apr..................... 16,590 9,128 4'749 104 2,609 Apr.............. 32 399 11,256 6,217 5,292 2', 478 7,056 See Note to first table on previous page. See Note to first table on previous page, INSTALMENT CREDIT HELD BY OTHER FINANCIAL INSTITUTIONS NONINSTALMENT CREDIT (In millions of dollars) (In millions of dollars) Other Repair Single­ Auto­ con­ and Per­ payment Charge accounts End of period Total mobile sumer modern­ sonal loans paper goods ization loans paper loans End of period Total Com­ O fin th a e n r ­ De­ Other S c e r r e v d ic it e 1 1 1 9 9 9 3 4 4 9 1 5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 9 73 8 5 1 9 7 1 5 2 81 4 2 3 2 2 4 0 6 1 1 1 4 5 4 7 6 6 4 8 6 3 5 9 b m c a i n e a k r l ­ s tu in c ti i s a o t l i n ­ s s m p to a e r r n e t­ t s 1 o r u e t t l a e i t l s C ca r r e d d s it 2 1960................................. 9,074 1,665 771 800 5,837 1961................................. 9354 1,819 743 832 6'257 1939............. 2,719 625 162 236 1,178 518 1962................................. 10’583 2,111 751 815 6'906 1941............. 3'087 693 152 275 1 370 597 1945 ............. 3,203 674 72 290 1322 845 1963................................. 11,859 2,394 835 870 7,760 1964................................ 13,285 2399 997 933 8’656 1960............. 13,196 3,884 623 941 3,952 436 3,360 1965................................ 14'962 3'124 1,153 1 ,009 9'676 1961............. 14,151 4,413 723 948 3'907 469 3,691 1966................................ 16’,474 3,545 1,303 1,074 10'552 1962............. 15,130 4,690 766 927 4’252 505 3'990 1966—Apr...................... 15,221 3,204 1,188 1,007 9,822 1963.............. 16,303 5,205 912 895 4,456 520 4,315 May.................... 15’408 3,258 1,203 1,027 9,920 1964.............. 17,894 5,950 1,004 909 4’756 635 4,640 June..................... 15’630 3,328 1,223 1 ,037 10,042 1965 ............. 19'319 6’587 1'095 968 5’055 723 4’891 July..................... 15'762 3,362 1 341 1 '044 10'115 1966............. 20,130 6,714 1'130 n.a. 874 5’142 Aug..................... 15385 3,420 C266 1 ,063 10,236 Sept..................... 16'076 3,453 1,278 1,066 10,’279 1966—Apr... 18,641 6,717 1,119 n.a. n.a. 765 5,135 Oct...................... 16'143 3 380 1'286 1’065 10,312 May.. 18,883 6,784 1,141 n.a. n.a. 788 5,098 Nov..................... 16,278 3317 1,287 1,079 10395 June.. 18,876 6,767 1,134 n.a. n.a. 824 5,067 Dec..................... 16,474 3’545 1303 1’074 10352 July... 18,788 6,720 1,124 n.a. n.a. 861 5,056 Aug... 18,843 6,718 1,131 n.a. n.a. 916 5,021 1967—Jan...................... 16,315 3,501 1,291 1,062 10,461 Sept... 18,810 6,692 1,122 n.a. n.a. 932 5,003 Feb........... . 16,303 3,495 1 ,288 1,057 10,463 Oct.. . 18,826 6,656 1,112 n.a. n.a. 898 4,951 Mar..................... 16’345 3'515 1 ,'284 1,057 10,489 Nov... 19,007 6,678 1,129 n.a. n.a. 878 5,001 Apr..................... 16',409 3',544 1,283 1,054 10,528 Dec... 20,130 6,714 1,130 n.a. n.a. 874 5,142 1967—Jan... . 19,464 6,659 1,120 n.a. n.a. 908 5,213 Note.—Institutions represented are consumer finance companies, credit Feb... 18,919 6,634 1,120 n.a. n.a. 895 5,341 unions, industrial loan companies, mutual savings banks, savings and Mar... 18,928 6,647 1,122 n.a. n.a. 898 5,350 loan assns., and other lending institutions holding consumer instalment Apr... 19,249 6,758 1,132 n.a. n.a. 922 5,436 loans. See also Note to first table on previous page. 1 Includes mail-order houses. 2 Service station and miscellaneous credit-card accounts and home­ heating-oil accounts. See also Note to first table on previous page. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1026 CONSUMER CREDIT JUNE 1967 INSTALMENT CREDIT EXTENDED AND REPAID, BY TYPE OF CREDIT (In millions of dollars) Total Automobile paper Ot g h o e o r d c s o p n a s p u e m r er mode R r e n p iz a a ir ti o a n n d l oans Personal loans Period S.A.l N.S.A. S.A.l N.S.A. S.A.l N.S.A. S.A.l N.S.A. S.AJ N.S.A. Extensions 1960 49,560 17,654 14,470 2,213 15,223 1961......................................... 48,396 16,007 14,578 2,068 15,744 1962......................................... 55 J26 19,796 15,685 2,051 17,594 1963........................................ 61,295 22,292 17,102 2,198 19,703 1964......................................... 67,505 24,435 19,473 2,204 21,393 1965........................................ 75^08 27,914 21,454 2,238 23,902 1966......................................... 78,896 28,491 23'502 2,136 24,767 1966-—Apr.............................. 6,505 6,658 2,302 2,486 1,958 1,874 180 178 2,065 2,120 May.......................... 6,472 6,694 2,298 2,526 1,933 1,898 186 215 2,055 2,055 June.............................. 6’675 7,236 2,419 2,746 1,944 2,013 189 215 2,123 2',262 July.............................. 6,732 6,670 2,383 2,466 2,050 1,945 189 203 2,110 2,056 Aug.............................. 6’, 689 7,025 2,431 2,543 1,995 2,023 187 225 2’076 2,234 Sept.............................. 6,578 6,189 2,387 2,070 1,958 1,935 175 187 2,058 1,997 Oct............................... 6,522 6,403 2,378 2,369 1,941 1,949 166 171 2,037 1,914 Nov.............................. 6,657 6,611 2,46! 2,346 1,947 2,044 166 168 2,083 2,053 Dec............................... 6,433 7,442 2,297 2,178 1,928 2,720 159 140 2,049 2,404 1967--Jan............................... 6,501 5,674 2,240 1,923 2,031 1,808 157 120 2,073 1,823 Feb............................. 6',497 5,488 2,177 1,916 2,099 1,655 169 126 2,052 1,791 Mar............................. 6,510 6,641 2,199 2,350 2,049 1,985 169 159 2,093 2,147 Apr............................... 6,606 6,495 2,217 2'294 2,095 1,927 170 163 2,'124 2,111 Repayments 1960 45,972 16,384 13,574 1,883 14,130 1961......................................... 47,700 16,472 14,246 2,015 14,967 1962......................................... 50,620 17,478 14^39 1,996 16,206 1963......................................... 55,171 19,400 15,850 2,038 17,883 1964......................................... 61,121 21,676 17^737 2,078 19,630 1965......................................... 67,495 24,267 19,355 2,096 21,777 1966........................................ 72,805 26,373 21,361 2,060 23,011 1966--Apr............................... 5,974 5,942 2,145 2,137 1,729 1,727 175 173 1,925 1,905 May............................. 5,979 6,028 2,159 2,215 1,784 1,763 172 175 1,864 1,875 June............................. 6,126 6,251 2,211 2,252 1,767 1,786 176 180 1,972 2,033 July.............................. 6,168 6,002 2'238 2,188 1,803 1^739 174 169 1,953 1,906 Aug.............................. 6,087 6,247 2^223 2,305 1,792 1,798 172 181 1,900 1,963 Sept.............................. 6,103 6,000 2^13 2,195 1,784 1’761 168 171 1,938 1,873 Oct............. 6,142 6,159 2,244 2,310 1,820 1 ,799 169 172 1 ,909 1’878 Nov............................ 6,213 6,193 2’255 2,261 1', 836 1,813 169 166 1'953 1,953 Dec............................... 6,112 6^277 2'225 2,154 1^96 M31 161 161 1 ,’930 2’131 1967-—Jan................................ 6,221 6,315 2,202 2,195 1,882 1,993 167 168 1,970 1,959 Feb............................... 6,281 5,905 2,’217 2,075 1^915 1,878 176 163 1 ’973 1,’789 Mar............................. 6'246 6,648 2,193 2,353 1,899 2,042 170 177 1,984 2'076 Apr............................... 6,393 6,246 2,235 2,186 1,968 1 ^920 179 175 2,011 11965 Net change in credit outstanding 2 1960. 3,588 1,270 896 330 1,093 1961......................................... 696 -465 332 53 '777 1962......................................... 4,506 2,318 746 55 1,388 1963......................................... 6,124 2,892 1,252 160 1,820 1964......................................... 6,384 2,759 1,736 126 1,763 1965......................................... 8,013 3,647 2,099 142 2,125 1966......................................... 6,091 2,118 2,141 76 1,756 1966-—Apr.............................. 531 716 157 349 229 147 5 5 140 215 May............................. 493 666 139 311 149 135 14 40 191 180 June............................. 549 985 208 494 177 227 13 35 151 229 July,.......................... 564 668 145 278 247 206 15 34 157 150 Aug.............................. 602 778 208 238 203 225 15 44 176 271 Sept.............................. 475 189 174 -125 174 174 7 16 120 124 Oct... .......................... 380 244 134 59 121 150 -3 -1 128 36 Nov................. 444 418 206 85 111 231 -3 2 130 100 Dec............................... 321 1,165 72 24 132 889 -2 -21 119 273 1967-—Jan................................ 280 -641 38 -272 149 -185 -10 -48 103 -136 Feb............................... 216 -417 -40 -159 184 -223 -7 -37 79 2 Mar.............................. 264 -7 6 -3 150 -57 -1 -18 109 71 Apr............................... 213 249 -18 108 127 7 -9 -12 113 146 1 Includes adjustments for differences in trading days. sales of instalment paper, and certain other transactions may increase 2 Net changes in credit outstanding are equal to extensions less repay­ the amount of extensions and repayments without affecting the amount ments. outstanding. For back figures and description of the data, see “Consumer Credit,” Note.—Estimates arc based on accounting records and often include Section 16 (New) of Supplement to Banking and Monetary Statistics, 1965, financing charges. Renewals and refinancing of loans, purchases and and May 1966 Bulletin. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 CONSUMER CREDIT 1027 INSTALMENT CREDIT EXTENDED AND REPAID, BY HOLDER (In millions of dollars) Total Commercial banks S c a o le m s p fi a n n a i n es ce Ot i h n e s r ti t f u in ti a o n n c s ial Retail outlets Period S.A." N.S.A. S.A.1 N.S.A. S.A.1 N.S.A. S.A.l N.S.A. S.A.' N.S.A. Extensions I960,. ................................. 49,560 18.269 11,456 12,073 7,762 1961....................................... 48’396 17,711 10367 12382 7 ,'736 1%2..................................... 55,126 20'474 11,999 13 325 91128 (963......................................... 61,295 23,344 12,664 14,894 10,393 1964........................................ 67,505 25,950 14,020 16,251 11,284 1965........................................ 75’508 29,738 15 ,'O75 18,120 12,575 1966......................................... 78,896 31,114 14,951 18,986 13345 1966—-Apr.............................. 6,505 6,658 2,539 2,717 1,226 1,225 1,559 1,579 1,181 1,137 May............................. 6,472 6’694 2,547 2,722 1,228 1,254 1,547 1,600 1,150 1,118 June............................. 6,675 7,236 2’619 2,912 1,260 1,383 1'643 1,772 1,153 11169 July.............................. 6,’732 6,'670 2,673 2,717 1’255 1^265 1,593 1,577 1,211 kill Aug.............................. 6,689 7,025 2383 2,819 1,260 1,336 1,589 1'713 11157 1J57 Sept.................... 6,578 6,189 2’634 2,422 1,242 1,162 1,587 1317 1,115 1,088 Oct............................... 6,522 6’403 2,583 2320 1,226 1,235 1 382 1305 1,131 1343 Nov............ 6,657 6,611 2,666 2,495 1,256 1,241 1313 1,631 1,122 1,244 Dec............................... 6,433 7,442 2,553 2,523 1,241 1,374 1370 1,822 1,069 11723 1967—Jan............................... 6,501 5,674 2,588 2,348 1,190 1,033 1,563 1,333 1,160 960 Feb.............................. 6^497 5'488 2’537 2',231 1,215 1,032 1,577 1349 1 J68 876 Mar.............................. 6,510 6'641 2,558 2'662 1,199 1,229 1,598 1349 1,155 1,101 Apr............................... 6^606 6395 2,631 2,688 I',212 1,168 1389 1359 1,174 I’,080 Repayments I960......................................... 45,972 16,832 10,442 11,022 7,676 1961......................................... 47 700 18 294 10 943 111715 61749 1962......................................... 50320 18368 11,434 12393 8,125 1963........................................ 55,171 20,326 12,211 13,618 9,016 1964......................................... 61,121 22,971 13J61 14,825 10,164 1965....................... . 67,495 25,663 13,699 16,443 H’,690 1966........................................ 72,805 281132 141153 17,474 13,046 1966—Apr............... 5,974 5,942 2,293 2,274 1,129 1,140 1342 1,431 1,110 1,097 May.................. 5,’979 6,028 2,270 2,342 1,164 1,182 I 314 1,413 1,131 1,091 June............................. 6,126 6,251 2,'348 2,406 1,172 1,192 1,501 1,550 1,105 1,103 July............................. 6,168 6,002 2,382 2,332 1 180 lt 134 1 376 1,445 1,130 1,091 Aug.,.................... 6,087 6,247 2,362 21480 1 179 1 189 I 458 11490 1,088 1,088 Sept................. 6J03 6,000 2,396 2,381 1 156 11135 1,481 1,426 11070 1,058 Oct. ........................... 6,142 6,159 2,400 2320 11193 1’223 1,472 i 338 1,077 11078 Nov....................... 61213 61193 2,415 2,395 11258 1,222 1 ’,480 1,496 1,060 1,080 Dec.................... 61112 6,277 2,418 2,346 11198 11228 1,467 1326 1,029 1,077 1967—Jan............................... 6,221 6,315 2,435 2,470 1,190 1,155 1,500 1,492 1,096 1,198 Feb.............................. 6,281 51905 2,446 2,297 1,188 1,150 1,5(0 1,361 IJ37 1,097 Mar.............................. 6,246 6348 21412 2361 1 187 11332 1340 1,607 1,107 1,148 Apr.............................. 6,393 6,246 21516 2357 1,192 1,171 1336 U495 1; 149 11123 Net change in credit outstanding 2 I960......................................... 3,588 1,446 1,152 1,051 -61 1961......................................... 696 335 — 199 '578 -20 1962......................................... 4,506 1,997 921 932 656 1963......................................... 6,(24 3,018 1,329 1.276 501 1964......................................... 6,384 3,065 1,239 1,426 654 1965....................................... 81013 4375 1 '376 1,677 885 1966......................................... 6,091 2,982 '798 1,512 799 1966—Apr.............................. 531 716 246 443 97 85 117 148 71 40 May. 493 666 277 380 64 72 133 187 19 27 June............................. 549 985 271 506 88 191 142 222 48 66 July.............................. 564 668 291 385 75 131 117 132 81 20 Aug.................... 602 778 321 339 81 147 131 223 69 69 Sept.................. 475 189 238 41 86 27 106 91 45 30 Oct............................... 380 244 183 100 33 12 110 67 54 65 Nov............................. 444 418 251 100 -2 19 133 135 62 164 Dec........................... 321 1,165 135 177 43 146 103 196 40 646 1967—Jan............................... 280 -641 153 -122 0 -122 63 — 159 64 -238 Feb.............................. 216 -417 91 -66 27 -118 67 -12 31 -221 Mar,................ 264 -7 146 101 12 -103 58 42 48 —47 Apr............................... 213 249 1(5 231 20 -3 53 64 25 -43 1 Includes adjustments for differences in trading days. payments for some particular holders do not equal the changes in their z Net changes in credit outstanding are equal to extensions less repay­ outstanding credit. Such transfers do not affect total instalment credit ments, except in certain months when data for extensions and repayments extended, repaid, or outstanding. have been adjusted to eliminate duplication resulting from large transfers See also Note to previous table. of paper. In those months the differences between extensions and re­ Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1028 INDUSTRIAL PRODUCTION: S.A. JUNE 1967 MARKET GROUPINGS (1957-59 = 100) 1957-59 1966 1966 1967 pro­ aver­ Grouping por­ age" tion Apr. May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb.r Mar.r Apr. 100 00 156.3 153 9 155 3 156 5 157 2 158 0 1 57 7 158 9 158 6 159 0 158 I 156 4 <56 4 156 0 Final products, total............... 47.35 155.4 152.9 153.7 154.9 155 3 (56 4 156 3 158 3 158 5 159 2 158 1 156.4 156 7 156,6 Consumer goods.......................... 32.31 147.4 146.4 146.2 147 1 146'5 147.1 146 5 148* 8 148,8 149 I 147'8 145.2 146 0 146 2 Equipment, including defense.... 15.04 172.6 166.9 169.8 171.4 174.4 176.4 177.4 ns^ 179.6 181 io 180'.2 180.3 179^6 178/9 Materials............................................ 52.65 157.1 154.5 157.1 158.0 158.8 159.6 159.2 159.9 159.1 158.9 158.0 156.2 155 8 155.9 Consumer goods 3.21 163.0 168.4 160.7 16^.3 154 5 146 4 110 7 168 5 162.8 162.6 147 0 135.7 144 6 110.2 Autos,................................................. 1.82 169.5 178.9 166.0 167.8 151 *5 14L7 148^6 177*8 166.7 167.3 1413 120 5 136 5 149.9 Auto parts and allied products........ 1.39 154.4 154.6 (53.6 155.2 158.6 152,7 153.5 156.2 157.8 156.4 154.4 155.7 155.4 150,5 Home goods and apparel.................. 10.00 153.0 153.8 154.0 153.8 152.3 152.8 151.3 153.2 153.2 151.7 151.5 148.2 147.1 145.0 Home goods................. 4.59 168.9 168.4 169.9 168 3 168 0 168 9 166.0 170.0 169.1 166 5 165.2 162.9 160.4 157.3 Appliances, TV, and radios.......... 1.81 166.6 166.7 165.9 163.9 165.5 165.0 159.3 170.2 165,3 158.4 154.0 153.7 147.1 141.3 Appliances.................................. 1.33 166.7 167.9 165.5 165.2 171.1 166,7 160. 1 171.7 162.4 151.9 150.2 150.4 143.6 145,5 TV and home radios.......... .47 166.3 163.0 166.9 160. 3 149.8 160.2 157.1 166.0 173.7 176.7 164.8 162.9 157,2 129.6 Furniture and rugs........................ 1.26 165.7 166.3 169.1 170.1 165.2 168.0 165,9 i64.4 164.7 163.5 163.4 158.5 157 4 157,0 Miscellaneous home goods....... 1.52 174,2 172.2 175.5 171.9 173.2 174.2 173,9 174.5 177.1 178.7 179.8 177.3 178 6 176.6 Apparel, knit goods, and shoes..... 5.41 139,6 141 4 140.5 141.6 139.0 139.1 138 8 139.0 139.8 139 1 139,9 135 8 135 8 Consumer staples............................... 19.10 141.8 138.9 139.7 141 6 142 1 144.2 143 3 143 2 144.2 145 0 145 4 145.2 145 6 146.2 Processed foods................................. 8.43 126.4 125 1 123.9 126.4 126.0 127,9 127.9 126,0 127.3 130^ 1 130.4 129.9 129 ’ 6 129.5 Beverages and tobacco...................... 2.43 131.7 130.2 129.5 131.5 130.2 134.0 131.0 133.1 133,0 133,7 132.9 134.1 133.5 Drugs, soap, and toiletries. ........... 2,97 174.4 167.3 173.4 174.7 174 5 175.4 176 1 178.7 181.3 178 5 179.0 180 3 181 0 181.5 Newspapers,’ magazines, and books. 1.47 136.6 134.1 136.9 138.5 138.9 138.2 136.7 137.9 138.8 139.1 141.5 142.3 142 J 143.8 Consumer fuel and lighting.............. 3.67 159.4 154.6 155.8 157.1 161.1 165.0 162.5 161.9 162.4 162.0 161.8 160.1 162 7 Fuel oil and gasoline..................... 1.20 128.6 128.4 128.7 128.6 128.8 129,1 131.8 134.0 129.8 129 2 125.5 125.7 128 2 130.9 Residential utilities......................... 2.46 174.4 167,4 169.0 171 0 176 8 182 5 177 4 175.5 178 2 178 0 179 5 176 9 179 6 Electricity......................... 1.72 186.8 176.7 179.0 181.9 190.0 197.'9 191.2 188,3 192,2 189.’2 191.0 186.9 190’3 Gas....................... .74 145.9 Equipment Business equipment............................. 11.63 181.2 175.9 178.3 180.0 182.7 184.4 185 7 187.2 187.5 189.3 187.4 186.6 184.4 183.3 Industrial equipment......................... 6.85 172.2 167.3 168.5 171.0 174.9 176.3 177.0 178.4 178.1 179,1 177 7 176 8 174 2 172.9 Commercial equipment,...,........... 2.42 190.0 186.4 190.1 191.0 189.8 194 1 194 8 195.5 196.9 196,0 196.7 199 8 199 1 200.4 Freight and passenger equipment... 1.76 208.5 201.3 204.9 205.7 208.8 208.1 209^2 212,7 216.9 220.3 214.5 215.0 211.7 209.5 Farm equipment................................ .61 167.0 157,6 164.7 168.2 167,5 169.1 178.9 180,3 170.7 179,5 176.1 162.6 162.7 Defense equipment............................. 3.41 Materials Durable goads materials.................... 26.73 157.4 156.7 157.7 159 3 159.1 160.1 159.8 159.8 158.5 156.4 153.9 151.9 152.1 151.3 Consumer durable............................. 3.43 170.3 169.0 166.0 165.2 162.8 173.6 174 0 176 2 173.8 165.4 154.6 148.4 145.1 143,6 Equipment................................. 7.84 180.7 173.6 177 1 179 1 183.7 187 9 189 1 189 7 191 0 190.3 190.6 186 5 185 6 183.3 Construction.................................... 9.17 141.6 144.3 141.8 14X3 141.0 140.2 139.8 138 5 138.5 138.2 138.9 139 2 140 .*2 139. 5 Metal materials n,e.c......................... 6.29 144.4 145.1 144.8 148 0 146.9 145.3 142 7 145.2 139.6 139.5 139.6 140:3 135.6 133.5 Nondurable materials.......... 25.92 156.9 152.3 156.5 158.0 158.6 159.1 158 6 159.9 159.9 161.4 161.7 160 5 159. 7 160.6 Business supplies............................. 9.11 148 9 145 3 147 8 150 3 149.9 150 1 150 7 151.6 150 9 153 0 153 4 153 1 150 8 152,8 Containers...................................... 3.03 145.4 142 4 146.1 146 4 143 2 143 4 147 4 145 3 147 2 151 1 146 5 147*1 144.6 147.1 General business supplies. ............ 6.07 150.7 146.7 148.6 152.2 153.2 153*4 152*4 154^8 152.8 154^0 156^8 154.* 6 153.9 155.7 Nondurable materials n.e.c............... 7.40 192.8 188.4 192.0 192 9 194 5 195 6 193 8 197.1 198 7 198 1 199 3 197 8 194.8 193.5 Business fuel and power.............. 9.41 136.3 130.8 136,9 138.0 138 7 138.9 118.6 138.7 138 0 139.7 140 1 139 3 140.7 140.8 Mineral fuels................................. 6.07 122.2 114.9 123.8 124 9 124.6 124 9 123.7 124.9 123.1 125.1 124.7 123.5 124.6 125,5 Nonresidential utilities,................ 2.86 173.5 170.6 171.2 172.2 174.6 175,9 176.7 174.8 175,7 (77.5 179.7 179 3 181.5 Electricity.................................... 2.32 174.5 172.2 172.8 173 8 176.7 178 2 179,1 176 7 177.8 179.0 181.8 181,3 184,0 General industrial.................. 1.03 171.6 168.2 170.0 170.1 174.6 176,3 177.0 177.6 176.7 177.1 178.8 177.4 178.9 Commercial and other........... 1.21 184.3 182.6 182.0 184.1 186.2 187.5 188.5 183.6 186.4 (88,4 192.4 192.8 196,6 Gas............................................. .54 164.4 Supplementary groups of consumer goods Automotive and home goods....... 7.80 166.5 168.4 166.1 165.8 162.5 159.6 159.7 169.4 166.5 164,9 157.7 153,5 153.9 154.4 Apparel and staples........................... 24.51 141.4 139.4 139.8 141.6 141.4 143.0 142.3 142.2 143.3 143.7 144.2 143. 1 143.4 For a short article discussing new benchmark production measures for 1958 and 1963, see pp. 954-57. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 INDUSTRIAL PRODUCTION: S.A. 1029 INDUSTRY GROUPINGS (1957-59 = 100) 1957-59 1966 1966 1967 Grouping pro­ aver­ p ti o o r n ­ age^ Apr. May June July Aug. | Sept. Oct. Nov. Dec. Jan. Feb. r Mar.r Apr. Total index.................................. 100 00 156.3 153 9 155.3 156 5 157 2 158.0 157.7 158 9 158.6 159.0 158.1 156.4 156.4 156.0 Manufacturing, total................... 86.45 158.7 156.6 157,6 158.9 159.4 160.1 160.0 161.5 161.0 161.3 160.1 158.5 158. / 157.8 Durable.......................................... 48 07 165.1 162 9 164.2 165 4 166 1 167.1 167 3 169.1 167 3 167.6 165 5 163.2 162.9 162.5 Nondurable.................................... 38 38 150.7 148.7 149.4 150.7 151.3 151,3 150.9 151.9 153 1 153,5 153 3 152.4 152.1 152.0 Mining................................................ 8 23 120 3 115.6 120.7 122 0 122 0 122,1 121 0 121.6 121 0 123.0 123 0 122.4 122 5 122.1 Utilities............................................. 5.32 173.4 169.1 170,2 171.7 175 7 179,0 177.0 175.2 176.9 177.7 179’6 178,2 180.6 179.5 Durable manufactures Primary and fabricated metals.......... 12.32 151.5 150.7 153.7 154.0 154.5 154.2 153.6 153.4 149.9 150.4 147.0 146.3 143.9 142.4 Primary metals.................................. 6.95 142.7 142.4 146.5 148.0 148,6 148.7 146.4 145.0 138.4 136.2 131.9 131.9 129.2 128,7 Iron and steel................................ 5.45 1 36.2 138.8 141.1 142.1 143.3 142.2 139.0 137.5 132.4 130,1 124 9 124.8 123.6 122,7 Nonferrous metals and products.. 1.50 166.5 166.0 165.0 166,2 162.4 162.1 164.7 168.2 161.7 163.5 163.2 167.2 162.5 159.6 Fabricated metal products............... 5.37 162.8 161.4 162.9 161.8 162.1 161.4 163.0 164.2 164.7 168.7 166.6 165.0 162.9 160.0 Structural metal parts............ 2.86 158.8 159 i 158.4 158 8 157 7 158 8 158.6 159.0 160 2 161.4 160 7 160.9 160 I 158 4 Machinery and related products........ 27.98 176.5 172.4 173.7 175.5 177.4 179.0 179.8 183.4 181.9 182.0 179.6 176.2 177.0 176.8 Machinery.......................................... 14 80 183 8 178 6 180.6 182 8 186 6 189 6 188 8 191.1 189 0 189.5 189 2 186.4 183 8 181.6 Nonelectrical machinery............... 8 43 181.9 174 5 177.7 180.3 1847 186 7 188.6 1 89.9 188 2 190.4 190'7 187.3 1852 183 2 Electrical machinery...................... 6 37 186.5 184 1 184.4 186.0 189 1 193 4 189.2 192.6 190.1 188.3 187.2 185.3 182 0 179 5 Transportation equipment................ 10 19 168.3 165 9 165.8 167.1 166 0 166.0 168 3 174.6 172.9 171.5 164.6 159.4 164 5 167.3 Motor vehicles and parts.............. 4.68 171.3 1763 169.9 169.4 161.2 158.1 164.6 175.7 170.7 169,0 151.5 140.6 148.0 153.7 Aircraft and other equipment.... 5.26 165.2 156.4 161.9 164.7 169,6 172.5 171.1 173.7 174.6 173,7 176.0 175.6 178.8 179.2 Instruments and related products. .. 1.71 176.5 174.6 176.4 176.5 177.0 177.4 179.5 181.8 181.4 184.6 186.2 183.4 185.8 186,0 Ordnance and accessories................. 1,28 Clay* glass, and lumber............. 4.72 132.9 137 8 133.3 134.4 131 7 129 8 129 8 128.1 126 6 128.1 129.3 129.6 1^9 6 129 6 Clay, glass, and stone products........ 2.99 140.7 I4L9 139.5 141.0 138^5 140’5 14L2 137.8 136.5 136.9 137.2 136/5 135^0 135 J Lumber and products...................... 1 73 119 3 130 7 122 7 122 9 119 9 111 3 110 0 111 3 109 5 112 8 115 7 116 9 1 20 2 1 20 0 Furniture and miscellaneous............... 3.05 165.0 163 5 166. 7 167.0 163 5 167.1 165 9 165 3 166 3 167.5 166 3 163.9 162 4 162 7 Furniture and fixtures...................... 1 54 171.9 169 6 173 8 174 6 169 7 175 3 173 2 173.2 173 9 174.0 172* 1 170 6 166'5 166 3 Miscellaneous manufactures............. 1.51 157.9 157 2 159.5 159 3 157^2 158^7 158*4 157.2 158.5 160.9 160.'3 157 J 158^2 159’0 Nondurable manufactures Textiles, apparel, and leather............ 7.60 141.6 142 6 142.0 143.4 141.6 140.1 140 2 140.9 140 8 141.3 139 8 136 4 133 8 133 2 Textile mill products......................... 2 90 142.3 143'5 143 7 144 0 143 4 142 1 1417 142 4 141 8 141 4 139*3 1 36 7 1 36* 3 135 J Apparel products............................. 3 59 150.3 150 3 149 9 152 0 149 7 147 7 1484 148 1 149 3 150.5 150*2 146 4 142*2 Leather and products........................ 1. U 111.9 115 5 112 I 114.2 111 1 110 4 109 9 113 9 110. 8 111 .1 107'7 103'7 100 5 Paper and printing............................. 8 17 146 3 143 5 146 6 148 3 14® 6 148 6 147 2 147 9 148 5 147.4 149 0 148 7 149 1 Paper and products........................... 3'43 1521 1 50 2 1530 154 1 1562 153 1 151 2 153*3 1537 152 6 1540 152 4 152* 4 152*0 Printing and publishing..................... 4 74 142 2 138 6 142 1 144' 1 144*8 144 1 144'7 143.7 145 s 146 8 Newspapers.................................... 1 53 134 2 128 5 133 8 135 4 136 3 (377 139 1 135 7 135 2 133.2 133 7 134 8 130 9 133*8 Chemicals, petroleum, and rubber.... 11.54 181.7 177.3 179.3 180.1 182.0 182.4 182.8 186.1 187.8 187.3 186.7 187.3 186.9 185.9 Chemicals and products................... 7 58 193 0 1 87 7 191 4 192 7 194 5 194 4 193 5 196 9 199 4 198 7 198 6 200 5 200 4 Industrial chemicals....................... 3 84 220' 1 215 4 218 2 219 9 222 0 222 2 220 5 224' 1 227*5 228'8 228 5 230 8 230 1 Petroleum products......................... 1 ' 97 128 4 127 4 127 7 126 9 128 5 131 2 129 I 129 0 128 7 130 1 Rubber and plastics products........... 1 99 191 9 186 9 184 3 184 1 188 7 190 3 193 6 199.2 202.0 201 *6 198^8 196 3 191 9 Foods, beverages, and tobacco........... 11 07 127 7 128 0 125+5 126 8 127 2 128 5 127 9 126 7 /28 8 131 0 /10 0 130 ^ Foods and beverages......................... 10 25 128 4 127'8 126 1 127 I 128 1 129 2 128 5 127 5 129.7 132.0 1319 131 3 131 7 131 9 Food manufactures....................... 8 64 126 6 126 0 1244 125*5 126 4 127 0 127 0 124 9 127.6 130 3 130 4 129 5 129 7 130 0 Beverages........................................ 1 * 61 1 37 8 1 37 5 135*4 135*9 137 2 141 1 136 4 141 4 141 1 141 0 1402 141 1 142 3 Tobacco products............................. 82 119 8 115’8 1I7.'9 122.'7 116.5 i 1’9’9 120.5 116.’9 117*2 119^3 118*. 5 120.2 116 2 Mining Coal, oil, and gas............................... 6.80 117.6 111.6 118.8 119.5 119.5 119.7 118.8 119.8 118.4 120.1 119.6 118.9 118.9 118.7 Coal.................................................... 1.16 115.2 85.3 116.9 120.7 120.8 120.7 114.7 121.5 114.0 125.2 120.7 115.7 115.1 120.0 Crude oil and natural gas................. 5.64 118.0 117.0 119.1 119.3 119.2 119.6 119.6 119.5 J19.3 119.0 119.3 119,6 119.6 118.4 Oil and gas extraction................... 4.91 123.8 121.9 125.5 125.9 125.5 125.9 125.8 125.6 125.2 125.1 125.7 125.4 126.8 126.8 Crude oil.................................... 4.25 119 4 117 2 121 3 121 4 121 2 121 3 121 1 120,8 120.8 121 0 191 8 Gas and gas liquids................... .66 151 .7 152.2 152.2 154'4 155.1 155.5 154.4 154.6 153.3 152.3 155 7 Oil and gas drilling........................ .73 79.2 83.6 76,2 74.6 76.4 77.0 77.9 77.9 79.2 78.1 76.3 80.5 71.0 61.8 Metal, stone, and earth minerals....... 1.43 133.2 134.6 130.1 153.7 133.8 133.1 131.4 129.9 133.2 137.1 139.4 138.9 140.0 138.3 Metal mining..................................... .61 132.7 139.7 133.6 134.2 134.0 132,1 128.6 129.4 133.0 134.2 140.3 142.1 143.7 148.7 Stone and earth minerals................. 82 1 33 5 130 9 127.5 I 33 3 133 7 133 8 133 5 130.3 133.4 139.3 138 7 Utilities Electric.............................................. 4 04 1 7Q 7 174 I 175 5 177 2 186 5 184 2 133,9 183 4 185 7 Gas...................................................... 1’28 156.1 154*4 155.0 155.7 156.9 157.6 158 5 159.1 159'.5 160*0 Note.—Published groupings include some series and subtotals not Industrial Production 1957-59 Base. Figures for individual series and shown separately. A description and historical data are available in subtotals (N.S.A.) are published in the monthly Business Indexes release. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1030 INDUSTRIAL PRODUCTION: N.S.A. JUNE 1967 MARKET GROUPINGS (1957-59 = 100) 1957-59 1966 1966 1967 pro­ aver- Grouping por­ ageP tion Apr. May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb.'' Mar.r Apr. Total index................................... 100.00 156.3 154.8 156.0 159.3 150.9 156,8 161.3 163.8 160.2 157.1 156.6 156.8 157,2 157.5 Final products, total............... 47.35 155.4 152.6 152.9 157.8 150.0 154.7 161.2 164.7 160.0 157.2 156.8 156.7 157.1 156.6 Consumer goods............................. 32.31 147.4 145.5 144.8 150,0 139.8 146.0 153.6 157.8 151.3 145.5 145.7 145.6 146,0 145.8 Equipment, including defense. . . . 15.04 172.6 167.9 170,3 174,6 172.0 173.5 177.8 179.4 178,7 182.4 180,6 180,4 180.8 179.9 Materials............................................. 52.65 157.1 156.7 158,7 160,7 151.8 158.7 161.3 163.1 160.4 157,0 156.4 157.0 157.4 158.4 Consumer goods Automotive products........................... 3.21 163.0 178.6 170.9 174.2 127.5 86.2 153.6 185.4 177.4 165.5 154.6 142.2 151.9 160.4 Autos................................................. 1.82 169.5 196.8 184.3 190.4 112,1 32.6 150.1 202.7 193.4 175.7 155,4 132.6 151.5 167.9 Auto parts and allied products........ 1.39 154.4 154.8 153.3 152.8 147.7 156.9 158,3 162.5 156.3 152.1 153.7 154.8 152,3 150,5 Home goods and apparel................... 10.00 153.0 155.3 153.3 156.4 138.9 152.8 156.2 165.2 156.6 146.5 146.8 153.6 150.4 147.6 Home goods....................................... 4,59 168.9 169.2 169.2 170.5 152.8 164.1 174.4 184.6 176.5 170.9 162.3 166.5 165.3 159.1 Appliances TV, and radios.......... 1.81 166.6 174,2 169.4 171.7 140.8 149.3 170.9 191.6 173.1 163.1 153.1 167.9 162,6 151.2 Appliances.................................. 1 .33 166.7 179.9 174.5 177.2 150,5 145,8 168,1 190,1 163.0 155.2 153.4 166.7 165,1 162.0 TV and home radios................. .47 166.3 158,3 154.7 156.3 113.4 159.1 178,9 195,9 201.5 185.5 152.3 171.4 155,5 120.7 Furniture and rugs........................ 1 .26 165.7 161.6 162.7 167.2 157,3 171.0 170.5 173.0 170.8 169.6 159.8 156.6 155.5 152,6 Miscellaneous home goods........... 1.52 174,2 169.6 174.4 171.9 163,3 175.9 181.7 186.0 185.2 181.4 175.3 172.9 176,6 174.0 Apparel knit goods, and shoes. . . 5 41 139.6 143,5 139.8 144.4 127,2 143.3 140.9 148,7 139.8 125.9 133.6 142.6 137,8 Consumer staples................................ 19.10 141.8 134.8 136.0 142.5 142.3 152.4 152.1 149.3 144.2 141.6 143.7 142.1 142.7 142.4 Processed foods................................ 8.43 126.4 117.1 117,7 123.9 125.4 138.2 144.5 139,9 132.8 126,6 123.9 121.5 120.9 121,2 Beverages and tobacco.... ... 2.43 131 .7 131.6 139.0 150.2 136.4 145.0 134.4 137.1 126.3 115.4 117.0 122.7 130.6 Drugs soap and toiletries............... 2.97 174.4 167.3 171.8 180,8 167.5 181.2 179,6 185.0 183.1 177,6 180.8 180.3 181 .0 182.5 Newspapers’ magazines, and books. 1.47 136.6 134.6 136.5 137.9 137.5 139.9 137,9 137.8 137.0 138.8 140,2 141,7 144.4 144.4 Consumer fuel and lighting. . ... 3 67 159.4 150.2 146 4 150.7 166.3 171 .8 164,8 154.1 153.0 165.5 177.2 170.4 168.5 Fuel oil and gasoline..................... 1.20 128,6 121.7 124.4 127,1 131.1 132.9 131.9 130.6 129,0 132.2 130.8 128,8 126.9 124,2 Residential utilities......................... 2.46 174.4 Electricity................................... 1.72 186.8 171.9 162.0 169.2 199,5 209.8 196,2 174,0 172.8 194.5 220.2 206.7 203.6 Gas....................................... .74 145.9 Equipment Business equipment............................. 11.63 181.2 177.6 179.3 184.3 180.3 181.2 186.1 187.5 185.3 189.8 187.3 186.7 186.2 185.0 Industrial equipment. ............ 6.85 172,2 167.3 168.7 174.6 173,2 175.8 178.6 177.3 175.6 180.2 177.7 175.9 174.4 172.0 Commercial equipment................. 2.42 190.0 182.9 187.8 191.6 187.1 194.1 197.7 198.8 200.8 200,3 196.9 198.4 197.3 197.6 Freight and passenger equipment. .. 1.76 208.5 209.4 211.0 213.9 208,8 199.8 206.1 218.0 212,6 218.1 214.5 215.0 218,0 221.0 Farm equipment................................ .61 167.0 179.9 173.6 179.3 149.8 136.4 167.3 169.1 154.3 174.9 179.3 180.6 183.7 Defense equipment................ 3.41 Materials Durable goods materials................ 26.73 157.4 158.3 160.0 162.4 152.1 158.4 162.7 163.5 159.6 155.4 153.0 152.3 152.6 153.1 Consumer durable.................... 3.43 170.3 174.1 171.0 166.9 141,6 158,0 174.0 178.8 179,0 173.7 160.0 150,6 149.5 147.9 Equipment.......................................... 7.84 180.7 175.5 178,3 180.9 178,0 182.3 187.2 189.1 191.2 193.2 192.3 188,2 187.6 185,3 Construction.................................. 9.17 141.6 142.9 145.3 151.5 146.6 150,0 148.2 146.1 138.2 131.3 128.5 129.5 133.2 138.1 Metal materials n.e.c......................... 6.29 144.4 150.9 152.8 152.7 133.7 141,1 147,0 148.7 140.7 133.4 136.0 141.6 138.9 138.8 Nondurable materials......................... 25.92 156.9 155.0 157.4 159.1 151.4 159,0 159.9 162.6 161.2 158.6 159.8 161.8 162.2 163.8 Business supplies.............................. 9.11 148.9 149.4 150.3 151.8 141.4 149. 8 153.9 157.7 153.1 147.9 148.0 151.5 153.6 157,2 Containers...................................... 3.03 145.4 147.5 147,6 150.9 142.5 1S2.0 152.4 152.7 143.1 134.0 139.2 145.3 145.3 152.4 General business supplies.............. 6.07 150 7 150.4 151.6 152,2 140.9 148.8 154.7 160.2 158.1 154.8 152,4 154.6 157 7 159,6 Nondurable materials n.e.c............... 7.40 192,8 194.1 194.9 195.8 183.4 192.7 192.8 198,1 200.7 195.1 198.3 201.8 199,7 201,3 Business fuel and power............ 9.41 136.3 129.7 134.8 137,2 135.8 141,4 139.9 139,5 137.9 140.1 141.0 140.3 141.1 141.0 Mineral fuels.................................. 6.07 122.2 116.3 122.6 122.7 116.6 123.4 122.3 125,7 124.6 126.9 126.9 127.3 127,4 128.0 Nonresidential utilities.................. 2.86 173.5 Electricity.................................. 2.32 174,5 164.1 167.8 176,8 187.0 191.9 188.3 177,8 173.5 175.2 178.9 174.3 178.0 General industrial................... 1.03 171 .6 166.0 170.0 173,5 173,7 179.8 179.7 178.0 176.7 175.3 177.9 172.8 178.0 Commercial and other........... 1.21 184.3 168.9 172,4 186.9 206.7 210.9 204.0 185,4 178.2 182.7 187.6 183.2 186.0 Gas............................................ . 54 164.4 Supplementary groups of consumer goods Automotive and home goods.......... 7.80 166.5 173.1 169.9 172.0 142.4 132.0 165,8 184.9 176.9 168.7 159.1 156.5 159.8 159.6 Apparel and staples........................... 24.51 141 4 136.7 136.9 142.9 139.0 150.4 149.6 149.2 143.2 138.1 141.5 142.2 141.6 For notes see opposite page. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 INDUSTRIAL PRODUCTION: N.S.A. 1031 INDUSTRY GROUPINGS (1957-59= 100) 1957-59 1966 1967 pro- 1966 Grouping averlion age” Apr. May June July Aug. Sept, Oct, Nov. Dec. Jan. Feb.r Mar.r Apr. Total index..................................... 100.00 156.3 154.8 156.0 159.3 150.9 156.8 161.3 163.8 160.2 157.1 156.6 156.8 157.2 157.5 Manufacturing, total........ 86.45 158.7 157.9 158,9 162.2 152.! 158.0 163,6 167. i 163.3 159.2 158.0 158.6 159.1 159.6 Durable.......................................... 48.07 165.1 164.9 166.1 169.0 158.2 160.4 169.5 173.2 170.2 168.3 164.7 (63.7 164.7 164.6 Nondurable.................................... 38.38 150.7 149.2 149.8 153.8 144.4 155.0 156,3 159.6 154.8 147.7 149.7 152.3 152.0 153.4 Mining..................................... 8.23 120.3 115.5 121.3 122.7 118.2 123,6 122,8 124,3 121.5 122.1 121.3 121.7 121.3 122.9 Utilities................... . . . 5.32 173.4 Durable manufactures Primary and fabricated metals.......... 12.32 151.5 154.2 155.5 156.3 143.8 151.2 156.1 156.3 151.8 147. 7 146.8 148.2 146.7 145.4 Primary metals.................................. 6.95 142.7 150.5 150.3 149.5 131.5 139 5 144 8 146 4 139 8 132.1 134.5 139.4 137.2 136.0 Iron and steel................................ 5.45 136.2 144.3 143.9 142.1 127.5 133.7 139 0 139 6 133 7 126 8 127.4 131,0 129.8 127.6 Nonferrous metals and products.. 1.50 166.5 172.3 173.7 176.5 146.2 160.5 165^9 17L4 16H7 (51.1 (60.4 169.7 (64.3 166.6 Fabricated meta) products................ 5.37 162,8 159.0 162.1 165.0 159.7 166.2 170,8 169.1 167,3 167.9 162.6 159.6 159.0 157.6 Structural metal parts 2.86 158.8 154.3 157.6 162.0 157.7 162 8 164 9 163 8 162 6 163 0 157 5 154.5 153.9 153.6 Machinery and related products........ 27.98 176.5 175.0 175.9 179.1 168.1 166.4 180.2 186.7 185.2 185.7 181.0 178.4 180.1 179.7 Machinery.......................................... 14.80 183.8 180.8 182,2 186.5 178.1 183.2 190 0 193 0 189 8 192.2 189.1 188.5 187.1 184.4 Nonelectrical machinery.............. 8.43 181.9 179.7 182.1 184.6 180.1 179.8 186 1 186 5 185 2 191.7 190 7 189,9 190.4 188.7 Electrical machinery........... 6.37 186.5 182.4 182.5 189.0 175 6 187 8 195 2 201 5 I96 0 192 9 186 8 186.8 182.7 178.7 Transportation equipment.......... 10.19 168.3 170.6 169.7 171.4 153’5 140’5 167^4 180*3 180 0 177 2 168 9 162.3 168.4 171.4 Motor vehicles and parts........ 4,68 171.3 185,0 178.5 180.9 138.5 106 3 163.7 187.1 183'6 1747 159 5 146.6 155.2 161,0 Aircraft and other equipment.... 5.26 165.2 157.2 161.3 162.4 165.5 169.4 170,4 174.6 177.2 (79.8 177.8 176.0 (79.7 180,1 Instruments and related products ... 1.71 176.5 170.2 174.6 178.3 175.2 178.8 181.5 183.8 184.7 186.8 184,0 182.5 184.9 184.9 Ordnance and accessories............... 1.28 Clay, glass, and lumber. ........... 4.72 132.9 136 5 138.0 143.6 137.2 142.0 139 3 136 2 126 9 118.1 116 8 120.5 124.4 128.3 Clay, glass, and stone products. .... 2.99 140.7 141.3 144.5 151.3 147.2 152.0 14<2 145^4 i38',5 129,4 125.5 125.3 130.3 134,6 Lumber and products....................... 1.73 119.3 128 1 126.7 130.3 119 9 124 7 122 1 120 2 106 8 98 7 101 8 112.2 114.2 117.6 Furniture and miscellaneous......... 3.05 165.0 159.2 162.9 167.3 159.1 171.9 172 0 174.8 174,2 169.7 161.0 158. 7 159. 4 158.4 Furniture and fixtures....................... 1.54 171,9 165.0 168.6 174.3 167 2 180.2 178.4 179 8 178 8 178 4 168,7 166.3 164.5 161.8 Miscellaneous manufactures.,......... 1.51 157.9 153.3 157.1 160.1 150'9 163 5 165.5 169.8 169^6 160*9 153 1 150.8 154.2 155.0 Nondurable manufactures Textiles, apparel, and leather............ 7.60 141.6 146,2 143.8 145.7 127 2 143.9 141 I 148,5 141 5 130 0 137 9 143.9 139.4 139.5 Textile mill products............... 2.90 142.3 146.4 148.7 147.6 129 1 145 7 141 7 146.7 142 5 131 5 140 0 140.8 137.7 143.2 Apparel products,............................ 3.59 150.3 156 3 149.9 154.3 134 0 150.7 149 9 159.9 150.8 137 0 145,7 156.7 151 .4 Leather and products........................ 1. H HI .9 113 2 111.5 113.1 100 0 117 6 HIS 116.7 108.6 103.7 107.2 110,9 105,5 Paper and printing................ 8.17 146.3 146.5 147.9 148.2 140 2 146 6 149 2 154.9 151 6 144.2 146.1 149.3 150.6 154.2 Paper and products,..,,..,............ 3.43 152.1 154.7 153.8 154.9 143 7 153 1 153 5 163 3 154 5 140 4 151.7 156.2 153,9 159.6 Printing and publishing..................... 4.74 142.2 140 5 143.5 143,3 137 7 141 9 146 0 148*8 149 5 146 9 142 0 144.4 148.3 150.3 Newspapers.................................... 1 53 134.2 136 8 142.6 136 I H8 6 126 0 138 4 145 6 1487 136 5 123 0 129.4 134 8 142 5 Chemicals, petroleum, and rubber.... 11.54 181.7 180.7 181.0 186.0 174.7 183.3 185.3 189.7 187.8 184.0 185.7 188.8 188.8 189.5 Chemicals and products.................... 7 58 193 0 192.7 193.7 198 3 187 4 194.9 195 3 198 7 200 4 196 3 197 6 201.9 203.0 205.2 Industrial chemicals...................... 3.84 220.1 220.8 220.4 223,2 2142 218.9 2216 224 1 230 9 228'8 227 4 234.3 233.6 Petroleum products........................... 1.97 128 4 122 6 126.1 131 5 133 6 135 3 134 1 132 5 127 4 125 9 124 8 124,9 125.5 127.4 Rubber and plastics products........... 1.99 191 ^9 192.7 187.1 193.3 167 0 186 5 I $8 1 212 1 200 0 194'5 200 8 202,2 197.8 Foods, beverages, and tobacco...... . 11.07 127.7 120 5 122.8 129,8 127 6 139 2 141 8 139 3 131.7 124 5 122 8 122.2 123.3 124.8 Foods and beverages........................ 10.25 128.4 120^9 122,8 129.7 129^6 140 0 143 1 140 2 132 7 126 7 123 3 122.4 124.0 125.1 Food manufactures........................ 8.64 126.6 117.4 118,2 124.1 125 1 137’6 143* 8 139*9 133^3 I27'o 124'5 (22.1 121,3 121.6 Beverages....................................... 1.61 137 8 139.7 147 6 159.8 153 4 152 8 139 1 142 1 129 8 124 8 116.9 124,2 138.7 Tobacco products................. .82 119.8 115.6 122.1 131.3 103 J 129^7 125^2 127 .*3 119.5 97.1 117.2 119,6 114.5 Mining Coal, oil, and gas........... 6.80 117.6 112.3 II7.3 117.4 112.4 118.9 118 1 120.8 119.7 121.6 121.6 122.2 120.9 120.6 Coal.............................................. I 16 115,2 85 9 118 1 120 0 93 1 127 0 121 3 132 4 118.7 122 9 118.3 117. t 116.0 126.4 Crude oil and natural gas................. 5.64 118.0 117.8 117.2 116’8 1164 I n'3 117 4 118 5 119.9 12L4 122,3 123.2 121.9 119.4 Oil and gas extraction,.......... 4.91 123 8 123 5 123.7 123 3 122*2 122 5 122 5 124 2 126 0 127 8 129 0 129.7 130 0 128.4 Crude oil.................................... 4 25 119*4 119 1 120.1 120,2 H85 118 8 118 9 119 9 120 8 122 0 122 8 123.6 124.2 123.2 Gas and gas liquids................. .66 151 7 151 4 146.3 143.7 145 8 1460 145*8 151 *4 159.0 164 9 168 5 Oil and gas drilling........................ .73 79.2 79.3 73.6 73,0 769 81 9 82 7 79 8 78 8 77.9 77 4 79. 4 67.2 58.6 Metal, stone, and earth minerals..... 1.43 133.2 130,4 140.2 147.7 145.6 145.6 145.4 140.9 130.0 124.2 119.9 119.4 122.9 133,9 Metal mining..................................... 61 132 7 129 9 147 0 151.6 143 4 142 7 145.3 138 5 123.7 120 8 123 5 127.9 127 9 I 38.3 Stone and earth minerals.................. .82 133.5 130.9 135 I 144.9 147.2 147.8 145.5 142.7 134,7 126.8 117,3 113.2 119.1 130,6 Utilities Electric............................ 4 04 179.7 167.4 165.3 173.5 192.3 199.5 191.7 176.2 173 2 183,5 196.5 188.1 189,0 Gas...................................................... 1.28 156.1 Note.—Published groupings include some series and subtotals not Industrial Production—1957-59 Hase. Figures for individual series and shown separately. A description and historical data are available in subtotals (N.S.A.) are published in the monthly Business Indexes release. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1032 BUSINESS ACTIVITY; CONSTRUCTION JUNE 1967 SELECTED BUSINESS INDEXES (1957-59= 100) Manu­ Industrial production facturing 2 Prices 4 Nonag- Major market groupings Con­ ricul- Major industry struc­ tural Freight Total Period Final products groupings c ti o o n n ­ p e l m oy ­ ­ Em­ l c o a a r d ­ ­ s r a e l t e ai s l 3 Whole­ Total tracts ment— ploy- Pay­ ings Con­ sale Mate­ Total t ment rolls sumer com­ Total s C u o m n e ­ r E m q e u n ip t ­ rials Mfg. M in i g n­ u it t ie il s ­ modity goods 1951..................... 81.3 78.6 77.8 78.4 83.8 81.9 91.3 56.4 63 91.1 106.1 80.2 121.5 76 90.5 96,7 1952..................... 84.3 84.3 79.5 94.1 84.3 85.2 90. 5 61.2 67 93.0 106.1 84.5 115.0 79 92.5 94.0 1953..................... 91.3 89.9 85.0 100.5 92.6 92.7 92.9 66.8 70 95.6 111.6 93.6 116.6 83 93.2 92.7 1954................... 85.8 85.7 84.3 88.9 85.9 86.3 90,2 71.8 76 93.3 101.8 85.4 104.6 82 93.6 92.9 1955.................. 96.6 93.9 93.3 95.0 99.0 97.3 99.2 80.2 91 96.5 105.5 94.8 115. 3 89 93.3 93.2 1956..................... 99.9 98.1 95.5 103.7 101.6 100.2 104.8 87.9 92 99.8 106.7 100.2 115.9 92 94,7 96.2 1957..................... 100.7 99.4 97.0 104.6 101.9 100.8 104.6 93.9 93 100.7 104.7 101.4 108.2 97 98 0 99.0 1958..................... 93.7 94.8 96.4 91.3 92.7 93.2 95.6 98. 1 102 97.8 95.2 93.5 93.8 98 100.7 100 4 1959..................... 105.6 105.7 106.6 104.1 105.4 106.0 99.7 108.0 105 101.5 100.1 105.1 97.9 105 101.5 100.6 I960..................... 108.7 109.9 111.0 107.6 107.6 108.9 101.6 115.6 105 103.3 99.9 106.7 95.3 106 103.1 100.7 1961................... 109.7 111.2 112.6 108.3 108.4 109.6 102.6 122.3 108 102.9 95.9 105.4 91.2 107 104.2 100.3 1962..................... 118.3 119.7 119.7 119.6 117.0 118.7 105.0 131.4 120 105.9 99.1 113,8 92.4 115 105.4 100.6 1963..................... 124.3 124.9 125.2 124.2 123.7 124.9 107.9 140.0 132 108.0 99.7 117.9 93.3 120 106.7 100 3 1964..................... 132.3 131.8 131,7 132.0 132.8 133.1 111.5 151.3 137 111.1 101.5 124 3 95.5 127 108.1 1005 1965.................... 143.4 142.5 140.3 147.0 144.2 145.0 114.8 160.9 143 115.7 106.5 136.3 96.6 138 109.9 102 5 1966 v.................. 156.3 155.4 147.4 172.6 157.1 158.7 120.3 173.4 145 121.6 112.7 150.4 96.5 148 113.1 105.9 1966—Apr.......... 153.9 152.9 146.4 166.9 154.5 156.6 115.6 169.1 161 120.6 H.9 148.9 97.0 146 112.5 105.5 155.3 153.7 146.2 169.8 157.1 157,6 120.7 170.2 156 120.9 112.4 149.0 100.0 143 112.6 105.6 June......... 156.5 154.9 147,1 171.4 158.0 158,9 122.0 171.7 147 121.8 113.4 150.1 95.1 149 112.9 105.7 July.......... 157.2 155.3 146.5 174.4 158.8 159.4 122.0 175.7 147 122.0 112.7 148.9 93.6 148 113.3 106.4 Aug.......... 158.0 156.4 147.1 176.4 159.6 160.1 122.1 179.0 139 122,2 113.8 151.4 94.0 150 113.8 106.8 157.7 156.3 146.5 177.4 159.2 160.0 121.0 177.0 146 122.2 113.3 152.7 95.0 150 114.1 106. 8 Oct........... 158.9 158.3 148.8 178.8 159.9 161.5 121.6 175.2 139 122.7 113.9 153.8 93.9 149 114.5 106.2 Nov...... 158.6 158.5 148.8 179.6 159.1 161.0 121.0 176.9 130 123 4 114.6 154,5 97.1 150 114.6 105.9 Dec........... 159.0 159.2 149,1 181.0 158.9 161.3 123.0 177.7 133 123.9 114.7 154.4 99.0 148 114.7 105.9 1967—jan............ 158.1 158.1 147.8 180.2 158.0 160.1 123.0 179.6 126 124.5 114.7 156.2 97.4 150 114.7 106.2 Feb........... 156,4 H56.4 145.2 '180.3 156.2 '158. 5 '122.4 178.2 143 124.7 114.1 153 2 95.6 149 114.8 106 0 Mar. 156.4 H56.7 '146.0 '179.6 '155.8 '158. 1 122.5 '180.6 149 '124.9 rl 13.5 r152.9 95 9 151 115.0 105.7 Apr H56.0 '156.6 '146.2 178.9 ’155.9 r157.8 '122.1 179.5 138 '124.7 '112.5 ’■151.1 95.9 rI52 115,3 105.3 May*........ 155,5 156.3 145.9 178.8 155,1 157.4 120.9 179.5 124.6 111.8 149.6 93.1 152 105.8 1 Employees only; excludes personnel in the armed forces. value of total construction contracts, including residential, nonresidential, 2 Production workers only. and heavy engineering; does not include data for Alaska and Hawaii. 3 F.R. index based on Census Bureau figures. Employment and payrolls: Based on Bureau of Labor Statistics data; 4 Prices are not seasonally adjusted. includes data for Alaska and Hawaii beginning with 1959, Prices: Bureau of Labor Statistics data. Note.—Data are seasonally adjusted unless otherwise noted, Freight carloadings: Based on data from Association of American Construction contracts: F. W. Dodge Co. monthly index of dollar Railroads. CONSTRUCTION CONTRACTS (In minions of dollars) 1966 1967 Type of ownership and type of construction 1965 1966 Apr. May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr. Total construction....................... 49,272 50,150'5,066 5,132 4,854 4,774 4,302 4,083 4,106 3,461 3,189 2,838 3,300 4,424 4,389 By type of ownership: Public............................................ 16,302 18,152 1,574 1,902 1,937 2,020 1,568 1,379 1,607 1,357 1,287 1,113 1,188 1,509 1,498 Private........................................... 32,970 31,998 '3,492 3,230 2,916 2,754 2,733 2,704 2,499 2,104 1,902 1,725 '2,112 2,916 2,891 By type of construction: Residential building..................... 21,247 17,827 '2,049 I ,970 1,828 1,461 1,494 1,261 1,225 1,076 903 937 1,056 1,584 Nonresidential building............... 17,219 19,393 1,883 1,826 1,885 1,813 1,729 1,676 1,796 1,424 1,358 1,175 1,430 1,714 Nonbuilding........ 7............... 10,805 12,’930 1,134 1,335 1,140 1,499 1,079 1,146 1,086 961 928 726 814 1,127 .......... Note.—Dollar value of total contracts as reported by the F. W. Dodge data exceed annual totals because adjustments—negative—are made to Co, does not include data for Alaska or Hawaii, Totals of monthly accumulated monthly data after original figures have been published. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 CONSTRUCTION 1033 VALUE OF NEW CONSTRUCTION ACTIVITY (In millions of dollars) Private Public Nonresidential Conser­ Period Total Total d N f e r a e n o r s t m i n i ­ a ­ l Total Buildings Other Other Total M ta i r l y i­ H w ig ay h­ d v e m v a & t e e i l n o o t n p ­ Other 2 [Indus­ Com­ build­ trial mercial ings 1 1956,............................ 47,601 34,869 20,178 14,691 3,084 3,631 2,103 5,873 12,732 (,360 4,415 826 6,131 1957 ............................. 49,139 35,080 19'006 16,074 3,557 3,564 2,435 6,518 14,059 1,287 4,934 971 6,867 1958 ............................. 50,153 34[696 19,789 14^907 2 [382 3[589 2 [704 6,232 15,457 1,402 5,545 1,019 7 [491 19593........................... 55,305 39,235 24,251 14,984 2,106 3,930 2,823 6,125 16,070 1,465 5,761 1,121 7,723 I960............................. 53,941 38,078 21,706 16,372 2,851 4,180 3,118 6,223 15,863 1,366 5,437 1,175 7,885 1961............................. 55,447 38,299 21,680 16^619 2,780 4[674 3 [280 5,885 17,(48 1,371 5,854 1,384 8,539 1962 <................... 59,667 41,798 24,292 17,506 2,842 5,144 3,631 5,889 17,869 1,266 6,365 1,524 8,714 1963 3........................... 62,968 43'642 25,843 17,799 2,906 4,995 3,745 6,153 19,326 1,227 7,091 1,690 9,318 1964............................. 66,221 45,9(4 26,507 19,407 3,572 5,406 4,020 6,409 20,307 968 7,144 1,729 10,466 1965............................. 71,930 49,999 26,689 23'310 5[086 6 [704 4,731 6,789 21,931 883 7,547 2,017 11,484 1966............................. 74,369 50,623 24,633 25,990 6,779 6[887 5,068 7[256 23,746 770 8,274 2,185 12,517 1966—Mar................... 79,499 55,066 27,279 27,787 7,073 7,672 5,750 7,292 24,433 1,009 8,550 2,323 12,551 Apr.................... 78,578 54'347 27'437 26,910 7[ 175 7,097 5,300 7,338 24,231 887 8,791 2,226 12[327 May.................. 76', 135 52,284 27,023 25,261 6,856 6,126 5,245 7,034 23,851 650 8,783 2,142 12,276 June.................. 74,795 52,'108 26,(56 25'952 7,548 6,343 4,821 7 [240 22,687 744 8,257 2,091 11 [595 July................... 72,456 50,061 25,115 24,946 c7,164 c6,482 4,238 7,062 22,395 800 8,175 2,107 11,313 Aug................... 72,215 49'668 23,927 25,741 c7,163 c6,280 5,103 7,195 22,547 746 8,145 2,219 U [437 Sept................. . 73'757 49',725 23'100 26[625 6[913 7,054 5,371 7,287 24,032 848 8,191 2,187 12,806 Oct..................... 71,015 46[754 22,012 24,742 6,223 6,608 4,743 7,168 24,261 655 8,131 2,094 13,381 Nov.............. 71,449 46'811 20,830 25,981 6,444 7,051 5,036 7,450 24,638 716 7,961 2,427 13,534 Dec................... 71,326 46'876 20'459 26,417 6,250 7,516 5,102 7,549 24,450 726 8,119 2,318 13,287 1967—Jan..................... 72,937 48,281 20,739 27,542 8,138 5,453 7,287 24,656 654 8,160 2,333 13,509 73 400 49 000 21 200 27,700 7, 10O 7,900 5,400 7,400 24,400 72,900 48,200 21,800 26,400 6,600 7 [300 5 [100 7 [400 24,700 1 Includes religious, educational, hospital, institutional, and other build­ 5 Beginning 1963, reflects inclusion of new series under “Public” (for ings. . . State and local govt, activity only). 2 Sewer and water, formerly shown separately, now included in “Other.” Note.—Monthly data are at seasonally adjusted annual rates. Be­ 3 Beginning with 1959, includes data for Alaska and Hawaii, ginning with 1959, figures are Census Bureau estimates. Data before 4 Beginning July 1962, reflects inclusion of new series affecting most 1959 are joint estimates of the Depts, of Commerce and Labor. private nonresidential groups. NEW HOUSING STARTS (In thousands of units) By area By type of ownership Annual rate, Government- S.A. underwritten (private only) Private Period Total Non­ Total N fa o rm n­ p M o e li t t r a o n ­ p m o e li t t r a o n ­ Total fam 1- i ly fam 2- i ly M fam ul i t l i y ­ Public Total FHA VA 1956............................. 1,349 1,325 24 465 195 271 1957, ......................... 1,224 1[175 49 322 193 128 1958,.............. 1[382 l[314 68 439 337 102 1959............................. 1,554 1,077 477 1,517 1,234 56 227 37 458 349 109 I960............................. 1,296 889 407 1,252 995 44 213 44 336 261 75 1961............................. 1[365 948 417 l[313 974 44 295 52 328 244 83 1962............................. 1[492 1,054 439 1[463 991 49 422 30 339 261 78 1963............................. 1,641 1,151 490 1,609 1,021 53 535 32 292 221 71 1964............................. 1,591 1,U9 472 1,557 972 54 532 33 264 205 59 1965............................. 1[543 1,068 475 1,505 962 50 493 38 249 197 53 1966............................. 1,252 852 400 1,220 794 40 387 32 199 158 40 1066—Anr................... 1,502 1,481 149 107 42 147 95 5 47 2 22 18 3 May.................. 1,318 1[287 139 92 48 135 88 4 43 4 18 14 3 June................. 1 [285 1,261 131 88 43 128 84 4 40 3 19 15 4 July........... 1,088 1 [068 105 70 35 104 71 3 30 1 17 13 4 Aug................... l[107 1 [084 107 72 35 105 71 3 31 2 18 14 4 Sept................... ([075 1,050 95 64 31 92 62 3 27 3 13 10 3 Oct.................... *848 826 83 54 29 80 55 2 23 3 13 9 3 Nov................. 1 012 993 78 51 27 75 51 3 22 2 13 10 3 Dec.................... 1,089 1,066 66 47 19 64 40 2 21 2 12 10 3 1967--Jan..................... 1,297 1,266 68 48 20 65 40 2 23 3 13 10 3 Feb.................... 1,163 1 [ 147 66 47 19 64 40 2 22 2 12 9 3 Mar............... ?1[161 ^[134 *97 65 32 *95 65 3 27 P2 18 14 5 Apr................... ”1,171 *1[154 *117 78 38 1*114 80 4 31 ”2 17 12 5 Note.—Beginning with 1959, Census Bureau series includes both farm by area or type of structure. Data from Federal Housing Admin, and and nonfarm series developed initially by the Bureau of Labor Statistics. Veterans Admin, represent units started, based on field office reports of Series before 1959 reflect Census Bureau revisions that are not available first compliance inspections. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1034 EMPLOYMENT JUNE 1967 LABOR FORCE, EMPLOYMENT, AND UNEMPLOYMENT (In thousands of persons unless otherwise indicated) Civilian labor force, S.A. Period i T ns o t t i a tu l t n io o n n a - l l N ab o o t r i n f o t r h c e e T la o b t o a r l Employed1 Une m ra m e te n p 2 t l oy­ population force N.S.A. N.S.A. S.A. Total In nonagri- U pl n o e y m ed ­ (pe S r .A ce . nt) Total cultural agri . c I u n l ture industries 1961........................... 121,343 48,312 73,031 70,459 65,746 60 546 5,200 4,714 6.7 1962.......................... 122^981 49'539 73^442 70,614 66 702 61 759 4,944 3'911 5.5 1963........................... 125,154 50,583 74371 71,833 67,762 63.076 4’687 4,070 5.7 1964........................ 127,224 51'394 75’830 73*091 69,305 64,782 4,523 3,786 5.2 1965.......................... 129'236 52,058 77 J 78 74,455 71,088 66 .’726 4361 3,366 4.5 1966.......................... 131'180 52,288 78,893 75,770 72,895 68,915 3,979 2,875 3.8 1966—May............... 130,925 52,466 78,194 75,149 72,253 68,351 3,902 2,896 3.9 June............... 131,083 50,356 78,767 75,668 72,730 68 749 3,981 2,938 3.9 July.............. 131’,236 50,397 78,905 75,770 72,846 68,920 3,926 2’924 3.9 131,419 50*755 79,247 76,069 73,141 69,206 3,935 2'928 3.8 Sept............... 131,590 52,609 79368 76,039 73J95 69309 3,886 2,844 3.7 Oct................ 131’772 52,285 79'360 76,081 73’199 69,420 3,779 2,882 3.8 Nov............... 131'949 52^054 79'934 76,612 73'897 70.'005 3,892 2,715 3.5 Dec................ 132'121 52,479 80'154 76'764 73'893 69,882 4,011 2,871 3.7 1967 3—Jan............... 132,295 53,589 80,473 77,087 74,255 70,240 4,015 2,832 3.7 Feb.......1..3.2..*..448 53'341 80’443 77'025 74,137 70,247 3,890 2,888 3.7 Mar............. 132',627 53'678 79'959 76'523 73’747 69 ,'892 3,855 2’776 3.6 Apr.............. 132'795 53,234 80,189 76,740 73'910 70*020 3,890 2,830 3.7 May............. 132,969 53,419 79,645 76,189 73,289 69,637 3,652 2,900 3.8 * Includes self-employed, unpaid family, and domestic service workers. Note.—.Bureau of Labor Statistics. Information relating to persons 16 2 Per cent of civilian labor force. years of age and over is obtained on a sample basis. Monthly data relate 3 Beginning January 1967 data not strictly comparable with previous to the calendar week that contains the 12th day; annual data are averages data. Description of changes available from Bureau of Labor Statistics. of monthly figures. EMPLOYMENT IN NONAGRICULTURAL ESTABLISHMENTS, BY INDUSTRY DIVISION (In thousands of persons) Period Total M t a u n ri u n f g ac­ Mining c C o o n t n i s o t t n r r a u c c t ­ T ti l o i r c a n n u & s ti p l i o p ti r u e t b s a ­ ­ Trade Finance Service G m ov e e n r t n­ 1961......................................................... 54,042 16,326 672 2,816 3,903 11,337 2,731 7,664 8,594 1962......................................................... 55,596 16,853 650 2,902 3,906 11,566 2,800 8,028 8,890 1963......................................................... 56,702 16,995 635 2,963 3,903 11,778 2,877 8.325 9,225 1964......................................................... 58,332 17,274 634 3,050 3,951 12,160 2,957 8,709 9,596 1965......................................................... 60,770 18,032 632 3,181 4,033 12,683 3,019 9,098 10,091 1966......................................................... 63,864 19,081 628 3,281 4,136 13,220 3,086 9,582 10,850 SEASONALLY ADJUSTED 1966—May........................................... 63,517 19,002 628 3,238 4,132 13,164 3,076 9,515 10,762 June.............................................. 63,983 19,167 632 3,300 4,143 13,217 3,090 9,549 10,885 July.............................................. 64,072 19,128 636 3,297 4,122 13,256 3,095 9,609 10,929 Aug............................................... 64,199 19,262 636 3,251 4,105 13,264 3.100 9,647 10,934 Sept.............................................. 64,168 19,204 628 3,228 4,168 13,268 3,100 9,649 10,923 Oct................................................ 64,466 19,312 625 3,202 4,165 13,340 3,102 9,712 11,008 Nov............................................ 64,823 19,415 624 3,204 4,195 13,393 3,110 9,778 11,104 Dec............................................... 65,076 19,445 626 3,293 4,196 13,392 3,121 9,821 11,182 1967—Ian................................................ 65,381 19,468 628 3,301 4,230 13,503 3,129 9,869 11,253 Feb............................................... 65,497 19,402 626 3,350 4,225 13,524 3,142 9,919 11,309 Mar............................................. 65,600 19,355 627 3,321 4,223 13,547 3,159 9,981 11,387 Apr.1'.................... 65,479 19,221 625 3,262 4,185 13,578 3,175 (0,007 11,426 Mayp........................................... 65,435 19,143 619 3,159 4,235 13,581 3,183 10,031 11,484 NOT SEASONALLY ADJUSTED 1966—May................................... 63,465 18,906 630 3,277 4,115 13,061 3,070 9,572 10,834 June.............................................. 64,563 19.258 645 3,521 4,180 13,239 3,112 9,702 10,906 July.............................................. 64,274 19,123 645 3,623 4,171 13,225 3,148 9,782 10,557 Aug.............................................. 64,484 19,391 649 3,641 4,154 13,224 3,146 9,772 10,507 Sept............................................. 64,867 19,533 637 3,525 4,218 13,253 3,109 9,707 10,885 Oct................................................ 65,190 19,538 631 3,449 4,198 13,385 3,099 9,751 11,139 Nov.............................................. 65,389 19,522 628 3,310 4,208 13,599 3,098 9,739 11,285 Dec............................................. 65,904 19,430 625 3,128 4,200 14,241 3,105 9,733 11,442 1967—Jan................................................ 64,334 19,233 614 2,925 4,162 13,322 3,095 9,672 11,311 Feb............................................... 64,286 19,196 609 2,841 4,153 13,205 3,114 9,750 11,418 Mar.............................................. 64,628 19,161 610 2,896 4,168 13,317 3,137 9,841 11,498 Apr.^........................................... 64,990 19,075 619 3,089 4,147 13,388 3,162 9,987 11,523 May1’........................................... 65,376 19,046 621 3,197 4,218 13,465 3,177 10,091 11,561 Note.—Bureau of Labor Statistics; data include all full- and part­ domestic servants, unpaid family workers, and members of the armed time employees who worked during, or received pay for, the pay period forces are excluded. that includes the 12th of the month. Proprietors, self-employed persons, Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 EMPLOYMENT AND EARNINGS 1035 PRODUCTION WORKER EMPLOYMENT IN MANUFACTURING INDUSTRIES (In thousands of persons) Seasonally adjusted Not seasonally adjusted Industry group 1966 1967 1966 1967 May Mar. AprT Mayp May Mar. Apr.p Mayp Total........................ • 14,154 14,297 14,167 14,088 14,074 14,128 14,035 14,006 Durable goods.......................................................................................... 8,261 8,369 8,242 8,222 8,277 8,292 8,225 8,235 Ordnance and accessories...................................... 118 144 '143 146 117 143 142 144 Lumber and wood products................................. 546 538 525 517 548 509 511 519 Furniture and fixtures............................................ 379 375 369 371 373 371 366 365 Stone clay, and glass products............................. 516 509 496 490 521 486 491 495 Primary metal industries....................................... • 1,070 1,052 1,031 1,022 1,085 1,057 1,044 1,036 Fabricated metal products................................... 1 '046 1,064 1 '051 1,046 1,046 1 '047 1,044 1,045 Machinery.............................................................. 1'299 1,352 1,340 1'339 1,309 1,364 1'356 1,350 Electrical equipment and supplies........................ 1,308 1'336 1'308 1,300 1,291 1,324 1,292 1,283 Transportation equipment................................... 1,351 1 '362 1 ,'343 1,358 1,365 1,370 1,354 1,372 Instruments and related products......................... '273 '288 '287 '286 '271 '286 '285 283 Miscellaneous manufacturing industries............... 355 349 349 347 351 335 340 343 Nondurable goods.......................................................... 5,893 5,928 5,925 5,866 5,797 5,836 5,810 5,771 Food and kindred products................................... 1,154 1,189 1'177 1,172 1,093 1,102 1,099 1,110 Tobacco manufactures.......................................... ' 73 72 73 ' 74 ' 62 65 ' 63 ' 63 Textile-mill products............................................. 850 836 831 824 850 832 828 824 Apparel and related products................................ 1,257 1,222 1,231 1,233 1,242 1 ,238 1,217 1,218 Paper and allied products..................................... '519 '534 532 '529 515 '528 528 '525 Printing publishing and allied industries............ 648 677 677 677 646 675 675 675 Chemicals and allied products............................... 564 579 578 577 570 580 587 583 Petroleum refining and related industries............. 113 113 115 114 114 111 114 115 Rubber and misc. plastic products....................... 396 408 409 368 393 406 405 366 Leather and leather products................................. 319 298 302 298 312 299 294 292 Note.—Bureau of Labor Statistics; data cover production and related workers only (full- and part-time) who worked during, or received pay for, the pay period that includes the 12th of the month. HOURS AND EARNINGS OF PRODUCTION WORKERS IN MANUFACTURING INDUSTRIES Average hours worked Average weekly earnings Average hourly earnings (per week; S.A.) (dollars per week; N.S.A.) (dollars per hour; N.S.A.) Industry group 1966 1967 1966 1967 1966 1967 May Mar. Aprp Mayp May Mar. Aprp Mayp May Mar. Apr.p Mayp Total.......................................................... 41.5 40.4 40.5 40.3 112.05 112.44 112.56 112.84 2.70 2.79 2.80 2.80 Durable goods................................................... 42.2 41.0 40.9 40.9 121.82 121.06 121.18 122.18 2.88 2.96 2.97 2.98 Ordnance and accessories.......................... 42.4 41.7 41.4 41.7 134.51 133.95 132.99 133.54 3.18 3.22 3.22 3.21 Lumber and wood products...................... 41.4 40.6 40.7 40.4 94.66 93,03 95.58 97.27 2.27 2,32 2.36 2.39 Furniture and fixtures............................... 42.0 40. f 40. 1 40.0 90.67 90.52 90.23 90.23 2.19 2.28 2.29 3.29 Stone, clay, and glass products................. 41 .8 41.6 41.3 41.1 114.63 113.70 115,23 116.90 2.71 2.78 2.79 2.81 Primary metal industries.......................... 42.2 40.7 40.0 40.4 139.07 135,38 133.25 133.57 3,28 3.31 3.29 3.29 Fabricated metal products....................... 42.4 41.4 41.4 41.5 121.84 120.72 121.13 123.85 2.86 2.93 2.94 2.97 Machinery................................................... 43.8 43.0 42.6 42.4 135.83 136.20 134,51 134.93 3.08 3.16 3.15 3.16 Electrical equipment and supplies............. 41.3 40,0 39.9 39.6 108.62 108,13 108.11 108.50 2.63 2.71 2.73 2.74 Transportation equipment......................... 42.2 40.7 40 9 40.6 139.07 136,49 137.30 138.72 3.28 3.37 3.39 3.40 Instruments and related products............. 42.4 41.5 41.2 41.4 113.79 114,40 113.85 115.23 2.69 2.77 2.77 2.79 Miscellaneous manufacturing industries... 40.3 39.2 39.6 39.5 88.62 91.96 91.57 91.57 2.21 2.34 2.33 2.33 Nondurable goods.............................................. 40.3 39.6 39.7 39.5 98.33 100.08 100.22 100.73 2.44 2.54 2.55 2.55 Food and kindred products...................... 40.9 41.1 40.9 40.6 103.89 106.52 106.53 107.18 2.54 2.63 2.65 2.64 Tobacco manufactures............................... 38.5 38.5 39.8 38.2 86.94 87.52 91,33 89.68 2.27 2.34 2.36 2.36 Textile-mill products.................................. 42,2 40.3 40.6 40. 5 81.45 80.80 81.20 81.81 1,93 2.01 2.02 2.02 Apparel and related products..................... 36.5 35.5 36.2 36.0 68.26 71.80 72.16 72.00 1,87 2.00 2.01 2.00 Paper and allied products.......................... 43.7 42.8 42.9 42.5 119.03 119.71 119.57 119.14 2,73 2.81 2.82 2.81 Printing, publishing, and allied industries. 38.7 38.5 38.7 38.2 122.22 124,68 123.65 124.09 3,15 3.23 3.22 3.24 Chemicals and allied products................... 41.9 41.7 41 7 41.2 124.49 127.19 127.49 127.10 2,95 3.05 3.05 3.07 Petroleum refining and related industries.. 42.5 43.1 42.7 41.9 145.61 150.94 152.44 148.61 3,41 3.56 3.57 3.53 Rubber and misc. plastic products............ 42. 1 41.0 41.2 40.7 111.57 110.16 109,89 107,86 2.65 2,70 2.70 2.65 Leather and leather products..................... 39.0 36.9 37.7 37.8 74.88 75.65 75.19 77.04 1.94 2.05 2.06 2.06 Note.—Bureau of Labor Statistics; data are for production and related workers only. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1036 PRICES JUNE 1967 CONSUMER PRICES (1957-59=1100) Housing Health and recreation Period it A em U s Food Total Rent H ow s o h m n ip e e r - ­ F c a o o n u i a d e l l l t e r G a i l c n e a i c d t s y ­ o n F i p a n i n e u s g r h d r s a ­ ­ ­ A up p a k p n e a d e r e p l T p t o r i a o r n t n a s ­ ­ Total M c ic a e a r d e l ­ s c P o a e n r r a e ­ l r R e a i c e n n r a g e d d a ­ ­ O g s a o e t n o r h v d d e ­ s r tion tion ices 1929, ........................ 59.7 55.6 85.4 1933. 45.1 35.3 60.8 1941. 51.3 44.2 61.4 64.3 45.2 88.3 51.2 50.6 47.6 57.3 58.2 1945. 62.7 58.4 67.5 66,1 53.6 86.4 55.4 57,5 63.6 75.0 67.3 1958, 100.7 101,9 100,2 100.1 100.4 99.0 100.3 99.9 99.8 99.7 100.3 100.1 100.4 100.8 99.8 1959. 101.5 100.3 101.3 101.6 101,4 100.2 102.8 100.7 100.6 103.8 102.8 104.4 102.4 102,4 101.8 1960. 103.1 101,4 103.1 103,1 103,7 99.5 107.0 101.5 102.2 103.8 105.4 108.1 104.1 104.9 103.8 1961 . 104.2 102.6 103.9 104,4 104.4 101.6 107,9 101.4 103.0 105,0 107,3 ltl.3 104,6 107.2 104.6 1962. 105.4 103,6 104.8 105.7 105.6 102.1 107,9 101.5 103.6 107,2 109,4 114.2 106,5 109.6 105.3 1963. 106.7 105.1 106.0 106.8 107.0 104,0 107,8 102.4 104.8 107,8 111.4 117.0 107,9 111.5 107.1 1964......................... 108.1 106.4 107.2 107.8 109.1 103,5 107.9 102.8 105.7 109.3 113.6 119.4 109.2 114.1 108.8 1965. 109.9 108,8 108,5 108.9 111,4 105,6 107.8 103.1 106.8 111,1 115.6 122.3 109.9 115.2 111.4 1966......................... 113,1 114.2 111,1 110.4 115.7 108.3 108.1 105.0 109.6 112.7 119.0 127.7 112,2 117.1 114.9 1966--Apr................ 112.5 114,0 110,3 HO.1 114.3 108.5 108.3 104.4 108.7 112.0 118.1 125.8 111,6 116.8 114.3 May.............. 112.6 113,5 110.7 110.2 115.0 108,0 108.2 104.6 109.3 112.0 118,4 126.3 112.0 116.8 114.7 June.............. 112.9 113.9 111.1 110.2 115.8 107.0 108.1 104.8 109.4 112,2 118,7 127.0 112.2 117.0 114.9 July............... 113.3 114.3 111,3 110.3 116.2 107.0 108.1 105.1 109.2 113.5 119,1 127,7 112,5 117.2 115.3 Aug............... 113.8 115,8 111.5 110.6 116.4 107.0 108.1 105.2 109.2 113.5 119.5 128.4 112.7 117.4 115,5 Sept............... 114.1 115.6 111.8 110,7 116.8 107.4 108.1 105.7 110.7 113.3 119,9 129.4 113,0 117.5 115.7 Oct................ 114.5 115.6 112.2 111.0 117.4 108.3 108.0 106.1 111.5 114.3 120,4 130.4 113.3 118.0 115.9 Nov............... 114,6 114.8 112,6 111.2 117.8 108.9 108.1 106.5 112.0 114.5 120.8 131.3 113.4 118.3 116,0 Dec............... 114.7 114.8 113.0 111.3 118.6 110.2 107.9 106.7 112.3 113,8 121.0 131.9 113.7 118.4 115.9 1967--Jan................. 114.7 114.7 113.1 111.4 118.7 110.5 108.3 106.7 111.3 113.4 121.4 132.9 113.8 118.5 116.2 Feb................ 114.8 114.2 113.3 111,7 118.9 111.1 108.3 107,0 111.9 113.8 121.8 133.6 114.1 118.6 116.3 Mar............... 115.0 114.2 113.3 111.8 118.6 111,1 108.3 107.3 112.6 114,2 122.2 134.6 114.4 118.9 116.4 Apr............... 115.3 113.7 113.6 111.9 119.0 111.0 108.4 107.7 113.0 115.1 122.6 135.1 114.9 119.4 116.6 Note.—Bureau of Labor Statistics index for city wage-earners and clerical workers. WHOLESALE PRICES: SUMMARY (1957-59- 100) Industrial commodities Period m c t A o i o e m l d s l i ­ ­ F p u r a c o r t m d s ­ P f e f o a e s r n e o s o e d d d c d s s ­ Total T t e il e t e c x s . ­ , H e i t d c e . s, F e u tc e . l, C ic e h a t e c ls m . , ­ R b et e u c r b . , ­ L b e u t e c m r . , ­ P e a t p c e . r, M e a t l c e s . t , ­ e c M q a e h n u r i a y d n ip ­ - - F t e u u t r r c e n . , i- N t m m al o i U e n n - - c - T e p t q o r io u a r n i n t p a s - - - n c M e e o l i l s u a - - s ment orals ment 1958............................. 100.4 103.6 102.5 99.5 98.9 96.0 98.7 100.4 100.1 97.4 100.1 99.1 100.0 100.2 99.9 n.a. 100.6 1959............................. 100.6 97.2 99.9 101.3 100.4 109.1 98.7 100.0 99.7 104.1 101.0 101.2 102.1 100.4 101,2 n.a. 100.8 I960............................. 100.7 96.9 100.0 101.3 101.5 105.2 99.6 100,2 99.9 100.4 101.8 101.3 102.9 100.1 101,4 n.a. 101.7 1961............................. 100,3 96 0 101.6 100.8 99.7 106.2 100.7 99.1 96.1 95.9 98.8 100.7 102.9 99.5 101.8 n.a. 102.0 1962............................. 100.6 97.7 102.7 100.8 100.6 107.4 100.2 97.5 93.3 96.5 100.0 100.0 102.9 98.8 101.8 n.a. 102.4 1963 ............................. 100.3 95.7 103.3 100.7 100.5 104.2 99.8 96.3 93.8 98.6 99.2 100.1 103.1 98.1 101.3 n.a. 103.3 1964............................. 100.5 94,3 103.1 101.2 101.2 104.6 97.1 96.7 92.5 100.6 99.0 102.8 103.8 98.5 101.5 n.a. 104.1 1965............................. 102.5 98,4 106.7 102.5 101.8 109.2 98.9 97.4 92.9 101.1 99.9 105.7 105.0 98.0 101.7 n.a. 104.8 1966............................. 105.9 105.6 113.0 104.7 102.1 119.7 101.3 97.8 94.8 105.6 102,6 108.3 108.2 99.1 102.6 n.a. 106.8 1966—Apr................... 105.5 106.4 111.5 104.3 102.2 120.8 100.0 97.6 95.4 108.4 102.3 108.2 107.2 98,6 102,3 n.a. 106.7 105.6 104.5 111.8 104.7 102.2 122.9 100.4 97.7 95.4 109.6 102.7 108.4 107.8 98.9 102,4 n.a. 106.8 June.................. 105.7 104.2 112.0 104.9 102.2 122.9 101.5 97.6 95.4 107.7 103.0 108.7 108.1 98.9 102.5 n.a. 106.9 July................... 106.4 107.8 113.8 105.2 102.4 122.7 101.4 97.9 95.1 106.6 103,2 108.8 108.3 99.0 102.7 n.a. 107.1 Aug,.................. 106.8 108.1 115.7 105.2 102.4 121.2 102.0 97,9 95.1 106.2 103.2 108.5 108.5 99.1 102.7 n.a. 107.1 Sept................... 106.8 108.7 115.5 105.2 102.2 119.9 102.2 98.0 94.7 105.9 103.1 108.4 108.9 99.2 103.0 n.a. 107.1 Oct.................... 106.2 104.4 113.9 105.3 102.2 118.7 102.6 97.9 94.6 104.8 103.1 108.6 109.4 99.7 103.2 n.a. 107.2 Nov................... 105.9 102,5 112.6 105.5 102.1 117.5 102.7 98.0 95.0 103.0 103.0 109.0 110.2 100.3 103.3 n.a. 107.4 Dec................... 105.9 101.8 112.8 105.5 101.8 117.3 102.0 98.2 95.0 102.5 103.0 109.0 110.7 100.4 103.3 n.a. 107.5 1967—Jan.................... 106.2 102.6 112.8 105.8 102.0 117.9 102.6 98.4 95.6 102,6 103.1 109.4 111.1 100.4 103.6 n.a. 107.9 Feb................. 106.0 101.0 111.7 106.0 102.0 118.0 103.4 98.5 95.8 103.6 103.3 109.6 111.2 100,4 103.7 n.a. 108.0 105.7 99.6 110.6 106.0 101.8 117.0 103.7 98.5 95.9 103.6 103.6 109.4 111.5 100.6 103.8 n.a. 107.7 Apr................... 105.3 97.6 110.0 106.0 101.8 116.0 103.3 98.8 95.9 104.1 103.9 109.1 111.6 100.6 103.9 n.a. 108.0 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 PRICES 1037 WHOLESALE PRICES: DETAIL (1957-59= 100) 1966 1967 1966 1967 Group Group Apr. Feb. Mar. Apr. Apr. Feb. Mar. Apr. Farm products: Pulp, paper, and allied products: Rw^li and dried produce..................... 111.0 104.5 98.4 99.6 Pulp, paper, and products, excluding Orpins ................................ 91.2 95 8 99.9 98,3 building paper and board............... 102.7 103.7 104,0 104.3 I Jy£5tnck . . .............................. 114.7 99.5 97.4 94.0 Woodpulp............................................ 98.0 98.0 98.0 98.0 I IV? poultry. ....................... 95. t 97 1 90.8 89 0 Wastepaper......................................... 110.3 83.2 79.7 79. 1 Plant and animal fibers........................ 89.9 70,2 70.3 69.9 Paper. ................................................. 106.0 108.5 108.5 109.3 Fluid milk . .............................. 111.9 122.9 119.0 119. 1 Paperboard......................................... 97.1 97.3 97.3 97.3 Rot's...................................................... 101.8 84.0 90.8 77.0 Converted paper and paperboard.. .. 102.2 104.0 104.7 104.9 Hay and seeds • ....................... 116.9 120.3 120.5 118.4 Building paper and board............. 92.4 92.4 92.3 92.2 Other farm products............................ 102.5 100.5 99.5 99.2 Processed foods and feeds: Metals and metal products: Cereal and bakery products................ 112.6 117.3 117.5 117.2 102.0 103.2 103.3 103.2 Meat poultry and fish......................... 1 10.9 104.7 101.7 100.6 blotlfetrniiR metals ......................... 122.1 122.3 121 1 120.0 Dairy products..................................... 114.8 121.2 120,7 120. 1 Metal containers .................... 110.0 111.5 111.5 111.5 Processed fruits and vegetables........... 104.8 104.3 104.2 104.3 108.4 112,0 112.4 112.8 Sugar and confectionery............... 109.3 112.6 112.5 111.8 107.1 110.5 110.5 110.5 Beverages and beverage materials .... 105.7 105.9 105.6 105.9 Heating equipment............................. 92.1 92.3 92.2 92 0 Animal fats and oils..................... 115.2 92 0 89.6 91.5 Fabricated structural metal products. 103.4 104.8 104.8 104.9 Crude vegetable oils............................. 106.7 94.1 94.2 93.8 110.9 113.6 113.7 113.6 Refined vegetable oils.......................... 111.3 96.7 96.9 96.8 Vegetable oil end products.................. 102.5 103.5 101.8 101.6 Miscellaneous processed foods. ...... 114.0 111.5 112.0 112.9 Machinery and equipment; Manufactured animal feeds................. 119.2 125.9 124.8 122.9 Agricultural machinery and equip.... 118.1 121,7 121.9 121.8 Textile products and apparel: Construction machinery and equip... 118.5 121.4 121.5 121.8 Metalworking machinery and equip.. 116.8 122.2 122.6 122.9 Cotton products.................................. 102.3 101 8 101.3 100.8 General purpose machinery and Wool products...................................... 106.3 104’.7 104.0 102.9 108.5 113.0 113.0 113.0 Man-made fiber textile products........ 90.5 87.1 86,9 86.8 Special industry machinery and Silk yarns.............................................. 164.1 equipment tJan. iyoi ........... 110.0 115.1 115.4 115.8 Apparel................................................ 104.7 105.9 106.0 106.2 Electrical machinery and equip...... 98.4 101.8 102.2 102.3 Textile housefurnishings...................... 104.0 105.3 105.1 105.2 105.7 108.7 108.8 108.8 Miscellaneous textile products....... 125.1 121.0 120,8 119.4 Hides, skins, leather, and products: Furniture and household durables: H Le id a e th s e a r n .. d .. .. s . k .. i .. n .. s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ....... 1 1 4 2 8 2 . . 8 4 1 1 0 1 7 6 . . 8 3 1 9 1 9 4 . . 6 6 1 9 1 1 2 . . 3 9 C H o o m us m eh e o rc ld ia l f u fu rn rn it i u tu re r . e .. .. .. . . . . . . . . . . . . . . . . . .. . ............. 1 1 0 0 4 8 . . 1 3 1 10 1 9 2 . . 3 0 1 1 0 1 9 2 . . 3 4 1 10 1 9 2 . . 3 4 Footwear.............................................. 118.6 121.6 121.7 121.5 97.5 93.9 93.8 93.1 Other leather products......................... 114.4 114.6 114.4 114.5 Household appliances......................... 89.3 89.7 89.8 89.8 Hnrnp- electronic equipment.. ............ 83 5 83.5 83.3 83.3 Fuels and related products, and power: Other household durable goods..... 110:3 114.8 115.2 115.7 Coal.,................................................. 94.9 102.3 102.2 102.7 Coke. .................................................. 107.3 112.0 112.0 112.0 NonmetaHic mineral products: Gas fuels (Jan 1958- 100)................. 129.2 134.5 134.6 134.8 F,]p.<*tr*C power (fan 1958— 100).......... 100 3 100.6 100.6 100.6 97.0 98.2 98.3 98.3 Flat glass.............................................. 99.5 103.3 103.3 103.3 Petroleum products, refined............. . 97.7 101.9 102.4 101.7 Concrete ingredients........................... 103.8 105.6 105.8 106.0 Concrete products............................... 102.7 104.4 104,5 104.6 Chemicals and allied products: Structural clay products excluding refractories............. .................... 108.1 109.3 109.3 109.4 95.6 96.9 97.0 97.6 Refractories..................................... 103.3 104.8 104.9 104.9 1 9 0 0 6 . . 4 2 1 9 0 0 8 . . 7 8 1 9 0 0 8 . . 8 8 1 9 0 1 8 . . 2 8 G A y sp p h su al m t r p o r o o f d in u g c . t .. s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 9 0 4 1 . . 8 4 1 9 0 4 3 . . 8 5 1 9 0 4 2 . . 8 3 1 9 0 4 2 . . 8 3 Drugs and pharmaceuticals,......... 94.1 94.2 94.4 94.0 Glass containers.............................. 99.2 101.0 101.0 101.0 104.0 89.1 81 .5 85.3 Other nonmetadic minerals................ 101.8 101.1 101.8 102.0 Agricultural chemicals and products.. 103.3 105.4 105.9 105.2 Plastic resins and materials.................. 88.4 90.5 90.3 90.4 Transportation equipment: Other chemicals and products............ 106.4 107.6 107.8 108.6 Rubber and products: Motor vehicles and equipment.......... 100.2 101.6 101.6 101.6 Railroad equipment (Jan. 1961— 100). 101.0 102.7 102.7 102.7 Crude rubber........................................ 90.0 87.1 86.5 86.5 T M ir i e sc s e a ll n a d n e t o u u b s e r s u .. b .. b .. e .. r .. . p .. r .. o .. d .. u .. c .. t . s .. . . . . . . . . . . . . . . . . . . . . . . . 9 9 4 8. . 7 4 1 9 0 4 0 . . 9 4 1 9 0 4 0 . . 9 9 1 9 0 4 1 . . 0 5 Miscellaneous products: Lumber and wood products: Toys, sporting goods, small arms, ammunition..................................... 103.7 105.3 104.0 105.2 1 .umber......................................... 110.8 105.4 106.0 106.6 Tobacco products............. HO.2 HO. 3 110.3 110.3 Mfllwork. ........................................... 109.6 111.1 1112 111.6 Notions............................................... 99.8 100.8 100.8 100.8 Plywood............................................... 102.4 89.2 87.7 87.9 Photographic equipment and supplies 108.7 110.3 no.1 110.2 Other wood products (Dec. 1966= 100) 102.0 102.0 102.0 Other miscellaneous products............ 104.9 107.2 107.3 107.4 Note.—Bureau of Labor Statistics indexes as revised in Mar. 1967 to classification changes. Back data not yet available for some new classiincorporate (1) new weights beginning with Jan. 1967 data and (2) various fications. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1038 NATIONAL PRODUCT AND INCOME JUNE 1967 GROSS NATIONAL PRODUCT (In billions of dollars) 1966 1967 Item 1929 1933 1941 1950 1962 1963 1964 1965 1966 I II HI IV I’ Cross national product..................................... 103.1 55.6 124.5 284.8 560.3 590.5 631.7 681.2 739.6 721.2 732.3 745.3 759.3 763.7 Final purchases................................................ 101.4 57.2 120.1 278.0 554.3 584.6 627.0 672.1 727.7 712.3 720.0 735.4 742.9 758.1 Person!*! consumption expenditures................ 77.2 45.8 80.6 191.0 355.1 375.0 401.4 431.5 464.9 455.6 460.1 469.9 474.1 479.9 Durable goods............................................. 9.2 3.5 9.6 30,5 49.5 53.9 59.4 66.1 69.3 70.3 67.1 70.2 69.6 68.4 Nondurable goods........................................ 37.7 22,3 42.9 98.1 162.6 168.6 178.9 190.6 206.2 201.9 205.6 208.1 209.2 212.5 Services................................................. 30.3 20.1 28.1 62.4 143.0 152,4 163.1 174,8 189.4 183.4 187.4 191.5 195.3 199.1 Gross private domestic investment................... 16.2 1.4 17.9 54.1 83.0 87.1 93.0 106.6 117.0 114.5 118.5 115.0 120.0 109.3 Fixed investment. ...................... 14.5 3.0 13.4 47.3 77.0 81.3 88.3 97.5 105.1 105.6 106.2 105.1 103.5 103. 7 Nonresidentlal........................................... 10.6 2.4 9.5 27.9 51.7 54.3 60.7 69.7 79.3 77.0 78.2 80.3 81.6 81.6 Structures........... 5.0 .9 2.9 9.2 19.2 19,5 21.0 24.9 27.8 28.5 27.9 27.7 27.3 28.7 Producers* durable equipment............ 5.6 1.5 6.6 18.7 32.5 34,8 39,7 44.8 51.4 48.5 50.3 52.6 54.4 52.9 Residential structures............................... 4.0 .6 3.9 19,4 25.3 27.0 27,6 27.8 25.8 28.6 28.0 24,8 21.9 22.1 Nonfarm................................................ 3.8 .5 3.7 18,6 24.8 26.4 27,0 27.2 25.3 28.0 27,4 24.3 21.3 21.5 Change in business inventories................... 1.7 -1.6 4.5 6.8 6.0 5.9 4.7 9.1 11.9 8.9 12.3 9.9 16.4 5.6 Nonfarm.................................................... 1.8 -1.4 4.0 6.0 5.3 5.1 5.3 8.1 12.2 8.5 12,1 10.4 17.6 6.0 Net exports of goods and services................... 1.1 .4 1.3 1.8 5.1 5.9 8.5 7.0 4.8 6.0 4.7 4.2 4.1 5.4 Exports......................................................... 7.0 2.4 5.9 13.8 30.3 32.3 37.0 39,0 42.7 41.7 41.9 43.4 43.6 45.6 Imports...................................................... 5.9 2.0 4.6 12,0 25,1 26.4 28,5 32,0 37.9 35,6 37,3 39.2 39.5 40.2 Government purchases of goods and services. . 8.5 8.0 24.8 37.9 117.1 122.5 128.9 136.2 153.0 145.0 149.0 156.2 161.1 169.1 Federal. ......................................................... 1.3 2.0 16.9 18.4 63,4 64.2 65.2 66.8 76.9 71.9 74.0 79.0 81.7 87.0 National defense...................................... 13.8 14.1 51.6 50,8 50.0 50.1 60.0 54.6 57.1 62.0 65.5 69.7 Other.......................................................... 3.1 4.3 11.8 13.5 15.2 16.7 16.9 17.4 16.9 17.0 16.2 17.2 State and local.............................................. 7.2 6.0 7.9 19.5 53.7 58.2 63.7 69.4 76.2 73.1 75.0 77.2 79.4 82.1 Gross national product in constant (1958) dollars........................................................ 203.6 141.5 263.7 355.3 529.8 551.0 580.0 614.4 647.8 640.5 643.5 649.9 657.2 656.7 Note.—Dept, of Commerce estimates. Quarterly data are seasonally adjusted totals at annual rates. For back data and explanation of series, see the Supplement to the Survey of Current Business for Aug, 1966. NATIONAL INCOME (In billions of dollars) 1966 1967 Item 1929 1933 1941 1950 1962 1963 1964 1965 1966 I II III IV I” National income................................................ 86.8 40.3 104,2 241.1 457.7 481.9 517.3 559.0 610.1 595.7 604.1 613,8 626.9 630.7 Compensation of employees............................. 51.1 29.5 64.8 154.6 323.6 341.0 365.7 392.9 433.3 419.6 427.9 438.3 447.5 456.1 Wages and salaries....................................... 50.4 29.0 62.1 146.8 296.1 311.1 333.6 358.4 392.3 380.0 387.4 396.7 405.0 411.8 Private........................................................ 45.5 23.9 51.9 124.4 240,1 251.6 269,3 289.1 314.8 305.9 311.5 318.0 323.9 328.4 Military...................................................... .3 .3 1.9 5.0 10,8 10.8 11.7 12.1 14.6 13.6 14.1 15.0 15.8 16,3 Government civilian................................. 4.6 4.9 8.3 17.4 45.2 48.6 52.6 57.1 62.8 60.4 61.8 63.7 65.2 67.1 Supplements to wages and salaries......... .7 .5 2.7 7.8 27.5 29.9 32.0 34.5 41.0 39.6 40.5 41.5 42.5 44.3 Employer contributions for social in­ surance ............................................... .1 .1 2.0 4.0 13.7 15.0 15,4 16.0 20.2 19.6 19.9 20.4 20.8 21,8 Other labor income.................................. .6 .4 .7 3.8 13.9 14.9 16.6 18.5 20.8 20,0 20.6 21.1 21.7 22.5 Proprietors* income......................................... 15.1 5.9 17.5 37.5 50.1 51.0 51.9 55.7 57.8 58.4 57.9 57.3 57.5 57.0 Business and professional............................ 9.0 3.3 11.1 24.0 37.1 37.9 39.9 40.7 41.8 41.4 41.6 41.9 42.3 42.2 Farm.............................................................. 6.2 2.6 6.4 13.5 13.0 13.1 12.0 15.1 16.0 17.0 16.3 15.4 15.2 14.8 Rental income of persons................................. 5.4 2.0 3.5 9.4 16.7 17.1 17.7 18.3 18.9 18.7 18.8 18.9 19.1 19.3 Corporate profits and inventory valuation adjustment.................................................. 10.5 -1.2 15.2 37.7 55.7 58.9 66.6 74.2 80.2 80.0 79.9 79.1 81.7 76.6 Profits before tax.......................................... 10.0 1.0 17.7 42.6 55.4 59.4 67.0 75.7 82.3 82.7 82.8 81.9 81.8 77.3 Profits tax liability.................................... 1.4 .5 7.6 17,8 24,2 26.3 28.4 31.2 33,9 34.1 34.1 33.7 33.7 32.0 Profits offer tax......................................... 8.6 .4 10,1 24.9 31,2 33.1 38.7 44.5 48.4 48.7 48.7 48.2 48.1 45.3 Dividends.............................................. 5.8 2.0 4.4 8.8 15.2 16.5 17.3 19.2 20,9 20.9 21.1 21.1 20.7 21.5 Undistributed profits............................ 2.8 -1.6 5.7 16.0 16.0 16.6 21.3 25.3 27.5 27.8 27.6 27.1 27.4 23.8 Inventory valuation adjustment.................. .5 -2.1 -2.5 -5.0 .3 -.5 -.4 -1.5 -2.1 -2.8 -2.9 -2.8 .0 -.8 Net interest........................................................ 4.7 4.1 3.2 2.0 11.6 13.8 15.5 17.8 20.0 19.1 19.6 20.2 21.0 21.6 Note.—Dept, of Commerce estimates. Quarterly data are seasonally adjusted totals at annual rates. See also Note to table above. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 NATIONAL PRODUCT AND INCOME 1039 RELATION OF GROSS NATIONAL PRODUCT, NATIONAL INCOME, AND PERSONAL INCOME AND SAVING (In billions of dollars) 1966 1967 Item 1929 1933 1941 1950 1962 1963 1964 1965 1966 I II in IV I» 103.1 55.6 124.5 284.8 560.3 590.5 631.7 681.2 739.6 721.2 732.3 745.3 759.3 763.7 Less* Capital consumption allowances...... 7.9 7.0 8.2 18.3 50.0 52.6 56.0 59.6 63.1 61.6 62.7 63.7 64.6 65.6 Indirect business tax and nontax lia­ bility. ............................................. 7.0 7.1 11.3 23.3 51.5 54.7 58.5 62.7 65.5 63.0 64.7 66.3 68.1 68.7 Business transfer payments.................. .6 .7 .5 .8 2.1 2.3 2.5 2.6 2.6 2.6 2.6 2.6 2.6 2.6 Statistical discrepancy.......................... .7 .6 ,4 1.5 .5 -.3 -1.4 -1.6 -.2 — .8 — .9 .4 “■6 -2.2 Plus: Subsidies less current surplus of govemment enterprises........................... -.1 . 1 .2 1.4 ,8 1.3 1.0 1.4 .8 .9 1.5 2.2 1.6 Equafa: National income................................ 86.8 40.3 104.2 241,1 457.7 481.9 517,3 559.0 610.1 595.7 604.1 613.8 626.7 630.7 Less: Corporate profits and inventory valu­ ation adjustment......... 10.5 -1.2 15.2 37.7 55,7 58.9 66.6 74.2 80.2 80.0 79.9 79.1 81.7 76.6 Contributions for social insurance.... .2 .3 2.8 6.9 24.0 26.9 28.0 29.2 37.8 36.5 37.0 38.5 39.3 41.5 Excess of wage accruals over disburse­ ments , ....................................... Plus' Government transfer payments........... .9 1.5 2.6 14.3 31.2 33.0 34.2 37,1 41.9 40.0 40.1 42,3 45.3 48.6 Net interest paid by government and consumer.............................. 2.5 1.6 2.2 7.2 16.1 17.6 19.1 20.6 22.8 21.9 22.5 23.0 23.8 24,4 Dividends............................................. 5.8 2.0 4.4 8.8 15.2 16.5 17.3 19.2 20.9 20.9 21.1 21.1 20,7 21.5 Business transfer payments.................. .6 .7 .5 .8 2.1 2.3 2.5 2.6 2.6 2.6 2.6 2.6 2.6 2.6 85.9 47.0 96.0 227.6 442.6 465.5 496.0 535.1 580.4 564,6 573.5 585.2 598.3 609.7 Less; Personal tax and nontax payments.,.. 2.6 1.5 3.3 20.7 57.4 60.9 59.4 66.0 75.1 69.5 73.6 77.4 79.8 81.1 Equals * Disposable personal income............. . 83.3 45.5 92.7 206.9 385.3 404.6 436.6 469.1 505.3 495,1 499.9 507,8 518.4 528.5 Less * Personal outlays........................... 79.1 46.5 81.7 193.9 363.7 384.7 412.1 443.4 478,3 468.4 473.3 483.3 488.0 494.1 Personal consumption expenditures.. 77.2 45.8 80.6 191.0 355.1 375.0 401.4 431.5 464.9 455.6 460.1 469.9 474,1 479.9 Consumer interest payments....... 1.5 .5 .9 2.4 8.1 9.1 10.1 11.3 12.7 12.1 12.5 12.8 13.2 13.6 Personal transfer payments to for­ eigners ................................. .3 .2 .2 .4 .5 .6 ,6 .6 .6 .6 .7 .7 .6 .6 Equals: Personal saving................................... 4.2 -.9 11.0 13.1 21.6 19.9 24.5 25.7 27.0 26.7 26.6 24.5 30.4 34.4 Disposable personal income in constant (1958) 150.6 112.2 190.3 249,6 367.3 301.3 406.5 430.8 451.6 448.4 447.9 452.2 457.6 464.9 Note.—Dept, of Commerce estimates. Quarterly data are seasonally adjusted quarterly totals at annual rates. See also Note to table opposite. PERSONAL INCOME (In billions of dollars) 1966 1967 Item 1965 1966 Apr. May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar, Apr, Total personal income......................... 535.1 580.4 570.5 573.0 577.2 580.0 585.4 590,0 594.4 598.5 601.8 607.5 '609.3 612.7 614.1 Wage and salary disbursements.......... 358.4 392.3 384.7 387.0 390.5 393.7 397.0 399.5 402.3 405.1 407.4 410.7 411.2 413.5 414.3 Commodity-producing industries... 144.3 158.2 156.0 156.8 158.1 158.2 159.8 160.7 161.5 162.4 162.9 163.9 163.0 163.4 163.0 Manufacturing only...................... 115.5 127.2 125.2 125.9 127.0 127.1 128.9 129.6 130.7 131.4 131.4 132.2 131.1 131.5 131.2 Distributive industries..................... 86.7 93.2 91.5 91.9 92.8 93.6 93.9 94.4 95.1 95.8 96.5 97.5 97,7 98.1 98.0 Service industries.............................. 58.1 63.5 62.0 62.5 63.0 64.0 64.5 64.9 65.4 65.8 66.2 66.7 67.2 67.8 68.4 Government................................ 69.2 77.4 75,2 75.9 76,6 78.0 78.8 79.5 80.2 81.0 81.9 82.7 83.5 84.2 84.9 Other labor income............................. 18.5 20.8 20.4 20.6 20.7 20.9 21.1 21.3 21.5 21.7 21.9 22.2 22.5 22.8 23.1 Proprietors* income............................. 55.8 57.8 58.2 57.9 57.6 57.3 57.3 57.3 57.2 57.4 57.8 57.9 '57.0 56.7 56.8 Business and professional.......... 40.7 41.8 41.5 41.6 41.7 41.8 41.9 42.0 42.1 42.2 42.4 42.7 '42.2 42.1 42.2 Farm............................. 15.1 16.0 16.7 16.3 15.9 15.5 15.4 15.3 15.1 15.2 15.4 15.2 14.8 14.6 14.6 Rental income..................................... 18.3 18.9 18.7 18.8 18.8 18.9 18.9 19.0 19.0 19.1 19.2 19.2 19.3 19.4 19.5 Dividends............................................. 19.2 20.9 21.0 21.2 21.1 21.1 21.0 21.2 21.2 21.2 19.8 21.3 21.5 21.7 21.9 Personal interest income..................... 38.4 42.8 41.8 42.1 42.3 42.6 43.1 43.8 44.3 44.8 45.3 45.7 46.0 46.3 46.8 Transfer payments.............................. 39.7 44.6 42.6 42.5 43.2 43,5 45.1 46.0 47.2 47.8 48.9 50,0 51.5 52.0 51.6 Less: Personal contributions for social insurance........................... 13.2 17.6 17.0 17.1 17.2 17.9 18.1 18.2 18.3 18.5 18.6 19.7 19.7 19.8 19.9 Nouagriculturai income........................ 515.6 559.7 549.1 551.9 556.5 559.8 565.4 570.1 574.6 578.6 581.7 587.5 '589.6 593.1 594.5 Agriculture income............................... 19.5 20.7 21.4 21.0 20.7 20.2 20.1 20.0 19.8 19.9 20.1 20.0 19.7 19.5 19.6 Note.—Dept, of Commerce estimates. Quarterly data arc seasonally adjusted totals at annual rates. See also Note to table opposite. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1040 FLOW OF FUNDS JUNE 1967 SAVING, INVESTMENT, AND FINANCIAL FLOWS (In billions of dollars) 1964 1965 1966 Transa o c r ti o se n c t c o a r tegory, 1962 1963 1964 1965 1966 IV I II III IV I II III 1 1V I. Saving and investment 1 Gross national saving......................... 134.5 144.5 159.4 178.4 188.5 165.5 176.8 175.3 178.4 183.0 188.2 188.3 186.0 191.6 1 2 Households.................................... 82.0 85.8 96.8 105.1 110.6 98.5 100,9 100,1 109.C 110.5 111.2 107.6 108.4 115.2 2 3 Farm and noncorp, business........ 13.1 13.5 14.4 15.0 15.6 14.a 14.9 15.0 15.1 15.2 15.3 15.5 15.7 16.0 3 4 Corporate nonfin. business.......... 41.8 43.9 50.8 55.3 58.7 51.; 55.C 54.5 55.5 56.4 57.7 57.8 57.9 61.4 4 5 U.S. Government......................... -4.8 -.6 -4.3 .2 -.8 -1.6 3.2 2.7 -4.C -1.1 1.2 2.1 -1.7 -4.8 5 6 State and local govt....................... ~1.4 -1.5 -1.4 -1.0 .6 -.5 -.9 -.5 -1.0 -l.l -.2 .9 1.1 .5 6 7 Financial sectors........................... 3.8 3.5 3.1 3.6 3.8 3.1 3.6 3.9 3.9 3.1 3.0 4.5 4.5 3.3 7 8 Gross national investment................. 133.9 143.8 157.0 176.4 188.1 l«0.7 172.6 172.7 176.9 183.1 186.4 187.4 188.3 190.4 8 9 Consumer durable goods............ 49.5 53.9 59.4 66.1 69.3 58. f 65.1 64.4 66.7 68,0 70.3 67.1 70.2 69.6 9 10 Business inventories..................... 6.0 5.9 4.7 9.1 11.9 7.4 9.5 7.7 8.8 10.4 9.0 12.3 9.9 16.4 10 11 Gross pvt, fixed investment.......... 77.0 81.3 88.3 97.5 105.1 90.0 94.4 96.0 98.0 101.5 105.6 106.2 105.1 103.5 11 12 Households................................ 21.9 22.4 23.2 23.7 23.9 23.3 22.9 23,2 23.6 24.9 24.7 24.4 24.2 22.3 12 13 Nonfinan. business.................... 54.4 57.9 64.2 73,0 80.6 65.1 70.5 71.9 73.5 76.1 80.0 80,9 80.5 80.8 13 14 Financial sectors....................... .6 1.0 .9 .8 .7 .9 .9 .9 .9 .4 .9 .9 .4 .4 14 15 Net financial investment.............. 1.3 2.8 4.7 3.7 1.8 4.5 3.6 4.6 3,5 3.2 1.6 1.8 3.0 .8 15 16 Discrepancy (1-8).............................. .7 .6 2.4 2.0 .4 4.8 4.2 2.6 1.5 -.2 1.8 .9 -2.3 1.2 16 II. Financial flows—Summary 17 Net funds raised—Nonfinan. sectors. 54.2 58.5 67.0 72.1 71.1 67.4 76.3 72.3 61.2 78.8 84.1 82.9 63.5 53.7 17 18 Loans and short-term securities .. .. 15.0 19.0 26.4 33.0 27.8 35.0 36.8 33.1 21.2 41.1 26.8 21.1 26.7 36.9 18 19 Long-term securities and mtgs......... 39.2 39.5 40.6 43.2 32.5 39.5 39.2 40.0 37.7 57.4 61.8 36.8 16.8 19 By sector 20 U.S. Government.............................. 7.9 5.0 7.1 3.5 6.7 4.6 9.0 1.4 -4.5 8.2 14.9 2.8 7.0 2,2 20 21 Short-term mkt. securities............ .7 1.4 4.0 3.5 2.2 8.7 5.5 3.6 -3.5 8.3 1.3 -12.7 6.3 14.1 21 22 Other securities............................ 7.3 3.6 3.0 4.5 -4.1 3.6 -2.3 -1.0 -.1 13.6 15.5 .8 -H.8 22 23 Foreign borrowers............................. 2. 1 3.3 4.4 2.6 1.4 6.4 5.1 1.6 1.0 2.7 2.3 2.4 .9 23 24 Loans............................................. 1.1 2.2 3.7 1.9 1.0 4.4 4.3 1.1 .2 1.9 1.0 2.0 .2 .8 24 25 Securities....................................... 1.0 1.1 .7 .8 .4 2.0 .8 .6 .8 .8 1.3 .3 ♦ . 1 25 26 Pvt. domestic nonfin. sectors........... 44.2 50.2 55.6 66.0 62.9 56.4 62.1 69.2 64.7 67.8 66.9 77.8 56.3 50.5 26 27 Loans............................................. 13.3 15.5 18.7 27.7 24.6 21.8 27.0 28.4 24.5 30.9 24.5 31.8 20.2 22.0 27 28 Consumer credit......................... 5.5 7.3 3.0 9.4 6.9 7.2 10.0 9.6 9.3 8.9 9.2 7.0 6.9 4.6 28 29 Bank loans n.e.c.............. 4.8 5.4 6.5 13.6 10.8 11.4 14.1 12.4 11.2 16.7 9.0 17.4 7.9 8.8 29 30 Other loans.................. 3.0 2.7 4.2 4.7 6.9 3.1 2.9 6.4 4.1 5.3 6.2 7.4 5.4 8.6 30 31 Securities and mortgages............. 31.0 34.7 36.9 38.3 38.3 34.7 35.1 40.8 40.1 37.0 42.5 46.0 36.1 28.5 31 32 State and local obligations........ 5.0 6.7 5.9 7.4 5.9 5.8 6.1 8.6 6.8 8.1 5,4 7.2 4.8 6.2 32 33 Corporate securities................... 5.1 3.6 5.4 5.4 11.4 3.1 4.4 7.0 7.4 2.9 11.9 15.2 11.7 6.9 33 34 I- to 4-family mortgages........... 13.0 15.2 15.7 16.0 12.5 15,2 15.9 15.5 16.2 16.5 15.2 14.0 11.3 9.5 34 35 Other mortgages....................... 7.9 9.3 10.0 9.5 8.5 10.5 8.7 9,7 9.8 9.5 10.0 9.6 8.4 6.0 35 36 Net sources of credit (= line 17).... 54.2 58.5 67.0 72.1 71.1 67.4 76.3 72.3 61.2 78.8 84.1 82.9 63.5 53.7 36 37 Chg. in U.S. Govt, cash balance,. 1.3 -.4 .2 -1.0 -.5 -1.4 5.2 -.9 -10,4 2.1 -5.1 8.9 - 1.8 -4.0 37 38 U.S. Govt, lending....................... 3.3 2.7 3.8 4.7 7.5 3.6 5.3 6.4 3.1 3.9 11.3 10.0 6.6 1.9 38 39 Foreign funds................................ 2.2 1.9 2.5 .4 — .8 3.9 -.6 .5 -.9 2.7 -1.7 4.6 -4.0 - 1.8 39 40 Pvt. insur. & pension reserves.... 9.0 10.1 H.l 11.6 12.8 11.9 10.9 12.0 12.0 U.7 12.9 11.2 13.5 13.4 40 41 Sources n.e.c.................................. 4.0 4.7 5.4 7.4 7.9 5. I 10.2 8.7 3.5 7.4 U.4 3.7 13.0 3.5 41 42 Pvt. domestic nonfin. sectors..... 34.4 39.5 44.1 48.9 44.2 44.4 45.2 45.6 54.0 51.0 55.3 44.5 36.3 40.5 42 43 Liquid assets.............................. 31.4 37.4 33.0 43.3 24.0 38.0 44.5 35.2 44.3 49.1 33.4 26.7 10.3 25.4 43 44 Deposits................................. 30.1 34.4 35.3 40.4 22.5 42.7 38.2 31.5 43.4 48.6 27.7 27.3 13.4 21.6 44 45 Demand dep. and currency 2.1 5.9 6.5 7.8 2.9 10.2 3.1 2.6 8.7 16.8 2.8 3.5 -2.5 7.5 4S 46 Time and svgs. accounts... 28.1 28.5 28.8 32.6 19.6 32.5 35.1 28.9 34.7 31.8 24.8 23.8 15.9 14.0 46 47 Al commercial banks.... 15.0 13.4 13.0 19.5 12.3 17.2 21.8 16.6 21.5 18.1 15.1 19.0 10.6 4.6 47 48 At savings instit.............. 13.0 15.1 15.8 13.1 7.3 15. 13.3 12.3 13.2 13.6 9.7 4.8 5.3 9.4 48 49 Short-term U.S. Govt. sec... 1.3 3.0 -2.3 2.8 1.5 -4.7 6.3 3.3 ,9 .5 5.8 -.6 -3.1 3.9 49 50 Other U.S. Govt, securities.... .4 1,7 3.1 .2 6.6 1.6 -.7 3.5 -1.0 -1.1 7.2 6.9 8.7 3.6 50 51 Pvt. credit mkt. instruments . . . 2.5 2.3 7.8 6.1 13.3 4.7 1.7 6.2 10.5 6.0 13.3 10.5 20.2 9.2 51 52 Less security debt..................... -.2 2.0 -.2 .6 -.3 ♦ .3 -.7 -.2 3.0 -1.3 -.4 2.9 -2.3 52 III. Direct lending in credit markets 53 Total funds raised........................ 54.2 58.5 67.0 72.1 71.1 67.4 76.3 72.3 61,2 78.8 84.1 82.9 63,5 53.7 53 54 Less change in U.S. Govt, cash .... 1.3 -.3 .2 -1.0 -.5 -1.5 5.3 -.9 -10.4 2.1 -5.1 8.9 -1.8 -3.9 54 55 Total net of U.S. Govt, cash........... 52.9 58.8 66.9 73.1 71.5 68.9 71.0 73.2 71.6 76.7 89.2 74.0 65.3 57.6 55 56 Funds supplied directly to cr. mkts.. 52.9 58.8 66.9 73.1 71.5 68.9 71.0 73.2 71.6 76.7 89.2 74.0 65.3 57.6 56 57 Federal Reserve System............... 1.9 2.6 3.2 3.8 3.3 3.4 5.8 4.1 3.1 2.4 2.5 . 1 6.3 4.3 57 58 Total........................................... 2.0 2.9 3.4 3.8 3.5 3.8 6.0 3.8 4.3 1.2 2.1 2.1 6.0 3.7 58 59 Less change in U.S. Govt. cash. .1 .3 .2 * .2 .4 .2 -.3 1.2 -1.2 -.4 2.0 -.3 -.7 59 60 Commercial banks, net................. 18,2 19.7 21.7 29.3 18.9 29,5 25.8 21.3 29,9 40.3 22.9 29.9 10.0 12.8 60 61 Total........................................... 19.5 19.4 22.2 29.1 18.3 28.0 31.3 22.7 18.3 43.9 18.3 37.1 8.4 9.5 61 62 Less chg. in U.S. Govt. cash... 1.2 -.6 ♦ -1.0 -.6 -1.9 5.0 -.6 -11.6 3.3 -4.7 6.9 -1.5 -3.3 62 63 Security issues....................... J .3 .6 .8 .1 .4 .5 2.0 . 1 .4 .1 .3 * * 63 64 Nonbank finance, net................... 23.8 28.0 28.9 27.1 21.7 29.6 28.0 27 J 26.9 26.4 26.6 15.4 22.5 22.4 64 65 Total......................................... 28.5 34.4 33,4 32.7 24.8 31.2 34.7 37.7 24.0 34.6 34.1 23.6 16.4 24.9 65 66 Less credit raised................... 4.7 6.4 4.4 5.6 3.0 1.5 6.7 10.5 -2.9 8.2 7.5 8.2 -6.0 2.5 66 67 U.S. Government.......................... 3.3 2.7 3.8 4.7 7.5 3.6 5.3 6.4 3.1 3.9 11.3 10.0 6.6 1.9 67 68 Foreign........................................... 1.5 .9 .6 -.2 —1.4 1.3 -.7 .2 -1.8 1.4 -1.6 1.4 -2.8 -2.7 68 69 Pvt. domestic nonfin..................... 4.3 5.1 8.8 8.5 21.7 1.7 7.0 14.1 10.6 2.4 27.7 17.2 22.9 19.0 69 70 Households................................ -1.7 .4 3.4 2.7 H.l 1.2 -3.0 11.7 3.8 -1.9 12.2 10.4 15.1 6.5 70 71 Business.................................... 2.3 3.1 1.7 .9 3.3 -1.5 .2 -2.6 4.5 1.7 6.1 .9 3.7 2.4 71 7 7 3 2 S L t e a s t s e n a e n t d s e l c o u ca ri l t y g o c v re ts d .. i . t . . .. . . . .. . .. . .. . . . .. . . - 3 . . 2 6 2 3 . .5 0 - 3 . . 2 6 5.'5“I - 7 . . 3 0 2.1 * 10. .3 0 - 4 . . 7 3 - 2 . . 2 1 5 3 . . 7 0 -1 8 . . 3 0 - 5 ' .4 I 2 6 . . 9 9 -2 7 . . 3 7 7 73 2 Note.—Quarterly data are seasonally adjusted totals at annual rates. For notes see p, 853 of May 1967 Bulletin. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 FLOW OF FUNDS 1041 PRINCIPAL FINANCIAL TRANSACTIONS (In billions of dollars) 1964 1965 1966 Transaction category, 1962 1963 1964 1965 1966 or sector IV I II III IV I II HI IV I, Demand deposits and currency 1 Net incr. in banking system liability.. 4.5 5.8 7.4 7.6 2.5 10.3 7.7 1.7 -.1 21.1 -3.6 14.1 -5.4 4.9 1 2 U.S. Govt, deposits........................ 1.3 — ,3 .2 -1.0 -.5 — 1.5 5.3 — .9 -10.4 2.1 -5,1 8.9 -1.8 -3.9 2 3 Other............................................... 3.2 6.1 7.3 8.6 3,0 11.8 2.5 2.6 10.3 19.0 1.5 5.2 -3.6 8.8 3 4 Domestic sectors......................... 3.1 6.0 6.8 8.5 3.2 10.7 3.1 3.1 9.6 18.3 1.4 4.0 -1.8 9.1 4 5 Households.............................. 2.7 4.3 6.7 7.2 2, 1 13.9 6.3 . 9 6.1 15.4 -3.4 2.6 .5 8.9 5 6 Nonfinancial business............. - .9 - .8 -2.5 -1.9 .7 -8.7 .6 — 3.1 —4.5 —. 6 4.0 1.6 -.7 -2.0 6 7 State and local govts............... .9 2.4 1.4 1.0 1,5 3.3 —4.5 4.6 3.2 • 7 1.4 3.1 .6 .9 7 8 Financial sectors..................... 1.1 .2 .3 > 7 .3 . 5 . 5 .9 1.5 -1.4 .5 .7 1.6 8 9 Mail float................................. —. 6 -.1 .9 1.5 — 1.5 1.7 . 6 . 1 4.0 1.3 .8 -3.7 -2.9 -.3 9 10 Rest of the world....................... . 1 . 1 .5 . 1 -.2 1.1 -.7 —. 5 .7 .8 .1 1.2 -1.9 -.3 10 II. Time and savings accounts 11 Net increase—Total............................ 28.7 29.5 30.4 32.9 20.3 34.5 35.5 29.5 34.4 32.2 24.3 25.3 16.2 15.2 11 12 At commercial banks—Total........ 15.6 14.3 14.5 20.0 13.2 19.0 22.7 17.6 21.4 18.4 14.9 20.9 11.2 5.8 12 13 Corporate business..................... 3.7 3.9 3.2 3.9 -.7 3.4 6.4 5.7 2.5 .9 4.1 1.7 -3.9 -4.6 13 14 State and local govts.................. 1.0 1.6 1.7 2.4 1.4 1.9 1.1 3'l 3.3 -.3 2.3 1.9 1.9 14 15 Foreign depositors.................... . 6 1.0 1.4 . 6 .9 1.6 . 8 . 8 . 2 . 5 -.2 2.0 .6 1.2 15 16 Households.................................. 10.3 7.9 8.2 13.3 11.6 11.2 13.5 9.8 15.8 13.9 11.3 15.0 12.6 7.4 16 17 At savings institutions................... 13.1 15.2 15.9 12.9 7.1 15.4 12.8 11.9 13.0 13.8 9.4 4.4 5.0 9.4 17 18 Memo: Households total................... 23.4 23.0 23.9 26.4 18.9 26.4 26.8 22.1 29.1 27.6 21.0 19.8 17.9 16.7 18 III. U.S. Govt, securities 19 Total net issues.................................. 7.9 5.0 7.0 3.5 6.7 4.4 9.0 1.4 -4.5 8.2 14.9 2.8 7.0 2.2 19 20 Short-term marketable................... . 6 1.4 4.0 3.5 2.2 8.6 5.5 3.6 -3.5 8.3 1.3 -12.7 6.3 14.1 20 21 Other............................................... 7,3 3.6 3.0 .1 4.5 -4.1 3.6 -2.3 -1.0 -.1 13.6 15.5 .8 -11.8 21 22 Net acquisitions, by sector................. 7,9 5.0 7.0 3.5 6.7 4.4 9.0 1.4 —4.5 8.2 14.9 2.8 7.0 2.2 22 23 Federal Reserve System................. 1,9 2.8 3.5 3.7 3.5 3.7 5.9 4.2 4.3 .5 2.4 1.8 6.8 3.1 23 24 Short-term................................... 2.0 4.9 2.1 3.7 5.4 3.5 12.4 6.2 -.3 -3.6 5.2 -3.5 6.9 13.0 24 25 Commercial banks......................... 1.4 -2.6 .4 -2.3 -2.8 1.7 —2.6 -10.2 -1.7 5.3 -1.9 .5 -5.7 -4.2 25 26 Short-term marketable......... -5.2 -3.5 3.9 -1.7 -4.6 8.5-10.6 -5.7 2.4 7.2 -10.7 -4.9 -2.9 26 27 Other direct.......................... 5.2 .5 -4.1 -1.4 1.0 -9.3 7.9 -5.3 —6,1 -2.3 8.3 -.9 -2.0 -1.6 27 28 Nonguaranteed.................... 1.4 .3 .6 .8 .8 2.4 .8 2.1 .4 .5 6.3 -3.8 .3 28 29 Nonbank finance............................ 1.6 -.5 2.0 -.8 . 6 . 6 2.2 - .8 -5.9 1.5 4.0 -4.3 4.4 -1.9 29 30 Short-term marketable................ .8 -1.3 1.2 -.3 1.3 .6 . 1 -.1 -4.4 3,2 3.0 -2.8 4.8 .4 30 31 Other direct................................. .6 .6 .5 -.7 -1.1 -.7 2.1 -1.4 -2.1 -1.5 .1 -1.8 -.5 -2.3 31 32 Nonguaranteed........................... .2 .3 .3 .3 .4 .6 .7 . 5 -.1 .9 .4 ♦ 32 33 Foreign............................................ 1.3 . 6 .5 -.2 -2.6 1.7 -2.0 .9 -1.0 1.5 -2.6 -1.5 -4.0 -2.3 33 34 Short-term................................... 2.2 —. 6 .1 -.4 -.8 1.7 -1.9 -. 1 -1.5 1.8 -1.7 -.1 -2.1 .7 34 35 Pvt. domestic nonfinan. sector.... 1.7 4.7 .8 3.0 8.1 -3.2 5.6 7.2 -.2 -.7 13.0 6.2 5.6 7.5 35 36 Short-term marketable............... .9 1.8 -3.3 2.2 .9 -5.9 5.5 3.3 .3 -.3 5.4 -1.3 -3.4 3.0 36 37 Other direct................................. -. 1 1.0 2.8 -1.1 2.4 1.6 -1.3 .5 -2.3 -1.3 3.3 -3.6 6.0 4.0 37 38 Nonguaranteed........................... .5 ,7 .4 1.3 4.2 .5 3.0 1.3 .2 3.9 10.5 2.7 -.4 38 39 Savings bonds—Households .... .4 1.2 .9 . 6 .6 1.0 .8 .4 .5 .8 .3 .7 .3 .9 39 IV. Other securities 40 Total net issues, by sector................. 11.5 13.1 14.6 16.2 18.6 13.0 13.3 20.0 16.6 14.9 20.3 23.3 18.3 12.4 40 41 State and local govts...................... 5.0 6.7 5.9 7.4 5.9 5.8 6. 1 8.6 6.8 8.1 5.4 7.2 4.8 6.2 41 42 Nonfinancial corporations............. 5.1 3.6 5.4 5.4 11.4 3.1 4.4 7.0 7.4 2.9 11.9 15.2 11.7 6.9 42 43 Commercial banks......................... . 1 .3 .6 .8 .4 .5 2.0 . 1 .4 .1 .3 * 43 44 Finance companies......................... .3 1.4 2.1 1.9 . 8 1.7 1.6 1.8 1.5 2.7 1.6 .3 1.9 -.8 44 45 Rest of the world........................... 1.0 1.0 .7 .9 1.0 2.0 1.3 1,0 .7 .8 1.7 1.0 .6 .6 45 46 Net purchases...................................... 11.5 13.1 14.6 16.2 18.6 13.0 13.3 20.0 16.6 14.9 20.3 23.3 18.3 12.4 46 47 Households...................................... -1.7 -2.9 1.8 .7 3.3 -1.0 -2.6 2,5 3.6 -.7 4.9 .2 8.9 -.9 47 48 Nonfinancial corporations............. -.4 .9 .2 .7 .8 .3 .6 ,7 .8 .8 .8 .8 .7 .8 48 49 State and local govts................ 2.0 2.5 2.7 2.7 5.2 2.9 2.5 1.5 3.3 3.3 4.2 6.6 5.3 4.8 49 50 Commercial banks......................... 4.4 5.2 3.6 4.9 1.7 4.2 5.0 6. 5 4.1 4.1 3.3 5.0 1.2 -2.5 50 51 Insurance and pension funds......... 7.5 7.6 7.3 9.7 9.5 7.4 9.0 9.6 10.7 9.4 11.0 8.4 9.7 8.8 51 52 Finance n.e.c................................... -.3 -.2 -.8 -2.0 -3.1 -.2 -1.4 .2 -5.0 -1.8 -4.9 .3 -8.2 .6 52 53 Security brokers and dealers.... .4 .2 -.4 -.4 .3 .4 .6 -2.8 .1 -2.2 2.5 -4.2 2.2 53 54 Investment cos., net.................... -.8 -.5 -.8 — 1.6 —2.6 -.5 -1.8 -.4 -2.2 -1.9 -2.8 -2.2 -4.0 -1.6 54 55 Portfolio purchases................. 1.1 .8 1.1 1.6 1.4 2.1 .8 1.9 1.3 2.3 2.5 1.1 -.2 2.0 55 56 Net issues of own shares. . — 1.9 1.2 1.8 3.1 4.0 2.6 2.6 2.3 3.5 4.2 5.3 3.3 3.8 3.6 56 57 Rest of the world........................... * .2 -.2 -.5 .5 -.1 . I -1.0 -1.0 -.1 .6 1.0 .1 .1 57 V. Mortgages 58 Total net lending................................. 21.3 25.0 25.4 25.4 20.0 25,4 24.7 25.4 25.7 25.8 25.6 22.4 17.9 14.3 58 59 1- to 4-family.................................. 13.4 15.7 15.4 16.0 11.6 14.9 15.9 15.7 16.0 16.3 15.6 12.9 9.5 8.3 59 60 In process................................... .4 .5 -.3 -.1 -.9 -.3 .2 -.2 - .2 .4 -1.1 -1.8 -1.2 60 61 Disbursed................................ 13.0 15.2 15.7 16.0 12.5 15.2 15.9 15.5 16.2 16.5 15.2 14,0 11.3 9.5 61 62 Other................................................ 7.9 9.3 10.0 9.5 8.5 10.5 8.7 9.7 9.8 9.5 10.0 9.6 8.4 6.0 62 63 Net acquisitions................................... 21.3 25.0 25.4 25.4 20.0 25.4 24.7 25.4 25.7 25.8 25.6 22.4 17.9 14.3 63 64 Households...................................... -.3 -.1 -.6 -.9 -.6 -1.1 .1 -2.5 .3 1.0 1.1 64 65 U.S. Government........................... .3 -1.0 .3 1.0 3.4 -.2 .7 1.0 .7 1.5 4.6 4.1 3.0 1.9 65 66 Commercial banks......................... 4.0 4.9 4.5 5.6 5.0 4.6 4.7 5.6 6.4 5.8 5.3 5.3 5.0 4.5 66 67 Savings institutions.................... 13.2 16.1 14.8 13.0 6.6 14.7 13.0 13.0 13.1 12.8 11.4 7.2 3.7 4.0 67 68 Insurance......................................... 3.0 4.0 5,1 5.5 5.2 5.6 5.9 5.5 5.1 5.3 6.0 5.8 5.5 3.7 68 69 Mortgage companies...................... .5 .8 .4 .5 -.6 .2 .9 .5 1.0 -.1 .4 -.6 -.7 -1.3 69 VI. Bank loans n.e.c. 70 Total net borrowing............................ 6.2 7.6 8.7 16.4 9.4 13.7 19.2 13.9 12.9 19.6 7.9 21.3 2.4 6.1 70 71 Nonfinancial business.................... 4.3 5.0 5.1 12.3 11.0 8.3 13.5 11.0 9.9 14.8 10.5 16.5 7,6 9.2 71 72 Nonbank finance............................ 1.0 1.7 .5 2.4 -1.2 .1 2.3 2.6 1.3 3.3 -.4 3.4 -5.6 -2.3 72 73 Households...................................... .5 .4 1.4 1.3 -.2 3.1 .6 1.4 1.3 1.9 -1.4 .8 .3 -.4 73 74 Rest of the world........................... .4 .5 1.7 .4 -.2 2.2 2.8 -1.1 .4 -.4 -.7 .4 ,1 -.5 74 Note.—Quarterly data are seasonally adjusted totals at annual rates. For notes see p. 853 of May 1967 Bulletin. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1042 BANK HOLDING COMPANIES JUNE 1967 BANK HOLDING COMPANIES, DECEMBER 31, 1966 (Registered pursuant to Section 5, Bank Holding Company Act of 1956) Location of Location of principal office Holding company principal office Holding company California Montana Los Angeles................ Western Bancorporation Great Falls............... Bancorporation of Montana Colorado New Hampshire Denver........................ Denver U. S. Bancorporation, Inc. Nashua...................... New Hampshire Bankshares, Inc. Englewood.................. First Colorado Bankshares, Inc. New York District of Columbia Buffalo...................... Marine Midland Corporation Washington................ Financial General Corporation New York................. Charter New York Corporation New York................ Empire Shares Corporation Florida New York.......... The Morris Plan Corporation Jacksonville................. The Atlantic National Bank of Jacksonville Rochester ..... . . Security New York State Corporation Jacksonville................. Atlantic Trust Company Suffern...................... BT New York Corporation Jacksonville................ Barnett National Securities Corporation Warsaw..................... Financial Institutions, Inc. Jacksonville................ Trustees, Estate of Alfred I. duPont1 Miami......................... Commercial Bancorp, Inc. Ohio Miami Beach............. United Bancshares of Florida, Inc.1 Cleveland.................. Society Corporation Pensacola.................... Commercial Associates, Inc. Columbus................. BancOhio Corporation Riviera Beach............. Bancstock Corporation of America Tampa......................... The First National Bank of Tampa Oklahoma Tampa......................... Union Security & Investment Co. Oklahoma City..... First Oklahoma Bancorporation, Inc. Georgia Tennessee Atlanta........................ Trust Company of Georgia Chattanooga........... Hamilton National Associates, Incorporated Atlanta........................ Trust Company of Georgia Associates Savannah.................... Citizens and Southern Holding Company Texas Savannah.................... The Citizens and Southern National Bank Dallas.................... Mercantile National Bank at Dallas1 Fort Worth............... The First National Bank of Fort Worth1 Indiana Houston.................... C, B. Investment Corporation South Bend................ St. Joseph Agency, Inc. South Bend................. St. Joseph Bank and Trust Company Utah Salt Lake City...... First Security Corporation Iowa . Des Moines................ Brenton Banks, Inc. Virginia Arlington............. The First Virginia Corporation Kentucky Richmond............ United Virginia Bankshares Incorporated Louisville.................... Trustees, First National Bank of Louisville Richmond ... . Virginia Commonwealth Bankshares, Inc. Maine Washington Bangor................ Eastern Trust and Banking Company Port Angeles . . . Union Bond & Mortgage Company Spokane.................... Old National Corporation Massachusetts Boston......................... Baystate Corporation Wisconsin Boston......................... Shawmut Association, Inc. Appleton................. First National Corporation Appleton................... Valley Bancorporation Michigan Milwaukee................ First Wisconsin Bankshares Corporation Flint............................ Charles Stewart Mott Foundation1 Milwaukee ........... The Marine Corporation Milwaukee................ Marshall & Ilsley Bank Stock Corporation Minnesota Minneapolis................ Bank Shares Incorporated Canada Minneapolis................ First Bank Stock Corporation Mnntrea 1 . . . Bank of Montreal Minneapolis............... Northwest Bancorporation Toronto ........... Canadian Imperial Bank of Commerce St. Paul....................... Otto Bremer Company St. Paul....................... Otto Bremer Foundation England London................. Barclays Bank Ltd.1 Missouri Kansas City................ Joe W. Ingram Trust “B”> Japan St Joseph................... The First National Bank of St. Joseph Tokyo.................... The Bank of Tokyo, Ltd. St. Louis............ General Bancshares Corporation 1 These companies were bank holding companies as of Dec. 31, 1966, and have subsequently registered with the Board in 1967. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

Financial Statistics Internationa! U.S. balance of payments ................................................................................................. 1044 Foreign trade......................................................................................................................... 1045 U.S. gold transactions and reserve assets ........................................................................ 1046 U.S. position in the IMF ................................................................................................... 1047 International capital transactions of the United States ................................................... 1048 Reported gold reserves of central banks and governments .......................................... 1060 Gold production .................................................................................................................. 1061 Money rates in foreign countries ....................................................................................... 1062 Arbitrage on Treasury bills ............................................................................................... 1063 Foreign exchange rates ...................................................................................................... 1064 Guide to tabular presentation ........................................................................................... 978 Index to statistical tables ................................................................................................... 1073 The tables on international capital transactions of New York, and International Monetary are based on Treasury Department data and on Fund and from foreign central bank statements data reported to that Department by banks and and official statistical bulletins. For some of the brokers in the United States. Other data are series, back data are available in Banking and obtained from the Treasury Department, De­ Monetary Statistics and its Supplements (see partment of Commerce, Federal Reserve Bank list of publications at the end of the Bulletin). 1043 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1044 U.S. BALANCE OF PAYMENTS JUNE 1967 1. U.S. BALANCE OF PAYMENTS (In millions of dollars) 1965 1966 Item 1964 1965 1966» III IV I II in IV* Transactions other than changes in foreign liquid assets in U.S. and in U.S. monetary reserve assets—Seasonally adjusted Exports of goods and services—Total i..................... 36,958 38,993 42,910 10,016 10,065 10,480 10,558 10,943 10,929 Merchandise......................................................... 25,297 26,276 29,180 6,826 7,027 7,154 7,098 7,426 7,502 Military sales............................................................ 747 844 908 199 216 198 260 215 235 Transportation........................................................ 2,324 2,415 2,585 617 632 640 627 671 647 Travel................................................................. 1,095 1,212 1,417 305 330 333 337 373 374 Investment income receipts, private....................... 4,932 5,389 5,585 1,321 1,176 1,384 1,427 1,436 1,338 Investment income receipts, Govt.......................... 460 512 595 149 78 148 {48 149 150 Other services.......................................................... 2,103 2,345 2,640 599 606 623 661 673 683 Imports of goods and services—Total....................... -28,468 -32,036 -37,614 -8,245 -8,540 -8,898 -9.175 -9,737 -9,804 Merchandise............................................................. -18,621 -21,488 -25,507 -5,595 -5,756 -5,980 -6,220 -6,639 -6,668 Military expenditures.............................................. -2,834 -2,881 -3,649 -745 -771 -854 -899 -934 -962 Transportation........................................................ -2,462 -2,691 -2,903 -661 -706 -719 -712 -725 -747 Travel........................................................................ -2,201 -2,400 -2,623 -603 -614 -642 -643 -664 -674 Investment income payments................................. -1,404 -1,646 -1,868 -411 -458 -436 -437 -510 -485 Other services........................................................... -946 -930 -1.064 -230 -235 -267 -264 -265 -268 Balance on goods and services1................................... 8,490 6,957 5,296 1,771 1,525 1,582 1,383 1,206 1,125 Remittances and pensions............................................ -879 -994 -992 -244 -235 -236 -236 -277 -243 1. Balance on goods, services, remittances and pensions.................................................... 7,611 5,963 4,304 1,527 1,290 1,346 1,147 929 882 2. U.S. Govt, grants and capital flow, net................. -3,560 -3,375 -3,396 -743 -881 -957 -952 -797 -690 Grants,2 loans, and net change in foreign cur­ rency holdings, and short-term claims....... -4,263 -4,277 -4,623 -1,117 -1,030 -1,156 -1,155 -1,201 -1,111 Scheduled repayments on U.S, Govt, loans.. . 580 681 799 191 126 196 196 178 229 Nonscheduled repayments and selloff’s............. 123 221 428 183 23 3 7 226 192 3. U.S. private capital flow, net................................ -6,523 -3,690 -3,911 -827 -912 -928 -1,094 -748 -1,141 Direct investments.......................................... -2,416 -3,371 -3,363 -569 -73t -687 -976 -737 -963 Foreign securities............................................... -677 -758 -426 -285 -209 -324 6 -69 -39 Other long-term claims: Reported by banks...................................... -941 -231 329 -58 126 122 -33 84 156 Reported by others......................................... -343 -91 -116 -20 -71 -53 -29 -17 Short-term claims: Reported by banks..................................... -1,523 325 -68 51 109 143 -91 20 -140 Reported by others......................................... -623 436 -267 54 -136 -165 53 -17 -138 4. Foreign capital flow, net, excluding change in liquid assets in U.S............................. 685 194 2,168 -251 251 289 972 243 664 Long-term investments....................................... 109 - 149 1,912 -235 110 298 986 96 532 Short-term claims................................................ IB 146 246 39 44 39 57 92 58 Nonliquid claims on U.S. Govt, associated with:— Military contracts........................................... 228 314 300 -16 149 71 -46 69 206 U.S. Govt, grants and capital........................ 50 -85 -229 -34 -18 -64 -I -12 -152 Other specific transactions...................... 208 -25 -12 -5 -28 -2 2 21 -33 Other nonconvertible, nonmarketable, me­ dium-term U.S, Govt, securities3.............. -23 -7 -49 * -6 -53 -26 -23 53 5. Errors and unrecorded transactions........................ -1,011 -429 -589 -240 -80 -294 -195 173 -273 Balances A. Balance on liquidity basis Seasonally adjusted (=■ 1+2+34-44-5)... -2,798 -1,337 -1,424 -534 -332 -544 -122 -200 -558 Less: Net seasonal adjustments............... 472 3 -496 27 499 -30 Before seasonal adjustment........................ -2,798 -1,337 -1,424 -1,006 -335 -48 -149 -699 -528 B. Balance on basis of official reserve transactions Balance A, seasonally adjusted......................... -2,798 -1,337 -1,424 -534 -332 -544 -122 -200 -558 Plus: Seasonally adjusted change in liquid assets in the U.S. of: Commercial banks abroad............................. 1,454 116 2,731 707 -546 232 499 1,166 834 Other private residents of foreign countries.. 345 306 224 65 50 138 45 86 -45 International and regional organizations other than IMF.......................................... -245 -290 -525 -24 -173 -35 -362 9 -137 Las: Change in certain nonliquid liabilities to foreign central banks and govts................ 302 100 735 -18 157 25 263 109 338 Balance B, seasonally adjusted......................... -1,546 -1,305 271 232 -1,158 -234 -203 952 -244 Less: Net seasonal adjustments........................ 508 -33 -636 182 525 —71 Before seasonal adjustment................................. -1,546 -1,305 271 -276 -1,125 402 -385 427 -173 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 U.S. BALANCE OF PAYMENTS AND FOREIGN TRADE 1045 1. U.S. BALANCE OF PAYMENTS—Continued (In millions of dollars) 1965 1966 Item 1964 1965 1966* « j ,v 1 1 " III IV* Transactions by which balances were settled—Not seasonally adjusted A. To settle balance on liquidity basis....................... 2,798 1,337 1,424 1,006 335 48 149 699 528 Change In U.S. official reserve assets (increase, —).,............................................ 171 1,222 563 41 271 424 68 82 -6 Gold.............................................................. 125 41,665 571 124 119 68 209 173 121 Convertible currencies................................... -220 -349 -540 -413 178 222 -163 -426 -173 IMF gold tranche position........................... 266 4-94 537 330 -26 134 22 335 46 Change in liquid liabilities to all foreign accounts 2,627 115 366 965 64 -376 81 617 534 Foreign central banks and govts.: Convertible nonmarketable U.S. Govt. securities 5............................................... 375 123 -945 122 -50 -366 -176 -226 -177 Marketable U.S. Govt, bonds and notes 5. -59 -20 -245 -2 — 19 -5 6 -254 8 Deposits, short-term U.S. Govt, securities, etc......................................... 757 -154 -561 125 740 -6U 206 -166 10 IMF (gold deposits)...................................... 34 177 8 26 131 18 28 Commercial banks abroad............................ i ,454 116 2,731 697 -539 404 316 1,162 849 Other private residents of foreign countries. 345 306 224 72 48 109 66 96 -47 Internationa’ and regional organizations other than IMF......................................... -245 -290 -525 -57 - 142 -38 -355 -23 -109 B. Official reserve transactions................................... 1,546 1,305 -271 276 1,125 -402 385 -427 173 Change in U.S. official reserve assets (increase, —)................................................... 171 1,222 568 41 271 424 68 82 -6 Change in liquid liabilities to foreign central banks and govts, and IMF (see detail above under A.)...................................................... 1,073 -17 -1,574 253 697 -851 54 -618 -159 Change in certain nonliquid liabilities to foreign central banks and govts.: Of U.S private organizations................... 148 -38 736 -16 28 43 284 86 323 Of U.S. Govt.............................................. 154 138 ~1 -2 129 -18 -21 23 15 1 Excludes transfers under military grants. 5 With original maturities over 1 year. 2 Excludes military grants. 3 Includes certificates sold abroad by Export-Import Bank. Note.—-Dept. of Commerce data. Minus sign indicates net payments * Reflects $259 million payment of gold portion of increased U.S. (debits): absence of sign indicates net receipts (credits). subscription to IMF. 2. MERCHANDISE EXPORTS AND IMPORTS (In millions of dollars, seasonally adjusted) Exports 1 Imports 2 Export surplus Period 1964 1965 1966 1967 1964 1965 1966 1967 1964 1965 1966 1967 Month: Jan............. 2,040 3 1,228 2,274 2,620 1,418 3 1,199 1,948 2,296 622 3 28 327 325 Feb..................... 2,058 31,623 2,374 2,601 1,459 3 1,606 2,005 2,204 599 317 369 397 Mar.................. 2,075 3 2,739 2,569 2,570 1,518 3 1,861 2,068 2,185 557 5 878 501 385 Apr..................... 2,061 3 2,406 2,359 2,660 1,537 31,811 2,109 2,224 524 3 595 250 436 May................... 2,047 3 2,299 2,411 1,530 3 1,797 2,063 517 3 503 348 June................... 2,077 3 2,235 2,490 1,514 31,848 2,135 563 3 386 354 July.................... 2,119 2,300 2,456 1,573 M,742 2,205 546 4 558 251 Aug.................... 2,100 2,329 2,455 1,608 1,825 2,113 492 504 342 Sept.................... 2,261 2,291 2,542 1,563 1,858 2,301 698 433 240 Oct..................... 2,156 2,349 2,583 1,551 1,885 2,262 605 464 320 Nov.................... 2,206 2,378 2,486 1,698 1,941 2,192 3 508 438 295 Dec.................... 2,426 2,362 2,415 ...............1.,642 1,911 2,231 • • • .......... 3 784 451 184 ............... Quarter: I.......................... 6,173 3 5,589 7,216 7,791 4,395 3 4,666 6,020 6,685 1,778 3 923 1,196 1,107 ........................ 6,185 3 6,940 7,259 4,581 3 5,456 6,306 1,604 31,484 953 Ill...................... 6,480 6,920 7,453 4,744 <5,425 6,618 1,736 4 1,495 834 IV....................... 3 6,788 7,090 7,484 3 4,891 5,736 6,685 J 1,897 1,353 799 ............... Years..................... 25,671 26,700 29,395 .............1..8.,684 21,366 25,550 ..............6.,987 5,334 3,845 ............... 1 Exports of domestic and foreign merchandise; excludes Dept, of 3 Significantly affected by strikes. Defense shipments of grant-aid military equipment and supplies under 4 Significantly affected by strikes and by change in statistical procedures. Mutual Security Program. 3 Sum of unadjusted figures. 2 General imports including imports for immediate consumption plus entries into bonded warehouses. Note.-—Bureau of the Census data. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1046 U.S. GOLD TRANSACTIONS AND RESERVE ASSETS JUNE 1967 3. U.S. NET MONETARY GOLD TRANSACTIONS WITH FOREIGN COUNTRIES AND INTERNATIONAL ORGANIZATIONS (Net sales (—) or net acquisitions; in millions of dollars at $35 per fine troy ounce) 1966 1967 Area and country 1957 1958 1959 1960 1961 1962 1963 1964 1965 1966 II HI IV Western Europe: Austria.......................... -84 -83 -143 -82 -55 -100 -25 Belgium......................... 3 -329 -39 -141 -144 -63 -40 -83 France........................... -266 -173 -456 -518 -405 -884 -601 -221 -277 Germany, Fed. Rep. of.. -34 -23 -225 Italy............................... -349 100 200 -80 -60 -60 Netherlands.................. 25 -261 -30 -249 -25 -60 -35 Spain............................. 31 32 -114 -156 -146 -130 -32 -180 Switzerland................... -215 20 -324 -125 102 -81 -50 -2 -20 United Kingdom............. -900 -350 -550 -306 -387 329 618 150 80 -7 126 -20 3 Bank for Inti. Settlements -178 -32 -36 -23 Other................................. 8 -41 -48 -96 ~53 -12 “7 -37 -50 -4 -12 -18 Total 68 -2,326 -827 -1.718 -754 -1,105 -399 -88 -1,299 -659 -221 -172 -92 -15 Canada 5 190 200 50 50 Latin American republics: Argentina....................... 75 67 -50 -90 85 -30 -39 -28 Brazil............................. -2 -2 57 72 54 25 -3 Colombia....................... -6 38 10 29 7 Venezuela....................... 65 -25 Other............................... 6 2 -35 -42 -17 -5 -9 -13 -6 -3 -5 8 Total 81 69 19 -100 -109 175 32 56 17 -41 -4 -34 -3 -3 Asia; Japan, -30 -157 -15 -56 Other. 18 -4 -28 -97 1 -101 2 -93 12 3 -24 -30 -2 -12 10 -20 Total 18 -34 -186 -113 -101 -93 12 3 -24 -86 -2 -12 10 20 All other. -3 -5 -38 -6 -36 -7 -16 -22 -8 -4 2 Total foreign countries. 172 -2,294 -998 -1,969 -970 -833 -392 -36 -1,322 -608 -185 -172 -86 36 Inti. Monetary Fund 600 3 -44 *300 150 5-225 6177 6 18 629 616 Grand total 772 -2,294 -1,041 -1,669 -820 -833 -392 -36 -1 ,547 -431 -167 -143 -86 -20 1 Includes sales of 521 million to Lebanon and $48 million to Saudi million in 1956, and $300 million in 1959 and in 1960) with the right of Arabia. repurchase; proceeds from these sales invested by IMF in U.S. Govt, 2 Includes sales of $21 million to Burma, $32 million to Lebanon, and securities. $13 million to Saudi Arabia. 5 Payment to the IMF of $259 million increase in U.S. gold subscription, 3 Payment to the IMF of $344 million increase in U.S. gold sub­ less gold deposits by the IMF. scription, less sal© by the IMF of $300 million (see note 4). 6 Represents gold deposit by the IMF; see note 1(b) to table below. * IMF sold to the United States a total of $800 million of gold ($200 4. U.S, GOLD STOCK, HOLDINGS OF CONVERTIBLE FOREIGN CURRENCIES, AND RESERVE POSITION IN IMF (In millions of dollars) Total Gold stock 1 v C er o ti n b ­ le p R o e s s i e ti r o v n e Total Gold stock 1 ve C r o ti n b ­ le Reserve End of year reserve foreign in End of month reserve foreign position assets Total 2 Treasury currencies IMF 3 assets Total 2 Treasury c c u i r e r s e n 5 ­ IM in F 3 1957........................ 24,832 22,857 22,781 1,975 1966—May.......1..4..,.905 13,582 13,532 628 695 1958 ........................ 22,540 20,582 20,534 1,958 June............ 14,958 13,529 13,433 722 707 July............ 15,148 13,413 13,332 1 ,093 642 1959........................ 21,504 19,507 19,456 I ,997 Aug............. 15,015 13,319 13,259 1,299 397 1960........................ 19,359 17,804 17,767 1 ,555 Sept............. 14,876 13,356 13,258 1,148 372 Oct.............. 14,880 13,311 13,257 1,213 356 1961...................... 18,753 16,947 16,889 116 1 ,690 Nov............ 14,7(5 13,262 13,159 1,108 345 1962....................... 17,220 16,057 15,978 99 1,064 Dec.......1..4..,.8.82 13,235 13,159 1,321 326 1963 ........................ 16,843 15,596 15,513 212 1,035 1967—Jan.......1..4..,.1..96 13,202 13,157 645 349 1964........................ 16,672 15,471 15,388 432 769 Feb............. 13,998 13,161 13,107 480 357 Mar.......1..3..,.8.55 13,184 13,107 314 357 1965........................ 15,450 *13,806 <13,733 781 <863 Apr............. 13,906 13,234 13,109 315 357 1966........................ 14,882 13,235 13,159 1,321 326 May.......1..3..,9.43 13,214 13,109 363 366 1 Includes (a) gold sold to the United States by the International Mon­ * Reserve position includes, and gold stock excludes, $259 million gold etary Fund with the right of repurchase, and (b) gold deposited by the subscription to the IMF in June 1965 for a U.S. quota increase which IMF to mitigate the impact on the U.S. gold stock of foreign purchases became effective on Feb. 23, 1966. In figures published by the IMF from for the purpose of making gold subscriptions to the IMF under quota June 1965 through Jan. 1966, this gold subscription was included in the increases. For corresponding liabilities, see Table 6. U.S. gold stock and excluded from the reserve position. 2 Includes gold in Exchange Stabilization Fund. 5 For holdings of F.R. Banks only, see pp. 988 and 990. 3 In accordance with IMF policies the United States has the right to Note.—See Table 18 for gold held under earmark at F.R. Banks for draw foreign currencies equivalent to its reserve position in the IMF vir­ foreign and international accounts. Gold under earmark is not included tually automatically if needed. Under appropriate conditions the United in the gold stock of the United States. States could draw additional amounts equal to the U.S. quota. See Table 5. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 U.S. POSITION IN THE IMF 1047 5. U.S. POSITION IN THE INTERNATIONAL MONETARY FUND (In millions of dollars) Transactions affecting IMF holdings of dollars IMF holdings (during period) of dollars (end of period) U.S. transactions with IMF Transactions by U.S. reserve other countries position Period with IMF P su ay b m o sc f e r i n . p t ­ s g N o e ld t D f r o a r w o e f i i g n n g s I i M nc F o m ne e t Drawings Repay­ c T ha o n ta g l e Amount Pe U r o . c S f e . nt p i ( e n e r n i I o d M d o ) F f 3 t d io o n ll s a r i s n by s I a M les F 1 c c u i r e r s e n 2 ­ dol in la rs do o ll f a rs me in n ts quota dollars 1946-1957............................... 2,063 4594 -45 -2,664 827 775 775 28 1,975 1958............................... -2 -252 271 17 792 29 1 ,958 1959............................... 1,031 2 -139 442 1,336 2,128 52 1,997 I960............................... 11 -149 580 442 2,570 62 1,555 1961............................... 150 16 -822 521 -135 2,435 59 1,690 1962............................... 17 -110 719 626 3,061 74 1 ,064 1963............................... 16 -194 207 29 3,090 75 1,035 1964............................... 525 18 -282 5 266 3,356 81 769 1965............................... 435 12 -282 165 3,521 85 5863 1966............................... 776 680 15 -159 1 1,313 4,834 94 326 1966-May............................... 30 4 -2 32 4,466 87 695 June............................... 1 -14 -13 4,453 86 707 July................................ 71 -6 65 4,518 88 642 Aug................................ 282 1 -38 245 4,763 92 397 Sept............................... 35 -12 25 4,788 93 372 Oct................................ 31 1 — 16 16 4,804 93 356 Nov................................ 12 2 -3 11 4,815 93 3*5 Dec................................ 30 — 11 ...............1.9.. 4,834 94 326 1967-Jan................................. 3 -26 -23 4,811 93 349 Feb................................. 3 -10 -7 4,804 93 357 Mar............................... 1 -2 -1 4,803 93 357 Apr.,............................. 4,803 93 357 May............................... 4 -13 .............-..9... 4,794 93 366 1 Represents net IMF sales of gold to acquire U.S. dollars for use in 4 Represents a $600 million IMF gold sale to United States (1957), IMF operations. Does not include transactions in gold relating to gold less $6 million gold purchase by IMF from another member with U.S. deposit or gold investment (see Table 6). dollars (1948). 2 Represents purchases from the IMF of currencies of other members 5 Includes $259 million gold subscription to the IMF in June 1965 for for equivalent amounts of dollars. The United States has a commitment a U.S. quota increase, which became effective on Feb. 23, 1966. Jn figures to repay drawings within 3 to 5 years, but only to the extent that the published by the IMF from June 1965 through Jan. 1966, this gold sub­ holdings of dollars of the IMF exceed 75 per cent of the U.S. quota. scription was included in the U.S. gold stock and excluded from the Drawings of dollars by other countries reduce the U.S. commitment to reserve position. repay by an equivalent amount. •’Represents the U.S. gold tranche position in the IMF (the U.S. Note.—The initial U.S. quota in the IMF was $2,750 million. The U.S. quota minus the holdings of dollars of the IMF), which is the amount quota was increased to $4,125 million in 1959 and to $5,160 million in that the United States could draw in foreign currencies virtually automati­ Feb. 1966. Under the Articles of Agreement, subscription payments equal cally if needed. Under appropriate conditions, the United States could to the quota have been made 25 per cent in gold and 75 per cent in dollars. draw additional amounts equal to its quota. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1048 INTL. CAPITAL TRANSACTIONS OF THE U.S. JUNE 1967 6. U. S. LIQUID LIABILITIES TO FOREIGNERS (In millions of dollars) Liabilities to Inti. Liabilities to foreign countries Liabilities to non­ Monetary Fund arising monetary inti. and from gold transactions regional organizations 5 Official institutions 3 Banks and other foreigners Non­ End market­ pe o ri f o d Total Total p G o d o s e l i ­ d t 1 i m n G v e o e n l s d t t 2 ­ Total i p S t l i t i o e h a e r s b r o t m e i r r l t d e ­ ­ ­ M G b a U a o o b r n . v l S k d e t e . s , t ­ co T a U n i r b b e v . l l S a e e e s . r ­ t­ Total i p S t l i t i o e h a e r s b r o t m i e r r l t e d ­ ­ ­ M b G a U a o o b r n . k l v S d e e t . s , t ­ Total i S p t l i t i o h e e a r s o r b t m r e i r l t e d ­ ­ ­ M b G a U a o o b r n . k v S l d e e t . s , t ­ in b a b U n y k . S s . n a o n te d s 4 bo u n ry d s in b a b U n y k . S s . n a o n te d s 4 in b a U b n y . k S s .« no an te d s 4 and notes 1957.. 715,825 200 200 n.a. 7,917 n.a. n.a. 5,724 n.a. n.a. 542 n.a. 1958.. 716,845 200 200 n.a. 8,665 n.a. n.a. 5,950 n.a. n.a. 552 n.a. 1959.. 19,428 500 500 10,120 9,154 966 7,618 7,077 541 1,190 530 660 1960 8 120*994 800 800 11,078 10,212 866 7,591 7,048 543 1,525 750 775 121,027 800 800 11,088 10,212 876 7,598 7,048 550 1,541 750 791 196M 1 ? 2 22 2 ^ ,9 85 3 3 6 8 8 0 0 0 0 8 8 0 0 0 0 1 1 1 1 , , 8 8 3 3 0 0 1 1 0 0 , , 9 9 4 4 0 0 8 8 9 9 0 0 8 8 , , 2 3 7 5 5 7 7 7, , 8 7 4 5 1 9 5 51 1 6 6 1 I , , 9 9 4 4 8 9 7 70 0 3 4 1 1 , , 2 2 4 4 5 5 1962 8 ( 1 2 2 4 4 , , 0 0 6 6 8 8 8 80 0 0 0 8 8 0 0 0 0 1 1 2 2 , , 7 7 4 1 8 4 1 1 1 1 , ,9 9 6 9 3 7 7 7 5 51 1 8 8 , , 3 3 5 5 9 9 7 7 , , 9 9 1 1 1 1 4 4 4 4 8 8 2 2 , , 1 1 6 9 1 5 1 1 , , 2 2 5 8 0 4 9 9 1 1 1 1 1963 8 ?26,’361 800 800 14,387 12,467 1 ,217 ' ’ ' ’703' 9,214 8,863 351 1,960 808 1,152 \26’322 800 800 14,353 12,467 1,183 703 9,204 8,863 341 1 ,965 808 1,157 19648, / 1 2 2 8 9 ’ ,0 95 0 1 2 8 8 0 0 0 0 8 8 0 0 0 0 1 1 5 5, , 4 4 2 2 8 4 1 1 3 3 , , 2 2 2 2 4 0 1 1 , , 1 1 2 2 5 5 1 1 , , 0 0 7 7 9 9 1 1 1 1 , , 0 0 0 5 1 6 1 1 0 0 , , 6 6 2 8 5 0 3 37 7 6 6 1 1, , 7 7 2 2 2 2 8 8 1 1 8 8 9 9 0 04 4 1965.. 29,115 834 34 800 15,372 13,066 1,105 1,201 11,478 11,006 472 1 ,431 679 752 1966—Mar.. 28,738 965 165 800 14,389 12,455 1,100 834 11,991 11,499 492 1,393 837 556 Apr... 28,862 981 181 800 14,386 12,527 1,100 759 12,168 11,674 494 1,327 839 488 May.. 28,935 983 183 800 14,618 12,809 1,100 709 12,191 11,706 485 1,143 706 437 June.. 28,819 983 183 800 14,425 12,661 1,106 658 12,373 11,883 490 1,038 605 433 July.. '29,511 984 184 800 rl4,469 ’•13,033 853 583 '12,978 '12,481 497 '1 ,080 ’’647 433 Aug.. ■■29,697 1 ,003 203 800 rl4,264 ’■12,905 852 507 '13,391 '12,870 521 '1,039 '650 389 Sept.. '29,432 1 ,011 21 1 800 '13,799 ’■12,515 852 432 '13,608 '13,121 487 '1 ,014 '625 389 Oct... '30,212 1,011 21 1 800 U3,966 ’•12,909 852 205 '14,245 '13,739 506 '990 '600 390 Nov.. '30,548 1,011 21 1 800 ^14,018 '■12,953 860 205 '14,546 '14,027 519 '973 '612 361 Dec A / 1 ' ■ 2 '2 9 9 ,7 ,9 7 0 3 4 1 1 , , 0 0 1 1 1 1 2 2 1 1 1 I 8 8 0 0 0 0 ' ’• 1 1 3 3 , , 6 6 0 5 0 6 ’ ’ - • 1 1 2 2 , , 4 5 8 4 4 0 8 8 6 6 0 0 2 2 5 5 6 6 ' '1 1 4 4 , , 2 3 0 8 1 7 ' ' 1 1 3 3, , 6 8 7 5 3 9 5 5 2 2 8 8 '9 9 0 0 5 6 '5 5 8 81 0 3 3 2 2 5 5 1967—Jan... '28,957 1,012 212 800 ’•13,333 ’-12,145 860 328 '13,657 '13,129 528 '955 '651 304 Feb. . 28,908 1 ,013 213 800 13,347 12,154 865 328 13,693 13,163 530 855 608 247 Mar.’1 28,989 1,028 228 800 13,556 12,363 865 328 13,536 13,006 530 869 637 232 1 Represents liability on gold deposited by the International Monetary 8 Data on the two lines shown for this date differ because of changes in Fund to mitigate the impact on the U.S. gold stock of foreign purchases reporting coverage. Figures on the first lipe are comparable with those for the purpose of making gold subscriptions to the IMF under quota in­ shown for the preceding date; figures op the second line are comparable creases. with those shown for the following date. 2 U.S. Goyt. obligations at cost value and funds awaiting investment obtained from proceeds of sales of gold by the IMF to the United States Note.—Based on Treasury Dept, data and on data reported to the to acquire income-earning assets. Upon termination of investment, the Treasury Dept, by banks and brokers in the United States. Data correspond same quantity of gold can be reacquired by the IMF. to statistics following in this section, except for minor rounding differences. 3 Includes Bank for International Settlements and European Fund. Table excludes IMF “holdings of dollars,” and holdings of U.S. Treasury 4 Derived by applying reported transactions to benchmark data; letters of credit and non-negotiable, non-interest-bearing special U.S. breakdown of transactions by type of holder estimated for 1960-63. notes held by other international and regional organizations. Includes securities issued by corporations and other agencies of the U.S. The liabilities figures are used by the Dept, of Commerce tn the statistics Govt, that are guaranteed by the United States. measuring the U.S. balance of international payments on the liquidity 5 Principally the International Bank for Reconstruction and Develop­ basis; however, the balance of payments statistics include certain adjust­ ment and the Inter-American Development Bank. ments to Treasury data prior to 1963 and some rounding differences, and 6 Includes difference between cost value and face value of securities in they may differ because revisions of Treasury data have been incorporated IMF gold investment account. Liabilities data reported to the Treasury at varying times. The table does not include certain nonliquid liabilities include the face value of these securities, but in this table the cost value of to foreign official institutions that enter into the calculation of the official the securities is included under “Gold investment.” The difference, which reserve transactions balance by the Dept, of Commerce. amounted to $32 million at the end of 1966, is included in this column. ’Includes total foreign holdings of U.S. Govt, bonds and notes, for which breakdown by type of holder is not available. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 INTL, CAPITAL TRANSACTIONS OF THE U.S. 1049 7. U.S. LIQUID LIABILITIES TO OFFICIAL INSTITUTIONS OF FOREIGN COUNTRIES, BY AREA (Amounts outstanding; in millions of dollars) End of period fo T r o e t i a g l n E W u e ro st p e e rn 1 Canada Am La e t r i ’’ n ca n Asia Africa cou O n t t h ri e e r s 2 countries republics 1963........................................................................................ 14,353 8,445 1,789 1,058 2,731 154 176 1964.............................................................................. 15,424 9,220 l\6O8 1,238 3^020 160 178 1965...................................................................................... 15,372 8’608 1,528 1,497 3'300 194 245 1966 Mar.................................................................. 14,389 7,726 1,433 1,359 3,410 218 243 Apr,.......................................................................... 14,386 7,602 1'387 1,415 3,519 229 234 May...................................................................... 14 618 7,822 1,364 1 1442 3,532 235 223 June 14,425 7'948 1 '327 1'221 3^438 237 254 July.......................................................................... 04^469 8,184 1,288 1,159 '3,380 234 224 Aug............................................................................. '14,264 8^008 1,221 1,153 '3,411 252 219 Sept.......................................................................... '13,799 7,585 1,215 1,049 '3'459 266 225 Oct.................................... ........................... '13'966 7'687 1,196 1,110 r3’464 282 227 Nov.. ........................................................................ '14,018 7,758 1,212 1 ’ 101 '3,430 293 224 Dec. 3...................................................................... /'13^600 7,488 i; 189 IJ34 ’-3,284 277 228 Ir13,656 7,488 1,189 1,134 '3,340 277 228 1957—Jan................................................. '13,333 7,236 1,186 1,139 '3,256 276 240 Feb.,........................................................................... 13,’347 7'285 1,134 1,167 3,264 255 242 Mar?'......................................................................... 13,556 7,492 1,127 1,246 3^206 258 227 1 Includes Bank for International Settlements and European Fund. Note.—-Data represent short-term liabilities to the official institutions 2 Includes countries in Oceania and Eastern Europe, and Western Euro­ of foreign countries, as reported by banks in the United States, and foreign pean dependencies in Latin America. official holdings of marketable and convertible non marketable U.S. Govt, 3 Data on the two lines shown for this date differ because of changes securities with an original maturity of more than 1 year. in reporting coverage. Figures on the first line are comparable in coverage with those shown for the preceding date; figures on the second line are comparable with those shown for the following date. 8. SHORT-TERM LIABILITIES TO FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES, BY COUNTRY (Amounts outstanding; in millions of dollars) International and regional Foreign E pe n r d io o d f G to r ta an l d 1 Total 1 Inti, i gio R n e a ­ l 2 Total c O i f a f l i­ 3 Other Europe Canada A L m a e t r i i n c a Asia Africa O c t o r t i u h e n e s ­ r 1963............................. 22,877 1,547 1,411 136 21,330 12,467 8,863 10,770 2,988 3 137 4 001 241 194 19644........................... 25’518 1,618 1,447 171 23,900 13,220 16'680 12^236 2,984 3*563 4 687 238 192 1965............................. 25,551 1,479 1,361 118 24,072 13^066 11,006 11^627 2,574 4,027 5,286 280 278 1966—Apr........... 25,840 1,639 1,522 117 24,201 12,527 It,674 11,522 2 460 4 099 5 526 328 266 May................ 26’021 1,506 1,393 113 24,515 12,809 11,706 11,868 2^359 4/49 5,541 336 262 June................ 25^949 1 '405 1 295 HO 24,544 12,661 11 '883 12,331 2,171 3'933 5 470 334 305 July........... '26,961 r1,447 rl ,337 t id 25'514 '13,033 '12’481 13’349 2^291 3,881 5’393 329 269 Aug................... r27,225 rl '450 '1'344 106 25,775 '12,905 '12,’870 13,785 2'164 3*817 5 405 339 264 Sept.. ................ '27/161 '1,425 '1^298 127 '25,636 '12,515 '13,121 13,534 2,191 3360 '5,481 363 267 Oct.................... '28^048 '1’400 '1 ^274 126 '26,648 '12,909 '13'739 14'178 2,400 3'910 '5,517 376 268 Nov................... '28,392 n 412 '1 ’294 118 '26’980 '12'953 '14’027 14'574 2,456 3'861 '5'425 398 266 Dec. 5............... / l '2 r2 7 7 ,7 ,5 2 9 4 3 '1 1 , , 3 3 8 8 1 0 n rl ^ ,2 v 7 o 0 ' ’ 1 ’1 1 1 0 1 ' r 2 2 6 6 , , 3 2 4 1 3 3 '1 1 2 2 , , 4 5 8 4 4 0 ' ’’ 1 1 3 3 , , 8 6 5 7 9 3 ' '1 1 3 4 , , 9 0 3 0 3 0 ' r 2 2 ' , , 5 5 0 09 2 3 3 , , 8 8 8 8 3 3 ’ '5 5 , , 2 2 9 4 9 4 3 3 8 87 5 2 2 6 6 6 6 1967—Jan,................... '26,725 '1 ,451 '1 ,298 '153 '25,274 '12 145 '13,129 '13 204 '2,358 3,918 '5,119 390 285 Feb.................... 26’725 11408 t ,277 131 25,317 12,154 13,163 13 324 2,227 3,971 5 132 379 284 Mar.p................ 26’,806 1,437 M15 122 25,369 12,363 13,006 13’317 2,265 4,063 5 088 356 278 Apr.”................ 27 ,’155 1,430 1,311 H9 25,725 12;874 12,851 13^406 2,298 4,273 5,084 389 275 8a. Europe Ger­ E p n er d i o o d f Total Austria Belgium m De ar n k ­ l F a i n n d ­ France m F a e n d y . , Greece Italy N l e an th d e s r­ Norway Po g r a t l u­ Spain Sweden Rep. of 1963................. 10,770 365 420 161 99 1,478 3,041 188 803 360 133 191 205 409 1964................. 12,236 323 436 336 127 1,663 2,010 171 1,622 367 184 257 394 644 1965................. 11'627 250 398 305 108 997 1,429 151 1,620 339 323 322 183 647 1966—Apr....... 11,522 203 380 347 91 1,024 1,409 142 1,378 242 284 295 120 661 May.... 11,868 208 379 323 86 1,068 1,479 144 1,409 272 311 281 132 671 June.... 12,331 206 378 321 72 1,142 1,756 137 1,519 230 328 285 H5 688 July.... 13,349 205 406 295 70 1,169 2,025 131 1,725 344 347 306 138 672 Aug...... 13,785 180 389 271 66 1,137 2,086 129 1,667 331 299 322 174 673 Sept...... 13,534 233 378 287 61 1,075 2,220 135 1,525 325 284 320 181 693 Oct....... 14,178 208 418 285 57 1,096 2,423 141 1,447 335 265 320 155 674 Nov..... 14,574 183 462 272 53 1,124 2,571 145 1,367 364 283 343 160 655 (’’14,000 196 420 305 58 1,071 2,583 129 1,410 364 283 358 162 656 1'13*933 196 420 305 58 1,070 2,538 129 1,410 364 283 358 162 656 1967—Jan....... ’’13,204 190 426 315 69 992 2,162 138 1,255 294 246 363 191 609 Feb 13,324 182 421 307 69 966 2,375 127 1,208 320 258 373 147 628 Mar. p.. 13,317 181 410 305 65 948 2,412 HO 1,232 332 274 350 149 615 Apr.P,.. 13,406 150 426 297 94 929 2,392 H7 1,319 328 287 353 121 623 For notes see following two pages. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1050 INTL. CAPITAL TRANSACTIONS OF THE U.S. JUNE 1967 8. SHORT-TERM LIABILITIES TO FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES, BY COUNTRY—Continued (Amounts outstanding; in millions of dollars) 8a. Europe—Continued 8b. Latin America E p n er d i o o d f Sw la i n tz d er­ Turkey U K d n o i i n m t g ed ­ Y sl u av g i o a ­ W E O u e r s th o te e p r r e n 6 U.S.S.R. E E O a u s t r h t o e e p r r n e Total A t r i g n e a n­ Brazil Chile Co b l i o a m­ Cuba Mexico 1963................. 906 21 1,483 16 465 2 24 3,137 375 179 143 169 It 669 1964 ............... 1,370 36 1,884 32 358 3 19 3,563 291 258 176 209 12 735 1965................. 1', 369 34 2,714 36 369 4 30 4,027 432 383 219 214 io 703 1966—Apr....... 1,466 28 3,062 16 342 3 27 4,099 503 266 199 196 9 727 May.... 1,585 28 3,117 16 330 3 27 4,149 518 342 205 193 9 716 June..,. 1.610 21 3.120 21 353 2 29 3,933 485 330 195 182 10 589 July. ... 1,696 18 3,350 20 397 4 31 3,881 473 314 198 189 9 566 Aug....... 1,692 26 3,901 27 380 6 29 3,817 489 327 201 182 9 554 Sept...... 1,757 24 3,609 32 358 6 32 3,800 474 345 238 186 10 523 Oct..... 1,747 31 4,165 40 333 6 33 3,910 438 365 238 183 10 555 Nov...... 1,764 30 4,414 33 314 5 33 3,861 417 362 226 176 9 606 Dec. s... V P I l , , 8 8 0 0 5 5 4 4 3 3 3 3 , , 8 8 3 1 9 7 3 3 7 7 2 2 3 3 5 4 8 8 4 4 0 0 3 3 , , 8 8 8 8 3 3 4 4 1 18 8 2 2 9 9 9 9 2 2 6 6 1 1 1 1 7 7 8 8 8 8 6 6 3 3 2 2 1967—Jan........ '1,699 38 '3,754 35 386 6 36 3,918 414 297 242 170 8 636 Feb....... 1,723 29 3,796 37 312 6 37 3,971 412 308 247 162 9 695 Mar. ’.. 1,686 30 3,833 36 320 3 27 4,063 459 319 248 174 9 699 Apr. + .. 1,700 31 3,813 34 355 4 33 4,273 524 339 258 195 9 704 8b. Latin America-Continued 8c, Asia E p n er d i o o d f Panama Peru U gu r a u y ­ V zu e e n l e a ­ O L re t . h A p e . . r B B a e h rm & am ud a a s A S n u N t r i e i l n l t e h a s . m & A O L m a t e h t r i e n ic r a Total C M la h a n i i n d n a ­ H K o o n n g g India n d I e n o si ­ ­ a Israel 1963................. 129 158 113 591 355 136 93 15 4,00! 35 66 51 48 112 1964................. 99 206 111 734 416 189 114 14 4'687 35 95 59 38 133 1965............. 120 257 137 738 519 165 H3 17 5’286 35 113 84 31 127 1966—Apr....... 145 240 161 787 547 174 128 16 5,526 36 119 159 52 139 May.... 146 233 167 762 529 183 125 19 5,541 36 117 141 55 128 June.... 156 247 179 700 534 182 126 19 5,470 35 114 124 49 118 July.... 144 230 180 735 541 165 117 19 5,393 36 118 125 44 119 Aug...... 145 227 166 698 537 (58 117 20 5,405 36 128 134 49 106 Sept...... 149 216 156 679 510 179 115 21 ■-5,481 36 135 151 53 115 Oct........ 148 237 156 738 521 178 121 23 '5,517 36 142 151 62 108 Nov..... 152 236 161 694 517 174 108 24 r5 425 36 135 167 60 102 (150 249 161 707 522 177 104 ii '5,299 36 142 180 54 117 1150 249 161 707 522 177 104 17 '5,244 36 142 179 54 117 1967—Jan........ 147 239 164 750 533 192 108 19 ■5,119 36 147 198 62 109 Feb....... 147 234 167 718 550 198 107 18 5,132 , 36 140 206 51 113 Mar. p.. 152 257 168 704 563 185 107 19 '5,088 36 142 205 46 100 Apr. *+. 160 245 156 776 577 204 107 19 5,084 36 150 217 51 104 8c. Asia—Continued 8d. Africa 8e. Other countries Congo E pe n r d i o o d f Japan Korea P p h in il e ip s ­ T w a a i n ­ T la h n a d i­ O A t s h i e a r Total s ( h K a i s n a ­ ) r M oc o co ­ A So fr u i t c h a U (E . g A y . p R t) . A O f t r h i e c r a Total t A ra u l s ia ­ o A th l e l r 1963.................... 2,484 113 209 149 382 353 241 26 49 41 14 112 194 180 13 1964.................... 2,767 104 233 221 458 543 238 26 7 47 24 135 192 176 15 1965.................... 3,014 108 304 211 542 718 280 12 17 51 30 170 278 254 24 1966—Apr.......... 2.959 121 313 217 580 832 328 11 20 89 17 192 266 231 35 May........ 2,933 114 320 221 585 891 336 8 20 95 15 197 262 233 29 June. 2^897 119 329 227 576 881 334 9 22 67 23 213 305 279 26 July......... 2,780 120 325 241 595 891 329 12 25 63 25 203 269 241 28 Aug.,,,., 2'760 129 316 242 603 902 339 12 35 56 22 215 264 236 28 Sept '2’739 134 317 244 612 945 363 13 40 64 15 231 267 240 27 Oct........... '2,680 138 315 246 612 1,028 376 12 41 64 26 232 268 243 25 Nov...... '2^624 158 288 238 611 1,007 398 14 38 73 45 229 266 242 24 fr2,691 172 286 232 598 '791 387 15 32 71 39 230 266 243 22 1'2,664 162 285 228 598 779 385 15 31 7! 39 229 266 243 22 1967—Jan........... '2,561 171 282 235 610 708 390 13 33 61 33 250 285 262 23 Feb.......... 2,502 181 27! 232 635 766 379 13 31 62 22 251 284 258 26 Mar. *. . . 2,491 178 255 229 658 749 356 13 32 58 34 219 278 252 26 Apr. p.... 2,447 175 267 227 655 756 389 11 30 56 26 266 275 249 25 1 Data exclude the “holdings of dollars” of the International Monetary follows (in millions of dollars); Total +50; Foreign other +50; Europe Fund. — 17; Canada +1; Latin America +26; Asia +49; Africa -9. 2 Latin American, Asian, African, and European regional organiza­ s Data on the two lines shown for this date differ because of changes in tions, except Bank for International Settlements and European Fund reporting coverage. Figures on the first line are comparable in coverage which are included in “Europe." with those shown for the preceding date; figures on the second line are 3 Foreign central banks and foreign central govts, and their agencies, comparable with those shown for the following date. and Bank for International Settlements and European Fund. 6 Includes Bank for International Settlements and European Fund. < Includes revisions arising from changes in reporting coverage as For Note see end of Table 8. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 INTL. CAPITAL TRANSACTIONS OF THE U.S. 1051 8. SHORT-TERM LIABILITIES TO FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES, BY COUNTRY—Continued (Amounts outstanding; in millions of dollars) 81. Supplementary data 7 (end of period} 1965 1966 1965 1966 Area or country Area or country Apr. Dec. Apr. Dec. Apr. Dec, Apr. Dec. Other Western Europe: Other Asia—Cont.: Iceland......................................... 7.1 5.8 4.0 6.6 Iraq.................................... 65,4 12,0 27.1 Ireland, Rep. of.......................... 6.3 6.2 6.6 8.9 Jordan......................................... 7.9 16.0 16.0 39.7 Luxembourg................................ 20.1 21.1 28.2 25.3 Kuwait............................. 52.0 35.5 24,6 49.2 Laos...................... 5,0 3.2 5.7 Other Latin American republics: Lebanon...................................... 113.2 99.7 92.0 100.1 Bolivia.................................... . 53.1 67.4 64.4 66.9 Malaysia..................................... 836.3 25,9 31.2 38.3 Gosta Rica........................... 28.6 34 2 32.9 34.6 Pakistan..................................... 24.8 19.4 21.0 49.2 Dominican Republic.................. 47,3 72J 54.3 53.2 Ryukyu Islands (inch Okinawa), 32.7 24.0 39.5 $45.9 Ecuador....................................... 65.2 69.6 62.3 86,3 Saudi Arabia.............................. 288.0 283.6 291.0 176.1 RI Salvador.................................. 71,7 67.0 78.3 68.9 Singapore................................... (8) 8.9 4.9 34.6 Guatemala................................... 71.6 68 1 86.9 64.2 Syria........................................ 3.2 4.0 4.8 3.4 Haiti............................................. 15.4 16.3 16.7 16.3 Vietnam.................................. 19.7 39.0 123.8 132,0 Honduras..................................... 33,0 31.4 43.2 26,8 Jamaica........................................ 7.8 8.6 11.5 11.7 Other Africa: Nicaragua..................................... 67.4 67 0 75,0 72.8 Algeria...................... 2.1 7,6 13.6 11.3 Paraguay............................ 12,1 13.8 15.0 14.9 Ethiopia, (inch Eritrea).............. 45,2 44.1 58,9 53.5 Trinidad & Tobago.................... 8.6 3.6 6.3 4.7 Ghana......................................... 5.1 2.6 2.9 6.9 Liberia.......................... 17.6 17.9 19.7 21.2 Other Latin America: Libya..................... 26,8 34.8 26.7 37.1 British West Indies...................... 16.0 11.5 8.9 14.6 Mozambique............................. 1.6 1 6 1.7 French Wesf Indies A French Nigeria....................................... 20. 3 21.7 20 3 Guiana.................................... 1.4 2.2 1.5 1.3 Somali Republic,....................... .8 .8 .9 .8 Southern Rhodesia.................... 2.6 3.3 3.5 2.7 Other Asia: Sudan........................................ 2,2 3.7 3.3 3,4 Afghanistan............................. 6.3 5.6 8.0 9.5 Tunisia....................................... 1.0 1.8 1.0 1.1 Burma................................. 35.9 49.1 34.6 n.a. Zambia........................................ .9 7.2 16.1 n.a. Cambodia. ................................... 1.7 2.7 3.1 1.1 Ceylon......................................... 2.7 2.4 3.3 3.2 AU other: Iran........................................ 62.0 66.9 79.2 36.6 New Zealand.............................. 19.7 18,7 27,1 13.6 7 Represent a partial breakdown of the amounts shown in the “other” their date of issue. Data exclude the "holdings of dollars** of the Interna­ categories (except “Other Eastern Europe”) in Tables 8a-8e. tional Monetary Fund; for explanation see note following Tables 17 and 8 Singapore included with Malaysia. 18. Data exclude also U.S. Treasury letters of credit and non-negotiable, 9 Data exclude $12 million resulting from changes in reporting cover­ non-interest-bearing special U.S. notes held by the Inter-American De­ age and classification. velopment Bank and the International Development Association. Note.—Short-term liabilities are principally deposits (demand and For data on long-term liabilities, see Table 14. time) and U.S. Govt, securities maturing in not more than 1 year from 9. SHORT-TERM LIABILITIES TO FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES, BY TYPE (Amounts outstanding; in millions of dollars) Payable in dollars To banks, official and international institutions1 To all other foreigners Payable End of period Total for i e n i gn Deposits U.S. Deposits U.S. currencies Total T bi r l e ls a s a u n r d y Other 3 Total T bi r l e ls a s a u n r d y Other 3 Demand Time 2 certificates Demand Time 2 certificates 1963................................... 22,877 19 696 5 575 3,673 8 571 1,878 3 047 1,493 966 119 469 134 1964 4................................ 25^518 22,051 6,684 3,990 8,727 2,650 3.377 1,531 1 271 72 503 90 1965................................... 25'551 21,905 6,518 3,963 8,269 3,155 3,587 1,574 1,594 87 332 59 1966—Apr................. 25,840 21,722 7,019 3,895 7,548 3,260 3,712 1,578 1,693 106 336 406 May....................... 26^021 21'880 7,231 3'769 7,464 3'416 3'704 1'531 1,718 88 367 437 June.............. 25,949 21,750 7,234 3*654 7'384 3'478 3,743 1,526 1,756 72 389 456 July...................... '26,961 '22'750 7'801 3,686 7,605 '3^658 3,726 1'490 1'759 80 397 485 Aug.................. '27,225 '23,016 8,147 3,701 7,529 '3 J 638 3,653 1,413 1,765 81 394 556 Sept...................... '27'061 '22'615 7'840 '3,846 7,363 '3,566 3,839 1,531 1'803 108 397 608 Oct, '28'048 '23,526 8,381 6’998 7,671 '3 J476 3'820 1,479 1,816 98 427 702 Nov.............. '28,392 '23;896 8’542 '4,065 7,896 '3'393 3,790 1,492 1'809 89 400 705 f'27,724 ’■23,371 'Oat '4,000 7; 464 GJ 376 ’3,744 '1,513 1,819 '83 329 609 Dec. 5................... I r27,593 ’23,261 '8,371 r4,O5O 7,464 '3,376 '3,744 '1,513 1,819 '83 329 588 19 67—Jan......................... 06,725 r22,5OO r7,663 '3,966 7,386 '3,485 '3,712 '1.460 1,825 '80 347 514 Feb......................... 26,725 22,444 7,573 3,861 7,559 3,451 3^776 1,512 1 845 89 330 506 Mar. p................. 26,806 22^475 7,462 3,664 7310 3'438 3,828 1 '556 1,853 79 340 503 Apr.P................... 27,155 22,827 7,470 3,586 8; 277 3,'494 3,783 1335 1,845 73 330 545 1 Data exclude “holdings of dollars” of the International Monetary follows (in millions of dollars): Total 4-50; foreign banks, etc. 4-55; ^un^ . . . other foreigners 4*23; payable in foreign currencies —28. 2 Excludes negotiable time certificates of deposit, which are included 5 Data on the two lines shown for this date differ because of changes in in “Other,*’ reporting coverage. Figures on the first line are comparable in coverage 3 Principally bankers* acceptances, commercial paper, and negotiable with those shown for the preceding date; figures on the second line are time certificates of deposit. comparable with those shown for the following date. 4 Includes revisions arising from changes in reporting coverage as Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1052 INTL. CAPITAL TRANSACTIONS OF THE U.S. JUNE 1967 10. ESTIMATED FOREIGN HOLDINGS OF MARKETABLE U.S. GOVERNMENT BONDS AND NOTES (End of period; in millions of dollars) 1966 1967 Area and country 1965 Apr. May June July Aug, Sept. Oct. Nov. Dec. Jan. Feb. Mar.1’ Apr.’1 Europe: Austria.............................. 3 3 3 3 3 3 3 3 3 3 3 3 3 3 Denmark............................. 14 13 13 13 13 13 13 13 13 13 13 13 12 12 France................................. 7 7 7 7 7 7 7 7 7 7 7 7 7 7 Germany............................. 1 1 1 1 1 1 1 1 1 1 1 1 Italy..................................... I 1 1 1 1 1 2 2 2 2 2 2 2 2 Netherlands............... 6 5 5 5 5 5 5 5 5 5 5 5 5 5 Norway................... 49 45 44 51 51 51 51 51 51 51 51 51 51 51 Spain................................... 2 2 2 2 2 2 2 2 2 2 0 2 2 2 Sweden.............................. 24 24 24 24 24 24 24 24 24 24 24 24 24 24 Switzerland....................... 89 91 92 93 94 94 93 93 93 93 92 93 93 92 United Kingdom............... 553 567 556 560 312 330 298 321 333 348 350 353 353 355 Other Western Europe.. .. 51 49 51 50 50 50 50 50 50 49 49 49 50 50 Eastern Europe.................. 7 7 7 7 7 7 7 7 7 7 7 7 7 7 Total........................... 807 815 806 817 570 588 556 579 591 605 606 610 609 611 Canada................................... 676 683 685 686 689 695 693 690 698 692 692 695 695 722 Latin America: Panama.......................... 1 I 1 1 1 1 1 1 1 2 2 2 2 2 Other Latin American rep.. 5 6 6 6 6 6 6 6 6 6 6 6 6 5 Other Latin America......... 21 24 22 20 18 18 18 18 18 19 18 18 18 18 Total........................... 27 29 28 25 24 23 . 23 24 24 25 24 24 24 24 Asia: Japan................................. 9 9 9 9 9 9 9 9 9 9 9 9 9 9 Other Asia........................ 42 42 42 42 42 42 42 42 42 42 42 42 42 42 Total.................. 51 51 51 51 51 51 51 51 51 50 50 51 50 50 Africa................................... 16 16 16 16 16 15 15 15 15 15 15 15 15 23 Other countries. .................... 1 1 1 1 I 1 1 1 1 1 1 1 1 1 Total foreign countries...... 1,577 1,594 1,585 1,596 1,350 1,373 1,339 1,358 1,379 1,388 1,388 1,395 1,395 1,430 International and regional: International...................... 679 415 364 359 359 314 314 314 286 250 228 187 172 172 Latin American regional... 74 73 73 74 74 74 75 75 75 75 76 60 60 60 Total........................... 752 488 437 433 433 389 389 390 361 325 304 247 232 233 Grand total......... 2,329 2,082 2,022 2,029 1,783 1,762 1,728 1,748 1,740 1,713 1,692 1,642 1,627 1,663 Note.—Data represent estimated official and private holdings of mar- monthly reports of securities transactions (see Table 15 for total trans­ ketable U.S. Govt, securities with an original maturity of more than 1 actions). year, and are based on a July 31, 1963 survey of holdings and regular 11. NONMARKETABLE U.S. TREASURY BONDS AND NOTES ISSUED TO OFFICIAL INSTITUTIONS OF FOREIGN COUNTRIES (In millions of dollars or dollar equivalent) Payable in dollars Payable in foreign currencies End of period Total Total Canada^ Italy* Sweden Total Austria Belgium Germany Italy Sw la i n tz d er­ B.I.S. 1962........................ 251 251 200 51 1963...................... 893 163 125 ii 25 730 50 30 275 200 175 1964........................ 1,440 354 329 25 1,086 50 30 679 257 70 1965........................ 1,692 484 299 160 25 1,208 101 30 602 125 257 93 1966—May............ 1,157 517 299 193 25 640 75 30 251 125 158 June............ 1,10! 512 299 188 25 589 75 30 200 125 158 July............ 1,002 512 299 188 25 490 75 30 150 125 110 Aug............. 927 512 299 188 25 415 50 30 100 125 110 Sept............. 852 512 299 188 25 340 25 30 50 125 110 Oct.............. 623 385 174 186 25 238 25 30 125 58 Nov........ 593 355 144 186 25 238 25 30 125 58 Dec............. 695 353 144 184 25 342 25 30 50 125 III 1967—Jan.............. 767 353 144 184 25 414 25 30 101 125 133 Feb............. 767 353 144 184 25 414 25 30 101 125 133 Mar............ 766 352 144 183 25 414 25 30 101 125 133 Apr............. 766 352 144 183 25 414 25 30 101 125 133 May........... 784 349 144 180 25 434 25 ......... 151 125 133 ................ 1 Includes bonds issued to the Government of Canada in connection through Oct. 1966; and $144 million, Nov. 1966 through latest date. with transactions under the Columbia River treaty. Amounts outstanding 2 Bonds issued to the Government of Italy in connection with mt’Hwere $204 minion, Sept. 1964 through Oct. 1965; $174 million, Nov. 1965 tary purchases in the United States. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 INTL. CAPITAL TRANSACTIONS OF THE U.S. 1053 12. SHORT-TERM CLAIMS ON FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES, BY COUNTRY (Amounts outstanding; in millions of dollars) End of period G to ra ta n l d I r n e t g i i , o a n n a d l Europe Canada A L m a e t r in ic a Asia Africa co O un th tr e ie r s 1963................................................................................ 5,975 1 939 638 1,742 2,493 104 58 1964 7.469 1 1,217 725 2,212 3337 120 58 19641.............................................................................. 7,957 1,230 t,004 2,235 3,294 131 64 1965 2............................................................................... / 7^632 * 1,201 593 2,288 3,343 139 67 f 7,734 1,208 669 2,293 3,358 139 67 1966—-Apr..................................................................... 7,474 1 1,166 603 2,149 3,359 137 58 May............................................................ 7^560 1 1,220 607 2,210 3,317 142 63 June...................................................................... 7,649 1 1 J 285 643 221 3,298 140 62 July..................................................................... 7,503 2 1 ’291 641 2,244 3,135 128 63 Aug.................................................................... 7,411 1 1,304 563 2,268 3,086 128 61 Sept...................................................................... 7’420 1 1,315 556 2,303 3,063 124 59 Oct.................................................................... 7'445 1 1,319 610 2,335 2,989 129 61 Nov............................................................... 7,547 I 1,417 598 2,354 2,984 134 60 Dec. 2,.....,.........,............................ V /'7 7 ^ . 8 9 1 H 9 1 I 1 1, , 3 3 8 6 1 8 ' ' 6 6 2 08 0 2 2 ^ ,4 4 9 89 3 3 3 , , 1 2 3 2 5 2 1 1 4 4 4 4 6 62 2 1967—Jan....................................................................... r?,760 1,304 '599 2,488 3,184 125 60 Feb., .............................................................. 7,755 2 1,258 628 2'502 3 J74 130 62 Mar. p*......................... 7,930 2 1 267 616 2 ,'545 3,293 146 62 Apr.p.................................................................. 8,003 1 1,282 625 2,493 3,403 136 62 12a. Europe End of period Total A tr u ia s­ g B iu e m l­ m D a e r n k ­ l F a i n n d ­ France G Fe e d r o . m f R an e y p , . Greece Italy N la e e n r t d ­ h s ­ N w o ay r­ t P u o g r a ­ l Spain S d w en e­ 1963................................ 939 8 26 13 52 70 121 9 97 33 40 14 26 30 1964................................. 1,217 10 42 28 85 79 159 9 109 39 43 19 40 47 19641............................. 1,230 11 48 26 84 81 152 10 114 36 43 23 40 49 19652...................... / [ M 1,2 O 0 I 8 8 8 5 52 2 3 3 7 7 8 8 7 7 7 72 2 1 1 9 9 0 0 1 1 3 3 1 11 1 0 0 3 38 8 5 5 1 1 2 2 6 6 5 5 0 0 5 5 2 2 1966—Apr...................... 1,166 10 47 39 86 74 182 13 102 37 51 31 64 53 May. 1,220 U 66 36 87 70 174 14 99 39 57 32 73 58 June..................... 1.285 12 56 40 92 72 200 13 108 34 47 34 63 60 July...................... 1,291 13 54 54 93 71 209 13 100 52 50 37 68 65 Aug. ........ 1’304 10 58 53 90 71 217 15 106 42 49 38 62 65 Sept..................... 1,315 13 60 60 92 72 225 17 105 40 51 42 56 68 Oct............... 1,319 13 70 61 95 64 217 16 105 43 53 40 60 83 Nov..................... 1'417 19 73 63 95 81 237 16 110 44 62 36 72 74 Dec. 2,................. /I 368 16 67 62 91 73 215 16 108 40 76 44 67 74 (I,381 16 67 62 91 73 234 16 108 40 76 44 67 74 1967—Jan...................... 1,304 19 69 42 90 60 203 15 84 36 64 44 75 68 Feb...................... 1 ’258 20 76 42 91 64 175 15 78 45 60 41 71 77 Mar. p................. 1,267 19 72 44 92 66 180 14 70 44 62 39 69 78 Apr.p................... 1,282 17 73 35 97 72 201 15 64 35 60 39 68 77 12a. Europe—Continued 12b. Latin America End of period S l w a e n r i ­ t d z­ T k u ey r­ U K d n o in i m t g e ­ d Y sl u av g i o a ­ W E O u e r t s h o te e p r r e n U.S.S.R. E E O u as t r h o te e p r r e n Total A t r i g n e a n­ Brazil Chile l C o bi m o a ­ ­ Cuba M ic e o x­ 1963................................ 70 48 237 7 23 16 1,742 188 163 187 208 18 465 1964................................ 97 36 319 15 20 * 20 2,212 210 145 188 319 17 630 19641............................ 111 37 310 16 20 ♦ 20 2,235 203 126 176 338 17 644 19652.............................. / ( 7 7 3 3 4 42 2 2 2 1 1 0 6 2 2 8 8 2 28 8 6 6 2 2 7 7 2 2, ; 2 2 9 8 3 8 2 2 3 3 2 2 9 9 4 4 1 1 7 7 4 4 2 2 7 7 0 0 1 1 6 6 6 6 7 6 4 9 1966—Apr............... 74 18 198 23 31 4 30 2,149 206 82 165 235 16 713 Nfay............ 83 30 200 23 32 5 32 2,210 199 95 168 234 17 732 June.................... 80 48 235 23 34 5 28 2.221 196 98 169 238 16 722 July...................... 78 50 198 20 35 3 25 2,244 192 106 163 254 16 729 Aug...................... 92 42 214 17 37 2 25 2,268 182 110 158 279 16 743 Sept........... 78 47 216 18 34 2 17 2'303 182 112 150 287 16 736 Oct....................... 76 48 200 20 36 1 18 2,335 181 106 150 288 16 724 Nov..................... 94 45 221 19 37 2 17 2’354 177 109 141 294 16 724 Dec.2............ / I 8 8 3 8 5 5 2 2 2 1 1 9 0 8 1 1 9 9 3 3 7 7 2 2 1 1 6 6 2 2, ; 4 4 9 8 3 9 1 1 9 9 3 3 1 11 1 4 4 1 1 5 5 9 9 3 3 0 0 8 8 1 1 6 6 7 7 6 6 7 7 1967—Jan....................... 80 50 224 23 39 2 17 2.488 185 119 152 295 16 792 Feb.................. 82 27 213 22 39 2 17 2,502 175 122 150 286 16 821 Mar. p, ................ 81 37 218 22 38 1 20 2,’545 186 128 147 274 16 856 Apr*.................... 81 47 216 23 42 1 20 2,'493 186 123 151 249 16 836 For notes see the following page. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1054 INTL. CAPITAL TRANSACTIONS OF THE U.S. JUNE 1967 12. SHORT-TERM CLAIMS ON FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES, BY COUNTRY—Continued (Amounts outstanding; in millions of dollars) 12b. Latin America—Continued 12c. Asia E pe n r d i o o d f Panama Peru g U u r a u y ­ V zu e e n l e a ­ r O e L l p i t . c h A u s e b . r ­ B B m a & e h a r s a ­ ­ A N S n u e t & i t r l h i l ­ e . s A O L m a t ic h t e a i e n r r ­ Total C M la h a n i i n d n a ­ H Ko o n n g g India I n n e d si o a ­ Israel muda nam 1963................... 35 99 65 114 135 42 9 16 2,493 2 H 17 22 1964................... 41 102 76 165 222 58 18 20 3.137 26 22 7 44 19641................. 49 108 78 168 224 65 18 21 3*294 2 28 21 7 47 19652................. (59 170 45 220 250 53 14 23 3343 29 17 2 86 (59 170 45 220 250 53 14 23 3,358 1 29 17 2 86 1966—Apr.,... 66 167 42 174 206 43 12 23 3,359 1 32 28 2 84 May.... 64 175 56 174 200 57 16 22 3,317 33 28 81 June.... 67 186 55 174 205 57 16 21 3,298 1 33 29 1 89 July.. .. 66 177 57 180 218 55 17 16 3,135 32 26 6 88 Aug...,. 67 177 39 184 224 56 17 16 3,086 30 27 6 90 Sept.. .. 65 175 39 212 234 57 20 17 3,063 28 28 6 88 Oct........ 71 204 37 224 246 55 17 16 2,989 1 30 19 5 96 Nov....... 76 197 43 222 263 56 17 18 2,984 31 13 5 98 f84 211 45 226 272 61 18 17 3,135 1 31 16 6 98 185 213 45 226 272 61 18 17 3,222 31 16 6 98 1967—Jan......... 79 214 44 226 271 63 17 17 3,184 1 31 12 6 102 Feb. 78 226 39 220 274 62 17 17 3,174 1 31 12 6 106 Mar. ”, . 79 233 56 220 260 56 17 16 3,293 1 33 13 5 96 Apr.”... 75 238 59 205 258 61 17 17 3,403 31 14 5 89 12c. Asia—Continued 12d. Africa 12e. Other countries End of period Japan Korea P p h in il e ip s ­ T w a an i­ T la h n a d i­ O A t s h i e a r Total C s ( h K o a n i s n g a ­ o ) Mo co roc­ A So fr u i t c h a ( U E . g A y . p R t) . A O f t r h ic e a r Total A t l r u i a a s ­ ­ ot A h l e l r 1963............................ 2,171 25 113 8 52 71 104 1 15 28 59 58 48 9 1964............................ 2;653 21 202 9 64 88 120 1 2 19 42 56 58 48 10 19641.......................... 2^810 21 203 9 65 82 131 2 20 42 67 64 48 16 19651.................... ( ( 2 2 , , 7 7 5 6 1 8 2 22 2 2 23 3 1 0 1 15 5 8 82 2 1 1 0 0 7 8 1 1 3 3 9 9 1 1 2 2 3 3 4 4 4 43 3 6 60 ° 6 6 7 7 5 5 2 2 1 1 5 5 1966—Apr................. 2,782 24 202 16 73 114 137 2 39 43 53 58 50 8 May........ 2,759 14 205 15 70 110 142 2 50 39 50 63 52 11 June............... 2,733 16 191 17 69 118 140 1 2 41 48 48 62 52 9 July......... 2,’588 19 173 16 67 118 128 2 38 44 43 63 54 9 Aug.. 2,536 20 183 17 64 112 128 2 37 44 44 61 52 9 Sept................ 2’487 27 195 15 65 122 124 1 2 34 38 49 59 50 9 Oct.................. 2’400 24 208 16 67 123 129 1 3 37 37 51 61 51 11 Nov................ 2,389 26 211 15 72 122 134 2 45 30 57 60 50 10 Dec. 2............. J (2 2 , ; 5 5 8 0 8 2 3 31 1 2 2 2 2 0 0 1 1 4 5 8 81 1 1 13 3 5 4 1 1 4 44 4 1 1 2 2 5 5 0 0 2 25 5 6 6 6 6 6 6 2 2 5 5 2 2 1 1 0 0 1967—Jan.................. 2,509 33 233 23 83 151 125 3 38 18 66 60 51 9 Feb................. 2307 34 228 26 86 137 130 4 43 15 69 62 53 8 Mar. p.......... 2'626 38 232 30 89 131 146 1 2 42 30 70 62 53 9 Apr.”............. 2,732 52 245 33 84 116 136 * 2 37 26 71 62 53 9 1 Differs from data in line above because of the exclusion as of Dec. 31, Note.—Short-term claims are principally the following items payable 1964, of $58 million of short-term U.S. Govt, claims previously included; on demand or with a contractual maturity of not more than 1 year: loans and because of the addition of $546 million of short-term claims arising made to, and acceptances made for, foreigners; drafts drawn against from the inclusion of claims previously held but first reported as of Dec. foreigners, where collection is being made by banks and bankers for 31, 1964; and because of revision of preliminary data. their own account or for account of their customers in the United States: 2 Data on the two lines shown for this date differ because of changes in and foreign currency balances held abroad by banks and bankers ana reporting coverage. Figures on the first line are comparable in coverage their customers in the United States. Excludes foreign currencies held with those shown for the preceding date; figures on the second line are by U.S, monetary authorities. comparable with those shown for the following date. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 INTL. CAPITAL TRANSACTIONS OF THE U.S. 1055 13. SHORT-TERM CLAIMS ON FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES, BY TYPE (Amounts outstanding; in millions of dollars) Payable in dollars Payable in foreign currencies Loans to— Collec­ Accept­ g F o o v r t e , ig se n ­ End of period Total Total t o io u n t­ s m an a c d e e s Other Total D w e i p th o f s o it r s ­ cu co ri m tie l. s , Other Total O in f s f t i i c t i u a ­ l Banks Others st i a n n g d­ f o or f a fo c r c ­ t, eigners a n n a d n c f e i­ tions 1 eigners paper 1963 ............................. 5,975 5,344 1,915 186 955 774 832 2,214 384 631 432 157 42 1964............................. 7,469 6’810 2'652 223 1,374 1,055 1,007 2,600 552 659 400 182 77 19642............................ 7,957 7,333 2'773 221 1,403 1,150 1,135 2,621 803 624 336 187 102 19653............................ ( 1 7 7 ^ , 6 7 3 3 2 4 7 7, 3 2 5 4 8 3 2 2 , / 9 6 7 7 0 2 2 7 7 1 1 1 1 , , 5 5 6 6 6 7 1 1 , , 1 1 3 3 0 2 1 1 , ,2 2 6 7 8 2 2 2 , , 5 5 0 0 1 8 4 4 2 9 2 2 4 4 7 9 4 2 3 3 2 2 5 9 5 6 4 8 9 9 5 6 1966—Apr................... 7,474 7,067 2,719 221 1,425 1,073 1,305 2,578 466 406 252 61 94 May................. 7'560 7'139 2'835 224 1,520 1,091 1'298 2/42 464 421 253 62 106 June.................. 7,649 7'179 2,911 248 1,584 1,079 1,320 2,475 473 469 294 63 113 July................... 7,503 7,078 2/60 215 1,570 1/75 1,340 2',383 495 425 252 59 113 Aug................... 7/11 6,971 2,820 216 1,548 1,056 1,374 2,324 453 440 260 57 123 Sept........... 7’420 6,992 2,943 256 1,619 1,068 1374 2'267 409 427 241 61 125 Oct.................... 7,445 7.011 2,'97O 274 1/07 1,089 1'354 2,'251 436 434 253 73 108 Nov................... 7'547 7,095 3'015 273 1,619 1',123 1,363 2', 276 441 452 269 77 106 Dec. 3, . ............ [ 1 " / 7 7 , , 8 91 1 1 9 " ’■ 7 7 , , 4 3 9 9 8 9 " r3 3, , 1 1 3 3 9 9 2 2 5 5 8 8 1 1 , , 7 7 3 3 8 8 " " 1 1 , ,1 1 4 4 3 3 1 1 , , 3 3 6 6 7 7 2 2, , 5 4 4 5 0 0 " r4 4 5 4 2 3 4 4 1 2 3 0 2 2 3 4 3 0 7 7 0 0 1 1 1 1 0 0 Jan.................... »‘7,760 r7,394 r2,996 257 1 ,592 rl ,147 1,370 2,575 "453 367 211 73 83 Feb. ......... 7,755 7 ’ 348 2,967 238 1 '576 1 ,153 1,376 2/66 440 407 245 70 92 Mar.p............... 7'930 7'511 3,017 254 1,606 1,157 1 ,436 2,628 430 419 272 50 97 Apr.p................ 8^003 7/90 2,952 273 1,526 1/53 1,423 2,747 469 413 252 73 88 1 Includes central banks. 3 Data on the two lines shown for this date differ because of changes in 2 Differs from data in line above because of the exclusion, as of Dec. reporting coverage. Figures on the first line are comparable in coverage 31, 1964, of $58 million of short-term U.S. Govt, claims previously in­ with those shown for the preceding date; figures of the second line are cluded; because of the addition of $546 million of short-term claims comparable with those shown for the following date. arising from the inclusion of claims previously held, but first reported as of Dec. 31, 1964; and because of revision of preliminary data. 14. LONG-TERM LIABILITIES TO AND CLAIMS ON FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES (Amounts outstanding; in millions of dollars) Liabilities Claims Type Country or area End of period Total F c o t o r r i u e e i n s g ­ n n re I a g n a ti i n t o o e d n n r ­ a a l l Total P L a o y a a n b s le in do A l l l l a rs P fo a c r y i u e n a i r b g ­ l n e U K d n i o n i m t g e ­ d E O u t r h o e p r e Canada A L m a e t r i i n c a Japan O A t s h i e a r c t O r o i t e u h s n e r ­ 1 other rencies 1963................. 69 28 42 3,030 2,811 217 2 38 1 ,063 290 1,015 249 194 181 1964 2. . .......... / 1 3 3 0 1 6 0 2 2 0 0 0 4 1 1 0 0 6 6 4 3 , / 2 7 8 1 5 3 3 , / 9 7 9 7 5 2 1 8 9 8 5 * t 7 8 7 7 1 1 , , 6 6 1 3 1 2 2 3 7 2 3 7 1 1, , 2 1 7 6 5 2 4 38 3 5 0 2 2 5 3 5 8 2 2 2 7 7 8 1965................. 513 203 311 4,517 4,211 297 9 86 1 518 346 1,296 445 391 436 1966—Apr....... 729 307 422 4,417 4,127 283 8 85 1,408 326 1,294 430 411 463 May.. ■ . 847 375 472 4,431 4,153 271 7 85 1,412 308 1,318 425 406 476 June.... "1,009 '524 485 4,389 4,108 272 8 87 1,386 311 1,306 406 410 481 July. ... "1,073 "573 500 4,389 4,111 270 8 81 1,349 328 1,300 403 428 502 Aug....... "1,093 '596 497 4,368 4,095 265 8 78 1 ,328 322 1,296 393 428 523 Sept.... "1,109 "613 496 4,287 4,004 266 16 75 1,270 320 1,306 374 430 510 Oct........ "1,170 "668 502 4,247 3,969 262 16 76 1 ,225 321 1,295 355 432 543 Nov.... "1,188 "678 510 4,296 4,026 254 17 72 1 ,222 314 1,373 339 421 555 Dec....... "1,489 '983 506 "4,180 "3/15 "247 18 70 1,158 '314 1 ,346 326 408 559 1967—Jan........ "1,558 "1,050 508 "4,073 3,816 "240 16 72 1,131 "285 1,320 312 391 562 Feb....... 1,658 1,114 545 4,024 3,782 227 15 72 1,108 267 1,320 301 391 566 Mar.p . . 1,857 1,287 571 4,024 3,781 226 16 68 1 ,082 313 1,319 287 372 583 Apr.®... 1,981 1,410 571 4,031 3,781 231 20 69 1,065 326 1,320 278 380 593 1 Includes Africa. with those shown for the preceding date; figures on the second line are 2 Data on the two lines shown for this date differ because of changes in comparable with those shown for the following date. reporting coverage. Figures on the first line are comparable in coverage Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1056 INTL. CAPITAL TRANSACTIONS OF THE U.S. JUNE 1967 15. PURCHASES AND SALES BY FOREIGNERS OF LONG-TERM SECURITIES, BY TYPE (In millions of dollars) Marketable U.S. Govt, bonds and notes 1 U. s S e . c u c r o i r ti p e o s r a 2 te Foreign bonds Foreign stocks Net purchases or sales Period Total I a n n t d i, Foreign ch P a u s r e ­ s Sales c N ha s e a s t e l e p s s u o r r ­ ch P a u s r e ­ s Sales c N ha s e a s t e l e p s s u o r r ­ c P ha u s r e ­ s Sales c N ha s e a s t e l e p s s u o r r ­ regional Total Official Other 1963............................. 671 302 369 2,980 2,773 207 991 2,086 -1,095 696 644 51 1964.....-..3..3..8... ......-.3...1..5.. . -23 -59 36 3,537 3,710 -173 915 1,843 -928 748 548 200 1965............................. -76 -151 75 -20 95 4,395 4,770 -375 1,198 2,440 -1,242 906 617 290 1966............................. -616 -427 -189 -245 56 6,318 5,616 703 1,778 2,688 -910 960 731 229 1966—Apr................... -66 -68 2 2 609 566 44 106 260 -154 88 105 -17 May.......-..6..0...... -51 -9 -9 742 583 159 152 161 -9 94 55 39 June............6.. ... -5 11 6 5 614 509 105 200 217 -17 91 52 40 July.....-..2..4..6....... -246 -253 7 428 439 -11 135 248 -113 69 39 30 Aug.......-.2...1....... -44 23 24 379 381 -2 90 69 21 76 65 11 Sept.................. -34 -35 -35 502 378 124 99 194 -95 86 42 44 Oct................... 20 20 20 383 347 36 293 351 -59 69 37 32 Nov.......... -7 -28 21 7 13 433 400 33 116 187 -71 58 41 17 Dec.................. -27 -36 9 9 563 542 21 152 151 85 53 31 1967—Jan................... -21 571 527 44 112 265 -153 71 63 8 Feb................... -57 7 5 2 579 557 23 98 168 -70 66 53 13 Mar.p.............. -14 -J 1 768 707 61 204 250 -46 74 61 13 Apr.”............... 35 35 699 563 137 154 259 -106 67 53 15 1 Excludes nonmarketable U.S. Treasury bonds and notes issued to Note.—Statistics include transactions of international and regional official institutions of foreign countries; see Table 11. organizations. 2 Includes State and local govt, securities, and securities of U.S. Govt, agencies and corporations that are not guaranteed by the United States. 16. NET PURCHASES OR SALES BY FOREIGNERS OF U.S. CORPORATE SECURITIES, BY TYPE OF SECURITY AND BY COUNTRY (In millions of dollars) Type of security Country or area Period Total Slocks Bonds France S l z a w e n r i d ­ t­ U K d n o i i n m t g ed ­ E O u t r h o e p r e E T u o ro ta p l e Canada A L i m a c t a e in r­ Asia AfTica O c t o r t u i h e n e s ­ r reg I a n i n o t d i n . al 1963............. 207 198 9 -8 -14 206 16 199 -47 14 17 21 22 1964............. -173 -349 176 -37 -200 -4 14 -228 3 25 10 — 1 18 1965............. -375 -413 38 14 14 -522 47 -446 42 -13 24 — 4 2 21 1966............. 703 -333 1,036 37 65 -80 116 140 224 65 18 1 4 251 1966—-Apr... 44 -15 59 2 24 -54 3 -25 24 8 7 29 May.. 159 -11 170 13 33 -66 15 -5 54 14 -7 ♦ 1 101 June 105 -50 155 12 -4 75 -7 76 4 3 9 * 13 July. . -Il -26 15 2 19 -92 26 -44 10 6 -8 -1 * 26 Aug.. -2 -16 14 2 -3 -24 -5 -29 18 I 8 Sept... 124 -3 127 -2 96 2 97 19 8 -2 2 Oct... 36 7 29 -4 23 -10 12 22 13 6 -7 1 I Nov.. 33 -68 too -5 -33 29 26 17 12 1 2 Dec... 21 -115 136 1 -32 6 * -24 33 6 2 * ♦ 4 1967—Jan.. . 44 -6 50 1 19 -19 -4 -2 33 3 9 -1 * 2 Feb... 23 -28 50 7 4 -16 16 11 4 4 I 3 Mar.p. 61 -3 65 9 5 12 19 45 4 9 8 * -5 Apr.”. 137 66 71 8 34 -3 13 51 8 5 * * 1 72 1 Not reported separately until May 1963. Note.—-Statistics include State and local govt, securities, and securities 2 Includes Africa. of U.S. Govt, agencies and corporations that are not guaranteed by the United States. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 INTL. CAPITAL TRANSACTIONS OF THE U.S. 1057 17. NET PURCHASES OR SALES BY FOREIGNERS OF LONG-TERM 18. DEPOSITS, U.S. GOVT. SECURITIES, AND FOREIGN SECURITIES, BY AREA GOLD HELD AT F.R. BANKS FOR FOREIGNERS (In millions of dollars) (In millions of dollars) Total Assets in custody Period Total g I a i n r o n c t n d ' i a , l c t e f o r i o i u g e r n n s ­ ­ r E o u p ­ e C ad an a ­ A L i a m c t a i e n r ­ Asia r A ic f a ­ O c t o r t i u h e e n s r ­ E pe n r d i o o d f Deposits U se . c S u . r G iti o e v s t 1 , Ear g m o a ld rked 1963................... -1,044 -96 -949 -49 -614 -26 -252 (l) 2-8 1963 ............. 171 8,675 12,954 1964................... -728 -140 -588 163 -670 -36 -77 7 25 1964............. 229 8,389 12,698 1965................... -953 -164 -788 108 -659 -55 -131 3 -54 1965............. 150 8,272 12,896 1966................... -681 -171 -510 214 -722 -9 -7 16 -2 1966—May.. 263 7,631 12,975 1966—Apr......... -172 -31 -140 -8 -167 36 -3 2 June.. 313 7,517 12,955 May....... 30 -22 53 75 -13 -14 4 * 1 July... 548 7,307 13,016 June....... 23 11 (2 20 17 -4 -8 * -13 Aug... 170 7,042 13,066 July........ -83 -50 -33 15 -37 -11 -5 I 4 Sept... 159 7,092 12,904 Aug. 32 7 25 4 34 -4 -9 * Oct.... 194 7,336 12,876 Sept........ -50 6 -56 19 -74 3 4 -9 Nov... 196 7,450 12,912 Oct...... -27 -20 -7 -6 -36 17 10 8 1 Dec... 174 7,036 12,946 Nov........ -54 6 -60 -50 -4 -8 Dec......... 32 2 30 20 17 -12 -10 * 15 1967—Jan.... 148 7,141 12,961 Feb.. . 145 7,334 12,984 1967—Jan......... -145 -52 -93 13 -80 2 -8 1 -21 Mar... 131 7,547 12,972 Feb...... -57 6 -64 -6 -62 6 -3 1 Apr.. . 123 7,912 12,975 A M p ar r . J p \ . . . . . . - -9 3 1 3 - - 8 9 7 4 54 3 32 5 -49 * 2 1 8 3 - 2 5 7 -12 6 11 1 1967—May. . 193 7,799 12,972 1 U.S, Treasury bills, certificates of indebtedness, 1 Not reported separately until May 1963, notes, and bonds; includes securities payable in foreign 2 Includes Africa. currencies. Note.—Excludes deposits and U.S. Govt, securities held for international organizations. Earmarked gold is gold held for foreign and international accounts and is not included in the gold stock of the United States. Notes to Tables 3-21 Note.—The tables in this section (Nos. 3-21) provide Data on short-term liabilities to foreigners shown in data on U.S. reserve assets and liabilities and other sta­ Tables 8 and 9 (formerly Tables 1 and 2) were revised to tistics related to the U.S. balance of payments; see Table exclude the holdings of dollars by the IMF derived from 1. A number of changes were introduced in the May 1967 payments of the U.S. subscription and from the exchange issue of the Bulletin to increase the usefulness of this transactions and other operations of the IMF. (Liabilities section. representing the “gold investment” of the IMF continue At that time the table showing the U.S. gold stock and to be included.) This change in the treatment of the holdings of convertible foreign currencies (now Table 4) IMF’s “holdings of dollars” is related to the revision of was revised to include in the reserve assets of the United the table on U.S. monetary reserve assets (Table 4) to States its reserve position in the International Monetary include the U.S. reserve position in the IMF. The IMF’s Fund. In accordance with IMF policies, the United “holdings of dollars” do not represent liabilities to States has the right to draw foreign currencies equivalent foreigners in the same sense as do other reported liabili­ to this amount virtually automatically if needed. (Under ties to foreigners. They are more accurately viewed as appropriate conditions the United States could draw contingent liabilities, since they represent essentially the additional amounts equal to the U.S. quota of $5,160 amount of dollars available for drawings from the IMF million.) This presentation corresponds to the treatment by other member countries. Changes in these holdings of U.S. monetary reserves in the U.S. balance of pay­ (arising from U.S. drawings and repayments of foreign ments. currencies, from drawings and repayments of dollars Table 5 shows the factors that affect the U.S. position by other countries, and from other dollar operations of in the IMF. the IMF) give rise to equal and opposite changes in the Table 6 brings together the various statistical compo­ U.S. gold tranche position in the IMF. In the absence of nents of the liabilities that enter into the U.S. balance of U.S. lending to the IMF, the gold tranche position is payments calculated on the liquidity basis. The inclu­ equal to the U.S. reserve position in the IMF. Since the sion of the U.S. reserve position in the IMF in Table 4 reserve position is included in U.S. reserve assets, it is requires that the “holdings of dollars” of the IMF be necessary, in order to avoid double-counting, to exclude excluded from the data on liabilities to foreigners, in the IMF’s “holdings of dollars” from U.S. liabilities to order to avoid double counting. For further explanation foreigners. The revised presentation conforms to the of this change in the liabilities statistics, see next to last treatment of these items in the U.S. balance of payments paragraph. and the international investment position of the United Table 7 (formerly Table 1), presenting an area break­ States. down of U.S. liquid liabilities to official institutions of Table 10 shows estimated foreign holdings of market­ foreign countries, was revised to include holdings of able U.S. Govt, bonds and notes. convertible nonmarketable U.S. Govt, securities with an original maturity of more than 1 year. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1058 INTL. CAPITAL TRANSACTIONS OF THE U.S. JUNE 1967 19. SHORT-TERM LIABILITIES TO AND CLAIMS ON FOREIGNERS REPORTED BY NONBANKING CONCERNS (End of period; in millions of dollars) Liabilities to foreigners Claims on foreigners Area and country 1965 1966 1965 1966 Dec. Mar. June Sept. Dec. p Dec. Mar. June Sept. Dec. p Europe: Austria................................................ 2 2 3 3 2 6 8 7 7 8 Belgium.................................................. 28 30 32 30 32 45 46 45 42 53 Denmark................................................ I 1 2 2 3 9 8 8 10 14 Finland................................................... 1 1 1 1 1 6 6 6 4 4 France.................................................... 51 45 48 57 62 82 97 94 102 110 Germany, Fed, Rep. of..................... . 71 60 r71 85 79 112 118 98 120 127 Greece.................................................... 3 3 3 2 2 13 11 18 15 15 Italy........................................................ 18 23 27 52 54 77 118 Ill 107 101 Netherlands.......................................... 55 54 65 67 68 41 48 42 42 48 Norway.................................................. 2 2 2 2 2 8 8 7 9 8 Portugal.................................................. 3 7 6 6 9 5 9 8 6 7 Spain...................................................... 21 21 23 25 27 50 56 63 51 61 Sweden................................................... 10 12 12 14 17 20 28 30 27 36 Switzerland...................................... 39 45 61 58 60 27 20 20 22 18 Turkey................................................... 4 4 4 4 2 7 10 6 6 6 United Kingdom................................... 137 139 137 172 179 323 440 492 599 576 Yugoslavia............................................. 1 1 1 2 1 2 2 2 4 4 Other Western Europe......................... 3 4 2 3 4 8 9 9 9 H Eastern Europe...................................... 2 I 1 1 1 3 3 6 3 2 Total............................................... 453 454 500 586 604 842 1 ,047 1,070 1,185 1,209 Canada....................................................... 94 120 1 17 138 146 599 566 550 509 488 Latin America: Argentina............................................ 4 6 5 6 6 31 34 34 34 36 Brazil...................................................... 13 1 1 11 9 10 93 80 78 73 63 Chile....................................................... 4 5 4 3 4 30 31 31 31 32 Colombia............................................... 9 8 7 5 7 19 21 22 21 25 Cuba................................. .................... * 3 3 3 3 3 Mexico.................................................... 5 9 10 10 1 1 76 74 79 78 95 Panama.................................................. 11 9 4 9 10 13 11 13 12 12 Peru........................................................ 6 7 5 6 7 28 30 28 28 31 Uruguay................................................. 1 2 1 1 I 8 7 5 6 7 Venezuela............................................... 22 27 26 25 36 49 52 49 49 62 Other L.A. republics............................. 16 1 I 12 18 20 55 56 55 59 62 Bahamas and Bermuda......................... 2 2 1 2 3 8 12 8 IE 18 Neth. Antilles & Surinam..................... 7 7 9 7 7 4 4 3 4 4 Other Latin America............................. 2 1 2 2 1 9 9 9 11 10 Total............................................... 102 105 98 104 124 429 424 417 420 461 Asia: Hong Kong............................................ 2 2 2 2 3 7 5 7 6 7 India....................................................... 25 25 20 17 17 36 35 29 32 34 Indonesia.............................................. 9 12 11 3 4 3 3 3 3 7 Israel....................................................... 3 1 2 2 2 6 5 4 5 5 Japan...................................................... 32 27 27 23 27 162 172 155 146 165 Korea...................................................... 1 1 2 4 3 13 6 4 5 5 Philippines.............................................. 6 7 7 7 7 17 16 18 17 17 Taiwan.................................................... I 5 6 7 4 5 6 4 5 7 Thailand................................................. 2 1 1 1 4 6 8 9 11 11 Other Asia............................................ 32 33 36 34 29 66 76 76 69 75 Total............................................... 113 112 116 101 100 320 331 309 299 333 Africa: Congo (Kinshasa)................................. 1 1 I 1 2 2 1 2 2 South Africa........................................... 11 11 11 10 17 20 18 18 17 24 U.A.R. (Egypt)...................................... 1 1 2 2 i 10 11 17 11 11 Other Africa.......................................... 7 9 9 7 6 30 27 30 30 33 Total............................................... 20 22 22 19 24 61 58 66 59 69 Other countries: Australia............................................ 23 31 35 51 58 40 40 45 57 58 All other.............................................. 7 4 5 4 6 8 7 10 7 8 Total............................................... 29 35 40 55 64 48 47 55 63 66 International and regional. . ........... * * ♦ * * * * 1 I * Grand total.................................... 810 849 891 1 ,003 1,062 2,299 2,473 2,468 2,536 2,626 Note.—Reported by exporters, importers, and industrial and com- Data exclude claims held through U.S. banks, and intercompany accounts mercial concerns and other nonbanking institutions in the United States. between U.S. companies and their foreign affiliates. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 INTL. CAPITAL TRANSACTIONS OF THE U.S. 1059 20. SHORT-TERM LIABILITIES TO AND CLAIMS ON FOREIGNERS REPORTED BY NONBANKING CONCERNS, BY TYPE (In millions of dollars) Liabilities Claims Payable in foreign currencies End of period Payable Payable Payable Total dol i l n a rs cu fo rr r e i e n n i g c n ie s Total dol i l n a rs b D i a n e n p r k o e s p s i a o ts b r t r w e o r i a ’ t s d h Other name 1962—Sept................................................................................... 678 554 123 2,136 1,685 197 254 Dec.................................................................................... 637 508 129 2,051 1,625 214 212 Dec. *................................................................................ 644 513 130 ‘ 2,098 1'668 217 212 (963—Mar................................................................................. 614 470 144 2,113 1,712 201 200 Mar. 1. . ..................................................................... 616 472 144 2,162 1,758 204 200 June............................................................................... 674 529 146 2,282 1,877 222 183 Sept................................................................................... 691 552 139 2,257 l,’830 225 202 Dec.................................................................................... 626 478 148 2,131 1’739 201 191 Dec.2................................................................................ 626 479 148 2,188 1,778 199 211 1964—Mar................................................................................... 631 475 156 2,407 1,887 239 282 June................................................................................. 622 471 151 2,482 2,000 220 262 June-'........................................................................ 585 441 144 2,430 1 ^952 219 260 Sept................................................................................... 650 498 152 2,719 2,168 249 302 Dec.................................................................................... 695 553 141 2,776 2,306 189 281 Dec.4................................................................................ 700 556 144 2,853 2,338 205 310 1965—Mar................................................................................... 695 531 165 2,612 2,147 189 277 June................................................................................. 740 568 172 2,411 1,966 198 248 Sept................................................................................... 779 585 195 2,406 1 ’949 190 267 Dec.................................................................................. 807 600 207 2,397 2,000 167 229 Dec.4................................................................................ 810 600 210 2,299 1,911 166 222 1966—Mar................................................................................... 849 614 235 2,473 2,033 211 229 June................................................................................. 891 654 237 2,468 2,062 191 215 Sept................................................................................... 1,003 760 243 2,536 2,143 166 227 Dec. ;’............................................................................... I’,062 800 262 2,626 2,226 167 233 1 Includes data from firms reporting for the first time. of claims; for previous series the exemption level was $100,000. 2 Includes data from firms reporting for the first time and claims pre­ 4 Data differ from that shown for Dec. in line above because of changes viously held but not reported. in reporting coverage. 3 Includes reports from firms having $500,000 or more of liabilities or 21. LONG-TERM LIABILITIES TO AND CLAIMS ON FOREIGNERS REPORTED BY NONBANKING CONCERNS (In millions of dollars) Claims Country or area End of period Total liabilities Total Other K U in n g i d te o d m E O u t r h o e p r e Canada Brazil Mexico A L m a e t r in ica Japan O A t s h i e a r Africa o A th ll e r 1963—Sept........................ 153 881 14 85 42 127 102 188 123 87 98 16 Dec.2........... . 148 734 16 83 56 61 69 154 90 93 96 16 1964—-Mar....................... 143 761 30 85 58 64 74 158 89 94 96 13 June2..................... 140 815 68 92 64 67 78 145 94 99 94 14 Sept........................ 112 832 64 102 90 68 74 142 90 96 93 13 Dec........................ 107 962 51 109 95 215 72 135 89 95 88 14 Dec.3............. 107 1,081 56 116 190 215 73 137 89 98 91 15 1965—Mar........................ 115 1,075 35 121 203 220 74 137 81 96 91 18 June....................... 110 1,081 31 118 208 221 70 144 85 96 91 17 Sept........................ 120 11101 31 116 230 217 74 138 89 96 91 18 Dec........................ 136 1 .'169 31 112 233 209 69 196 98 114 89 17 Dec.3.................... 147 1,139 3! 112 236 209 65 198 98 87 85 18 1966—Mar........................ 176 1,156 27 124 239 208 61 206 98 87 87 19 June....................... 192 1 ,’207 27 1 67 251 205 61 217 90 90 86 14 Sept........................ 228 11235 23 174 267 202 64 207 102 91 90 14 Dec. p................... 305 1,253 27 198 269 203 56 212 95 93 87 13 1 Data include $12 million of claims reported by firms reporting for held by firms previously reporting but now exempt. the first time and claims previously held but not reported. J Data differ from that shown for Dec. in line above because of changes 2 As a result of an increase in the exemption level from $100,000 to in reporting coverage. $500,000, data exclude $3 million of liabilities and $3 million of claims Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1060 GOLD RESERVES JUNE 1967 GOLD RESERVES OF CENTRAL BANKS AND GOVERNMENTS (In millions of dollars) Esti­ Inti. Esti­ E pe n r d i o o d f m to a t t a e l d M ta o r n y e ­ U St n a i t t e e s d r m es a t t e o d f A i f s g t h an an­ A t r i g n e a n­ t A ra u li s a ­ A tr u ia s­ g B iu e m l­ Brazil Burma Canada Chile world1 Fund world 1960 40,540 2,439 17,804 20,295 n.a. 104 147 293 1,170 287 885 45 1961 ■am 20 2,077 16,947 '•22,095 36 190 162 303 1 ,248 285 946 48 1962 '41,475 2,194 16,057 r23,225 36 61 190 454 1,365 225 42 708 43 1963 '42,305 2,312 15,596 '24,395 36 78 208 536 1,371 150 42 817 43 1964 '43,015 2,179 15,471 ’•25,365 36 71 226 600 1,451 92 84 1,026 43 1965 '243,225 M,869 13,806 ’’27,280 35 66 223 700 1,558 63 84 1,151 44 1966-— Apr................ 2,369 13,668 35 65 224 700 1,556 45 84 1,096 44 May.............. 2,557 13,582 35 65 223 700 1 ,556 45 84 1,061 43 June.............. M3,290 2,562 13,529 '27,200 35 64 222 700 1,555 45 84 1,024 43 July............... 2,586 13,413 35 67 224 700 1,532 45 84 986 45 Aug............... 2,645 13,319 35 70 226 700 1,529 45 84 997 45 Sept............... '43,230 2,645 13,356 '27,230 35 74 225 701 1,527 45 84 1.009 45 Oct................. 2,645 13,311 35 77 226 701 I ,524 45 84 1,021 45 Nov............... 2,648 13,262 35 80 225 701 1,524 45 84 1,034 44 Dec................ 43,180 2,652 13,235 27,295 35 84 224 701 1,525 45 84 1,046 45 1967-—Jan................. 2,659 13,202 35 84 227 701 1,524 45 84 1,056 45 Feb................ 2,661 13,161 35 84 227 701 1,523 45 84 1,070 45 Mar............... P43J15 2,652 13,184 ^27,280 35 84 228 701 1,524 45 84 1,084 46 Apr................ ................. 2,657 13,234 .............. 35 ..........2..2..8 701 1,525 84 1,042 46 Ger- E p n er d i o o d f lo C m o b ­ ia D m e ar n k ­ l F a i n n d ­ France m F a e n d y . , Greece India I n n e d si o a ­ Iran Iraq Israel Italy Japan Rep. of 1960. 78 107 41 1,641 2,971 76 247 58 130 98 2,203 247 1961 88 107 47 2, 121 3,664 87 247 43 130 84 10 2,225 287 1962. 57 92 61 2,587 3,679 77 247 44 129 98 41 2,243 289 1963. 62 92 61 3,175 3,843 77 247 35 142 98 60 2,343 289 1964. 58 92 85 3,729 4,248 77 247 141 112 56 2,107 304 1965. 35 97 84 4,706 4,410 78 281 146 '110 56 2,404 328 1966--Apr................ 24 108 55 4,874 4,402 98 243 132 '106 46 2,369 May.............. 24 108 55 4,953 4,311 98 243 132 '106 46 2,370 June.............. 24 108 55 5,026 4,310 109 243 132 '106 46 2,369 329 July................ 24 108 55 5,117 4,302 112 243 132 '106 46 2,362 Aug............... 25 108 55 5,209 4,297 112 243 131 '106 46 2,358 Sept............... 25 108 55 5,241 4,295 116 243 131 '106 46 2,356 329 Oct................. 25 108 54 5,236 4,289 116 243 131 '106 46 2,351 Nov.............. 26 108 51 5,237 4,290 119 243 131 '106 46 2,382 Dec......... 26 108 45 5,238 4,292 120 243 130 '106 46 2,414 329 1967--Jan................. 27 108 45 5,236 4,290 120 243 130 '106 46 2,412 Feb................ 28 108 45 5,235 4,289 120 243 130 106 46 2,411 Mar............... 28 108 48 '5,240 4,294 123 243 145 106 46 2,416 Apr................ ................. 108 48 5,241 4,296 127 243 145 106 46 2,417 E pe n r d io o d f Kuwait a L n e o b n ­ Libya M c e o xi­ Mo c r o oc­ N l e an th d e s r­ Nigeria N w o ay r­ P s a ta k n i­ Peru P p h in il e i s p­ Po g r a t l u­ A S r a a u b d i i a I960. n.a. 119 137 29 1,451 30 52 42 15 552 18 1961 . 43 140 112 29 1,581 20 30 53 47 27 443 65 1962. 49 172 3 95 29 1,581 20 30 53 47 41 471 78 1963. 48 172 7 139 29 1,601 20 31 53 57 28 497 78 1964. 48 183 17 169 34 1,688 20 31 53 67 23 523 78 1965. 52 182 68 158 21 1,756 20 31 53 67 38 576 73 1966--Apr................ 58 193 68 133 21 1,756 20 31 53 65 43 600 69 May............... 58 193 68 142 21 1,730 20 18 53 65 44 605 69 June.............. 61 193 68 141 21 1,730 20 18 53 65 45 607 69 July............... 62 193 68 140 21 1,730 20 18 53 65 47 612 69 Aug................ 62 193 68 138 21 1,730 20 18 53 65 48 626 69 Sept............... 62 193 68 136 21 1 ,730 20 18 53 65 49 627 69 Oct................ 63 193 68 117 21 1,730 20 18 53 65 51 633 69 Nov............... 64 193 68 111 21 1,730 20 18 53 65 52 641 69 Dec................ 67 193 68 109 21 1,730 20 18 53 65 44 643 69 1967--Jan................. 71 68 116 21 1,730 20 18 53 65 45 646 69 Feb................ 71 68 '114 21 1,731 20 18 53 65 47 647 69 Mar............... 73 68 113 21 1,731 20 18 53 55 47 650 69 Apr................ 73 ............ 68 |• *.......... 21 1,731 20 18 53 55 49 69 For notes see end of table. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 GOLD RESERVES AND PRODUCTION 1061 GOLD RESERVES OF CENTRAL BANKS AND GOVERNMENTS—Continued (In millions of dollars) Bank E pe n r d i o o d f A So fr u i t c h a Spain Sweden Sw la i n tz d er­ Taiwan T la h n a d i­ Turkey ( U E . g A y . p R t . ) U K d n i o n i m t g e ­ d U gu r a u y ­ V zu e e n l e a ­ Y sl u av g i o a ­ S I e f n t o t t r l i e . ­ ments 4 1960............................. 178 178 170 2,185 41 104 134 174 2,800 180 401 4 -19 1961............................. 298 316 180 2,560 43 104 139 174 2,268 180 401 6 115 1962............................. 499 446 181 2,667 43 104 140 174 2,582 180 401 4 -50 1963 ............................. 630 573 182 2,820 50 104 115 174 2,484 171 401 14 -279 1964.............................. 574 616 189 2,725 55 104 104 139 2'136 171 401 17 -50 1965 ............................. 425 810 202 3,042 55 96 116 139 2,265 155 401 19 — 558 1966—‘Apr,.................. 557 785 202 2,647 55 92 116 139 155 401 20 — 80 May................. 581 785 203 2’630 55 92 116 139 155 401 20 — 36 June.................. 640 785 203 2,648 59 92 116 139 2,041 155 401 20 -191 July................... 677 785 203 2,683 59 92 106 139 155 401 20 — 401 Aug................... 672 785 203 2'681 59 92 105 139 155 401 20 — 388 Sept................... 664 785 203 2'681 59 92 100 139 1,940 155 401 20 -299 Oct.................... 655 785 203 2’680 62 92 100 121 155 401 21 — 277 Nov................... 637 785 203 2’679 62 92 100 93 155 401 21 — 275 Dec................... 637 785 203 2^842 62 92 102 93 1,940 146 401 21 —424 1967—jan.................... 611 784 203 2,679 66 92 102 93 146 401 21 — 274 Feb.................... 581 784 203 2,’678 66 92 97 93 146 401 21 —289 Mar................... 540 784 203 2^679 74 92 97 93 1,677 146 401 21 -15 Apr................... 519 784 203 2; 643 74 92 97 93 146 401 37 i Includes reported or estimated gold holdings of international and those matched by gold mitigation deposits with the United States and regional organizations, central banks and govts, of countries listed in United Kingdom; adjustment is $270 million. this table and also of a number not shown separately here, and gold to be 3 Excludes gold subscription payments made by some member countries distributed by the Tripartite Commission for the Restitution of Monetary in anticipation of increase in Fund quotas: for most of these countries Gold; excludes holdings of the U.S.S.R., other Eastern European coun­ the increased quotas became effective in Feb. 1966. tries, and China Mainland. 4 Net gold assets of BIS, t.e., gold in bars and coins and other gold The figures included for the Bank for International Settlements are assets minus gold deposit liabilities. the Bank’s gold assets net of gold deposit liabilities. This procedure avoids the overstatement of total world gold reserves since most of the Note.—For back figures and description of the data in this and the gold deposited with the BIS is included in the gold reserves of individual following tables on gold (except production), see “Gold,” Section 14 of countries. Supplement to Banking and Monetary Statistics, 1962. 2 Adjusted to include gold subscription payments to the IMF, except GOLD PRODUCTION (In millions of dollars at $35 per fine troy ounce) Africa North and South America Asia Other World Period p t r i o o d n u c 1 ­ A So fr u ic th a d R e h s o ia ­ Ghana C s ( h K o a n i s g n a o ­ ) U S n ta i t t e e s d C a a d n a ­ M ic e o x­ r N a i g c u a a ­ Co b l i o a m­ India P p h in il e ip s ­ t A ra u li s a ­ ot A h l e l r I960.. 1,175.0 748.4 19.6 30.8 58.8 162.0 10 5 7.0 15.2 5 6 14.4 38.0 53.6 1961.. 1,215.0 803.0 20.1 29.2 8.1 54.8 156.6 9 4 7.9 14.0 5 5 14.8 37.7 53.9 1962,. 1,295.0 892.2 19.4 31.1 54.5 146.2 8 3 7.8 13.9 5 7 14.8 37.4 56,6 1963.. 1,355.0 960.1 19.8 32.2 7.5 51.4 139.0 8 3 7.2 4 8 13.2 35.8 64.3 1964.. 1,405.0 1,018.9 20.1 30.3 6.6 51.4 133.0 4 7.9 12.8 5 2 14.9 33.7 62.8 1965.. 1,440.0 1,069.4 19.0 26.4 2.3 58.6 125.6 7 6 6.9 H.2 4 6 15.3 30.7 '■62.4 1966.. 1,080.8 114.6 9.8 4 2 15.6 1966—-Mar. 90,5 21.2 10.3 8 .9 3 3 2 6 90.8 10.3 3 .8 4 3 2 8 May 91.9 10.4 4 .8 4 3 2 9 June. 89.3 21.3 9.2 9 .8 3 2 3 3 July. 89.4 9.3 5 .8 3 2 6 Aug. 90.1 9.2 8 .8 3 0 Sept. 91.7 9.2 .8 24 0 2 4 Oct.. 89.7 9.1 .9 2 5 Nov. 90.8 8.7 .8 2 3 Dec.. 87.7 9.6 .7 7 24 0 1967—Jan.. 89.5 8.7 .9 Feb.. 87.8 8.9 Mar. 89.5 9.1 1 Estimated; excludes U.S.S.R., other Eastern European countries, Note.—Estimated world production based on report of the U.S. China Mainland, and North Korea. Bureau of Mines. Country data based on reports from individual 2 Quarterly data. countries and Bureau of Mines. Data for the United States are from 3 Data for Aug.-Dec. the Bureau of the Mint. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1062 MONEY RATES JUNE 1967 CENTRAL BANK RATES FOR DISCOUNTS AND ADVANCES TO COMMERCIAL BANKS (Per cent per annum) Changes during the last 12 months . Rate as of May 31, 1966 Rate Country 1966 1967 as of May 31, Per Month 1967 cent effective June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr. May Ar gent i n a 6.0 Dec. 1957 6 0 Austria 4.5 June 1963 4.25 4 25 Belgium 4.75 July 1964 5.25 5.0 4.75 4. 5 4 5 Brazil . .............. 12.0 Jan. 1965 12 0 Burma ............... 4.0 Feb. 1962 4 0 c^nfid^ i 5.25 Mar. 1966 5.0 4.5 4.5 Ceylon 5 0 May 1965 5 0 Chile 2 .. ....... .. 15.86 Jan' 1966 15.84 1584 Colombia ......... 8.0 May 1963 8.0 Co$ta R lea 3 0 Apr. 1939 3 0 Denmark ................. 6.5 June 1964 6 5 Ecuador . ...................... 5.0 Nov. 1956 5 0 F.l Salvador................................................ 4.0 4 0 Finland 7.0 Apr. 1962 7 0 France. . ................ 3.5 Apr. 1965 3 5 Cepmany Fed Rep of 5.0 4.5 4.0 3.5 3 0 3 0 Chana • 7.0 Jan. 1966 6.0 6 0 (Treece............................... 5.5 Jan. 1963 55 Honduras 3............. 3.0 Jan. 1962 3 0 Fcnland . ..................... 9.0 Jan. 1966 9 0 India.. .................. 6.0 Feb. 1965 6 0 Indonesia.. .......................... 9.0 Aug. 1963 9 0 [ran................................ 4.0 Oct 1963 5.0 5.0 Ireland...........,.................... 5.87 May 1966 5.94 6.87 6.94 7.00 6.81 6.87 6.50 6.25 5.88 5.56 5.56 Israel . 6.0 Feb. 1955 6 0 Italy....................................... 3.5 3 5 .Jamaica................................. 5.0 Nov. 1964 5.5 5.0 5.0 Japan................................... 5.48 June 1965 5,48 Korea ................................. 28.0 Dec. 1965 28 0 Mexico . . ...................... 4.5 June 1942 4 5 Netherlands........................ . 5.0 4.5 4 5 New Zealand.......... . . . . 7.0 Mar. 1961 7 0 Nicaragua 6.0 Apr. 1954 60 Norway. . . ............ 3.5 Feb. 1955 3 5 Pakistan ............ 5.0 June 1965 5 0 Peru . ................... 9.5 Nov. 1959 9 5 Philippine Republic *.......... 4.75 Jan. 1966 4 75 Portugal................................................ 2.5 Sept. 1965 2.5 South Africa........................ 5.0 Mar. 1965 6.0 6 0 Spain... . ................... 4.0 4 0 Sweden.................................. 5.5 Apr. 1965 6.0 5.5 5.0 5 0 Switzerland........................... 2 5 3.5 3 5 Taiwan 5.............................. 14.04 July 1963 14 04 Thailand.............................. 5.0 Oct. 1959 5 0 Tunisia................................... 4.0 Oct. 1962 5.0 5 0 Turkey................................. 7.5 May 1961 7.5 United Arab Rep. (Egypt).. 5.0 May 1962 5 0 United Kingdom.................. 6.0 June 1965 7.0 6.5 6.0 5.5 5.5 Venezuela........................ 4.5 Dec. 1960 4.5 1 On June 24, 1962, the bank rate on advances to chartered banks shown is the one at which it is understood the central bank transacts was fixed at 6 per cent. Rates on loans to money market dealers will the largest proportion of its credit operations. Other rates for some continue to be .25 of 1 per cent above latest weekly Treasury bill tender of these countries follow: average rate, but will not be more than the bank rate. Argentina—3 and 5 per cent for certain rural and industrial paper, de­ 2 Beginning with Apr. I, 1959, new rediscounts have been granted at pending on type of transaction; the average rate charged by banks in the previous half year. Old redis­ Brazil-S per cent for secured paper and 4 per cent for certain agricultural counts remain subject to old rates provided their amount is reduced by paper; one-eighth each month beginning with May 1, 1959, but the rates are Colombia—5 per cent for warehouse receipts covering approved lists of raised by 1.5 per cent for each month in which the reduction does not products, 6 and 7 per cent for agricultural bonds, and 12 and 18 per cent occur. for rediscounts in excess of an individual bank’s quota; 3 Rate shown is for advances only. Costa Rica—5 per cent for paper related to commercial transactions ‘'Beginning with June 1, 1962, the rediscount rate for commercial (rate shown is for agricultural and industrial paper); bank loans financing the purchase of surplus agricultural commodities Ecuador—6 per cent for bank acceptances for commercial purposes; under U.S. Law 480 was reduced from 6 to 3 per cent; and on Aug. 22, Indonesia—‘Various rates depending on type of paper, collateral, com­ 1962, the rediscount rate for commercial bank financing of 9 categories modity involved, etc,; of development loans was reduced from 6 to 3 per cent. Japan—penalty rates (exceeding the basic rate shown) for borrowings 5 Rate shown is for call loans. from the central bank in excess of an individual bank’s quota; Peru—9, per cent for agricultural, industrial, and mining paper; and Note.—Rates shown are mainly those at which the central bank either Venezuela—4 per cent for rediscounts of certain agricultural paper and discounts or makes advances against eligible commercial paper and/or for advances against govt, bonds or gold and 5 per cent on advances govt, securities for commercial banks or brokers. For countries with against securities of Venezuelan companies. more than one rate applicable to such discounts or advances, the rate Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

JUNE 1967 MONEY RATESjARBITRAGE 1063 OPEN MARKET RATES (Per cent per annum) Canada United Kingdom France Fe G d. e r R m e a p n . y o , f Netherlands Sw la i n tz d er­ Month 3 T m r b e o i a l n s ls u t , h r s y ! m D o a d y n a - e y t y o 2 ­ 3 B a a m a c n n c o c k e n e p e s t r t h , ­ s s ’ 3 T r m b e i a o l s l n s u t , r h y s D m a d o y a n - y e t o y ­ a B d ll e o a p w n o o k n a s e n i r t c s s e ’ D m a o d y n a - y e t o y ­ 3 Tr 6 d b e 0 a a i - l y s l 9 s u s 0 , 4 r y D m a o d y n a - e y t y o s ­ 3 T m r b e i a o l s l n s u t , r h y s D m a d o y a n - y e t o y ­ d P is r r c i a v o t a e u t n e t 1964—Dec............. 3.85 3.84 6.84 6.62 5.87 5.00 4.16 2.63 2.88 3.68 2.09 2.68 1965—Dec............. 4.45 4.03 5.91 5.48 4.79 4.00 4.48 3.88 4.00 4.29 3.47 3.00 1966—Apr............. 5.09 5,10 5.97 5.62 4.94 4.00 4.34 4.00 5.19 4.50 4.33 3.50 May........... 5.10 5.04 5.97 5.65 4.96 4.00 4.83 5.00 5.06 4.87 4.90 3.50 June............ 5.06 4.99 5.94 5.69 4.85 4.00 4.79 5.00 6.31 4.95 4.87 3.50 July............ 5.07 5.01 6.56 6.31 5.48 4.58 4.79 5.00 5.75 4.94 5.11 3.88 Aug............. 5.07 4.75 6.97 6.70 5.98 5.00 4.78 5.00 5.44 4.90 4.65 4.00 Sept............. 5.03 4.82 7.01 6.75 6.05 5.00 4.85 5.00 5.50 4.73 3.89 4.00 Oct............. 5.13 4.89 6.97 6.61 6,03 5.00 5.26 5.00 5.81 4.96 4.70 4.00 Nov............. 5.18 4.94 6.93 6.62 6.02 5.00 5.41 5.00 5.25 5.00 5.22 4.00 Dec............. 5.05 4.71 6.94 6.64 6.00 5.00 5.68 4.75 5.81 4.90 3.68 4.00 1967—Jan.............. 4.83 4,78 6.77 6.29 5.93 4.90 5.57 4.13 5.13 4.87 4.31 4.25 Feb............. 4.62 4.43 6.40 5.99 5.50 4.50 5.06 3.75 5.00 4.78 5.04 4.25 Mar............. 4.26 4.24 6.18 5.72 5.30 4.26 5.02 3.75 4.00 4.64 4.57 4.25 Apr............. 4.00 3.90 5.69 5.39 4.98 4.00 ................ 3.75 4.19 4.47 4.25 4.25 i Based on average yield of weekly tenders during month, 5 Based on average of lowest and highest quotation during month. 2 Based on weekly averages of daily closing rates. 3 Rate shown is on private securities. Note.—For description and back data, see “International Finance,” 4 Rate in effect at end of month. Section 15 of Supplement to Banking and Monetary Statistics, 1962. ARBITRAGE ON TREASURY BILLS (Per cent per annum) United States and United Kingdom United States and Canada Treasury bill rates Treasury bill rates Premium Premium Date q K ( u U a i b o n U d a n t g j s . i a . S d t i t s e . i o t ) d o o m n U St n a i t t e e s d L S ( o f p n a o r v d e f o a o d r n ) d f ( ( p o is + - o r c w ) u ) o n a u o o d r n n r d t i L n ( o c f N n e a o n v d e f t o o t i r v n e ) qu A I o n t s e d C ana q da u A o U d t j . a . S ti . t o o n U St n a i t t e e s d C S ( a f p n a o r v a e f d o a d r a ) C d f ( ( d o a i + - s o n r c w ) l a ) l o d a a u o o r i r n n a s r d n t i C n ( c a f N e a n o n v a e f t o d t i r v a ) e Canada basis 1967 6.29 4.74 1.55 -.55 + 1.00 4.94 4.81 4.74 + .07 -.08 -.01 13.............. 6.20 4.77 1.43 -.63 + .80 4.89 4.76 4.77 -.01 -.19 -.20 20............. 6.10 4.68 1.42 -.69 + .73 4.78 4.66 4.68 -.02 -.32 -.34 27.............. 5.95 4.58 1.37 -.74 + .63 4.65 4.53 4.58 -.05 -.41 -.46 Feb. 3.............. 5.79 4.44 1.35 -.75 + .60 4.62 4.51 4.44 + .07 -.43 -.36 10.............. 5.83 4.50 1.33 -.81 + .52 4.61 4.49 4.50 -.01 -.35 -.36 17. ............ 5.89 4.58 1.31 -.75 + .56 4.59 4.48 4.58 -.10 -.19 -.29 24.............. 5.89 4.59 1.30 -.75 + .55 4.55 4.44 4.59 -.15 -.15 -.30 5.83 4.35 1.48 -.79 + .69 4.48 4.37 4.35 + .02 .00 + .02 10.............. 5.73 4.33 1.40 -.80 + .60 4.35 4.24 4.33 -.09 + .15 + .06 17.............. 5.55 4.21 1 .34 -.70 + .64 4,22 4.12 4.21 -.09 + .22 + .13 23.............. 5.49 4.11 1.38 -.85 + .53 4.08 3.98 4.11 -.13 + .13 .00 31.............. 5.44 4.09 1.35 -.82 + .53 4.13 4.03 4.09 -.06 + .17 + .H 5.44 3.88 1.56 -.89 + .67 4.05 3.96 3.88 + .08 + .17 + .25 * 14.............. 5,30 3.86 1 .44 -.89 + .55 3.95 3.86 3.86 .00 -.10 -.10 21.............. 5.28 3.75 1.53 -.89 + .64 3.95 3.86 3.75 + .11 -.04 + .07 28.............. 5.30 3.68 1.62 -.99 + .63 4.00 3.91 3.68 + .23 -.13 + .10 5.12 3.65 1.47 -.81 + .66 4.02 3.93 3.65 + .28 -.17 + .11 ' 12.............. 5.09 3.63 1.46 -.78 + .68 4.10 4.02 3.63 + .39 -.17 + .22 19.............. 5.09 3.52 1.57 -.70 + .87 4.16 4.06 3.52 + .54 -.09 + .45 26.............. 5.13 3.45 1.68 -.69 + .99 4.21 4.11 3.45 + .66 -.15 + .51 5.12 3.37 1.75 -.70 + 1.05 4,24 4.14 3.37 + .77 -.28 + .49 Note.—Treasury bills: All rates are on the latest issue of 91-day bills. All series: Based on quotations reported to F.R. Bank of New York U.S. and Canadian rates are market offer rates 11 a.m. Friday; U.K. by market sources. rates are Friday opening market offer rates in London. For description of series and for back figures, see Oct. 1964 Bulletin, Premium or discount on forward pound and on forward Canadian dollar: pp. 1241-60. For description of adjustments to U.K. and Canadian R.ates per annum computed on basis of midpoint quotations (between Treasury bill rates, see notes to Table I, p. 1257, and to Table 2, p. 1260, bid and offer) at 11 a.m. Friday in New York for both spot and forward Oct. 1964 Bulletin. pound sterling and for both spot and forward Canadian dollars. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1064 FOREIGN EXCHANGE RATES JUNE 1967 FOREIGN EXCHANGE RATES (In cents per unit of foreign currency) Australia Period Argentina Austria Belgium Canada Ceylon Denmark Finland (peso) (schilling) (franc) (dollar) (rupee) (krone) (markka) (pound) (dollar) 1961 1.2076 223.28 3.8481 2.0052 98.760 21,023 14.481 .3110 1962 .9080 223.73 3.8685 2.0093 J3.561 21.034 14.490 .3107 1963 .7245 223.10 3.8690 2.0052 >2.699 21.015 14.484 131.057 1964 .7179 222.48 3.8698 2.0099 92.689 20.988 14.460 31.067 1965 .5952 222.78 3.8704 2.0144 92.743 20.959 14.460 31.070 1966 .4869 2223.41 3111.22 3.8686 2.0067 92.811 20.946 14.475 31.061 1966-—May................................................. .5268 111.25 3.8681 2.0089 92.863 20.941 14.459 31.060 Tune ....................................... .4926 111.15 3.8694 2.0079 92.876 20.926 14.458 31.062 July................................................... .4896 111.11 3.8705 2.0110 93.017 20.921 14.444 31.063 4.4691 111.11 3.8718 2.0122 92.992 20.929 14.436 31.062 Sept . ................................ .4594 111.13 3.8720 2.0035 92.904 20.928 14.471 31.063 Oct.................................................... .4590 111.22 3.8700 2.0001 92.631 20.929 14.488 31.062 Nov....................... ■ 5.4106 111.20 3.8668 2.0012 92.398 20.927 14.474 31.062 Dec ........................................ .4039 111.16 3.8651 1.9987 92.319 20.926 14.484 31.062 1967- Tan ......................................... .4035 111.20 3.8648 2.0005 92.623 20.927 14.468 31.062 Feb................................................... . 3993 111.32 3. 8653 2.0100 92.529 20.932 14.444 31.062 Mar ............................................. 6.3103 111.41 3.8679 2.0116 92.415 20.938 14.467 31.062 Apr . .......................................... .2850 III 52 3.8679 2.0121 92,378 20.954 14,472 31.063 May................................................ .2851 111.43 3.8686 2.0145 02 ano 20.946 14.453 31.062 Period F (f r r a a n n c c e ) ( G d m e e r u a m t r s k a c ) n h y e (r I u n p d e ia e ) ( I p re o l u a n n d d ) ( I l t i a r l a y ) J ( a y p en a ) n ( M do s a l i l l a a a y r) ­ M (p e e x s i o c ) o ( e g N r u l i a e l n t d h d e ­ r s ) 1961 20.384 24.903 20.980 280.22 .16099 27690 32.659 8.0056 27.555 1962 20.405 25.013 21.026 280.78 .16107 27712 32.757 8.0056 27.755 1963. 720.404 25.084 20.966 280.00 .16087 .27663 32.664 8.0056 27.770 1964. 20.404 25.157 20.923 279.21 .(6014 27625 32.566 8.0056 27.724 1965. 20.401 25.036 20.938 279.59 .16004 27662 32.609 8.0056 27.774 1966. 20.352 25.007 816.596 279.30 .16014 27598 32.538 8.0056 27.630 1966-—May..................................... 20.402 24.894 20.928 279.23 . 16010 27603 32.588 8.0056 27.547 June ............................................ 20.403 24.963 814.393 278.98 .16017 27584 32.545 8.0056 27.645 July................................................... 20.403 25.046 13.248 278.88 .16028 27574 32.488 8.0056 27.719 Aug................................................. 20.394 25.056 13.250 278.88 .16039 27577 32.467 8.0056 27.694 Sept ............................................ 20.314 25.069 13.252 278.93 .16029 .27574 32.458 8.0056 27.627 Oct.............. ■ .......... 20.247 25.109 13.260 279.16 .16003 27573 32.473 8.0056 27.625 Nov................................................... 20.231 25.150 13.258 279.11 .16003 .27578 32.453 8.0056 27.641 Dec.................................................. 20.199 25.169 13.256 279.01 .16011 .27577 32.442 8.0056 27.642 1967-—Jan............................................. 20.199 25.140 13.257 279.10 .15996 27577 32.473 8.0056 27.679 Feb. ......................................... 20.217 25.168 13.272 279.41 .15993 27576 32.535 8.0056 27.694 Mar................................................... 20.203 25.165 13.280 279.63 .16006 27607 32.556 8.0056 27.682 Apr. ..................................... 20.227 25.167 13.294 279.92 .16009 27625 32.589 8.0056 27.683 May.................................................. 20.319 25.147 13.267 279.69 .16008 27628 32.572 8.0056 27.739 South Africa United Period ( Z p e N o a u e la w n n d d ) N (k o r r o w ne a ) y (e P s o g cu a rt l d u o ­ ) (pound) (rand) (p S e p s a e i t n a) S (k w ro ed n e a n ) ( S e f r r w l a a i n n tz c d ­ ) (p K d o i o u n m n g d - ) 1961............................................................. 277.45 14.000 3.4909 279.48 139.57 .6643 19.353 23.151 280.22 1962............................................................. 278.00 14.010 3.4986 139.87 .6654 19.397 23.124 280.78 1963 ............................................................ 277.22 13.987 3.4891 139.48 .6664 19.272 23.139 280.00 1964............................................................. 276.45 13.972 3.4800 139.09 .6663 19.414 23.152 279.21 1965............................................................. 276.82 13.985 3.4829 139.27 .6662 19.386 23.106 279.59 1966............................................................. 276.54 13.984 3.4825 139.13 .6651 19.358 23.114 279.30 1966-—May................................................. 276.47 13.971 3.4829 139.09 .6660 19.398 23.167 279.23 June............................................. 276.22 13.971 3.4806 138.97 .6658 19.383 23.169 278.98 July............................................... 276.12 13.974 3.4777 138.92 .6655 19.352 23.164 278.88 Aug.............................................. 276.12 13.988 3.4776 138.92 .6639 19.358 23.110 278.88 Sept.................................................. 276.17 13.989 3.4773 138.95 .6639 19.345 23.102 278.93 Oct................................................. 276.40 13.993 3.4807 139.06 .6641 19.330 23.064 279.16 Nov,.............................................. 276.35 13.995 3.4794 139.03 1.6638 18.336 23.141 279.11 Dec................................................... 276.25 13.989 3.4783 138.99 .6638 19.327 23.129 279.01 1967-—Jan.................................................... 276,34 13.978 3.4786 139.03 .6636 19.337 23.089 279.10 Feb................................................... 276.65 13.980 3.4783 139.18 .6634 19.353 23.061 279.41 Mar................................................. 276.86 13.984 3.4811 139.29 .6633 19.367 23.079 279.63 Apr................................................. 277.15 13.993 3.4858 139.44 .6631 19.397 23.126 279.92 May................................................ 276.92 13.990 3.4830 139.32 .6631 19.399 23.169 279.69 1 A new markka, equal to 100 old markkaa, was introduced on Jan. 1, 7 Effective Jan. 1, 1963, the franc again became the French monetary 1963. unit. It replaces, at a 1 to 1 ratio, the new franc introduced Jan. 1, 1960. 2 Based on quotations through Feb. 11, 1966. 8 Effective June 6, 1966, the Indian rupee was devalued from 4.76 to 3 Effective Feb. 14, 1966, Australia adopted the decimal currency 7.5 rupees per U.S. dollar. Quotations not available June 6 and 7. system. The new unit, the dollar, replaces the pound and consists of 100 cents, equivalent to 10 shillings or one-half the former pound. Note.—Averages of certified noon buying rates in New York for < Quotations not available Aug. 8 and 9. cable transfers. For description of rates and back data, see “International 5 Quotations not available Nov. 4 and 7. Finance,’* Section 15 of Supplement to Banking and Monetary Statistics, 6 Quotations not available Mar. 7-14. 1962. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM Wm. McC. Martin, Jr., Chairman J. L. Robertson, Vice Chairman George W. Mitchell J. Dewey Daane Sherman J. Maisel Andrew F. Brimmer William W. Sherrill Daniel H. Brill, Senior Adviser to the Board Robert C. Holland, Adviser to the Board Robert Solomon, Adviser to the Board Charles Molony, Assistant to the Board Robert L. Cardon, Legislative Counsel Clarke L. Fauver, Assistant to the Board OFFICE OF THE SECRETARY DIVISION OF BANK OPERATIONS Merritt Sherman, Secretary John R. Farrell, Director Kenneth A. Kenyon, Assistant Secretary M. B. Daniels, Assistant Director Elizabeth L. Carmichael, Assistant Secretary John N. Kiley, Jr., Assistant Director Arthur L. Broida, Assistant Secretary Karl E. Bakke, Assistant Secretary DIVISION OF EXAMINATIONS Frederic Solomon, Director LEGAL DIVISION Brenton C. Leavitt, Assistant Director Howard H. Hackley, General Counsel James C. Smith, Assistant Director David B. Hexter, Associate General Counsel Lloyd M. Schaeffer, Chief Federal Reserve Examiner Thomas J. O’Connell, Assistant General Counsel Frederick R. Dahl, Assistant Director Jerome W. Shay, Assistant General Counsel Jack M. Egertson, Assistant Director Wilson L. Hooff, Assistant General Counsel Thomas A. Sidman, Assistant Director Charles C. Walcutt, Assistant Chief Federal Reserve Examiner DIVISION OF RESEARCH AND STATISTICS Daniel H. Brill, Director DIVISION OF PERSONNEL ADMINISTRATION Albert R. Koch, Deputy Director Edwin J. Johnson, Director J. Charles Partee, Associate Director John J. Hart, Assistant Director Kenneth B. Williams, Adviser Stephen H. Axilrod, Associate Adviser DIVISION OF ADMINISTRATIVE SERVICES Lyle E. Gramley, Associate Adviser Joseph E. Kelleher, Director Stanley J. Sigel, Associate Adviser Harry E. Kern, Assistant Director Tynan Smith, Associate Adviser James B. Eckert, Assistant Adviser OFFICE OF THE CONTROLLER Murray S. Wernick, Assistant Adviser John Kakalec, Controller DIVISION OF INTERNATIONAL FINANCE OFFICE OF DEFENSE PLANNING Robert Solomon, Director Innis D. Harris, Coordinator Robert L. Sammons, Associate Director A, B. Hersey, Adviser DIVISION OF DATA PROCESSING Reed J. Irvine, Adviser Lawrence H. Byrne, Jr., Director Samuel I. Katz, Adviser Lee W. Langham, Assistant Director John E. Reynolds, Adviser John H. Rhinehart, Assistant Director Ralph C. Wood, Adviser David S. Staiger, Assistant Director 1065 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1066 FEDERAL RESERVE BULLETIN • JUNE 1967 FEDERAL OPEN MARKET COMMITTEE Wm. McC. Martin, Jr., Chairman Alfred Hayes, Vice Chairman Andrew F. Brimmer Sherman J. Maisel William W. Sherrill J. Dewey Daane George W. Mitchell Eliot J. Swan Darryl R. Francis J. L. Robertson Edward A. Wayne Charles J. Scanlon Robert C. Holland, Secretary Merritt Sherman, Assistant Secretary J. Howard Craven, Associate Economist Kenneth A. Kenyon, Assistant Secretary George Garvy, Associate Economist Arthur L. Broida, Assistant Secretary A. B. Hersey, Associate Economist Charles Molony, Assistant Secretary Homer Jones, Associate Economist Howard H. Hackley, General Counsel Albert R. Koch, Associate Economist David B. Hexter, Assistant General Counsel J. Charles Partee, Associate Economist Daniel H. Brill, Economist Benjamin U. Ratchford, Associate Economist Ernest T. Baughman, Associate Economist Robert Solomon, Associate Economist Alan R. Holmes, Manager, System Open Market Account Charles A. Coombs, Special Manager, System Open Market Account FEDERAL ADVISORY COUNCIL John A. Moorhead, ninth federal reserve district, President Sam M. Fleming, sixth federal reserve district, Vice President John Simmen, first federal reserve Henry T. Bodman, seventh federal district RESERVE DISTRICT R. E. McNeill, Jr., second federal A. M. Brinkley, Jr., eighth federal reserve district RESERVE DISTRICT Harold F. Still, Jr., third federal Roger D. Knight, Jr., tenth federal reserve district RESERVE DISTRICT John A. Mayer, fourth federal Robert H. Stewart, III, eleventh federal reserve district RESERVE DISTRICT J. Harvie Wilkinson, Jr., fifth federal Frederick G. Larkin, Jr., twelfth federal reserve district RESERVE DISTRICT Herbert V. Prochnow, Secretary William J. Korsvik, Assistant Secretary Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

FEDERAL RESERVE BANKS AND BRANCHES 1067 FEDERAL RESERVE BANKS AND BRANCHES Federal Reserve Bank Chairman President Vice President Deputy Chairman First Vice President in charge of branch Zip code Boston................... ...02106 Erwin D. Canham George H. Ellis Charles W. Cole Earle O. Latham New York............. ...10045 Everett N. Case Alfred Hayes Kenneth H. Hannan William F. Treiber Buffalo.............. ...14240 Robert S. Bennett A. A. Maclnnes, Jr. Philadelphia.......... ...19101 Willis J. Winn Karl R. Bopp Bayard L. England Robert N. Hilkert Cleveland............... ...44101 Joseph B. Hall W. Braddock Hickman Logan T. Johnston Walter H. MacDonald Cincinnati......... ..45201 Barney A. Tucker Fred O. Kiel Pittsburgh......... ..15230 F. L. Byrom Clyde E. Harrell Richmond.............. ...23213 Edwin Hyde Edward A. Wayne Wilson H. Elkins Aubrey N. Heflin Baltimore.......... ...21203 E. Wayne Corrin Donald F. Hagner Charlotte........... ...28201 James A. Morris Edmund F. MacDonald Atlanta.................. ..30303 Jack Tarver Harold T. Patterson Edwin I. Hatch Monroe Kimbrel Birmingham.......35202 C. Caldwell Marks Edward C. Rainey Jacksonville....... ...32201 Castle W. Jordan Thomas C. Clark Nashville........... ...37203 Robert M. Williams Robert E. Moody, Jr. New Orleans.... . .70160 Frank G. Smith, Jr. Morgan L. Shaw Chicago................. ..60690 Franklin J. Lunding Charles J. Scanlon Elvis J. Stahr Hugh J. Helmer Detroit............... ..48231 Guy S. Peppiatt Russel A. Swaney St. Louis............... ..63166 Frederic M. Peirce Darryl R. Francis Smith D. Broadbent, Jr. Dale M. Lewis Little Rock....... ..72203 Reeves E. Ritchie John F. Breen Louisville........... ..40201 C. Hunter Green Donald L. Henry Memphis........... ..38101 James S. Williams John W. Menges Minneapolis........... ..55440 Joyce A. Swan Hugh D. Galusha, Jr. Robert F. Leach M. H. Strothman, Jr. Helena............... ..59601 Edwin G. Koch Clement A. Van Nice Kansas City............. ..64198 Dolph Simons George H. Clay Dean A. McGee John T. Boysen Denver................ ..80217 Cris Dobbins John W. Snider Oklahoma City.. ..73125 C. W. Flint, Jr. Howard W. Pritz Omaha................ ..68102 Henry Y. Kleinkauf George C. Rankin Dallas...................... ..75222 Carl J. Thomsen Watrous H. Irons Max Levine Philip E. Coldwell El Paso................ ..79999 Gordon W. Foster Fredric W. Reed Houston.............. ..77001 Geo. T. Morse, Jr. J. Lee Cook San Antonio....... ..78206 Harold D. Herndon Carl H. Moore San Francisco......... ..94120 Frederic S. Hirschler Eliot J. Swan S. Alfred Halgren H. Edward Hemmings Los Angeles...........90054 Arthur G. Coons Paul W. Cavan Portland.............. ..97208 Graham J. Barbey William M. Brown Salt Lake City......84110 Royden G. Derrick Arthur L. Price Seattle................. ..98124 William McGregor Erwin R. Barglebaugh Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

FEDERAL RESERVE BOARD PUBLICATIONS The material listed may be obtained from Publications Services, Division of Administrative Services, Board of Governors of the Federal Reserve System, Washington, D.C. 20551. Where a charge is indicated, remittance should accompany request and be made payable to the order of the Board of Governors of the Federal Reserve System in a form collectible at par in U.S. currency. (Stamps and coupons not accepted). The Federal Reserve System—Purposes and Supplement to Banking and Monetary Statis­ Functions. 1963. 297 pp. tics. Sec. 1. Banks and the Monetary System. Annual Report. 1962. 35 pp. $.35. Sec. 5. Bank Debits. 1966. 36 pp. $.35. Sec. 6. Bank Income, 1966. 29 pp. Federal Reserve Bulletin, Monthly. $6.00 per $.35. Sec. 9. Federal Reserve Banks. 1965. 36 annum or $.60 a copy in the United States and pp. $.35. Sec. 10. Member Bank Reserves and its possessions, Bolivia, Canada, Chile, Colom­ Related Items. 1962. 64 pp. $.50. Sec. 11. Cur­ bia, Costa Rica, Cuba, Dominican Republic, rency. 1963. 11 pp. $.35. Sec. 12. Money Rates Ecuador, Guatemala, Haiti, Republic of Hon­ and Securities Markets. 1966. 182 pp. $.65. duras, Mexico, Nicaragua, Panama, Paraguay, Sec. 14. Gold. 1963. 24 pp. $.35. Sec. 15. Inter­ Peru, El Salvador, Uruguay, and Venezuela; 10 national Finance. 1962. 92 pp. $.65. Sec. 16 or more of same issue sent to one address, $5.00 (New) Consumer Credit. 1965. 103 pp. $.65. per annum or $.50 each. Elsewhere, $7.00 per annum or $.70 a copy. Bank Mergers & the Regulatory Agencies: Federal Reserve Chart Book on Financial and Application of the Bank Merger Act of 1960. 1964. 260 pp. $1.00 a copy; 10 or more Business Statistics. Monthly. Annual sub­ sent to one address, $.85 each. scription includes one issue of Historical Chart Book. $6.00 per annum or $.60 a copy in the Banking Market Structure & Performance in United States and the countries listed above; Metropolitan Areas: A Statistical Study 10 or more of same issue sent to one address, of Factors Affecting Rates on Bank Loans. $.50 each. Elsewhere, $7.00 per annum or $.70 1965. 73 pp. $.50 a copy; 10 or more sent to a copy. one address, $.40 each. Historical Chart Book. Issued annually in Sept. Farm Debt. Data from the 1960 Sample Survey Subscription to monthly chart book includes of Agriculture. 1964. 221 pp. $1.00 a copy; 10 one issue. $.60 a copy in the United States and or more sent to one address, $.85 each. countries listed above; 10 or more sent to one Merchant and Dealer Credit in Agriculture. address, $.50 each. Elsewhere, $.70 a copy. 1966. 109 pp. $1.00 a copy; 10 or more sent to Treasury-Federal Reserve Study of the Gov­ one address, $.85 each. ernment Securities Market. Pt. I. 1959. 108 Monetary Theory and Policy: A Bibliography. pp. Pt. II. 1960. 159 pp. Pt. III. 1960. 112 pp. Part I—Domestic Aspects. 137 pp. $1.00 a copy; Set of 3, $2.50; individual books $1.00 each. 10 or more sent to one address, $.85 each. Flow of Funds in the United States, 1939-53. Regulations of the Board of Governors of 1955. 390 pp. $2.75. the Federal Reserve System. Debits and Clearing Statistics and Their Use. 1959. 144 pp. $1.00 a copy; 10 or more sent to Rules of Organization and Procedure—Board one address, $.85 each. of Governors of the Federal Reserve Sys­ tem. 1962. 40 pp. The Federal Funds Market. 1959. Ill pp. $1.00 a copy; 10 or more sent to one address, Published Interpretations of the Board of $.85 each. Governors, as of Dec. 31, 1965. $2.50. All-Bank Statistics, 1896-1955. 1959. 1,299 pp. Trading in Federal Funds. 1965. 116 pp. $1.00 $4.00. a copy; 10 or more sent to one address, $.85 each. Industrial Production—1957-59 Base. 1962. 172 pp. $1.00 a copy; 10 or more sent to one U.S. Treasury Advance Refunding. June 1960address, $.85 each. July 1964. 1966. 65 pp. $.50 a copy; 10 or more sent to one address, $.40 each. The Federal Reserve Act, as amended through Nov. 5, 1966, with an appendix containing pro­ Survey of Financial Characteristics of Con­ visions of certain other statutes affecting the sumers. 1966. 166 pp. $1.00 a copy; 10 or more Federal Reserve System. 353 pp. $1.25. sent to one address, $.85 each. 1069 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1070 FEDERAL RESERVE BULLETIN • JUNE 1967 PERIODIC RELEASES Consumer Credit at Consumer Finance Com­ panies (G.22) WEEKLY Consumer Instalment Credit at Commercial Banks (G.18) Applications Received, or Acted on, by the Debits, Demand Deposits, and Turnover at Board (H.2) 233 Individual Centers (G.ll) Commercial and Industrial Loans Outstand­ Federal Reserve Par List (Also annual list) ing by Industry (H.12) (G.3) Condition Report of Large Commercial Banks Interdistrict Settlement Fund (G.15) in New York and Chicago (H.4.3) Index Numbers of Wholesale Prices (G.8) Condition Report of Large Commercial Banks (H.4.2) Maturity Distribution of Outstanding Nego­ tiable Time Certificates of Deposits (G.9) Demand Deposits, Currency, and Related Items (H.6) Monthly Foreign Exchange Rates (G.5) Factors Affecting Bank Reserves and Con­ National Summary of Business Conditions dition Statement of F. R. Banks (H.4.1) (G.12.2) Reserve Positions of Major Reserve City Open Market Money Rates and Bond Prices Banks (H.5) (G.13) Weekly Foreign Exchange Rates (H.10) Sales Finance Companies (G.20) Weekly U.S. Government Security Yields and State Member Banks of the Federal Reserve Prices (H. 15) System and Nonmember Banks that Main­ tain Clearing Accounts with Federal Re­ serve Banks (Also annual list) (G.4) SEMIMONTHLY-IRREGULAR Monthly U.S. Government Security Yields and Prices (G.14) Assets and Liabilities of all Banks in the United States (J.4) QUARTERLY—SEMIANNUALLY Changes in State Bank Membership (K.3) Deposits, Reserves, and Borrowings of Mem­ All Banks in the United States and Other ber Banks (J.l) Areas—Principal Assets and Liabilities, by States (E.4) Research Library—Recent Acquisitions (J.2) Bank Rates on Short-Term Business Loans (E.2) Summary Report—Assets and Liabilities of MONTHLY Member Banks (E.3.1) Assets and Liabilities of All Member Banks, All Member Banks, by Class of Bank (E.3.4) by Districts (G.7.1) Sales, Profits, and Dividends of Large Cor­ Automobile Loans by Major Sales Finance porations (E.6) Companies (G.25) Automobile Instalment Credit Develop­ ANNUALLY ments (G.26) Bank Debits and Deposit Turnover (G.6) Bank Debits to Demand Deposit Accounts Except Interbank and U.S. Government Business Indexes (G.12.3) Accounts (C.5) Consumer Credit (G.19) Member Bank Income (C.4) Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

FEDERAL RESERVE BOARD PUBLICATIONS 1071 STAFF ECONOMIC STUDIES The Financing of Capital Investment in the USSR, by Paul Gekker. June 1967. Studies and papers on economic and financial sub­ jects that are of general interest in the field of Federal Fiscal Policy and Aggregate De­ economic research. mand, 1956-1966, by Helen B. Junz. June 1967. ‘ Summaries only printed in the Bulletin. Printed in full in the Bulletin. (Limited supply of mimeographed copies of full (Reprints available as shown in following list.) text available upon request for single copies.) Cyclical Determinants of Capital Expendi­ REPRINTS tures: A Regression Study of the United States Steel Industry, by James P. Bennett. (From Federal Reserve Bulletin unless preceded July 1966. by an asterisk.) The European Economic Community’s Com­ Adjustment for Seasonal Variation. Descrip­ mon Agricultural Policy and Its Impact tion of method used by Board in adjusting eco­ on U.S. Exports, by Thomas M. Klein. July nomic data for seasonal variations. June 1941. 1966. ’ 11 PP- A Theory of Household Asset Selection, by Seasonal Factors Affecting Bank Reserves. William J. Hooter. Aug. 1966. Feb. 1958. 12 pp. Liquidity Considerations and Monetary Liquidity and Public Policy, Staff Paper by Management, by Leonall C. Andersen (with Stephen H. Axilrod. Oct. 1961. 17 pp. commentaries by Arthur L. Broida and Rich­ ard G. Davis). Sept. 1966. Seasonally Adjusted Series for Bank Credit. July 1962. 6 pp. The Overseas Dollar Bond Market and Re­ cent U.S. Borrowing Abroad, by Carl H. Interest Rates and Monetary Policy, Staff Paper by Stephen H. Axilrod. Sept. 1962. 28 pp. Stem. Sept. 1966. Industrial Production—1957-59 Base. Oct. Mexico’s Economic and Financial Record, by 1962. 10 pp. Yves Maroni. Oct. 1966. Flow of Funds Seasonally Adjusted. Nov. Measures of Industrial Production and Final 1962. 15 pp. Demand, by Clayton Gehman and Cornelia Motheral. Jan. 1967. A Sectoral Analysis of Velocity, Staff Paper by Paul F. McGouldrick. Dec. 1962. 14 pp. Firms’ Demands For Money: The Evidence A New Look at the Farm Debt Picture. Dec. From the Cross-Section Data, by William J. 1962. 18 pp. Frazer, Jr. Jan. 1967. Farm Debt as Related to Value of Sales. The Relative Impact of Money and Income Feb. 1963. 9 pp. on Interest Rates: An Empirical Investi­ Negotiable Time Certificates of Deposit. gation, by William E. Gibson and George G. Apr. 1963. 11 pp. Kaufman. Feb. 1967. New Foreign Bond Issues in the U.S. Market, The Effect of Credit Conditions on State Staff Paper by Robert F. Gemmill. May 1963. and Local Bond Sales and Capital Outlays 13 pp. S F i e n b c . e 1 W 96 o 7. r ld War II, ' by Paul F. McGouldrick. Recent Changes in Liquidity, Staff Paper by Daniel H. Brill. June 1963. 10 pp. Investment by Manufacturing Firms: A Quar­ Measures of Member Bank Reserves. July terly Time Series Analysis of Industry 1963. 14 pp. Data; by Robert W. Resek. Mar. 1967. A Bank Examiner Looks at Agricultural Individuals as a Source of Loan Funds for Lending, Staff Paper by Brenton C. Leavitt. State and Local Governments, Helmut July 1963. 8 pp. Wendel. Apr. 1967. Measuring and Analyzing Economic Growth, Variable-Rate Mortgages, by Robert Moore Staff Paper by Clayton Gehman. Aug. 1963. Fisher. May 1967. 14 pp. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1072 FEDERAL RESERVE BULLETIN • JUNE 1967 Changes in Banking Structure, 1953-62. Sept. Interest Rates in U.S. Capital Markets. Nov. 1963. 8 pp. 1966. 16 pp. Economic Change and Economic Analysis, Toward Understanding of the Whole De­ Staff Paper by Frank R. Garfield. Sept. 1963. veloping Economic Situation, Staff Eco­ 17 pp. nomic Study by Frank R. Garfield. Nov. 1966. Bank and PCA Lending to Farmers. Sept. 1963. 14 pp. 11 PP- A Revised Index of Manufacturing Capacity, The Open Market Policy Process. Oct. 1963. Staff Economic Study by Frank de Leeuw with 11 PP- Frank E. Hopkins and Michael D. Sherman. Nov. 1966. 11 pp. Federal Reserve Security Transactions, 1954­ 63, Staff Paper by Stephen H. Axilrod and Time Deposits and Financial Flows. Dec. Janice Krummack. July 1964. 16 pp. 1966. 14 pp. New Series on Federal Funds. Aug. 1964. Balance of Payments Program: Guidelines 31 PP- for Banks and Nonbank Financial Institu­ Yield Differentials in Treasury Bills, 1959­ tions. Dec. 1966. 8 pp. 64, Staff Paper by Samuel I. Katz. Oct. 1964. The Role of Financial Intermediaries in U.S. 20 pp. Capital Markets, Staff Economic Study by Research into Banking Structure and Com­ Daniel H. Brill, with Ann P. Ulrey. Jan. 1967. petition. Nov. 1964. 17 pp. Size and Composition of Consumer Saving. Bank Credits to Foreigners. Mar. 1965. 10 pp. Jan. 1967. 19 pp. Revision of Bank Debits and Deposit Turn­ Recent Bank Credit and Monetary Develop­ over Series. Mar. 1965. 4 pp. ments. Feb. 1967, 13 pp. Measures of Banking Structure and Competi­ Revised Series on Commercial and Industrial tion. Sept. 1965. 11 pp. Loans by Industry. Feb. 1967. 2 pp. Time Deposits in Monetary Analysis, Staff Auto Loan Characteristics at Major Sales Economic Study by Lyle E. Gramley and Sam­ Finance Companies. Feb. 1967. 5 pp. uel B. Chase, Jr. Oct. 1965. 25 pp. Consumer Instalment Credit. Mar. 1967. Fiscal Policy and Debt Management. Nov. 12 pp. 1965. 11 pp. Cycles and Cyclical Imbalances in a Chang­ Treasury and Federal Reserve Foreign Ex­ ing World, Staff Paper by Frank R. Garfield. change Operations. Mar. 1967. 12 pp. Nov. 1965. 15 pp. The Balance of Payments in 1966. Apr. 1967. Research on Banking Structure and Per­ 16 pp. formance, Staff Economic Study by Tynan Changes in Time and Savings Deposits, May Smith. Apr. 1966. 11 pp. 1966-January 1967. Apr. 1967. 17 pp. Time and Savings Deposits, Late 1965 and Survey of Finance Companies, Mid-1965. Apr. Early 1966. Apr. 1966. 20 pp. 1967. 26 pp. Commercial Bank Liquidity. Staff Economic Study by James Pierce. Aug. 1966. 9 pp. Monetary Policy and Economic Activity: A Postwar Review. May 1967. 22 pp. Changes in Time and Savings Deposits, De­ cember 1965-May 1966. Aug. 1966. 35 pp. Revision in Quarterly Survey of Interest Rates on Business Loans. May 1967. 7 pp. Revision of Weekly Reporting Member Bank Series. Aug. 1966. 4 pp. Monetary Policy and the Residential Mort­ Interest Rates in Western Europe. Sept. gage Market. May 1967. 13 pp. 1966. 19 pp. Evidence on Concentration in Banking Mar­ Revision of Money Supply Series, Sept. 1966. kets and Interest Rates, Staff Economic 13 PP- Study by Almarin Phillips. June 1967. 11 pp. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

INDEX TO STATISTICAL TABLES (For list of tables published periodically, but not monthly, see page 978) Acceptances, bankers’, 987, 1005, 1007 Deposits—Continued Agricultural loans of commercial banks, 998, 1000 Adjusted, and currency, 993 Arbitrage, 1063 Banks, by classes, 987, 994, 999, 1002, 1007 Assets and liabilities (See also Foreign liab. & claims): Federal Reserve Banks, 988, 1057 Banks and the monetary system, 993 Postal savings, 986, 993 Banks, by classes, 994, 998, 1000, 1007 Subject to reserve requirements, 992 Corporate, current, 1019 Discount rates, 985, 1062 Federal Reserve Banks, 988 Discounts and advances by Reserve Banks, 980 Automobiles: 988, 990 Consumer instalment credit, 1024, 1025, 1026 Dividends, corporate, 1018, 1019 Production index, 1028, 1029 Dollar assets, foreign, 1047, 1052 Bank holding companies, list of, Dec. 31, 1966, 1042 Earnings and hours, manufacturing industries, 1035 Bankers’ balances, 999, 1001 Employment, 1032, 1034, 1035 (See also Foreign liabilities and claims) Banks and the monetary system, 993 Fann mortgage loans, 1020, 1021, 1022 Banks for cooperatives, 1009 Federal finance: Bonds (See also U.S. Govt, securities): Cash transactions, 1010 New issues, 1015, 1016, 1017 Receipts and expenditures, 1011 Prices and yields, 1005, 1006 Treasurer’s balance, 1010 Business expenditures on new plant and Federal funds, 984, 998 equipment, 1019 Federal home loan banks, 1009, 1021 Business indexes, 1032 Federal Housing Administration, 1006, 1020, Business loans (See Commercial and industrial loans) 1021, 1022 ’ Federal intermediate credit banks, 1009 Capital accounts: Federal land banks, 1009 Banks, by classes, 994, 999, 1003 Federal National Mortgage Assn., 1009, 1022 Federal Reserve Banks, 988 Federal Reserve Banks: Carloadings, 1032 Condition statement, 988 Central banks, foreign, 1060, 1062 U.S. Govt, securities held, 980, 988, 990, Certificates of deposit, 1003 1012, 1013 Coins, circulation, 991 Federal Reserve credit, 980, 988, 990 Commercial and industrial loans: Federal Reserve notes, 988, 991 Commercial banks, 998 Federally sponsored credit agencies, 1009 Weekly reporting banks, 1000, 1004 Finance company paper, 1005, 1007 Commercial banks: Financial institutions, loans to, 998, 1000 Assets and liabilities, 994, 998, 1000 Float, 980 Consumer loans held, by type, 1025 Flow of funds, 1040 Deposits at, for payment of personal loans, 997 Foreign currency operations, 988, 990, 1046, Number, by classes, 994 1047, 1052 Real estate mortgages held, by type, 1020 Foreign deposits in U.S. banks, 980, 988, 993, 999, Commercial paper, 1005, 1007 1002, 1057 Condition statements (See Assets and liabilities) Foreign exchange rates, 1064 Construction, 1032, 1033 Foreign liabilities and claims: Consumer credit: Banks, 1048, 1049, 1051, 1053, 1055, 1057 Instalment credit, 1024, 1025, 1026, 1027 Nonfinancial concerns, 1058 Noninstalment credit, by holder, 1025 Foreign trade, 1045 Consumer price indexes, 1032, 1036 Consumption expenditures, 1038, 1039 Gold: Corporations: Certificates, 988, 991 Sales, profits, taxes, and dividends, 1018, 1019 Earmarked, 1057 Security issues, 1016, 1017 Net purchases by U.S., 1046 Security prices and yields. 1005, 1006 Production, 1061 Cost of living (See Consumer price indexes) Reserves of central banks and govts., 1060 Currency in circulation, 980, 991, 992 Stock, 980, 993, 1046 ' Customer credit, stock market, 1006 Gross national product, 1038, 1039 Debits to deposit accounts. 990 Hours and earnings, manufacturing industries, 1035 Debt (See specific types of debt or securities) Housing starts, 1033 Demand deposits: Adjusted, banks and the monetary system, 993 Income, national and personal, 1038, 1039 Adjusted, commercial banks. 990, 992, 999 Industrial production index, 1028, 1032 Banks, by classes, 987, 994, 999, 1002 Instalment loans, 1024, 1025, 1026, 1027 Subject to reserve requirements, 992 Insurance companies, 1008, 1012, 1013, 1021 Turnover, 990 Insured commercial banks, 996, 997, 998 Deposits (see also specific types of deposits): Interbank deposits, 987, 994, 999 Accumulated at commercial banks for payment Interest rates: of personal loans, 997 Business loans by banks, 1004 1073 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1074 FEDERAL RESERVE BULLETIN • JUNE 1967 Interest rates—Continued Reserves: Federal Reserve Bank discount rates, 985 Central banks and govts., 1060 Foreign countries, 1062, 1063 Commercial banks, 999, 1001 Money market rates, 1005, 1063 Federal Reserve Banks, 988 Mortgage yields, 1006, 1023 Member banks, 980, 982, 987, 992, 999 Time deposits, maximum rates, 986 Residential mortgage loans, 1020, 1021, 1022, 1023 Yields, bond and stock, 1005 Retail credit, retail sales, 1024, 1032 International capital transactions of the U.S., 1048 International institutions, 1046, 1047, 1060, 1062 Sales finance companies, loans, 1024, 1025, 1027 Inventories, 1038 Saving: Investment companies, new issues, 1017 Flow of funds series, 1040 Investments (See also specific types of investments): National income series, 1039 Banks, by classes, 994, 998, 1001, 1007 Savings and loan assns., 1008, 1013, 1021 Commercial banks, 997 Savings deposits (See Time deposits) Federal Reserve Banks, 988, 990 Savings institutions, principal assets, 1007, 1008 Life insurance companies, 1008 Securities (See also U.S. Govt, securities): Savings and loan assns., 1008 Federally sponsored agencies, 1009 International transactions, 1056, 1057 Labor force, 1034 New issues, 1015, 1016, 1017 Loans (See also specific types of loans): Silver coin and silver certificates, 991 Banks, by classes, 994, 998, 1000, 1007 State and local govts.: Commercial banks, 997 Deposits of, 999, 1002 Federal Reserve Banks, 980, 988, 990 Holdings of U.S. Govt, securities, 1012, 1013 Insurance companies, 1008, 1021 New security issues, 1015, 1016 Insured or guaranteed by U.S., 1020, 1021, 1022 Ownership of obligations of, 998, 1001, Savings and loan assns., 1008, 1021 1007, 1008 Prices and yields of securities, 1005, 1006 Manufactures, production index, 1029, 1032 State member banks, 996, 997 Margin requirements, 986 Stock market credit, 1006 Member banks: Stocks: Assets and liabilities, by classes, 994, 998 New issues, 1016, 1017 Borrowings at Reserve Banks, 982, 988 Prices and yields, 1005, 1006 Deposits, by classes, 987 Tax receipts, Federal, 1011 Number, by classes, 995 Time deposits, 986, 987, 992, 993, 994, 999, 1002 Reserve position, basic, 984 Reserve requirements, 986 Treasurer’s account balance, 1010 Reserves and related items, 980, 992 Treasury cash, Treasury currency, 980, 991, 993 Treasury deposits, 980, 988, 1010 Mining, production index, 1029, 1032 Money rates (See Interest rates) Unemployment, 1034 Money supply and related data, 992 U.S. balance of payments, 1044 Mutual funds (See Investment companies) U.S. Govt, balances: Mutual savings banks, 993, 994, 996, 1007, 1012, Commercial bank holdings, 999, 1002 1013, 1020 Consolidated monetary statement, 993 Member bank holdings, 992 National banks, 996, 997 Treasury deposits at Federal Reserve Banks, 980, National income, 1038, 1039 988, 1010 National security expenditures, 1011, 1038 U.S. Govt, securities: Nonmember banks, 996, 997, 998, 999 Bank holdings, 993, 994, 998, 1001, 1007, 1012, 1013 Open market transactions, 987 Dealer transactions, positions, and financing, 1014 Federal Reserve Bank holdings, 980, 988, 990, Payrolls, manufacturing, index, 1032 1012, 1013 Personal income, 1039 Foreign and international holdings, 988, 1052, Postal Savings System, 986, 993 1056, 1057 Prices: International transactions, 1052, 1056 Consumer and wholesale commodity, 1032, 1036 New issues, gross proceeds, 1016 Security, 1006 Open market transactions, 987 Production, 1028, 1032 Outstanding, by type of security, 1012, Profits, corporate, 1018, 1019 1013, 1015 Ownership of, 1012, 1013 Real estate loans: Prices and yields, 1005, 1006, 1063 Banks, by classes, 998, 1000, 1007, 1020 United States notes, 991 Delinquency rates on home mortgages, 1023 Utilities, production index, 1029, 1032 Mortgage yields, 1006, 1023 Vault cash, 980, 986, 999 Nonfarm mortgage foreclosures, 1023 Veterans Administration, 1020, 1021, 1022 Type of holder and property mortgaged, 1020, 1021, 1022 Weekly reporting banks, 1000 Reserve position, basic, member banks, 984 Reserve requirements, member banks, 986 Yields (See Interest rates) Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

BOUNDARIES OF FEDERAL RESERVE DISTRICTS AND THEIR BRANCH TERRITORIES ☆ (o THETEDERAL RESERVE SYSTEM 5) * Legend Boundaries of Federal Reserve Districts -----Boundaries of Federal Reserve Branch Territories O Board of Governors of the Federal Reserve System ® Federal Reserve Bank Cities • Federal Reserve Branch Cities Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis