Federal Reserve Bulletin, 1967-08

FEDERAL RESERVE BULLETIN AUGUST 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 8 VOLUME 53 AUGUST 1967 1271 Recent Shifts in Corporate Financing 1283 Staff Economic Studies: Summaries 1287 Interest Cost Effects of Commercial Bank Underwriting of Municipal Revenue Bonds 1303 Revision of Money Supply Series 1317 American Business Investments in Foreign Countries 1318 Statement to Congress 1326 Record of Policy Actions of the Federal Open Market Committee 1333 Law Department 1362 Announcements 1364 National Summary of Business Conditions 1366 Guide to Tabular Presentation 1367 Financial and Business Statistics, U.S. 1441 International Financial Statistics 1463 Board of Governors and Staff 1464 Open Market Committee and Staff; Federal Advisory Council 1465 Federal Reserve Banks and Branches 1466 Federal Reserve Board Publications 1469 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

Recent Shifts in Corporate Financing EXTERNAL FINANCING by corporations rose sharply in the first half of 1967 from the reduced levels of the second half of 1966. Moreover, the composition of this financing shifted markedly, with relatively less borrowing at banks and much more in security markets. Market financing was primarily through public offerings of bonds and thus exerted strong upward pressure on long-term market rates of interest. Corporations also increased their use of the commercial paper market as a source of external financing. The rise in long-term corporate borrowing occurred despite a narrowing in the gap between internal funds and capital outlays. Retained earnings of nonfinancial corporations were much less in the first half of 1967 than in the second half of 1966, but capital consumption allowances continued to grow, and the flow of internal funds slowed only moderately. Capital expenditures, on the other hand, declined sharply because of the cutback in spend­ ing for inventories. A principal factor in the heavy reliance by nonfinancial corpo­ rations on credit and equity market financing, beginning in late 1964, was the development of a growing shortfall of internal funds relative to investment outlays. Even though this gap narrowed in the first half of 1967, reliance on market financing continued high as needs for funds for other purposes increased. In particular, ac­ celerated Federal income tax payments caused a very large drain on corporate funds in the second quarter. And the decline in cor­ porate liquidity positions—extending over many years—has greatly reduced the leeway available to corporations for financing a bulge in expenses by temporarily drawing down their cash bal- Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1272 FEDERAL RESERVE BULLETIN • AUGUST 1967 Flow of funds data for nonfinancial corporate business. Amounts for the external sources shown (which exclude trade debt) are expressed as percentages of total funds, which comprise: internal funds (current surplus); external financing (credit and equity market instruments); increases in accrued tax liabilities and in miscellaneous liabilities; and decreases in liquid assets. External financing through sale of com­ mercial paper is included in other loans. Half-year percentages computed from seasonally adjusted data. First half of 1967, preliminary. ances or liquidating short-term investments. Moreover, anticipa­ tion that the economy would resume a vigorous expansion became more widespread in the spring, and this encouraged some financing to cover future financial needs. Reflecting the large inflow of funds from long-term financing and a reduction in current liabilities, the average maturity of corporate debt lengthened over the first half of this year. Thus the over-all liquidity position of corporations may be said to have improved by midyear even though the conventional measure of corporate liquidity—the ratio of liquid assets to total current liabilities—aeclined about as much in the first quarter of this year as it had in other recent years and probably declined further in the second quarter. CAPITAL OUTLAYS AND Outlays by nonfinancial corporations for fixed assets and inven­ INTERNAL FUNDS tories declined by 17 per cent between the fourth quarter of 1966 and the second quarter of 1967. This marked contraction came after nearly 6 years of almost steady expansion in these expendi­ tures. The reduction centered in the inventory component of capital outlays, as the excessive rate of accumulation in the latter part of 1966 was followed by a much more moderate rate of ac­ cumulation in the first quarter of 1967 and little expansion in the second. Corporations’ expenditures for fixed assets, while not declining, Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

RECENT SHIFTS IN CORPORATE FINANCING 1273 leveled off in the first half of the year. Corporate outlays for resi­ dential construction rebounded from the low level of the last half of 1966, but investment in new plant and equipment—a primary source of pressures in the economy earlier—changed little in late 1966 and dipped in the first two quarters of 1967. Rate of INVENTORY ACCUMULATION declines sharply Flow of funds data for nonfinancial corporate business. Quarterly totals at sea­ sonally adjusted annual rates. Latest figures shown, second quarter of 1967. The flow of internal funds—retained earnings and depreciation allowances—to nonfinancial corporations declined by 7 per cent from the fourth quarter of 1966 to the second quarter of this year, much less than the decline in their capital expenditures. Retained earnings dropped by 23 per cent as profits declined over this period and dividend payments increased somewhat. But the de­ cline in total internal funds was moderated by continued growth in capital consumption allowances, which currently account for two-thirds of internal funds. The drop in profits came after an unusually long rise—aver­ aging (after taxes) 15 per cent a year from 1962 through 1966 for nonfinancial corporations. Almost all of the 1966 increase in corporate income occurred early in the year. After that, profits in Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1274 FEDERAL RESERVE BULLETIN • AUGUST 1967 some sectors continued to rise, but in the important manufacturing sector, sales weakened in some industries and over-all profit mar­ gins receded from the peak reached in the first quarter. Profit mar­ gins in manufacturing continued to decline in the first half of 1967. In the second quarter the seasonally adjusted ratio of profits to sales for all manufacturing companies was the lowest it had been since early 1963. . i Corporate INTERNAL FUNDS decline, but less than J ^CAPITAL OUTLAYS in 1967 BILLIONS OF DOLLARS Flow of funds data for nonfinancial corporate business. Quarterly totals at seasonally adjusted annual rates. Outlays comprise fixed investment and change in inventories. Funds comprise net saving (retained earnings plus inventory valuation adjustment) and capital consumption allowances. Latest figures shown, second quarter of 1967, With internal funds declining, in dollar terms, about one-third as much as spending for physical assets in the first half of 1967, the gap between them narrowed considerably. But it still was wider than it had been prior to 1966. EXTERNAL FINANCING While internal funds have continued to supply the bulk of the needs of nonfinancial corporations, the share raised externally in credit and equity markets has increased from about one-fifth in the early 1960’s to one-fourth or more in recent years. Last year such financing averaged 26 per cent, and in the first half of 1967 it is estimated to have represented 28 per cent, of the new funds flowing to nonfinancial corporations. Increased reliance on external funds began to show up late in 1964 and coincided with an acceleration in capital expenditures Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

RECENT SHIFTS IN CORPORATE FINANCING 1275 that exceeded the growth in the flow of internal funds. The step-up in market financing to fill the widening gap was first evidenced by a marked increase in both the dollar volume and relative impor­ tance of direct borrowing at banks. Such borrowing rose from an annual average of around $3 billion in the period 1962-64 to $9 billion in 1965, and even in the enlarged total of corporate funds from all sources, the share represented by bank loans more than doubled. The net volume of funds obtained from security issues, on the other hand, was unchanged from 1964 to 1965, and the share of the total represented by these funds declined. Developments in 1966. The pace of corporate borrowing at banks continued unabated in the first half of 1966; in addition, financing in capital markets increased sharply. As a result, total funds raised in financial markets provided nearly one-third of the new funds flowing to nonfinancial corporations. Interest rates rose steeply in this period. Market financing was especially large in the second quarter when corporations were borrowing to cover the acceleration in tax payments. At the same time some were borrow­ ing because they expected that strains on financial markets would be even more intense and interest rates still higher later in the year. The combination of these and other credit demands, in a period of increasing credit restraint, led to a constriction in the avail­ ability of funds—both from institutional lenders and market sources—as the year progressed. Reflecting this and other factors, corporate use of external funds dropped sharply after midsummer and remained relatively low even after the peak pressures in finan­ cial markets appeared to have passed and credit supplies and in­ terest rates had eased somewhat. Thus, borrowing at banks slowed appreciably despite the high rate of inventory accumulation. The volume of funds raised in security markets also moderated—re­ flecting primarily the sharp reduction in funds provided by institu­ tional investors through private placements. But at the same time the gap between capital outlays and internal funds widened further —from the already unprecedented annual rate of $13.5 billion in the first half of the year to $17.0 billion in the second. Nonfinancial corporations were thus faced with the combination of an increasing shortfall of internal funds and a reduced avail­ ability of funds from capital and equity markets. They met this situation by diverting to other purposes some of the funds they would otherwise have applied to the usual seasonal build-up in liquid assets. Also, tax payments did not absorb funds as they had, Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1276 FEDERAL RESERVE BULLETIN • AUGUST 1967 on balance, in the first half of the year. Instead, with payments seasonally low, corporations were accruing more funds to cover future income taxes than they were paying out in such taxes. Shifts in 1967. Reliance on external financing rebounded in the first half of 1967, but such financing did not fully regain the role it had played in the first half of last year. Direct borrowing by nonfinancial corporations at banks continued at the moderate rate of late 1966. It was heavy around tax and dividend payment dates, but over the January-June period demand was moderated by the FLOWS OF FUNDS FOR NONFINANCIAL CORPORATIONS (Billions of dollars) 1966 1 1967 1 1964 1965 1st 2nd 1st H H H INFLOWS—TOTAL................................... 66.8 81.1 95.0 91.7 92.2 INTERNAL FUNDS.................................. 50.5 55.7 59.0 61.7 58.7 Retained earnings2............................. 17.8 20.5 21.8 23.5 19.5 Capital consumption allowances... 32.8 35.3 37.3 38.2 39.2 EXTERNAL FINANCING........................ 13.6 19.2 29.5 17.0 26.0 Bonds and stocks................................. 5.4 5.4 13.6 9.3 14.5 Bank loans3........................................... 3.6 9.3 10.4 4.9 5.1 Mortgages; other loans 3................. . 4.6 4.5 5.5 2.8 6.4 OTHER FUNDS1...................................... 2.7 6.2 6.5 13.0 7.5 OUTFLOWS—TOTAL............................... 63.5 80.8 91.8 89.5 90.8 CAPITAL EXPENDITURES.................... 53.5 63.6 72.5 78.7 70.2 Fixed investment.................................. 47.7 55.9 62.1 64.5 65.1 Change in inventories......................... 5.9 7.7 10.4 14.3 5.1 NET TRADE CREDIT.............................. 5.7 6.4 4.0 2.4 3.2 OTHER USES5.......................................... 4.3 10.8 15.3 8.4 17.4 Discrepancy............................................... 3.3 .5 3.3 2.1 1.4 Memorandum items: (1) Internal funds less capital expenditures.............................. -3.0 -7.9 -13.5 -17.0 -11.5 (2)(1) plus external financing.......... 10.6 11.2 16.0 0.0 14.5 (3) Change in liquid assets............... .6 .7 6.3 -4.1 -5.0 ^^^^^^^S5S4®i&;«j«S®^®^K®^af5^%e7J«i^S^S3a^^^ 1 Half-year figures are seasonally adjusted annual rates. Figures for 1967 are preliminary estimates. 2 Plus inventory valuation adjustment. 3 Bank loans exclude, and mortgages and other loans include, corporate mortgages and open market paper held by banks. 4 Increases in accrued tax liabilities in periods when they were increasing, increases in mis­ cellaneous liabilities, and decreases in total liquid assets in periods when they were decreas­ ing. 5 Increases in liquid assets in periods when they were increasing, increases in holdings of consumer credit and other financial assets, and decreases in accrued tax liabilities in periods when they were decreasing. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

RECENT SHIFTS IN CORPORATE FINANCING 1277 sharply reduced rate of inventory accumulation and by a shift to market financing, both short- and long-term. Sales of short-term open market paper by nonfinancial corpora­ tions—which had been nominal prior to 1966, when they reached $1 billion—rose to a seasonally adjusted annual rate of nearly $4 billion in the first half of 1967. Banks purchased some of this paper and thus supplied funds to nonfinancial corporations in this form as well as through direct loans. Nonfinancial corporations have placed an unusual reliance thus far this year on net new issues of long-term securities. While the total of this financing was only a little larger in dollar terms than in the first half of 1966, it was much larger as a proportion of all corporate external financing—56 per cent, compared with 46 per cent. The shift to long-term capital markets undoubtedly was in part a reaction to the financing difficulties encountered last year. Cor­ porations that had reduced their already low liquid assets then, rather than undertake any external financing, or that had obtained shorter-term funds than they would have liked, could have been expected to schedule security offerings as long-term interest rates declined early in 1967—and this they did. In addition, regardless of whether they had attempted to obtain market financing last year, many corporations may have decided it was prudent to pro­ tect themselves against strains such as those in evidence in 1966 by acquiring long-term funds in advance of need, instead of de­ ferring such financing until long-term interest rates were lower. In part the large volume of security issues in the first half of 1967 reflected the bunching of flotations by companies, especially in manufacturing, that had made little use of the capital markets in recent years. During the early 1960’s, when internally generated funds were large relative to investment outlays, and short-term credit was readily available, many large companies did no financ­ ing in long-term capital markets. Rather, they steadily reduced their liquidity positions and relied on bank credit for funds to meet temporary bulges in financing requirements. Some of these companies came to the capital market last year, but others— perhaps anticipating an early decline in interest rates—continued to borrow at banks or to use their liquid assets. This year a number of very large companies have raised funds in the capital market—some for the first time in a decade—and their issues have tended to be sizable. Public offerings of bond Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1278 FEDERAL RESERVE BULLETIN • AUGUST 1967 issues of $50 million or more have been twice as numerous this year as last. During the period January through April, offerings of this size accounted for 80 per cent of the increase from 1966 in all public offerings. In May and June a number of very large issues were postponed or were reduced in size, and issues of smaller size increased in importance. Shifts between public offerings and private placements. The most striking feature of corporate financing this year has been the unprecedented volume of publicly offered bond issues. Such offerings totaled $7.3 billion in the first 6 months of the year, nearly double the previous first-half record sales last year. And flotations during the summer months have exceeded the January-June monthly average. Beginning late in the first quarter, the market at times became too congested to accommodate all offerings, and new-issue yields rose sharply. In fact, rates recently have been as high as at the 1966 peak, with new high-grade corporate issues yielding 6 per cent or more. As a result, some issues have been postponed or reduced in amount. Others have been split into two parts; one part was sold as had been scheduled, and sale of the other part was arranged on a commitment basis with payment deferred until later in the year. . Record sales of PUBLICLY OFFERED BONDS partly offset 4 by reduced volume of PRIVATE PLACEMENTS Securities and Exchange Commission data on gross offerings in the United States by domestic nonfinan­ cial corporations, banks, other financial institutions (except open-end investment companies), and for­ eign corporations. All data are quarterly averages for the periods covered, as follows: annually, 1957-63; and semiannually (without seasonal adjustment) thereafter. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

RECENT SHIFTS IN CORPORATE FINANCING 1279 The dramatic increase in public offerings of bonds this year was offset to some extent by a marked decline in issues placed privately with institutional investors, particularly life insurance companies. These companies greatly curtailed the making of new commitments for business securities during 1966 as monetary re­ straint resulted in increasing pressure on their own investment funds. The effects of these constraints on the new-commitment activity of life insurance companies and of the efforts of these in­ stitutions to rebuild their liquidity continued to be evident through mid-1967. Thus the volume of privately placed corporate bonds, which had expanded steadily after 1960 while publicly offered issues changed little, dropped sharply in the second half of 1966 and has re­ mained quite low this year. The continued shortage of funds avail­ able for private placement has undoubtedly diverted some long­ term corporate financing into the public market. Issues of financial corporations, which are included in the Securities and Exchange Commission classification of issues by type of offering, were quite small throughout 1966. They were somewhat larger in the first half of 1967, but they still accounted for less than 5 per cent of all corporate security issues, compared with 15 per cent in 1965. CORPORATE LIQUIDITY An important question for the future behavior of corporations and of security markets is whether corporate financial develop­ ments so far this year have resulted in an improvement in the liquidity position of corporations. In the current situation no single statistic, even among the conventional indicators of cor­ porate liquidity, provides the answer to this question. Viewing the situation as a whole, one can probably conclude that the cor­ porate liquidity position, defined broadly, has undergone some improvement. With the gap between internal funds and capital outlays much narrower in the first half of 1967 than in the second half of last year, and long-term financing in capital markets much larger, a rise in the liquid asset holdings of corporations was to be ex­ pected. Such holdings did rise moderately in the first quarter, after seasonal adjustment, but this increase was probably much more than offset in the second quarter by reductions in holdings asso­ ciated with the much larger than usual payments of income taxes. Furthermore, despite the fact that a substantial proportion of Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1280 FEDERAL RESERVE BULLETIN • AUGUST 1967 the funds raised by nonfinancial corporations through sale of long­ term securities this year were scheduled to be used to repay bank loans or otherwise rebuild liquidity, the ratio of liquid assets to total current liabilities—the conventional liquidity ratio—showed about the usual seasonal decline in the first quarter. At the end of the quarter, corporations held only $24.60 in cash, bank deposits, and U.S. Government securities for each $100 of total current liabilities—another new low for this liquidity measure, which has been declining almost steadily for many years. Just how soon one should expect the liquidity ratio to improve is a question. It is possible that the ratio would not have shown any improvement as early as the first quarter—perhaps because the proceeds of long-term financing in January-March were used initially for other purposes—and that it may not have shown in the second quarter either—because of the large drains on liquid assets then to meet tax payments. It is also possible that this particular ratio will not show any Securities and Exchange Commission data for all U.S, corporations except banks, insurance companies, and savings and loan associations. End-of-quarter figures, without adjustment for seasonal variation. Liquid assets comprise cash, bank deposits, and U.S. Govt, securities. The liquidity ratio shown is the ratio of these assets to total current liabilities. Latest data shown, first quarter of 1967. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

RECENT SHIFTS IN CORPORATE FINANCING 1281 improvement—at least not in the aggregate figures—over the rela­ tively near future. After a prolonged period in which there have been only nominal additions to aggregate liquid asset holdings in the face of enormous increases in aggregate corporate current liabilities, massive amounts of new long-term funds would be re­ quired to change the trend in the conventional liquidity ratio. An individual company, of course, can undertake a major long-term financing and thereby raise its liquidity ratio quickly. But for the liquidity ratio of corporations as a whole to have declined only half as much as it did from the end of 1966 to mid-1967, corporations would have needed to raise a considerably larger volume of long-term funds in that period than the record amounts they actually raised, and to have applied all of the additional proceeds to the acquisition of liquid assets; and if they had used some of the additional funds to repay short-term debts, even larger amounts of security issues would have been required to raise the ratio significantly from its estimated mid-1967 level. However, in the present situation, changes in the ratio of liquid assets to current liabilities may not, by themselves, be particularly meaningful measures of changes in liquidity. The fact that liquid asset holdings are currently only one-fourth the level of current liabilities has certain arithmetic consequences for the interpreta­ tion of changes in the liquidity ratio. Thus, in evaluating the significance of the drop in the ratio this year, it is important to note that both liquid assets and current liabilities declined, that a substantial part of the decline in liabilities was associated with a new seasonal pattern in income tax payments, and that the ratio of the liquid assets acquired for tax purposes to accrued tax liabilities is much closer to 1:1 than to the 1:4 relationship between total liquid assets and total current liabilities. Under these circumstances, if the decline in liquid assets this year was associated with a much larger dollar reduction in short-term debt —as was in fact the case—then corporations can be said to have improved their liquidity position even though the decline in liquid assets did not bear the 1:4 relationship to the drop in current liabilities that would have been required to keep the liquidity ratio from falling. Moreover, the reduction in corporate short-term debt so far this year, combined with the extraordinary volume of financing in security markets, has resulted in a lengthening of the average maturity of corporate debt. This shift in itself represents a signifi­ cant increase in the liquidity of corporate balance sheet structures. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

Staff Economic Studies The research staffs of the Board of Gover­ In all cases the analyses and conclusions nors of the Federal Reserve System and of set forth are those of the authors and do the Federal Reserve Banks undertake studies not necessarily indicate concurrence by the that cover a wide range of economic and Board of Governors, by the Federal Reserve financial subjects, and other staff members Banks, or by members of their staffs. prepare papers related to such subjects. In Single copies of the full text of each of some instances the Board finances similar the studies or papers that are summarized studies by members of the academic pro­ below are available in mimeographed form. fession. The list of Federal Reserve Board publica­ From time to time the results of studies tions at the back of each Bulletin includes that are of general interest to the economics a separate section entitled “Staff Economic profession and to others are summarized— Studies" that enumerates the studies for or they may be printed in full—in this sec­ which copies are currently available in that tion of the Bulletin. form. Study Summaries THE BOOM IN OFFICE BUILDINGS Robert Moore Fisher—Staff, Board of Governors Prepared as a staff paper in early 1967 This background paper explores the postwar income likely to be generated by the in­ construction boom in office buildings—in­ dustry in the future. cluding supply, demand, financing, leasing, Office buildings have, to some extent, and operation. The analysis focuses on a certain economic characteristics common to form of fixed investment that has been all types of income-producing real estate. undergoing its first production boom in a They are all exposed in varying degree to generation, financed largely by a rapid changes in ways of producing and distribut­ expansion in mortgage credit. With a ing goods and services and to shifts in the checkered history of boom and bust, office­ location of urban activities. They function in building activity at present raises questions markets where the demand for usable space about the course of output, employment, and tends to be more flexible over the short run 1283 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1284 FEDERAL RESERVE BULLETIN • AUGUST 1967 than the supply of it. They are sensitive in local office-building markets. But over the some measure to changes in the cost and longer run, office building seems likely to availability of mortgage funds, and finally, persist in large volume in numerous areas they provide multiple opportunities for in­ to the extent that general credit conditions come and employment. are favorable. New construction, however, This paper suggests how these economic will probably react more sensitively than it characteristics pertain to office buildings. did in the past to changes in broad-based Drawing on statistical and other materials underlying demands for high-quality office plus field interviews, the paper emphasizes space—in part because earlier demand certain aspects of office buildings that affect backlogs have now been mostly worked off. their value as loan collateral. Still other as­ Local market conditions will remain clouded pects are explored that influence the ability by uncertainties that stem from the tendency of office buildings to generate revenues for a few new large office buildings to domi­ adequate to repay any credit advanced nate the available supply of prestige-type against them. floor space and from the prominent role The paper concludes that a period of often played by public as well as private in­ testing lies immediately ahead for numerous stitutional users of office floor space. CUSTOMERS VIEW BANK MARKETS AND SERVICES: A SURVEY OF ELKHART, INDIANA George G. Kaufman—Staff, Federal Reserve Bank of Chicago Report prepared to present the principal findings of a survey conducted in May and June 1966 under the auspices of the Federal Reserve Bank of Chicago How well commercial banks serve the needs to the survey was highly satisfactory; usable of their respective communities is of interest questionnaires were returned by about 1 in two respects: because of general concern per cent of the households and almost 30 with the economic performance of any in­ per cent of the business establishments. The dustry and because banking, unlike most response ratio was found to be sensitive to other industries, is regulated as to the num­ the contents of the cover letter accompany­ ber and type of units that may be estab­ ing the questionnaire. lished. This study was designed to test The survey indicated that the market for means of obtaining information from users banking services is largely local. Almost of banking services, as well as of obtaining all Elkhart firms and households had Elk­ information on the demand for and supply hart banks as their primary banking connec­ of banking services pertinent to bank tion, although the much larger South Bendsupervisory responsibilities of the Federal Mishawaka metropolitan area is located Reserve System. only 15 miles to the west. Firms using banks Random samples of households and outside Elkhart were primarily larger firms; business firms in Elkhart, Indiana—a com­ households used such banks only when the munity of some 45,000 residents—were head of the household was employed out­ surveyed by mail in mid-1966. The response side Elkhart, and, with but one exception, Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

STAFF ECONOMIC STUDIES 1285 the banks were in the city of his employ­ respondent households had checking ac­ ment. One-half of both the firms and house­ counts. Loan services were used by business holds used more than one bank, most of firms next most frequently, while savings which were also located in Elkhart. accounts were second for households. Convenience and quality of services were About 20 per cent of the firms and 40 considered most important in selecting a per cent of the households also employed primary bank. The large majority of both one or more services of nonbank financial firms and households chose the bank most institutions: firms primarily for credit convenient to them. The localized nature of services and households for both credit and bank markets was also indicated by the savings services. Both business and house­ small number of respondents who reported hold customers were generally well satisfied that they would transfer to banks outside with the banking services in Elkhart. How­ Elkhart if they were to make a change. All ever, loan services were rated somewhat less business firms and the great majority of favorably than deposit services. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

Interest Cost Effects of Commercial Bank Underwriting of Municipal Revenue Bonds The question whether commercial banks revenue and general obligation bonds cannot should be allowed to underwrite municipal isolate the relative significance of bank revenue bonds of investment grade has been underwriting. Unfortunately, there is no debated for many years. One major point of definitive way to adjust for these other fac­ continuing disagreement in this debate is tors; the calculation must be based on whether a broadening of revenue bond certain assumptions which are themselves underwriting to include banks would create more or less approximations. Different significant savings in borrowing costs for people will make different assumptions, and State and local governments. they will come up with somewhat different This disagreement cannot be resolved results. simply by comparing actual borrowing costs on general obligation municipal bonds— BACKGROUND OF FEDERAL RESERVE STUDY which commercial banks already underwrite —with similar costs on municipal reve­ At the request of Senator William Proxmire, nue bonds. Revenue and general obligation Chairman of the Subcommittee on Financial bonds are different in major respects other Institutions of the Senate Banking and Cur­ than the presence or absence of bank under­ rency Committee, the staff of the Board of writing. For example, revenue issues tend Governors of the Federal Reserve System on the average to be of longer maturity and made a statistical comparison of revenue larger size, and the investors rating services and general obligation bonds that attempts give them somewhat lower investment rat­ to allow as well as possible for the other var­ ings on balance; and in contrast with general iables mentioned above and to estimate the obligations, a sizable share of total revenue range within which State and local govern­ bond offerings are not rated at all. Without ment borrowing costs might conceivably be adjustments for these other variables, simple reduced if commercial banks were permitted comparisons of actual borrowing costs on to underwrite re’venue bonds. The particular revenue and general obligation bonds se­ Note—A preliminary version of this article was lected for comparison were determined by submitted to the Subcommittee on Financial Institu­ the specifics of the Senator’s request, from tions of the Senate Banking and Currency Committee which the following key paragraph is quoted: by the staff of the Board of Governors of the Federal Reserve System on July 21, 1967. This article was “I would like to ask the Board to undertake a prepared by Peter M. Keir and James Kichline of the Capital Markets Section of the Board’s Division complete and thorough investigation as to the of Research and Statistics. Copies of the two appen­ annual amount of savings, if any, which may dices—(1) Structure of the Sample, and (2) Regres­ accrue to State and local governments as a result sion Analysis—that were attached to the original ver­ of this measure (Senate bill S. 1306 which would sion submitted to the Subcommittee are available on request to Publications Services, Division of Adminis­ permit commercial banks to underwrite munici­ trative Services, Board of Governors of the Federal pal revenue bonds of investment grade). I would Reserve System, Washington, D.C. 20551. hope that in studying this question you would go 1287 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1288 FEDERAL RESERVE BULLETIN • AUGUST 1967 beyond the scope of your previous staff studies. relation to municipal borrowing costs will The time period covered by the study should be help to explain the conceptual framework long enough to insure that the results were not on which the analysis is based. affected by isolated circumstances. The study The bond underwriting process. When should hopefully cover all issues, small and large, find include negotiated issues as well as issues on State and local governments finance through which there are competitive bids.” the issuance of bonds, they incur two kinds of borrowing costs. The more important is Coverage of study. Altogether the study the interest rate paid to investors (lenders) compared 385 revenue bonds, totaling $2.3 who acquire the bonds; such payments must billion, with 1,766 general obligation issues, be made regularly over the bond’s full life. totaling $7.9 billion, all listed in Moody’s The other type of cost is a one-time fee paid Aa, A, or Baa rating categories and offered to bond underwriters when the issue is during the first 6 months of 1964, 1965, or offered. In return for this fee the underwrit­ 1966.1 The smaller volume of revenue issues ers take full responsibility for retailing the in the sample reflects the facts that total new bond to investors, and by acquiring the offerings of general obligations generally issue outright from the borrower, they as­ run more than twice the volume of revenue sume the market risk that bond prices may issues and that more revenue than general fall while the new issue is still being dis­ obligations issues are unrated. Revenue is­ tributed. sues in the sample accounted for about 80 per cent of the total volume of revenue Most municipal bonds—whether general bonds issued in the three rating categories obligation or revenue—are offered pub­ during the three half-year periods, while licly for competitive bidding. Underwriting general obligation issues in the sample ac­ groups who compete in such biddings tender counted for over 90 per cent. a single bid price for the entire issue in the Because of the difficulty in tracking down expectation that they can resell it to inves­ the requisite data on such a large number of tors at a higher price. The bid that wins, in individual issues from published sources, conjunction with the coupon rate on the and because published information on many bond, determines the borrower’s net interest smaller issues was not available, data used cost, which covers both the interest yield to in the study were collected through use of the lender and the underwriting fee.2 a questionnaire mailed to 307 different In attempting to set the requisite bid underwriters. As of the cut-off time for price, the underwriting group first reaches tabulation of results, replies had been re­ a decision on two other prices. The more im­ ceived from 242 firms. portant is the reoffering price, which is de­ Before proceeding to an analysis of the termined by the yield at which the syndicate study’s findings, a brief review of the nature thinks it will be able to make an orderly reof the bond underwriting process and its ■ When the new issue is a negotiated rather than a 1 Issues rated Aaa were omitted because they in­ competitive offering, the bid price (and hence the clude so few revenue bonds; issues of less than $600,­ net interest cost) is set by direct bargaining between 000 were excluded because they are not rated by the the borrower and a single underwriting group rather investors services; and unrated issues were excluded than by sealed bids from one or more groups. Other­ because quality differences bulk so large in account­ wise, pricing considerations on competitive and nego­ ing for yield differentials. tiated issues are the same. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

UNDERWRITING OF REVENUE BONDS 1289 sale of the issue to investors;1 Obviously, to gether with the coupon (or coupons)—de­ insure a successful bond offering, the re­ termines the net interest cost to the bor­ offering yield must be sufficiently attractive rower. to elicit participation by enough investors to From this brief review of the relation­ attain full distribution. Consequently, when ships among reoffering yield, underwriters’ setting this yield, the underwriting group spread, and net interest cost, it is clear that, must accurately assess the prevailing state for commercial bank underwriting of reve­ of the bond market, including the supply of nue bonds to achieve the stated objective of similar securities being offered for sale and lower municipal borrowing costs, bank the strength of investor demand for such competition would have to induce either a issues. narrowing of the average underwriter’s After determining the necessary reoffering spread on such issues, or a reduction in the price, the group then decides what fee or average reoffering yield to investors. Be­ underwriting spread is likely to be needed to cause analysts disagree on the extent to cover the management and selling costs in­ which these changes would, in fact, occur, curred in distributing the new issue, as well the debate continues. as to compensate the group for assuming the Statistical studies seeking to throw some market risk. Allowance for market risk is light on the effects of bank underwriting understandably the most variable element have typically proceeded in the following in the spread. Any special factors that seem steps: to increase the chance of a price decline be­ (1) Average underwriting spreads and fore the issue can be fully distributed will reoffering yields have been identified for (other things being equal) contribute to a representative groups of revenue and general larger spread. Among these are such things obligation bonds. as expectations of rising long-term rates, long average maturities, unusually large (2) Persistent differences between the offerings, and low investment ratings.1 averages on revenue and general obligation Finally, the residual obtained by sub­ bonds have then been adjusted statistically tracting the underwriting spread from the to allow for differences in such things as initial reoffering price gives the group the rating, maturity, and size, in order to de­ price it should bid (with a given coupon as­ termine whether the adjusted underwriting sumed). If this bid wins, that price—to- spreads and reoffering yields on revenue '' The reoffering price, taken in conjunction with the over a period of time and ultimately succeeds in bond coupon, determines the yield to final holders. catching a better market.) If bond prices do decline When the new bond has more than one maturity, as before a new issue has been fully distributed, the most municipals do, the reoffering price is actually an underwriting syndicate is terminated. To achieve a full average of a series of reoffering prices set for each distribution of the issue, members of the syndicate maturity. These prices—in conjunction with the cou­ then cut reoffering prices. On occasions when bond pons for each maturity—provide a series of reoffering prices are changing rapidly, the depth of price cuts yields to investors at different maturity dates. needed to float such an issue sometimes carries the 4 In evaluating the significance of market risk, it reoffering price substantially below the initial bid should be noted that the odds that the underwriter price, more than eliminating the underwriter’s spread will have to sell some part of a new issue at prices on the unsold portion of the bond. On the other hand, below the initial reoffering price are often fairly if bond prices rise generally while the issue is still in high, whereas his chances of selling at a price above syndicate, investors usually snap up the offering at the reoffering price are virtually nil (unless he is will­ the initial syndicate reoffering price and underwriters ing to carry poorly received issues in his own portfolio do not benefit. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1290 FEDERAL RESERVE BULLETIN • AUGUST 1967 bonds continue to show a persistent net ex­ change investor attitudes. If bank entry did cess over those on general obligations. encourage more investment demand for (3) To the extent adjusted excesses are revenue issues, either from the underwriting still present, a judgment has then been banks themselves (on direct takedowns into made whether (a) the excesses continue to their own portfolios) or from their custo­ reflect other variables not yet allowed for in mers, the yield spread would tend to narrow. the statistical analysis which would not be But even in the latter case, if any resulting affected by added competition from bank decline in reoffering yields on revenue issues underwriting; or (b) they reflect only a lack were largely at the expense of offsetting yield of bank competition which, when corrected, advances on general obligations (with de­ might be expected to eliminate the remain­ mand simply shifting from one market to ing excesses. another), there might still be little net sav­ ing in total State and local government bor­ Continuing disagreement on the statistical rowing costs, even though individual bor­ estimates of potential savings in borrowing rowers in the revenue bond market might costs stems chiefly from different judgments gain some advantage at the expense of bor­ about average reoffering yields reached rowers in the general obligation market. under step (3). Thus, while there is general With little evidence available to indicate recognition that average reoffering yields how to judge which of the preceding logical on revenue bonds have consistently ex­ possibilities are most likely, it is easy to ceeded those on general obligations (even understand why opinions about the effects of after adjustment for rating and maturity), bank underwriting on revenue bond reoffer­ there is disagreement as to whether the entry ing yields continue to differ. of banks into underwriting and trading of revenue bonds would tend to narrow this SUMMARY OF FINDINGS spread. The statistical comparisons developed by If the persistent excess in reoffering yields this study show that over the three half-year on revenue bonds is due to a basic difference periods reviewed, average reoffering yields in investor receptivity (that is, investors for municipal revenue bonds exceeded those think a revenue bond of a given rating is fun­ for general obligation bonds of equivalent damentally more risky than a general obliga­ rating and maturity by an average of about tion of the same rating), and if this differ­ 0.09 of a percentage point. The study also ence in receptivity does not reflect the fact suggests that after adjustment for rating and that banks are excluded from revenue bond maturity, the average underwriting spread markets, obviously there is no reason to ex­ paid for revenue bonds exceeded that on pect bank underwriting of revenue issues to general obligations by about 0.006 of a per­ narrow the spread. centage point (when converted to an annual On the other hand, if the observed differ­ interest cost through prorating over the 18ence in investor receptivity arises partly be­ year average life of a typical revenue bond). cause restrictions on bank underwriting Assuming (1) that entry of banks into the make for less effective secondary markets underwriting of revenue bonds would, in in revenue than in general obligation issues, fact, put reoffering yields and underwriting entry of banks might lead to some improve­ spreads for revenue bonds on a complete ment in the secondary market and help to par with those for general obligations and Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

UNDERWRITING OF REVENUE BONDS 1291 ( 2) that bank entry would not cause any rowing costs from bank underwriting may offsetting rise in general obligation yields, not be so large as the .096 of a percentage then the maximum possible reduction in point spread figure cited above. Rather, it State and local government borrowing costs appears to fall somewhere between zero would be about .096 of a percentage point and that figure. per year. This is about 2.5 per cent of the If one recognizes that just where in this average 3.75 percentage points of annual range the true effect of bank underwriting net interest costs (including underwriting may lie is a matter of judgment rather than fees) being paid by State and local govern­ fact, the limited evidence on revenue issues ments on Aa, A, and Baa revenue bonds already underwritten by banks seems to offered during the first half of 1966. suggest that complete elimination of the A reduction in the average reoffering yield 0.09 of a percentage point excess of re­ is clearly much more important to any ef­ offering yields on revenue bonds is too much fective lowering of municipal borrowing to expect. If no more than 0.05 of a per­ costs than a narrowing of the underwriting centage point of the excess could be elimi­ spread. But unfortunately, changes in the nated (assuming no offsetting increases in average reoffering yield are exactly the area reoffering yields on general obligations) and where estimates of likely results differ the if the full amount of the 0.006 of a percent­ most. In the absence of sufficient evidence of age point differential in underwriting spreads what might be, all estimates are necessarily could be saved, and if allowance is made heavily weighted by judgment. Moreover, for the fact that the savings in under­ even estimates of the rather minor possibili­ writers’ fees that would occur in the first ties for change in the average underwriting year would be available to earn compound spread are limited by continuing differences interest, then bank underwriting of revenue of opinion about the appropriate statistical issues would have permitted State and local adjustment for average maturity (explained governments to save $1.9 million per year later). over the life of the approximately $3.0 bil­ One bit of evidence that throws some lion of new revenue bonds of investment light on the reoffering yield question is the grade issued in 1966.5 This compares with a relative performance of the few revenue total per-year borrowing cost of about $ 113 bonds that banks have already been allowed million actually incurred on these issues. to underwrite as a result of favorable rulings Since the average maturity of the bonds by the Comptroller of the Currency. The sold was about 18 years, a $1.9 million sav­ ings in borrowing costs per year would number of such issues is exceedingly limited, amount to about $34 million over the full and the evidence on them difficult to inter­ life of the bonds. But dollars saved many pret, but for what it is worth, the evidence years hence are less valuable than dollars shows that average reoffering yields on such issues have probably not declined very much "The figure applied to the $3.0 billion is 0.05 4­ relative to those on other revenue bonds. 0.013 where the 0.013 is the value of 0.006 at the end of 18 years (see the discussion of potential sav­ This has been so even though commercial ings and Table 11). The $3.0 billion of investment­ banks have taken advantage of the opportu­ grade bonds issued in 1966 represents a figure rounded in an upward direction in order to take nity to participate in their underwriting. In into account unrated issues of investment grade and short, the range of possible change in bor­ the large future growth potential of revenue bonds. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1292 FEDERAL RESERVE BULLETIN • AUGUST 1967 saved today since today’s dollars can be of comparable rating and maturity offered invested to earn interest at a compound within the same week.0 The resulting spreads interest rate. When measuring the size of were then weighted by the volume of reve­ total savings in borrowing costs over the nue issues sold within the week and com­ life of a bond, it is, therefore, appropriate bined into averages. These calculations pro­ to remove (or discount) the compound vided a weekly spread series adjusted for interest factor. On this basis, the present maturity and rating that holds the in­ value of the $34 milion becomes $22 mil­ fluence of changes in interest rates constant. lion (when the 5 per cent average return In using the series for comparisons between that State and local governments might earn time periods, one has to assume that during on investments in U.S. Government securi­ any general advance or decline of municipal ties is used as the appropriate discount rate). bond yields, levels of reoffering yields on If this $22 million of savings had oc­ new general obligations and revenue bonds curred, total borrowing costs incurred over will move about in tandem and not introduce the life of the 1966 bonds would have any significant widening or narrowing of av­ dropped from $1,322 million to $1,300 erage spreads due simply to lagged relation­ million. It should be noted, however, that ships. Review of actual market experience even this figure cannot be accepted as a firm with new revenue and general obligation of­ estimate of annual interest cost savings ferings suggests that this assumption is not likely to result from commercial bank under­ unreasonable. writing of revenue bonds, for under differ­ When the weekly figures on yield spreads ent assumptions about investor preferences are combined into a weighted average for the estimated saving could be reduced nearly all of the rating and maturity groups over all to zero. of the half-year periods surveyed, the re­ sulting measure of central tendency shows that reoffering yields on revenue issues per­ The analysis and evidence on which the pre­ sistently exceeded those on general obliga­ ceding staff findings are based are discussed tions by 0.08 to 0.09 of a percentage point. in detail below. This combined average is about the same Reoffering yields. To isolate the basic whether the initial spread calculations are difference between reoffering yields on reve­ made aganist the Bond Buyer new issue nue and general obligation bonds, adjust­ series or against the average for general ob­ ments had to be made for maturity, rating, ligations included in the sample. and the possible distortion of yield spreads The 0.08 to 0.09 of a percentage point between issues offered at two different dates measure of central tendency is also con­ by general changes in the level of bond sistent with results obtained by regression market yields in the intervening period. To analysis—in which the type of offering adjust for maturity and rating, reoffering (revenue or general obligation) is one of a yields were compared on 5-, 10-, and 20number of independent variables used to year maturities of revenue and general obli­ gation bonds with equivalent investment 11 Two different types of yield averages on GO’s ratings. were used as a base in making the spread calculations: To adjust for time, yields on individual one was the weekly Bond Buyer series on reoffering yields for new GO issues at given maturities, and the revenue issues were subtracted algebraically other was a similar series calculated from the GO’s from yield averages for general obligations included in the study sample, Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

UNDERWRITING OF REVENUE BONDS 1293 explain reoffering yields on the issues in the to offer a promising source of evidence. study sample. This analysis shows that, other Logic suggests that two types of analysis things being equal, when an issue is a reve­ would be useful: (1) the comparison of re­ nue bond rather than a general obligation offering yields on bonds issued by the same bond, about 0.08 of a percentage point is borrower before and after its bonds were added to its reoffering yield. A figure of declared eligible for bank underwriting (in 0.09 was used in the summary. order to determine whether the spread with When the over-all spread in reoffering reoffering yields on comparable general yields calculated by the first method is disag­ obligations in fact tended to close up); and gregated according to investment rating (2) a comparison of reoffering yields on revenue issues already being underwritten by TABLE 1 banks with those on revenue issues that are EXCESS OF REOFFERING YIELDS OF MUNICIPAL still ineligible (in order to determine REVENUE BONDS OVER GENERAL OBLIGATIONS > whether reoffering yields on the former tend (Weighted half-year averages of weekly differences, in percentage points) to be lower). Unfortunately, both types of comparisons Rating, and maturity (in years) 1964 1965 1966 are difficult to interpret because of the many Aa influences other than the presence or ab­ 5................................................. .07 .03 .08 10.................................................. .06 .05 .08 sence of bank underwriting that may ac­ 20.................................................. .07 .10 .09 count for differences in yield spreads. Be- A 5.................................................. .10 .07 .12 fore-and-after comparisons for the same 10.................................................. .12 .10 .12 20................................................ .06 .10 .15 borrower are complicated, for example, be­ Baa 5............................................ .06 .05 .09 cause investment ratings of some borrowers 10.................................................. .06 .09 .11 20.................................................. .01 .08 . 15 have changed over time (and investor atti­ Total................................................ .07 .08 .11 tudes toward given borrowers sometimes change even though ratings do not); be­ 1 Reoffering yields for individual revenue bonds were compared, for appropriate maturity and rating categories, with the Bond Buyer cause given issues of the same borrower may average of yields on new general obligation bonds. differ from others owing to the different uses groups and time periods, as in Table 1, the to which the proceeds will be put; and be­ excess of yields on revenue issues over cause new-issue yields may change more general obligations ranges from about 0.05 sharply in periods of rapid interest rate to 0.15 of a percentage point. The spreads change than the standard yield averages differ by maturities and investment ratings available as benchmarks to adjust for gen­ and are generally higher in all maturity and eral interest rate fluctuations. Finally, re­ rating groups during the first half of 1966— offering yields set on given issues and evi­ when bond market conditions were generally dent in the observed data may in fact have restrictive—than in the first half of 1964— proved to be an incorrect estimate of market when bond markets were easy. conditions by the winning underwriting syn­ Since a judgment of the likely effect of dicate. Similarly, comparisons of yields on bank underwriting on average reoffering yields is so crucial to any estimate of poten­ revenue issues that are eligible for bank tial savings in borrowing costs, analysis of underwriting with the bond averages devel­ the cost experience of borrowers whose oped by the study for issues that are not revenue bonds have already been declared eligible are difficult because of such things eligible for bank underwriting would seem as differences in size and average maturity Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1294 FEDERAL RESERVE BULLETIN • AUGUST 1967 of the issues involved and because many of the revenue bonds of the borrowers listed the issues in question are not rated by in Table 2 show a large continuing spread Moody’s. in excess of those set for general obligation On the face of things, reoffering yields on bonds of equivalent rating and maturity even after the bonds became eligible for TABLE 2 bank underwriting. The spread on the Lou­ YIELD COMPARISONS BEFORE AND AFTER COMP­ isiana bond offered in November 1966 does TROLLER'S RULINGS ON SELECTED REVENUE BONDS DECLARED ELIGIBLE FOR BANK UNDER­ show an appreciable narrowing. But from WRITING the evidence in the table one cannot tell Spreads from Bond Buyer's new whether the sharpness of this change might weekly issue series on GO’s (in percentage points) reflect an attempt by the underwriter to lead Borrower, and Amount date of issue ( o in f d m o i l l l l a io rs n ) s 5-year 10-year 20-year the market down—since during this period matu­ matu­ matu­ bond rates generally were beginning a steep rity rity rity decline—or possibly increased investor State of Illinois acceptance of a debt offering by this rela­ Building Authority1 Before: tively new agency. Mar. 25, 1965.. 25,0 + .25 + .28 + .38 The evidence on the two Pennsylvania After: June 28, 1966.. 39.1 + .27 + .27 + .33 Authority bonds listed in Table 2 seems to Nov. 29, 1966. . 17.6 + .34 + .37 + .43 show more of a tendency toward some nar­ Louisiana Capital Construction & Im­ rowing of spread. But a more careful anal­ provement Com­ mission 2 ysis of other forces that may also have been Before: Feb. (,1966.. 30.0 + .31 + •31 + .27 at work is needed. In short, while there may After: be grounds for suspecting that the avail­ Sept. 8,1966.. 15.0 + .26 + .30 + .32 Nov. 29, 1966.. 15.0 + .17 + .18 + .19 ability of bank underwriting has benefited somewhat the borrowers listed in Table 2, Spreads from IBA monthly median reoffering yields on GO’s there is nothing in the evidence presented (in percentage points) to suggest that the influence has been very 5-year 10-year 20-year matu­ matu­ matu­ powerful. rity rity rity Underwriting spreads. Logic suggests that Pennsylvania State Highway & Bridge underwriting spreads should be larger, under Authority 3 any or all of the following circumstances: the Before: Sept. 13, I960., 10.0 + .05 + .10 + .20 lower the investment rating on the issue in After: question, the longer the average maturity, Oct. 15,1963.. 35.0 + .05 + .05 + .10 June 16, 1964., 25.0 + .02 + .05 Not the greater the uncertainty about near-term reoffered J J u an n . e 2 1 9 1 , ,1 1 9 9 6 6 6 6 . . . , 2 2 5 5. . 0 0 + . . 0 0 0 5 + . . 0 0 5 0 + + . . 0 0 5 5 bond market conditions, and the smaller the Nov. 29, 1966.. 25.0 + .15 + .20 + •14 number of bidders. Bonds with low invest­ Pennsylvania General State Authority1 ment ratings are more costly to promote, Before: and because of a thinner market they carry Mar. 14, 1961.. 25.0 + .10 + .10 + .15 Mar. 13, 1962. . 25.0 -.05 -.05 -.05 Mar. 5, 1963.. 25.0 + .15 + .25 + .25 Notes to Table 2: After: July 9,1963.. 50.0 .00 + .17 + .22 1 Standard and Poor’s AA; no rating by Moody’s. Feb. 18,1964.. 50.0 + .05 + .10 + .20 2 Moody’s A; Standard and Poor’s AA. Sept. 15, 1965.. 50.0 + .05 + .10 + .15 •’ Moody’s Aa; Standard and Poor’s AA. Mar. 1, 1966.. 50.0 .00 + .20 + .30 Note.—Comparisons before 1963 are limited to spreads from ^tM tj^^ysar.^^a^Ki^tts^wvisci^.r':*eU^*+2«S^3S»%4*2*^sss^ftKasajaawnsi-^.j.'«2^ea^K>s48««area-KAoeaKUwasHes^l IBA (Investment Bankers Association Statistical Bulletin) For notes see opposite column. yields because Bond Buyer data were not available. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

UNDERWRITING OF REVENUE BONDS 1295 a greater risk. Bonds with longer maturities TABLE 4 are also more risky since price declines per AVERAGE EXCESS OF UNDERWRITERS' SPREAD ON REVENUE BONDS OVER THAT ON GENERAL basis point of yield advance are larger, the OBLIGATION ISSUES longer the maturity.7 While small issues will (In dollars per $1,000 bond) require larger selling outlays per dollar of bonds offered, large issues may be more Year Aa A Baa difficult to distribute quickly, and hence will 1964.................................. 2.09 1.78 2.09 incur more market risk. Since revenue bonds 1965.................................. 2.29 2.29 2.61 on balance carry lower investment ratings 1966.................................. 2.38 2.75 3.29 than general obligations and are of longer average maturity and larger size, it is not for) the importance of average maturity surprising that their underwriting spreads and shows that as interest rates rise and are typically larger than those on general market uncertainty deepens (for instance, obligations. from the first 6 months of 1964 to the first 6 The influence of investment rating on months of 1966), underwriting spreads underwriting spreads is illustrated by Table widen. In addition, Table 3 illustrates the 3, which also suggests (but does not correct persistent tendency for spreads on revenue issues to exceed those on general obligations in the same investment rating categories. TABLE 3 The magnitude of these differences is indi­ AVERAGE UNDERWRITING SPREAD FOR GENERAL OBLIGATION AND COMPETITIVE REVENUE BONDS cated more clearly by Table 4. Table 4 makes no allowance for the Average spread Average Period, and type of bond (in dollars per maturity Number of known significance of maturity differences $1,000 bond) (in years) issues to underwriting risk, however. Since general First half 1964 obligation bonds covered by the study car­ General obligation: ried an average maturity of less than 13 Aa............................. 8.77 12 118 A............................... 10.30 13 289 years, nearly 5 years shorter than that on Baa.......................... 12.52 14 180 Competitive revenue: the revenue issues covered, this factor of Aa............................. 10.86 16 18 A............................... 12.08 17 46 maturity differences is clearly important. Baa........................... 14.61 21 23 Table 5 provides an arithmetical example First half 1965 that shows how much larger the erosion of General obligation: Aa............................. 7.92 11 117 A............................... 9.13 12 303 Baa............................ 11.62 14 182 TABLE 5 Competitive revenue: ARITHMETIC OF MATURITY AND MARKET RISK Aa............................. 10.21 18 15 A............................... 11.42 17 52 Baa........................... 13.68 19 23 Assuming a yield advance of 0.05 of a percentage point on a bond with 3)4 per cent coupon, initially First half 1966 trading at par General obligation: Aa............................. 8.36 12 118 A............................... 10.48 12 250 Price before Price after Baa........................... 13.03 13 151 Maturity yield advance yield advance Change (in years) (in dollars) (in dollars) (in dollars) Competitive revenue: Aa............................. 10.74 15 27 A............................... 13.23 17 50 10............... 1,000.00 995.80 -4.20 Baa........................... 16.32 19 30 20.......................... 1,000.00 992.90 -7.10 25.......................... 1,000,00 991.80 -8.20 ’A basis point in yield equals 0.01 of a percentage 30........................... 1,000.00 990.80 -9.20 point. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1296 FEDERAL RESERVE BULLETIN • AUGUST 1967 the underwriter’s dollar spread becomes on TABLE 6 long-term issues as compared with shorter- AVERAGE EXCESS—ADJUSTED FOR AVERAGE MA­ TURITY—OF UNDERWRITERS’ SPREAD ON REVE­ term issues when yields advance. The table NUE BONDS OVER THAT ON GENERAL OBLIGATION assumes a general advance in market yields ISSUES i of 0.05 of a percentage point. While a yield (tn dollars per $1,000 bond) advance of this size within the period of a few days (that is, a normal underwriting Year Aa A Baa period) is admittedly quite large, changes 1964............................. 1 09 20 of such magnitude and timing have occurred 1965.................................. 40 94 I 26 fairly often in recent years. When they do, 1966................................. 1.57 1.40 1.67 the attrition in underwriting spreads can be Over-all weighted average............................. .99 1.03 .96 substantial, as Table 4 indicates. To try to quantify the relative significance 1 Each year of added maturity is equivalent to $0.27 in under­ writers’ spread. of average maturity and variables other than type of issue that might help to explain the spread in an effort to measure directly the relative size of underwriting spreads, regres­ average difference in underwriting spread sion equations were estimated with dollar between revenue and general obligation underwriting spread as the dependent varia­ bonds when all other variables affecting ble. While time did not permit a precise spread were held constant. This alternative specification of all of the relevant variables measure showed the average difference to involved (such as measures of changes be about $0.70 per $1,000 bond. in underwriters’ interest rate expecta­ In short, the above analysis suggests that tions), the equations run did show average on the average underwriting spreads on rev­ maturity to be a significant explanatory enue bonds exceed those on general obliga­ variable—accounting for about $0.27 of the tions by about $0.70 to $1.00 per $1,000 underwriters’ spread for each year of added bond after allowance for other factors that maturity per $1,000 bond. differentiate the two types of issues. Thus, Assuming that this figure of $0.27 per the range of possible saving in underwriting year of added maturity is relevant, the excess fees that might arise from bank entry into spreads of revenue issues over general obli­ the underwriting of revenue bonds would gations shown in Table 4 were adjusted to seem to fall somewhere between zero and allow for differences in average maturity. $1.00 per $1,000 per bond. When the top When averaged for all rating groups (and of the range is converted to a borrowingweighted by the volume of issues offered in cost-per-year basis for a typical 18-year rev­ each rating category), these results, shown enue bond, the underwriting spread amounts in Table 6, indicate that underwriting to 0.006 of a percentage point. This is the spreads on revenue bonds exceeded those on figure used in the summary of findings. general obligations by an average of about Before proceeding to the next section, a $1.00 per $1,000 bond when allowance is note on underwriting spreads should be made for differences in maturity. added regarding a method of allowing for A type-of-issue variable (revenue versus average maturity advanced by Bertrand general obligation) was also introduced into Fox. Mr. Fox explained this method in a the regression equation on underwriting statement presented in October 1963 to the Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

UNDERWRITING OF REVENUE BONDS 1297 House Banking and Currency Committee on were based on maturity differences that were behalf of the Committee for Study of Reve­ concentrated within a much narrower range nue Bond Financing. His method converts of the maturity spectrum; moreover, the im­ dollar underwriting spreads (per $1,000 portance of the maturity variable was deter­ bond) to a per cent of par, and then divides mined in relation to other variables as well that figure by the average maturity of the and not by a simple arithmetic adjustment bond. In other words, his answer is expressed based wholly on maturity. as percentage points of underwriting spread Negotiated offerings. Negotiated bond is­ per year of maturity of the bond. When a sues account for only a small share of total similar calculation is made for the issues in­ municipal bond offerings. In the market for cluded in the study sample, as in Table 7, general obligation bonds, where statutory and constitutional provisions require many TABLE 7 State and local government borrowers to sell UNDERWRITERS' SPREAD bonds through competitive bidding, nego­ (In percentage points per year of bond maturity1) tiated offerings are rare, consisting of a Aa A Baa small percentage of total general obligations Year offered. While negotiated issues occur in GO Revenue GO Revenue GO Revenue substantially larger volume in the revenue 1964.. .073 .068 .082 .073 .088 .072 bond market, even there they account for 1965.. .068 .058 .074 .066 .081 .070 less than one-third of the total volume. 1966.. .073 .074 .087 .078 .095 .084 The survey data on average underwriting 1 Underwriters’ spread in dollars per $1,000 bond is expressed as a spreads for negotiated revenue issues show per cent of the par value of the bond issue and divided by the average term of the issue. rather erratic variations in relation to spreads on competitively offered issues even the results suggest that, after adjustment for when averaged over half-year periods. To a maturity, underwriting spreads are actually considerable extent this reflects the fact that lower on revenue bonds than on general ob­ complete reports were received on only 67 ligations. negotiated offerings. When these issues are Conceptually the Fox method of adjust­ distributed by time period, quality rating, ment for average maturity assumes that each and size category, the number in any one year of maturity added to a bond adds the cell becomes very small. same amount of risk—whether the added In general, however, average underwrit­ year is at the short end of the maturity spectrum (say from 1 to 2 years) or at the ing spreads on negotiated issues were above those on competitive revenue issues, in some long end (say 27 to 28 years). Neither the arithmetic of price-yield relationships (like cases by several dollars. A part of this differ­ ence reflects the fact that maturities of nego­ that illustrated in Table 5) nor the facts of tiated offerings averaged a little over 20 years market experience suggest that it is reason­ able to assume that the risk-maturity rela­ (with individual issues ranging to more than tionship is linear over the full life of the 35 years); and the long-term negotiated is­ bond. While adjustments for maturity based sues were typically larger than other reve­ on the regression analysis cited above are, nue bonds, adding further to their relative of course, also based on an assumed linear market risk. Even so, when size, maturity, relationship, correlations in that analysis and other variables were held constant in Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1298 FEDERAL RESERVE BULLETIN • AUGUST 1967 the regression equation, the fact that an is­ derwriting spread on revenue issues might sue was a negotiated rather than a competi­ occur is not very large. But the question still tive offering was highly significant in ac­ remains whether competition among under­ counting for the size of the underwriting writers in the revenue bond market, given spread.3 the present exclusion of banks, is any less On reoffering yields, the limited size of effective than in the general obligation mar­ the sample again suggests the need for cau­ ket where bank and nonbank firms already tion in interpreting the results on negotiated compete. One piece of evidence generally issues. But on their face, the data indicate accepted as a measure of relative competi­ that negotiated issues outperformed com­ tion in markets for new bonds is the average petitive issues, resulting in lower average number of bidders.9 yields for like maturities and quality rat­ When revenue and general obligation ings. In other words, borrowers apparently bonds offered for competitive bidding in the traded oft higher underwriting spreads for three half-year periods covered by the sur­ lower reoffering yields, with the latter pre­ vey are arrayed by rating groups according sumably made possible by the greater flexi­ to whether they had one, two, three, or four bility in the timing of negotiated issues. or more bidders (as in Table 8), the general While multiple regression analysis in­ obligation issues consistently show a larger cluded the competitive versus negotiated TABLE 8 classification of revenue bonds as one of the PERCENTAGE DISTRIBUTION OF BIDDERS* variables expected to influence net interest costs, this variable consistently proved so 1964 1965 1966 Rating, and small as to be statistically insignificant. number of bidders GO Revenue GO Revenue GO Revenue Since net interest costs include both under­ writing spreads and reoffering yields, this Aa 2 5 6 0 0 negative result suggests (with appropriate 2............... 2 5 2 6 4 3............... 5 5 3 17 5 21 qualifications because of the limitations of 4 or more. 92 85 94 72 92 68 the sample) that there was in fact a rather A 0 0 0 3 2 4 close trade-off of higher underwriting 2............... 4 8 2 5 3 9 3............... 7 12 3 12 28 spreads for lower reoffering yields. 4 or more. 89 80 94 80 83 60 Baa Number of bidders. As has been indicated, 0 4 0 7 2............... 5 4 7 20 9 22 logic suggests that one of the ways bank 3............... 17 27 10 4 21 19 4 or more. 78 65 82 76 63 50 entry into the revenue bond market might benefit State and local government borrow­ 1 Percentages may not add to 100 because of rounding. ers is by increasing competition among un­ " A second generally accepted measure of the de­ gree of competitiveness in new-issue markets is the derwriters and thus narrowing the underwrit­ bidding “cover” or spread between the winning bid ing spreads. The discussion of underwriting and the next best bid. Like the underwriting spread, cover can be stated either in dollars as a price per spreads has already shown that the possible $1,000 bond or in percentage points as a difference in range within which a narrowing of the un- net interest costs. Unfortunately, some respondents in the survey reported cover on a dollar basis and others on a percentage points basis, and it was not 8 Some of this difference probably reflects larger always possible to discern which. While this made it administrative costs, because underwriters of negoti­ impossible to undertake a precise analytical compari­ ated issues act as financial advisers and perform some son of the cover data, the spread between the winning of the steps in preparing new issues for offering that and next best bid evident in the figures as reported would be done by the borrower in competitive was nevertheless generally quite narrow on both reve­ offerings. nue and general obligation offerings, Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

UNDERWRITING OF REVENUE BONDS 1299 share of issues with four or more bidders TABLE 9 and a smaller share with only one bidder. PERCENTAGE DISTRIBUTION OF BIDDERS BY SIZE OF ISSUES ' But for the most part, except in the first half of 1966, two-thirds or more of the revenue Rating, and 1964 1965 1966 issues also had four or more bidders, and number of bidders GO Revenue GO Revenue GO Revenue revenue issues with only one bidder con­ sistently accounted for 6 per cent or sub­ Issues of $600,000 to $1 million stantially less of total offerings. Aa 1 9 0 6 o o o In 1966, the share of Baa-rated offerings 2 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 5 o o o 0 o () 1 o 7 3 3 3 3 with four or more bidders dropped to about 4 or more. 82 100 94 100 83 33 half on revenue issues and to about two- A 1............... 0 o o o 2 0 thirds on general obligation issues, while 6 14 o o 6 0 3............... 12 14 8 17 17 40 similarly rated issues with only one bid rose 4 or more. 82 71 92 83 78 60 Baa to 9 and 7 per cent, respectively, in the two 1 0 0 0 0 0 0 2............... 2 o 8 0 10 o markets. At the same time, bidding showed 3............... 20 17 18 o 23 o 4 or more. 78 83 74 100 68 100 some greater concentration in other rating categories, particularly for revenue issues. Issues of $1 million to $5 million Again, this cutback in number of bidders Aa 1 0 11 0 20 0 o clearly reflected the increased market risks 2............... 0 11 2 0 2 0 3............... 0 0 2 20 2 27 being faced by underwriters under the con­ 4 or more. 100 78 96 60 96 73 gested market conditions that developed in A 1............... o 0 o 3 2 0 1966. For this reason, similar tendencies 2............... 2 6 2 6 1 7 3............... 5 9 3 6 11 21 were evident in markets for both revenue 4 or more. 93 85 95 85 85 72 and general obligation issues. Baa 0 8 1 0 8 11 2............... 4 8 6 25 9 26 The 1966 cutback in numbers of bidders 3............... 17 31 8 0 22 26 4 or more. 80 54 85 75 61 37 on revenue issues was particularly pro­ nounced in issues of $5 million or more Issues of $5 million or no re (both A and Baa rated), where the share Aa 1............... 0 0 0 0 0 0 of issues with four or more bidders dropped 2............... 4 0 4 8 9 14 3............... 15 10 7 17 9 14 to about 30 per cent from around 70 per 4 or more. 81 90 89 75 83 71 cent in 1964. The structure of bidding A (............... 0 0 2 5 3 15 within different size categories is shown for 2............... 8 9 6 5 6 15 3............... 3 18 0 21 9 38 all periods by Tables 9 and 10. 4 or more. 90 73 92 68 83 31 Baa The general tendency for the number of ].......... 0 0 0 0 25 17 2............... 22 0 11 0 0 33 bidders to decline in periods such as 1966 3............... 22 29 0 50 13 17 4 or more. 56 71 89 50 63 33 when expanded risks are likely to discourage bidding by underwriters suggests that the i Percentages may not add to 100 because of rounding. somewhat smaller number of bidders in rev­ setting reoffering yields to investors, the enue than in general obligation bond offer­ chance that they will misjudge the market ings may to some extent reflect differences and have more difficulty in distributing the in relative risk rather than any lesser degree new issue within a reasonable time period of competition among bidders. While under­ tends to be larger the lower the investment writers take account of these differences in rating, the longer the average maturity, and Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1300 FEDERAL RESERVE BULLETIN • AUGUST 1967 TABLE 10 this question, equations were run in the re­ NUMBER OF BIDDERS BY SIZE OF ISSUES gression analysis with the number of bidders as the dependent variable. Rating, and 1964 1965 1966 The regression analysis showed that, over number of bidders GO Revenue GO Revenue GO Revenue the full period covered by the study, general obligation bonds, other things being equal, Issues of $600,000 to $1 million received about 2 more bids each than com­ Aa petitively offered revenue bonds and that 2 0 1 0 0 0 2............... 1 0 0 0 0 1 each additional bid received in either type of 3............... 1 0 0 0 1 1 4 or more. 18 I 17 1 5 operation reduced net interest cost by 0.009 A 0 0 0 0 1 0 percentage point (or $0.09 per $1,000 2............... 3 1 0 0 4 0 3............... 10 1 4 1 9 2 bond). The analysis also demonstrated that 4 or more. 67 5 45 6 49 3 bonds with higher ratings receive more bids, Baa 0 0 0 0 0 0 that larger offerings receive fewer bids, and 2............... 1 0 3 0 4 0 3.............. 8 1 7 0 9 0 that there are fewer bids when general in­ 4 or more. 32 5 29 3 27 7 terest rates are advancing to higher levels. Issues of $1 million to $5 million On balance the findings, when taken to­ Aa gether with the rather narrow difference in 0 1 0 1 0 0 2............... 0 1 0 1 0 adjusted average underwriting spreads be­ 3............... 0 0 1 1 3 4 or more. 60 7 47 3 64 8 tween revenue and general obligation bonds, suggest that some of the observed difference 0 0 0 1 3 0 2 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 3 3 2 5 3 2 2 5 2 6 2 in number of bidders between the two mar­ 4 or more. 121 28 158 28 117 21 kets may reflect factors other than the degree Baa 0 1 1 0 6 2 of relative competition among underwriters. 2.............. 4 1 6 5 7 5 3............... 15 4 8 0 16 5 Size of offering. While the size-of-offering 4 or more. 75 7 84 15 45 7 variable in the regression equation showed a Issues of $5 million ormore statistically significant (inverse) relation to the number of bidders (a relationship also Aa 0 O 0 0 0 0 2. ............. 1 0 1 1 3 2 suggested by Tables 9 and 10), the size-of- 3............... 4 1 2 2 3 2 4 or more. 21 9 25 9 29 10 offering variable did not show any signifi­ cant influence in the equation on net interest 0 0 1 1 1 2 2............... 3 1 3 1 2 2 cost. In other words, given the relatively 3............... 1 2 0 4 3 5 4 or more. 36 8 47 13 29 4 small impact on net interest costs of varia­ Baa tions in the number of bidders (within the 0 0 0 0 2 1 2............... 2 0 1 0 0 2 3. ............ 2 2 0 1 1 1 range observed), the fact that size of offer­ 4 or more. 5 5 8 1 5 2 ing did exert some marginal influence on the number of bidders was not a strong enough the larger the size of the issue. If these dif­ over-all influence to carry through with any ferent characteristics are partly responsible strength to net interest costs. for the somewhat smaller number of bidders on revenue issues—even with the addition POTENTIAL SAVINGS IN BORROWING COSTS of bank underwriters—the number of bid­ On the basis of the statistical findings, the ders on revenue bonds might continue to be staff study can now be made more explicit somewhat smaller. To try to throw light on about possible savings in municipal borrow- Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

UNDERWRITING OF REVENUE BONDS 1301 ing costs from bank underwriting of revenue TABLE 11 bonds. ILLUSTRATIVE CALCULATION OF SAVINGS IN INTEREST COSTS IN 1966 Underwriting spreads. The range within which added competition from bank under­ Underwriting spread writing might narrow average underwriting Item (1) Estimated maximum reduction of spread in dollars per $1,000 bond.... $1.00 spreads on revenue bonds appears to fall (2) Value of $1.00 at the end of 18 years somewhere between zero and $1.00 per (average life of revenue bonds in survey) assuming a 5 per cent return com­ $1,000 bond. If a saving of this type devel­ pounded, which State and local govern­ ments could have earned if the savings oped, it would occur only once—that is, had been invested in U.S. Government at the time the bond was sold. Hence, to securities............................................. $2.41 (3) Dollar value of (2) per year ($2.41 -4-18) $0.13 compare it with potential savings in reoffer­ (4) Annual value of (3) in percentage points .013 ing yields—which are expressed as percent­ Reoffering yield age points of interest cost per year—the sav­ (5) Estimated maximum reduction in per­ centage points.............................................05 ing in underwriting spread must also be con­ (6) Total annual reduction in borrowing costs, (4) + (5)...........................................063 verted to a percentage point basis and pro­ rated over the 18-year average life of a typi­ Total dollar savings Assuming $3.0 billion of revenue bond cal revenue bond. On this basis, the $1.00 underwriting per year ($3.9 billion total for 1966, less industrial revenue bonds spread amounts to 0.006 of a percentage and bonds rated less than Baa) point. (7) Dollar savings in borrowing cost per year ($3.0 billion X Because the saving in underwriting .063 per cent).................... $1.9 million (8) $1.9 million savings per year X spread would occur at the beginning of the 18 years............................... $34.2 million bond’s life, funds not paid in underwriting (9) Present value of $34.2 million discounted at 5 per cent.. $22.2 million fees would be available for other uses—in­ Total borrowing costs1 cluding the earning of interest at a com­ (10) Totalper year on $3.0 billion at pound rate over the remaining life of the 3.75 per cent net interest cost. $113 million (11) $113 million cost per year X 18 bond. Thus, careful calculation of the value years................................... $2,034 million (12) Present value of (11) discount­ of the savings in underwriting fees should ed at 5 per cent................ $1,322 million take account of this possibility. When this is' done, as in Table 11, the 0.006 of a per­ 1 Total estimated borrowing costs on items (10), (11), and (12) cor­ respond to estimated dollar savings on items (7), (8), and (9), respec­ centage point maximum reduction in under­ tively. writing spread becomes a saving of 0.013 competitive bidders does not indicate that of a percentage point to the municipal bor­ more bidders would greatly reduce net in­ rower.10 terest costs, and fragmentary information on Reoffering yields. While average reoffer­ the effects of bank underwriting on reoffer­ ing yields on revenue bonds exceeded those ing yields of revenue issues already eligible on general obligations of comparable rating for bank participation seems to be incon­ and maturity by an average 0.09 of a per­ clusive. centage point, the findings of the study do Estimate of possible savings. In order to not seem to support a belief that bank un­ spell out the implications of these findings derwriting would wipe out this reoffering for possible dollar savings in annual State yield differential entirely. The evidence on and local government borrowing costs, it was assumed (1) that the maximum possi­ M In Table 11, the order of calculation is different ble reduction in reoffering yields on revenue but the result is the same. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1302 FEDERAL RESERVE BULLETIN • AUGUST 1967 issues brought about by bank underwriting Table 11 shows how a saving of 0.063 of would be no more than 0.05 of a percentage a percentage point in interest costs would point; (2) that the full 0.013 of a percent­ have affected State and local government age point potential saving in underwriting borrowing costs if it had been applied to the spread could be realized; and (3) that any approximately $3.0 billion of revenue bonds possible offsetting increase in reoffering of investment grade sold in 1966. It should yields on general obligation issues is allowed be repeated, however, that this estimate rep­ for under assumption (1), and hence that resents what is probably the high end of a the 0.05 of a percentage point maximum range of possibilities, for which the lower represents a net figure. limit is zero. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

Revision of Money Supply Series The daily-average series on the money year provide a basis for estimating current supply and on time deposits at commercial seasonal factors. In general, the level of banks have been revised to reflect changes the seasonally adjusted money supply series in seasonal factors and adjustments to bench­ has been lowered in months when corporate marks for 1966. Benchmark adjustments income tax payments are due, and it has have been applied also to the series on U.S. been raised in months surrounding these tax Government demand deposits; this series is payments, as explained below. published regularly with the money supply statistics—but without seasonal adjustment. MONEY SUPPLY As usual in these annual revisions, changes were concentrated in data for the last 3 years. However, some minor adjust­ ments were made in seasonal factors back to 1960. Revised monthly and weekly data covering the period 1959 to date, together with seasonal factors for 1967, are shown in the tables on pages 1306-16. EFFECTS OF REVISION The principal effects of this revision have been to smooth the monthly and weekly fluctuations in the seasonally adjusted data somewhat, and after 1965, to increase the average levels of both the money supply and Seasonally adjusted weekly average of daily figures. Latest figures shown, last week in July (preliminary). time deposits. The effects of changes in seasonal factors are most noticeable in the Benchmark adjustments raised the money weekly money supply series over the past supply series on balance. There were small year (see chart). reductions in estimated deposits at non­ Fluctuations of the money supply series member banks in the first half of 1966 and around major tax-payment dates and the 1967, but these were more than offset by close association of these fluctuations with the increase in the second half of 1966. the acceleration in corporate tax payments According to benchmark data, nonmem­ instituted by the Treasury over the past ber bank time deposits have also been under­ estimated for the last year and a half. Cor­ Note.—The revised series shown here were pre­ rections to the new benchmark levels raised pared by Edward R. Fry, Darwin L. Beck, and Mary the estimated level of total time deposits at F. Weaver of the Banking Section of the Board’s Division of Research and Statistics. all commercial banks by $700 million in For definition of money supply series and descrip­ June 1967. tion of revision of seasonal factors and of benchmark adjustment, see notes on p. 1305. In addition to smoothing the recent intra- 1303 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1304 FEDERAL RESERVE BULLETIN • AUGUST 1967 CHANGES IN MONEY SUPPLY AND TIME DEPOSITS tax payments is causing significant shifts in (Seasonally adjusted annual rates of change, in per cent) the timing of regular payments that flow mainly from large corporations to the Treas­ Time deposits ury. These changes, which were designed to Money supply adjusted accelerate payments of corporate income Period taxes and of remittances of employee taxes Old Revised Old Revised withheld—so as to put them more nearly on series series series series a pay-as-you-go basis—have been reflected 1965........................ 4.7 4.7 16.0 16.0 to some extent in fluctuations of private de­ 1st half............... 2.5 3.0 15.2 15.2 mand deposits over the past year. 2d half............... 6.8 6.3 15.7 15.7 The most recent program for accelerating 1966........................ 1.9 2.2 8.4 8.8 1st half............... 4.7 4.6 10.3 10.8 corporate income tax payments was com­ 2d half............... -0.9 -0.2 6.1 6.5 pleted in June 1967. Also in June 1967, one 1967 year’s pattern of payments associated with 1st half........... 6.7 6.8 17.1 17.3 the acceleration of remittances of employee taxes by the largest corporations—those withholding $4,000 or more of such taxes quarter movement of the money supply per month—was completed. A new pro­ series the net effect of the revisions on this gram that accelerates remittances withheld and the time deposit series has been to in­ by smaller corporations—those withholding crease their rates of growth slightly for the between $2,500 and $4,000 per month—year 1966, as the accompanying table shows. began in February 1967. Hence, it will be Although the revised figures show that the early 1968 before a complete picture of the money supply series rose at a slightly less effects of this acceleration is available. rapid rate in the first half of 1966, they Further complications arise from the Treas­ also show that the decline in the second ury’s program that accelerates the remittance half of the year was smaller than previously of excise taxes by business firms collecting estimated. For time deposits, the revised more than $2,000 per month. This program data show that changes were above earlier was started in March 1967. estimates in each half of the year. Rates of These recent and continuing changes in expansion in the first half of 1967 are now major payment patterns may cause seasonal estimated at a 6.8 per cent seasonally ad­ factors for private demand deposits and justed annual rate for the money supply-— some other financial statistics to continue to 0.1 of a percentage point more than pre­ change for several years. For example, now viously reported—and at 17.3 per cent for that the acceleration of corporate income time deposits adjusted—0.2 percentage taxes has been accomplished, the seasonal point more. behavior of demand deposits in the future may differ from the behavior during the FACTORS CAUSING CHANGES IN SEASONAL PATTERNS period when the acceleration was taking place—and when corporations may not As anticipated in the revision published have completely adapted their financial poli­ in 1966,1 the changing pattern of Federal cies to the changing schedule. The use of de­ mand deposits and also currency in making 1 See “Revision of Money Supply Series” in the Bulletin for September 1966, pp. 1303-15. tax and other seasonal payments will also be Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

REVISION OF MONEY SUPPLY SERIES 1305 influenced by such factors as the availability revision as corporations and individuals of tax-anticipation bills and the more wide­ adapt to these conditions. Therefore, the spread use of credit cards. It is likely that practice of reviewing these series annually current seasonal factors will continue to need will be continued. NOTES I. The daily-average series on the money supply 2. First approximations of revised monthly seasonal comprises (1) demand deposits at all commercial factors are derived by the Census X-9 computer banks, other than those due to domestic commercial method, and these are modified in some cases on the banks and the U.S. Government, less cash items in basis of procedures similar to those described in “Ad­ process of collection and Federal Reserve float; (2) justment for Seasonal Variation,” Federal Reserve foreign demand balances at Federal Reserve Banks; Bulletin, June 1941, pp. 518-28. For a summary de­ and (3) currency outside the Treasury, the Federal scription of the X-9 version of Census Method II, see Reserve Banks, and the vaults of all commercial Business Cycle Developments, Department of Com­ banks. Time deposits adjusted consist of time and merce, September 1963, p. 67. savings deposits at all commercial banks other than Weekly seasonal factors are derived by a computer those due to domestic commercial banks and the program based on ratio-to-moving-average techniques. U.S. Government. For further information on con­ Data for the latest 6 years are included in the compu­ cepts, coverage, and methods of measurement, see tations, and the computed weekly seasonal factors “A New Measure of the Money Supply” and “Revision of Money Supply Series” in the Federal Reserve Bul­ are reconciled with revised monthly factors by analy­ letins for October 1960, pp. 1102-21, and August sis of intramonthly patterns in the most recent years. 1962, pp. 941-51, respectively. Revised data, both 3. Benchmark adjustments are made on the basis of weekly and monthly for the period 1959 to date, are semiannual condition reports of all commercial banks shown in the tables that follow. Weekly data are to correct estimated levels of deposits and cash, prin­ not available for earlier years, but monthly and semi­ monthly data are available back to 1947 in the June cipally of nonmember banks, for which current re­ 1964 Bulletin, pp. 682-89. Current weekly and porting is not available. The current revision incorpor­ monthly data are published in the Board’s weekly ates call report benchmarks for June 30 and December H. 6 press release and in the Bulletin. 31. 1966. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1306 FEDERAL RESERVE BULLETIN • AUGUST 1967 SEASONAL FACTORS FOR 1967 (Per cent) Money supply Money supply Time Time Period C c u o n r m e re n p n t o c ­ y D c d o e e n m p m e o n p a s t n o it ­ d a d d e j p u o s s t i e t d s Period C c u o n r m e re n p n t o c ­ y D c d o e e n m m p e o n p a s t n o it ­ d a d d e j p u o s s te it d s Monthly factors Jan.. 99.9 103.8 99.9 July. 100.4 98.4 100.3 Feb. 99.0 99.6 100.3 Aug. 100,2 97.6 100,3 Mar. 99.0 99.4 100.4 Sept. 100,0 99.4 100.1 Apr. 98.9 101.0 100.4 Oct. 100.2 100,2 99.7 May 99.3 97,7 100.5 Nov. tot. I 100,6 99.2 June 99.8 98.7 100.3 Dec. ....................•............. 102.1 103.5 98.9 Weekly factors Week ending— Week ending— Jan. 4................................. 101.1 105.7 99.4 July 5............................... 100,5 98.5 100.4 11................................ 101.1 104.6 99.6 12............................... 101.1 98.1 100.1 18.................................. 100.0 104.5 99.9 19............................... 100,5 98.8 100.3 25................................ 99.1 102.5 100.2 26............................... 99.9 97.8 100.4 Feb. 1................................ 98.4 102.2 100.2 Aug. 2............................... 99.8 99.0 100.4 8................................. 99.8 101.2 100.3 9............................... 100.9 97.8 100.3 15................................. 99.4 100.1 100.3 16............................... 100.5 98.0 100.3 22................................. 98.9 98.4 100,2 23............................... 100,3 96.8 100.3 30............................... 99.4 97.4 100.2 Mar. 1................................. 98.3 98.4 100.3 8.................................. 99.6 98.6 100.4 Sept. 6............................... 100,6 98.1 100.3 15................................. 99.2 99.6 100.4 13............................... 100.5 99.3 100.2 22................................. 99.1 100.5 100.3 20............................... 100.0 101.3 100.1 29................................. 98.4 98.9 100.5 27.............................. 99.4 98,5 100.0 Apr. 5................................. 98.7 100.1 100.6 Oct. 4............................... 99.8 99.7 100.0 12................................. 99.6 100.8 100.5 11............................... 100.8 99.7 99.9 19................................. 99.0 102.3 100.2 18............................... 100.5 100.3 99.7 26.................................. 98.3 100.9 100.3 25............................... 99.9 100.0 99.6 May 3................................. 98.7 100.3 100.4 Nov. 1............................... 99.6 101.2 99.6 10.................................. 100.0 98.7 100.5 8............................... 101.1 100.7 99.6 17................................. 99.5 97.9 100.5 15............................... 101.1 100.9 99.3 24................................. 99.1 96.2 100.5 22............................... 101.2 100,2 98.9 31................................. 98.8 96.9 100.5 29............................... 101.1 100.3 99.0 June 7........................ 100.0 98.0 100.5 Dec. 6............................... 101.8 101.6 98.8 14................................. 100,1 99.0 100.3 13............................... 102.2 102.5 98.8 21................................. 99.8 100.0 100.2 20............................... 102.1 105.4 98.7 28................................. 99.2 97.7 100.3 27............................... 102.7 103.2 99.0 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

REVISION OF MONEY SUPPLY SERIES 1307 MONEY SUPPLY AND RELATED DATA, 1959-67 (In billions of dollars) Seasonally adjusted Not seasonally adjusted Money supply Money supply Month Time Time U.S. deposits deposits Govt, Total c C om ur p re o n n c e y n t c D o 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 r o en n c e y n t c D o 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 1959—Jan......................................... 141.6 28.6 112,9 66.0 144.9 28.6 116.3 65.6 3.2 Feb........................................ 142.0 28.7 113.2 66.0 142.0 28,4 113.6 65.8 4.3 Mar................................ 142.5 28.8 113.7 66.2 141.3 28.5 112,8 66.2 3.7 Apr........................................ 142.7 28.8 113.9 66,5 142,3 28.5 113.8 66.7 4.6 May..................................... 143.2 29.0 114.2 66.6 141.2 28,7 112,5 67.0 5.2 June..................................... 143.4 29.0 114.3 67.0 141,9 28.9 113.0 67,4 4.0 July...................................... 144.1 29.0 115.1 67.1 142.7 29.1 113.5 67.5 4.9 Aug........................................ 143.6 29.1 114.5 67.2 142.2 29.1 113.0 67.4 5.1 Sept........................................ 143.3 29.0 114.3 67.3 142.7 29.1 113.6 67.5 5.2 Oct......................................... 142.9 29.0 113.9 67.3 143.0 29.0 113.9 67.4 4.9 Nov........................................ 142.7 28.9 113.8 67.3 144.0 29.2 114.8 66.8 4.7 Dec........................................ 141.9 28.9 113.1 67.4 145.6 29,5 116.1 66.6 4.9 1960—Jan......................................... 141.7 29.0 112.7 67.2 145.0 28,9 116.1 66.8 4.1 Feb......................................... 141.3 29,0 112.4 66.9 141.2 28.6 112.6 66.6 4.1 Mar....................................... 140.9 29,0 111.9 67.0 139.7 28,7 111.0 67.0 4.3 Apr...................................... 140.8 29,0 111,8 67.3 140.7 28,8 111.9 67.5 3.6 May....................................... 140.3 29.0 111.3 67.4 138.4 28,8 109.6 67.8 6.4 June...................................... 140.1 29.0 111,1 67.9 138.6 28.9 109.7 68.3 6.3 July........................................ 140,4 29.0 111.5 68,7 139.1 29.1 109.9 69.1 6.7 Aug........................................ 140.9 29.0 112.0 69,7 139.6 29.1 110.5 70.0 6.1 Sept...................................... 141.1 29,0 112.1 70.5 140,5 29.1 111.4 70.7 5.4 Oct........................................ 141.1 29.0 112.1 71.3 141,3 29,1 112.2 71.4 5.6 140.8 29.0 111.8 72.1 142.1 29,3 112.8 71.5 5.8 Dec....................................... 141.1 28.9 112.1 72.9 144.7 29.6 115.2 72.1 4.7 1961—Jan...................................... 141.2 29.0 112.3 73.6 144.5 28,8 115.6 73.2 4.1 Feb....................................... 141.7 28.9 112.8 74.9 141.6 28.6 113.0 74.6 4.8 Mar................................. 142.0 28.9 113.1 75.5 140.8 28.6 112.2 75.5 4.7 Apr........................................* 142.3 29.0 113.4 76.2 142.5 28.7 113.8 76,5 2.8 May...................................... 142.7 28.9 113.8 77.2 140,8 28.7 112.1 77.7 4,7 June...................................... 143.0 28.9 114.0 78.1 141.3 28.9 112.4 78.6 4,5 July........................................ 143.0 29.0 114.0 79.1 141.6 29.2 112.4 79.5 4.3 Aug....................................... 143.3 29.1 114.3 79.9 141.6 29.2 112.4 80.2 5.5 Sept............................... 143.9 29.2 114.7 80.7 143.1 29,3 113.8 80.9 5.2 Oct.................. ♦ 144.3 29.3 115.0 81.5 144.5 29.4 115.1 81.5 6.4 Nov................................... 145.0 29.4 115.5 82.2 146.3 29.7 116.6 81.5 5.8 Dec........................................ 145,4 29.6 115.9 82.7 149.4 30.2 119.2 81.8 4.9 1962—Jan............................ 145.5 29.6 115.8 84.1 149.0 29.5 119.4 83.6 3.8 Feb......................................... 145.8 29.7 116,1 86.0 145.6 29.3 116.3 85.6 4.7 Mar...................................... 146.0 29.8 116.2 87.6 144.8 29.5 115.3 87.7 5.0 Apr........................................ 146.3 30.0 116,4 88.8 146.8 29.7 117.1 89.2 3.8 May................................. 146.1 30.0 116.1 89.5 144.1 29.7 114.4 90.0 7.0 June...................................... 146.2 30.1 116.1 90.6 144.4 30.0 114.4 91.1 7.2 July........................................ 146.1 30.1 115.9 91.7 144.6 30.3 114.3 92.2 7.0 Aug........................................ 146.0 30.2 115.8 92.6 144.0 30.3 113.7 92,9 6.8 Sept........................ • • .......... 145.8 30.3 115.6 93,7 145.0 30.3 114.6 93.8 7.2 Oct........................ 146.4 30.3 116.0 95.0 146.5 30,4 116.2 95.0 7.3 Nov....................................... 146.9 30.4 116.4 96.2 148.2 30,8 117.5 95.5 6.0 Dec....................................... 147.4 30.6 116.8 97.8 151.6 31.2 120,3 96.7 5.6 1963—Jan......................................... 148.0 30.7 117.4 99.0 151.8 30.5 121.2 98.6 4.8 Feb....................................... 148.6 30.9 117.7 100.3 148.4 30,5 117.9 100.1 5.7 Mar........................................ 148.8, 31.0 117.8 101.5 147.6 30.7 116.9 101.9 6,0 Apr.................................. 149.3 31.1 118.2 102.7 149,8 30,9 118.9 103.1 4,2 May...................................... 149.8 31.3 118.5 103.6 147.5 31.0 116.5 104.3 7.1 June...................................... 150.4 31.5 118.9 104.7 148.3 31.4 116.9 105.2 7.5 July........................................ 151.0 31.6 119.4 105.8 149.5 31.8 117.7 106.2 7.8 Aug........................................ 151.2 31.8 119.5 107,2 149.2 31.9 117,3 107.5 6.3 Sept...................................... 151.5 31.9 119.6 108.4 150.6 32.0 118.6 108.3 6.6 Oct........................................ 152.3 32.0 120.3 109.6 152.5 32.1 120.4 109.5 5.3 Nov........................................ 153.3 32.3 121.0 111.1 154.8 32.6 122.1 HO.2 4.4 Dec....................................... 153.0 32.5 120.5 112.2 157.3 33.1 124.1 111.0 5.1 1964—Jan........................................ 153.5 32.6 120.9 113.4 157.7 32.4 125,2 113.0 4.1 Feb........................................ 153.8 32,8 121.1 114,4 153.7 32,3 121.3 114.5 4.8 Mar........................................ 154.1 32.9 121.2 115.2 152.9 32,6 120.2 115.7 6.0 Apr........................................ 154.5 33.1 121.4 116.2 154.9 32.8 122.2 116.7 4.2 May...................................... 155.0 33.3 121.7 117.4 152.2 33.1 119.2 118.0 6.8 June....................................... 155.6 33.5 122.1 118.6 153.4 33.4 120,0 119.1 7.6 July........................................ 156.6 33.6 123.0 119.7 155.0 33.7 121.3 120.0 6.9 Aug........................................ 157.3 33.8 123.6 120.8 155.0 33.9 121.1 121.1 6.3 Sept....................................... 158,0 33.9 124.2 122.1 157.1 33,9 123.2 122.0 6.5 Oct........................................ 158.5 34.0 124.6 123.6 159.0 34.1 124.9 123,4 5.5 Nov....................................... 159,1 34.2 125.0 125,1 160.6 34.6 126.1 124.1 5.8 Dec......................................... 159.3 34.2 125.1 126.6 164.0 35.0 129.1 125.2 5.5 For notes see p. 1316 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1308 FEDERAL RESERVE BULLETIN • AUGUST 1967 MONEY SUPPLY AND RELATED DATA, 1959-67—Continued (In billions of dollars) Seasonally adjusted Not seasonally adjusted Money supply Money supply Month 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 c D o d m e em p p o o a s n n i e d t n t jus a t d ed ­ 1 d d e e p m os a i n ts d 1 1965-—Jan......................................... 159.6 34,4 125.2 128.6 164.4 34.4 130 0 128 3 4.2 Feb......................................... 160.0 34.6 125 4 130 5 159 5 34 2 125 2 130 8 5 7 Mar........................................ 160.3 34.7 125.6 132^0 158.9 34 4 124*6 1327 6 6 Apr......................................... 160.8 34.8 126.1 133.4 161.5 34.5 127 1 134.0 5.5 May................................ 160.8 34.9 125.9 134.7 157.5 34.6 122.9 135.4 9.5 June................................... 161.7 35.0 126.7 136.2 159,5 34.9 124 5 136 6 9.1 July........................................ 162.4 35.3 127.2 137.9 160.8 35.4 125.4 138,3 9.0 Aug........................................ 163.2 35.5 127.8 139.8 160.3 35.5 124 8 140 2 7.3 Sept....................................... 164.0 35.7 128.4 141.6 163.1 35.7 127.5 141^4 5.5 Oc t....................................... 165.2 36.0 129.3 143.8 165.7 36.0 129.7 143.5 5.0 165.7 36.1 129.6 145.5 167.3 36.5 130.8 144.3 4.1 Dec.................................. 166.8 36.3 130 5 146.9 172.0 37.1 134 9 145 2 4.6 1966-—Jan,................................. 167.9 36.6 131.4 147.5 173.0 36.5 136.5 147.4 3.8 Feb......................................... 168.3 36.7 131.6 148.3 167.7 36.4 131.3 148,7 5.1 Mar....................................... 169.2 36.9 132.3 149.8 167.8 36.5 131.2 150,4 4.5 Apr................ 170.5 37.1 133.4 151.8 171.5 36.8 134.7 152,4 3.0 May..................................... 170.2 37.3 132.9 153.4 166.7 37.0 129.7 154.2 7.1 June............................... 170.6 37.4 133.2 154.0 168.6 37,3 131.4 154.4 6.1 July....................................... 169.9 37.7 132.3 155.7 168.0 37.8 130.1 156.2 8.0 Aug.................................. 170.1 37.8 132.4 156.9 167.0 37.8 129.2 157.4 5.1 Sept..................................... 170.5 37.9 132.6 157.4 169.7 37.9 131.8 157.4 4.3 Oct...................................... 170.1 38.0 132.1 157.6 170.5 38.1 132.4 157.1 4.8 Nov,.................................. 170.1 38.1 132.0 157.4 171.5 38.5 133 0 156.1 3.7 Dec.. ..................................... 170.4 38,3 132.1 158.6 175.8 39.1 136.7 156.9 3.4 1967-—Jan........................................ 170.3 38.5 131.8 160.8 175,3 38.5 136.8 160.7 4.1 Feb......................................... 171,5 38.7 132.8 163.5 170.6 38.3 132.3 164.0 5.0 Mar,................................. 173.1 38.9 134.2 166.1 171.9 38.5 133.4 166.7 4.9 Apr................................... 172.7 39.1 133.6 168.1 173.6 38.7 134.9 168.8 4.8 May...................................... 174.5 39.2 135.3 170.0 171.1 38.9 132.2 170.8 6.5 June....................................... 176.2 39.3 136.8 172.4 174.3 39.3 135.1 173.0 3.9 July”.................................... 177.9 39.5 138.4 174.6 175.9 39.6 136.2 175.1 5.7 For notes see p. 1316. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

REVISION OF MONEY SUPPLY SERIES 1309 MONEY SUPPLY AND RELATED DATA, 1959-67—Continued (In billions of dollars) Seasonally adjusted Not seasonally adjusted Money supply Money supply Week ending— Time . Time U.S. deposits deposits Govt, Total c C om ur p re o n n c e y n t c D o 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 r o en 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 te d d ­ 1 d d e e p m os a i n ts d 1 j 959—jan. 7................................. 141.5 28.7 112.8 65.9 145.4 29.0 116.4 65.5 3.9 14................................. 141.5 28.6 112,8 66.0 145.5 28,7 116.8 65,6 2.3 21................................. 141.6 28,7 112.9 66,1 145.3 28.5 116.8 65 6 1.7 28................................. 141.7 28.7 113.0 66.0 144.0 28,3 115.7 65.7 4.3 Feb 4................................. 141.6 28.7 112.9 66.0 143.3 28.3 115.0 65 7 4.7 11................................. 141.8 28,7 113.1 66.0 142.7 28.5 114.2 65 7 4.0 18................................. 142.1 28.7 113.3 66.0 142.2 28.4 113.8 65,7 4.3 25................................. 142,2 28.8 113 5 66.0 140.7 28.3 112.4 65 8 4.3 142.2 28.7 113.5 66.0 141.1 28.4 112.7 65.9 4.1 11 ..................... ., 142.2 28.8 113.5 66.1 141.3 28.6 112.7 66.1 3.0 18................................. 142.4 28.8 113.7 66.2 142.6 28.6 114.1 66.2 3.0 25................................ 142,6 28,8 113.8 66,2 140.5 28.4 112.0 66.2 5.1 142.7 28,8 113.9 66.3 140.6 28.4 112.2 66.4 3.6 ‘ 8................................. 142.7 28.8 113,9 66.4 141.1 28.7 112.4 66.5 6.2 15................................. 142.6 28.8 113.9 66,5 142.7 28,6 114.1 66.7 4.6 22.......................... 142.7 28,9 113.9 66.5 143.2 28.5 114.7 66.7 4.0 29................................. 142.8 28.9 113.9 66.5 142.5 28.4 114.1 66 8 3.9 142.8 28.9 113.9 66.6 141.9 28.7 113.2 66.9 4.9 ” 13................................. 142.9 28.9 114.0 66.6 141.6 28.8 112.8 67.0 4.9 20................................. 143.3 28,9 114.3 66.6 141.0 28.7 112.3 67.0 5.9 27................................. 143.5 29.0 114.5 66.7 140.5 28.6 111.9 67.1 5.4 143.4 29.0 114,4 66.8 141.1 28.8 112.3 67.2 4.7 10................................. 143.3 29.0 114.3 66.9 141.5 29.1 112.4 67.3 3.5 17 143.4 29.0 114.4 67.0 143.3 28.9 114.3 67.4 3.3 24................................. 143.4 29.0 114 4 67.0 141.8 28.9 112.9 67 4 4.7 July 1....................... 143.6 29.0 114.6 67.1 141.4 28,9 112.6 67,6 4.5 ” 8................................ 143. 8 29.0 114.7 67.1 142.1 29.4 112.6 67.5 3.8 15................................. 143.9 29.0 114,9 67,0 142.9 29.2 113.6 67.5 4.9 22.... 144.1 29.0 115 1 67.1 142.7 29.2 113.6 67.5 6.0 29................................. 144.3 29.0 115.2 67.1 143.0 28.9 114.0 67.4 5.0 143.8 29.0 114 8 67.0 143.1 29.1 114,0 67,4 5.0 143.9 29.1 114.8 67.1 143.2 29.3 113.9 67.4 3.8 19................................. 143.7 29,0 114.7 67 I 142.6 29 2 112.8 67 4 4.8 26................................ 143. 6 29.0 114.5 67. 2 141.0 29.0 112.0 67.5 6.1 143. 2 29.0 114.3 67.3 141.9 29.0 113.0 67.5 5.9 ' 9................................. 143.0 29 0 114 1 67,3 142.2 29.4 112.8 67.5 5.0 16................................. 143.2 29,0 114.2 67.3 144.1 29.2 114.9 67.5 4.0 23................................. 143.3 29 0 114 3 67 3 142.8 29.0 113.8 67.5 5.5 30................................. 143.5 290 114,5 67.3 141.8 28.8 113.0 67.5 6.0 Oct. 7......_______.... 143.3 29,0 114.3 67,3 142.3 29.2 113.2 67.5 5.5 14................................. 143.2 29 0 114 3 67.3 143.5 29.2 114.3 67.4 3.7 21.............................. . 142.9 29.0 114.0 67,2 143.2 29.1 114,1 67.4 4.4 28................................. 142.4 29 0 113.4 67,3 142.8 28.9 113.9 67.3 5.6 142.2 28.9 113.3 67.4 143.6 29.0 114.6 67.3 5.6 11................................. 142.5 28 9 113.7 67,4 144.1 29.3 114.8 67.2 4.6 18................................. 142.8 28.9 113.9 67.3 144.4 29.2 115.2 66.7 4.7 25................................. 143.0 28 9 114.1 67 3 143.6 29.2 114.5 66.5 4,6 142,6 28.9 113.7 67.3 144.2 29,3 114.9 66.4 4.3 9.......1..4.2....3................2..8...9 113 4 67.3 144.6 29.6 H5.0 66.5 5.2 16................................. 142,2 28.9 113.3 67.3 146.6 29.4 117.2 66,5 4.2 23................................. 141.6 28.9 112.7 67.4 145.8 29.5 116.2 66.7 5.4 30................................. 141.7 28.9 112.8 67.5 146.0 29.6 116.4 66.8 5.0 I960—Jan. 6................................. 141.3 28.9 112.4 67.5 145.8 29.3 116.5 67,1 4.8 13................................ 141.7 28 9 112.8 67,4 145.7 29.0 116,7 66.9 4.4 20.......................... 141.8 28.9 112.8 67. 1 145.4 28,8 116.6 66.7 3,8 27................................. 141.7 29.0 112.7 66.9 143.9 28,5 115,4 66.6 3.4 Feb. 3................................. 141.7 29.0 112.6 66.9 143.2 28.5 114.7 66.7 4,1 10................................ 141.4 28.9 112.4 66.9 142.3 28,7 113.6 66.6 3,7 17................................. 141.4 28.9 112,5 67.0 141.8 28.6 113,2 66.6 3.8 24................................. 141.2 28.9 112.3 66.9 139.7 28.6 111.1 66.7 4.6 For notes see end of table. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1310 FEDERAL RESERVE BULLETIN • AUGUST 1967 MONEY SUPPLY AND RELATED DATA, 1959-67—Continued (In billions of dollars) Seasonally adjusted Not seasonally adjusted Money supply Money supply Week ending—• Time Time U.S. deposits deposits Govt, Demand ad­ Demand ad­ demand Total Currency deposit justed 1 Total Currency deposit justed i deposits 1 component component component component 1960—Mar. 2................................. 141.3 29 0 112.3 66.8 140 0 28 5 111 5 66 6 4.5 9................................. 141.1 29 0 112.1 66.9 140 1 28.8 111.2 66 8 4.0 16................................. 141.0 29 0 111.9 67 0 140 9 28.8 112.2 67'0 3.3 23................................. 140.8 29.0 111.8 67.1 139.3 28,7 110.6 67 1 5.2 30................................. 140 7 29 0 111.7 67.1 138 5 28.5 110 0 67 2 4.7 140.7 29.0 111.7 67.1 138.6 28.9 109.7 67 3 4.1 ' 13................................. 140.7 29.0 111,7 67.3 140.2 29.0 111.3 67*5 2.3 20.,............................ 140.8 29 0 111 .8 67.3 142 3 28.8 113 4 67 4 3,6 27................................. 140 8 29 0 111.8 67.3 141,3 28.5 112.8 67 5 4.1 May 4........................... 140.6 29.0 111.6 67.4 140,2 28.6 111.6 67.6 5.4 11................................. 140,5 29.0 111.5 67,4 139,4 28.9 110,5 67.7 5.8 18................................. 140.3 29.0 111.3 67,4 138.5 28.8 109 7 67 8 6.4 25................................. 140.1 29.0 111.1 67.4 137.1 28.7 108.4 67.9 6.9 140.0 29.0 111.1 67.5 137.5 28.8 108.7 67.9 6.9 8................................. 139.9 28.9 111.0 67.6 137,9 29,0 108.9 68.1 6.4 15................................. 140.0 29.0 111.0 67.8 139.6 28.9 110.6 68.2 5.1 22................................. 140.1 29.0 Hi .o 68.0 138.9 28.9 110,0 68.3 7.0 29................................. 140.3 29 0 111.3 68.2 138.1 28.7 109.4 68 6 140.0 29.0 110.9 68.4 137.9 29.3 108.6 68.9 7.2 13................................. 140.4 29.0 111.4 68.6 138.9 29.3 109,6 69.0 5.6 20................................. 140.8 28 9 111.8 68.7 139.6 29.1 110.6 69.1 7.6 27................................. 141.0 28 9 112.1 68.8 139.7 28.9 110.8 69.2 6.6 140.9 28.9 112.0 69.1 140.3 29.0 111.3 69.4 6.5 " 10................................. 141.0 28.9 112.0 69.3 140.4 29.3 111.2 69.6 6.0 17................................. 141.0 29.0 112.0 69.6 139.8 29.1 110.7 69.9 6.1 24................................. 140.8 29.0 111.9 69.9 138.6 29.0 109.5 70.2 6.5 31................................. 140.8 29 0 111.8 70.1 139.1 28.8 110.3 70,4 5.5 Sept. 7. ............................... 140.9 29.0 111.9 70.3 139,8 29.3 110,5 70.4 5.1 * 14................................ 140.8 29.0 111.9 70.4 141.4 29.2 112.2 70.7 3.6 21................................. 141.4 29.0 112.4 70.5 141.8 29.1 112.8 70.8 4.9 28................................ 141.2 29 0 112.1 70.6 139.2 28.8 110.4 70.9 7.3 141.2 29 0 112.2 70.9 139.8 29.0 110.7 71.1 7.5 12................................. 141.1 29.0 112.1 71.1 140.6 29. 3 111.3 71.3 5.5 19................................. 141.1 29.0 112.1 71.3 141.6 29.2 112.5 71.4 4.3 26........................ 141.2 29.0 112.2 71.5 141.8 29,0 112.8 71.6 5.4 140.9 29.0 UI .9 71.7 142.4 28.9 113.5 71.7 6.2 9................................. 140.5 29,0 111.6 71.9 142.0 29.3 112.7 71.7 6.0 16................................. 140.8 29.0 111.8 72.1 142. 8 29.3 113.5 71.6 5.4 23................................. 140.8 29.0 111.8 72.1 141.5 29.3 112.1 71.4 6.0 30................................. 141.0 29.0 112,0 72,2 142.0 29.3 112.8 71.4 5.6 141.0 29.0 112.0 72.4 143.0 29.5 113.5 71.6 4.9 14................................. 141.2 29.0 112,2 72,6 145.1 29.5 115.5 71.8 3.2 21................................. 141.2 29.0 112,3 72.9 146.1 29.6 116.5 72.1 4.2 28................................. 141.1 28.9 112.1 73.3 144.6 29.7 114.9 72.4 5.9 1961—Jan. 4................................. 140.8 28.9 111.8 73.4 145.1 29.3 115.9 72.9 5.9 11................................. 140,8 28.9 111.8 73.6 144.6 29.2 115.5 72.9 4.7 18................................. 141.0 28.9 112.1 73.5 144.8 28.8 116.0 73. 1 3.5 25................................. 141.8 28.9 112.9 73.6 144.3 28.6 115.7 73.3 3.3 Feb. 1................................ 141.8 28.9 112.9 73.9 143.7 28.4 115.3 73.6 3.8 8.......1..4..1....7...............2..8...9 112.7 74.7 143.0 28.7 114.3 74.4 4.3 15................................. 141.7 28.9 112.7 74.8 142.4 28.7 113.7 74.6 3.7 22.............................. 141.8 28.9 112.8 75.1 140.5 28.6 111.9 74.8 5.8 141.8 28.9 112.9 75.1 140.3 28.4 111.9 74.9 5.7 8.......1..4..1....8...............2..8...9 112.8 75.3 140.5 28.8 111.7 75.2 5.3 15................................. 141.8 28.9 112.9 75.5 141.5 28.7 112.8 75.5 3.6 22................................. 142.2 28.9 113.2 75.6 141.4 28.7 112.7 75.5 5.3 29................................. 142.3 29.0 113.3 75.5 140.2 28.5 111.7 75.7 4.6 142.2 29.0 113.3 75.7 140.6 28.8 111.8 76.0 4.5 ' 12................................. 142.2 28.9 113.2 76.0 142,1 28.8 113.3 76.3 3.2 19................................. 142.0 28.9 113.1 76.3 143.4 28.7 114.7 76.5 2.1 26................................. 142.2 28.9 113.3 76.5 143.1 28.5 114.6 76.6 1.9 For notes see end of table. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

REVISION OF MONEY SUPPLY SERIES 1311 MONEY SUPPLY AND RELATED DATA, 1959-67—Continued (In billions of dollars) Seasonally adjusted Not seasonally adjusted Money supply Money supply Week ending—• 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 co C m ur p r o en n c e y n t co D d m e e m p p o o a s n n i e d t n t jus a t d ed ­ 1 d d e e p m os a i n ts d 1 1961,—May 3................................. 142.5 29.0 113.6 76.7 142.5 28,6 113.9 77.0 3.2 ' 10................................. 142.6 28 9 113 7 77.1 141.8 28.9 112 9 77.4 3.9 17................................. 142.7 28.9 113 8 77.1 141.1 28.8 112,4 77.6 4 5 24................................. 142.8 28.9 113 9 77,2 1 39.7 28.7 111.0 77.9 5.8 31................................. 142.9 28.9 114.0 77.5 140.0 28.6 i i i. 4 78.1 5.0 143.0 28.9 114 0 77.7 140.9 29.0 111,9 78.3 4.0 14................................. 143.0 29 0 114 1 78,0 142.6 29.0 113,6 78.4 2’2 21................................. 143.0 29.0 114.0 78. 3 141.9 28.9 113.0 78.6 5.7 28................................. 142.9 29 0 1’13 9 78.5 140. 1 28.7 111,4 78.8 5.7 July 5................................. 142.9 29.0 113.9 78.7 140.5 29.2 111.3 79.3 6.1 ' 12................................. 143.0 29.0 114.0 78.9 141.3 29.4 111.9 79.3 4.5 19................................. 143.0 29.0 114.0 79.0 141.9 29.2 112.7 79.5 3.1 26................................. 143.1 29.0 114.1 79.2 141.8 29.0 112.8 79.7 2. 8 143.1 29.0 114.1 79.5 142.4 29.0 113.5 79.9 6.0 " 9................................. 1 43.0 29,0 114.0 79.6 142.4 29.4 113.0 80,0 5.1 16................................. 143.6 29.1 114 5 79.8 142.4 29.3 113.1 80.2 4.8 23................................. 143.6 29,2 114.4 80. 1 140.5 29.2 111.3 80.3 6.1 30................................. 143.5 29.2 114 4 80.2 140.9 29.0 112.0 80.4 5.6 143.6 29.2 114,4 80.3 142,0 29.4 112.6 80,6 5.4 ' 13................................. 143.7 29.2 114 5 80.5 143.7 29.4 114.2 80.8 3.6 20................................. 144.0 29.2 114.7 80.7 144.6 29.3 115.3 80,9 4.4 27............................ 144.0 29.2 114 8 80.9 142.4 29.1 113.3 81.0 5.9 144.1 29.2 114.8 81,1 142.6 29.2 113,4 81.3 8.1 11................................. 144.3 29.3 115.0 81.3 143.6 29.6 114,0 81.5 6.2 18................................. 144.4 29.3 115.1 81.5 145.0 29.5 115.5 81.5 6.9 25................................. 144.4 29.3 115 1 81,6 145.1 29.3 115.7 81,6 6.2 144.5 29.4 115.2 81.8 145.8 29.2 116.6 81.7 5.6 8.......1..4..4....6...............2..9...4 115.2 82.0 146.1 29.7 116.3 81.7 5.8 15................................. 145.2 29.4 115 8 82.2 147.2 29.7 117.5 81.7 4.8 22........................... 145.1 29.5 115.5 82,3 145.9 29.8 116.1 81.3 6.5 29................................. 145.1 29 5 115 6 82,4 146.0 29.8 116.2 81.4 6.1 145.2 29.5 115.7 82.5 147.3 30.0 117.3 81,6 5.4 13................................. 145.2 29.5 115.7 82.6 148.9 30.2 118.7 81,7 3.5 20................................. 145.5 29.5 116.0 82.8 150,7 30,2 120.6 81.7 4.1 27................................. 145.6 29.6 116 0 82.9 149.6 30,4 119.1 81.9 6.1 145.8 29.7 116.1 83.0 150,7 30.0 120.8 82.3 6.0 10................................. 145.6 29.7 116.0 83.4 149.8 29.9 119.8 82.8 4.6 17................................. 145.5 29.6 115.8 84.0 149.7 29.6 120.1 83,6 3.1 24................................. 145.4 29.7 115.7 84.4 148.3 29.3 119.0 84,0 2.9 31................................. 145.3 29.6 115.7 84.9 147.2 29.0 118,2 84,4 3.8 Feb. 7................................. 145.7 29.7 116.0 85.3 147.3 29.4 117.9 84.9 4.7 14................................. 145.8 29.7 116.1 85.7 146.7 29.4 117.2 85.5 3.7 21.................................. 145.9 29.8 116.1 86.3 144.5 29.4 115.2 85.8 5.1 28................................ 145.9 29. 8 116.1 86,5 144.1 29.2 114.9 86.2 5.1 Mar. 7................................. 146.0 29.8 116.1 86,9 144.9 29.6 115.3 86.9 5.0 14................................. 146.0 29.8 116.2 87.2 145.6 29.6 115,9 87.5 3.2 21........................... 146.1 29.8 116.3 87.8 145.6 29.6 116.0 87.8 4,8 28................................. 146.2 29.9 116.3 88,0 143.5 29.4 114,0 88.3 6.7 146.2 29.9 116.3 88.2 144.3 29.6 114.7 88,7 6.1 ' 11................................. 146.3 29.9 116.4 88.6 146.2 30.0 116.2 89,2 3.7 18................................. 146.3 29.9 116.3 89.0 148.0 29.8 118.2 89.2 2.5 25................................. 146.3 30.0 116.3 89.1 147.8 29.6 118.2 89.3 3.4 146.3 30.0 116.3 89.0 146.4 29.5 117.0 89,4 4.8 ' 9................................. 146.1 30.0 116.2 89.2 145.7 30.0 115,7 89.6 6.2 16................................. 146.2 30.0 116.2 89.4 145.1 29.8 115.3 89.9 6.4 23................................. 146.1 30.0 116.1 89.6 142.5 29.8 112,7 90.2 8.0 30................................. 146.2 30.0 116.1 89,8 142.6 29.6 113.0 90.5 7.5 146.1 30.0 116.1 90.0 144.0 30.0 114.0 90,7 7.1 13................................. 146.1 30.1 116.1 90.4 145.2 30.1 115.1 91,0 5.3 20.................................. 146.1 30.1 116.0 90.7 145.4 30,0 115,4 91.1 6.7 27................................. 146.2 30.1 II6.I 90,8 143.2 29.8 113.3 91.4 8.6 For notes see end of table. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1312 FEDERAL RESERVE BULLETIN • AUGUST 1967 MONEY SUPPLY AND RELATED DATA, 1959-67—Continued (In billions of dollars) Seasonally adjusted Not seasonally adjusted Money supply Money supply Week ending — Time Time U.S. deposits deposits Govt, Total c C om ur p re o n n c e y n t c D o 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 co C m 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 1962—July 4................................. 146.2 30 I 116.1 91 1 143.6 30 2 113 4 91.9 9.4 11................................. 146.2 30 0 116.1 91 6 144 3 30 6 1137 92.0 8.1 18................................. 146.1 30.1 116.0 91 7 145 0 304 1147 92.2 6.6 25.......................... 145.9 30 1 115 8 91'8 144 6 30 2 114 5 92.3 6.0 146.1 30.2 115.9 92 I 145 2 30 0 115.2 92.4 5.8 " 8................................. 146.0 30.2 115 8 92 2 145 5 30 5 115 0 92.6 5.6 15................................. 146.2 30.2 116.0 92, 5 145.1 30' 4 1147 92.8 5.0 22................................. 146.0 30.2 115 8 92 8 142 7 30 4 112 3 93.0 8.4 29................................. 145.9 30.2 115.6 92 9 142 7 30 1 112.7 93.2 7.9 Sept. 5................................. 145.7 30.2 115.5 93 2 143 9 30 4 113 5 93.5 7.8 12................................. 145.8 30.3 115.6 93 4 145 5 30 5 115 6 93.6 6.1 19................................. 145.6 30.2 115 3 937 146 0 30 3 115 8 93.8 6.3 26................................. 145.8 30.3 115 5 94 0 144 1 30 1 114 0 94.0 8.1 Oct. 3................................. 146.1 30.3 115.9 94 2 144 8 30.2 114.7 94.3 8.2 10................................. 146.1 30.3 115 8 94 6 145.5 30.6 114 8 94.7 8.9 17................................. 146.2 30.3 115.9 94' 9 146.9 30.5 116.3 94.9 7.4 24................................. 146.3 30.3 116 0 95 2 146 8 30.4 116.4 95.2 6.9 31................................. 146.6 30.4 116 2 95 4 147 7 30.2 117.6 95.4 5.9 Nov. 7................................. 146.7 30.4 116.3 95,8 148.2 30.7 117.5 95.5 6.1 14................................. 146.8 30.4 116.3 96.1 148 7 30.8 117.9 95.6 4.8 21................................. 146.9 30.5 116.4 96.3 148* 0 30.9 117.1 95.2 6.7 28................................. 146,9 30,5 116 5 96.5 147 8 30.7 117.1 95.4 6.6 Dec. 5 ................................. 146.9 30.5 116.5 96.7 149 0 31.0 118.1 95.8 6.3 12................................. 147.1 30 5 116.7 97 3 150 6 31 3 119 4 96.3 4.5 19................................. 147.2 30.5 116.7 97 9 152 5 31.2 121.3 96.7 4.6 26............................. 147 6 30.5 117 0 98.3 152* 1 31.4 120.7 97.1 6.5 1963—Jan. 2................................. 147.9 30.6 117.3 98.5 153 3 30.9 122.4 97.6 6.9 9.......1..4..8....0...............3..0...7 117.3 98.7 152 4 31.0 121.4 98.1 6.1 16................................. 148.0 30.7 117.4 98.9 152.7 30.6 122.1 98.5 4.3 23................................. 148.1 30,7 117.4 99.2 151 5 30.4 121.1 98.9 4.2 30................................. 148.1 30 7 117 4 99.4 150 2 30.2 120 0 99.2 4.1 Feb. 6................................. 148.4 30.8 117.6 99 6 150 4 30.5 119,9 99.5 4.9 13................................. 148.5 30.9 117.6 99 9 149 7 30.6 119,1 99.9 4.9 20................................. 148.6 30 9 117.7 100.4 147 7 30.5 H7.2 100.2 6.2 27................................. 148.8 31.0 117.8 100. 8 146 4 30.4 116,0 100.5 6.7 148.8 31 0 117.8 100.9 147.5 30.7 116,8 101.0 6.5 13................................. 148.9 31 0 117.9 101.2 148 2 30,8 117.4 101.6 4.6 20................................. 148.8 31.0 117.8 101.5 148 7 30.8 117.9 102.0 5.0 27................................. 148.8 31.0 117.8 101.7 146 4 30.6 115,7 102.3 7.3 149.0 31 1 117.9 102.1 147.1 30.8 116.3 102.7 7.0 ' 10.......1..4..9....0...............3..1.. 1 117.9 102.2 148.6 31.2 117.4 103.0 4.6 17................................. 149.6 31.1 118.5 102.6 1513 31.0 120.3 103.0 3.2 24................................. 149.2 31.1 118,0 102.9 150 5 30.8 119.8 103 J 3.6 149.5 31.2 118.2 103.1 149.8 30.6 119.2 103.4 4.7 8........1..4..9....6... 31.3 118.3 103.3 149.0 31.2 117,8 103.7 6.7 15................................. 149.7 31.3 118.4 103.6 148.5 31.1 117.4 104.1 6.3 22................................. 149.9 31.4 118.5 103.8 146.1 31.1 115.0 104.5 8.2 29................................. 150.1 31.4 118.7 103.9 146.4 30.9 115,5 104.7 7.6 June 5................................. 150,0 31.4 118.7 104.1 147.5 31.3 116,2 104.9 6.8 12................................. 150.2 31.4 118.8 104.5 148.9 31.5 117.3 105.1 4.7 19................................. 150,2 31.5 118.8 104.7 149,4 31,4 118.0 105.2 5.9 26............................... 150,3 31.5 118.8 104.8 147.1 31.2 115.9 105.3 10,5 July 3 ................................. 150.7 31.5 119.2 105.0 148.1 31.6 116.6 105.8 10.9 ' 10................................. 150.6 31.5 119.1 105.5 148.6 32.1 116.5 105.9 9.5 17................................. 151.1 31.5 119,6 105.7 150,0 31,8 118.2 106.1 7.7 24................................. 151.1 31.5 119.5 106.0 149.7 31.7 118.1 106.4 6.7 31................................. 151.0 31,6 119.5 106. 3 150.0 31.5 118.5 106.7 6.0 151.1 31.6 119.5 106.7 150.7 31.9 118.8 107.0 6.4 ~ 14................................. 151.3 31.7 119.5 107.0 150,3 32.0 118.3 107.3 5.4 21................................. 151.2 31.8 119.4 107.3 148.0 31.9 116.1 107.6 6.9 28................................. 151.3 31.9 119.4 107.5 147.8 31.7 116.1 107.8 6,6 For notes see end of table. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

REVISION OF MONEY SUPPLY SERIES 1313 MONEY SUPPLY AND RELATED DATA, 1959-67—Continued (In billions of dollars) Seasonally adjusted Not seasonally adjusted Money supply Money supply Week ending— 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 d t n t jus a t d e * d 1 Total co C m ur p r o en n c e y n t co D d m e e m p p o o a s n n i e d t n t jus a te d d ­ 1 d d e e p m os a i n ts d 1 1963—Sept, 4............................... 151.3 31.9 119.4 107,8 149.4 31.9 117,5 108.1 6.1 .............. 151.5 31 9 119 6 108 2 150.8 32.2 118 6 108 2 5 I 18................................. 151.6 31 9 119^7 108 6 152.1 32,0 120.2 108 4 5 1 25.............................. 1517 31 9 119.8 108.5 149.9 31.8 118 1 108 3 8.1 Oct 2. ................. 152.0 31.9 120.0 108.8 150.1 31.7 118.4 108.7 8.8 9 152 1 32.0 120.2 109.1 151.3 32.3 119.0 109.1 7.7 16.................. 152.1 32.0 120.2 109.3 152.8 32.2 120.6 109.3 5.4 23 . . . 152*2 32 J 120 1 109 7 152 6 32 2 120.5 109 6 4 1 30....................... 152 5 32.2 120'3 116^ 3 153^3 3119 121.4 11b.1 3.1 153.1 32.1 121.0 110.5 155.0 32.3 122.7 110.2 4.2 13................................. 153.1 32.2 120.9 110.7 155.2 32,7 122,5 110.2 3.6 20................................ 153.2 32.2 120.9 111.2 154.4 32,6 121.8 110.1 4.7 27................................. 153.3 32.4 120.9 111.5 153.8 32.6 121.2 110.4 4,9 153.3 32.5 120.8 Hl.8 155.5 33.0 122.5 110.5 4.5 11................................. 153 2 32 4 120.7 112.1 156.4 33.3 123.1 110.8 3.8 18................................ 153.1 32.5 120.6 H2.2 158.2 33.1 125.1 111.0 4.2 25................. 153 1 32.4 120.7 112.3 157.5 33,3 124.3 111.0 6.6 1964—jan, i . ......................... 153.2 32.4 120.7 112.6 158.8 32.8 126.0 111,5 6.5 8................................. 153.3 32.5 120.8 112.9 158.7 32.9 125.8 112,3 6.4 15................................. 153.5 32.6 120.8 113.3 158.4 32.6 125.8 112,9 4.2 22. 153.6 32.7 120.9 113.6 158.0 32.5 125.5 113.2 3.1 29,......................... 153.6 32.7 120.9 113.8 156.0 32.1 124.0 113.6 2.8 Feb 5................................. 153.6 32.6 121.0 113.9 156.0 32.2 123.8 113,9 3.5 12 153.7 32,7 121.0 114.2 155.4 32.5 122.9 114.4 3.6 19................................. 153.8 32.8 121.0 114.5 153.1 32.3 120.8 114.6 5.2 26............................... 153.8 32.8 121.0 114.6 151.4 32,2 119.2 114.8 5.9 Mar. 4................................. 154 0 32.8 121.2 114.7 152.3 32.3 120.0 115.2 5.6 11.................... 154* 1 32 9 121 2 115.0 153.0 32.8 120,3 115,5 4.5 18,........................ 154.1 32*9 121.2 115.2 154.3 32,7 121.6 115,8 4.6 25................................ 154.2 33.0 121.2 115.4 151.8 32.6 119.2 115.9 7.7 154,5 33.0 121.5 115.5 152.5 32.5 120.0 116.2 7.8 ‘ 8;................ 154.5 33.1 121.5 115.8 153.6 33.0 120,7 116,4 5.9 15................................. 154.5 33. 1 121.4 116.1 155.4 32.9 122.5 116,6 5.0 22.......................... 154 7 33.2 121,5 116.3 156.5 32.8 123.7 116.6 2.3 29...................... 154.6 33.2 121,4 116.7 154,6 32.5 122,1 117.1 2.9 154.8 33.2 121.6 117.0 154.3 33.0 121.3 117.3 5.5 ' 13................................. 154 9 33.3 121.7 117.2 153.3 33.1 120.2 117,8 6.0 20................................. 155.0 33.3 121.7 117.6 151,3 33.0 118.3 118.1 7.4 27................................. 155.2 33.4 121.8 117.9 150.4 32.9 117.5 118.4 7.5 155.3 33.4 121.9 118.2 152.2 33.2 119,0 118.8 7,1 10 ............................... 155 4 33 4 122.0 118.5 153,0 33.6 119.4 119.1 6.1 17...................... 155^5 33’4 122. i 118.7 155.1 33.4 121.7 119.2 6.2 24. . ............................. 155.5 33.5 122.1 118.7 153.2 33.3 119,9 119.1 8.8 July 1................................. 155.7 33.5 122.1 118.8 152.7 33.3 119,5 119.3 10.0 " 8................................ 156.2 33,5 122.7 119.2 154.3 34.0 120.2 119.6 9.5 15................................. 156.5 33.6 122.9 119.5 155.3 33.9 121.5 119.9 8.1 22.... 156.7 33.6 123.1 119.8 155.4 33.8 121.6 120,2 5.4 29................................. 156.9 33.7 123.2 120,1 155.1 33.5 121.6 120.4 4.6 157.0 33.7 123.4 120.4 156.3 33.7 122.5 120.6 5.8 ~ 12. ............................... 157.3 33.7 123,6 120.5 156.0 34.0 122.0 120.9 5.4 19................................ 157.4 33.7 123.7 120.8 154.4 33,9 120,6 121.1 6.8 26................................. 157.5 33.7 123.8 121,0 153,6 33.7 119.9 121.4 7.2 157.6 33.8 123.9 121.4 155.2 33.6 121.6 121,7 5.9 157 7 33.8 123.9 121.8 156.4 34.3 122.1 121.9 5.6 16................................. 157.9 33’8 124.0 122.2 158,8 34.0 124,8 122.1 4.0 23........................ 158.1 33.9 124.1 122.0 157.3 33.8 123.5 121.8 7.5 ' 30................................. 158.3 34,0 124.3 122.3 155.9 33.6 122.3 122.2 9.1 Oct. 7................................. 158.4 33.9 124.5 123.0 157.8 34.1 123.7 122.8 8.2 14................................ 158.5 34,0 124.5 123.5 159.1 34.2 124.9 123.3 5.5 21................................. 158.6 34.0 124.5 123.8 159.1 34.1 125.0 123.4 4.5 28................................. 158.7 34.1 124.7 124.0 159.3 33.9 125.4 123.8 4.1 For notes see end of table. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1314 FEDERAL RESERVE BULLETIN • AUGUST 1967 MONEY SUPPLY AND RELATED DATA, 1959-67—Continued (In billions of dollars) Seasonally adjusted Not seasonally adjusted Money supply Money supply Week ending— Time Time U.S, deposits deposits Govt, Total c C om ur p re o n n c e y n t c D o d m e e m p p o o a s n n i e d t n t jus a t d ed ­ i Total co C m ur p r o en n c e y n t co D d m e e m p p o o a s n n i e d t n t jus a t d ed ­ 1 d d e e p m os a i n ts d 1 1964—mov> 4......................... 158.9 34.1 124 8 124 5 160 8 34 1 126 7 124 0 5 1 n................................. 159.1 34.1 125'6 1247 161 J 34,6 126 5 124 1 4 5 18................................ 159.1 34.1 125.0 125 1 161.1 34.6 126.5 124 1 5 3 25................... . 159.1 34.1 124.9 125 4 159.6 34.6 125.0 124 2 69 Dec. 2. ............................... 159.2 34.2 125.0 125 7 161 1 34.7 126 4 124 4 7 1 9. 159.2 34.2 125 0 126 I 162.1 35 0 127 1 124 7 5 5 16................................. 159.0 34.3 124 8 126 5 165 0 34.9 130' 1 125' 1 3 6 23........................ 159.2 34.3 125.0 126.8 165.0 35.0 130 0 1?5'3 57 30................................. 159 4 34, 3 125.1 127.1 164.2 35.1 129.1 125.7 6.6 1965—Jan 6............................. 159.7 34.3 125.3 127,5 166.9 34.8 132,1 126.7 6 4 13 ................................. 159.6 34.4 125.2 128.2 165.1 34.6 130.6 127.7 4.0 20............,................... 159.6 34.4 125.2 128.8 164.5 34.2 130.3 128.5 2.9 27......................... 159 6 34.5 125.2 129.1 162.4 34.0 128 4 129 3 3 8 Feb. 3................................. 159.9 34.5 125.4 129.5 162.5 34,0 128,4 12c*.7 4.6 10................................. 159.9 34.6 125 3 130,0 161.4 34.4 127 6 130 4 4.7 17 159.8 34.6 125.3 130.3 159.6 34.2 125. 4 130.9 5.2 24...................... 159 9 34.6 125.3 130.9 156.6 34.1 122.4 131.3 7.1 160.2 34.6 125.6 131.3 158.9 34,1 124,8 131.6 6.6 10................................ 160.2 34.7 125.5 131.5 159.1 34.6 124.6 132.3 5.2 t7................................. 160.4 34.7 125.8 132,0 160.9 34.4 126.4 132.7 4.6 24............. 160.1 34.7 125.3 132.3 157.8 34.4 123.4 132 8 8.2 160.2 34 7 125.4 132 5 157.7 34.1 123.5 133 3 8 4 160.6 34.8 125.8 132.9 160 0 34.7 125,3 133,6 7.1 14................................. 160.9 34.8 126.0 133.2 161.8 34.7 127.1 133.9 4.6 21.......................... 161.3 34.8 126.4 133.5 164.0 34.6 129.4 133.9 4.4 28................................. 160,8 34.8 126,0 133.8 160.8 34.1 126.7 134.3 5.7 160.7 34.8 126.0 134,2 160.2 34.4 125,8 134 7 8.4 ’ 12........................ 160.7 34.8 125.8 134. 5 158 8 34 8 124 0 135J 8.3 19................................ 160.7 34.9 125.8 134. 8 156.5 34.6 121.9 135.4 10.1 26. 160 8 34 9 126 0 134 9 155.6 34.5 121.1 135.7 10.6 161.0 35.0 126.0 135.3 157.4 34.8 122,7 136.1 9.5 9................................. 161.4 35.0 126.4 135.7 158.7 35.1 123.6 136.4 7.9 16. 161.8 35.0 126.8 136.1 161.1 35.0 126.1 136.7 7.0 23 161.9 35.0 126,8 136.5 160.1 34.9 125.2 136.6 10,0 30. ................................ 161.9 35.1 126.8 136.8 158.3 34.7 123.6 137.6 11.3 July 7 ................................. 162.2 35,2 127.0 137.1 160.3 35.6 124.6 137.5 11.8 14.................... 162,4 35,3 127.2 137.7 161.2 35.5 125.7 137.9 9.1 21 ............................ 162,5 35.3 127,2 138.0 160.9 35.4 125.5 138.4 8.2 28................................ 162.6 35.3 127,3 138.4 160.4 35.2 125.2 138.9 7.5 Aug. 4................................. 162.9 35.3 127.6 138.9 162.0 35.3 126.7 139,3 7.3 11............................... 163.0 35.4 127.6 139.4 161.3 35.7 125,5 139.8 6.6 18........................ 163.1 35.4 127.7 139.8 160.2 35.6 124.6 140.2 7.5 25................................ 163.3 35.4 127.9 140.1 158.7 35.4 123.2 140.5 8.0 163.4 35.4 127.9 140.6 160.3 35.2 125,1 141.0 6.9 ‘ 8................................. 163.5 35.6 127.9 141.1 161.5 36.0 125.6 141.4 5.5 15................................. 163.9 35,6 128. 3 141.4 164.2 35 7 128.5 141.5 2.9 22................................. 164.2 35,7 128.5 141,6 164.7 35.6 129.1 141.0 5.7 29................................. 164.5 35.8 128.7 142. t 162.2 35,5 126.7 141.7 7.6 164.9 35.9 129.0 142.8 164.3 35.9 128.4 142.5 6,2 13................................. 165.0 35.9 129.1 143.6 165.3 36.2 129.1 143.3 4.1 20................................. 165.2 35.9 129.3 143.9 165.9 36.1 129.9 143.6 5.7 27................................. 165.4 36.0 129.4 144.3 166.0 35.9 130.1 144.0 4.8 165.6 36.0 129.6 144.6 167.6 36.0 131.7 144.2 4,3 10............................... 165.6 36.0 129.6 145.0 167.6 36.5 131.0 144.3 3.1 165.7 36.1 129,7 145.5 167.8 36.5 131.3 144.2 3.3 24................................. 165.8 36,1 129.6 145,8 166.5 36.6 129.9 144.4 4.2 Dec. 1................................. 165,9 36.1 129.8 146.2 167,3 36.6 130.7 144.6 5,7 8................................. 166.3 36.2 130.1 146.4 169.4 37.1 132.3 145.0 4.8 15 166.6 36.3 130.3 146.7 171.9 37,0 134.8 145.2 2.6 22.......................... 167.1 36.4 130.7 146.8 173.7 37.2 136.5 145.1 4.5 29............................ 167.3 36.4 130.9 147.3 172,7 37.2 135.5 145.6 6.0 For notes see end of table. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

REVISION OF MONEY SUPPLY SERIES 1315 MONEY SUPPLY AND RELATED DATA, 1959-67—Continued (In billions of dollars) Seasonally adjusted Not seasonally adjusted Money supply Money supply Week ending— Time Time U.S. deposits deposits Govt, Total c C om ur p re o n n c e y n t D d e e m po a s n i d t jus a t d ed ­ 1 Total co C m ur p r o en n c e y n t D d e e m po a s n i d t jus a t d ed ­ । d d e e p m os a i n ts d ’ component component 167.6 36.5 131.1 147,4 175.6 36.9 138.7 146.5 5,3 (2................................. 167.8 36,5 131.3 147.4 174. 3 36.9 137.4 146.8 3.8 19................................ 167.8 36.5 131.3 <47.4 173.3 36.5 (36.8 147.4 2.5 26................................. 167.9 36.6 131.3 <47.6 171.0 36.2 <34. 8 147.9 3.8 Feb. 2.......................... 168.1 36.6 (31.4 147. 7 171.0 36,1 134.9 148.2 4.3 9................................. 168.2 36.7 131 5 <47.9 170.0 36.6 133.4 148.3 4.3 16......................... 168.3 36.7 131,6 148.3 168.4 36.4 132.0 148.7 4.5 23................................. 168.3 36.7 131.6 148.5 164.8 36,3 128.5 149.0 6.3 Mar. 2................................. 168.4 36.7 131,7 148.9 166.3 36,2 130.2 149.3 5.6 9................................. 168.6 36.8 131.8 149.3 167.3 36.8 130.5 149.9 4.1 16................................. <69.0 36.9 132.1 149.6 <69.4 36,6 132,7 150.2 2.6 23 169.2 37.0 132.3 1S0.0 167.8 36.6 131.2 150.4 5 5 30 . . ............................. 169.4 37.0 132.4 150.4 166.5 36. 4 130,1 151.1 5.7 <69.8 37.1 132.8 150.8 <68.9 36.8 132,0 151.7 4.7 ' 13................................ 170.6 37.1 133,5 151.4 <71.8 37.2 134.7 152.2 2.7 20..................... 170,7 37.1 133.7 151.9 <73.8 36.7 137.0 152.3 1.4 27................................ 170.6 37,1 133,5 152.3 171 .7 36.5 135.1 <52.9 2.8 170.3 37.2 133.0 152.9 170.1 36.7 133.4 153.3 5,9 170.3 37.3 133.0 153.1 168.7 37.2 <31,5 153.7 6,4 18..................... 170,3 37.3 133.1 153.4 166.7 37.0 129.6 154.1 7.7 25................................. 170.2 37.3 132.9 153.6 164,5 36.9 127,6 154.5 7.7 170.3 37.3 133.0 154.0 165.4 37.0 <28.4 154.9 7.2 8................................. 170.4 37.3 133.0 154.3 167.7 37.5 <30.3 155.1 5.7 15................................. 170.4 37.4 133.0 153.5 169.7 37.4 132.3 154.1 3.1 22................................. 171.2 37.4 133.7 153.6 170.9 37.4 <33.5 153.9 5.2 29................................. 170.2 37.4 132.8 154.2 166.6 37 1 129.5 154 5 9.8 170,3 37.5 132.8 154.9 168.6 37,9 130.7 155,3 10.7 13................................. 169.9 37.6 132.3 <55.7 167,9 38.0 129.9 155,9 8.9 20................................. 169,7 37.6 132.1 155.9 168.4 37.8 130.6 156.4 6.7 27............................... 169.7 37,7 132.0 156.1 166.7 37.6 129,2 156.7 7.0 169.8 37.7 132.1 156.3 168.7 37.6 131.0 156.8 5.8 10................................. 169.7 37 7 132,0 <56.6 167.3 38 J 129.2 (57.0 5.9 17. ............................... I 70.0 37.8 132,3 137.0 167.4 38 0 129.4 157,5 4.7 24................................. 170.2 37.8 132.4 157.2 165.7 37.8 127.9 157.7 4,3 31................................. <70.3 37.8 132.5 157.3 166.8 37.5 129.3 <57.8 5.1 170.4 37.9 132.6 <57.2 168,6 38.2 130.4 157.6 4.6 ' 14................................. <70.6 37.9 132.7 157,5 170. 1 38.1 <32.1 <57.6 3.1 21 ............................ 170.7 37.9 132,8 157.3 172.3 37.9 134.4 157.1 3,0 28.... ......................... 170.5 37.9 132.6 157.5 <67.9 37.6 130.4 157.3 6.2 Oct. 5............................... 170,6 37.9 132.6 157.4 170.1 37.9 132.2 157.4 6.6 12................................. 170.3 38.0 132,4 157.5 170.4 38.3 132.1 157,4 4.4 19................................. 170.0 38.0 132.1 157.8 170.7 38. 1 132,6 157.3 3.1 26................................ 169.9 37.9 132.0 157.4 169.9 37.9 132.1 156.8 5.5 169.9 37.9 132.0 157.3 171.5 37.8 133,7 156.7 4.6 9................................. 169.9 38.0 131.9 157.3 171.5 38.5 132,9 156.5 4.5 16................................. 169.9 38.1 131.9 157.3 171.9 38.6 133,3 156.2 3.1 23................................. 170.0 38.1 131.9 157.5 170.9 38.6 132.3 155.9 3.2 30................................. 170.0 38.1 131,9 157.5 171.2 38.6 132.6 155.9 3.5 170 1 38.1 132.0 157.9 173.3 39,0 134.3 156.2 3.4 J4................................. 170.2 38.2 132.0 158.2 174.6 39.1 135,5 156.5 2,2 21......................... 170.6 38.3 132.3 158.5 178.8 39.1 139.7 156.6 2.3 28................................. 170.6 38.4 132.2 159.3 175,8 39.4 <36.4 157.6 5.2 1967- Jan. 4................................ 170.8 38.5 132.3 <59.6 178.7 38.9 139.8 <58.7 5.0 .......1..7..0....6...............3..8...5 132.1 160. 1 177.1 38.9 138.2 159.4 4,4 18................................. 170.4 38.5 131.9 160.5 176.4 38.5 137.9 <60.4 2.7 25................................. 170.2 38.5 131.7 <61.2 173.2 38.1 135.0 161.6 4.5 170.2 38.5 131.6 162.2 172.5 37.9 134.6 162.5 4.6 8................................ 170.8 38.6 132.2 162.7 172,3 38.5 133.8 <63.2 5.3 15................................. <71.1 38.7 132.4 163.4 171.0 38.5 132.5 163.9 4.7 22................................. 172.0 38.7 133.3 164.1 <69.4 38.3 131.1 164,4 4.9 For notes see end of table. 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1316 FEDERAL RESERVE BULLETIN • AUGUST 1967 MONEY SUPPLY AND RELATED DATA, 1959-67—Continued (In billions of dollars) Seasonally adjusted Not seasonally adjusted Money supply Money supply Week ending— Time Time U.S. deposits deposits Govt, Total c C om ur p re o n n c e y n t D d e e m po a s n it d jus a te d d ­ 1 Total co C m ur p r o en n c e y n t D d e e m po a s n it d jus a t d ed ­ * d d e e p m os a i n ts d i component component 172.1 38.8 133,4 164.3 {69.3 38.1 131.2 164.8 5.2 8.......1..7..2....6...............3..8...9 133.8 165.0 170.6 38.7 131,9 165.7 4.2 15................................. 173.1 38.9 134.2 165.9 172.3 38.6 133.6 166.6 3.0 22, .......................... 173.3 39.0 134.2 166.5 173.6 38.7 134.9 167,0 5.3 29................................ 173.4 39.1 134.3 166 8 171.3 38.4 132 8 167.6 6.8 Apr. 5................................. 173.4 39.1 134.3 167.2 173.0 38.5 134 5 168.2 4,8 ‘ . 173.1 39.1 134.0 167.8 174,0 38.9 135.0 168.7 3,8 19............................. . 172.6 39.1 133.5 168.4 175.3 38.7 136.6 168.7 3 5 26................................. 172.1 39.1 133.0 168 5 172.7 38.4 134 3 169 0 6 0 172.8 39.1 133.7 168.8 172,7 38.6 134.1 169.5 6.6 10................................. 173.0 39,1 133.9 169.2 171.4 39.1 132.2 170.1 7.8 17................................. 174.7 39.1 135.6 169,8 171.7 38.9 132.7 170.7 6.6 24................................. 174.9 39.2 135.6 170.4 169.3 38.8 130.5 (71,2 6.5 31................................. 175.6 39.3 136.3 171.0 170.9 38.8 132.1 171,9 4.9 June 7. . . ........................... 176.0 39,3 136.7 171.5 173.2 39.3 133.9 172.3 3.3 14. .......................... 176.3 39.4 136.9 172.4 174,9 39.4 135.5 173 0 2.3 21 ............................ 176.4 39.4 137.0 172.6 176,4 39.3 137.0 172.9 4.7 28................. 176.4 39.4 136.9 172.8 172.8 39.1 133.7 173.3 5.1 177,5 39.4 138.2 173.5 175.7 39.6 136,1 174.2 5.0 ' 12................................. 178.1 39.5 138.6 174.2 175.9 39.9 136.0 174.4 4.7 19........................ 177,7 39.4 138.3 174.7 176.2 39.6 136.6 175.2 6.1 26”............................... 177.9 39.4 138.5 174.9 174.8 39.4 135.4 175.6 6.6 ” Preliminary. mercial banks. Time deposits adjusted are time deposits at all com­ * At all commercial banks. mercial banks other than those due to domestic commercial banks Note.—All figures are averages and are based on daily figures. and the U.S. Govt. Money supply consists of (1) demand deposits at all commercial Effective June 9, 1966, balances accumulated for payment of per­ banks other than those due to domestic commercial banks and sonal loans were reclassified for reserve purposes and are excluded the U.S. Govt., less cash items in process of collection and F.K. from time deposits reported by member banks. The estimated amount float; (2) foreign demand balances at F.R. Banks; and (3) cur­ of such deposits at all commercial banks ($1,140 million) is excluded rency outside the Treasury, the FRS, and the vaults of all com­ from time deposits adjusted thereafter. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

American Business Investments in Foreign Countries The Office of Business Economics of the on the United States and on the countries U.S. Department of Commerce announced where these investments are located. on August 9, 1967, that it is making a new Reports must be filed by every U.S. “cor­ survey of American direct investments poration, partnership, estate or trust, in­ abroad. The last survey covered the year dividual, or closely related group of persons” 1957. At that time such investments had a that on December 31, 1966, owned directly book value of about $25 billion, and they or in conjunction with affiliated persons at produced incomes of about $2.5 billion. In least 10 per cent of the voting securities, or the 10 years since then both investments similar certificates of ownership, of a for­ and incomes have approximately doubled in eign organization, or had foreign branches value. or other unincorporated foreign properties. The information sought is important both These reports should be filed within 90 days to the Government and to private business. after publication of the announcement in It will provide information essential for the Federal Register on August 9. maintaining the accuracy of statistics on the The reporting is mandatory. Additional balance of international payments and the information concerning this survey may be international investment position of the obtained from the Balance of Payments United States. The new data will facilitate Division, Office of Business Economics, a factual appraisal of the economic effects U.S. Department of Commerce, Washing­ of private American business investments ton, D.C. 20230. 1317 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

Statement to Congress I appreciate this opportunity to present services are available be stated by the seller, the views of the Board of Governors on and known to the buyer, in standardized, H.R. 11601, the “Consumer Credit Protec­ meaningful terms. It is in this way that the tion Act,” and the related bills being con­ buyer can be informed of his options— sidered by this committee. among both competing sellers and compet­ The Board believes that important social ing services—so that he may use his pur­ as well as economic benefits may be ex­ chasing power in what to him is the most pected to flow from a more effective dis­ desirable way. closure of credit costs to consumers. As Prices of goods and services are usually reasonable and workable ways are found to stated in money terms, but a meaningful accomplish this objective, the market sys­ price comparison requires also some knowl­ tem should function more efficiently. Ex­ edge about the service to be acquired; isting trade practices generally fall short of namely, quantity and, where applicable, the kind of disclosure that is necessary to quality and duration of use. When the serv­ enable potential borrowers to make in­ ice to be acquired is the use of consumer formed judgments about the use of con­ credit, quantity and duration of use are the sumer credit. Providing consumers with the important variables. Duration of use is the basic information they need to compare al­ period for which the credit is extended, of ternative credit plans and to compare credit course, and quantity is the amount of credit costs with returns on their savings should used on average over this period. It is cus­ not only help them in managing their money tomary in finance to standardize the time­ to better advantage, but should also strength­ period variable by stating price in terms of en competition, with resultant benefits for charge per year, and the quantity variable the economy. by stating price per hundred dollars. The price system is a fundamental attri­ Now it would be possible to meet this bute of a free-enterprise, competitive econ­ price specification standard by stating the omy. The sale of goods and services in price of credit as dollars and cents per hun­ exchange for money is the method by which dred dollars borrowed on average per year. the vast majority of transactions are con- But this is a complex form of statement, and sumated, and permits a degree of specializa­ it produces exactly the same result as the tion—with its resulting efficiencies—that use of a percentage rate. That is, on a 1 otherwise would be impossible. And for this year loan of $1,000, payable in equal month­ system to function most effectively, it is nec­ ly instalments and carrying a charge of $60 essary that the prices at which goods and (so-called 6 per cent add-on loan), the charge per annum on the average amount of Note.—Statement of J. L, Robertson, Vice Chair­ loan available to the borrower may be stated man, Board of Governors of the Federal Reserve Sys­ tem, before the Subcommittee on Consumer Affairs at the standardized rate of either $10.90 per of the House Banking and Currency Committee, on hundred dollars or 10.9 per cent. H. R. 11601 and related bills, Aug. 7, 1967. 1318 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

STATEMENT TO CONGRESS 1319 The important point here is that the bor­ riod must be disclosed. To guard against the rower has available for use, over the life of possibility that existing forms of ordinary in­ the loan, not $1,000 but an average of $542, stalment credit might be converted to re­ because each monthly payment includes re­ volving credit in order to escape disclosure payment of principal as well as interest. The of an annual percentage rate, the Senate Board believes that to state the standardized bill’s exemption for revolving credit is charge as applying to anything other than limited to plans that meet three tests. To the average amount of credit available to qualify for exemption a plan must require the borrower would distort the true relation­ payment of at least 60 per cent of the ship between cost and benefit received. The amount of the credit within 1 year, must Board is also convinced that it is preferable not involve retention by the creditor of a to state the charge in percentage rather than security interest in property, and must pro­ dollar terms, and on an annual basis rather vide for crediting prepayments immediately than for some other period. This would facil­ to reduce the balance due. itate comparison with other financial prices, These compromise provisions were such as the percentage charge on single-pay­ adopted in response to criticism by repre­ ment loans, the interest rate paid on savings sentatives of a segment of the retail industry, accounts, and the yield available to investors who argued that it would be unfair to re­ on Government bonds and other securities. quire disclosure of an 18 per cent annual Thus, we are in basic agreement with the percentage rate for revolving credit plans provisions of H.R. 11601 in these respects. under which a monthly charge of P/2 per This year, for the first time since Senator cent was imposed, because that would Douglas introduced his initial “truth in lend­ ignore the “free ride” period between the ing” bill in 1960, the Senate has approved a date the sale was made and the last date credit-cost disclosure bill. The objective of on which the bill could be paid without S. 5, as passed by the Senate, is to see that imposition of any finance charge. Inclu­ the consumer is provided with the informa­ sion of the “free ride” period—that is, tion that he needs to make up his own mind calculation of the annual percentage rate about whether to borrow, and if so, where. from the date of purchase rather than the It does not purport to impose rate ceilings date on which payment must be made to or any other restraints on terms and condi­ avoid a finance charge—would, it is true, tions, but only to assure full disclosure. The produce annual rates below 18 per cent Board agrees with this approach, and favors where a monthly charge of U/i per cent is enactment of S. 5, although in one important imposed. But an 18 per cent annual rate is respect we believe that the disclosure provi­ the exact equivalent of a P/2 per cent sions of H.R. 11601 are preferable. monthly rate and is a fair and meaningful The provisions of H.R. 11601 relating to figure if one assumes that the credit begins open-end credit plans (“revolving credit”) at the end of the “free ride” period. We offer important advantages, we believe, over believe that this is the significant date from the comparable provisions of S. 5. Under the the point of view of a customer who is con­ Senate bill, an annual percentage rate need sidering whether to pay the entire balance not be disclosed for most revolving credit and avoid any finance charge. plans; although the percentage rate per pe­ In eliminating the revolving credit exemp- Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1320 FEDERAL RESERVE BULLETIN • AUGUST 1967 tion, the sponsors of H,R. 11601 have rec­ We believe first-mortgage loans on real ognized the importance of providing con­ estate should be exempt, as provided in sumers with a standardized method of com­ S. 5, because there is already reasonable paring credit costs and have avoided giving disclosure in this field and disclosure re­ one type of creditor an unfair competitive quirements developed for relatively short­ advantage over another. term credit are inappropriate for loans with In addition to rate information, knowl­ maturities of 20 to 30 years. To require edge of the specific accounting practices em­ that the annual percentage rate be recom­ ployed by the store is necessary for accurate puted to reflect costs incidental to the exten­ comparison of credit costs in the case of sion of credit would involve particularly open-end credits. Though it is impossible to troublesome questions in first-mortgage calculate in advance the influence of such lending because of the number and variety differing practices on effective finance of the costs assessed at closing, many of charges, the consumer should at least be which would be incurred, in whole or in alerted in clear and unambiguous language part, by a prudent cash buyer if no credit to the differences that may exist. Thus, the was extended. While it would be possible Board has recommended, and both the to spread discounts and other credit-related Senate bill and H.R. 11601 require, that costs over the life of the contract as a part information disclosed on all open-end credit of the annual rate of finance charge, we plans must include the duration of any free feel that this might tend to mislead the bor­ period allowed, the method of computing the rower. Such charges are in the nature of balance against which the finance charge is “sunk cost” and are borne in full by the imposed, and minimum or special charges borrower whether the loan is repaid in 1 (if any). year or 30. To require disclosure of total Such information would be disclosed in dollar finance charge, including interest some detail when the account is opened, payable over the whole life of the contract, and, in addition, a brief disclosure of the might be more misleading than helpful. The essentials would be required in the monthly present value of a dollar of interest to be bill. " paid 20 to 30 years hence is substantially We believe that this information would less than one dollar, and relatively few firstgive the credit user a picture that is fair to mortgage contracts appear to be carried all the store, informative to the customer, useful the way to maturity. in comparing charges from store to store, The Board does believe, however, that and broadly comparable to other rates second-mortgage loans, land purchase con­ charged for credit or paid on savings. tracts, and similar transactions should be With the exception of the provisions on covered. Such credits typically are extended revolving credit, however, the Board be­ for much shorter terms than first mortgages, lieves that the Senate-passed bill is prefer­ and discounts, fees, and charges can make able to H.R. 11601. As we see it, the major up a much larger proportion of total finance differences, insofar as disclosure is con­ charges. Moreover, second-mortgage credit cerned, relate to real estate credit, insur­ is often obtained for purposes such as home ance premiums, transactons involving small modernization, durable goods purchases, finance charges, and effective date. and debt consolidation—consumer transac- Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

STATEMENT TO CONGRESS 1321 tions of the type usually financed with con­ cide instead simply to discontinue this type sumer instalment credit. of credit. S. 5 would exempt transactions in­ One of the issues that has proved trouble­ volving a finance charge of less than $10 some during consideration of disclosure leg­ from the requirement of disclosure of an islation has been the question of how to treat annual percentage rate, although other dis­ insurance premiums on policies taken out closure requirements would still apply. We by borrowers as a condition of, and covering believe that some such exemption is needed. the amount of, the credit contract. If such Turning to the question of effective date, insurance is required, the borrower bears the Board believes that in order to allow suf­ a cost which probably would not have been ficient time for consultation, preparation, incurred if no credit were obtained. More­ and publication of regulations by the Board over, exclusion of insurance from the finance as well as time for those subject to the regu­ charge creates a potential area of abuse, lations to study their provisions, procure since some lenders may be encouraged to rate tables, and train their personnel in the promote high-cost insurance to compensate new procedures, disclosure requirements for a somewhat lower finance charge. should not take effect prior to 1 year after The fact remains, however, that inclusion enactment. The Senate bill provides for in the finance charge of premiums for in­ additional time, so that State legislatures surance that provides a benefit to the bor­ may have time to make any necessary rower over and above the use of credit amendments to their existing statutes and to would overstate the actual charge for credit. pass similar disclosure legislation. The Therefore, we think that such premiums are Board shares the hope expressed by the not properly regarded as part of the finance Senate committee that enactment of Fed­ charge, and should be specifically excluded, eral disclosure legislation will prompt the as provided in S. 5. We do believe, however, States “to pass similar legislation so that that the dollar amount of any such premi­ after a period of years the need for any Fed­ ums included in the credit extended should eral legislation will have been reduced to a be itemized, again as provided in S. 5. minimum” (S. Rept. 392, page 8). Another provision of S. 5 that is omitted In addition to the “truth in lending” pro­ from H.R. 11601 relates to closed-end (in­ visions just discussed, H.R. 11601 embodies stalment) credit transactions involving small provisions regulating credit advertising that amounts. Presumably no one wants to press affects interstate commerce. Since the infor­ disclosure of credit costs to the point where mation available to the Board in this area is borrowers are denied access to credit at any extremely limited, we have little basis for price. But to require disclosure of an annual comment on these provisions. On their face, percentage rate in small closed-end credit they would seem in effect to prohibit adver­ transactions might have just that result. For tisers from specifying rates or other credit credit of this kind, a high effective rate may terms on radio or television, since it would be justified to compensate the creditor for be impracticable to make the detailed dis­ the relatively high out-of-pocket costs of closures that would then be required. Per­ handling the transaction. However, he may haps it is desirable to limit this kind of ad­ be understandably reluctant to disclose a vertising to generalities such as “easy credit high annual percentage rate, and might de­ available,” but such a restriction might also Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1322 FEDERAL RESERVE BULLETIN • AUGUST 1967 operate to prevent creditors who offer lower you determine that regulation of advertising rates or other advantages from advertising is needed, we urge that you place this re­ that fact on the air, thus inhibiting competi­ sponsibility in the Federal Trade Commis­ tion. sion, which has the benefit of years of ex­ The bill would also prohibit creditors perience in regulating advertising and has from advertising “that a specified periodic an investigative staff and established admin­ credit amount or instalment amount can be istrative procedures for effective enforce­ arranged, unless the creditor usually and ment. customarily arranges credit payments or in­ One provision of H.R. 11601, not in­ stalments for that period and in that cluded in the bill that passed the Senate, amount.” A determination of what terms are prohibits any creditor, in extending credit customarily and usually offered by a cred­ to an individual, from demanding or accept­ itor would pose considerable problems of ing any finance charge in excess of (1) the investigation and enforcement, and perhaps limit under State law, if any, or (2) 18 per for that reason provisions are included in cent per year, whichever is less. The Board the bill (section 209) for administrative en­ is sympathetic with the apparent purpose forcement which closely parallel those now of this provision, which is to prevent lenders provided in section 5 of the Federal Trade from overcharging their customers. Never­ Commission Act. No such provisions are theless, we strongly urge that it be deleted included in S. 5; the Senate committee re­ from the bill. port on the bill stated that the “committee Our objections to a statutory interest rate has not recommended investigative or en­ ceiling relate principally to its inflexibility. forcement machinery at the Federal level, A single ceiling cannot take account of the largely on the assumption that the civil widely varying circumstances surrounding penalty section will secure substantial com­ individual credit transactions, such as pliance with the act” (S. Rept. 392, page amount of credit, costs of handling, purpose 9). The bills before you provide for civil of loan, quality of collateral, and credit actions, in which a creditor who fails to standing of the borrower. Hence we fear comply with the disclosure requirements that potential borrowers, with legitimate would be liable to the debtor for $100 or and often compelling needs for credit, twice the finance charge, whichever is would be refused accommodation within the greater (but not more than $1,000), plus rate ceiling set by law. attorneys’ fees and court costs. The Board The selection of an appropriate ceiling hopes that these civil remedies, supple­ rate also would pose very serious problems mented as they are by criminal sanctions, for the Congress. A maximum of 18 per will prove adequate to assure compliance cent might seem generous—overly so, in with “truth in lending” requirements. the view of many—but it probably would Self-enforcement is probably less effec­ not cover lender costs in some types of trans­ tive, however, in the field of advertising. actions. For a small loan, the finance charge An individual borrower could hardly be ex­ may need to be very high—expressed in pected to prove in a private law suit, for percentage terms—since many costs inci­ example, that a creditor did not customarily dent to the transaction are more or less fixed, and usually offer particular credit terms. If regardless of the size of the loan. Moreover, Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

STATEMENT TO CONGRESS 1323 collection costs can be very substantial on nection with the extension of credit, author­ some classes of loan, and these too bear izing the confession of judgment against the little relation to the amount of credit ex­ debtor. It is abundantly clear that both tended. Indeed, almost all States now have procedures are subject to serious abuse in special small-loan laws, in recognition of the hands of unscrupulous creditors. An the impossibility of providing some types of unwary consumer can sign away most of his credit to consumers within the ordinary rights to legal defense against creditor usury ceiling. For companies chartered un­ claims and, upon failure to make a payment, der these laws, permissible finance rates run may find his wages attached without prior as high as 42 per cent per annum in some notice. Indeed, in many States he may be States. deprived of the major share of his current Effective enforcement of a ceiling finance income, with obvious consequences for the charge also could be very difficult to continued well-being of his family, and often achieve. There is a strong possibility that the fact of garnishment may jeopardize his many consumers, refused credit from legiti­ job. mate sources within the statutory ceiling, These considerations raise serious ques­ would turn to illegal lenders (the so-called tions as to whether such practices should loan sharks) and other unethical sources of be condoned from the standpoint of public credit. Some retail merchants, dependent policy. The Board is not prepared to com­ chiefly on credit business, would be tempted ment on the legal points at issue, or on the to avoid the ceiling simply by inflating the social consequences involved in continua­ price of goods sold. Under-the-counter tion or prohibition of these practices. But agreements and devices to conceal part of we should bear in mind that these devices, the finance charge would flourish. As is by increasing the security of the creditor, often the case, the stronger the incentives make him willing to extend credit to bor­ to circumvent a restriction, the more diffi­ rowers that he otherwise might not accom­ cult it is to enforce. modate. We have no estimate of the number And as you know, in some situations, of credit contracts that would not be made in there is a tendency for ceilings to become the absence of wage garnishment and con­ floors as well. I am sure none of us would fessions of judgment. But it is obvious that like to see a Federal ceiling rate operate to there must be many small borrowers with raise borrowing costs. relatively poor credit records who have little in the way of security to offer the lender For all of these reasons, the Board other than the right to quick legal action strongly urges deletion of this provision. We and attachment of wages. prefer to see the problem attacked through the disclosure requirements of the bill, in As you know, the President has directed the belief that informed consumers will be the Attorney General, in consultation with in a better position to choose among the the Secretary of Labor and the Director of various financing options available to them the Office of Economic Opportunity, to in their particular circumstances. make a comprehensive study of the prob­ H.R. 11601 contains sections not in the lems of wage garnishment. The Board be­ Senate bill that prohibit garnishment of lieves that a decision on this matter, and on wages and use of any documents, in con­ the related problem of confessions of judg- Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1324 FEDERAL RESERVE BULLETIN • AUGUST 1967 ment, should be deferred until the Attorney credit is used in connection with futures General’s report and recommendations be­ trading. The margin in such trades, as we come available for your consideration. understand it, is in the nature of “earnest Section 207 of the bill assigns the Board money” assuring completion of the contract broad authority to prescribe regulations gov­ by buyer and seller at a later date. Unlike erning the extension and maintenance of the stock market, title to property does not margin requirements on commodity futures change hands; there is no immediate pay­ contracts. It is stated that the purpose of ment and hence no need for credit. such regulation is to prevent excessive spec­ The statutory purpose of margin regula­ ulation in, and use of credit for, trading in tion as applied to stocks is to prevent the such contracts with undesirable effects on excessive use of credit in stock market trad­ prices. ing. Since rapid growth of credit-financed There may well be need to attempt margin purchases can contribute to destabil­ through regulation to dampen some of the izing speculative advances in stock prices, speculative movements in commodity fu­ one indication that use of stock market tures markets, with their possible repercus­ credit may be becoming excessive is a rapid sions on spot commodity prices. The Board growth in margin credit coincident with recognizes that the futures markets perform sharp increases in stock trading activity, and a valuable economic function in permitting substantial gains in the stock price averages. producers and users of commodities to At such times the Federal Reserve may in­ hedge their operations against near-term crease margin requirements in order to slow price changes, and that speculators are an the rate of stock market credit expansion. essential part of the futures market in bal­ But the governing purpose is not to affect ancing the supply of and demand for futures stock price movements, either for individual contracts. But we also recognize that specu­ stocks, groups of stocks, or the market in lative sentiment at times can be so massive general. Regulation of stock market credit, and one-sided that it constitutes a disruptive not stock prices, is the goal. force in the functioning of markets. We understand that the Department of In any event, however, we feel that the Agriculture is currently studying the advisa­ Department of Agriculture, rather than the bility of applying margin requirements to Board, would be much the more appropriate trading in those commodity futures markets agency to administer any such commodity under the general supervision of the Com­ market legislation. The formulation of modity Exchange Authority. The Board workable regulations, as well as their ad­ would like to reserve judgment on this mat­ ministration, requires close and continuing ter pending completion of the Department’s contact with the futures markets and a study. knowledge of present and prospective de­ Section 208 of the bill would give the mand and supply conditions in the spot Board, upon a Presidential determination commodity markets underlying them, which that a national emergency exists, authority the Board simply does not have. to impose selective controls on the use of Furthermore, the principal concern of the consumer credit. This could be done either Federal Reserve is with credit conditions, directly, by limiting the terms on which and it is our belief that relatively little credit is made available to individual bor- Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

STATEMENT TO CONGRESS 1325 rowers, or indirectly, by limiting the use of broad their coverage should be, how they funds by creditors to finance consumer should be administered, and when they credit operations. There is clearly no need should be suspended. Furthermore, there to activate such controls at present, in our is some question as to the desirability of view, but it is possible to visualize a com­ singling out this one area for standby auth­ bination of economic circumstances in ority, rather than considering the whole ar­ which this authority could prove a useful ray of special actions that might prove nec­ supplement to our general instruments of essary or desirable in a national emergency. monetary and credit control. We therefore respectfully suggest to the We do question, however, whether an committee that it would be preferable to authorization for standby selective credit consider the question of selective consumer controls properly belongs in an Act intended credit controls in a broader context and to to provide greater protection for consumers delete this provision from the pending bill. in their use of credit. Standby credit controls In summary, let me express the hope that would only remotely—and fortuitously— your committee will act favorably on S. 5, protect the consumer in his individual use of with an amendment eliminating the revolv­ credit. The object of such controls, activated ing credit exemption. The Board of Gov­ only in a national emergency, would be to ernors believes there is a need for this legisla­ limit the consumer’s recourse to credit for tion, and while we have no special qualifica­ purposes of national economic stabilization. tions for the function of writing regulations The Board cannot conceive of the use of to implement it, we will do our best to carry these controls to protect the consumer against himself by denying him overly lib­ out this responsibility if the Congress assigns eral credit terms or excessive use of credit it to us. If, however, you determine that relative to his means. there is a need for additional measures, The use of selective credit controls is a such as regulation of advertising or trading controversial matter. There are always in commodity futures, to protect consumers, bound to be differences of opinion as to responsibility for their administration and when such controls should be invoked, how enforcement should be assigned elsewhere. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

Record of Policy Actions of the Federal Open Market Committee Records of policy actions taken by the Federal Open Market Committee at each meeting, in the form in which they will ap­ pear in the Board’s Annual Report, are now being released ap­ proximately 90 days following the date of the meeting and are subsequently being published in the Federal Reserve Bulletin. The record for each meeting includes the votes on the policy de­ cisions made at the meeting as well as a resume of the basis for the decisions. The summary descriptions of economic and finan­ cial conditions are based on the information that was available to the Committee at the time of the meeting, rather than on data as they may have been revised since then. Policy directives of the Federal Open Market Committee are issued to the Federal Reserve Bank of New York—the Bank selected by the Committee to execute transactions for the System Open Market Account. Records of policy actions for the first four meetings held in 1967 were published in the Bulletin for July, pages 1115-51. The record for the meeting held on May 2, 1967, follows: 1326 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

RECORD OF POLICY ACTIONS OF THE FOMC 1327 MAY 2, 1967 Authority to effect transactions in System Account. Prospects for renewed economic expansion had improved re­ cently, according to reports at this meeting, and business con­ fidence in the outlook had strengthened markedly. Department of Commerce figures for GNP in the first quarter confirmed earlier staff estimates that there had been no growth in real out­ put of goods and services in that quarter. However, the official estimates—which were based in part on preliminary information for February and March—indicated that consumer expenditures had been considerably larger than anticipated, and the reduction in the rate of inventory accumulation correspondingly greater. Government outlays also appeared to have risen more than expected. The inventory adjustments now under way were associated with both rising retail sales and a reduced level of industrial production. The retail sales estimate for February had been revised upward nearly to the January level, and the advance estimate for March showed a surprisingly large increase in that month. Although the advance estimate may have overstated the actual gain in March, weekly sales figures for the first part of April were relatively strong. Industrial output was somewhat lower in the first quarter than in the fourth quarter of 1966, and it was tentatively estimated to have fallen slightly in April. Employment in manufacturing industries declined again in March, and total nonfarm employment rose little. The unemploy­ ment rate was about unchanged in both March and April, but recent substantial increases in claims for unemployment insur­ ance suggested weakness in some labor markets. Continuing inventory adjustments—with a further large re­ duction in the accumulation rate in the second quarter and per­ haps some net liquidation in the third—appeared to be in pros­ pect. For the near term some further declines in industrial pro- Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1328 FEDERAL RESERVE BULLETIN • AUGUST 1967 duction and manufacturing employment seemed likely, and growth in over-all economic activity was expected to be well below the economy’s potential. Nevertheless, the staff’s pro­ jection for GNP in the second quarter had been revised upward moderately, in large part because of the apparent strengthening in consumer spending, and an initial projection for the third quarter suggested that activity then would be expanding at a more rapid rate. With housing starts increasing contra-seasonally in the first quarter, prospects for residential construction activity had improved. The projections assumed that total fixed invest­ ment by business would remain relatively stable at about the high first-quarter rate, that defense expenditures would continue to exceed earlier expectations, and that State and local govern­ ment outlays would maintain their strong upward momentum. The rise in the consumer price index in March was somewhat larger than the small average increase of the preceding 4 months. Contrary to earlier indications, average wholesale prices declined in March, and according to advance estimates they fell further in April. The declines in both months reflected reductions in prices of farm products and processed foods; average prices of indus­ trial commodities were stable despite renewed weakness in prices of basic industrial materials. However, industrial prices were expected to continue under pressure from rising unit labor costs. Unit labor costs in manufacturing advanced slightly further in March, and for the first quarter as a whole they were now es­ timated to have been 4.7 per cent above a year earlier—the largest increase in nearly a decade. The balance of payments deficit in the first quarter was now estimated to have been about the same as in the fourth quarter of 1966 on the “liquidity” basis of calculation, but of near record magnitude on the “official reserve transactions” basis. The li­ quidity deficit continued to be held down in the first quarter by various types of special transactions. First-quarter payments were affected favorably by a substantial rise in the surplus on Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

RECORD OF POLICY ACTIONS OF THE FOMC 1329 merchandise trade; the nature of the factors offsetting this favor­ able development could not be determined as yet from the avail­ able data. The Board of Governors approved a reduction in the Federal Reserve discount rate from 4!4 to 4 per cent on April 6, and the Bank of Canada reduced its discount rate on the same day. On April 13 the German Federal Bank lowered its discount rate for the third time in 1967—to 316 per cent—and 2 weeks later it announced its second reduction of the year in reserve require­ ments. Meanwhile, market interest rates in a number of major industrial countries abroad continued to decline. Recent System open market operations had been directed at maintaining the easier money market conditions that devel­ oped after the announcement of the Federal Reserve discount rate action on April 6. That announcement had been followed promptly by reductions in rates on Federal funds, on bank loans to Government securities dealers, and on negotiable CD’s and other short-term market instruments. The market rate on 3month Treasury bills declined more than 20 basis points, and was 3.75 per cent on the day before this meeting. Large demands by private investors, as well as System purchases, contributed to the declines in bill yields. Total and nonborrowed reserves of member banks continued to grow in April, but at a rate sharply lower than in the first quarter. Free reserves, which fluctuated widely from week to week, averaged about $210 million, compared with $170 mil­ lion in March; and average member bank borrowings declined to $150 million from $200 million. In contrast to developments in short-term markets, long-term interest rates had risen considerably since the preceding meeting of the Committee, reaching levels well above the highs of late February. These rate advances reflected both the continued heavy volume of new security flotations and the shift to more optimistic appraisals of the economic outlook by market partici- Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1330 FEDERAL RESERVE BULLETIN • AUGUST 1967 pants. The volume of new corporate issues offered publicly in April, while less than the March total, was a record for the month, and the calendar of offerings scheduled for May and June was already large. Municipal bond flotations continued heavy, and another sizable issue of FNMA participation certifi­ cates was expected before midyear. Market attitudes also were influenced by the prospect that the Federal Government would have substantial needs for cash in the second half of the year. On April 26 the Treasury announced a refunding of securities maturing in May and a prerefunding of issues maturing in June and August, with settlement scheduled for May 15. In exchange for these securities, of which about $9 billion were held by the public, the Treasury offered two new issues: a 15-month, 414 per cent note and a 5-year, 4% per cent note. The 5-year note, priced at par, was offered to holders of any of the maturing issues; the 15-month note, priced to yield 4.29 per cent, was offered to holders of securities maturing in May and June. The seasonally adjusted rate of increase in mortgage debt outstanding rose somewhat in the first quarter after three suc­ cessive quarters of decline, but it remained relatively low. Down­ ward pressure on mortgage yields was maintained in March by continuing large inflows of funds to depositary-type institutions. These institutions were continuing to use a large part of their inflows to rebuild liquidity through repayment of debt and the acquisition of marketable securities, partly because the supply of mortgages available for immediate acquisition remained lim­ ited. However, the possibility of a further increase in flows of funds into mortgage markets in coming months was suggested by an expanding volume of mortgage commitments. Data for city banks indicated that loan demands had been moderate in the first half of April despite large corporate tax payments. Corporations apparently used part of the proceeds of recent capital market flotations and some of their CD holdings to help finance their tax payments. Beginning in late March, Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

RECORD OF POLICY ACTIONS OF THE FOMC 1331 banks sharply reduced the interest rates offered on large-denomi­ nation CD’s, and the volume of such CD’s outstanding declined over the tax period by more than had been contemplated in staff projections. However, growth in consumer-type time deposits accelerated in April and total time and savings deposits of com­ mercial banks continued to expand rapidly—although not so rapidly as earlier in the year. Government deposits rose substan­ tially as a result of receipts of taxes, and private demand depos­ its and the money supply declined. Daily-average member bank deposits—the bank credit proxy—rose at an annual rate of 13.5 per cent from March to April, about in line with expectations and somewhat less than the rate earlier in the year. Net business demands for bank loans were expected to be quite moderate in May; the corporate tax period was past, needs for inventory financing appeared likely to be small, and—with the continuing large volume of capital market flotations—-a rise in the rate of repayments of bank loans was possible. Growth in the bank credit proxy was projected to slow considerably in May—to an annual rate in the 1 to 4 per cent range—if money market conditions were unchanged. Staff projections for the month suggested a sharp decline in Government deposits, offset only in part by a rise in private demand deposits, and a sizable increase in the money supply. Growth in time and savings de­ posits was expected to moderate somewhat further. The Committee concluded that it would be appropriate at this time to maintain the prevailing conditions in the money market. While the emphasis of individual members varied, both the gen­ eral economic situation and outlook and the desirability of main­ taining an “even keel” in the money market during the current Treasury financing were advanced as grounds for such a policy course. The following current economic policy directive was issued to the Federal Reserve Bank of New York: The economic and financial developments reviewed at this meeting suggest that prospects for renewed economic expansion have improved. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1332 FEDERAL RESERVE BULLETIN • AUGUST 1967 The adjustment of excessive inventories is proceeding, as a result of the reduced level of industrial output and with consumer buying strengthening. Average wholesale prices have declined recently, reflecting reductions in farm and food prices and stability in prices of industrial commodities; but unit labor costs in manufacturing have risen further. Bank credit expansion has moderated in recent weeks from its earlier rapid rate. Long-term interest rates have risen considerably under the influence of heavy securities market financing and more optimistic market appraisals of the business outlook, but short-term yields have declined further fol­ lowing the recent reduction in Reserve Bank discount rates. Interest rates abroad have continued to decline and some further reductions have been made in foreign central bank discount rates. The balance of payments deficit has remained substantial despite some improvement in the foreign trade surplus. In this situation, it is the Federal Open Market Commit­ tee’s policy to foster money and credit conditions, including bank credit growth, conducive to renewed economic expansion, while recognizing the need for progress toward reasonable equilibrium in the country’s balance of payments. To implement this policy, while taking account of the current Treasury financing, System open market operations until the next meeting of the Committee shall be conducted with a view to maintaining the prevailing conditions in the money market. Votes for this action: Messrs. Martin, Brimmer, Daane, Francis, Maisel, Mitchell, Robertson, Scanlon, Sherrill, Swan, Ellis, and Treiber. Votes against this action: None. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

Law Department Administrative interpretations, new regulations, and similar material LOANS TO EXECUTIVE OFFICERS could be extended to him by the bank of which An Act of Congress approved July 3, 1967 he is an officer. “(2) With the specific prior approval of its board (Public Law 90-44), among other things, of directors, a member bank may make a Ioan not amended section 22(g) of the Federal Reserve exceeding $30,000 to any executive officer of the Act so as to liberalize the restrictions on loans bank if, at the time the loan is made— by member banks of the Federal Reserve System “(A) it is secured by a first lien on a dwell­ to their executive officers. The portion of the ing which is expected, after the making of the Act amending section 22(g) reads as follows: loan, to be owned by the officer and used by him as his residence, and “(B) no other loan by the bank to the of­ Public Law 90-44 ficer under authority of this paragraph is out­ standing. 90th Congress, S. 714 “(3) A member bank may make extensions of July 3, 1967 credit to any executive officer of the bank, not exceeding the aggregate amount of $10,000 outstand­ AN ACT ing at any one time, to finance the education of the To amend section 22(g) of the Federal Reserve Act children of the officer. relating to loans to executive officers by member “(4) A member bank may make extensions of banks of the Federal Reserve System, and to amend credit not otherwise specifically authorized under this the Federal Credit Union Act to modify the Joan subsection to any executive officer of the bank, not provisions relating to directors, members of the exceeding the aggregate amount of $5,000 outstanding supervisory committee, and members of the credit at any one time. committee of Federal credit unions. “(5) Except to the extent permitted under para­ graph (4), a member bank may not extend credit to Be it enacted by the Senate and House of Repre­ a partnership in which one or more of its executive sentatives of the United States of America in Con­ officers are partners having either individually or gress assembled, together a majority interest. For the purposes of Section 1. Section 22(g) of the Federal Reserve paragraph (4), the full amount of any credit so Act (12 U.S.C. 375a) is amended to read: extended shall be considered to have been extended “(g)(1) Except as authorized under this subsection, to each officer of the bank who is a member of the no member bank may extend credit in any manner partnership. to any of its own executive officers. No executive “(6) Whenever an executive officer of a member officer of any member bank may become indebted bank becomes indebted to any bank or banks (other to that member bank except by means of an ex­ than the one of which he is an officer) on account tension of credit which the bank is authorized to of extensions of credit of any one of the three cate­ make under this subsection. Any extension of credit gories respectively referred to in paragraphs (2), (3), under this subsection shall be promptly reported to and (4) in an aggregate amount greater than the the board of directors of the bank, and may be aggregate amount of credit of the same category made only if— that could lawfully be extended to him by the bank, he shall make a written report to the board of direc­ “(A) the bank would be authorized to make tors of the bank, stating the date and amount of each it to borrowers other than its officers; such extension of credit, the security therefor, and the “(B) it is on terms not more favorable than purposes for which the proceeds have been or are to those afforded other borrowers; be used. “(C) the officer has submitted a detailed cur­ rent financial statement; and “(7) This subsection does not prohibit any execu­ “(D) it is on condition that it shall become tive officer of a member bank from endorsing or due and payable on demand of the bank at any guaranteeing for the protection of the bank any time when the officer is indebted to any other loan or other asset previously acquired by the bank bank or banks on account of extensions of in good faith or from incurring any indebtedness credit of any one of the three categories re­ to the bank for the purpose of protecting the bank spectively referred to in paragraphs (2), (3), against loss or giving financial assistance to it. and (4) in an aggregate amount greater than “(8) Each day that any extension of credit in the amount of credit of the same category that violation of this subsection exists is a continuation of 1333 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1334 FEDERAL RESERVE BULLETIN • AUGUST 1967 the violation for the purposes of section 8 of the would cause the aggregate figure to exceed the Federal Deposit Insurance Act. amount of the bank’s capital stock, so that the “(9) Each member bank shall include with (but Board’s prior approval would be required. Where not as part of) each report of condition and copy the affiliate holds the premises of a number of thereof filed under section 7(a)(3) of the Federal Deposit Insurance Act a report of all loans under the holding company’s banks, the amount of the authority of this subsection made by the bank since affiliate’s indebtedness may be so large that Board its previous report of condition. approval is required for every proposed invest­ “(10) The Board of Governors of the Federal ment in bank premises by each majority-owned Reserve System may prescribe such rules and regula­ tions, including definitions of terms, as it deems neces­ State member bank, to which the entire indebted­ sary to effectuate the purposes and to prevent evasions ness of the affiliate is required to be attributed. of this subsection.” The Board believes that, in these circumstances, * * * * * individual approvals are not essential to effectuate the purpose of section 24A, which is to safeguard Approved July 3, 1967. the soundness and liquidity of member banks, and that the protection sought by Congress can INVESTMENT IN BANK PREMISES BY HOLDING be achieved by a suitably circumscribed general COMPANY BANKS approval. The Board of Governors has been asked Accordingly, the Board hereby grants general whether, in determining under section 24A of approval for any investment or loan (as described the Federal Reserve Act (12 U.S.C. 37Id) how in section 24A) by any State member bank, the much may be invested in bank premises without majority of the stock of which is owned by a prior Board approval, a State member bank, which registered bank holding company, if the proposed is owned by a registered bank holding company, investment or loan will not cause either (1) all is required to include indebtedness of a corpora­ such investments and loans by the member bank tion, wholly owned by the holding company, (together with the indebtedness of any bank that is engaged in holding premises of banks in premises subsidiary thereof) to exceed 100 per the holding company system. cent of the bank's capital stock, or (2) the ag­ Section 24A provides, in part, as follows: gregate of such investments and loans by all of the holding company’s subsidiary banks (together “Hereafter ... no State member bank, without with the indebtedness of any bank premises af­ the approval of the Board of Governors of the filiates thereof) to exceed 100 per cent of the Federal Reserve System, shall (1) invest in bank aggregate capital stock of said banks. premises, or in the stock, bonds, debentures, or other such obligations of any corporation holding the premises of such bank or (2) make loans LOAN “PRODUCTION OFFICES" AS BRANCHES to or upon the security of the stock of any such The Board of Governors has been asked corporation, if the aggregate of all such invest­ whether the so-called “production offices” of a ments and loans, together with the amount of member State bank, operated in conjunction with any indebtedness incurred by any such corpora­ its mortgage loan activities, are branches of the tion which is an affiliate of the bank, as defined bank within the meaning of applicable Federal in section 2 of the Banking Act of 1933, as law. amended [12 U.S.C. 221a], will exceed the amount The production offices, which are open to the of the capital stock of such bank.” public, are staffed by employees of the bank A corporation that is owned by a holding com­ who regularly engage in the business of solicit­ pany is an “affiliate” of each of the holding ing borrowers, negotiating terms, and process­ company’s majority-owned banks as that term ing applications for real property loans that is defined in said section 2. Therefore, under the are placed with various institutional investors. explicit provisions of section 24A, each State With few exceptions, the loan funds are initially member bank, any part of whose premises is advanced by the bank for its own account. Terms owned by such an affiliate, must include the af­ are arranged and loan applications are executed filiate’s total indebtedness in determining whether at the production offices, but other documents, a proposed premises investment by the bank such as notes and mortgages, are completed at Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

LAW DEPARTMENT 1335 authorized offices of the bank (or at an office of COLLECTION OF CHECKS AND OTHER ITEMS a title insurance or escrow company, in a few BY FEDERAL RESERVE BANKS cases). Loan proceeds are also disbursed through The Board of Governors, effective September the bank’s authorized offices and not through 1, 1967, has revised its Regulation J, “Collec­ the production offices. The latter offices do not tion of Checks and Other Items by Federal Re­ service loans and have no authority to commit serve Banks” and revoked its Regulation G, the bank on loan contracts. “Collection of Noncash Items”. The Board’s rules Section 5155(f) of the Revised Statutes (12 relating to the latter regulation are combined U.S.C. 36), which is made applicable to member with its rules governing check clearing and col­ State banks by section 9 of the Federal Reserve lection in the revision of Regulation J. In general, Act (12 U.S.C. 321), provides that the term the revision of Regulation J is intended to bring branch “shall be held to include any branch bank, its provisions into closer conformity with the branch office, branch agency, additional office, check collection provisions of the Uniform Com­ or any branch place of business ... at which mercial Code and with developments in bank­ deposits are received, or checks paid, or money ing practices. It also seeks to clarify and describe lent.” It appears that the bulk of the activities in more precise language the terms and conditions of the production offices relates to the lending under which checks and other items are received of money by the bank (although the loans are and handled for collection by the Reserve Banks. thereafter sold to others). In connection with the adoption of the new The Board concluded that an office through Regulation, the Federal Reserve Banks have re­ which loan transactions are initiated, the terms vised their collection circulars governing the de­ of loans negotiated, and other steps that lead tails of their collection operations. Such circulars to completed loan transactions are carried on by are also effective September 1, 1967. a member bank is a branch within the purview The revised Regulation J reads as follows: of section 9 of the Federal Reserve Act and section 5155 of the Revised Statutes. REGULATION J The statutory enumeration of three specific (12 CFR 210) functions that establish branch status is not As revised effective September 1, 1967 meant to be exclusive but to assure that offices at which any of these functions is performed are COLLECTION OF CHECKS AND OTHER regarded as branches by the bank regulatory ITEMS BY FEDERAL RESERVE B*ANKS authorities. The facts that final approval of loans Section 210.1—Authority and Scope arranged at “production offices” emanates from the home office or authorized branches, and that (a) Pursuant to the provisions of section 13 checks for the proceeds of loans are issued from of the Federal Reserve Act, as amended (12 such authorized offices, are not controlling for U.S.C. § 342), section 16 of the Federal Reserve this purpose, in view of the objective of the Act (12 U.S.C. § 248 (o); 12 U.S.C. § 360), cited statutes to permit significant banking serv­ section ll(i) of the Federal Reserve Act (12 ices to be made available only at governmentally U.S.C. § 248 (i)), and other provisions of law, authorized offices. Put another way, the fact the Board of Governors of the Federal Reserve that, for purposes of contract law, a loan may System has promulgated this Part governing the collection of checks and other cash items and be regarded as “made” at the place and time the collection of noncash items by the Federal of legal “acceptance” or “approval” does not gov­ Reserve Banks, ern the interpretation of these bank regulatory (6) The Federal Reserve Banks, as depositaries statutes. If the contrary were true, the Board and fiscal agents of the United States, handle observed, member banks could conduct their certain items as cash items or noncash items. To operation at numerous locations, without the the extent contemplated by regulations issued approval of supervisory authorities, by the device by, and arrangements made with, the United of performing the final step in each transaction at an authorized office of the bank, thereby sub­ * The text corresponds to the Code of Federal Regulations, Title 12, Chapter II, Part 210; cited as 12 CFR 210. The words stantially nullifying the legislative purpose. “this Part’*, as used herein, mean Regulation J. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1336 FEDERAL RESERVE BULLETIN • AUGUST 1967 States Treasury Department and other Govern­ with a Federal Reserve Bank in conformity with ment Departments, the handling of such items the requirements of § 211.7 of Part 211 of this by the Federal Reserve Banks is governed by chapter (Regulation K). the provisions of this Part. The operating letters (g) The term “international organization” of the Federal Reserve Banks shall include such means any international organization for which information regarding the currently effective pro­ the Federal Reserve Banks are empowered to visions of those regulations and arrangements (as act as depositaries or fiscal agents subject to well as any similar regulations and arrangements regulation by the Board of Governors of the Fed­ hereafter issued or made) as they shall deem eral Reserve System and for which a Federal necessary and appropriate for the guidance of Reserve Bank has opened and is maintaining banks concerned with the collection or payment an account. of such items. (h) The term “foreign correspondent” means any of the following for which a Federal Reserve Section 210.2—Definitions Bank has opened and is maintaining an account: A foreign bank or banker, or foreign state as As used in this Part, unless the context other­ wise requires: defined in section 25(b) of the Federal Reserve Act (12 U.S.C. § 632), or a foreign correspond­ (a) The term “item” means any instrument for the payment of money, whether negotiable ent or agency referred to in section 14(e) of that Act (12 U.S.C. § 358). or not, which is payable in a Federal Reserve district,1 is sent by a sender or a nonbank de­ (i) The term “cash item” means: positor to a Federal Reserve Bank for handling (1) Any check other than a check classi­ under this Part, and is collectible in funds ac­ fied as a noncash item in accordance with ceptable to the Federal Reserve Bank of the paragraph (/) of this section; or district in which the instrument is payable; except (2) Any other item payable on demand that the term does not include any check which and collectible at par which the Federal cannot be collected at par.2 Reserve Bank of the district in which the (b) The term “check” means any draft drawn item is payable may be willing to accept as on a bank and payable on demand. a cash item. (c) The term “draft” means any item which is either a “draft” as defined in the Uniform (j) The term “noncash item” means any item Commercial Code or a “bill of exchange” as which the receiving Federal Reserve Bank, in its defined in the Uniform Negotiable Instruments operating letters, shall have classified as an item Law. requiring special handling and any item normally (d) The term “bank draft” means any check received by the Federal Reserve Bank as a cash drawn by one bank on another bank. item if such bank decides that special conditions (e) The term “sender”, in respect of an item, require that it be handled as a noncash item. means a member bank, a nonmember clearing (k) The term “paying bank” means: bank, a Federal Reserve Bank, an international (1) The bank by which an item is pay­ organization, or a foreign correspondent. able and to which it is presented, unless the (f) The term “nonmember clearing bank” item is payable or collectible through another means a bank, not a member of the Federal Re­ bank and is sent to such other bank for serve System, which maintains with a Federal Re­ payment or collection; or serve Bank the balance referred to in the first para­ (2) The bank through which an item is graph of section 13 of the Federal Reserve Act, payable or collectible and to which it is and any corporation which maintains an account sent for payment or collection. 1 For the purposes of this Part, the Virgin Islands and (1) The term “nonbank payor” means any Puerto Rico shall be deemed to be in or of the Second Federal Reserve District; and Guam shall be deemed to be payor of an item, other than a bank. in or of the Twelfth Federal Reserve District, 2 The Board of Governors publishes from time to time (m) The term “nonbank depositor” means any a “Federal Reserve Par List”, which indicates the banks upon which checks are collectible at par through the Federal Reserve department, agency, instrumentality, independ­ Banks, and publishes a supplement thereto each month to show changes subsequent to the last complete list. ent establishment, or officer of the United States, Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

LAW DEPARTMENT 1337 or any corporation other than a sender, which a Federal Reserve Bank) in one district to a maintains or uses an account with a Federal Re­ Federal Reserve Bank in another district, in ac­ serve Bank. Except as may otherwise be pro­ cordance with paragraph (a) of this section, vided by any applicable statutes of the United the relationships and the rights and liabilities States or regulations issued or arrangements existing between the sender, the Federal Re­ made thereunder, the provisions of this Part serve Bank of its district and the Federal Reserve and of the operating letters of the Federal Re­ Bank to which the item is sent will be the same, serve Banks applicable to a sender are applica­ and the provisions of this Part will apply, as ble to a nonbank depositor. though the sender had sent such item to the (n) The term “State” means any State of the Federal Reserve Bank of its district and such United States, the District of Columbia, or Puerto Federal Reserve Bank had forwarded the item Rico, or any territory, possession or dependency to the other Federal Reserve Bank. of the United States. (c) The Federal Reserve Banks shall receive (o) The term “banking day” means any day cash items at par. during which a bank is open to the public for carrying on substantially all its banking functions. Section 210.5—Sender’s Agreement (a) By its action in sending any cash item or Section 210.3—General Provisions noncash item to a Federal Reserve Bank, the In order to afford both to the public and to sender shall be deemed to authorize the receiving the banks of the country a direct, expeditious, Federal Reserve Bank and any other Federal and economical system for the collection of items Reserve Bank or other collecting bank to which and the settlement of balances, each Federal Re­ such item may be forwarded, to handle such serve Bank shall receive and handle cash items item subject to the provisions of this Part and and noncash items in accordance with the terms of the operating letters of the Federal Reserve and conditions set forth in this Part; and the Banks; to warrant its own authority to give such provisions of this Part and the operating letters authority; and to agree that such provisions shall, of the Federal Reserve Banks shall be binding insofar as they are made applicable thereto, govern upon the sender of a cash item or a noncash the relationships between such sender and the item and shall be binding upon each collecting Federal Reserve Banks with respect to the han­ bank, paying bank, and nonbank payor to which dling of such item and its proceeds. the Federal Reserve Bank, or any subsequent (b) The sender shall be deemed to warrant collecting bank, presents, sends, or forwards a to each Federal Reserve Bank handling such item cash item or a noncash item received by the (1) that it has good title to the item or is au­ Federal Reserve Bank. thorized to obtain payment on behalf of one who has good title, whether or not such warranty Section 210.4—Sending of Items to Federal is evidenced by its express guaranty of prior in­ Reserve Banks dorsements on such item, and (2) such other (a) Subject to the provisions of this Part and matters and things as the Federal Reserve Bank of the operating letters of the Federal Reserve shall warrant in respect of such item consistently Banks, any sender (other than a Federal Reserve with paragraph (6) of § 210.6; but the pro­ Bank) may send to the Federal Reserve Bank visions of this paragraph shall not be deemed with which it maintains or uses an account any to constitute a limitation upon the scope or effect cash item or noncash item payable in any Fed­ of any warranty by a sender arising under the eral Reserve district; but, as permitted or re­ law of any State applicable to it; and such sender quired by such Federal Reserve Bank, such shall be deemed to agree to indemnify each Fed­ sender may send direct to any other Federal eral Reserve Bank for any loss or expense sus­ Reserve Bank any cash item or noncash item tained (including but not limited to attorneys’ fees payable within the district of such other Fed­ and expenses of litigation) resulting from the eral Reserve Bank. failure of such sender to have the authority to (b) With respect to any cash item or non­ make the warranty and the agreement referred cash item, sent direct by a sender (other than to in paragraph (a) of this section, resulting from Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1338 FEDERAL RESERVE BULLETIN • AUGUST 1967 any action taken by the Federal Reserve Bank any liability (except for its own lack of good within the scope of its authority in handling such faith or failure to exercise ordinary care) to such item, or resulting from any warranty or agree­ paying bank or other payor. ment with respect thereto made by the Federal Reserve Bank consistently with paragraph (b) Section 210.7—Presentment for Payment of § 210.6. ' (a) Any cash item or any noncash item may be presented for payment by a Federal Reserve Section 210.6—Status and Warranties of Bank or a subsequent collecting bank, or may be Federal Reserve Bank sent by a Federal Reserve Bank or a subsequent (a) A Federal Reserve Bank will act only as collecting, bank for presentment and payment, or the agent of the sender in respect of each cash may be forwarded by a Federal Reserve Bank item or noncash item received by it from the to a subsequent collecting bank with authority sender, but such agency shall terminate not later to present it for payment or to send it for pre­ than the time when the Federal Reserve Bank sentment and payment, as provided under appli­ shall have received payment for the item in ac­ cable rules of State law or otherwise as permitted tually and finally collected funds and shall have by this section. made the proceeds available for withdrawal or (b) Presentment may be made at a place other use by the sender. A Federal Reserve Bank where the bank by which the item is payable will not act as the agent or the subagent of any has requested that presentment be made. Pre­ owner or holder of any such item other than sentment of an item payable by a nonbank the sender. A Federal Reserve Bank shall not payor, other than through a paying bank, may have, nor will it assume, any liability to the sender be made at a place where the nonbank payor in respect of any such item and its proceeds except has requested that presentment be made. Pre­ for its own lack of good faith or failure to ex­ sentment may also be made pursuant to any ercise ordinary care.3 special collection agreement not inconsistent with (b) By its action in presenting, or sending for the terms of this Part, or may be made through presentment and payment, or forwarding any cash a clearing house subject to the rules and practices item or any noncash item, a Federal Reserve Bank thereof. shall be deemed to warrant to a subsequent col­ (c) Any cash item or noncash item, payable lecting bank and to the paying bank and any other in the district of the receiving Federal Reserve payor (1) that it has a good title to the item Bank, may be presented or sent direct to the pay­ or is authorized to obtain payment on behalf of ing bank, if any; may be sent direct to any one who either has a good title or is authorized place where the bank through which the item is to obtain payment on behalf of one who has payable has requested that the item be sent; and, such title, whether or not such warranty is evi­ when payable by a nonbank payor other than denced by its express guaranty of prior indorse­ through a paying bank, may be presented direct ments on such item, and (2) to the extent pre­ to the nonbank payor, but documents, securities scribed by the law of any State applicable or other papers accompanying a noncash item either to the Federal Reserve Bank as a collect­ may not be delivered to the nonbank payor there­ ing bank or to the subsequent collecting bank, of before payment of the item, unless the sender that the item has not been materially altered; has specifically authorized such delivery. but otherwise the Federal Reserve Bank shall (d) Any cash item or noncash item, payable not have, and shall not be deemed to assume, in a Federal Reserve district other than the dis­ trict of the receiving Federal Reserve Bank, will 3 No Federal Reserve Bank shall be responsible to the sender of any cash item, or any other owner or holder thereof, for ordinarily be forwarded to the Federal Reserve any delay resulting from the action taken by the Federal Reserve Bank in presenting, sending, or forwarding the item Bank of the district in which the item is payable: on the basis of (a) any A.B.A. transit number or routing symbol appearing thereon at the time of its receipt by the Provided, however, That with the concurrence b F y e d a e n ra y l o R th e e se r rv m e e a B n a s n , k a , nd w h w et h h e e t r h e i r n s o c r r ib n e o d t s b u y c h m t a r g a n n e s t i i t c n i u n m k b o er r of the Federal Reserve Bank of the district in or routing symbol is consistent with each other form of designa­ which the item is payable, the receiving Federal tion of a paying bank (or nonbank payor) then appearing thereon, or (b) any other form of designation of a paying Reserve Bank may present, send, or forward the bank (or nonbank payor) then appearing thereon, whether or not consistent with any A.B.A. transit number or routing item as if it were payable in its own district. symbol then appearing thereon. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

LAW DEPARTMENT 1339 Section 210.8—Presentment of Noncash Reserve Bank: Cashier’s check, certified check, Items for Acceptance or other bank draft or obligation. (b) A Federal Reserve Bank shall not be Whenever a noncash item provides that it liable for the failure of a collecting bank or pay­ must be presented for acceptance or is payable ing bank or nonbank payor to pay or remit for elsewhere than at the residence or place of busi­ any such cash item or noncash item, nor for any ness of the drawee, or whenever the date of pay­ loss resulting from the acceptance of any form ment of a noncash item depends upon present­ of payment or remittance other than cash au­ ment for acceptance, a Federal Reserve Bank or thorized in paragraph (a) of this section; nor a subsequent collecting bank to which it has been shall any Federal Reserve Bank which acts in sent by a Federal Reserve Bank may, if so in­ good faith and exercises ordinary care be liable structed by the sender, present the item for for the nonpayment of, or failure to realize upon, acceptance in any manner authorized by law; any bank draft or other form of payment or but no Federal Reserve Bank or subsequent col­ remittance which it may accept in accordance lecting bank shall, upon the acceptance of any with paragraph (a) of this section. such item, deliver to the drawee thereof any (c) Any bank draft or other form of payment accompanying documents unless specifically in­ or remittance received by a Federal Reserve Bank structed by the sender to do so. Each Federal Re­ in payment of, or in remittance for, any cash serve Bank shall include in its operating letters a item may likewise be handled as a cash item statement of the circumstances under which a subject to all the applicable terms and conditions sender may send such noncash items to the Federal of this Part; and any bank draft or other form of Reserve Bank for presentment for acceptance, and remittance or payment received by a Federal of the terms and conditions (which shall not be in­ Reserve Bank in payment of, or in remittance consistent with the provisions of this Part) upon for, any noncash item may, at the option of the which such presentment may be made. Except Federal Reserve Bank, be handled either as a as herein provided, no Federal Reserve Bank cash item or as a noncash item, subject to all the shall have or assume any obligation to present applicable terms and conditions of this Part. any noncash item for acceptance or to send it for presentment for acceptance. Section 210.10—Time Schedule and Avail­ Section 210.9—Remittance and Payment ability of Credits With Respect to Cash Items (a) A Federal Reserve Bank may require the paying bank or collecting bank to which it has (a) Each Federal Reserve Bank shall include presented, sent, or forwarded any cash item or in its operating letters a time schedule for each noncash item pursuant to § 210.7 to pay or of its offices indicating when the amount of any remit for such item in cash, but is authorized, cash item received by it from any sender or sent in its discretion, to permit such paying bank or by any sender to another Federal Reserve office collecting bank to authorize or cause payment for the account of such Federal Reserve Bank or remittance therefor to be made by a debit to will be counted as reserve for the purposes of an account on the books of such Federal Reserve Part 204 of this chapter (Regulation D) and Bank or to pay or remit therefor in any of the become available for withdrawal or other use by following whch is in a form acceptable to such the sender. The sender (other than a foreign Federal Reserve Bank: Bank draft, transfer of correspondent) will be given either immediate funds or bank credit, or any other form of pay­ credit or deferred credit for such amount in ment or remittance authorized by applicable accordance with such time schedule. A foreign State law. A Federal Reserve Bank may require correspondent will ordinarily be given credit for the nonbank payor to which it has presented such amount only when the Federal Reserve Bank any cash item or noncash item pursuant to has received payment for the item in actually and § 210.7 to pay therefor in cash, but it author­ finally collected funds: Provided, however, That ized in its discretion, to permit such nonbank the Federal Reserve Bank may in its discretion payor to pay therefor in any of the following give immediate or deferred credit for such amount which is in a form acceptable to such Federal in accordance with such time schedule. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1340 FEDERAL RESERVE BULLETIN • AUGUST 1967 (b) Notwithstanding the provisions of its time of § 210.9, it elects to handle as a noncash item, schedule, a Federal Reserve Bank may in its the proceeds of the noncash item for which the discretion refuse at any time to permit the with­ payment or remittance was made shall neither drawal or other use of credit given for any cash be counted as reserve for the purposes of Part item for which the Federal Reserve Bank has 204 of this chapter (Regulation D) nor become not yet received payment in actually and finally available for withdrawal or other use until such collected funds. time as the Federal Reserve Bank receives pay­ ment in actually and finally collected funds for Section 210.11—Availability of Proceeds such bank draft or other form of remittance or of Noncash Items payment, in accordance with the provisions of this section. (a) Credit will be given for the proceeds of a noncash item when the receiving Federal Re­ serve Bank has received payment for such item Section 210.12—Return of Cash Items in actually and finally collected funds or advice (a) A paying bank which receives a cash item from another Federal Reserve Bank of such from or through a Federal Reserve Bank, other­ payment to it, and the amount of such item wise than for immediate payment over the shall not be counted as reserve for the purposes counter, shall, unless it returns such item unpaid of Part 204 of this chapter (Regulation D) or before midnight of the banking day of receipt,4 become available for withdrawal or other use by either pay or remit therefor on the banking day the sender prior to the receipt of such payment of receipt, or, if acceptable to the Federal Re­ or advice, except to the extent provided in para­ serve Bank concerned, authorize or cause pay­ graph (c) of this section. ment or remittance therefor to be made by debit (b) A Federal Reserve Bank shall be deemed to an account on the books of the Federal Re­ to have received payment for a noncash item in serve Bank not later than the banking day for actually and finally collected funds as soon as such Federal Reserve Bank on which any other it has received payment therefor in cash or has acceptable form of timely payment or remittance received any other form of payment or remit­ would have been received by the Federal Reserve tance therefor which is, or has become, final and Bank in the ordinary course: Provided, That such irrevocable. paying bank shall have the right to recover any (c) A Federal Reserve Bank may, prior to payment or remittance so made if, before it has the time provided in paragraph (a) of this sec­ finally paid the item, it returns the item before tion, give credit for the proceeds of a noncash midnight of its banking day next following the item received by it from a sender, subject to pay­ banking day of receipt or takes such other action ment in actually and finally collected funds, in to recover such payment or remittance within accordance with a time schedule included in its such time and by such means as may be pro­ operating letters, indicating when the proceeds vided by applicable State law: And further pro­ of such noncash items will be counted as reserve vided, That the foregoing provisions shall not for the purposes of Part 204 of this chapter extend, nor shall the time herein provided for (Regulation D) and become available for with­ return be extended by, the time for return of un­ drawal or other use by the sender. paid items fixed by the rules and practices of any fd) Notwithstanding paragraph (c) of this clearing house through which the item was pre­ section, a Federal Reserve Bank may, in its dis­ sented or fixed by the provisions of any special cretion, refuse at any time to permit the with­ collection agreement pursuant to which it was drawal or other use of credit given for any non­ presented. cash item for which the Federal Reserve Bank has not yet received payment in actually and finally 4 A cash item received by a paying bank either: collected funds. on a day other than a banking day for it, or (2) on a banking day for it, but— (e) Where a Federal Reserve Bank receives, in (a) after its regular banking hours, or . (b) after a “cut-off hour” established by it in ac­ payment or remittance for a noncash item, a cordance with applicable State law, or (c) during afternoon or evening periods when it bank draft or other form of remittance or pay­ is open for limited functions only, shall be deemed to have been received by the bank on its ment which, in accordance with paragraph (c) next banking day. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

LAW DEPARTMENT 1341 (b) Any paying bank which takes or receives under the terms of this Part, will be paid, acted a credit or obtains a refund for the amount of upon, or honored after receipt by such Federal any payment or remittance made by it in respect Reserve Bank of notice of suspension or closing of a cash item received by it from or through a of the bank making the payment or remittance Federal Reserve Bank shall be deemed (1) to for its own or another’s account. warrant to such Federal Reserve Bank, to a sub­ sequent collecting bank, and to the sender and Section 210.14—Timeliness of Action all prior parties that it took all action necessary If, because of interruption of communication to entitle it to recover such payment or remittance facilities, suspension of payments by another within the time or times limited therefor by the bank, war, emergency conditions or other cir­ provisions of this Part, by the applicable rules cumstances beyond its control, any bank (in­ and practices of any clearing house through cluding a Federal Reserve Bank) shall be delayed which the item was presented, by the applicable beyond the time limits provided in this Part or provisions of any special collection agreement the operating letters of the Federal Reserve pursuant to which it was presented, and, except Banks, or prescribed by the applicable law of as a longer time may be afforded by the provisions any State in taking any action with respect to a of this Part, by applicable State law; and (2) to cash item or a noncash item, including forward­ agree to indemnify such Federal Reserve Bank ing such item, presenting it or sending it for for any loss or expense sustained (including but presentment and payment, paying or remitting not limited to attorneys' fees and expenses of for it, returning it or sending notice of dishonor litigation) resulting from its action in giving such or nonpayment, or making or providing for any credit or making such refund, or in making any necessary protest, the time of such bank, as charge to, or obtaining any refund from, the limited by this Part or the operating letters of sender. No Federal Reserve Bank shall have any the Federal Reserve Banks, or by the applicable responsibility to such paying bank or any subse­ law of any State, for taking or completing the quent collecting bank or to the sender of the action thereby delayed shall be extended for such item or any other prior party thereon for de­ time after the cause of the delay ceases to operate termining whether the action hereinabove re­ as shall be necessary to take or complete the ferred to was timely. action, provided the bank exercises such diligence as the circumstances require. Section 210.13—Chargeback of Unpaid Cash Items and Noncash Items Section 210.15—Effect of Direct Present­ If a Federal Reserve Bank does not receive ment of Certain Warrants payment in actually and finally collected funds for any cash item or noncash item for which it Whenever a Federal Reserve Bank exercises gave credit subject to payment in actually and its option to present direct to the payor any bill, finally collected funds, the amount of such item note or warrant issued and payable by any State shall be charged back to the sender, regardless or any county, district, political subdivision or of whether or not the item itself can be returned. municipality of any State, such bill, note or war­ In such event, neither the owner or holder of rant being a cash item not payable or collectible any such item nor the sender shall have the right through a bank, the provisions of §§ 210.9, of recourse upon, interest in, or right of payment 210.12, and 210.13 and the operating letters of from, any reserve balance, clearing account, de­ the Federal Reserve Banks shall be applicable posit account, or other funds of the paying bank to the payor as if it were a paying bank, the or of any collecting bank, in the possession of provisions of § 210.14 shall be applicable to the Federal Reserve Bank. No draft, authoriza­ it as if it were a bank, and each day on which tion to charge, or other order, upon any reserve the payor shall be open for the regular conduct balance, clearing account, deposit account, or of its affairs or the accommodation of the public other funds in the possession of a Federal Reserve shall be treated as if it were a banking day for Bank, issued for the purpose of paying or remit­ it, within the meaning and for the purposes of ting for any cash items or noncash items handled § 210.12. ’ Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1342 FEDERAL RESERVE BULLETIN • AUGUST 1967 Section 210.16—Operating Letters of the Federal Reserve Act (12 U.S.C. 327); issuance of a cease-and-desist order under sec­ Each Federal Reserve Bank shall issue operat­ tion 11 of the Clayton Act (15 U.S.C. 21); ing letters (sometimes referred to as operating issuance of a cease-and-desist order or a re­ circulars or bulletins), not inconsistent with this moval or suspension order under section 8 of Part, governing the details of its operations in the Federal Deposit Insurance Act (12 U.S.C. the handling of cash items and noncash items, 1818); applications pursuant to sections 3 and and containing such other matters as are re­ 4 of the Bank Holding Company Act of 1956 quired by the provisions of this Part. Such letters (12 U.S.C. 1842, 1843) as to which a hearing may, among other things, classify cash items and is required by the Act, or for other reason is noncash items, require separate sorts and letters, ordered by the Board; and such proceedings as and provide different closing times for the receipt may be ordered by the Board with respect to of different classes or types of cash items and bank merger applications under section 18(c) noncash items. of the Federal Deposit Insurance Act (12 U.S.C. 1828(c)). ' RULES OF PRACTICE FOR FORMAL HEARINGS The Board of Governors, effective August 1, Section 263.2—Definitions 1967, has revised its “Rules of Practice for As used in this Part— Formal Hearings”. This revision results princi­ (a) The term “Secretary” means the Secretary pally from the Financial Institutions Supervisory to the Board; Act of 1966, which among other things author­ (b) The term “presiding officer” means the ized the Board to act to prevent unsafe or un­ Board, one or more members thereof, or a duly sound banking practices and violations of law, designated hearing examiner or other duly desig­ rules, or regulations by State-chartered banks of nated hearing officer, and as used in this Part the Federal Reserve System, through the issuance the term shall be construed to refer to whichever of an order requiring such a bank to “cease and of these shall preside at a hearing hereunder, desist” from engaging in the unlawful activity. except as otherwise specified in the text; The revised “Rules of Practice for Formal (c) The term “party” means a person or Hearings” reads as follows: agency named or admitted as a party, or any RULES OF PRACTICE person or agency who has filed a written request and is entitled as of right to be admitted as a FOR FORMAL H*EARINGS party; but a person or agency may be admitted (12 CFR 263) for a limited purpose. As revised effective August 1, 1967 Section 263.3—Appearance and Practice SUBPART A—RULES OF PRACTICE Before the Board APPLICABLE TO FORMAL HEARINGS (a) Power of attorney and notice of appear­ Section 263.1—Scope ance.—-Any person who is a member in good standing of the bar of the highest court of any This subpart prescribes rules of practice and State or of the District of Columbia, or of any procedure followed by the Board with respect possession, territory, or Commonwealth of the to adjudications as to which a hearing is required United States, may represent others before the by law or is for other reason ordered by the Board upon filing with the Secretary a written Board. Among such adjudications are those re­ declaration that he is currently qualified as pro­ lating to: Suspension of a member bank from vided in this paragraph, and is authorized to the use of credit facilities of the Federal Reserve represent the particular party on whose behalf System under section 4 of the Federal Reserve he acts. Any other person desiring to appear Act (12 U.S.C. 301); termination of a bank’s before or transact business with the Board in a membership in the System pursuant to section 9 representative capacity may be required to file * The text corresponds to the Code of Federal Regulations, with the Secretary a power of attorney showing Title 12, Chapter II, Part 263; cited as 12 CFR 263. The words “this Part”, as used herein, mean these rules. his authority to act in such capacity, and he may Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

LAW DEPARTMENT 1343 be required to show to the satisfaction of the within 20 days after service upon him of the Board that he has the requisite qualifications. notice of hearing. Attorneys and other representatives of parties to (b) Requirements of answer; effect of failure proceedings shall file a written notice of appear­ to deny.—An answer filed under this section ance with the Secretary or with the presiding shall specifically admit, deny, or state that the officer. party does not have sufficient information to (b) Summary suspension.—Contemptuous con­ admit or deny each allegation in the notice of duct at any hearing to which these Rules are hearing. A statement of lack of information shall applicable, by any person, shall be ground for have the effect of a denial. Any allegation not exclusion from any such hearing and for such denied shall be deemed to be admitted. When a further period as the Board may prescribe. party intends to deny only a part or a qualifica­ tion of an allegation, he shall admit so much of Section 263.4—Notice of Hearing it as is true and shall deny only the remainder. Whenever a hearing is ordered by the Board, (c) Admitted allegations.—If a party filing an notice of such hearing (together with a copy of answer under this section elects not to contest any document incorporated therein by reference) the allegations of fact set forth in the notice of shall be given by the Secretary or other desig­ hearing or referenced documents, his answer nated officer acting for the Board to the party or shall consist of a statement that he admits all parties to the proceeding and to the appropriate of the allegations to be true. Such an answer financial institution supervisory authority where shall constitute a waiver of hearing as to the required by law. The Board may give whatever facts alleged, and together with the notice and additional notice is deemed appropriate in any any referenced documents will provide a record given hearing. Such notice shall state the time, basis on which the presiding officer shall file place, and nature of the hearing, the legal author­ with the Secretary his recommended decision and ity and jurisdiction under which the hearing is his findings of fact and conclusions of law. Such to be held, and the name and address of the pre­ admission shall not constitute a waiver of the siding officer, if one has been designated, and right of such party to file with the Secretary shall also contain, or incorporate by appropriate exceptions to such recommended decision, find­ reference, a statement of the matters of fact or ings and conclusions. law constituting the grounds for the hearing. (d) Effect of failure to answer.—Failure of a Unless otherwise provided by law or ordered by party to file an answer required by this section the Board, notice of any hearing shall be given within the time provided shall constitute a waiver not less than 20 days prior to the date set for of his right to appear and contest the allegations hearing and shall be given general circulation by of the notice of hearing and shall constitute au­ publication in the Federal Register and, where thorization for the presiding officer, without fur­ practical, by release to the press. The Board ther notice to the party, to find the facts to be may amend a notice of hearing in any manner as alleged in the notice and to file with the Secre­ and to the extent consistent with provisions of tary a recommended decision containing such applicable law. findings and appropriate conclusions. The Board or the presiding officer may, for cause shown, Section 263.5—Answer permit the filing of an answer after the pre­ (a) When required.—In any notice of hear­ scribed time. ing issued by the Board, the Board may direct (e) Opportunity for informal settlement.—Any the party or parties afforded the hearing to file interested party may at any time submit to the an answer to the allegations contained in the Secretary, for consideration by the Board, writ­ notice or referenced documents, and any party ten offers or proposals for settlement of a pro­ to any proceeding may file an answer. Except ceeding, without prejudice to the rights of the where a different period is provided by law or parties. No offer or proposal shall be admissible specified by the Board, a party directed to file in evidence over the objection of any party in an answer, or a party who elects to file an any hearing in connection with such proceeding. answer, shall file the same with the Secretary The foregoing provisions of this paragraph shall Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1344 FEDERAL RESERVE BULLETIN • AUGUST 1967 not preclude settlement of any proceeding ing and the conduct of the parties and their through the regular adjudicatory process by the counsel; filing of an answer as provided in paragraph (c) (6) To hold conferences for the settle­ of this section, or by the submission of the case ment or simplification of issues or for any to the presiding officer on a stipulation of facts other proper purpose; and and an agreed order. (7) To consider and rule upon, as justice may require, all procedural and other mo­ Section 263.6—Conduct of Hearings tions appropriate in an adversary proceeding, (a) Designation of presiding officer.—When except that a presiding officer other than evidence is to be taken in a hearing, either the the Board shall not have power to decide Board or, when duly designated for that purpose, any motion to dismiss the proceedings or one or more of its members, a hearing examiner, other motion which would result in final de­ or other lawfully appointed hearing officer may termination of the merits of the proceedings. preside at the hearing. All such hearings, unless Without limitation on the foregoing, the pre­ otherwise provided in the notice of hearing, shall siding officer shall, subject to the provisions of be conducted as hereinafter provided. Except as this Part, have all the authority set forth in sec­ authorized by law, the presiding officer shall not tion 556(c) of Title 5 of the United States Code. consult any person or party on any fact in issue (c) Prehearing conference.—The presiding unless upon notice and opportunity for all parties officer may, on his own initiative or at the re­ to participate, nor shall he be responsible to or quest of Board counsel or of any party, direct subject to the supervision or direction of any all parties or counsel to meet with him at a officer, employee, or agent of the Board engaged specified time and place prior to the hearing, or in the performance of investigative or prosecutive to submit suggestions to him in writing, for the functions. A designated presiding officer may at purpose of considering any or all of the following: any time withdraw if he deems himself disquali­ fied; and, upon filing of a timely and sufficient (1) Simplification and clarification of the affidavit of personal bias or disqualification of issues; such presiding officer, the Board will determine (2) Stipulations and admissions of fact the matter as a part of the record and decision and of the contents and authenticity of docu­ in the case. ments; (6) Authority of presiding officer.—All hear­ (3) Matters of which official notice will ings governed by this Part shall be conducted in be taken; and accordance with the provisions of chapter 5 of (4) Such other matters as may aid in Title 5 of the United States Code. The presiding the orderly disposition of the proceeding, officer shall have complete charge of the hear­ including disclosure of the names of wit­ ing, and he shall have the duty to conduct it nesses and of documents or other physical in a fair and impartial manner and to take all exhibits which will be introduced in evidence necessary action to avoid delay in the disposition in the course of the proceeding. of proceedings. Such officer shall have all powers Such conferences, in the discretion of the pre­ necessary to that end, including but not limited siding officer, need not be recorded, but the pre­ to the following: siding officer shall enter in the record an order (1) To administer oaths and affirmations; which recites the results of the conference. Such (2) To issue subpenas and subpenas duces order, a copy of which shall be served on each tecum, as authorized by law, and to revoke, party and Board counsel, shall include the officer’s quash, or modify any such subpena; rulings upon matters considered at the confer­ (3) To receive relevant evidence and to ence, together with appropriate directions, if rule upon the admission of evidence and any, to the parties and Board counsel; and such offers of proof; order shall control the subsequent course of the (4) To take or cause depositions to be proceedings, unless modified at the hearing, for taken; good cause found, by appropriate order of the (5) To regulate the course of the hear­ presiding officer. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

LAW DEPARTMENT 1345 (d) Attendance at hearings; representation of by the reporter, together with all exhibits, papers, the Board.—Unless otherwise specifically pro­ and requests, briefs or memoranda of law filed vided by statute or by rule of the Board, a hear­ in connection with the hearing shall be filed in ing shall ordinarily be private and shall be at­ duplicate with the Secretary by the presiding tended only by the parties, their representatives officer. The Secretary shall promptly serve notice or counsel, representatives of the Board, witnesses upon each of the parties of such filing and trans­ while testifying, and other persons having an mittal. Following the service of notice of filing official interest in the proceedings: Provided, of the record, the record shall be returned to the however, That on written request by a party or presiding officer. a representative of the Board, or on the Board’s (f) Continuances and changes or extensions own motion, the Board, in its discretion and to of time and changes of place of hearing.—Except the extent permitted by law, may permit other as otherwise expressly provided by law, the Board persons to attend or may order the hearing to may by the notice of hearing or subsequent order be public. In connection with any such hearing provide time limits different from those specified or proceeding related thereto, the Board may in this Part, and may, on its own initiative or for designate as Board counsel an attorney from its good cause shown, change or extend any time staff or other attorney who shall represent the limit prescribed by these Rules or the notice of Board. For the purposes of these Rules, any hearing, or change the time or place for begin­ attorney so designated is referred to as “Board ning any hearing hereunder. The presiding officer counsel”. In case of adjudication other than may, for good cause shown, and as permitted by initial licensing proceedings, neither Board coun­ law, change the time or place for beginning such sel nor any officer or employee of the Board who hearing and may continue or adjourn a hearing has engaged in the performance of any investiga­ from time to time or from place to place. Exten­ tive or prosecutive function in the case, or a sions of time for making any filing or perform­ factually related case, may participate in or ad­ ing any act required or allowed to be done within vise as to the presiding officer’s recommended a specified time in the course of a hearing may decision or the Board’s decision, except as wit­ be granted by the presiding officer for good cause ness or counsel in such hearing or related pro­ shown. ceeding. Proceedings with respect to applications (g) Call for further evidence, oral argument, for initial licenses shall include, but not be limited briefs, reopening of hearing.—The presiding offi­ to, applications for Board approval under section cer may call for the production of further evi­ 3 of the Bank Holding Company Act of 1956 dence upon any issue, may permit oral argument, (12 U.S.C. 1842) and such proceedings as may the submission of briefs at the hearing and, upon be ordered by the Board with respect to applica­ appropriate notice, may reopen any hearing at tions under section 18(c) of the Federal Deposit any time prior to the certification of his recom­ Insurance Act (12 U.S.C. 1828(c)). In such mended decision to the Secretary. The Board initial licensing proceedings, Board counsel shall may reopen the record at any time permitted by represent the Board in a nonadversary capacity law. for the purpose of developing for the record in­ formation relevant to the issues to be determined Section 263.7—Subpenas by the presiding officer and the Board. (a) Issuance.—Where authorized by law, sub­ (e) Transcript of testimony.—Hearings shall penas for the attendance of witnesses or for the be recorded and transcripts will be made avail­ production of documentary evidence, unless di­ able at prescribed rates to any party and, in the rected by the Board upon its own motion, will event the hearing is public, to any other inter­ issue only upon application in writing to the ested persons. The presiding officer shall have presiding officer or, in the event he is unavail­ authority to order the record corrected, either able, to the Board, except that during sessions of upon motion to correct, upon stipulation of the a hearing, such application may be made orally parties, or, following notice to the parties, upon on the record before the presiding officer. The the presiding officer’s initiative. The transcript person seeking the subpena may be required, as of testimony taken at any hearing, duly certified a condition precedent to the issuance of the Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1346 FEDERAL RESERVE BULLETIN • AUGUST 1967 subpena, to show the general relevance and rea­ Fees required by this paragraph shall be paid by sonable scope of the testimony or other evidence the person upon whose application the subpena sought. In the event the presiding officer or the is issued. Board, after consideration of all the circum­ stances, determines that the requested subpena Section 263.8—Depositions or any of its terms is unreasonable, oppressive, (a) When permissible.—The Board or presid­ excessive in scope, unduly burdensome, or other­ ing officer, upon its or his own motion or upon wise improper, he or it may refuse to issue the appropriate application by a party to the pro­ subpena, or issue it only upon such conditions as ceeding or Board counsel, may, by subpena or fairness requires. subpena duces tecum, order evidence to be taken (b) Motion to quash.—Any person to whom by deposition at any stage of any proceeding in a subpena is directed may, prior to the time which such depositions are authorized. Deposi­ specified therein for compliance, but in no event tions may be taken before the presiding officer more than five days after the date of service of or before any person designated in the subpena such subpena, with notice to the party request­ and having the power to administer oaths. ing the subpena, apply to the presiding officer or, (b) Notice and application.—Unless notice is if he is unavailable, to the Board, to revoke, waived, no deposition shall be taken except after quash, or modify such subpena, accompanying at least five days’ written notice to Board counsel such application with a statement of the reasons and the parties to the proceeding or their attor­ therefor. neys of record and to the Board. In such notice (c) Service of subpena.—In making service and application to take evidence by deposition, of a subpena, a copy thereof shall be exhibited the party desiring to take the deposition shall to and left with the person named therein. If state the name and post office address of the service is made by a United States marshal or witness, the subject matter concerning which the his deputy, such service shall be evidenced by witness is expected to testify, its relevance, the his return thereon. If made by any other person, time, place, and the name and post office address such person shall make affidavit thereto, describ­ of the person before whom it is desired the depo­ ing the manner in which service was made, and sition be taken, and the reason why such deposi­ return such affidavit on or with the original tion should be taken. Thereupon, the presiding subpena. In case of failure to make service, the officer or the Board may, in his or its discretion, reasons for the failure shall be stated on the by subpena or subpena duces tecum, order the original subpena. The original subpena, bearing oral deposition to be taken. Such subpena will or accompanied by the required return, affidavit name the witness whose deposition is to be taken or statement, shall be returned without delay to and specify the time when, the place where, and the Secretary or, if so directed on the subpena, the person before whom the witness is to testify, to the presiding officer before whom the person but such time and place, and the person before named in the subpena is required to appear. whom the deposition is ordered to be taken, may (d) Attendance of witnesses.—The attendance or may not be the same as those named in the of witnesses and the production of documents notice and application. Notice of the issuance pursuant to a subpena, issued in connection with of such subpena shall be served upon each of a hearing provided for in subparts B and C of the parties at reasonable time in advance of the this Part, may be required from any place in any time fixed for the taking of the deposition, but State or in any territory at any designated place in no event less than five days in advance of such where the hearing is being conducted. Witnesses time. subpenaed in any proceeding under this Part (c) Procedure on deposition; objections.— shall be paid the same fees and mileage that are Each witness testifying upon oral deposition shall paid witnesses in the district courts of the United be duly sworn, and Board counsel and any ad­ States, except that when a subpena is issued upon verse party shall have the right to cross-examine. the Board’s own motion or at the request of Objections to questions or documents shall be Board counsel, fees and mileage need not be in short form, stating the grounds of objection tendered at the time of service of the subpena. relied upon; but the person recording the deposi- Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

LAW DEPARTMENT 1347 tion shall not have power to rule upon questions to conduct such cross-examination as may be re­ of competency or materiality or relevancy of quired for a full and true disclosure of the facts. evidence. Failure to object to questions or evi­ Irrelevant, immaterial, or unduly repetitious evi­ dence shall not be deemed a waiver unless the dence shall be excluded. ground of the objection is one which might have (b) Objections.—Objections to the admission been obviated or removed if presented at that or exclusion of evidence shall be in short form, time. The questions propounded and the answers stating the grounds of objections relied upon, and thereto, together with all objections made (but the transcript shall not include argument except not including argument or debate), shall be re­ as ordered by the presiding officer. Rulings on corded by the officer before whom the deposition such objections and on any other matters shall be is to be taken, or under his direction. The depo­ a part of the transcript. Failure to object to ad­ sition shall be subscribed by the witness, unless mission or exclusion of evidence or to any ruling the parties by stipulation waive the signing or shall be considered a waiver of such objection, but the witness is ill, cannot be found, or refuses to no exception to a ruling on an objection need be sign, and certified as a true and complete tran­ noted before the presiding officer in order to urge script thereof by the person recording the testi­ the same in the consideration of the matter by the mony. If the deposition is not subscribed to by Board. the witness, the person recording the testimony (c) Stipulations.—Independently of the orders shall state on the record this fact and the reason or rulings issued as provided by § 263,6 (c), the therefor. The officer before whom the deposition parties and Board counsel may stipulate as to any is taken shall promptly send the original and two relevant matters of fact or the authenticity of any copies of such deposition, together with the relevant documents. Such stipulations may be re­ original and two copies of all exhibits, by regis­ ceived in evidence at a hearing, and when so re­ tered mail to the Secretary unless otherwise di­ ceived shall be binding on the parties and Board rected in the order authorizing the taking of the counsel with respect to the matters therein stipu­ deposition or in the notice of the issuance thereof. lated. Interested parties shall make their own arrange­ (d) Official notice.—All matters officially ments with the person recording the testimony noticed by the presiding officer shall appear on the for copies of the testimony and the exhibits. record. (d) Introduction as evidence.—Subject to ap­ propriate rulings by the presiding officer on such Section 263.10—Motions objections and answers as were noted at the time (a) In writing.—An application or request for the deposition was taken or as would be valid were an order or ruling not otherwise specifically pro­ the witness personally present and testifying, the vided for in this Part shall be made by motion. deposition or any part thereof may be received in After a presiding officer has been designated and evidence by the presiding officer. Only such part before the filing with the Secretary of his recom­ of a deposition as is received in evidence at a mended decision, pursuant to § 263.11, such ap­ hearing shall constitute a part of the record in plications or requests shall be addressed to and such proceeding upon which a decision may be filed with him. At all other times motions shall be based. addressed to the Board and filed with the Secre­ (e) Payment of fees.—Deponents whose oral tary. Motions shall be in writing, except that a depositions are taken and the reporter taking the motion made at a session of a hearing may be same shall be entitled to the same fees as are paid made orally upon the record unless the presiding for like services in the courts of the United officer directs that it be reduced to writing. All States, which fees shall be paid by the person upon written motions shall state with particularity the whose application the deposition is taken. order or relief sought and the grounds therefor. When a motion is addressed to the presiding of­ Section 263.9—Rules of Evidence ficer, an original and two copies of such motion (a) Evidence.-—Every party shall have the right shall be filed. to present his case or defense by oral and docu­ (h) Objections.—Within five days after service mentary evidence, to submit rebuttal evidence and of any written motion, or within such other period Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1348 FEDERAL RESERVE BULLETIN • AUGUST 1967 as may be fixed by the presiding officer or the Section 263.11—Proposed Findings and Board, any party may file a written answer or ob­ Conclusions and Recommended Decision jection to such motion, together with two copies (a) Proposed findings and conclusions and sup­ thereof. The moving party shall have no right to porting briefs.—Board counsel or any party who reply, except as permitted by the presiding officer may wish to file with the presiding officer pro­ or the Board. The presiding officer or the Board, posed findings and conclusions of law shall file the in his or its discretion, may waive the requirements same, with two copies thereof, within 15 days of this section as to motions for extensions of time, after the receipt of written notice from the Sec­ and may rule upon such motions ex parte. retary advising that the transcript has been filed (c) Oral argument; briefs.—No oral argu­ with the Secretary. Proposed findings and conclu­ ment will be heard on motions except as other­ sions shall be supported by citation to any rele­ wise directed by the presiding officer or the Board. vant authorities and by page references to any Written memoranda or briefs may be filed with relevant portions of the record and, in addition, motions or answers or objections, stating the points may be accompanied by a brief in support thereof. and authorities relied upon in support of the posi­ In initial licensing proceedings, in lieu of proposed tion taken. findings and conclusions of law, and within such (d) Rulings on motions.—Except as otherwise time as the presiding officer may allow, Board provided in this Part, the presiding officer shall counsel may submit comments with respect to the rule upon all motions properly addressed to him evidence of record and/or proposed findings and and upon such other motions as the Board may conclusions of law submitted by any party. All direct, except that if the presiding officer finds such proposed findings and conclusions of law, that a prompt decision by the Board on a motion briefs and other submissions shall become part of is essential to the proper conduct of the proceed­ the record. ing, he may refer such motion to the Board for (b) Recommended decision and filing of rec­ decision. The Board shall rule upon all motions ord.—In a proceeding in which the Board or one properly submitted to it for decision. or more of its members has not presided at the (e) Appeal from rulings on motions.—All mo­ reception of evidence, the presiding officer shall, tions and answers or objections and rulings there­ within 45 days after the expiration of the time on shall become part of the record. The rulings of allowed for the filing of proposed findings and con­ a presiding officer on any motion may not be ap­ clusions, or within such other time as the Board pealed to the Board prior to its consideration of for good cause shall prescribe, file with the Secre­ the presiding officer’s recommended decision, find­ tary and certify to the Board for decision the en­ ings, and conclusions except by special permission tire record of the hearing, which shall include his of the Board, but shall be considered by the Board recommended decision and findings of fact and in reviewing the record. Requests to the Board for conclusions of law, the transcript, exhibits (includ­ special permission to appeal from such rulings of ing on request of any of the parties any exhibits the presiding officer shall be filed promptly, in excluded from evidence or tenders of proof), ex­ writing, and shall briefly state the grounds relied ceptions, rulings, and all briefs and memoranda on. filed in connection with the hearing. Promptly (f) Continuation of hearing.—Unless otherwise upon such filing the Secretary shall serve upon ordered by the presiding officer or the Board, the each party to the proceeding a copy of the presid­ hearing shall continue pending the determination ing officer’s recommended decision, and findings of any motion by the Board. and conclusions. {g) Closing of hearing.—The record of the (c) Board as presiding officer.—In proceedings hearing shall be closed by announcement to that in which the Board or one or more of its mem­ effect by the presiding officer when the taking of bers has presided at the reception of evidence, evidence has been concluded. In the discretion of the presiding officer’s recommended decision, the presiding officer, the record may be closed as findings of fact, and conclusions of law will be of a future date in order to permit the admission omitted. In such proceedings the proposed find­ into the record, under circumstances determined ings and conclusions of law, briefs and other by the presiding officer, of exhibits to be prepared. submissions permitted under § 263.11(a) shall Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

LAW DEPARTMENT 1349 be filed with the Secretary for consideration by by any party or Board counsel, the Board, in its the Board. discretion, may order the matter to be set down for oral argument before the Board or one or Section 263.12—Exceptions more members thereof. Any request for oral (a) Filing.—Within 15 days after service of argument by a party filing exceptions shall be the recommended decision and findings and con­ made within the time prescribed for filing such clusions of the presiding officer, or such further exceptions, or, by any other party, within the time as the Board for good cause shall deter­ time prescribed for the filing of an answering mine, any party or Board counsel may file with brief. Oral argument before the Board shall be the Secretary exceptions thereto or to any part recorded unless otherwise ordered by the Board. thereof, or to the failure of the presiding officer to make any recommendation, finding, or con­ Section 263.15—Decision of Board clusion, or to the admission or exclusion of evi­ Appropriate members of the Board’s staff who dence, or other ruling of the presiding officer, are not engaged in the performance of investiga­ supported by such brief as may appear advisable. tive or prosecuting functions in the case, or in a In any proceeding where the Board or one or factually related case, may advise and assist the more of its members is the presiding officer, the Board in the consideration of the case and in the provisions of this section will not be applicable. preparation of appropriate documents for its (b) Waiver.—Failure to file exceptions to the disposition. Copies of the decision and order of recommended decision of the presiding officer the Board shall be served by the Secretary upon or any portion thereof, or to his failure to adopt the parties to the proceedings and furnished to a proposed finding or conclusion, or the admis­ such other persons as the Board may direct or sion or exclusion of evidence or other ruling of the law may require. the presiding officer, within the time prescribed Section 263.16—Filing Papers in paragraph (a) of this section, shall be deemed to be a waiver of objection. Recommended decisions, exceptions, briefs and other papers required to be filed with the Board Section 263.13—Briefs or Secretary in any proceedings shall be filed (a) Contents.—All briefs shall be confined to with the Secretary, Board of Governors of the the particular matters in issue. Each proposed Federal Reserve System, Washington, D.C. 20551. finding, conclusion, or exception which is briefed Any such papers may be sent to the Secretary by shall be supported by a concise supporting state­ mail or express but must be received in the office ment or by citation of relevant statutes, regula­ of the Board in Washington, D.C. within the tions, decisions, or other authorities and by page time limit for such filing. reference of relevant portions of the record or Section 263.17—Service recommended decision of the presiding officer. (a) By the Board.—All documents or papers If the exception relates to the admission or ex­ clusion of evidence, the substance of the evidence required to be served by the Board shall be served by the Secretary unless some other person shall admitted or excluded shall be set forth in the be designated for such purpose by the Board. brief with appropriate page references to the Such service, except for service on Board counsel, transcript. shall be made by personal service or by registered (b) Answering briefs.—Answering briefs may mail on the attorney or representative of record be filed within 10 days after service of briefs and shall be confined to matters in the original briefs of the party, addressed to the last known address of opposing parties. Further briefs may be filed as shown on the records of the Board, provided that if there is no attorney or representative of with the presiding officer only with his permission record, such service shall be made upon such or that of the Board, and may be filed with the party at the last known address as shown on the Board only with its permission. records of the Board. Such service may also be Section 263.14—Oral Argument made in such other manner reasonably calculated Before the Board to give actual notice as the Board may by regu­ Upon its own initiative, or upon written request lation or otherwise provide. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1350 FEDERAL RESERVE BULLETIN • AUGUST 1967 (b) By the parties.—All documents or papers Section 263.20—Documents in Proceedings filed in a proceeding under this Part shall be Confidential served by the party filing the same upon Board Unless and until otherwise ordered by the counsel and the attorneys or representatives of Board or unless otherwise provided by statute or record of all other parties, or, if any party is not by Board regulation, the notice of hearing, the so represented, then upon such party. Such serv­ transcript, the proposed findings and conclusions, ice may be made by personal service or by regis­ the recommended decision of the presiding officer, tered, certified, or regular first-class mail ad­ exceptions thereto, the findings and conclusions dressed to the last known address of such parties, of the Board and other papers which are filed in or their attorneys or representatives of record. connection with any hearing shall not be made All such documents or papers, when tendered to public, and shall be for the confidential use only the Board or the presiding officer for filing, shall of the Board and its staff, the presiding officer, contain a certificate of service. the parties and, where appropriate, other super­ vising authorities. Section 263.18—Copies Unless otherwise specifically provided in the Section 263.21—Formal Requirements as to notice of hearing, an original and seven copies Papers Filed of all documents and papers required or per­ (a) Forms.—All papers filed under this sub­ mitted to be filed or served upon the Secretary part shall be printed, typewritten, or otherwise under this Part shall be furnished to the Secre­ reproduced. All copies shall be clear and legible. tary, except that an original and only one copy (b) Signature.—All papers shall be dated and of the transcript of testimony and exhibits shall signed by the party filing the same, or his duly be filed with the Secretary by the presiding officer. authorized agent or attorney, or Board counsel, All documents and papers filed with the presiding and, except in the case of Board counsel, shall officer shall be filed in duplicate. indicate the address of the signer. (c) Caption.—All papers filed must include at Section 263.19—Computing Time the head thereof, or on a title page, the name of the Board and of the filing party, the title of the (a) General rule.—In computing any period proceeding, and the subject of the particular of time prescribed or allowed by this Part, the paper. date of the act, event, or default from which the designated period of time begins to run is not to be included. The last day so computed is to SUBPART B—RULES AND PROCEDURES be included, unless it is a Saturday, Sunday or APPLICABLE TO PROCEEDINGS RELAT­ legal holiday in the District of Columbia, in which ING TO CEASE-AND-DESIST ORDERS event the period shall run until the end of the next day which is neither a Saturday, Sunday Section 263.22—Scope nor legal holiday. Intermediate Saturdays, Sun­ The rules and procedures set forth in this sub­ days, and legal holidays shall be included in the part are applicable to proceedings by the Board computation unless the time within which the with a view to ordering a State member bank act is to be performed is 10 days or less, in which (other than a District bank) to cease and desist event Saturdays, Sundays, and legal holidays shall from practices and violations described in section not be included. Half holidays shall not be con­ 8 of the Federal Deposit Insurance Act (12 sidered as holidays. U.S.C. 1818) and enumerated in § 263.23. The (b) Service by mail.—Whenever any party has procedures for issuing such orders prescribed in the right or is required to do some act within a section 8 of said Act will be followed and hear­ period of time prescribed in this Part, after the ings required thereunder will be conducted in service upon him of any document or other paper accordance with the rules and procedures set of any kind, and such service is made by mail, forth in this subpart and Subpart A of this Part. three days shall be added to the prescribed period In connection with any proceeding under this from the date when the matter served is deposited subpart, the Board will provide the appropriate in the United States mail. State supervisory authority with timely notice Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

LAW DEPARTMENT 1351 of intent to institute such a proceeding and the specified in the notice of charges has been estab­ grounds therefor. Unless within such time as lished, the Board may issue and serve upon the the Board deems appropriate in the circumstances bank an order to cease and desist from any such of the case (which time will be specified in the violation or practice. Such order may, by provi­ notice) satisfactory corrective action is effectuated sions which may be mandatory or otherwise, re­ by action of the State supervisory authority, the quire the bank and its directors, officers, em­ Board will proceed as provided herein. Copies of ployees, and agents to cease and desist from the any notice or order served upon any State bank same and, further, to take affirmative action to in connection with such proceedings will also be correct the conditions resulting from any such vio­ sent to the appropriate State supervisory authority. lation or practice. Section 263.23—Grounds for Cease-and- Section 263.26—Effective Date Desist Orders A cease-and-desist order will become effective If, in the opinion of the Board, any State mem­ at the expiration of 30 days after the service of ber bank (other than a District bank) is engaging such order upon the bank concerned (except in the or has engaged, or the Board has reasonable cause case of a cease-and-desist order issued upon con­ to believe that the bank is about to engage, in an sent, which will become effective at the time speci­ unsafe or unsound practice in conducting the busi­ fied therein), and will remain effective and en­ ness of such bank, or is violating or has violated, forceable as provided therein, except to such ex­ or the Board has reasonable cause to believe that tent as it is stayed, modified, terminated, or set the bank is about to violate, a law, rule, or regula­ aside by action of the Board or a reviewing court. tion, or any condition imposed in writing by the Board in connection with the granting of an ap­ Section 263.27—Temporary Cease-and-Desist plication or other request by the bank, or any writ­ Orders ten agreement entered into with the Board, the Board may issue and serve upon the bank a notice Whenever the Board determines that the viola­ of charges in respect thereof. tion or threatened violation or the unsafe or un­ sound practice or practices, specified in the notice Section 263.24—Notice of Charges and of charges referred to in § 263.23, or the con­ Hearing tinuation thereof, is likely to cause insolvency or The notice referred to in § 263.23 will contain substantial dissipation of assets or of earnings of a statement of the facts constituting the alleged the bank, or is likely to otherwise seriously prej­ violation or violations or the unsafe or unsound udice the interests of its depositors, the Board practice or practices, and fix a time and place at may issue a temporary order requiring the bank which a hearing will be held to determine whether to cease and desist from any such violation or an order to cease and desist therefrom should issue practice. against the bank. The hearing will be fixed for a date not earlier than 30 days nor later than 60 Section 263.28—Effective Date of days after service of such notice unless an earlier Temporary Order or a later date is set by the Board at the request Such order will become effective upon service of the bank, and shall be held in the Federal judi­ upon the bank, and, unless set aside, limited, or cial district or in the territory in which the home suspended by a court in proceedings authorized office of the bank is located, unless the bank con­ under section 8(h)(2) of the Federal Deposit sents to another place. Unless the bank appears Insurance Act, will remain effective and enforce­ at the hearing by a duly authorized representative, able pending the completion of the administrative it will be deemed to have consented to the issu­ proceedings held pursuant to such notice and ance of the cease-and-desist order. until such time as the Board dismisses the charges Section 263.25—Issuance of Order specified in such notice, or if a cease-and-desist In the event of such consent, or if upon the order is issued against the bank pursuant to record made at any such hearing, the Board finds § 263.25, until the effective date of any such that any violation or unsafe or unsound practice order. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1352 FEDERAL RESERVE BULLETIN • AUGUST 1967 SUBPART C—RULES AND PROCEDURES Section 263.30—Grounds for Removal Order APPLICABLE TO PRECEEDINGS RELAT­ (a) Whenever, in the opinion of the Board, ING TO REMOVAL AND SUSPENSION any director or officer of a State member bank ORDERS (other than a District bank) or of a national Section 263.29—Scope banking association or a District bank where the The rules and procedures set forth in this sub­ facts are certified to the Board pursuant to 12 part are applicable to proceedings by the Board U.S.C. 1818(e)(2) has committed any violation to remove or suspend a director, officer, or any of law, rule or regulation, or of a cease-andother person participating in the conduct of the desist order which has become final, or has en­ affairs of a State member bank (other than a Dis­ gaged or participated in any unsafe or unsound trict bank) or of a national banking association practice in connection with the bank, or has com­ or a District bank where the facts are certified to mitted or engaged in any act, omission, or prac­ the Board pursuant to 12 U.S.C. 1818(e)(2), tice which constitutes a breach of his fiduciary 12 U.S.C. 1818(e)(4), or 12 U.S.C. 1818(e)(6), duty as such director or officer, and the Board and/or prohibit such director, officer, or other determines that the bank has suffered or will person from further participation in the conduct probably suffer substantial financial loss or other of the affairs of such a bank, upon the grounds damage or that the interests of its depositors set forth in section 8 of the Federal Deposit In­ could be seriously prejudiced by reason of such surance Act (12 U.S.C. 1818) and enumerated violation or practice or breach of fiduciary duty, in this subpart. The procedures for issuing such and that such violation or practice or breach of orders prescribed in section 8 of said Act will be fiduciary duty is one involving personal dis­ followed and hearings required thereunder will honesty on the part of such director or officer, be conducted in accordance with the rules and the Board may serve upon such director or officer procedures set forth in this subpart and Subpart a written notice of its intention to remove him A of this Part. In connection with any proceeding from office. under this subpart relating to a director, officer, (b) Whenever, in the opinion of the Board, or other person participating in the affairs of a State member bank (other than a district bank), any director or officer of a State member bank the Board will provide the appropriate State (other than a District bank) or of a national supervisory authority with timely notice of intent banking association or a District bank where to institute such a proceeding and the grounds the facts are certified to the Board pursuant to therefor. Unless within such time as the Board 12 U.S.C. 1818(c)(4), by conduct or practice deems appropriate in the circumstances of the with respect to another insured bank or other case (which time will be specified in the notice) business institution which resulted in substantial satisfactory corrective action is effectuated by financial loss or other damage, has evidenced his action of the State supervisory authority, the personal dishonesty and unfitness to continue as Board will proceed as provided herein. Copies of a director or officer, and whenever, in the opinion any notice or order served upon any State bank of the Board, any other person participating in in connection with such proceedings will also the conduct of the affairs of such bank, by con­ be sent to the appropriate State supervisory au­ duct or practice with respect to such bank or thority. In connection with any proceeding under other insured bank or other business institution this subpart relating to a director, officer, or which resulted in substantial financial loss or other person participating in the affairs of a other damage, has evidenced his personal dis­ national banking association or a District bank honesty and unfitness to participate in the con­ where the facts are certified to the Board pursuant duct of the affairs of such bank, the Board may to 12 U.S.C. 1818(e)(2), 12 U.S.C. 1818(e)(4), or 12 U.S.C. 1818(e)(6), the Comptroller of serve upon such director, officer, or other person the Currency shall be entitled to sit as a member a written notice of its intention to remove him of the Board and to participate in its delibera­ from office and/or to prohibit his further par­ tions on any such case and to vote thereon in all ticipation in any manner in the conduct of the respects as a member of the Board. affairs of the bank. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

LAW DEPARTMENT 1353 Section 263.31—Grounds for Suspension officer or other person, and for good cause shown, Order or (b) the Attorney General of the United States. Such hearing shall be held in the Federal judicial In respect to any director or officer of a State district or in the territory in which the home office member bank (other than a District bank) or of the bank involved is located, unless the person any other person referred to in § 263.30 (a) or afforded the hearing consents to another place. (b) and in respect to any such director or officer Unless such director, officer, or other person of, or other person participating in the conduct appears at the hearing in person or by a duly of the affairs of, a national banking association authorized representative, he shall be deemed to or a District bank where the facts are certified have consented to the issuance of an order of to the Board pursuant to 12 U.S.C. 1818(e)(6), such removal and/or prohibition. the Board may, if it deems it necessary for the protection of the bank or the interests of its Section 263.34—Issuance of Removal Order depositors, by written notice to such effect served and Effective Date upon such director, officer, or other person, In the event of such consent, or if upon the suspend him from office and/or prohibit him record made at any such hearing the Board finds from further participation in any manner in the that any of the grounds specified in such notice conduct of the affairs of the bank. has been established, the Board may issue such orders of suspension or removal from office, Section 263.32—Effective Date of and/or prohibition from participation in the Suspension Order conduct of the affairs of the bank, as it may Any suspension and/or prohibition which is deem appropriate. Any such order shall become subject to the notice prescribed in § 263.31 shall effective at the expiration of 30 days after service become effective upon service of such notice and, upon such bank and the director, officer, or other unless stayed by a court in proceedings author­ person concerned (except in the case of an order ized by section 8(f) of the Federal Deposit In­ issued upon consent, which shall become effective surance Act, shall remain in effect pending the at the time specified therein). Such order shall completion of the administrative proceedings held remain effective and enforceable except to such pursuant to the notice served under § 263.30 extent as it is stayed, modified, terminated, or (a) or (b) and until such time as the Board set aside by action of the Board or a reviewing shall dismiss the charges specified in such notice, court. or, if an order of removal and/or prohibition is issued against the director or officer or other per­ Section 263.35—Suspension and Removal son, until the effective date of any such order. Where Felony Charged Copies of any such notice will also be served (a) Whenever any director or officer of an upon the bank of which he is a director or officer insured State member bank (other than a District or in the conduct of whose affairs he has par­ bank), or other person participating in the con­ ticipated. duct of the affairs of such bank, is charged in any information, indictment, or complaint author­ Section 263.33—Notice of Intention to ized by a United States attorney, with the com­ Remove and Hearing mission of or participation in a felony involving A notice of intention to remove a director, dishonesty or breach of trust, the Board may, by officer, or other person from office and/or to written notice served upon such director, officer, prohibit his participation in the conduct of the or other person, suspend him from office and/or affairs of an insured bank will contain a state­ prohibit him from further participation in any ment of the facts constituting grounds therefor manner in the conduct of the affairs of the bank. and will fix a time and place at which a hearing A copy of such notice will also be served upon will be held thereon. Such hearing will be fixed the bank. Such suspension and/or prohibition for a date not earlier than 30 days nor later than shall remain in effect until such information, in­ 60 days after the date of service of such notice, dictment, or complaint is finally disposed of or unless an earlier or a later date is set by the until such suspension and/or prohibition is termi­ Board at the request of (a) such director or nated by the Board. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1354 FEDERAL RESERVE BULLETIN • AUGUST 1967 (b) In the event that a judgment of conviction Vice Chairman presides. In the absence of the with respect to such offense is entered against Chairman and Vice Chairman, the Board elects such director, officer, or other person, at such a member to act as Chairman Pro Tempore. The time as such judgment is not subject to further Chairman of the Board, subject to its supervision, appellate review, the Board may issue and serve is its active executive officer. The Board usually upon such director, officer, or other person an meets daily to consider matters relating to mone­ order removing him from office and/or prohibit­ tary and credit policies, regulatory and supervisory ing him from further participation in any man­ duties with which it has been charged by the ner in the conduct of the affairs of the bank ex­ Congress, and administrative and other questions cept with the consent of the Board. A copy of arising in the conduct of the work of the Board. such order will also be served upon such bank, (b) Location and business hours.—The prin­ whereupon such director or officer shall cease to cipal offices of the Board are in the Federal Re­ be a director or officer of such bank. A finding serve Building, 20th Street and Constitution Ave­ of not guilty or other disposition of the charge nue, N.W., Washington, D. C. 20551. The will not preclude the Board from thereafter in­ Board’s regular business hours are from 8:45 stituting proceedings to remove such director, a.m. to 5:15 p.m. each weekday except Saturday; officer, or other person from office and/or to pro­ but such business hours may be changed from hibit further participation in bank affairs, pur­ time to time. suant to other provisions of this subpart. Section 3—Central Organization RULES OF ORGANIZATION AND PROCEDURE The Board’s central organization consists of The Board of Governors of the Federal Reserve the members of the Board and the following Di­ System has revised its Rules of Orangization and visions and officials: Rules of Procedure, effective August 9, 1967, to (a) Office of the Secretary is headed by the read as follows: Board’s Secretary, who acts as the administrative officer of the Board in its relations with the Di­ visions of its staff, with the Federal Reserve RULES OF ORGANIZATION^ Banks, and with the general public. This Office As revised effective August 9, 1967 clears and conducts official correspondence of the Board and is charged with responsibility for Section 1—Basis and Scope maintaining and providing reference service to These Rules are issued by the Board of Gov­ the official records of the Board and the Federal ernors of the Federal Reserve System (the Open Market Committee. “Board”) pursuant to the requirement of section (b) Legal Division, headed by the Board’s Gen­ 552 of Title 5 of the United States Code that eral Counsel, advises and assists the Board with each agency shall publish in the Federal Register respect to legal matters, including legislation, reg­ a description of its central and field organization. ulations, interpretations, opinions, applications, hearings, orders, and litigation. Section 2—Composition and Location (c) Division of Research and Statistics, headed (a) Governors, Chairman, Vice Chairman.—■ by a Director, provides the Board, the Federal The Board consists of seven members appointed Open Market Committee, and other System of­ by the President, by and with the advice and con­ ficials with the economic information needed for sent of the Senate, for fourteen-year terms. The current operations and the formulation of credit members of the Board are required by law to and monetary policies; and prepares, publishes, devote their entire time to the business of the and interprets a variety of statistical series in Board. One of them is designated by the Presi­ the financial and nonfinancial fields. dent as Chairman and one as Vice Chairman, to (d) Division of International Finance, headed serve as such for terms of four years. At meet­ by a Director, advises and assists the Board on ings, the Chairman presides or, in his absence, the international financial and economic matters and conducts research in this field. It carries on staff • The text is not included in the Code of Federal Regula­ work in connection with the supervision of foreign tions and therefore may not be cited with a Code reference. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

LAW DEPARTMENT 1355 operations of the Federal Reserve System and (if Office of the Controller, headed by the the membership of the Chairman of the Board Board’s Controller, is responsible for maintain­ on the National Advisory Council on International ing an effective internal financial management sys­ Monetary and Financial Policies. tem, including budgeting, accounting, reporting, (e) Division of Bank Operations, headed by internal and contract auditing, and operational a Director, advises and assists the Board with analyses; determining assessments on the Federal respect to matters concerning the operation of Reserve Banks for funds to cover expenses of the Federal Reserve Banks and the printing, issue, the Board; receiving and disbursing the Board’s and redemption of Federal Reserve notes; col­ funds; and handling reimbursement to the Treas­ lects and prepares data regarding the condition, ury Department for the printing, issuance, and operations, expenses, and earnings of Reserve redemption of Federal Reserve notes. Banks; and maintains liaison with the Treasury (j) Office of Defense Planning, headed by a Department and other Government agencies on Coordinator, is responsible for the development fiscal agency operations of Reserve Banks. of the Board’s defense emergency planning pro­ (ff Division of Examinations, headed by a gram, the coordination of that program with Director, periodically examines the Federal Re­ those of the Federal Reserve Banks and of other serve Banks and reviews and appraises their audit Government departments and agencies, and pro­ activities; coordinates the bank supervisory func­ motion of the commercial bank preparedness pro­ tions of the System and evaluates the examina­ gram. tion procedures of the Reserve Banks; exercises (k) Division of Data Processing, headed by general supervision of the commercial and fidu­ a Director, provides systems analysis, program­ ciary activities of State member banks; administers ming, and other data processing support for the the supervisory features of laws and regulations Board and its staff; schedules and operates the relating to affiliates and bank holding companies; Board’s electronic and automatic data process­ supervises various foreign banking activities of ing equipment; collects and processes statistical member banks and foreign banking and financing information on banking developments; advises corporations; administers the public disclosure on statistical methods and statistical operations; provisions of the Securities Exchange Act of 1934, and advises on the design of and prepares graphic as amended, in their application to State member displays in connection with economic analyses banks; processes and presents to the Board ap­ and presentations. plications filed pursuant to the Bank Holding (If Other personnel.—In addition to the Di­ Company Act and the Bank Merger Act and visions mentioned above, the staff of the Board various other applications submitted under the includes Advisers and Assistants to the Board and provisions of the Federal Reserve Act or related a Legislative Counsel. The Federal Reserve Bul­ statutes; and advises the Board regarding de­ letin is issued monthly under the direction of a velopments in banking and bank supervisory Staff Editorial Committee. The Board does not policies and procedures. employ hearing officers as regular members of (g) Division of Personnel Administration, its staff; but, in accordance with applicable pro­ headed by a Director, is responsible for the ad­ visions of law and in individual cases as the ministration of the Board’s personnel program, need may arise, the Board obtains and utilizes serves as the Board’s security office, and advises hearing officers, whose functions in such capacity and assists the Board on personnel matters per­ are appropriately separated, as required by law, taining to the Federal Reserve Banks. from investigative and prosecuting functions of (h) Division of Administrative Services, headed the staff. by a Director, serves as the central procurement, duplicating, communications, and service unit of Section 4—Field Organization the Board and advises and assists the Board with (a) Federal Reserve Banks.-—-The United respect to such matters. It also performs various States is divided into 12 Federal Reserve districts. administrative functions, including the distribution In one city in each Federal Reserve district there of Board publications and the operation of the is located a Federal Reserve Bank, and in 10 Board’s building and other facilities. of the districts there are one or more branches Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1356 FEDERAL RESERVE BULLETIN ■ AUGUST 1967 of the Federal Reserve Bank in other cities. Each He acts as the Board’s official representative and Federal Reserve Bank is a separate legal entity, maintains a local office of the Board on the prem­ created pursuant to the Federal Reserve Act ises of the Federal Reserve Bank. and operating under the general supervision of the Board. The locations of the 12 Federal Re­ Section 5—Delegations of Authority serve Banks and their 24 branches and the The Board does not delegate any of its func­ boundaries of the Federal Reserve district and tions relating to rule-making or pertaining prin­ branch territories are shown in the Appendix. cipally to monetary or credit policies or involv­ Each Federal Reserve Bank, in addition to its ing any questions of general policy. However, the other duties, carries out local functions for the Board delegates certain of its supervisory and Board pursuant to instructions of the Board, and other functions prescribed by statute or regula­ in many matters acts as the Board’s field repre­ tions of the Board to its members or employees sentative in the Bank’s district. It assists in the or to the Federal Reserve Banks as provided regional administration of the Board's regula­ in its Rules Regarding Delegation of Authority tions and policies, keeps the Board informed of (12 CFR Part 265). In addition, the Board dele­ local conditions, and recommends such actions gates to the Federal Reserve Banks certain func­ as it thinks appropriate in particular cases. In tions not provided for by statute or regulations general, persons concerned with Federal Reserve matters should deal in the first instance with of the Board, including authority to extend the the Federal Reserve Bank of the appropriate time within which certain transactions may be district or a branch thereof, and the Board re­ consummated, such as acquisitions of shares by quests all persons to follow this procedure. bank holding companies, filing of annual reports (b) Federal Reserve Agents.—At each Fed­ by bank holding companies, establishments of eral Reserve Bank, one of the three directors of branches by member banks and by foreign bank­ the Bank appointed by the Board is designated ing and financing corporations, and accomplish­ by the Board as Chairman of the Board of Direc­ ment of membership of State banks in the Fed­ tors of the Bank and as Federal Reserve Agent. eral Reserve System. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

LAW DEPARTMENT 1357 Appendix List of Federal Reserve Banks and Branches Federal Reserve Bank Address BOSTON 30 Pearl Street (Boston, Massachusetts 02106) NEW YORK 33 Liberty Street (New York, New York 10045) Buffalo Branch 160 Delaware Avenue (Buffalo, New York 14240) PHILADELPHIA 925 Chestnut Street (Philadelphia, Pennsylvania 19101) CLEVELAND 1455 East Sixth Street (P. O. Box 6387, Cleveland, Ohio 44101) Cincinnati Branch 105 West Fourth Street (P. O. Box 999, Cincinnati, Ohio 45201) Pittsburgh Branch 717 Grant Street (P. O. Box 867, Pittsburgh, Pennsylvania 15230) RICHMOND 100 North Ninth Street (Richmond, Virginia 23213) Baltimore Branch 114-120 East Lexington Street (Baltimore, Maryland 21203) Charlotte Branch 401 South Tryon Street (Charlotte, North Carolina 28201) ATLANTA 104 Marietta Street, N. W. (Atlanta, Georgia 30303) Birmingham Branch 1801 Fifth Avenue, North (P. O. Box 2574, Birmingham, Alabama 35202) Jacksonville Branch 515 Julia Street (P. O. Box 929, Jacksonville, Florida 32201) Nashville Branch 301 Eighth Avenue, North (Nashville, Tennessee 37203) New Orleans Branch 525 St. Charles Avenue (P. O. Box 61630, New Orleans, Louisiana 70160) CHICAGO 230 South LaSalle Street (P. O. Box 834, Chicago, Illinois 60690) Detroit Branch 160 Fort Street, West (P. O. Box 1059, Detroit, Michigan 48231) ST. LOUIS 411 Locust Street (P. O. Box 442, St. Louis, Missouri 63166) Little Rock Branch 121 West Third Street (P. O. Box 1261, Little Rock, Arkansas 72203) Louisville Branch 410 South Fifth Street (P. O. Box, 899, Louisville, Kentucky 40201) Memphis Branch 170 Jefferson Street (P. O. Box 407, Memphis, Tennessee 38101) MINNEAPOLIS 73 South Fifth Street (Minneapolis, Minnesota 55440) Helena Branch 400 North Park Avenue (Helena, Montana 59601) KANSAS CITY 925 Grand Avenue (Federal Reserve Station, Kansas City, Missouri 64198) Denver Branch 1111 Seventeenth Street (Denver, Colorado 80217) Oklahoma City Branch 226 Northwest Third Street (P. O. Box 25129, Oklahoma City, Oklahoma 73125) Omaha Branch 102 South Seventeenth Street (Omaha, Nebraska 68102) DALLAS 400 South Akard Street (Station K, Dallas, Texas 75222) El Paso Branch 301 East Main Street (P. O. Box 100, El Paso, Texas 79999) Houston Branch 1701 San Jacinto Street (P. O. Box 2578, Houston, Texas 77001) San Antonio Branch 210 West Nueva Street (P. O. Box 1471, San Antonio, Texas 78206) SAN FRANCISCO 400 Sansome Street (San Francisco, California 94120) Los Angeles Branch 409 West Olympic Boulevard (P. O. Box 2077, Los Angeles, California 90054) Portland Branch 915 S. W. Stark Street (P. O. Box 3456, Portland, Oregon 97208) Salt Lake City Branch 120 South State Street (P. O. Box 780, Salt Lake City, Utah 84110) Seattle Branch 1015 Second Avenue (P. O. Box 3567, Seattle, Washington 98124) Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1358 FEDERAL RESERVE BULLETIN • AUGUST 1967 RULES OF P*ROCEDURE laboration with the other Divisions of the staff. (12 CFR 262) (d) Effective dates.—-Any substantive regula­ tion or amendment thereto issued by the Board As revised effective August 9, 1967 is published not less than 30 days prior to the Section 262.1—Basis and Scope effective date thereof, except as specified in para­ graph (e) of this section or as otherwise excepted This Part is issued pursuant to section 552 by law. of Title 5 of the United States Code, which re­ (e) Exceptions as to notice or effective date.— quires that every agency shall publish in the In certain situations, notice and public participa­ Federal Register statements of the general course tion with respect to proposed regulations may be and method by which its functions are channeled impracticable, unnecessary, contrary to the public and determined and rules of procedure and de­ interest, or otherwise not required in the public scriptions of forms available or the places at interest, or there may be reason and good cause which forms may be obtained. in the public interest why the effective date Section 262.2—Procedure for Regulations should not be deferred for 30 days. The reason (a) Notice.—Notices of proposed regulations or reasons in such cases usually are that such of the Board or amendments thereto are pub­ notice, public participation, or deferment of ef­ lished in the Federal Register, except as specified fective date would prevent the action from be­ in paragraph (e) of this section or otherwise coming effective as promptly as necessary in the excepted by law. Such notices include a state­ public interest, would permit speculators or others ment of the terms of the proposed regulations or to reap unfair profits or to interfere with the amendments and a description of the subjects and Board’s actions taken with a view to accommodat­ issues involved; but the giving of such notices ing commerce and business and with regard to does not necessarily indicate the Board’s final their bearing upon the general credit situation approval of any feature of any such proposal. of the country, would provoke other consequences The notices also include a reference to the au­ contrary to the public interest, would unreason­ thority for the proposed regulations or amend­ ably interfere with the Board’s necessary func­ ments and a statement of the time, place, and tions with respect to management or personnel, nature of public participation. would not aid the persons affected, or would (b) Public participation.—The usual method otherwise serve no useful purpose. The follow­ of public submission of data, views, or argu­ ing may be mentioned as some examples of situa­ ments is in writing. It is ordinarily preferable tions in which advance notice or deferred effec­ that they be sent to the appropriate Federal Re­ tive date, or both, will ordinarily be omitted in serve Bank, which forwards them to the Board. the public interest: The review and determination The locations of the 12 Federal Reserve Banks of discount rates established by Federal Reserve and the boundaries of the Federal Reserve dis­ Banks, and changes in general requirements re­ tricts are shown in the Appendix to the Board’s garding reserves of member banks, maximum in­ Rules of Organization. terest rates on time and savings deposits, or credit (c) Preparation of draft and action by Board. for purchasing or carrying securities. —In the light of consideration of all relevant matter presented or ascertained, the Legal Di­ Section 262.3—Applications vision, in collaboration with other Divisions of (a) Form.—Any application, request, or peti­ the Board's staff, prepares drafts of proposed tion (hereafter referred to as “application”) for regulations or amendments, and the staff submits the approval, authority, determination, or per­ them to the Board. The Board takes such action mission of the Board with respect to any action as it deems appropriate in the public interest. Any for which such approval, authority, determination, other documents that may be necessary to carry or permission is required by law or regulation out any decision by the Board in the matter are of the Board (including actions authorized to usually prepared by the Legal Division, in col­ be taken by a Federal Reserve Bank or others on behalf of the Board pursuant to authority dele­ * The text corresponds to the Code of Federal Regulations, Title 12, Chapter II, Part 262; cited as 12 CFR 262. gated under Part 265) shall be submitted in ac- Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

LAW DEPARTMENT 1359 cordance with the pertinent form, if any, listed under other provisions of this Part, the following in § 262.6. Copies of any such form and details procedures are applicable in connection with the regarding information to be included therein may Board’s consideration of applications under sec­ be obtained from any Federal Reserve Bank. Any tion 3 of the Bank Holding Company Act of 1956 application for which no form is listed in § 262.6 (12 U.S.C. 1842), hereafter called “holding should be signed by the person making the ap­ company applications”, and of applications under plication or by his duly authorized agent, should section 18(c) of the Federal Deposit Insurance state the facts involved, the action requested, and Act (12 U.S.C. 1828), hereafter called “merger the applicant’s interest in the matter, and should applications”. Unless otherwise indicated, these indicate the reasons why the application should be procedures apply to both types of applications. granted. Applications for access to, or copying of, (1) The Board issues each week a list that records of the Board should be submitted as identifies holding company and merger applica­ provided in § 261.4(d) of this Chapter. tions received during the preceding week. Notice (b) Procedure.—Any application should be of receipt of each holding company application sent to the Federal Reserve Bank of the district is published in the Federal Register as provided in which the person making the application is in § 222.4(e)(2) of this Chapter [Regulation Y], located, and that Bank will forward it to the (2) If a hearing is required by law or if the Board when appropriate. The Reserve Bank Board determines that a hearing for the purpose makes such investigation as may be necessary of taking evidence is desirable, the Board issues and reports the relevant facts, with its recom­ an order for such a hearing, and notice thereof mendation, to the Board. is published in the Federal Register. Any such (c) Comments by staff.—In the light of con­ hearing is conducted by a hearing examiner or sideration of all relevant matter presented or as­ hearing officer in accordance with the Board’s certained, the Board’s staff prepares and submits Rules of Practice for Formal Hearings (Part 263 to the Board comments on the subject. The Board of this Chapter) and, unless otherwise ordered in due course takes such action as it deems ap­ by the Board, is public. propriate in the public interest. Such documents (3) In any case in which a formal hearing is as may be necessary to carry out any decision not ordered by the Board, the Board may afford by the Board are prepared by the Board’s staff. the applicant and other properly interested per­ With respect to actions taken by a Federal Re­ sons (including Governmental agencies) an op­ serve Bank on behalf of the Board under dele­ portunity to present views orally before the Board gated authority, statements and necessary docu­ or its designated representative. Unless otherwise ments are prepared by the staff of such Federal ordered by the Board, any such oral presenta­ Reserve Bank. tion is public and notice of such public proceed­ (d) Notice of granting or denial.—Prompt no­ ing is published in the Federal Register. tice is given to the applicant of the granting or (4) The Board’s action on an application is denial in whole or in part of any application. In embodied in an Order that indicates the votes the case of a denial, except in affirming a prior of members of the Board and is accompanied by denial or where the denial is self-explanatory, a Statement of the reasons for the Board’s action. such notice is accompanied by a simple state­ Both the Order and accompanying Statement are ment of the grounds for such action. released to the press. Normally, the Statement is (e) Action at Board's initiative.—When the issued at the time of issuance of the Order; where Board, without receiving an application, takes this is not practicable, the Statement is issued as action with respect to any matter as to which promptly as possible. Each such Order is published opportunity for hearing is not required by statute in the Federal Register; and the Order and State­ or Board regulation, similar procedure is followed, ment are published in the next succeeding issue including investigations, reports, and recommen­ of the Federal Reserve Bulletin. dations by the Board’s staff and by the Reserve (5) (i) Each Order of the Board approving Banks, where appropriate. a holding company application includes, pursuant (f) Bank holding company and merger ap­ to the Act approved July 1, 1966 (12 U.S.C. plications.—In addition to procedures applicable 1849(b)), a requirement that the transaction ap- Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1360 FEDERAL RESERVE BULLETIN • AUGUST 1967 proved shall not be consummated before the Section 262.6—Forms thirtieth calendar day following the date of such The following forms, which are available at Order, (ii) Each Order of the Board approving a the Federal Reserve Banks, shall be used for the merger application includes, pursuant to the Act purposes indicated: approved February 21, 1966 (12 U.S.C. 1828 (c)(1)(6)), a requirement that the transaction Form approved shall not be consummated before the thirtieth calendar day following the date of such 30 Application for Federal Reserve Bank Order, except as the Board may otherwise deter­ Stock—Organizing National Bank mine pursuant to emergency situations as to 30a Application for Federal Reserve Bank which the Act permits consummation at earlier Stock—Nonmember State Bank Con­ dates, (iii) Each Order approving an application verting into National Bank also includes, as a condition of approval, a re­ quirement that the transaction approved shall be 56 Application for Adjustment in Holdings of consummated within three months and, in the Federal Reserve Bank Stock (Except by case of acquisition by a holding company of stock Mutual Savings Banks) of a newly organized bank, a requirement that 56a Application of Mutual Savings Bank for such bank shall be opened for business within Adjustment in Holdings of Federal Re­ six months, but such periods may be extended serve Bank Stock for good cause by the Board (or by the ap­ 70 Application for Prior Written Consent to propriate Federal Reserve Bank where authority Effect a Merger or Other Transaction Pur­ to grant such extensions is delegated to the Re­ suant to Section 18(c) of the Federal serve Bank). Deposit Insurance Act (Resulting Bank (6) After action by the Board on an applica­ to be a State Member Bank) tion, the Board will not grant any request for reconsideration of its action unless the request 83 Application for Membership in the Fed­ presents relevant facts that, for good cause shown, eral Reserve System (Cover Sheet) were not previously presented to the Board, or 83A Application for Membership in the Fed­ unless it otherwise appears to the Board that eral Reserve System (State Banks except reconsideration would be appropriate. Mutual Savings Banks) (7) Unless the Board shall otherwise direct, 83B Application for Membership in the Fed­ each holding company and merger application is eral Reserve System (Mutual Savings made available for inspection by the public ex­ Banks Authorized to Purchase Stock in cept for portions thereof as to which the Board Federal Reserve Bank) determines that nondisclosure is warranted under section 552(b) of Title 5 of the United States 83C Application for Membership in the Fed­ Code. eral Reserve System (Mutual Savings Banks Not Permitted to Subscribe for Section 262.4—Adjudication with Formal Stock in Federal Reserve Bank) Hearing 83D Application for stock in the Federal In connection with adjudication with respect Reserve Bank (Mutual Savings Bank Ad­ to which a hearing is required by law or is ordered mitted to Membership upon Deposit of by the Board, the procedure is set forth in Part Appropriate Amount with Federal Re­ 263 of this Chapter, entitled “Rules of Practice serve Bank and Now Permitted to Sub­ for Formal Hearings”. scribe for Federal Reserve Bank Stock under Laws under Which Organized) Section 262.5—Appearance and Practice 83E Certificate of Directors and Cashier Appearance and practice before the Board in 86 Application for Cancellation of Federal all matters are governed by § 263.3 of this Chap­ Reserve Bank Stock—Liquidating Mem­ ter. ber Bank Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

LAW DEPARTMENT 1361 Form Form 86a Application for Cancellation of Federal F-6 Statement in Election Contest Reserve Bank Stock—Member Bank F-7 Initial Statement of Beneficial Ownership Merging or Consolidating with Non­ of Securities member Bank F-8 Statement of Changes in Beneficial Owner­ 86b Application for Cancellation of Federal ship of Securities Reserve Bank Stock—Converting Na­ tional Bank F-9 Financial Statements 87 Application for Cancellation of Federal F-10 Registration Statement for Additional Reserve Bank Stock—Insolvent Member Classes of Securities of a Bank Bank F-20 Amendment to Registration Statement or 105 Report of Condition of State Member Periodic Report of Bank Bank 105e (Form 105e)—Report of Condition of T-l Agreement, Resolution, Certificate—to State Member Bank (Publisher’s Copy) Qualify under Section 8(a) of the Se­ 107 Report of Income and Dividends of State curities Exchange Act of 1934 Member Bank (Calendar Year) T-2 Agreement, Resolution, Certificate—to 107b Report of Income and Dividends of State Qualify under Section 8(a) of the Secur­ Member Bank (6-Month Period) ities Exchange Act of 1934 (Bank with 151 Articles of Association—Corporation To Prncipal Place of Business outside 50 Do Business under Section 25(a) of the States of United States) Federal Reserve Act Y-l Application for Prior Approval of Action 152 Organization Certificate—Corporation To to Become a Bank Holding Company Do Business under Section 25(a) of the Pursuant to Section 3(a)(1) of the Bank Federal Reserve Act Holding Company Act of 1956 220 Report of an Affiliate of a State Member Y-l A Certificate of Directors or Other Govern­ Bank ing Body Authorizing Application Pursu­ 220a Report of an Affiliate of a State Member ant to Section 3(a)(1) of the Bank Bank (Publisher’s Copy) Holding Company Act of 1956 . 240 Report of Member Firm of a National Y -2 Application for Prior Approval of Ac­ Securities Exchange quisition of Bank Shares Pursuant to 314 Report of Condition by Foreign Banking Section 3(a)(3) of the Bank Holding Corporation (Semiannual) Company Act of 1956 391 Monthly Report on Foreign Claims Y-2A Certificate of Directors or Other Govern­ 414 Computation of Reserve to be Carried with ing Body Authorizing Application Pursu­ Federal Reserve Bank by Member Bank ant to Section 3(a)(3) of the Bank Hold­ F-l Registration Statement for Securities of a ing Company Act of 1956 Bank Y -5 Registration Statement of Bank Holding F-2 Annual Report Company Pursuant to Section 5(a) of the F-3 Current Report Bank Holding Company Act of 1956 F-4 Quarterly Report Y -6 Annual Report of Bank Holding Company F-5 Proxy Statement; Statement Where Man­ Pursuant to the Bank Holding Company agement Does Not Solicit Proxies Act of 1956 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

Announcements CHANGES IN THE BOARD'S STAFF 1966, 50 banks were over their interim ceilings Charles A. Yager was appointed an Associate (the amount outstanding of September 30, 1966, Adviser in the Division of International Finance, plus 40 per cent of the leeway available on Octo­ effective August 13, 1967. Mr. Yager has been ber 1) by an aggregate amount of $154 million. on loan to the Organization for Economic Co­ This had been expected, since the program for operation and Development since February 1964 1967 was not announced until December 13. By where he served as the Director of Statistics and March 31 the number of banks over their ceilings National Accounts. still was 46, but the aggregate amount in excess Appointed to the Board’s staff in February had been reduced to $76 million. On June 30, 1952 as an economist in the National Income, 1967, 45 banks were over their interim ceilings, Moneyflows, and Labor Section of the Division but the aggregate amount in excess had increased of Research and Statistics, Mr. Yager transferred to $126 million, largely as a result of necessitous to the Government Finance Section in 1958, and financing of exports. However, the Board has was appointed Chief of that Section in January every reason to believe that efforts will be made 1962. by these banks to pull back to their applicable Prior to his Board appointment, Mr. Yager ceilings in the near future. served as a teaching fellow at the University of The Board also reported that nonbank financial Michigan while doing graduate work in economics. institutions continued to operate within the guide­ lines. Holdings of foreign assets for which a VOLUNTARY FOREIGN CREDIT RESTRAINT target ceiling has been suggested declined by $45 PROGRAM million, or 2.3 per cent during the first quarter Banks reporting under the voluntary foreign of 1967 and were $82 million under the target credit restraint program increased their holdings ceiling at the end of March. of foreign assets in June by $54 million, accord­ Nonbank financial institutions increased their ing to an announcement by the Board of Gover­ holdings of foreign assets not covered by the nors of the Federal Reserve System on August 1. guidelines by $262 million during the first quarter During the first 6 months of 1967 there was a of 1967. Investments in Canada and Japan ac­ small net inflow (reduction in holdings of foreign counted for almost 70 per cent of this increase. assets) of about $20 million, which compares with an inflow of $220 million in the same period of RECIPROCAL CURRENCY ARRANGEMENTS 1966. At the end of June 1967 foreign credits of On July 20, 1967, the Federal Reserve announced reporting banks were still about $15 million below increases in the reciprocal currency arrangements the amount outstanding on December 31, 1964, with the Swiss National Bank and the Bank for the figures used as the base for the program. International Settlements. The arrangement with Also at the end of June the banks were $419 the Swiss National Bank providing for the ex­ million below the interim ceiling effective as of change of Swiss francs against dollars was in­ June 30, and they were $923 million below the creased by $50 million to $250 million. Of the ceiling (109 per cent of the 1964 base) that will two arrangements with the Bank for International be effective on October 1, 1967. The interim ceil­ Settlements now in effect, the one providing for ing, representing stated percentage increments of the exchange of Swiss francs against dollars was the total leeway available on October 1, 1966, increased by $50 million to $250 million and the increased by about $240 million on July 1, 1967. one providing for the exchange of European The banking system as a whole is operating well currencies other than Swiss francs against dollars within the suggested guidelines. On December 31, was increased by $100 million to $300 million. 1362 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

ANNOUNCEMENTS 1363 The Federal Reserve now has reciprocal cur­ Bank for International rency arrangements totaling $5,030 million with Settlements: the following banks: Swiss francs/dollars 250 (In millions of dollars) Other European currencies/ dollars 300 Austrian National Bank 100 National Bank of Belgium 150 In all such arrangements the Federal Reserve Bank of Canada 500 Bank of New York acts on behalf of the 12 National Bank of Denmark 100 Federal Reserve Banks under the direction of the Federal Open Market Committee. Bank of England 1,350 Bank of France 100 German Federal Bank 400 ADMISSION OF STATE BANK TO Bank of Italy 600 MEMBERSHIP IN THE FEDERAL RESERVE SYSTEM Bank of Japan 450 The following bank was admitted to membership Bank of Mexico 130 in the Federal Reserve System during the period Netherlands Bank 150 July 16, 1967, through August 15, 1967: Bank of Norway 100 Texas Bank of Sweden 100 Swiss National Bank 250 El Paso Chelmont State Bank Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

National Summary of Business Conditions Released for publicaiion August 16 Industrial production, nonfarm employment, continued to edge up from the March low and and retail sales rose in July, Manufacturing em­ was 13 per cent below last July. Output of furni­ ployment declined and the unemployment rate ture and apparel declined further. Production of edged off. Bank credit and time and savings commercial, industrial, and defense equipment deposits increased further, and growth in the increased. money supply moderated somewhat. Yields on Among materials, production of consumer dur­ most short-term Treasury bills changed little be­ able and equipment parts rose, mainly auto and tween mid-July and mid-August, while rates on truck tires and electrical machinery parts, and longer maturities rose. Yields on corporate bonds output of crude oil increased 8 per cent. Produc­ were slightly below recent peaks and municipal tion of iron and steel and most other materials bond yields declined in early August. was about unchanged. INDUSTRIAL PRODUCTION EMPLOYMENT Industrial production in July was 156.3 per Nonfarm employment rose 195,000 further in cent of the 1957-59 average—0.6 of one per cent July as advances continued strong in Government above June and 0.6 of one per cent below a year and the service industries. In manufacturing, de­ earlier. The July increase, which partially offset clines in transportation equipment (35,000)—be­ the 2.3 per cent decline in the total index over the cause of strikes in the shipbuilding industry and first half of the year, was due in large part to strike the early auto model changeover—and apparel settlements in the electrical machinery, television, (20,000) offset gains in some other industries. and rubber industries and an increase in crude oil An employment increase in electrical equipment output as a result of the curtailment in Mid-East (25,000) reflected primarily the return to work of supplies. persons on strike in June. The average workweek Auto assemblies rose 3 per cent in July after in manufacturing was virtually unchanged at 40.3 allowance for the early start of the model change­ hours and was 0.7 hours shorter than a year over period. Output of television sets rose 10 per earlier. The unemployment rate, at 3.9 per cent, cent but was still below earlier levels and 20 per edged down 0.1 per cent from June. cent below a year ago. Production of appliances DISTRIBUTION The value of retail sales rose one per cent in July from the record June level and was about 5'A per cent above a year earlier. Sales at dur­ able goods stores were up more than 3 per cent, but dealer deliveries of new domestic autos were unchanged from June. Sales at nondurable goods stores, as a group, changed little. Total sales in the second quarter of the year were up 1.8 per cent from the first quarter, the largest quarterly increase since last summer. AGRICULTURE August 1 prospects indicate total crop output 5 per cent above last year and 2 per cent above the record in 1965. Among the major crops, wheat and corn are expected to be up 15 and 13 per cent 1364 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

NATIONAL SUMMARY OF BUSINESS CONDITIONS 1365 from last year and sorghum grain and soybeans, large volume. While banks also made relatively 14 and 7 per cent. The cotton crop, down 13 per heavy additions to their portfolios of municipal cent to 8.3 million bales, is the second grown and Federal agency issues, the pace continued under the surplus-cutting cotton acreage diver­ somewhat slower than during January-May. sion program. A draft on stocks of 5 to 6 million Time and savings deposits expanded at a rate bales, required to meet projected 1967-68 use, only slightly less than the high average of the first will reduce August 1, 1968, carryover to 7 million half of the year. Growth in the money supply bales, 10 million below the peak of August 1, 1966. moderated somewhat in July from the rapid rates of May and June. COMMODITY PRICES Total and required reserves increased substan­ The wholesale price index for industrial com­ tially. Excess reserves increased somewhat more modities continued to show little change through than borrowings, and free reserves rose to an early July, with selective increases for finished average of $316 million over the four weeks end­ products and weakness in hides and some other ing July 26. The monthly average rate on Fed­ basic industrial materials. In recent weeks, how­ eral funds declined slightly from 4.30 per cent in ever, the industrial average may have edged up, June to 4.15 per cent in July. with increases in crude oil, copper scrap, some construction materials, silver and silver products, SECURITY MARKETS Yields on most Treasury bills due in less than and tires and tubes. Following the sharp run-up 5 months fluctuated but changed little on balance in May and June, prices of foodstuffs showed between mid-July and mid-August, while rates on only a small further rise in early July; in recent longer maturities rose. The 3-month issue was weeks average prices of livestock and meat have bid at around 4.20 per cent in the middle of shown little change and grain prices have declined August. Yields on U.S. Government notes and further. bonds, over the same period, moved higher on BANK CREDIT, DEPOSITS, AND RESERVES balance. Bank credit rose $7.4 billion in July, following Yields on corporate bonds fluctuated within a very modest growth in the preceding month. The narrow range slightly below the recent peak levels July credit expansion and particularly the sharp registered in late June and early July. Municipal rise in total loans reflect, in part, shifting seasonal bond yields declined in August, after remaining patterns of demand, partly related to accelerated relatively stable throughout the latter half of July. tax payments, that cannot be fully offset by usual Common stock prices continued near the all-time seasonal adjustment techniques. Also, in July high of early August, while trading volume ad­ banks acquired the new tax anticipation bills in vanced to new records. Discount rate, range or level for all F.R. Banks. Weekly 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 Aug. 11. 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 adjusted for seasonal variation c Corrected IPC Individuals, partnerships, and corpora­ p Preliminary tions r Revised SMSA Standard metropolitan statistical area rp Revised preliminary A Assets i, n, L Liabilities HI, 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...................................................... Aug. 1967 1428-37 Banking and monetary statistics, 1966.............. Mar. 1967 456-70 July 1967 123 6-39 Banks and branches, number of, by class and Semiannually State.............................................................. Apr. 1967 65 8-59 Banking offices: Analysis of changes in number of.................. Aug. 1967 1438 Flow of funds (assets and liabilities)................. Oct. 1966 1536-46 On, and not on, Federal Reserve Par List, number of................................................. Aug. 1967 1439 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, 1966.................. June 1967 1042 Banking offices and deposits of group banks, Stock exchange firms, detailed debit and credit Dec. 31, 1966..... Aug. 1967 1440 balances...................................................... Sept. 1966 1408 1366 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........ 1368 Reserve Bank discount rates; margin requirements; reserve requirements................... 1373 Bank deposits; open market transactions; Federal Reserve Banks................................ 1375 Bank debits; currency in circulation ................................................................................ 1378 Money supply and bank reserves; banks and the monetary system.............................. 1380 Commercial and mutual savings banks, by classes ......................................................... 1384 Commercial banks ............................................................................................................. 1385 Weekly reporting banks....................................................................................................... 1388 Business loans .................................................................................................................... 1392 Interest rates ......................................................................................................................... 1393 Security prices; stock market credit.................................................................................. 1394 Open market paper; savings institutions ......................................................................... 1395 Federally sponsored credit agencies..................................................................................... 1397 Federal finance...................................................................................................................... 1398 U.S. Government securities................................................................................................. 1400 Security issues........................................................................................................................ 1404 Business finance ................................................................................................................ 1406 Real estate credit ............................................................................................................... 1408 Consumer credit ................................................................................................................. 1412 Industrial production........................................................................................................... 1416 Business activity; construction............................................................................................ 1420 Employment and earnings................................................................................................... 1422 Wholesale and consumer prices.......................................................................................... 1424 National product and income series.................................................................................... 1426 Flow of funds........................................................................................................................ 1428 Number of banking offices in the United States.............................................................. 1438 Banking offices on Federal Reserve par list and not on par list..................................... 1439 Bank holding companies, December 31, 1966 ................................................................. 1440 Guide to tabular presentation............................................................................................. 1366 Index to statistical tables ................................................................................................... 1469 The data for F.R. Banks and member banks and eral finance, and Federal credit agencies are ob­ for 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). 1367 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1368 BANK RESERVES AND RELATED ITEMS AUGUST 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 Period T u re ry a s­ Cur­ Treas­ than m re e s m erv b e e s r , bank Me r m es b e e r r v e b s ank d o a r te U To .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 m c a i e t h g e i p a e r n e u s s t e e ! r s ­ ­ c v D o a a a n n u d i c d s n ­ ­ e ts s Float 2 t T al o ­ 3 s G to o c ld k s r c o e t i u a n n u r n g c t ­ ­ y d ­ r c t e c u i i n i o n l r c a n ­ y ­ h c i u o n a r g s l y d h s ­ T u r w e ry i a t s h ­ F. F e R i o g . r n ­ Ba O nk t s her2 c O F o a t u . c h R n ­ e . t r s B W F a R n it k h . s c r C e o a n n i u n c d r y ­ 4 Total 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 81 164 350 2,'211 2’211 1939—Dec......... 2,510 2,510 8 83 2,612 17.518 2.956 7.609 2,402 616 739 248 11,473 11.473 1941—Dec......... 2,219 2,219 5 170 2,404 22.759 3,239 10.985 2.189 592 1,531 292 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 1,11721,606 22,879 4,629 27,806 1,290 615 920 353 739 17,391 17,391 1956—Dec.......... 24,765 24.498 267 706 1,63327,156 21,942 5,064 31,775 772 463 372 247 998 19,535 19,535 1957—Dec.......... 23,982 23,615 367 716 1,44326,186 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 1J95 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 17,964 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—July......... 42,221 42,210 11 767 2,62445,737 13,415 5,971 42,825 1,066 1,059 196 419 338 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......... 42,735 42,725 10 774 2,07445,631 13,258 6,072 42,991 1,078 869 131 407 217 19,268 3,972 23,240 Oct...... 42,837 42,817 20 749 1,94945,604 13,257 6,138 43,122 1,121 758 145 439 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 19,225 4,026 23,251 Dec...... 43,760 43,274 486 570 2,383 46,864 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 44,083 1,392 990 137 450 692 19,263 4,021 23,284 June........ 45,844 45,801 43 147 1,45947,547 13,108 6,602 44,567 1,385 715 128 464 609 19,388 '4,130 ''23,518 July......... 46,807 46,784 23 91 1,58448,590”13,109*6,615*44,997*1,481 1,123 128 482 373 19,730*4,176*23,906 Week ending—• 1966 July 6............. 42,585 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 1,065 131 414 265 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 1,77545,114 13,258 6,041 42,771 1,079 1,083 138 412 352 18,578 4,063 22,641 Sept 7.............. 42,977 42,977 751 1,75445,531 13,258 6,050 42,982 1,063 988 127 410 286 18,981 3,688 22,669 ‘ 14..4..2..,..9..3..6.. 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 2,48545,841 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 2,04345,440 13,256 6,154 43,088 1,138 924 127 432 -45 19,187 4,080 23,267 Nov. 2.............. 43,019 42,958 61 610 1,77045,472 13,257 6,167 43,089 1,154 805 156 435 -33 19,290 4,090 23,380 9..4...3..,.4..7..4.. 43,281 193 661 1 ,89046,100 13,258 6,185 43,406 1,163 740 162 435 17 19,620 3,735 23,355 16.............. 43,415 43,265 150 726 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 2,45045,967 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 4,268 23,226 Dec. 7............. 43,792 43,312 480 462 2,01446,399 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 2,03246,407 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 For notes see opposite page. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 BANK RESERVES AND RELATED ITEMS 1369 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 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 t g s ­ t e h c t u a R r c i g e h ti r p a e e s u s e e r ­ i ­ c v D o a a a n n u d i c s d n ­ - e t s s Float 2 t T al o ­ 3 s G to o c 'd k T s c o t i r u a n u e u r n g r a y t - d ­ s ­ ­ r c C t e c u i i n o u i n l r c a n r ­ y ­ ­ T h c i u n r o a e r g s l y a d h s s ­ ­ T u r w e ry a it s h ­ F r F e . e R i s o g e r n r ­ v B e a s O n . t k h s er2 c O o F a t u . c h R n ­ e . t r s B W F a . n i R t k h s re r C s a e e n n u r d c r v y ­ e s Total ments coin 4 Averages of daily figures Week ending— 1967 Jan. 4.............. 44,230 43.697 533 566 2,49347,491 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 2,21747,563 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 2,02646,581 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 2,26746,216 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 2.01746,630 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 1,92046,747 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 Mar. 1.............. 44,187 43,942 245 167 1,67646,183 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 1,271 451 132 435 720 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 1,85846,947 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 Apr. 5.............. 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 May 3.............. 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 1,38447,567 13,109 6,567 44,015 1,396 1,050 143 463 539 19,636 3,776 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 4,045 23,386 24.............. 45,530 45,530 75 1,53247,241 13,109 6,568 44,073 1,391 1,068 121 442 841 18,982 4,099 23,081 31.............. 45,726 45,657 69 127 1,15047,081 13,109 6,592 44,198 1,378 872 158 439 854 18,883 4,176 23,059 June 7.............. 45,955 45,869 86 102 1,321 47,478 13,109 6,590 44,438 1,380 734 131 459 835 19,200 3,976 23,176 14.............. 45,596 45,596 68 1 ,38047,118 13,108 6,598 44,600 1,380 471 131 450 609 19,183 4,030 23,213 21.............. 45,654 45,587 67 116 1,70847,552 13,108 6,608 44,598 1,393 520 121 450 525 19,661 4,106 23,767 28.............. 45,940 45,924 16 165 1 ,40847,642 13,108 6,610 44,574 1,378 968 126 490 530 19,293 4,254 23,547 July 5.............. 46,809 46,755 54 366 1,231 48,543 13,110 6,614 44,856 1,464 1 ,088 148 508 360 19,841 4,043 23,884 12.............. 47,158 47,101 57 74 1,70449,097 13,110 6,610 45,256 1,479 1,073 134 484 470 19,921 *4,141 *24,062 19.............. 46,471 46,471 53 1,84748,455 13,109 6,603 45,085 1,477 1 ,021 128 484 380 19,592 *4,291 *23,883 26.............. 46,715 46,715 .......... 54 1,63248,479 13,109 6,616 44,864 1,485 1,188 116 468 368 19,716 *4,302 *24,018 End of month 1967 May 46,066 45,743 323 415 1,24847,799 13,109 6,605 44,443 1,356 574 193 443 870 19,634 4,395 24,029 June 46,719 46,634 85 68 1,34548,268 13,110 6,612 44,713 1,472 1,311 147 511 330 19,505 4,565 24,070 July.................... 46,804 46,804 .......... 41 67747,600*13,108*6,633 *44,842*1,474 1,340 117 476 214 18,877 *3,975 *22,852 Wednesday 1967 June 7.............. 45,919 45,919 90 1,26747,381 13,109 6,596 44,606 1,387 427 130 457 736 19,343 '4,262 '23,605 14............. 45,353 45,353 88 1,37846,892 13,109 6,596 44,669 1,392 247 142 442 508 19,197 4,553 23,750 21.............. 46,287 45,815 472 436 1,331 48,132 13,109 6,609 44,651 1,394 755 128 460 538 19,924 4,620 24,544 28.............. 46,178 46,178 .......... 128 1,231 47,669 13,109 6,606 44,779 1,369 1,215 127 455 437 19,001 4,756 23,757 July 5.............. 47,094 46,975 119 89 1,48948,810 13,109 6,619 45,180 1,492 289 174 519 399 20,485 *3,971 *24,456 12.............. 46,760 46,760 76 1,61748,610 13,109 6,599 45,300 1,472 1,175 135 493 360 19,383 *4,764*24,147 19.............. 46,309 46,309 52 1,75348,195 13,109 6,612 45,052 1,480 1,155 120 481 402 19,226*4,657 *23,883 26.............. 46,854 46,854 .......... 122 1,62848,685 13,109 6,622 44,900 1,494 1,324 97 466 259 19,876*4,738 *24,614 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

1370 BANK RESERVES AND RELATED ITEMS AUGUST 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 l a d l qu R i e re ­ 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 l a d l qu R ir e e ­ d Excess B r F i o n a a . n w g R t s k . ­ s s F e r r r e v e ­ e e s T h o e t l a d l qu R ir e e ­ d Excess B r F i o a n a . w n g R t k s ­ . s s F e 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 1,141 601 540 540 1941—Dec. 12,812 9,422 3,390 5 3,385 5,142 4,153 989 989 1,143 848 295 295 1945—Dec. 16,027 14,536 1,491 334 1,157 4,118 4,070 48 192 -144 939 924 14 14 1947—Dec.. 17,261 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 18,450 482 906 -424 3,920 3,930 -10 99 -109 1,038 1,038 104 -104 I960—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 -It 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 4,062 21 35 -14 1,083 1,086 -3 28 -31 1965—Dec. 22,719 22,267 452 454 -2 4,301 4,260 41 Ill -70 1,143 1,128 15 23 -8 1966—July. 23,090 22,686 404 766 -362 4,437 4,350 87 93 -6 1,142 1,130 12 66 -54 Aug, 22,655 22,317 338 728 -390 4,224 4,210 14 40 -26 1,098 1,094 4 28 -24 Sept. 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 .1’2 1,109 3 98 -95 Nov. 23,251 22,862 389 611 -222 4,339 4,299 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 1,1’9 1,115 4 54 -50 1967—Jan. 24,075 23,702 373 389 -16 4,594 4,571 23 69 -46 ,164 1,136 28 151 -123 Feb. 23,709 23,351 358 362 -4 4,557 4,511 46 113 -67 1,099 1,117 -18 46 -64 Mar. 23,405 22,970 435 199 236 4,612 4,608 4 72 -68 ,133 1,122 11 26 -15 Apr. 23,362 23,053 309 134 175 4,644 4,613 31 41 -10 1 ,131 1,140 _9 1! -20 May 23,284 22,914 370 101 269 4,614 4,583 31 19 12 1,133 1,127 6 5 June 23,518 23,098 420 123 297 4,701 4,664 37 30 7 1,150 1,138 12 15 -3 July. ”23,906”23,538 ”368 87 ”281 ”4,787 ”4,749 ”38 18 ”20 »1,153 ”1,162 p-9 5 ”-14 Week ending— 1966—July 6. ... 23,173 22,823 350 827 -477 4,596 4,482 114 167 -54 1,175 1,167 8 107 -100 13.... 23,252 22,528 724 818 -94 4,291 4,259 31 120 -89 1,126 1,118 8 129 -121 20.... 22,935 22,764 171 631 -460 4,465 4,360 105 104 1 ,140 1,128 12 30 -18 27. ... 22,947 22,671 276 680 -404 4,324 4,328 -4 16 -20 ,113 1,119 -6 16 -22 Dec. 7. ... 23,188 23.007 181 449 -268 4,454 4,432 22 22 ,073 1,073 20 -20 14.... 23,518 23,008 510 647 -137 4,378 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 4,680 4,673 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 tl.... 24,499 23,872 627 585 42 4,6t8 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 .141 1,144 -3 60 -63 15.... 23,726 23,308 418 456 -38 4,503 4,469 34 154 -120 .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 .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 4,649 56 36 1,160 1,152 8 92 -84 Apr. 5.... 23,389 22,942 447 180 267 4,646 4,628 18 97 -79 ,138 1,145 -7 -7 12.... 23,162 22,936 226 145 81 4,521 4,515 6 49 -43 ,137 1,127 10 27 -17 19.... 23,580 23,102 478 178 300 4,586 4,584 2 64 -62 ,129 1,134 -5 -5 26.... 23,385 23,139 246 98 148 4,693 4,666 27 27 ,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 -1 21 -22 10.... 23,413 23,084 329 63 266 4,684 4,620 64 21 43 ,153 1,147 6 6 17.... 23,386 22,982 404 123 281 4,585 4,575 10 36 -26 ,123 1,127 -4 .. -4 24.... 23,081 22,754 327 50 277 4,555 4,531 24 24 ,108 1,094 14 14 31.... 23,059 22,678 381 102 279 4,551 4,511 40 .. 40 1,126 1,122 4 . . 4 June 7. ... 23,176 22,845 331 77 254 4,592 4,563 29 7 22 ,139 1,134 5 5 14.... 23,213 22,858 355 43 312 4,565 4,551 14 14 ,103 1,101 2 2 21.... 23,767 23,506 261 91 170 4,874 4,865 9 27 -18 1,157 1,159 -2 9 -11 28.... 23,547 23,116 431 141 290 4,677 4,663 14 ............14 ,156 1,150 6 2 4 July 5. ... 23,884 23,422 462 353 109 4,921 4,801 120 173 -53 J91 IJ85 6 77 -71 12.... ”24,062”23,401 ”661 69 ”592 ”4,780 ”4,719 ”61 ">61 p ,148 ”1,143 ”5 ”5 19. . .. ”23,883 ”23,638 ”245 51 ”194 ”4,772 ">4,742 ”30 ”30 ” ,141 ">1,138 »3 ”3 26.... ">24,018»23,594 ”424 54 ”370 »4,735 ”4,727 ”8 ............”8 ” ,179 >>1,170 ”9 ............">9 For notes see opposite page. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 BANK RESERVES AND RELATED ITEMS 1371 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 761 749 12 409 -397 632 610 22 327 -305 648 528 120 58 62 441 344 96 126 -30 1939—Dec.............................. 3 140 1,953 1J88 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 5376 418 96 '322 4,’576 3; 566 J ,611 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 41099 663 29 634 1956—Dec.............................. 8,078 7,983 96 300 -203 5,859 5,371 483 144 344 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 51419 430 162 268 1959—Dec.............................. 7,954 7,912 41 490 -449 6’020 5,569 450 213 237 1960—Dec.............................. 7,950 7,851 100 20 80 6,689 6 066 623 40 583 1961—Dec............................ 8367 8308 59 39 20 6,931 6,429 502 31 471 1962—Dec.............................. 8,178 8 J00 78 130 -52 6’956 6J15 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 8389 67 228 -161 8,219 71889 330 92 238 1966—July.............................. 9 203 9.140 63 375 -312 8,308 8,067 241 232 9 9 039 9,018 21 300 —279 8,294 71995 299 360 -61 9,269 9,198 71 288 -217 8,395 8 J03 292 286 6 9,344 9 JH 33 279 -246 8,439 8J76 263 229 34 9,306 9 258 48 293 -245 8’528 8,229 299 181 118 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 9,366 9,300 66 53 13 8,294 7,940 354 48 306 9,397 9,382 15 53 -38 8’189 71918 271 29 242 9,319 9382 37 46 -9 8,219 7,922 297 31 266 9,381 9314 67 34 33 81285 7,983 302 44 258 July.............................. *9,565 *9344 *21 10 *11 *8,401 *8,083 *318 54 *264 Week ending— 1966—July 6....................... 9,211 9,135 76 285 -209 8,192 8,039 152 268 -115 13....................... 9,101 9,046 56 393 -337 8,734 8,104 630 176 454 20....................... 9,269 9314 55 333 -278 8,’062 8^062 164 -164 27....................... 9,201 9,157 44 417 -373 8’, 309 8’,067 242 231 11 9,31! 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 9337 56 224 -168 8,441 8 J48 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....................... 9362 9339 23 52 —29 8,545 8.460 85 78 7 25....................... 9307 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....................... 9348 9393 55 59 -4 8,671 81350 321 130 191 22....................... 9 435 9374 61 167 -106 8,771 8,281 490 76 414 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....................... 9315 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...................... 9386 9305 81 4 77 8,079 71838 241 39 202 9352 9335 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 9310 38 79 -41 8,417 71974 443 35 408 26....................... 9’437 9,398 39 50 -11 8,121 71942 179 30 149 9,395 9,385 10 47 -37 8,270 7,902 368 27 341 ’ 10....................... 9,414 9,’349 65 13 52 81162 7,968 194 29 165 17....................... 9,344 9J19 25 57 -32 81334 7,961 373 30 343 24....................... 9,’272 9,220 52 23 29 8,145 71909 236 27 209 31....................... 9,236 9,189 47 66 — 19 8 J46 71856 290 36 254 9,274 9 232 42 19 23 8,171 7,916 255 51 204 14....................... 9; 260 9327 33 8 25 8,285 7,979 306 35 271 21....................... 9.456 9337 19 35 -16 8,’281 81044 237 20 217 28....................... 9,363 9,331 32 75 —43 8,352 71973 379 64 315 July 5....................... 9,537 9,456 81 28 53 8,235 7,980 255 75 180 " 12....................... *9’,505 *9,463 *43 II *32 *8,629 *8,076 *553 58 *495 19....................... *9,673 *9,608 *66 2 *64 *81295 *8 J50 *145 49 *96 26....................... *9,609 *9,581 *27 11 *16 *8,497 *8,116 *381 43 *338 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 Borrowings 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

1372 MAJOR RESERVE CITY BANKS AUGUST 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 week a e n n d d ing— 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 f t i b e r u n N a a d n t n n e e e d k s r t r s a . ­ l S d u e r o f p i r c l u it s r P r e e e q s a r e o u v 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 t c T r t - a o i w o n t a n a s y l s ­ * b c b o P u h a f y a u n n s i r k n e e ­ s s g t s o b S e a f a l n l l n i e k n e s s g t d L ea o t l o a e n rs s 3 de r B f i a o r n l o o w g e m r r s ­ ­ s * lo N a e n t s Total—-46 banks 1967—June 7............ 54 24 2,032 -2,002 19,4 3,434 1,402 1,297 2,138 105 1,238 86 1,152 14............ 31 2 2,263 -2,234 21.8 3,626 1,363 1,237 2,389 126 1,655 94 1,561 21............ 19 65 2,544 -2,590 24.1 4,106 1,562 1,462 2,644 100 1,675 73 1,602 28............ 32 28 1,490 -1,486 14.1 3,362 1,872 1,475 1,887 397 942 85 857 July 5............ 163 254 1,269 -1,360 12.6 2,998 1,729 1,358 1,640 371 1,047 91 956 12............ 101 2 2,269 -2,170 20.5 3,847 1,577 1,345 2,502 232 916 101 814 19............ 57 2,056 -1,999 18.7 3,627 1,571 1,415 2,212 156 1,170 84 1,086 26............ 33 8 1,170 -1,145 10.7 3,128 1,958 1,479 1,649 479 1,190 96 1,095 8 in New York City 1967—June 7............ 27 7 567 -547 13.1 1,212 645 620 592 25 814 86 729 14............ 10 559 -550 13.2 1,284 725 664 620 61 1,171 94 1,077 21............ 8 25 922 -939 21.0 1,669 747 747 922 1,159 73 1,086 28............ 15 451 -436 10.2 1,333 882 622 711 260 669 85 584 July 5............ 117 173 452 -508 11.5 1,268 816 577 691 239 823 91 732 12............ 63 986 -923 21.4 1,719 733 625 1,094 108 624 101 523 19............ 19 857 -838 19.4 1,534 677 554 980 122 764 69 694 26............ 9 480 -472 11.0 1,396 915 636 759 279 785 85 700 38 outside New York City 1967—June 7............ 27 17 1,465 -1,454 23.7 2,222 757 676 1,546 81 424 424 14......... 21 2 1,703 -1,684 27.8 2,342 638 573 1,769 65 484 484 21............ 11 40 1,622 -1,651 26.4 2,437 815 715 1,722 100 516 516 28............ 17 28 1,038 -1,049 16.8 2,029 990 853 1,176 138 273 273 July 5............ 46 81 817 -852 13.4 1,730 913 781 949 132 224 224 12............ 38 2 1,283 -1,247 19.8 2,128 845 720 1,408 125 292 292 19............ 39 1,199 -1,161 18.2 2,093 894 861 1,232 33 406 15 391 26............ 25 8 690 -673 10.5 1,733 1,043 843 890 200 406 11 395 5 in City of Chicago 1967—June 7............ 4 445 -441 43.5 594 150 150 445 36 36 14............ 3 459 -456 46.6 606 147 147 459 44 44 21............ -2 9 372 -382 37.0 573 200 193 379 7 43 43 28............ 4 2 289 -287 27.8 502 213 206 296 7 2 2 July 5............ 7 77 219 -290 27.2 442 223 221 221 1 6 6 12............ 5 367 -362 35.4 557 190 190 367 9 9 19............ -4 233 -237 23,3 466 233 233 233 25 25 26............ 8 .............. 74 -66 6.3 433 358 240 192 118 25 ............2..5 33 others 1967—June 7............ 23 17 1,021 -1,014 19.8 1,628 607 527 1,101 81 387 387 14............ 18 2 1,244 -1,228 24.1 1,735 491 426 1,310 65 440 440 21............ 14 31 1,250 -1,267 24.3 1,865 615 522 1,343 93 473 473 28............ 13 26 749 -763 14.7 1,527 778 647 880 131 272 ..........2..7..2 July 5............ 39 4 598 -562 10.6 1,288 690 560 728 131 218 218 12............ 33 2 917 -886 16.8 1,571 654 530 1,042 125 283 283 19............ 43 966 -923 17.2 1,628 662 629 999 33 381 15 366 26............ 17 8 616 -607 11.3 1,300 685 603 698 82 380 11, 370 t 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. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 DISCOUNT RATES 1373 FEDERAL RESERVE BANK DISCOUNT RATES (Per cent per annum) Discounts for and advances to member banks Advances to all others under last par. Sec. 133 Advances and discounts under Advances under Federal Reserve Bank Secs. 13 and 13a 1 Sec. 10(b)2 Rate on Effective Previous Rate on Effective Previous Rate on Effective Previous July 31 date rate July 31 date rate July 31 date rate Boston... ................................. 4 Apr. 7, 1967 4*4 4*4 Apr. 7, 1967 5 5 Apr. 7, 1967 5*4 New York......................... 4 Apr. 7, 1967 414 414 Apr. 7, 1967 5 5*4 Dec. 6, 1965 5 Philadelphia.................................... 4 Apr. 7, 1967 414 414 Apr. 7,’ 1967 5 5 Apr, 7, 1967 5*4 Cleveland......................................... 4 Apr. 7, 1967 414 4*4 Apr. 7, 1967 5 5*4 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 4*4 4*4 Apr. 7, 1967 5 5 Apr. 7, 1967 5 St. Louis.......................................... 4 Apr. 14, 1967 4*4 4*4 Apr. 14, 1967 5 5 Apr. 14, 1967 54 Minneapolis.................................. 4 Apr. 7, 1967 4*4 4*4 Apr. 7, 1967 5 5 Apr. 7, 1967 5*4 Kansas City...................... 4 Apr. 7, 1967 4^4 4*4 Apr. 7, 1967 5 5 Apr. 7, 1967 5*4 Dallas............................................ 4 Apr. 7, 1967 414 4*4 Apr. 7, 1967 5 5 Apr. 7, 1967 5*4 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 matubankers’ 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 -114 1 1955 \& 1959 214-3 3 * 15............................. 16............................. 3 3-3>4 3 1942 14-2U 114 ^ 1 Aug. 4............................. V* June 12............................. 314 Oct 15 , , . ?r I “ 5 114-2'4 Sept. 11............................. 314-4 4 30 . . t*4 12............................. 2 2 2 - 7 2 /< # 2 ‘ 18..........4...................4 Sept. 9............................. 13............................. 1960 May IO. . . .. 1 . 9 .. 4 .. 6 ........ t 14-1 1 l Nov. 2 1 3 8. . . . . . . . 1 . . . . 9 . . 5 . . . . 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2T^ 1 1 0 4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . r 3 ^ 3-^ 4 R 1948 20. A ... p .. r . . . ... 1 .. 3 .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .......2..*..4..-.3. R 3 3 Jan 12.......................1.. ....-.1..*4 1*4 Aug. 24............................. 214-3 19................................. 114 1% 31............................. 3 3 IM-114 i^ 1963 " 23................................. U4 1957 July 17............................. 3 -3’4 316 3 -3>4 3 ’ 26.........3..1.4...............3.*6 23............................. 314 1950 Nov. 15............................. 3 -3'4 114-144 Dec. 2............................ 3 3 1964 “ 25................................ Nov. 24.....................3..1..4..-..4 4 1958 30............................. 4 4 Jan. 22............................ 214-3 3 1953 24............................. 2M-3 Jan, 16......................1..’.4..-..2. 2 Mar. 7............................. 214-3 1965 23. . ................. 2 2 13............................. 213-214 Dec. 6.. ...................4.. ....-.4’4 4*A 21............................. 214 13.........................4..’.4. 4*6 Apr. 18............................. 1954 May 9............................. Feb 5......................."....f...i. !? Aug. 15............................. l’/.-2 1967 15............................... 1’4-2 Apr. 7.......................4. . -4'4 4 litis ‘ 23............................ 2 2 Apr. 14............................. 4 4 * 16............................... Oct. 24.. ....................... 2 -214 2 U4 154 Nov. 7............................. 214 2*6 In effect July 31................ 4 4 t Preferential rate of one-half of 1 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. l~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; I960—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

1374 RESERVE REQUIREMENTS AUGUST 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 Other (all time deposits Effective date* C b re a e c s n n i e t t k r y r v s a e 3 l R b e a c s i n e t k y rv s e C b o a u n n k t s ry c b l a a o n s k f s e s s ) Effective date1 R b e a c 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 $5 mil­ lion lion Tn effect Dec. 31, 1949........... 22 18 12 5 1966—July 14,21............. 5 1614 5 12 54 54 5 1951—Jan. 11, 16................... 23 19 13 6 Sept. 8, 15............. 6 Jan. 25,’ Feb. 1............ 24 20 14 1953—July 9,1..................... 22 19 13 1967—Mar. 2.................... 314 314 1954—June 24^ 16................... 21 5 Mar. 16............. 3 3 July 29, Aug. 1........... 20 18 12 1958—Feb. 27’ Mar 1............ 1956 1714 In effect July 31, 1967 .... 16>4 12 3 3 6 Mar. 20, Apr. 1........... 19 17 18'/$ Apr. 24......................... 18 161$ 1960—Sept. 1......................... 1754 Present legal Nov. 24......................... 12 requirement: Dec. 1.............. 1614 1962—July 28......................... (3) Minimum............................ 10 7 3 3 3 Oct. 25, Nov. 1........... 4 Maximum........................... 22 14 10 10 10 1 When two dates are shown, the first applies to the change at central 4 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. 3 See preceding columns for earliest effective date of this rate. 2 Demand deposits subject to reserve requirements are gross demand Note.—AH 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. I960, 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 T 1, 1, 1. 1. 17, 24, 20, 1933 1935 1936 1957 1962 1963 1964 1965 1966 1966 Savings deposits: Savings deposits................... 4 4 12 months or more........... 3 ^ ^ 3 4 4 4 4 Other time deposits:1 Less than 12 months..... 3 3 3’4 3*4 4 4 Multiple-maturity: Other time deposits:1 90 days or more........ 5 5 12 months or more........... 3 p 3 4 4 s 5% Less than 90 days.... 4 4 6 months to 12 months... 3 3 3}4 4 5U (30-89 days) 90 days to 6 months......... 3 2*4 4 Single-maturity: Less than 90 days............ 3 214 I 1 1 1 4 5*4 $100,000 or more.......... 5*4 (30-89 days) Less than $100,000. .. . 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, sec 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 50 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 loan value, which is a specified per- mum loan value. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 BANK DEPOSITS; OPEN MARKET ACCOUNT 1375 DEPOSITS, CASH, AND RESERVES OF MEMBER BANKS (In millions of dollars) Reserve city banks Reserve city banks Item m b e a A m n l k l b s er New City C b o a u n n k t s ry Item m b e a A m n ll k b s er New City C b o a u n n k t s ry York of Other York Other City Chicago City Chicago Four weeks ending May 24, 1967 Four weeks ending June 21, 1967 Gross demand—Total,... 147,778 29,873 6,827 54,043 57,034 Gross demand—Total.... 147,764 30,247 6,759 53,688 57,071 Interbank...................... 15,951 5,273 1,232 7,422 2,023 Interbank.................. 16,343 5,4(6 1,268 7,608 2,052 U.S. Govt..................... 6,214 1,559 379 2,474 1 ,804 U.S. Govt.................. 3,309 667 141 1,193 1,310 Other..................... 125,614 23,042 5,216 44,149 53,208 Other......................... 128,112 24,164 5,351 44,887 53,710 Net demand i................... 117,773 22,061 5,316 42,239 48,158 Net demand1.................... 116,974 21,893 5,253 41,805 48,024 Time................................. 139,055 19,062 5,579 53,281 61,135 Time.................................. 140,890 19,599 5,664 53,798 61,830 Demand balances due Demand balances due from dom. banks.......... 8,061 238 311 1,977 5,535 from dom. banks...... 8,142 249 266 1,983 5,645 Currency and coin....... 3,994 315 80 1,220 2,379 Currency and coin............ 4,072 328 83 1,247 2,415 Balances with F.R. Balances with F.R. Banks............................ 19,382 4,338 1,059 8,137 5,849 Banks............................. 19,232 4,318 1,048 8,060 5,806 Total reserves held........... 23,376 4,653 1,139 9,357 8,228 Total reserves held.......... 23,304 4,646 1,131 9,307 8,221 Required........................ 23,OJO 4,621 1,136 9,318 7,935 Required............... 22,973 4,623 1,129 9,272 7,949 Excess............................ 366 32 3 39 293 Excess........................... 331 23 2 35 272 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 h p 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 h p 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 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 i s t , y c G h p r a u o s r s e ­ s s G sa ro le s s s m E a x t o u c r r h i . t y redemp­ shifts tions 1966—June.......... 1,448 650 110 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 ^ay - - 1,146 107 412 936 107 412 -2,879 107 2,879 June. . . . 1,681 567 223 1,332 567 223 17 185 55 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 Govt. (net re­ Out­ repur­ change1 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 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 o E t s r u h x r i m c i f t h t y s a . ­ c G p h r a u o s r s e ­ s s G sa r l o e s s s i s t e ie c s ur­ p m a u g r e r c n e h t e s a ­ ) se ri n g e h t t, a m c g h n e r a e e n s t e t e s ­ , 1966—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 ~l 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 May. .. 62 42 1,438 1,459 606 -10 2 -98 499 June... 109 -55 39 753 992 652 1 21 45 719 1 Net change in U.S. Govt, securities, Federal agency obligations, and Note.—Sales, redemptions, and negative figures reduce System hold­ bankers’ acceptances. ings; all other figures increase such holdings. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1376 FEDERAL RESERVE BANKS AUGUST 1967 CONSOLIDATED STATEMENT OF CONDITION OF ALL FEDERAL RESERVE BANKS (In millions of dollars) Wednesday End of month Item 1967 1967 1966 July 26 July 19 July 12 July 5 June 28 July June July Assets Gold certificate account................................................. 10,745 10 745 10 757 10,769 10,756 10 760 10 775 11 078 Redemption fund for F.R. notes................................... 1^849 1,857 1 ,848 1,839 1,837 M44 1^835 M12 Total gold certificate reserves........................................ 12,594 12,602 12,605 12,608 12 593 12 604 12 610 12 890 Cash................................................................................. 328 317 299 308 324 341 322 281 Discounts and advances: Member bank borrowings......................................... 122 52 73 84 110 41 53 877 Other............................................................................ 3 5 18 15 Acceptances: Bought outright....................................................... 81 81 91 96 86 78 91 51 Held under repurchase agreements..................... 66 42 46 45 Federal agency obligations—Held under repurchase agreements.................................................................. 17 1 U.S. Govt, securities: Bought outright: Bills.......................................................................... 14,226 13,681 14,132 14,347 13,612 14 176 14 006 10 470 Certificates—Special............................................... Other. ............................................... 4 353 4 353 4 353 4 353 4 353 4 351 4 353 15 Notes........................................................................ 21 737 21*737 21*737 21,737 21,702 21 *737 21 *737 2.5 326 Bonds........................................................................ 6,538 6'538 6,538 6,538 6,511 6,538 6^538 6,’476 Total bought outright......................................... 46,854 46,309 46,760 46 975 46,178 46 804 46 634 42 287 Held under repurchase agreements.......................... 102 *84 ’ 93 Total U.S. Govt, securities............................................ 46,854 46,309 46,760 47,077 46,178 46,804 46,718 42,380 Total loans and securities, ........................................... 47 057 46 442 46 993 47 321 46 438 46 923 46 923 43 308 Cash items in process of collection.......... 7 046 7*840 7*678 6 900 6 953 6 327 6 532 6*887 Bank premises.,.,.....>...................................... 109 ' ’109 ’109 109 109 *109 ’109 ’104 Other assets: Denominated in foreign currencies........................... 508 358 400 512 453 579 578 702 IMF gold deposited1................................................. 233 233 233 233 233 233 23 3 184 All other ....*......................................................... 437 406 377 344 320 454 321 435 Total assets...................................................................... 68,312 68,307 68,694 68,335 67,423 67,570 67,628 64,791 Liabilities F.R. notes........................................................................ 39,585 39,730 39,968 39,860 39,351 39,521 39,396 37,587 Deposits: Member bank reserves............................................... 19,876 19,226 19,383 20,485 19,001 18,877 19,505 19,155 U.S. Treasurer—General account............................. 1 ,324 1,155 1,175 289 1.215 1,340 I',311 1,232 Foreign......................................................................... 97 120 135 174 127 117 147 548 Other: IMF gold deposit1........................... 233 233 233 233 233 233 233 184 All other... ’.......................................................... 233 248 260 286 222 243 278 235 Total deposits.................................................................. 21,763 20,982 21,186 21,467 20,798 20,810 21,474 21,354 Deferred availability cash items..................................... 5,418 6,087 6,061 5,411 5,722 5,650 5,187 4,379 Other liabilities.......................................................... 241 241 '246 252 244 '257 '250 203 Total liabilities................................. 67,007 67,040 67,461 66,990 66,115 66,238 66,307 63,523 Capital accounts Capital paid in.............................................................. 586 586 586 585 585 586 585 564 Surplus............................................................................. 570 570 570 570 570 570 570 551 Other capital accounts................................................... 149 111 77 190 153 176 166 153 Total liabilities and capital accounts............................ 68,312 68,307 68,694 68,335 67,423 67,570 67,628 64,791 Contingent liability on acceptances purchased for foreign correspondents.............................................. 339 355 364 372 381 324 379 257 U.S. Govt, securities held in custody for foreign account....................................................................... 7,452 7,354 7,467 7,719 7,781 7,665 7,667 7,307 Federal Reserve Notes—Federal Reserve Agents’ Accounts F.R. notes outstanding (issued to Bank)............ 42,125 42,138 42,070 41,786 41,565 42,092 41,688 41,719 Collateral held against notes outstanding: Gold certificate account............................................. 6,720 6,720 6,720 6,645 6,645 6,720 6,645 6,682 Eligible paper............................................................ I 1 28 U.S. Govt, securities.................................................. 36,671 36,671 36,631 36,481 36,461 36,671 36,481 35,998 Total collateral........................................................ 43,391 43,391 43,351 43,127 43,107 43,391 43,126 42,708 t See note 1(b) to table at bottom of p. 1444. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 FEDERAL RESERVE BANKS 1377 STATEMENT OF CONDITION OF EACH FEDERAL RESERVE BANK ON JULY 31, 1967 (In millions of dollars) Item Total Boston Y N o e r w k P p d h h e i i l l a ­ a­ C la le n v d e­ m R o ic n h d ­ 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 s a i a t s n y ­ Dallas c F i S r s a a c n o n ­ Assets Gold certificate account...................... 10,760 655 1,942 645 941 1,101 665 2,086 425 163 407 409 I ,321 Redemption fund for F.R. notes........ 1,844 106 450 97 149 158 99 333 65 32 70 63 222 Total gold certificate reserves............. 12,604 761 2,392 742 1,090 1,259 764 2,419 490 195 477 472 1,543 F.R. notes of other Banks. ................ 678 59 195 41 59 50 68 34 25 26 24 21 76 Other cash........................................... 341 12 41 9 52 19 41 59 33 7 18 17 33 Discounts and advances: Secured by U.S. Govt, securities... 39 3 2 . • • 5 2 14 1 4 6 2 Other................................................ 2 2 Acceptances: 78 78 Held under repurchase agreements . Federal agency obligations—Held under repurchase agreements...... U.S, Govt, securities: Bought outright...................... 46,804 2,446 12,013 2,379 3,539 3,327 2,560 7,661 1,648 956 1,841 1,937 6,497 Total loans and securities................... 46,923 2,449 12,093 2,379 3,539 3,332 2,562 7,675 1,649 960 1,847 1,941 6,497 Cash items in process of collection. .. 8,595 552 1,478 518 637 641 709 1 ,504 414 275 572 510 785 Bank premises............................ 109 3 10 2 5 6 20 19 9 3 14 9 9 Other assets: Denominated in foreign currencies. 579 28 U51 30 52 30 36 84 20 14 25 34 75 233 233 AU other........................................... 454 24 116 25 34 33 24 73 16 io 19 18 62 Total assets.......................................... 70,516 3,888 16,709 3,746 5,468 5,370 4,224 11,867 2,656 1,490 2,996 3,022 9,080 Liabilities F,R. notes................................ 40,199 2,398 9,357 2,328 3,216 3,685 2,258 7,149 1,468 708 1,526 1,314 4,792 Deposits: Member bank reserves................... 18,877 782 4,955 820 1,381 894 1,108 2,804 657 458 824 1,088 3,106 U.S. Treasurer—General account.. 1,340 71 300 60 83 98 101 185 72 41 47 77 205 Foreign............................................. 117 5 U6 6 10 6 7 16 4 2 5 6 14 Other: 233 233 All other....................................... 246 4 170 1 * 7 1 2 1 1 2 1 56 20,813 862 5,694 887 1,474 1,005 1,217 3,007 734 502 878 1,172 3,381 Deferred availability cash items...... 7,915 550 1 ,247 448 641 589 654 1,471 399 244 524 451 697 Other liabilities and accrued dividends 257 14 ' 66 13 20 18 13 42 9 5 10 11 36 Total liabilities.................................... 69,184 3,824 16,364 3,676 5,351 5,297 4,142 11,669 2,610 1,459 2,938 2,948 8,906 Capital accounts Capital paid in.................................... 586 28 152 31 52 31 37 85 20 14 26 34 76 Surplus................................................. 570 27 148 30 51 30 35 83 20 14 25 33 74 Other capital accounts........................ 176 9 45 9 14 12 10 30 6 3 7 7 24 Total liabilities and capital accounts.. 70,516 3,888 16,709 3,746 5,468 5,370 4,224 11,867 2,656 1,490 2,996 3,022 9,080 Ratio of gold certificate reserves to F.R. note liability (per cent): July 31,1967........................... 31.4 31.7 25.6 31.9 33.9 34.2 33.8 33.8 33.4 27.5 31.3 35.9 32.2 June 30, 1967......................... 31.6 28.5 34.2 34.0 29.7 31,2 36.6 27.3 34.2 30.1 35,1 28.2 31.5 July 31,1966......................... 33.4 31.2 35.0 34.8 31.3 35.4 33.6 30.7 38.9 32.0 32.6 37.8 32.4 Contingent liability on acceptances purchased for foreign correspond­ ents.................................................... 324 16 *73 18 30 18 21 49 12 8 15 20 44 Federal Reserve Notes—Federal Reserve Agents’ Accounts F.R. notes outstanding (issued to Bank)........................................... 42,092 2,503 9,827 2,392 3,456 3,823 2,366 7,392 1,546 736 1,592 1,412 5,047 Collateral held against notes out­ standing: Gold certificate account.................. 6,720 450 1,000 503 600 740 450 1,400 310 127 225 180 735 Eligible paper................................... U.S Govt, securities....................... 36,671 2,096 9,000 2,000 3,000 3,160 2,050 6,150 1,310 625 1,400 1,280 4,600 Total collateral............................. 43,391 2,546 10,000 2,503 3,600 3,900 2,500 7,550 1,620 752 1,625 1,460 5,335 1 After deducting $428 million participations of other F.R. Banks. 3 After deducting $81 million participations of other F.R. Banks. 2 See note 2 to table on p. 1446. 4 After deducting $251 million participations of other F.R. Banks. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1378 FEDERAL RESERVE BANKS; BANK DEBUS AUGUST 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 July 26 July 19 July 12 July 5 June 28 July 31 June 30 July 31 Discounts and advances—Total................................... 122 52 76 89 128 41 68 877 Within 15 days............................................................ 114 48 72 84 118 35 57 857 16 days to 90 days...................................................... 8 4 4 5 10 6 11 20 91 days to 1 year........................................................ Acceptances—Total........................................................ 81 81 157 138 132 78 136 51 Within 15 days............................................................ 15 21 93 66 65 14 65 17 1 6 days to 90 days...................................................... 66 60 64 72 67 64 71 34 91 days to 1 year....................................................... U.S. Government securities—Total.............................. 46,854 46,309 46,760 47,094 46,178 46,804 46,719 42,380 Within 15 daysi.......................................................... 1,974 2,016 1 ,336 1,654 1,743 7,040 995 6,874 16 days to 90 days...................................................... 11,987 11,541 12,467 12,418 11,810 6,592 12,544 5,014 91 days to 1 year........................................................ 17,956 17,815 18,020 18,085 17,750 18,235 18,243 15,121 Over 1 year to 5 years.............................................. 13,407 13,407 13,407 13,407 13,362 13,407 13,407 13,622 Over 5 years to 10 years........................................... 1,014 1 ,014 1,014 1,014 1,002 1.014 1,014 1,352 Over 10 years.............................................................. 516 516 516 516 511 516 516 397 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 P st o e u rl 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 ia s n 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 l e an th d e s r ­ f S r w an is c s s guilders 1966 Aug................ 687 476 54 2 t 150 1 I 2 Sept.............................. 742 587 54 20 1 76 1 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 1 216 3 1 * 3 1967—jan............................... 397 319 55 2 1 15 I 1 * 3 Feb............................... 293 228 55 3 1 1 1 1 3 Mar................ 160 96 55 3 1 1 1 1 * 3 Apr............................... 184 121 55 3 1 1 I 1 * 2 BANK DEBITS AND DEPOSIT TURNOVER (Seasonally adjusted annual rates) Debits to demand deposit accounts i Turnover of demand deposits (in billions or dollars) Period S T M 2 o 3 S t 3 a A l ’s N Le .Y ad . ing S 6 M o S th A e ’ r s s 2 T S o N ( M t e a . x Y S l c A l . 2 . ) 3 ’s 2 SM o 2 th 2 S 6 e A r ’s SM T 2 o 3 S t 3 A a l ’ s N Le .Y ad . ing S 6 M o S t A he ’s rs2 T S o N ( M t e a . x S Y l c A l . 2 . ) 3 ’s 2 SM o 2 th S 26 e A r ’ s 1966—June............................ 5,908.3 2,494.1 1,327.0 3,414.2 2.0S7.2 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 HI.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 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—Jan................................ 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 54.8 117.2 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 6,637.2 2,904.1 1,476.4 3,733.1 2,256.7 56.5 120.0 53.4 40.1 34.4 July............................. 6^688.7 2'857.1 1,560.5 3;831.6 2,271.1 56.8 119.8 55.5 40.7 34.5 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, sec Mar. 1967 Bulletin, p. 38. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 U.S. CURRENCY 1379 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 $50 $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 2,731 2,545 3',044 724 1,433 261 556 24 46 1945..................... 28,515 20,683 1,274 1,039 73 <313 <782 9701 7’834 2,327 4720 454 801 7 24 1947..................... 28,868 20,020 1,404 1,048 65 2,110 6,275 9,119 8’850 2748 5 770 428 782 5 17 1950..................... 27,741 19,305 1,554 1,113 64 2,049 5 798 8,529 8’438 2,422 5,043 368 588 4 12 1955 ..................... 31’ 158 22;021 1,927 1,312 75 2,151 6,617 9740 9,136 2736 5,641 307 438 3 12 1958..................... 32,193 22,856 2,182 1,494 83 2,186 6,624 10,288 9,337 2792 5,886 275 373 3 9 1959..................... 32’591 23’264 2,304 1,511 85 2,216 <672 10,476 9,326 2703 5,913 261 341 3 5 I960..................... 32^869 23,521 2’427 1,533 88 2; 246 6’691 10,536 9,348 2,815 5,954 249 316 3 10 1961..................... 33,918 24,388 2,582 1,588 92 2,313 6’878 10’935 9’531 2,869 6,106 242 300 3 10 1962................. 35/338 25,356 2; 782 <636 97 2,375 7,071 11,395 9 783 2,990 6,448 240 293 3 10 1963 ...................... 37,692 26,807 3’030 1,722 103 2,469 7’373 12,109 10,885 3,22! 7,110 249 298 3 4 1964..................... 39,619 28 J00 3’405 1,806 111 2717 7’543 12,717 I<519 3,381 7,590 248 293 2 4 1965..................... 42’056 29 842 4’027 1,908 127 2718 7,794 13'36912,214 3,540 8,135 245 288 3 4 1966 — June...... 42,554 30,228 4,264 1,884 135 2,570 7,805 13,56912,326 3,542 8,254 241 283 3 4 July.......... 42'708 30,311 4’285 1,880 136 2750 7,770 13,690 12,397 3,560 8,307 240 283 3 4 Aug........... 42,910 30,455 4,317 1,885 138 2,561 7780 13,77412,456 3,568 8,358 240 283 3 4 Sept.......... 42’802 30’318 4,342 1 ,899 138 2’551 7’730 13,659 12,483 3,562 8,392 239 283 3 4 Oct........... 43’113 30756 <380 1 726 137 2'583 7’785 13745 12’556 3*572 8’455 239 283 3 4 Nov........... 44.245 31,499 4'447 1 ,996 137 2,684 8'076 14’15912747 3 732 8,583 240 285 3 4 Dec. 44,663 31,695 4’480 2’051 137 2,756 8,070 U'201 12,969 3’700 8735 241 286 3 4 1967—jan............ 43', 3 63 30,532 4.461 1,939 137 2799 7’730 13,667 12/831 3 729 8,673 239 283 3 4 43,585 30,758 4,481 1 733 137 2 612 7 ’840 13 755 12,827 3’622 8,677 239 282 3 4 Mar.. 43’583 30,753 4,518 1 739 137 2,599 7,801 13,759 12’831 3,621 8’683 239 281 3 4 Apr........... 43’730 30,887 4’551 1 ,'948 137 2,607 7,817 13,827 12,844 3’625 8,692 238 282 3 4 44,443 31’509 4’600 1,984 137 2,671 7,979 14J3812'935 3660 8,743 238 282 6 6 June.......... 44712 31,684 4,641 1 '879 137 2,635 8,035 14,357 13',029 3,699 8,805 238 280 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 small 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 s J o t u a t 1 n n a 9 e l d 6 i 7 o 3 n u 0 g , t . ­ A g a s o s g l s i d a l e v i c n a e u r n s r t d i t y Tre c a as s h ury B F F a a . n o n R d k r . s A B F a g a . n e n R d n k . t s s June 1967 May J 1 u 9 n 6 e 6 certificates Agents 30 31 30 Gold................................................................................ 13,110 (12,609) 2501 Gold certificates............................................................. (12,609) 312,607 Federal Reserve notes.................................................... 41,686 106 2,291 39.289 38,907 37,315 Treasury currency—Total.............................................. 6,612 (398) 864 325 5,423 5,536 5,239 Standard silver dollars............................................... 485 3 482 482 482 Silver bullion.............................................................. 569 395 175 Silver certificates......................................................... (398) (I) 2 396 547 582 Fractional coin......................................... 5,148 678 310 4,160 4,119 3 782 United States notes..................................................... 323 10 12 300 302 303 In process of retirement ♦........................................ 88 87 87 91 Total—June 30, 1967 ................................................... 561,408 (13,006) 1,472 12,607 2,616 44712 May 31, 1967 .................................................... 560,751 (13,160) 1,356 12,606 2,346 44,443 June 30, 1966 .................................................... 560,362 (13,595) 1,049 12,992 3,768 42,554 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. 1369. by standard silver dollars and monetized silver bullion. Duplications 2 includes $156 million reserve against United States notes and $233 arc shown in parentheses. million gold deposited by and held for the International Monetary Fund. 2 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

1380 MONEY SUPPLY; BANK RESERVES AUGUST 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 D d e e m po a s n i d t jus a t d ed ­ 1 Total c C om ur p re o n n c e y n t D d e e m po a s n it d jus a t d ed ­ 1 d d e e p m os a i n ts d 1 component component 1964—Dec................................................... 159.3 34.2 125.1 126.6 164.0 35.0 129.1 125.2 5 5 1965—Dec................................................... 166.8 36.3 130 5 146.9 172.0 37.1 134.9 145 2 4 6 1966—July................................................... 169.9 37.7 132.3 155.7 168,0 37.8 130.1 156 2 8 0 Aug................................................... 170.1 37.8 132,4 156.9 167,0 37.8 129.2 157.4 5'1 Sept.................................................. 170.5 37.9 132 6 157.4 169.7 37.9 131.8 157 4 4* 3 Oct.................................................... 170.1 38.0 132 J 157.6 170.5 38.1 132.4 157.1 4 8 Nov.. 170.1 38.1 132.0 157.4 171.5 38.5 133.0 156.1 3.7 Dec................................................. 170 4 38.3 132.1 158.6 175.8 39.1 136.7 156 9 3 4 1967—jan.................................................... 170.3 38.5 131,8 160,8 175.3 38.5 136.8 160.7 4.1 Feb................................................... 171.5 38.7 132,8 163.5 170.6 38.3 132.3 164 0 5.0 Mar.................................................. 173.1 38.9 134.2 166.1 171.9 38.5 133.4 166.7 4.9 Apr.................................................. 172.7 39.1 133.6 168.1 173.6 38.7 134.9 168 8 4 8 May........................... 174.5 39.2 135.3 170.0 171.1 38.9 132.2 170.8 6.5 June....................................... 176.2 39.3 136.8 172.4 174.3 39.3 135.1 173,0 3.9 July®................................................ 177.9 39.5 138.4 174.6 175.9 39.6 136.2 175.1 5.7 Week ending—• 1967—June 7............................................ 176.0 39.3 136.7 171.5 173.2 39.3 133.9 172.3 3.3 14............................................ 176.3 39.4 136.9 172.4 174.9 39.4 135,5 173.0 2.3 21............................................ 176.4 39.4 137.0 172.6 176.4 39.3 137.0 172.9 4.7 28....................................... 176.4 39.4 136.9 172.8 172.8 39.1 133.7 173.3 5. 1 July 5............................................ 177.5 39.4 138.2 173.5 175.7 39.6 136,1 174.2 5.0 12............................................ 178.1 39.5 138.6 174.2 175.9 39.9 136.0 174.4 4.7 19............................................ 177.7 39.4 138.3 174.7 176.2 39.6 136.6 175.2 6.1 26^.......................................... 177.9 39.4 138.5 174.9 174.8 39.4 135.4 175.6 6.6 1 At all commercial banks. and F.R. float; (2) foreign demand balances at F.R. Banks; and (3) cur­ Note.—Revised data. For description of revision of series and for back rency outside the Treasury, F.R. Banks, and vaults of all commercial data beginning Jan. 1959, see Aug. 1967 Bulletin, pp. 1303-1316; for banks. Time deposits adjusted are time deposits at all commercial monthly data 1947-58, see June 1964 Bulletin, pp. 679-89. banks other than those due to domestic commercial banks and the Averages of daily figures. Money supply consists of (1) demand U.S. Govt. Effective June 9, 1966, balances accumulated for payment of deposits at all commercial banks other than those due to domestic com­ personal loans were reclassified for reserve purposes and are excluded from mercial banks and the U.S. Govt., less cash items in process of collection time deposits reported by member banks. 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 j m ec e t n to ts 2 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 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 e g s de v P m a r t a i e ­ n d d G e V m o . v S an t . , d Total r N o b w o o r n e ­ d ­ qu R i e re ­ d Total sa T a v i n m in d e g s de v P m a r a t i e ­ n d d G e U m o .S v an . t , d 1964—Dec....... 21.10 20.84 20.80 216.7 104.2 107.4 5.1 21.64 21.40 21.23 219.1 103.0 111.3 4.8 1965—Dec....... 22.19 21.72 21.86 236.4 121.2 111.0 4.2 22.76 22,31 22.32 239.0 119.8 115.2 4.0 1966—July. ... 22.83 22.11 22.40 245.8 127.9 112.6 5.3 22,90 22.13 22.49 246.6 128,4 111.0 7.2 Aug....... 22.54 21.87 22.24 245.6 128.8 112.4 4.4 22.24 21,52 21.91 243.4 129.2 109.7 4.5 Sept...... 22.62 21.83 22.22 245.5 129.2 112.4 3.9 22.53 21.77 22.13 244.6 129.0 111.8 3.8 Oct....... 22.49 21.71 22.17 244.6 129.0 111.6 4.0 22.49 21.76 22.19 244.6 128.4 112.0 4.3 Nov...... 22.43 21.86 22.11 244.0 128.4 111.6 4.0 22.43 21,82 22.04 243.0 127.3 112.5 3.2 Dec....... 22.42 21.85 22.14 244.4 129.4 111.7 3.2 23.00 22.44 22.61 247.1 127.9 116.1 3.0 1967—Jan........ 22.77 22.33 22.41 247.7 131.4 Hl.4 4.9 23.23 22.84 22.86 250.9 131,1 116,1 3.7 Feb....... 22.99 22.65 22.63 251.0 133.6 112.4 5.0 22.85 22.49 22.50 250.2 134.0 111.8 4.5 Mar...... 23.41 23.21 22.92 254.0 135.6 113.6 4.8 23.17 22.97 22.74 253.2 136.3 112,6 4.3 Apr....... 23.46 23.30 23.08 256.1 137.2 113.1 5.8 23.36 23.23 23.05 256.3 137.9 114.2 4.3 May.... 23,45 23.39 23.05 257,2 138.6 114.5 4.1 23.28 23.18 22.91 256.5 139.4 111.2 5.8 June.... 23.61 23.49 23.14 259.2 140.8 116,1 2.2 23.52 23.40 23.10 259.0 141.3 114.2 3,4 July*... 23.84 23.80 23.46 262.4 142.5 116.8 3.2 23.91 23.82 23.55 263.2 143.0 115.1 5.1 1 Averages of daily figures. Back data on member bank reserves adjust­ from domestic commercial banks. Effective June 9, 1966, balances accumu­ ed to eliminate effects of changes in reserve requirement precent ages. lated for repayment of personal loans were eliminated from time deposits Series reflect percentage reserve requirements made effective Mar. 16, 1967. for reserve purposes, 2 Deposits subject to reserve requirements include total time and sav­ Note.—Back data for the period 1947 to date may be obtained from ings deposits and net demand deposits as defined by Regulation D. Private the Banking Section, Division of Research and Statistics, Board of Gover­ demand deposits include all demand deposits except those due to the U.S. nors of the Federal Reserve System, Washington, D. C. 20551. Govt., less cash items in process of collection and demand balances due Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 BANKS AND THE MONETARY SYSTEM 1381 CONSOLIDATED CONDITION STATEMENT (In millions of dollars) Assets Liabilities and capital Total Bank credit assets, net- Treas­ Total Date ury U.S. Government securities liabil- Capital cur­ i ties Total and Gold s r o t e i a n n u n g c t d ­ y ­ Total n L e o t a n L s , 2 Total s C a a v o n i m n d g l. s R Fe e d se e r r v a e l Other O r s i e t t i c h e u e s ­ r 2 ca a n p n e it d t a l, c d u e r a p r n o e d n s i c t y s c m o n a u i c e s n ­ t c t . s , banks Banks 1947—Dec. 31................... 22,754 4,562 160,832 43 023 107 086 81,199 22 559 3 328 10,723 188 148 175 348 12 800 1950—Dec. 30................... 22’706 4^636 171,667 60 366 96'560 72 894 20 778 2*888 14 741 199 008 184'384 14 624 1963—Dec. 20................... 15,582 5,586 333,203 189,433 103*273 69,068 33*552 *653 40,497 354*371 373*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—July 27................... 13,300 6,000 406,900 251,800 100 600 57,800 42 000 800 54 400 426 200 387 700 38 500 Aug, 31........... 13,300 6,000 408,800 252,400 102*100 58,800 42 500 800 54 400 428,200 387 600 40 500 Sept, 28,.......... 13,300 6,100 410,700 254,000 102 000 58,700 42 000 1 300 54 700 430 000 387 800 42’200 Oct. 26................... 13,300 6,200 410,500 253 500 102 500 58 500 42,800 1 200 54 500 429 900 388 300 41 600 Nov. 30................... 13,200 6,200 412,400 254 200 104*500 59,300 43,900 1 300 53 700 431 800 389 200 47 600 Dec. 31................... 13,159 6,317 422’676 261,459 106472 60,916 44,316 1 240 54 745 442 152 400*999 41 150 1967—Jan. 25................... 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................... 13,100 6,400 420,700 256,300 107 300 61,300 44 700 1 400 57 200 440 300 396*900 43 400 13,100 6,500 426,100 259 700 107 700 62,500 44 500 700 58 700 445 700 403'500 42’200 Apr. 26................... 13,100 6,600 430 400 261,800 107,600 60,600 45 400 1 500 61 000 450 100 406’800 43 300 May 31 .................. 13,100 6,600 432,500 262,600 107,800 60,300 46,100 1 ,400 62,100 452 200 408’100 44’100 June 28rP............... 13'100 6,600 436,100 266,300 106,200 58,600 46,200 1 ,400 63,600 455 900 412 200 43’700 July 26”.................. 13,100 6,600 442,200 267,900 109,900 61 ,'600 46,900 1,500 64,400 462,000 418,000 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 Cur­ De­ Cur­ De­ Postal e F ig o n r­ , Treas­ At Total o b r u e a t n n s c i k d y s e d ju m e s p a t a d o e n d s ­ d i t s 4 Total o b r u e a t n n s c i k d y s e d ju e m s p a t a o e d n d s ­ d i t s 4 Total b m C a e n o r k c m s ia ­ l 1 b M sa a v n u i k t n u s g a s l 5 Sa S te v y m i s n ­ gs net 6 h c i u n o a r g s l y d h s ­ s b c a a a o v n n m in d k g l s . s B F A a .R n t k . s 1947—Dec. 31.... 110,500 26,100 84,400 113,597 26,476 87,121 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.... 153,100 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—July 27.... 166,800 36,800 130,000 166,600 36,900 129,700 210,400 156.500 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.... 167,200 36,700 130,500 166,100 36,800 129,300 211,300 156,900 54,200 200 1,800 1,100 6,200 1,300 Oct. 26.... 168,000 37,200 130,800 168,700 37,100 131,600 210,900 156,300 54,400 200 1,800 1,200 4,900 800 Nov. 30.... 169,200 37,300 131,900 171,500 38,000 133,500 210,300 155,800 54,500 100 1 ,800 1,200 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 37,400 133,600 217,500 161,800 55,600 100 1,800 1,200 4,900 400 Feb. 22.... 167,700 38,300 129,400 166,800 37,800 129,000 220,200 164,200 55,900 100 1,800 1,200 6,400 400 Mar. 29.... 172,200 38,000 134,200 169,700 37,600 132,100 224,300 167,500 56,700 100 1,800 1,300 5,800 700 Apr. 26.... 170,400 38,000 132,400 170,500 37,700 132,800 225,600 168,600 56,900 100 1,800 1 ,400 6,700 800 May 31 ... 173,100 38,600 134,500 171,000 38,500 132,500 228,900 171,500 57,300 100 1,900 1,400 4,400 600 June 28r”.. 174,300 38,500 135,800 172,000 38,500 133,500 231,100 173,100 58,000 100 1,800 1,400 4,700 1,200 July 26”... 173,700 38,500 135,200 173,500 38,600 134,900 233,600 175,300 58,300 100 1,800 1,500 6,000 1,300 1 Beginning with data for June 30, 1966, about $1.1 billion 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 SI ,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. 1385. 2 See note 2 at bottom of p. 1385. 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 4 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

1382 COMMERCIAL AND MUTUAL SAVINGS BANKS AUGUST 1967 PRINCIPAL ASSETS AND LIABILITIES AND NUMBER, BY CLASS OF BANK (Amounts in millions of dollars) Loans and investments Deposits Total assets— Securities Total Interbank3 Other Cla a s n s d o d f a b te ank Total Lo 1 a . n 2 s G U o .S vt . . Oth 2 er a C ss a e s t h s 3 c b c o a i a J a b u p 1 n c t * i n d i t 7 ­ e a t s s l 4 Total3 m D a e n ­ d Time U.S D . emand T 1 im . s 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 b N a b u o n e m f k r s ­ Other 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 8,577 35,415 177.332 165,612 14,065 105,935 45,613 227 10,542 14.553 1947—Dec. 31«............. 134,924 43.002 81,19910,723 38,388 175,091 161,865 12,793 240 1,346 94.381 53,105 66 11,948 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—July 27.............. 370,240258,030 57,83054,38057,280439,560382,560 15,480 1,090 6,180149,370210,440 7,23035,830 14,305 Aug, 31.............. 372,300259,150 58,78054,37056,360440,790382,900 15,930 1,130 4,720 149,830211,290 7,17036,190 14,305 373,370260,000 58,69054,68056,110441,490383,210 16,310 1 ,060 6,000 148,490211,350 7,05036.330 14,294 Oct. 26.............. 372,800259,780 58,52054,50057,780442,350384,250 16,020 1 ,010 4,720 151,560210,940 6,97036,420 14,294 Nov. 30.............. 374,510261,520 59,25053,74061,700448,240387,980 17,110 900 3,810 155,680210,480 7,95036,770 14,288 Dec, 31.............. 381,684266,022 60,91654,745 70,085 464,376407,637 19,770 968 4,999 167,821 214,078 4,92936,926 14,271 1967—Jan. 25.............. 379,860263,530 60,68055,65059,570451,390392,970 16,050 1,110 4,680 153,470217,660 7,01036,910 14,266 Feb. 22.............. 380,920262,430 61,30057,19061,260454,340 394,860 16,640 1,180 6,200 150,490220,350 6,74037,140 14,260 Mar. 29.............. 387,050.265,860 62,47058,72058,500457,800399,140 16,350 1,350 5,520151,510224,410 6,27037,380 14,264 Apr. 26.............. 389,440267,820 60,63060,99061,670 463,590404,530 16,560 1,350 6,440 154,430225,750 6,64037,440 14,262 May 31 ............. 39!,630269,230 60,31062,09065,060469,530409,520 17,520 1,370 4,160 157,450229,020 7,08037,800 14,247 June 28 r *......... 396,110273,940 58,62063,55062,140471,170409,820 16,710 1,450 4,450 155,890231,320 7,86037,810 14,254 July 26*............ 400,600274,600 61.56064,44063,470476,900416,220 17,000 1.500 5,870 158,010233,840 6,91037,890 14,244 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. 316............ 116,284 38,057 69,221 9,006 37,502 155.377 144.103 12,792 240 1.343 94.367 35,360 65 10.059 14.181 1965—Dec. 31.............. 306,060201,658 59,54744,85560,899 377,264332,43618,426 1,008 5,525 160,780 146,697 4,47230,272 13,804 1966—July 27.............. 312,380211,050 52,72048,61056,420379,790328,840 15,480 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 4,720 149,780157,450 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 4,720 151,510156,540 6,97031,630 13,789 Nov. 30.............. 315,770213,460 54,39047,92060,890387,650333,460 17,110 900 3,810155,630 156,010 7,95031,930 13,784 Dec. 31.............. 322,661 217,726 56,16348,77269,119403,368352,287 19,770 967 4,992 167,751 158,806 4,85932,054 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. ............ 320,890,213,600 56,60050,69060,220392,220338,870 16,640 1,180 6,200150,430 164,420 6,74032,240 13,756 Mar. 29.............. 326,570216,750 57,83051,99057,360395,100342,400 16,350 1,350 5,520 151,450167,730 6,27032,470 13,760 Apr. 26.............. 328,610218,510 56,15053.95060,600400,610347,59016,560 1,350 6,440154,370168,870 6,64032,580 13,758 May 31.............. 330,150219,480 55,88054,79063,960405,880352,140 17,520 1,370 4,160 157,380 171,710 7,08032,880 13,744 June 28*........... 334,190223,940 54,28055,97061,010407,020351,790 16,710 1,450 4,450 155,820173,360 7,86032,880 13,751 July 26’’............ 338,290224,210 57,22056,86062,370412,390357,830 17,000 1 ,500 5.870 157,940175,520 6,91032,960 13,743 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 44,99236,785 52,814313,384275,517 17,454 840 4,890 132,131 120,202 4,23424,926 6,221 1966—July 27.............. 255,819171,210 39,07239,53749,749 315,068271,46414,630 923 5,523 122,416127.972 6,80525,531 6,184 Aug. 31.............. 257,315 178,023 39,98439,30848,650315,639271,521 15,047 963 4,202 122,874128,435 6,633 25,766 6,175 Sept. 28.............. 257,809 178,421 39,80739,581 48,663 316,011 271,22915,225 890 5,448 121,728127,938 6,68425,843 6,171 Oct. 26.............. 256,797 177,818 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 38,58053,564321,185 274,676 16,188 730 3,448 127,757 126,553 7,45926,189 6,158 Dec. 31.............. 263,687 182,802 41,92438,96060,738334,559291,063 18,788 794 4,432 138,218 128,831 4,61826,278 6,150 1967—Jan. 25.............. 261,583 180,244 41.77339,56651,387322,412277,460 15,228 937 4,161 125,481 131,653 6,63826,285 6,137 Feb. 22 ............. 262,135 178,958 42,40440,773 52,973324.753279,014 15,828 1.006 5,506 123.124 133,550 6,42626.453 6,130 Mar. 29.............. 267,086181,604 43,54541,93750,276327,040281,903 15,547 1,172 4,857 124,096136,231 6,04426,639 6,129 Apr. 26.............. 268,466 182,821 42,001 43,64453,487331,864286,48615,742 1,172 5,899 126,642137,031 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 June 28.............. 273,151 187,426 40,46045,265 53,674337,151 289,858 15,909 1 ,276 3,930 128,046140,697 7,44226,999 6,108 July 26”............ 276,381 187,536 42,95745.88855,166341,784294,97616,187 1,326 5,286 129,674142,503 6,62527,061 6,105 Mutual savings banks: 1941—Dec. 31.............. 10,379 4,901 3.704 1,774 793 11.804 10.533 15 10,527 1,241 548 1945—Dec. 31.............. 16.208 4,279 10.682 1,246 609 17,020 15,385 1 1 15,371 7 1,592 542 1947—Dec. 316............ 18,641 4,944 11,978 1.718 886 19,714 17,763 1 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—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 1 7 70 55,271 69 4,871 504 1967—Ian. 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 49,110 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.............. 61,480 49,750 4,430 7,300 1,100 63,650 57,380 70 57,310 4,920 503 June 28r............ 61,920 50,000 4,340 7,580 1,130 64,150 58,030 70 57,960 4,930 503 July 26*........... 62,310 50,390 4,340 7,580 1.100 64,510 58,390 .......... 70 58.320 .......... 4,930 503 For notes see p. 1385, Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 COMMERCIAL AND MUTUAL SAVINGS BANKS 1383 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 Lo 1 a » n 2 s G U o .S vt . . Oth 2 er a C ss a e s t h s 3 c c b o a i a l a l u p i n i c a t i n d i ­ t ­ e t a s s l 4 Total 3 m D a e n ­ d Time U. D S. ema O n t d her Time! 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 b N a b o u n e f m r k s ­ Govt. Reserve city member banks: New York City:?’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—July 27.................. 44,996 34,789 4,087 6,120 11,436 59,272 46,875 4,813 580 1,008 21,439 19,035 2,574 5,161 12 Aug. 31.................. 45,740 35,287 4,430 6,023 10,574 59,392 46,869 4,647 568 857 21,955 18,842 2,07! 5,250 12 Sept. 28.................. 45,448 34,878 4,531 6,03911,025 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 5,89411,263 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 5,67414,869 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 5,76911,545 60,042 47,414 5,003 551 848 22,82618,186 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 22,86218,499 1,920 5,450 12 Apr. 26.................. 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 May 31................. 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 June 28.................. 47,653 36,662 4,809 6,182 13,109 63,971 50,588 5,319 804 761 24,738 18,966 2,421 5,557 12 July 26». ........ 48,380 36,683 5,408 6,289 14,431 65,964 51,953 5,495 836 1.190 24,754 19,678 2,536 5,600 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 1,801 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 II 1966—July 27................... 11,400 8,331 1,363 1,706 2,447 14,37t 11,959 1,160 31 310 5,224 5,234 637 1,146 11 Aug. 31.................. 11,495 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 2,506 14,455 11,751 1,159 26 358 5,148 5,060 1,033 1,156 11 Oct. 26.................. 11,298 8,193 1,425 1,680 2,641 14,368 11,671 1,193 27 405 5,239 4,807 830 1,166 It Nov, 30.................. 11,374 8,282 1,526 1,566 2,685 14,520 11,453 1,251 17 108 5,362 4,715 1,114 1,181 II Dec. 31.................. 11,802 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 12,223 1,244 11 283 5,184 5,501 951 1,193 H Apr. 26.................. 12,127 8,475 1,886 1,766 2,576 15,176 12,345 1,182 11 370 5,264 3,518 702 1,202 H May 31. 11,995 8,426 1 ,822 1,747 2,691 15,171 12,633 1,319 11 154 5,488 5,661 644 1,223 11 June 28.................. 12,136 8,778 1 ,628 1,730 2,805 15,445 12,536 1 ,250 11 225 5,372 5,678 767 1,213 11 July 26^................ 12,272 8,961 I ,679 1 ,632 2,920 15,702 12,877 1,321 JO 293 5,416 5,837 655 1,214 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 2,39613,066 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—Inly 27.................. 93,519 67,738 11,791 13,99020,070116,873 101,489 6,795 238 2,242 43,71648,498 2,744 9,291 170 Aug. 31................. 93,994 68,102 12,085 13,807(9,608117,027101,572 7,261 292 1,562 43,72748,730 2,600 9,361 170 Sept. 28 93,899 68,359 11,718 13,82219,590116,951 101,100 7,056 281 1,921 43,26248,580 2,821 9,368 170 Oct. 26.................. 93.627 68,231 11,76013,63620,426117,442101,512 7,158 252 1,630 44,06648,406 2,999 9,387 170 Nov. 30.................. 94,654 68,959 12,237 13,45820,732 118,882102,611 7,918 223 1,074 45,21448,182 2,807 9,453 170 Dec. 31.................. 95,831 69,464 13,04013,32624,228123,863 108,804 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 21,113 120.402 104,520 7,598 327 2,336 42,97851,281 2,957 9,481 168 Mar. 29.................. 97,875 68,880 13,72415,271 19,706121,135 105,418 7,387 361 1,825 43,54452,301 2,725 9,589 167 Apr. 26.................. 97,913 68,684 13,065 16,16421,543 123,100107,154 7,290 371 2,334 44,52252,637 3,050 9,642 166 May 3!.................. 98,906 69,174 12,938 16,79421,164123,823 107,604 7,47? 386 1,375 45,11453,252 3,072 9,701 166 June 28.................. 99,743 70,253 12,267 17,22320,894124,360 107,794 7,396 392 1,571 44,62253,813 3,420 9,728 166 July 26p................ 100,800 69,989 13,437 17,37421,178 125,666 109,736 7,390 411 2,280 45,45654,199 2.862 9,739 165 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 1,056 17 432 28,378 14,560 23 2,934 6,519 1965—Dec. 31.................. 103,362 63,338 23,735 16,28817,366 123,227 110,738 2,371 74 1,501 55,11851,675 343 9,673 6,027 1966—July 27............ 105,904 66,352 21,831 17,721 15,796124,552 111,141 1,862 74 1,963 52,03755,205 850 9,933 5,991 Aug. 31.................. 106,086 66,270 21,994 17,82216,086124,923 111,204 1,938 74 1.535 52,035 55,622 1,076 9,990 5,982 Sept. 28 106,924 66,818 22,078 18,02815,542125,209111,642 2,380 74 1,659 51,56255,967 737 10,113 5,978 Oct. 26.................. 107,325 66,983 22,225 18,11715,880125,916112,276 1,981 74 1,244 52,64956,328 798 10,161 5,970 Nov. 30............ 107,688 67,355 22,289 18,044 17,035 127,416113,382 2,019 74 1,084 53,83356,372 98410,252 5,965 Dec. 31.................. 109,518 68,641 22,419 18,458 19,004131,338 117,749 2,392 69 1,474 56,67257,144 308 10,309 5,958 1967—Jan. 25.................. 109,017 68,225 22,411 18,381 16,886128,721 115,009 1,991 64 1,370 53,59957,985 74610,301 5,946 Feb. 22.................. 109,048 68,057 22.360 18,63/ 17,051 128,935 115,112 1,975 64 1,820 52,407 58,846 63010,335 5,939 Mar. 29 110,439 69,056 22,491 18,892 16,600129,920 116,201 1,950 64 1,751 52,506 59,930 448 10,407 5,939 Apr. 26................. 111,770 70,121 22,28419,365 16,612 131,277 117,385 1,983 64 1,427 53,22660,685 485 10,420 5,938 May 31.................. 112,513 70,729 22,010 19,774 17,238 132,634118,522 1,966 64 1,405 53,37461,713 633 10,487 5,924 June 28.................. 113,619 71,733 21,75620,130 16,866J33,375 118,940 1,944 69 1,373 53,31462,240 83410,501 5,919 July 26"................ 114,929 71,903 22,433 20,593 16,637 134,452 120,4/0 1,981 69 1,523 54,04862,789 572 10,508 5,917 For notes see p. 1385. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1384 COMMERCIAL AND MUTUAL SAVINGS BANKS AUGUST 1967 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 b c C a a l n l a l k s d s a a o t n e f d Total L 1 o . a n 2 s G U o . v S t . . Oth 2 er as C s a e s ts h 3 c b c o a i a u l a l p i n i c n a t i d i ­ ­ t t e a s s l 2 Total 3 m D a e n ­ d Time U. D S. ema O n t d her T 1 im . s e B r 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. Insured commercial: 1941—Dec. 31.. 49,290 21,259 21,046 6,984 25,788 76,820 69,411 >54 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 13,883 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 92,97534,882 61 9.734 13.398 1964—Dec. 31.. 275.053 174,234 62.49938,320 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 4,32529,827 13,540 1966—June 30.. 312,982211,588 53,Hl 48,282 59,489 383,445 337,14616,761 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 39,458 786 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 92,53385,522 2,627 17,434 4,815 1966—June 30.. 181,934124,722 28,891 28,321 36,769 225,441 197,792 10,609 514 6,767 88,615 91,288 2,681 18,021 4,811 1966—Dec. 31.. 187,251 129,182 30,35527,713 41,690 235,996 206,456 12,588 437 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 22,259 739 621 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 4,411 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 15,31210,777 18,673 98,852 86,108 6,486 453 2,234 44,00532,931 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 11,248 16,084 95,779 83,417 5,555 414 3,212 37,95736,278 1,304 7,656 1,383 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 1-29 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* her 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 2,452 181 1,905 365 4 279 714 1947—Dec. 31 «. 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 26,64523,043 198 4,«94 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 29,53230,258 241 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 I 6 41646,257 92 4,045 330 1966—Dec. 31.. 51,267 42,591 3,324 5,352 847 53,047 48,254 1 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. 3L. 5,361 1,198 3,522 641 180 5,596 5,022 2 5,020 6 558 350 1947—Dec. 31« 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 i 8 6,865 1 706 177 1966—June 30.. 7,768 5,525 1,690 552 111 7,964 7,046 i 28 7,017 716 175 1966—Dec. 31.. 7,756 5,705 1,429 621 119 7,961 7,096 .......... i 19 7,076 732 1.74 For notes see opposite page. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 COMMERCIAL BANKS 1385 LOANS AND INVESTMENTS AT COMMERCIAL BANKS (In billions of dollars) Seasonally adjusted Not seasonally adjusted Period Securities Securities TotaU, a Loans1,2 Total1, * Loans1,2 G U o . v S t . . Other* 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—bee. 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—bee. 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 Dec. 31................................................................ 294.4 192.0 57.7 44.8 301.8 197.4 59.5 44.9 1966_ July 27............. . 309.2 206.4 54.4 48.5 307.1 205.8 52.7 48.6 Aug. 31............................................................... 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............................................................ 308.1 207.2 52.5 48.4 308.4 206.2 53.6 48.7 Nov. 30................................................................ 308.6 207.2 53.0 48.4 309,5 207.2 54.4 47.9 Dec. 31............................................................ 310.2 207.2 54.3 48,7 317.9 213.0 56.2 48.8 1967—Jan. 25.............................................................. 314.9 211.0 54.0 49.8 314.2 208.9 56.0 49.4 Feb. 22................................................................ 316.5 210.4 55.1 51.0 3)4,9 207.6 56.6 50.7 Mar. 29................................................................ 321.9 211.8 57.8 52.3 320.6 210.7 57.8 52,0 324.1 213.8 56.6 53.7 322.8 212.7 56.2 54.0 May 31p........................................................ 326.4 213.8 57.6 55. 1 323,8 213.2 55.9 54.8 June 303.............................................. 326.7 214,3 56.5 55.9 329.3 218.4 54.8 56. i July 26”.......................................................... 334.1 218.4 59.1 56.7 331.8 217.7 57.2 56.9 i Adjusted to exclude interbank loans. J June 30, 1967, estimated. * Beginning June 9, 1966, about Sl.l billion of balances accumulated for payment of personal loans were deducted as a result of a change in Note,—Data are for last Wed. of month except for June 30 and Dec, Federal Reserve regulations. 31; data are partly or wholly estimated except when June 30 and Dec. 31 Beginning June 30, 1966, CCC certificates of interest and Export­ are call dates. For back data, see July 1966 Bulletin, pp. 952-55. For Import Bank portfolio fund participation certificates totaling an estimated description of seasonally adjusted series, see July 1962 Bulletin, pp. $1 billion are included in “Other securities” rather than “Other loans.” 797-802. 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 All member (cont)— Insured ............................................................. 1,150 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. 1384, or from “Loans” and “Time deposits, as follows; in the tables onpp. 1381-83;in the table at the top of this IPC” in the tables on pp. 1386-87. page; and in the tables on pp. 1388-91 (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 tables on pp. 1382-84. * 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 i See table "Deposits Accumulated at Commercial Banks for Payment was reclassified as a reserve city bank. Beginning with May 13, 1965, of Personal Laans" and its notes on p. 1385. 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 loam 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 loans" 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, Bulletin. 5 Figures for mutual savings banks include relatively small amounts Comparability of figures tor 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. 587, May 1964 pp. 870-71. Bulletin. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1386 COMMERCIAL BANKS AUGUST 1967 LOANS AND INVESTMENTS BY CLASS OF BANK (In millions of dollars) Other loans 1 Investments For To Class of J T oa o n ta s 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 e i n n s g g in f s i t n i a tu n t c io ia n l s Other, U.S s . e G cu o r v it e ie r s o 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 and tur- To tate di­ govt, rities4 in­ al « bro­ vid- Bins secu­ d tr u ia s l ­ k a e n r d s ot T h o er s 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 1,660 830 1 .220 115 9,393 5,723 947 69,221 9,982 6,034 53,205 5,276 3,729 1964—Dec. 31.. 277,376 175,589 60,2177,505 5,542 2,843 3,491 10 91343,67539,8095,152 62,991 13,377 19,03930,57433,533 5,263 1965—Dec. 31.. 306,060 2,103 199,555 71,4378,212 5,258 3,231 2,158 13 29149,30045,4685,215 59,547 n.a. n.a. n.a. 38,655 6,201 1966—June 30.. 315,388 2,129211,001 77,2458,488 5,350 3,283 1,971 (3 93351,899 47,6825,227 53,503 n.a. n.a. n.a. 40,612 8,142 1966—Dec. 31.. 323,885 2,544216,40580,5988,555 5,821 3,203 2,189 13 30253,950 47,943 5,18356,163 n.a. n.a. n.a. 41,0037,769 AH insured: 1941—Dec. 31.. 49,290 21,259 9,214 1,450 614 662 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 1,132 88,91221,52616,045 51,342 3,8733,258 1947—Dec. 31.. 114,274 37,583 18,012 1,610 823 1,190 114 9,266 5,654 91467,941 9,676 5,91852,347 5,1293,621 1964—Dec. 31.. 275,053 174,23459,7467,4825,355 2,794 3,419 10 8_1_2_4_3,, 435639,627 5,11262,49913,275 18,93930,28533,2945,026 1965—Dec. 31.. 303,593 2,064198.045 70,8878,191 5,088 3,172 2,09313 148 49,026 45,2905,15559,12013,13413,23333,858 38,4195,945 1966—June 30.. 312,982 2,061 209,52776,725 8,470 5,2223,222 1,929 13 77351,59947,5065,15253,111 9,174 12,38932,70940,3687,914 1966—Dec, 31.. 321,473 2,461 214,918 80,0608,5365,6433,148 2,131 13 14853,686 47,7705,12755,788 12,08013,439 31,53640,761 7,545 Member, total 1941—Dec. 31.. 43,521 18.021 8,671 972 594 598 39 3,494 3,653 19,539 971 3,007 15,561 3,0902,871 1945—Dec. 31.. 107,183 22,775 8,949 855 3,133 3,378 47 3,455 1,900 1,057 78,338 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.. 228,497 147,690 53,717 4,6435,1422,411 3,250 10 17934,58732,0244,82448,717 9,932 15,23823,54828,3743,715 1965—Dec. 31.. 251,577 1,861 167,93963,979 5,0994,9152,714 2,008 12 47538,98836,4184,83244,992 9,441 10,10626,36732,5884,198 1966—June 30.. 258,638 1.772 177,355 69,357 5,2445,0362,717 1,861 13 06840,86237,933 4,80839,942 6,384 9,118 25,42633,8965,672 1966—Dec. 31.. 264,627 2,119 181,62472,5535,318 5,3892,660 2,047 12,34942,384 37,925 4,75741,924 8,567 9,78924,60933,8005,160 New York City. 1941—Dec. 3■1.. 12,896 4,072 2,807 8 412 169 32 123 522 7,265 311 1,623 5,331 729 830 1945—Dec. 3•1.. 26,143 7,334 3,044 2,453 1,172 26 80 287 272 17,574 3,910 3,325 10,339 606 629 1947—Dec. 3•1.. 20,393 7,179 5,361 545 267 93 564 23811,972 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 2,654 1,371 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 2,928 1,340 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 2,799 1,209 4,920 1,871 942 2,286 4,967 708 City of Chicago. 1941—Dec. 31 2,760 954 732 6 48 52 22 95 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.. H.455 72 8,147 4,642 32 444 244 188 201 577 762 316 1,700 542 273 961 1,400 137 1966—June 30.. 11,715 110 8,457 4,983 35 394 254 147 293 592 744 276 1,585 429 284 954 1,326 238 1966—Dec. 31.. 11,802 31 8,724 5,311 64 406 222 181 161 622 751 273 1,545 353 256 1,004 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 3•8729,552 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 3•51 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 4 887 13,611 12,802 1,977 16,326 3,200 5,662 7,463 9,871 918 1965—Dec. 31., 91,997 471 64,646 24,784 1,206 9541,108 635 5 82015,056 14,305 1,999 14,354 2,972 3,281 8,43211,504 1,022 1966—June 30.. 94,169 526 67,591 26,903 1,255 899 1,123 574 5 9H 15,629 14,672 1 ,857 12,182 1,720 2,520 8,344 12,361 1,509 1966—Dec. 31.. 96,201 817 69,01728,0901,251 1,0841,079 684 5 74816,04414,375 1,968 13,040 2,552 2,673 8,22212,033 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 1,222 1,028 1945—Dec. 31.. 35,002 5,596 1,484 648 42 471 4 1,881 707 :35926,999 5,732 4,544 16,722 1,342 1.067 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 73017,96415,8991,04724,341 4,209 7,20612,925 11,531 2,154 1965—Dec. 31.. 103,362 905 62,433 16,4783,840 650 698 174 98320,21718,423 1,177 23,735 4,389 5,565 14,098 13,8052,483 1966—June 30.. 106,300 1,002 65,645 17,6573,938 437 693 150 966 21 ,23019,552 1,261 21,709 2,808 5,563 13,655 14.8493,095 1966—Dec. 31.. 110,089 1,161 68,051 17,938 3,986 790 761 157 2 17522,25320,000 1,30722,419 3,791 5,917 13,09615,473 2,985 Nonmember; 1947—Dec. 31.. 18,454 5,432 1,205 614 20 156 2 2,266 1,061 10911,318 2,179 1,219 7,920 1,078 625 1964—Dec. 31., 48,879 27,899 6,500 2,862 400 432 241 733 9,088 7,786 328 14,273 3,445 3,801 7,026 5,159 1,548 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. 6,067 2,003 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. 6,7162,470 1966—Dec. 31.. 59,257 425 34,781 8,045 3,237 431 543 142 95311,56610,018 427 14,239 n.a. n.a. n.a. 7,203 2,609 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. 1385. at book value; they do not add to the total (shown at book value) and are 3 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

AUGUST 1967 COMMERCIAL BANKS 1387 RESERVES AND LIABILITIES BY CLASS OF BANK (In millions of dollars) Demand deposits Time deposits Bal­ De­ b c C a a l n l a l k s d s a a o n te f d B s F e w R a r . i n v R e 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 n d e n c i o s k t e t h ­ i s s c 6 ju m po s d a a t s d e n e i ­ ­ t d d s 7 m D e I s n o t t i ­ c e r <* ba e F n ig k o n r­ 8 G U o .S vt . . S l g a o o t n a c v d a t t e l . c C c h o a f e e i e f n e r f r c d d i t s k ­ i ’ ­ s, I PC I b n a t n e k r­ G P S U a o o a n . s S v v d t ­ . t a . l S l g o a o t n c a v a d 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. ings 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 ill 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 9.812 116,6352.67927,795 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 12,186 134,2474,47230,272 1966—June 30.... 18,094 5,234 13,548 133,535 15,488 1,54610,998 14,931 6,692 132,222 1,098 231 12,634 143,3154,353 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 13,462 146,3294,85932,054 Ail 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 1,24823,740 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 9,766 116,1472,58027,377 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 12,135 133,6864,32529,827 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 12,584 142,7384,12630,873 1966—Dec. 3t.... 19,069 5,426 15,348 140,835 17,713 1,784 4,975 14,951 6,956 144,782 881 23813,414 145,7444,71731,609 Member, total: 1941—Dec. 31.... 12,396 1,087 6,246 33,754 9,714 671 t,709 3,066 1,009 33,061 140 50 418 tl,878 4 5,886 1945—Dec. 31.... 15,811 1,438 7,117 64,184 12,333 1,24322,179 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 95,4252,481 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 23610,041 109,9254,23424,926 1966—June 30. . . . 18,094 4,044 8,148 106,472 14,752 1,412 9,979 11,445 6,095 109,032 928 20410,334117,0283,98525,678 1966—Dec. 31.... 19,069 4,249 9,400112,920 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 Hl 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 16,4471,874 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 30.... 939 77 235 4,251 1,171 59 680 336 131 4,781 43 1 329 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 Other reserve city: 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 ’,773 3,532 1,180 42,380 206 71 4.960 40,5101,548 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 44,2041,952 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 7^ 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 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 2^45 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.... ............ i;2oi 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 7 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 i ndividual 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 note* 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

1388 WEEKLY REPORTING BANKS AUGUST 1967 ASSETS AND LIABILITIES OF LARGE COMMERCIAL BANKS (In millions of dollars) Loans2 For purchasing To financial institutions or carrying securities Loans J Wednesday m i T l n o a e v o n a n e t n d a t s s s l t ­ t v s n e t a e r i r l o e t v u n ­ e o a s f ­ i C n m t a c r o d i n i e a a m u d r l l s ­ ­ ­ A t c u u g r l r a ­ i l ­ G c U a T t s u i o n e e . o r S v d s ­ i . t ­ b , d r e o O a k c l t s u e t e i e e h r r r s ­ s s i e ­ r G c U t s u T i o e e . r v S o s ­ i t ­ . , o th O c e t s u i t r e e h s r s ­ i e ­ r F ei o g r B n ­ ank c m m D s o ti e e o m c s r ­ ­ ­ ­ f P s c i a a n o e N n l a s r e d s . n o s , , . n ba O n t k her e R st e a a t l e s i C m n u s m o e ta n n e l ­ t r ­ g e F o i o g v n t r s ­ . o A th l e l r V se t a r i r o e l v u ­ n e a s ­ cial etc. Large banks— Total 1966 July 6..... . 187,177136,517 58,680 1,803 539 3,951 90 2,241 1,514 2,938 7,262 4,895 26,718 16,121 1,137 11,401 2,773 13 186,550 136,177 58,799 1,802 420 3,687 113 2,223 1,474 3,587 6,715 4,848 26,791 16,119 1,132 11,240 2,773 20.......... 185,231 134,764 58,845 1,811 394 3,537 125 2,216 1 ,470 2,476 6,507 4,784 26,858 16,158 1,118 It,239 2,774 27.......... 184,779 134,383 58,727 1,805 342 3,349 116 2,203 1,485 2,664 6,379 4,743 26,905 15,985 1,119 11,332 2,771 1967 June 7...... 192,654136,047 61,478 1,890 969 3,173 68 2,204 1,407 3,366 5,302 4,092 27,332 15,919 1,016 10,788 2,957 14 194,483 137,558 62,383 1 ,898 1,339 3,085 68 2,187 1,426 3,239 5,412 4,204 27,422 15,957 1,020 10,873 2,955 21.......... 196,807 139,721 63,860 1,908 801 3,389 69 2,195 1,357 3,296 5,945 4,294 27,496 16,000 1,108 10,953 2,950 28......... 195,721 139,938 63,784 1,875 528 3,285 70 2,167 1,338 3,895 5,859 4,411 27,547 16,055 1,070 10,998 2,944 July 5.......... 196,926140,781 64,052 1,925 511 3,335 77 2,158 1,359 3,969 6,124 4,423 27,519 16,061 1,082 11,150 2,964 12.......... 198,300 139,602 63,844 1,890 840 3,222 77 2,(73 1,384 3,259 5,675 4,425 27,635 16,064 1,072 11,005 2,963 19.......... 198,151 139,732 63,859 1,897 1,015 3,282 77 2,187 1,401 3,242 5,479 4,425 27,729 16,065 1,088 10,949 2,963 26.......... 197,797 139,669 63,708 1,900 832 3,363 76 2,197 1,336 3,544 5,399 4,330 27,780 16,054 1,094 11,018 2,962 New York City 1966 July 6.......... 44,772 34,749 19,514 15 238 2,630 11 669 877 708 2,390 1,274 3,159 1,274 772 1,992 774 2 1 0 3. . . . . . . . . . . . . . . . . . . . 4 4 4 3, , 2 2 7 2 2 0 3 3 3 4 , , 6 4 3 7 6 4 1 1 9 9 , , 5 5 6 7 3 3 1 1 4 4 1 1 5 4 5 7 2 2 , , 1 2 0 9 3 6 2 31 9 6 6 5 5 6 7 8 83 4 5 4 1,2 6 3 65 2 2 2, , 0 0 4 8 0 2 1 1, , 2 2 2 4 0 0 3 3 , , 1 17 5 1 3 1 1 , , 2 27 7 1 5 7 -m 73 1 1 , , 9 9 3 1 0 4 7 7 7 7 3 3 27.......... 43,462 33,726 19,580 14 138 1,980 30 655 840 859 2,099 1,206 3,149 1,276 767 1,906 773 1967 June 7,........ 43,823 33,375 20,592 14 421 1,829 10 630 714 853 1,518 1,020 2,975 1,220 639 1,779 839 14 44,784 34,169 21,055 15 688 1,731 10 610 732 853 1,598 1,072 2,990 1 ,222 649 1,783 839 21 45,931 35,114 21,672 13 416 2,009 10 630 650 1,006 1,749 1,065 2,987 1,233 702 1,807 835 28.......... 45,326 35,153 21,673 13 243 1,964 10 616 639 1,294 1,643 1,111 3,006 1,252 695 1,829 835 July 5.......... 45,549 35,283 21,799 12 176 2,007 13 614 670 1,101 1,779 1,097 3,004 1,249 701 1,895 834 12 45,981 34,755 21,766 12 417 1,930 13 620 689 802 1,530 1,043 3,002 1,249 693 1,825 836 19 46,319 35,209 21,842 12 529 1,895 13 624 703 1,091 1,535 1,038 3,009 1,248 707 1,800 837 26.......... 4S.767 35,014 21,760 11 416 2,011 13 630 673 998 1,528 1,043 3,008 1 ,234 705 1,822 838 Outside New York City 1966 July 6.......... 142,405 101,768 39,166 1,788 301 1,321 79 1,572 637 2,230 4,872 3,621 23,559 14,847 365 9,409 1,999 13 142,330 101,703 39,236 1,788 265 1,391 82 1,566 630 2,355 4,633 3,608 23,620 14,844 359 9,326 2,000 20 141,959101,128 39,272 1,797 247 1,434 96 1,560 635 1,811 4,467 3,564 23,705 14,887 345 9,309 2,001 27.......... 141,317 tOO, 657 39,147 1,791 204 1,369 86 1,548 645 1,805 4,280 3,537 23,756 14,709 352 9,426 1,998 1967 June 7.......... 148,831 102,672 40,886 1,876 548 1,344 58 1,574 693 2,513 3,784 3,072 24,357 14,699 377 9,009 2,118 14 149,699 103,389 41,328 1,883 651 1,354 58 1,577 694 2,386 3,814 3,132 24,432 14,735 371 9,090 2,116 21.......... 150,876104,607 42,188 1,895 385 1,380 59 1,565 707 2,290 4,196 3,229 24,509 14,767 406 9,146 2,115 28.......... 150,395 104,785 42,111 1,862 285 1,321 60 1,551 699 2,601 4,216 3,300 24,541 14,803 375 9,169 2,109 July 5.......... 151,377105,498 42,253 1,913 335 1,328 64 1,544 689 2,868 4,345 3,326 24,515 14,812 381 9,255 2,130 12.......... 152,319104,847 42,078 1,878 423 1 ,292 64 1,553 695 2,457 4,145 3,382 24,633 14,815 379 9,180 2,127 19.......... 151,832 104,523 42,017 1,885 486 1,387 64 1,563 698 2,151 3,944 3,387 24,720 14,817 381 9,149 2,126 26.......... 152,030104,655 41,948 1,889 416 1,352 63 1,567 663 2,546 3,871 3,287 24,772 14,820 389 9,196 2,124 For other notes seo p. 1391. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 WEEKLY REPORTING BANKS 1389 ASSETS AND LIABILITIES OF LARGE COMMERCIAL BANKS—Continued (In millions of dollars) Investments Cash assets U.S. Government securities Other securities Balances with— Obligations Total Bills c C t a i e t f e i r ­ s ­ No m te a s tu an ri d n g b — onds o p s f o u a l S b n it d t d i a i c t v a e . l s O co t s h r e e p c a r , u n r b s d i t o t o i n e c d s k s s , Total p c C i r o t t i e o i o a l o n m l c s f e n h e s c s ­ s m b D a e n s o t k i ­ c s b e F 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 w F r R a . v i n R t e e h k ­ s . s a o s t A s h e l e l t r s Wednesday W 1 i i n y t r h . ­ 5 1 y t r o s . A 5 f y t r e s r . ra w T n a a t x r s ­ 3 o A th l e l r p p C a a t e r o i t r o i f t c n i f i '* . ­ O s ri e t t c h ie u e s ­ r Large banks— Total 1966 22,767 2,399 599 3,227 9,784 6,758 2,729 21,344 1,358 2,462 43,454 22,243 4,514 190 2,350 14,157 7,618 .....July 6 22,581 2,256 601 3,158 9,776 6,790 2,731 21,393 1,320 2,348 41,990 21,178 4,188 216 2,560 13,848 7,624 13 22,639 2,310 601 3,181 9,771 6,776 2,721 21,470 1,319 2,318 41,669 19,980 4,396 190 2,506 14,597 7,639 20 22,623 2,298 607 3,321 9,705 6,692 2,794 21,256 1,285 2,438 38,786 17,825 3,940 204 2,553 14,264 7,631 27 1967 25,201 3,426 251 2,884 12,842 5,798 '3,569 '23,879 1,221 2,737 40,441 18,664 4,066 214 2,523 14,974 8,341 ........June 7 25,411 3,602 245 2,937 12,830 5,797 '3,492 '24,034 1,223 2,765 44,355 22,527 4,146 222 2,655 14,805 8,256 14 25,279 3,595 252 2,816 12,955 5,661 '3,590 '24,232 1,205 2,780 43,286 20,800 4,016 222 2,679 15,569 8,260 21 24,126 2,540 251 2,825 12,909 5,601 '3,515 '24,216 1,209 2,717 42,204 20,426 4,078 203 2,758 14,739 8,519 ................ 28 24,348 2,870 241 2,813 12,882 5,542 3,554 24,206 1,274 2,763 48,735 25,689 4,549 238 2,472 15,787 8,609 .......July 5 26,780 5,383 237 2,823 12,842 5,495 3,609 24,327 1,270 2,712 43,820 21,776 4,226 214 2,759 14,845 8,366 2 26,574 5,239 237 2,844 12,753 5,501 3,585 24,248 1 ,260 2,752 43,607 21,642 4,265 206 2,715 14,779 8,272 19 26,169 4,882 221 2,800 12,792 5,474 3,597 24,229 1,309 2,824 43,606 21,003 4,075 212 2,726 15,590 8,445 ................ 26 New York City 1966 4,038 863 188 397 1,264 1,326 712 4,309 337 627 12,667 8,192 268 80 312 3,815 2,834 3,878 756 194 374 1,229 1,325 737 4,281 332 518 11,818 7,792 197 97 319 3,413 2,834 13 3,844 728 193 390 1,218 1,315 712 4,272 325 483 12,379 7,633 174 76 302 4,194 2,880 20 3,981 819 193 417 1,244 1,308 717 4,220 332 486 11,291 6,746 150 95 313 3,987 2,788 • .............. 27 1967 4,881 1,052 91 522 2,036 1,180 591 4,248 87 641 11,517 6,729 207 93 327 4,161 3,016 ........June 7 5,024 1,153 91 548 2,041 1,191 621 4,243 85 642 13,736 8,755 240 92 339 4,310 2,982 14 5,033 1,188 92 544 2,060 1,149 720 4,339 87 638 12,478 7,594 227 80 330 4,247 3,006 21 4,530 742 92 567 2,016 1,113 687 4,270 74 612 12,871 8,245 237 72 349 3,968 3,116 28 4,572 829 93 560 1,992 1,098 734 4,251 73 636 15,775 10,593 254 112 341 4,475 3,173 ........July 5 5,455 1,746 99 456 1,973 1,081 765 4,323 74 609 12,001 7,577 234 94 345 3,751 3,041 12 5,382 1,715 101 517 1,963 1,086 771 4,252 74 631 12,675 8,290 255 88 337 3,705 2,961 19 5,057 1,427 101 496 1,956 1,077 762 4,233 80 621 14,122 8,771 205 102 342 4,702 3,043 ................ 26 Outside New York City 1966 18,729 1,536 411 2,830 8,520 5,432 2,017 17,035 1,021 1,835 30,787 14,051 4,246 110 2,038 10,342 4,784 .......July 6 18,703 1,500 407 2,784 8,547 5,465 1,994 17,112 988 1 ,830 30,172 13,386 3,991 119 2,241 10,435 4,790 13 18,795 1,582 408 2,791 8,553 5,461 2,009 17,198 994 1,835 29,290 12,347 4,222 114 2,204 10,403 4,759 20 18,642 1,479 414 2,904 8,461 5,384 2,077 17,036 953 1,952 27,495 11,079 3,790 109 2,240 10,277 4,843 27 1967 20,320 2,374 160 2,362 10,806 4,618 '2,978 '19,631 1,134 2,096 28,924 11,935 3,859 121 2,196 10,813 5,325 ........June 7 20,387 2,449 154 2,389 10,789 4,606 ' 2,871 '19,791 1,138 2,123 30,619 13,772 3,906 130 2,316 10,495 5,274 14 20,246 2,407 160 2,272 10,895 4,512 '2,870 '19,893 1,118 2,142 30,808 13,206 3,789 142 2,349 11,322 5,254 21 19,596 1,798 159 2,258 10,893 4,488 '2,828 '19,946 1,135 2,105 29,332 12,181 3,841 131 2,409 10,771 5,403 28 19,776 2,041 148 2,253 10,890 4,444 2,820 19,955 1,201 2,127 32,960 15,096 4,295 126 2,131 11,312 5,436 ........July 5 21,325 3,637 138 2,267 10,869 4,414 2,844 20,004 1,196 2,103 31 ,819 14,199 3,992 120 2,41411,094 5,325 12 21,192 3,524 136 2,327 10,790 4,415 2,814 19,996 1,186 2,121 30,932 13,352 4,010 118 2,37811,074 5,311 19 21,112 3,455 120 2,304 10,836 4,397 2,835 19,996 1,229 2,203 29,484 12,232 3,870 110 2,38410,888 5,402 ................ 26 For other notes see p. 1391. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1390 WEEKLY REPORTING BANKS AUGUST 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 Totals IPC p s i o u c l a b i l ­ t ­ G U o .S vt . . c m o ti e m c r ­ ­ Govt., C m o e m r­ ­ Total? Sav­ Other p s i o u c l a b i l t - ­ i m n ti t e c e s r ­ ­ Govt,, C m o e m r­ ­ divi­ cial etc/ cial ings divi­ bank etc. cial sions banks banks sions banks Large banks— Total 1966 July 6................... 204,815 114,318 78,066 5,948 7,854 14,006 772 1,502 90,497 48,161 29,325 7,644 657 4,303 228 13.................... 201,199110,211 78,471 5,386 5,425 13,041 716 1,408 90,988 47,797 30,103 7,748 650 4,285 230 20.................... 200,811 109,674 77,996 5,438 5,612 12,772 762 1,485 91,137 47,675 30,405 7,759 652 4,247 224 27.................... 196,207105,128 76,505 5,565 4,437 11,617 644 1,468 91,079 47,557 30,574 7,775 654 4,127 234 1967 June 7.................... 203,954105,645 77,318 5,732 1,923 13,150 785 1,512 98,309 47,396 35,004 9,869 1,026 4,639 178 14................... 209,542111,069 82,782 5,386 996 13,322 634 1,603 98,473 47,429 35,080 9,815 1 ,054 4,716 180 21.................... 210,248111,932 80,526 5,454 5,698 12,775 640 1,577 98,316 47,532 34,811 9,703 1,065 4,831 177 28.................... 208,251 109,403 79,244 5,920 3,103 12,701 708 1 ,482 98,848 47,739 35,117 9,665 1,065 4,890 179 July 5................... 216,665 117,895 81,919 6,085 3,854 15,291 699 1,563 98,770 47,848 35,095 9,480 1 ,029 4,939 186 12................... 212,610113,188 81,376 5,334 4,747 13,554 720 1 ,555 99,422 47,791 35,773 9,547 1,016 4,890 205 19.................... 212,718 112,939 80,857 5,221 4,848 13,622 686 1 ,602 99,779 47,822 35,975 9,582 1,047 4,953 202 26................... 212,087 111,887 80,632 5,344 4,385 12,918 689 1 ,529 100,200 47,817 36,208 9,705 1,086 4,974 208 New York City 1966 July 6................... 48,980 30,449 18,247 389 2,112 3,990 638 1 ,056 18,531 4,838 9,296 697 444 3,043 145 13................... 46,870 28,205 17,585 299 1,349 3,684 554 967 18,665 4,796 9,405 761 438 3,049 145 20.................... 47,329 28,754 17,829 278 1,450 3,851 610 1,025 18,575 4,758 9,341 800 433 3,031 142 27.................... 45,357 26,949 17,508 262 1,003 3,507 515 991 18,408 4,736 9,327 790 435 2,906 146 1967 June 7.................... 45,735 27,648 18,055 482 419 3,725 648 1 ,057 18,087 4,717 8,580 822 678 3,107 93 14................... 48,649 30,385 20,055 353 141 3,902 490 1,123 18,264 4,715 8,630 867 703 3,167 93 21.................... 48,493 30,371 19,396 393 1,897 3,759 503 1,112 18,122 4,715 8,396 876 716 3,242 92 28.................... 48,260 30,065 19,185 468 753 3,894 565 1,024 18,195 4,727 8,409 869 711 3,301 93 July 5................... 51,743 33,591 19,542 403 1,107 4,867 550 1 ,090 18,152 4,736 8,364 830 673 3,369 99 12................... 47,674 29,206 18,604 294 1,200 3,767 563 1,071 18,468 4,728 8,680 878 661 3,320 117 19................... 49,091 30,388 18,983 339 1,339 4,107 537 1,102 18,703 4,733 8,779 920 689 3,386 115 26................... 49,338 30,524 19,120 274 1,129 4,080 542 1,043 18,814 4,726 8,818 943 717 3,410 119 Outside New York City 1966 July 6................... 155,835 83,869 59,819 5,559 5,742 10,016 134 446 71,966 41,323 20,029 6,947 213 1,260 83 13................... 154,329 82,006 60,886 5,087 4,076 9,357 162 441 72,323 43,001 20,698 6,987 212 1,236 85 20.................... 153,482 80,920 60,167 5,160 4,162 8,921 152 460 72,562 42,917 21,064 6,959 219 1,216 82 27.................... 150,850 78,179 58,997 5,303 3,434 8,110 129 477 72,671 42,821 21,247 6,985 219 1,221 88 1967 June 7.................... 158,219 77,997 59,263 5,250 1,504 9,425 137 455 80,222 42,679 26,424 9,047 348 1,532 85 14.................... 160,893 80,684 62,727 5,033 855 9,420 144 480 80,209 42,714 26,450 8,948 351 1,549 87 21.................... 161,755 81,561 61,130 5,061 3,801 9,016 137 465 80,194 42,817 26,415 8,827 349 1 ,589 85 28.................... 159,991 79,338 60,059 5,452 2,350 8,807 143 458 80,653 43,012 26,708 8,796 354 1,589 86 July 5................... 164,922 84,304 62,377 5,682 2,747 10,424 149 473 80,618 43,112 26,731 8,650 356 1,570 87 12.................... 164,936 83,982 62,772 5,040 3,547 9,787 157 484 80,954 43,063 27,093 8,669 355 1 ,570 88 19.................... 163,627 82,551 61,874 4,882 3,509 9,515 149 500 81,076 43,089 27,196 8,662 358 1,567 87 26.................... 162,749 81,363 61,512 5,070 3,256 8,838 147 486 81,386 43,091 27,390 8,762 369 1,564 89 For other notes see p. 1391. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 WEEKLY REPORTING BANKS 1391 ASSETS AND LIABILITIES OF LARGE COMMERCIAL BANKS—Continued (In millions of dollars) Borrowings Memoranda Total assets— Total Other Capital liabilities Total Large certificates Wednesday liabilities accounts and Total loans Demand of deposit10 F F r . o R m . o F t r h o e m rs a c c a c p o i u ta n l ts ( lo n a e n t) s , ad ( j n u e s t t ) e . d, a d d e j p u o st s e it d s 9 Banks adjusted 8 ve a s n tm d e i n n t ­ s a Total Issued Issued issued to IPC’s to others Large banks— Total 1966 90 5,548 8,958 18,838 238,249 133,579 184,239 70,215 18,196 13,084 5,112 260 6,803 9,074 18,828 236,164 132,590 182,963 70,567 18,384 13,239 5,145 ............................13 133 5,350 9,453 18,792 234,539 132,288 182,755 71,310 18,314 13,147 5; 167 ............................20 778 5,593 9,803 18,815 231,196 131,719 182,115 71,249 18,303 13,189 5,114 ............................27 1967 36 6,660 10,965 19,821 241,436 132,680 189,288 71,908 ’ 19,289 12,295 6,994 35 6,803 10,937 19,777 247,094 134,319 191,244 74,224 19,296 12,231 7,065 ................... 14 381 6,793 11,170 19,761 248,353 136,425 193,511 72,659 18,954 11,871 7,083 ................. 21 65 7’187 11,127 19’813 246,443 136,043 191,825 73,173 19,153 12,023 7,130 ............................28 23 6,917 10,766 19,899 254,270 136,812 192,957 73,061 18,953 11,945 7,008 39 7,021 10,933 19,883 250,486 136,343 195,041 73,111 19,447 12,384 7,063 ............................12 18 6,319 11,119 19,856 250,030 136,490 194,909 72;827 19,524 12356 7,068 ............................19 78 6,417 11,401 19,865 249,848 136,125 194,253 73,581 19,696 12,549 7,147 ............................26 New York City 1966 2,299 3,924 5,070 60,273 34,041 44,064 16,155 7,390 5,464 1 ,926 2,683 4,259 5,060 58,872 33,242 42,988 15,380 7,462 5,507 1,955 .............................13 1,798 4,352 5,052 58,531 32,971 42,607 15,820 7,410 5,463 1,947 .............................20 110 2,426 4,594 5,054 57,541 32,867 42,603 15,693 7,372 5,441 1,931 .......................27 1967 2,048 5,185 5,388 58,356 32,522 42,970 16,775 ' 6,801 4,494 2,307 ' 2^74 5,095 5 i384 61,502 33,316 43 ;931 17’587 6,907 4,499 2,408 .............................14 77 2,269 5,202 5,374 61,415 34', 108 44,925 17,121 6,704 4,264 2,440 ............................21 2,358 5,317 5,378 61,313 33,859 44,032 17,173 6,719 4,240 2,479 ............................28 1,968 5,364 5,422 64,497 34,182 44,448 17,024 6,591 4,230 2,361 2 414 5,526 5*409 61,023 33,953 45,179 16,662 6,850 4,473 2,377 ..................... 1 ’, 883 5,579 5,402 61,955 34J18 45,228 16,'652 6,990 4,599 2,391 ............................19 2,410 5,785 5,399 62,932 34,016 44 ,’769 16,544 7,041 4,593 2,448 ............................26 Outside New York City 1966 90 3,249 5,034 13,768 177,976 99,538 140,175 54,060 10,806 7,620 3,186 260 4,120 4,815 13,768 177,292 99,348 139,975 55,187 10,922 7,732 3,190 ........................... 13 133 3,552 5,101 13,740 176,008 99,317 140,148 55,490 10,904 7,684 3,220 ............................20 668 3,167 5,209 13,761 173,655 98,852 139,512 55,556 10,931 7,748 3,183 ............................27 1967 36 4,612 5,780 14,433 183,080 100,158 146,318 55,133 ' 12,488 7,801 4,687 ’ 35 4,429 5,842 14,393 185,592 101,005 147,315 56,637 12,389 7,732 4,657 ............................14 304 4,524 5,968 14,387 186,938 102,317 148,586 55,538 12,250 7,607 4,643 ., ....21 65 4,829 5,810 14,435 185,130 102,184 147,793 56,000 12’434 7,783 4', 651 ............................28 23 4,949 5,402 14,477 189,773 102,630 148,509 56,037 12,362 7,715 4,647 39 4,607 5,407 14,474 189,463 102,390 149,862 56,449 12,597 7,911 4,686 ........................'..12 18 4,436 5,540 14,454 188,075 102,372 149,681 56,175 12,533 7,856 4,677 ............................19 78 4,007 5,616 14,466 186,916 102,109 149,484 57,037 12,655 7,956 4,699 ............................26 1 After deduction of valuation reserves. 2 Individual items shown gross. t o 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, * 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 "All 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, 8 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

1392 BUSINESS LOANS OF BANKS AUGUST 1967 COMMERCIAL AND INDUSTRIAL LOANS OF LARGE COMMERCIAL BANKS (In millions of dollars) Outstanding Net change during—■ Industry 1967 1967 1967 1966 1967 1966 Ju 26 ly Ju 1 l 9 y Ju 1 l 2 y Ju 5 ly Ju 28 ne July June May 11 I IV h 1 a s l t f h 2 a n l d f Durable goods manufacturing: Primary metals................................. 1,164 1,155 1,132 1,136 1,089 75 111 16 153 100 -60 253 -135 Machinery......................................... 4,848 4,841 4,867 4,877 4,920 -72 400 -204 285 602 220 887 580 Transportation equipment.............. 1,932 1,944 1,948 1,969 1,948 -16 19 -72 -273 226 235 -47 474 Other fabricated metal products... 1,875 1,932 1,944 1,950 1,977 -102 129 75 266 143 -99 409 -27 Other durable goods......... 2,089 2,096 2,131 2,130 2,138 -49 70 71 118 57 6 175 84 Nondurable goods manufacturing: Food, liquor, and tobacco.............. 2,123 2,105 2,097 2,164 2,143 -20 109 -146 -105 -472 519 -577 575 Textiles, apparel, and leather.......... 2,159 2,181 2,207 2,176 2,159 121 -33 86 211 -380 297 -274 Petroleum refining........................... 1,659 1,668 1,667 1,668 1,667 -8 171 33 180 61 -162 241 -254 Chemicals and rubber..................... 2,327 2,357 2,365 2,372 2,424 -97 -25 -132 1 308 52 309 133 Other nondurable goods................. 1,668 1,668 1,675 1,669 1,633 35 65 -15 108 53 -63 161 64 Mining, including crude petroleum and natural gas................................. 3,960 3,996 4,014 4,006 4,020 -60 85 -1 1 194 -40 195 182 Trade; Commodity dealers................. 1,006 965 948 941 926 80 -86 -164 -334 -145 312 -479 334 Other wholesale....................... 2,959 2,959 2,955 2,948 2,961 -2 72 -48 51 17 60 68 102 Retail........................................ 3,446 3,391 3,466 3,519 3,520 -74 91 -71 157 -184 69 -27 -47 Transportation, communication, and other public utilities..................... 551 921 Transportation................................ 3,998 3,963 3,962 3,976 3,979 19 103 32 185 88 n.a. 273 n.a. Communication.............................. 1,007 1,010 1,017 1,053 995 12 81 18 157 66 n.a. 223 n.a. Other public utilities........................ 2,272 2,296 2,269 2,241 2,158 1(4 259 -29 212 -321 n.a. -109 n.a. Construction......................................... 2,621 2,624 2,624 2,603 2,614 7 40 26 117 -107 -99 10 -173 Services................................................ 4,735 4,758 4,754 4,790 4,775 -40 73 6 89 -142 n.a. -53 n.a. All other domestic loans..................... 6,471 6,450 6,411 6,415 6,327 (44 54 129 273 285 3 558 -53 Bankers’ acceptances........................... 756 786 733 674 649 107 -32 -66 -122 236 165 114 64 Foreign commercial and industrial loans............................................ 2,743 2,773 2,750 2,824 2,852 — (09 -56 -42 -113 93 n.a. -20 n.a. Total classified loans........................... 57,818 57,918 57,936 58,101 57.874 -56 1,854 -617 1 ,492 1,369 1,289 2,861 2,550 Total commercial and industrial loans 63,708 63,859 63,844 64,052 63,784 -76 1,948 -509 1,822 1,215 1,339 3,037 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 loans 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 10-99 100^99 500-999 1,000 and over Interest rate (per cent per annum) May Feb, May Feb. May Feb. May Feb. May Feb. May Feb. 1967 1967 1967 1967 1967 1967 1967 1967 1967 1967 1967 1967 Percentage distribution of dollar amount Less than 5.50............................. 2.1 2.0 0.7 0.9 0.6 0.8 1 0 1 .3 2 8 2.7 2 7 2 4 5.50............................................... 32.1 3.1 1.4 0.5 4.6 0.5 16.6 1.3 27.9 1.2 46 5 5’ 1 5.51-5.75...................................... 21.4 33,7 1.9 0.7 5.9 3.9 19.6 15.4 29 3 27.6 24 1 518 5.76-6.00...................................... 14.0 23.4 14.5 10.7 19.0 14.0 19.0 24.4 13 7 30.6 10 7 23 4 6.01-6.49...................................... 11.2 13,3 25.9 22.7 24,0 22,8 15.4 21.7 10.5 14.2 6.4 6 7 6.50............................................... 5.5 5.9 10.2 10.7 10. 5 11.8 6.9 8.2 4 4 6.6 3 9 3 2 6.51-6.99...................................... 4.8 7.1 14.0 15.6 11.8 17.0 6.7 10.6 3.4 6.2 2*5 32 7.00........................................ 3.8 5.0 10. 6 12.1 8,8 10.4 6.2 6 5 3 1 6 1 1 6 2 5 Over 7.00..................................... 5.4 6.5 20.8 26,0 14.8 18.9 8.5 10.6 4.'9 5.6 L7 I .'7 Total................................. 100.0 100.0 100.0 100.0 100.0 100.0 100,0 100.0 100,0 100.0 100,0 100.0 Total loans: Dollars (millions)................ 4,441.0 3,790,8 63,6 56.2 500.8 435.0 991.8 858.5 576.6 549.2 2 308 1 1 891 8 Number (thousands)................ ' 40.3 ' 35.9 16.8 15.5 16.4 14.3 5.2 4.5 1 .0 .9 ’ 1’6 ’ .8 Center Weighted average rates (per cent per annum) 35 centers..................................... 5.95 6.13 6.61 6,73 6.48 6.63 6.16 6.33 5.88 6.13 5.73 5.90 New York City........................ 5.67 5.86 6.41 6.55 6.28 6.49 5.88 6.08 5,66 5.89 5.59 5.77 7 Other Northeast................... 6.32 6.45 6,61 6.75 6.70 6.85 6.48 6.57 6. io 6.39 6.00 6.09 8 North Central*..................... 5.91 6.11 6.64 6.80 6.44 6.65 6.13 6.39 5.89 6.17 5.75 5.92 7 Southeast............................... 5.94 6.08 6.44 6,58 6.22 6.32 5.95 6.06 5.71 6.03 5.74 5.84 8 Southwest............................ 6.04 6.18 6.63 6.65 6.37 6.50 6.12 6.27 5.97 6.13 5 81 5 95 4 West Coast........................... 6.08 6.29 7.14 7.26 6.86 6.90 6.32 6.49 6.03 6.27 5.78 6.03 Note.—Beginning Feb. 1967 the Quarterly Survey of Interest Rates on I960—Aug, 23 414 1967—Jan. 26-27 5U-554 Business Loans was revised. For description of revised series see pp. 721­ 1965—Dec. 6 5 Mar. 27 554 27 of the May Bulletin. 1966—Mar. 10 554 Bank prime rate was 5 per cent during the period Jan. 1, 1960-Aug. June 29 554 22, 1960. Changes thereafter to new levels (in per cent) occurred on the Aug. 16 6 following dates; Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 INTEREST RATES 1393 MONEY MARKET RATES (Per cent per annum) U.S. Government securities (taxable) 4 Finance Prime co. Prime Period m coml. d p i p r l a e a p c c e t e l r d y , b a a a c n n c c k e e e p s r t , s ­ ’ F f r e u a d t n e e d r s a 3 l 3-month bills 5 6-month bills 5 9- to 12-month issues 3- y t e o a r 5 months 1 m 3 o - n to th 6 s - 2 90 days 1 n R ew at e is o su n e M y a ie r l k d et n R ew at e is o su n e M y a ie r l k d et B k i e ll t s y ( i m el a d r ) ­ s Other « issues 7 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—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 4.4! 4.27 3.94 3.640 3.60 3.808 3.80 3.88 4.09 4.68 June................. 4.65 4.40 4.40 3.98 3.480 3.53 3.816 3.88 4.16 4.40 4.96 July................. 4.92 4.70 4.58 3.79 4.308 4.20 4.798 4,72 4.90 4.98 5.17 Week ending— 1967—July 1........... 4.73 4.48 4.60 4.07 3.462 3.74 3.950 4.17 4.63 4.72 5.19 ' 8.......... 4.84 4.50 4.69 3.73 4.280 4.20 4.716 4.62 4,84 4.99 5.22 15.......... 4.88 4.75 4.50 3.98 4.285 4.17 4,688 4.67 4.84 4.90 5.14 22........... 4.93 4.75 4.50 3.54 4.245 4.19 4.745 4.76 4.89 4.95 5.16 29.......... 5.00 4.75 4.63 3.93 4,423 4.24 5.044 4.82 5.00 5.06 5.18 1 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. s 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 (long­ Total ‘ term) Total i 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 fe P r 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 6.72 1966 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 Aug.................................... 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 Nov............... 4.74 4.0! 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 June................................... 4.86 4.02 3.80 4.31 5.75 5.44 6.15 5.64 5.80 5.80 5,30 3.19 July..................................... 4.86 4.11 3.86 4.43 5.86 5,58 6.26 5.79 5.88 5.91 5.34 3.15 Week ending— 1967—,ju|y ।............................. 4.95 4.12 3.85 4.45 5,82 5.56 6.21 5,72 5.88 5.88 5.35 3.20 ' 8 ........................... 4.89 4.12 3.85 4.45 5.86 5.59 6.27 5.77 5.90 5.91 5.35 3.20 15 ........................... 4.80 4.13 3.87 4.46 5,86 5.59 6.26 5.79 5.89 5.90 5.32 3.17 22.............................. 4.84 4.09 3.85 4.40 5.85 5.56 6.26 5.80 5.86 5.90 5,31 3.12 29 ........................... 4.90 4.09 3.85 4.40 5.86 5,57 6,27 5,81 5.85 5.91 5.37 3.11 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

1394 SECURITY MARKETS AUGUST 1967 MORTGAGES: NEW AND EXISTING HOMES SECURITY PRICES (Per cent) Bond prices Common stock prices Vol. (per $100 bond) (1941-43= 10) ume Contract interest rate on of Period o i n n Y s F i u e H r l e d A d - F c H o A nv s e e n r t i i e o s nal first F m H o L r B tg B a g s e e s ries Period ( G t l U e o o r . n m S v g t . ) , ­ S l a o t n a c d a te l A C p a A o o te r r A ­ ­ Total d t I r u n ia s ­ l ­ R ro a a i d l­ P u i l u t t i i y c b l ­ ­ ( s t t h r h i a a n o d r g u e ­ s 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 86.1 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—July.. 77.62 100,9 86.0 85.84 91.95 45.50 67.30 5,997 1964.................. 5,45 5,80 5.85 5.78 5.92 Aug.. 77.02 97.7 84.1 80.65 86.40 42.12 63.41 7,064 1965.................. 5,47 5.83 5.89 5,76 5.89 Sept.. 77.15 98.5 82.6 77.81 83.11 40.31 63.11 5,722 1966.................. 6. 38 6.40 6.47 6.11 6.24 Oct.. . 78,07 100.5 83.5 77.13 82.01 39.44 65.41 6,971 Nov... 77.68 101.0 83,5 80.99 86.10 41.57 68,82 7,297 1966—May.... 6.32 6.30 6.35 6.02 6.16 Dec... 78.73 102,4 83.0 81.33 86.50 41.44 68,86 7,883 June.... 6.45 6,40 6,50 6.07 6.18 July....... 6.51 6.45 6,55 6.12 6,24 1967—Jan... 81.54 106.0 85,9 84.45 89.88 44.48 70,63 9.885 Aug....... 6.58 6.55 6.65 6.18 6.35 Feb... 80.73 106,4 86.4 87.36 93.35 46.13 70,45 9,788 Sept....... 6.63 6,65 6.70 6.22 6.40 Mar. . 80.96 105,8 85.6 89.42 95.86 46.78 70.03 10,217 Oct..... 6,70 6,75 6.32 6,49 Apr,.. 80.24 104.9 85.4 90.96 97.54 45.80 71.70 9,389 Nov....... 6.81 6,70 6.75 6.40 6.50 May.. 77.48 101.1 83.4 92.59 99.59 47.00 70.70 9,933 Dec........ 6.77 6.65 6.70 6.44 6.52 June. . 76.37 100,2 81.7 91 .43 98.61 48.19 67,39 9,666 July. . 76.39 99.3 81.1 93.01 100,38 49.91 67.77 10,834 Dec.1... 6.77 6.65 6.70 ‘6.49 ‘6.55 Week 1967—jan......... 6.62 6.60 6.65 6.47 6,54 ending—■ Feb........ 6.46 6.50 6.55 6.44 6.49 Mar....... 6.35 6.45 6.50 6.41 6.44 1967 Apr........ 6.29 6.40 6.45 6.37 6,36 May. . • • 6.44 6.45 6.50 6.28 6.31 July 1.........7.5.44 98.8 81.3 91.15 98.36 48.27 66.71 8,986 June.... 6.51 6.50 6.50 6.29 6.30 8.......... 76.06 98.8 81.1 91.32 98.47 48.74 67,18 9.203 July. . . . 6.53 6.50 6.55 15.......... 77.00 99.1 81,0 92.42 99.71 49.63 67.52 11,477 22.......... 76.63 99.7 81.1 93.56 100.99 50.15 68.06 11,639 29.......... 75.91 99.7 81.1 94.07 101.57 50.73 68.15 10,792 i New FHLBB series. Note.—Annual data are averages of monthly figures. The Note.-—Annual data are averages of monthly figures. Monthly and weekly FHA data are based on opinion reports submitted by field offices data are averages of daily figures unless otherwise noted and are computed as on prevailing conditions in their localities as of the first of the follows: U.S. Govt, bonds, derived from average market yields in table at bottom of succeeding month. The yields are derived from weighted aver­ preceding page on basis of an assumed 3 per cent, 20-year bond. Municipal and ages of private secondary market prices for Sec. 203, 30-year corporate bonds, derived from average yields as computed by Standard and Poor’s mortgages with minimum downpayments and an assumed pre­ Corp., on basis of a 4 per cent, 20-year bond; Wed. closing prices. Common payment at the end of 15 years. Gaps in the data are due to stocks. Standard and Poor’s index. Volume of trading, average daily trading in periods of adjustment to changes in maximum permissible con­ stocks on the N.Y. Stock Exchange for a 5^-hour trading day. tract interest rates. The FHA series on average interest rates 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. 1411. 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—■ Cus­ firms secured by— chasing or carrying— tomers’ Month Total net securities free o U t . h S e . r G t o h v an t. U.S. Other U.S. Other U.S. Other securities c b re a d l­ it se G cu o r v it t i , e s securities se G cu o r v it t i es securities se G cu o r v it t i , e s Total Customer Other ances collateral collateral 1964—Dec........ 7,053 21 5,079 72 1,974 222 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—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. 2,078 May. ... 8,085 40 5,926 68 2,159 n.a. n.a* n.a. n.a. 2,220 June.... 8,333 29 6,166 70 2,167 n.a. n.a. n.a. n.a. 2,243 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—i.e., all ac­ cols for last Wed. counts of one customer are consolidated. Money borrowed includes Net 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 Tree 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

AUGUST 1967 OPEN MARKET PAPER; SAVINGS INSTITUTIONS 1395 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 Banks Im­ Ex­ shipped between Total th P r la o c u e g d h P di l r a e c c e t d ­ Others p in o t r o ts f p r o o r m ts Do e l x la ­ r points in— dealers 1 ly 2 Total O bi w ll n s bo B u il g ls h t Own F ei o g r n ­ U S n ta i t t e e s d U S n ta it t e e d s change United Foreign acct. corr. States countries I960..................... 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,’O88 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 ..................... 9,058 1'903 7,155 3,392 1,223 1,094 129 187 144 1,837 792 974 27 35 1,564 1966—June.......... 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 5! 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 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 10J90 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 1,028 331 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 16^249 4,356 1/893 3,830 1,356 1,128 229 166 272 2,035 971 971 55 59 1 ,773 May.......... 17,067 4,713 12,354 3,964 1,339 1,147 192 70 348 2,207 949 998 38 46 1,933 June.......... 16,150 4,934 11,216 4,131 1,361 1,191 170 136 379 2,254 I ,001 I ,007 45 39 2,038 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— End of period M ga o g r e t­ Other G U o .S vt . . S l a o t n c a d a te l C r a o a n r t p d e o ­ Cash O as t s h e e ts r g l T e i a a t n o i n b e e t d i r s a l a l i l ­ D i e ts p o 2 s­ l O ia t t i b h e i s e li r ­ G r c e o e s a u e n c r n e ­ v r t e s a l c M om or m tg i a tm ge e n lo ts a n 3 govt. other 1 reserve accts. NumberAmount 1941............................. 4.787 89 3,592 1 T 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—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 5’101 280 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 ’007 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 54,178 l,’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 91^634 2,072 Dec................... 47,193 1,078 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 Mar............ 47,973 1 J 36 4,645 246 6,480 1'140 1,081 62,701 56,538 1 ’249 4,914 91,125 2,289 Apr........... 48,236 1 ;075 4,481 243 6,803 1,069 1 ’076 62,982 56,739 1,381 4,863 88,295 2,242 May................ 48,493 1,261 4,433 235 7,062 1,095 1'074 63'654 57,184 1'546 4,923 92'754 2’495 June.................. 48^765 1 ;235 4,'336 251 7,335 1,126 1'103 64,151 57.834 1,387 4,931 104,'123 2,723 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. 1381. from those shown elsewhere in the Bulletin; the latter are for call 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

1396 SAVINGS INSTITUTIONS AUGUST 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 1,738 1960........................................ 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 5,683 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—May.......................... 162,152 11,331 5,014 3,291 3,026 67,389 60,044 7,345 62,110 4,740 8,062 8,520 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 Apr............................. 170,570 10,622 4,700 3,026 2,896 70,271 62,360 7,911 66,024 4,940 9,537 9,176 May............................. 171,238 10,655 4,746 3,015 2,894 70,610 62,607 8,003 66,253 4,952 9,615 9,153 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 all 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 End of assets2— loan period M gag o e r s t­ s G e U c o . u v S r t . i , ­ Cash Other 1 lia T b o il t i a ti l e s 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 e m n m ts i 4 t­ ties profits 1941.................... 4,578 107 344 775 6,049 4,682 475 256 16 1945.................... 5'376 2,420 450 356 8 747 7,’365 644 336 402 [960.................... 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 1,550 1,136 1’908 1962.................... 78’770 5,563 3,926 5,346 93,605 80,236 6,520 3,629 1’999 1^221 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—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 85! 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 lib 606 9^611 7'697 1,642 2'675 1,843 Oct,.......... 113,998 7'626 2,682 8'582 132,888 111,550 9,01 8 7,749 1’493 3,078 1'689 Nov......... 113’977 7'927 2’856 8’817 133’577 112,164 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 IJ 483 ]967_ 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 ,’902 114^698 8^050 3'542 8,735 135 025 116,300 9,061 5,435 1,345 2,884 2,254 Apr.......... 115,138 7,941 3,635 8,915 135’629 116,797 9,058 5,022 1,483 3,269 2^695 Mayr.... I15;8O3 8,064 3,855 9,366 137,088 117,927 9,050 4,623 1,690 3,798 3',079 June........ 116,846 7,976 3,999 9,236 135,057 119,841 9,277 4,553 1,901 2,485 3,239 1 Includes other loans, stock in the Federal home loan banks, other 4 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

AUGUST 1967 FEDERALLY SPONSORED CREDIT AGENCIES 1397 MAJOR BALANCE SHEET ITEMS OF SELECTED FEDERALLY SPONSORED CREDIT AGENCIES (In millions of dollars) Federal home loan banks Federal National Assets Liabilities and capital (s M ec o o o r p n t e d g r a a a r g t y e i o m n A a s s ) r s k n e , t coo B p f a e o n ra r k t s iv es i c n re t F e d r e i m t d e e b r d a a i n l a k te s F b e l a a d n n e k d r s a l End of period v m b a A t n e e o d r m c 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 t d e 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 s t ­ D n t a e u ( o n L b 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 d a ( o u A n i a s n d n ) ­ t s s D t e u (L b re ) e s n­ M l g o ( a A a o g n r ) e s t ­ 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 I960............. 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 2'453 697 435 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 41363 1,151 1,171 2’000 1 '788 840 589 2,099 1 '952 3’310 2^834 1964............ 5'325 1 ,523 141 4,'369 1,199 1,227 1 '940 1,601 958 686 2,247 2,112 3,718 3^69 1955.............. 5’997 1'640 129 5*221 1^45 1’277 2,456 1'884 1,055 797 2^516 2,335 4’281 3 710 1966—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—Jan.. . 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 1,114 3,301 3,086 5,175 4,450 May.. 4,421 4,004 93 5,050 1,831 1,392 4,455 3,938 1,316 1,101 3,423 3,186 5,248 4,611 June.. 4,302 3,738 95 4,577 1,927 1,392 4,450 4,078 1,296 1,042 3,545 3,297 5,303 4,611 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, JUNE 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 loan banks Federal National Mortgage Federal land banks—Cont. Bonds: Association—Cont. Bonds: July 26.1967........................5% 535 De bentures; July 20. 1967.....................605 302 Aug. 28, 1967........................ 590 June 12, 1973....................41/4 146 Oct. 21, 1967.....................4ft 179 Sept. 15, 1967........................414 185 Feb. 10, 1977.....................414 198 Oct. 23, 1967.....................4ft 174 Sept. 27, 1967........................6% 650 Oct. 23 1967.....................5ft 150 Oct. 26, 1967...........................6 700 Dec. 20, 1967.....................5ft 329 Nov. 27, 1967............................6 500 Ian. 22, 1968.....................Sft 161 Jan. 25, 1968........................5% 250 Banks for cooperatives Mar. 20, 1968.....................4ft 111 Mar. 1, 1968........................43/8 250 Debentures: May 20, 1968.....................5ft 242 Apr. 25, 1968......................5% 625 Aug. 1, 1967.....................5.15 288 June 20, 1968......................4 186 Mar. 25, 1969........................5% 300 Oct. 2,1967....................4.50 243 Aug. 20, 1968.....................4ft 160 Nov. 1, 1967....................4.30 '258 Jan. 20,1969....................4ft 341 Dec. 4,1968....................4.30 252 Mar. 20, 1969...................4ft 100 July 15, 1969...................4ft 130 July 15, 1969...................4ft 60 Oct. 20, 1969...................4ft 209 Federal National Mortgage Associa­ Feb. 20, 1970...................5ft 82 tion—’Secondary market opera­ Federal intermediate credit banks Apr. 1, 1970...................3’4 83 tions Debentures; July 20, 1970...................5ft 85 July 3, 1967...................6,20 237 May 1,1971.....................3ft 60 Discount notes................................. 941 A Se u p g t . . 1 5 , , 1 1 9 9 6 6 7 7 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .5 6. . 0 9 5 5 ' ' 3 3 2 0 9 2 S F e e p b t . . 2 1 0 5 , , 1 1 9 9 7 7 2 3 . - . 7 .. 8 .. . . . . . . . . . . . . . . . . . . . . . . . . . .3 4 f ’4 t 1 1 0 4 9 8 Oct. 2, 1967....................5.60 '377 Feb. 20, 1974...................44 155 Debentures: Nov. 1,1967....................5.15 465 Apr. 21, 1975...................4ft 200 Oct. 11,1967.......................4’4 150 Dec. 4,1967.....................5’/8 404 Feb. 24, 1976....................5 123 Mar. 11, 1968.......................3ft 87 Jan. 2, 1968....................4.45 413 July 20, 1976...................5% 150 Sept. 10, 1968.......................5% 350 Feb. 1,1968...................4.40 397 Apr. 20, 1978...................Sft 150 Apr. 10, 1969.......................4% 88 Mar. 4, 1968...................4.50 375 Jan. 22, 1979...................5 285 July 10,1969.......................5% 250 Dec. 12, 1969.......................6 550 Tennessee Valley Authority Apr. 10, 1970.......................4% 142 Federal land banks Short-term notes..................... 200 Sept. 10, 1970.......................4ft 119 Bonds: Bonds: Aug. 10, 1971.......................41/s 64 Feb. 15, 1967-72.............4’4 72 Nov. 15, 1985..................4.40 50 Sept. 10, 1971.......................4^ 96 July 20, 1967..................6.05 302 July 1, 1986...................4ft 50 Feb. 10, 1972.......................51/8 98 Aug. 21, 1967....................4ft 179 Feb. 1, 1987...................4ft 45 June 12, 1972.......................4ft 100 Oct. 1, 1967-70..............414 75 May 15, 1992..................5.70 70 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

1398 FEDERAL FINANCE AUGUST 1967 FEDERAL FISCAL OPERATIONS: SUMMARY (In raillions 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. 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 un r lu u d s s s : t 3 A m L d e e j n s u t s s s : t ^ ­ E p T q a o u y t a t a s l l . s : pa o y r t s. C & (d d h a i e i a r g n b n e e c t g n t e , ) a I t g n L r e v u b e n e y s s . s s t s : t & , L N c d a e e o s s b n s h t : ­ Eq N u e a t ls: 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—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 1967?........ 115,794 44,632 6,056 153,533 125,732 34,493 4,929 155,296 -1,763 6,742 10,851 -314 -3,795 Half year: 1965—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 1967—Jan.-June’1.... 66,609 25,322 3,643 87,852 61,669 16,866 3,324 75,211 12,641 -4,300 7,481 -527 -11,254 Month: 1966—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—Jan................... 9,386 2,612 684 11,251 9,987 2,673 1,019 11,641 -390 -374 -477 -249 351 Feb.......... 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 Apr.................. 13,534 3,850 233 17,070 9,464 2,789 1,063 11,189 5,881 -3,708 -329 -77 -3,302 May................ 6,289 5,367 303 11,295 10,915 2,897 -634 14,445 -3,150 3,372 4,213 -25 -816 June?.............. 18,249 5,254 I ,982 21,438 10,145 3.426 655 12,916 8,522 -4,963 1,343 -110 -6,197 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 Change Operating bal. s B d u u e 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 ss s u e a o a c r f k n . 3 e ce t i I n G n s e v o U c e v . . s t S 3 t , , . p d g d u i r i e r b o n e b l s 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 u cc r r e e o a r u ’ s n s ­ t Balance B F a . n R k . s a l T a c o n c a a d t x n s . O as n t s h e e t e t s r Fiscal year—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 41077 -3*562 2,633 132 -203 12,407 766 io;oso 1,591 1967?.... — 9,938 10,139 -813 428 — 10,851 6,314 -73 -4,648 7,759 1,311 4,272 2,176 Half year: 1965—July-D ec......... -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 5^25 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 1967—Jan.-June?.... 4,'940 8,456 ’208 -1,202 -7’, 481 -3,'098 76 1’748 ?;?59 1,311 4,272 2,176 Month: 1966—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 May............... -4'626 2’471 -912 285 -4,213 3,'087 -649 -3,259 5'626 574 3,469 1,583 June?.............. 8,104 1,828 -1,217 -296 -1,343 -4^67 275 2J33 7,759 1,311 4,272 2,176 1 Primarily interest payments by Treasury to trust accounts and accumu­ 6 Seasonally adjusted data include accelerated corporate tax payments lations to U.S. employee trust funds. in 1965 and 1966; data for 1966 also include adjustments for initiation of 2 Includes small adjustments not shown separately. graduated withholding of personal income taxes and change in schedule 3 Includes net transactions of Govt.-sponsored enterprises. for depositing withheld and OASI taxes. * Primarily (1) intragovt, transactions, (2) noncash debt, (3) clearing accounts. Note.—-Based on Treasury Dept, and Bureau of the Budget data. 5 Includes technical adjustments not allocated by functions. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 FEDERAL FINANCE 1399 FEDERAL FISCAL OPERATIONS: DETAIL (In millions of dollars) Cash receipts from the public Income taxes Excise taxes Social ins. taxes Period Total W I i n th d ­ ivid O ua th l er Co ra r t p e o­ Total a L b n i a q d c u c t o o o r ­ H w ig ay h­ Total F R a I n . C R d A . e U m n p - l. E a g s n t if a d t t e t C o u m s s ­ r m e a I p e n n a n t d . y t s ­ fu R n e d ­ s Other held Fiscal year—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 1967?.. 153,533 50,477 18,848 34,915 14,130 n.a. 4,652 32,854 28,695 3,656 3,001 1,972 2,721 9,581 4,196 Half year: (965—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 c13,789 C11,969 C1 ,569 1,258 1,017 1,493 1,142 "1,835 1967—Jan.-June". 87,852 25,836 14,865 22,870 7,368 n.a. 2,339 19,065 16,726 2,087 1,743 955 1,228 8,439 2,361 Month: 1966—June...... 20,391 4,726 2,569 8,251 1,149 578 361 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........... 11,764 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 "1,761 "1,673 52 204 161 536 168 "387 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 3,301 820 224 134 187 550 227 Mar........... 14,490 4,157 859 6,728 1,539 448 603 2,473 2,366 61 270 170 178 2,204 320 Apr........... 17,070 3,591 6,216 4,295 1,023 476 326 3,340 3,168 138 352 150 227 2,322 198 May.......... 11,295 4,987 701 1,065 1,274 591 355 4,587 3,669 874 445 166 207 2,392 255 June*". .... 21,438 4,160 3,070 9,324 1,309 n.a. 348 2,697 2,610 49 182 176 211 847 1,156 Cash payments to the public Period Total 5 t f i N e d o n e n a s ­ a ­ e l af I f n a t i i r , s s S e p r a e a r ­ c ce h A t c u g u r r e l­ i­ so N u u r r r e a a c ­ t l e ­ s t m C ra a e o 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 H w ab e e o l a f r l a , t r h e & , 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—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 1967?.. . . 155,296 71,726 4,454 5,426 4,203 3,528 7,197 -1,804 38,997 3,291 7,012 10,373 2,643 Half year: 1965—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 "2,235 3,094 "803 "1,464 "2,829 "2,271 "16,873 2,072 "2,968 4,856 1,146 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 1967—Jan.-June?... 75,210 37,879 1 ,997 2,570 568 1,525 2,825 -3,603 20,809 1,534 3,541 5,744 1,262 Month: 1966—June.......... 12,052 6,410 "365 571 "-245 "245 "274 "29 2,908 370 "352 604 139 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 May.............. 14,445 6,293 335 441 499 283 560 -534 3,522 496 614 1 ,752 239 June?............ 12,916 6,169 423 427 -192 265 392 -195 3,402 297 497 703 233 1965 1966 1967 1965 1966 1967 Item in IV I II III IV I II? III IV I II III IV I II? Seasonally adjusted Not seasonally adjusted Cash budget: Receipts................. 30.6 30.7 33.7 639.6 36.3 36.8 38.8 41.4 29.2 25.8 33.3 46.2 34.6 31.1 38.0 49.8 Payments............................. 32.1 33.1 36.9 36.0 40.0 37.8 39.1 38.3 33.1 34.0 34.6 36.2 41.3 38.8 36.7 38.6 Net.................................... -1.5 -2.4 -3.2 3.7 -3.7 -1.0 -.3 3.1 -3.9 -8.1 -1.3 10.0 -6.7 -7.7 1.4 11.3 For notes see opposite page. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1400 U.S. GOVERNMENT SECURITIES AUGUST 1967 TOTAL DEBT, BY TYPE OF SECURITY (In billions of dollars) Public issues 3 End of period d T g e r o b o t t s a s l 1 d T g i r o r o e t s a c s l t Marketable C ve o r n t­ ­ Nonmarkctable i S s p su e e c s ia l 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 I960—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—July................................... 319.8 319.2 264.2 209.1 54.9 1.7 50.7 101.9 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 June.................................. 326.7 326.2 266.1 210.7 58,5 5.6 49.1 97.4 2.6 52.9 51.2 56.2 July.................................... 331.2 330.6 270.9 215.0 62.8 5.6 49,1 97.4 2.6 53.4 51.3 56.2 J Includes non-interest-bearing debt (of which $262 million on July 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 $19,626 million on June 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. 5 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 n u . 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 M s b av a u n i t n u k g a s s l p I c a n a o n s n 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 l a o o t n c a v d a t t e s 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 n t o e e d i n r g ­ a n l 1 i O m t n o v t i r h 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 1960—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 It. 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—-June.............. 320.4 66.7 42.2 211.5 r54.8 5.1 9.7 13.9 24.5 49.8 24.1 15.4 '■14.2 July................ 319.8 66.4 42.4 211.0 r53.8 5.0 9.7 14.2 r24,7 49.9 '24.1 15.3 '14.3 Aug............... 324.9 69.3 42.5 213.1 r55.O 5.0 9.7 14.3 '24.4 49.9 '24.7 15.4 '14.6 Sept............... 325.3 69.2 42.9 213.2 r54.8 5.0 9.7 13.5 24,2 49.9 25.8 15.2 r15.0 Oct.......... 327.4 68.0 43.0 216.4 r55,3 4.8 9.6 14.9 24.2 49.9 26.2 15.2 '16.1 Nov,............. 329,9 68.9 43.9 217.1 '55.5 4.8 9.7 16.0 24.1 50.1 '25.9 ’•15.4 '15.7 Dec................ 329.8 68.8 44.3 216,7 '57.5 4.7 9.6 14.7 23.8 50.2 25.4 14.5 '16.4 329.4 68.2 43.5 217,7 '57.6 4 5 9.5 14.9 23.4 50.1 25.8 14.0 '17.7 Feb................ 330,1 69.6 44.0 216.6 r57,2 4.6 9.3 15.0 23.7 50.3 25.3 14.1 ’•17.1 Mar.............. 331.5 70.7 44.9 215.9 '57.8 4.5 9.2 14.1 23.5 50.4 25,5 14.5 '16.5 Apr................ 328.3 70.4 45.5 212.5 '56.9 4.3 9.0 12.9 '23.5 50.5 r24.4 15.0 '16.0 May.............. 331.4 74.6 46.1 210.8 '56.1 4.3 9.0 rl 3.4 '23.1 50.5 □3.8 '15.0 '15,6 June.............. 326.7 75.8 46.7 204.2 55.1 4.2 8.7 11.3 22.3 50.6 22.8 14.7 14.6 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

AUGUST 1967 U.S. GOVERNMENT SECURITIES 1401 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 r s y 5 e - a 1 r 0 s 1 y 0 ea -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—May 31......................................................... 216,650 95 524 64 067 31*457 70 238 25*641 8*426 16 819 210,672 89^648 58'-53 5 31J13 71 424 24*378 8 425 16 797 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 3161 3 350 2 073 3 466 1966—Dec. 31................................................ 14,591 2 786 1 573 1 213 3*721 2512 2*093 3 479 1967—May 31.................................... 17’232 4 396 3 534 *862 4 636 2*581 2*111 3 509 June 30 ................................................ 17,450 4^656 3*778 878 4*651 2 518 2* 112 3 512 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 I ’449 147 238 1966—Dec. 31................................................ 44,282 35 360 12,296 23*064 7*502 1 *007 153 260 1967—May 31................................................. 46 066 31 396 1 3 709 17'687 13*216 *964 167 324 June 30................................................ 46,718 3^781 14^088 17^693 13,’407 1 014 174 342 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 iV 184 1967—May 31................................................. 153,352 59 732 46*824 12*908 52 386 22 096 6* 148 12 986 146,504 53,211 40 ,'669 12*542 53,366 20*846 6*139 12’943 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 10156 7*847 19 *676 11 ’640 334 671 (966—Dec. 31......................................... 47,182 15 838 8,771 7 067 21 112 9*343 435 454 1967—May 31......................................... 46,325 12 074 6 455 5*619 24 475 8 ’ 827 444 506 June 30......................................... 45,525 11,247 5,844 5^403 24 919 8302 448 509 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 11482 1'139 276 *990 1967—May 31.......................................... 4 J 49 508 301 207 1 514 *874 283 970 June 30............................. 4,046 438 241 197 U536 837 283 952 Insurance companies: 1964—Dec. 31......................................... 9,160 I 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—May 31......................................... 7,601 581 337 244 1,929 1 ’ 374 1 077 2*640 June 30......................................... 7,407 405 189 216 1 ,981 1 302 1,078 2^641 Nonfinancial corporations: 1964—Dec. 31......................................... 9,136 6,748 5 043 4 705 2,001 272 3 112 1965—Dec. 31............................ 8,014 5 911 4 657 1 254 1,755 775 35 89 1966—Dec. 31......................................... 6,323 4,729 3^396 L333 1,339 200 6 49 1967—May 31.......................................... 5,481 3 958 3 256 ’702 1,309 160 6 47 June 30......................................... 4,022 2,636 1,900 736 1,194 141 5 45 Savings and loan 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—May 31......................................... 4,020 842 619 223 1,438 997 266 477 June 30......................................... 3^964 699 456 243 1,545 972 269 479 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—May 3t......................................... 15,129 5,983 5,050 933 2,177 1,319 I ,700 3,950 June 30................................ 14^835 5,623 4,700 923 2; 262 1,240 1^693 4,017 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—May 31......................................... 70,647 35,786 30,806 4,980 19,544 8,545 2’372 4,396 June 30........................................ 66,706 32,163 27,339 4,824 19'929 7,952 2^63 4,300 Note.—Direct public issues only. Based on Treasury Survey of about 90 per cent by the 5,886 commercial banks, 503 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

1402 U.S. GOVERNMENT SECURITIES AUGUST 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 Within 1-5 5-10 Over Dealers and brokers Com­ All securities 1 year years years 10 years U.S. Govt, Other m b e a r n c k ia s l other securities 1966—-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.............................. rl ,786 1,497 189 62 38 573 78 721 413 175 Sept.............................. 2'004 1,682 198 82 43 ^741 101 730 '431 170 Oct................................ 2,329 2,019 192 82 35 782 93 915 538 180 Nov........................... 2’339 1,864 334 118 24 849 94 896 501 204 Dec............................... 2,712 2,059 427 160 66 1 , H4 121 978 500 232 1967—Jan............................... 2,266 1,827 288 102 49 912 110 791 453 281 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’ Hl 1 ,’738 262 82 28 ’’813 76 746 475 222 May............................. 2^075 1,636 332 77 30 784 63 720 507 188 June................... 1,802 1 ,502 226 52 23 659 56 621 466 199 Week ending— 1967—June 7....................... 1,711 1,490 163 39 19 623 49 587 452 147 14....................... 1,485 1,206 210 56 13 570 56 476 382 155 21....................... 2',027 1 ,648 277 74 28 727 67 679 554 311 28....................... 1 '879 1 '564 242 43 31 702 50 676 451 182 July 5....................... 1,943 1,682 210 35 16 605 51 674 613 175 ' 12....................... 2,615 2’333 201 58 22 948 67 966 633 209 19....................... 1 ,'790 1,593 136 39 23 588 52 633 517 292 26....................... 1 ; 831 1,630 136 43 23 685 60 625 461 214 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 Commercial banks U.S. Period mat A ur ll i ties W 1 y it e h a in r y 1 e - a 5 r s 5 O y v e e a r r s se a G c g u e o r n v i c t t i y . e s Period sou A r l c l es Y N o e r w k w E h ls e e r ­ e C t o io rp ns o r 1 a­ o A th l e l r City 1966—June........ 1,548 1,353 92 102 666 July......... 1,681 1,587 49 45 408 1966—June.......... 2,065 523 476 796 270 Aug. 2’188 2,001 181 6 208 July........... 2 J 27 623 481 737 287 Sept......... 2'229 2,043 108 78 269 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 Dec.......... 4 J58 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 1 ,565 1,678 983 700 Mar......... 4,084 3,'362 475 248 415 Feb............ 4’530 1,391 1’331 1,069 740 Apr......... 3'902 3,296 382 223 450 Mar........... 4,298 1,289 1,461 825 723 May........ 3,375 2,503 744 ri 29 371 Apr.. 4 J 62 1 ',093 l ,576 829 664 June........ 2,869 2,389 406 74 314 May.......... 3,612 935 1,156 764 757 June.......... 3,262 1,121 984 665 492 Week ending— Week ending—■ 1967—May 3 . . 3,624 3,120 315 189 416 10. . 3,428 2,346 932 151 325 1967—May 3... 3,656 976 1,256 718 706 17. . 3,402 2,448 824 129 322 10. 3,927 960 1,264 680 1,024 24. . 3,077 2,214 766 97 409 17. 3,794 975 1,177 734 907 31 . . 3,504 2,780 629 83 427 24. 3,350 864 1,130 865 491 31 . .. 3,338 888 1,025 819 605 June 7. . 3,500 2,829 574 97 355 14. . 3,830 3,184 531 114 305 June 7 . .. 3,744 1,204 1,197 849 494 21 . . 2,914 2,444 406 63 312 14. . . 4,068 1,513 1,338 7H 506 28. . 1,757 1,500 218 38 291 21 . 3,676 1 ,518 1 ,020 579 559 28... 1,951 436 514 554 447 Note.—The figures include all securities sold by dealers under repur­ chase contracts regardless of the maturity date of the contract, unless the J 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 nonbank 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

AUGUST 1967 GOVERNMENT SECURITIES 1403 U.S. GOVERNMENT MARKETABLE AND CONVERTIBLE, JULY 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. Aug. 3, 1967, 2,303 Jan. 18, 1968....... 1,001 Oct. 1, 1969...........1U 159 Oct. 1, 1969..........4 6,252 Aug. 10, 1967, 2,301 Jan. 25,1968 1 ,000 Apr. 1,1970...........1U 88 Feb. 15, 1970..........4 4,381 Aug. 17, 1967, 2,302 Jan. 31,1968 1,401 Oct. 1,1970...........DA 113 Aug. 15, 1970..........4 4.129 Aug 24, 1967, 2,300 Feb. 29. 1968. 1,401 Nov. 15, 1970...........5 7,675 Aug. 15, 1971..........4 2,806 Aug. 31. 1967, 3,806 Mar. 22, 1968* 2,003 Apr. 1,1971...........114 35 Nov. 15. 1971..........3% 2,760 Sept. 7, 1967, 2,301 Mar. 31. 1968.. 1,400 May 15, 1971...........5% 4,265 Feb. 15, 1972..........4 2.344 Sept. 14, 1967. 2,302 Apr. 22, 1968* 2,001 Oct. 1,1971...........BA 72 Aug. 15. 1972..........4 2,579 Sept. 21, 1967, 2,300 Apr. 30, 1968., 1,402 Nov. 15, 1971...........5% 1 ,734 Auf. 15, 1973..........4 3,894 Sept. 28, 1967. 2,301 May 31, 1968., 900 Feb. 15, 1972...........4% 2,006 Nov. 15. 1973..........4% 4,354 Sept. 30, 1967. 1,400 June 30, 1968., 1,001 Apr. 1,1972...........114 19 Feb. 15. 1974..........4% 3,130 Oct. 5, 1967. 2,302 July 31, (968.. 1,001 May 15, 1972..........4% 5,310 May 15, 1974.........4’4 3,590 O O Oc c c t t t . . . 2 1 1 6 3 9 , , , 1 1 1 9 9 9 6 6 6 7 7 7 , . . 2 2 2 , , , 4 4 4 0 0 0 1 1 2 Ce A rt u if g ic . a 1 te 5 s , 1967. 5% 5,611 Treasury bonds J N M u o n a v y e . 2 1 1 5 5 5 , , , 1 1 1 9 9 9 7 7 7 4 8 5 .. - - . 8 8 .. 3 5 .. . . . . . . . . . 4 3 3 7 % % /» 2 1 1 , , , 2 2 5 4 1 7 7 3 2 Oct. 31, 1967, 1,406 Dec. 15, 1963-68... 2U 1,789 Feb. 15, 1980. 4 2,604 Nov. 2, 1967, 1,000 June 15, 1964-69... 2^ 2,544 Nov. 15. 1980. 1,910 Nov. 9, 1967, 1,000 Treasury notes Dec. 15. 1964-69...2U 2,492 May 15, 1985..........3U 1,120 Nov. 16, 1967. 1,001 Aug. 15, 1967. 33/4 2,093 Mar 15, 1965-70. ,.2W 2,288 Aug. 15, 1987-92... 4% 3,817 Nov. 24, 1967 1,000 Aug. 15, 1967 4% 1,904 Mar. 15, 1966-71... 2!^ 1,226 Feb. 15. 1988-93...4 250 Nov. 30. 1967. 2,401 Oct. 1, 1967, l’A 457 June 15, 1967-72...2U 1,259 May 15, 1989-94... 4% 1.560 Dec. 7, 1967. 1,001 Nov. 15, 1967. 4% 8,135 Sept 15, 1967-72...2>4 1,952 Feb. 15, 1990..........3»4 4,890 Dec. 14. 1967. 1,000 Feb. 15, 1968, 5% 2,635 Nov. 15, 1967........3H 2,019 Feb. 15, 1995..........3 1,884 Dec. 21, 1967 1,000 Apr. 1, 1968, II* 212 Dec. 15, 1967-72... 2U 2,635 Nov. 15, 1998..........3>4 4,380 Dec. 28, 1967 1,000 May 15, 1968 :^ 5,587 May 15, 1968........3% 2,460 Dec. 31, 1967, 1,401 Aug. 15, 1968, 6,444 Aug. 15. 1968........3’4 3,747 Convertible bonds Jan. 4, 1968, 1,000 Oct. 1 1968. 114 115 Nov. 15a 1968........37/8 1 ,591 Investment Series B Jan. 11, 1968 1,000 Apr. I, 1969, ■ 114 61 Feb. 15, 1969........4 3,728 Apr. 1, 1975-80... 2% 2,577 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 Use of proceeds Total amount Period deliv­ Special 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 PHA1 G l U o o a .S v n . t s , State di s a s t n t a r d t i , c t Other2 ered3 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 t s h e r e s ­ r auth. 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 2,68t 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 11,53810,471 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. 11,294 3,738 1,476 1 ,880 533 ............ 3,667 1966—June.... 1,143 587 395 110 51 275 428 440 n.a. I ,141 506 118 200 rH0 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 r79 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 .........1.6..4 1967—Jan........ 1,466 938 502 27 511 331 624 n.a. 1,461 404 218 163 1 675 Feb....... 1,209 912 287 10 257 296 656 n.a. 1,175 464 132 103 476 Mar.. . . 1,440 816 470 117 37 230 565 645 n.a. 1 ,426 410 122 333 126 435 Apr.r... 1,129 849 254 27 180 247 702 n.a. 1,109 458 59 213 10 369 May r... 1,235 755 452 28 313 296 624 n.a. 1,209 482 115 100 11 500 June.... 1,443 820 479 117 27 137 661 646 n.a. 1,443 570 131 210 148 ............ 383 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 Buver data. The principal 3 Excludes U.S. Govt. Ioans. 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

1404 SECURITY ISSUES AUGUST 1967 TOTAL NEW ISSUES (In millions of dollars) Gross proceeds, all issues 1 Proposed use of net proceeds, all corporate issues 6 Noncorporate Corporate New capital Period Re­ Bonds Stock tire­ Total G U o . v S t . .2 G a U c g o y e v S n 3 t . ­ , l S o U a c t n a . a S d t l e . 4 Other 5 Total Total o P f l f i u e cl r b y e ­ d p v l P a a t r c e i e l ­ y d fe P r r r e e ­ d C m o o m n ­ Total Total m N on ew ey 7 O p p o t u s h r e e ­ s r m s ri e o t e c ie f n u s ­ t 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 9,420 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 11,233 1’805 '754 1965................... 40J08 9’348 2^731 11,148 889 15,992 13,720 5,570 8, 150 725 1 '547 15801 14,805 13^063 1,741 996 1966................... 45,015 8,231 6,806 11,089 815 18,074 15,561 8,018 7,542 574 1,939 17’841 17,601 15,806 1’795 241 1966—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 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 3,277 373 239 923 81 1 ,661 1,535 980 555 20 106 1,643 1 ,635 1,363 273 8 5,091 494 1,251 1 ,450 211 1,684 1,593 745 848 51 40 1,669 1,648 1,522 125 21 Feb........ 7,523 4,154 '783 1,159 10 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 Apr. 4,207 393 650 H ,129 41 1 ,994 1,761 1,368 393 143 91 1 ,964 1 ,952 I ,870 82 12 May........ 3; 987 438 810 1,209 26 2,313 1', 346 '965 381 46 111 1 ,478 1'459 1,405 54 19 Proposed uses of net proceeds, major groups of corporate issuers Commercial and Real estate Manufacturing miscellaneous Transportation Public utility Communication and financial 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.............................................. 1,94! 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 2^46 357 847 92 4,128 93 1966.............................................. 6,855 125 1,356 44 1,939 9 3,570 46 1 ,978 4 1 ,902 14 1966-—May.................................. 376 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 15 167 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 4 409 152 42 1967-—Jan.................................... 624 20 103 144 220 293 * 264 1 Feb.............................................. 563 72 * 140 274 105 244 Mar............................................. 1 254 16 112 214 503 145 89 2 Apr................................... 1,123 7 103 4 88 395 1,458 107 137 May................................... 568 1 97 * 201 I 402 ‘ 17 92 .............. 100 * 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. * See Note to table at bottom of opposite page. Note.—Securities and Exchange Commission estimates of new issues 5 Foreign governments, Internationa! 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

AUGUST 1967 SECURITY ISSUES 1405 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 In co ve s s .1 t. Other In c v o e s s .1 t, 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....................... 15,641 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 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 1967—1................. 7,370 2,344 5,025 4,724 1,202 3,522 1,860 786 592 550 1,268 235 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 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 1967—1.................. 1,489 52 130 -6 372 19 642 90 511 97 379 1,251 1 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 ti s o 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—June.. 350 163 186 35,429 2.337 33,092 1956.............. 1'347 433 914 9,046 492 8,554 July... 363 153 210 35.082 2,472 32,610 1957.............. 1,391 406 984 8,714 523 8,191 Aug,.. 357 187 170 32,553 2’657 29,896 1958.............. 1,620 511 1.109 13,242 634 12,608 Sept... 327 145 182 32^23 3’036 29,187 Oct.. . 329 133 196 33,483 3,244 30i239 1959.............. 2,280 786 1,494 15,818 860 14,958 Nov... 295 143 152 34,497 3,206 31,291 1960.............. 2’097 842 1 '255 17jd26 973 16,053 Dec... 300 151 149 34,829 2^71 31^858 1961.............. 2^51 1,160 1’791 22,789 980 21,809 1962.............. 2; 699 1,123 1 '576 21,271 1,315 19,956 1967—Jan.... 391 183 209 37,230 2,869 34,361 Feb... 298 179 120 38,034 2,866 35J68 1963.............. 2,460 1 ,504 952 25,214 1,341 23,873 Mar. . 389 226 163 39,443 2,682 36,761 1964.............. 3’404 1 '875 1,528 29,116 1,329 27,787 Apr.. . 358 214 144 41,191 2; 666 38^525 1965.............. 4’359 1 ^962 2’395 35,220 1,803 33,417 May.. G57 258 99 39,847 2,608 37,’239 1966.............. 4,'671 2,'005 2^665 34’829 2,971 31i858 June.. 375 225 150 40,795 2; 503 38,292 1 Includes contractual and regular single purchase sales, voluntary 3 Cash and deposits, receivables, all U.S Govt, securities, and other and contractual accumulation plan sales, and reinvestment of invest­ short-term debt securities, less current liabilities. ment income dividends; excludes reinvestment of realized capital gains dividends. Note.—-Investment Company Institute data based on reports of mem­ 2 Market value at end of period less current liabilities. bers, which comprise substantially all open-end investment companies registered with the Securities and Exchange Commission. Data reflect newly formed companies after their initial offering of securities. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1406 BUSINESS FINANCE AUGUST 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 11 III IV I Manufacturing Total (177 corps.): Sales..................................... 136,545 147,380 158,253 177,237 196,488 45,637 42,060 46,601 47,778 49,909 46,225 52,576 48,515 Profits before taxes............. 15,330 17,337 18,734 22,046 23,420 6,029 4,717 5,787 6,020 6,460 4,881 6,059 5,154 Profits after taxes................. 8,215 9,138 10,462 12,461 13,244 3,394 2,729 3,270 3,353 3,643 2,845 3,403 2,933 Dividends............................ 5,048 5,444 5,933 6,527 7,205 1,627 1 ,430 2,062 1,570 1 ,754 1,916 1,965 1,680 Nondurable goods industries (78 corps.):1 Sales....................................... 52,245 55,372 59,770 64,897 73,850 16,265 16,408 16,697 17,804 18,555 18,320 19,171 18,756 Profits before taxes............... 5,896 6,333 6,881 7,846 9,107 2,009 2,010 2,017 2,204 2,444 2,305 2,158 2,136 Profits after taxes............... 3,403 3,646 4,121 4,786 5,419 1 ,211 1,219 1,251 1,305 1,427 1,389 1,298 1,312 Dividends...................................... 2,150 2,265 2,408 2,527 2,729 604 613 707 651 682 673 723 732 Durable goods industries (99 corps.):2 Sales...................................... 84,300 92,008 98,482 112,341 122,638 29,372 25,652 29,904 29,974 31,354 27,905 33,405 29,759 Profits before taxes............... 9,434 11,004 11,853 14,200 14,313 4,019 2,707 3,770 3,815 4,020 2,577 3,901 3,018 Profits after taxes................. 4,812 5,492 6,341 7,675 7,824 2,183 1,511 2,019 2,047 2,216 1,456 2,105 1,621 Dividends............................... 2,898 3,179 3,525 4,000 4,476 1,022 817 1 ,356 919 1,072 1 ,243 1 ,242 948 Selected industries: Foods and kindred products (25 corps.): Sales....................................... 13,457 14,301 15,284 16,427 19,284 4,098 4,252 4,217 4,678 4,732 4,782 5,092 5,012 Profits before taxes............... 1 ,460 1,546 1 ,579 1,710 1,912 434 453 439 439 488 504 481 448 Profits after taxes................. 698 747 802 896 1 ,006 225 235 237 230 257 262 257 237 Dividends...................................... 425 448 481 509 564 125 126 133 137 142 139 146 147 Chemical and allied products (20 corps.): Sales....................................... 13,759 14,623 16,469 18,158 19,998 4,544 4,657 4,656 4,885 5,216 4,824 5,063 4,998 Profits before taxes............... 2,162 2,286 2,597 2,891 3,073 766 737 707 760 874 789 650 683 Profits after taxes................. 1,126 1,182 1,400 1,630 1,737 426 411 409 428 480 443 386 391 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 17,828 20,844 4,515 4,381 4,504 4,945 5,114 5,298 5,487 5,390 Profits before taxes............. 1,319 1,487 1,560 1,962 2,619 491 497 522 656 668 631 664 684 Profits after taxes................. 1,099 1 ,204 1,309 1,541 1,846 384 395 400 457 467 479 443 505 Dividends...................................... 566 608 672 737 834 179 183 196 200 221 204 209 232 Primary metals and products (34 corps.): Sales....................................... 21,260 22,116 24,195 26,548 28,572 7,132 6,657 6,167 6,567 7,457 7,309 7,239 6,801 Profits before taxes............... 1 ,838 2,178 2,556 2,931 3,277 861 690 623 682 928 857 810 695 Profits after taxes.................. 1 ,013 1,183 1,475 1,689 1,903 489 397 373 402 537 490 474 401 Dividends.............................. 820 734 763 818 924 199 202 221 216 218 230 260 222 Machinery (24 corps.): Sales....................................... 19,057 21,144 22,558 25,364 30,141 6,415 6,291 6,785 6,985 6,889 7,538 8,729 7,613 Profits before taxes............... 1,924 2,394 2,704 3,107 3,613 800 772 788 894 915 851 953 858 Profits after taxes................. 966 1,177 1,372 1,626 1,880 425 408 410 456 480 444 500 439 Dividends.............................. 531 577 673 774 912 187 188 207 217 225 226 244 231 Automobiles and equipment (14 corps.): Sales....................................... 29,156 32,927 35,338 42,712 43,641 11,466 8,294 12,033 11,718 11,728 8,046 12,149 10,413 Profits before taxes............... 4,337 5,004 4,989 6,253 5,273 1,880 752 1,797 1,779 1,615 313 1,566 1 ,050 Profits after taxes................. 2,143 2,387 2,626 3,294 2,866 1 ,002 428 923 934 893 224 815 583 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................. 572 651 694 816 902 213 206 276 172 259 227 244 121 Dividends.............................. 367 383 438 468 496 118 81 161 113 109 113 161 124 Electric power: Operating revenue................ 13,489 14,294 15,156 15,816 16,908 3,788 3,878 3,997 4,401 4,026 4,236 4,246 4,697 Profits before taxes............... 3,583 3,735 3,926 4,213 4,395 990 1,050 1,000 1 ,215 987 1,153 1 ,041 1,279 Profits after taxes................. 2,062 2,187 2,375 2,586 2,764 602 630 637 758 632 702 673 799 Dividends.............................. 1,462 1,567 1,682 1 ,838 1 ,932 438 357 577 473 486 475 505 518 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 1 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

AUGUST 1967 BUSINESS FINANCE 1407 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 ­ e s P t a r a f o x t f e e i r s t s 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 n a t l i l s p o o u i n w t m a ­ l p ­ Quarter P b t e r a o f x o f e i r t s e s c ta o I x n m e ­ e s P t a a r f o x t f e e i r s t s 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 s o p o u n i w t m a ­ l p ­ ances i ances 1 1959.............. 52.1 23.7 28.5 12.6 15.9 23.5 1965—11.... 75.6 30.9 44.6 19.4 25.2 36.0 I960.............. 49.7 23.0 26.7 13.4 13.2 24.9 III... 75.8 31.1 44.8 20.2 24.6 36.9 IV... 80.8 33.1 47.7 20.9 26.8 37.8 1961.............. 50.3 23.1 27.2 13.8 13.5 26.2 1962........ 55.4 24.2 31.2 15.2 16.0 30.1 1966—1. . . . 83.7 34.5 49,2 21.4 27.8 38,3 1963.............. 59.4 26.3 33.1 16.5 16.6 31.8 IL... 83.6 34.5 49.2 21.6 27.6 38.7 1964.............. 66.8 28.3 38.4 17.8 20.6 33.9 in... 84.0 34.6 49.4 21.6 27.8 39.2 1965............. 76.6 31.4 45.2 19.8 25.4 36.5 IV... 83.9 34.6 49.3 21.2 28,2 39.8 1966.............. 83.8 34.5 49.3 21.5 27.8 39.0 1967—1. . . . 79.0 32.5 46.5 22,2 24.2 40.3 i 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 t966_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 Ill...................... (91.5 431.4 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 i 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 Non­ Mining Railroad Other u P ti u l b it l i i e c s n C i o ca m ti m on u s ­ Other i a ( n r S a n . t u A e) a . l durable 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 1967*....................................... 63.00 14.64 13.30 1.58 1.48 3.94 9.15 18.91 1965—II.................................. 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 (966—[,............................. 12.77 2.87 2.74 .33 .40 .75 1.60 1.26 2.83 58.00 IL................. 15.29 3.51 3.27 .40 .55 1.00 2.09 1.42 3.06 60.10 Ill................................. 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—I.................................. 13.59 3.08 3.02 .32 .41 .70 1.84 1.35 2.87 61.65 H 2............................... 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 i 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

1408 REAL ESTATE CREDIT AUGUST 1967 MORTGAGE DEBT OUTSTANDING (In billions of dollars) AU properties Farm Nontarm Other Multifamily and Mortgage End of holders2 1- to 4-family houses4 commercial properties5 type 6 period h A e o r l l s d l ­ tu F i t i n c i n i o s a a t n l i n s ­ ­ t 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 A e o r l l s d l ­ tu F i t i c n i n i s o a a t n l i n ­ s ­ 1 O h e o t r h l s d e 3 ­ r h A e o r l l s d l ­ Total t F u in t in i s o a t n i n ­ s , 1 O h e o t r h 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 n V 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 20.4 69.4 164.1 1963........... 274.3 217.1 11.2 45.9 16.8 6.2 10.7 257.4 182,2 156,0 26.2 75,3 54.9 20.3 73.4 184.0 1964........... 300.1 241,0 11,4 47.7 18.9 7.0 11.9 281.2 197.6 170.4 27.2 83.6 63,7 19.9 77.2 204.0 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 19.7 81.2 223.8 1966?......... 347,1 280.6 15.8 50.7 23.3 8.4 14.9 323.8 225.1 193.7 31.4 98.7 78.4 20,3 84.0 239.8 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 19.8 77.9 207.9 312.5 252,2 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 hi... 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—1"... 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 IIP.. 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 HIP.. 343.2 277.9 15.2 50.2 23.0 8.4 14.6 320,3 223.1 192.5 30.6 97,1 77,0 20.2 83.4 236.9 IV".. 347.1 280,6 15.8 50.7 23.3 8.4 14.9 323.8 225. 1 193.7 31.4 98.7 ?8.4 20.3 84.0 239.8 1967—1"... 350.6 283,1 16,4 51.1 23.7 8.5 15.2 326.9 227.0 195.1 31.9 99.9 79.5 20.4 84.4 242.5 IIP.. 356.3 1 Commercial banks (including nondeposit trust companies but not 6 Data by type of mortgage on nonfarm 1- to 4-family properties alone trust depts.), mutual savings banks, life insurance companies, and savings are shown on second page following. and loan assns. 2 U.S. agencies are FNMA, FHA, VA, PHA, Farmers Home Admin., Note.—Based on data from Federal Deposit Insurance Corp., Federal and Federal land banks, and in earlier yearn, RFC, HOLC, and FFMC. Home Loan Bank Board, Institute of Life Insurance, Depts, of Agricul­ Other U.S. agencies (amounts small or current separate data not readily ture and Commerce, Federal National Mortgage Assn., Federal Housing available) included with “individuals and others.” Admin., Public Housing Admin., Veterans Admin., and Comptroller 3 Derived figures; includes debt held by Federal land banks and farm of the Currency. debt held by Farmers Home Admin. Data shown have been adjusted to allow for recent revisions by Dept, 4 For multifamily and total residential properties, see second following of Commerce of end-of-year figures on multifamily and commercial page. properties back to 1962. 5 Derived figures; includes small amounts of farm loans held by savings and loan assns. Figures for first 3 quarters of each year are F.R. estimates. MORTGAGE LOANS HELD BY BANKS (In millions of dollars) Commercial bank holdings 1 Mutual savings bank holdings 2 Residential Residential End of period 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 Total Total FH in A ­ - g V u A ar - ­ C ve o n n ­ ­ O n fa t o h r 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*105 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 1966P............................. 54^380 34,’876 7*544 2*599 24,733 16,366 3,138 47,337 42,242 14,500 11,471 16,272 5,041 53 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........................ 465548 30*383 7^469 2,712 20’,202 13,371 2,794 42,467 38,214 13’.036 11,322 13*856 4,202 51 ......4..8..,.3..5..3.......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 2’911 44,617 40,096 13,791 11,408 14,897 4,469 52 1966—Ip................... 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 IP...................... 52,306 33*800 7*769 2,654 23*377 15’478 3'028 45’883 41 ,'083 14'047 11^346 15,690 4,747 53 IIIp.................... 53^606 34,469 7,687 2,620 24 J 62 16,028 3'109 46^622 41,673 14,274 11'413 15,986 4,896 53 IVp..................... 54'380 34,876 7’544 2'599 24,733 16,366 3J38 47'337 42,242 14,500 11,471 16,272 5,041 53 1967—Ip........................ 54,531 48,112 I[p...................... 55*780 .,48,897 t 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 a Data for 1941 and J945, 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

AUGUST 1967 REAL ESTATE CREDIT 1409 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 1,355 469 5,’035 619 46 902 43 ,'502 10,176 6 395 26,931 3 400 1963.............................................. 9’172 8,306 1,598 678 6330 866 50,544 46352 10,756 6,401 29 395 3,792 1964.............................................. 10’433 9'386 1,812 674 6’900 1,047 55,152 50348 11 384 6,403 32361 4J04 1965.............................................. H J 37 9388 1 ’738 553 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 12311 6309 40,943 5,240 1 966—Mayr...,........................ 820 712 95 32 585 108 62,110 56,991 12,316 6,247 38,428 5,119 June................................... 908 830 107 34 689 78 62347 57,381 12330 6,225 38’826 5,166 July.................................. 869 815 106 31 678 54 62369 57378 12335 6,210 39,233 5,191 Aug.. • .................... 791 746 94 38 614 45 63,336 58,128 12,340 6,201 39,587 5,208 781 735 83 35 617 46 63’683 58357 12’344 6^191 39,922 5,226 718 675 86 41 548 43 64,007 58375 12,362 6,190 40,223 5,232 Nov.................... 708 673 89 41 543 35 64353 59,118 12393 6,195 40330 5*235 Dec.................................... 947 888 82 47 759 59 64,803 59 ’ 563 12,411 6’,209 40 343 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 65 303 60 359 12359 6.211 41 589 5’244 Mar....................... 721 632 80 44 508 89 65’798 60 325 12,468 6,217 41,840 5’273 Apr.................................... 603 536 50 25 461 67 66,024 60,721 12349 6,202 42370 5,303 May................................... 641 582 57 31 494 59 66^253 60 324 12,434 6^183 42,307 5; 329 1 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 $38 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 loans 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) Period Total 1 s h N c t o r o e u m n w c ­ e ­ H c p h o u a m r s ­ e e Total 2 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 Period va A n d c ­ es R m e e p n a ts y­ Total t S e h rm or t­ 1 t L e o rm ng ­ 2 M de e p m o b si e ts rs’ 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........... 20 354 5,979 8^524 78,770 4 376 7310 67,284 1963....................... 5 ’,601 4396 4'784 2363 1 321 1 J51 1963............ 24335 71039 9 320 90’944 4396 6,960 79'288 1964....................... 5,565 5 325 5,325 2,846 2.479 1 ’,199 1964........... 24,505 6,515 10,397 101,333 4,894 6,683 89,756 1965....................... 5,007 4,335 5397 3,074 2,923 1,043 1965............ 23’847 5,922 10397 110'202 5,141 6,391 98,670 1966....................... 3,804 2,866 6,935 5,006 1 329 1 336 1966........... 16,729 3,604 7348 114,089 5’266 6,150102,673 1966—June........... 171 92 6,783 3,865 2,918 972 1966—June. 1,629 340 823 113,669 5,245 6,279102,145 July............ 838 279 7,342 4,471 2,871 710 July.. 1,234 266 643 113,750 5,235 6,254102,261 Aug............ 146 262 7,226 4,625 2,601 698 Aug.. 1,314 272 722 113,897 5,246 6,236102,415 Sept............ 99 150 7’175 4 ,’627 2,548 727 Sept.. 1,119 241 572 114,004 5,253 6,203 102,548 Oct............. 300 226 7’249 4339 2,310 767 Oct.. 947 208 473 113,998 5,251 6,182 102,565 Nov........... 104 269 7384 4,993 2,091 863 Nov 866 184 423 113,977 5,257 6,167 102,553 Dec........ 68 217 6335 5 306 1 329 1,036 Dec.. 936 189 423 114,089 5,266 6,150 102,673 1967—Jan............. 224 818 6,340 4,814 1,526 1,088 1967—Jan... 788 165 365 114,130 5,274 6,136 102,720 Feb............. 49 589 5,'800 4’730 1 ,’O7O I240 Feb.. 950 205 420 114,298 5,275 6,133 102,890 Mar............ 30 655 5 J75 4,262 913 1390 Mar. 1,347 306 571 114,698 5,293 6,135 103,270 Apr............ 59 452 4382 3 376 806 1,648 Apr.. 1,339 312 586 115,138 5,318 6,133 103,687 May....... 59 420 4,421 3,776 644 1’831 May. 1,738 400 779 115,803 5,362 6,118 104,323 J une........... 89 208 4302 3,696 606 1,925 JuneP 2,167 442 1,038 116,846 5,382 6,160 105,304 1 Secured or unsecured loans maturing in 1 year or less. I Includes loans for repairs, additions and alterations, refinancing, etc., 2 Secured loans, amortized quarterly, having maturities of more than not shown separately. I year but not more than 10 years. 2 Beginning with 1958, includes shares pledged against mortgage loans; beginning with 1966, includes real estate sold on contract not acquired Note,—Federal Home Loan Bank Board data. 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

1410 REAL ESTATE CREDIT AUGUST 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 i g s E e ti x s n ­ g e P c r t o s j­ 1 m p P r e e i r o m r n o t v t y p ­ s e ­ ­ 2 Total 3 h N om M ew e o s rtga i g s E e ti x s n ­ g 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 ­ 1 t C i v o e o n n n a ­ ­ l homes homes 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 1 357 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 J30 j«60S 4,965 895 663 2 846 1 023 1,821 1965................ 213.7 73,1 42.0 31.1 140.6 1 1 9 9 6 6 6 5. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 8' ’ 6 3 8 2 9 0 1 1 . , 7 7 0 2 5 9 5 4 , ’ 7 3 6 6 0 6 5 59 8 1 3 6 6 4 3 1 4 2 2 , ’ 6 6 5 0 2 0 9 8 8 7 0 6 1 1 , 6 7 1 7 8 4 1966p.............. 225.1 76.0 44.8 31.2 149.1 1964—I.......... 185.4 66.6 35.7 31.0 118.8 685 152 405 69 60 205 71 134 IT...... 189.8 67.3 36.3 30.9 122.5 July................. 604 136 368 42 58 219 72 147 Ill........ 193.9 68.4 37.4 31.1 125.4 Aug................. 622 159 387 18 57 287 96 191 IV........ 197.6 69.2 38.3 30.9 128.3 Sept.......... 610 149 367 27 66 257 96 161 O N c o t v .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 5 4 0 6 8 1 1 3 4 0 0 2 2 3 7 8 5 2 3 6 8 5 5 1 4 2 2 4 71 7 1 1 1 to 0 1 13 6 7 0 1965— f 1 l . . . . . . . . . . . . . . . . . . . 2 2 0 0 5 0 . . 1 7 7 7 0 0, . 1 7 3 3 9 9 . . 7 0 3 31 1 . . 1 0 1 13 3 4 0 . . 4 6 Dec.................. 409 113 214 35 46 226 104 121 Ill........ 209.6 72.0 40.9 31.1 137.5 IV........ 213.7 73.1 42.0 31.1 140.6 1967—Jan................... 449 116 263 26 44 214 100 113 Feb.................. 364 91 210 32 31 169 77 91 1966—Ip........ 216.9 74.1 43.0 31.1 142.8 Mar................. 490 96 292 55 47 195 83 112 IP........ 220,7 74.6 43.7 30.9 146,1 Apr.................. 440 89 270 41 40 184 70 114 HI”.... 223.1 75.4 44.4 31.0 147.7 May............... 508 87 320 44 58 231 76 154 IVP.... 225.1 76.0 44.8 31.2 149.1 June................ 626 105 403 57 61 266 81 185 1967—Ip.....2..2.7.0 76.4 45.2 31.2 150.6 1 Monthly figures do not reflect mortgage amendments included in annual totals. 2 Not ordinarily secured by mortgages. 1 Includes outstanding amount of VA vendee 3 Includes a small amount of alteration and repair loans, not shown separately; only such accounts held by private investors under repurchase loans in amounts of more than $1,000 need be secured. agreement. Note.—Federal Housing Admin, and Veterans Admin, data. FHA-insured loans Note.—For total debt outstanding, figures axe represent gross amount of insurance written; VA-guaranteed loans gross amounts of loans FHLBB and F.R. estimates. For conventional, closed. Figures do not take into account principal repayments on previously insured or figures are derived. guaranteed loans. For VA-guaranteed loans, amounts by type are derived from data on Based on data from Federal Home Loan Bank number and average amount of loans closed. Board, Federal Housing Admin., and Veterans Admin. FEDERAL NATIONAL MORTGAGE ASSOCIATION ACTIVITY MORTGAGE DEBT OUTSTANDING ON RESIDENTIAL PROPERTIES (In millions of dollars) (In billions of dollars) Mortgage Mortgage holdings transactions Com­ All residential Multifamily1 (during mit­ End of period) ments period Total F su H in r A e ­ 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 E Pe n r d i o o d f Total F i i c n n i s a a t l i n ­ ­ h O ol t d h e e r r s Total F i i n c n i s a a t l i n ­ ­ h O ol t d h e e r r s chases tutions tutions 1 1 1 9 9 9 6 6 6 3 2 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 5 6 , , ’ 6 0 9 5 9 2 0 3 3 3 3 3^ , , 5 4 0 7 9 1 1 7 0 2 2 1 , , , 3 6 6 5 0 3 3 3 4 7 2 8 4 9 1 0 0 5 1,1 4 5 1 4 9 1 8 4 3 6 1 5 3 9 1 5 1 1 19 9 4 4 5 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 24 4 . . 3 2 1 15 4 . . 7 9 9 8 . . 4 6 5 5 . . 7 8 3 3 . . 5 6 2 2. . 2 2 1 1 9 9 6 6 4 5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 4. , 7 4 3 1 1 2 2 3 , ’ 9 4 9 0 6 4 1 1 , '4 32 1 7 6 4 91 2 3 4 ’2 2 5 0 1 0 7 3 9 1 3 3 1 19 9 6 6 2 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 19 7 2 6 . . 5 0 1 1 5 4 7 3 . . 9 0 3 3 3 4 . . 0 6 2 2 5 3 . . 8 0 1 17 4 . . 5 8 8 8. . 3 2 1966........................... 7^063 5,407 1 '656 2 701 705 1963............... 211.2 176.7 34.5 29.6 20.7 8.3 1966—June............... 6,082 4,581 1,501 194 625 1964............... 230.8 195.2 35.6 33.2 24.8 8.4 July................ 6^319 4’787 1 '532 265 511 1965............... 250.7 213.7 37.0 37.0 28.5 8.5 A Se u p g t. . . .. . . . . . . . . . . . . . . . . . . . . . . . . .. 6 6 ^ ’ 4 5 6 9 4 2 4 5 ,’ ’ 9 0 1 28 6 1 1 . ' ’ 5 5 6 4 4 8 1 1 8 5 0 9 5 5 1 3 2 2 1966p............. 264.4 224.3 40.1 39.3 30.6 8.7 Oct................ 6,731 5'146 1 ’585 168 576 1965—1.......... 234.8 199.0 35.8 34.1 25.7 8.4 Nov................ 6,891 5,272 1 ,’619 188 617 240.1 204.0 36.1 35.0 26.6 8.4 Dec................ 7,063 5^407 1,656 202 705 III.. 245.5 209.1 36.4 36.0 27.6 8.4 IV.,., 250.7 213.7 37.0 37.0 28.5 8.5 1967—Jan................. 7,216 5,522 1,694 181 695 Feb................ 7,331 5,615 1,716 144 641 1966—jp........ 254.7 217.1 37.6 37.8 29.2 8.6 Mar............... 7’415 5,692 1’723 119 706 259.0 220.6 38.5 38,4 29.7 8.7 A M p a r y .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 7 ^ ,4 4 6 8 1 4 5 5 , ’ 7 7 4 6 0 7 1 1 , , 7 7 2 1 1 7 7 6 8 5 t 7 83 4 5 4 H IV I P P . . . . . . . 2 2 6 6 2 4 . . 0 4 2 2 2 2 2 4 . . 7 3 3 40 9 . . 1 3 3 3 8 9 . . 9 3 3 3 0 0 . . 2 6 8 8 . . 7 7 June............... 7,524 5; 811 1,713 88 6 1,104 1967—Ip........ 266.8 226.1 40.7 39.8 31.0 8.8 IP.... 271.1 Note.—.Federal National Mortgage Assn, data, including mortgages subject to participation pool of Government Mortgage Liquidation Trust, but excluding conventional mortgage loans acquired by FNMA t Structures of 5 or more units. For I- to 4-family mortgage debt see from the RFC Mortgage Co., the Defense Homes Corp., the Public second preceding page. Housing Admin., and Community Facilities Admin. Note.—Based on data from same source as for “Mortgage Debt Out­ standing” table (second preceding page). Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 REAL ESTATE CREDIT 1411 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 & ’ s M (y a e t a u r r s i ) ty L c p r ( a e o p r t i n a e c i n t o r e ) / (t d h o c p o P h l r u u l i a a c s r s . r e ­ e s o ) f (t a d h m L o o l o u o l a a s u r n . n s o ) t f 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 t g ) r e & t s M (y a e t a u r r s it ) y L c p r ( e a o p r n t i a e i c t o n r ) e / (t d h c o o p P h l u r u l a i a s c r s . r e ­ e s o ) f (th a d L o m o u l o l o s a a u . r n s n 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-—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 Aug............ 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 1967-—Jan........ 6.47 1.17 23.8 73.3 26.3 19.3 6.54 .78 20.6 71.4 21.3 15.2 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............ 6.41 1.06 23.6 74.1 25.6 18.7 6.44 .77 21.1 71.8 21.7 15.4 Apr............. 6.37 .99 23.6 73.3 25.8 18.5 6.36 .72 20.8 72.0 21,6 15.4 May............ 6.28 .96 24.2 74,8 26.2 19.4 6.31 .68 21.1 72.3 22.3 15,9 JuneP......... 6.29 .94 24.0 73.4 26.2 19.1 6.30 .70 21.5 72.2 23.0 1.64 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 Joans to owner-builders. See also the table on Mortgages; New and NOTE.—Compiled by Federal Home Loan Bank Board in cooperation Existing Homes, p. 1394. DELINQUENCY RATES ON HOME MORTGAGES NONFARM MORTGAGE FORECLOSURES (Per 100 mortgages held or serviced) Rate Number (per cent of Period 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 re s 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 30.1 .52 ..............2..9....1............. .50 1965—1..................... 2.94 2.06 .54 .34 .37 IV................................. 29.6 .50 II................... 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 in............................... 29.3 .48 1966—1.................... 3.02 2.13 .55 .34 .38 Iv.................... 28.6 .46 ........2..,.9...5..... 2.16 .49 .30 .38 in.......... 3,09 2.25 .52 .32 .36 1967—1................................... 29.5 .48 IV.................. 3.40 2. 54 .54 .32 . 36 1967—1.................... 3.04 2. 17 .56 .31 .38 Note.—Federal Home Loan Bank Board estimates of number of nonfarm mortgaged structures at end of period and of non­ farm properties acquired during period through foreclosure Note,—Mortgage Bankers Association of America data from reports on 1- proceedings (excluding voluntary deeds in lieu of foreclosure and to 4-family FHA-insured, VA-guaranteed, and conventional mortgages held defaults on real estate contracts). Data exclude Alaska and by more than 400 respondents, including mortgage bankers (chiefly), commercial Hawaii. banks, savings banks, and savings and loan associations. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1412 CONSUMER CREDIT AUGUST 1967 TOTAL CREDIT (In millions of dollars) Instalment Noninstalment End of period Total Total m A p o a u p b t i e o l r e ­ co O g p n o a s t o h p u d e m e s r r e r e a r n R n l d o i e z a p m a n a t s o i i o r d 1 n ­ Pe l r o s a o n n s al Total p S a l i y o n m a g n l e e s n ­ t a C cc h o a u rg n e ts S c e r r e v d i i c t e 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 1,929 376 1 322 3387 845 1345 597 1945......................................... 5'665 2,462 455 ’816 182 1 309 3 303 746 1,612 845 1960......................................... 56,028 42,832 17,688 11,525 3,139 10,480 13.196 4,507 5,329 3,360 1961 ....................................... 57378 43,527 17.'223 11;857 3,191 11256 14,151 5136 5 324 3 391 1962......................................... 63,164 48334 19;540 12^05 3^46 12'643 15;130 5356 5 384 3 390 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 3^32 16,328 17,894 6,954 6,300 4,’640 1965......................................... 87’884 68,565 28,843 17393 3375 18354 19319 7,682 6346 4,891 1966. 94’786 74’656 30,961 19’834 3351 20;110 20,130 7344 7J44 5J42 1966--June...................... 90,070 71,194 30,402 17,959 3,677 19,156 18,876 7,901 5,908 5367 July.............................. 90’650 71’862 30^680 18,165 3,711 19,306 18,788 7,844 5388 5,056 Aug,.............................. 91 383 72,640 30,918 18,390 3355 19377 18,843 7349 5,973 5 321 Sept............................ 91,639 72,829 30,793 18,564 3,’771 19,701 18,810 7314 5,’993 5,003 Oct............................... 91399 73 373 30.852 18314 3 370 19337 18326 7,768 6; 107 4351 Nov............................. 92,498 73,491 30,937 18’945 3,772 19,837 19307 7307 6; 199 5,001 Dec............................... 94,786 74,'656 30,’961 19,834 3,'751 20,110 20;130 7344 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 Feb............................... 92,517 73,598 30,530 19^426 3,666 19,976 18319 7354 5 324 5 341 Mar ........................... 92’519 73,591 30,527 19,'369 3,648 20,047 18,928 7,’769 5,'8O9 5,350 Apr............................... 93,089 73,840 30,635 19,376 3'636 20;193 19,249 7,890 5,923 5,436 May............................. 93',917 74,290 30,852 19342 3; 670 20326 19,627 8,017 6331 5379 June............................. 94,813 7s;os1 31,208 19,580 3; 696 20;567 19362 8,077 6^334 5,351 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 C b e a o r n m c 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 it s fi s C n u a m o n n e c ­ r e 1 Other 1 Total D st m e o p r e e n a s r t t 2 ­ F s t t u u o r r r n e e s i­ A s a t p o n p r c e e li s ­ d m A e o a u l b t e i o r le ­ s 3 Other 1939.............................. 4,503 3,065 1,079 1,197 132 657 1 ,438 354 439 183 123 339 1941.............................. 6385 4380 1 326 1397 198 759 1,605 320 496 206 188 395 1945.............................. 2 362 1,776 '745 '300 102 629 686 131 240 17 28 270 1960.............................. 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.............................. 43327 37335 17,008 11,273 4,330 3’,799 1,525 5 395 2321 1 358 293 342 1381 1962.............................. 48,034 41,782 19,005 12,194 4302 4/131 1350 6352 3'013 1 373 294 345 1327 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.............................. 60348 53,141 25,094 14,762 6358 5,078 1,749 7,407 3 922 1,152 286 370 1377 1965.............................. 68365 60,273 29,173 16,’138 7,512 5,’606 1,844 8392 4,488 1 ,’235 302 447 1,820 1966.............................. 74 356 65,565 32,'155 16,936 8349 6,014 1,911 9391 n.a. n.a n.a. 490 n.a. 1966—June.................. 71,194 63,097 31313 16,454 8,009 5,742 1,879 8,097 n.a n.a. 480 n.a. July................... 71 362 63,745 31,398 16,585 8,093 5,791 1,878 8317 n.a. n.a. 485 n.a. Aug................... 72;640 64354 31'737 16,732 8'238 5'846 1,901 8'186 n.a. n.a. n.a. 489 n.a. Sept................... 72329 64313 31 378 16^759 8,324 5,858 1 894 8,216 n a. 487 n.a. Oct.......... 73,’O73 64,792 31 378 16,771 8,391 5,863 1,889 8,281 n.a. n.a, n.a. 489 n.a. Nov........... 73,491 65,046 31 378 16’790 8,480 5,881 1,917 8,445 490 Dec.................... 74356 65,565 32/155 16,936 8,549 6,014 1 311 9,091 n.a. n.a. 490 n.a. 1967—Jan..................... 74,015 65,162 32,033 16,814 8,443 5,969 1 303 8,853 n.a. n.a. 488 n.a. Feb................... 73 398 64,966 31 367 16396 8,429 5,965 1,909 8,632 n.a n.a. 485 n.a. Mar................... 73,'591 65,006 32,068 16,593 8,485 5351 1,909 8,585 n.a. n.a n.a. 486 n.a. Apr.................... 73340 65,298 32,299 16390 8,561 5351 1,897 8342 n.a n.a. 490 n.a. May.................. 74390 65,733 32,560 16,615 8,665 5 347 1,946 8,557 n.a. n.a. n.a. 494 n.a. June.............. 75;osi 66,452 32,966 16,721 8; 826 5,995 1344 s; 599 n.a. n.a. n.a. 502 n.a. 1 Consumer finance companies included with “other” financial insti- 3 Automobile paper only; other instalment credit held by automobile tutlons 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

AUGUST 1967 CONSUMER CREDIT 1413 instalment credit held by commercial banks INSTALMENT CREDIT HELD BY SALES FINANCE COMPANIES (In millions of dollars) (In millions of dollars) Automobile Other Repair Other Repair paper con­ and Per­ Auto­ con­ and Per­ End of period Total ch P a u s r e ­ d Direct s g p u o a m o p d e e r s r e m l r t o n i a o o i n z d n a s ­ ­ s lo o a n n a s l End of period Total m pa o p b e il r e s g p u o a m o p d e e s r r m iz l o o a a d ti n e o s r n n ­ s lo o a n 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 66 143 114 110 312 1960 11,472 7 528 2,739 139 1,066 1960......................... 16,672 5,316 2,820 2,759 2,200 3,577 1961. 111273 6,811 3,100 161 1 201 1961......................... 17,008 51391 2,860 2,761 2,198 3,798 1962. 12J94 7,449 31123 170 1 452 1962......................... 19,005 61184 3,451 21824 21261 41285 1963 13,523 8,228 3 383 158 1 754 1963......................... 22,023 7,381 4,102 3,213 2,377 4,950 1964 141762 8 701 3 889 142 2 030 1964......................... 25,094 81691 41734 3,670 21457 51542 1965 16,138 9,241 41429 123 2,345 1965......................... 29,173 101310 5,721 4,266 21543 6,333 1966 161936 91391 4*829 110 2 606 1966......................... 32,155 111370 61165 51101 2,567 6,952 1966—June.................... 16,454 9,395 4 538 111 2,410 1966—June............. 31,013 11,075 6,124 4,581 2,529 6,704 July.............. 16,585 9 457 4 579 112 2,*437 July............. 311398 11,219 61157 41713 2,555 6,754 Aug,.................... 16,732 9,498 4,632 112 2,490 Aug.............. 311737 11,339 61172 4,795 21580 6,851 Sept..................... 161759 9,427 4,693 112 2,527 Sept.............. 31,778 111313 61113 4,864 2,’593 6,895 Oct...................... 161771 91398 4 726 112 2,535 Oct......... 311878 111353 6,132 4,910 2,593 6,890 Nov.................... 16,790 9,395 4 736 110 2 549 Nov.............. 31,978 111378 61157 41967 2,583 6,893 Dec..................... 16,936 9,391 4,829 110 2,606 Dec............... 321155 111370 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..................... 161696 9,215 4 773 107 2,601 Feb.............. 311967 111214 6,121 5,218 21502 61912 Mar..................... 16,593 91139 4,744 105 2,605 Mar.............. 321068 111234 6,153 5,242 2,'486 6,953 Apr..................... 161590 9,128 41749 104 2*609 Apr.............. 32', 299 111256 61217 51292 21478 71056 May.................... 16,615 9,150 4’751 105 2,609 May............ 321560 111313 61307 51342 2,489 7,109 June.................... 161721 9,238 4,761 106 2,616 June............. 32,966 H',4U 6,402 5,431 2,505 71214 See Notb 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 Other De­ S c e r r e v d ic it e 1 1 1 9 9 9 4 4 3 1 5 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 9 73 8 5 1 9 7 1 5 8 2 1 4 2 3 2 2 6 0 4 1 1 1 5 4 4 6 6 7 4 6 8 3 9 5 b m c a i n e a k r l ­ s t f u i i c n t n i i s a a o t n l i n ­ ­ s s m t p o a e r r n e t t s ­ 1 o O r u e t t t h l a e e i t l r s c C a r r e d d s i 2 t I960................................. 9,074 1,665 771 800 5,837 1961................................. 9,654 1*819 743 832 6*257 1939............. 2,719 625 162 236 1.178 518 196?................................. 10*583 2,111 751 815 6’906 1941............. 3'087 693 152 275 1.370 597 1945............. 3 J 203 674 72 290 1,322 845 1963................................. 11,859 2,394 835 870 7,760 1964................................. 13,285 2,’699 997 933 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 3307 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-—June.................... 15,630 3.328 1.223 1,037 10,042 1963. ....... 16,303 5,205 912 895 4,456 520 4,315 July..................... 15,762 3,362 1,241 1,044 10,115 1964............. 17’894 5’950 1,004 909 4'756 635 4,640 Aug..................... 15,985 3’420 1 ,266 1,063 10,236 1965............. 19,319 6’587 1'095 968 5,055 723 4’891 Sept..................... 16,’076 3,’453 1 ;278 1,066 10,279 1966............. 20 ,’130 6,714 1,130 n.a. n.a. 874 5,142 Oct.......... 16'143 3,480 1,286 1,065 10,312 Nov..................... 16’278 3'517 1,287 1,079 10',395 1966—June.. 18,876 6,767 1,134 n.a. n.a. 824 5,067 Dec..................... 16,474 3,'545 1 ;3O3 1,074 10,'552 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 10^63 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 May................... 16'558 3,588 1,286 1,076 10,608 June................... 16,765 3; 652 1,291 1,085 10,737 1967—Jan.... 19,464 6,659 1,120 n.a. n.a. 908 5,213 Feb... 18,919 6,634 1,120 n.a. n.a. 895 5,341 Mar... 18,928 6,647 1,122 n.a. n.a. 898 5,350 Note.—Institutions represented are consumer finance companies, credit Apr... 19,249 6,758 1,132 n.a. n.a. 922 5,436 unions, industrial loan companies, mutual savings banks, savings and May.. 19,627 6,848 1,169 n.a. n.a. 939 5,379 loan assns., and other lending institutions holding consumer instalment June.. 19,762 6,902 1,175 n.a. n.a. 965 5,351 loans. See also Note to first table on previous page. i 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

1414 CONSUMER CREDIT AUGUST 1967 INSTALMENT CREDIT EXTENDED AND REPAID, BY TYPE OF CREDIT (In millions of dollars) Total Automobile paper O g th o e o r d c s o p n a s p u e m r er mode R rn ep iz a a i t r i o a n n d l oans Personal loans Period S.A.i N.S.A. S.A.i N.S.A. S.A.i N.S.A. S.A.i N.S.A. S.A.1 N.S.A. Extensions I960......................................... 49,560 17,654 14,470 2,213 15,223 1961......................................... 48,396 16 >07 14,578 2,068 15,744 1962......................................... 55,126 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......................................... 75,508 27,914 21,454 2,238 23,902 1966......................................... 78,896 28,491 23,502 2,136 24,767 1966—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 I ,’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 >22 6,403 2,378 2,369 1’941 1,949 166 171 2,037 1,914 Nov........................ 6,657 6,611 2’461 2,346 1,947 2,044 166 168 2,083 2,053 Dec............................... 6>33 7,442 2,297 2,178 1>28 2,720 159 140 2,049 2 >04 19^7—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 May............................. 6'554 7,062 2,238 2,559 2'032 2,074 180 219 2,104 2,210 June............................. 6'823 7,458 2^338 2,678 2,081 2,155 190 215 2,214 2,410 Repayments I960......................................... 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 14,939 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 >95 24,267 19,355 2,096 21,777 1966......................................... 72,805 26,373 21,361 2,060 23,011 1966—June............................ 6,126 6,251 2,211 2,252 1,767 1,786 176 180 1,972 2,033 July.............................. 6J68 6.002 2’238 2,188 1^803 1,739 174 169 1,953 1,906 Aug.............................. 6',087 6; 247 2,223 2 >05 1,792 1,798 172 181 l',900 1,963 Sept............................. 6,103 6,000 2,213 2,195 1’784 1,761 168 171 1,938 1,873 Oct..................... 6J42 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 l’,836 1,813 169 166 1,953 1,953 Dec,. . ................... 6,112 6,277 2,225 2,154 1,796 1’831 161 161 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 2J93 2>53 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 1,965 May........................... 6,361 6,612 2'219 2,342 1,948 2,008 178 185 2,016 2,077 June............................. 6,531 6,697 2;28t 2,322 1,995 2,017 184 189 2’071 2,169 Net change in credit outstanding 2 I960......................................... 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—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 Ill 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 May............................. 193 450 19 217 84 66 2 34 88 133 June............................. 292 761 57 356 86 138 6 26 143 241 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 are 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

AUGUST 1967 CONSUMER CREDIT 1415 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 e c s e Ot i h n e st r i t f u in ti a o n n c s ial Retail outlets Period S.A.1 N.S.A. S.A. i N.S.A. S.A.1 N.S.A. S.A.i N.S.A. S.A.i N.S.A. Extensions 1960. 49,560 18,269 11,456 12,073 7.762 1961. 48,396 17,711 10,667 12,282 7,736 1962. 55,126 ........ 20,474 .......1..1..,.9..9..9. .......1..3..,.5..2..5.. ........9..,.1..2..8... 1963. 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 15.075 18,120 12,575 1966. 78,896 31,114 ................. 14,951 18,986 13,845 1966--June............................. 6,675 7,236 2 619 2,912 1,260 1,383 1,643 1,772 1,153 1,169 July.............................. 6,732 6,670 2 673 2,717 1,255 1,265 1,593 1,577 1,211 1,111 Aug.............................. 6,689 7,025 2 683 2,819 1,260 1,336 1,589 1,713 1,157 1,157 Sept.............................. 6,578 6,189 2 634 2,422 1,242 1,162 1,587 1,517 1,115 1,088 Oct.......................... 6,522 6,403 2 583 2,520 1,226 1,235 1,582 1 ,505 1,131 1,143 Nov.............................. 6,657 6,611 2 666 2,495 1,256 1,241 1,613 1,631 1,122 1,244 Dec.............................. 6,433 7,442 2 553 2,523 1,241 1,374 1,570 1,822 1,069 1,723 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 1,349 1,168 876 Mar.............................. 6,510 6,641 2 558 2,662 1,199 1,229 1,598 1,649 1,155 1,101 Apr............................. 6,606 6,495 2 631 2,688 1,212 1,168 1,589 1.559 1,174 1,080 May............................. 6,554 7,062 2 577 2,891 1,193 1,278 1,614 1,728 1,170 1,165 June............................. 6,823 7,458 2 698 3,004 1,235 1,367 1,697 1,875 1,193 1,212 Repayments I960. 45,972 16,832 10,442 11,022 7,676 1961. 47,700 18,294 10,943 11,715 6,749 1962. 50,620 18,468 11,434 12,593 8,125 1963. 55,171 20,326 12,211 13,618 9,016 1964. 61,121 22,971 13.16! 14,825 10.164 1965. 67,495 25,663 13,699 16,443 11.690 1966. 72,805 28,132 14,153 17,474 13,046 1966--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 1,134 1,476 1,445 1,130 1,091 Aug.............................. 6.087 6,247 2 362 2,480 1,179 1,189 1,458 1,490 1,088 1,088 Sept............................. 6,103 6,000 2 396 2,381 1,156 1,135 1,481 1,426 1,070 1,058 Oct............................... 6,142 6,159 2 400 2,420 1,193 1,223 1,472 1,438 1,077 1,078 Nov.............................. 6.213 6,193 2 415 2,395 1,258 1,222 1,480 1,496 1,060 1,080 Dec............................... 6,112 6,277 2 418 2,346 1,198 1,228 1,467 1,626 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 5,905 2 446 2,297 1,188 1,150 1,510 1,361 1,137 1,097 Mar.............................. 6,246 6,648 2 412 2,561 1,187 1,332 1,540 1,607 1,107 1,148 Apr............................. 6,393 6,246 2 516 2,457 1,192 1,171 1,536 1,495 1,149 1,123 May............................. 6,361 6,612 2 483 2,630 1,193 1,253 1,540 1,579 1,145 1,150 June............................. 6,531 6,697 2 548 2,598 1,234 1,261 1,585 1,668 1,164 1,170 Net change in credit outstanding 2 1960. 3,588 1,446 1,152 1,051 -61 1961 . 696 335 -199 578 —20 1962. 4,506 1,997 ............9..2.1.. 932 ............... • 656 1963. 6,124 3,018 1,329 1,276 501 1964. 6,384 3,065 1,239 1,426 654 1965. 8,013 4,075 1,376 1.677 885 1966. 6,091 2,982 798 1,512 799 1966—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 -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.............................. 213 249 115 231 20 -3 53 64 25 -43 May............................. 193 450 94 261 25 74 149 25 15 June............................ 292 761 150 406 1 106 112 207 29 42 1 Includes adjustments for differences in trading days. payments for some particular holders do not equal the changes in their 2 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

1416 INDUSTRIAL PRODUCTION: S.A. AUGUST 1967 MARKET GROUPINGS (1957-59 = 100) 1957-59 1966 1966 1967 pro- aver- Grouping por­ agep tion June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr.r Mayr June Total index..................................... 100.00 156.3 156.5 157.2 158.0 157.7 158.9 158.6 159.0 158,1 156.4 156.4 156.3 155.5 155.3 Final products, total........................... 47.35 155.4 154.9 155.3 156.4 156.3 158.3 158.5 159.2 158.1 156.4 156.7 157.1 156.1 155.9 Consumer goods............................ 32.31 147.4 147.1 146.5 147,1 146.5 148.8 148.8 149.1 147.8 145.2 146.0 146.7 145.7 146.0 EquipmentT including defense.... 15.04 172.6 171.4 174.4 176.4 177,4 178.8 179.6 181.0 180.2 180,3 179.6 179.4 178.4 177.3 Materials..................... ...................... 52.65 157.1 158.0 158.8 159.6 159,2 159.9 159.1 158.9 158,0 156,2 155.8 155.8 155.0 154.9 Consumer goods Automotive products......................... 3.21 163.0 162.3 154.5 146.4 150.7 168.5 162.8 162.6 147.0 135.7 144.6 151,5 145.8 151.3 Autos.................................................. t.82 169.5 167.8 151.5 141.7 148.6 177.8 166.7 167.3 141,3 120.5 136.5 149.6 149.9 156.0 Auto parts and allied products..... 1.39 154.4 155.2 158.6 152.7 153,5 156.2 157.8 156.4 154,4 155.7 155.3 154.1 140.5 145.1 Home goods and apparel.................. 10.00 153.0 153.8 152.3 152.8 151.3 153.2 153.2 151.7 151.5 148.2 146.8 145.5 144.2 142.5 Home goods..................................... 4.59 168.9 168.3 168.0 168.9 166.0 170.0 169.1 166.5 165,2 162.9 160.4 157.9 158.5 156.1 Appliances, TV, and radios......... 1.81 166.6 163.9 165.5 165,0 159.3 170.2 165,3 158.4 154.0 153.7 147. 1 141.7 143,8 137.5 Appliances.................................. 1.33 166.7 165.2 171.1 166.7 160.1 171.7 162.4 151.9 150.2 150.4 143.6 146.0 147,0 148.3 TV and home radios................. .47 166.3 160.3 149.8 160.2 157.1 166,0 173,7 176.7 164.8 162.9 157.2 129.6 135.0 107.3 Furniture and rugs......................... 1.26 165.7 170.1 165.2 168,0 165.9 164.4 164.7 163.5 163.4 158.5 157.4 157.9 157.2 158,1 Miscellaneous home goods........... 1.52 174.2 171.9 173.2 174,2 173,9 174.5 177.1 178,7 179.8 177,3 178.6 177.1 176.9 176.6 Apparel, knit goods, and shoes........ 5 41 139.6 141.6 139.0 139.1 138.8 139.0 139.8 139,1 139.9 135.8 135.4 135.0 132.2 Consumer staples............................. 19.10 141.8 141.6 142.1 144.2 143.3 143.2 144.2 145.0 145.4 145.2 145.6 146.5 146.4 147.0 Processed foods................................. 8.43 126.4 126.4 126.0 127.9 127.9 126.0 127.3 130,1 130.4 129.9 129.6 129.6 129,7 129.7 Beverages and tobacco.................... 2.43 131.7 131.5 130,2 134.0 131.0 133.1 133.0 133,7 132.9 134,1 133.5 140.4 133.2 Drugs, soap, and toiletries............... 2.97 174.4 174.7 174.5 175,4 176.1 178.7 181,3 178.5 179,0 180.3 181,0 181.4 181.4 182.0 Newspapers’magazines, and books. 1.47 136.6 138.5 138,9 138.2 136.7 137.9 138,8 139,1 141.5 142.3 142.3 143.6 142.5 141.4 Consumer fuel and lighting.............. 3.67 159.4 157.1 161.1 165.0 162.5 161.9 162.4 162.0 161,8 160.1 162.7 161.4 166.3 Fuel oil and gasoline.,................. 1.20 128,6 128.6 128.8 129.1 131.8 134.0 129.8 129.2 125.5 125.7 128.0 131.9 130.0 133.9 Residential utilities...................... 2.46 174.4 171.0 176.8 182.5 177.4 175.5 178,2 178.0 179.5 176.9 179.6 175,8 184,0 Electricity............................... 1.72 186.8 181.9 190.0 197.9 191.2 188.3 192.2 189.2 191.0 186.9 190,3 186.3 197.6 Gas..................... , .74 145.9 Equipment Business equipment........................... 11.63 181.2 180,0 182.7 184.4 185.7 187.2 187.5 189.3 187.4 186.6 184.4 183.8 182.0 180.2 Industrial equipment......................... 6.85 172.2 171.0 174.9 176.3 177.0 178.4 178.1 179,1 177.7 176.8 174.1 173.0 169.1 167,3 Commercial equipment.................... 2.42 190.0 191.0 189.8 194.1 194,8 195.5 196.9 196.0 196.7 199,8 199.1 200.7 200.8 200.5 Freight and passenger equipment... 1.76 208.5 205.7 208.8 208.1 209.2 212.7 216.9 220.3 214.5 215.0 211.7 210,4 211.7 208.9 Farm equipment..................... ... .61 167.0 168.2 167,5 169.1 178.9 180.3 170.7 179.5 176.1 162.6 162.8 160.4 166.3 Defense equipment. . ........ ... 3.41 Materials Durable goods materials............ 26,73 157.4 159.3 159.1 160.1 159.8 159.8 158.5 156.4 153,9 151.9 152.2 151.3 150,5 149.8 Consumer durable........................ 3.43 170.3 165.2 162.8 173.6 174.0 176.2 173.8 165,4 154.6 148.4 145.1 143.0 149.7 151,0 Equipment.......................................... 7.84 180.7 179.1 183.7 187.9 189.1 189.7 191.0 190,3 190.6 186,5 185.6 183.2 180.9 179,6 Construction,.................... 9.17 141.6 142.3 141.0 140.2 139.8 138.5 138,5 138,2 138,9 139,2 140,4 139.2 137.2 136.0 Metal materials n.e.c... ................... 6.29 144.4 148.0 146.9 145.3 142.7 145.2 139.6 139.5 139.6 140.3 135,6 133.9 130.2 131.1 biondurable materials........... 25.92 156.9 158.0 158.6 159.1 158.6 159.9 159.9 161.4 161.7 160.5 159.4 160.4 159.6 160.1 Business supplies............................... 9.11 148.9 150.3 149.9 150.1 150.7 151.6 150.9 153.0 153.4 152.1 151.1 152.6 149.6 150.0 Containers...................................... 3.03 145,4 146.4 143,2 143,4 147.4 145.3 147.2 151,1 146.5 147,1 144.6 148.5 145.0 147.0 General business supplies............. 6.07 150.7 152,2 153.2 153.4 152.4 154.8 152.8 154.0 156.8 154.6 154,4 154,6 151.9 155,3 Nondurable materials n.e.c.............. 7.40 192.8 192.9 194,5 195.6 193,8 197.1 198,7 198.1 199.3 197.8 194.6 194.2 195.2 194,0 Business fuel and power................... 9.41 136.3 138,0 138,7 138.9 138.6 138.7 138.0 139.7 140.1 139,3 139,7 141.4 141.4 143,1 Mineral fuels.................................. 6.07 122.2 124.9 124.6 124,9 123.7 124.9 123.1 125.1 124,7 123.5 123.3 125.5 125.8 127.9 Nonresident)al utilities.................. 2.86 173.5 172.2 174.6 175.9 176.7 174.8 175,7 177.5 179.7 179 3 181,5 182.1 181.3 Electricity........................ ... 2.32 174.5 173.8 176.7 178.2 179.1 176.7 177.8 179,0 181,8 181,3 184.0 184,4 183,6 General industrial.................. 1.03 171.6 170.1 174.6 176.3 177.0 177.6 176.7 177,1 178.8 177.4 178.9 179.0 181,4 Commercial and other . . 1.21 184.3 184.1 186.2 187,5 188.5 183.6 186,4 188,4 192.4 192.8 196.6 197.3 193.7 Gas................... .... ,.. . .54 164.4 Supplementary groups of consumer goods Automotive and home goods........... 7.80 166.5 165.8 162.5 159.6 159.7 169.4 166,5 164.9 157.7 153,5 153.9 155.3 153,3 154.1 Apparel and staples........................... 24.51 141.4 141.6 141.4 143.0 142.3 142,2 143.3 143.7 144.2 143,1 143.3 143.9 143.3 For a short article discussing new benchmark production measures for 1958 and 1963, see pp. 954-57. of June 1967 Bulletin. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 INDUSTRIAL PRODUCTION: S.A. 1417 INDUSTRY GROUPINGS (1957-59 = 100) 1957-59 1966 1966 1967 Grouping pro­ averp ti o o r n ­ age» June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr.r Mayr June Total index..................................... 100.00 156.3 156.5 157.2 158.0 157.7 158.9 158.6 159,0 158.1 156.4 156.4 156.3 155.5 155.3 Manufacturing total.......................... 36.45 158.7 158.9 159 4 160.1 160 0 161 5 161.0 161 3 160.1 158,5 158.1 158.2 157.1 156.6 Durable.......................................... 48.07 165.1 165,4 166,1 167.1 167.3 169.1 167.3 167.6 165,5 163.2 162.9 162.8 162.5 161.7 Nondurable.................................... 38.38 150.7 150.7 151.3 151.3 150 9 151.9 153,1 153.5 153.3 152,4 152.0 152,4 150,2 150,2 Mining............................................... 8.23 120.3 122.0 122.0 122.1 121.0 J2i: 6 121.0 123.0 123.0 122.4 121,6 122,1 121.3 123,8 Utilities............................................... 5.32 173.4 171.7 175.7 179.0 177.0 175.2 176.9 177.7 179,6 178.2 180.6 179.2 182,5 183.5 Durable manufactures Primary and fabricated metals.......... 12.32 151.5 154.0 154.5 154,2 153 6 153.4 149.9 150.4 147.0 146.3 143.9 142.7 142.8 142.2 Primary metals................................... 6.95 142.7 148.0 148.6 148.7 146 4 145.0 138.4 136.2 131.9 131.9 129,2 129.1 129.0 128.2 Iron and steel................................. 5.45 136,2 142.1 143 3 142 2 1 39 0 137.5 132.4 130.1 124.9 124.8 123.7 122.7 122.9 120 5 Nonferrous metals and products.. 1.50 166.5 166.2 162.4 162.1 164:7 168.2 161.7 163.5 163.2 167.2 162.1 161.4 155,0 155.6 Fabricated metal products................ 5.37 162,8 161.8 162.1 161 4 163 0 164.2 164.7 168.7 166,6 165 0 162.9 160.2 160.7 160.3 Structural metal parts................... 2.86 158,8 158.8 157 7 158 8 158 6 159.0 160,2 161.4 160.7 160.9 160,1 158.1 156.4 156.9 Machinery and related products........ 27.98 176.5 175.5 177.4 179.0 179.8 183.4 181.9 182,0 179.6 176.2 177.0 177.1 177.0 176.2 Machinery.......................................... 14 80 183 8 182 8 186 6 189 6 188 8 191.1 189.0 189 5 189.2 186 4 183.8 181.8 180,5 177.9 Nonelectrical machinery............... 8.43 181 .9 180.3 1847 186 7 1886 189.9 188.2 190.4 190,7 187.3 185,2 183,4 181.6 181.3 Electrical machinery...................... 6.37 186.5 186.0 189 1 193 4 189 2 192.6 190.1 188.3 187.2 185 3 182.0 179.7 178.9 173.4 Transportation equipment................ 10.19 168.3 167.1 166 0 166 6 168 3 174.6 172.9 171.5 164,6 159.4 164.5 167.7 169.1 170.5 Motor vehicles and parts.............. 4 68 171.3 169.4 161 2 158 1 164 6 175.7 170.7 169.0 151,5 140 6 148,0 153.8 155.2 157.7 Aircraft and other equipment.... 5.26 165.2 164.7 169.6 172:5 17T1 173.7 174.6 173.7 176.0 175.6 178.8 179,8 181.4 181.8 Instruments and related products. .. 1.71 176.5 176.5 177.0 177.4 179.5 181.8 181.4 184.6 186.2 183.4 185.8 185,2 185.3 184,1 Ordnance and accessories................. 1.28 Cloy, glass, and lumber..................... 4.72 132. 9 134 4 131 7 129 8 129 8 128.1 126 6 128 1 129.3 129.6 129.5 130.7 128.5 127.2 Clay’ glass' and stone products........ 2.99 140.7 14L0 138^5 14b’. 5 141.2 137,8 136.5 136.9 137.2 136.9 134.9 136.0 134.9 133.4 Lumber and products....................... I 73 119.3 122 9 119 9 111 3 110 0 111.3 109,5 112 8 115.7 116 9 120.2 121.5 117.4 116.5 Furniture and miscellaneous......... 3 05 165.0 167.0 163 5 167 1 165 0 165.3 166.3 167.5 166.3 163.9 162.4 162.9 162.3 161.5 Furniture and fixtures...................... 1 54 171 9 174,6 169 7 175 3 173 2 173.2 173,9 174 0 172.1 170 6 166,5 166.5 166,5 166,3 Miscellaneous manufactures............. 1.51 157.9 159.3 157^2 158^7 158 4 157.2 158.5 160.9 160.3 157.1 158.2 159.2 158.1 156,7 Nondurable manufactures Textiles, apparel, and leather....... 7 60 141.6 143 4 141 6 140 1 140 2 140.9 140.8 141,3 139.8 136 4 134.5 134.2 133.7 132.8 Textile mill products....................... 2 90 142 3 144 0 143 4 142 1 141 7 142.4 141.8 141.4 139.3 136 7 134.6 135,1 134.6 134,5 Apparel products............................... 3 59 150 3 152 0 149 7 147 7 148'4 148.1 149,3 150.5 150.2 1464 143.6 141.9 141.8 Leather and products........................ in 111 9 114.2 111.1 110 4 109 9 113.9 110,8 111.1 107,7 103 7 100,5 107,1 105,0 Paper and printing........................... 8 17 146.3 148 3 149 6 148 6 147 2 147.9 148.5 147 4 149.0 148,7 149.1 149.3 148,5 148.7 Paper and products........................... 3 43 152.1 154 1 156 2 153 1 1512 153 3 153.7 152.6 154.0 152 4 152.4 150,7 150,1 150.0 Printing and publishing.................... 474 142.2 144 1 144 8 145 3 144 3 144 1 144,7 143 7 145.5 146 1 146.8 148.3 147,4 147,8 Newspapers.................................... 1 53 134 2 135.4 136 3 137 7 1391 135 7 135,2 133 2 133.7 134 8 130.9 133.8 133.1 134.3 Chemicals, petroleum, and rubber.... 11.54 181.7 180.1 182.0 182.4 182.8 186.1 187.8 187.3 186.7 187.3 186.1 185.8 181.2 181.5 Chemicals and products................... 7 58 193 0 192 7 194 5 194 4 193 5 196.9 199,4 198.7 198,6 200 5 199.3 199,2 199.1 197.9 Industrial chemicals....................... 3 84 220 1 219 9 222 0 292,2 220.5 224.1 227.5 228 8 228.5 230 8 227,9 227.2 228.5 Petroleum products........................... 1 97 128.4 127 7 126 9 128 5 no 6 131.2 129.1 129 0 128.7 127 4 130.1 133.1 130.1 130.2 Rubber and plastics products........... 1 99 191 9 184 1 1887 190 3 193'6 199.2 202.0 201 6 198,8 196 3 191.5 186.9 164 6 Foods, beverages, and tobacco....... II 07 127.7 126 8 127 2 128 5 127 9 126. 7 128.8 131.0 130.9 IIO S 130.5 132,4 130.4 130.6 Foods and beverages........................ 10 25 128 4 127 J 128 1 1 7.9 2 128.5 127.5 129.7 132 0 131.9 1313 131.7 132.7 131.4 131,6 Food manufactures....................... 8 64 126 6 125 5 126 4 127 0 127 0 124.9 127.6 130.3 130.4 129 5 129.7 130.2 129.6 129,5 Beverages........................................ 1 61 137 8 135 9 137 2 141 1 136 4 141.4 141.1 141 .0 140.2 14’ 1 142.3 146.3 141.2 Tobacco products............................. 82 119.8 122:7 116.5 119:9 120 5 116.9 117.2 119.3 118.5 120:2 116.2 128.8 117.4 Mining Coal, oil, and gas................... 6 80 117 6 11$ 5 119 5 /19.8 118, 4 120.1 119.6 118 9 117.7 118. 7 119.3 121.4 Coal.................................................... 1 * 16 1152 120 7 120* 8 120 7 114 7 121 5 114 0 125.2 120,7 115 7 115.1 125.5 120,1 122,5 Crude oil and natural gas................. 5 64 118 0 119 3 119 2 119 6 119 6 119.5 119.3 119 0 119.3 1196 118.3 117.2 119.2 121.2 Oil and gas extraction,................. 491 123 8 125 9 125 5 L2519 125,3 125.6 125.2 125 1 125,7 125 4 125.3 125.5 127.1 129.1 Crude oil......................... 4 25 119 4 121 *4 120 9 121,2| 121 3 121 1 120 8 120 8 121.0 12O.'O 120.1 119.6 121 7 123.5 Gas and gas liquids,.......... 66 151 7 154 4 1551 155 5 154 4 154.6 153.3 152 3 155.7 Oil and gas drilling........................ 73 79 2 74 6 76 4 770 77 9 77 9 79 2 78 1 76.3 80 5 71.6 61.8 65 5 67.7 Metal, stone, and earth minerals..... 1.43 133,2 133.7 133.8 133.1 131.4 129.9 133.2 137.1 139.4 13d. 9 140.0 138.7 130.8 135.0 Metal mining..................................... 61 132 7 134 2 134 0 132 1 128.6 129.4 133 0 134 2 140.3 142 I 143.7 149.5 132 9 137.3 Stone and earth minerals.................. .82 133'5 133.3 133> 133.8 133.5 130 3 133.4 139.3 138,7 136.6 137.2 "''.6 129.2 133,3 Utilities Electric................................................ 4 04 179 7 177 2 182 4 186 5 184 2 181 7 183.9 183 4 185.7 183.7 186.7 185.2 189.6 Gas...................................................... 1 28 156'1 155 7 156^9 15?: 6 158:5 159.1 159.5 160.0 Note.—Published groupings include some series and subtotals no Industrial Production 1957-59 Base. Figures for individual series and shown separately. A description and historical data are available it. 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

1418 INDUSTRIAL PRODUCTION: N.S.A. AUGUST 1967 MARKET GROUPINGS (1957-59 = 100) 1957-59 1966 1966 1967 pro- aver- Grouping por- agep tion June July Aug. Sept. Oct, Nov. Dec, Jan. Feb. Mar. Apr.r Mayr June Total index.................... 100.00 156. 3 159,3 150,9 156.8 161.3 163.8 160 2 157.1 156 6 156.8 157, J 158 0 156 2 158 3 Final products, total......................... 47.35 155.4 157.8 150.0 154.7 161.2 164.7 160.0 157.2 156 8 156. 7 157.2 157.6 155.2 159.2 Consumer goods............................. 32.31 147.4 150.0 139.8 146,0 153.6 157,8 151 3 145.5 145^7 145,6 146.2 147,0 144.2 149.5 Equipment, including defense. . . . 15.04 172.6 174.6 172.0 173,5 177.8 179.4 178.7 182.4 180.6 180.4 180.8 180.3 178.9 180.0 Materials............................................ 52.65 157,1 160.7 151.8 158,7 161.3 163.1 160.4 157.0 156.4 157.0 157.0 158.4 157.0 157 8 Consumer goods Automotive products........................... 3.2/ 163.0 174,2 127.5 86.2 153,6 185.4 177,4 165.5 154.6 142.2 151.8 161.9 155.1 162.4 Autos.................................................. 1.82 169.5 190.4 112.1 32.6 150,1 202.7 193.4 175.7 155 4 132.6 151.5 167.6 166.4 177.1 Auto parts and allied products........ 1.39 154.4 152.8 147.7 156.9 158,3 162.5 156.3 152.1 153.7 154,8 152.3 154.2 140.3 143.0 Home goods and apparel........... 10.00 153.0 156.4 138,9 152,8 156.2 165.2 156 6 146.5 146.8 153.6 151.0 148.8 144.2 146.7 Home goods....................................... 4.59 168.9 170.5 152.8 164.1 174.4 184.6 176 5 170.9 162 3 166.5 165.3 159.6 159,7 160.9 Appliances, TV, and radios.......... 1 .81 166.6 171.7 140.8 149.3 170.9 191.6 173.1 163.1 153.1 167.9 162.6 151.3 152.0 151.6 Appliances......................... 1.33 166.7 177.2 150,5 145,8 168,1 190. 1 163,0 155.2 153 4 166.7 165,1 162,1 159,7 168.3 TV and home radios................. .47 166.3 156.3 113.4 159.1 178.9 195.9 201.5 185.5 152 3 171.4 155.5 120.7 130,5 104.6 Furniture and rugs,....................... 1.26 165.7 167.2 157.3 171.0 170.5 173.0 170.8 169.6 159 8 156,6 155.5 153.5 151.2 155.4 Miscellaneous home goods........... 1.52 174.2 171.9 163,3 175.9 181.7 186.0 185.2 181 .4 175.3 172,9 176.6 174.4 175.8 176.6 Apparel knit goods, and shoes........ 5.41 139.6 144.4 127,2 143.3 140.9 148.7 139.8 125.9 133 6 142.6 138.8 139.7 131.0 Consumer staples........................... 19.10 141.8 142.5 142.3 152.4 152.1 149.3 144.2 141.6 143. 7 142.1 142.7 143.5 142,3 148.8 Processed foods................................ 8.43 126.4 123.9 125.4 138.2 144.5 139.9 132.8 126.6 123,9 121.5 120,9 121.3 121.9 128 4 Beverages and tobacco............ 2.43 131.7 150.2 136,4 145.0 134.4 137.1 126.3 115.4 117 0 122.7 130,6 141.8 143,0 Drugs, soap, and toiletries................ 2.97 174.4 180.8 167,5 181.2 179.6 185.0 183 1 177.6 180 8 180,3 181,0 186 8 182.3 190 5 Newspapers, magazines, and books. 1.47 136.6 137.9 137,5 139.9 137.9 137.8 137,6 138.8 140.2 141.7 144.4 144.2 142.1 140.8 Consumer fuel and lighting............. 3.67 159.4 150.7 166.3 171.8 164,8 154.1 153.0 165.5 177.2 170.4 168.5 159.0 156.0 Fuel oil and gasoline.................... 1.20 128.6 127.1 131.1 132.9 131.9 130.6 129,0 132.2 130.8 128.8 126,7 125,0 125 7 132.3 Residential utilities........................ 2.46 174.4 Electricity.................................... 1.72 186.8 169,2 199,5 209.8 196.2 174.0 172.8 194.5 220.2 206.7 203.6 186.1 178.8 Gas............................................ .74 145.9 Equipment Business equipments................... 11.63 181.2 184,3 180.3 181.2 186.1 187.5 185.3 189.8 187,3 186.7 186.2 185.4 183.1 184.2 Industrial equipment......................... 6.85 172.2 174,6 173.2 175,8 178.6 177.3 175.6 180.2 177.7 175.9 174 3 172 1 169,3 170.8 Commercial equipment..................... 2.42 190.0 191.6 187.1 194.1 197.7 198.8 200,8 200.3 196.9 198.4 197,3 197.9 198.4 201. I Freight and passenger equipment... 1.76 208.5 213.9 208.8 199.8 206.1 218.0 212.6 218.1 214.5 215.0 218.0 222,0 218.1 217.3 Farm equipment................................ .61 167.0 179.3 149.8 136.4 167.3 169.1 154.3 174.9 179,3 180.6 183.8 180. 1 176.5 Defense equipment. ................... 3.41 Materials Durable goods materials..................... 26.73 157.4 162.4 152.1 158.4 162.7 163.5 159,6 155.4 153 0 152,3 152. 7 153.3 153 3 154.6 Consumer durable............................. 3.43 170.3 166.9 141.6 158.0 174.0 178.8 179,0 173,7 160,0 150.6 149.5 147.3 154.2 152,5 Equipment.......................................... 7.84 180.7 180.9 178.0 182.3 187,2 189.1 191.2 193.2 192,3 188,2 187.6 185,2 182.2 181.4 Construction........................ 9.17 141.6 151.5 146.6 150.0 148.2 146.1 138.2 131.3 128 5 129.5 133 4 137.8 139 3 145,7 Metal materials n.e.c......................... 6.29 144.4 152.7 133.7 141.1 147.0 148.7 140.7 133.4 136 0 141.6 138 9 139,3 137 4 135.3 Nondurable materials......................... 25.92 156.9 159.1 151,4 159.0 159.9 162.6 161.2 158,6 159 8 161,8 161.5 163.7 160.8 161,2 Business supplies..................... 9.11 148.9 151.8 141.4 149.8 153,9 157.7 153.1 147.9 148,0 151.5 153.4 157,7 152.1 152.0 Containers...................................... 3.03 145.4 150.9 142.5 152,0 152,4 152.7 143.1 134.0 139 2 145 3 145 3 153 8 146 5 151 .6 General business supplies........ 6.07 150.7 152.2 140.9 148.8 154.7 160.2 158.1 154.8 152,4 154.6 157,5 159 7 154,9 155.3 Nondurable materials n.e.c............... 7.40 192.8 195.8 183.4 192.7 192.8 198.1 200.7 195.1 198 3 201.8 198 5 201 0 198.1 197.0 Business fuel and power......... 9.4! 136.3 137.2 135.8 141.4 139.9 139.5 137.9 140,1 141.0 140.3 140.2 140.2 140 0 141.8 Mineral fuels.................................. 6.07 122,2 122.7 116.6 123.4 122.3 125.7 124.6 126.9 126.9 127,3 126.1 126,9 125.8 124.6 Nonresidential utilities.......... 2.86 173.5 Electricity........... 2.32 174.5 176.8 187.0 191.9 188,3 177.8 173.5 175.2 178 9 174 3 178 0 175.7 178.2 General industrial.......... 1.03 171.6 173.5 173,7 179.8 179.7 178.0 176.7 175,3 177 9 172.8 178 0 176.7 181 4 Commercial and other........... 1.21 184.3 186.9 206.7 210.9 204.0 185.4 178,2 182.7 187.6 183.2 186.0 182.5 183.4 Gas.............................................. .54 164.4 Supplementary groups of consumer goods Automotive and home goods....... 7.80 166.5 172,0 142,4 132.0 165.8 184.9 176,9 168.7 159.1 156.5 159 8 160.5 157.8 161.5 Apparel and staples... 7................... 24.51 141.4 142.9 139,0 150.4 149.6 149.2 143.2 138.1 141.5 142.2 141,8 142.7 139.8 For notes see opposite page. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 INDUSTRIAL PRODUCTION: N.S.A. 1419 INDUSTRY GROUPINGS (1957-59= 100) 1957-59 1966 1967 pro­ 1966 Grouping p ti o o r n ­ a a v g e e r P - June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. | Mar. Apr. r Mayr June Total index,.................................. 100.00 156. 3 159.3 150.9 156 8 161.3 163.8 160.2 157.1 156.6 156. 8 157.1 158.0 156.2 158.3 Manufacturing, total.............. 86.45 158.7 162.2 152.1 158.0 163.6 167.1 163.3 159.2 158.0 158.6 159.0 160.4 158.2 160.2 Durable.......................................... 48.07 165.1 169.0 158.2 160 4 169.5 173.2 170.2 168.3 164.7 163.7 164.7 165.1 164.6 165.9 Nondurable.................................... 38.38 150.7 153.8 144,4 155 0 156.3 159.6 154,8 147.7 149.7 152.3 151.9 154.4 150.3 153.0 Mining.............................................. 8.23 120,3 122.7 118.2 123.6 122.8 124.3 121.5 122.1 121.3 121.7 120.4 122.1 122.9 123.7 Utilities.............................................. 5.32 173.4 Durable manufactures Primary and fabricated metals.......... 12,32 151.5 156,3 143.8 IS! 2 156 I 156 3 151 8 147 7 146 8 148.2 146.7M46.5 145.0 144.7 Primary metals.................................. 6.95 142.7 149.5 131 5 139 5 144*8 146*4 1 39 8 1 i 134 5 139.4 137,2 136.5 133.5 130.1 Iron and steel................................. 5.45 136,2 142.1 127.5 133*7 1390 139*6 133*7 126 8 127 4 131.0 129.9 127.6 125,4 120,5 Nonferrous metals and products.. 1.50 166.5 176.5 146,2 160> 165^9 171.4 16l> 151 J 160*4 169.7 163.9 168.5 163.2 165.3 Fabricated metal products................ 5.37 162.8 165.0 159,7 166.2 170.8 169.1 167.3 167,9 162.6 159.6 159.0 159.4 159.9 163,5 Structural metal parts................... 2.86 158.8 162.0 157 7 162 8 164 0 162 6 163 0 154 5 153.9 153 4 154.8 160.0 Machinery and related products. .... 27.9S 176.5 179.1 168.1 166,4 180.2 186.7 185.2 185.7 181.0 178.4 180.1 180.0 179.5 J 80.5 Machinery....................................... 14.80 183 8 186.5 178 1 183 2 190 0 193 0 189 8 192 2 189 1 188 5 187.1 184.6 182.4 182. 1 Nonelectrical machinery............... 8.43 181.9 184.6 180 I 1798 186 1 186 5 185*2 191 7 190 7 189.9 190.4 188.9 186.1 186.4 Electrical machinery...................... 6.37 186.5 189.0 175 6 187 8 195 2 201 *5 I96 0 192 9 186 8 186.8 182.7 178.9 177.6 176.3 Transportation equipment................ 10.19 168.3 171.4 153 5 140*5 167 4 180 3 180*0 177 2 162.3 168,4 171.8 173.5 176.1 Motor vehicles and parts.............. 4.68 171.3 180.9 1385 106 3 163 7 187 1 183*6 174 7 159 5 146.6 155.2 161,2 165.0 169.8 Aircraft and other equipment.. . . 5.26 165.2 162.4 165.5 169^4 170^4 174*. 6 177^2 17^8 177.8 176.0 179.7 180.7 180.7 180.9 Instruments and related products. ., 1.71 176.5 178.3 175.2 178,8 181.5 183,8 184.7 186.8 184.0 182.5 184.9 184.8 183.4 185.9 Ordnance and accessories................. 1.28 Clay, glass, and lumber............ 4,72 132.9* 143.6 137.2 142 0 139 3 136 2 126 9 118 1 116 8 120.5 124.3 129.5 130.7 137.3 Clay, glass, and stone products..... 2,99 140.7 151.3 147.2 152,0 149*2 145^4 138'5 129.4 125.5 125.3 130.2 135,5 138.4 144,5 Lumber and products.................... 1.73 119.3 130.3 119 9 124 7 122 1 190,2 106 8 98 7 101 8 112.2 114.2 119.1 117.4 124,7 Furniture and miscellaneous......... 3.05 165.0 167.3 159.1 (71 9 172 0 174 8 174 2 169 7 161 0 158. 7 159.4 158.6 158.6 161.8 Furniture and fixtures...................... 1.54 171 ,9 174.3 167.2 180* 2 178*4 179* 8 178 8 178 4 168 7 166.3 164.5 162.0 161.5 166.0 Miscellaneous manufactures............. 1.51 157.9 160.1 150.9 163^5 165 5 169*8 169^6 160^9 153J 150,8 154.2 155.2 155.7 157.5 Nondurable manufactures Textiles, apparel, and leather....... 7.60 141.6 145,7 127+2 143 o (41 1 (48 5 141 5 130 0 137 9 143.9 140 1 141.7 134.9 134.9 Textile mill products................... 2.90 142.3 147.6 129.1 145 7 141 *7 146*7 142 5 131 5 140 0 140 8 137*6 142.5 140.3 137.9 Apparel products.............................. 3.59 150,3 154.3 134 0 150*7 149 9 159 9 150 8 137 0 145 7 156.7 152'. 9 152.5 141.8 Leather and products........................ 1.11 111.9 113.1 100 0 117 6 1115 1167 108*6 103 7 107 2 110.9 105,5 105.0 98,7 Paper and printing............................. 8.17 146.3 148,2 140 2 146 6 149 2 154 9 151 6 144 2 146 1 149.3 150.6 153.5 149.6 147,0 Paper and products...................... 3,43 152.1 154.9 143.7 1531 153 5 163* 3 154 5 140 4 HF 7 156.2 153,9 158.2 150.9 146.9 Printing and publishing..................... 4.74 142.2 143.3 137 7 141 9 1460 148* 8 149*5 146 9 142 0 144.4 148 3 150.2 148.7 147.1 Newspapers................................ 1.53 134.2 136 1 118 6 1260 138 4 145 6 148 7 1365 123 0 129 4 134 8 142.5 141 .9 135.0 Chemicals, petroleum, and rubber.... 11.54 181.7 186.0 174.7 183.3 185.3 189. 7 187.8 184.0 185.7 188.8 188.0 190.6 183.6 187.4 Chemicals and products.................. 7.58 193.0 198.3 187 4 194 9 195 1 198 7 200 4 196 3 197' 6 201.9 201 7 206.4 202.3 204.4 Industrial chemicals................... 3. 84 220.1 223.2 214 2 218 9 221 6 224 1 230 9 228* 8 227*4 234 3 231 3 232.9 230,8 Petroleum products.......................... 1.97 128.4 131.5 133 6 135 3 134 1 132*5 127 4 125 9 124 8 124.9 125'5 127.8 128.8 134.1 Rubber and plastics products........... 1.99 191.9 193.3 167 0 186 5 198 1 212 1 200 0 194 5 200*8 202.2 197 4 192.7 166.5 Foods, beverages, and tobacco....... 11.07 127,7 129.8 127.6 139.2 141.8 139.3 131.7 124.5 122 8 122.2 123.3 126.1 126.6 134.1 Foods and beverages......................... 10.25 128.4 129.7 129 6 140 0 143 1 140 2 132 7 126 7 123 3 122 4 124 0 125.9 127.0 134.7 Food manufactures....................... 8.64 126.6 124.' 1 (25.1 117 6 143 8 139 9 133 3 127 0 124 5 122.1 1213 121.7 122,0 128.5 Beverages....................................... 1.61 137.8 159. 8 153 4 1528 1 30 1 142* 1 129 8 (24 8 116 9 124.2 138 7 148.6 153.9 Tobacco products........................ .82 119.8 131.3 103.1 129.7 125^2 127 .*3 119,5 '97 J 117*2 119.6 114.5 128.5 121,6 Mining Coal, oil, and gas............................... 6.80 117.6 117.4 112.4 118 9 118 1 120 8 119 7 121 6 12! 6 122.2 119 8 119.6 119.1 118.4 Coal.................................................... 1.16 115.2 120.0 93 1 127*0 121 3 132 4 118 7 122*9 118 3 117.1 116.0 126.4 121.3 116.5 Crude oil and natural gas................. 5.64 118.0 116.8 116 4 117 3 117 4 118 5 119 9 121 4 122 3 123.2 120.6 118.2 118.6 118.8 Oil and gas extraction............ 4.91 123.8 123.3 122 2 122 5 122 5 124 2 126 0 127'8 129 0 129.7 128.5 127.0 126,8 126*5 Crude oil........................... 4.25 119.4 120.2 118 5 118 8 118 9 119 9 120 8 122 0 122'8 123.6 122.5 121.5 122.3 122.3 Gas and gas liquids........... .66 151.7 143.7 145 8 146 0 145 8 151 4 159 0 164 9 168 5 Oil and gas drilling................. .73 79.2 73 0 769 81 9 82 7 79 8 78 8 77*9 77 4 79 4 67.2 58.6 63.3 66.3 Metal, stone, and earth minerals..... 1.43 133,2 147.7 145.6 145.6 145,4 140,9 130.0 124.2 119.9 119.4 122.9 134.2 140.9 149.3 Metal mining.................................. .61 132.7 151,6 143 4 142 7 145 3 138 5 123 7 120.8 123.5 127.9 127,9 139.0 146.2 155.2 Stone and earth minerals.................. .82 133.5 144.9 147^2 147 8 145.S 142.7 134.7 126.8 117.3 113.2 119.1 130,6 136.9 144.9 Utilities Electric............................................. 4.04 179.7 173.5 192.3 199.5 191.7 176.2 173.2 183.5 196.5 188.1 189.0 180.1 178,4 Gas...................................... .......... 1.28 156.1 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

1420 BUSINESS ACTIVITY; CONSTRUCTION AUGUST 1967 SELECTED BUSINESS INDEXES (1957-59=* 100) Manu­ Industrial production Prices 4 facturing * Nonag- Major market groupings Con­ ricul- Period Total Tot F al inal s C u p o m r n o e ­ d r u E c m t q s e u n ip t ­ M ria a l t s e­ Mfg M . a g j r o o M r u i n i p i n g n i d n ­ g u s stry U it i t e il s ­ s t c r t t i a r o o u c n n c t ­ s ­ T m p t o e u l e m t o r n a a y t l ­ l — , 1 m p E lo e m n y ­ ­ t P ro a l y ls ­ F l c i o r n e a a g r i d g - s ­ ht s T r a e o l ta t e a i s l l 3 s C um on e ­ r W m c s o o a h m l d o e i l ­ t e y ­ 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 J 05 101.5 100.6 1960..................... 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 95.5 127 108.1 100.5 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 ............... 156.3 155.4 147.4 172.6 157.1 158.7 120.3 173.4 145 121.6 112.7 150,4 96.5 148 113.1 105.9 155.3 153.7 146.2 169,8 157,1 157.6 120.7 170.2 156 120.9 112.4 149.0 100,0 143 112,6 105.6 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 Sept.......... 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 93.9 149 114.5 106.2 158,6 158.5 148.8 179.6 159.1 161.0 121.0 176.9 130 123.4 114.6 154.5 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. t 123.0 179.6 126 124.5 114.7 156.2 97.4 150 114.7 106.2 Feb........... 156.4 156.4 145.2 180.3 156.2 158.5 122.4 178,2 143 124.7 114.1 153.2 95.6 149 114.8 106.0 Mar. 156.4 156.7 146.0 179.6 155,8 158.1 121.6 180.6 149 124.9 113.5 152.9 95.9 151 115.0 105,7 Apr '156.3 ’’157.1 '146.7 179.4 155.8 ’'158.2 '122.1 r179.2 138 124.7 112.4 '151.0 95.9 152 115.3 105.3 155.5 '156.1 *•145.7 '178.4 rl55.O '157.1 *121,3 '182.5 154 '124.6 UI.7 150.1 93.1 '151 115.6 105.8 June...... '155.3 155.9 '146,0 r117.3 154.9 '156.6 '123.8 '183.5 164 '125.1 '112.1 '150.8 '89.3 '155 116.0 106.3 Julyp........ 156.3 156.7 146.3 139.1 156.2 157.S 128,3 182.0 125.4 111.6 151.2 85.2 156 106.5 i Employees only; excludes personnel in the armed forces. value of total construction contracts, including residential, nonresidentiaf, 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; < 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 millions of dollars) 1966 1967 Ty ty p p e e o o f f o c w o n n e st r r s u h c ip ti o a n nd 1965 1966 June July Aug. Sept. Oct. Nov. Dec. Jan, Feb. Mar, Apr. May June Total construction............................. 49,272 50,150 4,854 4,774 4,302 4,083 4,106 3,461 3,189 2,838 3,300 4,424 4,389 5,095 5,414 By type of ownership: Public.......................................... 16,302 18,152 1,937 2,020 1,568 1,379 1,607 1,357 1,287 1,113 1,188 1,509 1,498 1,820 2,169 Private......................................... 32,970 31,998 2,916 2;754 2; 733 2,704 2,499 2,104 U902 U725 2,112 2;916 2,891 3^275 3'245 By type of construction: Residential building..................... 21.247 17,827 1,828 1,461 1,494 1,261 1,225 1 076 903 937 1,056 1,584 1,627 2,002 Nonresidential building......... 17.219 19 393 1 885 1’813 1 729 1,676 1,796 1 ’,424 1,358 1,175 1 '430 1,714 1,830 1,808 Non building................................. 10,805 12,930 1,140 1,499 C079 1,146 U086 961 928 726 814 1,127 931 L285 .......... 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

AUGUST 1967 CONSTRUCTION 1421 VALUE OF NEW CONSTRUCTION ACTIVITY (In nullions of dollars) Private Public Nonresidential Period Total N fa o rm n­ Buildings Mili­ High­ C v o a n ti s o e n r ­ Total de re n s t i i ­ al Total In tr d ia u l s­ m C e o rc m ia ­ l b i O n u g t i h s l e d r 3 ­ Other Total tary way de m v & e e l n o t p­ Other 2 1956.. ....................... 47,601 34,869 20,178 14,691 3,084 3,631 2,103 5,873 12,732 1,360 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 4^34 971 6; 867 1958. 50,153 34’696 19*789 14^07 2,382 3; 589 2; 704 6,232 15,457 1 402 5 545 1 019 7 491 1959* 55^305 39*235 24,251 14,984 2,106 3,930 2*823 6,125 16,070 I 465 5 761 l'l2l 7 723 1960. 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 17J48 1,371 5354 I 384 8 539 1962 4 59 .‘667 41,798 24,292 17*506 2; 842 5; 144 3,631 5,889 17,869 L266 6,365 1 524 8,714 1962 r 5......................... 63,423 44’057 26^187 17,870 2,906 4,995 3^45 6;224 19,366 1,189 7,084 1,690 9 403 1964 r 66,200 45,810 26,258 19,552 3,565 5,396 3,994 6,597 20,390 938 7,133 J 729 10 590 1965r 71‘912 49,840 26,266 23*574 5,128 6,745 4,711 6,990 22,072 852 7,554 2*,017 11,649 1966 r 74’371 50'446 23,815 26,631 6J03 6,890 5^014 8,024 23;925 713 8,359 2,173 12 680 1966r-—May................ 75,183 51,617 25,576 26,041 6,718 6,350 4,993 7,980 23,566 601 8,666 2,165 12,134 June,.............. 74,540 51,476 24,859 26'617 7,022 6; 662 4,895 8,038 23,064 763 8*307 2,138 11 856 July................ 7^088 50,492 24,137 26'355 7,012 6,763 4^94 7; 986 22^96 710 8,243 2,087 11*556 Aug................. 73,369 50356 23 j356 27,100 7,154 6,916 4^44 8;086 22,913 671 8 163 2; 190 11 889 Sept.......... 73,981 50,107 22*678 27,429 6,895 7,078 5,317 8,139 23;874 690 8 089 2,148 12 947 Oct.................. 72,255 47,883 21,587 26;296 6,673 6,685 4311 8,027 24; 372 643 8,017 2,203 13^09 Nov................. 71,987 47*096 20*324 26,772 6,876 6,689 5,098 8,109 24,891 612 8^45 2,341 13,693 Dec.......... 72'169 46,410 19'844 26,566 6,469 7; 027 5,0H 8,059 25,759 755 9,058 2,309 13,637 1967—-Jan.f................. 74,632 48,130 19,998 28,132 7,130 7,925 5,426 7,651 26,502 Feb>................ 74,745 47'709 20,437 27,272 7;054 7; 697 5,093 7,428 27;036 Mar. L............ 73'023 46,622 20,946 25;676 6^97 7,194 4,883 7; 502 26;401 Apr.P................ 71,549 45,440 21,079 24,361 5; 579 6,926 4; 749 7,107 26 J09 MayP......... 72,456 46,052 21,809 24;243 5,693 6,606 4,556 7,388 26 ,*404 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 ■'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 typo of ownership Annual rate, S.A. Government- (private only) underwritten Period Total Non­ Private 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 f M am ul i t l i y ­ Public Total FHA VA 1956............................. 1.349 1,325 24 465 195 271 1957............................. t,224 1,175 49 322 193 128 1958............................. C382 l,3t4 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 1,313 974 44 295 52 328 244 83 1962............................. 1392 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 1,119 472 1,557 972 54 532 33 264 205 59 1965............................. 1,543 CO68 475 i,505 962 50 493 38 249 197 53 1966............................. 1,252 852 400 1,220 794 40 387 32 199 158 40 1966—June 1,285 1,261 13t 88 43 128 84 4 40 3 19 15 4 July................... 1,088 1,068 105 70 35 104 71 3 30 I 17 13 4 Aug................... 1J07 1,084 107 72 35 105 71 3 31 18 14 4 Sept.................. UO75 1,050 95 64 31 92 62 3 27 3 13 to 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 47 19 64 40 2 22 2 12 9 3 Mar........... 1,167 1,140 97 65 32 96 65 3 27 2 18 14 5 Apr.................... 1,190 1J73 118 79 39 116 78 4 34 2 17 12 5 May.. .............. H ,298 ”1,274 i>136 93 43 *134 89 4 40 *2 23 18 5 June................. Pl,302 *1,283 P135 89 46 p1 29 90 4 35 ”6 24 19 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

1422 EMPLOYMENT AUGUST 1967 LABOR FORCE, EMPLOYMENT, AND UNEMPLOYMENT (In thousands of persons unless otherwise indicated) Civilian labor force, S.A. Total non- Total Unemploy­ Period i p n o s N t p it u . u S l t a . i A t o i . o n n al l N ab N o o t . r S i n . f A o t . r h c e e l f S a o b . r A c o e . r Total I E n m n p o l n o a y g e r d i- 1 U pl n o e y m ed ­ (pe r m S r a . e A t c e n e . 2 t n t) Total cultural In agriculture 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*91 1 Vs 1963........................... 125,154 50'583 74’571 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 77’178 74,455 71,088 66,726 4 361 3,366 4 5 1966.......................... 131'180 52’288 78,893 75,770 72’895 68 915 3,979 2 875 3 8 1966—July............... 131,236 50,397 78,905 75,770 72 846 68,920 3 926 2 924 3 9 Aug............... 131'419 50,755 79,247 76 069 73 141 69,206 3,935 2*928 38 Sept.............. 131'590 52’609 79,268 76,039 73,’195 69,309 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............... 132’448 53,341 80,443 77,025 74 137 70*247 3*890 2*888 37 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 June. 133 J 68 50'704 80*681 77,237 74 147 70,420 3,727 3 090 4 0 July............. 133,366 50*446 80,954 77,505 74,489 70,633 3,856 3^016 3.9 1 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 NON AGRICULTURAL 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 ­ 1 T li l r o ic a n n u s & t p il o i p t r i u e ta b s - ­ 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—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 13,393 110 9,778 11,104 Dec.............................................. 65,076 19,445 626 3 ’293 4,196 13,392 3,121 9,821 11’182 (967—Jan................................................ 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 131524 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.................... 65,476 19 224 623 3 251 4,186 13 584 3’173 10 005 11 430 May............................................ 65,428 19,127 620 3,163 4,242 13 597 3*186 10*022 1L471 Junep.............. 65 687 19 189 624 3 170 4 237 13,615 3’207 10*048 11 597 Jujyp............................................ 65,882 19;S47 628 3,203 4,256 13,643 3,213 10,124 J I1,668 NOT SEASONALLY ADJUSTED 1966—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 31137 9 841 11*498 Apr.............................................. 64,987 19,077 617 3,079 4,148 13,394 3,160 9,985 11,527 May............................................. 65 368 19,029 622 3,201 4 225 13,481 3,180 10,082 11'548 Junep............................................ 66,263 19,274 636 3,382 4,275 13,639 3*229 10,’209 H ^619 July®............................................. 66,061 19*140 637 3; 520 4,307 13,612 3,268 lo;3O6 1L271 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

AUGUST 1967 EMPLOYMENT AND EARNINGS 1423 PRODUCTION WORKER EMPLOYMENT IN MANUFACTURING INDUSTRIES (In thousands of persons) Seasonally adjusted Not seasonally adjusted Industry group 1966 1967 1966 1967 July May June** Julyi’ July May June J' July" Total................................................................... 14,201 14,065 14,115 14,058 14,159 13,984 14,184 14,015 Durable goods................................................................. 8,293 8,196 8,200 8,173 8,277 8,211 8 289 8,155 Ordnance and accessories....................................... '122 ’ 144 147 146 120 ' 142 145 ’144 Lumber and wood products.................................. 543 515 522 516 569 517 545 540 Furniture and fixtures...................................... 378 371 367 365 374 365 367 362 Stone clay, and glass products............................. 515 490 493 491 533 495 508 509 Primary metal industries........................................ 1,090 1,024 1,025 1,026 1,102 1,038 1 ,045 1,037 Fabricated metal products..................................... 1 *043 1 ,043 1,051 1,043 1,035 1,043 1,064 1,035 Machinery....................................................... 1 ,331 1,334 1 ,334 1,347 1,324 1,345 1 ,349 1,340 Electrical equipment and supplies......................... 1 '320 1,289 1,260 1,283 1 '302 1,272 1 ,256 I '265 Transportation equipment..................................... 1 ,324 1 ,354 1 ,372 1,334 1 ,299 I '368 I ,377 I ,309 Instruments and related products......................... 277 285 '284 286 '275 283 285 '284 Miscellaneous manufacturing industries............... 350 347 345 336 344 343 348 330 Nondurable goods.......................................................... 5,908 5,869 5,915 5,885 5,882 5,773 5,895 5,860 Food and kindred products................................... 1'165 1 J 80 I183 1,179 1 '200 1 J 17 1,169 1 '214 Tobacco manufactures........................................... ' 73 74 ’ 75 ’ 75 62 63 64 ' 64 Textile-mill products.................. ............ 850 825 833 829 844 825 840 823 Apparel and related products................. 1,232 1,237 1,243 1,224 1,198 1,222 1 ,233 1 ,191 Paper and allied products.................................... '530 '530 ’ 539 539 528 526 544 537 Printing publishing, and allied industries............ 656 675 677 677 653 673 676 674 Chemicals and allied products............................ 577 577 584 585 578 583 586 586 Petroleum refining and related industries............. 115 113 116 117 1 18 114 118 120 Rubber and misc. plastic products....................... 403 359 367 369 395 357 366 361 Leather and leather products................................. 307 299 298 291 306 293 299 290 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 July May JuneP July*’ July May JuneJ' JulyP July May JuneP July” Total.................................................................... 41.0 40.4 40.2 40.3 111.11 113.52 113.81 113.24 2.71 2.81 2.81 2.81 Durable goods..................................................... 41.8 41.0 40.9 41.1 119.81 122.48 123.19 122.29 2.88 2.98 2.99 2.99 Ordnance and accessories.................. 42.7 42.0 41.2 42.7 133.88 134.50 133.40 135.98 3.18 3.21 3.23 3.23 T Timber and wood products.................... 40.6 40.1 40.1 40.0 93.66 95.75 98.33 97.53 2.29 2.37 2.41 2.42 Furniture and fixtures................................ 41.0 40. I 40.2 40.0 89.13 90.85 92.46 91.31 2.19 2.30 2.30 2.30 Stone, clay, and glass products................. 41.5 41.0 41.1 40.8 113.82 116.62 117.18 116.47 2.71 2.81 2.81 2.82 Primary metal industries............................ 41.6 40.6 40.6 40.6 136.86 134.64 136.12 134.39 3.29 3.30 3.32 3.31 Fabricated metal products......................... 42.1 41.3 41.1 41.3 119.42 122.84 122.84 122.07 2.85 2.96 2.96 2.97 Machinery......................................... .... 43.3 42.2 41.9 42.3 131.89 134.30 133.77 133.46 3.06 3. 16 3.17 3.17 Electrical equipment and supplies............. 40.9 39.9 40.0 40.6 106.11 109.73 111.08 111.35 2.62 2.75 2.77 2.77 Transportation equipment......................... 42.1 41.5 41.3 41.4 137.94 142.20 141.93 140.56 3.30 3.41 3.42 3.42 Instruments and related products............. 41.7 41.1 40.9 41.0 111.90 114.80 115.49 114.93 2.69 2.80 2.81 2.81 Miscellaneous manufacturing industries... 39.7 39.5 39.4 39.6 86.24 91.57 91.80 90.32 2.20 2.33 2.33 2.31 Nondurable goods............................................. 40.1 39.4 39.5 39.4 99.14 100.47 100.63 101.77 2.46 2.S5 2.56 2.57 Food and kindred products....................... 41.3 40.6 40.7 40.6 105.59 107.59 107.98 108.36 2.52 2.65 2.64 2.63 Tobacco manufactures............................... 37.9 38.3 39.0 38.4 87.23 90.30 94.41 90.68 2.32 2.37 2.39 2. 38 Textile-mill products.................................. 41.7 40.5 40.3 40.4 81.76 81.81 82.21 81.20 1.97 2.02 2.02 2.02 Apparel and related products................... 36.2 35.9 35.6 35.9 67.88 71.80 71.96 72.36 1.87 2.00 2.01 2.01 Paper and allied products,....................... 43.4 42.6 42.5 42.6 120.50 119.85 122.41 122.98 2.77 2.82 2.86 2.88 Printing, publishing, and allied industries. 39.0 38.2 38.4 38.4 121.83 124.48 124.86 124.53 3.14 3.25 3.26 3.26 Chemicals and allied products................... 42.0 41.2 41.3 41.4 126.00 127.10 128.65 129.17 3.00 3.07 3.10 3.12 Petroleum refining and related industries.. 42.4 42.7 42.5 42.6 147.06 153.58 152.80 155.52 3.42 3.58 3.57 3.60 Rubber and misc. plastic products.......... 41.5 40.8 41.0 40.3 110.27 106.90 108.62 105.46 2.67 2.62 2.63 2.63 Leather and leather products..................... 38.3 37.8 37.8 38.0 74.49 77.42 79.28 79.13 1.91 2.07 2.07 2.05 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

1424 PRICES AUGUST 1967 CONSUMER PRICES (1957-59= 100) Housing Health and recreation Period it A em U s Food Total Rent H o s w o h m n ip e e r - ­ F c a o o u n i a e d l l l t e r G a i l c n e a i d c s t ­ y o n F p i a n i n u e s g d h r r s a ­ ­ ­ A up p a k p n a e d r e e p l T p t r o i a o r n t n a s ­ ­ Total M c i a c e a r d e l ­ s P c 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 h rv 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 lOt.4 100.2 102.8 100,7 100.6 103,8 102,8 104.4 102,4 102.4 101.8 I960. 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 tO3.8 1961 . 104.2 102.6 103.9 104.4 104.4 101.6 107.9 101.4 103.0 105.0 107.3 111,3 104.6 107.2 104.6 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--June.............. 112.9 113.9 111.1 110.2 115.8 107.0 108.1 104.8 109.4 1 12.2 118.7 127.0 112.2 117.0 114.9 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 HO.6 116.4 107.0 108.1 105.2 109.2 113.5 U9.5 128,4 112.7 117.4 115.5 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 May.............. 115.6 113.9 113.9 112.1 119.7 110.8 108,3 107.9 113.8 115.5 122.8 135,7 115.0 119.6 116.7 June.............. 116.0 115.1 114.1 112.2 119.9 110.5 108.2 108.1 113.9 115.7 123.2 136.3 115,3 119,7 116.9 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 o s e 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 u e 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 a q e h n r u i y a d n i ­ p ­ ­ F t e u u t r r c e n . , i ­ N t m m a o l i l e n n i ­ c ­ - T e p t q r o i a o u r n n i t p a s ­ ­ ­ n c M e e o l i l u s a ­ s ­ ment erals 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 1960............................. 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—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 Mar................... 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 H15.7 103.3 98.8 95.9 104.1 103.9 109.1 111.6 100.6 103.9 n.a. 108.0 May................. 105.8 100.7 110.7 106.0 101.6 '115.2 104.4 98.8 95.8 104.2 103.9 108.9 111.6 100, 8 103.8 n.a. 108.0 June................. 106.3 102.4 112.6 106.0 101.6 115.6 104.0 98.5 95.8 104.7 103.9 108.9 111.6 100.8 103.9 n.a. 109.6 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 PRICES 1425 WHOLESALE PRICES: DETAIL (1957-59= 100) 1966 1967 1966 1967 Group Group June Apr. May June June Apr. May June Farm products: Pulp, paper, and allied products: Fresh and dried produce..................... 99.7 99.6 104.4 114.3 Pulp, paper, and products, excluding Grains........................................... 94.9 98,3 98.0 96.1 building paper and board............... 103.4 104,3 104.3 104.3 Livestock............................................... 110.1 94,0 102.6 104.9 Woodpulp............................................ 98.0 98.0 98.0 98.0 Live poultry........................................... 95.6 89.0 85.6 85,7 Wastepaper........................................... 112.7 79.1 77.5 76.7 Plant and animal fibers....................... 90.3 69.9 69.9 70.9 Paper.................................................. 108.0 109.3 109.5 109.6 Fluid milk........................................... 112.6 119.1 120.9 121.3 Paperboard........................................... 97.2 97.3 97.3 97.3 Eggs....................................................... 90.9 77,0 74.5 76.0 Converted paper and paperboard.... 102.4 104.9 104.9 104.9 Hay and seeds...................................... 122.6 118.4 117.8 116.6 Building paper and board.................. 92,4 92.2 91.7 91,5 Other farm products............................. 101.1 99.2 99.9 100.2 Processed foods and feeds: Metals and metal products: Cereal and bakery products................ 114.0 117.2 117.4 117.2 Iron and steel....................................... 102.0 103,2 103.2 103.3 Meat, poultry and fish......................... 109.9 100.6 103.8 108.3 Steel mil! products................................ 104.5 105,6 105.7 105.7 Dairy products..................................... 116.5 120.1 120.8 122.2 Nonferrous metals............................... 123.2 120.0 118.9 118.7 Processed fruits and vegetables........... 104.9 104,3 105.1 106.5 Metal containers......................... 110.1 111.5 111.7 111,7 Sugar and confectionery...................... 109.4 111.8 112,0 112.7 Hardware.............................................. 109.8 112.8 112.9 113.0 Beverages and beverage materials.... 106.1 105.9 106.0 106. 3 Plumbing equipment........................... 108.5 110,5 110,7 110,8 Animal fats and oils............................. 105.8 91.5 89,8 82.4 Heating equipment............................. 92.5 92.0 92.0 92.5 Crude vegetable oils............................. 105.6 93,8 93.9 91.7 Fabricated structural metal products. 104.1 104.9 105.1 104.9 Refined vegetable oils.......................... 104.7 96.8 96.6 93.5 Miscellaneous metal products.,.,.., 111.2 113.6 113.7 113.7 Vegetable oil end products.................. 101,9 101.6 101.6 101.6 Miscellaneous processed foods............ 112.5 112,9 112.4 112.6 Manufactured animal feeds................. 124.1 122.9 118.7 122.4 Machinery and equipment: Textile products and apparel: Agricultural machinery and equip.... 118.4 121.8 121.8 121.8 Construction machinery and equip... 118.9 121.8 121,9 121.9 Cotton products................................... 102,8 100,8 100.3 99.7 Metalworking machinery and equip.. 119.0 122.9 123.6 123.6 Wool products...................................... 106.5 102.9 103.1 103.2 General purpose machinery and Man-made fiber textile products........ 90.0 86.8 86.3 85.8 equipment......................................... 109.8 113.0 113.2 113.1 Silk yarns.............................................. 143.8 164.5 167.0 167.0 Special industry machinery and Apparel.................................................. 104.8 106.2 106.3 106.7 equipment (Jan. 1961= 100)........... 111.8 115.8 116,1 116.1 Textile housefurnishings...................... 104.1 105,2 105.5 105.3 Electrical machinery and equip......... 98.8 102.3 101.9 101.8 Miscellaneous textile products............ 124.1 119.4 118.5 118,0 Miscellaneous machinery................... 106.0 108.8 108.9 109.1 Hides, skins, leather, and products: Furniture and household durables: Hides and skins.................................... 161.0 r88.3 *•87.2 95.8 Leather................................................ 126.6 112.9 110.9 110.2 Household furniture........................... 108.9 112.4 112,4 112.4 Footwear............................................... 118.9 121.5 121.4 121.5 Commercial furniture......................... 105.3 109.3 111.9 111.9 Other leather products......................... 115.7 114.5 114.3 113.3 Floor coverings................................... 97.1 93.1 93.1 93.1 Household appliances......................... 89.4 89.8 89.7 90.0 Fuels and related products, and power: Home electronic equipment............... 83.5 83.3 82.9 82.0 Other household durable goods........ 110.4 115.7 115.8 115.9 Coal....................................................... 97.2 102.7 102.6 102.4 Coke...................................................... 109,4 112.0 112.0 112,0 Gas fuels (Jan. 1958=* 100).................. 128.5 134,8 135.0 134.3 Nonmetallic mineral products: Electric power (Jan. 1958= 100)......... 100.2 100,6 100,6 100.5 Crude petroleum.................................. 97.4 98.3 98.3 98.3 Flat glass.......................................... 100,2 103.3 103.3 103.3 Petroleum products, refined................ 100,2 101.7 103.7 103.1 Concrete ingredients........................... 103,6 106.0 105.9 105.9 Concrete products............................ 103.0 104.6 105.2 105.7 Chemicals and allied products: Structural clay products excluding refractories....................................... 108.4 109,4 109.7 109.7 Industrial chemicals.......................... 95.8 97.6 97.5 97.2 Refractories......................................... 103.9 104.9 104.9 104.9 Prepared paint..................................... 106,8 108.8 108.8 108.8 Asphalt roofing................................... 94.4 94.8 88.3 88.3 Paint materials..................................... 89.9 91,2 91.0 91.0 Gypsum products................................ 102.7 102,3 102,3 100.9 Drugs and pharmaceuticals................. 94.3 94.0 94.1 94.1 Glass containers.................................. 99.2 101.0 101 .0 101,0 Fats and oils, inedible.............. 101.6 85.3 82.9 79.5 Other nonmetallic minerals................ 101.2 102.0 102,1 102,2 Agricultural chemicals and products.. 102.9 105.2 105,2 105,1 Plastic resins and materials................. 88.4 90.4 90,7 90.3 Other chemicals and products............ 106.2 108.6 108,7 108.5 Transportation equipment: Rubber and products: Motor vehicles and equipment.......... 100,7 101,6 101,6 101.4 Railroad equipment (Jan. 1961 = 100), 101,0 102,7 102,9 102.9 Crude rubber........................................ 89.5 86.5 85.9 86.2 Tires and tubes..................................... 94.4 94.0 94.0 94.0 Miscellaneous rubber products........... 98.9 101.5 101.5 101,5 Miscellaneous products: Lumber and wood products: Toys, sporting goods, small arms, , ammunition...................................... 103.7 105.2 105,3 105.3 Lumber................................................ 112.0 106.6 107.0 108.0 Tobacco products................................ 110.3 110.3 110.3 114.8 Mill work.............................................. 110.6 111.6 111.7 111,7 Notions............................................... 101.8 100.8 100.8 100.8 Plywood................................................ 92.2 87.9 87.5 87,6 Photographic equipment and supplies 108.7 110.2 110. 1 110. 1 Other wood products (Dec. 1966= 100) ...........1.02.0 102,0 102.0 Other miscellaneous products............ 105.1 107.4 107.4 108.0 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

1426 NATIONAL PRODUCT AND INCOME AUGUST 1967 GROSS NATIONAL PRODUCT (In billions of dollars) 1966 1967 Item 1929 1933 1941 1950 1962 1963 1964 1965 1966 II III IV I IP Cross national product..................................... 103.1 55.6 124.5 284.8 560.3 590.5 632.4 683.9 743.3 736.7 748 8 762 1 766 3 775 3 Pinal purchases. ................................................ 101.4 57.2 120.1 278.0 554.3 584.6 626.6 674.5 729. 9 722.6 737 4 743’ 6 759.2 773 2 Personal consumption expenditures................ 77.2 45.8 80.6 191.0 355.1 375.0 401.2 433.1 465.9 461 6 470.1 413 8 480.2 488.9 Durable goods............................................. 9,2 3.5 9.6 30.5 49.5 53.9 59.2 66.0 70.3 68 2 70.9 70 6 69.4 72 1 Nondurable goods........................................ 37.7 22.3 42.9 98.1 162.6 168.6 178.7 191.2 207.5 207 1 209 5 210*3 214 2 216 6 Services................................................. 30.3 20.1 28.1 62.4 143.0 152.4 163.3 175 9 188 1 186 3 189 8 192 9 196 6 200 2 Gross private domestic investment.................. 16.2 1.4 17.9 54.1 83.0 87.1 94.0 107.4 118.0 118 5 116.4 122.2 110 4 106 1 Fixed investment....................................... 14.5 3.0 13.4 47.3 77.0 81.3 88.2 98.0 104.6 104.5 104.9 103.7 103.3 104.0 Nonresidential......................................... 10.6 2.4 9.5 27.9 51.7 54.3 61 1 71.1 80.2 78 7 81 2 82 8 8? 9 81 1 Structures........................................... 5.0 9 2.9 9.2 19.2 19.5 21.2 25 1 27 9 27 5 28*2 27* 7 27 7 26 3 Producers’ durable equipment............. 5.6 1.5 6.6 18.7 32.5 34.8 39.9 46.0 52.3 51*2 53 J 55’ 1 54^2 55^0 Residential structures................ 4.0 .6 3.9 19.4 25.3 27.0 27.1 27.0 24.4 25 8 23 7 20 9 21 4 22 7 Nonfarm................................................ 3.8 .5 3.7 18.6 24.8 26.4 26.6 26^4 23.8 25 3 23'2 204 20 9 22'1 Change in business inventories................... 1.7 -1.6 4.5 6.8 6.0 5.9 5 8 9 4 13 4 14 0 11 4 18 5 7.1 2 I Nonfarm.................................................... 1 .8 -1.4 4.0 6.0 5.3 5.1 6 4 8 4 13 7 14 4 12 0 19 0 7 3 2 2 Net exports of goods and services................... 1.1 .4 1.3 1.8 5.1 5.9 8.5 6.9 5.1 5 4 4.6 4 3 5.3 5.2 Exports......................................................... 7.0 2.4 5.9 13.8 30.3 32.3 37 1 39 1 43 0 42 5 43.7 44 0 45 3 44 8 Imports...................................................... 5.9 2.0 4.6 12.0 25.1 26.4 28.6 32 2 37 9 37 1 39.0 397 39.9 39 6 Government purchases of goods and services. . 8.5 8.0 24.8 37.9 117.1 122.5 128.7 136.4 154.3 151.2 157.7 161.7 170.4 175.2 Federal....................................................... 1.3 2.0 16.9 18.4 63.4 64.2 65.2 66.8 77.0 74 9 79.5 81 5 87 1 89 5 National defense..................................... 13.8 14.1 51.6 50,8 50 0 50 1 60.5 58 4 63.0 65 6 70.2 12 6 Other......................................................... 3.1 4.3 11.8 13.5 15.2 16.7 16.5 16 6 16.6 159 16.8 16 9 State and local............................................ 7.2 6.0 7.9 19.5 53.7 58.2 63.5 69.6 77.2 76.2 78.1 80.2 83.3 85.6 Gross national product in constant (1958) dollars............................................................ 203.6 141.5 263.7 355.3 529.8 551.0 581.1 616.7 652.6 649.3 654.8 661.1 660.7 664.6 Note.—Dept, of Commerce estimates. Quarterly data are seasonally adjusted totals at annual rates. For back data and explanation of series, see the Survey of Current Business, July 1967, and Supplement, Aug. 1966. ' NATIONAL INCOME (In billions of dollars) 1966 1967 Item 1929 1933 1941 1950 1962 1963 1964 1965 1966 II III IV I 11" National income, 86.8 40.3 104.2 241.1 457.7 481.9 518.1 562.4 616.7 610.4 622.1 634.1 636.4 Compensation of employees 51.1 29.5 64.8 154.6 323.6 341.0 365.7 393.9 435.7 430.7 441.2 450.2 459.1 463 1 Wages and salaries. .. 50.4 29.0 62.1 146.8 296.1 311.1 333.7 359.1 394.6 390.2 399.6 407.4 414.7 418 0 Private..................... 45.5 23.9 51.9 124.4 240.1 251.6 269.4 289.8 316.7 313.8 320.1 326.1 331.4 333 0 Military................... .3 .3 1.9 5.0 10.8 10.8 11.7 12.1 14.7 14.2 15.1 15.8 16.1 16 2 Government civilian 4.6 4.9 8.3 17.4 45.2 48.6 52.6 57.1 63.2 62.2 64.3 65.6 67.3 68 8 Supplements to wages and salaries.............. .7 .5 2.7 7.8 27.5 29.9 32.0 34.9 41.1 40.5 41.6 42.7 44.4 45 2 Employer contributions for social in­ surance .............................................. .1 .1 2.0 4.0 13.7 15.0 15.4 16.2 20.3 20.0 20.6 21.1 22.2 22 3 Other labor income.................................. .6 .4 .7 3.8 13.9 14.9 16.6 18.6 20.8 20.5 21.1 21.7 22.2 22 9 Proprietors’ income............. 15.1 5.9 17.5 37.5 50.1 51.0 52.3 56.7 59.3 59.3 59.2 58.6 57.8 57 1 Business and professional 9.0 3.3 11.1 24.0 37.1 37.9 40.2 41.9 43.2 43.3 43.3 43.4 43.2 43 4 Farm................................. 6.2 2.6 6.4 13.5 13.0 13.1 12. 1 14.8 16. 1 16.0 15.9 15.1 14.6 14 3 Rental income of persons 5.4 2.0 3.5 9.4 16.7 17.1 18.0 19.0 19.4 19.3 19.4 19.6 19.8 20 0 Corporate profits and inventory valuation adjustment..................................1..0....5......-..1...2 15.2 37.7 55.7 58.9 66.3 74.9 82.2 81.3 81.9 84.6 78.1 Profits before tax....................................... 10.0 1.0 17.7 42.6 55.4 59.4 66.8 76.6 83.8 83.6 84.0 83.9 79.0 Profits tax liability.................................. 1.4 .5 1.6 17.8 24.2 26.3 28.3 31.4 34.5 34.5 34.6 34.6 32. 5 Profits after tax...................................... 8.6 .4 10.1 24.9 31.2 33.1 38.4 45.2 49.3 49.2 49.4 49.3 46.5 Dividends.............................................. 5.8 2.0 4.4 8.8 15.2 16.5 17.8 19.8 21.5 21.6 21.6 21.2 22.2 23 I Undistributed profits........................... 2.8 -1.6 5.7 16.0 16.0 16.6 20.6 25.4 27.8 27.6 27.8 28.2 24.2 Inventory valuation adjustment .5 -2.1 -2.5 -5.0 .3 -.5 -.5 -1.7 -1.6 -2.3 -2.2 .7 -.8 — 6 Net interest, 4.7 4.1 3.2 2.0 11.6 13.8 15.8 17.9 20.2 19.8 20.4 21.1 21.6 22 1 Note.—Dept, of Commerce estimates. Quarterly data are seasonally adjusted totals at annual rates. Sec also Note to table above. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 NATIONAL PRODUCT AND INCOME 1427 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 II III IV I IIP Gross national product............... 103.1 55.6 124.5 284.8 560.3 590.5 632.4 683.9 743.3 736.7 748.8 762.1 766.3 775.3 [ess* Capital consumption allowances......... 7.9 7.0 8.2 18.3 50.0 52,6 56.1 59.9 63.5 63.1 63.9 64.7 65.5 66.4 Indirect business tax and nontax lia­ bility. ................... 7.0 7.1 11.3 23.3 51.5 54.7 58.4 62.2 65.1 64,7 65.9 67.0 67.9 69.0 Business transfer payments.................. .6 .7 .5 .8 2.1 2,3 2.5 2.6 2.7 2.7 2.7 2.8 2,8 2.8 Statistical discrepancy.................... .7 ,6 .4 1.5 .5 — .3 -1.3 -2.0 -2.6 -2.2 -3.2 -3.8 -4.0 Plus; Subsidies less current surplus of gov­ ernment enterprises............ 1 . 1 .2 1.4 .8 1.3 1 .2 2,2 2.0 2.7 2.6 2.3 2.2 Kqiials! National income................... 86.8 40.3 104.2 241.1 457.7 481.9 518.1 562.4 616.7 610.4 622.1 634.1 636.4 Less: Corporate profits and inventory valu­ ation adjustment................. 10.5 -1.2 15.2 37.7 55.7 58.9 66.3 74.9 82.2 81.3 81.9 84.6 78.1 Contributions for social insurance.... .2 .3 2.8 6.9 24.0 26.9 27.9 29.7 38.2 37.4 38.9 39.8 42,2 42.5 Excess of wage accruals over disburse­ ments ..................................... Plus • Government transfer payments........... .9 1.5 2.6 14.3 31.2 33.0 34.2 37.2 41.2 39.2 41.3 44.7 48.1 48.6 Net interest paid by government and consumer........................................ 2,5 1.6 2.2 7.2 16.1 17.6 19.1 20.4 22.3 22.0 22.4 23.2 23.7 23.9 Dividends............................................. 5.8 2.0 4.4 8.8 15.2 16.5 17.8 19.8 21.5 21,6 21.6 21.2 22.2 23.1 Business transfer payments................. .6 .7 .5 .8 2.1 2.3 2,5 2.6 2.7 2.7 2.7 2.8 2.8 2.8 Equals' Personal income.................................. 85.9 47.0 96.0 227.6 442.6 465.5 497. S 537.8 584.0 577.3 589.3 601.6 612.9 618.9 Less: Personal tax and nontax payments.... 2.6 1.5 3.3 20.7 57.4 60.9 59.4 65.6 75,2 74.1 76.9 79.6 80.2 78.6 Equals*. Disposable personal income............... 83.3 45.5 92.7 206.9 385.3 404.6 438.1 472.2 508.8 503.3 512.4 522.0 532.7 540.2 Less • Personal outlays.................................... 79.1 46.5 81.7 193.9 363.7 384.7 411.9 445.0 479.0 474.6 483 2 487,4 493.9 503,2 Personal consumption expenditures.. 77.2 45.8 80.6 191.0 355.1 375.0 401.2 433.1 465,9 461.6 470.1 473,8 480.2 488,9 Consumer interest payments............ 1.5 .5 .9 2.4 8.1 9.1 10.1 11.3 12.4 12.3 12.5 12,9 13.1 13.3 Personal transfer payments to for­ eigners ......................................... .3 .2 .2 .5 .5 .6 .6 .7 .6 .7 .6 .6 .7 1.0 Equals: Personal saving............................. 4.2 -.9 11.0 13.1 21.6 19.9 26.2 27.2 29.8 28.7 29.2 34.6 38.8 37.1 Disposable persona! income tn constant (1958) dollars....................................................... 150.6 112.2 190.3 249.6 367.3 381.3 407.9 434.4 456.3 452.6 458.4 463.2 470.6 474.7 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' 1967f Item 1965 r 1966' June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr. May JuneP Total personal income........................ 537.8 584.0 581.1 584.7 589.1 594.1 597.5 602.1 605.0 610.4 612.6 615.6 616.5 618.2 621.9 Wage and salary disbursements.......... 359.1 394.6 393.9 397.1 399.8 401.9 404.8 407.6 410.0 413.8 414.2 416.2 416.7 417.2 420.0 Commodity-producing industries... 144.5 159.3 159.5 159.6 161.2 162.2 163.2 164.1 164.9 166.2 165.2 165.6 165.0 164.3 164.9 Manufacturing only...................... 115,6 128.1 128.1 128,2 130.0 130.8 132.1 132.8 132.8 133.7 132.7 132.9 132.5 132.2 132.9 Distributive industries..................... 86.9 93.9 93,7 94.8 94.8 95.0 95,9 96.5 97.2 98.4 98.6 99.1 99.1 99.3 100,2 Service industries...................... 58.3 63.5 63.4 63,8 64.3 64.7 64.9 65.6 65.9 66.4 66.9 67.6 68.2 68.6 69.4 Government.......................... 69.3 11,9 77.3 78.8 79.4 80.1 80.8 81.4 82.0 82.7 83.4 84.0 84.5 85.0 85.5 Other labor income............................. 18.6 20.8 20.7 20.9 21.1 21.3 21.4 21.7 21.9 22.1 22.2 22.4 22.6 22.8 23.1 Proprietors’ income................. 56.7 59.3 59.1 59.3 59.2 59.2 58.3 58.6 58.8 58,3 57.8 57.4 57.7 57,8 57.8 Business and professional............... 41.9 43.2 43.5 43.3 43.3 43.4 43.3 43.5 43.5 43.3 43.2 43.1 43.3 43,4 43.5 Farm................................................. 14.8 16.1 15.6 16.0 15.9 15.8 15.0 15.1 15.3 15.0 14.6 14.3 14.4 14.4 14.3 Rental income............................. 19.0 19.4 19.3 19.4 19.4 19.4 19.5 19.6 19,7 19.7 19.8 19.9 20.0 20.0 20.1 Dividends............................................. 19.8 21.5 21.6 21.6 21.5 21,7 21.6 21.6 20.2 21.8 22.3 22.6 22.8 23.1 23.3 Personal interest income................... 38.4 42.4 42.2 42.5 42.8 43.3 43.8 44.3 44.8 45.0 45.2 45.5 45.8 46.0 46.2 Transfer payments............................... 39.7 43.9 41.8 42.4 43.8 45.8 46.6 47.4 48.5 49.7 51.1 51.7 51.0 51.5 51.7 Less: Personal contributions for social insurance............................ 13.4 17.9 17.5 18.3 18.4 18.4 18.6 18.7 18.8 20.0 20.0 20.1 20.1 20,1 20.2 Nonagricultural income........................ 518.4 563.1 560.7 563.9 568.3 573.4 577.5 581.9 584.8 590.2 593.0 596.2 596.9 598.8 602.4 Agriculture income............................... 19.3 20.9 20.4 20.8 20.8 20.7 19.9 20.2 20.3 20.2 19.6 19.5 19.5 19.5 19.4 Note.—Dept, of Commerce estimates. Quarterly data are 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

1. SUMMARY OF FLOW OF FUNDS ACCOUNTS FOR FIRST QUARTER, 1967—SEASONALLY ADJUSTED ANNUAL RATES (In billions of dollars) Private domestic nonfinancial sectors Financial sectors Rest of State UK the AU Natl. Sector H h o o u ld s s e­ B n u e s s i s ­ an g d o v lo ts c . al Total Govt. Total M a o u n t e h ta . ry C ba a n ro k l s , N f o in n a b n a c n e k world sectors Di a s n c c r y ep­ an s d a v in in v g e st­ ment Transaction category U S u s u s u s u s u s u s u s U 8 u s u s U 1 Gross saving............................ ......... 122.2 ......... 75.1 ........ -1.7 ........ 195.6 ...........-12.C......... 3.3 * ......... 1.7 ......... 1.6 ......... -2.5 ......... 183.9 184.3............ 1 2 Capital consumption........... ......... 67.0 ........ 55 4 ......... 122.4 ......... 1.1 ...................5 6 ......... 123.5 123.5............ 2 3 Net saving (1—2)................. ......... 55.2 ......... 19.7 ......... -1.7 ......... 73.2 .........-12.6 ...... 2.2 »......... 1.2 ......... 1.0 ......... -2.5 ........ 60.3 62.8......... 3 4 Gross investment (54-1®)........ 119.0 ........ 74.0......... -2.2......... 190.8 ......... -9.9 ......... 3.0........ * 1.6 - 1.4........ -1.4......... 182.6 ......... -2.8 181.2............ 4 5 Private cap. expend., net........ 88.3........ 90.5......... 178.8 ......... 1.0........ 179.8 ........ 179.8......... 5 6 Consumer durables....... 69.4 . 69.4......... 69 4 ......... 69.4......... 6 1 7 Residential constr............... 14.3........ 7.1........ 21.4......... 21.4......... 21.4......... 7 8 Plant and equipment.......... 4.7........ 76 3 ......... 80 9 ......... 10 .5......... .5......... 81.9......... 81.9......... 8 7 1 . 7.1......... 7.1........ 7.1......... 9 10 Net financial invest. (11—12). 36.7........ -16.4........ -2.2......... 12.0......... -9.9 ....... 2.1........ * 1.1......... .9........ -1.4........ 2.8........ -2.8 1.4......... 10 50.3 10.4 10 7......... 71.3......... 4.3........ 80.7........ 3.7 37.0....... 40.0......... 1.9....... 158.2 ____ 3.3........... 11 ......... 19.5 ......... 20.9 12.9 ........ 59.3 ......... 14.1 ......... 78.6 . 3.6 ......... 35.9 ....... 39.1 ......... 3.3 ........ 155.4 1.9........... 12 13 Gold & off. U.S. fgn. exch . -1.0 -3.1........ —3 1......... .2 -3.9 -3.9 -3.9 ......... 13 14 Treasury currency^............ ......... .9 .7........ 7......... .7 .9 .2 .... 14 6.2 5 0 13 4.3 6-2 ......... 15 16 Private domestic.............. 9.2 —4 1 ■ - 18 • • • - 7.0 . .9 10.6 3 3 74 9 .... 7.9 10.6 2.7 ......... 16 17 U.S. Govt........................ —1.6 ......... —2.4 ......... 1.8 ......... —4.2 -1.6 -2 4 -.9 17 ......... —2.0 ......... — 1 ......... —19 —2.0......... ......... -2.0 ......... 18 19 Time and svgs. accounts... 34.6 . 50.3........ .2 51.8 .2......... ........ 51.8 ......... 19 20 At comb banks . 18.1......... 10 0......... 5.7......... 33.9 .... . * _ ......... 35.1 ......... 35 1 12 ....... 35.1 . 20 21 At svgs. instit. ...... 16.4 , . 16 4 .... .2 16.7 .2 16.7 .... 16.7 .. ...... 21 22 Life insur. reserves............. 6.4 6 4........ ...................1 ........ 6.3 ......... 6.3 6.4 ., ......... 22 23 Pension fund reserves........ U.S . ......... 2.7 11.8 2.7 ......... .7 . ... 84 ....... 8.4 ....... 11.8 ......... 23 .2 .2 1.5 -1.3 -1.3 1.5 .2 .2 . ......... 24 25 Credit mkL instr................. -9.5 17.9 -.4 31.5 3.0 10.1 -6.8 59.5 5.0 10.8 74.9 .6 4.5......... 37.4 .8 32.9 -.2 3.4 5.5 76.5 76.4 .. ......... 25 26 U.S. Govt, securities.... —5.5 ....... —6 2......... —3 5 ....... -15 2 ■ • . ....... 10 § 23.2 .... 4 8 18.7 — .3......... 2 7......... ........ 10.8 26 27 State and local oblig........ —12 .. 7 .... -.4 9.8 -.9 9.8 10 7......... 8 7 2 0......... .... 9.8 . 27 28 Corp, and foreign bonds. 6 13 1 6 6 7.2 13.1 8.4 2.3 8 8.4 1.5 .6 .8 ........ 16.2 .. ......... 28 29 Corp, stocks.................... —3 1 . Q -3.1 .9 7.5 3.1 * 7.5 3.1 -.2 I . . . 4.2 . 29 30 1 - to 4-family mortgages. -.3 9.7 1 4 .1 9.8 16... 8.7 .6 1 1 - 7.6 .6 ........ 10.4 ......... 30 31 Other mortgages.............. . 1 3 5 2 £ 5 g........ 5 7 1 0 . 4 7 ...... ........ 6.5 31 32 Consumer credit.............. ......... 4.3 2 I 2.1 4.3 2 2 1 4 . 9......... ........ 4.3 .................... 32 33 Bank Ioans n.e.c.............. 1 4 6 5 7 9 1.4 -5.6 1 3........ ......... -5.6......... —.9 ......... 1.4 ........... 33 34 Other loans...................... ......... 1.3 3.0 5.6 ...................2 3.0 7.1 2.5......... 7.1 .1 -.3........ 5.2........ 2.3 .1 .3 5.5 12.9 12.7 -.1 ....... ......... 34 35 Open market paper... 3.0 4.7 3.0 4.7 5.1 2.9 — 3 ....... 5 2.. .2 2.9 .3 .7 ........ 8.3 ........... 35 * 3 2 5 2 5......... —28 ......... —2.8 4.7 ........ 2.5 ......... ......... 36 37 Security credit..................... 3.5 1.4 3.5 1.4 3.4 5.5 2 1 . 1.3 5.5 * ........ 6.9 ..................... 37 38 To brkrs. and dealers.... 3.5 . 3 5....... 2.0 5.5 2.6 .... — .6 5.5 * ........ 5.5 ..................... 38 I 4 1 4 1 4 — .4 . - 1 8......... ........ 1.4 ............... 39 1 1......... .1 .1 19........- ...................2 ...................1 1 2.0 .4 -1.6 .................... 40 ♦ 2.1 1.3 1 2.1 1.4 2.0 -.7 .2......... .2......... 4.3 .7 -3.5 .................... 41 42 Equity in noncorp, business. —6 8 . —6 8 -6.8 -6.8 ......... -§.8 .................... 42 43 Mise, financial trans............ .9 .2 2.8 .8 3.8 1.0 -2.1 2.3 3.3 -.5 ♦ -1.2 -3.0 4.4 2.4 -1.0 1.7 4.0 4.4 .4 ..................... 43 44 Sector discrepancies (1 — 4)... 3.1 -....... 1.1......... 5......... 4.7......... -2.7........ .3 .1.........2......... -1.0____ 1.3......... 1.3 | 5.1......... 44 1 Claims between commercial banks and monetary authorities: member bank reserves, vault cash, F.R. loans to banks. F.R. float, and stock at F.R. Banks. 1428 FLOW OF FUNDS AUGUST 1967 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 FLOW OF FUNDS 1429 2. SAVING, INVESTMENT, AND FINANCIAL FLOWS (In billions of dollars) 1965 1966 1967 Transa o c r ti o se n c t c o a r tegory, 1962 1963 1964 1965 1966 I II in IV I II III IV I I. Saving and investment 1 Gross national saving......................... 134.5 144.5 160.3 179.0 192.6 176.6 176.2 178.9 184.5 189.4 191.2 191.9 198.0 186.3 1 2 Households.................................... 82.0 85.8 98.3 106.6 114.2 102,6 101.5 110,2 111.8 112.3 110.7 113.6 120.1 122.2 2 3 Farm and noncorp, business........ 13.1 13.5 14,5 14.8 15.5 14.6 14.7 14.9 15.0 14.8 15.7 15.8 15.8 16.5 3 4 Corporate nonfin. business.......... 41.8 43.9 50.5 55.7 60.3 54.5 54.6 56.1 57.8 58.8 59.2 59.8 63.5 58.6 4 5 U.S. Government.......................... -4.8 -.6 -4.3 -.9 3.2 3.2 -4.8 -1.2 1.2 1.5 -1.9 -4.5 -12.6 5 6 State and local govt....................... -1.4 — 1.5 -1.4 -1.4 .3 -1.6 — 1.3 -1.0 -1.5 -.2 .3 .6 .3 -1.7 6 7 Financial sectors........................... 3.8 3.5 2.7 3.3 3.3 3.3 3.6 3.5 2.6 2.6 3.8 3,9 2.7 3.3 7 8 Gross national investment................. 133.9 143.8 158.0 177.2 190.1 173.9 173.9 177.8 184.1 188.3 188.5 190.3 193.6 181.2 8 9 Consumer durable goods............. 49.5 53.9 59.2 66.0 70.3 65.2 64.2 66.1 68.6 71.6 68.2 70.9 70.6 69.4 9 10 Business inventories...................... 6.0 5.9 5.8 9.4 13.4 10.6 8.8 9.4 9.9 9.9 14.0 11.4 18,5 7.1 10 11 Gross pvt. fixed investment......... 77.0 81.3 88.2 98.0 104,6 94.4 96.3 98.8 102.4 105.3 104.5 104.9 103.7 103,3 11 12 Households............................... 21.9 22.4 23.0 23.2 22.8 22.8 23.0 23.2 23.6 23.8 23,5 22.8 20.7 19.0 12 13 Nonfinan. business............. 54.4 57.9 64.3 74.1 81.1 70.8 72,4 74.7 78.4 80.5 80.0 81,7 82,6 83.4 13 14 Financial sectors....................... .6 1.0 .9 .8 .7 .9 .9 .9 .5 .9 .9 .4 .4 1.0 14 15 Net financial investment......... I .3 2.8 4,7 3.7 1.8 3,6 4.6 3,5 3.2 1.6 1.8 3,0 .8 1.4 15 16 Discrepancy (1-8).............................. .7 .6 2,3 1.9 2.5 2.7 2.3 1.1 .5 1.1 2.6 1,6 4.4 5.1 16 II. Financial flows—Summary 17 Net funds raised—Nonfinan. sectors. 54.2 58.5 67.0 72.1 71.1 76.3 72.3 61.2 78.8 84.1 82.9 63.5 53,7 75.8 17 18 Loans and short-term securities .... 15.0 19.0 26.4 33,0 27.8 36,8 33.1 21.2 41.1 26.8 21,1 26,7 36.9 36.5 18 19 Long-term securities and mtgs......... 39.2 39.5 40.6 39.1 43.2 39.5 39.2 40.0 37.7 57,4 61.8 36,8 16,8 39.3 19 By sector 20 U.S. Government.............................. 7.9 5.0 7.1 3.5 6.7 9.0 1.4 -4.5 8.2 14.9 2.8 7,0 2.2 10.8 20 21 Short-term mkt. securities........... .7 1 .4 4.0 3.5 2.2 5.5 3.6 -3.5 8.3 1.3 -12.7 6.3 14.1 12.7 21 22 Other securities............................. 7.3 3.6 3.0 .1 4,5 3.6 -2.3 -1.0 -J 13.6 15.5 .8 -11.8 -1.9 22 23 Foreign borrowers............................. 2,1 3.3 4.4 2.6 1.4 5.1 1.6 1.0 2.7 2.3 2.4 .9 5.5 23 24 Loans.............................................. 1.1 2,2 3.7 1.9 1.0 4.3 1.1 1,9 1.0 2.0 .2 .8 4.6 24 25 Securities.............................. 1.0 1.1 .7 .8 .4 .8 .6 .8 .8 1,3 .3 * .1 1.0 25 26 Pvt. domestic nonfin. sectors........... 44.2 50.2 55.6 66.0 62.9 62.1 69.2 64.7 67.8 66.9 77.8 56.3 50.5 59,5 26 27 Loans............................................. 13.3 15.5 18,7 27.7 24.6 27.0 28.4 24.5 30.9 24.5 31.8 20.2 22.0 19,3 27 28 Consumer credit......................... J. 3 7.3 8.0 9.4 6.9 10.0 9,6 9.3 8,9 9.2 7.0 6.9 4.6 4.3 28 29 Bank loans n.e.c....................... 4.8 5.4 6.5 13.6 10.8 14.1 12.4 11.2 16.7 9.0 17.4 7.9 8.8 7.9 29 30 Other loans............................... 3.0 2.7 4.2 4.7 6.9 2.9 6.4 4.1 5.3 6.2 7.4 5.4 8.6 7,1 30 31 Securities and mortgages............. 31.0 34.7 36.9 38.3 38.3 35.1 40.8 40.1 37.0 42.5 46.0 36.1 28.5 40.2 31 32 State and local obligations........ 5.0 6.7 5.9 7.4 5.9 6.1 8.6 6.8 8.1 5.4 7.2 4.8 6.2 9.8 32 33 Corporate securities.................. 5.1 3.6 5.4 5,4 11.4 4.4 7,0 7.4 2.9 11.9 15.2 11.7 6.9 14.0 33 34 1- to 4-family mortgages........... 13.0 15.2 15.7 16.0 12.5 15.9 15.5 16.2 16.5 15.2 14.0 11.3 9.5 9.8 34 35 Other mortgages....................... 7.9 9.3 10.0 9.5 8.5 8.7 9.7 9.8 9.5 10.0 9.6 8.4 6.0 6.5 35 36 Net sources of credit (=* line 17).,.. 54.2 58.5 67.0 72.1 71.1 76.3 72.3 61.2 78.8 84.1 82.9 63.5 53,7 75.8 36 37 Chg. in U.S. Govt, cash balance.. 1.3 -.4 .2 -1.0 -.5 5.2 -.9 -10.4 2,1 -5.1 8.9 -1.8 -4.0 -2.4 37 38 U.S. Govt, lending....................... 3.3 2.7 3.8 4.7 7,5 5.3 6.4 3.1 3.9 11.3 10.0 6.6 1.9 5.0 38 39 Foreign funds................................ 2.2 1.9 2.5 .4 -.8 — .6 .5 -.9 2.7 -1.7 4.6 -4.0 -1.8 2.7 39 40 Pvt. insur. & pension reserves. .. . 9.0 10.1 11.1 11.6 12.8 10.9 12,0 12.0 11.7 12.9 11.2 13,5 13.4 14,7 40 41 Sources n.e.c................... 4.0 4.7 5.4 7.5 8.1 10.1 8.8 3.6 7.5 11.6 3.8 13.2 3.9 .6 41 42 Pvt. domestic nonfin. sectors....... 34.4 39.5 44.1 48.9 43.9 45.3 45.5 53.8 50.9 55.1 44,4 36,1 40.2 55.3 42 43 Liquid assets .............................. 31.4 37.4 33.0 43.3 24.0 44.5 35.2 44.3 49.1 33.4 26.7 10.3 25,4 55.4 43 44 Deposits..................... 30.1 34.4 35.3 40.4 22.5 38.2 31.5 43.4 48.6 27.7 27.3 13.4 21.6 60.0 44 45 Demand dep. and currency 2.1 5.9 6.5 7.8 2.9 3.1 2.6 8.7 16.8 2.8 3.5 -2.5 7.5 9.7 45 46 Time and svgs. accounts... 28.1 28.5 28.8 32.6 19.6 35.1 28,9 34.7 31,8 24.8 23.8 15.9 14.0 50.3 46 47 At commercial banks.... 15.0 13.4 13.0 19.5 12.3 21.8 16.6 21.5 18.1 15.1 19.0 10.6 4.6 33.9 47 48 At savings Instit.............. 13.0 15.1 15.8 13.1 7.3 13.3 12.3 13.2 13.6 9,7 4.8 5.3 9.4 16.4 48 49 Short-term U.S. Govt. sec.., 1.3 3.0 -2.3 2.8 1.5 6.3 3.7 .9 .5 5.8 -.6 -3.1 3.9 -4,6 49 50 Other U.S. Govt, securities.... .4 1.7 3.1 .2 6.6 -.7 3.5 -1.0 -1.1 7.2 6.9 8.7 3.6 -10,6 50 51 Pvt. credit mkt. instruments... 2.5 2.3 7.8 6.1 13,1 1.8 6.1 10,4 5.9 13.1 10.4 20.1 8.8 8.4 st 52 Less security debt..................... -.2 2.0 -.2 .6 -.3 .3 -.7 -.2 3.0 -1.3 -.4 2.9 -2.3 -2.1 52 III. Direct lending in credit markets 53 Total funds raised............................. 54.2 58.5 67.0 72.1 71.1 76.3 72.3 61.2 78.8 84.1 82.9 63,5 53.7 75,8 53 54 Less change in U.S. Govt, cash.... 1.3 -.3 .2 -1.0 -.5 5.3 -.9 -10.4 2.1 -5.1 8.9 -1.8 -3.9 -2.4 54 55 Total net of U.S. Govt. cash....... 52.9 58.8 66.9 73,1 71.5 71.0 73.2 71.6 76.7 89.2 74,0 65.3 57.6 78.2 55 56 Funds supplied directly to cr. mkts.. 52.9 58.8 66.9 73.1 71.5 71.0 73.2 71.6 76.7 89.2 74.0 65.3 57.6 78.2 56 57 Federal Reserve System............... 1 .9 2.6 3.2 3.8 3.3 5.8 4,1 3.1 2.4 2.5 6.3 4.3 2.7 57 58 Total......................................... 2.0 2.9 3.4 3.8 3.5 6.0 3.8 4.3 1,2 2.1 2,1 6.0 3.7 4.5 58 59 Less change in U.S. Govt. cash. .1 .3 .2 * .2 .2 -.3 1.2 -1.2 -.4 2.0 -.3 -.7 1.8 59 60 Commercial banks, net................ 18.2 19.7 21.8 29.2 18,9 25.5 21.3 29.9 40.2 22.9 29.9 10.0 12.8 43.0 60 61 Total........................................... 19.5 19.4 22.3 29.0 18.3 31.1 22.7 18,4 43.9 18.3 37.1 8.4 9.5 39.5 61 62 Less chg. in U.S. Govt. cash... 1.2 -.6 ♦ -1.0 -.6 5.0 -.6 -11.6 3.3 -4.7 6,9 -1.5 -3.3 -4.2 62 63 Security issues....................... .1 .3 .6 .8 .1 .5 2.0 .1 .4 .1 .3 * * .8 63 64 Nonbank finance, net................... 23.8 28.0 28.9 27.2 21.9 28,1 27.2 27,0 26.6 26.8 15.6 22,6 22.7 28.9 64 65 Total........................................... 28.5 34.4 33.4 32.9 25.0 34.8 37,7 24.1 34,7 34.4 23.8 16.6 25.2 31.1 65 66 Less credit raised.............. 4.7 6.4 4.4 5.6 3.0 6.7 10.5 -2.9 8.2 7.5 8,2 -6.0 2.5 2.1 66 67 U.S. Government......................... 3.3 2.7 3.8 4.7 7.5 5.3 6.4 3.1 3.9 11.3 10.0 6.6 1.9 5.0 67 68 Foreign......................................... 1.5 .9 .6 -.2 -1.4 -.1 .2 -1.8 1.4 -1.6 1.4 -2.8 -2.7 3.4 68 69 Pvt. domestic nonfin.................... 4.3 5.1 8.8 8.5 21.5 7.0 14.0 10.4 2.3 27.4 17.0 22.7 18.6 -4.7 69 70 Households................................ — 1.7 .4 3.4 2.5 10.8 -3.1 11.6 3,7 -2.1 11.9 10.3 15.0 6.1 -9.5 70 71 Business.................................... 2.3 3,1 1.6 1.0 3.3 .4 -2.6 4.4 1.7 6.1 ,9 3.7 2.4 -.4 71 72 State and local govts.......... 3.6 3.5 3.6 5,5 7.0 10,0 4.3 2.1 5.7 8.0 5.4 6.9 7,7 3.0 72 73 Less net security credit............ -.2 2.0 -.2 .6 -.3 .3 -.7 -.2 3.0 -1.3 -.4 2.9 -2.3 -2.1 73 Note.—Quaterly data are seasonally adjusted totals at annual rates. 1967 relative to the May Bulletin tables in financial data. Financial These tables reflect revisions in income and product accounts for 1964-67 revisions will appear with publication of the second-quarter data. published in the July Survey of Current Business but are unrevised before For other notes see p. 1431. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1430 FLOW OF FUNDS AUGUST 1967 3. PRINCIPAL FINANCIAL TRANSACTIONS (In billions of dollars) 1965 1966 1967 Transa o c r t i s o e n c t c o a r tegory, 1962 1963 1964 1965 1966 I II HI IV I II III IV £ I. Demand deposits and currency 1 Net incr. in banking system liability. . 4.5 5.8 7.4 7.6 2.5 7.7 1.7 - 1 21.1 -3.6 14.1 -5.4 4.9 6.2 1 2 U.S. Govt, deposits........................ 1 .3 —. 3 ,2 -1.0 -.5 5.3 -.9 -10.4 2.1 -5.1 8.9 -1.8 -3.9 -2.4 2 3 Other................................................ 3.2 6.1 7.3 8,6 3.0 2.5 2.6 10.3 19.0 1.5 5.2 -3.6 8.8 8.7 3 4 Domestic sectors......................... 3.1 6.0 6.8 8.5 3.2 3.1 3.1 9.6 18.3 1.4 4.0 -1,8 9.1 10.6 4 5 Households.............................. 2.7 4.3 6.7 7.2 2.1 6.3 .9 6.1 15.4 -3.4 2,6 .5 8.9 9.2 5 6 Nonfinancial business........ - .9 - .8 -2.5 -1,9 ,7 .6 -3.1 -4.5 -.6 4.0 1.6 -.7 -2.0 -4.1 6 7 State and local govts.............. .9 2.4 1.4 1.0 1.5 -4.5 4.6 3.2 .7 1.4 3,1 .6 .9 1.8 7 8 Financial sectors..................... 1.1 .2 .3 .7 .3 ,5 .9 1.5 -1.4 .5 .7 1.6 .9 8 9 Mail float................................ —. 6 -, 1 .9 1.5 -1.5 .6 .1 4,0 1,3 .8 -3.7 -2,9 - .3 2.7 9 10 Rest of the world........................ . 1 . 1 .5 .1 -.2 -.7 -.5 .7 ,8 .1 1.2 -1.9 -.3 -2.0 10 II. Time and savings accounts h Net increase—Total........................... 28.7 29.5 30.4 32.9 20.3 35.5 29.5 34.4 32.2 24.3 25.3 16.2 15.2 51.8 11 12 At commercial banks—Total........ 15.6 14,3 14.5 20.0 13.2 22.7 17.6 21,4 18.4 14,9 20.9 H.2 5.8 35. 1 12 13 Corporate business..................... 3.7 3.9 3.2 3.9 -.7 6.4 5.7 2,5 .9 4.1 1.7 -3.9 -4.6 10.0 13 14 State and local govts.............. 1.0 1.6 1.7 2.4 1.4 1.9 1.1 3.1 3.3 -.3 2.3 1.9 1.9 5.7 14 15 Foreign depositors......... .6 1.0 1.4 .6 .9 .8 .8 .2 .5 -.2 2.0 .6 1.2 1.2 15 16 Households.................................. 10.3 7.9 8.2 13.3 11.6 13.5 9.8 15.8 13.9 11.3 15,0 12.6 7.4 18,1 16 17 At savings institutions.................... 13.1 15.2 15.9 12.9 7.1 12.8 11.9 13.0 13,8 9.4 4.4 5.0 9.4 16,7 17 18 Memo: Households total................... 23.4 23.0 23.9 26.4 18,9 26.8 22. 1 29.1 27.6 21.0 19.8 17.9 16.7 34.6 18 III. U.S. Govt, securities 19 Total net issues.................................... 7.9 5,0 7.1 3.5 6.7 9.0 1.4 -4.5 8.2 14.9 2.8 7.0 2.2 10.8 19 20 Short-term marketable................... .7 1.4 4.0 3,5 2.2 5.5 3.6 -3.5 8.3 1.3 -12.7 6.3 14.1 12.7 20 21 Other................................................ 7.3 3.6 3.0 . 1 4.5 3.6 -2.3 -1.0 -.1 13.6 15.5 .8 -11.8 -1.9 21 22 Net acquisitions, by sector................. 7.2 5.9 7.1 3.5 6.7 9.0 1.4 -4.5 8.2 14.9 2.8 7.0 2.2 10.8 22 23 Federal Reserve System................. 1.9 2.8 3.5 3.7 3,5 5.9 4.2 4.3 .5 2.4 1.8 6.8 3.1 4.8 23 24 Short-term................................... 2.0 4.9 2.1 3.7 5.4 12.4 6,2 -.3 -3.6 5,2 -3.5 6.9 13.0 2.5 24 25 Commercial banks.......................... 1 .4 -2.6 .4 -2.3 -2.8 -2.6 -10.2 -1.7 5.3 -1.9 .5 -5.7 -4.2 18.7 25 26 Short-term marketable................ -5.2 -3.5 3.9 -1.7 -4.6 -10.6 -5.7 2.4 7.2 -10.7 -4.9 -2.9 9.4 26 27 Other direct.................................. 5.2 .5 -4,1 -1.4 1.0 7.9 -5.3 -6.1 -2.3 8.3 -.9 -2.0 -1.6 6.0 27 28 Nonguaranteed........................... 1.4 .3 .6 .8 .8 .8 2.1 .4 .5 6.3 -3.8 .3 3.4 28 29 Nonbank finance............................. 1.6 - .5 2.0 -.8 .6 2.2 -.8 -5.9 1.5 4.0 -4.3 4.4 -1.9 -.3 29 30 Short-term marketable.......... .8 -1.3 1.2 -.3 1.3 .1 -.1 -4.4 3.2 3.0 -2.8 4.8 .4 3.6 30 31 Other direct................................. .6 .6 .5 -.7 -1.1 2.1 -1.4 -2.1 — 1.5 .1 -1.8 -.5 -2.3 -4.0 31 32 Nonguaranteed........................... .2 .3 .3 .3 .4 .7 .5 -.1 .9 ,4 32 33 Foreign............................................. 1.3 . 6 .5 -.2 -2.6 -2.0 .9 -1.0 1.5 -2.6 -1.5 -4,0 -2.3 2.7 33 34 Short-term................................... 2.2 —. 6 .1 -.4 -.8 -1.9 -.1 -1.5 1.8 -1.7 -.1 -2.1 .7 2.6 34 35 Pvt. domestic nonfinan, sector. . .. L7 4.7 .8 3.0 8.1 5.6 7.2 -.2 -.6 13.0 6.2 5.6 7.5 -15.2 35 36 Short-term marketable............... .9 1.8 -3.2 2.2 .9 5.5 3.3 .3 -.3 5.4 -1.3 -3.4 3.0 -5.4 36 37 Other direct................................ -.1 1.0 2.8 -1.1 2.4 -1.3 .5 -2.3 -1.3 3.3 -3.6 6.0 4.0 -9.3 37 38 Nonguaranteed. .......................... .5 .7 .4 1.3 4.2 .5 3.0 1.3 .2 3.9 10.5 2.7 -.4 -1.3 38 39 Savings bonds—Households .... .4 1,2 ,9 .6 .6 .8 .4 .5 .8 .3 .7 .3 .9 .8 39 IV. Other securities 40 Total net issues, by sector................. 11.5 13.1 14.6 16.2 18.6 13.3 20.0 16.6 14.9 20.3 23.3 18.3 12.4 27.1 40 41 State and local govts..................... 5.0 6.7 5.9 7.4 5.9 6. 1 8.6 6.8 8.1 5.4 7.2 4.8 6.2 9.8 41 42 Nonfinancial corporations............. 5.1 3.6 5.4 5.4 11.4 4.4 7.0 7.4 2.9 H.9 15.2 11.7 6.9 14.0 42 43 Commercial banks.......................... .1 .3 .6 .8 . 1 .5 2.0 .4 .3 .8 43 44 Finance companies......................... .3 1.4 2.1 1.9 .8 1.6 1.8 1.5 2.7 1.6 .3 1.9 -.8 1,5 44 45 Rest of the world........................... 1.0 1.1 .7 .8 .4 .8 .6 .8 .8 1.3 .3 * . 1 1.0 45 46 Net purchases....................................... U.S 13.1 14.6 16.2 18.6 13.3 20.0 16.6 14.9 20.3 23,3 18.3 12.4 27.1 46 47 Households...................................... -1.7 -2.9 1.8 .6 3.1 -2.7 2.4 3.5 -.8 4,7 8.8 -1.2 -3.7 47 48 Nonfinancial corporations............. -.4 .9 .2 .7 .8 .6 .7 .8 .8 .8 .8 .7 .8 .7 48 49 State and local govts................ 2.0 2.5 2.7 2.7 5.2 2.5 1 .5 3.3 3.3 4.2 6.6 5.3 4.8 6.2 49 50 Commercial banks......................... 4.4 5,2 3.6 4.9 1.7 5.0 6.5 4.1 4.1 3.3 5.0 1.2 -2.5 8.7 50 51 Insurance and pension funds......... 7.5 7.6 7.3 9.7 9.5 9.0 9.6 10.7 9,4 11.0 8.4 9.7 8.8 12,8 51 52 Finance n.e.c.................................... - .3 -.2 -.8 -1.9 -2.8 -1.2 .3 -4.9 -1.6 -4.7 .5 -8.0 .9 -.6 52 53 Security brokers and dealers.. .. .4 .2 -.4 -.4 .4 .6 -2,8 . 1 -2,1 2.6 -4.2 2.3 -.5 53 54 Investment cos., net................... -.8 -.5 -.8 -1.5 -2.5 -1.7 -.3 -2.1 -1.8 -2.6 -2.1 -3.9 -1.4 -.1 54 55 Portfolio purchases................. 1.1 .8 l.l 1.6 1.4 .8 1.9 1.3 2.3 2.5 1.1 -.2 2.0 3.0 55 56 Net issues of own shares........ 1.9 1.2 1.9 3.0 3.8 2.5 2.2 3.5 4.0 5.1 3.2 3.7 3.4 3.1 56 57 Rest of the world............................ .1 .3 -.1 -.4 .9 , I -1,0 -.9 . 1 .7 2.0 .4 .4 .4 57 V. Mortgages 58 Total net lending.................................. 21.3 25.0 25.4 25.4 20.0 24.7 25.4 25.7 25.8 25.6 22.4 17.9 14.3 17.0 58 59 1- to 4-family,................................. 13.4 15.7 15.4 16.0 11.6 15.9 15.7 16.0 16.3 15.6 12.9 9.5 8.3 10,4 59 60 In process.................................... .4 .5 -.3 -. 1 -.9 .2 -.2 -.2 .4 -l.l -1.8 -1.2 .6 60 61 Disbursed.................................... 13.0 15.2 15.7 16.0 12,5 15.9 15.5 16.2 16.5 15,2 14,0 H.3 9.5 9.8 61 62 Other................................................. 7.9 9.3 10,0 9.5 8.5 8.7 9.7 9.8 9,5 10.0 9.6 8.4 6.0 6.5 62 63 Met acquisitions................................... 21.3 25.0 25.4 25.4 20.0 24.7 25.4 25.7 25.8 25.6 22.4 17.9 14.3 17.0 63 64 Households...................................... -.3 -.1 -.6 -.9 -.6 -l.l .1 -2.5 .3 1.0 1.1 -.3 64 65 U.S. Government............................ .3 -1.0 .3 1.0 3.4 .7 1.0 .7 1.5 4.6 4.1 3.0 1.9 2.5 65 66 Commercial banks......................... 4.0 4.9 4.5 5.6 5,0 4,7 5.6 6.4 5.8 5.3 5.3 5.0 4.5 2.1 66 67 Savings Institutions......................... 13.2 16.1 14.8 13.0 6.6 13.0 13,0 13.1 12.8 11.4 7.2 3.7 4.0 6.8 67 68 Insurance.............................. 3.0 4.0 5. 1 5.5 5.2 5.9 5.5 5.1 5.3 6.0 5.8 5.5 3.7 5.0 68 69 Mortgage companies...................... .5 .8 .4 .5 -.6 .9 .5 1 .0 -.1 .4 -.6 -.7 ~1.3 .5 69 VI. Bank loans n.e.c. 70 Total net borrowing............................. 6.2 7.6 8.7 16.4 9.4 19.2 13.9 t2.9 19.6 7.9 21.3 2.4 6.1 1.4 70 71 Nonfinancial business..................... 4.3 5.0 5. 1 12,3 11.0 13.5 11.0 9.9 14.8 10.5 16.5 7.6 9.2 6.5 71 72 Nonbank finance............................. 1.0 1.7 .5 2.4 -1.2 2.3 2.6 1.3 3.3 -.4 3.4 -5.6 -2.3 -5.6 72 73 Households...................................... .5 .4 1 .4 1.3 -.2 .6 1.4 1.3 1.9 -1.4 .8 .3 -.4 1.4 73 74 Rest of the world.......................... .4 .5 1 .7 .4 -.2 2.8 -l.l .4 -.4 -.7 .4 . 1 -.5 -.9 74 Note.-—Quarterly data are seasonally adjusted totals at annual rates. 1967 relative to the May Bulletin tables in financial data. Financial These tables reflect revisions in income and product accounts for 1964-67 revisions will appear with publication of the second-quarter data. published in the July Survey of Current Business but are unrevised before For other notes see p. 1431. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 FLOW OF FUNDS 1431 Notes to Table 2 of deposits and credit market instruments by households, nonfinancial I, Saving and investment. Derived statistically from Commerce Dept, business, and State and local govts. Line 49 includes household savings income and product accounts. Tables showing the relation to those bonds as well as marketable issues; see Table 3, line 39. Line 51 includes accounts are in Nov. 1965 Bulletin. Gross national saving (line I) is the consumer credit and open market paper in addition to private securities sum for domestic sectors of gross-saving entries in Table 4.. It is before and mortgages. Line 52 is net of free credit balances at brokers. deduction of capital consumption allowances. Govt, saving is net of HI. Direct lending in credit markets. Federal Reserve total is Table public outlays for capital goods as well as current operations. Gross 4(G), lines 5 less 14. Commercial-bank total, line 61, is Table 4(H), line 5; national investment (line 8) is gross private domestic investment in includes security credit. Nonbank finance totals include security credit income-and-product accounts plus consumer durables plus net foreign both in lending and funds raised and exclude investment company shares investment. Net foreign investment differs from corresponding income- on both sides; line 65 is Unes 7 and 16 of Table 4(1), less line 5 of 4(1.8), and-product series by amount of errors and omissions in balance of pay­ and Une 66 is line 22 of Table 4(1) plus line 5 of 4(1.7) less line 5 of 4(L8). ments statement. Line 69 is the net sum of lines 49-52 in Table 2-IL Relation of saving-investment discrepancy to flow of funds matrix is described on page 1536 of Nov. 1965 Bulletin. Notes to Table 3 II. Financial hows-Summary. This table is described in Nov. 1962 I. Demand deposits and currency. Lines 5-8 are holder record; line 9 Bulletin, p. 1405. Total net funds raised (line 17) is borrowing through is difference between holder and bank record. credit markets (line 25 of Table 1) by households, nonfinancial business, III. U.S. Govt, securities. All holdings stated in par values; excludes govts., and foreigners. Credit market funds raised by all sectors consists special issues to International Monetary Fund and includes nonguaran­ of line 17 plus financial-sector borrowing (Table 4(H), line 32, and Table teeci issues of Govt, agencies and loan participation certificates See note 7 4(1), line 22). . to Table 4(E) below. Short-term category consists of direct marketable U.S. Govt, short-term securities are direct marketable issues due in less issues due in less than 1 year plus part of those due in less than 2 years. than 1 year plus part of those due in less than 2 years. For further IV. Other securities. Total excludes open-end investment co. shares; detail see Table 4(E), lines 26-30. _ these are shown as a deduction on line 56, offsetting net purchases of Demand deposits on lines 37 and 45 are on bank-record basis rather such shares included in the other lines (mainly households) under “net than holder records shown in Table 4. Line 37 includes time deposits. purchases.’’ Net purchases includes small amounts for mutual savings Difference is described in Aug. 1959 Bulletin, p. 852 ff. Foreign funds con­ banks not shown separately. sist of lines 9-12 of Table 4(J). Sources n.e.c, (line 41) is mainly financial V. Mortgages. Loans in process at savings and loan associations are institution net sources of funds other than deposits, insurance and pen­ included in totals outstanding and treated as savings and loan liability. sion reserves, security credit, and credit mkt. funds. . Line 63 includes holdings by State and local govts, not shown separately. Private domestic nonfinancial sectors (line 42) consists of acquisition 4. SECTOR STATEMENTS OF SOURCES AND USES OF FUNDS (In billions of dollars) 1965 1966 1967 Category 1962 1963 1964 1965 1966 I II III IV I II in IV I (A) Households1 1 Personal income............................... 442.6 465.5 497.5 537.8 584.0 520.3 530,1 544,6 556,1 567.8 577.3 589.3 601.5 612.9 1 2 Less: Personal taxes & nontaxes,. 57.4 60.9 59.4 65.6 75.2 64.3 66.1 65.2 66.7 70.4 74.0 76.9 79.6 80.2 2 3 Personal outlays................. 363.7 384.6 411.9 445.0 479.0 431,6 439.9 448.5 460,1 470.9 474.6 483.2 487.4 493.9 3 4 Equals: Personal saving................... 21.6 19.9 26.2 27.2 29.8 24.5 24.0 30.9 29.3 26.6 28.7 29.2 34.6 38.8 4 5 Plus: Credits from Govt, insur.2. 3.5 4.0 4.4 4.1 4.0 4.1 4.4 4.1 3,6 3.8 4.5 3.9 3.9 3.6 5 6 Other adjustments 3......, .5 .5 .6 .9 1.3 .7 .6 .7 1.8 1.8 .6 .8 2.1 1.4 6 7 Net durables tn consumpt... 6,7 8.9 11.2 14.5 14.9 15,0 13.1 14.2 15,8 17.7 13.3 15.0 13.6 11.4 7 8 Purchases......4..9..,.5........5..3.....9 59.2 66.0 70.3 65.2 64.2 66.1 68.6 71.6 68.2 70,9 70.6 69.4 8 9 Less: Cap. consumpt..... 42.9 45.0 48.0 51.4 55.4 50.1 51.0 51.9 52.8 53.8 54.9 55.9 57.0 58.0 9 10 Equals: Net saving................ 32.3 33.3 42.4 46.7 50.0 44.2 42.2 49.9 50,5 49.8 47.1 48.9 54.3 55.2 10 11 Plus: Capital consumpt.4........... 49,8 52.4 55.9 59.9 64.1 58.4 59,4 60.3 61.3 62.5 63.6 64.7 65.8 67.0 11 12 Equals: Gross saving....................... 82.0 85.8 98.3 106,6 H4.2 102,6 101.5 110.2 111.8 112,3 110,7 113.6 120.1 122.2 12 13 Gross investment (14+18). ..,.,,.. 83.5 87.2 98.9 107.1 112.4 99.5 105.7 111.1 112.0 lll.l 108.9 110.6 118.7 120.2 13 14 Capital expend, (net of sales).... 71.5 76.3 82.2 89.2 93.1 88.0 87.2 89.3 92.1 95.4 91.7 93.7 91.3 88.3 14 15 Residential construction........... 18.7 19.0 19.3 19.1 18.4 18.8 18.9 19.1 19.2 19.4 19.2 18.5 16.2 14.3 15 16 Consumer durable goods.......... 49.5 53.9 59.2 66.0 70.3 65.2 64.2 66,1 68.6 71.6 68.2 70,9 70.6 69.4 16 17 Plant and equip, (nonprofit)... 3.2 3.4 3.7 4.1 4.4 3,9 4.1 4.1 4.3 4.5 4.4 4.3 4.5 4.7 17 18 Net finan. investment (19—37).......... 12.1 10.9 16.7 18.0 19.3 11.5 18.6 21.8 19.9 15.7 17.2 16.9 27.5 30.7 18 19 Net acquis, of finan. assets5....., 32.6 37.2 43.9 47.7 42.7 39.8 47.8 5t.O 52.1 41.7 43.8 39.6 45,9 50.2 19 20 Demand dep. and currency.... 2.7 4.3 6.7 7.2 2.1 6.3 .9 6.1 15.4 -3.4 2.6 .5 8.9 9.2 20 21 Savings accounts....................... 23.4 23.0 23.9 26.4 18.9 26.8 22.1 29.1 27.6 21.0 19.8 17.9 16.7 34.6 21 22 At commercial banks............ 10.3 7.9 8.2 13.3 11.6 13.5 9.8 15.8 13.9 H.3 15.0 12.6 7.4 18.1 22 23 At savings instutitions.......... 13.0 15.1 15.8 13.1 7.3 13.3 12.3 13.2 13.6 9.7 4.8 5.3 9.4 16.4 23 24 Life insurance reserves............. 3.7 4.2 4.3 4.8 4.7 4.6 4.8 4.9 4.8 4.7 4.7 4.8 4.7 6.4 24 25 Pension fund reserves............... 8.8 9.9 11.2 10.9 12.1 10.4 11.6 11.2 10.6 11.9 11.0 12.6 12.7 11.8 25 26 Cr. market instr........................ -1.7 .4 3.4 2.5 10.8 -3.1 11.6 3.7 -2.1 11,9 10,3 15.0 6.1 -9.5 26 27 U.S. Govt, securities............. * 3.5 1.7 2.6 7.8 .5 9.9 1.3 -1.3 9.8 9.9 5,3 6.3 -5.5 27 28 Savings bonds................... .4 1.2 .9 .6 .6 .8 .4 .5 .8 .3 .7 .3 .9 .8 28 29 Short-term mkt.................. .4 2.8 -1.8 3.0 2.1 5.5 5.2 2.0 -.4 .4 6.4 -6.2 7.7 -3.3 29 30 Other direct....................... -1.1 -.9 1.7 -1.2 1.1 -3.6 1.0 -1.3 -.7 6.7 -7.3 6.8 -1.9 -2.0 30 31 Nonguaranteed.................. .3 .4 .9 .1 4.1 -2.1 3.4 .1 -1.0 2.4 10.1 4,3 -.5 -l.l 31 32 State and local oblig............. .8 .7 2.5 2.2 3.5 .8 1.5 2.4 4.4 1.9 .7 4.0 7.3 -1.2 32 33 Corporate and fgn. bonds... -.7 -1.0 -.8 -.1 -.2 -2.6 2.7 1.6 -2.2 1.8 -3.6 4.0 -3.2 .6 32 34 Corporate stock................... -1.8 -2.5 .1 -1.6 -.2 -.9 -1.8 -.5 -3.1 .9 2.9 .8 -5.3 -3.1 34 35 Mortgages.............................. * -.3 -.1 -.6 * -.9 -.6 -1,1 .1 -2.5 .3 1.0 1.1 -.3 35 36 Net invest, in noncorp. bus.... -4.9 -5.3 -6.6 -5.8 -7.1 -6.1 -6.0 -5.7 -5.4 -7.4 -7.4 -7.1 -6.4 -6.8 36 37 Net increase in liabilities............... 20.5 26.3 27.2 29.7 23.4 28.3 29.2 29.2 32.2 26.0 26.6 22.7 18.5 19.5 37 38 Credit mkt. instruments............ 20.4 24.1 27.2 28.5 23.3 27.9 28.3 28.7 29.1 25.0 25. 1 24.4 18.6 17.9 38 39 1- to 4-family mtgs................ 12.9 14.8 16.0 15.9 13.5 15.4 15.3 16.2 16.5 15. 1 14.5 13.5 11.1 9.7 39 40 Other mortgages.................. .9 .9 .9 1.1 1.2 1.0 1.1 1.1 1.1 1.2 1.2 1.2 1.3 1.3 40 41 Consumer credit.................... 5,5 7.3 8.0 9.4 6.9 10.0 9.6 9.3 8.9 9.2 7.0 6.9 4.6 4,3 41 42 Bank loans n.e.c................... .5 .4 1.4 1.3 -.2 .6 1.4 1.3 1.9 — 1.4 .8 .3 -.4 1.4 42 43 Other loans *......................... .7 .6 .8 .8 1.8 .8 .9 .9 .7 1.0 1.6 2.5 2.0 1.3 43 44 Security credit........................... 2.0 -.2 .8 -.1 -.1 .7 .1 2.8 .6 1.2 -2.0 -.3 1.4 44 45 Discrepancy (12-13)............. -1.5 -1.5 -.6 -.6 1,8 3.1 -4.2 -.9 -.2 1.3 1.8 3.0 1.4 3.1 45 For notes see p, 1437. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1432 FLOW OF FUNDS AUGUST 1967 4. SECTOR STATEMENTS OF SOURCES AND USES OF FUNDS—Continued (In billions of dollars) 1965 1966 1967 Category 1962 1963 1964 1965 1966 I 11 III IV I II III IV I (B) Nonfinancial business-Total 1 1 Income before taxes 2....................... 102.4 106,9 115.3 128.2 137.2 124,1 126.5 128.8 133.2 137.3 136.5 136.7 138.5 131,7 1 2 Gross saving..................................... 55.0 57.3 65.0 70.5 75.8 69.1 69.2 70.9 72.8 73.6 74.9 75.7 79.3 75.1 2 3 Gross Investment............................. 53.3 57.2 61.7 70.0 73.0 73.2 66.6 70.5 71.0 70.0 71.9 75.1 75.6 74.0 3 4 Capital expenditures.................. 60.4 63.8 70.2 83.5 94.5 81.4 81.2 84.1 38.3 90.4 94.0 93.1 101.1 90.5 4 5 Fixed investment.......................... 54.4 57.9 64.3 74. 1 81.1 70.8 72.4 14.7 78.4 80.5 80.0 81.7 82.6 83.4 5 6 Business plant & equipment. . . 47.8 49.9 56.5 66.1 75.1 62.4 64.3 66.9 70.9 72.9 73.4 76.5 77.9 76.3 6 7 1-4 family residential const.3... .7 1.0 . 1 .7 -.8 .7 .6 .8 .5 .5 -.1 -1.5 -1.7 .8 7 8 Other residential..................... 5.9 7.0 7.7 7.2 6.8 7.6 7.5 7.1 7.0 7.1 6.8 6.8 6.4 6.3 8 9 Change in inventories 4................ 6.0 5.9 5.8 9.4 13.4 10.6 8.8 9.4 9.9 9.9 14.0 It.4 18.5 7.1 9 10 Net financial investment.................... —7.1 —6.5 -8.5 -13.4 -21.5 -8.2 -14.6 -13.6 -17.3 -20.4 -22.1 -18.0-25.5 -16.4 10 11 Net acquis, of finan. assets....... 17.5 19.8 14.2 25.3 20.4 31.9 20.6 21.8 27.0 25.9 29.0 15.2 11.6 10.4 11 12 Net increase in liabilities 5............ 24.6 26.4 22.7 38.7 41.9 40.0 35.2 35.5 44.3 46.3 51.1 33.3 37. 1 26.9 12 13 Credit mkt. instruments............ 18.2 19.1 22,2 29.6 33.0 27.8 31.7 28.8 30,3 36,2 44.9 25,6 25.3 31.5 13 14 Securities............................... 5.1 3.6 5.4 5.4 11.4 4.4 7.0 7.4 2.9 H.9 15.2 11.7 6.9 14.0 14 15 1-4 family mortgages............. .1 .4 -.3 .2 -1.0 .4 .2 * .2 -.5 -2.2 -1.6 . 1 15 16 Other mortgages................... 7.0 8.4 9.0 8.4 7.3 7.7 8.7 8.7 8.4 8.8 8.4 7.2 4.7 5.2 16 17 Bank loans n.e.c.................... 4.3 5.0 5.1 12.3 11.0 13,5 11.0 9.9 14.8 10.5 16.5 7.6 9.2 6.5 17 18 Other loans 5...................... 1.7 1.8 3.0 3.4 4.4 1.7 4.9 2.8 4.2 4.9 5,3 1.3 6.1 5.6 18 19 Trade debt................................. 5.5 7.0 4.3 8.6 9.6 10.1 6.6 7.7 10.2 9.2 13.9 6.7 8.5 .13 19 20 Other liabilities......................... .9 .2 -3.9 .5 -.6 2.2 -3.2 -1.0 3.8 1 .0 -7.7 1.0 3.2 -5.9 20 21 Discrepancy....................................... 1.6 .1 3.3 .5 2.8 -4.1 2.6 .4 1,8 3.6 3.0 .5 3.7 1.1 21 (C) Farm and noncorporate nonfinancial business 6 Net income 2.................................... 57.5 58.4 60.1 65.0 67.7 63.2 65.1 65.6 66.3 68.4 67.8 67.7 67.1 66.6 1 2 Gross saving i.................................. 13.1 13.5 14.5 14.8 15.5 14.6 14.7 14.9 15.0 14.8 15.7 15.8 15.8 16.5 2 3 Gross investment............................... 13.1 13.5 14.5 14.8 15.5 14.6 14.7 14.9 15.0 14.8 15.7 15.8 15.8 16.5 3 4 Capital expenditures................... 15.7 17.1 16.7 19.9 19.1 19.5 19.4 19.3 21.2 19.8 19,7 16.8 20.1 17.2 4 5 Fixed investment.......................... 14.4 15.6 16.7 18.2 18.0 17.7 17.9 18.3 18.8 18.5 17.8 17.5 18.0 18.4 5 6 Change in inventories 4............... 1.3 1.5 ♦ 1.7 1 .1 1 .9 1 .6 1.0 2.4 1.3 1.9 -.7 2.1 -1.2 6 7 Net financial investment................... -2.6 -3.6 -2.2 -5.1 -3.6 -5.0 -4.8 -4.5 -6.2 -5.0 -4.0 -.9 -4.3 -.7 7 8 Net acquis, of finan. assets............ .5 .7 .8 .9 1.0 1.0 .8 .7 l.l 1.0 .8 .8 1.4 1.5 8 9 Net increase in liabilities 5......, 3.1 4.3 3.0 6.0 4.5 5.9 5.5 5.2 7.3 5.9 4.8 1.7 5.7 2.1 9 10 Credit mkt. instruments........... 7.0 8.6 8.6 10.4 9.8 10,5 10,6 9.6 II.0 12.4 9.8 1.6 9.4 6.3 10 11 Mortgages.............................. 4.2 5,2 5.4 5.4 4.2 5.1 5.5 5.5 5.4 5.7 5.0 3.6 2.5 3.3 11 12 Bank loans n.e.c............. 1.8 2.1 1.5 3.0 3.3 3.6 2.2 2.4 3.5 4.2 2.0 2.9 4.1 1.9 12 13 Other loans 5,8...................... 1.0 1.3 1 .7 2.1 2.3 1.7 2.9 1.7 2.1 2.6 2.8 1.1 2.7 1.0 13 14 Trade debt, net......................... 1.0 1.1 1 .0 1.3 1.8 1.5 .9 1.3 1 .6 .9 2.4 1.3 2.8 2.7 14 15 Proprietors' net investment *... -4.9 -5.3 -6.6 -5.8 -7.1 -6.1 -6.0 -5.7 -5.4 -7.4 -7.4 -7.1 -6.4 -6.8 15 (D) Corporate nonfinancial business 1 o 1 Profits+IVA..................................... 44.9 48.6 55.2 63,1 69.5 60.9 61.5 63.2 66.9 68.9 68.8 69.0 71.3 65.1 1 2 Profits tax accruals......................... 20.8 22.8 24.2 27.6 30.2 26.6 27.2 27,3 29.2 30.3 30.2 30.2 30.1 28.0 2 3 Net dividend payments 11...,........ 11.4 12,7 13.2 15.1 16.7 13.8 14.5 15.6 16.5 16.8 16.8 16.8 16.2 17.4 3 4 Npf RavintzR-P FVA <1-2-31. ......... 12.6 13.1 17,8 20.5 22.6 20.5 19.8 20.4 21.2 21.8 21.8 21.9 25.1 19.7 4 5 Capital consumption..,..,,,,........ 29.2 30.8 32.8 35.3 37.7 34.1 34.8 35.7 36.6 37.0 37.5 37.9 38.4 38.9 5 6 Current surp.^ gross saving (44-5).. 41.8 43.9 50.5 55.7 60.3 54.5 54.6 56.1 57,8 58.8 59.2 59.8 63.5 58.6 6 7 Gross investment............................... 40.2 43.8 47,2 55.3 57.5 58.6 52.0 55.6 56.0 55.2 56.2 59.3 59.8 57.5 7 8 Capital expenditures.................. 44.7 46.7 53.5 63.6 75.5 61.9 61.8 64.8 67.1 70.6 74.3 76.4 81.0 73.3 8 9 Fixed investment................... 40.0 42.3 47.7 55.9 63.2 53.1 54.5 56.4 59.6 62.0 62.1 64.3 64.6 64.9 9 10 Plant and equipment................ 37.0 38.6 44.0 52.2 60.4 49.2 50.7 52.7 56.1 58.4 59.1 61.9 62.5 61.7 10 11 Residential construction........... 3.0 3.7 3.6 3.7 2.7 3.9 3.8 3.7 3.5 3.6 3.1 2,3 2.1 3.3 11 12 Change in inventories *. ...«...♦ 4.7 4.3 5.9 7.7 12.3 8.8 7.3 8.4 7.5 8.6 12.2 12.1 16.4 8.3 12 13 Net financial investment.................... -4.5 -2.9 -6.3 -8.3 -17.9 -3.2 -9.8 -9.1 -11.1 -15.4 -18.1 -17.1 -21,2-15.8 13 14 Net acquis, of finan. assets ....... 16.9 19.1 13.4 24.4 19.5 30.9 19.8 21.1 25.9 25.0 28.2 14.4 10.2 9.0 14 15 Liquid assets.............................. 4.1 4.3 .6 .7 1.1 4.7 -1.7 .3 -.6 10.5 2.2 -2.6 -5.5 2.7 15 16 Demand dep. and curr...... -.9 -.8 -2.5 -1.9 .7 .6 -3.1 -4,5 -.6 4.0 1.6 -.7 -2.0 -4.2 16 17 Time deposits....................... 3.7 3.9 3.2 3.9 -.7 6.4 5.1 2.5 .9 4.1 1.7 -3.9 -4.6 10.0 17 18 U.S. Govt, securities............. .5 .5 -1.4 -2.1 -1.2 -2.1 -5.0 .1 -1.3 -.2 -2.1 -1.0 -1.3 -6,2 18 19 Open-market paper............... .9 .7 1.4 .8 2.3 -.3 .8 2.3 .3 2.7 1.0 3,0 2.4 3.0 19 20 State and local oblig................. -.4 .9 .2 .7 .8 .6 .7 .8 .8 .8 .8 .1 .8 .7 20 21 Consumer credit........................ .9 .7 1.0 1.2 1.1 1.7 .6 1.0 1.3 2.5 1.0 .8 -J 1.4 21 22 Trade credit.....................x ,... 8.2 8.5 9.1 13.7 10.9 16.2 11.3 10.3 16.8 10.7 16.8 9.0 7.0 2.1 22 23 Other financial assets 12.. .\... 4.1 4.8 2.5 8.2 5.6 7.7 8.8 8.6 7.6 .4 7.4 6.5 8,0 2.1 23 24 Net increase in liabilities............... 21.5 22.0 19.7 32.7 37.4 34.1 29.6 30.3 37.J 40.4 46.2 31.5 31.4 24.7 24 25 Credit mkt. instruments............ 11.2 10.5 13.6 19.2 23.2 17.3 21.1 19.2 19.3 23.8 35.1 18.1 16.0 25.2 25 26 Corporate bonds.................... 4.6 3.9 4.0 5.4 10.2 4.4 5.3 7.9 3.9 12.4 9.3 10.8 8.4 13.1 26 27 Corporate stock..................... .6 -.3 1.4 * 1.2 1.6 -.5 -1.0 -.5 5.9 .9 -1.5 .9 27 28 Mortgages.............................. 2.9 3.5 3,3 3.2 2.1 3.0 3.4 3.2 3.0 3.3 2.9 1.4 .6 2.0 28 29 Bank loans n.e.c.................... 2.5 2.9 3.6 9.3 7.7 9.8 8.8 7.4 11.3 6.3 14.5 4.8 5.1 4.6 29 30 Other Joans1 ^......................... .7 .5 1.3 1.3 2.1 * 2.0 1.2 2.1 2.3 2.5 ,2 3.4 4.6 30 31 Profits tax liability ^......... 1.1 1.5 .9 2.0 -.4 3.3 -1.9 1.9 4.7 2.6 -7.5 2.8 .7 .1 31 32 Trade debt................................. 4.4 6.0 3.4 7.3 7.7 8.5 5.7 6.4 8.5 8.2 11.5 5.4 5.8 -1.4 32 33 Other liabilities.......................... 4.7 4.0 1.8 4.2 6.8 5.0 4.7 2.8 4.5 5.8 7.2 5.3 9.0 .8 33 34 Discrepancy., ,................................. 1.6 .1 3.3 .5 2.8 -4.1 2.6 .4 1.8 3,6 3.0 .5 3.7 1.1 34 35 Memo: Net trade credit.................. 3.7 2.5 5.7 6.4 3.2 7.7 5.6 4,0 8.3 2.5 5.3 3.7 1.3 3.5 35 36 Profits tax payments 1*..................... 20.0 20.8 23.5 25.8 30.8 23.6 28.1 25.9 25.5 26.9 40,2 28.4 27.7 26,2 36 For notes see p, 1437. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 FLOW OF FUNDS 1433 4. SECTOR STATEMENTS OF SOURCES AND USES OF FUNDS—Continued (In billions of dollars) 1965 1966 1967 Category 1962 1963 1964 1965 1966 I II III IV I II III IV I (E) U.S. Government 1 1 Tax receipts (net of refunds)............ 85.9 91.4 91.2 99.6 109.9 98.7 99.9 98.1 101,8 105,1 109.0 111.6 113,9 112.0 1 2 Individual income......................... 48.6 51.5 48.6 53.8 61.7 52.9 54,5 53,3 54.6 57.7 60,9 63.1 65.2 65.5 2 3 Corp, profits tax accruals............. 22.7 24.6 26.4 29.3 32.3 28.3 28.9 29.0 30.9 32,2 32.2 32.4 32.3 30.3 3 4 Other.............................................. 14,6 15.3 16.1 16.5 15,9 17,5 16.5 15.7 16.3 15.2 15,9 16.1 16,3 16,2 4 Social insurance programs 2 5 Premiums received........................ 18.5 21.0 21.6 22.8 30.8 22.5 22.6 22.9 23.4 29.4 30,0 31 .4 32.2 34.4 5 6 Benefits paid.................................. 17.4 18.2 18.7 20.3 22.5 19.7 20.0 20.5 21.1 21,7 22,4 22.8 23.1 23.4 6 Life insur. & retirement programs 3 7 Premiums received........................ 2.1 2.1 2.2 2.3 2.5 2.3 2.3 2.4 2.4 2.5 2.5 2.5 2.6 2.6 7 8 Benefits paid.................................. 2.9 3.2 3.2 3.3 3.9 3.2 3.2 3.3 3.5 3.7 3.9 4.0 4.0 4.1 8 9 Net grants and donations paid 4,... 19.4 20.5 22.8 24.2 29.8 23.1 22.7 26.5 24,7 28.1 27.7 30.3 33.3 36.1 9 10 Net interest paid............................... 7.2 7.7 8.3 8.7 9.5 8.6 8.6 8.7 8.9 9.1 9.4 9.6 10.0 10.4 10 II Net purchases of goods & services.. 63.4 64.2 65.2 66.8 77.0 64.3 65.4 67.6 69.8 72.1 74,9 79,5 81,5 87.1 11 12 Net surplus........................................ -3.8 .7 -3.0 1.4 .3 4.4 5.0 -3.3 -.3 2.2 3.2 -.7 -3.3 -11.8 12 13 Insurance and retirement credits 5.. 1.1 1.3 1.4 1.4 1.4 1.3 1.8 1.6 1.0 1.1 1.8 1 .2 1.3 .8 13 14 Gross saving................................... -4.8 -.6 -4.3 .1 -.9 3.2 3.2 -4.8 -1.2 1.2 1.5 -1.9 -4.5 -12.6 14 15 Net finan. investment (16 — 23)......... -4.7 -1.3 -2.9 -1.1 -.6 1.7 .9 -6.2 -.8 -1.9 4.6 -3.6 -1,5 -9.9 15 16 Net acquis, of finan. assets............ 4.7 4.7 5.2 4.5 8.3 11.5 4.8 -7.9 9.6 13.2 10.5 5.7 3.9 4.3 16 17 Demand deposits & currency... 1.0 -.4 .6 -1.4 -.1 5.9 -2.5 -11.4 2.3 -3.5 10.7 -4.2 -3.4 -1.6 17 18 Credit market instruments....... 3.3 2.7 3.8 4.7 7.5 5.3 6.4 3,1 3.9 11.3 10.0 6.6 1 .9 5.0 18 19 Mortgages.............................. .3 -1.0 .3 1.0 3.4 .7 1.0 .7 1.5 4.6 4.1 3.0 1.9 2.5 19 20 Other loans............................ 3.0 3.7 3.5 3.7 4.0 4.7 5.4 2.4 2.4 6.8 5.9 3.5 * 2.5 20 21 Excess of tax accruals over receipts................................... .8 1.8 1.1 1.2 -.5 1.5 -1.4 1.2 3.5 3.0 -10.3 1.9 3.3 1.9 21 22 Other financial assets <L........... -.5 .6 -.3 * 1.5 -1.3 2.3 -.7 -.2 2.3 .2 1.4 2.1 -1.0 22 23 Net increase in liabilities............... 9.3 6.0 8.1 5.6 8.9 9.8 3.9 -1.6 10.3 15.0 5.9 9.3 5.4 14.1 23 24 Life insurance and retirement reserves................................... 1.1 1.3 1.4 1.4 1.4 1.3 1.8 1.6 1.0 1.1 1.8 1.2 1.3 .8 24 25 U.S. Govt, securities 7............. 7.9 5.0 7.1 3.5 6.7 9.0 1.4 -4.5 8.2 14.9 2.8 7.0 2.2 10.8 25 26 Svgs. bonds 8......................... .4 1.2 .9 .6 .6 .8 .4 .5 .8 .3 .7 .9 .8 26 27 Short-term marketable v. . .. .7 1.4 4.0 3.5 2.2 5.5 3.6 -3.5 8.3 1.3 -12.7 6.3 14.1 12.7 27 28 Other direct............................ 4.8 1.1 .9 -2.9 -1.4 2.3 -7.2 -5.3 -1.4 7.9 -2.4 1.4 -12,6 -4.8 28 29 Nonguaranteed agency issues 1.6 1.5 .4 1.9 3.9 .5 4.8 1.9 .5 3.8 10.3 1.2 .2 -4.2 29 30 Loan participations............... .5 -.2 .8 .4 1.5 * -.3 1.9 ♦ 1.6 6.9 -2.2 -.2 6.4 30 31 Other liabilities......................... .3 -.3 -.4 .6 .8 -.5 .7 1.3 1.1 -1.0 1.3 1.1 1.9 2,5 31 32 Discrepancy (14—15)....................... -.2 .7 -1.4 1.2 -.3 1.5 2.3 1.4 -.5 3.0 -3.2 1.8 -3.0 -2.7 32 33 Memo: Corp, tax receipts, net........ 21.9 22.8 25.3 28.1 32.8 26.9 30.3 27,9 27.4 29.2 42,5 30.4 29.0 28,5 33 (F) State and local governments 10 1 Tax receipts....................................... 47.1 50.5 54.9 59.5 64.9 57.7 58.9 60.3 61.0 62.6 64.1 65.8 67.3 68.5 1 2 Social ins. and grants rec................. 11.5 12.9 14.5 15.6 19.7 14.8 15,2 15.9 16.8 18,5 19.4 20.2 20.7 20,8 2 3 Purch. of goods and services........... 53.7 58.2 63.5 69.6 77.2 66.9 68.6 70.4 72.5 74.3 76.2 78.1 80.2 83.3 3 4 Net interest & transfers paid 11.... 3.9 4.0 4.3 4.3 4.5 4.3 4.3 4.3 4.3 4.4 4.4 4.6 4.7 4.9 4 5 Net surplus........................................ .9 1.2 1.7 1.2 2.9 1.2 1.2 1.5 1.1 2.4 2.9 3.3 3.0 1.0 5 6 Less retirement credit to households 2.4 2.7 3.1 2.6 2.7 2.8 2.6 2.5 2.6 2.6 2.6 2.7 2.7 2.7 6 7 Equals: Gross saving....................... — 1.4 -1.5 -1.4 -1.4 .3 -1.6 -1.3 -1.0 -1.5 -.2 .3 .6 .3 -1.7 7 8 Net financial investment (9 —17).... -2.5 -2.1 -2.5 -1.5 .7 -1.5 -1.6 -1.4 -1.7 1.0 .5 .3 .9 -2.1 8 9 Net acquis, of finan. assets............ 5.6 7.7 6.9 9.0 10.0 7.8 10.3 8,3 9.4 9.4 11.1 9.4 10.3 10.7 9 10 Liquid assets............................. 2.5 4.1 2.6 4.5 3.3 2.8 6.7 4.7 3.8 4.4 2.8 3.8 2.1 9.1 10 11 Demand deposits and cur.... .9 2.4 1.4 1.0 1.5 -4.5 4.6 3.2 .7 1.4 3.1 .6 .9 1.8 11 12 Time deposits........................ 1.0 1.6 1.7 2.4 1.4 1.9 1.1 3.1 3.3 -.3 2.3 1.9 1.9 5.7 12 13 Short-term U.S. Govt. sec... .6 .1 -.5 1.1 .3 5.4 .9 -1.6 -.2 3.3 -2.5 1.3 -.6 1.6 13 14 Other U.S. Govt, securities. . .. .6 .6 1.0 1.3 1.1 1.7 1.4 2.2 .9 3.2 -5.1 14 15 State and local obligations....... -.7 -.7 -.6 -.6 -.4 -.6 -.8 -.6 -.5 -.4 -.4 -.4 -.4 -.4 15 16 Other 12..................................... 3.1 3.5 3.7 3.7 6.0 3.5 2.7 4.3 4.2 5.0 7.4 6.1 5.6 7.0 F6 17 Net increase in liabilities............... 8.J 9.3 9.4 10.5 9.4 9.3 11.9 9.8 11.1 8.5 10.5 9.1 9.4 12.9 17 18 Credit market borrowing......... 5.6 7.0 6.2 7.8 6.6 6.4 9.2 7.2 8.4 5.8 7.8 6.3 6.6 10.1 18 19 State and local obligations.. . 5.0 6.7 5.9 7.4 5.9 6.1 8.6 6.8 8.1 5.4 7.2 4.8 6,2 9.8 19 20 Short-term......................... .4 .5 .7 1.3 .4 .4 1.4 2.4 1.0 .6 1.1 -.3 .3 1.1 20 21 Other.................................. 4.6 6.2 5.1 6.1 5.5 5.7 7.2 4.4 7.1 4.8 6.1 5.0 5.9 8.7 21 22 U.S. Govt, loans................... .6 .3 .4 .4 .7 .4 .6 .4 .4 .6 1.6 .4 .2 22 23 Employee retirement reserves. . 2.4 2.7 3.1 2.6 2.7 2.8 2.6 2.5 2.6 2.6 2.6 2.7 2.7 2.7 23 24 Trade debt................................. .1 .1 .1 .1 .1 .1 .1 .1 .1 .1 .1 .1 . 1 . 1 24 25 Discrepancy...................................... 1.0 .6 1.1 .2 -.4 -.1 .2 .4 .2 -1.2 -.2 .3 -.6 .5 25 26 Memo: Total U.S. Govt, sec........... 1.2 .7 .5 2.5 1.4 7.1 2.3 -1.6 2.0 3.4 -t.6 1.3 2.5 -3.5 26 For notes see p. 1437. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1434 FLOW OF FUNDS AUGUST 1967 4, SECTOR STATEMENTS OF SOURCES AND USES OF FUNDS—Continued (in billions of dollars) 1965 1966 1967 Category 1962 1963 1964 1965 1966 I II III IV I 11 in IV I (G) Monetary authorities1 1 Current surplus................................. .1 .1 -.5 * * * * * .1 ♦ * * * * 1 2 Net acquis, of financial assets. ..... 1.7 2.2 3.4 2.3 4.2 2 7 2 5 4.4 — .6 5.1 2. 5 6.8 2.6 3 7 2 3 Gold and foreign exchange 2........ -.8 -.4 -1.3 -.3 -3.0 -2.2 1.3 -1.4 -2,1 .2 .4 . 1 -3.1 3 4 Treasury currency......................... * * — 2 .2 7 — 1 . 1 3 4 7 1 0 5 8 7 4 5 Credit mkt. instruments................ 2 0 2 9 3 4 3 8 3 5 6 0 3 8 4 3 12 2.1 2.1 6 0 3 7 4 5 5 6 U.S. Govt, securities................ 1 9 2 8 3 5 37 3.5 5^9 4 2 4^3 ‘5 2.4 1.8 6^8 3 J 4 8 6 7 Short-term marketable. ..... 2 0 4.9 2.1 3 7 5 4 12 4 6 2 — 3 -3 6 5.2 — 3 5 6 9 13.0 2 5 7 8 Other...................................... 1 2 2 1 3 ’ 1 — 1 9 — 6 5 — 2 0 4 6 4 1 -2.8 5 3 - 1 -9 9 2 3 8 9 F.R. float....................................... 6 — .3 - 4 .3 - 8 - .2 1 0 — 1 5 3.6 - .5 -1 .7 - .4 1 9 9 10 F.R. loans to domestic banks.... -.1 * .1 -J .1 .5 1.0 -2.5 .8 .8 -.3 1.5 -1.7 -.4 10 11 Net increase in liabilities.................. 1.6 2.1 3 8 2 2 4.2 2.6 2 5 4 4 — 6 5.1 2.5 6.8 2.5 3.6 11 12 Member bank reserves.................. 1 4 1 0 4 1 3 1 9 5 —. 1 - .5 5.7 . 3 — 9 12 13 Vault cash of com!, banks 3...... '7 6 — 4 ' 3 5 2J .5 — .6 - 8 .9 - 3 .2 1.5 — .4 13 Demand deposits and currency... 14 Due to U.S. Govt.................... . l 3 .2 .2 2 - 3 1.2 -1.2 - .4 2.0 - .3 -.7 1 8 14 15 Due to rest of the world4........ — 1 —. 3 1 — 2 1.3 * -.5 15 16 Currency outside banks........... . 8 1.7 2 4 2’ 1 2.0 .7 1.8 4 0 2 0 3.5 1.3 1 .9 1.4 3.3 16 17 Other............................................. * ♦ .6 -.5 -.1 -.3 -.4 -.3 -1.0 -.2 .1 -.2 -.1 * 17 (H) Commercial banks3 1 Current surplus................................. 1 5 1 7 I 9 2 0 2.3 1.9 2.0 1.9 2.0 2.2 2.2 2.4 2.3 1.7 I 2 Net acquisition of financial assets. .. 20.7 20.0 23.5 30.2 20.9 34.6 24.3 16.7 45.2 20.1 38.1 14.4 11.0 37.0 2 3 Member bank reserves 6............... . 1 — 4 1 0 4 I 3 1 9 .5 -. 1 - .5 5.7 .3 — .9 3 4 Vault cash...................................... 7 4 ' 3 5 2.1 .5 — .6 .9 - .3 .2 1.5 - .4 4 5 Total loans and investments........ 19.5 19.4 22^3 29.0 18.3 31.1 22.7 18,4 43.9 18.3 37.1 8.4 9.5 39,5 5 6 Credit market instruments..... 18.4 18.8 21.8 28.9 18.4 28.7 21.5 27.1 38.4 19.9 35.7 7.4 10,8 37.4 6 7 U.S. Govt, securities7.........1....4 -2.6 4 -2.3 -2.8 -2.6 -10.2 -1 .7 5.3 -1.9 .5 -5.7 -4.2 18.7 7 8 Short-term marketable. . . . -5.2 -3.5 -1.7 -4.6 -10.6 -5.7 2.4 7.2 -10.7 -4.9 .1 -2.9 9.4 8 9 Other direct. ...................... 5 2 5 — 4 1 -1 4 1.0 7.9 — 5.3 -6.1 -2.3 8.3 -.9 -2.0 -1.6 6.0 9 10 Agency* ssues..................... .9 .5 ' ’ * 1.2 . 1 * 1.1 1.9 1.7 -1.0 2.8 -1.7 .3 -.6 10 11 Loan participations.......... 5 -.2 .6 — .4 .7 ♦ -.3 . 1 -1.3 1.5 3.5 -2.1 * 4.0 11 12 Other securities & mortgages. 8.3 10.1 8.1 10.5 6.8 9.6 12.1 10.5 9.9 8.7 10.3 6.2 1.9 10.8 12 13 State and local oblig......... 4 4 5.2 3.5 5.0 1.8 4.9 6.4 4.2 4.5 3.4 5.0 1.2 -2.5 8.7 13 14 Corporate bonds................ — 1 -.2 -.4 ♦ * 14 15 1 - to 4-family mortgages... 2.0 2.7 2.3 3.1 2.6 2.5 2.8 3.7 3.4 2.6 2.9 2.7 2.3 i.i 15 16 Other mortgages................ 1 9 2.2 2.2 2.5 2,4 2.1 2.8 2.7 2.4 2.8 2.4 2.3 2.2 1.0 16 17 Other credit exc. security.. .. 8.7 11.3 13.4 20.7 14.5 21.7 19.6 18.2 23.1 13.2 24.9 6.9 13.0 7.9 17 18 Consumer credit................ 2.3 3.5 3.8 4,7 3.1 4.3 4.9 5.1 4.6 3.5 3.1 3.4 2.4 1.4 18 19 Bank loans n.e.c................. 6.2 7.6 8.7 16.4 9.4 19.3 13.9 12.9 19.4 8.0 21.3 2.4 6.1 1.3 19 20 Other loans 8...................... .2 .2 .8 -.5 1.9 -1.8 .7 .2 -.9 1.6 .5 1.1 4.5 5.2 20 21 Security credit.......................... 1.1 .6 5 -. I 2.4 1.2 -8.7 5.5 -1.6 1.3 l.l -1.2 2.1 21 22 Misc. assets.................................. .5 .4 .6 .5 .6 1.3 .2 -1.1 1.5 .9 1.8 .1 -.3 -1.2 22 23 Net increase in liabilities.................. 19.8 19.3 22.0 28.8 19.5 33.6 22.5 15.8 43.2 19.2 36.8 12.6 9.3 35.9 23 24 Demand deposits, net................... 3.7 3.8 4.8 5.6 .1 7.0 . 1 -5.4 20.5 -8.0 10.8 -6.5 4.1 1.3 24 25 U.S. Govt.9. ......................... 1.2 -.6 * -1.0 -.6 5.0 -.6 -11.6 3.3 -4.7 6.9 -1.5 -3.3 -4.2 25 26 Foreign to................ . 1 .4 . 1 — .4 -.4 -.6 .6 1.0 -1.3 1.2 -1.4 -.3 -1.9 26 27 Other, net 11............................... 2.3 4.3 4.4 6.4 1.2 2.4 1.3 5.6 16.3 -2.1 2.7 -3.6 7.7 7.4 27 28 Time deposits................................ 15.6 14.3 14.5 20.0 13.2 22.7 17.6 21.4 18.4 14.9 20.9 11.2 5.8 35,1 28 29 F.R. float....................................... .6 -.3 * -.4 .3 -.8 -.2 1.0 -1.5 3.6 -.5 -1.7 -.4 1.9 29 30 Borrowing at F.R. Banks............. -.1 * .1 -.1 .5 1.0 -2.5 .8 .8 -.3 1.5 -1.7 -.4 30 3 31 2 Ot S h e e c r u l r i i a t b y i l i i s t s ie u s e . s .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 . . 3 4 2. . 5 6 3 . . 8 6 5. .1 8 4. . 2 5 4 2 . . 1 0 1. . 3 1 4. . 9 4 7. .1 8 5. . 9 3 8.1 * 1.5 * -2. . 0 8 3 3 1 2 33 Discrepancy..................... .4 .5 * .3 .6 .5 -.2 .6 .1 .7 .4 .6 .6 . 1 33 34 Memo; Total loans exc. mortgages.. 9.8 11.9 13.9 20.8 14.4 24.1 20.8 9.5 28,6 11.6 26.2 8.0 11.8 10.0 34 For notes see p. 1437. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 FLOW OF FUNDS 1435 4. SECTOR STATEMENTS OF SOURCES AND USES OF FUNDS—Continued (In billions of dollars) 1965 1966 1967 Category 1962 1963 1964 1965 1966 I II in IV I II III IV I (I) Nonbank financial institutions1 1 Current surplus.................................. 2.2 1.7 1.2 1.3 1.0 1.4 1.6 1.6 .5 .4 1.6 1.5 .3 1.6 1 2 Physical investment (Life ins.)........ .3 .5 .5 .5 .4 .5 .5 .5 .5 .4 .4 .4 .4 .5 2 3 Net acquis, of financial assets........... 32.6 37.0 37.0 37.7 30.2 38.3 41.4 29.9 41.3 39.0 28.2 22.4 31.1 40.0 3 4 Demand deposits and currency... l.l .2 .3 .7 .3 * .5 .9 1.5 -1.4 .5 .7 1.6 .9 4 5 Time deposits (Mut. svgs. bks.)... * .1 * .2 .2 -.2 -.2 * 5 6 Svgs. and loan shares (Cr. unions) . 1 .1 -.2 - .2 -.5 -.4 -.2 .2 -.3 -.4 -.3 .1 .2 6 7 Cr. mkt. instr................................ 30.7 3.1.7 35.8 35.7 28.9 38.1 39.6 27.9 37.1 38.9 26.6 22.3 27,9 32.9 7 8 U.S. Govt, securities................. 1.6 -.5 2.0 -.8 .6 2.2 -.8 -5.9 1.5 4.0 -4.3 4.4 -1.9 -.3 8 9 State and local obligations....... .9 .6 .2 .3 .4 .7 * -1.1 -.3 1.1 -.8 1.1 2.0 9 10 Corporate bonds....................... 3.8 4.4 4.4 5.5 5.2 5.8 5.3 5.1 5.6 8.3 4.6 2.9 5.0 8.4 10 11 Corporate stock......................... 4,2 3.4 3.7 5.4 5.3 4.1 6.0 4.3 7.0 3.8 6.3 3.5 7.5 7.5 1 J 12 1- to 4-family mortgages...... 11,0 14.1 13.0 12.7 6.1 13.8 12.8 12,8 11.5 11.8 6.5 3.3 2.9 7.6 12 13 Other mortgages....................... 5.7 6.9 7.3 6.4 5.1 6.1 6.3 6.5 6.6 6.1 5.9 5.2 3.5 4.7 13 14 Consumer credit....................... 1.9 2.8 2.8 3.1 2.3 3.5 3,7 2.9 2.5 2.7 2.6 2.5 1.6 .9 14 15 Other loans................................ 1.6 2.1 2.4 3.4 4.0 2.2 5.5 2.3 3.6 2.7 3.9 1.3 8.2 2.3 15 16 Security credit.............................. -.3 1.9 — .5 .2 -.1 -.8 .4 -.3 1.6 .5 .4 -2.0 .7 1.3 16 17 Trade credit................................... .2 .2 .2 .2 .2 .2 .2 .2 .2 .2 .2 .2 .2 .2 17 18 Miscellaneous assets..................... .9 1.1 1.2 1.2 1.1 1.1 1.0 1.7 .9 1.1 1.1 1.4 .7 4.4 18 19 Net increase in liabilities................... 30.5 35.5 36.3 36.2 29.9 35,8 39.6 29.0 40.5 38.3 29.4 19.2 32.6 39.1 19 20 Time and savings acct.................. 13.1 15.2 15.9 12.9 7.1 12.8 11.9 13.0 13.8 9.4 4.4 5.0 9.4 16.7 20 21 Ins. and pension reserves.............. 9.0 10.1 11.1 11.6 12.8 10.9 12.0 12.0 11.7 12.9 11.2 13.5 13.4 14.7 21 22 Cr. mkt. instr.2............................. 5,7 7.1 6.2 8.9 6.8 7.9 10.5 9.3 8.0 12.3 9.2 1.6 4.0 -.2 22 23 Finance company bonds.......... .3 1.4 2.1 1.9 .8 1.6 1.8 1.5 2.7 1.6 .3 1.9 -.8 1.5 23 24 Investment company shares.... 1.9 1.2 1.9 3.0 3.8 2.5 2.2 3.5 4.0 5.1 3.2 3.7 3.4 3.1 24 25 Mtg. loans in process................ .4 .5 -.3 -.1 -.9 * .2 -.2 -.2 .4 -1.1 -1.8 -1.2 .6 25 26 Bank loans n.e.c....................... 1.0 1.7 .5 2.4 -1.2 2.3 2.6 1.3 3.3 -.4 3.4 -5.6 -2.3 -5.6 26 27 Other loans................................ 2.0 2.3 2.0 1.7 4.3 1.5 3.7 3.3 -1.9 5.6 3.4 3.3 4.9 . 1 27 28 Finance co. paper........... 1.2 1.0 1.5 1.0 3.4 2.2 2.8 -1.1 2.8 1.6 2.2 6.9 2.9 28 29 FHLB loans........................... .8 1 .3 .5 .7 .9 1.5 1.5 .5 -.8 2.8 1.8 1.1 -2.0 -2.8 29 30 Security credit............................... .9 .5 .1 -.2 .1 1.3 2.3 -8.7 4.2 .3 2.2 -3.9 1.8 5.5 30 31 Taxes payable................................ .1 .1 . 1 -.3 .1 .3 .1 -.3 -.1 .2 .8 . 1 31 32 Miscellaneous liabilities................ 1.7 2.5 3.1 3.0 3.0 3.1 2.8 3.2 2.7 3.7 2.6 2.8 3.1 2.4 32 33 Discrepancy...................................... -.2 -.3 .1 -.7 .3 — 1.6 -.6 .3' -.7 -.7 2.4 -2.1 1.4 .2 33 (1.1) Savings and loan associations 1 Net acquis, of financial assets.......... 11.5 14.0 11.8 10.1 4.4 10.3 10.6 10.2 9.3 9.3 4.6 1.4 2.4 7.4 1 2 Demand deposits and currency 3. .6 .1 * -.5 -.2 .1 .5 -.1 -.6 -.4 -1.0 -.1 .1 2 3 Cr. mkt. instr. 4........................... 10.3 13.3 11.1 9.4 4.3 10.0 9.9 8.7 9.2 9.5 4.4 1.4 1.9 3.8 3 4 U.S. Govt, securities................. .4 1.0 .6 .5 .5 1.0 .5 -.2 .6 1.2 -.8 .7 1.0 . 1 4 5 1- to 4-family mortgages.......... 7.4 9,3 8.0 7.6 3.3 7.9 7.6 7.4 7.3 7.5 4.3 .5 1.0 3.5 5 6 Other mortgages....................... 2.6 2.9 2.4 1.3 .4 l.l 1.6 1.4 1.1 .9 .8 .2 6 7 Mise, financial transactions.......... .6 .5 .7 .6 .6 .5 .6 1.1 .3 .4 .6 1.0 .6 3.6 7 8 Net increase in liabilities.................. 10.7 13.3 11.1 9.3 3.9 9.3 9.7 9.5 8.5 8.7 3.9 .8 2.1 7.6 8 9 Savings shares............................... 9.4 11.1 10.6 8.4 3.6 8.2 7.6 8.7 9.1 5.8 2.5 1.4 4.7 10.2 9 10 Mtg. loans in process................... .4 .5 -.3 -.1 -.9 * .2 -.2 -.2 .4 -1.1 -1.8 -1.2 .6 10 11 Borrowing from FHLB................ .8 1.3 .5 .7 .9 1.5 1.5 .5 - .8 2.8 1.8 1.1 -2.0 -2.8 11 12 Memo: FHLB loans less deposits... .8 1.4 .5 .8 .9 1.7 1.7 .4 -.5 3.1 1.8 1.4 -2.5 -5.2 12 (1.2) Mutual savings banks 1 Net acquis, of financial assets 5........ 3.3 3.6 4.5 4.0 2.8 4.1 4.0 4.3 3.6 2.9 1.4 3.7 3.0 5.7 1 2 U.S. Govt, securities................... - .2 -.3 -.5 -.6 -.6 -.7 -.9 -.1 -.4 -1.8 2 3 Corporate bonds........................... -.1 -.3 -.2 -.1 .2 -.1 -.1 -.3 .2 -.1 .3 .5 2.5 3 4 1- to 4-family mortgages.............. 2.1 2.6 2.7 2.7 1.7 2.6 2.5 2.8 2.8 1.8 1.1 1.9 1.9 2.0 4 5 Other mortgages........................... 1.0 1.3 1.7 1.4 1.1 1.3 1.3 1.5 1.5 1.2 .9 1.1 1.1 1.1 5 6 Savings deposits................................ 3.1 3.3 4.2 3.6 2.6 4.0 3.4 3.5 3.6 2.7 1.0 3.0 3.5 5.5 6 (1.3) Life insurance companies 1 Current surplus................................. 1.1 l.l 1.1 1.1 1.3 1.1 1.1 1.1 1.2 1.2 1.3 1 .4 1.5 1.5 1 2 Net acquis, of financial assets 5....... 6.8 7.0 7.8 8.6 8.4 8.8 8.4 8.3 8.9 9.4 7.7 9,1 7.6 10.7 2 3 Cr. mkt. instr.................. 6.5 6.7 7.4 8.1 8.0 8.4 8,0 8.0 8. 1 9.8 7.4 8.5 6.5 10.2 3 4 U.S. Govt, securities................. .1 -.4 -.3 -.4 -.3 .2 -.7 -.9 -.4 -.1 -.6 -.7 -.1 4 5 State and local obligations....... -.2 -.1 -.3 -.4 -.2 -.2 -.4 -.3 -.5 -.6 — .2 -.2 -.2 5 6 Corporate bonds....................... 2.5 2.8 2.3 2.7 2.3 2.1 2.1 3.2 3.2 4.8 1 .7 2.6 .3 4.0 6 7 Corporate stock....................... .4 .2 .5 .8 .2 .6 .6 .8 1 .2 .1 .2 .3 .5 7 8 1- to 4-family mortgages.......... .6 .9 1.4 1.2 1.1 1.7 1.0 1.0 1.0 1.5 1.3 1.1 .5 1.2 8 9 Other mortgages....................... 2.1 2.7 3.2 3.7 3.6 3.6 3.5 3.6 3.9 3.9 4.1 3.9 2.4 3.4 9 10 Other loans................................ .7 .5 .4 .5 1.5 .4 1.7 .7 -.6 .1 1.3 1.6 3.1 1.5 10 11 Net increase in liabilities................... 6.0 6.4 7.1 7.9 8,0 7.6 7.9 8.0 7.9 7.9 7.9 8.2 8.1 9.5 11 12 Life insurance reserves................. 3.6 4.0 4.2 4.7 4.6 4.5 4.7 4.7 4.6 4.6 4.5 4.7 4.6 6.3 12 13 Pension fund reserves................... 1.4 1.7 2.0 2.1 2.3 2.0 2.1 2.1 2.1 2.2 2.2 2.4 2.4 2.1 13 14 Other.............................................. 1.0 .7 .8 1.2 1.1 1.3 1.1 1.0 1.1 1.3 1.2 .9 .7 1.1 14 For notes see p. 1437. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1436 FLOW OF FUNDS AUGUST 1967 4. SECTOR STATEMENTS OF SOURCES AND USES OF FUNDS—Continued (In billions of dollars) 1965 1966 1967 Category 1962 1963 1964 1965 1966 I II HI IV I II HI IV I (1.4) Noninsured pension plans I Net acquis, of financial assets •’..... 4.0 4.4 4.9 4.9 5.9 4.4 5.2 5.1 5.0 6.1 4.5 6.4 6.4 6.2 1 2 Credit mkt. instr 6......................... 4.0 4.3 4.8 4.9 5.9 4.9 5.3 5.0 4.2 6.1 5.2 6.7 5.7 6.2 2 3 U.S. Govt, securities................. .2 .4 .4 -.3 -.6 -.3 -.5 .4 -.4 .9 -1.0 -.4 3 4 Corporate bonds....................... 1.2 1.5 1.6 1.5 1.8 1.9 1.7 1.7 .7 2.5 1.3 1.6 1.9 1.6 4 5 Corporate stock......................... 2.2 2.2 2.2 3.1 3.7 3. 1 3.0 3,3 3.2 2.8 4.0 3.8 4.1 4.6 5 (1,5) Other insurance companies 1 Net acquis, of financial assets J........ 1.4 1.4 1.0 2.0 1.6 1.8 2.4 2.4 1.5 1.1 1.9 1.6 2.0 1.2 1 2 Demand deposits and currency.,. * -.1 -.1 -.1 .1 .1 2 3 Credit mkt. instr. ^......................, , 1.2 1.3 .8 1 9 1.4 1 7 2.3 2.3 1 3 1.0 1.7 L3 1.7 .9 3 4 U.S. Govt, securities................. . 1 .2 -.4 . 1 -.2 . 1 . 1 -.4 - 2 - .4 -.7 -1.4 4 5 State and local obligations..... .7 .8 .2 .6 .7 .5 .7 .7 .5 .7 .7 ,7 .8 .9 5 6 Corporate bonds....................... 1 4 1.1 .6 9 1.2 1.2 1 0 8 6 .4 6 .11 6 7 Corporate stock........................ .2 .2 .2 .2 5 .2 .5 .2 - ‘ 1 —. 1 .6 1.0 3 7 (1.6) Finance companies 1 Net acquis, of financial assets 3........ 2.7 4.0 4.0 5.4 3.2 4.9 6.5 4.5 5.6 4.6 3.4 .2 4.4 1.4 I 2 1- to 4-family mortgages.............. .5 .8 .4 . 5 — .6 .9 .5 1.0 -. 1 .4 —, 6 -.7 -1.3 .5 2 3 Consumer credit........................... 1.3 1.8 1.8 1.9 1.2 2.3 2.2 1.8 1.5 1.6 1.3 1.5 .6 .2 3 4 Other loans.................................... .8 1.6 1.8 2.7 2.3 1.5 3.7 1.5 4.0 2.4 2.6 -8 4.9 .5 4 5 Net increase in liabilities................... 2.6 4.0 4.0 5.1 2.9 4.2 6.2 5.4 4.6 4.3 4.6 -1.3 3.8 -.1 5 6 Corporate bonds.......................... .3 1.4 2.1 1,9 .8 1.6 1.8 1.5 2.7 1.6 .3 L9 -.8 1.5 6 7 8 B O a p n e k n l m oa k n t. s p n a .e p . e c r .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 . . 0 2 1 1 . . 0 6 1. . 5 4 2 1 . . 2 0 -1 3 . . 3 4 2.7 * 2 2 . . 1 2 2 1 . .1 8 -1 3 . . 1 0 - 2 .1 .8 2 1 . . 7 6 -5 2 . . 5 2 -2 6 . . 3 9 -4 2 . . 5 9 7 8 (1.7) Security brokers and dealers 1 Net acquis, of financial assets........... .9 .6 .2 -.1 .3 1.4 2.4 -8.6 4.3 .4 2.3 -3.7 2.1 5.6 1 2 U.S- Govt, securities..................... .7 -1.3 .7 -.3 .7 .9 1.4 -5.3 1.8 1.8 -1,0 2.1 -.3 4.2 2 3 Other securities............................. .4 .2 -.4 -.4 .4 .6 -2.8 .1 -2.1 2.6 -4.2 2.3 -.5 3 4 Security credit. ................ -.2 1.5 -.5 .5 -.2 -.1 .2 -.5 2.3 .6 .6 -1.8 -.1 1.8 4 5 Net incr. in liab.—security credit.... .9 .5 .1 — .2 .1 1.3 2.3 -8.7 4.2 .3 2.2 -3.9 t.8 5.5 5 6 7 F F r r o o m m b ag a e n n k c s ie .. s .. . o ... f . . f . g .. n .. . . .. b .. a .. n .. k .. s .. . . . . . . . . . . . . . . . - 1 . . 2 1 . . 2 4 .2 * - - . . 3 3 -.1 .1 - 2 . . 7 5 . . 1 8 -9. . 3 2 - 5 . . 7 0 — - 1 .1 .6 -. . 2 7 - 1 .3 .3 -1. . 0 8 - 2 . . 6 6 6 7 8 Customer credit balances........ .3 .2 — .4 1.4 .4 — .2 2.0 L7 -4.9 2.0 3.5 8 (1.8) Open-end investment companies 1 Net financial investment.................... -.4 -.4 -.8 -1.0 -1.3 -.8 -.6 -.8 -1.8 -1.8 -.6 -.8 -2.1 -1.4 I 2 Net acquis, of financial assets3.. . 1.5 .8 1.1 2.0 2.5 1.7 1.6 2.7 2.2 3.3 2.6 2.9 L3 L7 2 3 Credit mkt. instr....................... 1.2 .8 1.1 1.6 2.0 1.0 1.1 2.4 1.9 3.5 1.5 L2 1.6 2.2 3 4 Corporate stock.................... 1.1 .6 .7 1.2 1.0 .1 1.6 l.l 1.9 1.7 .8 .3 Li 3.0 4 5 Net stock issues7,......................... 1.9 1.2 1.9 3.0 3.8 2.5 2.2 3.5 4.0 5.1 3.2 3.7 3.4 3.1 5 (J) Rest of the world 1 Net purch. of goods and serv (2-3).. 5.1 5.9 8.5 6.9 5.1 6.1 8.2 7.4 6.1 6.1 5.4 4.6 4.3 5.3 1 2 Purch. of goods and services *... 30.3 32.3 37.1 39.1 43.0 35.1 40,7 40.3 40.5 42,0 42.5 43.7 44.0 45.3 2 3 Sales of goods and services h.... 25.1 26.4 28.6 32.2 37.9 28.9 32.6 32.9 34.4 36.0 37,1 39.0 39.7 39.9 3 4 Net unilateral receipts from Govt.t. 2.7 2.8 2.8 2.8 2.9 2.7 3,1 2.9 2.6 3.4 2.9 2.8 2.5 2.9 4 5 Current surplus (4-1) L ................. -2.5 -3.1 -5.7 -4.1 -2.2 -3.5 -5.1 -4.5 -3.4 -2.7 -2.5 -1.8 -1.8 -2.5 5 6 Net financial investment (7-14)........ -1.3 -2.8 -4.7 -3.7 -1.8 -3.6 -4.6 -3.5 -3.2 -1.6 -1.8 -3.0 -.8 -1.4 6 7 Net acquis, of finan. assets............ 2.6 3.4 3.4 2.0 3.6 3.7 1.8 1.2 1.2 1.4 6.2 2.4 4.5 I. 9 7 8 Gold. ..//............................... .9 .5 1.7 .6 3.3 2.4 .5 .3 .8 .7 .5 .2 8 9 U.S. dem. dep. and currency... .1 .1 .5 .1 -.2 -.7 -.5 .7 .8 . 1 1.2 -1.9 -.3 -2.0 9 10 Time deposits............ .6 1.0 1.4 .6 .9 .8 .8 .2 .5 - .2 2.0 . 6 1.2 1.2 10 11 U.S. Govt, securities................. 1.3 .6 .5 -.2 -2.6 -2.0 .9 -1.0 1.5 -2.6 -1.5 -4.0 -2.3 2.7 11 12 Other credit market instr.......... .2 -.1 1.1 1.3 -.7 -.8 -. 1 .9 2.9 1.2 -.4 .7 12 13 Misc. financial assets................ -.4 1.1 .8 -.1 3.8 .9 -1.1 1.6 -2.0 2.8 .7 5.7 5.8 -1.0 13 1 15 4 Ne O t f i f n ic c i r a e l a s U e . S in . f l o ia r b ei i g li n ti e e s x .. c . h .. a .. n .. g .. e .. .. 3 - 3 .6 .9 6, . 2 1 8.2 5 . . 4 7 5.4 * 7.3 * 2 6 . . 1 4 4 . . 3 7 - 4 . . 6 4 -1 2 . . 4 9 8 . . 6 0 5. . 4 4 5 . . 5 3 -3 3 . . 9 3 1 15 4 16 Securities..................................... 1.0 1.1 .7 .8 .4 .8 . 6 .8 .8 1.3 . 3 . 1 1.0 16 17 Loans 4....................................... 1.1 2.2 3.7 1.9 1.0 4.3 1.1 .2 1.9 1.0 2.0 .2 .8 4.6 17 18 Miscellaneous 3.......................... 2.5 2.8 3.9 2.6 4.0 2.2 2.7 3.3 2.3 2.1 5.0 4.9 3.8 L7 18 19 Discrepancy (5—6) 6........................... -1.2 -.4 -1.0 -.4 -.4 . 1 -.4 -1.0 -.2 -LI -.7 L3 -1.0 -1.0 19 U.S. gold and fgn. exchg. held by: 20 Monetary auth........................... ■ -.8 -.4 * -1.3 -.3 -3.0 -2.2 1.3 -1.4 -2.1 .2 .4 .1 -3.1 20 For notes see following page. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 FLOW OF FUNDS 1437 Notes to Table 4 (A) Households 1 Includes nonprofit organizations serving individuals. 4 Line 9 plus capital consumption on owner-occupied houses and nonprofit plant and equipment. 2 Imputed saving associated with growth of government life 3 Includes net free balances with security brokers and miscel­ insurance and retirement reserves. From Tables 4(E), line 13, laneous assets not shown separately. and 4(F), line 6. 0 Policy loans, hypothecated deposits, and U.S. Govt, loans 71 Capital-gains dividends from open-end investments cos. to nonprofit organizations. (B, C, D) Business 1 Sum of Tables 4(C) and 4(D); for detail see below. 8 Loans from U.S. Govt, and commercial loans from finance 2 Profits and noncorporate income as defined in national cos. income. Excludes imputed rental income of owner-occupied 11 Includes earnings retained in business; see note 7 above. houses, included in Table 4(A). 10 Excludes corporations in Tables 4(C), (G), (H), and (I). 3 Change in work in process. 4 After inventory valuation adjustment. 11 Includes branch profits paid to foreign parents less branch 5 Excludes C.C.C.-guaranteed loans, treated as Govt, borrow­ profits received from abroad. ing and included in Table 4(E), line 30. 12 Direct investments abroad, foreign currency holdings, and IJ Includes corporate farms. unallocated current assets. 7 Noncorporate net. income is treated as payment in full to proprietors in the household sector. Gross saving consists of 13 Mainly commercial paper and commercial loans from capital consumption allowances plus corporate farm retained finance companies. profits. 11 Includes State and local profit taxes, (E, F) Govts, 1 Lines 1 through 12 are derived from national-income data, 5 Govt, life insurance, employee retirement, and R.R. retire­ while lines 15 through 31 are based on data behind Treasury ment programs. Excludes social security, which is treated as cash budget. Line 21 is a link between the two accounting sys­ nonfinancial operation. tems on treatment of corporate taxes, and the discrepancy 0 Mainly nonconvertible foreign currencies and official foreign (line 32) represents differences on other matters. exchange position of Treasury. Net cash borrowing in Treasury cash budget corresponds 7 Public debt held by public and Federal Reserve, plus non­ closely to line 25 less accrual of interest on savings bonds and guaranteed issues of Govt, agencies. Includes interest accruals Treasury bills. Cash surplus is closely indicated by line 17 less on savings bonds and Treasury bills; excludes special notes to net cash borrowing. Lines 18, 22, 30, and 31 are in cash outgo IMF. Loan participations include C.C.C., FNMA, Export­ in cash budget except for small amounts in receipts. Lines 13 Import Bank, and all other certificates. In Table 3 they are and 24 are imputations reflected in neither national income nor grouped with nonguaranteed issues. Net movements in in­ cash budget. ventory under C.C.C. guarantee are included in line 11. Loans 2 OASI, disability insurance, and unemployment programs. and mortgages securing other loan participations are included Line 5 includes U.S. Govt, employment taxes; line 6, U.S. in U.S. Govt, financial assets. Govt, benefit payments to households. 8 E and H bonds held by households. 3 Veterans’ life insurance and Govt, employee and R.R. re­ 0 Marketable issues due in less than 1 year plus part of those tirement funds. Line 7 excludes Govt, contributions to these due in less than 2 years. funds. 4 Transfers other than lines 6 and 8, grants-in-aid to State 10 Includes employee retirement funds. and local govts., subsidies less current surplus of Govt, enter­ 11 Net of current surplus of govt, enterprises. prises. 12 Corporate bonds, mortgages, and tax receivables. (G, H) Banking 1 Federal Reserve System plus those Treasury accounts in­ Reported bank data, as on page 1382, are frequently for last cluded in “Member Bank Reserves, Federal Reserve Bank Wednesday of month or other reporting date. Excludes banks in Credit, and Related Items.” Excludes Exchange Stabilization U.S. possessions. Fund, which is in U.S. Govt, accounts. 3 Deposits with F.R. Banks; vault cash in reserves is in line 4. 2 Includes F.R. holdings of foreign currencies, which are net 7 Net change in par value of holdings. in other F.R. accounts in table mentioned in note 1. 8 Includes consumer loans secured by hypothecated deposits 3 Includes vault cash of nonmember banks. not shown separately, 4 Includes deposits of international organizations other than 0 Includes deposits held outside Treasury. IMF; IMF deposits are net in line 3. 10 Bank and nonbank. 5 Based on balance sheet estimates for last day of quarter. 11 Net of F.R. float, shown separately in line 29. (I) Nonbank fiinance 1 In addition to types shown, includes credit unions, agencies laneous, line 7. of foreign banks, and banks in possessions. 4 Includes consumer credit, not shown separately. 2 Lines 10, 11 of 1.1; lines 6, 7, and 8 of 1.6; and line 5 B Includes cash and other assets, not shown separately. of 1.8. . ” Includes mortgages, not shown separately. 3 Excludes deposits at FHLB, which are included in Miscel­ 7 Includes retained capital-gains dividends. (J) Rest of the world 1 Lines 2, 3, and 4 are exports, imports, and transfers to 4 Bank loans, acceptances, loans from U.S. Govt., and secu­ foreigners in income and product accounts. rity credit. 2 Net foreign investment in national income accounts with 6 Direct investment abroad, foreign currencies held by other opposite sign. than in line 15, subscriptions to international organizations 3 Official foreign currency holdings and net IMF position of except IMF, and unidentified liabilities. U.S. IMF position consists of U.S. capital subscription less IMF holdings of special U.S. Govt, notes, deposits with Federal 0 Errors and omissions In U.S. balance of payments state­ Reserve, and letters of credit. ment. Note.—Quarterly data are seasonally adjusted totals at an­ Business but are unrevised before 1967 relative to the May nual rates. These tables reflect revisions in income and product Bulletin tables in financial data. Financial revisions will ap­ accounts for 1964-67 published in the July Survey of Current pear with publication of the second-quarter data. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1438 BANKING OFFICES AUGUST 1967 NUMBER OE BANKING OFFICES IN THE UNITED STATES Commercial banks’ Mutual savings banks All Member Nonmember Type of office and type of change banks Total Na­ In­ Non­ In­ Non­ Total tional State i Total sured insured sured 1 insured Banks (head office): Dec. 31, 1934................................................................ 16,063 15,484 6,442 5,462 980 9,042 7,699 1,343 68 511 Dec. 31, 1941................................................................ 14,826 14,278 6,619 5,117 1,502 7,662 6,810 852 52 496 Dec. 31, 19472.............................................................. 14,714 14,181 6,923 5,005 1 ,918 7,261 6,478 783 194 339 Dec. 31, 195! ........................................................... 14,618 14,089 6,840 4,939 1,901 7,252 6,602 650 202 327 Dec. 31, 1956................................................................ 14,167 13,640 6,462 4,651 1 ,811 7,181 6,737 444 223 304 Dec. 31, 1957................................................................ 14,090 13,568 6,393 4,620 1 ,773 7,178 6,753 425 239 283 Dec. 31, 1958 ................................................................ 14,0^0 13,501 6,312 4,578 1,734 7,192 6,793 399 241 278 Dec. 31, 1959............................................................... 13,991 13,474 6,233 4,542 1,691 7,244 6,878 366 268 249 Dec. 31, 1960................................................................ 13,986 13,472 6,174 4,530 1,644 7,300 6,948 352 325 189 Dec. 31, 1961................................................................ 13,946 13,432 6,113 4,513 1,600 7,320 6,997 323 330 184 Dec. 31, 1962................................................................ 13,938 13,427 6,047 4,503 1,544 7,380 7,072 308 331 180 Dec. 31, 1963................................................................ 14,078 13,569 6,108 4,615 1,493 7,461 7,177 284 330 179 Dec. 31, 1964................................................................ 14,266 13,761 6,225 4,773 1 ,452 7,536 7,262 274 327 178 Dec. 31, 1965 ................................................................ 14,309 13,804 6,221 4,815 1,406 7,583 7,320 263 328 177 Dec. 31, 1966.............................................................. 14,274 13,770 6,150 4,799 1,351 7,620 7,385 235 330 174 June 30, 1967 ................................................................ 14,247 13,744 6,108 4,780 1,328 7,636 7,418 218 332 171 Branches, additional offices, and facilities: Dec. 31, 1934................................................................ 3,133 3,007 2,224 1,243 981 783 7:13 i:>6 Dec. 31, 1941................................................................ 3,699 3,564 2,580 1,565 1,015 984 932 52 32 103 Dec. 31, 19472 ............................................................. 4,332 4,161 3,051 1,870 1,181 1,110 I ,043 67 124 47 Dec. 31, 1951................................................................ 5,383 5,153 3,837 2,370 1,467 1,316 1 ,275 41 165 65 Dec. 31, 1956................................................................ 7,955 7,589 5,886 3,809 2,077 1,703 1 ,666 37 257 109 Dec. 31, 1957 ................................................................ 8,609 8,204 6,378 4,178 2,200 1,826 1,789 37 296 109 Dec. 31, 1958 ................................................................ 9,286 8,861 6,924 4,534 2,390 1,937 1,898 39 305 120 Dec. 31, 1959................................................................ 10,099 9,652 7,492 4,973 2,519 2,160 2,118 42 318 129 Dec. 31, 1960................................................................ 10,969 10,483 8,133 5,509 2,624 2,350 2,303 47 381 105 Dec. 31, 1961............................................................... 11,896 11,353 8,899 6,044 2,855 2,454 2,410 44 427 116 Dec. 31, 1962................................................................ 12,932 12,345 9,649 6,640 3,009 2,696 2,646 50 466 121 Dec. 31, 1963................................................................ 14,122 13,498 10,613 7,420 3,193 2,885 2,835 50 502 122 Dec. 31, 1964.............................................................. 15,275 14,601 11,457 8,156 3,301 3,144 3,094 50 549 125 Dec. 31, 1965 ................................................................ 16,471 15,756 12,298 8,964 3,334 3,458 3,404 54 583 132 Dec. 31, 1966............................................................... 17,665 16,908 13,129 9,611 3,518 3,779 3,717 62 614 143 June 30, 1967................................................................ 18,187 17,394 13,486 9,896 3,590 3,908 3,863 45 642 151 Changes Jan.-June 30, 1967 Banks: New banks3............................................................. 57 57 14 12 2 43 40 3 Suspensions............................................................. -3 -3 -1 ...........-..I. -2 -2 Consolidations and absorptions: Banks converted into branches -60 -59 -38 -30 -8 -21 — 21 -1 Other...................................................................... -11 -11 -9 -6 -3 -2 -2 Voluntary liquidations4 -4 -4 -4 -3 -1 Ceased banking operations -1 -1 -I -I Deletions s — 5 — 5 — 5 -5 Interclass changes: Nonmember to national....................................... 5 5 ...........-..5 -5 Nonmember to State member............................. State member to national................................... ............ I -i State member to nonmember.............................. -12 -12 12 12 National to State member............................. .. National to nonmember....................................... -1 -1 .............I 1 Noninsured to insured.................................. 13 -13 2 -2 Net change..................................................... -27 -26 -42 -19 -23 16 33 -17 2 -3 Number of banks, June 30, 1967............................ 14,247 13,744 6,108 4,780 1,328 7,636 7,418 218 332 171 Branches and additional offices: De novo..................................................................... 528 493 348 254 94 145 145 28 7 Banks converted........................................................ 60 59 46 37 9 13 13 1 Discontinued............................................................. -36 -36 -31 -21 -10 —5 -5 Other5........................................................................ -17 -17 .............. -17 -17 Interclass changes: Nonmember to national...................................... 21 21 — 21 -21 State member to national..................................... 14 — 14 State member to nonmember.............................. -10 -10 10 10 National to State member................................... ............ -4 4 National to nonmember..................................... -4 -4 4 4 Reclassified as branches........................................... 3 3 3 1 2 Net change................................................................ 538 502 373 298 75 129 146 -17 28 8 Number of branches and additional offices, June 30, 1967........................................ 17,943 17,150 13,273 9,705 3,568 3,877 3,832 45 642 151 Banking facilities:6 Established................................................................ 3 3 3 3 Discontinued............................................................ -16 -16 -16 -15 -I Facilities reclassified as branches......................... -3 -3 -3 -2 Net change.............................................................. -16 -16 -16 -13 -3 Number of facilities, June 30, 1967........................ 244 244 213 (91 22 31 31 1 Figures for State member banks and for insured mutual savings banks 4 Exclusive of liquidations incident to succession, conversion, and ab­ include 1 to 3 member mutual savings banks, 194! to 1962 inclusive, sorption of banks. not reflected in total commercial bank figures. State member bank fig­ 5 Institutions no longer classified as banks. ures also include 1 or 2 noninsured trust companies from 1954 to date. 6 Provided at military and other Government establishments through 2 Series revised as of June 30, 1947. The revision resulted in an addi­ arrangements made by the Treasury Dept. tion of 115 banks and 9 branches. Note.—Beginning with 1959, figures include all banks in Alaska and •' Exclusive of new banks organized to succeed operating banks. Hawaii, but nonmember banks in territories and possessions are excluded. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 FEDERAL RESERVE PAR LIST 1439 NUMBER OF PAR AND NONPAR BANKING OFFICES Par Total --------------- Nonpar (nonmember) F.R. District, Total Member Nonmember State, or other area Banks a B nd ra o n f c f h ic e e s s Banks a B n r d a n of c f h ic e e s s Banks a B nd ra n o c ff h ic e e s s Banks a B nd ra n o c ff h ic e e s s Banks a B nd ra o n f c f h ic e e s s Total, including Puerto Rico and Virgin Islands:1 Dec. 31, 1966..................... 13,687 17,034 12,238 16,720 6,149 13,152 6,089 3,568 1,449 314 June 30, 1967............... .. 13,662 17,543 12,253 17,230 6,107 13,511 6,146 3,719 1,409 313 F.R. Districts, June 30, 1967; Boston................................. 383 1,271 383 1,271 247 982 136 289 New York.......................... 502 2,920 502 2,920 390 2,583 112 337 Philadelphia....................... 511 1, 172 511 1,172 379 878 132 294 Cleveland........................... 831 1,601 831 1 ,601 493 1,360 338 241 Richmond........................... 804 2,282 729 2,207 393 1,454 336 753 75 75 Atlanta............................. 1,570 1,069 1,111 971 527 744 584 227 459 98 Chicago............................... 2,543 1,841 2,543 1,841 990 1,218 1,553 623 St. Louis............................. 1,506 665 1,276 594 478 385 798 209 230 71 Minneapolis...................... 1,356 221 778 161 495 101 283 60 578 60 Kansas City. ..................... 1,918 220 1,918 220 837 142 1 ,081 78 ................. Dallas................................. 1,290 249 1 ,224 240 671 146 553 94 66 9 San Francisco..................... 448 4,032 447 4,032 207 3,518 240 514 ................. State or area, June 30, 1967; Alabama............................. 266 200 199 189 110 161 89 28 67 tl Alaska................................ 12 54 11 54 5 46 6 8 1 Arizona............................... 248 263 160 263 83 207 77 56 88 Arkansas............................. 17 125 17 102 5 85 12 17 23 California........................... 181 2,615 181 2,615 99 2,370 82 245 Colorado............................. 215 7 215 7 135 5 80 2 Connecticut........................ 66 344 66 344 36 278 30 66 Delaware............................ 19 72 19 72 7 34 12 38 District of Columbia......... 14 95 14 95 12 89 2 6 Florida................................ 444 20 415 20 208 12 207 8 29 Georgia............................... 430 222 192 206 73 170 119 36 238 16 Hawaii................................ 7 122 7 122 2 43 5 79 Idaho.................................. 25 140 25 140 16 126 9 14 Illinois................................. 1 ,061 6 1,061 6 522 6 539 Indiana........................ 416 526 416 526 205 346 211 180 Iowa................................... 674 254 674 254 159 57 515 197 Kansas................................ 599 54 599 54 211 34 388 20 Kentucky............................ 347 251 347 251 94 162 253 89 Louisiana............................ 223 295 122 255 57 178 65 77 101 40 Maine................................. 41 185 41 185 27 129 14 56 .................. Maryland........................... 121 428 121 428 55 261 66 167 — Massachusetts.................... 159 633 159 633 106 508 53 125 Michigan............................. 344 1,024 344 I ,024 209 841 135 183 Minnesota........................... 722 9 333 8 224 6 109 2 389 1 Mississippi.......................... 188 264 81 191 42 119 39 72 107 73 Missouri............................. 659 74 616 74 177 38 439 36 43 Montana........................... 133 3 133 3 91 3 42 Nebraska............................ 433 32 433 32 140 20 293 12 Nevada............................... 9 73 9 73 6 64 3 9 New Hampshire................. 74 U 74 34 53 29 21 5 .................. New Jersey......................... 227 734 227 734 187 648 40 86 New Mexico....................... 64 108 64 108 41 66 23 42 New York.......................... 328 2,097 328 2,097 268 1,996 60 2101 North Carolina.................. 127 821 84 750 28 395 56 355 43 71 North Dakota................... 167 61 72 27 46 13 26 14 95 34 Ohio.................................... 536 1,032 536 ! ,032 349 889 187 143 Oklahoma........................... 420 43 420 43 244 36 176 7 Oregon................................ 49 283 49 283 14 232 35 51 Pennsylvania....................... 528 1,386 528 1,386 380 1,090 148 296 Rhode Island..................... 12 134 12 134 5 82 7 52 .................. South Carolina.................. 127 311 95 307 32 207 63 100 32 4 South Dakota.................... 166 86 72 61 59 52 13 9 94 25 Tennessee........................... 298 388 238 373 86 264 152 109 60 15 Texas................................... 1,148 57 1,126 57 614 26 512 31 22 Utah.................................... 55 111 55 111 24 86 31 25 Vermont............................. 45 64 45 64 27 37 18 27 Virginia............................... 249 627 249 627 163 502 86 125 Washington........................ 97 437 97 437 37 395 60 42 West Virginia..................... 191 191 114 77 Wisconsin........................... 595 173 595 173 166 39 429 134 Wyoming............................ 69 69 53 1 16 Puerto Rico1...................... 12 153 12 153 16 12 137 Virgin Islands1.................. 5 12 5 12 1 12 4 1 Puerto Rico and the Virgin Islands assigned to the N.Y. District for Note.—Includes all commercial banking offices in the United States, purposes of Regulation J, “Check Clearing and Collection.’’ Member Puerto Rico, and the Virgin Islands on which checks are drawn, includ­ branches in Puerto Rico and all except 3 in the Virgin Islands are branches ing 244 banking facilities. Number of banks and branches differs from of N.Y.C. banks. Certain branches of Canadian banks (2 in Puerto Rico that in the preceding table because this table includes banks in Puerto and 3 in Virgin Islands) are included above as nonmember banks; and Rico and the Virgin Islands but excludes banks and trust companies nonmember branches in Puerto Rico include 7 other branches of Cana­ on which no checks are drawn. dian banks, 2 Includes 7 N.Y.C. branches of 2 insured nonmember Puerto Rican banks. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1440 BANK HOLDING COMPANIES AUGUST 1967 BANKING OFFICES AND DEPOSITS OF BANKS IN HOLDING COMPANY GROUPS, DECEMBER 31, 1966 A. Details for 34 States and District of Columbia Number of offices Deposits Banks and branches State Number of As a per­ companies 1 Banks Branches c A en s t a a g p e e r o ­ f mil I l n io ns all c e c n o t m ag m e e o rc f i al Total all commercial of dollars bank banking deposits offices Totals—34 States and District of Columbia.......................................... 1 65 561 1,802 2,363 41,081 Arizona.......................................... 1 2 97 99 33.7 746 33.2 California............................................. 5 5 219 224 8.3 3,305 8.9 Colorado............................................. 3 12 1 13 5.1 692 22.7 District of Columbia.......................... 2 2 11 13 12.7 233 9.9 Florida................................................ 10 62 62 13.8 2,073 24.9 Georgia............................................... 7 19 83 102 16.2 1,773 34.9 Idaho.................................................... 2 2 68 70 42.7 392 41.5 Illinois.................................................. 2 5 5 . 5 358 1.3 Indiana................................................ 2 3 4 7 .8 67 .9 Iowa..................................................... 2 18 20 38 4. 1 413 8.7 Kentucky............................................. 1 2 26 28 4.7 370 10.1 Maine.................................................. I 4 8 12 5.4 44 4.8 Maryland............................................. 2 4 15 19 3.6 111 2.9 Massachusetts..................................... 2 24 181 205 26.5 1,611 20.7 Michigan.............................................. 1 1 11 12 .9 178 1.2 Minnesota........................................... 5 118 8 126 17.2 3,795 58.7 Missouri............................................... 3 12 3 15 2.1 377 4.2 Montana............................................. 4 33 33 24.8 631 53.0 Nebraska............................................. 1 5 3 8 1.7 237 9.6 Nevada................................................ 1 2 36 38 48.7 460 62.8 New Hampshire................................. 1 7 3 10 9.3 115 17.6 New Mexico........................................ 1 5 19 24 14.8 128 12.7 New York........................................... 12 29 379 408 17.1 12,386 18.1 North Dakota..................................... 3 32 14 46 20.4 428 37.9 Ohio..................................................... 2 26 80 106 6.9 1,610 9.6 Oklahoma........................................... 1 2 2 .4 378 9.3 Oregon................................................. I 1 110 111 34.2 1,331 42.8 South Dakota..................................... 2 11 33 44 17.6 374 33.4 Tennessee............................................. 4 9 15 24 3.6 184 3.4 Texas.................................................. 3 14 2 16 1.4 1 ,034 5.5 Utah.................................................... 2 3 62 65 39.9 718 48.6 Virginia................................................ 5 38 185 223 26.4 1,499 28.2 Washington.................................... 3 7 78 85 16.5 562 13.4 Wisconsin............................................ 8 38 28 66 8.7 2,372 34.1 Wyoming............................................. 2 4 ....................... 4 5.8 96 16.3 B. Summary totals and comparsions Holding company groups as a 34 States and District of Columbia percentage of all commercial banks in— United States— Item comm al e l rcial 34 States and Holding All banks District United States company groups commercial banks of . Columbia Number of banking offices, total............................ 2,363 22,727 30,414 10.4 7.8 Hanks............................................................................. 561 10,843 13,769 Branches.................................... . 1,802 11,884 16,645 Deposits (millions of dollars)................................... 41,081 288,694 353,474 14.2 11.6 1 Data for individual States represent bank holding companies hav­ quest.) The data include: (I) banks of which the bank holding companies ing subsidiary banks in the respective States rather than bank holding owned or controlled 25 per cent or more of the outstanding stock, and companies whose principal offices are located in such States. Total does (2) 9 domestic commercial banks that are themselves bank holding com­ not equal sum of State figures because it has been corrected for duplica­ panies. The 9 banks have 66 branches and deposits aggregating $2,740,­ tions; that is, holding companies that have subsidiary banks in more than 750,000. Exclusion of these 7 5 banking offices and their deposits from the one State are included in the total only once. The 65 bank holding com­ data in the table would reduce the percentage ratios shown in the table as panies included in the total represent only 58 separate bank groups. follows: holding company groups to all commercial banks in 34 States and District of Columbia—number of banking offices from 10.4 to 10.1; Note.—Holding companies registered pursuant to Bank Holding Com­ deposits from 14.2 to 13.3; holding company groups to all commercial pany Act of 1956, as amended. (A list showing the names and total de­ banks in the United States—number of banking offices from 7.8 to 7.5; posits of the banks in the holding company groups is available upon re­ deposits from 11.6 to 10.8. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

Financial Statistics International U.S. balance of payments ................................................................................................. 1442 Foreign trade......................................................................................................................... 1443 U.S. gold transactions and reserve assets ........................................................................ 1444 U.S. position in the IMF .................................................................................................... 1445 International capital transactions of the United States................................................... 1446 Reported gold reserves of central banks and governments ........................................... 1458 Gold production .................................................................................................................. 1459 Money rates in foreign countries ....................................................................................... 1460 Arbitrage on Treasury bills ................................................................................................ 1461 Foreign exchange rates ...................................................................................................... 1462 Guide to tabular presentation ........................................................................................... 1366 Index to statistical tables .................................................................................................... 1469 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). 1441 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1442 U.S. BALANCE OF PAYMENTS AUGUST 1967 1. U.S. BALANCE OF PAYMENTS (In millions of dollars) 1965 1966 1967 Item 1964 1965 1966 IV I II III IV Ip 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 1...................... 37,099 39,147 43,039 10,119 10,511 10,618 10,913 10,997 11,317 Merchandise............................................................ 25,297 26,244 29,168 6,925 7,203 7,181 7,382 7,402 7,690 Military sales............................................................ 747 844 847 212 209 222 206 210 338 Transportation......................................................... 2,324 2,390 2,589 633 636 642 661 650 675 Travel........................................................................ 1,207 1,380 1,573 379 374 383 408 408 409 Investment income receipts, private....................... 4,929 5,376 5,650 1,278 1,316 1,382 1,444 1,508 1,420 Investment income receipts, Govt........................ 460 512 595 75 153 153 143 146 162 Other services.......................................................... 2,135 2,401 2,617 617 620 655 669 673 623 Imports of goods and services—Total......................... -28,637 -32,203 -37,937 -8,599 -8,997 -9,265 -9,762 -9,913 -9,981 Merchandise............................................................. -18,621 -21 ,472 -25,510 -5,772 -6,025 -6,225 -6,580 -6,680 -6,689 Military expenditures.............................................. -2,861 -2,921 -3,694 -785 -861 -911 -953 -969 -1,041 Transportation........................................................ -2,462 -2,674 -2,914 -708 -722 -709 -727 -756 -753 Travel....................................................................... -2,211 -2,438 -2,657 -625 -637 -674 -672 -674 -678 Investment income payments................................. -1,455 -1,729 -2,074 -469 -475 -471 -565 -563 -531 Other services.......................................................... -1,027 -969 -1,088 -240 -277 -275 -265 -271 -289 Balance on goods and servicest.................................. 8,462 6,944 5,102 1,520 1,514 1,353 1,151 1,084 1,336 Remittances and pensions............................................ -896 -1,024 -1,010 -243 -241 -245 -278 -246 -258 1. Balance on goods, services, remittances and pensions................................................................ 7,566 5,920 4,092 1,277 1,273 1,108 873 838 1,078 2. U.S. Govt, grants and capital flow, net.................. -3,560 -3,375 -3,446 -862 -975 -988 -759 -724 -1,205 Grants,2 loans, and net change in foreign currency holdings, and short-term claims........... -4,263 -4,277 -4,680 -991 -1,185 -1,194 -1,177 -1,124 -1,419 Scheduled repayments on U.S. Govt, loans. . . 580 681 806 106 207 199 192 208 214 Nonscheduled repayments and selloffs............. 123 221 428 23 3 7 226 192 3. U.S. private capital flow, net................................. -6,542 -3,743 -4,132 -812 -981 -1,135 -932 -1,084 -1,006 Direct investments.............................................. -2,435 -3,418 -3,462 -718 -634 -1 ,006 -900 -922 -695 Foreign securities................................................ -677 -758 -482 -231 -358 9 -50 -83 -240 Other long-term claims: Reported by banks.......................................... -941 -232 337 128 123 -27 73 168 153 Reported bv others......................................... -343 -88 -112 -68 -17 -51 -28 -16 -67 Short-term claims: Reported by banks.......................................... -1,523 325 -84 140 85 -61 16 -124 -82 Reported by others......................................... -623 428 -329 -63 -180 1 -43 -107 -75 4. Foreign capital flow, net, excluding change in liquid assets in U.S.......................................... 685 278 2,512 248 265 1,091 376 780 795 Long-term investments....................................... 109 -68 2,176 152 309 1,014 180 673 641 Short-term claims.............................................. 113 149 269 47 39 63 112 55 66 Nonliquid claims on U.S. Govt, associated with— Military contracts......................................... 228 314 341 78 44 45 106 146 103 U.S. Govt, grants and capital........................ 50 -85 -213 -18 -64 -1 -12 -136 -36 Other specific transactions............................. 208 -25 -12 -5 -10 -4 13 -11 21 Other nonconvertible, nonmarketable, medium-term U.S. Govt, securities3.................. -23 -7 -49 -6 -53 -26 -23 53 * 5. Errors and unrecorded transactions........................ -949 -415 -383 -no -233 -198 277 -229 -206 Balances A. Balance on liquidity basis Seasonally adjusted (» 14-24-3+4+5).. -2,800 -1,335 -1,357 -259 -651 -122 -165 -419 -544 Less: Net seasonal adjustments........................ 76 -604 27 530 47 -301 Before seasonal adjustment................................ -2,800 -1,335 -1,357 -335 -47 -149 -695 -466 -243 B. Balance on basis of official reserve transactions Balance A, seasonally adjusted......................... -2,800 -1,335 -1,357 -259 -651 -122 -165 -419 -544 Plus: Seasonally adjusted change in liquid assets in the U.S. of: Commercial banks abroad............................. 1,454 116 2,697 -383 154 492 1,062 989 -1,001 Other private residents of foreign countries.. 343 306 212 48 109 66 91 -54 86 International and regional organizations other than IMF......................................... -243 -291 -525 -142 -38 -355 -24 -108 -36 Less; Change in certain nonliquid liabilities to foreign central banks and govts................ 303 100 802 180 17 256 103 426 327 Balance B, seasonally adjusted........................... -1,549 -1,304 225 -916 -443 -175 861 -18 -1,822 Less: Net seasonal adjustments........................ 209 -846 210 456 180 -543 Before seasonal adjustment................................. -1,549 -1,304 225 -1,125 403 -385 405 -198 -1,279 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 U.S. BALANCE OF PAYMENTS AND FOREIGN TRADE 1443 1. U.S. BALANCE OF PAYMENTS—Continued (In millions of dollars) 1965 1966 1967 Item 1964 1965 1966 IV I II III IV Ip Transactions by which balances were settled—'Not seasonally adjusted A. To settle balance on liquidity basis....................... 2,800 1,335 1,357 335 47 149 695 466 243 Change In U.S. official reserve assets (increase, —)............................................. 171 1,222 568 271 424 68 82 -6 1,027 Gold................................................................ 125 "1,665 571 119 68 209 173 121 51 Convertible currencies................................... -220 -349 -540 178 222 -163 -426 -173 1,007 IMF gold tranche position........................... 266 4-94 537 -26 134 22 335 46 -31 Change tn liquid liabilities to all foreign accounts 2,629 113 789 64 -377 81 613 472 -784 Foreign central banks and govts.: Convertible nonmarket able U.S. Govt. securities s............................................... 376 122 -945 -50 -367 -176 -226 -176 72 Marketable U.S. Govt, bonds and notes5, -58 -20 -245 -19 -5 6 -254 8 5 Deposits, short-term U.S. Govt, securities, etc.................................................... 757 -154 -582 740 -611 206 -146 -31 -177 IMF (gold deposits)....................................... 34 177 26 131 18 28 17 Commercial banks abroad............................ 1,454 116 2,697 -539 404 316 1,144 833 -751 Other private residents of foreign countries. 343 306 212 48 109 66 91 -54 86 International and regional organizations other than IMF........................................ -243 -291 -525 -142 -38 -355 -24 -108 -36 B. Official reserve transactions................................... 1,549 1,304 -225 1,125 -403 385 -405 198 1,279 Change in U.S. official reserve assets (increase, — )...................................................... 171 1 ,222 568 271 424 68 82 -6 1,027 Change in liquid liabilities to foreign central banks and govts, and IMF (see detail above under A.)................................................... 1 ,075 -18 -1,595 697 -852 54 -598 -199 -83 Change in certain nonliquid liabilities to foreign central banks and govts.: Of U.S. private organizations................... 149 -38 788 28 43 284 88 373 306 Of U.S. Govt.............................................. 154 138 14 129 -18 -21 23 30 29 i 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 4 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 31,199 1,948 2,296 622 3 28 327 325 Feb..................... 2,058 31,623 2,374 2,601 1,459 31,606 2,005 2,204 599 > 17 369 397 Mar.................... 2,075 3 2,739 2,569 2,569 1,518 31,861 2,068 2,185 557 >878 501 384 Apr.............. 2,061 3 2,406 2,359 2,659 1,537 31,811 2,109 2,224 524 >595 250 435 May.................... 2,047 3 2,299 2,411 2,545 1,530 31,797 2,063 2,119 517 3 503 348 426 June................... 2,077 32,235 2,490 2,584 1,514 31,848 2,135 2,228 563 3 386 354 355 July.................... 2,119 2,300 2,456 1,573 41,742 2,205 546 <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 35O8 438 295 Dec..................... 2,426 2,362 2,415 ...............1.,642 1,911 2,231 ................>784 451 184 ................ Quarter: I...................... 6,173 3 5,589 7,216 7,791 4,395 3 4,666 6,020 6,684 1,778 3 923 1,196 1,106 II........................ 6,185 3 6,940 7,259 7,788 4,581 >5,456 6,306 6,571 1,604 31,484 953 1,217 in....................... 6,480 6,920 7,453 ......... 4,744 *5,425 6,618 1,736 41,495 834 IV....................... 3 6,788 7,090 7,484 3 4,891 5,736 6,685 3 1,897 1,353 799 Year’..................... 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. 5 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

1444 U.S. GOLD TRANSACTIONS AND RESERVE ASSETS AUGUST 1967 3. U.S. NET MONETARY GOLD TRANSACTIONS WITH FOREIGN COUNTRIES AND INTERNATIONAL ORGANIZATIONS (Nel 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 III IV I Western Europe: Austria............................ -84 -83 -1 -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 11 -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 -ii i -7 -37 -50 -4 -1 -ii -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 -11 Brazil................................... -ii -2 -2 57 72 54 25 -3 -1 -1 * * Colombia........................... -6 38 10 29 7 * Venezuela.......................... 65 -25 Other................................... 6 2 -35 -42 -17 -5 -11 -9 -13 -6 -3 -5 8 -2 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 i -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 -1 -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 4 300 150 5-225 6 177 6 18 *29 *16 Grand total................ 772 -2,294 -1,041 -1,669 -820 -833 -392 -36 -1,547 -431 -167 -143 -86 -20 1 Includes sales of $21 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, 3 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 sale by the IMF of $300 million (see note 4). 6 Represents gold deposit by the IMF; see note 1(b) to table below. 4 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) Gold stock 1 Con­ Reserve Gold stock 1 Con­ Reserve End of year r a e T s s o s e e t r a t v s l e Total 2 Treasury cu v fo r e r r r e e ti n i b g c l n i e e s p I o M s i i n F tio 3 n End of month r a e T s s o s e e t r a v ts l e Total 2 Treasury v c fo u e r r r e t r i i e b g n l n e ­ p I o M s i i n F ti o 3 n cies 3 1957........................ 24,832 22,857 22,781 1,975 1966_ July............ 15,148 13,413 13,332 1,093 642 1958........................ 22,540 20,582 20,534 1,958 Aug....... 15,015 13,319 13,259 1,299 397 Sept............ 14’876 13356 13,258 1,148 372 1959........................ 21,504 19,507 19,456 1,997 Oct............. 14^880 13311 13357 1,213 356 I960........................ 19,'359 17,804 17,767 1,555 14,715 13'262 13,159 1,108 345 Dec............. 14^882 13,235 13,159 1,321 326 1961........................ 18,753 16,947 16,889 116 1,690 1962........................ 17,220 16,057 15,978 99 1,064 1967—Jan.............. 14,196 13,202 13,157 645 349 Feb............. 13,998 13,161 13,107 480 357 1963........................ 16,843 15,596 15,513 212 1,035 Mar............. 13^855 13'184 13,107 314 357 1964........................ 16,672 15;471 15,388 432 ’769 Apr............. 13’906 13’234 13’109 315 357 May 13’943 13,214 13 J09 363 366 1965........................ 15,450 <13,806 <13,733 781 <863 June........... 14^274 13,169 13,110 738 367 1966........................ 14;882 13,235 13,159 1,321 326 July............ 14;224 13,136 13,108 719 369 i 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. 3 For holdings of F.R. Banks only, see pp. 1376 and 1378. 3 In accordance with IMF policies the United States has the right to draw foreign currencies equivalent to its reserve position in the IMF vir­ Note.—See Table 18 for gold held under earmark at F.R. Banks for tually automatically if needed. Under appropriate conditions the United foreign and international accounts. Gold under earmark is not included States could draw additional amounts equal to the U.S. quota. See Table 5. in the gold stock of the United States. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 U.S. POSITION IN THE IMF 1445 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. Period oth w e i r t h c o I u M nt F ries p r o e s se it r i v o e n in IMF P s t a u d io y b o m n o s ll c s f a e r r n i i s n p ts ­ by s g N I a o M l e l e d t s F i D c f r c o u a i r w r e o e r s f i i e g n n 2 n g ­ s I i M d n o c F l i o n la m n rs e e t D d r o aw o ll f a i n rs gs R m e e i p n n a t y s ­ c T h o an ta g l e Amount P q e U r u o . o c S f t e . a n t p ( e e r n i d o d o ) f 3 dollars 1946-1957. 2,063 4 594 -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. -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-July, 71 -6 65 4.518 88 642 Aug. 282 -38 245 4,763 92 397 Sept. 35 -12 1 25 4,788 93 372 Oct. 31 -16 16 4,804 93 356 Nov. 12 2 -3 11 4,815 93 345 Dec. 30 19 4,834 94 326 1967-Jan.. 3 -26 -23 4,811 93 349 Feb. 3 -10 -7 4.804 93 357 Mar. -2 -1 4,803 93 357 Apr., 4.803 93 357 May. 4 -13 -9 4,794 93 366 June 2 -3 -1 4,793 93 367 July. -3 .................. -2 4,791 93 369 i 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. In 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. 3 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

1446 INTL. CAPITAL TRANSACTIONS OF THE U.S. AUGUST 1967 6. U. S. LIQUID LIABILITIES TO FOREIGNERS (In millions of dollars) Liabilities to foreign countries Liabilities to Inti. Liabilities to non­ Monetary Fund arising monetary inti, and from gold transactions Official institutions 3 Banks and other foreigners regional organizations 5 Nonp E e o r n i f o d 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 b i t i o e h a e a b r s n r b o y t m k e i r r l t d s e ­ ­ ­ M n b G U a o a a o o b n r t n . e k S v l d d e s t e . s , 4 t ­ c m o T b a U n a i r o u b b e v r n r . l k l S a y e e d e s e . r s ­ t t ­ ­ Total i p S t l b i t i o e h a e a b r s n r o b y t m k e i r r l t e d s ­ ­ ­ M n b G a U a a o o o b n r n t . k v l S e d d e t s e . s , 4 t ­ Total i p S t l b i t i o e h a a e b r s n b r o y t m k i e r r l t e d s ­ ­ ­ M b n G U a a a o o o b n r n t . k S v l e d d e e s t . s , 4 t ­ in U.S. and in U.S. in U.S. 6 notes 1957.. 715,825 200 200 7,917 n.a. n.a. 5,724 n.a. n.a. 542 n.a. 1958.. 716,845 200 200 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 20,994 800 800 11,078 10,212 866 7,591 7,048 543 L525 750 775 1960® 12 2 1 2 , , 0 8 2 5 7 3 8 8 0 0 0 0 8 8 0 0 0 0 1 1 1 1 ^ ,8 0 3 8 0 8 1 1 0 0 , , 9 21 4 2 0 8 8 9 7 0 6 8 7 , , 2 5 7 9 5 8 7 7 , , 0 7 4 5 8 9 5 5 1 50 6 1 1 , ,5 9 4 4 1 8 7 70 5 3 0 1,2 7 4 91 5 1961 8 22,936 800 800 11,830 10,940 890 8^357 7,841 516 1,949 704 1,245 24,068 800 800 12,748 11,997 751 8,359 7,911 448 2,161 1,250 911 19628. 24,068 800 800 12,714 11,963 751 8,359 7,911 448 2,195 1,284 911 19638, 2 2 6 6 , , 3 3 6 2 1 2 8 8 0 0 0 0 8 8 0 0 0 0 1 14 4 , , 3 3 5 8 3 7 1 1 2 2 , , 4 4 6 6 7 7 1 1 , , 2 1 1 8 7 3 7 7 0 0 3 3 9 9 , , 2 2 1 0 4 4 8 8 , , 8 8 6 6 3 3 3 3 5 4 1 1 U 1, 9 9 6 65 0 8 8 0 0 8 8 1 1, , 1 1 5 5 7 2 28,951 800 800 15,428 13,224 1,125 1 ,079 11,001 10,625 376 1,722 818 904 19648, 29,002 800 800 15',424 13,220 1J25 1,079 11,056 10,680 376 1,722 818 904 1965.. 29,115 834 34 800 15,372 13,066 1,105 1,201 11,478 11,006 472 1,431 679 752 1966—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 14,469 13,033 853 583 12,978 12,481 497 1,080 647 433 Aug.. 29,697 1,003 203 800 14,264 12,905 852 507 13,391 12,870 521 1,039 650 389 Sept.. 29,432 1,011 211 800 13,799 12,515 852 432 13,608 13,121 487 1,014 625 389 Oct... 30,212 1,011 211 800 13,966 12,909 852 205 14,245 13,739 506 990 600 390 Nov.. 30,548 1,011 211 800 14,018 12,953 860 205 14,546 14,027 519 973 612 361 Dec. b , ( ( 2 2 9 9 , , 7 9 7 0 3 4 1 1 , , 0 0 1 1 1 1 2 2 1 1 1 1 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 90 0 5 6 5 5 8 8 1 0 3 32 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. . 28,982 1,028 228 800 13,556 12,363 865 328 13,528 12,998 530 870 638 232 Apr... 29,373 1,030 230 800 14,100 12,871 901 328 13,381 12,852 529 862 629 233 May’’. 29,579 1,030 230 800 14,353 13,088 917 348 13,356 12,827 529 840 606 234 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 line are comparable with those for the purpose of making gold subscriptions to the IMF under quota in­ shown for the preceding date; figures on the second line are comparable creases. with those shown for the following date. 2 U.S. Govt, 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 in 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. 7 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

AUGUST 1967 INTL. CAPITAL TRANSACTIONS OF THE U.S. 1447 7. U.S LIQUID LIABILITIES TO OFFICIAL INSTITUTIONS OF FOREIGN COUNTRIES, BY AREA (Amounts outstanding; in millions of dollars) End of period c f o o T u r o n e t t i a r g i l n e s E W u e ro st p e e rn 1 Canada A re m p L u e a b r ti l ■ n c ic a s n Asia Africa cou O n t t h r e ie r s 2 1963........................................................................................ 14,353 8,445 1,789 1,058 2,731 154 176 1964........................................................................................ 15,424 9,220 1,608 1,238 3,020 160 178 1965........................................................................................ 15^372 8’608 1528 1,497 3,300 194 245 1966—May............................................................................. 14,618 7,822 1,364 1,442 3,532 235 223 June............................................................................. 14,425 7,948 1,327 1,221 3,438 237 254 July............................................................................ 14,469 8,184 1’288 1 J 59 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 1J96 i jib 3,464 282 227 Nov............................................................................. 14,018 7,758 1^212 1 i 101 3’430 293 224 Dec. 3 ..................................................................... J (1 I3 3 . , 6 6 0 5 0 6 7 7, ’ 4 4 8 8 8 8 1 1 , , 1 1 8 89 9 1 1 ; , 1 1 3 3 4 4 3 3 , , 2 3 8 4 4 0 2 2 7 7 7 7 2 2 2 2 8 8 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 7,493 1,127 1,246 3'204 259 227 Apr.............................................................................. 14'100 7,832 1,156 1’455 3,144 284 229 MayP.......................................................................... 14,353 8'014 1J54 1 J08 3'156 284 237 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 nonmarketable 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 Other E pe n r d i o o d f G to r t a a n l d 1 Total 1 IntlJ gi R on e- a l2 Total c O ia ff l i * ­ Other Europe Canada A L m a e t r in ic a Asia Africa c t o ri u e n s ­ 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 M47 171 23,900 13,'220 10’680 12,236 2,984 3363 4’687 238 192 1965............................. 25,551 1,479 1’361 118 24^072 13^066 11^006 11,’627 2374 4,027 5386 280 278 1966—June.................. 25,949 1,405 1,295 110 24,544 12,661 11,883 12,331 2,171 3,933 5,470 334 305 July,.......... 26^961 1,447 1^337 110 25 J14 13,033 12,481 13,349 2j291 3 881 5393 329 269 Aug................... 27,225 1'450 1*344 106 25,775 12,905 12*870 13,785 2364 3,817 5,405 339 264 Sept................... 27’061 1’425 1,298 127 25,636 12,515 13’121 13,534 2,191 3*800 5'481 363 267 Oct................... 28,048 1’400 1’274 126 26^648 12'909 13'739 14J178 2,400 3,910 5317 376 268 Nov............ 28'392 L412 1*294 118 26,980 12’953 14'027 14374 2,456 3’861 5*425 398 266 Dec 5................ /27,’724 1’381 M70 111 26,343 12^484 13^859 14^000 2,509 3,883 5399 387 266 (27,593 1,380 1,270 110 26,213 12,540 13,673 13,933 2,502 3,883 5,244 385 266 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 J25 1 ^408 1 '277 131 25,317 12'154 13 J63 13324 2,227 3,971 5'132 379 284 Mar. .. 26,799 1,438 1 '315 123 25^361 12’363 12^998 13,311 2,265 4,063 5’086 357 278 Apr................... 27,152 1,429 1'311 118 25^723 12'871 12'852 13'406 2,298 4,273 5’082 389 275 27'321 1'406 1,287 119 25’915 13'088 12’827 13’422 2’329 4’366 5’ 129 392 277 June”................ 27;304 1,359 1 ,'251 108 25,945 12^778 13'167 13,893 2,083 4J50 5,140 376 303 8a. Europe Ger­ E p n er d i o o d f Total Austria Belgium D m e a n rk ­ l F a i n n d ­ France m F a e n d y . Greece Italy N l e a t n h 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>29 151 1,620 339 323 322 183 647 1966—June.... 12,331 206 378 321 72 1,142 1,756 137 1,519 230 328 285 11$ 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 1,367 364 283 343 160 655 114,000 196 420 305 58 l,07t 2,583 129 1,410 364 283 358 162 656 113,933 196 420 305 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.. . . 13,311 181 410 305 65 948 2,412 110 1,232 332 274 350 142 615 Apr....... (3,406 150 426 297 94 929 2,392 117 1,319 328 287 353 121 623 Mayp... 13,422 159 478 274 89 958 2,376 108 1,410 402 301 345 117 651 JuneP... 13,893 173 555 276 96 948 2,342 103 1,422 391 348 352 122 659 For notes see following two pages. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1448 INTL. CAPITAL TRANSACTIONS OF THE U.S. AUGUST 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 e d ri o o d f Sw la i n tz d er­ Turkey U K d n i o i n m t g ed ­ Y sl u av g i o a ­ W E O u e t r s h o t e 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 11 669 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—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... 11,805 43 3,839 37 235 8 40 3,883 418 299 261 178 8 632 11,805 43 3,817 37 234 8 40 3,883 418 299 261 178 8 632 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 3,814 34 355 4 34 4,273 524 339 258 195 9 704 May”... 1,735 25 3,531 41 386 4 30 4,366 645 331 252 158 9 762 Junep... 1,783 26 3,667 33 556 5 34 4,150 581 249 249 169 8 717 8b. Latin America—Continued 8c. Asia E pe n r d io 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 e a r h m & 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 i n c r a Total C M la h a n i i n d n a ­ H Ko o n n g g India n d I e n o si ­ ­ a Israel 1963................. 129 158 113 591 355 136 93 15 4,001 35 66 51 48 112 1964................. 99 206 111 734 416 189 114 14 4,687 35 95 59 38 133 1965................. 120 257 137 738 519 165 113 17 5,286 35 113 84 31 127 1966—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....... 145 227 166 698 537 158 117 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 5,425 36 135 167 60 102 /150 249 161 707 522 177 104 17 5,299 36 142 180 54 117 (150 249 161 707 522 177 104 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....... 152 257 168 704 563 184 107 19 5,086 36 142 205 46 100 Apr..... 160 245 156 776 578 204 107 18 5,082 36 150 217 51 104 Mayp... 145 257 155 732 576 218 107 20 5,129 36 167 223 49 107 Junep... 145 265 133 691 567 236 121 19 5,140 36 158 216 47 166 8c. Asia—Continued 8d. Africa 8e. Other countries E pe n r d io 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 C s ( h K o a n i s n g a o ­ ) ro M c o co ­ A So fr u ic th a ( U E . g A y . p R t . ) A O f t r h i e ca r Total t A ra u li s a ­ 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 (965.................... 3^014 108 304 211 542 718 280 12 17 51 30 170 278 254 24 1966—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 12,691 172 286 232 598 791 387 15 32 71 39 230 266 243 22 12,664 162 285 228 598 779 385 15 31 71 39 229 266 243 22 1967—Jan......2..,.5..61 171 282 235 610 708 390 13 33 61 33 250 285 262 23 Feb.......... 2'502 181 271 232 635 766 379 13 31 62 22 251 284 258 26 Mar..... 2*490 178 255 229 658 748 357 13 32 58 34 220 278 252 26 Apr 2348 175 267 227 655 753 389 11 30 56 26 266 275 249 25 May*.... 2,449 168 268 225 663 773 392 11 32 58 18 273 277 253 24 Junep.... 2,486 171 260 227 617 755 376 10 31 67 18 250 303 276 27 1 Data exclude the “holdings of dollars*’ of the International Monetary follows (in millions of dollars): Total 4-50; Foreign other 4-50; Europe — 17: Canada 4-1; Latin America 42b; Asia +49; Africa —9. 2 Latin American, Asian, African, and European regional organiza­ 5 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 centra! 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, 4 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

AUGUST 1967 INTL. CAPITAL TRANSACTIONS OF THE U.S. 1449 8. SHORT-TERM LIABILITIES TO FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES, BY COUNTRY—Continued (Amounts outstanding; in millions of dollars) 8f, Supplementary data 7 (end of period) 1965 1966 1967 1965 1966 1967 Area or country Area or country Dec. Apr. Dec. Apr. Dec. Apr. Dec. Apr. Other Western Europe: Other Asia—Cont.: Iceland.......................................... 5.8 4.0 6.6 5.7 Iraq.,........................................... 12.0 27.1 17.6 n.a. Ireland, Rep, of........................... 6.2 6.6 8.9 7.4 Jordan................................ 16.0 16.0 39.7 45.2 Luxembourg................................ 21.1 28.2 25.3 21.7 Kuwait........................................ 35.5 24.6 49.2 28.6 Laos............................................ 3.2 5,7 4.6 6.5 Other Latin American republics: Lebanon.................................... 99.7 92.0 100.1 112.2 Bolivia.......................................... 67.4 64.4 66.9 57.9 Malaysia..................................... 25.9 31.2 38.3 34.9 Costa Rica.................................... 34,2 32.9 34.6 41.9 Pakistan...................................... 19.4 21.0 49.2 45.3 Dominican Republic................... 72.3 54.3 53.2 53.9 Ryukyu Islands (inch Okinawa). 24,0 39.5 815.9 31.2 Ecuador................................... 69.6 62.3 86.3 92.4 Saudi Arabia............................... 283,6 291.0 176.1 96.4 El Salvador.................................. 67.0 78.3 68.9 96'4 Singapore.................................... 8.9 4.9 34.6 n.a. Guatemala............................ 68.1 86.9 64.2 83.9 Syria.,........................................ 4.0 4.8 3.4 4.7 Haiti.............................................. 16.3 16.7 16.3 16.8 Vietnam....................................... 39.0 123.8 132.0 146.3 Honduras.................................. 31.4 43.2 26.8 28.6 Jamaica......................................... 8,6 11.5 H.7 19.3 Other Africa: Nicaragua................................ 67.0 75,0 72.8 62.7 Algeria........................................ 7.6 13.6 11.3 n,a. Paraguay.............................. 13.8 15.0 14.9 16.6 Ethiopia, (inch Eritrea)............. 44.1 58.9 53.5 40.2 Trinidad & Tobago...................... 3.6 6.3 4.7 5.4 Ghana......................................... 2.6 2.9 6.9 5.3 Liberia......................................... 17.9 19.7 21.2 21.6 Other Latin America: Libya.......................................... 34.8 26.7 37.1 76.0 British West Indies....................... 11.5 8.9 14.6 14.2 Mozambique.............................. 1.6 1.7 5.0 n.a. French West Indies & French Nigeria......................................... 21.7 20,3 25.7 n.a. Guiana............................. 2.2 1.5 1.3 1.7 Somali Republic......................... .8 .9 .8 .8 Southern Rhodesia..................... 3,3 3.5 2,7 3.3 Other Asia: Sudan......................................... 3.7 3.3 3.4 6.7 Afghanistan.......................... 5.6 8.0 9.5 7.8 Tunisia......................................... 1.8 1.0 1.1 1.0 Burma................................... 49.1 34.6 34.4 n.a. Zambia....................................... 7.2 16.1 34.7 n.a. Cambodia............................. 2.7 3.1 1.1 1.3 Ceylon................................ 2.4 3.3 3.2 2.7 All other: Iran................................................ 66.9 79.2 36.6 44.0 New Zealand.............................. 18.7 27.1 13.6 16.7 i 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 s Data exclude $12 million resulting from changes in reporting cover­ 18. Data exclude also U.S. Treasury letters of credit and non-negotiable, age and classification. non-interest-bearing special U.S. notes held by the Inter-American De­ Note.—Short-term liabilities are principally deposits (demand and velopment Bank and the International Development Association. time) and U.S. Govt, securities maturing in not more than 1 year from For data on long-term liabilities, see Table 14. 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 L531 1,271 72 503 90 1965................................... 25'551 21^905 6,518 3,963 8,269 3'155 3387 1'574 1^594 87 332 59 1966—-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’,638 3,653 L413 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 3,998 7,671 3,476 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 Dec.3. ............. { (2 2 7 7 , , 5 7 9 2 3 4 2 2 3 3 , ; 2 3 6 7 1 1 8 8 , , 5 3 3 7 1 1 4 4 , , 0 0 0 5 0 0 7 7 , , 4 4 6 6 4 4 3 3 ; ,3 3 7 7 6 6 3 3 , , 7 7 4 4 4 4 1 1 , , 5 5 1 1 3 3 1 1 , , 8 8 1 1 9 9 8 83 3 3 3 2 2 9 9 6 5 0 8 9 8 1967—Jan......................... 26,725 22,500 7,663 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,................. 26,799 22.’47 3 7,462 3,663 7.910 3,438 3,822 1,556 1,853 79 334 503 Apr,....................... 27,152 22^824 7,469 3,584 8,277 3^494 3,783 1,535 1’845 73 330 545 Mayp..................... 27.321 22’977 7 654 3 450 8253 3 621 3,824 1 '577 1,855 86 305 521 June?..................... 27,304 22,986 7,874 3,585 7,866 3 ;^6i 3,826 1,615 1,845 68 297 493 * Data exclude “holdings of dollars” of the International Monetary follows (in millions of dollars): Total 4-50; foreign banks, etc. 4-55; Fund. other foreigners 4-23; payable in foreign currencies —28. 3 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

1450 INTL. CAPITAL TRANSACTIONS OF THE U.S. AUGUST 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 June July Aug, Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr. Mayp JuneP 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 12 12 12 12 France............................. 7 7 7 7 7 7 7 7 7 7 7 7 7 7 Germany......................... ] Italy................................. 1 I 1 1 2 2 2 2 2 2 2 2 2 9 Netherlands.................... 6 5 5 5 5 5 5 5 5 5 5 5 5 4 Norway........................... 49 51 51 51 51 51 51 51 51 51 51 51 51 51 Spain............................... 2 2 2 2 2 2 2 2 2 2 2 2 Sweden........................... 24 24 24 24 24 24 24 24 24 24 24 24 24 24 Switzerland..................... 89 93 94 94 93 93 93 93 92 93 93 92 91 90 United Kingdom............ 553 560 312 330 298 321 333 348 350 353 353 355 359 364 Other Western Europe.... 51 50 50 50 50 50 50 49 49 49 50 50 50 50 Eastern Europe.............. 7 7 7 7 7 7 7 7 7 7 7 7 7 7 Total 807 817 570 588 556 579 591 605 606 610 609 611 613 624 Canada 676 686 689 695 693 690 698 692 692 695 695 722 719 716 Latin America: Latin American republics.. 6 7 7 7 7 7 7 8 8 8 8 7 7 6 Other Latin America......... 21 20 18 18 18 18 18 19 18 18 18 18 18 18 Total 27 25 24 23 23 24 24 25 24 24 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 53 53 Total 51 51 51 51 51 51 51 50 50 51 50 50 62 62 Africa 16 16 16 15 15 15 15 15 15 15 15 23 28 28 Other countries Total foreign countries. 1,577 1,596 1,350 1,373 1,339 1,358 1,379 1,388 1,388 1,395 1,395 1,430 1,446 1,455 International and regional: International.................. 679 359 359 314 314 314 286 250 228 187 172 172 172 172 Latin American regional... 74 74 74 74 75 75 75 75 76 60 60 60 61 57 Other regional................ 1 1 Total 752 433 433 389 389 390 361 325 304 247 232 233 234 230 Grand total 2,329 2,029 1,783 1,762 1,728 1,748 1,740 1,713 1,692 1,642 1,627 1,663 1,680 1,685 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. NONMARKET ABLE 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 Canada1 Italy2 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 13 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—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 50 125 111 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 June 809 349 144 180 25 460 25 151 125 159 July....... 934 349 144 180 25 585 25 ...........* ■ • 276 125 159 ............... 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 mili­ were $204 million, 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

AUGUST 1967 INTL. CAPITAL TRANSACTIONS OF THE U.S. 1451 12. SHORT-TERM CLAIMS ON FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES, BY COUNTRY (Amounts outstanding; tn 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 3,137 120 58 19641.............................................................................. 7,957 1,230 1,004 2,235 3,294 131 64 19652.............................................................................. n < ; 7 6 ,7 3 3 2 4 ♦ 1 1 , , 2 2 0 0 1 8 5 6 9 6 3 9 2 2 , , 2 2 8 9 8 3 3 3, , 3 3 5 4 8 3 1 1 3 3 9 9 6 6 7 7 1966—-June...................................................................... 7,649 1 1,285 643 2,221 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 1 1,417 598 2,354 2,984 134 60 Dec. 2 ......................................................... / |7 7 , . 9 8 1 1 1 9 1 1 1, , 3 3 8 6 1 8 6 60 2 8 0 2 2 , , 4 4 8 9 9 3 3 3 , , 2 13 2 5 2 1 1 4 4 4 4 6 6 2 2 1967—Jan........................................................................ 7,760 1,304 599 2,488 3,184 125 60 Feb....................................................................... 7 J55 2 1,258 628 2,502 3,174 130 62 Mar...................................................................... 7,’932 2 1,268 616 2,546 3,293 146 62 Apr....................................................................... 8^004 1,279 627 2,493 3,403 139 62 May? .............................. 8,131 1 1'308 596 2,522 3 509 132 62 June?.................................................................. 8,262 1 1,275 592 2,556 3,'645 125 69 12a. Europe End of period Total A tr u ia s­ g B iu e m l­ m De a n rk ­ 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 H 48 26 84 81 152 10 114 36 43 23 40 49 19652.............................. J 1 M 1,2 0 0 1 8 8 8 5 5 2 2 3 3 7 7 8 87 7 7 7 2 2 1 1 9 90 0 1 1 3 3 n 11 o 0 3 3 8 8 5 5 1 1 2 2 6 6 5 5 0 0 5 5 2 2 1966—-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.............. U Il , , 3 3 8 6 1 8 ™ 16 . 6 6 7 7 6 6 2 2 9 9 1 1 7 73 3 2 2 1 3 5 4 1 1 6 6 1 1 0 0 8 8 4 4 0 0 7 7 6 6 4 4 4 4 6 6 7 7 7 7 4 4 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..................... 1,268 19 73 44 92 66 180 14 70 44 62 39 69 78 Apr,..................... 1,279 17 73 35 97 72 201 15 64 35 60 36 68 77 May?................... 1,308 18 67 34 100 65 199 17 73 34 60 34 71 72 June?................... 1,275 17 64 40 101 68 193 14 68 29 44 28 63 73 12a. Europe—Continued 12b. Latin America End of period S l w a e n r it ­ d z­ T k u ey r­ U K d n i o i n m t g ed ­ Y sl u av g i o a ­ W E O u e t r 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 21 * 20 2,212 210 145 188 319 17 630 1964L ........................... 111 37 310 16 20 20 2,235 203 126 176 338 17 644 19652.............................. ! I 7 7 3 3 4 4 2 2 2 2 1 1 0 6 2 2 8 8 2 2 8 8 6 6 2 27 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 16 6 6 6 7 6 4 9 1966—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................... / \ 8 8 3 8 5 5 2 2 2 1 1 9 0 8 1 1 9 9 3 37 7 2 2 1 1 6 6 2 2 , , 4 4 8 9 9 3 1 1 9 9 3 3 1 1 1 1 4 4 1 1 5 5 9 9 3 3 0 0 8 8 > 16 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..................... 81 37 218 22 39 1 20 2,546 186 128 147 274 16 857 Apr...................... 81 47 216 23 42 1 20 2,493 186 123 151 249 16 836 May?,.................. 84 37 267 24 32 21 2,522 179 123 152 230 16 872 June?................... 85 38 270 24 3 1 22 2,556 191 117 154 223 16 865 For notes see the following page. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1452 INTL. CAPITAL TRANSACTIONS OF THE U.S. AUGUST 1967 12. SHORT-TERM CLAIMS ON FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES, BY CO UNTRY—Continued (Amounts outstanding; in millions of dollars) 12b. Latin America—Continued 12c. Asia Qther Baha­ Neth. Other 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 ­ re L li p c .A u s b , ­ B m & e a r s ­ A S n u t & i r l i l ­ es A L m a ic t a e in r ­ Total C M la h a n i i n d n a ­ H K o o n n g g India I n n e d si o a ­ Israel muda nam 1963................. 35 99 65 14 135 42 9 16 2,493 2 11 17 22 1964................. 41 102 76 165 222 58 18 20 3,137 2 26 22 7 44 19641............... 49 108 78 168 224 65 18 21 3,294 2 28 21 7 47 19652............... 170 45 220 250 53 14 23 3,343 1 29 17 2 86 170 45 220 250 53 14 23 3,358 I 29 17 2 86 1966—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 1 32 26 6 88 Aug...... 67 177 39 184 224 56 17 16 3,086 I 30 27 6 90 Sept.. .. 65 175 39 212 234 57 20 17 3,063 1 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 I 31 13 5 98 Dec.2... 2 2 1 1 1 3 4 4 5 5 2 2 2 2 6 6 2 2 7 7 2 2 6 6 1 1 1 18 8 1 1 7 7 3 3 , , 1 2 3 2 5 2 1 1 3 31 1 1 16 6 6 6 9 9 8 8 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.... 80 233 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 Mayp... 75 262 60 249 51 18 16 3,509 1 35 14 5 94 Junef... 69 283 63 209 252 78 17 17 3,645 1 36 17 5 88 12c. Asia—Continued 12e Other countries End of period 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 th si 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 ­ ­ o A th l e l r 1963......................... 2,171 25 113 8 52 71 104 1 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 1965 2........................ (2,768 2 22 2 2 2 3 3 1 0 1 1 5 5 8 8 2 2 1 1 0 0 8 7 1 1 3 3 9 9 I I 2 2 3 3 4 4 4 4 3 3 6 60 0 6 6 7 7 5 5 2 2 1 1 5 5 1966—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 I 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. /2',502 31 220 14 81 134 144 1 2 50 25 66 62 52 10 \2,588 31 220 15 81 135 144 1 2 50 25 66 62 52 10 1967—Jan................. 2,509 33 233 23 83 151 125 3 38 18 66 60 51 9 Feb................ 2,507 34 228 26 86 137 130 * 4 43 15 69 62 53 8 Mar............... 2'626 38 232 30 89 131 146 1 2 42 30 70 62 53 9 Apr................ 2'732 52 245 33 84 116 139 2 37 26 74 62 53 9 May f............ 2,841 44 249 30 83 114 132 5 34 31 62 62 52 10 June”............ 2; 947 49 269 27 87 121 125 1 2 29 27 65 69 59 11 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 5546 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 and 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

AUGUST 1967 INTL. CAPITAL TRANSACTIONS OF THE U.S. 1453 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—■ Accept­ Foreign End of period Total C t o io ll n e s c ­ m an a c d e e s Deposits g c o u v ri t t , i e s s e , ­ Total Official out­ for acct, Other Total with for­ coml. Other Total institu­ Banks Others stand­ of for­ eigners and fi­ tions 1 ing eigners nance paper 1963.............................. 5,975 5,344 1,915 186 955 774 832 2,214 384 631 432 157 42 1964.............................. 7 >69 6’810 2'652 223 1,374 1,055 1,007 2,600 552 659 400 182 77 1964i............................ 7,957 7,333 2',773 221 1 >03 Oso l',135 2'621 803 624 336 187 102 19653............................ 1 (7 7 , , 7 6 3 3 4 2 7 7, j 2 5 4 8 3 2 2 ^ ,9 9 7 6 0 7 2 27 7 1 1 1 1 , 3 5 6 6 6 7 1 1 , , 1 1 3 3 2 0 1 1 , , 2 2 7 6 2 8 2 2 , > 5 0 0 1 8 4 4 2 9 2 2 4 4 7 9 4 2 3 3 2 2 5 9 6 5 8 4 9 9 6 5 1966—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 1,075 1 >40 2'383 495 425 252 59 113 Aug.................... 7’411 6,971 2,820 216 1,548 1,056 1’374 2>24 453 440 260 57 123 Sept......... 7 >20 6,992 2,943 256 1’619 1^068 1,374 2 >67 409 427 241 61 125 Oct.................... 7 >45 7'011 2,970 274 1,607 1,089 1'354 2>51 436 434 253 73 108 Nov................... 7 >47 7’095 3^015 273 1,619 1'123 1 >63 2>76 441 452 269 77 106 Dec. 3................ P P ^ ,9 S 1 I 1 S 7 7 , , 4 3 9 9 8 9 3 3, , 1 1 3 3 9 9 2 25 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 4 4 4 5 3 2 4 4 1 2 3 0 2 2 3 4 3 0 7 70 0 1 1 1 1 0 0 Jan.............. 7,760 7,394 2,996 257 1,592 1,147 1,370 2,575 453 367 211 71 83 Feb.................... 7,755 7,348 2'967 238 1,576 1>53 1,376 2,’566 440 407 245 70 92 Mar........... 7’932 7’513 3,01 8 254 1,606 I >58 1 >36 2'628 432 419 272 50 97 Apr.................... 8,004 7,588 2,951 271 1,527 1>53 1 423 2,747 467 417 252 77 88 MayP................ 8,131 7 >21 2'909 246 1,547 1'116 I >30 2'922 461 409 259 62 89 June”................ 8 >62 7; 866 2^911 246 1>62 1,103 1,449 3 >28 478 396 259 54 83 i 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 on 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 Inter­ Foreign national Payable in dollars Payable Total c t o ri u e n s ­ reg a i n o d n al Total Loans o A th U e r f r o e c r n i u e c n i r i g ­ e n s U K d n o in i m t g ed ­ E O u t r h o e p r e Canada Am La e t r i i n c a Japan O A t s h ia er t c O r o i t e u h s n e ­ r 1 1963................. 69 28 42 3,030 2,811 217 2 38 1,063 290 1,015 249 194 181 1964 2 1 1 3 3 0 1 6 0 2 2 0 0 0 4 1 1 0 06 6 4 3 , , 2 97 8 1 5 3 3, , 9 7 9 7 5 7 2 1 8 9 8 5 * 1 7 87 7 1 1 , , 6 6 1 3 1 2 2 3 7 2 3 7 b 1, ! 2 § 75 2 4 3 3 8 0 5 2 2 5 3 5 8 2 2 7 2 8 7 1965. 513 203 311 4,517 4,211 297 9 86 1,518 346 1,296 445 391 436 1966--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 3,915 247 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. . .. 1,861 1,291 571 4,031 3,782 232 16 68 1,082 313 1,319 287 377 584 Apr....... 1,986 1,415 571 4,029 3,779 233 16 69 1,063 317 1,320 278 380 602 May”... 2,035 1,449 586 4,005 3,756 232 17 65 1,036 315 1,322 263 384 621 June”... 2,493 1,893 600 3,846 3,593 237 17 40 951 326 1,345 195 380 610 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

1454 INTL. CAPITAL TRANSACTIONS OF THE U.S. AUGUST 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. corporate Foreign bonds Foreign stocks securities 2 Net purchases or sales Period Total I a n n t d i, Foreign c P ha u s r e ­ s Sales c N ha s e a s t l e 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 l e e p s s u o r r ­ c P ha u s r e ­ s Sales c N h s a e a s t l e 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............................. -338 -315 -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—June................. 6 -5 11 6 5 614 509 105 200 217 -17 91 52 40 July.................. -246 -246 -253 7 428 439 -11 135 248 -113 69 39 30 Aug.......... -21 -44 23 -1 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 -21 571 527 44 112 265 -153 71 63 8 Feb................... -50 -57 7 5 2 579 557 23 98 168 -70 66 53 13 Mar.. .............. -15 -14 * 1 -1 775 718 57 215 265 -51 74 65 9 Apr................... 35 35 35 700 563 137 154 259 -105 67 53 15 May p............... 17 I 16 16 864 757 107 127 166 -39 68 65 3 June?............... 5 -3 9 -3 12 926 821 105 247 309 -62 71 95 -24 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 OE U.S CORPORATE SECURITIES, BY TYPE OF SECURITY AND BY COUNTRY (In millions of dollars) Type of security Country or area Period Total Stocks Bonds France S l z a w e n r i d ­ t­ U K d n i o n i 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 i e n r­ Asia Africa c O 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 (i) 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—June.. 105 -50 155 12 -4 75 -7 76 4 3 9 13 July. . -11 -26 15 2 19 -92 26 -44 10 6 -8 -1 26 Aug.. -2 -16 14 2 -3 -24 -5 -29 18 1 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 1 Nov.. 33 -68 100 -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 1 * * 3 Mar. . 57 -8 65 10 5 12 18 45 9 8 -5 Apr... 137 66 71 8 34 -3 13 51 8 5 1 72 Mayp. 107 5 102 5 9 65 11 90 10 -4 1 10 -1 * June? 105 64 41 6 21 8 3 37 63 5 -2 * * 1 i 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

AUGUST 1967 INTL. CAPITAL TRANSACTIONS OF THE U.S. 1455 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) Period Total g I a i r n o n e t n d ­ i a , l c T e f o o i o g u t r n a n ­ l ­ r E op u e ­ C a a d n 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 n e s r ­ E pe n r d i o o d f Deposits U.S. A G ss o e v ts t , in c E us a t r o m d a y rked tries securities1 gold 1963................... -1,044 -96 -949 -49 -614 -26 -252 (') 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—Julv... 548 7,307 13,016 1966—June....... 23 11 12 20 17 -4 -8 * -13 Aug... 170 7,042 13,066 July........ -83 -50 -33 15 -37 -11 -5 1 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 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 I Apr... 123 7,912 12,975 Mar........ -41 -87 46 25 -50 28 27 6 11 May.. 193 7,799 12,972 Apr...... -90 -94 4 5 1 13 -5 -12 1 June.. 147 7,667 12,977 May?'.... -36 -J -35 12 -21 -23 -6 1 2 July... 117 7,665 12,976 June?’.... -86 -9 -77 22 -45 5 -49 * -10 1 U.S. Treasury bills, certificates of indebtedness, i Not reported separately until May 1963. notes, and bonds; includes securities payable in foreign * 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) “holdings of dollars” of the IMF is related to the revision was revised to include in the reserve assets of the United of 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 “hold­ Fund. In accordance with IMF policies, the United ings of dollars” of the IMF 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 “holdings of dollars” of the IMF from U.S. liabilities order to avoid double counting. For further explanation to 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

1456 INTL. CAPITAL TRANSACTIONS OF THE U.S. AUGUST 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 1966 1967 1966 1967 Mar. June Sept. Dec. Mar,’’ Mar. June Sept. Dec. Mar.” Europe: Austria.................................................... 2 3 3 2 2 8 7 7 8 8 Belgium.................................................. 30 32 30 32 34 46 45 42 53 63 Denmark............................................... 1 2 2 3 5 8 8 10 14 H Finland.............................................. 1 1 1 1 6 6 4 4 4 France.................................................... 45 48 57 62 61 97 94 102 110 122 Germany, Fed. Rep. of........................ 60 71 85 78 81 118 98 120 127 122 Greece.................................................... 3 3 2 2 2 11 18 15 15 17 Italy........................................................ 23 27 52 54 62 118 111 107 101 98 Netherlands........................................... 54 65 67 68 80 48 42 42 48 45 Norway.................................................. 2 2 2 2 2 8 7 9 8 7 Portugal.................................................. 7 6 6 9 7 9 8 6 7 6 Spain....................................................... 21 23 25 27 30 56 63 51 61 76 Sweden ................................................... 12 12 14 17 19 28 30 27 36 18 Switzerland............................................ 45 61 58 58 47 20 20 22 18 26 Turkey.................................................... 4 4 4 2 2 10 6 6 6 7 United Kingdom................................... 139 137 172 179 208 440 492 599 576 640 Yugoslavia............................................. I 1 2 1 2 2 4 4 4 Other Western Europe......................... 4 2 3 4 5 9 9 9 11 12 Eastern Europe..................................... 1 1 1 I 1 3 6 3 2 3 Total............................................... 454 500 586 601 649 1,047 1,070 1,185 1,209 1,290 Canada....................................................... 120 117 138 146 173 566 550 509 489 482 Latin America: Argentina........................................... 6 5 6 6 3 34 34 34 39 39 Brazil...................................................... II II 9 10 11 80 78 73 63 61 Chile....................................................... 5 4 3 4 5 31 31 31 32 30 Colombia......................................... 8 7 5 7 5 21 22 21 25 24 Cuba....................................................... 3 3 3 3 2 Mexico.................................................... 9 10 10 11 16 74 79 78 95 96 Panama................................................... 9 4 9 10 4 11 13 12 12 11 Peru........................................................ 7 5 6 7 6 30 28 28 31 31 Uruguay................................................. 2 1 1 1 1 7 5 6 7 7 Venezuela............................................... 27 26 25 36 38 52 49 49 62 56 Other L.A. republics............................. 1! 12 18 20 15 56 55 59 63 65 Bahamas and Bermuda........................ 2 I 2 3 7 12 8 11 18 12 Neth. Antilles & Surinam.................... 7 9 7 1 6 4 3 4 4 5 Other Latin America............................. 1 2 2 I 9 9 11 10 9 Total............................................... 105 98 104 124 118 424 417 420 464 448 Asia: Hong Kong............................................ 2 2 2 3 4 5 7 6 7 7 India................................... 25 20 17 17 13 35 29 32 34 33 Indonesia................................................ 12 11 3 2 2 3 3 3 7 5 Israel..................................................... 1 2 2 2 * 5 4 5 5 5 Japan...................................................... 27 27 23 27 30 172 155 146 164 163 Korea...................................................... 1 2 4 3 2 6 4 5 5 7 Philippines.............................................. 7 7 7 7 6 16 18 17 17 17 Taiwan........................................... 5 6 7 4 5 6 4 5 7 12 Thailand................................ 1 1 1 4 4 8 9 11 1 1 10 Other Asia............................................. 33 36 34 31 41 76 76 69 75 88 Total............................................... 112 116 101 100 107 331 309 299 331 346 Africa: Congo (Kinshasa)................................. 1 1 1 1 2 1 2 2 2 South Africa.......................................... 11 11 10 17 5 18 18 17 24 16 U.A.R. (Egypt)..................................... 1 2 2 I 2 11 17 11 H 9 Other Africa........................................... 9 9 7 6 7 27 30 30 32 35 Total.............................................. 22 22 19 24 15 58 66 59 69 62 Other countries: Australia............................................ 31 35 51 58 52 40 45 57 58 54 All other................................................. 4 5 4 6 6 7 10 7 8 8 Total............................................... 35 40 55 64 58 47 55 63 66 61 International and regional....................... * * * ♦ ♦ * 1 1 * * Grand total................................... 849 891 1,003 1,060 1,120 2,473 2,468 2,536 2,629 2,690 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

AUGUST 1967 INTL. CAPITAL TRANSACTIONS OF THE U.S. 1457 20. SHORTTERM 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 in Payable Total in foreign Total in Deposits with dollars currencies dollars banks abroad Other in reporter’s name 1963—Mar................................................................................... 614 470 144 2,113 1,712 201 200 Mar. I.............................................................................. 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 1,830 225 202 Dec................................................................................ 626 478 148 2,131 1,739 201 191 Dec.2................................................................................ 626 479 148 2,188 1,778 199 2! 1 1964—Mar. ,............................................................................. 631 475 156 2,407 1,887 239 282 Inn?............................................................................. 622 471 151 2,482 2,000 220 262 June3......... 585 441 144 2,430 1,952 219 260 Sent............ 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 2! 1 229 June.................................. . 891 654 237 2,468 2,062 191 215 Sept.................................. ........ 1,003 760 243 2,536 2J43 166 227 Dec................................................................................... 1,060 798 262 2,629 2,226 167 236 1967'—Mar,p ...................................................................... 1,120 831 289 2,690 2,246 192 251 1 Includes data from firms reporting for the first time. of claims; for previous series the exemption level was 5100,000, 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 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 O L m t a e h t r i e n ic r a Japan O A t s h i e a r Africa o A th U e r 1964—Mar........................ 143 761 30 85 58 64 74 158 89 94 96 13 Junei..................... 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.2.................... 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 1,101 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.2..................... 147 1,139 31 112 236 209 65 198 98 87 85 18 1966—Mar........................ 176 1,156 27 124 239 208 61 206 98 87 87 19 June....................... 192 l,'2O7 27 167 251 205 61 217 90 90 86 14 Sept....................... 228 1’235 23 174 267 202 64 207 102 91 90 14 Dec........................ 305 1,256 27 198 272 203 56 212 95 93 87 13 1967—Mar.’’.......... 425 1,323 31 233 283 203 57 210 108 98 84 17 ’ As a result of an increase in the exemption level from $100,000 to 2 Data differ from that shown for Dec. in line above because of changes $500,000, data exclude $3 million of liabilities and $3 million of claims in reporting coverage. held by firms previously reporting but now exempt. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1458 GOLD RESERVES AUGUST 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 S n ta 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 I960 40,540 2,439 17,804 20,295 n.a. 104 147 293 1,170 287 885 45 1961 41,120 2,077 16,947 22,095 36 190 162 303 1,248 285 946 48 1962 41,475 2,194 16,057 23,225 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 31,869 13,806 27,280 35 66 223 700 1,558 63 84 1,151 44 1966-—June.............. 43,290 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 1,524 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............... *43,115 2,652 13,184 *27,280 35 84 228 701 1,524 45 84 1,084 46 Apr................ 2,657 13,234 35 84 228 101 1,525 45 84 1,042 46 May.............. 2,658 13,214 35 84 228 701 1,524 45 84 1,053 47 June.............. 2,669 13,169 .............. 35 ..........2..2.9 701 1,522 ............8.4 1,066 47 Ger- E p n er d i o o d f lo C m o b ­ ia m D a e r 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 I960. 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 no 56 2,404 328 1966--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 2,416 330 Apr................ 28 108 48 5,241 4,296 127 243 145 106 46 2,417 May.............. 29 108 48 5,241 4,294 132 243 145 106 2,416 June.............. 108 47 5,235 4,292 149 243 ...........1.4.5 94 ......2..,.4..1...2 E pe n r d io o d f Kuwait a L n e o b n ­ Libya M c e o xi­ Mo co roc­ 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--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................. 71 193 68 116 21 1,730 20 18 53 65 45 646 69 Feb................ 71 193 68 114 21 1,731 20 18 53 65 47 647 69 Mar............... 73 193 68 ■•112 21 1,731 20 18 53 55 47 650 69 Apr................ 73 193 68 120 21 1,731 20 18 53 55 49 651 69 May.............. 73 68 21 1,731 20 18 53 45 51 654 69 June.............. 89 68 21 1,731 20 18 53 30 53 69 For notes see end of table. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 GOLD RESERVES AND PRODUCTION 1459 GOLD RESERVES OF CENTRAL BANKS AND GOVERNMENTS—Continued (In millions of dollars) Bank E pe n r d i o o d f S A o 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 i n t m g ed ­ 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--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 S O e c p t. t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 6 5 6 5 4 7 7 8 8 5 5 2 2 0 0 3 3 2 2 , ,6 6 8 8 1 0 5 6 9 2 9 92 2 1 to 0 o 0 1 12 3 1 9 1,940 1 15 5 5 5 4 4 0 0 1 1 2 2 1 0 - - 2 2 7 9 7 9 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 22 37 May................. 482 784 203 2,619 74 92 97 93 146 401 21 -87 June................. 468 ........ 203 2,831 92 96 93 ..........1..4..6 401 .......-.2...6..6. 1 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, i.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 i t c h a R de h s o ia ­ Ghana C s ( h K o a n i s n g a o ­ ) U St n a 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 1960.................................. 1,175.0 748.4 19.6 30.8 11.1 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 7.1 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 11.4 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 7.4 7.9 12.8 5.2 14. 9 33.7 62.8 1965.................................. 11440.0 1,069,4 19.0 26.4 2.3 58.6 125.6 7.6 6.9 11.2 4.6 15.3 30.7 62.4 1966.................................. 1,080.8 114.6 7.5 9.8 4.2 15.6 32.0 1966—May....................... 91.9 10.4 .4 .8 .4 1.3 2.9 June....................... 89.3 21.3 9.2 .9 .8 .3 1.2 3.3 July........................ 89.4 9.3 .5 .8 .4 2.6 Aug.. ............. . 90.1 9.2 8 .8 .4 2.9 Sept................... 91.7 9.2 .6 .8 .3 24.0 2.4 Oct......................... 89.7 9.1 . 5 .9 .4 2.5 Nov.................... 90.8 8.7 .6 .8 .3 2.4 Dec........................ 87.7 9.6 .4 .7 .3 24.O 2.7 1967—Jan......................... 89.5 8.7 .9 Feb......................... 87.8 8.9 .8 Mar................... 89.5 9.1 .5 Apr . 89.1 8.9 May....................... 91.2 1 Estimated; excludes U.S.S.R., other Eastern European countries, Note.—Estimated world production based on report or 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 the Bureau of the Mint. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1460 MONEY RATES AUGUST 1967 CENTRAL BANK RATES FOR DISCOUNTS AND ADVANCES TO COMMERCIAL BANKS (Per cent per annum) Changes during the last 12 months Rate as of July 31, 1966 Rate Country 1966 1967 Ju a l s y o 3 f 1 , Per Month 1967 cent effective Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr. May June July Argentina............................ 6 0 Dec. 1957 6.0 Austria................................... 4,5 June 1963 4.25 4.25 Belgium.............. .......... 5,25 5.0 4.75 4.5 4 5 Brazil..................................... 12,0 Jan. 1965 12.0 Burma................................... 4,0 Feb. 1962 4 0 Canada 1............................... 5.25 Mar. 1966 5.0 4.5 4.5 Ceylon................. .......... 5 0 May 1965 5 0 Chile 2................................... 15.84 July 1966 15.84 Colombia.............................. 8.6 May 1963 8.0 Costa Rica............................ 3.0 Apr. 1939 3 0 Denmark............................... 6.5 June 1964 6.5 Ecuador ............ .......... 5.6 Nov. 1956 5.0 El Salvador........................... 4.0 Aug. 1964 4.0 Finland................................. 7.0 Apr. 1962 7.0 France................................... 3.5 Apr. 1965 3 5 Germany, Fed. Rep. of........ 5.0 4.5 4.0 3.5 3.0 3.0 Ghana................................... 7.0 Jan' 1966 6.0 6.0 Greece................ 5 5 Jan 1963 4.5 4 5 Honduras 3........................... 3.0 Jan. 1962 3.0 Iceland................................... 9.0 Jan. 1966 9.0 India..................... 6.0 Feb. 1965 6.0 Indonesia............................... 9.0 Aug. 1963 9.0 Iran........................................ 4.0 Oct. 1963 5.0 5.0 Ireland................................... 6.87 July 1966 6.94 7.00 6.81 6.87 6.50 6.25 5.88 5.56 5.44 5.50 5.52 5.52 Israel............................... 6.0 Feb. 1955 6.0 Italy....................................... 3.5 June 1958 3.5 Jamaica................................. 5.5 July 1966 5.0 5.0 Japan..................................... 5.48 June 1965 5.48 Korea.................................... 28.0 Dec. 1965 28.0 Mexico............................ 4.5 4.5 Netherlands........................... 5.0 May 1966 4.5 4.5 New Zealand......................... 7.0 Mar. 1961 7.0 Nicaragua............................. 6.0 Apr. 1954 6.0 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 6.0 6.0 Portugal................................. 2.5 Sept. 1965 2.5 South Africa......................... 6.0 July 1966 6.0 Spain..................................... 4.0 June 1961 4.0 Sweden.................................. 6,0 5.5 5.0 5.0 Switzerland........................... 3,5 July 1966 3.0 3.0 Taiwan 4............................... 14.04 July 1963 14.04 Thailand................................ 5.6 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. .'. • '.. 7.0 July 1966 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 Brazil-—8 per cent for secured paper and 4 per cent for certain agricultural was fixed at 6 per cent. Rates on loans to money market dealers will paper; continue to be .25 of 1 per cent above latest weekly Treasury bill tender Colombia—5 per cent for warehouse receipts covering approved lists of average rate, but will not be more than the bank rate. products, 6 and 7 per cent for agricultural bonds, and 12 and 18 per cent 2 Beginning with Apr. 1, 1959, new rediscounts have been granted at for rediscounts in excess of an individual bank’s quota; the average rate charged by banks in the previous half year. Old redis­ Costa Rica—5 per cent for paper related to commercial transactions counts remain subject to old rates provided their amount is reduced by (rate shown is for agricultural and industrial paper); one-eighth each month beginning with May I. 1959, but the rates are Ecuador—6 per cent for bank acceptances for commercial purposes; raised by 1.5 per cent for each month in which the reduction does not Indonesia—various rates depending on type of paper, collateral, com­ occur. modity involved, etc,; 3 Rate shown is for advances only. Japan—penalty rates (exceeding the basic rate shown) for borrowings ♦ Rate shown is for call loans. from the central bank in excess of an individual bank’s quota; Peru—8 per cent for agricultural, industrial, and mining paper; Note.—Rates shown are mainly those at which the central bank either Philippines—3 per cent for financing the production, importation, and dis­ discounts or makes advances against eligible commercial paper and/or tribution of rice and corn and 4.75 per cent for credits to enterprises en­ govt, securities for commercial banks or brokers. For countries with gaged in export activities. Preferential rates are also granted on credits to more than one rate applicable to such discounts or advances, the rate rural banks; and shown is the one at which it is understood the central bank transacts Venezuela—4 per cent for rediscounts of certain agricultural paper and the largest proportion of its credit operations. Other rates for some for advances against govt, bonds or gold and 5 per cent on advances of these countries follow: against securities of Venezuelan companies. Argentina—3 and 5 per cent for certain rural and industrial paper, de­ pending on type of transaction; Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

AUGUST 1967 MONEY RATES; ARBITRAGE 1461 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 Tr b e i a ll s s u , ry Da d y a - y t o­ B a a a c n n c c e k e p e s r t , ­ s’ Tr b e i a ll s s u , ry Da d y a - y t o­ a B llo a w n o k n a e n r c s e ’ Da d y a - y t o­ Tr 6 b e 0 i a l - s l 9 s u 0 , r y Da d y a - y t o­ Tr b e i a l s ls u , r y Da d y a - y t o­ d P is r c iv o a u t n e t 3 months^ money2 3 months 3 months money deposits money3 days4 money5 3 months money rate 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—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.(3 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 5.03 3.75 4.19 4.47 4.25 4,25 May............ 4.14 4.12 5.47 5.23 4.55 3.56 4.79 3.00 3,00 4.56 4.36 4.25 June............ 4.34 4.27 5.44 5.27 4.54 3.50 2.75 3.63 4.56 4.38 4.25 1 Based on average yield of weekly tenders during month, s 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 Date United P d ( r i + e sc m ) o i u o u n r m t inc N en e t t i ve Canada P d ( r i e + sc m ) o i u o u n m r t inc N en e t t i ve K ( i a n U d g j . . S d . o t o m U S n ta i t t e e s d S (f p a o r v e f o a r d f ( p o - o r ) w u n a o r d n d L ( o f n a o v d f o o r n ) qu A ot s e d A U dj . . S . t o U S n ta i t t e e s d S ( p fa o r v e f a o d r C f ( a o - n r ) w a d a o i r n a d n C ( a f n a o v a f o d r a ) quotation London) in quotation Canada) dollars basis) Canada basis 1967 Mar. 3............... 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 + .11 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 9.............. 5.12 3,40 1.72 -.45 + 1.27 4.33 4.23 3.40 + .83 -.22 + .61 16.............. 5.12 3.56 1.56 -.48 + 1.08 4.42 4,32 3.56 + .76 -.30 + .46 23.............. 5.12 3.35 1.77 - .39 + 1.38 4.35 4,24 3.35 + .89 -.22 + .67 30.............. 5.12 3.82 1.30 -.43 '+.87 4.28 4,18 3,82 + .36 -.22 + .14 July 7.............. 5.18 4.19 .99 -.29 + .70 4.27 4.17 4.19 -.02 -.21 -.23 14.............. 5.21 4.10 1.11 -.43 + .68 4,20 4.13 4.10 + .03 -.37 -.34 21.............. 5.21 4.20 1.01 -.67 + .34 4.30 4.20 4.20 .00 -.58 -.58 28.............. 5.21 4.10 1.11 -.62 + .49 4.34 4.23 4. 10 + .13 -.71 -.58 Aug. 4.............. 5.21 4,13 1.08 -.57 + .51 4.32 4.22 4. 13 + .09 -.65 -.56 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 Rates per annum computed on basis of midpoint quotations (between Treasury bill rates, see notes to Table I, p, 1257, and to Table 2, p, 1460, 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

1462 FOREIGN EXCHANGE RATES AUGUST 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 93.561 21.034 14.490 .3107 1963............................................................. .7245 223.10 3.8690 2.0052 92.699 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—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 99? 70 979 14 436 31 062 .4594 111.13 3.8720 2.0035 92.904 20.928 14.471 31.063 Oct................................................... .4590 i ll .22 3.8700 2.0001 92.631 20.929 14.488 31.062 Nov.................................................. 5.4106 iii.20 3.8668 2.0012 92.398 20.927 14.474 31.062 .4039 111.16 3.8651 1.9987 92.319 20.926 14.484 31.062 1967—Jan.................................................... .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 111.52 3.8679 2.0121 92.378 20.954 14.472 31.063 May............................................... .2851 111,43 3.8686 2.0145 92.400 20.946 14.453 31.062 June.................................................. .2851 111.20 3.8698 2.0143 92.544 20 917 14,439 31,062 July................................................... .2850 ................1..11,05 3.8714 2.0147 92.766 20.903 14.413 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 r o el u a n n d d ) ( I l t i a ra ly ) 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 d th d e ­ r s ) 1961............................................................. 20.384 24.903 20.980 280.22 .16099 27600 32.659 8.0056 27.555 1962............................................................ 20.405 25.013 21.026 280.78 .16107 .27719 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 .16014 .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--July............................... 20.403 2S.046 13.248 278.88 .16028 .27574 32.488 8.0056 27.719 Aug............................... 20.394 25.056 13.250 278.88 .16039 .77577 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 June............................ 20.375 25.122 13.242 279.12 .16007 27627 32.519 8.0056 27.756 July............................... 20.395 24.996 13.224 278.73 .16020 27620 32.478 8.0056 27,866 Period (pou N n e d w ) Zeal ( a d n o d llar) N (k o r r o w ne a ) y (e P s o g c r a u t l d u o - ) (pou S n o d u ) th Afr ( i r c a a nd) (p S e p s a e i t n a) S (k w ro ed n e a n ) ( e S f r w r l a a i n n tz c d ­ ) ( U p K d o n i o u n i m t n g e d - 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--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 1.6639 19.358 23.110 278.88 Sept.............................. 276.17 13.989 3.4773 138.95 1.6639 19.345 23.102 278.93 Oct.. . ................ 276.40 13.993 3.4807 139.06 1.6641 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 1.6638 19.327 23,129 279.01 1967-—Jan.............................. 276.34 13.978 3.4786 139.03 1.6636 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 1.6633 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 June............................. 276.35 13.992 3.4810 139.04 .6632 19.415 23.166 279.12 July............................ 9276.12 10137.97 13.986 3.4788 138.85 1.6634 19.412 23.128 278.73 1 A new markka, equal to 100 old markkaa, was introduced on Jan. I, 8 Effective June 6, 1966, the Indian rupee was devalued from 4.76 to 1963. 7.5 rupees per U.S. dollar. Quotations not available June 6 and 7. 2 Based on quotations through Feb. 11, 1966. 9 Based on quotations through July 7, 1967. 3 Effective Feb. 14, 1966, Australia adopted the decimal currency io Effective July 10, 1967, New Zealand adopted the decimal currency system. The new unit, the dollar, replaces the pound and consists of 100 system. The new unit, the dollar, replaces the pound and consists of 100 cents, equivalent to 10 shillings or one-half the former pound. cents, equivalent to 10 shillings or one-half the former pound. ■ * Quotations not available Aug. 8 and 9. 5 Quotations not available Nov. 4 and 7. Note.—Averages of certified noon buying rates in New York for 6 Quotations not available Mar. 7*14. cable transfers. For description of rates and back data, see “International 7 Effective Jan. 1, 1963, the franc again became the French monetary Finance,” Section 15 of Supplement to Banking and Monetary Statistics, unit. It replaces, at a 1 to 1 ratio, the new franc introduced Jan. 1, 1960. 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 Thomas J. O’Connell, Assistant General Examiner 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 DIVISION OF RESEARCH AND STATISTICS Reserve Examiner Daniel H. Brill, Director Albert R. Koch, Deputy Director DIVISION OF PERSONNEL ADMINISTRATION J. Charles Partee, Associate Director Edwin J. Johnson, Director Kenneth B. Williams, Adviser John J. Hart, Assistant Director Stephen H. Axilrod, Associate Adviser Lyle E. Gramley, Associate Adviser DIVISION OF ADMINISTRATIVE SERVICES Stanley J. Sigel, Associate Adviser Joseph E. Kelleher, Director Tynan Smith, Associate Adviser Harry E. Kern, Assistant Director James B. Eckert, Assistant Adviser Murray S. Wernick, Assistant Adviser OFFICE OF THE CONTROLLER John Kakalec, Controller DIVISION OF INTERNATIONAL FINANCE Robert Solomon, Director OFFICE OF DEFENSE PLANNING Robert L. Sammons, Associate Director Innis D. Harris, Coordinator A. B. Hersey, Adviser Reed J. Irvine, Adviser DIVISION OF DATA PROCESSING Samuel I. Katz, Adviser Lawrence H. Byrne, Jr., Director John E. Reynolds, Adviser Lee W. Langham, Assistant Director Ralph C. Wood, Adviser John H. Rhinehart, Assistant Director Charles A. Yager, Associate Adviser David S. Staiger, Assistant Director 1463 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1464 FEDERAL RESERVE BULLETIN • AUGUST 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 1465 FEDERAL RESERVE BANKS AND BRANCHES Federal Reserve Bank Chairman President Vice President UL UIUllUU 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 Available 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 accom­ pany 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. For a more complete list, including periodic releases, see pp. 1069-72 of the June 1967 Bulletin, (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. 1962. 35 pp. $.35. Sec. 5. Bank Debits. 1966. Annual Report. 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: Application of the Bank Merger Act of Federal Reserve Chart Book on Financial and 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 Banking Market Structure & Performance in Book. $6.00 per annum or $.60 a copy in the Metropolitan Areas: A Statistical Study United States and the countries listed above; of Factors Affecting Rates on Bank Loans. 10 or more of same issue sent to one address, 1965. 73 pp. $.50 a copy; 10 or more sent to $.50 each. Elsewhere, $7.00 per annum or $.70 one address, $.40 each. a copy. Farm Debt. Data from the 1960 Sample Survey Historical Chart Book. Issued annually in Sept. of Agriculture. 1964. 221 pp. $1.00 a copy; 10 Subscription to monthly chart book includes or more sent to one address, $.85 each. one issue. $.60 a copy in the United States and Merchant and Dealer Credit in Agriculture. countries listed above; 10 or more sent to one 1966. 109 pp. $1.00 a copy; 10 or more sent to address, $.50 each. Elsewhere, $.70 a copy. one address, $.85 each. Treasury-Federal Reserve Study of the Gov­ Monetary Theory and Policy: A Bibliography. ernment Securities Market. Pt. I. 1959. 108 Part I—Domestic Aspects. 137 pp. $1.00 a copy; pp. Pt. II. 1960. 159 pp. Pt. III. 1960. 112 pp. 10 or more sent to one address, $.85 each. Set of 3, $2.50; individual books $1.00 each. Regulations of the Board of Governors of Flow of Funds in the United States, 1939-53. the Federal Reserve System. 1955. 390 pp. $2.75. Rules of Organization and Procedure—Board Debits and Clearing Statistics and Their Use. of Governors of the Federal Reserve Sys­ 1959. 144 pp. $1.00 a copy; 10 or more sent to tem. 1962. 40 pp. one address, $.85 each. Published Interpretations of the Board of The Federal Funds Market. 1959. Ill pp. Governors, as of Dec. 31, 1966. $2.50. $1.00 a copy; 10 or more sent to one address, Trading in Federal Funds. 1965. 116 pp. $1.00 $.85 each. a copy; 10 or more sent to one address, $.85 each. All-Bank Statistics, 1896-1955. 1959. 1,299 pp. $4.00. U.S. Treasury Advance Refunding. June 1960- July 1964. 1966. 65 pp. $.50 a copy; 10 or Industrial Production—1957-59 Base. 1962. more sent to one address, $.40 each. 172 pp. $1.00 a copy; 10 or more sent to one Survey of Financial Characteristics of Con­ address, $.85 each. sumers. 1966. 166 pp. $1.00 a copy; 10 or more sent to one address, $.85 each. The Federal Reserve Act, as amended through Nov. 5, 1966, with an appendix containing pro­ The Performance of Bank Holding Companies. visions of certain other statutes affecting the 1967. 29 pp. $.25 a copy; 10 or more sent to Federal Reserve System. 353 pp. $1.25. one address, $.20 each. 1466 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

FEDERAL RESERVE BOARD PUBLICATIONS 1467 STAFF ECONOMIC STUDIES Federal Fiscal Policy and Aggregate De­ mand, 1956-1966, by Helen B. Junz. June Studies and papers on economic and financial sub­ 1967. jects that are of general interest in the field of Businesses View Banking Services: A Survey economic research. of Cedar Rapids, Iowa, by Lynn A. Stiles. July 1967. ' Summaries only printed in the Bulletin. The Impact of Monetary Variables: A Selec­ (Limited supply of mimeographed copies of full tive Survey of the Recent Empirical Lit­ text available upon request for single copies.) erature, by Michael J. Hamburger. July 1967. Empirical Literature on The U. S. Balance Cyclical Determinants of Capital Expendi­ of Trade, by Charles K, Harley. July 1967. tures: A Regression Study of the United States Steel Industry, by James P. Bennett. The Boom in Office Buildings, by Robert Moore Fisher. Aug. 1967. July 1966. Customers View Bank Markets and Services: The European Economic Community’s Com­ A Survey of Elkhart, Indiana, by George G. mon Agricultural Policy and Its Impact Kaufman. Aug. 1967. on U.S. Exports, by Thomas M. Klein. July 1966. ' ’ Printed in full in the Bulletin. A Theory of Household Asset Selection, by (Reprints available as shown in following list.) William J. Hocter. Aug. 1966. Liquidity Considerations and Monetary REPRINTS Management, by Leonall C. Andersen (with commentaries by Arthur L. Broida and Rich­ (From Federal Reserve Bulletin unless preceded ard G. Davis). Sept. 1966. by an asterisk.) The Overseas Dollar Bond Market and Re­ cent U.S. Borrowing Abroad, by Carl H. Adjustment for Seasonal Variation. Descrip­ tion of method used by Board in adjusting eco­ Stem. Sept. 1966. nomic data for seasonal variations. June 1941. Mexico’s Economic and Financial Record, by 11 PP. Yves Maroni. .Oct. 1966. Seasonal Factors Affecting Bank Reserves. Measures of Industrial Production and Final Feb. 1958. 12 pp. Demand, by Clayton Gehman and Cornelia Motheral. Jan. 1967. Liquidity and Public Policy, Staff Paper by Stephen H. Axilrod. Oct. 1961. 17 pp. Firms’ Demands For Money: The Evidence From the Cross-Section Data, by William J. Seasonally Adjusted Series for Bank Credit. July 1962. 6 pp. Frazer, Jr. Jan. 1967. The Relative Impact of Money and Income Interest Rates and Monetary Policy, Staff Paper by Stephen H. Axilrod. Sept. 1962. 28 pp. on Interest Rates: An Empirical Investi­ gation, by William E. Gibson and George G. Industrial Production—1957-59 Base. Oct. Kaufman. Feb. 1967. 1962. 10 pp. The Effect of Credit Conditions on State Flow of Funds Seasonally Adjusted. Nov. and Local Bond Sales and Capital Outlays 1962. 15 pp. Since World War II, by Paul F. McGouldrick. A Sectoral Analysis of Velocity, Staff Paper Feb. 1967. ' by Paul F. McGouldrick. Dec. 1962. 14 pp. Investment by Manufacturing Firms: A Quar­ New Foreign Bond Issues in the U.S. Market, terly Time Series Analysis of Industry Staff Paper by Robert F. Gemmill. May 1963. Data, by Robert W. Resek. Mar. 1967. 13 pp. Individuals as a Source of Loan Funds for Recent Changes in Liquidity, Staff Paper by State and Local Governments, Helmut Daniel H. Brill. June 1963. 10 pp. Wendel. Apr. 1967. Measures of Member Bank Reserves. July Variable-Rate Mortgages, by Robert Moore 1963. 14 pp. Fisher. May 1967. Measuring and Analyzing Economic Growth, The Financing of Capital Investment in the Staff Paper by Clayton Gehman. Aug. 1963. USSR, by Paul Gekker. June 1967. 14 pp. Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1468 FEDERAL RESERVE BULLETIN • AUGUST 1967 Changes in Banking Structure, 1953-62. Sept. The Role of Financial Intermediaries in U.S. 1963. 8 pp. Capital Markets, Staff Economic Study by Economic Change and Economic Analysis, Daniel H. Brill, with Ann P. Ulrey. Jan. 1967. Staff Paper by Frank R. Garfield. Sept. 1963. Size and Composition of Consumer Saving. 17 pp. Jan. 1967. 19 pp. Federal Reserve Security Transactions, 1954­ Recent Bank Credit and Monetary Develop­ 63, Staff Paper by Stephen H. Axilrod and ments. Feb. 1967. 13 pp. Janice Krummack. July 1964. 16 pp. Revised Series on Commercial and Industrial Yield Differentials in Treasury Bills, 1959­ Loans by Industry. Feb. 1967. 2 pp. 64, Staff Paper by Samuel I. Katz. Oct. 1964. 20 pp. Auto Loan Characteristics at Major Sales Finance Companies. Feb. 1967. 5 pp. Research into Banking Structure and Com­ petition. Nov. 1964. 17 pp. Consumer Instalment Credit. Mar. 1967. 12 pp. Bank Credits to Foreigners. Mar. 1965. 10 pp. Measures of Banking Structure and Competi­ Treasury and Federal Reserve Foreign Ex­ tion. Sept. 1965, 11 pp. change Operations. Mar. 1967. 12 pp. Time Deposits in Monetary Analysis, Staff The Balance of Payments in 1966, Apr. 1967. Economic Study by Lyle E. Gramley and Sam­ 16 pp. uel B. Chase, Jr. Oct. 1965. 25 pp. Changes in Time and Savings Deposits, May Fiscal Policy and Debt Management. Nov, 1966-January 1967. Apr. 1967. 17 pp. 1965. 11 pp. Survey of Finance Companies, Mid-1965. Apr. Cycles and Cyclical Imbalances in a Chang­ 1967. 26 pp. ing World, Staff Paper by Frank R. Garfield. Nov. 1965. 15 pp. Monetary Policy and Economic Activity: A Postwar Review. May 1967. 22 pp. Research on Banking Structure and Per­ Revision in Quarterly Survey of Interest formance, Staff Economic Study by Tynan Smith. Apr. 1966. 11 pp. Rates on Business Loans. May 1967. 7 pp. Monetary Policy and the Residential Mort­ Commercial Bank Liquidity. Staff Economic Study by James Pierce. Aug. 1966. 9 pp. gage Market. May 1967. 13 pp. Changes in Time and Savings Deposits, De­ Evidence on Concentration in Banking Mar­ kets and Interest Rates, Staff Economic cember 1965-May 1966. Aug. 1966. 35 pp. Study by Almarin Phillips. June 1967. 11 pp. Revision of Weekly Reporting Member Bank Series. Aug. 1966. 4 pp. Bank Financing of Agriculture. June 1967. 23 pp. Interest Rates in Western Europe. Sept. 1966. 19 pp. New Benchmark Production Measures, 1958 Revision of Money Supply Series, Sept. 1966. and 1963. June 1967. 4 pp. 13 pp. Banking and Monetary Statistics, 1966. Selected series of banking and monetary statis­ Interest Rates in U.S. Capital Markets. Nov. tics for 1966 only. Mar. and July 1967. 20 pp. 1966. 16 pp. Toward Understanding of the Whole De­ Recent Credit and Monetary Developments. July 1967. 12 pp. veloping Economic Situation, Staff Eco­ nomic Study by Frank R. Garfield. Nov. 1966. Changes in Time and Savings Deposits, Jan­ 14 pp. uary-April 1967. July 1967. 16 pp. A Revised Index of Manufacturing Capacity, Revised Indexes of Manufacturing Capacity Staff Economic Study by Frank de Leeuw with and Capacity Utilization. July 1967. 3 pp. Frank E. Hopkins and Michael D. Sherman. The Public Information Act—Its Effect on Nov. 1966. 11 pp. Member Banks. July 1967. 6 pp. Time Deposits and Financial Flows. Dec. Interest Cost Effects of Commercial Bank 1966. 14 pp. Underwriting of Municipal Revenue Bonds. Balance of Payments Program: Guidelines Aug. 1967. 16 pp. for Banks and Nonbank Financial Institu­ Revision of Money Supply Series. Aug. 1967. tions. Dec. 1966. 8 pp. 14 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 1366.) Acceptances, bankers’, 1375, 1393, 1395 Deposits (See also specific types of deposits): Agricultural loans of commercial banks, 1386, 1388 Accumulated at commercial banks for payment of Arbitrage, 1461 personal loans, 1385 Assets and liabilities (See also Foreign liab. & claims): Adjusted, and currency, 1377 Banks and the monetary system, 1381 Banks, by classes, 1375, 1382, 1387, 1390, 1395 Banks, by classes, 1382, 1386, 1388, 1395 Federal Reserve Banks, 1376, 1455 Corporate, current, 1407 Postal savings, 1374, 1381 Federal Reserve Banks, 1376 Subject to reserve requirements, 1380 Automobiles: Discount rates, 1373, 1460 Consumer instalment credit, 1412, 1413, 1414 Discounts and advances by Reserve Banks, 1368, Production index, 1416, 1417 1376, 1378 ' Dividends, corporate, 1406, 1407 Bank holding companies, banking offices and deposits Dollar assets, foreign, 1445, 1450 of group banks, Dec. 31, 1966, 1440 Bankers’ balances, 1387, 1389 Earnings and hours, manufacturing industries, 1423 (See also Foreign liabilities and claims) Employment, 1420, 1422, 1423 Banking offices: Changes in number, 1438 Farm mortgage loans, 1408, 1409, 1410 Par and nonpar offices, number, 1439 Federal finance: Banks and the monetary system, 1381 Cash transactions, 1398 Banks for cooperatives, 1397 Receipts and expenditures, 1399 Bonds (See also U.S. Govt, securities): Treasurer’s balance, 1398 New issues, 1403, 1404, 1405 Federal funds, 1372, 1386 Prices and yields, 1393, 1394 Federal home loan banks, 1397, 1409 Business expenditures on new plant and Federal Housing Administration, 1394, 1408, equipment, 1407 1409, 1410 Business indexes, 1420 Federal intermediate credit banks, 1397 Business loans (See Commercial and industrial loans) Federal land banks, 1397 Capital accounts: Federal National Mortgage Assn., 1397, 1410 Banks, by classes, 1382, 1387, 1391 Federal Reserve Banks: Federal Reserve Banks, 1376 Condition statement, 1376 Carloadings, 1420 U.S. Govt, securities held, 1368, 1376, 1378, Central banks, foreign, 1458, 1460 1400, 1401 Certificates of deposit, 1391 Federal Reserve credit, 1368, 1376, 1378 Coins, circulation, 1379 Federal Reserve notes, 1376, 1379 Commercial and industrial loans: Federally sponsored credit agencies, 1397 Commercial banks, 1386 Finance company paper, 1393, 1395 Weekly reporting banks, 1388, 1392 Financial institutions, loans to, 1386, 1388 Commercial banks: Float, 1368 Assets and liabilities, 1382, 1386, 1388 Flow of funds, 1428 Banking offices, changes in number, 1438 Foreign currency operations, 1376, 1378, 1444, Consumer loans held, by type, 1413 1445, 1450 Deposits at, for payment of personal loans, 1385 Foreign deposits in U.S. banks, 1368, 1376, 1381, Number, by classes, 1382 1387, 1390, 1455 ’ Real estate mortgages held, by type, 1408 Foreign exchange rates, 1462 Commercial paper, 1393, 1395 Foreign liabilities and claims: Condition statements (See Assets arid liabilities) Banks, 1446, 1447, 1449, 1451, 1453, 1455 Construction, 1420, 1421 Nonfinancial concerns, 1456 Consumer credit: Foreign trade, 1443 Instalment credit, 1412, 1413, 1414, 1415 Noninstalment credit, by holder, 1413 Gold: Consumer price indexes, 1420, 1424 Certificates, 1376, 1379 Consumption expenditures, 1426, 1427 Earmarked, 1455 Corporations: Net purchases by U.S., 1444 Sales, profits, taxes, and dividends, 1406, 1407 Production, 1459 Security issues, 1404, 1405 Reserves of central banks and govts., 1458 Security prices and yields, 1393, 1394 Stock, 1368, 1381, 1444 ’ Cost of living (See Consumer price indexes) Gross national product, 1426, 1427 Currency in circulation, 1368, 1379, 1380 Customer credit, stock market, 1394 Hours and earnings, manufacturing industries, 1423 Debits to deposit accounts, 1378 Housing starts, 1421 Debt (See specific types of debt or securities) Demand deposits: Income, national and personal, 1426, 1427 Adjusted, banks and the monetary system, 1381 Industrial production index, 1416, 1420 Adjusted, commercial banks, 1378, 1380, 1387 Instalment loans, 1412, 1413, 1414, 1415 Banks, by classes, 1375, 1382, 1387, 1390 Insurance companies, 1396, 1400, 1401, 1409 Subject to reserve requirements, 1380 Insured commercial banks, 1384, 1385, 1386, 1438 Turnover, 1378 Interbank deposits, 1375, 1382, 1387 1469 Digitized for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis

1470 FEDERAL RESERVE BULLETIN • AUGUST 1967 Interest rates: Reserves: Business loans by banks, 1392 Central banks and govts., 1458 Federal Reserve Bank discount rates, 1373 Commercial banks, 1387, 1389 Foreign countries, 1460, 1461 Federal Reserve Banks, 1376 Money market rates, 1393, 1461 Member banks, 1368, 1370, 1375, 1380, 1387 Mortgage yields, 1394, 1411 Residential mortgage loans, 1408, 1409, 1410, 1411 Time deposits, maximum rates, 1374 Retail credit, retail sales, 1412, 1420 Yields, bond and stock, 1393 International capital transactions of the U.S., 1446 Sales finance companies, loans, 1412, 1413, 1415, International institutions, 1444, 1445, 1458, 1460 Saving; Inventories, 1426 Flow of funds series, 1428 Investment companies, new issues, 1405 National income series, 1427 Investments (See also specific types of investments): Savings and loan assns., 1396, 1401, 1409 Banks, by classes, 1382, 1386, 1389, 1395 Savings deposits (See Time deposits) Commercial banks, 1385 Savings institutions, principal assets, 1395, 1396 Federal Reserve Banks, 1376, 1378 Securities (See also U.S. Govt, securities): Life insurance companies, 1396 Federally sponsored agencies, 1397 Savings and loan assns., 1396 International transactions, 1454, 1455 New issues, 1403, 1404, 1405 Labor force, 1422 Silver coin and silver certificates, 1379 Loans (See also specific types of loans): State and local govts.: Banks, by classes, 1382, 1386, 1388, 1395 Deposits of, 1387, 1390 Commercial banks, 1385 Holdings of U.S. Govt, securities, 1400, 1401 Federal Reserve Banks, 1368, 1376, 1378 New security issues, 1403, 1404 Insurance companies, 1396, 1409 Ownership of obligations of, 1386, 1389, Insured or guaranteed by U.S., 1408, 1409, 1410 1395, 1396 Savings and loan assns., 1396, 1409 Prices and yields of securities, 1393, 1394 State member banks, 1384, 1385, 1438 Manufactures, production index, 1417, 1420 Stock market credit, 1394 Margin requirements, 1374 Stocks: Member banks: New issues, 1404, 1405 Assets and liabilities, by classes, 1382, 1386 Prices and yields, 1393, 1394 Banking offices, changes in number, 1438 Borrowings at Reserve Banks, 1370, 1376 Tax receipts, Federal, 1399 Deposits, by classes, 1375 Time deposits, 1374, 1375, 1380, 1381, 1382, 1387, Number, by classes, 1383 1390 Reserve position, basic, 1372 Treasurer’s account balance, 1398 Reserve requirements, 1374 Treasury cash, Treasury currency, 1368, 1379, 1381 Reserves and related items, 1368, 1380 Treasury deposits, 1368, 1376, 1398 Mining, production index, 1417, 1420 Money rates (See Interest rates) Unemployment, 1422 Money supply and related data, 1380 U.S. balance of payments, 1442 Mutual funds (See Investment companies) U.S. Govt, balances: Mutual savings banks, 1381, 1382, 1384, 1395, 1400, Commercial bank holdings, 1387, 1390 1401, 1408, 1438 Consolidated monetary statement, 1381 Member bank holdings, 1380 National banks, 1384, 1385, 1438 Treasury deposits at Federal Reserve Banks, 1368, National income, 1426, 1427 1376, 1398 National security expenditures, 1399, 1426 U.S. Govt, securities: Nonmember banks, 1384, 1385, 1386, 1387, 1438 Bank holdings, 1381, 1382, 1386, 1389, 1395, 1400, 1401 Open market transactions, 1375 Dealer transactions, positions, and financing, 1402 Federal Reserve Bank holdings, 1368, 1376, Par and nonpar banking offices, number, 1439 1378, 1400, 1401 Payrolls, manufacturing, index, 1420 Foreign and international holdings, 1376, 1450, Personal income, 1427 1454, 1455 Postal Savings System, 1374, 1381 International transactions, 1450, 1454 Prices: New issues, gross proceeds, 1404 Consumer and wholesale commodity, 1420, 1424 Open market transactions, 1375 Security, 1394 Outstanding, by type of security, 1400, 1401, 1403 Production, 1416, 1420 Ownership of, 1400, 1401 Profits, corporate, 1406, 1407 Prices and yields, 1393, 1394, 1461 United States notes, 1379 Real estate loans: Utilities, production index, 1417, 1420 Banks, by classes, 1386, 1388, 1395, 1408 Delinquency rates on home mortgages, 1411 Vault cash, 1368, 1374, 1387 Mortgage yields, 1394, 1411 Veterans Administration, 1408, 1409, 1410 Nonfarm mortgage foreclosures, 1411 Type of holder and property mortgaged, 1408, 1409, 1410 ' Weekly reporting banks, 1388 Reserve position, basic, member banks, 1372 Reserve requirements, member banks, 1374 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 A (o THE FEDERAL RESERVE SYSTEM 5) a 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