Federal Reserve Bulletin, 1970-07

F E D E R A L RESERVE BULLETIN JULY 1970 BOARD OF GOVERNORS □ THE FEDERAL RESERVE SYSTEM □ WASHINGTON, D.C. Digitized for FRASER http://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 http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

FEDERAL RESERVE BULLETIN NUMBER 7 □ VOLUME 56 □ JULY 1970 CONTENTS 555 Consumer Markets in Mid-1970 564 Member Bank Income, 1969 573 Record of Policy Actions of the Federal Open Market Committee 581 Law Department 605 Announcements 606 National Summary of Business Conditions Financial and Business Statistics A 1 Contents A 3 Guide to Tabular Presentation A 3 Statistical Releases: Reference A 4 U.S. Statistics A 72 International Statistics A 94 Tables Published Periodically A 98 Board of Governors and Staff A 99 Open Market Committee and Staff; Federal Advisory Council A 100 Federal Reserve Banks and Branches A 101 Federal Reserve Board Publications; Statistical Releases A 105 Index to Statistical Tables Map of Federal Reserve System on Inside Back Cover EDITORIAL Charles Molony COMMITTEE J. Charles Partee Robert C. Holland Robert Solomon Kenneth B. Williams Elizabeth B. Sette The Federal Reserve BULLETIN is issued monthly under the direction of the staff edi­ torial committee. This committee is responsible for opinions expressed except in official statements and signed articles. Direction for the art work is provided by Mack Rowe. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Consumer Markets in Mid-1970 CONSUMERS have shown restraint in their spending patterns since mid-1969. Although disposable income has advanced sub­ stantially, increases in consumer expenditures have not kept pace with gains in income, and the rate of consumer saving has again risen to very high levels. The moderation in consumer spending has been concentrated in durable goods, although sales of automobiles rose appreciably in June and July. Outlays for nondurable goods have expanded somewhat more than in the previous year, and spending for services has continued to increase quite rapidly. But when put in real terms by adjustment for price increases, total personal consumption expenditures have increased little since the sum­ mer of 1969. One factor limiting the rise in expenditures probably was the special form of part of the second-quarter gain in income: lump­ sum payments of retroactive social security and Federal Govern­ ment pay increases that were made during the spring of 1970. Sudden increases in income, especially when of a nonrecurring nature, frequently lead to temporarily higher rates of saving. Other factors also may have contributed to restraint in spend­ ing this year. Employment gains weakened toward the end of 1969, and this past spring there was an actual reduction in the number of nonfarm jobs. Job cuts have been substantial in the aerospace and some other industries, and overtime hours have been scaled back in most major industries. The unemployment rate increased from 3.5 per cent in December to 5.0 per cent in May before declining in June to 4.7 per cent. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

556 FEDERAL RESERVE BULLETIN □ JULY 1970 1 Increases in DISPOSABLE INCOME exceed the gains in CONSUMPTION EXPENDITURES this year CHANGE, BILLIONS OF DOLLARS CHANGE, BILLIONS OF DOLLARS PERSONAL INCOME DISPOSABLE INCOME CONSUMPTION EXPENDITURES 20 20 ’68 1969 ’70 1969 ’70 ’68 1969 ’70 Current-dollar change from preceding quarter derived from annual rates. Latest figures, change from Ql 1970 to Q2 1970. Dept, of Commerce quarterly data at seasonally adjusted Concern about possible difficulty in meeting higher future living expenses, engendered by price rises, may also have con­ tributed to consumers’ reluctance to undertake the large new debt obligations that are frequently incurred in the purchase of major durable goods. The rate of price increase in the first half of 1970 — 6.0 per cent—was about unchanged from the second half of 1969. Moreover, the rise in consumer prices has more than offset the modest increase in average weekly earnings of produc­ tion workers in the private nonfarm sector of the economy. As a result, real spendable earnings of this group have declined since last summer and are no higher than they were in 1965. The sharp decline in common stock prices this spring has probably also dampened consumer spending as well as altered portfolio decisions to some degree. INCOME AND In current dollars, personal income rose to a seasonally ad- CONSUMPTION GAINS justed annual rate of more than $800 billion in the second quar­ ter of 1970, up $60 billion or 8.2 per cent from the correspond­ ing period a year earlier. However, the growth had been tapering off until recent months, when special factors bolstered income. After increases that averaged $16 billion per quarter throughout 1968 and the first three quarters of last year, the gain in income declined to $12.4 billion in the fourth quarter of 1969 and eased further to $11.8 billion in the initial quarter of this year. The slowing was especially pronounced in private wage and salary payments. Average hourly earnings have continued to rise at a rapid rate, but these increases were offset by cutbacks in the Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

CONSUMER MARKETS IN MID-1970 557 length of the average workweek and by reduced employment in manufacturing industries and in construction. Special factors prevented a further slowing in income growth in the second quarter of this year. Social security benefits were boosted by Congress this spring, and a large lump-sum payment was made in April to cover the portion of the increase that was retroactive to January 1. Federal civilian and military employees also received salary increases this spring that were retroactive to the beginning of the year. The retroactive portions of these raises were distributed in April and May. Disposable income. Disposable income has been bolstered this year not only by these special payments—in part nontaxable— but also by changes in the tax structure. A $14.7 billion advance in disposable income during the first quarter exceeded the over­ all increase in personal income because the income tax surcharge was reduced from 10 per cent to 5 per cent at the beginning of 1970. In the third quarter of this year disposable income will be augmented further, relative to before-tax personal income, by the expiration of the remaining surcharge at midyear and by reduced withholdings of taxes as a result of an increase in the personal exemption allowance to a full-year rate of $625 from $600. Consumers have refrained from spending a substantial part of the recent gains in income. In the first quarter of this year the increase in personal consumption expenditures amounted to only 70 per cent of the increase in disposable personal income; in the second quarter this ratio declined even further—to 60 per cent. This is in marked contrast to 1968 and the first half of 1969 when quarterly increases in consumer spending exceeded the gains in disposable income. Consumer goods. The slackening of the rise in consumption since mid-1969 has been centered in durable goods. Total ex­ penditures for such goods during the latter half of 1969 and the first quarter of this year dipped to an average seasonally ad­ justed annual rate of about $90 billion per quarter. In the second quarter they were still running at a rate of less than $92 billion, little higher than a year earlier. The limited rise in dollar volume reflects to a considerable extent a change in patterns of newcar purchases—consumers have been buying fewer new cars until recently, and a larger proportion of their purchases have been smaller and less expensive models, both foreign and domestic. During the second half of 1968 and through the third quarter Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

558 FEDERAL RESERVE BULLETIN □ JULY 1970 of 1969, the seasonally adjusted annual rate of dealer sales of new domestic-type cars ranged between 8.4 million units and 9.0 million units per quarter. Such sales declined to an 8.1 mil­ lion rate in the closing quarter of 1969 and then slid to less than 7.4 million units last winter. There has been considerable im­ provement recently; sales rebounded in June to the highest level in 9 months and continued strong in early July. The better performance may be related in part to sales contests and to heavy promotional activity on the part of manufacturers and dealers. Increases in CONSUMPTION EXPENDITURES reflect rising prices; REAL VOLUME, especially for goods, little changed BILLIONS OF DOLLARS BILLIONS OF DOLLARS DURABLE GOODS 90 90 70 70 1968 1969 1970 Dept, of Commerce quarterly data at seasonally adjusted annual rates. Latest figures, Q2 1970. Sales of nonautomotive consumer durable goods, on the other hand, have improved this year after leveling off in the second half of 1969. Much of the increase in these sales in both quarters was in furniture and household equipment—despite sharply lower housing completions and purchases. The quarterly pattern of change in consumer purchases of nondurable goods has differed considerably from that for dur­ able goods since mid-1969. While total purchases for durable goods have increased little on balance, expenditures for non­ durable goods have continued to increase. The increase for nondurables in the first quarter of 1970 was the largest for any quarter in 2 years. But this momentum was not sustained. The rise of $3.3 billion during the second quarter was smaller than the average quarterly increase in 1969. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

CONSUMER MARKETS IN MID-1970 559 Services. The long-term trend toward a service-oriented econ­ omy in the United States has continued. Throughout 1968 and 1969 consumer outlays for services rose quite steadily at a rate of about $5 billion per quarter. During the first half of 1970 in­ creases in expenditures for services continued to be widespread and sizable, averaging $5.2 billion quarterly, about the same rate of growth as in 1969. LITTLE GROWTH Gains in purchasing power resulting from higher aggregate IN REAL CONSUMPTION consumer income have been partially offset by continued in­ creases in consumer prices. The consumer price index has risen at a seasonally adjusted annual rate of 6.0 per cent during most of the period since mid-1969, but the rate was somewhat slower from March to June of this year. Increases in prices of consumer services have continued to outstrip those for commodities by a substantial margin. The in­ dex for services as a whole rose at an annual rate of 9.2 per cent in the first 6 months of 1970 after increasing at a 7.0 per cent rate in last year’s June-December period. While sizable increases have occurred in virtually all components of the service total this year, some areas of the index that had had large rises earlier —mortgage rates, for example—have seen a deceleration of the rise in very recent months. The consumer price index indicates that prices of consumer goods also increased markedly in the first 6 months of 1970— with durable goods up 5.5 per cent at a seasonally adjusted annual rate and nondurable goods other than food up 3.5 per cent. The rate of increase for durable goods was a little faster than in the preceding 6 months, but the advance for nondurable goods moderated slightly. Improved supplies of a number of basic food items have been a key factor in holding the increase in food prices to a 3.3 per cent rate so far this year, as compared with an 8.0 per cent rate from June to December 1969. With consumer prices continuing to move up, real personal consumption expenditures have shown little increase; over the period from the second quarter of 1969 to the second quarter of 1970, the growth was only 2.2 per cent. Both durable and nondurable goods were about level after the first quarter of 1969 through the year-end. So far this year, however, there has been a moderate increase in real purchases, with the first-quarter rise centered in nondurable goods and the second-quarter advance Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

560 FEDERAL RESERVE BULLETIN □ JULY 1970 mainly in durable goods. Consumer purchases of services, in real terms, rose an average of 1 per cent in each quarter of 1969 but only 0.6 per cent, on the average, in the first two quarters of this year. SHARP INCREASE IN A sizable portion of the special lump-sum payments that bol­ CONSUMER SAVING stered personal income in the second quarter of 1970 apparently flowed initially into saving, as the rate of personal saving for that quarter rose sharply to 7.6 per cent. This is about one per­ centage point above the rate in the latter half of 1969 and the first quarter of 1970 and almost 2 percentage points above the rate in the first half of 1969. With the sizable dollar increases in disposable income, personal saving in the second quarter of this year, at a seasonally adjusted annual rate of more than $52 billion, was up about $10 billion from the level in the first half of 1968 before the surtax was enacted. 3 | PERSONAL SAVING is up sharply this year. BILLIONS OF DOLLARS RATE OF SAVING highest since mid-’68 PER CENT Dept, of Commerce quarterly data at seasonally adjusted annual rates. Latest figures, Q2 1970. Rate of saving is the ratio of personal saving to disposable personal income. Net financial saving. Net saving by consumers in financial form —net acquisitions of financial assets less net borrowing—had declined to a seasonally adjusted annual rate of $13.5 billion in the first half of 1969, when the saving rate was 5.6 per cent. With Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

CONSUMER MARKETS IN MID-1970 561 the increase in the rate of saving by consumers since then, net financial saving rebounded to a rate of $27 billion in the second half of last year and then rose further in the first quarter of 1970 to a $30.5 billion rate. NEW CARS: Sales improve; number financed, average contract, and credit extensions continue at lower levels in '70 DEALER SALES AVERAGE CONTRACT INSTALMENT CREDIT EXTENSIONS NUMBER FINANCED Seasonally adjusted monthly data. The substantial rise in net financial investment has reflected both an increase in the rate of additions to financial assets by consumers and a reduction in the rate of increase in consumer liabilities. During the second half of 1969 the increase in finan­ cial assets reflected a marked rise in holdings of credit market instruments, especially U.S. Government securities, which more than offset a modest decline in the rate of accumulation of de­ mand deposits and savings accounts at commercial banks and savings institutions. In 1970 another shift in pattern appears to be taking place: The flow of consumer funds into deposits at commercial banks has been increasing, and nonbank thrift insti­ tutions such as savings and loan associations have had consider­ able growth in their deposits; meanwhile, consumer net invest­ ment in Government issues has tapered off somewhat. There has also been a slowing of the rate of rise in consumer liabilities since mid-1969. The increase in home mortgage debt, which was a little less in the second half of 1969 than in the first half, has receded somewhat further so far this year. And the rate of increase in consumer credit outstanding has declined sharply in 1970. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

562 FEDERAL RESERVE BULLETIN □ JULY 1970 Consumer credit. After increasing at an annual rate of $9.0 billion in the first half of 1969, the growth in instalment credit outstanding tapered off to a rate of about $4.0 billion in both the first and second quarters of 1970. Growth in auto credit ceased last winter, and the increase in personal loans was considerably less than in other recent periods; other consumer goods credit turned in a relatively strong performance, however—in line with the improvement in consumer spending for furniture and house­ hold equipment and the more widespread use of bank credit cards. The changed pattern of the increases in instalment debt fol­ lows from changes in extensions and repayments of such credit. Extensions peaked at a seasonally adjusted annual rate of nearly $105 billion in the spring of 1969 and then moved steadily lower through the first quarter of 1970. They are estimated to have risen somewhat in the second quarter. The bulk of the decline occurred in auto credit, reflecting fewer unit sales of both new and used cars and a decline in the size of the average new-car contract as well as a leveling off in the average for used car contracts, as shown in Chart 4. Not only did sales decline, but Extensions of INSTALMENT CREDIT increase after earlier decline . . . BILLIONS OF DOLLARS, ANNUAL RATES 110 For OUTSTANDINGS, growth levels Seasonally adjusted quarterly data at annual rates. Latest figures, estimated Q2 1970. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

CONSUMER MARKETS IN MID-1970 563 in addition there was an easing in the amount of auto credit extended relative to sales. The ratio of extensions of consumer credit to the disposable personal income of consumers dropped from 16.7 per cent in the latter half of 1968 to 15.4 per cent in the first quarter of this year. Repayments on outstanding instalment credit have continued to rise— but not as a proportion of disposable income — and delinquencies have remained generally modest. Thus the present moderation in industrial activity does not appear to have impaired materially the ability of most consumers to handle their existing debt burden. In the first quarter of 1970, repayments of outstanding credit consumed 14.8 per cent of disposable personal income, a slightly smaller proportion than in 1969 and about the same as the 1966-68 average. □ Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Member Bank Income, 1969 Growth of member bank earnings in 1969 571 and 572 and a discussion of the bases of reflected the effects of strong demands for the estimates appears in the notes to Table 1. credit in a period of increased monetary re­ SUMMARY straint. Constraints on the supply of loanable As in other recent years, most of the rise in funds relative to demand led to much higher gross operating revenue of member banks interest rates during the year. These higher in 1969 was attributable to income from rates contributed to a rapid rise not only in loans. Such receipts increased half again as the average yield on earning assets but also much in 1969 as in 1968 and accounted for in the average cost of deposits and non­ more than seven-tenths of all operating in­ deposit sources of funds. However, the dol­ come—compared with about two-thirds in lar rise in revenues exceeded that in ex­ 1968. While some of this growth reflected a penses, and net income of member banks further expansion in volume of loans out­ rose to a level exceeding that in any previ­ standing, most of it was attributable to the ous year. highest average rate of return on loans in Accurate comparisons between earnings more than 40 years. Interest income on data for 1969 and those for earlier years are securities rose only moderately, with the not possible because of extensive changes in increase in the average yield that accom­ the method of reporting bank earnings that panied the general rise in market rates being were introduced by supervisory authorities in partially offset by a small decline in average 1969. To provide a basis for analysis of holdings from 1968 to 1969. earnings trends, it has been necessary to re­ Operating costs rose at about the same construct the earnings data for 1968 so as rate as revenue; nearly all types registered to correspond as closely as possible with the some increase. Interest paid on time and 1969 reporting format. For most items of savings deposits, the largest single compo­ operating income and expenses, the statistics nent of expenses, increased more slowly can be made roughly comparable. In a few than in the preceding year. Reflecting in cases, however, the corresponding 1968 part the run-off of large denomination cer­ items had to be either estimated or omitted. tificates of deposit, average holdings of time Moreover, in using the 1968 figures readers and savings deposits showed the smallest should note that it was not possible to adjust growth of any recent year. However, the them for inclusion of earnings from domestic average rate of interest paid on these de­ subsidiaries or for changes in accounting posits rose more rapidly than in the preced­ methods. However, these factors probably ing year. had a relatively minor effect on earnings in The reduced growth in time and savings 1969. deposits in 1969 forced banks to turn to A description of the changes in reporting other, and more costly, sources for loanable procedures is given in the appendix on pp. funds. One of these was increased borrowing —directly from the Federal. Reserve Banks, Note.—This article was prepared by Caroline H. from other banks in the form of Federal Cagle of the Board’s Division of Research and Statistics. funds purchased, and in Euro-dollar deposits 564 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MEMBER BANK INCOME, 1969 565 acquired from the bank’s own foreign in 1969. Although only a small part of total branches or from other sources. As a result, expenses, this item was three times the 1968 interest on borrowed money showed the figure, and it accounted for about one-third highest rate of increase of any expense item of the total increase in expenses. TABLE 1 CONSOLIDATED REPORT OF INCOME FOR 1969 FOR ALL MEMBER BANKS AND RESTATEMENT OF DATA REPORTED FOR 1968 TO 1969 CONCEPT 1969 1968'(Restated Change, 1968-69 & partly estimated) Item In Per cent In Per cent In millions of total millions of total millions Per cent of operating of operating of dollars dollars income dollars Operating income—Total........................................................................... 24,992 100.0 20,819 100.0 4,173 20.0 Loans: Interest and fees................................................................................. 17,105 68.4 Other income on Federal funds sold & securities purchased under 14,143 67.9 3,611 25.5 resale agreement............................................................................. 649 2.6 Securities: Including trading-account income—total........................................ (4,400) (17.6) (4,137) (19.9) (263) (6.4) Excluding trading-account income—total....................................... 4,263 U.S. Treasury securities................................................................. 2,041 8.2 *2,208 10.6 -167 -7.6 U.S. Govt. agencies*& corporations.............................................. 322 1.3 States & political subdivisions....................................................... 1,794 7.2 *1,929 9.3 293 15.2 Other securities............................................................................... 106 .4 Trust department income................................................................... 972 3.9 880 4.2 92 10.5 Service charges on deposit accounts................................................. 835 3.3 803 3.9 32 4.0 Other charges, fees, etc....................................................................... 557 2.2 371 1.8 186 50.1 Other operating income:................................................................... On trading account (net)............................................................ 137 .5 137 Other.............................................................................................. 473 1.9 486 2.3 -13 -2.7 Operating expenses—Total......................................................................... 19,525 78.1 16,189 77.8 3,336 20.6 Salaries and wage of officers & employees............................................ 4,690 18.8 4,097 19.7 593 14.5 Officer and employee[benefits................................................................. 749 3.0 633 3.0 116 18.3 Interest on— Time & savings deposits..................................................................... 7,884 31.5 7,108 34.1 776 10.9 O Fe th d e er r a b l o fu rr n o d w s e p d u r m ch o a n s e e y d . . & ... . s . e .. c .. s . , . s . o .. l . d .. . u .. n .. d .. e .. r .. . r . e .. p .. u .. r . c .. h .. a .. s .. e .. . a .. g .. r . e .. e .. m ... e .. n .. t .. s . . . , 1,1 4 7 1 7 8 4 1 . . 7 7 1 510 2.4 1,085 212.7 Capital notes and debentures.............................................................. 89 .4 195 .5 -6 -6.3 Net occupancy expense............................................................................ 867 3.5 783 3.8 84 10.7 Furniture, equipment, etc........................................................................ 615 2.5 506 2.4 109 21.5 Provision for loan losses........................................................................ 381 1.5 *343 1.6 «38 11.1 Other operating expenses......................................................................... 2,655 10.6 2,114 10.2 541 25.6 Income before income taxes & securities gains or losses......................... 5,467 21.9 4,630 22.2 837 18.1 Applicable income taxes............................................................................. 1,813 7.3 •1,479 7.1 034 22.6 Income before securities gains & losses................................................... 3,654 14.6 3,151 15.1 503 16.0 Net securities gains (+) or losses (—) aftertax....................................... -209 -.8 e—189 -.9 *20 10.6 Extraordinary charges (—) or credits (+) after taxes............................... (2) n.a. n.a. 5 Less minority interest in consolidated subsidiaries................................... (2) n.a. n.a. Net income................................................................................................... 3,450' 13.8 2,962 14.2 488 16.5 Cash dividends declared 4........................................................................... 1,523 1 1,299 224 17.2 n.a. Not available but not likely to be large enough to affect results This was one of the methods which banks were instructed to significantly. use and the one which appears to have been used by a major­ ity of the banks. 1 Partly estimated. In 1968 banks reported as a single item interest (b) Income taxes applicable to operating earnings were estimated on capital notes and debentures and dividends on preferred stock. A by adding to the 1968 income taxes as reported the tax effects breakdown of these items was estimated by assuming that the average of (1) transfers to reserve for bad debt losses on loans (set up rate of interest or dividends paid on these securities would be about in accordance with Internal Revenue Service requirements the same in 1968 as in 1969 and relating these rates to average 1968 and increases in which are a deduction from income subject outstandings of these securities. (A part of the amount of interest on to Federal income taxes) and (2) net losses on securities sold. capital notes and debentures—about $6 million—is believed to have In estimating the tax effect of these two items it was assumed been reported in 1968 in “other interest on borrowed money” and that the effect would represent the same percentage of the an adjustment of this amount has been made in the reported figure before-tax figures in 1968 as in 1969. for “interest on borrowed money.”) * Includes income from trading accounts shown in other 2 Less than . 05 per cent. operating income in 1969. 3 Less than $500,000. 4 On common and preferred stock. Note.—Figures for 1969 exclude one trust company without deposits and one national bank located outside the continental United * The following items were not reported in 1968 but were estimated States. Data for 1968 were not adjusted to exclude these banks be­ (or partly estimated) as follows: cause the combined figures for them were a relatively small part of the (a) Provision for loan losses. This was derived by computing total and because of the possibility of disclosure of data for individual from reported figures the average ratio of actual net losses on banks. The effect of this is to understate the changes from 1968 to 1969 loans to gross loans outstanding for the 5 years 1964-68 and shown in the last two columns of the table. Figures may not add to relating this ratio to average gross loans outstanding in 1968. totals because of rounding. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

566 FEDERAL RESERVE BULLETIN □ JULY 1970 Most of the remaining growth in 1969 rate of return on loans augmented by some operating costs came from higher salaries, further growth in average loans outstanding. wages, and employee benefits. These also During the year, the prime rate on loans to expanded at a more rapid pace than in 1968. businesses was increased three times—from Applicable income taxes were about one- a low of 6% per cent at the beginning of the third of operating income before taxes in year to 8V2 per cent in early June. Upward 1969, and net losses on sale of securities adjustments in rates on other loans also were (after taxes) were about 4 per cent of such quite general. The yield on average loans income. Income taxes on current earnings outstanding was 7.56 per cent—90 basis and losses on securities were both higher in points above the figure for 1968 (Table 2). 1969 than in the preceding year. The average volume of loans outstanding Cash dividends declared in 1969 rose by about $23 billion, or 11 per cent, amounted to $1,523 million—substantially (Table 3) compared with an increase of above the preceding year. The ratio of about 9 per cent in 1968. dividends to capital accounts rose from 4.5 Banks earned $4,263 million in interest to 4.9 per cent. on securities held in investment account and Net income (after securities losses, extra­ $137 million on those in trading account in ordinary charges or credits, and all taxes) 1969. Although the increase was relatively of $3,450 million was just over 10 per cent small—$263 million—such earnings ac­ of equity capital plus all reserves. As a per­ counted for 18 per cent of total operating centage of total capital accounts—one of the revenue. This moderate growth reflected an standard bases for comparing net income in increase in yield offset by a small reduction earlier years—it was 11 per cent, higher than in average holdings. To obtain funds for in any previous year.1 making loans under conditions of con­ stricted deposit inflows—or in many cases OPERATING REVENUE actual attrition in deposits—banks reduced Total operating revenue of member banks their portfolios of securities, particularly increased to a new high of nearly $25.0 billion in 1969— $4.2 billion, or 20.0 per TABLE 2 cent, greater than in 1968 (Table 1). This SELECTED MEMBER BANK INCOME RATIOS compares with an increase of 16.6 per cent In per cent in 1968. Income from loans amounted to Ratio 19681 1969 $17.7 billion, about one-fourth more than in Ratios to equity capital (including reserves): 1968. This represented nearly nine-tenths Income before securities gains & losses... 10.04 10.70 Net income........................................................... 9.43 10.10 of the total increase in operating revenue. Cash dividends declared2................................ 4.14 4.46 Receipts from loans have increased marked­ Rates of return on— Loans gross......................................................... 6.66 7.56 ly as a source of operating income in the last U.S. Treasury securities 3................................. 4.79 4.89 U.S. Govt, agencies and corporations3----- 5.64] State and local government obligations 3. . | 3.67 3.81 4.07 quarter of a century. At the end of World Other securities 3................................................. 5.58 War II such earnings accounted for about Interest on time deposits to total time deposits 4.56 4.98 one-fourth of the total; in 1969 this propor­ 1 Data for 1968 are not entirely comparable with those for 1969 be­ tion was more than seven-tenths. cause of changes in reporting procedures. See appendix on pp. 571 and 572. Ratios for 1968 are based on restated 1968 income figures. The sharp increase in earnings on loans 2 On common and preferred stock. 3 Ratios for 1969 based on bank’s own investment account—ex­ in 1969 reflected mainly the unprecedented cluding trading account. Ratios for 1968 include trading account. Note.—These ratios were computed from aggregate dollar amounts of income and expense items. The capital, deposits, loans, and secu­ xData on capital and reserve accounts in 1969 are rities items on which these ratios were based were averages for three shown in Table 3. call dates for each year. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MEMBER BANK INCOME, 1969 567 U.S. Government securities, average hold­ TABLE 3 CHANGES IN MEMBER BANK AVERAGE LOANS, ings of which were $3.7 billion less in 1969 INVESTMENTS, AND CAPITAL OUTSTANDING IN than in 1968. Income from these securities 1969 declined by $167 million, or 7.6 per cent, Amounts shown in millions of dollars even though the average interest return on Change from Average 1968 average such securities (4.89 per cent) was slightly Item amount, 19691 higher than in 1968.2 Amount Percentage Earnings from all other securities rose by Total loans and investments, $293 million, or 15 per cent, in 1969. 333,322 22,498 7.2 Growth of $3.6 billion in average holdings Loans, gross2............................... 234,920 22,668 10.7 Commercial and industrial. . . 92,428 9,297 11.2 of State and local government securities and Agricultural............................. 6,154 250 4.2 For purchasing and carrying securities............................... 8,906 219 2.5 of $52 million in Federal agency securities To financial institutions.......... 15,449 1,707 12.4 Real estate............................... 52,227 4,197 8.7 was partly offset by a small decline in other Other loans to individuals---- 47,140 4,381 10.2 All other2................................ 12,616 2,618 26.2 investments.3 Reflecting the increases in U.S. Treasury securities3............ 42,368 -3,703 -8.0 money market rates, the average yield on U.S. Govt, agencies and cor­ porations 3................................ 6,033 52 .9 securities other than U.S. Government ob­ States and political subdivisions3. 48,094 3,646 8.2 Other securities 3......................... 1,907 -165 -8.0 ligations rose by 40 basis points to 4.07 per Equity capital4........................... 29,318 2,166 8.0 Total capital accounts 5.............. 31,140 2,049 7.0 cent in 1969. The vast majority of these Reserves on loans and securities.. 4,833 590 13.9 Total equity capital and reserves. 34,151 2,756 8.8 securities are State and local obligations, the income from which is exempt from Federal 1 Averages of figures for three call dates for each year. The 1969 data were reported on a consolidated basis; data on a consolidated income taxes. With income taxes relative to basis were not available for 1968. 2 Includes Federal funds sold and securities purchased under resale taxable earnings averaging roughly 50 per agreement, not shown separately. 3 Includes securities in trading account in 1968 and 1969. cent, the after-tax equivalent yield on State 4 Includes common stock, preferred stock, surplus, undivided prof­ its, and'reserves for contingencies and other capital reserves. and local obligations in 1969 appears to 5 Includes equity capital plus capital notes and debentures. have been about the same as that on loans. Note.—Details may not add to totals because of rounding. Earnings from sources other than loans and investments, which accounted for about and commissions and fees, including income 11 per cent of all operating revenue, ex­ from equipment leasing and from certain panded by 12 per cent in 1969. A sizable types of loan servicing. Other operating part of the increase reflected trust depart­ revenue totaled $610 million. This included ment income, which continued its steady $137 million of net income from trading upward movement to a total of $972 mil­ account, which was classified with interest lion, or nearly 11 per cent more than in on investment securities in 1968. The resid­ 1968. Service charges on deposit accounts ual of other operating income showed a ($835 million) produced only slightly more small decline from 1968 to 1969. But this revenue than in 1968, but other charges item as well as “other charges, fees, etc.” and fees rose by 50 per cent to $557 is not strictly comparable with earlier years million. The latter group includes a wide because of changes in reporting procedures. variety of collection and exchange charges, OPERATING EXPENSES 2 Income from trading accounts securities is not available separately by type of security in 1969; and While operating income of member banks prior to 1969, such income was lumped with income was rising rapidly, so also were operating from investment account. For this reason earnings by costs. Such expenses totaled $19.5 billion, type of security are not wholly comparable in 1968 and 1969. 20.6 per cent more than in 1968. A major 3 The decline in holdings of “other securities” re­ part of the increase represented the larger flects the effects of consolidated reporting in 1969. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

568 FEDERAL RESERVE BULLETIN □ JULY 1970 amount of interest paid on time and savings cable to these borrowings was raised from deposits and on borrowed money. 5V2 to 6 per cent. In addition to funds from Interest on time and savings deposits, the these sources, some of the largest banks largest expense item, amounted to $7.9 bil­ greatly expanded their Euro-dollar borrow­ lion. The increase of $776 million, or 11 ings, and rates paid on these funds were per cent, however, was only three-fourths as substantially above the cost of short-term large as in 1968. Time deposits expanded funds in the domestic market. only $2.1 billion, or 1 per cent on the aver­ Salaries and wages climbed by nearly 15 age in 1969—much less than in other recent per cent to $4,690 million in 1969 and years. An appreciable further growth at accounted for about one-fourth of total smaller banks was offset in good part by a operating expenses. The number of em­ decline at large banks, mainly because of a ployees increased by 7 per cent—slightly substantial reduction in large negotiable more than the expansion in 1968—and aver­ CD’s. The average interest rate paid on all age salaries also rose more rapidly than in time and savings deposits rose 42 basis points the preceding year. Employee benefits of to a new high of 4.98 per cent in 1969, even $749 million, which were 18 per cent above though Regulation 0 ceiling rates remained a year earlier, contributed to the further unchanged after April 1968. This rise re­ increase in employee costs. flected in large part the more persistent In 1969, for the first time, reported figures tendency for offering rates to press against for operating expenses included a minimum ceilings in 1969 than in 1968 as well as a provision for loan losses. This was computed sizable shift of deposits out of regular sav­ as either (1) an allowance for probable ings accounts, on which most banks paid a losses on loans or (2) if the bank preferred, 4 per cent rate, into other time deposits— a figure representing its actual net loan mainly consumer-type, special 90-day-notice losses for the year. The amount of the mini­ accounts—on which most banks paid 5 per mum allowance could be determined by one cent. of several methods prescribed by the bank The largest percentage increase in ex­ supervisory authorities. Larger amounts penses was in interest on borrowed money. than determined by these methods were per­ In this year of heavy loan demand and con­ mitted. The method that a majority of the tinued monetary and credit restraint, mem­ banks appear to have used was an average ber banks made increased use of borrowed of the ratio of actual net loan losses to aver­ funds. The interest paid on these borrow­ age loans outstanding for a 5-year period ings rose to nearly $1.6 billion—three times (including the current year), which the the amount in 1968. Nearly three-fourths of banks then applied to average loans out­ this total represented interest on Federal standing in the current year. The reported funds purchased and on securities sold under provision of $381 million for loan losses in repurchase agreements. The increase in this 1969 was 11 per cent above the estimated expense reflected both a much higher aver­ figure computed in this manner for 1968. age level of such borrowing than in 1968 Actual net losses on loans in 1969—de­ and much higher rates paid; the average rived from the data reported by banks— cost in 1969 was 8.22 per cent compared amounted to about $380 million. This is the with 5.66 per cent in 1968. Member bank sum of (1) net losses charged to reserves for borrowings from Federal Reserve Banks also losses on loans (that is, losses charged less rose, and in April the discount rate appli­ recoveries credited to these reserves) for Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MEMBER BANK INCOME, 1969 569 banks reporting on a reserve-accounting 9 per cent, and recoveries declined at about method and (2) for all other banks the the same rate. amount reported as an expense item, de­ “Other” operating expenses of $2,655 scribed above. The 1969 figure was $58 mil­ million were one-fourth greater than in lion, or 18 per cent, greater than in 1968 1969. Because of changes in reporting, this and was larger than in any other recent year. item may not be strictly comparable with Gross losses charged to reserves increased by earlier years. TABLE 4 CONSOLIDATED REPORT OF INCOME FOR 1969 FOR MEMBER BANKS GROUPED BY CLASS In millions of dollars Reserve city All Item member Country banks New York City of City Chicago Other Operating income—Total................................................................................................. 24,992 4,668 1,085 9,332 9,907 Loans: Interest and fees....................................................................................................... 17,105 3,324 765 6,642 6,374 Other income on Federal funds sold & securities purchased under resale agree­ ment ....................................................................................................................... 649 116 30 221 283 Securities: Excluding trading-account income: U.S. Treasury securities....................................................................................... 2,041 247 70 598 1,125 U.S. Govt, agencies & corporations................................................................... 322 16 4 54 248 States & political subdivisions............................................................................. 1,794 258 71 635 830 Other securities..................................................................................................... 106 20 5 39 41 Trust department income........................................................................................ 972 309 71 374 218 Service charges on deposit accounts....................................................................... 835 61 5 313 457 Other charges, fees, etc............................................................................................. 557 83 18 254 202 Other operating income: On trading account (net)...................................................................................... 137 56 27 50 5 473 178 20 152 122 Operating expenses—Total.............................................................................................. 19,525 3,650 849 7,326 7,700 Salaries and wages of officers & employees............................................................... 4,690 794 156 1,762 1,978 Officer and employee benefits...................................................................................... 749 145 30 283 290 Interest on— Time & savings deposits.......................................................................................... 7,884 1,419 381 2,839 3,245 Federal funds purchased & securities sold under repurchase agreements............ 1,177 366 106 592 112 Other borrowed money............................................................................................ 418 126 31 227 35 Capital notes and debentures.................................................................................. 89 29 2 39 19 Net occupancy expense................................................................................................ 867 160 27 311 369 Furniture, equipment, etc............................................................................................. 615 73 19 239 285 Provision for loan losses.............................................................................................. 381 48 13 132 187 Other operating expenses............................................................................................ 2,655 491 83 901 1,179 Income before income taxes & securities"gains or losses.............................................. 5,467 1,018 236 2,005 2,208 Applicable income taxes.................................................................................................. 1,813 390 81 679 663 Income before securities gains & losses.......................................................................... 3,654 628 156 1,326 1,544 Net securities gains (+) or losses (—) after taxes......................................................... -209 -78 -7 -75 -49 Extraordinary charges (—) or credits (+) after taxes................................................... 5 O) 2 2 2 Less minority interest in consolidated subsidiaries....................................................... O) Net income..................................................................................................................... 3,45(0} 551 150 1,252> 1,496 Cash dividends declared.................................................................................................. 1,523 345 70 593 515 i Less than $500,000. Note.—Figures may not add to totals because of rounding. OTHER TRANSACTIONS transactions now consist only of gains or In the new procedures for reporting bank losses on securities sold and certain extra­ earnings and expenses, losses on loans have ordinary charges or credits. been removed from nonoperating transac­ In 1969 net losses on securities sold tions and—as indicated above—a provision amounted to $460 million before the effect for loan losses (or actual net loan losses) has of income taxes—somewhat more than in been included in operating expenses. Other 1968. Because these losses reduce taxable Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

570 FEDERAL RESERVE BULLETIN □ JULY 1970 income from current operations, the after­ ment often used in comparing earnings in tax effect of securities losses was $209 mil­ earlier years—was 11.1 per cent in 1969. lion, or about 6 per cent of income before This was more than in any other year for securities gains or losses. Extraordinary which data are available. The previous high charges and credits were negligible in 1969. — 10.9 per cent in 1945—had reflected earnings that were swollen by war finance. INCOME TAXES It should be noted, however, that the 1969 figure includes the effects of consolidation Provision for income taxes at member banks of earnings of domestic subsidiaries and of amounted to $1,229 million in 1969. Nearly shifts by some banks from cash to accrual 85 per cent of this total represented Federal accounting—for both of which no adjust­ income taxes. Taxes applicable to operating ments could be made. These changes prob­ income totaled $1,813 million—nearly 23 ably had relatively minor effects on earnings per cent above the estimated figure for 1968. in 1969. But large losses on sales of securities and The amount of net income after taxes that tax-deductible transfers from capital to re­ was paid out in 1969 as dividends was serves for losses on loans reduced the tax $1,523 million— 17 per cent more than in total by about $590 million. 1968. This represented dividends of $1,517 NET INCOME AND CASH DIVIDENDS million on common stock and $6.6 million on preferred stock. Such dividends were The $3,450 million of net income after taxes about 44 per cent of net income in both in 1969 was $488 million, or 16.5 per cent, 1969 and 1968. higher than in 1968. This represented a rate The 1969 income figures for member of 10.1 per cent on equity capital plus all banks grouped by class are shown in Table reserves—67 basis points greater than in 4. More detailed statistics of this kind for 1968. banks by Federal Reserve districts are ex­ The ratio of net income to total capital pected to be published in the August 1970 accounts—a measure of stockholders’ invest­ Bulletin. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

MEMBER BANK INCOME, 1969 571 APPENDIX: Major Changes in 1969 in the Reporting of Bank Income and Expenses Type of change Previous reporting procedure Present reporting procedure Use of accrual account­ On either a cash or an accrual basis— Accrual accounting now required for sig­ ing depending upon the bank’s method of nificant accounts for the following banks: bookkeeping. In actual practice most In calendar 1969—for all banks with large banks have been reporting on an total resources of $50 million or more. accrual basis for some years. In calendar 1970—for all banks with total resources of $25 million or more. Consolidated income Income, expenses, and dividends items A line-by-line consolidated income state­ statement for bank—exclusive of subsidiaries. Re­ ment of the bank is required; it must in­ turn on investment in subsidiaries report­ clude income and expenses of its major­ ed as income on securities. ity-owned bank premises subsidaries and its other majority-owned significant do­ mestic subsidiaries in the appropriate items. Treatment of discount Most commonly shown as profit on se­ Accretion of discount on securities pur­ on securities pur­ curities only when securities were sold chased below par or face value in current chased below par or or exchanged—or in some cases sys­ income is encouraged but not required. face value tematically recognized in current income Deferred income taxes applicable to the during period in which security was held. amount accreted are to be provided for in current period. Income tax accounting Income taxes for the year were re­ Beginning in 1969 all banks must bring and reporting ported in one sum on a cash or accrual (accrue) the reported provision for in­ basis. Adjustments for refunds and de­ come taxes to a current basis; that is, the ficiency payments and for all over and provision must relate to income and ex­ under accruals of prior years were in­ pense items reported for the current cluded. Most large banks reported on year. The reported tax figure must be an accrual basis. allocated between amounts applicable to operating income and the tax effect of the net of profit and loss on sales of securities and extraordinary charges or credits. Income on trading-ac- Included in interest and dividends on Included in other operating income net count securities securities. of losses and incidental expenses. Provision for loan losses Included in nonoperating transactions. Included as an operating expense before Banks on a reserve accounting basis were calculation of operating income before permitted to deduct from net operating taxes. As a minimum all banks on a earnings transfers to loan loss reserves loan loss reserve accounting basis must set up to provide for possible loan losses, I report against this item an estimated and banks without such reserves were amount representing a 5-year average permitted to deduct actual net losses and of losses as an amount that might rea­ charge-offs on loans. sonably be expected in the current loan portfolio, or an amount representing actual net loan losses for the current year. Exclusion from net in­ Related to above. Transfers to and from Transfers to and from reserves for loans come of transfers to reserves on loans and on securities—to and securities, in excess of amount in­ and from reserves on provide for prospective but undetermined cluded in the expense item “provision for loans and on securi­ losses—were classed as nonoperating loan losses” referred to above, are shown ties items that increased or decreased net in­ as increases or decreases in capital ac­ come. counts net of tax effect. (The totals are reported—and reconciled—in a separate section relating to reserves on loans and securities.) Gains or losses on secu­ Gross losses and gross profits on se­ Total of net gains or of net losses on rities sold curities sold (before income taxes) re­ securities sold is reported gross (before ported as nonoperating transactions in­ income taxes) and net (after income creasing or decreasing net income but taxes) as separate items before deter­ not affecting operating income. mination of net income. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

572 FEDERAL RESERVE BULLETIN □ JULY 1970 APPENDIX— Continued Type of change Previous reporting procedure Present reporting procedure Extraordinary charges or Extraordinary charges or credits re­ Total net extraordinary charges or credits credits ported separately on a gross basis (be­ are reported gross (before income taxes) fore incomes taxes) as nonoperating and net (after income taxes) as separate transactions. Also included with these items before determination of net in­ were certain miscellaneous but recurring come. Miscellaneous but recurring losses transactions such as losses on bad and recoveries are now reflected in other checks. current operating income or expenses. Income on Federal funds Included in interest and discount on Reported as a separate item of operating sold and securities pur­ loans. income. chased under agree­ ment to resell Service charges and other Shown as a separate item. Reported in interest and fees on loans. fees on bank loans Interest and dividends on— Securities of Govern­ Included for the most part in interest Reported as a separate item. ment agencies and and dividends on “other securities.” corporations (other than U.S. Treas­ ury) Obligations of States Included in interest and dividends on Reported as a separate item. and political sub­ “other securities.” divisions Other securities Included in interest and dividends on Reported as a separate item. Also now “other securities.” excludes dividends from investments in consolidated domestic subsidiaries. Salaries—officers Shown as separate items. Included in salaries and wages of officers Salaries and wages—em­ and employees. ployees Expense of Federal Included with other interest and discount Reported as a separate item under oper­ funds purchased and on borrowed money. ating expenses. securities sold under agreement to repur­ chase Occupancy expense of Included in current operating expenses Reported “net” as an operating expense bank premises and in considerable detail in a separate with gross expense and rental income schedule. shown separately. Also affected by the consolidation of bank premises sub­ sidiaries. Interest on capital notes Included with dividends on preferred Shown separately as an operating ex­ and debentures stocks and shown as a deduction after net pense. income. Recoveries on securities Included in nonoperating item “recov­ Reported in reserve for losses on secu­ previously charged off eries on securities” increasing net income. rities or as “other operating income.” prior to sale or re­ demption Securities charged off Included in nonoperating item “charge- Reported in reserve for losses on securi­ prior to sale or re­ offs on securities” reducing net income. ties or as “other operating expenses.” demption Minority interest in con­ Not reported. Reported separately as a deduction be­ solidated subsidiaries fore determination of net income. Note.—The changes in reporting reflected here are the result of the combined efforts of several groups, including the accounting community, the banking industry, and the bank supervisory agencies. Digitized for FRASER http://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 Com­ mittee at each meeting, in the form in which they will appear in the Board’s Annual Report, are released approximately 90 days following the date of the meeting and are subsequently published in the Federal Reserve Bulletin. The record for each meeting includes the votes on the policy deci­ sions made at the meeting as well as a resume of the basis for the decisions. The summary descriptions of economic and financial condi­ tions 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 meetings held during 1967, 1968, and 1969 were published in the Bulletin beginning with the July 1967 issue and were subsequently published in the Board’s Annual Reports for 1967, 1968, and 1969. The records for the first three meetings held in 1970 were published in the Bulletins for April, pages 333-40; May, pages 436-43; and June, pages 508-16. The record for the meeting held on April 7, 1970, follows: 573 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

574 FEDERAL RESERVE BULLETIN □ JULY 1970 MEETING HELD ON APRIL 7, 1970 1. Authority to effect transactions in System Account. The available information continued to suggest that over-all economic activity had weakened further in the first quarter of 1970 and that prices and costs had continued to rise rapidly. Staff projections of real GNP for the remainder of the year had been revised upward some­ what, chiefly in response to recent fiscal developments. However, it was still expected that growth would be moderate and that the rate of price advance would slow somewhat as the year progressed. Partial data for March suggested that industrial production declined a little further and that retail sales were about unchanged from Feb­ ruary. The unemployment rate increased in March for the third con­ secutive month, to 4.4 per cent. On the other hand, both private hous­ ing starts and new orders received by manufacturers of durable goods turned up in February, the latest month for which data were available. Average wholesale prices of both industrial commodities and farm products and foods rose further from mid-February to mid-March, but the increases were smaller than in the previous month. On a seasonally adjusted basis, the consumer price index advanced in February at about the same rate as during the past year but a little less rapidly than in immediately preceding months. The staff projections, as revised, suggested that real GNP would edge up, rather than decline slightly further, in the second quarter and that expansion would be somewhat faster in the third and fourth quar­ ters than had been thought earlier—although it would still be well below the economy’s growth potential. The major development that led to the revisions in the projections was the announcement, in the wake of the postal strike that occurred in mid-March, of proposed pay increases for postal workers and other Federal civilian and military employees, retroactive to the beginning of the year. It appeared that the planned pay raise would add appreciably to consumer expenditures during the 1970 calendar year and that the new revenue measures concurrently proposed would have little impact before 1971. Also, a sharp decline in total business inventories in January, together with the increase in new orders for durable goods in February, suggested that the inventory adjustment might have been proceeding faster than expected and thus might come to an end sooner. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

RECORD OF POLICY ACTIONS OF FOMC 575 The U.S. foreign trade surplus expanded sharply in February, as a result of a steep rise in exports and some decline in imports. With respect to the over-all balance of payments, tentative estimates for the first quarter suggested that the deficit on the liquidity basis was at a high rate comparable with the 1969 average. It appeared that a very large deficit was incurred in the first quarter on the official settlements basis—following the surpluses of 1969—as a result of large reductions in liabilities of U.S. banks to their foreign branches. In foreign exchange markets, pressures on the Italian lira had mod­ erated substantially in recent weeks. Sterling and the Canadian dollar were in strong demand, and most other major foreign currencies tended to strengthen against the U.S. dollar. On March 19 the U.S. Treasury had auctioned $1.75 billion of taxanticipation bills due in September. The Treasury was expected to an­ nounce in late April the terms on which it would refund securities ma­ turing in mid-May, of which the public held about $5 billion. Yields on long-term securities—which had declined considerably in February—rose during the first part of March under the pressure of an unusually heavy current and prospective volume of new issues, par­ ticularly of corporate bonds. In the latter part of the month, however, long-term yields began moving down again as a result of indications of some relaxation of monetary policy and of the reduction on March 25 in the prime lending rate of banks from 8 Vi to 8 per cent. Short-term interest rates had tended on balance to decline further in recent weeks. For example, the market rate on 3-month Treasury bills, at about 6.40 per cent on the day before this meeting, was approximately 45 basis points below its level 4 weeks earlier. The continued decline in short-term rates enhanced the ability of both banks and nonbank thrift institutions to compete for time and savings funds, although the volume of net inflows to nonbank institu­ tions apparently remained quite moderate in the first part of March. At commercial banks, time and savings deposits expanded considerably on the average from February to March; inflows of consumer-type de­ posits strengthened further, the volume of large-denomination CD’s held by individuals, partnerships, and corporations increased signifi­ cantly for the first time since November 1968, and State and local and foreign official holdings continued to grow rapidly. Private demand deposits and the money stock changed little during Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

576 FEDERAL RESERVE BULLETIN □ JULY 1970 most of March, but in the final week of the month they increased sharply. As in the last week of December, when there also had been a sudden bulge in private demand deposits, the rise appeared to be due in good part to technical factors—on this occasion reflecting the ef­ fects on financial clearings of the 4-day Easter holiday abroad, the postal workers’ strike, and the air traffic controllers’ slowdown. Tenta­ tive estimates indicated that, on the average from February to March, the money stock increased at an annual rate of about 11.5 per cent— bringing the growth rate over the first quarter 1 to a little more than 3 per cent. The bank credit proxy—daily-average member bank deposits—also increased considerably on the average in March. However, banks re­ duced their reliance on funds from nondeposit sources, particularly Euro-dollar borrowings. After adjustment for this development, the proxy series expanded at an annual rate of about 10 per cent from February to March, resulting in a growth rate over the first quarter of about 0.5 per cent. System open market operations since the March 10 meeting had been directed primarily at maintaining money market conditions consistent with the moderate growth rates in money and bank credit desired by the Committee. Somewhat less firm conditions were sought early in the period, when projections for March suggested that growth in the monetary aggregates was falling short of the Committee’s objec­ tives for that month and for the first quarter. Subsequently, however, the projections were revised upward on the basis of additional data, and no further easing of conditions was sought. Since the previous meeting the Federal funds rate had fluctuated mostly in a 7W to 8 per cent range, somewhat below the IV2 to 8V2 per cent range of late February and early March. Member bank borrowings averaged about $900 million in the 4 weeks ending April 1, compared with about $1 billion in the previous 4 weeks. Staff analysis suggested that, over the second quarter, annual growth rates of about 3 per cent in the money stock and 5.5 per cent in the adjusted bank credit proxy might be attained if money market condi­ tions remained about the same as those prevailing recently. The indi­ cated quarterly growth rate for the proxy series allowed for continued 1 Calculated on the basis of the daily-average level in the last month of the quarter relative to that in the last month of the preceding quarter. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

RECORD OF POLICY ACTIONS OF FOMC 577 rapid expansion in time and savings deposits and for a substantial de­ cline in U.S. Government deposits. It appeared likely that in the month of April the proxy series would rise considerably on the average. The money stock was expected to fall rather sharply for a few weeks after its end-of-March bulge before resuming growth, but it was ex­ pected to average moderately higher in April than in the previous month. In the Committee’s discussion some members expressed the view that recent developments had reduced the risk of a cumulative downswing in economic activity but that they had increased the risk of a resur­ gence of inflationary expectations. Others stressed the belief that risks of both types remained significant. In any case, the members agreed that continued moderate growth in money and bank credit over the months ahead—at about the rates indicated in the analysis described above—would be appropriate. It was noted during the discussion that precise achievement of such objectives could not be expected, in part because of the desirability of avoiding excessive fluctuations in money market conditions and in part because of uncertainties regarding future relationships among financial variables. The following current economic policy directive was issued to the Federal Reserve Bank of New York: The information reviewed at this meeting suggests that real eco­ nomic activity weakened further in early 1970, while prices and costs continued to rise at a rapid pace. Fiscal stimulus, of dimensions that are still uncertain, will strengthen income expansion in the near term. Most long-term interest rates backed up during much of March under the pressure of heavy demands for funds, but then turned down in response to indications of some relaxation of monetary policy and to the reduction in the prime lending rate of banks. Short­ term rates declined further on balance in recent weeks, contributing to the ability of banks and other thrift institutions to attract time and savings funds. Both bank credit and the money supply rose on aver­ age in March; over the first quarter as a whole bank credit was about unchanged on balance and the money supply increased somewhat. The U.S. foreign trade surplus increased in February, but the over-all balance of payments appears to have been in considerable deficit during the first quarter. In light of the foregoing developments, it is the policy of the Federal Open Market Committee to foster financial conditions conducive to orderly reduction in the rate of inflation, Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

578 FEDERAL RESERVE BULLETIN □ JULY 1970 while encouraging the resumption of sustainable economic growth and the attainment of reasonable equilibrium in the country’s balance of payments. To implement this policy, the Committee desires to see moderate growth in money and bank credit over the months ahead. System open market operations until the next meeting of the Committee shall be conducted with a view to maintaining money market condi­ tions consistent with that objective, taking account of the forthcom­ ing Treasury financing. Votes for this action: Messrs. Burns, Hayes, Brim­ mer, Daane, Francis, Heflin, Hickman, Maisel, Mitchell, Robertson, Sherrill, and Swan. Votes against this action: None. 2. Amendments to authorization for System foreign currency operations. At this meeting the Committee amended paragraph 1 of the authoriza­ tion for System foreign currency operations in two respects. The limit on System holdings of guaranteed sterling specified in paragraph IB (4) was reduced from $300 million to $200 million, the level that had been in effect prior to the increases of April and May, 1968; and the au­ thority to have outstanding, under special arrangements with the Bank of Italy, up to $500 million of forward commitments in Italian lire, originally approved in November 1965 and contained in paragraph 1C(2), was removed by the deletion of that paragraph. With these changes, and with the renumbering as 1C(2) of the paragraph previ­ ously numbered as 1C(3), paragraph 1 of the authorization read as follows: 1. The Federal Open Market Committee authorizes and directs the Federal Reserve Bank of New York, for System Open Market Account, to the extent necessary to carry out the Committee’s for­ eign currency directive and express authorizations by the Committee pursuant thereto: A. To purchase and sell the following foreign currencies in the form of cable transfers through spot or forward transactions on the open market at home and abroad, including transactions with the U.S. Stabilization Fund established by Section 10 of the Gold Reserve Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

RECORD OF POLICY ACTIONS OF FOMC 579 Act of 1934, with foreign monetary authorities, and with the Bank for International Settlements: Austrian schillings Belgian francs Canadian dollars Danish kroner Pounds sterling French francs German marks Italian lire Japanese yen Mexican pesos Netherlands guilders Norwegian kroner Swedish kronor Swiss francs B. To hold foreign currencies listed in paragraph A above, up to the following limits: (1) Currencies purchased spot, including currencies pur­ chased from the Stabilization Fund, and sold forward to the Stabiliza­ tion Fund, up to $1 billion equivalent; (2) Currencies purchased spot or forward, up to the amounts necessary to fulfill other forward commitments; (3) Additional currencies purchased spot or forward, up to the amount necessary for System operations to exert a market in­ fluence but not exceeding $250 million equivalent; and (4) Sterling purchased on a covered or guaranteed basis in terms of the dollar, under agreement with the Bank of England, up to $200 million equivalent. C. To have outstanding forward commitments undertaken under paragraph A above to deliver foreign currencies, up to the following limits: (1) Commitments to deliver foreign currencies to the Stabil­ ization Fund, up to the limit specified in paragraph IB(1) above; and (2) Other forward commitments to deliver foreign curren­ cies, up to $550 million equivalent. D. To draw foreign currencies and to permit foreign banks to draw dollars under the reciprocal currency arrangements listed in paragraph 2 below, provided that drawings by either party to any such arrangement shall be fully liquidated within 12 months after Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

any amount outstanding at that time was first drawn, unless the Committee, because of exceptional circumstances, specifically au­ thorizes a delay. Votes for these actions: Messrs. Burns, Hayes, Brimmer, Daane, Francis, Heflin, Hickman, Maisel, Mitchell, Robertson, Sherrill, and Swan. Votes against these actions: None. These actions were taken on the recommendation of the Special Manager, who advised that as a result of recent changes in circumstances the need had passed for the enlarged authority to hold guaranteed sterling and for the authority to have forward commitments in lire under special arrangements with the Bank of Italy. 580 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Law Department Statutes, regulations, interpretations, and decisions SUSPENSION OF MAXIMUM RATE OF INTEREST “Reserves of Member Banks”, and section 217.1 (f) ON CERTAIN SINGLE MATURITY TIME DEPOSITS (3) of Regulation Q, “Interest on Deposits”, so as The Board of Governors, effective June 24, 1970, to narrow the category of member bank subordi­ amended the Supplement to Regulation Q, “Interest nated notes that are exempt from member bank on Deposits”, to suspend the maximum limitations reserve requirements and interest rate limitations. heretofore prescribed on the rate of interest that The amendments are designed to distinguish clearly member banks may pay on single maturity deposits between deposit-type funds and capital-type funds. of $100,000 or more that mature 30 days or more The text of the amendments reads as follows: but less than 90 days after the date of deposit. Prior to the amendment, such deposits maturing in 30 to AMENDMENTS TO REGULATIONS 59 days were subject to a maximum limitation of D AND Q 6V4 per cent, and those maturing in 60 to 89 days Effective June 30, 1970, section 204.1(f)(3) of to a maximum limitation of 6V2 per cent. The text Regulation D and section 217.1(f)(3) of Regula­ of the amendment to the Supplement reads as tion Q are amended to read as follows: follows: SECTION 204.1 <,_DEFiNITIONS SUPPLEMENT TO REGULATION Q SECTION 217.1 Effective June 24, 1970, subparagraph (a) (1) of § 217.7 (Supplement to Regulation Q) is amended (f) Deposits as including certain promissory to read as follows: notes and other obligations. For the purposes of this Part, the term “deposits” also includes a SECTION 217.7—MAXIMUM RATES OF member bank’s liability on any promissory note, INTEREST PAYABLE BY MEMBER BANKS acknowledgment of advance, due bill, or similar ON TIME AND SAVINGS DEPOSITS obligation (written or oral) that is issued or undertaken by a member bank principally as a means of obtaining funds to be used in its banking (a) Single maturity time deposits. business, except any such obligation that: (1) Deposits of $100,000 or more. No member * * * * * bank shall pay interest on any single maturity time deposit of $100,000 or more at a rate in (3)(i) bears on its face, in bold-face type, the excess of the applicable rate under the following following: schedule: “This obligation is not a deposit and is not Maturity Maximum per cent insured by the Federal Deposit Insurance Corporation”; 30-89 days No maximum presently states expressly that it is subordinated to the claims prescribed of depositors and ineligible as collateral for a loan 90-179 days 6Y4 by the issuing bank; is unsecured; has an original 180 days or more but less maturity of 7 years or more; is in an amount of at than 1 year 1 least $500; and has been approved by the Comptrol­ 1 year or more IV2 ler of the Currency, in the case of a national bank, or by the Board of Governors, in the case of a State member bank, as an addition to the bank’s capital structure; or (ii) meets all of the requirements in SUBORDINATED OBLIGATIONS AS DEPOSITS the preceding clause except maturity and with re­ The Board of Governors, effective June 30, 1970, spect to which the Comptroller, in the case of a amended section 204.1(f)(3) of Regulation D, national bank, or the Board, in the case of a State 581 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

582 FEDERAL RESERVE BULLETIN □ JULY 1970 member bank, has determined that exigent circum­ Reserve Banks. The text of the amendment reads stances require the issuance of such obligation with­ as follows: out regard to the provisions of this Part; or (iii) was issued or publicly offered before June 30, 1970, AMENDMENT with an original maturity of more than 2 years; or Effective July 7, 1970, section 265.1a is amended by changing paragraph (b) to read as follows: sj; sj: 5js si« SECTION 265.1a—SPECIFIC FUNCTIONS TRUTH IN LENDING DELEGATED TO BOARD MEMBERS The Board of Governors has amended Supple­ sj! Sic * jjS 5|e ment III to Regulation Z, “Truth in Lending”, effec­ (b) The Committee on Organization, Compen­ tive July 1, 1970, to exempt certain credit trans­ sation, and Building Plans, consisting of three mem­ actions in the State of Massachusetts from the re­ bers of the Board designated by the Chairman, is quirements of Chapter 2 of the Truth in Lending authorized, pursuant to the twenty-second para­ Act (15 U.S.C. 160Iff). The text of the amendment graph of section 4 of the Federal Reserve Act (12 reads as follows: U.S.C. 307) and subject to such general guidelines Effective July 1, 1970, Supplement III to Regula­ as may be prescribed by the Board: tion Z (§ 226.12—Supplement) is amended by add­ (1) To approve (i) changes in the salary struc­ ing paragraph (d) as follows: ture for officers, other than the President and First Vice President, of each Federal Reserve Bank and SUPPLEMENT III TO REGULATION Z branch thereof, and (ii) the salary of any officer of a Federal Reserve Bank holding a position below SECTION 226.12—SUPPLEMENT that of Senior Vice President, subject, however, to State exemptions granted pursuant to § 226.12 approval of such salaries by the Board in connection with year-end salary reviews and subject to guide sj: >!: >(: :J« sjc lines approved by the Board under which each Re­ (d) Massachusetts. Except as provided in serve Bank makes salary recommendations. § 226.12(c), the following classes of credit trans­ (2) To approve (i) changes in maximum and actions within the State of Massachusetts except minimum salaries for the respective grades of the for those transactions in which a federally chartered salary structure for nonofficial employees of each institution is a creditor are hereby granted an exemp­ Federal Reserve Bank and branch thereof, (ii) an tion from the requirements of Chapter 2 of the increase in the special maximum salary for Grade Truth in Lending Act effective July 1, 1970: 16 of such salary structure for each Reserve Bank or branch, and (iii) the payment of salary to any (1) Transactions under open end consumer such employee in excess of the maximum or below credit plans which are subject to the requirements the minimum for the grade in which the employee’s of section 127 of the Truth in Lending Act; position is classified. (2) Consumer credit sales transactions not under (3) To approve (i) amendments to the authori­ open end credit plans which are subject to the re­ zation from the Board of Governors to the Federal quirements of section 128 of the Act; Reserve Banks for the payment of separation allow­ (3) Consumer loan transactions not under open ances upon the involuntary termination of employ­ end credit plans which are subject to the require­ ment of any officer or employee of a Federal ments of section 129 of the Act. Reserve Bank or branch, and (ii) payment of such a separation allowance to any officer of a Reserve RULES REGARDING DELEGATION OF AUTHORITY Bank or branch. The Board of Governors, effective July 7, 1970, (4) To approve the payment of salary to any amended its Rules Regarding Delegation of Au­ officer (other than the President or First Vice Presi­ thority to provide a more expeditious means for dent) or employee of a Federal Reserve Bank whose performance of certain of its functions relating to services are retained for more than 90 days after salaries, separation allowances, and health insur­ attainment of normal retirement age. ance benefits of officers and employees of Federal (5) To approve amendments to the Guidelines Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 583 and Objectives for Health Insurance prescribed by Banking and Trust Company would become the Board of Governors for officers and employees branches of the resulting bank. Notice of the pro­ of Federal Reserve Banks and their branches. In the posed merger, in form approved by the Board, has exercise of any authority delegated under this para­ been published pursuant to said Act. graph (b), the Committee shall be guided by the Upon consideration of all relevant material in the objectives of promoting the efficiency of Reserve light of the factors set forth in said Act, including Bank operations and of maintaining the morale of reports received pursuant to the Act on the com­ Reserve Bank personnel and shall give appropriate petitive factors involved in the proposed merger, attention to salary levels and employment practices It is hereby ordered, for the reasons set forth in the relevant community but with due regard to in the Board’s Statement1 of this date concerning the public character of the Federal Reserve System. the application of Mercantile Bankshares Corpora­ tion to become a bank holding company (of which ORDER UNDER BANK MERGER ACT proposal the present application is an incident), that the said application be and hereby is approved pro­ SEVERN BANK AND TRUST COMPANY vided that the merger shall not be consummated (a) In the matter of the application of Severn Bank before the thirtieth calendar day following the date and Trust Company for approval of merger with of this Order or (b) later than three months after The Annapolis Banking and Trust Company. the date of this Order, unless such period is ex­ tended for good cause by the Board, or by the Fed­ Order Approving Merger of Banks eral Reserve Bank of Richmond pursuant to dele­ gated authority. There has come before the Board of Governors, By order of the Board of Governors, July 7, 1970. pursuant to the Bank Merger Act (12 U.S.C. 1828 (c)), an application by Severn Bank and Trust Voting for this action: Chairman Burns and Gov­ Company, Annapolis, Maryland, which is to be a ernors Robertson, Daane, Maisel, and Sherrill. Voting against this action: Governors Mitchell and Brimmer. State member bank of the Federal Reserve System, for the Board’s prior approval of the merger of that (Signed) Kenneth A. Kenyon, bank and The Annapolis Banking and Trust Com­ Deputy Secretary. pany, Annapolis, Maryland, under the charter of [seal] the former and the name of the latter. As an inci­ dent to the merger, the four offices of The Annapolis 1 See page 596 of this Bulletin. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

584 FEDERAL RESERVE BULLETIN □ JULY 1970 ORDERS UNDER SECTION 3 OF BANK HOLDING by the Federal Reserve Bank of Richmond pursuant COMPANY ACT to delegated authority. By order of the Board of Governors, June 11, THE WACCAMAW CORPORATION, 1970. WHITEVILLE, NORTH CAROLINA Voting for this action: Vice Chairman Robertson In the matter of the application of The Wacca­ and Governors Mitchell, Daane, Maisel, and Sherrill. maw Corporation, Whiteville, North Carolina, for Absent and not voting: Chairman Burns and Gover­ nor Brimmer. approval of action to become a bank holding com­ (Signed) Kenneth A. Kenyon, pany through the acquisition of voting shares of the Deputy Secretary. successor by merger to American Bank and Trust [seal] Company, Monroe, North Carolina. Statement Order Approving Action to Become The Waccamaw Corporation, Whiteville, North a Bank Holding Company Carolina (“Applicant”), has filed with the Board, There has come before the Board of Governors, pursuant to section 3(a)(1) of the Bank Holding pursuant to section 3 (a) (1) of the Bank Holding Company Act of 1956, an application for approval Company Act of 1956 (12 U.S.C. 1842(a)(1)) of action to become a bank holding company and section 222.3(a) of Federal Reserve Regula­ through the acquisition of all of the voting shares tion Y (12 CFR 222.3(a)), an application by The of a new State bank which it proposes to merge Waccamaw Corporation, Whiteville, North Caro­ with American Bank and Trust Company, Monroe, lina, for the Board’s prior approval of action where­ North Carolina (“Bank”). The new State bank has by Applicant would become a bank holding com­ no significance except as a means of acquiring all pany through the acquisition of 100 per cent of the of Bank’s shares; the proposal is therefore treated voting shares of the successor by merger to Amer­ herein as a proposal to acquire 100 per cent of the ican Bank and Trust Company, Monroe, North voting shares of Bank. Applicant presently owns all Carolina. Applicant presently owns all but directors’ but directors’ qualifying shares of Waccamaw Bank qualifying shares of Waccamaw Bank and Trust and Trust Company, Whiteville, North Carolina. Company, Whiteville, North Carolina. Views and recommendation of supervisory au­ As required by section 3(b) of the Act, the thority. As required by section 3(b) of the Act, the Board gave written notice of receipt of the appli­ Board gave written notice of receipt of the appli­ cation to the Commissioner of Banks of the State cation to the Commissioner of Banks of the State of North Carolina and requested his views and rec­ of North Carolina and requested his views and ommendation. The Commissioner recommended recommendation. The Commissioner recommended approval of the application. approval of the proposed transaction. Notice of receipt of the application was pub­ Statutory considerations. Section 3(c) of the lished in the Federal Register on April 11, 1970 Act provides that the Board shall not approve an (35 Federal Register 6024, as corrected by 35 acquisition that would result in a monopoly or Federal Register 6161, April 15, 1970), which would be in furtherance of any combination or provided an opportunity for interested persons to conspiracy to monopolize or to attempt to monop­ submit comments and views with respect to the pro­ olize the business of banking in any part of the posed transaction. A copy of the application was United States. Nor may the Board approve a pro­ forwarded to the United States Department of Jus­ posed acquisition, the effect of which, in any sec­ tice for its consideration. The time for filing com­ tion of the country, may be substantially to lessen ments and views has expired and all those re­ competition, or to tend to create a monopoly, or ceived have been considered by the Board. which in any other manner would be in restraint It is hereby ordered, for the reasons set forth of trade, unless the Board finds that the anticom­ in the Board’s Statement of this date, that said petitive effects of the proposed transaction are application be and hereby is approved, provided clearly outweighed in the public interest by the that the action so approved shall not be consum­ probable effect of the transaction in meeting the mated (a) before the thirtieth calendar day follow­ convenience and needs of the communities to be ing the date of this Order or (b) later than three served. In each case, the Board is required to take months after the date of this Order, unless such into consideration the financial and managerial period is extended for good cause by the Board, or resources and future prospects of the bank holding Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 585 company and the banks concerned, and the con­ United States and would not restrain trade, substan­ venience and needs of the communities to be tially lessen competition, or tend to create a monop­ served. oly in any section of the country. Competitive effect of the proposed transaction. Financial and managerial resources and future Applicant is presently a one-bank holding company prospects. The overall financial and managerial re­ and upon consummation of the proposal would sources and future prospects of Bank and Wacca­ become the first registered bank holding company maw Bank, and, therefore, of Applicant, are gen­ in North Carolina. It acquired its lead bank, Wacca- erally satisfactory. It is probable that Applicant can maw Bank and Trust Company, Whiteville, North more readily raise additional capital, if needed, and Carolina (“Waccamaw Bank”),1 (deposits $81 mil­ would be better able to recruit and retain experi­ lion), in January 1970 and its acquisition of Bank enced middle management than either of the sub­ (deposits $48 million) would give it control of 2.1 sidiaries could in the absence of affiliation with per cent of total State deposits, resulting in its Applicant. ranking ninth among banking organizations in the Considerations relating to the banking factors State. Although concentration of commercial bank thus lend weight for approval of the application. deposits in North Carolina is high, the bulk of this Convenience and needs of the communities in­ concentration is held by the five largest banks, volved. The banking needs of the communities to which control nearly 69 per cent of deposits. Wac­ be served are fairly well provided for by existing camaw Bank presently ranks tenth among the institutions. Considerations relating to the con­ State’s banking organizations, with 1.3 per cent of venience and needs of these communities are con­ deposits. Consummation of the proposal would thus sistent with approval of the application. not result in a significant increase in deposit con­ Summary and conclusion. On the basis of all the centration. relevant facts contained in the record, and in the The nearest offices of Waccamaw Bank and light of the factors set forth in section 3(c) of the Bank are 71 miles apart and neither bank derives Act, it is the Board’s judgment that the proposed significant business from any county served by the transaction would be in the public interest and that other. Waccamaw Bank has offices in eight counties the application should be approved. and it competes principally with banks that are much larger in total deposit size or hold a more MARSHALL & ILSLEY BANK commanding market position. STOCK CORPORATION, Bank has offices in only three counties. In one it MILWAUKEE, WISCONSIN shares the county market almost equally with an­ other bank; in the second it is one of the smallest In the matter of the application of Marshall & of 14 banks with offices in the county; and in the Ilsley Bank Stock Corporation, Milwaukee, Wis­ third, its home county, it holds 65 per cent of the consin, for approval of acquisition of 80 per cent county market, which it shares with two banks or more of the voting shares of Ripon State Bank, controlling 29 and six per cent of the county Ripon, Wisconsin. market. Under North Carolina law Statewide branching Order Approving Acquisition of Bank Stock is permitted. However, in view of the distance by Bank Holding Company separating Bank and Waccamaw Bank and the rela­ tively small size of the two banks, the possibility There has come before the Board of Governors, that potential competition might develop between pursuant to section 3(a)(3) of the Bank Holding them is not believed to carry serious adverse weight Company Act of 1956 (12 U.S.C. 1842 (a)(3)) in considering the application. As has been noted, and section 222.3(a) of Federal Reserve Regula­ no significant existing competition would be elim­ tion Y (12 CFR 222.3(a)), an application by inated by consummation of the proposal. Marshall & Ilsley Bank Stock Corporation, Mil­ On the basis of the foregoing, the Board con­ waukee, Wisconsin (“Applicant”), a registered cludes that consummation of the proposal would bank holding company, for the Board’s prior ap­ not result in a monopoly or be in furtherance of proval of the acquisition of 80 per cent or more of any combination, conspiracy, or attempt to monop­ the voting shares of Ripon State Bank, Ripon, olize the business of banking in any part of the Wisconsin (“Bank”). As required by section 3(b) of the Act, the 1 All banking data are as of June 30, 1969, except for county deposit data, which are as of June 30, 1968. Board gave written notice of receipt of the applica- Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

586 FEDERAL RESERVE BULLETIN □ JULY 1970 tion to the Commissioner of Banking for the State judgment that the proposed transaction would be in of Wisconsin and requested his views and recom­ the public interest, and that the application should mendation. The Commissioner responded that he be approved. had no objection to approval of the application. It is hereby ordered, for the reasons set forth Notice of receipt of the application was pub­ above, that said application be and hereby is ap­ lished in the Federal Register on May 8, 1970 (35 proved, provided that the acquisition so approved, Federal Register 7272), providing an opportunity shall not be consummated (a) before the thirtieth for interested persons to submit comments and calendar day following the date of this Order or views with respect to the proposed transaction. A (b) later than three months after the date of this copy of the application was forwarded to the Order, unless such period is extended for good United States Department of Justice for its con­ cause by the Board, or by the Federal Reserve sideration. The time for filing comments and views Bank of Chicago pursuant to delegated authority. has expired and all those received have been con­ By order of the Board of Governors, June 16, sidered by the Board. 1970. The Board has considered the application in the Voting for this action: Chairman Burns and Gover­ light of the factors set forth in section 3(c) of the nors Robertson, Maisel, and Brimmer. Absent and not Act, including the effect of the proposed acquisition voting: Governors Mitchell, Daane, and Sherrill. on competition, the financial and managerial re­ (Signed) Kenneth A. Kenyon, sources of the Applicant and the banks concerned, Deputy Secretary. and the convenience and needs of the communities [seal] to be served. Upon such consideration, the Board finds that: FIRST WISCONSIN BANKSHARES Applicant, the third largest bank holding com­ CORPORATION, pany and banking organization in Wisconsin, con­ MILWAUKEE, WISCONSIN trols 10 banks with aggregate deposits of ,$510 mil­ lion, representing 6.11 per cent of the State’s total In the matter of the application of First Wiscon­ deposits. (All banking data are as of June 30, sin Bankshares Corporation, Milwaukee, Wisconsin, 1969, adjusted to reflect bank holding company for approval of acquisition of 80 per cent or more formations and acquisitions approved by the Board of the voting shares of First West Towne National to date.) The acquisition of Bank ($11 million Bank of Madison, Madison, Wisconsin, a proposed deposits) would have no significant effect on State­ new bank. wide concentration. Bank, one of two banks with offices in Ripon, operates branches in Brandon and Order Approving Acquisition of Bank Stock Fairwater, and is comparable in size to Ripon’s by Bank Holding Company other bank, exceeding the latter’s deposits by only $300,000. It is the third largest of 10 independent There has come before the Board of Gover­ banks operating within the area it serves, and is nors, pursuant to section 3(a) (3) of the Bank Hold­ ing Company Act of 1956 (12 U.S.C. 1842(a) situated 35 miles from Applicant’s nearest sub­ (3)) and section 222.3(a) of Federal Reserve sidiary banking office. It does not appear that con­ Regulation Y (12 CFR 222.3(a)), an application summation of this proposal would eliminate exist­ by First Wisconsin Bankshares Corporation, Mil­ ing competition or foreclose significant potential waukee, Wisconsin, a registered bank holding com­ competition, or that it would have any unduly ad­ verse effects on other competing banks. pany, for the Board’s prior approval of the acquisi­ tion of 80 per cent or more of the voting shares Based upon the foregoing, the Board concludes of First West Towne National Bank of Madison, that consummation of the proposed acquisition Madison, Wisconsin, a proposed new bank. would not adversely affect competition in any rele­ As required by section 3(b) of the Act, the vant area. The banking factors, as they pertain to Board notified the Comptroller of the Currency of Applicant, its subsidiaries, and Bank, are consistent receipt of the application and requested his views with approval of the application. Considerations and recommendation. The Comptroller recom­ relating to community convenience and needs mended approval of the application. weigh in favor of approval of the application be­ cause of the expanded and improved services that Notice of receipt of the application was pub­ would be made available by Bank. It is the Board’s lished in the Federal Register on December 13, Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 587 1969 (34 Federal Register 19684), which provided to monopolize or to attempt to monopolize the an opportunity for interested persons to submit business of banking in any part of the United comments and views with respect to the proposed States. Nor may the Board approve a proposed transaction. A copy of the application was for­ acquisition, the effect of which, in any section of warded to the United States Department of Justice the country, may be substantially to lessen competi­ for its consideration. The time for filing comments tion, or to tend to create a monopoly, or which in and views has expired and all those received have any other manner would be in restraint of trade, been considered by the Board. unless the Board finds that the anticompetitive ef­ It is hereby ordered, for the reasons set forth fects of the proposed transaction are clearly out­ in the Board’s Statement of this date, that said weighed in the public interest by the probable ef­ application be and hereby is approved, provided fect of the transaction in meeting the convenience that the acquisition so approved shall not be con­ and needs of the communities to be served. In each summated (a) before the thirtieth calendar day fol­ case, the Board is required to take into considera­ lowing the date of this Order or (b) later than three tion the financial and managerial resources and fu­ months after the date of this Order; and that First ture prospects of the bank holding company and the West Towne National Bank of Madison shall be banks concerned, and the convenience and needs opened for business not later than six months after of the communities to be served. the date of this Order. The latter time periods may Competitive effect of proposed transaction. The be extended for good cause by the Board, or by the 10 largest banking organizations in Wisconsin, all of Federal Reserve Bank of Chicago pursuant to dele­ which are bank holding companies, control $3.3 gated authority. billion of deposits, or 39 per cent of the deposits By order of the Board of Governors, June 18, held by all commercial banks in the State.1 Appli­ 1970. cant, the largest banking organization in the State, controls 14 banks with aggregate deposits of $1.4 Voting for the action: Chairman Burns and Gov­ billion, representing 16.4 per cent of total State de­ ernors Mitchell, Daane, and Sherrill. Voting against this action: Governors Robertson, Maisel, and Brim­ posits. Since Bank is a proposed new bank, the de­ mer. posits under Applicant’s control would not be imme­ (Signed) Kenneth A. Kenyon, diately increased by consummation of the proposal. Deputy Secretary. Bank’s proposed site is located within a new re­ [seal] gional shopping center, which is scheduled to open in the latter part of this year. Approximately 50 re­ Statement tail stores will be housed in the main part of the First Wisconsin Bankshares Corporation, Mil­ center, and will share a common mall which is ex­ waukee, Wisconsin (“Applicant”), a registered pected to be fully enclosed. The shopping center will bank holding company, has applied to the Board, be located on an 80-acre tract in the western portion pursuant to section 3(a)(3) of the Bank Holding of the City of Madison. Bank’s projected service Company Act of 1956, for prior approval of the area, as defined by Applicant, consists of approxi­ acquisition of 80 per cent or more of the voting mately six square miles, the major portion of which shares of First West Towne National Bank of is within the recently expanded limits of Madison, Madison, Madison, Wisconsin (“Bank”), a pro­ but which also extends slightly outside the western posed new bank. corporate limits. Views and recommendation of supervisory au­ The Madison Standard Metropolitan Statistical thorities. As required by section 3(b) of the Act, Area (“SMSA”) is coextensive with Dane County, notice of receipt of the application was given to, which has a population of 277,000. The area is and views and recommendation requested of, the served by 32 banking organizations, of which Appli­ Comptroller of the Currency. The Comptroller cant is the largest. Applicant has two subsidiary recommended approval of the application. banks located in the SMSA—First National Bank of The Commissioner of Banking of the State of Madison ($158 million deposits) and Waunakee Wisconsin also submitted views on the proposal, in State Bank ($4.3 million deposits). First National which he indicated his disapproval of the proposal. Bank of Madison is headquartered in downtown Statutory considerations. Section 3(c) of the Act Madison, approximately 6.5 miles east of Bank’s provides that the Board shall not approve an ac­ quisition that would result in a monoply or would 1A11 banking data are as of June 30, 1969, and reflect holding company formations and acquisitions approved by be in furtherance of any combination or conspiracy the Board to date. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

588 FEDERAL RESERVE BULLETIN □ JULY 1970 site, and has a branch office 5.5 miles east of the site: on the view that “if this need exists ... it will be Waunakee State Bank is located about 12 miles provided by other interests which would not tend to northeast of Bank’s proposed location. The two create a further concentration of banking deposits present subsidiaries control about 32 per cent of in the Dane County area.” total deposits in the SMSA, but less than 24 per cent In a Statement issued in connection with an ap­ of deposits in accounts under $10,000, the size of plication by this Applicant to establish a new bank account found in suburban areas. in the Milwaukee area,2 the Board reviewed the con­ Within the area described as Bank’s proposed siderations applicable to such a proposal, as well as service area is The Westgate Bank, (a subsidiary of the cases in which such issue has been considered. As Mid-Wis Bankshares, Inc., with deposits of $7 mil­ was there noted, the fact that an applicant is the lion), located 2.3 miles southeast of Bank’s site. A largest organization in a given area is not, in itself, recently opened branch of American Exchange sufficient basis for denying it the opportunity to Bank (deposits $18 million) is less than one mile make its services available to additional customers, west, and two other banks, the Bank of Middleton or more conveniently available to present cus­ (deposits $16 million) and Hilldale State Bank (de­ tomers, through the establishment of a new sub­ posits $18 million) are located within four miles of sidiary. The law generally looks with more favor the site. upon the establishment of new facilities than Since Bank is a proposed new bank, no existing upon the acquisition of a competitor, and even competition will be eliminated by consummation of the most dominant organization should be encour­ the proposed acquisition. However, objections to the aged to be aggressive and innovative in exploring proposal were filed with the Board by Mid-Wis new means of providing improved services. While Bankshares, Inc. and American Exchange Bank, caution must be exercised to prevent preemption by alleging that consummation of the proposal would a dominant organization of locations which could substantially lessen potential competition and retard serve as a base for competitive facilities, the the growth of other banks in the Madison area. It is Board’s policy must not be so rigid as to leave pas­ the position of the objectors that the area immediate­ sive stagnation as the only course open to a large ly surrounding Bank’s site is sparsely settled, and is organization. A corporation which grows internally adequately served by existing banking facilities. It does so as a result of increased service to the public, is contended that the regional shopping center in and such improved service is not to be looked upon which Bank will be located can be expected to draw with disfavor simply because it may tend to increase heavily from population centers to the east, which the size of an already large organization. already have convenient access to services of one of On the record before it, the Board is of the view Applicant’s subsidiaries. Because of the strong com­ that there is adequate economic justification for the petitive position of Applicant in the Madison area, establishment of a bank at the proposed site. As it is argued that competition would be better served noted above, this conclusion is consistent with that by denying the present application, allowing any of the Wisconsin Commissioner, and with that of additional banking services in the area to be pro­ the Comptroller of the Currency, who authorized vided by another competitor, as and if a stronger Bank’s establishment. While it may be that some of need for such service develops. The Commissioner the customers who would be served by Bank could of Banking of the State of Wisconsin, in comments be served by officers of another of Applicant’s sub­ filed with the Board, also supported the view that the sidiaries, Bank’s site is certainly not so close to such application should be denied. He differed to some extent with the other objectors as to the need for present offices as to be merely duplicative. Under additional banking facilities in the area, however, the restrictive provisions of Wisconsin Branching indicating that his office had not objected to the law, the establishment of Bank represents the only chartering of Bank because of the conclusion that method by which Applicant can extend banking such a need does exist. He pointed out also that services at the shopping center at which Bank will be (after preliminary charter approval had been given located. The shopping center is of a size which usu­ to Bank) State authorities had approved a branch ally houses at least one banking office; it is sched­ establishment by American Exchange Bank less than uled to open within the next few months, and only a mile from Bank’s site, apparently concluding that, Applicant to date has evidenced interest in estab­ despite Bank’s proposed establishment, additional lishing a bank at that location. In the Board’s view, facilities in the area were desirable. The Commis­ sioner’s disapproval of the proposal was premised 2 1968 Federal Reserve Bulletin 1024. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 589 Applicant’s proposal is not so anticipatory of the contend that Bank will provide services not avail­ need for the facility as to suggest that Applicant able in the general area, it will provide such services should be forced to wait until it can be determined more conveniently than would otherwise be the whether a competitively preferable proposal might case. These considerations weigh in favor of ap­ be forthcoming. proval of the application. Consummation of the proposal will permit Appli­ Summary and conclusion. On the basis of all rele­ cant to more fully compete in the immediate area vant facts contained in the record, and in the light involved. Based on the projected deposits of Bank of the factors set forth in section 3(c) of the Act, it ($4.3 million after three years of operations), it does is the Board’s judgment that the proposed transac­ not appear that its ownership by Applicant will sig­ tion would be in the public interest, and that the nificantly increase the share of market deposits con­ application should be approved. trolled by Applicant, which share has shown a steady decline in recent years. Neither does it appear Dissenting Statement of Governors that there would be undue adverse effects on com­ Robertson, Maisel, and Brimmer peting banks which presently are serving, or which We do not agree that consummation of Appli­ potentially might serve, the areas involved. cant’s proposal will serve the public interest. The The Board concludes that consummation of Ap­ establishment and acquisition of Bank by the domi­ plicant’s proposal would not result in a monopoly or nant organization in Dane County will perpetuate be in furtherance of any combination, conspiracy, that dominance and foreclose an opportunity for the or attempt to monopolize the business of banking establishment of competitive facilities at Bank’s in any area, and would not substantially lessen com­ location. While somewhat greater convenience may petition, tend to create a monopoly, or restrain trade be afforded to customers already served by other in any section of the country. subsidiaries of Applicant, much more significant Financial and managerial resources and future benefits to the community would result from provi­ prospects. The financial condition and management sion of such services by alternative sources. We of Applicant and its subsidiary banks are regarded would therefore deny the present application. as satisfactory, and the prospects for the group are Applicant controls 32 per cent of the deposits in favorable. Dane County, an amount more than twice as large Bank is a proposed new bank, and has no finan­ as that held by the County’s second largest banking cial or operating history. Its management will be pro­ organization. Its share of deposits in western Madi­ vided by Applicant and its present subsidiaries, and son, from which Bank will probably draw the bulk its prospects, based on projections of growth and of its business, is even higher. Prior Board decisions earnings which appear reasonable, are favorable. have recognized that such an organization, because Considerations relating to the banking factors are of its ability to shift deposits from one office to consistent with approval of the application. another, may be capable of grasping an opportunity Convenience and needs of the communities in­ to establish a new office at a developing location long volved. Customers of Applicant’s present subsidiary before it is economically feasible for others to take banks would not be affected by consummation of advantage of such an opportunity. If a reasonable the present proposal, except to the extent that some balance of competitive power is to be achieved in customers of its Madison area subsidiaries may find such markets, it is essential that no single competi­ Bank’s location more convenient. tor be permitted to exploit its advantageous posi­ The population of the area which Bank would tion. In a case involving a proposed expansion by immediately serve is 13,500, increased from 6,300 this applicant in the Milwaukee area,1 the Board in 1960. Although banking needs of the area are set forth the criteria to be applied to such a pro­ presently being adequately met, it is anticipated posal, as follows: that there will be substantial population growth in Inasmuch as entry into a commercial banking mar­ the area, at a rate two to five times faster than in the ket is restricted, opportunities for deconcentration are remainder of the city. In addition, both during and limited. This is particularly true in a State such as Wisconsin, where branching is highly restricted. If after completion of construction of the proposed every newly developing need for banking facilities were shopping center, there will be need for more con­ to be filled by the market’s dominant organization, any venient banking facilities than now exist, in order to meaningful deconcentration of the market’s banking serve businesses to be located there and employees resources would be made impossible, and further conand customers thereof. While Applicant does not 1 1968 Federal Reserve Bulletin 645, 647-648. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

590 FEDERAL RESERVE BULLETIN □ JULY 1970 centration might be encouraged. Each application by greatest need. Therefore, the application should be such an organization to expand within its present denied. trade area, even through acquisition of a new bank, must therefore be examined to determine its probable effect on existing concentration, whether it will fore­ PAN AMERICAN BANCSHARES, INC., close an opportunity for new entry which could pro­ MIAMI, FLORIDA vide additional competition and possibly promote a decrease in concentration, and its effect in limiting the In the matter of the application of Pan American development of existing competitors located in or near Bancshares, Inc., Miami, Flordia, for approval of the area to be served by the new institution. acquisition of at least 80 per cent of the voting In our opinion, the record on the present applica­ shares of Citizens National Bank of Orlando, Or­ tion establishes that the effect of the proposal will lando, Florida. be to increase concentration in the relevant area, or at the very least to maintain such concentration at Order Approving Acquisition of Bank Stock present excessive levels, and to restrict the develop­ by Bank Holding Company ment of nearby banking offices established by smaller competitors. The Wisconsin Commissioner There has come before the Board of Governors, of Banking, the supervisor closest to the scene, has pursuant to section 3(a)(3) of the Bank Holding expressed the judgment that, if Bank is not estab­ Company Act of 1956 (12 U.S.C. 1842(a)(3)), lished, any need for additional banking capital in and section 222.3(a) of Federal Reserve Regula­ the area will be met by other interests as such need tion Y (12 CFR 222.3(a)), the application of Pan develops. He has further concluded that establish­ American Bancshares, Inc., Miami, Florida (“Ap­ ment of Bank by Applicant would tend to discour­ plicant”), a registered bank holding company, for age new entry or expansion in the area by others, the Board’s prior approval of the acquisition of at leaving little likelihood that additional banking least 80 per cent of the voting shares of Citizens capital will be attracted to this area. We believe the National Bank of Orlando, Orlando, Florida (“Citi­ Commissioner’s judgment in this respect is entitled zens Bank”). to more weight than is accorded it by the Board’s As required by section 3(b) of the Act, the Board majority. gave written notice of receipt of the application to The majority, in its Statement, assumes that in­ the Comptroller of the Currency and requested his ternal growth inevitably reflects increased service to views and recommendation. The Comptroller rec­ the public. In a free competitive market, this is ommended approval of the application. probably true. But in a market dominated by one or Notice of receipt of the application was published a few competitors, internal growth of a competitor in the Federal Register on April 21, 1970 (35 Fed­ may only reflect its successful exploitation of its eral Register 6407), providing an opportunity for market position. This, we suggest, may well occur interested persons to submit comments and views here. Applicant, because of its oligopoly position, with respect to the proposal. A copy of the applica­ is able to seize an opportunity before it is economi­ tion was forwarded to the United States Department cally feasible for a smaller competitor, or a potential of Justice for its consideration. Time for filing com­ competitor, to do so. Applicant will likely grow as a ments and views has expired and all those received result, but its growth may well be attributable to its have been considered by the Board. success in foreclosing the establishment of competi­ The Board has considered the application in the tive facilities, rather than to providing improved light of the factors set forth in section 3(c) of the service to the public. In fact, with respect to a domi­ Act, including the effect of the proposed acquisition nant firm in the market, increased size may well on competition, the financial and managerial re­ reflect a diminution, rather than an increase, in sources and future prospects of the Applicant and service to the public. the banks concerned, and the convenience and needs As we view the record, it establishes that the only of the communities to be served. Upon such con­ benefit to the community from Applicant’s proposal sideration, the Board finds that: will be the establishment of another office to offer Applicant controls three banks with aggregate the same services which are already conveniently deposits of $123 million, representing approxi­ available from subsidiaries of Applicant. This mini­ mately 1 per cent of total bank deposits in Florida. mal benefit falls far short of outweighing the effect (All banking data are as of June 30, 1969, adjusted of the proposal in foreclosing the development of to reflect bank holding company formations and competitive facilities and services, which is the area’s acquisitions approved by the Board to date.) It Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 591 ranks fourteenth in size among Florida’s 17 bank ernors Robertson, Maisel, and Brimmer. Absent and not voting: Governors Mitchell, Daane, and Sherrill. holding companies; acquisition of Citizens Bank ($82 million depostis) would increase Applicant’s (Signed) Kenneth A. Kenyon, Statewide control of deposits to almost 2 per cent, Deputy Secretary. and it would become the twelfth largest bank holding [seal] company in the State. Citizens Bank, located in Orlando, is the second FIRST BANC GROUP OF OHIO, INC., largest bank in Orange County, controlling 12.7 per COLUMBUS, OHIO cent of county deposits. A presently affiliated bank, which is not involved in Applicant’s proposal, con­ In the matter of the application of First Banc trols 1.9 per cent of such deposits. Citizens Bank Group of Ohio, Inc., Columbus, Ohio, for approval competes with 18 banks, including nine subsidiaries of acquistion of voting shares of the successor by of five bank holding companies, all of which are merger to The Peoples National Bank and Trust larger than Applicant is or will be upon consumma­ Company, Dover, Ohio. tion of the present proposal, and one of which con­ trols 42 per cent of county deposits. Order Approving Acquisition of Bank Stock All of Applicant’s present subsidiaries are located By Bank Holding Company in Dade County, and the nearest office to Citizens There has come before the Board of Governors, Bank is 230 miles south of Orlando. Consummation pursuant to section 3(a)(3) of the Bank Holding of the proposed acquisition would eliminate no Company Act of 1956 (12 U.S.C. 1842(a)(3)) existing competition, and it does not appear that it and section 222.3(a) of Federal Reserve Regula­ would foreclose potential competition, or have ad­ tion Y (12 CFR 222.3(a)), the application of First verse effects on the viability or competitive effective­ Banc Group of Ohio, Inc., Columbus, Ohio (“Ap­ ness of any competing bank. plicant”), a registered bank holding company, for Based upon the foregoing, the Board concludes the Board’s prior approval of the acquisition of 100 that consummation of the proposed acquisition per cent (less directors’ qualifying shares) of the would not have an adverse effect on competition voting shares of a new national bank into which in any relevant area, and could stimulate competi­ would be merged The Peoples National Bank and tion in Orlando and Orange County, as well as in Trust Company, Dover, Ohio (“Peoples National”). Miami and Dade County. The banking factors, as The new national bank has significance only as a applied to the facts of record, are consistent with means of acquiring all of the shares of the bank approval of the applicant. Increased convenience to to be merged into it; the proposal is therefore treated the communities involved will result from greater herein as a proposal to acquire shares of Peoples lending capabilities of the present and proposed sub­ National. sidiaries, and from the availability of international As required by section 3(b) of the Act, the Board services at Citizens Bank; these considerations lend gave written notice of receipt of the application to some weight in support of approval of the applica­ the Comptroller of the Currency and requested his tion. It is the Board’s judgment that the proposed views and recommendation. The Comptroller rec­ transaction would be in the public interest, and that ommended approval of the application. the application should be approved. Notice of receipt of the application was published It is hereby ordered, for the reasons set forth in the Federal Register on April 29, 1970 (35 Fed­ in the findings summarized above, that said applica­ eral Register 6770), providing an opportunity for tion be and hereby is approved, provided that the interested persons to submit comments and views action so approved shall not be consummated (a) with respect to the proposal. A copy of the applica­ before the thirtieth calendar day following the date tion was forwarded to the United States Department of this Order or (b) later than three months after of Justice for its consideration. Time for filing com­ the date of this Order, unless such time be extended ments and views has expired and all those received for good cause by the Board, or by the Federal have been considered by the Board. Reserve Bank of Atlanta pursuant to delegated The Board has considered the application in the authority. light of the factors set forth in section 3(c) of the By order of the Board of Governors, June 25, Act, including the effect of the proposed acquisition 1970. on competition, the financial and managerial re­ sources and future prospects of the Applicant and Voting for this action: Chairman Burns and Gov­ Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

592 FEDERAL RESERVE BULLETIN □ JULY 1970 the banks concerned, and the convenience and Voting for this action: Chairman Bums and Gov­ ernors Robertson, Mitchell, Maisel, Brimmer, and needs of the communities to be served. Upon such Sherrill. Absent and not voting: Governor Daane. consideration, the Board finds that: (Signed) Kenneth A. Kenyon, Applicant is the ninth largest banking organiza­ Deputy Secretary. tion in Ohio, controlling five banks with deposits of [seal] $530 million. (All banking data are as of December 31, 1969, adjusted to reflect holding company for­ COMMERCIAL BANCORP, INC., mations and acquisitions approved by the Board to MIAMI, FLORIDA date.) Acquisition of Peoples National (deposits $37 million) would result in Applicant becoming In the matter of the application of Commercial the eighth largest banking organization in the State; Bancorp., Inc., Miami, Florida, for approval of the it would control less than 3 per cent of bank de­ acquisition of 80 per cent or more of the voting posits in Ohio. shares of The First State Bank of Lantana, Lan- Peoples National is slightly more than one-half as tana, Florida. large as the only other bank headquartered in Dover, and is the second largest of eight banks in Tuscara­ Order Approving Acquisition of Bank Stock was County (population 80,000). Applicants clos­ by Bank Holding Company est subsidiaries are located in the adjoining Coun­ There has come before the Board of Governors, ties of Coshocton and Guernsey, and their nearest pursuant to section 3(a)(3) of the Bank Holding offices are located 10-20 miles from any office of Company Act of 1956 (12 U.S.C. 1842(a)(3)) Peoples National. The area intervening Peoples Na­ and section 222.3(a) of Federal Reserve Regulation tional and the present subsidiaries is largely unde­ Y (12 CFR 222.3(a)), the application of Com­ veloped, and no significant competition would be mercial Bancorp, Inc., Miami, Florida (“Appli­ eliminated by consummation of the proposal. cant”), a registered bank holding company, for the Board’s prior approval of the acquisition of 80 per Based upon the foregoing, the Board concludes cent or more of the voting shares of The First State that consummation of the proposed acquisition Bank of Lantana, Lantana, Florida (“Bank”). would not have an adverse effect on competition in As required by section 3(b) of the Act, the Board any relevant area. The banking factors, as applied gave written notice of receipt of the application to to the facts of record, lend some weight toward ap­ the Florida Commissioner of Banking and requested proval of the application, in the light of Applicant’s his views and recommendation. The Commissioner expressed intention to augment the capital of recommended approval of the application. Peoples National. Consummation of the proposal Notice of receipt of the application was pub­ would also enable Peoples National to offer a lished in the Federal Register on April 30, 1970 (35 broader array of specialized loan, trust, municipal Federal Register 6881), providing an opportunity financing, and computer services, and those consid­ for interested persons to submit comments and views erations lend additional weight in favor of approval. with respect to the proposal. A copy of the applica­ It is the Board’s judgment that the proposed trans­ tion was forwarded to the United States Depart­ action would be in the public interest, and that the ment of Justice for its consideration. Time for filing application should be approved. comments and views has expired and all those re­ ceived have been considered by the Board. It is hereby ordered, for the reasons set The Board has considered the application in the forth in the findings summarized above, that said light of the factors set forth in section 3(c) of the application be and hereby is approved, provided Act, including the effect of the proposed acquisition that the action so approved shall not be consum­ on competition, the financial and managerial re­ mated (a) before the thirtieth calendar day fol­ sources and future prospects of the Applicant and lowing the date of this Order or (b) later than the banks concerned, and the convenience and needs three months after the date of this Order, unless of the communities to be served. Upon such con­ such time be extended for good cause by the Board, sideration, the Board finds that: or by the Federal Reserve Bank of Cleveland pur­ Applicant has four subsidiary banks with ag­ suant to delegated authority. gregate deposits of $135 million—about 1 per cent By order of the Board of Governors, June 26, of the total deposits in the State. It is the fifteenth 1970. largest banking organization and thirteenth largest Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 593 hank holding company in Florida. (All banking data SOCIETY CORPORATION, are as of December 31, 1969, adjusted to reflect CLEVELAND, OHIO holding company acquisitions approved by the In the matter of the application of Society Cor­ Board to date.) Bank, with deposits of $10.3 mil­ poration, Cleveland, Ohio for approval of acquisi­ lion, ranks 22nd in size among 30 banks in Palm tion of up to 100 per cent (less director’s qualifying Beach County. Applicant presently has a subsidiary shares) of the voting shares of The Farmers Na­ in the City of Palm Beach and, upon acquisition of tional Bank & Trust Company of Ashtabula, Ashta­ Bank, would become the fourth largest banking bula, Ohio. organization in the County, with control of 7.8 per cent of County deposits. The present and proposed Order Approving Acquisition of Bank Stock County subsidiaries are located 12 miles apart; there by Bank Holding Company are six banks located in the intervening area, and There has come before the Board of Governors, the record indicates that the two banks are not pursuant to section 3(a)(3) of the Bank Holding significant competitors. The three other subsidiaries Company Act of 1956 (12 U.S.C. 1842(a)(3)) of Applicant are located in the Miami area, more and section 222.3(a) of Federal Reserve Regula­ than 50 miles from Lantana. It appears that con­ tion Y (12 CFR 222.3(a)), the application of summation of Applicant’s proposal would not elim­ Society Corporation, Cleveland, Ohio, for the inate existing competition, foreclose significant po­ Board’s prior approval of the acquisition of up to tential competition, nor have any undue adverse ef­ 100 per cent (less directors’ qualifying shares) of fects on other banks in the area involved. the voting shares of The Farmers National Bank & Based upon the foregoing, the Board concludes Trust Company of Ashtabula, Ashtabula, Ohio. that consummation of the proposed acquisition would not adversely affect competition in any As required by section 3(b) of the Act, the relevant area. On the record in this matter, the Board gave written notice of receipt of the appli­ banking factors are regarded as consistent with ap­ cation to the Comptroller of the Currency, and re­ proval of the application as they pertain to Appli­ quested his views and recommendation. The Comp­ cant and its subsidiaries, and lend some weight in troller recommended approval of the application. favor of such action as they relate to Bank, since the Notice of receipt of the application was published acquisition will solve a management succession in the Federal Register on April 16, 1970 (35 Fed­ problem at Bank. Applicant proposes to improve eral Register 6221), providing an opportunity for the quality and quantity of banking services per­ interested persons to submit comments and views formed by Bank, which should benefit the commu­ with respect to the proposal. A copy of the applica­ nity served by Bank. It is the Board’s judgment that tion was forwarded to the United States Depart­ consummation of the proposed acquisition would be ment of Justice for its consideration. Time for filing in the public interest, and that the application should comments and views has expired, and all those re­ be approved. ceived have been considered by the Board. It is hereby ordered, on the basis of the Board’s It is hereby ordered, for the reasons set forth findings summarized above, that said application be in the Board’s Statement of this date, that said appli­ and hereby is approved, provided that the action so cation be and hereby is approved, provided that the approved shall not be consummated (a) before the action so approved shall not be consummated (a) thirtieth calendar day following the date of this before the thirtieth calendar day following the date Order or (b) later than three months after the date of this Order or (b) later than three months after of this Order, unless such period shall be extended the date of this Order, unless such time shall be ex­ by the Board, or by the Federal Reserve Bank of At­ tended by the Board, or by the Federal Reserve lanta pursuant to delegated authority. Bank of Cleveland pursuant to delegated authority. By order of the Board of Governors, July 2,1970. By order of the Board of Governors, July 2, 1970. Voting for this action: Vice Chairman Robertson Voting for this action: Governors Mitchell, Daane, and Governors Mitchell, Daane, Maisel, and Brim­ Maisel and Sherrill. Voting against this action: Vice mer. Absent and not voting: Chairman Burns and Chairman Robertson and Governor Brimmer. Absent Governor Sherrill. and not voting: Chairman Burns. (Signed) Kenneth A. Kenyon, (Signed) Kenneth A. Kenyon, Deputy Secretary. Deputy Secretary. [seal] [seal] Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

594 FEDERAL RESERVE BULLETIN □ JULY 1970 Statement of four banks in Ashtabula County. It faces con­ siderable competition from the remaining banks in Society Corporation, Cleveland, Ohio (“Appli­ the County, the largest of which has deposits of $53 cant”), a registered bank holding company, has million. All four banks are competitive and aggres­ applied to the Board of Governors, pursuant to sec­ sive institutions and have exhibited satisfactory tion 3(a)(3) of the Bank Holding Company Act growth. In addition to the 23 offices of these four of 1956 (12 U.S.C. 1842(a) (3)), for prior approv­ banks, six savings and loan association, with ag­ al of the acquisition of up to 100 per cent (less gregate resources of $143 million, serve the Coun­ directors’ qualifying shares) of the voting shares ty’s 100,000 residents. The Board is of the view that of The Farmers National Bank & Trust Company Applicant’s acquisition of Bank would have little of Ashtabula, Ashtabula, Ohio (“Bank”). effect on the competitive situation in Ashtabula or Views and recommendation of supervisory au­ thority. As required by section 3(b) of the Act, no­ Ashtabula County. tice of receipt of the application was given to the Applicant’s closest subsidiary bank, Western Comptroller of the Currency, and his views and Reserve Bank of Lake County ($18 million de­ recommendation were requested. The Comptroller posits) is headquartered in Painesville, 28 miles recommended approval of the application. west of Ashtabula. The nearest branch of that bank Statutory considerations. Section 3(c) of the Act is only five miles from Bank’s Geneva office. De­ provides that the Board shall not approve an ac­ spite this geographic proximity, because of estab­ quisition that would result in a monopoly or would lished trade patterns, Western Reserve Bank and be in furtherance of any combination or conspiracy Bank each draws less than 2 per cent of its deposits, to monopolize or to attempt to monopolize the busi­ and less than 4 per cent of its loans, from the area ness of banking in any part of the United States. primarily served by the other bank. Applicant’s Nor may the Board approve a proposed acquisition, other subsidiaries are located more than 50 miles the effect of which, in any section of the country, from Bank, and do not compete with Bank to any may be substantially to lessen competition, or to significant degree. tend to create a monopoly, or which in any other In view of the above, and considering the distance manner would be in restraint of trade, unless the between Bank and Applicant’s other subsidiaries, it Board finds that the anticompetitive effects of the does not appear that any significant competition proposed transaction are clearly outweighed in the would be eliminated by consummation of the present public interest by the probable effect of the trans­ proposal. The same considerations, in addition to action in meeting the convenience and needs of the restrictive State law relating to branches, appear to communities to be served. In each case the Board is preclude the likelihood that such competition would required to take into consideration the financial and develop between Bank and those subsidiaries in the managerial resources and future prospects of the future. bank holding company and the banks concerned, In evaluating the potential for future competi­ and the convenience and needs of the communities tion between Bank and Applicant, the Board has to be served. considered whether the possibility exists that Appli­ Competitive effects of the proposed transaction. cant might enter into competition in Ashtabula Applicant, the fifth largest banking organization and County through the alternative means of establish­ the second largest bank holding company in Ohio, ment of a new bank or the acquisition of one of the controls six banks with aggregate deposits of $904 smaller area banks. De novo entry is considered million, representing 4.5 per cent of the commercial relatively unattractive, and therefore unlikely, since bank deposits in the State.1 Upon acquisition of Bank ($55 million deposits), Applicant would con­ the population per banking office is almost one-third trol 4.7 per cent of the commercial bank deposits lower than the State average (4,700 as compared to in the State; and its position relative to other bank­ 6,703). It is questionable whether preferable alter­ ing organizations and holding companies would native acquisitions are possible: the difference in otherwise remain unchanged. size between Bank and the second largest bank in Bank, with eight offices, is the largest of three Ashtabula is not so great as to make acquisition of banks headquartered in the City of Ashtabula, and the latter a preferable means of entry; the smallest bank in the County is not favorably located with 1 All banking data are as of December 31, 1969, and regard to full participation in the County’s economy. reflect holding company formations and acquisitions ap­ proved by the Board to date. Moreover, none of the three banks has disclosed any Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 595 interest in becoming affiliated with a holding com­ Summary and conclusion. On the basis of all pany. relevant facts contained in the record, and in the The data presented reflect that Applicant’s ac­ light of the factors set forth in section 3(c) of the quisition of Bank would not eliminate existing com­ Act, it is the Board’s judgment that the proposed petition or foreclose potential competition, and acquisition would be in the public interest, and that would have no significant impact upon the degree of the application should be approved. concentration of banking resources in any relevant market. On the record before the Board, it is con­ Dissenting Statement of Governors cluded that the proposed acquisition will not result Robertson and Brimmer in a monopoly or be in furtherance of any combina­ tion or conspiracy to monopolize the business of The proposed acquisition of the largest bank in banking in any relevant area. Approval of the ap­ Ashtabula County by a large and aggressive bank­ plication would not substantially lessen competi­ ing organization will likely perpetuate, or even ag­ tion, tend to create a monopoly, or restrain trade in gravate, an unbalanced market structure in that area, any section of the country. to the detriment of actual and potential competition. Financial and managerial resources and future There are no other considerations presented in the prospects. The financial condition of Applicant, its record which outweigh this adverse competitive ef­ subsidiary banks, and Bank is satisfactory. Manage­ fect, and the application should therefore be ment of Applicant and its subsidiaries is competent, denied. and their prospects are regarded as favorable. Ashtabula County is a highly concentrated mar­ Bank’s financial condition is satisfactory; its man­ ket: there are only four banks in the area, serving a agement, however, lacks depth and experience, and population of over 100,000, and the two largest of its prospects would be improved by the proposed these control 86 per cent of the deposits in the affiliation. market.1 Acquisition of the largest bank (44 per These considerations are consistent with approval cent of deposits) in that market by the second larg­ of the present application, as they relate to Appli­ est bank holding company in the State will not only cant and its subsidiaries, and lend some support for remove all incentive Applicant might otherwise have such action as they relate to Bank. to seek entry through competitively preferable Convenience and needs of the communities con­ means, but will eliminate a vehicle through which cerned. Consummation of the proposal would not smaller organizations might have achieved entry. affect the convenience or needs of customers served In addition, the dominant competitive position which by Applicant’s present subsidiary banks. Applicant will enjoy may tend to discourage entry by other potential competitors. In general, the banking needs of Ashtabula Coun­ ty have been adequately served by banks located Competition functions best when there are sev­ there. Ashtabula, 57 miles northeast of Cleveland eral alternative sources of service, no one of which and 45 miles west of Erie, Pennsylvania, is the possesses a dominant market position. The Board’s largest city in Ashtabula County. The County’s responsibility to control the expansion of bank hold­ economy is diversified and the city is one of the ing companies so as to preserve and promote bank­ most convenient lake ports to the steel producing ing competition dictates that, absent outweighing centers of Pittsburgh and Youngstown. considerations, it not approve any proposal which would tend to make less likely the development of On consummation of the acquisition, Bank, draw­ such a market. There is no evidence in the record ing on the resources of Applicant, would offer the of benefits to the public which warrant approval of facilities of the foreign department of Applicant’s an acquisition which would have the clearly adverse lead bank, together with such services as data proc­ competitive effects of Applicant’s proposal. essing and account reconciliation. Applicant plans Accordingly, we would deny the application. to revise Bank’s loan policies to more actively solicit commercial and industrial loans. Additionally, greater facility for arranging participations with Ap­ 1The Board’s majority notes the presence of six savings and loan associations in the market. While these institu­ plicant’s other subsidiaries would enable Bank to bet­ tions are probably effective in performing some of the ter meet credit needs beyond its lending capacity. services which banks also perform, our concern—and that Considerations relating to the convenience and of the Act—is with respect to the commercial banking line of commerce and those services which only commercial needs of the communities served by Bank provide banks perform to any significant extent, particularly de­ some weight in favor of approval of the application. mand deposits and small business loans. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

596 FEDERAL RESERVE BULLETIN □ JULY 1970 MERCANTILE BANKSHARES before the thirtieth calendar day following the date CORPORATION, of this Order or (b) later than three months after BALTIMORE, MARYLAND the date of this Order, unless such period is extended for good cause by the Board, or by the Federal In the matter of the application of Mercantile Reserve Bank of Richmond pursuant to delegated Bankshares Corporation, Baltimore, Maryland, for authority. approval of action to become a bank holding com­ By order of the Board of Governors, July 7, 1970. pany through the acquisition of 100 per cent of the voting shares (less directors’ qualifying shares) of Voting for this action: Chairman Burns and Gov­ ernors Robertson, Daane, Maisel, and Sherrill. Voting a new bank into which will be merged Mercantileagainst this action: Governors Mitchell and Brimmer. Safe Deposit and Trust Company, Baltimore, Mary­ land; and a new bank into which will be merged (Signed) Kenneth A. Kenyon, Deputy Secretary. Annapolis Banking and Trust Company, Annapolis, Maryland. [seal] Order Approving Action to Become Statement a Banking Holding Company Mercantile Bankshares Corporation, Baltimore, There has come before the Board of Governors, Maryland (“Applicant”), which presently owns pursuant to section 3(a)(1) of the Bank Holding over 95 per cent of the voting shares of Belair Company Act of 1956 (12 U.S.C. 1842(a)(1)) National Bank, Bowie, Maryland (“Belair Bank”), and section 222.3(a) of Federal Reserve Regula­ has filed with the Board, pursuant to section 3 (a) (1) tion Y (12 CFR 222.3(a)), an application by Mer­ of the Bank Holding Company Act of 1956, an cantile Bankshares Corporation, Baltimore, Mary­ application for approval of action to become a regis­ land, for the Board’s prior approval of action where­ tered bank holding company through the acquisi­ by Applicant would become a bank holding com­ tion of 100 per cent of the voting shares (less di­ pany through the acquisition of 100 per cent of the rectors’ qualifying shares) of a new bank into which voting shares (less directors’ qualifying shares) of a will be merged Mercantile-Safe Deposit and Trust new bank into which will be merged Mercantile- Company, Baltimore, Maryland (“Merc-Safe”); Safe Deposit and Trust Company, Baltimore, Mary­ and a new bank into which will be merged Annapolis land; and a new bank into which will be merged Banking and Trust Company, Annapolis, Maryland Annapolis Banking and Trust Company, Annapolis, (“Annapolis Bank”). The latter merger is the sub­ Maryland.1 ject of a Board Order issued pursuant to the Bank As required by section 3(b) of the Act, the Board Merger Act (12 U.S.C. 1828(c)). gave written notice of receipt of the application to Views and recommendation of supervisory au­ the Comptroller of the Currency and the Maryland thority. As required by section 3(b) of the Act, the Commissioner of Banking, and requested their Board gave written notice of receipt of the applica­ views and recommendation. Neither objected to ap­ tion to the Maryland Commissioner of Banking and proval of the proposed transaction. requested his views and recommendation. The Notice of receipt of the application was published Maryland Commissioner submitted no objection to in the Federal Register on October 9, 1969 (34 the proposal. Federal Register 15675), providing an opportunity Statutory consideration. Section 3(c) of the Act for interested persons to submit comments and views provides that the Board shall not approve an ac­ with respect to the proposed transaction. A copy quisition that would result in a monopoly or would of the application was forwarded to the United be in furtherance of any combination or con­ States Department of Justice for its consideration. spiracy to monopolize or to attempt to monop­ The time for filing comments and views has ex­ olize the business of banking in any part of the pired and all those received have been considered United States. Nor may the Board approve a pro­ by the Board. posed acquisition, the effect of which, in any sec­ It is hereby ordered, for the reasons set forth tion of the country, may be substantially to lessen in the Board’s Statement of this date, that said appli­ competition, or to tend to create a monopoly, or cation be and hereby is approved, provided that the which in any other manner would be in restraint of action so approved shall not be consummated (a) trade, unless the Board finds that the anticompetitive effects of the proposed transaction are clearly out­ 1 See page 583 of this Bulletin. weighed in the public interest by the probable effect Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 597 of the transaction in meeting the convenience and are 15 miles apart, and their other offices are from needs of the communities to be served. In each case, 16 to 25 miles apart. the Board is required to take into consideration the The Board also considers it unlikely that competi­ financial and managerial resources and future pros­ tion would develop among the subject banks, or be­ pects of the bank holding company and the banks tween any two of them, in the future. Merc-Safe, a concerned, and the convenience and needs of the wholesale bank, is unlikely to branch into areas communities to be served. served by Annapolis Bank or Belair Bank, or other­ Competitive effects of the proposed transaction. wise to compete for business of the retail customers The 10 largest banking organizations in the State which they serve. Belair Bank and Annapolis Bank, of Maryland control 74 per cent of the commercial because of their small size and established geo­ deposits in the State.1 Applicant, as a result of its graphical and trade patterns, appear unlikely to ownership of Belair Bank ($13 million deposits), branch into areas served by the other. and the proposed acquisitions of Merc-Safe ($199 On the basis of the foregoing, the Board con­ million deposits), and Annapolis Bank ($25 mil­ cludes that consummation of this proposal would lion deposits), would control 4.9 per cent of the not result in a monopoly, or be in furtherance of commercial deposits in the State. It would become any combination, conspiracy, or attempt to monop­ the first bank holding company headquartered in olize the business of banking in any part of the Maryland, and would replace Merc-Safe as the United States, and would not restrain trade, sub­ sixth largest banking organization in the State. stantially lessen competition, or tend to create a Merc-Safe, an uninsured bank, has seven bank­ monopoly in any part of the country. ing offices in the Baltimore area, and holds 9 per Financial and managerial resources and future cent of the deposits in Baltimore County. It is the prospects. The present and projected financial con­ fifth largest bank in this market, and is primarily a dition of Applicant appears satisfactory, as is its wholesale bank providing commercial and trust management; and its prospects—which would be services to corporate customers. Although some of dependent on the prospects of its subsidiary banks— these customers are located in other sections of appear favorable. Maryland and in other States, most of Merc-Safe’s Merc-Safe, Annapolis Bank and Belair Bank are business is derived from the Baltimore metropolitan in good financial condition, with capable manage­ area. ment and attractive prospects. Belair Bank, because Annapolis Bank, which primarily serves the City of its rapid growth, may need additional capital in of Annapolis and environs, is the second largest of the future and Applicant has indicated its willing­ four banks headquartered in Anne Arundel County, ness to provide additional funds, as needed. and the third largest of eleven banks operating in The Board has given extensive consideration to the County. Its four banking offices hold 16 per cent the uninsured status of Merc-Safe, as it may affect of the deposits in the County. Six of the eight larg­ the soundness of the bank and of the holding com­ est banks in Maryland operate in the County. pany to which it would provide leadership. One mat­ Belair Bank, which primarily serves the residential ter of concern is the inapplicability to an uninsured community of Bowie and environs is the tenth larg­ bank of Federal laws designed to regulate financial est of 16 banks operating in Prince Georges County, relations between a bank and its affiliates. However, holding less than 2 per cent of the deposits in the the Board of Directors of Merc-Safe has adopted a County. It is the only bank headquartered in Bowie, resolution providing that, in the event that the but it faces competition from several nearby offices present proposal is consummated, the bank will of much larger banks. conduct its operations, as they pertain to affiliated Because the banks are separated by substantial organizations, subject to the same restrictions as are distances and because there are banks located in now, or may hereafter be, imposed by Federal law the areas between them, there is virtually no existing on insured banks. Coupled with the Board’s super­ competition between any two of the banks. The clos­ visory and examination authority with respect to est offices of Merc-Safe and Annapolis Bank are 18 banks which are subsidiaries of bank holding com­ miles apart; other offices of the two banks are 19 to panies, this provides assurance with regard to that 34 miles apart. Belair Bank’s offices are from 25 to aspect of the issue. 30 miles from the nearest offices of Merc-Safe. The The Board is of the belief that the value of the closest offices of Belair Bank and Annapolis Bank Federal Deposit Insurance to the public is such that 1 Bank data are as of June 30, 1969. all banks, and particularly a bank of Merc-Safe’s Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

598 FEDERAL RESERVE BULLETIN □ JULY 1970 size, should offer this protection to their customers. ability to raise loanable funds and the freedom to Moreover, when affiliation with other banks under invest them. I believe the majority’s judgment that the Bank Holding Company Act is sought, it seems these advantages are substantially removed by reasonable to impose a requirement of insurance as Merc-Safe’s voluntary surrender of certain of these a prerequisite to enjoyment of that status, just as advantages overlooks the considerable potential such a requirement has been imposed as a prereq­ value of those remaining. Under those circum­ uisite to a Federal charter or to membership in the stances, I do not believe the public interest is served Federal Reserve System. Whether such a require­ in conferring unique advantages on a single holding ment should be imposed on holding company subsid­ company. iaries, however, is a question more appropriate for Congressional determination than administrative de­ cision. The Board has therefore proposed to Con­ Dissenting Statement of Governor Brimmer gress an amendment to the Bank Holding Company In determining the public interest with respect to Act which would require that all banks which are an application under the Bank Holding Company subsidiaries of bank holding companies become and Act, the Board is required to take into considera­ remain insured. Upon being informed that such a tion the financial and managerial resources and legislative proposal had been made by the Board, prospects of the company and the banks concerned, Applicant indicated that it nevertheless wished its and the convenience and needs of the communities proposal to be considered, and that appropriate steps to be served. In making that determination, it is would be taken to conform to any enactment. necessary that the Board consider the soundness of In view of the foregoing, the Board concludes the banking practices followed in the past by the that the banking factors, as related to Applicant and banks involved. This is particularly true of the lead each of its proposed subsidiaries, are consistent with approval of the application. bank from which holding company management would be derived. In this case, the lead bank in the Convenience and needs of the communities con­ cerned. The banking needs of the communities to proposed holding company has not made available be served are being met adequately by existing insti­ to its depositors one of the most basic protections. tutions. Approval of the application would provide Despite the financial soundness of the institution, a means whereby the banking and trust services of and in the light of experience and generally accepted a large, thoroughly-capitalized and well-known banking practice, I conclude that an uninsured bank banking institution may be utilized by small locally is pursuing unsound operational policies. For that operated, independent banks to establish or expand reason, I have serious doubts with respect to the and improve their own services (for example, data soundness of the leadership which such a bank is processing or trust services). To that extent, the likely to provide to a holding company. convenience and needs of bank customers in the In addition, some assurance of the soundness of Annapolis and Bowie areas would be enhanced. a bank holding company is provided by Federal Considerations relating to the convenience and laws, other than the Bank Holding Company Act, needs factors are believed consistent with approval, which restrict the activities of the holding company’s and lend support to such action. banking subsidiaries. These laws are not applicable Summary and conclusion. On the basis of all the to Merc-Safe, which, as an uninsured bank, is sub­ relevant facts contained in the record, and in the ject only to the restrictions of Maryland law. With­ light of the factors set forth in section 3(c) of the out implying any judgment with respect to the Act, it is the Board’s judgment that the proposed adequacy of the laws of any State, there are clear transaction would be in the public interest and that advantages to the efficiency of the Board’s per­ the application should be approved. formance of its supervisory role if banks in holding company systems are uniformly subject to the basic Dissenting Statement of Governor Mitchell requirements of Federal law. The adoption by the The corporate interest of Merc-Safe would be directors of Merc-Safe of a resolution providing for uniquely served were it permitted the advantages voluntary compliance with these legal requirements, of a registered holding company status and none in my judgment, is a much less certain and satisfac­ of the operating constraints and limitations Con­ tory method of assuring compliance with the provi­ gress has attached to the privilege of Federal deposit sions which Congress has enacted to govern the insurance. These corporate advantages relate to the operations of banks. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 599 I concur in the Board’s suggestion that Congress to the business of banking and of managing or con­ should enact a clarifying amendment to the Act, trolling banks as to be a proper incident thereto and which would require that all banks in a holding as to make it unnecessary for the prohibitions of company system be and remain insured. Pending section 4(a) of the Bank Holding Company Act of the enactment of such legislation, however, the 1956 to apply in order to carry out the purposes of Board cannot absolve itself of the responsibility of that Act; provided, however, that this determina­ assuring the prospective soundness of bank holding tion is subject to revocation by the Board if the facts companies whose formation it approves. In the exer­ upon which it is based change in any material re­ cise of that responsibility, I would deny the present spect. application. By order of the General Counsel of the Board of Governors, June 17, 1970, acting on behalf of the ORDER UNDER SECTION 4 Board pursuant to delegated authority (12 CFR § OF THE BANK HOLDING COMPANY ACT 265.2(b)(2)). UNITED VIRGINIA BANKSHARES, INC., RICHMOND, VIRGINIA (Signed) Kenneth A. Kenyon, In the matter of the application, pursuant to sec­ Deputy Secretary. tion 4(c)(8) of the Bank Holding Company Act of [seal] 1956, by United Virginia Bankshares, Inc., Rich­ mond, Virginia, for a determination as to United Statement Virginia Insurance Agency, Inc., a proposed non­ United Virginia Bankshares, Incorporated, Rich­ bank subsidiary. Docket No. BHC-98 mond, Virginia (sometimes hereinafter referred to as “Applicant”), is a bank holding company within Order Making Determination Under Bank the meaning of section 2(a) of the Bank Holding Holding Company Act Company Act of 1956 (12 U.S.C. § 1841(a)) (the United Virginia Bankshares, Inc., Richmond, “Act”). It has requested the Board of Governors of Virginia, a bank holding company within the mean­ the Federal Reserve System to determine that the ing of section 2(a) of the Bank Holding Company activities planned to be undertaken by a proposed Act of 1956 (12 U.S.C. § 1841 (a)), has filed a subsidiary, United Virginia Insurance Agency, Inc. request for a determination by the Board of Gov­ (“Agency”), are of the kind described in section ernors of the Federal Reserve System that the ac­ 4(c)(8) of the Act (12 U.S.C. § 1843(c)(8)) and tivities planned to be undertaken by its proposed section 222.4(a) of Federal Reserve Regulation Y nonbank subsidiary, United Virginia Insurance (12 CFR § 222.4(a)), so as to make it unneces­ Agency, Inc., are of the kind described in section sary for the prohibitions of section 4(a) of the Act 4(c)(8) of the Act (12 U.S.C. § 1843(c)(8)) and to apply in order to carry out the purposes of the section 222.4(a) of Federal Reserve Regulation Y Act. On September 22, 1969, the Board ordered (12 CFR § 222.4(a)) so as to make it unnecessary that a hearing be held on this request, pursuant to for the prohibitions of section 4(a) of the Act, re­ section 4(c)(8) of the Act and sections 222.4(a) specting the ownership or control of voting shares of and 222.5(a) of Federal Reserve Regulation Y (12 nonbanking companies, to apply in order to carry CFR §§ 222.4(a) and 222.5(a)), notice of which out the purposes of the Act. was published in the Federal Register on September Pursuant to the requirements of section 4(c) (8) 27, 1969 (34 F.R. 14917). of the Act, and in accordance with the provisions of The hearing was held on November 6, 1969, in sections 222.4(a) and 222.5(a) of Regulation Y Richmond, Virginia, before a duly selected and (12 CFR §§ 222.4(a) and 222.5(a)), a hearing designated hearing examiner. Applicant and the was held on these matters on November 6, 1969. Board, the latter appearing in a nonadversary On March 12, 1970, the hearing examiner filed his capacity, were represented at the hearing by coun­ report and recommended decision, a copy of which sel and were afforded the opportunity to be heard, is appended hereto, wherein he recommended that to examine and cross-examine witnesses, and to the Board decline to make the requested determina­ file briefs and proposed findings of fact and conclu­ tion; Applicant filed exceptions and a brief in sup­ sions of law. port thereof. For the reasons set forth in a Statement The examiner’s report and recommended deci­ of this date, and on the basis of the entire record, sion, a copy of which is attached, was filed with the It is hereby ordered, that the activities planned Board on March 12, 1970. The examiner recom­ to be undertaken by the proposed subsidiary named mended that the Applicant’s request be denied, but hereinabove are determined to be so closely related further recommended that Applicant be authorized Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

600 FEDERAL RESERVE BULLETIN □ JULY 1970 to file with the Board, within one hundred twenty With respect to the lending functions of Appli­ days from the date of an Order denying the request, cant’s subsidiary banks and of ICON, it is planned a supplement to and modification of its request in that Agency would provide: life and mortgage re­ this matter, setting forth changes, at Applicant’s demption insurance and credit life and accident election, in the contemplated activities of Agency and disability insurance in connection with loans to consistent with the pertinent requirements of the borrowers from Applicant’s subsidiary banks and Act and Regulation, as interpreted by the examiner, ICON; property damage and public liability insur­ which might thereby justify the Board in reopening ance on property serving as loan collateral; renewals, the hearing record to receive evidence for its con­ replacements or extensions of such insurance after sideration to modify such initial Order and to the loans have been repaid. make the determination under §4(c)(8) of the Act Agency’s premium income from insurance writ­ sought in Applicant’s amended request. Applicant ten in connection with banking transactions by Ap­ filed exceptions, together with a supporting brief, to plicant’s subsidiary banks and, to a relatively small the examiner’s report and recommended decision. extent, in connection with mortgage transactions by Facts. Applicant proposes to organize Agency for ICON, would account for not less than 75 per cent the purpose of acting solely as agent for the sale of the total premium income. of insurance written in connection with the manage­ In no case would a borrower be required to pur­ ment of the business of Applicant and its sub­ chase insurance through Agency in order to obtain sidiaries, and in connection with loans made by a loan. Applicant’s subsidiary banks and by the Investment Corporation of Norfolk (“ICON”), the latter be­ Agency’s offices would be located in the same ing Applicant’s wholly-owned mortgage company building as those of Applicant and one of Applicant’s subsidiary. ICON originates and services loans as subsidiary banks; Agency’s board of directors would agent on behalf of Applicant’s subsidiary banks and, be composed solely of persons who are officers of where ICON maintains offices on the premises of Applicant. such banks, it makes, buys, sells and services loans Banks and bank holding companies in Virginia as principal for its own account. conduct insurance agency activities similar to those With respect to the management of the business proposed for Agency. See Virginia Commonwealth of Applicant and its subsidiaries, it is planned that Corporation, 1963 Federal Reserve Bulletin 934, Agency would provide: public liability insurance on 944; First Virginia Corporation, 1959 Federal premises occupied by Applicant and its subsidiaries; Reserve Bulletin 1247, 1249-50. fire and extended coverage and boiler and machinery Discussion. Section 4(a) (1) of the Act forbids a coverage on facilities owned or occupied by Appli­ bank holding company to “. . . acquire direct or in­ cant and its subsidiaries; physical damage and pub­ direct ownership or control of any voting shares of lic liability insurance on motor vehicles owned by any company which is not a bank . . . .” By virtue of Applicant and its subsidiaries, and public liability section 4(c) (8) of the Act and of section 222.4(a) nonownership motor vehicle protection; garage of Federal Reserve Regulation Y, this prohibition keepers liability coverage on motor vehicles parked does not apply to shares of any company whose ac­ on premises owned or operated by Applicant or its tivities, “all of which are or are to be of a financial, subsidiaries; errors and omissions protection and fiduciary, or insurance nature, are so closely related safe-deposit liability for Applicant’s banking sub­ to the business of banking or of managing or con­ sidiaries; registered, certified and first-class mail and trolling banks (as conducted by such bank holding express protection for Applicant and its subsidiaries; company or its banking subsidiary) as to be a proper blanket bond or other fidelity coverage on personnel incident thereto and as to make it unnecessary for of Applicant and its subsidiaries; workmen’s com­ the prohibitions of section 4 of the Act to apply in pensation and employer’s liability for Applicant and order to carry out the purposes of the Act.” its subsidiaries; group life, accidental death and dis­ memberment, major medical, hospitalization, med­ The hearing examiner, in recommending that the ical benefit coverages, and accidental travel cover­ Board issue an Order declining to make the re­ ages for employees of Applicant and its subsidiaries quested determination (but with leave to Applicant and certain members of their families; such other to supplement and modify its request respecting insurance for the protection of Applicant and its Agency’s proposed activities), concluded that neither subsidiaries against loss or liability as may from (1) the writing of insurance in connection with loans time to time be customarily maintained by banks or made by ICON, or generated by ICON as agent bank holding companies. for Applicant’s subsidiary banks, nor (2) the renew­ Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 601 ing or replacing of insurance written initially in con­ essary that even a majority of an insurance agency nection with loans made by Applicant’s subsidiaries, company’s activities be directly connected with bank but which have been repaid, constitute permissible transactions. However, it is essential that the insur­ activities within the purview of section 4(c) (8). ance agency activities be an adjunct to bank opera­ The writing by Agency of renewal or replacement tions (including managing or controlling banks) insurance, as described above, is not an impermis­ and not an end in themselves, so that it is improbable sible activity. The Board has held that it is not nec­ that the insurance activities will be treated as para­ essary, in order to meet the “closely related” and mount by the holding company and the resources of “proper incident” requirements of section 4(c) (8), its banks misused or abused because of such activi­ that even a majority of an insurance agency com­ ties. See Otto Bremer Co., 1969 Federal Reserve pany’s activities be directly connected with bank Bulletin, 388, 391. Factors regarded by the Board transactions. See, e.g., Bank Shares Incorporated, as indicating that insurance agency activities will be 1959 Federal Reserve Bulletin 954, 957. If Con­ an adjunct to banking and not an end in them­ gress had intended that insurance be written only in selves include: the fact of the organizational and conjunction with bank transactions (and with man­ physical integration of the insurance agency and aging or controlling banks), it could have so pro­ bank operations; and the fact that a significant por­ vided in the statute. However, it did not. The per­ tion of the premiums not derived from bank trans­ tinent legislative history indicates that the “opera­ actions is nevertheless derived from insurance writ­ tion of a credit life-insurance program in connection ten for bank customers. Id. with bank loans” and “the operation of an insur­ The Board has also treated as a favorable con­ ance program under which the insurance proceeds sideration the fact that similar insurance agency ac­ retire the outstanding balance of the mortgage upon tivities are operated by or in conjunction with banks the death of the mortgagor in cases where the bank in the area. The existence of such an “area practice”, holds the mortgage” are clearly within the exemp­ the Board has held, tends to negate the presence of tion, but that “there are many other activities of a “potential evils” that may arise from, or be accen­ financial, fiduciary, or insurance nature which can­ tuated by, the operation of bank holding companies, not be determined to be so closely related to bank­ these being the dangers that the general prohibition ing without a careful examination of the particular of section 4(a) of the Act against the ownership or type of business carried on under such activity.” S. control of nonbank voting shares was designed to Rep. No. 1095, 84th Cong., 1st Sess. 13 (1955). forestall. See, e.g., First Bank Stock Corporation, Congress assigned to the Board, of course, the op. cit., supra, at 930-32. responsibility for determining, in the light of the The hearing examiner concluded that, because statutory requirements and the purposes of the Act, ICON is not a bank, Agency may not write insur­ what “other activities” fall within the purview of the ance in connection with loans made by ICON exemption. In this connection, it is noteworthy that (which are made at offices it maintains on the prem­ one of the central purposes of the prohibitions of ises of some of Applicant’s subsidiary banks), or in section 4(a) regarding the ownership or control of connection with loans generated by ICON as agent voting shares in nonbanking companies was “to for Applicant’s subsidiary banks. It should be obvi­ remove the danger that a bank holding company ous that the loans in the latter category, which far might misuse or abuse the resources of a bank it exceed the loans made by ICON as principal, are controls in order to gain an advantage in the opera­ loans made by Applicant’s subsidiary banks—such tion of the nonbanking activities it controls.” Id. at loans are bank transactions. As was stated earlier, 14. the Board has held, for the reasons heretofore given, Accordingly, in fashioning standards consonant that it is not necessary that even a majority of an with the statutory purpose, the Board has required, insurance agency company’s activities be directly first, that there be a direct and significant connection connected with bank transactions. Further, insofar between the contemplated activities of an insurance as Federal law is concerned, all the functions per­ agency company and the business of banking or of formed by ICON are functions that any one of managing and controlling banks, as conducted by Applicant’s subsidiary member banks could perform the applicant holding company or its banking sub­ through an operations subsidiary.1 See 1968 Federal sidiaries. See, e.g., First Bank Stock Corporation, Reserve Bulletin 681-82. And, there is nothing in 1959 Federal Reserve Bulletin 917, 930. As ear­ the language of section 4(c) (8), or in the legislative lier indicated, the Board has held that it is not nec­ history of the Act, that precludes treating such func­ Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

602 FEDERAL RESERVE BULLETIN □ JULY 1970 tions, for the purposes of said provision, as if the are or are to be of a financial, fiduciary, or insurance functions were performed through an operations nature and which (total activities) the Board .... subsidiary of a holding company’s member bank on the basis of the (hearing) record .... has deter­ subsidiary or directly by such bank. mined to be so closely related to the business of All of the relevant considerations with respect to banking or of managing or controlling banks (as Applicant’s proposed general insurance agency sub­ conducted by Petitioner or its banking subsidiaries; sidiary are consistent with approval. Section 222.4(a) of Board Reg. Y) as to be a Conclusions. It appears that (1) all the activities proper incident thereto . . .” of Agency would be of an insurance nature and (2) Petitioner in its August 22, 1969 letter to the Agency’s activities would be so closely related to the Board, states that it proposes to organize a wholly business of banking as conducted by Applicant and owned subsidiary under the name, United Virginia its subsidiary banks as to be a proper incident there­ Insurance Agency, Inc. (Agency) and requests a to and as to make it unnecessary for the prohibitions determination by the Board under Section 4(c) (8) of section 4(a) to apply in order to carry out the of the Act and paragraph 222.4(a) of Regulation purposes of the Act. To the extent that they are Y, so as to make it unnecessary for the prohibition consistent with this Statement, the Applicant’s ex­ of Section 4(a) of the Act respecting ownership of ceptions to the report and recommended decision non-bank shares to apply. Agency, the request of the hearing examiner are sustained. states, will act solely as agent for the sale of insur­ Accordingly, it is concluded that the application ance which it writes. (BX-1) The Agency will en­ should be approved. As indicated in the attached gage only in the business of writing insurance and Order, if the facts upon which approval of the ap­ not as an insurer. Further, the business of Agency plication is based should change in any material will be limited to insurance. (HR 8) respect, such approval may be revoked. Petitioner is not a bank. (HR 18) Thus, the Board must determine, on the basis Hearing Examiner's Recommended Decision of the Hearing Record, whether all the activities of United Virginia Bankshares (Petitioner) is a reg­ Agency are to be of an insurance nature and whether istered bank holding company. (Hearing Record all the activities of Agency will be so closely related p. 4) to the business of banking (as conducted by Peti­ The hearing in this case was conducted at Rich­ tioner’s Subsidiaries) or to the business of managing mond, Virginia, on November 6, 1969, before this or controlling banks (as conducted by Petitioner or Presiding Officer, a Federal Trial Examiner on de­ its banking subsidiaries) as to be proper incident tail to the Board of Governors of the Federal Re­ thereto. In brief, the insurance activities of Agency serve System (Board). must be accompaniments and complements to said Welford S. Farmer, Esq., General Counsel for businesses. the Federal Reserve Bank of Richmond, William F. Upshaw, Esq., Associate General Counsel, and Wil­ Findings liam C. Fitzgerald, Esq., Assistant General Counsel, Petitioner owns: 10 commercial banks (Subsidi­ are Board Counsel. Robert P. Buford, Esq., and ary Banks); UVB Service Corporation (Petitioner’s Peter O. Ward, Esq., represent Petitioner. data processing operation); and, 1st UVB Prop­ Nature of Proceedings erties, Inc., and 2nd UVB Properties, Inc., (real estate holding companies which own the bank These proceedings are conducted pursuant to Sec­ premises leased to the Subsidiary Banks). UVB tion 4(c) (8) of the Bank Holding Company Act of Service Corporation and 1st and 2nd UVB Prop­ 1956 (70 Stat 133) and Section 222.4(a) of Board erties, Inc., shall be referred to as “Management Regulation Y (12 CFR 222). Corporations”. Petitioner also owns the total stock The Bank Holding Company Act (Act), under interest in Investment Corporation of Norfolk Section 4(a) (1), prohibits a bank holding company (ICON), a mortgage broker. (HR 40, 41) from acquiring any voting shares of any company ICON, as principal and for its own account and which is not a bank, but, Section 4(c)(8) thereof using its own funds, can solicit and make loans and allows an exemption from said prohibition for sell and service such loans. (HR 103, 104) Peti­ “shares” of any company “all the activities of which tioner intends that the Agency will write insurance for such activities of ICON. (HR 108) 1A bank holding company may own the shares of a Petitioner intends that the Agency will write corporation that performs such functions by virtue of sec­ tion 4(c)(5) of the Act. casualty insurance renewals (written initially in con­ Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 603 nection with a Subsidiary Bank loan) after the bank “16. Renewals or replacements of insurance loan has been repaid and satisfied. (HR 109) coverage written in connection with loan transac­ The activities of the Agency will be limited to tions by subsidiary banks of Bankshares after such insurance. (HR 119) loans have been repaid. Article IX of the proposed by-laws of the Agency “17. Mortgage redemption life insurance on the states and evidences that the Agency will engage in lives of borrowers from banking subsidiaries of the business of selling, as indicated, the following Bankshares or Investment Corporation of Norfolk types of insurance. (HR 118, AX-4): and extensions or renewals of such insurance “1. Life and mortgage redemption, Credit life, policies.” accident and disability insurance in connection with loans to borrowers from the subsidiary banks of Discussion United Virginia Bankshares Incorporated (Bank­ Petitioner requests the Board to make a 4(c) (8) shares), or Investment Corporation of Norfolk determination, the statutory and regulatory specifica­ (ICON), a subsidiary of Bankshares. tions for which are noted above. None of the “2. Property damage and public liability insur­ Agency’s activities can be related to a business con­ ance coincident with automobile loans to borrow­ ducted by Petitioner or the Subsidiary Banks which ers from the subsidiary banks of Bankshares. is not banking or managing or controlling banks. “3. Property damage and public liability insur­ None of the activities of the Agency can be related ance on property serving as collateral securing loans to the business of banking or managing or control­ made by subsidiary banks of Bankshares or of ling banks if not conducted by Petitioner or the Sub­ ICON. sidiary Banks. The Act and Regulation Y require “4. Public liability insurance on premises oc­ the Agency activities to be limited to accompani­ cupied by Bankshares and its subsidiaries. ments and complements to the bank management “5. Physical damage and public liability insur­ or banking business conducted by Petitioner or its ance on motor vehicles owned by Bankshares and “banking” subsidiaries. Proof of this limited activity its subsidiaries. must appear in the hearing record. Otherwise, the “6. Public liability non-ownership motor vehicle Board must decline to make the determination. protection for Bankshares and its subsidiaries. A corporate entity, such as ICON, when making “7. Blanket bond or other fidelity coverage on loans as principal, is acting independently pursuant personnel of Bankshares and its subsidiaries. to nonbank powers and authority. It is not orga­ “8. Workman’s compensation and employers’ nized, operated or supervised as a bank. It does not liability for Bankshares and its subsidiaries. become (nor do the multitude of independent loan “9. Fire and extended coverage and boiler and and mortgage brokers) a bank and is not engaged machinery coverage on facilities owned or occupied in the business of banking merely because it makes by Bankshares and its subsidiaries. and services real estate loans. It is not the agent of “10. Errors and omissions protection for bank­ a bank. Nor does such independent activity con­ ing subsidiaries of Bankshares. stitute the business by Petitioner of managing or “11. Safe deposit liability for bank subsidiaries of controlling banks. Bankshares. For the Agency to write insurance for anyone “12. Garage keepers legal liability coverage on merely because they were a former borrower from motor vehicles parked on premises owned or oper­ the Subsidiary Banks, would not be an activity ated by Bankshares and its subsidiaries. related to the banking business conducted by the “13. Registered, certified and first class mail and Subsidiary Banks. This would be simply an inde­ express protection for Bankshares and its subsid­ pendent insurance transaction. iaries. Counsel for Petitioner and Board Counsel refer “14. Group life, accidental death and dismem­ to the recent Bremer and other Board cases to jus­ berment, major medical, hospitalization, medical tify a 4(c)(8) determination, in spite of the ex­ benefit coverages, accidental travel coverages for tracurricular activities contemplated by the Agency employees and certain members of their families of as shown above and admitted in the hearing record Bankshares and its subsidiaries. in this case. Suffice it to note that notwithstanding “15. Such other insurance for the protection of specific requests by the Presiding Officer (HR Bankshares and its subsidiaries against loss or 24, 30, 125, 126) for Counsel to support their liability as may from time to time be customarily contentions with authority from and under the maintained by banks or bank holding companies. Act and Board Regulations, no such reference Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

604 FEDERAL RESERVE BULLETIN □ JULY 1970 or authority has been supplied. Nothing in the Act ship, constitutes management and control by Peti­ or Regulations even suggests that any part of the tioner of the Subsidiary Banks. activities of the Agency can be unrelated and not a From the foregoing it is clear that all the activities proper incident to the businesses specified therein. of the Agency will not be related and limited to the Mere beliefs, opinions, and conclusions without business of banking or managing or controlling reference to support and authority from the Act or banks conducted by Petitioner or the Subsidiary Regulations of the Board, as set forth and contained Banks, and hence the shares of the Agency do not in Counsels’ briefs and the cited cases, are insuffi­ qualify for the exemption available under Section cient and do not provide a basis, authority or jus­ 4(c)(8) of the Act. To allow the exemption under tification for the requested determination and exemp­ the existing record would thereby authorize the tion. The requirements of the Act must be com­ acquisition by Petitioner of shares of a company plied with. The hearing record in this case shows a which is neither a bank nor one whose total insur­ clear intention to deviate from the specific exemp­ ance activities are limited as aforesaid, and would tion requirements of 4(c) (8) of the Act and Board therefore violate the clear prohibitions and require­ Regulation Y. ments of Section 4 of the Act and Regulation Y. The Agency will sell: insurance in connection Hence, the request of Petitioner, on the existing with loans to borrowers from ICON; public liability record, must be denied and the prohibitions of Sec­ insurance on premises occupied by Petitioner and tion 4 of the Act preserved and applied in order to any whatsoever of “its subsidiaries”; property and carry out the purposes of the Act. liability insurance on motor vehicles owned or used The purpose of the hearing is to have the Peti­ by Petitioner and any whatsoever of “its sub­ tioner provide the Board with bases and justification sidiaries”; fidelity insurance on personnel of Peti­ on the hearing record which may permit the deter­ tioner and any whatsoever of “its subsidiaries”; mination requested and as contemplated by 4(c) (8) workman’s compensation and employers’ liability of the Act and Regulation Y. Negotiation by the for Petitioner and any whatsoever of “its sub­ Board of an agreement with Petitioner as to the sidiaries”; fire and extended coverage and boiler and limits of the activities of the Agency is not the machinery coverage on facilities occupied or owned purpose of the hearing nor a function of the Board. by Petitioner and any whatsoever of “its sub­ However, Counsel for Petitioner requested (HR sidiaries”; protection regarding automobiles parked 32-33) the opportunity to conform the activities of on premises owned or operated by Petitioner and the Agency with the exemption requirements of the any whatsoever of “its subsidiaries”; mail insurance Act and Board Regulation. for Petitioner and any whatsoever of “its subsid­ iaries”; group life and health for employees of Recommendation Petitioner and any whatsoever of “its subsidiaries”; renewals or replacement of insurance written in con­ Based on the foregoing, it is recommended that nection with loans by Subsidiary Banks after repay­ the Board issue forthwith an Order declining to make the BHC A 4(c)(8) determination requested ment of such loans; mortgage life insurance on bor­ by Petitioner, based upon the existing record; Pro­ rowers from ICON and extensions or renewals vided However, it is recommended further that thereof; and, such other insurance to protect Peti­ Petitioner be authorized to file with the Board, within tioner and any whatsoever of “its subsidiaries” one hundred twenty days from the date of such against loss “as may from time to time be cus­ Order, a supplement to and modification of its re­ tomarily” maintained by banks or bank holding com­ quest in this matter, setting forth any changes (Peti­ panies. tioner may elect in its sole discretion) in the existing The Act and Regulation Y require the activities of contemplated activities of Agency consistent with the Agency to be related and limited to business the pertinent requirements of the Act and Regula­ conducted by Petitioner or its “banking” subsid­ tion, which may thereby justify the Board to reopen iaries; and bar Agency activities related to non­ the hearing record to receive evidence for its con­ banking businesses conducted by Petitioner or its sideration to modify such initial Order and make banking subsidiaries. The exemption is confined to the BHCA 4(c)(8) determination sought in Peti­ the business conducted by “banking” subsidiaries tioner’s so amended request. and does not extend to “any” subsidiary of Peti­ tioner. (Signed) Leonard J. Ralston, The business of the Management Corporations, Presiding Officer under their apparent limited operation and owner­ [March 12,1970] Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Announcements CHANGES IN THE BOARD’S STAFF flows, to the extent that they simply represented a The Board of Governors announced the designa­ transfer of borrowings from other financing ave­ tion of David B. Hexter as an Assistant to the nues, as for example the commercial paper market. Board, effective July 1, 1970. Mr. Hexter joined the Under these circumstances, appropriate accom­ Board’s staff in 1953 and has been serving as the modations in bank lending, the Board said, would Board’s General Counsel since January 1968. be a constructive element in the process of adjust­ To succeed Mr. Hexter as General Counsel, the ment to changing financial conditions and would Board also announced the appointment of Thomas not interfere with the continuing objective of J. O’Connell, effective July 1, 1970. Mr. O’Connell curbing inflation. was appointed to the Board’s staff in 1956 and was The Board’s action was taken after consultation named Deputy General Counsel in January 1968. with the Federal Deposit Insurance Corporation and the Federal Home Loan Bank Board. APPOINTMENT OF MR. MAYO No change was made in the ceilings applicable AS PRESIDENT OF CHICAGO BANK to longer-term certificates of deposit of $100,000 The Board of Governors approved the appointment, or more, which remain at 63A per cent for ma­ turities of 90 to 179 days, 7 per cent for 180 days by the Directors of the Federal Reserve Bank of to 1 year, and 7Vi per cent for 1 year or more. Chicago, of Robert P. Mayo as President of that Likewise, no change was made in the ceilings on Bank, effective July 29, 1970, to serve the re­ savings deposits or time deposits (including cer­ mainder of a 5-year term expiring February 28, tificates of deposit) of less than $100,000, on 1971. He succeeds Charles J. Scanlon, who resigned earlier this year to become a Vice-President of Gen­ which the maximum rates payable range from AV2 to 53A per cent. eral Motors Corporation. Mr. Mayo had been since July 1 a counselor to NEW PUBLICATION President Nixon, after having served as Director Joint Treasury-Federal Reserve Study of the U.S. of the Bureau of the Budget from the beginning of Government Securities Market: Staff Studies— the current administration. Part 1 is available for distribution. It consists of the following three papers: “Techniques of the SUSPENSION OF SHORT-TERM CEILINGS ON Federal Reserve Trading Desk in the 1960’s INTEREST RATES Contrasted with the ‘Bills Preferably’ Period The Board of Governors of the Federal Reserve (1953-60)” by Robert L. Cooper; “Views of U.S. System on June 23, 1970, suspended, effective Government Securities Dealers” by Normand R. V. Wednesday, June 24, ceilings on interest rates pay­ Bernard; and “Institutional Investors in the Gov­ able by member banks on certificates of deposit ernment Securities Market” by Joseph Scherer. and other single-maturity time deposits in denom­ Copies may be obtained from Publications Serv­ inations of $100,000 or more with maturities of 30 ices, Division of Administrative Services, Board of through 89 days. Governors of the Federal Reserve System, Wash­ Prior to the suspension, which is to remain in ington, D.C. 20551. The price is 50 cents per copy; effect until further action by the Board, the ceilings in quantities of 10 or more sent to one address, 40 on such deposits had been 6V4 per cent for ma­ cents each. turities of 30 to 59 days and 6V2 per cent for maturities of 60 to 89 days. ADMISSION OF STATE BANKS TO In taking the action, the Board recognized that MEMBERSHIP IN THE FEDERAL RESERVE SYSTEM there could be unusual demands upon commercial The following bank was admitted to membership in banks for short-term credit accommodation as a the Federal Reserve System during the period consequence of current uncertainties in financial June 17, 1970 through July 15, 1970: markets. If this occurs, such increases in bank loans West Virginia would not constitute an increase in total credit Philippi..........................Barbour County Bank 605 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

National Summary of Business Conditions Released for publication July 15 Industrial production decreased somewhat further of iron and steel changed little, but production of in June but by less than in May, retail sales were construction materials and most nondurable mate­ little changed, and both nonfarm employment and rials was down. Output of rubber products re­ the unemployment rate declined. Commercial bank covered from the curtailed May level with settlement credit and time and savings deposits rose less than of labor disputes. in other recent months and the money supply edged down. Between mid-June and mid-July, most in­ EMPLOYMENT terest rates declined. Total nonfarm payroll employment declined 215,000 in June to 70.7 million with manufacturing INDUSTRIAL PRODUCTION employment off 120,000. Average weekly hours in manufacturing were unchanged in June at 39.8 Industrial production in June was 168.6 per cent of hours. The unemployment rate declined to 4.7 per the 1957-59 average, down 0.3 per cent from May cent from 5.0 per cent in May. The entire decline and 3.4 per cent below the high of last summer. Out­ occurred among adult women, whose rate had risen put of business and defense equipment and materials sharply in May. The rate for adult men was un­ declined, but production of consumer goods rose changed at 3.5 per cent. slightly. Output of business and defense equipment was 8.5 per cent below its peak last fall. RETAIL SALES Auto assemblies increased 4.5 per cent and were at an annual rate of 8.4 million units. Production The value of retail sales was apparently little schedules for July, after allowance for the model changed in June as a rise in sales at durable goods changeover period, indicate little change from the stores was about offset by a decline at nondurable June rate. Output of television sets rose from the goods stores. Unit sales of new domestic autos rose very low May level and production of consumer to an annual rate of 8.6 million units, up 12 per staples increased. Output of furniture and some cent from May but 3 per cent below a year earlier. appliances declined. Reductions in production of AGRICULTURE business equipment were widespread except for a rise in truck assemblies. Among materials, output Farm production prospects at midyear indicate that substantial increases in hogs, feed crops, oilseeds, INDUSTRIAL PRODUCTION and cotton are likely. If these increases are realized, 1957-59=100 prices of hogs and of most major crops are likely to be under considerable downward pressure from 180 expanding supplies by fall. 160 WHOLESALE AND CONSUMER PRICES 140 Wholesale prices rose 0.2 per cent from early May to early June as average prices of industrial com­ modities increased 0.1 per cent and prices of farm 200 and food products rose 0.4 per cent. Prices of non- 180 ferrous metals declined for the first time since Sep­ 160 tember 1968; more recently, there have been further cuts in nonferrous metals. 140 Consumer prices increased 0.4 per cent in May, largely as a result of increases in prices of used cars and in charges for consumer services, which, how­ ever, showed their smallest rise since last November. F.R. indexes, seasonally adjusted. Latest figures: June. 606 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

BANK CREDIT, DEPOSITS, AND RESERVES Net borrowed reserves of member banks averaged Commercial bank credit increased $400 million in about $750 million over the five weeks ending July June following an average monthly rise of $2 billion 1, little different from the previous month’s average. in April and May. Outstanding loans sold outright to Both member bank borrowings and excess reserves bank affiliates were about unchanged following in­ remained close to May levels. creases earlier. Bank holdings of investments in­ creased further but at a much slower pace than in SECURITY MARKETS other recent months. Total loans declined somewhat Interest rates throughout the list in the U.S. Govern­ reflecting weakness in most major categories. ment securities market declined between mid-June The money supply declined $100 million in June and mid-July. Treasury bill yields fell some 10 to following substantially reduced growth in May. Over 40 basis points, with the 3-month issue bid at around the first half of the year, the money supply in­ 6.50 per cent in the middle of July. Rates on notes creased at an annual rate of about AVa per cent com­ and bonds dropped about 30 to 50 basis points. pared with only nominal expansion in the second Yields on newly issued corporate bonds declined half of 1969. Growth in time and savings deposits in June was smaller than in other recent months. more than 60 basis points from the record levels Holdings of large-denomination negotiable CD’s reached in mid-June. Seasoned corporate yields, declined over most of June but increased sharply while at a higher level than during June, remained late in the month after ceiling rates on maturities virtually unchanged over the past 30 days. Munici­ of 30 to 89 days were suspended. Inflows of con­ pal bond yields declined almost 50 basis points sumer-type time and savings deposits at large banks in the past month. continued at about the same moderate rate as in Stock prices declined following the May and June May while inflows of total time and savings deposits rallies. The volume of shares traded on the two at smaller banks slackened somewhat. major exchanges has been slightly below average. PRICES INTEREST RATES 1957-59=100 140 130 120 110 140 130 120 110 Bureau of Labor Statistics. “Farm products and foods” is Discount rate, range or level for all F.R. Banks. Weekly BLS “Farm products, and processed foods and feeds.” Latest average market yields for U.S. Govt, bonds maturing in 10 figures: Consumer, May; Wholesale, June. years or more and for 90-day Treasury bills. Latest figures: week ending July 10. 607 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Financial and Business Statistics CONTENTS A 3 GUIDE TO TABULAR PRESENTATION A 3 STATISTICAL RELEASES: REFERENCE U.S. STATISTICS: A 4 Member bank reserves, Federal Reserve Bank credit, and related items A 8 Federal funds— Major reserve city banks A 9 Reserve Bank discount rates A 10 Reserve and margin requirements A 11 Maximum interest rates; bank deposits A 12 Federal Reserve Banks A 14 Open market account A 15 Reserve Banks; bank debits A 16 U.S. currency* A 17 Money supply; bank reserves A 18 Banks and the monetary system A 19 Commercial banks, by classes A 23 Commercial banks A 26 Weekly reporting banks A 31 Business loans of banks A 32 Loan sales by banks A 33 Interest rates A 35 Security markets A 36 Stock market credit A 37 Open market paper A 37 Savings institutions A 39 Federally sponsored credit agencies A 40 Federal finance A 42 U.S. Government securities A 45 Security issues A 48 Business finance A 50 Real estate credit A 54 Consumer credit Continued on next page A 1 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 2 FEDERAL RESERVE BULLETIN □ JULY 1970 U.S. STATISTICS— Continued A 58 Industrial production A 62 Business activity A 62 Construction A 64 Labor force, employment, and earnings A 66 Consumer prices A 66 Wholesale prices A 68 National product and income A 70 Flow of funds INTERNATIONAL STATISTICS: A 72 U.S. balance of payments A 73 Foreign trade A 74 U.S. gold transactions A 75 U.S. reserve assets; position in the IMF A 76 International capital transactions of the United States A 89 Foreign exchange rates A 90 Money rates in foreign countries A 91 Arbitrage on Treasury bills A 92 Gold reserves of central banks and governments A 93 Gold production TABLES PUBLISHED PERIODICALLY Banking and monetary statistics, 1969: A 94 Consolidated condition statement A 95 Principal assets and liabilities of commercial banks and number, by class of bank A 105 INDEX TO STATISTICAL TABLES Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 3 Guide to Tabular Presentation SYMBOLS AND ABBREVIATIONS e Estimated N.S.A. Monthly (or quarterly) figures not adjusted c Corrected for seasonal variation IPC Individuals, partnerships, and corporations P Preliminary SMSA Standard metropolitan statistical area r Revised A Assets rp Revised preliminary L Liabilities I, II, S Sources of funds III, IV Quarters U Uses of funds * Amounts insignificant in terms of the par­ n.e.c. Not elsewhere classified ticular unit (e.g., less than 500,000 when A.R. Annual rate the unit is millions) S.A. Monthly (or quarterly) figures adjusted for (1) Zero, (2) no figure to be expected, or seasonal variation (3) figure delayed GENERAL INFORMATION Minus signs are used to indicate (1) a decrease, (2) include not fully guaranteed issues) as well as direct a negative figure, or (3) an outflow. obligations of the Treasury. “State and local govt.” also includes municipalities, special districts, and other politi­ A heavy vertical rule is used in the following in­ cal subdivisions. stances: (1) to the right (to the left) of a total when the components shown to the right (left) of it add to In some of the tables details do not add to totals that total (totals separated by ordinary rules include because of rounding. more components than those shown), (2) to the right The footnotes labeled Note (which always appear (to the left) of items that are not part of a balance last) provide (1) the source or sources of data that do sheet, (3) to the left of memorandum items. not originate in the System; (2) notice when figures are “U.S. Govt, securities” may include guaranteed issues estimates; and (3) information on other characteristics of U.S. Govt, agencies (the flow of funds figures also of the data. TABLES PUBLISHED QUARTERLY, SEMIANNUALLY, OR ANNUALLY, WITH LATEST BULLETIN REFERENCE Quarterly Issue Page Annually—Continued Issue Page Flow of funds..................................... May 1970 A-70—A-71.9 Banks and branches, number, by class and State..................................Apr. 1970 A-94—A-95 Semiannually Flow of funds: Assets and liabilities: Banking offices: 1967................................................May 1968 A-67.10-A-67.il Analysis of changes in number.. . Feb. 1970 A-96—A-97 1955-68...........................................Nov. 1969 A-71.10—A-71.20 On, and not on, Federal Reserve Flows: Par List, number........................ Mar. 1970 A-108 1955-68...........................................Nov. 1969 A-70—A-71.9 Income and expenses: Annually Federal Reserve Banks.....................Feb. 1970 A-94—A-95 Member banks: Bank holding companies: Calendar year................................May 1969 A-95—A-99 List of, Dec. 31, 1969..................... June 1970 A-94 Income ratios.................................May 1969 A-100—A-103 Banking offices and deposits of Operating ratios............................May 1969 A-l 04—A-l 06 group banks, Dec. 31, 1968.... Aug. 1969 A-96 Insured commercial banks...............May 1969 A-l 07 Banking and monetary statistics, 1969 Mar. 1970 A-94—A-107 Stock exchange firms, detailed debit July 1970 A-94—A-97 and credit balances............................Sept. 1969 A-94—A-95 Statistical Releases LIST PUBLISHED SEMIANNUALLY, WITH LATEST BULLETIN REFERENCE Issue Page Anticipated schedule of release dates for individual releases...................................................................... June 1970 A-l 02 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 4 BANK RESERVES AND RELATED ITEMS □ JULY 1970 MEMBER BANK RESERVES, FEDERAL RESERVE BANK CREDIT, AND RELATED ITEMS (In millions of dollars) Factors supplying reserve funds Reserve Bank credit outstanding Treas­ Period or date U.S. Govt, securities 1 Special ury Dis­ Gold Drawing cur­ Held counts Other stock Rights rency under and Float 2 F.R. Total 4 certificate out­ Bought repur­ ad­ assets 3 stand­ Total out­ chase vances ing right agree­ ment Averages of daily figures 1939—Dec.......................... 2,510 2,510 8 83 2,612 17,518 2,956 1941—Dec.......................... 2,219 2,219 5 170 2,404 22,759 3,239 1945—Dec.......................... 23.708 23,708 381 652 24,744 20,047 4,322 1950—Dec.......................... 20,345 20,336 142 1,117 21,606 22,879 4,629 1960—Dec.......................... 27,248 27,170 78 94 1,665 29,060 17,954 5,396 1965—De c 40,885 40,772 113 490 2,349 43,853 13,799 5,565 1966—De c 43,760 43,274 486 570 2,383 46,864 13,158 6,284 1967—De c 48,891 48,810 81 238 2,030 51,268 12,436 6,777 1968—De c 52,529 52,454 75 765 3,251 56,610 10.367 6,810 1969—Jun e 54,028 53,926 102 1,407 2,463 2,614 60,565 10.367 6,746 July.......................... 54,298 54,252 46 1,190 2,684 2,670 60,887 10.367 6,737 Aug.......................... 54,599 54,334 265 1,249 1,230 2,672 60,876 10.367 6,739 Sept.......................... 53,840 53,722 118 1,067 2,477 3,032 60,459 10.367 6,761 Oct........................... 54.708 54,497 211 1,135 2,462 3,153 61,516 10.367 6,785 Nov.......................... 56.499 56,424 75 1,241 2,541 2,460 62,788 10.367 6,810 Dec........................... 57.500 57,295 205 1,086 3,235 2,204 64,100 10.367 6,841 1970—Ap r 55,982 55,787 195 877 3,275 2,209 62,424 11.367 400 6,919 May......................... 57,265 57,179 86 1,066 2,985 1,708 63,087 11.367 400 6,967 June?....................... 57,630 57,584 46 979 2,806 1,369 62,826 11.367 400 6,999 Week ending— 1970—Apr. 1................... 55,986 55,714 272 989 2,886 2,125 62,060 11.367 400 6,903 8................... 55,727 55,674 53 536 3,466 2,153 61,948 11.367 400 6,907 15................... 56,121 55,830 291 1,057 2,914 2,189 62,379 11.367 400 6,914 22................... 55,975 55,832 143 1,016 3,571 2,231 62,863 11.367 400 6,924 29................... 56,017 55,760 257 984 3,160 2,267 62,514 11.367 400 6,931 May 6................... 57,178 56,914 264 864 3,080 2,228 63,443 11.367 400 6,949 13................... 57,311 57,311 900 2,932 2,098 63,295 11.367 400 6,959 20................... 57,435 57,261 174 1,269 3,196 1,589 63,562 11.367 400 6,968 27................... 57,040 57,040 1,023 2,845 1 ,294 62,252 11.367 400 6,974 June 3................... 57,388 57,295 93 1,314 2,785 1,192 62,729 11.367 400 6,981 10................... 57,540 57,438 102 947 2,601 1,228 62,368 11.367 400 6,991 17................... 57,977 57,977 748 2,950 1,371 63,084 11.367 400 6,996 24p................. 57,299 57,299 977 3,157 1,424 62,895 11.367 400 7,004 End of month 1970—Apr.......................... 56,542 756,162 380 545 3,536 2,239 62,968 11.367 400 6,944 May......................... 57,307 57,307 1,451 2,883 1,184 62,867 11.367 400 6,970 JuneP....................... 57,714 57,714 420 2,517 1,556 62,239 11.367 400 7,010 Wednesday 1970—Apr. 1................... 56,035 755,785 250 612 2,964 2,159 61,858 11.367 400 6,907 8................... 55,564 755,564 445 2,850 2,173 61,090 11.367 400 6,912 15................... 56,380 755,876 504 1,436 3,126 2,210 63,268 11.367 400 6,922 22................... 56,078 755,580 498 1,351 3,078 2,254 62.884 11.367 400 6,926 29................... 56,085 756,085 926 2,815 2,251 62,135 11.367 400 6,934 May 6................... 57,857 757,490 367 532 3,074 2,090 63,667 11.367 400 6,952 13................... 57,185 757,185 850 2,818 2,108 63,015 11.367 400 6,966 20................... 57,370 757,370 535 2,901 1,368 62,224 11.367 400 6,971 27................... 57,115 757,115 979 2.464 1,179 61,783 11.367 400 6,978 June 3*>................. 57,698 757,344 354 1,336 2,708 1,215 63,022 11.367 400 6,989 10?................. 57,552 757,552 832 2,180 1,261 61,863 11.367 400 6,994 17p................. 57,823 757,823 460 3,536 1,414 63,271 11.367 400 6,999 24 p................. 57,005 6 757,005 841 2.464 1,541 61.885 11.367 400 7,008 For notes see opposite page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ BANK RESERVES AND RELATED ITEMS A 5 MEMBER BANK RESERVES, FEDERAL RESERVE BANK CREDIT, AND RELATED ITEMS—Continued (In millions of dollars) Factors absorbing reserve funds Deposits, other than member bank Member bank r C e c i n i u n r c r ­ y ­ T c u r a e r s a y h s­ with r e F s . e R rv . e B s, a nks O F a t . h c R ­ e . r b O F i l l t . i i h R a ti ­ e e . r s reserves Period or date c t u io la n ­ h in o g ld s ­ T u re r a y s­ F ei o g r n ­ Other 2 counts3 ca a p n it d al3 W F.R ith . r C a e n n u d c r y ­ Total Banks coin5 Averages of daily figures 7,609 2,402 616 719 248 11,473 11,473 .......................1939—Dec. 10,985 2,189 592 1,531 292 12,812 12,812 .......................1941—Dec. 28,452 2,269 625 1 247 493 16,027 16,027 .......................1945—Dec. 27,806 1,290 615 920 353 739 17,391 17,391 .......................1950—Dec. 33,019 408 522 250 495 1,029 16,688 2,595 19,283 .......................1960—Dec. 42,206 808 683 154 231 389 18,747 3,972 22,719 .......................1965—Dec. 44,579 1,191 291 164 429 83 19,568 4,262 23,830 .......................1966—Dec. 47,000 1,428 902 150 451 -204 20,753 4,507 25,260 .......................1967—Dec. 50,609 756 360 225 458 -1,105 22,484 4,737 27,221 .......................1968—Dec. 50,693 672 970 107 458 2,010 22,768 4,549 27,317 .......................1969—June 51,256 657 1,117 142 473 2,038 22,309 4,671 26,980 ....................................July 51,328 671 881 141 469 2,062 22,430 4,649 27,079 ..................................Aug. 51,438 678 597 128 454 2,055 22,238 4,733 26,971 ..................................Sept. 51,683 665 983 121 479 2,078 22,659 4,681 27,340 ...................................Oct. 52,468 666 1,074 135 445 2,140 23,037 4,727 27,764 ..................................Nov. 53,591 656 1,194 146 458 2,192 23,071 4,960 28,031 ...................................Dec. 52,867 567 1,180 166 870 2,137 23,323 4,773 28,096 .......................1970—Apr. 53,490 544 1,440 182 845 2,215 23,105 4,805 27,910 ...................................May 54,125 495 1 ,065 165 801 2,255 22,686 4,864 27,550 ...................................June? Week ending— 52,566 572 1,281 238 820 2,151 23,100 4,706 27,806 .................1970—Apr. 1 52,718 576 1,156 214 881 2,218 22,859 4,850 27,709 ...................................... 8 52,988 567 954 136 876 2,161 23,378 4,884 28,262 ......................................15 52,945 567 1,158 143 863 2,042 23,835 4,537 28,372 ......................................22 52,817 559 1,384 158 863 2,110 23,320 4,806 28,126 ......................................29 53,111 557 1,513 192 854 2,243 23,688 4,899 28,587 .............................May 6 53,568 545 1,726 247 886 2,255 22,794 4,951 27,745 ......................................13 53,589 542 1,431 203 854 2,132 23,546 4,549 28,095 ......................................20 53,517 538 1,265 119 804 2,199 22,552 4,779 27,331 ......................................27 53,774 524 1,230 134 801 2,292 22,721 4,892 27,613 .............................June 3 54,037 516 819 145 793 2,369 22,448 5,021 27,469 ......................................10 54,261 499 1,010 157 835 2,180 22,905 4,798 27,703 .......................................17 54,172 484 1 ,195 207 800 2,189 22,618 4,636 27,254 ......................................24* End of month 53,034 546 1,784 204 825 2,204 23,082 4,901 27,983 .......................1970—Apr. 53,665 512 1,198 128 788 2,271 23,041 4,898 27,939 ...................................May 54,368 448 1,005 168 806 2,275 21,946 4,990 26,936 ...................................June? Wednesday 52,712 578 1,057 212 908 2,185 22,880 4,706 27,586 .................1970—Apr. 1 52,958 577 1,009 144 901 2,235 21,945 4,849 26,794 ....................................... 8 53,086 570 869 152 926 2,017 24,337 4,885 29,222 ......................................15 52,947 570 941 189 885 2,070 23,976 4,539 28,515 ......................................22 53,024 564 1,367 224 869 2,138 22,650 4,810 27,460 ......................................29 53,463 552 1,323 168 869 2,297 23,713 4,901 28,614 .............................May 6 53,725 549 1,691 232 955 2,072 22,524 4,951 27,475 ......................................13 53,603 551 742 141 813 2,153 22,959 4,554 27,513 ......................................20 53,739 532 1 ,305 109 813 2,227 21,803 4,780 26,583 ......................................27 53,978 528 1,253 131 815 2,335 22,738 4,898 27,636 .............................June 3^ 54,310 511 880 117 795 2,377 21,634 5,027 26,661 ......................................IOp 54,347 495 1,092 197 797 2,152 22,957 4,804 27,761 ......................................17* 54,223 475 1,136 246 815 2,208 21,556 4,636 26,192 ......................................24 p 1 U.S. Govt, securities include Federal agency obligations. 5 Part allowed as reserves Dec. 1, 1959—Nov. 23, 1960; all allowed 2 Beginning with 1960 reflects a minor change in concept; see Feb. thereafter. Beginning with Jan. 1963, figures are estimated except for 1961 Bulletin, p. 164. weekly averages. Beginning Sept. 12, 1968, amount is based on close- 8 Beginning Apr. 16, 1969, “Other F.R. assets” and “Other F.R. of-business figures for reserve period 2 weeks previous to report date. liabilities and capital” are shown separately; formerly, they were 6 Reflects securities sold, and scheduled to be bought back, under netted together and reported as “Other F.R. accounts.” matched sale/purchase transactions. 4 Includes industrial loans and acceptances, when held (industrial 7 Includes securities loaned—fully secured by U.S. Government loan program discontinued Aug. 21, 1959). For holdings of accept­ securities pledged with Federal Reserve Banks. ances on Wed. and end-of-month dates, see subsequent tables on F.R. Banks. See also note 2. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 6 BANK RESERVES AND RELATED ITEMS □ JULY 1970 RESERVES AND BORROWINGS OF MEMBER BANKS (In millions of dollars) Reserve city banks All member banks New York City City of Chicago Period Reserves Bor­ Reserves Bor­ Reserves Bor­ T h o e t ld al qu R ir e e ­ d i Excess B r F i o a n a . n w R g t k s ­ . s s F er r r v e e e e ­ s T h o el t d al qu R ir e e ­ d i B r F i o a n . a w n R g t k s ­ . s se F r r r v e e ­ e e s T h o e t l a d l qu R ir e e ­ d 1 Excess B r F i a o n a . n w R g t k s . ­ s Free 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 1950—Dec............ 17,391 16,364 1,027 142 885 4,742 4,616 125 58 67 1.199 1,191 3 1960—Dec............ 19,283 18,527 756 87 669 3,687 3.658 29 19 10 958 953 4 -4 1963—De c 20,746 20,210 536 327 209 3,951 3,895 56 37 19 1,056 1,051 5 26 -21 1964—De c 21,609 21,198 411 243 168 4,083 4,062 21 35 -14 1,083 1,086 -3 28 -31 1965—De c 22,719 22,267 452 454 —2 4,301 4,260 41 111 -70 1.143 1,128 15 23 -8 1966—De c 23,830 23,438 392 557 -165 4,583 4,556 27 122 -95 1,119 1,115 4 54 -50 1967—De c 25,260 24,915 345 238 107 5,052 5,034 18 40 -22 1,225 1,217 13 -5 1968—De c 27,221 26,766 455 765 -310 5,157 5,057 100 230 -130 1.199 1,184 85 -70 1969—Jun e 27,317 26,974 343 1,407 -1,064 4.962 4,894 68 96 -28 1,241 1,206 27 8 July........... 26,980 26,864 116 1,190 -1,074 4,837 4,817 20 86 -66 1,197 1,207 5 -15 Aug........... 27,079 26,776 303 1,249 -946 4.963 4,922 41 93 -52 1,188 1,196 39 -47 Sept........... 26,971 26,735 236 1,067 -831 4,990 4,967 23 87 -64 1.200 1,186 51 -37 Oct........... 27,340 27,197 143 1,135 -992 5,195 5,183 12 138 -126 1,228 1,235 19 -26 Nov........... 27,764 27,511 253 1,241 -988 5,376 5,350 26 169 -143 1,244 1,254 57 -67 Dec........... 28,031 27,774 257 1,086 -829 5,441 5,385 56 259 -203 1.285 1,267 27 -9 1970—Ja n 28,858 28,692 166 965 -799 5,668 5.659 9 141 -132 1,320 1.316 86 -82 Feb........... 27,976 27,703 273 1,092 -819 5,458 5,424 34 110 -76 1,253 1,264 47 -58 Mar......... 27.473 27,358 115 896 -781 5,349 5,344 5 153 -148 1,265 1,249 31 -15 Apr.......... 28,096 27,978 118 822 -704 5,482 5,453 29 227 -198 1,295 1.316 61 -82 May........ 27,910 27,729 181 976 -795 5,307 5,302 5 176 -171 1.285 1,287 23 25 June?.... 27,550 27,380 170 889 -719 5,202 5,164 38 132 -94 1,247 1 ,247 Week ending— 1969—June 4.. 27,643 27,274 369 1,521 -1,152 5,083 4,996 87 43 44 1.239 1,235 197 -193 11 . . 27,444 26,996 448 1,260 -812 5,085 4,965 120 90 30 1.254 1,214 3 37 18. . 27,036 26,937 99 1,315 -1,216 4,904 4,924 -20 40 -60 1.199 1,216 -17 25. . 26,966 26,775 191 1,323 -1,132 4,774 4,761 13 134 -121 1.199 1,173 26 1970—Feb. 4.. 28,415 28,204 211 1,258 -1,047 5,520 5,489 75 -44 1.269 1,287 104 -122 11.. 27,997 27,790 207 1,069 -862 5.414 5,399 130 -115 1,272 1,260 12 . 18.. 28,059 27,810 249 1,110 -861 5,645 5,576 218 -149 1,275 1.292 121 *-i38 25.. 27,577 27,405 172 1,065 -893 5,323 5.317 6 1.254 1.237 7 10 Mar. 4.. 27,462 27,264 198 836 -638 5,309 5,288 21 86 -65 1,213 1.238 7 -32 11.. 27,233 27,162 71 932 -861 5,300 5,326 -26 169 -195 1.255 1,247 9 -1 18.. 27,631 27,481 150 817 -667 5,434 5,429 5 146 -141 1.255 1,266 7 -18 25.. 27,472 27,376 96 936 -840 5,338 5,312 26 102 -76 1.240 1,225 97 -82 Apr. 1.. 27,806 27,467 339 949 -610 5.415 5,340 75 232 -157 1.256 1,265 25 -34 8.. 27,709 27,530 179 496 -317 5,417 5.317 100 100 1,290 1.293 17 -20 15.. 28,262 28,160 102 1,017 -915 5,487 5,536 -49 349 -398 1,347 1,364 134 -151 22. . 28,372 28,214 158 969 -811 5,643 5,584 59 525 -466 1,340 1,336 20 -16 29. . 28,126 28,014 112 894 -782 5,375 5,394 -19 86 -105 1,271 1,279 86 -94 May 6.. 28,587 28,237 350 774 -424 5,547 5,440 107 93 14 1,343 1,317 86 -60 13. . 27,745 27,717 28 810 -782 5,293 5,378 -85 150 -235 1.269 1,292 14 -37 20. . 28,095 27,881 214 1,179 -965 5,515 5,433 82 332 -250 1,311 1,312 -1 27. . 27,331 27,287 44 933 -889 5,023 5,069 -46 86 -132 1,251 1,243 June 3. . 27,613 27,418 195 1,224 -1,029 5,198 5,145 53 287 -234 1,245 1,262 -17 10. . 27,469 27,333 136 857 -721 5,175 5,193 -18 195 -213 1,281 1,262 19 17. . 27,703 27,430 273 658 -385 5,289 5,244 45 11 34 1,229 1,252 -23 24 p. 27,254 27,190 64 887 -823 5,099 5,052 47 97 -50 1,202 1,203 -1 For notes see opposite page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ BANK RESERVES AND RELATED ITEMS A 7 ERVES AND BORROWINGS OF MEMBER BANKS—Continued (In millions of dollars) banks Country banks Reserves Borrow­ Borrow­ Period ings at Free ings at Free F.R. reserves F.R. reserves Banks T h o e t l a d l Required1 Excess Banks 1, 1,188 1,568 897 671 3 668 ...........................1939—Dec. 3, 1 1,302 2,210 1,406 804 4 800 ...........................1941—Dec. 96 322 4,576 3,566 1,011 46 965 ...........................1945—Dec. I: 50 182 4,761 4,099 663 29 634 ...........................1950—Dec. 7, 20 80 6,689 6,066 623 40 583 8, 190 -122 7,347 6,939 408 74 334 8, 125 -103 7,707 7,337 370 55 315 228 -161 8,219 7,889 330 92 238 5: 220 -159 8,619 8,318 301 161 140 i8: 105 -55 8,901 8,634 267 80 187 ...........................1967—Dec. 270 -180 9,875 9,625 250 180 70 ...........................1968—Dec. 10, 713 -649 10,128 9,952 176 571 -395 10, 517 -611 10,194 9,994 200 582 -382 ......................................July 10, 480 -396 10,114 9,928 186 637 -451 10, 461 -447 10,113 9,928 185 468 -283 10, 531 -558 10,172 10,007 165 447 -282 10, 572 -525 10,256 10,066 190 443 -253 10, 479 -473 10,335 10,158 177 321 -144 11, 455 -473 10,574 10,403 171 283 -112 10, 535 -473 10,290 10,102 188 400 -212 .......................................Feb. 10, 436 -501 10,122 9,963 159 276 -117 11. 372 -400 10,281 10,143 138 162 -24 10, 477 -447 10,340 10,192 148 300 -152 10, 488 -491 10,260 10,125 135 269 -134 Week ending— 11 = 644 -567 10,164 9,963 201 637 -436 .....................1969—June 4 10, 666 -591 10,103 9,890 213 501 -288 ..........................................11 10, 706 -744 10,068 9,894 174 569 -395 ..........................................18 10, 697 -677 10,124 9,992 132 492 -360 ..........................................25 11. 596 -566 10,486 10,318 168 483 -315 .....................1970—Feb. 4 11. 606 -642 10,337 10,121 216 321 -105 ..........................................11 10, 386 -372 10,209 10,026 183 385 -202 ..........................................18 10, 593 -588 10,226 10,082 144 465 -321 ..........................................25 10, 404 -382 10,167 9,987 180 339 -159 .................................Mar. 4 10, 530 -608 10,034 9,867 167 224 -57 ..........................................11 10, 394 -394 10,076 9,920 156 270 -114 ..........................................18 io, 458 -510 10,113 10,006 107 279 -172 ..........................................25 10, 400 -308 10,221 10,040 181 292 -111 10, 301 -398 10,208 10,029 179 178 1 .......................................... 8 11, 395 -381 10,220 10,066 154 139 15 ..........................................15 11, 306 -341 10,296 10,166 130 118 12 ..........................................22 11, 511 -514 10,411 10,269 142 211 -69 ..........................................29 11, 382 -317 10,487 10,335 152 213 -61 10, 442 -473 10,301 10,134 167 204 -37 ..........................................13 10, 553 -560 10,283 10,143 140 294 -154 ..........................................20 10, 397 -442 10,309 10,182 127 450 -323 ..........................................27 10, 598 -605 10,293 10,127 166 339 -173 10, 407 -451 10,223 10,044 179 255 -76 ..........................................10 10, 428 -325 10,214 10,066 148 219 -71 ..........................................17 10, 560 -636 10,243 10,150 93 230 -137 ..........................................24*> nt is based on close-of-business fig- Total reserves held: Based on figures at close of business through Nov. ous to report date. 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. Monthly data are averages of daily Required reserves: Based on deposits as of opening of business each day. they are not averages of the 4 or 5 Borrowings at F.R. Banks: Based on closing figures. tin the month. Beginning with Jan. or weekly averages. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 8 MAJOR RESERVE CITY BANKS □ JULY 1970 BASIC RESERVE POSITION, AND FEDERAL FUNDS AND RELATED TRANSACTIONS (In millions of dollars, except as 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 ding— s E e x r r v c e e e ­ s s s 1 r a o B t B w a F o n in . r k R ­ g s . s F t f i b e r n u N a a d n t n n e e e d t r r s k s ­ a . l S d u e r o f p i r c lu it s r P r e e e q a s r u e o v c r g i f v r e . e n e d s t c P ha u s r e ­ s Sales t a w c t T r t o a o i - o n t w a n s l ­ a s y 2 b c o b P u h a f y a u n n s i r k n e e ­ s g s t s o b S e a f l a n l l n i e k n e s s g t d L ea o t l a o e n rs s 3 de f r B i r a o n o o l w g e m r s r ­ ­ s4 lo N a e n t s Total—46 banks 1970—May 6............ 200 341 4,660 -4,800 39.1 7,630 2,971 2,383 5,247 588 1,231 306 925 13............ 24 405 5,585 -5,966 49.4 8,643 3,058 2,334 6,309 724 878 317 561 20............ 79 642 4,898 -5,461 44.7 8,274 3,376 2,700 5,574 676 785 326 459 27............ 30 236 4,107 -4,312 37.0 7,223 3,117 2,649 4,575 468 863 334 529 June 3............ 145 618 4,188 -4,661 39.4 7,404 3,216 2,716 4,688 499 877 367 510 10............ 24 433 5,407 -5,815 49.0 8,551 3,144 2,780 5,771 365 714 313 401 17............ 162 252 5,444 -5,534 46.4 8,519 3,075 2,910 5,609 165 609 349 260 24............ 142 410 4,907 -5,176 44.5 7,822 2,915 2,407 5,415 508 837 341 496 8 in New York City 1970—May 6............ 113 93 1,253 -1,233 24.8 2,308 1,055 976 1,332 79 803 212 591 13............ -7 150 1,858 -2,015 41.0 2,727 869 868 1,859 1 556 218 338 20............ 70 332 1,654 -1,916 38.6 2,789 1,136 1,095 1,694 41 542 206 336 27............ 8 86 1,158 -1,236 26.8 2,134 976 927 1,207 47 563 147 417 June 3............ 51 269 947 -1,165 24.9 2,174 1,227 997 1,177 231 563 143 421 10............ 12 195 1,770 -1,953 41.3 2,818 1,048 1,029 1,789 19 486 105 381 17............ 52 1,565 -1,512 31.6 2,643 1,078 1 008 1 635 70 438 117 321 24............ 88 97 1,508 -1,518 33.0 2,540 1,032 960 1,580 72 562 117 445 38 outside New York City 1970—May 6............ 87 248 3,407 -3,567 48.8 5,323 1,916 1,408 3,915 509 428 98 334 13............ 31 255 3,727 -3,951 55.1 5,915 2,188 1,446 4,450 723 322 100 222 20............ 10 310 3,245 -3,545 48.9 5,485 2,241 1,605 3,880 635 243 120 123 27............ 22 150 2,949 -3,076 43.6 5,089 2,141 1,722 3,368 419 300 187 113 June 3............ 94 349 3,241 -3,496 48.9 5,230 1,989 1,720 3,510 269 314 225 90 10............ 12 238 3,637 -3,862 54.2 5,733 2,096 1,751 3,982 345 227 208 20 17............ 110 252 3,880 -4,022 56.4 5,876 1,997 1,902 3,974 95 172 232 +60 24............ 54 313 3,399 -3,658 52.1 5,282 1,884 1,447 3,835 436 275 224 52 5 in City of Chicago 1970—May 6............ 19 86 1,270 -1,336 111.5 1,594 324 324 1,270 80 80 13............ 2 14 1,497 -1,509 128.5 1,779 282 282 1,497 47 47 20............ 4 1,378 -1,374 114.8 1,659 282 282 1,378 75 75 27............ 11 1,118 -1,107 97.8 1,385 267 267 1,118 95 95 June 3............ — 5 1,248 -1,253 108.9 1,543 295 295 1,248 65 65 10............ 18 1,465 -1,447 125.8 1,813 349 349 1,464 113 113 17............ 6 1,249 -1,242 108.8 1,654 406 406 1,249 67 67 24............ 15 1,291 -1,276 116.7 1,649 358 358 1,291 86 86 33 others 1970—May 6............ 69 162 2,137 -2,231 36.5 3,729 1,592 1,083 2,646 509 349 94 255 13............ 29 240 2,230 -2,441 40.7 4,136 1,906 1,184 2,953 723 275 100 175 20............ 6 310 1,867 -2,171 35.9 3,826 1,959 1,323 2,503 635 168 120 48 27............ 11 150 1,831 -1,970 33.2 3,705 1,874 1,455 2,250 419 205 187 18 June 3............ 100 349 1,993 -2,243 37.4 3,687 1,694 1,425 2,262 269 249 225 24 10............ -6 238 2,172 -2,416 40.4 3,920 1,748 1,402 2,518 345 115 208 +93 17............ 103 252 2,631 -2,779 46.4 4,222 1,591 1,497 2,725 95 105 232 +127 24............ 39 313 2,108 -2,382 40.2 3,633 1,526 1,090 2,544 436 190 224 +34 1 Based upon reserve balances, including all adjustments applicable to banks, repurchase agreements (purchases of securities from dealers the reporting period. Prior to Sept. 25,1968, carryover reserve deficiencies, subject to resale), or other lending arrangements. if any, were deducted. Excess reserves for later periods are net of all carry­ 4 Federal funds borrowed, net funds acquired from each dealer by over reserves. clearing banks, reverse repurchase agreements (sales of securities to 2 Derived from averages for individual banks for entire week. Figure dealers subject to repurchase), resale agreements, and borrowings secured for each bank indicates extent to which the bank’s weekly average pur­ by Govt, or other issues. chases 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. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 a DISCOUNT RATES A 9 FEDERAL RESERVE BANK DISCOUNT RATES (Per cent per annum) Discounts for and advances to member banks Advances to all others under Advances and discounts under Advances under last par. Sec. 13 3 Federal Reserve Bank Secs. 13 and 13a 1 Sec. 10(b) 2 J R u a 1 n t 9 e e 7 0 3 o 0 n , Ef d fe a c t t e ive Pre ra v t i e ous J R u a 1 n t 9 e e 7 0 3 o 0 n , Ef d fe a c t t e ive Pre r v at i e ous J R u a 1 n t 9 e e 7 0 3 o 0 n , Ef d fe a c t t e ive Pre r v a i t o e us Boston............................................. 6 Apr. 8, 1969 51/2 61/2 Apr. 8, 1969 6 71/2 Feb. 2,1970 7 New York....................................... 6 Apr. 4, 1969 5*4 61/2 Apr. 4, 1969 6 m Apr. 4, 1969 7 Philadelphia.................................... 6 Apr. 4, 1969 51/2 6Vi Apr. 4, 1969 6 71/2 Feb. 10, 1970 7 Cleveland........................................ 6 Apr. 4, 1969 51/2 6Vi Apr. 4, 1969 6 71/2 Apr. 4, 1969 7 Richmond....................................... 6 Apr. 4, 1969 51/2 61/2 Apr. 4, 1969 6 7i/i Feb. 18, 1970 7 Atlanta............................................ 6 Apr. 4, 1969 5 Vi 61/2 Apr. 4, 1969 6 7i/i Feb. 10, 1970 7 Chicago........................................... 6 Apr. 4, 1969 51/2 6Vi Apr. 4, 1969 6 7Vi Mar. 4, 1970 7 St. Louis.......................................... 6 Apr. 4, 1969 51/2 6i/i Apr. 4, 1969 6 7i/i Mar. 16, 1970 7 Minneapolis.................................... 6 Apr. 4, 1969 51/2 61/2 Apr. 4, 1969 6 71/2 Apr. 4,1969 6Vi Kansas City.................................... 6 Apr. 4, 1969 51/2 61/2 Apr. 4, 1969 6 7i/i Feb. 18, 1970 1 Dallas.............................................. 6 Apr. 4, 1969 51/2 61/2 Apr. 4, 1969 6 7Vi Feb. 18, 1970 7 San Francisco................................. 6 Apr. 4, 1969 51/2 6Vi Apr. 4, 1969 6 71/2 Feb. 2, 1970 7 i Discounts of eligible paper and advances secured by such paper or by 2 Advances secured to the satisfaction of the F.R. Bank. Maximum U.S. Govt, obligations or any other obligations eligible for Federal maturity: 4 months. Reserve Bank purchase. Maximum maturity: 90 days except that dis­ 3 Advances to individuals, partnerships, or corporations other than counts of certain bankers’ acceptances and of agricultural paper may member banks secured by direct obligations of, or obligations fully have maturities not over 6 months and 9 months, respectively. guaranteed as to principal and interest by, the U.S. Govt, or any agency thereof. Maximum maturity: 90 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 -IVi 1955—Cont. 1960 Sept. 9............... 2 -2V4 3Vi-4 4 O A c p t r . . 3 1 1 0 1 5 . . . . . . . . . . . . . . . . . . . . . 1 . . . . 9 . . . . . . 4 . . . . . 2 . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . ? r tV i i i Nov. 2 1 1 3 8 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2l/ 2 2 4 ' % - A 2l/i 2 2 1 1 1 8 / /2 2 14........................... 3 3 V 3 3 i - V - 3 4 i Vi 3 3 3 3 V V i i 1946 1956 1963 A M p a r y . 2 1 5 0 . .. .. .. .. . . .. . . .. .. .. . . . . .. .. .. .. . . .. . . .. .. . t V i i-l Apr. 2 1 0 3. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 2 1 * / 4 2 - -3 3 2 2 * * 4 4 July 2 1 6 7. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 3 - V 3 i Vi 3Vi Aug. 24............... 2*4-3 3 1948 31............... 3 3 Nov. 24.... 1 . 9 .. 6 .. 4 .................. 3 Vi-4 4 Jan. 12...................... 1 -W4 1957 30........................... 4 4 Aug. 2 1 1 3 3 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . W4 I 1 V V -W 4 i 2 1 18 8 A N u o g v . . 2 1 9 5. 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 3 m - - 3 3 1 1 / / i i 3 3 3 Vi 13.... 1 . 9 .. 6 .. 5 .................. 4 4V -4 i Vi 4 4 1 V /i i 1950 Dec. 2............... 3 3 1967 Aug. 21...................... 1 Vi-1 Y4 m 1958 4 -4 Vi 4 25...................... 1*4 1*4 Jan. 22............... 234-3 3 14........................... 4 4 A J F M a e p n a b r y . . . 2 2 1 1 1 1 5 1 3 4 6 . . 6 5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 . . . . . . . . . . 9 9 . . . . . . . . . . 5 5 . . . . . 3 . . . . 4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . m 1 1% * 2 1 I 4 V - * - - 2 1 2 4 i V4 2 2 1 I I 1 1 V V * * % 4 4 i i A M A S O N M e u c o p a a p t g v r y r . t . . . . . 2 2 2 2 1 1 1 1 9 7 7 1 4 3 2 5 3 8 . . . . . . . . . . 4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . .. 2 f 2 m m 1 V *4 f 2 2 2 1 4 - 1 - - - * V - 2 i 2 2 2 2 4 4 i 1 V V 4 4 i 2 2 2 2 2 ? 1 1 1 1 * * / 8 4 4 4 i N D M e o a c v r . . . 2 2 2 2 2 3 1 1 7 2 0 0 6 0 5 8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 . . . . . . . . . 9 . . . . . . . . . . . . . . . . 6 . . . . . . . . . . . . . . . 8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 5 4 5 4 V V V 4 5 5 5 5 4 i i 1 1 V - - V - - - / / 5 4 5 5 5 4 2 2 i V V V V i i i i 4 5 4 5 5 4 5 5 5 5 V 1 V V 1 i V V V / / 4 i i i i i i i i 1955 1959 1969 Apr. 14...................... W1-W4 IVi Mar. 6............... 2!/i-3 3 51/2-6 6 15...................... ivi-i*4 16............... 3 3 8........................... 6 6 May 2...................... 1*4 18 May 29............... 3 -3i/i 3 Vi Aug. 4...................... 1*4-214 June 12............... 3 Vi 3 Vi 1970 5...................... 1 *4-21/4 Sept. 11............... 3 Vi-4 4 12...................... 2 -2V4 2 18................. 4 4 In effect June 30,1970.... 6 6 t Preferential rate of Vi of 1 per cent for advances secured by U.S. in the following periods (rates in percentages): 1955—May 4-6, 1.65; Govt, obligations maturing in 1 year or less. The rate of 1 per cent was Aug. 4, 1.85; Sept. 1-2, 2.10; Sept. 8, 2.15; Nov. 10, 2.375; 1956—Aug. continued for discounts of eligible paper and advances secured by such 24-29, 2.75; 1957—Aug. 22, 3.50; 1960—Oct. 31-Nov. 17, Dec. 28-29, paper or by U.S. Govt, obligations with maturities beyond 1 year. 2.75; 1961—Jan. 9, Feb. 6-7, 2.75; Apr. 3^4, 2.50; June 29, 2.75; July 20, 31, Aug. 1-3, 2.50; Sept. 28-29, 2.75; Oct. 5, 2.50; Oct. 23, Nov. 3, Note.—Discount rates under Secs. 13 and 13a (as described in table 2.75; 1962—Mar. 20-21, 2.75; 1964—Dec. 10, 3.85; Dec. 15, 17, 22, 24, above). For data before 1942, see Banking and Monetary Statistics, 28, 30, 31, 3.875; 1965—Jan. 4-8, 3.875; 1968—Apr. 4,5,11, 15,16,5.125; 1943, pp. 439-42. Apr. 30, 5.75; May 1-3, 6, 9, 13-16, 5.75; June 7, 11-13, 19, 21,24, 5.75; The rate charged by the F.R. Bank of N.Y. on repurchase contracts July 5, 16, 5.625; Aug. 16, 19, 5.25. against U.S. Govt, obligations was the same as its discount rate except Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 10 RESERVE AND MARGIN REQUIREMENTS a JULY 1970 RESERVE REQUIREMENTS OF MEMBER BANKS (Per cent of deposits) Dec. 31, 1949, through July 13, 1966 Beginning July 14, 1966 Net demand Net demand Time deposits deposits 2 deposits 2>4 (all classes of banks) Time depos­ its Reserve Country Other Effective date i b C re a e c s n n i e k t t r y r s v a e l 3 b s c R a e i n r e t v y k ­ e s C ba t o r n u y k n s ­ c b l a a ( o n a s k l f s l e s s ) Effective date 1 Un c d it e y r ban O k v s er Unde b r a nks Over d S e in i p a t g s v o s ­ s­ U ti n m d e e r d ep O os v i e ts r $5 mil­ $5 mil­ $5 mil­ $5 mil­ $5 mil­ $5 mil­ lion lion lion lion lion lion In effect Dec. 31, 1949........ 22 18 12 5 1966—July 14,21....... 6 16'A 6 12 64 64 5 Sept. 8, 15........ 6 1951—Jan. 11, 16............... 23 19 13 6 Jan. 25, Feb. 1.... 24 20 14 1967—Mar. 2.............. 3i/i 3% 1953—July 9,1................. 22 19 13 Mar. 16.............. 3 3 1954—June 24, 16............... 21 5 July 29, Aug. 1.... 20 18 12 1968—Jan. 11, 18 16Vi 17 12 12 Vi 1958—Feb. 27, Mar. 1.... 19 Vi 171/2 Mar. 20, Apr. 1.... 19 17 ii* 1969—Apr. 17............. 17 171/2 12% 13 Apr. 17..................... 18 ^ Apr. 24..................... 18 16% In effect June 30, 1970.. 17 171/2 121/2 13 3 3 6 I960—Sept 1..................... 17 Vi Nov. 24..................... 12 Present legal Dec. 1..................... 16 Vi requirement: 1962—July 28..................... (3) Minimum.................. 10 7 3 3 3 Oct. 25, Nov. 1.... 4 Maximum................. n 14 10 10 10 1 When two dates are shown, the first applies to the change at central requirement on borrowings by domestic offices of a member bank from reserve or reserve city banks and the second to the change at country foreign banks, except that only a 3 per cent reserve is required against banks. For changes prior to 1950 see Board’s Annual Reports. such borrowings that do not exceed a specified base amount. For details 2 Demand deposits subject to reserve requirements are gross demand concerning these requirements, see the amendments to Regulations D deposits minus cash items in process of collection and demand balances and M on pp. 656 and 657 of the Aug. 1969 Bulletin. due from domestic banks. 5 Effective Jan. 5, 1967, time deposits such as Christmas and vacation 3 Authority of the Board of Governors to classify or reclassify cities club accounts became subject to same requirements as savings deposits. as central reserve cities was terminated effective July 28, 1962. 6 See preceding columns for earliest effective date of this rate. 4 Beginning Oct. 16, 1969, a member bank is required under Regula­ tion M to maintain, against its foreign branch deposits, a reserve equal Note.—All required reserves were held on deposit with F.R. Banks to 10 per cent of the amount by which (1) net balances due to, and certain June 21, 1917, until Dec. 1959. From Dec. 1959 to Nov. 1960, member assets purchased by, such branches from the bank’s domestic offices and banks were allowed to count part of their currency and coin as reserves; (2) credit extended by such branches to U.S. residents exceed certain effective Nov. 24, 1960, they were allowed to count all as reserves. For specified base amounts. Regulation D imposes a similar 10 per cent reserve further details, see Board’s Annual Reports. MARGIN REQUIREMENTS (Per cent of market value) Effective date Regulation Jan. 16, Aug. 5, Oct. 16, July 28, July 10, Nov. 6, Mar. 11, June 8, May 6, 1958 1958 1958 1960 1962 1963 1968 1968 1970 Regulation T: For credit extended by brokers and dealers on— Margin stocks...................................................... 50 70 90 70 50 70 70 80 65 Registered bonds convertible into margin stocks. 50 60 50 For short sales......................................................... 90 70 70 80 65 Regulation U: For credit extended by banks on— Margin stocks...................................................... 50 70 90 70 50 70 70 80 65 Bonds convertible into margin stocks............... 50 60 50 Regulation G: For credit extended by others than brokers and dealers and banks on— Margin stocks...................................................... 70 80 65 Bonds convertible into listed stocks.................. 50 60 50 Note.—Regulations G, T, and U, prescribed in accordance with the cent) and the maximum loan value. The term margin stocks is defined in Securities Exchange Act of 1934, limit the amount of credit to purchase the corresponding regulation. and carry margin stocks that may be extended on securities as collateral Regulation G and special margin requirements for bonds convertible by prescribing a maximum loan value, which is a specified percentage into stocks were adopted by the Board of Governors effective Mar. 11, of the market value of the collateral at the time the credit is extended; 1968. margin requirements are the difference between the market value (100 per Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ MAXIMUM INTEREST RATES; BANK DEPOSITS A 11 MAXIMUM INTEREST RATES PAYABLE ON TIME AND SAVINGS DEPOSITS (Per cent per annum) Rates Jan. 1, 1962—July 19, 1966 Rates beginning July 20, 1966 Effective date Effective date Type of deposit Type of deposit Jan. 1, July 17, Nov. 24, Dec. 6, July 20, Sept. 26, Apr. 19, Jan. 21, 1962 1963 1964 1965 1966 1966 1968 1970 Savings deposits: * Savings deposits............. 12 months or more.. 4 4 Other time deposits:2 Less than 12 months. 3 Vi 3% Multiple maturity: 3 30-89 days........... 4 4% 90 days-1 year... 5 1 year to 2 years. 5 5 'A 2 years and over.. 53/4 Single-maturity: Less than $100,000: Other time deposits: 2 30 days to 1 year.. 5 12 months or more 4 1 year to 2 years.. 5 Vi 5Vi 9 6 0 m d o a n y t s h t s o t o 6 1 m 2 o m nt o h n s t . h . s . $ 4% $1 2 0 0 y , e 0 a 0 r 0 s a a n n d d o o v v e er r : .. 53/4 Less than 90 days......... 1 4 30-59 days.......... 5Vi (4) (30-89 days) 60-89 days.......... 5V4 (4) 90-179 days........ 5Vz 5 Vi 6 6% 180 days to 1 year. 7 1 year or more... Wa m 1 Closing date for the Postal Savings System was Mar. 28, 1966. Max­ 60-89 days. Effective June 24, 1970, maximum interest rates on these imum rates on postal savings accounts coincided with those on savings maturities were suspended until further notice. deposits. Note.—Maximum rates that may be paid by member banks as estab­ 2 For exceptions with respect to certain foreign time deposits, see lished by the Board of Governors under provisions of Regulation Q; Bulletins for Oct. 1962, p. 1279; Aug. 1965, p. 1084; and Feb. 1968, however, a member bank may not pay a rate in excess of the maximum p. 167. rate payable by State banks or trust companies on like deposits under 3 Multiple-maturity time deposits include deposits that are automati­ the laws of the State in which the member bank is located. Beginning cally renewable at maturity without action by the depositor and deposits Feb. 1, 1936, maximum rates that may be paid by nonmember insured that are payable after written notice of withdrawal. commercial banks, as established by the FDIC, have been the same as 4 The rates in effect beginning Jan. 21 through June 23, 1970, were 6V4 those in effect for member banks. per cent on maturities of 30-59 days and 6Vi percent on maturities of DEPOSITS, CASH, AND RESERVES OF MEMBER BANKS (In millions of dollars) Reserve city banks Reserve city banks All Country All Country Item m b e a m nk b s er Y N o e r w k C o it f y Other banks Item m b e a m nk b s er Y N o e r w k C o it f y Other banks City Chicago City Chicago Four weeks ending Apr. 22, 1970 Four weeks ending May 20, 1970 Gross demand—Total.... 181,545 42,658 7,724 63,465 67,697 Gross demand—-Total... 177,605 41,777 7,490 61,688 66,651 Interbank...................... 21,886 9,153 1,415 8,761 2,557 Interbank..................... 21,447 9,177 1 ,288 8,538 2,445 U.S. Govt...................... 4,756 883 299 1,955 1,619 U.S. Govt..................... 5,129 902 227 2,146 1,854 Other............................. 154,902 32,622 6,011 52,749 63,521 151,029 31,698 5,975 51,004 62,353 Net demand 1................... 137,517 26,291 6,091 48,518 56,617 Net demand 1................. 133,973 25,326 5,895 46,842 55,911 Time.................................. 153,337 15,754 4,806 55,629 77,147 154,607 15,399 A,191 56,558 77,854 Demand balances due Demand balances due from dom. banks.......... 9,639 490 140 2,576 6,434 from dom. banks........ 9,427 594 122 2,598 6,158 Currency and coin........... 4,744 402 92 1,477 2,11 A Currency and coin.......... 4,801 414 91 1,502 2,795 Balances with F.R. Balances with F.R. Banks............................ 23,293 5,089 1,217 9,525 7,462 23,337 5,019 1,208 9,535 7,576 Total reserves held.......... 28,037 5,491 1,309 11,002 10,236 Total reserves held.......... 28,138 5,433 1.299 11,037 10,371 Required....................... 27,843 5,444 1,315 11,009 10,075 27,962 5,411 1.300 11,031 10,220 Excess........................... 194 47 - 6 -7 161 176 22 -1 6 152 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. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 12 FEDERAL RESERVE BANKS □ JULY 1970 CONSOLIDATED STATEMENT OF CONDITION OF ALL FEDERAL RESERVE BANKS (In millions of dollars) Wednesday End of month Item 1970 1970 1969 June 24 June 17 June 10 June 3 May 27 June 30 May 31 June 30 Assets Gold certificate account................................. 11,045 11,045 11,045 11,045 11,045 11,045 11,045 10,027 Special Drawing Rights certificate account. 400 400 400 400 400 400 400 Cash................................................................................ 216 208 205 201 205 218 210 188 Discounts and advances: Member bank borrowings........................................ 751 370 742 1,246 889 330 1,361 1,049 Other.......................................................................... 90 90 90 90 90 90 90 Acceptances: Bought outright....................................................... 34 38 38 42 46 32 42 41 Held under repurchase agreements......................... 23 Federal agency obligations—Held under repurchase agreements................................................................ 85 U.S. Govt, securities: Bought outright: Bills........................... 21,698 22,516 22,245 22,248 22,114 22,407 22,211 19,466 Certificates—Special. Other. . Notes......................... 32,420 32,420 32,420 32,233 32,165 32,420 32,233 30,501 Bonds........................ 2,887 2,887 2,887 2,863 2,836 2,887 2,863 4,128 Total bought outright..................... 1257,005 257,823 257,552 257,344 257,115 257,714 57,307 54,095 Held under repurchase agreements. 269 Total U.S. Govt, securities. 57,005 57,823 57,552 57,613 57,115 57,714 57,307 54,095 Total loans and securities................... 57,880 58,321 58,422 59,099 58,140 58,166 58,800 55,185 Cash items in process of collection. . . *10,098 *12,200 *9,126 *9,674 9,232 *9,510 8,935 8,744 Bank premises..................................... 119 119 119 117 118 119 118 114 Other assets: Denominated in foreign currencies. 710 610 510 510 510 690 510 1,834 IMF gold deposited 3..................... 210 210 210 210 210 210 210 228 All other.......................................... 502 475 422 378 341 537 346 432 Total assets. *81,180 *83,588 *80,459 *81,634 80,201 *80,895 80,574 76,752 Liabilities F.R. notes.......................................... 47,585 47,729 47,710 47,396 47,176 47,702 47,096 44,681 Deposits: Member bank reserves.................. *21,556 *22,957 *21,634 *22,738 21,803 *21,946 23,041 20,808 U.S. Treasurer—General account. 1,136 1 ,092 880 1,253 1,305 1,005 1,198 1,258 Foreign.......................................... 246 197 117 131 109 168 128 155 Other: IMF gold deposit 3................... 210 210 210 210 210 210 210 228 All other.................................... 605 606 585 605 603 596 578 321 Total deposits. *25,062 *23,426 *24,937 24,030 *23,925 25,155 c22,770 Deferred availability cash items............. 7,634 8,645 6,946 6,966 6,768 6,993 6,052 c7,272 Other liabilities and accrued dividends. 603 619 612 638 600 609 607 465 Total liabilities........................................ *79,575 *82,055 *78,694 *79,937 78,574 *79,229 78,910 75,188 Capital accounts Capital paid in......................................................... 685 684 684 684 684 685 684 659 Surplus...................................................................... 669 669 669 669 669 669 669 630 Other capital accounts............................................. 251 180 412 344 274 312 311 275 Total liabilities and capital accounts...................... *81,180 *83,588 *80,459 *81,634 80,201 *80,895 80,574 76,752 Contingent liability on acceptances purchased for foreign correspondents.............................................. 228 228 229 231 231 232 231 159 U.S. Govt, securities held in custody for foreign account....................................................................... 10,490 10,720 10,353 9,969 9,752 10,: 9,754 7,710 Federal Reserve Notes—Federal Reserve Agents’ Accounts F.R. notes outstanding (issued to Bank)..................... 50,378 50,340 50,151 49,960 49,889 50,430 49,984 47,283 Collateral held against notes outstanding: Gold certificate account............................................ 3,322 3,327 3,327 3,327 3,327 3,322 3,327 3,287 U.S. Govt, securities.................................................. 48,330 48,330 48,330 48,275 48,025 48,330 48,025 45,361 Total collateral............................................................... 51,652 51,657 51,657 51,602 51,352 51,652 51,352 48,648 1 See note 6 on page A-5. 3 See note 1 (b) at top of page A-75. 2 See note 7 on page A-5. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ FEDERAL RESERVE BANKS A 13 STATEMENT OF CONDITION OF EACH FEDERAL RESERVE BANK ON JUNE 30, 1970 (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 l l a e n v d e­ m Ri o c n h d ­ At t l a an­ c C a h g i o ­ L S ou t. is M ap in o n li e s ­ K C s a a it n s y ­ Dallas F c S i r s a a c n n o ­ Assets 11,045 716 2,886 515 744 972 575 1,742 288 140 485 350 1,632 Special Drawing Rights certif. acct.... 400 23 93 23 33 36 22 70 15 7 15 14 49 689 50 172 33 54 43 117 27 22 22 29 21 99 218 9 25 10 25 13 30 30 13 7 16 15 25 Discounts and advances: Secured by U.S. Govt, securities.... 223 22 39 2 7 7 7 90 10 17 15 5 2 197 4 30 5 8 4 16 59 4 43 6 6 12 Acceptances: 32 32 Held under repurchase agreements.. Federal agency obligations—Held U.S. Govt, securities: Bought outright............................... 157,714 2,941 14,320 2,952 4,469 4,350 3,144 9,515 2,108 1,094 2,212 2,483 8,126 58,166 2,967 14,421 2,959 4,484 4,361 3,167 9,664 2,122 1,154 2,233 2,494 8,140 Cash items in process of collection... 11,983 662 2,428 692 847 812 1,090 1,935 562 452 871 670 962 Bank premises...................................... 119 2 9 2 9 11 17 17 10 7 18 8 9 Other assets: Denominated in foreign currencies.. 690 33 2182 35 61 35 45 102 24 15 29 39 90 IMF gold deposited 3...................... 210 210 All other........................................... 537 38 144 25 41 42 27 80 18 11 20 21 70 Total assets.......................................... 84,057 4,500 20,570 4,294 6,298 6,325 5,090 13,667 3,074 1,815 3,716 3,632 11,076 Liabilities F.R. notes............................................ 48,391 2,809 11,333 2,752 3,931 4,323 2,598 8,474 1,839 849 1,810 1,777 5,896 Deposits: Member bank reserves..................... 21,946 834 5,983 803 1,369 1,106 1,353 3,161 680 529 1,013 1,191 3,924 U.S. Treasurer—General account.. 1,005 45 289 48 49 71 55 71 36 34 112 36 159 Foreign.............................................. 168 8 451 8 14 8 10 24 5 3 7 9 21 Other: IMF gold deposit 3. . • 210 210 All other....................................... 596 2 543 2 1 7 3 7 2 3 3 3 20 Total deposits...................................... 23,925 889 7,076 861 1,433 1,192 1,421 3,263 723 569 1,135 1,239 4,124 Deferred availability cash items......... 9,466 691 1,572 565 740 673 933 1,579 433 348 679 501 752 Other liabilities and accrued dividends 609 31 150 31 48 45 33 100 22 12 24 26 87 Total liabilities..................................... 82,391 4,420 20,131 4,209 6,152 6,233 4,985 13,416 3,017 1 ,778 3,648 3,543 10,859 Capital accounts Capital paid in..................................... 685 32 183 35 61 35 45 101 23 16 29 38 87 Surplus.................................................. 669 32 177 34 60 34 43 99 23 15 28 37 87 Other capital accounts......................... 312 16 79 16 25 23 17 51 11 6 11 14 43 Total liabilities and capital accounts.. 84,057 4,500 20,570 4,294 6,298 6,325 5,090 13,667 3,074 1,815 3,716 3,632 11,076 Contingent liability on acceptances purchased for foreign correspond­ ents.................................................... 232 11 564 12 20 12 15 34 8 5 9 13 29 Federal Reserve Notes—Federal Reserve Agents' Accounts F.R. notes outstanding (issued to Bank)................................................ 50,430 2,889 11,856 2,838 4,092 4,428 2,756 8,745 1 ,913 883 1,896 1,909 6,225 Collateral held against notes out­ standing: Gold certificate account.................. 3,322 250 500 300 510 580 1,000 155 22 5 U.S. Govt, securities....................... 48,330 2,650 11,600 2,620 3,750 3,900 2,800 7,950 1 ,830 875 1,925 1,930 6,500 Total collateral..................................... 51,652 2,900 12,100 2,920 4,260 4,480 2,800 8,950 1,985 897 1,925 1 ,935 6,500 1 See Note 7 on page A-5. 5 After deducting $168 million participations of other Federal Reserve 2 After deducting $508 million participations of other Federal Reserve Banks. 3 See note 1(b) to table at top of page A-75. Note.—Some figures for cash items in process of collection and 4 After deducting $117 million participations of other Federal Reserve for member bank reserves are preliminary. Banks. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 14 OPEN MARKET ACCOUNT a JULY 1970 TRANSACTIONS OF THE SYSTEM OPEN MARKET ACCOUNT (In millions of dollars) Outright transactions in U.S. Govt, securities, by maturity Total Treasury bills Others within 1 year 1-5 years Month Exch., c G p h r a u o s r s e ­ s s G sa r l o e s s s Re ti d o e n m s p­ c G h p r a u o s r s e ­ s s G sa r l o e s s s Re ti d o e n m s p­ c G p h r a u o s r s e ­ s s G sa r l o e s s s m re s a d h t o e i u f m r t r s i p , ty ­ c G p h r a u o s r s e ­ s s G sa r l o e s s s m E s a h x t o i u c f r r h t i s . ty tions 1969—May............ 2,368 1444 2,173 1,444 33 10,883 78 -10,895 4,586 3,993 7 4,586 3,993 7 July............ 3,495 3,251 200 3,428 3,251 200 10 24 2,201 1 2,201 1,658 407 4,514 4,762 5 483 115 4,762 5,483 i is Oct............. 5,145 3,704 5,016 3,704 1 -694 74 519 Nov............ 2,915 735 148 2,852 735 148 28 1,177 29 -40 Dec............. 1 250 1 ,029 386 1,250 1,029 386 1970—Jan.............. 3,133 4,154 615 3,133 4,154 615 Feb............. 101 395 100 801 395 100 -564 1,319 Mar............ 2,657 2,577 119 2,657 2,577 119 154 -154 Apr............. 1,124 747 1,124 747 May............ 2,225 835 244 2,017 835 244 17 -9,414 167 11,106 Outright transactions in U.S. Govt, securities—Continued Repurchase Bankers’ agreements Federal acceptances (U.S.Govt. Net agency 5-10 years Over 10 years securities) change obliga­ Month in U.S. tions Under Net c G p h 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 p h r a u o s r s e ­ s s G sa r l o e s s s o E t s u r 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 s G e it o c ie u v s r t. ­ p ( m u a n r g e e c r t n h e t r a e s e s ­ ) ­ e r O i n g u e h t t t ­ , m r a c e g h n e p r a n e e u s t t e r e s ­ ­ , change1 1969—May... 60 12 24 4,192 4,470 646 1 -5 -60 582 June,, 1,312 1,562 336 -80 -5 -30 220 July.... 23 10 560 560 44 -1 43 Aug.... — 4 Q21 2,721 2,491 773 39 * 22 834 Sept.. .. 1,121 1,062 -777 -39 — 3 -22 -841 Oct....... 52 175 3 2,655 2,715 1,381 17 4 1,402 Nov.... 3 -1 137 4 1,031 1,260 1,803 -17 8 1,794 Dec.... 3,336 3,336 -165 15 -150 1970—Jan 1,201 1,009 -1,444 30 -7 26 -1,395 Feb -688 -66 4,407 4,599 114 -30 -1 -26 57 Mar.. .. 1,176 1,176-38 -4 -43 Apr.. . . 3,685 3,338 723 34 6 ........49 ’ 811 May. . . 16 -1 692 9 953 1,299 799 -34 -15 -49 702 i Net change in U.S. Govt, securities, Federal agency obligations, and Note.—Sales, redemptions, and negative figures reduce System holdbankers’ acceptances. ings; all other figures increase such holdings. CONVERTIBLE FOREIGN CURRENCIES HELD BY FEDERAL RESERVE BANKS (In millions of U.S. dollar equivalent) E pe n r d io o d f Total P st o e u rl n in d g s s A ch u i s l t l r in ia g n s B fr e a lg n i c a s n C d a o n l a la d r i s an D kr a o n n is e h r F fr r a e n n c c s h G m e a rm rk a s n Ita li l r i e an Jap y a e n n ese N gu l e a i n t ld h d e e s r r s ­ f S r w an is c s s 1968—Dec., 2,061 1,444 433 165 1 1969—Mar. 2,059 1,396 23 461 160 13 4 Apr., 1,960 1,245 44 50 436 163 15 4 May, 1,889 1,542 50 176 100 15 4 1 June, 1,834 1,564 50 115 15 86 2 July. 1,670 1,383 50 24 15 196 * Aug. 1,929 1,571 224 15 114 3 Sept. 2,330 1,693 204 315 114 2 Oct.. 1,823 1,494 1 7 313 2 5 Nov. 1,370 1,273 1 60 6 2 27 Dec. 1,967 1,575 1 199 60 125 3 4 1970—Jan.. 975 605 1 100 60 201 3 Feb. 1,179 215 1 159 801 3 Mar. 1,169 207 1 157 801 3 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ FEDERAL RESERVE BANKS; BANK DEBITS A 15 MATURITY DISTRIBUTION OF LOANS AND U.S. GOVERNMENT SECURITIES HELD BY FEDERAL RESERVE BANKS (In millions of dollars) Wednesday End of month Item 1970 1970 1969 June 24 June 17 June 10 June 3 May 27 June 30 May 31 June 30 Discounts and advances—Total................................... 841 460 832 1,336 978 420 1,454 1,049 Within 15 days............................................................ 744 362 736 1,244 879 323 1,352 1,033 16 days to 90 days...................................................... 97 98 96 92 99 97 102 16 91 days to 1 year........................................................ Acceptances—T otal........................................................ 34 38 38 65 46 32 42 41 Within 15 days............................................................ 11 13 12 37 31 11 12 8 16 days to 90 days...................................................... 23 25 26 28 15 21 30 33 91 days to 1 year........................................................ U.S. Government securities—Total............................. 57,005 57,823 57,552 57,698 57,115 57,714 57,307 54,095 Within 15 days1.......................................................... 2 203 2,907 2,506 2,762 3,061 1,483 1,623 1,435 16 days to 90 days...................................................... 9,811 9,768 10,149 10,294 9,550 10,724 10,532 9,675 91 days to 1 year........................................................ 13,658 13,815 13,564 13,496 13,440 14,174 14,006 21,186 Over 1 year to 5 years................................................ 25,395 25,395 25,395 25,249 25,179 25,395 25,249 7,691 Over 5 years to 10 years............................................ 5,314 5,314 5,314 5,277 5,271 5,314 5,277 13,447 Over 10 years............................................................. 624 624 624 620 614 624 620 661 1 Holdings under repurchase agreements are classified as maturing within 15 days in accordance with maximum maturity of the agreements. BANK DEBITS AND DEPOSIT TURNOVER (Seasonally adjusted annual rates) Debits to demand deposit accounts1 Turnover of demand deposits (billions of dollars) Period SM T 2 o 3 S t 3 A al ’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 t 2 h 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 t 2 h S 6 e A r ’s 1969—May............................. 9,147.7 4,097.6 2,083.2 5,050.1 2,966.8 68.2 147.3 67.1 47.5 39.5 June............................. 9,384.8 4,155.7 2,164.4 5,229.1 3,064.7 68.7 145.5 68.6 48.4 40.1 July............................ 9,242.8 3,908.6 2,244.4 5,334.2 3,089.8 67.6 136.1 71.8 49.4 40.3 Aug.............................. 9,430.1 4,148.4 2,242.8 5,281.7 3,038.9 70.1 146.5 72.9 49.7 40.3 Sept.............................. 9,737.2 4,311.5 2,249.6 5,425.7 3,176.2 72.3 153.5 73.0 50.9 41.9 Oct............................... 9,527.0 4,127.6 2,254.7 5,399.3 3,144.7 70.8 148.8 72.9 50.6 41.5 Nov.............................. 9,484.4 4,207.5 2,224.8 5,276.9 3,052.1 70.5 151.6 71.7 49.4 40.3 Dec.............................. 9,560.4 4,198.2 2,212.9 5,362.2 3,149.3 69.4 145.7 69.6 49.2 40.8 1970—Jan............................... 9,547.5 4,054.0 2,277.4 5,493.5 3,216.1 69.4 139.9 71.6 50.6 41.9 Feb.............................. 9,793.6 4,232.1 2,309.1 5,561.4 3,252.3 72.4 148.8 74.2 52.0 42.9 Mar.r.......................... 9,842.9 4,336.7 2,291.4 5,506.2 3,214.8 70.7 145.7 72.2 50.3 41.3 Apr.r........................... 10,163.2 4,422.0 2,417.9 5,741.3 3,323.3 72.9 149.7 75.8 52.2 42.6 May............................. 10,018.6 4,249.4 2,460.0 5,769.3 3,309.3 73.5 150.6 78.4 53.4 43.2 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. The data shown here differ from those shown in the Mar. 1965 Bulletin because they have been revised, as described in the Mar. 1967 Bulletin, p. 389. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 16 U.S. CURRENCY □ JULY 1970 DENOMINATIONS IN CIRCULATION (In millions of dollars) Total Coin and small denomination currency Large denomination currency End of period in cir­ 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 2,313 6,782 9,201 7,834 2,327 4,220 454 801 7 24 1947, 28,868 20,020 1,404 1,048 65 2,110 6,275 9,119 8,850 2,548 5,070 428 782 5 17 1950, 27,741 19,305 1,554 1,113 64 2,049 5,998 8,529 8,438 2,422 5,043 368 588 4 12 1955, 31,158 22,021 1,927 1,312 75 2,151 6,617 9,940 9,136 2,736 5,641 307 438 3 12 1958. 32,193 22,856 2,182 1,494 83 2,186 6,624 10,288 9,337 2,792 5,886 275 373 3 9 1959. 32,591 23,264 2,304 1,511 85 2,216 6,672 10,476 9,326 2,803 5,913 261 341 3 5 I960. 32,869 23,521 2,427 1,533 88 2,246 6,691 10,536 15 5,954 249 316 3 10 1961 . 33,918 24,388 2,582 1,588 92 2,313 6,878 10,935 59 6,106 242 300 3 10 1962. 35,338 25,356 2,782 1,636 97 2,375 7,071 11,395 _,.90 6,448 240 293 3 10 1963 , 37,692 26,807 3,030 1,722 103 2,469 7,373 12,109 10* 885 3,221 7,110 249 298 3 4 1964. 39,619 28,100 3,405 1,806 111 2,517 7,543 12,717 11,519 3,381 7,590 248 293 2 4 1965. 42,056 29,842 4,027 1,908 127 2,618 7,794 13,369 12,214 3,540 8,135 245 288 3 4 1966. 44,663 31,695 4,480 2,051 137 2,756 8,070 14,201 12,969 3,700 8,735 241 286 3 4 1967. 47,226 33,468 4,918 2,035 136 2,850 8,366 15,162 13,758 3,915 9,311 240 285 3 4 1968. 50,961 36,163 5,691 2,049 136 2,993 8,786 16,508 14,798 4,186 10,068 244 292 3 4 1969--May.......... 50,399 35,529 5,730 1,971 136 2,861 8,531 16,300 14,869 4,158 10,166 244 292 3 5 June.......... 50,936 35,920 5,790 1,989 136 2,882 8,592 16,531 15,016 4,212 10,259 245 292 3 5 July........... 51,120 35,981 5,827 1,992 136 2,852 8,546 16,629 15,139 4,251 10,345 243 291 3 5 Aug........... 51,461 36,232 5,849 2,001 136 2,868 8,586 16,791 15,229 4,276 10,418 241 286 3 5 Sept........... 51,336 36,032 5,877 2,023 136 2,858 8,500 16,639 15,303 4,280 10,493 239 283 3 5 Oct............ 51,710 36,275 5,909 2,041 136 2,865 8,536 16,789 15,435 4,302 10,608 236 280 3 5 Nov........... 52,991 37,325 5,965 2,115 136 2,971 8,839 17,300 15,666 4,385 10,761 235 278 3 5 Dec............ 53,950 37,917 6,021 2,213 136 3,092 8,989 17,466 16,033 4,499 11,016 234 276 3 5 1970--Jan............ 51,901 36,120 5,986 2,074 136 2,872 8,425 16,626 15,781 4,380 10,889 231 273 3 5 Feb............ 52,032 36,227 5,988 2,060 136 2,862 8,482 16,699 15,805 4,384 10,914 229 271 3 5 Mar........... 52,701 36,780 6,028 2,086 136 2,915 8,622 16,993 15,921 4,418 10,999 228 269 3 5 Apr........... 53,034 37,012 6,053 2,105 136 2,920 8,646 17,152 16,022 4,446 11,075 226 266 3 4 May.......... 53,665 37,509 6,084 2,134 136 2,953 8,744 17,458 16,157 4,488 11,173 225 264 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 Total out­ Held by standing, As security For F.R. 1970 1969 Kind of currency May 31, against Treasury F.R. Banks 1970 gold and cash Banks and silver and Agents May Apr. May certificates Agents 31 30 31 Gold................................................................................ 11,367 (11,045) 2322 Gold certificates.............................................................. (11,045) 311,044 1 Federal Reserve notes.................................................... 49,983 111 2,887 46,985 46,386 44,066 Treasury currency—Total.............................................. 6,970 80 211 6,680 6,648 6,333 Standard silver dollars............................................... 485 3 482 482 482 Fractional coin........................................................... 5,861 50 209 5,603 5,572 5,248 United States notes.................................................... 323 27 1 295 294 298 In process of retirement4........................................... 301 301 301 305 Total—May 31, 1970.................................................... 568,320 (11.045) 512 11.044 3,098 53,665 Apr. 30, 1970.................................................... 567,544 (11.045) 546 11.044 2,920 53,034 May 31, 1969.................................................... 563,913 (10,022) 649 10,021 2,844 50,399 1 Outside Treasury and F.R. Banks. Includes any paper currency held 5 Does not include all items shown, as gold certificates are secured by outside the United States and currency and coin held by banks. Esti­ gold. Duplications are shown in parentheses. mated totals for Wed. dates shown in table on p. A-5. 2 Includes $210 million gold deposited by and held for the International Note.—Prepared from Statement of United States Currency and Coin Monetary Fund. and other data furnished by the Treasury. For explanation of currency 3 Consists of credits payable in gold certificates, the Gold Certificate reserves and security features, see the Circulation Statement or the Aug. Fund—Board of Governors, FRS. 1961 Bulletin, p. 936. 4 Redeemable from the general fund of the Treasury. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ MONEY SUPPLY; BANK RESERVES A 17 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, Currency Demand ad­ Currency Demand ad­ demand Total component deposit justed i Total component deposit justed 1 deposits1 component component 1966—Dec................................................... 170.4 38.3 132.1 158.5 175.8 39.1 136.7 156.9 3.4 1967—Dec................................................... 181.7 40.4 141.3 183.7 187.5 41.2 146.2 182.0 5.0 1968—Dec................................................... 194.8 43.4 151.4 204.9 201.0 44.3 156.7 203.1 5.0 1969—June.................................................. 199.0 44.8 154.2 200.8 197.0 44.7 152.3 201.0 6.0 July................................................... 199.3 45.0 154.4 197.7 197.8 45.2 152.7 197.7 5.6 Aug................................................... 199.0 45.3 153.8 194.5 195.9 45.4 150.5 195.5 4.3 Sept................................................... 199.0 45.2 153.7 194.1 197.6 45.2 152.4 194.3 5.3 Oct.................................................... 199.1 45.6 153.6 193.5 199.3 45.6 153.7 193.7 4.2 Nov................................................... 199.3 45.9 153.4 193.4 201.0 46.4 154.7 192.6 5.1 Dec................................................... 199.6 45.9 153.7 194.1 206.0 46.9 159.1 192.4 5.5 1970—Jan.................................................... 201.1 46.1 155.0 192.1 207.1 46.1 161.1 191.7 4.7 Feb................................................... 199.3 46.4 153.0 192.0 197.8 45.9 151.9 192.0 7.1 Mar................................................... 201.5 46.7 154.8 194.3 199.7 46.3 153.4 194.9 6.9 Apr................................................... 203.3 47.0 156.2 197.9 204.2 46.6 157.6 198.3 5.3 May.................................................. 203.9 47.6 156.2 199.6 199.9 47.3 152.6 200.0 6.4 June?................................................ 203.8 47.8 156.0 201.0 201.8 47.7 154.1 201.2 6.5 Week ending— 1970—May 13........................................... 203.5 47.6 155.9 199.2 200.5 47.4 153.1 199.6 5.4 20........................................... 205.1 47.6 157.5 199.7 199.7 47.2 152.4 200.1 6.3 27........................................... 203.8 47.6 156.2 199.9 197.6 47.0 150.6 200.3 7.4 June 3............................................ 204.0 47.6 156.4 200.0 200.8 47.6 153.3 200.6 5.1 10............................................ 203.4 47.7 155.7 200.5 201.7 48.0 153.6 200.9 4.2 17............................................ 203.9 47.8 156.0 200.7 203.4 47.8 155.6 200.9 5.3 24 p.......................................... 202.2 47.8 154.4 200.9 199.3 47.6 151.7 200.9 9.3 July 1 p.......................................... 204.5 47.9 156.7 202.3 202.5 47.5 155.0 202.5 8.0 1 At all commercial banks. and F.R. float; (2) foreign demand balances at F.R. Banks; and (3) cur­ Note.—For description of revised series and for back data, see Oct. rency outside the Treasury, F.R. Banks, and vaults of all commercial 1969 Bulletin, pp. 787-803. b b a an n k k s s . o T th im er e th d a e n p os th it o s se a d d ju u s e t ed to a d r o e m t e im sti e c d c e o p m o m si e ts r ci a a t l b al a l n k c s o m a m nd e rc t i h a e l 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) Member bank reserves, S.A.1 Deposits subject to reserve requirements2 Total member bank deposits plus non-deposit S.A. N.S.A. items3 Period Total Non- Demand Demand borrowed Required Time Time Total and Total and S.A. N.S.A. savings Private U.S. savings Private U.S. Govt. Govt. 1966—Dec.............. 23.52 22.98 23.17 244.6 129.4 111.7 3.5 247.1 127.9 116.1 3.0 1967—Dec.............. 25.94 25.68 25.60 273.5 149.9 118.9 4.6 276.2 148.1 123.6 4.5 1968—Dec.............. 27.96 27.22 27.61 298.2 165.8 128.2 4.2 301.2 163.8 133.3 4.1 1969—June............ 28.06 26.71 27.74 292.6 158.1 130.5 4.0 292.0 158.6 128.4 5.0 307.5 306.9 July............. 27.53 26.28 27.33 288.0 155.1 130.5 2.4 288.8 155.4 128.8 4.7 305.7 306.5 Aug............. 27.40 26.21 27.16 285.3 152.5 129.9 2.9 283.6 153.1 127.0 3.5 303.8 302.1 Sept............. 27.40 26.38 27.14 285.7 152.1 129.2 4.4 284.6 151.8 128.3 4.4 304.2 303.1 Oct............... 27.35 26.21 27.13 283.5 151.5 128.9 3.1 283.8 151.1 129.3 3.5 302.2 302.5 Nov............. 27.78 26.54 27.55 285.8 151.1 129.1 5.6 284.7 150.0 130.3 4.3 305.5 304.3 Dec.............. 27.93 26.81 27.71 285.8 151.5 129.4 4.9 288.6 149.7 134.4 4.6 305.7 308.6 1970—Jan............... 28.00 26.97 27.82 284.8 149.4 130.1 5.3 288.5 148.9 135.6 3.9 304.8 308.5 Feb.............. 27.72 26.62 27.52 282.9 148.8 128.5 5.6 282.3 148.8 127.4 6.1 303.4 302.8 Mar............. 27.72 26.78 27.54 286.2 150.6 129.8 5.9 285.4 151.0 128.5 5.8 306.1 305.3 Apr.............. 28.22 27.35 28.05 290.2 153.5 131.4 5.2 290.7 153.8 132.4 4.5 309.6 310.2 May............ 27.89 26.92 27.69 289.1 154.6 131.4 3.0 287.9 154.9 127.7 5.4 309.3 308.2 27.87 27.02 27.70 290.5 155.7 130.0 4.8 289.7 155.7 128.6 5.4 311.2 310.4 1 Averages of daily figures. Data reflect percentage reserve require­ comparable with earlier data due to the withdrawal from the system on ments made effective Apr. 23, 1969. Required reserves are based on Jan. 2, 1969, of a large member bank. average deposits with a 2-week lag. 3 Total member bank deposits subject to reserve requirements, plus 2 Averages of daily figures. Deposits subject to reserve requirements in­ Euro-dollar borrowings, bank-related commercial paper, and certain clude total time and savings deposits and net demand deposits as defined other nondeposit items. by Regulation D. Private demand deposits include all demand deposits ex­ cept those due to the U.S. Govt., less cash items in process of collection Note.—Due to changes in Regulations M and D, required reserves and demand balances due from domestic commercial banks. Effective June include increases of approximately $400 million since Oct. 16, 1969. 9, 1966, balances accumulated for repayment of personal loans were elim­ Back data may be obtained from the Banking Section, Division of Research inated from time deposits for reserve purposes. Jan. 1969 data are not and Statistics, Board of Governors of the Federal Reserve System, Wash­ ington, D.C. 20551. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 18 BANKS AND THE MONETARY SYSTEM n JULY 1970 CONSOLIDATED CONDITION STATEMENT (In millions of dollars) Assets Liabilities and caoital Total Gold Bank credit assets, stock Treas­ net— Date Sp a e n c d ia l c u u r r y ­ U.S. Treasury securities T lia o b ta il l ­ Total Cap a i n ta d l D R c c r e a i a r g t w t e h i s f i t i n s i ­ g s r t o e i a n n u n g c t d ­ y ­ Total n L e o t a 2 n < s , 3 Total s C b a a a v o n n i m n d k g l s . s R F B e e a d s n e e r k r v a s e l Other4 r O s i e t t i c h e u e s ­ r 3 ca i a n p t n i e i e t d t s a l, c d u e r a p r n o e d n si c t y s co m n a u i c e n s ­ t c ts . , 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 1967—Dec. 30................... 11,982 6,784 468,943 282,040 117,064 66,752 49,112 1,200 69,839 487,709 444,043 43,670 1968—Dec. 31................... 10,367 6,795 514,427 311,334 121,273 68,285 52,937 51 81,820 531,589 484,212 47,379 1969—June 305................. 10.367 6,736 522,058 326,725 111,793 57,667 54,095 31 83,540 539,162 470,457 68,705 July 30................... 10.400 6,700 515.000 321.200 111,300 58.300 53.000 82.400 532.100 464.600 67,500 Aug. 27................... 10.400 6,800 512.600 317.700 112.900 57.900 54.900 82,000 529.800 461.800 67.900 Sept. 24................... 10.400 6,800 514.300 321.200 110,700 56.700 53.900 82.400 531.400 465.200 66,200 Oct. 29................... 10.400 6,800 515.500 321,500 112,600 57.800 54,800 81 ,500 532,700 465,900 66,800 Nov. 26................... 10.400 6,800 520.800 323.700 115,100 58,400 56.700 81.900 538.000 469.300 68,700 Dec. 31................... 10.367 6,849 532,663 335,127 115,129 57,952 57,154 23 82,407 549,879 485,545 64,337 1970—Jan. 28................... 11,600 6.900 517,100 323,600 111.900 56.300 55.600 81,600 535,500 468.600 67.000 Feb. 25................... 11,700 6.900 515.500 323.200 110.400 54.700 55.700 81.900 534.100 466.200 67.900 Mar. 25................... 11,800 6.900 519.800 325,300 110.400 54.800 55.600 84,100 538.400 472,100 66,300 Apr. 29p................. 11,800 6.900 523.300 325,900 111,600 55.500 56.100 85.800 542.000 476.300 65,800 May 27p................. 11,800 7.000 525.000 326,100 113,000 55.900 57.100 85.900 543.800 474.800 69.000 June 24*................. 11,800 7.000 528.600 330.200 111,600 54.500 57.000 86.800 547.400 478.300 69,100 DETAILS OF DEPOSITS AND CURRENCY Money supply Related deposits (not seasonally adjusted) Seasonally adjusted 6 Not seasonally adjusted Time U.S. Government Date Total o b r u C e a t n n u s c i k r d y ­ s e d ju e m D p s a a t o d e e n s ­ d ­ d i t 7 s Total o b r u C e a t n u n s c i r k d y ­ s e d j e m u D p a s a o t d e n e s ­ ­ d d it 7 s Total b m C a e n o r k c m s ia ­ l 2 b M sa a v n u i k t n u s g a s l 8 S P t a S e o v y m s i s t n a ­ 4 g l s e n F i e o g t n r ­ 9 , T h c i u r o n a e r g l s y a d h s s ­ ­ s b c a a o a A v n n m i t d n k l g s . s B F a A . n R 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 1967-—Dec. 30.... 181,500 39,600 141,900 191,232 41,071 150,161 242,657 182,243 60,414 2,179 1,344 5,508 1,123 1968-—Dec. 31.... 199,600 42,600 157,000 207,347 43,527 163,820 267,627 202,786 64,841 2,455 695 5,385 703 1969-—June 305... 195,300 43,700 151,600 193,996 44,478 149,518 266,171 199,516 66,655 2,402 633 5,997 1,258 July 30.... 192,600 44,000 148,600 192,300 44,100 148,300 262,200 196,000 66,200 2,300 700 5,800 1,200 Aug. 27.... 193,700 43,900 149,800 192,100 44,200 147,900 260,800 194,500 66,300 2,100 700 5,200 1,000 Sept.24.... 194,200 44,000 150,200 192,900 44,100 148,800 260,300 193,600 66,600 2,300 700 7,900 1,200 Oct. 29.... 194,400 44,000 150,000 195,800 44,500 151,400 259,600 193,100 66,500 2,300 700 6,500 1,100 Nov.26.... 196,400 45,000 151,400 199,500 46,300 153,200 259,100 192,500 66,600 2,400 700 6,900 900 Dec. 31.. . . 206,800 45,400 161,400 214,689 46,358 168,331 260,992 193,533 67,459 2,683 596 5,273 1,312 1970—Jan. 28.... 196,400 45,300 151,100 198,900 44,700 154,300 258,700 191,600 67,100 2,500 600 6,500 1,300 Feb. 25.... 195,000 45,300 149,700 194,100 44,800 149,300 260,400 193,000 67,400 2,600 600 7,600 900 Mar.25.... 200,000 45,900 154,100 196,900 45,400 151,600 264,100 196,200 68,000 2,700 600 6,300 1,500 Apr. 29*... 198,100 46,300 151,800 198,200 45,900 152,300 267,100 199,200 68,000 2,600 600 6,400 1,400 May 21 p... 198,200 46,500 151,700 195,800 46,400 149,400 268,600 200,300 68,300 2,400 500 6,200 1,300 June 24p... 199,200 46,600 152,600 196,600 46,600 150,000 269,800 201,000 68,800 2,500 500 7,900 1,100 1 Includes Special Drawing Rights certificates beginning January 1970. 8 Includes relatively small amounts of demand deposits. Beginning with 2 Beginning with data for June 30,1966, about $1.1 billion in “Deposits June 1961, also includes certain accounts previously classified as other lia­ accumulated for payment of personal loans” were excluded from “Time bilities. deposits” and deducted from “Loans” at all commercial banks. These 9 Reclassification of deposits of foreign central banks in May 1961 re­ changes resulted from a change in Federal Reserve regulations. These duced this item by $1,900 million ($1,500 million to time deposits and $400 hypothecated deposits are shown in a table on p. A-23. million to demand deposits). 3 See note 2 at bottom of p. A-22. 4 After June 30, 1967, Postal Savings System accounts were eliminated from this Statement. 5 Beginning June 30, 1969, figures for commercial banks reflect (1) Note.—For back figures and descriptions of the consolidated condition inclusion of consolidated reports (including figures for all bank-premises statement and the seasonally adjusted series on currency outside banks and subsidiaries and other significant majority-owned domestic subsidiaries) demand deposits adjusted, see “Banks and the Monetary System,” Section and (2) reporting of figures for total loans and for individual categories of 1 of Supplement to Banking and Monetary Statistics, 1962, and Bulletins securities on a gross basis—that is, before deduction of valuation reserves. for Jan. 1948 and Feb. 1960. Except on call dates, figures are partly esti­ See also note 1. mated and are rounded to the nearest $100 million. 6 Series began in 1946; data are available only for last Wed. of month. For description of substantive changes in official call reports of 7 Other than interbank and U.S. Govt., less cash items in process of condition beginning June 1969, see Bulletin for August 1969, pp. collection. 642-46. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 a COMMERCIAL BANKS A 19 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 Total Num­ Cash lia­ Bor­ capital ber Class of bank assets 3 bilities row­ ac­ of and date Total Loans and Total 3 Demand ings counts banks 1. 2 U.S. capital De­ Treas­ Other2 ac­ mand Time Time1 ury counts 4 U.S. Other Govt. All 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. 315............ 116,284 38,057 69,221 9,00637,502 155,377144,103 12,792 240 1,343 94,367 35,360 6510,059 14,181 1966—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—Dec. 30............. 359,903235,954 62,47361,47777,928451,012395,00821,883 1,314 5,234 184,066182,511 5,77734,384 13,722 1968—Dec. 31............. 401,262265,259 64,46671,53783,752500,657434,02324,747 1,211 5,010 199,901 203,154 8,89937,006 13,679 1969—June 30 6............ 410,279283,850 54,04472,38588,209516,752425,36325,187 882 5,639 193,787199,868 14,74038,823 13,673 July 30.............. 409,200283,240 54,70071,26074,370501,650404,04021,060 860 5,490 180,260196,37019,45038,480 13,682 Aug. 27.............. 405,860280,680 54,33070,85076,200499,750401,77021,410 870 4,860 179,840194,79021,27038,660 13,683 Sept. 24.............. 408,670284,300 53,20071,17075,910503,590404,16021,260 810 7,610 180,550193,93021,61038,860 13,681 Oct. 29.............. 409,210284,420 54,41070,38076,960504,920406,80022,190 880 6,180184,150193,40021,24039,310 13,683 Nov. 26.............. 413,080287,130 55,07070,88082,340514,470413,30023,190 680 6,610190,100192,72021,96039,450 13,684 Dec. 31.............. 421,597295,547 54,70971,341 89,984530,665435,57727,174 735 5,054208,870193,74418,36039,978 13,661 1970—Jan. 28.............. 410,890287,330 52,96070,60077,400506,770406,38021,550 620 6,320 186,130191,76022,62040,030 13,662 Feb. 25.............. 408,890286,680 51,40070,81078,900506,780406,39022,230 620 7,380 182,940193,22022,62040,230 13,665 Mar. 25.............. 412,410288,230 51,52072,66076,360508,420407,98021,810 580 6,140183,090196,36022,84040,370 13,664 Apr. 29 p............ 416,630290,090 52,25074,29078,410515,110413,24021,600 660 6,230185,380199,37023,53040,590 13,665 May 27 p............ 416,300289,520 52,50074,28078,930515,590412,68022,180 690 5,960183,390200,46023,08040,850 13,665 June 24p............ 419,430293,280 51,08075,07077,570517,710414,25022,260 700 7,650182,460201 ,18022,87040,920 13,664 Members of F.R. System: 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 6,07029,845 138,304129,67013,576 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 1966—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—Dec. 30.............. 293,120 196,849 46,95649,31568,946373,584326,03320,811 1,169 4,631 151,980147,442 5,37028,098 6,071 1968—Dec. 31.............. 325,086220,285 47,881 56,92073,756412,541 355,41423,519 1,061 4,309 163,920 162,605 8,45830,060 5,978 1969—June 306............ 329,707233,960 39,38256,36478,615424,278 344,46624,097 722 4,874 158,287 156,485 13,99931,317 5,936 July 30.............. 328,560233,196 39,96255,40266,159410,401 324,99320,079 699 4,562 146,373 153,28018,14531,090 5,925 Aug. 27.............. 325,413230,654 39,75455,00567,843408,644323,06320,433 707 4,046 146,139 151,738 19,92531,234 5,919 Sept. 24.............. 327,611 233,744 38,64355,22467,504411,501 324,78020,234 683 6,576 146,468 150,81920,32231,374 5,910 Oct. 29.............. 327,288233,260 39,72554,30368,596412,130326,76821,182 721 5,438 149,424150,003 19,89331,694 5,901 Nov. 26.............. 330,002235,055 40,27654,671 73,107419,571 331,35022,138 522 5,666 153,874149,15020,61431,793 5,893 Dec. 31 »•............ 336,738242,119 39,83354,78579,034432,270349,88325,841 609 4,114169,750149,56917,395 32,047 5,869 1970—Jan. 28.............. 327,368234,860 38,32854,18068,449411,828324,60520,560 497 5,420 150,363 147,76521,26332,078 5 ,‘853 Feb. 25.............. 325,777234,213 37,11054,45469,806412,036324,93721,244 496 6,429 147,932148,83621,23832,242 5,850 Mar. 25.............. 328,556235,138 37,34056,07867,594413,148326,02820,845 454 5,100 148,270151,35921,58232,343 5,839 Apr. 29.............. 332,097236,436 38,19257,46969,174418,597330,13620,608 531 5,251 149,940153,80622,37632,528 5,828 May 27.............. 331,389235,805 38,25957,32569,710418,609329,541 21,183 567 4,914 148,414154,46321,74932,733 5,816 June 24p............ 333,825238,917 36,98657,92268,124419,818330,35221,265 571 6,386 147,142 154,98821,57632,771 5,814 Reserve city member: New York City:7 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 1966—Dec. 31.............. 46,536 35,941 4,920 5,674 14,869 64,424 51,837 6,370 467 1,016 26,535 17,449 1,874 5,298 12 1967—Dec. 30.............. 52,141 39,059 6,027 7,055 18,797 74,609 60,407 7,238 741 1,084 31,282 20,062 1,880 5,715 12 1968—Dec. 31.............. 57,047 42,968 5,984 8,094 19,948 81,364 63,900 8,964 622 888 33,351 20,076 2,733 6,137 12 1969—June 306............ 57,885 46,232 4,445 7,20826,223 89,283 62,534 11,233 405 983 34,453 15,460 3,671 6,283 12 July 30.............. 57,645 45,922 4,893 6,830 19,776 82,327 54,066 8,519 369 821 29,732 14,625 5,011 6,241 12 Aug. 27.............. 56,571 44,914 4,904 6,75320,574 81,955 54,538 8,783 373 722 30,490 14,170 5,459 6,275 12 Sept. 24.............. 57,278 45,807 4,534 6,937 19,165 81,486 54,273 8,346 331 1,298 30,286 14,012 5,422 6,256 12 Oct. 29.............. 56,905 45,787 4,722 6,39621,818 83,804 56,712 9,073 337 1,328 31,553 14,421 5,639 6,281 12 Nov. 26.............. 58,509 46,249 5,487 6,773 21,845 85,405 57,931 9,540 248 1,508 31,909 14,726 5,420 6,318 12 Dec. 31 r............ 60,333 48,305 5,048 6,98022,349 87,753 62,381 10,349 268 693 36,126 14,944 4,405 6,301 12 1970—Jan. 28.............. 57,069 45,722 4,794 6,55320,535 82,673 56,240 8,697 236 1,140 31,730 14,437 4,930 6,248 12 Feb. 25............. 56,568 45,523 4,319 6,72621,808 83,599 57,251 9,393 216 1,484 31,497 14,661 5,068 6,304 12 Mar. 25............. 57,225 45,505 4,408 7,31221,809 84,348 58,076 9,585 211 844 32,203 15.233 5,467 6,272 12 Apr. 29.............. 58,010 45,286 5,091 7,63320,778 84,145 57,536 8,927 245 968 32,116 15,280 5,756 6,290 12 May 27.............. 57,288 44,819 4,981 7,48822,007 84,604 57,147 9,356 280 882 31,742 14,887 5,821 6,335 12 June 24.............. 57,819 45,634 4,300 7,885 19,404 82,845 55,737 9,224 280 998 30,419 14,816 5,231 6,304 12 For notes see p. A-22. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 20 COMMERCIAL BANKS □ JULY 1970 PRINCIPAL ASSETS AND LIABILITIES AND NUMBER, BY CLASS OF BANK—Continued (Amounts in millions of dollars) Loans and investments Deposits Total assets— Cla a s n s d o d f a b t a e nk Total Lo 1 a ,2 ns T U u r S e r .S a y e s c . ­ urit O ie t s h 2 er a C ss a e s t h s 3 c c b o T a i a l a u l p o i i n c a t n i t d i t ­ a ­ e t a l s s l 4 Total 3 m D In a e n t ­ e d rba T n i k m 3 e U. D S. em O a O n th t d h e e r r TimeJ r B i o n o w g r s ­ ­ c c T a o a o p u c t i n a ­ ta t l s l N ba b u o n e m f k r s ­ Govt. Reserve city member (cont.): City of Chicago: 7,8 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 1966—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—Dec. 30.................. 12,744 9,223 1,574 1,947 2,947 16,296 13,985 1,434 21 267 6,250 6,013 383 1,346 10 1968—Dec. 31.................. 14,274 10,286 1,863 2,125 3,008 18,099 14,526 1,535 21 257 6,542 6,171 682 1,433 9 1969—June 306................ 14,321 10,573 1,616 2,132 2,716 17,869 13,035 1,368 25 274 6,192 5,176 1,230 1,492 9 July 30................. 14,238 10,630 1,556 2,052 2,601 17,635 12,042 1,192 15 242 5,686 4,907 1,354 1,455 9 Aug. 27.................. 13,832 10,373 1,473 1,986 2,698 17,344 11,779 1,170 19 149 5,630 4,811 1,717 1,483 9 Sept. 24................. 14,006 10,564 1,471 1,971 2,925 17,784 11,806 1,189 24 349 5,555 4,689 2,092 1,493 9 Oct. 29................. 13,945 10,341 1,667 1,937 2,604 17,410 11,641 1,153 27 334 5,543 4,584 2,064 1,492 9 Nov. 26.................. 14,022 10,331 1,685 2,006 2,942 17,824 11,958 1,330 21 250 5,866 4,491 1,985 1,500 9 Dec. 31'................ 14,365 10,771 1 ,564 2,030 2,802 17,927 13,264 1 ,677 15 175 6,770 4,626 1,290 1 ,517 9 1970—Jan. 28.................. 13,684 10,376 1,351 1,957 2,858 17,287 12,024 1,205 32 336 5,903 4,548 1,783 1,520 9 Feb. 25................. 14,102 10,388 1,578 2,136 3,039 17,966 12,205 1 ,280 42 442 5,831 4,610 2,297 1,522 9 Mar. 25................. 14,258 10,451 1,571 2,236 2,701 17,923 12,002 1,232 41 258 5,762 4,709 2,425 1,530 9 Apr. 29.................. 14,522 10,530 1,688 2,304 2,760 18,154 12,299 1 ,234 41 233 5,999 4,792 2,503 1,535 9 May 27.................. 14,178 10,341 1,616 2,221 2,658 17,736 12,218 1 ,265 41 232 5,952 4,728 2,233 1,550 9 June 24.................. 14,387 10,779 1 ,480 2,128 2,717 18,107 12,012 1 ,283 42 265 5,568 4,854 2,481 1,553 9 Other reserve city: 7, 8 1941—Dec. 31................. 15,347 7,105 6,467 1,776 8,518 24,430 22,313 4,356 104 491 12,557 4,806 1,967 351 1945—Dec. 31................. 40,108 8,514 29,552 2,042 11,286 51,898 49,085 6,418 30 8,221 24,655 9,760 2 2,566 359 1947—Dec. 31................. 36,040 13,449 20,196 2,396 13,066 49,659 46,467 5,627 22 405 28,990 11,423 1 2,844 353 1966—Dec. 31................. 95,831 69,464 13,040 13,32624,228 123,863 108,804 8,593 233 1,633 49,00449,341 1,952 9,471 169 1967—Dec. 30................. 105,724 73,571 14,667 17,48726,867 136,626 120,485 9,374 310 1,715 53,288 55,798 2,555 10,032 163 1968—Dec. 31................. 119,006 83,634 15,03620,33728,136 151,957 132,305 10,181 307 1,884 57,44962,484 4,239 10,684 161 1969—June 306................ 119,789 88,582 11,635 19,57227,265 152,827 125,157 9,028 159 2,171 54,07959,721 7,311 11,166 159 July 30................. 118,838 87,753 11,716 19,36924,037 148,510 118,489 8,108 204 1,735 50,333 58,109 9,173 11,194 159 Aug. 27................. 117,449 86,509 11,810 19,13024,644 147,680 116,983 8,224 204 1,633 49,74057,182 10,069 11,219 159 Sept. 24................. 117,698 87,577 11,110 19,011 25,301 148,736 117,685 8,329 217 2,963 49,663 56,513.10,236 11,271 159 Oct. 29................. 117,954 87,388 11,794 18,77223,979 147,722 117,701 8,631 246 2,411 50,78055,633 9,506 11,391 158 Nov. 26................. 118,287 87,908 11,583 18,79626,601 150,766 118,724 8,853 167 2,213 52,603 54,888 10,518 11,381 158 Dec. 31 '............... 121,324 90,896 11,94418,48429,954 157,512 126,232 10,663 242 1,574 58,923 54,829 9,881 11,464 157 1970—Jan. 28................. 118,177 88,298 11,255 18,62424,714 148,856115,408 8,327 143 2,350 50,625 53,963 11,84611,505 158 Feb. 25................. 117,265 87,839 10,775 18,651 24,467 147,785 115,117 8,231 152 2,823 49,823 54,088 11,10411,549 158 Mar. 25................. 117,942 87,645 11,078 19,21923,272 147,381 114,763 7,757 116 2,148 49,85654,886 11,18011,611 158 Apr. 29................. 119,213 88,093 11 ,29819,82225,042 150,648117,118 8,113 159 2,304 50,30656,23611,788 11,715 158 May 27.................. 119,002 88,033 11,28719,68224,393 149,816116,945 8,213 160 1,945 49,99056,637 11,025 11,780 157 June 24................. 119,473 88,768 11,039 19,66624,999 150,846118,046 8,402 163 2,880 49,84256,759 11,27211,798 156 Country member: 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 1966—Dec. 31................. 109,518 68,641 22,419 18,458 19,004 131,338 117,749 2,392 69 1,474 56,67257,144 308 10,309 5,958 1967—Dec. 30................. 122,511 74,995 24,68922,82620,334 146,052 131,156 2,766 96 1,564 61,161 65,569 55211,005 5,886 1968—Dec. 31................. 134,759 83,397 24,99826,36422,664 161,122 144,682 2,839 111 1,281 66,578 73,873 80411,807 5,796 1969—June 306................ 137,711 88,573 21,68627,45222,410 164,299 143,739 2,515 86 1,448 63,56276,129 1,787 12,376 5,756 July 30................. 137,839 88,891 21,79727,151 19,745 161,929 140,396 2,260 111 1,764 60,62275,639 2,607 12,200 5,745 Aug. 27................. 137,561 88,858 21,56727,136 19,927 161,665 139,763 2,256 111 1,542 60,27975,575 2,680 12,257 5,739 Sept. 24................. 138,629 89,796 21,528 27,30520,113 163,495 141,016 2,370 111 1,966 60,96475,605 2,572 12,354 5,730 Oct. 29................. 138,484 89,744 21,54227,19820,195 163,194 140,714 2,325 111 1,365 61,54875,365 2,684 12,530 5,722 Nov. 26.................. 139,184 90,567 21,521 27,09621,719 165,576 142,737 2,415 86 1,695 63,49675,045 2,691 12,594 5,714 Dec. 31 r................ 140,715 92,147 21 ,27827,291 23,928 169,078148,007 3,152 84 1 ,671 67,93075,170 1,82012,766 5,691 1970—Jan. 28.................. 138,438 90,464 20,92827,04620,342 163,012140,933 2,331 86 1,594 62,105 74,817 2,70412,805 5,674 Feb. 25................. 137,842 90,463 20,43826,941 20,492 162,686140,364 2,340 86 1,680 60,781 75,477 2,769 12,867 5,671 Mar. 25................. 139,131 91,537 20,28327,311 19,812163,496141,187 2,271 86 1,850 60,44976,531 2,51012,930 5,660 Apr. 29................. 140,326 92,501 20,115 27,71020,594165,624143,183 2,334 86 1,746 61,51977,498 2,303 12,988 5,649 May 27.................. 140,921 92,612 20,375 27,93420,652166,453 143,231 2,349 86 1,855 60,73078,211 2,67013,068 5,638 June 24p............... 142,146 93,736 20,16728,24321,004168,020144,557 2,356 86 2,243 61,31378,559 2,592 13,116 5,637 For notes see p. A-22. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ COMMERCIAL BANKS A 21 PRINCIPAL ASSETS AND LIABILITIES AND NUMBER, BY CLASS OF BANK—Continued (Amounts in millions of dollars) Loans and investments Deposits Total assets— F C R la S a s i n n s m i d s f u i e c F r m a a D t n b i c I o e C e r n s h b i y p Total Lo 1 a .2 ns T U re . S S a e s . c ­ urit O ie t s h 2 er a C ss a e s t h s3 c b T a i a l a l o p i i n c a t t i d i a ­ t ­ e a l s l Total3 m D I a e n n ­ t d erba T n i k m 3 e Dema O nd ther Tim l e r B i o n o w g r s ­ ­ c c T a o a o p u c i t n ­ a ta t l s l b N a b u o n e m f k r s ­ ury counts 4 U.S. Govt. Other Insured banks: Total: 1941—Dec. 31.. 49,290 21,259 21,046 6,984 25,788 76,820 69,411 10,i654 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 80,276 29,876 215 8,671 13,297 1947—Dec. 31.. 114,274 37,583 67,941 8,750 36,926 152,733 141,851 12,615 54 1,325 92,975 34,882 61 9,734 13,398 1961—Dec. 30.. 213,904 124,348 66,026 23,531 56,086276,600247,176 17,737 333 5,934 141,050 82,122 462 22,089 13,108 1962—Dec. 28.. 234,243 139,449 65,891 28,903 53,702295,093260,609 15,844 402 6,815 140,169 97,380 3,584 23,712 13,119 1963—Dec. 20.. 252,579 155,261 62,723 34,594 50,337310,730273,657 15,077 443 6,712 140,702 110,723 3,571 25,277 13,284 1964—Dec. 31.. 275,053 174,234 62,499 38,320 59,911 343,876305,113 17,664 733 6,487 154,043 126,185 2,580 27,377 13,486 1965—Dec. 31.. 303,593200,109 59,120 44,364 60,327374,051 330,323 18,149 923 5,508 159,659 146,084 4,325 29,827 13,540 1966—Dec. 31.. 321,473217,379 55,788 48,307 68,515401,409351,438 19,497 881 4,975 166,689 159,396 4,717 31,609 13,533 1967—Dec. 30.. 358,536235,502 62,094 60,941 77,348448,878394,11821,598 1,258 5,219 182,984 183,060 5,531 33,916 13,510 1968—Dec. 31.. 399,566264,600 64,028 70,938 83,061 498,071432,71924,427 1,155 5,000 198,535203,602 8,675 36,530 13,481 1969—June 306. 408,620283,199 53,723 71,697 87,311 513,960423,95724,889 800 5,624 192,357200,287 14,450 38,321 13.464 Dec. 31. .419,746294,638 54,399 70,709 89,090527,598434,13826,858 695 5,038207,311 194,237 18,024 39,450 13.464 National member: 1941—Dec. 31.. 27,571 11,725 12,039 3,806 14,977 43,433 39,458 6,:786 1,088 23,262 8,322 4 3,640 5,117 1945—Dec. 31.. 69,312 13,925 51,250 4,137 20,144 90,220 84,939 9,:129 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 1961—Dec. 30.. 116,402 67,309 36,088 13,006 31,078 150,809 135,511 10,359 104 3,315 76,292 45,441 225 11,875 4,513 1962—Dec. 28.. 127,254 75,548 35,663 16,042 29,684 160,657 142,825 9,155 127 3,735 76,075 53,733 1,636 12,750 4,505 1963—Dec. 20.. 137,447 84,845 33,384 19,218 28,635 170,233 150,823 8,863 146 3,691 76,836 61,288 1,704 13,548 4,615 1964—Dec. 31.. 151,406 96,688 33,405 21,312 34,064 190,289 169,61510,521 211 3,604 84,534 70,746 1,109 15,048 4,773 1965—Dec. 31.. 176,605 118,537 32,347 25,720 36,880219,744 193,86012,064 458 3,284 92,533 85,522 2,627 17,434 4,815 1966—Dec. 31.. 187,251 129,182 30,355 27,713 41,690235,996206,456 12,588 437 3,035 96,755 93,642 3,120 18,459 4,799 1967—Dec. 30.. 208,971 139,315 34,308 35,348 46,634263,375231,374 13,877 652 3,142 106,019 107,684 3,478 19,730 4,758 1968—Dec. 31.. 236,130 159,257 35,300 41,572 50,953296,594257,884 15,117 657 3,090 116,422 122,597 5,923 21,524 4,716 1969—June 306. 242,241 170,834 29,481 41,927 52,271 305,800251,489 14,324 437 3,534 113,134120,060 9,895 22,628 4,700 Dec. 31 . .247,526 177,435 29,576 40,514 54,721 313,927256,314 16,299 361 3,049 121,719 114,885 12,279 23,248 4,668 State member: 1941—Dec. 31.. 15,950 6,295 7,500 2,155 8,145 24,688 22,259 3,1739 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,<111 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 1961—Dec. 30.. 63,196 38,924 17,971 6,302 18,501 84,303 74,119 6,835 199 2,066 43,303 21,716 213 6,763 1,600 1962—Dec. 28.. 68,444 43,089 17,305 8,050 17,744 88,831 76,643 6,154 231 2,351 41,924 25,983 1,914 7,104 1,544 1963—Dec. 20.. 72,680 46,866 15,958 9,855 15,760 91,235 78,553 5,655 236 2,295 40,725 29,642 1,795 7,506 1,497 1964—Dec. 31.. 77,091 51,002 15,312 10,777 18,673 98,852 86,108 6,486 453 2,234 44,005 32,931 1,372 7,853 1,452 1965—Dec. 31.. 74,972 51,262 12,645 11,065 15,934 93,640 81,657 5,390 382 1,606 39,598 34,680 1,607 7,492 1,406 1966—Dec. 31.. 77,377 54,560 11,569 11,247 19,049 99,504 85,547 6,200 357 1,397 41,464 36,129 1,498 7,819 1,351 1967—Dec. 30.. 85,128 58,513 12,649 13,966 22,312 111,188 95,637 6,934 516 1,489 45,961 40,736 1,892 8,368 1,313 1968—Dec. 31.. 89,894 61,965 12,581 15,348 22,803 116,885 98,467 8,402 404 1,219 47,498 40,945 2,535 8,536 1,262 1969—June 30 6. 88,346 64,007 9,902 14,437 26,344 119,358 93,858 9,773 285 1,341 45,152 37,307 4,104 8,689 1,236 Dec. 31 . . 90,088 65,560 10,257 14,271 24,313 119,219 94,445 9,541 248 1,065 48,030 35,560 5,116 8,800 1,201 Nonmember: 1941—Dec. 31.. 5,776 3,241 1,509 1,025 2,668 8,708 7,702 129 53 4,162 3,360 6 959 6,810 1945—Dec. 31.. 14,639 2,992 10,584 1,063 4,448 19,256 18,119 2 44 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 2621 4 149 12,366 6,558 7 1,271 6,478 1961—Dec. 30.. 34,320 18,123 11,972 4,225 6,508 41,504 37,560 543 30 553 21,456 14,979 24 3,452 6,997 1962—Dec. 28.. 38,557 20,811 12,932 4,814 6,276 45,619 41,142 535 43 729 22,170 17,664 34 3,870 7,072 1963—Dec. 20.. 42,464 23,550 13,391 5,523 5,942 49,275 44,280 559 61 726 23,140 19,793 72 4,234 7,173 1964—Dec. 31.. 46,567 26,544 13,790 6,233 7,174 54,747 49,389 658 70 649 25,504 22,509 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 27,528 25,882 91 4,912 7,320 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 1967—Dec. 30.. 64,449 37,675 15,146 11,629 8,403 74,328 67,107 786 89 588 31,004 34,640 162 5,830 7,440 1968—Dec. 31.. 73,553 43,378 16,155 14,020 9,305 84,605 76,368 908 94 691 34,615 40,060 217 6,482 7,504 1969—June 30«. 78,032 48,358 14,341 15,333 8,696 88,802 78,610 791 78 749 34,070 42,921 451 7,004 7,528 Dec. 31 . . 82,133 51,643 14,565 15,925 10,056 94,453 83,380 1,017 85 924 37,561 43,792 629 7,403 7,595 For notes see p. A-22. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 22 COMMERCIAL BANKS □ JULY 1970 PRINCIPAL ASSETS AND LIABILITIES AND NUMBER, BY CLASS OF BANK—Continued (Amounts in millions of dollars) Loans and investments Deposits Total assets— F C R la S s s m ifi e c m at b io er n s h b i y p Securities Cash T l o ia ta ­ l Interbank3 Other Bor­ Total Num­ a i n n d su F ra D nc IC e Total Lo 1. a 2 ns T U re .S a . s­ Oth 2 er assets3 c b a i a a l p n i c t i d i ­ t e a s l Total3 m D a e n ­ d Time Demand Tim l e r i o n w gs ­ c c a o a p u c i n ­ ta ts l ba b o n e f k r s ury counts 4 G U o . v S t . . Other Noninsured nonmember: 1941—Dec. 31.. 1,457 455 761 241 763 2,283 1,872 3219 i.:91 253 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. 315. 2,009 474 1,280 255 576 2,643 2,251 177 185 18 1,392 478 4 325 783 1961—Dec. 30.. 1,536 577 553 406 346 1,961 1,513 177 148 12 869 307 8 370 323 1962—Dec. 28.. 1,584 657 534 392 346 2,009 1,513 164 133 14 872 330 44 371 308 1963—Dec. 20.. 1,571 745 463 362 374 2,029 1,463 190 83 17 832 341 93 389 285 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 1967—Dec. 30.. 2,638 1,735 370 533 579 3,404 2,172 285 58 15 1,081 733 246 457 211 1968—Dec. 31.. 2,901 1,875 429 597 691 3,789 2,519 319 56 10 1,366 767 224 464 197 1969—June 30«. 2,809 1,800 321 688 898 3,942 2,556 298 81 15 1,430 731 290 502 209 Dec. 31 . . 2,982 2,041 310 632 895 4,198 2,570 316 41 16 1,559 638 336 528 197 Total nonmember: 1941—Dec. 31.. 7,233 3,696 2,270 1,266 3,431 10,992 9,573 4157 5,i04 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 1961—Dec. 30.. 35,856 18,700 12,525 4,631 6,854 43,465 39,073 719 178 565 22,325 15,286 33 3,822 7,320 1962—Dec. 28.. 40,141 21,469 13,466 5,206 6,622 47,628 42,654 699 176 743 23,042 17,994 77 4,240 7,380 1963—Dec. 20.. 44,035 24,295 13,854 5,885 6,316 51,304 45,743 749 144 743 23,972 20,134 165 4,623 7,458 1964—Dec. 31.. 48,879 27,899 14,273 6,707 7,752 57,780 51,447 931 156 672 26,645 23,043 198 4,894 7,536 1965—Dec. 31.. 54,483 31,858 14,555 8,070 8,085 63,879 56,919 972 168 635 28,649 26,495 238 5,345 7,583 1967—Dec. 30.. 67,087 39,409 15,516 12,162 8,983 77,732 69,279 1,071 147 603 32,085 35,372 408 6,286 7,651 1968—Dec. 31.. 76,454 45,253 16,585 14,617 9,997 88,394 78,887 1,227 150 701 35,981 40,827 441 6,945 7,701 1969—June 306. 80,841 50,159 14,662 16,021 9,594 92,743 81,166 1,090 160 765 35,500 43,652 741 7,506 7,737 Dec. 31 .. 85,115 53,683 14,875 16,556 10,950 98,651 85,949 1,333 126 940 39,120 44,430 965 7,931 7,792 8 Beginning Jan. 4, 1968, a country bank with deposits of $321 million 1 See table “Deposits Accumulated for Payment of Personal Loans” and was reclassified as a reserve city bank. Beginning Feb. 29, 1968, a reserve its notes on p. A-23. city bank in Chicago with total deposits of $190 million was reclassified as 2 Beginning June 30, 1966, loans to farmers directly guaranteed by a country bank. CCC were reclassified as securities, and Export-Import Bank portfolio fund participations were reclassified from loans to securities. This reduced Note.—Data are for all commercial banks in the United States (includ­ “Total loans” and increased “Other securities” by about $1 billion. ing Alaska and Hawaii, beginning with 1959). Commercial banks represent “Total loans” include Federal funds sold, and beginning with June 1967 all commercial banks, both member and nonmember, stock savings securities purchased under resale agreements, figures for which are included banks; and nondeposit trust companies. in “Federal funds sold, etc.,” on p. A-24. For the period June 1941-June 1962 member banks include mutual 3 Reciprocal balances excluded beginning with 1942. savings banks as follows: three before Jan. 1960; two through Dec. 1960, 4 Includes other assets and liabilities not shown separately. See also and one through June 1962. Those banks are not included in insured note 1. commercial banks. 5 Beginning with Dec. 31, 1947, the series was revised; for description, Beginning June 30, 1969, commercial banks and member banks exclude see note 4, p. 587, May 1964 Bulletin. a small national bank in the Virgin Islands; also, member banks exclude, 6 Monthly series beginning July 1969 and call report series beginning and noninsured commercial banks include, a small member bank engaged June 30, 1969, reflect (1) inclusion of consolidated reports (including exclusively in trust business. figures for all bank-premises subsidiaries and other significant majority- Comparability of figures for classes of banks is affected somewhat by owned domestic subsidiaries) and (2) reporting of figures for total loans and changes in F.R. membership, deposit insurance status, and the reserve for individual categories of securities on a gross basis—that is, before classifications of cities and individual banks, and by mergers, etc. deduction of valuation reserves—rather than net as previously reported. Data for national banks for Dec. 31, 1965, have been adjusted to make 7 Regarding reclassification of New York City and Chicago as reserve them comparable with State bank data. cities, see Aug. 1962 Bulletin, p. 993. For various changes between Figures are partly estimated except on call dates. reserve city and country status in 1960-63, see note 6, p. 587, May 1964 For revisions in series before June 30, 1947, see July 1947 Bulletin, Bulletin. pp. 870-71. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 a COMMERCIAL BANKS A 23 LOANS AND INVESTMENTS (In billions of dollars) Seasonally adjusted Not seasonally adjusted Period Securities Securities Total1,2 Loans1,2 Total i,2 Loans1,2 G U o . v S t . . Other2 G U o .S vt . . Other2 1960—Dec. 31............................................................... 194.5 113.8 59.8 20.8 198.5 116.7 61.0 20.9 1961—Dec. 30................................................................ 209.6 120.4 65.3 23.9 214.4 123.9 66.6 23.9 1962—Dec. 31................................................................ 227.9 134.0 64.6 29.2 233.6 137.9 66.4 29.3 1963—Dec. 31................................................................ 246.2 149.6 61.7 35.0 252.4 153.9 63.4 35.1 1964—Dec. 31................................................................ 267.2 167.7 60.7 38.7 273.9 172.1 63.0 38.8 1965—Dec. 31................................................................ 294.4 192.6 57.1 44.8 301.8 197.4 59.5 44.9 1966—Dec. 31............................................................... 310.5 208.2 53.6 48.7 317.9 213.0 56.2 48.8 1967—Dec. 30............................................................... 346.5 225.4 59.7 61.4 354.5 230.5 62.5 61.5 1968—Dec. 31............................................................... 384.6 251.6 61.5 71.5 393.4 257.4 64.5 71.5 1969—May 28................................................................ 392.2 264.1 56.1 72.0 390.2 263.0 55.4 71.8 June 30 (old series)............................................ 392.5 264.3 56.2 72.0 396.4 269.8 54.0 72.6 June 30 (new series)3......................................... 397.3 269.2 56.3 71.8 401.3 274.9 54.0 72.4 July 30................................................................ 397.7 269.9 56.8 71.0 397.7 271.7 54.7 71.3 Aug. 27................................................................ 397.5 270.3 56.9 70.3 394.7 269.5 54.3 70.9 Sept. 24................................................................ 396.5 271.3 54.7 70.5 396.5 272.1 53.2 71.2 Oct. 29................................................................ 397.6 273.8 53.5 70.3 397.2 272.4 54.4 70.4 Nov. 26................................................................ 401.2 276.4 53.4 71.4 400.7 274.7 55.1 70.9 Dec. 31............................................................... 401.3 278.1 51.9 71.3 410.5 284.5 54.7 71.3 1970—Jan. 28................................................................ 398.5 276.6 50.4 71.5 397.6 274.0 53.0 70.6 Feb. 25................................................................ 399.7 278.5 49.8 71.4 395.7 273.5 51.4 70.8 Mar. 25................................................................ 400.9 277.6 50.3 73.0 399.0 274.8 51.5 72.7 Apr. 29 rP............................................................ 402.9 276.6 52.3 74.0 402.9 276.4 52.3 74.3 May 27 rP............................................................ 404.9 277.1 53.3 74.4 402.9 276.1 52.5 74.3 June 30c.............................................................. 405.3 276.7 53.5 75.1 408.9 282.2 51.1 75.7 1 Adjusted to exclude interbank loans. without valuation reserves deducted, rather than net of valuation reserves 2 Beginning June 9, 1966, about $1.1 billion of balances accumulated as was done previously. For a description of the revision, see Aug. 1969 for payment of personal loans were deducted as a result of a change in Bulletin, pp. 642-46. Federal Reserve regulations. Beginning June 30, 1966, CCC certificates of interest and Export- Note.—For monthly data 1948-68, see Aug. 1968 Bulletin, pp. A-94 Import Bank portfolio fund participation certificates totaling an estimated —A-97. For a description of the seasonally adjusted series see the follow­ $1 billion are included in “Other securities” rather than “Other loans.” ing Bulletins: July 1962, pp. 797-802; July 1966, pp. 950-55; and Sept. 3 Data revised to include all bank premises subsidiaries and other sig­ 1967, pp. 1511-17. nificant majority-owned domestic subsidiaries; earlier data include com­ Data are for last Wed. of month except for June 30 and Dec. 31; data mercial banks only. Also, loans and investments are now reported gross, are partly or wholly estimated except when June 30 and Dec. 31 are call dates. DEPOSITS ACCUMULATED FOR PAYMENT OF PERSONAL LOANS (In millions of dollars) Class of Dec. 30, Dec. 31, June 30, Dec. 31, Class of Dec. 30, Dec. 31, June 30, Dec. 31, bank 1967 1968 1969 1969 bank 1967 1968 1969 1969 All commercial.... 1.283 1,216 1,150 1 ,131 All member—Cont. Insured................ 1.283 1,216 1,149 1 ,129 Other reserve city. 362 332 293 304 National member 747 730 694 688 Country................. 617 605 588 571 State member.... 232 207 187 188 All nonmember........ 304 278 269 255 All member............ 979 937 881 876 Insured .................. 304 278 268 253 Noninsured........... 2 Note.—These hypothecated deposits are excluded from “Time deposits” These deposits have not been deducted from “Time deposits” and and “Loans” at all commercial banks beginning with June 30, 1966, as “Loans” for commercial banks as shown on pp. A-21 and A-22 and on pp. shown in the tables on the following pages: A-19, A-20, and A-26—A-30 A-24 and A-25 (IPC only for time deposits). (consumer instalment loans), and in the table at the top of this page. Details may not add to totals because of rounding. These changes resulted from a change in the Federal Reserve regulations. See June 1966 Bulletin, p. 808. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 24 COMMERCIAL BANKS □ JULY 1970 LOANS AND INVESTMENTS BY CLASS OF BANK (In millions of dollars) Other loans i Investments b C a l n a k s s a o n f d lo T a a o n n t d a s l i f F e u r e n a d d l ­ s C m o e m r­ ­ Agri- o p s r u e r c c c F a u h r o r a r i r y t s i i i e n n s g g in f s in ti a T tu n o c ti i o a n l s Real Ot t h o er, U s .S ec . u T ri r t e ie a s s u 6 ry S a t n a d te call date i m nv e e n s t t s ­ e so tc ld .2 , T 3 o , t 4 al a c i n i n a d ­ l c t a u u l r l - - 5 b T r o o­ t e a s t ­ e v i d i n i d - - - Oth 5 er Bills s g lo e o c c v a u t l ­ . r O s it e t i h c es u e r 5 ­ d tr u ia s l ­ k a e n r d s ot T h o ers Banks Others uals3 Total ce a r n t d ifi­ Notes Bonds rities deal­ cates ers Total:2 1947—Dec. 31.. 116,284 38,057 18,167 1,660 8301,220 115 9,393 5,723 94769,221 9,982 6,03453,205 5,2763,729 1968—Dec. 31..402,477 6,747259,72798,3579,718 6,6254,108 2,206 13,72965,13758,3376,72464,466 58,57012.967 1969—June 3010 411,429 7,226277,773 104,403 10,5525,3064,212 2,587 13,74668,41961,5407,009 54,044 60,080 12.305 Dec. 31..422,728 9,928286,750108,443 10,3295,7394,027 2,488 15,06270,02063,2567,388 54,709 59,183 12,158 All 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 1.314 3,1643,606 49 4,677 2,361 1,132 88,91221,526 16,04551,342 3,873 3,258 1947—Dec. 31.. 114,274 37,583 18,012 1,610 823 1,190 114 9,266 5,654 91467,941 9,676 5,918 52,347 5,129 3,621 1968—Dec. 31.. 399,566 6,526258,07497,741 9,7006,4094,063 2,145 13,62164,80458,1426,65564,028 58,288 12,650 1969—June 30io 408,620 7,067276,132103,723 10,5345,1804,168 2,541 13,60568,10461,3376,941 53,723 59,746 11,950 Dec. 31. 419,746 9,693284,945107,68510.3145,6443,991 2,425 14,89069,66963,008 7,319 54,399 58,84011,869 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 8553,133 3.378 47 3,455 1,900 1,057 78,338 19,260 14,27144,807 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 4,81545,295 4,199 3,105 1968—Dec. 31 326,023 5,551215,671 87,819 5,921 6,1743.379 2,012 12,79750,461 45,4046,18947,881 48,4238,498 1969—June 30io 330,587 5,444229,39792,9266,3484,9963,473 2,386 12,82052,55647,4576,435 39,382 48,6007,764 Dec. 31.. 337,613 7,356235,63996,0956,1875,408 3,286 2,258 14,03553,20748,388 6,77639,833 47,2277,558 New York City: 1941—Dec. 31.. 12,896 4,072 2,807 412 169 32 123 522 7,265 311 1,623 5,331 729 830 1945—Dec. 31.. 26,143 7,334 3,044 2,453 1,172 26 80 287 272 17,574 3,910 3,325 10,339 606 629 1947—Dec. 31.. 20,393 7,179 5,361 545 267 93 111 564 238 11,972 1,642 558 9,772 638 604 1968—Dec. 31.. 57,047 747 42,22225,258 3,803 903 1,099 3,426 3,619 3,485 1,694 5,984 7,233 861 1969—June 30io 57,885 992 45,24026,469 3,410 887 1,218 3,819 4,041 3,706 1,676 4,445 6,553 655 Dec. 31.. 60,333 802 47,50328,189 3,695 776 1,047 4,547 3,835 3,595 1,807 5,048 6,192 788 City of Chicago: 1941—Dec. 31.. 2,760 954 732 48 52 22 95 1,430 256 153 1,022 182 193 1945—Dec. 31.. 5,931 1,333 760 211 233 36 51 40 4,213 1,600 749 1,864 181 204 1947—Dec. 31.. 5,088 1,801 1,418 73 87 46 149 26 2,890 367 248 2,274 213 185 1968—Dec. 31.. 14,274 312 9,974 6,118 535 253 205 1.219 738 281 1,863 1,810 315 1969—June 30io 14,321 207 10,366 6,353 366 264 179 1,144 790 888 338 1,616 1,867 265 Dec. 31.. 14,365 215 10,556 6,444 337 262 186 1.219 842 862 354 1,564 1,837 192 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 4271,503 17 1,459 855 387 29,552 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 35120,196 2,731 1,901 15,563 1,342 1,053 1968—Dec. 31.. 119,339 2,197 81,76934,632 1,362 1,116 1,254 588 6.005 18,939 16,9162,520 15,036 18,111 2,226 1969—June 30io 120,082 1,997 86,87937,120 1,512 7601,360 885 5,816 19,417 17,3542,656 11,635 17,621 1,951 Dec. 31.. 121,628 3,021 88,18037,701 1,386 878 1,300 876 6.006 19,706 17,5692,757 11,944 16,625 1,859 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 1,881 707 359 26,999 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 2,006 1,262 1968—Dec. 31.. 135,364 2,295 81,70621,811 4,493 720 969 119 2,14727,16424,154 1,69424,998 21,2695,095 1969—June 30io 138,298 2,248 86,913 22,9844,779 460 963 104 2,041 28,30825,509 1,76521,686 22,5594,893 Dec. 31.. 141,286 3,318 89,401 23,7624,739 498 947 148 2,263 28,82426,362 1,85821,278 22,5724,718 Nonmember: 1947—Dec. 31.. 18.454 5,432 1,205 614 20 156 2,266 1,061 10911,318 2,179 1,219 7,920 1,078 625 1968—Dec. 31.. 76.454 1,196 44,056 10,5383,797 451 729 194 932 14,676 12,933 535 16,585 10,1474,469 1969—June 30io 80,841 1,783 48,376 11,4764,204 310 739 201 925 15,863 14,083 57414,662 11,481 4,541 Dec. 31 85,115 2,572 51,111 12,3484,141 329 741 231 1,028 16,813 14,868 61214,875 11,9564,600 1 Beginning with June 30, 1948, figures for various loan items are 4 Breakdowns of loan, investment, and deposit classifications are not shown gross (i.e., before deduction of valuation reserves); they do not available before 1947; summary figures for 1941 and 1945 appear in the add to the total and are not entirely comparable with prior figures. Total table on pp. A-l 9—A-22. loans continue to be shown net. See also note 10. 5 Beginning with June 30, 1966, loans to farmers directly guaranteed 2 Includes securities purchased under resale agreements. Prior to June 30, by CCC were reclassified as “Other securities,” and Export-Import Bank 1967, they were included in loans—for the most part in “Loans to banks.” portfolio fund participations were reclassified from loans to “Other Prior to Dec. 1965, Federal funds sold were included with “Total loans” securities.” This increased “Other securities” by about $1 billion. and “Loans to banks.” 6 Beginning with Dec. 31, 1965, components shown at par rather than 3 See table (and notes) entitled Deposits Accumulated for Payment of at book value; they do not add to the total (shown at book value) and are Personal Loans, p. A-23. not entirely comparable with prior figures. See also note 10. For other notes see opposite page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ COMMERCIAL BANKS A 25 RESERVES AND LIABILITIES BY CLASS OF BANK (In millions of dollars) Demand deposits Time deposits b c C a a l n l a l k s d s a a o n te f d B s F w e R a r . i n v R e t k h e ­ . s s r C c e a o n n u i c d r n y ­ b m a a w B d n e n o i c a s k t e l t ­ h ­ i s s c 7 ju p m D s o a d a t s d e e e n i ­ ­ d t ­ d s 8 m D e I s n o t t ­ i e c r 7 ba e F n ig k o n r­ 9 G U o . v S t . . g S l a o o t n c a v a d t t e l . c C c h o e a f e e i e f t n r e c f r c s d d i t . * k ­ i­ s, IPC I b n a t n e k r­ G P S U i a n o o a n . g s v S v d t s ­ a t . . l g S l a o o t n c a v d a t t e l . IPC 3 r B i o n o w g r s ­ ­ c C o a t a u a c p l n ­ i t ­ s Total: 3 1947—Dec. 31.... 17,796 2,216 10,216 87,123 11,362 1,430 1,343 6,799 2,581 84,987 240 111 866 34,383 6510,059 1968—Dec. 31.... 21,230 7,195 18,910167,145 22,501 2,245 5,010 16,876 9,684 173,341 1,211 36819,110 184,8928,899 37,006 1969—June 30io.. 19,801 6,258 17,591 152,995 22,929 2,258 5,639 16,930 12,717 164,141 882 351 16,690 183,97614,74038,823 Dec. 31.... 21,449 7,320 20,314 172,079 24,553 2,620 5,054 17,558 11,899 179,413 735 211 13,221 181,44318,36039,978 All 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 1968—Dec. 31.... 21,230 7,165 18,343 165,527 22,310 2,117 5,000 16,774 9,442 172,319 1,155 36819,057 184,1788,67536,530 1969—June 30io.. 19,801 6,229 16,778 151,340 22,755 2,134 5,624 16,819 12,378 163,160 800 351 16,634183,30214,45038,321 Dec. 31.. .. 21,449 7,292 19,528 170,280 24,386 2,471 5,038 17,434 11,476 178,401 695 211 13,166 180,86018,02439,450 Member, total: 1941—Dec. 31.... 12,396 1,087 6,246 33,754 9,714 671 1,709 3,066 1,009 33,061 140 50 418 11,878 4 5,886 1945—Dec. 31.. .. 15,811 1,438 7,117 64,184 12,333 1,24322,179 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 1968—Dec. 31.... 21,230 5,634 11,279131,491 21,483 2,036 4,309 12,851 8,592 142,476 1,061 33015,668147,5458,45830,060 1969—June 30*0.. 19,801 4,828 10,370 118,038 22,026 2,072 4,874 12,916 11,513 133,857 722 305 13,071 143,99013.99931,317 Dec. 31.... 21,449 5,676 11,931 133,435 23,441 2,399 4,114 13,274 10,483 145,992 609 186 9,951 140,308 17,39532,047 New York City: 1941—Dec. 31___ 5,105 93 141 10,761 3,595 607 866 319 450 11,282 6 29 778 1,648 1945—Dec. 31.... 4,015 111 78 15,065 3,535 1,105 6,940 237 1,338 15,712 17 10 20 1,206 i 95 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 1968—Dec. 31.... 4,506 443 420 20,808 7,532 1,433 888 1,068 4,827 27,455 622 73 1,623 18,3802,733 6,137 1969—June 30io.. 4,212 400 424 15,504 9,725 1,509 983 1,314 7,801 25,338 405 53 673 14,7353,671 6,283 Dec. 31. . . . 4,358 463 455 21,316 8,708 1,641 694 1,168 6,605 28,354 268 45 207 14,6924,405 6,301 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 1968—Dec. 31.... 1,164 98 281 5,183 1,445 89 257 245 207 6,090 21 2 624 5,545 682 1,433 1969—June 30io.. 652 78 134 4,428 1,298 69 274 321 228 5,644 25 1 391 4,783 1,230 1,492 Dec. 31. . .. 869 123 150 5,221 1,581 96 175 268 229 6,273 15 1 216 4,409 1,290 1,517 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 1968—Dec. 31.... 8,847 1,800 2,986 43,674 9,725 456 1,884 3,835 1,947 51,667 307 168 7,378 55,271 4,239 10,684 1969—June 3010.. 7,945 1,499 2,776 39,781 8,538 444 2,172 3,792 1,843 48,444 205 162 6,231 53,621 7,311 11,166 Dec. 31.... 9,044 1,787 3,456 44,169 10,072 590 1,575 3,934 1,928 53,062 242 86 4,609 50,4399,881 11,464 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 1968—Dec. 31... . 6,714 3,293 7,592 61,827 2,781 58 1,281 7,703 1,612 57,263 111 86 6,043 68,348 804 11,807 1969—June 30 io.. 6,991 2,851 7,036 58,325 2,465 49 1,447 7,490 1,641 54,432 86 88 5,776 70,852 1,787 12,376 Dec 31. . . . 7,179 3,302 7,870 62,729 3,080 72 1,671 7,905 1,721 58,304 84 54 4,920 70,768 1,82012,766 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 1968—Dec. 31 1,560 7,631 35,654 1 ,018 209 701 4,205 1,092 30,865 150 38 3,442 37,347 441 6,945 1969—June 30io 1,430 7,221 34,957 903 186 765 4,013 1,204 30,283 160 47 3,619 39,986 741 7,506 Dec. 31 1,644 8,383 38,644 1 ,112 222 940 4,284 1 ,416 33,420 126 25 3,269 41 ,135 965 7,931 7 Beginning with 1942, excludes reciprocal bank balances. banks in U.S. possessions are included through 1968 and excluded there­ 8 Through 1960 demand deposits other than interbank and U.S. after. Govt., less cash items in process of collection; beginning with 1961, For the period June 1941—June 1962 member banks include mutual demand deposits other than domestic commercial interbank and U.S. savings banks as follows: three before Jan. 1960, two through December Govt., less cash items in process of collection. 1960, and one through June 1962. Those banks are not included in all 9 For reclassification of certain deposits in 1961, see note 6, p. 589, insured or total banks. May 1964 Bulletin. Beginning June 30, 1969, a small noninsured member bank engaged Beginning June 30, 1969, reflects (1) inclusion of consolidated reports exclusively in trust business is treated as a noninsured bank and not as a (including figures for all bank-premises subsidiaries and other significant member bank. majority-owned domestic subsidiaries) and (2) reporting of figures for Comparability of figures for classes of banks is affected somewhat by total loans and for individual categories of securities on a gross basis—that changes in F.R. membership, deposit insurance status, and the reserve is, before deduction of valuation reserves. See also notes 1 and 6. classifications of cities and individual banks, and by mergers, etc. For other notes see opposite page. Note.—Data are for all commercial banks in the United States; member Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 26 WEEKLY REPORTING BANKS □ JULY 1970 ASSETS AND LIABILITIES OF LARGE COMMERCIAL BANKS (In millions of dollars) Loans Federal funds sold, etc.1 Other To brokers For pui• chasing and dealers or carryin*; securities Total involving— To nonbank loans finan. Wednesday and Com­ To brokers To institutions invest­ To mer­ and dealers others ments com­ To cial Agri­ Total mer­ U.S. others Total and cul­ cial Treas­ Other indus­ tural Pers. banks ury trial U.S. U.S. and se­ curi- Treas­ Other Treas­ Other sales curi­ ties ury secs. ury secs. finan. Other ties secs. secs. COS., etc. Large banks— Total 19693 June 4................ 233,871 172,638 76,983 2,035 760 3,713 139 2,775 6,227 5,294 11................ 233,481 172,357 77,474 2,056 1,012 3,752 108 2,780 6,083 5,357 18................ 236,803 175,618 78,429 2,060 2,170 3,998 107 2,775 6,181 5,495 25................ 235,480 5,763 4,845 636 238 44 169,502 78,438 2,118 849 3,530 109 2,746 5,962 5,504 1970 May 6................ 236,644 6,708 6,252 265 82 109 169,205 78,966 2,025 546 3,310 100 2,331 5,803 5,500 13................ 235,592 7,249 6,728 346 74 101 167,974 78,532 2,018 477 3,019 97 2,312 5,495 5,427 20................ 234,274 5,980 5,642 196 71 71 167,806 78,294 2,022 641 3,183 95 2,305 5,352 4,449 27................ 234,231 6,216 5,693 360 84 79 167,582 77,835 2,031 513 3,277 92 2,294 5,355 5,484 June 3p.............. 234,609 6,293 5,841 259 106 87 167,744 78,010 2,041 490 3,207 94 2,303 5,459 5,575 IOp............ 234,311 6,602 6,204 260 100 38 167,379 78,192 2,043 393 2,731 91 2,288 5,545 5,456 17p............ 236,880 6,457 6,016 159 148 134 169,829 79,836 2,056 347 2,875 95 2,328 5,876 5,627 24p............ 236,036 6,717 6,157 319 121 120 169,626 79,551 2,061 375 2,993 93 2,286 5,776 5,623 New York City 19693 June 4........ 54,173 43,091 24,960 13 538 2,330 42 863 2,086 1 ,355 11................ 53,503 42,467 25,162 13 612 2,350 13 870 1,928 1,374 18................ 55,569 44,184 25,369 13 1,508 2,403 13 861 1,931 1,393 25................ 54,550 1 ,964 1,853 90 41,871 25,411 13 704 2,094 12 839 1,867 1 ,394 1970 May 6................ 54,484 1,525 1,504 41,660 25,559 13 447 2,048 12 701 1,972 1,576 13................ 53,428 1,430 1 ,415 40,875 25,328 13 325 1 ,856 11 697 1,781 1,528 20................ 53.279 1 ,161 1 ,136 40,865 25,156 13 492 2,064 11 689 1 ,707 1,544 27................ 53,932 1 ,700 1 ,682 40,877 24,953 14 357 2,197 11 685 1,754 1 ,573 June 3p.............. 54.279 2,144 2,092 40,778 24,890 14 376 2,066 12 684 1,853 1,598 IOp............ 53,232 1,528 1,524 40,365 24,980 15 281 1,631 12 676 1,918 1,497 17P............ 54,220 1,453 1,394 20 41,182 25,773 15 208 1 ,676 12 667 1,925 1,612 24p.............. 54,487 2,236 1 ,969 248 41,195 25,583 15 269 1,839 12 669 1,895 1,613 Outside New York City 19693 June 4................ 179,698 129,547 52,023 2,022 222 1,383 97 1,912 4,141 3,939 11................ 179,978 129,890 52,312 2,043 400 1,402 95 1,910 4,155 3,983 18................ 181,234 131,434 53,060 2,047 662 1,595 94 1,914 4,250 4,102 25................ 180,930 3,799 2,992 636 148 23 127,631 53,027 2,105 145 1,436 97 1,907 4,095 4,110 1970 May 6................ 182,160 5,183 4.748 259 82 94 127,545 53,407 2,012 99 1,262 88 1,630 3,831 3,924 13................ 182,164 5.819 5,313 344 74 88 127,099 53,204 2,005 152 1,163 86 1,615 3,714 3,899 20................ 180,995 4.819 4,506 186 71 56 126,941 53,138 2,009 149 1,119 84 1,616 3,645 3,905 27................ 180,299 4,516 4,011 355 84 66 126,705 52,882 2,017 156 1,080 81 1,609 3,601 3,911 June 3p.............. 180,330 4,149 3.749 239 96 65 126,966 53,120 2,027 114 1,141 82 1,619 3,606 3,977 IOp.............. 181,079 5,074 4,680 260 100 34 127,014 53,212 2,028 112 1,100 79 1,612 3,627 3,959 17p.............. 182,660 5,004 4,622 139 138 105 128,647 54,063 2,041 139 1,199 83 1,651 3,951 4,015 24p............ 181,549 4,481 4,1 71 121 101 128,431 53,968 2,046 106 1,154 81 1,617 3,881 4,010 For notes see p. A-30. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 Q WEEKLY REPORTING BANKS A 27 ASSETS AND LIABILITIES OF LARGE COMMERCIAL BANKS—Continued (In millions of dollars) Loans (cont.) Investments Other (cont.) U.S. Treasury securities To commercial Notes and bonds banks maturing— Wednesday Con­ Real sumer For­ All Certif­ estate instal­ eign other Total Bills icates Do­ For­ ment govts.2 Within 1 to After mes­ eign 1 yr. 5 yrs. 5 yrs. tic Large Banks—Total 19693 33,040 5,381 1,730 19,386 979 14,196 23,194 1 ,520 4,411 12,151 5,112 .............................June 4 33,149 4,349 1,698 19,478 969 14,092 23,035 1 ,368 4,459 12,112 5,096 .......................................11 33,217 4,653 1,743 19,572 977 14,241 23,134 1,806 4,143 12,125 5,060 .......................................18 33,289 492 1,712 19,689 1 ,022 14,042 22,587 1,183 4,211 12,167 5,026 .......................................25 1970 33,342 468 1,342 20,306 993 14,173 22,426 2,965 3.443 13,616 2,402 .............................May 6 33,409 417 1,355 20,363 987 14,066 22,055 2,645 3,412 13,618 2,380 .......................................13 33,401 403 1,317 20,372 984 13,988 22,652 2,335 3,181 14,723 2,413 .......................................20 33,453 452 1,420 20,401 991 13,984 22,779 2,510 3,367 14,513 2.389 .......................................27 33,419 472 1,458 20,421 976 13,819 22,662 2,487 3,392 14,393 2.390 .............................June 3p 33,489 480 1,412 20,427 994 13,838 22,292 2,297 3,389 14,266 2,340 .......................................10p 33,480 469 1,439 20,468 979 13,954 22,224 2,266 3,421 14,213 2,324 .......................................Up 33,528 483 1 ,458 20,522 973 13,904 21,655 1 ,813 3.443 14,130 2,269 .......................................24p New York City 19693 3,431 1,653 885 1.551 674 2,710 3,981 394 518 2.067 1 ,002 .............................June 4 3,453 967 853 1.552 659 2,661 3,923 319 525 2.068 1,011 ......................................11 3,471 1,387 899 1 ,559 669 2,708 4,212 671 473 2,065 1 ,003 .......................................18 3,528 260 876 1 ,564 679 2,630 4,007 381 514 2,099 1 ,013 .......................................25 1970 3,362 266 730 1,653 620 2,701 4,424 1,066 491 2,597 270 .............................May 6 3,378 232 717 1,655 614 2,740 4,300 941 495 2,600 264 .......................................13 3,381 217 701 1,660 609 2,621 4,582 779 353 3,098 352 .......................................20 3,404 242 793 1 ,670 610 2,614 4,723 936 346 3,080 361 .......................................27 3,400 279 813 1 ,672 610 2,511 4,555 850 339 3,017 349 .............................June 3p 3,424 282 762 1,672 627 2,588 4,386 763 326 2,971 326 .......................................10p 3,335 273 783 1 ,680 609 2,604 4,347 728 342 2,961 316 .......................................Up 3,346 280 795 1 ,689 610 2,580 4,031 437 359 2,931 304 .......................................24 p Outside New York City 1969 3 29,609 3,728 845 17,835 305 11,486 19,213 1 ,126 3,893 10,084 4,110 .............................June 4 29,696 3,382 845 17,926 310 11,431 19,112 1 ,049 3,934 10,044 4,085 .......................................11 29,746 3,266 844 18,013 308 11,533 18,922 1 ,135 3,670 10,060 4,057 ......................................18 29,761 232 836 18,125 343 11,412 18,580 802 3,697 10,068 4,013 ......................................25 1970 29,980 202 612 18,653 373 11,472 18,002 1 ,899 2,952 11,019 2,132 .............................May 6 30,031 185 638 18,708 373 11,326 17,755 1 ,704 2,917 11,018 2,116 .......................................13 30,020 186 616 18,712 375 11,367 18,070 1 ,556 2,828 11,625 2,061 ......................................20 30,049 210 627 18,731 381 11,370 18,056 1 ,574 3,021 11,433 2,028 .......................................27 30,019 193 645 18,749 366 11,308 18,107 1 ,637 3,053 11,376 2,041 .............................June 3p 30,065 198 650 18,755 367 11,250 17,906 1 ,534 3,063 11,295 2,014 .......................................10p 30,145 196 656 18,788 370 11,350 17,877 1 ,538 3,079 11,252 2,008 .......................................17p 30,182 203 663 18,833 363 11,324 17,624 1,376 3,084 11,199 1,965 .......................................24p For notes see p A-30. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

tEPORTING BANKS □ JULY 1970 rS AND LIABILITIES OF LARGE COMMERCIAL BANKS—Continu (In millions of dollars) Investments (cont.) Other securities Cash Obligations Other bonds, items Re­ Bal­ of State corp. stock, in serves Cur­ ances and and process with rency with political securities of F.R. and do­ liab Total subdivisions collec­ Banks coin mestic iti< tion banks Tax Certif. war­ All of All rants 4 other partici­ other6 pation5 38,039 4,715 29,104 1,329 2,891 32,715 16,725 2,783 4,752 302 38,089 4,842 28,936 1,374 2,937 31,605 15,615 2,976 4,910 300 38,051 4,833 29,015 1 ,325 2,878 33,351 14,950 2,999 4,973 304, 37,628 4,620 29,149 1 ,214 2,645 30,635 15,276 3,097 4,890 302; 38,305 4,994 29,134 1,039 3,138 32,803 17,747 2,956 5,039 309 38,314 4,993 29,150 1,112 3,059 31 ,313 16,921 3,252 4,708 306 37,836 4,758 29,023 1 ,032 3,023 31,633 17,049 3,210 4,722 305 37,654 4,670 28,963 1 ,017 3,004 31,409 15,967 3,295 4,542 303: 37,910 4,828 29,026 1 ,006 3,050 33,677 17,159 3,071 4,982 308 38.038 4,984 28,978 1 ,016 3,060 28,962 16,203 3,189 4,846 302 38,370 5,253 29,097 1 ,008 3,012 30,283 17,055 3,257 5,499 307 38.038 5,018 28,918 998 3,104 30,005 15,530 3,368 4,519 304 7,101 1,404 4,775 115 807 15,727 3,821 364 389 79, 7,113 1 ,439 4,714 124 836 16,448 4,149 381 364 19, 7,173 1,478 4,773 133 789 16,334 3,171 363 431 80 6,708 1,330 4,742 109 527 15,715 3,542 380 455 79 6,875 1,369 4,575 94 837 17,020 4,841 406 600 82, 6,823 1,314 4,612 89 808 15,409 4,643 433 542 79 6,671 1,259 4,544 81 787 15,625 4,633 404 536 79 6,632 1,200 4,569 83 780 16,353 4,115 431 615 80 6,802 1,330 4,585 84 803 17,576 4,164 414 932 82 6,953 1,465 4,546 83 859 14,167 3,950 427 818 78 7,238 1 ,725 4,626 82 805 13,239 4,775 401 896 78 7,025 1 ,555 4,559 84 827 15,026 3,089 419 396 78; 30,938 3,311 24,329 1,214 2,084 16,988 12,904 2,419 4,363 223 30,976 3,403 24,222 1 ,250 2,101 15,157 11,466 2,595 4,546 221 30,878 3,355 24,242 1,192 2,089 17,017 11,779 2,636 4,542 223 30,920 3,290 24,407 1 ,105 2,118 14,920 11,734 2,717 4,435 222 31,430 3,625 24,559 945 2,301 15,783 12,906 2,550 4,439 227 31,491 3,679 24,538 1,023 2,251 15,904 12,278 2,819 4,166 226 31,165 3,499 24,479 951 2,236 16,008 12,416 2,806 4,186 225 31,022 3,470 24,394 934 2,224 15,056 11,852 2,864 3,927 223 31,108 3,498 24,441 922 2,247 16,101 12,995 2,657 4,050 225 31,085 3,519 24,432 933 2,201 14,795 12,253 2,762 4,028 224 31,132 3,528 24,471 926 2,207 17,044 12,280 2,856 4,603 228 31,013 3,463 24,359 914 2,277 14,979 12,441 2,949 4,123 225 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ WEEKLY REPORTING BANKS A 29 ASSETS AND LIABILITIES OF LARGE COMMERCIAL BANKS—Continued (In millions of dollars) Deposits Demand Time and savings1 Domestic interbank Foreign IPC States States Wednesday and Certi­ and Do­ polit­ fied polit­ mes­ For­ Total IPC ical U.S. and Total ical tic eign sub­ Govt. Com­ Mutual Com­ offi­ sub­ inter­ govts.2 divi­ mer­ sav­ Govts., mer­ cers’ Sav­ Other divi­ bank sions cial ings etc.1 cial checks ings sions banks Large banks- Total 19693 130,194 91,208 6,513 3,439 17,012 732 727 1,974 8,589 105,868 47,683 42,310 10,429 495 4,487 4 128,961 91,911 5,861 1,696 16,810 726 721 1,925 9,311 105,390 47,592 42,149 10,234 488 4,464 .11 133,045 91,639 5,90C 6,380 17,167 725 728 2,036 8,470 104,506 47,561 41,563 10,017 474 4,444 .18 128,606 90,613 6,313 3,755 15,828 713 703 1,940 8,741 103,961 47,538 41,282 9,771 468 4,445 .25 1970 134,258 90,107 6,905 4,470 19,034 623 826 2,159 10,134 99,221 45,975 36,745 8,980 338 6,912 6 130,391 90,897 6,303 2,677 18,261 549 1 ,054 2,296 8,354 99,311 45,979 36,863 8,968 334 6,894 .13 132,140 90,013 6,358 6,136 17,825 528 767 2,120 8,393 99,513 46,069 36,822 8,983 350 7,020 .20 130,555 91,029 6,342 3,760 17,108 536 718 2,171 8,891 99,470 46,076 36,911 8,970 353 6,889 .27 134,000 91,532 6,289 3,440 18,960 566 783 2,210 10,220 99,537 46,122 37,024 8,940 351 6,822 3 p 127,278 91,499 6,034 1,332 17,301 559 791 2,172 7,590 99,599 46,147 37,081 8,874 349 6,866 A0p 133,622 93,147 6,506 6,001 17,816 530 800 2,095 6,727 99,391 46,163 37,088 8,751 343 6,759 ,17 p 130,510 90,103 6,607 5,075 17,182 492 889 2,178 7,984 99,705 46,175 37,308 8,713 343 6,875 24 p New York City 19693 38,512 22,068 559 761 6,452 456 577 1 ,411 6,228 15,122 4,568 6,621 673 274 2,793 38,721 21,936 443 139 6,755 457 572 1 ,359 7,060 14,991 4,558 6,509 667 274 2,795 .11 39,740 21,856 476 1,712 6,988 459 580 1,466 6,203 14,641 4,550 6,205 668 271 2,766 .18 38,354 22,138 469 496 6,396 450 552 1 ,387 6,466 14,418 4,538 6,058 612 264 2,760 .25 1970 42,146 21,577 732 1 ,052 8,432 331 661 1 ,510 7,851 13,900 4,386 4,477 359 198 4,375 6 39,759 21,556 514 465 8,085 286 877 1,644 6,332 13,801 4,381 4,473 362 196 4,283 .13 40,283 21,643 521 1,602 7,758 272 601 1,464 6,422 13,791 4,390 4,370 343 214 4,368 20 40,756 22,846 415 853 7,477 288 557 1 ,511 6,809 13,760 4,385 4,426 343 214 4,287 ,27 42,894 22,794 464 816 8,322 294 637 1,532 8,035 13,757 4,385 4,532 361 213 4,161 3p 38,317 22,498 464 141 7,247 289 641 1,543 5,494 13,741 4,385 4,523 364 212 4,152 .10* 39,135 22,800 631 1,693 7,063 266 645 1,468 4,569 13,552 4,383 4,489 343 212 4,019 , XIp 39,357 22,021 549 971 7,344 236 732 1,549 5,955 13,678 4,380 4,533 348 213 4,097 ,24 p Outside New York City 19693 91,682 69,140 5,954 2,678 10,560 276 150 563 2,361 90,746 43,115 35,689 9,756 221 1 ,694 90,240 69,975 5,418 1,557 10,055 269 149 566 2,251 90,399 43,034 35,640 9,567 214 1,669 11 93,305 69,783 5,424 4,668 10,179 266 148 570 2,267 89,865 43,011 35,358 9,349 203 1 ,678 18 90,252 68,475 5,844 3,259 9,432 263 151 553 2,275 89,543 43,000 35,224 9,159 204 1,685 25 1970 92,112 68,530 6,173 3,418 10,602 292 165 649 2,283 85,321 41,589 32,268 8,621 140 2,537 6 90,632 69,341 5,789 2,212 10,176 263 177 652 2,022 85,510 41 ,598 32,390 8,606 138 2,611 13 91,857 68,370 5,837 4,534 10,067 256 166 656 1,971 85,722 41,679 32,452 8,640 136 2,652 20 89,799 68,183 5,927 2,907 9,631 248 161 660 2,082 85,710 41,691 32,485 8,627 139 2,602 27 91,106 68,738 5,825 2,624 10,638 272 146 678 2,185 85,780 41,737 32,492 8,579 138 2,661 3 p 88,961 69,001 5,570 1,191 10,054 270 150 629 2,096 85,858 41,762 32,558 8,510 137 2,714 IOp 94,487 70,347 5,875 4,308 10,753 264 155 627 2,158 85,839 41,780 32,599 8,408 131 2,740 17p 91,153 68,082 6,058 4,104 9,838 256 157 629 2,029 86,027 41,795 32,775 8,365 130 2,778 24p For notes see p. A-30. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 30 WEEKLY REPORTING BANKS □ JULY 1970 ASSETS AND LIABILITIES OF LARGE COMMERCIAL BANKS—Continued (In millions of dollars) Borrowings Reserves Memoranda from— for— Large negotiable Fed­ Total time CD’s Gross eral Other Total loans included in time liabili­ Wednesday funds liabili­ capital Total and De­ and savings deposits11 ties of pur­ F.R. ties Secur­ ac­ loans invest­ mand banks chased, Banks Others etc.8 Loans ities counts (gross) ments deposits to etc. 7 ad­ (gross) ad­ Issued Issued their justed 9 ad­ justed 1 o Total to to foreign justed^ IPC’s others bran­ ches Large Banks—Total 19693 June 4. 700 16,331 23,673 3,527 22,637 167,257 228,490 77,028 16,606 10,143 6,463 10,808 11. 300 15,044 24,826 3,526 22,622 168,008 229,132 78,850 16,256 9,933 6,323 11,852 18. 565 14,974 25,026 3,525 22,564 170,965 232,150 76,147 15,613 9,417 6,196 13,057 25. 12,799 1,049 2,463 27,017 3,529 126 22,629 169,928 230,143 78,388 15,252 9,211 6,041 13,269 1970 May 6. 20,414 340 2,539 25,187 4.036 23,819 169,193 229,924 77,951 12,989 5,944 7,045 12,468 13. 20,503 709 2,396 25,115 4.036 23,796 168,078 228,447 78,140 12,980 5,980 7,000 12,108 20. 17,635 283 2,390 25,586 4.036 23,751 167,741 228,229 76,546 13,087 5,972 7,115 12,528 27., 17,530 675 2,253 25,562 4.036 23.814 167,653 228,086 78,278 13,003 5,989 7,014 13,036 June 3p. 18,348 1,063 2,113 25,234 4.039 23,918 167,724 228,296 77,923 12,982 5.990 6,992 12,572 10p. 19,350 624 2,123 25,468 4.039 23,913 167,297 227,627 79,683 12,974 5,998 6,976 12,435 17*».. 18,702 273 2,046 25,756 4.040 23,810 169,801 230.395 79,522 12,758 5.990 6,768 12,575 24p. 17,758 613 1 ,971 25,872 4,030 23.815 169,703 229.396 78,248 13,019 6,174 6,845 12,694 New York City 19693 June 4. 5,073 13,371 1 ,050 6,015 41,438 52,520 15,572 3,373 1,950 1,423 7,570 11. 4,510 14,180 1 ,050 6,013 41,500 52,536 15,379 3,247 1,819 1,428 8,351 18. 4,128 15,039 1,049 5,981 42,797 54,182 14,706 2,956 1,574 1,382 9,203 25. 3,729 112 526 15,417 1 ,048 5,968 41,722 52,437 15,747 2,800 1,481 1,319 9,361 1970 May 6. 5,850 50 308 13,226 1 ,208 6,103 41,415 52,714 15,642 2,966 878 2,088 8,240 13. 5,563 308 12,978 1,208 6,096 40,658 51,781 15,800 2,863 866 1,997 7,931 20. 4,972 337 13,119 1 ,210 6,080 40,673 51,926 15,298 2,901 840 2,061 8,058 27.. 4,947 14 322 13,596 1,211 6,070 40,653 52,008 16,073 2,842 858 1,984 8,626 June 3p., 4,824 419 288 13,320 1 ,211 6,111 40,551 51,908 16,180 2,753 847 1,906 8,382 IOp. 5,119 151 275 13,305 1,212 6,112 40,087 51,426 16,762 2,720 830 1,890 8,244 17 p., 5,233 14 250 13,464 1 ,212 6,063 40,968 52,553 17,140 2,575 816 1,759 8,473 24p. . 4,479 80 234 13,871 1 ,207 6,040 41,182 52,238 16,016 2,719 903 1,816 8,482 Outside New York City 19693 June 4. 700 11,258 10,302 2,477 16,622 125,819 175,970 61,456 12,233 8,193 5,040 3,238 11. 300 10,534 10,646 2.476 16,609 126,508 176,596 63,471 13,009 8,114 4,895 3,501 18. 565 10,846 9,987 2.476 16,583 128,168 177,968 61,441 12,657 7,843 4,814 3,854 25. 9,070 937 1,937 11,600 2,481 16,661 128,206 177,706 62,641 12,452 7,730 4,722 3,908 1970 May 6. 14,564 290 2,231 11,961 2,828 17,716 127,778 177,210 62,309 10,023 5,066 4,957 4,246 13. 14,940 709 2,088 12,137 2,828 17,700 127,420 176,666 62,340 10,117 5,114 5,003 4,177 20. 12,663 283 2,053 12,467 2,826 17,671 127,068 176,303 61,248 10,186 5,132 5,054 4,470 27. 12,583 661 1,931 11,966 2,825 17,744 127,000 176,078 62,205 10,161 5,131 5,030 4,410 June 3p. 13,524 644 1,825 11,914 2,828 17,807 127,173 176,388 61,743 10,229 5,143 5.086 4.190 10 p. 14,231 473 1,848 12,163 2.827 17,801 127,210 176,201 62,921 10,254 5,168 5.086 4.191 17p. 13,469 259 1,796 12,292 2.828 17,747 128,833 177,842 62,382 10,183 5,174 5,009 4,102 24p. 13,279 533 1,737 12,001 2,823 17,775 128,521 177,158 62,232 10,300 5,271 5,029 4,212 1 Includes securities purchased under agreements to resell. 7 Includes securities sold under agreements to repurchase. 2 Includes official institutions and so forth. 8 Includes minority interest in consolidated subsidiaries. 3 Figures not comparable with 1969 data. For description of revision 9 Exclusive of loans and Federal funds transactions with domestic com­ in series beginning July 2 (with overlap for June 25), see Bulletin for Aug. mercial banks. 1969, pp. 642-46. I o All demand deposits except U.S. Govt, and domestic commercial 4 Includes short-term notes and bills. banks, less cash items in process of collection. 5 Federal agencies only. II Certificates of deposit issued in denominations of $100,000 or more. 6 Includes corporate stock. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ BUSINESS LOANS OF BANKS A 31 COMMERCIAL AND INDUSTRIAL LOANS OF LARGE COMMERCIAL BANKS (In millions of dollars) Outstanding Net change during Industry 1970 1970 1970 1969 1969 1970 June June June June Mayr 2nd 1st 24 17 10 3 27 June May r Apr. II I IV half half Durable goods manufacturing: Primary metals................................. 2,166 2,165 2,115 2,037 2,038 128 -26 50 152 -71 76 81 129 Machinery........................................ 6,203 6,363 5,966 5,894 5,993 210 -135 18 93 184 329 277 609 Transportation equipment.............. 2,745 2,739 2,614 2,610 2,659 86 -104 -24 -42 155 400 113 539 Other fabricated metal products... 2,252 2,306 2,205 2,167 2,156 96 -37 45 104 145 -115 249 -174 Other durable goods....................... 2,752 2,747 2,679 2,656 2,632 120 -4 97 213 24 -13 237 79 Nondurable goods manufacturing: Food, liquor, and tobacco.............. 2,754 2,768 2,704 2,697 2,694 60 -131 -17 -88 -411 666 -499 709 Textiles, apparel, and leather.......... 2,713 2,720 2,668 2,620 2,621 92 66 46 204 172 -471 376 -373 Petroleum refining........................... 1,639 1,614 1,590 1,591 1,546 93 -42 -13 38 -117 -107 -79 -350 Chemicals and rubber..................... 2,717 2,780 2,740 2,685 2,708 9 -168 21 -138 10 197 -128 103 Other nondurable goods................. 2,111 2,119 2,020 2,005 1,997 114 -28 -68 18 9 36 26 199 Mining, including crude petroleum and natural gas........................... 4,260 4,280 4,244 4,240 4,193 67 -91 -114 -138 -439 -15 -577 -69 Trade: Commodity dealers................. 898 957 927 924 963 -65 -19 -53 -137 -155 366 -292 234 Other wholesale....................... 3,645 3,603 3,558 3,561 3,550 95 -33 76 138 -62 48 76 11 Retail........................................ 4,347 4,335 4,130 4,133 4,141 206 -69 132 269 -102 129 167 -126 Transportation..................................... 5,640 5,583 5,595 5,557 5,555 85 100 -125 60 -156 246 -96 257 Communication................................... 1,289 1,297 1,274 1,277 1,293 -4 -82 23 -63 -187 247 -250 341 Other public utilities........................... 2,734 2,737 2,612 2,641 2,532 202 -52 -190 -40 -791 252 -831 747 Construction........................................ 3,220 3,206 3,160 3,139 3,135 85 24 48 157 -79 -144 78 -70 Services................................................. 6,864 6,846 6,787 6,839 6,724 140 -71 -120 -51 -105 408 -156 263 All other domestic loans..................... 4,830 4,814 4,834 4,838 4,808 22 20 -23 19 -116 365 -97 507 Bankers* acceptances........................... 505 518 541 546 545 -40 -105 98 -47 -156 294 -203 183 Foreign commercial and industrial loans.............................................. 2,154 2,161 2,178 2,239 2,238 -84 49 -5 -40 -44 -24 -84 -192 Total classified loans........................... 68,438 68,658 67,141 66,896 66,721 1,717 -938 -98 681 2,292 3,370 -1,611 3,456 Total commercial and industrial loans. 79,551 79,836 78,192 78,010 77,835 1,701 -1,073 169 797 -2,738 3,438 -1,938 3,077 SeerNoTE to table below. “TERM” COMMERCIAL AND INDUSTRIAL LOANS OF LARGE COMMERCIAL BANKS (In millions of dollars) Outstanding Net change during— 1970 1969 1970 1969 1970 Industry June May Apr. Feb. Jan. Dec. Nov. Oct. Sept. 1st 24 27 29 25 28 31 26 29 24 IV III half Durable goods manufactur­ ing: Primary metals................. 1,520 1,447 1,463 1,420 1,428 1,476 1,402 1,407 1,419 68 -24 57 67 44 Machinery........................ 2,784 2,763 2,761 2,748 2,686 2,749 2,566 2,507 2,556 -16 51 193 82 35 Transportation equipment 1,564 1,549 1,560 1,544 1,554 1,501 1,389 1,305 1,245 -11 74 256 148 63 Other fabricated metal products....................... 762 755 780 754 757 761 796 770 769 3 -2 -8 -29 1 Other durable goods........ 1,132 1,162 1,183 1,141 1,145 1,169 1,097 1,087 1,110 -30 -7 59 42 -37 Nondurable goods manufac­ turing : Food, liquor, and tobacco 1,007 939 951 952 942 953 908 873 47 73 24 54 Textiles, apparel, and leather........................... 762 756 709 721 708 713 707 686 696 36 13 24 46 49 Petroleum refining........... 1,266 1,217 1,254 1,234 1,310 1,356 1,310 1,282 1,477 11 -101 -121 -190 -90 Chemicals and rubber. 1,709 1,694 1,831 1,896 1,832 1,829 1,674 1,701 1,718 -96 -24 112 21 -120 Other nondurable goods. 1,071 1,071 1,099 1,120 1,133 1,151 1,123 1,071 1,066 -75 -5 85 15 -80 Mining, including crude pe­ troleum and natural gas 3,582 3,520 3,590 3,757 3,916 4,090 4,044 4,079 4,119 -127 -381 -29 -84 -508 Trade: Commodity dealers. 88 87 77 81 90 79 81 81 80 10 -1 -1 -34 9 Other wholesale.... 695 717 684 693 686 706 668 691 672 -1 -10 40 -4 -11 Retail....................... 1,308 1,285 1,242 1,236 1,232 1,229 1,215 1,182 1,162 102 -23 71 4 79 Transportation..................... 4,276 4,262 4,199 4,291 4,343 4,414 4,146 4,115 4,107 -55 -83 307 26 -138 Communication................... 408 416 445 472 480 498 462 486 446 -68 -22 52 6 -90 Other public utilities........... 1,033 984 1,020 1,244 1,318 1,337 1,219 1,244 1,296 -128 -176 42 146 -304 Construction........................ 911 888 899 899 893 904 903 899 899 8 -1 13 -2 7 Services................................. 3,017 3,031 2,962 2,971 2,936 2,991 2,945 2,854 2,865 22 4 131 -10 26 All other domestic loans... 1,226 1,186 1,183 1,195 1,214 1,241 1,204 1,206 1,184 20 -35 110 108 -15 Foreign commercial and in­ dustrial loans................ 1,620 1,664 1,614 1,627 1,645 1,642 1,690 1,692 1,701 -27 -75 -135 -22 31,741 Total loans........................... 31,393 31,506 31,996 32,248 32,789 31,549 31,218 31,475 -307 -741 1,391 247 • 1,048 Note.—About 160 weekly reporting banks are included in this series; Commercial and industrial “term" loans are all outstanding loans with these banks classify, by industry, commercial and industrial loans amount­ an original maturity of more than 1 year and all outstanding loans granted ing to about 90 per cent of such loans held by all weekly reporting banks under a formal agreement—revolving credit or standby—on which the and about 70 per cent of those held by all commercial banks. original maturity of the commitment was in excess of 1 year. For description of series see article “Revised Series on Commercial and Industrial Loans by Industry,” Feb. 1967 Bulletin, p. 209. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 32 LOAN SALES BY BANKS a JULY 1970 LOANS SOLD OUTRIGHT BY COMMERCIAL BANKS (Amounts outstanding; in millions of dollars) To own subsidiaries, foreign branches, holding companies, and other affiliates To all others except banks Date By type of loan By type of loan Total Total Commercial Commercial and All other and All other industrial industrial 1970—Mar. 4.......... 6,484 4,849 1 ,635 1,768 753 1,015 11.......... 6,450 4,904 1,546 1,779 760 1,019 18.......... 6,479 4,915 1 ,564 1 ,746 753 993 25.......... 6,682 5,148 1,534 1,751 745 1,006 Apr. 1.......... 6,646 5,089 1,557 1,744 720 1,024 8.......... 6,710 5,162 1 ,548 1,813 763 1,050 15.......... 6,609 5,052 1,557 1,796 755 1,041 22.......... 6,706 5,156 1 ,550 1,825 766 1,059 29.......... 6,948 5,379 1 ,569 1,832 762 1,070 May 6.......... 7,109 r 5 ,579r 1,530 1,798 740r 1,058 13.......... 7,411r 5 ,859r 1 ,552 1,794 734 1,060 20.......... 7,736r 6,128r 1 ,608 1,812 727 1,085 27.......... 7,837 r 6,221r 1 ,616 1,816 723 1,093 June 3.......... 7,830 6,188 1 ,642 1,813 703 1,110 10.......... 7,829 6,180 1 ,649 1,813 716 1,097 17.......... 7,655 6,084 1 ,571 1,877 684 1,193 24.......... 7,858 6,313 1,545 1,830 674 1,156 Note.—Amounts sold under repurchase agreement are excluded. Figures include small amounts sold by banks other than large weekly reporting banks. RATES ON SHORT-TERM BUSINESS LOANS OF BANKS Size of loan (in thousands of dollars) All sizes 1--9 10-99 100-499 500-999 1,000 and over Interest rate (per cent per annum) May Feb. May Feb. May Feb. May Feb. May Feb. May Feb. 1970 1970 1970 1970 1970 1970 1970 1970 1970 1970 1970 1970 Percentage distribution of dollar amount Less than 8.00............................. 1.3 1.8 9.7 11.3 3.3 4.6 2.1 2.8 1.4 1.7 0.8 0.8 8.00.............................................. 44.2 0.8 7.6 6.3 8.5 2.7 19.2 1.7 36.8 0.4 58.7 0.3 8 01-8.49...................................... 19 9 0.2 7.2 1.7 8.3 0.8 18.1 0.4 22.2 21.8 0.1 8.50.............................................. 8.2 47.2 5.6 3.6 10.6 8.4 12.2 21.8 10.9 37.4 6.2 63.8 8.51-8.99...................................... 7.0 21.1 8.6 8.4 14.7 12.9 13.1 22.6 9.1 26.2 3.6 20.9 9.00.............................................. 5.8 7.9 11.5 10.8 12.5 14.2 10.0 13.1 6.0 10.9 3.5 4.6 9.01-9.49...................................... 3.5 7.0 12.6 12.0 12.4 15.9 7.4 12.9 3.7 6.5 0.9 3.9 9.50.............................................. 3.5 5.4 11.1 14.1 9.2 13.0 6.8 8.5 3.1 6.2 1.7 3.0 9.51-9.99...................................... 1.8 3.2 10.0 13.9 6.9 9.9 3.2 6.2 1.8 4.2 0.5 0.9 Over 10.0..................................... 4.8 5.4 16.2 17.9 13.6 17.5 7.9 10.2 5.1 6.4 2.3 1.8 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: Dollar (millions)..................... 5,278.2 4,502.3 48.9 44.1 453.7 399.0 908.8 810.7 699.9 598.9 3,166.9 2,649.6 Number (thousands)............... 34.1 30.2 12.4 11.2 14.5 12.7 4.7 4.2 1.1 1.0 1.4 1.1 Center Weighted average rates (per cent per annum) 35 centers.................................... 8.49 8.86 9.05 9.17 9.04 9.26 8.73 9.04 8.43 8.87 8.25 8.67 New York City........................ 8.24 8.65 9.05 9.31 8.91 9.12 8.53 8.89 8.31 8.72 8.13 8.57 7 Other Northeast................... 8.86 9.23 9.23 9.28 9.34 9.60 9.01 9.36 8.72 9.18 8.45 8.91 8 North Central....................... 8.44 8.86 8.80 8.96 8.93 9.24 8.78 9.11 8.44 8.88 8.24 8.71 7 Southeast.............................. 8.44 8.67 8.70 8.82 8.77 8.80 8.49 8.65 8.31 8.54 8.15 8.63 8 Southwest............................. 8.61 8.87 9.10 9.25 8.90 9.11 8.61 8.94 8.32 8.86 8.58 8.67 4 West Coast........................... 8.42 8.84 9.49 9.61 9.13 9.32 8.72 8.96 8.50 8.98 8.13 8.66 Note.—Beginning Feb. 1967 the Quarterly Survey of Interest Rates on Business Loans was revised. For description of revised series see pp. 721- 27 of the May 1967 Bulletin. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ INTEREST RATES A 33 PRIME RATE CHARGED BY BANKS (Per cent per annum) In effect during- Rate Effective date Rate Effective date Effective date Rate 192 9 5 Vi-6 1947—Dec. i. 1V4 1956—Apr. 13. 3V4 1966—Mar. 10 5 Vi Aug. 21. 4 June 29 5*4 193 0 3^-6 1948—Aug. 1 2 Aug. 16.... 6 1 1 1 9 9 9 3 3 3 1 3 2 2 3 1 1 % 1 4 4 - - - 5 4 4 1950—Sept. 22 21/4 1957—Aug. 6. 41/2 1967—J M an a . r. 2 2 7 6 -27. 5 5% Vi-5^ 193 1 4 94 — 7 (Nov.)____ 1951— O D Ja c e n t c . . . 1 1 8 7 9 . . . . 2 2 3 V y4 z 1958— A S Ja e p n p r . t . . 2 2 1 2 1 1 . . . 4 4 3% 1968— S N A e o p p v r t . . . 2 2 1 5 0 9 6 6 6 Vi -6V4 Nov. 13 6V4 1953—Apr. 27. . 31/4 1959— S M e a p y t. 18 1 . . 4 5 1/2 D D e e c c . . 1 2 8 . . 6 6 V V4 i 1954—Mar. 17. . 3 1969—Jan. 7. 7 1960—Aug. 23. 4% Mar. 17. 7% 1955—Aug. 4. . 3V4 June 9. 8% Oct. 14. . 3% 1965—Dec. 6. 5 1970—Mar. 25. 8 1 Date of change not available. MONEY MARKET RATES (Per cent per annum) U.S. Government securities (taxable)4 Finance Prime CO. Prime coml. paper bankers’ Federal 3-month bills5 6-month bills5 9- to 12-month issues Period paper placed accept­ funds 3- to 5- 4- to 6- directly, ances, rate3 year months 1 m 3- o t n o t h 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 k B e il t l s y i ( e m ld a ) r 5 ­ Other6 issues7 1962............................ 3.26 3.07 3.01 2.68 2.778 2.77 2.908 2.90 3.01 3.02 3.57 1963............................ 3.55 3.40 3.36 3.18 3.157 3.16 3.253 3.25 3.30 3.28 3.72 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 1967............................ 5.10 4.89 4.75 4.22 4.321 4.30 4.630 4.61 4.71 4.84 5.07 1968............................ 5.90 5.69 5.75 5.66 5.339 5.33 5.470 5.48 5.45 5.62 5.59 1969............................ 7.83 7.16 7.61 8.22 6.677 6.64 6.853 6.84 6.77 7.06 6.85 1969—June................ 8.23 7.25 7.99 8.90 6.493 6.43 6.725 6.75 6.86 7.07 6.64 July................. 8.65 7.89 8.39 8.61 7.004 6.98 7.285 7.23 7.14 7.59 7.02 Aug................. 8.33 7.71 8.04 9.19 7.007 6.97 7.194 7.19 7.27 7.51 7.08 Sept................. 8.48 7.61 8.14 9.15 7.129 7.08 7.316 7.31 7.35 7.76 7.58 Oct................... 8.56 7.86 8.17 9.00 7.040 6.99 7.297 7.29 7.22 7.63 7.47 Nov................. 8.46 7.92 8.18 8.85 7.193 7.24 7.565 7.62 7.38 7.94 7.57 Dec.................. 8.84 7.93 8.58 8.97 7.720 7.81 7.788 7.89 7.64 8.34 7.98 1970—Jan................... 8.78 8.14 8.64 8.98 7.914 7.87 7.863 7.78 7.50 8.22 8.14 Feb.................. 8.55 8.01 8.30 8.98 7.164 7.13 7.249 7.23 7.07 7.60 7.80 Mar................. 8.33 7.68 7.60 7.76 6.710 6.63 6.598 6.59 6.52 6.88 7.20 Apr.................. 8.06 7.26 7.54 8.10 6.480 6.50 6.568 6.61 6.54 6.96 7.49 May................ 8.23 7.43 8.02 7.94 7.035 6.83 7.262 7.02 7.12 7.69 7.97 June................ 8.20 7.55 7.78 7.60 6.742 6.67 6.907 6.86 7.07 7.50 7.86 Week ending— 1970—Apr. 4.......... 8.08 7.25 7.23 7.93 6.330 6.35 6.391 6.42 6.36 6.77 7.22 11 8.08 7.25 7.43 7.68 6.409 6.39 6.454 6.41 6.27 6.73 7.29 18......... 8.00 7.25 7.38 8.02 6.310 6.37 6.247 6.37 6.29 6.78 7.43 25......... 8.00 7.25 7.63 8.21 6.476 6.58 6.494 6.75 6.70 7.07 7.62 May 2.......... 8.13 7.29 8.00 8.43 6.876 6.83 7.253 7.17 7.19 7.56 7.87 9.......... 8.35 7.36 8.13 8.46 7.184 6.80 7.493 6.93 7.06 7.65 7.96 16......... 8.30 7.38 8.08 7.96 6.994 6.78 7.202 7.00 7.13 7.63 7.98 23......... 8.18 7.45 7.93 7.84 6.828 6.72 6.996 6.95 7.08 7.70 7.97 30.. ,, 8.13 7.56 7.98 7.64 7.133 7.00 7.355 7.15 7.19 7.77 7.98 June 6.......... 8.13 7.56 7.78 7.84 6.824 6.82 6.858 6.88 7.01 7.52 7.76 13 8.15 7.56 7.75 7.98 6.785 6.76 6.895 6.92 7.10 7.53 7.86 20.......... 8.25 7.56 7.85 7.80 6.733 6.71 6.947 6.96 7.17 7.55 7.95 27.......... 8.25 7.51 7.78 7.21 6.626 6.50 6.929 6.80 7.06 7.44 7.88 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. 5 Bills quoted on bank discount rate basis, maturities in the 90-179 day range. 6 Certificates and selected note and bond issues. 3 Seven-day average for week ending Wednesday. 7 Selected note and bond issues. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 34 INTEREST RATES □ JULY 1970 BOND AND STOCK YIELDS (Per cent per annum) Government bonds Corporate bonds Stocks State By selected By Dividend/ Gamings/ Period United and local rating group price ratio price ratio ( S l t o a n te g s ­ Total1 term) Total i Aaa Baa Aaa Baa In tr d ia u l s­ R ro a a il d ­ 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 ­ 1962............................................... 3.95 3.30 3.03 3.67 4.62 4.33 5.02 4.47 4.86 4.51 4.50 3.37 6.06 1963............................................... 4.00 3.28 3.06 3.58 4.50 4.26 4.86 4.42 4.65 4.41 4.30 3.17 5.68 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 1967.............................................. 4.85 3.99 3.74 4.30 5.82 5.51 6.23 5.74 5.89 5.81 5.34 3.20 5.71 1968.............................................. 5.25 4.48 4.20 4.88 6.51 6.18 6.94 6.41 6.77 6.49 5.78 3.07 5.84 1969............................................... 6.10 5.73 5.45 6.07 7.36 7.03 7.81 7.22 7.46 7.49 6.41 3.24 6.05 1969—June................................... 6.06 5.78 5.58 6.01 7.27 6.98 7.70 7.16 7.37 7.38 6.33 3.18 6.03 July.................................... 6.07 5.80 5.61 6.08 7.39 7.08 7.84 7.29 7.50 7.49 6.42 3.34 Aug.................................... 6.02 5.98 5.74 6.28 7.37 6.97 7.86 7.29 7.57 7.40 6.44 3.37 Sept.................................... 6.32 6.21 5.83 6.58 7.53 7.14 8.05 7.42 7.68 7.62 6.61 3.33 6.49 Oct..................................... 6.27 6.12 5.80 6.45 7.72 7.33 8.22 7.59 7.76 7.91 6.79 3.33 Nov.................................... 6.51 6.25 5.88 6.60 7.76 7.35 8.25 7.61 7.83 7.94 6.84 3.31 Dec..................................... 6.81 6.84 6.50 7.23 8.13 7.72 8.65 7.95 8.16 8.39 7.19 3.52 '6.03’ 1970—Jan...................................... 6.86 6.74 6.38 7.13 8.32 7.91 8.86 8.15 8.38 8.54 7.01 3.56 Feb..................................... 6.44 6.47 6.19 6.80 8.29 7.93 8.78 8.11 8.39 8.47 7.04 3.68 Mar.................................... 6.39 6.08 5.81 6.40 8.18 7.84 8.63 7.98 8.33 8.34 6.97 3.60 5.78 Apr..................................... 6.53 6.50 6.24 6.87 8.20 7.83 8.70 8.00 8.34 8.37 6.98 3.70 May................................... 6.94 7.00 6.70 7.33 8.46 8.11 8.98 8.19 8.59 8.72 7.26 4.20 June................................... 6.99 7.12 6.81 7.41 8.77 8.48 9.25 8.55 8.76 9.06 7.57 4.17 Week ending— 1970—Apr. 4............................. 6.32 6.14 5.90 6.44 8.18 7.85 8.65 7.98 8.31 8.37 6.95 3.56 11............................. 6.38 6.36 6.10 6.75 8.17 7.80 8.63 7.97 8.29 8.35 7.01 3.61 18............................. 6.46 6.49 6.25 6.85 8.18 7.82 8.67 7.99 8.33 8.36 6.90 3.69 25............................. 6.70 6.72 6.47 7.10 8.21 7.83 8.74 8.01 8.38 8.37 6.98 3.76 May 2............................. 6.79 6.80 6.50 7.20 8.27 7.92 8.82 8.08 8.41 8.45 7.08 3.87 9............................. 6.85 6.87 6.55 7.25 8.36 7.99 8.90 8.09 8.53 8.60 7.16 3.98 16............................. 6.83 6.99 6.70 7.35 8.44 8.09 8.95 8.16 8.61 8.68 7.22 4.14 23............................. 6.88 7.03 6.74 7.35 8.49 8.16 9.02 8.22 8.59 8.78 7.30 4.31 30............................. 7.21 7.10 6.80 7.40 8.56 8.21 9.10 8.31 8.64 8.85 7.35 4.35 June 6............................. 7.00 7.04 6.75 7.35 8.62 8.30 9.13 8.41 8.63 8.90 7.42 4.03 13............................. 7.09 7.15 6.85 7.45 8.70 8.42 9.18 8.52 8.68 8.97 7.52 4.19 20............................. 7.05 7.25 6.95 7.55 8.80 8.55 9.26 8.56 8.74 9.14 7.66 4.16 27............................. 6.89 7.04 6.70 7.30 8.89 8.60 9.36 8.66 8.88 9.20 7.69 4.28 Number of issues2....................... 8 20 5 5 108 18 30 38 30 40 14 500 500 1 Includes bonds rated Aa and A, data for which are not shown sep­ Averages of daily figures for bonds maturing or callable in 10 years or arately. Because of a limited number of suitable issues, the number more. State and local govt, bonds: General obligations only, based on of corporate bonds in some groups has varied somewhat. As of Dec. Thurs. figures. Corporate bonds: Averages of daily figures. Both of these 23, 1967, Aaa-rated railroad bonds are no longer a component of the series are from Moody’s Investors Service series. railroad average or the Aaa composite series. Stocks: Standard and Poor’s corporate series. Dividend/price ratios are 2 Number of issues varies over time; figures shown reflect most recent based on Wed. figures; earnings/price ratios are as of end of period. count. Preferred stock ratio is based on eight median yields for a sample of noncallable issues—12 industrial and two public utility; common stock ratios Note.—Annual yields are averages of monthly or quarterly data. on the 500 stocks in the price index. Quarterly earnings are seasonally Monthly and weekly yields are computed as follows: U.S. Govt, bonds: adjusted at annual rates. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ SECURITY MARKETS A 35 SECURITY PRICES Common stock prices Volume of Bond prices New York Stock Exchange trading in (per cent of par) stocks in Amer­ thousands of Period Standard and Poor’s index New York Stock Exchange index ican shares (1941-43= 10) (Dec. 31, 1965 = 50) Stock Ex­ change ( G t l U e o o r . n m v S g t . ) . ­ S l a o t n c a d a te l p A C o A r o a r A t ­ e Total 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 Total In tr d ia u l s­ T p t o r i a o r n t n a s ­ ­ Utility na F n i c ­ e i t n o d t e a x l i NYSE AMEX 1967......................... 76.55 100.5 81.8 91.93 99.18 46.72 68.10 50.77 51.97 53.51 45.43 49.82 19.67 10,143 4,508 1968......................... 72.33 93.5 76.4 98.70 107.49 48.84 66.42 55.37 58.00 50.58 44.19 65.85 27.72 12,971 6,353 1969......................... 64.49 79.0 68.5 97.84 106.30 45.95 62.64 54.67 57.45 46.96 42.80 70.49 28.73 11,403 5,001 1969—June.............. 64.84 78.6 68.9 99.14 108.59 46.43 63.29 55.20 58.07 47.70 43.39 68.62 29.14 11,203 5,029 July............... 64.75 78.5 68.2 94.71 103.68 43.00 61.32 52.40 55.00 42.80 42.31 64.56 25.78 10,872 4,215 Aug............... 65.18 76.1 68.4 94.18 103.39 42.04 59.20 52.09 54.85 41.45 41.34 65.29 26.44 9,608 3,531 Sept............... 62.64 73.6 67.2 94.51 103.97 42.03 57.84 52.37 55.29 42.72 40.20 68.16 26.57 10,439 3,718 Oct................ 63.05 74.9 66.5 95.52 105.07 41.75 58.80 53.27 56.22 43.12 40.55 71.71 27.48 13,486 5,611 Nov............... 61.08 73.4 65.7 96.21 105.86 40.63 59.46 53.85 56.84 42.59 41.36 71.62 27.97 11,247 4,396 Dec............... 58.71 68.7 62.9 91.11 100.48 36.69 55.28 50.86 53.93 37.77 38.69 66.95 26.32 12,384 4,928 1970—Jan................ 58.33 69.7 62.2 90.31 99.41 37.62 55.72 50.61 53.58 37.51 38.76 66.19 26.48 10,532 4,062 Feb............... 61.63 71.7 62.4 87.16 95.73 36.58 55.24 48.76 51.29 36.06 38.55 65.01 25.61 11,500 3,830 Mar............... 62.04 75.6 62.8 88.65 96.95 37.33 59.04 49.46 51.33 36.85 40.77 67.37 25.15 10,141 3,122 Apr............... 60.89 62.8 71.9 85.95 94.01 35.59 55.76 47.51 49.47 34.99 39.49 64.07 23.56 10,146 3,150 May.............. 57.78 67.8 61.2 76.06 83.16 31.10 51.15 41.65 43.33 29.85 35.48 54.58 20.92 12,299 3,908 June.............. 57.37 67.5 59.5 75.59 82.96 28.94 49.22 41.28 43.40 28.51 33.74 54.21 20.81 10,294 3,189 Week ending— 1970—June 6........ 57.29 67.7 60.4 77.55 84.98 30.97 50.94 42.42 44.52 30.18 34.88 55.58 21.19 14,392 5,473 13 56.65 67.1 59.6 75.34 82.60 29.79 49.32 41.19 43.24 29.07 33.78 54.18 20.91 7,798 2,054 20........ 56.91 67.1 59.1 76.02 83.52 29.16 48.78 41.52 43.72 28.73 33.64 54.55 20.91 9,594 2,598 27 58.08 68.0 58.7 74.57 81.93 27.31 48.38 40.65 42.81 27.25 33.08 53.40 20.51 9,894 3,002 1 Begins June 30, 1965, at 10.90. On that day the average price of a share yields as computed by Standard and Poor’s Corp., on basis of a 4 per cent, of stock listed on the American Stock Exchange was $10.90. 20-year bond; Wed. closing prices. Common stocks, derived from com­ ponent common stock prices. Average daily volume of trading, normally Note.—Annual data are averages of monthly figures. Monthly and conducted 5 days per week for 5 Vi hours per day, or 27Vi hours per week. weekly data are averages of daily figures unless otherwise noted and are In recent years shorter days and/or weeks have cut total weekly trading computed as follows: U.S. Govt, bonds, derived from average market to the following number of hours: 1967—Aug. 8-20, 20; 1968—Jan. 22yields in table at bottom of preceding page on basis of an assumed 3 per Mar. 1, 20; June 30-Dec. 31, 22; 1969—Jan. 3-July 3, 20; July 7-Dec. 31cent, 20-year bond. Municipal and corporate bonds, derived from average 22.5; 1970—Jan. 2-May 1, 25. TERMS ON CONVENTIONAL FIRST MORTGAGES New homes Existing homes Period C c t ( r r e p a o a n e t n c e t r ) t ­ c F c h e ( e a p e n r e s g t r ) e & 1 s M (y a e t a u r r s i ) ty L c p r ( a e o p r t n i a e c i t n o r e ) / (t d h c o p o P h l r u u l i a a s c r s r . e ­ e s o ) f (t a d h m L o o l o u o la 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 e s g t r ) e & 1 s M (y a e tu ar r s i ) ty L c r p ( a o e p r t n i a e i c t n o r e ) / (t d h c o p o P h l r u u l a i a s c r s . r e ­ e s o ) f (t d a h L m o o l u o l o a s a u . r n n s o ) t f 1964....................... 5.78 .57 24.8 74.1 23.7 17.3 5.92 .55 20.0 71.3 18.9 13.4 1965....................... 5.74 .49 25.0 73.9 25.1 18.3 5.87 .55 21.8 72.7 21.6 15.6 1966....................... 6.14 .71 24.7 73.0 26.6 19.2 6.30 .72 21.7 72.0 22.2 15.9 1967....................... 6.33 .81 25.2 73.6 28.0 20.4 6.40 .76 22.5 72.7 24.1 17.4 1968....................... 6.83 .89 25.5 73.9 30.7 22.4 6.90 .83 22.7 73.0 25.6 18.5 1969....................... 7.66 .91 25.5 72.8 34.1 24.5 7.68 .88 22.7 71.5 28.3 19.9 1969—May............ 7.50 .88 25.8 73.2 34.7 25.0 7.54 .83 22.7 71.9 27.8 19.7 June............ 7.62 .84 25.6 73.0 34.8 24.9 7.64 .86 22.8 71.4 28.5 20.1 July............ 7.76 .92 25.5 72.0 34.6 24.5 7.79 .91 22.8 71.7 28.5 20.1 Aug............. 7.86 .86 25.2 72.3 34.0 24.3 7.90 .93 22.6 71.2 28.4 19.8 Sept............ 7.89 .92 25.3 72.4 34.3 24.7 7.92 .92 22.2 70.7 27.5 19.2 Oct.............. 7.98 .89 25.3 72.9 34.6 25.0 7.98 .91 22.2 70.2 28.1 19.5 Nov............ 7.97 .96 25.3 72.8 34.4 24.6 8.00 .90 22.6 70.4 28.8 20.1 Dec............. 8.07 1.06 25.4 71.9 35.3 25.0 8.08 .93 22.9 70.6 30.0 20.8 1970—Jan.............. 8.16 1.08 25.0 69.3 36.1 25.1 8.13 .94 22.4 70.3 29.8 20.5 Feb............. 8.23 1.09 25.2 71.8 35.0 24.9 8.23 1.02 22.4 70.2 29.4 20.4 Mar............ 8.29 1.11 25.0 71.1 35.8 25.1 8.26 .98 22.6 70.4 29.7 20.6 Apr.r.......... 8.24 1.02 24.8 71.3 34.9 24.5 8.19 0.90 22.7 70.2 29.6 20.4 May............ 8.27 0.99 25.4 71.8 36.0 25.5 8.20 0.92 23.0 70.4 30.8 21.3 i Fees and charges—related to principal mortgage amount—include based on probability sample survey of characteristics of mortgages loan commissions, fees, discounts, and other charges, which provide originated by major institutional lender groups (including mortgage added income to the lender and are paid by the borrower. They exclude companies) for purchase of single-family homes. Data exclude loans for any closing costs related solely to transfer of property ownership. refinancing, reconditioning, or modernization; construction loans to homebuilders; and permanent loans that are coupled with construction Note.—Compiled by Federal Home Loan Bank Board in cooperation loans to owner-builders. Series beginning 1965, not strictly comparable with Federal Deposit Insurance Corporation. Data are weighted averages with earlier data. See also the table on Home-Mortgage Yields, p. A-53. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 36 STOCK MARKET CREDIT □ JULY 1970 STOCK MARKET CREDIT REGULATORY STATUS OF MARGIN ACCOUNT DEBT AT BROKERS (In millions of dollars) (Per cent of total adjusted debt, except as noted) Credit extended to Cus­ Cus­ Net Adjusted debt/collateral value End of period B m ro a l k rg er in s c B us a t 2 n o k m s ers T b o y t — al to a d b n n m e a c e b l e e t i ­ r s t s’to c a m b f r n n r e a c e e e d l e t e r ­ i s s t ’ b t c e r r n e o b e x d k y d ­ e e i d t rs E pe n r d i o o d f Un 2 d 0 er 20-29 30 ( - p 3 e 9 r ce 4 n 0 t) -49 50-59 6 m 0 o o re r j T ( l u d i a m s o o e d t t n b i e a ­ l s t d ­ l of Unre­ dol­ 1969—May............... 5,670 2,770 8,440 8,474 3,084 5,390 strict­ Restricted lars) June............... 5,340 2,740 8,080 8,214 3,084 5,125 ed July............... 5,170 2,700 7,870 7,515 2,783 4,732 Aug................ 5,000 2,670 7,670 7,019 2,577 4,442 Sept................ 4,940 2,620 7,560 7,039 2,579 4,460 1969—May. 4.8 37.4 18.9 8.5 4.7 25.6 10,770 Oct................. 5,040 2,570 7,610 7,243 2,753 4,490 June. 1.8 33.1 19.9 10.8 6.0 28.4 10,440 Nov................ 5,070 2,520 7,590 7,111 2,613 4,498 July.. 1.0 29.4 19.0 13.8 6.6 30.1 10,100 Dec................ 4,970 2,580 7,550 7,445 2,803 4,642 Aug.. 4.6 29.2 18.5 11.2 6.5 30.0 10,300 Sept.. 2.9 30.2 19.0 11.7 6.6 29.6 9,910 1970—Jan................. 4,680 2,430 7,110 6,683 2,626 4,057 Oct... 5.8 31.9 18.1 10.1 6.2 27.9 9,970 Feb................. 4,570 2,390 6,960 6,562 2,463 4,099 Nov.. 3.2 31.3 18.1 11.0 6.8 29.7 9,910 Mar................ 4,520 2,370 6,890 6,353 2,441 3,912 Dec.. 4.5 27.6 16.2 11.8 7.0 31.0 9,810 Apr.r............. 4,360 2,330 6,690 5,985 2,248 3,724 May*............. 4,150 2,290 6,440 5,433 2,222 3,211 1970—Jan... 1.7 27.6 16.7 11.4 7.9 34.9 9,280 Feb.. 4.2 26.9 16.8 11.4 7.9 32.8 9,037 Mar.. 3.7 27.1 16.3 11.6 7.5 33.8 8,910 1 End of month data. Total amount of credit extended by member firms Apr.r 1.5 21.8 16.7 12.1 9.3 38.6 8,480 of the New York Stock Exchange in margin accounts, estimated from reports by a sample of 38 firms. 2 Figures are for last Wed. of month for large commercial banks re­ Unrestricted Restricted * porting weekly and represent loans made to others than brokers or dealers for the purpose of purchasing or carrying securities. Excludes loans col­ lateralized by obligations of the U.S. Govt. May? 1.0 4.8 31.8 13.8 8.8 39.9 9,110 Note.—Customers’ net debit and free credit balances are end-of-month ledger balances as reported to the New York Stock Exchange by all 1 Debt representing more than 30 per cent but less than 35 per cent of member firms that carry margin accounts. They exclude balances carried collateral value is unrestricted as of May 6, 1970, but is not separable from for other member firms of national securities exchanges as well as balances the remainder of this category. of the reporting firm and of its general partners. Net debit balances are total debt owed by those customers whose combined accounts net to a Note.—Adjusted debt is computed in accordance with requirements set debit. Free credit balances are in accounts of cu stomers with no unfulfilled forth in Regulation T and often differs from the same customer’s net debit commitments to the broker and are subject to withdrawal on demand. Net balance mainly because of the inclusion of special miscellaneous accounts credit extended by brokers is the difference between customers’ net debit in adjusted debt. Collateral in the margin accounts covered by these data and free credit balances since the latter are available for the brokers’ use now consists exclusively of stocks listed on a national securities exchange. until withdrawn. Unrestricted accounts are those in which adjusted debt does not exceed the loan value of collateral; accounts in all classes with higher ratios are restricted. EQUITY STATUS OF MARGIN ACCOUNT DEBT AT BROKERS SPECIAL MISCELLANEOUS ACCOUNT BALANCES (Per cent of total debt, except as noted) AT BROKERS, BY EQUITY STATUS OF ACCOUNTS Total Equity class (per cent) (Per cent of total, except as noted) debt (mil­ Equity class of accounts End of lions in debiit status period d o o f l­ 8 m 0 o o re r 70-79 60-65 50-59 40-49 Un 4 d 0 er End of period c N re e d t it b T al o a t n a c l e lars)! status 60 per cent Less than (millions or more 60 per cent of dollars) 1969—May . 5,670 23.0 26.4 19.0 9.7 5.2 16.8 June. 5,340 17.5 25.7 19.0 11.7 7.2 18.7 1969—May..................... 52.2 42.3 5.5 5,020 July.. 5,170 14.4 24.3 18.3 13.3 8.4 21.1 June..................... 54.7 39.7 5.7 5,110 Aug.. 5,000 17.8 24.4 18.3 12.6 7.8 19.1 July...................... 51.4 42.0 6.6 4.950 Sept.. 4,940 17.0 23.0 18.4 12.5 8.6 20.4 53.0 40.0 6.9 4,880 Oct... 5,040 20.4 22.5 18.8 11.8 8.4 18.0 52.6 40.7 6.7 4,800 Nov.. 5,070 16.9 23.5 17.8 12.2 8.9 20.6 52.8 40.8 6.4 4,780 Dec.. 4,690 16.6 22.3 17.0 12.8 9.5 21.8 54.8 37.8 7.3 4,670 54.8 37.3 7.9 4,760 1970—Jan... 4,680 13.8 21.0 16.1 13.4 10.8 24.9 Feb.. 4,670 15.7 21.1 16.3 13.3 11.1 22.5 1970—Jan....................... 53.0 38.2 8.7 4,620 Mar.r 4,520 15.3 20.3 15.8 13.4 11.2 24.0 Feb...................... 53.0 38.3 8.8 4,420 Apr.r 4,360 11.8 18.1 14.5 13.8 11.6 30.2 54.0 34.7 11.2 4,340 May? 4,150 9.7 15.9 18.2 14.1 13.5 28.6 Apr.r................... 54 0 35.9 10.2 4,140 May?................... 50.3 38.8 10.9 4,850 i See footnote 1 to table above. Note.—Special miscellaneous accounts contain credit balances that Note.—Each customer’s equity in his collateral (market value of col­ may be used by customers as the margin deposit required for additional lateral less net debit balance) is expressed as a percentage of current col­ purchases. Balances may arise as transfers based on loan values of other lateral value. collateral in the customer’s margin account or deposits of cash (usually sales proceeds) occur. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ OPEN MARKET PAPER; SAVINGS INSTITUTIONS A 37 COMMERCIAL AND FINANCE COMPANY PAPER AND BANKERS’ ACCEPTANCES OUTSTANDING (In millions of dollars) Commercial and finance Dollar acceptances company paper Held by— Based on— Placed through Placed End of period dealers1 directly2 Accepting banks F.R. Banks Total Total Others p I o m rt ­ s p E o x rt ­ s All r B el a a n te k d Other r B el a a n te k d Other Total Own Bills Own e F i o g r n ­ U i n n i t t o ed U fr n o it m ed Other bills bought acct. corr. States States 196 4 8,361 2,223 6,138 3,385 1,671 1,301 370 94 122 1,498 667 999 1,719 196 5 9,058 1,903 7,155 3,392 1,223 1,094 129 187 144 1,837 792 974 1,626 196 6 13,279 3,089 10,190 3,603 1,198 983 215 193 191 2,022 997 829 1,778 196 7 16,535 4,901 11,634 4,317 1,906 1,447 459 164 156 2,090 1,086 989 2,241 196 8 20,497 7,201 13,296 4,428 1,544 1,344 200 58 109 2,717 1,423 952 2,053 1969—May 25,305 9,931 15,374 4,668 1.387 1,179 208 76 183 3,022 1,591 910 2,166 June 26,007 602 9,557 643 15,205 4,880 1,413 1,183 231 41 159 c3,267 1,673 967 2,240 July. 28,341 889 9,463 975 17,014 4,991 1.388 1.123 264 40 162 3,402 1,779 1,006 2,206 Aug. 29,515 949 10,360 1,300 16,906 5,145 1,390 1,108 282 62 159 3,535 1,791 1,084 2,271 Sept. 29,663 954 10,917 1,641 16.151 5,232 1,351 1,044 308 37 159 3,685 1,880 1.063 2,289 Oct.. 31,881 1,088 10,998 2,644 17.151 5,256 1,335 1,058 277 41 149 3,730 1,913 1,061 2,282 Nov. 33,551 1,200 11,324 2,933 18,094 5,212 1,341 1,076 266 49 146 3,676 1,850 1.063 2,299 Dec. 31,624 1,216 10,601 2,993 16,814 5,451 1,567 1,318 249 64 146 3,674 1,889 1,153 2,408 1970—Jan.. 34,277 1,266 10,772 4,177 18,062 5,288 1,439 1.123 316 83 147 3,619 1.863 1,096 2,329 Feb. 35,935 1,271 11,604 4,696 18,364 5,249 1,408 1,110 298 56 152 3,632 1.864 1,054 2,331 Mar. 37,079 1,223 12,411 5,210 18,235 5,352 1,398 1,156 242 52 170 3,732 1,891 1,113 2,349 Apr. 37,811 1,088 12,647 5,454 18,692 5,614 1,577 1,314 263 106 194 3,737 2,034 1,137 2,444 May 39,589 1,126 12,826 6,339 19,298 5,801 1,539 1,287 252 42 231 3,989 2,139 1,189 2,472 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 (In millions of dollars) Loans Securities Total Mortgage loans assets— commitments3 End of period M ga o g r e t­ Other G U o .S vt . . S g l a o o t n c a v a d t t e l . o C r a t o a h n r t e d p e r o 1 ­ Cash O as t s h e e ts r g r l e T i e a a t s n o i b n e e e t r i d s a r l v a i l e ­ l D i e t p s o 2 s­ l O ia ti t b e h i s e li r ­ G r c e o e s a u n e c n e r ­ v r ts a e l cla ( s i s n i f m ied o n b t y h s m ) aturity accts. 3 or 3-6 6-9 Over Total less 9 1960............... 26,702 416 6,243 672 5,076 874 589 40,571 36,343 678 3,550 1,200 1961............... 28,902 475 6,160 677 5,040 937 640 42,829 38,277 781 3,771 1,654 1962............... 32,056 602 6,107 527 5,177 956 695 46,121 41,336 828 3,957 2.548 1963............... 36,007 607 5,863 440 5,074 912 799 49,702 44,606 943 4,153 2.549 1964............... 40,328 739 5,791 391 5,099 1,004 886 54,238 48,849 989 4,400 2,820 1965............... 44,433 862 5,485 320 5,170 1,017 944 58,232 52,443 1,124 4,665 2,697 1966............... 47,193 1,078 4,764 251 5,719 953 1,024 60,982 55,006 1,114 4,863 2,010 1967............... 50,311 1,203 4,319 219 8,183 993 1,138 66,365 60,121 1,260 4,984 742 982 799 2,523 1968............... 53,286 1,407 3,834 194 10,180 996 1,256 71,152 64,507 1,372 5,273 811 1,034 1,166 3,011 1969............... 55,781 1,824 3,296 200 10,824 912 1,307 74,144 67,026 1,588 5,530 584 485 452 946 2.467 1969—May... 54,442 1,713 3,821 197 10,800 897 1,288 73,159 65,888 1,843 5,428 818 1,237 1,255 3,310 June... 54,672 1,633 3,618 192 11,029 865 1,306 73,316 66,243 1,664 5,409 843 1,190 1,216 3,249 July... 54,887 1,539 3,634 201 10,982 845 1,303 73,392 66,091 1,863 5,438 787 1,202 1,170 3,158 Aug.... 55,068 1,717 3,613 201 10,983 846 1,297 73,724 66,193 2,038 5,492 728 1,157 1,153 3,039 Sept.. . 55,188 1,732 3,536 190 10,990 833 1,327 73,796 66,519 1,796 5,481 756 1,037 2,890 Oct__ 55,346 1,725 3,359 191 10,885 791 1,339 73,638 66,344 1,785 5,509 721 486 466 1,135 2,808 Nov.. . 55,497 1,867 3,321 196 10,863 820 1,343 73,914 66,505 1,853 5,556 677 463 483 1,082 2,705 Dec__ 55,822 1,839 3,282 193 10,845 919 1,307 74,206 67,086 1,585 5,535 584 485 452 946 2.467 1970—Jan.... 55,860 1,861 3,276 204 10,894 780 1,360 74,235 66,997 1,708 5,531 576 454 516 912 2,457 Feb.... 55,966 2,122 3,303 190 10,938 884 1,353 74,755 67,255 1,918 5,582 549 458 496 882 3,385 Mar... 56,119 2,080 3,274 194 11,212 848 1,436 75,164 67,885 1,913 5,596 648 478 476 807 2,409 Apr__ 56,279 2,048 3,294 188 11,319 853 1,385 75,366 67,861 1,906 5,599 603 500 455 801 2,360 May... 56,423 2,223 3,362 190 11,465 852 1,374 75,889 68,196 2,071 5,621 616 502 388 769 2,275 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 6, p. A-l 8. from those shown elsewhere in the Bulletin; the latter are for call dates 3 Commitments outstanding of banks in New York State as reported to and are based on reports filed with U.S. Govt, and State bank supervisory the Savings Banks Assn. of the State of New York. Data include building agencies. Loans are shown net of valuation reserves. Figures for Jan. and loans beginning with Aug. 1967. June 1968 ^include one savings and loan that converted to a mutual sav­ ings bank. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 38 SAVINGS INSTITUTIONS a JULY 1970 LIFE INSURANCE COMPANIES (In millions of dollars) Government securities Business securities End of period Total Mort­ Real Policy Other assets Total U S n ta 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: 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 1966. 167,022 10,837 4,823 3,114 2,900 69,816 61,061 8,755 64,609 4,883 9,117 7,760 1967. 177,832 10,573 4,683 3,145 2,754 76,070 65,193 10,877 67,516 5,187 10,059 8,427 1968. 188,636 10,509 4,456 3,194 2,859 82,127 68,897 13,230 69,973 5,571 11,306 9,150 Book value: 1966........................................ 167,022 10,864 4,824 3,131 2,909 68,677 61,141 7,536 64,661 4,888 9,911 8,801 1967 177,361 10,530 4,587 2,993 2,950 73,997 65,015 8,982 67,575 5,188 10,060 11,011 1968. 187,695 10,483 4,365 3,036 3,082 79,403 68,575 10,828 70,071 5,573 11,284 10,881 1969-—Apr.............................. 191,910 11 ,151 4,632 3,286 3,233 83,298 69,882 13,416 70,561 5,678 11,939 9,283 May............................. 192,127 10,711 4,301 3,216 3,194 81,980 70,194 11,786 70,820 5,679 12,090 10,847 June............................. 192,311 10,551 4,145 3,212 3,194 82,227 70,298 11,929 70,964 5,710 12,323 10,536 July............................. 193,041 10,561 4,148 3,237 3,176 82,528 70,676 11,852 71,079 5,789 12,652 10,432 Aug.............................. 194,028 10,555 4,152 3,249 3,154 82,779 70,811 11,968 71,250 5,805 12,921 10,718 Sept............................. 194,803 10,523 4,112 3,246 3,165 83,129 71,053 12,076 71,429 5,809 13,172 10,741 Oct............................... 195,932 10,490 4,089 3,252 3,149 83,596 71,376 12,220 71,569 5,835 13,406 11,018 Nov............................. 196,661 10,510 4,118 3,249 3,143 83,980 71,719 12,261 71,710 5,900 13,580 10,981 Dec.............................. 197,230 10,558 4,159 3,264 3,135 83,792 71,290 12,502 72,127 5,901 13,805 11,047 1970—Jan............................... 197,677 10,962 4,532 3,242 3,188 84,764 71,542 13,222 72,340 5,923 14,060 9,628 Feb.............................. 198,506 10,980 4,527 3,250 3,203 85,021 71,600 13,421 72,527 5,984 14,295 9,699 Mar............................. 199,403 10,941 4,505 3,242 3,194 85,344 71,532 13,812 72,616 5,990 14,535 9,977 Apr.............................. 199,090 10,833 4,414 3,223 3,196 85,103 71,764 13,339 72,793 6,030 14,759 9,572 i 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) Mortgage loan Assets Liabilities commitments3 Total assets— End of period M ga o g r e t s ­ s G U e it o c i . e v S u s t r . . ­ Cash Other1 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 R a d p n e i r v s d o e i f d r u i v e t n s e d ­ s m ro B o w n o e r e ­ d y2 Loans Other d p M u er r a i i d o n e d g O e p u in n e t g s r d i t o a a o d n t f d ­ 196 1 68,834 5,211 3,315 4,775 82,135 70,885 5,708 2,856 1,550 1.136 1,872 196 2 78,770 5,563 3,926 5,346 93,605 80,236 6,520 3,629 1,999 1,221 2,193 196 3 90,944 6,445 3,979 6,191 107,559 91,308 7,209 5,015 2,528 1,499 2,572 196 4 101,333 6,966 4,015 7,041 119,355 101,887 7,899 5,601 2,239 1,729 2,549 196 5 110,306 7,414 3,900 7,960 129,580 110,385 8,704 6,444 2,198 1,849 2,707 196 6 114,427 7,762 3,366 8,378 133,933 113,969 9,096 7,462 1,270 2.136 1,482 196 7 121,805 9,180 3.442 9,107 143,534 124,531 9,546 4,738 2,257 2,462 3,004 196 8 130,802 9,555 2,962 9,571 152,890 131,618 10,315 5,705 2,449 2,803 3,584 196 9 140,169 8,715 2.443 11,026 162,353 135,494 11,176 9.783 2,426 3,474 2,812 1969—May. 135,026 9,892 2,421 10,464 157,826 133,480 10,285 6,283 2,916 4,862 1,676 4,607 June. 136,242 9.467 2.529 10,363 158,627 134,839 10,674 6,768 3,007 3,339 1,532 4,373 July. 137,107 9,199 1,957 10,371 158,634 133,729 10,671 7,392 2,978 3,824 1,346 4,145 Aug. 137,951 9,142 1,902 10,b35 159,630 133,721 10,669 7,885 2,874 4,471 1,148 3,775 Sept. 138,618 9,007 1,931 10,723 160,279 134,600 10,663 8,295 2,749 3,972 1,057 3,530 Oct.. 139,226 8,906 1,910 10,798 160,840 134,194 10,662 8.783 2,648 4,553 1,023 3,293 Nov. 139,676 9,011 2,114 11,055 161,856 134,420 10,655 9,123 2,539 5,119 882 3,079 Dec., 140,209 8,553 2,441 10,959 162,162 135,489 11,226 9,754 2,454 3,239 807 2,812 1970—Jan.. 140,345 8,455 1,866 11,020 161,686 134,072 11,249 10,230 2,300 3,835 772 2,738 Feb., 140,568 8.468 2,086 11,343 162,465 134,277 11,246 10,262 2,202 4,478 846 2,815 Mar. 140,766 8,561 2,225 11,701 163,253 135,872 11,234 10,036 2,170 3,941 1,084 3,041 Apr. 141,252 8,406 2,361 11,999 164,018 136,079 11,239 10,079 2,223 4,398 1,391 3,487 May 141,964 8,609 2.530 12,499 165,602 136,833 11,242 10,192 2,292 5,043 1,583 3,956 1 Includes other loans, stock in the Federal home loan banks, other Note.—Federal Home Loan Bank Board data; figures are estimates for investments, real estate owned and sold on contract, and office buildings all savings and loan assns. in the United States. Data are based on and fixtures. monthly reports of insured assns. and annual reports of noninsured assns. 2 Consists of advances from FHLB and other borrowing. Data for current and preceding year are preliminary even when revised. 3 Insured savings and loan assns. only. Data on outstanding commit­ Figures for Jan. and June 1968 reflect conversion of one savings and loan ments are comparable with those shown for mutual savings banks (on assn. to a mutual savings bank. Figures for June 1968 also reflect exclu­ preceding page) except that figures for loans in process are not included sion of two savings and loan assns. in process of liquidation. Data for above but are included in the figures for mutual savings banks. May 1969 reflect conversion of one savings and loan assn. to a commercial bank. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 a FEDERALLY SPONSORED CREDIT AGENCIES A 39 MAJOR BALANCE SHEET ITEMS OF SELECTED FEDERALLY SPONSORED CREDIT AGENCIES (In millions of dollars) Federal home loan banks Federal National Mortgage Assn. Banks Federal Federal (secondary market for intermediate land Assets Liabilities and capital operations) cooperatives credit banks banks End of period Ad­ Cash Mem­ Deben­ Loans Loans v m a t n e o c m e ­ s I m nv e e n s ts t­ p a o d n s e i d ­ ts B n a o o n n te d d s s po b d s e e i r ­ ts C s a to p c it k al M l g o a a o g n r e s t­ n t a u o n r t e e d s s c a o t o i t v o p e e s r­ D t e u b re e s n­ co a d u n is n d ­ ts D t e u b re e s n­ M l g o a a o g n r e t s ­ Bonds bers (A) (L) (A) (L) (A) (L) (A) (L) 1966............. 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............. 4,386 2,598 127 4,060 1,432 1 ,395 5,348 4,919 1,506 1,253 3,411 3,214 5,609 4,904 1968............. 5,259 2,375 126 4,701 1,383 1,402 6,872 6,376 1,577 1,334 3,654 3,570 6,126 5,399 1969............. 9,289 1,862 124 8,422 1,041 1,478 10,541 10,511 1,732 1,473 4,275 4,116 6,714 5,949 1969—May.. 5,971 2,393 73 5,521 1,202 1,448 7,718 7,241 1,614 1,395 4,044 6,483 5.716 June.. 6,413 1,964 141 5,521 1,278 1,451 7,891 8,077 1.594 1,391 4,355 4,176 6,557 5.716 July.. 7,053 1,496 88 6,021 928 1,435 8,125 8,093 1.594 1,387 4,310 6,605 5.867 Aug... 7,543 1,543 56 6,572 848 1,438 8,577 8,360 1,572 1,422 4 397 6,644 5.867 Sept... 7,940 1,657 97 7,072 891 1,444 8,999 8,815 1,585 1,420 4,329 4,357 6,676 5,927 Oct... 8,439 1,654 90 7,572 865 1,457 9,500 9,756 1,680 1,429 4,192 6,700 5,950 8,802 1,968 110 8,172Nov..939 1,467 10,009 10,205 1,705 1,445 4,152 6,704 5,949 Dec... 9,289 1,862 124 8,422 1,041 1,478 10,541 10,511 1,732 1,473 4,275 4,116 6,714 5,949 1970—Jan... 9,852 1,536 72 8,822 806 1,503 11,070 10,717 1,804 1 ,508 4,371 4,161 6,738 5,938 Feb... 9,937 1,787 93 9,171 802 1,537 11,540 11,659 1,844 1 ,577 4,474 4,311 6,777 c6,032 Mar... 9,745 2,870 107 9,825 986 1,558 12,016 12,227 1 ,840 1,576 4,644 4,422 6,833 6,032 Apr... 9,860 3,090 89 9,993 1,110 1,574 12,456 12,411 1,828 1,594 4,810 4,591 6,890 c6,113 May.. 10,008 ,2,964 78 9,888 1 ,189 1,579 13,287 12,605 1,796 1 ,539 4,942 4,739 6,943 6,113 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, MAY 29, 1970 Cou­ Amount Cou­ Amount Cou­ Amount Agency, and date of issue pon (millions Agency, and date of issue pon (millions Agency, and date of issue pon (millions and maturity rate of dollars) and maturity rate of dollars) and maturity rate of dollars) Federal home loan banks Federal National Mortgage Federal land banks Notes: Association—Cont. Bonds: 9/25/69 - 7/27/70........ 8.40 650 Debentures: 10/1/57 - 10/1/67-70. 4% 75 11/25/69 - 9/25/70. 8 H 650 11/10/69 - 5/10/71 ___ 8.20 400 2/15/57 - 2/15/67-72. 4^ 72 12/22/69 - 11/25/70. 8.70 250 4/10/69 - 6/10/71 ........ 6.85 250 1/20/69 - 6/22/70. 6.70 174 12/12/69 - 7/12/71___ 8.60 400 3/20/69 ■- 6/22/70___ 63/4 203 Bo 5 5 9 2 4 4 7 2 3 6 8 5 1 1 1 1 n / / / / / / / / / / / / 0 / 1 0 2 2 2 2 2 2 2 2 2 2 2 2 2 d / / / 5 5 5 5 5 7 5 6 5 5 5 2 2 5 6 2 s / / / / / / / / / / 5 / 7 / 7 / : 6 6 6 7 6 6 7 7 6 7 7 6 7 / / / 9 9 9 9 9 0 6 9 6 0 6 0 9 0 0 0 9 9 9 - - - - - - - - - - - - - - - - 5 5 2 4 2 6 4 8 8 3 6 5 1 / / / / / 2 / / / / / / / 1 / 1 2 2 2 2 2 2 2 2 2 2 2 2 2 / 1 0 5 6 5 5 5 6 5 5 2 6 5 6 5 5 / / / / / / / / / / / 2 5 2 / / / / 7 7 7 7 7 7 7 7 7 7 7 7 7 6 / 7 1 1 1 1 1 1 1 1 1 7 / 2 0 0 0 / 7 2 7 . . . . . . . . . . . . . 1 . . . . . . . . . . . . . 0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 7 8 7 8 8 8 6 8 8 8 6 8 7 8 8 % % . . . . . . . . . . . . . . 2 6 4 1 2 2 2 0 7 2 7 0 0 6 5 5 3 5 0 0 0 0 0 0 0 0 0 0 4 5 2 2 2 2 6 6 8 2 4 3 6 2 6 5 0 0 0 0 5 5 0 5 0 5 0 5 5 0 5 5 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 5 4 9 9 6 4 8 2 2 6 3 3 3 5 1 1 1 1 / / / / / / / / / / / / 2 / / 0 1 2 1 1 1 1 2 1 1 1 1 1 1 1 1 1 / / / / 1 2 1 0 1 0 3 0 0 0 0 0 0 0 1 1 1 0 / / 1 / / / 4 0 / / / / / 2 / / / / 6 6 6 6 6 7 6 7 7 7 7 6 7 7 / / / / 1 1 6 8 9 9 6 6 6 0 0 0 0 0 0 0 0 0 1 9 9 9 - - - - - - - - - - - - - - - - - - 9 9 9 2 9 9 2 6 3 8 6 3 1 8 / 6 3 / / / 3 / / / / / 1 / / 1 / / 1 1 1 1 1 1 1 1 1 1 1 1 1 / / / / 2 0 1 1 0 1 1 0 2 1 1 0 0 0 0 2 1 0 / 0 / 1 2 / 0 2 / / / / / / / / / / / 7 7 7 7 7 7 7 7 / 7 7 7 7 7 1 / / / 7 1 7 3 7 7 1 3 2 2 2 2 4 2 1 1 1 / 1 7 3 . . 2 2 . . . . . . . . . . . . . . . . . . . . . . . . 2 . . . . _ . . . . . _ _ . . . . . . . . . . . . . . . . . . . . . . . . . . _ . _ _ . . . . . . . . . . . . . . . . . . . . . _ . . . . . _ _ . . . . . . . . . . . . . . . . . . . m 4 4 4 8 7 8 8 8 7 6 6 6 6 7 5 8 5 V V V . % . H . . . V . . H . . V 7 1 3 3 8 4 7 0 4 4 a 4 a i 5 0 8 5 0 0 0 0 0 4 2 2 2 3 2 2 2 3 3 3 3 5 1 1 0 0 5 0 9 5 0 0 5 0 9 5 0 4 5 0 6 0 8 6 0 0 0 0 6 3 0 0 0 0 0 0 0 0 0 0 9 9 4 4 8 2 4 2 7 1 1 5 3 7 1 1 1 1 / / / / / / / / / / 0 0 / / / 0 / 2 1 2 2 2 2 2 2 1 2 1 2 2 1 5 / / / / 1 4 2 0 0 0 0 5 0 2 5 2 0 0 2 / 2 / 5 6 / / / / / / / 3 0 / 0 / / / / 3 6 6 6 6 5 7 6 7 6 6 7 7 6 0 / / / / 8 3 9 9 6 6 7 0 9 6 8 9 0 0 0 6 8 9 2 8 - - ■ ■ - - - - - - •- - - ■ ■- - - - - - 5 7 ■ 9 9 4 7 2 2 8 4 7 2 7 1 / / 2 1 / / / / 7 / / / / / / 1 0 1 / 1 2 2 2 1 1 1 2 2 2 2 2 0 / / 0 0 / 0 0 0 0 7 2 5 5 5 2 0 3 0 0 0 / / / / / 0 / / 7 1 / / 2 / 2 2 / 2 / / / / 7 7 7 7 7 7 7 7 7 7 7 / 0 . 0 3 / 0 1 7 1 1 . 2 2 2 7 0 0 1 3 3 . . / / / 1 . . 7 . 7 . . 7 3 . . . - _ . . . . 7 1 2 0 . _ . . . . . . . 8 . . . _ . . . . . . . . . . . . . . . . 4 7 8 7 8 8 6 6 8 8 8 6 3 6 3 5 5 5 ^ 3 . . . . . . . . . V . K . . H ^ / 3 3 8 4 1 1 4 3 0 7 8 0 ^ 2 i 5 5 5 5 5 5 0 0 0 0 0 0 4 4 2 2 2 2 2 2 2 2 3 3 3 1 1 1 3 4 2 4 2 7 3 0 8 4 0 3 0 7 3 6 0 9 1 1 5 3 8 8 5 9 7 0 0 2 0 0 7 0 0 0 8 2 1 / / / 2 2 2 5 5 6 / / / 6 7 7 9 0 0 - - - 8 2 1 / / / 2 2 2 5 6 5 / / / 7 7 7 4 4 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 8 7 . . .6 3 4 5 5 0 3 3 1 5 0 93 0 0 9 2 / / 1 1 0 3 / / 6 6 9 2 - - 9 2 / / 1 1 0 0/ / 7 7 7 4 . . . . . . . . . . . . . . . . 4 7 1 . / 8 2 5 2 1 5 98 0 4 2 2 / / / 2 2 2 0 0 0 / / / 6 7 7 5 2 0 - - - 4 2 1 / / / 2 2 2 1 0 0 / / 7 / 7 7 5 5 4 . . . . . .. . . . . . 4% 2 2 1 2 0 5 0 5 0 11/25/69 - 11/25/74. . .. 8.00 245 Banks for cooperatives 2/21/66 - 2/24/76.... 5.00 123 Fede 3 ra /2 l 5 N /7 a 0 ti o - n a 2 l / M 25 o /8 rt 0 g . a .. g .. e .. ... 7.75 350 De 2 1 1 b / 2 / 2 5 e / / 1 / n 7 7 / t 0 6 0 u 9 r - - e - s: 8 7 6 / / 3 1 /1 / / 7 7 /7 0 0 0 . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . 8 8 8 . . . 6 4 6 5 5 5 4 2 3 9 2 2 8 0 4 2 7 5 / / / 2 2 2 0 0 /6 / / 6 6 6 7 6 - - - - 4 / 7 1 2 / / 0 2 2 / 0 2 7 / / 8 7 7 6 9 .. . . . . . . .. . . . 5 5 5 K . K 00 2 1 1 8 5 5 5 0 0 Association—Secondary 4/1/70 - 10/1/70.......... 7.45 279 Di m sc a o r u k n e t t n o o pe te ra s t .. i . o .. n .. s ............ 3,135 5/4/70 - 11/2/70.......... m 218 Tennessee Valley Authority Capital debentures: Federal intermediate Short-term notes.............. 331 9/30/68 - 10/1/73.......... 6.00 250 credit banks Bonds: 4/1/70 - 4/1/75.............. 8.00 200 Debentures: 6/1/69 - 6/1/74............ 8.50 100 Debentures: 9/2/69 - 6/1/70............ 436 11/15/60 - 11/15/85... 4.40 50 6/14/68 - 6/10/70.......... 6.60 400 10/1/69 - 7/1/70.......... 8.20 419 7/1/61 - 7/1/1986........ 4« 50 6/10/69 - 7/10/70.......... 7.38 400 11/3/69 - 8/3/70.......... 7.95 479 2/1/62 - 2/1/1987........ 4% 45 9/12/60 - 9/10/70.......... 4Vs 119 12/1/69 - 9/1/70.......... c8.75 478 5/15/67 - 5/15/92........ 5.70 70 10/11/67 - 10/13/70. 5V4 400 1/5/70 - 10/1/70.......... 8.80 578 11/1/67 - 11/13/92. 6^ 60 9/10/69 - 11/10/70........ 8.30 350 2/2/70 - 11/2/70.......... 8.65 656 10/15/69 - 10/15/94. . . 8% 100 7/10/69 - 12/10/70........ 8.10 250 3/2/70 - 12/1/70.......... 8.10 338 3/17/70 - 3/15/95........ 9.00 100 10/14/69 - 2/10/71........ 8.75 400 4/1/70 - 1/4/71............ 7.50 560 3/11/68 - 3/11/71.......... 6.00 350 5/4/70 - 2/1/71 ............ 7.40 592 2/10/70 - 4/12/71.......... 8.75 500 3/2/70 - 3/1/73............ 8.15 203 Note.—These securities are not guaranteed by the U.S. Govt.; see also note to table above. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 40 FEDERAL FINANCE a JULY 1970 FEDERAL FISCAL OPERATIONS: SUMMARY (In millions of dollars) U.S. budget Means of financing R i e tu ce re ip a t- c e c x o p u e n n t d- Borrowings from the public : L m e o s n s: e t C ar a y s h a s a s n e d ts M N em et o: Period Net Budget s B u u r d p g lu e s t Less: Invest­ m O e o th a f n er s tr d a t n e o b sf t er r B e u c d ei g p e t t s p t e N u e n x r e e d ­ t s i­ le in n g d­ l o a u y t s ­ 1 d ( e o f - i r ) cit s P e d u t c e i b e u b l s r i t i c ­ A s P e t g i l c e u e u s n s r 3 : c i­ y S m p e e n c a t i c s a c l b o y u O n G t t s o h v e t r , S n L p o e e t c s e s i s a : 4 l b E T o q i r o n u r t g o a a l w l s: ­ b o a T p s l i u r a e n e r n r g y a a c ­ t e ­ Other fi n n in e a g n t , 5 c­ p o s r w h iv n ip a e t 2 r e ­ issues Fiscal year: 196 6 130,856130,820 3,832 134,652 -3,796 2,633 4,041 2,470 774 354 3,076 -609 161 270 196 7 149,552153,201 5,053 158,254 -8,702 6,314 5,079 5,035 4,000 -482 2,838 -5,222 304 945 196 8 153,671 172,802 6,030178,833 -25,162 21,357 5,944 3,271 2,049 -1,119 23,100 -397 1,700 3,364 196 9 187,792183,080 1,476184,556 3,236 6,142 633 7,364 2,089 -1,384 -1,295 596 1,616 270 9,853 Half year: 1968—Jan.-June, 86,490 87,941 4,364 92,307 -5,816 2,915 4,294 2,192 1,472 -683 4,228 -266 1,668 2,989 July-Dee__ 82,899 92,210 977 93,186 -10,287 10,450 1,446 -280 1,487 -384 11,076 -598 27 -1,363 9,853 1969—Jan.-June 104,893 90,870 499 91,370 13,523 -4,308 -813 7,643 603 -1,000-12,371 1,194 1,589 1,633 July-Dee__ 90,830 '97,573 1,355 r98,930 - 8,099 14,505 -429 3,939 326 9,811 -567 315 -1,964 Month: 1969—May. '13,347 r15,292 485 15,777 '-2,430 1,599 -137 2,585 361 -1 ,485 -2,458 -1,160 ' — 201 June. 23,805 13,895 -373 13,522 10,283 -6,345 -188 1 ,885 169 -8,587 186 920 -590 July.. r12,553 r15 ,533 152 15,706 -3,153 3,292 31,316 -21 191 34,438 -217 -484 -402 Aug.. '15,009 r16,800 316 17,116 -2,107 3,175 -829 1 ,543 124 679 -1,651 -62 -285 Sept.. >•20,412 rl 7,174 448 r17,622 2,790 498 -643 521 -291 -375 2,608 577 770 Oct... '11,811 rl 7,580 342 r17,923 -6,112 3,709 -47 -826 99 4,388 -1,166 19 577 Nov.. >■14,336 r15 ,229 236 r15,466 -1,130 3,718 -141 780 103 2,695 958 -4 -610 Dec.. '16,709 r15 ,237 -140 r15,097 1,612 113 -85 1,938 103 -2,012 -1,099 269 -430 1970—Jan... '16,297 -•16,558 -164 r16,394 -97 -654 -64 -717 193 -194 1,100 6775 62,166 Feb.. '14,938 '14,999 -104 r14,894 43 1,275 -789 I ,204 -579 -139 191 -436 -149 Mar.. '13,119 -•16,310 238 '16,548 -3,429 3,161 21 770 97 2,314 316 -768 664 Apr.. 22,029 17,844 200 18,043 3,986 -4,813 -39 -285 123 -4,691 85 526 1,317 May. 13,982 16,333 108 16,441 -2,459 3,893 -278 1 ,565 599 1 ,452 -1,008 -1,258 -1,259 Selected balances Treasury operating balance Federal securities Memo: End Debt of pe o ri f od B F a . n R k . s acc l T a o o n a a u d x n nts ba G la o n ld ce Total se P c d u u e b r b i l t i t i c es s A ec g u e r n it c ie y s S is p G I s e n u c o v e i v a s e t l s L , t m e a s c e s c n : o t O u s n t o h ts f e r S n L p o e e t c s e s i s a : 4 l E p T h u q b o e b u y l t l d a a i l c l s: s c p p o G o r N r i n o p v o s v s a w o t . t — . r e - e 7 d Fiscal year: 196 6 766 10,050 102 10,917 319,907 13,377 51,120 13,664 3,810 264,690 10,436 196 7 1,311 4,272 112 5,695 326,221 18,455 56,155 17,663 3,328 267,529 9,220 196 8 1,074 4,113 111 5,298 347,578 24,399 59,374 19,766 2,209 290,629 10,041 196 9 1,258 4,525 112 5,894 353,720 14,249 66,738 20,923 825 279,483 24,071 Calendar year 196 8 703 3,885 111 4,700 358,029 15,064 59,094 20,318 1,825 291,855 21,481 196 9 1,312 3,903 112 5,327 368,226 13.820 70.677 21,250 825 289.294 30,578 Month : 1969—May.. 621 4,976 112 5,708 360,065 14,437 64,853 20,752 825 288,072 24,043 June.. 1,258 4,525 112 5,894 353,720 14,249 66.738 20,923 825 279,483 24,991 July.. . 935 4.630 112 5,677 357,012 15,565 67,716 21,116 825 283,921 25,809 Aug.. . 894 3,020 112 4,026 360,187 14,736 68,259 21,240 825 284,599 27,121 Sept... 1,003 5,519 112 6,634 360,685 14,093 68,779 20,950 825 284,224 27,734 Oct__ 954 4,402 112 5,468 364,394 14,045 67.959 21,044 825 288,612 29,038 Nov... 980 5,335 112 6.426 368,112 13,905 68.739 21,147 825 291,306 30,072 Dec.. . 1,312 3,903 112 5,327 368,226 13.820 70.677 21,250 825 289.294 30,578 1970—Jan.... 1,127 5,188 112 6.427 367,572 13,755 69.960 21,442 825 289,100 31,288 Feb.... 915 5,592 111 6,618 368,847 12,966 71,164 20,863 825 288,961 32,946 Mar... 1,192 5.630 111 6,934 372,007 12,987 71,935 20,959 825 291,275 34,214 Apr.. . 1,784 5,123 111 7,019 367,194 12,948 71,650 21,082 825 286,584 34,851 May. . 1,295 4,605 111 6,011 371,088 12,670 73,215 21,681 825 288,036 1 Equals net expenditures plus net lending. penditure account to public debt account, increasing recorded borrowing 2 The decrease in Federal securities resulting from conversion to private from the public during July 1969 by $1,583 million. ownership of Govt.-sponsored corporations is shown as a memo item 4Represents non-interest-bearing public debt securities issued to the rather than as a repayment of borrowing from i:he public in the top panel. International Monetary Fund and international lending organizations. In the bottom panel, however, these conversions decrease the outstanding New obligations to these agencies are handled by letters of credit. amounts of Federal securities held by the public mainly by reductions in 5 Includes accrued interest payable on public debt securities, deposit agency securities. The Federal National Mortgage Association (FNMA) funds, miscellaneous liability and asset accounts, and seigniorage. was converted to private ownership in Sept. 1968 and the Federal Inter­ 6 Includes initial allocation of SDR’s of $867 million. mediate Credit Banks (FICB) and Banks for Cooperatives in Dec. 1968. 7 Includes debt of Federal home loan banks, Federal land banks, D.C. 3 Reflects transfer of publicly held CCC certificates of interest from ex­ Stadium Fund, FNMA (beginning Sept. 1968), FICB, and Banks for Cooperatives (beginning Dec. 1968). Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ FEDERAL FINANCE A 41 FEDERAL FISCAL OPERATIONS: DETAIL (In millions of dollars) Budget receipts Individual income taxes i C nc o o rp m o e r a ta ti x o e n s So a c n ia d l c in o s n u t r r a ib n u c t e i o t n ax s es Period Total W he i l t d h­ N w he i o t l n h d ­ ­ fu R n e d ­ s t N ot e a t l G ce r r i e o p ­ s ts s fu R n e d ­ s c E o P r m o t n a a y l t x p l r ­ i e lo b s y u a m t S n i e o e d l n n f - s t 1 e in U m s n u p - r l. . c O e n r i t e p h e ­ t t e s r 2 t N ot e a t l E ta x x c e is s e t C o u m s s ­ E a g s n i t f a d t te c M e r i i p e s t ­ c s . 3 taxes empl. Fiscal year: 196 6 130,85642,811 18,486 5,851 55,44630,834 761 20,662 3,777 1,129 25,56713,062 1,767 3,066 1,875 196 7 149,55250,521 18,850 7,84561,52634,918 946 26,047 1,776 3,659 1,867 33,34913,719 1,901 2,978 2,108 196 8 153,671 57,301 20,951 9,52768,72629,897 1 ,232 27,680 1,544 3,346 2,052 34,62214,079 2,038 3,051 2,491 196 9 187,79270,18227,258 10,191 87,24938,338 1,66032,521 1,715 3,328 2,35339,91815,222 2,319 3,491 2,916 Half year: 1968—Jan.-June. 86,49030,08916,802 8,971 37,921 18,551 65515,001 1,439 2,011 1,087 19,538 7,003 1,045 1,718 1,369 July-Dee. 82,89933,736 5,515 47638,775 15,494 78414,944 131 1,289 1,179 17,544 7,834 1,213 1,417 1,405 1969—Jan.-June 104,89336,44621,743 9,715 48,47422,844 87617,577 1,584 2,039 1,174 22,374 7,388 1,106 2,074 1,511 July-Dee. r90,83038,766 5,771 48144,05615,179 98217,057 131 1,270 1,283 19,741 8,242 1,263 1,496 rl ,837 Month: 1969—May....... '13,347 r6,690 804 2,725 4,760 959 152 4,545 190 821 192 5,748 1,272 213 310 r228 June....... 23,805 6,244 4,171 29210,123 8,692 104 2,523 64 61 176 2,823 1,395 210 319 347 July........ M2,553 6,005 548 150 6,404 1,196 126 2,510 124 244 2,879 1,419 222 221 r340 Aug........ '15,009 7,014 319 103 7,230 716 145 4,392 601 217 5,209 1,263 213 257 r266 Sept........ r20,412 5,948 3,912 84 9,776 5,673 122 2,655 111 51 205 3,022 1,295 215 254 r299 Oct......... ni ,811 6,284 419 67 6,636 1,180 336 2,044 12 93 216 2,364 1,259 231 264 r213 Nov........ rl 4,336 7,108 160 33 7,236 778 144 3,547 343 187 4,078 1,606 185 222 r374 Dec......... '1 6,709 6,407 412 45 6,774 5,637 110 1,908 59 214 2,181 1,400 197 277 r345 1970_jan......... '16,297 6,203 4,491 3510,660 1,252 125 2,179 111 129 254 2,674 1,154 195 286 r201 Feb......... r14,938 7,535 886 1,456 6,965 774 128 4,224 139 842 203 5,408 1,206 165 265 r283 Mar........ rl 3,119 6,091 1,235 3,907 3,419 4,559 320 3,006 146 64 221 3,436 1,192 202 322 r309 Apr......... 22,029 5,748 8,992 4,03910,701 4,895 317 2,847 1,081 234 259 4,419 1,226 207 599 300 May....... 13,982 7,058 1 ,063 2,863 5,258 862 148 4,585 207 857 202 5,851 1,319 192 348 300 Budget outlays4 Period Total t f i N e o d n n e a s ­ a ­ e l a I f n fa tl i . rs s S e p r a e a r ­ c c e h A t c u g u r r l e ­ i­ so N u u r r e a r a ­ c t l ­ es m t C r a a o e n n r m d c s e p ­ . d h C e o m a v u o n u e s m l d n i o n . - p g . E p m t d o a i n w u a o d n c n e a ­ r ­ w H a e e l n a f d a lt r h e 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. ­ t I t g i r n o a o a t c n n v r ­ a t s s . - ­ 5 Fiscal year: 1966.................................... 134,652 56,785 4,490 5,933 3,679 2,035 7,135 2,644 4,523 31,294 5,920 11,285 2,292 -3,364 1967.................................... 158,254 70,081 4,547 5,423 4,376 1,860 7,554 2,616 6,135 37,602 6,897 12,588 2,510 -3,936 1968.................................... 178,833 80,517 4,619 4,721 5,943 1,702 8,047 4,076 7,012 43,508 6,882 13,744 2,561 -4,499 1969.................................... 184,556 81,240 3,785 4,247 6,221 2,129 7,873 1,961 6,825 49,095 7,640 15,791 2,866 -5,117 1970e6................................. 197,885 79,432 4,113 3,886 6,343 2,485 9,436 3,046 7,538 57,097 8,681 17,821 3,620 -6,088 1971*6................................. 200,771 73,583 3,589 3,400 5,364 2,503 8,785 3,781 8,129 65,341 8,475 17,799 4,084 -6,639 Half year: 1968—Jan.-June................ 92,307 41,778 2,429 July-Dee................. 93,186 39,823 1,907 2,133 4,928 1,269 4,501 1,033 3,061 23,893 3,665 7,608 1 ,324 -1,959 1969—Jan.-June................ 91,370 41,417 1,878 2,114 1 ,293 860 3,372 928 3,764 25,202 3,975 8,183 1,542 -3,158 July-Dee................. '98,930 r40,598 1 ,941 1 ,841 5,479 1 ,515 4,610 1 ,826 r3,118 '26,063 4,148 8,623 '1 ,534 '-2,365 Month: 1969—May......................... 15,764 6,733 459 367 153 154 657 273 745 4,197 686 1 ,388 244 -291 June......................... 13,522 7,651 374 326 -701 141 625 -267 978 3,971 656 1,352 '311 '-1,895 July......................... '15,706 6,560 323 319 659 223 613 249 r405 '4,306 660 1,364 '259 '-234 Aug.......................... r17,116 6,868 299 337 1 ,130 369 858 312 r516 '4,342 669 1 ,440 '289 -314 Sept......................... r17,622 6,767 357 294 1 ,801 286 785 225 r659 '4,227 693 1 ,513 '231 -215 Oct........................... r17,923 7,267 374 327 1 ,108 263 964 588 r646 '4,492 694 1 ,220 '227 -248 Nov......................... r15 ,466 6,303 443 267 393 188 735 228 '391 '4,246 710 1 ,571 '253 -263 Dec.......................... *•15,097 r6,833 145 297 385 rl 86 655 224 '501 '4,450 722 '1 ,515 '275 '-1,091 1970—Jan........................... rl 6,394 6,648 161 290 659 113 713 212 '583 '4,700 729 1 ,537 '305 -256 Feb.......................... r14,894 6,199 298 299 -187 109 571 158 719 4,510 719 1,614 '249 -364 Mar.......................... r16,548 6,608 312 325 76 181 683 257 532 5,019 801 1,686 '312 -242 Apr.......................... 18,043 6,806 336 332 107 185 967 281 642 5,996 751 '1,631 '258 -249 May......................... 16,441 6,516 296 285 144 211 715 99 694 5,207 806 1,563 308 -401 1 Old-age, disability, and hospital insurance, and Railroad Retirement Treasury Statement (beginning April 1969). Monthly back data (beginning accounts. July 1968) are published in the Treasury Bulletin of June 1969. 2 Supplementary Medical Insurance premiums and Federal employee 5 Consists of government contributions for employee retirement and retirement contributions. interest received by trust funds. 3 Deposits of earnings by Federal Reserve Banks and other miscellane­ 6 Estimates presented in Jan. 1970 Budget Document. Breakdowns do ous receipts. not add to totals because special allowances for contingencies, Federal pay 4 Outlays by functional categories are now published in the Monthly increase, and allowance for revenue sharing, totaling $475 million for fiscal 1970 and $2,575 million for fiscal 1971, are not included. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 42 U.S. GOVERNMENT SECURITIES a JULY 1970 GROSS PUBLIC DEBT, BY TYPE OF SECURITY (In billions of dollars) Public issues End of period p T g u r o b o t l s a i s c l Marketable Con­ Nonmarketable i S ss p u e e c s ia 4 l debt 1 Total v ib e l r e t­ Sav­ Total Bills C c e a r t t e if s i­ Notes Bonds 2 bonds b i o n n g d s s & notes 1941—Dec. 57.9 50.5 41.6 2.0 6.0 33.6 8.9 6.1 7.0 1946—Dec. 259.1 233.1 176.6 17.0 30.0 10.1 119.5 56.5 49.8 24.6 1962—Dec. 303.5 255.8 203.0 48.3 22.7 53.7 78.4 4.0 48.8 47.5 43.4 1963—Dec. 309.3 261.6 207.6 51.5 10.9 58.7 86.4 3.2 50.7 48.8 43.7 1964—Dec. 317.9 267.5 212.5 56.5 59.0 97.0 3.0 52.0 49.7 46.1 1965—Dec. 320.9 270.3 214.6 60.2 50.2 104.2 2.8 52.9 50.3 46.3 1966—Dec. 329.3 273.0 218.0 64.7 5.9 48.3 99.2 2.7 52.3 50.8 52.0 1967—Dec. 344.7 284.0 226.5 69.9 61.4 95.2 2.6 54.9 51.7 57.2 1968—Dec. 358.0 296.0 236.8 75.0 76.5 85.3 2.5 56.7 52.3 59.1 1969—June 353.7 284.9 226.1 68.4 78.9 78.8 2.5 56.4 52.2 66.8 July. 357.0 288.4 229.6 71.9 78.9 78.8 2.5 56.3 52.2 66.8 Aug. 360.2 289.9 231.2 74.0 78.5 78.7 2.5 56.3 52.1 68.4 Sept. 360.7 289.9 231.2 74.0 78.5 78.7 2.5 56.3 52.1 68.9 Oct.. 364.3 294.4 235.0 79.0 85.4 70.6 2.4 56.9 52.1 68.1 Nov. 368.1 297.0 237.9 81.9 85.4 70.6 2.4 56.6 52.1 69.3 Dec. 368.2 295.2 235.9 80.6 85.4 69.9 2.4 56.9 52.2 71.0 1970—Jan.. 367.6 295.5 236.3 81.1 85.4 69.8 2.4 56.8 52.1 70.1 Feb.. 368.8 295.4 236.0 81.2 91.4 63.4 2.4 57.0 52.1 71.4 Mar. 372.0 297.9 238.2 83.7 91.4 63.1 2.4 57.3 52.0 72.1 Apr. 367.2 293.3 234.0 79.7 91.3 63.1 2.4 56.9 52.0 71.8 May 371.1 295.8 236.6 •80.1 93.5 63.0 2.4 56.9 52.0 73.3 June 370.9 292.7 232.6 76.2 93.5 63.0 2.4 57.7 52.0 76.3 1 Includes non-interest-bearing debt (of which $631 million on June 30, 1956, tax and savings notes; and before Oct. 1965, Series A investment 1970, was not subject to statutory debt limitation). bonds. 2 Includes Treasury bonds and minor amounts of Panama Canal and 4 Held only by U.S. Govt, agencies and trust funds and the Federal postal saving bonds. home loan banks. 3 Includes (not shown separately): depositary bonds, retirement plan bonds, foreign currency series, foreign series, and Rural Electrification Note.—Based on Daily Statement of U.S. Treasury. See also second Administration bonds; before 1954, Armed Forces leave bonds; before paragraph in Note to table below. OWNERSHIP OF PUBLIC DEBT (Par value, in billions of dollars) Held by- Held by private investors E pe n r d io o d f p T g d u r o e b o t b l s a i t s l c ag G t U e a r o n u n .S v 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 a a v 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 v a d a t t e s l . Sav I in n g d s ividu O al t s her n F a i o t n a i r o n t e e n d i r g a ­ n l 1 i O m t n o v t i h r s e s c e s . r ­ 2 funds bonds securities 1939—Dec............... 41.9 6.1 2.5 33.4 12.7 2.7 5.7 2.0 .4 1.9 7.5 .2 .3 1946—Dec............... 259.1 27.4 23.4 208.3 74.5 11.8 24.9 15.3 6.3 44.2 20.0 2.1 9.3 1962—Dec................ 303.5 53.2 30.8 219.5 67.1 6.0 11.5 18.6 20.1 47.0 19.1 15.3 14.8 1963—Dec................ 309.3 55.3 33.6 220.5 64.2 5.6 11.2 18.7 21.1 48.2 20.0 15.9 15.6 1964—Dec............... 317.9 58.4 37.0 222.5 63.9 5.5 11.0 18.2 21.1 49.1 20.7 16.7 16.3 1965—Dec............... 320.9 59.7 40.8 220.5 60.7 5.3 10.3 15.8 22.9 49.7 22.4 16.7 16.7 1966—Dec................ 329.3 65.9 44.3 219.2 57.4 4.6 9.5 14.9 24.9 50.3 24.4 14.5 18.8 1967—Dec............... 344.7 73.1 49.1 222.4 63.8 4.1 8.6 12.2 25.1 51.2 22.9 15.8 18.9 1968—Dec............... 358.0 76.6 52.9 228.5 65.5 3.6 8.0 14.6 27.1 51.5 23.7 14.3 20.1 1969—May.............. 360.1 82.7 53.8 223.6 56.4 3.7 7.9 17.4 28.1 51.4 25.4 13.7 19.5 June.............. 353.7 84.8 54.1 214.8 54.9 3.3 7.7 15.1 27.3 51.3 25.1 11.1 19.1 July............... 357.0 85.0 54.1 217.9 56.0 3.2 7.4 15.8 27.5 51.2 25.7 11.1 19.9 Aug............... 360.2 86.6 54.9 218.6 54.7 3.2 7.2 16.8 27.3 51.2 26.0 11.9 20.4 Sept............... 360.7 86.9 54.1 219.6 54.4 3.1 7.1 15.2 27.6 51.1 26.7 13.1 21.2 Oct................ 364.4 86.1 55.5 222.7 55.7 3.0 7.1 16.4 27.0 51.1 27.4 13.0 22.0 Nov............... 368.1 87.0 57.3 223.8 56.4 3.0 7.2 16.8 27.3 51.1 27.6 12.1 22.2 Dec................ 368.2 89.0 57.2 222.0 56.5 2.9 7.1 15.8 27.1 51.2 28.2 12.2 21.0 1970—Jan................. 367.6 88.6 55.5 223.5 54.3 2.9 7.2 16.4 28.3 51.1 29.6 12.1 21.5 Feb................ 368.8 89.4 55.8 223.6 52.7 2.9 7.1 r15.7 28.4 51.0 '30.3 12.9 r22.6 Mar............... 372.0 90.4 55.8 225.9 55.2 2.9 7.0 15.2 27.7 50.9 30.8 13.8 22.4 Apr................ 367.2 90.2 56.5 220.5 54.2 2.8 7.1 14.4 26.6 50.9 30.3 13.8 20.4 May.............. 371.1 92.3 57.3 221.4 53.6 2.9 6.9 15.1 27.4 50.9 30.6 14.4 j 19.7 1 Consists of investments of foreign and international accounts in The debt and ownership concepts were altered beginning with the the United States. Mar. 1969 Bulletin. The new concepts (1) exclude guaranteed se­ 2 Consists of savings and loan assns., nonprofit institutions, cor­ curities and (2) remove from U.S. Govt, agencies and trust funds porate pension trust funds, and dealers and brokers. Also included and add to other miscellaneous investors the holdings of certain are certain Govt, deposit accounts and Govt.-sponsored agencies. Govt.-sponsored but privately-owned agencies and certain Govt, Note—Reported data for F.R. Banks and U.S. Govt, agencies deposit accounts. and trust funds; Treasury estimates for other groups. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ U.S. GOVERNMENT SECURITIES A 43 OWNERSHIP OF MARKETABLE SECURITIES, BY MATURITY (Par value, in millions of dollars) Within 1 year Type of holder and date 1-5 5-10 10-20 Over years years years 20 years Total Bills Other All holders: 1967—Dec. 31........................................................ 226,476 104,363 69,870 34,493 78,159 18,859 8,417 16,679 1968—Dec. 31........................................................ 236,812 108,611 75,012 33,599 68,260 35,130 8,396 16,415 1969—Dec. 31........................................................ 235,863 118,124 80,571 37,553 73,301 20,026 8,358 16,054 1970—Apr. 30........................................................ 233,998 117,148 79,657 37,491 75,855 19,329 10,542 11,124 May 31........................................................ 236,561 109,432 80,056 29,376 89,630 15,880 10,535 11,085 U.S. Govt, agencies and trust funds: 1967—Dec. 31................................................ 1968—Dec. 31................................................ 15,402 2,438 1,034 1,404 4,503 2,964 2,060 3,438 1969—Dec. 31................................................ 16,295 2,321 812 1,509 6,006 2,472 2,059 3,437 1970—Apr. 30................................................ 16,472 2,154 821 1,333 6,706 2,806 2,423 2,384 May 31................................................ 17,045 2,821 1,068 1,753 7,143 2,270 2,424 2,387 Federal Reserve Banks: 1967—Dec. 31................................................ 49,112 31,484 16,041 15,443 16,215 858 178 377 1968—Dec. 31................................................ 52,937 28,503 18,756 9,747 12,880 10,943 203 408 1969—Dec. 31................................................ 57,154 36,023 22,265 13,758 12,810 7,642 224 453 1970—Apr. 30................................................ 56,508 34,965 21,601 13,364 13,979 6,953 233 379 May 31................................................ 57,307 26,161 22,211 3,950 25,249 5,277 234 385 Held by private investors: 1967—Dec. 31................................................ 1968—Dec. 31................................................ 168,473 77,670 55,222 22,448 50,877 21,223 6,133 12,569 1969—Dec. 31................................................ 162,414 79,780 57,494 22,286 54,485 9,912 6,075 12,164 1970—Apr. 30................................................ 161,018 80,029 57,235 22,794 55,170 9,570 7,886 8,361 May 31................................................ 162,209 80,450 56,777 23,673 57,238 8,333 7,877 8,313 Commercial banks: 1967—Dec. 31........................................ 52,194 18,451 10,415 8,036 26,370 6,386 485 502 1968—Dec. 31........................................ 53,174 18,894 9,040 9,854 23,157 10,035 611 477 1969—Dec. 31........................................ 45,173 15,104 6,727 8,377 24,692 4,399 564 414 1970—Apr. 30........................................ 43,619 14,475 6,066 8,409 24,953 3,425 530 235 May 31........................................ 43,017 13,426 4,674 8,752 25,848 2,965 539 238 Mutual savings banks: 1967 Dec. 31........................................ 4,033 716 440 276 1,476 707 267 867 1968 Dec. 31........................................ 3,524 696 334 362 1,117 709 229 773 1969—Dec. 31........................................ 2,931 501 149 352 1,251 263 203 715 1970—Apr. 30........................................ 2,834 515 142 373 1,238 232 426 422 May 31........................................ 2,881 555 149 406 1,274 209 424 420 Insurance companies: 1967 Dec. 31........................................ 7,360 815 440 375 2,056 914 1,175 2,400 1968 Dec. 31........................................ 6,857 903 498 405 1,892 721 1,120 2,221 1969—Dec. 31........................................ 6,152 868 419 449 1,808 253 1,197 2,028 1970—Apr. 30........................................ 6,095 655 276 379 1,890 526 1,780 1,247 May 31........................................ 5,972 752 325 427 1,863 337 1,779 1,242 Nonfinancial corporations: 1967—Dec. 31........................................ 4,936 3,966 2,897 1,069 898 61 3 9 1968—Dec. 31........................................ 5,915 4,146 2,848 1,298 1,163 568 12 27 1969—Dec. 31........................................ 5,007 3,157 2,082 1,075 1,766 63 12 8 1970—Apr. 30........................................ 4,069 2,669 1,743 926 1,325 57 13 6 May 31........................................ 4,522 3,195 2,150 1,045 1,226 56 38 7 Savings and loan associations: 1967 Dec. 31........................................ 4,575 1,255 718 537 1,767 811 281 461 1968—Dec. 31........................................ 4,724 1,184 680 504 1,675 1,069 346 450 1969—Dec. 31........................................ 3,851 808 269 539 1,916 357 329 441 1970—Apr. 30........................................ 3,630 751 257 494 1,961 245 356 317 May 31......................................... 3,646 752 262 490 2,043 179 355 318 State and local governments : 1967 Dec. 31......................................... 14,689 5,975 4,855 1,120 2,224 937 1,557 3,995 1968 Dec. 31........................................ 13,426 5,323 4,231 1,092 2,347 805 1,404 3,546 1969 Dec. 31........................................ 13,909 6,416 5,200 1,216 2,853 524 1,225 2,893 1970—Apr. 30........................................ 13,410 6,278 5,050 1,228 2,913 763 1,553 1,903 May 31........................................ 14,120 6,678 5,455 1,223 3,306 736 1 ,477 1 ,924 All others: 1967 Dec 31 ............................. 1968 Dec. 31........................................ 80,853 46,524 37,591 8,933 19,526 7,316 2,411 5,075 1969—Dec. 31........................................ 85,391 52,926 42,648 10,278 20,199 4,053 2,545 5,665 1970—Apr. 30........................................ 87,361 54,686 43,701 10,985 20,890 4,322 3,228 4,231 May 31........................................ 88,051 55,092 43,762 11,330 21,678 3,851 3,265 4,164 Note.—Direct public issues only. Based on Treasury Survey of ketable issues held by groups, the proportion held on latest date by those Ownership. reporting in the Survey and the number of owners surveyed were: (1) Beginning with Dec. 1968, certain Govt.-sponsored but privately-owned about 90 per cent by the 5,750 commercial banks, 495 mutual savings agencies and certain Govt, deposit accounts have been removed from U.S. banks, and 748 insurance companies combined; (2) about 50 per cent by Govt, agencies and trust’funds and added to “All others.” Comparable data the 469 nonfinancial corporations and 488 savings and loan assns.; and are not available for earlier periods. (3) about 70 per cent by 503 State and local govts. Data complete for U.S. Govt, agencies and trust funds and F.R. Banks “All others,” a residual, includes holdings of all those not reporting but for other groups are based on Treasury Survey data. Of total mar- in the Treasury Survey, including investor groups not listed separately. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 44 U.S. GOVERNMENT SECURITIES □ JULY 1970 DEALER TRANSACTIONS (Par value, in millions of dollars) U.S. Government securities By maturity By type of customer U.S. Govt, Period agency Total Dealers and brokers securities Within 1-5 5-10 Over Com­ All 1 year years years 10 years U s . e S c . u G rit o ie v s t, Other m b e a r n c k ia s l other 1969—May............................. 2,286 1,852 210 189 35 853 102 781 549 360 June............................. 2,491 2,171 199 86 34 1,039 107 849 496 395 July............................. 2,233 1,966 172 62 34 839 91 822 480 351 Aug.............................. 2,286 1,965 233 51 36 948 104 776 459 311 Sept.............................. 2,442 2,017 290 101 34 1,009 80 835 520 342 Oct............................... 2,725 2,209 364 111 41 1,145 99 1,006 474 460 Nov.............................. 2,439 2,114 225 60 40 920 87 913 518 414 Dec.............................. 2,551 2,162 281 55 54 1,029 98 965 460 381 1970—Jan............................... 2,385 2,058 233 58 36 971 92 922 402 410 Feb.............................. 2,936 2,302 421 176 36 1,332 124 1,043 437 513 Mar.............................. 2,681 2,238 298 114 31 1,208 92 921 460 501 Apr.............................. 2,046 1,801 160 59 27 887 70 665 424 387 May............................. 2,164 1,685 337 106 36 868 73 717 506 378 Week ending— 1970—May 6....................... 2,681 2,149 319 181 32 1,016 81 859 725 463 13....................... 2,185 1,506 527 121 30 939 87 744 416 259 20....................... 2,042 1,679 248 82 33 796 61 716 469 473 27....................... 1,851 1,495 243 66 49 755 69 592 434 307 June 3....................... 2,283 1,822 337 101 24 929 71 800 484 421 10....................... 1,828 1,538 189 67 35 586 69 572 601 270 17....................... 1,653 1,440 141 50 22 494 51 602 508 421 24....................... 2,294 2,088 131 40 36 753 66 975 500 445 Note.—The transactions data combine market purchases and sales of sales of securities under repurchase agreement, reverse repurchase (resale) U.S. Govt, securities dealers reporting to the F.R. Bank of New York. or similar contracts. Averages of daily figures based on the number of They do not include allotments of, and exchanges for, new U.S. Govt, trading days in the period. securities, redemptions of called or matured securities, or purchases or DEALER POSITIONS DEALER FINANCING (Par value, in millions of d ollars) (In millions of dollars) U.S. Government securities, by maturity Commercial banks U.S. Govt. Period All Corpora­ A11 Period ma t A i t e l u s l ri­ W y i e 1 t a h r in y 1 e - a 5 rs y 5 e - a 1 r 0 s y O e 1 v a 0 e rs r a s g e t c e ie u n s c ri y ­ sources Y N C o e it r w y k w E h ls e e r ­ e tions 1 other 1969—May............... 2,585 1,964 71 498 52 792 1969—May.......... 3,103 542 376 1,072 1,112 June............... 2,454 1,975 56 408 16 703 June.......... 2,994 717 520 862 896 July............... 2,250 1,901 40 300 9 626 July........... 2,372 810 363 690 509 Aug................ 2,299 1,853 170 230 47 492 Aug........... 2,539 563 405 733 838 Sept................ 2,313 1,936 162 181 34 496 Sept........... 2,586 771 564 470 781 Oct................. 2,389 1,903 256 193 37 512 2,226 462 392 520 852 Nov................ 3,451 3,158 155 106 30 606 Nov........... 3,692 1,050 712 856 1,073 Dec................ 3,607 3,266 205 100 35 564 3,689 1,036 651 884 1,119 1970—Jan................. 2,908 2,869 -2 22 20 529 1970-Jan............. 3,075 907 469 792 907 Feb................. 3,182 2,464 374 330 14 559 Feb............ 2,995 660 504 650 1,180 Mar................ 3,667 3,116 248 285 17 731 Mar........... 3,719 958 943 588 1,229 Apr................ 4,507 4,228 107 164 8 705 4,922 1,293 1,373 546 1,710 May............... 2,668 1,886 461 306 16 654 May.......... 2,896 637 830 466 962 Week ending— Week ending— 1970—Apr. 1......... 4,755 4,288 221 240 5 825 1970—Apr. 1... 4,652 1,173 1,244 464 1,772 8.......... 4,874 4,487 172 203 12 688 8... 5,234 1,479 1,638 480 1,636 15 4,997 4,668 145 171 13 666 15... 5,348 1,464 1,359 507 2,018 22.......... 4,475 4,253 63 153 6 681 22. .. 5,175 1,462 1,445 611 1,657 29 3,825 3,646 49 129 1 765 29... 4,031 779 1,105 592 1,555 May 6.......... 2,623 2,439 27 150 8 714 May 6. .. 3,391 747 832 528 1,284 13 2,859 1,701 757 385 16 671 13. .. 2,692 498 769 499 926 20 2,497 1,561 574 345 18 601 20. .. 2,918 636 850 447 986 27 2,785 2,011 444 310 21 641 21... 2,868 755 852 424 838 cha N s o e t c e o .— ntr T a h c e ts f r i e g g u a re rd s le in s c s lu o d f e t h a e l l m s a ec tu u r r i i t t y ie s d a s t o e l d o f b t y h e d e c a o l n e t r r s a c u t n , d u e n r l e r s e s p t u h r e ­ com 1 pan A ie ll s . business corporations, except commercial banks and insurance contract is matched by a reverse repurchase (reside) agreement or delayed delivery sale with the same maturity and involving the same amount of Note.—Averages of daily figures based on the number of calendar days securities. Included in the repurchase contracts are some that more in the period. Both bank and nonbank dealers are included. See also clearly represent investments by the holders of the securities rather than Note to the opposite table on this page. dealer trading positions. Average of daily figures based on number of trading days in the period. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ GOVERNMENT SECURITIES A 45 U.S. GOVERNMENT MARKETABLE AND CONVERTIBLE SECURITIES, JUNE 30, 1970 (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. July 2, 1970. 3.002 Nov. 30, 1970.... 1.501 Nov. 15, 1971........7% 10,728 Dec. 15, 1967- ■72..2V4 2,574 July 9, 1970. 3,009 Dec. 3, 1970___ 1,306 Feb. 15, 1972........4y4 2,006 Aug. 15, 1970 ... .4 4,129 July 16, 1970. 3,008 Dec. 10, 1970___ 1.303 Apr. 1, 1972........1 Vi 34 Aug. 15, 1971, ....4 2,806 July 23, 1970. 3,007 Dec. 17, 1970___ 1.303 May 15, 1972........4% 5,310 Nov. 15, 1971 2,760 July 30, 1970. 3.002 Dec. 24, 1970___ 1.303 Oct. 1, 1972........1 Vi 33 Feb. 15, 1972 2,344 July 31, 1970. 1,702 Dec. 31, 1970.... 1.502 Apr. 1, 1973........VA 34 Aug. 15, 1972 ....4 2,579 Aug. 6, 1970. 3.003 Jan. 31, 1971.... 1.503 May 15, 1973........7% 5,843 Aug. 15, 1973 ....4 3,894 Aug. 13, 1970. 3.003 Feb. 28, 1971.... 1,700 Aug. 15, 1973........8 y8 1,846 Nov. 15, 1973 ....41/8 4,346 Aug. 20, 1970. 2,987 Mar. 31, 1971... . 1,702 Oct. 1, 1973........VA 30 Feb. 15, 1974 ....4V6 3,127 Aug. 27, 1970. 3.103 Apr. 30, 1971 1,200 Apr. 1, 1974........lVi 34 May 15, 1974 ....4V4 3,583 Aug. 31, 1970. 1,701 May 31, 1971___ 1,200 Aug. 15, 1974........5% 10,284 Nov. 15, 1974 ....37/8 2,239 Sept. 3, 1970. 3.103 June 30, 1971 ___ 1,201 Oct. 1, 1974........VA 42 May 15, 1975- •85.. 41/4 1,214 Sept. 10, 1970. 3.104 Nov. 15, 1974........5V4 3,981 June 15, 1978I -83..31/4 1,546 Sept. 17, 1970. 3,106 Feb. 15, 1975........5*/4 5,148 Feb. 15, 1980 4 2,595 Sept. 22, 1970f 1,758 Apr. 1, 1975........VA 2 Nov. 15, 1980 3Vi 1,905 Sept. 24, 1970. 3,103 Treasury notes May 15, 1975........6 6,760 May 15, 1985 ........3V4 1,080 Sept. 30, 1970. 1,505 Aug. 15, 1970........6V8 2,329 Feb. 15, 1976........6V4 3,739 Aug. 15, 1987 •92..4V4 3,812 Oct. 1, 1970. 1.301 Oct. 1, 1970........1 Vi 113 May 15, 1976........6Vi 2,697 Feb. 15, 1988 -93..4 248 Oct. 8, 1970. 1,305 Nov. 15, 1970........5 7,675 Aug. 15, 1976........7% 1,683 May 15, 1989 -94.. 41/g 1,555 Oct. 15, 1970. 1.301 Feb. 15, 1971........5% 2,509 Feb. 15, 1977........8 5,168 Feb. 15, 1990 4,780 Oct. 22, 1970. 1.303 Feb. 15, 1971........7^4 2,924 Feb. 15, 1995 1,318 Oct. 29, 1970. 1.301 Apr. 1, 1971........lVi 35 Nov. 15, 1998 ....3V4 4,115 Oct. 31, 1970. 1,504 May 15, 1971........5 Va 4,265 Nov. 5, 1970. 1.301 May 15, 1971........8 4,176 Treasury bonds Nov. 12, 1970. 1.302 Aug. 15, 1971........ 2,255 Mar. 15, 1966-71.. 2% 1,220 Convertible bonds Nov. 19, 1970. 1.304 Oct. 1, 1971........1 Vi 72 June 15, 1967-72..2Vi 1,238 Investment Series B Nov. 27, 1970. 1,301 Nov. 15, 1971........53/g 1,734 Sept. 15, 1967-72..2% 1,951 Apr. 1, 1975-80.. 2% 2,387 f Tax-anticipation series. Note.—Direct public issues only. Based on Daily Statement of U.S. Treasury. NEW ISSUES OF STATE AND LOCAL GOVERNMENT SECURITIES (In millions of dollars) All issues (new capital and refunding) Issues for new capital Type of issue Type of issuer Total Use of proceeds Period amount deliv­ Special ered 3 Total Gener­ U.S. district Total Roads Veter­ Other al Reve­ HAA1 Govt. State and Other2 Edu­ and Util­ Hous­ ans’ pur­ obli­ nue loans stat. cation bridges ities4 ing5 aid poses gations auth. 196 2 8,845 5,582 2,681 437 145 1,419 2,600 4,825 8,732 8,568 2,963 1,114 1,668 521 125 2,177 196 3 10,538 5,855 4,180 254 249 1,620 3,636 5,281 10,496 9,151 3,029 812 2,344 598 2,396 196 4 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 2,838 196 5 11,329 7,177 3.517 464 170 2,401 3,784 5,144 11,538 10,471 3,619 900 1,965 626 50 3,311 196 6 11,405 6,804 3,955 325 312 2,590 4,110 4,695 11,303 3,738 1,476 1,880 533 3.667 196 7 14,766 8,985 5,013 477 334 2,842 4,810 7,115 14,643 4,473 1,254 2,404 645 5.667 196 8 16,596 9,269 6.517 528 282 2,774 5,946 7,884 16,489 4,820 1,526 2,833 787 6,523 196 9 11,881 7,725 3,556 402 197 3,359 3,596 4,926 11,638 3,252 1,432 1,734 543 4,884 1969—May.. 1,110 637 273 177 23 266 340 504 1.096 323 109 118 191 355 June.. 737 517 181 39 97 155 486 727 237 45 141 1 303 July.. 1,097 826 261 10 405 245 446 1.097 283 169 105 6 533 Aug... 808 583 213 12 228 255 325 803 209 155 82 2 353 Sept... 559 361 106 49 43 100 130 329 559 161 6 75 70 245 Oct... 1,280 898 357 24 482 270 526 1,275 379 40 265 69 523 Nov... 886 489 358 5 102 360 422 885 216 168 138 47 318 Dec... 816 679 134 3 340 192 286 816 211 221 97 289 1970—Jan... 1,338 836 495 7 311 500 527 1,327 316 91 304 608 Feb... 1,212 900 300 12 346 264 602 1,207 406 59 237 490 Mar... 1,499 1,061 431 7 434 367 699 1,493 359 202 224 623 Apr... 1,630 1,206 409 15 468 335 827 1,630 463 167 288 697 May.. 982 672 312 8 254 309 428 991 298 30 365 280 1 Only bonds sold pursuant to 1949 Housing Act, which are secured 5 Includes urban redevelopment loans. by contract requiring the Housing Assistance Administration to make annual contributions to the local authority. Note.—The figures in the first column differ from those shown on the 2 Municipalities, counties, townships, school districts. following page, which are based on Bond Buyer data. The principal 3 Excludes U.S. Govt, loans. Based on date of delivery to purchaser difference is in the treatment of U.S. Govt, loans. and payment to issuer, which occurs after date of sale. Investment Bankers Assn. data; par amounts of long-term issues 4 Water, sewer, and other utilities. based on date of sale unless otherwise indicated. Components may not add to totals due to rounding. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 46 SECURITY ISSUES □ JULY 1970 TOTAL NEW ISSUES (In millions of dollars) Gross proceeds, all issues1 Noncorporate Corporate Period Bonds Stock Total G U o . v S t . .2 G U o . v S t . , S U ta .S te . Others Total agency3 and local4 Total P o u f b fe l r ic e l d y P p ri l v a a c t e e d ly Preferred Common 1962.................... 29,956 8,590 1,188 8,558 915 10,705 8,969 4,440 4,529 422 1,314 1963.................... 35,199 10,827 1,168 10,107 887 12,211 10,856 4,713 6,143 343 1,011 1964.................... 37,122 10,656 1,205 10,544 760 13,957 10,865 3,623 7,243 412 2,679 1965.................... 40,108 9,348 2,731 11,148 889 15,992 13,720 5,570 8,150 725 1,547 1966.................... 45,015 8,231 6,806 11,089 815 18,074 15,561 8,018 7,542 574 1,939 1967.................... 68,514 19,431 8,180 14,288 1,817 24,798 21,954 14,990 6,964 885 1,959 1968.................... 65,562 18,025 7,666 16,374 1,531 21,966 17,383 10,732 6,651 637 3,946 1969.................... 52,496 4,765 8,617 11,460 961 26,744 18,347 12,734 5,613 682 7,714 1969—Mar......... 3,514 382 453 520 61 2,098 1,344 835 509 98 657 Apr.......... 5,780 412 981 1,627 12 2,748 1,917 1,268 649 68 762 May........ 4,608 410 950 1,088 85 2,076 1,382 871 510 10 684 June........ 4,056 419 351 710 45 2,530 1,786 1,272 514 50 694 July.......... 5,014 421 940 1,052 124 2,478 1,889 1,279 609 40 553 Aug.......... 3,314 377 600 794 117 1,427 944 685 259 72 410 Sept.......... 3,958 353 587 531 60 2,427 1,701 1,222 479 74 652 Oct........... 5,420 440 1,782 1,254 11 1,933 1,282 969 313 20 630 Nov.......... 4,069 300 450 853 92 2,374 1,390 1,164 226 83 902 Dec.......... 4,440 380 650 812 65 2,531 1,860 1,346 514 32 640 1970—Jan........... 6,144 413 1,648 1,314 133 2,636 2,120 1,595 525 60 456 Feb.......... 6,003 416 2,523 1,198 63 1,802 1,334 1,068 266 50 417 Mar......... 6,799 461 1,201 1,504 94 3,539 2,385 1,914 471 90 1,064 Gross proceeds, major groups of corporate issuers Period Manufacturing Commercial and Transportation Public utility Communication Real estate miscellaneous and financial Bonds Sltocks Bonds Stocks Bonds Stocks Bonds Stocks Bonds Stocks Bonds Stocks 1962.............................................. 2,880 404 622 274 573 14 2,279 562 1,264 43 1,397 457 1963.............................................. 3,202 313 676 150 948 9 2,259 418 953 152 2,818 313 1964.............................................. 2,819 228 902 220 944 38 2,139 620 669 1,520 3,391 466 1965.............................................. 4,712 704 1,153 251 953 60 2,332 604 808 139 3,762 514 1966.............................................. 5,861 1,208 1,166 257 1,856 116 3,117 549 1,814 189 1,747 193 1967.............................................. 9,894 1,164 1,950 117 1,859 466 4,217 718 1,786 193 2,247 186 1968.............................................. 5,668 1,311 1,759 116 1,665 1,579 4,407 873 1,724 43 2,159 662 1969.............................................. 4,448 1,904 1,888 3,022 1,899 247 5,409 1,326 1,963 225 2,739 1,671 1969—Mar................................... 297 194 192 305 139 63 352 52 198 34 166 107 Apr.................................... 327 186 330 276 151 101 627 157 43 1 438 110 May................................... 434 134 101 397 141 4 371 20 129 68 203 70 June................................... 505 186 119 314 202 13 606 96 187 4 167 131 July................................... 636 238 133 177 122 4 446 47 286 266 123 Aug.................................... 284 77 37 161 48 6 354 153 122 4 99 82 Sept................................... 501 124 142 209 181 9 413 131 230 43 233 210 Oct.r................................. 115 144 95 202 52 16 676 69 120 225 219 Nov.r................................ 286 167 183 242 137 5 422 201 156 45 207 326 Dec.................................... 420 181 190 193 140 6 497 103 255 22 358 166 1970—Jan..................................... 690 121 172 165 330 10 557 81 229 4 141 134 Feb.................................... 314 43 65 122 163 7 417 123 216 10 160 163 Mar................................... 882 533 110 200 262 613 293 286 20 231 108 1 Gross proceeds are derived by multiplying principal amounts or 5 Foreign governments, International Bank for Reconstruction and number of units by offering price. Development, and domestic nonprofit organizations. 2 Includes guaranteed issues. 3 Issues not guaranteed. Note.—Securities and Exchange Commission estimates of new issues 4 See Note to table at bottom of opposite page. maturing in more than 1 year sold for cash in the United States. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ SECURITY ISSUES A 47 NET CHANGE IN OUTSTANDING CORPORATE SECURITIES (In millions of dollars) Derivation of change, all issuers1 Period All securities Bonds and notes Common and preferred stocks New issues Retirements Net change New issues Retirements Net change New issues Retirements Net change 196 5 15,952 7,891 8,061 12,747 4,649 8,098 3,205 3,242 -37 196 6 19,799 7,541 12,258 15,629 4,542 11,088 4,169 3,000 1,169 196 7 25,964 7,735 18,229 21,299 5,340 15,960 4,664 2,397 2,267 196 8 25,439 12,377 13,062 19,381 5,418 13,962 6,057 6,959 -900 196 9 28,841 10,813 18,027 19,523 5,767 13,755 9,897 4,505 4,272 1969— 1 7,133 3,456 3,677 4,949 1,272 3,676 2,363 2,183 I I 7,728 3,268 4,460 5,365 1,504 3,861 2,008 1,764 599 II I 6,507 1,980 4,526 4,499 1,382 3,117 2.763 598 1,410 I V 7,473 2,109 5,364 4,710 1,609 3,101 2.763 500 2,263 1970— 1 7,272 2,185 5,086 4,987 1,507 3,480 2,285 679 1,606 Type of issuer Manu­ Commercial Transpor­ Public Communi­ Real estate Period facturing and other 2 tation 3 utility cation and financial 1 & B n o o n t d e s s Stocks & B o n n o d te s s Stocks & B n o o n t d e 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 1965....................... 2,606 -570 614 -70 185 -1 1,342 96 644 518 2,707 -10 1966....................... 4,324 32 616 -598 956 718 2,659 533 1,668 575 864 -90 1967....................... 7,237 832 1,104 282 1,158 165 3,444 652 1,716 467 1,302 -130 1968....................... 4,418 -1,842 2,242 821 987 -149 3,669 892 1,579 120 1,069 -741 1969....................... 3,747 69 1,075 1,558 1,165 301 4,464 1,353 1,834 241 1,687 866 1968—IV............... 667 -1,171 960 461 257 -71 1,310 152 269 50 491 -1 1969—1................. 1,458 -372 360 259 539 75 674 331 405 45 239 -337 II................ 936 -386 433 445 175 49 1,445 235 312 78 560 178 Ill............... 1,087 343 101 274 354 136 898 320 566 31 329 420 IV............... 266 484 181 580 97 41 1,447 467 551 87 559 605 1970—1................. 1,084 463 -160 415 591 17 1,214 395 546 27 204 289 1 Excludes investment companies. exclude foreign sales and include sales of securities held by affiliated com- 2 Extractive and commercial and misc. companies. panies, special offerings to employees, and also new stock issues and cash 3 Railroad and other transportation companies. proceeds connected with conversions of bonds into stocks. Retirements are defined in the same way and also include securities retired with in- Note.—Securities and Exchange Commission estimates of cash trans- ternal funds or with proceeds of issues for that purpose, 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 i 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 on3 Other 1958.............. 1,620 511 1,109 13,242 634 12,608 1969—Apr... 654 348 306 52,787 4,579 48,208 1959.............. 2,280 786 1,494 15,818 860 14,958 May.. 529 364 165 52,992 4,262 48,730 1960.............. 2,097 842 1,255 17,026 973 16,053 June.. 474 338 136 49,401 3,937 45,464 July... 503 260 243 46,408 4,167 42,241 1961.............. 2,951 1,160 1,791 22,789 980 21,809 Aug... 483 208 275 49,072 4,642 44,430 1962.............. 2,699 1,123 1,576 21,271 1,315 19,956 Sept... 442 235 207 48,882 4,393 44,489 1963.............. 2,460 1,504 952 25,214 1,341 23,873 Oct.... 564 269 295 50,915 4,572 46,343 Nov... 417 277 140 49,242 4,079 38,163 1964.............. 3,404 1,875 1,528 29,116 1,329 27,787 Dec... 522 301 221 48,291 3,846 44,445 1965.............. 4,359 1,962 2,395 35,220 1.803 33,417 1966.............. 4,671 2,005 2,665 34,829 2,971 31,858 1970^_ Jan.... 523 303 220 44,945 3,959 40,986 Feb... 407 249 158 48,202 4,209 43,993 1967.............. 4,670 2,745 1,927 44,701 2,566 42,135 Mar... 451 289 162 47,915 4,046 43,869 1968.............. 6,820 3,841 2,979 52,677 3,187 49,490 Apr... 371 306 65 42,785 3,909 38,876 1969.............. 6,717 3,661 3,056 48,291 3,846 44,445 May.. 304 300 4 39,824 4,042 35,782 * 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 http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 48 BUSINESS FINANCE □ JULY 1970 SALES, PFtOFITS, AND DIVIDENDS OF LARGE CORPORATIONS (In millions of dollars) 1968 19691 Industry 1965 1966 1967 1968 1969 I II III IV I II III IV Manufacturing Total (177 corps.): Sales...................................... 177,237195,738201,399225,740243,449 53,633 57,732 53,987 60,388 57,613 61,392 61,061 63,383 Profits before taxes............... 22,046 23,487 20,898 25,375 25,622 5,985 6,878 5,580 6,932 6,565 6,887 5,851 6,319 Profits after taxes.................. 12,461 13,307 12,664 13,787 14,090 3,298 3,609 3,030 3,850 3,579 3,750 3,244 3,517 Dividends.............................. 6,527 6,920 6,989 7,271 7,757 1,716 1,731 1,746 2,078 1,838 1,916 1,885 2,118 Nondurable goods industries (78 corps.):2 Sales...................................... 64,897 73,643 77,969 84,861 92,033 20,156 21,025 21,551 22,129 21,764 23,198 23,445 23,626 Profits before taxes............... 7,846 9,181 9,039 9,866 10,333 2,387 2,492 2,545 2,442 2,524 2,664 2,641 2,504 Profits after taxes................. 4,786 5,473 5,379 5,799 6,103 1,428 1,411 1,471 1,489 1,492 1,559 1,529 1,523 Dividends...................................... 2,527 2,729 3,027 3,082 3,289 743 751 763 825 812 808 820 849 Durable goods industries (99 corps.):3 Sales....................................... 112,341 122,094123,429140,879 151,416 33,477 36,707 32,435 38,259 35,849 38,195 37,616 39,756 Profits before taxes............... 14,200 14,307 11,822 15,510 15,290 3,598 4,386 3,036 4,490 4,041 4,224 3,210 3,815 Profits after taxes................. 7,675 7,834 6,352 7,989 7,989 1,871 2,198 1,559 2,361 2,087 2,190 1,715 1,997 Dividends.............................. 4,000 4,191 3,964 4,189 4,469 972 981 983 1,253 1,026 1,108 1,065 1,270 Selected industries: Foods and kindred products (25 corps.): Sales....................................... 16,427 19,038 20,134 22,109 24,593 5,184 5,389 5,737 5,799 5,714 5,923 6,631 6,325 Profits before taxes............... 1,710 1,916 1,967 2,227 2,425 498 563 590 576 534 581 666 644 Profits after taxes................. 896 1,008 1,041 1,093 1,171 255 260 285 293 261 275 314 321 Dividends...................................... 509 564 583 616 661 150 155 155 156 162 165 164 170 Chemical and allied products (20 corps.): Sales....................................... 18,158 20,007 20,561 22,808 24,494 5,436 5,697 5,782 5,893 5,845 6,230 6,236 6,183 Profits before taxes............... 2,891 3,073 2,731 3,117 3,258 760 807 806 744 844 875 818 721 Profits after taxes................. 1,630 1,737 1,579 1,618 1,773 390 419 412 398 448 473 441 411 Dividends.............................. 926 948 960 1,002 1,031 236 236 243 287 252 251 254 274 Petroleum refining (16 corps.): Sales...................................... 17,828 20,887 23,258 24,218 25,586 5,890 6,013 6,100 6,214 6,107 6,610 6,264 6,605 Profits before taxes............... 1,962 2,681 3,004 2,866 2,941 767 692 740 667 726 728 750 737 Profits after taxes.................. 1,541 1,898 2,038 2,206 2,224 592 520 561 534 562 558 554 550 Dividends...................................... 737 817 1,079 1,039 1,123 253 255 258 273 282 273 282 286 Primary metals and products (34 corps.): Sales....................................... 26,548 28,558 26,532 30,171 33,674 7,150 8,427 7,461 7,133 7,671 8,612 8,448 8,943 Profits before taxes............... 2,931 3,277 2,487 2,921 3,052 669 915 601 735 691 828 715 818 Profits after taxes................. 1,689 1,903 1,506 1,750 1,912 376 550 343 482 431 504 435 542 Dividends.............................. 818 924 892 952 987 224 230 233 264 242 245 247 253 Machinery (24 corps.) : Sales....................................... 25,364 29,512 32,721 35,660 38,719 8,371 8,864 8,907 9,517 8,957 9,757 10,542 9,463 Profits before taxes............... 3,107 3,612 3,482 4,134 4,377 936 1,008 1,112 1,079 1,071 1,167 1,141 998 Profits after taxes................. 1,626 1,875 1,789 2,014 2,147 448 499 537 531 526 576 568 477 Dividends.............................. 774 912 921 992 1,128 247 248 248 249 270 271 293 294 Automobiles and equipment (14 corps.): Sales....................................... 42,712 43,641 42,306 50,526 52,290 12,343 13,545 9,872 14,767 13,328 13,638 11,300 14,024 6,253 5,274 3,906 5,916 5,268 1,507 1,851 640 1,918 1,663 1,542 652 1,411 Profits after taxes................. 3,294 2,877 1,999 2,903 2,604 783 847 330 943 806 750 342 706 1,890 1,775 1,567 1,642 1,723 364 364 364 550 365 436 366 556 Public utility Railroad: Operating revenue................ 10,208 10,661 10,377 10,859 11,451 2,611 2,758 2,708 2,782 2,741 2,916 2,836 2,958 Profits before taxes............... 979 1,094 385 678 683 127 206 149 196 128 220 149 186 Profits after taxes.................. 815 906 319 565 461 112 174 110 169 98 173 98 92 Dividends.............................. 468 502 538 515 488 117 132 100 166 116 136 100 136 Electric power: Operating revenue................ 15,816 16,959 17,954 19,421 21,075 5,106 4,553 4,869 4,892 5,480 4,913 5,370 5,312 Profits before taxes............... 4,213 4,414 4,547 4,789 4,938 1,351 1,040 1,271 1,125 1,384 1,065 1,366 1,123 Profits after taxes................. 2,586 2,749 2,908 3,002 3,186 863 641 764 733 873 707 827 779 Dividends.............................. 1,838 1,938 2,066 2,201 2,299 539 555 543 565 580 577 561 581 Telephone: Operating revenue................ 11,320 12,420 13,311 14,430 16,057 3,486 3,544 3,629 3,771 3,853 3,975 4,044 4,185 Profits before taxes............... 3,185 3,537 3,694 3,951 4,098 971 989 990 1,001 1,070 1,043 979 1,006 Profits after taxes................. 1,718 1,903 1,997 1,961 2,080 525 441 493 502 540 523 497 520 Dividends.............................. 1,153 1,248 1,363 1,428 1,493 351 318 396 363 368 371 373 381 1 Manufacturing figures reflect changes by a number of companies in profits before taxes are partly estimated by the Federal Reserve to include accounting methods and other reporting procedures. affiliated nonelectric operations. 2 Includes 17 corporations in groups not shown separately. Telephone: Data obtained from Federal Communications Commis­ 3 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 two affiliated telephone companies. Dividends are for the 20 Railroads: Interstate Commerce Commission data for Class I line- operating subsidiaries and the two 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. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ BUSINESS FINANCE A 49 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 ts d C d e i a n v s d i h ­ s t U r p i r b n o u d fi t i t e s s d ­ co c a n a l ti 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 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 ts d C d e i a n v s d i h ­ s t U r 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 p o o u n i w t m a ­ l p ­ ances1 ances 1 1962.............. 55.4 24.2 31.2 15.2 16.0 30.1 1968—III... 91.5 41.4 50.0 23.6 26.5 46.2 1963.............. 59.4 26.3 33.1 16.5 16.6 31.8 IV... 94.5 42.9 51.6 23.8 27.8 46.7 1964.............. 66.8 28.3 38.4 17.8 20.6 33.9 1969—1.... 95.5 43.9 51.7 23.8 27.9 47.7 1965.............. 77.8 31.3 46.5 19.8 26.7 36.4 II.... 95.4 44.1 51.3 24.3 27.0 48.6 1966.............. 84.2 34.3 49.9 20.8 29.1 39.5 III... 92.5 42.8 49.7 24.9 24.9 49.6 1967.............. 80.3 33.0 47.3 21.5 25.9 42.6 IV... 91.4 42.4 49.0 25.2 23.8 50.5 1968.............. 91.1 41.3 49.8 23.1 26.7 45.9 1969.............. 93.7 43.3 50.5 24.6 25.9 49.1 1970—1___ 85.6 39.1 46.5 25.2 21.3 51.5 * 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 . , i Other taxes 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.............................. 170.0 372.2 47.3 18.6 3.4 169.9 113.5 19.6 202.2 2.7 140.3 17.0 42.2 1965.............................. 180.7 410.2 49.9 17.0 3.9 190.2 126.9 22.3 229.6 3.1 160.4 19.1 46.9 1966.............................. 188.2 442.6 49.3 15.4 4.5 205.2 143.1 25.1 254.4 4.4 179.0 18.3 52.8 1967.............................. 198.8 463.1 51.4 12.2 5.1 214.6 152.3 27.6 264.3 5.8 186.4 14.6 57.4 1968—III..................... 208.7 491.5 51.9 12.6 4.8 229.4 162.1 30.8 282.7 6.3 196.8 15.1 64.6 IV...................... 212.4 506.3 55.1 13.7 5.1 235.6 164.6 32.2 293.9 6.4 205.2 16.8 65.4 1969—1........................ 215.0 515.7 51.9 15.4 4.8 239.8 169.2 34.6 300.8 6.9 206.1 19.1 68.8 II....................... 216.3 526.7 52.6 13.0 4.8 247.1 174.0 35.3 310.4 7.2 215.3 15.4 72.5 Ill..................... 214.6 536.8 51.2 11.8 4.6 254.7 178.7 35.7 322.2 7.5 222.9 16.4 75.4 IV..................... 214.2 547.9 52.1 12.2 4.8 259.4 183.4 36.1 333.8 7.3 233.0 17.0 76.4 1970—1........................ 214.4 553.0 50.2 12.0 4.7 262.8 186.7 36.7 338.6 7.2 233.1 18.6 79.7 1 Receivables from, and payables to, the U.S. Govt, exclude amounts Note.—Securities and Exchange Commission estimates; excludes offset against each other on corporations’ books. banks, savings and loan assns., insurance companies, and investment companies. BUSINESS EXPENDITURES ON NEW PLANT AND EQUIPMENT (In billions of dollars) Manufacturing Transportation Public utilities Period Total Durable d N ur o a n bl ­ e Mining R ro a a i d l­ Air Other Electric and G a o s t her n C i o ca m ti m on u s ­ Other1 a T ( n r S a o n . t t A u e a ) a . l l 1963....................... 40.77 7.53 8.70 1.27 1.26 .40 1.58 3.67 1.31 4.06 10.99 1964....................... 46.97 9.28 10.07 1.34 1.66 1.02 1.50 3.97 1.51 4.61 12.02 1965....................... 54.42 11.50 11.94 1.46 1.99 1.22 1.68 4.43 1.70 5.30 13.19 1966....................... 63.51 14.96 14.14 1.62 2.37 1.74 1.64 5.38 2.05 6.02 14.48 1967....................... 65.47 14.06 14.45 1.65 1.86 2.29 1.48 6.75 2.00 6.34 14.59 1968....................... 67.76 14.12 14.25 1.63 1.45 2.56 1.59 7.66 2.54 6.83 15.14 1969....................... 75.56 15.96 15.72 1.86 1.86 2*51 1.68 8.94 2.67 8.30 16.05 19702..................... 81.45 16.44 16.42 1.88 1.99 3.16 1.51 11.03 2.55 9.57 16.90 1968—III............... 16.79 3.54 3.59 .39 .31 .64 .41 1.87 .74 1.61 3.69 67.77 IV............... 19.03 4.16 3.94 .40 .38 .66 .47 2.16 .74 2.00 4.13 69.05 1969—1................. 16.04 3.36 3.22 .42 .38 .68 .38 1.88 .48 1.81 3.41 72.52 II................ 18.81 3.98 3.84 .48 .44 .66 .46 2.22 .77 2.00 3.97 73.94 Ill............... 19.25 4.03 4.12 .47 .49 .53 .40 2.23 .80 2.11 4.07 77.84 IV............... 21.46 4.59 4.53 .49 .55 .64 .44 2.61 .62 2.39 4.60 77.84 1970—1................. 17.47 3.59 3.56 .45 .42 .73 .28 2.15 .39 2.14 3.76 78.22 II2.............. 20.46 4.17 4.09 .46 .50 .86 .38 2.84 .64 6.52 80.66 Ill2............. 20.62 4.15 4.11 .48 .53 .78 .35 2.92 .88 6.42 83.28 1 Includes trade, service, construction, finance, and insurance. Note.—Dept, of Commerce and Securities and Exchange Commission 2 Anticipated by business. estimates for corporate and noncorporate business; excludes agriculture, real estate operators, medical, legal, educational, and cultural service, and nonprofit organizations. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 50 REAL ESTATE CREDIT □ JULY 1970 MORTGAGE DEBT OUTSTANDING (In billions of dollars) All properties Farm Nonfarm Other 1- to 4-family houses4 Multifamily and Mortgage holders2 commercial properties 5 type® E pe n r d i o o d f h A e o r l l s d l ­ t F u i t n i c i n i s o a a t n l i n ­ s ­ 1 a U c g i . e e S n s . ­ v o I i a t n d h n u d e d a i r ­ l s s h e o r l s d­ t F u i t i c n i n i o s a a t n l i n ­ s ­ 1 h e o r l s d 3 ­ h A e o A r l l s I d lf ­ 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 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 er ­ F w u H V n ri d A A tt e e — - r n - t C v io 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 1964.......... 300.1 241.0 11.4 47.7 18.9 7.0 11.9 281.2 197.6 170.3 27.3 83.6 63.7 19.9 77.2 204.0 1965.......... 325.8 264.6 12.4 48.7 21.2 7.8 13.4 304.6 212.9 184.3 28.7 91.6 72.5 19.1 81.2 223.4 1966.......... 347.4 280.8 15.8 50.9 23.3 8.4 14.9 324.1 223.6 192.1 31.5 100.5 80.2 20.3 84.1 240.0 1967P........ 370.2 298.8 18.4 53.0 25.5 9.1 16.3 344.8 236.1 201.8 34.2 108.7 87.9 20.9 88.2 256.6 1968P....... 397.5 319.9 21.7 55.8 27.5 9.7 17.8 370.0 251.2 213.1 38.1 118.7 97.1 21.6 92.8 277.2 1967—IV*. 370.2 298.8 18.4 53.0 25.5 9.1 16.3 344.8 236.1 201.8 34.2 108.7 87.9 20.9 88.2 256.6 1968—I*... 375.8 302.6 19.6 53.5 26.0 9.3 16.7 349.8 239.1 203.7 35.4 110.6 89.6 21.0 89.4 260.4 II*.. 382.9 308.1 20.6 54.2 26.7 9.6 17.1 356.1 243.2 206.7 36.5 112.9 91.8 21.2 90.7 265.4 III*. 389.8 313.5 21.1 55.1 27.2 9.6 17.5 362.6 247.0 209.7 37.3 115.6 94.1 21.5 92.0 270.6 IV*. 397.5 319.9 21.7 55.8 27.5 9.7 17.8 370.0 251.2 213.1 38.1 118.7 97.1 21.6 92.8 277.2 1969—1*... 403.7 324.7 22.6 56.4 28.1 9.8 18.3 375.7 254.8 216.0 38.8 120.9 98.9 21.9 94.5 281.2 II*.. 411.7 331.0 23.4 57.1 28.8 10.1 18.7 382.9 259.5 219.9 39.5 123.4 101.0 22.4 96.6 286.3 III*. 418.7 335.7 24.9 58.1 29.2 10.1 19.1 389.5 263.4 222.5 40.9 126.0 103.1 22.9 98.5 291.0 IV*. 425.3 339.1 26.8 59.4 29.4 10.0 19.4 395.9 266.8 223.6 43.2 129.0 105.5 23.5 100.2 295.7 1970—1*. 429.5 29.8 399.7 268.7 130.8 1 Commercial banks (including nondeposit trust companies but not 5 Derived figures; includes small amounts of farm loans held by savings trust depts.), mutual savings banks, life insurance companies, and savings and loan assns. and loan assns. 6 Data by type of mortgage on nonfarm 1- to 4-family properties alone 2 U.S. agencies include former FNMA and, beginning fourth quarter are shown on second page following. 1968, new GNMA as well as FHA, VA, PHA, Farmers Home Admin., and in earlier years, RFC, HOLC, and FFMC. They also include U.S. Note.—Based on data from Federal Deposit Insurance Corp., Federal sponsored agencies—new FNMA and Federal land banks. Other agencies Home Loan Bank Board, Institute of Life Insurance, Depts. of Agricul­ (amounts small or current separate data not readily available) included ture and Commerce, Federal National Mortgage Assn., Federal Housing with “individuals and others.” Admin., Public Housing Admin., Veterans Admin., and Comptroller of 3 Derived figures; includes debt held by Federal land banks and farm the Currency. debt held by Farmers Home Admin. Figures for first three quarters of each year are F.R. estimates. 4 For multifamily and total residential properties, see p. A-52. MORTGAGE LOANS HELD BY BANKS (In millions of dollars) Commercial bank holdings 1 Mutual savings bank holdings 2 Residential Residential End of period Other Other Total non­ Farm Total non­ Farm Con­ farm FHA- VA- Con­ farm Total guar­ ven­ Total in­ guar- ven­ 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 24 196 4 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 53 196 5 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 52 196 6 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 53 196 7 59.019 37.642 7.709 2.696 27.237 17.931 3.446 50.490 44.641 15.074 11.795 17.772 5.732 117 196 8 65.696 41.433 7.926 2.708 30.800 20.505 3,758 53.456 46.748 15.569 12.033 19.146 6.592 117 1967—II. 55,731 35,487 7,396 2,495 25,596 16,970 3,274 48,893 43,526 14,947 11,768 16,811 5,316 51 Ill 57,482 36,639 7,584 2,601 26,454 17,475 3,368 49,732 44,094 15,016 11,785 17,293 5,526 112 IV. 59.019 37.642 7.709 2.696 27.237 17.931 3.446 50.490 44.641 15.074 11.795 17.772 5.732 117 1968—I.. 60,119 38,157 7,694 2,674 27,789 18,396 3,566 51,218 45,171 15,179 11,872 18,120 5,931 116 II. 61,967 39,113 7,678 2,648 28,787 19,098 3.756 51,793 45,570 15,246 11,918 18,406 6,108 115 Ill 63,779 40,251 7,768 2,657 29,826 19,771 3.757 52,496 46,051 15,367 11,945 18,739 6,329 116 IV. 65.696 41.433 7.926 2.708 30.800 20.505 3.758 53.456 46.748 15.569 12.033 19.146 6.592 117 1969—1.. 67,146 42,302 7,953 2,711 31,638 20,950 3,894 54,178 47,305 15,678 12,097 19,530 6,756 117 II. 69,079 43,532 8,060 2.743 32,729 21,459 4,088 54,844 47,818 15,769 12,151 19.898 6,908 117 III 70,336 44,331 8,065 2,793 33,470 21,924 4,081 55,359 48,189 15,813 12,169 20,207 7,053 117 IV 70,705 44,573 7,960 2,663 33,950 22,113 4,019 56,138 48,682 15,862 12,166 20,654 7,342 114 1970—Ip. 70,954 56,433 1 Includes loans held by nondeposit trust companies, but not bank States and possessions. First and third quarters, estimates based on FDIC trust depts. data for insured banks for 1962 and part of 1963 and on special F.R. inter­ 2 Data for 1941 and 1945, except for totals, are special F.R. estimates. polations thereafter. For earlier years, the basis for first- and third-quarter estimates included F.R. commercial bank call report data and data from Note.—Second and fourth quarters, Federal Deposit Insurance Corpo­ the National Assn. of Mutual Savings Banks. ration series for all commercial and mutual savings banks in the United Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ REAL ESTATE CREDIT A 51 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 i Farm 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 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 6,030 866 50,544 46,752 10,756 6,401 29,595 3,792 1964.............................................. 10,433 9,386 1,812 674 6,900 1,047 55,152 50,848 11,484 6,403 32,961 4,304 1965.............................................. 11,137 9,988 1,738 553 7,697 1,149 60,013 55,190 12,068 6,286 36,836 4,823 1966.............................................. 10,217 9,223 1,300 467 7,456 994 64,609 59,369 12,351 6,201 40,817 5,240 1967.............................................. 8,470 7,633 757 444 6,432 837 67,516 61,947 12,161 6,122 43,664 5,569 1968.............................................. 7,925 7,153 719 346 6,088 772 69,973 64,172 11,961 5,954 46,257 5,801 1969.............................................. 7,200 6,658 602 199 5,857 542 72,031 66,257 11,690 5,669 48,898 5,774 1969—Apr.................................... 607 549 48 24 477 58 70,661 64,855 11,924 5,919 47,012 5,806 May................................... 556 496 55 19 422 60 70,820 64,993 11,903 5,900 47,190 5,827 June................................... 556 498 55 20 423 58 70,964 65,114 11,882 5,879 47,353 5,850 July................................... 593 557 49 6 502 36 71,079 65,226 11,845 5,819 47,562 5,853 Aug.................................... 532 495 44 13 438 37 71,250 65,388 11,824 5,799 47,765 5,862 Sept................................... 576 553 41 14 498 23 71,429 65,564 11,797 5,775 47,992 5,865 Oct..................................... 688 663 47 9 607 25 71,569 65,766 11,777 5,744 48,245 5,803 Nov................................... 464 446 39 8 399 18 71,710 65,915 11,762 5,720 48,433 5,795 Dec.................................... 803 774 48 8 718 29 72,127 66,353 11,744 5,697 48,912 5,774 1970—Jan..................................... 599 572 34 8 530 27 72,340 66,621 11,696 5,660 49,265 5,719 Feb.................................... 1,163 1,113 61 14 1,038 50 72,527 66,836 11,675 5,638 49,523 5,691 Mar................................... 576 546 24 12 510 30 72,616 66,943 11,642 5,636 49,665 5,673 Apr.................................... 555 524 31 4 458 31 72,793 67,121 11,621 5,672 49,891 5,672 1 Include mortgage loans secured by land on which oil drilling or the end-of-Dec. figures may differ from end-of-year figures because (1) extracting operations are in process. monthly figures represent book value of ledger assets, whereas year-end figures represent annual statement asset values, and (2) data for year-end Note.—Institute of Life Insurance data. For loans acquired, the adjustments are more complete. Beginning 1970 monthly and year ago monthly figures may not add to annual totals; and for loans outstanding data are on a statement balance basis. MORTGAGE ACTIVITY OF SAVINGS AND FEDERAL HOME LOAN BANKS LOAN ASSOCIATIONS (In millions of dollars) (In millions of dollars) Advances outstanding Loans made Loans outstanding (end of period) (end of period) Period va A n d c ­ es R m e e p n a ts y­ M de e p m o b s e it r s s' New Total Short­ Long­ Period home Home FHA- VA- Con­ term * term 2 Total» con­ pur­ Total2 in- 8uar- ven­ struc­ chase sured anteed tional tion 1945, 278 213 195 176 19 46 1963. 5,601 4,296 4,784 2,863 1,921 1,151 1945 .......... 1,913 181 1,358 5,376 1964. 5,565 5,025 5,325 2,846 2,479 1,199 1965, 5,007 4,335 5,997 3,074 2,923 1,043 1963............. 25,173 7,185 10,055 90,944 4,696 6,960 79,288 1966. 3,804 2,866 6,935 5,006 1,929 1,036 1964.............. 24,913 6,638 10,538 101,333 4,894 6,683 89,756 1 1 9 9 6 6 6 5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 1 4 6 , , 1 9 9 2 2 4 6 3, , 6 01 53 3 1 7 0 , , 8 8 2 3 8 0 1 1 1 1 4 0 , , 4 3 2 0 7 6 5 5 , , 1 2 4 6 5 9 6 6, ,3 15 9 7 8 1 9 0 8 3 , , 7 0 6 01 3 1 1 9 9 6 6 7 8 . . 2 1 , , 7 52 3 7 4 4 1 , , 0 86 7 1 6 4 5 , , 3 25 8 9 6 3 4 , ,8 98 6 5 7 4 3 0 9 1 2 1 1 , , 3 4 8 3 2 2 1969. 5,531 1,500 9,289 8,434 855 1,041 1967.............. 20,122 4,243 9,604 121,805 5,791 6,351 109,663 1 19 9 6 6 9 8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 2 1 1 , , 9 8 8 3 3 2 4 4 , , 9 7 1 5 6 6 1 1 1 1 , , 2 2 1 4 5 4 1 1 4 3 0 0 , , 2 8 0 0 9 2 7 6, , 6 9 5 1 8 0 7 7 , , 6 0 5 1 3 2 1 1 1 2 7 4 , , 1 6 3 4 2 6 1969- J J u u n ly e . . . . . . . . . . . . . . . . . . . . . . . 7 5 3 5 2 1 7 9 4 1 1 7 2 1 2 8 0 7 5 6 , , , 9 0 4 7 5 1 1 3 3 6 5 6 , , , 6 5 0 4 5 6 7 4 4 4 3 3 8 5 2 9 9 4 1 1 , , 2 2 9 0 7 2 1 6 7 1969—May.. 2,146 482 1,113 135,026 7,245 7,354 120,427 630 139 7,544 6,872 672 847 June.. 2,415 495 1,345 136,242 7,402 7,408 121,432 451 55 7,940 7,273 667 891 July... 1,974 421 1,091 137,107 7,522 7,468 122,117 637 138 8,439 7,779 660 865 Aug... 1,918 393 1,089 137,951 7,607 7,538 122,806 552 189 8,802 7,946 856 938 Sept... 1,728 377 936 138,618 7,694 7,570 123,354 Dec............ 564 77 9,289 8,434 855 1,041 Oct.... 1,698 365 862 139,226 7,770 7,600123,865 Nov... 1,330 286 652 139,676 7,822 7,616 124,238 1970—Jan............. 708 145 9,852 8,744 1,108 786 Dec... 1,508 300 687 140,209 7,910 7,653 124,646 Feb............. 384 299 9,937 8,717 1,220 801 136 388 9,745 8,501 1,243 985 1970—Jan.... 1,064 220 530 140,345 7,937 7,669 124,739 393 278 9,860 7,721 2,138 1,108 Feb.. . 1,042 223 502 140,568 8,000 7,680 124,888 240 92 10,008 7,031 2,997 1,188 Mar... 1,262 284 585 140,766 8,092 7,677 124,997 Apr... 1,400 325 627 141,252 8,184 7,712 125,356 MayP. 1,572 369 741 141,964 8,322 7,762 125,880 1 Secured or unsecured loans maturing in 1 year or less. 2 Secured loans, amortized quarterly, having maturities of more than 1 year but not more than 10 years. not 1 I s n h c o l w ud n e s s e l p o a a r n a s te f ly o . r repairs, additions and alterations, refinancing, etc., Note.—Federal Home Loan Bank Board data. 2 Beginning with 1958, includes shares pledged against mortgage loans; beginning with 1966, includes junior liens and real estate sold on contract; and beginning with 1967, includes downward structural adjustment for change in universe. Note,—Federal Home Loan Bank Board data. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 52 REAL ESTATE CREDIT □ JULY 1970 MORTGAGE DEBT OUTSTANDING MORTGAGE DEBT OUTSTANDING ON ON RESIDENTIAL PROPERTIES NONFARM 1- to 4-FAMILY PROPERTIES (In billions of dollars) (In billions of dollars) All residential Multifamily l Governmentunderwritten Con­ E pe n r d io o d f Total t F u in i c t n i i s o a a t l i n n ­ s ­ h O ol t d h e e r r s Total t F u i i c n t n i i s a o a t l i n n ­ s ­ h O ol t d h e e r r s End of period Total Total F su H in re A - d - an g V t u e A a e r - d ­ 1 ti v o e n n a ­ l 1 1 1 9 9 9 4 4 6 1 5 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 2 2 1 4 4 1 . . . 3 2 2 1 1 1 7 4 5 6 . . . 9 7 7 3 9 8 4 . . .5 4 6 2 5 5 9 . . . 9 7 0 2 3 3 0 . . . 5 6 7 2 2 8 . . .3 2 2 1 1 1 9 9 9 5 6 6 3 4 4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 1 8 9 8 2 7 . . . 6 6 2 6 6 4 5 9 . . . 3 9 2 3 3 4 8 5 . . . 1 3 0 3 3 0 0 . . . 9 9 2 1 1 1 1 2 4 6 8 . . . 3 3 3 1964............... 231.1 195.4 35.7 33.6 25.1 8.5 1965............................... 212.9 73.1 42.0 31.1 139.8 1 1 1 9 9 9 6 6 6 7 6 5 * . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 2 2 5 6 8 0 4 0 . . . 1 0 0 2 2 2 1 2 3 3 3 6 . . . 7 2 6 4 4 3 0 3 6 . . . 3 9 4 4 4 3 0 3 7 . . . 3 9 2 2 3 3 9 1 4 . . . 5 7 0 9 8 8 . . . 2 8 2 1 1 1 9 9 9 6 6 6 7 8 6 P P .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 2 2 3 2 5 6 3 1 . . . 1 6 2 7 7 8 6 9 3 . . . 1 9 8 4 4 5 4 7 0 . . . 8 6 4 3 3 3 1 2 3 . . . 3 5 2 1 1 1 5 4 6 6 7 7 . . . 1 6 4 1968p............. 298.6 250.8 47.8 47.3 37.7 9.6 1966—IV....................... 223.6 76.1 44.8 31.3 147.6 1967—IIIp. . . 280.0 236.6 43.4 43.9 34.7 9.2 1967—IIIp..................... 232.0 78.3 46.6 31.7 153.7 1968—1^ .... 283.7 239.0 44.7 44.6 35.3 9.3 IVp..................... 236.1 79.9 47.4 32.5 156.1 IIP.... 288.5 242.7 45.8 45.3 35.9 9.4 I I V II p p . . . . . . . 2 29 9 3 8 . . 3 6 2 2 5 4 0 6 . . 8 4 4 4 7 6 . . 8 9 4 4 7 6 . . 3 2 3 37 6 . . 7 7 9 9 . . 5 6 1968— I I I p P . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 2 4 39 3 . . 1 2 8 8 2 1 . . 1 0 4 4 8 8 . . 1 7 3 32 3 . . 9 4 1 1 5 6 8 1. .1 1 IIIp..................... 247.0 83.2 49.6 33.6 163.8 1969—Ip , , . 303.0 254.4 48.6 48.3 38.4 9.9 IVp..................... 251.2 83.8 50.6 33.2 167.4 IIP.. .. 309.2 259.3 49.9 49.4 39.3 10.1 I I V II p p . . .. . . . 3 3 1 1 4 9 . . 1 0 2 2 6 6 2 5 . . 7 0 5 51 4 . . 4 0 5 52 0 . . 1 6 4 4 0 1 . . 2 3 1 10 0 . . 8 4 1969— I I I I I p P I . p . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 2 2 5 6 5 4 3 9 . . . 5 8 5 8 8 8 7 5 8 . . . 1 3 8 5 5 5 1 2 3 . . . 4 2 4 3 3 3 3 4 5 . . . 9 9 4 1 1 1 6 7 7 9 2 4 . . . 5 3 6 1970—Ip........ 321.8 53.1 IVp..................... 266.8 90.1 54.5 35.6 176.9 1970—Ip........................ 268.7 91.6 55.6 36.0 177.2 i Structures of five or more units. sta N nd o i t n e g .— ” t B a a b s l e e d ( s o e n c o d n a d t a p r f e ro ce m d i s n a g m p e a g s e o ) u . rce as for “Mortgage Debt Out­ inv 1 e I s n to c r l s u d u e n s d o er u t r s e t p an ur d c i h n a g s e a m ag o r u e n e t m o e f n t V . A vendee accounts held by private Note.—For total debt outstanding, figures are FHLBB and F.R. estimates. For conventional, figures are derived. Based on data from Federal Home Loan Bank Board, Federal Housing Admin., and Veterans Admin. GOVERNMENT-UNDERWRITTEN RESIDENTIAL LOANS MADE (In millions of dollsirs) FHA-insured VA-guaranteed DELINQUENCY RATES ON HOME MORTGAGES (Per 100 mortgages held or serviced) Mortgages Mortgages Period Prop­ Pro­ erty Loans not in foreclosure Total h N o e m w es h is o E t m i x n ­ e g s jects 1 m pr i e m o n v ­ t e s ­ 2 Total3 h N om ew es h is o E t m i x n ­ e g s End of period but delinquent for— L c o l f o a o s n r u e s r ­ e in Total 30 days 60 days o 9 r 0 m da o y r s e 1945............ 665 257 217 20 171 192 1964............ 8,130 1,608 4,965 895 663 2,846 1,023 1,821 1963............... 3.30 2.32 .60 .38 .34 1965............ 8,689 1,705 5,760 591 634 2,652 876 1,774 1964............... 3.21 2.35 .55 .31 .38 1966........... 7,320 1,729 4,366 583 641 2,600 980 1,618 1967............ 7,150 1,369 4,516 642 623 3,405 1,143 2,259 1965............... 3.29 2.40 .55 .34 .40 1968............ 8,275 1,572 4,924 1,123 656 3,774 1,430 2,343 1966............... 3.40 2.54 .54 .32 .36 1969............ 9,129 1,551 5,570 1,316 693 4,072 1,493 2,579 1967............... 3.47 2.66 .54 .27 .32 1968............... 3.17 2.43 .51 .23 .26 1969—Apr.. 681 113 428 82 57 301 111 191 1969............... 3.22 2.43 .52 .27 .27 May. 704 111 409 123 62 323 115 208 June. 787 121 475 134 58 308 99 209 1966—1.......... 3.02 2.13 .55 .34 .38 July.. 869 140 518 127 85 356 122 234 II........ 2.95 2.16 .49 .30 .38 Aug.. 791 130 501 92 68 385 126 259 III.... 3.09 2.25 .52 .32 .36 Sept.. 872 148 566 95 63 364 134 230 IV___ 3.40 2.54 .54 .32 .36 Oct... 911 160 553 140 59 397 148 249 Nov.. 705 131 430 90 55 328 125 203 1967—1.......... 3.04 2.17 .56 .31 .38 Dec.. 793 148 448 146 50 317 134 183 II....... 2.85 2.14 .45 .26 .34 III. ... 3.15 2.36 .52 .27 .31 1970—Jan... 807 178 433 139 58 313 139 174 IV___ 3.47 2.66 .54 .27 .32 Feb.. 643 141 361 109 32 235 107 128 May. 780 176 406 157 42 257 114 143 1968—1.......... 2.84 2.11 .49 .24 .32 Apr 176 385 232 97 135 II........ 2.89 2.23 .44 .22 .28 III. ... 2.93 2.23 .48 .22 .26 IV___ 3.17 2.43 .51 .23 .26 1 Monthly figures do not reflect mortgage amendments included in annual totals. 1969—1.......... 2.77 2.04 .49 .24 .26 2 Not ordinarily secured by mortgages. 2.68 2.06 .41 .21 .25 3 Includes a small amount of alteration and repair loans, not shown separ­ Ill.... 2.91 2.18 .47 .26 .25 ately; only such loans in amounts of more than $1,000 need be secured. IV___ 3.22 2.43 .52 .27 .27 Note.—Federal Housing Admin, and Veterans Admin, data. FHA-insured loans represent gross amount of insurance written; VA-guaranteed loans, Note.—Mortgage Bankers Association of America data from gross amounts of loans closed. Figures do not take into account principal reports on 1- to 4-family FHA-insured, VA-guaranteed, and con­ repayments on previously insured or guaranteed loans. For VA-guaranteed ventional mortgages held by more than 400 respondents, including loans, amounts by type are derived from data on number and average mortgage bankers (chiefly), commercial banks, savings banks, and amount of loans closed. savings and loan associations. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ REAL ESTATE CREDIT A 53 GOVERNMENT NATIONAL MORTGAGE FEDERAL NATIONAL MORTGAGE ASSOCIATION ACTIVITY ASSOCIATION ACTIVITY (In millions of dollars) (In millions of dollars) Mortgage Mortgage Mortgage Mortgage Mortgage Mortgage holdings transactions commitments holdings transactions commitments (during (during End of period) End of period) period period Total F su H in r A e ­ d - a g n V u t A e a e r - - d c P ha u s r e ­ s Sales d p M u er r a i i d o n e d g st O i a n n u g d t ­ Total F su H in re A ­ d - a g V n u t A e a e r - - d c P ha u s r e ­ s Sales d p M u er r a i i d o n e d g st O i a n n u g d t ­ 196 6 2,667 2,062 604 620 371 491 1966 4,396 3,345 1,051 2,081 1,920 214 196 7 3,348 2,756 592 860 ,045 1,171 1967 5,522 4,048 1,474 1,400 12 1,736 501 196 8 4,220 3,569 651 1,089 867 1,266 1968 7,167 5,121 2,046 1,944 697 1,287 196 9 4.820 4.220 600 827 615 1,130 1969 10.950 7.680 3.270 4,121 |630 3.539 1969-May, 4,395 3,764 631 61 71 1,321 1969--May.. 7,998 5,678 2,320 176 532 2,237 June, 4,442 3,816 626 70 71 1,322 June.. 8,175 5,802 2,373 209 561 2,578 July., 4,493 3,871 622 68 55 1,304 July... 8,417 5,975 2,442 269 785 3,088 Aug., 4,552 3,935 617 77 33 1,266 Aug... 8,887 6.304 2,583 497 599 3,181 Sept. 4,614 4,001 613 80 41 1 ,237 Sept... 9,326 6,602 2,724 468 703 3,402 Oct.. 4,680 4,072 608 84 51 1,212 Oct__ 9,850 6,950 2,900 554 813 3,594 Nov. 4,739 4,135 604 77 39 1,171 Nov...10,386 7.305 3,081 564 460 3,465 Dec.. 4.820 4.220 600 99 54 1,130 Dec.. . 10.950 7.680 3.270 593 683 3.539 1970-Jan.., 4,862 4,266 596 59 34 1,098 1970-Jan__ 11,513 8,062 3,452 592 836 3,694 Feb. 4,903 4,311 592 58 24 1,057 Feb... 12,005 8,392 3,613 522 816 3,933 Mar. 4,938 4,350 588 53 95 1,014 Mar... 12,499 8,739 3,760 526 696 4,108 Apr. 4,965 4,381 584 44 48 970 Apr... 12,949 9,069 3,880 485 592 4,152 May, 5,006 4,426 580 62 48 925 May.. 13,287 9,324 3,962 374 817 4,510 Note.—Government National Mortgage Assn. data. Data prior to Note.—Federal National Mortgage Assn. data. Data prior to Sept. Sept. 1968 relate to Special Assistance and Management and Liquidating 1968 relate to secondary market portfolio of former FNMA. Mortgage portfolios of former FNMA and include mortgages subject to participation commitments made during the period include some multifamily and non­ pool of Government Mortgage Liquidation Trust, but exclude conven­ profit hospital loan commitments in addition to 1- to 4- family loan com­ tional mortgage loans acquired by former FNMA from the RFC Mortgage mitments accepted in FNMA’s free market auction system. Co., the Defense Homes Corp., the Public Housing Admin., and Com­ munity Facilities Admin. HOME-MORTGAGE YIELDS FEDERAL NATIONAL MORTGAGE ASSOCIATION ACTIVITY UNDER FREE MARKET SYSTEM (In per cent) Primary market Secondary Implicit yield, by (conventional loans) market Mortgage amounts commitment period (in months) FHA series FHLBB series Yield Date Accepted Period (effective rate) on FHA- of insured auction new By commitment New Existing h N om ew es l h o o a m ns e Offered Total period (in months) 3 6 12-18 homes homes 3 6 12-18 1966....................... 6.25 6.41 6.40 6.38 1967....................... 6.46 6.52 6.53 6.55 In millions of dollars In per cent 1968....................... 6.97 7.03 7.12 7.21 1969....................... 7.81 7.82 7.99 8.26 1969—June........... 7.76 7.79 8.00 8.35 1970—Apr. 6.. 268.4 190.2 41.0 121.4 27.8 9.05 9.07 9.10 July............ 7.91 7.94 8.10 8.36 20.. 315.7 185.2 54.0 98.2 33.0 9.02 9.04 9.10 Aug............ 8.00 8.05 8.20 8.36 Sept............ 8.05 8.08 8.25 8.40 May 4.. 443.3 195.5 43.5 121.1 38.9 9.01 9.04 9.10 Oct............. 8.13 8.13 8.30 8.48 11.. 269.2 102.2 26.0 63.2 13.0 9.04 9.07 9.13 Nov............ 8.13 8.15 8.35 8.48 18.. 300.2 136.3 32.3 86.4 17.5 9.11 9.13 9.18 Dec............. 8.25 8.24 8.35 8.62 25.. 289.5 145.2 38.9 86.7 19.7 9.15 9.18 9.22 1970—jan............. 8.34 8.29 8.55 June 1.. 224.2 113.8 31.1 71.4 11.3 9.20 9.24 9.27 Feb............. 8.41 8.41 8.55 9.29 15.. 249.7 127.9 34.2 86.7 7.0 9.27 9.30 9.31 Mar............ 8.47 8.43 8.55 9.20 29.. 156.3 98.9 30.6 56.5 11.8 9.32 9.33 9.34 Apr............. 8.41 8.34 8.55 9.10 May........... 8.44 8.35 8.55 9.11 June........... 8.55 9.16 Note.—Implicit secondary market yields are gross—before deduction of 50basis-point fee paid for mortgage servicing. They reflect the average accepted bid price for Govt.-underwritten mortgages after adjustment by Federal Reserve Note.—Annual data are averages of monthly figures. The to allow for FNMA commitment fees and FNMA stock purchase and holding FHA data are based on opinion reports submitted by field offices requirements, assuming a prepayment period of 15 years for 30-year loans. Com­ on prevailing local conditions as of the first of the succeeding mitments for 12-18 months are for new homes only. month. Yields on FHA-insured mortgages are derived from Total accepted shown in parenthesis for most recent period indicates FNMA weighted averages of private secondary market prices for Sec. announced limit before the “auction” date. 203, 30-year mortgages with minimum downpayment and an assumed prepayment at the end of 15 years. Gaps in the data are due to periods of adjustment to changes in maximum per­ missible contract interest rates. The FHA series on average contract interest rates on conventional first mortgages in primary markets are unweighted and are rounded to the nearest 5 basis points. The FHLBB effective rate series reflects fees and charges as well as contract rates (as shown in the table on conventional first mortgage terms, p. A-35) and an assumed prepayment at end of 10 years. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 54 CONSUMER CREDIT a JULY 1970 TOTAL CREDIT (In millions of dollars) Instalment Noninstalment End of period Total Total m A pa o u p b t e o il r ­ e co g p O n o a s t o p h u d e m e s r r er e a r n l R n o d i e a z p n m a a s t o i i o r * d n ­ Pe lo rs 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 ic it 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 3,087 845 1,645 597 1945........................................ 5,665 2,462 455 816 182 1,009 3,203 746 1,612 845 1950........................................ 21,471 14,703 6,074 4,799 1,016 2,814 6,768 1,821 3,367 1,580 1955........................................ 38,830 28,906 13,460 7,641 1,693 6,112 9,924 3,002 4,795 2,127 1960........................................ 56,141 42,968 17,658 11,545 3,148 10,617 13,173 4,507 5,329 3,337 1964........................................ 80,268 62,692 24,934 16,333 3,577 17,848 17,576 6,874 6,195 4,507 1965........................................ 90,314 71,324 28,619 18,565 3,728 20,412 18,990 7,671 6,430 4,889 1966........................................ 97,543 77,539 30,556 20,978 3,818 22,187 20,004 7,972 6,686 5,346 1967........................................ 102,132 80,926 30,724 22,395 3,789 24,018 21,206 8,428 6,968 5,810 1968........................................ 113,191 89,890 34,130 24,899 3,925 26,936 23,301 9,138 7,755 6,408 1969........................................ 122,469 98,169 36,602 27,609 4,040 29,918 24,300 9,096 8,234 6,970 1969—May............................. 114,750 91,813 35,230 24,636 3,964 27,983 22,937 9,218 6,971 6,748 June............................. 115,995 93,087 35,804 24,956 4,022 28,305 22,908 9,227 7,002 6,679 July............................. 116,597 93,833 36,081 25,172 4,039 28,541 22,764 9,120 7,039 6,605 Aug.............................. 117,380 94,732 36,245 25,467 4,063 28,957 22,648 9,073 6,988 6,587 Sept.............................. 118,008 95,356 36,321 25,732 4,096 29,207 22,652 9,075 7,005 6,572 Oct............................... 118,515 95,850 36,599 25,855 4,084 29,312 22,665 9,025 7,085 6,555 Nov............................. 119,378 96,478 36,650 26,223 4,076 29,529 22,900 9,000 7,238 6,662 Dec.............................. 122,469 98,169 36,602 27,609 4,040 29,918 24,300 9,096 8,234 6,970 1970—Jan............................... 121,074 97,402 36,291 27,346 3,991 29,774 23,672 9,092 7,539 7,041 Feb.............................. 120,077 96,892 36,119 26,987 3,970 29,816 23,185 9,074 6,789 7,322 Mar.............................. 119,698 96,662 36,088 26,814 3,951 29,809 23,036 9,054 6,645 7,337 Apr.............................. 120,402 97,104 36,264 26,850 3,960 30,030 23,298 9,102 6,900 7,296 May............................. 121,346 97,706 36,455 27,055 4,003 30,193 23,640 9,159 7,273 7,208 1 Holdings of financial institutions; holdings of retail outlets are in- loans. For back figures and description of the data, see‘‘Consumer Credit,” eluded in "other consumer goods paper.” Section 16 (New) of Supplement to Banking and Monetary Statistics, 1965, Note.—Consumer credit estimates cover loans to individuals for house- anc* I^ec- 1968 Bulletin, pp. 983-1003. hold, family, and other personal expenditures, except real estate mortgage INSTALMENT CREDIT (In millions of dollars) Financial institutions Retail outlets End of period Total Total m C e o rc m ia ­ l fi S n a a l n e c s e u C n r i e o d n i s t s C um on e ­ r Other i Total m A o u b to il ­ e O re t t h a e il r banks cos. finance1 dealers2 outlets 1939........................................ 4,503 3,065 1,079 1,197 132 657 1,438 123 1 315 1941........................................ 6,085 4,480 1,726 1,797 198 759 1,605 188 1 *417 1945..................... ............... 2,462 1,776 745 300 102 629 686 28 658 1950........................................ 14,703 11,805 5,798 3,711 590 1,286 420 2,898 287 2,611 1955........................................ 28,906 24,398 10,601 8,447 1 ,678 2,623 1,049 4,508 487 4,021 1960........................................ 42,968 36,673 16,672 10,763 3,923 3,781 1,534 6,295 359 5,936 1964........................................ 62,692 53,898 25,094 13,605 6,340 6,492 2,367 8,794 329 8,465 1965........................................ 71,324 61,533 28,962 15,279 7,324 7,329 2,639 9,791 315 9,476 1966........................................ 77,539 66,724 31,319 16,697 8,255 7,663 2,790 10,815 277 10,538 1967........................................ 80,926 69,490 32,700 16,838 8,972 8,103 2,877 11,436 285 11,151 1968........................................ 89,890 77,457 36,952 18,219 10,178 8,913 3,195 12,433 320 12,113 1969........................................ 98,169 84,982 40,305 19,798 11,594 9,740 3,545 13,187 336 12,851 1969—May............................. 91,813 80,155 38,347 18,636 10,699 9,080 3,393 11,658 329 11,329 June............................. 93,087 81,388 38,916 18,961 10;939 9,146 3,426 11,699 333 11,366 July............................. 93,833 82,130 39,248 19,127 11,054 9,293 3,408 11,703 335 11,368 Aug.............................. 94,732 82,910 39,532 19,265 11,220 9,436 3,457 11,822 336 11,486 Sept.............................. 95,356 83,440 39,793 19,360 11,347 9,450 3,490 11,916 336 11,580 Oct............................... 95,850 83,949 40,006 19,569 11,438 9,436 3,500 11,901 338 11,563 Nov.............................. 96,478 84,301 40,047 19,668 11,491 9,532 3,563 12,177 337 11,840 Dec.............................. 98,169 84,982 40,305 19,798 11,594 9,740 3,545 13,187 336 12,851 1970—Jan............................... 97,402 84,531 40,144 19,703 11,468 9,683 3,533 12,871 333 12,538 Feb.............................. 96,892 84,393 39,990 19,652 11,459 9,691 3,601 12,499 331 12,168 Mar.............................. 96,662 84,308 39,956 19,586 11,533 9,650 3,583 12,354 331 12,023 Apr.............................. 97,104 84,802 40,245 19,672 11,644 9,652 3,589 12,302 332 11,970 May............................. 97,706 85,335 40,515 19,760 11,778 9,631 3,651 12,371 333 12,038 1 Consumer finance companies included with “other” financial insti- 2 Automobile paper only; other instalment credit held by automobile tutions until 1950. dealers is included with “other retail outlets.” See also Note to table above. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ CONSUMER CREDIT A 55 INSTALMENT CREDIT HELD BY COMMERCIAL BANKS INSTALMENT CREDIT HELD BY SALES FINANCE COMPANIES (In millions of dollars) (In millions of dollars) Automobile Repair End of period Total ch P a u s r e ­ p d ape D r irect s g O p c u o a o t m o p h n d e e e ­ s r r r e m l r t o a n i n a o o i n z d d n a s ­ ­ s l P o o a e n n r a ­ s l End of period Total m A pa o u p b t e i o l r ­ e s g O p c u o a o t m o p h n d e e e ­ s r r r m R i o z l a o e a d n a p t e i n d a r o s n i n r ­ l s o P o a e n n r a ­ s l 1939.......... 1,079 237 178 166 135 363 1939, 1,197 878 115 148 56 1941.......... 1,726 447 338 309 161 471 1941, 1,797 1,363 167 201 66 1945.......... 745 66 143 114 110 312 1945, 300 164 24 58 54 1950.......... 5,798 1,177 1,294 1,456 834 1,037 1950 3,711 2,956 532 61 162 1955.......... 10,601 3,243 2,062 2,042 1,338 1,916 1955 8,447 6,905 1,048 28 466 1960.......... 16,672 5,316 2,820 2,759 2,200 3,577 1960 10,763 7,488 2,059 146 1,070 196 4 25,094 8,691 4,734 3,670 2,457 5,542 1964, 13,605 8,285 3,022 207 2,091 196 5 28,962 10,209 5,659 4,166 2,571 6,357 1965 15,279 9,068 3,556 185 2,470 196 6 31,319 11,024 5,956 4,681 2,647 7,011 1966. 16,697 9,572 4,256 151 2,718 196 7 32,700 10,927 6,267 5,126 2,629 7,751 1967, 16,838 9,252 4,518 114 2,954 196 8 36,952 12,213 7,105 6,060 2,719 8,855 1968 18,219 9,986 4,849 74 3,310 196 9 40.305 12.784 7.620 7.415 2.751 9.735 1969 19,798 10,743 5,306 65 3,684 1969—May, 38,347 12,541 7,367 6,406 2,721 9,312 1969- 18,636 10,246 4,945 69 3,376 June, 38,916 12,727 7,457 6,557 2,763 9,412 18,961 10,440 5,039 70 3,412 July. 39,248 12,814 7,501 6,709 2,780 9,444 July..................... 19,127 10,538 5,088 70 3,431 Aug. 39,532 12,859 7,513 6,818 2,787 9,555 19,265 10,570 5,139 69 3,487 Sept. 39,793 12,864 7,543 6,929 2,808 9,649 19,360 10,557 5,191 69 3,543 Oct.. 40,006 12,914 7.597 7,023 2,798 9,674 19,569 10,693 5,227 67 3,582 Nov. 40,047 12,883 7,618 7,100 2,779 9,667 19,668 10,727 5,247 66 3,628 Dec. 40.305 12.784 7.620 7.415 2.751 9.735 19,798 10,743 5,306 65 3,684 1970—Jan.. 40,144 12,664 7,569 7,472 2,714 9,725 1970—Jan...................... 19,703 10,660 5,310 65 3,668 Feb.. 39,990 12,585 7,533 7,474 2,691 9,707 19,652 10,604 5,324 64 3,660 Mar. 39,956 12,552 7,538 7,476 2,678 9,712 19,586 10,575 5,297 64 3,650 Apr., 40,245 12,550 7.598 7,568 2,685 9,844 19,672 10,647 5,288 63 3,674 May, 40,515 12,600 7,635 7,667 2,705 9,908 19,760 10,689 5,317 62 3,692 I See Notb to first table on previous page. See Note to first table on previous page. INSTALMENT CREDIT HELD BY OTHER NONINSTALMENT CREDIT FINANCIAL INSTITUTIONS (In millions of dollars) (In millions of dollars) Single­ Other Repair payment Charge accounts Auto­ con­ and Per­ loans End of period Total mobile sumer modern­ sonal paper goods ization loans Total Service paper loans End of period Com­ Other credit mer­ finan­ 1939............................... 789 81 24 15 669 ba ci n a k l s in ci s a t l i­ o R u e tl ta et i s l c C a r r e d d s i 1 t 1941............................... 957 122 36 14 785 tutions 1945............................... 731 54 20 14 643 1950............................... 2,296 360 200 121 1,615 1939............... 2,719 625 162 1,414 518 1955............................... 5,350 763 530 327 3,730 1941............... 3,087 693 152 1,645 597 1960............................... 9,238 1,675 791 802 5,970 1945............... 3,203 674 72 1,612 845 1964.............................. 15,199 2,895 1,176 913 10,215 1950............... 6,768 1,576 245 3,291 76 1,580 1965............................... 17,292 3,368 1,367 972 11,585 1955............... 9,924 2,635 367 4,579 216 2,127 1966............................... 18,708 3,727 1,503 1,020 12,458 1960............... 13,173 3,884 623 4,893 436 3.337 1967............................... 19,952 3,993 1,600 1,046 13,313 1968............................... 22,286 4,506 1,877 1,132 14,771 196 4 17,576 5,950 924 5,587 608 4,507 1969............................... 24,879 5,119 2,037 1,224 16,499 196 5 18,990 6,690 981 5,724 706 4,889 196 6 20,004 6.946 1,026 5,812 874 5,346 1969—May.................... 23,172 4,747 1,956 1,174 15,295 196 7 21,206 7,340 1,088 5,939 1,029 5,810 June.................... 23,511 4,847 1,994 1,189 15,481 196 8 23,301 7,975 1,163 6,450 1,305 6,408 July..................... 23,755 4,893 2,007 1,189 15,666 196 9 24.300 7.900 1.196 6.650 1.584 6.970 Aug..................... 24,113 4,967 2,024 1,207 15,915 Sept..................... 24,287 5,021 2,032 1,219 16,015 1969—May... 22,937 8,017 1,201 5,609 1,362 6,748 Oct...................... 24,374 5,057 2,042 1,219 16,056 June... 22,908 8,031 1.196 5,574 1,428 6,679 Nov..................... 24,586 5,085 2,036 1,231 16,234 July... 22,764 7.946 1,174 5,541 1,498 6,605 Dec..................... 24,879 5,119 2,037 1,224 16,499 Aug.... 22,648 7,879 1,194 5,438 1,550 6,587 Sept... 22,652 7,882 1,193 5,448 1,557 6,572 1970—Jan...................... 24,684 5,065 2,026 1,212 16,381 Oct__ 22,665 7,837 1,188 5,568 1,517 6,555 Feb...................... 24,751 5,066 2,021 1,215 16,449 Nov.... 22,900 7,795 1.205 5,685 1,553 6,662 Mar..................... 24,766 5,092 2,018 1,209 16,447 Dec.... 24.300 7.900 1.196 6.650 1.584 6.970 Apr..................... 24,885 5,137 2,024 1,212 16,512 May.................... 25,060 5,198 2,033 1,236 16,593 1970—Jan.. .. 23,672 7,887 1.205 5,932 1,607 7,041 Feb.... 23,185 7,857 1,217 5,210 1,579 7,322 Mar.... 23,036 7,843 1,211 5,062 1,583 7.337 Note.—Institutions represented are consumer finance companies, credit Apr.... 23,298 7,892 1,210 5,289 1,611 7,296 unions, industrial loan companies, mutual savings banks, savings and May.. . 23,640 7,925 1,234 5,633 1,640 7,208 loan assns., and other lending institutions holding consumer instalment credit. See also Note to first table on previous page. i Service station and miscellaneous credit-card accounts and homeheating-oil accounts. Bank credit card accounts outstanding are included in estimates of instalment credit outstanding. See also Note to first table on previous page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 56 CONSUMER CREDIT □ JULY 1970 INSTALMENT CREDIT EXTENDED AND REPAID, BY TYPE OF CREDIT (In millions of dollars) Total Automobile paper Ot g h o e o r d c s o p n a su p m er er mode R r e n p iz a a ir t io a n n d l oans Personal loans Period S.A.1 N.S.A. S.A.1 N.S.A. S.A.1 N.S.A. S.A.1 N.S.A. S.A.1 N.S.A. Extensions 1964. 70,670 24,046 20,821 2,225 23,578 1965. 78,586 27,227 22,750 2,266 26,343 1966. 82,335 27,341 25,591 2,200 27,203 1967. 84,693 26,667 26,952 2,113 28,961 1968. 97,053 31,424 30,593 2,268 32,768 1969. 102,888 32,354 33,079 2,278 35,177 1969—May. 8,680 8,960 2,757 2,985 2,767 2,760 209 246 2,947 2,969 June. 8,705 9,169 2,725 3,045 2,869 2,832 218 245 2.893 3,047 July. 8.521 8,920 2,582 2,828 2,777 2,778 185 214 2,977 3,100 Aug.. 8,680 8,604 2,634 2,593 2,819 2,764 177 206 3,050 3,041 Sept.. 8,669 8,485 2,794 2,566 2,740 2,794 180 194 2,955 2,931 Oct.. 8,661 8,797 2,808 2,939 2,707 2,805 175 183 2,971 2,870 Nov.. 8,632 8,173 2,683 2,433 2,841 2,817 164 160 2,944 2,763 Dec.. 8,344 10,096 2,472 2,479 2,838 4,004 169 149 2,865 3,464 1970—Jan.. 8.521 7,490 2,479 2,130 2,925 2,663 160 118 2,957 2,579 Feb.. 8,625 7,106 2,536 2,214 3,018 2,275 179 137 2,892 2,480 Mar.. 8,392 8,243 2,496 2,584 2,922 2,725 165 152 2,809 2,782 Apr.. 8,491 8,773 2,571 2,776 2,843 2,792 183 185 2.894 3,020 May. 9,004 8,857 2,595 2,696 3,183 3,008 180 213 3,046 2,940 Repayments 1964. 63,470 21,369 18,666 2,086 21,349 1965. 69,957 23,543 20,518 2,116 23,780 1966. 76,120 25,404 23,178 2,110 25,428 1967. 81,306 26,499 25,535 2,142 27,130 1968. 88,089 28,018 28,089 2,132 29,850 1969. 94,609 29,882 30,369 2,163 32,195 1969—May. 7,834 7,810 2,488 2,488 2,507 2,523 183 185 2,656 2,614 June. 7,910 7,895 2,460 2,471 2,602 2,512 183 187 2,665 2,725 July. 7,899 8,174 2,471 2,551 2,511 2,562 191 197 2,726 2,864 Aug.. 8,080 7,705 2,562 2,429 2,574 2,469 185 182 2,759 2,625 Sept.. 7,971 7,861 2.498 2,490 2,600 2,529 156 161 2,717 2,681 Oct.. 7,992 8,303 2,463 2,661 2,615 2,682 189 195 2.725 2,765 Nov.. 8,012 7,545 2,503 2,382 2,623 2,449 179 168 2,707 2,546 Dec.. 7,929 8,405 2.499 2,527 2,552 2,618 185 185 2,693 3,075 1970—Jan.. 8,141 8,257 2,469 2,441 2,722 2,926 168 167 2,782 2,723 Feb.. 8,207 7,616 2,550 2,386 2,761 2,634 171 158 2.725 2,438 Mar.. 8.194 8,473 2,501 2,615 2,792 2,898 169 171 2,732 2,789 Apr.. 8.195 8,331 2,527 2,600 2,729 2,756 173 176 2,766 2,799 May. 8,589 8,255 2,600 2,505 2,888 2,803 174 170 2,927 2,777 Net change in credit outstanding 2 1964. 7,200 2,677 2,155 139 2,229 1965. 8,629 3,684 2,232 150 2,563 1966. 6,215 1,937 2,413 90 1,775 1967. 3,387 168 1,417 -29 1,831 1968. 8,964 3,406 2,504 136 2,918 1969. 8,279 2,472 2,710 115 2,982 1969—May. 846 1,150 269 497 260 237 26 61 291 355 June. 795 1,274 265 574 267 320 35 58 228 322 July., 622 746 111 277 266 216 -6 17 251 236 Aug.. 600 899 72 164 245 295 -8 24 291 416 Sept.. 698 624 296 76 140 265 24 33 238 250 Oct.. 669 494 345 278 92 123 -14 -12 246 105 Nov.. 620 628 180 51 218 368 -15 -8 237 217 Dec.. 415 1,691 -27 -48 286 1,386 -16 -36 172 389 1970—Jan.. 380 -767 10 -311 203 -263 -8 -49 175 -144 Feb.. 418 -510 -14 -172 257 -359 8 -21 167 42 Mar.. 198 -230 -5 -31 130 -173 -4 -19 77 -7 Apr.. 296 442 44 176 114 36 10 9 128 221 May. 415 602 -5 191 295 205 6 43 119 163 1 Includes adjustments for differences in trading days. purchases and sales of instalment paper, and certain other transac­ *Net changes in credit outstanding are equal to extensions less tions may increase the amount of extensions and repayments repayments. without affecting the amount outstanding. For back figures and description of the data, see *''Consumer Note.—Estimates are based on accounting records and often Credit,” Section 16 (New) of Supplement to Banking and Monetary include financing charges. Renewals and refinancing of loans, Statistics, 1965, and pp. 983-1003 of the Bulletin for Dec. 1968. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ CONSUMER CREDIT A 57 INSTALMENT CREDIT EXTENDED AND REPAID, BY HOLDER (In millions of dollars) Total Commercial banks S c a o le m s p f a in n a i n es ce 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.1 N.S.A. S.A.i N.S.A. S.A.1 N.S.A. S.A.1 N.S.A. Extensions 1964. 70,670 25,950 12,613 18,797 13,310 1965. 78,586 29,528 13,722 20,906 14,430 1966. 82,335 30,073 14,278 21,490 16,494 1967. 84,693 30,850 13,833 22,574 17,436 1968. 97,053 36,332 15,909 25,777 19,035 1969. 102,888 38,533 17,141 27,958 19,256 1969—May. 8,680 8,960 3,236 3,436 1,451 1,478 2,365 2,428 1,628 1,618 June. 8,705 9,169 3,272 3,540 1,436 1,566 2,323 2,479 1,674 1,584 July., 8.521 8,920 3,041 3,323 1.400 1,507 2,439 2,539 1,641 1,551 Aug.. 8,680 8,604 3,148 3,162 1,431 1,401 2,470 2,463 1,631 1,578 Sept.. 8,669 8,485 3,292 3,203 1,440 1,396 2,332 2,280 1,605 1,606 Oct.. 8,661 8,797 3,298 3,346 1,518 1,603 2,341 2,267 1,504 1,581 Nov.. 8,632 8,173 3,213 2,845 1,490 1,381 2,291 2,217 1.638 1,730 Dec.. 8,344 10,096 3,179 3,302 1,331 1,568 2,213 2,670 1,621 2,556 1970—Jan... 8.521 7,490 3,047 2,751 1.401 1,201 2,339 1,979 1,734 1,559 Feb.. 8,625 7,106 3,167 2,735 1,386 1,172 2,322 1,991 1,750 1,208 Mar.. 8,392 8,243 3,193 3,206 1,344 1,315 2,217 2,220 1.638 1,502 Apr.. 8,491 8,773 3,208 3,450 1,417 1,475 2,283 2,335 1,583 1,513 May. 9,004 8,857 3,291 3,341 1,468 1,424 2,423 2,388 1,822 1,704 Repayments 1964. 63,470 22,971 11,638 16,764 12,097 1965. 69,957 25,663 12,048 18,813 13,433 1966. 76,120 27,716 12,860 20,074 15,470 1967. 81,306 29,469 13,692 21,330 16,815 1968. 88,089 32,080 14,528 23,443 18,038 1969. 94,609 35,180 15,562 25,365 18,502 1969—May. 7,834 7,810 2,917 2,943 1,278 1,260 2,091 2,046 1,548 1,561 June. 7,910 7,895 2,989 2,971 1,223 1,241 2,079 2,140 1,619 1,543 July. . 7,899 8,174 2,859 2,991 1,330 1,341 2,181 2,295 1.529 1,547 Aug.. 8,080 7,705 2,958 2,878 1,386 1,263 2,228 2.105 1,508 1,459 Sept.. 7,971 7,861 2,919 2,942 1,355 1,301 2,133 2.106 1,564 1,512 Oct.. , 7,992 8,303 2,986 3,133 1,324 1,394 2,148 2,180 1,534 1,596 Nov.. 8,012 7,545 3,020 2,804 1,346 1,282 2,117 2,005 1.529 1,454 Dec.. 7,929 8,405 2,977 3,044 1,309 1,438 2,094 2,377 1 ,549 1,546 1970—Jan... 8,141 8,257 2,962 2,912 1.320 1,296 2.197 2,174 1,662 1,875 Feb.., 8,207 7,616 3,101 2,889 1.321 1,223 2,146 1,924 1,639 1,580 Mar.. 8.194 8,473 3,119 3,240 1,300 1,381 2,154 2,205 1,621 1,647 Apr.. 8.195 8,331 3,081 3,161 1,334 1,389 2.198 2,216 1,582 1,565 May. 8,589 8,255 3,170 3,071 1,408 1,336 2,339 2,213 1,672 1,635 Net change in credit outstanding * 1964. 7,200 3,065 975 2,033 1,127 1965. 8,629 3,865 1,674 2,093 997 1966. 6,215 2,357 1,418 1,416 1,024 1967. 3,387 1,381 141 1,244 621 1968. 8,964 4,252 1,381 2,334 997 t969. 8,279 3,353 1,579 2,593 754 1969—May. 846 1,150 319 493 173 218 274 382 80 57 June. 795 1,274 283 569 213 325 244 339 55 41 July. 622 746 182 332 70 166 258 244 112 4 Aug.. 600 899 190 284 45 138 242 358 123 119 Sept.. 698 624 373 261 85 95 199 174 41 94 Oct.. 669 494 312 213 194 209 193 87 -30 -15 Nov.. 620 628 193 41 144 99 174 212 109 276 Dec.. 415 1,691 202 258 22 130 119 293 72 1,010 1970—Jan.., 380 -767 85 -161 81 -95 142 -195 72 -316 Feb.. 418 -510 66 -154 65 -51 176 67 111 -372 Mar.. 198 -230 74 -34 44 -66 63 15 17 -145 Apr.. 296 442 127 289 83 86 85 119 1 -52 May. 415 602 121 270 60 88 84 175 150 69 1 Includes adjustments for differences in trading days. tween extensions and repayments for some particular holders do aNet changes in credit outstanding are equal to extensions less not equal the changes in their outstanding credit. Such transfers do repayments, except in certain months when data for extensions and not affect total instalment credit extended, repaid, or outstanding. repayments have been adjusted to eliminate duplication resulting See also Note to previous table. from large transfers of paper. In those months the differences be­ Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 58 INDUSTRIAL PRODUCTION: S.A. □ JULY 1970 MARKET GROUPINGS (1957-59=100) 1957-59 1969 1970 pro­ 1969 Grouping por­ aver­ tion age? May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar.f Apr.f Mayr Total index................................... 100.00 172.8 172.5 173.7 174.6 174.3 173.9 173.1 171.4 171.1 170.4 170.5 171.1 170.2 169.1 Final products, total.............................. 47.35 170.8 170.0 170.7 172. 172.7 172.2 170.9 168.4 168.5 168.5 169.9 169.7 168.8 167.9 Consumer goods.......................... 32.31 162.5 160.7 161.5 164.4 164.2 162.8 161.2 160.5 160.7 161.5 162.4 162.0 163.0 163.5 Equipment, including defense 15.04 188.6 190.0 190.4 190.8 190.3 192.4 191.9 185.6 185.2 183.6 186.2 186.3 181.2 177.5 Materials.......................................... 52.65 174.6 174.5 176.3 176.5 175.9 176.0 175.4 174.6 173.9 172.5 171.5 171.7 171.7 170.1 Consumer goods Automotive products............................. 3.21 173.2 165.8 178.7 184.6 179.5 176.6 172.8 168.0 160.9 155.3 154.8 160.0 158.4 165.4 Autos................................................ 1.82 162.8 148.9 168.3 178.7 178.4 169.9 164.0 153.8 141.6 132.9 127.6 138.4 136.1 156.0 Auto parts and allied products.... 1.39 186.8 188.0 192.3 192.4 181.0 185.4 184.4 186.7 186.2 184.9 190.7 188.5 187.8 177.9 Home goods and apparel..................... 10.00 159.3 161.9 159.7 160. 159.3 156.7 156.2 150.9 151.0 152.3 153.6 154.5 154.2 153.6 Home goods................................ 4.59 184.0 185.9 186.1 184.4 184.5 181.2 179.5 166.7 166.8 169.6 174.8 179.4 179.9 178.7 Appliances, TV, and radios..... 1.81 180.2 182.0 180.2 181.8 181.9 176.5 175.2 142.2 140.1 149.0 168.6 178.1 178.7 182.7 Appliances................................ 1.33 192.4 192.7 190.7 195.6 195.0 188.2 187.2 147.8 151.0 162.5 186.5 199.1 206.6 214.1 TV and home radios........... .47 145.6 151.9 150.6 143.0 144.9 143.6 141.3 126.2 109.6 111.0 118.2 119.1 100.3 94.2 Furniture and rugs.................. 1.26 180.3 183.4 184.0 180.0 179.7 177.9 175.7 176.0 175.0 173.8 169.2 170.3 170.6 166.0 Miscellaneous home goods...... 1.52 191.5 192.6 194.8 191.1 191.6 189.4 187.8 188.2 191.7 190.5 186.7 188.4 189.0 184.3 Apparel, knit goods, and shoes.. •. 5.41 138.5 141.5 137.4 140.9 138.0 135.9 136.4 137.5 137.7 137.6 135.7 133.4 132.5 Consumer staples................................... 19.10 162.4 159.2 159.6 162.9 164.1 163.7 161.8 164.2 165.7 167.3 168.2 166.2 168.4 168.3 Processed foods............................... 8.43 136.6 136.4 136.1 135.3 138.8 137.9 132.3 136.5 137.0 138.7 139.5 139.6 140.3 141.1 Beverages and tobacco.................... 2.43 146.8 137.9 140.4 147.8 152.3 152.6 148.9 145.0 149.6 151.7 154.6 146.1 150.1 Drugs, soap, and toiletries.............. 2.97 209.0 208.0 206.1 211.9 207.2 208.6 210.4 213.2 217.0 217.6 217.9 216.5 218.6 219.5 Newspapers, magazines, and books 1.47 147.1 147.3 146.3 147.5 147.6 149.8 147.1 148.9 149.7 147.7 147.6 146.1 146.0 147.5 Consumer fuel and lighting....... 3.67 199.6 189.8 192.7 201.6 201.1 198.6 203.9 206.0 206.0 210.0 210.3 207.2 212.6 Fuel oil and gasoline................... 1.20 144.6 143.9 146.8 146.1 144.4 146.1 150.9 152.7 148.4 150.3 146.5 150.3 152.1 149.4 Residential utilities...................... 2.46 226.3 212.2 215.1 228.7 228.7 224.2 229.8 232.0 234.1 239.1 241.5 235.0 242.1 Electricity................................. 1.72 249.7 230.0 233.7 252.6 252.2 245.3 252.9 255.6 258.2 264.7 267.5 257.7 267.5 Gas............................................ .74 Equipment Business equipment................................ 11.63 195.6 195.7 197.0 196.9 197.0 200.4 200.9 194.4 193.8 192.8 196.9 198.0 193.0 189.0 Industrial equipment....................... 6.85 179.1 180.9 182.7 181.2 180.3 183.9 182.9 174.4 176.3 175.0 184.9 186.8 182.1 175.9 Commercial equipment................... 2.42 220.0 221.7 221.0 220.5 221.3 222.9 224.9 223.3 223.6 223.0 222.4 225.0 223.4 220.5 Freight and passenger equipment.. 1.76 246.7 238.4 240.8 250.5 249.7 251.9 254.5 252.8 240.9 239.5 231.8 226.1 215.3 218.0 Farm equipment.............................. .61 136.8 134.9 135.2 124.4 136.0 146.8 153.1 136.5 135.4 138.4 130.3 134.6 130.4 Defense equipment................................ 3.41 Materials Durable goods materials...................... 26.73 165.5 165.5 167.0 167.0 167.3 166.6 165.8 163.5 161.8 160.1 157.9 159.1 159.5 156.4 Consumer durable........................... 3.43 163.9 156.6 162.7 163.0 169.5 171.7 166.4 158.5 150.9 148.7 142.3 143.0 143.6 146.2 Equipment........................................ 7.84 191.9 191.7 193.2 193.2 195.1 197.2 194.8 190.7 189.8 188.6 188.6 189.8 183.8 178.2 Construction.................................... 9.17 152.4 153.0 151.7 150.0 149.9 149.8 149.6 150.2 150.4 151.2 150.7 148.8 148.7 145.7 Metal materials n.e.c....................... 6.29 152.8 148.4 153.6 156.2 153.5 149.3 153.3 156.1 155.4 149.4 150.2 152.4 147.8 146.5 Nondurable materials........................... 25.92 183.9 183.7 185.9 186.4 184.7 185.5 185.3 186.0 186.5 185.3 185.5 184.7 184.2 184.3 Business supplies............................. 9.11 166.6 165.9 166.3 167.1 167.4 167.0 167.4 166.9 168.5 167.5 166.2 164.8 163.2 164.3 Containers.................................... 3.03 168.6 168.2 167.5 165.5 166.7 167.8 169.9 165.6 174.0 173.7 169.3 165.0 166.1 166.9 General business supplies............ 6.07 165.5 164.7 165.7 167.9 167.8 166.6 166.1 167.6 165.8 164.4 164.7 164.7 161.7 163.0 Nondurable materials n.e.c............. 7.40 237.8 236.6 239.4 241.6 238.2 240.2 239.0 242.0 240.0 239.5 239.0 237.2 236.1 231.8 Business fuel and power................. 9.41 158.2 159.3 162.8 161.6 159.4 159.8 160.4 160.4 161.7 159.8 162.0 162.7 163.8 166.2 Mineral fuels................................ 6.07 134.9 137.4 141.8 139.7 136.5 137.7 135.7 136.5 137.7 135.3 137.1 137.4 139.1 142.9 Nonresidential utilities................ 2.86 216.7 214.9 216.1 216.7 217.3 221.1 222.8 220.9 222.5 222.4 225.0 226.3 226.5 Electricity................................. 2.32 220.6 218.1 220.0 220.5 221.1 225.8 227.8 225.4 227.3 227.1 230.2 231.8 232.0 General industrial................ 1.03 216.1 213.4 216.4 216.7 219.2 221.4 224.7 218.4 221.1 216.5 218.1 219.4 220.6 Commercial and other......... 1.21 236.1 233.4 234.7 235.6 234.7 241.7 242.7 243.4 244.8 248.5 253.1 254.8 254.2 Gas............................................ .54 Supplementary groups of consumer goods Automotive and home goods. 7.80 179.5 177.6 183.0 184.5 182.4 179.3 176.8 167.2 164.4 163.7 166.6 171.4 171.1 173.2 Apparel and staples............... 24.51 157.1 155.3 154.7 158.1 158.4 157.6 156.2 158.3 159.5 160.8 161.0 159.0 160.5 For Note see p. A-61. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ INDUSTRIAL PRODUCTION: S.A. A 59 INDUSTRY GROUPINGS (1937-39 -100) Grouping 19 p p 5 r o 7 o r - ­ ­ 59 a 1 v 9 e 6 r 9 ­ 1969 1970 tion age* May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar.r Apr.f Mayr Total index..................................... 100.00 172.8 172.5 173.7 174.6 174.3 173.9 173.1 171.4 171.1 170.4 170.5 171.1 170.2 169.1 Manufacturing, total.......................... 86.45 173.9 173.8 174.8 175.6 175.4 175.2 173.9 171.8 171.3 170.2 170.3 170.8 169.7 168.3 Durable.......................................... 48.07 176.5 176.7 178.3 178.7 178.8 178.7 177.3 172.1 171.1 169.7 169.6 171.0 168.8 167.5 Nondurable.................................... 38.38 170.6 170.3 170.5 171.8 171.3 170.9 169.5 171.5 171.5 171.0 171.3 170.6 170.9 169.3 8.23 130.2 130.3 134.4 133.2 131.2 131.6 130.2 132.6 134.4 131.7 134.2 135.1 133.9 135.3 Utilities............................................... 5.32 221.2 213.6 215.6 222.2 222.6 222.5 226.0 226.0 227.9 230.1 232.7 230.3 233.8 234.0 Durable manufactures Primary and fabricated metals.......... 12.32 162.5 162.3 165.1 164.1 164.1 162.3 163.1 162.9 161.1 159.2 156.5 157.8 154.8 155.1 Primary metals................................... 6.95 149.1 149.3 153.1 152.4 151.3 149.3 150.4 150.3 147.7 143.1 139.2 141.9 139.0 142.4 Iron and steel................................. 5.45 140.3 141.6 145.6 145.3 141.1 141.4 141.5 142.7 138.8 135.2 129.8 134.4 133.0 136.7 Nonferrous metals and products.. 1.50 181.1 184.3 190.8 181.8 177.9 178.6 178.7 183.1 181.1 174.8 177.3 183.6 175.4 173.7 Fabricated metal products................ 5.37 179.8 179.2 180.6 179.1 180.6 179.1 179.4 179.2 178.4 180.0 178.9 178.3 175.2 171.5 Structural metal parts................... 2.86 173.3 173.1 173.8 170.8 171.5 171.5 172.5 174.5 177.1 175.4 174.6 174.4 170.2 164.7 Machinery and related products........ 27.98 188.4 188.4 190.3 192.3 192.0 192.7 190.0 181.1 180.3 178.8 180.0 182.2 179.3 177.9 Machinery.......................................... 14.80 195.7 196.9 197.2 198.1 199.4 201.2 199.0 187.4 188.7 189.7 195.8 199.1 194.9 191.1 Nonelectrical machinery............... 8.43 194.6 193.1 195.3 196.0 195.5 199.8 200.3 194.9 196.5 195.9 195.8 196.6 191.7 186.8 Electrical machinery...................... 6.37 197.2 201.8 199.6 200.8 204.5 202.9 197.3 177.5 178.3 181.5 195.9 202.5 199.0 196.7 Transportation equipment................ 10.19 174.6 171.8 176.6 181.1 179.1 178.8 175.7 168.3 163.9 159.6 154.3 156.0 155.1 157.5 Motor vehicles and parts.............. 4.68 166.9 156.8 169.1 174.2 174.1 170.5 167.9 159.9 152.0 146.8 142.1 148.9 148.0 158.6 Aircraft and other equipment.... 5.26 177.8 180.8 179.5 183.4 180.3 182.6 179.6 171.9 170.7 166.7 161.4 159.1 157.9 153.4 Instruments and related products... 1.71 194.4 195.3 195.7 194.7 194.9 195.4 193.9 196.0 197.4 194.8 194.0 193.6 195.4 192.5 1 28 Clay, glass, and lumber..................... 4.72 142.5 143.6 140.6 138.3 140.2 140.6 140.7 140.6 139.9 141.1 141.2 137.5 140.3 137.6 Clay, glass, and stone products........ 2.99 156.0 156.9 155.2 152.7 155.3 157.7 156.3 155.9 157.4 154.5 155.0 151.7 154.6 151.6 Lumber and products....................... 1.73 119.1 120.7 115.5 113.4 114.1 111.0 113.8 114.1 109.7 118.0 117.5 113.1 115.5 Furniture and miscellaneous............... 3.05 176.7 179.0 179.1 176.3 176.2 175.4 174.7 175.1 175.3 175.9 174.0 174.2 173.5 169.3 Furniture and fixtures....................... 1.54 186.9 190.2 189.9 185.0 186.5 185.3 184.0 183.7 183.3 183.4 179.4 180.4 179.5 174.5 Miscellaneous manufactures............. 1.51 166.4 167.5 168.1 167.4 165.8 165.3 165.3 166.4 167.2 168.2 168.4 167.8 167.4 163.9 Nondurable manufactures Textiles, appareland leather............ 7.60 144.2 146.3 146.0 145.4 143.3 141.1 142.0 142.9 141.5 141.3 138.8 137.5 138.0 138.0 Textile mill products......................... 2.90 154.2 156.5 157.8 157.0 153.0 151.6 152.1 151.9 150.3 152.9 151.3 150.3 151.3 148.4 Apparel products............................... 3.59 149.2 150.0 149.2 150.7 148.8 146.1 146.5 148.0 147.9 145.8 141.7 140.1 139.0 Leather and products........................ 1.11 101.9 107.6 104.7 98.4 100.0 97.7 101.1 102.7 98.0 96.9 96.9 95.9 100.2 Paper and printing............................. 8.17 164.4 163.8 164.4 165.9 166.3 165.8 165.3 166.1 166.8 164.6 164.6 164.4 164.9 164.5 Paper and products........................... 3.43 175.6 174.9 175.3 176.4 177.5 177.5 177.1 175.9 178.0 173.8 174.8 174.9 176.1 174.1 Printing and publishing..................... 4.74 156.3 155.9 156.5 158.3 158.2 157.3 156.9 159.1 158.6 157.9 157.3 156.9 156.9 157.5 Newspapers.................................... 1.53 142.7 142.8 141.3 145.6 144.4 143.3 143.0 154.1 142.0 141.7 142.1 137.9 139.3 144.5 Chemicals, petroleum, and rubber.... 11.54 222.6 222.7 223.2 225.2 222.4 223.3 222.7 225.3 224.8 222.1 224.1 224.7 224.3 219.8 Chemicals and products................... 7.58 239.0 239.5 239.7 243.1 238.1 240.2 238.3 240.8 241.7 240.2 242.6 242.3 242.0 239.5 Industrial chemicals....................... 3.84 283.0 285.2 286.1 288.6 281.5 286.2 281.2 283.9 283.8 281.9 284.3 284.8 284.5 Petroleum products........................... 1.97 143.8 143.5 145.4 143.5 144.5 146.2 146.7 150.9 149.5 143.3 143.0 146.6 147.9 147.2 Rubber and plastics products........... 1.99 238.7 237.0 237.3 238.3 239.9 240.0 238.6 240.2 234.8 231.4 234.0 235.3 232.6 Foods, beverages, and tobacco........... 11.07 139.0 136.9 137.0 138.4 141.0 140.4 136.2 139.2 140.1 142.7 143.5 141.3 142.3 141.7 Foods and beverages......................... 10.25 140.7 138.6 138.3 139.9 143.1 142.2 138.0 141.0 142.1 144.7 145.2 143.3 143.7 143.1 Food manufactures........................ 8.64 136.7 136.6 136.1 135.8 137.8 137.0 132.6 137.5 137.4 140.2 140.4 140.0 140.1 141.0 Beverages....................................... 1.61 161.9 149.4 149.8 161.7 171.3 169.9 166.7 159.7 167.2 168.9 170.7 161.0 162.8 Tobacco products.............................. .82 117.3 115.4 121.9 120.3 114.8 118.6 113.8 116.2 115.1 117.8 122.8 116.8 125.1 Mining 6.80 127.4 128.7 133.1 131.7 128.8 129.9 128.1 129.1 130.3 128.3 130.2 130.5 129.8 133.0 Coal.................................................... 1.16 117.7 123.9 124.8 130.0 122.1 114.7 115.7 118.9 119.3 113.1 122.3 121.5 123.0 134.2 Crude oil and natural gas................. 5.64 129.3 129.6 134.8 132.1 130.2 133.1 130.7 131.2 132.6 131.4 131.8 132.4 131.2 132.8 Oil and gas extraction................... 4.91 139.0 140.5 145.8 142.0 139.9 143.1 140.4 140.6 142.0 140.5 140.6 141.2 142.9 144.9 Crude oil..................................... 4.25 132.0 133.1 139.2 135.5 132.4 135.6 132.8 133.5 135.0 133.7 133.0 133.5 135.2 137.0 a atiri dqq linmMc .66 184.0 ft»1 nrtrl oao rfrfllincr .73 64] 2 Metalt stonet and earth minerals....... 1.43 143.5 138.3 140.4 140.5 142.6 139.5 140.2 149.6 153.7 148.2 153.5 156.8 153.1 146.2 Metal mining..................................... .61 142.0 134.5 137.4 138.1 142.3 133.1 141.1 153.3 152.3 155.7 158.4 165.8 162.6 151.1 Stone and earth minerals.................. .82 144.7 141.2 142.6 142.2 142.8 144.3 139.6 146.8 154.8 142.6 149.8 150.1 146.1 142.6 Utilities Electric................................................ 4.04 233.0 223.1 225.9 234.2 234.4 234.1 238.5 238.3 240.5 243.1 246.1 242.8 247.1 Gas...................................................... 1.28 174.1 For Note see p. A-61. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 60 INDUSTRIAL PRODUCTION: N.S.A. □ JULY 1970 MARKET GROUPINGS (1957-59-100) Grouping 19 p p t 5 i r o o 7 o r n - ­ ­ 59 a a 1 v g 9 e 6 e r * 9 ­ May June July Aug 1 . 969 Sept. Oct. Nov. Dec. Jan. Feb. M 19 a 7 r 0 .T Apr.r Mayr Total index. 100.00 172.8 172.4 176.7 167.7 174.6 179.2 177.8 173.6 169.6 168.2 171.5 172.1 170.6 169.3 Final products, total......................... 47.35 170.8 168.4 174.0 166.4 173.4 179.2 176.5 170.0 166.2 167.1 170.5 169.9 167.1 165.9 Consumer goods........................... 32.31 162.5 158.2 165.5 156.5 166.3 172.6 169.4 162.6 156.6 159.0 163.0 161.8 160.4 160.3 Equipment, including defense... 15.04 188.6 190.4 192.4 187.7 188.5 193.4 191.8 186.0 187.0 184.3 186.5 187.3 181.6 177.8 Materials........................................... 52.65 174.6 176.1 179.2 168.8 175.6 179.2 178.9 176.9 172.6 169.5 172.5 174.0 173.7 172.4 Consumer goods Automotive products................... 3.21 173.2 173.1 191.1 132.5 133.2 181.8 189.8 179.0 167.8 163.3 161.6 167.0 167.0 172.8 Autos.......................................... 1.82 162.8 165.3 191.0 94.7 91.9 175.0 188.6 172.3 155.8 146.2 140.4 152.2 152.4 173.2 Auto parts and allied products. 1.39 186.8 183.5 191.1 182.1 187.6 190.6 191.3 187.8 183.6 185.9 189.4 186.5 186.3 172.3 Home goods and apparel................... 10.00 159.3 162.3 165.4 147.9 159.2 162.0 166.0 156.6 143.4 147.4 158.6 158.3 156.4 153.9 Home goods...................................... 4.59 184.0 188.4 191.2 172.0 179.4 190.5 193.7 173.7 167.2 166.3 178.4 182.9 181.4 177.8 Appliances, TV, and radios........ 1.81 180.2 194.3 194.6 166.1 164.4 189.5 194.5 147.9 135.0 149.8 181.6 190.1 188.2 185.8 Appliances................................ 1.33 192.4 212.0 212.7 185.5 168.8 200.7 204.3 149.5 147.5 161.6 201.9 215.7 222.9 220.0 TV and home radios................ .47 145.6 144.3 143.8 111.1 152.1 158.0 166.7 143.4 99.7 116.4 124.3 117.8 90.3 89.5 Furniture and rugs....................... 1.26 180.3 176.4 181.8 171.4 183.8 182.9 184.8 182.5 181.5 170.0 167.2 168.3 165.8 159.7 Miscellaneous home goods......... 1.52 191.5 191.4 194.8 179.6 193.5 197.9 200.2 196.9 193.6 182.9 183.9 186.3 186.2 183.2 Apparel, knit goods, and shoes 5.41 138.5 140.1 143.6 127.5 142.1 137.9 142.5 142.1 123.2 131.4 141.8 137.4 153.2 Consumer staples............................... 19.10 162.4 153.5 161.2 165.1 175.6 176.6 167.8 163.0 161.6 164.4 165.6 162.8 161.4 161.5 Processed foods................................. 8.43 136.6 128.2 134.7 134.6 150.2 155.6 146.8 141.7 134.7 131.8 133.2 131.6 129.9 132.6 Beverages and tobacco..................... 2.43 146.8 148.3 160.8 155.8 164.8 156.4 152.8 137.3 129.7 132.7 140.8 142.8 151.7 Drugs, soap, and toiletries............... 2.97 209.0 203.8 213.3 206.6 211.3 216.9 215.4 214.3 212.0 213.2 220.1 216.5 216.4 215.1 Newspapers, magazines, and books. 1.47 147.1 146.9 145.7 147.5 149.4 151.1 147.0 147.0 149.4 146.4 147.0 148.3 146.6 147.1 Consumer fuel and lighting.............. 3.67 199.6 176.0 185.6 214.3 222.6 215.2 194.3 192.5 207.7 226.9 218.4 209.1 200.0 Fuel oil and gasoline..................... 1.20 144.6 139.3 145.1 148.7 148.7 149.4 147.0 151.8 153.5 151.5 150.0 148.7 144.3 144.5 Residential utilities........................ 2.46 226.3 Electricity................................... 1.72 249.7 203.8 219.7 277.9 295.1 278.4 235.2 227.5 258.2 299.9 282.2 262.9 246.1 Gas............................................ .74 Equipment Business equipment......................... 11.63 195.6 196.7 200.0 193.6 195.1 201.6 200.2 193.6 194.8 193.0 197.3 199.5 193.9 189.9 Industrial equipment..................... 6.85 179.1 181.1 184.5 179.4 179.8 185.6 181.8 174.4 177.2 176.9 184.9 187.0 182.1 176.1 Commercial equipment................. 2.42 220.0 219.0 221.7 216.1 221.3 226.2 227.1 226.0 228.5 223.2 220.8 223.0 219.2 217.9 Freight and passenger equipment. 1.76 246.7 245.6 250.4 245.5 244.7 251.9 254.5 247.7 238.5 232.3 231.8 232.9 223.9 224.5 Farm equipment............................ .61 136.8 142.7 143.2 113.7 120.7 137.8 143.8 124.1 132.5 141.0 143.9 150.5 140.1 Defense equipment.......... 3.41 Materials Durable goods materials. 26.73 165.5 167.4 171.6 160.5 166.2 170.2 169.7 166.3 161. 156.8 158.4 161.3 160.4 159.3 Consumer durable.......... 3.43 163.9 161.3 166.0 149.1 161.0 170.0 168.9 163.3 158.4 153.9 144.4 147.3 147.9 150.6 Equipment...................... 7.84 191.9 193.0 195.1 187.2 189.2 195.2 194.2 190.9 192.6 190.3 190.3 191.9 185.8 179.4 Construction................... 9.17 152.4 155.3 161.6 154.5 160.4 160.3 157.8 152.5 145.9 137.0 141.1 144.0 148.0 148.5 Metal materials n.e.c.... 6.29 152.8 156.6 160.1 142.1 149.0 153.8 157.0 157.3 148.6 145.5 151.6 156.1 153.7 154.6 Nondurable materials............ 25.92 183.9 185.0 187.0 177.3 185.3 188.5 188.4 187.8 183.7 182.5 186.9 187.1 187.3 185.9 Business supplies.................. 9.11 166.6 168.6 168.0 156.8 167.5 171.7 174.1 170.9 162.7 161.5 165.6 167.8 167.9 167.1 Containers......................... 3.03 168.6 169.9 172.7 161.4 176.7 177.5 178.6 165.6 154.9 165.0 167.3 165.8 172.1 168.6 General business supplies. 6.07 165.5 168.0 165.7 154.5 162.8 168.8 171.9 173.5 166.6 159.8 164.7 168.8 165.7 166.3 Nondurable materials n.e.c.. 7.40 237.8 240.1 243.0 227.8 235.8 241.3 241.4 244.4 237.6 235.9 243.8 241.9 243.2 235.3 Business fuel and power.......... 9.41 158.2 157.4 161.2 157.5 162.9 163.2 160.6 159.5 161.5 160.8 162.9 162.8 162.1 165.2 Mineral fuels......................... 6.07 134.9 137.3 138.1 129.5 134.8 135.9 136.2 137.8 139.4 137.5 141.6 140.5 140.9 142.9 Nonresidential utilities........ 2.86 216.7 Electricity......................... 2.32 220.6 210.9 224.4 231.7 240.2 238.8 227.5 218.3 221.2 224.7 221.1 223.6 220.7 General industrial........ 1.03 216.1 214.5 220.7 215.6 223.6 224.7 225.1 218.4 218.9 215.4 212.6 217.0 217.7 Commercial and other. 1.21 236.1 218.7 239.4 258.0 267.6 263.9 241.7 230.0 235.0 244.8 240.4 241.0 235.1 Gas.................................... .54 Supplementary groups of consumer goods Automotive and home goods. 7.80 179.5 182.1 191.1 155.7 160.4 186.9 192.1 175.9 167.4 165.1 171.5 176.3 175.5 175.7 Apparel and staples............... 24.51 157.1 150.5 157.3 156.8 168.2 168.0 162.2 158.4 153.1 157.1 160.3 157.2 155.6 For Note see p. A-61. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ INDUSTRIAL PRODUCTION: N.S.A. A 61 INDUSTRY GROUPINGS (1957-59= 100) Grouping 19 p 5 r 7 o - ­ 59 a 1 v 9 e 6 r 9 ­ 1969 1970 p ti o o r n ­ age p May June July Aug. Sept. Oct. Nov. Dec, Jan. Feb. Mar.r Apr.r May Total index. 100.00 172.8 172.4 176.7 167.7 174.6 179.2 177.8 173.6 169.6 168.2 171.5 172.1 170.6 169.3 Manufacturing, total., 86.45 173.9 174.4 178.5 167.3 174.3 180.0 179.5 175.0 169.6 167.5 171.3 172.2 170.8 169.1 Durable................. 48.07 176.5 178.3 182.2 169.7 173.6 181.5 181 175.4 172.6 169.1 170.7 173.5 170.9 169.4 Nondurable........... 38.38 170.6 169.5 173.9 164.3 175.0 178.1 176.9 174.5 165.9 165.6 172.0 170.6 170.7 168.7 Mining....................... 8.23 130.2 132.9 134.6 127.9 132.3 132.9 132.7 132.9 133.1 130.1 134.1 134.0 135.0 138.4 Utilities..................... 5.32 221.2 Durable manufactures Primary and fabricated metals........ 12.32 162.5 164.1 167.9 154.3 161.7 165.7 166.3 165.8 161. 158.3 158.1 161.4 158.7 158.3 Primary metals................................. 6.95 149.1 153.0 155.4 137.2 144.2 148.6 151.9 152.5 144.7 143.1 145.7 150.7 148.0 148.8 Iron and steel............................... 5.45 140.3 144.4 145.6 130.0 135.5 140.0 143.6 144.1 136.7 135.2 136.3 141.1 138.3 139.4 Nonferrous metals and products. 1.50 181.1 184.3 190.8 163.6 176.1 179.9 182.1 183.1 173.9 171.8 180.0 185.6 183.1 182.9 Fabricated metal products.............. 5.37 179.8 178.3 184.2 176.4 184.2 187.7 184.8 183.0 183.8 177.9 174.1 175.1 172.6 170.6 Structural metal parts................. 2.86 173.3 172.2 177.3 170.8 175.8 178.4 177.7 177.1 178.9 171.9 167.6 167.6 165.1 163.9 Machinery and related products 27.98 188.4 190.5 194.2 180.8 182.0 193.6 193.4 184.6 183.2 181.0 182.9 185. 181.7 179.8 Machinery........................................ 14.80 195.7 198.5 201 190.6 193.2 202.1 200.8 189.6 190.2 191.3 198.8 202.1 197.3 192.1 Nonelectrical machinery.............. 8.43 194.6 197.9 200.8 191.1 188.3 197.2 196.7 193.0 197.9 197.9 199.7 202.1 197.4 191.5 Electrical machinery.................... 6.37 197.2 199.3 201.9 189.9 199.8 208.5 206.3 185.0 180.1 182.5 197.6 202.1 197.2 192.9 Transportation equipment.............. 10.19 174.6 175.6 181.1 161.4 160.6 179.7 181.7 174.2 169.0 163.5 158.2 161.6 159.0 161.5 Motor vehicles and parts............ 4.68 166.9 165.6 180.9 136.5 137.7 173.8 179.9 170.2 159.4 154.3 148.3 155.7 155.4 167.8 Aircraft and other equipment... 5.26 177.8 180.1 177.0 179.0 177.1 181.9 180.5 174.5 174.1 168.4 163.8 163.7 158.7 152.8 Instruments and related products.. 1.71 194.4 193.3 197.7 192.8 196.5 197.5 196.0 197.6 199.8 192.5 191.1 194.6 192.5 190.6 Ordnance and accessories............... 1.28 Clay, glass, and lumber.............. 4.72 142.5 145.2 150.4 143.6 150.3 150.3 149.1 142.2 132.5 125.6 132.5 134.1 139.9 139.1 Clay, glass, and stone products. 2.99 156.0 159.4 165 161.1 167.4 166.7 164.9 157.5 149.1 137.5 142.9 145.8 154.0 154.0 Lumber and products................ 1.73 119.1 120.7 123.6 113.4 120.9 122.1 121.8 115.8 103.8 105.0 114.6 113.7 115.5 Furniture and miscellaneous.. 3.05 176.7 174.8 179.3 170.6 181.3 181.9 184.0 181. 181.3 170.2 169.3 171.0 169.0 165.4 Furniture and fixtures.......... 1.54 186.9 184.5 189 180.4 191.7 190.9 191.0 188.8 190.3 179.7 176.7 178.2 174.7 169.3 Miscellaneous manufactures. 1.51 166.4 165.0 168.9 160.7 170.8 172.7 176.9 174.7 172.2 160.6 161.7 163.6 163.2 161.4 Nondurable manufactures Textiles, apparel, and leather. 7.60 144.2 146.9 149.2 131.2 145.9 143.8 147.2 147.5 130. 138.9 146.4 143.0 141.0 139.2 Textile mill products............. 2.90 154.2 158.8 161.0 142.1 153.8 154.6 156.7 156.5 145.0 152.1 155.5 154.1 154.3 152.1 Apparel products................... 3.59 149.2 151.5 153.7 135.6 151.8 149.0 153.1 154.8 131.6 141.4 152.3 147.1 143.6 Leather and products............ 1.11 101.9 101.1 104.2 106.5 99.2 103.6 100.6 91.4 96.4 103.6 100.7 98.2 Paper and printing.......... 8.17 164.4 165.1 165.6 155. 164.3 168.3 172.4 170.2 162.8 160.6 166.1 165.7 168.7 165.7 Paper and products........ 3.43 175.6 175.8 179.3 162.3 177.5 180.2 187.0 178.5 163.8 171.2 180.9 176.6 182.3 175.0 Printing and publishing. 4.74 156.3 157.4 155.7 151.2 154.7 159.7 161.9 164.3 162.1 152.9 155.4 157.8 158.8 159.0 Newspapers................. 1.53 142.7 152.2 142.0 126.7 132.1 144.0 153.4 159.6 145.5 129.7 136.4 140.0 148.4 154.0 Chemicals, petroleum, and rubber., 11.54 222.6 222. 228.2 216.1 223.1 229.4 227.0 227.1 221.7 218.5 228.0 226.9 225.5 219.7 Chemicals and products................ 7.58 239.0 239.7 244.9 234.7 239.0 244.8 241.1 241.9 239.1 235.2 246.0 244.4 246.0 239.4 Industrial chemicals................... 3.84 283.0 285.2 287.5 277.1 280.1 289.1 284.0 288.2 286.6 277.7 290.0 287.6 290.2 Petroleum products....................... 1.97 143.8 142.1 149.8 151.1 152.2 152.0 148.2 148.9 145.9 139.0 140.1 141.5 142.0 145.7 Rubber and plastics products....... 1.99 238.7 238.2 242.0 209.7 232.7 247.2 251.7 248.6 230.1 233.7 246.7 245.2 230.3 Foods, beverages, and tobacco., 11.07 139.0 132. 140.5 139.1 152.9 155.3 148.4 141.2 134.0 132.6 135.5 134.6 135.3 138.0 Foods and beverages............... 10.25 140.7 133.8 141.3 141.7 155.2 157.9 150.4 143.0 137.3 133.9 136.6 136.1 136.1 138.7 Food manufactures.............. 8.64 136.7 128.4 134.7 134.4 149.5 155.0 147.2 142.3 135.3 132.5 134.0 132.2 130.6 133.2 Beverages.............................. 1.61 161.9 162.8 176.2 180.8 185.5 173.3 167.5 146.9 148.0 140.9 150.2 157.0 165.4 Tobacco products..................... .82 117.3 119.6 130.4 106.5 124.2 123.2 123.9 118.5 93.7 116.5 122.2 115.0 124.8 Mining Coat, oil, and gas.............. 6.80 127.4 129.6 130.3 122.6 127.3 128.3 128.6 130.2 131.9 130.4 134.1 132.8 132.4 134.8 Coal................................... 1.16 117.7 125.1 116.6 91.0 128.4 121.3 126.1 123.8 117.2 110.8 123.8 122.5 123.9 135.5 Crude oil and natural gas. 5.64 129.3 130.5 133.1 129.1 127.1 129.8 129.1 131.5 134.9 134.5 136.3 134.9 134.2 134.6 Oil and gas extraction.. 4.91 139.0 140.2 143.2 138.6 136.3 139.4 138.6 141.1 144.6 143.9 145.8 144.7 144.9 144.6 Crude oil................... 4.25 132.0 133.8 137.8 132.8 129.8 132.9 131.5 133.5 136.3 135.7 137.0 136.2 137.4 137.7 Gas and gas liquids.. .66 184.0 Oil and gas drilling........ .73 64.2 Metal, stone, and earth minerals. 1.43 143.5 148.9 155.1 152.8 156.0 154.4 152.1 145.9 139.3 128.3 133.6 139.7 146.9 155.7 Metal mining............................... .61 142.0 147.9 155.3 147.8 153.7 150.4 151.0 142.6 137.1 137.0 142.6 147.6 151.2 166.2 Stone and earth minerals............ .82 144.7 149.7 155.0 156.6 157.8 157.3 152.9 148.3 140.9 121.8 126.9 133.9 143.8 147.9 Utilities Electric. 4.04 233.0 207.9 222.4 251.4 263.6 255.7 230.7 222.2 237.0 256.7 247.2 240.3 231.6 , Gas....... 1.28 174.1 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 http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 62 BUSINESS ACTIVITY; CONSTRUCTION □ JULY 1970 SELECTED BUSINESS INDEXES (1957-59= 100, except as noted) Industrial production fac M tu a r n in u g ­ 2 Prices 5 Period Total To M t F a a i l n jo a r g l s C o m u p o o m r a n d o r e ­ s d k r u e E c t m t q g s u e r n o ip t u ­ pin M ri g a a s 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 ­ u g s s try U it i t e il s ­ i p u n c t t a ( C i i e p m c o l n i a e i n z f t t ­ r y ) a g ­ . t s C t r c t i a r o o o c u n n n t c s ­ ­ ­ N T m r p t i o e o u c e l m n o t r u n a a a y l t ­ l g l - — ­ i - p m E lo e m n y ­ t ­ r P o a ll y s ­ 3 s T r a e o l t e t a a s i l l 4 s C um on e ­ r W m c s o o a h m d l o e i l ­ t e y ­ 195 1 81.3 78.6 77.8 78.4 83.8 81.9 91.3 56.4 94.0 63 91.1 106.1 80.2 76 90.5 96.7 195 2 84.3 84.3 79.5 94.1 84.3 85.2 90.5 61.2 91.3 67 93.0 106.1 84.5 79 92.5 94.0 195 3 91.3 89.9 85.0 100.5 92.6 92.7 92.9 66.8 94.2 70 95.6 111.6 93.6 83 93.2 92.7 195 4 85.8 85.7 84.3 88.9 85.9 86.3 90.2 71.8 83.5 76 93.3 101.8 85.4 82 93.6 92.9 195 5 96.6 93.9 93.3 95.0 99.0 97.3 99.2 80.2 90.0 91 96.5 105.5 94.8 89 93.3 93.2 195 6 99.9 98.1 95.5 103.7 101.6 100.2 104.8 87.9 87.7 92 99.8 106.7 100.2 92 94.7 96.2 195 7 100.7 99.4 97.0 104.6 101.9 100.8 104.6 93.9 83.6 93 100.7 104.7 101.4 97 98.0 99.0 195 8 93.7 94.8 96.4 91.3 92.7 93.2 95.6 98.1 74.0 102 97.8 95.2 93.5 98 100.7 100.4 195 9 105.6 105.7 106.6 104.1 105.4 106.0 99.7 108.0 81.5 105 101.5 100.1 105.1 105 101.5 100.6 196 0 108.7 109.9 111.0 107.6 107.6 108.9 101.6 115.6 80.6 105 103.3 99.9 106.7 106 103.1 100.7 196 1 109.7 111.2 112.6 108.3 108.4 109.6 102.6 122.3 78.5 108 102.9 95.9 105.4 107 104.2 100.3 196 2 118.3 119.7 119.7 119.6 117.0 118.7 105.0 131.4 82.1 120 105.9 99.1 113.8 115 105.4 100.6 196 3 124.3 124.9 125.2 124.2 123.7 124.9 107.9 140.0 83.3 132 108.0 99.7 117.9 120 106.7 100.3 196 4 132.3 131.8 131.7 132.0 132.8 133.1 111.5 151.3 85.7 137 111.1 101.5 124.3 128 108.1 100.5 196 5 143.4 142.5 140.3 147.0 144.2 145.0 114.8 160.9 88.5 143 115.8 106.7 136.6 138 109.9 102.5 196 6 156.3 155.5 147.5 172.6 157.0 158.6 120.5 173.9 90.5 145 121.8 113.5 151.7 148 113.1 105.9 196 7 158.1 158.3 148.5 179.4 157.8 159.7 123.8 184.9 85.3 153 125.4 113.6 155.1 153 116.3 106.1 196 8 rl 65.5 r165.1rl 56.9 182.6 '165.8 '166.9 '126.6 '202.5 84.5 173 '129.3 115.2 167.8 165 121.2 108.7 196 9 172.8 170.8 162.5 188.6 174.6 173.9 130.2 221.2 '133.8 '117.3 180.2 171 127.7 113.0 1969—May.. 172.5 170.0 160.7 190.0 174.5 173.8 130.3 213.6 210 '133.6 '117.4 177.7 172 126.8 112.8 June.. 173.7 170.7 161.5 190.4 176.3 174.8 134.4 215.6 6*84.5 186 '133.9 '117.8 180.3 172 127.6 113.2 July.. 174.6 172.8 164.4 190.8 176.5 175.6 133.2 222.2 180 '134.0 '117.8 179.8 170 128.2 113.3 Aug.. 174.3 172.7 164.2 190.3 175.9 175.4 131.2 222.6 *84.2 216 134.2 '117.7 183.9 172 128.7 113.4 Sept.. 173.9 172.2 162.8 192.4 176.0 175.2 131.6 222.5 173 '134.4 '117.7 184.2 171 129.3 113.6 Oct... 173.1 170.9 161.2 191.9 175.4 173.9 130.2 226.0 195 '134.9 '117,4 183.4 173 129.8 114.0 Nov.. 171.4 168.4 160.5 185.6 174.6 171.8 132.6 226.0 *81.7 178 '134.8 '116.2 182.2 172 130.5 114.7 Dec... 171.1 168.5 160.7 185.2 173.9 171.3 134.4 227.9 218 '134.9 '116.2 184.4 172 131.3 115.1 1970—Jan... 170.4 168.5 161.5 183.6 172.5 170.2 131.7 230.1 205 '135.2 '115.7 182.4 173 131.8 116.0 Feb... 170.5 169.9 162.4 186.2 171.5 170.3 134.2 232.7 *79.8 215 '135.4 '115.0 179.3 175 132.5 116.4 Mar.. 171.1 r169.7 r162.0 '186.3 '171.7 '170.8 '135.1 230.3 208 135.7 115.2 182.2 174 133.2 116.6 Apr.., r170.2 >•168.8'163.0 '181.2 '171.7 '169.7 '133.9 '233.8 203 '135.5 114.2 r179.3 '179 134.0 116.6 May., 169.1 167.9 163.5 177.5 170.1 168.3 135.3 234.0 *77.9 170 135.0 112.6 177.0 177 134.6 116.8 June* 168.6 167.8 163.9 176.0 169.2 168.0 133.4 235.5 134.5 111.9 178.0 177 117.0 1 Employees only; excludes personnel in the Armed Forces. Capacity utilization: Based on data from Federal Reserve, McGraw- 2 Production workers only. Hill Economics Department, and Department of Commerce. 3 Figures for Mar., Apr., May, and June 1970 are adjusted to 1969 Construction contracts: F. W. Dodge Co. monthly index of dollar benchmark and are therefore not comparable with other data. value of total construction contracts, including residential, nonresidential, 4 F.R. index based on Census Bureau figures. and heavy engineering; does not include data for Alaska and Hawaii. 5 Prices are not seasonally adjusted. Employment and payrolls: Based on Bureau of Labor Statistics data; 6 Figure is for second quarter 1969. includes data for Alaska and Hawaii beginning with 1959. Prices: Bureau of Labor Statistics data. Note.—All series: Data are seasonally adjusted unless otherwise noted. CONSTRUCTION CONTRACTS AND PRIVATE HOUSING PERMITS (In millions of dollars, except as noted) 1969 1970 Type of ownership and 1968 1969 type of construction May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr. May Total construction 1......................... 61,732 67,425 7,081 6,443 6,298 6,523 5,140 6,240 4,406 5,228 4,927 5,249 6,140 6,757 5,417 By type of ownership: Public........................................ 19,597 22,656 2,536 2,326 2,352 2,605 1,719 1,626 1,427 1,727 1,433 1,652 2,037 1,791 Private *.................................... 42,135 44,769 4,545 4,118 3,947 3,918 3,420 4,615 2,980 3,501 3,495 3,597 3,864 4,966 By type of construction: Residential building 1.............. 24,838 25,219 2,620 2,548 2,296 2,394 1,952 2,290 1,675 1,744 1,475 1,482 1,974 2,466 2,122 Nonresidential building........... 22,512 25,667 2,680 2,357 2,402 2,460 2,013 2,502 1,566 2,168 2,252 2,269 2,191 2,412 1,749 Nonbuilding............................. 14,382 16,539 1,780 1,538 1,600 1,669 1,174 1,149 1,165 1,317 1,201 1,498 1,975 1,877 1,544 Private housing units authorized... 1,330 1,299 1,323 1,340 1,228 1,245 1,201 1,183 1,191 1,239 1,013 1,137 1,099 1,249 1,352 (In thousands, S.A., A.R.) i Because of improved collection procedures, data for 1-family homes Note.—Dollar value of construction contracts as reported by the F. W. beginning Jan. 1968 are not strictly comparable with those for earlier Dodge Co. does not include data for Alaska or Hawaii. Totals of monthly periods. To improve comparability, earlier levels may be raised by ap­ data exceed annual totals because adjustments—negative—are made into proximately 3 per cent for total and private construction, in each case, accumulated monthly data after original figures have been published. and by 8 per cent for residential building. Private housing units authorized are Census Bureau series for 13,000 reporting areas with local building permit systems. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ CONSTRUCTION A 63 VALUE OF NEW CONSTRUCTION ACTIVITY (In millions of dollars) Private Public Nonresidential Conser­ Period Total Total N f r a e o r s m n i­ ­ Buildings Total M ta i r l y i­ H w ig ay h­ d v e a v & t e i l o o n p­ Other 2 dential Total Indus­ Com­ b O u t i h ld er ­ Other ment trial mercial ings * 196 1 55,447 38,299 21,680 16,619 2,780 4,674 3,280 5,885 17,148 1,371 5,854 1,384 8,539 1962 3........................... 59,667 41,798 24,292 17,506 2,842 5,144 3,631 5,889 17,869 1,266 6,365 1,524 8,714 19634........................... 63,423 44,057 26,187 17,870 2,906 4,995 3,745 6,224 19,366 1,189 7,084 1,690 9,403 196 4 66,200 45,810 26,258 19,552 3,565 5,396 3.994 6,597 20,390 938 7,133 1,729 10,590 196 5 72,319 50,253 26,268 23,985 5,118 6,739 4,735 7,393 22,066 852 7,550 2,019 11,645 196 6 75,120 51,120 23.971 27,149 6,679 6,879 5,037 8,554 24,000 769 8,355 2.195 12,681 196 7 76,160 50,587 23,736 26,851 6,131 6,982 4,993 8,745 25,573 721 8,538 2.196 14,511 196 8 84,692 56,996 28,823 28,173 5,594 8,333 4,873 9,373 27,696 824 9,295 2,046 15,531 196 9 90,866 62,806 30,603 32,203 6,373 10,136 5,521 10,170 28,060 949 1969—Ma y 92,359 63,669 32.971 30,698 5,923 9,284 5,428 10,063 28,690 1,003 June.................. 91,475 63,027 31,635 31,392 6,050 10,020 5,177 10,145 28,448 949 July................... 90,806 63,161 30,304 32,857 6,404 10,417 5,566 10,470 27,645 792 Aug................... 89.889 62,412 29,284 33,128 6,414 10,343 5,917 10,454 27,477 863 Sept................... 91,105 63,725 29,214 34,511 6,714 11,118 5.995 10,684 27,380 920 Oct.................... 90,972 63,696 29,415 34,281 6,946 19,846 5,850 10,629 27,096 943 Nov................... 88,913 61,927 28,900 33,027 6,571 10,168 6,023 10,265 26,986 779 Dec................... 89,463 61,582 28,630 32,952 6,419 10,337 5,861 10,335 27,881 895 1970—Ja.......................n 89.890 61,837 27,811 34,026 6,433 11,029 5,885 10,679 28,053 937 Feb.................... 90,749 62,111 27,429 34,682 6,000 11,724 6,227 10,731 28,638 890 Mar................... 90,285 62,268 27,690 34,578 5,916 11,831 6,099 10,733 28,017 766 Apr.r................ 88,530 61,483 27,708 33,061 6,230 10,577 5,857 11,113 27,047 746 May*................ 86,164 59,666 26,974 32,692 6,148 9,984 5,738 10,822 26,498 868 * Includes religious, educational, hospital, institutional, and other build­ 4 Beginning 1963, reflects inclusion of new series under "Public(”f or ings. State and local govt, activity only). * Sewer and water, formerly shown separately, now included in "Other.” 3 Beginning July 1962, reflects inclusion of new series affecting most Note.—Monthly data are at seasonally adjusted annual rates. Figures private nonresidential groups. for period shown are Census Bureau estimates. NEW HOUSING UNITS (In thousands) Units started Private (S.A., A.R.) Government Mobile Private and public underwritten home Period (N.S.A.) (N.S.A.) ship­ Region Type of structure ments (N.S.A.; Total 5- or N e o a r s t t h­ C N e o n r t t r h al South West fam 1- ily 2 fa - m to i l 4 y - f m am or i e ly - Total Private Public Total FHA VA 1961......................... 1,313 247 277 473 316 974 3.39 1,365 1,313 52 328 244 83 90 1962......................... 1,463 264 290 531 378 991 471 1,492 1,463 30 339 261 78 118 1963......................... 1,610 261 328 591 431 1,021 589 1,642 1,610 32 292 221 71 151 1964......................... 1,529 253 339 582 355 972 108 450 1,562 1,529 32 264 205 59 191 1965......................... 1,473 270 362 575 266 964 87 422 1,510 1,473 37 246 197 49 216 1966......................... 1,165 207 288 473 198 779 61 325 1,196 1,165 31 195 158 37 217 1967......................... 1,292 215 337 520 220 844 72 376 1,322 1,292 30 232 180 53 240 1968......................... 1,508 227 369 619 294 900 81 527 1,548 1,508 40 283 227 56 318 1969......................... 1,467 206 349 588 323 810 87 571 1,500 1,467 33 291 240 51 413 1969—May.............. 1,533 246 357 602 328 877 78 578 158 156 2 25 21 4 35 June.............. 1,507 243 322 599 343 826 70 611 151 147 4 26 22 5 36 July............... 1,429 168 304 584 373 803 63 563 127 125 1 26 21 5 35 Aug............... 1,376 186 395 525 270 752 68 556 128 125 3 27 22 4 38 Sept............... 1,481 140 365 615 361 828 96 557 133 129 4 23 18 5 40 Oct................ 1,390 172 299 574 345 766 93 531 126 123 2 30 25 5 43 Nov............... 1,280 164 267 517 332 762 83 435 97 95 3 23 19 4 33 Dec............... 1,402 167 297 573 365 776 105 521 85 84 1 27 23 4 27 1970—Jan................ 1,059 150 245 444 220 577 66 416 69 66 3 20 17 3 24 Feb................ 1,306 243 209 525 329 725 72 509 77 74 3 21 18 4 24 Mar.r............ 1,392 319 290 519 264 708 70 614 117 114 3 30 25 5 29 Apr.r............ 1,215 209 252 524 220 691 57 467 129 127 2 37 32 5 39 May*............ 1,200 194 207 544 255 715 78 407 123 120 3 42 37 5 Note.—Starts are Census Bureau series (including farm starts) except habilitation units under FHA, based on field office reports of first compli­ in the case of Govt.-underwritten, which are from Federal Housing ance inspections. Data may not always add to totals because of rounding. Admin, and Veterans Admin, and represent units started, including re­ Mobile home shipments are as reported by Mobile Homes Manufac­ turers Assn. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 64 EMPLOYMENT □ JULY 1970 LABOR FORCE, EMPLOYMENT, AND UNEMPLOYMENT (In thousands of persons, except as noted) Civilian labor force, S.A. Period i p T n o s o N t p t i a u t .S u l l t a . n A i t o o i . o n n n a - l l N ab N o o t . r S i n . f A o t . r h c e e T l f S a o o b . r A t c o a e . r l Total Total I E n m c n u p o lt l n u o a r y a g e l r d i­ 1 In U pl n o e y m ed ­ U (p n e r e m S a r m . e t A c e p n e . 2 l t n o t y ) ­ industries agriculture 196 4 127,224 51,394 75,830 73,091 69,305 64,782 4,523 3,786 5.2 196 5 129,236 52,058 77,178 74,455 71,088 66,726 4,361 3,366 4.5 196 6 131,180 52,288 78,893 75,770 72,895 68,915 3,979 2,875 3.8 19673........... 133,319 52,527 80,793 77,347 74,371 70.527 3,844 2,975 3.8 196 8 135,562 53,291 82,272 78,737 75,920 72,103 3,817 2,817 3.6 196 9 137,841 53,602 84,239 80,733 77,902 74,296 3,606 2,831 3.5 1969—June.. 137,737 51,857 84,028 80,504 77,741 74,058 3,683 2,763 3.4 July.. 137,935 51,617 84,310 80,789 77,931 74,370 3,561 2,858 3.5 Aug.. 138,127 52,081 84,517 80,987 78,142 74.528 3,614 2.845 3.5 Sept.. 138,317 53,790 84,868 81,325 78,194 74,696 3.498 3,131 3.8 Oct... 138,539 53,501 85,051 81,523 78,445 74,999 3,446 3,078 3.8 Nov.. 138,732 53,812 84,872 81,379 78,528 75,094 3.434 2,851 3.5 Dec... 138,928 54,072 85,023 81,583 78,737 75,302 3.435 2.846 3.5 1970—Jan... 139,099 54,993 85,599 82,213 79,041 75,615 3,426 3,172 3.9 Feb... 139,298 54,673 85,590 82,249 78,822 75,323 3.499 3,427 4.2 Mar.. 139,497 54,489 86,087 82,769 79,112 75,562 3,550 3,657 4.4 Apr.. 139,687 54,456 86,143 82,872 78,924 75,338 3,586 3,948 4.8 May.. 139,884 54,915 85,783 82,555 78,449 74,836 3,613 4,106 5.0 June.. 140,046 52,816 85,304 82,125 78,225 74,671 3,554 3,900 4.7 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 1967, data not strictly comparable with previous data. to the calendar week that contains the 12th day; annual data are averages Description of changes available from Bureau of Labor Statistics. of monthly figures. EMPLOYMENT IN NONAGRICULTURAL ESTABLISHMENTS, BY INDUSTRY DIVISION (In thousands of persons) Contract Transporta­ Period Total M t a u n ri u n f g ac­ Mining con ti s o tr n uc­ ti li o c n u & til i p ti u e b s ­ Trade Finance Service G m ov e e n r t n­ 1964......................................................... 58,331 17,274 634 3,050 3,951 12,160 2,957 8,709 9,596 1965......................................................... 60,815 18,062 632 3,186 4,036 12,716 3,023 9,087 10,074 1966......................................................... 63,955 19,214 627 3,275 4,151 13,245 3,100 9,551 10,792 1967......................................................... 65,857 19,447 613 3,208 4,261 13,606 3,225 10,099 11,398 1968......................................................... 67,915 19,781 606 3,285 4,310 14,084 3,382 19,623 11,845 1969......................................................... 70,274 20,169 619 3,437 4,431 14,645 3,557 11,211 12,204 SEASONALLY ADJUSTED 1969—June............................................. 70,347 20,248 614 3,442 4,445 14,647 3,556 11,174 12,221 July.............................................. 70,400 20,247 618 3,439 4,454 14,673 3,567 11,205 12,197 Aug.............................................. 70,497 20,246 621 3,420 4,457 14,713 3,580 11,248 12,212 Sept.............................................. 70,567 20,252 623 3,436 4,459 14,739 3,584 11,289 12,185 Oct............................................... 70,836 20,233 622 3,445 4,463 14,824 3,596 11,361 12,292 Nov.............................................. 70,808 20,082 624 3,473 4,464 14,848 3,611 11,383 12,323 Dec............................................... 70,842 20,082 627 3,496 4,469 14,750 3,626 11,431 12,361 1970—Jan............................................... 70,992 20,018 625 3,394 4,507 14,938 3,648 11,472 12,390 Feb............................................... 71,135 19,937 626 3,466 4,496 14,987 3,652 11,530 12,441 Mar.............................................. 71,256 19,944 626 3,481 4,502 14,984 3,665 11,537 12,517 Apr............................................... 71,163 19,795 622 3,426 4,468 14,991 3,673 11,564 12,624 Mayp........................................... 70,881 19,580 619 3,359 4,479 14,976 3,679 11,577 12,612 June?........................................... 70,666 19,460 612 3,325 4,499 14,968 3,663 11,571 12,568 NOT SEASONALLY ADJUSTED 1969—June............................................. 71,116 20,387 629 3,628 4,494 14,713 3,584 11,353 12,328 July.............................................. 70,481 20,164 635 3,707 4,507 14,663 3,628 11,384 11,793 Aug.............................................. 70,758 20,497 638 3,731 4,510 14,670 3,641 11,372 11,699 Sept.............................................. 70,964 20,482 630 3,687 4,508 14,714 3,595 11,300 12,048 Oct............................................... 71,333 20,395 623 3,648 4,481 14,850 3,589 11,372 12,375 Nov.............................................. 71,354 20,194 622 3,553 4,486 15,092 3,597 11,349 12,461 Dec............................................... 71,760 20,110 623 3,398 4,478 15,638 3,608 11,351 12,554 1970—Jan............................................... 69,933 19,824 611 3,048 4,435 14,707 3,604 11,254 12,450 Feb............................................... 70,029 19,770 608 3,071 4,420 14,606 3,615 11,357 12,582 Mar.............................................. 70,460 19,794 610 3,161 4,443 14,700 3,639 11,433 12,680 Apr............................................... 70,758 19,627 616 3,286 4,432 14,818 3,658 11,564 12,757 May?............................................ 70,805 19,436 619 3,352 4,470 14,886 3,672 11,646 12,724 June?............................................ 71,445 19,607 627 3,505 4,548 15,035 3,692 11,756 12,675 Note.—Bureau of Labor Statistics; data include all full- and part- Data on total and government employment have been revised back time employees who worked during, or received pay for, the pay pe­ to 1964 due to adjustment of State and local government series to riod that includes the 12th of the month. Proprietors, self-employed Oct. 1967 Census of Governments. persons, domestic servants, unpaid family workers, and members of Beginning with 1968, series has been adjusted to Mar. 1969 bench­ the Armed Forces are excluded. mark. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 a EMPLOYMENT AND EARNINGS A 65 PRODUCTION WORKER EMPLOYMENT IN MANUFACTURING INDUSTRIES (In thousands of persons) Seasonally adjusted1 Not seasonally adjusted1L Industry group 1969 1970 1969 1970 June Apr. May* June* June Apr. May* June* 14,844 14,389 14,188 14,101 14,958 14,240 14,069 14,220 Durable goods................................................................. 8,707 8,318 8,187 8,108 8,794 8,282 8,166 8,201 Ordnance and accessories...................................... 188 143 141 138 187 142 139 137 Lumber and wood products.................................. 532 504 501 492 554 494 499 513 403 386 375 370 404 381 371 371 Stone, clay, and glass products............................. 527 512 504 503 540 508 504 516 Primary metal industries........................................ 1,083 1,049 1,036 1,039 1,109 1,058 1,046 1,064 Fabricated metal products.................................... 1,112 1,079 1,062 1,054 1,124 1,070 1,056 1,065 1,384 1,366 1,339 1,321 1,398 1,375 1,342 1,334 Electrical equipment and supplies......................... 1,364 1,313 1,293 1,273 1,358 1,296 1,274 1,268 Transportation equipment..................................... 1,473 1,345 1,320 1,306 1,475 1,347 1,325 1,318 Instruments and related products......................... 296 289 287 285 297 287 285 285 Miscellaneous manufacturing industries............... 345 332 329 327 348 324 325 330 6,137 6,071 6,001 5,993 6,164 5,958 5,903 6,019 Food and kindred products................................... 1,202 1,217 1,216 1,206 1,191 1,138 1,150 1,195 Tobacco manufactures........................................... 68 67 68 67 59 58 58 58 Textile-mill products.............................................. 883 860 853 844 894 856 849 855 Apparel and related products............................... 1,246 1,221 1,210 1,211 1,261 1,210 1,206 1,225 Paper and allied products...................................... 552 556 551 547 560 551 545 555 Printing, publishing, and allied industries............ 680 687 682 678 680 687 680 678 Chemicals and allied products............................... 626 610 606 603 631 615 607 608 Petroleum refining and related industries.............. 118 118 118 118 121 117 117 122 Rubber and misc. plastic products......................... 464 450 412 431 466 445 409 433 Leather and leather products................................. 298 285 285 288 301 281 282 290 1 Data adjusted to 1969 benchmark. S^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 worked1 Average weekly earnings1 Average hourly earnings1 (per week; S.A.) (dollars per week; N.S.A.) (dollars per hour; N.S.A.) Industry group 1969 1970 1969 1970 1969 1970 June Apr. May* June* June Apr. May* June* June Apr. May* June* Total.................................................................... 40.7 40.0 39.8 39.8 130.06 131.80 132.93 134.40 3.18 3.32 3.34 3.36 41.3 40.4 40.4 40.4 139.86 141.50 143.42 145.35 3.27 3.52 3.,55 3.58 Ordnance and accessories.......................... 40.7 41.1 40.8 40.8 139.94 146.06 146.47 146.42 3.43 3.58 3.,59 3.58 Lumber and wood products...................... 40.1 39.8 39.8 39.6 110.43 114.62 117.38 119.50 2.72 2.88 2.,92 2.98 Furniture and fixtures................................ 40.6 39.3 38.8 38.6 106.90 105.65 105.49 106.70 2.62 2.73 2.,74 2.75 Stone, clay, and glass products................. 41.9 41.6 41.3 41.3 134.51 139.03 139.86 141.36 3.18 3.35 3.,37 3.39 Primary metal industries............................ 41.7 40.1 40.2 39.6 158.34 146.35 157.56 156.81 3.77 3.87 3.90 3.93 Fabricated metal products......................... 41.7 40.9 40.6 40.8 139.86 142.10 143.26 145.14 3.33 3.50 3.,52 3.54 Machinery................................................... 42.5 41.4 41.1 41.0 152.08 155.25 154.54 154.95 3.57 3.75 3.,76 3.77 Electrical equipment and supplies............. 40.6 40.0 39.9 39.7 125.36 128.30 130.54 132.14 3.08 3.24 3.,28 3.32 Transportation equipment......................... 41.6 39.7 40.4 41.7 160.58 156.80 164.43 172.22 3.86 4.00 4.,06 4.13 Instruments and related products............. 40.9 40.5 40.2 40.0 128.74 132.59 132.33 132.73 3.14 3.29 3.30 3.31 Miscellaneous manufacturing industries... 39.1 39.0 38.7 38.6 103.88 108.64 108.08 108.75 2.65 2.80 2.80 2.81 Nondurable goods............................................... 39.7 39.4 39.1 39.0 115.31 118.56 118.95 119.95 2.89 3.04 3.05 3.06 Food and kindred products....................... 40.7 40.6 40.7 40.5 120.66 124.49 127.98 128.21 2.95 3.12 3.16 3.15 Tobacco manufactures............................... 39.3 38.3 37.1 37.3 111.72 110.56 110.03 115.22 2.80 2.98 2.99 3.04 Textile-mill products.................................. 41.1 40.6 39.8 39.9 95.63 96.56 96.47 98.09 2.31 2.42 2.43 2.44 Apparel and related products................... 36.1 35.5 35.1 35.1 83.49 83.90 83.19 84.01 2.30 2.37 2.,37 2.38 Paper and allied products.......................... 43.0 42.1 41.9 41.5 139.21 140.53 142.46 142.27 3.23 3.37 3.40 3.42 Printing, publishing, and allied industries. 38.4 37.9 37.7 37.6 141.31 145.15 145.89 146.64 3.68 3.85 3.88 3.90 Chemicals and allied products................... 41.8 41.4 41.5 41.2 144.63 150.18 151.42 150.79 3.46 3.61 3.64 3.66 Petroleum refining and related industries . 42.3 41.9 42.4 42.7 169.58 179.77 181.48 182.75 3.99 4.26 4.25 4.26 Rubber and misc. plastic products............ 41.3 40.7 40.1 40.2 125.97 127.35 124.00 124.62 3.05 3.16 3.10 3.10 Leather and leather products..................... 37.4 37.4 37.6 37.2 88.83 90.02 92.13 93.62 2.35 2.48 2.49 2.49 i Data adjusted to 1969 benchmark. Note.—Bureau of Labor Statistics; data are for production and related workers only. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 66 PRICES □ JULY 1970 CONSUMER PRICES (1957-59*100) Housing Health and recreation Period it A em ll s Food Total Rent H ow s 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 O a i l c n e a i c d s t ­ y o n F i p a n i n u e s g r h d r s a ­ ­ ­ A up p a k p n e a d e re p l T p t o r i a o r n t n a s ­ ­ Total M c ic a e a r d e l ­ s c P o a e n r r a e ­ l r R e a i c e n n r a g d e d a ­ ­ g O 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 1960......................... 103.1 101.4 103.1 103.1 103.7 99.5 107.0 101.5 102.2 103.8 105.4 108.1 104.1 104.9 103.8 1961......................... 104.2 102.6 103.9 104.4 104.4 101.6 107.9 101.4 103.0 105.0 107.3 111.3 104.6 107.2 104.6 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 1967......................... 116.3 115.2 114.3 112.4 120.2 111.6 108.5 108.4 114.0 115.9 123.8 136.7 115.5 120.1 118.2 1968......................... 121.2 119.3 119.1 115.1 127.0 115.1 109.5 113.0 120.1 119.6 130.0 145.0 120.3 125.7 123.6 1969......................... 127.7 125.5 126.7 118.8 139.4 117.7 111.5 117.9 127.1 124.2 136.6 155.0 126.2 130.5 129.0 1969—May.............. 126.8 123.7 125.8 118.1 138.0 117.5 111.2 117.4 126.6 124.0 135.7 154.5 125.8 130.2 126.9 June.............. 127.6 125.5 126.3 118.5 138.7 117.5 111.3 117.9 127.0 124.6 136.3 155.2 126.2 130.4 127.9 July............... 128.2 126.7 127.0 118.8 140.0 117.4 110.9 118.2 126.8 124.3 137.0 155.9 126.6 130.7 129.1 Aug.............. 128.7 127.4 127.8 119.3 141.3 117.7 111.5 118.5 126.6 124.2 137.7 156.8 126.8 131.2 130.1 Sept............... 129.3 127.5 128.6 119.7 142.6 118.1 112.0 119.0 128.7 123.6 138.4 157.6 127.3 131.6 131.3 Oct................ 129.8 127.2 129.2 120.1 143.6 118.4 112.2 119.3 129.8 125.7 138.6 156.9 127.3 132.0 132.2 Nov............... 130.5 128.1 129.8 120.5 144.5 118.9 113.2 119.6 130.7 125.6 139.1 157.4 127.8 132.3 133.1 Dec............... 131.3 129.9 130.5 121.0 145.4 119.2 113.7 120.0 130.8 126.4 139.6 158.1 128.1 132.7 133.5 1970—Jan................ 131.8 130.7 131.1 121.3 146.8 119.7 114.1 120.1 129.3 127.3 140.1 159.0 128.5 133.1 133.9 Feb............... 132.5 131.5 132.2 121.8 148.5 120.6 114.6 120.8 130.0 127.3 140.7 160.1 129.0 133.2 134.3 133.2 131.6 133.6 122.3 150.9 120.8 114.8 121.6 130.6 127.1 141.4 161.6 129.6 133.6 134.8 Apr............... 134.0 132.0 134.4 122.6 152.1 120.9 115.7 122.0 131.1 128.9 142.3 162.8 129.8 134.4 135.6 May.............. 134.6 132.4 135.1 123.0 153.3 121.0 115.8 122.5 131.9 129.9 142.9 163.6 130.3 135.2 136.1 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 ­ ­ p F u r a c o r t d m s ­ c f f e P o a e s n o r e s o d d d e ­ s s d 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 l m s . , ­ R b e u t e c r b . , ­ L b e u e tc m r . , ­ P e a t p c e . r, M e a t l e c s t , . ­ e c M e q h u i d a n i ­ p ­ ­ F t e u u t r r c e n . , i­ N t m m al o i e l 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 s u a ­ s ­ ment erals ment1 1960............................. 100.7 96.9 100.0 101.3 101.5 105.2 99.6 100.2 99.9 100.4 101.8 101.3 102.9 100.1 101.4 101.7 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 99.5 101.8 102,0 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 98.8 101.8 102.4 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 98.1 101.3 103.3 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 98.5 101.5 104.1 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 98.0 101.7 104.8 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 99.1 102.6 106.8 1967............................. 106.1 99.7 111.7 106.3 102.1 115.8 103.6 98.4 97.0 105.4 104.0 109.5 111.8 101.0 104.3 109.2 1968............................. 108.8 102.2 114.2 109.0 105.8 119.5 102.5 98.2 100.2 119.4 104.9 112.4 115.4 103.9 108.2 111.7 1969............................. 113.0 108.5 119.8 112.7 108.0 125.8 104.6 98.3 102.1 132.0 108.2 118.9 119.0 106.1 112.8 100.7 114.7 1969—May................. 112.8 110.5 119.4 112.2 106.9 126.1 104.5 98.1 101.1 138.0 108.1 117.5 118.3 105.9 112.6 100.2 112.8 June................. 113.2 111.2 121.4 112.2 107.2 125.7 105.0 98.3 101.2 129.8 108.3 117.9 118.6 105.9 112.8 100.3 115.1 July................... 113.3 110.5 122.0 112.4 107.7 126.4 105.0 98.2 102.5 125.3 108.4 118.7 119.0 106.1 113.0 100.4 115.5 Aug................... 113.4 108.9 121.5 112.8 108.7 126.4 104.7 98.7 103.0 124.0 108.7 120.4 119.1 106.2 113.0 99.9 115.9 Sept................... 113.6 108.4 121.3 113.2 109.0 128.2 104.7 98.9 102.7 123.2 108.8 121.7 119.9 106.4 113.5 100.0 116.4 Oct.................... 114.0 107.9 121.6 113.8 109.1 127.4 105.4 98.6 103.5 122.6 109.0 122.4 120.5 106.5 113.8 102.3 116.7 Nov................... 114.7 111.1 121.8 114.2 109.2 126.8 105.5 98.9 104.4 123.9 109.3 122.9 121.0 106.9 113.9 102.7 117.0 Dec................... 115.1 111.7 122.6 114.6 109.2 126.5 106.1 98.8 104.5 122.5 109.5 123.8 121.9 107.2 114.5 102.7 117.0 1970—Jan.................... 116.0 112.5 125.1 115.1 109.5 126.6 105.6 99.1 104.7 121.6 111.1 124.9 122.5 107.5 116.5 102.9 117.4 Feb................... 116.4 113.7 125.2 115.5 109.4 126.7 106.4 99.5 104.6 120.2 111.8 126.1 122.8 107.9 116.9 102.9 117.5 Mar................... 116.6 114.3 124.9 115.8 109.5 126.8 106.3 100.0 104.4 119.5 112.1 127.0 123.1 108.1 117.3 103.2 117.8 Apr................... 116.6 111.3 124.9 116.2 109.3 128.5 107.5 100.4 104.2 120.1 112.5 127.8 123.4 108.3 117.8 103.1 117.8 May................. 116.8 111.0 124.1 116.6 109.3 127.9 109.1 100.6 104.2 121.0 112.3 128.7 123.7 108.3 117.9 103.2 118.2 1 For transportation equipment, Dec. 1968=100. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 a PRICES A 67 WHOLESALE PRICES: DETAIL (1957-39= 100) 1969 1970 1969 1970 Group Group May Mar. Apr. May May Mar. Apr. May Farm products: Pulp, paper, and allied products: Fresh and dried produce. 126.7 118.2 112.7 123.5 Pulp, paper and products, excluding Grains.............................. 86.7 85.5 87.8 88.4 building paper and board............. 108.3 112.9 113.2 113.0 Livestock......................... 123.0 129.6 124.8 122.2 Woodpulp.................................... 98.0 104.7 105.0 105.0 Live poultry..................... 90.7 90.8 82.8 83.7 Wastepaper................................... 107.1 108.5 108.5 104.2 Plant and animal fibers.. 67.7 64.9 65.4 65.6 Paper............................................ 116.7 121.6 121.6 121.6 Fluid milk....................... 134.1 139.7 141.1 139.5 Paperboard................................... 93.5 97.0 97.0 96.7 Eggs................................. 80.6 120.1 94.9 79.7 Converted paper and paperboard... 108.4 112.9 113.5 113.4 Hay and seeds................. 115.1 106.3 109.8 111.1 Building paper and board.......... 100.7 92.9 93.4 93.3 Other farm products....... 105.6 114.8 114.7 115.0 Processed foods and feeds: Metals and metal products: C D M e a e r i a e r t y a , l p p a r o n o u d d l t u b ry c a , t k s e a .. r n . y . d . . p . f . r . i . o s .. h d .. . u . . . . . c . . . . t . . . s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 1 1 3 2 2 9 1 . . . 5 4 0 1 1 1 3 2 2 3 7 3 . . . 1 1 7 1 1 1 3 2 2 5 4 4 . . . 1 9 6 1 1 1 2 2 3 2 5 4 . . . 5 6 4 S N Ir t o o e n e n l f m a e n r i r l d o l u p s s t r e o m e d l e . u . t . c . a . t l . s . s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 1 0 3 12 9 4 . . . 7 9 2 1 1 1 5 1 1 7 3 8 . . . 7 4 4 1 1 1 5 1 1 7 8 7 . . . 1 7 3 1 1 1 5 1 2 7 0 8 . . . 2 5 9 Processed fruits and vegetables.... 115.7 116.5 117.5 118.1 Metal containers.......................... 119.7 125.0 125.0 125.0 S A B u e n g v im a er r a a a l g n e f d a s t a s c n o a d n n f d b e e c o v t i i e l o r s n a .. g e .. e r . y . . m . . . . . . a . . . . t . . . e . . . r . . . . i . . a . . . . l . . s . . . . . 1 1 8 1 2 9 2 1 . . . 7 8 0 1 1 1 2 1 33 7 8 . . . 7 4 4 1 1 1 2 1 1 8 8 8 . . . 7 8 8 1 1 1 2 1 2 0 9 6 . . . 3 8 4 H P H l e a u a r m d ti b w n i g n a g r e e q e .. u q .. i u . p . i . m . p .. m . e .. n e .. t n . . . . t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 9 1 17 7 9 . . . 1 9 0 1 1 10 2 2 0 4 2 . . . 5 9 8 1 1 10 2 2 1 5 3 . . . 3 2 2 1 1 10 2 2 1 5 4 . . . 7 4 0 Crude vegetable oils....................... 81.0 110.7 114.7 106.6 Fabricated structural metal products 110.8 116.0 116.4 117.3 Refined vegetable oils..................... 89.4 111.9 107.7 106.4 Miscellaneous metal products........ 120.5 127.1 127.5 128.3 Vegetable oil end products............ 103.3 112.4 113.6 113.1 Miscellaneous processed foods.... 118.6 127.1 125.8 124.1 Manufactured animal feeds........... 114.9 119.0 121.4 119.4 Machinery and equipment: Textile products and apparel: Agricultural machinery and equip... 131.9 137.1 137.3 137.4 Cotton products........................... 104.6 105.8 105.8 105.8 Construction machinery and equip.. 134.3 140.6 140.8 140.9 Wool products.............................. 104.3 104.4 104.0 103.8 Metalworking machinery and equip. 132.1 139.8 140.3 141.3 Man-made fiber textile products. 92.6 90.4 89.9 89.5 General purpose machinery and Silk yarns...................................... 157.9 194.2 201.3 204.8 equipment..................................... 120.3 127.1 127.6 127.9 Apparel.......................................... 112.9 117.9 117.9 118.0 Special industry machinery and Textile housefurnishings.............. 103.2 108.6 108.6 108.7 equipment (Jan. 1961 = 100)....... 128.0 133.6 133.6 134.0 Miscellaneous textile products... 114.7 126.5 121.4 125.6 Electrical machinery and equip....... 104.5 107.2 107.3 107.5 Miscellaneous machinery................. 117.6 122.3 122.8 122.9 Hides, skins, leather, and products: Hides and skins........... 122.6 99.4 106.6 101.8 Furniture and household durables: Leather......................... 121.7 118.2 120.4 120.4 Footwear...................... 132.1 136.9 138.4 137.8 Household furniture......................... 121.9 125.3 125.6 125.9 Other leather products. 117.0 119.9 120.0 120.4 Commercial furniture....................... 119.0 124.9 125.1 125.1 Floor coverings................................. 94.6 93.4 93.1 92.8 Fuels and related products, and power: Household appliances....................... 93.0 94.7 94.8 94.9 Home electronic equipment............. 78.1 77.2 77.0 77.0 Coal............................................. 113.5 133.4 145.9 146.9 Other household durable goods.... 130.0 134.6 135.6 135.3 Coke............................................ 120.3 126.9 139.6 139.6 Gas fuels (Jan. 1958= 100)........ 121.6 135.0 136.2 136.1 Electric power (Jan. 1958= 100). 102.5 103.6 103.7 104.2 Nonmetallic mineral products: Crude petroleum......................... 104.7 104.5 104.5 104.5 Petroleum products, refined.... 102.4 100.8 101.3 104.2 Flat glass.......................................... 114.6 119.9 121.5 121.1 Concrete ingredients....................... 115.6 120.8 121.9 122.1 Chemicals and allied products: Concrete products........................... 111.6 117.0 117.2 117.4 Structural clay products excluding I P n r d ep u a st r r e i d a l p c a h i e n m t.. i . c .. a .. l . s .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 9 1 6 8 . . 9 7 1 9 2 7 2 . . 3 8 1 9 2 7 2 . . 9 8 1 9 2 8 2 . . 2 8 Re r f e r f a r c a t c o t r o i r e i s e . s .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 1 1 6 3 . . 8 6 1 1 1 2 9 5 . . 8 4 1 1 2 2 5 0 . .9 9 1 12 2 6 1 . . 1 2 Paint materials................................... 92.8 92.6 92.6 93.2 Asphalt roofing............................... 97.9 98.7 95.1 95.1 Drugs and pharmaceuticals............... 93.8 95.0 94.7 94.7 Gypsum products............................ 108.7 107.0 105.6 104.0 Fats and oils, inedible........................ 83.3 102.2 107.6 106.8 Glass containers............................... 116.1 120.9 120.9 120.9 Agricultural chemicals and products.. 92.1 92.0 92.4 91.7 Other nonmetallic minerals............ 109.0 112.4 113.5 113.7 Plastic resins and materials................. 80.8 81.2 81.1 80.6 Other chemicals and products.......... 112.7 116.5 116.8 117.7 Rubber and plastic products:1 Transportation equipment: Crude rubber....................................... 89.5 87.6 87.5 87.1 Motor vehicles and equipment... 106.5 109.4 109.3 109.4 Tires and tubes................................... 96.3 101.7 101.7 101.7 Railroad equipment (Jan. 1961 = 100) 111.1 118.7 118.8 119.0 Miscellaneous rubber products......... 110.2 114.3 114.3 115.7 Plastic construction products (Dec. 1969 = 100)........................................ 99.1 98.7 97.6 Miscellaneous products: Lumber and wood products: Toys, sporting goods, small arms, ammunition................................... 110.7 115.3 115.0 115.1 Lumber.................................................. 155.9 123.3 123.5 124.3 Tobacco products............................. 117.0 124.1 124.1 124.1 Millwork............................................... 134.3 130.7 130.8 131.1 Notions.............................................. 102.0 109.0 109.0 109.0 Plywood................................................ 103.5 94.5 97.2 99.5 Photographic equipment and supplies 112.4 115.9 116.2 116.2 Other wood products (Dec. 1966 = 100) 114.7 119.5 119.3 119.3 Other miscellaneous products.......... 111.7 114.8 115.0 116.6 l Retitled to include the direct pricing of plastic construction products; incorporate (1) new weights beginning with Jan. 1967 data and (2) various continuity of the group index is not affected. classification changes. Back data not yet available for some new classi- Note.—Bureau of Labor Statistics indexes as revised in Mar. 1967 to fications. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 68 NATIONAL PRODUCT AND INCOME a JULY 1970 GROSS NATIONAL PRODUCT (In billions of dollars) 1969 1970 Item 1929 1933 1941 1950 1965 1966 1967 1968 1969 I II III IV 1V Gross national product..................................... 103.1 55.6 124.5 284.8 684.9 749.9 793.5 865.7 932.1 908.7 924.8 942.8 952.2 959.6 Final purchases................................................. 101.4 57.2 120.1 278.0 675.3 735.1 786.2 858.4 924.1 902.1 917.9 932.0 944.5 958.9 Personal consumption expenditures................. 77.2 45.8 80.6 191.0 432.8 466.3 492.3 536.6 576.0 562.0 572.8 579.8 589.5 600.4 9.2 3.5 9.6 30.5 66.3 70.8 73.0 83.3 89.8 88.4 90.6 89.8 90.4 89.4 Nondurable goods........................................ 37.7 22.3 42.9 98.1 191.1 206.9 215.1 230.6 243.6 238.6 242.1 245.1 248.7 255.4 Services......................................................... 30.3 20.1 28.1 62.4 175.5 188.6 204.2 222.8 242.6 235.0 240.1 244.9 250.3 255.6 Gross private domestic investment................... 16.2 1.4 17.9 54.1 108.1 121.4 116.0 126.3 139.4 135.2 137.4 143.3 141.8 135.0 Fixed investment........................................... 14.5 3.0 13.4 47.3 98.5 106.6 108.6 119.0 131.4 128.6 130.5 132.5 134.0 134.2 Nonresidential............................................ 10.6 2.4 9.5 27.9 71.3 81.6 83.7 88.8 99.2 95.3 97.8 101.1 102.5 104.0 Structures.............................................. 5.0 .9 2.9 9.2 25.5 28.5 27.9 29.3 33.4 32.3 32.1 34.7 34.5 35.6 Producers’ durable equipment............. 5.6 1.5 6.6 18.7 45.8 53.1 55.7 59.5 65.8 63.0 65.7 66.4 68.0 68.5 Residential structures............................... 4.0 .6 3.9 19.4 27.2 25.0 25.0 30.2 32.2 33.3 32.7 31.4 31.6 30.2 Nonfarm................................................ 3.8 .5 3.7 18.6 26.7 24.5 24.4 29.6 31.7 32.8 32.2 30.9 31.0 29.7 Change in business inventories................... 1.7 -1.6 4.5 6.8 9.6 14.8 7.4 7.3 8.0 6.6 6.9 10.7 7.7 .8 Nonfarm.................................................... 1.8 -1.4 4.0 6.0 8.6 15.0 6.8 7.4 7.8 6.6 6.7 10.3 7.4 .4 Net exports of goods and services................... 1.1 .4 1.3 1.8 6.9 5.3 5.2 2.5 2.1 1.5 1.6 2.7 2.7 3.0 Exports.......................................................... 7.0 2.4 5.9 13.8 39.2 43.4 46.2 50.6 55.3 47.6 57.1 57.8 58.6 60.8 Imports.......................................................... 5.9 2.0 4.6 12.0 32.3 38.1 41.0 48.1 53.2 46.1 55.5 55.2 55.9 57.8 Government purchases of goods and services.. 8.5 8.0 24.8 37.9 137.0 156.8 180.1 200.3 214.6 210.0 212.9 217.0 218.3 221.2 Federal.......................................................... 1.3 2.0 16.9 18.4 66.9 77.8 90.7 99.5 101.9 101.6 100.6 103.2 102.3 102.3 National defense...................................... 13.8 14.1 50.1 60.7 72.4 78.0 79.2 79.0 78.5 80.3 79.2 78.9 Other......................................................... 3.1 4.3 16.8 17.1 18.4 21.5 22.7 22.6 22.1 22.9 23.1 23.3 7.2 6.0 7.9 19.5 70.1 79.0 89.3 100.7 112.7 108.5 112.3 113.8 116.0 118.9 Gross national product in constant (1958) dollars............................................................ 203.6 141.5 263.7 355.3 617.8 658.1 674.6 707.6 727.5 723.1 726.7 730.6 729.8 724.3 Note.—Dept, of Commerce estimates. Quarterly data are seasonally see the Survey of Current Business, July 1968, July 1969, and Supplement, adjusted totals at annual rates. For back data and explanation of series, Aug. 1966. NATIONAL INCOME (In billions of dollars) 1969 1970 1929 1933 1941 1950 1965 1966 1967 1968 1969 Item I II III IV Ip National income................................................ 86.8 40.3 104.2 241.1 564.3 620.6 654.0 714.4 771.0 751.3 765.7 780.6 786.5 792.6 Compensation of employees............................. 51.1 29.5 64.8 154.6 393.8 435.5 467.4 513.6 564.3 546.0 558.2 571.9 581.1 592.0 Wages and salaries....................................... 50.4 29.0 62.1 146.8 358.9 394.5 423.5 465.0 509.9 493.3 504.3 516.9 525.0 534.9 45.5 23.9 51.9 124.4 289.6 316.8 337.3 369.0 405.3 392.5 402.0 410.2 416.6 422.3 Military..................................................... .3 .3 1.9 5.0 12.1 14.6 16.2 18.0 19.2 18.2 18.4 20.1 19.9 20.8 Government civilian................................. 4.6 4.9 8.3 17.4 57.1 63.1 70.0 78.0 85.4 82.5 84.0 86.6 88.5 91.8 Supplements to wages and salaries............... .7 .5 2.7 7.8 35.0 41.0 43.9 48.6 54.4 52.7 53.8 55.0 56.1 57.1 Employer contributions for social in­ surance .................................................. .1 .1 2.0 4.0 16.2 20.3 21.8 24.4 28.2 27.3 27.9 28.6 29.1 29.6 Other labor income.................................. .6 .4 .7 3.8 18.7 20.7 22.1 24.2 26.2 25.5 26.0 26.4 26.9 27.5 Proprietors’ income.......................................... 15.1 5.9 17.5 37.5 57.3 61.3 61.9 63.8 66.3 64.6 66.5 67.3 66.7 66.6 Business and professional............................ 9.0 3.3 11.1 24.0 42.4 45.2 47.2 49.2 50.2 49.7 50.1 50.5 50.4 50.1 Farm.............................................................. 6.2 2.6 6.4 13.5 14.8 16.1 14.7 14.6 16.1 14.9 16.4 16.8 16.3 16.5 Rental income of persons................................. 5.4 2.0 3.5 9.4 19.0 20.0 20.8 21.2 21.6 21.5 21.6 21.7 21.8 22.0 Corporate profits and inventory valuation 10.5 -1.2 15.2 37.7 76.1 82.4 79.2 87.9 88.2 89.5 89.2 88.8 85.2 79.7 Profits before tax......................................... 10.0 1.0 17.7 42.6 77.8 84.2 80.3 91.1 93.7 95.5 95.4 92.5 91.4 85.6 Profits tax liability.................................... 1.4 .5 7.6 17.8 31.3 34.3 33.0 41.3 43.3 43.9 44.1 42.8 42.4 39.1 Profits after tax........................................ 8.6 .4 10.1 24.9 46.5 49.9 47.3 49.8 50.5 51.7 51.3 49.7 49.0 46.5 Dividends.............................................. 5.8 2.0 4.4 8.8 19.8 20.8 21.5 23.1 24.6 23.8 24.3 24.9 25.2 25.2 Undistributed profits............................ 2.8 -1.6 5.7 16.0 26.7 29.1 25.9 26.7 25.9 27.9 27.0 24.9 23.8 21.3 Inventory valuation adjustment.................. .5 -2.1 -2.5 -5.0 -1.7 -1.8 -1.1 -3.2 -5.6 -6.1 -6.2 —3.7 -6.2 -5.9 Net interest....................................................... 4.7 4.1 3.2 2.0 18.2 21.4 24.7 28.0 30.6 29.8 30.3 30.9 31.6 32.3 Note.—Dept, of Commerce estimates. Quarterly data are seasonally adjusted totals at annual rates. See also Note to table above. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ NATIONAL PRODUCT AND INCOME A 69 RELATION OF GROSS NATIONAL PRODUCT, NATIONAL INCOME, AND PERSONAL INCOME AND SAVING (In billions of dollars) 1969 1970 Item 1929 1933 1941 1950 1965 1966 1967 1968 1969* I II III IV Ii> Gross national product..................................... 103.1 55.6 124.5 284.8 684.9 749.9 793.5 865.7 932.1 908.7 924.8 942.8 952.2 959.6 Less: Capital consumption allowances......... 7.9 7.0 8.2 18.3 59.8 63.9 68.6 73.3 77.9 75.9 77.2 78.6 79.9 81.3 Indirect business tax and nontax lia­ bility .................................................. 7.0 7.1 11.3 23.3 62.5 65.7 70.1 77.9 86.6 83.3 85.7 88.0 89.4 91.0 Business transfer payments.................. .6 .7 .5 .8 2.7 3.0 3.2 3.4 3.6 3.5 3.6 3.6 3.6 3.7 Statistical discrepancy........................... .7 .6 .4 1.5 -3.1 -1.0 -1.0 -2.5 -5.9 -4.2 -6.5 -6.9 -6.0 -7.3 Plus: Subsidies less current surplus of gov­ ernment enterprises........................... -.1 .1 .2 1.3 2.3 1.4 .8 1.1 1.1 .9 1.1 1.2 1.7 Equals: National income.................................. 86.8 40.3 104.2 241.1 564.3 620.6 654.0 714.4 771.0 751.3 765.7 780.6 786.5 792.6 Less: Corporate profits and inventory valu­ ation adjustment............................... 10.5 -1.2 15.2 37.7 76.1 82.4 79.2 87.9 88.2 89.5 89.2 88.8 85.2 79.7 Contributions for social insurance---- .2 .3 2.8 6.9 29.6 38.0 42.4 47.0 54.4 52.7 53.8 55.1 56.1 57.3 Excess of wage accruals over disburse­ ments.................................................. 2.5 Plus: Government transfer payments........... .9 1.5 2.6 14.3 37.2 41.1 48.8 55.8 61.9 60.1 61.3 62.5 63.6 66.4 Net interest paid by government and consumers......................................... 2.5 1.6 2.2 7.2 20.5 22.2 23.6 26.1 28.7 27.9 28.5 28.9 29.7 30.2 Dividends.............................................. 5.8 2.0 4.4 8.8 19.8 20.8 21.5 23.1 24.6 23.8 24.3 24.9 25.2 25.2 Business transfer payments................. .6 .7 .5 .8 2.7 3.0 3.2 3.4 3.6 3.5 3.6 3.6 3.6 3.7 Equals: Personal income................................. 85.9 47.0 96.0 227.6 538.9 587.2 629.4 687.9 747.2 724.4 740.5 756.5 767.4 778.6 Less: Personal tax and nontax payments.... 2.6 1.5 3.3 20.7 65.7 75.4 82.9 97.9 117.5 114.2 118.5 117.5 119.9 118.2 Equals: Disposable personal income................ 83.3 45.5 92.7 206.9 473.2 511.9 546.5 590.0 629.7 610.2 622.0 639.0 647.5 660.4 Less: Personal outlays................................... 79.1 46.5 81.7 193.9 444.8 479.3 506.2 551.6 592.0 577.7 588.8 596.0 605.8 616.9 Personal consumption expenditures. 77.2 45.8 80.6 191.0 432.8 466.3 492.3 536.6 576.0 562.0 572.8 579.8 589.5 600.4 Consumer interest payments............ 1.5 .5 .9 2.4 11.3 12.4 13.1 14.2 15.3 15.0 15.2 15.4 15.5 15.7 Personal transfer payments to for­ eigners............................................ .3 .2 .2 .5 .7 .6 .8 .8 .8 .7 .7 .8 .8 .8 Equals: Personal saving................................... 4.2 -.9 11.0 13.1 28.4 32.5 40.4 38.4 37.6 32.5 33.3 43.1 41.7 43.5 Disposable personal income in constant (1958) dollars............................................................ 150.6 112.2 190.3 249.6 435.0 458.9 477.7 497.6 509.5 502.6 506.2 514.1 514.8 518.8 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) 1969 1970 Item 1968 1969 May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr. Mayp Total personal income......................... 687.9 747.2 740.0 746.1 751.4 757.5 760.7 763.7 767.6 770.6 774.3 778.3 783.3 801.3 793.5 Wage and salary disbursements.......... 465.0 509.9 503.8 508.5 512.8 517.9 519.9 522.2 525.1 527.8 530.0 532.2 535.1 540.3 539.9 Commodity-producing industries,.. 181.5 197.7 196.2 198.3 198.9 201.0 201.5 201.8 201.7 203.4 201.3 201.5 203.3 202.4 200.7 Manufacturing only...................... 145.9 157.6 156.3 157.8 158.5 160.5 160.7 160.6 159.8 161.0 160.1 159.3 160.4 159.4 158.4 Distributive industries..................... 109.2 119.5 118.3 119.5 120.1 121.4 121.8 122.3 123.5 123.5 125.9 126.1 126.6 125.9 126.5 Service industries............................. 78.3 88.1 87.0 87.8 88.0 88.8 89.4 90.3 91.5 91.9 93.2 94.5 94.7 94.9 95.3 Government..................................... 96.0 104.5 102.3 102.9 105.9 106.8 107.2 107.8 108.4 109.0 109.6 110.1 110.5 117.1 117.5 Other labor income............................. 24.2 26.2 25.9 26.1 26.3 26.4 26.6 26.8 26.9 27.1 27.3 27.5 27.7 27.8 27.9 Proprietors’ income............................. 63.8 66.3 66.5 67.3 67.3 67.3 67.3 67.3 66.7 66.2 66.4 66.6 66.9 66.7 66.5 Business and professional............... 49.2 50.2 50.1 50.4 50.5 50.5 50.5 50.6 50.4 50.3 50.2 50.1 50.1 50.0 50.0 Farm................................................. 14.6 16.1 16.4 16.9 16.8 16.8 16.8 16.7 16.3 15.9 16.2 16.5 16.8 16.7 16.5 Rental income...................................... 21.2 21.6 21.6 21.6 21.7 21.7 21.7 21.8 21.8 21.9 21.9 22.0 22.0 22.1 22.2 Dividends............................................. 23.1 24.6 24.3 24.5 24.6 24.8 25.1 25.3 25.4 25.0 25.2 25.2 25.2 25.3 25.3 Personal interest income..................... 54.1 59.4 58.8 59.2 59.5 59.8 60.2 60.6 61.3 61.8 62.1 62.4 62.9 63.3 63.7 Transfer payments............................... 59.2 65.5 64.9 65.2 65.7 66.1 66.4 66.7 67.2 67.8 68.9 70.0 71.3 84.0 76.1 Less: Personal contributions for social insurance........................................... 22.6 26.2 25.8 26.1 26.4 26.6 26.7 26.9 26.9 27.1 27.5 27.6 27.8 28.1 28.1 Nonagricultural income........................ 667.9 725.2 717.7 723.4 728.8 734.9 738.1 741.3 745.3 748.6 752.0 755.6 760.4 778.4 770.8 Agriculture income............................... 20.1 22.0 22.3 22.7 22.6 22.6 22.6 22.5 22.3 22.0 22.3 22.6 22.9 22.9 22.7 Note.—Dept, of Commerce estimates. Monthly data are seasonally adjusted totals at annual rates. See also Note to table opposite. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 70 FLOW OF FUNDS □ JULY 1970 SUMMARY OF FUNDS RAISED AND ADVANCED IN U.S. CREDIT MARKETS (Seasonally adjusted annual rates; in billions of dollars) 1967 1968 1969 Transaction category, or sector 1965 1966 1967 1968 1969 IV I II III IV I II III IV Funds raised, by type and sector Total funds raised 1 by nonfinancial sectors.................. 70.4 68.5 82.6 97.4 88.2 103.2 94.4 81.8 118.0 95.5 88.9 88.8 93.4 82.2 1 2 U.S. Government............................. 1.7 3.5 13.0 13.4 -3.6 20.3 20.2 9.3 29.3 -5.4 -5.3 -13.3 3.7 .4 2 3 Public debt securities.................... 1.3 2.3 8.9 10.3 -1.3 16.6 19.3 4.9 24.5 -7.4 -5.7 -12.5 9.4 3.9 3 4 Budget agency issues..................... .4 1.2 4.1 3.0 -2.4 3.7 .9 4.4 4.9 2.0 .4 -.7 -5.7 -3.5 4 5 All other nonfinancial sectors.. 68.7 64.9 69.6 84.1 91.9 82.8 74.2 72.5 88.7 100.9 94.2 102.0 89.7 81.8 5 6 Capital market instruments.......... 39.1 39.9 48.0 50.5 53.6 55.7 48.4 44.2 50.5 59.0 55.0 55.0 51.7 52.9 6 7 Corporate equity shares............ .3 .9 2.4 -.7 4.5 3.8 1.5 -.4 -1.8 -2.0 .2 3.2 5.3 9.2 7 8 Debt capital instruments.......... 38.8 39.0 45.7 51.2 49.1 51.8 46.8 44.6 52.3 61.1 54.7 51.7 46.4 43.6 8 9 State and local govt, sec....... 7.3 5.7 7.7 9.9 8.5 9.3 7.9 5.4 12.5 13.8 10.2 9.8 6.7 7.1 9 10 Corporate and fgn. bonds... 5.9 11.0 15.9 14.0 13.3 15.3 12.6 13.7 13.2 16.5 15.8 13.3 12.8 11.1 10 11 Mortgages.............................. 25.6 22.3 22.0 27.3 27.4 27.3 26.3 25.5 26.6 30.8 28.6 28.6 26.8 25.4 11 12 Home mortgages................ 15.4 11.4 11.6 15.2 15.5 15.7 15.0 14.6 14.6 16.6 16.4 16.6 15.6 13.5 12 13 Other residential................. 3.6 3.1 3.6 3.5 4.4 4.0 3.0 3.1 3.6 4.2 4.2 4.7 4.6 4.3 13 14 Commercial......................... 4.4 5.7 4.7 6.6 5.4 5.1 6.0 5.6 6.6 8.2 5.9 5.1 4.7 6.0 14 15 Farm................................... 2.2 2.1 2.1 2.1 2.0 2.5 2.4 2.3 1.9 1.8 2.2 2.3 2.0 1.6 15 16 Other private credit....................... 29.5 25.0 21.6 33.6 38.3 27.1 25.9 28.3 38.2 41.8 39.2 47.1 38.0 28.9 16 17 Bank loans n.e.c........................ 14.2 10.3 9.6 13.4 14.2 15.9 6.6 10.9 13.5 22.5 16.4 19.5 11.5 9.7 17 18 10.0 7.2 4.6 11.1 9.3 5.4 9.2 9.8 13.2 12.0 9.9 10.4 8.8 8.4 18 19 Open market paper................... -.3 1.0 2.1 1.6 3.3 .9 1.1 -1.1 6.2 .2 5.1 3.9 3.2 1.2 19 20 Other.......................................... 5.7 6.4 5.2 7.5 11.3 5.0 8.9 8.8 5.3 7.0 7.9 13.3 14.6 9.6 20 21 68.7 64.9 69.6 84.1 91.9 82.8 74.2 72.5 88.7 100.9 94.2 102.0 89.7 81.8 21 22 Foreign.......................................... 2.6 1.5 4.1 3.0 3.5 3.3 4.4 2.0 2.6 2.9 4.2 5.5 2.4 2.1 22 23 State and local governments........ 7.6 6.4 7.9 10.2 8.9 9.3 8.2 5.5 12.8 14.3 10.8 10.1 7.0 7.7 23 24 Households.................................... 28.8 23.2 19.7 31.8 31.4 27.5 29.6 29.4 33.2 34.9 30.9 35.0 31.9 28.0 24 25 Nonfinancial business................... 29.6 33.8 37.9 39.1 48.1 42.7 32.1 35.6 39.9 48.8 48.3 51.4 48.5 44.0 25 26 Corporate................................... 20.5 24.9 29.3 31.0 38.0 33.0 25.6 26.6 31.1 40.7 38.2 42.1 37.8 34.0 26 27 Nonfarm noncorporate............... 5.8 5.5 5.0 5.2 6.5 5.7 3.1 5.8 6.0 5.8 6.9 5.6 7.0 6.5 27 28 Farm.......................................... 3.3 3.5 3.5 2.9 3.6 4.1 3.3 3.2 2.8 2.2 3.2 3.8 3.7 3.5 28 Funds advanced directly in credit markets 1 70.4 68.5 82.6 97.4 88.2 103.2 94.4 81.8 118.0 95.5 88.9 88.8 93.4 82.2 1 Advanced directly by— 2 U.S. Government......................... 2.8 4.9 4.6 5.2 2.6 2.9 6.1 7.1 4.8 2.9 2.3 1.6 3.7 2.8 2 3 U.S. Govt, credit agencies, net... * .3 .5 -.2 .1 * .5 -.1 -.5 -.8 -.2 -.4 -.2 .5 3 4 Funds advanced........................ 2.2 5.1 -.1 3.2 8.9 2.2 6.0 4.0 1.2 1.7 3.9 7.1 10.7 13.1 4 5 Less funds raised in cr. mkt.... 2.3 4.8 -.6 3.5 8.8 2.2 5.6 4.1 1.7 2.5 4.1 7.5 10.9 12.6 5 6 Federal Reserve System................ 3.8 3.5 4.8 3.7 4.2 7.3 4.3 6.3 7.2 -2.9 3.1 5.0 -.4 9.2 6 7 Commercial banks, net................. 28.3 16.7 36.8 39.0 9.4 35.0 19.5 22.8 66.7 47.1 9.2 24.7 1.1 3.1 7 8 Funds advanced........................ 29.1 16.8 37.0 39.2 13.7 35.1 19.4 23.5 66.9 47.0 10.1 29.2 6.2 9.9 8 9 Less funds raised....................... .8 . 1 .2 .2 4.3 .1 * .7 .2 -.1 .9 4.5 5.0 6.8 9 10 Private nonbank finance............... 30.1 25.9 36.1 33.5 31.0 28.6 33.8 34.6 32.5 32.9 31.3 34.8 30.7 28.1 10 11 Savings institutions, net............ 13.7 7.8 16.9 14.5 10.3 11.6 15.4 15.7 14.2 12.6 15.7 13.5 6.6 5.6 11 12 Insurance................................... 17.9 19.3 20.4 21.5 22.3 18.3 21.6 21.1 20.4 22.9 20.3 22.6 27.0 19.1 12 13 Finance n.e.c., net..................... -1.4 -1.3 -1.2 -2.5 -1.6 -1.4 -3.2 -2.2 -2.0 -2.6 -4.7 -1.3 -2.9 3.4 13 14 Foreign.......................................... -.3 -1.8 2.8 2.5 2.0 4.9 -.5 -2.3 3.1 9.4 -1.4 1.3 6.0 2.0 14 15 Private domestic nonfinancial---- 5.6 19.1 -3.0 13.8 38.9 24.5 30.8 13.5 4.2 6.8 44.6 21.7 52.5 36.5 15 16 Business..................................... 1.0 3.6 -.6 9.0 11.4 7.2 10.6 10.4 8.6 6.4 13.2 12.6 12.2 7.1 16 17 State and local governments... 2.5 3.4 1.2 .7 7.2 4.5 .6 -1.9 3.1 .9 6.5 4.1 4.9 13.4 17 18 Households................................ 2.5 11.9 -1.4 5.5 18.7 16.7 16.3 9.4 -6.9 3.0 22.2 4.9 32.2 15.8 18 19 Less net security credit............. .3 -.2 2.2 1.4 -1.6 3.9 -3.3 4.5 .7 3.6 -2.7 -.2 -3.2 -.2 19 Sources of funds supplied to credit markets Total borrowing by nonfinancial sectors................... 70.4 68.5 82.6 97.4 88.2 103.2 94.4 81.8 118.0 95.5 88.9 88.8 93.4 82.2 1 1 Supplied directly and indirectly by pvt. domestic nonfin. sectors: 2 Total.............................................. 46.3 42.8 47.7 58.1 40.3 62.8 63.2 47.8 58.1 63.4 48.8 28.7 36.4 45.9 2 3 Deposits..................................... 40.7 23.7 50.6 44.3 1.4 38.2 32.4 34.3 53.9 56.6 4.1 6.9 -16.1 9.4 3 4 Demand dep. and currency.. 8.0 4.0 11.6 11.2 5.5 10.7 2.7 15.5 11.0 15.8 -2.8 4.1 * 19.1 4 5 Time and svgs. accounts.... 32.7 19.7 39.1 33.1 -4.1 27.5 29.7 18.9 43.0 40.8 6.9 2.8 -16.2 -9.7 5 6 At commercial banks... 19.5 12.5 22.3 20.5 -12.0 15.5 16.7 6.4 31.2 27.5 -6.1 -6.3 —22.1 -13.6 6 7 At savings instit.............. 13.1 7.2 16.7 12.6 8.0 12.0 13.0 12.4 11.8 13.3 13.0 9.1 5.9 3.9 7 8 Credit mkt. instr., net............... 5.6 19.1 -3.0 13.8 38.9 24.5 30.8 13.5 4.2 6.8 44.6 21.7 52.5 36.5 8 9 U.S. Govt, securities.............. 2.5 8.5 -2.8 8.9 15.8 15.2 14.6 4.5 6.9 9.6 24.7 -.9 26.3 13.4 9 10 Pvt. credit market instr.......... 3.5 10.4 2.0 6.3 21.5 13.2 12.9 13.5 -2.1 .8 17.2 22.4 23.1 22.9 10 11 Less security debt.................. .3 -.2 2.2 1.4 -1.6 3.9 -3.3 4.5 .7 3.6 -2.7 -.2 -3.2 -.2 11 Other sources: 12 Foreign funds................................ .8 .7 5.0 4.0 10.4 7.5 2.1 1.8 7.1 4.9 12.7 14.4 11.9 2.6 12 13 At banks.................................... 1.1 2.5 2.2 1.5 8.4 2.6 2.6 4.1 4.0 -4.5 14.1 13.1 5.9 .6 13 14 Direct......................................... -.3 -1.8 2.8 2.5 2.0 4.9 -.5 -2.3 3.1 9.4 -1.4 1.3 6.0 2.0 14 15 Chg. in U.S. Govt, cash bal......... -1.0 -.4 1.2 -1.2 .4 3.8 -5.4 -16.2 26.4 -9.6 -6.4 2.1 1.5 4.1 15 16 U.S. Government loans............... 2.8 4.9 4.6 5.2 2.6 2.9 6.1 7.1 4.8 2.9 2.3 1.6 3.7 2.8 16 17 Pvt. insur. and pension res........... 15.7 16.7 18.7 18.2 18.7 18.6 16.4 17.5 19.1 19.6 16.7 18.6 22.2 17.3 17 18 5.8 3.8 5.6 13.2 15.8 7.7 11.9 23.9 2.6 14.3 14.9 23.5 17.8 9.5 18 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 o FLOW OF FUNDS A 71 PRINCIPAL FINANCIAL TRANSACTIONS (Seasonally adjusted annual rates; in billions of dollars) 1967 1968 1969 Transaction category, or sector 1965 1966 1967 1968 1969 IV II III IV II III IV Demand deposits and currency 1 Net incr. in banking system liability. 7.6 2.6 14.3 10.7 6.6 16.7 -3.7 .1 39.2 7.2 -10.1 7.3 3.2 24.2 2 U.S. Government deposits......... -1.0 -.4 1.1 -1.3 .5 3.7 -5.6 -16.2 26.3 -9.7 -6.3 2.1 1.6 4.3 3 Money supply............................. 8.6 3.0 13.2 12.0 6.1 12.9 1.9 16.3 12.9 16.9 -3.9 5.1 1.6 19.9 4 Domestic sectors..................... 8.3 3.9 12.6 12.2 5.9 12.3 1.3 17.0 13.5 17.1 -4.1 5.1 .9 20.1 5 Households.......................... 7.2 3.1 11.4 6.9 3.4 16.1 -10.2 8.8 15.6 13.5 -7.9 5.6 -1.5 17.3 6 Nonfinancial business......... -1.4 .7 -2.1 1.3 .5 -5.9 7.1 3.6 -1.2 -4.3 3.8 .6 -1.7 -1.1 7 State and local governments -.2 -.1 -.4 1.1 2.2 -1.2 .6 1.6 -1.9 4.1 1.9 -1.8 4.6 3.9 8 Financial sectors................. .3 -.1 1.1 1.0 .4 1.5 -1.5 1.6 2.6 1.3 -1.3 1.0 .8 1.0 9 Mail float............................. 2.5 .3 2.7 1.9 -.6 1.7 5.2 1.5 -1.5 2.4 -.6 -.3 -1.3 -1.0 10 Rest of the world.................... .3 -1.0 .6 -.2 .2 .7 .6 -.7 -.7 -.2 .2 .7 -.2 Time and savings accounts 1 Net increase—Total........................ 33.1 20.2 40 33.0 -3.0 28.2 29.2 19.1 43.8 39.9 6.5 .6 -15.7 -3.6 2 At commercial banks—Total... 20.0 13.3 23.8 20.6 -11.0 16.3 16.3 6.2 32.3 27.5 -6.8 -7.9 -21.5 -7.8 3 Corporate business................. 3.9 -.7 4.1 2.2 -7.8 5.0 -1.8 -3.2 9.5 4.1 -7.2 -7.6 -10.8 -5.6 4 State and local governments.. 2.4 1.3 2.4 3.2 -7.5 .5 .8 1.3 5.2 5.7 -5.4 -4.0 -10.4 -10.0 5 Foreign..................................... .6 .8 1.4 * 1.2 1.2 -.7 -.4 1.0 -.1 -.4 -1.4 .7 6.0 6 Households.............................. 13.3 11.9 15.8 15.1 3.3 9.9 17.6 8.3 16.5 17.8 6.6 5.4 -.8 2.0 7 At savings institutions................ 13.1 7.0 17.0 12.4 8.0 11.9 12.9 12.9 11.5 12.4 13.4 8.5 5.8 4.2 Liabilities— 8 Savings and loan assns........ 8.5 3.6 10.7 7.3 4.0 6.5 7.7 7.6 7.2 6.8 8.0 4.6 3.0 .5 9 Mutual savings banks......... 3.6 2.6 5.1 4.1 2.6 4.2 4.4 4.0 3.4 4.5 3.8 2.7 1.5 2.4 0 Credit unions....................... 1.0 1.2 1.1 1.4 1.1 .9 1.3 .9 1.2 1.6 1.2 1.3 1.4 Assets 1 Households.......................... 13.1 7.2 16.7 12.6 8.0 12.0 13.0 12.4 11.8 13.3 13.0 9.1 5.9 3.9 11 2 Cr. union deps. at S & L’s.. -.2 .3 -.2 -.2 -.1 .5 -.3 -1.0 .3 -.6 -.1 .3 12 U.S. Government securities 1 Total net issues.............................. 3.8 8.7 12.6 16.7 5.5 24.1 25.5 13.1 31.2 -3.2 .1 -5.7 14.7 13.1 1 2 Household savings bonds .6 .6 .9 .5 -.4 .9 .2 .3 .8 .7 -.5 -.4 -.7 .1 2 3 Direct excluding savings bonds .7 1.8 8.0 9.8 -.9 15.7 19.1 4.6 23.7 -8.1 -5.2 -12.1 10.1 3.8 3 4 Budget agency issues............... * * .2 1.4 -.4 .3 -.2 1.9 1.4 2.7 .8 -1.3 -.8 -.2 4 5 Sponsored agency issues........... 2.1 5.1 -.6 3.2 9.1 3.7 5.2 3.7 1.8 2.1 5.2 7.5 10.9 12.6 5 6 Loan participations................... .4 1.3 4.0 1.7 -1.9 3.5 1.2 2.6 3.5 -.6 -.3 .6 -4.8 -3.2 6 7 Net acquisitions, by sector.........., 3.8 8.7 12.6 16.7 5.5 24.1 25.5 13.1 31.2 -3.2 .1 -5.7 14.7 13.1 7 8 U.S. Government (agency sec.) * 1.3 -.1 .1 -1.3 -.3 -.1 1.6 -.1 -1.0 -1.1 -2.2 -.8 -1.0 8 9 Sponsored credit agencies........ .1 1.0 * -.1 -.4 -1.6 .1 .3 -.4 -.5 -2.1 -.1 -.3 .3 9 10 Direct marketable................. -.2 .3 .9 -.1 -.7 -1.4 -.5 .2 .1 -.2 -2.1 -.1 -.6 -.6 10 11 FHLB special issue............... .3 .6 -.9 .3 -.2 .6 .1 -.5 -.3 * * .3 .8 11 12 Federal Reserve System........... 3.7 3.5 4.8 3.8 4.2 7.3 4.5 6.2 7.4 2.8 3.2 5.0 -.4 9.1 12 13 Foreign...................................... -.2 -2.4 2.1 -.5 -1.1 4.5 -2.0 -4.7 .6 4.2 -6.2 -1.1 3.6 -.5 13 14 Commercial banks.................... -2.3 -3.6 9.4 2.8 -11.2 1.3 4.2 -2.2 12.2 -3.1 -15.2 -10.7 -10.3 -8.1 14 15 Direct..................................... -3.1 -3.4 6.3 1.7 -9.4 -2.2 3.5 -1.8 9.8 -4.9 -12.5 -11.3 -6.1 -7.1 15 16 Agency issues......................... .8 -.2 3.2 1.1 -1.8 3.5 .7 -.4 2.4 1.7 -2.7 .5 -4.1 -.9 16 17 Nonbank finance....................... -.1 .4 -.9 1.6 -.5 -2.1 4.1 7.4 4.5 -9.7 -3.1 4.4 -3.3 -.1 17 18 Direct..................................... -.6 -.2 -1.3 .3 -2.3 -1.7 1.5 6.5 3.1 -10.0 -5.9 2.3 -5.9 .1 18 19 Agency issues......................... .5 .5 .3 1.3 1.8 -.4 2.5 .9 1.4 .3 2.8 2.0 2.6 -.2 19 20 Pvt. domestic nonfin................. 2.5 8.5 -2.8 8.9 15.8 15.2 14.6 4.5 6.9 9.6 24.7 -.9 26.3 13.4 20 21 Savings bonds—Households. .6 .6 .9 .5 -.4 .9 .2 .3 .8 .7 -.5 -.4 -.7 .1 21 22 Direct excl. savings bonds... .7 3.3 -3.8 4.6 8.1 9.5 11.4 -1.9 3.1 5.8 18.3 -7.0 19.3 2.0 22 23 Agency issues......................... 1.2 4.7 .2 3.8 8.1 4.8 3.0 6.1 3.1 3.1 6.9 6.5 7.7 11.3 23 Private securities 1 Total net issues, by sector.......... 16.1 18.5 27.2 24.2 27.9 29.6 22.9 20.2 24.8 29.0 27.8 28.8 26.2 28.7 1 2 State and local governments.. 7.3 5.7 7.7 9.9 8.5 9.3 7.9 5.4 12.5 13.8 10.2 9.8 6.7 7.1 2 3 Nonfinancial corporations___ 5.4 11.4 17.0 12.1 16.4 17.7 12.8 12.8 10.3 12.4 14.7 14.9 16.1 19.8 3 4 Finance companies................. 1.9 .8 1.0 .8 1.6 1.1 .9 .8 .7 .9 1.4 2.2 1.4 1.3 4 5 Commercial banks.................. .8 .1 .2 .2 .1 .1 * .7 .2 -.1 .1 .3 * -.1 5 6 Rest of the world.................... .8 .5 1.3 1.3 1.4 1.4 1.4 .5 1.1 2.0 1.4 1.6 2.0 .5 6 7 Net purchases............................... 16.1 18.5 27.2 24.2 27.9 29.6 22.9 20.2 24.8 29.0 27.8 28.8 26.2 28.7 7 8 Households.............................. 1.1 3.2 -3.0 -3.3 4.3 3.8 7.6 *-11.9 -8.8 4.4 1.7 5.6 5.7 8 9 Nonfinancial corporations.... .5 1.0 -.4 .4 2.3 .7 .8 2.1 -2.6 1.3 2.4 2.7 .2 3.7 9 10 State and local governments.. .6 1.1 1.5 .5 2.9 1.8 -.4 1.0 .3 1.0 3.8 3.7 -1.2 5.0 10 11 Commercial banks.................. 5.0 1.9 9.7 9.0 1.0 10.5 5.2 3.2 12.6 15.2 2.6 3.3 1.0 -2.7 11 12 Mutual savings banks............. * .3 2.3 1.6 .6 .5 2.0 1.3 1.5 1.8 1.1 1.1 * .2 12 13 Insurance and pension funds.. 11.2 12.9 17.4 17.5 17.3 19.1 16.2 17.1 17.3 19.3 17.0 17.5 19.8 14.8 13 14 Finance n.e.c............................ -1.7 -2.2 -.9 -3.7 -2.5 -6.5 -9.5 -6.5 5.5 -4.3 -7.4 -1.9 .2 -.8 14 15 Security brokers and dealers -.1 .1 .1 -.9 .4 -2.5 -1.3 -7.5 8.9 -3.6 .3 -.9 3.4 -1.3 15 16 Investment companies, net.. -1.5 -2.4 -1.0 -2.8 -2.9 -4.0 -8.2 1.0 -3.4 -.7 -7.7 -1.1 -3.3 .4 16 17 Portfolio purchases.......... 1.6 1.4 1.5 1.9 2.7 -1.3 -1.4 3.4 1.4 4.2 -.2 3.6 2.7 4.6 17 18 Net issues of own shares. 3.1 3.7 2.5 4.7 5.6 2.7 6.7 2.5 4.8 5.0 7.5 4.6 6.0 4.1 18 19 Rest of the world.................... -.5 .3 .6 2.2 2.0 -.3 1.0 2.1 2.1 3.6 3.9 .7 .7 2.7 19 Bank loans n.e.c. 1 Total net borrowing....... 16.6 9.0 7.5 15.7 16.4 12.4 8.1 13.6 16.2 24.9 17.3 24.3 12.2 11.7 2 Households............... 1.4 .4 2.1 3.0 2.0 5.5 2.1 2.6 2.9 4.6 2.1 3.5 1.5 1.0 3 Nonfinancial business 12.3 10.1 7.7 10.6 12.5 10.7 4.7 8.3 10.8 18.7 13.9 15.5 11.4 9.2 4 Rest of the world .4 -.2 -.2 -.3 -.3 -.2 -.3 * -.3 -.7 .3 .5 -1.4 -.5 - 5 Financial sectors....... 2.4 -1.3 -2.1 2.3 2.1 -3.5 1.5 2.8 2.7 2.4 1.0 4.8 .7 2.1 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 72 U.S. BALANCE OF PAYMENTS □ JULY 1970 1. U.S. BALANCE OF PAYMENTS (In millions of dollars) 1969 f 1970* Item 1968 r 1969 «■ I II III IV I 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—Total1 50,622 55,514 11,948 14,291 14,565 14,712 15,276 Merchandise............................................................... 33,588 36,473 7,472 9,585 9,581 9,835 10,200 Military sales.............................................................. 1,395 1,515 391 313 458 352 284 Transportation........................................................... 2,969 3,131 660 827 843 803 840 Travel.......................................................................... 1,775 2,058 501 520 519 518 559 Investment income receipts, private......................... 6,922 7,906 1,861 1,919 2,043 2,083 2,237 Investment income receipts, Govt............................. 765 932 228 231 243 231 252 Other services............................................................. 3,208 3,498 835 896 878 890 904 Imports of goods and services—Total........................... -48,129 -53,564 -11,618 -13,978 -13,909 -14,061 -14,391 Merchandise............................................................... -32,964 -35,835 -7,576 -9,606 -9,263 -9,390 -9,685 Military expenditures................................................. -4,535 -4,850 -1,198 -1,187 -1,220 -1,245 -1,205 Transportation........................................................... -3,269 -3,608 -775 -907 -960 -967 -938 Travel.......................................................................... -3,022 -3,390 -820 -855 -875 -840 -873 Investment income payments.................................... -2,933 -4,463 -905 -1,071 -1,240 — 1, £47 -1,329 Other services............................................................. -1,406 -1,419 -344 -352 -351 -372 -361 Balance on goods and services1..................................... 2,493 1,949 330 313 656 651 885 Remittances and pensions.............................................. -1,121 -1,190 -270 -294 -318 -309 -330 1. Balance on goods, services, remittances and pen- 1,372 759 60 19 338 342 555 2. U.S. Govt, grants and capital flow, net..................... -3,975 -3,828 -777 -1,159 -1,022 -870 -837 Grants,2 loans, and net change in foreign cur­ rency holdings, and short-term claims............. -5,359 -5,032 -1,118 -1,519 -1,213 -1,183 -1,259 Scheduled repayments on U.S. Govt, loans........ 1,114 1,291 297 326 345 324 334 Nonscheduled repayments and selloffs................. 269 -87 44 34 3-154 3-11 88 3. U.S. private capital flow, net..................................... -5,412 -5,374 -1,213 -2,151 -980 -1,030 -1,557 Direct investments.................................................. -3,209 -3,070 -902 -1,015 -877 -276 -1,304 Foreign securities.................................................... -1,254 -1,494 -319 -539 -567 -69 -159 Other long-term claims reported by— Banks................................................................... 358 330 133 31 131 35 26 Others.................................................................. -220 -424 -82 -80 -13 -249 -338 Short-term claims reported by— Banks................................................................... -105 -871 -65 -533 98 -371 130 Others.................................................................. -982 155 22 -15 248 -100 88 4. Foreign capital flow, net, excluding change in liquid assets in the United States.................................. 8,701 4,146 1,774 413 311 1,650 409 Long-term investments.......................................... 6,029 3,910 1,841 414 428 1,227 750 Short-term claims................................................... 759 140 -83 65 113 45 -9 Nonliquid claims on U.S. Govt, associated with— Military contracts............................................... -105 156 -65 84 -91 229 -55 U.S. Govt, grants and capital........................... 2 -16 -4 -7 -5 * -9 Other specific transactions................................. 6 -2 -10 28 -20 -1 -26 Other nonconvertible, nonmarketable, mediumterm U.S. Govt, securities4............................... 2,010 -41 95 -171 -115 150 -242 5. Allocation of Special Drawing Rights....................... 217 6. Errors and unrecorded transactions........................... -514 -2,924 -1,196 -922 -927 121 -337 Balances s A. Balance on liquidity basis Seasonally adjusted (Equals sum of items 1-6.)... 171 -7,221 -1,352 -3,801 -2,279 211 6-1,765 -1,548 Less: Net seasonal adjustments............................ -84 15 693 -624 -90 -740 Before seasonal adjustment.................................... 171 -7,221 -1,268 -3,816 -2,972 835 -1,675 -808 B. Balance on basis of official reserve transactions Balance Ay seasonally adjusted.............................. 171 -7,221 -1,352 -3,801 -2,279 211 -1,765 -1,548 Plus: Seasonally adjusted change in liquid assets in the United States of— Commercial banks abroad................................. 3,387 9,434 2,952 4,805 1,311 366 -1,717 -1,717 Other private residents of foreign countries... 375 -441 -22 -145 -143 -131 -167 -167 International and regional organizations other than IMF........................................................ 48 -60 -88 82 12 -66 154 154 Less: Change in certain nonliquid liabilities to foreign central banks and govts........................ 2,340 -996 37 -374 -517 -142 -425 -425 Balance B, seasonally adjusted............................... 1,641 2,708 1,453 1,315 -582 522 -3,070 -2,853 Less: Net seasonal adjustments............................ -258 111 458 -311 -262 -912 Before seasonal adjustment.................................... 1,641 2,708 1,711 1,204 -1,040 833 -2,808 -1,941 For notes see end of table. 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JULY 1970 □ U.S. BALANCE OF PAYMENTS AND FOREIGN TRADE A 73 1. U.S. BALANCE OF PAYMENTS—Continued (In millions of dollars) 1969' 1970* Item 1968r 1969r I II III IV I Transactions by which balances were settled—Not seasonally adjusted 5 A. To settle balance on liquidity basis........................... -171 7,221 1,268 3,816 2,972 -835 1,675 808 Change in U.S. offiicial reserve assets (in­ crease, —)........................................................... -880 -1,187 -48 -299 -686 -154 481 -386 Gold..................................................................... 1,173 -967 56 -317 -11 -695 -44 -44 SDR’s.................................................................. -53 -920 IMF gold tranche position................................. -870 -1,034 -31 -228 -233 -542 -253 -253 Convertible currencies........................................ -1,183 814 -73 246 -442 1,083 831 831 Change in liquid liabilities to all foreign accounts.. 709 8,408 1,316 4,115 3,658 -681 1,194 1,194 Foreign central banks and govts.: Convertible nonmarketable U.S. Govt. securities7.................................................... -10 -163 -25 -10 84 -212 -126 -126 Marketable U.S. Govt, bonds and notes7... -379 -79 -3 * -9 -67 -3 -3 Deposits, short-term U.S. Govt, securities, etc................................................................. -2,709 -272 -1,681 -525 2,169 -235 2,882 2,882 IMF (gold deposits)............................................ -3 -11 1 -3 -9 -9 -9 Commercial banks abroad................................. 3,387 9,434 3,134 4,716 1,554 30 -1,537 -1,537 Other private residents of foreign countries___ 375 -441 -22 -145 -143 -131 -167 -167 International and regional organizations other than IMF........................................................ 48 -60 -88 82 12 -66 154 154 B. Official reserve transactions....................................... -1,641 -2,708 -1,711 -1,204 1,040 -833 2,808 1,941 Change in U.S. official reserve assets (in­ crease, —)............................................................ -880 -1,187 -48 -299 -686 -154 481 -386 Change in liquid liabilities to foreign central banks and govts., and IMF (see detail above under A.)............................................................. -3,101 -525 -1,708 -538 2,235 -514 2,744 2,744 Change in certain nonliquid liabilities to foreign central banks and govts, of — U.S. private organizations............................. 534 -834 -43 -195 -390 -206 -159 -159 U.S. Govt......................................................... 1,806 -162 88 -172 -119 41 -258 -258 1 Excludes transfers under military grants. 6 Equals sum of items 1-4 plus 6. 2 Excludes military grants. 7 With original maturities over 1 year. 3 Negative entry reflects repurchase of foreign obligations prevoiusly sold. Note.—Dept, of Commerce data. Minus sign indicates net payments 4 Includes certificates sold abroad by Export-Import Bank. (debits); absence of sign indicates net receipts (credits). Details may not 5 The first column shown for 1970-1 excludes, and the second column add to totals because of rounding. includes, initial allocation by the IMF of $867 million of SDR’s. For purposes of seasonal adjustment the allocation is accounted for at the rate of $217 million per quarter. 2. MERCHANDISE EXPORTS AND IMPORTS (Seasonally adjusted; in millions of dollars) Imports 2 Export surplus Period 1967 1968 1969 1970 1967 1968 1969 1970 1967 1968 1969 1970 Month: Jan... 2,639 2,814 32,086 3,305 2,317 2,687 32,014 3,250 322 127 72 55 Feb... 2.582 2,775 32.295 3,628 2,216 2,592 32,653 3,256 366 184 -358 372 Mar... 2,525 32,439 33,197 3,379 2,166 32,589 32,976 3,214 359 -150 221 165 Apr... 2,608 32,855 33,353 3,450 2.198 32,604 33,173 3,248 410 251 180 202 May.. 2,549 2,740 33.296 3,695 2,118 2,755 33,276 3,361 432 -15 20 334 June.. 2.582 2,870 33,211 2,184 2,792 33,186 398 78 25 July.. 2,601 2,858 3,169 2,245 2,725 3,066 357 133 103 Aug... 2,566 32,950 3,373 2,145 2,872 3,180 421 78 193 Sept... 2,597 33,211 3,326 2.198 2,951 3,055 399 261 271 Oct... 2,415 32,631 3,362 2,254 2,736 3,222 161 -105 140 Nov... 2,671 2,972 3,367 2,396 2,883 3,214 275 89 153 Dec... 2,677 2,977 3,239 2,493 2,908 3,007 184 70 232 Quarter: 7,745 8,028 7,578 10,313 6,698 7,867 7,643 9,719 1,047 161 -65 594 ii.*.*;; 7,739 8,465 9,860 6,500 8,151 9,635 1,240 314 225 III.... 7,764 9,019 9,867 6,588 8,548 9,301 1,177 471 566 IV.... 7,763 8,580 9,968 7,143 8,527 9,443 620 53 525 Year4... 31,011 34,092 37,274 26,928 33,093 36,022 4,083 1,001 1,252 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 Sum of unadjusted figures. Mutual Security Program. 2 General imports including imports for immediate consumption plus Note.—Bureau of the Census data. Details may not add to totals be­ entries into bonded warehouses. cause of rounding. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 74 U.S. GOLD TRANSACTIONS □ JULY 1970 3. U.S. NET MONETARY GOLD TRANSACTIONS WITH FOREIGN COUNTRIES AND INTERNATIONAL ORGANIZATIONS (Net sales (—) or net acquisitions; in millions of dollars at $35 per fine troy ounce) 1969 1970 Area and country 1961 1962 1963 1964 1965 1966 1967 1968 1969 III IV Western Europe: Austria............................... -143 -82 -55 -100 -25 Belgium.............................. -144 -63 -40 -83 -58 France................................ -456 ”-5i8 -405 -884 -60i 600 325 50 275 Germany, Fed. Rep. of.., -23 -225 500 500 Ireland............................... -1 -2 -2 -2 -52 41 16 25 Italy.................................... 100 200 -80 -60 -85 -209 -76 -76 Netherlands....................... -25 -60 -35 -19 Spain.................................. -156 -146 -130 -32 -180 Switzerland........................ -125 102 -81 -50 -2 -30 -50 -25 -25 United Kingdom............... -306 -387 329 618 150 -879 -835 Bank for Intl. Settlements, -23 .... 200 200 Other.................................. -53 -12 -35 -49 16 -47 1 -i U7 -7 -7 Total. -754 -1,105 -399 -1,299 -659 -980 -669 969 -52 292 721 Canada........ 190 200 150 50 Latin American republics: Argentina....................... -90 -30 -39 -25 -25 -10 -15 Brazil.............................. -2 72 -3 Colombia....................... 7 Venezuela....................... Other.............................. -17 -5 -11 -6 -40 -29 -7 -12 Total. -109 175 32 56 17 -41 -65 -54 -7 -15 -27 Asia: Iraq................ -10 -21 -42 Japan............. Lebanon........ -32 ”-i -95 Malaysia........ -1 -34 Philippines... 25 9 40 7 17 11 1 Saudi Arabia. -48 -50 Singapore.... -81 11 Other............. '-32 -i3 -14 -14 -22 -75 -9 *-2 -i *223 Total................. -101 -93 3 -86 -44 -366 42 10 24 All other....................... -6 -1 -7 -22 3-166 3-68 -1 -1 -1 Total foreign countries. -970 -833 -392 -36 -1,322 -608 -1,031 -1,118 957 316 695 ~20 Intl. Monetary Fund 4. 150 5-225 177 22 -3 10 1 24 Grand total -820 -833 -392 -36 -1,547 -431 -1,009 -1,121 967 317 10 695 1 Includes purchase from Denmark of $25 million. IMF sold to the United States a total of $800 million of gold ($200 2 Includes purchase from Kuwait of $25 million. million in 1956, and $300 million in 1959 and in 1960) with the right of 3 Includes sales to Algeria of $150 million in 1967 and $50 million in repurchase; proceeds from these sales invested by IMF in U.S. Govt, 1968. securities. 4 Includes IMF gold sales to the United States, gold deposits by the 5 Payment to the IMF of $259 million increase in U.S. gold subscription, IMF (see note 1 (b) to Table 4), and withdrawal of deposits. The first less gold deposits by the IMF. withdrawal, amounting to $17 million, was made in June 1968. Notes to Table 5 on opposite page: 1 Represents net IMF sales of gold to acquire U.S. dollars for use in 4 Represents the U.S. gold tranche position in the IMF (the U.S. IMF operations. Does not include transactions in gold relating to gold quota minus the holdings of dollars of the IMF), which is the amount deposit or gold investment (see Table 6). that the United States could draw in foreign currencies virtually automati­ cally if needed. Under appropriate conditions, the United States could 2 Positive figures represent purchases from the IMF of currencies of draw additional amounts equal to its quota. other members for equivalent amounts of dollars; negative figures repre­ 5 Includes $259 million gold subscription to the IMF in June 1965 for sent repurchase of dollars, including dollars derived from charges on a U.S. quota increase, which became effective on Feb. 23, 1966. In figures drawings and from other net dollar income of the IMF. The United published by the IMF from June 1965 through Jan. 1966, this gold sub­ States has a commitment to repay drawings within 3 to 5 years, but only scription was included in the U.S. gold stock and excluded from the to the extent that the holdings of dollars of the IMF exceed 75 per cent of reserve position. the U.S. quota. Drawings of dollars by other countries reduce the U.S. commitment to repay by an equivalent amount. Note.—The initial U.S. quota in the IMF was $2,750 million. The U.S. quota was increased to $4,125 million in 1959 and to $5,160 million in 3 Includes dollars obtained by countries other than the United States Feb. 1966. Under the Articles of Agreement, subscription payments equal from sales of gold to the IMF. to the quota have been made 25 per cent in gold and 75 per cent in dollars. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ U.S. RESERVE ASSETS; POSITION IN THE IMF A 75 4. U.S. RESERVE ASSETS (In millions of dollars) E y n e d a r of Total To G ta o l2 ld st T o r c e k a 1 sury v c fo e C u c r r r o i e t r e i i e n b s g n ­ l n e ­ p R I o e M s s i i n e t F r io v 3 n e E m n o d n t o h f Total To G ta o l2 ld st T o r c e k a 1 sury v c fo e C u c r r i r o e t e r i i e n s b g 5 n ­ l n e ­ p R I o e M s s i i e n t F r io v 3 n e D R S r p i a g e w h c i i t a n s l 6 g 1957.............. 24,832 22,857 22,781 1,975 1969—June... 16,057 11,153 10,367 3,355 1,549 1958.............. 22,540 20,582 20,534 1,958 July. . . 15,936 11,144 10,367 3,166 1,626 1959............. 21,504 19,507 19,456 1,997 Aug.... 16,195 11,154 10,367 3,399 1,642 1960............. 19,359 17,804 17,767 1,555 Sept.... 16,743 11,164 10,367 3,797 1,782 Oct.. . . 716,316 11,190 10,367 73,341 1,785 1961.............. 18,753 16,947 16,889 116 1,690 Nov.... 16,000 11,171 10,367 2,865 1,964 1962.............. 17,220 16,057 15,978 99 1,064 Dec.... 16,964 11,859 10,367 2,781 2,324 1963.............. 16,843 15,596 15,513 212 1,035 1964.............. 16,672 15,471 15,388 432 769 1970—Jan.. . . 17,396 11,882 11,367 2,294 2,321 899 1965.............. 15,450 413,806 413,733 781 4863 Feb.... 17,670 11,906 11,367 2,338 2,507 919 Mar__ 17,350 11,903 11,367 1,950 2,577 920 1966............. 14,882 13,235 13,159 1,321 326 Apr.... 16,919 11,902 11,367 1,581 2,510 926 1967.............. 14,830 12,065 11,982 2,345 420 May... 16,165 11,900 11,367 980 2,360 925 1968.............. 15,710 10,892 10,367 3,528 1,290 June... 16,328 11,889 11,367 1,132 2,350 957 1969.............. 16,964 11,859 10,367 2,781 2,324 1 Includes (a) gold sold to the United States by the International Mon­ June 1965 through Jan. 1966, this gold subscription was included in the etary Fund with the right of repurchase, and (b) gold deposited by the U.S. gold stock and excluded from the reserve position. IMF to mitigate the impact on the U.S. gold stock of foreign purchases 5 For holdings of F.R. Banks only, see pp. A-12 and A-l3. for the purpose of making gold subscriptions to the IMF under quota 6 Includes initial allocation by the IMF of $867 million of Special Draw­ increases. For corresponding liabilities, see Table 6. ing Rights on Jan. 1, 1970, plus net transactions in SDR’s since that 2 Includes gold in Exchange Stabilization Fund. time. 3 In accordance with IMF policies the United States has the right to 7 Includes gain of $67 million resulting from revaluation of the German draw foreign currencies equivalent to its reserve position in the IMF vir­ mark in Oct. 1969, of which $13 million represents gain on mark holdings tually automatically if needed. Under appropriate conditions the United at time of revaluation. States could draw additional amounts equal to the U.S. quota. See Table 5. 4 Reserve position includes, and gold stock excludes, $259 million gold Note.—See Table 23 for gold held under earmark at F.R. Banks for subscription to the IMF in June 1965 for a U.S. quota increase which foreign and international accounts. Gold under earmark is not included became effective on Feb. 23, 1966. In figures published by the IMF from in the gold stock of the United States. 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 re U se .S rv . e other countries position Period with IMF in IMF P s t u a io b y n s m o c s f e r i i n p n t ­ s by s g N I a o M l e l e d t s F 1 T t c f i r o u o a r r n n e r s i s e g a n i n n c ­ ­ I i d M n o c i F l o n la m n rs e e t Draw of ings R m e e i p n n a t y s ­ c T ha o n ta g l e Amount P q e U u r o . o c S f t e . a nt p ( e e r n io d d o ) f 4 dollars cies 2 dollars3 dollars 1946—1957............................. 2,063 600 -45 -2,670 827 775 775 28 1,975 1958—1963............................. 1,031 150 60 -1,666 2,740 2,315 3,090 75 1,035 1964—1966............................. 776 1,640 45 -723 6 1,744 4,834 94 5326 1967......................................... 20 -114 -94 4,740 92 420 1968........................................ -84 20 -806 -870 3,870 75 1,290 1969........................................ 22 19 -1,343 268 -1,034 2,836 55 2,324 1969—June............................. 5 1 -112 -106 3,611 70 1,549 July.............................. 2 — 79 —77 3,534 68 1,626 Aug.............................. -36 20 -16 3,518 68 1,642 Sept.............................. 17 3 -282 122 -140 3,378 65 1,782 Oct............................... 1 -9 5 -3 3,375 65 1,785 Nov.............................. -268 89 -179 3,196 62 1,964 Dec.............................. 4 -396 32 -360 2,836 55 2,324 1970—jan............................... -33 36 3 2,839 55 2,321 Feb............................... 32 2 -262 42 -186 2,653 51 2,507 Mar.............................. 5 -178 103 -70 2,583 50 2,577 Apr.............................. 3 -2 66 67 2,650 51 2,510 May............................. 150 150 2,800 54 2,360 June............................. 5 -2 7 10 2,810 54 2,350 For notes see opposite page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 76 INTL. CAPITAL TRANSACTIONS OF THE U.S. □ JULY 1970 6. U.S. LIQUID LIABILITIES TO FOREIGNERS (In millions of dollars) Liabilities to Intl. Liabilities to foreign countries Liabilities to non­ Monetary Fund arising monetary inti, and from gold transactions regional organizations 5 Official institutions 3 Banks and other foreigners Non­ p E e o r n i f o d d Total Total p G o d s o e i l ­ t d 1 m in G e v o n e l s t d t 2 ­ Total i i p S t n b l i t i o e a h e a b r U s n r o b y t m k e i r . r l S t e s d ­ ­ . ­ M n b G o U a a o a t o b n n e . r S v l d k d s e t . e s , 4 t­ c m T o b U a n a o i u r a b b e n v n r . r l S l a y d e e k d e s . r e s ­ t t ­ ­ Total i i p S t b n l i t i o a e h e a b r U s n b r o y t m k i e r . r l S t s e d ­ ­ . ­ M n b G o U a a o a t b o n r n . e S v l k d d s e t . e s , 4 t ­ Total i i n p S t b l i t i o e h a e a U b r s n r b o y t . m k i e r S r l t e s d ­ . ­ ­ 6 M n b G o U a a o a t b o n r n . e v S l k d d s e t . e s , 4 t ­ notes 1957........... 715,825 200 200 7,917 5,724 542 1958........... 716,845 200 200 8,665 5,950 552 1959........... 19,428 500 500 10,120 9,154 966 7,618 7,077 541 1,190 530 660 1960#......... J \2 2 1 0, , 9 0 9 27 4 8 8 0 0 0 0 8 8 0 0 0 0 1 1 1 1 , , 0 0 7 8 8 8 1 1 0 0, , 2 2 1 1 2 2 8 8 6 7 6 6 7 7 , , 5 5 9 9 1 8 7 7 , , 0 0 4 4 8 8 5 54 5 3 0 1 1, , 5 5 4 2 1 5 7 7 5 5 0 0 7 79 7 1 5 19618......... /22,853 800 800 11,830 10,940 890 8,275 7,759 516 1,948 703 1,245 122,936 800 800 11,830 10,940 890 8,357 7,841 516 1,949 704 1,245 19628.......... 1 (2 2 4 4 , , 0 0 6 6 8 8 8 80 00 0 8 8 0 0 0 0 1 1 2 2 , , 7 7 4 1 8 4 1 1 1 1 , , 9 9 9 6 7 3 7 7 5 5 1 1 8 8, ,3 3 5 5 9 9 7 7 , , 9 9 1 1 1 1 4 4 4 48 8 2 2 , ,1 1 6 9 1 5 1 1 , , 2 2 5 8 0 4 9 9 1 1 1 1 1 O/CI ft /26,361 800 800 14,387 12,467 1,217 703 9,214 8,863 351 1,960 808 1,152 126,322 800 800 14,353 12,467 1,183 703 9,204 8,863 341 1,965 808 1,157 lO/CAft j28,951 800 800 15,428 13,224 1,125 1,079 11,001 10,625 376 1,722 818 904 \29,002 800 800 15,424 13,220 1,125 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 1l yOD 5ft.......... \ / 2 2 9 9 , , 7 9 7 0 9 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 5 1 1 2 2 , , 5 4 3 8 9 4 8 8 6 6 0 0 2 2 5 5 6 6 1 1 4 4 , , 3 2 8 0 7 8 1 1 3 3 , , 6 85 8 9 0 5 5 2 2 8 8 9 90 0 5 6 5 5 8 8 1 0 3 3 2 25 5 1 Q<7 ft /33.271 1,033 233 800 15,653 14,034 908 711 15,894 15,336 558 691 487 204 \33,119 1,033 233 800 15,646 14.027 908 711 15,763 15,205 558 677 473 204 11 yQo£Qo y0.......... / \ 3 3 3 3, ,8 6 2 1 1 4 1 1, , 0 03 3 0 0 2 2 3 3 0 0 8 8 0 0 0 0 1 12 2 , , 4 5 8 4 1 8 1 1 1 1, , 3 3 1 1 8 8 4 52 6 9 2 7 7 0 0 1 1 1 19 9 , , 3 5 8 1 1 8 1 1 8 8 , , 9 9 0 1 9 6 4 6 6 0 5 9 7 7 2 2 5 2 6 6 8 8 3 3 4 39 2 1969-Apr... 36,066 1,033 233 800 10,936 9,762 459 715 23,426 22,929 497 671 632 39 May.. 37,673 1,033 233 800 12,434 11,310 459 665 23,487 23,014 473 719 671 48 June.. 39,045 1,028 228 800 10,237 9,112 459 666 27,064 26,608 456 716 668 48 July. . 40,165 1,028 228 800 9,980 8,780 450 750 28,426 27,945 481 731 682 49 Aug... 41,619 1,028 228 800 11,039 9,839 450 750 28,821 28,329 492 731 682 49 Sept... 42,703 1,019 219 800 12,481 11,281 450 750 28,475 27,943 532 728 679 49 Oct... 1043,119 1,019 219 800 1012,686 11,611 333 10742 28,731 28,190 541 683 634 49 Nov... 43,310 1,019 219 800 12,014 11,128 331 555 29,558 29,014 544 719 669 50 Dec... 42,039 1,019 219 800 11,984 11,046 383 555 28,374 27,845 529 662 612 50 1970—Jan.. 42,955 1,019 219 800 12,665 11,853 383 429 28,533 28,002 531 738 688 50 Feb.. 43,382 1,010 210 800 14,011 13,202 380 429 27,546 27,062 484 815 765 50 Mar. 43,235 1,010 210 800 14,751 13,942 380 429 26,670 26,194 476 804 754 50 Apr.P 43,812 1,010 210 800 14,395 13,586 380 429 27,637 27,152 485 770 719 51 1 Represents liability on gold deposited by the International Monetary regular monthly reports of securities transactions (see Table 16). Data in­ Fund to mitigate the impact on the U.S. gold stock of foreign purchases cluded on the second line are based on a benchmark survey as of Nov. 30, for the purpose of making gold subscriptions to the IMF under quota in­ 1968, and the monthly transactions reports. For statistical convenience, creases. the new series is introduced as of Dec. 31, 1968, rather than as of the 2 U.S. Govt, obligations at cost value and funds awaiting investment survey date. obtained from proceeds of sales of gold by the IMF to the United States The difference between the two series is believed to arise from errors in to acquire income-earning assets. Upon termination of investment, the reporting during the period between the two benchmark surveys, from same quantity of gold can be reacquired by the IMF. shifts in ownership not involving purchases or sales through U.S. banks 3 Includes Bank for International Settlements and European Fund. and brokers, and from physical transfers of securities to and from abroad. 4 Derived by applying reported transactions to benchmark data; It is not possible to reconcile the two series or to revise figures for earlier breakdown of transactions by type of holder estimated for 1960-63. dates. Includes securities issued by corporations and other agencies of the U.S. 10 Includes $17 million increase in dollar value of foreign currency Govt, that are guaranteed by the United States. liabilities resulting from revaluation of the German mark in Oct. 1969. 5 Principally the International Bank for Reconstruction and Develop­ ment and the Inter-American Development Bank. Note.—Based on Treasury Dept, data and on data reported to the 6 Includes difference between cost value and face value of securities in Treasury Dept, by banks and brokers in the United States. Data correspond IMF gold investment account. Liabilities data reported to the Treasury to statistics following in this section, except for minor rounding differences. include the face value of these securities, but in this table the cost value of Table excludes IMF “holdings of dollars,” and holdings of U.S. Treasury the securities is included under “Gold investment.” The difference, which letters of credit and non-negotiable, non-interest-bearing special United amounted to $43 million at the end of 1969, is included in this column. States notes held by other international and regional organizations. 7 Includes total foreign holdings of U.S. Govt, bonds and notes, for The liabilities figures are used by the Dept, of Commerce in the statistics which breakdown by type of holder is not available. measuring the U.S. balance of international payments on the liquidity * Data on the two lines shown for this date differ because of changes in basis; however, the balance of payments statistics include certain adjust­ reporting coverage. Figures on the first line are comparable with those ments to Treasury data prior to 1963 and some rounding differences, and shown for the preceding date; figures on the second line are comparable they may differ because revisions of Treasury data have been incorporated with those shown for the following date. at varying times. The table does not include certain nonliquid liabilities 9 Data included on the first line for holdings of marketable U.S. Govt, to foreign official institutions that enter into the calculation of the official securities are based on a July 31, 1963, benchmark survey of holdings and reserve transactions balance by the Dept, of Commerce. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 n INTL. CAPITAL TRANSACTIONS OF THE U.S. A 77 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 es E W u e ro st p e e r n 1 Canada A re m p L u e a b r ti i l n c ic a s n Asia Africa cou O n t t h ri e e r s 2 1967............. 15,646 9,872 996 1,131 3,145 249 253 19683.......... 12,548 7,009 533 1.354 3,168 259 225 12.481 7,001 532 1.354 3,122 248 224 1969—Apr.. 10,936 5,522 446 1,445 2,951 264 308 May. 12,434 7,294 403 1,281 2,904 235 317 June. 10,237 5,298 461 1,248 2,727 232 271 July. . 9,980 5,132 426 1,292 2,616 238 276 Aug.. 11,039 5,907 451 1,392 2,788 255 246 Sept.. 12.481 7,385 397 1,339 2,871 270 219 Oct... 412,686 47,400 425 1,485 2,853 322 201 Nov.. 12,014 6,234 446 1,417 3,104 570 243 Dec.. 11,984 5,860 495 1,671 3,190 546 222 1970—Jan... 12,665 6,289 600 1,735 3,314 533 194 Feb.., 14,011 7,250 662 1,882 3,331 702 184 Mar.. 14,751 7,393 590 2,080 3,780 705 203 Apr.* 14,395 6,941 733 2,084 3,668 725 244 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 See note 9 to Table 6. securities with an original maturity of more than 1 year. 4 Includes $17 million increase in dollar value of foreign currency liabilities resulting from revaluation of the German mark in Oct. 1969. 8. SHORT-TERM LIABILITIES TO FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES, BY TYPE (Amounts outstanding; in millions of dollars) To nonmonetary international To all foreigners and regional organizations 5 Payable in dollars IMF Deposits End of period Total 1 Total Dem D an e d pos T it i s me 2 b T i c l r c U e l e s a r a . t t S s i e a f u . s i n r ­ d y s O l t i h e a t o r h b m r . e t 3 r ­ P f r o e a c n r y i u e c n a r i i b g ­ e l n s e in m g v o e e l n s d t t ­ 4 Total Demand Time2 b T i c r l c e U l e s a r a . t t S s i e a f u . s i n r ­ d y s l O t i h e a t r o b h m r . e t 3 r ­ 1 Q£7 6 /30,657 30,428 11,747 5,780 9,173 3,727 229 800 487 67 124 178 118 130,505 30,276 11,577 5,775 9,173 3,750 229 800 473 67 120 178 107 1968............................. 31,717 31,081 14,387 5,484 6,797 4,412 636 800 683 68 113 394 108 1969—May.................. 35,795 35,229 16,638 5,622 7,272 5,697 566 800 671 58 70 236 306 June.................. 37,188 36,587 20,132 5,706 4,974 5,775 601 800 668 75 75 214 303 July................... 38,207 37,762 21,042 5,680 5,070 5,970 445 800 682 59 78 227 318 Aug................... 39,650 39,192 21,091 5,854 5,858 6,389 458 800 682 54 76 230 321 Sept................... 40,703 40,287 20,750 6,090 7,052 6,395 416 800 679 61 86 225 307 Oct.................... 41,235 40,747 20,984 6,376 6,450 6,937 488 800 634 71 76 234 252 Nov................... 41,611 41,166 21,690 6,673 5,632 7,171 445 800 669 58 66 291 254 Dec................... 40,303 39,874 20,689 6,834 5,015 7,336 429 800 612 57 83 244 227 1970—Jan..................... 41,343 40,901 20,319 6,840 5,938 7,804 442 800 688 66 103 252 267 Feb.................... 41,829 41,403 19,397 7,117 6,602 8,287 426 800 765 75 119 317 255 Mar................... 41,690 41,289 18,397 7,104 7,228 8,560 401 800 754 81 131 330 211 Apr.p................ 42,257 41,895 19,270 6,919 7,164 8,542 362 800 719 87 136 237 259 May?................ 42,192 41,841 18,836 7,147 7,564 8,294 351 800 657 65 141 226 224 For notes see the following page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 78 INTL. CAPITAL TRANSACTIONS OF THE U.S. □ JULY 1970 8. SHORT-TERM LIABILITIES TO FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES, BY TYPE—Continued (Amounts outstanding; in millions of dollars) To residents of foreign countries To official institutions7 Payable in dollars Payable in dollars End of period Total Dema D n e d posi T ts ime2 T b c i r l c U e e l a s r a . t t s S i e a f u . s n i r ­ d y s O l t i h e a t o r h b m r . e 3 t r ­ P f r o e a c n r y i u e n c a i r i b g ­ e l n s e Total Dema D n e d posi T ts ime2 T bi c r l c U e e l a s a r . t t S s e a i u f . s n i r ­ d y s O l t h i e t a o r h b m r e . t r 3 ­ c P u f r a o r y r e i e a n n i b c g l i n e es 1 Q£7 6 (29,370 11,680 5,656 8,195 3,610 229 14,034 2,054 2,462 7,985 1,381 152 (29,232 11,510 5,655 8,195 3,643 229 14,027 2,054 2,458 7,985 1,378 152 1968....................... 30,234 14,320 5,371 5,602 4,304 636 11,318 2,149 1,899 5,486 1,321 463 1969—May............ 34,324 16,579 5,552 6,236 5,390 566 11,310 1,793 1,993 6,092 1,045 388 June............ 35,720 20,057 5,630 3,960 5,472 601 9,112 2,037 1,987 3,819 881 388 July............ 36,725 20,983 5,602 4,043 5,653 445 8,780 1,892 1,872 3,872 912 232 Aug............. 38,168 21,037 5,778 4,828 6,067 458 9,839 2,066 1,983 4,671 887 232 Sept............. 39,224 20,689 6,004 6,027 6,088 416 11,281 1,993 2,119 5,895 1,042 232 Oct.............. 39,801 20,912 6,299 5,416 6,686 488 11,611 1,955 2,432 5,301 1,691 232 Nov............ 40,142 21,632 6,607 4,540 6,917 445 11,128 1,894 2,709 4,421 1,902 202 Dec............. 38,891 20,632 6,751 3,971 7,109 429 11,046 1,918 2,943 3,844 2,139 202 1970—Jan.............. 39,855 20,253 6,737 4,885 7,537 442 11,853 1,649 2,961 4,749 2,292 202 Feb............. 40,264 19,322 6,998 5,485 8,032 426 13,202 1,661 3,251 5,381 2,707 202 Mar............ 40,136 18,316 6,972 6,098 8,349 401 13,942 1,445 3,400 5,989 2,906 202 Apr.*.......... 40,738 19,184 6,783 6,127 8,282 362 13,586 1,295 3,377 6,035 2,731 148 May*.......... 40,735 18,771 7,005 6,538 8,071 351 13,965 1,343 3,419 6,417 2,638 148 To banks 8 To other foreigners To banks Payable in dollars and other foreigners: End of period Total payable in Total Dema D n e d posi T ts ime2 T b c i r l c e U e l a s r a . t t s S i e a u f s . n i r ­ d y s O l t h i e a t o r h b m r e . t 3 r ­ Total Dema D n e d posi T ts ime2 T b c i r l c U e e l a s r a . t t s S i e a f u . s n i r ­ d y s O l t h i e a t o r h b m r e . t 3 r ­ f r o e c r n u e c i r i g ­ e n s 19676........... [ i 1 1 5 5 , , 3 2 3 05 6 1 1 1 1 , , 1 0 3 08 2 7 7 , , 9 7 3 6 3 3 1 1 , , 1 14 42 2 1 1 2 2 9 9 1 1 , , 9 9 2 7 7 3 4 4 , , 1 1 2 2 7 0 1 1 , , 6 6 9 9 3 3 2 2 , , 0 0 5 5 2 4 8 8 1 1 2 30 9 2 2 7 7 7 7 1968............. k 18,916 14,299 10,374 1,273 30 2,621 4,444 1,797 2,199 86 362 173 1969—May., 23.014 18,520 13,083 1,487 35 3,915 4,315 1,703 2,072 110 431 179 June., 26,608 22,109 16,231 1,652 35 4,191 4,286 1,789 1,992 106 400 213 July.. 27,945 23,596 17,412 1 ,801 54 4,330 4,136 1,679 1,929 116 412 213 Aug.. 28,329 24,031 17,318 1,947 35 4,732 4,072 1,653 1,847 122 448 226 Sept.. 27,943 23,692 16,920 2,080 25 4,667 4,067 1,776 1,804 107 379 184 Oct.. . 28,190 23,990 17,246 2,125 22 4,598 3,944 1,711 1,742 93 398 256 Nov.. 29.014 24,912 18,066 2,164 18 4,664 3,859 1,673 1,734 101 351 243 Dec.. 27,845 23,680 17,005 1,996 20 4,658 3,939 1,709 1,811 107 312 226 1970-Jan.. . 28,002 23,887 16,907 2,063 21 4,897 3,875 1,698 1,714 116 347 240 Feb.. 27,062 23,083 15,997 2,092 27 4,968 3,756 1,665 1,656 78 358 223 Mar.. 26,194 22,170 15,105 1,962 21 5,082 3,825 1,766 1,610 89 361 199 Apr.*, 27,152 23,102 16,104 1,802 19 5,178 3,836 1,784 1,605 74 374 214 May* 26,770 22,751 15,720 1,974 20 5,036 3,818 1,708 1,611 102 396 202 1 Data exclude “holdings of dollars” of the International Monetary with those shown for the preceding date; figures on the second line are Fund. comparable with those shown for the following date. 2 Excludes negotiable time certificates of deposit, which are included 7 Foreign central banks and foreign central govts, and their agencies, in “Other.” and Bank for International Settlements and European Fund. 3 Principally bankers’ acceptances, commercial paper, and negotiable 8 Excludes central banks, which are included in “Official institutions.” time certificates of deposit. 4 U.S. Treasury bills and certificates obtained from proceeds of sales of Note.—“Short-term” refers to obligations payable on demand or having gold by the IMF to the United States to acquire income-earning assets. an original maturity of 1 year or less. For data on long-term liabilities Upon termination of investment, the same quantity of gold can be re­ reported by banks, see Table 10. Data exclude the “holdings of dollars” acquired by the IMF. of the International Monetary Fund; these obligations to the IMF consti­ 5 Principally the International Bank for Reconstruction and Develop­ tute contingent liabilities, since they represent essentially the amount of ment and the Inter-American Development Bank. dollars available for drawings from the IMF by other member countries. Includes difference between cost value and face value of securities in Data exclude also U.S. Treasury letters of credit and non-negotiable, non- IMF gold investment account. interest-bearing special U.S. notes held by the Inter-American Develop­ 6 Data on the two lines shown for this date differ because of changes in ment Bank and the International Development Association. reporting coverage. Figures on the first line are comparable in coverage Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ INTL. CAPITAL TRANSACTIONS OF THE U.S. A 79 9. SHORT-TERM LIABILITIES TO FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES, BY COUNTRY (End of period. Amounts outstanding; in millions of dollars) 1968 1969 1970 Area and country Dec. Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr.? Mayp Europe: Austria...................................................................... 162 157 248 252 314 299 300 343 279 264 Belgium-Luxembourg.............................................. 313 404 445 553 528 583 622 599 596 508 Denmark................................................................... 146 114 125 151 153 178 182 212 186 165 Finland..................................................................... 176 98 99 115 120 123 137 129 131 140 France....................................................................... 1,383 1,536 1,527 1,615 1,588 1,553 1,608 1,601 1,827 1,898 Germany................................................................... 2,640 4,235 2,902 2,006 1,381 2,226 2,658 2,680 2,685 2,770 Greece....................................................................... 183 184 181 201 207 208 191 178 185 185 Italy........................................................................... 729 813 843 733 627 626 741 604 590 647 Netherlands.............................................................. 276 366 738 606 463 581 539 526 459 409 Norway..................................................................... 448 175 203 228 341 240 305 281 272 241 Portugal.................................................................... 345 312 309 311 309 313 289 280 266 263 Spain......................................................................... 158 163 179 164 202 195 226 234 178 224 Sweden...................................................................... 453 209 318 399 412 455 426 381 364 353 Switzerland............................................................... 2,155 1,871 1,937 2,010 2,027 1,984 1,966 2,173 2,228 2,327 Turkey....................................................................... 29 23 35 30 28 31 35 31 27 25 United Kingdom...................................................... 6,133 12,698 11,973 12,699 11,600 11,438 10,906 10,180 10,786 10,025 Yugoslavia................................................................ 33 37 39 40 37 44 33 42 29 40 Other Western Europe1........................................... 357 628 1,182 1,461 1,528 1,465 1,742 1,951 1,656 1,682 5 11 5 10 11 8 6 6 6 4 Other Eastern Europe.............................................. 48 43 47 38 50 44 39 39 37 40 Total.................................................................. 16,170 24,078 23,336 23,623 21,926 22,592 22,950 22,471 22,786 22,212 Canada......................................................................... 2,797 3,386 4,166 3,844 3,991 4,101 3,857 3,613 3,772 4,092 Latin America: Argentina.................................................................. 479 429 448 409 416 418 450 450 517 525 Brazil......................................................................... 257 322 362 402 425 412 452 526 544 518 Chile.......................................................................... 323 343 352 349 393 361 385 436 399 439 Colombia.................................................................. 249 244 249 250 258 267 277 296 289 306 Cuba......................................................................... 8 8 8 8 7 7 7 7 6 7 Mexico...................................................................... 974 740 791 788 848 891 915 939 989 882 Panama..................................................................... 154 125 119 124 129 145 136 134 130 144 Peru........................................................................... 276 227 220 218 239 218 215 239 219 233 Uruguay.................................................................... 149 125 111 106 111 140 119 120 122 121 Venezuela................................................................. 792 694 661 635 674 684 673 693 679 646 Other Latin American republics............................. 611 535 532 508 556 551 577 603 629 627 Bahamas and Bermuda............................................ 273 1,109 1,444 1,435 1,405 1,583 1,543 1,345 1,354 1,609 Netherlands Antilles and Surinam......................... 88 77 72 71 74 79 82 84 93 86 Other Latin America................................................ 30 37 33 42 34 40 36 36 45 36 Total.................................................................. 4,664 5,014 5,403 5,345 5,571 5,795 5,867 5,906 6,016 6,179 Asia: China Mainland....................................................... 38 36 35 37 36 37 39 39 37 41 Hong Kong............................................................... 270 205 217 214 213 196 223 219 225 223 India.......................................................................... 281 257 283 293 260 260 286 330 322 354 Indonesia.................................................................. 50 75 63 74 86 78 69 89 87 79 Israel......................................................................... 215 138 123 115 146 178 185 152 139 172 Japan......................................................................... 3,320 3,605 3,640 3,773 3,788 3,628 3,557 3,910 4,084 4,024 Korea........................................................................ 171 188 217 231 236 283 308 299 258 291 Philippines................................................................ 269 228 240 222 201 197 248 285 241 264 Taiwan...................................................................... 155 186 182 188 196 215 218 228 210 225 Thailand................................................................... 556 585 561 611 628 653 666 664 630 643 Other......................................................................... 628 541 547 523 606 657 652 762 724 679 Total.................................................................. 5,953 6,045 6,109 6,280 6,396 6,381 6,452 6,976 6,958 6,995 Africa: Congo (Kinshasa).................................................... 12 69 71 86 87 85 109 97 73 71 Morocco................................................................... 13 18 18 18 21 21 44 52 47 47 South Africa............................................................. 58 51 53 54 66 69 91 96 58 50 U.A.R. (Egypt)...................................................... 18 19 17 19 23 25 25 22 22 24 Other......................................................................... 260 240 334 533 499 504 594 582 683 707 Total.................................................................. 361 396 492 710 695 703 864 850 883 899 Other countries: Australia................................................................... 261 272 263 311 282 255 244 287 290 329 All other................................................................... 28 32 31 29 29 28 30 32 33 30 Total.................................................................. 289 305 294 340 311 283 274 319 324 359 Total foreign countries................................................ 30,234 39,224 39,801 40,142 38,891 39,855 40,264 40,136 40,738 40,735 International and regional: International2........................................................... 1,372 1,311 1,277 1,316 1,260 1,307 1,365 1,346 1,279 1,227 Latin American regional.......................................... 78 114 106 99 100 116 117 111 143 127 Other regional3........................................................ 33 54 51 54 52 65 83 97 97 103 Total.................................................................. 1,483 1,479 1,434 1,469 1,412 1,488 1,565 1,554 1,519 1,457 Grand total....................................................... 31,717 40,703 41,235 41,611 40,303 41,343 41,829 41,690 42,257 42,192 For notes see the following page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 80 INTL. CAPITAL TRANSACTIONS OF THE U.S. □ JULY 1970 9. SHORT-TERM LIABILITIES TO FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES BY COUNTRY—Continued (End of period. Amounts outstanding; in millions of dollars) Supplementary data 4 1968 1969 1970 1968 1969 1970 Area or country Area or country Apr. Dec, Apr. Dec. Apr. Apr. Dec. Apr. Dec. Apr. Other Western Europe: Other Asia—Cont.: Cyprus....................................... 21 8 2 11 15 Jordan......................................... 7 3 4 17 30 Iceland...................................... 3 6 4 9 10 Kuwait........................................ 34 67 40 46 66 Ireland, Rep. of........................ 15 24 20 38 32 Laos............................................ 4 3 4 3 4 Luxembourg............................. (5) (5) (5) (5) (5) Lebanon..................................... 97 78 82 83 82 Malaysia..................................... 52 52 41 30 48 Other Latin American republics: Pakistan...................................... 54 60 24 35 34 Bolivia....................................... 61 66 65 68 76 Ryukyu Islands (incl. Okinawa) 26 17 20 25 Costa Rica................................ 55 51 61 52 43 Saudi Arabia.............................. 70 29 48 106 166 Dominican Republic................ 60 69 59 61 76 Singapore................................... 157 67 40 17 25 Ecuador.................................... 64 66 62 74 70 Syria............................................ 7 2 4 4 6 El Salvador............................... 84 82 89 69 79 Vietnam...................................... 123 51 40 94 91 Guatemala................................ 96 86 90 84 110 Haiti.......................................... 17 17 18 16 19 Other Africa: Honduras.................................. 31 33 37 29 29 Algeria........................................ 8 8 6 14 13 Jamaica..................................... 44 42 29 16 17 Ethiopia, (incl. Eritrea)............. 23 13 15 20 33 Nicaragua................................. 58 67 78 63 76 Ghana........................................ 13 3 8 10 7 Paraguay................................... 14 16 18 13 17 Kenya......................................... 20 29 34 43 47 Trinidad & Tobago.................. 9 10 8 13 Liberia........................................ 26 25 28 18 29 Libya.......................................... 45 69 68 288 430 Other Latin America: Nigeria........................................ 24 20 10 11 11 British West Indies................. 25 25 30 37 Southern Rhodesia.................... 4 1 2 2 2 Sudan.......................................... 2 5 3 3 1 Other Asia: Tanzania..................................... 27 21 23 10 18 Afghanistan............................. 6 6 8 16 Tunisia........................................ 2 7 2 6 7 Burma...................................... 17 5 5 2 Uganda...................................... 10 6 9 s 7 Cambodia............................... 3 2 2 1 1 Zambia....................................... 21 25 19 17 38 Ceylon..................................... 5 4 5 3 4 Iran.......................................... 38 41 44 35 41 All other: Iraq.......................................... 10 86 77 26 6 New Zealand............................. 15 17 20 16 18 1 Includes Bank for International Settlements and European Fund. 4 Represent a partial breakdown of the amounts shown in the “other” 2 Data exclude “holdings of dollars” of the International Monetary categories (except “Other Eastern Europe”). Fund but include IMF gold investment. 5 Included with Belgium. 3 Asian, African, and European regional organizations, except BIS and European Fund, which are included in “Europe.” 10. LONG-TERM LIABILITIES TO FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES (Amounts outstanding; in millions of dollars) To foreign countries Country or area To End of period Total reg i a n i n o t d i n . al Total O in t f i s f o t i n i c t i s u a ­ l Banks1 fo O r e e t r h i s g e n r ­ A t r i g n e a n­ A O L m a t e h t r i e i n c r a Israel Japan Thailand O A t s h i e a r co o u A t n h t l e r l i r es 1966............................. 1,494 506 988 913 25 50 234 8 197 140 277 133 1l yO/oCTf *2........................... | ( 2 2 , , 5 5 4 6 6 0 6 6 8 9 9 8 1 1 , ,8 8 6 5 3 8 1 1 , , 8 8 0 0 7 7 1 15 5 4 35 0 2 2 5 5 1 1 2 23 34 4 1 1 2 2 6 6 4 4 4 4 3 3 2 2 1 1 8 8 5 5 0 0 2 2 8 89 4 1968............................. 3,166 777 2,389 2,341 8 40 284 257 241 658 201 651 97 1969—May................. 2,974 776 2,198 2,156 6 36 284 193 189 658 202 561 112 June.................. 2,943 786 2,157 2,103 19 34 284 149 189 658 199 558 120 July................... 2,825 797 2,028 1,963 30 36 207 129 181 658 199 529 125 Aug................... 2,768 813 1,956 1,889 30 37 207 149 154 658 157 509 122 Sept................... 2,678 886 1,792 1,713 43 36 146 130 101 659 117 508 131 Oct.................... 2,530 919 1,611 1,533 43 35 67 123 43 659 117 477 125 Nov................... 2,483 900 1,583 1,502 44 37 62 154 43 659 70 475 119 Dec................... 2,490 887 1,602 1,507 55 41 64 175 41 655 70 472 124 1970—Jan.................... 2,335 870 1,465 1,373 55 37 25 163 6 657 47 446 120 Feb.................... 2,341 870 1,471 1,376 59 36 25 191 6 657 54 415 122 Mar.................. 2,340 888 1,452 1,351 62 39 25 202 6 636 49 403 131 Apr.P................ 2,268 837 1,431 1,321 64 46 25 210 6 636 51 376 127 MayP................ 2,217 850 1,368 1,255 63 50 25 217 6 624 28 330 138 1 Excludes central banks, which are included with “Official institutions.” those shown for the preceding date; figures on the second line are com- 2 Data on the two lines for this date differ because of changes in report- parable with those shown for the following date, ing coverage. Figures on the first line are comparable in coverage with Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 a INTL. CAPITAL TRANSACTIONS OF THE U.S. A 81 11. ESTIMATED FOREIGN HOLDINGS OF MARKETABLE U.S. GOVERNMENT BONDS AND NOTES (End of period; in millions of dollars) 1968 1969 1970 Area and country Dec. May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr.P May*3 Europe: Denmark............................ 10 9 9 9 9 9 9 9 9 9 6 6 6 6 France................................. 5 6 6 6 6 6 6 6 6 6 6 6 6 6 Netherlands....................... 2 2 2 2 2 2 2 2 2 2 2 2 2 2 Norway............................... 37 37 37 37 37 37 37 37 37 37 37 37 37 37 Sweden............................... 5 5 5 5 5 5 5 5 5 5 5 5 5 5 Switzerland......................... 39 44 44 44 44 45 42 42 42 42 46 46 46 45 United Kingdom............... 350 351 334 357 368 406 420 421 407 407 358 350 359 369 Other Western Europe---- 33 33 33 24 24 24 24 24 24 24 24 24 24 24 Eastern Europe................. 6 7 7 7 7 7 7 7 7 7 7 7 7 7 Total............................... 488 494 477 491 502 541 553 553 538 539 491 483 492 501 Canada................................... 384 388 387 389 389 389 271 272 272 271 270 271 271 279 Latin America: Latin American republics.. 2 2 2 2 2 2 2 2 2 2 2 2 2 2 Neth. Antilles & Surinam. 15 12 12 12 12 12 12 12 12 13 12 12 12 12 Other Latin America......... • * • * • * * 2 2 2 2 2 2 2 Total........................... 17 14 14 14 14 14 14 15 15 17 15 15 15 15 Asia: Japan.................................. 9 10 10 10 10 10 10 10 61 61 62 62 62 61 Other Asia......................... 18 18 18 18 18 19 19 17 18 18 18 18 18 19 Total........................... 26 28 28 28 28 28 29 27 79 79 80 80 80 81 Other countries..................... 11 9 9 9 9 9 7 7 7 7 7 7 7 7 Total foreign countries......... 927 932 915 931 942 982 874 875 912 914 864 856 865 883 International and.regional: International...................... 25 32 32 32 32 32 32 32 32 31 31 30 30 30 Latin American regional.. 13 15 15 17 17 17 17 18 18 19 19 20 20 21 Asian regional................... 1 Total........................... 39 48 48 49 49 49 50 50 50 50 50 50 51 51 Grand total................ 966 980 963 980 991 1,031 923 925 962 964 914 906 916 934 Note.—Data represent estimated official and private holdings of mar- year, and are based on a Nov. 30,1968, benchmark survey of holdings and ketable U.S. Govt, securities with an original maturity of more than 1 regular monthly reports of securities transactions (see Table 16). 12. NONMARKETABLE U.S. TREASURY BONDS AND NOTES ISSUED TO OFFICIAL INSTITUTIONS OF FOREIGN COUNTRIES (In millions of dollars or dollar equivalent) Payable in dollars Payable in foreign currencies End of period Total Total g B iu e m l­ C ad a a n 1 ­ m De a n rk ­ Italy 2 Korea S d w en e­ T w a a i n ­ T la h n a d i­ Total A tr u ia s­ g B iu e m l­ m G a e n r y ­ 3 Italy z S er w la i n t­ d 196 7 1,563 516 314 177 1,047 50 60 601 125 211 196 8 3,330 1,692 32 1,334 20 146 100 1,638 50 1,051 226 311 1969—June. 3,269 1,416 32 1,084 140 25 20 100 1,853 50 1,200 226 377 July., 3,352 1,391 32 1,084 140 20 100 1,961 25 1,200 226 511 Aug.. 3.251 1.390 32 1,084 140 20 100 1,861 25 1,200 125 511 Sept.. 3.251 1.390 32 1,084 139 20 100 1,861 25 1,200 125 511 Oct.. 43,372 1,435 32 1,129 139 20 100 41,937 41,301 125 511 Nov.. 3.181 1.431 32 1,129 135 20 100 1.750 1,084 125 541 Dec.. 3.181 1.431 32 1,129 135 20 100 1.750 1,084 125 541 1970—Jan.. 2,514 1.431 32 1,129 135 20 100 1.083 542 541 Feb.. 2,513 1.431 32 1,129 135 20 100 1.083 542 541 Mar., 2,799 1,717 32 1,429 121 20 100 1.083 542 541 Apr.. 2,897 1,814 32 1,529 118 20 100 1.083 542 541 May. 3,096 2,013 32 1,729 117 20 100 1.083 542 541 June. 3,511 2,428 32 2,229 32 20 100 1.083 542 541 1 Includes bonds issued in 1964 to the Government of Canada in connec­ 3 In addition, nonmarketable U.S. Treasury notes amounting to $125 tion with transactions under the Columbia River treaty. Amounts out­ million equivalent were issued to a group of German commercial banks in standing end of 1967 through Oct. 1968, $114 million; end of 1968 through June 1968. The revaluation of the German mark in Oct. 1969 increased Sept. 1969, $84 million; and Oct. 1969 through latest date, $54 million. the dollar value of these notes by $10 million. 2 Bonds issued to the Government of Italy in connection with mili­ 4 Includes an increase in dollar value of $101 million resulting from tary purchases in the United States. revaluation of the German mark in Oct. 1969. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 82 INTL. CAPITAL TRANSACTIONS OF THE U.S. □ JULY 1970 13. SHORT TERM CLAIMS ON FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES, BY COUNTRY (End of period. Amounts outstanding; in millions of dollars) 1968 1969 1970 Area and country Dec. Sept. Oct. Nov. Dec.* Jan. Feb. Mar. Apr.? Mayp Europe: Austria...................................................... 6 5 5 6 7 7 20 10 11 3 5 Belgium-Luxembourg............................. 40 53 71 57 56 56 49 53 55 69 67 Denmark.................................................. 36 32 40 41 40 40 49 32 36 31 29 Finland..................................................... 63 72 72 72 68 68 66 63 64 64 61 France...................................................... 66 92 85 93 107 107 117 94 87 96 99 Germany.................................................. 171 213 200 199 207 207 183 160 192 135 147 Greece...................................................... 12 20 19 17 22 22 17 16 17 19 22 Italy.......................................................... 105 101 108 99 120 120 129 123 107 102 103 Netherlands.............................................. 40 46 54 46 51 51 84 61 50 65 86 Norway..................................................... 43 40 36 38 34 34 34 32 36 34 35 Portugal.................................................... 10 9 9 8 8 8 9 11 13 9 13 Spain......................................................... 46 53 70 68 70 70 73 83 57 99 96 Sweden...................................................... 58 71 64 86 67 67 82 95 78 99 92 Switzerland.............................................. 93 92 110 131 99 99 124 122 109 116 93 Turkey...................................................... 38 32 31 26 19 19 14 15 25 19 31 United Kingdom...................................... 318 383 425 400 418 408 405 435 418 393 328 Yugoslavia................................................ 22 24 25 25 28 28 29 35 32 32 34 Other Western Europe............................. 15 10 11 11 9 9 7 8 9 7 10 U.S.S.R..................................................... 3 2 2 2 2 2 2 1 2 2 2 Other Eastern Europe............................. 21 28 25 28 34 34 30 34 43 40 46 Total.................................................. 1,205 1,377 1,463 1,454 1,466 1,456 1,522 1,483 1,441 1,433 1,398 Canada......................................................... 533 634 728 667 818 846 750 740 652 598 765 Latin America: Argentina.................................................. 249 297 306 301 311 311 304 296 290 285 280 Brazil........................................................ 338 307 317 318 317 317 296 289 285 293 302 Chile.......................................................... 193 177 174 177 188 188 178 195 203 213 219 Colombia.................................................. 206 212 215 210 225 225 237 252 249 254 252 Cuba......................................................... 14 14 14 14 14 14 14 14 14 14 14 Mexico...................................................... 948 836 802 778 801 801 804 807 850 887 897 Panama.................................................... 56 69 61 67 68 68 61 68 61 68 67 Peru.......................................................... 207 168 179 173 161 161 173 168 163 159 162 Uruguay.................................................... 44 41 43 46 48 48 49 50 55 55 55 Venezuela................................................. 232 237 233 228 240 240 250 261 264 254 263 Other Latin American republics................. 280 271 287 286 295 295 303 307 285 288 287 Bahamas and Bermuda........................... 80 52 59 48 92 92 62 68 73 67 63 Netherlands Antilles and Surinam......... 19 13 14 15 14 14 13 14 13 15 15 Other Latin America............................... 22 21 18 20 27 27 22 22 33 35 23 Total.................................................. 2,889 2,716 2,722 2,680 2,803 2,804 2,766 2,811 2,837 2,888 2,899 Asia: China Mainland...................................... 1 1 1 1 1 1 1 1 1 1 1 Hong Kong.............................................. 32 36 43 37 36 36 37 37 41 41 44 India.......................................................... 19 9 8 11 10 10 11 9 9 9 16 Indonesia.................................................. 23 33 25 23 30 30 29 25 68 53 48 Israel......................................................... 84 91 94 101 108 108 101 96 92 99 94 Japan........................................................ 3,114 3,164 3,071 3,114 3,342 3,372 3,160 3,080 3,215 3,276 3,378 Korea........................................................ 77 164 159 160 158 158 167 172 178 190 216 Philippines................................................ 239 242 241 232 216 216 208 255 276 295 278 Taiwan...................................................... 38 38 39 42 49 49 50 56 55 59 70 Thailand................................................... 99 93 94 97 101 101 99 98 95 103 98 Other........................................................ 145 164 190 205 212 212 208 168 162 164 179 Total.................................................. 3,872 4,035 3,965 4,023 4,262 4,292 4,070 3,998 4,192 4,290 4,422 Africa: Congo (Kinshasa).................................... 3 3 4 5 6 6 5 5 3 4 5 Morocco................................................... 2 2 3 2 3 3 3 3 4 5 4 South Africa............................................ 46 49 54 56 55 55 53 51 62 60 58 U.A.R. (Egypt)........................................ 8 12 10 11 11 11 10 12 12 15 17 Other........................................................ 73 69 72 82 86 86 79 63 63 62 62 Total.................................................. 133 135 143 155 162 162 150 136 144 146 145 Other countries: Australia.................................................. 66 55 57 52 53 53 58 55 60 56 62 All other................................................... 13 14 14 14 16 16 14 14 13 22 22 Total.................................................. 79 69 70 66 69 69 72 68 73 78 84 Total foreign countries............................... 8,710 8,966 9,091 9,045 9,580 9,629 9,329 9,236 9,339 9,433 9,714 International and regional.......................... * 1 1 1 2 2 1 2 2 1 2 Grand total...................................... 8,711 8,967 9,092 9,046 9,582 9,631 9,330 9,238 9,342 9,434 9,716 1 Data in the two columns shown for this date differ because of changes on demand or with a contractual maturity of not more than 1 year: loans in reporting coverage. Figures in the first column are comparable in cover- made to, and acceptances made for, foreigners; drafts drawn against age with those shown for the preceding date; figures in the second column foreigners, where collection is being made by banks and bankers for are comparable with those shown for the following date. their own account or for account of their customers in the United States; and foreign currency balances held abroad by banks and bankers and their customers in the United States. Excludes foreign currencies held Note.—Short-term claims are principally the following items payable by U.S. monetary authorities. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ INTL. CAPITAL TRANSACTIONS OF THE U.S. A 83 14. 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 End of period Total Total Total O in t f i s f o L t i i n c t o i s u a a ­ l ns t B o a - nks1 Others C s t t o o i i a o n u l n l n g t e d ­ s c ­ ­ f A e o o a m i c r f g n c a a n f c e d o c e e p c e r r s t s ­ t ­ . Other Total w D e i i e t g h p n o e f s o r i s t r s ­ g c F a n o u c o n a o v r r d i n m e t t , i c i f e s l g e i . s e ­ n , ­ Other paper 1967 2......... (8,583 8,158 3,137 306 1,603 1,228 1,511 3.013 498 425 287 74 63 [ 8,606 8,182 3,150 306 1,616 1,228 1,552 3.013 467 425 287 70 67 196 8 8,711 8,261 3,165 247 1,697 1,221 1.733 2,854 509 450 336 40 73 1969—May. 9,018 8,496 3.208 295 1,855 1,057 1.734 2,900 654 522 291 127 104 June. 9,222 8,669 3,325 293 1,971 1,061 1,751 3,068 526 553 334 111 108 July.. 9,025 8,513 3,118 258 1,829 1,030 1,766 3,059 571 512 310 90 113 Aug.. 8,947 8,467 3,072 235 1,819 1,018 1,838 3,015 543 480 272 101 107 Sept.. 8,967 8,472 3,093 212 1,880 1,000 1,860 2,973 546 495 355 51 89 Oct... 9,092 8,573 3,173 263 1.921 990 1,896 2,940 563 520 393 46 80 Nov.. 9,046 8,611 3,204 262 1,944 999 1,928 2,922 556 435 317 45 74 Dec. 2 [9,582 9,064 3,282 263 1,946 1.073 1.954 3,169 658 518 355 84 [9,631 9,113 3,279 263 1,943 1.073 1.954 3,204 675 518 355 84 1970—Jan... 9,330 8,826 3,261 258 1,986 1,018 1,970 3,024 570 504 349 77 78 Feb.. 9,238 8,772 3.209 266 1,914 1,029 1,992 2,987 584 466 326 62 78 Mar.. 9,342 8,927 3,291 296 1.922 1.074 2,083 3,044 508 415 300 45 70 Apr.p 9,434 8,959 3,120 339 1,734 1,047 2,153 3,223 462 475 342 67 66 MayP 9,716 9,228 3,196 315 1,827 1,053 2,220 3,244 568 488 338 66 84 1 Excludes central banks which are included with “Official institutions.” 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 15. LONG-TERM CLAIMS ON FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES (Amounts outstanding; in millions of dollars) Type Country or area Payable in dollars E pe n r d i o o d f Total Loans to— O lo t n h g e ­ r P c fo a u r y r i e r n a i e b g n l n e ­ U K d n i o n i m t g ed ­ E O u t r h o e p r e Canada A L m a e t r i i n ca Japan O A t s h i e a r co o u A t n h l t e l r r ies Official Other term cies Total institu­ Banks 1 foreign­ claims tions ers 1967................. 3,925 3,638 669 323 2,645 272 15 56 720 427 1,556 180 449 537 1968................. 3,567 3,158 528 237 2,393 394 16 68 479 428 1,375 122 617 479 1969—May.... 3,456 3,058 472 236 2,350 381 17 55 489 397 1,353 112 572 478 June.... 3,403 2,980 478 220 2,282 401 22 54 484 398 1,331 101 587 449 July___ 3,255 2,826 450 208 2,168 408 21 54 447 390 1,294 97 570 404 Aug....... 3,289 2,859 504 212 2,142 409 21 56 436 405 1,348 95 551 397 Sept...... 3,272 2,847 485 211 2,150 409 17 55 416 403 1,334 93 562 410 Oct........ 3,278 2,847 493 204 2,149 415 16 56 411 410 1,344 88 568 401 Nov...... 3,267 2,845 494 203 2,147 406 17 55 400 407 1,357 85 571 392 Dec....... 3,237 2,805 501 209 2,096 414 18 55 411 408 1,329 88 567 378 1970—Jan........ 3,173 2,734 460 210 2,063 409 29 55 403 406 1,306 90 557 356 Feb .... 3,146 2,724 475 203 2,046 390 33 51 401 416 1,296 86 545 351 Mar...... 3,211 2,794 517 210 2,067 386 31 56 419 406 1,336 87 558 349 Apr.P... 3,236 2,814 508 220 2,086 390 32 62 413 420 1,363 89 546 343 May p. .. 3,231 2,826 511 211 2,104 375 30 67 426 427 1,347 89 530 345 1 Excludes central banks, which are included with “Official institutions.’ Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 84 INTL. CAPITAL TRANSACTIONS OF THE U.S. □ JULY 1970 16. PURCHASES AND SALES BY FOREIGNERS OF LONG-TERM SECURITIES, BY TYPE (In millions of dollars) U.S. corporate Marketable U.S. Govt, bonds and notes i securities 2 Foreign bonds Foreign stocks Net purchases or sales Period Total I a n n t d l. Foreign 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 ­ 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 ­ c P ha u s r e ­ s Sales c N h e s a t a s l e e p s s u o r r ­ regional Total Official Other 196 8 -489 -161 -328 -380 51 17,563 13,329 4,234 2,306 3,686 -1,380 1,252 1,566 -314 196 9 -4 11 -15 -79 64 15,484 12,795 2,689 1,552 2,568 -1,016 1,519 2,037 -517 1970—Jan.-May? -28 -29 -28 4,820 4,612 208 647 957 -309 499 457 42 1969—Ma y -15 -24 -24 1,565 1,335 229 155 149 6 170 258 -88 June......... -17 -17 -17 1,172 1,192 -20 88 202 -115 187 358 -171 July.......... 17 16 25 1,058 1,007 51 82 321 -239 119 124 -5 Aug.......... 11 11 11 1,061 941 120 75 140 -65 107 104 2 Sept.......... 40 40 40 1,062 904 158 91 208 -117 105 207 -102 Oct........... -108 -108 -117 9 1,690 1,195 494 157 157 1 132 139 -6 Nov........... 2 1 -1 2 1,221 1,074 147 98 168 -70 106 140 -34 Dec........... 37 37 52 -15 1,189 969 220 176 195 -18 107 123 -16 1970—Ja..............n 2 2 2 909 902 7 113 170 -57 114 74 40 Feb........... -50 -50 -3 -47 1,026 950 77 109 264 -155 99 76 24 Mar.......... -8 -8 * -8 1,105 985 120 168 268 -100 101 115 -13 Apr.*........ 10 9 9 1,007 845 162 143 186 -43 79 103 -24 Mayp........ 18 18 ' ‘ '2 16 772 930 -158 115 69 45 106 90 16 1 Excludes nonmarketable U.S. Treasury bonds and notes issued to Also includes issues of new debt securities sold abroad by U.S. corpora­ official institutions of foreign countries; see Table 12. tions organized to finance direct investments abroad. 2 Includes State and local govt, securities, and securities of U.S. Govt, Note.—Statistics include transactions of international and regional agencies and corporations that are not guaranteed by the United States. organizations. 17. NET PURCHASES OR SALES BY FOREIGNERS OF U.S. CORPORATE STOCKS, BY COUNTRY (In millions of dollars) Period Total France m G a e n r y ­ N la e n th d e s r­Sw la i n tz d er­ K U in n g i d te o d m E O u t r h o e p r e E T u o ro ta p l e Canada A L m a e t r in ica Asia Africa co O u t n h t e ri r es r I e n g t i l o . n & al 1968..................... 2,270 201 169 298 822 -28 130 1,592 386 151 124 2 3 12 1969..................... 1,487 150 216 189 490 -243 292 1,094 125 136 90 7 -1 36 1970—Jan.-May * -287 -10 58 3 -65 -94 -80 -189 -98 -28 21 -2 1 8 1969—May......... 156 3 5 22 63 -25 50 118 -1 30 1 * * 8 June......... -105 -11 12 16 -120 -68 24 -148 15 10 15 * — 1 4 July.......... -52 5 4 24 -63 -31 -26 -87 7 3 19 * • 6 Aug.......... 89 76 19 -15 29 -21 40 127 -27 -21 7 * • 3 Sept.......... 118 21 17 32 38 -4 27 130 -3 -15 1 * * 6 Oct........... 348 12 41 79 126 -34 22 246 32 58 6 3 * 4 Nov.......... 112 1 30 21 37 -12 30 107 -4 5 1 3 * • Dec........... 19 14 12 -13 5 9 13 40 -23 -1 1 * * 2 1970—Jan............ -41 1 11 -5 -24 5 -20 -31 -39 25 3 * * * Feb........... -15 9 16 6 19 -3 -14 32 -25 -27 3 * * 1 Mar.......... -41 -13 11 -8 -26 22 -19 -33 -30 12 6 -1 * 4 Apr.*....... 8 -8 20 -23 12 -15 5 -10 25 -13 6 * * 1 Mayp....... -198 1 -1 33 -46 -102 -32 -147 -30 -26 4 -1 * 1 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 d INTL. CAPITAL TRANSACTIONS OF THE U.S. A 85 18. NET PURCHASES OR SALES BY FOREIGNERS OF U.S. CORPORATE BONDS, BY COUNTRY (In millions of dollars) Period Total France m G a e n r y ­ N la e n th d e s r­Sw la i n tz d er­ K U in n g i d te o d m E O u t r h o e p r e E T u o ro ta p l e Canada A L m a e t r i i n ca Asia Africa co O u t n h t e ri r es I r n e t g l. i o a n n a d l 1968..................... 1,964 195 253 39 510 522 238 1,757 68 12 -1 • 11 117 1969..................... 1,202 105 200 14 169 251 83 822 32 14 -11 -1 10 336 1970—Jan.-May* 495 17 26 41 83 75 11 252 38 17 5 * -2 185 1969—May......... 74 9 7 4 25 44 1 89 3 9 * * 7 -34 June......... 85 1 2 • -4 56 -1 53 7 1 1 * -1 23 July.......... 103 5 39 1 22 8 5 81 -11 -5 1 * * 38 Aug.......... 31 * 24 -1 5 23 2 54 5 -1 * * -15 -13 Sept.......... 39 3 27 1 -4 -20 -6 2 -2 5 * * * 35 Oct........... 146 4 25 4 9 11 15 68 4 -6 * * * 82 Nov.......... 35 4 10 1 6 -13 9 18 1 1 1 * 1 14 Dec........... 201 42 17 5 26 44 19 154 1 6 1 -1 1 38 1970—Jan............ 48 • 5 1 15 14 2 36 11 3 * * * -1 Feb........... 92 3 8 5 14 35 -12 53 7 -4 1 * -1 37 Mar.......... 161 4 8 19 8 30 9 78 13 10 1 * * 58 Apr.*........ 154 7 4 16 32 10 7 76 5 6 1 * * 65 May?........ 40 3 1 * 14 -14 5 10 2 2 2 * * 26 Note.—Statistics include State and local govt, securities, and securities the United States. Also includes issues of new debt securities sold abroad of U.S. Govt, agencies and corporations that are not guaranteed by by U.S. corporations organized to finance direct investments abroad. 19. NET PURCHASES OR SALES BY FOREIGNERS OF 20. FOREIGN CREDIT AND DEBIT LONG-TERM FOREIGN SECURITIES, BY AREA BALANCES IN BROKERAGE ACCOUNTS (In millions of dollars) (Amounts outstanding; in millions of dollars) Total Credit Debit Intl. for­ Latin Other End of balances balances Period Total and eign Eu­ Can­ Amer­ Asia Af­ Coun­ period (due to (due from re­ coun­ rope ada ica rica tries foreigners) foreigners) gional tries 1965...................................... 158 119 1968......................... -1,694 -329-1,366 7 -945 -300 -96 -39 6 1966...................................... 175 128 1969.......................... -1,534 66-1,600 74-1,118 - 98 -471 -6 20 1967...................................... 311 298 1970—Jan.-May»... -267 2 -269 93 -332 -4 -34 -1 8 1968—Mar........................... 351 269 453 372 1969—May.............. -82 3 -86 -16 -43 2 -29 1 468 398 June.............. -285 4 -289 -21 -164 -1 -103 1 636 508 July............... -244 -11 -233 -1 -211 -6 -18 3 -63 -6 -57 9 -50 -16 -1 — 1 2 1969—Mar........................... 553 393 Sept............... -218 -9 -209 16 -131 * -98 3 566 397 Oct................ -6 4 -10 70 -21 -12 -48 -1 467 297 Nov............... -104 3 -107 15 -78 1 -48 1 434 278 Dec............... -35 4 -39 -8 -24 10 -30 14 1970—Mar. v........................ 361 221 1970—Jan................ -18 -2 -16 10 -29 -5 5 2 Feb................ -131 -38 -94 33 -110 -5 -13 — 1 2 Mar............... -113 22 -135 36 -154 5 -23 — 1 1 Note.—Data represent the money credit balances and Apr.*............ -66 9 -75 17 -81 -2 -10 1 money debit balances appearing on the books of reporting May*............ 61 11 50 -3 41 3 8 * 2 brokers and dealers in the United States, in accounts of foreigners with them, and in their accounts carried by foreigners. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 86 INTL. CAPITAL TRANSACTIONS OF THE U.S. □ JULY 1970 21. LIABILITIES OF U.S. BANKS TO THEIR FOREIGN BRANCHES 22. MATURITY OF EURO DOLLAR (Amounts outstanding; in millions of dollars) DEPOSITS IN FOREIGN BRANCHES OF U.S. BANKS Wednesday Amount Wednesday Amount Wednesday Amount (End of month; in billions of dollars) 1966 1968—Cont. 1970 1970 Maturity of Jan. 26........................1,688 Apr. 24................. 5,020 Jan. 7................. 13,847 liability Feb. 23........................1,902 May 29................. 5,872 1 4 14,373 Feb. Mar. Apr. Mar. 30........................1,879 June 26................. 6,202 2 1 13,863 Apr. 27........................1,909 July 31................. 6,126 2 8 13,863 May 25........................2,003 Aug. 28................. 7,004 1.78 1.53 1.69 June 29........................1,951 Sept. 25................. 7,104 Call................................... 1.90 2.10 2.41 J S A u e u l p y g t . . 2 2 3 8 7 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 3 3 , , , 1 7 4 3 8 7 4 6 2 N O D D e o c e c c t v . . . . 2 2 3 31 7 5 0 . . . ( . . . . . . 1 . . . . . . / . . . 1 . . . . . . . . . / . . . 6 . . . . . . 9 . . . . . . . . ) . . . . . . . . . 7 6 6 7 , , , , 0 1 9 0 7 3 4 4 9 0 8 1 Feb. 2 1 1 4 5 1 8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 1 1 3 3 3 3 , , , , 6 3 4 7 0 4 0 7 4 0 3 1 Ot m i d h n a e o t r e n f l : o t i h a ll b s o i w lit i a i n e f g t s e , r m ca a l r t e e u n p r d i o n a r g r t 8.13 9.23 9.31 Oct. 26........................3,671 1969 2nd............................. 4.64 4.32 4.59 Nov. 30........................3,786 Jan. 29................. 8,545 3rd............................. 3.34 3.35 3.68 Dec. 28........................4,036 Feb. 26................. 8,822 Mar. 4................. 12,673 4th............................. 1.60 1.50 .90 Mar. 26................. 9,621 II................. 12,922 5th............................. 1.30 .82 .83 1967 Apr. 30................. 9,399 18................. 12,904 6th............................. .77 .68 .83 May 28................. 9,868 25................. 12,356 .17 .23 .18 Jan. 25........................3,653 June 25................. 13,269 8th............................. .22 .16 .29 Feb. 22........................3,396 July 30................. 14,434 9th............................. .12 .26 .19 Mar. 29........................3,412 Aug. 27................. 14,658 Apr. 1................. r12,043 10th............................. .21 .17 .13 Apr. 26........................3,047 Sept. 24................. 14,349 8................. r12,421 .17 .12 .20 May 31........................2,776 1 5 rl 2,219 .10 .16 .17 June 28........................3,166 Oct. 1................. 14,118 2 2 r12,004 Maturities of more than 1 8................. 14,609 2 9 r12,489 .29 .32 .28 15................. 14,970 July 26........................3,660 22................. 14,310 Aug. 30........................3,976 29................. 13,649 24.73 24.96 25.66 Sept. 27........................4,059 May 6................. 12,486 Oct. 25........................4,322 Nov. 5................. 14,415 13................. r12,108 N D o ec v . . 2 2 9 7 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 4, , 2 2 4 0 1 6 1 1 2 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 4 5 , , 3 0 6 4 9 8 2 27 0 r n 1 2 3 , , 5 0 2 35 8 dep N o o s t it e s . — an I d n c d l i u r d e e c s t b i o n r t r e o re w s i t n -b g e s a o ri f n a g l l U br . a S n . ch d e o s l la in r 26................. 14,903 the Bahamas and of all other foreign branches 1968 Dec. 3................. 14,815 for which such deposits and direct borrowings 10................. 14,604 June 3 ............... 12,571 amount to $50 million or more. Jan. 31......................4,259 17................. 14,614 10................. 12,435 Details may not add to totals due to rounding. Feb. 28......................4,530 24................. 14,430 17................. 12,575 Mar. 27......................4,920 31................. 13,032 24................. 12,700 Note.—The data represent gross liabilities of reporting banks to their branches in for­ eign countries. For weekly data covering the period Jan. 1964-Mar. 1968, see May 1968 Bulletin, page A-104. 23. DEPOSITS, U.S. GOVT. SECURITIES, 24. SHORT-TERM LIQUID CLAIMS ON FOREIGNERS AND GOLD HELD AT F.R. BANKS FOR REPORTED BY NONBANKING CONCERNS FOREIGNERS (Amounts outstanding; in millions of dollars) (In millions of dollars) Payable in Assets incustody Payable in dollars foreign currencies End of period Deposits End of United U.S. Govt, Earmarked period Total Short­ Short­ King­ Canada securities1 gold Deposits term Deposits term dom invest­ invest­ ments 1 ments1 1967.............. 135 9,223 13,253 1968.............. 216 9,120 13,066 1,163 852 133 128 49 621 309 1969—June.. 155 7,710 13,039 1968................... 1,638 1,219 87 272 60 979 280 J A u u ly g. . . . . . 1 14 5 3 8 7 8, , 0 41 5 9 8 1 1 3 3 , , 0 03 5 3 0 1969—Apr.r.... 1,867 1,353 125 268 121 1,049 468 Sept... 143 9,252 13,004 Mayr.... 1,982 1,415 104 347 116 1,047 527 Oct... 131 8,447 12,979 Juner___ 1,820 1,256 123 347 93 983 453 Nov... 130 7,533 12,998 Julyr----- 1,812 1,266 113 313 120 1,014 450 Dec... 134 7,030 12,311 Aug.r---- 1,732 1,244 96 293 99 993 410 Sept.r.... 1,626 1,132 100 303 90 941 360 1970—Jan... 152 7,374 12,291 Oct.r___ 1,676 1,234 97 279 65 981 385 Feb.. . 313 8,219 12,268 Nov.r__ 1,715 1,252 105 280 78 1,000 411 A M p a r r . . . . . . 2 2 0 0 4 0 9 9 , ,1 1 1 5 8 4 1 12 2 , , 2 2 7 7 2 0 ur\ae/%c .*0 rT... \ / 1 l, ,4 3 4 1 2 8 1,0 9 1 51 9 1 1 1 5 6 8 1 1 7 7 9 4 7 8 6 6 6 66 1 3 0 4 51 6 3 8 May.. 128 9,754 12,239 June.. 168 10,888 12,240 1970—Jan.r___ 1,720 1,237 183 225 75 1,003 443 Feb.r.. .. 1,713 1,250 193 192 78 1,048 369 Mar.r.... 1,608 1,170 186 188 63 1,007 301 1 U.S. Treasury bills, certificates of indebtedness, Apr......... 1,487 1,063 177 181 66 907 269 notes, and bonds; includes securities payable in foreign currencies. 1 Negotiable and other readily transferable foreign obligations payable on demand he N ld ot f e o . r — i E n x te c r l n u a d t e i s o n d a e l p o o s r i g ts a n a iz n a d ti o U ns .S . . E G ar o m vt a , rk s e e d cu r g it o ie ld s o ob r l h ig a a v t i i n o g n a w c a o s n t i r n a c c u tu rr a e l d m b a y t u t r h it e y f o o f r e n i o gn t e m r. ore than 1 year from the date on which the is gold held for foreign and international accounts and 2 Data on the two lines for this date differ because of changes in reporting coverage. is not included in the gold stock of the United States. 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. Note.—Data represent the liquid assets abroad of large nonbanking concerns in the United States. They are a portion of the total claims on foreigners reported by nonbanking concerns in the United States and are included in the figures shown in Table 26. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 n INTL. CAPITAL TRANSACTIONS OF THE U.S. A 87 25. SHORT-TERM LIABILITIES TO AND CLAIMS ON FOREIGNERS REPORTED BY NONBANKING CONCERNS (End of period. Amounts outstanding; in millions of dollars) Liabilities to foreigners Claims on foreigners Area and country 1968 1969 1968 1969 Dec. 1 Mar. June Sept. Dec.*' Dec. Mar. June Sept. Dec.® Europe: Austria................................................... 3 3 4 4 2 5 5 5 5 5 Belgium-Luxembourg........................... 78 79 64 69 45 47 60 51 58 61 Denmark................................................ 4 2 2 2 2 12 12 12 13 15 Finland.................................................. 4 • • 1 2 9 6 7 6 6 France.................................................... 114 116 121 131 124 145 140 162 149 113 Germany, Fed. Rep. of........................ 120 112 102 119 224 204 143 193 166 280 Greece.................................................... 11 5 5 3 3 27 22 24 26 18 Italy........................................................ 63 57 54 62 83 124 119 148 160 143 Netherlands........................................... 42 49 45 70 66 54 59 62 59 45 Norway.................................................. 4 6 14 9 2 10 12 14 12 15 Portugal................................................. 4 7 7 9 9 7 7 11 15 10 Spain...................................................... 37 40 47 63 55 71 85 81 74 71 Sweden................................................... 25 20 17 22 35 26 25 26 24 27 Switzerland............................................ 116 115 116 130 114 39 49 44 37 33 Turkey.................................................... 5 5 4 2 3 6 13 14 10 11 United Kingdom................................... 393 384 354 401 378 1,221 1,306 1,234 1,199 991 Yugoslavia............................................. 1 1 1 5 1 7 8 14 15 18 Other Western Europe......................... 9 13 17 19 20 16 17 17 16 10 Eastern Europe..................................... 2 2 I 1 1 8 12 12 10 18 Total............................................... 1,034 1,017 976 1,122 1,168 2,039 2,100 2,131 2,053 1,889 Canada...................................................... 194 164 159 181 185 540 730 713 625 727 Latin America : Argentina............................................... 6 8 5 6 6 46 45 42 37 49 Brazil...................................................... 16 17 15 12 16 91 90 90 86 82 Chile...................................................... 5 4 4 10 9 36 39 38 37 40 Colombia............................................... 7 7 6 7 6 29 26 27 33 28 Cuba...................................................... * * * • * 2 2 2 2 1 Mexico................................................... 6 7 11 9 13 103 111 112 110 115 Panama.................................................. 3 4 3 5 3 15 14 17 17 18 Peru........................................................ 7 7 8 6 9 26 28 26 28 27 Uruguay................................................. 1 1 1 1 1 6 5 4 5 7 Venezuela.............................................. 33 27 26 22 25 67 60 70 65 56 Other L.A. republics............................. 20 16 18 26 37 82 78 85 82 84 18 19 19 22 22 66 66 38 33 54 Neth. Antilles & Surinam..................... 5 3 2 2 2 6 6 5 5 6 Other Latin America............................ 2 2 2 1 1 9 11 14 17 16 Total............................................... 130 122 121 132 150 584 579 570 557 581 Asia: Hong Kong............................................ 5 4 5 5 5 8 9 11 10 11 India...................................................... 12 15 18 20 18 34 32 40 37 34 Indonesia............................................... 4 5 6 5 4 7 8 7 8 12 Israel...................................................... 17 13 11 12 12 7 12 13 19 31 Japan...................................................... 89 99 114 118 128 207 200 212 220 234 Korea..................................................... 1 2 1 2 2 21 22 24 22 26 Philippines............................................. 9 8 11 10 8 25 25 25 26 31 Taiwan................................................... 5 5 5 6 3 19 19 19 19 19 Thailand................................................ 2 2 2 2 3 16 13 12 12 14 Other Asia............................................. 31 41 50 53 31 134 120 104 111 112 Total............................................... 176 195 223 233 215 478 460 466 485 524 Africa: Congo (Kinshasa)................................. 1 1 2 2 2 2 3 3 3 4 South Africa.......................................... 11 9 14 12 13 31 27 27 25 26 U. A.R. (Egypt)..................................... 5 5 2 7 7 7 7 8 9 9 Other Africa.......................................... 8 14 51 33 26 36 41 43 42 43 Total.............................................. 24 29 68 52 49 76 78 81 80 80 Other countries: Australia................................................ 45 44 46 57 60 54 56 53 65 56 All other................................................ 5 5 3 6 2 11 9 7 8 9 Total.............................................. 49 50 50 63 62 65 65 60 73 64 International and regional....................... * * * * * 1 2 2 2 * Grand total.................................... 1,608 1,576 1,598 1,782 1,828 3,783 4,014 4,023 3,874 3,866 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 http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 88 INTL. CAPITAL TRANSACTIONS OF THE U.S. a JULY 1970 26. SHORT-TERM LIABILITIES TO AND CLAIMS ON FOREIGNERS REPORTED BY NONBANKING CONCERNS, BY TYPE (Amounts outstanding; in millions of dollars) Liabilities Claims Payable in foreign currencies End of period Total Pay in able Pay in able Total Pay in able dollars foreign dollars Deposits with currencies b i a n n r k e s p a o b rt r e o r a ’s d Other name 1965—Dec...................... 810 600 210 2,299 1,911 166 222 1966—Mar..................... 849 614 235 2,473 2,033 211 229 June..................... 894 657 237 2,469 2,063 191 215 Sept..................... 1,028 785 243 2,539 2,146 166 227 Dec...................... 1,089 827 262 2,628 2,225 167 236 1967—Mar..................... 1,148 864 285 2,689 2,245 192 252 June..................... 1,203 916 287 2,585 2,110 199 275 Sept..................... 1,353 1,029 324 2,555 2,116 192 246 Dec...................... 1,371 1,027 343 2,946 2,529 201 216 Dec. i................... 1,386 1,039 347 3,011 2,599 203 209 1968—Mar..................... 1,358 991 367 3,369 2,936 211 222 June..................... 1,473 1,056 417 3,855 3,415 210 229 Sept..................... 1,678 1,271 407 3,907 3,292 422 193 Dec...................... 1,608 1,225 382 3,783 3,173 368 241 1969—Mar..................... 1,576 1,185 391 4,014 3,329 358 327 June..................... 1,598 1,248 350 4,023 3,282 463 278 Sept..................... 1,782 1,436 346 3,874 3,188 420 267 Dec.p................... 1,828 1,404 424 3,866 3,202 298 365 i Data differ from that shown for Dec. in line above because of changes in reporting coverage. 27. LONG-TERM LIABILITIES TO AND CLAIMS ON FOREIGNERS REPORTED BY NONBANKING CONCERNS (Amounts outstanding; in millions of dollars) Claims Country or area End of period lia T b o il t i a ti l es 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 a t e h t r i e i n c r a Japan O A t s h i e a r Africa o A th l e l r 1965—Dec........................ 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 19 188 1,207 27 167 251 205 61 217 90 90 86 14 Sept........................ 249 1,235 23 174 267 202 64 207 102 91 90 14 Dec........................ 329 1,256 27 198 272 203 56 212 95 93 87 13 1967—Mar........................ 454 1,324 31 232 283 203 58 210 108 98 84 17 June....................... 430 1,488 27 257 303 214 88 290 110 98 85 15 Sept........................ 411 1,452 40 212 309 212 84 283 109 103 87 13 Dec........................ 414 1,537 43 257 311 212 85 278 128 117 89 16 Dec.*..................... 428 1,570 43 263 322 212 91 274 128 132 89 16 1968—Mar........................ 582 1,536 41 265 330 206 61 256 128 145 84 21 June....................... 747 1,568 32 288 345 205 67 251 129 134 83 33 Sept........................ 767 1,625 43 313 376 198 62 251 126 142 82 32 Dec........................ 1,129 1,790 147 306 419 194 73 230 128 171 83 38 1969—Mar........................ 1,285 1,872 175 342 432 194 75 222 126 191 72 43 June....................... 1,325 1,952 168 368 447 195 76 216 142 229 72 40 Sept........................ 1,418 1,965 167 369 465 179 70 213 143 246 71 42 Dec.?..................... 1,670 2,215 152 433 496 172 73 388 141 249 69 42 i Data differ from that shown for Dec. in line above because of changes in reporting coverage. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ MONEY RATES A 89 FOREIGN EXCHANGE RATES (In cents per unit of foreign currency) Australia Period Ar ( g p e e n so ti ) na (s A ch u i s l t li r n ia g) B (f e r l a g n iu c m ) C (d a o n ll a a d r a ) ( C ru ey p l e o e n ) D ( e k n ro m n a e r ) k ( F m i a n r l k a k n a d ) (pound) (dollar) 1965............................................................. .59517 222.78 3.8704 2.0144 92.743 20.959 14.460 31.070 1966............................................................. .48690 223.41 Ull.22 3.8686 2.0067 92.811 20.946 14.475 31.061 1967............................................................. .30545 111.25 3.8688 2.0125 92.689 20.501 14.325 229.553 1968............................................................. .28473 111.25 3.8675 2.0026 92.801 16.678 13.362 23.761 1969............................................................. .28492 111 .10 3.8654 1.9942 92.855 16.741 13.299 23.774 .28490 111.07 3.8647 1.9868 92.628 16.795 13.282 23.785 July.................................................. .28490 111.11 3.8664 1.9889 92.526 16.785 13.282 23.771 .28490 110.87 3.8668 1.9885 92.743 16.784 13.282 23.785 Sept.................................................. .28490 110.81 3.8637 1.9869 92.732 16.784 13.287 23.785 Oct................................................... .28490 111. 10 3.8644 2.0023 92.762 16.784 13.297 23.773 .28490 111.38 3.8621 2.0121 92.941 16.784 13.334 23.748 Dec................................................... .28490 111.43 3.8652 2.0125 93.083 16.772 13.348 23.748 1970—Jan................................................... 328.487 111.58 3.8649 2.0124 93.199 16.772 13.339 23.748 Feb................................................... 28.507 111.77 3.8663 2.0131 93.179 16.772 13.337 23.748 28.504 111.83 3.8663 2.0133 93.212 16.770 13.340 23.748 Apr................................................... 28.500 111.84 3.8651 2.0127 93.207 16.770 13.325 23.748 28.500 111.73 3.8614 2.0140 93.195 16.770 13.324 23.748 27.241 111.45 3.8618 2.0142 96.273 16.770 13.334 23.748 Period F (f r r a a n n c c e ) ( G d m e e r u a m t r s k a c ) n h y e (r I u n p d e ia e) ( I p re o l u a n n d d ) ( I l t i a r l a y ) J ( a y p e a n n ) M (d a o la ll y a s r i ) a M (p e e x s i o c ) o ( e g N r u la e il n t d h d e ­ s r) 1965............................................................. 20.401 25.036 20.938 279.59 .16004 .27662 32.609 8.0056 27.774 1966............................................................. 20.352 25.007 416.596 279.30 .16014 .27598 32.538 8.0056 27.630 1967............................................................. 20.323 25.084 13.255 275.04 .16022 .27613 32.519 8.0056 27.759 1968............................................................. 20.191 25.048 13.269 239.35 .16042 .27735 32.591 8.0056 27.626 1969............................................................. 519.302 625.491 13.230 239.01 .15940 .27903 32.623 8.0056 27.592 1969—June................................................. 20.110 24.992 13.223 238.95 .15946 .27880 32.638 8.0056 27.424 July.................................................. 20.110 25.002 13.228 239.04 .15926 .27809 32.586 8.0056 27.469 Aug.................................................. 518.627 25.083 13.218 238.53 .15915 .27810 32.605 8.0056 27.635 Sept.................................................. 18.005 25.236 13.214 238.40 .15885 .27908 32.629 8.0056 27.659 Oct................................................... 17.907 <>26.801 13.217 239.02 .15923 .27911 32.659 8.0056 27.804 Nov.................................................. 17.928 27.101 13.231 239.63 .15971 .27951 32.661 8.0056 27.748 Dec................................................... 17.952 27.131 13.232 239.73 .15948 .27953 32.481 8.0056 27.622 1970—Jan................................................... 18.005 27.126 13.239 240.04 .15890 .27948 32.438 8.0056 27.522 Feb................................................... 18.034 27.110 13.248 240.47 .15886 .27950 32.469 8.0056 27.486 Mar.................................................. 18.038 27.225 13.260 240.58 .15897 .27963 32.460 8.0056 27.525 Apr................................................... 18.076 27.459 13.260 240.61 .15895 .27926 32.460 8.0056 27.533 May................................................. 18.108 27.523 13.240 240.37 .15897 .27862 32.449 8.0056 27.565 June................................................. 18.111 27.528 13.230 239.77 .15897 .27864 32.391 8.0056 27.588 New Zealand South Switz­ United Period (pound) (dollar) N (k o r r o w ne a ) y P (e o s r c t u u d g o a ) l A (ra fr n i d ca ) (p S e p s a e i t n a) S (k w ro ed n e a n ) ( e f r r l a a n n c d ) (p K d o i o u n m n g d ­ ) 1965............................................................. 276.82 13.985 3.4829 139.27 1.6662 19.386 23.106 279.59 1966............................................................. 276.54 13.984 3.4825 139.13 1.6651 19.358 23.114 279.30 1967............................................................. 276.69 7131.97 13.985 3.4784 139.09 1.6383 19.373 23.104 275.04 1968............................................................. 111.37 14.000 3.4864 139.10 1.4272 19.349 23.169 239.35 1969............................................................. 111.21 13.997 3.5013 138.90 1.4266 19.342 23.186 239.01 1969—June................................................. 111.18 14.014 3.4989 138.87 1.4260 19.327 23.176 238.95 July.................................................. 111.22 14.005 3.5011 138.92 1.4267 19.337 23.197 239.04 Aug.................................................. 110.99 13.998 3.5031 138.62 1.4277 19.345 23.228 238.53 Sept.................................................. 110.92 13.989 3.5029 138.54 1.4276 19.330 23.265 238.40 Oct................................................... 111.21 13.986 3.5038 138.91 1.4262 19.365 23.229 239.02 Nov.................................................. 111.50 13.989 3.5032 139.26 1.4248 19.354 23.118 239.63 Dec................................................... 111.54 14.000 3.5059 139.32 1.4230 19.352 23.203 239.73 1970—Jan.................................................... 111.69 13.983 3.5096 139.50 1.4247 19.355 23.176 240.04 Feb................................................... 111.89 13.990 3.5104 139.75 1.4266 19.305 23.257 240.47 Mar.................................................. 111.94 14.001 3.5072 139.82 1.4268 19.232 23.202 240.58 Apr................................................... 111.96 14.001 3.5021 139.83 1.4274 19.233 23.244 240.61 May................................................. 111.84 13.987 3.5033 139.69 1.4280 19.233 23.199 240.37 June................................................. 111.56 13.985 3.4978 139.35 1.4288 19.266 23.171 239.77 1 Effective Feb. 14, 1966, Australia adopted the decimal currency <5 Effective Oct. 26, 1969, the new par value of the deutsche mark was system. The new unit, the dollar, replaces the pound and consists of 100 set at 3.66 per U.S. dollar. cents, equivalent to 10 shillings or one-half the former pound. 7 Effective July 10, 1967, New Zealand adopted the decimal currency 2 Effective Oct. 12, 1967, the Finnish markka was devalued from 3.2 system. The new unit, the dollar, replaces the pound and consists of 100 to 4.2 markkaa per U.S. dollar. cents, equivalent to 10 shillings or one-half the former pound. 3 A new Argentine peso, equal to 100 old pesos, was introduced on Jan. 1, 1970. Effective June 18, 1970, the peso was devalued from 3.50 to Note.—After the devaluation of the pound sterling on Nov. 18, 1967, 4.00 pesos to the U.S. dollar. the following countries devalued their currency in relation to the U.S. 4 Effective June 6, 1966, the Indian rupee was devalued from 4.76 to dollar: Ceylon, Denmark, Ireland, New Zealand, and Spain. 7.5 rupees per U.S. dollar. Averages of certified noon buying rates in New York for cable transfers. 5 Effective Aug. 10, 1969, the French franc was devalued from 4.94 to For description of rates and back data, see “International Finance,” 5.55 francs per U.S. dollar. Section 15 of Supplement to Banking and Monetary Statistics, 1962. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 90 MONEY RATES □ JULY 1970 CENTRAL BANK RATES FOR DISCOUNTS AND ADVANCES TO COMMERCIAL BANKS (Per cent per annum) Rate as of Changes during the last 12 months June 30, 1969 Rate Country 1969 1970 as of June 30, Per Month 1970 cent effective July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr. May June Argentina.............................. 6.0 Dec. 1957 6.0 Austria.................................. 3.75 Oct. 1967 4.75 5.0 5.0 Belgium................................. 6.0 May 1969 7.0 7.5 7.5 Brazil..................................... 22.0 Jan. 1967 20.0 20.0 Burma.................................... 4.0 Feb. 1962 4.0 Canada i.............................. 7.5 June 1969 8.0 7.5 7.0 7.0 Ceylon................................... 5.5 May 1968 5.5 Chile...................................... 13.0 Jan. 1969 14.0 14.0 Colombia.............................. 8.0 May 1963 8.0 Costa Rica........................... 4.0 June 1966 4.0 Denmark............................. 9.0 May 1969 9.0 Ecuador............................... 5.0 Nov. 1956 8.0 8.0 El Salvador......................... 4.0 Aug. 1964 4.0 Finland................................ 7.0 Apr. 1962 7.0 France.................................. 7.0 June 1969 8.0 8.0 Germany, Fed. Rep. of... 5.0 June 1969 6.0 7.5 7.5 Ghana.................................. 5.5 Mar. 1968 5.5 Greece.................................. 5.5 Feb. 1969 6.0 6.0 Honduras 2......................... 3.0 Jan. 1962 3.0 Iceland.................................. 9.0 Jan. 1966 9.0 India..................................... 5.0 Mar. 1968 5.0 Indonesia............................. 9.0 Aug. 1963 9.0 Iran....................................... 7.0 Nov. 1968 8.0 8.0 Ireland.................................. 8.5 June 1969 8.44 8.38 8.25 8.62 8.19 7.81 7.19 7.19 Israel..................................... 6.0 Feb. 1955 6.0 Italy...................................... 3.5 June 1958 4.0 5.5 5.5 Jamaica................................ 6.0 May 1969 6.0 Japan.................................... 5.84 Aug. 1968 6.25 6.25 Korea................................... 26.0 June 1969 24.0 24.0 Mexico................................. 4.5 June 1942 4.5 Netherlands......................... 5.5 Apr. 1969 6.0 6.0 New Zealand...................... 7.0 Mar. 1961 7.0 Nicaragua............................ 6.0 Apr. 1954 6.0 Norway................................ 3.5 Feb. 1955 4.5 4.5 Pakistan............................... 5.0 June 1965 5.0 Peru...................................... 9.5 Nov. 1959 9.5 Philippine Republic.......... 10.0 June 1969 10.0 Portugal............................... 2.75 Jan. 1969 3.5 3.5 South Africa....................... 5.5 Aug. 1968 5.5 Spain.................................... 4.5 Nov. 1967 5.5 6.5 6.5 Sweden................................. 6.0 Feb. 1969 7.0 Switzerland......................... 3.0 July 1967 3.75 Taiwan .............................. 10.8 May 1969 10.8 Thailand.............................. 5.0 Oct. 1959 5.0 Tunisia................................. 5.0 Sept. 1966 5.0 Turkey.................................. 7.5 May 1961 7.5 United Arab Rep. (Egypt) 5.0 May 1962 5.0 United Kingdom............... 8.0 Feb. 1969 7.5 7.0 7.0 Venezuela............................ 5.5 June 1969 5.5 1 On June 24, 1962, the bank rate on advances to chartered banks products, 6 and 7 per cent for agricultural bonds, and 12 and 18 per cent was fixed at 6 per cent. Rates on loans to money market dealers will for rediscounts in excess of an individual bank's quota; continue to be .25 of 1 per cent above latest weekly Treasury bill tender Costa Rica—5 per cent for paper related to commercial transactions average rate, or the same as bank rate, whichever is lower. (rate shown is for agricultural and industrial paper); 2 Rate shown is for advances only. Ecuador—5 per cent for special advances and for bank acceptances for agricultural purposes, 7 per cent for bank acceptances for industrial Note.—Rates shown are mainly those at which the central bank either purposes, and 10 per cent for advances to cover shortages in legal reserves; discounts or makes advances against eligible commercial paper and/or Indonesia— Various rates depending on type of paper, collateral, com­ govt, securities for commercial banks or brokers. For countries with modity involved, etc.; more than one rate applicable to such discounts or advances, the rate Japan—Penalty rates (exceeding the basic rate shown) for borrowings shown is the one at which it is understood the central bank transacts from the central bank in excess of an individual bank’s quota; the largest proportion of its credit operations. Other rates for some Peru—3.5, 5, and 7 per cent for small credits to agricultural or fish produc­ of these countries follow: tion, import substitution industries and manufacture of exports; 8 per Argentina—3 and 5 per cent for certain rural and industrial paper, de­ cent for other agricultural, industrial and mining paper; pending on type of transaction; Philippines—6 per cent for financing the production, importation, and dis­ Brazil—8 per cent for secured paper and 4 per cent for certain agricultural tribution of rice and corn and 7.75 per cent for credits to enterprises en­ paper; gaged in export activities. Preferential rates are also granted on credits to Chile—17 percent for forestry paper, preshipment loans and consumer rural banks; and loans, 18 per cent for selective and special rediscounts, 19.5 per cent for Venezuela—2 per cent for rediscounts of certain agricultural paper (Sept. cash position loans, and 23.5 per cent for construction paper beyond a 1962), and 5 per cent for advances against govt, bonds, mortgages, or gold, basic rediscount period. A fluctuating rate applies to paper covering the and 6 per cent for rediscounts of certain industrial paper and on advances acquisition of capital goods. against securities of Venezuelan companies. Colombia—5 per cent for warehouse receipts covering approved lists of Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ MONEY RATES; ARBITRAGE A 91 OPEN MARKET RATES (Per cent per annum) Canada United Kingdom France Fe G d e . r R m e a p n . y o , f Netherlands Sw la i n tz d er­ Month 3 T m r b e o i a l n s ls t u , h r s y i m Da o d y n a - y e t y o 2 - 3 B a a m a c n n c o c k e n e p e s t r t h , ­ s s ' 3 T m r b e i a o l s l n s u t , h ry s D m a d o y a n - y e to y - a B l d l e o a p n w o o k n a s e n i r t c s s e ' D m a o d y n a - e y t y o - 3 Tr 6 d b e 0 a i a l - y s l 9 s s u 0 , 4 ry D m a o d y n a - y e t y o- 5 3 T m r b e i a o l s l n s u t , h ry s D m a d o y a n - y e to y - d P is r r c i a v o t a e u t n e t 1967—Dec............. 5.80 5.67 7.78 7.52 6.83 6.00 4.76 2.75 2.77 4.51 4.05 3.75 1968—Dec............. 5.96 5.31 7.26 6.80 5.99 5.00 8.22 2.75 1.84 4.65 4.96 3.75 1969—May............ 6.74 6.67 8.46 7.82 6.88 6.00 8.96 3.75 1.63 5.50 5.88 4.00 June............ 7.03 6.98 8.73 7.89 6.66 6.00 9.46 4.75 5.02 5.50 5.92 4.06 July............ 7.49 7.40 8.88 7.86 6.95 6.00 9.23 4.75 5.80 5.50 7.17 4.25 Aug............. 7.65 7.57 8.88 7.80 6.95 6.00 8.84 4.75 5.87 5.98 7.71 4.25 Sept............ 7.75 7.77 8.88 7.80 7.07 6.00 9.39 5.75 4.03 6.00 7.66 4.38 Oct.............. 7.68 7.71 8.88 7.73 7.02 6.00 9.37 5.75 6.68 5.88 3.80 4.75 Nov............ 7.71 7.78 8.88 7.72 6.85 6.00 9.59 5.75 7.64 5.95 5.55 4.75 Dec............. 7.78 7.78 8.88 7.70 6.90 6.00 10.38 5.75 8.35 6.00 7.11 4.75 1970—Jan.............. 7.80 7.88 8.88 7.55 6.88 6.00 10.21 5.75 9.09 6.00 6.76 4.75 Feb............. 7.70 7.81 8.88 7.60 7.03 6.00 9.70 5.75 8.48 6.00 7.05 4.75 Mar............ 7.35 7.35 8.60 7.27 6.97 5.56 9.47 7.00 9.55 6.00 7.04 5.00 Apr............. 6.81 6.82 8.30 6.94 6.26 5.23 9.02 7.00 9.68 6.00 5.57 5.25 May............ 6.51 6.66 8.06 6.82 6.03 5.00 7.00 9.23 6.00 7.07 5.25 1 Based on average yield of weekly tenders during month. 5 Monthly averages based on daily quotations. 2 Based on weekly averages of daily closing rates. Note.—For description and back data, see “International Finance,” . 5a*e .own is on private securities. Section 15 of Supplement to Banking and Monetary Statistics, 1962. 4 Rate in effect at end of month. ARBITRAGE ON TREASURY BILLS (Per cent per annum) United States and United Kingdom United States and Canada Treasury bill rates Treasury bill rates Premium Date K q ( U u i a n o U d n g t j i . a . d S t t e o t . i d o o m n U S n ta i t t e e s d L S ( o f p n a o r v d e f o o ad r n) P d f ( . r p o i ( e s - . o r + c m w ) u ) o i n a u o o u r d n n r m d t i L n ( o c f N n e a o n v d e f t o o t iv r n e ) qu A o in t s ed Cana q d A u a o U d t j . a . S t t i . o o n U S n ta i t t e e s d C S ( a f p n a o r v a e f o d ad r a) C d f ( ( d o a i + s - o n r c w ) l a ) o l d a a u o o r i r n n a s r d n t i C n ( c a f N e a n o n v a e f t o d t iv r a e ) basis) Canada basis 1970 Feb. 6.............. 7.43 7.50 -.07 -.52 -.59 7.83 7.57 7.50 .07 -.26 -.19 13.............. 7.46 7.19 .27 -.55 -.28 7.72 7.47 7.19 .28 -.26 .02 20.............. 7.46 6.74 .72 -.42 .30 7.64 7.39 6.74 .65 -.30 .35 27.............. 7.49 6.82 .67 -.64 .03 7.62 7.38 6.82 .56 -.30 .26 Mar. 6.............. 7.27 6.81 .46 -.46 .00 7.55 7.31 6.81 .50 -.22 .28 13............. 7.21 6.70 .51 -.44 .07 7.46 7.22 6.70 .52 -.13 .39 20.............. 7.15 6.56 .59 -.54 .05 7.32 7.09 6.56 .53 .00 .53 26............. 7.06 6.11 .95 -.53 .42 7.06 6.76 6.11 .65 .00 .65 Apr. 3............. 6.96 6.30 .66 -.42 .24 6.97 6.76 6.30 .46 + .04 .50 10............. 6.93 6.31 .62 -.50 .12 6.82 6.61 6.31 .30 + .26 .56 17.............. 6.60 6.34 .26 -.39 -.13 6.60 6.40 6.34 .06 + .11 .17 24.............. 6.70 6.47 .23 -.28 -.05 6.72 6.52 6.47 .05 + .26 .31 May 1.............. 6.70 6.85 -.15 -.42 -.57 6.75 6.55 6.85 -.30 + .17 -.13 8.............. 6.66 6.53 .13 -.31 -.18 6.69 6.49 6.53 -.04 + .26 .30 15.............. 6.69 6.69 .00 -.31 -.31 6.50 6.31 6.69 -.38 + .30 -.08 22.............. 6.72 6.68 .04 -.49 -.45 6.45 6.26 6.68 -.42 + .67 .25 28.............. 6.72 6.87 -.15 -.49 -.64 6.47 6.28 6.87 -.59 + .35 -.24 June 5............. 6.72 6.80 -.08 -.29 -.37 5.85 5.69 6.80 -1.11 + 1.15 .04 12.............. 6.75 6.68 .07 -.16 -.09 5.85 5.69 6.68 -.99 + 1.46 .47 19.............. 6.81 6.67 .14 -.07 .07 5.87 5.71 6.67 -.96 + 1.79 .83 26.............. 6.72 6.35 .37 -.12 .25 5.93 5.76 6.35 -.59 + 1.49 .90 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 1, p. 1257, and to Table 2, p. 1260, bid and offer) at 11 a.m. Friday in New York for both spot and forward Oct. 1964 Bulletin. pound sterling and for both spot and forward Canadian dollars. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 92 GOLD RESERVES □ JULY 1970 GOLD RESERVES OF CENTRAL BANKS AND GOVERNMENTS (In millions of dollars) Esti­ Intl. Esti­ E pe n r d i o o d f m to a t t a e l d M ta o r n y e­ U St n a i t t e e s d r m es a t t e o d f A i f s g t h a a n n­ A t r i g n e a n­ t A ra u l s ia ­ A tr u ia s­ g B iu e m l­ Brazil Burma Canada Chile world i Fund world 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 1,026 43 1965. 243,230 31,869 13,806 27,285 35 66 223 700 1,558 63 1,151 44 1966. 43,185 2,652 13,235 27,300 35 84 224 701 1,525 45 1,046 45 1967. 41,600 2,682 12,065 26,855 33 84 231 701 1,480 45 1,015 45 1968. 40,905 2,288 10,892 27,725 33 109 257 714 1,524 45 863 46 1969—May. 2,301 11.153 33 109 256 714 1.522 45 863 46 June. 40,970 2.257 11.153 27,560 33 110 258 715 1.522 45 866 47 July.. 2,316 11,144 33 115 258 715 1.522 45 866 47 Aug.. 2,336 11.154 33 120 257 715 1.520 45 866 47 Sept.. 40,900 2.258 11,164 27,480 33 120 257 715 1.520 45 872 47 Oct... 2,260 11,190 33 125 262 715 1.520 45 872 47 Nov.. 2,288 11,171 33 130 263 715 1.518 45 872 48 Dec.. *4i‘oi5 2,310 11,859 26,845 33 135 263 715 1.520 45 872 47 1970—Jan.... 2,413 11,882 33 140 263 710 1.518 45 870 48 Feb... 2,435 11,906 34 140 268 714 1.520 45 879 47 Mar... *41,205 2,512 11,903 *26,790 33 140 269 714 1.520 879 Apr.. . 2,514 11,902 33 140 268 712 1.518 879 May*. 2,529 11,900 33 269 713 1.520 880 Ger­ E pe n r d i o o d f lo C m o b ­ ia m De ar n k ­ l F a i n n d ­ m F a e n d y . , Greece India Iran Iraq l I a r n e d ­ Israel Italy Japan Rep. of 196 3 62 92 61 3,175 3,843 77 247 142 98 18 60 2,343 289 196 4 58 92 85 3,729 4,248 77 247 141 112 19 56 2,107 304 196 5 35 97 84 4,706 4,410 78 281 146 110 21 56 2,404 328 196 6 26 108 45 5,238 4,292 120 243 130 106 23 46 2,414 329 196 7 31 107 45 5,234 4,228 130 243 144 115 25 46 2,400 338 196 8 31 114 45 3,877 4,539 140 243 158 193 79 46 2,923 356 1969—May. 29 88 45 3.551 4,542 130 243 158 193 79 46 2,926 359 June., 29 89 45 3.552 4.563 130 243 158 193 79 46 2.937 363 July.. 29 89 45 3.551 4.563 130 243 158 193 79 46 2,936 363 Aug.. 29 89 45 3.551 4.564 130 243 158 193 69 46 2.938 363 Sept.. 27 89 45 3.545 4.597 130 243 158 193 64 46 2.954 371 Oct... 27 89 45 3.547 4.597 130 243 158 193 39 46 2.954 371 Nov.. 26 89 45 3.547 4,610 130 243 158 193 39 46 2.956 371 Dec.. 26 89 45 3.547 4.079 130 243 158 193 39 46 2.956 413 1970—Jan... 27 89 45 3.546 4.079 130 243 158 151 39 46 2,976 455 Feb.. 27 89 45 3.544 4.079 120 243 158 151 38 46 2.978 469 Mar., 27 89 45 3.544 4.079 120 243 158 151 38 46 2.978 469 Apr.. 27 89 45 3.544 4.079 120 243 158 151 26 46 2.978 469 Mayp 27 89 45 3,541 4.079 120 243 158 151 26 46 2,981 472 E pe n r d i o o d f Kuwait a L n e o b n ­ Libya M s a i l a ay­ Mexi- Mo co roc- N la e n th d e s r­ N w o ay r­ P s a ta k n i­ Peru P p h in il e ip s ­ Po g r a t l u­ A S r a a u b d i i a 1963. 172 139 29 1,601 31 53 57 28 497 78 1964. 48 183 169 34 1,688 31 53 67 23 523 78 1965. 52 182 158 21 1,756 31 53 67 38 576 73 1966. 67 193 109 21 1.730 18 53 65 44 643 69 1967. 136 193 166 21 1.711 18 53 20 60 699 69 1968. 122 288 165 21 1.697 24 54 20 62 856 119 1969—May. 120 288 165 21 1.698 24 54 25 56 860 119 June. 120 288 166 21 1.703 24 54 25 52 860 119 July.. 110 288 166 21 1.703 24 54 25 52 860 119 Aug.. 107 288 167 21 1.703 24 54 25 45 872 119 Sept.. 103 288 168 21 1.711 25 54 25 45 872 119 Oct... 100 288 168 21 1.711 25 54 25 45 872 119 Nov.. 86 288 172 21 1.711 25 54 25 45 872 119 Dec.. 86 288 169 21 1.720 25 54 25 45 876 119 1970—Jan... 86 288 169 21 1.720 27 54 25 45 882 119 Feb.. 86 288 170 21 1.730 27 54 26 46 882 119 Mar.. 86 288 170 21 1.730 27 54 40 47 890 119 Apr.. 86 288 21 1.730 27 54 49 889 119 May* 86 288 21 1.730 27 54 50 889 119 For notes see end of table. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 a GOLD RESERVES AND PRODUCTION A 93 GOLD RESERVES OF CENTRAL BANKS AND GOVERNMENTS—Continued (In millions of dollars) Bank E pe n r d i o o d f A So fr u i t c h a Spain Sweden Sw la i n tz d er­ Taiwan T la h n a d i­ Turkey ( U E . g A y . p R t) . U K d n i o n it 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 l e . ­ ments 4 196 3 630 573 182 2,820 104 115 174 2,484 171 401 14 -279 196 4 574 616 189 2,725 104 104 139 2,136 171 401 17 -50 196 5 425 810 202 3,042 96 116 139 2,265 155 401 19 -558 196 6 637 785 203 2,842 92 102 93 1,940 146 401 21 -424 196 7 583 785 203 3,089 92 97 93 1,291 140 401 22 -624 196 8 1,243 785 225 2,624 92 97 93 1,474 133 403 50 -349 1969—May. 1,282 785 225 2.643 92 97 93 136 403 50 -282 June. 1,264 785 225 2.643 92 97 93 1,474 136 403 51 -285 July.. 1,171 785 225 2.643 92 107 93 136 403 51 -275 Aug.. 1,138 785 226 2.642 92 107 93 165 403 51 -268 Sept.. 1,093 785 226 2.642 92 107 93 1,459 165 403 50 -285 Oct... 1,128 785 226 2.642 8 92 117 93 165 403 50 -314 Nov.. 1,125 785 226 2.642 8 92 117 93 165 403 50 -309 Dec.. 1,115 784 226 2.642 82 92 117 93 165 403 51 -480 1970—Jan... 1,075 784 224 2.659 82 92 117 93 165 403 51 -488 Feb.. 1,035 784 224 2.659 82 92 117 93 165 404 51 -467 Mar.. 1,002 784 224 2.659 82 92 127 93 1,469 165 404 51 -507 Apr.. 992 784 224 2.659 82 92 127 93 165 404 51 -519 May* 978 784 225 2.659 92 127 404 51 -530 1 Includes reported or estimated gold holdings of international and some member countries in anticipation of increase in Fund quotas, except regional organizations, central banks and govts, of countries listed in those matched by gold mitigation deposits with the United States and this table and also of a number not shown separately here, and gold to be United Kingdom; adjustment is $270 million. distributed by the Tripartite Commission for the Restitution of Monetary 3 Excludes gold subscription payments made by some member countries Gold; excludes holdings of the U.S.S.R., other Eastern European coun­ in anticipation of increase in Fund quotas: for most of these countries tries, and China Mainland. the increased quotas became effective in Feb. 1966. The figures included for the Bank for International Settlements are 4 Net gold assets of BIS, i.e., gold in bars and coins and other gold the Bank's gold assets net of gold deposit liabilities. This procedure assets minus gold deposit liabilities. avoids the overstatement of total world gold reserves since most of the gold deposited with the BIS is included in the gold reserves of individual Note.—For back figures and description of the data in this and the countries. following tables on gold (except production), see “Gold,” Section 14 of 2 Adjusted to include gold subscription payments to the IMF made by Supplement to Banking and Monetary Statistics, 1962. 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 i ­ A So fr u ic th a Ghana C s ( h K o a n i s n g a o ­ ) U S n ta i t t e e s d C a a d n a ­ M ic e o x­ r N a i g c u a a ­ Co b l i o a m­ India Japan P p h i i n l e ip s ­ t A ra u l s ia ­ o A th l e l r 1962... 1.295.0 892.2 31.1 7.1 54.5 146.2 8.3 7.8 13.9 5.7 14.7 14.8 37.4 61.3 1963... 1.355.0 960.1 32.2 7.5 51.4 139.0 8.3 7.2 11.4 4.8 15.1 13.2 35.8 69.0 1964... 1.405.0 1,018.9 30.3 6.6 51.4 133.0 7.4 7.9 12.8 5.2 16.1 14.9 33.7 66.8 1965... 1.440.0 1,069.4 26.4 3.2 58.6 125.6 7.6 6.9 11.2 4.6 18.1 15.3 30.7 62.4 1966... 1.445.0 1,080.8 24.0 5.6 63.1 114.6 7.5 7.0 9.8 4.2 19.4 15.8 32.1 61.1 1967... 1.410.0 1.068.7 26.7 5.4 53.4 103.7 5.8 6.2 9.0 3.4 23.7 17.2 28.4 58.4 1968.. 1.420.0 1,088.0 25.4 5.9 53.9 94.1 6.2 6.8 8.4 4.0 21.5 18.5 27.6 59.7 1969*. 1.090.7 60.1 85.2 7.7 1969—Apr.. 89.3 7.3 .7 '1.5 1.6 2.4 May., 90.0 7.4 .7 r2.1 1.5 2.2 June., 91.3 7.3 .7 r2.2 1.5 2.2 July., 93.7 6.7 .7 r2.1 1 .9 Aug.. 93.9 6.6 .7 r2.2 1.9 Sept,. 95.1 7.0 .6 2.0 Oct... 95.2 6.5 .6 2.0 Nov.. 93.6 6.8 .6 Dec.., 89.5 7.1 .4 1970—Jan... r92.8 7.5 Feb... 88.4 6.5 Mar.. 94.3 7.1 Apr.., 92.8 l Estimated; excludes U.S.S.R., other Eastern European countries, Note.—Estimated world production based on report of the U.S. China Mainland, and North Korea. Bureau of Mines. Country data based on reports from individual countries and Bureau of Mines. Data for the United States are from the Bureau of the Mint. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 94 BANKS AND THE MONETARY SYSTEM n JULY 1970 CONSOLIDATED CONDITION STATEMENT (In millions of dollars) Assets Liabilities and capital Bank credit Total assets, Treas­ net— ury U.S. Treasury securities Total Capital Date cur­ liabil­ Total and Gold rency ities deposits misc. out­ Loans, Com­ Other and and ac­ stand­ Total net1,2 mercial Federal secu­ capital, currency counts, ing Total and Reserve Other3 rities2 net net savings Banks banks 1960—Dec. 31___ 17,767 5,398 266,782 144,704 95,461 67,242 27,384 835 26,617 289,947 263,165 26,783 1964—Dec. 31.... 15,388 5,405 365,366 214,254 106,825 68,779 37,044 1,002 44,287 386,159 352,964 33,193 1965—Dec. 31.... 13,733 5,575 399.799 242,706 106,716 65,016 40,768 932 50,357 419,087 383,727 35,359 1966—Dec. 31.... 13,159 6,317 422,676 261,459 106,472 60,916 44,316 1,240 54,745 442,152 400,999 41,150 1967—Dec. 30.. .. 11,982 6,784 468,943 282,040 117,064 66,752 49,112 1,200 69,839 487,709 444,043 43,670 1968—June 29.... 10.367 6,708 479,667 289,920 115,818 62,809 52,230 779 73,929 496,742 447,839 48,901 Dec. 31.... 10.367 6,795 514,427 311,334 121,273 68,285 52,937 51 81,820 531,589 484,212 47,379 1969—Jan. 29.... 10.400 6,800 504.800 304.300 119.500 67,100 52,300 100 81,000 522,000 469,900 52.100 Feb. 26.... 10.400 6,800 503,000 306,000 115.500 63.500 51,900 100 81,500 520,200 466,800 53,300 Mar. 26.... 10.400 6,800 504,100 307.300 114,600 62.500 52,000 100 82,300 521,300 466,300 54.900 Apr. 30___ 10.400 6.700 511,400 313.200 115,000 61,900 53,100 100 83,200 528,500 472,500 56.100 May 28.... 10.400 6.700 508,700 313.200 112,700 59,200 53,400 100 82,800 525,800 467,000 58.900 June 304... 10.367 6,736 522,058 326,725 111,793 57,667 54,095 31 83,540 539,162 470,457 68,705 July 30.... 10.400 6,700 515,000 321.200 111,300 58,300 53,000 82.400 532,100 464,600 67,500 Aug. 27.. .. 10.400 6,800 512,600 317.700 112,900 57,900 54.900 82,000 529,800 461,800 67,900 Sept. 24.. .. 10.400 6,800 514,300 321.200 110,700 56,700 53.900 82.400 531,400 465,200 66,200 Oct. 29.. .. 10.400 6,800 515,500 321,500 112,600 57,800 54,800 81,500 532,700 465,900 66,800 Nov. 26.. .. 10.400 6,800 520,800 323.700 115,100 58,400 56,700 81,900 538,000 469,300 68,700 Dec. 31.... 10.367 6,849 532,663 335,127 115,129 57,952 57,154 23 82,407 549,884 485,545 64,339 DETAILS OF DEPOSITS AND CURRENCY Money supply Related deposits (not seasonally adjusted) Seasonally adjusted 5 Not seasonally adjusted Time U.S. Government Date For­ At Cur­ De­ Cur­ De­ Postal eign Treas­ com­ rency mand rency mand Com­ Mutual Savings net 8 ury mer­ At Total outside deposits Total outside deposits Total mercial savings Sys­ cash cial F.R. banks ad­ banks ad­ banks 1 banks 7 tem 3 hold­ and Banks justed 6 justed 6 ings savings banks I960—Dec. 31.. 139,200 28,200 111,000 144,458 29,356 115,102 108,468 71,380 36,318 770 3,184 377 6,193 485 1964—Dec. 31.. 159.300 33,500 125.800 167,140 34,882 132,258 175,898 126,447 49,065 386 1,724 612 6,770 820 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—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—Dec. 30.. 181.500 39.600 141.900 191,232 41,071 150,161 242,657 182,243 60,414 2,179 1,344 5,508 1,123 1968—June 29.. 186.700 40.800 145.900 186,562 42,261 144.301 251,913 189,144 62,769 2,154 838 5,298 1,074 Dec. 31.. 199,600 42.600 157.000 207,347 43,527 163,820 267,627 202,786 64,841 2,455 695 5,385 703 1969—Jan. 29.. 190.100 42.800 147.300 192.500 42,200 150.400 266,000 201,200 64.900 2,200 800 7.900 500 Feb. 26.. 191.300 42.800 148,500 190.500 42,300 148,100 266.700 201,600 65,200 2,100 800 6,200 600 Mar. 26.. 193.500 43,200 150.300 190,700 42,800 147.900 267.700 201,800 65.900 2,100 700 4,600 500 Apr. 30.. 192.300 43,300 149.000 192.300 42,900 149.400 266,900 201,200 65,700 2,300 700 9,300 1,000 May 28.. 191.700 43.600 148,100 189.300 43,500 145.900 267,500 201,500 66,000 2,100 700 6.900 400 June 304. 195,300 43,700 151.600 193,996 44,478 149,518 266,171 199,516 66,655 2,402 633 5,997 1,258 July 30.. 192,600 44.000 148.600 192,300 44.100 148,300 262,200 196,000 66,200 2.300 700 5,800 1,200 Aug. 27.. 193,700 43,900 149,800 192,100 44,200 147,900 260,800 194.500 66,300 2,100 700 5,200 1,000 Sept. 24.. 194,200 44.000 150,200 192,900 44.100 148,800 260,300 193,600 66,600 2.300 700 7.900 1,200 Oct. 29.. 194.400 44.400 150,000 195,800 44,500 151,400 259,600 193,100 66,500 2.300 700 6,500 1,100 Nov. 26.. 196.400 45.000 151.400 199,500 46,300 153,200 259,100 192.500 66,600 2,400 700 6.900 900 Dec. 31.. 206,800 45.400 161.400 214,689 46,358 168,331 260,992 193,533 67,459 2,683 596 5,273 1,312 1 Beginning with data for June 30,1966, about $1.1 billion in “Deposits 6 Other than interbank and U.S. Govt., less cash items in process of accumulated for payment of personal loans” were excluded from “Time collection. deposits” and deducted from “Loans” at all commercial banks. These 7 Includes relatively small amounts of demand deposits. Beginning with changes resulted from a change in Federal Reserve regulations. Amounts June 1961, also includes certain accounts previously classified as other lia­ of these hypothecated deposits for June and December call dates appear bilities. regularly in the Bulletin in the table “Deposits Accumulated for Pay­ 8 Reclassification of deposits of foreign central banks in May 1961 re­ ment of Personal Loans” (p. A-23 of this issue). duced this item by $1,900 million ($1,500 million to time deposits and $400 2 See note 2 at bottom of p. A-22. million to demand deposits). 3 After June 30, 1967, Postal Savings System accounts were eliminated from this Statement. Note.—For back figures and descriptions of the consolidated condition 4 Beginning June 30, 1969, figures for commercial banks reflect (1) statement and the seasonally adjusted series on currency outside banks and inclusion of consolidated reports (including figures for all bank-premises demand deposits adjusted, see “Banks and the Monetary System,” Section subsidiaries and other significant majority-owned domestic subsidiaries) 1 of Supplement to Banking and Monetary Statistics, 1962 and Bulletins and (2) reporting of figures for total loans and for individual categories of for Jan. 1948 and Feb. 1960. Except on call dates, figures are partly esti­ securities on a gross basis—that is, before deduction of valuation reserves. mated and are rounded to the nearest $100 million. See also note 1. For description of substantive changes in official call reports of condition 5 Series began in 1946; data are available only for last Wed. of month. beginning June 1969, see Bulletin for August 1969, pp. 642-46. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 □ COMMERCIAL BANKS A 95 PRINCIPAL ASSETS AND LIABILITIES AND NUMBER, BY CLASS OF BANK (Amounts in millions of dollars) Loans and investments Deposits Total assets— Securities Total Interbank 3 Other Total Num­ Cash lia­ Bor­ capital ber Class of bank assets 3 bilities row­ ac­ of and date Total Loans and Total 3 Demand ings counts banks 1.2 U.S. capital De­ Treas­ Other2 ac­ mand Time Timei ury counts4 U.S. Govt. Other All commercial banks: 1960—Dec. 31.. 199,509 117,642 61,00320,86452,150 257,552 229,843 17,079 1,799 5,945 133,379 71,641 16320,986 13,472 1964—Dec. 31.. 277,376 175,589 62,991 38,79660,489 346,921 307,170 17,938 819 6,510 155,184 126,720 2,67927,795 13,761 1965—Dec. 31.. 306,060 201,658 59,54744,85560,899 377,264 332,436 18,426 1,008 5,525 160,780 146,697 4,47230,27213,804 1966—Dec. 31.. 322,661 217,726 56,16348,77269,119 403,368 352,287 19,770 967 4,992 167,751 158,806 4,859 32,054 13,767 1967—Dec. 30.. 359,903 235,954 62,47361,47777,928 451,012 395,008 21,883 1,314 5,234 184,066 182,511 5,77734,384 13.722 1968—June 29.. 367,560 244,580 58,60464,37675,334 456,827 394,004 20,638 1,094 4,970 177,837 189,465 8,131 35,774 13.723 Dec. 31.. 401,262 165,259 64,46671,53783,752 500,657 434,023 24,747 1,211 5,010 199,901 203,154 8,899 37,00613,679 1969—Jan. 29.. 394,820 261,130 63,15070,54071,850 480,940 407,780 19,350 1,080 7,540 178,270 201,54012,83036,87013.673 Feb. 26.. 393,470 263,120 59,47070,88071,590 480,700 404.520 19,550 1,010 5,830 176,230 201,90013,01037,18013.673 Mar. 26.. 394,900 264,970 58,51071,42072,090 482,870 403,670 19,910 990 4,250 176,360 202,16014,36037,36013,677 Apr. 30.. 400,750 270,470 57,98072,30081,110 498,200 417,000 21,230 960 8,950 184,290 201,57015,78038,00013,669 May 28.. 399,920 272,720 55,38071,82076,700 493,250 408.520 20,990 950 6,530 178,200 201,85017,49038,09013,668 June 305. 410,279 283,850 54,04472,38588,209 516,752 425,363 25,187 882 5,639 193,787 199,868 14,740 38,823 13,673 July 30.. 409,200 283,240 54,70071,26074,370 501,650 404,040 21,060 860 5,490 180,260 196,37019,450 38,48013.682 Aug. 27.. 405,860 280,680 54,33070,85076,200 499,750 401,770 21,410 870 4,860 179,840 194,79021,270 38,66013.683 Sept. 24.. 408,670 284,300 53,20071,17075,910 503,590 404,160 21,260 810 7.610 180,550 193,93021,610 38,86013,681 Oct. 29.. 409,210 284,420 54,41070,38076,960 504,920 406,800 22.190 880 6,180 184,150 193,40021,240 39,31013.683 Nov. 26.. 413,080 287,130 55,07070,88082,340 514,470 413,300 23.190 680 6.610 190,100 192,72021,960 39,45013.684 Dec. 31.. 421,597 295,547 54,70971,341 89,984 530,665 435,577 27,174 735 5,054 208,870 193,744 18,36039,978 13,661 Members of F.R. System: 1960—Dec. 31.. 165,619 99,933 49,106 16,57945.756 216,577 193,029 16,436 1,639 5,287 112,393 57,272 13017,398 6,174 1964—Dec. 31.. 228,497 147,690 48,717 32,08952.737 289,142 255,724 17,007 664 5,838 128,539 103,676 2,481 22,901 6,225 1965—Dec. 31.. 251,577 169,800 44,992 36,78552,814 313,384 275,517 17,454 840 4,890 132,131 120,202 4,23424,926 6,221 1966—Dec. 31.. 263,687 182,802 41,924 38,96060.738 334,559 291,063 18,788 794 4,432 138,218 128,831 4,61826,278 6,150 1967—Dec. 30.. 293,120 196,849 46,956 49,31568,946 373.584 326,033 20,811 1,169 4,631 151,980 147,442 5,37028,098 6,071 1968—June 29.. 297,630 203,016 43,361 51,25367,130 376,904 322,990 19,644 934 4,126 146,470 151,816 7,68429,139 6,039 Dec. 31.. 325,086 220,285 47,881 56,92073.756 412,541 355,414 23,519 1,061 4,309 163,920 162,605 8,458 30,060 5,978 1969—Jan. 29.. 319,249 216,806 46,46455,97963,826 395.585 332,284 18,402 927 6,556 145,546 160,853 12,00029,966 5,972 Feb. 26.. 317,925 218,407 43,38756,131 63,247 394,742 329,130 18,593 860 4,907 144,065 160,705 12,17930,190 5,967 Mar. 26.. 318,742 219,595 42,70956,43863,749 396,209 327,685 18,950 842 3,374 143,989 160,53013,63630,342 5,962 Apr. 30.. 322,920 223,609 42,37256,93972,398 409,340 339,062 20,260 796 7,981 150,719 159,306 14,888 30,699 5,955 May 28.. 321,197 224,696 40,17756,32468,479 403,971 330,433 20,054 790 5,405 145,261 158,923 16,46730,752 5,944 June 305. 329,707 233,960 39,38256,36478,615 424,278 344,466 24,097 722 4,874 158,287 156,485 13,99931,317 5,936 July 30.. 328,560 233,196 39,96255,40266,159 410,401 324,993 20,079 699 4,562 146,373 153,280 18,14531,090 5,925 Aug. 27.. 325,413 230,654 39,75455,00567,843 408,644 323,063 20,433 707 4,046 146,139 151,738 19,92531,234 5,919 Sept. 24.. 327,611 233,744 38,64355,22467,504 411,501 324,780 20,234 683 6,576 146,468 150,81920,32231,374 5,910 Oct. 29.. 327,288 233,260 39,72554,30368,596 412,130 326,768 21,182 721 5,438 149,424 150,003 19,89331,694 5,901 Nov. 26.. 330,002 235,055 40,27654,671 73,107 419,571 331,350 22,138 522 5,666 153,874 149,15020,61431,793 5,893 Dec. 31.. 336,738 242,119 39,833 54,78579,034 432,270 349,883 25,841 609 4,114 169,750 149,569 17,39532,047 5,869 Reserve city member:6 New York City: 1960—Dec. 31.. 27,726 18,465 6,980 2,282 10,301 39,767 33,761 5,289 1,216 1,217 21,833 4,206 3,554 15 1964—Dec. 31.. 39,507 27,301 6,178 6,028 11,820 53,867 45,191 5,088 436 1,486 23,896 14,285 1,224 4,471 13 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—Dec. 31.. 46,536 35,941 4,920 5,674 14,869 64,424 51,873 6,370 467 1,016 26,535 17,449 1,874 5,298 12 1967—Dec. 30.. 52,141 39,059 6,027 7,055 18,797 74,609 60,407 7,238 741 1,084 31,282 20,062 1,880 5,715 12 1968—June 29.. 51,361 39.544 5,046 6,771 20,633 75.544 59,329 8,034 513 823 31,125 18,834 2,283 6,022 12 Dec. 31.. 57,047 42,968 5,984 8,094 19,948 81,364 63,900 8,964 622 888 33,351 20,076 2,733 6,137 12 1969—Jan. 29.. 55,692 42.544 5,560 7,588 18,452 78,065 58,225 7,401 501 1,873 29,314 19,136 3,278 6,119 12 Feb. 26.. 54,596 42,652 4,495 7,449 17,659 76.545 56,323 7,123 469 924 29,340 18,467 3,299 6,156 12 Mar. 26.. 53,942 41,875 4,574 7,493 18,680 76,776 55,046 7,588 442 356 28,746 17,914 4,010 6,153 12 Apr. 30.. 55,607 43,237 4,616 7,75422,610 82,395 59,841 8,788 419 2,080 31,513 17,041 4,267 6,240 12 May 28.. 54,847 43,174 4,099 7,57420,784 80,195 56,188 8,825 414 826 29,577 16,546 4,921 6,217 12 June 305. 57,885 46,232 4,445 7,20826,223 89,283 62,534 11,233 405 983 34,453 15,460 3,671 6,283 12 July 30.. 57,645 45,922 4,893 6,830 19,776 82,327 54,066 8,519 369 821 29,732 14,625 5,011 6,241 12 Aug. 27.. 56,571 44,914 4,904 6,75320,574 81,955 54,538 8,783 373 722 30,490 14,170 5,459 6,275 12 Sept. 24.. 57,278 45,807 4,534 6,937 19,165 81,486 54,273 8,346 331 1,298 30,286 14,012 5,422 6,256 12 Oct. 29.. 56,905 45,787 4,722 6,39621,818 83,804 56,712 9,073 337 1,328 31,553 14,421 5,639 6,281 12 Nov. 26.. 58,509 46,249 5,487 6,77321,845 85,405 57,931 9,540 248 1,508 31,909 14,726 5,420 6,318 12 Dec. 31.. 60,333 48,305 5,048 6,98022,349 87,753 62,381 10,349 268 693 36,126 14,944 4,405 6,301 12 City of Chicago:6* 7 1960—Dec. 31.. 7,050 4,485 1,882 683 2,046 9,219 8,197 1,380 327 4,899 1,530 35 822 10 1964—Dec. 31.. 10,562 7,102 1,873 1,578 2,366 13.289 11,807 1,448 396 5,362 4,578 204 1,056 12 1965—Dec. 31.. 11,455 8,219 1,700 1,536 2,426 14.290 12,475 1,437 345 5,656 4,999 355 1,132 11 1966—Dec. 31.. 11,802 8,756 1,545 1,502 2,638 14,935 12,673 1.433 310 6,008 4,898 484 1,199 11 1967—Dec. 30.. 12,744 9,223 1,574 1,947 2,947 16,296; 13,985 1.434 267 6,250 6,013 383 1,346 10 1968—June 29.. 12,848 9,248 1,762 1,838 2,647 16,168 12,701 1,220 93 5,768 5,600 811 1,362 9 Dec. 31.. 14,274 10,286] 1,863 2,125 3,008 18,099 14,526 1,535 257 6,542 6,171 682 1,433 9 For notes see p. A-97. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 96 COMMERCIAL BANKS □ JULY 1970 PRINCIPAL ASSETS AND LIABILITIES AND NUMBER, BY CUSS OF BANK—Continued (Amounts in millions of dollars) Loans and investments Deposits Total assets— Securities Total Interbank 3 Other Total Num­ Cash lia­ Bor­ capital ber Class of bank assets 3 bilities row­ ac­ of and date Total Loans and Total 3 Demand ings counts banks 1,2 U.S. capital De­ Treas­ Other2 ac- ’ mand Time Time* ury counts4 U.S. Govt. Other Reserve city member (cont.): City of Chicago (cont.):6. 7 1969—Jan. 29.. 13,935 10,189 1,647 2,099 2,932 17,589 13,376 1,165 18 569 5,722 5,902 885 1,424 9 Feb. 26.. 13,802 10,030 1,558 2,214 3,128 17,685 13,144 1,246 17 238 5,826 5,817 1,130 1,431 9 Mar. 26.. 14,146 10,313 1,634 2,199 2,768 17,696 12,789 1,267 17 92 5,775 5,638 1,418 1,435 9 Apr. 30.. 14,004 10,218 1,592 2,194 2,835 17,635 13,201 1,170 17 615 5,901 5,498 1,319 1,460 9 May 28.. 13,646 9,996 1,473 2,177 3,067 17,559 12,662 1,190 17 233 5,886 5,336 1,682 1,446 9 June 305. 14,321 10,573 1,616 2,132 2,716 17,869 13,035 1,368 25 274 6,192 5,176 1,230 1,492 9 July 30.. 14,238 10,630 1,556 2,052 2,601 17,635 12,042 1,192 15 242 5,686 4,907 1,354 1,455 9 Aug. 27.. 13,832 10,373 1,473 1,986 2,698 17,344 11,779 1,170 19 149 5,630 4,811 1,717 1,483 9 Sept. 24.. 14,006 10,564 1,471 1,971 2,925 17,784 11,806 1,189 24 349 5,555 4,689 2,092 1,493 9 Oct. 29.. 13,945 10,341 1,667 1,937 2,604 17,410 11,641 1,153 27 334 5,543 4,584 2,064 1,492 9 Nov. 26.. 14,022 10,331 1,685 2,006 2,942 17,824 11,958 1,330 21 250 5,866 4,491 1,985 1,500 9 Dec. 31. . 14,365 10,771 1,564 2,030 2,802 17,927 13,264 1,677 15 175 6,770 4,626 1,290 1,517 9 Other reserve city:6 • 7 1960—Dec. 31.. 62,953 40,002 17,396 5,554 18,668 83,464 75,067 7,989 326 1,960 42,267 22,525 73 6,423 217 1964—Dec. 31.. 84,670 57,555 16,326 10,78921,607 109,053 97,145 8,289 134 2,195 46,883 39,645 841 8,488 182 1965—Dec. 31.. 91,997 65,117 14,354 12,52621,147 116,350 103,034 8,422 206 1,773 47,092 45,541 1,548 9,007 171 1966—Dec. 31.. 95,831 69,464 13,04013,32624,228 123,863 108,804 8,593 233 1,633 49,004 49,341 1,952 9,471 169 1967—Dec. 30.. 105,724 73,571 14,667 17,48726,867 136,626 120,485 9,374 310 1,715 53,288 55,798 2,555 10,032 163 1968—June 29.. 107,654 76,213 13,083 18,35824,528 136,603 118,123 8,131 300 1,400 50,394 57,898 3,720 10,351 163 Dec. 31.. 119,006 83,634 15,03620,33728,136 151,957 132,305 10,181 307 1,884 57,449 62,484 4,239 10,684 161 1969—Jan. 29.. 116,456 82,141 14,16720,14823,463 144,460 122,369 7,651 306 2,348 50,142 61,922 6,179 10,743 161 Feb. 26.. 116,211 83,065 13,151 19,99523,142 143,969 121,555 8,024 272 2,079 49,549 61,631 6,085 10,773 161 Mar. 26.. 116,128 83,534 12,738 19,85623,094 143,928 120,639 7,885 281 1,338 49,751 61,384 6,763 10,878 161 Apr. 30.. 117,795 84,932 12,85720,00625,890 148,544 124,498 8,062 249 3,457 51,735 60,995 7,522 10,982 161 May 28.. 116,902 85,316 11,98219,60424,557 146,119 121,240 7,882 248 2,219 50,043 60,848 7,819 11,014 161 June 305. 119,789 88,582 11,635 19,57227,265 152,827 125,157 9,028 159 2,171 54,079 59,721 7,311 11,166 159 July 30.. 118,838 87,753 11,71619,36924,037 148,510 118,489 8,108 204 1,735 50,333 58,109 9,173 11,194 159 Aug. 27.. 117,449 86,509 11,810 19,13024,644 147,680 116,983 8,224 204 1,633 49,740 57,182 10,069 11,219 159 Sept. 24. . 117,698 87,577 11,11019,01125,301 148,736 117,685 8,329 217 2,963 49,663 56,513 10,23611,271 159 Oct. 29.. 117,954 87,388 11,79418,77223,979 147,722 117,701 8,631 246 2,411 50,780 55,633 9,506 11,391 158 Nov. 26.. 118,287 87,908 11,583 18,79626,601 150,766 118,724 8,853 167 2,213 52,603 54,888 10,518 11,381 158 Dec. 31.. 121,324 90,896 11,94418,48429,954 157,512 126,232 10,663 242 1,574 58,923 54,829 9,881 11,464 157 Country member:6 • 7 1960—Dec. 31.. 67,890 36,981 22,848 8,060 14,740 84,126 76,004 1,778 37 1,783 43,395 29,011 23 6,599 5,932 1964—Dec. 31.. 93,759 55,733 24,341 13,68516,944 112,932 101,581 2,182 71 1,760 52,398 45,169 213 8,886 6,018 1965—Dec. 31.. 103,362 63,338 23,735 16,288 17,366 123,227 110,738 2,371 74 1,501 55,118 51,675 343 9,673 6,027 1966—Dec. 31.. 109,518 68,641 22,419 18,458 19,004 131,338 117,749 2,392 69 1,474 56,672 57,144 30810,309 5,958 1967—Dec. 30.. 122,511 74,995 24,68922,82620,334 146,052 131,156 2,766 96 1,564 61,161 65,569 55211,005 5,886 1968—June 29.. 125,767 78,011 23,46924,287 19,321 148,588 132,837 2,258 102 1,811 59,183 69,483 87011,403 5,855 Dec. 31.. 134,759 83,397 24,99826,36422,664 161,122 144,682 2,839 111 1,281 66,578 73,873 80411,807 5,796 1969—Jan. 29.. 133,166 81,932 25,09026,144 18,979 155,471 138,314 2,185 102 1,766 60,368 73,893 1,658 11,680 5,790 Feb. 26.. 133,316 82,660 24,18326,473 19,318 156,543 138,108 2,200 102 1,666 59,350 74,790 1,665 11,830 5,785 Mar. 26.. 134,526 83,873 23,76326,89019,207 157,809 139,211 2,210 102 1,588 59,717 75,594 1,445 11,876 5,780 Apr. 30.. 135,514 85,222 23,30726,98521,063 160,766 141,522 2,240 111 1,829 61,570 75,772 1,78012,017 5,773 May 28.. 135,802 86,210 22,62326,96920,071 160,098 140,343 2,157 111 2,127 59,755 76,193 2,045 12,075 5,762 June 305 137,711 88,573 21,68627,45222,410 164,299 143,739 2,515 86 1,448 63,562 76,129 1,78712,376 5,756 July 30.. 137,839 88,891 21,79727,151 19,745 161,929 140,396 2,260 111 1,764 60,622 75,639 2,60712,200 5,745 Aug. 27.. 137,561 88,858 21,56727,136 19,927 161,665 139,763 2,256 111 1,542 60,279 75,575 2,68012,257 5,739 Sept. 24.. 138,629 89,796 21,52827,30520,113 163,495 141,016 2,370 111 1,966 60,964 75,605 2,57212,354 5,730 Oct. 29.. 138,484 89,744 21,54227,19820,195 163,194 140,714 2,325 111 1,365 61,548 75,365 2,684 12,530 5,722 Nov. 26.. 139,184 90,567 21,52127,09621,719 165,576 142,737 2,415 86 1,695 63,496 75,045 2,691 12,594 5,714 Dec. 31.. 140,715 92,147 21,27827,291 23,928 169,078 148,007 3,152 84 1,671 67,930 75,170 1,82012,766 5,691 For notes see p. A-97. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1970 o COMMERCIAL BANKS A 97 Notes to pp. A-95—A-96. 1 Beginning with data for June 30, 1966, about $1.1 billion in “De­ 0 Regarding reclassification of New York City and Chicago as re­ posits accumulated for payment of personal loans” were excluded serve cities, see Aug. 1962 Bulletin, p. 993. For various changes be­ from “Time deposits” and deducted from “Loans” at all commercial tween reserve city and country status in 1960-63, see note 6, p. 587, banks. These changes resulted from a change in Federal Reserve reg­ May 1964 Bulletin. ulations. Amounts of these hypothecated deposits for June and De­ 7 Beginning Jan. 4, 1968, a country bank with deposits of $321 mil­ cember call dates appear regularly in the Bulletin in the table “De­ lion was reclassified as a reserve city bank. Beginning Feb. 29, 1968, posits Accumulated for Payment of Personal Loans” (p. A-23 of a reserve city bank in Chicago with total deposits of $190 million was this issue). reclassified as a country bank. 2 Beginning June 30, 1966, loans to farmers directly guaranteed by Note: Data are for all commercial banks in the United States (in­ CCC were reclassified as securities, and Export-Import Bank port­ cluding Alaska and Hawaii). Commercial banks represent all com­ folio fund participations were reclassified from loans to securities. mercial banks, both member and nonmember; stock savings banks; This reduced “Total loans” and increased “Other securities” by and nondeposit trust companies. about $1 billion. “Total loans” include Federal funds sold, and For the years before June 1962 member banks include mutual sav­ beginning with June 1967 securities purchased under resale agree­ ings banks as follows: three before Jan. 1960; two through Dec. 1960, ments. and one through June 1962. Those banks are not included in insured 3 Reciprocal balances excluded beginning with 1942. commercial banks. 4 Includes other assets and liabilities not shown separately. See also Beginning June 30, 1969, commercial banks and member banks ex­ note 1. clude a small national bank in the Virgin Islands; also, member banks 5 Beginning June 30, 1969, series reflects (1) inclusion of consoli­ exclude a small member bank engaged exclusively in trust business. dated reports (including figures for all bank-premises subsidiaries Comparability of figures for classes of banks is affected somewhat and other significant majority-owned domestic subsidiaries) and (2) by changes in F.R. membership, the reserve classifications of cities reporting of figures for total loans and for individual categories of and individual banks, and by mergers, etc. securities on a gross basis—that is, before deduction of valuation Figures are partly estimated except on call dates. reserves—rather than net as previously reported. For revisions in series before Dec. 31, 1960, see earlier Bulletins. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 98 BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM Arthur F. Burns, Chairman J. L. Robertson, Vice Chairman George W. Mitchell J. Dewey Daane Sherman J. Maisel Andrew F. Brimmer William W. Sherrill Robert C. Holland, Secretary of the Board J. Charles Partee, Adviser to the Board Robert Solomon, Adviser to the Board Howard H. Hackley, Assistant to the Board Charles Molony, Assistant to the Board Robert L. Cardon, Assistant to the Board Joseph R. Coyne, Special Assistant to the Board David B. Hexter, Assistant to the Board OFFICE OF THE SECRETARY DIVISION OF FEDERAL RESERVE BANK OPERATIONS Robert C. Holland, Secretary Kenneth A. Kenyon, Deputy Secretary John R. Farrell, Director Elizabeth L. Carmichael, Assistant Secretary John N. Kiley, Jr., Associate Director Arthur L. Broida, Assistant Secretary James A. McIntosh, Assistant Director Normand R. V. Bernard, Assistant Secretary P. D. Ring, Assistant Director Gordon B. Grimwood, Defense Planning Charles C. Walcutt, Assistant Director Coordinator and Assistant Secretary Lloyd M. Schaeffer, Chief Federal Reserve Examiner LEGAL DIVISION DIVISION OF SUPERVISION AND REGULATION Thomas J. O’Connell, General Counsel Jeromb W. Shay, Assistant General Counsel Frederic Solomon, Director Robert F. Sanders, Assistant General Counsel ** Brenton C. Leavitt, Deputy Director Lawrence F. Noble, Assistant General Counsel Frederick R. Dahl, Assistant Director Pauline B. Heller, Adviser Jack M. Egertson, Assistant Director Janet O. Hart, Assistant Director DIVISION OF RESEARCH AND STATISTICS John N. Lyon, Assistant Director John T. McClintock, Assistant Director J. Charles Partee, Director Thomas A. Sidman, Assistant Director Stephen H. Axilrod, Associate Director Tynan Smith, Assistant Director Lyle E. Gramley, Associate Director Levon H. Garabedian, Assistant Director DIVISION OF PERSONNEL ADMINISTRATION Stanley J. Sigel, Adviser Murray S. Wernick, Adviser Edwin J. Johnson, Director Kenneth B. Williams, Adviser John J. Hart, Assistant Director Peter M. Keir, Associate Adviser DIVISION OF ADMINISTRATIVE SERVICES Bernard Shull, Associate Adviser James B. Eckert, Assistant Adviser Joseph E. Kelleher, Director James L. Pierce, Assistant Adviser Donald E. Anderson, Assistant Director Stephen P. Taylor, Assistant Adviser John D. Smith, Assistant Director Louis Weiner, Assistant Adviser Joseph S. Zeisel, Assistant Adviser OFFICE OF THE CONTROLLER John Kakalec, Controller DIVISION OF INTERNATIONAL FINANCE Harry J. Halley, Assistant Controller Robert Solomon, Director ♦Robert L. Sammons, Associate Director DIVISION OF DATA PROCESSING John E. Reynolds, Associate Director Jerold E. Slocum, Director John F. L. Ghiardi, Adviser John P. Singleton, Associate Director A. B. Hersey, Adviser Glenn L. Cummins, Assistant Director Reed J. Irvine, Adviser Henry W. Meetze, Assistant Director Samuel I. Katz, Adviser Richard S. Watt, Assistant Director Bernard Norwood, Adviser Ralph C. Wood, Adviser *On leave of absence. Robert F. Gemmill, Associate Adviser ** Currently serving also as Program Director for Samuel Pizer, Associate Adviser Banking Structure in the Office of the Secretary. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 99 FEDERAL OPEN MARKET COMMITTEE Arthur F. Burns, Chairman Alfred Hayes, Vice Chairman Andrew F. Brimmer Aubrey N. Heflin J. L. Robertson J. Dewey Daane W. Braddock Hickman William W. Sherrill Darryl R. Francis Sherman J. Maisel Eliot J. Swan George W. Mitchell Robert C. Holland, Secretary Arthur L. Broida, Deputy Secretary George Garvy, Associate Economist Kenneth A. Kenyon, Assistant Secretary Lyle E. Gram ley, Associate Economist Charles Molony, Assistant Secretary A. B. Hersey, Associate Economist Howard H. Hackley, General Counsel William J. Hocter, Associate Economist David B. Hexter, Assistant General Counsel Homer Jones, Associate Economist J. Charles Partee, Economist James Parthemos, Associate Economist Stephen H. Axilrod, Associate Economist John E. Reynolds, Associate Economist J. Howard Craven, 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 Philip H. Nason, ninth federal reserve district, President Jack T. Conn, tenth federal reserve district, Vice President Mark C. Wheeler, first federal George S. Craft, sixth federal RESERVE DISTRICT RESERVE DISTRICT John M. Meyer, Jr., second federal Donald M. Graham, seventh federal RESERVE DISTRICT RESERVE DISTRICT George H. Brown, Jr., third federal Allen Morgan, eighth federal RESERVE DISTRICT RESERVE DISTRICT John A. Mayer, fourth federal John E. Gray, eleventh federal RESERVE DISTRICT RESERVE DISTRICT Robert D. H. Harvey, fifth federal A. W. Clausen, twelfth federal RESERVE DISTRICT RESERVE DISTRICT Herbert V. Prochnow, Secretary William J. Korsvik, Assistant Secretary Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 100 FEDERAL RESERVE BANKS AND BRANCHES Federal Reserve Bank Chairman President Vice President or branch Deputy Chairman First Vice President in charge of branch Zip code Boston.....................02106 James S. Duesenberry Frank E. Morris John M. Fox Earle O. Latham New York................10045 Albert L. Nickerson Alfred Hayes James M. Hester William F. Treiber Buffalo.................14240 Robert S. Bennett A. A. Maclnnes, Jr Philadelphia..............19101 Willis J. Winn David P. Eastburn Bayard L. England David C. Melnicoff Cleveland.................44101 Albert G. Clay W. Braddock Hickman J. Ward Keener Walter H. MacDonald Cincinnati.............45201 Graham E. Marx Fred O. Kiel Pittsburgh.............15230 Lawrence E. Walkley Clyde E. Harrell Richmond.................23213 Wilson H. Elkins Aubrey N. Heflin Robert W. Lawson, Jr. Robert P. Black Baltimore..............21203 Arnold J. Kleff, Jr. H. Lee Boatwright, III Charlotte..............28201 William B. McGuire Jimmie R. Monhollon Atlanta....................30303 Edwin I. Hatch Monroe Kimbrel John C. Wilson Kyle K. Fossum Birmingham..........35202 C. Caldwell Marks Dan L. Hendley Jacksonville...........32201 Henry Cragg Edward C. Rainey Nashville..............37203 Robert M. Williams Jeffrey J. Wells New Orleans.........70160 Frank G. Smith Arthur H. Kantner Chicago...................60690 Emerson G. Higdon Robert P. Mayo William H. Franklin Ernest T. Baughman Detroit.................48231 L. Wm. Seidman Daniel M. Doyle St. Louis..................63166 Frederic M. Peirce Darryl R. Francis Smith D. Broadbent, Jr. Dale M. Lewis Little Rock...........72203 Al Pollard John F. Breen Louisville..............40201 Harry M. Young, Jr. Donald L. Henry Memphis..............38101 Alvin Huffman, Jr. Eugene A. Leonard Minneapolis..............55480 Robert F. Leach Hugh D. Galusha, Jr. David M. Lilly M. H. Strothman, Jr. Helena.................59601 Warren B. Jones Howard L. Knous Kansas City..............64198 Dolph Simons George H. Clay Willard D. Hosford, Jr. 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 Philip E. Coldwell Chas. F. Jones T. W. Plant El Paso.................79999 Gordon W. Foster Fredric W. Reed Houston...............77001 Geo. T. Morse, Jr. J. Lee Cook San Antonio.........78206 Francis B. May Carl H. Moore San Francisco...........94120 O. Meredith Wilson Eliot J. Swan S. Alfred Halgren A. B. Merritt Los Angeles...........90054 Leland D. Pratt Paul W. Cavan Portland................97208 Robert F. Dwyer William M. Brown Salt Lake City.......84110 Peter E. Marble Arthur L. Price Seattle..................98124 C. Henry Bacon, Jr. William R. Sandstrom Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 101 FEDERAL RESERVE BOARD PUBLICATIONS Available from Publications Services, Division of Administrative Services, Board of Governors of the Federal Re­ serve System, Washington, D.C. 20551. Where a charge is indicated, remittance should accompany request and be made payable to the order of the Board of Governors of the Federal Reserve System in a form collectible at par in U.S. currency. (Stamps and coupons not accepted.) THE FEDERAL RESERVE SYSTEM—PURPOSES AND SUPPLEMENT TO BANKING AND MONETARY STA­ FUNCTIONS. 1963. 298 pp. TISTICS. Sec. 1. Banks and the Monetary Sys­ tem. 1962. 35 pp. $.35. Sec. 2. Member Banks. ANNUAL REPORT. 1967. 59 pp. $.50. Sec. 5. Bank Debits. 1966. 36 pp. $.35. Sec. 6. Bank Income. 1966. 29 pp. FEDERAL RESERVE BULLETIN. Monthly. $6.00 per $.35. Sec. 9. Federal Reserve Banks. 1965. 36 annum or $.60 a copy in the United States and pp. $.35. Sec. 10. Member Bank Reserves and its possessions, Bolivia, Canada, Chile, Colom­ Related Items. 1962. 64 pp. $.50. Sec. 11. Cur­ bia, Costa Rica, Cuba, Dominican Republic, rency. 1963. 11 pp. $.35. Sec. 12. Money Rates Ecuador, Guatemala, Haiti, Republic of Hon­ and Securities Markets. 1966. 182 pp. $.65. duras, Mexico, Nicaragua, Panama, Paraguay, Sec. 14. Gold. 1962. 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. INDUSTRIAL PRODUCTION—1957-59 BASE. 1962. 172 pp. $1.00 a copy; 10 or more sent to one FEDERAL RESERVE CHART BOOK ON FINANCIAL address, $.85 each. AND BUSINESS STATISTICS. Monthly. Annual subscription includes one issue of Historical BANK MERGERS & THE REGULATORY AGENCIES: Chart Book. $6.00 per annum or $.60 a copy in APPLICATION OF THE BANK MERGER ACT OF the United States and the countries listed above; 1960. 1964. 260 pp. $1.00 a copy; 10 or more or more of same issue sent to one address, sent to one address, $.85 each. 10 $.50 each. Elsewhere, $7.00 per annum or $.70 a copy. BANKING MARKET STRUCTURE & PERFORMANCE IN METROPOLITAN AREAS: A STATISTICAL HISTORICAL CHART BOOK. Issued annually in Sept. STUDY OF FACTORS AFFECTING RATES ON Subscription to monthly chart book includes BANK LOANS. 1965. 73 pp. $.50 a copy; 10 or one issue. $.60 a copy in the United States and more sent to one address, $.40 each. countries listed above; 10 or more sent to one address, $.50 each. Elsewhere, $.70 a copy. THE PERFORMANCE OF BANK HOLDING COM­ PANIES. 1967. 29 pp. $.25 a copy; 10 or more THE FEDERAL RESERVE ACT, as amended through sent to one address, $.20 each. Nov. 5, 1966, with an appendix containing pro­ visions of certain other statutes affecting the FARM DEBT. Data from the 1960 Sample Survey Federal Reserve System. 353 pp. $1.25. of Agriculture. 1964. 221 pp. $1.00 a copy; 10 or more sent to one address, $.85 each. REGULATIONS OF THE BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM. MERCHANT AND DEALER CREDIT IN AGRICUL­ TURE. 1966. 109 pp. $1.00 a copy; 10 or more PUBLISHED INTERPRETATIONS OF THE BOARD OF sent to one address, $.85 each. GOVERNORS, as of Dec. 31, 1969. $2.50. THE FEDERAL FUNDS MARKET. 1959. Ill pp. FLOW OF FUNDS IN THE UNITED STATES, 1939- $1.00 a copy; 10 or more sent to one address, 53. 1955. 390 pp. $2.75. $.85 each. FLOW OF FUNDS ACCOUNTS, 1945-1968. March TRADING IN FEDERAL FUNDS. 1965. 116 pp. $1.00 1970. 138 pp. $1.00 per copy; 10 or more sent a copy; 10 or more sent to one address, $.85 to one address, $.85 each. each. DEBITS AND CLEARING STATISTICS AND THEIR U.S. TREASURY ADVANCE REFUNDING, JUNE USE. 1959. 144 pp. $1.00 a copy; 10 or more 1960-JULY 1964. 1966. 65 pp. $.50 a copy; 10 sent to one address, $.85 each. or more sent to one address, $.40 each. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 102 FEDERAL RESERVE BULLETIN □ JULY 1970 BANK CREDIT-CARD AND CHECK-CREDIT PLANS. THE DISCOUNT MECHANISM IN LEADING IN­ 1968. 102 pp. $1.00 a copy; 10 or more sent to DUSTRIAL COUNTRIES SINCE WORLD WAR II. one address, $.85 each. 1968. 216 pp. INTEREST RATE EXPECTATIONS: TESTS ON YIELD RESERVE ADJUSTMENTS OF THE EIGHT MAJOR SPREADS AMONG SHORT-TERM GOVERNMENT NEW YORK CITY BANKS DURING 1966. 1968. SECURITIES. 1968. 83 pp. $.50 a copy; 10 or 29 pp. more sent to one address, $.40 each. DISCOUNT POLICY AND OPEN MARKET OPERA­ TIONS. 1968. 23 pp. SURVEY OF FINANCIAL CHARACTERISTICS OF CONSUMERS. 1966. 166 pp. $1.00 a copy; 10 or THE REDESIGNED DISCOUNT MECHANISM AND more sent to one address, $.85 each. THE MONEY MARKET. 1968. 29 pp. SURVEY OF CHANGES IN FAMILY FINANCES. 1968. SUMMARY OF THE ISSUES RAISED AT THE ACA­ 321 pp. $1.00 a copy; 10 or more sent to one DEMIC SEMINAR ON DISCOUNTING. 1968. address, $.85 each. 16 pp. REPORT OF THE JOINT TREASURY-FEDERAL RE­ A REVIEW OF RECENT ACADEMIC LITERATURE SERVE STUDY OF THE U.S. GOVERNMENT ON THE DISCOUNT MECHANISM. 1968. 40 pp. SECURITIES MARKET. 1969. 48 pp. $.25 a copy; 10 or more sent to one address, $.20 each. DISCOUNT POLICY AND BANK SUPERVISION. 1968. 72 pp. JOINT TREASURY-FEDERAL RESERVE STUDY OF THE GOVERNMENT SECURITIES MARKET: STAFF THE LEGITIMACY OF CENTRAL BANKS. 1969. STUDIES—PART 1 (papers by Cooper, Bernard, 24 pp. and Scherer). 1970. 86 pp. $.50 a copy; 10 or more sent to one address, $.40 each. SELECTIVE CREDIT CONTROL. 1969. 9 pp. (Limited supplies, in mimeographed or similar SOME PROPOSALS FOR A REFORM OF THE DIS­ form, of staff papers other than those con­ COUNT WINDOW. 1969. 40 pp. tained in Part 1 are available upon request for single copies. See p. 48 of main report for a RATIONALE AND OBJECTIVES OF THE 1955 RE­ list of such papers.) VISION OF REGULATION A. 1969. 33 pp. REAPPRAISAL OF THE FEDERAL RESERVE DIS­ AN EVALUATION OF SOME DETERMINANTS OF COUNT MECHANISM: MEMBER BANK BORROWING. 1969. 29 pp. REPORT OF A SYSTEM COMMITTEE. 1968. 23 ACADEMIC VIEWS ON IMPROVING THE FEDERAL pp. $.25 a copy; 10 or more sent to one ad­ RESERVE DISCOUNT MECHANISM. 1970. 172 dress, $.20 each. pp. REPORT ON RESEARCH UNDERTAKEN IN CON­ CAPITAL AND CREDIT REQUIREMENTS OF AGRI­ NECTION WITH A SYSTEM STUDY. 1968. 47 CULTURE, AND PROPOSALS TO INCREASE pp. $.25 a copy; 10 or more sent to one AVAILABILITY OF BANK CREDIT. 1970. 160 pp. address, $.20 each. STAFF ECONOMIC STUDIES Limited supply of the following papers relating to the Discount Study, in mimeographed or similar Studies and papers on economic and financial sub­ form, available upon request for single copies: jects that are of general interest in the field of economic research. EVOLUTION OF THE ROLE AND FUNCTIONING OF THE DISCOUNT MECHANISM. 1968. 65 pp. Summaries only printed in the Bulletin. (Limited supply of mimeographed copies of full A STUDY OF THE MARKET FOR FEDERAL FUNDS. text available upon request for single copies.) 1968. 47 pp. MEASURES OF INDUSTRIAL PRODUCTION AND THE SECONDARY MARKET FOR NEGOTIABLE FINAL DEMAND, by Clayton Gehman and Cor­ CERTIFICATES OF DEPOSIT. 1968. 89 pp. nelia Motheral. Jan. 1967. 57 pp. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

FEDERAL RESERVE BOARD PUBLICATIONS A 103 CHANGES IN BANK OWNERSHIP: THE IMPACT ON MEASURES OF MEMBER BANK RESERVES. July OPERATING PERFORMANCE, by Paul F. Jessup. 1963. 14 pp. Apr. 1969. 35 pp. CHANGES IN BANKING STRUCTURE, 1953-62. CHARACTERISTICS OF MERGING BANKS, by David Sept. 1963. 8 pp. L. Smith. July 1969. 30 pp. THE OPEN MARKET POLICY PROCESS. Oct. 1963. OPTIMAL FACTOR ADJUSTMENT PATHS: A GENER­ pp. ALIZATION OF “STOCK ADJUSTMENT" DECISION 11 RULES, by P. A. Tinsley. July 1969. 14 pp. REVISION OF BANK DEBITS AND DEPOSIT TURN­ OVER SERIES. Mar. 1965. 4 pp. ECONOMIC FORECASTS: EVALUATION PROCE­ DURES AND RESULTS, by H. O. Stekler. Oct. TIME DEPOSITS IN MONETARY ANALYSIS, Staff 1969. 49 pp. Economic Study by Lyle E. Gramley and SOME PROBLEMS IN FORECASTING INVENTORY Samuel B. Chase, Jr. Oct. 1965. 25 pp. INVESTMENT, by H. O. Stekler. Oct. 1969. 23 pp. CYCLES AND CYCLICAL IMBALANCES IN A CHANG­ AUTOMOTIVE TRADE BETWEEN THE UNITED ING WORLD, Staff Paper by Frank R. Garfield. Nov. 1965. 15 pp. STATES AND CANADA, by Kathryn A. Morisse. Nov. 1969. 33 pp. RESEARCH ON BANKING STRUCTURE AND PER­ THE AVAILABILITY OF MORTGAGE LENDING COM­ FORMANCE, Staff Economic Study by Tynan MITMENTS, by Robert Moore Fisher. Dec. 1969. Smith. Apr. 1966. 11 pp. 36 pp. COMMERCIAL BANK LIQUIDITY, Staff Economic IMPORTED INFLATION AND THE INTERNATIONAL Study by James Pierce. Aug. 1966. 9 pp. ADJUSTMENT PROCESS, by Ruth Logue. Dec. 1969.147 pp. TOWARD UNDERSTANDING OF THE WHOLE DE­ VELOPING ECONOMIC SITUATION, Staff Eco­ CONSUMER SAVINGS AND THRIFT INSTITUTIONS, nomic Study by Frank R. Garfield. Nov. 1966. by Edwin C. Ettin and Barbara Negri Opper, 14 pp. June 1970. 12 pp. A REVISED INDEX OF MANUFACTURING CAPACITY, Staff Economic Study by Frank de Leeuw with Printed in full in the Bulletin. Frank E. Hopkins and Michael D. Sherman. (Reprints available as shown in following list.) Nov. 1966. 11 pp. REPRINTS THE ROLE OF FINANCIAL INTERMEDIARIES IN U.S. CAPITAL MARKETS, Staff Economic Study (From Federal Reserve Bulletin unless preceded by Daniel H. Brill with Ann P. Ulrey. Jan. by an asterisk.) 1967. 14 pp. REVISED SERIES ON COMMERCIAL AND INDUS­ ADJUSTMENT FOR SEASONAL VARIATION. June TRIAL LOANS BY INDUSTRY. Feb. 1967. 2 pp. 1941. 11 pp. SEASONAL FACTORS AFFECTING BANK RESERVES. AUTO LOAN CHARACTERISTICS AT MAJOR SALES Feb. 1958. 12 pp. FINANCE COMPANIES. Feb. 1967. 5 pp. LIQUIDITY AND PUBLIC POLICY, Staff Paper by SURVEY OF FINANCE COMPANIES, MID-1965. Apr. Stephen H. Axilrod. Oct. 1961. 17 pp. 1967. 26 pp. SEASONALLY ADJUSTED SERIES FOR BANK MONETARY POLICY AND THE RESIDENTIAL MORT­ CREDIT. July 1962. 6 pp. GAGE MARKET. May 1967. 13 pp. INTEREST RATES AND MONETARY POLICY, Staff BANK FINANCING OF AGRICULTURE. June 1967. Paper by Stephen H. Axilrod. Sept. 1962. 28 pp. 23 pp. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 104 FEDERAL RESERVE BULLETIN □ JULY 1970 EVIDENCE ON CONCENTRATION IN BANKING REVISION OF CONSUMER CREDIT STATISTICS. MARKETS AND INTEREST RATES, Staff Eco­ Dec. 1968. 21 pp. nomic Study by Almarin Phillips. June 1967. 11 pp. HOUSING PRODUCTION AND FINANCE. Mar. 1969. 7 pp. NEW BENCHMARK PRODUCTION MEASURES, 1958 AND 1963. June 1967. 4 pp. OUR PROBLEM OF INFLATION. June 1969. 15 pp. REVISED INDEXES OF MANUFACTURING CAPACITY AND CAPACITY UTILIZATION. July 1967. 3 pp. THE CHANNELS OF MONETARY POLICY, Staff Eco­ nomic Study by Frank de Leeuw and Edward THE PUBLIC INFORMATION ACT—ITS EFFECT ON Gramlich. June 1969. 20 pp. MEMBER BANKS. July 1967. 6 pp. INTEREST COST EFFECTS OF COMMERCIAL BANK REVISION OF WEEKLY SERIES FOR COMMERCIAL UNDERWRITING OF MUNICIPAL REVENUE BANKS. Aug. 1969. 5 pp. BONDS. Aug. 1967. 16 pp. EURO-DOLLARS: A CHANGING MARKET. Oct. 1969. THE FEDERAL RESERVE-MIT ECONOMETRIC pp. 20 MODEL, Staff Economic Study by Frank de Leeuw and Edward Gramlich. Jan. 1968. 30 pp. REVISION OF MONEY SUPPLY SERIES. Oct. 1969. THE PRICE OF GOLD IS NOT THE PROBLEM. Feb. 16 pp. 1968. 7 pp. BALANCE OF PAYMENTS PROGRAM: REVISED U.S. INTERNATIONAL TRANSACTIONS: TRENDS IN GUIDELINES FOR BANKS AND NONBANK FINAN­ 1960-67. Apr. 1968. 23 pp. CIAL INSTITUTIONS. Jan. 1970. 11 pp. MARGIN ACCOUNT CREDIT. June 1968. 12 pp. TREASURY AND FEDERAL RESERVE FOREIGN EX­ MONETARY RESTRAINT AND BORROWING AND CHANGE OPERATIONS. Mar. 1970. 21 pp. CAPITAL SPENDING BY LARGE STATE AND LOCAL GOVERNMENTS IN 1966. July 1968. 30 pp. RECENT CHANGES IN STRUCTURE OF COMMER­ CIAL BANKING. Mar. 1970. 16 pp. REVISED SERIES ON BANK CREDIT. Aug. 1968. 4 pp. U.S. BALANCE OF PAYMENTS AND INVEST­ MENT POSITION. Apr. 1970. 17 pp. FEDERAL FISCAL POLICY IN THE 1960’s. Sept. 1968. 18 pp. CHANGES IN TIME AND SAVINGS DEPOSITS, OCTO­ HOW DOES MONETARY POLICY AFFECT THE BER 1969—JANUARY 1970. May 1970. 12 pp. ECONOMY? Staff Economic Study by Maurice Mann. Oct. 1968. 12 pp. FINANCIAL DEVELOPMENTS IN THE FIRST QUAR­ TER OF 1970. May 1970. 9 pp. BUSINESS FINANCING BY BUSINESS FINANCE COMPANIES. Oct. 1968. 13 pp. SDR’s IN FEDERAL RESERVE OPERATIONS AND MANUFACTURING CAPACITY: A COMPARISON OF STATISTICS. May 1970. 4 pp. TWO SOURCES OF INFORMATION, Staff Eco­ nomic Study by Jared J. Enzler. Nov. 1968. CHANGES IN BANK LENDING PRACTICES, 1969. 5 pp. May 1970. 5 pp. MONETARY RESTRAINT, BORROWING, AND CAP­ ITAL SPENDING BY SMALL LOCAL GOVERN­ BANKING AND MONETARY STATISTICS, 1969. MENTS AND STATE COLLEGES IN 1966. Dec. Selected series of banking and monetary statistics 1968. 30 pp. for 1969 only. Mar. and July 1970. 18 pp. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 105 INDEX TO STATISTICAL TABLES (For list of tables published periodically, but not monthly, see page A-3.) Acceptances, bankers’, 14, 33, 37 Deposits (See also specific types of deposits): Agricultural loans of commercial banks, 24, 26 Accumulated at commercial banks for payment of Arbitrage, 91 personal loans, 23 Assets and liabilities (See also Foreigners, claims on, Adjusted, and currency, 18, 94 and liabilities to): Banks, by classes, 11, 19, 25, 29, 37, 95 Banks, by classes, 19, 24, 26, 37, 95 Euro-dollars, 86 Banks and the monetary system, 18, 94 Federal Reserve Banks, 12, 86 Corporate, current, 49 Postal savings, 18, 94 Federal Reserve Banks, 12 Subject to reserve requirements, 17 Automobiles: Discount rates, 9, 90 Consumer instalment credit, 54, 55, 56 Discounts and advances by Reserve Banks, 4, 12, 13, 15 Production index, 58, 59 Dividends, coiporate, 48, 49 Dollar assets, foreign, 75, 81 Bank credit proxy, 17 Bankers’ balances, 25, 28 Earnings and hours, manufacturing industries, 65 (See also Foreigners, claims on, and liabilities to) Employment, 62, 64, 65 Banking and monetary statistics for 1969, 94 Euro-dollar deposits in foreign branches of Banks and the monetary system, 18, 94 U.S. banks, 86 Banks for cooperatives, 39 Bonds (See also U.S. Govt, securities): Farm mortgage loans, 50, 51 New issues, 45, 46, 47 Federal finance: Yields and prices, 34, 35 Cash transactions, 40 Branch banks, liabilities of U.S. banks to their foreign Receipts and expenditures, 41 branches, 30, 86 Treasury operating balance, 40 Brokerage balances, 85 Federal funds, 8, 24, 26, 30, 33 Business expenditures on new plant and equipment, 49 Federal home loan banks, 39, 51 Business indexes, 62 Federal Housing Administration, 50, 51, 52, 53 Business loans {See Commercial and industrial loans) Federal intermediate credit banks, 39 Capacity utilization, 62 Federal land banks, 39 Capital accounts: Federal National Mortgage Assn., 39, 53 Banks, by classes, 19, 25, 30, 95 Federal Reserve Banks: Federal Reserve Banks, 12 Condition statement, 12 Central banks, 90, 92 U.S. Govt, securities held, 4, 12, 15,42, 43 Certificates of deposit, 30 Federal Reserve credit, 4, 6, 12, 15 Coins, circulation, 16 Federal Reserve notes, 12, 16 Commercial and industrial loans: Federally sponsored credit agencies, 39 Commercial banks, 24, 32 Finance company paper, 33, 37 Weekly reporting banks, 26, 31 Financial institutions, loans to, 24, 26 Commercial banks: Float, 4 Assets and liabilities, 19, 24, 26, 95 Flow of funds, 70 Consumer loans held, by type, 55 Foreign: Deposits at, for payment of personal loans, 23 Currency operations, 12, 14, 75, 81 Loans sold outright, 32 Deposits in U.S. banks, 5, 12, 18, 25, 29, 86, 94 Number, by classes, 19, 95 Exchange rates, 89 Real estate mortgages held, by type, 50 Trade, 73 Commercial paper, 33, 37 Foreigners: Condition statements (See Assets and liabilities) Claims on, 82, 83, 86, 87, 88 Construction, 62, 63 Liabilities to, 30, 76, 77, 79, 80, 81, 86, 87, 88 Consumer credit: Instalment credit, 54, 55, 56, 57 Gold: Noninstalment credit, by holder, 55 Certificates, 12, 13, 16 Consumer price indexes, 62, 66 Earmarked, 86 Consumption expenditures, 68, 69 Net purchases by U.S., 74 Corporations: Production, 93 Sales, profits, taxes, and dividends, 48, 49 Reserves of central banks and govts., 92 Security issues, 46, 47 Stock, 4, 18, 75, 94 Security yields and prices, 34, 35 Government National Mortgage Association, 53 Cost of living (See Consumer price indexes) Gross national product, 68, 69 Currency and coin, 5, 10,25 Currency in circulation, 5, 16, 17 Hours and earnings, manufacturing industries, 65 Customer credit, stock market, 36 Housing permits, 62 Debits to deposit accounts, 15 Housing starts, 63 Debt (See specific types of debt or securities) Demand deposits: Income, national and personal, 68, 69 Adjusted, banks and the monetary system, 18, 94 Industrial production index, 58, 62 Adjusted, commercial banks, 15, 17, 25 Instalment loans, 54, 55, 56, 57 Banks, by classes, 11, 19, 25, 29, 95 Insurance companies, 38, 42, 43, 51 Subject to reserve requirements, 17 Insured commercial banks, 21, 23, 24 Turnover, 15 Interbank deposits, 11, 19, 25, 95 )xedni siht n i dettimo si ” A“ xiferp eht hguohtla 79-A hguorht 4-A segap o t era secnerefeR( Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

)xedni siht n i dettimo si ” A“ xiferp eht hguohtla 79-A hguorht 4-A segap o t era secnerefeR( A 106 FEDERAL RESERVE BULLETIN □ JULY 1970 Interest rates: Reserve position, basic, member banks, 8 Business loans by banks, 32 Reserve requirements, member banks, 10 Federal Reserve Bank discount rates, 9 Reserves: Foreign countries, 90, 91 Central banks and govts., 92 Money market rates, 33, 91 Commercial banks, 25, 28, 30 Mortgage yields, 53 Federal Reserve Banks, 12 Prime rate, commercial banks, 33 Member banks, 5, 6, 11, 17, 25 Time deposits, maximum rates, 11 U.S. reserve assets, 75 Yields, bond and stock, 34 Residential mortgage loans, 35, 50, 51, 52 International capital transactions of the U.S., 76-88 Retail credit, 54 International institutions, 74, 75, 90, 92 Retail sales, 62 Inventories, 68 Investment companies, issues and assets, 47 Investments (See also specific types of investments): Sales finance companies, loans, 54, 55, 57 Banks, by classes, 19, 24, 27, 28, 37, 95 Saving: Commercial banks, 23 Flow of funds series, 70 Federal Reserve Banks, 12, 15 National income series, 69 Life insurance companies, 38 Savings and loan assns., 38, 43, 51 Savings and loan assns., 38 Savings deposits (See Time deposits) Savings institutions, principal assets, 37, 38 Labor force, 64 Securities (See also U.S. Govt, securities): Loans (See also specific types of loans): Federally sponsored agencies, 39 Banks, by classes, 19, 24, 26, 27, 37, 95 International transactions, 84, 85 Commercial banks, 19, 23, 24, 26, 27, 31, 32 New issues, 45, 46, 47 Federal Reserve Banks, 4, 6, 12, 15 Silver coin and silver certificates, 16 Insurance companies, 38, 51 Special Drawing Rights, 4, 12, 13, 18, 72, 75 Insured or guaranteed by U.S., 50, 51, 52, 53 State and local govts.: Savings and loan assns., 38, 51 Deposits, 25, 29 Holdings of U.S. Govt, securities, 42, 43 Manufacturers: New security issues, 45, 46 Capacity utilization, 62 Ownership of securities of, 24, 28, 37, 38 Production index, 59, 62 Yields and prices of securities, 34, 35 Margin requirements, 10 State member banks, 21, 23 Member banks: Stock market credit, 36 Assets and liabilities, by classes, 19, 24, 95 Stocks: Borrowings at Reserve Banks, 6, 12 New issues, 46, 47 Deposits, by classes, 11 Yields and prices, 34, 35 Number, by classes, 19, 95 Reserve position, basic, 8 Reserve requirements, 10 Tax receipts, Federal, 41 Reserves and related items, 4, 17 Time deposits, 11, 17, 18, 19, 25, 29, 94, 95 Mining, production index, 59, 62 Treasury cash, Treasury currency, 4, 5, 16, 18, 94 Mobile home shipments, 63 Treasury deposits, 5, 12, 40 Money rates (See Interest rates) Treasury operating balance, 40 Money supply and related data, 17 Mortgages (See Real estate loans and Residential mort­ gage loans) Unemployment, 64 Mutual funds (See Investment companies) U.S. balance of payments, 72 Mutual savings banks, 18, 29, 37, 42, 43, 50, 94 U.S. Govt, balances: Commercial bank holdings, 25, 29 National banks, 21, 23 Consolidated condition statement, 18, 94 National income, 68, 69 Member bank holdings, 17 National security expenditures, 41, 68 Treasury deposits at Reserve Banks, 5, 12,40 Nonmember banks, 22, 23, 24, 25 U.S. Govt, securities: Bank holdings, 18, 19, 24, 27, 37, 42, 43, 94, 95 Open market transactions, 14 Dealer transactions, positions, and financing, 44 Federal Reserve Bank holdings, 4,12,15,42,43 Payrolls, manufacturing index, 62 Foreign and international holdings, 12, 81, 84, 86 Personal income, 69 International transactions, 81, 84 Postal Savings System, 18, 94 New issues, gross proceeds, 46 Prices: Open market transactions, 14 Consumer and wholesale commodity, 62, 66 Outstanding, by type of security, 42, 43, 45 Security, 35 Ownership of, 42, 43 Prime rate, commercial banks, 33 Yields and prices, 34, 35, 91 Production, 58, 62 United States notes, 16 Profits, corporate, 48, 49 Utilities, production index, 59, 62 Real estate loans: Veterans Administration, 50, 51, 52, 53 Banks, by classes, 24, 27, 37, 50 Delinquency rates on home mortgages, 52 Weekly reporting banks, 26 Mortgage yields, 53 Type of holder and property mortgaged, 50, 51, 52, 53 Yields (See Interest rates) Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

BOUNDARIES OF FEDERAL RESERVE DISTRICTS AND THEIR BRANCH TERRITORIES Minneapolis^1] Chicago OmaJla!1 jCjnctrmatijl Kansas St.Louxs XhorCottc Oklahoma Citt) Dallas Jiousam ■Antonio* ‘Drawn by'RW GjoCvin, Cart A (O THE FEDERAL RESERVE SYSTEM g) a HAWAII Legend Boundaries of Federal Reserve Districts -----Boundaries of Federal Reserve Branch Territories © Board of Governors of the Federal Reserve System ® Federal Reserve Bank Cities • Federal Reserve Branch Cities Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis