Federal Reserve Bulletin, 1971-03
FEDERAL RESERVE BULLETIN * * * * * * * * v . CL * MARCH 1971 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 3 □ VOLUME 57 □ MARCH 1971 CONTENTS 167 Mortgage, Construction, and Real Estate Markets 179 Bank Financing of Mobile Homes 183 Financial Developments in the Fourth Quarter of 1970 189 Treasury and Federal Reserve Foreign Exchange Operations 209 Response of State and Local Governments to Varying Credit Conditions 233 Statements to Congress 246 Law Department 265 Announcements 267 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 107 Board of Governors and Staff A 108 Open Market Committee and Staff; Federal Advisory Council A 109 Federal Reserve Banks and Branches A 110 Federal Reserve Board Publications A 114 Index to Statistical Tables Map of Federal Reserve System on Inside Back Cover EDITORIAL Charles Molony J. Charles Partee COMMITTEE 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
Mortgage, Construction, and Real Estate Markets OUTLAYS for new construction have continued upward from their recent low of last July as conditions in markets for both shortand long-term funds have eased dramatically. While nonresidential construction activity also turned up this winter, the over-all recovery has been dominated by residential building, which— along with construction outlays by State and local governments —had been most restricted during the preceding period of mone tary stringency. Meanwhile, housing starts, which lead residential outlays, have persisted on a vigorous, though irregular, recovery path from the low reached in early 1970—shortly after monetary policy had turned toward ease. With monetary policy continuing easier and over-all economic activity generally sluggish, the supply of mortgage funds has been exceptionally large this winter. This development has reflected, in particular, a sustained expansion of savings flows to depositary institutions as interest rates on market securities have plummeted and uncertainties about employment and inflation have contrib uted to an exceptionally high rate of personal savings, both in absolute terms and in relation to income. As a result, lenders’ liquidity positions, which had been drastically reduced earlier, have been replenished and outstanding mortgage commitments reported by thrift institutions have advanced toward new peaks. Under these conditions, mortgage yields have dropped pre cipitously further this winter from the historic highs reached dur ing 1970, thereby bolstering the likelihood of a broad further accommodation of pent-up requirements for both new and exist ing homes this year. Enhancing such possibilities, builders have continued to shift the composition of their output toward Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
168 FEDERAL RESERVE BULLETIN □ MARCH 1971 SAVINGS FLOWS at thrift institutions go to 1 new high and residential mortgage commitments follow RATIO SCALE, BILLIONS OF DOLLARS 40 “Net savings inflows” are for savings and loan associations and mutual savings banks at seasonally adjusted annual rates. “Residential mortgage commitments outstanding,” which in clude some nonresidential, are seasonally adjusted end-of-quarter totals for savings and loan associations and for New York State mutual savings banks. Latest data, Q4. smaller and more readily marketable units, both to cope with the difficulties caused by rising costs of land, labor, and materials and to meet the requirements of the expanded market for Government-subsidized housing. INSTITUTIONAL CHANGES To help spur the recovery in housing starts after the major hous ing recessions of 1966 and 1969, numerous additional changes in mortgage market arrangements have been instituted by the Con gress, State legislatures, and the regulatory agencies. At the Federal level these changes include attempts to improve the operating flexibility of the major financial intermediaries. They also involve ways to meet the housing needs of low- and moderateincome and other families. To implement these and related objectives, Congress passed two major pieces of legislation last year—the Emergency Home Finance Act, effective July 24, and the Housing and Urban Development Act, signed at the close of the year. The first of these Acts provided, among other items, for development of a long-sought secondary market in conventional mortgages by the Federal National Mortgage Association and a newly created agency—the Federal Home Loan Mortgage Corporation— operating under the aegis of the Federal Home Loan Bank Board. It also provided for subsidized conventional mortgages for moderate-income families on a limited basis, and for liberalized nonrate terms on construction and permanent mort gage loans made by national banks. The second Act authorized additional funds for certain of the Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MORTGAGE, CONSTRUCTION, AND REAL ESTATE 169 homeownership- and rent-subsidy programs already fully opera tive under the insured-mortgage programs of the Department of Housing and Urban Development. In addition, it provided for a comprehensive national urban growth policy, featuring a new Community Development Corporation within HUD to oversee Federal guarantees of obligations issued by both private and public developers for new towns. At the regulatory level, the FHLBB within the past few months has introduced a substantial number of liberalized operating pro cedures for Federal savings and loan associations. These include expansion of the “regular” lending area of each association to within 100 miles of any related branch office or agency—rather than of only the main office as heretofore—as long as the lending area is in the same State as the main office. In addition, to encourage lending on a broader geographic basis, limits on funds eligible for use beyond an association’s regular market territory were raised from 5 to 10 per cent of assets. Also, maximum limits on loan amounts and loan-to-value ratios were raised for both homes and vertical condominiums, and the maximum term for construction loans was increased from 24 to 36 months. A basis for expanding sources of funds for real estate invest ment was also sought through development of guidelines for the sale of securities backed by Government-underwritten mort gages pooled by private lending institutions and guaranteed by the Government National Mortgage Association. Legislation for this purpose was enacted in 1969, but as in the case of the recently instituted provision for a secondary market in con ventional mortgages, the full potential of GNMA-backed securi ties remains to be achieved. Altogether, under the GNMA pro gram which began early last year, a total of $2.6 billion in applications to guarantee such issues in the form of “pass through” participations had been received by early March. How ever, only about a third of this amount had been sold, and mainly to institutions traditionally in the mortgage market. Sales of mortgage-backed bonds by FNMA and FHLMC thus far have totaled $1.3 billion. MORTGAGE Mortgage commitments outstanding have advanced further in MARKET SHIFTS early 1971. At the same time, with mortgage yields considerably reduced from last year’s record highs, the distortions in market relationships that had been produced by ceiling-rate rigidities and by associated factors have been appreciably modified. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
170 FEDERAL RESERVE BULLETIN □ MARCH 1971 Mortgage terms. Within the primary market, contract interest rates for conventional first mortgages on new homes averaged 7.75 per cent in February. While this was still nearly 200 basis points above the pre-1966 level, it was as much as 85 basis points below the historic peak reached last July. Rates for existing-home mortgages were following a similar pattern, according to the Federal Housing Administration. Nearly all of the decline from earlier rate peaks has occurred in the past few months, a period when over-all loan demands are at a seasonal low. Until then, the need to replenish liquidity positions after the extended period of monetary stringency, the high rates still being paid to depositors, and the relatively low usury ceilings that had inhibited earlier upward adjustment of mortgage interest rates in some States—all tended to extend 2 I MORTGAGE YIELDS drop sharply this winter PER CENT PER ANNUM 10 0 and YIELD SPREAD over bonds narrows. BASIS POINTS 100 + 0 But DISCOUNTS change little. POINTS 8 4 0 Mortgage data based on FHA field-office reports for market areas of insuring office cities. For “conventional,” average interest rates are for first mortgages on new homes. For “FHAinsured,” weighted averages of private secondary market bid prices for certain new-house mortgages (shown at a discount from par in the bottom panel) converted to annual yield. Thin lines indicate periods of adjustment to changes in contractual interest rate except that for January and February 1971 data have been estimated by Federal Reserve, based on “implicit yield” FNMA purchase auction results for 6-month commitments. For corporate bonds, weighted average of new publicly offered bonds in 1964; thereafter, only those with at least 5-year call protection. (Moody’s Aaa and Aa and A adjusted to Aaa—thin line indicates period of nonrepresentative issues.) Latest data, February. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MORTGAGE, CONSTRUCTION, AND REAL ESTATE 171 the usual lag between a change in net savings inflows and a liberalization of mortgage rates. Since December, rate declines have begun to appear even in States where usury ceiling limits had been below going market rates only a few months earlier. Moreover, some intermediaries—anticipating further easing of mortgage rates—have begun to cut the rates offered depositors on some types of consumer accounts. In the more sensitive secondary market for Governmentunderwritten home mortgages, yields turned downward soon after the start of 1970, but here too the major decline began in December. This decline was aided by three consecutive monthly reductions of half a percentage point each in applicable regulatory ceilings from the record 8i per cent level that had prevailed through most of 1970. These reductions, which tended to be closely in line with the general drop in security market rates through early February, were not only the first of any size in almost a decade but also the largest in the history of Governmentunderwritten mortgages. In February 1971, secondary market yields on 7 per cent, FHA-insured home mortgages averaged less than 71 per cent, some 185 basis points below the record high yield required by lenders in this market a year earlier. As a result such yields were resuming a position below average contract rates for con ventional mortgages for almost the first time since 1966. FNMA PURCHASE AUCTION Although the gross yield differential between FHA-insured 7Hr m home loans and new issues of Aaa corporate bonds narrowed again this February, it was still somewhat more favorable to such mortgages than in some other recent months because bond yields have also experienced a substantial net reduction from their high of last June. Moreover, even after the successive re ductions in the regulatory ceiling, required discounts on FHAinsured home mortgages were only moderately higher in February than they had been in November. Yields on home mortgages were apparently moving downward further in early March, although a more severe test of the trend Bids received and accepted are for all commitments regardless of maturity. will be provided by the strength of the seasonal expansion in “Implicit yield” is average equiva lent secondary market yield implicitly real estate activity this spring. In the FNMA purchase auction offered to FNMA for purchase of mortgages on 6-month commitments for Government-underwritten mortgages on March 15—the —the type most used—after allow ance for commitment fee and re second based on the new 7-per-cent rate ceiling—yields on quired purchase and holding of FNMA stock, and assuming a 15-year 6-month forward-purchase commitments were little changed prepayment period for certain 30-year Govt.-underwritten home mortgages. from the reduced 7.4 per cent level when calculated on an Yields shown are gross before deduc tion of mortgage-servicing fee. Latest “implicit” private market basis to allow for special fees and other data, auction of Mar. 15. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
172 FEDERAL RESERVE BULLETIN □ MARCH 1971 CONVENTIONAL HOME-MORTGAGE TERMS costs required of sellers participating in this market. But related yields on 90-day commitments continued to decline, and while there was some further increase in the volume of bids received, the volume accepted by FNMA, under its new procedures adopted in late January, remained relatively limited. Increased competition among lenders for new mortgage loans has apparently been associated with much less selectivity about borrowers than was the case at this time last year. Moreover, by December there was further evidence of appreciable liberalization in maturity and loan-to-price terms, as shown in the accompany ing chart. Data from FHLBB, with cooperation of the Federal Deposit Insurance Contract rates for mortgages on multifamily and other income Corporation, are weighted averages based on probability sample survey of properties also appear to have declined considerably this winter. characteristics of first mortgages orig inated by major institutional lender And borrowers reportedly have found it much easier to negotiate groups (including mortgage compa nies) on single-family homes for pur loans whose terms do not call for equity participation arrange chase only. Latest data, January. ments with lenders. Such arrangements as a supplement to regular interest payments had become fairly widespread in 1969 and early 1970. Mortgage debt expansion. Seasonally adjusted net flows of funds into farm and nonfarm mortgages were apparently moving at an advanced rate during the early months of 1971. By the fourth quarter of last year, such flows had already expanded about 45 per cent from their low in the first quarter of the year to an annual rate of almost $30 billion—fairly near the record pace established in the first quarter of 1969. The net increase in private nonfarm residential mortgage debt in the fourth quarter of last year nearly matched the peak $23 billion annual rate reached in the first quarter of 1969. Virtually all of the upswing during the year was concentrated in mortgages on 1- to 4-family units, which, unlike 1966 and 1968 and despite exceptional support both from FNMA and the Federal home loan banks, had accounted for all of the previous drop. Net growth in commercial mortgage debt apparently also showed some recovery by the fourth quarter, but to a rate well short of the record pace set 2 years earlier. This reflected, in part, a consider able reduction in commercial building activity after early 1970 and apparently a greater reliance on nonmortgage sources of financing. Pivotal in the recovery in net mortgage lending on 1- to 4-family properties last year was the resurgence of the savings and loan associations after the first quarter to their dominant position in the mortgage market. In that quarter, net lending by Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MORTGAGE, CONSTRUCTION, AND REAL ESTATE 173 Net change in MORTGAGE DEBT rises sharply, mainly for 1- to 4-family properties NET LENDING by THRIFT INSTITUTIONS reaches a record rate RATIO SCALE, BILLIONS OF DOLLARS ■■■■■■140 TOTAL TOTAL THRIFT INSTITUTIONS TOTAL RESIDENTIAL MULTIFAMILY LIFE INSURANCE COS. ■■■I 1966 Data estimated (and converted to seasonally adjusted annual separate institutions. “Thrift institutions” are savings and loan rates) by Federal Reserve as required to supplement reports of associations and mutual savings banks. Latest figures, pre Federal agencies and private sources. Farm mortgage debt net liminary. increase is included in net increases shown for “total” and for these associations had reached the lowest rate since early 1967, leaving FNMA temporarily the major mortgage-lender. Since then, spurred in part by a special inducement from the Federal home loan banks not to repay a large portion of the record volume of advances outstanding, at least until this spring, net mortgage takings by the savings and loan associations—shown with mutual savings banks as “thrift institutions” in Chart 3— have reached a new peak. Net mortgage takings by FNMA, while still relatively high, have declined. Moreover, as the market environment eased, FNMA and also the new FHLMC began to sell mortgages, although to limited groups of lenders and in relatively nominal amounts. Among the major diversified lenders, commercial and mutual savings banks also showed some recovery in net mortgage debt expansion during the latter part of 1970. However, unlike the savings and loan associations—whose second-half surge produced a year-to-year gain for 1970 over 1969—their net increases for the year as a whole were the lowest for any year in nearly a decade. While net generation of mortgage debt by life insurance companies throughout 1970 was maintained above the reduced 1969 level, it continued to be concentrated in multifamily and Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
174 FEDERAL RESERVE BULLETIN □ MARCH 1971 other income property loans and was associated with a net reduction in 1- to 4-family mortgage holdings for the fourth successive year. NEW CONSTRUCTION Total outlays for new construction in February were at an estimated seasonally adjusted annual rate of more than $97 billion. This was 6 per cent above February a year earlier and 7 per cent above the record annual average in 1969 and 1970 as a whole. Construction costs. Increases in construction costs remained a critical factor in the advanced level of dollar outlays early this year. In 1970 such cost increases had, in fact, accelerated further to an average of nearly 9 per cent, compared with annual in creases of 7 per cent in 1969 and 5 per cent in both 1967 and 1968, as indicated by the Census Bureau’s composite index. Thus far, wage settlements in construction have remained exceptionally large. Increased Government concern over this development was manifested most recently by suspension in NEW CONSTRUCTION OUTLAYS at record high in current dollars and also up in real terms RATIO SCALE, BILLIONS OF DOLLAI TOTAL CURRENT DOLLARS aagSBw 1957-59 DOLLARS as RESIDENTIAL continues upturn while NONRESIDENTIAL rises PRIVATE RESIDENTIAL PUBLIC PRIVATE NONRESIDENTIAL Census Bureau data on value of new construction put in place at seasonally adjusted annual rates in current and—for “Total”—in 1957-59 dollars. “Private residential” excludes farm structures. Recent data, preliminary; February estimated by Federal Reserve. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MORTGAGE, CONSTRUCTION, AND REAL ESTATE 175 February of the Davis-Bacon Act covering wages on federally related construction projects. Indications are that land costs— an item not included in the figures for construction outlays—also have continued to rise. By contrast, costs of building materials as a whole have remained relatively stable, although prices of lumber, which had receded considerably since early 1969, moved appreciably higher in late winter. Nonresidential. Seasonally adjusted outlays for new private nonresidential construction, which had remained somewhat below the current-dollar peak reached in the first quarter of 1970, turned sharply upward to a new high this winter. Expenditures for commercial buildings, which had been in a particularly marked decline since early 1970, accounted for most of the recent over-all rise. In the industrial sector, where excess capacity and reduced profits have tended to temper investment plans, outlays have remained relatively low, although the recently liberalized depreciation allowances on equipment investment for tax purposes should in time help to stimulate spending. Ex penditures for hospitals, schools, and other types of private non residential buildings shared in the recent rise, but also continued to be short of earlier peaks. Outlays for telephone and telegraph installations and other nonbuilding projects—in a steady uptrend through most of last year—have held at a very advanced rate. Outlays for public construction—mainly State and locally owned projects—slowed considerably during 1969. While such outlays have increased again since last spring as some Federal funds that had been restricted earlier have been released, the in crease thus far has been limited mainly by the earlier inability or unwillingness of State and local authorities to secure necessary financing under the restrictive market conditions that had pre vailed. However, with the market for municipal bonds con siderably improved since mid-1970, building and other construc tion plans of such authorities appear now to be reviving. Residential. Residential construction outlays have advanced very sharply since mid-1970, led by the surge in housing starts that began during the second quarter. In the first 2 months of 1971, private housing starts were holding close to the exception ally high seasonally adjusted annual rate of 1.78 million units reached in the fourth quarter. Then special factors, including favorable weather, had contributed to an extraordinary rate of 2 million units for December, the highest for any month in more than two decades. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
176 FEDERAL RESERVE BULLETIN □ MARCH 1971 While starts totaled 1.43 million units for all of 1970, some what short of the 1969 total, the seasonally adjusted rate in the fourth quarter was as much as two-fifths above the low in the first quarter. Moreover, in the fourth quarter single-family starts exceeded the 1-million-unit annual rate for the first time since early 1964, and the rate of multifamily starts in that quarter virtually matched the record 773,000-unit peak established in the first quarter of 1969. HOUSING STARTS hold in advanced range after recovery ... as do MOBILE HOME shipments 1965____________1967____________1969__________’71 Census Bureau data for private housing starts, including farm, at seasonally adjusted annual rates, converted to quarterly averages through 1970 by Federal Reserve to allow for volatility in the monthly series. “Multifamily” includes 2 or more units. Mobile Homes Manufacturers Association data for mobile home shipments, converted to seasonally adjusted annual rates by Census Bureau. Latest figures—for housing starts, Jan.-Feb. average; for mobile home shipments, Jan. Altogether, multifamily units in 1970 accounted for more than two-fifths of total starts for the third consecutive year, com pared with a maximum share of not much above a third in other recent years. One factor tending to sustain the high share for multifamily starts has been the continuing greater willingness and ability of multifamily builders to bid aggressively for mortgage as well as other sources of funds. Such bidding has been supported in part by the ongoing opportunity to utilize accelerated depre ciation allowances on new apartment buildings; this opportunity had been restricted in the case of nonresidential building under Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MORTGAGE, CONSTRUCTION, AND REAL ESTATE 177 HOUSING STARTS the Tax Reform Act of 1969. Also, the need to use available land THOUSANDS OF UNITS TOTAL MOI^SUBSIDIZSED SUBSIDIZED more intensively has continued to orient builders to such housing. 1-FAMILY MULTIFAMILY Of critical importance in the over-all performance of both single-family and multifamily starts last year, however, was the i i m greatly increased momentum attained by the subsidized interest b rate and rental programs for low- and moderate-income families conducted by HUD and the Farmers Home Administration. H a..— ’M 711 H ’70 Altogether, in a year when interest rates for nonsubsidized Totals are Census Bureau data for both public and private starts in borrowers reached historic highs, starts generated by the major cluding farm. Subsidized single-family units based on HUD data for Section subsidy programs—two of them very new—more than doubled, 235 starts, combined with Farmers Home Administration data on Section moving from 14 per cent of the public and private total in 1969 502 loans obligated, adjusted by Fed eral Reserve to exclude rehabilitated to 30 per cent in 1970. Such starts appreciably exceeded 400,000 units. Subsidized multifamily starts include publicly owned starts as re units, surpassing for the first time the average annual rate en ported by the Census Bureau, com bined with starts reported by HUD visioned by the Congress in 1968 for this part of the 10-year under the following programs—Sec tion 236, low-rent-public housing, housing production goal. rent-supplement, and Section 221 (d)(3). 1970 data, preliminary. In the fourth quarter of last year, subsidized starts exceeded a third of the total and were a conspicuous factor in the exception ally high over-all starts rate reached in December. Reflecting this development, the pace slowed temporarily in January of this year. While appropriations for certain of the major programs in the fiscal year 1971 have been largely committed, Government ex pectations are that subsidized starts may exceed 500,000 units in calendar 1971, based in part on the greater economy in the use of available funds permitted by the recent substantial drop in market interest rates. Such rates may be reduced by subsidy pay ments to as little as 1 per cent for eligible borrowers. Mobile home shipments were also at an advanced rate early this year. However, reflecting a substantial sag in the first quarter of last year, the 1970 total fell short of the 1969 high of 413,000 units after a record of sustained year-to-year increases that had persisted since 1961. While the recent provision of Govern ment-underwritten loans and other financing arrangements made available last year should prove helpful, inability to develop sufficient space in mobile home parks after the record surge in shipments from 1967 through 1969 has tended to dampen further growth. Also, in the market for low-cost shelter that mobile homes primarily serve, competition from subsidized conventionally built houses has recently become an important factor. Moreover, builders in both the subsidized and nonsubsidized markets have generally shifted to smaller and more attractively priced houses as Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
178 FEDERAL RESERVE BULLETIN □ MARCH 1971 - H - O - M - E - P - R - I - C - ES - - - - M-E-R-CH-ANmT BmUILmDEwRStmm resistance to higher-priced houses has grown. As a result, the median price of new homes sold by merchant builders in 1970 declined for the first time in the 7-year history of the series, to $23,500, compared with $25,600 in 1969. Median prices of homes available for sale also declined. While prices of existing homes sold in 1970—at a median of $23,040—rose 6 per cent from a year earlier, this rate com pared with a 9 per cent year-to-year rise in 1969, according to Census Bureau data (under HUD contract), based on probability the National Association of Real Estate Boards. The slowing re sample of new one-family homes available from merchant builders and flected, in part, an expansion in offerings particularly of lowerfor which building permits have been issued or, in non-permit areas, on priced homes financed with Government-underwritten mortgages, which construction has started. Homes for sale or sold may be at any as discounts on such mortgages—which must largely be absorbed stage of construction. Both actual and intended sales prices are medians. directly by sellers—became less burdensome. In January, sales Latest data, 1970. of both new and used homes were continuing substantially above a year earlier; and abetting this trend, a recent suspension of a major HUD subsidy program for existing homes because of irregularities was lifted by mid-February in some areas. Thus far in the recovery of housing activity, both homeowner and rental vacancy rates have remained exceptionally low. In the fourth quarter of last year—the latest period for which there are data—such rates averaged 1.0 and 4.8 per cent, respectively, of units available and fit for use—among the lowest for any fourth quarter in the history of the quarterly series that began in 1956. This pattern was quite uniform in all regions as shown by the sensitive rental-vacancy-rate series, even though rents generally have continued to rise. 6 I RENTAL VACANCY RATES remain generally low SOUTH \ NORTH CENTRAL NORTHEAST H I m i ! ! 1 1 1 Census Bureau data. Vacancy rates relate to vacant, not dilapidated dwellings available for rent. Latest figures, Q4. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
Bank Financing of Mobile Homes Mobile homes have become a significant standard 12-foot width, which now accounts factor in the housing market in recent years. for 84 per cent of the new mobile home During the past 2 years they accounted for market.2 In addition, double-width and ex nearly one-third of the total new supply of pandable mobile homes are available for single-family shelter units, and by far the those desiring still more space. And finally, majority of those valued under $15,000. many attractive mobile home parks have The relative importance of mobile homes been developed in recent years to accommo has doubled since the mid-1960’s.1 For date this type of housing. purposes of this article, the term “mobile The trend toward more spacious mobile home” refers to a complete dwelling unit homes has resulted in higher prices and built on a chassis and capable at time of larger loans. In the past most purchases of purchase of being towed over the highway by mobile homes have been financed through truck but not by car; travel trailers are banks and finance companies. But the lend excluded. ing powers of savings and loan associations The demand for mobile homes, which recently have been expanded to include some mobile home financing. Furthermore, continued to grow almost without inter in 1970 special provisions by the Veterans ruption until 1970, may be attributed, in Administration made available direct loans part, to several factors: One, such homes for purchases of mobile homes; thus far, are considerably less costly, on average, however, little use is believed to have been than single-family dwellings, and they are made of such financing. sold virtually furnished. Second, mobile Despite the growth in the use of mobile home loans have become more readily homes, no comprehensive statistics have available. Mobile home loans to consumers been available on the total amount of credit are customarily made as instalment loans, provided for such purchases. In order to rather than as mortgage loans; the latter determine the extent of bank participation have lower interest rates and longer terms. in such financing, a supplemental question In recent periods of tight money, it was of naire was added to the June 30, 1970, Call ten easier to obtain an instalment loan to Report for all banks. The results of this ques buy a mobile home than to get mortgage tionnaire are shown below. The 1970 Survey funds for purchase of conventional housing. of Finance Companies requested similar Third, mobile homes have become more data from those companies, and the results widely acceptable as family living accom will be published in a forthcoming issue of modations because of their increased size the B ulletin. and amenities. The 8- and 10-foot widths Responses to the Call Report question common in the past have given way to a naire revealed that banks held approximately $3.2 billion of mobile home credit on June 1 See chart on page 176 of this B ulletin. 30, 1970 (Table 1). The widespread avail N ote.—This article was prepared by Mrs. ability of this type of financing is evidenced Katharyne P. Reil, Economist in the Consumer Credit and Finances Section, of the Board’s Division of Re - Mobile Homes Manufacturers Association, Mo search and Statistics. bile Home Financing, 1969. 179 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
180 FEDERAL RESERVE BULLETIN □ MARCH 1971 TABLE 1 TYPES OF BORROWERS: MOBILE HOME CREDIT OUTSTANDING AT COMMERCIAL BANKS, JUNE 30, 1970 By Federal Reserve district Amount outstanding (in millions of dollars) to— Number of banks with loans to— Federal Reserve Businesses (1C) Businesses (1C) district Indi Indi Total vi ( d I u S a ) ls Fa ( r i m b) ers Total Floor- Total vi ( d i u a a ) ls Fa ( r l m b) ers Total Floorplanning planning Boston...................................... 93.4 80.4 .1 12.9 7.9 219 211 11 67 52 New York................................. 196.9 163.9 .4 32.6 14.4 228 212 33 90 -fV S Philadelphia............................. 189.9 174.4 .9 14.6 r 11.5 292 272 35 106 78 Cleveland................................. 253.1 220.9 5.6 26.6 f n -8 623 602 75 156 112 Richmond................................. 272.1 239.0 2.3 30.8 15.1 520 502 82 152 107 Atlanta..................................... 502.3 440.5 4.5 57.3 33.3 1,261 1,197 216 446 322 Chicago.................................... 522.6 467.8 4.1 50.7 42.6 1.829 1,749 329 440 351 St. Louis................................... 210.8 179.6 5.4 25.8 15.0 1,252 1,106 318 344 236 Minneapolis............................. 99.2 81.3 4.3 13.6 10.5 1,045 919 350 196 133 Kansas City............................. 217.5 181.7 4.2 31.6 21.4 1,481 1,347 378 315 216 Dallas....................................... 155.6 128.1 1.9 25.6 18.5 930 858 117 314 232 San Francisco........................... 462.6 405.8 5.0 51.8 41.1 323 306 52 126 99 All districts........................... 3,176.0 2,763.4 38.7 373.9 243.1 10,003 9,281 1,996 2,752 2,010 i Amounts represent financing of the purchase of new and used mobile homes (direct loans and purchased paper) included in Schedule A of the Call Report of Condition, as part of the following: (a) Item 6 (c), “Loans to individuals to purchase other retail consumer goods,” (consumer instalment loans); (b) Item 4, “Loans to farmers”; and (c) Item 5, “Commercial and industrial loans,” (business purchases). by the fact that more than 10,000 banks— ment credit outstanding at commercial banks about three-quarters of all commercial banks and for an even larger proportion of non —reported such credit outstanding. Nearly automotive consumer goods credit, in which seven-eighths of the mobile home credit in mobile home loans are classified. commercial banks’ loan portfolios was re Banks with large instalment loan port ported as consumer instalment loans. Most folios—$50 million or more—held more of the remainder was in loans to businesses. than one-third of the mobile home loans Loans to farmers for the purchase of mobile outstanding, even though building codes or homes constituted only 1 per cent of the zoning restrictions often prevent the use of total. mobile homes in large cities or metropolitan Bank financing of mobile homes for busi areas (Table 2). Banks having less than $20 nesses covers a wide variety of purposes, but million in instalment loans held one-half of about two-thirds of this credit was used for the mobile home total, about equally divided financing retailers’ inventories of mobile between banks in the $5 million to $20 mil homes. The remainder was scattered among lion class and banks with less than $5 loans to finance the purchase of mobile units million. The under-$20-million groups, for such uses as engineering headquarters or which include few large city banks, also storage at construction sites, temporary provide nearly three-fifths of all floor-plan banking and school facilities, and interim financing of dealer inventories. office space at new or expanding factories. Consumers’ indebtedness to banks on Replies to the Call Report questionnaire mobile homes accounted for a substantial indicated that, as a group, banks making part of the nonautomotive consumer goods mobile home loans to individuals were total—nearly one-half for banks that were also active in other types of instalment lend financing mobile homes, and about twoing to consumers. These banks accounted fifths for all commercial banks (Table 3). for about four-fifths of all consumer instal The proportion for banks with mobile home Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
BANK FINANCING OF MOBILE HOMES 181 TABLE 2 banks financing mobile homes were located DISTRIBUTION OF MOBILE HOME LOANS outside of Standard Metropolitan Statistical OUTSTANDING AT COMMERCIAL BANKS Areas, but the mobile home paper they held In per cent represented about two-thirds of the total for all banks in the United States. Size category Loans to Floor-plan (in millions of dollars) individuals loans A. Total instalment loans: TABLE 3 Under 5............................................... 25 27 5-20...................................................... 24 31 IMPORTANCE OF MOBILE HOME CREDIT 20-50.................................................... 16 17 OUTSTANDING IN CONSUMER CREDIT 50 and over......................................... 35 25 TOTALS AT COMMERCIAL BANKS All size groups................................ 100 100 B. Total deposits: In per cent Under 10............................................. 9 10_25 .................................................. 14 25-50.................................................... 15 At banks with 50-100.................................................. 9 At all banks, mobile home 100-500................................................ 25 relative to— credit, 500-1,000............................................ 12 relative to— 1,000 and over................................... 16 Federal Reserve district Total Nonauto Total Nonauto All size groups................................ 100 >-■5' instal motive instal motive ment goods ment goods credit credit credit credit credit was somewhat larger than the average 4 39 5 47 in four Federal Reserve districts—New 3 30 7 54 Philadelphia..................... 6 50 9 55 York, Philadelphia, Atlanta, and Chicago— 5 46 6 49 6 40 6 45 and considerably smaller—less than 30 per 9 47 10 51 cent—in the Dallas District. 7 39 9 50 8 43 8 46 Bank holdings of mobile home credit at Minneapolis..................... 6 27 8 40 the end of June 1970 varied widely among Kansas City..................... 7 42 8 47 4 26 5 29 the 12 districts. The Atlanta, Chicago, and San Francisco.................. 6 43 6 44 San Francisco Districts had the largest All districts.................. 6 40 7 47 shares, and together they accounted for Note.— Figures for mobile home credit in this table represent consumer instalment loans outstanding for purchase of mobile homes. nearly one-half of all bank loans outstanding to consumers for mobile homes. The Boston Many States with low per capita income and Minneapolis Districts had the smallest were among the largest in bank holdings of holdings, each with only 3 per cent of the mobile home paper. These States generally U.S. total; the Dallas District held only 5 have large rural populations and low land per cent even though it included Texas, one values, sometimes combined with a warm of the top 10 States in amount of mobile climate conducive to mobile home living. In home credit outstanding. Approximately contrast, several States with large industrial one-third of all mobile home loans outstand or urban areas and high per capita income ing were in four States—California, Pennsyl also rank high in mobile home lending. vania, Florida, and Michigan (Table 4, These include Pennsylvania, California, page 182). About 3,000 of the 10,000 Michigan, Ohio, Illinois, and Indiana. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
FEDERAL RESERVE BULLETIN □ UTSTANDING AT COMMERCIAL BANKS, JUNE 30, 1970 Area I (in millions of dollars) to— Number of banks with loans to— Businesses Indi Indi Total viduals Farmers Total viduals Total Floorplanning nnin 95.8 82.8 .1 12.9 7.9 223 215 11 53 6.7 6.4 0) 0) 19 17 5 11.5 10.3 1.2 1.2 36 35 12 57.0 47.3 9.7 5.0 63 60 18 10.0 9.3 (2) .7 .5 62 61 11 .6 .2 0) 0) 4 3 1 10.0 9.3 .1 .6 .5 39 39 6 438.8 387.5 1.3 50.0 28.6 578 541 71 158 69.4 57.4 (2) 12.0 3.9 66 57 1 22 127.1 105.4 .4 21.3 10.7 183 172 32 56 242.3 224.7 .9 16.7 14.0 329 312 38 80 603.9 527.9 4.6 71.4 38.0 ,277 1,224 207 315 2 8 5 . . 2 7 23 . . 2 7 ( 0 2 ) ) 0 2 ) .0 0 2 ) .0 11 4 1 4 0 2 1 4 1 227.5 195.0 .7 31.8 17.3 388 371 30 142 76.9 68.7 1.6 6.6 3.5 340 323 93 60 10.0 8.6 .2 1.2 .9 62 59 9 13 135.3 122.3 .6 12.4 6.8 75 71 23 23 14.3 13.8 .1 .4 (2) 72 69 11 4 64.9 59.9 .8 4.2 3.6 169 165 24 26 41.1 35.7 .3 5.1 3.5 156 152 14 42 705.7 625.8 5.4 74.5 51.0 ,291 2,192 392 472 140.5 120.9 1.7 17.9 12.0 755 709 127 123 139.4 126.1 1.1 12.2 10.6 352 337 54 93 216.4 199.7 .7 16.0 15.2 283 274 45 92 155.5 134.4 .5 20.6 6.0 438 425 49 87 53.9 44.7 1.4 7.8 7.2 463 447 117 77 242.7 214.8 8.1 19.8 14.3 790 724 167 159 55.7 50.5 .9 4.3 2.6 207 198 33 43 37.6 28.4 5.6 3.6 2.5 237 209 58 33 19.3 16.4 .4 2.5 2.0 108 95 24 21 130.1 119.5 1.2 9.4 7.2 238 222 52 62 289.8 242.8 8.4 38.6 26.7 ,569 2,284 741 339 42.3 35.5 1.1 5.7 4.2 466 432 113 59 48.3 41.0 1.4 5.9 4.8 463 406 141 55 49.8 41.7 1.5 6.6 5.2 577 500 164 74 104.4 89.0 2.5 12.9 6.8 556 497 142 94 26.9 21.2 .6 5.1 3.5 267 238 71 38 8.2 6.2 .7 1.3 1.2 123 112 61 12 9.9 8.2 .6 1.1 1.0 117 99 49 7 219.8 177.6 3.9 38.3 24.0 ,532 1,398 260 329 15.9 11.5 .7 3.7 2.3 201 177 56 43 38.7 31.5 .4 6.8 3.2 172 155 23 39 29.3 21.8 1.2 6.3 2.8 335 308 84 57 135.9 112.8 1.6 21.5 15.7 824 758 97 190 248.5 212.3 2.7 33.5 24.4 495 466 116 110 72.8 66.5 .2 6.1 5.7 11 11 4 5 71.7 60.2 .6 10.9 7.5 202 197 33 34 17.3 13.1 .3 3.9 2.0 20 17 9 5 14.6 11.5 .9 2.2 .9 93 81 36 15 30.2 27.1 .1 3.0 1.3 8 8 2 4 17.4 15.7 0) 1.5 1.5 56 54 8 20 14.3 9.4 .2 4.7 4.5 40 37 7 11 10.2 8.8 .2 1.2 1.0 65 61 17 16 329.4 290.5 4.2 34.7 28.1 246 235 31 75 15.8 13.0 (2) 2.8 2.4 9 9 1 5 248.4 223.3 3.0 22.1 18.5 116 113 7 31 (2) (2) 1 1 25.0 21.8 .5 2.7 2.2 45 44 7 ‘ii 40.2 32.4 .7 7.1 5.0 75 68 16 27 0) 0) 0) 2 2 1,176.0 2,763.4 38.7 373.9 243.1 ,003 9,281 1,996 in U.S. total. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
Financial Developments in the Fourth Quarter of 1970 Interest rates in all markets declined sub gotiable certificates of deposit—advanced at stantially during the final quarter of 1970, a 9.2 per cent annual rate in the fourth and fund availability at financial institutions quarter and 8.3 per cent for the year. expanded further. Short-term interest rates BANK RESERVES AND BORROWINGS extended the decline begun in the preceding quarter, and by year-end some rates were at 30 their lowest levels in more than 2 years. Rates in longer-term markets also dropped considerably despite a heavy new-issue vol ume of corporate, municipal, and U.S. Treasury securities. The Federal Reserve reduced the discount rate in two steps to a level of 5 Vi per cent effective December 1, while the rate charged prime customers by banks was cut a total of % of a percentage point. Since year-end, the rate declines in all of these areas have been extended. Interest-bearing deposits at banks and nonbank thrift institutions rose at a rapid pace as the drop in interest rates on market securities made these claims relatively more attractive. Demand deposit growth slowed, however, probably reflecting in part the ef Monthly averages of daily figures for member banks. Total and nonborrowed reserves are adjusted to exclude the effects of changes in fects of the automotive strike on economic reserve requirement percentages. Nonborrowed reserves are total re serves adjusted minus member bank borrowings from the Federal activity and demands for cash balances. The Reserve. Excess reserves are total reserves less required reserves. Latest figures, December. narrowly defined money stock (currency and private demand deposits) increased at Business loan demands continued weak, a 3.4 per cent annual rate, as compared and banks used deposit inflows to build up with around a 6 per cent increase over the investment portfolios and, in part, to pay previous three quarters. For the year as a down their higher-cost commercial paper whole, narrowly defined money rose 5.4 and Euro-dollar borrowings. In addition, per cent. A broader definition of money— banks acted to moderate inflows of funds the narrowly defined money stock plus time from large-denomination CD’s by reducing and savings deposits other than large ne- rates offered on such deposits and, conse quently, CD’s increased by only about one- Note.—This report, which was sent to the Joint half the amount of the large gain in the Economic Committee of the U.S. Congress, highlights third quarter. The Board of Governors at the important developments in financial markets dur ing the autumn and early winter. the end of November announced changes 183 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
184 FEDERAL RESERVE BULLETIN □ MARCH 1971 in regulations related to banks borrowing SELECTED MONETARY AGGREGATES in the Euro-dollar market, in an attempt to Percentage annual rates of change, seasonally adjusted temper the repayment of such borrowings 1969 1970 and thus reduce the adverse impact of re Item payments on U.S. international accounts. IV I II III IV Member bank reserves MONETARY AGGREGATES Total............................. 1.4 -2.9 2.6 19.1 6.6 Nonborrowed.............. -.1 -.4 4.1 24.4 9.4 Growth in the narrowly defined money stock Concepts of money1 Mi................................. 1.6 5.9 5.8 6.1 3.4 (A/j) slowed during the fourth quarter of M2................................. 1.6 3.4 8.4 11.0 9.2 Mz................................. 1.6 2.6 7.9 10.5 9.7 1970 despite the sharp decline in interest Bank credit2 Bank credit proxy adrates. Expansion in M1 was held down by 2.0 .5 6.5 17.2 8.3 the reduced rate of growth in private de MEMO (change in bil lions of dollars, sea mand deposits that was probably associated sonally adjusted): Large CD’s............... -.8 .3 1.7 8.5 4.3 with the dampening effect of the automotive strike on economic activity. Demand de 1 M1 is currency plus private demand deposits adjusted. M2 is Mi plus bank time and savings deposits adjusted other than posits increased at less than a 1 per cent large CD’s. M3 is M2 plus deposits at mutual savings banks and savings and annual rate during the October-November loan associations. 2 Total member bank deposits plus funds provided by Euro-dollar period, but growth then accelerated to about borrowings and bank-related commercial paper. a 6V2 per cent annual rate during Decem sta N nd o i t n e g .— in C t h h a e n l g a e s s t m ar o e n t c h a l o c f u l e a a t c e h d q f u ro a m rte r t . he average amounts out ber following settlement of the strike. Interest-bearing deposits at banks and justed, or about one-half the increase in the nonbank thrift institutions grew at an ac preceding quarter. celerated pace during the last quarter of This rise in CD’s during the quarter was 1970 as declines in market rates of interest more than offset by declines in nondeposit made depositary claims increasingly attrac sources of funds. With CD’s readily avail tive. At banks the rapid growth in time and able, banks chose to reduce higher-cost savings deposits other than large CD’s— borrowings through the commercial paper principally consumer-type accounts—offset and Euro-dollar markets. Bank-related some of the reduced growth in Mv Includ commercial paper outstanding declined ing such interest-bearing deposits, this nearly $2.9 billion from the September broader concept of money (M2) increased average to the December average; repay much more rapidly than M1. At the same ments were stimulated, in part, by the added time net inflows of deposits to nonbank relative cost of such funds due to the impo thrift institutions also continued to expand sition of reserve requirements in September strongly. on commercial paper sold by affiliates with Banks continued to acquire a consider the proceeds channeled to the bank. Euro able volume of funds from sales of large dollar liabilities of banks to their foreign CD’s, but their desire to attract such funds branches declined about $2.2 billion from was appreciably less than in the quarter the September average to the December earlier. In view of weak loan demands and average, as interest rate differentials the liquidity rebuilding that had already throughout the fourth quarter favored do been accomplished, banks reduced offering mestic sources of funds. In order to rates on CD’s throughout the quarter as strengthen the inducement for American market interest rates were dropping. Hence, banks to retain their Euro-dollar liabilities, CD’s rose by $4.3 billion seasonally ad- the Board of Governors at the end of Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
FINANCIAL DEVELOPMENTS, Q4 1970 185 November announced amendments to its Treasury financing operations. But securi Regulations D and M governing member ties other than Treasury issues increased bank reserves and foreign branches of mem $6.8 billion seasonally adjusted, or at about ber banks. The amended rules raised from a 35 per cent annual rate—the highest 10 to 20 per cent the reserve ratio appli growth rate on record for a quarter. The cable to a member bank’s Euro-dollar bulk of these securities were short- and in borrowings that exceed a specified reserve- termediate-term municipals, although banks free base and applied an automatic down began to acquire longer-term issues in in ward adjustment feature to reserve-free creasing volume given their already im bases based on total deposits. While the proved liquidity positions and the sizable usually large changes in fund flows around yield advantage of longer-term issues. the turn of the year make it particularly Total loans outstanding, adjusted to in difficult to gauge the near-term effect of clude loans sold, fell during the fourth the new regulations, the rate of Euro-dollar quarter, mainly influenced by the large de repayments nonetheless slowed late in the cline in business loans. Loans to commer quarter. cial and industrial firms declined in each of the 3 months of the quarter, following a modest gain during the preceding quarter. BANKS’ USES OF FUNDS Business demands for short-term bank credit Banks continued to acquire securities in were constrained by sluggish economic ac large volume during the final quarter of tivity and by efforts on the part of busi 1970, as inflows of funds remained sub nesses to lengthen their debt structures, with stantial and demand for business loans was some of the proceeds of capital market fi quite weak. Holdings of U.S. Government nancings used to repay bank debt. Security securities increased much less than in the loans and consumer instalment loans also preceding two quarters despite several evidenced weaker patterns; the latter were BANK CREDIT-components CHANGE, BILLIONS OF DOLLARS U.S. GOVT. SECURITIES BANK LOANS-major components OTHER SECURITIES NONBANK SAVINGS ACCOUNTS , 2 f t RP/U PtsTATP o TOTAL LOANS SB™ — 1.. 0 SECURITY _____ n _ ■ 2 04 01 is 03 84 Q4 Q2 03 1969 _______________1970______________ 1969 1970 Seasonally adjusted. Loans adjusted for transfers between banks and their holding companies, affiliates, subsidiaries, or foreign branches Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
186 FEDERAL RESERVE BULLETIN □ MARCH 1971 influenced in part by the effects of the auto NET CHANGE IN MORTGAGE DEBT OUTSTANDING motive strike. Mortgage loans, however, In billions of dollars, seasonally adjusted quarterly data continued to rise from the second-quarter low as the effects of easier lending policies 1969 1970 and strong demands began to be reflected Item IV I II III IV * in increased disbursements of mortgage credit. By December, real estate loans were 6.3 5.1 5.9 6.7 7.4 Residential................... 4.6 3.4 4.2 5.3 5.6 rising at the fastest rate for the year, al Other i........................... 1.7 1.6 1.6 1.5 1.7 though this expansion was still somewhat 1 Includes commercial, farm, and other nonresidential properties. Totals may not add because of rounding. below the record pace of late 1968 and * Estimated. early 1969. Banks generally eased their lending poli quarters, both the residential and nonresi cies further during the quarter in view of dential sectors contributed to the total in increased fund availability and weaker loan crease, though the rate of expansion of non demands. The prime rate charged by banks residential mortgage debt was still relatively was reduced XA percentage point three times low. Net residential mortgage debt rose to a to a level of 63A per cent late in December. seasonally adjusted quarterly rate of $5.6 Lending terms and conditions other than in billion, just below the record rate achieved terest rates also were relaxed, except with in the first quarter of 1969. Underlying the respect to standards of creditworthiness. latest quarterly advance was a further ac celeration of residential mortgage lending activity at the savings and loan associations, NONBANK INTERMEDIARIES AND THE which more than offset a moderate reduction MORTGAGE MARKETS in the rate of mortgage takings by the Fed Net deposit inflows to thrift institutions con eral National Mortgage Association. tinued to improve in the fourth quarter of 1970, growing at a seasonally adjusted rate FUNDS RAISED IN SECURITIES MARKETS of 11.5 per cent, up from the 9.3 per Corporate offerings of new debt and stocks cent third-quarter rate. The rate of personal rose again in the fourth quarter of 1970. saving remained relatively high, as in earlier The volume of public bond issues by large quarters, and the savings institutions also manufacturers, public utilities, and com benefited from the favorable yield differen munications firms remained at record levels. tials that developed over the period as rates Furthermore, as yields on new long-term on money market instruments declined fur debt issues plunged, a number of firms in ther. Mutual savings banks and savings and the transportation, financial, and commerloan associations used these inflows to im prove their liquidity positions and also OFFERINGS OF NEW SECURITY ISSUES stepped up the pace of new mortgage com Monthly average in billions of dollars, not seasonally adjusted mitments. The increase in new commitment activity was particularly marked at mutual 1969 1970 savings banks, while savings and loan associ Item IV I II III IV ations continued to make new commitments Corporate securities— at the high levels set in the third quarter. 2.3 2.7 3.5 2.9 4.0 1.5 1.9 2.8 2.3 3.1 Seasonally adjusted net mortgage debt .8 .7 .7 .6 .9 formation advanced further in the final quar State and local govern ment bonds................... 1.0 1.4 1.2 1.5 2.0 ter of 1970. In contrast to the previous two Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
FINANCIAL DEVELOPMENTS, Q4 1970 187 cial industry classifications were able to enter Loan Mortgage Corporation, entered the the market in the closing months of 1970. market in late 1970, net borrowings by the Takedowns of private placements increased other housing-oriented agencies declined sharply, as is usual in the fourth quarter, and somewhat. the quarterly volume of new equity issues was the largest since late 1968. INTEREST RATES Long-term debt offerings by State and Short-term interest rates continued their local governments in the fourth quarter set downward trend during the fourth quarter, a postwar record, and the annual volume of and by year-end rates on Treasury bills, tax-exempt debt sales for 1970 resumed the commercial paper, and Federal funds were secular upward trend that had been inter 300 basis points or more below their Janu rupted in 1969. Heavy purchases of munici ary 1970 levels. For the first time since pal securities by commercial banks made it 1968, the Federal Reserve discount rate was possible for the tax-exempt market to absorb lowered, in two stages, in order to bring it the sharp increase in the supply of bonds at more into line with other money market declining yields. rates. Two further quarter-point reductions in the discount rate were made in January, FEDERAL GOVERNMENT BORROWING AND CASH BALANCE and one in early February, as market inter Quarterly totals in billions of dollars, not seasonally adjusted est rates continued to decline. Bank reliance on borrowings from the Federal Reserve was 1969 1970 reduced, however, as pressures on bank re Item IV I II III IV serve positions eased further. Yields on long-term bonds dropped dur Budget surplus or deficit. -5.6 -3.5 8.7 -7.8 -8.9 Net cash borrowings, or ing the fourth quarter in spite of heavy new repayments ( —)!.......... 5.1 2.0 -6.4 7.4 8.9 financing, especially by corporations and Other means of financing2 -.8 3.1 -1.2 1.2 -.7 State and local governments. Rates on long Change in cash balance.. -1.3 1.6 1.1 .8 -.7 term Government bonds were down by more MEMO: Net borrowing by fed than 60 basis points, while yields on corpo erally-sponsored credit agencies 3 . .. 2.9 3.6 1.5 1.6 1.5 rate and tax-exempt bonds fell about 80 and 1 Excludes effect on agency debt outstanding of transfers of certain, 90 basis points, respectively. Since rate de agencies to private ownership. 2 Checks issued less checks paid and other accrued items. clines in the short-term end of the market 3 Includes debt of FHLBB, the Federal Home Loan Mortgage Corporation, Federal land banks, Federal intermediate credit banks, had been even more precipitate, however, banks for cooperatives, and FNMA (including discount notes and spreads between long- and short-term rates bonds guaranteed by the Government National Mortgage Associa tion). remained wide. These large rate spreads per sisted through January 1971, as the rate of Federal net cash borrowing in the fourth decline in the long-term yields slowed down. quarter of 1970 rose by $1.5 billion, as Treasury receipts continued to decline at a Corporate bond yields fell about 60 basis faster rate than expenditures. Net borrowing points, but rates on long-term Government by Federal agencies was almost unchanged and municipal securities edged down by between the third and fourth quarters. Al about 10 basis points, on average. (Chart though a new agency, the Federal Home on interest rates appears on page 188.) □ Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
INTEREST RATES Monthly averages except FHA (based on quotations for one day each weighted averages of new publicly offered bonds rated Aaa, Aa, and month). Yields: U.S. Treasury bills, market yields on 3-month issues; A by Moody’s Investors Service and adjusted to an Aaa basis; U.S. prime commercial paper, dealer offering rates; FHA, weighted aver Govt, bonds, market yields adjusted to 20-year constant maturity by ages of private secondary market prices of new-home 30-year mort U.S. Treasury; State and local govt, bonds (20 issues, mixed quality), gages converted to annual yield (dashed line indicates period of ad Bond Buyer. justment of change in contractual interest rate); corporate bonds, 188 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
Treasury and Federal Reserve Foreign Exchange Operations This 18th joint interim report reflects the This report was prepared by Charles A. Treasury-Federal Reserve policy of making Coombs, Senior Vice President in charge of available additional information on foreign the Foreign Department of the Federal Re exchange operations from time to time. The serve Bank of New York, and Special Man Federal Reserve Bank of New York acts as ager, System Open Market Account. It agent for both the Treasury and the Federal covers the period September 1970 to March Open Market Committee of the Federal Re 1971. Previous reports have been published serve System in the conduct of foreign ex in the March and September Bulletins of change operations. each year beginning with September 1962. The dominant feature of the foreign ex the highest bidders. Throughout most of the change markets during the past 6 months has period, German short-term rates exerted the been the heavy flow of short-term funds strongest pull, with the result that German across the exchanges in response to interest banks and industrial firms—in seeking an rate differentials. The swing in the official escape from stringent credit conditions in settlements balance of the United States from Germany—borrowed well over $6 billion a surplus in 1969 of $2.7 billion to a deficit abroad in 1970, thereby more than account in 1970 of $10.7 billion did not reflect any ing for the $6.3 billion increase in the re deterioration in our underlying balance of serves of the German Federal Bank. The sec payments position. But, as U.S. money rates ond leading recipient of short-term money and credit conditions progressively eased in flows was the United Kingdom, where con 1970 and early 1971 while European rates sistently high money rates in relation to the lagged well behind, short-term money natu Euro-dollar market attracted a large volume rally flowed in heavy volume from the of short-term money and thereby facilitated United States to the Euro-dollar market and the remarkable progress of the United King on from there to the national money markets dom in paying off $3 billion of official debt. and central bank reserves of Europe. The Other major recipients of the overflow from great bulk of this flood of short-term money the Euro-dollar market were France, where represented repayments by U.S. banks of flows into official reserves totaled some $1.8 earlier borrowings of foreign-owned funds billion in 1970, Italy, Belgium, the Nether from the Euro-dollar market. Thus, the lands, and Switzerland. Euro-dollar debt of U.S. banks to their over As these flows of short-term dollar funds seas branches plummeted from a peak of moved across the European exchange mar $15 billion outstanding in October 1969 to kets, all the major European currency rates less than $8 billion at the close of 1970 and were pushed up toward their official ceilings. has declined still further so far in 1971. At these levels the European central banks The resultant overflow of dollars from the were required to absorb dollars from the Euro-dollar market into the European market and, in the process, were in some money markets was naturally attracted to instances forced to dilute their own credit re 189 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
190 FEDERAL RESERVE BULLETIN □ MARCH 1971 straint policies by injecting new liquidity early 1971, these central banks repeatedly into their commercial banking systems. It is requested the Federal Reserve to draw on not surprising, therefore, that several Euro the respective swap lines (Table 1) so as to pean governments and central banks have absorb such surplus dollars. In contrast to taken action to restrain the access of their earlier experience, virtually none of these nationals to the short-term credit facilities of Federal Reserve drawings on the swap lines, the Euro-dollar market. In the absence of totaling $1,680 million since January 1, similar restraining action by the German 1970, have proved reversible through market Government, the Federal Bank felt it had no transactions. alternative but to mop up inflows of new liquidity by increasing bank reserve require TABLE 1 ments and thus setting the stage for renewed FEDERAL RESERVE RECIPROCAL CURRENCY ARRANGEMENTS inflows. In millions of dollars On the U.S. side, the Federal Reserve Amount of sought to temper the rundown of Euro-dollar Institution facility, Mar. 10, debt by U.S. banks by raising, on Novem 1971 ber 30, 1970, the marginal reserve require Austrian National Bank.............................................. 200 ments of U.S. banks on liabilities to their National Bank of Belgium.......................................... 500 Bank of Canada............................................................ 1,000 branches, and in early 1971 the Export-Im- N Ba a n ti k o n o a f l E B n a g n l k a n o d f . . D ... e .. n .. m .... a .. r . k .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,0 2 0 0 0 0 port Bank offered the branches issues of 3- Bank of France............................................................. 1,000 German Federal Bank.................................................. 1,000 month securities totaling $1.5 billion. By 1,250 1,000 amendment of Federal Reserve regulations Bank of Mexico............................................................ 130 these securities can be counted against the Netherlands Bank......................................................... 300 Bank of Norway........................................................... 200 marginal reserve-base level. In effect, the Bank of Sweden............................................................ 250 Swiss National Bank.................................................... 600 operation absorbed dollars that otherwise Bank for International Settlements: Swiss francs/dollars.................................................. 600 might have flowed back to the Euro-dollar Other authorized European currencies/dollars.... 1,000 market. Total.................................................................. 11,230 Financing by the United States of the un usually high official settlements deficit in In October 1970, and in early March 1970 was facilitated by the fact that a sub 1971, the Federal Reserve drew a total of stantial part of dollar reserve gains abroad $450 million equivalent on its swap line with favored those countries that were in the the Swiss National Bank (Table 2). These process of rebuilding depleted dollar reserves drawings were paid off in their entirety in or were fully content to accumulate dollars in early March through a combination of a anticipation of scheduled debt repayments to U.S. Treasury sale of $75 million of gold, U.S. official agencies or to the International the issuance of a $250 million Swiss franc Monetary Fund (IMF). Special financ security to the Swiss National Bank, and a ing arrangements previously negotiated by direct purchase by the Federal Reserve from the U.S. Treasury with the Governments of the Swiss National Bank of $125 million Canada and Germany took care of another equivalent of Swiss francs against dollars. important segment of the financing problem. In the case of the Netherlands, the Federal On the other hand, Switzerland, Belgium, Reserve in several transactions beginning in and the Netherlands had to purchase dollars July 1970 drew the full $300 million availa in amounts exceeding their normal central ble under its swap line with the Netherlands bank holdings, and during 1970 and into Bank, which also conducted market swaps in Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
TREASURY AND FOREIGN EXCHANGE OPERATIONS 191 TABLE 2 FEDERAL RESERVE SYSTEM SWAP ACTIVITY UNDER ITS RECIPROCAL SWAP LINES In millions of dollars equivalent Drawings, or repayments (—) System System swap swap Transactions drawings, 1970 1971 drawings, with— Jan. 1, Jan.1- Mar. 10, 1970 Mar. 10 1971 I II III IV National Bank of Belgium 55.0 | 50.0 -13 4 0 5 . . 0 0 135.0 -1 1 1 6 0 5 . . 0 0 -1 3 2 3 5 5 . . 0 0 1420.0 Netherlands Bank............ 130.0 /............ -130.0 270.0 30.0 — 300.0 Swiss National Bank........ 145.0 \ —145.0 200.0 — 200.0 300.0 -4 1 5 5 0 0 . . 0 0 { 1........ Total............................. 330.0 / \ -14 5 5 0 . . 0 0 -2 2 6 4 0 5 . . 0 0 -2 4 0 0 0 5 . . 0 0 -1 4 1 9 0 5 . . 0 0 -8 4 7 8 5 5 . . 0 0 |420.0 Amsterdam to deal directly with additional of $655 million of Belgian francs have been excess dollar inflows. This $300 million of made since late June 1970. Some progress Federal Reserve debt—plus another $25 was made in reducing these swap drawings million of surplus dollars on the books of the by two special operations. On December 23, Netherlands Bank—was fully liquidated in the U.S. Treasury sold $110 million of a series of special transactions involving (1) SDR’s to the National Bank of Belgium, and a Federal Reserve sale of $75 million equiva in January 1971 it drew $125 million of lent of German mark balances to the Nether Belgian francs from the IMF. As of lands Bank, (2) a U.S. Treasury sale of March 10 the Federal Reserve debt out $25 million of gold and $100 million of Spe standing under the Belgian franc swap line cial Drawing Rights (SDR’s) to the Dutch amounted to $420 million. authorities, and (3) a U.S. drawing of $ 125 During the period under review, only one million equivalent of guilders from the IMF. swap drawing was made by a foreign central The most intensive use of the swap facili bank on the Federal Reserve. This was a ties by the Federal Reserve occurred, how drawing of $400 million by the Bank of ever, in the case of Belgium where drawings England in September 1970 (Table 3). The TABLE 3 DRAWINGS AND REPAYMENTS ON FEDERAL RESERVE SYSTEM BY ITS SWAP PARTNERS In millions of dollars Drawings, or repayments ( —) Drawings Drawings on System, on System, Banks drawing on System Jan. 1, 1970 Dec. 31, 1970 1970 I II III IV Bank of England 650.0 \ —650.0 400.0 -400.0 J I .................... Bank of France................... / \ -1 1 0 0 0 0 . . 0 0 I1............. Bank of Italy....................... 1 800.0 200.0 \............. -600.0 — 400.0 / Bank for International S G e e t r tl m em an e n m ts a r ( k a s g ) a . i . n .. s .. t . ......... / 1 1 -1 3 3 6 6 . . 0 0 -7 7 7 7 . . 0 0 -7 7 7 7 . . 0 0 -4 4 4 4 . . 0 0 r 1............ Total......................... 650.0 / 1 l - , 8 0 8 3 6 6 . . 0 0 -6 2 7 7 7 7 . . 0 0 -4 4 7 7 7 7 . . 0 0 -44 4 4 4 . . 0 0 }............. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
192 FEDERAL RESERVE BULLETIN □ MARCH 1971 primary cause of this drawing was specula erting a substantial amount of upward pull tion against the pound engendered by rumors on European domestic interest rates, it now of major moves toward greater exchange rate was providing those who were borrowing on flexibility at the approaching IMF meeting in the Continent with relatively cheap funds in Copenhagen. With tight credit conditions in heavy volume. the United Kingdom, an acute shortage of i YIELD COMPARISONS sterling quickly developed, however, and 1 3-M0NTH MATURITIES EXCEPT WHERE NOTED helped to choke off such speculation. The PER CENT subsequent proceedings of the Copenhagen meeting then relieved market fears by ruling out the more extreme approaches to ex change rate flexibility. The Bank of England liquidated this $400 million drawing in its entirety in October and November 1970. As of March 10, 1971, no foreign central bank drawing on the swap network was out standing. During the period covered by this report there were no swap operations with the cen tral banks of Austria, Canada, Denmark, France, Germany, Italy, Japan, Mexico, Norway, or Sweden. The U.S. Treasury 1970______________________1971 issued to the Swiss National Bank a Swiss- Weekly averages of daily rates. franc-denominated security equivalent to $250 million in March, while other foreign- As in any market situation, this change in currency-denominated securities were rolled the direction of flows through the Euro-dolover at maturity: The total of such securities lar market reflected a variety of factors on outstanding on March 10, 1971, was $1.6 both the supply and demand sides, but billion (Table 4). clearly the most important single change was in U.S. domestic interest rates and credit de EURO DOLLAR MARKET mands. Throughout 1969 U.S. banks had Euro-dollar rates declined fairly steadily borrowed extremely heavily in the Euro-dol through the second half of 1970 and the first lar market, both through their own Euro 2 months of 1971, with only modest inter pean branches and to some extent directly, ruptions during September and December in an effort to offset the effects of monetary (Chart 1). From close to 9 per cent at the stringency in this country. With credit de end of June 1970 the 3-month deposit rate mand in the Euro-dollar market already fell to 5 per cent by early March 1971, and strong because of boom conditions prevail through most of the period covered by this ing in many European countries, the conse report it was significantly below comparable quence was a sharp escalation of rates. Once rates in many European centers. Thus, in the excess demand was curbed in this country, space of only a few months, the pattern of in some of the pressure on the Euro-dollar mar terest rates in the major international mar ket was relieved, but it was not until the kets had shifted profoundly. Where the partial suspension of Regulation Q ceilings Euro-dollar market previously had been ex and the easing of liquidity conditions here Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
TREASURY AND FOREIGN EXCHANGE OPERATIONS 193 TABLE 4 U.S. TREASURY SECURITIES FOREIGN CURRENCY SERIES In millions of dollars equivalent Issues, or redemptions (—) Out Out stand stand Issued to— ing 1970 1971 ing, Jan.1, Jan. 1- Mar. 10, 1970 Mar. 10 1971 III IV German Federal Bank__ i 1,081.6 -542.0 539.6 German banks.................. i 135.5 135.5 Bank of Italy..................... 125.4 -125.4 Swiss National Bank........ 540.6 249.7 790.5 Bank for International Settlements 2.............. 204.4 -54.7 150.0 Total. 2,087.6 -667.4 -54.7 249.7 1,615.6 1 Includes valuation adjustments subsequent to the revaluation of the German mark. 2 Denominated in Swiss francs. Note. —Discrepancies in totals result from minor valuation adjustments and from rounding. following the Penn Central bankruptcy in naturally eased in the face of these repay June that a marked shift occurred in the ments by U.S. banks, but there was no pre behavior of U.S. banks in the Euro-dollar cipitous decline, as demands for Euro-dollar market. As banks found that they could once loans on the Continent remained substantial. again write domestic certificates of deposit Most European countries still were pursu (CD’s) at competitive rates, they began to ing policies of monetary restraint, either to reduce their dependence on the Euro-dollar combat continuing inflation and excess de market and to repay borrowings through mand or to rebuild depleted monetary re their branches. From late June to the end of serves. Consequently, any decline in Euro September 1970, the liabilities of U.S. banks dollar loan rates to levels below those to their own foreign branches declined by prevailing in European domestic markets led $2.4 billion to below $10 billion (Chart 2). to surges of borrowing from those markets Interest rates in the Euro-dollar market and concomitant strains on the exchange markets as the loans were converted into LIABILITIES OF U.S. BANKS local currencies. German business firms, in TO FOREIGN BRANCHES particular, were heavy borrowers—and they BILLIONS OF DOLLARS remained so throughout the fall and winter months—but there were sizable flows to 14 other countries as well. Credit demands from Europe, while large, were not sufficient to stabilize the situation in the Euro-currency markets. The progres sive easing of monetary policy in the United States, coupled with the continued slack in the U.S. economy, made it possible for U.S. banks to turn to relatively cheaper domestic sources for most of the funds they needed. A number of banks, therefore, continued to reduce their Euro-dollar positions through JAN. MAR. MAY JULY SEPT. NOV. JAN. MAR. JS1L JUL, October and November, even though this meant eroding their reserve-free Euro-dollar Data as of Wednesday of each week. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
194 FEDERAL RESERVE BULLETIN □ MARCH 1971 bases established under amendments to marked than in 1969, and after peaking in Regulation M of the Board of Governors of mid-December, rates resumed their down the Federal Reserve System. ward trend in the second half of the month Several foreign central banks reduced and into the new year. their discount and lending rates during this The further decline of rates in the Euro period (Chart 3), but the continuing decline dollar market in January reflected the con in Euro-dollar rates, reflecting the outflow of tinued slide of interest rates in the United funds from the United States, complicated States, as credit demand remained slack in the task of monetary management in a num January. By midmonth, the liabilities of U.S. ber of European countries. Consequently, banks to their foreign branches stood at $7.9 the Board moved at the end of November billion, some $6.1 billion below the year- 1970 to moderate the pace of repayment by earlier figure, the 3-month Euro-dollar rate U.S. banks by raising from 10 per cent to had receded to 6 per cent, and funds were 20 per cent the reserves required to be held continuing to move into European centers at against Euro-dollar borrowings in excess of a rapid pace. The U.S. authorities decided, the reserve-free base level, and at the same therefore, that further action was necessary time it amended the regulations regarding to moderate the impact of these flows of the computation of the bases. funds. On January 15 the Export-Import The changes did not require any banks to Bank announced that it would offer $1 bil put up reserves immediately, but they served lion of 3-month securities at 6 per cent to to signal the Board’s concern over the ra the foreign branches of U.S. banks, and at pidity of repayments and encouraged banks the same time the Board amended Regula to take a second look at the possible cost of tion M to permit U.S. banks to count hold borrowing should they need to have recourse ings of these securities toward maintenance to the Euro-dollar market in the future. The of their reserve-free Euro-dollar bases. The announcement of these changes came just issue was oversubscribed and was allotted to when year-end demands were beginning to the branches on the basis of their outstand exert their usual tightening effect on the mar ing lendings to their head offices. Thus, some ket, and there was a brief sharp upward $ 1 billion that might otherwise have accrued move in rates, especially at the short end to foreign central banks as a result of bank of the maturity spectrum. The year-end repayments was immobilized. squeeze, nevertheless, was very much less The decline in U.S. and Euro-dollar rates PER CENT Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
TREASURY AND FOREIGN EXCHANGE OPERATIONS 195 continued into February, however, and there costly wage settlements. Spot sterling began were further reflows from the United States to decline in May and moved generally and into European centers where restrictive downward during the summer months monetary policies were still being pursued. (Chart 4). By the end of August the rate Consequently, on February 23 the Export- had fallen close to its lower limit. Import Bank announced an additional 3- Late in August and in the early days of month borrowing of $500 million at the September, when demand for sterling tends then-prevailing market rate of 5i per cent. to be seasonally slack, market sentiment de In early March the 3-month rate eased to teriorated sharply and the Bank of England 5 per cent. had to provide considerable support to maintain the spot rate above the floor. This STERLING burst of selling reflected not only concern Sterling was in strong demand in the early over the continued wage/price spiral in the months of 1970, partly because of favorable United Kingdom but also market fears over seasonal factors but largely as a result of a the outcome of the IMF study on exchange major improvement in the British balance of rate flexibility to be discussed at the Fund’s payments on current account. Evidence of annual meeting later in the month. The un the underlying improvement helped to re derlying position of the pound was still firm, store market confidence, and there were sub however, as the balance of payments on cur stantial flows of funds into the United King rent account remained in surplus. Conse dom. With the spot sterling rate rising, the quently, a shortage of sterling developed in Bank of England was able to purchase large the market soon after the wave of short sell amounts of dollars and to repay a considera ing, and beginning on September 8 the ble portion of its international short-term squeeze on sterling balances lifted the spot indebtedness. In the spring, however, the rate well above the floor. Nevertheless, the market turned easier. By then, seasonal fac Bank of England was unable to recoup much tors were no longer so favorable, while the of its earlier losses, and it reactivated its trade account deteriorated in late spring, and swap line with the Federal Reserve by draw deficits persisted in subsequent months. In ing $400 million at the month-end. addition, with the rise in prices in Britain Trading was quieter in early October. De already accelerating, the market showed mand then picked up when, on October 14, concern over the implications of increasingly a small trade surplus was announced for Sep- PER CENT 10 SWITZERLAND 1970 1971 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
196 FEDERAL RESERVE BULLETIN □ MARCH 1971 tember, contrary to the market’s expectation rates had been dropping while U.K. rates of a large deficit. Moreover, Euro-dollar had been held firm, with the result that inter national interest rate comparisons had turned in favor of sterling. Toward the-end EXCHANGE RATES: Jan. 1970 to Mar. 1971 of the month, the U.K. Government an N.Y. noon offered rates nounced an interim budget that served CENTS PER UNIT OF FOREIGN CURRENCY mainly to shift priorities somewhat among various revenue and expenditure items but was largely neutral in its immediate effects on aggregate demand. These fiscal measures were accompanied, however, by strong state ments on the need to curb inflationary wage settlements and an indication that some tightening of monetary policy was forthcom ing. Then on October 29 the Bank of Eng land announced a substantial increase, effec tive November 11, in the amount of special deposits that the London clearing and Scot tish banks are required to hold with the cen tral bank. Sterling immediately surged to $2.39, and moved well above that level in early November, when a $72 million in crease in official reserves was announced for October. Confidence in sterling improved further in November following the release of another I I .1589 set of good trade figures. Moreover, a fur ther significant decline in Euro-dollar rates widened arbitrage differentials in favor of the pound. The Bank of England again BELGIUM gained reserves during November, and by the end of that month it had repaid in full l i t I I I I ! I I I 1 1 1.9851 the $400 million drawing under the Federal Reserve swap arrangement made in Septem ber. Also in November the Bank of England prepaid the year-end instalment due under the June 1966 Basle credit arrangement; of this payment the Federal Reserve and Treas ury share was $39 million. Although developments in December Black rule indicates par value of currency. were blurred by year-end factors, British re Weekly averages of daily rates. Upper and lower boundaries of panels represent official buying and selling rates of dollars against serves showed an increase of $24 million for the various currencies. Until the end of May 1970, however, the Bank of Canada had informed the market that its intervention the month, after repayments of $264 million points in transactions with banks were $0.9324 (upper limit) and $0.9174 (lower limit). On May 31, 1970, the Canadian authorities announced they would no longer keep the market rate from to the United States and Canada on long exceeding the official buying rate of $0.93425, and the boundaries of the Canadian dollar curve from that point on are drawn for term debt outstanding from World War II graphical convenience only, and on a much reduced scale. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
TREASURY AND FOREIGN EXCHANGE OPERATIONS 197 and the early postwar period. This increase payments to the U.K. Treasury by British in reserves was well received by the market corporations were made in heavy volume. and, in heavy trading, the sterling rate Sterling rose steadily through January and moved up close to par in the early days of by the month-end was near its ceiling of January. $2.42. For the month of January, British re Demand for sterling began to build up serves rose by $175 million, after repayment even further in January. Seasonal factors in full of the remaining $226 million of inter normally favor sterling early in the year. national credits under the 1966 Basle ar Moreover, U.K. interest rates were held firm rangements (of this payment, $76 million in the face of further sharp declines in the was shared equally by the U.S. Treasury and Euro-dollar market, and interest arbitrage the Federal Reserve); the January reserve incentives widened in favor of sterling. gain, however, included the $299 million Against this background the authorities be allocation of SDR’s to the United Kingdom. came concerned over the danger of excessive Spot sterling continued strong in Febru inflows of hot money and, effective Janu ary, quickly overriding a brief weakening ary 12, the exchange control regulations following the announcement on February 4 were modified so as to restrain new foreign that Rolls-Royce would go into receivership. currency borrowings by British corporations The wide interest differentials between Euro for domestic use. The market took this as a dollars and sterling continued to generate sign of official confidence, and the spot rate additional flows into sterling, while there moved above par on that day. On Janu evidently were very sizable repatriations of ary 14 a substantial trade surplus was an funds by U.K. corporations from their over nounced for December; it was much larger seas subsidiaries. Activity in the market re than expected, and in heavy bidding the spot mained at high levels throughout February, rate rose as high as $2.41. and the rate held near the ceiling of $2.42 Over the rest of January and into Febru through most of the second half of the ary, interest rate relationships played a month. British reserves rose by a further dominant role in the market. The continuing $192 million in February after Bank of Eng decline in Euro-dollar rates in the second land repurchases from the Federal Reserve half of January occurred at a time when a and the U.S. Treasury of some $99 million squeeze was developing in the London equivalent of sterling held on a covered or money market, widening even further the guaranteed basis. This transaction liquidated uncovered arbitrage incentives favoring ster the final portion of such Federal Reserve ling. Moreover, rumors abounded that the and Treasury sterling holdings. Bank of England’s discount rate, held at GERMAN MARK 7 per cent since last April, would be lowered, and this led to large-scale purchases of U.K. In the spring of 1970, German monetary Treasury securities in the gilt-edged market, policy moved forcefully toward restraint in including the absorption of several tap is an effort to counteract the inflationary forces sues; this flow into new gilt-edged securities unleashed by the excessive pace of economic tied up funds so that the money-creating ef expansion. With domestic credit conditions fects of the inflow of foreign exchange were tightening sharply, the German mark rate neutralized. Although a postal strike started rose rapidly from the floor, where it had held on January 20, it did not seriously disrupt most of the time since the October 1969 re business correspondence, and seasonal tax valuation, and in early April the Federal Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
198 FEDERAL RESERVE BULLETIN □ MARCH 1971 Bank again began absorbing dollars from increases in bank liabilities above the sec the market. By mid-May, as the borrowings ond-quarter average would be subjected to abroad of German industry reached major heavy new reserve requirements. proportions, the spot rate rose to its ceiling The tighter domestic credit conditions and the Federal Bank had to absorb a large brought about by this measure strengthened amount of dollars. The floating of the Ca the demand for marks, and the Federal Bank nadian dollar on June 1 added a new specu again had to absorb dollars from the market, lative element to the continuing inflow of especially at the time of the mid-September short-term funds stemming from interest rate tax payments in Germany. For the third considerations, and the Federal Bank made quarter as a whole, the Federal Bank’s re substantial reserve gains that month. In all, serve gain amounted to $2,485 million. This during the second quarter of 1970 the re influx of liquidity eased domestic monetary serves of the German Federal Bank rose by conditions, and the spot rate declined in the $1,450 million, with the largest part of the latter part of September. inflow occurring in June. The somewhat softer tone continued The heavy movements of funds clearly through October, although the mark was bid illustrated the difficulties of fighting inflation up quite sharply at times. There were recur with monetary policy alone in an environ rent market expectations that the Federal ment of declining interest rates abroad. Bank’s lending rates would be cut, so as to Early in July, therefore, the German cabinet reduce the widening gap between domestic moved to tighten fiscal policy, thereby allow money market rates and declining Euro-dol ing some easing of monetary restraint, and lar rates, and each time that these anticipa effective July 16 the Federal Bank reduced tions were proved wrong there was a brief its discount and Lombard rates by i per surge of demand for marks. This was notably centage point, to the still very high levels of the case when on October 21 and 22, the 7 per cent and 9 per cent, respectively. Ger Federal Bank Council, rather than lowering man money market rates nevertheless re its rates, took the alternative route of at mained firm, ranging above 9 per cent, so tempting to curb inflows by modifying mini that with the gradual easing of Euro-dollar mum reserve requirement rules. This was quotations a considerable interest-arbitrage done mainly by placing such requirements incentive in favor of Germany persisted. As against certain interest-arbitrage transac a consequence, demand for marks dipped tions and the guarantees extended by banks but briefly, and the central bank again made on the rapidly growing borrowings abroad large dollar gains in the latter part of July. by German firms. Indeed, the volume of for By late July the German money market eign credit taken up by German institutions began to respond to the influx of liquidity between July and October was not far below from abroad; domestic interest rates eased the new growth in lending by the German and the demand for marks lessened, so that banking system. Fears that these net reserve in August the central bank’s dollar purchases measures presaged further and more drastic tapered off. The expansion of domestic li limitations led to a brief, but strong, burst quidity by then had become excessive, how of demand for marks. ever, and threatened to thwart the German With German money market rates com authorities’ anti-inflationary efforts. The manding increasingly wide premiums over Federal Bank Council therefore announced rates in most other major countries and in in mid-August that, effective September 1, the Euro-dollar market, rumors of a cut in Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
TREASURY AND FOREIGN EXCHANGE OPERATIONS 199 the Federal Bank’s lending rates naturally United States bolstered expectations of simi flourished. The spot mark moved up close to lar action in Germany. The Federal Bank the ceiling at the end of October, and dur Council did, in fact, announce the following ing the first half of November the German day that the discount and Lombard rates authorities again began to take in dollars. would again be reduced, by } percentage Then, on November 17, the Federal Bank point to 6 per cent and 7i per cent, respec Council cut the discount rate from 7 per tively. Although primarily motivated by bal cent to 6i per cent, and the Lombard rate ance of payments considerations, these rela on secured advances from 9 per cent to 8 per tively small cuts were also consistent with cent. The Council also announced a restruc developments in the domestic economy. De turing of reserve requirements: the addi mand pressures had begun to relax, while tional reserve requirement on increases in strains on productive capacity and the labor domestic liabilities was abolished on Decem force, albeit still strong, were becoming less ber 1, but the funds thus released were fully acute. Cost pressures, notably wage in tied up (for the banking system as a whole) creases, continued to be great, however, and by raising the minimum reserves required the monetary authorities felt that a more against the banks’ total liabilities by 15 per general easing of their policy was as yet cent. The special marginal reserve require unwarranted. ment on external liabilities was reduced On December 3, the day when the cuts in slightly to 30 per cent, and the base for cal the central bank’s lending rates became ef culating the growth of the external liabilities fective, the spot mark rate broke sharply. was updated. The drop reflected the considerable over The commercial banks apparently feared estimation by German banks and business that this restructuring of reserve require firms of their December needs in the context ments would prove restrictive, especially to of the restructured reserve requirements; ward the year-end when liquidity needs are having previously brought in more funds heavy in Germany, and they began to re than they could use domestically, they now patriate funds from abroad, while German began exporting some of their excess liquid corporations stepped up their Euro-dollar ity. With domestic interest rates easing fur borrowings. This set off a ground swell of ther, the differentials over Euro-dollar yields demand for marks, which was further inten narrowed sharply—disappearing or even sified as some traders, who had gone short turning against the mark at the very short of marks in the expectation that the news of end of the maturity range—and this induced a bank rate cut would weaken the spot rate, the banks to shift some funds on a covered scrambled to cover their positions. Thus, in basis to the Euro-dollar market; as a result, just over 1 week, the Federal Bank had to ab the premium on the 1-month mark surged sorb more than $ 1 billion from the market. by i percentage point that day to 1.21 per This large influx of liquidity eased domes cent per annum. Finally, some traders who tic credit conditions and, with the late-No- had established long positions in marks be vember rise in Euro-dollar rates, the interest- gan to unwind them. This snowballing effect arbitrage incentives in favor of Germany gained momentum the following morning in narrowed, bringing the Federal Bank’s dol Frankfurt, and in very heavy and somewhat lar purchases to a temporary halt. The spot erratic trading the rate fell all the way to par rate drifted down to $0.27511 by Decem ($0.2732i). Trading remained very active ber 1, when the discount rate cuts in the for about a week and, with considerable un Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
200 FEDERAL RESERVE BULLETIN □ MARCH 1971 certainty as to the outlook for interest rates BELGIAN FRANC in Germany and in the Euro-dollar market, During last summer Belgium’s balance of the spot rate continued to fluctuate widely. payments on current account was in substan By mid-December a much calmer tone had tial and growing surplus, as the pace of the emerged in the market, although the spot domestic expansion had moderated while rate remained soft. When Euro-dollar yields price inflation was substantially less than in fell off in the latter part of December, how most other industrial countries. The inflation ever, German banks withdrew funds from was nevertheless cause for concern to the that market and the mark began to firm. Belgian authorities, and as interest rates in Over the fourth quarter, the reserve gains other centers moved down, particularly in of the Federal Bank amounted to $2,309 the Euro-dollar market, Belgium’s interest million; for 1970 as a whole, reserves rose rates were kept relatively steady. This re by $6,481 million (including an allocation sulted in a narrowing of the earlier large un of $202 million of SDR’s) to $13.6 billion. covered arbitrage differentials against Bel There had been a substantial deterioration gium, thereby lessening the scope for capital on current account during the year, essen outflows that could offset the marked tially on service items, but this was more strengthening of the current-account surplus than offset by the various forms of capital in the third quarter. Throughout the sum inflows. The German authorities have esti mer, therefore, the Belgian franc rate held mated, on the basis of both recorded and close to its upper limit and the National unrecorded flows, that German banks and Bank of Belgium purchased substantial business firms borrowed some $6.6 billion amounts of dollars. To provide cover for the abroad during the year. bulk of these reserve gains, the Federal Re German money market rates came down serve reactivated its swap line in June and further in January, but an even sharper de had drawn a total of $95 million equivalent cline in Euro-dollar rates further increased of francs by the end of August. In Septem the incentive to borrow abroad. The spot ber, when some nervousness developed prior rate for the mark rose steadily during the to the IMF meeting, there was a further flow month, while the forward rate moved to a of funds to Belgium and the Federal Re discount. By late January, the spot rate had serve drew an additional $60 million, bring risen to its ceiling and the Federal Bank ing its Belgian franc swap drawings to again began to absorb substantial amounts $155 million. of dollars from the market. Euro-dollar rates As Euro-dollar rates resumed their de continued to ease through February, while cline in October and Belgian money market German money market rates remained firm, rates continued high, interest-arbitrage in with the inevitable consequence of additional centives in favor of Belgian franc placements large flows of funds into the official reserves. emerged. This situation persisted even after Through the end of February, Germany’s the National Bank had lowered its discount gold and foreign exchange reserves had risen rate from li per cent to 7 per cent effective by a further $1 billion. In early March the October 22. The spot rate remained at or Federal Bank continued to take in dollars. close to its ceiling, and the National Bank The spot rate generally remained at or near continued to take in dollars on a substantial the ceiling, while the forward discount wid scale until the end of November. To provide ened from about 1.1 per cent per annum on cover for the National Bank’s dollar intake 3-month marks to close to 2.0 per cent. over the autumn months, the Federal Re Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
TREASURY AND FOREIGN EXCHANGE OPERATIONS 201 serve drew repeatedly on the swap facility: commitments to $230 million. The National $70 million equivalent was drawn in Oc Bank continued to absorb large amounts of tober, $65 million in November, and $30 dollars from the market, however, and the million in early December, thereby bringing System drew $155 million in February and Belgian franc commitments to a total of an additional $35 million in early March, $320 million. bringing swap commitments to the National In early December the firming of Euro Bank up to $420 million equivalent as of dollar rates led to some softening of the de March 10,1971. mand for francs. The spot franc rate eased further after the central bank cut its discount DUTCH GUILDER rate by another i percentage point on De The Dutch guilder began a period of sus cember 10. There was no reflux of funds tained strength last summer, despite continu from Belgium, however, and on Decem ing strong domestic inflationary pressures ber 23 the U.S. Treasury sold $110 million and a deteriorating current account. In early of SDR’s to the National Bank of Belgium summer the financing of a major industrial in order to enable the Federal Reserve to take-over in the Netherlands through the re buy from that bank the francs necessary to patriation of funds from abroad pushed the liquidate an equivalent amount of swap guilder rate up and brought the Netherlands drawings that had been outstanding since the Bank into the market to slow the rise in the summer. rate. But interest rates were the dominant The Belgian franc began to strengthen factor in sustaining the firmness of the again early in January. With the passing of guilder during the second half of 1970 and year-end demands and a further drop in in into this year. Monetary policy in the Neth terest rates in the United States, Euro-dollar erlands remained tight in the face of con rates declined rapidly, once again opening tinued excess demand, while interest rates in an interest-arbitrage incentive in favor of the Euro-dollar market declined, thus reduc Belgium. Moreover, in January, the Belgian ing the incentive for Dutch banks to hold Treasury made two large domestic borrow their liquid funds abroad. At the same time, ings which absorbed liquidity from the Brus considerable foreign interest developed in sels money market and attracted funds from guilder-denominated bond issues being abroad. At the same time, Belgium’s current floated in the Dutch and international capi account remained strong. By midmonth the tal markets. . spot rate had returned to the ceiling and, By mid-July the guilder had moved up with interest differential widening further, well above par and the Netherlands Bank the National Bank absorbed large amounts was purchasing considerable amounts of dol of dollars, for which the Federal Reserve lars from the market. The Federal Reserve provided cover by drawing a total of $145 was soon called upon to reactivate its swap million equivalent on the swap line. Thus, by line with the Netherlands Bank. The System January 27, $355 million equivalent of the drew a total of $75 million equivalent of $500 million facility was in use. On Janu guilders in July and an additional $145 mil ary 29 the U.S. Treasury obtained $125 mil lion in August, when the capital inflow in lion of Belgian francs under a multicurrency tensified. In late August credit conditions drawing on the IMF and sold these francs to eased in the Netherlands and the guilder the Federal Reserve, thereby enabling the market turned quieter. A renewed demand System to reduce its Belgian franc swap for guilders emerged in the second half of Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
202 FEDERAL RESERVE BULLETIN □ MARCH 1971 September primarily as a result of domestic remaining $30 million equivalent available money market developments. To provide under the swap facility, while the Treasury cover for the Netherlands Bank’s latest ac sold to the Netherlands Bank $30 million of quisition of dollars, the Federal Reserve gold and $30 million of SDR’s. After soften drew another $50 million on the swap line. ing a bit around mid-November, the guilder Consequently, by September 28, $270 mil fell fairly sharply in early December; trading lion out of the $300 million facility was in was not heavy, however, and the spot rate use. soon firmed. The Netherlands Bank was faced with the Toward the end of 1970 the Dutch au prospect of a further large dollar intake dur thorities took several anti-inflationary meas ing the fourth quarter. The Dutch current ures, to become effective at the start of the account, to be sure, was progressively mov new year: taxes were temporarily increased, ing into deeper deficit as the growth of do quantitative restrictions for credit expansion mestic demand pressed against productive were extended through January and Febru capacity, but this seemed likely to be more ary, and ceilings were placed on wage in than offset by continuing large capital in creases in the first half of 1971. flows. The strong foreign demand for guilder- In January new tap issues by the Dutch denominated bond issues showed no signs of Treasury were heavily subscribed while the abating and, furthermore, domestic mone commercial banks sought guilders to liqui tary conditions were likely to be kept very date the swaps entered into with the Nether taut by large tax payments made in Septem lands Bank in October. As a result, liquidity ber and October. To avoid increasing its un conditions remained tight in January, con covered dollar reserves during this period, trary to their usual sharp seasonal easing. while giving some temporary relief to the With demand for guilders therefore very money market, the Netherlands Bank de strong and the spot rate close to the ceiling, cided to offer, starting on October 1, to buy the Netherlands Bank undertook a new series dollars spot against sale for delivery in 3 of 3-month swaps with the commercial banks months’ time at rates favorable to the Dutch and also purchased some dollars outright. banks. Consequently, the spot guilder rate These market swap transactions were con softened in the early part of October. Around tinued through February with the result that midmonth, however, the combination of tight the guilder remained below its ceiling money market conditions in the Netherlands through the month and into March. and still lower Euro-dollar rates shifted the By January a considerable portion of the short-term interest-arbitrage incentives in fa Federal Reserve’s swap drawings on the vor of the guilder, while the large demand Netherlands Bank had been outstanding for from abroad for guilder-denominated bond some 6 months, and the sustained strength issues continued. The spot rate rose to the of the guilder had left no opportunity for the then-current intervention level of the Nether System to acquire guilders through the lands Bank, a few points away from the market. In keeping with the principle that $0.2783^ ceiling. After purchasing a sizable use of central bank credit should not be amount of dollars, the Netherlands Bank de unduly prolonged, U.S. reserve assets were cided in early November to let the rate move employed to reduce the swap commitments. to the ceiling, and demand soon eased. To On January 22 the Treasury sold to the absorb the latest dollar gains by the Nether Netherlands Bank $100 million of SDR’s, lands Bank, the Federal Reserve drew the and on January 29 the Treasury drew $125 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
TREASURY AND FOREIGN EXCHANGE OPERATIONS 203 million of guilders from the IMF and sold Swiss National Bank’s outright dollar pur $25 million of gold to the Netherlands Bank. chases during the third quarter, the Federal Through these transactions, $25 million of Reserve reactivated its swap facility with that excess dollars was absorbed directly from the bank, drawing $300 million equivalent on Netherlands Bank and the Federal Reserve October 1. was able to purchase sufficient guilders to With domestic liquidity conditions now liquidate a total $225 million of swaps, much easier, in early October the Swiss thereby reducing System guilder commit banks once again began to place funds ments to $75 million equivalent. Then on abroad in considerable volume. Their offer March 5 the Federal Reserve sold to the ings of francs progressively depressed the Netherlands Bank from balances $75 million spot rate, which dipped to a 12-month low equivalent of German marks for guilders and of $0.2306 at the end of October. Strong paid off the remainder of the swap drawings, credit demand in Switzerland soon began to thereby restoring the line to a fully standby pick up the slack, and the banks started to basis. bring funds home again in November and early December, bidding up the spot franc SWISS FRANC rate in the process. Year-end repatriations During the second half of 1970, movements were expected to be sizable, and the National in the Swiss franc exchange rate again mainly Bank again offered assistance to the banks reflected changing liquidity conditions in through swaps, providing Swiss francs Switzerland. In July the Swiss banks were against dollars for up to a month’s ma generally short of franc liquidity; at the end turity. The National Bank did a total of of the month the spot franc rate was bid up $1,116 million of swaps, a new record. As to the ceiling, and the National Bank had to before when the dollars were taken in on a absorb $120 million from the market. De swap basis, the National Bank simultane mand for Swiss francs subsequently lessened, ously placed them in the Euro-dollar market and a somewhat easier tone prevailed until to avoid serious disturbance of that market mid-September. (As noted in the previous by the year-end flows to Switzerland. The report, in August the Federal Reserve com spot franc continued to rise in December but pleted the repayment of a $200 million did not reach the ceiling, and the National equivalent swap drawing of last May on the Bank did not have to take in dollars on an Swiss National Bank.) By September, how outright basis. ever, much of the earlier liquidity had been Liquidity conditions in Switzerland in gradually absorbed, and there was the possi January were heavily influenced by the ef bility of a considerable tightening at the forts of the Swiss banks to repay the swaps, quarter’s end. To help the Swiss banks meet as continued strong domestic credit demand had further absorbed their franc availabili their end-of-September liquidity needs, the central bank rediscounted a substantial ties. Moreover, with the continued decline in amount of domestic paper, entered into Euro-dollar rates there was less incentive to $425 million of swaps (buying dollars spot make placements abroad. As a result, the against sale for delivery in early October), Swiss franc rate continued to rise in January and purchased outright $180 million from and February, and on February 24 it reached the banks. Following this injection of liquid the National Bank’s intervention level. At ity in late September, the spot franc rate that point, the National Bank purchased declined sharply. To provide cover for the $150 million, and the rate dropped away Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
204 FEDERAL RESERVE BULLETIN □ MARCH 1971 once again. To provide cover for this latest interest-arbitrage spreads in favor of the intake, the Federal Reserve drew an equiva franc and raising the possibility of additional lent amount on March 1, bringing its Swiss inflows of liquid funds. Moreover, the franc swap commitments to the National French authorities decided that there was Bank to $450 million. In early March, the scope on the domestic side for a further U.S. Treasury sold $75 million of gold to modest easing of monetary policy. On Oc the Swiss National Bank and issued to it a tober 20, the Bank of France’s rates on dis $250 million equivalent franc-denominated counts and advances were lowered by a fur security. The Federal Reserve in turn pur ther i percentage point. A few days later, all chased $200 million equivalent of francs quantitative restrictions on bank credit ex directly from the National Bank and ac pansion were eliminated. The French move quired from the Treasury the proceeds of the on interest rates closed the gap vis-a-vis security issue. The System then paid off the Euro-dollar rates once again, but only tem entire $450 million equivalent of swap draw porarily. Euro-dollar rates continued to head ings outstanding. downward, and with French interest rates holding steady the franc was strongly bid FRENCH FRANC once again in November. No further change The French balance of payments moved into was made in the central bank’s rates on dis substantial surplus in early 1970, and by counts and advances, but the Bank of France did reduce its domestic intervention rate to midyear the French authorities had liqui bring domestic money market rates more in dated the remaining short-term debt to for line with those in the Euro-dollar market. eign central banks and had begun to relax Then in early December Euro-dollar rates somewhat their severe domestic restraints. firmed on year-end demand and the franc Over the course of subsequent months a eased, but as Euro-dollar rates resumed their somewhat easier policy was adopted, and on decline later that month the franc began to August 27 the Bank of France cut its rates strengthen once again. Over the fourth quar on discounts and secured advances by i per ter, French reserves rose by $217 million; centage point to 7i per cent and 9 per cent, for the year as a whole the total reserve respectively. The spot franc was excep increase was $962 million, excluding a tionally strong in the next few days, largely $165 miliion SDR allocation. because of the conversion of export receipts Strong demand for francs continued into accumulated during the August vacation pe January with the sharp drop in Euro-dollar riod, and the rate reached $0.1814 in early rates, and was not slowed by a further i per September, only slightly below the ceiling. centage point cut in the Bank of France’s Subsequently, with Euro-dollar rates firming in September, the spot franc rate backed rates on discounts and advances to 6i per cent and 8 per cent, respectively, on Janu down. Nevertheless, French reserves posted ary 8. Indeed, demand for French francs was a modest increase over the month and, on very heavy in the second half of the month the basis of the reserve gains over the past year, France was required in September to and abated only after the French monetary make a $246 million repayment of debt to authorities, by repeatedly reducing their do the IMF. mestic intervention rate on government pa The market for francs was relatively quiet per, again narrowed the interest-arbitrage in October. Euro-dollar rates were falling spread over Euro-dollar placements. Once sharply, however, once again widening a closer rate relationship had been re Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
TREASURY AND FOREIGN EXCHANGE OPERATIONS 205 established, the exchange market moved into several measures designed to shift resources better balance through the end of February. from the private to the public sector and to Thus, whereas reserves rose by $224 million encourage investment. The spot rate then in January (excluding a SDR allocation of rose above par, for the first time in a year $161 million), the increase in February was and a half, and the Italian authorities began only $59 million, to $5,078 million. to accumulate dollars from the market. The rally faltered temporarily in the first half of ITALIAN LIRA September, but the recovery regained mo Beginning in the fall of 1969 the Italian lira mentum by midmonth and, with market had come under recurrent heavy selling pres sentiment becoming very buoyant, the lira sure, owing to a growing impasse on social moved well over par again. and economic issues in that country. The Demand for lire strengthened further in stalemate was reflected in a wave of strikes October and early November. The unwind which severely impeded production and in ing of leads and lags was in full swing. Italian the dissolution of two cabinets by July 1970. banks, for their part, had to follow the rule A number of measures were taken in late imposed by the central bank to balance their 1969 and early 1970 to stem the outflow of foreign positions, so that there was a sub funds: Italian interest rates were raised into stantial inflow of funds deriving from the better alignment with those abroad; the ex elimination of previous surpluses, while at port of Italian bank notes was discouraged the same time investment possibilities at through tighter procedures regarding the home were becoming increasingly attractive. conversion of such notes; the potential for Furthermore, Italian corporations and offi large shifts in commercial leads and lags was cial entities resumed making substantial curtailed by shortening the periods in which longer-term borrowings abroad. In midexport proceeds had to be repatriated or for November, however, a softer tone developed which imports could be prepaid; and official in the market as the government’s efforts to entities were encouraged to meet their capi enact tax measures and to resolve other po tal needs by borrowing abroad. By the sum litical issues, such as the divorce question, mer these measures were beginning to show reached a crucial stage in Parliament. The results. At the same time the strike situation parliamentary deadlock was broken at the improved and Italian production began to end of November and this again improved show signs of picking up once again. More- market atmosphere, but rising Euro-dollar ' over, early August saw the installation of a rates depressed the lira a bit further until new government, headed by former Finance mid-December. When Euro-dollar rates re Minister Colombo. As the new government’s sumed their decline in late December, how programs began to be formulated in mid- ever, the demand for the lira picked up again August, market confidence began to recover and the rate ended the year on a strong note. from the extremely pessimistic state it had From the end of July through December, reached, in which imminent devaluation of Italian reserve gains amounted to $1.1 bil the lira was widely expected, and there was lion, after a net loss of $0.9 billion in the some covering of short positions as well as earlier months of the year. some unwinding of leads and lags. Late in The winter months are a seasonally slack the month the government announced its period for the Italian balance of payments, new fiscal program—including a hike in but as 1971 began interest rates in Italy re gasoline prices, higher excise taxes, and mained relatively high and Italian firms con Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
206 FEDERAL RESERVE BULLETIN □ MARCH 1971 tinued to be heavy borrowers in the Euro ground, the Canadian Government had an dollar market. The resultant strength of the nounced on May 31 that it would no longer lira enabled the authorities on January 7 to defend the established parity limits for the restore the time in which export earnings Canadian dollar, effectively setting the rate must be repatriated to 360 days from the free for the time being to seek its own level. date of shipment. Shortly thereafter the Bank As related in the previous report, trading had of Italy, continuing with the easier policy in been very active in the first days of June, augurated in October through changes in quieter later that month and into July, with regulations concerning the composition of the rate settling above $0,961, but then more compulsory reserves, took another small step active through August as a wave of demand in the same direction of easing monetary re pushed the rate to around $0.98i (Chart 5). straint by reducing its rate on secured ad The advance mainly reflected the continuing vances by i percentage point to 5 per cent strength of the trade balance and an inflow effective January 11. The discount rate was of short-term funds resulting from a sharp kept unchanged at 5i per cent, as were the squeeze for balances in Canada. Day-to-day additional penalties of up to 1 i percentage rate movements were fairly wide and the points on borrowings by banks making large Bank of Canada intervened on both sides of and frequent use of central bank credit. Late the market to avoid even wider swings. On in January, when there was some slight firm balance, however, the Canadian authorities ing of Euro-dollar rates, the lira rate eased, took in U.S. dollars as the rate tended to but in February, with the renewed decline of move up. Euro-dollar rates, demand for lire strength On August 31 the Bank of Canada an ened once again. The Italian authorities con nounced that, in view of both external and tinued to accumulate dollars from the market domestic economic developments, it was cutin January and February and into March. 5 | CANADIAN DOLLAR: May 1970 to Mar. 1971 CANADIAN DOLLAR U.S. CENTS PER CANADIAN DOLLAR Over the early months of 1970, the Canadian 100 dollar had been in heavy demand, reflecting a strong trade performance, substantial long term capital inflows, and mounting short term inflows that eventually included an ele ment of speculation over the possibility of a revaluation. Canadian official foreign ex change reserves had risen strongly—some $1.2 billion over the first 5 months—and I HIGH further large reserve increases seemed likely. 4- AVERAGE NOON RATES I LOW Domestically, this situation had threatened not only to create massive excess liquidity in 94 the Canadian economy, but also to become a budgetary problem since the Canadian dollars supplied to the market by the Bank of I ! i ! ! ^ 0 Canada would eventually have to be financed JUN. AUG.________OCT. DEC. FEB. out of general market borrowings by the Black rule indicates par value of currency. Canadian Government. Against this back • indicates rate was at effective ceiling throughout week. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
TREASURY AND FOREIGN EXCHANGE OPERATIONS 207 ting its discount rate by i percentage point tion of a fall in the rate. Nevertheless, in to 6i per cent. The spot rate dipped only mid-December, good commercial demand slightly for a few days, and it soon turned appeared in the market and figures were back upward once again. Demand quickly released indicating continued strength in snowballed, as traders who had gone short Canada’s trade balance and in the over-all of Canadian dollars in anticipation of some payments position. With heavy bidding lead eventual easing of the rate sought to cover ing to an acute squeeze for Canadian dollar their positions or, in some instances, to estab balances, the spot rate broke out of its lish long positions; the spot rate surged to previous pattern and was on an upswing at $0.9969 by the morning of September 17. the year-end. On January 6, the rate hit The buying wave then broke, however, and $0.9912. Once again, the market turned the market turned around. Sensing that the quite suddenly when the squeeze for bal rate might have peaked, many traders has ances ended, and the spot rate dropped pre tened to cover themselves against a further cipitously, reaching $0.9844 by the morning drop in the rate, thereby sharpening its fall. of January 8. The rate then firmed until By the morning of the next day, the spot rate midmonth but held below $0.99. had tumbled a full cent to $0.9869. Shortly With interest rates falling sharply in the thereafter, on September 22, Finance Minis United States through most of January and ter Benson said in his speech at the IMF February, there was a widening of arbitrage meeting in Copenhagen that the current quite incentives for funds to flow into Canada; at exceptional strength in Canada’s payments the same time, the decline in Euro-dollar position did not provide a good basis for the rates may have led to some repatriation of choice of a rate that would be viable for an previous outflows to that market from Can appreciable period. The spot rate then drop ada. These factors, in addition to continued ped further, dipping below $0.98 before strong commercial demand for Canadian leveling off. dollars, helped lift the spot rate above $0.99 From late September to mid-December once again on January 26. It held quietly the Canadian dollar market, although fairly just above that level until mid-February. active, was well-balanced and, except for Despite a i per cent cut in the Bank of occasional flurries, day-to-day rate move Canada’s discount rate, effective February ments were more moderate; the spot rate 15, a new surge of demand developed and held within a fairly broad range around pushed the price even higher, to a peak of $0.98. With international and domestic in $0.9979 on February 22. At that point the terest rates declining, the Bank of Canada Bank of Canada lowered its discount rate by cut its discount rate by i per cent to 6 per i percentage point to 5i per cent, and major cent on November 12, but the market took Canadian commercial banks reduced their this move in stride. Normally, December is prime rates. This easing of interest rates was a weak month for the Canadian dollar, with immediately followed by a drop in the Ca heavy dividend and interest payments to for nadian dollar spot rate to just above $0.99i, eigners, and many professional traders had but in early March this rate moved up once established short positions on the expecta again. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
Response of State and Local Governments to Varying Credit Conditions By John E. Petersen In June 1969, the Board of Governors of certain quickly the extent to which such the Federal Reserve System in conjunction borrowing plans were realized under differ with the U.S. Bureau of the Census began a ing credit market conditions; third, to pro series of experimental surveys of State and vide additional knowledge about the linkage local government borrowing and capital between borrowing and spending decisions; spending. Because of the importance of the and fourth, to permit comparisons of be State and local sector to both the capital havior among units of different types. This markets and the economy, the Federal article reports and analyzes the results of Reserve has had a sustained interest in the these surveys, which are based on the ex size and structure of the credit demands periences of a sample of approximately of these governments and the impact of 4,600 State and local governments, for monetary policy upon their borrowing and fiscal year 1970.1 spending decisions. And, to be of greatest The principal findings of the surveys are usefulness, information about these demands summarized first. Then the objectives and and impacts is needed on a continuing basis, design of the surveys are discussed briefly. suitable for estimating national conditions. The major portion of the article presents a In view of these requirements, the series detailed examination of the survey results. of experimental surveys was designed to Particular emphasis is given to the relation provide the following types of information: ship between borrowing and capital spend first, to gather advance, or ex ante, evidence ing decisions and the effects of interest rates about the planned long-term borrowing of on these decisions, both over time and by State and local governments; second, to as- type of government. The mechanics and structure of the surveys, together with the N ote.—This article is a product of the author’s two questionnaires used, are presented in research at the Federal Reserve and while on assign Appendixes A and B. Appendix C contains ment with the Urban Institute, Washington, D.C. The article has benefited from the contributions of many. an analysis of the influence of legal interest At the Federal Reserve, Edward Ettin, Chief of the Capital Markets Section, was responsible for the in ception and supervision of the survey project. Much assistance was given by Paul Schneiderman and 1 Throughout this article “governmental” and “gov Eleanor Pruitt of that section and by Carol Siegler of ernments” refer to State and local government units, the Division of Data Processing, who did the bulk of including special districts and authorities, except when the computer programming. Special thanks are due to specified otherwise. “Long-term borrowing” refers to David McNelis, Chief of the Governments Division, borrowing with original maturity of over 1 year. The U.S. Bureau of the Census, and to Maurice Criz and surveys asked respondents to give borrowings by the Sherman Landau of that division for their invaluable date of sale (the date when the bid was accepted or help in the collection and processing of the survey when the underwriting agreement or other borrowing data. Finally, Robert King and the research staff of the agreement was signed), not by the date of issue. Investment Bankers Association generously aided in “Fiscal 1970” refers to the period July 1, 1969, correcting and verifying the borrowing data against through June 30, 1970. Unless preceded by the word their own records. “fiscal,” years are calendar years. 209 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
210 FEDERAL RESERVE BULLETIN □ MARCH 1971 rate ceilings on the market for State and the capital outlays process, the cutback in local securities. spending is stretched out over time. The surveys were not explicitly designed SUMMARY to measure the impact of interest rate ceil Based on surveys of State and local govern ings as a separate factor in borrowing and ment borrowing plans and realizations, it is spending decisions. Nevertheless, compari estimated that the unsettled and restrictive son of the behavior of units in States with credit conditions of fiscal 1970 led to set and without such ceilings suggests that ceil backs (delays and decreases) in planned ings did contribute to disproportionate long-term borrowing by these governments amounts of borrowing and capital spending amounting to nearly $7.4 billion. Through shortfalls. In fact, interest rate ceilings may out much of this period, the difficulties have caused net spending cutbacks by State related to historically high interest rates and local units in fiscal 1970 roughly were compounded by legal limitations on double what they otherwise would have maximum interest rates that State and local been. governments might pay. Such ceilings made State and local governments with approxi borrowing, even when desired, legally mately $4.5 billion in long-term borrowing impossible. shortfalls associated with high interest rates Of the $7.4 billion in long-term borrow evidently were still able to proceed with ing setbacks experienced by State and local their original spending plans by changing governments, $2.2 billion—though post their financing arrangements. Thus, they poned—was still completed before the end raised 60 per cent of the funds needed to of the fiscal year. The remaining $5.2 billion finance these projects by short-term borrow was effectively canceled for the fiscal year ing not subject to interest rate ceilings. and therefore represented a net shortfall Reductions in actual or planned liquid asset below planned levels for fiscal 1970. Thus, holdings were of secondary importance, and it is estimated, had interest rate factors not the use of current revenues to substitute intervened, that State and local governments capital for current expenditures were incon might have accomplished $18.5 billion in sequential. long-term borrowing rather than the $13.3 billion they actually borrowed during that BACKGROUND period. High and rising interest rates may have a Borrowing difficulties induced by restric negative influence on the long-term borrow tive monetary conditions and interest rate ing and spending of State and local govern ceilings led to an estimated $2.85 billion in ments for a variety of reasons. First, in the setbacks of planned capital outlays. While short run, an increase in the interest rates a combination of lower interest rates and raises the current cost of debt service. This revisions in interest rate ceilings evidently higher cost may make borrowing impossible permitted $1.25 billion of these capital proj when current period expenditures cannot be ects to be reinstated, an estimated $1.60 increased because of inflexible revenues. Or, billion remained suspended at the end of such increases in the cost of borrowing may fiscal year 1970. This equals 5.6 per cent lead governments to await periods of lower of total capital expenditures by State and interest rates, in the hope that the burden of local governments in the preceding fiscal future debt service may be lessened. Second, year. However, because of lags involved in over the longer term, an increase in the cost Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
RESPONSE TO CREDIT CONDITIONS 211 of borrowing means that the facilities them borrowing plans and realizations of all units. selves have gone up in price, perhaps beyond Rather, it was decided to employ a sampling a point where the government believes it technique similar to that used by the U.S. worthwhile to make the expenditure. Bureau of the Census for its annual survey Of special importance recently has been a of local government finances. In particular, third reason for the negative response of all State and larger local governmental units State and local governments’ borrowing and were canvassed and a stratified sample of spending to high interest rates. Most juris smaller local governments was taken to dictions have a legal limit on the interest create a sample frame that could be used rate they are allowed to pay. For many as the basis for national estimates after the governments these pre-set rate ceilings were application of expansion factors. exceeded by municipal bond yields through To achieve a high rate of rapid response, much of fiscal 1970. In such areas, the the survey was conducted in two stages. The ceilings prevented long-term borrowing and first stage (annual anticipation survey) con thereby limited expenditures where alterna sisted of a one-page questionnaire that was tive sources of funds were not available.2 sent to all the units in the sample frame in Several recent studies have documented June 1969. Units were asked to indicate the responsiveness of State and local govern their planned long-term borrowing, if any, ments to varying credit conditions. Findings for the four quarters of fiscal 1970. On the have uniformly shown the long-term bor basis of this survey of borrowing anticipa rowing of these units to be quite sensitive tions, units that had indicated a plan to to fluctuations in municipal bond yields. In borrow were followed up with second-stage addition, past studies have found that the questionnaires (quarterly realizations sur capital expenditures of these governments— veys) to determine whether the anticipated which typically rely on long-term borrowing borrowing had, in fact, been realized. If for about one-half of their capital funds— there were deviations from the expected are also significantly influenced by the cost levels of long-term borrowing, units were of borrowing.3 asked to explain why the discrepancies had occurred and to estimate the consequences DESIGN OF SURVEYS for expenditures. Units were also asked to give their borrowing plans for the remainder Because of the large number of State and of the fiscal year. local governments (about 80,000), it was Of the 4,590 State and local governments not feasible to conduct a canvass of the in the original sample frame, 4,152 re- 2 An extensive discussion of the possible reactions of governmental units to the levels of and changes Petersen and P. F. McGouldrick, “Monetary Restraint, in interest rates will be found in P. F. McGouldrick Borrowing, and Capital Spending by Small Local and J. E. Petersen, “Monetary Restraint and Borrow Governments and State Colleges in 1966,” Federal ing and Capital Spending by Large State and Local Reserve B ulletin (Dec. 1968). Recent studies that Governments in 1966,” Federal Reserve B ulletin focus on the impact of interest rates on State and (July 1968), p. 552. Appendix A of that article dis local spending include E. M. Gramlich, “State and cusses the special institutional structure of State and Local Governments and Their Budget Constraint,” local governments and the market in which they International Economic Review (June 1969); C. D. borrow, both of which are important in explaining Phelps, “Real and Monetary Determinants of State their fiscal behavior and influence on the design of the and Local Highway Investment, 1951-1961,” Amer surveys. ican Economic Review (Sept. 1969); H. Galper and 3 Hie findings of an extensive Federal Reserve J. E. Petersen, “Forecasting State and Local Govern System survey of State and local experience during the ment Capital Outlays and Their Financing,” Urban credit stringency of 1966 are summarized in J. E. Institute Working Paper (Feb. 1970). Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
212 FEDERAL RESERVE BULLETIN □ MARCH 1971 sponded to the first questionnaire dealing BORROWING ANTICIPATIONS AND with borrowing plans for fiscal 1970, for a REALIZATIONS IN FISCAL 1970 response rate of 90.5 per cent. (See Based on the annual anticipations survey Table 1.) Of the 1,351 first-stage respond of long-term borrowing, State and local ents that indicated they planned to borrow governments indicated that they planned in one or more quarters of fiscal 1970, long-term borrowing of an estimated $23 1,320 returned the quarterly questionnaires billion during fiscal 1970. These plans regarding the outcome of these plans, for a included approximately $15 billion in bor response rate of 96.7 per cent. (See Ap rowing that had already been authorized for pendixes A and B.) sale by the electorate or by the governing body. The remainder of approximately $8 TABLE 1 billion represented bond issues that had not STATE AND LOCAL GOVERNMENTAL UNITS INTENDING TO BORROW LONG TERM yet been authorized and would not be ready IN FISCAL YEAR 1970 to market until such authorization was obtained. Respondents intending to borrow The planned levels of bond sales were Type of unit Respondents, total exceedingly high in terms of the prevailing Number Per cent market conditions as of July 1969, since States and State agencies. 240 71 29.6 bond sales for the second quarter of 1969 State higher education... 222 93 41.9 Counties............................... 396 120 30.3 had declined to roughly a $10 billion annual Cities and towns................ 1,344 539 40.1 S Sp ch ec o i o a l l d d i i s s t t r r i i c c t t s s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,2 6 6 8 7 3 3 1 9 38 0 2 3 0 0 . . 2 8 rate. However, the high level of anticipations Total............................. 4,152 1,351 32.5 was explainable for the following reasons: First, the anticipations contained approxi mately $8 billion in borrowing that had not In examining the results, it should be yet been authorized and would need to borne in mind that they are national secure approval of the voters or the govern estimates based on sample survey results. ing bodies. Bond referendum results at that Although, as explained in Appendix A, the time indicated that perhaps one-half of these estimates of aggregate borrowing generated scheduled issues would not secure approval. by the sample compare favorably with those Second, many respondents, particularly obtained by other sources, this is but one those in larger units, volunteered that their benchmark of their accuracy. Moreover, plans were contingent upon either an easing because of the limitations of the question of bond market conditions or a lifting of naires and the survey procedure, it has been legal ceilings on interest rates. In the latter necessary to make many assumptions about regard, it was estimated that approximately unit behavior. The surveys present a dy namic record of the outcome of a set of bor $2 billion of the authorized debt planned for rowing plans formed at the beginning of sale in fiscal 1970 represented previously fiscal 1970. Since the focus is on deviations deferred bond issues. It was felt that were from these original anticipations rather than municipal bond market conditions to be on their original formulation, the analysis is come accommodative—yields dropping sub more useful in explaining short-run impacts stantially and, especially, below legal in than in measuring long-term influences on terest rate ceilings—units would be able to borrowing and spending decisions. market approximately $19 billion in fiscal Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
RESPONSE TO CREDIT CONDITIONS 213 year 1970. This was after allowance for required. Moreover, earlier studies of bor the attrition in expected borrowings caused rowing realizations have indicated much by election defeats and routine administra planned borrowing must overcome various tive and technical delays. administrative and legal obstacles before it As events unfolded, market conditions can be marketed. remained extremely tight through most of Restrictive credit conditions proved to fiscal 1970, and State and local governments be the largest single factor accounting for actually borrowed long term $13.2 billion. the deviation of actual borrowings from the This left a net discrepancy of nearly $10 level originally anticipated by State and billion between initially anticipated borrow local units. According to the results of the ing (as of July 1969) and that which was quarterly realizations surveys, high interest ultimately realized. Somewhat over one-half rates kept a net volume of $5.2 billion from of this estimated shortfall could be attributed being successfully marketed in fiscal 1970. to high interest rates, which often rose An additional $2.2 billion in borrowing beyond the levels that communities were represented bond sales that were postponed permitted to pay legally. The remainder of for interest rate reasons earlier in the fiscal this shortage was accounted for by delays year but that were subsequently sold before in construction plans, failure to receive the end of that period. The remainder of this required approval, and various technical report investigates the nature and con and administrative delays. sequences of those long-term borrowing As Table 2 indicates, net shortfalls in shortfalls that were related to interest rate actual borrowing below what was planned difficulties. were heaviest for school and special districts, BORROWING SHORTFALLS INDUCED BY based on the quarterly surveys of realiza HIGH INTEREST RATES tions. All told, State and local governments were able to accomplish only 62 per cent Survey results indicate that during fiscal of the long-term borrowing that they had 1970 State and local governments experi originally planned. However, it must be enced $7.4 billion in delays and shortfalls in stressed that these plans contained a large anticipated long-term borrowing because of amount of debt for which final approval was high interest rates and generally restrictive TABLE 2 ANTICIPATED AND ACTUAL LONG-TERM BORROWING BY STATE AND LOCAL GOVERNMENTS By type of unit, fiscal year 1970 In billions of dollars unless otherwise noted Local govt. All State Experience types govt. City Total County or Special School town district district (1) Anticipated borrowing t.................................................... 23.13 7.00 16.12 1.97 6.63 2.47 5.05 (2) Net shortfall in borrowing................................................ 9.88 2.17 7.70 .72 3.18 1.26 2.54 (3) Actual borrowing2............................................................. 13.25 4.83 8.42 1.25 3.45 1.21 2.51 (4) Ratio of actual to planned (per cent)............................... .57 .69 .53 .63 .52 .49 .50 1 Based on annual anticipation survey with adjustment for non- 2 Based on realization surveys with adjustment for nonresponse response (Appendix A). and Federal Reserve State and local borrowing totals. Note.—Details may not add to totals due to rounding. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
214 FEDERAL RESERVE BULLETIN □ MARCH 1971 credit market conditions.4 Hereinafter, these Table 3 gives the quarterly pattern of interest rate-induced delays and reductions borrowing shortfalls over fiscal 1970. It in borrowing shall be referred to as gross shows that gross borrowing shortfalls attrib shortfalls since they represent the amount utable to high interest rates were highest of borrowing displaced from the quarter in in the second half of 1969, peaking at which it was originally planned. Approxi $2.9 billion in the fourth quarter. From mately 30 per cent, or $2.2 billion, of these May through December municipal bond gross shortfalls represented borrowing that rates, shown in Figure 1, rose by 150 ultimately was accomplished within fiscal basis points. However, borrowing shortfalls 1970 but that was delayed at least one quickly tapered off during the first half of quarter beyond the quarter for which it had 1970, when bond yields dipped by approxi been originally scheduled. These intrayear mately 100 basis points in the first quarter. postponements of long-term borrowings Although yields rebounded during the shall be referred to as temporary shortfalls. second quarter of 1970, the governments The 70 per cent of gross shortfalls, amount continued to sell bonds, primarily because ing to $5.2 billion, that remained at the the removal or revision of interest rate end of fiscal 1970 shall be referred to as ceilings permitted the sale of many issues net shortfalls.5 that had previously been postponed. It should be noted that the amounts of 4 The terms “high interest rates” and “restrictive borrowing shortfalls shown in Table 3 credit market conditions” are used synonymously throughout this article. The quarterly questionnaire on refer only to offerings initially postponed borrowing realizations simply asked respondents, in during a particular quarter; bond issues that the event that they experienced a significant reduction in their borrowing below the planned level, if it was were unsuccessfully reoffered in more than because interest rates were too high. In many cases, one quarter during fiscal 1970 are only respondents volunteered alternative answers or addi tional information that was judged to pertain primarily to the high cost of borrowing. For example, responses explaining shortfalls in borrowing such as “money uses of the shortfall information. When units reported too tight,” “poor market conditions,” or “no buyers” delays or decreases in borrowing, they could not were regarded as relating to either the high cost of foresee whether they would be successful in remarket borrowing or the limited availability of credit. Of ing their bonds, much less when this might be accom particular importance during 1969 were the con plished. Only by hindsight was it possible to determine gressional discussions concerning the alteration of the those long-term borrowing shortfalls that proved to be tax laws in order to subject certain forms of tax- temporary and those that proved to be longer term or exempt income to the Federal income tax. Several complete cancellations. respondents indicated that they refrained from borrow The total gross shortfall in actual borrowing for a ing during this period, presumably because they felt given quarter consists of new postponements or can the general uncertainty over the taxation of interest cellations of borrowing originally planned for that income on State and local obligations had unduly quarter. These constitute a contribution to a pool of depressed the municipal bond market. Wherever it was unsatisfied borrowing demands. By the same token, determined that long-term bond sales were forestalled there are those issues that were previously postponed for reasons related to the cost or availability of credit, that are successfully sold during that quarter. These they are hereafter classified as instances where high represent a subtraction from this pool. Thus, the net interest rates caused the borrowing shortfall. contribution of the quarter to the pool of unsatisfied In those instances where respondents attributed borrowing demands is equal to newly initiated, or borrowing or spending shortfalls to more than one gross, shortfalls minus those previous shortfalls that reason, dollar volumes were allocated equipropor- are successfully made up in that quarter. tionately among the reasons. Since multiple reasons This pool of shortfalls in long-term borrowing plans were not common, such allocations were of little im represents an overhang on the market of borrowers portance. If the dollar volumes of all shortfalls where that would like to sell bonds. Their presence con high interest rates were at least a contributing factor stitutes a demand for funds in addition to those needed were used, the totals would be only about 5 per cent for new project financing. The latter may themselves higher. be displaced as previous postponements are made up, 5 This terminology is used to stress both the setting off new rounds of borrowing and spending mechanics of the survey technique and the analytical effects. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
RESPONSE TO CREDIT CONDITIONS 215 counted once and only at the time of their sociated with high interest rates. These originally scheduled offering. Line 2 of amounts were derived by subtracting the Table 3 gives the identifiable sales of bond comebacks of the earlier postponements issues that, after having been postponed from the gross shortfall figure.7 In the last earlier in the year, were successfully re two quarters of 1969, shortfalls induced by offered later in the fiscal year.6 high interest rates accumulated to nearly $5 billion. But the easing of credit market con TABLE 3 ditions in early 1970 and the extensive LONG-TERM BORROWING SHORTFALLS lifting of interest rate ceilings held the net INDUCED BY HIGH INTEREST RATES increase in borrowing shortfalls to about a Fiscal year 1970 quarter of a billion dollars for the remainder In billions of dollars of the fiscal year. Nonetheless, State and 1969 1970 local governments concluded that year with Borrowing experience Q3 Q4 Ql Q2 Fiscal an estimated net shortfall of $5.16 billion in long-term debt that was not sold because (1) Shortfall in borrow ing initiated by inter of high interest rates and restrictive credit est rate reasons.......... 2.26 2.91 1.12 1.08 7.37 market conditions. (2) Sale of offerings pre viously postponed for Table 4 depicts the fiscal 1970 long-term interest rate reasons .29 1.37 .55 2.21 borrowing shortfalls associated with high 3) Net shortfall in bor rowing 1...................... 2.26 2.62 -.25 .53 5.16 interest rates, classified by type of govern Item: actual borrowing2. 2.46 2.98 4.10 3.71 13.25 ment. Again, the distinction is drawn be 1 Shortfalls calculated as of the beginning of the survey period. tween those setbacks that proved to be intra 2 Federal Reserve estimates. year or temporary shortfalls and those net Approximately $2.2 billion of postponed shortfalls that continued beyond June 1970. bond issues were successfully remarketed in Gross shortfalls were heaviest for State the last three quarters of fiscal 1970, with governments and school districts (about $2 the largest volume occurring in the first billion each), with those of cities and towns quarter of 1970 when bond yields declined. nearly as large. However, almost half of the Line 3 of Table 3 shows by quarters the shortfalls for school districts proved to be indicated net reduction in borrowing as- temporary. Hence State governments, which 6 The figures given in line 2 of Table 3 must be viewed as highly judgmental because the governmental 7 Information on previous postponements (those units were not directly asked to identify issues that arising from the period before fiscal 1970) is not were remarketed after earlier postponement. The data available. Therefore, the amount of the net shortfalls were constructed by reviewing the borrowing plans of in the first quarter of the survey is identical to the units, their shortfalls, and subsequent successful sales gross shortfalls, there being no allowance for pre of bond issues. In those instances where the bond viously setback issues that were brought back to sale had not been anticipated at the outset of the market in 1969 Q3. It should be pointed out that survey and followed an earlier postponement of a some portion of borrowing shortfalls reported in the borrowing, the amount of the earlier shortfall was surveys represented long-term postponements that credited as a “comeback” or return to market of a were carried forward from 1968 and the first half of previously displaced bond issue. Had the bond issue 1969. That is, the anticipations survey—entering mid been originally postponed because of high interest stream of old and new borrowing plans—measured rates, it was assumed that the return to market of the the existing pool of unsatisfied borrowing demand that bond issue “resulted from” an ability or willingness of had accumulated over the past. Therefore, the addition the community to sell the bond at the rate prevailing of new unsatisfied borrowing demands arising during at the time it was subsequently sold. Therefore, net fiscal 1970 was undoubtedly less than $5.2 billion, shortfalls reflect only bond issues that were unable to although the restrictive conditions of that fiscal year be sold throughout the year because of high interest were responsible for that amount of desired borrowing rates. not being accomplished. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
216 FEDERAL RESERVE BULLETIN □ MARCH 1971 were evidently less inclined or less able to The gross shortfall ratio shows that school remarket deferred issues, experienced the districts far exceeded other types of units in largest net reduction—$1.8 billion—below the proportion of borrowing setbacks, with planned borrowing. nearly 60 per cent of their intended borrow A useful measure of the compositional ing having been delayed or canceled because effects of setbacks associated with high of interest rate difficulties. But, as already interest rates is the severity of these short noted, many of these shortfalls proved to be falls relative to the borrowing that might temporary. By year-end almost half of the have been accomplished except for adverse delayed borrowing had been made up; hence credit conditions. Two simple indices of the the net shortfall ratio fell into line with those relative significance of these shortfalls may experienced by other units. An exception to be formed by taking the ratios of gross and the generalization was the special districts, net shortfalls, respectively, to the sum of which failed to realize nearly 40 per cent of borrowing accomplished and net shortfalls. the long-term borrowing that would other In both these ratios, which are shown as wise have been accomplished. items in Table 4, the denominator may be For the State and local sector as a whole, interpreted as an approximation of the the net shortfalls resulting from high interest total amount of long-term borrowing that rates were 28 per cent of planned borrowing. units would have liked to accomplish had The equivalent ratio for the tight-money high interest rates not been a factor.8 period of 1966 was only 12 per cent.9 delays and decreases were not systematically related to high interest rates nor would they have cropped up 8 The amount of temporary shortfalls is already in to further thwart the intended borrowing. While the cluded in the estimate of borrowing accomplished. measures are admittedly simple, they nonetheless are These indices assume symmetrical behavior in terms appropriate for making comparisons among units, of interest rate response; that is, shortfalls that there being no compelling reason to suspect that one reportedly occurred because of high interest rates type of unit is more given to asymmetrical behavior would have been replaced by actual borrowings at than another. some unspecified lower level of interest rates. More 9 The 1966 Federal Reserve System survey estimated over, it is assumed that other reasons for borrowing net long-term borrowing shortfalls for that year of TABLE 4 LONG-TERM BORROWING SHORTFALLS INDUCED BY HIGH INTEREST RATES By type of unit, fiscal year 1970 In billions of dollars Type of unit Borrowing shortfalls induced by high interest rates1 Local govt. All State types govt. City Total County or Special School town district district Gross shortfalls2...................................................................... 7.37 2.14 5.23 .64 1.70 .88 2.01 Postponed borrowing sold later in year (minus) 3................. 2.21 .36 1.85 .24 .52 .10 .99 Net shortfall............................................................................. 5.16 1.78 3.38 .40 1.18 .78 1.02 Item: 4 Gross shortfall ratio............................................................. .40 .32 .44 .38 .37 .44 .57 Net shortfall ratio................................................................ .28 .27 .29 .24 .26 .39 .29 1 In cases where multiple reasons were given for shortfalls, the 3 Borrowings judged to represent the subsequent sale of bond total amounts of shortfalls were prorated equiproportionally among issues previously postponed for interest rate reasons. the number of reasons. * The ratio of shortfalls in long-term borrowing over estimated long 2 Includes long-term borrowings postponed beyond June 1970 and term borrowing (shown in Table 2) plus net shortfalls induced by those temporarily postponed during fiscal year 1970. high interest rates. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
RESPONSE TO CREDIT CONDITIONS 217 CAPITAL OUTLAY CUTBACKS AND TABLE 5 DELAYS CAPITAL SPENDING REDUCTIONS INDUCED BY HIGH INTEREST RATES Almost all long-term borrowing by State and Fiscal year 1970 local governments is undertaken to finance In billions of dollars capital outlay projects, and approximately 1969 1970 one-half of total funds used to finance their Item capital spending are raised in the long-term Q3 Q4 Ql Q2 Fiscal bond market.10 Unless other sources of fi (1) Capital spending shortfalls initiated by nancing are found, shortfalls in long-term high interest rates.... .95 1.45 .21 .25 2.35 borrowing below planned levels will also (2) Capital spending re instituted by sale of result in cancellation or delays of planned previously postponed borrowings................. .14 .84 .27 .75 capital spending. (3) Net shortfalls in cap ital spending1............ .95 1.31 -.64 -.02 1.60 In the quarterly realizations question naires, those units that reported a significant 1 Net shortfalls in capital spending calculated as of the beginning of the survey period. shortfall in borrowings below planned levels were asked if the shortfall had led, or would or were foreseen at the time of the associated lead, to an associated shortfall in capital borrowing setback. Because of the long lags spending. If the unit responded in the affirm inherent in the capital outlay process, the ative, it was further asked to estimate the impacts on spending that evolve from delays amount of such capital spending impacts. or cancellations take several quarters to be As with the borrowing shortfalls discussed felt in their entirety. above, this report concentrates on the delays Table 5 gives the quarterly time pattern of and reductions in capital spending that were estimated capital spending reductions that associated with borrowing shortfalls related occurred in conjunction with borrowing to high interest rates. shortfalls induced by high interest rates in A distinction is made between capital fiscal 1970. The response of capital spend outlays associated with gross and net bor ing setbacks to rapidly rising interest rates rowing shortfalls. In particular, it is explic is clearly evident in the third and fourth itly assumed that capital spending setbacks quarters of 1969. Planned capital projects that occurred in conjunction with postponed amounting to about $2.5 billion were either long-term borrowings were also reinstituted delayed temporarily or canceled during that if and when the borrowings were later ac period. However, the easing of credit market complished. It should be borne in mind that conditions and the lifting of ceilings on in the capital spending shortfalls reported here terest rates in the first two quarters of 1970 refer to changes in plans that either occurred evidently permitted the successful sale of bonds that had been postponed earlier. This, $1.7 billion, which is equivalent to 12 per cent of in turn, allowed the reinstitution of many $13.9 billion that might have been accomplished that projects that had been delayed.11 In fact, it year had not credit conditions been restrictive. See Petersen and McGouldrick, op. cit., p. 968. 10 Over the last 4 years of the 1960’s, new capital 11 The quarterly realizations questionnaire did not constituted approximately 99 per cent of the gross ask if a particular borrowing represented a comeback proceeds from bond sales and amounts raised for of a previously postponed borrowing, nor did it ask noncapital outlay purposes had been nil. See “New if the proceeds were used to fund a postponed capital Issues of State and Local Government Securities,” project. It is assumed that when a long-term borrow p. A-45, Federal Reserve Bulletin (Jan. 1970). For ing did take place that was judged to be a remarketing the sources of funds for State and local capital of a previously deferred issue, then there was a expenditure, see Galper and Petersen, op. cit., pp. 2-5. symmetrical reinstatement of the deferred project. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
218 FEDERAL RESERVE BULLETIN □ MARCH 1971 is estimated that the dollar volume involved next most significant for State governments in catching up on those projects exceeded and their agencies. the amounts involved in newly initiated In a manner analogous to that used in delays. As a result, the pool of cutbacks in the preceding discussion of long-term bor planned capital spending was reduced on rowing shortfalls, the relative severity of balance by approximately $550 million in capital spending setbacks induced by high the last two quarters of the fiscal year. Ac interest rates can be measured by comparing cordingly, the net reduction in planned the estimated amounts of setbacks to the capital spending by the end of the fiscal levels of capital spending. As shown in year was trimmed to $1.6 billion. Table 6, State and local governments in It should be stressed that the figures in fiscal 1969 spent an estimated $28 billion on Table 5 are classified by the quarter in capital projects.12 Therefore, capital spend which the decision was made to delay or ing delays and reductions of $2.85 billion cut back capital projects. The actual represented 10.1 per cent of the capital out expenditures arising from these decisions would have been strung out over several 12 Fiscal 1969 is the latest for which information on later quarters. State and local capital spending is available. However, data on State and local construction (which represents Table 6 classifies the impacts on capital about 80 per cent of State and local capital ex spending by type of unit. Both the gross and penditures) are available. These figures tend to indicate that the new construction component for net shortfalls in such expenditures are fiscal 1970 was about $800 million, or 3 per cent, less greatest for school districts. An estimated than in fiscal 1969. Therefore, total capital expen $1.2 billion of capital expenditure setbacks ditures probably did not change markedly between the 2 years, in large part because of the impacts of due to high interest rates occurred during credit market conditions. For 5 years prior to fiscal fiscal 1970; $0.5 billion of these constituted 1970, capital outlays had grown at an average annual rate of 9 per cent. See U.S. Bureau of the Census, net shortfalls. Gross and net shortfalls were “Quarterly Public Construction Reports” (Sept. 1970). TABLE 6 CAPITAL SPENDING REDUCTIONS INDUCED BY HIGH INTEREST RATES By type of unit, fiscal year 1970 In billions of dollars Type of unit Local govt. Spending shortfalls induced by high interest rates1 All State types govt. City Total County or Special School town district district (1) Gross shortfall in capital spending.................................. 2.85 .74 2.11 .24 .50 .16 1.21 (2) Capital spending reinstituted by sale of previously postponed borrowings....................................................... 1.25 .22 1.03 .13 .18 .02 .69 (3) Net shortfall in capital spending...................................... 1.60 .52 1.08 .11 .32 .14 .52 Item: Capital outlays Fiscal year 19691............................................................. 28.23 12.70 15.53 2.45 6.86 2.34 3.88 Gross shortfall ratio2........................................................... .101 .058 .136 .098 .073 .068 .312 Net shortfall ratio 3.............................................................. .056 .041 .069 .045 .047 .060 .134 1 Calculated on the basis of U.S. Bureau of Census Government Finances in 1968-69 (Sept. 1970). 2 Ratio of Line (1) to capital outlays shown as item. 3 Ratio of Line (3) to capital outlays shown as item. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
RESPONSE TO CREDIT CONDITIONS 219 lays accomplished by State and local govern IMPACT OF INTEREST RATE LIMITATIONS ments. The estimated $1.60 billion in net A major factor in the high level of borrow shortfalls in capital expenditures amounted ing setbacks experienced by State and local to approximately 5.6 per cent of capital governments in fiscal 1970 was the prev expenditures made in the preceding fiscal alence of ceilings on the maximum rates of year. Among the types of units, capital interest that units were legally allowed to spending delays and reductions induced by pay. These statutory or, in some cases, con high interest rates were by far most severe stitutional limitations are found in most for school districts. Their gross spending States and apply to most units. But, as in shortfalls equaled 31.2 per cent of the the case of other laws governing the issuance capital outlays of school districts in fiscal of municipal bonds, interest rate ceilings 1969. On a net shortfall basis, the decrease vary greatly among the States and are often in planned capital spending by school dis not uniform even within a given State: tricts came to 13.4 per cent of their fiscal ceilings are different for different types of year 1969 expenditures.13 For State govern units, purposes, and types of debt instrumental units of all types, the ratio of spend ing setbacks induced by high interest rates TABLE 7 to capital outlays of the preceding fiscal year INTEREST RATE LIMITATIONS ON STATE was 5.8 per cent on a gross shortfall basis, GOVERNMENT GENERAL OBLIGATION BONDS and 4.1 per cent on a net shortfall basis for Number of States fiscal 1970. Interest rate limit (per cent) Mid-1969 Mid-1970 The relative severity of capital spending 14 5 cutbacks to total capital spending by type Above 6 and below 8....................... 6 8 8 or above........................................ 3 6 of unit is a function of the magnitude of the 17 21 No general obligation bonds2........ 10 10 borrowing setbacks, the importance of bor Total.......................................... 50 50 rowing as a source of funds, and the avail ability of alternative sources of finance. For 1 Includes States that have suspended limitations for a specified period of time. example, the approximately $1 billion in 2 State governments that are effectively prohibited from general obligation borrowing are Alabama, Arizona, Colorado, Florida, net long-term borrowing shortfalls experi Georgia, Indiana, Michigan, Nebraska, North Dakota, and South Dakota. enced by school districts resulted in $0.5 Note.—Based on Daily Bond Buyer reports for August 1969 and billion in capital spending shortfalls. Con October 1970 and unpublished information supplied by First National City Bank of New York. Minor exceptions may exist to the ceil versely, for State governments, the ratio of ings on general obligation bonds for various types of governments or purposes of proceeds. spending cutbacks to borrowing reductions was much smaller, with $1.6 billion in net ment. Nonetheless, it is possible to gener borrowing shortfalls leading to about $0.45 alize about the levels of ceilings applicable billion in planned spending reductions. to the basic debt instrument issued by most Generally, local governments are in a more governmental units—the full faith and credit exposed position because of their greater general obligation bond. General obligation dependency on borrowed funds. bonds typically represent 70 per cent of the combined borrowing of State and local 13 Data on capital spending by type of unit of local governments. Table 7 gives those interest government are not available annually. An estimate of rate ceilings that were in effect for State these amounts was derived by applying the proportion of such spending done by types of government in general obligations at the beginning and at 1967 (the latest year for which it is available from the end of fiscal 1970. Table 8 gives the the Census of Governments) to the estimated amount same information for local government gen of capital outlays for fiscal 1969. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
220 FEDERAL RESERVE BULLETIN a MARCH 1971 eral obligation issues at the same two points TABLE 8 in time. INTEREST RATE LIMITATIONS ON LOCAL GOVERNMENT GENERAL OBLIGATION BONDS The interest rate ceilings in many States Number of States at the outset of the surveys (the first columns of Tables 7 and 8) were below the heights Interest rate limit (per cent) Mid-1969 Mid-1970 reached by municipal bond yields in the fall 6 or below......................................... 29 6 and winter of 1969 and caused a large Above 6 and below 8....................... 6 8 8 or above......................................... 4 14 blockage of bond issues that could not None................................................. 11 22 legally be sold. However, as may be seen in Total.......................................... 50 50 the second columns of both tables, by the were responsible for borrowing shortfalls. end of fiscal 1970 the majority of States had Rather, this particular reason was subsumed revised upward, temporarily suspended, or under the general response of “high interest completely lifted their ceilings. By that time, rates” as a cause for borrowing less than was 39 States had ceilings at 8 per cent or higher originally intended. Nevertheless, respond or had completely removed such limitations ents and the reports of the financial press from State general obligation bonds and 42 made it clear that a good share, if not the similarly had high or no interest rate ceilings bulk, of borrowing setbacks was related to on local government general obligation legal limitations on interest rates. Thus it is bonds.14 possible to make some rough estimation of « MUNICIPAL BOND YIELDS: Bond Buyer the over-all impact of ceilings on borrowing 1 20-bond index and spending shortfalls by comparing the experience of units in States where ceilings were in effect with that of units in States with no ceilings.15 At the outset of the survey, 16 States did not have general interest rate ceilings in effect on either their local units, their State units, or both. In these States, therefore, it may be assumed that interest rate ceilings were of no importance in causing stoppages 1968 1969 1970 of intended borrowing or consequent cut backs in capital spending. The remaining 34 Monthly averages of Bond Buyer 20-Bond Index (composite index for 20-year, good-grade municipal bonds). States, however, did have many, if not gen The quarterly questionnaires did not ask eral, limitations (at 8 per cent or below). units specifically if legal interest rate ceilings In Table 9 interest rate-induced shortfalls in borrowing and capital outlays experi 14 The ceiling of 8 per cent was chosen as the cutoff point for effective interest rate ceilings because on numerous occasions during fiscal 1970 municipal bond 15 It would be clearly mistaken to attribute all yields reached or surpassed 7 per cent for longer-term interest rate difficulties to legal ceilings in these general obligation bonds. Hence, ceilings below 8 States where the latter were in force during the survey per cent would have been effective in thwarting bond period. However, to the extent that units in States sales on several occasions, especially those con with ceilings did experience greater shortfalls than templated by smaller communities with unrated or those where ceilings were not in effect, much of that lower-rated credits. For example, median reoffering additional shortfall can probably be attributed to yields on BAA-rated, 20-year bonds reached 7.15 the presence of ceilings. Implicit in this reasoning is per cent in December 1969 and averaged 7.04 per cent a ceteris paribus condition that may or may not be for the first 6 months of 1970, reaching 7.40 in May fulfilled; that is, the units may differ in respect other of that year. than the existence of the ceilings. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
RESPONSE TO CREDIT CONDITIONS 221 enced by units with effective ceilings are for the bulk of units returning previous bond compared with similar shortfalls where there issues to market. were no ceilings or where they were too high Nevertheless, as Table 9 shows, the to have been effective. Although units in similarity in borrowing experiences evi States with ceilings did experience much dently did not reflect itself in spending. Fully greater gross shortfalls, comparison of the 85 per cent of the total net spending cut net amount of borrowing shortfalls and the backs occurred in those States where interest estimated borrowing actually accomplished rate ceilings were in effect during the year. shows that units with ceilings actually were Altogether, the net cutbacks in spending no more disposed to experience abandon attributed to high interest rates were five ments of long-term borrowing plans than times larger in those States where ceilings those in States where ceilings were not in were in effect, and net spending cutbacks effect (Table 9). That is, units in States as a proportion of net borrowing shortfalls were 47 per cent as opposed to 17 per cent TABLE 9 for States where ceilings were not in effect. REDUCTIONS IN LONG-TERM BORROWING AND The results indicate that units in States CAPITAL SPENDING INDUCED BY HIGH with interest rate ceilings were making INTEREST RATES By interest rate limitation borrowing postponements and cancellations In billions of dollars that involved expenditure cutbacks to a much greater extent than those in States Interest rate limitation without ceilings. Units in States without Shortfalls induced by Total high interest rates None or 8 above 8 per cent effective ceilings had more decision flex per cent or below ibility and evidently would delay or reduce Long-term borrowing: long-term borrowing only if this would not Gross shortfalls....................... 6.87 2.55 4.32 Temporary postponements__ 1.71 .39 1.42 affect capital expenditures. Those in States Net shortfall............................ 5.16 2.16 2.90 Capital spending: with ceilings evidently had less flexibility in Gross shortfalls....................... 2.85 .41 2.45 Temporary postponements__ 1.25 .15 1.10 devising alternative means of financing Net shortfall............................. 1.60 .26 1.35 projects in the face of long-term borrowing Item: Actual borrowing.............. 13.25 5.45 7.75 shortfalls. Several reasons probably account or N a o h t ig e h .— (a In b c o l v u e d e 8 s p t e h r o c s e e n u t) n c it e s i l i i n n g S o ta n te i s n , te th re a s t t a ra s te o s f p m ai i d d - b 1 y 9 6 S 9 ta 'h te a d a n n d o for the greater sensitivity of expenditure local units: Connecticut, Maine, Massachusetts, New Hampshire Ohio, Tennessee, Washington, Wisconsin, Wyoming, New York (ex plans in those States with ceilings. First, the cluding certain State authorities), and New Jersey; and local units existence of these limitations undoubtedly only in Maryland and Alaska. Various exceptions exist and corrections were made where possible. Based on the sources given in Table 7. created uncertainty as to when long-term bonds might ever be sold to finance projects. with or without ceilings demonstrated almost In such circumstances, few public officials the same proclivity to end fiscal 1970 with an interest rate-induced borrowing short wished to commence projects whose ultimate fall equal to approximately 38 per cent of funding was uncertain. Second, the revision the actual borrowing accomplished. Thus it or removal of interest rate ceilings was by appears that had other things been equal, no means a simple affair. For example, some ceilings, while causing interruptions in State courts have held that bond issues borrowing plans, may not have contributed approved at the time a particular ceiling was to high shortfalls over the entire fiscal year. in effect must be resubmitted to the elec Units that commenced the period with torate for a new vote. Third, with con ceilings but later removed them accounted struction prices rising rapidly throughout Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
FEDERAL RESERVE BULLETIN □ MARCH 1971 222 the year, a few months’ delay might have rough approximation, it is reasonable to seen the cost of the project rise beyond a estimate that the existence of ceilings may point where it was feasible or where the have accounted for $700 million, or just original borrowing authorization was suf under one-half of the $1.60 billion, in net ficient. Fourth, many States with legal capital spending shortfalls that were reported ceilings on long-term interest rates likewise in fiscal 1970. carried limits on short-term borrowing rates, ALTERNATIVE MEANS OF FINANCING thus potentially blocking off this major Of the nearly $7.4 billion in State and local alternative source of temporary funds.16 long-term borrowing either postponed or A final factor is found in the regional abandoned in fiscal 1970 because of high composition of those States with and without interest rates, approximately $4.5 billion ceilings. Those States without ceilings had no impact on capital expenditure plans tend to be clustered in the northeastern because alternative means were used to part of the United States. Units in those finance projects. Table 10 gives the various States, with their traditional use of short alternatives employed. It is assumed that term borrowing, generally less restrictive the amount of capital spending maintained laws governing borrowing, and proximity to by these alternative means is equal to the the major money markets, were probably amount of the long-term borrowing short in a better position to buffer expenditure fall. Among the alternatives, short-term plans against restrictive credit conditions.17 borrowing clearly stands out as the principal One can only speculate on possible im source of funds. Short-term borrowing that pacts of high interest rates in the absence of was done as a direct consequence of long interest rate ceilings. Nevertheless, had term borrowing delays and shortfalls ceilings been removed, net aggregative amounted to about $2.7 billion, or 60 per spending impacts might have been con cent, of the total of alternative means. Far siderably less, say on the order of 17 per cent behind as a source of funds was the use of of $5.16 billion of the borrowing shortfalls, liquid assets on hand, which represented or $900 million. Such a figure would have less than 15 per cent of the maintained been much closer to the behavior detected in expenditure.19 earlier surveys of State and local respon 18 Petersen and McGouldrick, op. cit., pp. 967-71. siveness to high interest rates.18 Thus, as a See Appendix C, pp. 231-32. 19 There was a continuing shrinkage of State and 16 At the beginning of fiscal 1970, 24 States either local liquidity throughout 1969. While both current did not authorize or issue local government short-term notes or had interest rate ceilings of 6 per cent or less TABLE 10 on such notes. Yields on short-term notes of the highest quality, federally guaranteed, hovered between BORROWING SHORTFALLS INDUCED BY HIGH INTEREST RATES: ALTERNATIVE MEANS 5 and 6 per cent for much of the latter part of 1969. OF FINANCING 17 Units in the northeastern States of Maine, New Fiscal year 1970 Hampshire, Vermont, Massachusetts, Rhode Island, Connecticut, New York, and New Jersey were unen cumbered by effective interest rate ceilings during Billions Percentage Alternative means of distri fiscal 1970. Altogether they accounted for an estimated dollars bution 31 per cent of the long-term borrowing done that year ($4.3 billion of $13.2 billion). While they Short-term borrowing..................... 2.68 59.8 likewise experienced 31 per cent of the total of net Reductions in liquid assets.............. .65 14.5 Reductions in current expenditures. .03 .7 long-term borrowing shortfalls ($1.6 billion of $5.2 No immediate need......................... .80 17.9 billion), they had net capital spending shortfalls equal Governmental loans......................... .11 2.4 .21 4.7 to only about 10 per cent of the national total ($.16 billion of $1.61 billion). 4.48 100.0 18 This note appears in the following column. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
RESPONSE TO CREDIT CONDITIONS 223 Nearly 18 per cent of the dollar volume mately half of the increase in short-term of projects to be financed by long-term indebtedness was accounted for by the sub borrowings were not affected because units stitution of such financing for long-term planned to borrow well in advance of actual debt that was not sold because of high cash needs. The other alternative means interest rates.21 were of minimal importance in maintaining expenditure plans. Although reductions in CONCLUSION current expenditures proved to be of some Borrowing and capital spending decisions importance in an earlier survey, the fiscal of State and local governments displayed 1970 surveys showed it to be insignificant a convincing sensitivity to fluctuations of as a source of funds, evidently contributing interest rates and credit market conditions only $30 million, or less than 1 per cent, of throughout fiscal 1970. The climb of in the funds used to maintain expenditures.20 terest rates through the last quarters of 1969, However, it is quite possible that some of augmented by the widespread presence of the alternative sources used—such as intralow legal interest rate ceilings, resulted in governmental loans and the depletion of a large volume of borrowing and spending liquid asset positions—entailed some small postponements and cancellations. Con expenditure impacts. versely, the general easing of conditions in The estimated $2.7 billion in short-term early 1970, aided by the lifting of ceilings, net financing undertaken by State and local allowed many units to reinstate their original governments to maintain capital expen borrowing and spending plans. Although ditures in the face of long-term borrowing short-term borrowing was used extensively, shortfalls evidently accounted for a sub such temporary buffers to insulate capital stantial share of the increase in short-term outlay spending plans from borrowing short indebtedness of these units in fiscal 1970. falls were generally less used in fiscal 1970 During that period, State and local govern than they had been during the credit restraint ments issued $14.4 billion in short-term period of 1966. While many factors might securities and increased their outstanding account for this, a very important one was short-term debt by $5.0 billion. On the basis doubtlessly the chariness—or inability—of of the survey, it would appear that approxiborrowers to use short-term financing when there was uncertainty over their ultimate receipts and total expenditures rose by $12 billion ability to issue long-term debt to fund proj between December 1968 and December 1969, total bank deposits and currency held by these governments ects. While the survey data remain to be dropped by nearly $5 billion during this period. Part analyzed on the basis of size of unit, the of the decline reflected disintermediation, a shifting experience of many school districts seems from time deposits to higher-yielding U.S. Govern ment and U.S. agency securities, holdings of which rose by $3.5 billion over the year. On the other hand, part of the small rise in State and local government 21 Based on Federal Reserve flow of funds figures. demand deposits (which partially offset nearly a $6 In fiscal 1969, short-term debt had increased by $3.4 billion decline in their time deposits) reflected the billion and by the end of that fiscal year stood at greater use of short-term bank loans by these units, approximately $14.2 billion. The short-term borrowing as is discussed in Appendix C. The easing of credit undertaken in fiscal 1970 to cover long-term borrow markets and increased sales of debt permitted a ing shortfalls is not completely comparable with the replenishing of $3 billion in time and savings deposits increase in short-term indebtedness because (1) some during the first half of 1970. of the earlier borrowing may have represented con 20 According to the 1966 survey, reductions in tinuations of short-term loans from previous periods, current other expenditures sustained about $80 million and (2) borrowing done in conjunction with temporary in capital spending shortfalls induced by high interest delays perhaps was terminated when the bonds were rates. Petersen and McGouldrick, op. cit., p. 969. ultimately sold before the end of fiscal 1970. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
224 FEDERAL RESERVE BULLETIN □ MARCH 1971 to underscore the earlier finding that smaller moval of these ceilings probably will reduce units of government must persevere with the sensitivity of State and local borrowers long-term borrowing plans if they wish to to interest rate changes in the future. On make capital expenditures. They generally the other hand, as is discussed in Appendix lack temporizing alternative means of C, such alterations very well may lead to finance. higher rates of interest on municipal bonds Interest rate ceilings represented a com and more discretionary delays in borrowing plicating feature and reduced the limits of and spending for a given set of market discretionary behavior by State and local conditions. But removing ceilings and allow borrowers. It would appear that the presence ing State and local units to make borrowing of ceilings substantially increased the volume decisions at their own volition will return of interest rate-associated capital spending the allocation of credit to the bond market shortfalls for fiscal 1970, perhaps even and will allow such decisions to be based on doubling them. Upward revision and re- current values and priorities. APPENDIX A: Technical Description of Survey The Federal Reserve survey of the borrowing an In addition, a sample of local government units ticipations and realizations of State and local gov was drawn so as to minimize sampling variance of ernments in fiscal year 1970 was conducted by the national estimates of combined debt and expendi Governments Division of the U.S. Bureau of the tures. After eliminating units that had no independ Census. Annual anticipations questionnaires were ent powers to borrow or whose transactions were sent to the sample of governments at the end of routinely reported by parent units, the total size of June 1969 requesting information on the long-term the sample was 4,590 units (Table 1). borrowing anticipated for the coming year. There Units that indicated in the anticipations survey after, quarterly realizations surveys were sent at an intention to borrow during fiscal 1970 were the end of September, December, March, and then sent realizations questionnaires at the end of June. Questionnaires were mailed so as to arrive the quarter(s) in which they intended to borrow. on the first business day following the end of the While this procedure was successful in gaining full quarter. Follow-ups were used for slow or incom coverage of the sample’s borrowing behavior dur plete responses. Returns were usually ready for ing the first two quarters of the survey period, analysis 5 weeks after the original mailing. The problems developed during the last two quarters. rate of response was extremely high especially on Because of the discouraging market conditions dur the realizations surveys. ing the last half of 1969 and the prevalance of in terest rate ceilings, which precluded units from marketing bond issues successfully, many units SURVEY STRUCTURE drastically revised their borrowing anticipations The survey frame of the borrowing anticipations downward or, having failed to borrow, simply with and realizations questionnaires was constructed drew from the survey frame by giving no further from a subsample of State and local governments plans to borrow. used by the Bureau of the Census to furnish na A unit that had originally expected to borrow in tional estimates of that sector’s financial balances a later quarter was not recontacted unless it had and transactions. The largest units were included specifically responded that it was continuing to at with a 100 per cent canvass.1 tempt a sale of its bond issue. Nevertheless, many of the units in the sample frame that did withdraw 1 This includes all State governments and their agencies because of an earlier borrowing disappointment did (including State universities and colleges), all counties with in fact sell their bonds when interest rates dropped over 250,000 population, cities and townships with popula tions over 50,000, school districts with over 25,000 enrollees sharply in the third quarter of fiscal 1970 or when and, generally, special districts with an excess of $5 million in debt outstanding. constraining interest rate ceilings were lifted. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
RESPONSE TO CREDIT CONDITIONS 225 Fortunately, the full year’s borrowing experience factors (assuming full response) and the mean of the survey frame, for both respondent and non nonresponse adjustment factors (total sample bor respondent units, could be checked against the rowing over respondent borrowing) are given by municipal bond sales records of the Investment type of unit in Table 11. Bankers Association (IBA). In this way, it was TABLE 11 possible both to detect discrepancies in reported borrowing and to determine in most cases the ex ADJUSTMENT FACTORS perience of units that either had not responded to the original survey of borrowing intentions or that Mean blow-up factors Type of unit had withdrawn from the sample (with no further Sample1 Nonresponse2 borrowing intentions) during the first three quarters of the survey. Altogether these sources un States and State agencies 1.000 1.087 Counties.......................... 1.187 1.099 covered $850 million in borrowing by sample gov Cities or towns............... 1.225 1.033 Special districts............... 1.266 1.054 ernments that had not been reported or that rep School districts............... 2.854 1.028 resented later resale of bond issues that had been All types................... 1.258 1.059 postponed because of high interest rates.2 1 Sample blow-up factors assigned for estimates of the universe assuming full response. NATIONAL ESTIMATES 2 Used to correct survey results to a full-response basis. Numerator ncludes borrowing accomplished by sample units that did not reply to the annual survey as well as that accomplished by respondents. National estimates of the surveyed items were de veloped by the application of two sets of expansion Note.—Base amounts that were adjusted include borrowing by respondents 15 per cent of which evidently was not reported in the factors. The first set consisted of those that were quarterly surveys but which was obtained from use of the files of the Investment Bankers Association. The bulk of these represent come assigned in the original Bureau of the Census selec backs of issues that were postponed during the first two quarters of tion of the sample. These were statistically deter fiscal 1970. mined so as to minimize the sampling error of na Comparison of the universe estimates of State tional estimates of combined expenditure and and local borrowing derived from the full sample indebtedness under conditions of complete response. survey with those bond sales recorded by the Fed Therefore, it was necessary to further adjust these eral Reserve show the two series to be in close estimates for the experience of units that did not agreement. For the year, the full-sample estimate respond to the surveys* This second set was derived was $12.93 billion in bond sales as compared with by using IBA files to compile the borrowing done the $13.25 billion measured by the Federal Re by nonrespondents; this information was then serve.4 The $0.32 billion discrepancy for the fiscal blown up by the unit expansion factors to derive a year amounted to only 2.4 per cent of the borrow national estimate of nonrespondent borrowing. ing total computed by the Federal Reserve. In view Aside from possible errors in unit identification, it of the small size of this deviation and the com was thus possible to achieve a full sample estimate positional difficulties of adjusting other items for of the long-term borrowing accomplished by both this difference, only the actual long-term borrowing respondent and nonrespondent governments. items were further adjusted to agree with the Stratified by type of government units, these Board’s figures, the other items—such as spending full-response sample estimates were, in turn, used and borrowing—having been left on the fullto expand other items reported in the surveys up to sample basis. national estimates.3 Both the mean sample blow-up TYPES OF QUESTIONS ASKED The anticipations questionnaire was designed both 2 On the basis of the experience gained by the experi mental surveys, several improvements in both the question as a 1-year projection of desired levels of long naires and the survey procedures have been made to enlarge term borrowing and as a screening device to deter and speed up the recovery of information from the sample units. In particular, reported borrowing data is routinely com mine those governments planning to borrow. It pared to available market data, the identification of make-ups simply asked units if they intended to borrow long of postponed borrowings and projects is made explicit, and the entire sample is contacted semiannually for its borrow ing expectations. 3 This was done by taking the ratio of full-response sample borrowing to respondent borrowing, both on a blown-up basis. 4 The discrepancies between the full-sample survey estimate The assumption is that the ratio of other experiences to bor and the Federal Reserve’s long-term borrowing figures were rowing actually accomplished by respondents is the same for — $.02 billion, —$.20 billion, +$-34 billion, and —$.42 billion, nonrespondents. respectively, for the four quarters of fiscal 1970. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
226 FEDERAL RESERVE BULLETIN □ MARCH 1971 term over the coming four quarters and, if so, to involve a reduction in or postponement of capital indicate the quarter for which this borrowing was outlays during fiscal 1970. If units indicated a planned and the status of the planned bond sale; reduction in capital expenditure because of the that is, whether the bond sale was already au borrowing deficiency, they were asked to give the thorized or whether the necessary borrowing au approximate amount. Units not experiencing a thorizations had not yet been obtained (as in the shortfall were asked to state the alternative means case of a bond referendum). Last, units were that were being used to maintain the level of ex asked to list the title or the use of proceeds of the penditures. bond issues planned in order to avoid double re If, on the other hand, units borrowed by at least porting of the same bond issue. Following up the 10 per cent more than they had originally intended, annual survey, units were recontacted at the end they were asked to indicate why. Last, units were of the next four quarters to discover their actual requested to enter, by quarters, their intended bor borrowing experiences. rowing for the remainder of the fiscal year, and The first entry on the realizations survey form to distinguish between authorized and not-yetgave the amount of borrowing that the unit had authorized borrowings. indicated it had intended borrowing during the preceding quarter. (Although the questionnaire SURVEY ADMINISTRATION indicated that this was the amount that had been The survey was conducted in the field by the Gov intended as of the previous July, the amounts en ernments Division of the U.S. Bureau of the Cen tered in the “planned borrowing” space were up sus. Questionnaire forms were preliminarily edited dated to reflect the most recent expectation given and processed by that Division. Final editing and by the respondent.) Next, units were asked to computer tabulations were done at the Federal record the amount that they had actually bor Reserve. rowed long term in the preceding quarter. If the State and local government officials were most amount borrowed was 10 per cent less than the cooperative in filling out the questionnaire forms, intended amount, units then were asked to indicate which often required estimating dollar amounts and the reason for the discrepancy. If units experienced reflection on reasons why actions were taken. The a shortfall in their borrowing below the anticipated Federal Reserve wishes to thank those respondents level, they were asked whether this shortage would whose efforts made the survey possible. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
RESPONSE TO CREDIT CONDITIONS 227 APPENDIX B: Questionnaire Forms Budget Bureau No. 41-R2519; Approval Expires December 31, 1973 Data supplied by FORM S-125 U.S. DEPARTMENT OF COMMERCE (4.15.70) BUREAU OF THE CENSUS Name SURVEY OF BOND ANTICIPATIONS Title In correspondence pertaining to this report, please refer to this numbe^ Agency Official address (Number and street, city, State, ZIP code) Telephone (Please correct any error in name and address including ZIP code) Area code Number Extension TO: Bureau of the Census, Governments Division Washington, D.C. 20233 Dear Sir: At the request of the Federal Reserve Board, the Bureau of the Census is con ducting a survey of long-term borrowing anticipated for one year ahead. The rapidly growing importance in the capital markets of bonds issued by State and local governments makes the forecasting of their credit demands of major interest to the Board. The data will be used to develop national estimates of long-term borrowing plans. Please complete the form on the reverse side and return the addressed copy to us at your earliest possible convenience. The duplicate copy is for your files. An official envelope, which requires no postage, is enclosed for your reply. Your cooperation and participation in this survey are greatly appreciated. Sincerely, / f ? /V GEORGE H. BROWN Director Bureau of the Census 2 Enclosures Please complete form on reverse side Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
228 FEDERAL RESERVE BULLETIN n MARCH 1971 1. Please indicate below the amounts of long-term borrowing that your government plans for the next four quarters, beginning with the third quarter of calendar 1970. Long-term debt consists of the par value of debt payable more than one year after date of issue, and includes both funding and refunding obligations. Do not include any bond issues sold prior to the periods indicated. a. On the first line, enter the amounts of borrowing for which any necessary authorizations have already been obtained. On the second line, enter amounts for which required borrowing authority has not yet been received (such as referendum approvals). b. If your agency does not plan to issue any long-term bonds i-- > during the four quarters indicated below, please check here.-----------1_____I THOUSANDS OF DOLLARS Status of borrowing plans July — Sept. Oct. - Dec. Jan. — March April — June 1970 1970 1971 1971 2. Borrowing already authorized . . . 3. Borrowing not yet authorized . . . 4. TOTAL----------------------------^ 5. Please list below the anticipated bond sales that comprise the above amounts for this year. The sum of these amounts should equal the total shown in line 4 above. Line Title of bond issue or functional category (education, roads, etc.) Amount of issue (Thousands) No. (a) (b) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 FORM S-125 (4-1 5-70) USC OMM-DC Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
RESPONSE TO CREDIT CONDITIONS 229 Budget Bureau No. 41-R2487; Approval Expires December 31, 1970 FORM S-126 U.S. DEPARTMENT OF COMMERCE DATA SUPPLIED BY (5-6-69) BUREAU OF THE CENSUS Name QUARTERLY SURVEY OF BOND REALIZATIONS Title Agency Address Telephone TO: Bureau of the Census, Government Division Washington, D.C. 20233 Dear Sir: In a survey of anticipated long-term borrowing which the Bureau of the Census conducted for the Federal Reserve Board last June, you indicated that it was the intention of your government or agency to issue bonds in the quarter just ended. We are now conducting a followup survey to determine the extent to which your borrowing plans were rea lized and the impact of any changes in those plans on your agency’s expendituriss and future long-term financing plans. Please complete this form and return the addressed copy to us at your earliest possible convenience. The duplicate copy is for your files. An official enve lope, which requires no postage, is enclosed for your reply. Your cooperation and participation in this survey are greatly appreciated. Sincerely, A. ROSS ECKLER Director Enclosure PLEASE COMPLETE FORM ON REVERSE SIDE USCOMM-DC Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
230 FEDERAL RESERVE BULLETIN n MARCH 1971 1. In response to our questionnaire of last July, it was reported that your unit planned to borrow $_____________________during the __________________________________quarter. (Thousands) Please enter the amount your unit actually borrowed long-term during that quarter $________________ (Thousands) 2. If your unit borrowed less than it had intended, and if the deficiency was at least 10% of the amount planned for the quarter: a. Which of the following reasons explain best why it did so? 1 Q Referendum defeated 2 Q Interest rates too high 3 Q Construction plans delay 4 Q Other reasons — Please state briefly b. Has this deficiency led, or will lead, to either a reduction in or a postponement of contract awards or other capital outlays this past quarter or later during the comming year? i d Yes 2 0 No c. If you answered YES to question 2b, what is the approximate amount of such reductions or post ponements in contract awards or other capital outlays? $ ___________________________(Thousands) d. If you answered NO to question 2b, check which of the following means are being used to maintain the level of your expenditure program. 1 Q Short-term loans from banks or other private lenders 2 Q Liquid assets, including existing bond funds 3 Intergovernmental loans 4 Q] Reductions or postponements of other cash outlays 5 [d Money not needed immediately for construction payments 6 Other means — Please state briefly Please skip to item 4 3. If your unit borrowed more than was planned, and if the excess was at least 10% of the amount planned for the quarter: a. Which of the following reasons describe best why it did so? 1 CD Interest rates were expected to rise later 2 Q Project plans were ready ahead of time 3 Q Other reasons — Please state briefly 4. Enter below the amounts your unit currently plans to borrow long-term for the quarters indicated. (Please note that this item should be answered by all units, including those that borrowed approximately the amount planned for the current quarter.) Thousands of dollars Status of plans Oct. - Dec. Jan. - March April - June 1969 1970 1970 a. Debt already authorized . . . . b. Debt not yet authorized .... total --------------------------► Digitized for FRASERF ORM S-126 (5-6-69) USCOMM-DC http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
RESPONSE TO CREDIT CONDITIONS 231 APPENDIX C: Diagrammatic Analysis of the Influence of Interest Rate Limitations The consequences of legal limitations on interest rates segment, SSC, illustrates the supply curve for all units on the functioning of the municipal bond market can where interest rate ceilings are in effect for many. be illustrated by use of the familiar demand- and The higher segment, £5™, illustrates the supply curve supply-curve diagram. In Figure 2 below, the rate of where the rate limitations have been lifted. For exposiinterest on municipal bonds, r, is plotted on the vertical tional purposes, it is assumed that all other determi axis and the dollar volume of bonds, v, is plotted on nants of the supply of bonds remain the same in both the horizontal axis. cases. In times of relatively easy monetary conditions when lower interest rates prevail, the demand and supply MUNCIPAL BONDS: Demand and supply curves are brought into equilibrium at rates of interest curves under various conditions below those where ceilings are encountered and they have no effect. This situation is depicted in the case RATE OF INTEREST where v° bonds are sold at an interest rate of r°. How ever, when monetary conditions tighten, investors’ demand for municipal bonds shifts rapidly left to a position of D’D’ as the supply of credit dwindles and the yields on competing investments rise. As drawn in Figure 2, the supply-of-municipal-bonds curve, SSC, is bent sharply leftward illustrating the effect on the legal ceilings of interest rates above which units are not allowed to pay on their bonds. In the case of individual States (and of particular types of units within a State), the supply-of-bonds curve is, of course, sharply kinked to the left. As the individual supply relationships are summed together to form a market supply, the total supply curve is progressively bent to the left, reflecting that more and more ceilings take effect, the higher the rate of interest. Given the existence of ceilings as implicit in curve SSC, the supplyof-bonds curve will intersect the demand-for-bonds curve D’D' at that point giving an interest rate of r° and a volume of bonds sold of Vc. The upper leg of the supply-of-bonds curve, (SSn), indicates the supply of bonds forthcoming in the ab sence of ceilings. That is, were it not for the constraint imposed by the limitations of interest rates, many more The two demand curves DD and D'D’ represent the bonds could have been offered for sale at the higher demand for municipal bonds on the part of investors. rates of interest.2 They are positively sloped indicating that the demand It is evident that in the absence of interest rate for bonds increases as the interest rates increase, other things being constant. The supply-of-bonds curves SS*1 ceilings, the supply of and demand for municipal bonds and SSC are negatively sloped, reflecting that as in would have equilibrated at higher yields and a greater terest rates rise the supply of municipal bonds offered volume of bonds would have been sold. This is shown by State and local governments decreases.1 by curve SSn intersecting DD at yields rn and volume Vn. Hence, those units that were precluded from bring In Figure 2, the supply-of-municipal-bonds curve ing bonds to market helped to keep the interest rate branches along two segments, SSC and SSn. The lower from rising as high as it would have otherwise. For xThe shape of the demand and supply curves for municipal example, the limitations on units that restricted them bonds in Figure 2 are for illustrative purposes and are not from borrowing at 5 or 6 per cent helped to lower the based upon specific estimates. Nonetheless, empirical studies yields on bonds sold by units that could borrow at do indicate that the demand and supply of municipal bonds do higher yields. conform to the relationships implicit in that figure. Econo metric studies have estimated the elasticity of supply of munici Several refinements could be added to the above pal bonds with respect to interest rates to be in the range of analysis. First, it was evident from reports that credit — 1.0 to —2.0, by using quarterly data, although it may be rationing was practiced on the part of many lenders considerably higher than this in the short run. The elasticity of the demand for municipal bonds is more difficult to estimate who bought municipal bonds at lower than market because of the extreme volatility of commercial bank acquisi tions. Bank investments in municipals seem to be largely insensitive evidently has a very high elasticity of demand for these securi to the yields on municipal bonds and are determined more by ties. See Harvey Galper and John Petersen, “Strengthening the the availability of residual investable funds after prior claims Municipal Bond Market,” Investment Dealers’ Digest (Oct. 20, for funds have been met. This would be illustrated by shifts 1970). in the demand curve rather than movements along it, because 2 Evidence of this is found in the rapidity with which ceilings the supply (and cost) of investable funds is subsumed in the were lifted during the year they became effective and is but construction of the demand curves for any given period. The tressed by the much larger volume of sales in the second household sector, on the other hand, which absorbs the bulk quarter of 1970 when yields equaled and surpassed those of of municipal bonds in times of restrictive credit conditions, the third and fourth quarters of 1969. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
yields in order that State and local governments could the effective rate of interest to competitive levels. For sell bonds at interest rates at or just below the legal example, there were reported instances of bank loans ceiling.3 In the aggregate, this behavior could be inter to communities at the ceiling rate where the borrower preted as a selective flattening of the demand-for- was required to keep part of the loan proceeds on bonds curve in the vicinity of the various ceilings. To deposit for a specified interval of time. In this manner, the extent, however, that these rationed funds would the interest paid on the entire amount of the loan have been available at somewhat higher yields to other compensated the lender for the smaller amount of borrowers, the latter may have experienced somewhat funds actually available to the borrower and, hence, higher interest rates on their borrowings because of the drove the effective rate of return above that implied diminished supply of funds in the remainder of the by the nominal interest rate on the loan.4 market. Hence, the over-all impact of this form of credit rationing on yields and on the dollar volume of 4 For example, were a community to agree to borrow $2 mil bonds sold is by no means certain. Another complica lion for 2 years repayable at the end of the term with $60,000 tion arises from the fact that an unknown quantity of in interest payments payable annually, the nominal and effec borrowers, who sold at rates of interest nominally tive rate of interest on the loan would be 6 per cent. However, where the community agrees to withdraw only $1 million the below that prevailing in the market, had to make first year and does not withdraw the second $1 million until adjustments in the lending terms, which actually raised the second year, then the same annual interest payment of $60,000 with a term payment of $2 million at the end of the 3 See H. W. Kurtz, “Impact of Interest Rate Limitations,” second year would produce for the lender an effective rate of Municipal Finance (Aug. 1970). interest of 9 per cent on the transaction. 232 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
Statements to Congress Statement by Arthur F. Burns, Chairman, began to recover as our exports rose rela Board of Governors of the Federal Reserve tive to imports. These several developments System, before the Joint Economic Commit have imparted better balance to our national tee, February 19, 1971. use of resources, and thereby promise to contribute to economic and social progress. I appreciate the opportunity to meet with Another highly significant development this committee once again to present the of the past year was a dramatic change in views of the Board of Governors on the business attitudes toward the control of condition of our national economy. costs. As product markets become more Our over-all economic performance dur competitive and costs continued to mount, ing the past year has left much to be de business managers in increasing numbers sired. Unemployment rose to more than 6 per finally recognized that their profit margins, cent of the civilian labor force by year-end. which had been gradually eroding since Idle industrial capacity increased. Business 1965, would drop sharply further unless profits deteriorated further. The price level ways were found to improve efficiency sub continued to rise sharply. Our balance of stantially. Vigorous efforts to eliminate payments remained in an unsatisfactory con loose and wasteful practices resulted by the dition. These frustrations and disappoint second quarter of 1970 in a renewed in ments cannot be overlooked; but they also crease of output per manhour, ending a must not be allowed to blind us to the prog stagnation which had lasted nearly 2 years. ress that our Nation has been making to The rate of advance in unit labor costs there ward the restoration of its economic health. fore moderated last year, even though wage Underneath the surface of aggregate eco rates continued to rise at an undiminished nomic activity, major changes took place pace. during 1970, and they have been—on the The new attitude toward cost controls whole—in harmony with the aspirations of had its counterpart in business financing. the Congress and the American people. The speculative mood of the latter years of Thus, the defense sector of our economy has the 1960’s had given rise to loose financing continued to shrink, with employment in practices that posed a threat to financial this sector—when the reduction of the stability. This became abundantly evident Armed Forces is counted in—declining last summer, when conditions approaching three-quarters of a million during the past crisis prevailed for a time in some of our year. Also, the protracted investment boom financial markets, notably in the commercial in business fixed capital—whose continu paper market. ance would have necessitated a major re These developments served as a pointed trenchment later on—has tapered off. Mean reminder to the business and financial com while, the homebuilding industry has in munity that canons of sound finance are still recent months been experiencing a great up relevant in our times. Chastened by experi surge of activity. And our trade surplus— ence, many firms have of late been reducing which had plummeted from 1965 to 1969— their exposure to risk by funding short-term 233 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
234 FEDERAL RESERVE BULLETIN a MARCH 1971 debt or by enlarging equity cushions. In of aggregative measures of economic be turn, many lenders have been screening loan havior, we find that a large part of the foun applications with greater care and upgrad dation needed for an enduring prosperity ing their investment portfolios. Households, was rebuilt during the past year. Let me turn too, have been placing greater emphasis on next, therefore, to the role that monetary liquidity and safety in the management of policies played in fostering this achievement. their financial assets. The prospects for Monetary policies during 1970 at first maintaining order and stability in financial sought to create an environment in which markets during the years immediately ahead progress could be made in unwinding from have thus been enhanced. the inflationary excesses of the past, while The processes at work in our financial providing sufficient stimulus to prevent eco markets during the past year have strength nomic weaknesses from cumulating. As the ened the prospects for recovery in economic year advanced, the Federal Reserve gave activity this year. The liquidity of commer increasing attention to liquidity problems cial banks and of other financial institutions and to the need for establishing the financial has improved markedly. Credit has become basis for a resumption of economic growth. more readily available to prospective home- At the beginning of 1970, as this com buyers, State and local governments, and mittee knows, monetary restraint reached its small businesses, as well as to the larger in peak of intensity. The monetary policy pur dustrial and commercial enterprises. Interest sued during the preceding year had become rates have tumbled. Indeed, the decline in increasingly restrictive because of the urgent long-term interest rates since the middle of need to curb inflation. During the latter half 1970 has been the largest and most rapid of of 1969, the narrowly defined money supply the postwar period. Even interest rates on —that is, currency plus demand deposits— consumer loans and mortgage interest rates had grown by an annual rate of only 1 per —which often display downward inflexi cent, while time deposits of commercial bility—have declined during the past sev banks actually declined sharply. Bank li eral months. And the decline of interest rates quidity was at a very low level; heavy de brought, of course, welcome relief to a badly posit withdrawals were draining funds from depressed bond market. mutual savings banks and savings and loan As bond prices rose and cost-cutting by associations; the supply of mortgage credit business firms continued, investors began to had shrunk severely; many State and local look forward expectantly to renewed expan governments were unable to arrange financ sion in business activity and earnings. Inter ing of their construction projects; even some est in common stocks therefore revived, and of the largest business enterprises were hav share prices—particularly of “blue chips”— ing difficulty in satisfying their financing have staged a spirited recovery. With the needs; interest rates were at or soaring to financial underpinnings of the economy im wards historic peaks; and confidence in fi proved, housing starts have already risen nancial markets was waning. briskly and State and local construction As I have already indicated, conditions projects—delayed earlier by tightness in in our money and capital markets have since credit markets—are being financed more then changed dramatically. Confidence in readily and at much lower cost. financial markets and institutions has been Thus, when we look beneath the surface restored; liquidity positions have improved; Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
STATEMENTS TO CONGRESS 235 credit has become both cheaper and more tially to their holdings of short-term Treas readily available to a broad spectrum of ury securities, and became aggressive buyers borrowers; and all this was accomplished of State and local government bonds. They with a moderate—and I believe a prudent— also took steps to encourage additional bor rate of monetary expansion. rowing by bank customers. Commitments of Last year, the narrowly defined money funds to the mortgage market rose, and supply rose by 5 Vi per cent. This is by no growth in real estate loans picked up to means a low rate of growth by historical wards the close of the year. The prime rate standards. Indeed, it was exceeded in only of interest on bank loans was reduced in a 4 years during the postwar period—1946, series of steps from 8 Vi per cent at the be 1951, 1967, and 1968, each a year of in ginning of last year to 5% per cent pres tense inflation. However, when the economy ently. Other lending policies too were re is sluggish, and when very unusual demands laxed, as banks began actively to seek out for liquidity are encountered, as they were prospective loan customers. in 1970, a rate of monetary expansion that The effects of these easier monetary poli is appreciably above the historical average cies gradually spread from the banking sys is not inappropriate. tem to financial institutions at large. At life Broader measures of the money supply insurance companies, the drain of investable indicate even more clearly the rather ex funds through policy loans decreased over pansive course of monetary policy during the course of the year, encouraging larger 1970. For example, if the concept of the commitments to corporate borrowers. At money supply is broadened to include com nonbank thrift institutions, the rate of in mercial bank time deposits other than large- flow of deposits rose by the final quarter of denomination certificates of deposit (CD’s), last year to levels not seen since the early we find that growth in money balances dur 1960’s—except for a brief period in 1967. ing 1970 was at an 8 per cent rate—acceler Exceptionally high rates of deposit inflow ating from 6 per cent in the first half to more have continued in recent weeks. Indeed with than 10 per cent in the second. the supply of mortgage money temporarily An assessment of recent monetary policy outrunning the demand, some institutions requires, of course, attention to numerous find themselves unable to acquire the volume financial variables besides the money supply, of real estate loans they desire. whether defined narrowly or broadly. By the These are the indications, I believe, that second half of 1970, the increase in total the monetary policies pursued last year have funds available for lending and investing by created the financial conditions needed for commercial banks had risen to an annual a sustained expansion of production and rate of 10 per cent. Of course, this high rate employment. Underlying economic trends of expansion partly reflected some rechan have been obscured in recent months by the neling of borrowing from financial markets effects of the prolonged auto strike. Never to banks after the ceiling rates of interest theless, some major economic series suggest that banks could pay on short-term CD’s that a general recovery of business activity were suspended. Allowing for this factor, the may already be under way. For example, increase in available bank funds was still stock prices have been rising briskly for a far above the growth of demand for bank number of months, as I noted earlier. The loans. Consequently, banks added substan increase in residential building activity that Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
236 FEDERAL RESERVE BULLETIN □ MARCH 1971 began last spring has gathered momentum. In contrast to the relative weakness in the New orders for durable goods rose in De defense and business capital sectors, outlays cember, and the ratio of inventories to un for State and local construction and for resi filled orders for durable goods declined for dential building should rise vigorously this the first time since April 1969. In January year. With housing vacancies at a very low initial claims for unemployment insurance level, the decline of mortgage interest rates fell somewhat further; the length of the fac spreading, and the likelihood of over-all eco tory workweek increased for the third time nomic recovery high and rising, the expan in 4 months; industrial production rose sion in the homebuilding industry should again; and business loan demand at com continue; housing starts in the fourth quarter mercial banks strengthened measurably. were at the highest level since the early These indicators suggest that either a real 1950’s. We can be reasonably confident also recovery in production and employment is that a substantial revival in State and local actually under way or that such a develop government capital outlays will occur this ment is likely to occur in the near future. A year, although—as this committee well review of trends in several of the major knows—many municipalities are facing sericategories of spending points to the same out shortages of funds. These financial diffi general conclusion. culties may be relieved by Federal grants, Let us consider first the principal eco and in any event they are much less likely nomic sectors that may display weakness in to limit capital spending than the operating 1971. Defense spending is one of these. programs of State and local governments. Judging by the January budget message, the Changes in the rate of inventory invest outlook is for little change in outlays for ment typically play a strategic role in the defense in the year ahead, which would im course of a business recovery. At present, ply some decline after allowance for price ratios of factory stocks to sales and to un increases. Other Federal expenditures, how filled orders are still quite high in many ever, will be rising substantially in the course of the year, thereby adding to the disposable durable goods lines. This, however, is char income of consumers and strengthening the acteristic of the early stages of recovery. A financial position of State and local govern pick-up in the tempo of economic activity ments. in the months ahead would encourage busi Business capital spending is also likely to nesses to increase inventories in anticipation remain sluggish, at least during the early of a rising trend of sales. I would not rule months of this year. Thus far, the recovery out the possibility that a rise in the rate of since last spring in new orders for capital inventory accumulation will contribute ma equipment has been modest, and surveys of terially to increased production and employ business investment plans do not suggest an ment this year. early upswing in outlays for plant and equip Ultimately, the shape of business condi ment. Nevertheless, it would not be surpris tions during 1971 will depend on what hap ing to see some strengthening in business pens to spending in the largest sector of our spending for equipment as 1971 progresses economy—the consumer sector. For many —the encouragement coming in part from months, the mood of the average consumer the recent liberalization of depreciation has been cautious, if not pessimistic. The allowances. personal savings rate has remained high, Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
STATEMENTS TO CONGRESS 237 and consumer liquid assets have been built to do everything in our power to increase up at an unusually rapid rate. No one can confidence. foretell how soon this mood will change. An appropriate monetary policy for the The caution of the American consumer months ahead probably would require suffi is due in part to greater awareness of the cient growth in the reserves of the commer hazards of unemployment. But a more im cial banking system to foster continued ex portant factor may well be the steady ero pansion in monetary and credit aggregates sion of the real value of his income and his at rates above their long-term averages. savings through inflation. Since he sees no Let me assure you, in this regard, that the effective way to hedge against inflation, the slowdown of the past few months in the consumer seems to respond to rising prices growth rate of the narrowly defined money by increasing his current rate of savings in supply does not reflect a change in Federal an effort to stretch the paycheck far enough Reserve policy. Provision of bank reserves to cover tomorrow’s higher living costs. The through open market operations during this consumer’s lack of confidence is thereby period has, in fact, been quite generous. The communicated to the business community. public, however, has chosen to hold addi For when consumer buying patterns are tions to its deposit balances in the form of weak, businessmen often lack the confidence time accounts rather than demand deposits. to undertake new ventures to expand mar Most recently, in fact, growth of a more kets, introduce new products, or increase broadly defined money supply—that is, cur productive facilities. rency plus demand deposits plus commercial The strength of economic expansion dur bank time deposits other than large CD’s— ing and beyond 1971 will depend, in my has actually accelerated to an average an judgment, principally upon our success in nual rate of over 12 per cent during the restoring the confidence of consumers and months of December and January. Short businesses in their own and the Nation’s term variations of this kind in the public’s economic future. Restoration of confidence preferences for demand and time deposits must be a central objective of economic are not uncommon. We do not understand stabilization policies in 1971. them fully, but we should not let them distort In the present economic environment, judgment of the course of monetary policy. there can be no doubt that monetary and Continuation of a monetary policy that fiscal policies must for a time remain stimu is consistent with economic recovery will lative, as they have been recently. The de enlarge the supply of available funds, and gree of stimulus coming from the budgetary borrowers should therefore find it easier to policy announced by the President is, it obtain credit. Later this year we might per seems to me, broadly consonant with the haps see interest rates somewhat lower than needs of an economy operating well below they are now—particularly on mortgages full employment. However, if past experi and longer-term securities. In areas where ence is any guide, actual expenditures might monetary policy affects credit conditions with run above those currently projected, and a rather long lag—for example, in the Na we must therefore be extremely careful not tion’s smaller communities and in the credit to let Federal expenditures again get out of terms available to smaller businesses and control. To do so would seriously under consumers—we could look forward to see mine confidence at a time when we need ing more evidence of the effects of monetary Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
238 FEDERAL RESERVE BULLETIN □ MARCH 1971 stimulation as the year progresses. And as ress is made in moderating inflationary easier monetary and credit conditions work pressures. their way through the financial system, we Past experience supplies some broad in could anticipate cumulative effects on spend dications of what the appropriate course of ing, on production, and on employment. monetary policy might be. We know, for Financial developments of this kind might example, that while a high rate of growth have adverse effects, in the short run, on our of the narrowly defined money supply may balance of payments—in the form, particu well be appropriate for brief periods, rates larly, of a net outflow of interest-sensitive of increase above the 5 to 6 per cent range— funds. The extent of this outflow may be if continued for a long period of time—have limited, however, by measures such as those typically intensified inflationary pressures. taken recently. These involved discouraging We also know that periods of strong cyclical the repayment of Euro-dollar borrowings by recovery in production and employment in our banks to their branches abroad, or the the postwar period have typically been fi recapture of these funds through the sale of nanced with relatively modest increases in special securities to the foreign branches. the money supply. In such periods, the in More fundamentally, I am convinced that come velocity of money—that is, the ratio policies which promise a healthy and pros of GNP to the money stock—has risen sub perous domestic economy are essential to stantially, reflecting the more intensive use long-run improvement in our international of cash balances by the public. Following payments position. To be competitive in each of the past three postwar recessions, international markets, our economy must for example, the income velocity of money operate with a maximum of efficiency and rose during the first four quarters of re a minimum of inflation. A prosperous do covery by amounts ranging from 5 Vi per mestic economy will encourage American cent to nearly 7 per cent. citizens to invest more at home rather than We cannot, of course, be confident that abroad. Moreover, some forms of capital history will repeat itself. If the income inflow will be stimulated by economic re velocity of money does not rise in 1971 in covery. Thus, the rate at which foreigners line with past cyclical patterns, then rela invest here by buying corporate securities tively larger supplies of money and credit or establishing affiliates has risen since the may be needed. One of the great virtues of middle of last year, and might well increase monetary policy is its flexibility, so that further this year. adjustments can be made rapidly to unex In view of the interest rate differentials pected developments. The Federal Reserve that have recently emerged between the will not stand idly by and let the American United States and other countries, as well economy stagnate for want of money and as because of the persistence of inflation, credit. But we also intend to guard against closer attention will need to be given by our the confusion, which sometimes exists even government to the balance of payments. I in intellectual circles, between a shortage of do not expect, however, that these consider confidence to use abundantly available ations will prevent us from pursuing the money and credit, on the one hand, and an course of monetary policy needed to achieve actual shortage of money and credit, on the a good recovery in employment and pro other. duction in 1971, especially if further prog I can assure this committee that the Fed Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
STATEMENTS TO CONGRESS 239 eral Reserve will continue to supply the history when price increases have continued money and credit needed for healthy eco for a time despite weakness in business ac nomic expansion. But I also wish to re tivity. But, as far as I know, we have never affirm the assurance that I gave to this com before experienced a rate of inflation of 5 mittee and the Nation a year ago—namely, per cent or higher while the unemployment that the Federal Reserve will not become rate was rising to recession levels. Continu the architects of a new wave of inflation. ation of this situation much longer would, I We know that the effects of monetary policy am afraid, sap the confidence of the Ameri on aggregate demand and on prices are can people in the capacity of our govern spread over relatively long periods of time. ment and in the viability of our market We are well aware, therefore, that an ex system. cessive rate of monetary expansion now We are thus confronted with what is, could destroy our nation’s chances of bring practically speaking, a new problem. A re ing about a gradual but lasting control over covery in economic activity appears to be inflationary forces. getting under way at a time when the rate We recognize also, as do an increasing of inflation is still exceptionally high. The number of students around the world, that stimulative thrust of present monetary and the problems of economic stabilization pol fiscal policies is needed to assure the resump icy currently plaguing us cannot be solved tion of economic growth and a reduction by monetary policy alone, nor by a com of unemployment. But unless we find ways bination of monetary and fiscal policies. to curb the advance of costs and prices, Monetary and fiscal tools can cope readily policies that stimulate aggregate demand with inflation arising from excess aggregate run the grave risk of releasing fresh forces demand. But they are ill-suited to dealing of inflation. with a rising price level that stems from In view of this new problem, it is the con rising costs at a time of rising unemploy sidered judgment of the Federal Reserve ment and excess capacity. Board that, under present conditions, mone During the past year, despite an increase tary and fiscal policies need to be supple in unemployment of 2 million persons, we mented with an incomes policy—that is to have once again witnessed advances in wage say, with measures that aim to improve the rates substantially above the growth of pro workings of our labor and product markets ductivity. In industries such as retail trade so that upward pressures on costs and prices and finance, wage rate increases have slowed will be reduced. somewhat. In others, such as manufactur The administration has already taken sig ing and construction, the rate of advance nificant steps in this direction. Public atten in average hourly earnings has not dimin tion has been called pointedly to areas in ished. Wage settlements granted in major which wage and price changes are threaten collective bargaining agreements during ing the success of our battle against inflation. 1970 were, in fact, considerably larger on Restrictions on the supply of oil have been the average than in the previous year. For relaxed. Part of the recent increase in prices the first year of the new contracts, they of structural steel has been rolled back as averaged 8 per cent in manufacturing and a result of governmental intervention. And 18 per cent in the construction industry. the President has clearly conveyed to the There have been earlier instances in our construction industry that the government Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
240 FEDERAL RESERVE BULLETIN □ MARCH 1971 will no longer tolerate the runaway labor At the beginning of last year, the direction costs that are destroying construction jobs of monetary policy was reversed from the and depriving so many of our families of restrictive course that had been pursued dur the opportunity to buy a home at a price ing 1969 in order to curb excess demand. they can afford to pay. Interest rates at that time were at or soaring These steps have put our nation’s business towards new peaks. Credit was in short sup and labor leaders on notice that the govern ply for a broad spectrum of borrowers. Hous ment recognizes the character of the present ing activity was being restricted by the short inflationary problem, and that it is serious age of funds flowing into the major nonbank in its intent to find a cure. If I read the na thrift institutions. With the liquidity of com tional mood correctly, widespread public mercial banks at very low levels, funds avail support now exists for vigorous efforts to able for business and consumer lending were bring wage settlements and prices in our severely limited. major industries within more reasonable Working together with fiscal restraints, the bounds. Such efforts should bolster con policy of monetary restriction pursued dur sumer and business confidence, and thus ing 1969 succeeded in eliminating the excess contribute materially to getting our econ demand that originally caused our inflation omy to move forward once again. ary problem. Aggregate demand had slowed so much, in fact, that signs of a business downturn were becoming increasingly evi Statement by Arthur F. Burns, Chairman, dent. Monetary policy, therefore, needed to Board of Governors of the Federal Reserve be altered so as to cushion developing weak System, before the Senate Banking, Housing nesses in the real economy. and Urban Affairs Committee, March 10, It was of vital importance to accomplish 1971. a smooth and gradual transition from severe restraint to moderate stimulus. Inflationary I appreciate the opportunity to report to you expectations were still rampant, and would again on the general condition of our econ have been aggravated by too abrupt a shift omy and the conduct of monetary policy. in the posture of monetary policy. Further This past year has been a challenging one more, large segments of the business and for the Federal Reserve. We had to seek a financial community had come to believe course for monetary policy that would help that the Federal Reserve had lost effective to check declining production and rising control over the money supply, and would unemployment, on the one hand, while be unable to relax its restraint without re avoiding aggravation of a still serious in leasing forces that would soon create ex flationary problem, on the other. At times, cessively high rates of monetary and bank conditions approaching crisis were present in credit expansion. financial markets, giving rise to sudden large Subsequent events demonstrated that these increases in the economy’s needs for money fears were unfounded. Growth of the princi and bank credit. These needs had to be met, pal monetary aggregates resumed at a mod but in ways that would not compromise the erate and well-controlled pace, as the Sys longer-run objective of monetary policy— tem’s open market policies added gradually namely, to establish conditions in the money to the supply of bank reserves. The resump and capital markets that would serve as the tion of deposit growth was also aided by basis for an enduring prosperity in 1971 and adjusting in January of last year the maxi in the years beyond. mum interest rates that commercial banks Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
STATEMENTS TO CONGRESS 241 and nonbank thrift institutions could pay to to reduce the burden of current debt repay attract time and savings deposits. By raising ments, these firms converged on the bond these ceiling rates at a time when yields on market to fund short-term debt. short-term market securities were beginning In the financial sphere, tensions in one to decline, inflows of funds to savings ac market often spread quickly to others. The counts at commercial banks, mutual savings unexpected invasion of Cambodia in late banks, and savings and loan associations April brought new uncertainties to the finan were augmented, thus setting the stage for cial community at a time when a flood of a sizable expansion in the supply of mortgage new long-term corporate issues threatened to credit. overwhelm the bond market. With the de The smooth transition to a moderately mand for liquidity growing and interest rates stimulative monetary posture was accom rising, the success of a Treasury financing plished partly through some changes in the was seriously endangered in early May. In operating procedures of the Federal Open the stock market, where confidence already Market Committee. Thus, in the conduct of had waned, rumors that leading corporations open market operations, increased stress was were experiencing financial difficulties sent placed on the achievement of targeted paths equity prices reeling, and confidence of fi for the monetary aggregates. We shunned, nancial investors was thus shaken further. however, the advice then being offered in In circumstances that threaten disintegra some quarters that Federal Reserve policy tion of financial markets, the central bank should concern itself exclusively with stabi must act promptly and decisively to stabilize lizing the growth rate of the narrowly de markets and restore confidence. When li fined money supply—that is, currency and quidity pressures developed last spring, the demand deposits. The level of industrial pro Federal Reserve took a number of steps to duction, the trend of employment, home bolster confidence and to permit liquidity building activity, the movement of interest needs to be met. In May the conduct of open rates, stock exchange developments, fiscal market operations was reoriented to give policy, and other key economic and financial particular emphasis to moderating pressures variables continued to play a central role, as in financial markets. Special assistance was they indeed must, in the determination of provided to the Treasury during the period monetary policy. of its financing operation, and margin re During the spring and early summer quirements were lowered on loans to pur months of last year, the most pressing prob chase or carry stock. lem confronting the monetary authorities was Of particular importance were the actions the need to assist the financial markets of the Federal Reserve last June, in connec through a period of unusual turbulence. tion with the commercial paper market. The Tensions arose from a variety of sources— announcement on Sunday, June 21, of a including, as always happens in a time of petition by the Penn Central Transportation stress, irrational fears of borrowers and lend Company for relief under the Bankruptcy ers. In part, however, they stemmed from the Act posed a most serious threat to financial lax corporate practices that had developed in stability. This gigantic firm had large the latter half of the 1960’s. As a result of amounts of maturing commercial paper that excessive reliance on short-term debt, es could not be renewed, and it could not ob pecially issues of short-term commercial pa tain credit elsewhere. A danger existed that per, liquidity positions of many corporations a wave of fear would pass through the finan had deteriorated badly. Searching for ways cial community, engulf other issuers of com Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
242 FEDERAL RESERVE BULLETIN □ MARCH 1971 mercial paper, and cast doubt on a wide Let us now take stock of what has been range of other securities. accomplished over the past year, as a conse By Monday, June 22—the first business quence of the monetary actions I have been day following announcement of the bank describing, to establish financial conditions ruptcy petition—the Federal Reserve had conducive to economic recovery. already taken the virtually unprecedented Last year, the narrowly defined money step of advising the larger banks across the supply—which had shown almost no growth country that the discount window would be during the latter half of 1969—rose by available to help the banks meet unusual 5 i per cent. This rate of growth was ex borrowing requirements of creditworthy ceeded in only 4 years of the postwar period firms that could not roll over their matur —1946, 1951, 1967, and 1968. A more ing commercial paper. In addition, the broadly defined money supply, which in Board of Governors reviewed its regulations cludes—in addition to currency and demand governing ceiling rates of interest on certifi deposits—the time deposits of commercial cates of deposit, and on June 23 announced banks other than large CD’s, rose by 8 per a suspension of ceilings in the maturity range cent in 1970, accelerating from 6 per cent in which most large certificates of deposit are in the first half to 10 per cent in the final sold. This action gave banks the freedom to 6 months. A rate of growth higher than last bid for funds in the market and make loans year’s increase has also occurred in just four available to necessitous borrowers. other years of the postwar period—namely, These timely measures assured the finan 1946, 1965, 1967, and 1968. cial community, and the Nation as a whole, The Nation’s commercial banks thus that the Federal Reserve stood ready to found themselves—as 1970 progressed— exercise fully its responsibilities as a lender with an abundance of funds for leading and of last resort, and thus to assist the financial investing, and they proceeded to make large markets through any period of stress. Con additions to their holdings of short-term fidence was thereby bolstered, and a more Treasury securities and State and local gov tranquil atmosphere came to prevail in the ernment issues. Since the increase in avail business and financial community. able funds was greatly in excess of the de Over the remainder of the year, further mand for bank loans, banks also began ac open market operations by the System fur tively to seek out prospective borrowers. nished banks with a substantial volume of Commitments of funds to the mortgage reserves to ensure that liquidity needs were market rose; consumers found banks more met and that developments in the money and willing to extend credit; and lending policies credit markets would help to stimulate re to businesses—both small and large—were covery in production and employment. In relaxed. The prime rate of interest on bank August the Board announced a reduction in loans was reduced from 81 per cent at the reserve requirements on time deposits, and beginning of 1970 to 51 per cent at the at the same time extended the coverage of present time. reserve requirements to commercial paper The additional supplies of credit made issued by bank affiliates—thereby putting available through the banking system were such issues on the same reserve basis as large- a major factor in the rapid and widespread denomination CD’s. And as market interest decline in interest rates last year. For long rates fell, the discount rate was reduced in a term market instruments, the decline in in series of steps from 6 per cent to the present terest rates did not get under way until the level of 41 per cent. unusual liquidity pressures in financial mar Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
STATEMENTS TO CONGRESS 243 kets had subsided. Subsequently, however, last year, that the long-term security issues long-term interest rates declined more rap of our Nation’s major corporations rose ap idly than at any time in the postwar period. proximately 40 per cent from the third- Recently, a backing up of interest rates on quarter rate, and that the pace of borrowing long-term securities has occurred in response by State and local governments actually to exceptionally heavy corporate demands doubled between the third and fourth quar for long-term financing; but this upturn will, ters of last year. In the first 2 months of this I trust, prove temporary. Later this year we year, business loans at commercial banks— might see long-term interest rates—and par which had declined in the closing months of ticularly mortgage interest rates—lower than 1970—turned up again. These are signs, I they are now. believe, that ample supplies of money and Short-term interest rates began to decline credit are now available to finance a vigorous early last year, and they have continued to recovery in production and employment. fall. In recent weeks, yields on 3-month To be sure, the growth rate of the nar Treasury bills have been below 3i per cent rowly defined money supply slowed from —contrasted with a peak level of 8 per cent October of last year through January. This, at the close of 1969. Even interest rates on however, was a result of the General Motors consumer loans and mortgage interest rates, strike and other transitory influences, not of which often display downward inflexibility, any shift in monetary policy. These transi have declined during the past several months. tory influences appear to have waned in As short-term market interest rates fell February, when the money supply re last year, the effects of easier monetary bounded sharply. As a consequence of this policies were increasingly communicated to rebound, the average annual growth rate nonbank financial intermediaries, especially since October has been about 6 per cent. the thrift institutions. The rate of inflow of Growth in the more broadly defined money funds to mutual savings banks and savings supply, moreover, has actually accelerated in and loan associations rose progressively over recent months. the course of 1970, and it is continuing at Some of the effects of these larger supplies high levels in the opening months of this of money and credit on economic activity are year. In fact, the volume of funds available already being realized. The vigorous revival for lending at these institutions has risen so of activity that got under way last spring in dramatically that the supply of mortgage the homebuilding industry has shown no sign credit temporarily is outrunning the demand. of losing momentum. Though housing starts Thus, as I look around me, I see many of declined in January from the exceptionally our Nation’s banks and other financial in high December peak, the average level of stitutions aggressively seeking out borrowers. starts for the 2 months was still 10 per cent I see interest rates at much lower levels than above the November figure. State and local a year ago and credit abundantly available. governments are now financing construction I see evidence that individuals, businesses, projects at lower interest cost; and with their and State and local governments are re new borrowing at an extraordinarily high sponding to these changed credit conditions level, a significant rise in public construc by increasing their rate of borrowing. Pre tion seems likely. liminary data on flows of funds in the fourth In other sectors of the economy, under quarter of 1970 indicate that mortgage bor lying trends have been masked for the past rowing rose to an annual rate almost one- 6 months or so by the effects of the pro third above the level in the first quarter of longed auto strike on major economic in Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
244 FEDERAL RESERVE BULLETIN □ MARCH 1971 dicators. Nonetheless, some of the principal complish this, he has cut down his current economic series that usually signal the course rate of spending and is accumulating liquid of general business activity have shown a assets. And when consumer markets are significantly stronger performance in recent weak, businesses lack incentives to invest in months. Prices of common stocks have been new plant and equipment, to increase inven advancing briskly since last summer. New tories, or to add to their work force. orders for manufacturers’ durable goods Economic stabilization policies in 1971, have now increased for three successive therefore, need to be designed to strengthen months. Industrial production rose in Janu the confidence of consumers and businesses. ary, extending the advance that began in Given the present degree of slack in the December. Recent trends in the markets for economy, both monetary and fiscal policies labor, meanwhile, seem to point to the de must remain stimulative for a time. We must velopment of a somewhat better balance make sure that the recovery which now between demand and supply. Initial claims appears to be under way becomes a reality for unemployment insurance have remained and gathers momentum. But we must also below their highs of last November, and the follow a course of policy that assures the unemployment rate has edged down in the Nation’s consumers and businesses that a past 2 months. new and yet stronger wave of inflationary A recovery in general business activity pressures will not emerge. may thus be already under way, and if past Of late, some attractively simple but mis experience is any guide, the forces of re leading notions have been set forth as to how covery should gather momentum as the year these objectives can be accomplished. In one moves on. I think we can look forward to view, the significant factor limiting business a pick-up in consumer buying this spring— recovery at the present time is a shortage of supported, to some degree, by the effects of money and credit. Ensuring a prosperous rising Federal expenditures on disposable economy in 1971, according to this view, personal income. Business capital spending can be accomplished readily by the simple should also strengthen as 1971 progresses— device of forcing up the growth rate of the the encouragement coming in part from the money supply to much higher levels than we recent liberalization of depreciation allow have yet experienced. ances. These developments should encourage This view starts, I believe, from an er an increased demand by businesses for in roneous premise. The problem we face now ventories, in anticipation of a rising trend is not a shortage of money and credit, but of sales. a temporary weakening of confidence among The vigor of the business recovery during consumers and businesses in their own and 1971 will depend importantly on consumer the Nation’s economic future. This psycho behavior. The mood of the American con logical mood stems to an important degree sumer has been cautious for the past year or from the havoc wrought by inflation, and more, in part because of renewed awareness from public recognition that both the infla of the hazards of unemployment. But a more tion and the economic slowdown could have important factor may well be the steady been prevented had we kept our financial erosion of the real value of his income and affairs in order. We could make no greater his savings through inflation. The consumer mistake now than to throw caution to the at the present time is still trying to stretch winds in the conduct of our monetary and today’s income far enough to cover tomor fiscal affairs. row’s higher living costs. In an effort to ac The need for prudence in the manage Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
STATEMENTS TO CONGRESS 245 ment of our monetary affairs is reinforced keep pace with national objectives, we may by balance of payments considerations. True, need to consider additional fiscal stimulants our trade surplus improved significantly last —such as postponing the increase in the so year. Imports, however, are once again ris cial security tax base, reinstating the invest ing rapidly. Moreover, the over-all balance ment tax credit, or advancing the effective of payments deficit remains uncomfortably dates of some of the income tax measures large. Over the past year, the sharp decline included in the Tax Reform Act of 1969. of short-term interest rates in our financial In the present environment, however, we markets caused interest-sensitive funds to must carefully guard against the risk of in flow abroad on a huge scale. Fortunately, creasing inflationary pressures. Let us keep the extent of this outflow may be limited in firmly in mind the fact that we are starting the year ahead by measures, such as those a recovery at a time when the rate of infla taken recently, which involve discouraging tion is still very high, and when wage rates the repayment of Euro-dollar borrowings by are continuing to rise much faster than our banks to their branches abroad, or the productivity gains. In these circumstances, recapture of these funds through the sale of monetary and fiscal policies may assure special securities to the foreign branches. progress in reducing unemployment, but In view of the unhappy condition of our that alone will not meet our national needs. balance of payments, our Government will From a practical viewpoint, we face a have to give closer attention to this problem. problem unknown to earlier generations— Caution in the monetary sphere is required, namely, a high rate of inflation at a time of lest a fresh wave of inflationary forces be substantial unemployment. To meet this new released. Such a development could do in problem, a multifaceted incomes policy is calculable damage to the structure of inter needed to supplement our general monetary national confidence and economic coopera and fiscal tools. tion that has been built up over the past The Federal Reserve Board has welcomed quarter century. the steps already taken by the administration If confidence is to be strengthened, both to improve the functioning of our labor and at home and abroad, the proper course for product markets and thereby to reduce up monetary policy in the months ahead is to ward pressures on costs and prices. I hope continue on the narrow road that we have the Nation’s business and labor leaders come been traveling—namely, to provide ade to realize that unless they work together quate, but guard against excessive, rates of voluntarily to bring wage settlements and expansion in supplies of money and credit. prices within more reasonable bounds, fur Of course, we must not allow ourselves to ther actions by the Federal Government to get stuck on dead center. If unfolding events accomplish these objectives may be un in the months ahead suggest that monetary avoidable. expansion has already been overdone, we We have it within our power to reduce the must be ready to reduce the rate of monetary major obstacles that are preventing us from growth. On the other hand, if the economy enjoying reasonable success in our battle fails to expand satisfactorily, a somewhat against inflation, and to move forward this faster rate of monetary expansion may be year into a new and enduring prosperity. We needed. must not forsake this opportunity. The con We should be equally flexible in our think fidence of the American people in the ca ing about the proper course for fiscal policy. pacity of our Government and in the viability If the rebound in economic activity does not of our free market system may be at stake. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
Law Department Statutes, regulations, interpretations, and decisions TRUTH IN LENDING customer at least 15 days prior to the beginning date of the billing cycle in which the increase is The Board of Governors, effective April 5, 1971, imposed on his account. No notice is necessary if amended Regulation Z, “Truth in Lending”, (1) to the only change is a reduction in the minimum require creditors to give 15 days’ notice, rather periodic payment, periodic rate or rates, or in any than 30, to active customers regarding a change in minimum, fixed, check service, transaction, activ terms of an open end credit account, except for a ity, or similar charge applicable to the account. reduction in the minimum payment or finance * * * * * charges, (§ 226.7(e)); (2) to modify the rescis sion notice by permitting use of the words “the SECTION 226.9—RIGHT TO RESCIND property you are purchasing” or the word “lot” CERTAIN TRANSACTIONS instead of the word “home” where it appears in the notice (§ 226.9(b)); (3) to permit farmers to * * $ * * obtain funds, goods, and services in agricultural (b) Notice of opportunity to rescind. Whenever credit transactions prior to the expiration of the a customer has the right to rescind a transaction 3-day rescission period (§ 226.9(c)); and (4) to under paragraph (a) of this section, the creditor provide special advertising requirements for fi shall give notice of that fact to the customer by nancing under FHA Section 235 assistance pro furnishing the customer with two copies of the grams. The text of the amendments reads as notice set out below, one of which may be used by follows: the customer to cancel the transaction. Such notice shall be printed in capital and lower case letters of AMENDMENTS TO REGULATION Z not less than 12 point bold-faced type on one side Effective April 5, 1971, sections 226.7(e), of a separate statement which identifies the trans 226.9(b) and 226.9(c) are amended and section action to which it relates. Such statement shall also 226.10(e) is added as follows: set forth the entire paragraph (d) of this section, “Effect of rescission.” If such paragraph appears SECTION 226.7—OPEN END CREDIT on the reverse side of the statement, the face of the ACCOUNTS—SPECIFIC DISCLOSURES statement shall state: “See reverse side for impor tant information about your right of rescission.” He sje sfs s|e Before furnishing copies of the notice to the cus tomer, the creditor shall complete both copies with (e) Change in terms. Not later than 15 days the name of the creditor, the address of the credi prior to the beginning date of the billing cycle in tor’s place of business, the date of consummation which any change is to be made in the terms pre of the transaction, and the date, not earlier than viously disclosed to the customer of an open end the third business day following the date of the credit account, the creditor shall mail or deliver a transaction, by which the customer may give notice written disclosure of such change to each customer of cancellation. Where the real property on which required to be furnished a statement under para the security interest may arise does not include a graph (b) of this section. Such disclosure shall be dwelling, the creditor may substitute the words mailed or delivered to each other customer who “the property you are purchasing” for “your subsequently activates his account not later than home,” or “lot” for “home,” where these words the date of mailing or delivery of the next required appear in the notice. billing statement on his account. However, if the periodic rate or rates, or any minimum, fixed, Notice to customer required by Federal law: check service, transaction, activity, or similar charge is increased, the creditor shall mail or de You have entered into a transaction on liver a written disclosure of such increase to each (date)___________which may result in a lien, 246 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
mortgage, or other security interest on your home. under Title II, Section 235, of the National Hous You have a legal right under Federal law to cancel ing Act (12 U.S.C. 1715z) shall clearly identify this transaction, if you desire to do so, without any those credit terms which apply to the assistance penalty or obligation within three business days program and, except as provided in this paragraph, from the above date or any later date on which all comply with the provisions of paragraph (d) of material disclosures required under the Truth in this section. No such advertisement shall state: Lending Act have been given to you. If you so can (1) the amount of any payment scheduled to cel the transaction, any lien, mortgage, or other repay the indebtedness without stating the family security interest on your home arising from this size and income level applicable to that amount. transaction is automatically void. You are also en (2) any rate of a finance charge, or the amount titled to receive a refund of any downpayment or of the finance charge, expressed as an annual per other consideration if you cancel. If you decide to centage rate based on the assistance. The annual cancel this transaction, you may do so by notifying percentage rate exclusive of the assistance may be stated, but is not required. (Name of creditor) ORDERS UNDER BANK MERGER ACT at (Address of creditor's place of business) by mail UNION BANK, or telegram sent not later than midnight of______ LOS ANGELES, CALIFORNIA ______(date)________. You may also use any other form of written notice identifying the transaction In the matter of the application of Union Bank, if it is delivered to the above address not later than Los Angeles, California, for approval of merger that time. This notice may be used for that purpose with The Stanford Bank, Palo Alto, California. by dating and signing below. I hereby cancel this transaction. Order Approving Application for Merger of Banks Under Bank Merger Act (date) (customer’s signature) There has come before the Board of Governors, pursuant to the Bank Merger Act (12 U.S.C. (c) Delay of performance. Except as provided 1828(c)), an application by Union Bank, Los in paragraph (e) of this section, the creditor in any Angeles, California, a member State bank of the transaction subject to this section, other than an Federal Reserve System, for the Board’s prior ap extension of credit primarily for agricultural pur proval of the merger of that bank and The Stanford poses, shall not perform, or cause or permit the Bank, Palo Alto, California, under the charter and performance of, any of the following actions until name of Union Bank. As an incident to the merger, after the rescission period has expired and he has the sole office of The Stanford Bank would become reasonably satisfied himself that the customer has a branch of the resulting bank. Notice of the pro not exercised his right of rescission: posed merger, in form approved by the Board, has (1) Disburse any money other than in escrow; been published as required by said Act. (2) Make any physical changes in the property In accordance with the Act, the Board requested of the customer; reports on the competitive factors involved from (3) Perform any work or service for the cus the Attorney General, the Comptroller of the Cur tomer; or rency, and the Federal Deposit Insurance Corpora (4) Make any deliveries to the residence of tion. The Board has considered all relevant ma the customer if the creditor has retained or will terial contained in the record in the light of the acquire a security interest other than one arising factors set forth in the Act, including the effect of by operation of law. the proposal on competition, the financial and * * * * * managerial resources and prospects of the banks concerned, and the convenience and needs of the SECTION 226.10—ADVERTISING CREDIT communities to be served, and finds that: TERMS Union Bank (deposits $1.5 billion) is the * * * * * seventh largest bank in California, having about 3.3 per cent of the commercial bank deposits in (e) Advertising of FHA Section 235 financing. the State. (All banking data are as of June 30, Any advertisement to aid, promote, or assist di 1970.) It operates its main office and 16 branches rectly or indirectly the sale of residential real estate in southern California; in northern California it 247 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
248 FEDERAL RESERVE BULLETIN □ MARCH 1971 maintains eight offices in and in close proximity tions are, therefore, consistent with approval of the to San Francisco, and one office in San Jose. The application. It is the Board’s judgment that con Stanford Bank (deposits $20 million) operates its summation of the proposed merger would be in the sole office in Palo Alto, California, and it competes public interest, and that the application should be with 43 offices of 11 banks, including 35 offices of approved. five of the six largest banks in the State, in a It is hereby ordered, on the basis of the find geographic area which lies between the commun ings summarized above, that said application be ities of San Francisco and San Jose. The nearest and hereby is approved, provided that the merger offices of Union Bank to The Stanford Bank are so approved shall not be consummated (a) before the recently opened (September 14, 1970) office the thirtieth calendar day following the date of this of Union Bank in San Jose, located 24 miles Order, or (b) later than three months after the southeast of Palo Alto, and the offices of Union date of this Order, unless such period is extended Bank in downtown San Francisco, located 30 miles for good cause by the Board, or by the Federal north of Palo Alto. There are located in the densely Reserve Bank of San Francisco pursuant to dele populated areas intervening between the present gated authority. offices of Union Bank and The Stanford Bank By order of the Board of Governors, Feb numerous offices of other banks. There is, there ruary 11, 1971. fore, no substantial existing competition between Voting for this action: Chairman Burns and Gov Union Bank and The Stanford Bank. ernors Robertson, Daane, Maisel, Brimmer, and Sherrill. Absent and not voting: Governor Mitchell. Under California law both Union Bank and The Stanford Bank could be permitted to establish de (Signed) Kenneth A. Kenyon, novo branch offices in the areas served by the Deputy Secretary. other. The Stanford Bank is unlikely to establish [seal] such a de novo branch office. It does not appear probable that Union Bank would establish a de novo branch office in the area served by The Stan TRUST COMPANY OF GEORGIA, ford Bank in the immediate future. The largest ATLANTA, GEORGIA shares of deposits in the market area served by In the matter of the application of Trust Com The Stanford Bank are held by offices of large pany of Georgia, Atlanta, Georgia, for approval banking institutions—Bank of America, Wells of acquisition of assets and assumption of liabilities Fargo Bank and Crocker-Citizens National Bank. of Peachtree Bank and Trust Company, Chamblee, The Stanford Bank is the seventh largest bank lo Georgia. cated in its market area in terms of market area deposits held by banks located therein. In these circumstances, the amount of potential competition Order Approving Application for Acquisition between the merging banks which would be elimi of Assets and Assumption of Liabilities Under Bank Merger Act nated in this market area by the proposed transac tion is not significant; at the same time, Union There has come before the Board of Governors, Bank’s entry into the market by acquisition of The pursuant to the Bank Merger Act (12 U.S.C. 1828 Stanford Bank would likely result in increased (c)), an application by Trust Company of Geor competition in the market between it and the larger gia, Atlanta, Georgia (“Trust Company”), a mem banks located in the market. ber State bank of the Federal Reserve System, for Based upon the foregoing, the Board concludes the Board’s prior approval of the merger of that that consummation of the proposal would not bank with Peachtree Bank and Trust Company, eliminate significant existing or potential competi Chamblee, Georgia (“Peachtree Bank”), by means tion. Considerations relating to the financial and of the purchase of assets and assumption of liabil managerial resources and future prospects of the ities of Peachtree Bank. As an incident to the banks involved are consistent with approval of the merger, the two offices of Peachtree Bank would application. Customers of The Stanford Bank become branches of Trust Company. Notice of the would benefit by the merger because Union Bank proposed merger, in form approved by the Board, would offer to them a wider range of banking serv has been published as required by said Act. ices and through its larger lending limit would be In accordance with the Act, the Board requested better able to meet the needs of medium-sized busi reports on the competitive factors involved from ness customers. Convenience and needs considera the Attorney General, the Comptroller of the Cur Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
LAW DEPARTMENT 249 rency, and the Federal Deposit Insurance Corpo ings summarized above, that said application be ration. The Board has considered all relevant ma and hereby is approved, provided that the merger terial contained in the record in the light of the so approved shall not be consummated (a) before factors set forth in the Act, including the effect of the thirtieth calendar day following the date of this the proposal on competition, the financial and Order or (b) later than three months after the date managerial resources and prospects of the banks of this Order, unless such period is extended for concerned, and the convenience and needs of the good cause by the Board, or by the Federal Re communities to be served, and finds that: serve Bank of Atlanta pursuant to delegated au Trust Company (deposits $470 million) and six thority. banks (aggregate deposits $284 million), which it By order of the Board of Governors, Feb controls through its wholly-owned subsidiary regis ruary 22, 1971. tered bank holding company, hold about 11 per Voting for this action: Chairman Burns and Gov cent of the deposits of commercial banks in Geor ernors Robertson, Mitchell, Daane, Maisel, and gia. Together they comprise the second largest Sherrill. Absent and not voting: Governor Brimmer. banking organization in the State. (All banking (Signed) Kenneth A. Kenyon, data are as of June 30, 1970.) Consummation of Deputy Secretary. the proposed merger would not substantially in [seal] crease the concentration of banking resources in the State. In the matter of the application of Trust Com Trust Company operates 20 offices, all within pany of Georgia, Atlanta, Georgia, for approval of the city limits of Atlanta. Peachtree Bank (deposits acquisition of assets and assumption of liabilities of $15 million) operates its two offices in DeKalb Trust Company of Georgia Bank of Sandy Springs, County, about three to five miles northeast of the Sandy Springs, Georgia. city limits of Atlanta. Trust Company was instru mental in organizing Peachtree Bank in 1960, and Order Approving Application for Acquisition the banks have been closely associated since that of Assets and Assumption of Liabilities time. Trust Company has furnished three chief Under Bank Merger Act executive officers to Peachtree Bank, as well as other officers and employees. In addition, Trust There has come before the Board of Governors, Company provides credit services for Peachtree pursuant to the Bank Merger Act (12 U.S.C. 1828 Bank, assists it with its investments, and serves as (c)), an application by Trust Company of Geor its principal correspondent. In view of the close gia, Atlanta, Georgia (“Trust Company”), a mem relationship which has existed between Trust Com ber State bank of the Federal Reserve System, for pany and Peachtree Bank since the inception of the Board’s prior approval of the merger of that the latter, it may be reasonably concluded that bank with Trust Company of Georgia Bank of present and potential competition would neither Sandy Springs, Sandy Springs, Georgia (“Sandy be foreclosed by approval of the application nor Springs Bank”), by means of the purchase of as encouraged by its denial. sets and assumption of liabilities of Sandy Springs The Board concludes that consummation of the Bank. As an incident to the merger, the sole office proposed merger would not have a substantially of Sandy Springs Bank would become a branch of adverse effect on competition in any relevant area. Trust Company. Notice of the proposed merger, Considerations relating to the financial and mana in form approved by the Board, has been published gerial resources and prospects of the banks in as required by said Act. volved are regarded as consistent with approval of In accordance with Act, the Board requested the application. Customers of Peachtree Bank will reports on the competitive factors involved from benefit through more convenient access to a full the Attorney General, the Comptroller of the Cur range of banking services. Therefore, considera rency, and the Federal Deposit Insurance Corpora tions relating to convenience and needs lend some tion. The Board has considered all relevant mate support to approval of the application. Based upon rial contained in the record in the light of the the foregoing, it is the Board’s judgment that con factors set forth in the Act, including the effect of summation of the proposed merger would be in the the proposal on competition, the financial and public interest, and that the application should be managerial resources and prospects of the banks approved. concerned, and the convenience and needs of the It is hereby ordered, on the basis of the find communities to be served, and finds that: Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
250 FEDERAL RESERVE BULLETIN □ MARCH 1971 Trust Company (deposits $470 million) and six The Board concludes that consummation of the banks (aggregate deposits $284 million), which merger would not have a substantially adverse it controls through its wholly-owned subsidiary competitive effect in any relevant area. The finan registered bank holding company, hold about cial and managerial resources and prospects of the 11 per cent of the deposits of commercial banks banks are regarded as consistent with approval of in Georgia. Together they comprise the second the application. Customers of Sandy Springs Bank largest banking organization in the State. (All would benefit from the more convenience access banking data are as of June 30, 1970.) Consum to certain banking services. Considerations relating mation of the proposed merger would not increase to the convenience and needs factors, therefore, substantially the concentration of banking re lend some support to approval of the application. sources in the State. It is the Board’s judgment that consummation of Trust Company operates 20 offices, all within the proposed merger would be in the public inter the city limits of Atlanta. Sandy Springs Bank est, and that the application should be approved. (deposits $4 million) operates its sole office in It is hereby ordered, on the basis of the find Fulton County, about three miles north of the city ings summarized above, that said application be limits of Atlanta and 4.5 miles from the nearest and hereby is approved, provided that the merger office of Trust Company. Trust Company spon so approved shall not be consummated (a) before sored the organization of Sandy Springs Bank in the thirtieth calendar day following the date of 1966, and the banks have been closely associated this Order or (b) later than three months after since that time. Trust Company has furnished two the date of this Order, unless such period is ex tended for good cause by the Board, or by the chief executive officers and other officers to Sandy Federal Reserve Bank of Atlanta pursuant to Springs Bank. In addition, Trust Company pro delegated authority. vides credit services for Sandy Springs Bank, as By order of the Board of Governors, Feb sists it in its investments, and serves as its principal ruary 22, 1971. correspondent. In view of the close relationship which has existed between Trust Company and Voting for this action: Chairman Burns and Gov ernors Robertson, Mitchell, Daane, Maisel, and Sandy Springs Bank since the inception of the Sherrill. Absent and not voting: Governor Brimmer. latter, it may be reasonably concluded that present and potential competition would neither be fore (Signed) Kenneth A. Kenyon, Deputy Secretary. closed by approval of the application nor en couraged by its denial. [seal] Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
LAW DEPARTMENT 251 ORDERS UNDER SECTION 3 OF BANK (Banking data are as of June 30, 1970, adjusted HOLDING COMPANY ACT to reflect holding company acquisitions and forma tions approved by the Board to date.) Since Bank FIRST VIRGINIA BANKSHARES is a proposed new bank, consummation of the pro CORPORATION, ARLINGTON, VIRGINIA posal would not increase concentration in any mar ket. In the matter of the application of First Virginia Bankshares Corporation, Arlington, Virginia, for Bank primarily would serve the cities of Peters approval of acquisition of 90 per cent or more of burg and Colonial Heights, and adjacent portions the voting shares of First Bank & Trust Company, of Chesterfield County, and would be in competi tion with 16 offices of 11 banking institutions. The Colonial Heights, Virginia, a proposed new bank. closest office of any of Applicant’s subsidiaries, Order Approving Acquisition of Bank Stock Richmond National Bank (deposits $23 million), by Bank Holding Company is located more than 20 miles from Bank. Con summation of the proposed transaction would There has come before the Board of Governors, neither eliminate existing competition, foreclose pursuant to section 3(a)(3) of the Bank Holding potential competition, nor have adverse effects on Company Act of 1956 (12 U.S.C. 1842(a)(3)), the viability or competitive effectiveness of any and section 222.3 (a) of Federal Reserve Regulation competing banks, but might stimulate competition Y (12 CFR 222.3(a)), the application of First in the Colonial Heights-Petersburg market. Virginia Bankshares Corporation, Arlington, Vir Based upon the foregoing, the Board concludes ginia (“Applicant”), a registered bank holding that consummation of the proposed acquisition company, for the Board’s prior approval of the would not have an adverse effect on competition acquisition of 90 per cent or more of the voting in any relevant area, and might have a procompetishares of First Bank & Trust Company, Colonial tive effect in the Colonial Heights-Petersburg area. Heights, Virginia, a proposed new bank. The banking factors, as applied to the facts of rec As required by section 3(b) of the Act, the ord, and considerations relating to the convenience Board gave written notice of receipt of the applica and needs of the communities to be served are con tion to the Commissioner of Banking for the State sistent with approval of the application. It is the of Virginia and requested his views and recommen Board’s judgment that the proposed transaction dation. The Commissioner recommended approval would be in the public interest, and that the appli of the application. cation should be approved. Notice of receipt of the application was pub It is hereby ordered for the reasons set forth lished in the Federal Register on December 25, in the findings summarized above, that said appli 1970 (35 Federal Register 19645), providing an cation be and hereby is approved, provided that the opportunity for interested persons to submit com action so approved shall not be consummated (a) ments and views with respect to the proposal. A before the thirtieth calendar day following the date copy of the application was forwarded to the of this Order, or (b) later than three months after United States Department of Justice for its con the date of this Order; and that First Bank & Trust sideration. Time for filing comments and views has Company shall be opened for business not later expired and all those received have been considered than six months after the date of this Order. The by the Board. latter time periods may be extended for good cause The Board has considered the application in the by the Board, or by the Federal Reserve Bank of light of the factors set forth in section 3(c) of the Richmond pursuant to delegated authority. Act, including the effect of the proposed acquisition By order of the Board of Governors, February on competition, the financial and managerial re 11, 1971. sources and future prospects of the Applicant and the banks concerned, and the convenience and Voting for this action: Chairman Burns and Gov needs of the communities to be served. Upon such ernors Robertson, Mitchell, Daane, Maisel, and Sher consideration, the Board finds that: rill. Absent and not voting: Governor Brimmer. Applicant is the sixth largest banking organiza tion, and the fourth largest bank holding company (Signed) Kenneth A. Kenyon, in Virginia, controlling 14 banks with $446.5 mil Deputy Secretary. lion in deposits. This represents 6.1 per cent of total banking deposits in the State of Virginia. [seal] Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
252 FEDERAL RESERVE BULLETIN □ MARCH 1971 FIRST UNION, INCORPORATED, quisitions and formations approved by the Board ST. LOUIS, MISSOURI to date). Bank, with deposits of $8 million, is one of In the matter of the application of First Union, the smaller banks in Springfield, and ranks sixth Incorporated, St. Louis, Missouri, for approval of among the eight banks in that city and sixth among the acquisition of 80 per cent or more of the voting the twelve banks in Greene County, which ap shares of Bank of Springfield, Springfield, Missouri. proximates the relevant banking market. Bank holds 3.3 per cent of commercial bank deposits in the market area. Each of Applicant’s present sub Order Approving Acquisition of Bank Stock sidiary banks is located more than 200 miles from by Bank Holding Company Bank, and neither of them appears to compete with There has come before the Board of Governors, Bank to any significant extent. In the light of the pursuant to section 3(a)(3) of the Bank Holding facts of record, including Missouri’s restrictive Company Act of 1956 (12 U.S.C. 1842 (a)(3)) branching law and the distances separating Ap and section 222.3 (a)of Federal Reserve Regulation plicant’s present subsidiaries from Bank, the devel Y (12 CFR 222.3(a)), an application by First opment of such competition in the future is not Union, Incorporated, St. Louis, Missouri (“Appli considered likely. Since three of the Springfield cant”), a registered bank holding company, for banks (including the two largest on the basis of the Board’s prior approval of the acquisition of 80 deposits) are subsidiaries of bank holding com per cent or more of the voting shares of Bank of panies, Bank’s affiliation wtih Applicant should Springfield, Springfield, Missouri (“Bank”). foster competition by enabling Bank to become As required by section 3(b) of the Act, the a stronger competitor to the local banks. It ap Board gave written notice of receipt of the appli pears that consummation of the proposed acquisi cation to the Commissioner of Finance of the State tion would not eliminate any meaningful competi of Missouri and requested his views and recom tion or foreclose significant potential competition, mendation. The Commissioner advised that he had and would not have any undue adverse effects on no objection to approval of the application. other banks in the area involved. Notice of receipt of the application was pub Based upon the record before it, the Board con lished in the Federal Register on December 24, cludes that consummation of the proposed acqui 1970 (35 Federal Register 19595), providing an sition would not adversely affect competition in opportunity for interested persons to submit com any relevant area. The banking factors, as they ments and views with respect to the proposal. A relate to Applicant, its subsidiaries, and Bank are copy of the application was forwarded to the regarded as consistent with approval of the appli United States Department of Justice for its con cation. Considerations relating to the convenience sideration. Time for filing comments and views and needs of the communities to be served lend has expired and all those received have been con some weight in support of approval since Bank, sidered by the Board. through participations with Applicant’s subsidiaries, The Board has considered the application in should be able to provide an additional source for the light of the factors set forth in section 3(c) of larger loans in the expanding Springfield area. It is the Act, including the effect of the proposed ac the Board’s judgment that consummation of the quisition on competition, the financial and mana proposed acquisition would be in the public inter gerial resources and future prospects of the Ap est, and that the application should be approved. plicant and the banks concerned, and the conven It is hereby ordered, on the basis of the ience and needs of the communities to be served. Board’s findings summarized above, that said ap Upon such consideration, the Board finds that: plication be and hereby is approved, provided that Applicant has two subsidiary banks with ag the action so approved shall not be consum gregate deposits of $721 million, representing 7.1 mated (a) before the thirtieth calendar day fol per cent of the total commercial bank deposits in lowing the date of this Order or (b) later than the State, and is the third largest banking organ three months after the date of this Order, unless ization and third largest bank holding company such period shall be extended for good cause by in Missouri. (All banking data are as of June 30, the Board, or by the Federal Reserve Bank of St. 1970, adjusted to reflected holding company ac Louis pursuant to delegated authority. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
LAW DEPARTMENT 253 By order of the Board of Governors, February comments and views with respect to the proposed 11, 1971. transaction. A copy of the application was for warded to the United States Department of Jus Voting for this action: Chairman Burns and Gov tice for its consideration. The time for filing com ernors Robertson, Mitchell, Daane, Maisel, and Sher rill. Absent and not voting: Governor Brimmer. ments and views has expired and all those received have been considered by the Board. (Signed) Kenneth A. Kenyon, [seal] Deputy Secretary. It is hereby ordered, for the reasons set forth in the Board’s Statement of this date, that said application be and hereby is approved, provided FIRST COMMUNITY BANCORPORATION, that the action so approved shall not be consum JOPLIN, MISSSOURI mated (a) before the thirtieth calendar day fol lowing the date of this Order or (b) later than In the matter of the application of First Com three months after the date of this Order, unless munity Bancorporation, Joplin, Missouri, for ap such time is extended for good cause by the proval of action to become a bank holding com Board, or by the Federal Reserve Bank of Kansas pany through the acquisition of 100 per cent of City pursuant to delegated authority. the voting shares (less directors' qualifying shares) By order of the Board of Governors, February of the successor by merger to First National Bank 16, 1971. of Joplin, Joplin, Missouri, and, as an incident to the merger, indirect control of 100 per cent of the Voting for this action: Chairman Burns and Gov ernors Robertson, Mitchell, Daane, Maisel, and Brim voting shares (less directors' qualifying shares) of mer. Absent and not voting: Governor Sherrill. Community National Bank of Joplin, Joplin, Mis souri. (Signed) Kenneth A. Kenyon, [seal] Deputy Secretary. Order Approving Action to Become a Bank Holding Company Statement There has come before the Board of Governors, First Community Bancorporation, Joplin, Mis pursuant to section 3(a)(1) of the Bank Holding souri (“Applicant”), has filed with the Board, pur Company Act of 1956 (12 U.S.C. 1842 (a)l)) suant to section 3(a)(1) of the Bank Holding and section 222.3(a) of Federal Reserve Regula Company Act of 1956, an application for prior tion Y (12 CFR 222.3(a) ), an application by First approval of action to become a bank holding com Community Bancorporation, Joplin, Missouri, for pany through the merger of First National Bank the Board’s prior approval of action whereby Ap of Joplin, Joplin, Missouri (“First Bank”), into a plicant would become a bank holding company nonoperating national bank and the acquisition by through the merger of First National Bank of Applicant of all but directors’ qualifying shares Joplin, Joplin, Missouri, into a nonoperating na of the successor by merger and, as an incident to tional bank and the acquisition by Applicant of the merger, indirect control of all but directors’ 100 per cent of the voting shares (less directors’ qualifying shares of Community National Bank of qualifying shares) of the successor by merger and, Joplin, Joplin, Missouri (“Community Bank”). as an incident to the merger, indirect control of 100 After acquisition of the shares of the successor by per cent of the voting shares (less directors’ quali merger to First Bank, Applicant proposes to ac fying shares) of Community National Bank of quire direct ownership of Community Bank. Joplin, Joplin, Missouri. The nonoperating national bank has significance As required by section 3(b) of the Act, the only as a means of acquiring the shares of First Board gave written notice of receipt of the appli Bank. Therefore, acquisition of the shares of the cation to the Comptroller of the Currency, and re successor by merger to First Bank is treated as an quested his views and recommendation. The Comp acquisition of the shares of First Bank. troller recommended approval of the application. Views and recommendation of supervisory au Notice of receipt of the application was pub thority. As required by section 3(b) of the Act, lished in the Federal Register on December 18, the Board gave written notice of receipt of the ap 1970 (35 Federal Register 19219), which provided plication to the Comptroller of the Currency, and an opportunity for interested persons to submit requested his views and recommendation. The Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
254 FEDERAL RESERVE BULLETIN □ MARCH 1971 Comptroller recommended approval of the appli ness of banking in any part of the United States, cation. and would not restrain trade, substantially lessen Statutory considerations. Section 3(c) of the competition, nor tend to create a monopoly in any Act provides that the Board shall not approve an section of the country. acquisition that would result in a monopoly or Financial and managerial resources and future would be in furtherance of any combination or con prospects. Applicant, a recently formed corpora spiracy to monopolize or to attempt to monopolize tion, has no financial or operating history. Its fi the business of banking in any part of the United nancial condition, managerial resources and pros States. Nor may the Board approve a proposed pects are dependent principally upon those of the acquisition, the effect of which, in any section of banks it proposes to acquire. The financial condi the country, may be substantially to lessen com tion, managements and prospects of the proposed petition, or to tend to create a monopoly, or which subsidiary banks are viewed as satisfactory. Con in any other manner would be in restraint of trade, siderations relating to the banking factors are re unless the Board finds that the anticompetitive garded as consistent with approval of the applica effects of the proposed transaction are clearly out tion. weighed in the public interest by the probable effect Convenience and needs of the community in of the transaction in meeting the convenience and volved. The two banks have worked closely to needs of the communities to be served. In each gether to meet the needs of the Joplin community. case, the Board is required to take into considera However, the greater flexibility of the holding com tion the financial and managerial resources and pany structure should enable Applicant to pro future prospects of the bank holding company and vide additional services and to improve existing the banks concerned, and the convenience and services. Therefore, considerations relating to the needs of the communities to be served. convenience and needs of the area involved lend Competitive effects of the proposed transaction. some support to approval of the application. First Bank ($53 million deposits) is located in Summary and conclusion. On the basis of all the downtown Joplin, Missouri. Community Bank ($3 relevant facts contained in the record, and in the million deposits) is located in Joplin about three light of the factors set forth in section 3(c) of the miles to the southeast of First Bank.1 Together, Act, it is the Board’s judgment that the proposed the banks control about 31 per cent of the deposits transaction would be in the public interest and in the Jasper County-Newton County area, the that the application should be approved. relevant banking market, in which 14 other bank ing organizations are located. FIRST BANC GROUP OF OHIO, INC., The two banks became affiliated in 1966 with COLUMBUS, OHIO the approval of the Comptroller of the Currency, In the matter of the application of First Banc and apparently this relationship will continue re Group of Ohio, Inc., Columbus, Ohio, for approval gardless of the action on this proposal. Inasmuch of acquisition of 100 per cent of the voting shares as the proposed acquisition involves a reorganiza (less directors9 qualifying shares) of the successor tion of an existing system, and reflects neither ex by merger to The First National Bank of Wapapansion of that system nor any significant change koneta, Wapakoneta, Ohio. in the character of the system’s banking facilities, it appears that consummation of Applicant’s pro Order Approving Acquisition of Bank Stock posal would not alter existing bank concentration by Bank Holding Company or competition in the relevant areas, nor have any There has come before the Board of Governors, adverse effect on existing competition, nor affect pursuant to section 3(a)(3) of the Bank Holding potential competition. Company Act of 1956 (12 U.S.C. 1842(a)(3)), On the basis of the record before it, the Board concludes that consummation of this proposal and section 222.3(a) of Federal Reserve Regula tion Y (12 CFR 222.3(a)), an application by would not result in a monopoly nor be in fur therance of any combination or conspiracy to First Banc Group of Ohio, Inc., Columbus, Ohio (“Applicant”), a registered bank holding com monopolize or to attempt to monopolize the busi pany, for the Board’s prior approval of the acquisi tion of 100 per cent of the voting shares (less 1 All banking data are as of June 30, 1970, adjusted to reflect holding company acquisitions approved through directors’ qualifying shares) of a new national December 31, 1970. bank into which would be merged The First Na Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
LAW DEPARTMENT 255 tional Bank of Wapakoneta, Wapakoneta, Ohio However, the second largest bank in the county (“Bank”). The new national bank has significance is only slightly smaller than Bank and holds more only as a means of acquiring all of the shares of than 26 per cent of deposits in the county. Also the bank to be merged into it; the proposal is Bank competes with two considerably larger banks therefore treated herein as one to acquire shares in the adjoining Lima market. A significant num of The First National Bank of Wapakoneta. ber of Wapakoneta residents commute to Lima. As required by section 3(b) of the Act, the Applicant’s subsidiary bank located nearest to Board gave written notice of receipt of the appli Bank is 78 miles to the southwest and there are cation to the Comptroller of the Currency and three counties served by 95 offices of 20 inde requested his views and recommendation. The pendent banks in the intervening area. It appears Board also gave notice to the Superintendent of that no present competition exists between any Banks for the State of Ohio. The Comptroller of Applicant’s subsidiaries and Bank. On the facts recommended approval of the application, and the of record and in the light of Ohio’s branching re Superintendent advised that his office had no ob strictions, it appears unlikely that consummation of jection to approval. the proposal herein would foreclose potential com Notice of receipt of the application was pub petition. lished in the Federal Register on December 19, Based upon the record, the Board concludes that 1970 (35 Federal Register 19291) providing an consummation of the proposed acquisition would opportunity for interested persons to submit com have no significant adverse effect on competition ments and views with respect to the proposed in any relevant area. The financial condition and transaction. A copy of the application was for management of Applicant and its present subsid warded to the United States Department of Jus iaries appear to be satisfactory and prospects for tice for its consideration. Time for filing com the group appear favorable. A strengthening of ments and views has expired and all those received Bank’s management and financial condition is de have been considered by the Board. sirable. Applicant’s ability to provide assistance in The Board has considered the application in these areas and to enhance Bank’s prospects is a the light of the factors set forth in section 3(c) of substantial factor in support of approval of the the Act, including the effect of the proposed ac application. Applicant proposes to expand Bank’s quisition on competition, the financial and mana lending operations, to initiate various staff improve gerial resources and future prospects of the Ap ment programs at Bank, and to offer trust, travel, plicant and the banks concerned, and the conven and other services. Considerations relating to the ience and needs of the communities to be served. convenience and needs of the communities to be Upon such consideration the Board finds that: served are consistent with and lend some slight Applicant, the eighth largest banking organiza support to approval of the application. It is the tion in Ohio, controls six banks with deposits of Board’s judgment that the proposed transaction approximately $557 million, representing less than would be in the public interest, and that the appli 3 per cent of total commercial bank deposits in cation should be approved. the State. (All banking data are as of June 30, It is hereby ordered, for the reasons set forth 1970, adjusted to reflect holding company forma in the findings summarized above, that said ap tions and acquisitions approved by the Board to plication be and hereby is approved, provided that date.) The acquisition of Bank, with deposits of the action so approved shall not be consummated less than $24 million, would increase Applicant’s (a) before the thirtieth calendar day following the control of deposits in the State by only 0.1 percent date of this Order, or (b) later than three months age points, leaving unchanged its present ranking after the date of this Order, unless such period is among banking organizations in the State. extended for good cause by the Board, or by the Bank is located in the Town of Wapakoneta, Federal Reserve Bank of Cleveland pursuant to which has a population of less than 8,000. Bank delegated authority. operates a branch six miles north of Wapakoneta By order of the Board of Governors, February in Cridersville, and another branch eight miles 16, 1971. west of Wapakoneta in St. Mary’s. As the largest Voting for this action: Chairman Burns and Gov of six banks in Auglaize County (population ernors Robertson, Mitchell, Daane, Maisel, and Brim 40,000), which is regarded as the relevant bank mer. Absent and not voting: Governor Sherrill. ing market and is primarily an agricultural area, (Signed) Kenneth A. Kenyon, Bank holds 29 per cent of deposits in the county. [seal] Deputy Secretary. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
256 FEDERAL RESERVE BULLETIN □ MARCH 1971 FIRST ARKANSAS BANKSTOCK By order of the Board of Governors, February CORPORATION, 22, 1971. LITTLE ROCK, ARKANSAS Voting for this action: Chairman Burns and Gov ernors Robertson, Mitchell, Daane, Maisel, Brimmer, In the matter of the application of First Arkan and Sherrill. sas Bankstock Corporation, Little Rock, Arkansas, for approval of acquisition of 80 per cent or more (Signed) Kenneth A. Kenyon, of the voting shares of The Stephens Security [seal] Deputy Secretary. Bank, Stephens, Arkansas. Order Disapproving Acquisition of FIRST FLORIDA BANCORPORATION, Bank Stock TAMPA, FLORIDA by Bank Holding Company In the matter of the application of First Florida There has come before the Board of Governors, Bancorporation, Tampa, Florida, for approval of pursuant to section 3(a)(3) of the Bank Holding acquisition of 80 per cent or more of the voting Company Act of 1956 (12 U.S.C. 1842(a)(3)) shares of Bank of Tavares, Tavares, Florida. and section 222.3(a) of Federal Reserve Regula tion Y (12 CFR 222.3(a)), an application by Order Approving Acquisition of Bank Stock First Arkansas Bankstock Corporation, Little Rock, by Bank Holding Company Arkansas, the only registered bank holding com pany in Arkansas, for the Board’s prior approval There has come before the Board of Governors, of the acquisition of 80 per cent or more of the pursuant to section 3(a)(3) of the Bank Holding voting shares of The Stephens Security Bank, Company Act of 1956 (12 U.S.C. 1842 (a)(3)) Stephens, Arkansas. and section 222.3(a) of Federal Reserve Regula As required by section 3(b) of the Act, the tion Y (12 CFR 222.3(a)), an application by Board gave written notice of receipt of the ap First Florida Bancorporation, Tampa, Florida plication to the State Commissioner of Banking, (“Applicant”), a registered bank holding com and requested his views and recommendation. The pany, for the Board’s prior approval of the ac Commissioner recommended approval unless legis quisition of 80 per cent or more of the voting shares lation were to be approved prohibiting holding of Bank of Tavares, Tavares, Florida (“Tavares company expansion. Bank”). Notice of receipt of the application was pub As required by section 3(b) of the Act, the lished in the Federal Register on December 9, Board gave written notice of receipt of the appli 1970 (35 Federal Register 18699) providing an cation to the Commissioner of Banking for the opportunity for interested persons to submit com State of Florida, and requested his views and rec ments and views with respect to the proposal. Sub ommendation. The Commissioner recommended sequent to the filing of the application, on Febru approval of the application. ary 5, 1971, the State of Arkansas enacted legisla Notice of receipt of the application was pub tion prohibiting the formation and expansion of lished in the Federal Register on January 6, 1971 multi-bank holding companies (Act 47 of the Sixty- (36 Federal Register 189), providing an oppor eighth General Assembly of the State of Arkan tunity for interested persons to submit comments sas). Pursuant to section 7 of the Bank Holding and views with respect to the proposed transaction. Company Act of 1956 (12 U.S.C. 1846), and the A copy of the application was forwarded to the case of Whitney National Bank v. Bank of New United States Department of Justice for its con Orleans, 379 U.S. 411 (1965), the Board is pre sideration. The time for filing comments and views cluded from approving acquisitions by holding has expired and all those received have been con companies in those States in which such acquisi sidered by the Board. tions are prohibited by State legislation. Due to The Board has considered the application in the this conclusion, the Board has neither reached nor light of the factors set forth in section 3(c) of the considered the merits of the application and ex Act, including the effect of the proposed acquisi presses no view thereon. tion on competition, the financial and managerial It is hereby ordered, for the reasons set forth resources and prospects of the Applicant and the above, that said application be and hereby is banks concerned, and the convenience and needs denied. of the communities to be served and finds that: Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
LAW DEPARTMENT 257 Applicant presently controls 17 banks with ag or by the Federal Reserve Bank of Atlanta pur gregate deposits of approximately $347 million, suant to delegated authority. representing 2.8 per cent of all deposits of com By order of the Board of Governors, February mercial banks in Florida. (All banking data are 22, 1971. as of June 30, 1970, adjusted to reflect holding Voting for this action: Chairman Burns and Gov company acquisitions approved by the Board ernors Robertson, Mitchell, Daane, Maisel, Brimmer, through December 31, 1970.) Upon acquisition of and Sherrill. Tavares Bank ($13 million deposits), Applicant (Signed) Kenneth A. Kenyon, would remain the sixth largest registered bank [seal] Deputy Secretary. holding company in Florida. On the basis of de posits, Tavares Bank ranks sixth among the ten FIRST UNION, INCORPORATED, banking organizations in Lake County, which ap ST. LOUIS, MISSOURI proximates the relevant market, and controls 9.3 per cent of market deposits. It appears that there In the matter of the application of First Union, is no significant competition between Tavares Bank Incorporated, St. Louis, Missouri, for approval of and any of Applicant’s present subsidiary banks, the acquisition of 80 per cent or more of the voting of which the nearest to Tavares Bank are two shares of Crystal City State Bank, Crystal City, banks in Seminole County and one in Orange Missouri. County, about 35 miles distant. A number of banks are located in each of the intervening areas be Order Approving Acquisition of Bank Stock tween Applicant’s subsidiaries and Tavares Bank. by Bank Holding Company Branch banking is not permitted under Florida There has come before the Board of Governors, law, and there appears to be little likelihood that pursuant to section 3(a)(3) of the Bank Holding Applicant would establish a de novo office in Lake Company Act of 1956 (12 U.S.C. 1842(a)(3)) County. Thus, it appears that consummation of and section 222.3(a) of Federal Reserve Regula this proposal would not eliminate significant exist tion Y (12 CFR 222.3(a)), an application by ing competition nor foreclose potential competition. First Union, Incorporated, St. Louis, Missouri Affiliation with Applicant may enhance the ability (“Applicant”), a registered bank holding com of Tavares Bank to compete with the larger banks pany, for the Board’s prior approval of the acquisi in its area without having any adverse effect on tion of 80 per cent or more of the voting shares the smaller banks located there. of Crystal City State Bank, Crystal City, Missouri On the basis of the record before it, the Board (“Bank”). concludes that consummation of the proposed ac As required by section 3(b) of the Act, the quisition would not have an adverse effect on com Board gave written notice of receipt of the ap petition in any relevant market. The financial con plication to the Commissioner of Finance of the dition, managements and prospects of Applicant, State of Missouri and requested his views and rec its subsidiaries, and Tavares Bank are regarded ommendation. The Commissioner advised that his as satisfactory. Applicant proposes to make spe office had no objection to approval of the applica cialized services available to customers of Tavares tion. Bank. Thus, considerations concerning community Notice of receipt of the application was pub convenience and needs lend some support to ap lished in the Federal Register on January 12, 1971 proval of the application. It is the Board’s judg (36 Federal Register 390), providing an opportu ment that the proposed transaction would be in the nity for interested persons to submit comments and public interest, and that the application should be views with respect to the proposal. A copy of the approved. application was forwarded to the United States De It is hereby ordered, for the reasons in the partment of Justice for its consideration. Time for findings summarized above, that said application filing comments and views has expired and all be and hereby is approved, provided that the ac those received have been considered by the Board. quisition so approved shall not be consummated The Board has considered the application in the (a) before the thirtieth calendar day following light of the factors set forth in section 3(c) of the the date of this Order or (b) later than three Act, including the effect of the proposed acquisition months after the date of this Order, unless such on competition, the financial and managerial re period is extended for good cause by the Board, sources and future prospects of the Applicant and Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
258 FEDERAL RESERVE BULLETIN □ MARCH 1971 the banks concerned, and the convenience and the action so approved shall not be consummated needs of the communities to be served. Upon such (a) before the thirtieth calendar day following the consideration, the Board finds that: date of this Order or (b) later than three months Applicant has three subsidiary banks with ag after the date of this Order, unless such period gregate deposits of approximately $730 million, shall be extended for good cause by the Board, or representing about 7.2 per cent of the total com by the Federal Reserve Bank of St. Louis pur mercial bank deposits in the State, and is the suant to delegated authority. third largest banking organization and third larg By order of the Board of Governors, February est bank holding company in Missouri. (All bank 25, 1971. ing data are as of June 30, 1970, adjusted to reflect Voting for this action: Vice Chairman Robertson holding company acquisitions and formations ap and Governors Mitchell, Daane, Maisel, Brimmer, and proved by the Board to date). Sherrill. Absent and not voting: Chairman Burns. Bank, the only bank in Crystal City, holds de (Signed) Kenneth A. Kenyon, posits of $8.5 million, representing approximately [seal] Deputy Secretary. 12 per cent of the aggregate commercial bank BANKERS TRUST NEW YORK deposits in Jefferson County. Bank is the fourth CORPORATION, NEW YORK, NEW YORK largest of the eleven banks in Jefferson County and is the second largest of the three banks serv In the matter of the application of Bankers ing Crystal City and environs, which area approxi Trust New York Corporation, New York, New mates Bank’s primary service area. Applicant’s York, for approval of acquisition of all of the closest subsidiary to Bank is located in St. Louis voting shares of The Industrial Bank of Bingham some 40 miles north of Bank. A large number of ton, New York. banks are located in the intervening area. It ap Order Approving Acquisition of Bank Stock pears that none of Applicant’s present subsidiaries by Bank Holding Company competes with Bank to any significant extent; moreover, the development of such competition There has come before the Board of Governors, seems unlikely on the facts of record and in the pursuant to section 3(a)(3) of the Bank Holding light of Missouri’s restrictive branching laws. It Company Act of 1956 (12 U.S.C. 1842(a)(3)), appears that consummation of the proposed ac and section 222.3(a) of Federal Reserve Regula quisition would not eliminate any meaningful com tion Y (12 CFR 222.3(a)), an application by petition nor foreclose significant potential competi Bankers Trust New York Corporation, New York, tion, and would not have any undue adverse effects New York (“Applicant”), a registered bank hold on other banks in the areas involved. ing company, for the Board’s prior approval of the Based upon the foregoing, the Board concludes acquisition of all the voting shares of The Indus that consummation of the proposed acquisition trial Bank of Binghamton, Binghamton, New York would not adversely affect competition in any rele (“Bank”). vant area. Considerations relating to financial and As required by section 3(b) of the Act, the managerial resources and prospects, as they relate Board notified the New York Superintendent of to Applicant, its subsidiaries, and Bank are regarded Banks of the application and requested his views as consistent with approval of the application. Ap and recommendation. The New York State Bank plicant proposes to institute trust services at Bank ing Board approved an application involving the and to assist Bank in providing expanded mortgage same proposal in accordance with the recommenda and business lending services. In light of the ex tion of the New York State Superintendent of pected future development of the area and the pros Banks and advised this Board of its action. pective increasing need for such services, con Notice of receipt of the application was pub siderations relating to the convenience and needs lished in the Federal Register on January 12, 1971 of the communities to be served lend some weight (36 Federal Register 390), providing an oppor in support of approval. It is the Board’s judgment tunity for interested persons to submit comments that consummation of the proposed acquisition and views with respect to the proposed transac would be in the public interest and that the appli tion. A copy of the application was forwarded to cation should be approved. the United States Department of Justice for its It is hereby ordered, on the basis of the consideration. Time for filing comments and views Board’s findings summarized above, that said ap has expired and all those received have been con plication be and hereby is approved, provided that sidered by the Board. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
LAW DEPARTMENT 259 The Board has considered the application in forth above, that said application be and hereby the light of the factors set forth in section 3(c) of is approved, provided that the acquisition so ap the Act, including the effect of the proposed ac proved shall not be consummated (a) before the quisition on competition, the financial and mana thirtieth calendar day following the date of this gerial resources and future prospects of the Ap Order, or (b) later than three months after the plicant and the banks concerned, and the con date of this Order, unless such period is extended venience and needs of the communities to be for good cause by the Board, or by the Federal served. Upon such consideration the Board finds Reserve Bank of New York pursuant to delegated that: authority. Applicant, the largest registered holding com By order of the Board of Governors, February pany in New York State and the sixth largest bank 25, 1971. ing organization, controls seven banks with total Voting for this action: Vice Chairman Robertson deposits of $5.5 billion. (All banking data are as and Governors Mitchell, Daane, Maisel, Brimmer, and of June 30, 1970, and reflect holding company ap Sherrill. Absent and not voting: Chairman Burns. plications approved by the Board to date.) Bank (Signed) Kenneth A. Kenyon, (deposits $15.2 million) is organized under the [seal] Deputy Secretary. laws of New York State as an industrial bank. As such, it has the power under New York State FIRST AT ORLANDO CORPORATION, statutes to, and in this case does, accept demand ORLANDO, FLORIDA deposits and make commercial loans. It is thus a bank for purposes of the Bank Holding Company In the matter of the application of First at Act of 1956. Orlando Corporation, Orlando, Florida, for ap Acquisition of Bank would represent Applicant’s proval of acquisition of 80 per cent or more of initial entry into New York State’s Seventh Bank the voting shares of Tampa Bay Bank, Tampa, ing District. Applicant’s closest subsidiary, First Florida. Trust Company of Albany, N. A., has its closest office approximately 110 road miles east of Bing Order Approving Acquisition of Bank hamton and under New York State banking laws Stock by Bank Holding Company all of Applicant’s subsidiaries are precluded from branching outside their respective districts. Bank There has come before the Board of Governors, is the fifth largest of 11 banking organizations op pursuant to section 3(a)(3) of the Bank Holding erating within the Binghamton area. Each of the Company Act of 1956 (12 U.S.C. 1842(a)(3)) larger banks is a subsidiary of a large bank hold and section 222.3(a) of Federal Reserve Regula ing company. Consummation of the proposal tion Y (12 CFR 222.3(a)), the application of would have no adverse effect on any banking or First at Orlando Corporation, Orlando, Florida ganization in any relevant area and might serve (“Applicant”), a registered bank holding com to stimulate competition in the Binghamton area. pany, for the Board’s prior approval of the acquisi Considerations relating to the financial and man tion of 80 per cent or more of the voting shares of agerial resources and prospects of Applicant, its Tampa Bay Bank, Tampa, Florida (“Bank”). subsidiaries, and Bank are regarded as consistent As required by section 3(b) of the Act, the with approval of the application. Additionally, Board gave written notice of receipt of the ap Applicant proposes to seek full commercial bank plication to the Florida Commissioner of Banking powers for Bank. Such powers would enable Bank and requested his views and recommendation. The to expand, since its deposit volume is limited to Commissioner recommended approval of the 10 times capital accounts, would enable Bank to application. offer additional services such as trust services, and Notice of receipt of the application was pub would give it greater branching privileges, mak lished in the Federal Register on January 14, 1971 ing it more accessible to its customers. Considera (36 Federal Register 575), providing an oppor tions regarding the convenience and needs of the tunity for interested persons to submit comments communities to be served support approval of the and views with respect to the proposal. A copy of application. It is the Board’s judgment that the the application was forwarded to the United States proposed transaction is in the public interest and Department of Justice for its consideration. Time should be approved. for filing comments and views has expired and all It is hereby ordered, for the reasons set those received have been considered by the Board. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
260 FEDERAL RESERVE BULLETIN □ MARCH 1971 The Board has considered the application in the plication be and hereby is approved, provided that light of the factors set forth in section 3(c) of the the action so approved shall not be consummated Act, including the effect of the proposed acquisi (a) before the thirtieth calendar day following the tion on competition, the financial and managerial date of this Order or (b) later than three months resources and future prospects of the Applicant after the date of this Order, unless such time be and the banks concerned, and the convenience and extended for good cause by the Board, or by the needs of the communities to be served. Upon such Federal Reserve Bank of Atlanta pursuant to consideration, the Board finds that: delegated authority. Applicant is the fifth largest banking organiza By order of the Board of Governors, March 2, tion in Florida controlling 16 banks with $476 mil 1971. lion in deposits, representing 3.9 per cent of the Voting for this action: Vice Chairman Robertson deposits held by all banking organizations in the and Governors Mitchell, Daane, Maisel, Brimmer, State. (All banking data are as of June 30, 1970, and Sherrill. Absent and not voting: Chairman Burns. adjusted to reflect holding company formations (Signed) Kenneth A. Kenyon, and acquisitions approved by the Board through [seal] Deputy Secretary. January 31, 1971.) Applicant’s acquisition of Bank (deposits of $18 million) would increase its share of deposits in the State by less than two tenths of FIRST UNION, INCORPORATED, 1 per cent. ST. LOUIS, MISSOURI Bank is the tenth largest of 21 banking organi In the matter of the application of First Union, zations serving Hillsborough County, holding only Incorporated, St. Louis, Missouri, for approval of 2.1 per cent of the deposits in that area. Appli the acquisition of 80 per cent or more of the vot cant’s closest subsidiary to Bank is located 60 miles ing shares of Rolla State Bank, Rolla, Missouri. east of Bank in Lake Wales, Florida. Because of this distance between the two, the presence of intervening banks and restrictive Florida law, there Order Approving Acquisition of Bank Stock is little meaningful competition between them and, by Bank Holding Company based on the facts of record, little possibility that more competition will develop in the future. There has come before the Board of Governors, Through affiliation with Applicant, Bank would pursuant to section 3(a)(3) of the Bank Holding be in a stronger position to compete with its much Company Act of 1956 (12 U.S.C. 1842(a)(3)) larger competitors in Hillsborough County, two of and section 222.3(a) of Federal Reserve Regula which each have deposits in excess of $200 million. tion Y (12 CFR 222.3(a)), an application by Based upon the foregoing, the Board concludes First Union, Incorporated, St. Louis, Missouri acquisition of Bank would not have an adverse (“Applicant”), a registered bank holding com effect on competition in any relevant area, and is pany, for the Board’s prior approval of the ac likely to have a pro-competitive effect in the quisition of 80 per cent or more of the voting Hillsborough County area. shares of Rolla State Bank, Rolla, Missouri The banking factors as they pertain to Applicant (“Bank”). and Bank are consistent with approval of the ap As required by section 3(b) of the Act, the plication. Considerations relating to the conveni Board gave written notice of receipt of the ap ence and needs of banking customers in Hills plication to the Commissioner of Finance of the borough County lend some weight in favor of State of Missouri and requested his views and approval of the application. Although the needs recommendation. The Commissioner advised that of those customers are being served, consumma his office had no objection to approval of the tion of the acquisition will enable Bank to offer application. additional services (such as trust services) which Notice of receipt of the application was pub are presently being offered only by large banks in lished in the Federal Register on January 6, 1971 the area or those affiliated with large banking (36 Federal Register 189), providing an oppor organizations. It is the Board’s judgment that the tunity for interested persons to submit comments proposed transaction would be in the public inter and views with respect to the proposal. A copy est and should be approved. of the application was forwarded to the United It is hereby ordered, for the reasons set forth States Department of Justice for its consideration. in the findings summarized above, that said ap Time for filing comments and views has expired Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
LAW DEPARTMENT 261 and all those received have been considered by the posed acquisition would be in the public interest, Board. and that the application should be approved. The Board has considered the application in the It is hereby ordered, on the basis of the light of the factors set forth in section 3(c) of the Board’s findings summarized above, that said ap Act, including the effect of the proposed acquisi plication be and hereby is approved, provided that tion on competition, the financial and managerial the action so approved shall not be consummated resources and future prospects of the Applicant (a) before the thirtieth calendar day following the and the banks concerned, and the convenience and date of this Order or (b) later than three months needs of the communities to be served. Upon such after the date of this Order, unless such period consideration, the Board finds that: shall be extended for good cause by the Board, or Applicant, the third largest banking organization by the Federal Reserve Bank of St. Louis pursuant and third largest bank holding company in Mis to delegated authority. souri, has four subsidiary banks with aggregate By order of the Board of Governors, March 4, deposits of $738.5 million, representing 7.3 per 1971. cent of the total commercial bank deposits in the Voting for this action: Chairman Burns and Gov State. (All banking data are as of June 30, 1970, ernors Robertson, Brimmer, and Sherrill. Absent and adjusted to reflect holding company acquisitions not voting: Governors Mitchell, Daane, and Maisel. and formations approved by the Board to date.) (Signed) Kenneth A. Kenyon, Consummation of the proposed acquisition would [seal] Deputy Secretary. increase Applicant’s control to 7.4 per cent of statewide deposits. THE MARINE CORPORATION, Bank ($14.5 million of deposits) is the largest MILWAUKEE, WISCONSIN of three banks in Rolla and the largest of five banks in Phelps County, which approximates the In the matter of the application of The Marine relevant banking market. The Rolla competitors of Corporation, Milwaukee, Wisconsin, for approval Bank have experienced good growth and demon of acquisition of 90 per cent or more of the vot strated competitive viability and aggressiveness; ing shares of Farmers State Bank, Beaver Dam, and it appears that Bank does not dominate the Wisconsin. market. Applicant’s closest subsidiary to Bank is located more than 100 miles from Rolla, and none Order Approving Acquisition of Bank Stock of Applicant’s subsidiaries appears to compete with by Bank Holding Company Bank to any significant extent. In the light of the facts before the Board, notably the distances be There has come before the Board of Governors, tween Applicant’s present subsidiaries and Bank pursuant to section 3(a)(3) of the Bank Holding and Missouri’s restrictive branching laws, it seems Company Act of 1956 (12 U.S.C. 1842(a)(3)) unlikely that consummation of the proposal herein and section 222.3(a) of Federal Reserve Regula would foreclose any significant potential competi tion Y (12 CFR 222.3(a)), the application of The tion. Marine Corporation, Milwaukee, Wisconsin (“Ap On the basis of the record before it, the Board plicant”), a registered bank holding company, for concludes that consummation of the proposed ac the Board’s prior approval of the acquisition of quisition would not adversely affect competition in 90 per cent or more of the voting shares of any relevant area. Considerations relating to finan Farmers State Bank, Beaver Dam, Wisconsin cial and managerial resources and prospects, as (“Farmers Bank”). they relate to Applicant, its subsidiaries, and Bank, As required by section 3(b) of the Act, the are regarded as satisfactory and consistent with Board gave written notice of receipt of the ap approval of the application. Applicant proposes to plication to the Wisconsin Commissioner of Bank assist Bank in providing additional consumer and ing, and requested his views and recommendation. business loans, trust services, and specialized mort The Commissioner responded that his office had no gage financing. Such additional services should objection to approval of the application. contribute to the economic growth of the com Notice of receipt of the application was pub munity. Considerations relating to the convenience lished in the Federal Register on January 16, 1971 and needs of the communities to be served lend (36 Federal Register 809), providing an oppor some weight in support of approval. It is the tunity for interested persons to submit comments Board’s judgment that consummation of the pro and views with respect to the proposal. A copy of Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
262 FEDERAL RESERVE BULLETIN □ MARCH 1971 the application was forwarded to the United States petition in any relevant area. The financial and Department of Justice for its consideration. Time managerial resources and prospects of Applicant, for filing comments and views has expired and all its subsidiaries, and Farmers Bank are regarded those received have been considered by the Board. as consistent with approval of the application. Ap The Board has considered the application in the plicant proposes to assist in providing customers of light of the factors set forth in section 3(c) of the Farmers Bank with a number of new, expanded, Act, including the effect of the proposed acquisi and improved services with respect to loans, fi tion on competition, the financial and managerial duciary services, and computer facilities. Thus con resources and future prospects of the Applicant siderations relating to the convenience and needs and the banks concerned, and the convenience and of the communities involved lend some support to needs of the communities to be served. Upon such approval of the application. It is the Board’s judg consideration, the Board finds that: ment that the proposed transaction would be in the Applicant is the third largest banking organiza public interest, and that the application should be tion in Wisconsin by virtue of its control of 14 approved. banks with aggregate deposits of approximately It is hereby ordered, for the reasons set forth $563 million, representing 6.5 per cent of all de in the findings summarized above, that said appli posits of commercial banks in the State. (All bank cation be and hereby is approved, provided that ing data are as of June 30, 1970, adjusted to reflect the action so approved shall not be consummated holding company acquisitions approved by the (a) before the thirtieth calendar day following the Board through January 31, 1971.) Upon acquisi date of this Order or (b) later than three months tion of Farmers Bank ($19 million of deposits), after the date of this Order, unless such time is Applicant would increase its share of State-wide extended for good cause by the Board, or by the deposits to 6.7 per cent, making it the second Federal Reserve Bank of Chicago pursuant to largest banking organization in the State. delegated authority. On the basis of deposits, Farmers Bank is the By order of the Board of Governors, March 4, smallest of the three comparable-sized banks in 1971. Beaver Dam and, with about 24 per cent of market Voting for this action: Chairman Burns and Gover deposits, third in size among the eight banks lo nors Robertson, Brimmer, and Sherrill. Absent and not voting: Governors Mitchell, Daane, and Maisel. cated in the relevant market, defined as approxi mately the western portion of Dodge County (Signed) Kenneth A. Kenyon, (except Waupun). [seal] Deputy Secretary. Applicant’s two subsidiary banks located closest MERRILL BANKSHARES COMPANY, to Farmers Bank are, respectively, 36 miles east BANGOR, MAINE and 40 miles southwest of Farmers Bank and are In the matter of the application of Merrill not in Dodge County. It appears that there is no Bankshares Company, Bangor, Maine, for ap significant competition between Farmers Bank and proval of acquisition of at least 80 per cent of either of these two banks or any of Applicant’s the voting shares of Federal Trust Company, other subsidiary banks, and none is likely to de Waterville, Maine. velop in the future because of the distances in volved, the number of other banks located in the Order Approving Acquisition of Bank Stock intervening areas, and the restrictive provisions of by Bank Holding Company Wisconsin law on branch banking. There appears There has come before the Board of Governors, to be little likelihood that Applicant would estab pursuant to section 3(a)(3) of the Bank Holding lish a de novo office in the area served by Farmers Company Act of 1956 (12 U.S.C. 1842(a)(3)) Bank. Thus, it appears that consummation of Ap and section 222.3(a) of Federal Reserve Regula plicant’s proposal would not eliminate significant tion Y (12 CFR 222.3(a)), an application by existing competition nor foreclose potential com Merrill Bankshares Company, Bangor, Maine, a petition. Affiliation with Applicant may enable registered bank holding company, for the Board’s Farmers Bank to compete more aggressively with prior approval of the acquisition of at least 80 per the two larger banks in the market without having cent of the voting shares of Federal Trust Com any adverse effect on the smaller banks located pany, Waterville, Maine. there. As required by section 3(b) of the Act, the On the basis of the record before it, the Board Board gave written notice of receipt of the applica concludes that consummation of the proposed ac tion to the Bank Commissioner of the State of quisition would not have an adverse effect on com Maine, and requested his views and recommenda Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
LAW DEPARTMENT 263 tion. The Commissioner responded that he had no tember 16, 1970,2 vacated its Order of April 27, objection to approval of the application. 1970. Notice of receipt of the application was pub The application herein seeks approval of the lished in the Federal Register on December 2, acquisition of the shares of Federal Trust directly 1970 (35 Federal Register 18347), which provided by Applicant through an exchange of shares of an opportunity for interested persons to submit Applicant for shares of Federal Trust. The present comments and views with respect to the proposed proposal preserves the right of a Federal Trust transaction. A copy of the application was for shareholder to refuse the exchange offer and re warded to the United States Department of Justice main a shareholder of Federal Trust. for its consideration. The time for filing comments Views and recommendation of supervisory au and views has expired and all those received have thority. As required by section 3(b) of the Act, been considered by the Board. the Board gave written notice of receipt of the It is hereby ordered, for the reasons set forth application to the Bank Commissioner of the State in the Board’s Statement of this date, that said of Maine, and requested his views and recom application be and hereby is approved, provided mendation. The Commissioner responded that he that the acquisition so approved shall not be con had no objection to approval of the application. summated (a) before the thirtieth calendar day Statutory considerations. Section 3(c) of the Act following the date of this Order, or (b) later than provides that the Board shall not approve an ac three months after the date of this Order, unless quisition that would result in a monopoly or would such period is extended for good cause by the be in furtherance of any combination or conspiracy Board, or by the Federal Reserve Bank of Boston to monopolize or to attempt to monopolize the pursuant to delegated authority. business of banking in any part of the United By order of the Board of Governors, March 8, States. Nor may the Board approve a proposed 1971. acquisition, the effect of which, in any section of the country, may be substantially to lessen compe Voting for this action: Chairman Burns and Gov ernors Mitchell, Daane, and Sherrill. Voting against tition, or to tend to create a monopoly, or which this action: Governors Robertson, Maisel, and in any other manner would be in restraint of trade, Brimmer. unless the Board finds that the anticompetitive (Signed) Kenneth A. Kenyon, effects of the proposed transaction are clearly out [seal] Deputy Secretary. weighed in the public interest by the probable effect of the transaction in meeting the convenience Statement and needs of the communities to be served. In each case, the Board is required to take into considera Merrill Bankshares Company, Bangor, Maine tion the financial and managerial resources and (“Applicant”), a registered bank holding com future prospects of the bank holding company and pany, has applied to the Board, pursuant to sec the banks concerned, and the convenience and tion 3(a)(3) of the Bank Holding Company Act needs of the communities to be served. of 1956, for prior approval of the acquisition of Competitive effect of the proposed transaction. at least 80 per cent of the voting shares of Fed Applicant controls two banks with aggregate de eral Trust Company, Waterville, Maine (“Federal posits of approximately $100 million.3 It is the Trust”). sixth largest banking organization in the State and Applicant had submitted an earlier application, the smallest of the four registered bank holding which the Board approved on April 27, 1970,1 to companies. Upon acquisition of Federal Trust acquire all the voting shares of Federal Trust by ($40 million deposits), Applicant’s share of State merging that bank with a nonoperating State bank, wide deposits would increase from 8.5 per cent to organized by Applicant solely as a means of ac 11.9 per cent, and Applicant would thereby be quiring all the shares of Federal Trust. Prior to come the fourth largest banking organization in effectuation of Applicant’s proposal to acquire such the State. shares, a minority shareholder of Federal Trust Federal Trust serves principally the Waterville brought an action in the Maine courts attacking the area. The shortest distance between an office of merger plan as illegal under the law of Maine; and, Federal Trust and a banking office in Applicant’s on August 14, 1970, the Supreme Judicial Court of Maine, on appeal, sustained the attack. At the request of Applicant, the Board, by Order of Sep 2 1970 Federal Reserve Bulletin 791. 3 All banking data are as of June 30, 1970, adjusted to reflect holding company acquisitions approved by the 1 1970 Federal Reserve Bulletin 457. Board through December 31, 1970. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
264 FEDERAL RESERVE BULLETIN □ MARCH 1971 system is more than 15 miles, and the intervening the communities they serve. Applicant proposes to area offers little prospect for significant growth. provide specialists and computer facilities and to The lead bank of Depositors Corporation is the extend the branch system of Federal Trust, all of State’s largest bank (on the basis of deposits), has which should benefit the communities involved. a branch in Waterville and is one of Federal Therefore, community convenience and needs Trust’s principal competitors. First National Bank considerations lend weight to approval of the of Pittsfield, another principal competitor of Fed application. eral Trust, was recently merged into Maine Na Summary and conclusion. On the basis of all tional Bank, the State’s second largest bank. relevant facts contained in the record, and in the Prior to the issuance of its Order of April 27, light of the factors set forth in section 3(c) of the 1970, the Board carefully analyzed the competitive Act, it is the Board’s judgment that the proposed situation in the areas involved and concluded that transaction would be in the public interest and that competitive considerations were consistent with ap the application should be approved. proval of the Applicant’s proposal to acquire con trol of Federal Trust. The Board has reviewed the Dissenting Statement of Governors data and analysis upon which it relied with respect Robertson, Maisel, and Brimmer to Applicant’s earlier proposal and has studied the data presented to the Board in connection with the We dissent from the Board’s action because, in current proposal, including facts relating to de our view, consummation of Applicant’s proposal velopments that have occurred since April 27, will have significant adverse competitive effects 1970; and the Board concludes that there is only which are not outweighed by other considerations. minimal competition between Federal Trust and Our reasons for finding significant adverse com Applicant’s subsidiaries, little likelihood of any petitive effects are the same as those set forth in significant future competition developing between our dissenting Statement accompanying the Board’s them, and there appears to be no reason for the Order of April 27, 1970, approving the application Board to depart from the conclusion it reached in of Merrill Bankshares Company to acquire all the April 1970, regarding competitive considerations voting shares of the successor by merger to Federal in the areas involved. Trust Company. We have found no significant For the reasons stated herein and the reasons set change in the competitive situation and no reasons forth in the Statement accompanying the Order of to change our earlier conclusion. April 27, 1970, relating to Applicant’s original As a matter of fact, considerations relating to proposal for the acquisition of shares of Federal the convenience and needs of the Waterville com Trust, the Board concludes that consummation of munity now provide less support for approval of the proposed acquisition would not result in a the application than such considerations did at the monopoly nor be in furtherance of any combina time of the Board’s April 27 Order. The lead bank tion, conspiracy, or attempt to monopolize the in the State’s largest banking organization operates business of banking in any relevant area, and a branch in Waterville, only 21 miles from its main would not substantially lessen competition, tend to office. In addition, one of the competitors of create a monopoly, or restrain trade in any section Federal Trust was recently merged into the second of the country. largest bank in the State. As a result, Waterville Financial and managerial resources and future area residents have access to the full range of prospects. The financial condition and manage banking services available at the offices of Maine’s ment of Applicant, its subsidiary banks, and of two largest commercial banks. Federal Trust are regarded as satisfactory, and It is relevant to the consideration of Applicant’s their prospects appear favorable. Thus, considera present proposal to note that the Board warned tions relating to the banking factors are consistent just two months ago, in an Order of December 14, with approval of the application. 1970 (1971 Federal Reserve Bulletin 36), re Convenience and needs of the communities in lating to an application involving other parties, volved. It appears that the banking needs of resi that caution must be exercised with respect to dents of the areas served by Applicant’s present proposals that might increase deposit concentra subsidiaries and by Federal Trust are being ade tion in Maine in view of the apparent trend toward quately met at present. However, all of the areas concentration of commercial banking in that State. affected could benefit from the greater facility with In the light of all the circumstances of this case, which the banks involved should be able, through we believe that the statutory criteria require that loan participations, to meet larger credit needs in the application be denied. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
Announcements CHANGES IN BOARD’S STAFF mine the amount of foreign lending by American banks that finances U.S. exports. The survey The Board of Governors has appointed Walter A. showed that in late 1970 about 17 per cent of Althausen, Donald G. Barnes, and Harry A. outstanding loans to foreigners under the volun Guinter Assistant Directors in the Division of tary foreign credit restraint program ceilings Federal Reserve Bank Operations, effective March financed U.S. exports. 2, and William W. Layton to fill the newly created The survey was part of the Federal Reserve’s official staff position of Director of Equal Employ continuing review of the VFCR program under ment Opportunity, effective March 8. which since 1965 U.S. commercial banks and Before joining the Board’s staff in March 1970 other financial institutions have been requested Mr. Althausen had been with the Department of to limit their loans and investments abroad. State in Paris and with private architectural firms Last year, the Board undertook a major inquiry in San Francisco and Washington, D. C. He has into the possible effect in 1970 of the VFCR on an A.B. and an M.A. from the University of export financing and on exports. The results of California at Berkeley and is a member of the that inquiry were made public by the Board on American Institute of Architects. January 7 in conjunction with the issuance of the Mr. Barnes was with the Federal Reserve Bank revised VFCR guidelines. of Kansas City before joining the Board’s staff in In connection with that survey, which was con October 1970. He has also been associated with ducted under the supervision of Governor Andrew the Bureau of the Census, the U.S. Air Defense F. Brimmer, who administers the VFCR program Command, and Booz-Allen Applied Research, for the Board, an effort was made to determine the Inc. He has a B.S. degree from Kansas State portion of foreign lending by U.S. banks that was University. made up of export credits. This survey covered all Prior to joining the Board’s staff in November major banks reporting under the VFCR program 1969, Mr. Guinter was with Booz-Allen & Hamil plus a sample of smaller reporting banks. ton, Inc. Earlier experience was with commercial banks in New York and New Jersey and the ONE-BANK HOLDING COMPANIES: Burroughs Corporation. Mr. Guinter attended REGISTRATION STATEMENTS Rutgers State University and the American Insti tute of Banking. The Board of Governors on February 17, 1971, Mr. Layton, who comes to the Board from the issued two registration statements for one-bank U.S. Department of Agriculture, has held a num holding companies that must register with the ber of important positions in the field of equal Federal Reserve under the Bank Holding Com employment. He is a graduate of Lincoln Uni pany Act amendments enacted on December 31, versity and has done graduate work in social 1970. science at Fisk University. One registration statement—a short form—is designed for use by small companies while the DEATH OF A DIRECTOR other must be filed by larger one-bank holding companies and multibank holding companies that Whitney M. Young, Jr., who had served since register with the Board in the future. The short January 1, 1971, as a Board-appointed director of ened form may be used by one-bank holding the Federal Reserve Bank of New York, died on companies that meet the following two tests: the March 11. He was Executive Director of the bank has less than $30 million in total assets and National Urban League in New York City. the holding company itself has total assets not exceeding $5 million. SURVEY OF FOREIGN LENDING The statements are a further step by the Board The Board of Governors on March 3, 1971, re to implement the Act that extended its regulatory leased a report on the results of a survey to deter authority over bank holding companies to those 265 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
that control only one bank. Under the Bank Hold Reserve by June 29, 1971, which is 180 days after ing Company Act of 1956, only those holding the amendments were signed into law. companies that controlled 25 per cent or more of the voting stock of two or more banks were re ADMISSION OF STATE BANKS TO MEMBERSHIP quired to register with the Federal Reserve and IN THE FEDERAL RESERVE SYSTEM limit their activities to banking and closely related activities. In the 1970 amendments Congress ex The following banks were admitted to membership panded the law to cover corporations and other in the Federal Reserve System during the period entities that control only one bank, gave the Board February 16, 1971 through March 15, 1971: greater latitude to determine when control exists, Florida and amended other parts of the Act under which Longboat Key . . . . Longboat Key Bank bank holding companies may engage in bankrelated activities. Minnesota The 1970 amendments require all one-bank Bloomington . ... Summit State Bank of holding companies to register with the Federal Bloomington 266 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
National Summary of Business Conditions Released for publication March 15 Industrial production and nonfarm employment materials, output of steel and construction ma declined in February but the unemployment rate terials increased, but production of some other edged down. Retail sales rose slightly. Bank durable and nondurable materials was down. credit, the money supply, and time and savings deposits increased. Between mid-February and EMPLOYMENT mid-March, yields on most U.S. Government Nonfarm employment declined in February as securities declined sharply, but yields on new small gains in the service-producing industries corporate and municipal securities rose. were more than offset by reductions in construc tion and manufacturing. Average weekly hours of INDUSTRIAL PRODUCTION manufacturing production workers dropped 0.4 Industrial production declined 0.4 per cent in hour to 39.4 hours with the reductions widespread. February, following a partial recovery in Decem The labor force declined by half a million in ber and January after the end of the auto strike. February and the unemployment rate edged down In February a further rise in output in the auto to 5.8 per cent from 6.0 per cent in January. motive and steel industries was more than offset by declines in production of other final products RETAIL SALES and materials. The total index at 164.8 per cent The value of retail sales increased about 0.5 of the 1957-59 average was 5.6 per cent below per cent in February and was 4 per cent above a the July 1969 high. year earlier, according to the advance report. Auto assemblies increased 8 per cent further in Sales in most major types at durable goods stores February and were at an annual rate of about 9 were down in February except at automotive million units; production schedules for March stores, where sales rose 2 per cent. Sales at non indicate little change from the February rate. durable goods stores were up almost 1 per cent. Output of most home goods and consumer staples declined in February. Production of industrial, commercial, and defense equipment declined WHOLESALE AND CONSUMER PRICES further, as did output of commercial aircraft. The wholesale price index increased 0.7 per cent Production of farm equipment recovered from on a seasonally adjusted basis from January 12th work stoppages in the last half of January. Among to February 9th. Farm products and foods rose 2.4 per cent as sharply higher prices were posted INDUSTRIAL PRODUCTION 1957-59=100 for livestock and meat. Seasonally adjusted prices of industrial commodities were up only 0.1 per 180 cent reflecting increases in most of the major commodity groups. 160 The consumer price index rose 0.3 per cent, 140 seasonally adjusted, in January, compared to 0.5 per cent in December, as new car and service prices continued to show substantial increases. 200 However, mortgage interest rates declined as well 180 as prices of foods, apparel, and used cars. 160 BANK CREDIT, DEPOSITS, AND RESERVES 140 Commercial bank credit, adjusted for transfers of 1966 1968 loans between banks and their affiliates, increased $5.6 billion in February or slightly more than in F.R. indexes, seasonally adjusted. Latest figures: February. 267 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
268 FEDERAL RESERVE BULLETIN □ MARCH 1971 January. However, about $800 million of the Net borrowed reserves of member banks February increase reflected the temporary effect averaged about $90 million over the 5 weeks of System matched sale purchase transactions near ending March 3 compared with $130 million a the month-end. Bank holdings of U.S. Treasury month earlier. Member bank borrowings declined securities rose sharply and holdings of other but excess reserves also dropped slightly. securities also increased further—the rate of expansion in other securities was considerably SECURITY MARKETS slower than in other recent months, however. Most Treasury bill rates fell another 25 to 45 basis major loan categories increased. points between mid-February and mid-March, with The money stock increased at an annual rate of the 3-month issue bid at around 3.20 per cent in 14.5 per cent (preliminary) in February following the middle of March. Yields on short- and intera very small increase in January. Growth in the mediate-term Government notes and bonds fell money stock in the 2 months was at an annual sharply over the same period. However, rates on rate of 7.8 per cent compared with 3.4 per cent long-term Treasury securities declined only over the last quarter of 1970. Time and savings moderately on balance. deposits increased $5.6 billion in February, some Yields on new corporate securities rose sig what more than in January and substantially above nificantly in the last half of February and then the fourth-quarter rate. At large commercial leveled off in the first half of March in spite of banks, inflows of consumer type time and savings record volume. Yields on municipal securities deposits were exceptionally heavy as were inflows rose moderately on balance over the same period. of total time and savings deposits at country banks. Common stock prices increased. The average Sales of large negotiable CD’s, however, slowed volume of shares traded declined somewhat but substantially. still remained at high levels. PRICES INTEREST RATES Wholesale Consumer 1967=100 PER CENT Bureau of Labor Statistics. “Farm products and foods” is BLS Discount rate, range or level for all F.R. Banks. Weekly average “Farm products, and processed fcods and feeds.” Latest figures: market yields for U.S. Govt, bonds maturing in 10 years or Consumer, January; Wholesale, February. more and for 90-day Treasury bills. Latest figures: week ending Mar. 6. 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 interest 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 stock; 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 □ MARCH 1971 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 (annual flows through 1970; assets and liabilities through 1970) 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 (see above for flow of funds): Banking and monetary statistics, 1970: A 94 Member bank reserves, Federal Reserve Bank credit, and related items A 96 Reserves and borrowings of member banks A 98 Assets and liabilities of large commercial banks A 103 “Term” commercial and industrial loans of large commercial banks A 103 Commercial and industrial loans of large commercial banks A 106 Loans sold outright by commercial banks A 114 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 ITI, 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 stances: (1) to the right (to the left) of a total when cal subdivisions. 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..................................... Mar. 1971 A-71.1—A-71.9 Banks and branches, number, by class and State...................................Apr. 1970 A-94—A-95 Semiannually Flow of funds: Banking offices: Assets and liabilities: Analysis of changes in number__ Feb. 1971 A-96 1959-70...........................................Mar. 1971 A-71.10—A-71.21 On, and not on, Federal Reserve Flows: Par List, number........................ Feb. 1971 A-97 1966-70...........................................Mar. 1971 A-70—A-71.9 Annually Income and expenses: Federal Reserve Banks.....................Feb. 1971 A-94—A-95 Bank holding companies: Insured commercial banks...............Aug. 1970 A-98 List of, Dec. 31, 1969.................... June 1970 A-94 Member banks: Banking offices and deposits of Calendar year................................Aug. 1970 A-98—A-107 group banks, Dec. 31, 1969. . . . Aug. 1970 A-95 Income ratios................................Aug. 1970 A-108—A-113 Operating ratios............................Aug. 1970 A-114—A-119 Banking and monetary statistics, 1970................................................. Feb. 1971 A-98—A-99 Stock exchange firms, detailed debit Mar. 1971 A-94—A-106 and credit balances............................Sept. 1970 A-94—A-95 Statistical Releases LIST PUBLISHED SEMIANNUALLY, WITH LATEST BULLETIN REFERENCE Issue Page Anticipated schedule of release dates for individual releases..................................................................... Dec. 1970 A-100 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 4 BANK RESERVES AND RELATED ITEMS a MARCH 1971 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 u H n e d l e d r co a u n n d ts Float 2 O F t . h R e . r Total 4 stock ce R rt i i g fi h c t a s te re o n u c t y Bought repur ad assets 3 account stand Total out chase vances ing right agree ment Averages of daily figures 1939—Dec.......................... 2,510 2,510 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—De c 57,500 57,295 205 1,086 3,235 2,204 64,100 10.367 6,841 1970—Fe b 55,949 55,548 401 1,099 2,476 1,853 61,468 11.367 243 6,869 Mar.......................... 55,780 55,695 85 936 2,551 2,061 61,388 11.367 345 6,891 Apr.......................... 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 46 978 2,824 1,369 62,843 11.367 400 6,999 July.......................... 58,219 58.003 216 1,432 2,901 1,302 63,912 11.367 400 6,994 Aug.......................... 59,544 59,255 289 849 2,446 1,248 64,134 11.367 400 7,009 Sept.......................... 59,903 59,625 278 607 2,832 1,216 64,619 11,300 400 7,049 Oct........................... 59,533 59,360 173 462 2.933 1,734 64.708 11.117 400 7,069 Nov.......................... 60,393 60.004 389 425 2.933 1,314 65,132 11.117 400 7,100 Dec.......................... 61,688 61,310 378 321 3,570 1,032 66.708 11,105 400 7,145 1971—Ja..............................n 62,068 61,941 127 370 3,636 1,216 67,363 10.732 400 7,157 Feb.? ............. 62,350 62,051 299 329 2,950 1,065 66,774 10.732 400 7,188 Week ending— 1970—Dec. 2.......... 61,378 60,866 512 455 2,837 952 65,704 11.117 400 7,111 9.......... 61,203 60,898 305 290 3,013 978 65,604 11.117 400 7,115 16.......... 61,813 61,226 587 399 2,927 1,006 66,243 11.117 400 7,124 2 3 61,771 61,512 259 325 3,799 1,051 67,036 11.117 400 7,178 30.......... 61,704 61,554 150 270 4,643 1,097 67,783 11.117 400 7.171 1971—Jan. 6.......... 62,477 62,091 386 407 4,393 1,164 68,538 10.732 400 7,148 13.......... 62,110 62,110 277 3,718 1,182 67,347 10.732 400 7,151 20.......... 61,970 61,874 96 472 3,910 1,222 67,643 10.732 400 7,155 27.......... 61,889 61,809 80 354 3,022 1,256 66,586 10.732 400 7,164 Feb. 3............ 61,956 61,783 173 283 2,620 1,264 66,201 10.732 400 7.172 10............ 61,769 61,722 47 247 3,163 1,284 66,528 10.732 400 7,177 17 v........ 62,936 62,161 775 564 2,609 1,166 67,381 10.732 400 7,189 24 p........ 62,350 62,152 198 249 3,448 797 66,919 10.732 400 7,195 End oi month 1970—De c 62,142 662,142 335 4,261 1,123 67,918 7,149 1971—Ja....................n 61,783 6 61,783 308 2,750 1,267 66,167 10.732 400 7,172 Feb.?.............. 62,462 6 62,462 264 2,836 832 66,448 10.732 400 7,211 Wednesday 1970—Dec. 2. 62,734 661,142 1,592 312 2,885 964 67,078 11.117 400 7,113 9. 59,937 6.7 59,937 285 2,658 1,013 63,934 11.117 400 7,116 16. 62,944 661,337 1 j 607 933 3,281 1,042 68,385 11.117 400 7,174 23. 61,707 6 61,707 620 3,770 1 ,070 67,223 11.117 400 7,179 30. 60,632 6.7 60,632 252 3,939 1,110 65,989 11.117 400 7,147 1971—Jan. 6. 62,140 6.761,785 355 288 4,874 1,159 68,613 10.732 400 7.150 13. 62,110 6 62,110 273 3,058 1,202 66,706 10.732 400 7.151 20. 62,701 6 62,033 668 1,522 3,029 1,248 68,612 10.732 400 7,160 27. 62,044 6 61,883 161 740 2,978 1,270 '67,100 10.732 400 7,165 Feb. 3 61,951 6 61,783 168 241 2,361 1,261 65,899 10.732 400 7.176 10 p. 60,647 6.760,647 254 2,478 1,314 64,747 10.732 400 7.177 17 p. 64,461 6 62,280 '2,m 1,598 2,664 839 69,778 10.732 400 7,191 24 p. 61,700 6.7 61,700 251 3,042 804 65,849 10.732 400 7,201 For notes see opposite page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 n 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 Cur reserves, Other reserves Period or date re i n n cy T u re r a y s with F.R. Banks O F t . h R e . r F l . i R a . cir cash ac bilities c t u io la n h i o ng ld s T u re r a y s F ei o g r n Other 2 counts3 ca a p n i d tal3 B W F a . n R it k h . s r c C e a o n n u i c n d r y 5 Total Averages of daily figures 7,609 2,402 616 739 248 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. 53,591 656 1,194 146 458 2,192 23,071 4,960 28,031 ...........................1969—Dec. 52,113 610 1,060 182 710 2,160 23,112 4.864 27,976 ...........................1970—Feb. 52,412 575 1,148 219 763 2,134 22,740 4,733 27.473 ..................................Mar. 52,867 567 1,180 166 870 2,137 23,323 4,773 28,096 ...................................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 22,703 4.864 27,567 ...................................June 54,699 450 1,147 191 763 2,253 23,170 4,958 28,128 ...................................July 54,736 451 1,058 177 830 2,275 23,353 4,996 28,349 ..................................Aug. 54,931 457 1,070 141 750 2,300 23,719 5,106 28,825 .................................Sept. 55,063 459 1,042 142 747 2,249 23,593 5,108 28,701 ...................................Oct. 55,864 453 890 149 721 2.256 23,416 5,142 28,558 ..................................Nov. 57,013 427 849 145 735 2,265 23,925 5,340 29,265 ...................................Dec. 56,192 445 1,028 155 786 2,109 24,938 5,550 30,488 ...........................1971—Jan. 55,754 465 1,025 153 778 2,232 24,687 5,177 29,864 ...................................Feb.** Week ending— 56,358 451 720 130 719 2,296 23,658 5,217 28,875 ....................1970—Dec. 2 56,566 442 634 138 717 2,363 23,375 5,343 28,718 ........................................... 9 56,964 429 763 135 734 2.299 23,560 5,478 29,038 .............................................16 57,234 417 828 143 696 2,176 24,238 5,060 29,298 .............................................23 57,424 409 1,205 162 711 2,231 24,329 5,514 29,843 .............................................30 57,021 430 973 154 1,053 2,006 25,181 5,430 30,611 ............1971—Jan. 6 56,654 430 1,039 158 711 2,061 24,578 5,664 30,242 .............................................13 56,099 440 925 158 718 2,120 25,470 5,559 31,029 .............................Jan. 20 55,585 465 1,184 159 737 2,169 24,583 5,589 30,172 .............................................27 55,442 468 900 143 807 2,237 24,510 5,449 29,959 .............................Feb. 3 55,664 466 1,163 147 771 2.300 24,326 5,434 29,760 .............................................10 55,946 465 1,226 157 759 2,097 25,053 5,139 30,192 .......................................17* 55,816 463 816 155 759 2,243 24,994 4,901 29,895 .............................................24 p End of month 57,093 431 1,156 148 1,233 1,986 24,150 5,423 29,573 .............................1970—Dec. 55,348 467 976 129 769 2,217 24,565 5,449 30,014 ...........................1971—Jan. 55,611 470 1,064 147 776 2,309 24,414 5,013 29,427 ...................................Feb p Wednesday 56,504 458 474 152 752 2,356 25,012 5,220 30,232 .................1970—Dec. 2 56,946 441 830 118 753 2,374 21,104 5,337 26,441 ............................................. 9 57,190 431 587 145 729 2,174 25,819 5,475 31,294 .............................................16 57,534 423 774 144 708 2,196 24,140 5,060 29,200 .............................................23 57,365 403 1,271 135 736 2,249 22,494 5.511 28,005 .............................................30 56,889 429 1,105 154 723 2,032 25,563 5,423 30,986 .....................1971—Jan. 6 56,539 435 587 136 719 2,098 24,476 5,666 30,142 .............................................13 55,909 458 608 185 713 2,151 26,879 5,560 32,439 .............................................20 55,586 471 1,237 155 717 2,188 25,043 5,589 30,632 .............................................27 55,591 468 1,112 161 802 2,260 23,812 5.511 29,323 .............................Feb. 3 p 55,929 470 1,742 129 721 2,318 21,747 5,442 27,189 .............................................10 p 56,069 468 485 172 762 2,214 27,931 5,139 33,070 .......................................Up 55,828 465 1,350 153 710 2,261 23,415 4,901 28,316 .............................................24 p 1 Includes 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- 3 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 Includes securities loaned—fully secured by U.S. Govt, securities netted together and reported as “Other F.R. accounts.” pledged with F.R. Banks. 4 Includes industrial loans and acceptances, until Aug. 21, 1959, when 7 Reflects securities sold, and scheduled to be bought back, under industrial loan program was discontinued. For holdings of acceptances matched sale/purchase transactions. on Wed. and end-of-month dates, see tables on F.R. Banks on following pages. See also note 2. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 6 BANK RESERVES AND RELATED ITEMS □ MARCH 1971 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 el t d al qu R ir e e d- Excess B r F i o a n a . n w R g t k s . s s F e r r r e v e e e s T h o e t l a d l qu R ir e e d i Excess B r F i o a n a . n w g R t k s . s s F er 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 F i a r n . a n o R g t k w s . s se F r r r e v e e e s 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 8 5 3 1960—Dec............ 19,283 18,527 756 87 669 3,687 3,658 29 19 10 958 953 4 8 -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 1967—De c 25,260 24,915 345 238 107 5,052 5,034 18 40 -22 1,225 1,217 8 13 -5 1968—De c 27,221 26,766 455 765 -310 5,157 5,057 100 230 -130 1,199 1,184 15 85 -70 1969—De c 28,031 27,774 257 1,086 -829 5,441 5,385 56 259 -203 1,285 1,267 18 27 -9 1970—Fe b 27,976 27,703 273 1,092 -819 5,458 5,424 34 110 -76 1,253 1,264 -11 47 -58 Mar........... 27.473 27,358 115 896 -781 5,349 5,344 5 153 -148 1,265 1,249 16 31 -15 Apr............ 28,096 27,978 118 822 -704 5,482 5,453 29 227 -198 1,295 1,316 -21 61 -82 May.......... 27,910 27,729 181 976 -795 5,307 5,302 5 176 -171 1,285 1,287 -2 23 25 June.......... 27,567 27,380 187 888 -701 5,201 5,164 37 132 -95 1,250 1,247 3 3 July........... 28,128 27,987 141 1,358 -1,217 5,315 5,306 9 269 -260 1,290 1,293 -3 129 -132 Aug........... 28,349 28,204 145 827 -682 5,381 5,378 3 159 -156 1,298 1,304 -6 61 -67 Sept........... 28,825 28,553 272 607 -335 5,497 5,436 61 117 -56 1,316 1,310 6 14 -8 Oct............ 28,701 28,447 254 462 -208 5,583 5,542 41 12 29 1,307 1,309 -2 11 -13 Nov........... 28,558 28,438 120 425 -305 5,441 5,444 -3 60 -63 1,282 1,283 -1 11 -12 Dec............ 29,265 28,993 272 321 -49 5,623 5,589 34 25 9 1,329 1,322 7 4 3 1971—Ja...............n 30,488 30,209 279 370 -91 5,976 5,917 59 40 19 1,387 1,392 -5 1 -6 Feb.*5 29,864 29,652 212 329 -117 5,853 5,793 60 29 31 1,402 1,378 24 5 19 Week ending— 1970—Feb. 4... 28,415 28,204 211 1,258 -1,047 5,520 5,489 31 75 -44 1,269 1,287 -18 104 -122 11 . .. 27,997 27,790 207 1,069 -862 5,414 5,399 15 130 -115 1,272 1,260 12 12 18... 28,059 27,810 249 1,110 -861 5,645 5,576 69 218 -149 1,275 1,292 -17 121 -138 25. . . 27,577 27,405 172 1,065 -893 5,323 5,317 6 6 1,254 1,237 17 7 10 Aug. 5 . .. 28,142 27,954 188 1,010 -822 5,238 5,300 -62 147 -209 1,288 1,283 5 100 -95 12. .. 28,588 28,309 279 1,174 -895 5,579 5,522 57 431 -374 1,331 1,339 -8 86 -94 19. . . 28,515 28.423 92 681 -589 5,488 5,535 -47 55 -102 1,359 1,350 9 100 -91 26. .. 28,177 28,039 138 660 -522 5,222 5,200 22 77 -55 1,252 1,259 -7 14 -21 Sept. 2. .. 28,370 28,192 178 660 -482 5,303 5,288 15 79 -64 1,277 1,276 1 1 9. .. 28,931 28,516 415 763 -348 5,539 5,450 89 187 -98 1,311 1,293 18 29 -11 16... 28,921 28,565 356 500 5,599 5,478 121 89 32 1,302 1,326 -24 -24 23. .. 28,394 28,441 -47 460 5,296 5,380 -84 78 -162 1,315 1,289 26 12 14 30... 29,034 28,762 272 661 5,581 5,476 105 103 2 1,319 1,340 -21 18 -39 Oct. 7. .. 28,786 28,434 352 398 i 5,615 5,568 47 47 1,337 1,312 25 25 14... 28,464 28.423 41 450 > 5,550 5,563 -13 21 -34 1,336 1,343 -7 21 -28 21... 28,890 28,701 189 586 r 5,682 5,666 16 21 -5 1,287 1,314 -27 29 -56 28... 28,447 28,256 191 433 1 5,417 5,399 18 11 7 1,301 1,276 25 25 Nov. 4... 28,652 28,334 318 423 i 5,571 5,475 96 11 85 1,298 1,291 7 12 -5 11... 28,725 28,443 282 445 t 5,488 5,466 22 69 -47 1,298 1,319 -21 -21 18... 28,763 28,599 164 330 > 5,588 5,558 30 30 1,308 1,301 7 7 25... 28,373 28,297 76 436 ) 5,266 5,327 -61 89 -150 1,231 1,237 -6 18 -24 Dec. 2... 28,875 28,458 417 455 I 5,540 5,391 149 89 60 1,277 1,270 7 18 -11 9... 28,718 28,582 136 290 [ 5,387 5,438 -51 -51 1,312 1,303 9 9 16.. 29,038 28,918 120 399 ) 5,671 5,634 37 59 -22 1,302 1,327 -25 18 -43 23... 29,298 29,088 210 325 > 5,574 5,602 -28 39 -67 1,341 1,330 11 11 30.. 29,843 29,409 434 270 t 5,843 5,693 150i............ 150 1,362 1,332 30 30 1971—Jan. 6.. 30,611 30,035 576 407 ) 6,064 5,902 162 71 91 1,396 1,411 -15 -15 13.. 30,242 30,210 32 277 5 5,850 5,910i -60l............ -60' 1,402 1,384 18 18 20.. 31,029 30,937 92 472 3 6,165 6,198 -33i 92 -125 1,424 1,464 -40 5 -45 27.. 30,172 29,890 282 354 2 5,752 5,760l —8: 26 -34 1,373 1,335 38 38 Feb. 3.. 29,959 29,722 237 283 6 5,775 5,742: 33 33 1,331 1,346 -15 -15 10.. 29,760 29,555 205 247 2 5,685 5,755; —7C1............ -70i 1,379 1,367 12 12 17*. 30,192 29,913 279 564 5 6,099 6,043i 56> 117 -61 1,370 1,384 -14 18 -4 24*. 29,895 29,573 322 249 3 5,763 5,732: 31 31 1,415 1,386 29 29 For notes see opposite page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 □ BANK RESERVES AND RELATED ITEMS A 7 RESERVES AND BORROWINGS OF MEMBER BANKS— Continued (In millions of dollars) Other reserve city banks Country banks Reserves Reserves Period Borrow Borrow ings at Free ings at Free F.R. reserves F.R. reserves T h o e t l a d l Required1 Excess Banks T h o el t d al Required1 Excess Banks 3,140 1,953 1,188 1,188 1,568 897 671 3 668 ...........................1939—Dec. 4,317 3,014 1,303 1 1,302 2,210 1,406 804 4 800 ...........................1941—Dec. 6,394 5,976 418 96 322 4,576 3,566 1,011 46 965 ...........................1945—Dec. 6,689 6,458 232 50 182 4,761 4,099 663 29 634 ...........................1950—Dec. 7,950 7,851 100 20 80 6,689 6,066 623 40 583 ...........................1960—Dec. 8,393 8,325 68 190 -122 7,347 6,939 408 74 334 ...........................1963—Dec. 8,735 8,713 22 125 -103 7,707 7,337 370 55 315 ...........................1964—Dec. 9,056 8,989 67 228 -161 8,219 7,889 330 92 238 ...........................1965—Dec. 10,081 10,031 50 105 -55 8,901 8,634 267 80 187 ...........................1967—Dec. 10,990 10,900 90 270 -180 9,875 9,625 250 180 70 ...........................1968—Dec. 10,970 10,964 6 479 -473 10,335 10,158 177 321 -144 ...........................1969—Dec. 10,975 10,913 62 535 -473 10,290 10,102 188 400 -212 ...........................1970—Feb. 10,737 10,802 -65 436 -501 10,122 9,963 159 276 -117 11,038 11,066 -28 372 -400 10,281 10,143 138 162 -24 10,978 10,948 30 477 -447 10,340 10,192 148 300 -152 10,849 10,847 2 489 -487 10,267 10,122 145 267 -122 11,074 11,118 -44 682 -726 10,449 10,270 179 278 -99 ........................................July 11,174 11,178 -4 424 -428 10,496 10,344 152 183 -31 11,407 11,375 32 369 -337 10,605 10,432 173 107 66 11,319 11,270 49 338 -289 10,492 10,326 166 101 65 11,216 11,274 -58 301 -359 10,619 10,437 182 53 129 11,548 11,506 42 264 -222 10,765 10,576 189 28 161 11,974 11,962 12 294 -282 11,151 10,938 213 35 178 ............................1971—Jan. 11,629 11,706 -76 268 -344 10,979 10,775 204 27 177 Feb.*> Week ending— 11,140 11,110 30 596 -566 10,486 10,318 168 483 -315 ......................1970—Feb. 4 10,964 11,000 -36 606 -642 10,337 10,121 216 321 -105 ...........................................11 10,930 10,916 14 386 -372 10,209 10,026 183 385 -202 10,774 10,769 5 593 -588 10,226 10,082 144 465 -321 ...........................................25 11,142 11,076 66 532 -466 10,474 10,295 179 231 -52 11,199 11,186 13 527 -514 10,479 10,262 217 130 87 ...........................................12 11,233 11,252 -19 338 -357 10,435 10,286 149 188 -39 11,135 11,161 -26 371 -397 10,568 10,419 149 198 -49 ..........................................26 11,232 11,242 -10 402 -412 10,558 10,386 172 179 -7 11,509 11,424 85 430 -345 10,572 10,349 223 117 106 11,445 11,376 69 317 -248 10,575 10,385 190 94 96 ..........................................16 11,241 11,328 -87 320 -407 10,542 10,444 98 50 48 ..........................................23 11,406 11,393 13 386 -373 10,728 10,553 175 154 21 11,349 11,253 96 308 -212 10,485 10,301 184 90 94 .................................Oct. 7 11,168 11,278 -110 337 -447 10,410 10,239 171 71 100 ..........................................14 11,446 11,376 70 405 -335 10,475 10,345 130 131 -1 ..........................................21 11,183 11,203 -20 305 -325 10,546 10,378 168 117 51 11,215 11,188 27 314 -287 10,568 10,380 188 86 102 11,383 11,326 57 311 -254 10,556 10,332 224 65 159 ..........................................11 11,313 11,343 -30 296 -326 10,554 10,397 157 34 123 11,215 11,206 9 288 -279 10,661 10,527 134 41 93 11,325 11,269 56 301 -245 10,733 10,528 205 47 158 11,363 11,356 7 263 -256 10,656 10,485 171 27 144 11,415 11,460 -45 294 -339 10,650 10,497 153 28 125 ...........................................16 11,611 11,564 47 261 -214 10,772 10,592 180 25 155 ...........................................23 11,682 11,666 16 245 -229 10,956 10,718 238 25 213 ...........................................30 12,028 11,903 125 310 -185 11,123 10,819 304 26 278 ......................1971—Jan. 6 11,912 11,996 -84 249 -333 11,078 10,920 158 28 130 ...........................................13 12,214 12,246 -32 332 -364 11,226 11,029 197 43 154 11,862 11,800 62 286 -224 11,185 10,995 190 42 148 ...........................................27 11,766 11,759 7 253 -246 11,087 10,875 212 30 182 .................................Feb. 3 11,728 11,702 26 229 -203 10,968 10,731 237 18 219 ...........................................10 11,736 11,749 -13 381 -368 10,987 10,737 250 48 202 ...........................................17? 11,728 11,658 70 228 -158 10,989 10,797 192 21 171 1 Beginning Sept. 12, 1968, amount is based on close-of-business fig Total reserves held: Based on figures at close of business through Nov. ures for reserve period 2 weeks previous 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. Note.—Averages of daily figures. Monthly data are averages of daily Required reserves: Based on deposits as of opening of business each day. figures within the calendar month; they are not averages of the 4 or 5 Borrowings at F.R. Banks: Based on closing figures. weeks ending on Wed. that fall within the month. Beginning with Jan. 1964, reserves are estimated except for weekly averages. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 8 MAJOR RESERVE CITY BANKS □ MARCH 1971 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 d a n t n n e e e d r r t 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 e u o v c r i g f v r e . e e n d s t c P ha u s r e s Sales t a w c t T r o t 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 s g t s o b S e a f a l n l l n i e k n e s s g t d L ea o t l o a e n rs s 3 de f r B i a r o n o o l w g e m r s r s4 lo N a e n t s Total—46 banks 1971—Jan. 6.......... 364 127 6,990 -6,753 51.2 9,410 2,420 2,247 7,163 173 3,173 98 3,076 13........... 21 7,743 -7,721 58.4 10,828 3,085 2,956 7,872 129 2,617 98 2,520 20........... -112 145 6,570 -6,828 49.9 9,570 3,000 2,837 6,733 163 2,551 77 2,474 27........... 21 48 6,283 -6,310 49.1 9,054 2,771 2,555 6,498 215 2,745 91 2,654 Feb. 3........... 76 6,346 -6,270 48.7 9,345 2,999 2,726 6,619 272 3,083 106 2,977 10........... 27 7,693 -7,666 59.5 10,459 2,766 2,662 7,797 104 3,158 99 3,058 17........... 41 235 7,094 -7,287 55.1 10,437 3,343 3,257 7,180 86 1,996 263 1,733 24........... 170 6,509 -6,339 49.3 10,049 3,539 3,407 6,642 133 2,134 234 1,899 8 in New York City 1971—Jan. 6.......... 244 71 2,159 -1,986 37.0 2,802 643 552 2,250 91 1,792 96 1,696 13........... 10 2,764 -2,753 51.3 3,768 1,004 881 2,886 123 1,430 94 1,336 20........... -43 82 2,198 -2,324 41.2 3,151 953 892 2,259 61 1,353 74 1,280 27........... -22 26 2,181 -2,229 42.7 2,949 769 688 2,261 81 1,630 87 1,543 Feb. 3........... 44 1,784 -1,740 33.5 2,936 1,152 958 1,978 194 1,762 102 1,660 10........... -27 2,551 -2,578 49.4 3,349 798 755 2,594 43 1,668 89 1,579 17........... 43 114 3,215 -3,286 59.7 3,989 774 774 3,215 1,230 192 1,037 24.......... 81 2,410 -2,330 44.7 3,550 1,140 1,092 2,458 49 1,296 137 1,160 38 outside New York City 1971—Jan. 6. 120 55 4,831 -4,767 61.0 6,608 1,777 1,695 4,913 82 1,381 2 1,380 13. 11 4,979 -4,968 63.3 7,060 2,081 2,075 4,985 6 1,188 4 1,184 20. -69 63 4,372 -4,504 56.0 6,419 2,047 1,945 4,474 102 1,198 4 1,194 27. 43 22 4,102 -4,081 53.4 6,104 2,002 1,867 4,237 135 1,115 4 1,111 Feb. 3. 32 4,562 -4,530 59.0 6,409 1,847 1,768 4,641 79 1,322 4 1,318 10. 54 5,141 -5,088 66.4 7,110 1,968 1,907 5,203 61 1,490 10 1,479 17. -2 121 3,879 -4,002 51.9 6,448 2,569 2,483 3,965 86 766 71 695 24. 90 4,099 -4,010 52.5 6,499 2,399 2,315 4,184 85 837 97 740 5 in City of Chicago 1971—Jan. 6. 24 1,387 -1,362 105.6 1,665 278 249 1,415 29 197 197 13. 10 1,318 -1,308 104.0 1,711 393 393 1,318 218 218 20. -32 5 1,145 -1,182 88.5 1,493 348 348 1,145 144 144 27. 15 1,186 -1,171 96.6 1,572 386 352 1,220 34 114 114 Feb. 3. -4 1,286 -1,291 105.4 1,598 311 287 1,310 24 114 114 10. 9 1,468 -1,459 117.3 1,800 332 292 1,509 41 113 113 17. -12 18 904 -933 73.6 1,458 554 518 939 35 85 85 24. 19 1,269 -1,251 99.0 1,634 365 344 1,290 20 102 102 33 others 1971—Jan. 6. . 95 55 3,445 -3,405 c52.1 4,943 1,499 1,446 3,498 53 1,185 2 1,183 13. . 1 3,662 -3,660 55.5 5,350 1,688 1,682 3,668 6 970 4 966 20. . -38 58 3,227 -3,322 49,6 4,927 1,700 1,597 3,329 102 1,054 4 1,050 27. . 29 22 2,916 -2,909 45.3 4,533 1,617 1,516 3,017 100 1,002 4 997 Feb. 3. 36 3,276 -3,240 50.2 4,811 1,535 1,481 3,331 55 1,207 4 1,204 10. 45 3,674 -3,629 56.6 5,310 1,636 1,615 3,694 20 1,376 10 1,366 17. 10 103 2,975 -3,068 47.6 4,990 2,015 1,964 3,026 51 681 71 610 24. 71 2,830 -2,759 43.3 4,865 2,035 1,971 2,894 65 735 97 638 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
MARCH 1971 □ F.R. BANK INTEREST RATES A 9 CURRENT RATES (Per cent per annum) Advances to and discounts for member banks Advances to all others under Advances and discounts under Advances under last par. Sec. 133 Federal Reserve Bank Secs. 13 and 13a 1 Sec. 10(b)2 F R e a 1 b 9 t . e 7 1 2 o 8 n , Ef d fe a c t t e ive Pre ra v t i e ous F R e a 1 b t 9 e . 7 1 2 o 8 n , Ef d fe a c t t e ive Pre ra v t i e ous F R e a 1 b 9 te . 7 1 2 o 8 n , Ef d fe a c t t e ive Pre r v at i e ous N B e o w st o Y n. o .. r .. k .. . . . . . .. . 4 4 % y4 F F e e b b . . 1 1 3 9 , , 1 1 9 9 7 7 1 1 5 51 * / 4 4 F F e e b b . . 1 1 3 9 , , 1 1 9 9 7 7 1 1 5 51 % /2 6 63 V / 4 4 F F e e b b . . 1 13 9 , , 1 1 9 9 7 7 1 1 Philadelphia.. 43/4 Feb. 13, 1971 51/4 Feb. 13, 1971 5% 6Va Feb. 13, 1971 Cleveland 4% Feb. 13, 1971 51/4 Feb. 13, 1971 5% 63/4 Feb. 13, 1971 Richmond 4% Feb. 13,1971 51/4 Feb.13,1971 5% 634 Feb. 26, 1971 Atlanta.......... 4Va Feb. 13, 1971 5% Feb.13,1971 5 *4 63/4 Feb.13,1971 Chicago......... 4Va Feb.13 1971 51/4 Feb.13,1971 5% 63/4 Feb.13,1971 St. Louis........ 4Va Feb. 13, 1971 514 Feb. 13, 1971 51/2 63/4 Feb. 13, 1971 K M a i n n s n a e s a p C o i l t i y s . . . . 4 4 % % F Fe e b b. . 1 1 3 3 , , 1 1 9 9 7 7 1 1 5 5 1 1 / 4 4 F F e e b b . . 1 1 3 3 , , 1 1 9 9 7 7 1 1 5 5 1 * k 4 6e3y/44 F F e e b b . . 1 1 3 3 , , 1 1 9 9 7 7 1 1 Dallas............ 4V4 Feb. 13, 1971 5*4 Feb. 13, 1971 51/2 6V4 Feb. 13, 1971 San Francisco 4% Feb. 13, 1971 5*4 Feb. 13, 1971 51/2 6Va Feb. 13,1971 1 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 F.R. Bank maturity: 4 months. purchase. Maximum maturity: 90 days except that discounts of certain 3 Advances to individuals, partnerships, or corporations other than bankers’ acceptances and of agricultural paper may have maturities not member banks secured by direct obligations of, or obligations fully 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. SUMMARY OF EARLIER CHANGES (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, 1945. t *4 Vi 1957—Aug. 9. . 3 -3 Vi 3 1965—Dec. 6. 4 -4*4 4*4 23. . 3 Vi 3V4 13. 4*4 4*4 1946—Apr. 25. t *4-1 1 Nov. 15. . 3 -31/2 3 May 10. 1 1 Dec. 2. . 3 3 1967—Apr. 7. 4 -4*4 4 14. 4 4 1948—Jan. 12. 1 -1 *4 1V4 1958—Jan. 22. . 23/4-3 3 Nov. 20. 4 -41/2 414 19. 1*4 1V4 24. . 2^4-3 23/4 27. 4*i 4*4 Aug. 13. 1*4-1 V4 li/i Mar. 7. . 2 V4-3 2*4 23. 1*4 1*4 2 1 1 3 . . . . 2 V 2 4 1 - / 2 4 3/4 2 2 1 * /4 4 1968--Mar. 2 1 2 5 . . . . 4* 5 4-5 4 5 V4 1950—Aug. 2 2 5 1 . . l % m -i% m iy4 A M A p u a r g y . . 1 1 9 8 5 . . . . . . 1 1 3 3 / / 1 4 4 3 - - / 2 4 2 V4 1 1 1 3 3 3 / / / 4 4 4 A A p ug r. . 2 1 1 6 6 9 . . . . . . 5 5 * 5 4 1 - - / 5 5 2 * V 4 i 5 5 5 * * V 4 4 4 1953—Jan. 16. 13/4-2 2 Sept. 12. . 13/4-2 2 30. 5*4 5*4 23. 2 2 23. . 2 2 Dec. 18. 5*4-51/4 5*4 Oct. 24. . 2 -2Vi 2 20. . 5*4 5*4 1954— A Fe p b r . . 1 1 5 5 4 . . . l U % /l2 - -3/41 2 3 4 1 1 1 % % % 1959— N M o a v r . . 7 6 . . . 21/ 2 2 1 - / 3 2 2 3 1/2 1969—Apr. 4 8 . . 5* 6 4-6 6 6 May 2 1 1 6. . 11/ 1 2 * -1 4 3/4 H 11 / / 2 2 May 2 1 9 6 . . 3 3 -31/2 3 3 *4 1970—Nov. 1 1 3 1 . . 5 5 3 3 / / 4 4 - - 6 6 6 53/4 1955—A M A S N e p u o a p g r v y t . . . . 1 1 1 1 1 5 2 4 5 4 9 2 8 3 . . . . . . . , , 1 2 2 1 i l 2 1 y y 1 3 / / 2 4 2 4 4 2 l - 1 - - - - - 3 - / 2 2 2 / 2 i 4 2 1 4 V V 1 1 i y % 4 4 / 4 4 4 i 2 2 1 2 2 2 1 1 1 3 3 1 * i V % / / / / 4 4 4 4 4 i 1960— J S J A S u u e e u n n p p g e e t t . . . 1 1 1 1 1 1 2 9 8 1 0 3 4 2 . . . . . . . . 3 3 3 3 1 1 V 4 / / 3 3 3 2 2 i - * V - - - 3 4 4 4 4 i * 4 4 4 4 3 3 3 3 3 * * * 4 4 4 1971— D Ja e n c . . 1 2 1 1 1 4 6 2 1 1 8 9 5 . . . . . . . . 5 5 5 5 5 1 * * / 4 4 5 5 5 4 3 - - * * - - - 5 5 / 5 5 5 4 4 4 3 3 1 * * / / / 4 4 4 4 2 5 5 5 5 5 5 5 5 3 3 1 * * * * / / / 4 4 4 4 4 4 4 23. 2i/i 21/2 1963—July 17. 3 -3*4 31/2 29. 5 5 1956—Apr. 13. 2*4-3 23/4 26. 31/2 3*4 Feb. 13. 434 5 20. 23^-3 23/4 19. 43/4 43/4 Aug. 24. 23/4-3 3 1964—Nov. 24. 3*4-4 4 31. 3 3 30. 4 4 In effect Feb. 28, 1971. 4 H 4 X 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.—Rates under Secs. 13 and 13a (as described in table and notes 2.75; 1962—Mar. 20-21, 2.75; 1964—Dec. 10, 3.85; Dec. 15, 17, 22, 24, above). For data before 1946, see Banking and Monetary Statistics, 1943, 28, 30, 31, 3.875; 1965—Jan. 4-8, 3.875; 1968—Apr. 4, 5,11,15,16, 5.125; pp. 439-42 and Supplement to Section 12, p. 3. 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; 1971—Jan. 21, 27, 4.75; Feb. 1-2, against U.S. Govt, obligations was the same as its discount rate except 4.50; 4, 11, 4.25; 16-17, 4.00; 18-19, 3.75. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 10 RESERVE AND MARGIN REQUIREMENTS □ MARCH 1971 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 4,5 deposits 2 deposits 2.4 (all classes of banks) Time depos its Reserve Country Other Effective date 1 C r b e e c s a n i e n t t r y k r v a s e l b s c R a e i n r t e v y k e s C ba t o r n u y k n s b cl a a ( n o a s k l f s l e s s ) Effective date 1 $ U 5 n c m d it e i y l r ba $ n O 5 k v m s e i r l $ U 5 n m de b il r a nk $ s O 5 v m e i r l d S e in i p a t g s v o s s $ U 5 ti n m m d e e i l r d ep $ O 5 o s v m i e ts i r l lion lion lion lion lion lion In effect Dec. 31, 1949. 22 18 12 1966—July 14,21. 6 12 64 64 Sept. 8, 15. 1951—Jan. 11,16......... 23 19 13 Jan. 25, Feb. 1. 24 20 14 1967—Mar. 2. 3 Vi 3 Vi 1953—July 9,1........... 22 19 13 Mar. 16. 3 3 1954—June 24, 16......... 21 July 29, Aug. 1. 20 18 12 1968—Jan. 11,18.... 16% 17 12 12% 1958—Feb. 27, Mar. 1. 191/2 17% 11% Mar. 20, Apr. 1. 19 17 11 1969—Apr. 17............ 17 17% 12% 13 Apr. 17................ 18 Vi Apr. 24............... 18 16% 1970—Oct. 1............... 1960—Sept. 1................ 17% Nov. 24............... 12 In effect Feb. 28, 1971. 17 17% 12% 13 Dec. 1................ 16% 1962—July 28................ (3) Present legal Oct. 25, Nov. 1. requirement: Minimum........ 10 7 3 3 3 Maximum........ 22 14 10 10 10 1 When two dates are shown, the first applies to the change at central rowings above a specified base from foreign banks by domestic offices reserve or reserve city banks and the second to the change at country of a member bank. For details concerning these requirements, see Regula banks. For changes prior to 1950 see Board’s Annual Reports. tions D and M and appropriate supplements and amendments thereto. 2 Demand deposits subject to reserve requirements are gross demand 5 Effective Jan. 5, 1967, time deposits such as Christmas and vacation deposits minus cash items in process of collection and demand balances club accounts became subject to same requirements as savings deposits. due from domestic banks. 6 See preceding columns for earliest effective date of this rate. 3 Authority of the Board of Governors to classify or reclassify cities as central reserve cities was terminated effective July 28, 1962. Note.—All required reserves were held on deposit with F.R. Banks 4 Since Oct. 16, 1969, member banks have been required under Regula June 21, 1917, until Dec. 1959. From Dec. 1959 to Nov. I960, member tion M to maintain reserves against balances above a specified base due banks were allowed to count part of their currency and coin as reserves; from domestic offices to their foreign branches. Effective Jan. 7, 1971, the effective Nov. 24, 1960, they were allowed to count all as reserves. For applicable reserve percentage was increased from the original 10 per cent further details, see Board’s Annual Reports. to 20 per cent. Regulation D imposes a similar reserve requirement on bor 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......................................................... 50 70 90 70 50 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 T, U, and G, 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
MARCH 1971 □ 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: 1 Savings deposits............. 4*4 12 months or more.. 4 4 Other time deposits:2 Less than 12 months. 3 *4 3*4 Multiple maturity:3 30-89 days........... 4 4*4 90 days-1 year... 5 1 year to 2 years., 5 5*4 2 years and over.. 5% 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*4 5*4 9 6 0 m d o a n y t s h t s o t o 6 m 12 o m nt o h n s th .. s , . 2 3 * * 4 4 4*4 5*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 : . . 5Va Less than 90 days......... 1 4 30-59 days.......... 5*4 (4) (30-89 days) 60-89 days.......... 5% (4) 90-179 days........ 5*4 5*4 6 6% 180 days to 1 year. 7 1 year or more. .. }6Va 7*4 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. 2 For exceptions with respect to certain foreign time deposits, see Note.—Maximum rates that may be paid by member banks are estab Bulletins for Oct. 1962, p. 1279; Aug. 1965, p. 1084; and Feb. 1968, lished by the Board of Governors under provisions of Regulation Q; p. 167. however, a member bank may not pay a rate in excess of the maximum 3 Multiple-maturity time deposits include deposits that are automati rate payable by State banks or trust companies on like deposits under cally renewable at maturity without action by the depositor and deposits the laws of the State in which the member bank is located. Beginning that are payable after written notice of withdrawal. Feb. 1, 1936, maximum rates that may be paid by nonmember insured 4 The rates in effect beginning Jan. 21 through June 23, 1970, were 6% commercial banks, as established by the FDIC, have been the same as per cent on maturities of 30-59 days and 6*4 per cent on maturities of those in effect for member banks. DEPOSITS, CASH, AND RESERVES OF MEMBER BANKS (In millions of dollars) Reserve city banks Reserve city banks Item m b e a A m n l k l b s er Y N o e r w k C o it f y Other C b o a u n n k t s ry Item m b e a A m n l k l b s er Y N o e r w k C o it f y Other C b o a u n n k t s ry City Chicago City Chicago Four weeks ending Dec. 30, 1970 Four weeks ending Jan. 27, 1971 Gross demand—Total.... 190,426 43,785 7,895 67,209 71,538 Gross demand—Total... 193,260 44,165 7,989 68,160 72,946 Interbank...................... 25,300 11,335 1,444 9,678 2,843 Interbank..................... 26,673 12,068 1,525 10,012 3,068 U.S. Govt...................... 6,034 1,152 303 2,261 2,317 U.S. Govt..................... 5,286 969 261 2,130 1,926 Other............................. 159,093 31,297 6,148 55,270 66,378 161,301 31,128 6,203 56,019 67,952 144,485 27,349 6,220 51,146 59,771 Net demand i................. 145,755 27,608 6,257 51,465 60,425 Time.................................. 178,208 20,655 6,068 66,260 85,226 182,494 21,528 6,284 67,870 86,813 Demand balances due Demand balances due from dom. banks.......... 11,011 1,241 140 2,694 6,936 from dom. banks........ 11,380 1,159 134 2,111 7,311 Currency and coin........... 5,348 460 100 1,713 3,077 Currency and coin.......... 5,561 468 120 1,780 3,192 Balances with F.R. Balances with F.R. 23,876 5,159 1,229 9,805 7,682 24,953 5,490 1,279 10,224 7,961 Total reserves held........... 29,224 5,619 1,329 11,518 10,759 Total reserves held.......... 30,514 5,958 1,399 12,004 11,153 Required........................ 28,999 5,592 1,323 11,512 10,573 30,268 5,943 1,399 11,986 10,941 Excess........................... 225 27 6 6 186 246 15 18 212 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 □ MARCH 1971 CONSOLIDATED STATEMENT OF CONDITION OF ALL FEDERAL RESERVE BANKS (In millions of dollars) Wednesday End of month 1971 1971 1970 Item Feb. Feb. Feb. Feb. Jan. Feb. Jan. Feb. 24 17 10 3 27 28 31 28 Assets 10,464 10,464 10,464 10,464 10,464 10,464 10,464 11,045 Special Drawing Rights certificate account............... 400 400 400 400 400 400 400 300 257 256 258 254 247 266 255 197 Discounts and advances: 251 1,598 254 241 740 264 308 1,108 40 Acceptances: 52 54 54 59 63 54 59 56 162 26 5 Federal agency obligations—Held under repurchase 197 24 10 U.S. Govt, securities: Bought outright: Bills......................................................................... 25,194 25,879 24,470 25,606 25,706 25,801 25,606 20,935 Notes....................................................................... 33,534 33,499 33,236 33,236 33,236 33,624 33,236 32,073 2,972 2,902 2,941 2,941 2,941 3,037 2,941 2,815 Total bought outright................................................ i2 61,700 i 62,280 12 60,647 i 61,783 i 61,883 i 62,462 i 61,783 55,823 Held under repurchase agreements........................... 1,984 144 151 61,700 64,264 60,647 61,927 62,034 62,462 61,783 55,823 62,003 66,275 60,955 62,277 62,852 62,780 62,150 57,027 Cash items in process of collection.............................. p 10,414 p11,763 *9,779 p10,265 10,660 p 9,583 9,284 8,860 132 132 132 129 129 131 129 117 Other assets: Denominated in foreign currencies........................... 107 162 162 177 223 107 186 1,179 159 159 159 159 159 159 159 210 406 386 861 796 759 435 793 471 p 84,342 p 89,997 p 83,170 p 84,921 85,893 p 84,325 83,820 79,406 Liabilities 49,081 49,334 49,212 48,870 48,871 48,868 48,630 45,610 Deposits: p23,415 p 27,931 p 21,747 * 23,812 25,043 p 24,414 24,565 23,344 U.S. Treasurer—General account............................. 1,350 485 1,742 1,112 1,237 1,064 976 915 153 172 129 161 155 147 129 313 Other: IMF gold deposit 3................................................ 159 159 159 159 159 159 159 210 551 603 562 643 55 8 617 610 566 p25,628 p 29,350 p 24,339 p 25,887 27,152 * 26,401 26,439 25,348 Deferred availability cash items.................................... 7,372 9,099 7,301 7,904 7,682 6,747 6,534 6,292 Other liabilities and accrued dividends........................ 521 544 514 527 519 535 511 541 p 82,602 88,327 * 81,366 * 83,188 84,224 * 82,551 82,114 77,791 Capital accounts Capital paid in ............................................................. 711 709 708 708 708 711 708 678 Surplus........................................................................... 702 702 702 702 702 702 702 669 Other capital accounts.................................................. 327 259 394 323 259 361 296 268 Total liabilities and capital accounts............................ p 84,342 p 89,997 p 83,170 p 84,921 85,893 * 84,325 83,820 79,406 Contingent liability on acceptances purchased for 269 270 275 269 248 266 270 152 Marketable U.S. Govt, securities held in custody foi foreign and international accounts 4......................... 12,826 12,586 12,141 12,095 11,640 13,057 11,645 8,219 Federal Reserve Notes—Federal Reserve Agents’ Accounts F.R. notes outstanding (issued to Bank)..................... 52,820 52,871 52,902 52,956 53,122 50,200 53,050 49,147 Collateral held against notes outstanding: Gold certificate account............................................ 3,220 3,220 3,330 3,330 3,330 3,220 3,330 3,222 U.S. Govt, securities.................................................. 51,665 51,465 51,415 51,415 51,415 51,665 51,415 48,017 Total collateral............................................................... 54,885 54,685 54,745 54,745 54,745 54,885 54,745 51,239 1 See note 6 on p. A-5. 4 This caption valid beginning Sept. 16, 1970; figures prior to that 2 See note 7 on p. A-5. date include both marketable and nonmarketable securities for foreign 3 See note 1 (b) at top of p. A-75. account only. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 □ FEDERAL RESERVE BANKS A 13 STATEMENT OF CONDITION OF EACH FEDERAL RESERVE BANK ON JANUARY 29, 1971 (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 Lo S u t. is M ap i o n l n is e K C s a a it n s y Dallas F c S i r s a a c n n o Assets 10,464 615 3,223 624 825 878 493 1,703 405 214 397 269 818 Special Drawing Rights certif. acct---- 400 23 93 23 33 36 22 70 15 7 15 14 49 1,332 148 275 65 92 88 375 42 23 24 29 33 138 266 12 20 12 32 16 35 41 15 7 20 16 40 Di S sc e o c u ur n e t d s b a y n d U a .S d . v G an o c v e t, s : securities---- 9 1 2 * 3 3 255 255 Acceptances: 54 54 Federal agency obligations—Held U.S. Govt, securities: Bought outright............................... 162,462 3,133 15,881 3,229 4,792 4,709 3,127 10,182 2,318 1,254 2,464 2,891 8,482 62,780 3,133 15,936 3,231 4,792 4,709 3,127 10,440 2,318 1,254 2,467 2,891 8,482 Cash items in process of collection... 12,467 608 2,385 567 792 853 1,443 2,021 582 440 804 754 1,218 Bank premises...................................... 131 2 8 3 14 11 17 17 12 13 18 8 8 Other assets: Denominated in foreign currencies.. 107 5 2 28 5 10 5 7 16 4 2 5 6 14 TAA 1h rrnlH HpnAQifpH 3 159 159 435 36 107 23 31 36 22 65 15 9 17 19 55 88,541 4,582 22,234 4,553 6,621 6,632 5,541 14,415 3,389 1,970 3,772 4,010 10,822 Liabilities 50,200 2,838 12,026 2,858 4,086 4,486 2,523 8,774 1,915 859 1,850 1,891 6,094 Deposits: Member bank reserves..................... 24,414 988 7,021 1,040 1,581 1,235 1,573 3,603 879 653 1,099 1,366 3,376 U.S. Treasurer—General account.. 1,064 64 64 85 93 82 119 116 62 51 87 90 151 Foreign............................................. 147 7 < 43 7 13 7 9 21 5 3 6 8 18 Other: TMF onlH HpnnQi'f 3 ................ 159 159 All other .................*............. 617 * 545 5 9 2 24 1 2 2 2 25 26,401 1,059 7,832 1,137 1,687 1,333 1,703 3,764 947 709 1,194 1,466 3,570 Deferred availability cash items......... 9,631 575 1,778 440 651 671 1,176 1,521 447 353 632 534 853 Other liabilities and accrued dividends 535 27 136 26 41 42 27 85 20 10 22 24 75 86,767 4,499 21,772 4,461 6,465 6,532 5,429 14,144 3,329 1,931 3,698 3,915 10,592 Capital accounts 711 33 185 37 64 37 48 107 24 16 30i 40i 90 702 33 185 36 63 36 47 105 24 16 30I 39> 88 Other capital accounts......................... 361 17 92 19 29 27 17 59 12 7 14 16 52 Total liabilities and capital accounts.. 88,541 4,582; 22,234i 4,553 6,621 6,632: 5,541 14,415 3,389' 1,97C> 3,772: 4,oioi 10,822 Contingent liability on acceptances purchased for foreign correspond- 266 13: s 61r 14[ 24 1 14!■ 181 41 9> 6► 11 i 15 34 Federal Reserve Notes—Federal Reserve Agents’ Accounts F.R. notes outstanding (issued to 52,791 3,006 12,781 2,933 4,301 4,646 2,780 9,046 2,001 891 1,931 2,015 Collateral held against notes out standing: Gold certificate account.................. 3,220 250 500 300 510 500 1,000 155 5 U.S. Govt, securities....................... 51,665 2,840 12,600 2,800 3,900 4,210 2,900 8,450 1,930 930 1,975 2,130 Total collateral..................................... 54,885 3,090 13,100 3,100 4,410 4,710 2,900 9,450 2,085 930 1,975 2,135 1 See note 6 on p. A-5. 5 After deducting $199 million participations of other F.R. Banks. 2 After deducting $79 million participations of other F.R. 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 for 4 After deducting $104 million participations of other F.R. Banks. member bank reserves are preliminary. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 14 OPEN MARKET ACCOUNT □ MARCH 1971 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 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 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 1970—Jan.. 3,133 4,154 615 3,133 4,154 615 Feb. 801 395 100 801 395 100 -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 June 2,659 1,612 641 2,449 1,612 641 23 146 July. 1,626 744 1,626 744 Aug. 1,127 106 1,127 106 -21 -129 Sept. 2,657 2,367 308 2,474 2,367 308 17 90 Oct. 245 183 134 245 183 134 Nov. 2,871 1,391 2,715 1,391 37 6*362 80 -6,'712‘ Dec. 3,414 2,280 2,883 2,280 5 365 1971—Jan.. 1,515 1,547 327 1,515 1,547 327 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 h p r a u o s r s e s s G sa r l o e s s s o E t s 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 r t e a 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 1970—Ja n 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 -1,692 953 1,299 799 -34 -15 -49 702 June... 37 905 905 407 -10 397 July.... 2,008 2,008 882 5 887 Aug.... 150 3,181 2,852 1,351 31 -4 30 1,407 Sept__ 61 16 3,906 3,861 28 50 3 21 101 Oct....... 3,465 3,353 40 8 * -14 34 Nov.... 23 386 16 -36 3,863 4,125 1,218 -27 1 13 1,204 Dec.. . 113 48 5,109 5,334 908 -61 21 -50 819 1971—Jan.. . 2,298 2,298 -359 -357 1 Net change in U.S. Govt, securities, Federal agency obligations, and Note.—Sales, redemptions, and negative figures reduce System hold bankers’ acceptances. ings; all other figures increase such holdings. 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 c u h s il t l r i i n a 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 g N u 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 8 3 433 165 1 1 4 3 1969—Nov............ 1,370 1,273 1 * 60 6 1 2 27 Dec............. 1,967 1,575 1 * 199 60 125 1 3 4 1970—Jan.............. 975 605 1 * 100 60 201 1 3 4 Feb............. 1,179 215 1 * 159 801 1 3 * Mar............ 1,169 207 1 * 157 801 1 3 * Apr............. 1,101 199 1 * 93 805 1 3 * May............ 510 199 * * 94 205 1 * 11 June............ 690 180 * * 94 400 1 * 15 July............ 290 180 * * 95 1 * 14 Aug............. 280 180 * * 96 1 * 3 Sept............ 680 580 * * 96 1 * 3 Oct............. 408 306 * * 97 1 * 4 Nov........... 265 161 * * 98 1 * 4 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 □ 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 1971 1971 1970 Feb. 24 Feb. 17 Feb.10 Feb. 3 Jan. 27 Feb. 28 Jan. 31 Feb. 28 Discounts and advances—Total................................... 251 1,598 254 241 741 264 308 1,147 Within 15 days........................................................... 250 1,597 253 241 741 263 308 1,095 16 days to 90 days...................................................... 1 1 1 1 52 Acceptances—Total....................................................... 52 216 54 85 68 54 59 56 Within 15 days............................................................ 24 186 15 42 27 22 18 12 16 days to 90 days...................................................... 28 30 39 43 41 32 41 44 91 days to 1 year........................................................ U.S. Government securities—Total.............................. 61,700 64,461 60,647 61,951 62,044 62,441 61,783 55,823 Within 15 days1.......................................................... 2,962 6,016 2,854 3,699 4,100 1,831 2,415 1,561 16 days to 90 days...................................................... 14,189 14,156 11,904 12,569 11,910 15,410 13,685 22,467 91 days to 1 year........................................................ 14,684 14,528 20,085 19,879 20,230 15,179 19,879 10,100 Over 1 year to 5 years................................................ 23,320 23,287 19,089 19,089 19,089 23,356 19,089 14,130 Over 5 years to 10 years............................................ 5,791 5,770 6,046 6,046 6,046 5,875 6,046 6,953 Over 10 years.............................................................. 754 704 669 669 669 790 669 612 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 S T M 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 Y S l c A l 2 . . ) 3 ’s 2 SM o 2 th 2 S 6 e A r ’s SM T 2 o 3 S t 3 a A l ’s N Le .Y ad . ing S 6 M o S t A he ’s rs2 T S o N M ( t e a . x S Y l c A l . 2 . ) 3 ’s 2 SM o 2 th 2 S 6 e A r ’s 1970—Jan............................... 9,547.5 4,054.0 2,277.4 5,493.5 3,216.1 69.3 139.9 71.6 50.5 41.8 Feb............................... 9,793.5 4,232.1 2,309.1 5,561.4 3,252.2 72.3 148.8 74.2 51.9 42.8 Mar.............................. 9,845.3 4,336.7 2,291.4 5,508.6 3,217.2 70.6 145.7 72.2 50.2 41.3 Apr............................... 10,170.2 4,422.0 2,417.9 5,748.2 3,330.3 72.8 149.7 75.8 52.2 42.6 May............................. 10,021.8 4,249.4 2,460.0 5,772.5 3,312.5 73.5 150.6 78.4 53.3 43.1 June............................. 10,143.3 4,366.0 2,443.3 5,777.3 3,334.0 73.2 149.3 77.5 52.8 42.8 July.............................. 10,218.1 4,324.3 2,508.2 5,893.9 3,385.6 73.2 145.3 79.4 53.7 43.3 Aug.............................. 10,557.7 4,770.6 2,478.8 5,787.1 3,308.3 75.7 162.8 77.9 52.5 42.2 Sept.............................. 10,559.6 4,668.1 2,502.9 5,891.5 3,388.6 75.4 161.0 77.9 53.0 42.9 Oct............................... 10,791.8 4,899.8 2,497.4 5,892.1 3,394.6 78.2 175.9 78.4 53.5 43.4 Nov.............................. 10,542.4 4,824.0 2,420.1 5,718.4 3,298.3 75.7 168.5 75.8 51.7 41.9 Dec.r........................... 10,896.4 5,016.1 2,480.1 5,880.3 3,400.2 77.0 170.6 76.7 52.4 42.6 1971—Jan................................ 10,710.0 4,825.9 2,475.2 5,884.0 3,408.8 76.4 168.3 77.3 52.8 42.9 1 Excludes interbank and U.S. Govt, demand deposit accounts. For description of series, see Mar. 1965 Bulletin, p. 390. 2 Boston, Philadelphia, Chicago, Detroit, San Francisco-Oakland, and The data shown here differ from those shown in the Mar. 1965 Bulletin Los Angeles-Long Beach. because they have been revised, as described in the Mar. 1967 Bulletin, p. 389. Note.—Total SMSA’s includes some cities and counties not designated as SMSA’s. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 16 U.S. CURRENCY □ MARCH 1971 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 1960 32,869 23,521 2,427 1,533 88 2,246 6,691 10,536 9,348 2,815 5,954 249 316 3 10 1961 . 33,918 24,388 2,582 1,588 92 2,313 6,878 10,935 9,531 2,869 6,106 242 300 3 10 1962. 35,338 25,356 2,782 1,636 97 2,375 7,071 11,395 9,983 2,990 6,448 240 293 3 10 1963. 37,692 26,807 3,030 1,722 103 2,469 7,373 12,109 10,885 3,221 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. 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 June.......... 54,351 37,994 6,128 2,157 136 2,983 8,837 17,753 16,357 4,567 11,298 223 262 3 4 July........... 54,473 37,959 6,145 2,132 136 2,943 8,743 17,861 16,513 4,621 11,404 221 260 3 4 Aug........... 54,669 38,042 6,170 2,142 136 2,942 8,743 17,909 16,627 4,654 11,487 220 259 3 4 Sept........... 54,795 38,082 6,193 2,168 136 2,964 8,747 17,875 16,712 4,668 11,562 219 257 3 4 Oct............ 55,021 38,192 6,213 2,181 136 2,975 8,761 17,926 16,829 4,694 11,656 217 255 3 4 Nov........... 56,381 39,284 6,251 2,242 136 3,068 9,090 18,497 17,097 4,781 11,839 216 254 3 4 Dec............ 57,093 39,639 6,281 2,310 136 3,161 9,170 18,581 17,454 4,896 12,084 215 252 3 4 1971—-Jan............. 55,345 38,081 6,254 2,190 136 2,971 8,673 17,857 17,264 4,809 11,983 214 251 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 OF UNITED STATES CURRENCY 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. 1971 1970 Kind of currency Jan. 31, against Treasury F.R. Banks 1971 gold and cash Banks and silver and Agents Jan. Dec. Jan. certificates Agents 31 31 31 Gold............................................................................... 10,732 (10,464) 2 268 Gold certificates............................................................. (10,464) 3 10,463 i Federal Reserve notes.................................................... 53,052 149 4,421 48,482 50,204 45,321 Treasury currency—Total.............................................. 7,173 55 255 6,863 6,889 6,580 Standard silver dollars............................................... 485 3 482 482 482 Fractional Coin.......................................................... 6,068 41 254 5,773 5,800 5,504 United States notes.................................................... 323 11 311 309 292 In process of retirement 4.......................................... 298 298 298 302 Total—Jan. 31, 1971............................................................. 5 70,957 (10,464) 472 10,463 4,677 55,345 Dec. 31, 1970............................................................. 5 71,626 (10,457) 431 10,456 3,645 57,093 Jan. 31, 1970............................................................. 5 67,862 (11,036) 617 11,035 4,309 51,901 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 $159 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
MARCH 1971 a MONEY STOCK; BANK RESERVES A 17 MONEY STOCK AND RELATED DATA (In billions of dollars) Seasonally adjusted Not seasonally adjusted Money stock Money stock Period Time Time U.S. deposits deposits Govt, Currency Demand ad Currency Demand ad demand Total component deposit justed 1 Total component deposit justed i deposits1 component component 1967—Dec................................................... 183.1 40.4 142.7 183.5 188.6 41.2 147.4 182.1 5.0 1968—Dec................................................... 197.4 43.4 154.0 204.8 203.4 44.3 159.1 203.2 5.0 1969—Dec................................................... 203.6 46.0 157.7 194.6 209.8 46.9 162.9 193.2 5.6 1970—Feb................................................... 204.5 46.4 158.1 193.5 202.8 45.9 156.8 193.0 7.1 Mar.................................................. 206.6 46.7 159.8 195.3 204.7 46.3 158.4 195.9 6.9 Apr................................................... 208.3 47.1 161.2 198.5 209.3 46.6 162.6 199.3 5.3 May................................................. 209.2 47.7 161.6 200.3 205.3 47.3 158.0 201.1 6.4 June................................................. 209.6 47.8 161.9 202.2 207.8 47.7 160.1 202.3 6.5 July.................................................. 210.6 48.1 162.5 208.2 209.0 48.3 160.7 208.1 6.8 Aug.................................................. 211.8 48.2 163.7 213.2 208.7 48.3 160.4 214.0 7.1 Sept.................................................. 212.8 48.2 164.6 218.5 211.4 48.2 163.1 218.4 6.8 Oct................................................... 213.0 48.5 164.5 222.2 213.0 48.5 164.5 222.5 6.1 Nov.................................................. 213.5 48.7 164.8 225.0 215.3 49.2 166.1 224.6 5.6 Dec................................................... 214.6 48.9 165.7 230.4 221.1 50.0 171.1 228.7 7.1 1971—Jan.................................................... 214.8 49.2 165.5 235.3 221.3 49.1 172.1 234.5 6.6 Feb.*................................................ 217.4 49.6 167.8 240.9 215.6 49.1 166.4 240.3 8.3 Week ending— 1971—Feb. 3............................................ 214.7 49.5 165.3 237.6 217.0 48.8 168.2 237.2 9.6 10............................................ 216.2 49.5 166.8 239.8 216.3 49.3 166.9 238.9 8.6 17............................................ 218.2 49.9 168.3 240.7 216.2 49.4 166.8 240.1 8.1 24*........................................... 217.9 49.5 168.4 242.0 212.7 48.8 163.9 241.5 8.0 Mar. 3*........................................... 218.5 49.8 168.7 243.7 216.6 49.2 167.5 243.4 7.5 1 At all commercial banks. and F.R. float; (2) foreign demand balances at F.R. Banks; and (3) cur rency outside the Treasury, F.R. Banks, and vaults of all commercial Note.—For description of revised series and for back data, see Dec. banks. Time deposits adjusted are time deposits at all commercial 1970 Bulletin, pp. 887-909. banks other than those due to domestic commercial banks and the Averages of daily figures. Money stock 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 deposit plus nondeposit S.A. N.S.A. items 3 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. 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—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—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 5.2 290.7 153.8 132.5 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 June. 27.90 27.06 27.71 290.5 155.7 129.9 4.8 289.6 155.7 128.5 5.4 311.1 310.3 July.. 28.04 26.69 27.90 296.0 160.7 130.9 4.4 296.3 160.9 129.6 5.8 315.8 316.1 Aug.. 28.59 27.78 28.41 303.2 164.9 131.9 6.4 301.0 166.0 129.1 5.9 321.9 319.8 Sept.. 29.24 28.71 29.02 308.0 169.5 132.3 6.2 306.8 169.9 131.2 5.8 324.5 323.2 Oct... 29.39 28.93 29.13 310.6 173.0 132.4 5.2 310.9 173.2 132.6 5.1 324.8 325.1 Nov.. 29.47 29.03 29.23 314.0 175.7 132.3 6.0 312.8 174.9 133.4 4.6 326.7 325.6 Dec.. 29.93 29.58 29.70 319.6 179.9 133.5 6.2 322.8 178.2 138.7 6.0 331.2 334.4 1971—Jan... 30.23 29.80 30.03 323.9 183.2 134.1 6.7 328.2 182.8 139.7 5.6 334.1 338.3 Feb.*, 30.51 30.17 30.26 329.2 187.5 135.5 6.1 328.5 187.2 134.4 7.0 337.8 337.1 1 Averages of daily figures. Data reflect percentages of reserve require 3 Total member bank deposits subject to reserve requirements, plus ments made effective Apr. 17, 1969. Required reserves are based on Euro-dollar borrowings, bank-related commercial paper, and certain average deposits with a 2-week lag. other nondeposit items. This series for deposits is referred to as “the 2 Averages of daily figures. Deposits subject to reserve requirements in adjusted bank credit proxy.” clude total time and savings deposits and net demand deposits as defined by Regulation D. Private demand deposits include all demand deposits ex Note.—Due to changes in Regulations M and D, required reserves cept those due to the U.S. Govt., less cash items in process of collection include increases of approximately $400 million since Oct. 16, 1969. and demand balances due from domestic commercial banks. Effective June Back data may be obtained from the Banking Section, Division of Research 9, 1966, balances accumulated for repayment of personal loans were elim and Statistics, Board of Governors of the Federal Reserve System, Wash inated from time deposits for reserve purposes. Jan. 1969 data are not ington, D.C. 20551. comparable with earlier data due to the withdrawal from the System on Jan. 2, 1969, of a large member bank. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 18 BANKS AND THE MONETARY SYSTEM □ MARCH 1971 CONSOLIDATED CONDITION STATEMENT (In millions of dollars) Assets Liabilities and capital Total Bank credit assets, Date S c c s G . e a a t D o r t o n e t c . d l i s R d k f i i . T r s c o e u r i t u n n e u a r a c g r y n t y s d Total n L e o t a 2 n - s , 3 Total U.S. s C a T a v o r n i m e n d a g l s . s ury R F s B e e e a d c s n e u e r k r r v i a s t e l ies Other4 r O s i e t t i c h e u s e r 3 c T l n a i i a n e a p t o n i b t e i e t — t d a i t s a l l l , c d u T e r a p o r n o e t d a s n i l c ts y C c m o a a n a u p n i c e n s i d t c t t a s . l , banks 1947—Dec. 31.. 22,754 4,562 160,832 43,023 107,086 81.199 22,559 3,328 10,723 188,148 175,348 12,800 1950—Dec. 30.. 22,706 4,636 171,667 60,366 96,560 72,894 20,778 2,888 14,741 199,008 184,384 14,624 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—Dec. 315. 10.367 6,849 532,663 335,127 115,129 57,952 57,154 23 82,407 549,879 485,545 64,337 1970—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. 29.. 11,800 6.900 523.900 326.300 111.700 55,600 56.100 85.800 542,600 476.800 65.800 May 27.. 11,800 7.000 526,100 327,000 113.100 56.000 57.100 86,000 544.800 475.800 69,000 June 30.. 11,767 6,986 536,845 336,860 112,475 54,742 57,714 19 87,510 555,596 487,093 68,501 July 29.. 11,800 7.000 539.300 336,400 115.100 56.800 58.300 87.800 558.100 489.800 68.300 Aug. 26.. 11,800 7.000 545,400 338,100 118,000 58.300 59.600 89.400 564,200 494,000 70.200 Sept. 30.. 11.500 7.100 554.800 343.800 119.000 59.000 60,000 91.900 573,300 504,600 68.800 Oct. 28^ 11.500 7.100 554.300 341.300 119,600 60.300 59.300 93.400 572.900 505.300 67.600 Nov. 25^ 11.500 7.100 558.900 341.300 122.400 61.200 61.100 95,200 577,500 509,900 67.600 Dec. 30?. 11.500 7.100 576,200 352,500 125.000 64.300 60.600 100 98.800 594.900 528,700 66.200 1971—Jan. 27p. 11,100 7.200 573.500 345,900 126.700 64,500 62,000 300 100.900 591.800 526.100 65.600 Feb. 24*. 11,100 7.200 576.500 346.800 126,800 64,400 61.700 700 102.900 594.800 528.300 66,500 DETAILS OF DEPOSITS AND CURRENCY Money stock Related deposits (not seasonally adjusted) Seasonally adjusted < 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 m e D p s a a t o d e e n s d d it 7 s o b r C u e a t n u n s c i r k d y s e d ju m e 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 o e 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 n o a e r g l s a y d h s s s b c a a a o A v n n m i t d k n 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—Dec. 315.. 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—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... 198,400 46.300 152.100 198.400 45.900 152.600 267.400 199.500 68,000 2,600 600 6.400 1.400 May 27... 198.600 46,500 152.100 196,200 46.400 149.800 269,300 201.000 68.300 2.400 500 6,200 1.300 June 30... 199.600 46.600 153.000 201,614 47,032 154,582 273,109 203,916 69,193 2,641 439 8,285 1,005 July 29... 199,300 46.800 152,500 199.100 46.900 152,200 279,200 210,000 69.200 2,600 500 7.400 1,000 Aug. 26... 199.900 46.800 153.100 198.200 47,100 151.100 283.400 214.100 69.300 2.400 500 8.600 900 Sept. 30... 203.500 47,200 156,300 202.200 47.300 154.900 289.400 219.500 69,900 2.400 400 8,800 1,200 Oct. 28p.. 201.600 47.400 154,200 202.400 47.300 155.100 292,000 221,800 70.200 2,600 500 6,600 1.300 Nov. 25*.. 202,000 47.600 154.400 205,200 48.900 156.300 294,800 224,300 70.500 2.500 500 6,200 800 Dec. 30p. . 208,600 47,800 160,800 215,800 48.900 166.900 300,900 229.200 71,600 2,600 400 7,700 1.300 1971—Jan. 27p.. 202.900 48.300 154,600 205.400 47,600 157.800 307.100 234,600 72.500 2.500 500 9.400 1,200 Feb. 24p.. 204.500 48.600 155.900 203.400 48,000 155,400 313,250 240.100 73,100 2.500 500 7.300 1.400 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. See table duced this item by $1,900 million ($1,500 million to time deposits and $400 (and notes), Deposits Accumulated for Payment of Personal Loans, p. A-23. million to demand deposits). 3 See note 2 on p. A-22. 4 After June 30, 1967, Postal Savings System accounts were eliminated from this Statement. 5 Figures for this and later dates take into account the following changes Note.—For back figures and descriptions of the consolidated condition (beginning June 30, 1969) for commercial banks: (1) inclusion of con statement and the seasonally adjusted series on currency outside banks and solidated reports (including figures for all bank-premises subsidiaries and demand deposits adjusted, see “Banks and the Monetary System,” Section other significant majority-owned domestic subsidiaries) and (2) reporting 1 of Supplement to Banking and Monetary Statistics, 1962, and Bulletins of figures for total loans and for individual categories of securities on a for Jan. 1948 and Feb. 1960. Except on call dates, figures are partly esti gross basis—that is, before deduction of valuation reserves. 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
MARCH 1971 □ 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 counts4 U.S. Govt. Other All commercial banks: 1941—Dec. 31... 50,746 21,714 21,808 7,225 26,551 79,104 71,283 10,982 44,349 15,952 23 7,173 14,278 1945—Dec. 31 ... 124,019 26,083 90,606 7,331 34,806 160,312 150,227 14,065 105,921 30,241 219 8,950 14,011 1947—Dec. 31 5. 116,284 38,057 69,221 9,006 37,502 155,377 144,103 12,792 240 1,343 94,367 35,360 65 10,059 14,181 1966—Dec. 31... 322,661 217,726 56,163 48,772 69,119 403,368 352,287 19,770 967 4,992 167,751 158,806 4,859 32,054 13,767 1967—Dec. 30... 359,903 235,954 62,473 61,477 77,928 451,012 395,008 21,883 1,314 5,234 184,066 182,511 5,777 34,384 13,722 1968—Dec. 31 ... 401,262 265,259 64,466 71,537 83,752 500,657 434,023 24,747 1,211 5,010 199,901 203,154 8,899 37,006 13,679 1969—Dec. 31 «. 421,597 295,547 54,709 71,341 89,984 530,665 435,577 27,174 735 5,054 208,870 193,744 18,360 39,978 13,661 1970—Feb. 25... 408,890 286,680 51,400 70,810 78,900 506,780 406,390 22,230 620 7,380 182,940 193,220 22,620 40,230 13,665 Mar. 25... 412,410 288,230 51,520 72,660 76,360 508,420 407,980 21,810 580 6.140 183,090 196,360 22,840 40,370 13.664 Apr. 29 . .. 417,170 290,550 52,330 74,290 78,410 515,650 413,780 21,600 660 6,230 185,620 199,670 23,530 40,590 13.665 May 27 .. . 417,340 290,370 52,640 74,330 78.930 516,630 413,720 22,180 690 5,960 183,740 201,150 23,080 40,850 13.665 June 30... 423,240 296,091 51,569 75,579 85,631 529,679 432,429 26,338 898 8,076 192,999 204,118 18,546 41,708 13.671 July 29 ... 425,530 296,330 53,510 75,690 74.930 520,800 422,740 22,440 1,350 7,170 181,540 210,240 19,850 41,510 13.671 Aug. 26. .. 430,080 297,900 55.050 77,130 78,820 529,640 429,680 22,890 1,630 8,270 182,520 214,370 20,160 41,720 13,675 Sept. 30^.. 436,790 301,530 55,750 79,510 85,760 543,900 447,320 26,480 1,710 8,470 190,810 219,850 18,170 42,040 13,678 Oct. 28p.. 439,350 301,310 57.050 80,990 78,310 538,950 439,790 24,780 1.740 6,220 184,870 222,180 20,200 42,080 13,684 Nov. 25. 442,490 301,860 58,020 82,610 82,400 546,470 445,690 24,680 1.740 5,790 188,780 224,700 21,680 42,270 13.687 Dec. 30^.. 461,120 314,300 61,100 85,720 87,080 570,560 469,850 27,640 1,860 7,330 203,410 229,610 22,140 42,500 13.687 1971—Jan. 27*\ . 453,850 305,310 61,250 87,290 83,300 558,140 461,630 25,380 1,990 9,080 190,210 234,970 20,650 42,660 13.692 Feb. 24p.. 457,650 307,450 61,160 89,040 81,930 560,790 462,880 25,87.0 1,950 6,890 187,620 240,550 21,660 42,980 13.692 Member of F.R. System: 1941—Dec. 31... 43,521 18,021 19,539 5,961 23,113 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 6,070 29.845 138,304 129,670 13,576 64 22,179 69,640 24,210 208 7,589 6,884 1947—Dec. 31... 97,846 32,628 57,914 7,304 32.845 132,060 122,528 12,353 50 1,176 80,609 28,340 54 8,464 6,923 1966—Dec. 31... 263,687 182,802 41,924 38,960 60,738 334,559 291,063 18,788 794 4,432 138,218 128,831 4,618 26,278 6,150 1967—Dec. 30... 293,120 196,849 46,956 49,315 68,946 373,584 326,033 20,811 1,169 4,631 151,980 147,442 5,370 28,098 6,071 1968—Dec. 31 .. . 325,086 220,285 47,881 56,920 73,756 412,541 355,414 23,519 1,061 4,309 163,920 162,605 8,458 30,060 5,978 1969—Dec. 31 6. 336,738 242,119 39,833 54,785 79,034 432,270 349,883 25,841 609 4,114 169,750 149,569 17,395 32,047 5,869 1970—Feb. 25... 325,777 234,213 37,110 54,454 69,806 412,036 324,937 21,244 496 6,429 147,932 148,836 21,238 32,242 5,850 Mar. 25... 328,556 235,138 37,340 56,078 67,594 413,148 326,028 20,845 454 5,100 148,270 151,359 21,582 32,343 5,839 Apr. 29 ... 332,097 236,436 38,192 57,469 69,174 418,597 330,136 20,608 531 5,251 149,940 153,806 22,376 32,528 5,828 May 27... 331,389 235,805 38,259 57,325 69,710 418,609 329,541 21,183 567 4,914 148,414 154,463 21,749 32,733 5,816 June 30... 335,551 240,100 37,324 58,127 75,539 428,975 345,514 25,122 691 6,957 155,916 156,829 17,507 33,184 5,803 July 29... 337,377 240,309 38,950 58,118 65,971 420,844 336,818 21,371 1,139 6,181 146,003 162,124 18,675 33,047 5,795 Aug. 26. .. 341,096 241,594 40,305 59,197 69,769 428,607 342.995 21,825 1,423 7,054 146,996 165,697 19,059 33,223 5,785 Sept. 30. .. 346,643 244,769 40,779 61,095 75,853 440,724 358,433 25,339 1,500 7,258 153,951 170,385 17,169 33,479 5,784 Oct. 28. .. 348,424 244,377 41,872 62,175 68,978 435,498 350.996 23,643 1.535 5,169 148,472 172,177 19,021 33,481 5,781 Nov. 25. .. 350,746 244,442 42,661 63,643 72,422 441,486 355,566 23,516 1.535 4,855 151,385 174,275 20,538 33,629 5,773 Dec. 30... 366,578 255,301 45,054 66,223 76,993 462,506 376,543 26,390 1,657 6,052 164,115 178,329 21,166 33,806 5,766 1971—Jan. 27... 359,731 247,183 45,222 67,326 73,521 451,224 369,092 24,179 1,785 7,929 152,695 182,504 19,557 33,950 5.761 Feb. 24p.. 362,488 248,916 44,840 68,732 72,296 452,887 369,632 24,680 1,744 5,730 150,712 186,766 20,440 34,213 5.761 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—Dec. 31 6. 60,333 48,305 5,048 6,980 22,349 87,753 62,381 10,349 268 694 36,126 14,944 4,405 6,301 12 1970—Feb. 25... 56,568 45,523 4,319' 6,726 21,808 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: 7,312 21,809 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 7,633 20,778 84,145: 57,536 8,927 245 968 32,116 i 15,280i 5,756. 6,290 i 12 May 27... 57,288 44,819 4,981 7,488 22,007 84,604 57,147 9,356 280 882: 31,742 1 14,887 r 5,821 6,335 i 12 June 30... 57,088 44,881 4,413I 7,795 23,070 85,666i 60,615 11,148 321 1,236* 32,590 1 15,3201 4,057 ' 6,374 12 July 29... 58,720 45,917 5,142: 7,661 18,322 82,356 » 57,063 9,322 592 1,382: 28,921r 16,840 1 4,855 i 6,340 I 12 Aug. 26... 58,468 45,208 5,458 i 7,802 20,982 84,893i 58,959 9,668 729 1,214> 29,943 i 17,405! 5,243 i 6,405 12 Sept. 30... 59,484 46,265 5,144t 8,075 23,057 88,026i 64,019 12,161 719 1,355: 31,072 : 18,712: 4,184 ^ 6,439 12 Oct. 28... 59,215 45,990i 5,33"r 7,888 1 19,175 83,785i 59,297 10,738 776 658! 28,024; 19,101 5,0381 6,385 12 Nov. 25 ... 59,657 45,717 5,4621 8,477' 20,151 85,368! 59,654 10,276i 814 74S> 28,552 1 19,263 1 6,224t 6,424 [■ 12 Dec. 30... 63,437 48,359> 5,87*5 9,20C► 22,916» 91,955i 66,943 12,053■ 919 924I- 32,827r 20,22C> 6,12C> 6,442: 12 1971—Jan. 27... 60,658 45,791 6,011 8,856> 21,274 [■ 87,4371 64,712 11,270> 950 > 1,985i 29,761 20,746> 4,997r 6,449 • 12 Feb. 24... 60,791 46,61C1 5,37$I 8,803i 20,393i 86,74S) 63,848 11,367r 919» 87S) 29,352> 21,331 5,855i 6,51C> 12 For notes see p. A-22. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 20 COMMERCIAL BANKS □ MARCH 1971 PRINCIPAL ASSETS AND LIABILITIES AND NUMBER, BY CLASS OF BANK— Continued (Amounts in millions of dollars) Loans and investments Deposits Total assets— Securities Total Interbank3 Other Total Num Class of bank lia Bor capital ber and date Cash bilities row ac of Total Loans assets 3 and Demand ings counts banks 1,2 U.S. capital Total3 Treas Other ac De Time Time1 ury 2 counts4 mand U.S. Govt. Other 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—Dec. 31 6. 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—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 30.. 14,648 10,986 1,540 2,121 2,622 18,291 13,266 1,682 16 347 6,102 5,119 1,507 1,566 9 July 29.. 14,449 10,662 1,688 2,099 2,560 18,021 12,937 1,237 54 457 5,764 5,425 1,689 1,542 9 Aug. 26.. 14,556 10,642 1,796 2,118 2,911 18,520 12,841 1,192 58 342 5,725 5,524 2,129 1,550 9 Sept. 30.. 15,058 11,151 1,746 2,161 2,788 18,849 13,764 1,595 69 380 6,017 5,703 1,959 1,562 9 Oct. 28.. 14,835 10,735 1,925 2,175 3,040 18,841 13,399 1,301 79 250 5,921 5,848 2,253 1,565 9 Nov. 25.. 15,076 10,921 1,839 2,316 2,981 19,016 13,538 1,375 79 250 5,855 5,979 2,330 1,580 9 Dec. 30.. 15,810 11,387 1,984 2,439 3,133 19,997 14,433 1,435 76 243 6,626 6,053 2,230 1,586 9 1971—Jan. 27. 15,530 10,901 2,208 2,421 2,981 19,487 14,303 1,313 79 487 6,091 6,333 1,969 1,591 9 Feb. 24. 15,479 11,000 2,048 2,431 3,083 19,482 14,264 1,451 58 252 6,010 6,493 2,125 1,618 9 Other reserve city: ?. 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 13,326 24,228 123,863 108,804 8,593 233 1,633 49,004 49,341 1,952 9,471 169 1967—Dec. 30... 105,724 73,571 14,667 17,487 26,867 136,626 120,485 9,374 310 1,715 53,288 55,798 2,555 10,032 163 1968—Dec. 31... 119,006 83,634 15,036 20,337 28,136 151,957 132,305 10,181 307 1,884 57,449 62,484 4,239 10,684 161 1969—Dec. 31 6. 121,324 90,896 11,944 18,484 29,954 157,512 126,232 10,663 242 1,575 58,923 54,829 9,881 11,464 157 1970—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 11,104 11,549 158 Mar. 25.. 117,942 87,645 11,078 19,219 23,272 147,381 114,763 7,757 116 2,148 49,856 54,886 11,180 11,611 158 Apr. 29.. 119,213 88,093 11,298 19,822 25,042 150,648 117,118 8,113 159 2,304 50,306 56,236 11,788 11,715 158 May 27.. 119,002 88,033 11,287 19,682 24,393 149,816 116,945 8,213 160 1,945 49,990 56,637 11,025 11,780 157 June 30.. 121,213 90,152 11,372 19,689 27,106 154,889 123,673 9,530 273 3,115 53,317 57,438 9,779 11,868 156 July 29.. 120,894 89,581 11,665 19,648 24,422 151,834 120,708 8,374 409 2,349 50,046 59,530 9,777 11,885 156 Aug. 26.. 123,418 91,106 12,341 19,971 25,008 154,765 123,746 8,544 552 3,049 50,085 61,516 9,485 11,934 156 Sept. 30.. 125,582 91,955 12,859 20,768 27,368 159.587 129,246 8,992 628 3,082 53,139 63,405 9,019 12,040 156 Oct. 28.. 126,646 91,973 13,299 21,374 25,157 158,316 127,238 9,032 599 2,138 51,709 63,760 9,380 12,032 156 Nov. 25.. 126,943 91,301 13,789 21,853 26,774 160,182 129,249 9,213 561 1,977 52,625 64,873 9,711 12,053 156 Dec. 30.. 133,782 96,404 14,656 22,722 27,956 168,418 136,577 10,062 581 2,304 57,155 66,475 10,874 12,131 156 1971—Jan. 27. . 130,725 92,805 14,490 23,430 26,930 164,214 133,018 8,875 675 3,141 52,463 67,864 10,413 12,234 156 Feb. 24.. 131,751 92,932: 14,498 24,321 26,701 164,992 133,375 9,169 686i 2,262 52,063 69,195 10,014 12,321 156 Country member: 7■ 8 1941—Dec. 31.. 12,518 5,89C» 4,377 2,250 6,402; 19,466 17,415 792 3C1 225 10,1091 6,258 4 1,982 6,219 1945—Dec. 31.. 35,002 5,596i 26,999 2,408 10,632: 46,059 43,418 1,207 17r 5,465 24,235i 12,494 11 2,525 6,476 1947—Dec. 31.. 36,324 10,1991 22,857 3,268 10,778i 47,553 44,443 1,056 17' 432 28,378: 14,5601 23 2,934 6,519 1966—Dec. 31.. 109,518 68,641 22,419' 18,458I 19,004t 131,338 117,749 2,392 69> 1,474 56,672i 57,144[■ 308 10,309> 5,958 1967—Dec. 30.. 122,511 74,99!i 24,6891 22,826» 20,334I- 146,052 131,156 2,766 96i 1,564 61,161 65,569» 552’ 11,00!j 5,886 1968—Dec. 31.. 134,759 83,391' 24,998: 26,364\ 22,664\ 161,122 144,682 2,839 111 1,281 66,578! 73,873I 804t 11,801J 5,796 1969—Dec. 316. 140,715 92,14'' 21,278i 27,291 23,928\ 169,078 148,007 3,152 8 A1 1,671 67,93C) 75,17C) 1,82C) 12,76(3 5,691 1970—Feb. 25.. 137,842 90,46:\ 20,438! 26,941 20,49:> 162,686i 140,364 2,34C> 8(3 1,68CI 60,781I 75,47:J 2,76S> 12,86:1 5,671 Mar. 25.. 139,131 91,53'r 20,283I 27,311 19,812> 163,496> 141,187 2,271 8(3 1,85C> 60,44S) 76,531I 2,51C) 12,93() 5,660 Apr. 29.. 140,32€ 92,501I 20,Ilfi 27,71() 20,59*1 165,624I- 143,183 2,334t 8(3 1,7461 61,51!) 77,49*I 2,30:1 12,98*$ 5,649 May 27.. 140,921 92,61:> 20,37!> 27,93*[ 20,652> 166,453i 143,231 2,349> 8<3 1,85!i 60,73() 78,211I 2,67() 13,06*1 5,638 June 30.. 142,60: 94,081i 19,99S> 28,52:> 22,7411 170,125► 147,96C 2,76:5 811 2,25S> 63,90’7 78,951I 2,16*1 13,37'7 5,626 July 29.. 143,314 94,14S> 20,45!> 28,71C) 20,66'1 168,633I 146,11( 2,43*I 8'I 1,99:\ 61,26<5 80,32!) 2,35*1 13,28() 5,618 Aug. 26.. 144,65^ 94,63*1 20,71() 29,30(> 20,86*I 170,42S> 147,44S 2,411 8‘% 2,44S> 61,24:3 81,25:I 2,20:I 13,33<X 5,608 Sept. 30.. 146,51S 95,39!3 21,03() 30,0911 22,64() 174,262> 151,40*1 2,5911 8'\ 2,441 63,72:3 82,56!5 2,00:7 13,4313 5,607 Oct. 28.. 147,72* 95,67?) 21,3111 30,731I 21,60<5 174,55(3 151,06:> 2,57:> 81 2,12:3 62,81!8 83,4613 2,35<) 13,49!9 5,604 Nov. 25.. 149,07() 96, so:3 21,57() 30,99'7 22,51<5 176,92() 153,12!5 2,65:I 8t 1,87!) 64,35:3 84,16<3 2,27:3 13,57!2 5,596 Dec. 30.. 153,54S) 99,15I 22,53<5 31,86:I 22,9813 182,13(3 158,59() 2,84() 81 2,581[ 67,50'7 85,581 1,94:2 13,647 5,589 1971—Jan. 27.. 152,815S 97,68<5 22,51!3 32,61!? 22,33i5 180,08(3 157,05!) 2,721I 81 2,31(3 64,3819 87,561 2,1713 13,67*6 5,584 Feb. 24*. 154,46'7 98,37-4 22,9115 33,17-7 22,11!9 181,66<1 158,14!5 2,69!3 81 2,33'7 63,287 89,747 2,44<6 13,76'4 5,584 For notes see p. A-22. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 n 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— Classification by Securities Total Interbank 3 Other FRS membership Cash lia Bor Total Num and FDIC assets 3 bilities row capital ber insurance Total Loans and Total 3 Demand ings ac of 1. 2 U.S. Other capital De Time counts banks Treas 2 ac mand Time l ury counts4 U.S. Other Govt. 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 56,086 276,600 247,176 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 53,702 295,093 260,609 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 50,337 310,730 273,657 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 59,911 343,876 305,113 17,664 733 6,487 154,043 126,185 2,580 27,377 13,486 1965—Dec. 31.. 303,593 200,109 59,120 44,364 60,327 374,051 330,323 18,149 923 5,508 159,659 146,084 4,325 29,827 13,540 1966—Dec. 31.. 321,473 217,379 55,788 48,307 68,515 401,409 351,438 19,497 881 4,975 166,689 159,396 4,717 31,609 13,533 1967—Dec. 30.. 358,536 235,502 62,094 60,941 77,348 448,878 394,118 21,598 1,258 5,219 182,984 183,060 5,531 33,916 13,510 1968—Dec. 31.. 399,566 264,600 64,028 70,938 83,061 498,071 432,719 24,427 1,155 5,000 198,535 203,602 8,675 36,530 13,481 1969—June 306. 408,620 283,199 53,723 71,697 87,311 513,960 423,957 24,889 800 5,624 192,357 200,287 14,450 38,321 13.464 Dec. 31.. 419,746 294,638 54,399 70,709 89,090 527,598 434,138 26,858 695 5,038 207,311 194,237 18,024 39,450 13.464 1970—June 30.. 421,141 294,963 51,248 74,929 84,885 526,484 431,094 26,017 829 8,040 191,752 204,456 18,215 41,159 13,478 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,:229 14,013 45,473 16,224 78 4,644 5,017 1947—Dec. 31.. 65,280 21,428 38,674 5,178 22,024 88,182 82,023 8,375 35 795 53,541 19,278 45 5,409 5,005 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 34,064 190,289 169,615 10,521 211 3,604 84,534 70,746 1,109 15,048 4,773 1965—Dec. 31.. 176,605 118,537 32,347 25,720 36,880 219,744 193,860 12,064 458 3,284 92,533 85,522 2,627 17,434 4,815 1966—Dec. 31.. 187,251 129,182 30,355 27,713 41,690 235,996 206,456 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 46,634 263,375 231,374 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 50,953 296,594 257,884 15,117 657 3,090 116,422 122,597 5,923 21,524 4,716 1969—June 30«. 242,241 170,834 29,481 41,927 52,271 305,800 251,489 14,324 437 3,534 113,134 120,060 9,895 22,628 4,700 Dec. 31.. 247,526 177,435 29,576 40,514 54,721 313,927 256,314 16,299 361 3,049 121,719 114,885 12,279 23,248 4,668 1970—June 30.. 247,862 176,376 28,191 43,295 51,942 312,480 254,261 14,947 393 5,066 113,296 120,559 13,051 24,106 4,637 State member: 1941—Dec. 31.. 15,950 6,295 7,500 2,155 8,145 24,688 22,259 3,739 621 13,874 4,025 1 2,246 1,502 1945—Dec. 31.. 37,871 8,850 27,089 1,933 9,731 48,084 44,730 4,'4 11 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«. 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 1970—June 30.. 88,404 64,439 9,133 14,832 23,598 117,209 91,967 10,175 299 1,891 42,620 36,983 4,457 9,078 1,166 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 18,119 244 1,560 10,635 5,680 7 1,083 6,416 1947—Dec. 31.. 16,444 4,958 10,039 1,448 4,083 20,691 19,340 262 4 149 12,366 6,558 7 1,271 6,478 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 1970—June 30.. 84,875 54,149 13,924 16,802 9,346 96,794 84,865 894 137 1,083 35,837 46,913 708 7,975 7,675 For notes see p. A-22. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 22 COMMERCIAL BANKS □ MARCH 1971 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 s d 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 n 2 s T U re . S S a e s . c urit O ie t s her a C ss a e s t h s 3 c b T a i a l l a o p i i n c a t t i d i a t e a l s l Total3 m D I a n e n t d erba T n i k m 3 e Dema O nd ther Tim l e B r i o n o w g r s c c T a o a o p u c t i n a ta t l s l N ba b u o n e m f k r s ury counts 4 U.S. Other Govt. Noninsured nonmember: 1941—Dec. 31.. 1,457 455 761 241 763 2,283 1,872 329 1,291 253 329 852 1945—Dec. 31.. 2,211 318 1,693 200 514 2,768 2,452 181 1,905 365 279 714 1947—Dec. 315. 2,009 474 1,280 255 576 2,643 2,251 177 185 18 1,392 478 325 783 1961—Dec. 30.. 1,536 577 553 406 346 1,961 1.513 177 148 869 307 370 323 1962—Dec. 28.. 1,584 657 534 392 346 2,009 1.513 164 133 872 330 44 371 308 1963—Dec. 20.. 1,571 745 463 362 374 2,029 1,463 190 83 832 341 93 389 285 1964—Dec. 31.. 2,312 1,355 483 474 578 3,033 2,057 273 86 1,141 534 99 406 274 1965—Dec. 31.. 2,455 1,549 418 489 572 3,200 2,113 277 85 1,121 612 147 434 263 1967—Dec. 30.. 2,638 1,735 370 533 579 3,404 2,172 285 58 1,081 733 246 457 211 1968—Dec. 31.. 2,901 1,875 429 597 691 3,789 2,519 319 56 1,366 767 224 464 197 1969—June 30 «. 2,809 1,800 321 688 898 3,942 2,556 298 81 1,430 731 290 502 209 Dcc. 31.. 2,982 2,041 310 632 895 4,198 2,570 316 41 1,559 638 336 528 197 1970—June 30.. 3,043 2,073 321 650 746 4,140 2,280 321 69 1,247 606 331 549 193 Total nonmember: 1941—Dec. 31.. 7,233 3,696 2,270 1,266 3,431 10,992 9,573 457 5,504 3,613 18 1,288 7,662 1945—Dec. 31.. 16,849 3,310 12,277 1,262 4,962 22,024 20,571 425 14,101 6,045 11 1,362 7,130 1947—Dec. 31.. 18.454 5,432 11,318 1,703 4,659 23,334 21,591 439 190 167 13,758 7,036 12 1,596 7,261 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 30 6. 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 1970—June 30.......... 87,919 56,222 14,245 17,452 10,092 100,934 87,145 1,215 207 1,119 37,084 47,520 1,038 8,523 7,868 ________ 1 See table (and notes), “Deposits Accumulated for Payment of Personal 8 Beginning Jan. 4, 1968, a country bank with deposits of $321 million Loans” p. A-23. was reclassified as a reserve city bank. Beginning Feb. 29, 1968, a reserve 2 Beginning June 30, 1966, loans to farmers directly guaranteed by city bank in Chicago with total deposits of $190 million was reclassified as CCC were reclassified as securities, and Export-Import Bank portfolio a country bank. fund participations were reclassified from loans to securities. This reduced Total loans and increased “Other securities” by about $1 billion. Total Note.—Data are for all commercial banks in the United States (includ loans include Federal funds sold, and beginning with June 1967 securities ing Alaska and Hawaii, beginning with 1959). Commercial banks represent purchased under resale agreements, figures for which are included in all commercial banks, both member and nonmember; stock savings “Federal funds sold, etc.,” on p. A-24. banks; and nondeposit trust companies. 3 Reciprocal balances excluded beginning with 1942. For the period June 1941-June 1962 member banks include mutual 4 Includes other assets and liabilities not shown separately. See also savings banks as follows: three before Jan. 1960; two through Dec. 1960, note 1. and one through June 1962. Those banks are not included in insured 5 Beginning with Dec. 31,1947, the series was revised; for description, commercial banks. see note 4, p. 587, May 1964 Bulletin. Beginning June 30, 1969, commercial banks and member banks exclude 6 Figures for this and later dates take into account the following changes a small national bank in the Virgin Islands; also, member banks exclude, (beginning June 30, 1969) for commercial banks: (1) inclusion of consol and noninsured commercial banks include, a small member bank engaged idated reports (including figures for all bank-premises subsidiaries and exclusively in trust business. other significant majority-owned domestic subsidiaries) and (2) reporting Comparability of figures for classes of banks is affected somewhat by of figures for total loans and for individual categories of securities on a changes in F.R. membership, deposit insurance status, and the reserve gross basis—that is, before deduction of valuation reserves—rather than classifications of cities and individual banks, and by mergers, etc. 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
MARCH 1971 □ COMMERCIAL BANKS A 23 LOANS AND INVESTMENTS (In billions of dollars) Seasonally adjusted Not seasonally adjusted Period Securities Securities Total i,2 Loans1, 2 Total1,2 Loans1, 2 U.S. Other2 U.S. Other2 Govt. Govt. 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—Dec 313.............................................................. 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................................................................ 403.5 277.0 52.4 74.0 403.5 276.9 52.3 74.3 May 27................................................................ 405.9 278.0 53.4 74.5 403.9 277.0 52.6 74.3 June 30.......................................................... 406.4 277.4 54.1 75.0 410.1 282.9 51.6 75.6 July 29................................................................ 412.8 281.5 55.8 75.5 412.6 283.4 53.5 75.7 Aug. 26................................................................ 418.3 284.1 57.5 76.7 415.4 283.2 55.1 77.1 Sept. 30................................................................ 423.7 287.3 57.6 78.8 423.3 288.0 55.8 79.5 Oct 28p.............................................................. 424.0 286.9 56.3 80.8 423.6 285.5 57.1 81.0 Nov. 25p............................................................. 427.3 287.7 56.5 83.2 426.8 286.2 58.0 82.6 Dec. 31 e.............................................................. 432.5 288.9 58.0 85.6 442.4 295.5 61.2 85.7 1971—Jan. 27».............................................................. 438.0 291.2 58.4 88.4 437.1 288.5 61.3 87.3 Feb. 24*............................................................... 443.6 294.3 59.6 89.8 440.0 289.8 61.2 89.0 1 Adjusted to exclude interbank loans. are now reported gross, without valuation reserves deducted, rather than 2 Beginning June 9, 1966, about $1.1 billion of balances accumulated net of valuation reserves as was done previously. For a description of the for payment of personal loans were deducted as a result of a change in revision, see Aug. 1969 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 “Loans.” ing Bulletins: July 1962, pp. 797-802; July 1966, pp. 950-55; and Sept. 3 Beginning June 30, 1969, data revised to include all bank-premises 1967, pp. 1511-17. subsidiaries and other significant majority-owned domestic subsidiaries; Data are for last Wed. of month except for June 30 and Dec. 31; data earlier data include commercial banks only. Also, loans and investments 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. 31, June 30, Dec. 31, June 30, Class of Dec. 31, June 30, Dec. 31, June 30, bank 1968 1969 1969 1970 bank 1968 1969 1969 1970 All commercial......................... 1,216 1,150 1,131 945 All member—Cont. Insured................................... 1,216 1,149 1,129 943 Other reserve city............... 332 293 304 222 National member.................. 730 694 688 536 605 588 571 492 State member........................ 207 187 188 178 All nonmember...................... 278 269 255 230 All member............................... 937 881 876 714 278 268 253 229 Noninsured......................... 2 2 Note.—These hypothecated deposits are excluded from Time deposits These deposits have not been deducted from Time deposits and Loans and Loans at all commercial banks beginning with June 30, 1966, as for commercial banks as shown on pp. A-21 and A-22 and on pp. A-24 shown in the tables on the following pages: A-l 9, A-20, and A-26—A-30 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 □ MARCH 1971 LOANS AND INVESTMENTS BY CLASS OF BANK (In millions of dollars) Other loans 1 Investments purc F h o a r s ing To U.S. Treasury b C a l n a k s s a o nd f lo T a a o n n t d a s l t f F e u e r n a d d l s C m o e m r Agri- o s r e c c a u r r r it y i i e n s g in f s in ti a t n u c ti i o a n l s Real Ot t h o er, securities 6 S a t n a d te call date invest sold, Total cial cul- es in- Other local Other ments etc. 2 3,4 a i n n d a tu l r- 5 b T ro o tate v d i i d - - 5 Bills g se o c v u t. r s it e i c es u 5 d tr u ia s l k a e n r d s ot T h o ers BanksOthers uals3 Total ce a r n t d ifi Notes Bonds rities deal cates ers Total: 2 1947—Dec. 31.. 116,284 38,057 18,1671,660 8301,220 115 9,393 5,723 94769,221 9,982 6,03453,205 5,2763,729 1968—Dec. 31..402,477 6,747259,72798,3579,7186,625 4,108 2,206 13,72965,13758,3376,72464,466 58,57012.967 1969—Dec. 31 io422,728 9,928286,75010844310,3295,739 4,027 2,488 15,06270,02063,2567,388 54,709 59,183 12,158 1970—June 30..424,18411,193285,843 108,36111,2333,972 3,565 2,52214,39370,55064,1807,06851,569 62,975 12,604 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 3,651 333 1945—Dec. 31.. 121,809 25,765 9,461 1.314 3,164 606 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 823i; 190 114 9,266 5,654 91467,941 9,676 5,91852,347 5,1293,621 1968—Dec. 31..399,566 6,5262;: 58,07497,7419,7006,4094,063 2,145 13,62164,80458,1426,655 64,028 58,288 12,650 1969—Dec. 31 io419,746 9,693 22!8 4,945107,68510.314 5,6443,991 2,425 14,89069,66963,008 7,319 54,399 58,84011,869 1970—June 30..421,141 10,8672*!84,096 107,56711,2153,886 “ 541 2,457 14,24870,25263,921 7,009 51,248 62,619 12,311 Member—Total: 1941—Dec. 31.. 43,521 18,021 8,671 972 594 598 39 3,494 3,653 19,539 971 3,007 15,561 3,0902,871 1945—Dec. 31.. 107,183 22,775 8,949 855 ,1333.378 47 3,455 1,900 1,057 78,338 19,260 14,27144,807 3,254‘ 815 1947—Dec. 31.. 97,846 32,628 16,9621,046 811 1,065 113 7,130 4,662 83957,914 7,803 4,81545,295 4,1993; 105 1968—Dec. 31..326,023 5,551 215,671 87,8195,921 6,1743.379 2,012 12,79750,461 45,4046,18947,881 48,4238,498 1969—Dec. 31 io337,613 7, 3562“:35,63996,0956,1875,408 ‘ 286 2,258 14,03553,20748,3886,77639,833 47,227 , 558 1970—June 30.. 336,266 8,267232,54895,1906,6263,7492,920 2,22813,45253,21548,7296,43937,324 50,1088,019 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 ,172 26 80 287 27217,574 3,910 3,325 10,339 606 629 1947—Dec. 31.. 20,393 7,179 5,361 545 267 93 111 564 23811,972 1,642 558 9,772 638 604 1968—Dec. 31 57,047 747 42,22225,258 17 3,803 903 1,099 3,426 3,619 3,485 1,694 5,984 7,233 861 1969—Dec. 31 io 60,333 802 47,50328,189 12 3,695 776 1,047 4,547 3,835 3,595 1,807 5,048 6,192 788 1970—June 30.. 57,088 553 44,32826,692 16 2,444 741 1,228 4,178 3,728 3,773 1,528 4,413 6,847 948 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 1.219 738 848 281 1,863 1,810 315 1969—Dec. 31 io 14,365 215 10,556 6,444 337 262 186 1.219 842 862 354 1,564 1,837 192 1970—June 30.. 14,648 383 10,603 6,635 379 141 152 1,154 823 942 331 1,540 1,861 261 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—Dec. 31 io121,628 3,021 88,18037,701 1,386 878 1,300 876 6.006 19,706 17,5692,757 11,944 16,625 1,859 1970—June 30.. 121,435 3,473 86,901 37,5021,478 5881,151 689 5,981 19,53617,1562,82011,372 17,7331,955 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 2,14727,16424,1541,69424.998 21,2695,095 1969—Dec. 311 141,286 3,318 89,401 23,7624,739 498 947 148 2,26328,82426,362 1,85821,278 22,5724,718 1970—June 30.. 143,095 3,858 90,71624,361 5,088 337 887 159 2,13929,12726,8581,759 19.999 23,6674,855 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 1,073 625 1968—Dec. 31.. 76.454 1,196 44,056 10,5383,797 451 729 194 93214,67612,933 535 16,585 10,1474,469 1969—Dec. 311 85,115 2,572 51,111 12,3484,141 329 741 231 1,02816,81 14,868 61214,875 11,9564,600 1970—June 30. 87,919 2,926 53,296 13,171 4,606 223 645 294 941 17,336 15,451 629 14,245 12,8764,585 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-19—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), Deposits Accumulated for Payment of Personal at book value; they do not add to the total (shown at book value) and are 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
MARCH 1971 □ 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 s B F w e R a r . i n v R e th e k . s s r C c e a o n n u i c d r n y b m a w a B d n e n i c a o s t k e l t h i s s c 7 j m u p D s o a d a t d s e e e n i d t d s 8 D In o t erba F nk or G U o .S vt . . S l a o t n c a d a te l C c o a f e e i f n e r f r d d i t s i ’ IPC I b n a t n e k r G P U a o o n . s v S d t t . a . l S l a o t n c a a d te l IPC3 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 mestic7 eign9 govt. checks, Sav govt. etc. ings Total: 3 1947—Dec. 31.... 17,796 2,216 10,216 87,123 11,362 1,430 1,343 6,799 2,581 84,987 240 111 866 34,383 6510,059 1968—Dec. 31.... 21,230 7,195 18,910 167,145 22,501 2,245 5,010 16,876 9,684 173,341 1,211 36819,110 184,8928,89937,006 1969—Dec. 31 io.. 21,449 7,320 20,314 172,079 24,553 2,620 5,054 17,558 11,899 179,413 735 211 13,221 181,443 18,36039,978 1970—June 30.... 21,526 7,090 18,208158,241 23,759 2,579 8,076 17,062 10,254 165,683 898 20217,148187,713 18,54641,708 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—Dec. 31 io.. 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 1970r—June 30---- 21,526 7,061 17,577156,743 23,624 2,393 8,040 16,955 10,073 164,725 829 20217,088 187,166 18,21541,159 Membe —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 11,279 131,491 21,483 2,036 4,309 12,851 8,592 142,476 1,061 33015,668 147,5458,45830,060 1969—Dec. 31io.. 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 1970—June 30.. .. 21,526 5,476 10,617 121,562 22,809 2,313 6,957 12,930 9,179 133,807 691 16813,142 144,233 17,50733,184 New York City: 1941—Dec. 31___ 5 105 93 141 10,761 3,595 607 866 319 450 11,282 6 29 778 1,648 1945—Dec. 31.... 4*015 111 78 15,065 3,535 1,105 6,940 237 1,338 15,712 17 10 20 1,206 195 2,120 1947—Dec. 31.... 4,639 151 70 16,653 3,236 1,217 267 290 1,105 17,646 12 12 14 1,418 30 2,259 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—Dec. 3110.. 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 1970—June 30.... 4,621 429 606 17,479 9,474 1,673 1,236 1,136 5,628 25,825 321 40 572 14,7084,057 6,374 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—Dec. 31 io.. 869 123 150 5,221 1,581 96 175 268 229 6,273 15 1 216 4,409 1,290 1,517 1970—June 30.... 885 96 135 4,683 1,607 75 347 326 178 5,597 16 1 390 4,729 1,507 1,566 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—Dec. 31 io.. 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 1970—June 30. ... 8,784 1,728 2,810 40,393 9,021 509 3,115 3,798 1,723 47,797 273 67 6,005 51,5889,779 11,868 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 80411,807 1969—Dec. 31 io.. 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 1970—June 30.... 7,236 3,222 7,066 59,008 2,707 56 2,259 7,670 1,650 54,587 81 60 6,176 73,2072,16413,377 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—Dec. 311 o 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 1970—June 30 1,614 7,592 36,678 949 266 1,119 4,132 1,075 31,877 207 34 4,005 43,480 1,038 8,523 7 Beginning with 1942, excludes reciprocal bank balances. Note.—Data are for all commercial banks in the United States; member 8 Through 1960 demand deposits other than interbank and U.S. banks in U.S. possessions were included through 1968 and then excluded. 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 Dec. 1960, Govt., less cash items in process of collection. and one through June 1962. Those banks are not included in all insured or 9 For reclassification of certain deposits in 1961, see note 6, p. 589, total banks. May 1964 Bulletin. Beginning June 30, 1969, a small noninsured member bank engaged 10 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. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 26 WEEKLY REPORTING BANKS a MARCH 1971 ASSETS AND LIABILITIES OF LARGE COMMERCIAL BANKS (In millions of dollars) Loans Federal funds sold, etc.1 Other To brokers For purchasing and dealers or carrying 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 se 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 1970 Feb. 4... 231,948 6,304 5,972 145 97 90 168,493 78,029 1,983 458 3,266 87 2,395 5,893 5,763 11... 231,127 6,070 5,792 100 132 46 167,776 78,126 1,984 397 2,938 89 2,389 5,735 5,616 18... 230,882 6,460 6,288 73 71 28 167,523 78,198 1,994 402 2,886 91 2,378 5,571 5 597 25... 230,970 6,128 5,825 121 107 75 167,796 78,037 1,996 673 3,108 91 2,370 5,512 5,538 1971 Jan. 6... 261,142 9,495 7,761 1,119 387 228 177,799 81,495 2,051 1,522 3,770 130 2,345 7,072 6.080 13... 258,273 8,994 7,467 1,127 282 118 175,624 81,008 2,016 1,066 3,513 129 2,351 6,712 5 997 20... 255,996 7,715 6,694 631 238 152 174,788 80,931 2,017 886 3,133 140 2,361 6,692 6,031 27... 255,554 7,872 6,505 1,009 230 128 174,453 80,039 2,016 1,377 3,466 142 2,307 6,558 6,059 Feb. 3?. . 258,967 9,690 7,639 1,502 328 221 175,021 80,265 2,010 1,413 3,429 146 2,325 6,986 6,012 10?. . 259,270 10,252 7,858 1,956 355 83 174,731 80,349 2,012 1,597 3,332 143 2,321 6,628 5,997 17p. . 256,538 7,794 7,061 330 338 65 174,846 80,764 2,032 774 3,468 142 2,323 6,712 6,017 24p. . 257,168 9,012 7,453 1,194 342 23 174,538 80,776 2,023 1,174 3,267 144 2,330 6,391 6,021 New York City 1970 Feb. 4............. 54,247 2,412 2,352 10 10 40 41,695 25,481 15 347 2,070 7 755 1,994 1,678 11............. 53,253 1,676 1,598 40 10 28 41,344 25,580 14 275 1,788 7 752 1,917 1,640 18............. 53,363 2,236 2,188 20 10 18 41,180 25,518 13 323 1,769 8 752 1,869 1,628 25............ 53,334 1,676 1,621 40 15 41,609 25,477 13 559 1,958 8 751 1,845 1,617 1971 Jan. 6............ 58,793 1,168 1,019 45 104 43,314 25,806 32 1,268 2,450 12 642 2,031 1,360 13............ 57,587 1,401 1,240 114 47 42,331 25,687 13 882 2,293 15 641 1,865 1,354 20............ 56,378 935 865 35 35 41,796 25,627 16 760 1,892 13 656 1,895 1,337 27............ 56,847 1,194 1,103 45 46 41,936 25,237 16 1,113 2,156 13 625 1,941 1,355 Feb. 3p.......... 58,024 1,671 1,519 45 107 42,490 25,412 16 1,146 2,186 12 619 2,132 1,406 10?.......... 57,289 1,317 1,201 70 2 44 42,468 25,468 15 1,371 2,137 13 615 1,957 1,399 17?.......... 56,408 1,048 1,001 30 17 42,452 25,658 15 671 2,223 13 616 2,134 1,427 24?.......... 56,986 1,693 1,588 90 15 42,344 25,754 15 1,000 2,080 16 614 1,936 1,468 Outside New York City 1970 Feb. 4.... 177,701 3,892 3,620 135 87 50 126,798 52,548 1,968 111 1,196 80 1,640 3,899 4,085 11.... 177,874 4,394 4,194 60 122 18 126,432 52,546 1,970i 122, 1,150 82 1,637 3,818 3,976 18.... 177,519 4,224 4,100 53 61 10' 126,343 52,680 1,981 79 1,117 83 1,626 3,702 3,969 25.... 177,636 4,452 4,204 81 107 60i 126,187 52,560 1,983 114 1,150i 83 1,619 3,667 3,921 1971 Jan. 6.... 202,349 8,327 6,742 1,074 387 124[ 134,485 55,689 2,019 254 1,320i 118 1,703 5,041 4,720 13.... 200,686 7,593 6,227 1,013i 282 71 133,293 55,321 2,003 184 1,220» 114 1,710i 4,847 4,643 20.... 199,618 6,780 5,829 596 238! 117r 132,992 55,304 2,001 126 1,241 127 1,705 4,797 4,694 27.... 198,707 6,678 5,402 964; 23C> 821 132,517 54,802 2,0001 264 1,310I 129 1,682 4,617 4,704 Feb. 3?. .. 200,943 8,019 6,120 1,457r 3281 114\ 132,531 54,853 1,994r 267 1,243 134 1,706i 4,854 4,606 10?... 201,981 8,935 6,657 1,8861 3531 3S> 132,263 54,881 1,997 226i 1,195 130i 1,706 4,671 4,598 17?.., 200,13C 6,746 6,06C 30C) 33£\ 48I 132,394 55,106 2,017 103 1,245 129 1,707 4,578 4,590 24?.., 200,182 7,319 5,865 1,104\ 342* 8I 132,194 55,022 2,008! 174 1,187 128; 1,716i 4,455 4,553 For notes see p. A-30. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 □ 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 i yr. 5 yrs. 5 yrs. tic Large Banks— Total 1970 33,603 489 1,443 20,254 935 13,895 22,057 2,695 3,662 12,972 2,728 .......................Feb. 4 33,527 497 1,489 20,249 944 13,796 21,864 2,499 3,670 12,990 2,705 .................................11 33,520 491 1,447 20,216 949 13,783 21,561 2,058 3,060 13,808 2,635 ............................... 18 33,522 499 1,511 20,216 956 13,767 21,534 2,150 2,874 13,853 2,657 .................................25 1971 34,308 669 1,528 21,788 814 14,227 28,631 6,514 4,240 15,070 2,807 .......................Jan. 6 34,281 627 1,531 21,772 814 13,807 28,329 6,247 4,265 14,998 2,819 .................................13 34,245 660 1,508 21,717 798 13,669 28,349 6,239 4,386 15,005 2,719 .................................20 34,284 619 1,557 21,709 786 13,534 28,268 5,946 4,637 14,916 2,769 .................................27 34,290 457 1,458 21,703 790 13,737 28,576 6,270 4,719 14,840 2,747 .........................Feb. 3 p 34,307 465 1,454 21,635 797 13,694 28,259 5,868 4,717 14,954 2,720 .................................10 p 34,379 534 1,481 21,579 779 13,862 27,762 5,425 3,033 15,007 4,297 .................................17p 34,432 462 1,465 21,575 774 13,704 27,593 5,232 2,994 15,221 4,146 .................................24 p New York City 1970 3,300 269 771 1,655 573 2,780 4,284 974 512 2,363 435 .........................Feb. 4 3,314 276 798 1,654 585 2,744 4,218 846 546 2,397 429 ...................................11 3,329 282 769 1,658 596 2,666 3,992 670 311 2,698 313 ...................................18 3,341 282 824 1,657 595 2,682 4,052 746 289 2,698 319 ...................................25 1971 3,458 185 878 1,900 498 2,794 5,782 1,838 513 2,980 451 .........................Jan. 6 3,511 136 895 1,912 504 2,623 5,353 1,401 518 2,987 447 ...................................13 3,511 185 901 1,911 497 2,595 5,357 1,293 627 3,016 421 ...................................20 3,520 152 914 1,905 479 2,510 5,687 1,389 875 2,986 437 ...................................27 3 3 3 , , , 5 5 5 2 2 4 5 7 6 2 1 1 4 2 4 5 3 6 8 8 8 1 0 2 5 0 4 1 1 1 , , , 8 8 8 9 5 6 9 9 0 4 5 49 9 0 1 5 5 2 2 2 , , , 6 7 6 5 8 5 7 2 0 5 5 4 , , , 5 7 9 4 7 9 8 2 0 1 1 1 , , , 4 0 2 9 7 4 1 3 2 9 8 3 0 8 8 3 9 3 2 2 2 , , , 9 9 8 8 6 8 5 9 0 4 4 6 2 3 3 7 2 6 . . . . . . . . . .. . . . . . .. . . . . . .. . . . . . . . . .. . . . . . .. . . . . . .. . . . . . . . . .. . . F . . . . e . . b . . . . . . . 1 1 O 7 3 * p p 3,552 145 831 1,857 494 2,582 5,062 1,115 376 2,984 587 ........................24^ Outside New York City 1970 30,303 220 672 18,599 362 11,115 17,773 1,721 3,150 10,609 2,293 .........................Feb. 4 30,213 221 691 18,595 359 11,052 17,646 1,653 3,124 10,593 2,276 ...................................11 30,191 209 678 18,558 353 11,117 17,569 1,388 2,749 11,110 2,322 ...................................18 30,181 217 687 18,559 361 11,085 17,482 1,404 2,585 11,155 2,338 ...................................25 1971 30,850 484 650 19,888 316 11,433 22,849 4,676 3,727 12,090 2,356 .........................Jan. 6 30,770» 491 636 19,860 310 11,184 22,976 4,846 3,747 12,011 2,372 ...................................13 30,734 475 607 19,806 301 11,074 22,992 4,946 3,759 11,989 2,298 ...................................20 30,764 467 643 19,804 307 11,024 22,581 4,557 3,762 11,930 2,332 ...................................27 30,7631 312 643 19,804 295 11,057 22,786 4,779 3,816 11,871 2,320 ........................Feb. 5* 30,7821 319 654 19,775 292 11,037 22,711 4,626 3,828 11,969 2,288 ........................IO* 30,833\ 311 657 19,720i 288 11,110' 22,790 4,352 2,650 12,127 3,661 ..................................17* 30,88C) 317 634 19,718! 280' 11,122 22,531 4,117 2,618 12,237 3,559 .................................24p For notes see p. A-30. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 28 WEEKLY REPORTING BANKS □ MARCH 1971 ASSETS AND LIABILITIES OF LARGE COMMERCIAL BANKS— Continued (In millions of dollars) Investments (cont.) Other securities Cash Invest Obligations Other bonds, items Re Bal ments Total of State corp. stock, in serves Cur ances in sub assets/ Wednesday and and process with rency with sidiar Other total political securities of F.R. and do ies not assets liabil Total subdivisions collec Banks coin mestic consol ities tion banks idated Tax Certif. war All of All rants3 other partici other5 pation4 Large Banks— Total 1970 Feb. 4............................. 35,094 3,302 28,191 999 2,602 32,626 17,989 2,930 4,922 637 13,420 304,472 11............................. 35,417 3,376 28,361 999 2,681 32,114 16,898 3,089 4,831 636 13,466 302,161 18............................. 35,338 3,321 28,369 1,002 2,646 34,194 17,453 3,149 4,844 641 13,257 304,420 25............................. 35,512 3,383 28,241 1,025 2,863 31,123 16,282 3,310 4,758 641 13,198 300,282 1971 Jan. 6............................. 45,217 6,715 32,384 1.272 4,846 33,489 19,626 3,539 7,205 717 14,643 340,361 13............................. 45,326 6,795 32,509 1,267 4,755 33,386 18,260 3,733 6,535 718 14,510 335,415 20............................. 45,144 6,675 32,413 1,249 4,807 31,484 20,562 3,506 6,021 721 14,783 333,073 27............................. 44,961 6,237 32,629 1.273 4,822 29,751 18,865 3,563 5,664 722 14,480 328,599 Feb. 3v........................... 45,680 6,486 32,919 1,210 5,065 31,870 17,978 3,202 6,358 725 14,897 333,997 10?.................. 46,028 6,688 33,044 1,234 5,062 30,802 16,105 3,381 7,021 724 14,912 332,215 n*................... 46,136 6,838 32,972 1,238 5,088 36,931 21,808 3,454 7,319 733 14,799 341,582 24*................... 46,025 6,850 32,981 1,159 5,035 29,520 17,212 3,529 6,410 734 14,503 329,076 New York City 1970 Feb. 4........................... 5,856 786 4,366 91 613 16,436 4,632 401 454 281 4,837 81,288 11........................... 6,015 851 4,445 101 618 17,152 4,338 398 550 281 4,950 80,922 18........................... 5,955 804 4,473 93 585 18,160 4,839 403 399 287 4,946 82,397 25........................... 5,997 844 4,398 82 673 15,833 4,666 419 398 287 4,823 79,760 1971 Jan. 6........................... 8,529 1,983 5,292 129 1,125 13,547 5,152 459 1,107 337 5,152 84,547 13............................. 8,502 1,973 5,290 134 1,105 15,955 4,726 464 1,076 337 5,046 85,191 20........................... 8,290 1,882 5,147 131 1,130 14,619 5,518 425 1,113 338 5,420 83,811 27........................... 8,030 1,479 5,296 131 1,124 14,346 4,922 427 974 339 5,112 82,967 Feb. 1 3 0 p ?. .. . . . .. . . . .. . . . . . .. . . . .. . . . .. . . . . . .. . . . .. . 8 7 , , 0 9 7 5 3 6 1 1 , , 4 37 8 5 9 5 5 , , 2 3 3 4 9 2 1 11 3 1 4 1 1 , , 2 1 1 2 1 8 1 15 4 , , 4 4 6 3 1 7 4 4 , , 3 6 5 4 9 2 4 4 4 3 6 0 1 1, , 1 5 2 4 8 6 3 34 4 1 0 5 5 , ,3 3 1 0 5 8 8 8 5 4 . . 0 0 3 3 3 3 17*......................... 7,936 1,440 5,273 100 1,123 17,251 6,112 435 1,612 343 5,314 87,475 24*......................... 7,887 1,431 5,241 88 1,127 13,695 4,431 423 1,185 345 5,224 82,289 Outside New York City 1970 Feb. 4. 29,238 2.516 23,825 908 1,989 16,190 13,357 2,529 4,468 356 8,583 223,184 11. 29,402 2,525 23,916 898 2,063 14,962 12,560 2,691 4,281 355 8,516 221,239 18. 29,383 2.517 23,896 909 2,061 16,034 12,614 2,746 4,445 354 8,311 222,023 25. 29,515 2,539 23,843 943 2,190 15,290 11,616 2,891 4,360 354 8,375 220,522 1971 Jan. 6. 36,688 4,732 27,092 1,143 3,721 19,942 14,474 3.080 6,098 380 9,491 255,812 13. 36,824 4,822 27,219 1,133 3,650 17,431 13,534 3,269 5,459 381 9,464 250,224 20. 36,854 4,793 27,266 1,118 3,677 16,865 15,044 3.081 4,908 383 9,363 249,264 27. 36,931 4,758 27,333 1,142 3,698 15,405 13,943 3,136 4,690 383 9,368 245,632 Feb. 3*. 37,607 4,997 27,680 1,076 3,854 17,433 13,619 2,772 5,230 385 9,582 249,964 10p. 38,072 5,313 27,702 1,123 3,934 15,341 11,463 2,935 5,475 383 9,604 247,182 17*. 38,200 5,398 27,699 1,138 3,965 19,680 15,696 3,019 5,707 390 9,485 254,107 24*. 38,138 5,419 27,740 1,071 3,908 15,825 12,781 3,106 5,225 389 9,279 246,787 For notes see p. A-30. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 a WEEKLY REPORTING BANKS A 29 ASSETS AND LIABILITIES OF LARGE COMMERCIAL BANKS—Continued (In millions of dollars) Deposits Demand Time and savings Domestic interbank Foreign IPC States States Wednesday and Certi and Do polit fied polit mes For Total IPC ical U.S. and Total6 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. 2 cial checks ings sions banks Large Banks— Total 1970 135,328 92,012 6,739 5,088 17,645 690 709 2,200 10,245 94,893 45,734 35,607 6,649 280 6,355 ..................Feb. 4 132,284 90,273 6,528 4,095 17,492 640 736 2,238 10,282 95,117 45,667 35,621 6,624 279 6,660 ............................11 134,659 90,392 6,226 5,581 17,544 653 826 2,137 11,300 95,351 45,641 35,462 6,655 280 6,865 ............................18 131,912 90,335 6,323 5,473 16,995 611 753 2,272 9,150 95,621 45,618 35,658 6,764 277 7,052 ............................25 1971 147,657 102,750 6,996 4,075 22,981 788 780 2,359 6,928 120,844 48,800 52,500 13,387 1,280 4,373 ............... Jan. 6 142,363 99,356 6,307 2,994 21,966 763 826 2,411 7,740 121,989 48,834 53,303 13,503 1,521 4,332 ............................13 139,596 97,053 6,114 4,968 20,396 662 850 2,483 7,070 122,774 48,974 53,626 13,812 1,570 4,299 ............................20 138,249 94,883 6,460 6,563 19,651 636 872 2,286 6,898 123,102 49,145 53,770 13,900 1,576 4.253 ............................27 141,118 94,435 7,179 6,747 21,461 700 789 2,332 7,475 123,628 49,456 53,733 14,153 1,555 4.253 ..................Feb. 3 p 137,736 93,091 6,642 4,873 21,927 663 799 2,380 7,361 124,575 49,793 54,273 14,325 1,564 4,129 ............................IO* 145,510 98,310 7,045 5,235 22,952 735 836 2,505 7,892 124,772 50,139 54,415 14,155 1,559 3,974 ............................17® 135,248 93,743 6,483 4,320 20,175 608 796 2,319 6,804 125,842. 50,458 54,889 14,497 1,533 3,931 ............................24 p New York City 1970 42,438 22,851 685 1,486 6,921 413 541 1,584 7,957 13,197 4.360 4,230 109 154 4,226 ..................Feb. 4 41,845 22,123 617 987 7,393 375 560 1,592 8,198 13,366 4.360 4,176 117 152 4,446 ............................11 43,091 22,040 553 1,348 7,374 376 665 1,482 9,253 13,445 4,362 4,167 121 151 4,530 ............................18 41,10.3 22,058 557 1,435 7,348 360 600 1,601 7,144 13,552 4,356 4,126 122 151 4,691 ............................25 1971 41,945 24,139 635 875 9,599 451 627 1,656 3,963 19,480 4,587 10,636 979 680 2,461 ..................Jan. 6 42,603 23,061 572 678 10,189 433 653 1,781 5,236 19,836 4,603 10,813 1,000 886 2,397 ............................13 41,109 22,911 460 1,069 9,121 370 690 1,856 4,632 19,776 4,631 10,771 1,014 884 2,341 ............................20 41,476 22,631 504 1,931 9,156 350 723 1,670 4,511 19,765 4,667 10,694 1,035 885 2,350 ............................27 42,251 22,073 926 1,850 9,817 386 644 1,729 4,826 19,724 4,710 10,619 1,050 875 2,335 ..................Feb. 3 p 42,146 22,228 529 1,079 10,611 361 642 1,742 4,954 19,971 4,748 10,938 1,032 858 2,262 ............................10* 44,059 23,223 771 1,115 10,654 388 677 1,812 5,419 19,955 4,795 10,983 1,027 855 2,162 ............................17* 40,003 22,375 550 850 9,304 320 623 1,653 4,355 20,290 4,830 11,302 1,020 856 2,149 ............................24 p Outside New York City 1970 92,890 69,161 6,054 3,602 10,724 277 168 616 2,288 81,696 41,374 31,377 6,540 126 2,129 ..................Feb. 4 90,439 68,150 5,911 3,108 10,099 265 176 646 2,084 81,751 41,307 31,445 6,507 127 2,214 ............................11 91,568 68,352 5,673 4,233 10,170 277 161 655 2,047 81,906 41,279 31,475 6,534 129 2,335 ............................18 90,809 68,277 5,766 4,038 9,647 251 153 671 2,006 82,069 41,262 31,532 6,642 126 2,361 ............................25 1971 105,712 78,611 6,361 3,200 13,382 337 153 703 2,965 101,364 44,213 41,864 12,408 600 1,912 ..................Jan. 6 99,760 76,295 5,735 2,316 11,777 330 173 630 2,504 102,153 44,231 42,490 12,503 635 1,935 ............................13 98,487 74,142 5,654 3,899 11,275 292 160 627 2,438 102,998 44,343 42,855 12,798 686 1,958 ............................20 96,773 72,252: 5,956i 4,632 10,495 286 149 616 2,387 103,337 44,478 43,076 12,865 691 1,903 ............................27 98,867 72,362! 6,253I 4,897 11,644 314 145 603 2,649 103,904 44,746 43,114 13,103 680 1,918 95,590 70,863I 6,113i 3,794• 11,316 302 157 638 2,407 104,604 45,045 43,335 13,293 706 1,867 ............................10? 101,451 75,087r 6,274t 4,12CI 12,298 347 159 693 2,473 104,817 45,344 43,432 13,128 704 1,812 ............................17* 95,218 71,36?1 5,9331 3,47C> 10,871 288 173 666 2,449 105,552 45,628 43,587 13,477 677 1,782 ............................24* For notes see p. A-30. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 30 WEEKLY REPORTING BANKS a MARCH 1971 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 deposits u 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 i o Total to to foreign justed 9 IPC’s others bran ches Large Banks— Total 1970 Feb. 4......................... 16,864 926 2,857 25,966 4.032 23,528 168,336 225,487 79,969 10,274 4.869 5,405 13,470 11......................... 17,804 807 2,860 25,684 4.031 23,496 167,557 224,838 78,583 10,471 4.870 5,601 13,247 18......................... 18,005 469 2,839 25,526 4.031 23,462 167,204 224,103 77,340 10,676 4,879 5,797 12,977 25......................... 16,606 522 2,812 25,250 4.033 23,449 167,600 224,646 78,321 10,839 4,874 5,965 13,086 1971 Jan. 6......................... 20,013 258 1,364 21,392 4,012 24,746 178,864 252,712 87,112 26,216 17,214 9,002 7,438 13......................... 19,011 245 1,329 21,638 4.059 24,709 176,524 250,179 84,017 27,046 17,715 9,331 7,861 20......................... 17,903 1,445 1,216 21,321 4.059 24,682 175,149 248,642 82,748 27,278 17,823 9,455 7,823 27......................... 16,698 675 1,157 19,900 4,062 24,679 175,201 248,430 82,284 27,193 17,745 9,448 6,537 Feb. 3*....................... 19,043 218 1,034 19,941 4.071 24,865 176,615 250,871 81,040 26,995 17,502 9,493 6,435 10*................. 19,048 236 968 20,645 4.071 24,857 176,660 250,947 80,134 27,415 17,843 9,572 6,236 17*....................... 19,890 1,500 964 19,947 4.069 24,849 175,045 248,943 80,392 27,225 17,795 9,430 5,873 24*....................... 18,035 227 933 19,772 4.069 24,868 175,635 249,253 81,233 27,489 18,024 9,465 5,662 New York City 1970 Feb. 4......................... 4,028 239 341 13,774 1,201 6,069 41,486 51,626 17,595 2,401 529 1,872 8,778 11......................... 4,650 339 13,460 1,201 6,060 41,146 51,379 16,313 2,523 540 1,983 8,362 18......................... 4,817 89 336 13,357 1,202 6,059 40,946 50,893 16,209 2,607 538 2,069 8,294 25......................... 4,231 341 13,283 1,204 6,045 41,382 51,431 16,487 2,690 532 2,158 8,272 1971 Jan. 6......................... 5,571 168 9,994 1,169 6,220 43,278 57,589 17,924 7,989 5,736 2,253 4,571 13......................... 4,886 182 10,316 1.203 6.165 42,356 56,211 15,781 8,314 5,934 2,380 4,796 20......................... 4,476 602 163 10,318 1,202 6.165 41,681 55,328 16,300 8,326 5,924 2.402 4,808 27......................... 4,413 184 157 9,622 1.204 6,146 41,875 55,592 16,043 8,224 5,822 2.402 4,206 Feb. 3*....................... 5,090 116 9,413 1,210 6,229 42,497 56,360 16,147 8,063 5,716 2,347 4,141 \0v....................... 5,698 83 9,704 1.209 6,222 42,438 55,942 14,995 8,306 6,022 2,284 3,866 17*....................... 6,293 499 84 9,153 1.210 6,222 42,276 55,184 15,039 8,310 6,058 2,252 3,776 24*....................... 5,573 83 8,893 1,214 6,206 42,304 55,253 16,181 8,514 6,295 2,219 3,449 Outside New York City 1970 Feb. 4......................... 12,836 687 2,516 12,192 2,831 17,459 126,850 173,861 62,374 7,873 4.340 3,533 4,692 11......................... 13,154 807 2,521 12,224 2,830 17,436 126,411 173,459 62,270 7,948 4,330 3,618 4,885 18......................... 13,188 380 2,503 12,169 2.829 17.403 126,258 173,210 61,131 8,069 4.341 3,728 4,683 25......................... 12,375 522 2,471 11,967 2.829 17.404 126,218 173,215 61,834 8,149 4.342 3,807 4,814 1971 Jan. 6......................... 14,442 258 1,196 11,398 2,843 18,526 135,586 195,123 69,188 18,227 11,478 6,749 2,867 13......................... 14,125 245 1,147 11,322 2.856 18,544 134,168 193,968 68,236 18,732 11,781 6,951 3,065 20......................... 13,427 843 1,053 11,003 2.857 18,517 133,468 193,314 66,448 18,952 11,899 7,053 3,015 27......................... 12,285 491 1,000 10,278 2.858 18,533 133,326 192,838 66,241 18,969 11,923 7,046 2,331 Feb. 3*....................... 13,953 218 918 10,528 2,861 79 18,636 134,118 194,511 64,893 18,932 11,786 7,146 2,294 10*....................... 13,350 236 885 10,941 2,862 18,635 134,222 195,005 65,139 19,109 11,821 7,288 2,370 17*....................... 13,597 1,001 880 10,794 2.859 18,627 132,769 193,759 65,353 18,915 11,737 7,178 2,097 24*....................... 12,462 227 850 10,879 2,855 18,662 133,331 194,000 65,052 18,975 11,729 7,246 2,213 1 Includes securities purchased under agreements to resell. 8 Includes minority interest in consolidated subsidiaries. 2 Includes official institutions and so forth. 9 Exclusive of loans and Federal funds transactions with domestic com 3 Includes short-term notes and bills. mercial banks. 4 Federal agencies only. I o All demand deposits except U.S. Govt, and domestic commercial 5 Includes corporate stock. banks, less cash items in process of collection. 6 Includes U.S. Govt, and foreign bank deposits, not shown separately. II Certificates of deposit issued in denominations of $100,000 or more. ^ Includes securities sold under agreements to repurchase. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 □ BUSINESS LOANS OF BANKS A 31 COMMERCIAL AND INDUSTRIAL LOANS OF LARGE COMMERCIAL BANKS (In millions of dollars) Outstanding Net change during- 1971 1971 1970 1970 1970 Industry Feb. Feb. Feb. Feb. Jan. Feb. Jan. Dec. IV III II 2nd 1st 24 17 10 3 27 half half Durable goods manufacturing: Primary metals.................................... 2,174 2,157 2,135 2,119 2,120 54 -26 52 -169 149 155 -20 81 Machinery............................................ 5,350 5,330 5,331 5,301 5,247 103 -182 -52 -595 -173 122 -768 271 Transportation equipment................ 2,796 2,867 2,868 2,861 2,903 -107 -26 51 -69 238 31 169 127 Other fabricated metal products... 1,907 1,907 1,895 1,889 1,851 56 -57 -90 -269 -75 124 -344 249 Other durable goods.......................... 2,613 2,539 2,515 2,498 2,456 157 -98 -77 -249 51 237 -198 237 Nondurable goods manufacturing: Food, liquor, and tobacco............... 2,643 2,653 2,675 2,729 2,762 -119 -342 368 549 -199 -84 350 -499 Textiles, apparel, and leather........... 2,402 2,370 2,252 2,202 2,188 214 -130 -182 -522 127 207 -395 376 Petroleum refining.............................. 1,380 1,419 1,428 1,431 1,438 -58 -88 42 -105 -8 45 -113 -79 Chemicals and rubber....................... 2,781 2,774 2,774 2,709 2,661 120 -119 93 -22 85 -127 63 -128 Other nondurable goods................... 1,889 1,899 1,897 1,913 1,894 -5 -104 -9 -214 101 35 -113 27 Mining, including crude petroleum and natural gas............................. 3,983 3,965 3,938 3,948 4,008 -25 5 -2 -181 -76 -132 -257 -577 Trade: Commodity dealers................... 1,317 1,332 1,375 1,381 1,377 -60 -2 162 375 106 -134 481 -292 Other wholesale......................... 3,630 3,656 3,611 3,641 3,576 54 -125 18 26 52 146 78 54 4,072 4,048 4,009 4,013 4,010 62 -35 -435 -201 -107 276 -308 173 Transportation........................................ 6,145 6,159 6,168 6,154 6,133 12 133 105 119 247 60 366 -96 1,416 1,423 1,420 1,454 1,420 -4 112 47 46 -27 -30 19 -250 Other public utilities.............................. 2,386 2,350 2,331 2,403 2,373 13 25 -12 -240 -146 -38 -386 -831 Construction............................................ 3,466 3,463 3,422 3,424 3,411 55 92 146 51 149 197 66 Services..................................................... 7,233 7,249 7,247 7,273 7,307 -74 -91 296 300 225 -19 525 -147 All other domestic loans....................... 4,667 4,746 4,752 4,647 4,652 15 -274 186 -52 148 88 96 -115 Bankers’ acceptances.............................. 1,637 1,599 1,583 1,566 1,507 130 -184 638 945 241 -47 1,186 -203 Foreign commercial and industrial loans.................................................. 2,404 2,385 2,298 2,323 2,398 6 -11 79 198 57 22 255 -84 Total classified loans.............................. 68,291 68,290 67,924 67,879 67,692 599 -1,619 1,370 -184 1,068 1,086 884 -1,640 Total commercial and industrial loans. 80,781 r80,734 r80,323 80,265 r80,039 742 r-l,579 1,613 372 1,607 1,101 1,979 -1,940 See Note to table below. “TERM” COMMERCIAL AND INDUSTRIAL LOANS OF LARGE COMMERCIAL BANKS (In millions of dollars) Outstanding Net change during— 1971 1970 1970 1970 Industry F 2 e 4 b. J 2 a 7 n. D 3 e 0 c. N 2 o 5 v. O 2 c 8 t. Se 3 p 0 t. A 2 u 6 g. J 2 u 9 ly Ju 2 n 4 e T1 VV III 1IT1 j h 2n al d f Durable goods manufactur ing: Primary metals.................... 1,564 1,544 1,527 1,535 1,548 1,677 1,474 1,523 1,520 -150 157 68 -24 7 Machinery.................................. 2,634 2,666 2,681 2,690 2,826 2,924 2,920 2,824 2,784 -243 140 -16 51 -103 Transportation equipment. 1,633 1,647 1,633 1,621 1,627 1,655 1,608 1,599 1,564 -22 91 -11 74 69 Other fabricated metal products............................ 747 750 742 801 781 807 789 770 762 -65 45 3 -2 -20 Other durable goods.......... 1,222 1,107 1,089 1,131 1,136 1,141 1,135 1,158 1,132 -52 9 -30 -7 -43 Nondurable goods manufac turing : Food, liquor, and tobacco. 971 949 985 932 984 1,008 968 968 1,007 -23 1 47 7 -22 Textiles, apparel, and leather................................ 659 674 657 703 720 751 733 767 762 -94 -11 36 13 -105 Petroleum refining............... 1,142 1,191 1,213 1,220 1,230 1,248 1,183 1,199 1,266 -35 -18 11 -101 -53 Chemicals and rubber........ 1,834 1,800 1,849 1,738 1,693 1,780 1,664 1,687 1,709 69 71 -96 -24 140 Other nondurable goods. . 1,116 1,116 1,171 1,159 1,171 1,183 1,106 1,098 1,071 -12 112 -75 -5 100 Mining, including crude pe troleum and natural gas. 3,270 3,354 3,326 3,329 3,419 3,461 3,381 3,489 3,582 -135 -121 -127 -381 -256 Trade: Commodity dealers.. 79 79 79 83 73 82 82 80 88 -3 -6 10 -1 -9 Other wholesale......... 754 783 756 739 727 697 704 708 692 59 5 -4 -10 64 Retail............................ 1,459 1,450 1,399 1,371 1,351 1,360 1,334 1,292 1,308 39 52 102 -23 91 Transportation......................... 4,763 4,731 4,564 4,453 4,443 4,417 4,347 4,425 4,276 147 141 -55 -83 288 Communication....................... 398 398 415 415 386 448 487 424 408 -33 40 -68 -22 7 Other public utilities............... 1,056 1,029 1,018 1,022 1,017 1,065 1,042 1,031 1,033 -47 32 -128 -176 -15 Construction............................ 1,063 1,048 1,044 1,005 972 957 985 959 911 -87 46 8 -1 189 Services...................................... 3,154 3,186 3,209 3,208 3,069 3,132 3,060 3,049 3,017 77 115 22 4 192 All other domestic loans .... 1,319 rl,346 1,285 1,716 1,241 1,225 1,242 1,267 1,227 60 -2 15 -36 56 Foreign commercial and in dustrial loans................... 1,716 1,723 1,716 1,283 1,612 1,604 1,599 1,599 1,620 112 -16 21 -37 96 Total loans................................ 32,553 r32,571 32,358 32,205 32,026 32,622 31,843 31,916 31,739 -264 883 -267 -784 619 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 ndustrial 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 □ MARCH 1971 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—Nov. 4........... 3,963 2,781 1,182 1,797 481 1,316 11........... 3,805 2,694 1,111 1,807 489 1,318 18........... 3,731 2,617 1,114 1,820 477 1,343 25........... 3,610 2,518 1,092 1,849 472 1,377 Dec. 2........... 3,491 2,450 1,041 1,832 462 1,370 9........... 3,424 2,403 1,022 1,853 459 1,394 16........... 3,155 2,261 894 1,830 440 1,390 23........... 3,029 2,170 859 1,846 449 1,397 30........... 2,735 1,899 836 1,890 442 1,448 1971—Jan. 6........... 2,832 1,964 868 r 1,929 r453 '1,476 13........... 2,723 1,908 815 rl ,902 r432 ’•1,470 20........... 2,667 1,882 785 '1,903 r425 '1,478 27........... 2,600 1,832 768 rl ,908 r427 1,481 Feb. 3........... 2,725 1,817 908 1,914 435 1,479 10........... 2,704 1,816 888 1,909 429 1,480 17........... 2,608 1,777 831 1,883 423 1,460 24........... 2,622 1,807 815 1,878 416 1,462 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) Nov. Aug. Nov. Aug. Nov. Aug. Nov. Aug. Nov. Aug. Nov. Aug. 1970 1970 1970 1970 1970 1970 1970 1970 1970 1970 1970 1970 Percentage distribution of dollar amount Less than 7.50................................ 9.7 .8 4.7 3.7 2.3 1.4 3.5 1.0 6.7 .5 13.6 .7 7.50................................................... 35.1 .3 4.3 .7 5.9 .5 17.8 .5 27.5 47.3 .2 7.51-7.99.......................................... 16.6 .3 4.2 1.0 7.0 .6 18.0 .2 22.7 A 16.4 .4 8.00................................................... 8.9 41.9 10.7 8.7 11.0 8.2 11.5 19.5 11.3 36.5 7.2 57.3 8.01-8.49.......................................... 6.8 20.1 7.3 6.0 11.3 8.8 10.8 19.2 7.6 25.0 4.7 21.4 8.50................................................... 5.8 7.9 8.0 6.3 10.8 11.0 8.0 11.6 6.6 10.0 4.1 5.6 8.51-8.99.......................................... 3.7 7.3 9.7 8.0 10.1 13.4 7.8 12.7 2.2 6.8 1.7 4.4 9.00................................................... 3.6 6.2 11.6 14.0 9.8 13.4 6.4 9.4 4.3 6.7 1.4 3.7 9.01-9.49.......................................... 1.9 4.2 10.1 12.9 7.3 11.7 3.2 7.7 2.3 4.1 .5 1.6 9.50................................................... 2.5 3.4 7.9 11.2 7.4 9.3 4.1 5.7 2.0 3.9 1.2 1.3 Over 9.50......................................... 5.4 7.4 21.6 27.3 17.1 21.6 8.9 12.4 6.9 6.3 1.9 3.4 Total.................................... 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 Total loans: Dollars (millions)....................... 4,208.6 4,193.4 39.6 38.7 378.4 402.6 777.0 815.1 566.3 574.3 2,447.3 2,362.7 Number (thousands)................. 27.8 28.6 9.9 9.7 12.0 12.7 4.0 4.2 .9 .9 1.0 1.1 Center Weighted average rates (per cent per annum) 35 centers........................................ 8.07 8.50 8.89 9.15 8.79 9.07 8.34 8.75 8.09 8.46 7.74 8.25 New York City.......................... 7.74 8.24 8.67 9.07 8.60 8.95 8.12 8.59 7.83 8.24 7.59 8.12 7 other Northeast...................... 8.47 8.89 9.00 9.41 9.09 9.42 8.60 9.01 8.30 8.68 7.99 8.49 8 North Central........................ 8.05 8.47 8.71 8.90 8.72 8.99 8.36 8.79 8.26 8.46 7.78 8.27 7 Southeast................................. 8.15 8.49 8.72 8.76 8.64 8.79 8.16 8.54 7.95 8.45 7.78 8.15 8 Southwest................................ 8.08 8.53 8.85 9.08 8.53 8.84 8.26 8.59 7.99 8.48 7.69 8.33 4 West Coast.............................. 8.16 8.54 9.41 9.51 8.99 9.19 8.38 8.81 8.12 8.61 7.90 8.28 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
MARCH 1971 n INTEREST RATES A 33 PRIME RATE CHARGED BY BANKS (Per cent per annum) In effect during- Effective date Rate Effective date Rate Effective date 192 9 51/2-6 1951—Jan. 8. . 2*i 1959—May 18, 4V4 1969—Jan. 7. 7 Oct. 17 2V4 Sept. 1 5 Mar. 17. 7Vi 193 0 31/2-6 Dec. 19.. 3 June 9. 8*i 193 1 2*4-5 1960—Aug. 23 41/2 1 1 9 9 3 3 3 2 3 n * /2 4 - - 4 4 1953—Apr. 27. . 31/4 1965—Dec. 6 5 1970— S M e a p r t. . 2 2 5 1 . . m 8 1954—Mar. 17. . 3 1966—Mar. 10 51/2 Nov. 12. 7M 193 1 4 9 — 47 (Nov.)......... IV2 1955— O Au ct g . . 1 4 4 . . . . 3 3 * * 4 i J A u u n g e . 2 1 9 6 5 6 V4 N De o c v . . 2 2 3 2 . . 7 6% 1967—Jan. 26- 5V2-5Y4 1971—Jan. 6. 6*4 Effective date 1956—Apr. 13. . 3V4 Mar. 27 5 Vi Jan. 15. 6*4 Aug. 21.. 4 Nov. 20 6 Jan. 18. 6 Feb. 16. 5V4 1947—Dec. i.... 1V4 1957—Aug. 6. . 4*i 1968—Apr. 19 6 Vi Mar. 11. 5*4-5*i Sept. 25 6 -6*4 1948—Aug.i... . 2 1958—Jan. 22, , 4 Nov. 13 6*4 Apr. 21. . 3*i Dec. 2 61/2 1950—Sept. 22. 2*4 Sept. 11 4 Dec. 18 6V4 1 Date of change not available. MONEY MARKET RATES (Per cent per annum) U.S. Government secutities (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 months1 m 3- o t n o t h 6 s - 2 90 days1 new issue RateM o y an 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 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 1970.............................. 7.72 7.23 7.31 7.17 6.458 6.42 6.562 6.55 6.53 6.90 7.37 1970—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.................. 8.21 7.55 7.78 7.60 6.742 6.67 6.907 6.86 7.07 7.50 7.86 July................... 8.29 7.64 7.61 7.21 6.468 6.45 6.555 6.51 6.63 7.00 7.58 Aug................... 7.90 7.48 7.20 6.61 6.412 6.41 6.526 6.56 6.55 6.92 7.56 Sept................... 7.32 7.12 7.03 6.29 6.244 6.12 6.450 6.47 6.40 6.68 7.24 Oct.................... 6.85 6.76 6.54 6.20 5.927 5.90 6.251 6.21 6.23 6.34 7.06 Nov................... 6.30 6.16 5.79 5.60 5.288 5.28 5.422 5.42 5.39 5.52 6.37 Dec................... 5.73 5.48 5.32 4.90 4.860 4.87 4.848 4.89 4.87 4.94 5.86 1971—Jan..................... 5.11 5.07 4.77 4.14 4.494 4.44 4.510 4.47 4.39 4.29 5.72 Feb.................. 4.47 4.37 4.09 3.72 3.773 3.69 3.806 3.78 3.84 3.80 5.31 Week ending— 1970—Nov. 7 6.63 6.58 6.22 6.07 5.653 5.56 5.772 5.80 5.86 6.03 6.84 14 6.56 6.44 6.13 5.80 5.459 5.48 5.653 5.69 5.65 5.81 6.67 21.......... 6.40 6.18 5.60 5.70 5.281 5.19 5.406 5.32 5.22 5.34 6.26 28........... 5.75 5.61 5.38 5.16 4.760 4.98 4.855 5.03 4.98 5.04 5.84 Dec. 5........... 5.63 5.50 5.38 5.50 5.084 4.98 4.979 c4.95 4.93 5.05 5.81 12........... 5.75 5.49 5.48 4.91 4.882 4.92 4.874 4.94 4.91 5.06 5.80 19........... 5.75 5.50 5.25 5.07 4.775 4.77 4.785 4.81 4.79 4.88 5.82 26........... 5.75 5.45 5.25 4.84 4.727 4.82 4.765 4.87 4.88 4.85 5.96 1971—Jan. 2........... 5.75 5.44 5.25 4.82 4.830 4.87 4.836 4.88 4.86 4.85 5.94 9........... 5.68 5.41 5.23 3.82 4.921 4.84 4.927 4.89 4.71 4.76 5.99 16........... 5.38 5.25 4.88 4.27 4.640 4.51 4.633 4.55 4.48 4.40 5.78 23........... 4.85 4.93 4.48 4.13 4.213 4.20 4.243 4.22 4.19 3.87 5.58 30........... 4.53 4.69 4.45 4.23 4.201 4.19 4.235 4.24 4.18 4.11 5.54 Feb. 6............ 4.63 4.63 4.35 4.09 4.110 4.06 4.114 4.11 4.11 4.03 5.49 13............ 4.63 4.53 4.13 3.59 3.845 3.71 3.839 3.75 3.80 3.82 5.33 20............ 4.38 4.31 4.03 4.14 3.640 3.56 3.679 3.65 3.72 3.70 5.24 27............. 4.25 4.03 3.85 3.46 3.497 3.43 3.590 3.57 3.68 3.64 5.15 1 Averages of daily offering rates of dealers. 4 Except for new bill issues, yields are averages computed from daily 2 Averages of daily rates, published by finance companies, for varying closing bid prices. maturities in the 90-179 day range. 5 Bills quoted on bank discount rate basis. 3 Seven-day average for week ending Wednesday. 6 Certificates and selected note and bond issues. 7 Selected note and bond issues. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 34 INTEREST RATES □ MARCH 1971 BOND AND STOCK YIELDS (Per cent per annum) Government bonds Corporate bonds Stocks State By selected By Dividend/ Earnings / Period United and local rating group price ratio price ratio States (long Total 1 term) Total i Aaa Baa Aaa Baa In tr d ia u l s R ro a a i d l P u u ti b li l t i y c fe P r r r e e d C m o o m n C m o o m n 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 1970................................................... 6.59 6.42 6.12 6.75 8.51 8.04 9.11 8.26 8.77 8.68 7.22 3.83 1970—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 7.50 July........................................ 6.57 6.68 6.40 7.02 8.85 8.44 9.40 8.61 9.11 9.01 7.62 4.20 Aug........................................ 6.75 6.27 5.96 6.65 8.73 8.13 9.44 8.44 9.19 8.83 7.41 4.07 Sept....................................... 6.63 6.18 5.90 6.49 8.68 8.09 9.39 8.40 9.10 8.80 7.31 3.82 6^34 Oct......................................... 6.59 6.41 6.07 6.74 8.63 8.03 9.33 8.35 9.06 8.74 7.33 3.74 Nov....................................... 6.24 6.04 5.79 6.33 8.65 8.05 9.38 8.37 9.06 8.77 7.30 3.72 Dec........................................ 5.97 5.49 5.21 5.80 8.35 7.64 9.12 7.95 8.96 8.45 6.88 3.46 1971—Jan......................................... 5.91 5.34 5.08 5.65 8.04 7.36 8.74 8.57 8.70 8.17 6.53 3.32 Feb........................................ 5.84 5.28 4.92 5.73 7.75 7.08 8.39 7.24 8.39 7.94 6.32 3.18 Week ending— 1970—Dec. 5............................... 5.93 5.54 5.15 6.05 8.51 7.85 9.27 8.19 9.00 8.61 6.99 3.53 12............................... 5.89 5.42 5.15 5.70 8.46 7.78 9.28 8.09 9.02 8.57 6.79 3.49 19............................... 5.87 5.49 5.25 5.75 8.33 7.59 9.12 7.92 8.98 8.43 6.84 3.48 26............................... 6.05 5.49 5.25 5.75 8.23 7.51 9.02 7.80 8.93 8.33 6.87 3.47 1971—Jan. 2............................... 6.16 5.49 5.25 5.75 8.19 7.48 8.97 7.75 8.86 8.31 6.92 3.36 9............................... 6.09 5.59 5.40 5.80 8.16 7.45 8.90 7.71 8.84 8.26 6.79 3.36 16............................... 5.96 5.30 5.00 5.60 8.10 7.42 8.82 7.66 8.76 8.22 6.62 3.35 23............................... 5.83 5.24 4.95 5.60 8.02 7.36 8.69 7.54 8.63 8.19 6.33 3.30 30............................... 5.78 5.24 4.95 5.60 7.87 7.19 8.54 7.38 8.57 8.01 6.38 3.26 Feb. 6................................ 5.80 5.39 5.10 5.75 7.79 7.10 8.47 7.26 8.52 7.96 6.30 3.20 13................................ 5.78 5.16 4.75 5.65 7.74 7.06 8.40 7.20 8.41 7.94 6.34 3.17 20................................ 5.83 5.24 4.85 5.75 7.72 7.07 8.34 7.22 8.32 7.93 6.24 3.15 27................................ 5.92 5.35 5.00 5.80 7.74 7.10 8.34 7.25 8.32 7.95 6.41 3.19 Number of issues2......................... 7 20 5 5 119 20 30 40 29 40 1 Includes bonds rated Aa and A, data for which are not shown sep Govt.: Averages of daily figures for bonds maturing or callable in 10 years arately. Because of a limited number of suitable issues, the number or more. (2) State and local govt.: General obligations only, based on of corporate bonds in some groups has varied somewhat. As of Dec. Thurs. figures. (3) Corporate: Averages of daily figures. (2) and (3) are 23, 1967, Aaa-rated railroad bonds are no longer a component of the from Moody’s Investors Service series. railroad average or the Aaa composite series. Stocks: Standard and Poor’s corporate series. Dividend/price ratios 2 Number of issues varies over time; figures shown reflect most recent are 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 Bonds: Monthly and weekly yields are computed as follows: (1) U.S. adjusted at annual rates. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 □ SECURITY MARKETS A 35 SECURITY PRICES Common stock prices Volume of Bond prices New York Stock Exchange trading in (per cent of par) stocks 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 l U o o . n S v 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 in to d t e al x 1 NYSE AMEX term) 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 1970............................ 60.52 72.3 61.6 83.22 91.29 32.13 54.48 45.72 48.03 32.14 37.24 54.64 22.59 10,532 3,376 1970—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 51.53 36.85 40.77 67.37 25.15 10,141 3,122 Apr................. 60.89 71.9 62.8 85.95 94.01 36.05 57.19 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 July................. 60.59 70.6 59.0 75.72 83.00 26.59 50.91 41.15 43.04 26.46 34.90 54.00 20.11 10,358 2,202 Aug................. 59.20 73.8 60.0 77.92 85.40 26.74 52.62 42.28 44.20 27.66 35.74 56.05 20.39 10,420 2,474 Sept................ 60.10 72.3 60.8 82.58 90.66 29.14 54.44 45.10 47.43 30.43 36.74 60.13 21.72 14,423 4,438 Oct.................. 60.44 71.9 61.3 84.37 92.85 31.73 53.37 46.06 48.87 32.38 36.01 59.04 22.39 11,887 3,135 Nov................ 63.27 75.1 61.9 84.28 92.58 30.80 54.86 45.84 48.54 31.23 36.71 57.40 21.73 11,519 2,677 Dec................. 65.63 79.8 64.7 90.05 98.72 32.95 59.96 49.00 51.68 33.70 39.93 61.95 22.19 15,241 4,330 1971--Jan.................. 66.10 79.9 66.5 93.49 102.22 36.64 63.43 51.29 53.72 37.76 42.52 66.41 23.56 17,429 4,493 Feb................. 66.78 81.5 66.8 97.11 106.62 38.78 62.49 53.42 56.45 40.37 42.30 68.19 25.02 19,540 6,054 Week ending— 1971--Feb. 6......... 67.07 81.1 66.9 96.60 105.99 38.32 62.88 53.12 55.93 39.92 42.95 67.68 24.67 21,142 6,854 13......... 67.27 83.1 67.3 97.74 107.32 38.85 62.86 53.78 56.83 40.51 42.67 68.54 25.14 22,123 6,658 20. ... 66.84 81.2 66.7 97.79 107.35 39.11 62.95 53.80 56.90 40.76 42.39 68.74 25.27 18,649 6,156 27 66.05 80.5 66.1 96.44 105.95 38.90 61.36 53.04 56.22 40.37 41.21 67.93 25.05 16,067 4,570 i 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 27 l/i 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 on 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 t ( r r p a o a t e c n e r t c F h e ( a p e r e s g r e & s M (y a e tu ar r s i ) ty L p r ( a o p r t i a e c i n o r e / (th c p o P h r u u a i s c r s . e e of (t a h m L o o u o a s u . n n o t f C t ( r r p a o a e t c n e r t c F h e ( a p e r e s g r e & s M (y a e t a u r r s i ) ty L p r ( a o p ri t a e c i n o r e / (th c p o P h r u u a i s c r s . e e o f (t a h L m ou o o s a u . n n o t f cent) cent)1 cent) dollars) dollars) cent) cent) i cent) dollars) dollars) 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 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.............. 8.24 1.02 24.8 71.3 34.9 24.5 8.19 .90 22.7 70.2 29.6 20.4 May............. 8.28 .98 25.3 71.7 35.8 25.3 8.18 .94 22.8 70.3 30.5 21.1 June............. 8.31 .99 25.1 71.3 36.3 25.6 8.19 .98 23.0 71.5 30.5 21.5 July............. 8.32 1.01 25.1 71.5 35.3 24.9 8.21 .95 23.1 71.5 31.0 21.7 Aug.............. 8.35 .98 24.8 71.6 35.7 25.5 8.25 .89 23.1 71.7 30.4 21.4 Sept.............. 8.31 1.03 25.2 72.7 35.3 25.3 8.27 .88 22.8 71.7 29.7 21.0 Oct............... 8.33 1.05 25.1 72.4 34.6 24.8 8.20 .88 22.8 71.5 29.0 20.5 Nov.............. 8.26 .99 25.3 72.1 35.8 25.2 8.18 .85 22.8 71.5 29.9 21.1 Dec.............. 8.20 1.07 r25.8 r73.8 r35.3 r25.8 8.12 r. 85 23.3 71.9 30.7 r21.7 1971—Jan............... 8.02 .89 25.7 73.1 36.3 26.4 7.93 .82 23.4 72.3 31.0 22.1 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 □ MARCH 1971 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 margin customers by— tomers’tomers’ credit (per cent) Total net net ex ad End of period debit free tended justed Bro l kers Ban 2 ks Total a b n a c l e s c a b r n e a c d l e i s t bro b k y ers E pe n r d i o o d f Un 20 der 20-29 30-39 40-49 50-59 6 m 0 o o re r ( l d i m o eb n il s t of Unre dol 1970—Jan................... 4,680 2,430 7,110 6,683 2,626 4,057 strict Restricted lars) Feb.................. 4,570 2,390 6,960 6,562 2,463 4,099 ed Mar................. 4,520 2,370 6,890 6,353 2,441 3,912 Apr.................. 4,360 2,330 6,690 5,985 2,248 3,724 May................. 4,160 2,290 6,450 5,433 2,222 3,211 1970—Jan... 1.7 27.6 16.7 11.4 7.9 34.9 9,280 June................• J \ 4 3, , 8 1 6 5 0 01 j 2,290 6,150 5,281 2,009 3,272 M Fe a b r . . . . 4 3 . . 2 7 2 27 6 . . 1 9 1 1 6 6 . .3 8 1 1 1 1 . . 6 4 7 7 . .5 9 3 3 2 3 . . 8 8 9 8 , , 0 8 4 8 0 0 July................. 3,800 2,290 6,090 (4) 52,180 (4) Apr.. 1.5 21.8 16.7 12.1 9.3 38.6 8,450 Aug................. 3,810 2,300 6,110 (4) 2,083 (4) Sept................. 3,920 2,330 6,250 (4) 2,236 (4) Oct................... 4,010 2,270 6,280 (4) 2,163 (4) Unrestricted Restricted1 Nov................. 4,010 2,320 6,332 (4) 2,197 (4) Dec.................. 4,030 2,330 6,360 (4) 2,286 (4) May. 1.0 4.8 31.8 13.9 8.8 39.8 9,100 1971—Jan................... 4,000 2,300 6,300 (4) 2,452 (4) June. 1.3 1.0 23.3 24.9 9.4 40.1 8,490 July.. 1.1 1.0 32.7 16.7 9.0 39.5 8,610 Aug.. .7 1.1 37.8 14.3 9.2 36.9 8,580 1 End-of-month data. Total amount of credit extended by member firms Sept.. .6 1.1 45.5 12.0 8.9 31.9 8,900 of the N.Y. Stock Exchange in margin accounts, excluding credit extended Oct... .7 1.0 38.4 18.0 9.2 32.6 8,780 on convertible bonds and other debt instruments and in special subscrip Nov.. 1 .0 0.9 39.0 16.4 9.7 33.0 8,570 tion accounts. Dec.. .0 .3 47.0 13.7 9.5 29.4 8,140 2 Figures are for last Wed. of month for large commercial banks re porting weekly and represent loans made to others than brokers or dealers 1971—Jan. . .0 .4 55.1 12.5 8.4 23.6 8,180 for the purpose of purchasing or carrying securities. Excludes loans col lateralized by obligations of the U.S. Govt. . 3 Change in series. From Jan. 1966 to June 1970 the total of broker- 1 Debt representing more than 30 per cent but less than 35 per cent of extended margin credit was estimated by expanding the total of such collateral value is unrestricted as of May 6, 1970, but is not separable from credit extended by a small sample of N.Y. Stock Exchange member firms the remainder of this category. according to the proportion of total Customers’ net debit balances ex tended by these firms. Beginning with June 30, 1970, total broker-extended Note.—Adjusted debt is computed in accordance with requirements set margin credit is derived from reports by the majority of N.Y. Stock Ex forth in Regulation T and often differs from the same customer’s net debit change member firms that carry margin accounts for customers; these balance mainly because of the inclusion of special miscellaneous accounts firms, as a group, account for nearly all such credit extended by members of in adjusted debt. Collateral in the margin accounts covered by these data that exchange. now consists exclusively of stocks listed on a national securities exchange. 4 Series discontinued. Unrestricted accounts are those in which adjusted debt does not exceed the 5 Change in series. loan value of collateral; accounts in all classes with higher ratios are Note.—Customers’ net debit and free credit balances are end-of-month restricted. ledger balances as reported to the New York Stock Exchange by all member firms that carry margin accounts. They exclude balances carried for other member firms of national securities exchanges as well as balances of the reporting firm and of its general partners. Net debit balances are SPECIAL MISCELLANEOUS ACCOUNT BALANCES total debt owed by those customers whose combined accounts net to a AT BROKERS, BY EQUITY STATUS OF ACCOUNTS debit. Free credit balances are in accounts of customers with no unfulfilled commitments to the broker and are subject to withdrawal on demand. Net credit extended by brokers is the difference between customers’ net debit (Per cent of total, except as noted) and free credit balances since the latter are available for the brokers’ use until withdrawn. Equity class of accounts EQUITY STATUS OF MARGIN ACCOUNT DEBT Net in debit status Total End of period credit balance (Per cent o A f T to ta B l R d O eb K t, E e R xc S ept as noted) status 60 o r p e m r o c r e e nt 6 L 0 e p ss e r t h c a e n n t o ( f m d i o ll l i l o a n r s s ) Total Equity class (per cent) 1970—Jan.......................... 53.0 38.2 8.7 4,620 debt Feb................ 53.0 38.3 8.8 4,420 (mil 54.0 34.7 11.2 4,340 E pe n r d i o o d f l d i o o o n f l s 8 m 0 o o re r 70-79 60-69 50-59 40-49 Un 4 d 0 er 5 5 4 4 9 0 . . 5 3 0 3 3 39 5 8 . . . 1 9 8 1 1 1 0 0 1 . . . 2 9 4 4 4 4 , , , 8 1 5 4 4 5 0 0 0 lars) 1 July........................ 47.5 40.5 11.9 4,390 46.7 42.6 10.7 4,430 1970— M J F a e n a b r . . . . . . . 4 4 4 , , , 5 6 6 2 8 7 0 0 0 1 1 1 5 5 3 . . . 3 7 8 2 2 21 0 1 . . . 1 3 0 1 1 1 6 6 5 . . . 1 3 8 1 1 1 3 3 3 . . . 3 4 4 1 1 11 1 0 . . . 1 2 8 2 2 2 4 4 2. . . 5 9 0 4 4 4 4 6 5 6 8 . . . . 5 6 2 2 4 4 4 4 4 3 3 2 . . . . 5 9 9 3 1 9 9 9 0 . . . . 9 4 0 6 4 4 4 4 , , , , 2 0 4 4 4 3 3 8 0 0 0 0 Apr.. 4,360 11.8 18.1 14.5 13.8 11.6 30.2 M Ju a n y e. . 4 3 , , 1 8 6 6 0 0 9 8 . . 6 3 1 1 5 2 . . 8 4 1 1 8 8 . . 3 8 1 1 4 5. . 7 2 1 1 3 3 . . 5 5 2 3 8 1 . . 6 4 1971—Jan.......................... 49.2 43.6 7.2 4,260 July.. 3,800 8.1 15.1 21.1 16.0 13.8 25.8 S A e u p g t . . . . 3 3 , , 8 9 1 2 0 0 1 10 1 . . 7 4 1 15 8 . . 1 3 2 2 2 4 . . 9 4 1 1 6 6. . 7 6 1 13 3 . . 1 6 2 1 1 6 . . 1 0 ma N y o b t e e . u — se S d p e b c y ia c l u m sto is m ce e l r l s a n a e s o u th s e a m cc a o rg u i n n t s d e c p o o n s t i a t i n re q c u re ir d e i d t f b o a r l a a n d c d e i s t io th n a a t l Oct... 4,010 9.9 15.2 25.5 16.9 14.3 18.2 purchases. Balances may arise as transfers based on loan values of other Nov.. 4,010 10.4 14.8 26.1 17.5 14.1 17.2 collateral in the customer’s margin account or deposits of cash (usually Dec.. 4,030 11.0 16.1 27.1 16.8 13.5 15.5 sales proceeds) occur. 1971—Jan. . 4,000 12.1 19.6 28.3 17.1 10.0 12.8 1 See note 1 to table above. Note.—Each customer’s equity in his collateral (market value of col* lateral less net debit balance) is expressed as a percentage of current col lateral values. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 o 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 dealers directly Accepting banks F.R. Banks Total Total Others p I o m rt s p E o x rt s All re B l a a n te k d Other1 r B el a a n te k d Other2 Own Bills Own e F i o g r n U i n n i t t o ed U f n ro 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 2,053 196 9 31,709 1,216 10,601 3,078 16,814 5,451 1,567 1,318 249 64 146 3,674 1,889 ,153 2,408 1970—Feb.. 36,020 1,271 11,604 4,781 18,364 5,249 1,408 1,110 298 56 152 3,632 1,864 1,054 2.331 Mar.. 37,164 1,223 12,411 5,295 18,235 5,352 1,398 1,156 242 52 170 3,732 1,891 1,113 2,349 Apr.. 38,011 1,088 12,647 5,584 18,692 5,614 1,577 1,314 263 106 194 3,737 2,034 1,137 2,444 May. 39,724 1,126 12,826 6,474 19,298 5,801 1,539 1,287 252 42 231 3,989 139 1,189 2,472 June. 37,798 1,044 11,945 6,559 18,250 5,849 1,589 1,339 250 32 232 3,996 2;i90 1,162 2,497 July.. 36,961 986 11,048 6,834 18,093 5,973 1,599 1,324 275 37 239 4,098 2,294 1,198 2,482 Aug.. 36,570 802 11,242 6,501 18,025 5,979 1,911 1,541 370 63 253 3,752 2,354 1,294 2.331 Sept.. 33,958 505 12,013 4,115 17,325 5,848 1,952 1,557 395 87 235 3,574 2,396 1,285 2,167 Oct.. 34,401 520 12,564 3,179 18.138 6,167 2,125 1,737 388 73 238 3,731 2,553 1,323 2,292 Nov.. 33,966 526 12,775 2,600 18,065 6,267 2,368 1,875 493 87 243 3,569 2,490 1,388 2,390 Dec.. 31,765 409 12,262 1,940 17,154 7,058 2,694 1,960 735 57 250 4,057 2,601 1 ,561 2,895 1971—Jan.* 32,295 362 13,071 1,668 17,194 6,912 2,742 2,058 684 59 270 3,841 2,589 1,555 2,768 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) 1 Loans Securities Total Mortgage loan assets— commitments 3 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 d a t t e l . o C r t a o a h n r t e d p e r o 1 Cash O as t s h e e ts r l g r i T e e a a t s n b o i n e e e i t r d s l a r v i a l e l D i e t p s o 2 s l O ia t t i b e h i s e li r r G c es o e a e n u c r e n v - r t e a s l ! I i 1 j classi ( f i i n e d m b o y n t m hs a ) turity 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 i 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 I 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 M)34 1,166 3,011 1969—Dec.... 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 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 67,855 1,713 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 June... 56,644 2,131 3,214 197 11,766 956 1,404 76,312 68,724 1,957 5,631 646 474 363 707 2,190 July... 56,804 2,239 3,241 196 11,945 920 1,459 76,804 69,039 2,121 5,643 665 457 351 678 2,151 Aug.... 56,986 2,249 3,271 197 12,099 972 1,464 77,238 69,222 2,327 5,689 603 406 332 715 2,057 Sept... 57,202 2,240 3,281 197 12,222 1,001 1,459 77,602 69,817 2,087 5,698 635 334 266 691 1,926 Oct.... 57,398 2,291 3,215 207 12,243 1,035 1,465 77,855 70,093 2,051 5,712 596 338 274 666 1,875 Nov.... 57,473 2,332 3,219 205 12,378 1,112 1,483 78,202 70,361 2,111 5,730 564 315 311 662 1,852 Dec.... 57,727 2,268 3,166 191 12,847 1,279 1,469 78,946 71,533 1,693 5,720 619 322 302 688 1931 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-18. 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. loans beginning with Aug. 1967. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 38 SAVINGS INSTITUTIONS □ MARCH 1971 LIFE INSURANCE COMPANIES (In millions of dollars) Government securities Business securities End of period Total Mort Real Policy Other assets Total U St n a i t t e e s d Sta lo te c a a l nd Foreign1 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--Nov.r............................. 196,696 10,918 4,500 3,232 3,186 84,852 71,272 13,580 71,625 5,920 13,594 9,787 Dec.r.............................. 197,208 10,914 4,514 3,221 3,179 84,566 70,859 13,707 72,027 5,912 13,825 9,964 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 May................................ 199,173 10,895 4,472 3,226 3,197 84,633 71,858 12,775 72,982 6,061 14,951 9,651 June................................ 199,683 10,788 4,401 3,222 3,165 84,656 71,894 12,762 73,165 6,103 15,180 9,791 July................................ 201,002 11,071 4,650 3,251 3,170 85,404 72,200 13,204 73,352 6,144 15,354 9,677 Aug................................. 201,918 11,090 4,653 3,255 3,182 85,841 72,497 13,344 73,427 6,158 15,517 9,885 Sept................................. 203,148 11,004 4,561 3,265 3,178 86,675 72,915 13,760 73,540 6,202 15,67# 10,053 203,922 11,029 4,565 3,277 3,187 87,099 73,389 13,710 73,728 6,255 15,813 9,998 Nov................................. 205,064 11,049 4,588 3,281 3,180 87,755 73,644 14,111 73,848 6,311 15,918 10,183 Dec................................. 206,193 10,967 4,494 3,285 3,188 88,183 73,123 15,060 74,345 6,362 16,025 10,311 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 Liabilities commitments4 assets— End of period M ga o ge rt s I s n i m e t v i c e e e u s n s r 1 t t Cash Other2 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 e r y d 3 p L ro o i c a n e n s s s Other d p M u er r a i i d o n e d g O p e u in n e t g s d ri t o a a o n d t f d 1961... 68,834 5,211 3,315 4,775 82,135 70,885 5,708 2,856 1,550 1,136 1,872 1962... 78,770 5,563 3,926 5,346 93,605 80,236 6,520 3,629 1,999 1,221 2,193 1963... 90,944 6,445 3,979 6,191 107,559 91,308 7,209 5,015 2,528 1,499 2,572 1964... 101,333 6,966 4,015 7,041 119,355 101,887 7,899 5,601 2,239 1,729 2,549 1965... 110,306 7,414 3,900 7,960 129,580 110,385 8,704 6,444 2,198 1,849 2,707 1966... 114,427 7,762 3,366 8,378 133,933 113,969 9,096 7,462 1,270 2,136 1,482 1967... 121,805 9,180 3,442 9,107 143,534 124,531 9,546 4,738 2,257 2,462 3,004 1968... 130,802 i 11,116 2,962 9,571 152,890 131,618 10,315 5,705 2,449 2,803 3,584 1969 5. 140,347 10,893 2,439 8,620 162,299 135,670 11,239 9,728 2,455 3,207 807 2,812 1969—Dec............ 140,347 10,893 2,439 8,620 162,299 135,670 11,239 9,728 2,455 3,207 807 2,812 1970 5—Jan........... 140,483 10,900 1,864 8,576 161,823 134,253 11,262 10,207 2,301 3,800 772 2,738 Feb.......... 140,706 11,163 2,084 8,649 162,602 134,458 11,259 10,253 2,203 4,429 846 2,815 Mar......... 140,904 11,502 2,223 8,761 163,390 136,053 11,247 10,013 2,171 3,906 1,084 3,041 Apr.......... 141,390 11,554 2,359 8,852 164,155 136,260 11,252 10,056 2,224 4,363 1,391 3,487 May........ 142,113 12,108 2,523 8,986 165,730 137,013 11,254 10,169 2,294 5,000 1,588 3,956 June........ 143,241 12,097 2,643 9,052 167,033 138,814 11,620 10,480 2,461 3,658 1,544 4,038 July.......... 144,320 12,742 2,404 8,999 168,465 139,357 11,617 10,555 2,530 4,406 1,700 4,333 Aug.......... 145,434 12,826 2,413 9; 091 169,764 139,907 11,615 10,622 2,581 5,039 1,531 4,303 Sept......... 146,556 12,850 2,455 9,182 171,043 141,734 11,609 10,705 2,679 4,316 1,628 4,354 Oct........... 147,712 13,277 2,715 9,248 172,952 142,825 11,588 10,721 2,747 5,071 1,711 4,539 Nov......... 148,896 13,340 3,155 9,356 174,747 143,928 11,592 10,691 2,838 5,698 1,628 4,633 Dec. r .. . 150,562 13,058 3,520 9,434 176,574 146,744 12,012 10,942 3,087 3,789 1,602 4,393 151,529 15,518 2,926 9,410 179,383 149,359 12,055 10,503 3,054 4,412 1,656 4,616 1 U.S. Govt, securities only through 1967. Beginning 1968 the total ments are comparable with those shown for mutual savings banks (on reflects liquid assets and other investment securities. Included are U.S. preceding page) except that figures for loans in process are not included Govt, obligations, Federal agency securities, State and local govt, securi above but are included in the figures for mutual savings banks. ties, time deposits at banks, and miscellaneous securities, except FHLBB 5 Balance sheet data for all operating savings and loan associations stock. Compensating changes have been made in “Other assets.” were revised by the Federal Home Loan Bank Board for 1969 and 1970. 2 Includes other loans, stock in the Federal home loan banks, other investments, real estate owned and sold on contract, and office buildings Note.—Federal Home Loan Bank Board data; figures are estimates for and fixtures. See also note 1. all savings and loan assns. in the United States. Data are based on 3 Consists of advances from FHLBB and other borrowing. monthly reports of insured assns. and annual reports of noninsured assns. 4 Insured savings and loan assns. only. Data on outstanding commit Data for current and preceding year are preliminary even when revised. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 □ 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 Liabilities and capital operations) cooperatives credit banks banks End of period v m a A t n e o d c m e s I m nv e e n s ts t p C a o d a n s e s i d t h s B n a o o n n te d d s s p M o b d e s e e m i r ts C s a to p c it k al M l g o ( a A a o g n r ) e t s D n t a e u o n b r t e e d e s s n c L a o t o o i t v o a p e n e s s r D t e u b re e s n c L o a d o u n i a s n d n t s s D t e u b re e s n M l g o a a o g n r e t s Bonds bers (L) (A) (L) (A) (L) (A) (L) 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 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 June. 10,236 2,844 106 9,880 1,333 1,586 13,659 13,165 1,749 1.509 5,097 4,879 6,995 6,179 July. 10,372 2,704 70 10,029 1,194 1,592 14,085 13,401 1,762 1,518 5,034 4,980 7,026 6,259 Aug.. 10,445 2,729 99 10,091 1,244 1,595 14,452 13,976 1,778 1.537 5,015 4,918 7,061 6.339 Sept.. 10,524 2,722 109 10,089 1,340 1,598 14,815 14,396 1,852 1.537 4,998 4,839 7,101 6.339 Oct.. 14,702 14,702 1,973 1,601 4,972 4,818 7,137 6.395 Nov.. 15,397 15,067 2,020 1,700 4,934 4,767 7,156 6.395 Dec.. 15,502 15,206 2,030 1,755 4,974 4,799 7,186 6.395 1971—Jan. 15,619 15,311 2,119 1,786 5,055 4,845 7,210 6.395 Note.—Data from Federal Home Loan Bank Board, Federal National offered securities (excluding, for FHLB’s bonds held within the FHLB Mortgage Assn., and Farm Credit Admin. Among omitted balance System) and are not guaranteed by the U.S. Govt.; for a listing of these sheet items are capital accounts of all agencies, except for stock of FHLB’s. securities, see table below. Loans are gross of valuation reserves and Bonds, debentures, and notes are valued at par. They include only publicly represent cost for FNMA and unpaid principal for other agencies. OUTSTANDING ISSUES OF FEDERALLY SPONSORED AGENCIES, DECEMBER 31r 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 banks1 Federal National Mortgage Federal intermediate Notes: Association—Cont. credit banks 12/22/69 - 11/25/70___ 8.70 250 Debentures: Debentures: Bonds: 10/14/69 - 2/10/71 8.75 400 5/4/70 - 2/1/71............... 7.40 592 10/27/69 - 10/27/70. ... 8% 650 3/11/68 - 3/11/71......... 6.00 350 6/1/70 - 3/1/71............... 8.15 511 1/26/70 - 1/26/71 ........... 8.63 600 2/10/70 - 4/12/71......... 8.75 500 7/1/70 - 4/1/71............... 8.05 491 2/25/69 - 2/25/71 ........... 6.60 200 11/10/69 - 5/10/71. ... 8.20 400 8/3/70- 5/3/71................ 7.25 472 7/25/69 - 2/25/71 ........... 8.00 400 4/10/69 - 6/10/71......... 6.85 250 9/1/70-6/1/71................. 7.30 274 3/25/70 - 3/25/71 ........... 7.70 850 12/12/69 - 7/12/71 8.60 400 10/1/70 - 7/1/71 ............. 7.10 527 9/25/69 - 4/26/71 ........... m 250 8/23/60 - 8/10/71......... 4H 63 11/2/70 - 8/2/71............. 6.80 564 4/27/70 - 4/26/71 ........... 7.25 400 4/10/70 - 8/10/71......... 7.38 200 12/1/70 - 9/1/71............. 5.70 412 5/26/69 - 5/25/71 ........... 7.00 350 7/10/70 - 8/10/71......... 8.05 250 1/4/71 _ 10/4/71............. 5.30 375 5/25/70 - 5/25/71 ........... 8.20 500 9/11/61 - 9/10/71 ......... 41/2 96 3/2/70 - 3/1/73............... 8.15 203 2/25/70 - 6/25/71 ........... 8.45 650 9/10/68 - 9/10/71......... 53/4 350 9/1/70-7/2/73................. 7.75 200 7/27/70 - 7/27/71 ........... m 500 6/10/70 - 10/21/71 8.45 500 1/4/71 - 7/1/74............... 5.95 224 8/25/70 - 8/25/71 7.65 650 5/10/69 - 11/10/71.... 6.85 350 9/25/70 - 9/27/71 ........... 7.35 400 3/10/70 - 12/10/71___ 6V4 500 Federal land banks 10/27/69 - 11/26/71___ 8.20 250 2/10/60 - 2/10/72......... 5Vs 98 Bonds: 11/25/69 - 2/25/72......... 8.20 200 3/10/69 - 3/10/72......... 6V4 250 2/15/57 - 2/15/67-72. . . 4H 72 6/26/70 - 2/25/72........... 8.20 300 10/14/69 - 3/10/72___ ey4 200 4/21/69 - 2/23/71 ........... 6.80 431 5/25/70 - 5/25/72........... 8.15 200 12/11/61 - 6/12/72.... 4M 100 2/20/70 - 4/20/71........... sy2 300 9/25/70 - 11/27/72......... 1% 250 2/10/70 - 6/12/72......... 8.70 300 4/20/70 - 4/20/71 ........... 7.35 225 2/25/70 - 2/26/73........... 8.35 350 5/11/70 - 9/11/72......... 8.40 400 5/1/56 - 5/1/71 ............... 3% 60 1/26/70 - 1/25/74........... 8.40 300 6/10/70 - 9/11/72......... 7.40 200 7/15/69 - 7/20/71........... 8.15 270 6/26/70 - 2/25/74........... 8.40 250 11/10/69 - 12/11/72. . . 8.00 200 10/20/69 - 7/20/71 ......... 8.45 232 8/25/69 - 8/25/74........... 7.65 188 10/13/70 - 12/11/72. . . 7.20 400 10/20/68 - 10/20/71___ 6.00 447 11/25/69 - 11/25/74. 8.05 265 11/10/70 - 3/12/73. . .. 7.30 450 8/20/68 - 2/15/72........... 5.70 230 8/25/70 - 5/26/75........... 8.00 242 12/12/69 - 3/12/73___ 8.30 250 6/22/70 - 7/20/72........... 8.20 442 7/27/70 - 8/25/75........... 7.75 350 6/12/61 - 6/12/73......... 4% 146 9/14/56 - 9/15/72........... m 109 3/25/70 - 2/25/80........... 7.95 300 7/10/70 - 6/12/73......... 8.35 350 9/22/69 - 9/15/72........... 8.35 337 3/10/70 - 9/10/73......... 8.10 300 10/23/72 - 10/23/72___ 5% 200 Federal National Mortgage 12/10/70 - 12/10/73. . . 5.75 500 7/20/70 - 1 /22/73........... 7.95 407 Association— 4/10/70 - 3/11/74......... 7.75 350 2/20/63 - 2/20/73-78 . . . 43^ 148 Secondary market 8/5/70 - 6/10/74.......... 7.90 400 1/20/70 - 7/20/73........... 8.45 198 operations 9/10/69 - 9/10/74......... 7.85 250 8/20/73 - 7/20/73............ 7.95 350 Discount notes..................... 2,760 11/10/70 - 3/10/75___ 7.55 300 4/20/70 - 10/22/73......... 7.80 300 Capital debentures: 10/13/70 - 9/10/75. . .. 7.50 350 2/20/72 - 2/20/74........... 4Vi 155 9/30/68 10/1/73........... 250 2/13/62 - 2/10/77......... 41/2 198 10/20/70 - 4/22/74......... 7.30 354 4/1/70 - 4/1/75............... 8.00 200 12/10/70 - 6/10/77. . . . 6.38 250 2/20/70 - 1/20/75........... SVs 220 1/21/71 - 6/10/81 ......... 7.25 250 4/20/65 - 4/21/75........... 4V8 200 Mo 9 6 6 r / / / 1 t 1 9 g / / / 7 7 a 7 g 0 0 0 e - - - - b 1 a 6 6 0 c / / / k 1 2 2 e / / / 7 7 d 7 1 5 2 b . . . . . o . . . . . . n . . . . . . . d . . . . . . . s . . . . . : . . . . . . . . . . . . . . . 8 7 8 . . . 1 3 5 3 8 0 2 4 1 5 0 5 0 0 0 Ba D nk e 8 1 s b 0 / e f 3 / o n 1 / r / 7 t 7 u c 0 0 r o - e o 2 - s p : / e 1 4 r / / a 7 2 ti / 1 v 7 . e . 1 . s . . . . . . . . . . . . . . . . . . . . . . . 7 7 . . 2 1 5 0 2 39 7 1 0 2 7 2 5 / / / / 2 2 2 2 1 0 0 /6 / / / 6 6 6 6 6 6 7 - - - 4 2 7 / 1 2 / / / 2 2 2 0 0 4 2 /7 / / / 7 7 7 8 6 6 9 .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 5 5 5 V . . H 0 0 s 0 0 2 1 1 1 8 2 5 5 5 3 0 0 9/29/70- 10/1/90............. 8.63 200 11/2/70 - 5/3/71........... 6.70 339 12/10/70 - 6/1/71......... 5.70 366 1/4/71 - 7/1/71 ............. 5.25 320 10/1/70 - 10/1/73......... 7.30 100 1 Data for changes in Oct. 1970 not yet available. 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 □ MARCH 1971 FEDERAL FISCAL OPERATIONS: SUMMARY (In millions of dollars) U.S. budget Means of financing Receipt-expend- Borrowings from the public ; Less: Cash and iture account monetary assets Other Period Budget means Net Budget surplus Less: Invest of Net lend out or Public Plus: ments by Govt, Equals: Trea financ Budget ex ing lays1 deficit debt Agency accounts Less: Total sury ing, receipts pendi (-) securi securi Special borrow operat Other net4 tures ties ties notes 3 ing ing S is p s e u c e ia s l Other balance Fiscal year: 196 7 149,552 153,201 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 6,030 178,833 -25,161 21,357 5,944 3,271 2,049 -1,119 23,100 -397 1,700 3,364 196 9 187,784 183,072 1,476 184,548 3,236 6,142 633 7,364 2,089 -1,384 2-1,295 596 1,616 269 197 0 193,743 194,456 2,131 196,588 -2,845 17,198 -1,739 9,386 676 5,397 2,151 -581 -982 Half year: 1969—Jan.-June 104,886 90,863 500 91,362 13,523 -4,309 -815 7,643 604 -1,000 -12,370 1,194 1,590 1,630 July-Dee. 90,833 97,563 1,364 98,927 -8,093 14,505 -429 3,935 330 9,811 -767 315 -2,170 1970—Jan.-June 102,910 96,893 767 97,661 5,248 2,693 -1,310 5,451 346 -4,415 2,918 -896 1,188 July-Dee. 87,562 104,084 99 104,183 -16,621 18,240 -19 1,807 157 16,257 54 -952 -534 Month: 1970—Ja n r 16,319 r16,580 -163 r16,417 -98 -654 -64 -717 193 -194 1,100 *•51,070 r 52,462 Feb.......... '14,929 r14,990 -104 r14,885 43 1,275 -789 1,204 -579 -139 191 -436 -149 Mar......... r13, 111 r16,283 254 r16,540 -3,429 3,161 21 770 97 2,314 316 -768 664 Apr.......... r22,043 r17,858 200 r18,057 3,986 -4,813 -39 -285 123 -4,691 85 526 1,317 May........ r13,986 r16,337 108 r16,445 -2,459 3,893 -278 1,565 599 1,452 -1,008 -1,258 -1,259 June........ 22,561 14,871 480 15,351 7,210 -169 -160 2,909 -82 -3,156 2,034 265 -1,755 July......... 12,609 19,344 -17 19,327 -6,718 5,649 -38 -233 -153 5,997 -646 -386 -312 Aug......... 15,172 17,429 66 17,495 -2,323 4,333 -3 1,539 76 2,716 -58 -367 -818 Sept......... 18,725 17,329 114 17,443 1,281 -2,223 12 -890 27 -1,347 1,497 7 1,570 Oct.......... 11,493 17,490 150 17,640 -6,147 1,522 -17 -1,178 122 2,561 -2,383 -192 1,011 Nov......... 14,134 16,616 112 16,728 -2,594 3,440 -5 81 48 3,306 -429 -71 -1,212 Dec.......... 15,429 15,876 -326 15,550 -121 5,519 31 2,487 38 3,024 2,185 -54 -772 1971—Ja n 15,773 16,870 245 17,115 -1,341 -818 1,013 -551 86 660 1,518 654 2,854 Selected balances Treasury operating balance Federal securities End Memo: of Less: Debt of period B F a . n R k . s ac l c 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 I G s e n u c o v e i v e a s t l s , t m ac e c n o t O u s n t o h ts f e r S n L p o e e te s c s s ia : 3 l E p T h q u b o e u b y t l a l d a i l l c 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 6 d Fiscal year: 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 24,991 197 0 1,005 6,929 111 8,045 370,919 12,510 76,124 21,599 825 284,880 35,789 Calendar year: 196 9 1,312 3,903 112 5,327 368,226 13,820 70,677 21,250 825 289,294 30,578 197 0 1 ,156 6,834 109 8,099 389,158 12,491 77,931 21,756 825 301,138 Month: 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 35,068 June. 1,005 6,929 111 8,045 370,919 12,510 76,124 21,599 825 284,880 35,762 July.. 1,200 6,087 111 7,399 376,568 12,471 75,891 21,446 825 290,877 36,398 Aug.. 1,056 6,174 111 7,341 380,901 12,469 77,431 21,521 825 293,593 37,116 Sept.. 1,238 7,489 111 8,839 378,678 12,481 76,541 21,548 825 292,246 37,404 Oct... 920 5,424 111 6,455 380,200 12,465 75,363 21,669 825 294,808 37,811 Nov.. 587 5,217 110 5,914 383,640 12,460 75,444 21,717 825 298,113 38,252 Dec.. 1,156 6,834 109 8,099 389,158 12,491 77,931 21,756 825 301,138 38,802 1971—Jan. 976 8,532 109 9,616 388,341 13,504 77,380 21,842 825 301,798 1 Equals net expenditures plus net lending. International Monetary Fund and international lending organizations. 2 The decrease in Federal securities resulting from conversion to private New obligations to these agencies are handled by letters of credit. ownership of Govt.-sponsored corporations (totaling $9,853 million) is 4 Includes accrued interest payable on public debt securities, deposit not included here. In the bottom panel, however, these conversions de funds, miscellaneous liability and asset accounts, and seigniorage. crease the outstanding amounts of Federal securites held by the public 5 Includes initial allocation of SDR’s of $867 million. mainly by reductions in agency securities. The Federal National Mortgage 6 Includes debt of Federal home loan banks, Federal land banks, D.C. Association (FNMA) was converted to private owership in Sept. 1968 and Stadium Fund, FNMA (beginning Sept. 1968), FICB, and banks for the Federal Intermediate Credit Banks (FICB) and Banks for Coopera cooperatives (beginning Dec. 1968). tives in Dec. 1968. Note.—Half years may not add to fiscal year totals due to revisions in 3 Represents non-interest-bearing public debt securities issued to the series which are not yet available on a monthly basis. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 a 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 t t a i 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 c G e r r i e o p s ts s fu R n e d s c E o P r m n o t a a y l t x p l r i e l b o s u y e a m t S m n i e o e d l p n f n l - s t . 1 i e n 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 Fiscal year: 196 7 149,55250,521 18,850 7,845 61,52634,918 946 26,047 1,776 3,659 1,867 33,349 13,719 1,901 2,978 2,108 196 8 153,671 57,301 20,951 9,527 68,72629,897 1,232 27,680 1,544 3,346 2,052 34,622 14,079 2,038 3,051 2,491 196 9 187,78470,18227,258 10,191 87,24938,338 1,660 32,521 1,715 3,328 2,353 39,918 15,222 2,319 3,491 2,908 197 0 193,74377,41626,236 13,24090,41235,037 2,208 37,190 1,942 3,465 2,70045,298 15,705 2,430 3,644 3,424 Half year: 1969—Jan.-June 104,88636,44621,743 9,715 48,47422,844 876 17,577 1,584 2,039 1,174 22,374 7,388 1,106 2,074 1,504 July-Dee. 90,833 38,797 5,771 48144,087 15,179 982 17,057 131 1,270 1,282 19,740 8,241 1,263 1,496 1,809 1970—Jan.-June 102,91038,61920,465 12,75946,325 19,858 1,226 20,134 1,811 2,196 1,416 25,558 7,464 1,168 2,148 1,615 July-Dee. 87,562 37,445 5,569 56542,449 12,744 1,467 17,768 133 1,348 1,57620,826 8,152 1,317 1,537 2,005 Month: 1970—Ja n 16,319 r6,198 4,491 35 10,654 1,252 125 179 111 129 254 2,674 1,154 195 286 r228 Feb.......... 14,929 7,535 886 1,456 6,965 774 128 224 139 842 203 5,408 1,206 165 265 r274 Mar......... 13,111 6,091 1,235 3,907 3,419 4,559 320 006 146 64 221 3,436 1,192 202 322 r301 Apr.......... r22,043 5,748 8,992 03910,701 4,895 317 847 1,081 234 259 4,419 1,226 207 599 r314 May........ 13,986 7,058 1,063 863 5,258 862 148 585 207 857 202 5,851 1,319 192 348 r304 June........ 22,561 6,014 3,797 458 9,353 7,517 188 294 127 70 278 3,769 1,367 207 328 207 July......... 12,609 6,040 477 236 6,281 1,071 234 745 186 255 3,185 1,439 218 293 356 Aug......... 15,172 6,985 333 100 7,219 666 182 494 587 249 5,330 1,309 223 224 382 Sept......... 18,725 5,907 3,623 81 9,449 4,543 265 521 123 47 270 2,962 1,272 218 234 313 Oct.......... 11,493 5,667 497 55 6,110 1,089 420 311 106 280 2,697 1,237 231 262 288 Nov......... 14,134 7,007 216 42 7,181 711 187 474 374 259 4,107 1,549 207 239 327 Dec.......... 15,429 5,838 422 50 6,209 4,664 179 ',222 50 265 2,545 1,346 220 285 339 1971—Ja n 15,773 6,339 4,280 40 10,579 1,085 558 2,178 113 165 264 2,720 1,195 199 269 286 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 ir . s s S e p r a e a r c c e h A t c u u g r l r 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 e C o m v a u o n e u s m l d n i o n . - p g . E p m t o d a i n w u a o d n c n e a r w H e a 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 t l . t t I g i r n o a o a t n c v n r a s t s , - 5 Fiscal year: 196 7 158,254 70,081 4,547 5,423 4,376 1,821 7,594 2,616 5,853 37,885 6,897 12,588 2,510 -3,936 196 8 178,833 80,517 4,619 4,721 5,943 1,655 8,094 4,076 6,739 43,780 6,882 13,744 2,561 -4,499 196 9 184,548 81,232 3,785 4,247 6,221 2,081 7,921 1,961 6,525 49,395 7,640 15,791 2,866 -5,117 197 0 196,588 80,295 3,570 3,749 6,201 2,480 9,310 2,965 7,289 56,785 8,677 18,312 3,336 -6,380 197 1 212,755 76,443 3,586 5,262 2,636 11,442 3,858 8,300 70,474 9,969 19,433 4,381 -7,197 1972 e6................ 229,232 77,512 4,032 5,804 4,243 10,937 4,495 8,808 76,749 10,644 19,687 4,970 -7,771 Half Year: 1969—Jan.-June 91,362 41,408 1,878 2,114 1,293 860 3,372 928 3,764 25,202 3,975 8,183 1,542 -3,158 July-Dee. 98,927 40,616 1,941 1,839 5,476 1,515 4,611 1,820 3,120 26,063 4,148 8,623 1,520 -2,365 1970—Jan.-June 97,661 39,683 1,627 1,910 711 1,017 4,651 1,291 4,314 30,432 4,537 9,687 1,817 -4,015 July-Dee. 104,183 38,485 1,409 1,720 4,633 1,575 5,794 1,677 3,744 32,710 4,625 9,594 1,823 -3,606 Month: 1970—Ja n r16,417 MS,671 161 290 659 112 713 210 583 4,698 729 1,537 310 -257 Feb.......... *•14,885 6,199 298 299 -187 109 571 158 719 4,510 719 1,614 r241 -364 Mar......... r16,540 6,608 312 325 76 181 683 252 532 5,019 801 1,686 r308 -242 Apr.......... *•18,057 6,806 336 332 107 185 967 280 642 5,996 751 1.631 r272 -249 May........ r16,445 6,516 296 285 144 211 715 98 694 5,207 806 1,563 r312 -401 June........ 15,351 6,926 225 378 -88 218 1,002 291 1,147 5,001 731 1,655 368 -2,503 July......... 19,327 6,794 199 268 2,430 208 843 471 553 5,276 732 1,597 r190 -234 Aug......... 17,495 6,253 285 282 720 371 885 259 680 5,289 766 1,705 r346 -347 Sept......... 17,443 6,374 221 282 44 337 1,231 268 651 5,434 722 1,731 396 -250 Oct........... 17,640 6,354 311 302 927 316 1,105 234 593 5,545 767 1,148 334 -296 Nov......... 16,728 5,965 234 266 422 283 898 132 534 5,488 829 1,738 264 -324 Dec......... 15,550 6,745 160 318 90 59 832 314 733 5,678 1,676 294 -2,157 1971—Ja n 17,115 6,153 184 262 632 -409 826 373 676 5,899 768 1.631 367 -247 1 Old-age, disability, and hospital insurance, and Railroad Retirement 5 Consists of government contributions for employee retirement and accounts. interest received by trust funds. 2 Supplementary medical insurance premiums and Federal employee 6 Estimates presented in the Jan. 1971 Budget Document. Breakdowns do retirement contributions. not add to totals because special allowances for contingencies, Federal pay 3 Deposits of earnings by Federal Reserve Banks and other miscellane increase, and allowance for revenue sharing, totaling $800 million for ous receipts. fiscal 1971 and $5,969 million for fiscal 1972, are not included. 4 Outlays by functional categories are published in the Monthly Treasury Statement (beginning April 1969). Monthly back data (beginning Note.—Half years may not add to fiscal year totals due to revisions in July 1968) are published in the Treasury Bulletin of June 1969. series which are not yet available on a monthly basis. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 42 U.S. GOVERNMENT SECURITIES □ MARCH 1971 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 Special debt 1 Total Total Bills C c e a r t t e if s i Notes Bonds 2 b v i o b e n l r e d t s b S o in n a g v 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 1*967—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—Dec. 368.2 295.2 235.9 80.6 85.4 69.9 2.4 56.9 52.2 71.0 1970—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 July. 376.6 298.5 237.8 81.4 93.5 62.9 2.4 58.3 52.0 76.1 Aug. 380.9 301.4 240.5 81.9 99.9 58.7 2.4 58.5 52.1 77.5 Sept. 378.7 300.1 239.3 80.7 99.9 58.7 2.4 58.4 52.1 76.7 Oct.. 380.2 302.9 242.2 83.7 99.8 58.7 2.4 58.3 52.2 75.4 Nov. 383.6 306.0 244.4 84.6 101.2 58.6 2.4 59.2 52.4 75.6 Dec. 389.2 309.1 247.7 87.9 101.2 58.6 2.4 59.1 52.5 78.1 1971—Jan.. 388.3 308.8 247.7 87.9 101.2 58.5 2.4 58.7 52.6 77.7 Feb.. 390.7 309.8 248.1 89.3 104.3 54.5 2.4 59.3 52.8 78.9 1 Includes non-interest-bearing debt (of which $628 million on Feb. 28, 1956, tax and savings notes; and before Oct. 1965, Series A investment 1971, 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 i o 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 n u .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 . Savi I n 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 r h 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 24.3 50.3 24.3 14.5 19.4 1967—Dec................. 344.7 73.1 49.1 222.4 63.8 4.1 8.6 12.2 24.1 51.2 22.8 15.8 19.9 1968—Dec................. 358.0 76.6 52.9 228.5 66.0 3.6 8.0 14.2 24.4 51.9 23.9 14.3 22.4 1969—Dec................. 368.2 89.0 57.2 222.0 56.8 2.9 7.1 13.3 25.4 51.8 29.1 11.4 24.1 1970—Jan.................. 367.6 88.6 55.5 223.5 54.6 2.9 7.2 13.9 26.1 51.7 30.4 11.7 24.9 Feb................. 368.8 89.4 55.8 223.6 53.0 2.9 7.1 13.2 26.2 51.6 31.1 12.3 26.1 Mar................ 372.0 90.4 55.8 225.9 55.5 2.9 7.0 12.7 25.5 51.6 31.6 13.2 25.9 Apr................. 367.2 90.2 56.5 220.5 54.5 2.8 7.1 11.9 24.7 51.6 31.1 13.2 23.6 May............... 371.1 92.3 57.3 221.4 53.9 2.9 6.9 12.5 25.2 51.6 31.4 13.8 23.3 June............... 370.9 95.2 57.7 218.0 53.3 2.9 6.8 11.1 24.6 51.6 30.9 14.8 22.0 July................. 376.6 94.8 58.6 223.2 55.1 2.8 7.1 12.0 24.2 51.6 31.2 15.9 23.4 Aug................. 380.9 96.4 59.9 224.6 58.0 2.9 7.2 11.7 24.2 51.7 30.6 16.5 21.8 Sept................. 378.7 95.5 60.0 223.2 56.9 2.9 7.1 10.3 24.0 51.7 31.0 17.4 22.1 Oct.................. 380.2 94.4 60.0 225.8 58.9 2.8 7.0 11.1 24.2 51.9 30.5 18.2 21.4 Nov................ 383.6 94.6 61.2 227.9 59.8 2.7 6.9 10.8 23.2 51.9 30.4 20.0 22.1 Dec................. 389.2 97.1 62.1 229.9 63.2 2.8 7.0 10.6 22.9 52.1 29.8 20.6 21.1 1971—Jan.................. 388.3 96.7 61.8 229.9 62.1 2.7 7.3 11.1 23.0 52.1 29.5 20.9 21.1 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
MARCH 1971 □ 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 Total y 1 e - a 5 rs y 5 e - a 1 r 0 s 1 y 0 e - a 2 rs 0 20 O y v e e a r rs 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—Dec. 31......................................................... 247,713 123,423 87,923 35,500 82,318 22,554 8,556 10,863 1971—Jan. 31............................................................. 247,667 123,418 87,918 35,500 82,317 22,553 8,542 10,839 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—Dec. 31..................................................... 17,092 3,005 708 2,297 6,075 3,877 1,748 2,387 1971—Jan. 31..................................................... 17,209 3,085 804 2,281 6,104 3,885 1,748 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 Dec. 31..................................................... 62,142 36,338 25,965 10,373 19,089 6,046 229 440 1971 Jan. 31..................................................... 61,783 35,979 25,606 10,373 19,089 6,046 229 440 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—Dec. 31..................................................... 168,479 84,080 61,250 22,830 57,154 12,631 6,579 8,036 1971—Jan. 31..................................................... 168,675 84,354 61,508 22,846 57,124 12,622 6,565 8,012 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—Dec. 31............................................ 50,917 19,208 10,314 8,894 26,609 4,474 367 260 1971—Jan. 31............................................ 49,866 18,483 9,490 8,993 26,393 4,384 359 248 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 Dec. 31............................................ 2,745 525 171 354 1,168 339 329 385 1971—Jan. 31............................................ 2,701 483 174 309 1,170 337 323 389 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—Dec. 31............................................ 6,066 893 456 437 1,723 849 1,369 1,231 1971—Jan. 31............................................ 6,309 932 495 437 1,764 891 1,413 1,309 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—Dec. 31............................................ 3,057 1,547 1,194 353 1,260 242 2 6 1971—Jan. 31............................................ 3,376 1,889 1,522 367 1,266 208 2 12 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—Dec. 31............................................ 3,263 583 220 363 1,899 281 243 258 1971—Jan. 31............................................ 3,259 632 306 326 1,847 288 240 253 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—Dec. 31............................................ 11,204 5,184 3,803 1,381 2,458 774 1,191 1,598 1971—Jan. 31............................................ 11,282 5,360 4,086 1,274 2,443 788 1,168 1,524 AH 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—Dec. 31............................................ 91,227 56,140 45,092 11,048 22,037 5,672 3,078 4,298 1971—Jan. 31............................................ 91,882 56,575 45,435 11,140 22,241 5,726 3,060 4,277 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 5,704 commercial banks, 490 mutual savings agencies and certain Govt, deposit accounts have been removed from U.S. banks, and 743 insurance companies combined; (2) about 50 per cent by Govt, agencies and trust funds and added to “All others.” Comparable data the 470 nonfinancial corporations and 487 savings and loan assns.; and are not available for earlier periods. (3) about 70 per cent by 505 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 □ MARCH 1971 DEALER TRANSACTIONS (Par value, in millions of dollars) U.S. Government securities By maturity By type of customer U.S. Govt. Period agency Total Dealers and brokers securities Within 1-5 5-10 Over Com All 1 year years years 10 years U.S. Govt, Other m b e a r n c k ia s l other securities 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 June................................ 2,146 1,867 190 59 29 728 68 820 529 414 July................................ 2,395 2,073 200 96 27 832 77 914 573 447 Aug................................. 2,121 1,578 372 146 25 722 74 820 505 398 Sept................................. 2,500 2,041 293 137 28 878 90 931 602 403 Oct.................................. 2,768 2,266 284 190 28 1,018 109 1,094 547 569 Nov................................. 3,418 2,430 601 338 50 1,330 172 1,278 638 712 Dec................................. 2,590 2,043 343 153 52 949 123 1,025 493 428 1971—Jan................................... 3,482 2,629 564 248 40 1,346 130 1,364 642 671 Week ending— 1971—Jan. 6.......................... 2,878 2,501 249 96 32 1,164 77 1,129 508 303 13.......................... 3,267 2,710 375 143 39 1,385 112 1,247 523 620 20.......................... 3,613 2,962 454 143 53 1,443 140 1,380 650 751 27.......................... 4,008 2,396 1,026 545 41 1,339 176 1,653 840 776 Feb. 3.......................... 2,981 2,215 527 214 26 1,177 106 1,089 609 639 10.......................... 3,680 2,535 679 424 42 1,395 170 1,317 799 874 17.......................... 3,342 2,336 578 369 60 1,263 117 1,343 620 586 24....................... 3,341 2,183 562 532 64 1,028 166 1,265 881 624 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 dollars) (In millions of dollars) U.S. Government securities, by maturity Commercial banks U.S. Govt. Period All Corpora All Period m t A a ie t 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 r c i y sources Y N C o e it r w y k w E h ls e e r e tions l other 1970—Jan................... 2,908 2,869 -2 22 20 529 1970- 3,075 907 469 792 907 Feb.................. 3,182 2,464 374 330 14 559 2,995 660 504 650 1,180 Mar................. 3,667 3,116 248 285 17 731 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 2,898 637 830 466 964 June................. 2,199 1,859 111 227 2 615 2,310 422 626 421 842 July................. 3,267 3,102 -18 171 13 828 July............ 3,214 855 770 518 1,071 Aug................. 4,474 3,389 454 604 27 819 4,900 1,526 1,168 834 1,373 Sept................. 4,020 3,326 246 433 16 724 4,220 1,164 1,456 449 1,152 Oct................... 3,963 3,449 103 379 33 1,001 4,233 1,370 1,232 392 1,240 Nov................. 4,760 3,399 617 682 62 1,066 5,149 1,517 1,527 416 1,689 Dec.................. 5,571 4,399 612 485 76 1,049 5,949 1,868 1,960 379 1,742 1971—Jan................... 5,629 4,621 525 403 80 966 1971- 6,198 1,884 1,695 527 2,092 Week ending— Weekending— 1970—Dec. 2.......... 5,177 3,864 639 588 86 1,199 1970—Dec. 2... 5,107 1,609 1,610 324 1,564 9........... 5,260 4,010 659 515 76 1,124 9. .. 5,749 1,828 2,052 411 1,459 16.......... 5,374 4,112 675 515 72 1,037 16... 5,808 1,816 1,735 345 1,912 23........... 5,726 4,580 598 472 76 1,021 23. .. 6,071 1,959 2,039 346 1,726 30.......... 6,150 5,133 519 415 84 972 30. . . 6,292 2,011 2,090 458 1,734 1971—Jan. 6........... 5,789 4,863 444 417 65 950 1971--Jan. 6.. .. 6,260 1,874 2,039 455 1,892 13........... 5,588 4,776 367 391 54 860 13.... 6,094 1,669 1,729 467 2,229 20........... 5,224 4,338 455 351 80 897 20.... 5,508 1,513 1,487 426 2,081 27........... 5,714 4,726 632 249 107 1,108 21.... 6,374 2,141 1,534 626 2,073 Note.—The figures include all securities sold by dealers under repur 1 All business corporations, except commercial banks and insurance chase contracts regardless of the maturity date of the contract, unless the companies. contract is matched by a reverse repurchase (resale) 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 table on the left. 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
MARCH 1971 □ GOVERNMENT SECURITIES A 45 U.S. GOVERNMENT MARKETABLE AND CONVERTIBLE SECURITIES, FEBRUARY 28, 1971 (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, Feb. 28, 1971. . 1.700 July 15, 1971............... 1,408 May 15, 1972.....6V4 2,037 Sept. 15, 1967-72.• 2Vi 1,951 Mar. 4, 1971. 3.304 July 22, 1971............... 1,401 Oct. 1, 1972 ... • IVi 33 Dec. 15, 1967-72.• 2 Vi 2,567 Mar. 11, 1971. 3,306 July 29, 1971............... 1,400 Apr. 1, 1973 ... .1% 34 Aug. 15, 1971,.. .4 2,805 Mar. 18, 1971. 3,302 July 31, 1971............... 1,703 May 15, 1973.,. • 73/4 5,842 Nov. 15, 1971 .. •3% 1,089 Mar. 22, 19711 2,517 Aug. 5, 1971............... 1,405 Aug. 15, 1973.... • 8 Vs 1,839 Feb. 15, 1972 .. ,4 980 Mar. 25, 1971 . 3.305 Aug. 12, 1971............... 1,400 Oct. 1, 1973 ... • l*i 30 Aug. 15, 1972,.. .4 2,579 Mar. 31, 1971 . 1.702 Aug. 19, 1971............... 1,402 Feb. 15, 1974,... .73/4 3,141 Aug. 15, 1973 . 4 3,894 Apr. 1, 1971. 3.305 Aug. 26, 1971............... 1,402 Apr. 1, 1974.... .1 Vi 34 Nov. 15, • 41/s 4,344 Apr. 8, 1971. 3,404 Aug. 31 , 1971............... 1,704 May 15, 1974.... .71/4 4,507 Feb. 15, 1974 ,. • 41/s 3,127 Apr. 15, 1971. 3,408 Sept. 30, 1971 ............... 1,703 Aug. 15, 1974 ... .5% 10,284 May 15, 1974 ,. .41/4 3,580 Apr. 22, 1971. 3.403 Oct. 31, 1971............... 1,701 Oct. 1, 1974 • 1 Vi 42 Nov. 15, 1974 .. •3% 2,239 Apr. 22, 19711 2,261 Nov. 30, 1971 ............... 1,201 Nov. 15, 1974 ... .5% 3,981 May 15, 1975-85..41/4 1,213 Apr. 29, 1971. 3.403 Dec. 31, 1971............... 1,201 Feb. 15, 1975 , •5% 5,148 June 15, 1978-83..31/4 1,540 Apr. 30, 1971. 1.700 Jan. 31, 1972............... 1,199 Apr. 1, 1975 • IVi 8 Feb. 15, 1980 .. .4 2,593 May 6, 1971. 3.406 May 15, 1975 ... .6 6,760 Nov. 15, 1980 , •3Vi 1,904 May 13, 1971. 3.404 Treasury notes Aug. 15, 1975.... .5V8 7,681 May 15, 1985 ... .31/4 1,067 May 20, 1971. 3.407 Apr. 1, 1971..........li/2 35 Oct. 1, 1975 • IVi 12 Aug. 15, 1987-92..41/4 3,808 May 27, 1971. 3,304 May 15, 1971..........5*4 4,265 Feb. 15, 1976 ... .6% 3,739 Feb. 15, 1988-93..4 247 May 31, 1971. 1 ,701 May 15, 1971..........8 4,176 May 15, 1976....• 6Vi 2,697 May 15, 1989-94..41/s 1,553 June 3, 1971. 1.399 Aug. 15, 1971..........8M 2,257 Aug. 15, 1976.... •71/2 4,194 Feb. 15, 1990,.,..31/2 4,709 June 10, 1971. 1.401 Oct. 1, 1971..........iy2 72 Feb. 15, 1977 ,, .8 5,163 Feb. 15, 1995 .,. .3 1,241 June 17, 1971. 1.400 Nov. 15, 1971..........5 V8 969 Aug. 15, 1977.....734 2,263 Nov. 15, 1998 , ,•3Vi 3,971 June 22, 1971f 2,515 Nov. 15, 1971.........7 y4 5,829 Feb. 15, 1978, .6% 8,383 June 24, 1971. 1.404 Feb. 15, 1972..........4y4 801 June 30, 1971. 1.702 Feb. 15, 1972..........7Vi 2,682 Treasury bor ds Convertiblebonds July 1, 1971. 1.402 Apr. 1, 1972..........11/2 34 Mar. 15, 1966-71..21/2 271 Investment Series B July 8, 1971. 1.402 May 15, 1972..........4y4 5,310 June 15, 1967-72..21/2 1,235 Apr. 1, 1975-80.•234 2,368 t 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 ered3 Total G o e b a n l l e i r R n e u v e e HA A1 G l U o o a .S v n t . s . State di s a s t n t a r d t i . ct Other 2 Total c E at d i u o n b R r a i o d n a g d d e s s i U tie ti s l 4 H in o g u 5 s V a a e n i t d e s r ’ O p p o t u h s r e e s r gations auth. 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 5,867 196 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 11,838 3,252 1,432 1,734 543 4,884 197 0 18,164 11,850 6,082 131 103 4,174 5,595 8,399 18,110 5,062 1,532 3,525 466 7,526 1970—Jan... 1,340 838 495 7 311 500 529 1,329 319 91 305 6 608 Feb... 1,214 901 302 12 346 264 604 1,209 406 59 238 14 490 Mar.r 1,555 1,088 459 8 434 391 731 1,549 395 208 228 85 633 Apr... 1,647 1,217 416 15 303 345 1,001 1,647 473 167 292 12 703 May r. 996 674 315 7 254 311 433 987 298 30 367 11 281 Juner. 1,085 651 423 12 165 379 543 1,085 528 61 147 8 342 July r 1,348 1,055 288 4 388 229 730 1,348 268 130 142 4 803 Aug.r 1,359 873 481 5 331 518 509 1,358 404 136 196 4 617 Sept.r 1,758 1,207 541 9 534 536 688 1,756 491 137 243 21 864 Oct.r. 1,924 1,184 695 13 290 531 1,102 1,923 532 123 380 68 821 Nov.r 1,748 892 753 5 247 765 736 1,743 523 63 364 12 683 Dec... 2,190 1.270 914 6 571 826 793 2,176 425 327 623 121 681 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 □ MARCH 1971 TOTAL NEW ISSUES (In millions of dollars) Gross proceeds, all issues1 Noncorporate Corporate Period Bonds Stock Total G U o . v S t . .2 a G g U e o n . v S c t . y . 3 a ( n U S d t . a S lo t . e c ) 4 al Other5 Total 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 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 Apr........... 5,891 387 700 1,625 9 3,170 2,469 2,022 448 67 634 May.......... 9,548 3,701 950 974 14 3,909 3,441 3,041 399 69 399 June......... 6,985 819 1,693 1,058 27 3,389 2,368 1,931 436 222 436 July........... 5,896 405 1,107 1,310 306 2,768 2,151 1,831 320 88 529 Aug........... 8,155 3,573 915 1,318 76 2,273 1,935 1,731 205 92 246 Sept.......... 8,199 1,428 1,600 1,650 4 3,518 2,814 2,425 389 176 528 Oct............ 8,353 412 2,169 1,882 113 3,777 2,694 2,390 303 180 903 Nov......... 9,040 2,414 750 1,684 4,182 3,283 3,001 283 124 774 Dec............ 7,651 401 924 2,245 100 3,980 3,270 2,436 834 168 541 Gross proceeds, major groups of corporate issuers Period Manufacturing C m om is m ce e ll r a c n ia e l o a u n s d Transportation Public utility Communication a R nd e a f l i n e a s n ta c t i e a l Bonds Stocks 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 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 Apr....................................... 616 73 283 276 154 939 170 56 6 421 176 May...................................... 801 17 113 338 63 535 65 1,747 182 49 June...................................... 896 42 124 396 117 2 673 430 353 1 204 151 July....................................... 602 36 232 162 215 8 624 219 143 335 191 Aug....................................... 663 20 91 96 125 531 99 278 1 248 122 Sept....................................... 937 56 118 228 271 904 337 443 2 266 81 Oct.............................. 929 76 288 286 138 653 448 338 34 348 238 Nov....................................... 927 180 147 129 170 7 845 505 693 502 78 Dec........................................ 932 124 207 147 307 58 725 230 277 5 822 146 1 Gross proceeds are derived by multiplying principal amounts or 5 Foreign governments and their instrumentalities, International Bank number of units by offering price. for Reconstruction and Development, and domestic nonprofit organ- 2 Includes guaranteed issues. izations. 3 Issues not guaranteed. 4 See note to table at bottom of preceding page. Note.—Securities and Exchange Commission estimates of new issues 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
MARCH 1971 □ 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 1965......................... 15,952 7,891 8,061 12,747 4,649 8,098 3,205 3,242 -37 1966......................... 19,799 7,541 12,258 15,629 4,542 11,088 4,169 3,000 1,169 1967......................... 25,964 7,735 18,229 21,299 5,340 15,960 4,664 2,397 2,267 1968......................... 25,439 12,377 13,062 19,381 5,418 13,962 6,057 6,959 -900 1969......................... 28,841 10,813 18,027 19,523 5,767 13,755 9,318 5,045 4,272 1969—III................ 6,507 1,980 4,526 4,499 1,382 3,117 2,008 598 1,410 IV................ 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 II................. 10,114 2,227 7,886 7,876 1,545 6,330 2,238 682 1,556 Ill............... 9,385 2,089 7,297 7,598 1,546 6,051 1,788 542 1,245 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 1,558 946 186 4,464 1,353 1,834 241 1,687 866 1969—III................. 1,087 343 101 274 136 21 898 320 566 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 II................. 1,334 -6 343 633 64 -24 1,953 583 2,134 10 504 361 Ill................ 2,169 39 263 326 -15 21 1,917 750 991 6 691 139 1 Excludes investment companies. exclude foreign sales and include sales of securities held by affiliated com- 2 Extractive and commercial and miscellaneous 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 11 Sales 1 Re ti d o e n m s p s N al e e t s Total 2 po C si a ti s o h n 3 Other Sales i Re t d io 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 1970—Jan.... 523 303 220 44,945 3,959 40,986 1959............... 2,280 786 1,494 15,818 860 14,958 Feb... 407 249 158 48,202 4,209 43,993 1960............... 2,097 842 1,255 17,026 973 16,053 Mar... 451 289 162 47,915 4,046 43,869 Apr... 371 306 65 42,785 3,909 38,876 1961............... 2,951 1,160 1,791 22,789 980 21,809 May.. 304 300 4 39,824 4,042 35,782 1962............... 2,699 1,123 1,576 21,271 1,315 19,956 June.. 364 197 167 38,459 4,396 34,230 1963............... 2,460 1,504 952 25,214 1,341 23,873 July... 306 193 113 40,714 4,817 35,897 Aug... 311 167 144 42,452 4,794 37,658 1964............... 3,404 1,875 1,528 29,116 1,329 27,787 Sept... 357 218 139 44,353 4,593 39,760 1965............... 4,359 1,962 2,395 35,220 1.803 33,417 Oct.. . 420 243 177 43,567 4,377 39,190 1966............... 4,671 2,005 2,665 34,829 2,971 31,858 Nov... 343 215 128 45,223 4,126 41,097 Dec... 467 307 160 47,618 3,649 43,969 1967............... 4,670 2,745 1,927 44,701 2,566 42,135 1968............... 6,820 3,841 2,979 52,677 3,187 49,490 1971—Jan.... 487 242 245 50,251 3,663 46,588 1969............... 6,717 3,661 3,056 48,291 3,846 44,445 1 Includes contractual and regular single purchase sales, voluntary 3 Cash and deposits, receivables, all U.S. Govt, securities, and other and contractual accumulation plan sales, and reinvestment of invest short-term debt securities, less current liabilities. ment income dividends; excludes reinvestment of realized capital gains dividends. Note.—Investment Company Institute data based on reports of mem 2 Market value at end of period less current liabilities. bers, which comprise substantially all open-end investment companies registered with the Securities and Exchange Commission. Data reflect newly formed companies after their initial offering of securities. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 48 BUSINESS FINANCE a MARCH 1971 SALES, PROFITS, AND DIVIDENDS OF URGE CORPORATIONS (In millions of dollars) 1968 19691 Industry 1965 1966 1967 1968 1969 III IV III IV Manufacturing Total (177 corps.): Sales.................................................. 177,237 195,738201,399225,740243,449 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 3,289 743 751 763 825 812 820 849 Durable goods industries (99 corps.):3 Sales................................................... 112,341 122,094 123,429 140,879 151,416 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,J 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 ,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 ,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 Profits before taxes....................... 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 Dividends....................................... 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 Railroad: 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. Series have been temporarily discontinued. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 □ 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 s e P t a r a f o x t f e e i s r 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 t l i l s p o o u i n w t m a l p Quarter P b t e r a o f x o f e i r s t e s c ta o I x n m e s e P t a r a f o x t f e e i r s ts d C d e i a n v s d i h s t U r p i r b n o u d f t i i t e s s d co c a t n a l i l s o p o u n i w t m a l p ances1 ances 1 1963............... 59.4 26.3 33.1 16.5 16.6 31.8 1969—1___ 93.0 43.5 49.5 24.1 25.5 48.5 1964............... 66.8 28.3 38.4 17.8 20.6 33.9 II.... 93.4 43.8 49.7 24.4 25.2 49.3 1965............... 77.8 31.3 46.5 19.8 26.7 36.4 III.. . 89.9 42.1 47.9 25.0 22.9 50.1 1966............... 84.2 34.3 49.9 20.8 29.1 39.5 IV... 88.5 41.4 47.1 25.2 21.9 51.0 1967................ 79.8 33.2 46.6 21.4 25.3 43.0 1970—1 ... 82.6 38.0 44.6 25.2 19.4 52.0 1968................ 88.7 40.6 48.2 23.3 24.9 46.5 II.... 82.0 38.1 43.9 25.1 18.8 53.0 1969................ 91.2 42.7 48.5 24.7 23.9 49.8 III... 84.4 38.9 45.4 25.4 20.0 54.0 1970*............. 82.1 37.8 44.2 25.2 19.0 53.5 1 Includes depreciation, capital outlays charged to current accounts, and Note.—Dept, of Commerce estimates. Quarterly data are at seasonally accidental damages. adjusted annual rates. CURRENT ASSETS AND LIABILITIES OF CORPORATIONS (In billions of dollars) Current assets Current liabilities Net Notes and accts. Notes and accts. End of period working U.S. receivable payable Accrued capital Total Cash s G ec o u v r t i . I t n o v ri e e n s Other Total F in e c d o e m ra e l Other ties G U o . v S t . . 1 Other G U o . v S t . . 1 Other taxes 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................................ 198.9 470.4 54.1 12.7 5.1 216.0 153.4 29.0 271.4 5.8 190.6 14.1 60.8 1968................................. 212.0 513.8 58.0 14.2 5.1 237.1 165.8 33.6 301.8 6.4 209.8 16.4 69.1 1969—1........................... 214.6 523.3 54.6 16.0 4.8 241.3 170.4 36.1 308.7 6.9 210.7 18.5 72.7 II......................... 215.6 534.5 55.4 13.5 4.8 248.6 175.2 36.9 318.9 7.2 220.1 15.0 76.5 Ill....................... 213.8 544.7 53.9 12.4 4.6 256.3 180.0 37.4 330.9 7.5 227.9 15.9 79.6 IV........................ 213.2 555.9 54.9 12.7 4.8 261.0 184.8 37.8 342.7 7.3 238.1 16.6 80.6 1970—1........................... 213.3 561.0 52.9 12.5 4.7 264.5 188.0 38.5 347.7 7.2 238.4 18.0 84.2 II......................... 213.6 566.3 52.5 10.7 4.4 268.7 190.2 39.9 352.7 7.0 244.1 14.6 87.1 Ill....................... 214.0 567.6 53.7 9.3 4.2 270.0 191.8 38.5 353.6 6.8 243.0 15.4 88.3 i Receivables from, and payables to, the U.S. Govt, exclude amounts Note.—Securities and Exchange Commission estimates; excludes offset against each other on corporations’ books. banks, savings and loan assns., insurance companies, and investment companies. BUSINESS EXPENDITURES ON NEW PLANT AND EQUIPMENT (In billions of dollars) Manufacturing Transportation Public utilities Period Total Durable d N ur o a n b le Mining R ro a a i d l Air Other Electric and G a o s th er n C i o ca m ti m on u s Other1 T A (S o . . R t A a . . l ) 196 4 46.97 9.28 10.07 1.34 1.66 1.02 1.50 3.97 1.51 4.61 12.02 196 5 54.42 11.50 11.94 1.46 1.99 1.22 1.68 4.43 1.70 5.30 13.19 196 6 63.51 14.96 14.14 1.62 2.37 1.74 1.64 5.38 2.05 6.02 14.48 196 7 '65.47 14.06 14.45 1.65 1.86 2.29 1.48 6.75 2.00 6.34 14.59 196 8 67.76 14.12 14.25 1.63 1.45 2.56 1.59 7.66 2.54 6.83 15.14 196 9 75.56 15.96 15.72 1.86 1.86 2.51 1.68 8.94 2.67 8.30 16.05 197 0 79.71 15.80 16.15 1.89 1.78 3.03 1.23 10.65 2.49 10.10 16.59 19712........ 83.13 15.40 16.45 1.90 1.82 2.36 1.39 13.03 2.40 11.14 17.22 1969—11., 18.81 3.98 3.84 .48 .44 .66 . 46 2.22 .77 2.00 3.97 73.94 III. 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 II. 20.33 4.08 4.07 .47 .47 .80 .31 2.59 .69 2.59 4.26 80.22 III. 20.26 3.87 4.12 .46 .46 .74 .30 2.79 .78 2.56 4.16 81.88 IV. 21.66 4.26 4.40 .50 .43 .76 .33 3.12 .63 2.81 4.42 78.63 1971—12 » 17.96 3.21 3.46 .44 .38 .45 .29 2.86 .41 6.<47 80.55 112 20.89 3.86 4.03 .50 .53 .71 .36 3.29 .61 7.i01 82.54 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 n MARCH 1971 MORTGAGE DEBT OUTSTANDING (In billions of dollars) All properties Farm Nonfarm ho O l t d h e e r r s2 1 - to 4-family houses 4 com M m u e l r t c if ia a l m p il r y o p a e n r d ti es5 M t o y r p tg e a 6 ge E pe n r d i o o d f h A e o r l l s d l tu F i t n i c i n i o s 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 d n h n u d e d a i r l s s h A e o r l l s d l tu F i t n i c i n i o s a a t n l i n s 1 O h e o t r h l s d e 3 r h A e o r l l s d l Total tu F i t n i i n o s a t n i n s . 1 O h e o th r l s d e r Total tu F i t n i i n o s a t n i n s . 1 O h e o t r h l s d er F w u H V n ri d A A t e te - — 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 1967*......... 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* ... 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 1968—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 29.5 9.9 19.6 395.9 266.8 223.6 43.2 129.0 105.5 23.5 100.2 295.7 1970—1.... 429.3 340.6 28.5 60.1 29.8 9.8 20.0 399.5 268.5 223.7 44.8 131.0 107.1 23.9 101.9 297.9 II*.. 435.6 344.4 30.1 61.2 30.3 9.8 20.5 405.2 271.7 225.6 46.1 133.5 109.0 24.5 103.2 302.3 III... 442.7 349.6 31.3 61.8 30.7 98.0 20.8 412.0 275.8 228.6 47.2 136.2 111.2 25.0 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 p. A-52. 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 FHA- VA- Con farm FHA- VA- Con farm Total in- 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 1964................................. 43,976 28,933 7,315 2,742 18,876 12,405 2,638 40,556 36,487 12,287 11,121 13,079 4,016 53 1965................................. 49,675 32,387 7,702 2,688 21,997 14,377 2,911 44,617 40,096 13,791 11,408 14,897 4,469 52 1966................................. 54,380 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 1967................................. 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................................. 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—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—1........................... 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 Ill........................ 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—1........................... 70,854 44,568 7,888 2,496 34,184 22,248 4,038 56,433 48,892 15,865 12,144 20,883 7,427 114 II*........................ 71,291 44,845 7,800 2,575 34,469 22,392 4,054 56,961 49,291 15,916 12,150 21,225 7,556 114 Ill........................ 72,091 45,345 22,637 4,109 57,432 49,708 7,628 96 1 Includes loans held by nondeposit trust companies, but not bank States and possessions. First and third quarters, estimates based on special trust depts. F.R. interpolations after 1963 or beginning 1964. For earlier years, the 2 Data for 1941 and 1945, except for totals, are special F.R. estimates. basis for first- and third-quarter estimates included F.R. commercial bank call report data and data from the National Assn. of Mutual Savings Note.—Second and fourth quarters, Federal Deposit Insurance Corpo 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
MARCH 1971 n 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 1 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—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........................................ 564 541 27 6 508 23 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........................................ 524 493 31 4 458 31 72,793 67,121 11,621 5,609 49,891 5,672 May...................................... 521 502 39 9 454 19 72,982 67,320 11,606 5,583 50,131 5,662 June...................................... 549 522 25 5 492 27 73,165 67,498 11,569 5,556 50,373 5,667 July....................................... 551 531 50 5 476 20 73,352 67,687 11,561 5,528 50,598 5,665 Aug....................................... 472 458 31 8 419 14 73,427 67,767 11,526 5,499 50,742 5,660 520 489 31 6 452 31 73,540 67,875 11,486 5,467 50,922 5,665 Oct........................................ 555 527 28 5 494 28 73,728 68,058 11,453 5,442 51,163 5,670 Nov....................................... 553 533 37 6 490 20 73,848 68,189 11,436 5,416 51,337 5,659 Dec........................................ 1,143 1,099 44 8 1,047 44 74,345 68,693 11,325 5,390 51,978 5,652 i Includes 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-earlier 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) Ad Repay Members’ Period vances ments deposits Period h N o e m w e Home FHA- VA- Con Total t S e h rm or t i t L e o rm ng 2 Total i con pur Total 2 in- guar- ven struc chase sured anteed tional tion 278 213 195 176 19 46 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 3,804 2,866 6,935 5,006 1,929 1,036 1 1 1 9 9 9 6 6 6 6 4 5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 2 1 4 4 6 , , , 9 1 9 1 9 2 3 2 4 6 3 6, , , 0 6 6 1 3 5 3 8 3 1 1 7 0 0 , , , 8 8 5 2 3 38 8 0 1 1 1 1 1 0 4 1 0 , , , 3 4 3 3 2 0 3 7 6 5 5 4 , , , 1 2 8 4 6 9 5 9 4 6 6 6 , , , 3 6 1 9 8 5 3 8 7 1 9 8 0 8 9 3 , , , 7 0 7 6 0 5 1 3 6 1968......................... 2 1 , , 7 5 3 27 4 4 1 , ,8 0 6 7 1 6 4 5 , , 3 2 8 59 6 4 3 , , 8 9 6 8 7 5 4 3 0 9 1 2 1 1 , , 4 3 3 8 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 1968............... 21,983 4,916 11,215 130,802 6,658 7,012 117,132 1970—Jan............... 708 145 9,852 8,744 1,108 786 1969............... 21,832 4,756 11,244 140,209 7,910 7,653 124,646 F M e a b r .. . . . . . . . . . . . . . . . . . . . . . . . . . 3 1 8 3 4 6 2 3 9 8 9 8 9 9 , ,9 7 3 45 7 8 8 , , 5 7 0 1 1 7 1 1 , , 2 2 4 2 3 0 9 8 8 01 5 1970—Jan.... 1,064 220 530 140,345 7,937 7,669 124,739 Apr.............. 393 278 9,860 7,721 2,138 1,108 Feb.. . 1,042 223 502 140,568 8,000 7,680 124,888 May............ 240 92 10,008 7,031 2,997 1,188 Mar... 1,262 284 585 140,766 8,092 7,677 124,997 June............ 299 71 10,236 7,002 3,234 1,331 Apr... 1,400 325 627 141,252 8,184 7,712 125,356 July............. 243 106 10,373 4,445 5,927 1,193 May.. 1,586 373 741 141,975 8,325 7,761 125,889 Aug............. 179 106 10,446 3,967 6,478 1,238 June.. 2,086 398 1,017 143,103 8,579 7,862 126,662 Sept............. 204 125 10,524 3,477 7,047 1,339 July... 2,080 393 1,071 143,103 8,579 7,862 r127,403 Oct............. 135 120 10,540 1,496 Aug... 2,111 369 1,147 145,296 9,011 8,050 r128,234 Nov............. 112 126 10,525 1,978 Sept... 2,183 388 1,100 146,418 9,224 8,115 129,079 Dec.............. 224 134 10,615 3,081 7,534 +90 Oct— 2,127 406 1,032 147,570 9,441 8,230 129,903 Nov... 1,972 355 919 148,896 9,226 8,336 130,794 1971—Jan............... 43 331 10,326 2,924 7,403 -289 Dec.r. 2,474 416 968 150,560 10,195 8,507 131,860 1971—Jan.? . 1,650 301 748 151,529 10,474 8,678 132,377 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. 1 Includes loans for repairs, additions and alterations, refinancing, etc. not shown separately. 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 □ MARCH 1971 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 i Governmentunderwritten Con E pe n r d io o d f Total F i i n c n i s a a t l i n h O ol t d h e e r r s Total F in i c n i s a a t l i n h O ol t d h e e r r s End of period Total Total FH in A - g V u A ar - - ti v o e n n a l tutions tutions sured anteed i 1941................. 24.2 14.9 9.4 5.9 3.6 2.2 18.6 4.3 4.1 .2 14.3 1945................. 24.3 15.7 8.6 5.7 3.5 2.2 182.2 65.9 35.0 30.9 116.3 1963................ 211.2 176.7 34.5 29.0 20.7 8.3 197.6 69.2 38.3 30.9 128.3 1964................ 231.1 195.4 35.7 33.6 25.1 8.5 212.9 73.1 42.0 31.1 139.8 1965................ 250.1 213.2 36.9 37.2 29.0 8.2 223.6 76.1 44.8 31.3 147.6 1966................. 264.0 223.7 40.3 40.3 31.5 8.8 236.1 79.9 47.4 32.5 156.1 1967*............... 280.0 236.6 43.4 43.9 34.7 9.2 251.2 83.8 50.6 33.2 167.4 1968*.............. 298.6 250.8 47.8 47.3 37.7 9.6 236.1 79.9 47.4 32.5 156.1 1968—III___ 293.3 246.4 46.9 46.2 36.7 9.5 IV........ 298.6 250.8 47.8 47.3 37.7 9.6 239.1 81.0 48.1 32.9 158.1 243.2 82.1 48.7 33.4 161.1 1969—1........... 303.0 254.4 48.6 48.3 38.4 9.9 247.0 83.2 49.6 33.6 163.8 II......... 308.9 259.3 49.6 49.4 39.3 10.1 251.2 84.4 50.6 33.8 166.8 Ill... . 314.1 262.7 51.4 50.6 40.2 10.4 IV........ 319.0 265.0 54.0 52.2 41.3 10.9 1969—1............................ 254.8 85.3 51.4 33.9 169.5 259.5 87.1 52.2 34.9 172.3 1970—1........... 312.7 265.8 55.9 53.2 42.1 11.1 263.5 88.8 53.4 35.4 174.6 II*___ 326.2 268.7 57.5 54.5 43.1 11.4 IV.......................... 266.8 90.1 54.5 35.6 176.9 III*. . . 332.9 272.8 60.1 55.9 44.1 11.8 268.5 91.6 55.6 36.0 177.1 II*......................... 271.7 92.1 56.1 36.0 179.9 i Structures of five or more units. Ill*....................... 275.8 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 so e) u . rce as for “Mortgage Debt Out 1 Includes outstanding amount of VA vendee accounts held by private investors under repurchase agreement. Note.—For total debt outstanding, figures are FHLBB and F.R. estimates. For conventional, figures are derived. Based on data from FHLBB, Federal Housing Admin., and Veterans Admin. GOVERNMENT-UNDERWRITTEN RESIDENTIAL LOANS MADE (In millions of dollars) DELINQUENCY RATES ON HOME MORTGAGES FHA-insured VA-guaranteed (Per 100 mortgages held or serviced) Mortgages Mortgages Loans not in foreclosure Period Prop but delinquent for— Loans in Pro erty fore Total h N o e m w es h is o E t m i x n e g s jects i m pr i e m o n v t e s 2 Total 3 h N om ew es h i o s E t m i x n e g s End of period Total 30 days 60 days o 9 r 0 m da o y r s e closure 1945............. 665 257 217 20 171 192 1963................. 3.30 2.32 .60 .38 .34 1964............. 8,130 1,608 4,965 895 663 2,846 1,023 1,821 1964................ 3.21 2.35 .55 .31 .38 1965............. 8,689 1,705 5,760 591 634 2,652 876 1,774 1965................ 3.29 2.40 .55 .34 .40 1966............. 7,320 1,729 4,366 583 641 2,600 980 1,618 1966................ 3.40 2.54 .54 .32 .36 1967............. 7,150 1,369 4,516 642 623 3,405 1,143 2,259 1967................ 3.47 2.66 .54 .27 .32 1968............. 8,275 1,572 4,924 1,123 656 3,774 1,430 2,343 1968................ 3.17 2.43 .51 .23 .26 1969............. 9,129 1,551 5,570 1,316 693 4,072 1,493 2,579 1969................ 3.22 2.43 .52 .27 .27 1969—Sept.. 872 148 566 95 63 364 134 230 1966—III. 3.09 2.25 .52 .32 .36 Oct... 911 160 553 140 59 397 148 249 IV.... 3.40 2.54 .54 .32 .36 Nov.. 705 131 430 90 55 328 125 203 Dec.. 793 148 448 146 50 317 134 183 1967—1.......... 3.04 2.17 .56 .31 .38 II........ 2.85 2.14 .45 .26 .34 1970—Jan... 807 178 433 139 58 313 139 174 III.... 3.15 2.36 .52 .27 .31 Feb.. 643 141 361 109 32 235 107 128 IV___ 3.47 2.66 .54 .27 .32 Mar.. 780 176 406 157 42 257 114 143 Apr.. 864 176 385 257 45 232 97 135 2.84 2.11 .49 .24 .32 May. 943 176 351 367 48 237 98 139 II........ 2.89 2.23 .44 .22 .28 June. 1,097 218 478 336 64 262 99 163 III. 2.93 2.23 .48 .22 .26 July.. 1,087 230 475 319 62 297 108 189 IV___ 3.17 2.43 .51 .23 .26 Aug.. 1,030 247 504 228 49 316 111 204 Sept.. 1,099 268 521 247 63 336 113 223 1969—1........... 2.77 2.04 .49 .24 .26 II........ 2.68 2.06 .41 .21 .25 Ill.... 2.91 2.18 .47 .26 .25 1 Monthly figures do not reflect mortgage amendments included in annual IV.... 3.22 2.43 .52 .27 .27 totals. 2 Not ordinarily secured by mortgages. 1970—1 .... 2.96 2.14 .52 .30 .31 3 Includes a small amount of alteration and repair loans, not shown separ II......... 2.83 2.10 .45 .28 .31 ately; only such loans in amounts of more than $1,000 need be secured. Ill.... 3.10 2.26 .53 .31 .25 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
MARCH 1971 a 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 re A 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 n u te 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 2,062 604 620 371 491 196 6 4,396 3,345 1,051 2,081 1,920 214 196 7 3,348 2,756 592 860 1,045 1,171 196 7 5,522 4,048 1,474 1,400 12 1,736 501 196 8 4,220 3,569 651 1,089 867 1,266 196 8 7,167 5,121 2.046 1,944 2,697 1,287 196 9 4.820 4.220 600 827 615 1.130 196 9 10.950 7.680 3.270 4,121 6,630 3.539 1969-Dec.. 4.820 4.220 600 99 54 1.130 1969-Nov.. 10,386 7,305 3,081 564 460 3,465 Dec.. 10.950 7.680 3.270 593 683 3.539 1970-Jan.. 4,862 4,266 596 59 34 1,098 Feb. 4,903 4,311 592 58 24 1,057 1970-Jan... 11,513 8,062 3,452 592 836 3,694 Mar. 4,938 4,350 588 53 95 1,014 Feb.. 12,005 8,392 3,613 522 816 3,933 Apr., 4,965 4,381 584 44 48 970 Mar.. 12,499 8,739 3,760 526 696 4,108 May, 5,006 4,426 580 62 92 925 Apr.. 12,949 9,069 3,880 485 592 4,152 June, 5,033 4,458 575 58 191 992 May. 13,287 9,324 3,962 374 817 4,510 July., 5,070 4,499 571 55 172 966 June. 13,658 9,610 4.047 434 712 4,709 Aug., 5,102 4,535 567 54 123 802 July.. 14,084 9,936 4,148 470 532 4,684 Sept. 5,109 4,546 563 27 57 795 Aug.. 14,452 10,218 4,234 413 718 4,834 Oct.., 5,132 4,573 559 46 42 775 Sept.. 14,807 10,499 4,308 406 650 4,849 Nov., 5,141 4,587 554 35 42 776 Oct... 15,152 10,780 4,372 397 535 4,805 Dec.. 5,184 4,634 550 70 37 738 Nov.. 15,396 10,981 4,416 294 541 4,930 Dec.. 15,502 11,071 4,431 165 600 5,203 Note.—Government National Mortgage Assn. data. Data prior to Sept. 1968 relate to Special Assistance and Management and Liquidating Note.—Federal National Mortgage Assn. data. Data prior to Sept. portfolios of former FNMA and include mortgages subject to participation 1968 relate to secondary market portfolio of former FNMA. Mortgage pool of Government Mortgage Liquidation Trust, but exclude conven commitments made during the period include some multifamily and non tional mortgage loans acquired by former FNMA from the RFC Mortgage profit hospital loan commitments in addition to 1- to 4- family loan com Co., the Defense Homes Corp., the Public Housing Admin., and Com mitments accepted in FNMA’s free market auction system. munity Facilities Admin. FEDERAL NATIONAL MORTGAGE ASSOCIATION ACTIVITY UNDER FREE MARKET SYSTEM HOME-MORTGAGE YIELDS Implicit yield, by Mortgage amounts commitment period (In per cent) (in months) Primary market Secondary Date Accepted (conventional loans) market of auction By commitment FHA series Offered period (in months) 3 6 12-18 FHLBB series Yield Total Period (effective rate) on FHAinsured 3 6 12-18 New Existing h N om ew es h l n o o e a m w ns e In millions of dollars In per cent homes homes 1970—May 25.. 289.5 145.2 38.9 86.7 19.7 9.15 9.18 9.22 1966......................... 6.25 6.41 6.40 6.38 1967......................... 6.46 6.52 6.53 6.55 June 1.. 224.2 113.8 31.1 71.4 11.3 9.20 9.24 9.27 1968......................... 6.97 7.03 7.12 7.21 15.. 249.7 127.9 34.2 86.7 7.0 9.27 9.30 9.31 1969......................... 7.81 7.82 7.99 8.26 29.. 156.3 98.9 30.6 56.5 11.8 9.32 9.33 9.34 1970—Feb.............. 8.41 8.41 8.55 9.29 July 13.. 286.2 113.3 24.9 72.9 15.3 9.20 9.21 9.22 Mar............. 8.47 8.43 8.55 9.20 27.. 323.8 150.4 37.0 91.0 22.3 9.10 9.12 9.12 Apr.............. 8.41 8.34 8.55 9.10 May............ 8.45 8.34 8.55 9.11 Aug. 3.. 441.3 180.1 41.4 91.0 47.8 9.03 9.03 9.04 June............ 8.48 8.36 8.55 9.16 24.. 492.8 215.1 48.9 124.4 41.9 9.03 9.03 9.03 July............. 8.49 8.37 8.60 9.11 Aug............. 8.52 8.41 8.60 9.07 Sept. 8.. 384.2 200.1 45.6 117.0 37.5 9.06 9.04 9.04 Sept............. 8.48 8.42 8.50 9.01 24.. 207.8 195.3 40.1 121.5 33.7 9.01 9.01 9.02 Oct.............. 8.51 8.35 8.50 8.97 Nov............. 8.43 8.32 8.45 8.90 Oct. 5.. 267.5 149.8 62.2 73.1 14.5 8.90 8.92 8.97 Dec.r.......... 8.38 8.26 8.30 8.40 19.. 352.5 149.7 53.2 88.1 8.4 8.89 8.90 8.95 1971—Jan.*........... 8.17 8.07 7.95 Nov. 2.. 341.5 181.2 100.0 62.4 18.7 8.90 8.93 8.93 16.. 222.4 170.3 75.8 79.4 15.1 8.89 8.90 8.92 Note.—Annual data are averages of monthly figures. The Dec. 7.. 166.5 127.8 54.7 60.9 12.2 8.56 8.54 8.57 FHA data are based on opinion reports submitted by field offices 14. . 165.1 124.7 42.1 72.1 10.5 8.51 8.43 8.47 on prevailing local conditions as of the first of the succeeding month. Yields on FHA-insured mortgages are derived from 1971—Jan. 25.. 44.1 35.5 9.9 25.6 7.82 7.96 8.40 weighted averages of private secondary market prices for Sec. 203, 30-year mortgages with minimum downpayment and an Feb. 8.. 23.4 23.3 10.6 12.7 7.67 7.67 assumed prepayment at the end of 15 years. Gaps in data are due to periods of adjustment to changes in maximum permis Mar. 1.. 185.6 51.8 15.2 29.3 7.3 7.43 7.43 7.56 sible 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. Note.—Implicit secondary market yields are gross—before deduction of 50- The FHLBB effective rate series reflects fees and charges as well basis-point fee paid for mortgage servicing. They reflect the average accepted bid as contract rates (as shown in the table on conventional first- price for Govt.-underwritten mortgages after adjustment by Federal Reserve mortgage terms, p. A-35) and an assumed prepayment at end to allow for FNMA commitment fees and FNMA stock purchase and holding of 10 years requirements, assuming a prepayment period of 15 years for 30-year loans. Com mitments for 12-18 months are for new homes only. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 54 CONSUMER CREDIT □ MARCH 1971 TOTAL CREDIT (In millions of dollars) Instalment Noninstalment End of period Total Other Repair Auto consumer and mod Personal Single Charge Service Total mobile goods ernization loans Total payment accounts credit paper paper loans 1 loans 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 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 1970. 126,802 101,161 35,490 29,949 4,110 31,612 25,641 9,484 8,850 7,307 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 June................................ 122,542 98,699 36,809 27,303 4,040 30,547 23,843 9,239 7,473 7,131 July................................. 123,092 99,302 36,918 27,538 4,081 30,765 23,790 9,254 7,509 7,027 Aug................................. 123,655 99,860 36,908 27,801 4,104 31,047 23,795 9,294 7,508 6,993 Sept................................. 123,907 100,142 36,738 28,055 4,123 31,226 23,765 9,316 7,489 6,960 Oct.................................. 123,866 99,959 36,518 28,152 4,126 31,163 23,907 9,313 7,656 6,938 Nov................................. 123,915 99,790 36,011 28,378 4,133 31,268 24,125 9,345 7,757 7,023 Dec.................................. 126,802 101,161 35,490 29,949 4,110 31,612 25,641 9,484 8,850 7,307 1971- 125,077 100,101 35,004 29,575 4,067 31,455 24,976 9,480 8,094 7,402 1 Holdings of financial institutions; holdings of retail outlets are in- hold, family, and other personal expenditures, except real estate mortgage eluded in “other consumer goods paper.” loans. For back figures and description of the data, see “Consumer Credit,” Section 16 (New) of Supplement to Banking and, Monetary Statistics, 1965, Note.—Consumer credit estimates cover loans to individuals for house- and pp. 983-1003 of the Bulletin for Dec. 1968. INSTALMENT CREDIT (In millions of dollars) Financial institutions Retail outlets End of period Total Com Mis Auto Other Total mercial Finance Credit cellaneous Total mobile retail banks cos. 1 unions lenders 1 dealers 2 outlets 1939. 4,503 3,065 1,079 1,836 132 18 1,438 123 1,315 1941. 6,085 4,480 1,726 2,541 198 15 1,605 188 1,417 1945. 2,462 1,776 745 910 102 19 686 28 658 1950. 14,703 11,805 5,798 5,315 590 102 2,898 287 2,611 1955. 28,906 24,398 10,601 11,838 1,678 281 4,508 487 4,021 1960, 42,968 36,673 16,672 15,435 3,923 643 6,295 359 5,936 1965, 71,324 61,533 28,962 24,282 7,324 965 9,791 315 9,476 1966 77,539 66,724 31,319 26,091 8,255 1,059 10,815 277 10,538 1967, 80,926 69,490 32,700 26,734 8,972 1,084 11,436 285 11,151 1968, 89,890 77,457 36,952 29,098 10,178 1,229 12,433 320 12,113 1969. 98,169 84,982 40,305 31,734 11,594 1,349 13,187 336 12,851 1970 101,161 87,064 41,895 31,123 12,500 1,546 14,097 327 13,770 1970—Jan......................................................... 97,402 84,531 40,144 31,571 11,468 1,348 12,871 333 12,538 Feb........................................................ 96,892 84,393 39,990 31,538 11,459 1,406 12,499 331 12,168 96,662 84,308 39,956 31,433 11,533 1,386 12,354 331 12,023 97,104 84,802 40,245 31,537 11,644 1,376 12,302 332 11,970 May...................................................... 97,706 85,335 40,515 31,595 11,778 1,447 12,371 333 12,038 June...................................................... 98,699 86,311 40,979 31,862 12,030 1,440 12,388 336 12,052 July....................................................... 99,302 86,876 41,703 31,561 12,141 1,471 12,426 337 12,089 99,860 87,315 41,934 31,588 12,292 1,501 12,545 337 12,208 100,142 87,471 42,051 31,510 12,409 1,501 12,671 337 12,334 99,959 87,243 42,010 31,309 12,422 1,502 12,716 335 12,381 99,790 86,820 41,740 31,081 12,438 1,561 12,970 332 12,638 101,161 87,064 41,895 31,123 12,500 1,546 14,097 327 13,770 1971- 100,101 86,308 41,611 30,791 12,353 1,553 13,793 324 13,469 1 Finance companies consist of those institutions formerly classified 2 Automobile paper only; other instalment credit held by automobile as sales finance, consumer finance, and other finance companies. Mis- dealers is included with “other retail outlets.” cellaneous lenders include savings and loan associations and mutual See also Note to table above, savings banks. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 □ CONSUMER CREDIT A 55 INSTALMENT CREDIT HELD BY COMMERCIAL BANKS INSTALMENT CREDIT HELD BY FINANCE COMPANIES (In millions of dollars) (In millions of dollars) Automobile Repair paper Other and Other Repair End of con modern Per Auto con and Per period Total sumer ization sonal End of period Total mobile sumer modern sonal Pur goods loans loans paper goods ization loans chased Direct paper paper loans 1939................ 1,079 237 178 166 135 363 1939. 1,836 932 134 151 619 1941................. 1,726 447 338 309 161 471 1941 . 2,541 1,438 194 204 705 1945................ 745 66 143 114 110 312 1945, 910 202 40 62 606 1950................. 5,798 1,177 1,294 1,456 834 1,037 1950 5,315 3,157 692 80 1,386 1955................. 10,601 3,243 2,062 2,042 1,338 1,916 1955, 11,838 7,108 1,448 42 3,240 1960................. 16,672 5,316 2,820 2,759 2,200 3,577 1960 15,435 7,703 2,553 173 5,006 1965................. 28,962 10,209 5,659 4,166 2,571 6,357 1965 24,282 9,400 4,425 224 10,233 1966................. 31,319 11,024 5,956 4,681 2,647 7,011 1966 26,091 9,889 5,171 191 10,840 1967................. 32,700 10,927 6,267 5,126 2,629 7,751 1967, 26,734 9,538 5,479 154 11,563 1968................. 36,952 12,213 7,105 6,060 2,719 8,855 1968 29,098 10,279 5,999 113 12,707 1969................. 40,305 12,784 7,620 7,415 2,751 9,735 1969 31,734 11,053 6,514 106 14,061 1970................. 41,895 12,433 7,587 8,633 2,760 10,482 1970 31,123 9,941 6,648 94 14,440 1970—Jan.... 40,144 12,664 7,569 7,472 2,714 9,725 31,571 10,964 6,515 106 13,986 Feb.... 39,990 12,585 7,533 7,474 2,691 9,707 31,538 10,908 6,523 103 14,004 Mar.. . 39,956 12,552 7,538 7,476 2,678 9,712 31,433 10,876 6,489 102 13,966 Apr__ 40,245 12,550 7,598 7,568 2,685 9,844 31,537 10,949 6,478 101 14,009 May... 40,515 12,600 7,635 7,667 2,705 9,908 31,595 10,990 6,505 99 14,001 June... 40,979 12,680 7,722 7,828 2,731 10,018 31,862 11,073 6,560 98 14,131 July... 41,703 13,002 7,759 8,078 2,755 10,109 July....................... 31,561 10,771 6,499 96 14,195 Aug.. . 41,934 12,981 7,748 8,183 2,770 10,252 31,588 10,732 6,529 94 14,233 Sept.. . 42,051 12,890 7,734 8,263 2,783 10,381 31,510 10,619 6,568 94 14,229 Oct.... 42,010 12,824 7,730 8,286 2,785 10,385 31,309 10,465 6,594 94 14,156 Nov.... 41,740 12,628 7,654 8,299 2,779 10,380 31,081 10,226 6,548 94 14,213 Dec__ 41,895 12,433 7,587 8,633 2,760 10,482 31,123 9,941 6,648 94 14,440 1971—Jan.. .. 41,611 12,253 7,530 8,613 2,727 10,488 1971- 30,791 9,754 6,605 93 14,339 See Note to first table on preceding page. Note.—Finance companies consist of those institutions formerly clas sified as sales finance, consumer finance, and other finance companies. INSTALMENT CREDIT HELD BY OTHER NONINSTALMENT CREDIT FINANCIAL LENDERS (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 Retail Credit cial cial outlets cardsi 1939.................................. 150 27 5 12 106 banks insti 1941.................................. 213 47 9 11 146 tutions 1945.................................. 121 16 4 10 91 1950.................................. 692 159 40 102 391 1939. 2,719 625 162 1,414 518 1955.................................. 1,959 560 130 313 956 1941.. 3,087 693 152 1,645 597 1960.................................. 4,566 1,460 297 775 2,034 1945. 3,203 674 72 1,612 845 1965.................................. 8,289 3,036 498 933 3,822 1950. 6,768 1,576 245 3,291 76 1,580 1966.................................. 9,314 3,410 588 980 4,336 1955. 9,924 2,635 367 4,579 216 2,127 1967.................................. 10,056 3,707 639 1,006 4,704 1960. 13,173 3,884 623 4,893 436 3.337 1968.................................. 11,407 4,213 727 1,093 5,374 1969.................................. 12,943 4,809 829 1,183 6,122 1965. 18,990 6,690 981 5,724 706 4,889 1970.................................. 14,046 5,202 898 1,256 6,690 1966. 20,004 6,946 1,026 5,812 874 5,346 1967. 21,206 7,340 1,088 5,939 1,029 5,810 1970—Jan........................ 12,816 4,761 821 1,171 6,063 1968. 23,301 7,975 1,163 6,450 1,305 6,408 Feb........................ 12,865 4,762 822 1,176 6,105 1969. 24,300 7,900 1,196 6,650 1,584 6,970 Mar....................... 12,919 4,791 826 1,171 6,131 1970. 25,641 8.205 1.279 6.932 1.918 7.307 Apr....................... 13,020 4,835 834 1,174 6,177 May...................... 13,225 4,897 845 1,199 6,284 1970—Jan.. 23,672 7,887 1,205 5.932 1,607 7,041 June...................... 13,470 4,998 863 1,211 6,398 Feb.. 23,185 7,857 1,217 5,210 1,579 7,322 July....................... 13,612 5,049 872 1,230 6,461 Mar. 23,036 7,843 1,211 5,062 1,583 7.337 Aug....................... 13,793 5,110 881 1,240 6,562 Apr.! 23,298 7,892 1,210 5,289 1,611 7,296 Sept....................... 13,910 5,158 890 1,246 6,616 May. 23.640 7,925 1.234 5,633 1,640 7,208 Oct........................ 13,924 5,164 891 1,247 6,622 June. 23,843 8.005 1.234 5,765 1,708 7,131 Nov....................... 13,999 5,171 893 1,260 6,675 July. 23,790 8.005 1,249 5,727 1,782 7,027 Dec....................... 14,Q46 5,202 898 1,256 6,690 Aug.. 23,795 8,041 1.253 5,664 1,844 6,993 Sept., 23,765 8,062 1.254 5,617 1.872 6,960 1971—Jan......................... 13,906 5,143 888 1,247 6,628 Oct.. 23,907 8,059 1.254 5,797 1,859 6,938 Nov. 24,125 8,071 1,274 5,884 1.873 7,023 Dec.. 25.641 8.205 1.279 6.932 1.918 7.307 lan N eo o u t s e . l — en O de th rs e . r financial lenders consist of credit unions and miscel 1971—Jan.. 24,976 8,196 1,284 6,144 1,950 7,402 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 preceding page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 56 CONSUMER CREDIT □ MARCH 1971 INSTALMENT CREDIT EXTENDED AND REPAID, BY TYPE OF CREDIT (In millions of dollars) Total Automobile paper Ot g h o e o r d c s o p n a s p um er er mode R r e n p iz a a ir ti o an n d l oans Personal loans Period S.A.i N.S.A. S.A.i N.S.A. S.A.1 N.S.A. N.S.A. S.A.1 N.S.A. Extensions 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 1970. 104,130 29,831 36,781 2,145 35,373 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 June. 8,683 9,534 2,587 3,023 2.925 3,019 189 220 2,982 3,272 July. 9,065 9,497 2,685 2,952 3,124 3,141 192 220 3,064 3,184 Aug.. 8,809 8,915 2.537 2,540 3,168 3,152 173 197 2,931 3,026 Sept.. 8,849 8,580 2,621 2,402 3,071 3,097 186 194 2,971 2,887 Oct.. 8,580 8,670 2,349 2,463 3.113 3,200 182 184 2,936 2,823 Nov.. 8,414 8,271 2,127 2,006 3.113 3,147 180 176 2,994 2,942 Dec.. 8,536 10,194 2,170 2,045 3,281 4,562 177 149 2,908 3,438 1971—Jan.. 8,916 7,545 2,461 1,997 3,252 2,868 177 122 3,026 2,558 Repayments 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 1970............................................ 101,138 30,943 34,441 2,075 33*679 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 June................................ 8,242 8,541 2,573 2,669 2,750 2,771 174 183 2,745 2,918 July................................. 8,622 8,894 2,752 2,843 2,874 2,906 170 179 2,826 2,966 Aug................................. 8,577 8,357 2,632 2,550 2,967 2,889 175 174 2,803 2,744 Sept................................. 8,490 8,298 2,599 2,572 2,913 2,843 174 175 2,804 2,708 Oct.................................. 8,662 8,853 2,550 2,683 3,036 3,103 179 181 2,897 2,886 Nov................................. 8,716 8,440 2,577 2,513 3,082 2,921 176 169 2,881 2,837 Dec................................. 8,515 8,823 2,618 2,566 2,945 2,991 175 172 2,777 3,094 1971—Jan................................... 8,829 8,605 2,623 2,483 3,145 3,242 175 165 2,886 2,715 Net change in credit outstanding 2 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 1970. 2,992 -1,112 2,340 70 1,694 1970—Jan.. 380 -767 10 -311 203 -263 -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 June. 441 993 14 354 175 248 15 37 237 354 July. 443 603 -67 109 250 235 22 41 238 218 Aug.. 232 558 -95 -10 201 263 -2 23 128 282 Sept.. 359 282 22 -170 158 254 12 19 167 179 Oct.. -82 -183 -201 -220 77 97 3 3 39 -63 Nov.. -302 -169 -450 -507 31 226 4 7 113 105 Dec.. 21 1,371 -448 -521 336 1,571 2 -23 131 344 1971—Jan.. 87 -1,060 -162 -486 107 -374 -43 140 -157 1 Includes adjustments for differences in trading days. purchases and sales of instalment paper, and certain other transac 2 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
MARCH 1971 □ CONSUMER CREDIT A 57 INSTALMENT CREDIT EXTENDED AND REPAID, BY HOLDER (In millions of dollars) Other financial Total Commercial banks Finance companies lenders Retail outlets 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 1965. 78,586 29,528 25,192 9,436 14,430 1966. 82,335 30,073 25,406 10,362 16,494 1967. 84,693 30,850 25,496 10,911 17,436 1968. 97,053 36,332 28,836 12,850 19,035 1969. 102,888 38,533 30,854 14,245 19,256 1970. 104,130 39,136 29,662 14,619 20,713 1970—Jan... 8,521 7,490 3,047 2,751 2,565 2,179 175 1,001 734 1,559 Feb.. 8,625 7,106 3,167 2,735 2,510 2,125 198 1,038 750 1,208 Mar.. 8,392 8,243 3,193 3,206 2,439 2,391 122 1,144 638 1,502 Apr.. 8,491 8,773 3,208 3,450 2,502 2,581 198 1,229 583 1,513 May. 9,004 8,857 3,291 3,341 2,639 2,503 252 1,309 822 1,704 June. 8,683 9,534 3,262 3,643 2,616 2,912 233 1,407 572 1,572 July.. 9,065 9,497 3,382 3,697 2,590 2,731 365 1,418 728 1,651 Aug.. 8,809 8,915 3,308 3,385 2,427 2,416 235 1,318 839 1,796 Sept.. 8,849 8,580 3,417 3,352 2,441 2,300 265 1,212 726 1,716 Oct.. 8,580 8,670 3,276 3,301 2,371 2,387 221 1,187 712 1,795 Nov.. 8,414 8,271 3,159 2.885 2,300 2,342 184 1,150 771 1,894 Dec.. 8,536 10,194 3,326 3,390 2,240 2,795 187 1,206 783 2,803 1971—Jan... 8,916 7,545 3,338 2.885 2,411 1,961 1,288 1,055 1,879 1,644 Repayments 1965. 69,957 25,663 22,551 8,310 13,433 1966. 76,120 27,716 23,597 9,337 15,470 1967. 81,306 29,469 24,853 10,169 16,815 1968. 88,089 32,080 26,472 11,499 18,038 1969. 94,609 35,180 28,218 12,709 18,502 1970. 101,138 37,961 29,858 13,516 19,803 1970—Jan.., 141 8,257 2,962 2,912 2,431 2,342 086 1,128 662 1,875 Feb.. 207 7,616 3,101 2,889 2,368 2,158 099 989 639 1,580 Mar.. 194 8,473 3,119 3,240 2,389 2,496 065 1,090 621 1,647 Apr.. 195 8,331 3,081 3,161 2,415 2,477 117 1,128 582 1,565 May. 589 8,255 3,170 3,071 2,574 2,445 173 1,104 672 1,635 June. 242 8,541 3,041 3,179 2,548 2,645 087 1,162 566 1,555 July.. 622 8,894 3,264 3,388 2,580 2,617 184 1,276 594 1,613 Aug.. 577 8,357 3,185 3.154 2,507 2,389 158 1,137 727 1,677 Sept.. 490 8,298 3,249 3.235 2,482 2,378 127 1,095 632 1,590 Oct.. 662 8,853 3,258 3,342 2.551 2,588 165 1,173 688 1,750 Nov.. 716 8,440 3,276 3.155 2.552 2,570 135 1,075 753 1,640 Dec.. 515 8,823 3,262 3.235 2,465 2,753 113 1,159 675 1,676 1971—Jan... 8,829 8,605 3,385 3,169 2,486 2,293 1,199 1,195 1,759 1,948 Net change in credit outstanding 2 196 5 8,629 3,865 2,641 1,126 997 196 6 6,215 2,357 1,809 1,025 1,024 196 7 3,387 1,381 643 742 621 196 8 8,964 4,252 2,364 1,351 997 196 9 8,279 3,353 2,636 1,536 754 197 0 2,992 1,590 -611 1,103 910 1970—Jan... 380 -767 85 -161 134 -163 89 -127 72 -316 Feb.. 418 -510 66 -154 142 -33 99 49 111 -372 Mar.. 198 -230 74 -34 50 -105 57 54 17 -145 Apr.. 296 442 127 289 87 104 81 101 1 -52 May. 415 602 121 270 65 58 79 205 150 69 June. 441 993 221 464 68 267 146 245 6 17 July. 443 603 533 724 -405 -301 181 142 134 38 Aug.. 232 558 123 231 -80 27 77 181 112 119 Sept.. 359 282 168 117 -41 -78 138 117 94 126 Oct.. -82 -183 18 -41 -180 -201 56 14 24 45 Nov.. -302 -169 -117 -270 -252 -228 49 75 18 254 Dec.. 21 1,371 64 155 -225 42 74 47 108 1,127 1971—Jan... 87 -1,060 -47 -284 -75 -332 89 -140 120 -304 1 Includes adjustments for differences in trading days. changes in their outstanding credit. Such transfers do not affect total 2 Net changes in credit outstanding are equal to extensions less re instalment credit extended, repaid, or outstanding. payments, except in certain months when data for extensions and re payments have been adjusted to eliminate duplication resulting from Note.—“Other financial lenders” include credit unions and miscellaneous large transfers of paper. In those months the differences between ex lenders. See also Note to preceding table and Note 1 at bottom of p. A-54. tensions and repayments for some particular holders do not equal the Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 58 INDUSTRIAL PRODUCTION: S.A. □ MARCH 1971 MARKET GROUPINGS (1957-59=100) 19 p 5 r 7 o - 59 1969 1970 1971 Grouping p ti o o r n ageP Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov.r Dec.r Jan. Total index. 100.00 172.8 170.4 170.5 171.1 170.2 169.0 168.8 169.2 168.8 165.8 162.3 161.5 164.4 165.4 Final products, total............................ 47.35 170.8 168.5 169.9 169.7 168.5 167.7 167.1 166.8 166.5 163.1 159.8 159.4 163.1 163.7 Consumer goods............................ 32.31 162.5 161.5 162.4 162.0 163.2 163.2 162.8 163.5 163.5 160.1 157.0 157.0 162.5 164.7 Equipment, including defense.. . 15.04 188.6 183.6 186.2 186.3 179.9 177.3 176.3 173.7 173.0 169.6 165.9 164.5 164.2 161.6 Materials.............................................. 52.65 174.6 172.5 171.5 171.7 171.9 170.4 171.2 171.4 171.2 168.9 164.8 163.8 165.6 166.9 Consumer goods Automotive products..................... 3.21 173.2 155.3 154.8 160.0 158.4 166.4 170.3 172.8 167.5 133.1 110.1 112.2 145.9 166.7 Autos............................................... 1.82 162.8 132.9 127.6 138.4 136.1 156.0 163.0 163.8 163.3 108.5 76.5 78.1 131.9 155.1 Auto parts and allied products. 1.39 186.8 184.9 190.7 188.5 187.8 180.1 179.9 184.7 173.1 165.6 154.5 157.0 164.3 182.0 Home goods and apparel................... 10.00 159.3 152.3 153.6 154.5 155.0 153.0 153.2 155.4 156.4 153.4 153.9 150.3 151.6 152.0 Home goods........................................ 4.59 184.0 169.6 174.8 179.4 180.0 178.4 177.7 182.5 183.7 179.0 180.2 180.0 174.3 175.8 Appliances, TV, and radios......... 1.81 180.2 149.0 168.6 178.1 178.9 182.6 178.8 192.3 198.6 189.9 194.3 188.1 168.9 170.6 Appliances................................... 1.33 192.4 162.5 186.5 199.1 206.7 213.9 201.4 218.4 223.7 212.8 216.0 208.3 181.9 191.5 TV and home radios................. .47 145.6 111.0 118.2 119.1 100.3 94.2 115.2 118.8 127.8 125.5 133.2 131.1 132.2 111.5 Furniture and rugs......................... 1.26 180.3 173.8 169.2 170.3 170.6 165.5 164.9 165.2 164.9 164.4 166.5 169.3 170.5 171.5 Miscellaneous home goods.......... 1.52 191.5 190.5 186.7 188.4 189.0 184.1 186.9 185.0 181.6 178.0 174.8 179.3 183.9 185.6 Apparel, knit goods, and shoes.---- 5.41 138.5 137.6 135.7 133.4 133.8 131.4 132.4 132.4 133.2 131.7 131.6 125.2 132.4 Consumer staples................................... 19.10 162.4 167.3 168.2 166.2 168.4 168.0 166.6 166.3 166.6 168.1 166.7 168.0 171.0 171.1 Processed foods.................................... 8.43 136.6 138.7 139.5 139.6 140.2 141.1 137.9 138.7 139.4 139.3 135.2 138.3 140.8 141.2 Beverages and tobacco........................ 2.43 146.8 151.7 154.6 146.1 150.1 142.2 142.6 141.9 144.7 149.0 148.1 147.5 152.1 Drugs, soap, and toiletries................. 2.97 209.0 217.6 217.9 216.5 218.6 219.6 217.4 217.4 213.9 215.5 215.0 220.1 226.8 iii .6 Newspapers, magazines, and books. 1.47 147.1 147.7 147.6 146.1 146.0 146.9 147.6 142.9 143.1 140.5 140.8 143.2 144.7 145.4 Consumer fuel and lighting............... 3.67 199.6 210.0 210.3 207.2 212.6 212.3 213.7 212.8 213.5 219.2 221.7 217.2 218.0 Fuel oil and gasoline....................... 1.20 144.6 150.3 146.5 150.3 152.1 149.7 153.0 148.2 148.9 152.7 155.2 154.8 155.6 160.5 Residential utilities........................... 2.46 226.3 239.1 241.5 235.0 242.1 242.8 243.3 244.3 245.0 251.7 254.2 247.6 248.5 Electricity...................................... 1.72 249.7 264.7 267.5 257.7 267.5 268.1 268.1 269.1 269.7 281.9 285.0 275.1 276.0 Gas.................................................. .74 Equipment Business equipment............................ 11.63 195.6 192.8 196.9 198.0 193.0 188.7 188.0 186.1 185.9 182.3 178.9 177.8 177.9 174.9 Industrial equipment....................... 6.85 179.1 175.0 184.9 186.8 182.1 175.8 175.2 174.6 173.3 170.5 169.7 167.9 166.8 165.1 Commercial equipment................... 2.42 220.0 223.0 222.4 225.0 223.4 220.4 220.4 218.3 214.2 210.5 207.0 205.7 204.3 200.6 Freight and passenger equipment. 1.76 246.7 239.5 231.8 226.1 215.4 216.8 213.8 207.3 214.3 206.5 193.7 194.6 202.3 203.4 Farm equipment............................... .61 136.8 138.4 130.3 134.6 130.4 127.4 128.6 126.0 133.2 133.6 128.0 130.8 127.0 Defense equipment........... 3.41 Materials Durable goods materials., 26.73 165.5 160.1 157.9 159.1 159.6 157.5 157.8 158.4 157.4 151.9 144.3 141.9 145.9 147.6 Consumer durable........... 3.43 163.9 148.7 142.3 143.0 143.6 146.0 155.4 156.0 161.3 143.6 110.9 111.2 139.0 149.7 Equipment......................... 7.84 191.9 188.6 188.6 189.8 183.8 177.5 176.6 178.4 175.9 173.1 166.7 164.1 163.6 163.6 Construction..................... 9.17 152.4 151.2 150.7 148.8 148.8 146.8 145.1 146.3 147.3 146.1 144.2 140.6 142.0 143.0 Metal materials n.e.c... . 6.29 152.8 149.4 150.2 152.4 147.7 146.8 150.0 152.6 147.2 140.1 136.2 133.7 142.6 146.5 Nondurable materials............. 25.92 183.9 185.3 185.5 184.7 184.6 183.8 184.9 184.9 185.4 186.4 186.0 186.3 185.8 186.9 Business supplies.................... 9.11 166.6 167.5 166.2 164.8 164.5 162.1 163.4 164.9 165.0 161.2 159.5 160.7 162.2 162.8 Containers........................... 3.03 168.6 173.7 169.3 165.0 166.2 168.2 166.0 161.9 167.5 163.1 164.1 164.2 166.5 170.0 General business supplies. 6.07 165.5 164.4 164.7 164.7 163.7 159.1 162.1 166.4 163.7 160.3 157.2 158.9 160.0 159.2 Nondurable materials n.e.c.. 7.40 237.8 239.5 239.0 237.2 236.1 233.1 234.7 234.2 233.4 235.8 236.0 238.5 236.4 237.4 Business fuel and power........... 9.41 158.2 159.8 162.0 162.7 163.8 166.0 166.6 165.4 167.5 171.8 172.5 170.1 168.8 170.4 Mineral fuels........................... 6.07 134.9 135.3 137.1 137.4 139.1 142.0 142.4 140.2 144.4 147.5 148.0 146.6 144.2 145.8 Nonresidential utilities......... 2.86 216.7 222.4 225.0 226.3 226.5 228.1 228.6 229.4 227.9 235.1 236.7 231.1 232.6 Electricity............................ 2.32 220.6 227.1 230.2 231.8 232.0 233.8 234.3 235.0 233.0 238.7 240.8 233.9 235.8 General industrial......... 1.03 216.1 216.5 218.1 219.4 220.6 221.8 223.9 227.2 225.4 225.8 223.1 216.3 219.5 Commercial and other. 1.21 236.1 248.5 253.1 254.8 254.2 256.7 255.9 254.8 252.7 263.0 268.6 261.2 262.1 Gas....................................... .54 Supplementary groups of consumer goods Automotive and home goods... 7.80i 179.5 163.7' 166.6i 171.4 171.1 173.5! 172.7 178.5 177.0i 160.1 151.4 152.1 162.6 i 172.1 24.51 157.1 160.8! 161.CI 159.CI 160.7 159.9> 159.0l 158.8; 159.2: 160.1 158.9 158.6i 162.5 For Note see p. A-61. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 □ INDUSTRIAL PRODUCTION: S.A. A 59 INDUSTRY GROUPINGS (1957-59 = 100) Grouping 19 p p t 5 i r o o 7 o r n - 59 a 1 a v g 9 e e 6 r * 9 Jan. Feb. Mar. Apr. May June 1 J 9 u 7 ly 0 Aug. Sept. Oct. Nov. Dec.r 1 J 9 a 7 n 1 . Total index........................................ 100.00 172.8 170.4 170.5 171.1 170.2 169.0 168.8 169.2 168.8 165.8 162.3 161.5 164.4 165.4 86.45 173.9 170.2 170.3 170.8 170.0 168.1 168.0 168.5 167.7 163.7 159.4 159.0 162.3 163.2 Durable.............................................. 48.07 176.5 169.7 169.6 171.0 168.4 167.6 167.3 167.4 166.7 160.4 153.5 151.4 156.0 158.1 Nondurable........................................ 38.38 170.6 171.0 171.3 170.6 171.9 168.7 168.9 170.0 169.0 167.7 166.9 168.6 170.1 169.6 Mining..................................................... 8.23 130.2 131.7 134.2 135.1 133.9 134.8 135.5 133.8 137.1 138.9 139.9 139.4 138.2 139.2 5.32 221.2 230.1 232.7 230.3 233.8 234.9 235.4 236.3 235.8 242.8 244.8 238.7 240.0 242.2 Durable manufactures Primary and fabricated metals........... 12.32 162.5 159.2 156.5 157.8 154.7 155.2 155.6 157.1 157.1 154.2 145.6 142.1 145.7 149.9 Primary metals...................................... 6.95 149.1 143.1 139.2 141.9 138.9 142.6 142.7 145.2 145.6 142.6 133.9 129.3 134.7 138.5 Iron and steel.................................... 5.45 140.3 135.2 129.8 134.4 133.0 136.7 138*8 136.8 134.1 129.5 121.5 117.2 121.5 129.0 Nonferrous metals and products.. 1.50 181.1 174.8 177.3 183.6 175.4 174.4 169.2 172.6 169.7 172.1 161.5 162.9 176.9 175.9 Fabricated metal products................. 5.37 179.8 180.0 178.9 178.3 175.2 171.4 172.3 172.5 171.9 169.2 160.6 158.7 160.0 164.6 Structural metal parts..................... 2.86 173.3 175.4 174.6 174.4 170.2 164.2 164.4 162.9 164.0 162.7 158.0 158.2 158.9 163.9 27.98 188.4 178.8 180.0 182.2 178.6 177.6 178.0 177.4 176.0 167.2 158.9 156.8 162.9 164.2 14.80 195.7 189.7 195.8 199.1 194.9 191.0 190.6 191.2 190.3 186.2 182.9 179.0 176.7 174.7 8.43 194.6 195.9 195.8 196.6 191.7 187.1 185.2 185.2 183.0 180.0 176.1 172.7 170.4 166.9 6.37 197.2 181.5 195.9 202.5 199.1 196.3 197.7 199.1 199.9 194.5 191.9 187.4 185.0 185.1 Transportation equipment.................. 10.19 174.6 159.6 154.3 156.0 153.1 157.3 159.9 158.1 156.7 139.0 122.0 121.9 142.5 148.7 Motor vehicles and parts............... 4.68 166.9 146.8 142.1 148.9 148.0 158.5 164.4 164.8 164.7 127.3 95.4 96.9 142.0 158.6 Aircraft and other equipment 5.26 177.8 166.7 161.4 159.1 154.1 153.0 153.3 149.7 147.1 145.7 141.1 139.5 139.3 136.1 Instruments and related products. .. 1.71 194.4 194.8 194.0 193.6 195.4 191.3 187.9 187.0 183.3 181.8 181.3 181.7 180.5 181.5 1 28 4.72 142.5 141.1 141.2 137.5 140.3 139.2 134.1 134.7 136.9 133.8 135.0 133.3 135.7 138.0 Clay, glass, and stone products......... 2.99 156.0 154.5 155.0 151.7 154.6 152.6 149.4 148.8 150.1 148.7 149.4 148.5 153.1 151.7 Lumber and products.......................... 1.73 119.1 118.0 117.5 113.1 115.5 116.1 107.6 110.5 114.2 108.2 110.1 107.0 105.8 Furniture and miscellaneous................ 3.05 176.7 175.9 174.0 174.2 173.5 169.1 168.3 167.3 166.1 164.8 165.2 166.7 166.1 166.1 Furniture and fixtures......................... 1.54 186.9 183.4 179.4 180.4 179.5 174.4 173.8 172.5 172.9 171.7 173.9 174.7 174.5 173.8 Miscellaneous manufactures.............. 1.51 166.4 168.2 168.4 167.8 167.4 163.6 162.6 162.0 159.1 157.7 156.3 158.5 157.5 158.3 Nondurable manufactures Textiles, apparel, and leather............. 7.60 144.2 141.3 138.8 137.5 138.9 136.7 135.8 135.9 135.9 135.2 135.7 133.0 136.5 135.6 Textile mill products........................... 2.90 154.2 152.9 151.3 150.3 151.3 147.8 145.9 145.3 146.1 145.7 146.7 145.1 144.0 145.2 Apparel products.................................. 3.59 149.2 145.8 141.7 140.1 140.8 137.7 139.0 140.9 140.7 139.3 138.7 135.5 143.6 Leather and products.......................... 1.11 101.9 96.9 96.9 95.9 100.2 104.5 99.3 95.6 93.6 94.6 97.2 93.1 94.2 Paper and printing................................ 8.17 164.4 164.6 164.6 164.4 165.0 163.0 161.7 161.9 162.1 157.6 157.7 160.5 159.7 161.2 Paper and products.............................. 3.43 175.6 173.8 174.8 174.9 176.3 174.5 170.8 172.0 172.9 166.2 168.0 171.7 169.5 173.0 Printing and publishing....................... 4.74 156.3 157.9 157.3 156.9 156.9 154.8 155.2 154.6 154.3 151.5 150.2 152.4 152.7 152.8 Newspapers........................................ 1.53 142.7 141.7 142.1 137.9 139.3 136.9 137.5 140.0 138.7 137.4 134.5 137.2 136.6 134.9 Chemicals, petroleum, and rubber.... 11.54 222.6 222.1 224.1 224.7 227.0 220.2 224.3 226.8 223.5 222.0 221.5 224.1 225.9 223.7 7.58 239.0 240.2 242.6 242.3 244.4 241.4 243.2 243.3 239.8 240.8 240.7 243.7 245.0 241.4 Industrial chemicals......................... 3.84 283.0 281.9 284.3 284.8 289.2 281.3 285.8 285.7 280.7 282.0 282.9 285.4 283.8 1.97 143.8 143.3 143.0 146.6 147.9 146.5 147.8 145.5 147.5 150.3 150.1 154.2 156.0 154.8 Rubber and plastics products............ 1.99 238.7 231.4 234.0 235.3 239.4 212.2 227.8 244.8 236.9 221.4 219.1 218.9 222.3 Foods, beverages, and tobacco............ 11.07 139.0 142.7 143.5 141.3 142.3 141.3 139.2 140.0 140.1 141.0 138.4 141.2 142.7 142.7 Foods and beverages............................ 10.25 140.7 144.7 145.2 143.3 143.7 143.1 140.7 141.1 141.6 142.4 139.6 142.7 144.3 144.4 Food manufactures.......................... 8.64 136.7 140.2 140.4 140.0 140.1 141.0 138.3 139.5 138.8 138.7 135.7 139.4 140.0 140.5 Beverages............................................ 1.61 161.9 168.9 170.7 161.0 162.8 154.6 153.7 149.6 156.4 162.2 160.3 160.7 167.6 Tobacco products................................. .82 117.3 117.8 122.8 116.8 125.1 117.8 120.7 126.6 121.8 122.9 124.1 121.6 121.7 Mining Coal, oil, and gas.................................. 6.80 127.4 128.3 130.2 130.5 129.8 132.3 133.3 131.0 135.1 138.2 139.2 137.1 135.5 136.8 Coal......................................................... 1.16 117.7 113.1 122.3 121.5 123.0 134.2 124.3 127.5 128.5 121.9 128.1 127.3 126.1 131.1 Crude oil and natural gas................... 5.64 129.3 131.4 131.8 132.4 131.3 131.9 135.1 131.7 136.5 140.3 141.5 139.1 137.4 138.0 Oil and gas extraction..................... 4.91 139.0 140.5 140.6 141.2 142.9 143.9 146.7 143.2 148.2 152.1 152.6 151.2 148.5 149.2 Crude oil........................................ 4.25 132.0 133.7 133.0 133.5 135.2 135.8 137.5 134.4 139.8 144.1 145.1 143.8 141.0 141.5 Gas and liQiiids .66 184.0 Oil &nd gcis drilling .73 64.2 Metal, stone, and earth minerals........ 1.43 143.5 148.2 153.5 156.8 153.1 146.6 146.1 146.8 146.6 142.2 143.3 150.1 151.4 150.2 Metal mining......................................... .61 142.0 155.7 158.4 165.8 162.6 151.8 150.3 150.9 152.3 144.5 145.1 160.1 159.7 156.1 Stone and earth minerals.................... .82 144.7 142.6 149.8 150.1 146.1 142.8 143.0 143.8 142.3 140.5 142.0 142.7 145.2 145.8 Utilities Electric.................................................... 4.04 233.0 243.1 246.1 242.8 247.1 248.4 248.7 249.5 248.6 257.1 259.6 251.5 253.0 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. □ MARCH 1971 MARKET GROUPINGS (1957-59=100) 19 p 5 r 7 o - 59 1969 1970 1971 aver- Grouping por ageP tion Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov.r Dec. Jan. Total index. 100.00 172.8 168.2 171.5 172.1 170.6 169.1 172.1 163.6 169.1 170.2 166.5 162.9 162.5 163.6 Final products, total........................ 47.35 170.8 167.1 170.5 169.9 166.9 165.8 169.9 161.8 167.1 168.8 164.7 160.2 160.1 162.3 Consumer goods......................... 32.31 162.5 159.0 163.0 161.8 160.6 160.3 165.7 157.6 165.3 168.1 164.0 158.0 157.2 162.6 Equipment, including defense. 15.04 188.6 184.3 186.5 187.3 180.3 177.7 179.0 170.9 170.9 170.4 166.1 164.8 166.4 161.6 Materials.......................................... 52.65 174.6 169.5 172.5 174.0 174.3 172.1 174.1 165.3 170.9 171.5 168.5 165.4 164.2 165.0 Consumer goods Automotive products..................... 3.21 173.2 163.3 161.6 167.0 167.0 173.8 182.9 131.6 116.6 135.2 118.9 117.5 148.4 175.2 Autos............................................... 1.82 162.8 146.2 140.4 152.2 152.4 173.2 185.0 98.3 68.9 108.5 88.0 87.5 137.6 169.1 Auto parts and allied products. 1.39 186.8 185.9 189.4 186.5 186.3 174.4 180.1 175.6 179.5 170.3 159.7 157.0 162.5 183.2 Home goods and apparel............. 10.00 159.3 147.4 158.6 158.3 157.1 154.1 156.4 143.7 154.1 156.2 162.0 154.6 142. 147.9 Home goods.................................. 4.59 184.0 166.3 178.4 182.9 181.4 177.5 180.0 168.7 174.1 182.9 190.9 184.5 171.5 173.9 Appliances, TV, and radios.. 1.81 180.2 149.8 181.6 190.1 188.3 185.7 186.0 172.3 170.1 189.9 205.7 188.2 155.9 174.6 Appliances............................. 1.33 192.4 161.6 201.9 215.7 223.0 219.8 213.0 200.6 182.8 208.3 223.0 202.1 168.6 195.0 TV and home radios........... .47 145.6 116.4 124.3 117.8 90.3 89.5 110.0 92.3 134.2 138.0 157.2 148.9 120.3 117.0 Furniture and rugs................... 1.26 180.3 170.0 167.2 168.3 165.8 159.2 162.9 157.3 168.7 169.0 175.2 175.6 176.8 167.7 Miscellaneous home goods... 1.52 191.5 182.9 183.9 186.3 186.2 183.0 186.9 173.9 183.4 186.0 186.3 187.6 185.7 178.2 Apparel, knit goods, and shoes. 5.41 138.5 131.4 141.8 137.4 136.5 134.4 136.4 122.5 137.2 133.7 137.5 129.3 118.5 Consumer staples.................................. 19.10 162.4 164.4 165.6 162.8 161.4 161.2 167.7 169.2 179.4 179.8 172.6 166.6 166.2 168.2 Processed foods.................................... 8.43 136.6 131.8 133.2 131.6 129.8 132.6 136.5 138.0 153.0 155.0 150.1 143.6 137.0 134.1 Beverages and tobacco....................... 2.43 146.8 132.7 140.8 142.8 151.7 152.8 163.3 148.7 156.7 152.7 152.4 139.8 131.7 Drugs, soap, and toiletries................ 2.97 209.0 213.2 220.1 216.5 216.4 215.2 225.0 216.3 218.2 222.0 220.2 221.2 221.6 217.2 Newspapers, magazines, and books, 1.47 147.1 146.4 147.0 148.3 146.6 146.5 145.5 142.9 144.8 141.8 140.7 141 144.4 144.1 Consumer fuel and lighting............. 3.67 199.6 226.9 218.4 209.1 200.0 193.7 203.6 226.3 236.7 236.2 211.1 202.6 219.8 Fuel oil and gasoline..................... 1.20 144.6 151.5 150.0 148.7 144.3 144.8 151.3 151.0 153.3 156.2 151.2 153 160.9 161.7 Residential utilities......................... 2.46 226.3 Electricity.................................... 1.72 249.7 299.9 282.2 262.9 246.1 231.9 247.9 296.0 316.1 315.7 265. 244.8 276.0 Gas................................................ .74 Equipment Business equipment........................... 11.63 195.6 193.0 197.3 199.5 194.0 189, 191.9 182.9 183.5 183 178.8 177.2 179.7 174.3 Industrial equipment....................... 6.85 179.1 176.9 184.9 187.0 182.1 176.0 178.7 172.9 172.8 172.0 168.7 167.9 169.3 165.4 Commercial equipment................... 2.42 220.0 223.2 220.8 223.0 219.2 217.8 221.1 213.9 214.2 213 209.1 208 208.8 200.8 Freight and passenger equipment. 1.76 246.7 232 231. 232.9 224.0 223.3 222.4 203.2 207.9 204.4 193.7 190.7 200.3 197.3 Farm equipment............................... .61 136 141.0 143.9 150.5 140.1 134.4 135 114.1 110.9 131.0 127.8 119.4 122.0 Defense equipment........... 3.41 Materials Durable goods materials. 26.73 165.5 156. 158.4 161 160.4 159.5 162.0 153.2 156.0 154.9 147.1 143.6 145.9 146.3 Consumer durable.......... 3.43 163.9 153.9 144.4 147.3 147.9 150.4 158.5 142.7 147.6 140.7 111.5 114.5 146.0 154.9 Equipment......................... 7.84 191.9 190.3 190 191 185.8 178.7 178 172.9 170.6 171.4 166.2 164.3 166.1 165.1 Construction..................... 9.17 152.4 137.0 141.1 144.0 148.1 149.6 154.1 150.1 155.7 153.4 149.4 142.7 137.7 129.6 Metal materials n.e.c.. . , 6.29 152. 145.5 151.6 156.1 153.6 154.9 154.8 138.9 142.9 144.3 139.5 134.8 136. 142.7 Nondurable materials............. 25.92 183.9 182.5 186.9 187.1 188.5 185.1 186.6 177. 186.2 188.6 190.5 188.0 183.1 184.2 Business supplies................... 9.11 166.6 161.5 165.6 167.8 169.3 164.8 165.1 154.7 165.0 165.2 167. 164.4 156.6 156.9 Containers........................... 3.03 168.6 165.0 167.3 165.8 172.2 169.9 171.1 157.9 177.6 173.1 176. 164.2 148. 161.5 General business supplies. 6.07 165.5 159.8 164.7 168.8 167. 162.3 162.1 153.1 158.8 161.3 162.7 164.5 160. 154.7 Nondurable materials n.e.c.. 7.40 237.8 235.9 243 241.9 245.7 236.6 238.5 226.0 231.1 235.8 241.6 240.9 234.0 233.8 Business fuel and power........... 9.41 158.2 160.8 162.9 162.8 162.1 164.3 166 162.3 171.3 174.0 172.7 169. 168. 171.5 Mineral fuels.......................... 6.07 134.9 137.5 141.6 140.5 140.9 142.0 140.8 131.1 142.6 145.7 148 148. 146. 148.2 Nonresidential utilities......... 2.86 216.7 Electricity............................ 2.32 220.6 224.7 221 223.6 220.7 227.3 239.0 247.1 253.4 252.9 240.4 226, 229. General industrial......... 1.03 216.1 215. 212.6 217.0 217 222.9 228.4 226.1 229.9 229.2 223.5 216, 217. Commercial and other. 1.21 236.1 244. 240.4 241.0 235.1 243.1 261.0 279.0 288.1 287.2 267.5 246, 251. Gas........................................ .54 Supplementary groups of consumer goods Automotive and home goods. 7.80 179.5 165.1 171. 176.3 175 176.0 181.2 153.5 150.4 163.2 161.3 156 162. 174.4 Apparel and staples................. 24.51 157.1 157.1 160. 157.2 155.9 155. 160. 158.9 170.0 169.6 164.9 158. 155. For Note see p. A-61. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 a INDUSTRIAL PRODUCTION: N.S.A. A 61 INDUSTRY GROUPINGS (1957-59= 100) Grouping 19 p p t 5 i r o o 7 o r n - 59 a a 1 g v 9 e 6 e r 9 p Jan. Feb. Mar. Apr. May June Jul 1 y 9 70 Aug. Sept. Oct. Nov.r Dec. 1 J 9 a 7 n 1 . Total index. 100.00 172.8 168.2 171.5 172.1 170.6 169.1 172.1 163.6 169.1 170.2 166.5 162.9 162.5 163.6 Manufacturing, total. 86.45 173.9 167.5 171.3 172.2 171.0 168.9 171.8 161.6 166.4 167.6 164.5 161.2 160.2 160.5 Durable................... 48.07 176.5 169.1 170.7 173.5 170.5 169.4 171.3 159.8 161.0 162.3 156.3 153.3 156.6 157.1 Nondurable............ 38.38 170.6 165.6 172.0 170.6 171.7 168.4 172.3 163.8 173.2 174.2 174.8 171.1 164.6 164.8 Mining......................... 8.23 130.2 130.1 134.1 134.0 135.0 137.9 137.6 129.2 138.2 140.1 141.8 140.5 138.8 138.7 Utilities........................ 5.32 221.2 Durable manufacture Primary and fabricated metals......... 12.32 162.5 158.3 158.1 161.4 158.7 158.3 159.9 148.0 153.9 155.1 146.7 142. 145.5 148.1 Primary metals.................................... 6.95 149.1 143.1 145.7 150.7 147.9 149.0 147.6 131.1 137.2 137.9 132.2 128.0 130.5 138.5 Iron and steel.................................. 5.45 140.3 135.2 136.3 141.1 138.3 139.4 138. 124.5 128.7 128.2 123.3 118.4 119.7 131.6 Nonferrous metals and products. 1.50 181.1 171.8 180.0 185.6 183.1 183.6 179.7 155.3 168.0 173.3 164.6 162.9 169.8 172.9 Fabricated metal products............... 5.37 179.8 177.9 174.1 175.1 172.6 170.5 175.7 169.9 175.3 177.3 165.4 162.0 164.8 160.6 Structural metal parts................... 2.86 173.3 171.9 167.6 167.6 165.1 163.4 167.7 162.9 168.1 169.2 162.7 160.6 160.5 160.6 Machinery and related products 27.98 188.4 181.0 182.9 185.8 181.0 179.5 181.4 168.2 165.5 167.7 160.8 158.9 164.6 166.3 Machinery............................................ 14.80 195.7 191.3 198.8 202.1 197.3 192.1 193.6 185.3 184.5 187.0 184.2 180.2 177.7 176.2 Nonelectrical machinery............... 8.43 194.6 197.9 199.7 202.1 197.4 191.8 190.4 182.4 176.2 177.7 172.9 171.0 171.6 168.6 Electrical machinery...................... 6.37 197.2 182.5 197.6 202.1 197.2 192.4 197.8 189.2 195.6 199.3 199.1 192.5 185.8 186.2 Transportation equipment............... 10.19 174.6 163.5 158.2 161.6 157.0 161.2 164.6 142.0 136.1 139.0 124.8 125.5 145.2 152.7 Motor vehicles and parts............. 4.68 166.9 154.3 148.3 155.7 155.4 167.7 176.4 134.0 123.0 128.4 100 102.5 144.8 166.5 Aircraft and other equipment... 5.26 177.8 168.4 163.8 163.7 154.9 152.4 151.2 146.1 144.5 145.1 141.8 141.6 142.1 137.5 Instruments and related products.. 1.71 194.4 192.5 191.1 194.6 192.5 189.4 189.8 185.1 184.8 183.8 183.3 183.2 182.7 179.3 Ordnance and accessories................. 1.28 Clay, glass, and lumber............... 4.72 142.5 125.6 132.5 134.1 139.9 140.7 143.3 139.9 146.9 143.2 143.0 134 128.5 122.8 Clay, glass, and stone products. 2.99 156.0 137.5 142.9 145.8 154.0 155.0 159.7 157.0 161.8 157.2 157.6 150.0 145.0 135.0 Lumber and products................. 1.73 119.1 105.0 114.6 113.7 115.5 116.1 115.1 110.5 121.1 119.0 117.8 108.6 100.1 Furniture and miscellaneous.. 3.05 176.7 170.2 169.3 171.0 169.0 165.2 168.5 161.9 170.9 170.9 173.9 173.1 171.7 162.5 Furniture and fixtures............. 1.54 186.9 179.7 176.7 178.2 174.7 169.2 173.5 168.2 177.7 176.8 180.5 179.6 181.1 172.1 Miscellaneous manufactures. 1.51 166.4 160.6 161.7 163.6 163.2 161.1 163.4 155.5 163.9 164. 167.2 166.4 162.2 152.8 Nondurable manufactures Textiles, apparel, and leather. 7.60 144.2 138.9 146.4 143.0 142.0 139.5 139.3 124.9 139.0 137. 141.3 135.6 126.2 133.3 Textile mill products............... 2.90 154.2 152.1 155.5 154.1 154.3 151.5 147.4 135.9 146.8 148.6 151.1 149.5 139.0 144.5 Apparel products..................... 3.59 149.2 141.4 152.3 147.1 145.7 142.5 145.3 128.2 144.9 142.1 146.3 138.2 127.8 Leather and products.............. 1.11 101.9 96.4 103.6 100.7 98.2 98.2 98.8 86.0 99.7 96.0 99.6 91.2 87.9 Paper and printing........... 8.17 164.4 160.6 166.1 165.7 168.7 164.2 162.8 153.1 160.8 160.1 165.0 164.5 156.0 157.4 Paper and products........ 3.43 175.6 171.2 180.9 176.6 182.5 175.4 174.7 159.1 174.6 168.7 178.9 174.3 155.9 170.4 Printing and publishing. 4.74 156.3 152.9 155.4 157.8 158.8 156.1 154.3 148.8 150.8 153.8 155.0 157.4 156.1 148.0 Newspapers.................. 1.53 142.7 129.7 136.4 140.0 148.4 145.9 138.2 125.3 126.9 138.1 144.3 150.9 140.0 123.4 Chemicals, petroleum, and rubber. 11.54 222.6 218.5 228.0 226.9 228.3 220.1 229.2 219.3 223.3 227.5 226.6 225.9 222. 220.0 Chemicals and products................. 7.58 239.0 235.2 246.0 244.4 248.4 241.4 248.5 237.5 239.3 244.6 245.0 244.8 242.4 236.5 Industrial chemicals..................... 3.84 283.0 277.7 290.0 287.6 295.0 281.3 287.2 276.0 276.5 284.8 288.5 289.7 286.6 Petroleum products....................... 1.97 143.8 139.0 140.1 141.5 142.0 145.0 152.2 153.2 155.3 156.3 151.6 152.2 152.3 150.2 Rubber and plastics products....... 1.99 238.7 233.7 246.7 245.2 237.0 213.3 232 215.4 229.8 232.5 231.1 226.6 217.9 Foods, beverages, and tobacco. 11.07 139.0 132.6 135.5 134.6 135.2 137.5 142 140.4 153.6 154.2 151.0 143.3 136.5 134.3 Foods and beverages............... 10.25 140.7 133.9 136.6 136.1 136.1 138.7 143.8 142.7 155.4 156 152.2 144.9 139.5 135.5 Food manufactures............. 8.64 136.7 132.5 134.0 132.2 130.6 133.2 136.9 138.1 152.8 154.6 150.6 144.3 137.9 135.0 Beverages............................... 1.61 161.9 140.9 150.2 157.0 165.4 168.5 180.7 167.3 169.4 165.4 161.1 147.8 148.3 Tobacco products........................ .82 117.3 116.5 122.2 115.0 124.8 122.0 129.1 112.0 131. 127.7 135.1 124.0 99.1 Mining Coal, oil, and gas............................ 6.80 127.4 130.4 134.1 132.8 132.4 134.0 132.7 122.9 133.5 136.5 139.7 139.2 138.5 140.5 Coal................................................... 1.16 117.7 110.8 123.8 122.5 123.9 135.5 \21.2 94.7 135.2 135.3 139.6 132.5 123.8 128.5 Crude oil and natural gas............. 5.64 129.3 134.5 136.3 134.9 134.2 133 133.8 128.8 133.2 136.8 139.7 140.6 141.5 143.0 Oil and gas extraction............... 4.91 139.0 143.9 145. 144.7 144.9 143.5 144.0 139.8 144.4 148.1 150.6 151 151 152.8 Crude oil.................................. 4.25 132.0 135.7 137.0 136.2 137.4 136.5 136.1 131 137.0 141.2 143.6 143.8 142.4 143.6 Gas and gas liquids............... .66 184.0 Oil and gas drilling.................... .73 64.2 Metal stone, and earth minerals. 1.43 143.5 128.3 133.6 139 146.9 156.2 161.0 159.0 160.2 157.2 152.1 146.5 140.6 130.0 Metal mining.................................. .61 142.0 137.0 142 147.6 151.2 167. 169.8 161.5 164.5 163.3 155.3 148.9 143.7 137.4 Stone and earth minerals............. .82 144.7 121.8 126.9 133.9 143.8 148.1 154.4 157.2 157.0 152.6 149. 144.8 138.2 124.5 Utilities Electric. 4.04 233.0 256.7 247.2 240. 231.6 229.2 242. 268.0 280.2 279.7 253.9 234.2 249.3 Gas 1.28 74. Note.—Published groupings include some series and subtotals not Industrial Production—1957-59 Base. Figures for individual series and hown 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 □ MARCH 1971 SELECTED BUSINESS INDEXES (1957-59= 100, except as noted) Industrial production fac M tu a r n in u g 2 Prices 4 Ca Nonagpacity Period Total To M t F a a i l n jo a r g l s C o u m p o o m r a n d o e r s d k r u e E c t m t q g s u e r n i o p 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 iti t e il s i u n c t ( t i i e p m l o n i e n z f t r ) g a . t s C r t c a t r o i o u c o n t n c n s T m r p t i e o u c e l m o t r u n a a y l t l l - — i p m E lo m en y t P ro a l y ls T s r a e o l t t e a a i s l l 3 s = ( C u 1 m 1 o 9 0 6 n e 0 7 r ) m W = ( c s 1 o o a h 1 9 d m l o 0 6 e i 0 l 7 t e y ) 1952....................... 84.3 84.3 79.5 94.1 84.3 85.2 90.5 61.2 91.3 93.0 106.1 84.5 79 79.5 88.6 1953....................... 91.3 89.9 85.0 100.5 92.6 92.7 92.9 66.8 94.2 95.6 111.6 93.6 83 80.1 87.4 1954....................... 85.8 85.7 84.3 88.9 85.9 86.3 90.2 71.8 83.5 93.3 101.8 85.4 82 80.5 87.6 1955....................... 96.6 93.9 93.3 95.0 99.0 97.3 99.2 80.2 90.0 96.5 105.5 94.8 89 80.2 87.8 1956....................... 99.9 98.1 95.5 103.7 101.6 100.2 104.8 87.9 87.7 99.8 106.7 100.2 92 81.4 90.7 1957....................... 100.7 99.4 97.0 104.6 101.9 100.8 104.6 93.9 83.6 100.7 104.7 101.4 97 84.3 93.3 1958....................... 93.7 94.8 96.4 91.3 92.7 93.2 95.6 98.1 74.0 97.8 95.2 93.5 98 86.6 94.6 1959....................... 105.6 105.7 106.6 104.1 105.4 106.0 99.7 108.0 81.5 101.5 100.1 105.1 105 87.3 94.8 I960....................... 108.7 109.9 111.0 107.6 107.6 108.9 101.6 115.6 80.6 103.3 99.9 106.7 106 88.7 94.9 1961....................... 109.7 111.2 112.6 108.3 108.4 109.6 102.6 122.3 78.5 102.9 95.9 105.4 107 89.6 94.5 1962....................... 118.3 119.7 119.7 119.6 117.0 118.7 105.0 131.4 82.1 105.9 99.1 113.8 115 90.6 94.8 1963....................... 124.3 124.9 125.2 124.2 123.7 124.9 107.9 140.0 83.3 r86.1 108.0 99.7 117.9 120 91.7 94.5 1Q64....................... 132.3 131.8 131.7 132.0 132.8 133.1 111.5 151.3 85.7 r89.4 111.1 101.5 124.3 128 92.9 94.7 1965 143.4 142.5 140.3 147.0 144.2 145.0 114.8 160.9 88.5 r93.2 115.8 106.7 136.6 138 94.5 96.6 1966 156.3 155.5 147.5 172.6 157.0 158.6 120.5 173.9 90.5 r94.8 121.8 113.5 151.7 148 97.2 99.8 1967 158.1 158.3 148.5 179.4 157.8 159.7 123.8 184.9 85.3 *•100.0 125.4 113.6 155.1 153 100.0 100.0 1968 165.5 165.1 156.9 182.6 165.8 166.9 126.6 202.5 84.5 *•113.2 129.3 115.2 167.9 165 104.2 102.5 1969 172.8 170.8 162.5 188.6 174.6 173.9 130.2 221.2 *•123.7 133.8 117.3 180.8 171 109.8 106.5 1970. 134.5 111.5 177.4 1970-—Jan............. 170.4 168.5 161.5 183.6 172.5 170.2 131.7 230.1 ] r131. 135.2 115.7 183.0 173 113.3 109.3 Feb............ 170.5 169.9 162.4 186.2 171.5 170.3 134.2 232.7 79.8 *•137. 135.4 115.0 179.9 175 113.9 109.7 Mar........... 171.1 169.7 162.0 186.3 171.7 170.8 135.1 230.3 *•132. 135.6 115.2 182.2 174 114.5 109.9 Apr............ 170.2 168.5 163.2 179.0 171.9 170.0 133.9 233.8 | r130. 135.5 114.2 179.3 179 115.2 109.9 May.......... 169.0 167.7 163.2 177.3 170.4 168.1 134.8 234.9 f 78.0 r110. 134.9 112.6 176.7 178 115.7 110.1 June.......... 168.8 167.1 162.8 176.3 171.2 168.0 135.5 235.4 r120. 134.5 112.3 178.6 178 116.3 110.3 July........... 169.2 166.8 163.5 173.7 171.4 168.5 133.8 236.3 *•116. 134.4 111.9 178.1 180 116.7 110.9 Aug........... 168.8 166.5 163.5 173.0 171.2 167.7 137.1 235.8 t r76.2 *•135. 134.1 110.9 179.0 180 116.9 110.5 Sept........... 165.8 163.1 160.1 169.6 168 9 163.7 138.9 242.8 r118. 134.3 111.1 178.4 181 117.5 111.0 Oct............ 162.3 159.8 157.0 165.9 164.8 159.4 139.9 244.8 r115. 133.6 106.4 *•168.8 179 118.1 111.0 Nov........... 161.5 *•159.4 *•157.0 r164.5 r163.8 *•159.0 *•139.4 238.7 j *72.3 *■130. 133.4 105.5 *•168.5 177 118.5 110.9 Dec.r........ 164.4 163.1 162.5 164.2 165.6 162.3 138.2 240.0 132. 133.9 108.1 176.8 179 119.1 111.0 1971—Jan.r......... 165.4 163.7 164.7 161.6 166.9 163.2 139.2 242.2 117. 134.4 108.0 179.1 181 119.2 111.8 Feb.2’......... 164.8 163.0 164.2 160.6 166.7 162.5 138.1 244.0 . 134.3 107.6 177.3 183 112.7 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 F.R. index based on Census Bureau figures. Construction contracts: F. W. Dodge Co. monthly index of dollar 4 Prices are not seasonally adjusted. value of total construction contracts, including residential, nonresidential, and heavy engineering; does not include data for Alaska and Hawaii. Employment and payrolls: Based on Bureau of Labor Statistics data; Note.—All series: Data are seasonally adjusted unless otherwise noted. includes data for Alaska and Hawaii beginning with 1959. Prices: Bureau of Labor Statistics data. CONSTRUCTION CONTRACTS AND PRIVATE HOUSING PERMITS (In millions of dollars, except as noted) 1970 1971 Type of ownership and 1968 1969 type of construction Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov. Dec. Jan. Total construction 1........................... 61,732 67,425 4,927 5,249 6,140 6,757 5,417 6,552 6,177 6,229 5,398 5,453 5,144 4,974 4 ,383 By type of ownership: Public............................................ 19,597 22,656 1,433 1,652 2,037 1,791 1,695 2,814 2,312 2,078 1,869 2,023 1,937 1,688 Private 1....................................... 42,135 44,769 3,495 3,597 3,864 4,966 3,722 3,738 3,865 4,151 3,529 3,430 3,208 3,286 By type of construction: Residential building *............... 24,838 25,219 1,475 1,482 1,974 2,466 2,122 2,347 2,347 2,349 2,176 2,301 1,947 2,045 1,631 Nonresidential building............ 22,512 25,667 2,252 2,269 2,191 2,412 1,749 2,469 2,469 2,331 1,943 1,862 1,701 1,693 1,711 Nonbuilding................................ 14,382 16,539 1,201 1,498 1,975 1,877 1,544 1,361 1,361 1,549 1,278 1,289 1,497 1,235 1,041 Private housing units authorized... 1,330 1,299 1,050 1,137 1,099 1,263 1,321 1,306 1,275 1,326 1,371 1,521 1,487 *1,768*>1,595 (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
MARCH 1971 a CONSTRUCTION A 63 VALUE OF NEW CONSTRUCTION ACTIVITY (In millions of dollars) Private Public Nonresidential Conser Period Total Total d N f e r a e n o r s t m n i i a l Total Indus Bu C i o ld m in gs b O u t i h l e d r Other Total M ta i r l y i H w ig ay h d v e m a v & t e e i n o lo t n p Other 2 trial mercial ings 1 196 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 9,276 1,796 16,039 1970—Jan... 90,790 62,737 28,711 34,026 6,433 11,029 5,885 10,679 28,053 937 Feb.. 91,978 63,340 28,658 34,682 6,000 11,724 6,227 10,731 28,638 890 Mar.. 90,718 64,159 29,381 34,778 5,916 11,831 6,099 10,733 26,559 766 Apr.. r90,721 63,365 29,829 33,777 6,230 10,577 5,857 11.113 27,115 746 May. r89,702 62,656 29,150 33.506 5,864 10,553 5,975 11.114 27,046 868 June. r90,063 61,652 27,698 33,954 5,892 10,903 5,878 11,281 r28,411 830 July.. r89,204 60,795 27,134 33,661 5,915 10,027 5,932 11,787 "28,409 592 Aug.. r90,090 61,596 27,639 33.957 6,241 10,188 5,959 11,569 r28,494 845 Sept.. r90,893 62,489 28,532 33.957 5,741 10,375 5,686 12,155 '28,404 738 Oct... 91,657 63,686 29,729 33.957 5,983 10,210 5,572 12,192 r27,971 866 Nov. 91,429 63,386 30,628 32,758 5,752 9,278 5,575 12,153 28,043 701 Dec.r 94,280 65,742 32,113 33,629 5,358 10,372 5,739 12,160 28,538 768 1971—Jan.* 96,747 68,224 33,324 34,900 5,758 11,132 5,758 12,163 28,523 1,016 1 Includes religious, educational, hospital, institutional, and other build 4 Beginning 1963, reflects inclusion of new series under “Public” (for ings. State and local govt, activity only). 2 Sewer and water, formerly shown separately, now included in “Other.” 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 Period (N.S.A.) (N.S.A.) ship Region Type of structure ments (N.S.A.; Total North North 1- 2- to 4- 5- or east Central South West family family f m am or i e ly - Total Private Public Total FHA VA 1961............................ 1,313 247 277 473 316 974 3:S9 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 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................ 1,392 319 290 519 264 708 70 614 117 114 3 30 25 5 29 Apr................. 1,224 222 255 524 223 697 57 470 130 128 2 37 32 5 40 May................ 1,242 190 228 566 258 728 81 433 127 125 2 42 37 5 33 June................ 1,393 176 311 592 314 835 78 480 141 135 6 46 41 5 35 July................. 1,603 264 335 652 352 827 95 681 143 141 2 49 43 6 37 Aug................. 1,425 181 298 640 306 838 94 493 132 129 3 40 34 6 38 Sept................ 1,509 198 262 673 376 881 122 506 133 131 2 40 34 6 41 Oct.................. 1,583 227 331 649 376 890 87 606 143 141 2 46 40 6 41 Nov.r............. 1,693 262 355 737 339 934 111 648 128 127 1 39 34 5 30 Dec.r............. 2,028 233 416 908 471 1,228 102 698 122 120 2 69 63 6 27 1971—Jan.*............... 1,701 239 307 723 432 931 105 665 113 109 4 37 32 5 24 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 □ MARCH 1971 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 t . u 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 E In m c n u p o l l t n o u a r y a g e l r d i- 1 In U pl n o e y m ed U (p n e m e r S a r m . e t c A e n p e . 2 t l n o t y ) industries agriculture 1965............................. 129,236 52,058 77,178 74,455 71,088 66,726 4,361 3,366 4.5 1966............................. 131,180 52,288 78,893 75,770 72,895 68,915 3,979 2,875 3.8 19673........................... 133,319 52,527 80,793 77,347 74,372 70,527 3,844 2,975 3.8 1968............................. 135,562 53,291 82,272 78,737 75,920 72,103 3,817 2,817 3.6 1969............................. 137,841 53,602 84,239 80,733 77,902 74,296 3,606 2,831 3.5 1970............................. 140,182 54,280 85,903 82,715 78,627 75,165 3,462 4,088 4.9 1970—Feb.................. 139,298 54,673 85,539 82,198 78,781 75,300 3,481 3,417 4.2 Mar................. 139,497 54,489 85,918 82,600 78,969 75,436 3,533 3,631 4.4 Apr.................. 139,687 54,456 86,031 82,760 78,886 75,317 3,569 3,874 4.7 139,884 54,915 85,849 82,621 78,601 75,031 3,570 4,020 4.9 June................ 140,046 52,816 85,392 82,213 78,299 74,763 3,536 3,914 4.8 July................. 140,259 52,304 85,865 82,711 78,574 75,066 3,508 4,137 5.0 Aug.................. 140,468 53,220 85,904 82,770 78,508 75,073 3,435 4,262 5.1 Sept................. 140,675 55,019 86,084 82,975 78,479 75,043 3,436 4,496 5,4 Oct................... 140,886 54,631 86,379 83,300 78,691 75,398 3,293 4,609 5.5 Nov................. 141,091 54,705 86,512 83,473 78,550 75,197 3,353 4,923 5.9 Dec.................. 141,301 55,137 86,622 83,609 78,463 75,055 3,408 5,146 6.2 1971—Jan................... 141,500 55,872 86,873 83,897 78,864 75,451 3,413 5,033 6.0 Feb.................. 141,670 56,017 86,334 83,384 78,537 75,208 3,329 4,847 5.8 i 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 Manufac Mining construc tion & pub Trade Finance Service Govern turing tion lic utilities ment 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 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 1970............................................................... 70,664 19,393 622 3,347 4,498 14,950 3,679 11,577 12,597 SEASONALLY ADJUSTED 1970—Feb.................................................... 71,135 19,937 626 3,466 4,496 14,987 3,652 11,530 12,441 Mar................................................... 71,242 19,944 626 3,481 4,502 14,984 3,665 11,537 12,503 Apr................................................... 71,149 19,795 622 3,426 4,468 14,991 3,673 11,564 12,610 May.................................................. 70,839 19,572 620 3,351 4,478 14,968 3,677 11,572 12,601 June.................................................. 70,629 19,477 620 3,324 4,511 14,927 3,679 11,532 12,559 July................................................... 70,587 19,402 618 3,314 4,539 14,933 3,676 11,514 12,591 Aug................................................... 70,414 19,271 619 3,305 4,520 14,912 3,670 11,521 12,596 Sept................................................... 70,531 19,285 621 3,262 4,511 14,961 3,684 11,622 12,585 Oct.................................................... 70,182 18,684 621 3,278 4,509 15,011 3,696 11,665 12,718 Nov................................................... 70,085 18,538 625 3,303 4,493 14,945 3,711 11,695 12,775 Dec.................................................... 70,303 18,842 625 3,319 4,437 14,851 3,723 11,727 12,779 1971—Jan.*................................................. 70,609 18,811 625 3,236 4,466 15,129 3,749 11,777 12,816 Feb.*................................................. 70,514 18,737 621 3,164 4,481 15,139 3,742 11,785 12,845 NOT SEASONALLY ADJUSTED 1970—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.................................................. 70,780 19,432 620 3,344 4,469 14,878 3,670 11,641 12,726 June.................................................. 71,385 19,627 635 3,504 4,561 14,994 3,708 11,717 12,639 July................................................... 70,602 19,325 635 3,572 4,593 14,924 3,738 11,698 12,117 Aug................................................... 70,527 19,446 636 3,606 4,574 14,869 3,732 11,648 12,016 Sept................................................... 70,922 19,512 628 3,500 4,561 14,936 3,695 11,634 12,456 Oct.................................................... 70,692 18,850 622 3,471 4,527 15,038 3,689 11,677 12,818 Nov................................................... 70,644 18,645 623 3,379 4,515 15,191 3,697 11,660 12,934 Dec.................................................... 71,234 18,864 621 3,226 4,446 15,744 3,704 11,645 12,984 1971—Jan.*................................................. 69,578 18,623 611 2,906 4,395 14,895 3,704 11,553 12,891 Feb.*................................................. 69,459 18,574 604 2,803 4,405 14,755 3,705 11,608 13,005 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
MARCH 1971 □ EMPLOYMENT AND EARNINGS A 65 PRODUCTION WORKER EMPLOYMENT IN MANUFACTURING INDUSTRIES (In thousands of persons) Seasonallyadjusted1 Not seasonally adjusted1 Industry group 1970 1971 1970 1971 Feb. Dec. Jan.* Feb.* Feb. Dec. Jan.* Feb.* 14,489 13,610 13,604 13,548 14,346 13,649 13,439 13,410 8,367 7,700 7,683 7,655 8,327 7,735 7,637 7,615 Ordnance and accessories.......................................... 155 114 111 105 155 115 112 105 Lumber and wood products...................................... 515 488 494 498 498 480 475 481 Furniture and fixtures................................................ 390 370 370 370 388 374 369 368 Stone, clay, and glass products................................ 522 499 494 489 501 492 475 468 Primary metal industries............................................ 1,072 990 991 984 1,072 981 985 984 Fabricated metal products........................................ 1,090 1,021 1,015 1,013 1,085 1,031 1,012 1,008 Machinery..................................................................... 1,381 1,209 1,191 1,185 1,394 1,206 1,193 1,196 Electrical equipment and supplies........................... 1,319 1,188 1,183 1,188 1,320 1,206 1,189 1,189 Transportation equipment........................................ 1,291 1,239 1,255 1,247 1,301 1,271 1,267 1,257 Instruments and related products........................... 289 262 261 260 288 264 261 260 Miscellaneous manufacturing industries................ 343 320 318 316 325 315 299 299 Nondurable goods................................................................. 6,122 5,910 5,921 5,893 6,019 5,914 5,802 5,795 Food and kindred products...................................... 1,241 1,197 1,196 1,200 1,157 1,186 1,131 1,118 Tobacco manufactures............................................... 67 62 63 61 64 68 63 59 Textile-mill products................................................... 867 831 835 833 861 832 825 827 Apparel and related products................................... 1,226 1,207 1,210 1,192 1,232 1,204 1,186 1,200 Paper and allied products.......................................... 557 536 535 535 551 539 531 529 Printing, publishing, and allied industries............. 690 677 674 669 688 682 670 667 Chemicals and allied products.................................. 616 595 595 588 613 592 589 585 Petroleum refining and related industries............... 119 116 118 118 115 114 114 114 Rubber and misc. plastic products........................... 454 419 424 430 452 425 423 428 Leather and leather products.................................... 285 270 271 267 286 272 270 268 1 Data adjusted to 1969 benchmark. 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 1970 1971 1970 1971 1970 1971 ! Feb. Dec. Jan.* Feb.* Feb. Dec. Jan.V FebV Feb. Dec. Jan.* Feb.* 39.9 39.6 39.8 39.4 130.94 138.45 138.60 137.94 3.29 3.47 3.50 3.51 Durable goods.......................................................... 40.5 40.1 40.4 40.0 140.24 149.45 149.,17 148.85 3.48 3.69 3.72 3.,74 Ordnance and accessories............................. 41.3 40.6 41.1 41.2 144.43 154.54 156.,46 151.40 3.54 3.76 3.77 3.,72 Lumber and wood products........................ 40.1 39.9 39.6 40.2 111.90 119.89 118..08 121..27 2.84 3.02 3.02 3.07 Furniture and fixtures................................... 39.3 39.6 39.5 39.4 104.49 114.33 109.,70 110.19 2.70 2.83 2.82 2.,84 Stone, clay, and glass products................... 41.7 41.4 41.1 41.3 134.15 144.96 141,,86 143.,37 3.28 3.51 3.52 3..54 40.9 39.9 40.4 40.8 157.08 161.60 165.,24 166.,87 3.85 4.05 4.08 4.,10 Fabricated metal products........................... 41.1 40.3 40.5 40.1 140.48 147.78 147,.17 145,,30 3.46 3.64 3.67 3..66 41.9 40.4 40.3 40.0 155.87 157.49 156,,36 155.,60 3.72 3.86 3.88 3.,89 Electrical equipment and supplies.............. 39.7 39.7 39.9 39.2 127.04 138.23 136,.17 135.,24 3.20 3.43 3.43 3,.45 Transportation equipment........................... 40.3 40.2 41.3 41.0 157.21 176.71 181,.69 179,,34 3.97 4.31 4.41 4.45 Instruments and related products............... 40.2 39.6 39.8 39.5 131.45 138.00 136.62 137,.07 3.27 3.45 3.45 3.,47 Miscellaneous manufacturing industries... 38.6 38.8 38.9 37.7 108.64 113.88 112.51 111.,43 2.80 2.92 2.93 2.,94 Nondurable goods................................................... 39.3 39.1 39.2 38.8 117.69 124.58 123.77 123.52 3.01 3.17 3.19 3.,20 Food and kindred products......................... 40.7 40.5 40.7 40.7 123.20 133.09 133.80 132,.80 3.08 3.27 3.32 3.,32 Tobacco manufactures.................................. 37.3 39.0 39.3 37.9 106.64 119.10 114.98 113,.25 2.89 3.00 3.01 3.,02 Textile-mill products...................................... 40.1 39.7 40.5 40.4 96.80 101.45 101.85 102,.36 2.42 2.53 2.54 2.54 Apparel and related products..................... 35.5 35.4 35.2 34.4 83.78 86.49 85.61 85,.31 2.36 2.45 2.46 2.,48 Paper and allied products............................ 42.3 41.5 42.0 41.9 140.37 148.75 148.10 148,.16 3.35 3.55 3.56 3.,57 Printing, publishing, and allied industries. 38.0 37.6 37.7 37.5 144.02 153.90 151.03 152,.18 3.81 4.05 4.06 4.08 Chemicals and allied products..................... 41.8 41.4 41.6 41.3 149.76 158.08 157.77 157,.00 3.60 3.80 3.82 3.82 Petroleum refining and related industries . 42.7 43.5 42.8 43.1 176.81 185.76 186.95 189,.06 4.23 4.33 4.43 4.48 Rubber and misc. plastic products............. 41.0 39.5 40.0 40.2 127.48 132.47 132.53 132.53 3.14 3.32 3.33 3.33 Leather and leather products....................... 37.1 37.3 37.0 36.1 92.38 96.27 95.60 93,.91 2.47 2.54 2.57 2.58 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 □ MARCH 1971 CONSUMER PRICES (1967 = 100) Housing Health and recreation Period it A em ll s Food Total Rent H ow om ne e r - - F a o u n i e d l l e G a l n e a c d s n F i a n i n u s g h d r s 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 ic e a d l s P o e n r a l R a i e n n a g d d g O a o t n o h d d e s r ship coal tricity opera care care recrea serv tion tion ices 1929............................ 51.3 48.3 76.0 48.5 1933............................ 38.8 30.6 54.1 36.9 1941............................ 44.1 38.4 53.7 57.2 40.5 81.4 44.8 44.2 37.0 41.2 47.7 49.2 1945............................ 53.9 50.7 59.1 58.8 48.0 79.6 61.5 47.8 42.1 55.1 62.4 56^9 1960............................ 88.7 88.0 90.2 91.7 86.3 89.2 98.6 93.8 89.6 89.6 85.1 79.1 90.1 87.3 87.8 1961............................ 89.6 89.1 90.9 92.9 86.9 91.0 99.4 93.7 90.4 90.6 86.7 81.4 90.6 89.3 88.5 1962........................... 90.6 89.9 91.7 94.0 87.9 91.5 99.4 93.8 90.9 92.5 88.4 83.5 92.2 91.3 89.1 1963............................ 91.7 91.2 92.7 95.0 89.0 93.2 99.4 94.6 91.9 93.0 90.0 85.6 93.4 92.8 90.6 1964............................ 92.9 92.4 93.8 95.9 90.8 92.7 99.4 95.0 92.7 94.3 91.8 87.3 94.5 95.0 92.0 1965............................ 94.5 94.4 94.9 96.9 92.7 94.6 99.4 95.3 93.7 95.9 93.4 89.5 95.2 95.9 94.2 1966............................ 97.2 99.1 97.2 98.2 96.3 97.0 99.6 97.0 96.1 97.2 96.1 93.4 97.1 97.5 97.2 1967............................ 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 1968............................ 104.2 103.6 104.2 102.4 105.7 103.1 100.9 104.4 105.4 103.2 105.0 106.1 104.2 104.7 104.6 1969............................ 109.8 108.9 110.8 105.7 116.0 105.6 102.8 109.0 111.5 107.2 110.3 113.4 109.3 108.7 109.1 1970-Jan.................... 113.3 113.5 114.7 107.9 122.1 107.3 105.2 111.0 113.4 109.8 113.2 116.3 111.3 110.8 113.3 Feb................. 113.9 114.1 115.7 108.4 123.5 108.1 105.6 111.6 114.0 109.8 113.7 117.1 111.7 110.9 113.6 Mar................ 114.5 114.2 116.9 108.8 125.5 108.2 105.8 112.4 114.6 109.7 114.2 118.2 112.2 111.2 114.0 Apr................. 115.2 114.6 117.6 109.1 126.5 108.3 106.6 112.8 115.0 111.2 114.9 119.1 112.4 111.9 114.7 May............... 115.7 114.9 118.2 109.4 127.5 108.4 106.7 113.2 115.7 112.1 115.4 119.7 112.8 112.6 115.1 June............... 116.3 115.2 118.6 109.8 128.5 108.6 106.3 113.5 116.0 112.7 116.1 120.5 112.7 113.3 115.7 July................ 116.7 115.8 119.2 110.1 129.0 109.6 106.6 113.7 115.3 113.4 116.6 121.3 113.1 113.7 116.2 Aug................ 116.9 115.9 119.9 110.5 130.0 110.1 107.3 113.9 115.4 112.7 117.2 122.0 113.7 114.2 116.8 Sept................ 117.5 115.7 120.6 110.9 131.3 111.4 107.6 114.2 117.2 113.0 117.7 122.6 114.0 114.7 117.4 Oct................. 118.1 115.5 121.2 111.4 131.9 112.5 108.8 114.5 118.2 115.2 118.2 122.8 114.4 115.2 118.0 Nov................ 118.5 114.9 121.9 111.8 132.5 113.9 109.9 115.1 119.0 116.0 118.7 123.4 114.5 116.0 118.3 Dec................. 119.1 115.3 122.6 112.6 133.4 114.9 110.7 115.3 119.2 116.9 119.1 124.2 115.0 116.2 118.5 1971—Jan.................. 119.2 115.5 122.7 112.9 133.4 116.7 111.5 115.4 117.6 117.5 119.8 124.9 115.3 117.3 118.9 Note.—Bureau of Labor Statistics index for city wage-earners and clerical workers. WHOLESALE PRICES: SUMMARY (1967 = 100) Industrial commodities Pro Period m c t A o i o e m l d s l i p F u r a c o r t m d s c f f e o a e s o n e s d d d e s d s Total t T e il e t e c x s . , H e i t d c e . s, F e u tc e . l, C ic e h a t e c 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 M a q e h n e u r i a y d n n i p t F t e u u t r r c n e . , i N t e m m a r o l a i e l n n l i - s c - T e p m t q r o i a o e u r n n n i t p a s t 1 n c M e e o l i l u s a s I960................................ 94.9 97.2 89.5 95.3 99.5 90.8 96.1 101.8 103.1 95.3 98.1 92.4 92.0 99.0 97.2 93.0 1961................................ 94.5 96.3 91.0 94.8 97.7 91.7 97.2 100.7 99.2 91.0 95.2 91.9 91.9 98.4 97.6 93.3 1962................................ 94.8 98.0 91.9 94.8 98.6 92.7 96.7 99.1 96.3 91.6 96.3 91.2 92.0 97.7 97.6 93.7 1963................................ 94.5 96.0 92.5 94.7 98.5 90.0 96.3 97.9 96.8 93.5 95.6 91.3 92.2 97.0 97.1 94.5 1964................................ 94.7 94.6 92.3 95.2 99.2 90.3 93.7 98.3 95.5 95.4 95.4 93.8 92.8 97.4 97.3 95.2 1965................................ 96.6 98.7 95.5 96.4 99.8 94.3 95.5 99.0 95.9 95.9 96.2 96.4 93.9 96.9 97.5 95.9 1966................................ 99.8 105.9 101.2 98.5 100.1 103.4 97.8 99.4 97.8 100.2 98.8 98.8 96.8 98.0 98.4 97.7 1967................................ 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 1968................................ 102.5 102.5 102.2 102.5 103.7 103.2 98.9 99.8 103.4 113.3 101.1 102.6 103.2 102.8 103.7 102.2 1969................................ 106.5 108.8 107.3 106.0 105.9 108.6 101.0 99.9 105.4 125.2 104.2 108.5 106.4 104.9 108.1 100.7 104.9 1970—Jan...................... 109.3 112.8 112.0 108.3 107.4 109.3 101.9 100.7 108.0 115.4 107.0 114.0 109.6 106.3 111.7 102.9 107.4 Feb..................... 109.7 114.0 112.1 108.7 107.3 109.4 102.7 101.1 107.9 114.0 107.7 115.1 109.8 106.7 112.1 102.9 107.5 Mar.................... 109.9 114.6 111.8 108.9 107.4 109.5 102.6 101.6 107.7 113.4 108.0 115.9 110.1 106.9 112.5 103.2 107.8 Aprl................... 109.9 111.6 111.8 109.3 107.2 111.0 103.8 102.0 107.5 113.9 108.4 116.6 110.4 107.1 112.9 103.1 107.8 May................... 110.1 111.3 111.1 109.7 107.2 110.4 105.3 102.2 107.5 114.8 108.2 117.4 110.6 107.1 113.0 103.2 108.1 June................... 110.3 111.6 111.7 109.8 107.2 109.9 104.8 102.1 107.4 114.0 108.1 117.8 111.0 107.4 113.0 103.3 110.7 July.................... 110.9 113.4 113.3 110.0 107.1 109.8 105.1 102.5 109.0 113.5 108.4 117.7 111.5 107.6 113.2 103.2 111.1 Aug..................... 110.5 108.5 112.9 110.2 107.4 109.8 105.8 102.7 109.7 114.0 108.2 117.5 111.6 107.7 113.6 103.3 111.2 Sept.................... 111.0 112.1 113.0 110.4 107.5 109.9 107.1 102.5 109.4 114.2 108.3 117.4 112.1 107.8 113.8 103.6 111.5 Oct..................... 111.0 107.8 111.8 111.3 107.3 110.4 108.7 103.0 109.5 113.1 108.9 117.7 112.7 108.0 114.2 108.2 111.6 Nov.................... 110.9 107.0 111.7 111.3 107.1 110.9 109.7 103.3 109.1 111.9 108.7 116.8 113.1 108.4 114.6 108.5 111.8 Dec..................... 111.0 107.1 110.7 111.7 106.7 110.4 112.8 103.3 109.4 111.1 108.5 116.2 113.8 108.7 115.1 108.9 111.9 1971—Jan...................... 111.8 108.9 111.8 112.2 106.9 111.7 113.5 103.8 108.4 112.2 109.0 116.5 114.2 |109.3 jl 18.8 109.5 112.3 1 For transportation equipment, Dec. 1968=100. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 □ PRICES A 67 WHOLESALE PRICES: DETAIL (1967=100) 1970 1971 1970 1971 Group Group Feb. Dec, Jan. Feb. Feb. Dec. Jan. Feb. Farm products: Pulp, paper, and allied products: Fresh and dried produce. 115.4 111.3 115.7 118.3 Pulp, paper and products, excluding Grains................................. 93.2 108.0 111.0 111.7 building paper and board.............. 108.0 108.8 109.4 109.6 Livestock............................ 123.5 99.5 102.2 118.9 Woodpulp.............................................. 106.8 111.8 112.2 112.2 Live poultry....................... 106.3 80.5 96.3 100.0 Wastepaper............................................ 138.5 108.5 107.8 105.0 Plant and animal fibers. . 90.7 86.7 87.0 88.0 Paper....................................................... 110.5 112.1 112.6 112.7 Fluid milk.......................... 115.5 117.6 117.6 117.7 Paperboard............................................ 102.2 99.5 99.3 101.3 Eggs..................................... 162.4 127.3 113.3 97.6 Converted paper and paperboard... 107.0 108.6 109.3 109.4 Hay and seeds................... 92.1 106.8 108.7 108.6 Building paper and board.................. 101.2 100.3 100.1 100.4 Other farm products........ 115.7 120.0 119.9 119.5 Processed foods and feeds: Metals and metal products: Cereal and bakery products................. 105.3 110.9 111.0 111.1 Meat, poultry, and fish.......................... 119.0 104.3 108.6 115.2 Iron and steel........................................ 112.9 116.5 117.6 118.0 Dairy products......................................... 110.0 112.8 112.8 112.3 Steelmill products................................ 111.1 116.6 116.8 117.0 Processed fruits and vegetables............ 109.4 111.0 111.2 111.5 Nonferrous metals............................... 126.4 116.7 115.4 114.2 Sugar and confectionery....................... 113.0 117.8 118.6 118.3 Metal containers.................................. 111.7 115.8 115.8 115.8 Beverages and beverage materials.... 111.1 114.3 115.0 115.2 Hardware............................................... 109.6 114.8 115.3 115.5 Animal fats and oils................................ 138.7 129.0 114.6 122.6 Plumbing equipment............................ 111.1 113.2 113.2 113.2 Crude vegetable oils................................ 110.9 130.8 124.9 127.6 Heating equipment.............................. 107.8 112.7 113.6 114.1 Refined vegetable oils............................. 108.1 132.8 141.0 147.7 Fabricated structural metal products 108.8 114.2 115.2 115.7 Vegetable oil end products................... 105.4 117.5 119.4 119.4 Miscellaneous metal products........... 109.9 117.6 117.7 117.7 Miscellaneous processed foods............. 113.1 112.5 111.8 111.9 Manufactured animal feeds................... 107.2 109.3 108.1 104.9 Textile products and apparel: Machinery and equipment: Cotton products.............................. 105.4 106.9 107.1 107.5 Agricultural machinery and equip... 112.1 116.3 116.3 116.8 Wool products................................. 101.0 96.8 96.2 95.4 Construction machinery and equip.. 113.9 119.6 120.2 120.5 Manmade fiber textile products. 105.2 97.5 97.2 97.4 Metalworking machinery and equip. 112.5 115.1 115.2 116.0 Apparel.............................................. 110.0 111.9 112.3 112.0 General purpose machinery and Textile housefurnishings............... 102.8 103.3 103.3 103.4 equipment.......................................... 111.4 117.0 117.0 117.3 Miscellaneous textile products... 105.6 107.7 106.8 107.3 Special industry machinery and equipment.......................................... 114.3 118.8 119.3 119.4 Hides, skins, leather, and products: Electrical machinery and equip......... 105.0 108.2 108.8 109.3 Miscellaneous machinery................... 111.3 115.6 116.1 115.9 Hides and skins............ 107.3 101.9 98.9 105.3 Leather............................ 106.3 107.3 108.2 108.7 Footwear........................ 112.1 113.9 116.0 116.3 Furniture and household durables: Other leather products. 105.7 106.8 107.4 107.6 Fuels and related products, and power: Household furniture.......................... 110.8 112.7 112.9 113.9 Commercial furniture....................... 112.1 117.5 117.5 118.2 Coal........................................... 127.5 175.8 176.0 176.0 H Fl o o u o s r e c h o o v ld e r a in p g p s li . a .. n ... c .. e .. s .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 0 0 0 4 . .7 0 1 9 0 9 6 . . 7 4 1 1 0 0 0 7 . . 8 0 1 10 0 7 0 . . 1 6 C E G l o a e s k c t e f r . u i . c . e . . l . p s .. . o . . . . . w . . . . . . e . . . . . r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 1 0 1 0 1 3 2 . . . 1 3 9 1 1 1 4 0 0 5 7 8 . . . 5 9 7 1 1 1 4 0 0 5 9 9 . . . 9 3 8 1 1 1 0 4 1 8 5 0 . . . 1 9 2 H O o th m er e h e o le u c s t e r h o o ni l c d e d q u u r i a p b m le e g n o t. o ... d .. s .. . . .. . .. . 1 9 1 3 5 . . 5 3 1 9 1 4 7 . . 2 6 1 9 1 4 9 . . 4 4 1 9 1 4 9 . . 2 8 Crude petroleum..................... 106.0 113.2 113.2 113.2 Petroleum products, refined. 99.0 107.5 107.9 106.9 Nonmetallic mineral products: Chemicals and allied products: Flat glass.............................................. 113.4 116.6 123.1 123.1 Industrial chemicals......................... 100.3 101.4 101.8 101.9 Concrete ingredients......................... 113.9 112.7 117.6 117.3 Prepared paint.................................... 111.6 112.8 114.5 114.5 Concrete products.............................. 110.4 114.5 117.1 117.6 Paint materials......................................... 102.1 102.0 103.6 103.6 Structural clay products excluding Drugs and pharmaceuticals................... 100.6 101.8 101.9 102.4 refractories...................................... 108.2 111.3 111.4 112.7 Fats and oils, inedible............................ 116.0 150.9 133.7 142.6 Refractories......................................... 119.1 126.4 126.7 126.7 Agricultural chemicals and products.. 88.2 89.4 91.7 92.6 Asphalt roofing.................................. 107.2 107.0 108.8 108.8 Plastic resins and materials................... 90.2 90.6 89.5 89.8 Gypsum products.............................. 105.4 95.1 97.0 97.9 Other chemicals and products............. 106.8 109.5 111.0 111.2 Glass containers................................. 119.6 124.3 131.9 131.9 Other nonmetallic minerals............. 108.8 117.4 121.0 121.0 Rubber and plastic products :l Crude rubber............................................ 104.9 100.0 99.5 99.1 Tires and tubes........................................ 105.9 112.0 107.5 107.5 Transportation equipment: Miscellaneous rubber products............ 111.3 116.8 117.0 117.0 Plastic construction products (Dec. Motor vehicles and equipment. 106.8 113.4 113.9 114.1 1969 = 100)............................................ 99.1 95.2 95.3 95.8 Railroad equipment..................... 113.6 116.8 119.0 119.0 Unsupported plastic film and sheeting (Dec. 1970=100).............................. 100.0 100.0 102.9 Laminated sheets, high pressure......... (Dec. 1970=100)............................... 100.0 100.7 99.9 Miscellaneous products: Lumber and wood products: Toys, sporting goods, small arms, ammunition..................................... 107.9 110.5 111.7 112.3 Lumber......................... 114.5 111.1 113.0 120.3 Tobacco products.............................. 109.8 117.0 116.8 116.9 Millwork...................... 116.5 114.0 114.2 115.2 Notions................................................. 107.6 109.4 111.3 111.3 Plywood....................... 108.0 104.6 104.9 112.8 Photographic equipment and supplies 104.1 105.7 105.6 105.6 Other wood products. 117.4 117.8 117.8 118.1 Other miscellaneous products.... 106.2 110.8 111.3 111.7 1 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 □ MARCH 1971 GROSS NATIONAL PRODUCT (In billions of dollars) 1969 1970 Item 1929 1933 1941 1950 1966 1967 1968 1969 1970 IV II III IV Gross national product. 103.1 55.6 124.5 284.8 749.9 793.9 865.0 931.4 976.5 951.7 959.5 971.1 985.5 989.9 Final purchases.............. 101.4 57.2 120.1 278.0 735.1 785.7 857.4 922.9 973.1 944.5 957.9 968.1 980.0 986.3 Personal consumption expenditures. 77.2 45.8 80.6 191.0 466.3 492.1 535.8 577.5 616.7 592.6 603.1 614.4 622.1 627.0 Durable goods................................ 9.2 3.5 9.6 30.5 70 73.1 84.0 90.0 89.4 90.8 89.1 91.9 91.2 85.3 Nondurable goods......................... 37.7 22.3 42.9 98.1 206.9 215.0 230.2 245.8 264.7 252.0 258.8 262.6 265.8 271.5 Services............................................ 30.3 20.1 28.1 62.4 188.6 204.0 221.6 241.6 262.6 249.8 255.2 259.9 265.1 270.2 Gross private domestic investment........ 16.2 1.4 17.9 54.1 121.4 116.6 126.5 139.8 135.7 140.2 133.2 134.3 138.3 137.1 Fixed investment.................................. 14.5 3.0 13.4 47.3 106.6 108. 118.9 131.4 132.3 133.0 131.6 131.2 132.7 133.5 Nonresidential................................... 10.6 2.4 9.5 27.9 81.6 83.3 88.7 99.3 102.6 102.6 102.6 102.8 103.6 101.3 Structures...................................... 5.0 .9 2.9 9.2 28.5 28.0 29.6 33.8 35.2 35.1 35.7 35.3 35.0 34.7 Producers’ durable equipment. 5.6 1.5 6.6 18.7 53.1 55.3 59.1 65.5 67.4 67.5 66.9 67.5 68.6 66.6 Residential structures..................... 4.0 .6 3.9 19.4 25.0 25.1 30.3 32.0 29.7 30.4 29.1 28.4 29.2 32.2 Nonfarm....................................... 3. .5 3.7 18.6 24.5 24.5 29.7 31.5 29.1 29.8 28.4 27.8 28.6 31.6 Change in business inventories........ 1.7 - 1.6 4.5 6 14. 8.2 7.6 8.5 3.5 7.2 1.6 3.1 5.5 3.6 Nonfarm........................................... 1.8 -1.4 4.0 6.0 15.0 7.5 7.5 8.0 2.9 6.5 .9 2.6 5.0 3.0 Net exports of goods and services. 1.1 .4 1.3 1.8 5.3 5.2 2.5 1.9 3.6 2.6 3.5 4.1 4.2 2.6 Exports.......................................... 7 2.4 5.9 13. 43.4 46.2 50.6 55.5 62.2 58. 61.1 62.8 62.8 62.0 Imports.......................................... 5.9 2.0 4.6 12.0 38.1 41.0 48.1 53.6 58.6 56.2 57.6 58.7 58.6 59.3 Government purchases of goods and services. 8. 8.0 24.8 37.9 156.8 180.1 200.2 212.2 220.5 2163 219.6 218.4 221.0 223.2 Federal.............................................................. 1. 2.0 16 18.4 77. 90.7 99.5 101.3 99.7 102.1 102.3 99.7 98.6 98.2 National defense........................................ 13.8 14.1 60.7 12.4 78.0 78. 76.6 78.8 79.3 76.8 75.8 74.6 Other............................................................. 3.1 4.3 17.1 18.4 21.5 22.6 23.1 23.3 23.0 22.9 22.9 23.5 State and local................................................ 7.2 6.0 7.9 19.5 79.0 89.4 100.7 110. 120.9 114.2 117.4 118.7 122.4 125.0 Gross national product in constant (1958) dollars............................................................... 203.6 141.5 263.7 355.3 658.1 675.2 707.2 727.1 724.1 729.2 723.8 724.9 727.4 720.3 Note.—Dept, of Commerce estimates. Quarterly data are seasonally see the Survey of Current Business, July 1968, July 1969, July 1970, and adjusted totals at annual rates. For back data and explanation of series, Supplement, Aug. 1966. NATIONAL INCOME (In billions of dollars) 1969 1970 1929 1933 1941 1950 1966 1967 1968 1969 1970* Item IV I II III IV* National income.................................................... 86.8 40.3 104.2 241.1 620.6 653.6 712.7 769.5 800.8 785.2 791.5 797.4 806.6 51.1 29.5 64.8 154.6 435.5 467.2 514.1 564.2 599.8 582.1 592.2 596.4 603.8 606.7 50.4 29.0 62.1 146.8 394.5 423.1 464.8 509.0 540.1 525.3 534.4 537.4 543.4 545.2 45.5 23.9 51.9 124.4 316.8 337.3 369.1 404.9 426.1 All.2 422.6 424.0 428.9 429.1 Military.......................................................... .3 .3 1.9 5.0 14.6 16.2 17.9 19.0 19.3 19.6 20.1 19.5 19.1 18.6 Government civilian.................................... 4.6 4.9 8.3 17.4 63.1 69.5 77.8 85.1 94.6 88.5 91.7 93.9 95.4 97.5 Supplements to wages and salaries................ .7 .5 2.7 7.8 41.0 44.2 49.3 55.1 59.7 56.8 57.9 59.0 60.4 61.4 Employer contributions for social in surance ....................................................... .1 .1 2.0 4.0 20.3 21.9 24.3 27.5 29.3 28.3 28.6 29.0 29.6 29.9 Other labor income..................................... .6 .4 .7 3.8 20.7 22.3 24.9 27.6 30.4 28.5 29.3 30.0 30.8 31.5 Proprietors’ income.............................................. 15.1 5.9 17.5 37.5 61.3 62.1 64.1 66.8 67.6 67.2 67.6 67.8 67.8 67.4 Business and professional.............................. 9.0 3.3 11.1 24.0 45.2 47.3 49.1 50.5 51.4 50.6 50.6 51.2 51.7 52.0 Farm................................................................... 6.2 2.6 6.4 13.5 16.1 14.8 15.0 16.4 16.2 16.6 17.0 16.5 16.1 15.3 Rental income of persons.................................... 5.4 2.0 3.5 9.4 20.0 21.1 21.3 22.0 22.7 22.3 22.5 22.6 22.7 23.0 Corporate profits and inventory valuation adjustment.......................................................... 10.5 — 1.2 15.2 37.7 82.4 78.7 85.4 85.8 77.2 82.0 76.7 77.5 78.4 Profits before tax............................................. 10.0 1.0 17.7 42.6 84.2 79.8 88.7 91.2 82.1 88.5 82.6 82.0 84.4 Profits tax liability........................................ 1.4 .5 7.6 17.8 34.3 33.2 40.6 42.7 37.8 41.4 38.0 38.1 38.9 Profits after tax............................................ 8 6 .4 10.1 24.9 49.9 46.6 48.2 48.5 44.2 47.1 44.6 43.9 45.4 Dividends................................................... 5.8 2.0 4.4 8.8 20.8 21.4 23.3 24.7 25.2 25.2 25.2 25.1 25.4 25.1 Undistributed profits.............................. 2.8 -1.6 5.7 16.0 29.1 25.3 24.9 23.9 19.0 21.9 19.4 18.8 20.0 Inventory valuation adjustment.................... .5 -2.1 -2.5 -5.0 -1.8 -1.1 -3.3 -5.4 -4.8 -6.5 -5.8 -4.5 -5.9 -3.0 Net interest............................................................. 4.7 4.1 3.2 2.0 21.4 24.4 27.8 30.7 33.5 31.7 32.4 33.1 33.8 34.5 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
MARCH 1971 □ 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 1966 1967 1968 1969 1970i> IV I II III IV* Gross national product. 103.1 55.6 124.5 284.8 749.9 793.9 865.0 931.4 976.5 951.7 959.5 971.1 985.5 989.9 Less: Capital consumption allowances......... 7.9 7.0 8.2 18.3 63.9 68.9 74.0 78.9 84.3 80.7 82.1 83.6 85.0 86.5 Indirect business tax and nontax lia bility ....................................................... 7.0 7.1 11.3 23.3 65.7 70.4 78.1 85.2 92.0 87.7 89.3 91.1 93.3 94.2 Business transfer payments................... .6 .7 .5 .8 3.0 3.1 3.3 3.5 3.6 3.5 3.6 3.6 3.6 3.7 Statistical discrepancy............................. .7 .6 .4 1.5 -1.0 -.7 -2.4 -4.7 -2.5 -4.3 -5.4 -3.1 -1.1 Plus: Subsidies less current surplus of gov ernment enterprises............................. -.1 .1 .2 2.3 1.4 .7 1.0 1.8 1.2 1.6 1.5 1.8 2.1 Equals: National income. 86.8 40.3 104.2 241.1 620.6 653.6 712.7 769.5 800.8 785.2 791.5 797.4 806.6 Less: Corporate profits and inventory valu ation adjustment.................................. 10.5 -1.2 15.2 37.7 82.4 78.7 85.4 85.8 77.2 82.0 76.7 77.5 78.4 Contributions for social insurance----- .2 .3 2.8 6.9 38.0 42.4 47.1 53.6 57.1 55.1 56.0 56.7 57.6 58.1 Excess of wage accruals over disburse ments...................................................... 2.5 -2.1 -.4 Plus: Government transfer payments............ .9 1.5 2.6 14.3 41.1 48.7 55.7 61.6 73.9 63.4 66.3 75.8 75.1 78.5 Net interest paid by government and consumers............................................. 2.5 1.6 2.2 7.2 22.2 23.6 26.3 29.0 31.8 30.2 31.0 31.4 32.2 32.5 Dividends................................................... 5.8 2.0 4.4 8.8 20.8 21.4 23.3 24.7 25.2 25.2 25.2 25.1 25.4 25.1 Business transfer payments................... .6 .7 .5 .8 3.0 3.1 3.3 3.5 3.6 3.5 3.6 3.6 3.6 3.7 Equals: Personal income.................................. 85.9 47.0 96.0 227.6 587.2 629.3 688.7 748.9 801.0 770.5 782.3 801.3 807.2 813.3 Less: Personal tax and nontax payments... 2.6 1.5 3.3 20.7 75.4 83.0 97.5 117.3 116.3 119.9 117.0 117.7 114.2 116.1 Equals: Disposable personal income............... 83.3 45.5 92.7 206.9 511.9 546.3 591.2 631.6 684.8 650.6 665.3 683.6 693.0 697.2 Less: Personal outlays....................................... 79.1 46.5 81.7 193.9 479.3 506.0 550.8 593.9 634.6 609.6 620.5 632.1 640.2 645.5 Personal consumption expenditures. 77.2 45.8 80.6 191.0 466.3 492.1 535.8 577.5 616.7 592.6 603.1 614.4 622.1 627.0 Consumer interest payments............. 1.5 .5 .9 2.4 12.4 13.2 14.3 15.7 17.0 16.1 16.4 16.8 17.2 17.5 Personal transfer payments to for eigners................................................ .3 .2 .2 .5 .6 .7 .7 .8 .9 .8 .9 1.0 1.0 .9 Equals: Personal saving. 4.2 -.9 11.0 13.1 32.5 40.4 40.4 37.6 50.2 41.1 44.8 51.5 52.7 51.8 Disposable personal income in constant (1958) dollars................................................................. 150.6 112.2 190.3 249.6 458.9 477.5 499.0 5115 529.8 517.8 522.9 532.0 534.2 530.0 Note.—Dept, of Commerce estimates. Quarterly data are seasonally adjusted totals at annual rates. See also Note to table opposite. PERSONAL INCOME (In billions of dollars) 1970 1971 Item 1969 1970 Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov. Dec. Jan.p Total personal income............................ 748.9 801.0 777.8 781.5 787.6 806.0 799.7 798.2 803.3 806.4 811.9 809.9 812.6 817.5 825.4 Wage and salary disbursements........... 509.0 540.1 529.5 531.1 535.0 539.9 540.5 538.1 541.5 543.2 546.6 541.8 544.1 549.8 556.6 Commodity-producing industries... 197.5 201.2 202.2 202.0 203.9 202.3 200.9 201.3 202.1 202.0 201.5 196.8 196.8 202.3 202.9 Manufacturing only........................ 157.5 158.9 160.8 160.0 161.3 160.0 159.2 159.5 160.1 159.6 159.5 154.3 153.6 158.9 160.1 Distributive industries....................... 119.8 128.4 125.4 125.7 126.7 126.0 127.2 127.9 129.1 129.7 130.2 130.6 131.4 130.5 132.7 Service industries................................ 87.7 96.6 93.1 94.1 94.6 95.1 95.5 95.7 96.8 97.3 97.9 98.8 99.8 100.4 102.0 Government......................................... 104.1 114.0 108.9 109.3 109.8 116.5 116.9 113.2 113.5 114.2 117.0 115.6 116.1 116.6 119.2 Other labor income................................ 27.6 30.4 29.0 29.3 29.6 29.8 30.0 30.3 30.6 30.8 31.1 31.3 31.5 31.7 31.9 Proprietors’ income................................ 66.8 67.6 67.2 67.6 67.9 67.9 67.8 67.7 67.8 67.8 67.8 67.6 67.3 67.1 67.1 Business and professional................. 50.5 51.4 50.4 50.6 50.7 51.0 51.3 51.5 51.6 51.7 51.8 51.9 52.0 52.1 52.2 Farm...................................................... 16.4 16.2 16.8 17.0 17.2 16.9 16.5 16.2 16.2 16.1 16.0 15.7 15.3 15.0 14.9 Rental income.......................................... 22.0 22.7 22.5 22.5 22.6 22.6 22.6 22.7 22.7 22.7 22.8 22.9 23.0 23.1 23.2 Dividends................................................. 24.7 25.2 25.1 25.2 25.2 25.2 25.3 24.7 25.2 25.3 25.5 25.6 25.7 24.1 25.9 Personal interest income....................... 59.7 65.2 63.0 63.4 63.7 64.2 64.5 64.8 65.3 66.0 66.8 67.0 67.1 67.1 67.3 Transfer payments.................................. 65.1 77.6 68.8 69.7 71.1 84.1 76.6 77.6 78.1 78.6 79.6 81.7 81.9 82.9 83.9 Less: Personal contributions for social insurance............................................... 26.0 27.8 27.3 27.3 27.5 27.7 27.7 27.6 27.8 28.0 28.2 28.0 28.1 28.4 30.5 Nonagricultural income.......................... 726.7 778.6 755.0 758.4 764.3 783.0 777.0 775.7 780.9 784.0 789.7 787.9 791.0 796.2 804.3 Agriculture income.................................. 22.2 22.4 22.8 23.1 23.3 23.0 22.7 22.4 22.4 22.3 22.2 21.9 21.6 21.3 21.1 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
1. SUMMARY OF FLOW OF FUNDS ACCOUNTS FOR YEAR 1970 (Seasonally adjusted annual rates; in billions of dollars) Private domestic nonfinancial sectors Financial sectors Rest U.S. of All State Govt. Sponsored Mone Pvt. the sectors Discrep Natl, Sector H h o o u ld s s e Busi- an g d o v lo ts c . al Total Total ag c e re n d ci i e t s t a a u ry th. Coml.l n f o in n a b n a c n e k world ancy an sa d m v i e i n n n v g t e s s t T ca r t a e n g s o a r c y tion U S U S U S U S U S U S U S 2 3 1 Gr N C os a e s p t s i s t a a a v v l i i c n n o g g n . . ( s .. 1 u .. - . m . 2 .. p ) .. . . t . . i . . . o . . . . n . . . . . . . 1 9 6 6 9 1 0 . . . 3 2 5 8 1 7 0 2 1 . . . 5 9 4 - - 4 4 . . 9 9 2 1 3 7 6 8 4 3. . . 1 9 0 -13.2 3 2 1 . . . 1 7 6 3 2. . . 2 0 9 -.7 . . 2 1 6 2 6 3 7 4 . . . 1 8 7 2 1 6 2 6 3 8 4 . . . 8 7 . . 5 . . . . . . . . . . . . . . P G r r i I C R P o v n l s e o a v a s s t n n e e i i s d n t n u c e t v a m a o n e n p r t s e d y i i t t a r m a l e c d l e q h c u e n u o a x t r n i n a p p ( g s b 5 e m t e l n + r e . e u d . 1 s . n i . c . . t 0 . . t t u . . . i . ) . . r . o . . . . . e . . . . n . . . . s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 8 5 1 1 5 9 8 9 3 . . . . . 5 4 6 8 4 . . . . . 1 7 9 1 0 3 9 1 5 9 . . . . . 1 6 2 6 9 . . . . . -4.9 2 2 1 8 2 3 2 0 3 9 9 4 3 0 . . . . . . 6 3 4 7 5 7 . . . . . . 10.3 3 1 1 . . . 4 9 9 . . 3 1 1 . . . 1 2 1 . . 2 1 8 2 2 0 9 9 5 2 i . . . . . 7 4 2 4 6 . . . . . - 2 . . 6 6 . . 2 2 1 8 2 2 2 0 3 9 4 9 5 2 . . . . . . 6 4 2 7 5 . 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 Net financial investment (11-12). 46.4 . -30.3 . -4.9 . 11.2 10.3 1.5 .1 . 2.1 3.2 -3.2 1 11 2 F Fi i n n a a n n c c i i a a l l u so se u s rces. 66.8 . 20.4 23 .8 . 54.1 7.7 . 12.7 98.3 . 87.2 5.1 15.4 107.8 106.3 9.9 9.8 5.2 5.1 41.9 39.8 50 6.1 5.4 217.4 214.2 5 6 . . 4 1 1 1 2 1 1 1 3 4 G Tr o e l a d s , u S ry D c R u ’ r s r , e a n n c d y o a f n f d ic i S al D f R gn . c e tf x s c . h ... a .. n .. g .. e . -2.0 . -1. . 4 7 . . -1. . 4 7 . . .8 -2.5 -2. . 5 7 -2.5 1 1 3 4 1 1 1 1 5 8 7 6 De U P F m r o .S i a r v n . e a d i G t g e d o n d e v .. p o e .. o m . r . n s .. e i m . t . s . s . t e . i . a n . c . n . t . . . . d . . . . . . . . . . . . c . . . . . . u . . . . . . . r . . . . . r . . . . . e . . . . . . . n . . . . . . c . . . . . . y . . . . . . . . 3.3 . 2.5 . 2 8 6 . . . . 3 9 4 3 - 2 2 . . 4 . 5 9 3 2 6 . . . . 4 7 3 4 2 9 6 . . . 5 2 0 1 1 1 1 5 8 7 6 2 2 1 1 9 0 Tim A A e t t c s a a o n v m d in m s g a e s v r i i c n n ia g s l s t i b t a u a c t n c i o o k u n s n s .. . t . . s . . . 3 1 1 4 7 6 . . . 5 9 6 . . . 12.8 5 3 1 6 9 6 . . . 4 8 6 . . . 5 3 1 5 8 7 . . . 4 0 3 38.0 7 17.3 3 5 1 8 5 7. . . 3 0 4 2 2 1 1 0 9 2 2 2 3 2 4 P L In e if t n e e s r i i b n o a s n n u f k r u a i n n t d c e e m r e r s e s . s e .. e . r . v r .. v . e . e . s . s . . . . . . 1 4 7 . . 9 5 . . 1 4 7 . . 9 5 . . 2. . 3 1 3.0 1 4 3 5 . . . 8 0 2 .9 2.2 2.1 1 4 5 . . 8 2 3.0 1 3 4 7 . . . 0 9 5 2 2 2 3 2 4 25 Corporate shares. - 1.1 . 6.7 -1.1 6.7 10.3 3.2 3.2 25 2 2 2 2 3 3 3 3 3 8 9 7 1 6 0 2 3 4 Ot U S C H O C B h O t e . o o a o t a t S r h h r n n t m . e p e e k s c r o G e r u a r l r m m e n l o o m a o d d v a t e o a e o i n e r t r l n r r s o t a c t n s g m c g n n r . m a . a e a d . . a g . l e g d e . r e . f . o n . k e i c o . s t b . t s e . . . . r . . . . . l t e s . . . . . i . . . . . e i . . . . g i . g . . . . . c n . . . . . a . . . . n . u . . . . s . t . . . . . r i . . . . t . b . . . . o i . r . . . . . t . . . . u o . n i . . . . . e . . . . . . n . . s . . . . s . . . . . . . . . . . . d . . . . . . . . . . . . . . . . s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . - - 1 5 1 8 2 2 . . . . . . 3 5 2 0 5 6 . . . 2 1 4 2 1 1 2 . . . . . . 3 3 4 3 7 6 -2 1 1 1 . . . . . 9 0 4 7 9 . 3 2 1 9 1 0 . . . . 3 7 1 5 - -3 2 . . . . 1 7 3 2 . . . 1 1 . . . 1 2 . . . . 2 - - 1 - 7 6 2 1 2 2 . . . . . . . 9 . 4 9 5 8 0 0 7 2 7 1 1 1 1 4 1 1 1 3 2 1 0 . . . . . . . 3 3 1 7 0 2 - 3 2 . . . . 1 . 3 1 9 4 . . 1 1 2 2 . .7 7 7 1 1 1 1 1 2 0 9 8 2 1 2 8 . . . . . . . . . 5 1 3 5 6 9 6 1 7 . . . - 2 9 7 . - . . 7 . . 1 5 6 2 2 8 4 1 . . . . 3 2 5 8 . . 7 7 . .6 6 5 5 . . 0 0 . . 2 1 3 8 1 1 7 1 . . . . . . . 2 . 5 5 9 2 9 0 2 . . . . . - - . . . . . 1 . . . . . 1 . . . . . . . . . . . . . . . . A . . . . . 9 11 - 3 2 1 . . . 2 . 1 2 7 1 1 . . . . 5 5 4 4 ... 2 2 1 2 2 9 1 1 1 1 4 4 0 3 1 8 1 1 . . . . . . . . . 3 5 3 3 6 5 9 2 8 3 3 3 3 3 2 2 2 2 1 3 4 2 0 9 7 8 6 3 3 3 5 6 7 Se T T cu o o r i b o ty r t o h c k e r e r e s r d s .. i . t . a . . . . n . . . . d . . . . . . . . . . d . . . . e . . . . a . . . . l . . . e . . . . r . . . s . . . . - - 1 1 . . 8 8 I - - 1 i. . -1 2 . . . 9 3 4 1 1 . .5 5 - 2 1 . . 5 . 3 8 . . . 1 1 . . 5 5 -.2 - -1 - 1 . . . 4 9 5 3 3 3 5 6 7 3 3 8 9 T T a ra x d e e s p c a re y d ab it l . e . . . 1 7. . 1 6 6. . 9 3 8 1 . . 1 6 - 1 . . 7 4 . 1.0 1 7. . 6 7 7 1 . .7 3 39 8 4 41 0 E M q i u s i c t e y l l i a n n n eo o u n s c o c r la p i o m ra s t . e .. .. b .. u ... s . i .. n .. e .. s .. s .. . . . .. . -2 2 . . 3 5 . .. 1 . . 1 . -2 1 . . 3 3 -2 3 . . 3 6 -2 1 . . 7 14.7 4.8 1.1 10.5 -3.7 3.2 5. -4.0 4.4 1 .. 4 . . 7 . - 1 2 1 . . 3 4 -3.3 . 4 41 0 42 Sector discrepancies (1-4). 2.8 . 3.5 . .3 .. -.1 .4.... -1.5........ 4.0. 42 1 Commercial banks and unconsolidated affiliates. A 70 FLOW OF FUNDS □ MARCH 1971 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 □ FLOW OF FUNDS A 71.1 2. SUMMARY OF FUNDS RAISED AND ADVANCED IN U.S. CREDIT MARKETS (Seasonally adjusted annual rates; in billions of dollars) 1968 1969 1970 Transaction category, or sector 1966 1967 1968 1969 1970 IV I II III IV I II III IV Funds raised, by type and sector Total funds raised 1 68.5 83.5 96.9 90.4 954 90.7 92.5 93.6 88.4 86.8 80.9 102.9 92.2 105.7 1 ? 3.5 13.0 13.4 -3.6 12.7 -7.0 -5.4 -9.5 -.7 1.2 2.7 16.2 12.3 19.6 2 3 2.3 8.9 10.3 -1.3 12.8 -8.4 -5.8 -8.8 4.9 4.9 3.2 18.2 11.6 18.4 3 4 1.2 4.1 3.1 -2.4 -.1 1.4 .5 -.7 -5.6 -3.7 -.5 -2.0 .8 1.2 4 5 All other nonfinancial sectors.. 64.9 70.5 83.5 94.1 82.7 97.7 97.9 103.0 89.1 85.7 78.2 86.7 79.9 86.1 5 6 Capital market instruments.......... 39.9 48.9 50.2 53.9 65.4 58.3 57.6 55.1 51.2 51.7 51.6 60.7 62.9 86.4 6 7 .9 2.4 -.7 4.8 6.6 -2.1 .3 3.6 6.0 9.2 5.9 6.0 5.4 9.1 7 8 Debt capital instruments........... 39.0 46.6 50.9 49.1 58.8 60.4 57.3 51.5 45.2 42.5 45.6 54.7 57.5 77.3 8 9 State and local govt, sec........ 5.7 8.7 9.6 8.1 11.8 14.2 12.8 9.4 5.6 4.7 8.9 10.2 8.9 19.3 9 10 Corporate and fgn. bonds... 11.0 15.9 14.0 13.1 22.4 16.3 15.8 13.3 12.1 11.1 15.0 22.4 22.3 29.9 10 11 Mortgages................................. 22.3 22.0 27.3 27.9 24.6 29.9 28.7 28.8 27.5 26.7 21.8 22.1 26.3 28.1 11 1? Home mortgages................. 11.4 11.6 15.2 15.7 12.7 16.1 16.5 16.6 15.7 13.9 10.8 11.1 14.3 14.6 12 n Other residential.................. 3.1 3.6 3.5 4.8 5.6 3.9 4.2 4.7 4.8 5.6 4.6 5.4 6.2 6.3 13 14 Commercial........................... 5.7 4.7 6.6 5.5 4.5 8.0 5.9 5.1 5.3 5.8 4.8 4.2 4.1 5.0 14 15 2.1 2.1 2.1 1.9 1.7 1.9 2.2 2.3 1.8 1.5 1.5 1.4 1.7 2.2 15 16 25.0 21.6 33.3 40.2 17.3 39.4 40.3 47.9 38.0 33.9 26.6 26.0 16.9 -.3 16 17 10.3 9.6 13.4 15.7 .7 20.9 17.0 19.1 11.7 14.2 7.3 8.3 2.1 -14.6 17 18 7.2 4.6 11.1 9.3 4.3 12.1 10.2 10.8 8.9 7.5 4.9 6.1 6.1 .3 18 19 1.0 2.1 1.6 3.3 3.8 .7 4.9 4.7 2.7 1.0 4.9 2.2 .5 7.5 19 20 6.4 5.2 7.3 11.8 8.4 5.7 8.1 13.3 14.6 11.2 9.5 9.4 8.3 6.6 20 ?,1 64.9 70.5 83.5 94.1 82.7 97.7 97.9 103.0 89.1 85.7 78.2 86.7 79.9 86.1 21 ?? Foreign.............................................. 1.5 4.1 3.0 3.7 2.8 2.8 4.0 6.0 2.3 2.4 2.6 1.7 2.6 4.5 22 73 State and local governments........ 6.4 8.8 9.9 8.5 12.2 14.6 13.4 9.7 5.8 5.1 9.4 10.4 9.2 19.7 23 ?4 23.2 19.7 31.8 32.2 21.3 34.7 33.0 36.0 31.5 28.2 24.5 20.6 22.7 17.5 24 ?5 33.8 37.9 38.8 49.7 46.3 45.6 47.4 51.3 49.4 49.9 41.6 54.1 45.4 44.4 25 ?6 24.9 29.3 30.3 39.1 37.9 35.0 37.1 41.1 37.4 41.0 34.9 45.0 34.4 37.3 26 27 Nonfarm noncorporate................ 5.5 5.0 5.8 7.4 5.1 8.0 7.1 6.6 8.7 6.4 3.7 5.4 7.6 3.9 27 28 3.5 3.5 2.7 3.2 3.3 2.6 3.3 3.6 3.3 2.5 3.0 3.7 3.3 3.2 28 Funds advanced directly in credit markets 1 68.5 83.5 96.9 90.4 95.4 90.7 92.5 93.6 88.4 86.8 80.9 102.9 92.2 105.7 1 Advanced directly by— 2 U.S. Government............................ 4.9 4.6 4.9 2.5 3.3 3.1 2.5 1.7 3.7 2.3 3.9 3.3 3.2 2.6 2 3 U.S. Govt, credit agencies, net... .3 .5 -.2 .2 1.2 -.8 .4 -.8 -. 1 1.5 -.7 1.5 1.2 2.9 3 4 Funds advanced......................... 5.1 -.1 3.2 9.0 8.8 2.3 4.0 7.6 10.5 14.1 13.7 6.8 7.5 7.3 4 5 Less funds raised in cr. mkt.... 4.8 -.6 3.5 8.8 7.6 3.1 3.6 8.4 10.6 12.5 14.4 5.4 6.3 4.4 5 6 Federal Reserve System................. 3.5 4.8 3.7 4.2 5.0 -4.4 4.1 4.0 -.5 9.3 1.2 5.5 7.7 5.5 6 7 16.7 36.6 39.5 12.2 31.1 36.2 7.9 29.3 -.9 12.1 .9 23.9 65.3 34.4 7 8 Funds advanced........................... 16.8 36.9 39.7 16.5 29.3 36.1 8.8 33.8 4.2 18.9 10.0 28.0 53.8 25.5 8 9 .1 .2 .2 4.3 -1.8 -.1 .9 4.5 5.0 6.8 9.1 4.1 -11.6 -8.9 9 10 Private nonbank finance................ 25.9 34.4 34.2 30.4 37.3 38.3 31.1 39.8 26.1 24.8 25.1 41.4 39.9 42.7 10 11 Savings institutions, net............. 7.8 16.8 14.6 10.4 14.9 16.4 15.9 13.3 6.8 5.6 4.7 15.3 18.1 21.7 11 12 19.3 18.7 22.0 21.8 23.3 25.2 19.8 27.5 20.6 19.5 22.7 26.1 22.3 22.1 12 13 Finance n.e.c., net....................... -1.3 -1.1 -2.4 -1.8 -.9 -3.2 -4.6 -1.0 -1.3 -.2 -2.3 .1 -.5 -1.1 13 14 -1.8 2.8 2.5 1.3 10.0 11.9 .2 1.0 5.1 -1.1 9.4 9.4 4.9 16.3 14 15 Private domestic nonfinancial----- 19.1 -.2 12.3 39.5 7.5 6.5 46.5 18.6 55.0 37.9 41.0 17.9 -30.1 1.3 15 16 Business......................................... 3.6 -.2 7.4 13.8 1.9 2.0 15.8 14.1 18.1 7.0 15.2 13.4 -26.9 6.1 16 1 18 7 S H t o at u e s e a h n o d l d lo s. c .. a .. l . . g ... o .. v .. e .. r . n .. m .... e .. n .. t . s .. . .. . . . . 1 3 1 . . 4 9 2.1 * 5. . 8 4 1 6 8 . . 1 0 -2 7 . . 7 0 4 3 . . 1 7 1 8 9 . . 1 8 2 1 . . 9 5 2 7 5 . .9 7 2 5 4. . 9 6 - 2 1 3 . . 9 9 -5 7 . . 0 4 -7 4 . . 9 4 -7 4 . . 5 1 1 18 7 19 Less net security credit............... -.2 2.2 1.4 -1.6 -1.2 3.3 -2.7 -.2 -3.2 -.4 -3.8 -2.1 -.3 1.4 19 Sources of funds supplied to credit markets Total borrowing 68.5 83.5 96.9 90.4 95.4 90.7 92.5 93.6 88.4 86.8 80.9 102.9 92.2 105.7 1 1 Supplied directly and indirectly by pvt. domestic nonfin. sectors: 2 42.8 51.3 60.8 44.2 69.3 58.1 58.9 26.8 47.1 43.8 54.6 72.2 67.7 82.9 2 3 23.7 51.5 48.5 4.7 61.8 51.6 12.5 8.2 -7.9 5.9 13.6 54.3 97.8 81.6 3 4 Demand dep. and currency.. 4.0 12.4 14.8 7.1 5.5 13.1 5.9 6.6 7.6 8.2 1.5 7.0 6.7 6.6 4 5 Time and svgs. accounts 19.7 39.1 33.7 -2.4 56.4 38.5 6.6 1.6 -15.5 -2.3 12.1 47.3 91.2 75.0 5 6 At commercial banks... 12.5 22.5 20.8 -10.5 39.8 23.9 -6.8 -7.4 -21.3 -6.4 7.3 32.0 69.5 50.1 6 7 At savings instit................ 7.2 16.6 12.9 8.1 16.6 14.6 13.4 9.0 5.8 4.2 4.7 15.2 21.7 24.8 7 8 19.1 -.2 12.3 39.5 7.5 6.5 46.5 18.6 55.0 37.9 41.0 17.9 -30.1 1.3 8 9 U.S. Govt, securities............... 8.5 -1.7 7.7 15.0 -6.8 3.0 21.8 .9 23.2 14.1 6.0 -8.1 -11.7 -13.2 9 10 11.4 7.8 13.4 26.91 14.2 15.9 27.2 23.6 29.4 27.3 38.1 23.9 -19.9 14.7 10 11 Less security debt................... -.2 2.2 1.4 -1.6 -1.2 3.3 -2.7 -.2 -3.2 -.4 -3.8 -2.1 -.3 1.4 11 Other sources: 12 .7 4.6 4.3 9.6 2.3 8.2 13.8 14.8 10.4 -.6 10.8 2.6 -4.5 .1 12 13 2.5 1.7 1.8 8.3 -7.8 -3.7 13.7 13.8 5.3 .5 1.3 -6.8 -9.4 -16.1 13 14 -1.8 2.8 2.5 1.3 10.0 11.9 .2 1.0 5.1 -1.1 9.4 9.4 4.9 16.3 14 15 Chg. in U.S. Govt, cash bal.......... -.4 1.2 -1.1 .4 2.4 -6.8 -5.8 1.7 1.6 3.9 1.0 1.7 1.4 5.7 15 16 U.S. Government loans................. 4.9 4.6 4.9 2.5 3.3 3.1 2.5 1.7 3.7 2.3 3.9 3.3 3.2 2.6 16 17 Pvt. insur. and pension res............ 16.7 17.5 18.5 18.7 20.0 20.0 14.9 22.4 18.7 18.9 18.>7 21.4 19.8 20.2 17 18 Sources n.e.c..................................... 3.8 4.3 9.5 15.0i -1.9 8.2 8.2 26.2 6.8 18.6 -8:o 1.7 4.5 -5.9 18 Note.—Data revised 1967-70; 1970 Q4 based on preliminary and incomplete information. For other notes see p. A-71.3. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 71.2 FLOW OF FUNDS □ MARCH 1971 3. PRINCIPAL FINANCIAL TRANSACTIONS (Seasonally adjusted annual rates; in billions of dollars) 1968 1969 1970 Transaction category, or sector 1966 1967 1968 1969 1970 IV I II III IV I II III IV Demand deposits and currency 1 Net incr. in banking system liability. . 2.6 14.8 14.8 8.5 8.9 7.1 -1.0 10.3 11.0 13.2 5.0 8.9 8.6 13.2 1 2 U.S. Government deposits............ -.4 1.1 -1.2 .6 2.3 -6.9 -5.7 1.7 1.9 4.2 1.1 1.6 .8 5.6 2 3 Money supply.................................. 3.0 13.7 16.0 7.9 6.6 14.0 4.7 8.6 9.1 9.0 3.9 7.3 7.8 7.6 3 4 Domestic sectors.......................... 3.9 13.4 15.7 7.6 6.4 13.6 4.8 8.0 8.5 9.0 2.5 7.7 8.3 7.0 4 5 Households............................... 3.1 9.4 11.1 5.9 3.3 15.5 -.9 10.2 9.5 5.1 5.8 5.7 * 1.7 5 6 Nonfinancial business............ .7 .8 1.8 -.8 1.1 -5.4 3.9 -5.6 -4.3 3.0 -3.3 .9 5.8 .9 6 7 State and local governments. -.1 -1.0 .7 3.2 .9 .6 2.5 3.4 3.9 2.9 -.4 .7 .7 2.7 7 8 -.1 1.0 .9 .5 .9 .5 -1.1 1.4 .9 .8 1.0 .6 1.6 .4 8 9 Mail float.................................. .3 3.2 1.2 -1.2 .1 2.6 .3 -1.3 -1.5 -2.8 -.6 -.3 .2 1.2 9 10 Rest of the world........................ -1.0 .3 .3 .3 .3 .4 -.1 .6 .6 * 1.4 -.4 -.5 .5 10 Time and savings accounts 1 20.2 40.8 33.3 -1.6 55.4 38.0 5.9 -.2 -15.4 3.4 17.0 44.5 88.8 71.2 1 2 At commercial banks—Total.... 13.3 23.8 20.6 -9.7 38.0 24.2 -7.6 -9.0 -21.2 -1.1 11.5 28.6 66.9 45.1 2 3 Corporate business..................... -.7 2.9 1.9 -9.8 12.8 3.9 -14.4 -9.5 -11.0 -4.2 .5 6.1 32.3 12.2 3 4 State and local governments... 1.3 2.4 3.2 -5.9 9.1 3.5 -3.7 -5.0 -10.3 -4.6 6.5 10.2 11.5 8.3 4 5 Foreign.......................................... .8 1.2 -.3 1.0 -1.9 .2 -.5 -1.4 .4 5.7 4.3 -3.5 -3.2 -5.1 5 6 11.9 17.1 15.7 5.2 17.9 16.5 11.3 7.1 * 2.4 .4 15.7 25.7 29.6 6 7 7.0 17.0 12.8 8.1 17.3 13.9 13.5 8.8 5.7 4.5 5.5 15.9 21.8 26.1 7 Liabilities— 8 3.6 10.6 7.5 4.1 11.2 8.1 8.0 4.8 2.9 .7 2.2 9.8 15.6 17.0 8 9 Mutual savings banks............ 2.6 5.1 4.2 2.6 4.5 4.5 3.8 2.7 1.5 2.2 1.6 4.4 4.7 7.3 9 10 .8 1.2 1.1 1.4 1.7 1.3 1.6 1.2 1.3 1.5 1.6 1.7 1.5 1.9 10 Assets 11 Households............................... 7.2 16.6 12.9 8.1 16.6 14.6 13.4 9.0 5.8 4.2 4.7 15.2 21.7 24.8 11 12 Cr. union deps. at S & L’s... -.2 .3 -.1 * .7 -.7 .1 -.2 -.1 .3 .8 .6 .2 1.3 12 U.S. Government securities 1 8.7 12.5 16.7 5.5 20.3 -4.2 -.5 -1.0 10.0 13.8 17.2 21.6 18.7 23.9 1 2 Household savings bonds.............. .6 1.0 .4 -.4 .2 .7 -.4 -.4 — .8 .1 -.9 -.2 .5 1.3 2 3 Direct excluding savings bonds... 1.8 7.9 9.9 -.9 12.7 -9.0 -5.4 -8.4 5.6 4.8 4.1 18.4 11.0 17.2 3 4 Budget agency issues....................... * .1 1.5 -.4 1.2 2.6 .8 -1.3 -.8 -.2 2.1 .2 1.0 1.3 4 5 Sponsored agency issues................ 5.1 -.6 3.2 9.1 7.6 2.7 4.8 8.4 10.6 12.5 14.4 5.4 6.3 4.4 5 6 Loan participations......................... 1.3 4.0 1.7 -1.9 -1.3 -1.2 -.3 .7 -4.8 -3.3 -2.6 -2.2 -.1 -.2 6 7 Net acquisitions, by sector................. 8.7 12.5 16.7 5.5 20.3 -4.2 -.5 -1.0 10.0 13.8 17.2 21.6 18.7 23.9 7 8 U.S. Government (agency sec.)... 1.3 -.1 .1 -1.3 .1 -1.0 -1.1 -2.2 -.8 -1.0 .1 * * .3 8 9 Sponsored credit agencies............. 1.0 * -.1 -.2 1.5 . 1 -2.0 .3 -.5 1.2 2.0 -.6 1.4 3.2 9 10 Direct marketable....................... .3 .9 -.1 -.5 1.6 .1 -2.0 .3 -.8 .4 2.8 -.8 1.6 3.1 10 11 FHLB special issue..................... .6 -.9 .3 -.2 * * .3 .8 -.8 .2 — .2 . 1 11 12 Federal Reserve System................. 3.5 4.8 3.8 4.2 5.0 -4.3 4.0 4.2 -.4 9.2 1.1 5.4 7.8 5.6 12 13 Foreign.............................................. -2.4 2.1 -.5 -1.8 8.4 6.8 -4.5 -1.8 2.7 -3.7 8.0 8.1 4.8 12.8 13 14 -3.6 9.3 3.4 -9.5 8.2 -4.1 -16.2 -7.2 -9.5 -5.2 .6 7.3 15.5 9.5 14 15 -3.4 6.3 2.2 -9.3 5.2 -5.0 -14.4 -8.8 -7.6 -6.2 -.6 7.3 11.5 2.8 15 16 -.2 3.0 1.3 -.3 3.0 .9 -1.8 1.6 -1.9 1.0 1.3 -.1 4.0 6.7 16 17 Nonbank finance............................. .4 -1.9 2.2 -.8 3.9 -4.8 -2.4 4.8 -4.7 -.8 -.6 9.5 .9 5.8 17 18 -.2 -2.2 .4 -2.4 1.9 -6.5 -4.4 2.7 -7.3 -.6 -3.2 7.3 -2.0 5.6 18 19 Agency issues............................... .5 .3 1.8 1.6 2.0 1.7 2.0 2.0 2.6 -.2 2.6 2.2 2.9 .2 19 20 8.5 -1.7 7.7 15.0 -6.8 3.0 21.8 .9 23.2 14.1 6.0 -8.1 -11.7 -13.2 20 21 Savings bonds—Households... .6 1.0 .4 -.4 .2 .7 -.4 -.4 -.8 .1 -.9 -.2 .5 1.3 21 22 Direct excl. savings bonds......... 3.3 -3.0 4.1 8.7 -9.4 -.1 16.1 -5.1 18.8 5.0 -3.2 -9.2 -12.5 -12.7 22 23 Agency issues............................... 4.7 .4 3.2 6.7 2.5 2.4 6.2 6.4 5.2 9.1 10.1 1.3 .3 -1.8 23 Private securities 1 Total net issues, by sector.................. 18.5 28.2 23.9 27.7 43.0 29.3 30.4 28.8 251 26.3 31.3 41.0 39.4 60.2 1 2 State and local governments........ 5.7 8.7 9.6 8.1 11.8 14.2 12.8 9.4 5.6 4.7 8.9 10.2 8.9 19.3 2 3 Nonfinancial corporations............. 11.4 17.0 12.1 16.4 27.9 12.2 14.7 14.9 16.1 19.8 20.2 28.9 25.7 37.0 3 4 5 C Fi o n m an m c e e r c c i o a m l b p a a n n k ie s s .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 1 1 . . 2 0 . .8 2 1 . . 6 1 2.1 * - 1 . . 0 1 1 . . 1 4 2. . 2 3 1.4 * - 1 .1 .3 1 . .3 2 2.3 * 2.8 * 1.9 4 5 6 Rest of the world............................ .5 1.3 1.3 1.5 1.1 2.0 1.5 2.0 2.0 .5 .7 -.4 2.1 2.0 6 7 18.5 28.2 23.9 27.7 43.0 29.3 30.4 28.8 25.1 26.3 31.3 41.0 39.4 60.2 7 8 3.2 -1.8 -1.2 2.7 9.9 3.8 3.4 -2.0 4.7 4.8 6.2 8.2 9.5 15.7 8 9 Nonfinancial corporations............. 1.0 -.2 -r.i 5.1 .4 -.9 6.7 3.1 5.5 5.0 .6 2.0 -2.4 1.2 9 10 State and local governments......... 1.1 1.9 -.4 2.6 .4 -1.8 4.9 3.0 .9 1.4 .9 1.4 — • 8 . 1 10 11 Commercial banks.......................... 1.9 9.8 8.9 .3 11.7 13.6 1.6 2.4 -1.1 -1.7 5.0 9.7 12.5 19.5 11 12 Mutual savings banks..................... .3 2.3 1.6 .6 1.9 1.5 1.1 1.0 * .2 1.2 2.0 1.2 3.1 12 1 1 3 4 I F n i s n u a r n a c n e c e n . a e. n c d .. . p ... e .. n .. s .. i . o .. n .. .. f . u ... n .. d .. s .. . . . . . . . . . . . . . . . . - 1 2 2 . . 2 9 1 - 6 .9 .6 - 1 3 7 . . 6 6 - 1 2 6 . . 5 8 17.5 *-1 1 0 9 . . 3 8 - 1 7 6 . . 6 3 20.5 * 1 - 5 .6 .0 - 1 1 5 . . 7 4 1 - 7 .3 .1 - 2 3 0 . . 6 7 1 4 3 . . 0 2 1 - 9 .1 .0 1 1 3 4 15 Security brokers and dealers... .1 .2 -.9 .5 1.3 -9.2 .2 1.1 2.8 -2.2 .5 .6 5.5 -1.3 15 16 -2.4 -1.1 -2.8 -3.0 -1.4 -1.2 -7.8 -1.1 -3.4 .4 -.8 -4.2 — 1.6 1.1 16 17 Portfolio purchases................. 1.4 1.5 1.9 2.7 1.8 4.3 -.2 3.6 2.7 4.6 1.3 -1.0 2.4 4.5 17 18 Net issues of own shares.... 3.7 2.6 4.7 5.6 3.2 5.5 7.6 4.7 6.1 4.2 2.1 3.2 3.9 3.4 18 19 .3 .6 2.3 2.1 1.2 3.7 3.9 ,9 .7 2.9 .6 .5 2.1 1.6 19 Bank loans n.e.c. 1 9.0 7.5 15.7 17.8 .6 23.0 18.0 24.0 11.1 17.6 4.9 9.6 4.9 -17.0 1 2 .4 2.1 3.1 2.4 .3 4.3 2.9 4.2 .9 1.5 2.3 -1.1 .9 -.9 2 3 10.1 7.7 10.6 13.5 .9 17.5 13.9 14.4 12.3 12.8 4.3 9.7 1.1 -11.5 3 4 Rest of the world............................ -.2 -.2 -.3 -.2 -.4 -.9 .2 .6 -1.5 -.1 . 6 -.3 .1 -2.2 4 5 -1.3 -2.1 2.3 2.1 -.2 2.1 .9 4.9 -.6 3.4 -2.3 1.2 2.8 -2.4 5 Digitized for FRASER http://fraser.stlou N isofteed .— .o D rg at / a revised 1967-70; 1970 Q4 based on preliminary and incomplete information. For other notes see p. A-71.3. Federal Reserve Bank of St. Louis
MARCH 1971 □ FLOW OF FUNDS A 71.3 Notes to Table 2 Insurance consists of life companies, fire and casualty companies, private Funds raised, by type and sector. Credit flows included here are the pension funds, and State and local government retirement funds. Finance amounts shown on lines 25-34 of Table 1 by households, business, govern n.e.c. is finance companies, open-end investment companies, security ments, and foreigners. All funds raised by financial sectors are excluded. brokers and dealers, agencies of foreign banks, and banks in U.S. posses U.S. Government budget issues (line 4) are loan participation certificates sions. issued by CCC, Export-Import Bank, FNMA, and GNMA, together with Sources of funds supplied to credit markets. In this section lending by security issues by FHA, Export-Import Bank, and TVA. Issues by federally financial sectors is replaced by sources of funds to financial sectors. sponsored credit agencies are excluded as borrowing by financial institu Foreign funds at banks are deposits and foreign branch claims on U.S. tions. Such issues are in line 5 of the next section of the table and in U.S. home offices. Sources n.e.c. consist mainly of retained income and mis Government securities in Table 3. Corporate share issues are net cash cellaneous liabilities of financial sectors less their miscellaneous assets. issues by nonfinancial and foreign corporations. Mortgages exclude loans in process. Open market paper is commercial paper issued by nonfinancial corporations plus bankers’ acceptances. Notes to Table 3 Funds advanced directly in credit markets. Net purchases, by sector, of the Demand deposits and currency. Lines 5-8 are holder record; line 9 is credit instruments shown in the section above. Financial sectors’ purchases difference between holder and bank record. are shown net of their own funds raised in credit-market forms—securi ties U.S. Government securities. Includes issues by sponsored credit agencies and loans on lines 25-34 of Table 1. Lines 3, 7, 10,14, and 15 reflect such not consolidated into the U.S. Government sector and not included in adjustments. In addition, security credit is included in funds advanced as funds raised in Table 2. Sponsored agencies are listed in notes to Table 4, an asset and deducted from funds advanced as a liability, netting to zero p. A-71.9. Loan participations include FNMA, GNMA, Export-Import in the totals. Security credit assets are in lines 8, 13, and 14 and subtracted Bank, and CCC certificates. Where not shown separately, loan participa in line 19. Security credit liabilities are in line 19 and subtracted in lines tions are grouped with agency issues. All figures are changes in par values 14 and 19. of holdings. Lines 3-5 cover federally sponsored agencies. Commercial banks include Private securities. Total excludes open-end investment company shares, bank affiliates not consolidated in bank reports. Savings institutions are which are deducted on line 18. savings and loan associations, mutual savings banks, and credit unions. Bank loans n.e.c. Includes lending by bank affiliates. 4. SECTOR STATEMENTS OF SAVING AND INVESTMENT (Seasonally adjusted annual rates; in billions of dollars) 1968 1969 1970 Category 1966 1967 1968 1969 1970 IV I II III IV I 1 ii III IV i Households, personal trusts, and nonprofit organizations 1 Personal income................................... 587.2 629.3 688.7 748.9 801.0 712.5 725.8 741.1 758.1 770.5 782.3 801.3 807.2 813.4 1 2 Less: Personal taxes & nontaxes... 75.4 83.0 97.5 117.3 116.4 106.5 113.8 118.1 117.4 119.9 117.0 117.7 114.2 116.5 2 3 Personal outlays...................... 479.3 506.0 550.8 593.9 634.7 566.4 577.8 589.7 598.6 609.6 620.4 632.1 640.2 646.0 3 4 Equals: Personal saving, NIA basis. 32.5 40.4 40.4 37.6 50.0 39.6 34.2 33.3 42.0 41.1 44.9 51.5 52.7 50.9 4 5 Plus: Credits from Govt, insur.1. 5.3 5.3 5.9 6.2 8.6 6.1 5.7 8.4 7.2 3.7 6.5 11.8 7.7 8.4 5 6 Capital gains dividends.: 1.3 1.7 2.5 2.5 1.7 2.9 5.0 1.9 2.2 1.1 2.0 1.7 1.4 1.6 6 7 Net durables in consumpt 15.2 12.4 17.0 16.2 9.0 17.4 17.8 17.7 14.8 14.5 11.1 12.2 9.8 3.0 7 8 Equals: Net saving........................... 54.3 59.8 65.8 62.6 69.3 66.0 62.7 61.2 66.2 60.3 64.5 77.1 71.7 63.9 8 9 Plus: Capital consumption........ 64.3 69.9 76.7 84.0 91.2 79.4 81.2 83.1 85.0 86.8 88.6 90.4 92.3 93.4 9 10 On owner-occ. homes... . 7.4 7.8 8.2 8.6 9.1 8.3 8.5 8.6 8.7 8.8 8.9 9.0 9.2 9.3 10 11 On nonprofit pi. and eq.. 1.3 1.4 1.5 1.6 1.7 1.5 1.5 1.6 1.6 1.6 1.6 1.7 1.7 1.7 11 12 On consumer durables.. . 55.6 60.7 67.0 73.8 80.4 69.5 71.3 73.0 74.7 76.4 78.0 79.7 81.4 82.4 12 13 Equals: Gross savings. 118.6 129.7 142.5 146.6 160.5 145.4 143.9 144.3 151.2 147.1 153.1 167.6 163.9 157.3 13 14 Gross investment................................ 119.8 132.0 140.6 141.9 159.8 144.1 143.5 134.5 146.2 143.8 147.1 165.5 163.4 163.4 14 15 Capital expend, (net of sales). . , 94.2 94.6 109.8 116.9 113.4 111.8 116.0 119.6 116.6 115.5 113.7 115 113.9 110.3 15 16 Residential construction.......... 18.9 17.0 21.2 21.8 18.6 20.4 22.1 24.0 21.9 19.3 19.1 18.5 17.4 19.2 16 17 Consumer durable goods 70.8 73.1 84.0 90.0 89.4 86.9 89.1 90.6 89.5 90.8 89.1 91.9 91.2 85.4 17 18 Plant and equip, (nonprofit). . 4.5 4.5 4.5 5.1 5.5 4.4 4.8 4.9 5.3 5.3 5.5 5.5 5.2 5.7 18 19 Net finan. investment..................... 25.6 37.3 30.8 25.0 46.4 32.3 27.5 14.9 29.6 28.4 33.3 49.7 49.5 53.1 19 20 Net acquis, of financial assets. 49.3 61.1 65.6 55.7 66.8 73.1 57.2 50.6 56.9 58.3 53.7 67.3 74.0 72.4 20 21 Total deposits and curr........ 22.2 43.2 39.7 19.2 37.8 46.5 23. 26.2 15.3 11.7 10.9 36.7 47.4 56.2 21 22 Demand dep. and curr... 3.1 9.4 11.1 5.9 3.3 15.5 -.9 10.2 9.5 5.1 5.8 5.7 1.7 22 23 Savings accounts............... 19.1 33.7 28.6 13.3 34.5 31.0 24.7 16.1 5.8 6.6 5.1 30.9 47.4 54.4 23 24 At commercial banks.. 11.9 17.1 15.7 5.2 17.9 16.5 11.3 7.1 2.4 .4 15.7 25.7 29.6 24 25 At savings institutions.. 7.2 16.6 12.9 8.1 16.6 14.6 13.4 9.0 5.1 4.2 4.7 15.2 21.7 24.8 25 26 Life insurance reserves. 4.6 4.8 4.5 4.9 4.9 4.6 4. 4. 5.0 4.9 4.9 4.9 4.9 4.8 26 27 Pension fund reserves.. 13.4 14.1 15.3 15.4 17.5 16.5 11.8 18.7 16.1 15.0 15.2 20.1 16.7 18.2 27 28 Credit market instruments.. 11.9 5.8 18.0 7.0 4.1 19.8 1.5 25.9 24.9 23.9 7.4 4.4 -7.5 28 29 U.S. Govt, securities........ 7.3 .9 5.2 13.2 -5.3 -.5 14.1 2.2 18.6 17.9 13.9 -4.1 -6.2 -24.9 29 30 State and local oblig......... 2.1 -1.3 .9 1.5 -1.5 .4 4.1 2.7 -.8 -.2 1.2 -1.2 -3.5 -2.7 30 31 Corporate and fgn. bonds 2.0 3.6 5.4 5.3 12.6 12.5 4.5 1.3 6.3 9.0 11.9 9.5 11. 17.1 31 32 Investment co. shares. ... 3.7 2.6 4.7 5.6 3.2 5.5 7.6 4.7 6.1 4.2 2.1 3.2 3.9 3.4 32 33 Other corp. shares............ -4.7 -6.7 -12.2 -9.7 -4.3 -14.6 -12.9 -10.8 -6.9 -8.1 -9.0 -3.3 -2.7 -2.1 33 34 Mortgages........................... 1.4 1.0 1.8 2.1 2.5 2.2 1.4 2.7 2.2 3. 3.3 1.1 1.8 34 35 Net invest, in noncorp. bus.. -4.1 -3.6 -2.2 -3.1 -2.3 -2.4 -3 -3.4 -3.5 -1.9 -2.3 -2.4 -3.0 -1.4 35 36 Security credit................. * 1.1 .7 -.8 -.6 1.9 -1.5 -1.0 -1 1.1 -1.3 -1. 1.2 -.5 36 37 Miscellaneous......................... 1.2 1.5 1. 2.1 2.5 1.9 2.3 3.6 -.1 2.6 2.3 2.5 2.5 2.5 37 38 Net increase in liabilities.... 23.6 23.7 34. 30.7 20.4 40.8 29.6 35. 27.3 29.9 20.3 17.6 24.5 19.3 38 39 Credit mkt. instruments.. 23.2 19.7 31.8 32.2 21.3 34.7 33.0 36.0 31.5 28.2 24.5 20.6 22.7 17.5 39 40 Home mortgages........... 12 10.5 14.9 16.2 12.6 15.5 16.5 17.1 16.3 14.9 12.6 11.3 11 14.6 40 41 Other mortgages........... 1 1.2 1.1 1.3 1.4 1.2 1.2 1.3 1.3 1.3 1.3 1.3 1.4 1.4 41 42 Instalment cons, credit. 6.2 3.4 9.0 8.3 3.0 10.3 8.5 9.9 8.0 7.1 4.2 4.9 4.2 -1.3 42 43 Other consumer credit. 1.0 1.2 2 1.0 1.3 1 1.7 .9 1.0 .4 .7 1.3 1.9 1.6 43 44 Bank loans n.e.c............ .4 2.1 3.1 2.4 .3 4.3 2.9 4.2 .9 1.5 2.3 -1.1 .9 -.9 44 45 Other loans 3................... 2.0 1.3 1.7 3.0 2.7 1.7 2.1 2.7 4.1 3.0 3.4 3.0 2.5 2.1 45 46 Security credit. 3.3 2.1 -2.5 -1. 5.2 -4.2 -1.2 -5.1 .7 -5.2 -3.9 .9 .9 46 47 Trade debt. ... .4 .5 .5 .5 .5 .5 .5 .5 .5 .5 .6 .6 47 48 Miscellaneous.. .4 .3 .4 .4 .4 .4 .4 .4 .5 .4 .4 .4 .4 48 49 Discrepancy (13-14). -1.2 -2.2 1.9 4.7 .6 1.3 .4 9.9 5.0 3.3 6.1 2.1 .5 -6.1 49 Note.—Data revised 1967-70; 1970 Q4 based on preliminary and incomplete information. For other notes see p. A-71.9. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 71.4 FLOW OF FUNDS □ MARCH 1971 4. SECTOR STATEMENTS OF SAVING AND INVESTMENT—Continued (Seasonally adjusted annual rates; in billions of dollars) 1968 1969 1970 Category 1966 1967 1968 1969 1970 IV I II III IV I II III IV Nonfinancial business—Total 1 Income before taxes 1......................... 139.1 136.2 143.5 145.6 137.3 145.7 146.4 147.3 146.8 141.8 136.8 138.2 137.8 136.4 1 2 Gross saving.......................................... 77.7 78.4 80.5 81.3 82.4 81.6 81.2 81.8 83.4 80.2 80.0 81.8 82.8 84.9 2 3 Gross investment................................. 69.6 68.3 73.4 71.8 79.6 67.8 71.8 71.8 73.0 71.7 75.2 78.7 79.9 84.4 3 4 Capital expenditures..................... 97.0 94.0 99.4 111.1 109.9 106.2 107.4 108.6 114.8 113.7 106.8 108.5 113.7 110.5 4 5 Fixed investment............................. 82.2 85.8 91.8 102.7 106.3 96.9 100.0 100.7 103.4 106.5 105.2 105.4 108.2 106.4 5 6 Business plant & equipment. . . 76.1 77.8 82.7 92.4 95.2 85.7 89.1 90.8 94.4 95.5 95.2 95.5 96.5 93.6 6 7 1-4 family resident, const. 2___ -.7 2.0 .9 -.1 .7 2.0 1.2 -.4 -1.5 .2 * -.7 1.8 1.8 7 8 Other residential.......................... 6.8 6.1 8.1 10.4 10.4 9.2 9.7 10.3 10.5 10.9 10.0 10.7 9.9 11.0 8 9 Change in inventories 3................. 14.8 8.2 7.6 8.5 3.6 9.3 7.4 7.9 11.3 7.2 1.6 3.1 5.5 4.1 9 10 Net financial investment...................... -27.4 -25.7 -26.0 -39.3 -30.3 -38.4 -35.6 -36.7 -41.8 -42.0 -31.6 -29.7 -33.8 -26.2 10 11 Net increase in financial assets.... 16.5 15.8 27.4 28.3 23.8 22.0 40.6 26.6 28.6 17.6 23.5 30.0 16.5 25.0 11 12 Net increase in liabilities 4............. 43.9 41.5 53.3 67.6 54.1 60.4 76.2 63.3 70.4 59.7 55.2 59.8 50.3 51.2 12 13 Credit market instruments........ 33.8 37.9 38.8 49.7 46.3 45.6 47.4 51.3 49.4 49.9 41.6 54.1 45.4 44.4 13 14 Securities................................... 11.4 17.0 12.1 16.4 27.9 12.2 14.7 14.9 16.1 19.8 20.2 28.9 25.7 37.0 14 15 Home mortgages..................... 1.1 .3 -.6 .1 .7 -.1 -.5 -.7 -1.0 -1.8 -.2 2.4 * 15 16 Other mortgages..................... 9.7 9.2 11.0 11.0 10.5 12.6 11.0 10.9 10.5 11.6 9.7 9.6 10.6 12.1 16 17 Bank loans n.e.c...................... 10.1 7.7 10.6 13.5 .9 17.5 13.9 14.4 12.3 12.8 4.3 9.7 1.1 -11.5 17 18 Other loans 4........................... 3.6 2.8 4.8 9.3 6.9 2.7 7.9 11.6 11.2 6.7 9.2 6.1 5.6 6.9 18 19 Trade debt.................................... 7.4 6.4 10.2 19.0 7.1 10.0 21.6 20.7 23.5 10.3 14.7 5.9 5.1 2.6 19 20 Other liabilities............................ 2.7 -2.7 4.4 -1.0 .7 4.8 7.1 -8.6 -2.6 -.5 -1.1 -.2 -.2 4.2 20 21 Discrepancy (2-3)................................ 8.0 10.1 7.1 9.5 2.8 13.8 9.3 9.9 10.4 8.5 4.8 3.1 2.9 .5 21 Farm and nonfarm noncorporate business 5 1 Net income i........................................ 69.8 71.2 73.2 76.3 77.5 74.2 75.3 76.3 77.0 76.9 77.4 77.6 77.7 11A 1 2 Gross saving 6...................................... 16.5 16.9 18.1 18.9 20.4 18.5 18.7 19.0 19.3 19.6 19.9 20.2 20.5 20.9 2 3 Gross investment................................. 16.5 16.9 18.1 18.9 20.4 18.5 18.7 19.0 19.3 19.6 19.9 20.2 20.5 20.9 3 4 Capital expenditures..................... 19.9 22.1 22.6 24.4 24.2 24.1 24.0 23.7 25.1 25.0 22.9 25.1 25.3 23.7 4 5 Fixed investment.............................. 19.5 21.1 22.0 23.2 23.5 23.0 23.2 22.9 22.4 24.3 22.8 23.3 24.1 23.8 5 6 Change in inventories 3................. .4 .9 .6 1.2 .7 1.0 .8 .8 2.1 .7 .1 1.8 1.2 -.1 6 7 Net financial investment..................... -3.4 -5.1 -4.5 -5.6 -3.8 -5.6 -5.3 -4.6 -5.8 -5.4 -3.0 -4.8 -4.8 -2.8 7 8 Net increase in financial assets.... 1.1 1.2 1.8 1.8 1.7 2.0 1.4 1.9 2.3 1.5 1.1 1.5 2.4 1.9 8 9 Net increase in liabilities 4............. 4.5 6.3 6.3 7.3 5.5 7.6 6.7 6.5 8.1 6.9 4.1 6.3 7.2 4.6 9 10 Credit market instruments......... 9.0 8.5 8.5 10.5 8.5 10.6 10.3 10.2 12.0 8.9 6.7 9.1 11.0 7.1 10 11 Mortgages................................. 4.5 5.8 5.5 5.7 6.4 6.4 5.9 6.3 5.6 4.8 5.4 5.8 7.3 6.9 11 12 Bank loans n.e.c...................... 2.2 1.3 1.8 2.5 .3 3.1 1.6 2.1 3.5 2.2 -1.2 2.0 1.7 -1.2 12 13 2.2 1.4 1.3 2.4 1.8 1.0 2.9 1.9 2.8 1.9 2.4 1.3 1.9 1.5 13 14 Trade debt, net............................ -.4 1.4 * -.1 -.6 -.5 .1 -.4 -.4 -.2 -.3 -.3 -.8 -1.1 14 15 Proprietors’ net investment 8.. . -4.1 -3.6 -2.2 -3.1 -2.3 -2.4 -3.8 -3.4 -3.5 -1.9 -2.3 -2.4 -3.0 -1.4 15 Nonfinancial corporate business 1 Profits before tax................................. 71.1 66.1 73.6 74.7 64.7 75.8 77.1 77.0 73.0 71.5 65.3 65.1 66.1 62.3 1 2 Less: Profits tax accruals................. 30.0 28.3 34.7 36.0 30.8 35.6 37.1 37.1 35.2 34.5 31.0 30.9 31.4 29.9 2 3 Net dividends paid................. 18.1 18.8 20.5 21.6 21.6 21.1 21.1 21.5 21.8 21.9 21.7 21.9 21.7 21.0 3 4 Equals: Undistributed profits........... 22.9 19.0 18.4 17.1 12.3 19.0 18.9 18.4 16.0 15.1 12.5 12.3 13.0 11.3 4 5 Plus: Foreignbranch profits, net......... 1.8 2.1 2.5 2.8 3.1 2.6 2.7 2.8 2.9 3.0 3.3 2.8 3.3 3.0 5 6 Inv. valuation adj....................... -1.8 -1.1 -3.3 -5.4 -4.9 -4.2 -5.9 -6.0 -3.2 -6.5 -5.8 -4.5 -5.9 -3.3 6 7 Capital consumption............... 38.2 41.5 44.9 48.0 51.5 45.7 46.8 47.6 48.3 49.1 50.1 51.1 52.0 53.0 7 8 Equals: Gross internal funds............ 61.2 61.5 62.5 62.5 62.0 63.1 62.4 62.7 64.1 60.6 60.1 61.6 62.3 64.0 8 9 53.1 51.3 55.3 52.9 59.2 49.4 53.1 52.8 53.7 52.1 55.2 58.5 59.4 63.5 9 10 Capital expenditures................... 77.1 72.0 76.8 86.7 85.6 82.2 83.3 84.9 89.7 88.7 83.9 83.4 88.4 86.9 10 11 Fixed investment.............................. 62.7 64.7 69.8 79.4 82.8 73.9 76.8 77.8 81.0 82.2 82.4 82.1 84.1 82.7 11 12 61.6 62.5 67.4 76.6 79.6 70.5 73.5 75.2 78.8 78.7 79.4 79.8 80.8 78.5 12 13 Residential construction............ 1.1 2.3 2.4 2.9 3.2 3.4 3.2 2.6 2.3 3.4 3.0 2.3 3.2 4.2 13 14 Change in inventories 3................. 14.4 7.3 7.0 7.2 2.8 8.3 6.6 7.1 8.7 6.6 1.5 1.3 4.3 4.2 14 15 Net financial investment...................... -24.0 -20.6 -21.5 -33.7 -26.5 -32.8 -30.2 -32.1 -36.0 -36.6 -28.7 -24.9 -29.0 -23.4 15 16 Net acquis, of finan. assets............. 15.5 14.6 25.6 26.6 22.1 20.0 39.3 24.7 26.2 16.2 22.4 28.6 14.0 23.2 16 17 Liquid assets................................ 1.9 2.1 8.6 1.3 13.8 -1.6 3.3 -2.7 .1 4.6 10.8 18.7 8.2 17.4 17 18 Demand dep. and curr........... .1 .7 1.6 -.9 1.0 -5.6 3.8 -5.7 -4.4 2.9 -3.4 .8 5.1 .8 18 19 Time deposits........................... -.7 2.9 1.9 -9.8 12.8 3.9 -14.4 -9.5 -11.0 -4.2 .5 6.1 32.3 12.2 19 20 U.S. Govt, securities.............. -1.2 -2.8 1.7 -1.7 1.7 -2.0 4.5 -1.0 -2.2 -8.0 -5.1 2.5 1.5 7.8 20 21 Open market paper................. 2.0 1.5 4.4 8.6 -2.0 3.0 2.7 10.5 12.2 8.9 18.2 7.2 -28.9 -4.6 21 22 State and local oblig............... 1.0 -.2 -1.1 5.1 .4 -.9 6.7 3.1 5.5 5.0 .6 2.0 -2.4 1.2 22 23 Consumer credit.......................... 1.2 .9 1.7 1.3 1.4 1.2 1.7 1.0 1.5 .8 1.6 1.4 1.6 1.1 23 24 Trade credit.................................. 11.3 7.7 13.9 17.3 6.9 18.4 19.1 16.9 18.7 14.6 18.6 4.8 2.0 2.1 24 25 Other financial assets 9............... 1.0 3.8 1.4 6.7 * 2.0 15.1 9.6 5.9 -3.8 -8.6 3.6 2.2 2.6 25 26 Net increase in liabilities................ 39.4 35.2 47.0 60.3 48.5 52.8 69.5 56.8 62.3 52.8 51.1 53.5 43.1 46.6 26 27 Credit market instruments......... 24.9 29.3 30.3 39.1 37.9 35.0 37.1 41.1 37.4 41.0 34.9 45.0 34.4 37.3 27 28 Corporate bonds..................... 10.2 14.7 12.9 12.1 21.3 14.4 14.6 12.5 10.5 10.7 13.9 22.7 20.7 27.8 28 29 1.2 2.3 -.8 4.3 6.7 -2.2 .1 2.4 5.6 9.1 6.3 6.2 5.0 9.2 29 30 4.2 4.5 5.8 4.8 4.3 6.8 5.0 4.2 4.2 5.7 2.4 3.6 5.8 5.2 30 31 Bank loans n.e.c...................... 7.9 6.4 8.8 11.0 .6 14.4 12.4 12.3 8.8 10.6 5.5 7.7 -.6 -10.3 31 32 Other loans io.......................... 1.4 1.4 3.6 7.0 5.1 1.6 5.0 9.7 8.4 4.8 6.8 4.8 3.6 5.4 32 33 Profit tax liability........................ .2, -4.7 2.8 .4 1.6 2.7 7.6 -3.7 -1.0 -1.6 2.0 -2.7 3.6 3.8 33 34 Trade debt.................................... 7.8 4.9 10.1 19.1 7.7 10.5 21.5 21.0 23.9 10.5 15.0 6.2 5.9 3.6 34 35 6.5i 5.6 3.8 1.7 1.3 4.6 3.3 -1.6 2.0 2.9 -.8 5.0 -.9 1.9 35 36 Discrepancy (8-9)................................ 8.CI 10.1 7.1 9.5 2.8 13.8 9.3 9.9 10.4 8.5 4.8 3.1 2.9 .5 36 37 3.5i 2.1r 3.81 -1.8: -.8i 7.9• -2.4 -4.1 -5.2 4.1 3.6 -1.4 -3.9 — 1.6 37 38 Profits tax payments 11...................... 30. fi 32.3I 31.7r 35.61 29.2: 33.4■ 32.1 42.1 35.8 32.5 28.2 31.9 28.4 28.0 38 Digitized for FRASER http://fraser.stlouisfed.org/ Note.—Data revised 1967-70; 1970 Q4 based on preliminary and incomplete information. For other notes see p. A-71.9. Federal Reserve Bank of St. Louis
MARCH 1971 □ FLOW OF FUNDS A 71.5 4. SECTOR STATEMENTS OF SAVING AND INVESTMENT—Continued (Seasonally adjusted annual rates; in billions of dollars) 1968 1969 1970 Category 1966 1967 1968 1969 1970 1 IV I II j III IV I II III IV State and local governments—General funds ] 1 Net surplus, NIA basis..................... 1.3 -1.6 -1.1 -.6 1.3 -1.9 -1.8 -1.5 -.3 1.0 .5 .6 1 2 Less: Retirement cr. to households 4.0 3.9 4.6 4.6 6.2 5.0 3.9 7.1 4.8 2.8 5.1 5.5 2 3 Equals: Gross saving......................... -2.7 -5.5 -5.7 -5.3 -4.9 -6.8 -5.6 -8.7 -5.0 -1.8 -4.6 -4.9 3 4 Net financial investment..................... -2.1 -5.6 -5.5 -5.1 -4.9 -7.0 -5.9 -8.9 -4.4 -1.2 -5.0 5 Net acq. of financial assets........... 4.8 3. 5.0 3.9 7.7 8.2 8.1 1.3 1.9 4.4 4.9 6 Currency and demand deposits. -.1 -1.0 .7 3.2 .9 .6 2.5 3.4 3 2.9 -.4 7 Time deposits............................. 1.3 2.4 3.2 -5.9 9.1 3.5 -3.7 -5.0 -10.3 -4.6 6.5 8 Credit market instruments.---- 3.4 2.1 .4 6.1 -2.7 3.7 8.1 2.9 7.7 5.6 -1. 9 U.S. Government securities. 2.4 .2 .8 3.5 -3.1 5.5 3.2 -.2 6.8 4.2 -2. 10 Direct.................................. 2.2 -.4 -.3 1.8 -2.1 4.4 2.1 -1.0 3.4 2. -3.1 11 U.S. Govt, agency sec----- .1 .6 1.0 1.7 -.9 1.0 1.1 .9 3.4 1.4 .3 12 State and local securities... * * .3 .3 .1 .1 .2 .2 .6 .2 13 Corporate bonds................... 1.1 1.9 -.4 2.3 .2 -1.9 4.8 2. .8 14 Home mortgages................... * .1 * * * * * 15 Tax receivables.......................... .2 .3 .7 .6 .3 .4 1.1 .1 .5 16 Net increase in liabilities............. 6.9 9.5 10.5 9.0 12.7 15.2 13.9 10.2 6.3 5.6 9.9 17 Credit mkt. borrowing............. 6.4 8.8 9.9 8.5 12.2 14.6 13.4 9.7 5 5 9.4 18 State and local obligations . . 5.7 8.7 9.6 8.1 11 14.2 12.8 9.4 5.6 4.7 8.9 19 Short-term.......................... .7 1.8 3 3 1.3 4.3 2.5 2.9 2.7 3.0 20 Other.................................... 5.1 6 9.4 5.0 8.0 12. 8.5 7.0 2.7 2.0 5.9 21 U.S. Govt, loans................... .6 .2 .3 .4 .4 .5 .5 .3 .3 .5 .5 22 Trade debt.................................. .5 .6 .6 .5 .5 .6 .5 .5 .5 .5 23 Discrepancy (7-8). -.7 .1 -.3 -.2 .2 .2 .2 -.6 -.6 U.S. Government 2 1 Total receipts, NIA basis---- 142.5 151.2 175.4 200.6 195.4 186.2 197.2 202.5 200.8 202.0 195.9 196.7 194.9 194.1 1 2 Personal taxes..................... 61.7 67.5 79.3 95.9 91.8 87.2 93.7 97.3 95.6 96.9 93.4 93.5 89.4 90.8 2 3 Corp. profits tax accruals. 32.1 30.7 37.5 39.2 34.8 38.5 39.9 40.2 38.6 38.1 34.8 34.9 35.7 33.8 3 4 Indirect taxes....................... 15.7 16.3 18.0 19.1 19.6 18.4 18.5 19.0 19.5 19.3 19.3 19.4 20.1 19.6 4 5 Insurance receipts............. 33.0 36.7 40.7 46.5 49.3 42.0 45.1 46.0 47.0 47.7 48.4 48.9 49.7 49.9 5 Total expenditures, NIA basis 142.8 163.6 181.6 191.3 206.2 187.2 187.7 189.1 192.5 195.9 197.7 210.9 206.7 209.4 6 Goods and services....................... 77.8 90.7 99.5 101.3 99.7 101.9 100.9 99.8 102.5 102.1 102.3 99.7 98.6 98.4 7 Grants and donations................... 29.0 30.7 33.4 36.8 43.7 34.3 34.9 36.7 36.5 39.0 38.7 46.4 44.5 45.1 8 Net interest...................................... 9.5 10.2 11.8 13.1 14.5 12.5 12.6 12.9 13.2 13.9 14.3 14.3 14.8 14.7 9 Insurance benefits.......................... 26.4 32.0 36.9 40.0 48.3 38.5 39.3 39.7 40.3 40.9 42.4 50.5 48.8 51.3 10 Net surplus, NIA basis..................... -.2 -12.4 -6.2 9.3 -10.8 -1.1 9.4 13.4 8.3 6.1 -1.7 -14.2 -11.8 -15.3 11 Less: Insur. credits to households3 1.4 1.4 1.3 1.6 2.4 1.1 1.8 1.2 2.4 .9 1.5 3.6 1.7 2.9 12 Equals: Gross saving........................ -1.6 -13.8 -7.5 7.7 -13.2 -2.2 7.7 12.1 5.9 5.2 -3.2 -17.8 -13.6 -18.2 13 14 Net financial investment. -.1 -13.1 -7.7 8.4 -10.3 -.6 8.6 12.9 6.3 5.6 -.6 -15.1 -10.2 -15.2 14 15 Net acquis, of finan. assets......... 5.4 2.9 8.2 5.9 5.1 -3.4 4.6 2.2 7.7 9.1 3.9 2.9 4.2 9.3 15 16 Demand deposits & currency. -.1 1.0 -1.7 1.1 2.5 -9.0 -3.0 .9 2.6 4.0 .6 2.6 .8 6.1 16 17 Credit market instruments... 4.9 4.6 4.9 2.5 3.3 3.1 2.5 1.7 3.7 2.3 3.9 3.3 3.2 2.6 17 18 Agency securities4............... 1.3 -.1 .1 -1.3 .1 -1.0 -1.1 -2.2 -.8 -1.0 .1 * * .3 18 19 Mortgages............................. .8 .9 1.1 .7 .3 .8 .5 .8 .7 .8 .3 .5 .3 -.1 19 20 Other loans........................... 2.8 3.8 3.7 3.1 2.9 3.3 3.1 3.2 3.8 2.4 3.6 2.8 2.9 2.3 20 Excess of tax accruals 21 Over receipts........................ -.7 -4.4 2.4 * 1.4 1.4 4.1 -4.6 -.6 1.3 2.7 -.6 2.1 1.3 21 22 Other financial assets5........... 1.3 1.8 2.5 2.2 -2.1 1.1 1.0 4.1 2.1 1.6 -3.3 -2.4 -1.9 -.7 22 23 Net increase in liabilities.............. 5.5 16.0 15.9 -2.5 15.4 -2.8 -4.0 -10.7 1.4 3.5 4.5 18.0 14.4 24.5 23 24 U.S. Government securities... 3.5 13.0 13.4 -3.6 12.7 -7.0 -5.4 -9.5 -.1 1.2 2.1 16.2 12.3 19.6 24 25 Savings bonds—households. .6 1.0 .4 -.4 .2 .7 -.4 -.4 -.8 .1 -.9 -.2 .5 1.3 25 26 Direct excl. savings bonds. . 1.8 7.9 9.9 -.9 12.7 -9.0 -5.4 -8.4 5.6 4.8 4.1 18.4 11.0 17.2 26 27 Budget agency sec. 6............. 1.2 4.1 3.1 -2.4 -.1 1.4 .5 -.7 -5.6 -3.7 -.5 -2.0 .8 1.2 27 28 Life & retirement reserves 1.4 1.4 1.3 1.6 2.4 1.1 1.8 1.2 2.4 .9 1.5 3.6 1.7 2.9 28 29 Other liabilities7........................ .6 1.6 1.1 -.4 .2 3.1 -.4 -2.5 -.3 1.4 .3 -1.8 .4 2.0 29 30 Discrepancy (13-14)..................... -1.5 -.7 .1 -.7 -2.9 -1.6 -.9 -.8 -.5 -.4 -2.6 -2.7 -3.4 -3.0 30 31 Memo: Corp. tax receipts, net. . 32.8 35.1 35.0 39.2 33.4 37.1 35.8 44.7 39.3 36.8 32.1 35.5 33.6 32.5 31 Federally sponsored credit agencies8 1 Current surplus. .1 .1 .1 .1 .1 .1 .1 .1 .1 .1 .1 .1 .1 .1 1 2 Net increase in assets................... 5.3 -.7 3.2 9.2 9.9 2.2 4.1 7.8 77.7 13.7 15.8 6.6 8.6 8.5 2 3 Credit market instruments.... 5.1 -.1 3.2 9.0 8.8 2.3 4.0 7.6 10.5 14.1 13.7 6.8 7.5 7.3 3 4 U.S. Government securities. 1.0 * -.1 -.2 1.5 .1 -2.0 .3 -.5 1.2 2.0 -.6 1.4 3.2 4 5 Residential mortgages......... 1.9 1.1 1.6 3.9 4.6 1.0 1.7 2.5 4.7 6.6 5.8 5.2 4.7 2.5 5 6 Farm mortgages.................... .7 .7 .5 .6 .5 .4 .6 .8 .6 .3 .3 .5 .5 .5 6 7 Other loans............................. 1.6 -1.8 1.2 4.8 2.3 .7 3.7 4.0 5.7 5.9 5.6 1.7 .9 1.1 7 8 To coops (BC)................... .2 .2 .1 .2 .3 .1 .2 .2 -.1 .3 .3 .1 .4 .4 8 9 To farmers (FICB)........... .4 .5 .2 .6 .7 .3 .6 .7 .4 .8 1.0 .7 .2 .9 9 10 To S & L’s (FHLB)......... .9 -2.5 .9 4.0 1.3 .3 2.9 3.1 5.3 4.8 4.4 .8 .3 -.2 10 11 Net increase in liabilities 5.2 -.2 3.2 9.7 9.8 2.1 4.1 7.8 11.4 13.3 15.8 6.5 8.5 8.5 11 12 Credit market instruments. 4.8 -.6 3.5 8.8 7.6 3.1 3.6 8.4 10.6 12.5 14.4 5.4 6.3 4.4 12 1 13 4 A U g .S e . n c G y o s v e e c r u n r m iti e e n s t . . l .. o .. a .. n .. s .. . . _5 .1 2 _ -. . 6 j 3. . 2 2 — 9 . . 1 3 7.6 2. . 7 3 -1 4 . . 1 8 8.4 10.6 12.5 14.4 5.4 6.3 4.4 1 1 3 4 15 Miscellaneous liabilities... .4 *.5 -.3 '.4""2.2 -.9 .4 -.6 .8 .8 1.3 1.2 2.3 4.1 15 Note.—Data revised 1967-70; 1970 Q4 based on preliminary and incomplete information. For other notes see p. A-71.9. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 71.6 FLOW OF FUNDS □ MARCH 1971 4. SECTOR STATEMENTS OF SAVING AND INVESTMENT—Continued (Seasonally adjusted annual rates; in billions of dollars) 1968 1969 1970 Category 1966 1967 1968 1969 1970 IV I II III IV I II III IV Monetary authorities 1 1 Current surplus.................................... * * * * .1 * * * * * * .1 .1 .1 1 2 Net acquisition of financial assets. . . 4.2 4.8 3.7 4.2 5.2 4.8 1.9 2.0 5.5 7.4 6.1 1.1 9.9 3.6 2 3 Gold and foreign exchange 2........ -.3 -.5 -1.2 -.1 -1.4 3.1 * -.9 2.0 -1.5 .8 -2.0 -1.0 -3.3 3 4 Treas. currency and SDR ctfs....... .7 .5 .2 * .7 .3 -.4 .1 .2 .3 1.9 .3 .4 .3 4 5 F.R. float........................................... .3 * .9 .1 .7 4.9 -2.6 -1.9 3.4 1.4 2.4 -3.1 1.2 2.3 5 6 F.R. loans to domestic banks.. .. .1 * * * .2 .9 .9 .7 .4 -2.0 -.2 .4 1.6 -1.2 6 7 Credit mkt. instruments................. 3.5 4.8 3.7 4.2 5.0 -4.4 4.1 4.0 -.5 9.3 1.2 5.5 7.7 5.5 7 8 U.S. Govt, securities................... 3.5 4.8 3.8 4.2 5.0 -4.3 4.0 4.2 -.4 9.2 1.1 5.4 7.8 5.6 8 9 Net increase in liabilities..................... 4.2 4.7 3.7 4.2 5.1 4.7 1.9 2.0 5.5 7.4 6.1 1.1 9.8 3.5 9 10 Member bank reserves................... 1.3 1.3 .7 .3 2.0 1.6 .5 -2.8 3.0 .3 4.4 -1.3 5.7 -1.0 10 11 Vault cash of coml. banks 3......... .6 .5 1.3 .1 .3 1.6 .9 .1 -.5 2.9 -.2 -.4 -1.2 11 Demand deposits and currency 12 U.S. Government........................ .2 .9 -1.0 .5 -.4 -.4 -.3 -.1 .1 2.3 -1.2 -3.2 2.3 .6 12 13 Foreign 4....................................... .2 * .1 -.1 * .1 -.2 * -.1 -.1 .3 -.2 -.2 -.1 13 14 Currency outside banks............. 2.0 2.1 2.4 2.8 2.9 2.4 .9 3.7 2.5 4.2 -.7 5.6 3.2 3.7 14 15 -.1 * .2 .6 .4 -.6 1.0 .2 -.2 1.2 .4 .4 -.8 1.5 15 Commercial banks and affiliates 5 Current surplus.................................. 2.5 2.3 2.9 3.1 3.0 3.0 3.1 3.2 3.1 3.0 3.0 3.1 3.1 1 2 Net acquisition of financial assets. . 20.1 39.9 44.0 19.7 41.9 41.9 18.7 35.5 14.9 9.3 36.1 30.3 69.0 32.1 3 Total loans and investments.... 16.8 36.9 39.7 16.5 29.3 36.1 8.8 33.8 4.2 18.9 10.0 28.0 53.8 25.5 4 Credit market instruments... . 16.2 35.4 38.4 17.7 27.5 45.9 14.8 29.5 7.3 18.5 10.6 34.1 44.7 20.6 5 U.S. Government securities6 -3.6 9.3 3.4 -9.5 8.2 -4.1 -16.2 -7.2 -9.5 -5.2 .6 7.3 15.5 9.5 6 Direct.................................. -3.4 6.3 2.2 -9.3 5.2 -5.0 -14.4 -8.8 -7.6 - 6.2 -.6 7.3 11.5 2.8 7 Agency issues..................... .3 1.1 1.1 3.7 2.2 -1.0 .1 1.2 4.1 2.9 1.4 3.8 6.6 8 Loan partic. certificates.. 2.7 .2 -1.3 -.7 -1.2 -.7 1.5 -3.0 -3.1 -1.6 -1.5 .2 .1 9 Other securities and mtg.. . 6.6 14.3 15.5 5.5 13.6 21.2 9.3 8.4 3.0 1.5 7.4 10.3 14.7 22.0 10 State and local obligations 1.9 9.0 8.6 .4 11.2 13.1 I.5 2.3 -.9 -1.5 5.0 8.9 12.5 18.3 11 Corporate bonds............... .1 .8 .3 -.1 .5 .4 .1 .1 -.2 -.2 .9 1.2 12 Home mortgages............... 2.4 2.4 3.5 3.0 .9 4.0 4.3 3.3 2.1 2.1 1.1 .6 1.1 .7 13 Other mortgages............... 2.3 2.2 3.2 2.3 1.0 3.7 3.3 2.7 2.0 1.1 1.4 1.0 1.7 14 Other credit exc. security. . 13.3 11.7 19.5 21.7 5.7 28.8 21.7 28.4 13 22.2 2.6 16.5 14.5 -10.9 15 Consumer credit............... 2.6 1.8 4.9 3.3 1.9 5.9 3.8 3.9 2.7 3.0 1.1 2.3 3.8 .4 16 Bank loans n.e.c................ 9.1 7.5 15.7 17.8 .6 23.0 18.0 24.0 11.1 17.6 4.8 9.4 5.3 -17.0 17 Open market paper........... 1.6 2.4 - 1.1 .5 3.2 -.1 -.1 .5 * 1.6 -3.3 4.8 5.4 5.7 18 Security credit............................ .5 1.5 1.3 -1.1 1 -9.8 -6.1 4.3 -3.1 .4 -.7 -6.1 9.1 4.9 19 Vault cash & mem. bk. reserves. 1.9 1.8 2.0 .4 2.2 3.2 .5 -1.9 3.1 -.2 7.3 -1.5 5.3 - 2.1 20 Loans to affiliate banks. .6 1.0 .7 .4 .3 .5 -.1 -.3 -.6 20 21 Miscellaneous assets 1.4 1.2 2.3 2.2 10 2.6 8.4 3.0 7.3 -9.8 18.4 3.8 10.1 9.4 21 22 Net increase in liabilities. 18.9 38.1 42.2 18.0 39.8 40.1 17.4 32.9 13.3 7.7 34.4 27.9 66.6 30.2 22 23 Demand deposits, net. .3 11.9 13.3 5.2 6.4 5.0 -1.4 6.7 8.4 6.8 6.6 6.7 3.2 9.0 23 24 U.S. Government. . -.5 .2 -.2 * 2.7 -6.5 -5.4 1. 1. 1.9 2.3 4 -1.5 5.1 24 25 Other7....................... 11.6 13.5 5.2 3.7 11.5 4.0 4.9 6.7 4.8 4.3 1.9 4.8 4.0 25 26 Time deposits..................... 13.3 23.8 20.6 -9.7 38.0 24.2 -7.6 -9.0 -21.2 -1.1 11.5 28.6 66.9 45.1 26 27 Large negotiable CD’s. -.8 4.7 3.1 - 12.6 15.2 4.9 -18. -14.0 -14.2 -3.3 5.3 7.6 34.3 13.4 27 28 Other............................... 14.0 19.1 17.4 2.9 22.9 19.3 II.2 5.0 -7.0 2.2 6.2 21.1 32.6 31.6 28 29 Commercial paper issues. 4.2 -1.9 4.2 5.0 6.9 8.9 4.1 -11.5 -8.9 29 30 Bank security issues......... .2 .1 -.1 -.1 .2 30 31 F.R. float................................ .1 4.9 -2.6 -1.9 3.4 1.4 2.4 -3.1 1.2 2.3 31 32 Borrowing at F.R. Banks... * .9 .9 .7 .4 -2.0 -.2 .4 1.6 -1.2 32 33 Loans from affiliates............ .6 1.0 .7 .4 .3 .5 -.1 -.3 -.6 33 34 Profit tax liabilities............... -.1 -.1 .1 -.4 * -.3 .9 .2 -.4 -.2 34 35 Liabilities to fgn. branches. 2.7 .2 1.8 7.0 -4.3 14.3 14 4.3 -5.3 -4.4 -2.9 -5.7 -11.5 35 36 Other misc. liabilities........... 2.3 2.2 5.5 10.4 9.9 11.9 16.0 12.5 1.2 7.9 - 6.1 11.6 -3.7 36 37 Discrepancy.......................................... .2 .5 .3 .5 .2 -.5 -.3 37 Memo: Amounts included above for un consolidated bank affiliates: 38 Net acquisition of financial assets----- 4.4 -1 2 7.7 6.6 12.0 4.8 -11.7 -10.9 38 39 Bank loans n.e.c............................... 3 -1.3 1.4 7.0 6.2 .6 11.5 4.9 -11.5 -10.3 39 40 Loans to affiliate banks................. -.1 1.0 .7 .4 .5 -.1 -.3 -.6 40 41 Net increase in liabilities.... 4.4 -1.5 2.4 7 6.6 .9 12.0 4.8 -11.7 -10.9 41 42 Commercial paper issues. 4.2 -1.9 .8 4.2 5.0 6 8.9 4 -11.5 -8.9 42 43 Miscellaneous liabilities.. .2 .4 1.6 3.5 1.5 -5.9 3.1 .7 -.2 - 2.0 43 Note.—Data revised 1967-70; 1970 Q4 based on preliminary and incomplete information. For other notes see p. A-71.9. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 □ FLOW OF FUNDS A 71.7 4. SECTOR STATEMENTS OF SAVING AND INVESTMENT—Continued (Seasonally adjusted annual rates; in billions of dollars) 1968 1969 1970 Category 1966 1967 1968 1969 1970 IV I II III IV I II III IV Private nonbank financial institutions—Total 1 1 Current surplus.................................... 1.6 1.3 -.1 -.3 .5 -.5 -2.7 .4 * 1.1 .1 .5 .8 .7 1 2 Physical investment (life insurance).. .5 .6 .8 .8 .8 .8 .7 .7 .8 .8 .8 .8 .8 .9 2 3 Net acquisition oi financial assets----- 34.9 42.4 50.0 48.7 50.9 43.5 38.3 64.0 42.4 50.0 33.9 44.9 63.4 61.6 3 4 Demand deposits and currency. . . -.1 1.0 .9 .5 .9 .5 -1.3 1.4 .1 1.5 1.1 .7 1.6 .3 4 S * * * -.1 * -.2 -.2 5 6 Svgs. and loan shares (Cr. union) -.2 .3 -.1 * .7 -.7 .1 -.2 -.1 .3 .8 .6 .2 1.3 6 7 Credit market instruments............. 33.2 35.4 45.6 49.0 47.1 37.8 43.3 63.7 46.5 42.4 34.5 45.5 56.9 51.4 7 8 U.S. Government securities.... .4 -1.9 2.2 -.8 3.9 -4.8 -2.4 4.8 -4.7 -.8 -.6 9.5 .9 5.8 8 9 State and local oblig................... .8 1.2 1.2 1.0 1.5 1.5 .4 1.2 1.5 .7 1.9 -. 1 2.0 2.3 9 10 Corporate and foreign bonds... 8.0 11.1 9.6 6.7 10.7 5.4 6.9 11.3 6.6 2.0 2.8 12.7 13.8 13.7 10 11 Corporate stocks......................... 5.9 8.3 9.4 12.8 10.3 9.6 10.1 13.8 12.2 15.3 15.4 9.7 6.6 9.4 11 12 Home mortgages......................... 5.1 8.0 8.6 8.6 7.8 11.2 10.6 11.2 7.1 5.5 1.6 4.5 10.9 14.2 12 13 Other mortgages.......................... 6.8 6.7 7.0 6.7 7.7 8.5 6.0 6.3 7.2 7.4 6.3 7.4 8.0 8.9 13 14 2.9 1.4 3.8 4.2 .6 4.4 4.4 5.4 3.6 3.4 2.4 2.2 -.4 -1.8 14 15 Other loans................................... 3.3 .6 3.8 9.7 4.6 2.0 7.3 9.8 12.9 8.9 4.8 -.4 15.2 -1.0 15 16 Security credit.................................. -.1 2.8 2.0 -2.6 -1.4 4.7 -6.3 -.6 -5.2 1.8 -4.6 -3.4 .3 2.1 16 17 Trade credit...................................... .2 .3 .3 .4 .4 .3 .4 .4 .4 .4 .4 .4 .4 .4 17 18 Miscellaneous assets....................... 2.0 2.6 1.4 1.5 3.2 .9 2.3 -.5 .6 3.5 1.7 1.2 4.0 6.0 18 19 Net increase in liabilities..................... 34.7 43.3 49.7 50.4 51.6 42.6 41.7 64.2 44.9 50.9 33.2 45.1 64.9 63.3 19 20 Time and savings accounts............ 7.0 17.0 12.8 8.1 17.3 13.9 13.5 8.8 5.7 4.5 5.5 15.9 21.8 26.1 20 21 Insurance and pension reserves. .. 16.7 17.5 18.5 18.7 20.0 20.0 14.9 22.4 18.7 18.9 18.7 21.4 19.8 20.2 21 22 Credit market instruments............. 6.6 1.7 11.4 18.0 6.9 12.3 15.4 19.4 20.3 16.8 6.3 8.0 7.9 5.3 22 23 Finance company bonds............ .8 1.0 .8 1.6 2.1 1.0 1.4 2.2 1.4 1.3 1.3 2.3 2.8 1.9 23 24 Investment company shares.... 3.7 2.6 4.7 5.6 3.2 5.5 7.6 4.7 6.1 4.2 2.1 3.2 3.9 -3.4 24 25 Mtg. loans in process................. -.9 1.0 .2 * .6 .6 .7 .3 -.3 -.6 -1.2 * 1.6 2.2 25 26 Bank loans n.e.c........................... -1.3 -2.1 2.3 2.1 -.2 2.1 .9 4.9 -.6 3.4 -2.3 1.2 2.8 -2.4 26 27 Other loans................................... 4.3 -.7 3.3 8.6 1.2 3.1 4.9 7.4 13.8 8.5 6.4 1.2 -3.2 .2 27 28 Finance company paper........ 3.4 1.8 2.5 4.6 -.2 2.9 1.9 4.3 8.5 3.7 2.0 .4 -3.5 .5 28 29 FHLB loans.............................. .9 -2.5 .9 4.0 1.3 .3 2.9 3.1 5.3 4.8 4.4 .8 .3 -.2 29 30 Security credit.................................. .6 2.1 2.0 -2.0 1.5 -8.1 -9.5 3.8 -5.1 2.6 -1.5 -7.4 9.4 5.6 30 31 * 1 2 1 * 2 —. 1 3 1 _ 2 —. l , l * 31 32 Miscellaneous liabilities................. 3.8 5.0 4.8 7.5 5.9 4.6 7.2 9.9 4.9 8.0 4.5 7.3 5.9 6.1 32 33 Discrepancy.......................................... .8 1.5 -1.3 .6 .4 -2.2 -.1 -.2 1.6 1.2 -1.4 -.2 1.5 1.5 33 Savings and loan associations 1 Net acquisition of financial assets----- 4.6 9.7 9.7 9.5 14.3 10.3 12.8 10.2 8.2 6.8 5.5 12.6 17.9 21.3 1 2 Demand deposits & currency 2... -.5 -.3 -.4 -.2 -.2 -.4 -.1 -.5 * .2 * .1 -1.1 2 3 Credit market instruments............. 4.2 9.1 10.1 9.9 11.7 11.3 12.6 11.8 9.0 6.1 4.0 10.3 14.2 18.1 3 4 U.S. Govt, securities................... .4 1.6 .7 .3 1.4 .4 1.8 .5 .1 -1.3 -.3 3.2 1.5 1.1 4 5 Home mortgages......................... 2.9 6.0 7.2 7.8 7.6 8.5 9.1 9.5 7.0 5.5 3.0 4.9 9.4 13.0 5 6 Other mortgages.......................... .9 1.5 2.1 1.8 2.7 2.4 1.7 1.8 2.0 1.8 1.3 2.2 3.2 4.0 6 7 * * .1 * * .1 * .1 * -.1 -.1 .1 .1 * 7 8 Misc. financial trans........................ .9 .9 * -.2 2.9 -.6 .4 -1.2 -.9 .8 1.3 2.3 3.6 4.3 8 9 Net increase in liabilities..................... 4.0 9.3 8.9 8.6 13.6 9.2 12.3 9.1 7.4 5.4 4.9 11.7 17.1 20.5 9 10 Savings shares.................................. 3.6 10.6 7.5 4.1 11.2 8.1 8.0 4.8 2.9 .7 2.2 9.8 15.6 17.0 10 11 Credit market instruments............ .1 -1.7 1.1 4.1 1.9 1.4 3.2 3.5 5.1 4.6 2.5 .8 1.7 2.5 11 12 Mtg. loans in process................. -.9 1.0 .2 * .6 .6 .7 .3 -.3 -.6 -1.2 ♦ 1.6 2.2 12 13 Borrowing from FHLB............. .9 -2.5 .9 4.0 1.3 .3 2.9 3.1 5.3 4.8 4.4 .8 .3 -.2 13 Mutual savings banks 1 Net acquisition of financial assets3. .. 2.8 5.4 4.6 3.1 4.8 4.2 4.9 3.5 1.8 2.1 2.6 5.2 5.0 6.3 1 2 Credit market instruments............. 2.7 5.2 4.4 3.2 4.2 4.4 4.9 3.5 1.4 2.9 2.3 4.7 4.3 5.6 2 3 U.S. Govt, securities................... -.5 -.3 -.2 -.5 * -.7 .3 -.5 -1.0 -.8 -.6 .6 .5 -.5 3 4 State and local govt, securities.. -.1 * * * * * * * * * * * * * 4 5 Corporate bonds.......................... .3 2.1 1.3 .3 1.6 1.2 .9 .8 -.3 -.1 .9 1.7 .9 2.8 5 6 Corporate stocks......................... * .2 .3 .2 .3 .3 .2 .2 .2 .2 .3 .3 .3 .3 6 7 Home mortgages......................... 1.6 1.8 1.4 1.4 1.2 2.1 1.6 1.5 1.1 1.4 .2 1.1 1.3 2.0 7 8 Other mortgages.......................... 1.1 1.4 1.4 1.3 .8 1.7 1.3 1.2 1.0 1.7 .5 .8 .9 .9 8 9 Savings deposits............................... 2.6 5.1 4.2 2.6 4.5 4.5 3.8 2.7 1.5 2.2 1.6 4.4 4.7 7.3 9 10 Miscellaneous liabilities................. * .1 .1 .2 .1 .1 .1 .5 * .3 .1 .5 .1 -.4 10 Life insurance companies 1 Net acquisition of financial assets3... 8.3 8.7 9.8 9.2 9.4 11.5 9.1 9.2 9.1 9.2 9.6 9.4 9.1 9.4 1 2 Credit market instruments............. 8.1 8.4 9.0 8.3 8.8 10.9 7.6 10.5 8.6 6.7 8.4 9.5 9.2 8.1 2 4 3 U St . a S t . e G a o n v d t , l o s c e a c l u r o it b i l e i s g .. a .. t . i . o ... n .. s .. - . - . - .. - . - . - - . . 3 4 - - . .1 3 -.1 .2 -.4 * .1 * . .8 4 -.7 * * * -.8 .2 -.1 .1 — .5 * -.1 .5 . . 2 1 -.1 .1 4 3 5 Corporate bonds.......................... 2.4 3.8 3.9 1.5 1.6 3.8 2.4 2.7 1.5 —. 6 .7 2.4 1.3 1.9 5 6 Corporate stock........................... .3 1.0 1.4 1.7 1.9 1.7 1.9 1.8 1.1 2.1 2.2 2.3 .5 2.7 6 7 Home mortgages......................... .6i -.5 -.7 -1.1 -1.3 -.9 -.7 -.6 -.8 -2.1 -1.3 -1.2 -1.2 -1.2 7 8 4.0i 3.4 3.2 3.1 3.6 4.1 2.6 2.9 3.2 3.8 4.0 3.7 3.3 3.3 8 9 Other loans................................... 1.5i 1.0i 1.2 3.4 2.9 1.0 2.2 3.7 4.2 3.6 3.4 1.9 5.0 1.4 9 10 Net increase in liabilities..................... 7.9 8.8 9.1 9.2 9.3 9.7 9.2 9.2 9.3 9.3 9.3 9.3 9.3 9.3 10 11 Life insurance reserves................... 4.5; 4.7 4.6 4.8 4.8 4.6 4.8 4.9 4.9 4.8 4.8 4.8 4.8 4.8 11 12 Pension fund reserves..................... 2.1 2.6 2.9 2.9 3.1 2.9 2.9 2.9 2.9 3.0i 3.0 3.0 3.1 3.1 12 13 Other liabilities................................ 1.2 1.6 1.5 1.4 1.5 2.0 1.4 1.5 1.3 1.5 1.4 1.6 1.5 1.6 13 Digitized for FRNAoSteE.—RD ata revised 1967-70; 1970 Q4 based on preliminary and incomplete information. For other notes see p. A-71.9. http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 71.8 FLOW OF FUNDS □ MARCH 1971 4. SECTOR STATEMENTS OF SAVING AND INVESTMENT—Continued (Seasonally adjusted annual rates; in billions of dollars) 1968 1969 1970 Category 1966 1967 1968 1969 1970 IV I II III IV I II III IV Private pension funds 1 Net acquisition of financial assets.... 6.1 6.3 6.4 6.3 6.0 7.4 3.3 7.5 6.1 8.3 5.8 5.4 6.0 6.8 2 Demand deposits and currency... * .4 .3 * .2 .6 -1.6 1.6 -.3 .4 .3 -.3 .8 .2 3 Credit market instruments............. 5.5 5.1 5.8 6.2 5.5 6.4 5.2 5.5 7.2 7.1 6.1 5.5 4.9 5.6 4 U.S. Govt, securities................... -.5 -.6 .4 .1 .1 .4 * .9 -.5 -.4 .3 .8 -.2 5 Corporate bonds.......................... 1.9 .9 .7 .6 1.2 .3 .7 1.6 .8 1.1 1.2 1.2 1.4 6 Corporate stock........................... 3.7 4.6 4.7 5.4 4.0 5.7 5.8 4.5 6.5 5.2 3 2.7 4.4 7 Mortgages...................................... .5 .1 .1 .1 * .3 .3 .2 .2 * 8 Miscellaneous................................... .6 .1 .2 -.2 .4 -.7 -.6 .2 .4 1.0 State and local govt, employee retirement funds 1 Net acquisition of financial assets 4.0 3.9 4.6 4.6 6.2 5.0 3.9 7.1 4.8 2.8 5.1 8.2 5.9 5.5 1 2 Demand deposits and currency... .1 .1 * * * * * * * * * * * * 2 3 Credit market instruments........... 3.8 3.5 4.5 4.7 6.0 5.2 4.1 7.2 4.7 2.6 4.9 8.0 5.7 5.3 3 4 U.S. Govt, securities................... .2 -1.0 .4 -.2 -.4 .7 .1 -.3 * -.1 -.4 -.9 4 5 Direct......................................... .1 -1.1 -.3 -.4 -.4 -.4 * -.4 -.4 -.2 -.5 . -.9 5 6 U.S. Govt, agency sec............ .1 .1 .6 .2 * 1.1 .1 .1 .4 .1 .1 .1 6 7 State and local obligations........ -.1 -.1 * -.2 -.2 * * -.1 * -.5 -.1 -.4 -.2 7 8 Other cr. mkt. instruments 3.8 4.5 4.2 5.1 6.5 4.6 4.0 7.6 4.7 3.9 5.1 8.9 5.9 6.2 8 9 Corporate bonds..................... 2.5 3.4 2.5 3.0 4.1 2.5 2.5 5.2 2.3 1.9 2.4 5.8 4.0 4.1 9 10 Corporate stock....................... .5 .7 1.3 1.7 2.0 1.7 1.2 2.1 1.5 2.1 2.3 2.6 1.5 1.6 10 11 Mortgages................................. .8 .5 .4 .3 .4 .3 .3 .3 .9 -.1 .4 .5 .4 .5 11 12 Other................................................... .1 .4 .1 .2 -.2 -.2 -.1 .1 .2 .2 .2 .2 12 Other insurance companies 1 Current surplus.................................... .5 .4 .1 -.1 -.1 * -.1 — .1 -.1 * -.1 -.1 -.1 -.1 1 2 Net acquisition of financial assets.... 2.1 2.0 3.1 3.0 3.5 3.1 3.3 4.6 .5 3.4 3.7 3.6 3.0 3.5 2 3 Demand deposits and currency... * * .1 * * * * -.1 -.1 * * * * * 3 4 Credit market instruments............. 1.9 1.8 2.7 2.6 3.0 2.7 2.9 4.3 .1 3.1 3.3 3.2 2.5 3.1 4 5 U.S. Government securities----- -.4 -.7 -.2 -.4 .2 -.6 -.3 1.0 -2.2 -.3 * .1 .5 .3 5 6 State and local oblig................... 1.3 1.4 1.0 1.2 1.1 1.0 1.2 1.3 1.3 1.2 1.1 1.1 1.0 1.0 6 7 Corporate bonds.......................... .6 .7 1.2 .8 .9 1.1 .9 .8 .7 .8 .8 .8 .9 .9 7 8 Corporate stock........................... .4 .3 .8 1.0 .9 1.1 1.1 1.2 .3 1.3 1.4 1.1 .1 .9 8 9 Commercial mortgages............... * * * ♦ * * ♦ * * * * * * * 9 10 Trade credit...................................... .2 .3 .3 .4 .4 .3 .4 .4 .4 .4 .4 .4 .4 .4 10 11 Net increase in liabilities..................... 1.8 2.1 2.4 3.4 3.7 2.7 3.4 4.9 1.4 3.9 3.6 3.6 3.8 3.7 11 12 Discrepancy.......................................... .1 .5 -.6 .4 .2 -.4 # .2 .7 .4 -.2 * .7 .1 12 Finance companies 1 Net acquisition of financial assets.... 2.6 .9 5.5 8.0 1.8 5.7 4.6 11.4 8.7 7.5 2.1 4.0 2.0 -.9 1 2 Demand deposits and currency... .2 .2 .2 .3 .2 .3 .3 .3 .3 .3 .3 .3 .3 * 2 3 Home mortgages.............................. —. 6 .4 .6 .3 .1 1.6 . 6 .8 —. 5 .2 -.7 -.4 1.2 .4 3 4 Consumer credit.............................. 1.8 .6 2.4 2.6 -.6 2.3 2.7 3.5 2.2 2.1 1.3 .9 -2.1 -2.6 4 5 Other loans (to bus.)....................... 1.2 -.4 2.2 4.8 2.1 1.6 1.0 6.7 6.7 4.9 1.2 3.2 2.6 1.3 5 6 Net increase in liabilities..................... 2.8 .9 5.5 8.2 1.8 5.5 4.7 11.2 9.1 8.0 1.7 4.0 2.3 -.6 6 7 Corporate bonds.............................. .8 1.0 .8 1.6 2.1 1.0 1.4 2.2 1.4 1.3 1.3 2.3 2.8 1.9 7 8 -1.4 -2.0 2.3 2.1 -.1 1.6 1.4 4.7 -.7 2.9 -1.7 1.3 3.0 -2.9 8 9 Open market paper......................... 3.4 1.8 2.5 4.6 -.2 2.9 1.9 4.3 8.5 3.7 2.0 .4 -3.5 .5 9 Open-end investment companies 1 Current surplus.................................... -1.2 -1.5 -2.2 -2.3 -1.6 -2.5 -4.8 -1.7 -2.0 -.8 -1.8 -1.6 -1.3 -1.5 1 2 Net acquisition of financial assets----- 2.5 1.1 2.5 3.3 1.6 2.9 2.8 3.0 4.1 3.4 .2 1.6 2.6 1.9 2 3 Demand deposits and currency... * .2 .1 -.1 * . 1 -.1 -.1 -.1 * * -.5 .3 .2 3 4 Credit market instruments............. 2.5 .9 2.4 3.4 1.6 2.8 2.9 3.1 4.1 3.4 .3 2.2 2.3 1.7 4 5 U.S. Govt, securities................... .6 -.5 .2 -.5 .3 -1.0 -.7 * .2 -1.3 -.8 8.3 -7.0 .7 5 6 Corporate bonds.......................... .4 * .4 .2 1.0 .9 .5 .5 -.6 .3 -2.9 * 3.2 3.8 6 7 Corporate stocks....................... 1.0 1.5 1.5 2.5 .8 3.4 -.7 3.1 3.3 4.3 4.2 -1.0 -.8 .7 7 8 Open market paper................... .5 * .3 1.2 -.5 -.4 3.8 -.4 1.3 .2 -.3 -5.2 6.9 -3.5 8 9 3.7 2.6 4.7 5.6 3.2 5.5 7.6 4.7 6.1 4.2 2.1 3.2 3.9 3.4 9 Note.—Data revised 1967-70; 1970 Q4 based on preliminary and incomplete information. For other notes see p. A-71.9. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 □ FLOW OF FUNDS A 71.9 4. SECTOR STATEMENTS OF SAVING AND INVESTMENT—Continued (Seasonally adjusted annual rates; in billions of dollars) 1968 1969 1970 Category 1966 1967 1968 1969 1970 IV I II III IV I II III IV Rest of the world 1 Net U.S. exports.................................. 5.3 5.2 2.5 2.0 3.6 1.4 1.3 1.3 2.6 2.6 3.5 4.1 4.2 2.7 1 2 U.S. exports...................................... 43.4 46.2 50.6 55.5 62.3 50.9 47.8 57.2 58.3 58.8 61.1 62.8 62.8 62.6 2 3 U.S. imports..................................... 38.1 41.0 48.1 53.6 58.7 49.5 46.5 55.9 55.6 56.2 57.6 58.7 58.6 59.9 3 4 Transfer receipts from U.S................ 2.8 3.0 2.8 2.8 2.9 3.1 2.4 3.2 2.8 2.9 2.8 3.0 2.9 2.9 4 5 Current account balance1................. -2.4 -2.2 .3 .9 -.7 1.7 1.1 2.0 .1 .3 -.7 -1.1 -1.3 .2 5 6 Net financial investment...................... -2.0 -1.2 .9 3.7 .8 2.9 5.9 4.2 4.1 .4 .6 .6 .7 1.1 6 7 Net acquis, of financial assets........ 3.3 7.6 8.5 10.3 6.1 10.4 13.9 15.2 12.4 — .2 8.7 4.7 5.1 6.1 7 8 Gold and SDR’s2....................... .6 1.2 1.2 -1.0 .8 -.5 .2 -1.3 * -2.8 -.4 -.1 1.4 2.2 8 9 U.S. dem. dep. and currency... -1.0 .3 .3 .3 .3 .4 -.1 .6 .6 * 1.4 -.4 -.5 .5 9 10 Time deposits............................... .8 1.2 -.3 1.0 -1.9 .2 -.5 -1.4 .4 5.7 4.3 -3.5 -3.2 -5.1 10 11 U.S. Government securities.... -2.4 2.1 -.5 -1.8 8.4 6.8 -4.5 -1.8 2.7 -3.7 8.0 8.1 4.8 12.8 11 12 Other credit market instr.3. . .. .6 .8 2.8 3.1 1.7 4.8 4.5 2.7 2.4 2.7 1.4 1.3 .4 3.6 12 13 Other financial assets 4.............. 4.7 2.0 4.9 8.7 -3.2 -1.3 14.4 16.4 6.3 -2.1 -6.1 -.7 2.1 -7.9 13 14 Net increase in liabilities................. 5.3 8.7 7.6 6.7 5.4 7.5 8.0 11.0 8.3 -.7 8.0 4.1 4.4 4.9 14 15 Official U.S. fgn. exchange5 . .. * 1.1 2.1 .3 -2.5 3.7 .4 -.1 2.8 -1.9 -2.3 -4.2 -1.7 -1.9 15 16 Securities........................................ .5 1.3 1.3 1.5 1.1 2.0 1.5 2.0 2.0 .5 .7 -.4 2.1 2.0 16 17 Loans 6.......................................... 1.1 2.8 1.7 2.2 1.8 .7 2.6 4.0 .3 1.9 1.9 2.1 .5 2.5 17 18 Other liabilities 7......................... 3.8 3.6 2.6 2.7 5.0 1.0 3.6 5.1 3.2 -1.1 7.8 6.6 3.5 2.3 18 19 Discrepancy 8........................................ -.4 -1.1 -.5 -2.8 -1.5 -1.1 -4.8 -2.2 -3.9 -.1 -1.3 -1.7 -2.0 -.9 19 U.S. gold, SDR’s & net fgn. exchg.: 20 Monetary authority......................... -.3 -.5 -1.2 -.1 -1.4 3.1 * -.9 2.0 -1.5 .8 -2.0 -1.0 -3.3 20 21 U.S. Treasury9................................. -.2 .4 2.0 1.4 -2.0 1.2 .2 2.1 .8 2.3 -2.7 -2.2 -2.2 -.8 21 Note.—Data revised 1967-70; 1970 Q4 based on preliminary and incomplete information. Notes to Table 4 Households Banking 1 Imputed saving associated with growth of government life insurance 1 Federal Reserve System plus those Treasury accounts included in and retirement reserves. “Member Bank Reserves, Federal Bank Credit, and Related Items” 2 From open-end investment companies. (p. A-4). Excludes Exchange Stabilization Fund, which is in U.S. Govt, 3 Policy loans, hypothecated deposits, and U.S. Govt, loans to nonprofit accounts. organizations. 2 Includes F.R. holdings of foreign currencies. On Special Drawing Rights, see notes 5 and 7 to Governments table. SDR certificates as assets of the Federal Reserve are on line 4 of this table. Business 3 Includes vault cash of nonmember banks. 1 Excludes imputed rental income from owner-occupied houses. 4 IMF deposits are net in line 3. 2 Change in work in process. 5 This section represents a combined statement for commercial banks 3 After inventory valuation adjustment. plus affiliates not consolidated in bank reports (see lines 38-43 below). 4 Excludes CCC-guaranteed loans, treated as U.S. Govt, purchases on Based on balance sheet estimates for last day of quarter. Reported bank NIA basis. data, as on p. A-19, are frequently for last Wednesday of month or other 5 Includes corporate farms. reporting date. Excludes banks in U.S. possessions. 6 Noncorporate net income is treated as payment in full to proprietors 6 Net change in par value of holdings. in the household sector. Gross saving consists of capital consumption 7 Net of F.R. float, shown separately in line 31. allowances plus corporate farm retained profits. 7 Loans from U.S. Govt, and commercial loans from finance companies. Nonbank finance 8 Includes earnings retained in business; see note 6 above. 1 In addition to types shown, includes credit unions, agencies of foreign 9 Direct investments abroad, foreign currency holdings, and unallocated banks, security brokers and dealers, and banks in possessions. current assets. 2 Excludes deposits at FHLB, which are included in Miscellaneous, i o Commercial paper, commercial loans from finance companies, and line 8. U.S. Govt, loans. 3 Includes cash and other assets, not shown separately. 11 Includes State and local profit taxes. 4 Includes retained capital gains dividends. Governments Rest of the world 1 Retirement funds are on p. A-71.8. 1 Line 4 minus line 1. The current balance is shown here from the 2 Unified budget basis for all years. Excludes sponsored agencies viewpoint of the rest of the world and is thus opposite in sign from U.S. shown below. balance of payments statements and U.S. national income accounts. 3 Govt, life insurance, employee retirement, and R.R. retirement 2 Net purchases of gold and Special Drawing Rights from the U.S. only. programs. Excludes acquisitions of gold from outside the U.S. Also excludes January 4 Securities of sponsored credit agencies only. allocation of SDR’s. Line 15 minus line 8 equals line 20 plus line 21. 5 Mainly official foreign exchange and IMF position of Treasury. 3 Corporate securities and acceptances. Includes net purchases of Special Drawing Rights, which are assets of 4 Trade credit, direct investment in the United States, bank liabilities the Exchange Stabilization Fund. Initial allocation of SDR’s in January to foreign branches, deposits at agencies of foreign banks, security credit, is excluded, however, from these tables on transactions. and unallocated assets. 6 Loan participation certificates and securities issued by Export-Import 5 Includes net IMF position. Bank, GNMA, CCC, Federal Housing Administration, and TVA. In 6 Bank loans, acceptances, and loans from U.S. Govt. cludes mortgage liabilities of Defense Dept, and Coast Guard. 7 Trade debt, direct investment abroad, foreign currencies other than 7 Includes net sales of SDR certificates to Federal Reserve System. in line 15, subscriptions to international organizations except IMF, and 8 Home loan banks, land banks, intermediate credit banks, banks for unidentified liabilities. cooperatives, and Federal National Mortgage Association (before 1969, 8 Errors and omissions in U.S. balance of payments statement. secondary market operations only). 9 On treatment of SDR’s, see note 5 to Governments tables. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
5. FINANCIAL ASSETS AND LIABILITIES, DECEMBER 31, 1970 (Amounts outstanding in billions of dollars) (A) All sectors Private domestic nonfinancial sectors Financial sectorss Sector Households Business an g S d o t v a lo t t s e c . al Total G U o .S vt . . Total s F p e c o d r n e e s r d o a i r l t e ly d M au o th n o e r ta it r y y Com ba m nk er s cial n P f o i r n n i a v b n a a c t n e e k o w R f o e t r h s ld t e Total1 Discrepancies agencies Transaction A L A L A L A L A category 2 1 T T o o t t a a l l l a ia s b se il t i s t . i . e .. s .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1883.0 482.1 451.3 729.1 74.4 154.6 2408.7 1365.7 346.2 1450.2 1364.3 46.0 45.0 85.1 . 85.1.. 5 .. 0 .. 3 .. . . 3 . .. 4 .. 7 .. 2 .. . . 0 . .. 8 .. 1 .. 5 .. . . 8 . .. 7 .. 6 .. 2 .. . . 2 . .. 1 .. 1 .. 8 .. . . 5 . .. 1 .. 3 .. 9 .. . . 0 . 4 .. 0 .. 7 .. 8 .. . . 9 . 3 .. 2 .. 1 .. 5 .. . . 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 1 10.7 10.7 32.7.......... 44.6.......... ..................... 3 4 3 O G f o fi l c d ia .. l . .. f . o ... r . e .. i . g ... n .. . e ... x .. c .. h .. a ... n .. g ... e... -.1 .3 . -.1 .3 . . . . . . . . . . . . . . . .. . . . . ........ 1 .. . 6 9 . . . . . . . . . . . . . . . . . . . . . ........ 1 .. . 6 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 5 6 5 T IM re F as p u o ry s i c ti u o r n re .. n ... c .. y .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6.0 7.5 . 7.5 . 7.5 6.0 -1.6........ 6 233.9 ......... 182.4 214.5 233.9 ..................... 7 7 8 De P m ri a v n a d te d d e o p m . e a s n t d ic . c .. u .. r .. r . e .. n ... c .. y 184.4 22 9 1 . . 3 3 . . . . . . . . . . . . . . . . . . . . 17 7 1 . . 7 8 ’ 16*3 2 1 0 0 0 . . 3 9 22 9 1 . . 3 3 - 2 1 0 . . 0 4. . . . . . . . . . . . . . . . 8 9 9 U.S. Government............. 3.3 .......... 3.0 ‘3.3:::::: .......... 3.3 ..................... 10 10 Foreign................................ 1 1 11 3 2 Tim T Sa i e m v i a e n n g d d s e a p s c a o c v s o i i n t u s g n .. s t . . s . a . . . . . c . . . . c . . . . o . . . . . u . . . . nts 2 4 1 0 3 7 7 2 4 . . . 0 2 8 4 2 2 5 2 3 5 3 2 . . . 7 5 2 1 1. . . 1 6 5 2 2 4 3 3 6 2 3 5 . . . 2 7 9 !!.... 232.2 1 1. . . 1 5 6 . . . . 2 . .. . 3 . . . . 3 . . . . . . . 7 . . ' s.s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 2 4 3 3 6 2 3 5 . . . 2 9 7 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 11 2 3 1 15 4 P L e if n e s i in on su f r u a n n d c e r e r s e e s r e v r e v s e - s - . - . - . 2 1 3 3 1 0 . . 0 0 2 1 3 3 1 0 . . 0 0 2 7 7 . . 3 5 36.6 2 1 3 0 2 6 3 2 . . . 5 6 6 4.5 31 ' 32.i ''4.9 . . . . . . . . . . . . . . . . . . 2 1 0 2 3 2 . . 5 6 . . . . . . . . 3 . . . . 6 . . . . . . . 6 . . 2 1 3 3 3 1 6 0 . . . 0 6 0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 1 5 6 4 16 Interbank claims 2........... 17 Corporate shares 3........... 747.7 . 747.7 . 145.8 47.6 145.8 47.6 18.1 911.6 47.6 ..................... 17 2 2 2 2 2 2 2 1 1 1 3 2 8 0 9 5 4 6 Ot O C H U B S C O h t e o o a . o t t a S h r h n r n m t . p e e e k c s r e . r u G r & l e m m l & o m o d o l a v e o o i a o f n t t r c r g n r , s t m a t n c g s s g l n . r . a e k a . g e . . b c g t g . e o d . . u e o . . e v . i r c i s . s n t t n . i . . . . , . t . . . . d . s i . . . . . o . . . e . t . s . . . . . r b . s . . . . . . . . . . . . . . l . . . . . . . . 4 i . . . . . . g . . . . . . . 2 3 4 2 9 1 1 8 0 7 9 5 3 . . . . . . 1 1 2 4 7 9 . 4 2 1 2 2 2 6 7 2 0 0 1 3 1 6 . . . . . . 3 6 0 5 8 0 4 1 1 1 8 4 6 4 1 2 6 9 9 8 5 . . . : . . 5 5 6 9 9 6 1 1 4 4 8 3 . . 1 4 3 1 4 3 2 4 2 2 1 3 7 0 7 9 9 1 5 3 . . . . . . . . 1 9 4 0 4 0 9 7 1 2 1 0 1 1 1 1 7 9 7 7 2 4 6 3 6 5 5 8 6 3 0 5 . . . . . . . . 2 8 4 4 5 4 9 9 5 4 7 7 3 2 0 9 1 9 . . 3 7 1 2 1 1 1 1 1 9 9 5 8 5 5 3 5 6 4 5 8 7 2 7 5 . . . . . . . . 1 5 9 4 2 5 6 5 ’ 1 3 3 2 1 1 3 8 3 4 3 3 . . . . . . 1 3 4 8 0 5 3 3 8 8 . . 3 3 6 62 2 . . 1 2 4 1 5 3 4 7 7 3 5 2 9 0 4 5 0 1 0 4 . . . . . 1 4 6 7 5 . . . . 2 8 8 4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 4 2 . . . . . . . . . . . . . . . . . . . . . 3 4 7 . . . . . . .. 6 2 1 .. 4 4 4 9 2 1 0 5 .. 0 1 4 1 5 . 6 4 9 . . . . . . . 9 1 1 2 7 . . . . 4 2 9 . . . . . . . . . . . . . . . . 3 2 7 1 . . . . . . . . 3 1 2 0 3 . . . . . . . . . . . . . . . . . 1 0 5 4 0 . . . . !! ’ 2 ! 1 ! 4 l 4 9 ! . . . ! 1 3 i . 0 .... 3 5 1 .. 6 1 0 2 .. . . . . . 9 9 8 . i . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 3 2 2 1 1 1 1 1 5 3 0 8 4 7 2 4 5 6 0 8 6 6 5 0 0 3 1 . . . . . . . . . 1 5 5 0 8 3 7 4 4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 2 2 2 2 2 2 1 1 3 4 1 5 2 6 0 9 8 2 2 2 8 7 9 Se T T cu o o r i b o ty r t o h c k e r e r e s r d s .. i . t . a . . . . n . . . . d . . . . . . . . d . . . . e . . . . a . . . . l . . . e . . . . r . . . s . 2 2 . . 0 0 1 1 0 0 . . 1 1 .... 2 2 .. . . . 0 0 .... 1 1 .. 0 0 .. . . . 1 1 . 2 1 9 0 0 . . . 1 8 3 1 1 2 2 . . 1 1 1 3 9 2 . . . 5 0 5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 6 . . . 9 6 8 .... 1 1 .. 2 2 .. . . . 1 1 . ........ . . . 3 . 3 . ... . . . . . . . . . . . . . . . . . 2 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 1 1 2 2 0 . . . 5 1 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 2 2 9 8 7 3 3 31 0 2 T T M a r i a x s d e c s e e l p c la r a e n y d e a i o b t u l 5 e s. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26.2 5 5. . 1 3 20 9 3 7. . 3 1 1 2 7 4 1 4 7 . . . 0 6 0 6.4 2 1 0 2 4 3 3 . . . 1 1 5 1 2 7 5 1 9 8 . . . 0 7 8 3. . 9 3 5 4 3 . . 3 9 i26 2. . 1 9 1.4 1.7 . '' . 2 ... 4 ... . . 0 .. ... ’ ... 4 .. 6 .. . 8 9 .... 2 .. 4 8 .. . . . 5 3 .... 7 .. 1 1 .. . . . 2 3 . “ 2 ‘5 6 . . 3 3 7 7 8 . . 0 4 2 2 2 0 1 3 8 9 . . . 1 3 3 2 1 2 8 6 3 5 9 . . . 1 3 6 . - .. 4 . 7 .. 9 . 7 .. . . . 7 . 0 ... . . . . . . . . . . . . . . . . . . . . . . . 3 3 31 2 0 For notes see following page. A 71.10 FLOW OF FUNDS □ MARCH 1971 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
5. FINANCIAL ASSETS AND LIABILITIES, December 31, 1970—Continued (Amounts outstanding in billions of dollars) (B) Private nonbank financial institution State and Savings Mutual Life Private local govt, Other Agencies Banks in Open-end Security Sector Total and loan savings Credit insurance pension retirement insurance Finance of foreign U.S. investment brokers banks unions funds funds cos. banks and dealers Transaction category 1 Total assets................................... 815.8 . 176.6 78.9 . 15.4 199.1 105.9 56.7 51.7 60.3 6.2 2.8 . 47.6 14.6 2 Total liabilities.............................. 762.2 164.5 73.2 15.4 186.9 105.9 56.7 34.6 56.1 6.2 2.8 47.6 12.3 Demand deposits and currency 16.3 . .. 1.2 . .7 . 1.7 . 1.9 . 1.4 . 3.6 . 1.2 . 1.9 . Time and savings accounts.... 1.6 233.7 .1 . 1.5 . At commercial banks............. .1 . .. .1 . At savings institutions........... 1.5 233.7 146.8 1.5 15.4 7 Life insurance reserves............... ....... 122. 122.6 8 Pension fund reserves................. ........ 203.5 41.0 105.9 56.7 9 Corporate shares3 145.8 47.6 2.5 . 14.5 . 64.3 . 7.5 . 16.9 . 39.3 47.6 Other credit mkt. instr............... 611.7 70.0 164.6 14.2 73.7 . 13.3 . 174.0 . 35.4 . 46.8 . 29.2 . 56.7 55.‘ 1.5 . 7.5 . 5.1 . 10 U.S. Govt, securities......... 44.2 . 12.5 ... 4.7 . 4.0 . 3.2 . 6.7 . 4.4 . 1.0 . 3.4 . 11 State & local govt, oblig.. 24.1 . .2 . 3.3 . 2.1 . 17.4 . .2 . .9 . 12 Corp. and fgn. bonds........ 155.2 22.4 8.5 . 74.2 . 28.0 . 31.9 . 7.1 . .1 . 4.6 . 13 Home mortgages................. 201.1 3.1 125.5 3.1 37.6 . 26.7 . 4.2 . 5.9 . .5 . 14 Other mortgages................. 99.9 . 25.1... 20.5 . 47.6 . 6.2 . .2 . .3 . 15 Consumer credit................. 46.4 . 1.5 ... 1.2 . 12.5 31.1.......... 16 Bank loans n.e.c.................. 13.5 ..................5 ........ 13.0 17 Other loans.......................... 40.9 31.0 ....... 10.6 1.0 . 18.1 . 19.7 20.4 18 Security credit..................... 7.6 12.1 12.1 19 To brokers and dealers. 12.1 12.1 20 Other................................. 6.8 . 21 22 Taxes payable. ........ 1.2 .6 22 23 Trade credit... 4.3 ... 4.3 . 23 24 Miscellaneous. 28.5 71.3 10.8 3.5 1.6 1.7 22. 4.3 . 1.8 . 34.5 1.0 2.8 24 1 Where no amount appears in total-asset column, total assets are identically equal to amount shown investment companies. No specific liability is attributed to issuers of stocks other than open-end invest for total liabilities. ment companies for amounts outstanding. 2 Claims between commercial banks and monetary authorities: member bank reserves, vault cash, F.R. 4 Includes savings bonds, other nonmarketable debt held by the public, issues by agencies in the budget loans to banks, F.R. float, and stock at F.R. Banks. (CCC, Export-Import Bank, GNMA, TVA, FHA) and by sponsored credit agencies in Financial sectors, 3 Assets shown at market value; nonbank finance liability is redemption value of shares of open-end and loan participation certificates. Postal savings system deposits are included in line 35. 5 Business asset is corporate only. Noncorporate trade credit is deducted in liability total to conform to quarterly flow tables. MARCH 1971 □ FLOW OF FUNDS A 71.11 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 71.12 FLOW OF FUNDS □ MARCH 1971 6. SUMMARY OF CREDIT MARKET DEBT OWED BY NONFINANCIAL SECTORS1 (Amounts outstanding at end of year; in billions of dollars) Transaction category, or sector 1959 1960 1961 1962 1963 1964 1965 1966 1967 1968 1969 1970 Debt outstanding by type and sector Total credit market debt owed 1 By nonfinancial sectors....................... 704.4 739.8 784.0 838.0 895.8 961.6 1032.1 1098.0 1177.2 1274.8 1359.6 1448.3 1 2 U.S. Government................................... 238.0 235.9 243.1 250.2 254.1 260.6 262.3 265.8 278.8 292.2 288.6 301.3 2 3 Public debt securities......................... 236.2 234.0 240.7 246.9 251.0 256.4 257.7 260.0 268.9 279.2 278.0 290.8 3 4 Budget agency securities2................. 1.8 1.9 2.5 3.3 3.2 4.2 4.6 5.8 9.9 13.0 10.6 10.5 4 5 All other nonfin, sectors..................... 466.4 503.9 540.9 587.8 641.6 701.0 769.9 832.2 898.3 982.6 1071.0 1147.1 5 6 Debt capital instruments................... 331.0 356.2 385.4 417.9 453.8 490.7 530.0 569.0 613.6 664.1 712.2 771.0 6 7 State and local govt, sec............... 65.6 70.8 76.1 81.4 87.3 93.0 100.3 106.0 113.9 123.4 131.6 143.4 7 8 Corporate and fgn. bonds........... 76.7 80.9 86.1 91.7 96.6 101.6 108.0 118.6 133.5 147.3 159.4 181.8 8 9 Mortgages........................................ 188.7 204.4 223.2 244.9 269.9 296.1 321.7 344.4 366.3 393.4 421.3 445.9 9 10 128.7 138.8 150.0 162.7 177.9 193.5 208.9 220.6 232.1 247.1 262.8 275.5 10 11 Other residential......................... 18.7 20.3 23.0 25.8 29.0 33.6 37.2 40.3 43.9 47.3 52.2 57.8 11 12 Commercial.................................. 29.2 32.4 36.4 41.1 46.2 50.0 54.5 60.1 64.8 71.4 76.9 81.4 12 13 Farm.............................................. 12.1 12.8 13.9 15.2 16.8 18.9 21.2 23.3 25.5 27.5 29.5 31.2 13 14 Other private credit........................... 135.4 147.8 155.5 169.9 187.8 210.4 239.9 263.2 284.8 318.5 358.8 376.1 14 15 Bank loans n.e.c............................. 52.4 55.5 58.3 63.6 69.6 77.9 92.1 102.4 112.1 125.4 141.2 142.0 15 16 Consumer credit............................. 51.5 56.1 58.0 63.8 71.7 80.3 90.3 97.5 102.1 113.2 122.5 126.8 16 17 Open market paper....................... 1.5 2.8 3.8 3.8 3.9 4.5 4.2 5.2 7.4 9.0 12.3 16.1 17 18 Other................................................ 30.0 33.4 35.4 38.7 42.6 47.7 53.3 58.1 63.2 70.9 82.8 91.2 18 19 By borrowing sector............................. 466.4 503.9 540.9 587.8 641.6 701.0 769.9 832.2 898.3 982.6 1071.0 1147.1 19 20 Foreign................................................. 21.1 23.1 25.4 27.9 30.7 36.3 39.2 40.2 43.1 45.8 48.0 50.9 20 21 State and local govts......................... 66.6 72.1 77.5 83.4 89.5 95.5 103.1 109.5 117.4 127.4 136.0 148.1 21 22 Households.......................................... 198.6 216.3 231.6 252.4 277.2 305.1 333.8 356.2 375.8 407.9 440.2 461.6 22 23 Nonfinancial business....................... 180.1 192.5 206.3 224.1 244.2 264.2 293.8 326.4 361.9 401.5 446.9 486.5 23 24 Corporate.......................................... 138.6 148.3 158.2 170.3 183.3 195.4 215.9 239.5 266.6 296.9 331.7 362.9 24 25 22.6 24.2 26.6 30.0 34.4 39.8 45.6 51.1 56.1 62.7 70.1 75.2 25 26 Farm.................................................. 18.9 20.0 21.6 23.9 26.4 29.0 32.3 35.8 39.2 41.9 45.1 48.4 26 Direct holdings of credit market debt claims 1 Total credit market debt....................... 704.4 739.8 784.0 838.0 895.8 961.6 1032.1 1098.0 1177.2 1274.8 1359.6 1448.3 1 Held directly by— 2 U.S. Government................................... 24.9 25.9 27.5 30.0 31.4 34.1 36.9 41.2 45.8 51.2 53.7 57.0 2 3 U.S. Govt, credit agencies, net3......... 2.6 3.2 3.6 3.7 3.8 4.1 4.1 4.4 4.9 4.7 4.9 6.1 3 4 Funds advanced.................................. 9.9 11.1 12.1 13.7 15.3 16.0 18.3 23.4 23.3 26.5 35.6 44.4 4 5 Less funds raised in cr. mkt............. 7.3 7.9 8.6 10.1 11.5 11.9 14.2 19.0 18.4 21.9 30.6 38.3 5 6 Federal Reserve System........................ 26.7 27.5 28.9 30.9 33.8 37.2 41.0 44.5 49.3 53.0 57.2 62.2 6 7 Commercial banks, net......................... 188.0 196.7 211.4 229.9 248.4 269.8 298.0 313.5 348.6 386.8 400.5 430.0 7 8 Debt claims held................................ 188.0 196.7 211.4 229.9 248.6 270.5 299.6 315.1 350.6 389.0 407.1 434.7 8 9 Less own debt outstanding.............. .2 .8 1.6 1.7 2.0 2.2 6.5 4.7 9 10 Pvt. nonbank finance............................. 253.2 273.8 295.0 320.3 346.3 376.0 403.3 428.0 455.7 485.0 508.8 541.7 10 11 Savings institutions, net................... 95.9 105.7 116.5 129.3 144.7 160.5 174.0 182.2 198.5 212.7 222.8 237.3 11 12 Insurance.............................................. 149.7 159.4 169.4 180.7 192.3 204.7 218.3 232.8 244.9 258.8 270.8 285.3 12 13 Finance n.e.c., net.............................. 7.7 8.8 9.2 10.3 9.4 10.7 11.0 13.0 12.2 13.5 15.2 19.0 13 14 Debt claims held............................ 24.1 28.1 29.5 33.2 36.3 41.7 47.1 51.9 52.0 58.8 69.2 74.9 14 15 Less own debt outstanding.......... 16.4 19.3 20.3 22.9 26.9 31.0 36.1 38.9 39.8 45.3 54.0 55.9 15 16 Foreign..................................................... 11.0 12.2 12.7 14.0 14.7 15.6 15.6 14.0 15.9 16.0 14.7 24.3 16 17 Pvt. domestic nonfinancial................... 198.0 200.6 204.9 209.2 217.4 224.9 233.4 252.5 257.0 278.2 319.7 327.1 17 18 Business................................................ 43.0 39.4 40.0 41.8 44.7 46.8 47.7 51.3 51.2 58.5 72.3 74.2 18 19 State and local govts.4...................... 17.7 18.9 19.8 20.9 22.1 22.9 25.4 28.8 31.6 32.0 38.1 35.7 19 20 Households.......................................... 137.2 142.3 145.2 146.4 150.7 155.2 160.2 172.3 174.2 187.7 209.4 217.2 20 Sources of funds supplied to credit markets Total debt owed 1 By nonfinancial sectors....................... 704.4 739.8 784.0 838.0 895.8 961.6 1032.1 1098.0 1177.2 1274.8 1359.6 1448.3 1 Financed directly and indirectly by— Pvt. domestic nonfinancial sectors: 2 Total...................................................... 490.6 507.0 535.1 569.6 612.1 654.7 704.0 745.5 802.6 872.2 918.5 987.5 2 3 Deposits............................................ 292.6 306.4 330.2 360.4 394.6 429.8 470.7 493.0 545.6 594.0 598.7 660.5 3 4 Demand dep. and currency. . . 135.1 133.8 137.4 139.6 145.3 151.7 159.9 163.9 177.5 192.3 199.4 204.8 4 5 Time and svgs. accounts.......... 157.5 172.6 192.8 220.8 249.3 278.1 310.7 329.2 368.1 401.7 399.4 455.7 5 6 At commercial banks............. 64.0 69.5 78.5 93.5 106.9 120.0 139.5 150.7 173.2 194.0 183.7 223.5 6 7 At savings instit....................... 93.5 103.1 114.3 127.3 142.4 158.1 171.3 178.4 194.9 207.7 215.7 232.2 7 8 Credit mkt. instr............................. 198.0 200.6 204.9 209.2 217.4 224.9 233.4 252.5 257.0 278.2 319.7 327.1 8 9 U.S. Govt, securities................... 108.1 102.8 101.9 103.2 107.7 108.3 110.7 119.3 117.8 125.4 140.4 133.7 9 10 89.8 97.8 103.1 106.0' 109.7 116.6 122.6 133.2 139.2 152.8 179.3 193.4 10 Other sources: 11 Foreign funds...................................... 15.9 17.9 19.5 21.4 23.4 26.3 27.2 28.4 32.1 33.9 40.9 42.8 11 12 At banks.......................................... 4.9 5.7 6.9 7.4 8.8 10.8 11.7 14.4 16.1 17.9 26.2 18.5 12 13 Direct................................................ 11.0l 12.2 12.7 14.0i 14.7 15.6 15.6 14.0i 15.9 16.0» 14.7 24.3 13 14 U.S. Govt, cash balances................. 6.2: 7.1 7.1 8.4 8.CI 8.2: 7.2 6.8 8.0i 6.8l 7.2 9.7 14 15 U.S. Govt, loans................................ 24.9> 25.9» 27.51 30.0I 31.4> 34.1 36.9 41.2 45.8 51.2: 53.7 57.0 15 16 Pvt. insur. and pension res.5........... 125.21 133.4t 140.9> 150.21 159.7r 170.4[ 181.4 194.4 204.3 215.3i 227.2: 239.8 16 17 Sources n.e.c........................................ 41.7r 48.6I 53.81 58.3l 61.1 67.8! 75.4 81.7 84.5 95.4• 112.1 111.5 17 1 Corporate stocks are excluded from this table both as liabilities and 4 General funds only; retirement funds of State and local government assets. are included in Insurance (line 12). 2 Excludes securities issued by Federally sponsored credit agencies. 5 Net of market value of corporate stock holdings. 3 Sponsored credit agencies not included in the U.S. Government Digitized for FRbAuSdgEeRt. http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 □ FLOW OF FUNDS A 71.13 7. SUMMARY OF PRINCIPAL ASSETS AND LIABILITIES (Amounts outstanding at end of year; in biliions of dollars) Transaction category, or sector 1959 1960 1961 1962 1963 1964 1965 1966 1967 1968 1969 1970 Demand deposits and currency 1 Net banking system liability................... 152.0 152.2 157.8 162.3 168.0 175.5 183.1 185.7 201.7 216.5 225.0 233.9 1 2 Monetary authorities........................... 30.8 30.6 31.4 32.3 34.2 36.8 38.8 41.2 44.2 45.7 48.9 51.4 2 3 121.2 121.6 126.3 130.0 133.9 138.7 144.3 144.5 157.5 170.9 176.0 182.4 3 4 Total assets................................................. 152.0 152.2 157.8 162.3 168.0 175.5 183.1 185.7 201.7 216.5 225.0 233.9 4 5 5.9 6.8 6.8 8.1 7.8 7.9 7.0 6.6 7.7 6.5 7.0 9.3 5 6 Private money supply.......................... 146.1 145.4 150.9 154.2 160.3 167.5 176.2 179.1 194.0 210.0 217.9 224.6 6 7 Domestic sectors.............................. 144.9 144.0 148.9 152.0 157.8 164.6 173.1 177.0 191.5 207.3 214.9 221.3 7 8 Households.................................... 66.2 65.0 66.1 68.9 74.5 80.6 88.0 91.0 101.6 112.7 118.6 121.9 8 9 Nonfinancial business................. 51.6 50.4 52.1 51.2 50.2 48.2 46.7 47.5 48.3 50.1 49.2 50.3 9 10 Corporate.................................. 32.6 32.2 33.8 32.8 32.0 29.8 28.2 28.9 29.7 31.3 30.3 31.3 10 11 12.7 12.4 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 11 12 Farm........................................... 6.2 5.8 5.8 5.9 5.7 5.9 6.0 6.0 6.1 6.3 6.4 6.5 12 13 State and local govts................... 7.0 6.4 6.1 7.0 8.2 9.6 9.4 9.4 7.4 8.1 11.3 12.2 13 14 Financial sectors.......................... 9.8 10.3 11.5 12.4 12.5 12.9 13.2 13.1 14.1 15.0 15.5 16.5 14 15 Mail float....................................... 10.4 12.1 13.1 12.5 12.4 13.3 15.8 16.1 20.2 21.4 20.2 20.4 15 16 Rest of the world.............................. 1.2 1.3 2.1 2.2 2.4 2.9 3.0 2.2 2.5 2.8 3.0 3.3 16 Time deposits and savings accounts 1 Total held................................................... 161.5 176.8 197.5 226.2 255.7 286.1 319.2 338.3 378.9 412.1 410.6 465.9 1 2 At commercial banks.......................... 67.5 73.3 82.7 98.3 112.6 127.2 147.2 159.3 183.1 203.7 194.1 232.2 2 3 Corporate business.......................... 1.5 2.8 4.6 8.3 12.2 15.4 19.2 18.6 21.5 23.4 13.6 26.4 3 4 State and local government........... 3.2 4.6 5.5 6.5 8.1 9.8 12.2 13.5 15.9 19.1 13.2 22.4 4 5 U.S. Government............................. .3 .3 .3 .3 .3 .3 .3 .2 .3 .4 .2 .4 5 6 Mut. svgs. banks.............................. .1 .1 .2 .2 .1 .2 .2 .2 .2 .2 .1 .1 6 7 Foreign............................................... 3.1 3.5 3.8 4.3 5.3 6.7 7.3 8.2 9.4 9.1 10.2 8.3 7 8 Households........................................ 59.4 62.2 68.4 78.7 86.6 94.8 108.0 118.7 135.8 151.5 156.8 174.8 8 9 At savings institutions......................... 94.0 103.5 114.8 127.9 143.1 159.0 172.0 179.0 195.8 208.4 216.5 233.7 9 Liabilities: 10 Savings and loan assns............... 54.6 62.1 70.9 80.2 91.3 101.9 110.4 114.0 124.5 131.6 135.7 146.8 10 11 Mutual svgs. banks...................... 35.0 36.3 38.3 41.3 44.6 48.8 52.4 55.0 60.1 64.5 67.1 71.5 11 12 Credit unions................................ 4.4 5.0 5.6 6.3 7.2 8.2 9.2 10.0 11.2 12.3 13.7 15.4 12 Assets: 13 Households.................................... 93.5 103.1 114.3 127.3 142.4 158.1 171.3 178.4 194.9 207.7 215.7 232.2 13 14 Cr. union deps. at S & L’s .5 .3 .5 .6 .7 .8 .8 .5 .9 .8 .8 1.5 14 U.S. Govt, securities1 1 Total outstanding...................................... 244.3 242.5 250.1 258.4 263.9 270.5 274.3 282.9 295.4 312.1 317.6 338.0 1 2 Included in public debt....................... 236.2 234.0 240.7 246.9 251.0 256.4 257.7 260.0 268.9 279.2 278.0 290.8 2 3 Household savings bonds............... 45.9 45.6 46.4 46.9 48.0 49.0 49.6 50.1 51.1 51.5 51.1 51.3 3 4 Direct excl. savings bonds............. 190.3 188.3 194.2 200.0 202.9 207.4 208.1 209.9 217.8 227.7 226.8 239.5 4 5 Short-term marketable............... 84.7 88.2 98.9 99.8 101.1 105.8 108.8 110.2 118.9 119.4 128.4 lo'JQ ^ 5 6 Other direct................................... 105.5 100.1 95.3 100.2 101.9 101.6 99.3 99.6 98.9 108.3 98.4 6 7 Other budget issues.............................. 8.1 8.5 9.5 11.5 12.9 14.2 16.6 22.9 26.5 32.9 39.7 47.2 7 8 Sponsored agency issues 2................... 7.1 7.9 8.5 10.0 11.5 11.8 13.8 18.9 18.4 21.6 30.6 38.3 8 9 Total holdings, by sector......................... 244.3 242.5 250.1 258.4 263.9 270.5 274.3 282.9 295.4 312.1 317.6 338.0 9 10 U.S. Government (agency sec ). * * * * * 1.4 1.3 1.4 . 1 .2 10 11 Sponsored credit agencies................... 1.4 1.5 1.4 1.8 2.2 1.8 1.9 2.9 2.9 2.7 2.5 4.0 11 12 Federal reserve system........................ 26.6 27.4 28.9 30.8 33.6 37.0 40.8 44.3 49.1 52.9 57.2 62.1 12 1 1 3 4 S O h t o h r e t r -t .. e .. r . m .... . m .... a .. r .. k .. e .. t .. a .. b .. l .. e .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 6 0 . . 5 2 1 8 9 . . 1 2 1 1 8 0 . . 3 6 2 1 0 0 . .1 7 2 8 5 . .6 0 2 8 8 . . 8 2 3 8 1 . . 9 9 3 7 6 . . 8 5 3 9 9 . . 9 2 2 3 0 2. . 6 4 3 1 7 9 . . 6 5 \> £D0Z . 1l 1 1 3 4 15 Foreign................................................... 10.0 10.6 11.0 12.3 12.9 13.4 13.2 10.8 12.9 12.4 10.6 19.0 15 16 Short-term marketable.................... 7.5 7.7 7.1 9.2 8.7 8.8 8.4 7.6 9.2 6.8 5.0 14.1 16 17 Other................................................... 2.5 2.9 3.9 3.1 4.2 4.6 4.9 3.3 3.7 5.6 5.6 4.9 17 18 Pvt. domestic nonfinan........................ 108.1 102.8 101.9 103.2 107.7 108.3 110.7 119.3 117.8 125.4 140.4 133.7 18 19 Household savings bonds............... 45.9 45.6 46.4 46.9 48.0 49.0 49.6 50.1 51.1 51.5 51.1 51.3 19 20 Direct excl. svgs. bonds.................. 57.5 52.7 50.8 51.4 54.0 53.3 54.0 57.3 54.6 58.7 67.3 57.9 20 21 Short-term marketable............... 34.0 29.8 30.1 31.0 32.8 29.8 32.0 32.9 30.4 36.8 47.4 1 CT Q 21 22 Other direct................................... 23.5 22.9 20.7 20.4 21.1 23.5 22.0 24.5 24.2 21.9 19.9 / 57,9 22 23 Agency issues.................................... 4.7 4.4 4.6 4.9 5.7 5.9 6.6 10.2 9.9 12.7 19.8 22.9 23 24 Loan participations. .2 .5 1.7 2.2 2.6 2.1 1.5 24 25 Commercial banks................................ 62.1 64.3 70.1 71.4 68.8 69.2 66.9 63.2 72.6 76.1 66.5 74.8 25 2 2 6 7 S O h th o e rt r - t d e i r r m ec m t.. a ... r . k ... e .. t . a .. b ... l . e .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 4 1 4 5 . .6 6 2 3 2 9 . .3 6 3 33 4 . . 1 1 2 3 7 9 . . 3 8 4 23 0 . . 8 3 2 3 7 5 . . 9 9 2 3 6 4. . 8 0 2 3 1 6. . 1 2 2 3 6 7 . . 5 0 2 3 8 7 . . 2 6 2 3 4 2. . 5 0 I> £011 • 7/ 2 2 6 7 28 Agency issues.................................... 1.9 2.3 3.0 4.4 4.7 5.3 6.1 5.9 9.1 10.3 10.1 13.1 28 29 Nonbank finance.................................. 36.1 36.0 36.9 38.9 38.6 40.8 40.7 41.0 38.9 41.1 40.3 44.2 29 3 31 0 O Sh th o e rt r - t d e i r r m ec m t... a .. r .. k .. e .. t . a ... b .. l . e .. . .. . . . . . . . . .. .. .. .. .. .. .. .. .. .. . . . . . . . 2 6 8 . . 3 3 2 7 6 . . 4 9 2 9 5 . . 1 9 2 9 6 . . 8 8 2 8 7 . . 3 8 2 9 8 . . 3 8 2 9 8 . . 0 5 2 1 7 0 . . 1 2 2 1 4 0 . .8 0 2 1 2 2 . . 8 4 2 1 0 2 . . 5 3 } 34.7 3 3 1 0 32 Agency issues.................................... 1.5 1.8 1.9 2.2 2.4 2.8 3.3 3.8 4.1 5.9 7.5 9.5 32 33 Memo: Held by pvt. domestic nonfin. banks, and nonbank finance...............* 206.3 203.1 208.8 213.5 215.1 218.3 218.3 223.6 229.3 242.6 247.3 252.6 33 1 Where not shown separately, loan participations are included with sector in flow of funds accounts. They are included in credit market debt agency issues. of financial institutions. 2 These issues are outside the budget and outside the U.S. Government Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 71.14 FLOW OF FUNDS a MARCH 1971 7. SUMMARY OF PRINCIPAL ASSETS AND LIABILITIES—Continued (Amounts outstanding at end of year; in billions of dollars) Transaction category, or sector 1959 1960 1961 1962 1963 | 1964 1965 | 1966 1967 1968 1969 1970 1 State and local government securities 1 65.6 70.8 76.1 81.4 87.3 93.0 100.3 106.0 113.9 123.4 131.6 143.4 1 2 3.2 3.4 3.6 3.9 4.3 4.9 5.5 6.2 8.0 8.1 11.2 15.1 2 3 62.4 67.4 72.4 77.5 83.0 88.1 94.8 99.9 105.9 115.3 120.3 128.3 3 4 Held by state and local govts................. 7.0 7.2 7.0 6.4 5.6 5.1 4.8 4.6 4.5 4.6 4.7 4.8 4 5 Held by others........................................... 58.6 63.7 69.0 75.0 81.7 87.9 95.5 101.4 109.3 118.9 126.9 138.6 5 6 Households............................................ 27.5 30.9 32.3 33.1 33.9 35.9 38.2 39.8 37.6 38.4 39.7 38.1 6 7 2.6 2.4 2.4 2.1 2.3 2.5 3.0 4.0 3.8 2.7 7.8 8.1 7 8 17.0 17.6 20.3 24.8 30.0 33.5 38.6 41.0 50.0 58.6 59.2 70.4 8 9 Mutual savings banks.......................... .7 .7 .7 .5 .4 .4 .3 .3 .2 .2 .2 .2 9 10 Life insurance companies................... 3.2 3.6 3.9 4.0 3.9 3.8 3.5 3.1 3.0 3.2 3.2 3.3 10 11 Other insurance companies................ 7.2 8.1 9.1 9.9 10.6 11.0 11.3 12.6 14.1 15.1 16.3 17.4 11 12 Brokers and dealers.............................. .3 .4 .3 .5 .5 .7 .5 .5 .5 .5 .4 .9 12 13 Banks in terr. & poss........................... * * * * .1 .1 .1 .1 .1 .2 .2 .2 13 Corporate and foreign bonds 1 85.1 90.8 96.5 102.4 109.0 116.6 125.7 137.2 153.4 168.3 182.0 206.5 1 2 Corporate business.............................. 71.9 75.3 80.0 84.5 88.4 92.4 97.8 108.0 122.7 135.6 147.6 168.9 2 3 8.3 9.9 10.4 10.7 12.2 14.3 16.1 16.9 17.9 18.8 20.3 22.4 3 4 Commercial banks................................ .2 .8 1.6 1.7 2.0 2.2 2.3 2.4 4 5 Rest of the world.................................. 4.9 5.6 6.2 7.2 8.2 9.2 10.2 10.5 10’.8 11.7 11.7 12*. 8 5 6 Total assets................................................. 85.1 90.8 96.5 102.4 109.0 116.6 125.7 137.2 153.4 168.3 182.0 206.5 6 7 Households............................................ 9.4 9.8 10.4 9.7 9.2 9.3 10.6 12.3 17.1 22.6 27.9 40.1 7 8 State and local government............... .9 1.5 1.3 1.8 2.8 3.8 4.5 5.6 5.4 5.0 7.3 7.8 8 9 1.2 1.0 .9 .8 .8 .9 .8 .9 1.6 1.9 1.9 2.4 9 10 Mutual savings banks.......................... 3.6 3.8 3.6 3.5 3.2 3.1 2.9 3.2 5.3 6.6 6.9 8.5 10 11 Life insurance companies................... 46.5 48.2 50.7 53.2 56.0 58.3 61.1 63.5 67.3 71.2 72.7 74.2 11 12 Private pension funds.......................... 14.1 15.7 16.9 18.1 19.6 21.2 22.7 24.6 25.5 26.2 26.8 28.0 12 13 State & local govt. rtr. funds............. 5.5 6.7 8.5 10.4 12.3 14.2 16.3 18.9 22.3 24.8 27.8 31.9 13 14 Other insurance companies................ 1.6 1.7 1.7 2.1 2.0 2.4 3.0 3.6 4.3 5.5 6.3 7.1 14 15 Brokers and dealers.............................. .5 .5 .3 .4 .6 .5 .5 .6 .6 .2 .5 .8 15 16 Investment companies......................... 1.1 1.2 1.6 1.6 1.8 2.1 2.6 2.9 3.0 3.4 3.6 4.6 16 17 Banks in terr. & poss........................... * * * * * * * * .1 .1 .1 .1 17 18 Rest of the world.................................. .5 .6 .6 .7 .7 .9 .7 1.3 .9 .9 .4 1.1 18 Corporate shares 1 Total at market value............................... 454.0 451.0 574.0 505.7 597.0 684.1 778.0 700.7 889.6 1035.8 931.9 911.6 1 2 Open-end inv. co. shares..................... 15.8 17.0 22.9 21.3 25.2 27.2 35.2 34.8 44.7 52.7 48.3 47.6 2 3 Other....................................................... 438.2 434.0 551.1 484.4 571.8 656.9 742.8 665.9 844.9 983.2 883.6 864.0 3 4 Market value of holdings......................... 454.0 451.0 574.0 505.7 597.0 684.1 778.0 700.7 889.6 1035.8 931.9 911.6 4 5 Households............................................ 400.8 394.2 499.3 435.4 512.0 587.4 664.9 594.0 750.9 871.2 773.0 747.7 5 6 Mutual savings banks.......................... .8 .8 .9 1.0 1.2 1.3 1.4 1.5 1.7 1.9 2.2 2.5 6 7 Life insurance companies................... 4.6 5.0 6.3 6.3 7.1 7.9 9.1 8.8 11.8 13.2 13.1 14.5 7 8 Private pension funds.......................... 14.5 16.5 22.9 21.9 27.7 33.5 39.7 38.5 51.1 61.4 61.6 64.3 8 9 State & local govt. rtr. funds............. .3 .4 .6 .8 1.0 1.3 1.6 2.1 2.8 4.1 5.8 7.5 9 10 Other insurance companies................ 9.1 9.4 11.8 11.1 13.0 14.7 15.3 13.8 16.1 18.1 16.8 16.9 10 11 Open-end investment cos.................... 13.9 14.8 20.3 18.3 22.1 23.7 30.9 28.9 39.2 46.1 40.9 39.3 11 12 Brokers and dealers............................. .5 .5 .3 .4 .6 .5 .5 .6 .6 .2 .5 .8 12 13 Rest of the world.................................. 9.4 9.3 11.8 10.3 12.5 13.8 14.6 12.6 15.5 19.6 18.1 18.1 13 Total mortgages 1 Total mortgage debt.................................. 190.8 206.8 226.2 248.6 274.3 300.1 325.8 347.4 370.2 397.5 425.3 450.5 1 2 Savings & loan assns............................ 1.3 1.2 1.6 2.0 2.5 2.2 2.2 1.3 2.3 2.4 2.5 3.1 2 3 U.S. Government.................................. .8 1.3 1.5 1.7 1.8 1.8 1.8 1.8 1.7 1.7 1.6 1.5 3 4 Private nonfin. sectors......................... 188.7 204.4 223.2 244.9 269.9 296.1 321.7 344.4 366.3 393.4 421.3 445.9 4 5 Total assets................................................. 190.8 206.8 226.2 248.6 274.3 300.1 325.8 347.4 370.2 397.5 425.3 450.5 5 6 Households............................................ 29.9 31.8 33.5 34.5 34.8 35.1 34.3 35.8 36.7 38.5 40.6 43.0 6 7 State & local govts., gen fds............... 1.4 1.3 2.0 2.1 2.2 2.2 2.1 2.1 2.2 2.2 2.2 2.2 7 8 U.S. Government................................. 5.6 5.8 6.1 6.3 5.8 5.7 5.6 6.4 7.3 8.4 9.1 9.4 8 9 FNMA and land banks...................... 4.4 5.5 5.7 5.9 5.4 5.7 6.8 9.4 11.1 13.3 17.8 22.8 9 10 Commercial banks................................ 28.1 28.7 30.3 34.3 39.2 43.7 49.3 53.9 58.5 65.2 70.0 72.0 10 11 Savings & loan assns....................... 53.1 60.1 68.8 78.8 90.9 101.3 110.3 114.4 121.8 130.8 140.3 150.6 11 12 Mut. savings banks.............................. 25.0 26.9 29.1 32.3 36.2 40.6 44.6 47.3 50.5 53.5 56.1 58.0 12 13 Credit unions........................................ .3 .4 .4 .5 .5 .5 .6 .6 .7 .7 .7 .8 13 14 Life insurance companies................... 39.2 41.8 44.2 46.9 50.5 55.2 60.0 64.6 67.5 70.0 72.0 74.3 14 15 Pvt. pension funds................................ 1.0 1.3 1.6 1.9 2.2 2.7 3.3 3.8 3.9 3.9 4.1 4.2 15 16 State & local govt. rtr. funds............. 1.0 1.5 1.9 2.2 2.6 3.1 3.7 4.5 5.0 5.4 5.7 6.2 16 17 Other insurance companies............... .1 .1 .2 .1 .1 .1 .1 .1 .2 .2 .2 .2 17 18 Finance companies.............................. 1.6 1.6 2.2 2.7 3.5 3.9 4.5 3.9 4.3 4.9 5.7 5.9 18 19 Banks in terr. & poss........................... .1 .1 .1 .2 .2 .3 .4 .4 .5 .5 .7 .8 19 Bank loans n.e.c. 1 Total outstanding...................................... 57.9 61.4 64.9 71.1 78.8 87.7 104.3 113.3 120.8 136.5 154.9 155.5 1 2 Nonfinancial business.......................... 42.9 45.2 46.5 50.8 56.1 60.4 72.7 82.9 90.6 101.2 114.7 115.6 2 3 Households............................................ 6.7 7.2 8.1 8.6 9.1 10.5 11.9 12.2 14.4 17.4 20.0 20.3 3 4 Rest of the world.................................. 2.9 3.0 3.7 4.1 4.4 6.9 7.5 7.3 7.1 6.7 6.5 6.1 4 Digitized for FRA5SERF inancial sectors................................... 5.4 6.0 6.5 7.5 9.2 9.8 12.2 10.9 8.7 11.1 13.7 13.5 5 http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 □ FLOW OF FUNDS A 71.15 7. SUMMARY OF PRINCIPAL ASSETS AND LIABILITIES—Continued (Amounts outstanding at end of year; in billions of dollars) Transaction category, or sector 1960 1961 1962 1963 1964 1965 1966 1967 1968 1969 1970 Total claims outstanding 1 Nonfinancial sectors............................ 704.4 739.8 784.0 838.0 895.8 961.6 1032.1 1098.0 1177.2 1274.8 1359.6 1448.3 1 2 Federal government....................... 238.0 235.9 243.1 250.2 254.1 260.6 262.3 265.8 278.8 292.2 288.6 301.3 2 3 Foreign............................................. 21.1 23.1 25.4 27.9 30.7 36.3 39.2 40.2 43.1 45.8 48.0 50.9 3 4 Private domestic............................. 445.3 480.9 515.5 559.9 610.9 664.7 730.7 792.0 855.2 936.9 1023.0 1096.2 4 5 Households.................................. 198.6 216.3 231.6 252.4 277.2 305.1 333.8 356.2 375.8 407.9 440.2 461.6 5 6 Farm business............................. 18.9 20.0 21.6 23.9 26.4 29.0 32.3 35.8 39.2 41.9 45.1 48.4 6 7 Nonfarm noncorp. bus............. 22.6 24.2 26.6 30.0 34.4 39.8 45.6 51.1 56.1 62.7 70.1 75.2 7 8 Corporate nonfin. bus............... 138.6 148.3 158.2 170.3 183.3 195.4 215.9 239.5 266.6 296.9 331.7 362.9 8 9 State & local govts..................... 66.6 72.1 77.5 83.4 89.5 95.5 103.1 109.5 117.4 127.4 136.0 148.1 9 10 Financial sectors.................................. 43.2 47.7 56.2 59.9 71.4 78.6 95.8 103.2 111.9 130.2 151.8 160.6 10 11 Sponsored credit agencies............ 7.3 7.9 8.6 10.1 11.5 11.9 14.2 19.0 18.4 21.9 30.6 38.3 11 12 Savings and loan assns................. 3.7 3.4 4.4 5.6 7.6 7.8 8.7 8.7 7.0 8.2 12.3 14.2 12 13 Finance companies........................ 16.4 19.3 20.3 22.9 26.9 31.0 36.1 38.9 39.8 45.3 54.0 55.9 13 14 Investment companies................... 15.8 17.0 22.9 21.3 25.2 27.2 35.2 34.8 44.7 52.7 48.3 47.6 14 15 Commercial banks......................... .2 1.6 1.7 2.0 2.2 2.3 2.4 15 16 Bank affiliates.................................. 4.2 2.3 16 17 Total credit market debt (1 + 10)... 747.6 787.5 840.2 897.9 967.2 1040.3 1127.9 1201.2 1289.0 1405.1 1511.3 1608.9 17 Other debt forms— 18 Foreign exchange........................... 2.0 1.6 1.8 1.2 1.2 1.2 1.6 1.6 2.8 4.8 5.1 2.6 18 19 Treasury currency.......................... 2.6 2.7 2.7 2.8 2.8 2.8 3.1 4.0 4.6 5.1 5.3 6.0 19 20 Deposits at financial insts............ 313.6 329.0 355.3 388.5 423.7 461.6 502.4 524.0 580.6 628.6 635.5 699.8 20 21 Banking system.............................. 219.6 225.5 240.5 260.6 280.7 302.6 330.3 345.0 384.8 420.2 419.1 466.1 21 22 Demand dep. & currency......... 152.0 152.2 157.8 162.3 168.0 175.5 183.1 185.7 201.7 216.5 225.0 233.9 22 23 Time and svgs. deposits........... 67.5 73.3 82.7 98.3 112.6 127.2 147.2 159.3 183.1 203.7 194.1 232.2 23 24 Savings institutions....................... 94.0 103.5 114 127.9 143.1 159.0 172.0 179.0 195.8 208.4 216.5 233.7 24 25 Insurance & pension reserves___ 164.1 175.8 192.2 201.9 219.4 238.4 258.6 271.9 299.4 324.9 340.1 361.0 25 26 U.S. Government........................... 19.5 20.5 21.5 22.6 23.9 25.3 26.7 28.1 29.5 30.8 32.4 34.8 26 27 Insurance sector.............................. 144.6 155.3 170.6 179.2 195.5 213.1 231 243.8 269.9 294.1 307.7 326.2 27 28 Security credit................................. 10.5 10.9 13.2 13.9 16.4 16.3 17.2 17.6 23.2 27.5 22.8 22.5 28 29 Trade debt........................................ 78.4 81.1 85.0 91.3 96.6 101.4 111.0 120.5 129.1 141.1 162.1 169.6 29 30 Profit taxes payable....................... 17.5 16.0 16.5 17.7 19.2 20. 22.5 22.7 17 20.8 21.4 23.1 30 31 Miscellaneous.................................. 120.9 132.7 129.6 138.9 150.7 162.6 178.5 198.5 218.1 238.6 271.9 285.3 31 32 Interbank claims............................ 23.2 22.3 23.5 24.7 24.6 25.4 25.6 27.9 29.6 32.6 33.6 36.6 32 33 Member bank reserves................. 18.2 17.1 17.4 17.5 17.0 18.1 18.4 19.8 21.1 21.8 22.1 24.1 33 34 Vault cash........................................ 3.0 3.3 3.7 4.3 5.0 4.5 4.9 5.5 5.9 7.2 7.3 7.6 34 35 Federal Reserve float................... 1.6 1.8 2.3 2.9 2.6 2.6 2.2 2.5 2.5 3.4 3.4 4.2 35 36 Member bank borrowing............ .5 .1 .2 .1 .2 .1 .2 .2 .3 36 37 Aff. loans to banks........................ . 6 .5 37 38 Total debt above................................. 1480.4 1559.6 1659.9 1778.7 1921.9 2070.8 2248.5 2389.8 2594.2 2829.1 3009.2 3215.3 38 Add—Assets not in debt— 39 Corporate stocks.......................... 438.2 434.0 551.1 484.4 571.8 656.9 742.8 665.9 844.9 983.2 883.6 864.0 39 40 Gold................................................ 40.2 40.5 41.1 41.5 42.3 43.0 43.2 43.2 41.6 40.9 41.0 44.6 40 Deduct—Floats not included in assets: 41 Demand deposits—U.S. Govt.. . -.2 -.3 -.3 .1 -.4 .1 -.2 — .6 -.1 -.7 -1.0 41 42 Other........... 10.4 12.1 13.1 12.5 12.4 13.3 15.8 16.1 20.2 21.4 20.2 20.4 42 43 Trade credit................................... -19.7 -22.4 -25.8 -28.5 -31.8 -35.5 -41.7 -45.5 -46.7 -50.4 -49.7 -49.7 43 Deduct—Debt not in assets: 44 Treasury currency........................ -2.5 -2.6 -2.7 -2.7 -2.6 -2.4 -2.4 -2.2 -2.0 -1. -1.5 -1.6 44 45 Miscellaneous................................ 43.1 46.7 35.7 38.5 42.0 45.7 50.7 61.0 65.5 73.3 81.1 77.0 45 46 Total assets allocated to sectors.. . 1927.6 2000.6 2232.1 2284.7 2516.0 2750.0 3012.0 3069 3444.2 3810.8 3884.4 4078.9 46 8. SECTOR STATEMENTS OF FINANCIAL ASSETS AND LIABILITIES (Amounts outstanding at end of year; in billions of dollars) Category 1959 1960 1961 1962 1963 1964 1965 | 1966 1967 1968 1969 1970 Households, personal trusts, and nonprofit organizations 1 Total financial assets................................................... 935.0 957.1 1100.41074.21201.61331.41469.61446.11679.41880.81840.01883.0 1 2 Demand deposits and currency........................... 66.2 65.0 66.1 68.9 74.5 80.6 88.0 91.0 101.6 112.7 118.6 121.9 2 3 Savings accounts..................................................... 152.8 165.3 182.6 206.0 229.0 252.9 279.3 297.1 330.7 359.2 372.5 407.0 3 4 At commercial banks............................................. 59.4 62.2 68.4 78.7 86.6 94.8 108.0 118.7 135.8 151.5 156.8 174.8 4 5 At savings institutions............................................ 93.5 103.1 114.3 127.3 142.4 158.1 171.3 178.4 194.9 207.7 215.7 232.2 5 6 Investment Co. shares................................................ 15.8 17.0 22.9 21.3 25.2 27.2 35.2 34.8 44.7 52.7 48.3 47.6 6 7 Other corporate shares............................................... 385.0 377.2 476.4 414.2 486.8 560.2 629.7 559.1 706.2 818.5 724.7 700.1 7 8 Other credit market instruments.............................. 137.2 142.3 145.2 146.4 150.7 155.2 160.2 172.3 174.2 187.7 209.4 217.2 8 9 U.S. Government securities.................................. 70.4 69.8 69.0 69.1 72.8 75.0 77.1 84.5 82.8 88.1 101.3 95.9 9 1 11 0 O Sh th o e rt r - t d e i r r m ec m t... a .. r .. k .. e .. t . a .. b ... l . e .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 0 1 . . 4 0 1 7 3 . . 8 6 1 6 3 . . 7 3 1 6 2 . . 9 4 1 9 1 . . 8 6 1 8 3 . . 4 8 1 1 1 2 . . 5 0 1 1 2 3 . . 9 3 1 9 2 . . 5 9 1 1 0 6. . 0 0 2 9 6 . . 0 0 1 26.1 1 1 1 0 12 Agency issues....................................................... 3.0 2.7 2.6 2.9 3.3 3.8 4.0 8.2 9.2 10.7 15.2 18.5 12 13 Savings bonds...................................................... 45.9 45.6 46.4 46.9 48.0 49.0 49.6 50.1 51.1 51.5 51.1 51.3 13 14 State and local obligations.................................... 27.5 30.9 32.3 33.1 33.9 35.9 38.2 39.8 37.6 38.4 39.7 38.1 14 15 Corporate and foreign bonds............................... 9.4 9.8 10.4 9.7 9.2 9.3 10.6 12.3 17.1 22.6 27.9 40.1 15 16 Mortgages................................................................. 29.9 31.8 33.5 34.5 34.8 35.1 34.3 35.8 36.7 38.5 40.6 43.0 16 17 Security credit............................................................... 1.0 1.1 1.2 1.2 1.2 1.2 1.7 1.6 2.7 3.5 2.6 2.0 17 18 Life insurance reserves............................................... 82.0 85.2 88.6 92.4 96.6 101.1 105.9 110.6 115.4 120.0 125.0 130.0 18 19 Pension fund reserves................................................. 82.1 90.7 103.5 109.5 122.8 137.3 152.7 161.3 184.0 204.9 215.0 231.0 19 20 Miscellaneous assets................................................... 12.8 13.3 13.8 14.3 14.8 15.7 17.0 18.2 19.8 21.6 23.8 26.2 20 21 Total liabilities.................................................................. 208.4 226.2 243.1 264.1 291.2 319.3 349.4 372.2 395.8 430.8 461.6 482.1 21 22 Credit market instruments........................................ 198.6 216.3 231.6 252.4 277.2 305.1 333.8 356.2 375.8 407.9 440.2 461.6 22 23 Home mortgages..................................................... 126.0 136.8 147.7 160.4 175.1 191.1 206.4 219.0 229.4 244.1 260.4 273.0 23 24 Other mortgages...................................................... 8.3 9.2 10.1 11.0 12.0 13.1 14.2 15.5 16.7 17.8 19.1 20.5 24 25 Installment consumer credit.................................. 39.2 43.0 43.9 48.7 55.5 62.7 71.3 77.5 80.9 89.9 98.2 101.2 25 26 Other consumer credit................................................ 12.3 13.2 14.1 15.1 16.3 17.6 19.0 20.0 21.2 23.3 24.3 25.6 26 27 Bank loans n.e.c...................................................... 6.7 7.2 8.1 8.6 9.1 10.5 11.9 12.2 14.4 17.4 20.0 20.3 27 28 Other loans............................................................... 6.1 7.0 7.7 8.5 9.2 10.1 11.0 11.9 13.3 15.3 18.3 21.0 28 29 Security credit.............................................................. 5.5 5.4 6.7 6.6 8.6 8.4 9.2 9.0 12.3 14.4 11.9 10.1 29 30 Trade credit.................................................................. 2.1 2.1 2.2 2.4 2.5 2.8 3.0 3.3 3.7 4.2 4.7 5.3 30 Digitized for FR3A1SERD eferred and unpaid life insurance premiums ... 2.2 2.4 2.5 2.7 2.9 3.0 3.3 3.7 3.9 4.3 4.7 5.1 31 http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 71.16 FLOW OF FUNDS n MARCH 1971 8. SECTOR STATEMENTS OF FINANCIAL ASSETS AND LIABILITIES—Continued (Amounts outstanding at end of year; in billions of dollars) Category 1959 1960 1961 1962 1963 1964 1965 1966 1967 1968 1969 1970 Nonfinancial business—Total 1 Total financial assets................................ 229.3 235.1 250.3 267.8 287.5 302.7 328.3 346.5 363.9 393.6 424.6 451.3 1 2 Demand dep. and currency............... 51.6 50.4 52.1 51.2 50.2 48.2 46.7 47.5 48.3 50.1 49.2 50.3 2 3 Time deposits........................................ 1.5 2.8 4.6 8.3 12.2 15.4 19.2 18.6 21.5 23.4 13.6 26.4 3 4 Credit market instr............................... 43.0 39.4 40.0 41.8 44.7 46.8 47.7 51.3 51.2 58.5 72.3 74.2 4 5 Trade credit........................................... 93.9 99.2 106.2 114.8 122.8 130.9 146.0 157.3 165.0 178.9 196.2 203.1 5 6 Miscellaneous assets............................ 39.3 43.4 47.3 51.7 57.5 61,5 68.7 71.9 78.0 82.7 93.3 97.3 6 7 Total liabilities.......................................... 308.6 324.4 332.3 360.9 391.8 419.7 465.5 512.4 555.9 612.8 679.6 729.1 7 8 Credit mkt instruments....................... 180.1 192.5 206.3 224.1 244.2 264.2 293.8 326.4 361.9 401.5 446.9 486.5 8 9 Corporate bonds.............................. 71.9 75.3 80.0 84.5 88.4 92.4 97.8 108.0 122.7 135.6 147.6 168.9 9 10 Home mortgages.............................. 2.7 2.1 2.3 2.4 2.7 2.4 2.5 1.6 2.7 3.0 2.4 2.5 10 11 Other mortgages............................... 51.6 56.4 63.2 71.1 80.1 89.5 98.6 108.3 117.5 128.4 139.4 149.9 11 12 Bank loans n.e.c................................ 42.9 45.2 46.5 50.8 56.1 60.4 72.7 82.9 90.6 101.2 114.7 115.6 12 13 Other loans........................................ 11.0 13.5 14.4 15.3 16.8 19.5 22.1 25.6 28.4 33.3 42.7 49.6 13 14 Trade debt, net...................................... 70.2 71.7 74.9 79.8 84.7 88.2 97.2 104.7 111.1 121.2 140.3 147.0 14 15 58.3 60.2 51.1 57.0 62.9 67.3 74.5 81.4 82.9 90.1 92.3 95.6 15 Farm business 1 Total financial assets................................ 8.0 7.6 7.7 7.9 7.8 8.2 8.5 8.7 9.1 9.6 10.2 10.7 1 2 Demand deposits and currency......... 6.2 5.8 5.8 5.9 5.7 5.9 6.0 6.0 6.1 6.3 6.4 6.5 2 3 Miscellaneous assets............................ 1.8 1.8 1.9 2.0 2.1 2.3 2.5 2.7 3.0 3.3 3.8 4.2 3 4 Insurance receivables....................... 1.6 1.6 1.7 1.7 1.9 2.0 2.2 2.3 2.6 2.8 3.2 3.6 4 5 .2 .2 .2 .2 .3 .3 .3 .4 .4 .5 .6 .6 5 6 Total liabilities.......................................... 22.4 23.6 25.5 28.4 31.5 34.5 38.4 42.8 47.1 50.1 54.0 57.6 6 7 Credit market instruments................. 18.9 20.0 21.6 23.9 26.4 29.0 32.3 35.8 39.2 41.9 45.1 48.4 7 8 Mortgages.......................................... 12.1 12.8 13.9 15.2 16.8 18.9 21.2 23.3 25.5 27.5 29.5 31.2 8 9 Bank loans n.e.c................................ 4.9 5.1 5.3 6.1 6.7 7.0 7.7 8.6 9.3 9.7 10.3 11.1 9 10 Other loans........................................ 2.0 2.1 2.3 2.6 2.9 3.1 3.5 3.9 4.5 4.7 5.3 6.1 10 11 U.S. Government......................... .6 .6 .7 .7 .8 .9 .9 .9 1.1 1.0 1.0 1.2 11 12 FICB and Bks for coops............ 1.4 1.5 1.7 1.8 2.1 2.2 2.5 2.9 3.4 3.7 4.3 5.0 12 13 Trade debt.............................................. 3.5 3.7 3.9 4.5 5.1 5.5 6.1 7.0 7.8 8.2 8.9 9.2 13 Memo—CCC direct and guaranteed 14 Loans not included above...................... .2 .6 .9 1.1 .7 .5 .5 .5 1.7 1.1 .3 14 Nonfarm noncorporate business Total financial assets..................... 20.7 20.8 21.3 21.8 22.3 23.0 23.7 24.5 25.4 26.6 27.8 29.0 Demand deposits and currency 12.7 12.4 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 Consumer credit......................... 5.1 5.4 5.5 5.9 6.3 6.6 7.1 7.6 8.0 8.8 9.3 9.8 Miscellaneous assets................. 2.9 3.0 3.2 3.3 3.5 3.8 4.1 4.4 4.8 5.3 6.0 6.7 Insurance receivables............ 2.9 3.0 3.1 3.3 3.5 3.7 4.0 4.3 4.7 5.2 5 6.5 Eq. in spons.^agencies........... .1 .1 .1 .1 .1 .1 .1 .1 .2 .2 Total liabilities................................ 24.7 26.8 29.5 32.7 36.2 41.0 46.1 50.3 56.0 62.2 68.9 72.7 Credit market instruments___ 22.6 24.2 26.6 30.0 34.4 39.8 45.6 51.1 56.1 62.7 70.1 75.2 Mortgages................................ 12.8 13.6 15.6 17 20.6 24.0 27.1 29.5 33.2 36.6 40.3 44.9 9 Home.................................... 1.4 1.0 1.1 1.2 1.4 1.2 1.3 .8 1.4 1.5 1.2 1.2 10 Multi-family....................... 9.3 10.2 11.8 13.6 15. 19.1 21.8 24.2 27.0 29.7 33.3 37.6 11 Commerical........................ 2.1 2.3 2.6 3.0 3.4 3.7 4.0 4.5 4.8 5.4 5. 6.1 12 Bank loans n.e.c..................... 3.2 3.5 3.9 4.4 5.0 5.5 6.5 7.8 8.4 9.8 11.7 11.2 13 Other loans.............................. 6.5 7.1 7.1 7 8.8 10.3 12.0 13.8 14.5 16.4 18.1 19.1 14 Trade debt, net........................... 2.1 2.6 2.9 2.7 1.7 1.2 .5 -.8 -.1 -.5 -1.2 -2.5 15 Trade debt............................... 16.0 16.1 16. 16.3 15.3 15.1 14.5 13.7 14.8 14.6 14.3 13.6 16 Trade receivables................... 13.9 13.6 13. 13.6 13.6 13.9 14.0 14.4 14.9 15.1 15.5 16.0 17 Corporate nonfinancial business 1 Total financial assets............................ 200.6 206.7 221.3 238.2 257.3 271.5 296.1 313.3 329.5 357.3 386.6 411.5 1 2 Liquid assets...................................... 62.8 59.3 63.0 66.4 71.1 72.3 74.0 75.9 78.0 86.5 87.7 101.5 2 3 Demand deposits and currency. 32.6 32.2 33.8 32.8 32.0 29.8 28.2 28.9 29.7 31.3 30.3 31.3 3 4 Time deposits................................ 1.5 2.8 4.6 8.3 12.2 15.4 19.2 18.6 21.5 23.4 13.6 26.4 4 5 U.S. Govt, securities................... 25.0 19.5 19.2 19.6 20.2 18.6 17.0 15.8 13.1 14.7 13.0 14.7 5 6 Open market paper..................... 1.1 2.4 3.0 3.5 4.4 6.0 6.5 8.5 10.0 14.4 23.0 21.0 6 7 State and local obligations......... 2.6 2.4 2.4 2.1 2.3 2.5 3.0 4.0 3.8 2.7 7 8.1 7 8 Consumer credit............................... 9.3 9.7 9.9 10.6 11.6 12.9 14.1 15.3 16.3 17.9 19.2 20.6 8 9 Trade credit...................................... 93.9 99.2 106.2 114 122.8 130.9 146.0 157.3 165.0 178.9 196.2 203.1 9 10 Miscellaneous financial assets 34.6 38.5 42.2 46.4 51.8 55.4 62.1 64. 70.2 74.0 83.5 86.4 10 11 Fgn. direct investment................ 29.7 32.7 34.7 37.2 40.7 44.4 49.2 53.9 58.3 61.6 66.4 73.1 11 12 Fgn. currencies............................. .1 .1 .2 .3 .2 .2 .2 .1 .2 .4 .3 .3 12 13 Insurance receivables................... 4.1 4.7 5.1 5.7 6.0 6.4 6.8 7.3 8.0 8.8 9.9 11.1 13 14 Eq. in sponsored agencies.......... .1 .1 .1 .1 .1 .1 .1 .1 .1 .2 .2 .3 14 15 Other.............................................. .6 .9 2.1 3.1 4.8 4.4 5.8 3.3 3.7 3.0 6.7 1.5 15 16 Total liabilities. 261.5 274.0 277.3 299.9 324.1 344.1 381.0 419.4 452.9 500.5 556.7 598.8 16 17 Credit market instruments................. 138.6 148.3 158.2 170.3 183.3 195.4 215.9 239.5 266.6 296.9 331.7 362.9 17 18 Corporate bonds............................. 71.9 75.3 80.0 84.5 88.4 92.4 97.8 108.0 122.7 135.6 147.6 168.9 18 19 Mortgages. 29.5 32.0 36.0 40.5 45.4 49.0 52.8 57.1 61.6 67.3 72.1 76.3 19 20 Home mortgages. 1.4 1.0 1.1 1.2 1.4 1.2 1.3 .8 1.4 1.5 1.2 1.2 20 21 Multi-family........ 9.3 10.1 11.2 12.2 13.2 14.5 15.3 16.1 16.9 17.6 18.8 20.2 21 22 Commercial.......... 18.8 20.9 23.6 27.1 30.8 33.3 36.2 40.2 43.3 48.2 52.0 54.9 22 23 Bank loans n.e.c.... 34. 36.6 37.3 40.4 44.4 48.0 58.6 66.4 72.9 81.7 92.7 93.3 23 24 Open market paper. .6 1.2 1.5 1.6 1.3 1.5 1.2 2.2 3.7 5.3 8.0 10.6 24 25 Finance co. loans... 1.1 2.3 2.5 2.2 2.7 3.2 3. 3. 3.5 5.3 9.5 11.8 25 26 U.S. Govt, loans. . . .9 .9 1.1 1.2 1.4 1.7 2.0 2.2 1.7 1. 2.0 26 27 Profit taxes payable___ 15. 13.6 15.1 15.7 17.6 18.5 20.7 20.9 16.2 19.0 19.4 21.0 27 28 Trade debt......................... 64.6 65.5 68.0 72.6 77.9 81.5 90.6 98.4 103.4 113.5 132.6 140.3 28 29 Miscellaneous liabilities. 42.5 46.6 36.0 41.3 45.3 48.8 53.8 60.5 66.7 71.1 73.0 74.6 29 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 n FLOW OF FUNDS A 71.17 8. SECTOR STATEMENTS OR FINANCIAL ASSETS AND LIABILITIES—Continued (Amounts outstanding at end of year; in billions of dollars) Category 1959 1960 1961 1962 1963 1964 1965 1966 1967 1968 1969 1970 State and local governments—■General funds1 1 Total financial assets ............................ 28.8 30.8 32.3 35.4 39.6 44.3 49.1 53.9 57.4 62.4 66.3 74.4 1 2 Liquid assets.......................................... 16.4 17.8 19.3 22.0 24.8 27.2 30.6 32.7 34.7 38.6 37.5 2 3 Demand deposits and curr............. 7.0 6.4 6.1 7.0 8.2 9.6 9.4 9.4 7.4 8.1 11.3 12.2 3 4 Time deposits.................................... 3.2 4.6 5.5 6.5 8.1 9.8 12.2 13.5 15.9 19.1 13.2 22.4 4 6 5 Ot S h h e o r r U t- . t S e . r m G o U v . t S , . s G ec o u v r t i , t i s e e s c .. . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 6 . . 5 2 6 6 . . 8 6 6 7. . 7 0 8 5. . 9 6 6 8. . 6 2 7 7 . . 8 0 9 7 . . 0 7 9 9. . 1 9 1 1 0 1 . . 5 4 1 11 1 . . 2 4 1 1 3 3 . . 1 0 1> ^1151.1 6 5 7 State and local obligations................. 2.7 2.7 2.8 2.6 2.3 2.2 2.2 2.1 2.1 2.2 2.4 2.7 7 8 Corporate bonds.................................. .9 1.5 1.3 1.8 2.8 3.8 4.5 5.6 5.4 5.0 7.3 7.8 8 9 Home mortgages.................................. 1.4 1.3 2.0 2.1 2.2 2.2 2.1 2.1 2.2 2.2 2.2 2.2 9 10 .9 .9 1.0 1.1 1.3 1.9 2.1 2.3 2.5 3.2 3.7 4.1 10 11 Total liabilities........................................... 69.0 74.5 80.2 86.2 92.5 98.8 106.8 113.6 122.3 132.9 141.9 154.6 11 12 Credit market instruments................. 66.6 72.1 77.5 83.4 89.5 95.5 103.1 109.5 117.4 127.4 136.0 148.1 12 13 State and local obligations............. 65.6 70.8 76.1 81.4 87.3 93.0 100.3 106.0 113.9 123.4 131.6 143.4 13 14 Short-term...................................... 3.2 3.4 3.6 3.9 4.3 4.9 5.5 6.2 8.0 8.1 11.2 15.1 14 15 Other............................................... 62.4 67.4 72.4 77.5 83.0 88.1 94.8 99.9 105.9 115.3 120.3 128.3 15 16 1.0 1.2 1.5 2.0 2.2 2.5 2.8 3.4 3.6 4.0 4.4 4.8 16 17 Trade debt.............................................. 2.4 2.5 2.7 2.8 3.0 3.3 3.7 4.2 4.8 5.4 5.9 6.4 17 U.S. Government 1 Total financial assets................................ 55.1 55.9 58.6 62.8 65.9 70.2 73.4 78.4 81.0 89.6 95.5 101.5 1 2 Gold and off. U.S. fgn. exch.............. 2.1 1.7 1.9 1.2 1.2 1.0 1.1 .9 1.3 3.3 4.7 3.6 2 3 Demand deposits and currency......... 6.1 7.2 7.2 8.1 7.7 8.3 6.9 6.8 8.3 6.6 7.7 10.3 3 4 Time deposits........................................ .3 ' .3 .3 .3 .3 .3 .3 .2 .3 .4 .2 .4 4 5 Credit market instruments................. 24.9 25.9 27.5 30.0 31.4 34.1 36.9 41.2 45.8 51.2 53.7 57.0 5 6 * * * * 4c 1.4 1.3 1.4 . l .2 6 7 Home mortgages.............................. 4.2 4.2 4.4 4.5 4.1 4.0 3.9 4.5 5.2 6.0 6.1 6.0 7 8 Other mortgages............................... 1.4 1.5 1.7 1.7 1.7 1.7 1.7 1.9 2.1 2.4 3.0 3.4 8 9 Other loans........................................ 19.3 20.1 21.4 23.7 25.5 28.4 31.2 33.5 37.2 41.3 44.4 47.4 9 10 To rest of the world.................... 12.8 13.3 13.8 14.9 16.0 17.5 19.0 19.8 22.3 24.5 26.6 28.0 10 11 To others........................................ 6.5 6.9 7.6 8.8 9.6 10.9 12.2 13.7 14.9 16.9 17.9 19.4 11 12 Taxes receivable.................................... 16.5 15.0 15.5 16.6 17.9 18.9 20.5 20.4 15.2 17.6 17.7 19.0 12 13 Trade credit........................................... 1.7 1.8 1.8 2.0 2.5 2.7 3.1 4.4 5.8 6.4 7.3 6.6 13 14 Miscellaneous assets............................ 3.4 4.1 4.4 4.6 4.9 4.8 4.7 4.4 4.3 4.1 4.2 4.6 14 15 Total liabilities........................................... 264.4 263.4 271.8 280.0 285.1 292.6 296.5 302.6 319.1 334.4 332.0 346.2 15 16 Credit market instruments................. 238.0 235.9 243.1 250.2 254.1 260.6 262.3 265.8 278.8 292.2 288.6 301.3 16 17 Savings bonds............................... 45.9 45.6 46.4 46.9 48.0 49.0 49.6 50.1 51.1 51.5 51.1 51.3 17 18 Short-term marketable............... 84.7 88.2 98.9 99.8 101.1 105.8 108.8 110.2 118.9 119.4 128.4 18 19 Other direct................................... 105.5 100.1 95.3 100.2 101.9 101.6 99.3 99.6 98.9 108.3 98.4 >239.6 19 20 .8 * .1 .1 .2 .4 .3 .3 .5 1.9 1.6 2.7 20 21 Loan participations..................... .2 .6 .9 1.4 1.2 2.0 2.4 3.7 7.7 9.4 7.5 6.2 21 22 Home mortgages.......................... .8 1.3 1.5 1.7 1.8 1.8 1.8 1.8 1.7 1.7 1.6 1.5 22 23 Trade debt.............................................. 2.9 3.1 3.4 3.7 3.6 3.4 3.9 4.5 5.1 5.1 4.8 3.9 23 24 Treasury currency liability................. 2.6 2.7 2.7 2.8 2.8 2.8 3.1 4.0 4.6 5.1 5.3 6.0 24 25 Life insurance reserves........................ 6.4 6.4 6.5 6.6 6.8 6.9 7.0 7.1 7.2 7.2 7.3 7.3 25 26 Retirement fund reserves................... 13.2 14.1 15.0 16.0 17.2 18.4 19.7 21.0 22.3 23.6 25.1 27.5 26 27 1.3 1.2 1.0 .8 .7 .6 .6 .2 1.0 1.2 .9 .3 27 Federally sponsored credit agencies2 1 Total financial assets................................ 10.1 11.3 12.5 14.1 15.6 16.3 18.6 23.8 23.7 27.0 36.1 46.0 1 2 Currency and demand deposits......... .2 .2 .2 .2 .2 .2 .2 .2 .2 .2 .2 .2 2 3 Credit market instr............................... 9.9 11.1 12.1 13.7 15.3 16.0 18.3 23.4 23.3 26.5 35.6 44.4 3 4 U.S. Government securities........... 1.4 1.5 1.4 1.8 2.2 1.8 1.9 2.9 2.9 2.7 2.5 4.0 4 5 Mortgages.......................................... 4.4 5.5 5.7 5.9 5.4 5.7 6.8 9.4 11.1 13.3 17.8 22.8 5 6 Home (FNMA)............................ 2.1 2.9 2.9 2.8 2.1 2.0 2.5 4.4 5.5 7.2 11.0 15.3 6 7 Multifamily (FNMA)................. * * * * * * * * * * .3 7 8 Farm (FLB).................................. 2.4 2.6 2.8 3.1 3.3 3.7 4.3 5.0 5.6 6.1- 6.7 7.2 8 9 4.1 4.1 5.0 6.1 7.7 8.5 9.6 11.1 9.3 10.5 15.3 17.6 9 10 To coops (BC).............................. .6 .6 .7 .7 .8 1.0 1.1 1.3 1.5 1.6 1.7 2.0 10 11 To farmers (FICB)....................... 1.4 1.5 1.7 1.8 2.1 2.2 2.5 2.9 3.4 3.7 4.3 5.0 11 12 To S & L’s (FHLB)..................... 2.1 2.0 2.7 3.5 4.8 5.3 6.0 6.9 4.4 5.3 9.3 10.6 12 13 Other assets............................................ * .1 .1 .2 .1 .1 .1 .3 .3 .3 .3 1.4 13 14 Total liabilities.......................................... 9.6 10.8 11.9 13.5 14.9 15.5 17.8 23.0 22.8 26.1 35.2 45.0 14 15 Credit market instr.............................. 7.3 7.9 8.6 10.1 11.5 11.9 14.2 19.0 18.4 21.9 30.6 38.3 15 16 Agency securities............................. 7.1 7.9 8.5 10.0 11.5 11.8 13.8 18.9 18.4 21.6 30.6 38.3 16 17 U.S. Government loans.................. .1 * . 1 .1 . 1 .3 . 1 * .3 17 18 Miscellaneous liabilities...................... 2.3 2.9 3.3 3.4 3.4 3.6 3.6 4.0 4.4 4.2 4.5 6.8 18 19 Deposits at FHLB’s......................... .6 .9 1.2 1.2 1.2 1.2 1.0 1.0 1.4 1.4 1.0 2.3 19 20 Capital subscriptions....................... 1.5 1.7 1.8 1.9 1.9 1.9 2.0 2.3 2.4 2.2 2.4 2.7 20 21 Other................................................... .2 .3 .3 .3 .3 .5 .5 .6 .6 .6 1.1 1.7 21 1 Employee retirement funds are on page A-71.20. operatives, and Federal land banks. These agencies are privately owned 2 This group consists of Federal home loan banks, Federal National and are excluded from U.S. Government budget accounts as of 1969 Mortgage Association, Federal intermediate credit banks, banks for co- and from U.S. Government figures in these accounts for all years. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 71.18 FLOW OF FUNDS □ MARCH 1971 8. SECTOR STATEMENTS OF FINANCIAL ASSETS AND LIABILITIES—Continued (Amounts outstanding at end of year; in billions of dollars) Category 1959 1960 1961 1962 1963 1964 1965 1966 1967 1968 1969 1970 Monetary authorities 1 Total financial assets............................ 53.3 52.2 53.6 55.3 57.5 60.8 63.1 67.3 72.1 75.7 80.0 85.1 1 2 Gold and fgn. exchange i............... 19.4 17.7 16.8 16.0 15.6 15.6 14.3 14.0 13.5 12.4 12.3 10.9 2 3 Treas. currency and SDR ctfs........ 5.2 5.2 5.4 5.4 5.4 5.2 5.4 6.2 6.6 6.8 6.8 7.5 3 4 5 F F . . R R . . l f o lo a a n t s . .. t . o .. .. d .. o .. m .... e .. s .. t . i . c .. . b ... a .. n .. k .. s .......... 1. . 6 5 1.8 * 2. . 3 1 2.9 * 2 ' .6 * 2. . 6 2 2. . 2 1 2. . 5 2 2. . 5 1 3. . 4 2 3. . 4 2 4. . 2 3 4 5 6 Credit market instruments............. 26.7 27.5 28.9 30.9 33.8 37.2 41.0 44.5 49.3 53.0 57.2 62.2 6 7 U.S. Govt, securities................... 26.6 21A 28.9 30.8 33.6 37.0 40.8 44.3 49.1 52.9 57.2 62.1 7 9 8 O Sh t o h r e t r -t .. e .. r . m .... . m .... a .. r .. k .. e .. t .. a .. b .. l . e ... . . . . . . . . . . . . . . . . . . . . . 2 6 0 . . 5 2 1 8 9 . . 1 2 1 1 8 0 . . 3 6 2 1 0 0. . 1 7 2 8 5 . . 0 6 2 8 8 . . 8 2 3 8 1 . . 9 9 3 7 6 . . 8 5 3 9 9 . . 9 2 2 3 0 2. . 6 4 3 1 7 9. . 5 6 I> OZ. 11 9 8 1 11 0 B A a c n c k e p l t o a a n n c s e s n . . . e .. . .. c .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .1 * .1 * .1 * .1 * .2 * .1 * .2 * .2 .2 .1 .1 .1 1 1 1 0 12 Total liabilities...................................... 53.3 52.2 53.6 55.3 57.5 60.8 63.1 67.3 72.1 75.7 80.0 85.1 12 13 Vault cash of coml. banks............. 3.0 3.3 3.7 4.3 5.0 4.5 4.9 5.5 5.9 7.2 7.3 7.6 13 14 Member bank reserves.................... 18.2 17.1 17.4 17.5 17.0 18.1 18.4 19.8 21.1 21.8 22.1 24.1 14 15 Demand deposits and currency... 30.8 30.6 31.4 32.3 34.2 36.8 38.8 41.2 44.2 45.7 48.9 51.4 15 16 U.S. Government......................... .9 .9 .9 1.0 1.2 1.4 1.4 1.6 2.5 1.5 2.0 1.6 16 17 Foreign........................................... .4 .2 .3 .3 .2 .3 .2 .4 .4 .5 .4 .3 17 1 1 8 9 Ta C xe u s r r p e a n y c a y b o le u . t . s .. i . d ... e .. . b .. a ... n .. k ... s .. . . . . . . . . . . . . . . . . . . . . . . . . . . 29. .3 6 29.5 * 30.2 * 31.0 * 32.7 * 35. . 1 5 37.2 * 39.2 * 41.3 * 43. .1 7 46. . 6 2 49. .1 5 1 1 9 8 20 Other.................................................. 1.0 1.2 1.2 1.3 1.3 .9 .9 .8 .8 .9 1.5 1.9 20 Commercial banks and affiliates2 Total financial assets................... 217.0 226.0 243.2 264.0 283.5 307.0 337.6 356.6 397.4 441.4 461.3 503.3 Total bank credit3................... 192.8 201. 217.6 237.2 256.5 278.9 308.0 324.2 361.2 400.9 417.8 447.2 Credit market instruments. 188.0 196.7 211.4 229.9 248.6 270.5 299.6 315.1 350.6 389.0 407.1 434.7 U.S. Govt, securities4... 62.1 64.3 70.1 71.4 68.8 69.2 66.9 63.2 72.6 76.1 66.5 74.8 Short-term direct......... 15.6 22.6 33.1 27.3 23.8 27.9 26.0 21.2 26.5 28.2 24.0 Other direct.................. 44.6 39.3 34.1 39.8 40.3 35.9 34.8 36.1 37.0 37.6 32.5 61.8 Agency issues............... 1.7 1.6 2.1 3.0 3.5 3.5 4.6 4.6 4.9 6.0 7.1 10.7 Loan participations... .2 .6 .9 1.4 1.2 1.8 1.5 1.3 4.2 4.4 3.0 2.3 9 Other securities and mtg............ 46.3 47.3 51.5 59.9 70.0 78.1 88.7 95.8 110.1 125.7 131.1 144.8 9 10 State and local obligations... 17.0 17.6 20.3 24.8 30.0 33.5 38.6 41.0 50.0 58.6 59.2 70.4 10 11 Corporate bonds...................... 1.2 1.0 .9 .8 .8 .9 .8 .9 1.6 1.9 1.9 2.4 11 12 Home mortgages..................... 19.1 19.2 20.0 22.0 24.7 27.0 30.1 32.5 34.9 38.3 40.9 41.8 12 13 Other mortgages....................... 8.9 9.5 10.4 12.3 14.4 16.7 19.2 21.5 23.6 26. 29.1 30.2 13 14 Other credit exc. security......... 79.6 85.1 89.8 98.6 109.9 123.2 143.9 156.1 167.8 187.3 209.5 215.1 14 15 Consumer credit..................... 1&.8 20.6 21.4 23.7 27.2 31.0 35.7 38.3 40.0 44.9 48.2 50.1 15 16 Bank loans n.e.c..................... 57.9 61.4 64. 71.1 78. 87.6 104.2 113.3 120.8 136.5 154.9 155.5 16 17 Other loans............................. 2.9 3.1 3.5 3 3.9 4.6 4.1 4.5 7.0 5.9 6.4 9.6 17 18 Open market paper........... 2.3 2.4 2.8 3.0 3.0 3.6 3.0 4.5 7.0 5.9 6.4 9.6 18 19 Hypothecated deposits. . . .7 .7 .8 .8 .8 1.0 1.1 19 20 Security credit................................. 4.9 5.1 6.2 7.3 7.9 8.4 8.5 9.0 10.5 11.8 10.7 12.5 20 '21 Loans to affiliate banks. .6 .5 21 22 Vault cash....................... 3.0 3.3 3.7 4.3 5.0 4.5 4.9 5.5 5.9 7.2 7.3 7.6 22 23 Member bank reserves. . 18.2 17.1 17 17.5 17.0 18.1 18.4 19.8 21.1 21.8 22.1 24.1 23 24 Miscellaneous assets 3.0 3.8 4.5 5.0 4.9 5.5 6.2 7.1 9.2 11.5 13 24.0 24 25 Total liabilities................. 200.1 207.9 223.9 243.6 262.8 284.8 314.1 331.8 371.0 413.3 432.1 472.0 25 26 Demand deposits, net. 121.2 121.6 126.3 130.0 133.9 138.7 144.3 144.5 157.5 170.9 176.0 182.4 26 27 U.S. Government... 5.1 5.9 5.9 7.2 6.5 6.5 5.5 5.0 5.2 5.0 5.1 7.7 27 28 Other......................... 116.2 115.6 120.4 122.9 127.3 132.2 138.7 139.6 152.3 165. 171.0 174.7 28 29 Time deposits..................... 67.5 73.3 82.7 98.3 112.6 127.2 147.2 159.3 183.1 203.7 194.1 232.2 29 30 Large negotiable CD’s. 3.2 6.2 9.9 12.6 16.4 15.7 20.3 23.5 10.9 26.1 30 31 Other............................... 67.5 ‘*73!3 79.5 92.1 102.7 114.6 130.7 143.6 162.8 180.2 183.2 206.2 31 32 Federal Reserve float........ 1.6 1.8 2.3 2.6 2.6 2.2 2.5 2.5 3.4 3.4 4.2 32 33 Borrowing at F.R. banks. .5 .1 .2 .1 .2 .1 .2 .2 .3 33 34 Loans from affiliates........ .6 .5 34 35 Corporate bonds............... .2 1.6 1.7 2.0 2.2 2.3 2.4 35 36 Commercial paper issues. 4.2 2.3 36 37 Taxes payable..................... 1.5 .6 1.1 .6 .7 .7 .6 .5 .6 .8 37 38 Miscellaneous liabilities. . 9.7 11.8 11.3 12. 14.6 17.9 22.9 25.2 32.5 50.6 46.9 38 39 Liab. to fgn. branches.. .5 .9 1.0 .9 1.0 1.1 1.4 4.0 4.2 6.0 13.0 6.9 39 40 Other............................... 8.3 8.7 10.8 10.4 11.8 13.5 16.6 18.9 20.9 26.4 37.6 40.0 40 Memo: Amounts included above for unconconsolidated bank affiliates: 1 Total financial assets................................ 4.4 2.9 1 2 Bank loans n.e.c.................................... 3.8 2.5 2 3 Loans to affiliate banks...................... .6 .5 3 4 Total liabilities....................... 4.4 2.9 4 5 Commercial paper issues. 4.2 2.3 5 6 Miscellaneous liabilities. . .2 .6 6 1 Monetary gold stock and F.R. holdings of foreign currencies. Ex 2 Excludes banks in territories and possessions. change Stabilization Fund holdings of gold and foreign exchange are 3 Gross of bad debt reserves. Excludes corporate stock holdings. in U.S. Govt, account, page A-71.17. 4 At par value. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 □ FLOW OF FUNDS A 71.19 8. SECTOR STATEMENTS OF FINANCIAL ASSETS AND LIABILITIES—Continued (Amounts outstanding at end of year; in billions of dollars) Category 1959 1960 1961 1962 1963 1964 1965 1966 1967 1968 1969 1970 Private nonbank financial institutions—-Total i 1 Total financial assets................................ 342.5 371.0 413.6 441.8 489.8 536.1 587.5 611.8 675.8 738.1 770.2 815.8 1 2 Demand deposits and currency......... 9.6 10.1 11.3 12.1 12.3 12.7 13.0 12.9 13.9 14.8 15.3 16.3 2 3 Time deposits (Mut. svgs. bks.)........ .1 .1 .2 .2 .1 .2 .2 .2 .2 .2 .1 .1 3 4 Svgs. and loan shares.(Cr. unions). . .5 .3 .5 .6 .7 .8 .8 .5 .9 .8 .8 1.5 4 5 Corporate shares.................................. 43.8 47.5 62.9 59.9 72.6 82.9 98.5 94.1 123.2 145.1 140.8 145.8 5 6 Other credit mkt. instruments........... 273.3 296.6 319.8 348.8 380.7 414.8 448.1 475.6 502.5 538.5 575.1 611.7 6 7 U.S. Govt, securities....................... 36.1 36.0 36.9 38.9 38.6 40.8 40.7 41.0 38.9 41.1 40.3 44.2 7 8 State and local obligations............. 15.8 17.2 18.3 18.8 18.8 18.8 18.3 19.1 20.3 21.6 22.5 24.1 8 9 Corporate and foreign bonds.... 73.0 77.9 83.3 89.4 95.5 101.7 109.1 117.2 128.3 137.8 144.6 155.2 9 10 Home mortgages.............................. 93.1 102.0 112.4 123.5 137.5 150.5 162.5 168.0 175.8 184.3 193.4 201.1 10 11 Other mortgages............................... 28.5 31.8 36.2 42.1 49.4 57.2 65.0 71.8 78.6 85.5 92.3 99.9 11 12 Consumer credit............................... 18.4 20.6 21.1 23.6 26.6 29.7 33.5 36.3 37.8 41.6 45.8 46.4 12 13 Other loans........................................ 8.6 11.1 11.6 12.6 14.3 16.0 18.9 22.2 22.8 26.5 36.3 40.9 13 14 Security credit........................................ 4.5 4.5 5.6 5.3 7.2 6.7 6.9 6.8 9.6 11.6 9.0 7.6 14 15 Trade credit........................................... 1.8 1.9 2.0 2.2 2.3 2.5 2.6 2.9 3.2 3.5 3.9 4.3 15 16 8.8 9.9 11.4 12.6 13.9 15.6 17.3 18.7 22.4 23.7 25.2 28.5 16 17 309.9 336.9 374.7 401.3 445.5 488.5 537.0 562.7 621.9 680.4 716.0 762.2 17 18 94.0 103.5 114.8 127.9 143.1 159.0 172.0 179.0 195.8 208.4 216.5 233.7 18 19 Ins. and pension reserves................... 144.6 155.3 170.6 179.2 195.5 213.1 231.8 243.8 269.9 294.1 307.7 326.2 19 20 Investment company shares............... 15.8 17.0 22.9 21.3 25.2 27.2 35.2 34.8 44.7 52.7 48.3 47.6 20 21 Other credit mkt. instruments........... 20.1 22.7 24.7 28.5 34.5 38.8 44.8 47.7 46.8 53.5 66.3 70.0 21 22 Finance company bonds................. 8.3 9.9 10.4 10.7 12.2 14.3 16.1 16.9 17.9 18.8 20.3 22.4 22 23 Mtg. loans in process...................... 1.3 1.2 1.6 2.0 2.5 2.2 2.2 1.3 2.3 2.4 2.5 3.1 23 24 Bank loans n.e.c................................ 5.4 6.0 6.5 7.5 9.2 9.8 12.2 10.9 8.7 11.1 13.7 13.5 24 25 Other loans........................................ 5.0 5.7 6.3 8.3 10.6 12.6 14.3 18.6 17.9 21.2 29.8 31.0 25 26 Finance company paper............. 2.9 3.7 3.6 4.8 5.8 7.2 8.3 11.7 13.5 16.0 20.6 20.4 26 27 FHLB loans.................................. 2.1 2.0 2.7 3.5 4.8 5.3 6.0 6.9 4.4 5.3 9.3 10.6 27 28 Security credit........................................ 4.9 5.4 6.3 7.2 7.7 7.9 7.9 8.5 10.6 12.6 10.6 12.1 28 29 Taxes payable........................................ .9 .9 .8 .9 .9 .9 1.1 1.1 1.0 1.2 1.3 1.2 29 30 Miscellaneous liabilities...................... 29.6 32.1 34.5 36.3 38.6 41.6 44.2 47.9 53.1 57.9 65.4 71.3 30 Savings and loan associations 1 Total financial assets................................ 63.5 71.5 82.1 93.6 107.6 119.4 129.6 133.9 143.5 152.9 162.3 176.6 1 2 Demand dep. and currency............... 1.6 1.7 2.1 2.7 2.8 2.8 2.9 2.3 2.0 1.6 1.4 1.2 2 3 Credit market instruments................. 59.0 66.2 75.6 85.9 99.2 110.2 119.8 124.4 133.4 143.2 153.0 164.6 3 4 U.S. Govt, securities....................... 4.9 5.2 5.7 6.0 7.0 7.6 8.2 8.6 10.1 10.9 11.1 12.5 4 5 Home mortgages.............................. 49.5 55.4 62.4 69.8 79.1 87.2 94.2 97.4 103.3 110.3 118.0 125.5 5 6 Other mortgages............................... 3.6 4.7 6.4 9.0 11.9 14.2 16.1 17.0 18.5 20.5 22.4 25.1 6 7 Consumer credit............................... .9 1.0 1.1 1.1 1.2 1.3 1.4 1.4 1.4 1.5 1.5 1.5 7 8 Miscellaneous assets............................ 3.0 3.5 4.4 5.0 5.5 6.3 6.9 7.2 8.2 8.2 7.9 10.8 8 9 Total liabilities.......................................... 59.1 66.5 76.4 87.1 100.4 111.5 120.9 124.8 134.0 142.6 151.1 164.5 9 10 Savings shares........................................ 54.6 62.1 70.9 80.2 91.3 101.9 110.4 114.0 124.5 131.6 135.7 146.8 10 11 Credit market instruments................. 3.7 3.4 4.4 5.6 7.6 7.8 8.7 8.7 7.0 8.2 12.3 14.2 11 12 Mtg. loans in process...................... 1.3 1.2 1.6 2.0 2.5 2.2 2.2 1.3 2.3 2.4 2.5 3.1 12 13 Borrowing from FHLB................... 2.1 2.0 2.7 3.5 4.8 5.3 6.0 6.9 4.4 5.3 9.3 10.6 13 14 Bank loans n.e.c............................... .3 .2 .2 .2 .2 .3 .5 .5 .4 .5 .5 .5 14 15 Taxes payable........................................ * * * * .1 .1 .1 .1 .1 .1 .1 .1 15 16 Miscellaneous liabilities...................... .9 1.0 1.1 1.2 1.4 1.6 1.7 2.1 2.4 2.7 3.0 3.5 16 17 Memo: FHLB loans less deposits........ 1.5 1.0 1.5 2.3 3.6 4.1 5.0 5.9 3.0 3.9 8.2 8.3 17 Mutual savings banks 1 Total financial assets................................ 38.9 40.6 42.8 46.1 49.7 54.2 58.2 61.0 66.4 71.2 74.2 78.9 1 2 Demand deposits and currency......... .7 .7 .8 .8 .8 .8 .8 .8 .8 .8 .8 1.2 2 3 Time deposits........................................ .1 .1 .2 .2 .1 .2 .2 .2 .2 .2 .1 .1 3 4 Corporate shares.................................. .8 .8 .9 1.0 1.2 1.3 1.4 1.5 1.7 1.9 2.2 2.5 4 5 Other credit mkt. instruments......... 37.0 38.5 40.6 43.6 47.0 51.2 54.9 57.6 62.6 66.9 69.8 73.7 5 6 U.S. Govt, securities....................... 7.3 6.7 6.6 6.7 6.5 6.5 6.2 5.7 5.4 5.2 4.7 4.7 6 7 State and local govt, sec................. .7 .7 .7 .5 .4 .4 .3 .3 .2 .2 .2 .2 7 8 Corporate bonds.............................. 3.6 3.8 3.6 3.5 3.2 3.1 2.9 3.2 5.3 6.6 6.9 8.5 8 9 Home mortgages.............................. 16.9 18.4 20.0 22.1 24.7 27.4 30.1 31.7 33.5 35.0 36.4 37.6 9 10 Other mortgages............................... 8.1 8.6 9.1 10.2 11.5 13.2 14.6 15.7 17.0 18.4 19.7 20.5 10 11 Consumer credit............................... .2 .2 .2 .3 .3 .4 .5 .6 .7 .8 1.0 1.2 11 12 Other loans........................................ .2 .2 .3 .4 .3 .4 .3 .5 .5 .6 .9 1.0 12 13 Miscellaneous assets............................ .3 .3 .4 .5 .7 .7 .8 1.0 1.1 1.4 1.3 1.6 13 14 Savings deposits........................................ 35.0 36.3 38.3 41.3 44.6 48.8 52.4 55.0 60.1 64.5 67.1 71.5 14 15 Miscellaneous liabilities.......................... .6 .7 .8 .8 .9 1.0 1.1 1.1 1.3 1.4 1.6 1.7 15 Credit unions 1 Total financial assets................................ 4.4 5.0 5.6 6.3 7.2 8.2 9.2 10.0 11.2 12.3 13.7 15.4 1 2 Demand dep. and curr......................... .3 .3 .4 .4 .4 .5 .5 .6 .7 .7 .6 .7 2 3 Svgs. and loan shares.......................... .5 .3 .5 .6 .7 .8 .8 .5 .9 .8 .8 1.5 3 4 Credit mkt. instruments..................... 3.6 4.3 4.7 5.3 6.0 6.9 7.9 8.9 9.6 10.9 12.3 13.3 4 5 Consumer credit............................... 3.3 3.9 4.3 4.9 5.5 6.3 7.3 8.3 9.0 10.2 11.6 12.5 5 6 Home mortgages.............................. .3 .4 .4 .5 .5 .5 .6 .6 .7 .7 .7 .8 6 7 Credit union shares.................................. 4.4 5.0 5.6 6.3 7.2 8.2 9.2 10.0 11.2 12.3 13.7 15.4 7 1 In addition to types shown, includes banks in territories and posses sions. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 71.20 FLOW OF FUNDS □ MARCH 1971 8. SECTOR STATEMENTS OF FINANCIAL ASSETS AND LIABILITIES—Continued (Amounts outstanding at end of year; in billions of dollars) Category 1959 1960 1961 1962 1963 1964 1965 1966 1967 1968 1969 1970 Life insurance companies 1 Total financial assets................................ 110.1 115.9 122.8 129.2 136.9 144.9 154.1 161.8 173.0 182.8 190.2 199.1 1 2 Demand deposite and currency......... 1.3 1.3 1.4 1.5 1.5 1.5 1.5 1.5 1.6 1.7 1.6 1.7 2 3 Corporate shares.................................. 4.6 5.0 6.3 6.3 7.1 7.9 9.1 8.8 11.8 13.2 13.1 14.5 3 4 Other credit market instruments___ 100.6 105.6 110.9 116.9 123.3 130.2 137.7 145.5 152.8 160.5 167.1 174.0 4 5 U.S. Govt, securities....................... 7.0 6.5 6.1 6.2 5.9 5.6 5.1 4.8 4.5 4.4 4.0 4.0 5 6 State and local obligations............. 3.2 3.6 3.9 4.0 3.9 3.8 3.5 3.1 3.0 3.2 3.2 3.3 6 7 Corporate bonds.............................. 46.5 48.2 50.7 53.2 56.0 58.3 61.1 63.5 67.3 71.2 72.7 74.2 7 8 Home mortgages.............................. 23.6 24.9 25.6 26.4 27.3 28.5 29.6 30.2 29.8 29.0 28.9 26.7 8 9 Other mortgages............................... 15.6 16.9 18.6 20.5 23.2 26.6 30.4 34.4 37.8 40.9 44.1 47.6 9 10 Other loans........................................ 4.7 5.5 5.9 6.6 7.0 7.4 8.0 9.5 10.5 11.7 15.2 18.1 10 11 Miscellaneous assets............................ 3.6 3.9 4.3 4.6 4.9 5.3 5.7 6.0 6.9 7.5 8.3 8.9 11 12 Total liabilities.......................................... 103.1 108.5 114.2 120.3 126. a 134.0 141.9 149.9 159.0 168.1 177.5 186.9 12 13 Life insurance reserves........................ 75.6 78.8 82.1 85.8 89.9 94.2 98.9 103.5 108.2 112.9 117.8 122.6 13 14 Pension fund reserves.......................... 17.6 18.9 20.3 21.6 23.3 25.3 27.3 29.4 32.1 35.0 37.9 41.0 14 15 Taxes payable........................................ .4 .4 .4 .4 .4 .6 .5 .6 .5 .6 .7 .6 15 16 Miscellaneous liabilities...................... 9.5 10.5 11.5 12.4 13.2 14.0 15.2 16.4 18.2 19.7 21.1 22.6 16 Private pension funds 1 Total financial assets................................ 34.1 38.2 46.3 47.3 55.4 63.9 72.6 73.8 88.1 100.1 101.2 105.9 1 2 Demand dep. and currency............... .5 .5 .7 .7 iS .9 .9 .9 1.3 1.6 1.7 1.9 2 3 Corporate shares 14.5 16.5 22.9 21.9 27.7 33.5 39.7 38.5 51.1 61.4 61.6 64.3 3 4 Other credit market instruments.... 17.9 19.7 21.3 23.0 25.2 27.5 29.6 31.4 32.0 33.0 33.9 35.4 4 5 U.S. Govt, securities....................... 2.8 2.7 2.8 3.1 3.4 3.6 3.6 3.1 2.5 2.9 3.1 3.2 5 6 Corporate bonds.............................. 14.1 15.7 16.9 18.1 19.6 21.2 22.7 24.6 25.5 26.2 26.8 28.0 6 7 Home mortgages.............................. 1.0 1.3 1.6 1.9 2.2 2.7 3.3 3.8 3.9 3.9 4.1 4.2 7 8 Miscellaneous assets............................ 1.2 1.4 1.5 1.7 1.7 2.0 2.4 3.0 3.8 4.0 4.1 4.3 8 State and local govt, retirement funds 1 Total financial assets................................ 17.3 19.6 22.0 24.5 26.9 29.7 33.1 37.1 41.5 46.1 50.8 56.7 1 2 Demand dep. and currency............... .2 .2 .3 .3 .3 .3 .3 .4 .5 .5 .5 .5 2 3 Corporate shares.................................. .3 .4 .6 .8 1.0 1.3 1.6 2.1 2.8 4.1 5.8 7.5 3 4 Other credit market instruments.... 16.4 18.5 20.7 22.9 25.1 27.6 30.5 33.8 36.6 39.9 42.8 46.8 4 5 U.S. Govt, securities....................... 5.6 5.9 6.1 6.5 6.9 7.4 7.8 8.0 7.0 7.3 7.1 6.7 5 6 7 O Sh th o e rt r - t d e i r r m ec m t... a .. r . k ... e .. t . a ... b .. l . e .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5. . 1 3 5. . 3 4 5. . 4 4 5. . 7 4 6. . 1 4 6. .3 7 6. . 9 3 7. . 0 4 5. . 7 4 5. . 5 4 4. . 9 7 J 1 55 ,22 6 7 8 Agency issues................................ .1 .2 .3 .4 .3 .4 .5 .7 .8 1.4 1.6 1.6 8 9 State and local obligations............. 4.3 4.4 4.3 3.8 3.3 2.9 2.6 2.5 2.4 2.4 2.2 2.1 9 10 Corporate bonds.............................. 5.5 6.7 8.5 10.4 12.3 14.2 16.3 18.9 22.3 24.8 27.8 31.9 10 11 Mortgages.......................................... 1.0 1.5 1.9 2.2 2.6 3.1 3.7 4.5 5.0 5.4 5.7 6.2 11 12 Other....................................................... .3 .4 .4 .5 .5 .6 .7 .7 1.7 1.7 1.7 1.8 12 Other insurance companies 1 Total financial assets................................ 27.1 28.2 31.6 32.6 35.3 38.1 39.8 40.0 44.1 48.4 49.0 51.7 1 2 Demand dep. and currency................ 1.3 1.3 1.4 1.5 1.4 1.4 1.3 1.3 1.3 1.4 1.3 1.4 2 3 Corporate shares.................................. 9.1 9.4 11.8 11.1 13.0 14.7 15.3 13.8 16.1 18.1 16.8 16.9 3 4 Other credit market instruments----- 14.8 15.5 16.5 17.8 18.6 19.4 20.5 22.0 23.5 25.4 27.0 29.2 4 5 U.S. Govt, securities....................... 5.8 5.6 5.6 5.7 5.9 6.0 6.0 5.6 4.9 4.7 4.2 4.4 5 6 State and local obligations 7.2 8.1 9.1 9.9 10.6 11.0 11.3 12.6 14.1 15.1 16.3 17.4 6 7 Corporate bonds.............................. 1.6 1.7 1.7 2.1 2.0 2.4 3.0 3.6 4.3 5.5 6.3 7.1 7 8 .1 .1 .2 .1 .1 .1 .1 .1 .2 .2 .2 .2 8 9 Trade credit........................................... 1.8 1.9 2.0 2.2 2.3 2.5 2.6 2.9 3.2 3.5 3.9 4.3 9 10 Total liabilities.......................................... 14.9 15.9 16.7 17.4 18.4 19.6 21.2 23.0 25.1 27.5 30.9 34.6 10 11 Policy payables...................................... 14.8 15.7 16.5 17.2 18.3 19.6 21.1 22.9 25.0 27.5 30.8 34.5 11 12 Taxes payable........................................ .1 .1 .1 .1 .1 * .1 .1 .1 .1 .1 .1 12 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 □ FLOW OF FUNDS A 71.21 8. SECTOR STATEMENTS OF FINANCIAL ASSETS AND LIABILITIES—Continued (Amounts outstanding at end of year; in billions of dollars) Category 1959 1960 1961 1962 1963 1964 1965 1966 1967 1968 1969 1970 Finance companies 1 Total financial assets............................. 21.1 24.1 25.1 27.6 31.7 35.6 41.0 43.6 44.5 49.9 58.5 60.3 1 2 Demand deposits and currency........ 2.0 2.1 2.3 2.5 2.3 2.3 2.5 2.7 2.9 3.1 3.4 3.6 2 3 Home mortgages.............................. 1.6 1.6 2.2 2.7 3.5 3.9 4.5 3.9 4.3 4.9 5.7 5.9 3 4 Consumer credit................................ 14.0 15.4 15.5 17.3 19.6 21.6 24.3 26.1 26.7 29.1 31.7 31.1 4 5 Other loans (to bus.)......................... 3.4 4.9 5.0 5.1 6.4 7.8 9.7 10.9 10.6 12.8 17.6 19.7 5 6 Total liabilities....................................... 16.1 19.6 20.6 23.2 27.2 31.1 36.4 39.1 40.0 45.5 54.2 56.1 6 7 Corporate bonds............................... 8.3 9.9 10.4 10.7 12.2 14.3 16.1 16.9 17.9 18.8 20.3 22.4 7 8 Bank loans n.e.c................................. 5.2 5.7 6.3 7.4 9.0 9.5 11.7 10.3 8.3 10.6 13.1 13.0 8 9 Open market paper........................... 2.9 3.7 3.6 4.8 5.8 7.2 8.3 11.7 13.5 16.0 20.6 20.4 9 10 Taxes payable.................................... .3 .3 .3 .3 .3 .2 .3 .2 .2 .2 .2 .3 10 Security brokers and dealers 1 Total financial assets............................. 6.2 6.7 7.7 8.6 9.2 9.4 9.5 10.2 12.6 15.0 13.1 14.6 1 2 Demand dep. and currency.............. .6 .6 .7 .6 .7 .8 .9 1.0 1.2 1.6 1.9 1.9 2 3 Corporate shares............................... .5 .5 .3 .4 .6 .5 .5 .6 .6 .2 .5 .8 3 4 Other credit mkt. instruments.......... 1.3 1.9 2.0 2.9 1.8 2.5 2.1 2.8 2.1 2.5 2.6 5.1 4 5 U.S. Govt, securities..................... .4 1.0 1.3 2.0 .7 1.4 1.1 1.7 1.0 1.8 1.7 3.4 5 6 State and local govt, oblig............ .3 .4 .3 .5 .5 .7 .5 .5 .5 .5 .4 .9 6 7 .5 .5 .3 .4 .6 .5 .5 .6 .6 .2 .5 .8 7 8 Security credit.................................... 3.8 3.6 4.7 4.6 6.1 5.6 6.1 5.9 8.7 10.8 8.2 6.8 8 9 Total liabilities....................................... 4.9 5.4 6.4 7.2 7.8 7.9 8.0 8.6 10.7 12.8 10.7 12.3 9 10 4.9 5.4 6.3 7.2 7.7 7.9 7.9 8.5 10.6 12.6 10.6 12.1 10 11 3.0 3.3 4.1 5.2 5.3 5.5 5.3 5.8 6.7 7.7 6.7 9.0 11 12 .8 .8 .9 .7 1.1 1.1 .8 .9 .9 .9 .9 .9 12 13 Customer credit balances............. 1.1 1.2 1.3 1.3 1.3 1.3 1.8 1.8 3.0 4.1 3.1 2.3 13 14 Taxes payable..................................... .1 * .1 * .1 .1 .1 .1 .2 .2 .1 .1 14 Open-end investment companies 1 Total financial assets............................. 15.8 17.0 22.9 21.3 25.2 27.2 35.2 34.8 44.7 52.7 48.3 47.6 1 2 Demand dep. and currency.............. .2 .3 .3 .3 .4 .4 .5 .5 .7 .8 .7 .7 2 3 Corporate shares............................... 13.9 14.8 20.3 18.3 22.1 23.7 30.9 28.9 39.2 46.1 40.9 39.3 3 4 Other credit market instruments---- 1.7 2.0 2.3 2.6 2.7 3.0 3.8 5.4 4.8 5.8 6.7 7.5 4 5 U.S. Govt, securities..................... .6 .6 .7 .7 .7 .8 .8 1.4 .9 1.1 .7 1.0 5 6 Corporate bonds........................... 1.1 1.2 1.6 1.6 1.8 2.1 2.6 2.9 3.0 3.4 3.6 4.6 6 7 Open market paper....................... .1 .1 * .3 .2 .1 .5 1.0 1.0 1.2 2.4 1.9 7 Agencies of foreign banks 1 Total financial assets............................. 3.2 3.6 3.8 3.6 3.6 4.2 3.7 3.8 4.3 4.5 5.6 6.2 1 2 Demand dep. and currency.............. .6 .7 .8 .7 .7 .8 .7 .8 .9 .9 1.1 1.2 2 3 U.S. Govt, securities......................... 1.5 1.7 1.8 1.8 1.5 1.9 1.8 1.9 2.5 2.6 3.4 3.9 3 4 Other loans......................................... .3 .3 .3 .3 .4 .4 .3 .3 .2 .2 .2 .2 4 5 Security credit.................................... .8 .8 .9 .7 1.1 1.1 .8 .9 .9 .9 .9 .9 5 6 Deposit liabilities................................... 3.2 3.6 3.8 3.6 3.6 4.2 3,7 3.8 4.3 4.5 5.6 6.2 6 Rest of the world 1 Total financial assets............................. 56.5 61.1 67.7 69.3 75.1 81.2 84.9 85.4 93.5 102.1 110.4 118.5 1 2 20.7 22.7 24.2 25.4 26.7 27.5 29.4 30.0 29.5 30.0 29.2 32.7 2 3 U.S. demand deposits....................... 1.2 1.3 2.1 2.2 2.4 2.9 3.0 2.2 2.5 2.8 3.0 3.3 3 4 U.S. time deposits............................. 3.1 3.5 3.8 4.3 5.3 6.7 7.3 8.2 9.4 9.1 10.2 8.3 4 5 Corporate shares............................... 9.4 9.3 11.8 10.3 12.5 13.8 14.6 12.6 15.5 19.6 18.1 18.1 5 6 Other credit market instruments---- 11.0 12.2 12.7 14.0 14.7 15.6 15.6 14.0 15.9 16.0 14.7 24.3 6 7 U.S. Govt, securities..................... 10.0 10.6 11.0 12.3 12.9 13.4 13.2 10.8 12.9 12.4 10.6 19.0 7 8 Corporate bonds1.......................... .5 .6 .6 .7 .7 .9 .7 1.3 .9 .9 .4 1.1 8 9 Other loans..................................... .5 1.0 1.0 1.0 1.1 1.3 1.6 1.9 2.1 2.7 3.7 4.1 9 10 Security credit.................................... .1 .1 .1 .1 .1 .1 .2 .2 .3 .6 .4 .3 10 11 Trade credit....................................... .7 .6 .8 .8 .8 .8 10 1.4 1.8 2.7 4.3 5.3 11 12 Miscellaneous assets.......................... 10.4 11.4 12.2 12.1 12.6 13.7 13.9 16.9 18.5 21.4 30.4 26.3 12 13 Fgn. branch claims on U.S. banks .5 .9 1.0 .9 1.0 1.1 1.4 4.0 4.2 6.0 13.0 6.9 13 14 Direct investment in U.S............... 6.6 6.9 7.4 7.6 7.9 8.4 8.8 9.1 9.9 10.8 11.8 13.2 14 15 Deps. at agn. of fgn. bank............ 3.2 3.6 3.8 3.6 3.6 4.2 3.7 3.8 4.3 4.5 5.6 6.2 15 16 Total liabilities....................................... 57.1 63.2 68.4 73.8 80.6 90.8 98.3 104.1 113.4 122.7 130.9 139.0 16 17 Official U.S. foreign exchange and net IMF position........................... 2.0 1.6 1.8 1.2 1.2 1.2 1.6 1.6 2.8 4.8 5.1 2.6 17 18 Credit market instruments............... 21.1 23.1 25.4 27.9 30.7 36.3 39.2 40.2 43.1 45.8 48.0 50.9 18 19 Bonds.............................................. 4.9 5.6 6.2 7.2 8.2 9.2 10.2 10.5 10.8 11.7 11.7 12.8 19 20 Bank loans n.e.c............................. 2.9 3.0 3.7 4.1 4.4 6.9 7.5 7.3 7.1 6.7 6.5 6.1 20 21 Other loans..................................... 13.4 14.5 15.5 16.7 18.2 20.2 21.5 22.3 25.3 27.3 29.7 31.9 21 22 Security debt...................................... .1 .1 .1 .1 .1 .1 .1 .1 .3 .5 .3 .2 22 23 Trade debt.......................................... .9 1.7 1.9 2.7 2.7 3.7 3.2 3.8 4.4 5.2 6.3 7.0 23 24 Miscellaneous liabilities.................... 33.0 36.8 39.2 42.0 45.8 49.5 54.2 58.4 62.8 66.4 71.2 78.4 24 25 U.S. capital subscription to IBRD, IDA, etc......................... .7 .8 1.0 1.1 1.2 1.2 1.3 1.3 1.4 1.5 1.7 1.9 25 26 U.S. direct invest, abroad2........... 29.7 32.7 34.7 37.2 40.7 44.4 49.2 53.9 58.3 61.6 66.4 73.1 26 27 Fgn. currency held by U.S............ 2.6 3.2 3.5 3.6 3.9 3.9 3.7 3.2 3.2 3.3 3.2 3.4 27 1 Excludes U.S. issues in foreign markets to finance U.S. investment 2 Excludes investment financed by bond issues in foreign markets, Digitized for FaRbAroSadE.R http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 72 U.S. BALANCE OF PAYMENTS □ MARCH 1971 1. U.S. BALANCE OF PAYMENTS (In millions of dollars) 1969 1970 Item 1968 1969 III IV I II III* 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 14,565 14,712 15,342 15,914 15,924 Merchandise............................................................... 33,588 36,473 9,581 9,835 10,228 10,705 10,678 Military sales.............................................................. 1,395 1,515 458 352 258 432 341 Transportation............................................................ 2,969 3,131 843 803 877 926 940 Travel.......................................................................... 1,775 2,058 519 518 559 575 578 Investment income receipts, private......................... 6,922 7,906 2,043 2,083 2,255 2,058 2,179 Investment income receipts, Govt............................. 765 932 243 231 244 244 228 Other services.............................................................. 3,208 3,498 878 890 921 974 980 Imports of goods and services—Total........................... -48,129 -53,564 -13,909 -14,061 -14,510 -14,810 -14,903 Merchandise................................................................ -32,964 -35,835 -9,263 -9,390 -9,723 -9,876 -9,958 Military expenditures................................................. -4,535 -4,850 -1,220 -1,245 -1,178 -1,255 -1,214 Transportation............................................................ -3,269 -3,608 -960 -967 -976 -977 -1,030 Travel.......................................................................... -3,022 -3,390 -875 -840 -920 -990 -1,025 Investment income payments.................................... -2,933 -4,463 -1,240 -1,247 -1,348 -1,325 -1,292 Other services.............................................................. -1,406 -1,419 -351 -372 -365 -387 -384 Balance on goods and services1..................................... 2,493 1,949 656 651 832 1,104 1,021 Remittances and pensions.............................................. -1,121 -1,190 -318 -309 -328 -360 -360 1. Balance on goods, services, remittances and pen sions......................................................................... 1,372 759 338 342 504 744 661 2. U.S. Govt, grants and capital flow, net..................... -3,975 -3,828 -1,022 -870 -855 -725 -759 Grants,2 loans, and net change in foreign cur rency holdings, and short-term claims............. -5,359 -5,032 -1,213 -1,183 -1,278 -1,237 -1,147 Scheduled repayments on U.S. Govt, loans........ 1,114 1,291 345 324 335 398 386 Nonscheduled repayments and selloffs................. 269 -87 3-154 3-11 88 114 2 3. U.S. private capital flow, net..................................... -5,412 -5,233 -980 -889 -1,688 -1,870 -1,339 Direct investments.................................................. -3,209 -3,070 -877 -276 -1,411 -1,434 -759 -1,254 -1,494 -567 -69 -133 66 -576 Other long-term claims reported by— Banks................................................................... 358 330 131 35 24 61 23 Others.................................................................. -220 -424 -13 -249 -375 -12 -148 Short-term claims reported by— Banks................................................................... -105 -871 98 -371 121 -506 103 Others.................................................................. -982 296 248 41 86 -45 18 4. Foreign capital flow, net, excluding change in liquid assets in the United States.................................. 8,701 4,131 311 1,635 563 1,320 1,011 Long-term investments.......................................... 6,029 3,959 428 1,276 844 583 770 759 76 113 -19 17 199 255 Nonliquid claims on U.S. Govt, associated with— -105 156 -91 229 -22 -256 -63 U.S. Govt, grants and capital........................... 2 -16 -5 * -9 -17 -6 Other specific transactions................................. 6 -2 -20 -1 -25 11 -20 Other nonconvertible, nonmarketable, mediumterm U.S. Govt, securities4............................... 2,010 -41 -115 150 -242 800 75 5. Allocation of Special EJrawing Rights....................... 217 217 217 6. Errors and unrecorded transactions........................... -514 -2,841 -927 204 -182 -920 -428 Balances5 A. Balance on liquidity basis Seasonally adjusted (Equals sum of items 1-6.)... 171 -7,012 -2,279 420 6 — 1,65 6 -1,439 -1,234 -638 Less * Net seasonal adjustments............................. 693 -624 -108 -758 192 1,023 Before seasonal adjustment..................................... 171 -7,012 -2,972 1,044 -1,548 -681 -1,426 -1,661 B. Balance on basis of official reserve transactions Balance A, seasonally adjusted.............................. 171 -7,012 -2,279 420 -‘1,656 -1,439 -1,234 -638 Plus: Seasonally adjusted change in liquid assets in the United States of— Commercial banks abroad................................. 3,387 9,217 1,311 149 -1,865 -1,865 -102 -1,375 Other private residents of foreign countries... 375 -441 -143 -131 -151 -151 192 -148 International and regional organizations other 48 -60 12 -66 141 141 -127 87 Less: Change in certain nonliquid liabilities to foreign, central banks and govts......................... 2,340 -996 -517 -142 -421 -421 506 -244 Balance B, seasonally adjusted............................... 1,641 2,700 -582 514 -3,110 -2,893 -1,777 -1,830 Less ■ Net seasonal adjustments........................... 458 -311 -280 -930 284 781 Before seasonal adjustment..................................... 1,641 2,700 -1,040 825 -2,830 -1,963 -2,061 -2,611 For notes see end of table. 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MARCH 1971 □ U.S. BALANCE OF PAYMENTS AND FOREIGN TRADE A 73 1. U.S. BALANCE OF PAYMENTS— Continued (In millions of dollars) 1969 1970 Item 1968 1969 III IV I II III* Transactions by which balances were settled—Not seasonally adjusted 5 A. To settle balance on liquidity basis........................... -171 7,012 2,972 -1,044 1,548 681 1,426 1,661 Change in U.S. official reserve assets (in crease, —)............................................................ -880 -1,187 -686 -154 481 -386 1,022 801 Gold..................................................................... 1,173 -967 -11 -695 -44 -44 14 395 SDR’s.................................................................. -53 -920 -37 34 IMF gold tranche position................................. -870 -1,034 -233 -542 -253 -253 227 406 Convertible currencies........................................ -1,183 814 -442 1,083 831 831 818 -34 Change in liquid liabilities to all foreign accounts.. 709 8,199 3,658 -890 1,067 1,067 404 860 Foreign central banks and govts.: Convertible nonmarketable U.S. Govt. securities 7.................................................... -10 -163 84 -212 — 126 -126 * Marketable U.S. Govt, bonds and notes?... -379 -79 -9 -67 -3 -3 17 20 Deposits, short-term U.S. Govt, securities, etc................................................................. -2,709 -264 2,169 -227 2,900 2,900 509 2,449 IMF (gold deposits)............................................ -3 -11 -9 —9 -9 -423 Commercial banks abroad................................. 3,387 9,217 1,554 -187 -1,685 -1,685 -187 -1,125 Other private residents of foreign countries___ 375 -441 -143 -131 -151 -151 192 -148 International and regional organizations other than IMF......................................................... 48 -60 12 -66 141 141 -127 87 B. Official reserve transactions....................................... -1,641 -2,700 1,040 -825 2,830 1,963 2,061 2,611 Change in U.S. official reserve assets (in crease, —)............................................................ -880 -1,187 -686 -154 481 -386 1,022 801 Change in liquid liabilities to foreign central banks and govts., and IMF (see detail above under A.)............................................................. -3,101 -517 2,235 -506 2,762 2,762 526 2,046 Change in certain nonliquid liabilities to foreign central banks and govts, of — U.S. private organizations............................. 534 -834 -390 -206 -155 -155 -230 -231 U.S. Govt......................................................... 1,806 -162 -119 41 -258 -258 743 -5 1 Excludes transfers under military grants. purposes of seasonal adjustment the allocation is accounted for at the 2 Excludes military grants. rate of $217 million per quarter. 3 Negative entry reflects repurchase of foreign obligations previously 6 Equals sum of items 1-4 plus 6. sold. 7 With original maturities over 1 year. 4 Includes certificates sold abroad by Export-Import Bank. 5 The first column shown for 1970-1 excludes, and the second column Note.—Dept, of Commerce data. Minus sign indicates net payments includes, initial allocation by the IMF of $867 million of SDR’s. For (debits); absence of sign indicates net receipts (credits). Details may not add to totals because of rounding. 2. MERCHANDISE EXPORTS AND IMPORTS (Seasonally adjusted; in millions of dollars) Imports 2 Export surplus Period 1969 1970r 1971 1968 1969 1971 1968 1969 1970r 1971 Month: Jan... 2,814 3 2,094 3,406 3,735 2,687 3 2,014 3,223 3,686 127 80 183 49 Feb.. 2,775 3 2,313 3,547 2,592 3 2,653 3,278 184 -340 269 Mar.. 3 2,439 3 3,197 3,376 3 2,589 3 2,976 3,218 -150 221 158 Apr.. 3 2,855 3 3,353 3,409 3 2,604 3 3,173 3,263 251 180 146 May. 2,740 3 3,296 3,661 2,755 3 3,276 3,338 -15 20 323 June. 2,870 3 3,211 3,730 2,792 3 3,185 3,266 78 26 465 July.. 2,858 3,168 3,699 2,725 3,064 3,255 133 104 444 Aug.. 3 2,950 3,370 3,592 2,872 3,179 3,346 78 191 246 Sept.. 3 3,211 3,323 3,553 2,951 3,054 3.428 261 269 125 Oct.., 3 2,631 3,362 3,689 2,736 3,221 3,501 -105 141 188 Nov.. 2,972 3,365 3,499 2,883 3,212 3.428 89 153 71 Dec.. 2,977 3,238 3,570 2,908 3,006 3,404 70 232 166 Quarter: I----- 8,028 7,604 10,328 7,867 7,643 9,719 161 -39 609 11... 8,465 9,860 10,800 8,151 9,635 9,867 314 225 933 111... 9,019 9,862 10,845 8,548 9,297 10,029 471 565 816 IV... 8,580 9,966 10,758 8,527 9,438 10,333 53 852 425 Year4.. 34,063 37,332 42,732 33,226 36,043 39,948 837 1,289 2,784 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 □ MARCH 1971 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 1962 1963 1964 1965 1966 1967 1968 1969 1970 IV I II III IV Western Europe: -143 -82 -55 -100 -25 4 4 —63 —40 -83 -58 -456 -518 -405 -884 -601 600 325 -129 -129 Germany, Fed. Rep. of... -225 500 500 -1 -2 -2 -2 -52 41 2 25 2 Italy..................................... 200 -80 -60 -85 -209 -76 -60 -35 -19 — 50 —20 -30 -146 -130 -32 -180 51 51 102 -81 -50 -2 -30 -50 -25 -50 -50 -387 329 618 150 80 -879 -835 200 200 -12 1 -6 -35 -49 16 -47 11 -29 -7 2 -1 -8 -2i Total........................... -1,105 -399 -88 -1,299 -659 -980 -669 969 -204 721 4 -1 -27 -180 Canada ................................. 190 200 150 50 Latin American republics: Argentina ......................... 85 -30 -39 -1 -25 -25 — 28 -15 -5 — 23 Brazil.................................. 57 72 54 25 -3 -1 * -23 -23 Colombia........................... 38 10 29 7 * -1 * -1 Venezuela........................... -25 Other.................................. -5 -11 -9 -13 -6 11 -40 -29 -80 -12 -1 -9 —4 -66 Total........................... 175 32 56 17 -41 9 -65 -54 -131 -27 -7 -9 —4 -111 Asia: Iraq..................................... -10 -4 -21 -42 Japan.................................. -56 -119 -119 Lebanon............................. -32 -11 -11 -1 -95 Malaysia............................. -1 -34 Philippines......................... * 25 20 * -1 9 40i —4 5 1 * 3 — 8 Saudi Arabia..................... -13 -50 Singapore........................... -81 11 Other.................................. -47 -13 -6 -14 -14 -22 -75 -9 -91 -5 2 23 -1 -41 -71 Total........................... -93 12 3 -24 -86 -44 -366i 42 -213 -1 24 -1 — 39 -197 All other................................. -1 -36 —7 -16 -22: 3-166i 3-68 -1 -81 1 -1 —2 —4 -75 Total foreign countries.......... -833 -392 -36 -1,322 -608 -1,031 -1,118 957 4 — 631 695 20• -14 -73 4-563 Intl. Monetary Fund ^........... 6-225 177 22i -3 10> -156 24 -322 4142 Grand total................ -833 -392 -36; -1,547 -431 -1,009» -1,121 967 -787 695 44 -14 -395 -422 1 Includes purchase from Denmark of $25 million. 5 Includes IMF gold sales to and purchases from the United States, 2 Includes purchase from Kuwait of $25 million. U.S. payment of increases in its gold subscription to IMF, gold deposits 3 Includes sales to Algeria of $150 million in 1967 and $50 million in by the IMF (see note 1 (b) to Table 4), and withdrawal of deposits. The 1968. first withdrawal, amounting to $17 million, was made in June 1968. 4 Data for IMF include the U.S. payment of $385 million increase in IMF sold to the United States a total of $800 million of gold ($200 its gold subscription to the IMF and gold sold by the IMF to the United million in 1956, and $300 million in 1959 and in I960) with the right of States in mitigation of U.S. sales to other countries making gold payments repurchase; proceeds from these sales invested by IMF in U.S. Govt, to the IMF. The country data include U.S. gold sales to various countries securities. In Sept. 1970 IMF repurchased $400 million. in connection with the IMF quota payments. Such U.S. sales to countries 6 Payment to the IMF of $259 million increase in U.S. gold subscription and resales to the United States by the IMF total $548 million each. less gold deposits by the IMF. 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 purchase in foreign currencies automatically if needed. Under appropriate conditions, the United States could pur 2 Positive figures represent purchases from the IMF of currencies of chase 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 purchases 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 repurchase within 3 to 5 years, but only to scription was included in the U.S. gold stock and excluded from the the extent that the holdings of dollars of the IMF exceed 75 per cent of reserve position. the U.S. quota. Purchases of dollars by other countries reduce the U.S. 6 Includes $30 million of special drawing rights. commitment to repurchase by an equivalent amount. Note.—The initial U.S. quota in the IMF was $2,750 million. The U.S. 3 Includes dollars obtained by countries other than the United States quota was increased to $4,125 million in 1959, to $5,160 million in Feb. from sales of gold to the IMF. 1966, and to $6,700 million in Dec. 1970. Under the Articles of Agreement, subscription payments equal 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
MARCH 1971 □ U.S. RESERVE ASSETS; POSITION IN THE IMF A 75 4. U.S. RESERVE ASSETS (In millions of dollars) Gold stock1 Con Reserve Gold stock1 Con Reserve E y n e d a r of T reasury v c fo e u c r r r i e t r e i i e b s g n l n e p I o M s i i n t F io 3 n E m n o d n t o h f Total Total 2 Treasury v c fo e u c r r i r e e t r i s i e b g 5 n l n e p I o M s i i n t F io 3 n D R S r i p a g e w h c t i i s n a l g 6 1957, 24,832 22,857 22,781 1,975 1958 22,540 20,582 20,534 1 ,958 1970—Feb.. 17,670 11,906 11.367 2,338 2,507 919 1959. 21,504 19,507 19,456 1,997 Mar.. 17,350 11,903 11.367 1,950 2,577 920 1960. 19,359 17,804 17,767 1,555 Apr.. 16,919 11,902 11.367 1,581 2,510 926 May. 16,165 11,900 11.367 980 2,360 925 1961. 18,753 16,947 16,889 116 1,690 June. 16,328 11,889 11.367 1,132 2,350 957 1962. 17,220 16,057 15,978 99 1,064 July. . 16,065 11,934 11.367 716 2,454 961 1963. 16,843 15,596 15,513 212 1,035 Aug.., 15,796 11,817 11.367 695 2,323 961 1964. 16,672 15,471 15,388 432 769 Sept.. 15,527 11.494 11.117 1,098 1,944 991 1965. 15,450 4 13,806 413,733 781 4 863 Oct.. . 15,120 11.495 11.117 811 1,823 991 Nov.. 14,891 11,478 11.117 640 1,812 961 1966. 14,882 13,235 13,159 1,321 326 Dec.., 14,487 11,072 10.732 629 1,935 851 1967. 14,830 12,065 11,982 2,345 420 1968. 15,710 10,892 10.367 3,528 1,290 1971--Jan.. 14,699 11,040 10.732 491 1.700 1 ,468 1969. 7 16,964 11,859 10.367 72,781 2,324 Feb.. 14,534 11,039 10.732 327 1.700 1,468 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-13. 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, and second allocation of $717 million of 2 Includes gold in Exchange Stabilization Fund. SDR’s on Jan. 1, 1971, plus net transactions in SDR’s. 3 The United States has the right to purchase foreign currencies equiva 7 Includes gain of $67 million resulting from revaluation of the German lent to its reserve position in the IMF automatically if needed. Under ap mark in Oct. 1969, of which $13 million represents gain on mark holdings propriate conditions the United States could purchase additional amounts at time of revaluation. 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. U.S. transactions with IMF Transactions by reserve other countries position Period with IMF in IMF P s t u a io y b n s m o c s f e r i i n p n t s s g N a o l e l e d t s 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 c n I i M nc F i o n m ne e t Purc o h f ases pur R c i h n e a ses c T ha o n ta g l e Amount P q e U r u o . o c S f t e . a nt p ( e e r n io d d o ) f 4 dollars by IMF i cies 2 dollars 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 1970........................................ 1,155 6712 150 25 -854 741 1,929 4,765 71 1.935 1970—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 July.............................. 2 -139 33 -104 2,706 52 2,454 Aug.............................. 1 -20 150 131 2,837 55 2,323 Sept.............................. 6 132 10 -16 253 379 3,216 62 1,944 Oct............................... 129 -3 -34 29 121 3,337 65 1,823 Nov.............................. 104 1 -95 1 11 3,348 65 1,812 Dec.............................. 1,155 315 -1 -73 21 1,417 4,765 71 1.935 1971 _jan............................... 250 -3 -23 11 235 5.000 75 1.700 Feb............................... * * * 5.000 75 1.700 For notes see opposite page. 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A 76 INTL. CAPITAL TRANSACTIONS OF THE U.S. □ MARCH 1971 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 Nonp 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 h a e a b r s U n r b o y t m k e i r . r l S t e d s . M n b G o U a a o a o t b n n . r e v S l k d d s e t . e s , 4 t c m T o b U a a n i o u r a b b e n v r n . r l S l y a k d e e d e s . e r s t t - Total i i p S t n b l i t i o h e a e a b r s U n r o b y t m k i e r . r l S t e d s . M n b G o U a a o a o t b n r n . e S v k l d d s e t e . s , t 4 Total i i n p S t b l i t i o h e a e a U b r s n r b o y t m . k i e r r S l t e d s . 6 M n b G o U a a o a b t o n r n . e S l v k d d s e . t e s , 4 t notes 195 7 715,825 200 200 7,917 5,724 542 195 8 716,845 200 200 8,665 5,950 552 195 9 19,428 500 500 10,120 9,154 966 7,618 7,077 541 1,190 530 660 1960 8. \ ( 2 2 1 0, , 9 02 9 7 4 8 8 0 00 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 5 4 5 3 0 1 1 , ,5 5 4 2 1 5 7 7 5 5 0 0 7 7 9 7 1 5 /22,853 800 800 11.830 10.940 890 8,275 7,759 516 1.948 703 1.245 1961 8........ \22,936 800 800 11.830 10.940 890 8,357 7,841 516 1.949 704 1.245 1962 8........ 1 (2 2 4 4 , , 0 0 6 6 8 8 8 8 0 0 0 0 8 8 0 0 0 0 1 1 2 2 , , 7 7 4 1 8 4 1 1 1 1 , ,9 9 6 9 3 7 7 7 5 5 1 1 8 8 . .3 35 5 9 9 7 7 . . 9 9 1 1 1 1 4 4 4 4 8 8 2 2 , , 1 1 6 9 1 5 1 1 , , 2 2 5 8 0 4 9 9 1 1 1 1 19638......... / \ 2 2 6 6 , , 3 3 6 2 1 2 8 8 0 0 0 0 8 8 0 0 0 0 1 1 4 4 , , 3 3 8 5 7 3 1 1 2 2 . . 4 4 6 6 7 7 1 1 , , 2 1 1 83 7 7 7 0 0 3 3 9 9 , , 2 2 1 0 4 4 8 8 . . 8 8 6 6 3 3 3 3 5 4 1 1 1 1 , ,9 9 6 60 5 8 8 0 0 8 8 1 1, ,1 1 5 57 2 1964 8........ \ T 2 2 9 8 , , 0 9 0 51 2 8 8 0 0 0 0 8 8 0 0 0 0 1 1 5 5 , , 4 4 2 2 8 4 1 13 3 , , 2 2 2 2 0 4 1 1 . . 1 1 2 2 5 5 1 1 . . 0 0 7 7 9 9 1 1 1 1 , , 0 0 0 5 1 6 1 1 0 0 , , 6 6 2 8 5 0 3 3 7 7 6 6 1 1. . 7 72 2 2 2 8 8 1 1 8 8 9 9 0 04 4 196 5 29,115 834 34 800 15,372 13,066 1,201 11,478 11,006 472 1,431 679 752 1966 8. \ ( 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 5 0 5 0 1 12 2 , , 5 4 3 8 9 4 8 8 6 60 0 2 2 5 5 6 6 1 1 4 4 , , 3 2 8 0 7 8 1 1 3 3 , , 8 6 5 8 9 0 5 5 2 2 8 8 9 90 0 5 6 5 5 8 8 1 0 3 3 2 2 5 5 1967 8. 1 (3 3 3 3 , , 2 1 7 1 1 9 1 1 . . 0 0 3 3 3 3 2 2 3 3 3 3 8 8 0 0 0 0 1 1 5 5 , , 6 6 5 4 3 6 1 1 4 4. , 0 0 2 3 7 4 9 9 0 08 8 7 7 1 1 1 1 1 1 5 5 , , 7 8 6 9 3 4 1 1 5 5 , , 3 20 3 5 6 5 5 5 5 8 8 6 6 9 7 1 7 4 47 8 3 7 2 2 0 0 4 4 1968 9. \ ( 3 3 3 3 , , 6 8 1 2 4 8 1 1 . . 0 03 30 0 2 2 3 30 0 8 8 0 0 0 0 1 1 2 2, , 4 5 8 4 1 8 1 1 1 1 . . 3 3 1 1 8 8 5 4 2 6 9 2 7 7 0 0 1 1 1 1 9 9, , 3 5 8 2 1 5 1 1 8 8 . . 9 9 1 1 6 6 6 4 0 65 9 7 7 2 2 5 2 6 6 8 8 3 3 4 3 2 9 1969- Dec. 8,io \ ( 4 4 1 1 , , 9 7 0 7 0 6 1 1 . . 0 0 1 1 9 9 2 2 1 1 9 9 8 8 0 0 0 0 1 1 1 1 , , 9 9 9 9 4 2 1 1 1 1 , , 0 0 5 5 6 4 3 3 8 8 3 3 5 5 5 55 5 2 28 8, , 1 2 0 2 6 4 2 2 7 7 , , 5 69 7 5 7 5 5 2 2 9 9 6 66 5 3 9 6 6 0 1 9 3 5 5 0 0 1970-Jan. 42,846 1.019 219 800 12,682 11,870 383 429 28,410 27,879 531 735 685 50 Feb. 42,991 1,010 210 800 14,025 13,216 380 429 27,140 26,656 484 816 766 50 Mar.r. 42,972 1,010 210 800 14,767 13,958 380 429 26,390 25,914 476 805 755 50 Apr.r. 43,362 1,010 210 800 14,414 13,605 380 429 27,172 26,687 485 766 715 51 Mayr. 43,226 1,010 210 800 14,797 13,986 382 429 26,716 26,215 501 703 652 51 Juner. 43,382 1,010 210 800 15,306 14,480 397 429 26,386 25,850 536 680 628 52 July r . 43,513 1,010 210 800 16,602 15,756 417 429 25,143 24,601 542 758 705 53 Aug.r. 44,012 1,010 210 800 16,622 15,776 417 429 25,536 24,974 562 844 799 45 Sept.r. 44,220 587 187 400 17,778 16,932 417 429 25,092 24,525 567 763 717 46 Oct.r. 44,232 587 187 400 18,131 17,376 326 429 24,700 24,135 565 814 769 45 Nov... 44,493 579 179 400 19,961 19,206 326 429 23,168 22,582 586 785 738 47 Dec. 43,271 566 166 400 20,060 19,287 344 429 21,805 21,166 639 840 815 25 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 $19 million at the end of 1970, 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 8 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
MARCH 1971 Q 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 L pu 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 15,646 9,872 996 1,131 3,145 249 253 J 12,548 7,009 533 1,354 3,168 259 225 \ 12,481 7,001 532 1,354 3,122 248 224 1969 Dec.r........................................................................... 411,994 5,860 495 1,681 3,190 546 222 1970—Jan.r............................................................................ 12,682 6,291 600 1,745 3,318 533 195 Feb.r........................................................................... 14,025 7,251 662 1,896 3,331 702 183 14,767 7,394 590 2,094 3,780 705 204 Apr.r........................................................................... 14,414 6,942 733 2,101 3,668 725 245 Mayr........................................................................... 14,797 7,311 762 2,066 3,632 744 282 Juner........................................................................... 15,306 8,064 500 2,109 3,571 710 352 Julyr............................................................................ 16,602 9,569 527 2,102 3,331 691 382 Aug.r........................................................................... 16,622 9,674 690 1,987 3,189 692 390 Sept.r........................................................................... 17,778 11,171 620 1,738 3,254 661 334 Oct.r............................................................................ 18,131 11,589 575 1,767 3,336 526 338 Nov.............................................................................. 19,961 13,254 637 1,641 3,639 449 341 Dec.*........................................................................... 20,060 13,039 662 1,529 4,064 407 359 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 iabilities 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 all foreigners T a o n n d o r n e m gi o o n n e a t l a o ry rg i a n n t i e z r a n t a io ti n o s n 5 al Payable in dollars Deposits IMF End of period Total i Deposits Tr U ea .S su . ry Other f P o a r i e n y i a g b n le i m n g v o e e l n s d t t 4 Total b T il r U l e s a .S s a u . n r d y s O t h e t r o h m r e t r Total Demand Time 2 bi c l c l e s a r t t i e a f s i n d s l t i h e a o r b m r . t 3 re c n u c r i es Demand Time2 c c e a rt t i e f s i liab. 3 1968.............................. 31,717 31,081 14,387 5,484 6,797 4,413 636 800 683 68 113 394 108 1Q£Qfi r /40,040 39,611 20,430 6,834 5,015 7,332 429 800 609 57 83 244 224 (40,164 39,735 20,436 6,957 5,015 7,327 429 800 613 62 83 244 223 1970—Jan.'................. 41,234 40,792 20,083 6,976 5,938 7,795 442 800 685 71 102 252 259 Feb.r................. 41,438 41,012 18,880 7,245 6,602 8,285 426 800 766 80 115 317 255 Mar.r............... 41,427 41,025 18,004 7,238 7,228 8,555 402 800 755 86 131 330 207 Apr.r................ 41,807 41,445 18,724 7,021 7,164 8,536 362 800 715 92 128 237 258 May.r................ 41,653 41,302 18,139 7,287 7,564 8,312 351 800 652 70 132 226 224 Juner................ 41,758 41,420 18,091 7,269 8,159 7,901 338 800 628 83 119 194 232 Julyr................. 41,862 41,518 17,220 7,178 9,103 8,017 344 800 705 73 131 218 284 Aug.r................ 42,349 42,012 17,432 7,240 9,845 7,495 337 800 799 66 137 252 343 Sept.r................ 42,574 42,217 17,234 7,238 10,856 6,889 357 400 717 73 135 179 330 Oct,r................. 42,680 42,330 17,041 7,041 11,665 6,583 350 400 769 68 144 188 368 Nov................... 42,926 42,583 15,833 6,725 13,651 6,374 343 400 738 68 137 148 385 Dec.*................ 41,668 41,300 15,798 5,881 14,110 5,511 368 400 815 69 155 211 379 1971—Jan.*................. 42,076 41,698 14,762 5,626 14,440 6,870 378 400 1,012 115 151 273 473 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. □ MARCH 1971 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 institutions 7 Payable in dollars Payable in dollars Payable End of period 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 f u s . n i r d y s O l t i h e a t o r h b m r e . t 3 r f r o e c n r i u e c n i r i g e n s Total Dema D n e d posi T ts ime2 T bi c r c l U e e l a s r a . t t S s e i 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 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 1968....................... 30,234 14,320 5,371 5,602 4,304 636 11,318 2,149 1,899 5,486 1,321 463 / 38,631 20,372 6,751 3,971 7,109 429 11,054 1,918 2,951 3,844 2,139 202 1969.6r................. \ 38,751 20,373 6,874 3,971 7,104 429 11,056 1,919 2,951 3,844 2,140 202 1970—Jan.r........... 39,749 20,012 6,874 4,886 7,535 442 11,870 1,650 2,975 4,749 2,294 202 Feb.r.......... 39,872 18,800 7,130 5,485 8,031 426 13,216 1,664 3,263 5,381 2,706 202 Mar.r......... 39,872 17,918 7,107 6,098 8,348 402 13,958 1,448 3,412 5,989 2,907 202 Apr.r.......... 40,292 18,632 6,893 6,127 8,278 362 13,605 1,300 3,372 6,035 2,750 148 May r.......... 40,201 18,069 7,155 6,538 8,088 351 13,986 1,340 3,426 6,417 2,655 148 Juner.......... 40,330 18,008 7,150 7,166 7,668 338 14,480 1,421 3,475 7,020 2,416 148 July r........... 40,357 17,147 7,047 8,086 7,733 344 15,756 1,576 3,502 7,946 2,584 148 Aug.r.......... 40,750 17,366 7,103 8,793 7,151 337 15,776 1,249 3,612 8,653 2,114 148 Sept.r.......... 41,457 17,161 7,103 10,277 6,560 357 16,932 1,369 3,440 10,141 1,834 148 Oct.r.......... 41,511 16,972 6,897 11,077 6,215 350 17,376 1,444 3,178 10,919 1,687 148 Nov............. 41,788 15,764 6,588 13,103 5,989 343 19,206 1,367 2,846 12,967 1,878 148 Dec.*.......... 40,453 15,729 5,726 13,498 5,131 368 19,287 1,627 2,556 13,354 1,602 148 1971—Jan.*........... 40,664 14,647 5,475 13,768 6,396 378 19,723 1,741 2,487 13,609 1,738 148 To banks* To other foreigners To banks Payable in dollars and other foreigners: End of period Total payable in Total Dema D n e d p osi T ts ime2 T b c i r c l U e e l a s r a . t t s S e i a u f s . n i r d y s O l t i h e a t o r h b m r . e t 3 r Total Dema D n e d p osi 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 u f . s n i r d y s O l t i h e a t o r h b m r e . t 3 r f r o e c r n u e c r i i g e n s 1968............ 18,916 14,299 10,374 1,273 30 2,621 4,444 1,797 2,199 86 362 173 19696r........ 2 27 7 , , 6 5 9 7 5 7 2 2 3 3 , ,4 4 0 1 7 2 1 1 6 6 , , 7 7 4 4 5 4 1 1 . . 9 9 8 8 8 9 2 2 0 0 4 4 . , 6 6 5 5 8 4 4 3 , , 0 9 6 39 2 1 1 . . 7 7 0 1 9 0 1 1 , , 8 9 1 3 1 4 1 1 0 0 7 7 3 3 1 1 2 2 2 2 2 26 6 1970—Jan.r. 27,879 23,628 16,662 2,050 22 4,895 4,011 1,699 1,849 116 347 240 Feb.r 26,656 22,541 15,471 2,077 27 4,967 3,892 1,666 1,790 78 358 223 Mar.r 25,914 21,751 14,702 1,947 21 5,081 3,964 1,767 1,748 89 361 199 Apr.r 26,687 22,499 15,547 1,781 19 5,152 3,974 1,785 1,740 74 375 214 May r 26,215 22,025 15,020 1,951 20 5,035 3,988 1.710 1,779 102 398 202 Juner 25,850 21,564 14,817 1,851 26 4,871 4,096 1,770 1,824 120 383 190 Julyr. 24,601 20,434 13,909 1,733 24 4,768 3,971 1,662 1,812 116 381 196 Aug.r 24,974 20,839 14,432 1,726 23 4.658 3,946 1,685 1,764 116 380 189 Sept.r 24,525 20,400 14,139 1,893 23 4,345 3,917 1,653 1,770 114 380 208 Oct.r, 24,135 20,055 13,921 1,957 32 4,145 3,878 1,607 1,762 127 383 202 Nov.. 22,582 18,433 12,747 1,922 21 3,743 3,954 1,651 1,820 115 369 195 Dec.* 21,166 16,902 12,365 1,331 14 3,192 4,044 1,737 1,839 131 338 220 1971—Jan.*. 20,941 16,669 11,218 1,153 29 4,269 4,042 1,689 1,834 130 389 230 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
MARCH 1971 □ 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) 1969 1970 1971 Area and country Dec.r May r Juner July r Aug.r Sept.r Oct.r Nov. Dec.* Jan.* Europe: 314 265 265 274 287 273 263 236 185 204 530 511 526 582 581 614 742 709 596 760 153 165 167 189 189 195 193 187 189 196 120 141 130 134 140 137 134 139 116 117 France.................................................................. 1,581 1,858 1,915 2,030 2,282 2,286 2,311 2,417 2,267 2,354 1,381 2,770 3,455 4,241 4,505 5,439 5,977 7,543 7,520 7,795 207 185 179 198 199 204 212 198 184 162 627 647 911 902 839 909 1,104 1,162 1,317 1,579 463 408 382 469 631 626 800 748 762 584 341 241 216 272 309 287 315 291 324 317 309 263 257 272 272 275 251 250 274 299 202 224 228 325 416 391 299 234 198 205 Sweden................................................................. 412 353 410 429 431 389 378 449 503 519 2,005 2,249 2,266 2,192 2,032 2,015 1,985 1,914 1,952 1,936 28 24 25 27 28 34 34 37 46 53 United Kingdom................................................. 11,349 9,380 9,481 8,339 8,600 9,113 7,865 6,659 5,506 5,637 Yugoslavia........................................................... 37 40 32 35 27 33 31 49 37 36 Other Western Europe1..................................... 1,553 1,762 1,496 1,563 1,154 850 747 828 588 460 11 4 18 8 7 3 13 13 15 11 50 40 49 53 41 46 43 48 53 63 Total............................................................. 21,674 21,530 22,408 22,534 22,971 24,118 23,694 24,112 22,633 23,284 Canada......................................................................... 4,012 4,113 3,421 3,646 3,827 3,787 4,529 4,213 4,016 3,621 Latin America: Argentina................................................................. 416 525 535 588 581 533 605 560 539 508 425 518 555 544 427 398 419 353 305 344 Chile......................................................................... 400 447 458 444 429 325 359 327 265 256 Colombia.............................................................. 261 308 302 275 294 282 258 244 247 231 Cuba......................................................................... 7 7 7 6 7 7 6 7 7 7 Mexico..................................................................... 849 882 859 896 915 846 780 876 820 828 Panama................................................................ 140 170 168 169 170 177 174 178 162 168 Peru.......................................................................... 240 233 242 210 208 221 213 213 225 186 111 121 122 113 108 107 104 108 117 125 Venezuela............................................................. 691 675 682 637 651 630 643 652 741 672 576 651 661 651 635 631 618 604 611 616 Bahamas and Bermuda...................................... 1,405 1,609 1,505 1,306 1,189 1,015 761 806 733 785 Netherlands Antilles and Surinam......................... 80 93 95 84 88 95 91 96 98 92 Other Latin America.............................................. 34 36 39 44 40 34 39 42 42 37 Total................................................................. 5,636 6,274 6,231 5,967 5,740 5,300 5,065 5,064 4,911 4,856 Asia: China Mainland...................................................... 36 41 43 41 41 41 38 35 32 36 Hong Kong.............................................................. 213 223 225 226 245 235 250 274 258 305 India......................................................................... 260 354 356 363 356 366 401 426 302 236 Indonesia.................................................................. 86 79 68 59 61 53 50 85 73 60 Israel......................................................................... 146 172 147 131 115 121 118 107 135 121 Japan....................................................................... 3,809 4,044 4,018 3,942 3,996 4,149 4,274 4,557 5,147 5,166 Korea....................................................................... 236 291 289 307 280 263 195 185 199 193 Philippines............................................................... 201 264 261 264 275 242 282 279 296 294 196 226 262 260 212 228 247 260 275 292 Thailand................................................................... 628 643 627 603 591 585 549 511 508 489 Other........................................................................ 606 679 714 745 779 768 727 680 718 722 Total................................................................. 6,417 7,016 7,011 6,941 6,951 7,052 7,133 7,401 7,495 7,913 Africa: Congo (Kinshasa).................................................... 87 71 52 50 30 18 17 17 14 16 Morocco................................................................... 21 47 43 33 21 14 14 10 11 7 South Africa............................................................ 66 50 45 47 49 47 53 55 83 71 U.A.R. (Egypt)........................................................ 23 24 22 24 19 19 19 20 17 16 Other........................................................................ 505 716 683 664 685 678 567 471 395 469 Total................................................................. 701 908 845 817 803 777 669 574 520 580 Other countries: Australia.................................................................. 282 329 383 418 428 389 390 392 389 376 All other................................................................... 29 30 32 33 31 34 31 33 39 34 311 359 414 451 459 423 421 425 428 410 Total foreign countries............................................... 38,751 40,201 40,330 40,357 40,750 41,457 41,511 41,788 40,453 40,664 International and regional: International2.......................................................... 1,261 1,223 1,194 1,250 1,330 848 881 873 975 1,175 Latin American regional......................................... 100 127 131 143 150 145 175 152 129 150 Other regional*........................................................ 52 102 103 112 119 124 113 113 111 87 Total................................................................. 1,413 1,452 1,428 1,505 1,599 1,117 1,169 1,138 1,215 1,412 40,164 41,653Gj ra4n1d,7 t5o8tal..4..1..,.8..6..2.......4..2..,.3..4..9........4..2..,.5..7..4.......4..2.,680 42,926 41,668 42,076 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. □ MARCH 1971 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 Dec. Apr. Dec. Apr. Dec. Dec. Apr. Dec. Apr. Dec. Other Western Europe; Other Asia—Cont.: Cyprus.............................................. 8 2 11 15 Jordan.......................................... 3 4 17 30 Iceland.............................................. 6 4 9 10 10 Kuwait.......................................... 67 40 46 66 24 20 38 32 41 Laos.............................................. 3 4 3 4 5 Lebanon....................................... 78 82 83 82 54 Other Latin American republics: Malaysia...................................... 52 41 30 48 22 Bolivia 66 65 68 76 69 60 24 35 34 38 Costa Rica........................................ 51 61 52 43 41 Ryukyu Islands (incl. Okinawa). 17 20 25 26 69 59 78 96 99 Saudi Arabia............................... 29 48 106 166 106” Ecuador 66 62 76 72 79 Singapore..................................... 67 40 17 25 57 i-i’t 82 89 69 79 75 2 4 4 6 7 86 90 84 110 100 Vietnam........................................ 51 40 94 91 179 Haiti.................................................. 17 18 17 19 16 Honduras.......................................... 33 37 29 29 34 Other Africa: Tam si ir* si 42 29 17 17 19 8 6 14 13 17 Nicaragua 67 78 63 76 59 Ethiopia (incl. Eritrea)................ 13 15 20 33 19 Pq ro mijjv 16 18 13 17 16 3 8 10 7 8 JCr TrtKottA 10 3 g 11 10 29 34 43 47 38 Liberia.......................................... 25 28 23 41 22 Libya............................................ 69 68 288 430 195 Other Latin America: Nigeria.......................................... 20 10 11 11 British West Indies........................... 25 25 30 38 33 1 2 z 2 1 Sudan............................................ 5 3 3 1 1 Other Asia: 21 23 10 18 Afghanistan...................................... 6 8 16 15 Tunisia.......................................... 7 2 6 7 7 Burma............................................... 5 5 2 5 4 Uganda........................................ 6 9 5 7 8 Cambodia......................................... 2 2 1 1 2 Zambia......................................... 25 19 20 38 10 Ceylon............................................... 4 5 3 4 4 Iran.................................................... 41 44 35 41 32 All other: Iraq.................................................... 86 77 26 6 New Zealand............................... 17 20 16 18 25 1 Includes Bank for International Settlements and European Fund. 3 Asian, African, and European regional organizations, except BIS and 2 Data exclude “holdings of dollars” of the International Monetary European Fund, which are included in “Europe.” Fund but include IMF gold investment. 4 Represent a partial breakdown of the amounts shown in the “other” categories (except “Other Eastern 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 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 t e 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 l t e l r r ies 196 7 2,560 698 1,863 1,807 15 40 251 234 126 443 218 502 89 196 8 3,166 111 2,389 2,341 8 40 284 257 241 658 201 651 97 1969r........... 2,490 889 1,601 1,505 55 41 64 175 41 655 70 472 124 1970—Jan.r. 2.340 877 1,463 1,372 55 37 25 166 6 657 47 443 119 Feb. »*. 2.341 872 1,470 1,375 59 36 25 190 6 657 54 414 122 Mar.r 2,343 891 1,452 1,351 62 40 25 202 6 636 49 403 131 Apr.r. 2,274 845 1,429 1,318 64 46 25 210 6 636 49 376 127 Mayr. 2,212 857 1,355 1,241 64 50 25 217 6 619 28 328 132 June 1 2,128 848 1,280 1,116 116 48 25 216 6 576 28 242 187 July r 2,034 827 1,208 1,036 118 54 25 198 7 523 28 237 191 Aug.r 1,937 839 1,097 928 118 51 25 145 7 499 22 204 194 Sept.r 1,917 863 1,054 883 119 53 25 147 7 477 11 190 197 Oct.r. 1,837 845 992 821 119 52 25 147 7 466 9 141 196 Nov.. 1,728 809 919 749 118 52 13 143 7 416 8 138 193 Dec.®, 1,696 784 913 699 160 54 13 138 6 385 124 237 1971—Jan.*. 1,583 732 851 635 157 60 13 144 340 107 233 i Excludes central banks, which are included with “Official institutions.” Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 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) 1969 1970 1971 Area and country Dec. Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov. Dec.* Jan.* Europe: Denmark...................... 9 9 6 6 6 6 6 6 6 5 5 3 3 France........................... 6 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................... 42 42 46 46 46 45 45 44 47 49 49 49 49 48 United Kingdom.......... 407 407 358 350 359 369 396 401 411 423 424 447 499 546 Other Western Europe. 24 24 24 24 24 24 24 24 24 24 24 24 24 24 Eastern Europe............ 7 7 7 7 7 7 7 7 7 7 7 6 6 6 Total. 538 539 491 483 492 501 529 532 545 560 559 582 632 677 Canada................................. 272 271 270 271 271 279 286 287 294 284 191 190 192 192 Latin America: Latin American republics., 2 Neth. Antilles & Surinam 12 Other Latin America........ 4 Total. 15 17 15 15 15 15 16 17 17 18 18 18 18 Asia: Japan......... 61 61 61 61 Other Asia. 19 19 19 38 Total................. 79 79 80 80 80 81 81 81 81 80 80 80 99 99 Other countries............ 7 7 7 7 7 7 22 42 42 42 42 42 42 42 Total foreign countries. 912 914 864 856 865 883 933 959 979 984 891 912 983 1,028 International and regional: International.................... * * Latin American regional. 24 25 Asian regional................. Total............ 50 50 50 50 51 51 52 53 45 45 46 46 24 25 Grand total. 962 964 914 906 916 934 985 1,012 1,024 1,030 936 959 1,008 1,052 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 g B iu e m l C ad a a n 1 m De a n rk Italy 2 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 e S r w la i n tz d 196 8 3,330 1,692 32 1,334 20 146 15 25 20 100 1,638 50 1,051 226 311 196 9 >3,181 1.431 32 1.129 135 15 20 100 4 1,750 4 1,084 125 541 1970—Feb.. 2,513 1.431 32 1.129 135 15 20 100 1.083 542 541 Mar. 2,799 1,717 32 1,429 121 15 20 100 1.083 542 541 Apr. 2,897 1,814 32 1,529 118 15 20 100 1.083 542 541 May 3,096 2,013 32 1,729 117 15 20 100 1.083 542 541 June 3,511 2,428 32 2.229 32 15 20 100 1.083 542 541 July. 3.508 2.425 32 2.229 29 15 20 100 1.083 542 541 Aug. 3.508 2.425 32 2.229 29 15 20 100 1.083 542 541 Sept 3.508 2.425 32 2.229 29 15 20 100 1.083 542 541 Oct.. 3,567 2,484 32 2.289 28 15 20 100 1.083 542 541 Nov. 3,564 2,481 32 2.289 25 15 20 100 1.083 542 541 Dec. 3.563 2.480 32 2.289 25 15 20 100 1.083 542 541 1971— Jan. 3.563 2.480 32 2.289 25 15 20 100 1.083 542 541 Feb. 3.563 2.480 32 2.289 25 15 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; Nov. 1968 through June 1968. The revaluation of the German mark in Oct. 1969 increased Sept. 1969, $84 million; Oct. 1969 through Sept. 1970, $54 million; and the dollar value of these notes by $10 million. Oct. 1970 through latest date, $24 million. 4 Includes an increase in dollar value of $101 million resulting from 2 Bonds issued to the Government of Italy in connection with mili revaluation of the German mark in Oct. 1969. tary purchases in the United States. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 82 INTL. CAPITAL TRANSACTIONS OF THE U.S. □ MARCH 1971 13. SHORT-TERM CLAIMS ON FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES, BY COUNTRY (End of period. Amounts outstanding; in millions of dollars) 1969 1970 1971 Area and country Dec.r May r Juner Julyr Aug.r Sept.r Oct.r Nov.* Dec.* Jan.* Europe: 7 5 6 13 7 4 5 8 6 4 Belgium-Luxembourg............................................ 56 67 64 53 52 70 68 71 50 69 Denmark................................................................. 40 29 33 28 36 34 36 37 40 46 68 61 63 65 63 63 56 55 66 103 107 100 82 83 75 104 78 105 113 95 Germany................................................................. 205 146 152 125 169 181 182 184 184 142 22 22 22 25 27 28 27 25 26 21 Italy......................................................................... 120 103 100 87 90 102 106 92 101 92 Netherlands............................................................. 51 86 53 49 46 67 52 57 61 74 34 35 33 31 30 33 40 48 54 61 Portugal................................................................... 8 13 12 12 8 10 16 13 11 12 70 96 102 52 51 59 58 54 54 49 67 92 112 113 103 112 123 110 97 102 Switzerland.............................................................. 99 91 115 109 123 100 115 98 100 121 Turkey..................................................................... 19 31 16 17 10 6 4 4 9 3 United Kingdom.................................................... 408 329 403 403 340 386 378 430 379 409 28 34 30 32 33 36 42 41 35 35 9 10 8 7 6 7 8 12 22 18 2 2 2 1 2 3 3 1 3 2 34 46 41 45 43 40 43 41 36 29 1,454 1,397 1,449 1,350 1,315 1,446 1,437 1,487 1,450 1,486 Canada......................................................................... 826 765 816 730 751 806 860 865 1,061 866 Latin America: Argentina................................................................. 309 280 311 306 297 306 303 306 324 326 317 303 305 299 296 316 323 322 322 309 Chile......................................................................... 188 218 213 210 210 205 199 189 199 186 Colombia................................................................. 225 252 249 250 256 265 267 272 284 288 14 14 14 14 14 14 14 13 14 13 Mexico..................................................................... 803 899 911 901 889 900 906 934 902 910 Panama.................................................................... 68 67 63 68 68 83 94 84 95 93 Peru......................................................................... 161 162 172 156 142 132 136 141 147 143 Uruguay................................................................... 48 54 52 57 53 57 54 55 63 56 Venezuela................................................................. 240 264 253 248 251 267 284 284 281 276 Other Latin American republics............................ 295 287 298 295 294 285 298 321 340 333 Bahamas and Bermuda........................................... 93 63 65 56 60 74 129 101 152 152 Netherlands Antilles and Surinam......................... 14 15 18 16 17 18 14 14 19 19 Other Latin America.............................................. 27 23 21 23 20 22 20 22 22 22 Total................................................................. 2,802 2,901 2,946 2,900 2,867 2,943 3,041 3,058 3,163 3,129 Asia: China Mainland...................................................... 1 1 1 1 1 1 2 1 2 1 Hong Kong.............................................................. 36 44 46 41 35 46 36 36 39 40 India......................................................................... 10 12 11 12 11 10 12 12 13 16 Indonesia................................................................. 30 48 52 36 42 46 41 54 56 49 Israel........................................................................ 108 94 93 90 80 82 105 110 120 99 Japan........................................................................ 3,432 3,470 3,513 3,484 3,387 3,331 3,370 3,538 3,890 3,675 Korea....................................................................... 158 216 215 222 228 227 218 197 196 196 Philippines............................................................... 215 278 268 269 209 215 134 129 137 135 Taiwan..................................................................... 49 69 79 82 81 81 82 82 95 101 Thailand................................................................... 101 98 100 96 106 108 100 97 109 106 Other........................................................................ 212 179 184 180 165 157 160 164 157 167 Total................................................................. 4,352 4,511 4,561 4,511 4,345 4,304 4,262 4,420 4,814 4,585 Africa: Congo (Kinshasa)................................................... 6 5 5 5 4 6 4 5 4 7 Morocco.................................................................. 3 4 4 4 6 5 6 4 6 6 South Africa............................................................ 55 58 66 69 68 72 72 76 77 83 U.A.R. (Egypt)........................................................ 11 17 15 15 14 13 12 10 13 16 Other........................................................................ 86 62 68 65 65 63 63 72 79 78 Total................................................................. 162 145 158 157 157 159 157 166 180 190 Other countries: Australia.................................................................. 53 62 62 63 66 60 59 59 64 70 All other................................................................... 16 22 18 15 16 17 15 16 16 17 Total................................................................. 69 84 80 78 82 77 75 75 80 87 Total foreign countries.............................................. 9,664 9,803 10,009 9,726 9,516 9,735 9,831 10,071 10,748 10,343 International and regional.......................................... 2 2 1 1 2 2 1 2 3 2 Grand total...................................................... 9,667 9,806 10,010 9,727 9,517 9,737 9,832 10,073 10,751 10,345 Note.—Short-term claims are principally the following items payable their own account or for account of their customers in the United States; on demand or with a contractual maturity of not more than 1 year: loans and foreign currency balances held abroad by banks and bankers and made to, and acceptances made for, foreigners; drafts drawn against their customers in the United States. Excludes foreign currencies held foreigners, where collection is being made by banks and bankers for by U.S. monetary authorities. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 □ 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 Foreign End of period Total Total Total O in t f i s o f t i i n c t i s u a l Banks1 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 r o i s t r s g c a o n u c n o v a r d i n m t t , i c e f l s e i . s e , Other paper 1968............. 8,711 8,261 3,165 1,697 1,221 1,733 2,854 509 450 336 40 73 |9,578 9,063 3,281 262 1,946 1.073 1,954 3,169 658 518 352 84 79 19692r.......... \9,667 9,151 3,278 262 1,943 1.073 2,015 3,202 656 516 352 89 74 1970—Jan.r. 9,373 8,873 3,260 257 1,986 1,018 2,039 3,019 556 500 345 85 70 Feb.r, 9,278 8,817 3,207 265 1,914 1,029 2,060 2,987 563 461 320 67 73 Mar.r 9,414 8,999 3,290 294 1,922 1.074 2,157 3,044 508 415 300 50 65 Apr.r 9,518 9,040 3,116 335 1,734 1,047 2,241 3,223 459 478 342 76 60 May r 9,806 9,308 3,193 315 1,825 1,053 2,312 3,244 559 498 338 93 66 Juner 10,010 9,543 3,316 305 1,932 1,079 2,344 3,287 595 467 314 83 69 July r. 9,727 9,306 3,191 256 1,873 1,063 2,350 3,234 531 421 296 66 59 Aug.r 9,517 9,054 2,975 178 1,711 1,087 2,354 3,171 553 463 354 50 59 Sept.1 9,737 9,257 3,231 186 1,936 1,109 2,381 3,056 589 479 366 40 74 Oct.r 9,832 9,317 3,129 109 1,897 1,123 2,438 3,158 593 515 366 67 83 Nov.. 10,073 9,518 3,132 95 1,894 1,143 2,429 3,330 627 555 354 112 89 Dec.* 10,751 10,100 3,040 119 1,709 1,212 2,415 3,966 680 651 393 90 168 1971—Jan.®. 10,345 9,827 2,849 110 1,561 1,178 2,396 3,950 632 518 319 79 120 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 End of Payable period Total Loans to— O lo t n h g e r c fo u r r i e r n i e g n n 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 ri r es Official Other term cies Total institu Banks1 foreign claims tions ers 1968. 3,567 3,158 528 237 2,393 394 16 68 428 1,375 122 617 479 1969. 3,250 2,806 502 209 2,096 426 18 67 411 408 1,329 568 378 1970—Jan.. . 3,187 2.736 461 212 2.063 421 29 67 403 406 1,307 90 558 356 Feb... 3,161 2,727 476 205 2.046 402 33 63 401 416 1,298 86 546 351 Mar... 3,226 2,796 519 211 2,067 398 31 68 419 406 1,337 87 559 349 Apr... 3,248 2,815 508 220 2,087 401 32 74 413 420 1,363 89 546 343 May.. 3,232 2,822 511 211 2,100 380 30 67 426 427 1,348 89 530 345 June.. 3,165 2,776 486 209 2,080 362 27 67 425 416 1.328 92 517 319 July r. 3,115 2,733 473 215 2,044 354 29 69 396 417 1,324 100 502 307 Aug.r. 3,118 2,707 458 225 2,023 383 29 64 398 411 1,312 106 515 312 Sept.r. 3,142 2.737 447 244 2.046 377 28 65 395 416 1.345 108 499 314 Oct.. r 3,216 2,827 518 256 2,053 359 30 67 407 409 1.329 109 582 313 Nov... 3,199 2,809 498 247 2.064 364 26 66 387 398 1.345 113 582 307 Dec.®. 3,049 2,680 488 230 1,963 343 25 69 412 312 1,301 115 548 291 1971—Jan.®... 2,936 2,585 468 208 1,909 327 24 70 412 278 1,255 117 523 280 i 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. a MARCH 1971 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 1 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 p e s s u o r r c P ha u s r e s Sales c N ha s e a s t e l p e s s u o r r c P ha u s r e s Sales N ch e a s t a s e le p s s u o r r regional Total Official Other 1968............. -489 -161 -328 -380 51 17,563 13,329 4,234 2,306 3,686 -1,380 1,252 1,566 -314 1969............. -4 11 -15 -79 64 15,476 12,795 2,681 1,552 2,578 -1,026 1,519 2,037 -517 1970*........... 46 -25 71 -39 110 11,399 9,849 1,550 1,487 2,415 -929 1,033 995 38 1970—Jan.r. 2 2 2 917 905 12 113 194 -81 151 74 77 Feb... -50 -50 -47 1,029 950 79 109 265 -156 100 77 23 Mar.. -8 -8 -8 1,108 989 120 168 268 -101 101 115 -13 Apr... 10 9 9 1,010 850 160 143 186 -42 80 104 -24 May.. 18 18 2 16 769 930 -161 116 70 47 109 90 18 Juner. 51 50 15 35 858 783 76 113 97 16 74 60 15 Julyr. 27 1 26 20 6 783 650 133 126 263 -136 62 58 4 Aug.1 13 -8 21 21 656 514 142 143 380 -237 60 45 15 Sept.r 5 5 5 1,034 703 330 110 93 17 76 90 -14 Oct.. , -93 -94 -3 1,177 938 239 109 255 -146 71 120 -50 Nov.. 23 1 22 22 754 609 145 97 87 10 65 76 -11 Dec.* 49 -22 71 18 53 1,303 1,030 274 140 258 -118 83 86 -3 1971—Jan.*. 44 45 45 1,242 1,022 220 116 428 -312 90 95 -5 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 196 8 2,270 201 169 298 822 -28 130 1,592 386 151 124 12 196 9 1,487 150 216 189 490 -245 295 1,094 125 136 90 36 1970*............ 623 58 195 128 110 -33 24 482 -9 44 85 22 1970—Jan... -43 1 11 -5 -24 5 -20 -31 -39 24 3 Feb... -13 9 16 6 19 -3 -14 32 -25 -24 3 1 Mar.. -41 -13 11 -8 -26 22 -19 -33 -30 12 6 4 Apr... 4 -8 20 -23 12 -15 5 -10 25 -18 6 1 May.. -200 1 -2 33 -46 -102 -32 -149 -30 -26 3 1 June.. 63 6 3 18 23 -23 14 41 8 -2 15 * July. . 52 16 18 16 13 -14 9 58 -16 3 6 1 Aug.. 104 7 18 16 40 20 11 113 -6 -9 4 2 Sept.. 225 -4 36 37 49 29 6 154 26 20 22 2 Oct... 158 -3 23 13 -1 32 21 85 31 30 13 -1 Nov.. 98 7 13 18 11 3 31 84 6 1 * 7 Dec.* 216 39 27 39 14 11 137 40 32 4 3 1971—Jan.*. 130 -13 27 14 26 46 107 11 -3 12 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 □ 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..................... 1,195 97 200 14 169 251 83 815 32 14 -11 -1 10 336 1970*................... 927 35 48 37 134 112 91 458 128 23 28 1 -12 302 1970—Jan............ 56 7 5 1 15 14 2 43 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........... 156 7 4 16 32 10 7 76 7 6 1 * * 65 May.......... 40 3 * * 14 -14 5 9 2 2 2 * -1 26 June.......... 13 4 -6 * 4 -12 3 -8 13 2 10 -6 3 July.......... 81 4 -2 -1 23 36 8 68 6 5 1 * -1 1 Aug.......... 38 -1 -3 * -1 -1 1 -4 21 2 * * -2 21 Sept.r. .. . 106 1 25 * 3 -1 2 31 16 -7 1 * * 64 Oct............ 81 -1 * 1 8 -8 43 43 14 1 6 * -2 19 Nov.......... 47 2 1 * 3 1 4 13 17 2 3 * * 13 Dec.®....... 58 2 7 -3 9 22 18 56 1 1 3 * 1 -3 1971—Jan.*........ 89 * -6 * 15 2 * 12 28 -4 * * * 52 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 Period Total I a r n n e t d l. c e f o o i u g r n n r E o u p e C a a d n a A L i a m c t a i e n r Asia r A ic f a c O t o r t i u h e n e s r E pe n r d i o o d f fo b ( r a d e l u i a g e n n c t e e o r s s ) f ( o b d r a u e l e i a g n f n r c e o e r m s s ) gional tries 1966...................................... 175 128 196 8 -1,694 -329 -1,366 7 -945 -300 -96 6 1967...................................... 311 298 196 9 -1,544 66 -1,610 74 -1,128 -98 -471 20 1970*.......... -891 -257 -634 50 -564 -9 -125 20 468 398 636 508 1970—Jan.r. -4 -2 -2 10 -11 -9 5 2 Feb.. -133 -38 -95 33 -110 -5 -13 2 553 393 Mar.. -114 22 -136 36 -154 5 -23 1 566 397 Apr.. -66 9 -75 17 -82 -2 -9 1 467 297 May. 65 11 54 -1 42 3 8 2 434 278 June r 30 5 25 1 39 -1 -15 1 July ' -132 -38 -94 9 -78 -23 -1 * 368 220 Aug.r -222 -158 -64 4 -127 56 2 1 334 182 Sept.. 3 16 -13 5 22 -30 -12 2 291 203 Oct.. . -196 -91 -105 -33 -51 4 -27 2 Dec.®........................ 349 279 Nov.. -1 3 -4 -10 15 -2 -9 1 Dec.* -120 4 -125 -22 -69 -5 -31 4 Note.—Data represent the money credit balances and 1971—Jan.*. -317 -197 -120 -84 -10 -30 money debit balances appearing on the books of reporting 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. n MARCH 1971 21. LIABILITIES OF U.S. BANKS TO THEIR FOREIGN BRANCHES 22. MATURITY OF EURO DOLLAR AND FOREIGN BRANCH HOLDINGS OF SPECIAL EXPORT-IMPORT DEPOSITS IN FOREIGN BANK SECURITIES BRANCHES OF U.S. BANKS (Amounts outstanding; in millions of dollars) (End of month; in billions of dollars) Wednesday Amount Wednesday Amount Wednesday Amount 1970 Maturity of liability 1966 1969 1970—Cont.r Oct. Nov. Dec. Jan. 29............... 8,545 Aug. 19................ 10,319 J S D M u e e n a p c r e t . . . 2 2 2 3 9 8 0 8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 . . . . . . . 9 . . . . . 6 . . . . . . . . 7 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 3 4 , , , , 9 8 4 0 5 7 7 3 1 9 2 6 J J A M A M F u u e u p l n a a b y g r y r e . . . . 2 2 2 2 2 3 3 7 5 6 6 8 0 0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 1 9 9 8 4 4 3 9 , , , , , , , 3 8 8 6 4 2 6 9 6 2 5 3 6 2 9 8 8 2 4 9 1 Sept. 2 2 3 1 2 3 0 6 . 6 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 1 1 1 9 0 0 0 0 0 , , , , , , 6 1 5 3 2 6 6 2 3 2 2 2 3 2 6 0 5 9 O C O a t v i d m h n l e a l e o r . 1 t r . n e n . f s l . i : o t i t . g h . . a l . . h l b . . s o . . t i . . w . l . . . . . i . . . t i a . . . i n . . . e f . . . g . . . t s . . . e , . . . . . . r m . . . c . . . . . . a . . . a . . . l r . . . t e . . . e u . . . n . p . . r . . . d i . . . o n . . . a . . . r g . . . r t . . . . . . 2 8 1 . . . 2 1 4 3 7 7 2 9 1 . . . 0 0 3 7 7 0 1 1 1 0 . . . 3 7 6 8 7 9 Sept. 24............... 14,349 Oct. 7................ 9,830 2nd............................. 5.09 5.32 4.46 J S M u e n a p r e t . . 2 2 2 7 9 8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 3 4 , , , 1 4 0 6 1 5 6 2 9 N D Oc e o t c v . . . 2 2 3 6 9 1 . . . . . .. . . . . . . . . . . . . . .. . . . . .. . . . . . . . . . . . . . . . . .. 1 1 1 3 4 2 , , , 6 5 8 4 7 0 8 4 5 2 2 1 1 8 4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 9 9, , , 5 2 58 9 9 5 9 7 5 4 3 t r t h h d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 1 1 . . . 9 4 3 9 8 2 3 1 1 . . . 2 5 3 3 8 9 3 1 1 . . . 7 3 5 5 3 7 Dec. 27......................4,241 1970r Nov. 4................ 9,024 6 7 t t h h . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 . . 2 3 9 0 1. .3 29 4 1. . 4 26 6 Jan. 28................ 13,605 11................ 8,892 8th.............................. .30 .25 .19 1968 F M e a b r . . 2 2 5 5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 1 3 , , 8 0 8 8 5 6 2 1 5 8 . . . . . . . . . . . .. .. . . . . . . . . .. .. .. .. 8 8 , , 7 4 6 35 6 1 9 0 t t h h . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 15 4 . . 1 1 4 8 . . 1 1 4 6 Apr. 29................ 11,944 Dec. 2................ 8,252 11th.............................. .14 . 15 .20 Jan. 31......................4,259 9................ 8,215 12th.............................. . 13 .21 .20 Feb. 28......................4,530 May 27................ 12,346 1 6 8,305 Maturities of more than 1 Mar. 27......................4,920 June 3................ 11,955 2 3 7,902 .52 .60 .53 Apr. 24......................5,020 10................ 11,898 30............... 7,676 J M un ay e 2 2 6 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 5, ,2 8 0 7 2 2 2 1 4 7 . . . . . .. . . . . .. . . . . .. . . . . .. . . . . .. . 1 1 2 2 , , 1 0 7 3 2 5 1971 Total.......................... 26.81 27.11 28.10 Jan. 6................ 7,438 J S A u e u l p y g t . . 2 2 3 8 5 1. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 6 7 , , , 1 0 1 2 0 0 6 4 4 July 2 1 8 2 1 5. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 1 1 1 1 1 1 , , , , 5 4 4 2 1 0 9 3 7 7 8 5 2 2 1 0 3 . . 7 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . r7 7 7 , , , 5 8 8 3 2 6 5 3 1 d th e e p N o B o s t i a t e h s . a — a m n I a d n s c d l a u ir n d e d e c s t o b i f o n r a t r e l o l r e w o s i t t n - h b g e e s r a o r f i o f n r a g e l i l g U b n r . a S b n . r c a h d n e o c s h l l e a in s r Oct. 30......................7,041 29................ 10,469 Feb. 3................ 7,432 for which such deposits and direct borrowings Nov. 27......................7,170 1 0 7,234 amount to $50 million or more. Dec. 25......................6,948 Aug. 5................ 10,337 1 7 6,871 Details may not add to totals due to rounding. Dec. 31 (1/1/69)... 6,039 12................ 10,283 2 4 6,667 Note.—The data represent gross liabilities of reporting banks to their branches in for eign countries, plus $1,000 million of Export-Import bank securities held by foreign branches beginning Jan. 27, 1971. For back data see May 1968 Eulletin, p. 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 ments 1 1968.............. 216 9,120 13,066 1969.............. 134 7,030 12,311 1,163 852 133 128 49 621 309 1970—Feb.. . 313 8,219 12,268 1968................... 1,638 1,219 87 272 60 979 280 Mar... 200 9,118 12,270 Apr.. . 204 9,154 12,272 1 Q£G 2 /1,319 952 116 174 76 610 469 May. . 128 9,754 12,239 \1,443 1,024 161 183 86 663 519 June.. 168 10,888 12,240 July... 199 11,803 12,217 1970—J a n ... 1,579 1,171 183 148 76 916 447 Aug... 173 12,489 12,283 Feb.r___ 1,572 1,156 193 144 80 951 372 Sept... 136 13,983 12,611 Mar. r. .. 1,442 1,046 186 147 63 863 302 Oct.... 142 14,458 12,617 Apr.r.... 1,437 1,052 178 142 66 892 270 Nov... 136 16,196 12,644 May r.... 1,458 1,010 200 138 109 837 331 Dec... 148 16,226 12,926 Juner.... 1,475 1,040 174 148 112 754 359 July r----- 1,422 1,008 181 159 74 752 309 1971—Jan.... 129 16,206 12,958 Aug.r---- 1,275 867 164 151 94 662 297 Feb... 147 18,033 12,981 Sept.r ... 1,374 888 183 177 126 668 382 Oct.r___ 1,454 941 177 177 159 641 477 Nov.r . . . 1,487 975 171 175 166 628 524 1 U.S. Treasury bills, certificates of indebtedness, Dec......... 1,065 641 133 170 121 363 440 notes, and bonds; includes securities payable in foreign currencies. 1 Negotiable and other readily transferable foreign obligations payable on demand he N ld o f t o e r .— in E t x e c rn lu a d ti e o s n a d l e p a o n s d i ts r e a g n io d n a U l . o S r . ga G n o iz v a t, t io s n e s c . u r E it a ie r 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 marked gold is gold held for foreign and international 2 Data on the two lines for this date differ because of changes in reporting coverage. accounts and is not included in the gold stock of the Figures on the first line are comparable in coverage with those shown for the preceding United States. 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
MARCH 1971 a 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 1969 r 1970r 1969 r 1970r Dec. Mar. June Sept.® Dec. Mar. June Sept.® Europe: Austria......................................................................... 4 3 4 6 5 7 8 6 Belgium-Luxembourg................................................. 65 72 71 66 59 60 58 54 Denmark...................................................................... 3 3 3 3 16 16 17 16 Finland........................................................................ 2 1 1 1 7 8 8 13 137 127 156 139 122 155 176 154 Germany, Fed, Rep. of.............................................. 218 193 164 169 219 172 174 195 Greece......................................................................... 4 3 3 3 19 19 27 28 Italy............................................................................. 85 83 85 70 155 169 173 160 Netherlands................................................................. 90 110 116 121 64 72 72 62 Norway....................................................................... 4 5 5 6 17 12 13 13 Portugal....................................................................... 10 6 5 10 10 14 18 14 Spain........................................................................... 59 55 47 48 77 78 72 73 Sweden......................................................................... 38 29 31 35 32 27 27 25 Switzerland.................................................................. 129 157 157 183 45 47 37 45 Turkey......................................................................... 3 2 2 3 12 12 11 13 United Kingdom........................................................ 430 556 635 640 999 1,198 1,081 1,010 Yugoslavia.................................................................. 1 2 1 1 18 19 15 17 Other Western Europe............................................... 21 19 21 21 12 11 12 9 Eastern Europe........................................................... 1 2 3 5 22 17 20 25 Total.................................................................... 1,304 1,428 1,509 1,531 1,909 2,111 2,020 1,935 Canada............................................................................ 226 204 204 213 821 638 685 697 Latin America Argentina.................................................................... 9 11 15 10 54 55 62 61 Brazil........................................................................... 18 13 14 17 86 97 100 107 Chile............................................................................. 12 10 11 13 41 42 37 42 Colombia..................................................................... 7 6 5 6 33 36 37 37 Cuba............................................................................ * * * * 1 1 1 1 Mexico......................................................................... 17 24 21 28 151 149 141 154 Panama....................................................................... 4 8 5 5 19 19 19 18 Peru............................................................................. 12 10 6 6 30 34 37 29 Uruguay...................................................................... 5 5 5 5 7 8 6 5 Venezuela.................................................................... 25 23 28 24 58 69 65 72 Other L.A. republics.................................................. 43 27 28 35 90 92 102 98 Bahamas and Bermuda.............................................. 31 46 57 89 65 83 158 139 Neth. Antilles and Surinam....................................... 2 4 38 24 6 7 8 10 Other Latin America.................................................. 4 5 6 5 17 25 20 23 Total.................................................................... 190 190 240 267 658 718 791 795 Asia: Hong Kong................................................................. 8 7 8 9 11 13 17 19 20 27 37 41 37 36 41 42 Indonesia..................................................................... 5 5 7 7 12 11 17 14 Israel............................................................................ 14 15 17 21 36 34 23 21 Japan........................................................................... 144 133 114 136 255 296 310 312 Korea........................................................................... 2 1 2 1 28 27 50 29 Philippines................................................................... 9 6 7 7 38 32 33 31 Taiwan......................................................................... 3 4 4 9 19 23 29 27 Thailand...................................................................... 3 3 3 4 15 15 15 13 Other Asia................................................................... 27 26 28 47 119 113 126 145 Total.................................................................... 235 228 228 283 570 601 660 653 Africa: Congo (Kinshasa)....................................................... 2 3 14 15 4 4 5 4 South Africa................................................................ 14 19 19 24 30 28 35 29 U.A.R. (Egypt)........................................................... 7 1 2 2 9 9 10 11 Other Africa................................................................ 29 33 37 51 46 47 49 48 Total.................................................................... 52 56 72 90 88 87 99 92 Other countries: Australia..................................................................... 61 65 70 75 61 65 85 71 All other...................................................................... 7 6 6 5 10 13 14 15 Total..................................................................... 68 71 76 81 71 78 100 86 International and regional............................................. * * * * * 1 2 1 Grand total.......................................................... 2,075 2,179 2,329 2,466 4,119 4,234 4,357 4,259 Note.—Reported by exporters, importers, and industrial and com mercial concerns and other nonbanking institutions in the United States. Data exclude claims held through U.S. banks, and intercompany accounts 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. □ MARCH 1971 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 P d a o y i l n a la b r l s e P fo a r y i e n a i b g l n e Total P d a o y i l n a la b r l s e 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 1966—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...................... f 1,371 1,027 343 2,946 2,529 201 216 Dec.1................... { 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 1,613 1,263 350 4,023 3,316 429 278 Sept..................... 1,797 1,450 346 3,874 3,222 386 267 Dec...................... ( 1,786 1,399 387 3,710 3,124 221 365 Dec.1 r................. \ 2,075 1,629 446 4,119 3,500 241 379 1970—Mar.'.................. 2,179 1,689 490 4,234 3,703 218 313 June.r................. 2,329 1,803 526 4,357 3,773 236 349 Sept.?.................. 2,466 1,928 537 4,259 3,659 294 306 1 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 n i r ca Japan O A t s h i e a r Africa o A th l e l r 1966—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.1..................... { 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........................ S 1,725 2,215 152 433 496 172 73 388 141 249 69 42 Dec.1..................... { 2,191 2,332 152 443 537 174 77 417 142 269 75 46 1970—Mar.r..................... 2,252 2,714 159 735 549 178 74 455 158 286 71 47 Juner..................... 2,506 2,727 161 712 557 175 65 475 166 286 76 54 Sept.®..................... 2,629 2,859 157 724 597 177 63 584 144 283 73 58 1 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
MARCH 1971 □ MONEY RATES A 89 FOREIGN EXCHANGE RATES (In cents per unit of foreign currency) Australia Argentina Austria Belgium Canada Ceylon Denmark Finland Period (peso) (schilling) (franc) (dollar) (rupee) (krone) (markka) (pound) (dollar) 1966............................................................. .48690 223.41 i111.22 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 1970............................................................. 26.589 111.36 3.8659 2.0139 95.802 16.774 13.334 23.742 1970— 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 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 496.273 16.770 13.334 23.748 July.................................................. 24.934 111.12 3.8670 2.0146 96.872 16.770 13.330 23.748 24.936 110.99 3.8638 2.0145 97.890 16.770 13.329 23.748 24.888 110.87 3.8684 2.0145 98.422 16.770 13.331 23.748 Oct.................................................... 24.874 110.97 3.8698 2.0146 97.890 16.775 13.331 23.736 24.864 111.11 3.8676 2.0147 98.014 16.792 13.336 23.722 24.836 111.12 3.8681 2.0137 98.276 16.792 13.354 23.722 1971—Jan.................................................... 24,829 111.82 3.8665 2.0145 98.831 16.792 13.361 23.722 Feb................................................... 24.831 112.38 3.8651 2.0148 99.261 16.792 13.359 23.722 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 l e a il n t d h d e s r) 1966............................................................. 20.352 25.007 5 16.596 279.30 .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............................................................. 619.302 725.491 13.230 239.01 .15940 .27903 32.623 8.0056 27.592 1970............................................................. 18.087 27.424 13.233 239.59 .15945 .27921 32.396 8.0056 27.651 1970—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 July.................................................. 18.120 27.537 13.219 239.06 .15893 .27826 32.308 8.0056 27.694 Aug.................................................. 18.109 27.537 13.212 238.77 .15928 .27915 32.287 8.0056 27.775 Sept.................................................. 18.112 27.537 13.211 238.53 .16005 .27935 32.314 8.0056 27.785 Oct.................................................... 18.104 27.531 13.217 238.74 .16052 .27948 32.395 8.0056 27.781 Nov.................................................. 18.120 27.544 13.231 239.03 .16064 .27956 32.402 8.0056 27.793 Dec................................................. 18.107 27.437 13.229 239.06 .16039 .27959 32.382 8.0056 27.763 1971—jan.................................................... 18.119 27.496 13.269 240.58 .16045 .27932 32.515 8.0056 27.820 Feb................................................... 18.122 27.594 13.311 241.78 .16036 .27969 32.615 8.0056 27.814 New Zealand United Period (pound) (dollar) N (k o r r o w n a e y ) P (e o s r c t u u d g o a ) l A ( S r o a fr n u i d t c h a ) (p S e p s a e i t n a) S (k w ro ed n e a n ) ( e S f r w r l a a i n n tz c d ) (p K d o i o u n m n g d ) 1966............................................................. 276.54 13.984 3.4825 139.13 1.6651 19.358 23.114 279.30 1967............................................................. 276.69 8131.97 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 1970............................................................. 111.48 13.992 3.4978 139.24 1.4280 19.282 23.199 239.59 1970— 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 July.................................................. 111.23 13.951 3.4913 138.93 1.4290 19.282 23.235 239.06 Aug.................................................. 111.10 13.998 3.4898 138.76 1.4290 19.306 23.247 238.77 Sept.................................................. 110.98 13.994 3.4886 138.62 1.4287 19.225 23.219 238.53 Oct.................................................... 111.08 13.993 3.4893 138.74 1.4290 19.282 23.090 238.74 Nov.................................................. 111.22 13.996 3.4924 138.91 1.4290 19.324 23.155 239.03 Dec................................................... 111.23 14.021 3.4919 138.93 1.4290 19.340 23.187 239.06 1971—Jan.................................................... 111.94 14.003 3.5000 139.81 1.4290 19.365 23.227 240.58 Feb................................................... 112.50 14.001 3.5031 140.51 1.4290 19.332 23.266 241.78 1 Effective Feb. 14, 1966, Australia adopted the decimal currency 6 Effective Aug. 10, 1969, the French franc was devalued from 4.94 to system. The new unit, the dollar, replaces the pound and consists of 100 5.55 francs per U.S. dollar. cents, equivalent to 10 shillings or one-half the former pound. 7 Effective Oct. 26, 1969, the new par value of the deutsche mark was 2 Effective Oct. 12, 1967, the Finnish markka was devalued from 3.2 set at 3.66 per U.S. dollar. to 4.2 markkaa per U.S. dollar. 8 Effective July 10, 1967, New Zealand adopted the decimal currency 3 A new Argentine peso, equal to 100 old pesos, was introduced on system. The new unit, the dollar, replaces the pound and consists of 100 Jan. 1, 1970. Effective June 18, 1970, the peso was devalued from 3.50 to cents, equivalent to 10 shillings or one-half the former pound. 4.00 pesos to the U.S. dollar. 4 On June 1, 1970, the Canadian Government announced that, for the Note.—After the devaluation of the pound sterling on Nov. 18, 1967, time being, Canada will not maintain the exchange rate of the Canadian the following countries devalued their currency in relation to the U.S. dollar within the margins required by IMF rules. dollar: Ceylon, Denmark, Ireland, New Zealand, and Spain. 5 Effective June 6, 1966, the Indian rupee was devalued from 4.76 to Averages of certified noon buying rates in New York for cable transfers. 7.5 rupees per U.S. dollar. For description of rates and back data, see “International Finance,” 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 □ MARCH 1971 CENTRAL BANK RATES FOR DISCOUNTS AND ADVANCES TO COMMERCIAL BANKS (Per cent per annum) Changes during the last 12 months Rate as of Feb. 28, 1970 Rate Country 1970 1971 as of Feb. 28, Per Month 1971 cent effective Mar. Apr. May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Argentina... 6.0 Dec. 1957 6.0 Austria........ 5.0 Jan. 1970 5.0 Belgium.... 7.5 Sept. 1969 7.0 6.5 6.5 Brazil.......... 20.0 July 1969 20.0 Burma......... 4.0 Feb. 1962 4.0 Canada....... 8.0 July 1969 7.5 7.0 6.5 6.0 5.25 5.25 Ceylon..... 5.5 May 1968 5.5 Chile........... 14.0 July 1969 14.0 Colombia... 8.0 May 1963 8.0 Costa Rica.. 4.0 4.0 Denmark... 9.0 May 1969 8.0 8.0 Ecuador.... 8.0 Jan. 1970 8.0 El Salvador. 4.0 Aug. 1964 4.0 Finland.... 7.0 Apr. 1962 7.0 8.0 Oct. 1969 7.5 7.0 6.5 6.5 Germany, Fed. Rep. of.. 6.0 Sept. 1969 7.5 7.0 6.5 6.0 6.0 Ghana............................. 5.5 Mar. 1968 5.5 Greece............................. 6.0 July 1969 6.0 Honduras........................ 3.0 Jan. 1962 3.0 Iceland............................. 9.0 Jan. 1966 9.0 India....... 5.0 Mar. 1968 6.0 6.0 Indonesia. 9.0 Aug. 1963 9.0 Iran......... 8.0 Aug. 1969 8.0 Ireland... 8.19 Feb. 1970 7.81 7.19 7.31 7.31 Israel.... 6.0 Feb. 1955 6.0 Italy 4.0 Aug. 1969 5.5 5 5 Jamaica. 6.0 May 1969 6.0 Japan... 6.25 Sept. 1969 6.0 5.75 5.75 Korea... 26.0 June 1969 24.0 23.0 23.0 Mexico.. 4.5 June 1942 4.5 Netherlands.., 6.0 Aug. 1969 6.0 New Zealand. 7.0 Mar. 1961 7.0 Nicaragua 6.0 Apr. 1954 6.0 Norway......... 4.5 Sept. 1969 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 3.75 3.75 South Africa............ 5.5 Aug. 1968 5.5 Spain........................ 5.5 July 1969 6.5 6.25 6.25 Sweden....... 7.0 July 1969 7.0 Switzerland. 3.75 Sept. 1969 3.75 Taiwan........ 10.8 May 1969 9.8 9.8 Thailand. . . 5.0 Oct. 1959 5.0 Tunisia........ 5.0 Sept. 1966 5.0 Turkey.................. 7.5 May 1961 9.0 9.0 United Arab Rep. . 5.0 May 1962 5.0 United Kingdom. 8.0 Feb. 1969 7.5 7.0 7.0 Venezuela............ 5.5 June 1969 5.0 5.0 Vietnam............... 6.0 Aug. 1969 7.0 18.0 18.0 Note.—Rates shown are mainly those at which the central bank either agricultural purposes, 7 per cent for bank acceptances for industrial discounts or makes advances against eligible commercial paper and/or purposes, and 10 per cent for advances to cover shortages in legal reserves; govt, securities for commercial banks or brokers. For countries with Honduras—Rate shown is for advances only. more than one rate applicable to such discounts or advances, the rate Indonesia—Various rates depending on type of paper, collateral, com shown is the one at which it is understood the central bank transacts modity involved, etc.; the largest proportion of its credit operations. Other rates for some Japan—Penalty rates (exceeding the basic rate shown) for borrowings of these countries follow: from the central bank in excess of an individual bank’s quota; Argentina—3 and 5 per cent for certain rural and industrial paper, de Peru—3.5, 5, and 7 per cent for small credits to agricultural or fish produc pending on type of transaction; tion, import substitution industries and manufacture of exports; 8 per Brazil—8 per cent for secured paper and 4 per cent for certain agricultural cent for other agricultural, industrial and mining paper; paper; Philippines—6 per cent for financing the production, importation, and dis Chile—17 per cent for forestry paper, preshipment loans and consumer tribution of rice and corn and 7.75 per cent for credits to enterprises en loans, 18 per cent for selective and special rediscounts, 19.5 per cent for gaged in export activities. Preferential rates are also granted on credits to cash position loans, and 23.5 per cent for construction paper beyond a rural banks; and basic rediscount period. A fluctuating rate applies to paper covering the Venezuela—2 per cent for rediscounts of certain agriculture paper, 4Vi acquisition of capital goods. per cent for advances against government bonds, and 5l/i per cent for Colombia—5 per cent for warehouse receipts covering approved lists of rediscounts of certain industrial paper and on advances against promissory products, 6 and 7 per cent for agricultural bonds, and 12 and 18 per cent notes or securities of first-class Venezuelan companies. for rediscounts in excess of an individual bank’s quota; Vietnam—10 per cent for export paper; treasury bonds are rediscounted Costa Rica—5 per cent for paper related to commercial transactions at a rate 4 percentage points above the rate carried by the bond; and (rate shown is for agricultural and industrial paper); there is a penalty rate of 24 per cent for banks whose loans exceed quan Ecuador—5 per cent for special advances and for bank acceptances for titative ceilings. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 □ 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 U n s s u t , h ry s1 D m a o d y n a - e y t y o - 2 3 B a a m a c n n c o c k e e n 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 s - 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 - e y t y o - 5 3 T r m b e i a o l s l n s u t , r h y s ' D m a d o y a n - y e to y - d P is r r i c a v o t a e u t n e t 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—Dec............. 7.15 6.95 8.49 7.64 6.75 5.84 8.97 4.42 4.81 5.55 5.98 4.21 1969—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—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 r4.94 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 8.90 7.00 9.23 6.00 7.07 5.25 June............ 5.90 5.98 8.06 6.87 6.03 5.00 9.35 7.00 8.76 6.00 6.92 5.25 July............ 5.79 6.00 8.07 6.82 6.01 5.00 8.57 6.75 8.86 6.00 6.96 5.25 Aug............. 5.66 5.74 8.06 6.81 6.08 5.00 8.13 6.75 7.85 6.00 6.03 5.25 Sept............ 5.44 5.51 8.06 6.82 5.84 5.00 8.13 6.75 9.15 6.00 6.31 5.25 5.25 5.24 8.06 6.81 5.93 5.00 7.82 6.75 7.43 6.00 6.89 5.25 4.74 4.52 8.06 6.81 5.81 5.00 7.30 6.25 8.44 5.75 4.33 5.25 Dec............. 4.47 5.07 8.06 6.82 5.95 5.00 7.46 5.75 7.52 5.91 6.73 5.25 1971—Jan ___ 4.59 5.25 8.06 6.79 5.84 5.00 7.61 5.60 4.46 5.25 Feb............ 4.51 4.90 8.06 6.75 6.08 5.00 1 5.05 5.41 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, . £ate ? 1S 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 Premium Date K U in n g i d te o d m Spread d ( i + sc ) o u o n r t in ( c f N e a n v e t o t iv r e Canada Spread d ( ( i + - sc ) ) o o u o n n r t in ( c f N e a n v e t o t iv r e q ( u a b o U d a t j s . a . S i t s . i t ) o o n U S n ta i t t e e s d L ( o f n a o v d f o o r n) f ( p o - o r ) w u n a o r d n d Lon o d f on) C qu a A n i o n a t s e d d a q A u b o U d a t j . a s . S i t s . t i o o n U S n ta i t t e e s d C ( a fa n o v a f o d r a) C f d o a o n rw l a l d a a r i r a s d n Can o a f da) 1970 Oct. 2.............. 6.69 5.80 .89 -.92 -.03 5.40 5.26 5.80 -.54 .94 .40 9.............. 6.69 6.01 .68 -1.27 -.59 5.41 5.27 6.01 -.74 1.10 .36 16.............. 6.69 5.86 .83 -1.14 -.31 5.35 5.21 5.86 -.65 .98 .33 23.............. 6.69 5.71 .98 -.96 .02 5.22 5.08 5.71 -.63 .33 -.30 30.............. 6.69 5.79 .90 -.83 .07 4.97 4.84 5.79 -.95 .41 -.54 Nov. 6............. 6.69 5.44 1.25 -.89 .36 5.00 4.87 5.44 -.57 .43 -.14 13............. 6.69 5.46 1.23 -1.18 .05 4.86 4.74 5.46 -.72 .49 -.23 20.............. 6.69 5.10 1.59 -.86 .73 4.60 4.49 5.10 -.61 .57 -.04 27.............. 6.69 5.00 1.69 -.98 .71 4.35 4.25 5.00 -.75 .49 -.26 Dec. 4.............. 6.69 4.87 1.82 -.71 1.11 4.46 4.36 ‘ 4.87 -.51 .65 .14 11.............. 6.69 4.80 1.89 -.80 1.09 4.54 4.42 4.80 -.38 .61 .23 18.............. 6.69 4.68 2.01 -.68 1.33 4.51 4.35 4.68 -.33 .61 .28 24.............. 6.69 4.78 1.91 -.91 1.00 4.40 4.29 4.78 -.49 .00 -.49 31.............. 6.69 4.80 1.89 -.92 .97 4.44 4.33 4.80 -.47 -.12 -.59 1971 Jan. 8.............. 6.69 4.69 2.00 -.99 1.01 4.55 4.44 4.69 -.25 -.30 -.55 15.............. 6.66 4.35 2.31 -1.52 .79 4.65 4.53 4.35 .18 -.63 -.45 22.............. 6.66 4.06 2.60 -2.28 .32 4.55 4.44 4.06 .38 -.83 -.45 29.............. 6.66 4.08 2.58 -2.72 -.14 4.72 4.60 4.08 .52 -1.11 -.59 Feb. 5............. 6.66 3.97 2.69 -2.70 -.01 4.83 4.71 3.97 .74 -1.03 -.29 11............. 6.66 3.62 3.04 -3.17 -.13 4.83 4.71 3.62 1.09 -1.05 .04 19............. 6.60 3.37 3.23 -3.57 -.34 4.58 4.47 3.37 1.10 -1.01 .09 26............. 6.60 3.33 3.27 -3.13 .14 4.03 3.94 3.33 .61 -1.09 -.48 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 □ MARCH 1971 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 world1 Fund world 1964. 43.015 2,179 15,471 25,365 36 71 226 600 1,451 92 84 1,026 43 1965. 243,230 31,869 13,806 27,285 35 66 223 700 1,558 63 84 1,151 44 1966. 43,185 2.652 13,235 27,300 35 84 224 701 1,525 45 84 1,046 45 1967. 41,600 2,682 12,065 26,855 33 84 231 701 1,480 45 84 1,015 45 1968. 40,905 2,288 10,892 27,725 33 109 257 714 1,524 45 84 863 46 1969. 41.015 2,310 11,859 26,845 33 135 263 715 1,520 45 84 872 47 1970—Jan.... 2,413 11,882 33 140 263 710 1,518 45 84 870 48 Feb.. . 2,435 11,906 33 140 268 714 1,520 45 84 879 47 Mar... 41,205 2,512 11,903 26,790 33 140 269 714 1,520 45 84 879 47 Apr.. . 2,514 11,902 33 140 268 712 1,518 45 84 879 48 May. . 2,529 11,900 33 140 269 713 1,520 45 84 880 47 June. . 41,170 2,544 11,889 26,735 33 140 270 714 1,520 45 84 880 48 July... 2,547 11,934 33 140 269 714 1,520 45 84 880 48 Aug.. . 2.652 11,817 33 140 269 714 1,518 45 63 880 47 Sept... 41,180 2,825 11.494 26,860 33 140 282 714 1,530 45 63 880 47 Oct.... 2,902 11.495 33 140 283 714 1,528 45 63 880 47 Nov... 3,224 11,478 33 140 283 714 1,528 45 63 880 47 Dec.*. ’*4i!306 4,339 11,072 *25’,890 33 140 239 714 1,470 45 63 791 47 1971—Jan.*. 4,380 11,040 714 1,470 63 791 47 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 France m F a e n d y . , Greece India Iran Iraq l I a r n e d Israel Italy Japan Rep. of 1964. 58 92 85 3,729 4,248 77 247 141 112 19 56 2,107 304 1965. 35 97 84 4,706 4,410 78 281 146 110 21 56 2,404 328 1966. 26 108 45 5,238 4,292 120 243 130 106 23 46 2,414 329 1967. 31 107 45 5,234 4,228 130 243 144 115 25 46 2,400 338 1968. 31 114 45 3,877 4,539 140 243 158 193 79 46 2,923 356 1969. 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 May. 27 89 45 3,541 4.079 120 243 158 151 26 46 2.981 472 June. 26 89 45 3.543 4.080 120 243 158 151 26 46 2.982 472 July.. 26 89 45 3.543 4.080 120 243 158 151 26 46 2.983 473 Aug.. 26 89 45 3.537 4.080 120 243 158 151 26 45 2.983 474 Sept.. 26 89 45 3.537 4.081 119 243 148 151 26 45 2.983 530 Oct.. 26 65 45 3.537 4.081 119 243 148 151 26 45 2.983 530 Nov.. 18 65 45 3,533 4.081 117 243 131 144 16 43 2,981 532 Dec.. 17 65 29 3.532 3,980 117 243 131 144 16 43 2,887 532 1971—Jan.*. 17 65 29 3.532 3,979 243 131 143 16 43 2,886 532 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- Moroc- N la e n th d e s r- N w o a r y 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 1964. 48 183 17 169 1,688 31 53 67 23 523 78 1965. 52 182 68 158 1,756 31 53 67 38 576 73 1966. 67 193 68 109 1.730 18 53 65 44 643 69 1967. 136 193 68 166 1,711 18 53 20 60 699 69 1968. 122 288 85 165 1,697 24 54 20 62 856 119 1969. 86 288 85 169 1.720 25 54 25 45 876 119 1970—Jan... 86 288 85 169 1.720 27 54 25 45 882 119 Feb.. 86 288 85 170 1.730 27 54 26 46 882 119 Mar.. 86 288 85 170 1.730 27 54 40 47 890 119 Apr.. 86 288 85 170 1.730 27 54 40 49 890 119 May. 86 288 85 171 1.730 27 54 40 50 890 119 June. 86 288 85 171 1 ,730 27 54 40 50 890 119 July.. 86 288 85 171 1.750 27 54 40 53 890 119 Aug.. 86 288 85 171 1.751 27 54 40 54 901 119 Sept.. 86 288 85 176 1,801 34 54 40 56 902 119 Oct.., 86 288 85 176 1,801 33 54 40 59 902 119 Nov.. 86 288 85 176 1,832 23 54 40 59 902 119 Dec.. 86 288 85 1,787 23 54 56 902 119 1971—Jan.*. 86 288 85 1,812 23 54 57 119 For notes see end of table. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 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 i m t g e d U gu r a u y V zu e e n l e a Y sl u av g i o a S I e f n t o t t r l l e . ments 4 196 4 574 616 189 2,725 55 104 104 139 2,136 171 401 17 -50 196 5 425 810 202 3,042 55 96 116 139 2,265 155 401 19 -558 196 6 637 785 203 2,842 62 92 102 93 1,940 146 401 21 -424 196 7 583 785 203 3,089 81 92 97 93 1,291 140 401 22 -624 196 8 1,243 785 225 2,624 81 92 97 93 1,474 133 403 50 -349 196 9 1,115 784 226 2,642 82 92 117 93 1,471 165 403 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 82 92 127 93 165 404 51 -530 June. 942 784 225 2.670 82 92 127 93 1,469 165 404 51 -516 July., 954 784 225 2.670 82 92 127 93 165 404 52 -519 Aug.. 920 534 225 2.720 82 92 126 93 165 404 52 -311 Sept.. 921 534 225 2.720 82 92 126 93 1,454 165 404 52 -303 Oct.. 879 534 225 2.720 82 92 126 93 165 404 52 -308 Nov.. 788 534 225 2.720 82 92 126 161 384 52 -305 Dec.. 666 498 200 2,732 82 92 126 i j 349 162 384 52 -282 1971—Jan.* 632 200 2,731 92 126 384 -173 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 N ra i g ca u a Co b l i o a m India Japan P p h in il e ip s t A ra u l s ia o A th l e l r 1964............................. 1,405.0 1,018.9 30.3 7.8 51.4 133.0 7.4 6.9 12.8 5.2 16.1 14.9 33.7 66.6 1965............................. 1,440.0 1,069.4 26.4 2.3 58.6 125.6 7.6 5.4 11.2 4.6 18.1 15.3 30.7 64.8 1966............................. 1,445.0 1,080.8 24.0 5.6 63.1 114.6 7.5 5.2 9.8 4.2 19.4 15.8 32.1 62.9 1967............................. 1,410.0 1,068.7 26.7 5.4 53.4 103.7 5.8 5.2 9.0 3.4 23.7 17.2 28.4 59.4 1968............................. 1,420.0 1,088.0 25.4 5.9 53.9 94.1 6.2 4.9 8.4 4.0 21.5 18.5 27.6 61.6 1969*........................... 1,420.0 1,090.7 24.8 6.0 60.1 89.1 6.3 3.7 7.7 3.4 23.7 20.0 24.5 60.0 1969—Dec.................. 89.5 7.1 .5 .4 .2 2.2 1.9 1970—Jan................... 92.8 7.5 .5 .5 .2 2.1 1.7 Feb................... 88.4 6.5 .6 .8 .3 1.9 1.8 Mar.................. 94.3 7.1 .6 .5 .3 2.1 2.6 Apr.................. 92.8 6.6 .5 .6 .3 1.8 1.8 May................. 94.5 7.0 .6 .3 2.2 1.7 June................. 96.6 1.7 7.2 .6 .3 2.0 1.7 July.................. 95.2 2.0 6.8 .6 .3 1.7 Aug.................. 96.3 2.2 6.3 .7 Sept.................. 96.2 2.2 6.6 .7 Oct................... 96.6 6.9 Nov.................. 6.5 Dec....._____ 6.8 1 Estimated; excludes U.S.S.R., other Eastern European countries, China Mainland, and North Korea. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 94 BANK RESERVES AND RELATED ITEMS, 1970 □ MARCH 1971 MEMBER BANK RESERVES, FEDERAL RESERVE BANK CREDIT, AND RELATED ITEMS (Averages of daily figures; in millions of dollars) Factors supplying reserve funds Reserve Bank credit outstanding Period or date U.S. Govt, securities1 Treas Special ury Dis Drawing cur Held counts Other Gold Rights rency Bought under and Float F.R. Total stock certificate out Total out repur ad assets 2 account stand right chase vances ing agree ment 1970—Jan............................... 56,273 56,182 91 965 3,442 2,114 62,867 11,141 155 6.856 Feb.............................. 55,949 55,548 401 1,099 2,476 1,853 61,468 11,367 243 6,869 55,780 55,695 85 936 r 2,550 2,061 r 61,387 11,367 345 6,891 Apr.............................. 55,982 55,787 195 877 r3,274 2,209 r62,423 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 46 978 2,824 1,369 62,843 11,367 400 6,999 July............................. 58,219 58,003 216 1,432 2,901 1,302 63,912 11,367 400 6,994 Aug.............................. 59,544 59,255 289 849 2,446 1,248 64,134 11,367 400 7,009 Sept.............................. 59,903 59,625 278 607 2,832 • 1,216 64,619 11,300 400 7,049 Oct............................... 59,533 59,360 173 462 2,933 1,734 64,708 11,117 400 7,069 60,393 60,004 389 425 2,933 1,314 65,132 11,117 400 r 7,101 Dec.............................. 61,688 61,310 378 321 3,570 1,032 66,708 11,105 400 7,145 Week ending—1969—Dec. 31 57,491 57,154 337 1,104 3,976 2,480 65,149 10,367 6,848 1970—jan. 7....................... 57,319 56,980 339 852 3,707 2,731 64,708 10.367 6,858 14....................... 56,297 56,297 865 3,767 1,874 62,869 11.367 200 6.856 21....................... 56,240 56,240 963 3,598 1,887 62,749 11.367 200 6.856 28....................... 55,502 55,502 1,030 3,048 2,033 61,675 11.367 200 6,854 Feb. 4....................... 55,892 55,511 381 1,258 2,488 1,905 61,630 11.367 200 *■ 6,858 11....................... 55,768 55,521 247 1,069 2,525 2,003 61,446 11,367 200 6,865 18....................... 56,299 55,543 756 1,110 2,395 1,729 61,657 11,367 229 6,867 25....................... 55,769 55,487 282 1,077 2,532 1,765 61,226 11,367 300 6,873 Mar. 4....................... 55,700 55,700 876 2,382 1,988 61,002 11,367 300 6,883 11....................... 55,393 55,393 972 2,427 2,013 60,860 11,367 300 6,887 18....................... 56,032 55,906 126 857 2,450 2,069 61,471 11,367 314 6,888 25....................... 55,838 55,825 13 976 2,665 2,089 61,624 11,367 400 6,894 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 24....................... 57,299 57,299 977 3,180 1,424 62,918 11,367 400 7,004 July 1....................... 57,744 57,744 1,081 2,639 1,521 63,017 11,367 400 7,007 8....................... 57,671 57,671 1,384 3,213 1,378 63,680 11,367 400 7,000 15....................... 58,402 57,671 731 1,771 2,688 1,250 64,208 11,367 400 6,988 22....................... 58,535 58,309 226 1,469 3,194 1,257 64,530 11,367 400 6,990 29....................... 58,267 58,267 1,271 2,588 1,307 63,469 11.367 400 6,993 Aug. 5....................... 58,840 58,560 280 1,050 2,421 1,354 63,713 11.367 400 7,000 12....................... 59,274 58,826 448 1,213 2,408 1,403 64,339 11,367 400 7,002 19....................... 59,972 59,470 502 706 2,667 1,299 64,711 11,367 400 7,006 26....................... 59,679 59,679 667 2,499 1,068 63,949 11,367 400 7,011 Sept. 2....................... 59,856 59,710 146 660 2,285 1,109 63,959 11,367 400 7,032 9....................... 60,209 59,903 306 763 2,660 1,152 64,850 11,367 400 7,043 16....................... 60,211 59,667 544 500 2,844 1,206 64,840 11,367 400 7,048 23....................... 59,309 59,309 460 3,394 1,215 64,416 11,331 400 7,050 30....................... 59,776 59,531 245 661 2,565 1,312 64,372 11,117 400 7,057 Oct. 7....................... 59,568 59.366 202 398 2,581 1,692 64,289 11.117 400 7,062 14....................... 59,516 59.366 150 450 2,760 1,734 64,504 11.117 400 7,066 21....................... 59,599 59,350 249 586 3,335 1,761 65,331 11,117 400 7,070 28....................... 59,287 59,287 433 3,024 1,778 64,556 11,117 400 7,075 Nov. 4....................... 59,960 59,528 432 423 2,640 1,633 64,720 11,117 400 r7,097 11....................... 59,879 59,434 445 445 3,122 1,642 65,163 11.117 400 7,097 18....................... 60,652 59,943 709 330 2,914 1,382 65,366 11.117 400 7,099 25....................... 60,452 60,350 102 436 3,186 1,013 65,128 11,117 400 7,105 Dec. 2....................... 61,378 60,866 512 455 2,837 952 65,704 11.117 400 7,111 9....................... 61,203 60,898 305 290 3,013 978 65,604 11.117 400 7,115 16....................... 61,813 61,226 587 399 2,927 1,006 66,243 11,117 400 7,124 23..................... 61,771 61,512 259 325 3,799 1,051 67,036 11,117 400 7,178 30..................... 61,704 61,554 150 270 4,643 1,097 67,783 11,117 400 7,171 For notes see opposite page. 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I 1971 □ BANK RESERVES AND RELATED ITEMS, 1970 A 95 I, FEDERAL RESERVE BANK CREDIT, AND RELATED ITEMS— Continued (Averages of daily figures; in millions of dollars) Factors absorbing reserve funds eposits, other member bank Member bank reserves, reserves eas- ti F.R. Banks Other Period or date iry F.R. ish lia >ld- bilities lgs and With Cur For Other capital2 F.R. rency eign Banks and Total coin3 655 170 r 643 2,044 23,580 5,278 28,858 .............................1970—Jan. 610 182 710 2,160 23,112 4.864 27,976 ........................................Feb. 575 219 r 762 2,134 22.740 4,733 27,473 .........................................Mar. 567 166 870 2,137 23,323 4.773 28,096 .........................................Apr. 544 182 845 2,215 23,105 4.805 27,910 .........................................May 495 165 801 2.255 22,703 4.864 27,567 .........................................June 450 191 763 2,253 23,170 4,958 28,128 ........................................July 451 177 830 2,275 23,353 4,996 28,349 .........................................Aug. 457 141 750 2,300 23,719 5,106 28,825 .........................................Sept. 459 142 747 2,249 23,593 5.108 28,701 .........................................Oct. 453 149 721 2.256 23,416 5,142 28,558 .........................................Nov. 427 145 735 2,265 23,925 5,340 29,265 ........................................Dec. 651 163 517 2,153 23,493 5,187 28,680 Week ending—1969—Dec. 31 666 207 530 1,967 23,713 4,983 28,696 .......................1970—Jan. 7 659 181 678 1,997 23,474 5,514 28,988 ............................................14 651 161 671 2,057 24,003 5,397 29,400 ............................................21 649 137 675 2,105 23,243 5,275 28,518 ............................................28 630 157 682 2.190 23,360 5,055 28,415 ...................................Feb. 4 618 150 630 2,267 22,906 5,091 27,997 ............................................11 607 169 724 2,084 23,286 4.773 28,059 ............................................18 600 196 759 2,100 22,946 4.631 27,577 ............................................25 588 267 770 2,173 22.640 4,822 27,462 ...................................Mar. 4 575 212 714 2,233 22,311 4,922 27,233 ..............................................11 569 215 745 2,040 22,902 4,729 27,631 ..............................................18 573 187 792 2,089 22,962 4,510 27,472 ............................................25 572 238 820 2,151 23,100 4,706 27,806 ...................................Apr. 1 576 214 881 2,218 22,859 4,850 27,709 .............................................. 8 567 136 876 2,161 23,378 4,884 28,262 .............................................15 567 143 863 2,042 23,835 4,537 28.372 ..............................................22 559 158 863 2,110 23,320 4.806 28,126 ..............................................29 557 192 854 2,243 23,688 4,899 28.587 .....................................May 6 545 247 886 2.255 22,794 4,951 27,745 ..............................................13 542 203 854 2,132 23,546 4,549 28,095 ..............................................20 538 119 804 2,199 22,552 4,779 27,331 ..............................................27 524 134 801 2.292 22,721 4,892 27,613 ....................................June 3 516 145 793 2,369 22,448 5,021 27,469 ..............................................10 499 157 835 2,180 22,905 4,798 27,703 ..............................................17 484 207 800 2,189 22.641 4.632 27,273 ..............................................24 456 163 786 2.256 22,823 5,000 27,823 .....................................July 1 444 186 791 2,321 22,739 5.108 27,847 .............................................. 8 437 225 742 2,282 23,090 5,132 28,222 ..............................................15 455 181 748 2,170 23,949 4,424 28.373 .............................................22 460 173 758 2,217 23,075 5.108 28,183 ..............................................29 461 190 790 2,337 23,060 5,082 28,142 .....................................Aug. 5 450 171 866 2,355 23,372 5.216 28.588 ..............................................12 442 179 921 2.175 23,681 4,834 28,515 ..............................................19 451 187 786 2.231 23,325 4,852 28,177 ..............................................26 461 160 761 2,311 23,351 5,019 28,370 .....................................Sept. 2 463 156 765 2,392 23.741 5,190 28,931 .............................................. 9 462 150 768 2,343 23,708 5,213 28,921 ..............................................16 451 129 760 2.191 23,686 4,708 28,394 ..............................................23 448 125 695 2,258 23,700 5,334 29,034 ..............................................30 457 135 729 2,333 23,518 5,268 28,786 .....................................Oct. 7 461 139 809 2,294 23,148 5,316 28,464 ..............................................14 455 130 746 2,154 24,095 4,795 28,890 ..............................................21 459 145 711 2,205 23,433 5,014 28,447 ..............................................28 r 464 169 750 2.292 23,471 5,181 28,652 .....................................Nov. 4 448 170 758 2,379 23,381 5,344 28,725 ..............................................11 451 153 716 2,145 23,655 5.108 28,763 ...............................................18 456 135 681 2,208 23,484 4,889 28.373 ..............................................25 451 130 719 2,296 23,658 5.217 28,875 .....................................Dec. 2 442 138 717 2,363 23,375 5,343 28,718 .............................................. 9 429 135 734 2,299 23,560 5,478 29,038 ..............................................16 417 143 696 2.176 24,238 5,060 29,298 ............................................23 409 162 711 2.231 24,329 5,514 29,843 ..............................................30 iecurit deral agency obligations. 3 Part allowed as reserves Dec. 1, 1959—Nov. 23, 1960; all allowed ^pr. 1 her F.R. assets” and “Other F.R. thereafter. Beginning with Jan. 1963, figures are estimated except for parately; formerly, they were netted weekly averages. Beginning Sept. 12, 1968, amount is based on close- L accounts.” of-business for reserve period 2 weeks previous to report date. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 96 BANK RESERVES AND RELATED ITEMS, 1970 □ MARCH 1971 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 el t d al qu R i e re d Excess B r F i a o n a . n R w g t k s . s s F e r r r e v e e e s T h o el ta d l qu R ir e e d Excess B F i r a n o a . n g R w t k s . s s F e r r r e v e e e s T h o el t d al qu R ir e e d Excess B r F i o a n a . n w g R t k s . s s F e r r r e v e e e s Jan........................ 28,858 28,692 166 965 -799 5,668 5,659 9 141 -132 1,320 1,316 4 86 -82 Feb....................... 27,976 27,703 273 1,092 -819 5,458 5,424 34 110 -76 1,253 1,264 -11 47 -58 Mar...................... 27,473 27,358 115 896 -781 5,349 5,344 5 153 -148 1,265 1,249 16 31 -15 Apr....................... 28,096 27,978 118 822 -704 5,482 5,453 29 227 -198 1,295 1,316 -21 61 -82 May..................... 27,910 27,729 181 976 -795 5,307 5,302 5 176 -171 1,285 1,287 -2 23 25 June..................... 27,567 27,380 187 888 -701 5,201 5,164 37 132 -95 1,250 1,247 3 3 July....................... 28,128 27,987 141 1,358 -1,217 5,315 5,306 9 269 -260 1,290 1,293 -3 129 -132 Aug....................... 28,349 28,204 145 827 -682 5,381 5,378 3 159 -156 1,298 1,304 -6 61 -67 Sept...................... 28,825 28,553 272 607 -335 5,497 5,436 61 117 -56 1,316 1,310 6 14 -8 Oct........................ 28,701 28,447 254 462 -208 5,583 5,542 41 12 29 1,307 1,309 -2 11 -13 Nov...................... 28,558 28,438 120 425 -305 5,441 5,444 -3 60 -63 1,282 1,283 -1 11 -12 Dec....................... 29,265 28,993 272 321 -49 5,623 5,589 34 25 9 1,329 1,322 7 4 3 Week ending— 1969—Dec. 31... 28,680 28,152 528 1,104 -576 5,628 5,515 113 348 -235 1,320 1,304 16 120 -104 1970—Jan. 7... 28,696 28,411 285 852 -567 5,624 5,604 20 196 -176 1,304 1,312 -8 197 -205 14... 28,988 28,911 77 865 -788 5,747 5,780 -33 234 -267 1,335 1,340 -5 29 -34 21... 29,400 29,196 204 963 -759 5,923 5,873 50 80 -30 1,366 1,360 6 77 -71 28... 28,518 28,406 112 1,030 -918 5,410 5,451 -41 86 -127 1,290 1,279 11 16 -5 Feb. 4... 28,415 28,204 211 1,258 -1,047 5,520 5,489 31 75 -44 1,269 1,287 -18 104 -122 11... 27,997 27,790 207 1,069 -862 5,414 5,399 15 130 -115 1,272 1,260 12 12 18... 28,059 27,810 249 1,110 -861 5,645 5,576 69 218 -149 1,275 1,292 -17 121 -138 25.. . 27,577 27,405 172 1,065 -893 5,323 5,317 6 6 1,254 1,237 17 7 10 Mar. 4... 27,462 27,264 198 836 -638 5,309 5,288 21 86 -65 1,213 1,238 -25 7 -32 11... 27,233 27,162 71 932 -861 5,300 5,326 -26 169 -195 1,255 1,247 8 9 -1 18... 27,631 27,481 150 817 -667 5,434 5,429 5 146 -141 1,255 1,266 -11 7 -18 25... 27,472 27,376 96 936 -840 5,338 5,312 26 102 -76 1,240 1,225 15 97 -82 Apr. 1... 27,806 27,467 339 949 -610 5,415 5,340 75 232 -157 1,256 1,265 -9 25 -34 8... 27,709 27,530 179 496 -317 5,417 5,317 100 100 1,290 1,293 -3 17 -20 15... 28,262 28,160 102 1,017 -915 5,487 5,536 -49 349 -398 1,347 1,364 -17 134 -151 22... 28,372 28,214 158 969 -811 5,643 5,584 59 525 -466 1,340 1,336 4 20 -16 29... 28,126 28,014 112 894 -782 5,375 5,394 -19 86 -105 1,271 1,279 -8 86 -94 May 6... 28,587 28,237 350 774 -424 5,547 5,440 107 93 14 1,343 1,317 26 86 -60 13.. 27,745 27,717 28 810 -782 5,293 5,378 -85 150 -235 1,269 1,292 -23 14 -37 20.. 28,095 27,881 214 1,179 -965 5,515 5,433 82 332 -250 1,311 1,312 -1 -1 21... 27,331 27,287 44 933 -889 5,023 5,069 -46 86 -132 1,251 1,243 8 8 June 3.. 27,613 27,418 195 1,224 1,029 5,198 5,145 53 287 -234 1,245 1,262 -17 -17 10.. 27,469 27,333 136 857 -721 5,175 5,193 -18 195 -213 1,281 1,262 19 19 17.. 27,703 27,430 273 658 -385 5,289 5,244 45 11 34 1,229 1,252 -23 -23 24.. . 27,273 27,185 88 887 -799 5,099 5,052 47 97 -50 1,209 1,203 6 6 July 1.. . 27,823 27,550 273 991 -718 5,221 5,176 45 119 -74 1,253 1,267 -14 -14 8.. . 27,847 27,773 74 1,294 -1,220 5,188 5,233 -45 389 -434 1,286 1,275 11 36 -25 15.. . 28,222 27,992 230 1,681 -1,451 5,439 5,381 58 493 -435 1,308 1,306 2 125 -123 22.. . 28,373 28,188 185 1,386 -1,201 5,418 5,384 34 166 -132 1,316 1,311 5 200i -195 29.. . 28,183 28,030 153 1,231 -1,078 5,259 5,260 -1 80 -81 1,268 1,286 -18 182 -200 Aug. 5.. 28,142 27,954 188 1,010 -822 5,238 5,300 -62 147 -209 1,288 1,283 5 100i -95 12.. 28,588 28,309 279 1,174 -895 5,579 5,522 57 431 -374 1,331 1,339 -8 86 -94 19.. . 28,515 28,423 92 681 -589 5,488 5,535 -47 55 -102 1,359 1,350 9 100i -91 26.. . 28,177 28,039 138 660 -522 5,222 5,200 22 77 -55 1,252 1,259 -7 14 -21 Sept. 2.. . 28,370 28,192 178 660 -482 5,203 5,288 15 79 -64 1,277 1,276 1 1 9.. . 28,931 28,516 415 763 -348 5,539 5,450 89 187 -98 1,311 1,293 18 29 -11 16.. . 28,921 28,565 356 500 -144 5,599 5,478 121 89 32 1,302 1,326 -24 -24 23.. . 28,394 28,441 -47 460i -507 5,296 5,380 -84 781 -162, 1,315 1,289 26 12 14 30.. . 29,034 28,762: 272: 661 -389> 5,581 5,476 105 103i 2: 1,319 1,340i -21 18! c —39 Oct. 7.. . 28,786 28,434!■ 352: 3981 -461 5,615 5,568 47 47 1,337 1,312 25 25 14.. . 28,464 28,423! 41 45C1 -409» 5,550 5,563i -13 21 -34• 1,336 1,343 -7 21 -28 21.. . 28,890 28,701 189» 586► —397r 5,682 5,666 16i 21 -5 1,287 1,314 -27 29i -56 28.. . 28,447 28,25(> 191 433i -242\ 5,417 5,399> 181 11 11 1,301 1,276 25 25 Nov. 4.. . 28,652 28,33'1 31*i 4221 -10!> 5,571 5,475; 96; 11 85i 1,298 1,291 7 12: -5 11.. . 28,725 28,44:j 28:> 44!5 —16;\ 5,488 5,466> 221 69> -41' 1,298 1,319» -21 -21 18. . 28,763I 28,59S) 16'1 33() —16() 5,588 5,5581 3()........... 3() 1,308 1,301 7 7 25. . 28,372\ 28,29'J It> 43(> — 36() 5,266 5,32'r -61 89> —15C) 1,231 1,237 -6► IS! -24 Dec. 2. 28,87!5 28,4513 41'1 4515 -3!I 5,54C> 5,391 14S) 8S> 6C) 1,211r 1,27C1 1' n1 -11 9. . 28,71J1 28,58:I 13<5 29() —15'I 5,387r 5,43?I -51 -51 1,312I 1,3031 s>........... 9 16. ,. 29,03?* 28,91!8 12() 39<) — 27<) 5,671 5,63'\ 311 5S) - 2:I 1,302> 1,327r -2!» aI -43 23. .. 29,29$1 29,08!8 21 <3 32!5 —11!5 5,574\ 5,60:I -215 3<) -61r 1,341 1,33C) 11 11 30. .. 29,84:* 29,40!9 43<% 27() 16'X 5,8421 5,69:5 15()........... 15() 1,362> 1,3321 3()........... 30 For notes see opposite page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 □ BANK RESERVES AND RELATED ITEMS, 1970 A 97 RESERVES AND BORROWINGS OF MEMBER BANKS— Continued (In millions of dollars) Other reserve city banks Country banks Reserves Reserves Period Borrow Borrow ings at Free ings at Free Total F.R. reserves Total F.R. reserves held Required Excess Banks held Required Excess Banks 11,296 11,314 -18 455 -473 10,574 10,403 171 283 -112 10,975 10,913 62 535 -473 10,290 10,102 188 400 -212 .....................................Feb. 10,737 10,802 -65 436 -501 10,122 9,963 159 276 -117 11,038 11,066 -28 372 -400 10,281 10,143 138 162 -24 10,978 10,948 30 477 -447 10,340 10,192 148 300 -152 10,849 10,847 2 489 -487 10,267 10,122 145 267 -122 11,074 11,118 -44 682 -726 10,449 10,270 179 278 -99 .....................................July 11,174 11,178 -4 424 -428 10,496 10,344 152 183 -31 11,407 11,375 32 369 -337 10,605 10,432 173 107 66 11,319 11,270 49 338 -289 10,492 10,326 166 101 65 11,216 11,274 -58 301 -359 10,619 10,437 182 53 129 11,548 11,506 42 264 -222 10,765 10,576 189 28 161 Week ending— 11,187 11,091 96 337 -241 10,545 10,242 303 299 4 .....................1969—Dec. 31 11,280 11,223 57 216 -159 10,488 10,272 216 243 -27 .....................1970-Jan. 7 11,349 11,439 -90 440 -530 10,557 10,352 205 162 43 ..........................................14 11,455 11,482 -27 554 -581 10,656 10,481 175 252 -77 ..........................................21 11,210 11,220 -10 542 -552 10,608 10,456 152 386 -234 ..........................................28 11,140 11,110 30 596 -566 10,486 10,318 168 483 -315 .................................Feb. 4 10,964 11,000 -36 606 -642 10,337 10,121 216 321 -105 ..........................................11 10,930 10,916 14 386 -372 10,209 10,026 183 385 -202 ..........................................18 10,774 10,769 5 593 -588 10,226 10,082 144 465 -321 ..........................................25 10,773 10,751 22 404 -382 10,167 9,987 180 339 -159 10,644 10,722 -78 530 -608 10,034 9,867 167 224 -57 ..........................................11 10 866 10 866 394 -394 10,076 9,920 156 270 -114 ..........................................18 10,781 10,833 -52 458 -510 10,113 10,006 107 279 -172 ..........................................25 10,914 10,822 92 400 -308 10,221 10,040 181 292 -111 10,794 10,891 -97 301 -398 10,208 10,029 179 178 1 ............................................8 11,208 11,194 14 395 -381 10,220 10,066 154 139 15 ..........................................15 11,093 11,128 -35 306 -341 10,296 10,166 130 118 12 ..........................................22 11,069 11,072 -3 511 -514 10,411 10,269 142 211 -69 ..........................................29 11,210 11,145 65 382 -317 10,487 10,335 152 213 -61 10,882 10,913 -31 442 -473 10,301 10,134 167 204 -37 ..........................................13 10,986 10,993 -7 553 -560 10,283 10,143 140 294 -154 ..........................................20 10,748 10,793 -45 397 -442 10,309 10,182 127 450 -323 ..........................................27 10,877 10,884 -7 598 -605 10,293 10,127 166 339 -173 10,790 10,834 -44 407 -451 10,223 10,044 179 255 -76 ..........................................10 10,971 10,868 103 428 -325 10,214 10,066 148 219 -71 ..........................................17 10,712 10,789 -77 561 -638 10,253 10,141 112 229 -117 ..........................................24 10,922 10,879 43 539 -496 10,427 10,228 199 333 -134 10,950 11,040 -90 629 -719 10,423 10,225 198 240 -42 ............................................8 11,121 11,136 -15 789 -804 10,354 10,169 185 274 -89 ..........................................15 11,216 11,210 6 699 -693 10,423 10,283 140 321 -181 ..........................................22 11,123 11,141 -18 683 -701 10,533 10,343 190 286 -96 ..........................................29 11,142 11,076 66 532 -466 10,474 10,295 179 231 -52 11,199 11,186 13 527 -514 10,479 10,262 217 130 87 ..........................................12 11,233 11,252 -19 338 -357 10,435 10,286 149 188 -39 ..........................................19 11,135 11,161 -26 371 -397 10,568 10,419 149 198 -49 ..........................................26 11,232 11,242 -10 402 -412 10,558 10,386 172 179 -7 11,509 11,424 85 430 -345 10,572 10,349 223 117 106 ............................................9 11,445 11,376 69 317 -248 10,575 10,385 190 94 96 ..........................................16 11,241 11,328 -87 320 -407 10,542 10,444 98 50 48 ..........................................23 11,406 11,393 13 386 -373 10,728 10,553 175 154 21 ..........................................30 11,349 11,253 96 308 -212 10,485 10,301 184 90 94 .................................Oct. 7 11,168 11,278 -110 337 -447 10,410 10,239 171 71 100 ..........................................14 11,446 11,376 70 405 -335 10,475 10,345 130 131 -1 ..........................................21 11,183 11,203 -20 305 -325 10,546 10,378 168 117 51 ..........................................28 11,215 11,188 27 314 -287 10,568 10,380 188 86 102 11,383 11,326 57 311 -254 10,556 10,332 224 65 159 ..........................................11 11,313 11,343 -30 296 -326 10,554 10,397 157 34 123 ..........................................18 11,215 11,206 9 288 -279 10,661 10,527 134 41 93 ..........................................25 11,325 11,269 56 301 -245 10,733 10,528 205 47 158 .................................Dec. 2 11,363 11,356 7 263 -256 10,656 10,485 171 27 144 ............................................9 11,415 11,460 -45 294 -339 10,650 10,497 153 28 125 ..........................................16 11,611 11,564 47 261 -214 10,772 10,592 180 25 155 11,682 11,666 16 245 -229 10,956 10,718 238 25 213 ..........................................30 Note.—Averages of daily figures. Monthly data are averages of daily Total reserves held: Based on closing figures for balances with F.R. figures within the calendar month; they are not averages of the 4 or 5 Banks and opening figures for allowable cash. weeks ending on Wed. that fall within the month. Required reserves: Based on deposits as of opening of business each day. Borrowings of F.R. Banks: Based on closing figures. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 98 WEEKLY REPORTING BANKS □ MARCH 1971 ASSETS AND LIABILITIES OF LARGE COMMERCIAL BANKS, 1970 (In millions of dollars) Loans Federal funds sold, etc.1 Other To brokers For purchasing T lo o a t n a s l i a n n v d o l d v e in al g e — rs or carrying securities To nonbank Wednesday i m n a v e n e n d s t t s Total b c m c a o T i n e m a o k r l s T U u r s e . r e S a y s . O c s u t e h r i e r ot T h o ers Total i C n m t a c r o d n i i e a a m u d r l l s A t c u u g r r l a i l U a T . n S o d . b d r e o a k l e e r r s s U.S o . t T h o ers P a i e n n r d s s t . it f u in ti a o n n . s c t u ie r s i ties T s u r e e r c a y s s . O se t c h s e . r T s u r e e r c a y s s . O se th cs e . r f s C i a n O l a S e n . s , . Other etc. Jan. 7........... 237,795 6,305 5,732 182 232 159 172,350 79,802 2,003 1,135 3,321 100 2,474 6,176 5,941 14........... 235,134 5,957 5,266 482 129 80 170,548 79,094 2,004 1,104 3,069 104 2,454 5,847 5,823 21........... 232,743 5,668 5,405 65 137 61 169,265 78,823 2,010 599 2,988 98 2,426 5,783 5,812 28........... 232,310 6,751 6,499 106 97 49 167,984 77,956 2,003 555 2,898 94 2,413 5,467 5,770 Feb. 4............ 231,948 6,304 5,972 145 97 90 168,493 78,029 1,983 458 3,266 87 2,395 5,893 5,763 11............ 231,127 6,070 5,792 100 132 46 167,776 78,126 1,984 397 2,938 89 2,389 5,735 5,616 18............ 230,882 6,460 6,288 73 71 28 167,523 78,198 1,994 402 2,886 91 2,378 5,571 5,597 25........... 230,970 6,128 5,825 121 107 75 167,796 78,037 1,996 673 3,108 91 2,370 5,512 5,538 Mar. 4........... 233,826 6,898 5,658 972 173 95 168,477 78,333 2,006 1,043 3,113 96 2,373 5,663 5,496 11............ 232,584 6,458 5,462 731 234 31 167,529 78,271 1,997 817 3,140 94 2,360 5,210 5,447 18........... 233,246 6,424 6,016 207 154 47 168,268 78,972 2,005 429 3,213 98 2,368 5,373 5,436 25........... 232,951 5,836 5,427 237 106 66 168,339 78,496 2,007 594 3,542 100 2,361 5,407 5,438 Apr. 1............ 238,533 7,679 6,507 785 225 162 170,290 78,743 2,017 758 3,965 101 2,367 5,992 5,650 8........... 236,335 6,875 5,392 1,141 253 89 168,485 78,213 2,009 1,110 3,259 100 2,359 5,563 5,595 238,478 6,812 6,063 637 90 22 170,339 79,225 2,034 890 3,548 99 2,357 5,965 5,575 22........... 235,597 5,830 5,330 326 99 75 168,777 79,071 2,036 586 3,295 98 2,350 5,619 5,549 29........... 235,615 6,197 5,791 312 31 63 168,552 78,566 2,025 789 3,278 99 2,327 5,556 5,555 May. 6........... 236,643 6,708 6,252 265 82 109 169,205 79,027 2,025 546 3,310 100 2,327 5,803 5,504 13........... 235,591 7,249 6,728 346 74 101 167,974 78,598 2,018 477 3,019 97 2,308 5,495 5,439 20........... 234,274 5,980 5,642 196 71 71 167,806 78,365 2,022 641 3,183 95 2,301 5,352 5,469 27........... 235,231 6,216 5,693 360 84 79 167,582 77,910 2,031 513 3,277 92 2,290 5,355 5,512 June 3........... 234,609 6,293 5,841 259 106 87 167,744 78,086 2,044 490 3,206 94 2,299 5,459 5,611 234,311 6,602 6,204 260 100 38 167,379 78,267 2,048 393 2,728 91 2,284 5,544 5,501 236,880 6,457 6,016 159 148 134 169,829 79,914 2,064 347 2,870 95 2,323 5,871 5,681 24............ 236,036 6,717 6,157 319 121 120 169,626 79,564 2,072 375 2,981 93 2,279 5,767 5,686 July 1............ 240,221 7,387 6,809 209 172 197 172,488 80,094 2,088 447 3,175 96 2,269 7,118 5,879 8............ 240,013 6,727 6,161 208 166 192 172,069 80,013 2,072 563 2,981 102 2,312 7,148 5,811 15........... 238,539 5,866 5,519 49 128 170 172,094 80,096 2,080 274 2,857 105 2,323 7,494 5,759 22........... 239,557 7,745 7,006 437 154 148 171,993 79,912 2,074 498 2,871 104 2,280 7,560 5,770 29........... 238,622 5,885 5,071 552 140 122 171,469 79,319 2,054 786 2,739 104 2,305 7,259 5,794 Aug. 5........... 242,195 7,938 7,342 298 198 100 172,121 79,349 2,058 735 2,927 104 2,311 7,402 5,778 12........... 240,498 7,064 6,105 661 139 159 171,501 79,389 2,050 692 2,781 105 2,329 7,176 5,788 19........... 241,110 6,560 5,791 537 168 64 171,695 79,117 2,041 1,036 2,845 104 2,355 7,156 5,818 26........... 241,265 6,845 5,981 623 192 49 171,289 79,219 2,029 973 2,874 103 2,301 6,848 5,816 Sept. 2............ 243,357 7,644 6,265 1,036 227 116 172,264 79,504 2,028 747 3,086 103 2,299 7,148 5,889 9........... 243,880 7,662 6,173 1,106 175 168 172,695 79,716 2,026 928 2,756 105 2,309 7,193 5,851 16............ 247,051 8,192 6,087 1,778 207 120 174,203 80,882 2,013 836 3,061 105 2,322 7,280 5,855 23........... 243,899 6,322 5,298 662 240 122 173,426 80,794 2,026 721 2,833 102 2,316 6,897 5,894 30............ 245,838 6,546 4,936 1,160 255 195 174,441 81,154 2,010 554 3,104 104 2,329 7,272 5,957 Oct. 7........... 247,222 7,421 6,038 985 273 125 175,457 80,839 2,007 938 3,212 101 2,293 7,151 6,010 14........... 246,378 7,062 6,121 601 266 74• 174,178 80,751 2,018 615 3,100 102 2,276. 7,118 6,052 21........... 246,900 6,343 5,470i 568 203 102: 173,837 80,549 2,024 591 3,283 102 2,286i 7,008 6,045 28........... 246,386 7,177 5,835 1,042 200i 10C1 172,890 79,968 2,016 846 3,217 103 2,270i 6,546 6,027 Nov. 4............ 250,436 9,401 7,4701 1,477 285 169' 174,221 80,117 2,016 1,021 3,438 102 2,291 6,989 6,026 11........... 250,338 9,092 7,026> 1,716 254■ 96» 173,946 80,235 2,008! 1,200i 3,462 100 2,275 6,724 5,963 18........... 249,871 8,258 6,74C1 1,134 255; 129» 173,164 79,981 2,000i 771 3,502 100 2,273 6,458 5,995 25........... 247,828 6,763 5,82C► 574 27C> 99» 172,776 79,913 2,003 739• 3,379 102 2,317 6,472: 6,017 Dec. 2........... 252,985 9,109 8,079> 592: 30C) 13?1 173,859 80,132: 2,002: 1,113 3,633 102 2,305i 6,575 6,029 9........... 253,464 8,967 6,6331 1,742: 365i 221r 174,089 80,095 1,982 1,608! 3,549 104 2,392! 6,570i 5,693 16........... 257,211 9,244 7,97£1 6351 429> 20:I 176,616 81,416i 1,987 771 4,186 104 2,330) 7,346i 6,049 23........... 258,802 9,624 7,7731 1,266> 45'* 12*1 177,625 81,234 1,979» 1,677 4,459 105 2,3481 7,251 6,123 30........... 261,028 10,251 8,00() 1,699► 295i 151r 178,583 81,693 1,981 1,685 4,403 130' 2,342: 7,437 6,203 Dpr ............ 1,284 15i 15 833 201 6C)............ 5 8! 5 6 For notes see p. A-102. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 □ WEEKLY REPORTING BANKS A 99 ASSETS AND LIABILITIES OF LARGE COMMERCIAL BANKS, 1970— 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 33,673 498 1,463 20,387 967 14,410 23,454 3,691 3,490 13,353 2,920 .Jan. 7 33,685 485 1,507 20,323 984 14,065 23,151 3,480 3,571 13,220 2,880 ..........14 33,695 459 1,493 20,259 954 13,866 22,602 2,975 3,681 13,074 2,872 ..........21 33,714 474 1,487 20,252 960 13,941 22,435 2,903 3,672 13,007 2,853 ..........28 33,603 489 1,443 20,254 935 13,895 22,057 2,695 3.662 12,972 2,728 .Feb. 4 33,527 497 1,489 20,249 944 13,796 21,864 2.499 3,670 12,990 2,705 ..........11 33,520 491 1,447 20,216 949 13,783 21,561 2,058 3,060 13,808 2,635 ..........18 33,522 499 1.511 20,216 956 13,767 21,534 2,150 2,874 13,853 2,657 ..........25 33.445 503 1,410 20,174 951 13,871 22,344 2,972 2,934 13,850 2,588 . Mar. 4 33,435 453 1.460 20,179 948 13,718 22,120 2,808 2,925 13,816 2,571 ..........11 33,476 449 1,544 20,135 985 13,785 21,919 2,563 3,063 13,750 2,543 ..........18 33,485 486 1.461 20,165 965 13.832 21,872 2,526 3,157 13.690 2,499 ..........25 33,474 499 1,459 20,205 1,040 14,020 23,617 4,230 3,226 13,635 2,526 . Apr. 1 33.425 467 1.428 20,163 1,015 13.779 23,362 3,899 3,340 13,614 2.509 .......... 8 33,464 422 1,442 20,192 993 13.833 23,427 3,986 3,377 13,588 2,476 ..........15 33.446 437 1,351 20,204 977 13,758 22,967 3.499 3.420 13,610 2,438 ..........22 33,401 447 1,327 20,274 996 13,912 22,878 3,423 3,407 13,634 2,414 ..........29 33,358 468 1,342 20,309 993 14,093 22,426 2,965 3.443 13,616 2,402 .May 6 33.425 417 1,355 20,369 987 13,970 22,055 2,645 3,412 13,618 2.380 ..........13 33,417 403 1,317 20,380 984 13,877 22,652 2,335 3,181 14,723 2,413 ..........20 33,469 452 1,420 20,413 991 13,857 22,779 2,510 3,367 14,513 2.389 ..........27 33,439 472 1.458 20,437 976 13,673 22,662 2,487 3,392 14,393 2.390 .June 3 33,514 481 1,412 20,445 994 13,677 22,292 2,297 3,389 14,266 2,340 ..........10 33,510 472 1,439 20,487 979 13,777 22,224 2,266 3.421 14,213 2,324 ..........17 33,559 488 1.458 20,550 973 13,781 21,655 1,813 3.443 14,130 2,269 ..........24 33,526 509 1,465 20,673 941 14,208 22,035 2,090 3,522 14,190 2,233 .July 33,509 412 1,499 20,729 959 13,959 23,340 3.519 3.570 14,086 2,165 33,557 413 1,563 20,740 972 13,861 22,567 2,829 3,620 14,015 2,103 33,612 397 1,446 20,739 951 13.779 22,016 2,312 3.663 13,953 2, 33,620 425 1,445 20,919 986 13.714 23,378 3,734 3,694 13,913 2,037 33,639 441 1,455 20,954 971 13,997 23,706 3,724 4,074 13,876 2,032 . Aug. 5 33,702 381 1,476 20,968 976 13.688 23,468 3.520 4.052 13,847 2,049 ..........12 33,747 430 1,426 20,999 942 13,679 24,334 3,262 3,562 14,936 2,574 ..........19 33,712 402 1,417 21,045 921 13,629 24,556 3,486 3,627 14,834 2,609 ..........26 33,743 402 1,374 21,117 909 13,915 24,764 3,750 3,605 14,806 2,603 .Sept. 2 33,770 362 1,482 21,128 959 14,110 24.710 3,791 3,561 14,761 2,597 ..........9 33,876 417 1,415 21,130 967 14,104 24,625 3,844 3,545 14,726 2.510 ..........16 33,917 409 1.512 21,195 936 13,874 24,402 3,689 3,564 14.691 2,458 ..........23 33,939 424 1.428 21,250 926 13,990 24,793 4,195 3.570 14,648 2.380 ..........30 33,985 398 1.507 21,273 924 13,819 24,705 4,225 3,553 14,585 2,342 .Oct. 7 34,005 438 1.507 21,293 934 13,969 24,387 3,920 3,596 14,532 2,339 ..........14 34,032 397 1,616 21,291 898 13.715 25,857 5,260 3,715 14,556 2,326 ..........21 34,065 406 1,580 21,353 884 13,609 25,593 4,873 3,773 14,631 2,316 ..........28 34.077 428 1,551 21.358 904 13,903 25.710 4,925 4.053 14,383 2,349 .Nov. 4 34,074 367 1.558 21,324 917 13,739 25,533 4,719 4,034 14,436 2,344 ..........11 34.059 410 1,514 21,349 917 13,835 26,506 4,474 3,732 15,505 2,795 ..........18 34.077 410 1.590 21.358 887 13,512 26,211 4,276 3,734 15,409 2.792 ..........25 34.059 402 1.591 21,336 869 13,711 27,364 5,496 3,819 15,256 2.793 .Dec. 34,013 365 1,616 21,298 846 13.688 27,284 5,279 3,943 15,270 2,792 34,104 369 1.559 21,428 849 14,118 27,349 5,328 4,143 15,123 2,755 34,111 380 1,631 21,525 871 13,931 27,573 5,693 4,137 14,978 2,765 34,035 405 1,609 21,628 870 14,162 28,061 6,078 4,209 15,061 2,713 280 230 33 26 55 106 18 .Dec. 31 <4 For notes see p. A-102. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 100 WEEKLY REPORTING BANKS □ MARCH 1971 ASSETS AND LIABILITIES OF LARGE COMMERCIAL BANKS, 1970— Continued (In millions of dollars) Investments (cont.) Other securities Cash Invest Obligations Other bonds, items Re Bal ments Total of State corp. stock, in serves Cur ances in sub assets/ Wednesday and and process with rency with sidiar Other Total political securities of F.R. and do ies not assets liabil Total subdivisions collec Banks coin mestic consol ities tion banks idated Tax Certif. war All of All rants 3 other partici other5 pation4 Jan. 7.. 35,686 3,424 28,570 1,083 2,609 33,170 17,106 3,376 5,407 633 13,326 310,813 14.. 35,478 3,391 28,523 1,037 2,527 34,161 16,779 3,413 4,664 636 13,155 307.942 21.. 35,208 3,292 28,391 1,022 2,503 32,470 18,784 3,255 4,876 637 13,012 305,777 28.. 35,140 3,283 28,268 1,021 2,568 29,469 16,960 3.267 4.502 637 12,994 300,139 Feb. 4.. 35,094 3,302 28,191 999 2,602 32,626 17,989 2,930 4,922 637 13,420 304,472 11.. 35,417 3,376 28,361 999 2,681 32,114 16,898 3,089 4,831 636 13,466 302.161 18.. 35,338 3,321 28,369 1,002 2,646 34,194 17,453 3,149 4,844 641 13.257 304,420 25.. 35,512 3,383 28,241 1.025 2,863 31,123 16,282 3,310 4,758 641 13,198 300,282 Mar. 4.. 36,107 3,693 28,496 1,052 2,866 34,593 15.920 2,865 4,790 646 13,561 306,201 11.. 36,477 3,855 28,515 1,061 3,046 32,536 15,206 3,094 4,479 649 13,548 302,096 18.. 36,635 4,023 28,678 1.025 2,909 34,463 17,762 3.098 4,662 666 13,449 307,346 25.. 36,904 4,089 28,664 1,082 3,069 29,248 16,861 3.189 4,379 667 13,595 300,890 Apr. 1.. 36,947 4,087 28,610 1.091 3.159 33,870 17,357 3.099 5,767 676 13,851 313,153 8.. 37,613 4,469 28.913 1,113 3.118 32,065 14,906 4,581 4,669 676 13,402 306,634 15.. 38,200 4,826 29,156 1,103 3,115 38,628 18,384 3,131 5,123 678 13,447 317,869 22.. 38,023 4,870 28,981 1.054 3.118 31,456 17,977 3,228 4.502 677 13,724 307.161 29.. 37,988 4,862 28,926 1.039 3,161 30,550 16.787 3,223 4,291 687 13,789 304.942 May 6.. 38,304 4,994 29,154 1,019 3,137 32,803 17,747 2,956 5,039 683 13,996 309,867 13.. 38,313 4,993 29,171 1.092 3,057 31,314 16.921 3,252 4,708 685 13,840 306,311 20.. 37,836 4.758 29,043 1,012 3,023 31,632 17,049 3,210 4,722 688 13,807 305,382 27.. 37,654 4,670 28,963 1.017 3,004 31,408 15,967 3,295 4,542 689 13,811 303.943 June 3.. 37,910 4,828 29,026 1,006 3,050 33,677 17,159 3,071 4,982 695 14,134 308,327 10.. 38.038 4,984 28,978 1,016 3,060 28,962 16,203 3.189 4,846 699 14.258 302,468 17.. 38,370 5,253 29,097 1,008 3,012 30,283 17,055 3,257 5,499 700 14.041 307,715 24.. 38.038 5,018 28,918 998 3,104 30,005 15,530 3,368 4,519 702 14.190 304,350 July 1.. 38,311 4.904 29,170 1,012 3,225 34,012 16,587 3,142 5,098 705 14,440 314,205 8.. 37,877 4,760 28,957 1,000 3.160 30,561 16,746 3,145 4,593 702 14,016 309,776 15.. 38,012 4,857 29,016 982 3,157 33,834 18,575 3.267 5,038 707 14,030 313,990 22.. 37,803 4.768 28.913 981 3,141 30,278 16,797 3,302 4,550 707 13,833 309,024 29.. 37,890 4,770 28,946 1.018 3,156 26,853 16,544 3,384 4,545 709 14.010 304,667 Aug. 5.. 38,430 4,963 29,073 1.045 3,349 28,507 17,628 ,976 4,834 711 14,154 311,005 12.. 38,465 5,076 29,095 1,014 3,280 27,611 16,712 ,258 4,547 706 14.042 307,374 19.. 38,521 5,084 29,146 1,030 3,261 29,994 17,597 ,254 4,713 706 13,886 311,260 26.. 38,575 4,983 29,132 1.039 3.421 28,889 17,738 ,379 4,856 705 14.010 310,842 Sept. 2.. 38,685 5,086 29,164 1.024 3.411 29,844 17,719 3,243 4,757 705 14,334 313,959 9.. 38,853 5,167 29,230 1.045 3.411 29,949 17,252 3,282 5,464 710 14,249 314,786 16.. 40,031 5.769 29,839 1,049 3,374 33,174 16,768 3,354 5,872 709 14.191 321,119 23.. 39,749 5,580 29,705 1.039 3,425 28,198 18,129 3,428 4,919 710 14,078 313,361 30.. 40,058 5,681 29,815 1,042 3,520 32,851 17,895 3,306 5,896 704 14,345 320,835 Oct. 7.. 40,639 5,865 30.174 1,033 3,567 29,430 17,672 3,157 5,649 704 13,991 317,825 14.. 40,751 5.759 30,149 1.054 3,789 32,724 18,444 3,419 6,127 705 13,732 321,529 21.. 40,863 5,754 30,312 1,036 3,761 30,861 18,214 3,434 5,685 706 13,881 319,681 28.. 40,726 5,712 30,211 1.024 3,779 27,148 17,029 3,535 6,060 714 13,990 314,862 Nov. 4., 41,104 5,936 30.174 1,108 3,886 34,682 16.787 3,163 6,467 715 14,498 326,748 11. 41,767 5.904 30,636 1,109 4.118 28,248 15,415 3,332 6,196 716 14,074 318,319 18. 41,943 5,895 30,812 1,150 4,086 31,111 17,695 3,450 6,024 716 13,929 322,796 25. 42,078 5,859 30,817 1,161 4,241 29,467 17,857 3,294 5,721 716 14,218 319,101 Dec. 2. 42,653 6,291 30,741 1,208 4,413 31,502 18,894 3,477 6,261 716 14,716 328,551 9. 43,124 6,323 31,206 1,173 4.422 29,404 15,256 3,530 5,865 716 14,522 322,757 16. 44,002 6,526 31,680 1,222 4,574 33,732 19,634 3,558 6,274 714 14,728 335,851 23. 43,980 6,247 31,791 1,251 4,691 32,689 17,876 3,427 6,461 717 14,655 334,627 30. 44,133 6,243 31,952 1,238 4,700 33,532 16,429 3,835 6,859 716 14,719 337,118 ^Dec. 31. 231 21 169 36 18 63 43 67 -3 75 1,547 For notes see p. A-102. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 □ WEEKLY REPORTING BANKS A 101 ASSETS AND LIABILITIES OF LARGE COMMERCIAL BANKS, 1970— Continued (In millions of dollars) Deposits Demand Time andsavings1 Domestic interbank Foreign IPC States States Wednesday and Certi and Do polit fied polit mes For Total IPC ical U.S. and Total6 ical tic eign sub Govt. Mutual Com Com offi sub inter govts.2 divi mer sav Govts., mer cers’ Sav Other divi bank sions cial ings etc.2 cial checks ings sions banks 140,976 98,643 6,485 2,980 19,272 908 778 2,196 9,714 96,252 46,436 36,181 6,649 280 6,399 137,598 97,933 6,181 1,559 17,972 787 732 2,253 10,181 95,707 46,142 35,972 6,650 279 6,371 .......................14 136,052 94,166 6,220 3,577 17,618 683 715 2,273 10,800 95,266 45,966 35,768 6,606 283 6,353 .......................21 131,846 92,209 6,371 4,474 16,239 645 745 2,260 8,903 95,017 45,806 35,642 6,620 285 6,373 .......................28 135,328 92,012 6,739 5,088 17,645 690 709 2,200 10,245 94,893 .45,734 35,607 6,649 280 6,355 ..............Feb. 4 132,284 90,273 6,528 4,095 17,492 640 736 2,238 10,282 95,117 '45,667 35,621 6,624 279 6,660 .......................11 134,659 90,392 6,226 5,581 17,544 653 826 2,137 11,300 95,351 45,641 35,642 6,655 280 6,865 .......................18 131,912 90,335 6,323 5,473 16,995 611 753 2,272 9,150 95,621 45,618 35,658 6,764 277 7,052 .......................25 136,146 91,594 6,512 5,365 18,558 610 837 2,191 10,479 95,893 45,677 35,675 6,914 275 7,099 131,897 91,014 5,966 2,961 17,907 571 713 2,180 10,585 96,268 45,783 35,774 6,999 284 7,174 .......................11 135,912 90,243 5,983 5,509 18,570 558 760 2,850 11,439 96,732 45,931 35,845 7,117 267 7,347 .......................18 130,762 89,223 6,360 4,018 16,643 489 788 2,370 10,871 97,354 45,982 36,220 7,234 276 7,415 .......................25 141,130 97,061 6,850 4,119 18,952 795 900 2,387 10,066 98,229 46,205 36,534 7,566 298 7,383 134,650 93,821 5,976 2,706 17,866 836 750 2,415 10,280 98,453 46,139 36,559 7,912 310 7,274 ....................... 8 143,901 98,560 6,619 3,381 19,043 735 841 2,327 12,395 98,628 45,897 36,493 8,387 327 7,255 ...................15 134,014 94,334 6,071 3,493 17,213 608 708 2,384 9,203 99,059 45,870 36,581 8,753 328 7,239 .......................22 131,785 91,693 6,458 4,281 16,407 587 756 2,252 9,351 99,281 45,869 36,785 8,918 317 7,104 .......................29 134,258 90,088 6,923 4,471 19,034 623 826 2,159 10,134 99,221 45,964 36,753 8,983 338 6,912 130,392 90,872 6,329 2,677 18,261 549 1,054 2,296 8,354 99,312 45,969 36,872 8,970 334 6,894 .......................13 132,140 90,000 6,371 6,136 17,825 528 767 2,120 8,393 99,513 46,058 36,831 8,985 350 7,020 .......................20 130,554 91,017 6,353 3,760 17,108 536 718 2,171 8,891 99,470 46,066 36,919 8,972 353 6,889 .......................27 134,001 91,547 6,290 3,440 18,960 566 768 2,210 10,220 99,536 46,113 37,033 8,940 351 6,822 127,279 91,515 6,034 1,332 17,301 559 776 2,172 7,590 99,598 46,136 37,092 8,874 349 6,866 .......................10 133,623 93,161 6,508 6,001 17,816 530 785 2,095 6,727 99,390 46,152 37,099 8,751 343 6,759 .......................17 130,510 90,119 6,607 5,075 17,182 492 873 2,178 7,984 99,675 46,165 37,319 8,713 343 6,845 .......................24 139,086 95,253 7,6$4 5,112 18,802 759 816 2,307 8,383 101,580 46,414 38,509 9,166 483 6,700 ..............July 1 132,736 91,368 6,177 5,429 18,674 799 779 2,158 7,352 102,797 46,432 39,311 9,478 602 6,665 ....................... 8 135,393 94,887 5,901 3,982 19,419 649 829 2,230 7,496 103,908 46,385 40,171 9,873 703 6,453 .......................15 130,037 91,602 5,391 4,250 18,285 572 743 2,267 6,927 105,241 46,396 41,116 10,105 791 6,505 .......................22 128,669 91,029 5,695 4,887 17,072 564 889 2,293 6,240 106,495 46,335 41,862 10,461 880 6,611 .......................29 129,812 90,747 6,305 3,789 18,591 632 839 2,104 6,805 107,579 46,367 42,371 10,805 931 6,715 ..............Aug. 5 127,122 91,204 5,978 2,791 17,778 581 799 2,228 5,763 108,241 46,362 42,596 10,998 1,051 6,843 .......................12 131,738 91,275 5,586 6,185 18,436 549 779 2,202 6,726 108,719 46,365 43,269 11,107 1,077 6,487 .......................19 130,597 90,761 5,771 5,555 17,728 510 711 2,142 7,419 109,721 46,323 43,982 11,289 1,198 6,520 .......................26 131,607 93,030 6,194 3,815 18,235 567 787 1,948 7,031 110,633 46,327 44,897 11,455 1,190 6,336 131,505 93,491 5,758 2,931 18,740 621 745 2,347 6,872 111,158 46,394 45,347 11,453 1,239 6,280'....................... 9 138,347 97,216 6,357 4,690 19,494 553 823 2,205 7,009 111,671 46,402 45,858 11,542 1,265 6,153 .......................16 130,725 91,794 6,056 5,916 17,413 504 770 2,173 6,099 112,870 46,464 46,881 11,660' 1,342 6,035 .......................23 140,018 94,516 7,682 5,798 20,962 657 851 2,191 7,361 113,635 46,811 47,540 11,612 1,269 5,919 .......................30 133,533 92,320 6,256 4,089 20,352 737 778 2,213 6,788 114,211 46,893 48,030 11,711 1,301 5,803 ..............Oct. 7 136,184 96,385 5,803 2,601 20,398 692 796 2,167 7,342 114,565 46,935 48,599 11,594 1,330i 5,626..........................14 134,487 92,919 5,716 5,035 19,777 607 773 2,192 7,468 114,678 47,024 48,781 11,619 1,299 5,492:.......................21 131,032 92,376 5,925 3,722 19,382 623 765 2,119 6,120 114,820 47,013 49,086. 11,615 1,268 5,391 .......................28 138,817 95,083 7,002 3,057 22,252 759 789 2,192 7,683 114,797 47,121 49,223 11,498 1,216i 5,297 ..............Nov. 4 130,044 91,807 6,167 2,090 20,279 679 823 2,182 6,017 115,389 47,186 49,598 11,655 1,255 5,235 .......................11 134,757 94,541 6,659 4,012 19,672 583 743 2,402 6,145 115,640 47,290' 49,813 11,667 1,277 5,122:.......................18 132,521 93,762 6,390 3,569 19,186 537 757 2,216 6,104 116,431 47,334 50,431 11,755 1,312 5,089>.......................25 139,560 96,854 6,808 4,220 20,752 581 801 2,288 7,256 116,426 47,475 50,376i 11,886i 1,275 4,912:..............Dec. 2 134,880 94,657 6,220» 2,397 21,123 572 769 2,323 6,819 117,312 47,568 50,954 12,182: 1,283 4,827 ....................... 9 144,630 99,827 6,379' 5,410 21,516 543 807 2,348i 7,800' 118,019 47,611 50,927 12,921 1,324• 4,737 .......................16 143,666 99,583 6,361 6,004 20,931 551 839 2,333 7,064 118,839 47,708 51,363 13,264 1,348; 4,663i.......................23 147,355103,149» 6,774■ 4,380i 21,704 627 1,013 2,386» 7,322 119,443 48,035 51,650i 13,329' 1,420» 4,5081.......................30 573 506; 29» 25 1 1 11 764 447 250i 46 12 ..............Dec. 31 <4 For notes see p. A-102. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 102 WEEKLY REPORTING BANKS □ MARCH 1971 ASSETS AND LIABILITIES OF LARGE COMMERCIAL BANKS, 1970— Continued (In millions of dollars) Bo f r r r o o m w — ings Re fo se r— rves Memoranda Large negotiable Wednesday c f e h F p u e t a u e r n c a s d r d . e l 7 s d B F a . n R k . s Others l O i e t a i t t b e c h s i . e l , 8 i r Loans S i e t c ie u s r c c T a o a o p u c i t n a ta t l s l j ( u T l g o s a r o a t o d t e n s a d s s l ) 9 i ( u m T l n g o s a a v r o e t a n o d e e n t n d s a - d s t s s t l s 9 ) d ju m e s D p a t a e o d e n d s d i 1 t s o T a o n t d a i n l s c a l t v u im i d n Is e g e t s d s o u C e d i D n d e p ’ t s i o m I s s i e s t t s o u 1 ed b f l t G b o i i r t a e a a h r r t b s e n n o e o i i k c i s o l g r i s s h f n IPC’s others es Jan. 7. 17,336 96 2,883 25.822 4.026 83 23,339 172,425 231,565 85,554 10,758 5,249 5,509 13,456 14. 17.251 901 2,926 26,128 4.030 83 23.318 170,754 229,383 83,906 10,544 5.124 5,420 13,982 21. 16,700 1,825 2,900 25,653 4.024 81 23,276 169,069 226,879 82,387 10,431 4,995 5,436 13,762 28. 16,366 807 2,981 25,685 4.026 77 23,334 167,762 225,337 81,664 10,444 4,958 5,486 13,605 Feb. 4. 16,864 926 2,857 25,966 4.032 78 23,528 168,336 225,487 79,969 10,274 4.869 5,405 13,470 11. 17,804 807 2,860 25,684 4.031 78 23.496 167.557 224,838 78,583 10,471 4.870 5,601 13,247 18. 18,005 469 2,839 25,526 4.031 78 23,462 167,204 224,103 77,340 10,676 4,879 5,797 12,977 25. 16,606 522 2,812 25,250 4.033 77 23,449 167,600 224,646 78,321 10,839 4,874 5,965 13,086 Mar. 4. 17,866 237 2,816 25.516 4.037 76 23,614 169,214 227,665 77,630 10,986 4,886 6,100 12,350 11. 17,980 346 2,772 25,107 4.033 75 23,618 168,072 226,669 78,493 11,143 4,926 6,217 12,477 18. 18,433 456 2,683 25.516 4.036 74 23,504 168,227 226,781 77,370 11,326 4,947 6,379 12,419 25. 16,591 1,334 2,543 24,699 4.033 74 23,500 168,262 227,038 80,853 11,795 5,322 6,473 11,885 Apr. 1. 18,496 422 2,485 24,622 4,041 74 23,654 170,963 231,527 84,189 12,212 5,504 6,708 11,748 8. 17,990 300 2,620 24,819 4,039 74 23,689 169,501 230,476 82,013 12,473 5,665 6,808 11,800 15. 19,105 1,332 2,493 24,646 4.038 73 23.653 170,366 231,993 82,849 12,749 5,763 6.986 11.525 22. 18,241 1,164 2,349 24,612 4.037 72 23,613 168,840 229,830 81,852 12,916 5,824 7,092 11,518 29. 18,044 680 2,476 24,911 4.037 74 23.654 168,511 229,377 80.547 13,022 5,936 7,086 11,944 May 6. 20,414 340 2,539 25,161 4.036 75 23,823 169,193 229,923 77,950 12,966 5,938 7,028 11.954 13. 20,503 709 2,396 25,089 4.036 74 23,800 168.078 228,446 78,140 12,960 5,974 6.986 11,653 20. 17,635 283 2,390 25,560 4.036 74 23,751 167,741 228,229 76.547 13,068 5,966 7,102 11,998 27. 17,530 675 2,253 25,536 4.036 75 23.814 167,653 228,086 78,278 12,984 5,982 7,002 12,346 June 3. 18,348 1,063 2,113 25,234 4.039 75 23,918 167.724 228,296 77.924 12,964 5.984 6,980 11.955 10. 19,350 624 2,123 25,468 4.039 74 23,913 167,296 227,626 79,684 12,956 5,992 6,964 11,898 17. 18,702 273 2,046 25,756 4.040 75 23,810 169,798 230,392 79,523 12,741 5.984 6,757 12,035 24. 17,758 613 1,971 25.902 4.030 76 23.815 169,698 229,391 78,248 12,949 6.125 6,834 12,172 July 1. 17,666 671 1,966 25,203 4.016 77 23,940 172.557 232,903 81,160 14,118 7,035 7,083 11,407 8. 17,480 1,402 1,916 25,343 4.019 76 24,007 172,223 233,440 78,072 15,199 7,731 7,468 11,498 15. 17,373 1,837 1,896 25,573 4,015 75 23,920 172,028 232,607 78,158 15,980 8,442 7,538 11,517 22. 17,842 1,044 1,902 24,963 4.014 75 23,906 172,335 232,154 77,224 16,911 9,141 7,770 11,235 29. 15,098 652 1,811 23.903 4.019 75 23,945 171,858 233,126 79,857 17,881 9,752 8,129 10,469 Aug. 5. 19,254 513 1,847 23,811 4.014 75 24,100 172,276 234,412 78.925 18,460 9,989 8,471 10,337 12. 17,955 354 1,809 23,727 4.013 74 24.079 172.079 234,012 78,942 18,925 10,179 8,746 10,283 19. 16,339 725 1,668 23,953 4.014 75 24,029 172,034 234,889 77,123 19,397 10,744 8,653 10,319 26. 15,417 941 1,659 24,354 4.015 74 24,064 171,751 234,882 78,425 20,157 11,228 8,929 10,629 Sept. 2. 17,071 767 1,767 23.822 4,021 74 24.197 173,241 236,690 79,713 20,723 11,814 8,909 10,332 9. 17,603 447 1,734 24,042 4,018 74 24,205 173,782 237,345 79,885 21.052 12,102 8,950 10,220 16. 17,013 180 1,623 24,098 4,029 75 24,083 175,891 240,547 80,989 21,106 12,232 8,874 10.525 23. 15,046 1,324 1,546 23,697 3,998 76 24.079 174,041 238,192 79,198 22,036 13,148 8,888 10,126 30. 13,903 788 1,435 22,714 4,007 77 24,258 175,627 240,478 80,407 22,227 13,622 8,605 9,787 Oct. 7. 16,963 254 1,505 22,972 4,004 78 24,305 175,442 240,786 79,662 22,706 14,016 8,690 9,957 14. 17.757 847 1,466 22,386 4.020 77 24,227 174,681 239,819 80,461 23,151 14,593 8,558 9,716 21 . 16,477 1,219 1,438 23,112 4,107 77 24,176 174,313 241,033 78,814 23,248 14,692 8,556 9,733 28. 16,206 341 1,373 22,792 4.024 77 24.197 173,826 240,145 80,780 23,546 14,951 8,595 9,439 Nov. 4. 19,941 530 1,415 22,764 4.026 76 24.382 175.724 242,538 78,826 23,611 15,124 8,487 9,169 11. 19.758 521 1,411 22,712 4.025 76 24.383 175,645 242,945 79,427 24,297 15,629 8,668 9,037 18. 19,657 287 1,387 22,657 4.017 75 24.319 174,272 242,721 79,962 24,493 15,717 8,776 8,917 25. 17,004 1,098 1,363 22,304 4.017 76 24,287 173,309 241,598 80,299 25,201 16,223 8,978 8,585 Dec. 2. 20,257 283 1,352 22,066 4.033 77 24.497 174,487 244,504 83,086 25.053 16,106 8,947 8,394 9. 18,508 257 1,344 21,836 4.031 73 24,516 176,058 246,466 81,956 25,747 16,551 9,196 8,215 16. 20.252 895 1,278 22,281 4,001 73 24,422 177,513 248,864 83,972 25,584 16,399 9,185 8,305 23. 19,516 595 1,296 22,275 3,967 73 24,400 179,096 250,649 84,042 25,894 16,649 9,245 7,902 30. 18,775 224 1,256 21,689 3,872 73 24,431 180,429 252,623 87,739 26,075 16,905 9,170 7,669 ►Dec. 31. 11 63 16 . 1161 832 1,268 529 51 25 26 ► These amounts represent accumulated adjustments originally made 6 Includes U.S. Govt, and foreign bank deposits, not shown separately. to offset the cumulative effect of mergers. 7 Includes securities sold under agreements to repurchase. 8 Includes minority interest in consolidated subsidiaries. 1 Includes securities purchased under agreements to resell. 9 Exclusive of loans and Federal funds transactions with domestic com 2 Includes official institutions and so forth. mercial banks. 3 Includes short-term notes and bills. I o All demand deposits except U.S. Govt, and domestic commercial 4 Federal agencies only. banks, less cash items in process of collection. 5 Includes corporate stock. II Certificates of deposit issued in denominations of $100,000 or more Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 □ BUSINESS LOANS OF BANKS, 1970 A 103 “TERM” COMMERCIAL AND INDUSTRIAL LOANS OF LARGE COMMERCIAL BANKS (In millions of dollars) 1970 Industry Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov. Dec. Durable goods manufacturing: Primary metals................................................ 1,428 1,420 1,452 1,463 1,447 1,520 1,523 1,474 1,677 1,548 1,535 1,527 2,686 2,748 2,800 2,761 2,763 2,784 2,824 2,920 2,924 2,826 2,690 r2,681 Transportation equipment............................. 1,554 1,544 1,575 1,560 1,549 1,564 1,599 1,608 1,655 1,627 1,621 1,633 Other fabricated metal products................... 757 754 759 780 755 762 770 789 807 781 801 742 Other durable goods....................................... 1,145 1,141 1,162 1,183 1,162 1,132 1,158 1,135 1,141 1,136 1,131 1,089 Nondurable goods manufacturing: Food, liquor, and tobacco............................. 942 952 960 951 939 1,007 968 968 1,008 984 932 985 Textiles, apparel, and leather........................ 708 721 726 709 756 762 767 733 751 720 703 657 Petroleum refining........................................... 1,310 1,234 1,255 1,254 1,217 1,266 1,199 1,183 1,248 1,230 1,220 1,213 Chemicals and rubber..................................... 1,832 1,896 1,805 1,831 1,694 1,709 1,687 1,664 1,780 '1,688 1,738 rl,849 Other nondurable goods................................. 1,133 1,120 1,146 1,099 1,071 1,071 1,098 1,106 1,183 rl ,175 1,159 1,171 Mining, including crude petroleum and natural gas................................................................ 3,916 3,757 3,709 3,590 3,520 3,582 3,489 3,381 3,461 3,419 3,329 r3,326 Trade: Commodity dealers......................................... 90 81 78 77 87 88 80 82 82 73 83 79 Other wholesale.............................................. 686 693 696 684 717 692 708 704 697 727 739 r756 Retail................................................................ 1,232 1,236 1,206 1,242 1,285 1,308 1,292 1,334 1,360 1,351 1,371 rl. 399 Transportation, communication, and other public utilities: Transportation................................................ 4,343 4,291 4,331 4,199 4,262 4,276 4,425 4,347 4,417 4,443 4,453 r4,564 Communication.............................................. 480 472 476 445 416 408 424 487 448 386 415 415 1,318 1,244 1,161 1,020 984 1,033 1,031 1,042 1,065 1,017 1,022 1,018 Construction........................................................ 893 899 903 899 888 911 959 985 957 972 1,005 rl ,044 Services................................................................ 2,936 2,971 2,995 2,962 3,031 3,017 3,049 3,060 3,132 3,069 r3,079 r3,209 All other domestic loans.................................... 1,214 1,194 1,206 1,183 1,186 1,227 1,267 1,242 1,225 1,242 ’’1,209 1,285 Foreign commercial and industrial loans......... 1,591 1,575 1,605 1,579 1,614 1,620 1,599 1,599 1,604 rl ,612 rl ,648 *■1,716 Total loans.......................................................... 32,194 31,943 32,006 31,471 31,343 31,739 31,916 31,843 32,622 32,026 31,883 r32,358 COMMERCIAL AND INDUSTRIAL LOANS OF LARGE COMMERCIAL BANKS (In millions of dollars) 1970 Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov. Dec. Durable goods manufacturing: 2,067 2,021 2,014 2,068 2,061 2,121 2,204 2,142 2,236 2,133 2,098 2,092 Machinery........................................................ 5,777 5,823 6,055 6,024 6,115 6,112 6,144 6,125 6,092 5,877 5,562 5,476 Transportation equipment............................. 2,617 2,725 2,742 2,748 2,631 2,682 2,764 2,750 2,876 2,921 2,888 2,960 Other fabricated metal products................... 1,996 2,037 2,129 2,163 2,192 2,232 2,268 2,188 2,184 2,131 2,019 1,912 Other durable goods....................................... 2,404 2,407 2,481 2,572 2,651 2,707 2,870 2,850 2,811 2,783 2,675 2,607 Nondurable goods manufacturing: Food, liquor, and tobacco............................. 3,058 2,925 2,870 2,784 2,785 2,730 2,646 2,542 2,576 2,637 2,671 3,006 2,298 2,365 2,467 2,564 2,602 2,681 2,818 2,920 2,900 2,780 2,572 2,388 1,615 1,542 1,563 1,584 1,540 1,608 1,611 1,500 1,607 1,559 1,502 1,506 Chemicals and rubber..................................... 2,752 2,837 2,897 2,900 2,800 2,731 2,702 2,635 2,702 2,657 2,663 2,708 Other nondurable goods................................. 2,052 2,049 2,068 2,009 1,998 2,064 2,198 2,185 2,270 2,154 2,038 2,038 Mining, including crude petroleum and natural gas................................................................ 4,633 4,450 4,392 4,306 4,220 4,255 4,244 4,165 4,200 4,115 4,047 3,974 Trade: Commodity dealers......................................... 1,126 1,119 1,057 1,023 970 922 886 867 948 1,069 1,190 1,329 3,425 3,370 3,427 3,548 3,552 3,588 3,630 3,617 3,632 3,688 3,697 3,697 Retail................................................................ 3,887 4,053 4,063 4,185 4,168 4,237 4,254 4,161 4,152 4,363 4,478 4,220 Transportation, communication, and other public utilities: Transportation................................................ 5,618 5,579 5,567 5,509 5,492 5,593 5,748 5,755 5,786 5,827 5,850 6,003 Communication.............................................. 1,391 1,347 1,320 1,364 1,315 1,285 1,307 1,338 1,297 1,199 1,240 1,299 Other public utilities....................................... 3,419 3,179 2,948 2,644 2,598 2,681 2,605 2,532 2,567 2,575 2,517 2,352 Construction........................................................ 3,064 3,045 3,055 3,088 3,126 3,178 3,208 3,270 3,268 3,260 3,285 3,360 Services................................................................ 6,795 6,827 6,860 6,772 6,768 6,838 7,026 6,968 7,008 7,085 7,121 7,234 All other domestic loans.................................... 4,797 4,647 4,702 4,791 4,866 4,830 4,940 4,918 4,958 4,932 4,788 4,845 Bankers’ acceptances.......................................... 626 518 550 660 581 528 548 623 724 837 1,005 1,405 Foreign commercial and industrial loans......... 2,148 2,105 2,130 2,129 2,159 2,166 2,138 2,146 2,200 2,253 2,314 2,369 67,565 66,970 67,357 67,435 67,190 67,770 68,804 68,197 68,994 68,835 68,220 68,778 Tota c l o c m om m m er e c r i c a i l a b l a a n n d k s in ... d .. u .. s . t .. r . i . a .. l . . l . o .. a .. n .. s .. . o .. f .. l .. a . r .. g .. e .. 78,920I 78,095 78,517 78,763 78,475j 78,957 79,886 79,267 80,398 80,527 80,062 80,914 For Wednesday figures and Note, see following two pages. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 104 BUSINESS LOANS OF BANKS, 1970 □ MARCH 1971 COMMERCIAL AND INDUSTRIAL LOANS OF LARGE COMMERCIAL BANKS— Continued (In millions of dollars) Wednesday Industry Jan. Jan. Jan. Jan. Feb. Feb. Feb. Feb. Mar. Mar. Mar. Mar. 7 14 21 28 4 11 18 25 4 11 18 25 Durable goods manufacturing: Primarv metals............................................... 2,076 2,070 2,068 2,052 2,041 2,014 2,016 2,012 1,996 2,034 2,017 2,011 Machinery....................................................... 5,834 5,804 5,792 5,682 5,754 5,834 5,848 5,852 5,936 5,983 6,221 6,075 T ransportation equipmentr........................... 2,590 2,633 2,595 2,647 2,721 2,745 2,734 2,703 2,726 2,718 2,799 2,728 Other fabricated metal products................. 1,981 2,009 2,015 1,981 1,994 2,059 2,053 2,044 2,103 2,125 2,161 2,128 Other durable goods....................................... 2,449 2,411 2,371 2,386 2,393 2,401 2,425 2,408 2,437 2,468 2,505 2,515 Nondurable goods manufacturing: Food, liquor, and tobacco............................. 3,137 3,074 3,056 2,966 2,944 2,936 2,946 2,873 2,890 2,866 2,886 2,838 Textiles, apparel, and leather......................... 2,302 2,328 2,293 2,267 2,309 2,354 2,393 2,403 2,433 2,447 2,482 2,506 1,628 1,629 1,608 1,598 1,554 1,537 1,536 1,540 1,541 1,551 1,566 1,594 Chemicals and rubberr.................................. 2,785 2,743 2,746 2,732 2,846 2,825 2,825 2,850 2,896 2,945 2,907 2,844 Other nondurable goodsr.............................. 2,077 2,061 2,049 2,021 2,046 2,049 2,046 2,057 2,054 2,049 2,090 2,076 Mining, including crude petroleum and nat ural gas............................................................ 4,695 4,655 4,599 4,584 4,468 4,447 4,450 4,433 4,388 4,396 4,391 4,392 Trade: Commodity dealers r............................. 1,123 1,118 1,136 1,125 1,133 1,121 1,110 1,113 1,089 1,061 1,043 1,032 Other wholesale r................................... 3,475 3,445 3,407 3,372 3,361 3,359 3,380 3,379 3,391 3,395 3,450 3,477 Retail...................................................... 3,931 3,834 3,918 3,864 4,002 4,050 4,098 4,064 4,125 3,998 4,051 4,077 Transportation, communication, & other public utilities: Transportation................................................ 5,632 5,575 5,648 5,617 5,542 5,618 5,588 5,566 5,559 5,555 5,576 5,580 1,461 1,402 1,386 1,321 1,368 1,354 1,336 1,320 1,321 1,299 1,340 1,319 Other public utilities....................................... 3,463 3,429 3,401 3,375 3,285 3,167 3,137 3,125 3,109 2,976 2,933 2,772 Constructionr..................................................... 3,083 3,092 3,052 3,027 3,040 3,045 3,051 3,047 3,035 3,059 3,063 3,059 Services’".............................................................. 6,841 6,798 6,774 6,769 6,833 6,806 6,826 6,847 6,830 6,849 6,866 6,892 All other domestic loansr.................................. 4,912 4,789 4,817 4,669 4,605 4,699 4,663 4,628 4,660 4,704 4,708 4,742 Bankers’ acceptances.......................................... 718 632 573 583 541 491 531 509 566 539 545 552 Foreign commercial & industrial loans r.......... 2,161 2,166 2,139 2,125 2,111 2,118 2,103 2,092 2,106 2,115 2,167 2,132 Total classified loans’-........................................ 68,354 67,697 67,443 66,763 66,891 67,029 67,095 66,865 67,191 67,132 67,767 67,341 Total commercial & industrial loans of large commercial banksr......................................... 79,802 79,094 78,823 77,956j 78,029 78,126 78,198 78,037 78,333 78,271 78,972 78,496 Wednesday Industry Apr. Apr. Apr. Apr. Apr. May May May May June June June June 1 8 15 22 29 6 13 20 27 3 10 17 24 Durable gooas manufacturing : Primary metals r............................... 2,063 2,069 2,082 2,061 2,063 2,082 2,059 2,064 2,038 2,037 2,115 2,165 2,166 Machinery r....................................... 5,959 5,964 6,073 6,046 6,080 6,173 6,162 6,107 6,023 5,924 5,966 6,360 6,197 Transportation equipmentr............ 2,755 2,748 2,751 2,777 2,707 2,677 2,613 2,574 2,659 2,610 2,614 2.746 2,759 Other fabricated metal products r.. 2,119 2,132 2,196 2,193 2,175 2,204 2,226 2,181 2,156 2,167 2,205 2,306 2,252 Other durable goods r...................... 2,518 2,531 2,579 2,619 2,613 2,633 2,674 2,663 2,632 2,656 2,679 2.747 2,752 Nondurable goods manufacturing: Food, liquor, and tobacco r............ 2,781 2,755 2,728 2,834 2,823 2.899 2,773 2,770 2,694 2,697 2,704 2,768 2,754 Textiles, apparel, and leather r........ r2,549 r2,552 r2,588 r2,578 2,555 2,572 2,605 2,609 2,621 2,620 2,668 2,720 2,713 Petroleum refining r......................... 1,574 1,581 1,594 1,588 1,583 1,538 1,529 1,548 1,546 1,591 1,590 1,614 1,639 Chemicals and rubber..................... r2,857 r2,887 r2,901 2,982 2,876 2.900 *•2,833 r2,760 2,708 2,685 2,740 2,780 2,717 Other nondurable goodsr............... 2,058 1,972 2,012 2,005 1,997 1,997 1,997 2,004 1,997 2,005 2,020 2,119 2,111 Mining, including crude petroleum and natural gas................................ 4,331 4,317 4,307 4,298 4,279 4,231 4,236 4,215 4,193 4,240 4,244 4,280 4,260 Trade: Commodity dealers............... rl ,060 1,061 1,015 1,002 r979 r969 r960 r987 963 924 927 r944 898 Other wholesaler................... 3,543 3,519 3,554 3,576 3,549 3,560 3,538 3,563 3,550 3,561 3,558 3,605 r3,623 Retailr.................................... 4,129 4,067 4,336 4,183 4,209 4,273 4,118 4,141 4,141 4,133 4,130 4,338 r4,353 Transportation, communication, & other public utilities: Transportation............................... 5,583 5,555 5,469 5,485 5,455 5,472 5,425 5,517 5,555 5,557 5,595 5,583 5,640 Communication r........................... 1,375 1,323 1,396 1,392 1,332 1,330 1,325 1,309 1,293 1,277 1,274 1,297 1,289 Other public utilities...................... 2,807 2,649 2,586 2,596 2,584 2,673 2,633 2,557 2,532 2,641 2,612 2,737 2,734 Constructionr..................................... 3,046 3,065 3,101 3.119 3,103 3,106 3,135 3,129 3,135 3,139 3,160 3,200 3,208 Service r............................................... 6,816 6,766 6,765 6,741 6,774 6,802 6,783 6,760 6,724 6,839 6,787 6,851 6,873 All other domestic loans'-................. 4,861 4,724 4,875 4,783 4,713 4,871 4,882 4,903 4,808 4,838 4,834 4,814 4,830 Bankers’ acceptances......................... 569 r631 719 730 650 620 593 566 545 546 541 518 505 Foreign commercial & industrial loans 2,127 2,133 2,134 2.120 2,128 2,151 2,165 2,157 2,162 2,168 2,178 2,161 2,154 Total classified loansr....................... 67,480 67,001 67,761 67,708 67,227 67,733 67,264 67,084 66,675 66,855 67,141 68,653 68,427 Total commercial & industrial loans of large commercial banks r.......... 78,743 78,213 79,225 79,071 78,566 79,027 78,598 78,365 77,910 78,086 78,267 79,914 79,564 For Note see facing page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
MARCH 1971 □ BUSINESS LOANS OF BANKS, 1970 A 105 COMMERCIAL AND INDUSTRIAL LOANS OF LARGE COMMERCIAL BANKS— Continued (In millions of dollars) Wednesday Industry July July July July July Aug. Aug. Aug. Aug. Sept. Sept. Sept. Sept. Sept. 1 8 15 22 29 5 12 19 26 2 9 16 23 30 Durable goods manufactur ing: Primary metals....................... 2,232 2,195 2,197 2,187 2,209 2,159 2,149 2,138 2,124 2,172 2,200 2,232 2,259 2,315 Machinery.......................... 6,089 6,150 6,170 6,213 6,097 6,118 6,175 6,106 6,099 6,034 6,083 6,223 6,093 6,024 Transportation equipment. 2,761 2,739 2,807 2,775 2,737 2,772 r2,767 2,730 2,735 2,763 2,800 2,894 2,930 2,998 Other fabricated metal products......................... 2,248 2,281 2,315 2,273 2,224 2,190 *2,205 2,192 2,166 2,174 2,187 2,220 2,167 2,177 Other durable goods.......... 2,773 2,887 2,920 2,912 2,859 2,870 2,865 2,822 2,843 2,827 2,813 2,803 2,803 2,803 Nondurable goods manufac turing : Food, liquor, and tobacco. 2,682 2,682 2,638 2,684 2,545 2,553 r2,531 2,559 2,528 2,565 2,592 2,583 2,588 2,555 Textiles, apparel, and 2,761 2,814 2,838 2,828 2,852 2,919 '2,958 2,935 2,865 2,920 2,941 2,922 2,878 2,840 leather............................. Petroleum refining............. 1,659 1,623 1,636 1,623 1,512 1,501 rl ,498 1,492 1,508 1,527 1,579 1,658 1,641 1,631 Chemicals and rubber....... 2,717 2,696 2,720 2,710 2,664 2,666 2,647 2,620 2,610 2,616 2,661 2,726 2,710 2,802 Other nondurable goods... 2,187 2,189 2,220 2,213 2,187 2,180 *•2,179 2,193 2,187 2,218 2,248 2,351 r2,324 2,212 Mining, including crude pe troleum and natural gas. 4,261 4,244 4,253 4,240 4,221 4,169 • 4,170 4,164 4,156 4,174 4,194 4,223 4,226 4,184 Trade: Commodity dealers. . 932 879 893 875 851 840 870 886 871 888 921 950 976 1,004 Other wholesale........ 3,631 3,632 3,620 3,643 3,627 3,664 3,607 3,601 3,602 3,612 3,600 3,647 3,631 3,675 Retail......................... 4,381 4,228 4,279 4,199 4,181 4,212 4,139 4,162 4,128 4,160 4,122 4,074 4,163 4,246 Transportation, communica tion, and other public utilities: Transportation................... 5,730 5,743 5,732 5,756 5,776 5,752 r5,776 5,761 5,732 5,726 5,751 5,790 5,780 5,887 Communication................. 1,276 1,295 1,316 1,330 1,319 1,341 1,336 1,338 1,337 1,304 1,282 1,321 1,315 1,262 Other public utilities.......... 2,775 2,683 2,647 2,608 2,533 2,520 r2,531 2,516 2,559 2,608 2,547 2,578 2,520 2,588 Construction.......................... 3,187 3,191 3,202 3,221 3,240 3,246 r3,264 3,272 3,301 3,268 3,277 3,276 3,262 3,259 Services................................... 6,963 7,068 7,058 7,032 7,010 7,000 r6,997 6,960 6,909 6,920 6,916 7,047- 7,016 7,098 All other domestic loans.... 4,971 4,981 4,895 4,878 4,973 5,001 r4,834 4,904 4,932 4,898 4,931 5,032 4,954 4,978 Bankers’ acceptances............ 568 595 544 505 531 545 598 618 733 721 685 712 760 746 Foreign commercial and industrial loans.............. 2,133 2,140 2,128 2,140 2,149 2,138 r2,157 2,130 2,160 2,162 2,169 2,211 2,247 2,211 Total classified loans............. 68,917 86,935 69,028 68,845 68,297 68,356 r69,495 68,099 68,085 68,257 68,499 69,473 69,243 69,245 Total commercial and indus trial loans r..................... 80,094 80,013 80,096 79,912 79,319 79,349 79,389 79,117 79,219 79,504 79,716 80,822 80,794 81,154 Wednesday Industry Oct. Oct. Oct. Oct. Nov. Nov. Nov. Nov. Dec. Dec. Dec. Dec. Dec. 7 14 21 28 4 11 18 25 2 9 16 23 30 Durable goods manufacturing: Primary metals................................. 2,178 2,150 2,117 2,088 2,096 2,105 2,095 2,094 2,065 2,076 2,066 2,106 2,146 Machinery......................................... 5,979 6,003 5,858 5,671 5,568 5,634 5,564 5,481 5,433 5,426 5,561 5,527 5,429 Transportation equipment.............. 2,937 2,916 2,960 2,872 2,912 2,891 2,872 2,878 2,991 3,012 2,959 2,911 2,929 Other fabricated metal products. . . 2,170 2,166 2,109 2,078 2,024 2,043 2,013 1,998 1,914 1,889 1,950 1,898 1,908 Other durable goods........................ 2,837 2,820 2,770 2,702 2,714 2,704 2,652 2,631 2,628 2,621 2,629 2,598 2,554 Nondurable goods manufacturing: Food, liquor, and tobacco.............. 2,604 2,616 2,699 2,633 2,609 2,623 2,716 2,736 2,825 2,884 3,016 3,202 3,104 Textiles, apparel, and leather.......... 2,822 2,834 2,774 2,695 2,643 2,611 2,540 2,500 2,432 2,435 2,414 2,344 2,318 Petroleum refining........................... 1,585 1,580 1,545 1,527 1,523 1,506 1,491 1,484 1,483 1,484 1,540 1,497 1,526 Chemicals and rubber..................... 2,689 2,656 2,645 2,635 2,656 2,670 2,637 2,687 2,657 2,688 2,692 2,719 2,780 Other nondurable goods................. 2,198 2,177 2,146 2,095 2,068 2,039 2,039 2,007 2,027 2,047 2,060 2,057 1,998 Mining, including crude petroleum and natural gas................................. 4,129 4,128 4,108 4,094 4,090 4,078 4,019 4,005 3,933 3,926 4,047 3,963 4,003 Trade: Commodity dealers................. 1,012 1,056 1,080 1,130 1,160 1,183 1,201 1,217 1,240 1,296 1,363 1,368 1,379 Other wholesale....................... 3,713 3,699 3,677 3,661 3,695 3,713 3,702 3,683 3,669 3,702 3,731 3,684 3,701 Retail........................................ 4,315 4,293 4,338 4,504 4,488 4,441 4,498 4,480 4,372 4,238 4,293 4,149 4,045 Transportation, communication, & other public utilities: Transportation................................. 5,795 5,823 5,825 5,865 5,812 5,809 5,879 5,901 6,003 5,998 6,064 5,948 6,000 Communication............................... 1,219 1,203 1,201 1,176 1,216 1,228 1,257 1,261 1,260 1,261 1,349 1,319 1,308 Other public utilities........................ 2,590 2,577 2,568 2,564 2,675 2,587 2,444 2,360 2,415 2,377 2,354 2,267 2,348 Construction......................................... 3,265 3,260 3,258 3,253 3,273 3,294 3,259 3,313 3,338 3,348 3,360 3,348 r3,452 7,081 7,119 7,094 7,045 7,105 7,161 7,116 7,102 7,136 7,157 7,221 7,256 7,398 All other domestic loans..................... 5,030 5,040 4,885 4,775 4,783 4,803 4,820 4,740 4,809 4,757 4,835 4,892 4,926 Bankers’ acceptances........................... 754 804 916 874 965 983 1,023 1,053 1,193 1,152 1,379 1,607 1,691 Foreign commercial & industrial loans 2,240 2,246 2,267 2,260 2,299 2,315 2,310 2,330 2,347 2,342 2,356 2,390 2,409 Total classified loans........................... 69,142 69,166 68,840 68,197 68,374 68,421 68,147 67,941 68,170 68,116 69,239 69,050 r69,352 Total commercial & industrial loans r 80,839 80,751 80,549 79,968 80,117 80,235 79,981 79,913 80,132 80,095 81,416 81,234 81,693 Note.—Data for sample of about 160 banks reporting changes in their industrial loans of all weekly reporting member banks and about 60 per larger loans; these banks hold about 70 per cent of total commercial and cent of those of all commercial banks. Monthly figures are averages of figures for Wednesday dates. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 106 LOAN SALES BY BANKS □ MARCH 1971 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—Jan. 7................................................................................. 4,630 3,233 1,397 1.590 696 894 14................................................................................. 5,226 3,730 1 ,496 1,604 689 915 21................................................................................. 5,517 3,978 1,539 1,653 711 942 28................................................................................. 5,832 4,282 1,550 1,669 721 948 Feb. 4................................................................................. 5,904 4,266 1,638 1,706 741 965 11................................................................................. 6,020 4,429 1,591 1,711 736 975 18................................................................................. 6,282 4,688 1,594 1,733 756 977 25................................................................................. 6,402 4,795 1,607 1,753 761 992 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 5,137 1,545 1,751 745 1,006 6,646 5,089 1,557 1,744 720 1,024 8................................................................................. 6,721 5,162 1,559 1,813 763 1,050 15................................................................................. 6,631 5,052 1,579 1,796 755 1,041 22................................................................................. 6,746 5,156 1,590 1,825 766 1,059 29................................................................................. 6,994 5,380 1,614 1,832 762 1,070 7,159 5,579 1,580 1,798 740 1,058 13................................................................................. 7,461 5,859 1,602 1,794 734 1,060 20................................................................................. 7,786 6,128 1,658 1,812 727 1,085 27................................................................................. 7,887 6,221 1,666 1,816 722 1,094 7,880 6,188 1,692 1,813 703 1,110 10................................................................................. 7,880 6,180 1 ,700 1,813 716 1,097 17................................................................................. 7,705 6,084 1,621 1,877 684 1,193 24................................................................................. 7,908 6,313 1,595 1,834 674 1,160 July 1................................................................................. 7,843 6,146 1,697 1,807 634 1,173 8................................................................................. 7,792 6,054 1,738 1,825 634 1,191 15................................................................................. 7,833 6,037 1,796 1,874 637 1,237 22................................................................................. 8,025 6,062 1,963 1,879 648 1,231 29................................................................................. 8,068 6,151 1,917 1,892 647 1,245 Aug. 5................................................................................. 7,951 6,006 1,945 1,878 640 1,238 12................................................................................. 7,975 5,998 1,977 1,881 656 1,225 19................................................................................. 7,954 6,089 1,865 1,836 629 1,207 26................................................................................. 7,833 5,788 2,045 1,794 586 1,208 Sept. 2................................................................................. 7,107 5,296 1,811 1,775 559 1,216 9................................................................................. 6,701 5,013 1,688 1,739 528 1,211 16................................................................................. 5,780 4,216 1,564 1,747 537 1,210 23................................................................................. 5,557 4,026 1 ,531 1,765 544 1,221 30................................................................................. 5,038 3,478 1,560 1,714 500 1,214 Oct. 7................................................................................. 4,629 3,244 1,385 1,721 491 1,231 14................................................................................. 4,447 3,150 1,297 1,771 486 1,285 21................................................................................. 4,255 3,050 1,205 1,704 459 1,245 28................................................................................. 4,157 2,985 1,172 1,760 467 1,293 3,963 2,781 1,182 1,797 481 1,316 11................................................................................. 3,805 2,694 1,111 1,807 489 1,318 18................................................................................. 3,731 2,617 1,114 1,820 477 1,343 25................................................................................. 3,610 2,518 1,092 1,849 472 1,377 Dec. 2................................................................................. 3,491 2,450 1,041 1,832 462 1,370 9................................................................................. 3,424 2,403 1,021 1,853 459 1,394 16................................................................................. 3,155 2,261 894 1,830 440 1,390 23................................................................................. 3,029 2,170 859 1,846 449 1,397 2,735 1,899 836 1,890 442 1,448 Note.—Amounts sold under repurchase agreement are excluded. Fig ures include small amounts sold by banks other than large weekly report ing banks. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 107 BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM A rthur F. Burns, Chairman J. L. R obertson, Vice Chairman G eorge W. M itchell J. D ewey Daane Sherman J. M aisel A ndrew F. Brim m er W illiam 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 David B. Hexter, Assistant to the Board Joseph R. Coyne, Special Assistant to the Board Frank O’Brien, Jr., Special Assistant to the Board John S. Rippey, Special Assistant to the Board OFFICE OF THE SECRETARY DIVISION OF FEDERAL RESERVE BANK OPERATIONS Robert C. Holland, Secretary Kenneth A. Kenyon, Deputy Secretary James A. McIntosh, Director Elizabeth L. Carmichael, Assistant Secretary John N. Kiley, Jr., Associate Director Arthur L. Broida, Assistant Secretary W alter A. Althausen, Assistant Director Normand R. V. Bernard, Assistant Secretary Donald G. Barnes, Assistant Director Gordon B. Grimwood, Defense Planning Harry A. Guinter, Assistant Director Coordinator and Assistant Secretary P. D. Ring, Assistant Director * Eugene A. Leonard, Assistant Secretary Charles C. W alcutt, Assistant Director W illiam W. Layton, Director of Equal Em Lloyd M. Schaeffer, Chief Federal Reserve ployment Opportunity Examiner LEGAL DIVISION DIVISION OF SUPERVISION AND REGULATION Thomas J. O’Connell, General Counsel Frederic Solomon, Director Robert F. Sanders, Assistant General Counsel JBrenton C. Leavitt, Deputy Director Lawrence F. Noble, Assistant General Counsel Frederick R. Dahl, Assistant Director Pauline B. H eller, Adviser Jack M. Egertson, Assistant Director Grasty Crews, II, Adviser Janet O. Hart, Assistant Director DIVISION OF RESEARCH AND STATISTICS John N. Lyon, Assistant Director J. Charles Partee, Director John T. McClintock, Assistant Director Stephen H. Axilrod, Associate Director Thomas A. Sidman, Assistant Director Tynan Smith, Assistant Director Lyle E. Gramley, Associate Director Stanley J. Sigel, Adviser DIVISION OF PERSONNEL ADMINISTRATION Murray S. Wernick, Adviser Edwin J. Johnson, Director Kenneth B. Williams, Adviser John J. Hart, Assistant Director Peter M. Keir, Associate Adviser James L. Pierce, Associate Adviser DIVISION OF ADMINISTRATIVE SERVICES James B. Eckert, Assistant Adviser Joseph E. Kelleher, Director Edward C. Ettin, 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 Levon H. Garabedian, Assistant Director John Kakalec, Controller DIVISION OF INTERNATIONAL FINANCE § Harry J. Halley, Deputy Controller Robert Solomon, Director DIVISION OF DATA PROCESSING tRobert L. Sammons, Associate Director Jerold E. Slocum, Director John E. Reynolds, Associate Director John P. Singleton, Associate Director John F. L. Ghiardi, Adviser A. B. Hersey, Adviser Glenn L. Cummins, Assistant Director Reed J. Irvine, Adviser Joe M. Jackson, Assistant Director Henry W. Meetze, Assistant Director Samuel I. Katz, Adviser Bernard Norwood, Adviser Richard S. Watt, Assistant Director Ralph C. Wood, Adviser ♦On leave from the Federal Reserve Bank of St. Louis. Ralph C. Bryant, Associate Adviser fOn leave of absence. {Serves also as Program Director for Banking Structure in Robert F. Gemmill, Associate Adviser the Office of the Secretary. Samuel Pizer, Associate Adviser §Also serves as Program Director for Management Systems. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 108 FEDERAL OPEN MARKET COMMITTEE Arthur F. Burns, Chairman Alfred Hayes, Vice Chairman Andrew F. Brimmer Monroe Kimbrel Frank E. Morris George H. Clay Sherman J. Maisel J. L. Robertson J. Dewey Daane Robert P. Mayo William W. Sherrill George W. Mitchell Robert C. Holland, Secretary Arthur L. Broida, Deputy Secretary George Garvy, Associate Economist Normand R. V. Bernard, Assistant Secretary Lyle E. Gramley, Associate Economist Charles Molony, Assistant Secretary A. B. Hersey, Associate Economist Howard H. Hackley, General Counsel John E. Reynolds, Associate Economist David B. Hexter, Assistant General Counsel Karl A. Scheld, Associate Economist J. Charles Partee, Economist Robert Solomon, Associate Economist Stephen H. Axilrod, Associate Economist Charles T. Taylor, Associate Economist Robert W. Eisenmenger, Associate Economist Clarence W. Tow, Associate Economist Alan R. Holmes, Manager, System Open Market Account Charles A. Coombs, Special Manager, System Open Market Account FEDERAL ADVISORY COUNCIL John M. Meyer, Jr., second federal reserve district, President A. W. Clausen, twelfth federal reserve district, Vice President Mark C. Wheeler, first federal Gaylord Freeman, seventh federal reserve district reserve district G. Morris Dorrance, Jr., third federal Allen Morgan, eighth federal reserve district reserve district John S. Fangboner, fourth federal T. M. Reardon, ninth federal reserve district reserve district Joseph W. Barr, fifth federal Morris F. Miller, tenth federal reserve district reserve district Harry Hood Bassett, sixth federal John E. Gray, eleventh 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 109 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 Louis W. Cabot Earle O. Latham New York............ ....10045 Albert L. Nickerson Alfred Hayes Roswell L. Gilpatric William F. Treiber Buffalo.............. ....14240 Norman F. Beach A. A. Maclnnes, Jr. Philadelphia......... ....19101 Bayard L. England David P. Eastburn D. Robert Yamall, Jr. David C. Melnicoff Cleveland.............. ....44101 Albert G. Clay 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 John L. Fraley Jimmie R. Monhollon Atlanta.................. ....30303 Edwin I. Hatch Monroe Kimbrel John C. Wilson Kyle K. Fossum Birmingham... ,., 35202 W. Cecil Bauer Dan L. Hendley Jacksonville___ .,,32201 Castle W. Jordan Edward C. Rainey Nashville.......... .,.37203 Edward J. Boling Jeffrey J. Wells New Orleans... ■...70160 D. Ben Kleinpeter Arthur H. Kantner Chicago................ Emerson G. Higdon Robert P. Mayo William H. Franklin Ernest T. Baughman Detroit.............. ....48231 Peter B. Clark Daniel M. Doyle St. Louis.............. ....63166 Frederic M. Peirce Darryl R. Francis Sam Cooper Dale M. Lewis Little Rock.... 72203 A1 Pollard John F. Breen Louisville.......... .,.40201 Ronald E. Reitmeier Donald L. Henry Memphis.......... ....38101 C. Whitney Brown Laurence T. Britt Minneapolis.......... ....55480 David M. Lilly Bruce B. Dayton M. H. Strothman, Jr. Helena.............. ....59601 William A. Cordingley Howard L. Knous Kansas City.......... ....64198 Robert W. Wagstaff 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 Chas. F. Jones Philip E. Coldwell Philip G. Hoffman T. W. Plant El Paso............. ■..,79999 Joseph M. Ray Fredric W. Reed Houston........... ■ 77001 Geo. T. Morse, Jr. J. Lee Cook San Antonio... , 78206 W. A. Belcher Carl H. Moore San Francisco___ ...94120 O. Meredith Wilson Eliot J. Swan S. Alfred Halgren A. B. Merritt Los Angeles.... .. 90054 J. Leland Atwood Paul W. Cavan Portland........... ,...97208 Frank Anderson William M. Brown Salt Lake City.. 84110 Royden G. Derrick Arthur L. Price Seattle.............. ...98124 Francis G. Crane William R. Sandstrom Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 110 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.) ANNUAL REPORT. SUPPLEMENT TO BANKING AND MONETARY STA TISTICS. Sec. 1. Banks and the Monetary Sys FEDERAL RESERVE BULLETIN. Monthly. $6.00 per tem. 1962. 35 pp. $.35. Sec. 2. Member Banks. annum or $.60 a copy in the United States and 1967. 59 pp. $.50. Sec. 5. Bank Debits. 1966. 36 its possessions, Bolivia, Canada, Chile, Colom pp. $.35. Sec. 6. Bank Income. 1966. 29 pp. bia, Costa Rica, Cuba, Dominican Republic, $.35. Sec. 9. Federal Reserve Banks. 1965. 36 Ecuador, Guatemala, Haiti, Republic of Hon pp. $.35. Sec. 10. Member Bank Reserves and duras, Mexico, Nicaragua, Panama, Paraguay, Related Items. 1962. 64 pp. $.50. Sec. 11. Cur Peru, El Salvador, Uruguay, and Venezuela; 10 rency. 1963. 11 pp. $.35. Sec. 12. Money Rates or more of same issue sent to one address, $5.00 and Securities Markets. 1966. 182 pp. $.65. per annum or $.50 each. Elsewhere, $7.00 per Sec. 14. Gold. 1962. 24 pp. $.35. Sec. 15. Inter annum or $.70 a copy. national Finance. 1962. 92 pp. $.65. Sec. 16 (New). Consumer Credit. 1965. 103 -pp. $.65. FEDERAL RESERVE CHART BOOK ON FINANCIAL INDUSTRIAL PRODUCTION— 1957-59 BASE. 1962. AND BUSINESS STATISTICS. Monthly. Annual 172 pp. $1.00 a copy; 10 or more sent to one subscription includes one issue of Historical address, $.85 each. Chart Book. $6.00 per annum or $.60 a copy in the United States and the countries listed above; BANK MERGERS & THE REGULATORY AGENCIES: 10 or more of same issue sent to one address, APPLICATION OF THE BANK MERGER ACT OF $.50 each. Elsewhere, $7.00 per annum or $.70 1960. 1964. 260 pp. $1.00 a copy; 10 or more a copy.- sent to one address, $.85 each. BANKING MARKET STRUCTURE & PERFORMANCE HISTORICAL CHART BOOK. Issued annually in Sept. IN METROPOLITAN AREAS: A STATISTICAL Subscription to monthly chart book includes STUDY OF FACTORS AFFECTING RATES ON one issue. $.60 a copy in the United States and BANK LOANS. 1965. 73 pp. $.50 a copy; 10 or countries listed above; 10 or more sent to one address, $.50 each. Elsewhere, $.70 a copy. more sent to one address, $.40 each. THE PERFORMANCE OF BANK HOLDING COM THE FEDERAL RESERVE ACT, as amended through PANIES. 1967. 29 pp. $.25 a copy; 10 or more Nov. 5, 1966, with an appendix containing pro sent to one address, $.20 each. visions of certain other statutes affecting the Federal Reserve System. 353 pp. $1.25. FARM DEBT. Data from the 1960 Sample Survey of Agriculture. 1964. 221 pp. $1.00 a copy; 10 REGULATIONS OF THE BOARD OF GOVERNORS OF or more sent to one address, $.85 each. 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, 1970. $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 111 BANK CREDIT-CARD AND CHECK-CREDIT PLANS. RESERVE ADJUSTMENTS OF THE EIGHT MAJOR 1968. 102 pp. $1.00 a copy; 10 or more sent to NEW YORK CITY BANKS DURING 1966. 1968. one address, $.85 each. 29 pp. INTEREST RATE EXPECTATIONS: TESTS ON YIELD DISCOUNT POLICY AND OPEN MARKET OPERA SPREADS AMONG SHORT-TERM GOVERNMENT TIONS. 1968. 23 pp. SECURITIES. 1968. 83 pp. $.50 a copy; 10 or more sent to one address, $.40 each. THE REDESIGNED DISCOUNT MECHANISM AND THE MONEY MARKET. 1968. 29 pp. SURVEY OF FINANCIAL CHARACTERISTICS OF CONSUMERS. 1966. 166 pp. $1.00 a copy; 10 or SUMMARY OF THE ISSUES RAISED AT THE ACA more sent to one address, $.85 each. DEMIC SEMINAR ON DISCOUNTING. 1968. 16 pp. SURVEY OF CHANGES IN FAMILY FINANCES. 1968. 321 pp. $1.00 a copy; 10 or more sent to one A REVIEW OF RECENT ACADEMIC LITERATURE address, $.85 each. ON THE DISCOUNT MECHANISM. 1968. 40 pp. REPORT OF THE JOINT TREASURY-FEDERAL RE SERVE STUDY OF THE U.S. GOVERNMENT DISCOUNT POLICY AND BANK SUPERVISION. SECURITIES MARKET. 1969. 48 pp. $.25 a copy; 1968. 72 pp. 10 or more sent to one address, $.20 each. THE LEGITIMACY OF CENTRAL BANKS. 1969. JOINT TREASURY-FEDERAL RESERVE STUDY OF 24 pp. THE GOVERNMENT SECURITIES MARKET: STAFF STUDIES— PART 1 (papers by Cooper, Bernard, SELECTIVE CREDIT CONTROL 1969. 9 pp. and Scherer). 1970. 86 pp. $.50 a copy; 10 or more sent to one address, $.40 each. SOME PROPOSALS FOR A REFORM OF THE DIS COUNT WINDOW. 1969. 40 pp. (Limited supplies, in mimeographed or similar form, of staff papers other than those con RATIONALE AND OBJECTIVES OF THE 1955 RE tained in Part 1 are available upon request for VISION OF REGULATION A. 1969. 33 pp. single copies. See p. 48 of main report for a list of such papers.) AN EVALUATION OF SOME DETERMINANTS OF MEMBER BANK BORROWING. 1969. 29 pp. REAPPRAISAL OF THE FEDERAL RESERVE DIS COUNT MECHANISM: ACADEMIC VIEWS ON IMPROVING THE FEDERAL REPORT OF A SYSTEM COMMITTEE. 1968. 23 RESERVE DISCOUNT MECHANISM. 1970. pp. $.25 a copy; 10 or more sent to one ad 172 pp. dress, $.20 each. CAPITAL AND CREDIT REQUIREMENTS OF AGRI REPORT ON RESEARCH UNDERTAKEN IN CON CULTURE, AND PROPOSALS TO INCREASE NECTION WITH A SYSTEM STUDY. 1968. 47 AVAILABILITY OF BANK CREDIT. 1970. 160 pp. pp. $.25 a copy; 10 or more sent to one address, $.20 each. FINANCIAL INSTABILITY REVISITED: THE ECO NOMICS OF DISASTER. 1970. 87 pp. Limited supply of the following papers relating to the Discount Study, in mimeographed or similar form, available upon request for single copies: STAFF ECONOMIC STUDIES EVOLUTION OF THE ROLE AND FUNCTIONING Studies and papers on economic and financial sub- OF THE DISCOUNT MECHANISM. 1968. 65 pp. jects that are of general interest in the field of economic research. A STUDY OF THE MARKET FOR FEDERAL FUNDS. 1968. 47 pp. Summaries only printed in the Bulletin. THE SECONDARY MARKET FOR NEGOTIABLE (Limited supply of mimeographed copies of full text available upon request for single copies.) CERTIFICATES OF DEPOSIT. 1968. 89 pp. THE DISCOUNT MECHANISM IN LEADING IN MEASURES OF INDUSTRIAL PRODUCTION AND DUSTRIAL COUNTRIES SINCE WORLD WAR II. FINAL DEMAND, by Clayton Gehman and Cor 1968. 216 pp. nelia Motheral. Jan. 1967. 57 pp. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
A 112 FEDERAL RESERVE BULLETIN □ MARCH 1971 THE AVAILABILITY OF MORTGAGE LENDING COM RESEARCH ON BANKING STRUCTURE AND PER MITMENTS, by Robert Moore Fisher. Dec. 1969. FORMANCE, Staff Economic Study by Tynan 36 pp. Smith. Apr. 1966. 11 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. A REVISED INDEX OF MANUFACTURING CAPACITY, Staff Economic Study by Frank de Leeuw with CONSUMER SAVINGS AND THRIFT INSTITUTIONS, Frank E. Hopkins and Michael D. Sherman. by Edward C. Ettin and Barbara Negri Opper. Nov. 1966. 11 pp. June 1970. 12 pp. THE ROLE OF FINANCIAL INTERMEDIARIES IN U.S. CAPITAL MARKETS, Staff Economic Study OPTIMAL CHOICE OF MONETARY POLICY INSTRU by Daniel H. Brill with Ann P. Ulrey. Jan. MENTS IN A SIMPLE STOCHASTIC MACRO 1967. 14 pp. MODEL, by William Poole. Sept. 1970. 20 pp. REVISED SERIES ON COMMERCIAL AND INDUS UNCERTAINTY AND STABILIZATION POLICIES FOR TRIAL LOANS BY INDUSTRY. Feb. 1967. 2 pp. A NONLINEAR MACROECONOMIC MODEL, by AUTO LOAN CHARACTERISTICS AT MAJOR SALES Franklin R. Shupp. Dec. 1970. 23 pp. FINANCE COMPANIES. Feb. 1967. 5 pp. Printed in full in the Bulletin. SURVEY OF FINANCE COMPANIES, MID-1965. Apr. 1967. 26 pp. (Reprints available as shown in following list.) BANK FINANCING OF AGRICULTURE. June 1967. 23 pp. EVIDENCE ON CONCENTRATION IN BANKING REPRINTS MARKETS AND INTEREST RATES, Staff Eco nomic Study by Almarin Phillips. June 1967. ADJUSTMENT FOR SEASONAL VARIATION. June 11 pp. 1941. 11 pp. NEW BENCHMARK PRODUCTION MEASURES, 1958 SEASONAL FACTORS AFFECTING BANK RESERVES. AND 1963. June 1967. 4 pp. Feb. 1958. 12 pp. REVISED INDEXES OF MANUFACTURING CAPACITY LIQUIDITY AND PUBLIC POLICY, Staff Paper by AND CAPACITY UTILIZATION. July 1967. 3 pp. Stephen H. Axilrod. Oct. 1961. 17 pp. THE PUBLIC INFORMATION ACT— ITS EFFECT ON MEMBER BANKS. July 1967. 6 pp. SEASONALLY ADJUSTED SERIES FOR BANK CREDIT. July 1962. 6 pp. INTEREST COST EFFECTS OF COMMERCIAL BANK UNDERWRITING OF MUNICIPAL REVENUE INTEREST RATES AND MONETARY POLICY, Staff BONDS. Aug. 1967. 16 pp. Paper by Stephen H. Axilrod. Sept. 1962. 28 pp. THE FEDERAL RESERVE-MIT ECONOMETRIC MEASURES OF MEMBER BANK RESERVES. July MODEL, Staff Economic Study by Frank de 1963. 14 pp. Leeuw and Edward Gramlich. Jan. 1968. 30 pp. CHANGES IN BANKING STRUCTURE, 1953-62. THE PRICE OF GOLD IS NOT THE PROBLEM. Feb. Sept. 1963. 8 pp. 1968. 7 pp. U.S. INTERNATIONAL TRANSACTIONS: TRENDS IN REVISION OF BANK DEBITS AND DEPOSIT TURN 1960-67. Apr. 1968. 23 pp. OVER SERIES. Mar. 1965. 4 pp. MONETARY RESTRAINT AND BORROWING AND TIME DEPOSITS IN MONETARY ANALYSIS, Staff CAPITAL SPENDING BY LARGE STATE AND Economic Study by Lyle E. Gramley and LOCAL GOVERNMENTS IN 1966. July 1968. Samuel B. Chase, Jr. Oct. 1965. 25 pp. 30 pp. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
FEDERAL RESERVE BOARD PUBLICATIONS A 113 REVISED SERIES ON BANK CREDIT. Aug. 1968. U.S. BALANCE OF PAYMENTS AND INVEST 4 pp. MENT POSITION. Apr. 1970. 17 pp. FEDERAL FISCAL POLICY IN THE 1960's. Sept. SDR's IN FEDERAL RESERVE OPERATIONS AND 1968. 18 pp. STATISTICS. May 1970. 4 pp. HOW DOES MONETARY POLICY AFFECT THE CHANGES IN BANK LENDING PRACTICES, 1969. ECONOMY? Staff Economic Study by Maurice May 1970. 5 pp. Mann. Oct. 1968. 12 pp. BANKING AND MONETARY STATISTICS, 1969. BUSINESS FINANCING BY BUSINESS FINANCE Selected series of banking and monetary statistics COMPANIES. Oct. 1968. 13 pp. for 1969 only. Mar. and July 1970. 18 pp. MANUFACTURING CAPACITY: A COMPARISON OF INFLATION IN WESTERN EUROPE AND JAPAN. TWO SOURCES OF INFORMATION, Staff Eco Oct. 1970. 13 pp. nomic Study by Jared J. Enzler. Nov. 1968. 5 pp. CHANGES IN TIME AND SAVINGS DEPOSITS, APRIL- JULY 1970. Nov. 1970. 11 pp. MONETARY RESTRAINT, BORROWING, AND CAP REVISION OF THE MONEY STOCK. Dec. 1970. ITAL SPENDING BY SMALL LOCAL GOVERN 23 pp. MENTS AND STATE COLLEGES IN 1966. Dec. 1968. 30 pp. MEASURES OF SECURITY CREDIT. Dec. 1970. 11pp. REVISION OF CONSUMER CREDIT STATISTICS. Dec. 1968. 21 pp. BALANCE OF PAYMENTS PROGRAM: REVISED GUIDELINES FOR BANKS AND NONBANK FINAN HOUSING PRODUCTION AND FINANCE. Mar. 1969. CIAL INSTITUTIONS. Jan. 1971. 12 pp. 7 pp. MONETARY AGGREGATES AND MONEY MARKET CONDITIONS IN OPEN MARKET POLICY. Feb. OUR PROBLEM OF INFLATION. June 1969. 15 pp. 1971. 26 pp. THE CHANNELS OF MONETARY POLICY, Staff Eco BANK FINANCING OF MOBILE HOMES. Mar. 1971. nomic Study by Frank de Leeuw and Edward 4 pp. Gramlich. June 1969. 20 pp. FINANCIAL DEVELOPMENTS IN THE FOURTH REVISION OF WEEKLY SERIES FOR COMMERCIAL QUARTER OF 1970. Mar. 1971. 6 pp. BANKS. Aug. 1969. 5 pp. TREASURY AND FEDERAL RESERVE FOREIGN EX EURO-DOLLARS: A CHANGING MARKET. Oct. 1969. CHANGE OPERATIONS. Mar. 1971. 19 pp. 20 pp. RESPONSE OF STATE AND LOCAL GOVERNMENTS RECENT CHANGES IN STRUCTURE OF COMMER TO VARYING CREDIT CONDITIONS. Mar. 1971. CIAL BANKING. Mar. 1970. 16 pp. 24 pp. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
)xedni siht n i dettimo s I ” A“ xiferp eht hguohtla 601-A hguorht 4-A segap o t era secnerefeR( A 114 FEDERAL RESERVE BULLETIN □ MARCH 1971 INDEX TO STATISTICAL TABLES (For list of tables published periodically, but not monthly, see page A-3.) Acceptances, bankers’, 14, 33, 37 Demand deposits—Continued Agricultural loans of commercial banks, 24, 26, 98 Subject to reserve requirements, 17 Arbitrage, 91 Turnover, 15 Assets and liabilities (See also Foreigners, claims on, Deposits (See also specific types of deposits): and liabilities to): Accumulated at commercial banks for payment of Banks, by classes, 19, 24, 25, 26, 37, 98 personal loans, 23 Banks and the monetary system, 18 Adjusted, and currency, 18 Corporate, current, 49 Banks, by classes, 11, 19, 25, 29, 37, 101 Federal Reserve Banks, 12 Euro-dollars, 86 Automobiles: Federal Reserve Banks, 12, 86 Consumer instalment credit, 54, 55, 56 Postal savings, 18,25 Production index, 58, 59 Subject to reserve requirements, 17 Discount rates (See Interest rates) Bank credit proxy, 17 Discounts and advances by Reserve Banks, 4, 12, 13, Bankers’ balances, 25, 28, 100 15, 94 (See also Foreigners, claims on, and liabilities to) Dividends, corporate, 48, 49 Banking and monetary statistics for 1970, 94-106 Dollar assets, foreign, 75, 81 Banks and the monetary system, 18 Earnings and hours, manufacturing industries, 65 Banks for cooperatives, 39 Employment, 62, 64, 65 Bonds (See also U.S. Govt, securities) : Euro-dollar deposits in foreign branches of New issues, 45, 46, 47 U.S. banks, 86 Yields and prices 34, 35 Branch banks, liabilities of U.S. banks to their foreign Farm mortgage loans, 50, 51 branches 30, 86, 102 Federal finance: Brokerage balances, 85 Cash transactions, 40 Business expenditures on new plant and equipment, 49 Receipts and expenditures, 41 Business indexes, 62 Treasury operating balance, 40 Business loans (See Commercial and industrial loans) Federal funds, 8, 24, 26, 30, 33, 98, 102 Federal home loan banks, 39, 51 Capacity utilization, 62 Federal Housing Administration, 50, 51, 52, 53 Capital accounts: Federal intermediate credit banks, 39 Banks, by classes, 19, 25, 30, 102 Federal land banks, 39 Federal Reserve Banks, 12 Federal National Mortgage Assn., 39, 53 Central banks, 90, 92 Federal Reserve Banks: Certificates of deposit, 30, 102 Condition statement, 12 Coins, circulation, 16 U.S. Govt, securities held, 4, 12, 15, 42, 43, 94 Commercial and industrial loans: Federal Reserve credit, 4, 6, 12, 15, 94, 96 Commercial banks, 24, 32, 106 Federal Reserve notes, 12, 16 Weekly reporting banks, 26, 31, 98, 103 Federally sponsored credit agencies, 39 Commercial banks: Finance company paper, 33, 37 Assets and liabilities, 19, 24, 25, 26, 98 Financial institutions, loans to, 24, 26, 98 Consumer loans held, by type, 55 Float, 4, 94 Deposits at, for payment of personal loans, 23 Flow of funds: Loans sold outright, 32, 106 Financial assets and liabilities, 71.10 Number, by classes, 19 Saving and financial flows, 70 Real estate mortgages held, by type, 50 Foreign: Commercial paper, 33, 37 Currency operations, 12, 14,75, 81 Condition statements (See Assets and liabilities) Deposits in U.S. banks, 5, 12, 18, 25, 29, 86, 95, Construction, 62, 63 101 Consumer credit: Exchange rates, 89 Instalment credit, 54, 55, 56, 57 Trade, 73 Noninstalment credit, by holder, 55 Foreigners: Consumer price indexes, 62, 66 Claims on, 82, 83, 86, 87, 88 Consumption expenditures, 68, 69 Liabilities to, 30, 76, 77, 79, 80, 81, 86, 87, 88, Corporations: 102 Sales, profits, taxes, and dividends, 48, 49 Security issues, 46, 47 Gold: Security yields and prices, 34, 35 Certificates, 12, 13, 16 Cost of living (See Consumer price indexes) Earmarked, 86 Currency and coin, 5, 10, 25, 95 Net purchases by U.S., 74 Currency in circulation, 5, 16, 17, 95 Production, 93 Customer credit, stock market, 36 Reserves of central banks and govts., 92 Stock, 4, 18, 75, 94 Debits to deposit accounts, 15 Government National Mortgage Association, 53 Debt (See specific types of debt or securities) Gross national product, 68, 69 Demand deposits: Adjusted, banks and the monetary system, 18 Hours and earnings, manufacturing industries, 65 Adjusted, commercial banks, 15, 17, 25 Housing permits, 62 Banks, by classes, 11, 19, 25, 29, 101 Housing starts, 63 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
INDEX TO STATISTICAL TABLES A 115 Income, national and personal, 68, 69 Real estate loans: Industrial production index, 58, 62 Banks, by classes, 24, 27, 37, 50, 99 Instalment loans, 54, 55, 56, 57 Delinquency rates on home mortgages, 52 Insurance companies, 38, 42, 43, 51 Mortgage yields, 53 Insured commercial banks, 21, 23, 24 Type of holder and property mortgaged, 50, 51, Interbank deposits, 11, 19, 25 52, 53 Interest rates: Reserve position, basic, member banks, 8 Business loans by banks, 32 Reserve requirements, member banks, 10 Federal Reserve Banks, 9 Reserves: Foreign countries, 90, 91 Central banks and govts., 92 Money market rates, 33, 91 Commercial banks, 25, 28, 30, 100, 102 Mortgage yields, 53 Federal Reserve Banks, 12 Prime rate, commercial banks, 33 Member banks, 5, 6, 11, 17, 25, 95, 96 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 Sales finance companies, loans, 54, 55, 57 Investments (See also specific types of investments): Saving: Banks, by classes, 19, 24, 27, 28, 37, 99, 100 Flow of funds series, 70 Commercial banks, 23 National income series, 69 Federal Reserve Banks, 12, 15 Savings and loan assns., 38, 43, 51 Life insurance companies, 38 Savings deposits (See Time deposits) Savings and loan assns., 38 Savings institutions, principal assets, 37, 38 Securities (See also U.S. Govt, securities): Federally sponsored agencies, 39 Labor force, 64 International transactions, 84, 85 Loans (See also specific types of loans): New issues, 45, 46, 47 Banks, by classes, 19, 24, 26, 27, 37, 98, 99 Silver coin and silver certificates, 16 Commercial banks, 19, 23, 24, 26, 27, 31, 32, 98, Special Drawing Rights, 4, 12, 13, 18, 72, 75 99, 103, 106 State and local govts.: Federal Reserve Banks, 4, 6, 12, 15, 94, 96 Deposits, 25, 29, 101 Insurance companies, 38, 51 Holdings of U.S. Govt, securities, 42, 43 Insured or guaranteed by U.S., 50, 51, 52, 53 New security issues, 45, 46 Savings and loan assns., 38, 51 Ownership of securities of, 24, 28, 37, 38, 100 Yields and prices of securities, 34, 35 Manufacturers: State member banks, 21, 23 Stock market credit, 36 Capacity utilization, 62 Production index, 59, 62 Stocks: Margin requirements, 10 New issues, 46, 47 Member banks: Yields and prices, 34, 35 Assets and liabilities, by classes, 19, 24 Borrowings at Reserve Banks, 6, 12, 96 Tax receipts, Federal, 41 Deposits, by classes, 11 Time deposits, 11, 17, 18, 19, 25, 29, 101 Number, by classes, 19 Treasury cash, Treasury currency, 4, 5, 16, 18, 94, 95 Reserve position, basic, 8 Treasury deposits, 5, 12, 40, 95 Reserve requirements, 10 Treasury operating balance, 40 Reserves and related items, 4, 17, 94 Mining, production index, 59, 62 Unemployment, 64 Mobile home shipments, 63 U.S. balance of payments, 72 Money rates (See Interest rates) U.S. Govt, balances: Money stock and related data, 17 Commercial bank holdings, 25, 29, 101 Mortgages (See Real estate loans and Residential mort Consolidated condition statement, 18 gage loans) Member bank holdings, 17 Mutual funds (See Investment companies) Treasury deposits at Reserve Banks, 5, 12, 40, 95 Mutual savings banks, 18, 29, 37, 42, 43, 50, 101 U.S. Govt, securities: Bank holdings, 18, 19, 24, 27, 37, 42, 43, 99 Dealer transactions, positions, and financing, 44 National banks, 21, 23 Federal Reserve Bank holdings, 4, 12, 15, 42, 43, National income, 68, 69 94 National security expenditures, 41, 68 Foreign and international holdings, 12, 81, 84, 86 Nonmember banks, 22, 23, 24, 25 International transactions, 81, 84 New issues, gross proceeds, 46 Open market transactions, 14 Open market transactions, 14 Outstanding, by type of security, 42, 43, 45 Ownership of, 42, 43 Payrolls, manufacturing index, 62 Yields and prices, 34, 35, 91 Personal income, 69 United States notes, 16 Postal savings, 18, 25 Utilities, production index, 59, 62 Prices: Consumer and wholesale commodity, 62, 66 Veterans Administration, 50, 51, 52, 53 Security, 35 Prime rate, commercial banks, 33 Weekly reporting banks, 26, 98 Production, 58, 62 Profits, corporate, 48, 49 Yields (See Interest rates) )xedni siht n i dettimo si ” A“ xiferp eht hguohtla 601-A hguorht 4-A segap o t era secnerefeR( Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
BOUNDARIES OF FEDERAL RESERVE DISTRICTS AND THEIR BRANCH TERRITORIES Minneapolis,.1] CJucagoj OmaJta* Ok[akoma City ~\M^rnbnlS\ ■ittUioA- BiUjjtoA Dallas sHouston ArvUmio' 'Dram ly'R W. QaCvin, Cart ☆ Co THE FEDERAL RESERVE SYSTEM g) ☆ ALASKA HAWAII L e g e n d Boundaries of Federal Reserve Districts -----Boundaries of Federal Reserve Branch Territories o Board of Governors of the Federal Reserve System ® Federal Reserve Bank Cities • Federal Reserve Branch Cities Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
Cite this document
Federal Reserve (1971, February 28). Federal Reserve Bulletin, 1971-03. Bulletin, Federal Reserve. https://whenthefedspeaks.com/doc/bulletin_197103
@misc{wtfs_bulletin_197103,
author = {Federal Reserve},
title = {Federal Reserve Bulletin, 1971-03},
year = {1971},
month = {Feb},
howpublished = {Bulletin, Federal Reserve},
url = {https://whenthefedspeaks.com/doc/bulletin_197103},
note = {Retrieved via When the Fed Speaks corpus}
}